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Sponsored by: Hunt <br /> fi. CITY OF SEWARD, ALASKA <br /> RESOLUTION 2012 -056 <br /> A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, <br /> ALASKA, STATING AN INTENT TO FUND $490,000 FOR THE LOWELL <br /> POINT AND SMIC LAGOONS SLUDGE REMOVAL PROJECT, SUBJECT <br /> TO RECEIVING A LOAN IN THAT AMOUNT, AUTHORIZING A LOAN <br /> APPLICATION WITH THE ALASKA CLEAN WATER FUND AND <br /> AUTHORIZING THE CITY MANAGER TO ACCEPT A LOAN OFFER <br /> FROM THE ALASKA CLEAN WATER FUND WITH PAYMENTS <br /> SUBJECT TO ANNUAL APPROPRIATION <br /> WHEREAS, throughout 2010 and 2011, M.L. Foster and associates submitted reports <br /> evaluating the health and needs of Seward's sewer system including: Seward Wastewater Evaluation, <br /> Wastewater Facilities Operations & Maintenance Plan (a permit requirement) and a SMIC Lagoon <br /> Sludge Survey used to assess the health of the lagoon; and <br /> WHEREAS, the Lowell Point lagoon sludge has not been removed in 18 years; and <br /> WHEREAS, the SMIC lagoon sludge has not been removed in its 24 -year life; and <br /> imam WHEREAS, removal and disposal of sludge are necessary for good housekeeping, will <br /> reduce energy consumption, free up displaced volume, may result in improved performance during <br /> peak organic loadings from transient populations and for protection of uninterrupted operation of the <br /> nearby prison; and <br /> WHEREAS, the Wastewater Department does not have adequate cash reserves in its <br /> wastewater fund to finance the project, however, according to the most recent Financial Capacity <br /> Assessment it has adequate cash flow in this fund to cover its repayment obligations; and <br /> WHEREAS, the City of Seward obtained the necessary financial assistance to complete <br /> these projects by way of obtaining a loan from the State of Alaska, Department of Environmental <br /> Conservation's Alaska Clean Water Fund; and <br /> WHEREAS, the loan money may be used to provide contractual services, engineering, <br /> design, planning, permitting, project support and construction management; and <br /> WHEREAS, accepting the total loan amount of $490,000 from the Department of <br /> Environmental Conservation Clean Water Fund is in the best interest of the city by allowing the city <br /> to utilize the funds to invest in critical infrastructure, follow regulations set forth by the Alaska <br /> Department of Environmental Conservation and remain in compliance with the current permit; and <br /> WHEREAS, the Lowell Point Lagoon will be out of compliance with the current permit if <br />