HomeMy WebLinkAbout01112010 City Council Minutes City of Seward, Alaska City Council Minutes
January 11, 2010 Volume 38, Page 215
CALL TO ORDER
The January 11, 2010 regular meeting of the Seward City Council was called to order at 7:00
p.m. by Mayor Willard E. Dunham.
OPENING CEREMONY
Police Lieutenant Louis Tiner led the pledge of allegiance to the flag.
ROLL CALL
There were present:
Willard E. Dunham presiding and Linda Amberg
Jean Bardarson Tom Smith
Marianna Keil Vanta Shafer
comprising a quorum of the Council; and
Phillip Oates, City Manager
Jean Lewis, City Clerk
Cheryl Brooking, City Attorney
ABSENT — Bob Valdatta
CITIZENS' COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED
FOR PUBLIC HEARING
Jolund Luther wanted to let everyone know that the Sacred Heart Church would be
celebrating their centennial 100 years of that organization and would be putting on events this year.
Tim McDonald continued his view of Resurrection Bay being a primary fish habitat. He
cited salmon, hooligan, and halibut and noted a 300 pound halibut was caught off the SMIC area. He
wanted to rebuild the seiner fleet and allow them to harvest the pink and dog salmon. McDonald
mentioned a pollock nursery out the bay, and all the whales that fed in the area. He stated fishing
was a primary base industry for our area.
Paul Rupple spoke on behalf of the Seward Community Foundation. He was soliciting grant
applications from non - profits who were doing activities in the community. He reported the
Foundation had awarded $10,000 in grants in 2009 from their growing endowment, and anticipated
the same being offered for 2010. Rupple said the Seward Community Foundation would be hosting
the 2 annual non - profit organization event at the Alaska Sealife Center which would have a
presentation given on successful grant writing strategies.
Jim Cork wanted council to know Godwin Glacier Tours was a seasonal business that did a
lot for the community. He reported their company assisted with nine rescues for the city of Seward
last year.
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January 11, 2010 Volume 38, Page 216
Liria Morell expressed her excitement about the fluoride project. She did not get to vote on mod
it because she was relatively new to the community. Morell stated fluoride could be taken off the
shelves and put in the trash where it belonged, and was excited children could now get their fluoride
from their water.
Jim Herbert also supported adding fluoride in the drinking water. He thought it was a
quality of life issue and a public health issue that would also enhance bone strength for old people.
He suggested a public spigot for people who did not want to drink fluoridated water.
Michael Moriarty, spoke on behalf of improving the oral health committee, and thanked the
community for passing the advisory vote to add fluoride to the city drinking water by over 10%. He
hoped the council would move this issue forward so grants could be applied for.
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion (Keil/Amberg) Approval of Agenda and Consent Agenda
Motion Passed Unanimous
The clerk read the following approved consent agenda items:
The November 9, 2009 And The December 7, 2009 Special City Council Meeting Minutes And
The December 14, 2009 Regular City Council Meeting Minutes Were Approved.
There Was No Objection To The Liquor License Renewal For Peking Restaurant.
There Was No Objection To The Package Store Liquor License Renewal For Gateway Liquor
And Food Mart.
Per Seward City Code 230330, Approved Retaining The Port And Commerce Advisory Board
In Existence Through January 2011.
Resolution 2010 -003 Amending Rule 16 Of The City Council Rules Of Procedure To Reflect
Changes Made To The Evaluation Process For The City Manager, City Attorney And City
Clerk.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Proclamations and Awards
A Public Thank You Was Read To The Seward Arts Council And Accepted By
Member Jolund Luther, For Sponsoring The New Years Eve Ball.
Borough Assembly Report. Assembly Member Sue McClure stated the January 5, 2010
meeting was exciting. She noted that Tito Kagimoto of Hope, Alaska had passed away. An
City of Seward, Alaska City Council Minutes
January 11, 2010 Volume 38, Page 217
ordinance was approved removing the Kenai Peninsula Borough from the coastal climate change
r.. compact with a 6 to 3 vote with the coastal communities voting on the losing side. Another
ordinance was postponed until February that would have mid -term vacancies be appointed by the
mayor instead of the local service areas.
