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February 10, 2014
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City Council Chambers Beginning at 7 :00 p.m.
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1963 1965 2005 The City of Seward, Alaska
bwdrtri CITY COUNCIL MEETING AGENDA
All-America fitly
{Please silence all cellular phones and pagers during the meeting}
February 10, 2014 7:00 p.m. Council Chambers
Jean Bardarson
1.
CALL TO ORDER
Mayor
2.
PLEDGE OF ALLEGIANCE
Term Expires 2015
3.
ROLL CALL
4.
CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE
Marianna Keil
ITEMS SCHEDULED FOR PUBLIC HEARING [Those who
Vice Mayor
have signed in will be given the first opportunity to speak. Time is
Term Expires 2014
limited to 3 minutes per speaker and 36 minutes total time ,for this
agenda item.]
Vacant
5.
APPROVAL OF AGENDA AND CONSENT AGENDA
Council Member
[Approval ol'Consent Agenda passes all routine items indicated by
Term Expires 2015
asterisk Consent Agenda items are not considered separately
unless a council member so requests. In the event of such a request,
Ristine Casagranda
the item is returned to the Regular Agenda]
Council Member
Term Expires 2014
6.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Christy Terry
A. Proclamations and Awards
Council Member
Term Expires 2015
1. Proclamation for Polar Bear Jump Off ...................... Pg. 4
David Squires
B. Borough Assembly Report
Council Member
C. City Manager's Report
Term Expires 2015
D. City Attorney's Report
E. Other Reports and Presentations
Dale Butts
Council Member
1. Presentation on Seaview Community Service's Domestic Violence
Term Expires 2014
Sexual Assault Program by Coordinator Dawn McDevitt.
James Hunt
City Manager
Johanna Kinney
City Clerk
Cheryl Brooking
City Attorney
City of Seward, Alaska Council Agenda
February 10, 20114 Page 1
7. PUBLIC HEARINGS — None
8. UNFINISHED BUSINESS — None
9. NEW BUSINESS
A. Resolutions
*1. Resolution 2014 -013, Retroactively Amending The 2013 Budget To Record
Expenditures Of $325,900.14 Paid By The State Of Alaska On Behalf Of The City Toward The
City's Public Employees Retirement System Liability For The Period July Through December,
2013 ........................................................................... ............................Pg. 5
2. Resolution 2014 -014, Authorizing Purchase Of A Ford F350 4x4 Truck From
Kendall Ford To Replace A 2001 Chevy 3500 4x4 Truck With Crane At The Harbor, In An
Amount Not To Exceed $28,500 Utilizing The State Of Alaska's Procurement Contract, And
Waiving Competitive Procurement Procedures ....................... ............................Pg. 12
3. Resolution 2014 -015, Accepting An Amendment To Grant Number 7910011
Through Alaska Energy Authority To Upgrade And Update Generation Facilities At Fort
Raymond Generation Plant For $2,000,000, And Appropriating Funds .......................Pg. 17
4. Resolution 2014 -016, Retroactively Amending The 2013 Budget And Appropriating
An Additional $84,087 In Sales Tax Revenue To The Hospital Enterprise Fund ............ Pg. 25
*5. Resolution 2014 -017, Authorizing The City To Provide Certain Administrative And
Support Services On Behalf Of The Seward Community Health Center ......................Pg. 27
6. Resolution 2014 -018, Approving A Co- Applicant Agreement Between The Seward
Community Health Center, Inc. And The City Of Seward ........... ............................Pg. 29
7. Resolution 2014 -019, Approving A Transfer Of Funds In The Amount Of $500,000
From The Water Enterprise Fund To The Wastewater Enterprise Fund For The Purpose Of
Conducting Mitigation Efforts At Lowell Point Sewage Lagoon, And Appropriating
Funds......................................................................... ............................Pg. 42
8. Resolution 2014 -020, Approving An Amendment To The Employment Agreement
With The City Manager, And Appropriating Funds ................... ............................Pg. 46
*9. Resolution 2014 -021, Amending The City Council Rules Of Procedure Rule 26,
Order Of Business And Rule 27, Procedures For A Public Hearing ............................Pg. 49
B. Other New Business Items
* 1. Non- objection to the liquor license renewal for Terry's Fish & Chips and the Seward
Alehouse.................................................................. ............................... P g. 56
*2. Issue letter of support for the recertification of the Prince William Sound Regional
Citizens' Advisory Council ............................................... ............................Pg. 66
City of Seward, Alaska Council Agenda
February 10, 2014 Page 2
10. INFORMATIONAL ITEMS AND REPORTS (No Action Required)
A. Regional Citizens' Advisory Council Report by City of Seward Representative Jim
Herbert............................................ ....................................................... Pg. 69
B. Certificate of Congratulations awarded to Deputy City Clerk Brenda Ballou on
earning the designation of Certified Municipal Clerk (CMQ from the International Institute oj'
MunicipalClerks ......................................................................................... Pg. 72
11. COUNCIL COMMENTS
12. CITIZEN COMMENTS
13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
14. EXECUTIVE SESSION
A. Go into Executive Session to discuss the City Clerk's Annual Evaluation,
15. ADJOURNMENT
City of Seward, Alaska Council Agenda
February 10, 2014 Page 3
PROCLAMATION
BEAR
PFS7711AL
Seward, Alaska
a 2014
WHEREAS, the Polar Bear Jump -Off Festival started in Seward in 1986 and is a weekend -long
festival that includes silent auctions, turkey bowling, a seafood buffet, and a parade, as well as plunges
into the near - freezing waters of Resurrection Bay; and
WHEREAS, the mission for this annual event is to raise pledges which help provide cancer patients
and their families with information and support, fund research that leads to improved treatments,
provide education about cancer prevention and early detection, and help ensure that everyone has access
to lifesaving cancer screenings support for eliminating cancer in our society; and,
WHEREAS, the funds raised by this event assist the Great West Division of the American Cancer
Society, and the funds raised through the other weekend events directly benefit Kenai Peninsula Children
with cancer; and,
WHEREAS, the entire event is run completely by volunteers and Jonathan Gage became the
organizer of the event this year, taking over for Marilyn "Polar Bear" Sutherland who has been
organizing the event since 1988; and
WHEREAS, the hard work and dedication of Jonathan Gage and all the volunteers will help ensure
that more people survive cancer so they can celebrate another birthday.
NOW, THEREFORE, I, Jean Bardarson, Mayor of the City of Seward, Alaska do hereby proclaim
Saturday, January 18, 2014 as the 29th Annual Polar Bear Jump -Off at Seward's Small Boat Harbor, and I
do commend all of the volunteers, supporters, and jumpers who participated in the festival.
DATED THIS 10TH DAY OF FEBRUARY, 2014
t
l.^
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -013
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RETROACTIVELY AMENDING THE 2013 BUDGET TO
RECORD EXPENDITURES OF $325,900.14 PAID BY THE STATE OF
ALASKA ON BEHALF OF THE CITY TOWARD THE CITY'S PUBLIC
EMPLOYEES RETIREMENT SYSTEM LIABILITY FOR THE PERIOD
JULY THROUGH DECEMBER, 2013
WHEREAS, in accordance with the 2012 Alaska State Legislature's passage of House
Bill 284, the State of Alaska Department of Administration, Division of Retirement & Benefits
( "DRB ") contributed $363,319.84 on behalf of the City of Seward from January through June,
2013 and $325,900.14 from July through December, 2013, for a total contribution of
$689,219.98 on the City of Seward's behalf, reflecting the 13.84% difference between the
actuarially required contribution rate of 35.84% as adopted by the Alaska Retirement
Management Boardl and the 22% employer "capped" rate established by SB53; and
WHEREAS, this July through December, 2013 contribution represents $184,394.28
toward pension costs and $141,505.86 toward healthcare costs, on behalf of the City; and
WHEREAS, in accordance with generally accepted accounting principles, the City must
record payments made on its behalf, and must therefore amend the 2013 Budget to account for
both the expenditures paid on behalf of the City, and the corresponding revenues paid by the
State of Alaska Department of Administration; and
WHEREAS, failure to amend the budget to reflect the State's payments on- behalf of the
City, will result in an imbalance between the actual and budgeted revenues and expenditures,
giving the appearance of revenues and expenditures exceeding the annual budget as approved by
the Seward City Council.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
1 The ARC reflects normal cost rate of 11.68% plus past service cost rate of 24.16 %, and is further
expressed as pension costs of 15.75 %, healthcare costs of 20.09 %, and DCR normal cost of 3.01 %.
Is
CITY OF SEWARD, ALASKA
RESOLUTION 2014-013
Section 1. The 2013 Operating Budget shall be amended to appropriate $325,900.14
from the State grant revenues accounts x01 -0000-4350-0150 to various fund /department expense
accounts x01 -XXYX-5060 allocated on a pro-rata basis, as follows: General Fund total:
$279,506.41; Harbor Fund total: $13,286.60; Electric Fund total: $6,620.61; Water Fund total:
$15,504.74; Wastewater Fund total: $10,981.78.
Section 2. This resolution shall be retroactive to December, 2013.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th
day of February, 2014,
AYES:
NOES:
ABSENT:
ABSTAIN:
VACANT:
ATTEST:
Johanna Kinney, CMG
City Clerk
(City Seal)
FS
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
COUNCIL AGENDA STATEMENT
Meeting Date: January 27, 2014
Through: James Hunt, City Manager
From: Kristin Erchinger, Finance Director
Agenda Item: 2013 Budget Amendment appropriating State PERS on-behalf
contributions of $325,900.14 for July through December 2013
BACKGROUND & JUSTIFICATION:
The 2012 State legislature passed House Bill 284, appropriating $307,302,392 directly to PERS
on behalf of Alaska municipalities, to help offset retirement liability costs to local taxpayers.
The City of Seward's portion of this appropriation (for the period January I through June 30,
2013) is $363,319.84, and for July through December 31, 2013 is $325,900.14. This amount is
being paid directly to the City's PERS account with the State of Alaska Division of Retirement &
Benefits. While the funds did not come directly through the City, we are nonetheless required to
account for the State's contribution as both a revenue and an expense/expenditure on the City's
financial statements.
In 2008, Senate Bill 125 was passed, capping the annual PERS contribution rates for employers
at 22%, and creating a cost-sharing plan in which all employers pay the same employer
contribution rate. This was a departure from the previous plan, in which every employer was
assigned a different employer cost rate, depending on their individual experience.
The attached spreadsheet lists the PERS employer contribution rates as established by the Alaska
Retirement Management Board, itemizing the portion of the overall rate covered by the State of
Alaska on-behalf of municipal employers, as well as a history of the amount paid by the State on
behalf of the City of Seward since 2009. Municipal governments in Alaska have benefited
significantly by the State's coverage of PERS costs in excess of 22%. However, it is important
to note that the legislature may, at any time, modify the amount of subsidy provided by the State
toward PERS contributions. Any future reduction in the State's current practice of covering
contribution rates exceeding 22%, will equate to equivalent additional required contributions by
the City.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here):
X
2.
Strategic Plan (document source here):
X
3.
Other (list):
7X
9,
CITY OF SEWARD
RESOLUTION 2014- u ( 3
FISCAL NOTE:
The State's contribution of $325,900.14 is considered a State grant award and is recognized as
such on the City's financial statements, with an equivalent amount recorded as retirement
expense /expenditure, allocated on a pro -rata basis, to each department's operating budget. Since
2006, the State of Alaska has contributed a total of $2,727,747 toward the City of Seward's
portion of the Public Employees Retirement System unfunded liability.
Approved by Finance Department Z4 =j
ATTORNEY REVIEW: Yes No —X
RECOMMENDATION: 2
Council approve Resolution 2014- 00 amending the 2013 Operating Budget by appropriating
$325,900.14 from State grant revenues, to various fund retirement expense accounts, on a pro -
rata basis, to accounts X01 -XXXX -5060.
w
CITY OF SEWARD - PUBLIC EMPLOYEES' RETIREMENT SYSTEM
CONTRIBUTIONS BY THE STATE OF ALASKA ON THE CITY'S BEHALF
Pension
Normal cost Past Svc cost Pension
2013 2.55% 12.90% 15.75%
2012 2.52% 12.13% 14.65%
2011 2.65% 7.33% 9.98%
2010 2.91% 7.34% 10.25%
2009 3.82% 7.09% 10.91%
2008 4.57% 4.38% 8.95%
2007
2006
2005
Total ARM Board
Healthcare
Normal cost Past Svc cost Healthcare
Adopted Rate
Normal cost
DCR
Total
ARC '
Nor
Cos
6.12%
11.26%
20.09%
3.01%
35.84%
1
5.76%
10.35%
16.11%
2.73%
33.49%
1
6.68%
11.30%
17.98%
27.96%
6.55%
10.85%
17.40%
27.65%
9.90%1
14.41%
24.31%
35.22%
1
9.91%
13.65%
23.56%
32.51%
1
'ARC - Actuarial Required Contribution Rate
Reflects only 100% of 2013 contribution, for period January through December 2013
(b) - Used to compute proportion of retirement costs associated with debt service (unfunded liability), as opposed to normal cost
Past
State rate
State contribution
Service
paid on- behalf
on behalf
Cost
of Seward
of Seward
24.164
13.84%
$ -111,126
22.48%11
11.49 %�r?5
11 1)
18.
