Memorandum 12-138 Capital Improvement Plan 2013-2018 and FY 2018 Legislative Request

City of Homer

Memorandum 12-138

TO: Mayor and City Council
THROUGH: Walt Wrede, City Manager
FROM: Katie Koester, Community and Economic Development Coordinator
DATE: September 5, 2012
SUBJECT: 2013-2018 CIP; FY 2018 Legislative Request

The City of Homer Capital Improvement Plan for 2013-2018 is ready in draft form for your review. A few notes:
● Sixteen new projects have been proposed for inclusion in the CIP. These projects will not be included in the CIP without first being approved by Council.
o Nine new City of Homer projects have been proposed:
—Public Market in Town Center (recommended by Economic Development Commission)
—Public Safety Building to house Police and Fire (recommended by Fire Chief and Police Chief)
—Homer Education and Recreation Center Upgrades (recommended by Parks and Recreation Commission and Community Recreation Coordinator)
—Jack Gist Park Improvements, Phase 2 (Updated to Phase 2 from existing CIP, recommended by the Parks and Recreation Commission)
—Karen Hornaday Park Improvements, Phase 2 (Updated to Phase 2 from existing CIP, recommended by the Parks and Recreation Commission)
—Outer Dock Road Improvement – (recommended by Port and Harbor Director and Port and Harbor Commission)
—Fire Cart Replacement (recommended by Port and Harbor Director and Port and Harbor Commission)
—System 5 Dry Line Fire System (recommended by the Port and Harbor Commission)
—Ramp 8 Restroom – (recommended by Port and Harbor Director and Port and Harbor Commission)
—Fish Dock Re-Pavement – (recommended by Port and Harbor Director and Port and Harbor Commission)
—System 2 Potable Water Upgrade – (recommended by Port and Harbor Director and Port and Harbor Commission)
—Ramp 5 Restroom (recommended by Port and Harbor Director and Port and Harbor Commission)
—System 4 Vessel Mooring Float System (recommended by Port and Harbor Director and Port and Harbor Commission)
—Harbor Entrance Erosion Control (recommended by Port and Harbor Director and Port and Harbor Commission)
—Port and Harbor Building (recommended by Port and Harbor Director and Port and Harbor Commission)
o One new project has been requested by a non-city entity:
-- Homer Tidal Incubator Project (requested by the Tidal Incubator Working Group, University of Alaska as the lead)
● Nine projects that were in the 2011-2016 CIP have been deleted from this draft:
PROJECT: REASON:
End of the Road Wayside, Phase 1 Funded through FY 2011 Cruise Ship head tax legislative appropriation
Fish Dock Restroom Expansion Funded through enterprise fund and space freeing up from crane software upgrade (???)
Homer Area Natural Gas Pipeline, Phase 2 Funded through legislative appropriation
Sewer Treatment Plan Bio-solids Treatment Improvements Study has determined the City is already using the most effective and affordable method and upgrades are not necessary
Karen Hornaday Park, Phase 1 Legislative appropriation, HoPP, etc has accomplished many of Phase 1 priorities.
Jack Gist Park, Phase 1 Phase 1 has been accomplished
Homer High School Track Renovations Funded by legislative appropriation
South Peninsula Hospital Fire Suppression System Booster Pump Hospital requested removal of this project

● Many project descriptions have been updated throughout the CIP with new information regarding estimated cost, scope, progress to date, etc.
● Recommendations from City Boards and Commissions
o The Planning Commission recommended the following CIP projects in priority order:
1 & 2. (Tie) Main Street Intersection/Reconstruction, Alternative Water Source
3. Port and Harbor Building
4, 5 & 6. (Tie) Marine Ways Large Vessel Haulout Facility, Alaska Maritime Academy, Deep Water Dock/Cruise Ship Dock Expansion, Phase 1

o The Parks and Recreation Commission gave priority to six projects:
1. Homer Education and Recreation Center Upgrades
2. Karen Hornaday Park, Phase 2
3. Kachemak Drive Rehabilitation/Pathway
4&5. (Tie) Jack Gist Park Improvements, Phase 2, Fishing Lagoon Improvements
o The Library Advisory Board gave priority to seven projects:
1. Firefighting Enhancement - Aerial Truck
2. Water Storage/Distribution Improvements
3. Alaska Maritime Academy
4. Kachemak Bay Tidal Power (*not on the proposed new project list)
5. Ice Plant Upgrade
o The Economic Development Commission ranked CIP projects as follows:
1. Town Center Infrastructure with Public Market concept (* EDC combined the two projects)
2. Harbor Improvement Revenue Bond Projects
3. Marine Ways Large Vessel Haulout Facility
4. Land Acquisition for New Roads
5. Firefighting Enhancement – Aerial Truck
o The Port and Harbor Commission ranked CIP projects as follows:
1. Harbor Improvement Revenue Bond Projects
2. Port and Harbor Building
3. Barge Mooring Facility
4. Harbor Entrance Erosion Control
5. Marine Ways Large Vessel Haulout Facility

o The Transportation Advisory Committee ranked CIP projects as follows:
1&2. (Tie) Main Street Reconstruction/Intersection and Sterling Highway Realignment MP 150-157
3, 4 & 5. (Tie) Karen Hornaday Park Phase 2, Kachemak Drive Rehabilitation/Pathway, Land Acquisition for new Roads

Assigning points to each ranking by the 6 commissions gives an aggregate top 5. A project had to make the top ranking of more than one commission to be included in the short list:

o The aggregate top 5 ranking for CIP projects are as follows:
1&2. (Tie) Main Street Reconstruction/Intersection and Harbor Revenue Bond Projects
3. Port and Harbor Building
4 & 5. (Tie) Karen Hornaday Park Phase 2, Firefighting Enhancement – Aerial Truck

● Assigning priority terms: Each City of Homer project is labeled as either Level 1 Priority (highest), Level 2 Priority, or Level 3 Priority. (State transportation projects and projects submitted by non-profits have not been given priority labels.)
In the end, the Council, in consultation with the City Manager, must weigh all the factors to determine the priority level for each project. For this draft, I have worked with the City Manager to assign labels that the Council may want to review before the CIP is finalized.
For your information there are small notes in boxes on some CIP projects giving project history. These will be removed before the CIP is in final draft form.
Factors to take into account when setting priority level include:
Will the project correct a problem that poses a clear danger to human health and safety?
Will the project significantly enhance City revenues or prevent significant financial loss?
Is the project widely supported within the community?
Has the project already been partially funded?
Is it likely that the project will be funded only if it is identified as being of highest priority?
Has the project been in the CIP for a long time?
Is the project specifically recommended in other City of Homer long-range plans?
Is the project strongly supported by one or more City advisory bodies?
● Remaining Steps in 2013-2018 Capital Improvement Planning Process: The public hearing for the CIP is scheduled for the September 24 City Council meeting. Adoption of the CIP and the FY 2013 legislative priority list is scheduled for October 8.