City Manager's Report. City Manager Phillip Oates stated the light rescue fire vehicle
was received last week, along with the two electric vehicles for Parks & Rec. and the city was
looking forward to testing and meeting fuel costs.
➢ Forest Acres Levee Road. All acquisitions were complete except for the Gillespie property
which bordered the Seward highway. Oates stated multiple options were given and he may
need to bring this acquisition to the council for the taking as an eminent domain to protect
the levee funding and project. The property was appraised and a peer review was complete.
A public use right of way was needed for the project and bisected the property.
➢ Purchases between $10,000- 50,000. CRW Engineering was approved to provide additional
preliminary design and agency coordination for the design grant application of drainage
improvements in the Dairy Hill area. This additional work was requested in conjunction with
the Hazard Mitigation Grant Application submitted to Homeland Security and was required
to be completed by January 11, 2010. The grant application was requesting $275,000 to
upsize culverts and mitigate the current haphazard drainage on the North end of Vista
Avenue, Vista Avenue/Mill Street, and Mill Street/Chamberlain Road. CRW was chosen to
complete this work because of their initial help developing the scope of the project, previous
survey work they had completed in the area, and their experience with the goals and
objectives needed to achieve the protection of public and private property in the area.
➢ The University of Alaska Fairbanks had signed a contract with Marinette Marine Corporation
to build the much anticipated Arctic Region Research Vessel with an award price of
$123,179,168. The National Science Foundation had agreed with UAF to name the new
vessel the, SIKULIAQ. SIKULIAQ was an Inupiat word that refers to "young ice ", "new
ice" or "thin ice." The chancellor of the University of Alaska, Fairbanks had communicated
their intention by letter, to choose Seward as the new ships home port. $2 million was
needed to secure the ship and put in dolphins for moorage. Oates stated this was key for
future research and to establish Seward as the northernmost research city.
➢ Lawsuit by Alaska Community Action on Toxics and Alaska Chapter of the Sierra Club vs.
Alaska Railroad Corporation and Aurora Energy Services. The City Manager issued the
following statement in response to a press inquiry regarding the coal facility:
"In the three years that the Alaska Railroad and Aurora Energy Services have controlled the coal
delivery facility in Seward, extensive capital and operational improvements have improved
environmental safeguards and increased the efficiency of the facility. The Alaska Railroad and
Aurora Energy Services work closely with the City of Seward and the public in a continuing effort to
address concerns, improve best practices, and protect the environment. The facility is important to
Seward for many reasons that include year -round jobs, continued operation of the railroad to Seward
in the winter, and the presence of a major port at Resurrection Bay for exporting Alaska's products
and resources. The facility is equally important to the economy of Alaska and the financial health of
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January 11, 2010 Volume 38, Page 218
the Alaska Railroad and Aurora Energy Services. As the City Manager, I am satisfied with the
ongoing efforts of the Alaska Railroad and Aurora Energy Services to protect the environment and
meet the requirements of state and federal environmental laws and regulations."
➢ Storm Surge Disaster. Personnel from Homeland Security and Emergency Management
were in Seward for two days offering assistance with worksheets and paperwork. The three
areas needing restoration was; Lowell Pt. Road, the shoreline and protective barrier of the
Alaska Sealife Center and the bikepath.
Oates also stated the Seward Community Library was recognized as a STAR Library by the
LJ Index of Public Library Service, and the electric department was in their new location at the
Railroad Annex Building at 501 Railway, and the city was working with the Alaska Railroad on a
dredging project for the cruise ship basin and approaches. The funding for this project was paid with
a $4.5 million grant using state cruise ship head tax funds.
City Attorney Report. City Attorney Cheryl Brooking gave her report and general overview for
November and December, 2009.
Mayoral Report. Mayor Willard Dunham stated his report was in writing but told the
council of many legislative bills, including GRETC that needed to be watched. He informed the
public of the National League of Cities Community Award of Excellence for the Seward Mountain
Haven and thought Seward should try for an unprecedented 4 All- America City Award now.
