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<br />CITY OF SEWARD, ALASKA <br />RESOLUTION 2000-009 <br /> <br />WHEREAS, the Maintenance and Operating Agreement retains City ownership of the Shiplift <br />Facility and provides for the continued operation of the Shiplift Facility as a public facility and at <br />reasonable cost to the City and Shiplift Facility users; and <br /> <br />WHEREAS, special expertise, experience, and training is required for the proper maintenance <br />and safe operation of the Shiplift Facility, and it is in the public interest to utilize the experience and <br />expertise of Seward Ship's Drydock, Inc. to provide efficient and safe shiplift services in SMIC; and <br /> <br />WHEREAS, the Shiplift Facility is important for business development in SMIC and economic <br />growth in the City; and <br /> <br />WHEREAS, the City will have an opportunity to re-evaluate the operator's performance prior <br />to any subsequent agreements, if any; <br /> <br />NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF <br />SEWARD, ALASKA, that: <br /> <br />Section 1. For the reasons set forth in the recitals of this Resolution, which recitals are hereby <br />incorporated by reference as written findings of the City Council, it is determined that, pursuant to <br />Seward City Code Section 6.1 0.130, the public interest would best be served by not requiring competitive <br />proposals prior to approving the Maintenance and Operating Agreement described herein. Seward Ship's <br />Drydock, Inc. has demonstrated its ability to maintain and operate the Shiplift Facility, and it is unlikely <br />that the City would be able to further reduce its expenses related to the maintenance and operation of the <br />Shiplift Facility through the solicitation of proposals. <br /> <br />Section 2. The Maintenance and Operating Agreement attached hereto and incorporated by <br />reference as Exhibit A is hereby approved subject to (1) the City and Seward Ship's Drydock, Inc. <br />entering into an effective Lease amendment providing for continued Lease rental credits for deferred <br />maintenance and cable replacement of the Shiplift Facility for the approximate term of the Maintenance <br />and Operating Agreement, and (2) Seward Ship's Drydock, Inc. providing the City a corporate Resolution <br />approving the agreement. The City Manager is authorized to sign this agreement in substantial form as <br />attached hereto on behalf of the City of Seward and may make such changes as necessary to finalize the <br />document for signing. <br /> <br />Section 3. The current Maintenance and Operating Agreement is hereby extended according to <br />its existing terms until the lease amendment and the new Maintenance and Operating Agreement become <br />effective on March 31, 2000, whichever occurs first. <br /> <br />AMMOO51614337.1001 <br />