C:\Corel Data \PERS\SEWARD_PERS_Rates.xls, 1/21/2014
0.51%
12
Past Svc
Cost as Unfunded Funding
% of Liability at Ratio on
Total Rate (b) 30Jun Valuation
RESOLUTION 2014- 01
Allocation of PERS On- Behalf Budget Adjustment
New Appropriation =
$ 325,900.14
IC)
2013
% of
Revenue
Budget
Total
Allocation
By Fund
1110
179
0.02%
$
61.09
1111
1388
0.15%
$
473.73
1120
15574
1.63%
$
5,315.46
1121
10600
1.11%
$
3,617.82
1130
10074
1.06%
$
3,438.29
1140
28612
3.00%
$
9,765.38
1150
10394
1.09%
$
3,547.51
1210
75686
7.93%
$
25,831.90
1211
21848
2.29%
$
7,456.80
1220
11775
1.23%
$
4,018.85
1250
5267
0.55%
$
1,797.65
1310
10449
1.09%
$
3,566.28
1314
5698
0.60%
$
1,944.75
1340
10904
1.14%
$
3,721.57
1350
6300
0.66%
$
2,150.21
1400
6611
0.69%
$
2,256.36
1410
3397
0.36%
$
1,159.41
1415
3356
0.35%
$
1,145.41
1420
6792
0.71%
$
2,318.13
1430
8759
0.92%
$
2,989.48
1500
14517
1.52%
$
4,954.70
1910
550758
57.68%
$
187,975.64
$ 279,506.41
401 -4001
18089
1.89%
$
6,173.84
401 -4110
2162
0.23%
$
737.90
401 -4150
2487
0.26%
$
848.82
401 -4200
3749
0.39%
$
1,279.55
401 -4360
7592
0.80%
$
2,591.18
401 -4370
4850
0.51%
$
1,655.32
$ 13,286.60
501 -5410
19398
2.03%
$
6,620.61
$ 6,620.61
701 -7400
45428
4.76%
$
15,504.74
$ 15,504.74
703 -7900
32176
3.37%
$
10,981.78
$ 10,981.78
954,869
100%
$
325,900.14
$ 325,900.14
IC)
ofRoffirb
YMP IFT
0 uA 6 ct m
ASR fo
4 p X�
Payroll
Mm
A, 4ti a"
EndIng'p ra rk
07/13/2013
14,779.32
11,341.85
26,121,17
07/27/2013
13,536.80
10,388.22
23,925.02
08/10/2013
13,838,66
10,619,95
24,458,61
08/2412013
13,890.14
10,659.42
24,549,56
09/07/2013
14,013.97
10,754,42
24,768.39
09/21/2013
13,545.29
10,394.74
23,940.03
10/05/2013
13,390.22
10,275.74
23,665.96
10/19/2013
13,847,28
10,626.50
24,473.78
11/02/2013
14,049.98
10,782.16
24,832.14
11/16/2013
13,983.76
10,731,25
24,715.01
11/30/2013
17,720.37
13,59812
31,319.09
12/14/2013
13,472.53
10,338.99
23.811.52
12/28/2013
14,325.96
10,99190
25,319.86
TOTALS FOR CITY OF SEWARD
$184,394.28 $141,505.86 $325,900.14
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014-014
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING PURCHASE OF A FORD F350 4X4 TRUCK
FROM KENDALL FORD TO REPLACE A 2001 CHEVY 3500 4X4 TRUCK
WITH CRANE AT THE HARBOR, IN AN AMOUNT NOT TO EXCEED
$28,500 UTILIZING THE STATE OF ALASKA'S PROCUREMENT
CONTRACT, AND WAIVING COMPETITIVE PROCUREMENT
PROCEDURES
WHEREAS, the Harbor Department's flatbed w/crane is 13 years old with more than
108,000 miles and it requires frequent maintenance to remain in-service; and
WHEREAS, the Motor Pool Fund includes funding to replace this vehicle, as approved in
the 2014 budget; and
WHEREAS, this vehicle with crane is needed for the Seward Harbor's used oil collection
and disposal program; and
WHEREAS, the vehicle is used to tow a 1000 gallon tanker needed for collecting,
processing and delivering approximately 25,000 gallons of used oil annually; and
WHEREAS, the old truck will be placed in the next surplus sale; and
WHEREAS, Seward City Code 6.10.120(B) exempts from competitive procurement
requirements/purchases which utilize competitive bids obtained by other governmental units, and the
Harbor Department is purchasing this vehicle utilizing the State of Alaska's purchasing contract.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is hereby authorized to purchase a Ford F350 4X4 from Kendall
Ford in an amount not to exceed $28,500.00, with funding to come from the Motor Pool Internal
Service Fund, as approved in the 2014 Budget.
Section 2. The Seward City Council hereby finds that it is in the public interest to exempt the
purchase of this truck from competitive procurement requirements, as the City is utilizing the State
of Alaska's purchasing contract for this purchase.
Section 3.2001 Chevy Flatbed w/crane number 455 is declared surplus to the City's needs
and can be sold to the public.
NC)"
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -014
Section 4. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of
February, 2014.
AYES:
NOES:
ABSENT:
ABSTAIN:
VACANT:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
Agenda Statement
Meeting Date: February 10, 2012
To: City Council
Through: City Manager Jim Hunt
From: Norman Regis, Deputy Harbormaster
Agenda Item: Purchase of new Vehicle to replace vehicle number 455
BACKGROUND & JUSTIFICATION:
The Harbor Department finds the need to replace vehicle 455, one of five harbor vehicles. The
replacement plan for harbor vehicles is based upon age and wear. Unit 445 has been in the shop most
recently to replace front CV joints, wheel bearings, front main oil seal, transmission issues, fuel
pump, hood, and door issues. It hauls the City's 1000 gallon oil tanker which is used for pumping out
the six used oil sites, pumping oil/ picking up drums of oil from vessels in the harbor, transporting
the oil to SMIC then transporting the processed oil to 4 City buildings for heat, saving the City funds
in heating fuel, and loading and unloading containment boom. This vehicle replacement was
approved in the 2014 budget in Resolution 2013 -081 and the Capital Improvement Plan Resolution
2013 -090. The current oil truck has 108,353 miles.
Harbor staff recommends the purchase of a Class 164XC 4X4 Extended Cab Chassis using the State
bidding list. According to SCC 6.10.120.B "The City may utilize competitive bids obtained by other
governmental units." The listed price for plain chassis extended cab truck is $28,500.00.
Personnel will then get competitive quotes to add the flatbed, crane and hardware to the rig. The
harbor will then notify the council through the City Manager of the total expenditure.
The harbor has completed this process before and has saved the City money by doing the leg -work
on adding equipment and accessories. $60,000.00 has been budgeted to replace this vehicle and
crane; the harbor will come in under the budgeted amount for the complete vehicle.
INTENT:
To purchase a reliable replacement vehicle for towing a 1000 gallon oil tanker safely, for a vehicle
with over a 108,000 miles with maintenance /transmission issues.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here):
X
2.
Strategic Plan (document source here):
X
3.
Other (list):2014 Motor Pool Fund
X
IL\
FISCAL NOTE:
The funds would be appropriated from account no. 102-0000-3050 to account no. 102-1020-5930 in
the amount not to exceed $28,500.00 for this purchase.
Approved by Finance Department: XUa
ATTORNEY REVIEW: Yes — No —X
RECOMMENDATION:
0%h
Council approve Resolution 2014- , authorizing the City Manager approve the purchase a 2015
Ford 4X4 extended cab Chassis, not to exceed $28,500.00 and declare the 2001 Chevy 3500 truck
number 455 as surplus public property upon delivery of the new vehicle.
�S-
Commercial Sales Department
Phone: (907) 376-5656 Fax: (907) 352-5629
Attention: C/O SEWARD
Bill To:
Company Name
Street Address
City, State ZIP Code
Phone
Comments: THANK YOU.
Prepared by:
Direct:
Mobile:
Email:
Today's Date: 1/2/2014
Quote valid until:
DAVE LUKE
907-352-5677
907-355-2717
davidiuke@kendallauto.com
Description Amount
2015 FORD F-350 EXTENDED CAB X3H, STATE CONTRACT- PRICE $25,342.00
4X4 $3.045.00
BRAKE CONTROLLER
-ZE AT -50
All stock units were available at the time of offering and are subject to prior sale.
All pricing on ordered units is subject to change by Ford Motor Corporation without notice.
All rebates or incentives are subject to change or withdrawal by Ford Motor Credit Corporation without notice.
Item Total: $28,500.00
Sales / Tire Tax:
Documentation Fees:
DMV Fees:
Shipping Costs:
Grand Total: $28,500.00
Thank You for This Opportunity to Earn Your Business
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -015
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ACCEPTING AN AMENDMENT TO GRANT NUMBER
7910011 THROUGH ALASKA ENERGY AUTHORITY TO UPGRADE
AND UPDATE GENERATION FACILITIES AT FORT RAYMOND
GENERATION PLANT FOR $2,000,000, AND APPROPRIATING FUNDS
WHEREAS, pursuant to the HB 108 (2011) Alaska Energy Authority ( "AEA ") Grant
No. 7910011 authorized $3,960,000 to update and upgrade the generation facilities and to
construct an office /warehouse at Fort Raymond; and
WHEREAS, Council passed Resolution 2012 -028 accepting and allocating the grant
funds to the Standby Generator Plant Project on June 11, 2012; and
WHEREAS, the City received a single proposal in response to a 2012 Request for
Proposals to accomplish the generator upgrades, and the bid price was higher than the available
funds; and
WHEREAS, the Alaska Energy Authority, being cognizant of the shortfalls of funding
for this project, has authorized a $2,000,000 increase in grant funding for the project; and
WHEREAS, AEA will retain $20,000 (1 %) of the grant for project management costs,
resulting in a net increase of $1,980,000 to be used within Grant No. 7910011, for the Seward
Project.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. The Seward City Council hereby authorizes the City Manager to accept
Amendment #2 to AEA Grant #7910011.
Section 2. Funding in the amount of $2,000,000 is hereby accepted from the Alaska
Energy Authority, grant account no. 505 -5053- 4680 -0200, raising the total grant allocation to
$6,000,000, and is appropriated as follows: $20,000 to Project Overhead account no. 505 -5053-
5580 for and $1,980,000 to Infrastructure Account no. 505 -5053 -5925.
Section 3. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward this I Oh day of
February, 2014.
VI
Agenda Statement
Meeting Date: February 10, 2014
To: City Council
Through: Jim Hunt, City Manager
From: John Foutz, Electric Utility Manager
Agenda Item: Accept Amendment #2 to AEA grant #7910011
BACKGROUND & JUSTIFICATION:
Alaska Energy Authority administers Grant #7910011, providing funds to update and upgrade the
generation facilities at Fort Raymond and to build a new warehouse to permit a more reliable
generation plant. Council accepted AEA Grant #7910011 by Resolution 2012 -028 on June 11, 2012
for that purpose.
The grant was awarded on July 1, 2011, in the amount of $4,000,000.00. AEA took 1% ($40,000) as
administrative fees. The funds to accomplish the work were expected to total $4,164, 010, of which
$3,960,000 is an outright grant from AEA and $237,010 represents work to be accomplished within
the operational budget of the Electric Department.
Subsequent RFP's and warehouse procurement have shown these funds to be inadequate to complete
the project.
Recognizing that the project was under - funded, AEA has procured a further $2,000,000 in the form
of an amendment to Grant No. 7910011, less 1% management fee ($20,000), for a total increase of
$1,980,000. This brings the funds available from AEA Grant No. 7910011 to $5,940,000.
INTENT:
That the City Council hereby authorizes the manager to accept Amendment #2 to AEA Grant
#7910011 in the amount of $1,980,000 to upgrade and update generation facilities at Fort
Raymond Generation Plant and to complete construction and set -up of the new Warehouse at 605
Sea Lion Avenue.
CONSISTENCY CHECKLIST:
Yes
No
N/A
Comprehensive Plan: (3.7.3.1) Continue to upgrade and expand utilities
to meet existing needs and encourage future development.
X
1
Expand customer base within the Seward Electric Utility area as a
means to reduce energy costs and improve services.
2.
Strategic Plan (document source here):
X
3.
Other (list):
X
FISCAL NOTE:
11
Additional grant funds in the amount of $2 million will increase the amount available for the project
by $1,980,000 with the remaining $20,000 to go to the Alaska Energy Authority for administrative
overhead costs. Approved by Finance Department: -XUat,-->A2x
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: Accept Amendment #2 to AEA grant #7910011 to accept additional grant
funds in the amount of $2,000,000 to complete the generator upgrades and finish construction on
the electric warehouse.
Alaska Energy Authority
W)
XMKA
Grant Agreement
/40r)
ENERGY AUTHORITY
Amendment
Grant Agreement Number
CFDA#
Amount of Funds
7910011
NA
$ 3,960,000
1 Manage !0 Pass -thru [ice
Project Code(s)
Proposal No.
Period of Performance:
409037
NP10111
From: July 1, 2011 To: December 31, 2015
Project Title
Seward Power Plant Integration
GRANTEE
GRANTOR
Name
City of Seward
Alaska Energy Authority
Street/PO Box
Street/PO Box
P.O. Box 167
813 W. Northern Lights Blvd.
City /State /Zip
City /State /Zip
Seward, AK 99664
Anchorage, AK 99503
Contact Person
Contact Person
Vernon Willet Jr.
Kirk Warren, Project Manager
Phone
Fax Tff
mail:
Phone
Fax
Email:
907 - 2244065
907 - 224 -4038
1 vwillet@cityofseward.net
907- 771 -3072
907- 771 -3044
kwarren@aidea.or
AMENDMENT2
Extend Period of Performance to December 31, 2015
Appendix A. Section 4, Insurance, replace with the following:
4. Insurance
The Grantee is responsible for obtaining and maintaining
any necessary insurance and endorsements as
defined in Appendix B Standard Provisions.
Continues on the next page.
Grantee
Authority Project Manager
Executive Director
or Designee
Signature Date
Signature
Date
Signature Date
Jim Hunt,
Kirk Warren,
Sara Fisher -Goad
City Manager
Project Mana er
AEA Executive Director
�;(o
Seward Power Plant Integration
Grant Agreement # 7910011
Amendment # 2
Appendix A, Section 15, Termination, replace with the following:
15. Termination
a) The Grantee shall have no rights to compensation or damages for termination except as
provided in this Section.
b) In addition to all other rights available under law, the Authority may terminate this
Agreement or stop work on the Project for the convenience of the Authority or for cause upon
ten (10) days written notice.
C) "Cause" for termination shall exist when the Grantee has failed to perform under this
Agreement, has been stagnant on progression of the project for 2 years, has provided incorrect
or misleading information or has failed to provide information which would have influenced the
Authority's actions. In order for termination to be for cause, the Grantee's failure to perform or
the Grantee's provision of incorrect, misleading, or omitted information must be material.
d) If this Agreement is terminated for cause, the Grantee shall be entitled to no compensation.
