MEMORANDUM

To: Timothy Navarre, Assembly President

Kenai Peninsula Borough Assembly Members

Thru: Dale Bagley, Borough Mayor

From: Jeffrey Sinz, Finance Director

Date: August 22, 2002

Subject: Transfer of funds to cover higher than budgeted cost for the school fund custodial maintenance department

The assembly previously appropriated $73,143 for the school fund custodial maintenance budget. Due to higher than budgeted health insurance and personnel cost, the school fund custodial maintenance department was overspent $6,456.

The school fund maintenance department has available funds that can be redirected to the custodial department to cover these increased costs. KPB 5.04.100 requires that transfers between departments be approved by assembly resolution.