HomeMy WebLinkAboutRes1984-060
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06/11/84
FBA/rsa
CITY OF SEWARD, ALASKA
RESOLUTION NO. 84-60
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, PROVIDING FOR THE TAKING OF
THE LEASEHOLD INTEREST AND DOCK PERMIT OF VECO
OFFSHORE, INC.
WHEREAS, by prior action of the City Council of Seward,
Alaska, the City leased certain properties to Veco Offshore,
Inc., under the terms of that certain lease agreement dated
the 20th day of July 1981, and provided to Veco
Offshore, Inc., a permit for the operation of public port
facilities in accordance with that certain Dock Permit dated
the 11th day of November , 19~, and
WHEREAS, Veco Offshore, Inc., has been in default of
its obligations under the Lease Agreement which was terminated by
the City on January 9 1984, and the Dock Permit was to be
utilized by Veco Offshore, Inc., in its operation of its
facilities to be constructed under the Lease Agreement, and
WHEREAS, Veco Offshore, Inc. , has contested the
termination in the Superior Court for the State of Alaska and
immediately upon service of the complaint the City proceeded to
determine whether and to what extent Veco Offshore, Inc., claimed
a possessory interest in the port facilities at the Fourth of
July Marine Industrial Center, and
WHEREAS, Veco Offshore, Inc., has refused to disclaim
any possessory interest in the Seward Marine Industrial Center,
and
WHEREAS, the City has for a number of years,
including the Lease and Dock Permit to Veco Offshore,
attempted to provide for the private development of a
industrial center located at and on facilities constructed
City at the Seward Marine Industrial Center, and
and
Inc. ,
marine
by the
WHEREAS, the
nearing completion and
available for immediate
facilities
are already
use, and
under construction are now
in such a condition as to be
WHEREAS, until such time as the interests of Veco
Offshore, Inc., in the land and facilities are determined it will
be difficult if not impossible to find suitable substitute
tenants and operators for the facilities, and
WHEREAS,
and construction
thereto are in the
the operation of the public port faci Ii ties
of private industrial facilities adjacent
public interest, and
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RESOLUTION NO. 84-60 e
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WHEREAS, the lease and grant of a permit for operation
of the dock are in the public interest and it is in the public
interest to pursue such agreements as rapidly as possible in
order to prevent the publicly constructed portions of the
facility from being vacant, and
WHEREAS, the operation and development of
Marine Industrial Center can not reasonably take place
time as the interests, if any, of Veco Offshore,
determined, and
the Seward
until such
Inc., are
WHEREAS, the existing litigation betwen Veco Offshore,
Inc., and the City will encumber the Seward Marine Industrial
Center and make it difficult for the City to attract private
enterprise to the City, all to the detriment of the public
interest, and
WHEREAS, the City has been unable to negotiate with
Veco Offshore, Inc., for the relinquishment of its claims to the
property, and
WHEREAS, A.S. 29.73.020 grants to a home rule city the
power of eminent domain for the public use, and
WHEREAS, A.S. 09.55.420 grants to the City of Seward
the power to obtain the selected property within a short period
of time by means of filing with the condemnation complaint a
declaration of taking, and
WHEREAS, the City Council has determined that taking
the property by the exercise of the power of eminent domain in
which the Superior Court will determine the value of the property
taken is therefore necessary, and
WHEREAS, the City Council is of the opinion that the
value of the interests of Veco Offshore, Inc., is minimal in that
the Lease Agreement was properly terminated by the City of Seward
and the economic interest to be gained by Veco Offshore, Inc.,
under the terms of the Dock Permit are minimal.
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF
CITY OF SEWARD, ALASKA, as follows:
Section 1. The City of Seward, Alaska, by and through
its City Council, hereby directs the City Manager to exercise the
City's power of eminent domain with respect to the real property
identified on that certain Lease Agreement and Dock Permit
between the City of Seward and Veco Offshore, Inc.
Section 2. The City Council hereby authorizes and
directs its attorneys to file a complaint exercising the power of
eminent domain with respect to the properties referred to in the
Lease Agreement and Dock Permit between the City of Seward and
Veco Offshore, Inc., and further authorizes and directs its
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RESOLUTION NO. 84-60 ~
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attorneys to file, if it becomes necessary to
schedules for the development of the Seward
Center, declarations of taking pursuant to A.S.
meet construction
Marine Industrial
09.55.420-450.
Section 3. In the event declarations of taking are
filed, there shall be deposited in court the amounts of money
estimated by the City of Seward to be just compensation for the
interests (if any) taken. Those amounts, if any, are to be based
on the highest range of appraisal values as established by an
independent appraiser to be retained by the City.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, this If day of q~ , 1984.
CITY OF SEWARD, ALASKA
L>>i~->
F. GILLESPIE, V~CE "MAYOR
AYES:
NOES:
ABSENT:
Gillespie, Hilton, Swartz, Williams and Wilson
None
Cripps and Meehan
ATTEST:
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ,
POWELL & BRUNDIN
Fr7~AJf~torney
(City Seal)
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