HomeMy WebLinkAbout2006 PACAB MinutesCity of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 386
CALL TO ORDER
The regular meeting March 1, 2006 of the Seward Port and Commerce Advisory
Board was called to order at 12:00 p.m. by Vice-Chair Karl Van Buskirk.
PLEDGE OF ALLEGIANCE TO THE FLAG
Board member Long led the pledge of allegiance to the flag.
ROLL CALL
There were present:
Karl Van Buskirk, presiding,
D.J. Whitman Jerry Waliezer
Andrew Hettinger Ron Long
Absent: Deborah Alterman
Comprising a quorum of the Board; and
Clark Corbridge, City Manager
Scott A. Ransom, Harbormaster
Judi Sweeney, PACAB Secretary
Marsha Vincent, Board Liaison
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Louis Bencardino, Alaska Railroad Corporation was not present to give a
report.
ADMINISTRATIVE REPORT
Councilmember Valdatta, EDD Representative questioned the status of on-
going lease negotiations with Polar Equipment dba Ocean Beauty saying they want to
expand their lease property. He urged the administration to move forward with this lease.
Administration's Report: City Manager Corbridge spoke on the following:
• Proposed PACAB Resolution (2006-01), he said it is in the clerk's office in the
form of an ordinance to be introduced. It then would go to public hearing at the
March 13 meeting. He added that if introduced at the March 28 meeting and
passed, it would become effective on April 7.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 387
• Regarding the proposed changes in the way boards and commissions operate,
Corbridge referred to a February 27, 2006, Memorandum of Recommendations
for Boards and Commissions. He said there was an amended Memorandum in
progress. He asked that the board read the memorandum in full and reply with
comments or questions. He said these were items related to all boards and
commissions: Planning and Zoning, PACAB and Historic Preservation
Commission. He suggested boards schedule meetings to allow for the greatest
possible amount of time between Council and other boards and commission
meetings; that agendas are finalized a week before the meeting, that it be made
clear that the boards and commission members serve at the pleasure of the
Council. Corbridge suggested changing the name of the PACAB to Commerce
Advisory Board (CAB); that the board is changed from nine to seven members
with four as quorum; give the opportunity for all members of PACAB to resign
effective some date certain to be determined by Council. He suggested that two
regular meetings are scheduled per month and that a CAB member report at every
Council.
• Corbridge noted there was information regarding tidal power in the packet. He
asked that when someone gets information that it be distributed to all board
members so all would be informed. Regarding Port McKenzie, they are
aggressively pursuing gravel sales. He noted that because of the ice-freeze up in
the Cook Inlet carriers could not access McKenzie. Advantages to having gravel
sales promoted out of Seward are apparent such as shorter transportation costs and
Seward's big advantage is the ice-free year-round port.
Waliezer asked Corbridge to share some items that he had reported to Council at
their previous meeting related to the harbor. Corbridge said there were some problems
with how deep some pilings were driven. He said the Corps has a finding of No
Significant Impact for two different alternatives for the breakwater. One would extend to
the west boat harbor and the other would extend easterly. He said that he or the clerk's
office has the number to contact for any comment. Long mentioned that not everyone
watches the Council meetings on TV and he appreciated the update from Corbridge.
Harbormaster Ransom said the 50-ton TraveliftTM has an April 17 delivery date.
He said concerning the piling, it was just on the shore side and a little too low when the
tide came in so they were raised. Ransom said that we have good feedback from the
Corps leaning toward the outside breakwater.
CITIZEN COMMENT ON AGENDA ITEM5 NOT SCHEDULED FOR PUBLIC
HEARING:
Laura Cloward, Chamber of Commerce Director, handed out two color copies
of the Chamber Economic Development packets with inside pouches to add that they
were information as needed. Van Buskirk asked if rock sales were promoted in the
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 388
packet. Cloward said it was not in the packet because Seward was not actively pursuing
~ sales of gravel but if we began marketing the sales, they would include it in the packet.
She said it would be sent to conference planners, re-location planners and businesses that
may want to come to Seward. Cloward said she attended PACOM and noticed quite a
few pictures of Port McKenzie with a huge amount of ice in them and then Seward
pictures without any ice.
Councilmember Valdatta said we have been promoting rock and gravel sales
from Seward for years. He said somewhere in the City's archives is a feasibility study
from Colorado, that was done when the sawmill was going to be built. He said we
already have a good history on hauling rock. Fairbanks is hauling rock to Homer and he
said we should be with less transportation cost and better quality of gravel.
APPROVAL OF AGENDA AND CONSENT AGENDA
MOTION (moved by Long/seconded by Waliezer) approval of Agenda and
consent agenda as amended. Including December 21, 2005 minutes as written
Add under New Business C. Gravel Sales Motion Passed, Unanimous
consent
Corbridge in answer to Hettinger said that the City has a quarry. He said the city
has not been in the business of loading up rock and sending it out but that private
r"~ enterprise has done so. The City then receives per ton or per yard fee for gravel and rock.
UNFINISHED BUSINESS
Goals and Priorities Long with board, approval suggested postponing to the
next meeting to give ample time for other items on the agenda.
NEW BUSINESS
Resolution No. 2006-01, A Resolution of the City of Seward, Alaska Port and
Commerce Advisory Board, Recommending City Council Amend Chapter
2.30, Article 3 of the City Code to Reflect Changes to the Board Size and
Purpose
(Moved by Long/seconded by Waliezer) and passed by unanimous consent.
ALTERNATIVE POWER SOURCES
Board discussion included Wind, Coal Gasification and Hydroelectric. Long
said this was discussed in an earlier economic meeting today. Hettinger said that if we
do it right we could be a test community like the one he grew up in where a computer
~.. company gave every child in school a computer. Van Buskirk said he had talked to
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 389
Bencardino and found that in Alaska, the climate is too cold for hydroelectric power.
Waliezer said he has studied all types of alterative power. He thought that if any type of
alternative power excelled, it would be top news. Waliezer said the only cost effective
power source of course is nuclear power but is not well received. He said there is a coal
gasification plant in Healy. Waliezer said whatever is decided, we need to focus on
where the funding would come. Galena has taken the leadership with nuclear power and
that their physical plant is about the size of two 55-gallon drums.
Kevin Clark, Forest Acres, spoke about co-generation, burning off the slag from
the process and generating electricity. He said that would attract economic development.
He referred to a time when he worked for a co-generation plant that was projected to
payoff their overhead of their building in five years.
