DENALI BOROUGH, ALASKA

ORDINANCE NO. 93-03

INTRODUCED BY: Mayor Rick Brewer

AN ORDINANCE FOR THE DENALI BOROUGH PROVIDING FOR THE

ESTABLISHMENT AND ADOPTION OF THE BUDGET FOR

THE FISCAL YEAR 1994.

BE IT ENACTED BY THE ASSEMBLY OF THE DENALI BOROUGH:

Section l. Classification.

This is a non‑code ordinance.

Section 2. General Provisions.

The budget lists the authorized revenues and expenditures and the change in cash balances for the period July 1, 1993 through June 30, 1994 and made a matter of public record.

REVENUES

Municipal Assistance $ 78,138.00

Organizational Grant 0.00

Overnight Accommodations 500,000.00

Severance Tax 75,000.00

Interest Income 22,500.00

Revenue Sharing 31,039.00

Miscellaneous Income 50.00

PILT Act 89,850.00

Elec/Tel Co-op Tax 20,963.28

REVENUE TOTAL $ 817,540.28

PROJECTED CARRY FORWARD FROM FY 93 $ 734,014.34

EXPENSES

Assembly Members Stipend $ 5,400.00

Clerk Salary 32,500.00

Clerk Benefits 12,625.00

Travel 5,000.00

Per Diem 2,500.00

Rent, Utilities & Postage 37,704.00

Dues/Subscriptions/Advertisement 5,000.00

Elections 5,000.00

Equipment 6,000.00

Supplies 5,500.00

Renovations 1,000.00

Land Use Planning 5,000.00

Contingency 6,999.34

ASSEMBLY TOTAL $130,228.34

Mayor Salary $ 30,000.00

Admin. Staff Salary 20,000.00

Benefits 15,050.00

Travel 4,000.00

Per Diem 2,500.00

Audit 6,000.00

Bonding & Insurance 6,000.00

Attorney Fees, Travel & Per Diem 20,000.00

Consultant Fees, Travel & Per Diem 1,500.00

Contingency 7,500.00

Distribution to Communities 73,480.00

MAYOR TOTAL $ 186,030.00

Denali Borough School District 237,756.00

SCHOOL DISTRICT TOTAL $ 237,756.00

Reserve Account for School 150,000.00

District Major Maintenance

MAINTENANCE RESERVE TOTAL $ 150,000.00

Match - Grants 30,000.00

GRANTS TOTAL $ 30,000.00

EXPENSES TOTAL $ 734,014.34

Operating Excess/(Shortfall)

Over Carry Forward/Reserves $ 0.00

Projected Carry Forward to FY '95 $ 817,540.28

Section 3. Authorization and Appropriation.

The appropriations are adopted and authorized for the period July 1, 1993 through June 30, 1994 and are the budget for that period. Subject to assembly approval by resolution, the Mayor may (1) establish line item expenditures within an authorized appropriation, and/or (2) transfer from one authorized expenditure to another any amount which would not annually exceed 10 percent of one authorized expenditure or $10,000, whichever is less.

Section 4. Budget Narrative.

The following is a line item breakdown narrative of the Fiscal Year 1994 budget.

REVENUES

1.) MUNICIPAL ASSISTANCE - This amount is based on FY 1993 funding less 5% possible decrease in State Municipal Assistance.

2.) ORGANIZATIONAL GRANT - The last year of funding was received in FY 1993.

3.) OVERNIGHT ACCOMMODATIONS TAX - This amount was increased due to projected FY 1993 revenues being higher than budgeted FY 1993 revenues. Also, the number of rooms available in the area are increasing, and tourism is projected to escalate.

4.) SEVERANCE TAX - The FY 1993 budget figure is based on the projected FY 1992 amount. A similar year of resources sold is expected.

5.) INTEREST INCOME - This figure is based on projected average cash balance of $500,000 with an earnings rate of 4.5%.

6.) REVENUE SHARING - This amount is based on FY 1993 funding less 5% possible decrease in State Municipal Assistance.

7.) MISCELLANEOUS INCOME - This figure is based on projected FY 1993 amounts. It includes copying charges, etc.

EXPENSES

ASSEMBLY BUDGET -

1.) ASSEMBLY MEMBERS STIPEND - This number is based on 9 assembly members receiving monthly stipends of $50 for 12 months.

2.) CLERK SALARY - This amount reflects an annual increase of $5,000.00 over the current salary.

3.) CLERK BENEFITS - This amount has been increased to be similar to projected FY 1993 spending with increases in pay and 10% increase in benefits. This amount has also been increased to provide health insurance for the Clerk's addition to her family. Please note that the clerk's health insurance and PERS, as well as assembly PERS, is included in this line item.

4.) TRAVEL - This figure has not changed. This line item includes Assembly and Clerk travel. The total cost for Assembly Members and the Clerk to travel to all regular assembly meeting would be $2,790.00. In addition, trips to Anchorage, Fairbanks, and Juneau have been included in this line item.

5.) PER DIEM - This amount is increased to the amended budgeted amount in FY 1993 by $500. It will include approximately 27 days per diem for the Clerk and Assembly members.

