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Borough administration withdraws Rollins Way improvement appropriation after bids exceed budget; assessments would have nearly doubled for property owners
Summary
An ordinance to appropriate $150,029.03 for the Rollins Way Road Improvement Assessment District was withdrawn after the road project came in overbid and the road service area declined to cover additional costs, leaving the increased assessment burden to property owners.
The Kenai Peninsula Borough administration asked the finance committee to withdraw ordinance 2024-19-38, which would have appropriated $150,029.03 to the special assessment fund for the Rollins Way Road Improvement Assessment District.
"This road project came in overbid. The price was a lot higher," a staff member identified as Adena said. She reported the road service area declined to fund the cost increase, so the additional cost was passed to property owners and "almost doubled the amount of their assessment that was gonna be on there." Adena added that property owners had not submitted required prepayments in time and the project sponsor had not pursued continuing the project.
Assemblymember Cox asked whether the $150,029.03 represented the additional amount or the original amount; staff said it was the extra cost. The administration requested withdrawal of the ordinance; no vote or further action occurred at the June 17 meeting.
The withdrawal leaves the Rollins Way project without the proposed borough appropriation and with unresolved financing if property owners do not provide the prepayments that had been expected.