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Other Reports, Announcements and Presentations
PACAB Annual Report Given by Member Paul Tougas. Tougas stated the three major
topics discussed in the past year were the north harbor development, south harbor development with
tailings and ideas, and code changes for the small boat harbor. They would be starting the New Year
looking at possible code changes.
A Report Was Given By Jeff Mow On The Planning Of The NPS Visitor Center And
Administrative Facility Downtown. Portico was looking at the project again for function.
Without the conference center the project was at about $12 million dollars using the site of the
Legends building and reusing the Solly' s building. The Harbor Dinner Club and Mai home would be
demolished and made available for parking.
Alaska Sealife Center Director Ian Dutton Gave A Powerpoint Presentation And
Report On His Recent Trip To Yeosu City, Korea.
PUBLIC HEARINGS
Resolution 2010 -002, Authorizing The City Manager To Enter Into Amendment No. 4 To The
Ground Lease With Seward Ship's Drydock, Inc. For The Real Property Described As Lots 1-
A And 3, Block 7, Fourth Of July Creek Subdivision, Seward Marine Industrial Center,
Seward Ship's Drydock Replat, According To Plat 2002 -22, Seward Recording District , Third
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January 11, 2010 Volume 38, Page 219
Judicial District, State Of Alaska.
L ..
Motion (Bardarson/Keil) Approve Resolution 2010 - 002
Oates stated the current ground lease was entered in 2005 for a term until June 30, 2009,
subject to possible extensions not to exceed 2029. Seward Ships Drydock, Inc. (SSD) requested an
amendment to the ground lease for possible extensions through June 30, 2040. Oates felt these
extensions were appropriate because of the acceptance of MARAD grant funds for capital
improvements to the City's syncrolift to authorize an extension beyond 2029. Oates stated there
were advantages for SSD and the City. The city would receive $1 million dollars of improvements
to the syncrolift and this would make SSD more competitive for financing, sale or sub - leasing.
There were no changes to the current lease, only the opportunity to extend to 2040. Oates stated that
changes were proposed by both sides, but were not agreeable. He thought this extension should
protect the facility and jobs.
Notice of the public hearing being posted and published as required by law was noted and the public
hearing was opened.
Tim McDonald had read every word of the lease and the maintenance and operating
agreement. He thought other than the Alaska Sealife Center, this facility was the most important
asset. He was concerned that environmental aspects had not been solved, and spoke of liability and
insurance concerns. McDonald reminded council that the community voted not to sell the facility,
but two years later, the city did it anyway. He thought there should be penalties for default and that
the facility was originally suppose to be open for other users. He recommended the council not
renew the lease and give someone else a chance to run the facility.
Jim Pruitt stated the maintenance on the syncrolift system upgrades were $318,000. The
cathotic protection system upgrades came to $302,000, SMIC pile recoating was $41,000, for a total
cost of upgrades of $661,000 with $75,000 for insurance. He reminded he paid the city $44,000 for
this lease and that SSD payroll was $1.9 million dollars which had been consistent for years. Pruitt
also mentioned that the total spent to other vendors from this facility was five million each year with
four million spent in 2009 alone.
The public hearing was closed.
Oates clarified that the city must approve any sale of the lease and that city assets at the
facility could not be sold. He stated interactions and cooperation had improved with SSD, and
reminded the council there still was the maintenance and operating agreement in the toolkit.
City Attorney Cheryl Brooking reported this solely extended the lease beyond 2029 with
the ability to extend to 2040.
Oates and Brooking both felt the city's legal position in earlier arbitration had been correct.
Motion Passed Unanimous
City of Seward, Alaska City Council Minutes
January 11, 2010 Volume 38, Page 220
UNFINISHED BUSINESS
Motion for Reconsideration
Motion (Amberg/Keil) Reconsider Resolution 2009 -137
Council Member Amberg felt the issues she had for reconsidering were resolved in the work
session.
