Memorandum
To: William Popp, Assembly President
Members, Kenai Peninsula Borough Assembly
Thru: Dale Bagley, Mayor
From: Jeffrey Sinz, Finance Director
Date: August 2, 2000
Subject: AN ORDINANCE AMENDING KPB 5.04.100 AUTHORIZING THE BOROUGH MAYOR TO TRANSFER SURPLUS BALANCES FROM COMPLETED CAPITAL IMPROVEMENT PROJECTS TO OTHER PROJECTS PREVIOUSLY AUTHORIZED BY THE BOROUGH ASSEMBLY WHERE COSTS ARE EXPECTED TO EXCEED THE AVAILABLE APPROPRIATION
At any time, the borough has numerous capital projects in various stages of completion. Because project appropriations are based on estimates, actual projects costs often come in either under or over the project budget. As a result, some completed projects have available surplus balances while others are in need of additional funding. Unless specifically authorized by the appropriating ordinance, it can be argued that the administration is currently required to request assembly approval for such transfers in the form of a supplemental appropriation prior to making the transfer. Requiring assembly approval of a supplemental appropriation prior to transferring available surplus funds can cause costly delays in project completion and unnecessary administrative expense. If approved, the amendment to KPB 5.04.100 would clarify the mayor's authority to transfer surplus balances from completed capital improvement projects to other assembly approved projects where costs are expected to exceed available appropriations.