The Grantee shall reimburse the Authority for all grant funds expended under this Agreement by
the Grantee or on the Grantee's behalf including interest accrued from the date of
disbursement. The Grantee shall also reimburse the Authority for any costs incurred to collect
funds subject to reimbursement, and for any damages incurred by the Authority as a result of
the Grantee's failure to perform or provision of incorrect or misleading information. The
Authority may require the Grantee to return to the Authority some or all of the Project assets and
the fair market value of the returned Project assets will be applied to reduce the amount of
reimbursement the Grantee owes the Authority under this subsection d.
e) If this Agreement is terminated at the sole request of the Authority for the sole reason of its
convenience, the Grantee is not required to reimburse the Authority for funds expended prior to
the date of termination. If the Grantee has incurred costs under this agreement, the Grantee
shall only be reimbursed by the Authority for eligible costs the Grantee incurred prior to the date
of termination of the Agreement. However, prior to making any claim or demand for such
reimbursement, the Grantee shall use its best effort to reduce the amount of such
reimbursement through any means legally available to it. The Authority's reimbursement to the
Grantee shall be limited to the encumbered, unexpended amount of funds available under this
Agreement.
f) If the basis for the termination of the Agreement or stop work under Section 15(b) is capable
of being cured, the Authority shall provide the Grantee thirty (30) days from the date the
termination or stop work becomes effective for the Grantee to cure the basis for the termination
or stop work. If the Grantee cannot reasonably cure the basis for the termination or stop work
within this thirty (30) day period, but the Grantee promptly undertakes and diligently pursues
such cure, the cure period shall be extended to sixty (60) days. The Authority may further
extend the cure period if the Grantee demonstrates that it is prohibited from curing the basis for
termination or stop work by any process, stay or injunction issued by any governmental
authority or pursuant to any bankruptcy or insolvency proceedings. If the Grantee cures the
basis for the stop work, the stop work will be lifted. Until the Agreement is reinstated or stop
work lifted, the Authority may not disburse any amount under this Agreement to the Grantee
except as otherwise specifically provided in this section.
a\
Page 2 of 5
Seward Power Plant Integration
Grant Agreement # 7910011
Amendment # 2
Appendix B, Section 1, Grant Funding Sources, replace with the following:
1. Grant Funding Sources
This Grant is subject to appropriation and availability of funds as listed below:
State of Alaska $ 5,,24Q= FSSLA 2011, Ch. 5, Sec. 4, Pg. 136, Ln. 18-19
Grantee acknowledges that if additional grant funds are made available they are subject to the terms
and conditions of this Agreement and any amendment.
The original appropriation equaled $ 4,000,000 however; the Authority will retain $ 40,000 of the
original appropriation for administration of this grant-funded project. Any unused amount will be
granted to the Seward for the Project.
Appendix 1131, Section 4. Contracts for Engineering Services, replace with the following:
4. Contracts for Engineering Services
In the event the Grantee contracts for engineering services, the Grantee will require that the
engineering firm certify that it is authorized to do business in the State of Alaska and provide proof of
licensing and required professional liability insurance.
Unless otherwise agreed by the Authority, the insurance required by this section shall, at a minimum,
included professional liability insurance covering all errors, omissions or negligent acts in the
performance of professional services under this agreement, with limits required per the following
schedule:
Contract Amount Minimum Required Limits
Under $ 100,000 $ 300,000 per Occurrence/Annual Aggregate
$ 100,000-$ 499,999 $ 500,000 per Occurrence/Annual Aggregate
$ 500,000-$ 999,999 $ 1,000,000 per Occurrence/Annual Aggregate
$ 1,000,000 or over Refer to Risk Management
Appendix 1131, Section 11. Contracts for Engineering Services, replace with the following:
11. Construction Insurance and Bonding
When the value of the construction is anticipated to be greater than $100,000, prior to beginning
construction on a project funded by this grant, the Grantee or Grantee's contractor(s) must provide the
Authority; either a payment and performance bond, as may be required by AS 36.25.010, a surety in
form and substance acceptable to the Authority, or some other guarantee or assurance acceptable to
the Authority that the Grantee or the Grantee's contractor has the capacity, qualifications, and financial
resources necessary to complete construction of the project as proposed in the grant or construction
contract(s) funded by this grant.
Appendix C, Scope of Work, replace the table detailing milestones, tasks, budget, schedule and
deliverables with the following:
Milestones
Reimbursable Tasks
Budget
Start
Date
End
Date
Deliverables
Pre-design/Design
Entire Design Package
Page 3 of 5
Seward Power Plant Integration
Grant Agreement # 7910011
Amendment # 2
Appendix D, Section 3, Monthly Progress and Financial Reports, replace with the following:
3. Monthly Progress and Financial Reports
The Grantee will provide monthly progress and financial reports by email (or other method allowed by
the Authority, if email is not available) to the Authority Project Manager. These reports are due starting
the first full month after the execution of this Agreement. This report must update the Authority on the
project's progress, regulatory and compliance issues, possible delays, and grant expenditures during
the month. These Monthly Progress Reports, which are due within 30 days of the end of the previous
month, must summarize, in one or two pages, the progress made on grant tasks during the month and
identify any difficulties in completing tasks or meeting goals or deadlines. The Grantee must also
include with the report copies of any work products due to the Authority during this period.
Reports are considered late five 5 days after the due date. No further payments will be made without
submission and approval of required reports. Work completed after the twenty -day period when
required reports have not been submitted is at the Grantee's risk, and costs incurred may be
disallowed. Repeated failure to submit reports in a timely manner could result in suspension or
termination of the grant.
All reports and deliverables required in this agreement must have been submitted and approved by the
Authority prior to the final payment being released.
Attachment 1 Financial Report/Request for Reimbursement Form, replace with the form
provided below.
All other terms and conditions remain unchanged.
Page 4 of 5
Concept Design Report
Aug
Dec
Concept Design Report
$ 25,000
2011
2011
RFP & Evaluation
Mar
Apr
Winning Proposal
2012
2012
Engineering
Apr
Jul
All Engineering Documents
220,000
2012
2014
Construction
Protection Components
Install 3 phase 69 kV relays,
Jul
Jun
update existing reclosers
41,520
2011
2014
Warehouse
EPC warehouse building
Jan
June
2,100,000
2013
2014
Relocate & Upgrade Unit #4 &
Remove arctic enclosures and
May
Oct
#5
relocate Units. Integrate SCADA
2,468,250
2014
2015
5% COS Engineering
242,738
20% Contingency
1,019,502
AEA Management Fee
60.000
Total
$
Appendix D, Section 3, Monthly Progress and Financial Reports, replace with the following:
3. Monthly Progress and Financial Reports
The Grantee will provide monthly progress and financial reports by email (or other method allowed by
the Authority, if email is not available) to the Authority Project Manager. These reports are due starting
the first full month after the execution of this Agreement. This report must update the Authority on the
project's progress, regulatory and compliance issues, possible delays, and grant expenditures during
the month. These Monthly Progress Reports, which are due within 30 days of the end of the previous
month, must summarize, in one or two pages, the progress made on grant tasks during the month and
identify any difficulties in completing tasks or meeting goals or deadlines. The Grantee must also
include with the report copies of any work products due to the Authority during this period.
Reports are considered late five 5 days after the due date. No further payments will be made without
submission and approval of required reports. Work completed after the twenty -day period when
required reports have not been submitted is at the Grantee's risk, and costs incurred may be
disallowed. Repeated failure to submit reports in a timely manner could result in suspension or
termination of the grant.
All reports and deliverables required in this agreement must have been submitted and approved by the
Authority prior to the final payment being released.
Attachment 1 Financial Report/Request for Reimbursement Form, replace with the form
provided below.
All other terms and conditions remain unchanged.
Page 4 of 5
Seward Power Plant Integration
Grant Agreement # 7910011
Amendment # 2
Attachment 1 Financial Report/Request for Reimbursement Form
THIS REQUEST IS FOR FINAL PAYMENT R
Grantee: City of Seward
Period: to
Project: Seward Power Plant Integration
Grant Number: 7910011
BUDGET SUMMARY
A
B
C
D =B +C
E =A -D
TOTAL GRANT
BUDGET
PRIOR
EXPENDITURES
EXPENDITURES
THIS PERIOD
TOTAL
EXPENDITURES
GRANT BALANCE
BY TASK OR MILESTONE
Concept Design Report
$ 25,000
Mechanical Engineering Support
20,000
Electrical Engineering
200,000
Protection Components
41,520
Warehouse
2,100,000
Relocate Units
500,000
Integrate Generators
1,968,250
5% COS Engineering
242,738
20% Contingency
1,019,502
AEA Admin Fee
60.000
TOTAL
$ limm
BY FUND SOURCES
Grant Funds
$ 5,940,000
Grantee Match — Cash
237.010
TOTAL
$
Please submit this form and the supporting documentation to aeapayables @aidea.org
CERTIFICATION
Form requires two original signatures. The person certifying must be different from the person preparing the report. One
signature should be the authorized representative of the Grantee organization or highest ranking officer; the other should be
the person who prepared the report.
I certify to the best of my knowledge and belief that the information reported on both the Financial Report above and
the attached Progress Report are correct. In addition, funds were spent and work performed in accordance with the
grant agreement terms and conditions.
Certified By:
Printed Name:
Title:
Prepared By:
Printed Name:
Title: Date:
a�
Page 5of5
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -016
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RETROACTIVELY AMENDING THE 2013 BUDGET AND
APPROPRIATING AN ADDITIONAL $84,087 IN SALES TAX REVENUE
TO THE HOSPITAL ENTERPRISE FUND
WHEREAS, the 2013 Operating Budget anticipated that one cent of every four cents in
sales tax collected by the City of Seward would be transferred to the Hospital Enterprise Fund to
pay healthcare related costs including debt service costs for the hospital and the long -term care
facilities; the hospital Public Employees Retirement System (PERS) liability; major repair and
replacement costs, and operating costs associated with healthcare; and
WHEREAS, actual sales tax receipts from the Kenai Peninsula Borough during 2013
totaled $4,544,418, requiring an additional transfer of $84,087 to the Hospital Enterprise Fund,
for a total annual transfer from the General Fund to the Hospital Enterprise Fund of $1,136,104.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. The 2013 Operating Budget shall be amended as follows: 1) increase sales
tax revenue account 101- 0000 -4120 -0100 by $296,566 to a total of $4,544,632; and 2)
appropriate an additional $84,087 from the General Fund Transfers -Out account no. 101 -0000-
3071 -0801 to the Hospital Enterprise Fund Transfers -In account no. 801- 0000 - 3070 -0101.
Section 2. This resolution shall be retroactive to December 31, 2013.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th
day of February, 2014.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
a�
Council Agenda Statement
Meeting Date: February 10, 2014
To: Honorable Mayor and Members of the City Council
Through: City Manager Jim Hunt
From: Kristin Erchinger, Finance Director *
Agenda Item: Appropriation of additional sales tax to Hospital Enterprise Fund
BACKGROUND & JUSTIFICATION:
The City of Seward sets aside a I% sales tax (currently one -fourth of all sales tax revenues) for the
purpose of supporting local healthcare. When the City first initiated a sales tax in March, 1982
(Ordinance No. 507), the Ordinance explicitly addressed the funding of healthcare in Seward as a
primary purpose of the tax. The 2013 Budget anticipated total sales tax revenues of $4,248,066, and
the amount to be allocated for healthcare, of $1,052,071. {Note: This amount is not exactly one-
quarter of estimated sales tax revenues due to a budget amendment to revenues that failed to also
allocate one - quarter of that amount for healthcare. } These funds are used to cover bond payments, to
repay unfunded retirement liabilities associated with former Seward General Hospital employees, for
facility capital costs, and for operational shortfalls.
Preliminary sales tax cash receipts in 2013 were $4,544,418, representing an increase of $332,164
from the prior years' cash receipts. To transfer one - quarter of the additional cash receipts to the
Hospital Debt Service Fund requires an additional appropriation of $84,087.
INTENT:
The intent of this resolution is to continue the practice of transferring' /4 of all sales tax revenue from
the General Fund to the Hospital Enterprise Fund for healthcare- related purposes.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here):
2.
Strategic Plan document source here):
3.
Other (list): 2013 Budget p. 76 and p. 163.
X
FISCAL NOTE:
This action has no net financial impact on the City, but will provide additional funding of $84,087
for healthcare purposes. Approved by Finance Department:
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: R ,$ o l wk- o A ZO t4 -- o I %
Seward City Council authorize the transfer of an additional $84,087 in sales tax revenue from the
General Fund to the Hospital Enterprise Fund.
�b
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -017
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY TO PROVIDE CERTAIN
ADMINISTRATIVE AND SUPPORT SERVICES ON BEHALF OF THE
SEWARD COMMUNITY HEALTH CENTER
WHEREAS, the Seward City Council enacted Ordinance 2010 -008 on December 13, 2010,
establishing the powers and duties of the Board of Directors ( "Board ") charged with oversight of the
newly established Seward Community Health Center; and
WHEREAS, the City of Seward serves as co- applicant with the Seward Community Health
Center (stand -alone 501(c)3 entity) as a federally qualified health center ( "CHC "), collaborating to
improve access to primary health care in the community, pursuant to Section 330 of the Public
Health Service Act (42 U.S.C. § 254b); and
WHEREAS, the Seward City Council enacted Ordinance 2013 -013 on December 16, 2013,
authorizing employees of the Seward Community Health Center to be employees of the City for a
limited time, requiring a Co- Applicant Agreement ( "Agreement ") between the City and the CHC,
and in accordance with Seward City Code §2.40.040(D), "if approved by council resolution, the city
may provide human resources, risk management, legal, accounting, and general administrative
services to the SCHC;" and
WHEREAS, the parties agree that the CHC can benefit from assistance from the City as it
focuses on clinical and operational matters during the initial operating period.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The Seward City Council hereby authorizes City staff to provide services
requested by the Seward Community Health Center, upon approval of the city manager, as follows:
payroll and accounts payable processing; accounting and financial reporting; human resource
assistance such as advertising, collecting applications, drug- testing and background checks; legal
support; computer assistance; provision of employee benefits; and general administrative support.
City staff will expressly not provide billing and collection services.
Section 2. The costs associated with assisting the Seward Community Health Center may be
allocated to the Center and reimbursed by the CHC, as costs of the CHC.
Section 3. This resolution shall take effect immediately upon its adoption.
A_�
COUNCIL AGENDA STATEMENT
Meeting Date: February 10, 2014 '
From: James Hunt, City Manager
Agenda Item: Authorization to provide support services to Seward CHC.
BACKGROUND & JUSTIFICATION:
The City of Seward and the Seward Community Health Center Board are co- applicants in the newly
funded Section 330 federally qualified health center in Seward. On December 16, 2013, the City Council
enacted Ordinance 2013 -013, authorizing employees of the Seward Community Health Center ( "Clinic')
to be employees of the City for a limited time, amending portions of the City Code, and requiring the
Board of the CHC to enter into a Co- Applicant Agreement with the City.
