HomeMy WebLinkAboutRes1983-085
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 83-85
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, TAKING OFFICIAL ACTION WITH RESPECT
TO THE ISSUANCE OF ITS NONRECOURSE REVENUE BONDS IN THE
AMOUNT OF $12,000,000 TO PROVIDE FUNDS TO FINANCE THE
ACQUISITION, CONSTRUCTION AND EQUIPPING OF A MARINE TERMINAL
FACILITY FOR SEAWAY EXPRESS CORPORATION, AN ALASKAN CORPORATION
OR A SUBSIDIARY THEREOF
WHEREAS, pursuant to the Constitution of the State of Alaska,
the electors of the City of Seward (the "City"), have adopted a home
rule to govern its affairs (the "Charter"), which Charter was amended
pursuant to an election held on October 4, 1983, to permit the issuance
by the City of industrial revenue bonds; and
WHEREAS, Seaway Express Corporation, an Alaska corporation or
a subsidiary thereof (the "Company"), intends to undertake a project
consisting of the acquisition, construction and equipping of a marine
terminal facility, fully described in Exhibit A hereto (the "proj ect")
within the boundaries of the City; and
WHEREAS, the Council of the City deems it advisable for the
City (1) to issue its nonrecourse revenue bonds (the "Bonds") for the
purpose of financing the Project and (2) to enter into contracts and
agreements with the Company whereunder the Company will provide money
sufficient to pay the principal of, premium, if any, and interest on
such Bonds;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. It is hereby determined that (a) the acquisition,
construction, installation and equipping of the Project and its opera-
tion as an industrial development facility; (b) the issuance of up to
$12,000,000 principal amount of the Bonds of the City to finance all or
a portion of the costs of the Project, such costs presently estimated to
be approximately $18,000,000; and (c) the execution and delivery of such
contracts and agreements with the Company as are necessary to provide
for the payment by the Company of amounts sufficient to pay the princi-
pal of, premium, if any, and interest on the Bonds, together with
certain costs of the City, will all be in furtherance of the best
interests of the City.
Section 2. The City presently intends to authorize the
issuance and sale of the Bonds when and if requested to do so by the
Company and hereby expresses its present approval of such issuance and
sale. This resolution is not intended to legally bind the City to
authorize, issue or sell the Bonds.
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 83-85
Section 3. The authorization, issuance and sale of the Bonds
by the City contained herein are subject to the following conditions:
(a) The Bonds shall be payable solely from money re-
ceived from and security provided by the Company;
(b) The Company shall enter into such contracts and
agreements with the City as shall be necessary to secure
payment of the principal of, premium, if any, and interest on
the Bonds as and when the same shall become due and payable;
(c) On or before two (2) years from date hereof (or such
later date as shall be mutually satisfactory to the City and
the Company) the City and the Company shall have agreed to
mutually acceptable terms and conditions of the contracts and
agreements referred to in Paragraph (b) of this section;
(d) The Project is determined to be consistent with
policies and objectives of the City;
(e) The City shall have received a preliminary oplnlon
of the City's Bond Counsel that the Bonds may be issued as
tax-exempt obligations pursuant to the provisions of the
Internal Revenue Code of 1954, as amended, and applicable
regulations thereunder.
Section 4. The proper officials of the City are hereby
authorized to take such further action as is necessary to carry out the
intent and purposes hereof and to issue the Bonds upon the terms and
conditions and for the purposes stated herein and in compliance with
applicable provisions of law and the Charter.
Section 5. It is intended that, as to the proj ect to be
financed from the proceeds of the Bonds, this resolution shall consti-
tute an official action of the City, including, without limitation, the
"other similar official action" referred to in Paragraph 1.103-8 (a) (5)-
(ii) and (iii) of the Federal Income Tax Regulations.
Section 6. This resolution shall take effect immediately upon
its adoption.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, this 21st day of November , 1983.
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THt~Y o'trnj I:;:
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DONALD W. CRIPPS, MAYOR
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 83-85
EXHIBIT A TO RESOLUTION NO.
83-85
Project Description
The proj ect consists of a marine loading and unloading terminal
facility to be constructed on property long-termed leased from the
Alaska Railroad on the waterfront within the boundaries of the City of
Seward. Trailers, equipment and material will be off-loaded from barges
arriving at the marine terminal, will be stored at the Project site, and
then transported to various locations on the Kenai Peninsula, Anchorage,
Fairbanks, and other points in Alaska. Empty and in-transit trailers
and equipment will return to be stored at the staging and storage area
at the marine terminal. The Proj ect will include an elaborate story
ramping system, site preparation, installation of utilities, construc-
tion and installation of administrative storage and maintenance build-
ings and equipment including fork lifts, mobile cranes, welders, com-
pressors, stevedoring equipment, yard hostlers, trailers, communication
equipment and other related equipment to be used at the terminal. The
Project will require the acquisition and installation of new and exist-
ing utilities and other things necessary in connection with the fore-
going general description.
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 83-85
AYES:
NOES:
ABSENT:
ABSTAIN:
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Cripps, Gillespie, Hilton, Meehan, Swartz, Wilson
None
Williams
None
ATTEST:
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ, POWELL
AND BRUNDIN, Attorneys for the
City of Seward, Alaska
%.d 17;/~
Fred B. Arvidson, City Attorney
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