Van Buskirk said the board needed time to absorb all of this information. He
asked that this be on the next meeting agenda. Members of the board could accumulate
information. Corbridge said the city is using 20,000 gallons or $50,000 worth of fuel
per day plus overtime for the operators. He said the electric budget would absorb this
part. He said that it should be turned into a natural gas turbine. Corbridge suggested the
board study the sources of power, prioritize them and present them to Council as
recommendations. Long said maybe by the next meeting we could find out what are
limits are with Chugach Electric and "co-generation." Van Buskirk said he found that a
ton of coal has the same energy consumption as 42 gallons of fuel.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS
Agnes Stowe, On-site Inspector for TNH reported that Lash Construction had
shut down December 9 and is waiting for material. All concrete floats have been
delivered and installed. Just waiting on the gangway-landing float due March 24. She
said the gangway due on April 10 and will be open for public use by the 15`h. The water
utility contractor should begin installing the waterline by March 24. Stowe said there
was a problem with erosion along the banks in places. She said the City needs to talk
with the Corp about placing armor rock. She said that could cause a delay in the uplands
work, signage, parking spaces, etc. Ransom said it is documented in letters to the Corps
about the north edge of the recently dredged section. He said they armored about half of
it, but did not know why they did not continue. They are aware of the problem and are
receptive to address with no final answer yet.
Long asked if any work would be done on the south harbor. Ransom said yes,
they would be ready to go for a RFP for float construction with TNH and for the design
of floats M, N, O and P as well as Z float is almost done. Choice right now is deciding
on whether what the Corps will be doing with the entrance channel.
Mica Van Buskirk urged the board to look for grants for alternative energy
sources.
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Volume 3, page 390
BOARD COMMENTS
Whitman said he was pleased to have so many people attend the meeting and
thanked everyone for their input.
Long said it was nice to see an Alaska Wilderness convention with 300 people in
town this week. He complimented the Chamber on their brochure. Long urged everyone
to comment on the breakwater design.
Hettinger also admired the Chamber brochure. He also urged public comment
regarding breakwater design.
Ransom mentioned that he had testified on House Bill 478 earlier this day and in
support of a 50/50 share of fuel tax as it could be used for much needed deferred
maintenance. He said the Alaska Association of Harbormasters and Port Authorities
(AAHPA) have taken a collective stance to address the issue of bringing harbors up to
Bade. Ransom introduced Marsha Vincent, who recently transferred into the Executive
Liaison position and will be assuming the duties of board secretary within the next few
months.
Van Buskirk thanked Board Secretary Sweeney on the good job she has done.
He also commended the Chamber on the great brochure and to the administration for
g providing adequate information on alternative energy.
r...
CITIZENS COMMENTS
Mica Van Buskirk said we should be pursuing marine fuel tax rather than it
going into the general fund.
Councilmember Valdatta spoke regarding Polar Seafood's problems with their
city lease at SMIC and urged administration to resolve it so they can move on. He also
mentioned that King Cove has water wind generators.
Bruce Martin regarding alternative power, said we should start looking for
funding sources. He said he has done some research and there are grants available. He
will provide the board with some information.
ADJOURNMENT at 1:30 p.m.
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Ciry of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 391
CALL TO ORDER
The regular meeting of April 5, 2006, of the Seward Port and Commerce
Advisory Board was called to order at 12:03 p.m. by Chairman Altermatt.
PLEDGE OF ALLEGIANCE TO THE FLAG
Boazd Member Waliezer led the pledge of allegiance to the flag.
SWEARING IN OF NEW BOARD MEMBER
Deputy City Clerk Dollerhide administered the oath of office to new board
member Bruce Martin and he took part in the meeting thereafter.
ROLL CALL
There were present:
Deborah Altermatt, presiding,
Karl Van Buskirk D. J. Whitman
Jerry Waliezer Bruce Martin
*Ron Long
Absent Andrew Hettinger
Comprising a quorum of the Board; and
Clark Corbridge, City Manager
Scott Ransom, Harbormaster
Bob Valdatta, Council Liaison
Judi Sweeney, PACAB Secretary
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Louis Bencardino, Alaska Railroad Corporation, 2005 report out. Looks good
$12.7 million profit after expenses. Two changes to the board. Edgar left and Bill Noll
was appointed best safety year. No serious injuries cost is down. Very concerned a bout
safety. In addition, had a good year with passenger transportation and coming to Sewazd.
Slight increase in rider ship. Citizen board member is Dorothy Urbach. New signs on
the building dedicating it to "DALE R. LINDSEY INTER-MODEL BUILDING."
Freight has increased hauling gravel from Anchorage. More work for longshoremen.
Navy ship coming .Tune 4. We have a cutter in here. Norseman out on research in Prince
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Volume 3, page 392
William Sound. He said the girl's baseball team has been practicing in the building. The
Lion's Club has a garage sale this weekend.
Valdatta reported that at the EDD meeting, Homer asking for funding of a 470
foot-freight dock. Regarding the EDD building, three-fourths is leased to Biotech in
Virginia. He said there is $500,000 in a fund for small businesses to start-up.
ADMINISTRATIVE REPORT
Harbormaster Ransom
* Progress on the East Harbor Expansion. Ransom said that soon we would be
going to bid on adding 100 slips. He said have a letter to the Corps and are in
touch with people in DC. He said they admitted that they had a design deficiency,
but no money to fix it. He referred to a letter in the packet; Allen Jefferies of
Corps, whose studies is not the end. He said the breakwater is 100-foot short.
Ransom said we would need $3 million dollars to complete the project and it was
up to us to go to DC to get funding.
* Denali Commission proposal is at in our Phase 3 of asking for money. We have
had help from TNH. Long asked if the breakwater funding was in the proposal
and Ransom said no that there is about $8 million for the whole state to divvy up
$8 million. $1 million request gives us Phase 1 and 2. Long had done some
figuring and thought we would generate around $95-98,000 increase in moorage
with the new slips. When asked about the status of the new slips M, N, O, P,
Ransom said we are getting the floats built as we speak. Altermatt asked if the
timber were more economical and Ransom said both have their good points. He
added that the concrete floats have a little higher snow and ice removal
maintenance and are more expensive if something happens to them, but are nice
and wide, easy to walk on and we are happy with them. In answer to a question,
Ransom said we are still scheduled for access to the fill area for 2007. He said
when the dredging is complete, and then we could take ownership from the Corps.
* 2006 Marine Yellow Pages Ransom reported that we sponsored the cover
page of this year's Marine Yellow Pages $2,500. He thanked D.J. [Whitman] for
photos, Louis' [Bencardino] photo, Laura [Cloward} for helped.
City Manager Clark said Ransom had covered everything and had nothing
additional to add.
Agnes Stowe, Onsite Inspector for TNH spoke about the new configuration
with the extensions of E, F and J Floats adding 32 new slips; a portion of X float was
relocated with a new gangway and trestle access; and moved the fuel float to the end of
the remaining portion of the old X float (renamed R Float). Work continues on upland
improvements, extending utilities on E, F and J Floats, and added fire lines and potable
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 393
water connections on the fuel and X floats. Construction of this phase is expected to
conclude in June.
Mark Marlow from Seward Co-Generation, LLC. gave a presentation of a
proposed coal power plant. He said they had applied to the ARR to lease ground near the
rail to be close to the fuel source. Long asked about projecting how many rail cars would
be used to make that much energy and Marlow said around 75 carloads per month.
Waliezer asked if the numbers were based on one turbine and boiler to make them 92%
reliable. When maintenance on the Seward Co-Gen is done, they would buy Chugach
Electric's power.
