Denali Borough, Alaska
ORDINANCE NO. 01-02
INTRODUCED BY:  Mayor John C. Gonzales
AN ORDINANCE FOR THE DENALI BOROUGH PROVIDING FOR THE ESTABLISHMENT
AND ADOPTION OF THE BUDGET FOR THE FISCAL YEAR 2002.
BE IT ENACTED BY THE ASSEMBLY OF THE DENALI BOROUGH:
Section 1.  Classification.
      This is a non-code ordinance.
Section 2. General Provisions.
      The budget lists the authorized revenues and expenditures and the change in cash in balances
for the period July 1, 2001 through June 30, 2002 and made a matter of public record.
     REVENUES     BUDGETED   ACTUAL
        FY '02   FY '01   FY '00
Taxes:
     Overnight Accommodation $1,700,000 $1,600,000 $1,618,668
     Severance Tax 70,000 70,000 85,484
Intergovernmental, Federal:
     PILT Act 100,000 95,000 101,883
Intergovernmental, State:
     Safe Communities 30,000 50,000 32,980
     State Revenue Sharing 26,000 29,000 27,562
     Electricity/Telephone Co-op Tax 40,000 40,000 43,390
     Amusement/Game Share 0 100 0
Other:
     Interest Income 87,000 87,000 97,544
     Miscellaneous Income 200 200 115
     Land Leases 500 500 416
     Penalties and Interest 0 0 16
     REVENUE TOTAL $2,053,700   $1,971,800   $2,008,058
     EXPENSES     BUDGETED   ACTUAL
        FY '02   FY '01   FY '00
Assembly:
     Assembly Members Stipend (.%) $5,400 $5,400 $4,800
     Assembly Members Benefits (.%) 1,700 1,270 879
     Clerk Salary (%) 42,000 40,420 39,659
     Clerk Benefits (%) 29,200 25,050 18,524
     Assembly/Clerk Travel (%) 6,050 6,050 4,765
     Assembly/Clerk Per Diem (%) 3,200 3,200 2,435
     Rent (%) 18,000 18,000 17,114
     Utilities (%) 8,500 8,500 6,277
     Postage (%) 4,000 3,400 3,355
     Dues/Subscriptions/Advertisement (%) 5,000 5,000 6,012
     Elections (%) 5,000 5,000 2,029
     Equipment (%) 5,000 5,000 4,648
     Equipment Maintenance (%) 2,500 2,500 1,504
     Equipment Rental (%) 1,000 1,000 910
     Supplies (%) 6,000 6,000 5,735
     Personnel Committee (%) 2,500 2,500 0
     Municipal Land Mgmt. (%) 75,000 50,000 1,903
     Committee Training/Travel (%) 2,500 2,500 704
     Land Selection/Adjudication/Fees (%) 2,500 2,500 0
     Land Status Research (%) 2,500 2,500 0
     Technician/Training/Travel (%) 2,500 2,500 1,924
     Technician Salary (%) 37,500 35,600 28,157
     Technician Benefits (%) 19,000 17,000 11,349
     Finance Committee (%) 3,000 3,000 0
     Assembly Contingency (%) 4,000 4,000 504
     Assembly Budgetary Reserve (%) 394,371 335,716 0
     Major School Maintenance Reserve Fund 0 80,340 347,892
     Capital Improvements Program 0 0 0
     ASSEMBLY TOTAL 687,921   673,946   511,079
Mayor:
     Mayor Salary (%) $30,000 $40,000 $30,000
     Meritorious Bonus (%) $0 $0 $0
     Mayor Benefits (%) 18,500 15,700 13,868
     Administrative Staff Salary (%) 48,900 47,675 40,120
     Administrative Staff Benefits (%) 27,700 31,000 13,533
     Staff Leave Replacement (%) 6,000 6,000 0
     ESC Insurance Reimbursement (%) 7,000 7,000 7,187
     Mayor/Staff Travel (%) 7,350 7,350 3,560
     Mayor/Staff Per Diem (%) 5,000 5,000 3,042
     Annual Audit (%) 13,000 12,000 9,366
     Overnight Accommodations Audits (%) 4,000 4,000 3,186
     Bonding & Insurance (%) 5,500 5,500 4,877
     Attorney Fees (%) 20,000 20,000 9,600
     Consultant Fees (%) 6,000 5,000 5,710
     Bank Fees (%) 700 700 496
     State Funding to Communities (%) 26,500 32,980 30,616
     Borough Funding to Fire Depts. (%) 37,386 37,386 37,386
     Cantwell Volunteer Fire Dept. (%) 7,000 7,000 7,000
     Contribution to Railbelt MH (%) 6,900 5,000 5,000
     Contribution to McKinley PCC & FD (%) 2,800 2,800 2,800
     Contribution to Anderson VFD (%) 0 7,000 11,500
     Contribution to TVVFD (%) 75,000 75,000 66,950
     Community Libraries (%) 8,000 8,000 5,000
     Contingency (%) 5,000 5,000 1,180
     MAYOR TOTAL 368,236   387,091   311,977
Denali Borough School District:
     School Funding (%) $0 $0 $0
     Local Community Schools Fund (%) 0 0 0
     Capital Projects Fund (%) 68,700 68,700 68,035
     School Operating Fund (%) 1,153,194 1,070,462 1,071,127
     SCHOOL DISTRICT TOTAL 1,221,894   1,139,162   1,139,162
Denali Borough PIF $0 $0 $0
Matching Grants:
     Matching Grants $0 $0 $0
     MATCHING GRANT TOTAL $0   $0   $0
Permanent Investment Fund $0 $0 $0
     EXPENSE TOTAL 2,278,051   2,200,199   1,962,218
Section 3.  Authorization and Appropriation.