Seward City Code §2.40.040(D), as enacted by Ordinance 2013 -013, authorizes City staff to provide a
number of services to the clinic if approved by Resolution of the City Council. In order to assist the very
limited initial staff of the clinic in its start-up efforts, the City Council is asked to authorize the City to
assist with the following services if requested by the CHC Executive Director, and if approved by the
City Manager: human resources assistance, such as advertising for positions, collecting job applications,
setting up meetings with applicants, coordinating drug testing and background checks; risk management,
legal support; accounting and financial reporting; computer and information technology assistance, to
include setting up computer systems and coordinating telephone, internet, and communication services;
provision of employee benefits; and general administrative services.
INTENT:
The intent of this action is to assist the clinic in its initial start-up and implementation phase, to allow the
clinic staff to focus on clinical and operational matters. The expectation is that over time, the clinic will
be capable of managing these services without support from the City.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here).-p. 12 "We value effective, accessible
and affordable healthcare "; "encourage cooperation between all healthcare
providers ";
X
2.
Strategic Plan (document source here):
X
3.
Other (list):
X
ATTORNEY REVIEW: X Yes No
FISCAL NOTE:
The costs associated with services provided by the City to the Seward Community Health Center may be
assessed to the Seward Community Health Center and are considered costs of the Clinic. To the extent
the Clinic is in a financial position to reimburse the City for those costs, the City may be reimbursed.
Approved by Finance Department:
RECOMMENDATION:
Council approve Resolution 2014- authorizing the City to provide certain administrative and support
services on behalf of the Seward Community Health Center.
I K
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -018
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, APPROVING A CO- APPLICANT AGREEMENT BETWEEN THE
SEWARD COMMUNITY HEALTH CENTER, INC. AND THE CITY OF
SEWARD
WHEREAS, the Seward City Council enacted Ordinance 2010 -008 on December 13, 2010,
establishing the powers and duties of the Board of Directors ( "Board ") charged with oversight of the
newly established Seward Community Health Center; and
WHEREAS, the City of Seward serves as co- applicant with the Seward Community Health
Center (stand -alone 501(c)3 entity) as a federally qualified health center (FQHC), collaborating to
improve access to primary health care in the community, pursuant to Section 330 of the Public
Health Service Act (42 U.S.C. § 254b); and
WHEREAS, the Seward City Council enacted Ordinance 2013 -013 on December 16, 2013,
authorizing employees of the Seward Community Health Center to be non -PERS employees of the
City for a limited time, amending portions of the City Code, and requiring the Board to enter into a
Co- Applicant Agreement ( "Agreement ") with the City of Seward; and
WHEREAS, the Co- Applicant Agreement is established for the purpose of describing the
relationship of the parties in the mutual operation of a federally qualified health center in accordance
with Section 330; and
WHEREAS, the Co- Applicant Agreement expressly provides for the provision that the
Seward City Council and the Governing Board of the Seward Community Health Center review the
status of the City employment of employees of the SCHC no later than three years from the effective
date of this Agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The Seward City Council hereby approves the Co- Applicant Agreement between
the Seward Community Health Center, Inc. and the City of Seward, in substantial form as attached
hereto.
Section 2. The City Manager is hereby authorized to undertake any and all actions necessary
to execute and implement the Agreement.
Section 3. This resolution shall take effect immediately upon its adoption.
COUNCIL AGENDA STATEMENT
Meeting Date: February 10, 2014 ,
From: James Hunt, City Manager
Agenda Item: Co- Applicant Agreement with Seward Community Health Center, Inc.
BACKGROUND & JUSTIFICATION:
The City of Seward and the Seward Community Health Center Board ( "Board") are co- applicants in the
newly funded Section 330 federally qualified health center in Seward. On December 16, 2013, the City
Council enacted Ordinance 2013 -013, authorizing employees of the Seward Community Health Center
( "CHC ") to be non -PERS employees of the City for a limited time, amending portions of the City Code,
and requiring the Board of the CHC to enter into a Co- Applicant Agreement ( "Agreement ") with the City.
The attached Agreement establishes the roles and responsibilities of the Board, the executive director, and
the City of Seward, and expresses the following goals: cooperation rather than competition among
healthcare providers to drive efficiency; City financial and administrative support to build a strong
foundation for the newly - formed center and oversight of funding; operation of the CHC consistent with
Section 330 requirements and the best interests of the community; and restricting the City's role to the
highest level necessary to provide oversight without involvement in daily operations or management.
The primary responsibilities of the Board include: selecting services to be provided; adopting policies and
procedures; ensuring quality of care; providing a sliding fee discount program; evaluating CHC programs
and services; approving annual budgets and grant applications, then submitting to City Council for
approval; selecting, evaluating, dismissing the executive director; ensuring that adequate insurance
coverage is in place for the CHC, employees, and the Board; and ensuring compliance with all applicable
laws.
The primary responsibilities of the Executive Director include: managing and supervising activities of the
CHC including - carrying out policies, procedures, and programs of the Board; negotiating and
administering contracts; ensuring eligibility for Federal Tort Claims Act medical malpractice insurance
coverage; coordinating with the city manager as to applicable City policies; informing the Parties of any
new pertinent federal guidance; maintaining all licensing; and hiring, evaluating, managing, and terminating
staff.
The primary responsibilities of the City include: providing assistance to the CHC as approved by
Resolution of the City Council; ensuring fiscal management and oversight of grant and local funds passed
through the City to the CHC; approving grant applications as necessary; providing access to health
insurance and retirement Plans; and approving the annual budget upon approval by the Board.
The Agreement provides that employees are City employees subject to the Personnel Policies of the CHC as
adopted by the Board. Employees are hired, fired, trained, supervised, disciplined and terminated by the
Executive Director in accordance with the Personnel Policies. Employment in the CHC is at -will, and
Personnel Policies include a grievance procedure, including the right to file a grievance against the
Executive Director, which will be heard by the executive committee of the Board. Employees of the CHC
are not entitled to participation in the Public Employees Retirement System, but are expected to participate
in a deferred compensation -type plan, and are offered the same health insurance plan as other City
employees, including the requirement to contribute a portion of the monthly premium. Employment at the
�b
CHC requires a probationary period and employees are currently offered the same annual leave allowances
as other City employees. The pay schedule of the CHC will be approved by the Board,
INTENT:
The intent of this action is to establish the respective roles and responsibilities of the City, the Board, and
the Executive Director of the CHC. Employees of the Seward Community Health Center are deemed to be
employees of the City for a limited period of time, in order to provide a stronger foundation for the start-up
of the CHC, with the employment status to be revisited by the City Council and the Seward Community
Health Center Board. The employees of the clinic will be entirely subject to the personnel and employment
policies of the SCHC rather than the City's personnel policies, and the SCHC will be solely responsible for
all aspects of employment of SCHC employees, to include wage and salary structure (pay scale, merit
increases, cola, etc.), personnel administration, hiring, training, supervision, discipline, grievances,
termination, etc. Except as expressly provided in the Agreement, the City will not have any involvement in
employment matters of the SCHC, including in the hiring of the executive director.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here ):p. 12 "We value effective, accessible
and affordable healthcare "; "encourage cooperation between all healthcare
providers ";
X
1
2.
Strategic Plan (document source here):
X
3.
Other (list):
X
ATTORNEY REVIEW: X Yes No
FISCAL NOTE:
The personnel costs associated with employees of the Seward Community Health Center will be costs borne
by the Seward Community Health Center. While the City may assist with processing payroll and payables,
all personnel and other costs paid on behalf of the SCHC by the City, will be assessed to the SCHC and are
considered costs of the SCHC.
Approved by Finance Department:
RECOMMENDATION: ()Ib
Council approve Resolution 2014- approving a Co-Applicant Agreement between the City of Seward and
the Seward Community Health Center, Inc.
MV
CO- APPLICANT AGREEMENT
BETWEEN
SEWARD COMMUNITY HEALTH CENTER, INC., and
THE CITY OF SEWARD, ALASKA
FOR THE MUTUAL OPERATION OF A
FEDERALLY QUALIFED HEALTH CENTER
IN ACCORDANCE WITH SECTION 330 OF THE PUBLIC
HEALTH SERVICE ACT, 42 U.S.C. §254b
SECTION 1. RECITALS.
I.I. This Co- Applicant Agreement (the "Agreement ") is for the purpose of maintaining a co-
applicant relationship for the mutual operation of a federally qualified health center in
accordance with Section 330 of the Public Health Service Act, 42 U.S.C. §254b ( "Section
330 ").
1.2. The facilities and operations that are supported by Bureau of Primary Health Care funds
and are operated by the City of Seward, Alaska and the co- applicant Governing Board
under the name of "Seward Community Health Center" comprise the "Health Center" for
purposes of this Agreement.
1.3. Seward Community Health Center, Inc., the Health Center's governing board (the
"Governing Board ") is a separate, non - profit corporation which meets the requirements
of Section 330 and is the Co- Applicant board providing the required community -based
governance for the Health Center.
1.4. The City of Seward, Alaska ( "City ") is the Section 330 grantee, a local government entity
governed by the Seward City Council ( "City Council ") and is a home rule City of the
State of Alaska providing general government services for the City, including
management of public health facilities, per Chapter 16 of the Seward City Charter.
1.5. The Governing Board and City have been awarded a New Access Point Grant as a
Federally Qualified Health Center in accordance with a Notice of Award issued by the
United States Department of Health & Social Services, Health Resources and Services
Administration, establishing a project period of November 1, 2013 through January 31,
2016.
1.6. The Health Center's Governing Board and the City (the "Parties ") enter into this
Agreement is order to: advance the Health Center's mission to provide accessible primary
health care to the medically underserved population in the region through a partnership of
community resources; to preserve the local partnership which founded the Health Center;
and to set forth their respective roles and responsibilities to govern and operate the Health
Center in accordance with applicable law and policies
1.7. The Parties mutually agree that the Public Entity Model (which establishes the Co-
Applicant partnership between the City and the Governing Board) is deemed by the
Co- Applicant Agreement- Page 1
3�
Parties to be the operating model which best accomplishes the following mutually desired
goals:
1.7.1.Requires cooperation rather than competition among the community's healthcare
providers, creating partnerships to drive a more efficient healthcare delivery system
and strengthen safety net programs;
1.7.2.Provides City financial and administrative support to build a strong foundation for
the newly - formed community health center;
1.7.3.Provides City financial oversight of funding that flows from the City to the health
center, including the Section 330 federal grant funding;
1.7.4.Provides the City with a means to ensure that the Governing Board operates the
Health Center consistent with the requirements of Section 330 and the overall best
interests of the community;
1.7.5.Restricts the City's role in the operation and management of the Health Center to
the highest levels necessary to provide legally required and appropriate oversight,
without involvement in daily operations or management of the Health Center.
Therefore, the Parties mutually agree to the following:
SECTION 2. DEFINITIONS.
"Agreement" means this Co- Applicant Agreement.
2.1. "City Council" means the Seward, Alaska City Council.
2.2. "Council Members" means the City of Seward, Alaska City Council Members
2.3. "Coordinating Committee" means a committee composed of one member each of the
Governing Board; the City Council; the Health Center Executive Director; and the City
Manager, or their respective designees.
2.4. "City" means the political subdivision of the State of Alaska incorporated as the City of
Seward, Alaska.
2.5. "DHHS" means the United States Department of Health and Human Services.
2.6. "FTCA" means the Federal Tort Claims Act.
2.7. "Governing Board" means Seward Community Health Center, Inc., an Alaska non - profit
organization that is the co- applicant governing board providing the community -based
governance for the Health Center in accordance with the requirements of Section 330.
2.8. "Health Center" means the facilities and operations that are supported by Bureau of
Primary Health Care funds and are operated by the Co- applicant Governing Board under
the public name "Seward Community Health Center"
Co- Applicant Agreement- Page 2
33>
2.9. "HRSA" means the federal Health Resources and Services Administration.
2.10. "Parties" means Governing Board and the City.
2.11, "Public Entity Model" refers to a partnership between a public entity and a co-applicant,
where the public entity is the licensed provider of services and receives the Section 330
grant from HRSA, and collectively, the two entities meet all other Section 330
requirements and are referred to as the "health center."
2.12. "Section 330" means the Section 330 of the Public Health Service Act, 42 U.S.0 § 254b.
SECTION 3. GOVERNING BOARD: ROLES AND RESPONSIBILITIES
3.2. Composition. The Governing Board shall comply with the composition and selection
requirements of Section 330 and implementing regulations as set forth in the Governing
Board Bylaws.
3.3. The Governing Board shall exercise the following authorities and responsibilities of a co-
applicant set forth in Section 330 and implementing regulations and policies.
3.3.1. The Governing Board shall select the services to be provided and adopt health
care policies including the scope and availability of services to be provided, the
location and hours of operation and quality-of-care audit procedures.
3.3.2. The Governing Board shall adopt a policy for eligibility for services, including
criteria for a schedule of discounts on charges for services provided to uninsured
and underinsured patients with annual incomes at or below 200% of the federal
poverty guidelines, with nominal fees for patients with income less than or equal
to 100% of the federal poverty guidelines.
3.3.3. The Governing Board shall evaluate Health Center activities including service
utilization patterns, productivity, patient satisfaction, achievement of program
objectives, and development of a process for hearing and resolving patient
complaints.
3.3.4. The Governing Board shall approve the annual operating and capital budget in
accordance with Section 330 requirements and City policies. The overall plan
and budget shall be prepared under the Governing Board's direction by the Health
Center's management team and the Finance Committee of the Governing Board.
3.3.5. The Governing Board shall submit an annual budget for the health center to the
City Council for approval, as a co-applicant requirement of Section 330. The
Board shall submit the budget no later than October I of each year, for the
following year. If the Board unreasonably fails to approve an annual budget, the
City may still submit the annual funding request under Section 330 of the Federal
Co-Applicant Agreement- Page 3 LA
)k
Public Health Service Act. No budget shall become effective without City
Council approval.
3.3.6. The Governing Board shall approve Section 330 and related grant applications.
3.3.7. The Governing Board shall have the sole authority to select, evaluate (at least
annually) and dismiss the Health Center's Executive Director.
3.3.8. The Governing Board shall assure that the Health Center is operated in
compliance with all applicable Federal, State and local laws and regulations.
3.3.9. The Governing Board shall evaluate the Health Center's achievements at least
annually, and shall use the knowledge gained thereby to revise the Health
Center's goals, objectives, plan and budget as necessary and appropriate.
