A Resolution of the City Council of Homer, Alaska, Authorizing the City Manager to Apply Unallocated Municipal Harbor Grant Funds and Revenue Bond Proceeds Toward Completion of Additional Float Replacement and Improvements That Are Already Included in the Adopted Capital Improvement Program (CIP), and Further, to Issue a Change Order With the Selected Contractor and Expand the Scope of Work to Accomplish This Objective. City Manager.
CITY OF HOMER
A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, AUTHORIZING THE CITY MANAGER TO APPLY UNALLOCATED MUNICIPAL HARBOR GRANT FUNDS AND REVENUE BOND PROCEEDS TOWARD COMPLETION OF ADDITIONAL FLOAT REPLACEMENT AND IMPROVEMENTS THAT ARE ALREADY INCLUDED IN THE ADOPTED CAPITAL IMPROVEMENT PROGRAM (CIP), AND FURTHER, TO ISSUE A CHANGE ORDER WITH THE SELECTED CONTRACTOR AND EXPAND THE SCOPE OF WORK TO ACCOMPLISH THIS OBJECTIVE.
WHEREAS, The City of Homer has received a State Municipal Harbor Grant and sold Revenue Bonds in the total amount of $8,412,000 to replace infrastructure and make certain improvements in the harbor; and
WHEREAS, The engineer’s estimate for replacing certain floats and Ramp 3 was $7,059,280 and the Council has approved the funds and adopted a budget based upon this figure; and
WHEREAS, The lowest qualified bidder submitted a bid of $4,834,748 and was awarded a contract via Resolution 14-025 at the regular meeting on January 27, 2014; and
WHEREAS, There is now approximately $2 million in unallocated grant and bond funds which could be used for another purpose or returned unspent; and
WHEREAS, The City Administration recommends that the funds be used to expand the contractor’s scope of work to construct additional float replacements and improvements that are already included in the approved CIP; and
WHEREAS, There are many advantages associated with this course of action including lower design costs, lower mobilization costs, an easier and quicker permitting environment, and the assurance that the grant funds can be spent within the required 18 months; and
WHEREAS, This recommendation also improves the chances that the additional work can be quickly approved by the granting agency (ADOT/PF) and the Municipal Bond Bank.
NOW, THEREFORE, BE IT RESOLVED that the Homer City Council hereby authorizes the City Manager to apply unallocated Municipal Harbor Grant funds and Revenue Bond Proceeds toward completion of additional float replacement and improvements that are already included in the adopted Capital Improvement Program.
BE IT FURTHER RESOLVED that the Council authorizes the City Manager to issue a change order and / or expand the scope of work with the approved contractor to achieve this objective.
PASSED AND ADOPTED by the Homer City Council this 10th day of February, 2014.
CITY OF HOMER
MARY E. WYTHE, MAYOR
JO JOHNSON, MMC, CITY CLERK
Fiscal Note: N/A