6.) RENT\UTILITIES\POSTAGE - This amount has been increased due to a possible rental agreement in negotiation with the Tri-Valley Fire Department. The Denali Borough would be responsible for cleaning our office space and telephone. This would pre-pay the rent through July 30, 1994 so the funds could be used by the Fire Department to expand their bay area to accommodate their current vehicle holdings along with other vitally needed space.

7.) DUES/SUBSCRIPTION/ADVERTISING - This figure has been maintained to the budgeted FY 1993 level. The Assembly participates in the Alaska Municipal League.

8.) ELECTIONS - This line item allows for two elections for FY 1994.

9.) EQUIPMENT - This amount has not increased because the office has most of the equipment it requires. However, if we do enter into a rental agreement as stated previously, more office furnishings which are now on loan from the School District may need to be purchased. This could include two desks, shelving. Also, this could include filing cabinets and map files for the Land Use Planning Committee. Purchases of these items will come to the Assembly for approval.

10.) SUPPLIES - This figure has not increased based on projected spending in FY 1993. A large portion of the supply cost is incurred during the purchase of paper and toner for the printer and copier. The amount of paper and toner needed is unknown, due to the number of elections, special projects, etc.

11.) RENOVATIONS - This amount is the same as the FY 1993 amended budgeted amount. Due to fire code regulations we may have to remove the porch area we previously built at the school district building.

12.) LAND USE PLANNING - This figure has been maintained to the amended budgeted FY 1993 level. This money is used for supplies, copies, and possible travel for Land Use Planning Committee members. This could be a busy year for this committee.

13.) CONTINGENCY - This amount is the same as was budgeted for FY 1992. Contingency money is used to pay for unforeseen expenditures. This money could also be used to cover any over-expenditures without having to amend the budget.

MAYOR BUDGET -

1.) MAYOR SALARY - This amount is the same as the FY 1993 budgeted amount.

2.) ADMINISTRATIVE STAFF SALARY - This amount is the same as was budgeted for FY 1993. More than the projected FY 1993 amount will be used due to increase hours of staff and their necessary increase.

3.) BENEFITS - This figure has been increased to reflect FY 1994 projected spending. It was increased to reflect the benefits for the administrative staff. This includes health insurance for permanent employees at an increase amount of 10%.

4.) TRAVEL - This figure has been maintained to the budgeted FY 1993 amount. Administrative Staff travel will also be included in this line item.

5.) PER DIEM - This number has increased to reflect more travel by administrative staff for training and representation.

6.) AUDIT - This amount is the same as was budgeted for FY 1993.

7.) BONDING & INSURANCE - This line item is the same as the FY 1993 amount. Current annual bonding and insurance premiums are as follows:

Treasurer's Bond $ 450.00

General Liability 3,735.00

Property Coverage 80.00

Workman's Comp. 650.00

TOTAL $ 4,915.00

8.) ATTORNEY FEES/TRAVEL/PER DIEM - This line item is the same as the amended FY 1993 amount.

9.) CONSULTANT FEES/TRAVEL/PER DIEM - This amount has been increased to allow for possible consultation on the landfill issues and other unforeseen problems.

10.) CONTINGENCY - This line item is the same as the FY 1993 amount. Contingency money is used to pay for unforeseen expenditures. This money could also be used to cover any over-expenditures without having to amend the budget. The Mayor's task-force to review landfill issues is designated $5,000 in the category.

11.) DISTRIBUTION TO COMMUNITIES - This is the amount allocated to communities as by the Mayor's interpretation of the Charter and by sentiments stated by the Assembly. It would fund the four unorganized communities at the level of funding in revenue sharing which they would have received from the state if their was not a borough. It also funds the Fire Departments at $8 per borough resident in their coverage area and EMS at $10 per borough resident in their coverage area.

12.) DENALI BOROUGH SCHOOL DISTRICT FUNDING - The Denali Borough is not required to fund the school district until FY 1995. However, the Denali Borough Assembly passed Resolution 93-05 titled, "A resolution determining the total amount of funding to be made available from Denali Borough sources for school purposes in accordance with Denali Borough Code of Ordinances, Chapter 30, Section 9." This resolution provided the Denali Borough School District with funding for the amount of $237,756.

13.) MATCH - GRANTS - The Assembly has agreed to match funds for two grants. The LUPC grant which has been approved and the Solid Waste Management Grant is expected to be funded by DEC in FY 1994.

14.) RESERVE ACCOUNT FOR SCHOOL DISTRICT MAJOR MAINTENANCE - This line item would include School District major maintenance items that may need to be addressed. An example of these items are fire code recommendations for the old gym in Anderson, carpeting in the Anderson and Tri-Valley schools which are of significant age, the roof at the Cantwell site along with other unidentifiable problems.

Section 5. Effective Date.

This ordinance becomes effective upon its adoption by the Denali Borough Assembly.

DATE INTRODUCED: April 18, 1993

FIRST READING: April 18, 1993

PUBLIC HEARING: May 16, 1993

PASSED and APPROVED by the DENALI BOROUGH ASSEMBLY this 16th day of May, 1993.

SIGNATURE ON FILE

Mayor

ATTEST: SIGNATURE ON FILE

Borough Clerk