City and Borough of Juneau
155 S. Seward Street
Juneau, Alaska 99801
tel. 907-586-5240
fax 907-586-5385
http://www.juneau.org

Assembly of the City and Borough of Juneau

REVISED
ASSEMBLY AGENDA/MANAGER’S REPORT
THE CITY AND BOROUGH OF JUNEAU, ALASKA
Wednesday, April 27, 2011, 5:30 p.m.
Assembly Chambers – Municipal Building
Special Meeting No. 2011-10

 

I. FLAG SALUTE

II. ROLL CALL

III. MANAGER’S REQUEST FOR AGENDA CHANGES

IV. CONSENT AGENDA

A. Public Requests for Consent Agenda Changes, Other Than Ordinances for Introduction

B. Assembly Requests for Consent Agenda Changes

C. Assembly Action

1. Resolutions

a. Resolution 2571
A Resolution Adopting the City and Borough Capital Improvement Program for Fiscal Years 2012 Through 2017, and Establishing the Capital Improvement Project Priorities for Fiscal Year 2012.

 

[Link to Preliminary CIP FY12-FY17 Plan webpage]

 

This resolution would adopt the Capital Improvement Program for Fiscal Years 2012 through 2017, as required by Charter Section 9.4, and lists the capital projects that will be undertaken in FY 2012 using CBJ sales tax funds and Marine Passenger Fees.

The Capital Improvement Program and list of projects were reviewed and approved by the Public Works and Facilities Committee at its meeting of February 28, 2011.

I recommend this resolution be adopted.

b. Resolution 2579  [RED FOLDER VERSION]
A Resolution Accepting Interest Rates For The Gastineau Elementary School Bond Being Issued Through The Alaska Municipal Bond Bank.

This resolution would accept the terms (bid) for the issuance of $5,753,000 in general obligation (GO) bonds for the Gastineau Elementary School. Voters approved the bonds being sold on October 6, 2009. The voter approval for the Gastineau School renovation was $11.8 million. CBJ previously issued $6 million of the bonds which included a $47,000 premium. These bonds are being sold through the Alaska Municipal Bond Bank Authority and will have a term of 10 years.

The bonds qualify for 70% reimbursement under the State’s School Construction Bond Debt Reimbursement Program. However, reimbursement under the State’s Debt Reimbursement Program is subject to annual appropriation. The debt service, after the State’s reimbursement, will be paid from property taxes. The estimated total cost of the debt service, including interest at an average rate of 3.4%, is $6.882 million. The City should receive reimbursement from the State of $4.818 million, assuming full state funding, leaving $2.064 million to be funded from property tax levies. The maximum estimated tax mill levy, assuming full state funding, will be 0.05 mills or $5 per $100,000 in assessed value.

I recommend this resolution be adopted.

V. PUBLIC HEARING

A. Ordinance 2011-10
An Ordinance Appropriating Funds From The Treasury For FY12 School District Operations.

This ordinance, as introduced, would appropriate to the School District an FY12 operating budget of $91,018,900.

However, since introduction on April 11, 2011, the State has adopted changes to the foundation formula which impact the School District’s FY12 budget. To date, the School District has not had time to determine the exact impact of these changes on its total budget.

The School District has been able to determine that the maximum amount of local funding allowed under the new foundation funding formula is $25,451,000. The City has also included funding for items outside of the cap, which are $565,000 for student activities ($200,000 is coming from the 1% sales tax), $70,000 for pupil transportation, and $135,000 for Community Schools. This brings the total support to the School District to $26,221,000.

The City Charter and State Statute require the Assembly to determine the total amount of local educational funding support to be provided, and provide notification of the support to the School Board within 30 days of the School District’s budget submission which was March 31, 2011. To meet this timing provision, it is necessary for the Assembly to determine the amount of funding and provide notice by April 30, 2011. This amount cannot subsequently be reduced, unless the amount exceeds the State funding cap, but it can be increased. If the Assembly does not set the amount and furnish the School Board with notice within 30 days, the amount requested by the School District is automatically approved. By Charter, the Assembly is required to provide final approval and appropriate the School District’s budget no later than May 31, 2011.

I recommend that the Assembly, by motion, provide the School District with $26,221,000 in local funding for FY12 operations.

I recommend this ordinance be referred to the Assembly Finance Committee for further review.

B. Ordinance 2011-11
An Ordinance Appropriating Funds From The Treasury For FY12 City And Borough Operations.

This ordinance would appropriate $309,374,800 for the City and Borough of Juneau’s FY12 operating budget, excluding the School District. It is necessary to appropriate all transfers between funds that support operations, debt service, and capital projects as well as the associated expenditure within the funds themselves. These transfers account for $86,844,400 of the FY12 operating budget. Excluding the transfers and School District, the CBJ FY12 operating budget, debt service, and capital projects is $222,530,400.

The Charter requires that a public hearing be held on the FY12 operating budget by May 1, 2011, and adoption by June 15, 2011.

I recommend this ordinance be referred to the Assembly Finance Committee for further review.

C. Ordinance 2011-12
An Ordinance Establishing The Rate Of Levy For Property Taxes For Calendar Year 2011 For The Budget For Fiscal Year 2012.

This ordinance would establish the mill rates for property taxes for 2011, which partially funds the City and Borough of Juneau’s FY12 operating budget. The Charter requires the assembly to adopt, by ordinance, the tax levies necessary to fund the budget before June 15.

The mill levies presented in this ordinance support the Manager’s FY12 Proposed Budget that is currently being reviewed by the Assembly Finance Committee. As part of the budget review process, the Assembly Finance Committee will review and recommend to the Assembly, the final mill levies. The final mill levies must be adopted on or before June 15. This ordinance proposes a total mill levy of 10.55, the components of which are:

Area Millage
Roaded Service Area                      2.26
Fire Service Area                              0.44
Areawide -
Operational                                        6.56
Debt Service                                      1.29
            Total                                      10.55

I recommend this ordinance be referred to the Assembly Finance Committee for further review.

VI. PUBLIC PARTICIPATION ON NON-AGENDA ITEMS

VII. EXECUTIVE SESSION

VIII. ADJOURNMENT

Note: Agenda packets are available for review online at www.juneau.org.

ADA accommodations available upon request: Please contact the Clerk’s office 72 hours prior to any meeting so arrangements can be made to have a sign language interpreter present or an audiotape containing the Assembly’s agenda made available. The Clerk’s office telephone number is 586-5278, TDD 586-5351, e-mail: city_clerk@ci.juneau.ak.us



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