3.3.10. The Governing Board shall have other authorities and responsibilities which are
required by Section 330.
3.4. Executive Director. The Executive Director shall be the chief executive officer of the
Health Center and shall be subject to the direction and supervision of the Governing
Board.
3.4.1. The Executive Director shall have responsibility for the management, supervision,
and direction of the Health Center's affairs in furthering policies, procedures and
programs established by the Governing Board.
3.4.2. The Executive Director shall have the authority to negotiate, execute and
administer all contracts for goods and services required for the Health Center. All
major purchases (defined as a single item exceeding $50,000) shall be made in
accordance with competitive procurement Ordinance and purchasing policies of
the City.
3.4.3. The Executive Director shall assure that the Health Center becomes and remains
eligible for Federal Tort Claims Act ( "FTCA ") coverage.
3.4.4. The Executive Director shall coordinate with the City Manager or the manager's
designee on administrative actions pursuant to applicable City policies (i.e.
purchasing policies, grant reporting requirements).
3.4.5. The Executive Director shall bring any and all new federal guidance pertaining to
this Agreement to the attention of the Parties.
3.4.6. The Executive Director of the Health Center shall ensure that the Health Center
maintains all licenses, permits, certifications and approvals necessary and
appropriate for the operation of the Health Center and ensure that all employees
who work at or for the Health Center apply for and maintain all professional
licenses and certifications necessary and appropriate.
Co- Applicant Agreement- Page 4
3.5. The Health Center will work closely and cooperatively with the City as co-applicants of
Section 330 federal grant funding. The City Council and the Governing Board have
agreed that it is mutually beneficial for the employees of the Health Center to be deemed
to be City employees for a limited period of time. Therefore, the issue of employment
will be reconsidered by the parties no later than three years from the effective date of this
Agreement, and the following shall apply:
3.5.1. To the extent the Health Center requests administrative assistance from the City
and such is approved by Resolution of the City Council, the Health Center shall
comply with applicable administrative, fiscal, risk management and human
resource policies of the City. Pursuant to City fiscal policies, the Governing Board
shall be responsible for maintaining a balanced budget,
3.5.2. Health Center staff, including the Executive Director, shall be City employees
subject solely to the Personnel Policies of the Seward CHC, as approved by the
Governing Board. The Health Center is fully and solely responsible for all aspects
of employment, including payroll administration, hiring, training, supervision,
discipline, grievances, and termination, in accordance with the Personnel Policies
adopted by the Governing Board.
3.5.3. The Health Center may adopt provisions of the City of Seward's personnel
ordinances as components of its employment policies and procedures, subject to
approval of the Governing Board.
3.5.4. The Health Center will maintain health insurance, liability insurance and workers'
compensation insurance coverage for so long as health center employees remain
City employees.
3.5.5. Health Center staff may be eligible to participate in City employee benefit plans
authorized by the Governing Board, with the exception that they are expressly
prohibited from participating in the Public Employees Retirement System.
3.5.6. Health Center Staff are expressly considered to be City employees for the purpose
of participating in health insurance coverage and retirement plans other than the
Public Employees Retirement System, although the Health Center may also pursue
an alternate retirement plan, if necessary.
3.5.7. The Governing Board of the Health Center shall have exclusive responsibility for
hiring, evaluating, managing, and terminating the Executive Director.
3.5.8. The Executive Director of the Health Center shall be appointed by the Governing
Board and shall serve at the sole pleasure of the Governing Board.
3.5.9. All employees of the Health Center, including those serving under individual
employment contracts (e.g. physicians) shall be appointed by the Executive
Director of the Health Center and shall serve at the pleasure of the Executive
Co-Applicant Agreement- Page 5
3 �
Director. Health Center employees have all the rights afforded them under the
Seward Community Health Center Personnel Policies, as approved by the
Governing Board, and as amended from time to time.
SECTION 4. THE CITY AND CITY COUNCIL: ROLES AND RESPONSIBILITIES.
Retention of Authorities. The City Council and the City Manager shall retain all authority
not delegated to the Governing Board by federal law or through the terms of this Agreement.
4.1. City Administrative Policies and Resources.
4.1.1. The City may provide general administrative services to the Health Center, such as
accounting services, risk management services, personnel assistance, etc., subject
to approval by the Seward City Council by Resolution
4.1.2. The City shall provide, without limitation, fiscal management and oversight of
grant and local funds passed through the City of Seward, in accordance with
applicable law and City policies.
4.1.3. The City will treat the Health Center as a separate accounting fund of the City (the
"Community Health Center Fund ") for purposes of accounting for and segregating
the Health Center's funds. The City will deposit money from the City's General
Fund into the Health Center Fund annually, in amounts approved by the City and
consistent with the annual operating and capital budgets approved by the City and
the Governing Board. The Community Health Center Fund will also include and
account for the federal grant funds that the City receives as the Section 330
grantee.
4.1.4. The City Council shall be responsible for adopting the Health Center's annual
operating and capital budgets as finally approved by the Governing Board; the City
Council may not unilaterally revise a budget approved by the Governing Board or
approve an alternate budget for the Health Center without review and final
approval by the Governing Board, with subsequent follow -up by the Council in
accordance with Seward City Code 2.40.030(a).
4.1.5. The City may provide human resource services to the Health Center, including
advertising, compiling applications, notifying applicants as requested by the
Executive Director, drug and background tests, filing applications, etc. if approved
by the City Council by Resolution.
4.1.6. The City may provide risk management oversight and services, and insurance for
the Health Center, the Health Center's employees and the Governing Board to
cover liabilities for each of them not otherwise covered or preempted by the
FTCA.
4.1.7. The City may provide legal consultation to the Health Center and the Governing
Board, but the Governing Board shall be free to retain separate counsel.
Co- Applicant Agreement- Page 6
2:�
4.1.8. The Health Center, out of its Community Health Center Fund, shall pay for or
reimburse the City for the services and the insurance coverage that the City may
provide to the Health Center under this Agreement, including general
administrative services, human resource services, accounting services and legal
services, to the extent that cash is available for this repayment. The amount to be
paid or reimbursed by the Health Center shall constitute the Heath Center's pro-
rata share of the cost of such services, all in accordance with the annual budgets
for the Health Center that are approved by the City and the Governing Board.
SECTION 5. PARTIES' AGREEMENT TO PARTICIPATE IN COORDINATING
COMMITTEE.
For purposes of implementing this Agreement, the Parties agree to participate in a
Coordinating Committee comprised of one member each of the Governing Board, the City
Council, the Health Center Executive Director, and the City Manager, or their respective
designees.
5.2. Meetings may be called by any one member of the Coordinating Committee and may be
held telephonically or electronically.
SECTION 6. TERM OF AGREEMENT. The Agreement shall remain in effect during the
project period of each Section 330 grant award and shall remain in effect until terminated
in accordance with the terms, of Section 7.
6.2. Subject to any Federal and/or state regulatory approval which might be required to
terminate the operation of the Health Center, nothing in this Agreement is intended to
require, nor should be construed to require, that the Health Center remain in operation, or
that the City apply for any grant funding, including continued Section 330 funding for the
Health Center.
SECTION 7. TERMINATION OF AGREEMENT.
Immediate Termination. This Agreement shall terminate immediately upon the effective
date of any termination of City's Section 330 grant (without renewal), or upon the loss of
any license, permit or other authorization required by law or regulation for operation of
the Health Center.
7.2. For Cause Termination. Subject to Section 7.5, any of the Parties may terminate this
Agreement for cause in the event that another Party fails to meet its material obligations
under this Agreement. Such termination shall require ninety days' prior written notice of
intent to terminate, during which period the Party that has failed to meet its material
obligations may attempt to cure such failure. If the material breach is cured within the
Co-Applicant Agreement- Page 7
b-MM
WIM
i W 41
ninety day period, termination shall not occur. If the Parties do not agree that a breach of
a material obligation has ' occurred or that such a breach has been satisfactorily cured, the
Parties shall submit their claims to a mutually- approved independent mediator, as set forth
in 7.4, who shall attempt to assist the Parties in resolving their disagreement.
7.3. Termination for Mutual Convenience or Without Cause. This Agreement may be
terminated upon the written agreement of both Parties, subject to Section 7.5. In addition,
any of the Parties may terminate this Agreement without cause upon giving one hundred
and eighty (180) days' prior written notice to the other Party.
7.4. In the event either Party gives notice of intent to terminate this Agreement and the other
Party does not concur, the Parties shall submit to a review by a mediator to determine if
issues leading to termination.can be resolved. The mediator shall be chosen by a process
in which all Parties first; attempt to concur in the selection. In the event concurrence
cannot be reached, the iCity Human Resources Officer shall prepare a list of five
independent mediators and etch of the Parties shall strike one name until one remains who
shall serve as mediator.
7.5. Termination Contingent upon HRSA Approval. Termination under Sections 7.2 or 7.3
shall not become effective unless and until HRSA issues its written approval of such
termination.
SECTION 8. NOTICES.
All notices permitted or . required by this Agreement shall be deemed given when in
writing and delivered personally or deposited in the United States Mail, first class postage
prepaid, Certified and Return Receipt Requested, addressed to the other Party at the
address set forth below,.onsuch other address as the Party may designate in writing.
For Governing Board:
Chairperson
and
Executive Director
Seward Community Health Center, Inc.
PO Box 2895
Seward, AK 99664, and
For City:
City Manager
PO Box 167
410 Adams Street
Seward, AK 99664
Co- Applicant Agreement- Page 8
SECTION 9. ASSIGNMENT.
This Agreement shall be binding upon and shall inure to the benefit of the Parties hereto
and their respective transferees, successors and assigns, provided that neither Party shall
have the right to assign, delegate or transfer this Agreement, or its rights and obligations
hereunder, without the prior written consent of the other Parties.
SECTION 10. AMENDMENTS TO COMPLY WITH LAW.
In the event that any one or more provisions of this Agreement are deemed null, void,
illegal or unenforceable; or should any part of this Agreement cause the Governing Board
or the City (as co-applicants) not to comply with Section 330, the Parties agree to attempt
to amend this Agreement as reasonably necessary to achieve legal compliance.
10.2. In the event that no such amendments or agreements for amendments can reasonably be
made, this Agreement shall :immediately terminate.
SECTION 11. ENTIRE AGREEMENT; AMENDMENTS.
This Agreement, City Ordinance 2013-013, the New Access Point Grant Application, and
the New Access Point br'an"t' Award issued by HRSA, and the provisions of the Health
Information Portability and Protection Act (HIPPA) respecting the confidentiality of
patient records, constitutes the entire agreement between the Parties and supersedes all
prior written and oral agreements among the Parties relating to the subject matter hereof.
No statements, promises or inducement made by any party or by agents of any of the
parties which are not contained in this Agreement shall be valid or binding.
11.2. This Agreement shall not be enlarged, modified or otherwise altered without the written
agreement of all Parties. The Parties may adopt, from time to time, supplemental or
additional agreements which, enlarge, modify or otherwise alter this agreement.
Being the persons duly authorized to sign this Agreement and thereby bind the above-
named Parties, we do hereby affix our signatures on this, the _ day of
2014.
SEWARD COMMUNITY HEALTH CENTER, INC. (GOVERNING BOARD)
By: Patricia Beals
Its: Chairperson
Co-Applicant Agreement- Page 9
L�o
CITY OF SEWARD
By: James Hunt
Its: City Manager
Attest:
Johanna Kinney, CMC, City Clerk
SEAL:
Co- Applicant Agreement- Page 10
y�
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014-019
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, APPROVING A TRANSFER OF FUNDS IN THE AMOUNT OF
$500,000 FROM THE WATER ENTERPRISE FUND TO THE
WASTEWATER ENTERPRISE FUND FOR THE PURPOSE OF
CONDUCTING MITIGATION EFFORTS AT LOWELL POINT SEWAGE
LAGOON, AND APPROPRIATING FUNDS
WHEREAS, operation of the Lowell Point Sewage lagoon was initiated in November, 1993,
and the lagoon has operated for more than two decades without a significant investment in lagoon
repair or sludge disposal costs; and
WHEREAS, maintenance and repairs are necessary so that the Lagoon can perform as
intended, which may require diversion of sewage into one cell while another cell is serviced, repair
and/or installation of pumps and piping, and disposal of lagoon sludge, in addition to the design,
engineering, and other associated repair work; and
WHEREAS, City staff are developing plans for long-term repairs to the Lagoon, but in the
immediate term, it is necessary to perform work to design, engineering, and perform odor-control
measures at the Lagoon, necessitating an appropriation of $500,000; and
WHEREAS, despite recent increases in the wastewater tariff aimed at addressing deferred
maintenance needs of wastewater infrastructure, the cash balance in the Wastewater Enterprise Fund
is approximately $689,600, and $311,000 in the Wastewater Major Repair and Replacement Fund
(MRRF), for a combined total of approximately $1 Million at December 31, 2013, still insufficient to
cover major anticipated costs of repairs; and
WHEREAS, the cash balance in the Water Enterprise Fund is approximately $2.7 Million,
and in the Water MRRF, $212,500 for a combined total of nearly $3 Million at December 31, 2013,
which includes a recent loan repayment to the Fund of approximately $1.9 Million; and
WHEREAS, the administration recommends a transfer of cash from the Water Enterprise
Fund to the Wastewater Enterprise Fund MRRF to cover the costs of short-term mitigation efforts at
the Lagoon, in an amount not to exceed $500,000. The Water Fund is considered a more appropriate
source of funds given the shortfall of cash in the Wastewater Fund, given the shared customer base
of ratepayers for both the Water and Wastewater Funds, as well as the relationship between system
inflows (Water) and outflows (Wastewater).
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
�a
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -019
Section 1. Funding in the amount of $500,000 is hereby appropriated from the Water
Enterprise Fund net assets account no. 701 - 0000 - 3071 -0702 to the Wastewater MMRF Fund account
no. 702 - 0000 - 3070 -0701, for the purpose of conducting necessary short-term repair needs at the
Lowell Point Sewage Lagoon, including performing design work, odor control, engineering, etc.
Section 2. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10`h
day of February, 2014.
