KENAI PENINSULA BOROUGH

P. W. / MAJOR PROJECTS DIVISION

MEMORANDUM

TO: Timothy Navarre, Assembly President

Kenai Peninsula Borough Assembly Members

THRU: Dale Bagley, Mayor

Jeffrey Sinz, Finance Director

FROM: Walter Robson, PW/MPD Manager, WLR

DATE: June 27, 2002

SUBJECT: RESOLUTION 2002-099, AUTHORIZING TRANSFER OF SURPLUS FUNDS FROM THE COMPLETED TUSTUMENA ROOF REPLACEMENT PROJECT TO THE NIKOLAEVSK GYM EXPANSION PROJECT

Both subject projects were approved under the 2000 Bond Issuance.

The original intent of the Nikolaevsk project, funded at $1,500,000, was to construct an additional 4000 square feet of gymnasium space. The existing roofing, flooring, ceiling, electrical, HVAC system, and locker rooms have also been upgraded. The project was bid on May 31, 2001. The gym project is substantially complete, only lacking this year's landscape and sprinkler work. The sprinkler work was expanded by order of the state's fire marshal and was funded through the contingency portion of the project and is presently under way. Extensive ground frost heaving resulted this last winter threatening the gym structure from spring rain and snowmelt waters. However, the sprinkler work item has left insufficient contingency funds to complete necessary additional drainage work. This work would assure that adequate foundation drainage for the school facility is in place at the culmination of the gym expansion.

The Tustumena roof project was completed last August. This roof project was performed under budget, leaving significant funds for any bonded projects gaining scope and costs. More than $100,000 is available for transfer from this completed project, account #401.71130.00RF0. It is recommended that the Nikolaevsk project budget be increased by $60,000, bringing the total appropriation to $1,560,000, for account #401.71090.00GYM.

Coordination with Alaska Department of Education and Early Development is expected by the date of action for this resolution.

Attachment: Resolution 2002-