HomeMy WebLinkAboutRes1986-008
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CITY <F SEWAR>. ALASKA
RESOLUTION NO. 86- 8
A RESOLUTION OF THE CITY COUNCIL OF CITY OF SEWARD. ALASKA.
PROVIDING FOR THE ACQUISITION OF A PARCEL OF LAND FROM THE ALASKA RAILROAD.
AND SUBSEQUENT SUB-LEASE. ALONG WITH CITY PROPERTY.
TO THE U.S. COAST GUARD FOR A SHORE SUPPORT FACILITY
WITHIN BLOCK 6. OCEANVIEW SUBDIVISION
WHEREAS. the U.S. Coast Guard has. for many years. leased on a
short-term basis a parcel of land within the Seward Small Boat Harbor for a
shore-based support facility; and
WHEREAS. the Coast Guard has received appropriations to construct
a larger. permanent facility that requires a long-term lease commitment in
order to amortize the capital improvements; and
WHEREAS. it has been determined that a portion of the lease site
is actually owned by the Alaska Railroad Corporation; and
WHEREAS. because of the vessel moorage location and previous
investment in a sewage lift station. the present site is the only practical
location for an operations center; and
WHEREAS. the Alaska Railroad Corporation has agreed to lease its
portion of the proposed site to the City of Seward in order that it be
combined with the City's parcel for lease to the U.S. Coast Guard; and
WHEREAS. the City Council finds it in the public interest to
acquire said parcel from the Alaska Railroad Corporation and to sub-lease
that parcel. along with City property. to the Coast Guard for a shore-based
support center; and
WHEREAS. the City Council finds it in the public interest to take
the above action without benefit of a public sale or bid; and
WHEREAS. the City Council hereby finds that the subject parcel has
not been dedicated to any other public use;
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 execute the
land lease between the City of Seward and the U. S. Coast Guard. a copy of
which is attached and incorporated herein by reference.
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CITY OF SEWARD, AL'A
RESOLUTION NO. 86-
Page 2
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Section 2. The City Manager is hereby authorized to enter into a
lease agreement with the Alaska Railroad Corporation, based on the letter of
commitment which is attached and incorporated herein by reference.
Section 3. The lease of land to the Coast Guard is contingent
upon completion of a lease from the Alaska Railroad.
Section 4. This Resolution shall take effect thirty (30) days
following passage and posting.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, this 27th day of January , 1986.
AYES:
NOES:
ABSENT:
ABSTAIN:
BOOHER, GIESELER, GILLESPIE,
NONE
SIMUTIS
NONE
ATTEST:
(City
CITY OF SEWARD, ALASKA
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ, POWELL
AND BRUNDIN, Attorneys for the
City of Seward, Alaska
7~f?/~
Fred B. Arvidson, City Attorney
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~SPECIAL PROVISIONS OF LE~
BETWEEN
THE CITY OF SEWARD
AND
THE U. S. COAST GUARD
1. DISPOSITION OF IMPROVEMENTS: Improvements made upon the
lands by the Lessee shall upon the expiration, termination or
cancellation of this lease or of any renewal thereof:
a. Be removed by the Lessee within thirty (30) days of the
effective date of expiration, termination or cancellation,
providing that the footings or foundations may be left in place,
or
b. With the consent of the Lessor be sold or otherwise
transferred to any succeeding lessee or
c. With the consent of the Lessor and upon ten (10) days
advance notice to the Lessor in writing, be abandoned .in place.
Provided that the Lessor shall extend the time for sale,
removal or other disposal of such improvements in cases where
hardship is proven by the Lessee and further provided that
during any such extension the Lessee shall pay rent at the
current rate. Nothing herein authorizes the Lessee to take any
disposal action not authorized by applicable federal
regulations.
2. RESTORATION: At the Lessor's option, the Lessee will return
leased land to a clean and level condition should Lessee
exercise the option to remove all improvements. Lessee will be
given a reasonable amount of time to complete restoration work.
Lessor shall provide Lessee with written notice of its intent to
exercise this option no later than the last effective day of
this lease or any renewal period. Both parties understand the
restoration will be subject to the availability of funding from
Congress.
3. RENTAL ADJUSTMENT: Beginning in the year 1990, the Lessor
or the Lessee may, by giving written notice at least ninety (90)
days prior to the end of the then current federal fiscal year,
reques t renegot ia tion of the current rent. The requested
adjustment in rent will be subject to negotiation and if an
agreement is reached, a supplemental agreement to this lease
will be issued reflecting the new rental rate. Any new rental
rate specified in a supplemental agreement shall apply to
renewals of the lease for a minimum of five (05) fiscal years.
Renegotiation of the rental amount may. again be requested upon
the expiration of each Supplemental Agreement subject to the
procedures of this paragraph. In the event that an appraisal is
done as a part of such negotiations, the appraisal formula shall
call for a value of the land at its highest and best use. The
land will be considered as vacant, unimproved and unencumbered
without regard to this lease or any renewal thereof.