Motion Failed Unanimous
Resolution 2009 -137, Authorizing The City Manager To Enter Into A "Second Amended And
Restated Agreement For Lease Of Tract 2A, Waterfront Tracts, And The Lease Operation
And Maintenance Of The Alaska Sealife Center" With The Seward Association For The
Advancement Of Marine Science. (Stays approved as previously passed on 12/14/09)
NEW BUSINESS
Resolution 2010 -004, Authorizing The City Manager To Enter Into A Contract With Prosser
Dagg Construction Company And Authorizing An Amount Not To Exceed $394,651.28 For
The Completion Of The North Seward Water Storage Tank & Pumping Facility Phase I —
Water Main Intertie Project And Appropriate Funds.
Motion (Keil/Bardarson) Approve Resolution 2010 -004
Oates stated this would complete Phase I for construction of the North Seward Water Storage
Tank and pumping facility. This went to bid with Prosser Dagg Construction Company winning. To
be eligible for ARRA funding, there were strict timelines to have this contracted by January 18,
2010.
Public Works Director W.C. Casey answered that addendums were filed prior to the bid
deadline.
Amendment (Bardarson/Keil) Put the correct funding code 0709 into
Section 2 of the resolution.
Amendment Passed Unanimous Consent
Main Motion Passed as Amended Unanimous
Discussion ensued on guidance to be given on the issue of adding Fluoride to the city's
drinking water.
wanted to provide information and solicit guidance for adding fluoride to the city
p g g Y
drinking water. He reminded that the October advisory vote to add fluoride to the drinking water had
passed by around 10% with 279 yes and 234 no votes. He wished to give another opportunity to
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January 11, 2010 Volume 38, Page 221
members of the community on pros and cons before seeking council guidance and mentioned some
t r.. possible options.
City Council suspended the rules by unanimous consent to have the pros and cons presented.
Public Works Director W.C. Casey, spoke against adding fluoride to the city drinking
water. He had 30 years of knowledge with the water department, had read 7 books, conducted 500
hours of research, perused 2000 documents and had spoke with various doctors and dentists. He
came to the conclusion it was not appropriate to add fluoride to the drinking water. Casey was not
against fluoride, just against community water fluoridation. He explained what he knew of fluorosis,
oral health improvements and explained water was essential to life and was not supportive in taking
people's choice away.
Casey explained the city chlorinated 465 million gallons of water annually, and disinfected
1.3 million gallons daily. If it took 150 gallons to reach the targeted age group, fluoridating that
much extra water to reach a targeted age group didn't make sense. With the complexity of the city
water system and no central place to add chemicals there would be challenges the way the system
would be set up. He felt costs could be as high as $250,000 to initiate and establish a fluoridation
system with $40- $60,000 in annual costs if federal and state mandates didn't change. Casey said
even if costs were free he wouldn't deem this addition appropriate and there was no study that stated
Seward had an oral health problem in the first place. This was administering medication and parents
should take the responsibility to medicate their children instead of government. He stated no
alternatives to improve oral health in Seward were given other than fluoridation of the drinking
water, and encouraged council to not rush into this decision.
In response to questions, Casey stated the city was not required to chlorinate its city water
and stated it was done as a disinfectant for public safety.
Maya Moriarty, who is the lead for the oral health committee, and spoke in favor of
fluoridation of the city' s drinking water and had provided a one page position paper in support of this
position. She stated the World Health Organization (WHO) did have a stand on fluoride and they
recommended it for maintaining optimal dental tissue development and dental enamel for the entire
lifespan, elderly included. The Center for Disease Control and Prevention (CDC) identified the
addition of fluoride as "one of the ten great public health achievements of the 20 century."
Moriarty introduced Troy Ritter.
