CITY OF HOMER

HOMER, ALASKA

City Manager

ORDINANCE 06-60(S)

AN ORDINANCE OF THE HOMER CITY COUNCIL AMENDING THE FY 2006 OPERATING BUDGET BY APPROPRIATING $20,000 TO THE PUBLIC WORKS RESERVES ACCOUNT FOR THE PURPOSE OF ADDRESSING SHORT TERM AND IMMEDIATE MAINTENANCE AND REPAIRS ON THE OCEAN DRIVE LOOP EROSION CONTROL PROJECT (SEAWALL); AND STIPULATING THAT A PROPORTIONATE SHARE OF THESE FUNDS SHALL BE REPAID BY THE BENEFITTING PROPERTY OWNERS IN THE ASSESSMENT DISTRICT THROUGH SPECIAL SERVICE AREA PROPERTY TAXES OR OTHER PAYMENT METHOD APPROVED BY THE CITY COUNCIL.

WHEREAS, The City of Homer assisted property owners in their efforts to control erosion on their properties by providing public financing for construction of the seawall and construction project management services; and

WHEREAS, There is presently no funding source, property owners financing, City budget appropriation, or plan in place to provide for maintenance and repairs of the seawall; and

WHEREAS, Homer is rapidly entering the fall and winter storm season when damage to the seawall is most likely to occur; and

WHEREAS, There has been too much time, effort, and resources expended on the seawall to allow it to fail due to neglect and the fact that the City and the property owners have so far been unable to resolve legal disputes and points of contention; and

WHEREAS, Ordinance 06-53, if adopted, will provide a mechanism whereby property owners can pay their proportionate share of the costs of maintenance, repair, improvements, and insurance but such revenues will not be received by the City until late in 2007; and

WHEREAS, The City Council is willing to assist the property owners by providing an “up-front” appropriation for short-term maintenance and repair provided it has assurances that the benefiting property owners will repay their proportionate share of this appropriation with interest.

NOW THEREFORE THE CITY OF HOMER ORDAINS:

Page Two

Ordinance 06-60(S)

City of Homer

Section 1: The City Council hereby amends the FY 2006 Operating budget by appropriating $20,000 from the General Fund Reserves, Account Number 100.000.1000 to the Public Works Reserves, Account Number 156.369.4992 for the purpose of providing for immediate and short- term maintenance and repair on the Ocean Drive Loop Erosion Control Project (Seawall).

Section 2. A proportionate share of the funds appropriated in Section 1 shall be repaid by the benefiting property owners in the assessment district through special service area property taxes authorized by Ordinance 06-53 or other method approved by the Council.

Section 3: This ordinance is a budget amendment only. It is not of a permanent nature and is a non-code ordinance.

PASSED AND ENACTED by the Homer City Council this _____ day of ______, 2006.

CITY OF HOMER

JAMES C. HORNADAY, MAYOR

ATTEST:

MARY L. CALHOUN, CMC, CITY CLERK

Introduction:

Public Hearing:

Second Reading:

Effective Date:

Ayes:

Noes:

Abstain:

Absent:

Reviewed and approved as to form and content:

Walt Wrede, City Manager Gordon Tans, City Attorney

Date: Date:

Fiscal Note: $20,000 to be repaid in part by property owners