     The appropriations are adopted and authorized for the period July 1, 2001 through June 30, 2002.
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, which ever is less.
Section 4.  Budget Narrative.
     The following is a line item breakdown narrative of the Fiscal Year 2002 budget.
Revenues
1.) OVERNIGHT ACCOMMODATIONS TAX (3010)- This amount is bases on revenues at 7% collected
from the Borough's Overnight Accommodation Tax.
2.) SEVERANCE TAX (3020)- The FY '02 figure is based on the projected FY '01 amount.  A similar
year of resources sold is expected.
3.) PILT ACT (3310)- The Payment In Lieu of Taxes (PILT) Act money is Federal funding that comes to
the Borough based on Borough population.  This money is paid to municipality "in lieu of taxes"
on Federal land.  Although the Denali Borough does not collect a property tax, it is eligible for
PILT funding.
4.) SAFE COMMUNITIES (3210)- This amount is based on FY '01 funding.
5.) STATE REVENUE SHARING (3200)- This amount is based on the amount the Borough received
during FY '01.
6.) ELECTRICITY/TELEPHONE CO-OP TAX (3320)- This figure is based on what the Borough normally
receives.
7.) AMUSEMENT/GAME SHARE (3330)- The FY '02 revenue is based on what was received during
FY '01.
8.) INTEREST INCOME (3110)- This figure is based on projected FY '01 interest earnings.
9.) MISCELLANEOUS INCOME (3100)- This figure is based on projected FY '01 amounts.  Miscellaneous
revenues include copying charges, fax charges, charges of copies of Borough reference books,
etc.
10.) LAND LEASES (3410)- This amount is based on what the Borough expects to receive for land leases
to different entities.
EXPENSES
ASSEMBLY BUDGET
1.) ASSEMBLY MEMBERS STIPEND (4010)- This number is based on 9 Assembly members receiving
stipends of $50 per month.
2.) ASSEMBLY MEMBERS BENEFITS (4011)- Elected Officials are eligible to be enrolled in the state
Public Employees Retirement System (PERS).
3.) CLERKS SALARY (4020)- This amount reflects a 3% increase in accordance with her experience.
4.) CLERK BENEFITS (4021)- This amount reflects the PERS employer contribution rate, as well as the
Medicare, Worker's Compensation, and health insurance costs.  This amount includes the
liability of earned sick leave and vacation pay for the year.
5.) ASSEMBLY/CLERK TRAVEL (4025)- This figure is budgeted to allow 4 Assembly members and the
Clerk to attend the annual AML conference, as well as attending other training classes.
6.) ASSEMBLY/CLERK PER DIEM (4026)- This amount will allow for per diem for the Clerk and
 Assembly members while attending their respective conferences as well as miscellaneous travel
throughout the year.
7.) RENT (4031)- This amount represents the amount needed for rent for the Borough offices at the
Tri-Valley Community Center.
8.) UTILITIES (4033)- The utility budget item is based on custodial fees of $200 per month, the cost of
phone/fax/modem/internet lines, the monthly Internet connection, and the monthly Home Page
update cost.
9.) POSTAGE (4034)- This budget for postage includes an annual bulk mail permit fee, approximately
four resident mail-outs, as well as daily postage charges.
10.) DUES/SUBSCRIPTIONS/ADVERTISING (4032)- This line includes Alaska Municipal League (AML)
dues, the National Association of Counties dues, monthly posting charges for the Valley
Advocate, Clerk and Mayor's Association dues, conference registration fees, newspaper
subscriptions, and posting the agenda in local papers.
11.) ELECTIONS (4040)- This line allows the funding of two Borough-wide elections in FY '02.