Tim McDonald reminded that we are adjoining the Kenai Fjords National Park
one of the pristine areas and wondered if it was going to be a smoke stack? Marlow said
because coal is solidified petroleum there isn't black smoke. This plant would use a bag
house to contain the particulate into several thousand bags, and it is trucked away. Dale
Hoogland asked what kind of noise there would be and found that there would be very
little noise; and how near to neighborhoods these have been built. Right in the middle of
towns like Fairbanks without a problem. It would be financed with private capital.
Marlow, in answer to Jeanie Galvano regarding where the bi-product would be trucked
said to either Usebeli or to your own dump. Galvano also asked how tall the building
would be: 110 feet tall and the around 100 x 100 feet. Tim McDonald asked about
waste bi-product. Marlow said it would discharge hot water into the bay. McDonald
countered that that would not be acceptable to discharge heated water into the bay, that it
would mess up the fisheries and that is a major red flag. Carol Griswold asked for their
assurance that it would be environmentally safe. Hoogland asked if there were uses for
the bi-product; some build bricks, some build plaster boats.
CITIZEN COMMENT ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC
HEARING:
Valdatta referred to Ransom's report on the harbor security camera system, Ransom
explained that it was a project of the Police Department.
Tim McDonald said it is a utopian idea. We can not have that many gallons of hot water
disposed of in the bay. We have a pristine environment and do not think it would work
here as it is and the EPA has to be involved. He requested to be put on Marlow's email
list.
Dale Hoogland wanted to show support stating that there would have to be some fine-
tuning, but he felt it is a great idea. There is a way around the water issue. We need to
use the coal that we have available. He questioned the location since in the 1964
earthquake, that was a bad spot and building on solid rock would be better. Marlow said
it would be optimal to be near the coal source, but other areas could be explored.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 394
Carl Norman spoke in support of taking a serious look at this proposal. He
V... reminded the board to look at the price of heating fuel, we need to do something soon -
gas has gone up 30 cents in the last month. We need to look at every available way to
obtain cheaper power.
Bruce Jaffa spoke in support this type of project. Technological speaking, it is
easy to throw barbs, but the industry has moved forward in tremendous leaps and bounds.
He said if our desire is to create a minimum amount of impacts, we could do it.
APPROVAL OF AGENDA AND CONSENT AGENDA
MOTION (Long/Waliezer) approval of Agenda and consent agenda as amended
Including the March 1, 2006 minutes on page nine replacing the word Fairbanks
to Girdwood.
Motion Passed, Unanimous
New businesses shift A, B down to B C and add a discussion of the board of the
Co-Generation.
UNFINISHED BUSINESS
Goals and priorities list Alternative energy to the current projects.
NEW BUSINESS
Seward Co-Gen Altermatt thanked the public for coming to the meeting.
PACAB has been hearing and studying this for over a month. Long said if there is a
resolution, to present it in a positive way. The board thanked Mr. Marlow for his time
and information. Waliezer, Martin VanBuskirk, Altermatt commented that they were
disappointed in the administration's lack of attendance at these meetings regarding
energy alternatives. Martin said it appears as if Seward Co-Gen has done their
homework. Not too many downsides. Few environmental issues. Martin as far as
aesthetics go; you cannot tell they are there. The board asked Marlow if he would attend
the April 19 work session. They stressed that key people like the utility engineer, city
manager need to be here, remarking that this is the second time they have not shown up.
Altermatt said the council has been looking for economic stability. McDonald said his
intention was not to condemn nor endorse. He said we all would like some relief on
utility costs, but it was too soon to endorse.
Ransom reported that regarding the breakwater and the wave action in the harbor,
the Corps had admitted to making a mistake, but does not have the $3 million funds to fix
the error. Long mentioned the responsibility to vessels or docks being damaged.
~... Ransom said Tryck, Nyman and Hayes Kim Nielsen submitted an excellent letter asking
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Volume 3, page 395
for Federal financial help. Floats are designed for one-foot wave, but are getting up to 3
feet.
*Board member Long left the meeting at 1:38 p.m.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS
North Pacific Fishery Management Council News and notes, March 2006
BOARD COMMENTS
Whitman said he was disappointed with administration's lack of concern, except for the
Harbormaster Scott.
Martin echoed those thoughts and said this is a very important project.
VanBuskirk Huge opportunity for Seward. Administration should have been here to
support this dialogue.
Waliezer appreciate public input from the beginning.
Altermatt thanked the public for attending stressing that this is just a discussion and
there is a lot more information and public process to see if there is an interest. She
welcomed Martin "on board." She applauded having a full board now. We have great
support staff and thanked Judi and Scott.
Marlow thanked the board for their time.
Bruce Jaffa -said Seward is a remarkable town and that every community as it develops,
infrastructure is measured. He commented that for an outsider to come to present to
Seward an alternative energy source was admirable and cautioned not to barricade the
town. Process needs to be public and this is a great place to start. We do need to move
forward. Understand that this is just the beginning.
McDonald said that although we cannot dismiss the downsides, he could put his own
personal objections aside.
Terry Doane said he appreciated the enthusiasm and high level of concern. It brings a
great opportunity for Seward to be a model as a good example for small communities to
work together for alternative power sources.
CITIZENS COMMENTS none
City of Seward, Alaska Port and Commerce Advisory Board Minutes
Volume 3, page 396
ADJOURNMENT at 1:49 p.m.
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Judi Sweeney
Board Secretary
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Deborah Altermatt
Chair
City of Sewarr~ Alaska
May 3, 2006
CALL TO ORDER
Port and Commerce Advisory Board Minutes
Volume 3, Page 397
The regular May 3, 2006 meeting of the Seward Port and Commerce Advisory
Board was called to order at 12:04 p.m. by Chair Deborah Altermatt.
PLEDGE OF ALLEGIANCE TO THE FLAG
Board Member Waliezer led the pledge of allegiance to the flag.
ROLL CALL
There were present:
Deborah Altermatt, presiding, and
D.J. Whitman *Karl Van Buskirk
Jerry Waliezer Bruce Martin
Ron Long
Comprising a quorum of the Board; and also present were
Scott A. Ransom, Harbormaster
Louis Bencardino, Alaska Railroad Corp. Rep.
Bob Valdatta, Councilmember, EDD Rep.
Laura Cloward, Chamber of Commerce Executive Director
Judi Sweeney, PACAB Secretary
Angela Buck, Harbor Office Assistant
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Louis Bencardino, Alaska Railroad Corporation, reported that SERVS (oil
response) has been holding training in the building. He is working on the coal project
with Mark Marlow of Seward Co-Gen. He reported that they had quite a few tugs and
barges coming in. He said he is working with the City concerning the Navy ship sewage
disposal. Bencardino added that the Railroad has had a good time working with people in
the City. Altermatt wondered about some Japanese vessels recently ported in
Anchorage. Bencardino said the ARR did not know they were coming. He told
Whitman that the Navy ship sewage issue was worked out. He reported that the first
passenger train is May 13 and then for the first cruise ship on the 21St
Laura Cloward, Chamber Executive Director reported on the initiatives drive.
