MEMORANDUM

TO: William Popp, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Borough Mayor

FROM: Jeffrey Sinz, Finance Director

DATE: October 13, 2000

SUBJECT: Ordinance 2000-45

Ordinance of Assessment - Timberland Terrace USAD

In reviewing this ordinance an error has been discovered. Section 6(B)(2) reading "The final refund due under the ENSTAR line extension tariff, and" should be deleted from the ordinance. This project is a Contribution in Aid, or non-refundable project, and therefore will not have a final refund due from ENSTAR. In order to be accurate, and consistent with our prior projects of this nature, Section 6(B)(2) of this ordinance should be amended to read as follows:

B. That there shall be paid into the Reserve and Refund Account:

1. All monies received from ENSTAR Natural Gas Company that are refund entitlements arising out of new customers connecting to the gas line installed with the District, and

2. The final refund due under the ENSTAR line extension tariff, and

32. Interest on the average Reserve and Refund Account balance at the rate determined by the Finance Director to be the average interest earned on Borough investments during the year.