12.) EQUIPMENT (4050)- The line item for equipment will allow the staff to purchase equipment
as needed.
13.) EQUIPMENT MAINTENANCE (4051)- The copier maintenance is a large portion of this line item.
14.) EQUIPMENT RENTAL (4055)- This line item is for the rental fee for the electronic postage scale and
rental cost of other equipment as needed.
15.) SUPPLIES (4060)- This figure is based on projected supply spending for FY '01.  A large portion
of the supply cost is incurred by the purchase of paper, pens, envelopes for mailing, etc. This also
includes toner for the printers and the copier.
16.) PERSONNEL COMMITTEE (4065)- This figure represents to funds needed to pay travel expenses
for the Personnel Clerk and committee members.   This also includes possible education for
committee members on personnel issues.
17.) LAND USE PLANNING - The following is a breakdown of the Land Use Planning Committee
FY '02 budget.
Municipal Land Management (4101)- This budget item will be used for the following items:
1.)  Land Surveying: These funds will be used to survey State lands patented to the Borough.
2.)  Equipment/paper/cartridges:
Committee Training and Travel (4102)-  These funds are requested to allow for committee training
and travel to APA conferences and other relevant education opportunities.
Land Selection/Adjudication and Fees (4103)-  This budget item is for expenses charges by DNR
to process the Borough's Municipal Entitlement Lands.  Costs are based on advertising,
recording fees, etc.
Land Status Research (4104)-  This budget item is for expenses relating to conduction research by
phone, fax, or modem.  This also includes annual fees to DNR for access to their Land Administration
System (LAS).
Land Technician Training and Travel (4106)-  This budget item will allow the Technician to attend
 training seminars such as the APA Conferences other educational seminars.
Land Technician Salary (4107)-  This amount includes a 3% raise for the Technician.
Land Technicians Benefits (4108)-  This budget item is for employee benefits such as Aetna Health
Insurance and participation in the PERS Retirement System.
Municipal Land Management $75,000
Committee Training/Travel 2,500
Land Selection/Adjudication/Fees 2,500
Land Status Research 2,500
Technician/Training/Travel 2,500
Technician Salary 37,500
Planning Technician Benefits 19,000
Total $141,500
18.) FINANCE COMMITTEE (4110)- This figure will be available for committee member and clerk travel as
well as committee education concerning financial issues.
19.) CONTINGENCY (4900)- Contingency money is used for unforeseen expenditures.  This money can
also be used to cover any over expenditures without having to amend the budget.
20.) ASSEMBLY BUDGETARY RESERVE (4117)- This line item was established by Ordinance 96-01.
The amount of this fund is determined by the 15% of the amount of funds available for budgeting
on January 1, 2001. 
MAYOR BUDGET -
1.) MAYOR SALARY (5010)- This amount is the same as FY '01.
2.) MERITORIOUS BONUS (5010)- 
3.) MAYOR BENEFITS (5011)- Benefits for the Mayor are based on the Mayor's salary and in the PERS
employer contribution rate, as well as the Medicare, Workers Compensation, and health
insurance costs.
4.) ADMINISTRATIVE STAFF SALARY (5020)- This amount includes 12.50 per hour for the Administrative Clerk
and $11.00 per hour for the Clerk Typist in accordance with the increase of responsibly for both positions.
5.) ADMINISTRATIVE STAFF BENEFITS (5021)- The benefits are based on the salaries of both the
administrative staff and include PERS, Medicare, Worker's Compensation, health insurance
costs, and the liability of vacation and sick leave time.
6.) STAFF LEAVE REPLACEMENT (5030)- This money is available in order to provide in-house and hire
staff replacements while full-time staff uses leave time.
7.) ESC INSURANCE REIMBURSEMENT (5031)- The Denali Borough has opted to reimburse the State
for unemployment claims for former employees rather the contributing to unemployment claims
from the program every payroll.  The liability figure will cover the maximum benefits for one
employee.
8.) MAYOR/STAFF TRAVEL (5015)- This funding will allow for the Mayor to attend the AML/ACOM
Conferences as well as trips to Juneau to lobby for the Borough issues.  Administrative Staff
travel is also included in this line item.
9.) MAYOR/STAFF PER DIEM (5016)- This amount will allow for per diem for the Mayor and Staff while
attending training and conferences.
10.) ANNUAL AUDIT (5120)- This amount reflects the approximate amount needed to perform the annual
audit of the Denali Borough financial records.  This amount was increased due landfill financial
assurance debt ratio requirement.
11.) OVERNIGHT ACCOMMODATIONS AUDIT (5118)- This amount reflects overnight accommodation
operator audits performed by Kohler, Schmitt, and Hutchison on any specific Merchant.