She said it is far more than a head tax initiative, that it includes a head tax on cruise ship
gambling also and establishes secondary water quality. State chamber wants to know
what Seward's stance is on the petroleum tax. She said at the next Borough meeting they
are discussing a tourism tax. Cloward also mentioned military appreciation day and the
harbor opening weekend and said they would appreciate any assistance. She said
City of Seward, Alaska
May 3, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 398
regarding the derby booth construction, only one bid was received and she felt it was
because construction cost is on the rise.
,,,,, Cloward said that two formal entities have focused on economic development.
She felt that paths are crisscrossing or there is no linkage. She said she felt a frustration
because the Council had given the Chamber the task of marketing and PACAB was also
focused in that direction. She said the Chamber has been waiting for PACAB to take the
lead.
Alterman said one way is to try to work on guidelines, mutual meetings, etc.
Long reminded the board that PACAB's position is a polic~and advisory board.
We are moving in the same direction, however, we can only make recommendations.
ADMINISTRATIVE REPORT
Harbormaster Ransom thanked the harbor office staff for publishing the
newsletter. He informed that the public restrooms are open, there is water on the floats,
fish gut barges aze in use and the new TraveliftrM is here. He said Mayor Shafer and
Councilmember Dunham went to Juneau to work with our lobbyist on the funding for
dock.
Ransom introduced Vista Volunteer, Rob Rance. Rance gave a brief summary of
how he came to Seward. He had worked with the Americorp Vuta project. He explained
that he has an international finance degree. He spent time in the Argentina. commercial
'~ Peace Corps, banking; and has been a cowboy and sheepherder. He moved to Asia and
started his own Peace Corps and that proved to be a success. He worked with Native
Indian tribes in China. He said that he has a wealth of real life problem solving and
working with the public and is looking forward to integrating into a "normal society". He
said the Council has given him a priority project of assessing strengths and weakness of
the community and to determine what direction it should take. Rance will be here one
full year. Alterman said that Sewazd has been trying to get a Vista Volunteer for a
couple of years and hopes he can help us (PACAB) out. Rance gave his contact numbers
and his email address to the board. His phone number is 224-4004 and email address is
rrancena,cityofsewazd.net.
Valdana said he had attended an alliance meeting in Soldotna regarding the
Agrium Project and coal gasification. Ammonia and urea are bi-products and the plants
can burn any grade of coal. He said he left a Chamber brochure with Senators Stevens
and Murkowski. He suggested giving Chamber brochures out more often to get better
exposure of Seward.
Harbormaster Ransom explained that the RFP is out for I and T dock and will
be opened next week. Alterman wondered about the status of grant money. Ransom
explained that there is a Senate bill for funding renovations of the hazbor. Same grant
renovation of all of the old floats that never were fixed when the City took over the
hazbor from the State. If we were to get some of the $5 million distributed; we would be
City of Seward, Alaska
May 3, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 399
one of the first. We have a $2 million request for additional funding for I and T dock
renovation and new TraveliftTM dock. He said the city is not required to match that
money. Waliezer mentioned that he has not seen project pictures other than what the
University did for us. Ransom said regazding the condition of the dock, we will re-deck.
*Karl Van Buskirk arrived at 12:27 P.M. and took part in the meeting from then on.
CITIZENS COMMENTS None
APPROVAL OF AGENDA AND CONSENT AGENDA
MOTION (Waliezer/Whitman) approved the consent agenda including the
minutes of April 5, 2006 with the addition of a presentation by Kim Nielsen, TNH
Engineer, and project update. Motion Passed by Unanimous consent
UNFINISHED BUSINESS
Goals and Priorities after a quick review of the on-going list, the following
changes were made under:
Current Projects -Eastward Expansion he said the south floats are in.
- Delete 50-ton Travelift (purchased and in place)
Waliezer reported on the Highway Improvements 0-8 saying work sessions had
been held; that there would be culverts out to Mile 8; they intend to keep the road open at
least one way and a bike trail is going all the way to the Bear Lake fire station.
Altermatt turned the meeting over to Tryck, Nyman and Hayes, Engineer Kim
Nielsen to present her report.
Whitman objected and raised a Point of Order to Nielsen giving a PowerPoint
presentation saying that the public had not been given proper notice. Ransom explained
that this was not anything new, but a regulaz monthly update. Altermatt reminded
Whitman that they had just approved the agenda including adding Nielsen's place on it.
Nielsen said she wanted to give the new board member a quick update on the
"project". She said the construction project had extended E, F and J concrete floats and
they are hooked up for water. They moved the fuel float over and installed the new
gangway and relocated X float. She said Lash Construction has completed their job.
The plumbing, new ladders and fire extinguishers were installed and we aze waiting for
the electric pedestals to arrive and will be installed by the end of month. South Harbor
would be in the next round of renovations. RFP is out to procure the floats, and then they
are reviewed and will be approved by Council at their May 22. The work would be done
over the 2006-2007 winter and spring.
City ofSeward, Alaska
May 3, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 400
Whitman asked what the schedule is for the south upland area. Ransom said we
have not been given total clearance from the Corps, but things like bathrooms, picnic
,,,~ tables and a mariner's memorial would be okay.
Waliezer said the public should have input on what is going on here to prevent
backlash. He said he realized they are an advisory board as Long suggested, but the
public should be informed. Altermatt asked Nielsen if she would come back at their
June meeting and give her presentation.
Valdatta's said that Casey and the City Manager were to set up specs to go over
the $10,000 limit for rock sales. He said the quarry is not sorted as the last contractor to
haul out of there was supposed to do. No discussion on how much in the kitty from
previous rock sales. Following Valdatta's comment that we need to market the rock
sales from the City's rock quarry, Altermatt requested the following for the next regular
meeting
-how much and what grade of rock is in the quarry?
-how much is charged and collected in sales?
NEW BUSINESS
RESOLUTION NO. 2006-02 A RESOLUTION RECOMMENDING
FURTHER STUDY OF THE SEWARD CO-GEN, LLC ELECTRICAL
SERVICE AS A SOURCE OF ALTERNATIVE ENERGY FOR THE
COMMUNITY OF SEWARD
It was moved by Long, seconded by Whitman and passed unanimously to approve
Resolution No. 2006-02 with minor changes.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS (no action
required)
North Pacific Fishery Management Council News and Notes, Apri12006, noted.
CITIZEN'S COMMENTS
Robert Valdatta asked that he be allowed to walk the approved Resolution
through to expedite it for the May 8 meeting as a lay down.
Laura Cloward suggested PACAB's agenda be put on the Clerk's emailed
agendas in order to better inform the public.
BOARD COMMENTS
The board welcomed the new Vista Volunteer Rob Rance.
~..
Ciry of Seward, Alaska
May 3, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 401
-Long commented that the bed .tax, because it was just voted on could not be
revisited un61 October 8 at the earliest.
Altermatt thanked Mark Marlow for his diligence in attending several meetings
in Seward. She said they would pass this to council and asked if he could possibly come
back to talk to the City Council. Marlow answered in the affirmative. She said the
earliest to place this resolution on the council agenda would be May 22. She reminded
everyone that the Seward Harbor Opening weekend is the weekend of the 20 and 21. She
said there is also a Military Appreciation day on May 20 with festivities at the Harbor
Plaza.