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4. NOTICES: t notice, order, direcAtn", determination,
requirement, consent or approval under this lease shall be of
any effect unless given in writing by such City of Seward
official as may be designated and a~proved by the City of Seward
City Council. All notices required by this lease shall be sent
by registered or certified mail or delivered personally
addressed to the Lessee or to the Lessor as may be appropriate
at the respective addresses contained in this lease or such
addresses as the parties may designate in writing.
5. EXCLUSIVE USE: The Lessor warrants that the Lessee shall
have the exclusive use of the premises during the initial term
and during all subsequent renewals of said lease.
6. INGRESS/EGRESS: The Lessor warrants that the Lessee shall
have free and unlimited ingress/egress to the premises during
the initial term and during all subsequent renewals of said
lease.
7. TITLE EVIDENCE: Wi thin six (06) months of entering into
this lease, if the Lessee so requests, the Lessor shall provide,
at the Lessee's expense, title evidence sufficient to satisfy
the Department of Justice that the Lessor has title to the land
and can guarantee the Lessee peaceable possession.
8. UTILITY COSTS: Utility hook-up and
not exceed those normally charged
enterprises; as set forth in established
Seward, Alaska public utilities activity.
user charges will not
similar commercial
rate schedules of the
9. LIABILITY: The Government, in the manner and to the extent
provided by the Federal Tort Claims Act, as amended (28 U.S.C.
Sections 2671-2780) shall be liable for and shall hold the
Lessor harmless from, claims for damage or loss of property,
personal injury or death caused by the acts or omissions of the
Government, its officers, employees, or agents in the use of the
granted premises.
10. BILLING: Each quarterly rental payment must
separate voucher from the Lessor and addressed
(fac-2), Seventeenth Coast Guard District, P.
Juneau, Alaska 99802-1217.
be requested by
to: Commander
O. Box 3-5000,
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January i5. 1986
The Honorable H=n'Y Gieseler, Mayor
Mamhets of the Clty Councll
C~t)' of Seward
Seward. Alaaka 99664
Re: Lcn,.- Term Lease. U. S. Coast Guard Facllity, Seward AlaaI<a
Dear Mayor Cieeitle: and Members 01' the City CouncU:
!t l.s at the requesl: of l\I1r. K&r1')l Martin. Admlnlstratlve Aulsl:ant for the CIty of
Seward, that I am writing you this letter. t mlgtlt add that Mr. Martin hu
professionally and dlligsntly pursued a ruo1uticn to this issue. and I am sorry to MY
t.hat, at thli Ume, it eeema 1:0 be the Alaaka Rallroed CQrporal;j,on which "18 hold1ng
up progress.
The Alaal<a RaUroad CorporatIon I.e nearln; complet1on of a new IOOl;;l-t!rm lease
polley and naw long-term lea.. documenl:s. 1 anticipate a flnaL ~al review ana
approval of such documents to be completed by our January 27, 1986, Alaika
R.U1ooaA:I C"l'pOl'lltl"" li~ M_tlng. OW' old fodo1'1l1 10UC1 dccl.lments are grossly
lnedeqU41l:e 'or both l.-or IInd l...no and clln no longer- be used..
In the m"l"l\:lme, l:nia l.tter wW NI'VO tll II letter of commitment l'rom the Alaska
Flallroad Corporation to certain t:er'ma th4t will be Included 1n the future leata
bel:w..n the Alaej.c. Railroad Corpo!'atlon and the CIty at seward ror the shore
support facility. A 1~ dnorlpt1cn of the land 1, enctcaed as Ellh1blt A.
1. The Alaska Ral.1rcad Corporation wlllleue to the CIty of SewMd
for 50 percent of the fair marl<et value, as determined by a q1JaUfled appr4!ler.
2. The Clty of Seward and the Alael<a Railroad Corporation will have
a mutual termination clause written lnto the lea8e document.
3. Glven Alaska Ftailtcad CorporatIon approval, which will not
un:N&~nUll)' b. wi~nh.ld, the CIty of Seward wW hitit'll the right to IiIssIgn or aUb1et
the premltM.
(Not:.: The concept. .u~et.ed in Items 2 end 3 above, are tc protect the
Clty of' Seward. "'ould tt1e U. S. Qg<<" CiUerd ~flWlt or termlnate the 18aM.)
tt>1Sl:fl:;1 H:)~II;:j' J~~I:;I \72: r r '38, sr Nl:;lf
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Mayor 01...1er and Memben of
the City COl.lncU. seward, Ala8ka
January 1S. 1986
Pa'ile Two
Althaugh it 18 h1ghly uncrthcdcx tc 1__ and and allcw . bl,l.\ldlng b;J be conetl'Ucted
thaI; "",111 =-<;1_ 1<;1: lln_, _ in 1:hl. ~l",,",~ ~_. 11; 1. the obJeotlve 01' the A~.
P'ltellroad Corporation to accommodate the cltlzenll ot S.ward and .uow .~1' the
upgrading of' this U.S. Coast Guard facUity.
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Larry J. Houle
Assistant Vice PreIldent
Realty Polley &: Plannlng
Enclosure
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