MEMORANDUM

TO: Pete Sprague, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Jeffrey Sinz, Finance Director

DATE: May 22, 2003

SUBJECT: Resolution 2003-065 setting the rate of levy for tax year 2003

The attached resolution establishes the property tax rates for tax year 2003. The tax revenue generated from these rates will provide the largest single source of funding for the borough's FY2004 budget.

The administration is proposing the following changes from the 2002 tax year levels:

2002 Proposed 2003

Central Peninsula Hospital (CPH) 0.40 0.50

All other tax rates are proposed to remain the same.