Waliezer wondered about the status of Marlow's talks with Chugach Electric
Association. Marlow said that Lipscomb and Nordstrom got the board seats they wanted.
They had the support of the IBEW.
Whitman commented that he is totally against a lay down to the Clerk on this day
without public notice.
ADJOURNED at 1:20 p.m.
Judi Sweeney
Board Secretary
(City Seal)
Deborah Altermatt
Chair
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City of Seward, Alaska
June 7. 2006
CALL TO ORDER
Port and Commerce Advisory Board Minutes
Volume 3, Page 402
The regular June 7, 2006 meeting of the Seward Port and Commerce Advisory Board was
called to order at 12:04 p.m. by Chair Altermatt.
PLEDGE OF ALLEGIANCE TO THE FLAG
Was led by Board member Martin.
ROLL CALL
There were present:
Deborah Altermatt, presiding, and
D. J. Whitman Bruce Martin
Jerry Waliezer Ron Long
Absent: Karl Van Buskirk
Comprising a quorum of the Board; and
Scott A. Ransom, Harbormaster
Robert Valdatta, Councilmember/KPB/EDD Representative
Louis Bencardino, Alaska Railroad Corporation Representative
Judi Sweeney, PACAB Secretary
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Louis Bencardino, ARRC Representative reported that business is good and has nearly
doubled. He said they are upgrading the tracks from Fairbanks to Seward.
The Navy ship U.S.S.Chaffee was in port for the last few days. He said they were happy
with their visit to Seward and presented a picture to the American Legion. He thanked the City for
providing sewer service to the ship.
He mentioned that a special roof coating was applied to the building and has aten-year
guarantee.
He reported on a meeting with Totem Ocean Trailer Enterprises, (T.O.T.E.). discussing the
logistics of loading and unloading freight from barges and ships.
He spoke in favor of the Coal-fired generation plant saying that the Railroad would like see a
contract signed by the City before they commit to a land lease. They are supportive of the coal plant.
.~.
City of Seward. Alaska Port and Commerce Advisory Board Minutes
June 7, 2006 Volume 3, Page 403
Robert Valdatta, Council representative on EDD, said he did not have anything to report
concerning EDD at this time. He said that the fish weir (Cook Inlet Aquaculture) facility had 45,000
red salmon return to date.
Harbormaster Ransom reported on the May 24 work session with the full Council, three
from the U.S. Army Corps, Kim Nielsen from TNH, Ron Long and three Congressional
representatives via telephone. He said it was a very productive session. He said the Corps admitted
they made a mistake on the design of the breakwater and they have a willingness to resolve the issue.
Ransom said the Corps visited the City's rock quarry and felt it was organized well enough to do the
project.
Kim Nielsen, TNH Engineer gave a report on the progress of the harbor project. She said the
final inspection with Lash Construction is scheduled and the projected closeout should be by the end
of the month. She said they are working on float water, sewer and the design of the uplands.
CITIZEN'S COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC
HEARING: NONE
APPROVAL OF AGENDA AND CONSENT AGENDA
MOTION (Long/'Waliezer) Approve the Agenda and Consent Agenda including the
minutes of May 3, 2006. Motion passed by unanimous consent.
UNFINISHED BUSINESS
Alternative Energy Ransom said there had been a good turnout for the (May 29) work
session held with Council. Mark Marlow, Seward Co-Generation suggested that alive-member
committee be formed consisting of the following: ane PACAB member, Marlow, Resurrection Bay
Conservation group member, a council member and a member of administration. Alterman said she
would be giving a presentation to Council per their request for information on other avenues of
alternative energy options and asked if anyone from the board had any information they would like to
share with her. Long will be the PACAB representative with Waliezer and Martin as alternates.
Goals and Priorities - on going list mention that the Corps is about to sign off on the
upland. NO CHANGES
NEW BUSINESS
Seward Economic Development Plan Altermatt explained that this was just an on the
agenda for discussion. Long gave an overview of the Seward Economic Development Plan booklet
and the figures and charts were taken from the KPB's of the third and fourth quarter of last year
showing values rather than permits. He explained that (building) permits are required for things that
never used to require permits like inside structural improvements.
Fish Head Processing Plant Ransom explained this is a group from Korea that is
City of Seward, Alaska Port and Commerce Advisory Baard Minutes
June 7. 2006 Volume 3, Page 404
interested in buying fish heads. Ransom said he made some phone calls and was waiting for a reply.
Modular Housing Martin explained that this group is just inquiring about manufacturing
modular homes in Seward. He said they would be meeting with AVTEC on Tuesday, June 13, 2006.
The interested party liked how Seward is the railhead, deep-water port and can get material from
anywhere to here.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS: NONE
BOARD COMMENTS:
Following discussion, Waliezer volunteered to give the presentation regarding alternative
energy to the Council.
CITIZENS COMMENTS:
Willard Dunham asked about the plans for the upland area created by the harbor expansion.
Harbormaster Ransom said that there was an opinion paper written by City attorney, Brad Meyen
with suggestions for the land use of the upland area. Dunham commerited the plan is strictly up to
us (Council) and we are not going to rush this plan through.
BOARD AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS:
ADJOURNMENT
The work session ended at 1:30 p.m.
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City of Seward, Alaska Port and Commerce Advisory Board Minutes
July S, lOp6 Volume 3 Page 405
CALL TO ORDER
The regular July 5, 2006 meeting of the Seward Port and Commerce Advisory Board was
adjourned, in the absence of a Quorum, by Chair Altermatt until August 2, 2406.
There were present:
Deborah Altermatt, presiding, and
Jerry Waliezer Ron Long
Absent: Karl Van Buskirk
D. J. Whitman Bruce Martin
Not comprising a Quorum of the Board; and
Louis Bencardino, Alaska Railroad Corporation Representative
Scott Ransom, Harbor Master
Christy Terry, Executive Liaison
Adjournment
1~leeting adjaumed at 12:15
'sty Terry Deborah Altermatt
Executive Liaison Chairman
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Ciry of Seward, Alaska
Port and Commerce Advisory Board Minutes
September 6, 2006 Volume 3, Page 406
r.. CALL TO ORDER
The regular September 6, 2006 meeting of the Seward Port and Commerce Advisory Boazd
was called to order at 12:00 pm by Chair Deborah Alterman.
PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by Board Member Bruce Martin.
There were present:
Deborah Alterman, presiding, and
Karl Van Buskirk Ron Long
Bruce Martin Darryl Schaefermeyer (Arrived 12:05)
Absent: None.
Comprising a quorum of the Board; and
Kirsten Vesel, Assistant City Manager
Louis Bencardino, Alaska Railroad Corporation Representative
i.. Scon Ransom, Harbor Master
Christy Terry, Executive Liaison
ARRC Representative Louis Bencardino gave an overview of Alaska Railroad activities.