12.) BONDING & INSURANCE (5122)- The insurance carrier for the Denali Borough is the Alaska
Municipal League/Joint Insurance Association (AML/JIA).
13.) ATTORNEY FEES (5110)- This line item is based on a contract with Hughes, Thorsness, Powell,
Huddleston, & Bauman allowing for a monthly fee of $800, leaving additional funding for any future
litigation.
14.) CONSULTANT FEES (5130)- This amount will allow for professional services on a quarterly basis from
Kohler, Schmitt and Hutchison, as well as any other consultants that may be needed.
15.) BANK FEES (6010)- These fees include the bank service charge as well as the cost of checks.
16.) STATE FUNDING TO COMMUNITIES (6021)- The State revenue sharing funding will be divided
among the groups evenly as follows:
Panguingue Creek Homeowners $6,625
Tri-Valley Library 6,625
McKinley Community Club 6,625
Community of Cantwell, Inc.   6,625
Total $26,500
17.) BOROUGH FUNDING TO FIRE DEPARTMENTS (5141)- Funding is based on $8 per person provided
Fire service and $10 per person provided EMS service.  There are 2,077 residents in the Borough.
This breaks down as follows:
City of Anderson, EMS/Fire Department $16,720
Tri-Valley Volunteer Fire Department 15,888
McKinley Park Volunteer Fire Department 1,464
Cantwell Volunteer Fire Department   3,314
Total $37,386
18.) CANTWELL VOLUNTEER FIRE DEPARTMENT (5142)- Additional funding to be distributed to the
Cantwell Volunteer fire Department will be $7,000.
19.) CONTRIBUTION TO RAILBELT MENTAL HEALTH (5143)- This figure represents a funding request
made by Railbelt Mental Health for funds to help this group retain their clinic in Healy.  ($6,900)
20.) CONTRIBUTION TO MCKINLEY PARK COMMUNITY CLUB AND MCKINLEY PARK
VOLUNTEER FIRE DEPARTMENT (5144)- Additional funding to be to be funding to be  distributed to
the McKinley Park Volunteer Fire Department.  ($2,800)
21.) ANDERSON VOLUNTEER FIRE DEPARTMENT (5146)- Additional funding to be distributed to
Anderson Volunteer Fire Department will be $0.
22.) CONTRIBUTION TO TRI-VALLEY FIRE DEPARTMENT (5140)- This line is to fund the summer
EMT/Fire Department Program for Healy and surrounding area.
23.) CONTRIBUTION TO LIBRARIES (5145)- This line Item is broken down as follows:
Tri-Valley Library $3,500
Anderson Library 2,500
Cantwell Library 2,000
TOTAL $8,000
24.) CONTINGENCY (5900)- Contingency money is to pay for unforeseen expenditures.  This money could
be also be used to cover any over expenditures without having to amend the budget.
DENALI BOROUGH SCHOOL DISTRICT BUDGET
1.) LOCAL COMMUNITY SCHOOLS FUND (6051)- This is a line item with no appropriation at the time
the budget was introduced.
2.) CAPITAL PROJECTS FUND (6052)- This line item amount is $0.
3.) SCHOOL OPERATING FUND (6053)- This would fund basic needs of the operation of the Denali
Borough School District.
4.) MAJOR SCHOOL MAINTENANCE RESERVE FUND (6054)- This line item would add $0 to the
established account.
DENALI BOROUGH PERMANENT INVESTMENT FUND
1.) DENALI BOROUGH PERMANENT FUND - This line item would contribute funds to the already
established Denali Borough Permanent Investment Fund.
CAPITAL MATCHING GRANTS
1.) CAPITAL GRANTS - The FY '01 Capital Matching Grants and funding shares, listed by priority,
are as follows.  Please note that actual Borough costs are zero, except for administrative costs,
which will not be reported in this category.
A.) Healy Hockey rink paving project:  local share amount, $2,640
Projected total, $17,640.
B.) Panguingue Creek Homeowner's Association fire hall/community building/well: 
local share amount, $1,584, Projected total, $10,584.
C.) Greater Healy/Denali Chamber Building Phase IV: local share amount, $1,584
Projected total, $10,584
Section 5. Effective Date.
     This ordinance becomes effective upon it's adoption by the Denali Borough Assembly.
DATE INTRODUCED: 4/8/2001
FIRST READING: 4/8/2001
PUBLIC HEARING: 5/6/2001
PASSED and APPROVED by the DENALI BOROUGH ASSEMBLY this 6th  day of May, 2001
SIGNATURE ON FILE
Borough Mayor
ATTEST: SIGNATURE ON FILE
Borough Clerk