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Assembly approves nearly $5 million appropriation tied to South Tongass fire rebuild and equipment; loan and insurance timing drew questions

2900948 · April 7, 2025
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Summary

Ordinance 2062, appropriating about $4.99 million for South Tongass service area recovery after last year’s fire — including insurance reimbursements, an interfund loan and a small federal grant — passed after prolonged auditor and assembly questioning about insurance timing and loan mechanics.

The Ketchikan Gateway Borough Assembly approved Ordinance 2,062 on April 7, appropriating $4,990,297 to support recovery from the April fire that destroyed the South Tongass fire station and equipment. The ordinance packages insurance reimbursements, a previously approved interfund loan from the general fund, and a state homeland security grant to replenish equipment and support rebuild costs.

What passed: the appropriation authorizes use of insurance proceeds to reimburse constituent accounts for contents and vehicle replacement, recognizes a $1.4 million interfund loan from the general fund to the South Tongass service area (the loan had been approved earlier in the year to secure timely purchases, assembly documentation shows) and includes $55,000 tied to a state homeland security grant for portable radios and $100,000 from the South Tongass service area for an aerial ladder upfit.

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