He stated Seward doubled their activities from last year. Bencardino informed the Board there were
a number of future projects that would benefit the City of Seward. One current important item was
Quality Asphalt Paving storing containers in Seward. Bencardino discussed current ARRC property
activities. In conclusion, Bencardino disclosed 55 vessels were scheduled to dock in Seward in
contrast to the 43 that docked in 2006.
In response to Long, Bencardino believed the scheduled dockings were not port of calls. In
response to a further question from Long, Bencardino understood ARRC was working to have a
solution to the timeliness of the South bound train. Solutions could include adding more tracks for
sidings.
In response to Schaefermeyer, Bencardino stated: if the natural gas piping was supplied by a
foreign company, then it would be transported through Seward; if it was domestically obtained, then
Whitter would handle the shipments. In response to further questions from Schaefermeyer,
Bencardino noted ARRC could extend the cruise ship dock and/or alter the facility. Bencardino
noted not allowing pesticides to clear tracks of vegetation would be a problem for Seward.
Schaefenneyer stated it would be virtually impossible for pesticides to contaminate Sewazd's
aquifer. He was surprised to see the position the City had taken on this issue.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
September 6.2006 Volume 3, Page 407
Van Buskirk stated his personnel well was less then 100 feet from the railroad tracks.
Erchinger believed ARRC would be using a commercial version ofRound-Up.
Long shazed last night the Borough Assembly passed a resolution opposing ARRC's permit
application to apply pesticides as a track maintenance measure. Long discussed concerns with how
the chemicals applied would react when combined, ARRC's apparent avoidance to answering
questions directly and the need for chemical removal vs. mechanical or other methods. Long stated
virtually all of the communities along the rail-belt had opposed the permit application.
2007/2008 Legislative Boards and Commissions Biennial Operating Budget, Harbor Budget
and SMIC Budget- Finance Director Kris Erchinger
Finance Director Kris Erchinger gave an overview of the Legislative Boards and
Commissions Biennial Operating Budget. She believed that this was the first time these budgets
were brought before PACAB prior to submission to Council.
Altennatt clarified past PACAB attendees to the Fish Expo had not utilized the traveU
subsistence funds, but had traveled representing Seward at their own expense. She stated that
PACAB had never asked for special treatment by having a lunch .provided, but wanted the
Administration to keep in mind they were the only BoazdlCommission that gave up their lunch hour
to meet.
In response to Schaefermeyer, Erchinger stated insurance costs were allocated equally to
departments based on their expenses. She further clarified that volunteer insurance was included in
these allocated costs.
Long clarified in the past PACAB had convened at the Harbor Dinner Club, but this created a
problem with the public not feeling welcome to attend the meetings unless they purchased lunch. He
clarified this precipitated the move to the Council Chambers. Long stated the Board still needed to
eat during this time and it also seemed to help the meetings be more productive. In regards to
marketing, it would be important to keep in mind PACAB's ability to make recommendations to
Council for general fund expenditures. Long noted specific mazke#ing funds went directly to the
Chamber as the City's current marketing agent.
Altennatt supported the City's membership in the World Trade Center:
Finance Director Kris Erchinger gave an overview of the Biennial Operating Budget for the
Harbor and SMIC. She included explanation of the actuarial mishaps with the PERS system and the
debt incurred..
In response to Long, Erchinger stated the 25% increase in revenue was based on the new
slips. Erchinger noted the new bonds saved about $45,000 per yeaz with the favorable interest rates.
Ciry of Seward, Alaska Port and Commerce Advisory Board Minutes
September 6, 2006 Volume 3, Page 408
r.. Long then confirmed with Erchinger that the passenger transit fee was reflected in the revenue. Long
felt the passenger fee revenue would continue to grow 7-8% per year. Long and Erchinger discussed
deprecation expenses.
In response to Schaefermeyer, Erchinger stated she would have been concerned with the
condition of the Harbor Enterprise Fund infrastructure if the new capital assets hadn't recently been
added. She noted the need to proactively move forward and not rely on what was accomplished in
the past.
In response to Schaefermeyer, Harbor Master Ransom stated Seward's fees were within the
top five statewide.
Van Buskirk discussed per foot moorage compared to the west coast and other harbors in
Alaska.
Schaefermeyer expressed how important it was to monitor moorage prices when dealing with
the budget every year.
Erchinger asked PACAB to contact her with further questions.
Harbor Master Scott Ransom gave an overview of harbor activities.
Executive Liaison Christy Terry asked the Board to pull item 8B. "Discussion and
recommendation to Council on Council's approved motion regarding their intent to apply for money
to begin an RFP for engineering study for a wave bamer and dock that is ferry capable for the
Seward Marine Center." Terry obtained further clarificafion from Mayor Shafer of Council's intent
to have PACAB review this issue at a later date.
Citizens' comments on any subject except those items scheduled for public hearing. jThose
who have signed in will be given the first opportunity to speak Time is limited to 2 minutes per
speaker and 30 minutes total time for this agenda item.]
DJ Whitman, 12510 Camelot, urged the Board to consider Seward when examining the
Seward Marine Center Dock. He asked the Board to encourage the Seward Marine Center to
review their conceptual plan. Whitman stated the University and the City had a great opportunity
to work together and make this a positive project, if it was done correctly.
Approval of agenda and consent agenda
Motion (Long/Schaefermeyer) Approve the Agenda and Consent Agenda
Motion (Long/Schaefermeyer) Remove item 8B from the Agenda
City of Seward Alaska Port and Commerce Advisory Board Minutes
September 6, 2006 Volume 3, Page 409
Long looked forward to having this return to the agenda after the work session on September
20, 2006.
At the request of Altertnatt, Teny read the exact motion passed by Council, "Apply for the
money needed to begun a RFP for an engineering study for a wave barrier and dock that is ferry
capable for the Seward Marine Center (SMC): '
Motion Passed Unanimous
Agenda and Consent Agenda Passed Unanimous
Executive Liaison Christy Terry read the following item approved on the Consent Agenda:
June 7, 2006 regular meeting minutes
Goals and Priorities - On-Going
The Board Members had no comments on this item, and Altermatt directed staff in the
interest of time to place this on October's Agenda.
Discussion and direction: 2007/2008 Legislative Boards and Commissions. Biennial Operating
Budget, Harbor Budget and SMIC Budget.
Altermatt directed staff to place this on the work sessioa following the SMC Dock
presentation and place on the October 4te meeting for action. There were no objections from
the other Board Members.
Discussion and recommendation on request from THE MILEPOST for ad placement.
Van Buskirk understood the Chamber of Commerce was tasked by Council to provide
marketing and any advertising by the Administration could be redundant.
Long stated the City and the Chamber had a contract for a specific number of items and
activities. He clarified that the City could not direct the Chamber to spend money on items not
agreed upon and he understood the Milepost was not an agreed item.
Assistant City Manager ICirsten Vesel confirmed the Chamber of Commerce did not advertise
in the Milepost.
Alterniatt clarified the Chamber did not feel the Milepost was a good use of funds far-their
organization.
Long placed a 2/3 page ad in the Milepost and estimated his retum at $15,000 worth of
business.
