MEMORANDUM

TO: Pete Sprague, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Craig C. Chapman, Acting Finance Director

DATE: October 2, 2003

SUBJECT: Resolution 2003-114,

Shared Fisheries Business Tax Program - Cook Inlet Fisheries Management Area

In order for the Kenai Peninsula Borough to participate in the FY04 Shared Fisheries Business Tax Program, the Borough Assembly must submit a resolution indicating the adoption of an alternative method for allocation of the FY04 available funding. If the municipalities within each fisheries management area choose not to select the alternative method, it would then become necessary to gather and submit data on actual cost impacts of commercial fishing within each designated area. Given the relatively small amount of funds available, this approach would not be cost effective. A resolution adopting the alternative method is attached for your approval.

The Kenai Peninsula Borough is located in the Cook Inlet Fisheries Management Area. The municipalities located in this area include Anchorage, Homer, Kenai, Kenai Peninsula Borough, Kachemak, Seldovia, Seward, and Soldotna. The FY04 program total allocation to be shared within this area is approximately $42,481.18. The Kenai Peninsula Borough's share will be approximately $6,239.78.