The Kodiak Island Borough Assembly
continued discussion of, and possible adjustments to, the fiscal year 2010
budget at its work session Thursday night. The assembly specifically concerned
itself with how to avoid a property tax increase of a quarter-mill. The money
from the increase would go to pay down bonds approved by voters for the new
swimming pool in 2007.
Borough Finance Director Karl Short pointed
out that in November 2004, voters passed a proposition authorizing the issue of
a general obligation bond. It was estimated at that time that borough would
have to increase the property tax by about a one-third of a mill to pay for it.
Short explained the discrepancy and put the point-two-five mill increase in
perspective in terms of increased property taxes.
Rate 1 27 sec. "The reason
it's not the ... only be like 40 bucks a year.")
Jerrol Friend said that he's been asked repeatedly why the borough needs to
raise the mill rate. Borough Mayor Jerome Selby referred people back to the
2004 vote for the answer to that question.
Rate 2 32 sec. "We've got to
jog folks' memory ... well, you voted
Assemblywoman Pat Branson
said assembly members have likely all heard similar questions. She said it's
important that people understand the reasons behind the increase.
Rate 3 14 sec. "When you see
the headline ... bond issue and the
order to avoid increasing the mill rate, the assembly determined that it would
have to make up some 250-thousand dollars in the overall budget. After much
discussion, the assembly determined that shifting some funds, a possible
220-thousand dollars in stimulus funds and the elimination of a proposed
enforcement officer would be sufficient to accomplish that goal. Short
explained this approach in detail and how the ordinance could be done at a rate
of 10.5 mills, the current rate.
Rate 4 36 sec. "Increase the
revenue sharing ... 20 percent to tourism.")
The assembly will hold its
next regular meeting next Thursday, at which it will make final adjustments to
the budget and vote on the ordinance levying taxes.