City of Seward Alaska
September 6, 2006
Part and Commerce Advisory Board Minutes
Volume 3, Page 410
Schaefermeyer stated the SeaLife Center also placed an ad with the Milepost. Currently, the
SeaLife center was pursuing partnerships with other local businesses to share an ad. Schaefermeyer
felt the Milepost was one of the more recognizable Alaska publications for the tourist industry.
Vesel understood the Chamber of Commerce was targeting more individualized publications
such as brochures and information packets.
Altermatt encouraged additional advertising for the City Campgrounds and Harbor.
Long stressed the importance of compiling an outstanding ad quickly. He recommended at
least the 1/2 page ad.
Schaefermeyer encouraged collaboration.
Vesel agreed but was concerned with trying to collaborate within the limited timeframe.
Altermatt discouraged collaboration with other private businesses and encouraged promoting
City services.
Van Buskirk found the Milepost was an important adverkising tool for his private business.
He was curious to understand the Chamber's reasoning in not placing an ad. Van Buskirk wanted to
,.. insure that the City of Seward had the resources to produce a good ad. He asked the Administration
to coordinate resources with the Chamber of Commerce.
Port and Commerce Advisory Board, by general consensus, directed the Administration
to pursue possible placement of at least the'/: page ad in the Milepost.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS (No action required)-
Reminder: September 2016 Port and Commerce Advisory Board Work Session presentation by
Captain Tom Smith regarding the Seward Marine Center Conceptual Plan for Renovation and
Modernization, at noon, City Hall Upstairs Conference Room
BOARD COMMENTS
Martin reiterated how important the Milepost was to touris#s. He felt it might be a challenge
to develop an ad under the current time constraints with the added hurdle of the Chamber Director
being out of the country.
Schaefermeyer stated he was glad to be on the Board.
Van Buskirk thanked the Finance Director for the great packet of information provided for
,. budget discussions.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
September 6, 2006 Volume 3, Page 411
Long welcomed Schaefermeyer to the Board. He stated there would be a South Central
Alaska Energy Forum on September 20s' and 21g` in Anchorage. Long encouraged everyone to
attend the annual United Way cruise to Fox Island on September 8s'.
Altermatt welcomed Schaefermeyer and looked forward to having a full Board
Vesel noted Lisa Murkowski's staff would be in Seward on September 9th and would be
meeting with the public at Resurrection Art starting at 12:30 pm. She also welcomed Schaefermeyer
to the board.
11. CITIZENS' COMMENTS [S minutes per individual -Each individual has ane opportunity
to spear]
DJ Whitman, 12510 Camelot, noted Seward Ships Drydock had to turn down servicing the
MV Chenega because of lack of moorage.
ARRC Representative Louis Bencazdino informed the Boazd that the Art Train would be in
town from September 20-24 and there would be a music festival at the cruise ship dock.
12. BOARD AND ADMII~IISTRATION RESPONSE TO CITIZENS' COMII~NTS-None.
Adjournment
ing adjourned at 1:30
Christy Terry
Executive Liaison [~
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City of Seward, Alaska Port and Commerce Advisory Board Minutes
October 4, 2006 Volume 3, Page 412
,,,,~ CALL TO ORDER
The regular October 4, 2006 meeting of the Seward Port and Commerce Advisory Board was
called to order at 12:05 pm by Acting Chair Karl Van Buskirk.
PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by Board Member Schaefermeyer.
There were present:
Karl Van Buskirk, presiding, and
Mike Banas Bruce Martin
Darryl Schaefermeyer
Absent: Deborah Altermatt
Ron Long
Comprising a quorum of the Board; and
Bob Valdatta, Council Member
~, Scott Ransom, Harbor Master
Kristen Erchinger, Finance Director
Christy Terry, Executive Liaison
ARRC Representative Louis Bencardino -Not in attendance.
KPB/EDD -Council Member Bob Valdatta requested Council's letter issued to the Alaska
Department of Fish and Game in support of Proposal 6 allowing limited Pollock fishing in a portion
of Cook Inlet be given to the Board. He suggested utilizing the training facilities at AVTEC for the
crew of the Coast Guard's Jarvis and encouraging the ship to use Seward as a port of call.
Administrative Report Scott Ransom -
• Ransom stated he would follow up with the Coast Guard.
• He noted South Harbor floats were being transported to Seward via North Land and
should arrive the week of October 16, 2006.
• Bids were in for South Harbor construction of utilities and uplands, and the apparent
low bidder was Harris Sand and Gravel. All bids were close and the numbers were
what the Administration was expecting.
• Bids for the restrooms would be solicited in December.
• Ransom clarified South Harbor floats were scheduled to be ready for public use by
.. April 15, 2007. Electric and utilities would be completed after this date.
• He stated the design contract for the INT dock was proceeding.
City of Seward Alaska
October 4, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 413
Citizens' comments on any subject except those items scheduled for public hearing. (Those
who have signed in will be given the frst opportunity to speak. Time is limited to 2 minutes per
speaker and 30 minutes total time for this agenda item.]
Valdetta suggested Auction Block should be encouraged to locate their ice house in SMIC.
In response to a question from Valdatta, Ransom stated Auction Block's dock use
agreement had expired, but they were allowed to schedule use of dock.
Approval of agenda and consent agenda
Motion (Schaefermeyer/Martin)
Approve the Agenda and Consent Agenda
Agenda and Consent Agenda Passed Unanimous
Executive Liaison Christy Terry read the following item approved on the Consent Agenda:
September 6, 20(16 Seward Port and Commerce Advisory Board Regular Meeting Minutes
Goals and Priorities - On-Going
Van Buskirk solicited comments from the Board Members.
Schaefermeyer asked for clarification on the purpose of the list and explanation of the
projects and priorities.
Van Buskirk suggested reviewing the list.
UPDATE BOARD WITH STIP PROJECTS
Van Buskirk noted the Administration with the knowledge of these projects were not in
attendance.
EASTWARD EXPANSION
Ransom noted the City was on Phase 2 of a three phase plan. He outlined the phases and
their status.
SMIC NEW COMMERCE
Van Buskirk noted AVTEC and the City were working on aspects of the fire training center.
Finance Director Kris Erchinger clarified AVTEC had been working on a tease agreement,
but now wanted to purchase the property. She noted City Administration was now pursuing an
Clty of Seward Alaska Port and Commerce Advisory Board Minutes
October 4. 2006 Volume 3, Page 414
appraisal of the property to bring this issue before Council. In response to Schaefermeyer, Erchinger
thought the parcel AVTEC was interested in was about 1 S acres.
DOWNTOWN REVITALIZATION
Schaefermeyer asked for clarification on PACAB's role.
Erchinger surmised PACAB would be asked to provide recommendations on Mary Lowell
Center direction and marketing. In response to Schaefermeyer, Erchinger noted the management
RFP was in the process of being drafted.
FISH RESTORATION
Schaefermeyer stated the SeaLife Center was expanding their salmon project within the
ASLC building. He noted the project would be limited due to amount of fresh water and available
pen area. Schaefermeyer stated the goal of the project would be to reach half a million fish a year in
order to qualify for a private not-for-profit hatchery permit. He clarified that this project was
dependent on funding. Schaefermeyer stated the SeaLife Center foresaw serious fishery problems in
the bay and wanted to address the issue before they occurred. He confirmed Van Buskirk's
statement that the fresh water supply needed was `raw' and the SeaLife Center could not use
domestic water.