Troy Ritter, Lieutenant Commander with the U.S. Public Health Service, wanted to address
the safety of this issue and wanted it noted that multiple injection points in the water system could be
a challenge. He did not think he could support a system that had 4 different injection points where
there wasn't a water storage tank between the chemical feed pump and the community. That left a
very small margin for error or unacceptable risk in his mind. Ritter noted you could build in layers
of safety for any system and that fluoride systems could be made iron -clad safe. Although Ritter was
not entirely familiar with Seward's water system he routinely built and re -built systems in Alaska
and costs to install and operate seemed to be consistent. Ritter gave typical costs for outflow
saturators, chemical pumps, flow switches, testing devices, labor, training and installation of a small
village in Alaska as being just under $5,000. He knew there were questions that could make the cost
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January 11, 2010 Volume 38, Page 222
higher for Seward, but didn't see it being a lot more Operational costs for a typical small water
system would cost about $2,500 for a 100 million gallon tank. Ritter remarked that water usage in
Seward appeared four times the national average for the size of the population, and wondered if
water wasn't being lost through pipe leakage.
City Council gave direction to contract with a qualified and unbiased professional engineering
firm to determine the impacts, requirements, and costs before implementation, with the intent
to add fluoride to the drinking water in the future. The needs of the water department must
be balanced to consider and pursue grants and other funding sources available to subsidize
costs.
INFORMATIONAL ITEMS AND REPORTS (No action required)
-- November 20, 2009 letter to DOC Commissioner Schmidt re: SCCC.
- - November 27, 2009 letter re: support for a 1998 resolution in favor of the Kenai
Mountains/Turnagain Arm National Heritage Area and attached law.
-- January 7, 2010 letters to Representative Young, Senators Begich & Murkowski.
- - December 21, 2009 letter sent to Division of Oil and Gas and Commissioner of DNR.
COUNCIL COMMENTS
Shafer stated she was tickled for the Arctic Research Vessel (ARRV) and felt very fortunate
to have this ship coming to Seward. She stated not only other city' s in Alaska wanted to homeport
this ship but other states as well.
Smith stated this vessel had been a career for many people and should be quite a vessel. He
hoped everyone had a good holiday.
Keil wanted a good engineering study for the fluoride issue and did not wish to embark on a
project if the costs were out of line. Her family had enjoyed the New Years Party and thanked the
Arts Council for putting it on.
Bardarson was also thrilled about having the ARRV homeported in Seward.
Dunham notified that University President Hamilton would be at the Kenai Community
College soon, and if any council members appeared, to thank them for their support in homeporting
the ship. He stated it was time to begin upgrading the Seward Marine Center to get ready for it. He
also notified council that Governor Parnell would be in Anchorage speaking at the World Trade
Center, congratulated Chamber of Commerce Director Laura Cloward on her accomplishments and
leadership, and welcomed new Chamber personnel Monica Cooper.
Oates wanted to extend a thank you to Seward Marine Center Director Dan Oliver and past
Director Tom Smith for their support and work securing the ARRV. He noted this vessel would not
be built if it hadn't been for those individuals.
CITIZENS' COMMENTS
City of Seward, Alaska City Council Minutes
January 11, 2010 Volume 38, Page 223
John French spoke about natural fluoride found in drinking water, managing a water system
and regulatory thresholds. He said it was difficult to remove just fluoride because other things would
be removed also. He agreed the ARRV was a great accomplishment, but didn't want the city to
assume, but remain continuously diligent to secure its place in Seward.
Jim Herbert thanked the council for advancing the fluoride issue forward. He mentioned
that chlorine and fluoride both served a purpose.
Maya Moriarty stated there were some places that didn't have good water systems. Some
places used salt. She clarified that some internet research was inflammatory and could not be
validated, and reminded that John French had given a good prior presentation on poisons and
dosages.
Mike Moriarty stated 72.5 percent of the population of the United States was on fluoridated
water, and it was a safe effective way to prevent disease. He said it didn't only benefit the young, but
all ages of the population.
COUNCIL AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS - None
EXECUTIVE SESSION
ism Motion (Bardarson/Keil) Go Into Executive Session To Conduct The
City Manager Evaluation
Motion Passed Unanimous
Went into executive session at 10:10 p.m.
Came out of executive session at 10:30 p.m.
ADJOURNMENT
The meeting was adjourned at 10:30 p.m.
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Ci 1 Clerk Mayor
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