INITIATIVE : MAJOR CAPITAL IMPROVEMENT PROJECTS     

AMENDING THE BOROUGH CODE TO REDUCE THE COST OF BOROUGH

CAPITAL IMPROVEMENT PROJECTS REQUIRING VOTER APPROVAL

FROM $1,500,000 TO $1,000,000, AND REQUIRING THAT ANY FUTURE

CHANGE TO THIS LIMIT BE APPROVED BY AT LEAST 60% OF VOTERS

AT A REGULARLY SCHEDULED BOROUGH ELECTION

 

WHEREAS, Borough-owned or -operated buildings and equipment cost public funds

to construct or purchase;and

 

WHEREAS, the operations, maintenance and repair costs for Borough-owned or -

operated buildings and equipment generally continue for the life of the building or

equipment; with all or a part of such costs paid by Borough taxpayers;and

 

WHEREAS, currently, KPB 5.04.110 provides that major capital improvements to be

constructed by the Borough must be approved by Borough voters if the total project

cost is over $1,500,000, except that federal or state grant-funded projects are exempt

from this requirement; and

  

WHEREAS, as a result of this voter-approval requirement, more Borough capital

projects are being built, or are being proposed to be built, with federal or state

grant funs, thereby bypassing the above voter-approval requirement; and

 

WHEREAS, it is good public policy to ascertain whether there is public support of

spending public funds to build and operate major capital projects, and the best way

to do that is by obtaining voter approval of such projects before such projects are

built and operated;

 

NOW THEREFORE, BE IT ORDAINED BY THE VOTERS OF THE

KENAI PENINSULA BOROUGH;

SECTION 1. That Kenai Peninsula Borough code section  KPB 5.04.110 shall be amended

to read as follows:

 

KPB 5.04.110. Major Capital Improvement Projects -- Referendum Required.

A. All capital improvement projects to be constructed, acquired or operated by the

borough must be approved by the voters of the borough at a regular or special election,

before the project is constructed, acquired or operated, if the total project cost is more

than $1,000,000, including architectural, engineering, inspection, design, administration

or any other cost. This section applies to all proposed capital improvement projects to

be financed with borough funds which are not the proceeds of a bond issue approved

by voters. This section does not apply to insurance proceeds covering the repair or

replacement of damaged borough capital improvements. A capital improvement project

that is proposed to be built in phases shall include the projected cost of all phases as

the total project cost for purposes of this ordinance.

B. Any amendment or modification of this section must be approved by at least

60% of votes cast at a regular Borough election.

 

SECTION 2. This ordinance shall apply to all capital improvement projects with a total

project cost of more than $1,000,000  which will be constructed, acquired or operated

with borough funds after the date this ordinance is adopted, except for those projects

financed by the proceeds of a bond issue already approved by the voters.