AYES:
NOES:
ABSENT:
ABSTAIN:
VACANT:
04111 *11
Johanna Kinney, CMC
City Clerk
LA'�)
THE CITY OF SEWARD ALASKA
Jean Bardarson, Mayor
COUNCIL AGENDA STATEMENT
Meeting Date: February 10, 2014
From: James Hunt, City Manager
Agenda Item: Transfer of $500,000 from Water Fund to Sewer MRRF for Lowell Point
Sewage Lagoon Repairs
BACKGROUND & JUSTIFICATION:
The upgraded Lowell Point Sewage Lagoon began operation in November, 1993, and has
operated continuously for more than two decades without a significant investment in repairs or
sludge removal costs. It has become necessary to perform immediate mitigation efforts on the
lagoon in order to enable the lagoon to perform as intended, and improve odor control at the
Lagoon. Depending on the cost of mitigation efforts, funding will be spent on odor control
efforts, design and engineering, and potentially dredging. Eventually, repairing the system will
likely involve diversion of sewage between cells, repairs and/or installation of pumps and piping,
and removal and disposal of sludge, but we anticipate the need for further funding to facilitate all
of the necessary repairs, and will bring this matter back to Council in the future.
The Wastewater Enterprise Fund and its Major Repair and Replacement Fund have inadequate
reserves available to meet the cost of these expected mitigation efforts, estimated at
approximately $500,000. As of December 31, 2013, the cash balance in those funds combined,
totals approximately $1 Million. Given the relationship between inflows into the system (water)
and outflows from the system (sewer), there is some relationship between these two enterprise
operations which can justify the sharing of cash reserves for major infrastructure needs. These
two utilities share a common purpose, some infrastructure, and customers, and prior to 2006
were accounted for in a single enterprise fund. This source of funding is preferred instead of the
use of taxpayer funds from the General Fund, which has no Major Repair and Replacement Fund
available.
INTENT:
The intent of this action is to provide funding to the Wastewater MRRF Fund to mitigate odor
problems at the Lowell Point Sewage Lagoon. This transfer of funds is not intended to be a loan,
and repayment from the Wastewater Fund to the Water Fund is not contemplated by this
transaction.
CONSISTENCY CHECKLIST:
Yes
No
N/A
I
—
Comprehensive Plan (document source here ): Protect air quality, p,
I ];Following recommendations from Water /Sewer Systems Analysis,
p.2
X
2.
Strategic Plan (document source here):
X
3.
Other (list): Water/Sewer Systems Analysis
X
ATTORNEY REVIEW: Yes X No
yL�
ATTORNEY REVIEW: Yes X No
FISCAL NOTE:
The transfer of $500,000 from the Water Enterprise Fund to the Wastewater MRRF will reduce
the approximate cash balance of the Water Enterprise Fund and its companion MRRF, to $2.4
Million, preserving the balance in the Wastewater Enterprise Fund and its companion MRRF, at
approximately $1 Million. We anticipate needing to come back to Council for additional funding
in the future, for the purpose of conducting repairs to the Lagoon, to include the costs of
engineering, repairs, and dredging. The approximate cost of those efforts it not known at this
time.
Approved by Finance Department: -�j6u- Z :t -cduao- i
a
RECOMMENDATION: Council approve Resolution 2014- authorizing a transfer of $500,000
from the Water Enterprise Fund to the Wastewater MRRF for the purpose of conducting
mitigation efforts and maintenance to the Lowell Point Sewage Lagoon.
—\-5�
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -020
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWAR%
ALASKA, APPROVING AN AMENDMENT TO THE EMPLOYMENT
AGREEMENT WITH THE CITY MANAGER, AND APPROPRIATING
FUNDS
WHEREAS, James Hunt has been employed as the City Manager since October 31, 2011;
and
WHEREAS, the City Manager does not participate in standard employee merit step increases
or cost of living increases as outlined in the Seward City Code, and any increase in pay or annual
leave accrual must be by amendment to the employment agreement; and
WHEREAS, Hunt's contract states that the City Council agrees to review Hunt's salary
annually and upon a favorable review on the standard City Manager Evaluation by Council, receive a
salary increase; and
WHEREAS, per a satisfactory evaluation, the City Council agrees to give Hunt a 3% Cost of
Living Adjustment (COLA) increase effective February 10, 2014; and
WHEREAS, this increase was not already factored into the FY 2014 budget, and requires a
budget adjustment of $4,252.50, including salary and benefits.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. Amendment No. 2 to the City Manager's employment agreement dated October
31, 2011 between the City of Seward and James Hunt, which increases his annual pay by 3 %, is
hereby approved.
Section 2. The 2014 and 2015 budgets are hereby amended to increase the city manager
department salary line item (101 -1120 -5010) by $3,150 (hourly rate increase from $50.48 to $52.00),
and benefit line items (101 - 1120 -5XXX) by $1,102.50, for a total budget increase of $4,252.50, with
funding from the General Fund undesignated fund balance account no. 101- 0000 -3050.
Section 3, The effective date of this increase shall be February 10, 2014.
Section 4. This resolution shall take effect immediately upon its adoption.
L��p
Agenda Statement
Meeting Date: February 10, 2014
To: City Council
From: City Manager James Hunt
Agenda Item: Amending the City Manager Employment Agreement
BACKGROUND & JUSTIFICATION:
James Hunt has been employed by the Seward City Council as the City Manager since October 31,
2011. The city manager does not participate in standard employee step increases or cost of living
allowances (COLA) as outlined in the Seward City Code, and any increase in pay or annual leave
accrual must be by an amendment to the employment agreement.
The attached resolution reflects an increase in annual pay by a 3% Cost of Living Adjustment
(COLA).
CONSISTENCY CHECKLIST:
Yes
No
NA
1
Comprehensive Plan:
Page 70, Offsetting "Factors that negatively impact the quality of life
— high cost of living."
x
2
Strategic Plan:
x
3
Other:
x
ATTORNEY REVIEW: Yes No X
FISCAL NOTE:
This increase has not been factored into the FY 2014-2015 budget, and requires a budget
adjustment of $4,252.50, including salary and benefits.
Approved by Finance Department:
RECOMMENDATION: 020-
Approve Resolution 2014- , amending the employment contract of James Hunt to allow for a 3%
COLA increase to his annual rate of pay effective February 10, 2014 and adjusting the 2014 and
2015 budgets to increase the city manager department salary line item (101 -1120 -5010) by $3,150
(hourly rate increase from $50.48 to $52.00), and benefit line items (10 1 - I 120-5XXX) by $1,102.50,
for a total budget increase of $4,252.50, with funding from the General Fund undesignated fund
balance account no. 101-0000-3050. by $4,252.50, including salary and benefits.
L\-)
EMPLOYMENT AGREEMENT
AMENDMENT #2
City Manager Services for Jim Hunt
This is an amendment to the agreement between the City Council of the City of Seward,
Alaska, whose address is P.O. Box 167, Seward, Alaska 99664 ("City") and Jim Hunt,
whose address is PO Box 3094, Seward, Alaska 99664 ("Hunt").
Amendments:
Section 2 is amended to the original employment agreement to read:
"2. Hunt shall be paid at the rate of $108,160.00 per year."
This change is effective February 10, 2014.
Except as provided herein, all other terms and conditions of the agreement dated October
10, 2011 and subsequent amendments remain in force and effect.
All other provisions of the original agreement remain in effect.
DATED this day of February, 2014
IOWA DoWNYA1341M.
Jean Bardarson, Mayor Jim Hunt, City Manager
Johanna Kinney, CMC
City Clerk
(City Seal)
Sponsored by: Clerk
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -021
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING THE CITY COUNCIL RULES OF PROCEDURE
RULE 26, ORDER OF BUSINESS AND RULE 27, PROCEDURES FOR A
PUBLIC HEARING
WHEREAS, Seward City Code Section 2.10.055 states that the order of business for the
regular meetings of the City Council shall be set by resolution of the council and incorporated
into the Council's adopted Rules of Procedure; and
WHEREAS, the order of business regarding public hearing items is clearly written in the
City Council Rules of Procedure and the order of business regarding regular agenda items is not;
and
WHEREAS, it is recommended that the Council adopt consistent order of business
procedures for both items of business; and
WHEREAS, the Council wishes to amend Rule 26 of the City Council Rules of
Procedure to address the procedures for public hearing agenda items and non - public hearing
agenda items; and
WHEREAS, the Council wishes to amend Rule 27 (b) — Public Hearings of the City
Council Rules of Procedure to make the order of procedure consistent with current practices; and
WHEREAS, this includes other minor housekeeping changes such as making the process
consistent for citizens to state whether they are a resident of Seward rather than stating their
physical residence for the record on public comment sections on the agenda and adding agenda
items routinely used but not listed in the Rules of Procedure like Council and Administration
Response to Citizen Comments, Executive Session, and Adjournment.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Council amends Rule 26 of the City Council Rules of Procedure to
read as follows (strike 00 = deletions, bold italics = additions):
ORDER OF BUSINESS
RULE 26. (a) The order of business for the regular meetings of the City Council is as follows:
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. CITIZENS' COMMENTS ON ANY
SCHEDULED FOR PUBLIC HEARING
5. APPROVAL OF AGENDA AND CONSENT
L\OA-
SUBJECT EXCEPT THOSE ITEMS
F.Mu m
CITY OF SEWARD, ALASKA
RESOLUTION 2014-021
6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS
A. Proclamations and Awards
B. Borough Assembly Report
C. City Manager's Report
D. City Attorney's Report
E. Other Reports, Announcements and Presentations
7. PUBLIC HEARINGS
A. Ordinances for Public Hearing and Enactment
B. Resolutions Requiring Public Hearing
C. Other Public Hearing Items
8. UNFINISHED BUSINESS
A. Items not Completed from Previous Agenda
B. Items Postponed from Previous Agenda
C. Items for Reconsideration
D. Other Unfinished Business Items
9. NEW BUSINESS
A. Ordinances for Introduction
B. Resolutions
C. Other New Business Items
10. INFORMATIONAL ITEMS AND REPORTS (No action required)
11. COUNCIL COMMENTS
12. CITIZENS COMMENTS
13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
14. EXECUTIVE SESSION
15. ADJOURNMENT
(b) Consent agenda. Those items on the council agenda which are considered routine
by the City Manager and the City Clerk shall be indicated by an asterisk on the agenda. Unless
the Mayor or a Council member specifically requests that such an item on the consent agenda be
considered under the regular meeting agenda, and thus removed from the consent agenda
ealende and considered separately on the regular agenda, these items so designated shall be
approved, adopted, accepted, etc. by motion of the Council to approve the agenda and consent
agenda. Those items so approved shall appear in the Council minutes as if acted upon
individually. The Clerk shall read into the record the Consent Agenda, including the titles of any
ordinances or resolutions contained therein. (SCC § 2.10.055 B.)
(c) Agenda items. The procedure for agenda items are as follows:
1. The Presiding Officer introduces the agenda item
2. The Presiding Officer inquires if there is a motion by any Council member. If a
motion is made, it shall be in the form of an affirmative motion.
S_ ()
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -021
3. Following the motion and its second, the Presiding Officer calls upon the City
Manager to describe the matter under consideration.
4. If applicable, the Presiding Officer opens the public hearing and follows the public
hearing procedure outlined in Rule 27.
S. The Presiding Officer asks if there is any discussion among Council members. The
Presiding Officer may call on individual Council members in the discussion. The
Presiding Officer inquires if there is any further discussion by the Council
members.
6. The Presiding Officer inquires if there are any final comments or
recommendations from administration.
7. The Presiding Officer inquires of the Council members as to whether they are
ready for the question.
8. The Clerk shall conduct a roll call vote.
Section 2. The City Council amends Rule 27 of the City Council Rules of Procedure to
read as follows (str ke ou = deletions, bold italics = additions):
ADDRESSING THE COUNCIL BY THE PUBLIC
RULE 27.
(b) Public Hearings. The procedures for a public hearing are as follows:
(1) A sign -in sheet shall be provided for those wishing to address the Council
under "Public Hearings ". Prior to the start of the public hearing, the Presiding Officer will first
recognize those whose names appear on the sign -in sheet. Any person who fails to sign in shall
not be permitted to speak until all those who signed in have done so. At any public hearing all
persons who have signed in and wish to be heard shall be heard. Those testifying under public
hearings must limit their comments to 5 minutes. No person who has previously spoken during
the public hearing on a particular item may speak again unless all other persons desiring to give
testimony at the public hearing have spoken. A person speaking for a second time shall limit
their testimony to not more than one minute.
(2) The Presiding Officer introduces the agenda opens the publi-e
healing, Nas (L 1V M1Ves the following Rules e fOr-a
.
CITY OF SEWARD, ALASKA
RESOLUTION 2014 -021
(3) The Presiding Officer inquires if there is a motion by any Council
member. If a motion is made, it shall be in the form of an affirmative motion.
(4) Following the motion and its second, Tthe Presiding Officer calls upon the
City Manager to describe the matter under consideration.
(4) (S) The Presiding Officer opens the public hearing, and announces the
following Rules of Order:
(a) All comments by proponents, opponents, or the public shall be
made from the speaker's podium and any individual making comments shall first give their
name, state whether they are a resident of Seward in an audible tone of voice for the record,
and shall limit their remarks to S minutes. This is required because an official record of the
public hearing is being made. No comments shall be made from any other location except the
podium, and anyone making "out of order" comments may be subject to removal from the
meeting.
(b) There will be no demonstrations during or at the conclusion of
anyone's presentation.
(c) These rules are intended to promote an orderly system of holding
a public hearing, to give every person an opportunity to be heard, and to ensure that no
individual is embarrassed by exercising their right of free speech.
(6) The Presiding Officer opens the floor to those on the sign -in sheet in the order
which they appear on the sheet.
(-S) (7) The Presiding Officer calls for additional comments from the audience.
(6) (8) The Presiding Officer closes the public hearing.
1:121 !11:11stlfe that no An_ividua4
TOM any ethef leeafie
fit
e*eept the pedit:11931;'
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11:11d anyone
dufi:111:111'111�111: 01
(b) T-hefe will be no
defnenstfeAiens
(3) The Presiding Officer inquires if there is a motion by any Council
member. If a motion is made, it shall be in the form of an affirmative motion.
(4) Following the motion and its second, Tthe Presiding Officer calls upon the
City Manager to describe the matter under consideration.
(4) (S) The Presiding Officer opens the public hearing, and announces the
following Rules of Order:
(a) All comments by proponents, opponents, or the public shall be
made from the speaker's podium and any individual making comments shall first give their
name, state whether they are a resident of Seward in an audible tone of voice for the record,
and shall limit their remarks to S minutes. This is required because an official record of the
public hearing is being made. No comments shall be made from any other location except the
podium, and anyone making "out of order" comments may be subject to removal from the
meeting.
