CITY OF HOMER

Port/Harbor/City Manger

HOMER, ALASKA

RESOLUTION 04-44

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA SUPPORTING RAISING THE TOTAL FUNDING FOR THE SECTION 107 NATIONAL PROGRAM TO $56 MILLION AND MOVING THE MAXIMUM PER PROJECT LIMIT TO $10 MILLION.

WHEREAS, The U. S. Army Corps of Engineers (USACE) operates a series of Continuing Authority Programs (CAP) to fund small-scale water resource and environmental restoration projects; and

WHEREAS, CAPs are designed to provide authority to plan, design and construct small projects that are limited in scope and complexity, the chief advantage being the Chief of the Engineers has authority to plan and build certain projects without the specific Congressional authority found in larger, more complex projects; and

WHEREAS, Section 107 of the 1960 River and Harbor Act (PL 86-645) is an example of a CAP that is critical to future harbor projects in Alaska; and

WHEREAS, The current levels of $35 million for the total national program limit and $4 million maximum per project have not been adjusted in over 17 years and have not been fully funded in recent years ($9 million in FY2003 and $9 million in FY2004); and

WHEREAS, The cost to complete 107 projects has risen approximately 60% since 1986 according to the Army Corps of Engineers (ACOE) cost index for navigation projects (EM1110-2-1304) meaning that in order to maintain the purchasing power of $4 million in 1986 dollars, at least $7 million must be spent today; and

WHEREAS, The USACE states in their Engineering Regulation 1105-2-100 that "This mission works best when the program is used to solve the problems for which it was designed, leaving complex projects to the specifically authorized program and very small projects to other Federal or non-Federal entities"; and

WHEREAS, Most USACE navigation projects in Alaska are simple and limited in their scope, yet most of them are required to be approved through specifically authorized USACE procedures reserved for more complex projects and must await congressional funding through the Water Resources Development Act process, usually spanning several years.

Page Two

Resolution 04-44

City of Homer

NOW, THEREFORE, BE IT RESOLVED that the Homer City Council hereby supports raising the total funding for the Section 107 national program to $56 million and moving the maximum per project limit to $10 million; and

BE IT FURTHER RESOLVED, that the Homer City Council acknowledges that all but four of the most recent USACE construction projects in Alaska would be less than this proposed amount; and

BE IT FURTHER RESOLVED, that the Homer City Council urges the legislature to support continued improvement to navigational improvements in Alaska by increasing the total funding authorized by congress in PL 86-645 and that copies of this Resolution be sent to Alaska's US Congressional Delegation, Governor Murkowski, Senator Stevens and Representative Seaton.

PASSED AND ADOPTED by the Homer City Council this 10th day of May, 2004.

CITY OF HOMER

ATTEST: JACK CUSHING, MAYOR

MARY L. CALHOUN, CMC, CITY CLERK

Fiscal Note: Not applicable.