MEMORANDUM

TO:                Ron Long, Assembly President

Members of the Kenai Peninsula Borough Assembly

THRU:           John J. Williams, Borough Mayor

Craig Chapman, Finance Director

FROM:          Bonnie L. Golden, Grants Manager

COPY:           Anchor Point Senior Citizens, Inc.

DATE:           August 3, 2006

SUBJECT:    Ordinance No. 2006-19-15: Accepting and appropriating a State grant for $30,000 on behalf of Anchor Point Senior Citizens, Inc.

            The Anchor Point Senior Citizens, Inc. (“APSCI”) is committed to constructing independent senior housing facilities in Anchor Point. There are currently no such facilities in that area. A market study was recently conducted that indicated the community could support a small unit for senior housing. At this time, plans are to build a four-plex unit on property owned by APSCI.

APSCI is seeking funding for pre-development (non-construction) activities associated with their housing project. This project was included in the Borough’s 2006 Legislative Priorities. As a result, funding for this project was included in Senate Bill 231, the State’s capital budget bill that was passed and signed by the Governor in July 2006. On behalf of APSCI, the Borough was awarded a $30,000 grant for pre-development activities for senior housing in Anchor Point. APSCI has indicated they would like to use the funds for site review, soil analysis, environmental studies, cost analysis, schematic design, preliminary engineering, and project management. The $30,000 would be combined with other APSCI revenue sources to perform these tasks.

The attached ordinance accepts and appropriates the State $30,000 grant. It also allows the Mayor to enter into a sole-source contract with APSCI to fulfill the purposes of the grant. APSCI is the only local entity with the knowledge, expertise and additional resources to perform these services. Therefore, with the enactment of the attached ordinance, it is the intent of the Administration to contract with the APSCI to perform the work to complete the requirements of the grant.

Attachments:       Ordinance, notification letter from DCCED