(b) There will be no demonstrations during or at the conclusion of
anyone's presentation.
(c) These rules are intended to promote an orderly system of holding
a public hearing, to give every person an opportunity to be heard, and to ensure that no
individual is embarrassed by exercising their right of free speech.
(6) The Presiding Officer opens the floor to those on the sign -in sheet in the order
which they appear on the sheet.
(-S) (7) The Presiding Officer calls for additional comments from the audience.
(6) (8) The Presiding Officer closes the public hearing.
1:121 !11:11stlfe that no An_ividua4
(3) The Presiding Officer inquires if there is a motion by any Council
member. If a motion is made, it shall be in the form of an affirmative motion.
(4) Following the motion and its second, Tthe Presiding Officer calls upon the
City Manager to describe the matter under consideration.
(4) (S) The Presiding Officer opens the public hearing, and announces the
following Rules of Order:
(a) All comments by proponents, opponents, or the public shall be
made from the speaker's podium and any individual making comments shall first give their
name, state whether they are a resident of Seward in an audible tone of voice for the record,
and shall limit their remarks to S minutes. This is required because an official record of the
public hearing is being made. No comments shall be made from any other location except the
podium, and anyone making "out of order" comments may be subject to removal from the
meeting.
(b) There will be no demonstrations during or at the conclusion of
anyone's presentation.
(c) These rules are intended to promote an orderly system of holding
a public hearing, to give every person an opportunity to be heard, and to ensure that no
individual is embarrassed by exercising their right of free speech.
(6) The Presiding Officer opens the floor to those on the sign -in sheet in the order
which they appear on the sheet.
(-S) (7) The Presiding Officer calls for additional comments from the audience.
(6) (8) The Presiding Officer closes the public hearing.
CITY OF SEWARD, ALASKA
RESOLUTION 2014-
memben if a motion is made-, it shall be in the foam -of an af&mative fnetion. Fellewing the
eall on individual Couneil members in 11 .
(8) (9) Following the public hearing, discussion occurs among Council
members. The Presiding Officer may call on individual Council members in the discussion.
The Presiding Officer inquires if there is any further discussion by the Council members.
(9)(10) The Presiding Officer inquires if there are any final comments or
recommendations from administration.
40) (11) The Presiding Officer inquires of the Council members as to whether
they are ready for the question.
" (12) The Clerk shall conduct a roll call vote.
Section 3. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
10th day of February, 2014.
AYES:
NOES:
ABSENT:
ABSTAIN:
VACANT:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
S1
BACKGROUND & JUSTIFICATION:
By City Code, "the order of business for the regular meetings of the City Council shall be set by
resolution of the council and incorporated into the Council's adopted Rules of Procedure." (SCC
2.10.55)
The procedure for public hearing items is listed in the City Council Rules of Procedure. However, it
is inconsistent with how the council handles agenda items that do not require a public hearing, which
is not currently described in the City Council Rules of Procedure.
To be consistent with current practices, it is the recommendation of the City Clerk to change the
order of the public hearing procedure and implement similar language regarding the procedure for
items that do not require a public hearing.
The change in Rule 27 is essentially requesting a motion and second be made by the council before
any public comment or discussion is made for a public hearing item. Currently, the City Council
Rules of Procedure states the agenda item is announced, administration is referred to explain the
item, the public hearing is opened, testimony is given, the public hearing is closed, and then a motion
and second is requested. This resolution simply changes the order of events, by moving the request
of a motion and second to the beginning of the process after the agenda item is announced.
The creation of Rule 26 (c) is addressing the order of business whether the item requires or does not
require a public hearing. This addition patterns the process outlined in the paragraph above.
Additional changes are requested to clean up Rule 26 and 27. Those changes are as follows:
• Rule 26 (a): Under order of business, using the word "citizen" in agenda item number 4 and
number 12, replacing "citizens... and "citizens" for consistency purposes.
• Rule 26 (a): Under order of business, add agenda items number 13, 14, and 15 as they are
routinely used but not formally listed in council's order of business.
• Rule 26 (b): Under consent agenda, change reference to "consent calendar" to "consent
agenda".
• Rule 27 (b) (5) (a): Under public hearings, change citizen residence declaration to be
consistent with the other requirements under addressing the council by the public, which is
stating whether they are a resident of Seward rather than stating their actual residence.
,5L\
Upon researching Robert's Rules of Order and receiving input from nine other City Clerks in Alaska,
it is the clerk's belief these changes are allowable and do not violate any of the public's rights.
INTENT: To formally change the order of business for public hearing items and create a similar
process for non-public hearing items as well as additional minor changes for better consistency and
clarification.
FISCAL NOTE: Clerk did not seek fiscal review.
Approved by Finance Department: N/A
ATTORNEY REVIEW: Clerk did not seek attorney review.
`RECOMMENDATION:
Approve Resolution 2014-021, amending City Council Rules of Procedure, Rule 26 and 27, to
change the ordef,of business for public hearing items and establish a similar order for non-public
hear—ing- items; and cleaning up other inconsistencies.
AGENDA STATEMENT
Meeting Date: February 10, 2014
From: Johanna Kinney, City Clerk
w
Agenda Item: Non-objection to the Renewa of Liquor License # 5007 for Terry's Fish
& Chips
BACKGROUND & JUSTIFICATION:
The City Council has an opportunity to object to the renewal of Restaurant/Eating Place — Public
Convenience Liquor License #5007 for Terry's Fish & Chips.
The City of Seward Police Department, Fire Department, Utilities Department and the Kenai
Peninsula Borough Finance Department have no objections to the liquor license renewal for
these businesses.
FISCAL NOTE:
In the event the City of Seward chooses to file a protest for the above liquor license renewals,
then under Alaska Statutes the City of Seward will be required to assist in, or undertake the
defense of its protest.
RECOMMENDATION:
Non-objection to the renewal of Restaurant/Eating Place — Public Convenience Liquor License
#5007 for Terry's Fish & Chips.
5
q P
MEMORANDUM
Date:
To: Michelle Endresen Finance /Leases e
�
Department
p
Kari Atwood Finance /Public Utilities / 2AI
Chief Tom Clemons Police De ar ���
Chief Eddie Athey Fire Department
>+ I
From: Brenda Ballou, Deputy Y Cit Clerk a9 z l•
RE: Verifying Compliance For Renewal Of Liquor License
The following business has applied for a renewal of their liquor license. Please review for
compliance with all utilities, lease payments and assessments. Thank you.
Name of Business: Terry's Fish & Chips
Type of License: Restaurant /Eating Place — Public Convenience
License Number: 5007
Department
Status
Initials
Finance /Leases
11+
e
Finance /Utilities
Police Chief
G-
Fire Chief
u
�9►r ,`,i,sPec y�l ort Ge�pl�Gfd q�
January 29, 2014
KENAI PENINSULA BOROUGH
144 North Binkley Street • Soldotna, Alaska 99669 -7520
PHONE: (907) 714 -2160 • FAX: (907) 714 -2388
Toll -free within the Borough: 1- 800 -478 -4441 Ext. 2160
Email: assemblyclerk @borough.kenai.ak.us
Ms. Christine Lambert
Records & Licensing Supervisor
Alcoholic Beverage Control Board
2400 Viking Drive
Anchorage, AK 99501 -1768
RE: Non - Objection of License Renewal
JOHNI BLANKENSHIP, MMC
BOROUGH CLERK
Business Name Terry's Fish & Chips
License Type Restaurant /Eating Place — Public Convenience
License Location City of Seward
License No. 5007
Dear Ms. Lambert,
This serves to advise that the Finance Department has reviewed the above referenced
application and has no objection to the renewal of this license.
Should you have any questions, or need additional information, please do not hesitate to
contact our office.
Sincerely,
Johni Blankenship, MMC
Borough Clerk
JB /klr
cc: Applicant
City of Seward
KPB Finance Department
File
5�
T L S -Lik- 1 "r
"ALASKA
Department of Coll, jjjej�ee, Cfrtl €li3i6fl i��
and Economic
Man:90',263.'Y ,:
i00: J/ io', ,
December 18, 2013
RE: Liquor License Renewal Notice
Attn: Homer City Clerk Kenai City Clerk
Seward City Clerk Soldotna City Clerk
Kenai Peninsula Borough Clerk
rYP
Beverage Dispensary
Lic
2300
DBA ame:
Down East Saloon
Premise ddress:
3125 E End Road
Owner:
Down East, Inc.
Mailing Ad -ess:
3125 E End Road omer, AK 99603
Type:
Beverage Dis nsary
Lic #:
1085
DBA Name:
Kharacte
Premise Address:
3851 S lford
Owner:
L & Inc.
Mailing Address:
8 Shelford, Homer, AK 99603
Type:
Be rage Dispensary
Lic #:
98
DBA Narne:
The A i
Premise Addr s:
453 E Pi eer Ave.
Owner:
Mix Rocks, LLC
Mailing A dress:
4525 Heidi ourt, Homer, AK 99603
Type:
Beverage Dispe ary - Seasonal
Lic
3174
D A Name:
Harbor Grill
remise Address:
4262 Spit Road
Owner:
Don Jose's LLC
Mailing Address: 2052 E Northern Lights Blvd., Anchorage, AK 99508
Is
Renewal Notice 12 -18 -13
Page 1
Type:
Restaurant Eating Place — Seasonal
Lic #:
3021
DBA Name:
Marina Restaurant
Premise Address:
1321 Fourth Ave.
Owner:
C Scott Bald
Mailing Address:
PO Box 845, Seward, AK 99664
Type:
Restaurant Eating Place — Public Convenience
Lic #:
5007
DBA Name:
Teriy's Fish & Chips
Premise Address:
1403 Fourth Ave.
Owner:
Terrance F. Lee
Mailing Address: PO Box 1987, Seward, AK 99664
TNA
Type:
Lic #:
\DBA Name:
N-emise Address
Address:
Type:
Lic #:
DBA Name:
Premise Address
Owner:
Mailing Address:
Beverage Dispensary
102
Don Jose's Soldotna
44109 Sterling Hwy.,
Ernesto Sanchez
44109 Sterling HWY/
B, Soldotna, AK 99669
Brewery/
4546
Kenai 1 Riv. B
enai R' r Brewing Co.
1v - Brewing
241 A spen St. -, Ste, 100
Ken . .
ve: Company
en i ver Brewing Coi
I
Aspen n St.
Aspen St., Ste. 100, Soldotna, AK 99669
Type:
/RestaXant Eating Place
Li c # :
5117
DBA Name:
Odie 's
Premise Addr
44315 St e r h n wy.
.
Owner:
Melodie Symin g n
Mailing A ress:
44315 Sterling H
So ldotna, AK 99 669
Type:
Restaurant Eating Place
Lic
5177
D A N a me:
Pizza Boys
remise Address:
44686 Sterling Hwy.
Owner:
Pizza Boys, Inc.
Mailing Address:
PO Box 4163, Soldotna, AK 09660
6o
Renewal Notice 12-18-13 Page 6
'A I F SEw
�J
'a�ASK�
AGENDA STATEMENT
Meeting Date: February 10, 2014
From: Johanna Kinney, City Clerk
Agenda Item: Non - objection to the Renewal Liquor License # 324 for The Seward
Alehouse
BACKGROUND & JUSTIFICATION:
The City Council has an opportunity to object to the renewal of Beverage Dispensary Liquor
License #324 for The Seward Alehouse.
The City of Seward Police Department, Fire Department, Utilities Department and the Kenai
Peninsula Borough Finance Department have no objections to the liquor license renewal for
these businesses.
FISCAL NOTE:
In the event the City of Seward chooses to file a protest for the above liquor license renewals,
then under Alaska Statutes the City of Seward will be required to assist in, or undertake the
defense of its protest.
RECOMMENDATION:
Non - objection to the renewal of Beverage Dispensary Liquor License #324 for The Seward
Alehouse.
(c�1
9a
b -�
q�
MEMORANDUM
Date: January 22, 2014
To: Michelle Endresen Finance /Leases
Kari Atwood Finance /Public Utilities
Chief Tom Clemons Police Department
Chief Eddie Athey Fire Department
From: Brenda Ballou, Deputy City Clerk
RE: Verifying Compliance For The Renewal Of Liquor License #324 at The Seward
Alehouse
The following business has applied for a renewal of their liquor license. Please review for
compliance with all utilities, lease payments and assessments. Thank you.
Name of Business: The Seward Alehouse
Type of License: Beverage Dispensary
License Number: 324
Department
Status
Finance /Leases
AInitials
Finance /Utilities
C)k--
Police Chief
Fire Chief
6 ;�'
February 3, 2014
mENAI PENINSULA B
OROUGx
144 North 8inWeyStreet wSo|dotne. Alaska QQ8S9-752O
PHONE: (907) 714-2160 * FAX: (907) 714-2388
ToU'freewithin the Borough: 1-800-478'4441 Ext. 2160
Email: aayomblyo|erk@bornughkenaiak.ue
Ms. Christine Lambert
Records & Licensing Supervisor
Alcoholic Beverage Control Board
24UO Viking Drive
Anchorage, AK 99501-1788
RE: Non-Objection of License Renewal
Business Name The Seward Alehouse
License Type Beverage Dispensary
License Location City ofSeward
License No. 324
Dear Ms. Lambert,
JOWNIBLANKENSH|P.k0KOC
BOROUGH CLERK
This serves to advise that the Finance Department has reviewed the above referenced
application and has no objection to the renewal of this license.
Should you have any questions, or need additional information, please do not hesitate to
Sincerely, contact our office.
Johni Blankenship, K4K8[
Borough Clerk
cc: Applicant
City ofSeward
KPB Finance Department
File
+
/ z
THE STATE
"'ALASKA
January 22, 2014
SI:'A\' PAk\F1,11
RE: Liquor License Renewal Notice
Attn: Homer City Clerk
Seldovia City Clerk
Soldotna City Clerk
HOMER
Department of Commerce, Community,
and Economic Development
ALCOHOLIC BEVEAWjE CONTROL BOARL)
Kenai City Clerk
Seward City Clerk
Kenai Peninsula Borough Clerk
Type:
Beverage Dispensary
Lic #:
1252
DBA Name:
Aj's Oldtown Steakhouse & Tavern
Premise Address:
120 W Bunnel Ave.
Owner:
APS Investments LLC
Mailing Address:
135 W Bunnell Ave., Homer, AK 99603
Type:
Club
Lic #:
367
DBA Name:
BPO Elks Lodge #2127
Premise Address:
215 W jenny Way
Owner:
BPO Elks Lodge #2127
Mailing Address:
215 W jenny Way, Horner, AK 99603
Type: Package Store
Lic #: 4162
DBA Name: Oaken Keg
Premise Address: 90 Sterling Hwy.
Owner: Safeway Inc.
Mailing Address: Po Box 29096 MS 6531, Phoenix, AZ 85038-9096
Type: Restaurant Eating Place — Public Convenience
Lic #: 3666
DBA Name: Happy Face
Premise Address: 4400 Homer Spit Road
Owner: Hyang-Suk Yuk & Chae Myong Yuk
Mailing Address: 4400 Homer Spit Road, Homer, AK 99603
2400 Vikiflg Dfilv(:;
At)chot'age, Alaska 9950 �
Mail-]: 907,269.035C,
TDD: 907.465.543,
Fax 907.334.228,,.
L\
Renewal Notice 1-22-14 Page 1
Type:
Package Store
Lic #:
4535
DBA Name:
TJ Seggy's
Premise Address:
50470 Sterling Hwy.
Owner:
TLS, Inc.
Mailing Address:
50470 Sterling Hwy., Soldotna, AK 99669
Type:
Package Store
Lic #:
1294
DBA Name:
Big John's
Premise Address:
No Premises
Owner:
Irini, Inc.
Mailing Address:
PO Box 151, Kenai, AK 99611
Type:
Recreational Site - Seasonal
Lic #:
4969
DBA Name:
Fireweed Meadows
Premise Address:
72749 Milo Fritz Avenue
Owner:
Kyllonen Enterprises Inc.
Mailing Address:
PO Box 49, Anchor Point, AK 99556
Type:
Restaurant Eating Place
Lic #:
5014
DBA Name:
AK Supperclub.com
Premise Address:
64316 Elizabeth Street
Owner:
Paul & Angela Warner
Mailing Address:
PO Box 39856, Ninilchik, AK 99639
Type: Restaurant Eating Place
Lic #: 5156
DBA Name: Gwin's Lodge / Gwin's Roadhouse
Premise Address: 14865 Sterling Hwy.
Owner: Gwin's Resorts, LLC
Mailing Address: PO Box 769 Cooper Landing, AK 99572 -0769
Type: Beverage Dispensary
Lic #: 324
DBA Name: The Seward Alehouse
Premise Address: 215 Fourth Ave.
Owner: Seward Alehouse, Inc.
Mailing Address: PO Box 2442, Seward, AK 99664
Renewal Notice 1 -22 -14
Page 4
City of Seward
P.O. Box 167
Seward, Alaska 99664-0167
Main Office (907) 224-4050
Facsimile (907) 224-4038
February 11, 2014
Docket Management Facility (M- 30)
U. S. Department of Transportation
West Building Ground Floor
Room WI 2- 140
1200 New Jersey Avenue, SE
Washington, DC 20590- 0001
Commander, 17th Coast Guard District
Inspections and Investigations (Dp)
PO Box 25517
Juneau, Alaska 99802
Attn: Lt Tom Pauser
City of Seward, A64o
1963 1%5 2005
b . #V WE g
All•America City
I I I I [F
Re: Recertification of the Prince William Sound Regional Citizens' Advisory Council, DOC Number
USCG-2013-1003
The City of Seward has proudly been a member of Prince William Sound Regional Citizens' Advisory
Council (PWSRCAC) since its inception. This letter is to affirm the City of Seward's continuing strong
support of the recertification of PWSRCAC. The City of Seward directly benefits from several of
PWSRCAC's programs as listed below:
• Knowledge of spill prevention programs which help assure that the best available technology is
used to protect tank vessels transiting out of PWS.
• Opportunities to review contingency plans for oil spill prevention and response.
• Knowledge of the Federal Unified Plan, Cook Inlet, PWS & Kodiak Sub-Area plans, and
associated response guidelines.
• Awareness of the enhanced response planning for oil spills originating within PWS but
extending into the Cook Inlet Sub-Area and threatening Resurrection Bay as did the oil spilled
from TN Exxon Valdez.
• Consideration of alternatives to improve oil spill prevention and response.
• Opportunities to monitor the current state of the environment and to mitigate potential adverse
impacts of various oil spill response strategies.
• Opportunities to work with the communities within the PWSRCAC region of responsibility to
improve community emergency response planning and capabilities; including marine
firefighting training.
The City of Seward respectfully requests that you recertify the PWSRCAC and continue to support their
efforts.
Respectfully,
Mayor Jean Bardarson
City of Seward
In Anchorage: 3709 SI)enard Road /Suite 100 /Anchorage, Alaska 99503 1! (907) 277-7222 1 FAX (907) 277-4523
In Valdez: RO. Box 3089 /i 130 South Meals / Suite 202 / Valdez, Alaska 99686 / (907) 334.5000/ FAX (907) 83,5-5'926
MEMOEPS
January 27, 2014
Mosko Stutz
Chamber of
Mayor Jean Bardarson
Commerce
City of Seward
PO Box 167
Alaska Widerness
support for recertification of the Prince William Sound Regional Citizens'
Recreatoii a Tourisin
410 Adams St
A$So,iatioh
year and it is important that they hear periodically from our member
Cl t
, i y of 5eldevia
Seward, AK 99664
Chugach Afcsko
Corparotion
Dear Madam Mayor Bardarson:
City cf Cordova
I am contacting you as one of our member organizations to ask for a letter of
city of Homer
support for recertification of the Prince William Sound Regional Citizens'
City -of Kodiak
Advisory Council, The Coast Guard is required to review our certification every
year and it is important that they hear periodically from our member
Cl t
, i y of 5eldevia
organizations when this process goes out for public comment every three
yea rs,
City of se.warld
rityof Valdez
Your letter doesn't need to be long —just a few paragraphs emphasizing how
important the work of PWSRCAC is in preventing oil spills like the Exxon Valdez
Coy of WOOer
and making sure there will be a better cleanup if anything like it ever happens
Community of
again,
Chenega Say
L etters need to reach the Coast Guard in Washington, DC or Juneau by March
Communoyof
Ta*itlek
7, 2014, at either of the following addresses:
Cordova Disirlcf
h,vqivt United
Docket Management Facility (M30) Commander, le Coast Guard District
Kenai Penintul a
Borough
US Dept of Transportation Inspections and Investigations (Dp)
West Building Ground Floor PO Box 25517
Kodiak Island
Room W12-140 Juneau, AK 99802
Sorouch
1200 New Jersey Ave SE Attn: Lt Tom Pauser
Kodiak VOlace Mayors
Washington, DC 20590-000.1
ASSociat" n
Oii Alternatively, comments, and letters can be submitted on line through the
Environmenial Federal eRulemaking Portal at http.//www,rgR�L1atio via to
Cnoiiflan . ....... [ILp
,,ov, or via
Thomas.e.pauser@uscg,mil. Comments may also be submitted by fax to (202)
Pori Srahan' 493-2251.
Corporation
Prince Wiliam Sound
AquocWture
Corporati n
0 Pifinaed oD Reryded Now
Letters should reference DOC NUMBER USCG-2013-1003, which is the document
number of the Coast Guard's Federal Register notice about our recertification.
if you need more information about this, you can contact me or Steve Rothchild,
our Administrative Deputy Director at stephen.rothchild@pwsrcac.org or 907-
273-6230.
For your reference, I am enclosing a letter from your organization supporting us
in a previous recertification application, for which our council remains deeply
grateful.
Thanks for considering our request,
Mark A. Swanson
Executive Director,
Prince William Sound Regional Citizens' Advisory Council
(0'9
Johanna Kinney
From:
'herbert~]herbed6Dsewaod.net»
Sent:
Sunday, 2620142:45PIVI
To;
Johanna Kinney
Subject:
Regional Citizens' Advisory Council Report
Attachments:
Report toOtv[Vunci|Ol-27'2Ol4.doc
Follow Up Flag: Follow up
Flag Status: Flagged
J: Attached please find a report of my activities with the PWS RCAC over the past few months. Will you please see it is
sent to staff and Council? |can provide more information oo desired bv the Mayor or the Council.
| will be providing you with language for o letter ofsupport for the triennial recertification of the Council. | believe this has
been done regularly in the past since Seward ium charter member of the Council. The majority of the attention bvAlyemke
is directed at activities and communities within PWS; but loud voices from Seward, Seldovia, Homer, and Kodiak remind
the Council and Alyeska that oil spill prevention and response is a regional matter.
Thanks and regards
Jim Herbert
Spam
Not sp
Forget previous vote
ME
To: Mayor Bardarson and the Seward City Council
From: Jim Herbert, Seward representative PWS Regional Citizen's Advisory Council
Date: 27 January 2014
Re: Fall and Winter Activities
I have served as the City of Seward representative on the PWSRCAC for nine months.
Since my last report concerning the Board of Directors Meeting in Seward in late
September I have had a solid involvement in many aspects of Council work. My role as
organization Treasurer means frequent interactions with the chief financial manager and
serving as chairman of the Finance Committee. Formal meetings of this committee are
held quarterly and informal sessions as needed. Meetings can be in person in Anchorage
or by teleconference.
The Treasurer also serves on the Executive Committee which is empowered to take
actions between meetings of the full Board [20 members from across the region affected
by the Exxon Valdez Oil Spill].This committee makes financial, administrative and
policy decisions as required.
I also serve as a member of the Oil Spill Prevention and Response Technical Committee.
This group evaluates and suggests research projects and reviews reports that further the
work of the organization with regards to spill prevention and response. For example,
there has been a thorough study comparing the escort tug boats in PWS with the best
available technology in other parts of the world.
The full Board of Directors met in Anchorage January 23 and 24, 2014. Administrative
matters dominated the first morning. The Valdez Terminal and shippers gave reports that
indicated safe and successful operations during the fall and thus far this winter. RCAC
Executive Director Mark Swanson gave an exhaustive report on activities of his staff
since the September Board meeting including travel to communities in the region and
meetings regarding oil spill response.
The Board received reports and updates on various terminal and tanker related items.
Alyeska gave a report on Valdez Marine Terminal Inventory Management. As flow of
crude oil down the pipeline decreases and lower 48 oil goes to west coast refineries, there
are new problems and technology being implemented to build efficiencies and safety into
the system. The study concerning the remote control of the operation of the terminal by
an operations center in Anchorage generated some coverage by Anchorage television
news. Another report focused on the presence of non-indigenous species carried into
PWS by ballast water and by hull fouling. Seward residents have similar concerns for
Resurrection Bay with the arrival of coal ships and cruise ships from distant waters. The
Sea Life Center has monitored the north end of Resurrection Bay for European Green
Crab with a grant from RCAC.
One report that caught my interest was on Long Tenn Environmental Monitoring of PWS
for the period 2008-2012. The bottom line is that near the Valdez Terminal and in most
places in PWS hydrocarbon levels in the sediments and in organism such as mussels have
dropped to background levels. The environment has mostly cleaned itself up. However,
some samples taken in Resurrection Bay in 2010 and earlier showed high levels of the
measured hydrocarbons. I need to look into this matter a bit more to understand the
significance of these numbers for Seward.
Members expressed concern that the Alaska Department of Environmental
Conservation's Spill Prevention and Response Division was looking at funding shortfalls
in the future. It is through cooperation with such state and federal agencies that RCAC
has the most effect on enforcing existing regulations and ensuring industry compliance.
This seems to be the best way to prevent oil spills.
The third week in March the Sea Life Center will host a RCAC program on the 25th
Anniversary of the Exxon Valdez Oil Spill. It will be featured in communities around the
region. Local resident Bob Linville was interviewed for his experiences during the 1989
Spill. This will be part of a University of Alaska historical documentation of the event.
In the next few weeks I will be requesting Mayor Bardarson and the Council to sign a
letter of support for the continued certification of the PWSRCAC. Every three years it
must be considered for recertification by the US Coast Guard under the terms of the Oil
Pollution Act of 1990. I understand you have provided a letter of support in the past.
The City may choose to make comments on the new federal plan for the use of
dispersants in the event of an offshore spill of crude oil. Similarly there is a comment
period coming for a diminished role for entities like the City of Seward in an Incident
Command System when responding to a serious marine incident such as the Kulak
grounding a year ago.
I can provide more details on any matters you request and am happy to talk to any of you
on matters of personal concern.
`-) 1
City Of !
Certificate Of • • •
Awarded •
Deputy City Clerk
Wenda Ballou,
Brenda Ballou, Deputy City Clerk for the City of Seward, earned the
prestigious designation of Certified Municipal Clerk from the International
Institute of Municipal Clerks on January 30, 2014. Ballou has shown
tremendous dedication by achieving this title in just three years.
Congratulations from the Seward City Council on this great accomplishment!
Dated: February 10, 2014
Jean Bardarson, Mayor
Johanna Kinney
From: Brenda Ballou
Sent: Thursday, January 30, 201411:20 AM
To: Johanna Kinney
Subject: FW: Congratulations on your CIVIC Designation
From: Ashley Carroll rrnailto:ashley0iimc.corn]
Sent: Thursday, January 30, 2014 10:10 AM
To: Brenda Ballou
Subject: Congratulations on your CIVIC Designation
International Institute of Municipal Clerks
in Lora! Gow"'11nient
01/30/2014
Dear Brenda J. Ballou, CMC:
Congratulations! It is my pleasure to inform you that you have fulfilled all the requirements of the Certified
Municipal Clerk (CMC) Program of the International Institute of Municipal Clerks (IIMC) and have earned
your CMC designation. Your certificate and your pin will be shipped to you at a later date.
The CMC is more than a pin, a certificate and three letters at the end of your name. It is a declaration that you
are proficient in your important position and that you have demonstrated mastery of administrative skills critical
to good government.
Please know that you also have the option of enrolling in the MMC program to become a Master Municipal
Clerk (MMC). If you decide to do so, or if you would like more information on the program, please contact me
at ashlevaiimc.com.
I extend my warmest congratulations to you and wish you all the best in your professional endeavors.
Ashley Carroll
Verification Specialist
IIMC Education Department
Spam
Not spam
Forget previous vote
W
onat
/*149, to
Hereby Confers The Title of
Tirtitico )fRURICIVaf �ferk
upon
Brenda J. Ballou, CMC
who has completed the requirements prescribed by the
International Institute of Municipal Clerks for Certification.
{You must remain an active member for IIMC to recognize your CMC)
Certified This 30 Day Of January A.D. 2014
IIMC President IIMC Director of Education
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