HARBOR IMPROVEMENT INFRASTRUCTURE
Besides all the recent upgrades to the Harbor, Ransom noted the Legislature passed a bill
allowing fora 50/SO grant up to S million dollars to help refurbish old floats that were transferred to
Cities. He clarified that this was an unfunded item, but it was a fight to get this far. Ransom stated
City Council and our City Lobbyists deserved thanks on the funds obtained for Harbor
improvements.
NORTH DOCK
Ransom noted the Corps has established the North Dock as a `Tab D' which confirmed this
as a Corps of Engineers' project and estimated the feasibility study at $Z Million dollars. He
clarified that the Corps would provide a Million and the City would have to have to provide the other
Million with in-kind and actual dollars. Ransom noted the Corps estimated the final project at $9.8
Million. He stated the North Dock was on the City's list of Federal Priorities. Ransom clarified that
neither the feasibility study nor the project had been authorized or funded and no signed agreement
was in place.
In response to Schaefermeyer, Ransom stated the City had pursued the North Dock as a Corps
of Engineers' project because of the size of the project and the 80/20 funding available through the
Corps.
City of Seward Alaska Port and Commerce Advisory Board Minutes
October 4,1006 Volume 3, Page 415
In response to Van Buskirk, Ransom noted the State could assist with the feasibility study
and the wave study. Ransom noted there were conceptual designs completed by the leading firms in
the State, but the trade off would be the City of Seward funding the whole project instead of having
Federal Assistance. Ransom clarified that the type of barrier and'how much wave action would be
acceptable still needed to be established.
Board Members updated and clarified language on the On-Going Project List.
Shiplift Expansion
Ransom noted the Shiplift Expansion was on the federal priority list. He noted the expansion
would lengthen the transfer carriage.
Alternative Energy Sources
Martin noted the language for this item on the On-Going Project List should strike reference
to PACAB Resolution 2006-02, since the Coal Plant issue had passed.
At Martin's prompting, Schaefermeyer discussed the generator located on Lowell Creek. He
noted the generation was never very successful and hadn't been operated in years. Schaefermeyer
stated the second benefit was drinking water provided without pumping costs. He explained that the
drinking water couldn't be utilized at this point because of Federal Regulations with regards to
surface supply of drinking water.
Board Members discussed the status of Ocean Renewable Power Company, LLC (ORPC)
plans and presentation to PACAB regarding their proposal to utilize tidal energy in Resurrection
Bay.
Board Members updated and clarified language on the On-Going Project List..
Highway Improvements 0-8
Board Members updated and clarified the On-Going Project List by striking this item.
Rock Quarry
Board Members and Council Member Valdatta discussed the status of the Rock Quarry.
Board Members requested Public Works Director WC Casey attend a Regulaz Meeting and
provide the Port and Commerce Advisory Board with an update.
Erchinger clarified the possible question far PACAB to address was if the quarry should be
RFP'ed or reserved for City needs.
City of Seward Alaska
October 4, 2006
,,,~, New Five Acre Fill Area
Port and Commerce Advisory Board Minutes
volume 3, Page 416
Ransom stated the actual area after the completed final basin survey was 3.5 Acres. He noted
the Corps and the City had received basin surveys from Wilder Construction. Ransom stated that
both the Corps and Wilder had signed the survey, but a land survey of the area might still be
necessary before the City signed and the use of the property was finalized. Ransom stated that
according to the City Attorney; parking, a pavilion, ADA fishing pier, and restrooms would all be
allowed in this area even with the velocity zone and flood plain issues.
Prison
Board Members discussed the improbability of the prison being expanded and the State's
future plans for the prison to remain a long term maximum security.
Erchinger stated the City had received reliable information last year that the Department of
Correction's intent was to build the Mat-Su prison with savings generated from closing Spring
Creek. She noted the State Legislature might not intend for this to happen, but it was important for
Seward to keep close track of this issue. Erchinger felt the facility staffing was done in such a way
as to encourage high turnover rates.
Board Members discussed the demographics of staff, issues surrounding the hiring process
~ and the amount of overtime staff was asked to work.
Erchinger stated the City had discussed options to improve the situation that included
advertising positions for the facility in rural Alaska and working with AVTEC to create a
correctional officer training program.
Board Members updated and clarified language on the On-Going Project List.
Harbor Deferred Maintenance
Board Members felt this item had been discussed under other current projects.
South Harbor Renovations/Improvements
Board Members felt this item had been discussed under other current projects.
Airport
Board Members updated and clarified the On-Going Project List by striking this item.
Coal Facility Future
Board Members updated and clarified the On-Going Project List by striking this item.
City of Seward, Alaska
October 4, 2006
Marketing
Port and Commerce Advisory Board Minutes
Volume 3, Page 417
Board Members updated and clarified the On-Going Project List by striking this item.
Veneer Plant
Board Members updated and clarified the On-Going Project List by striking this item.
Road to SMIC
Board Members updated and clarified the On-Going Project List by striking this item.
Prison
Board Members updated and clarified the On-Going Project List by striking this item.
Discussion and recommendations 2007 Legislative Boards and Commfssioos Operating
Budget, Harbor Budget and SMIC Budget
Van Buskirk stated Ron Long had provided his comments in a lay down for the Board.
Finance Director Kris Erchinger stated she would incorporate input provided from this Board
at the last meeting into the current proposed budget; meals for the Board Meeting and increased
projections for the passenger fee. Erchinger asked the Boazd Members to brainstorm on ideas to
alleviate the burden to local taxpayers. She shared options discussed by Couneil, including a
potential Seasonal Sales Tax.
Martin provided a `tongue-in-cheek' suggestion by outlining a plan to `gouge' tourists by
issuing locals a tax exempt cazd. He stated this was not a serious suggestion, but rather an
illustration on what a Seasonal Sales Tax was trying to accomplish:
Van Buskirk stated the tourists coming to Seward on a low tourist yeaz were in-state visitors.
He surmised they would perceive a higher tax in the summer as punitive and decide to visit another
town.
Erchinger noted administration's struggle with the 2007 proposed budget and noted the
Council had many hard decisions ahead of them. She stated it would help if the whole community
weighed in on these issues. Erchinger noted a reduction in services or an increase in revenue was
needed. In particular interest to this Board, Erchinger explained and discussed the impact of the
proposal for the Hazbor and SMIC Funds to retain their lease revenue instead of contributing those
funds to the General Fund.
Schaefermeyer asked if the proposed Seasonal Sales Tax would solve the budget shortfall,
and received an answer in the affirmative from Erchinger. Schaefermeyer stated this hypothesis
would work unless there was a substantial tourist industry boycott.
Ciry of Seward, Alaska Port and Commerce Advisory Board Minutes
October 4, 2006 volume 3, Page 41 ~
,,,,, In response to Schaefermeyer's suggestion of tax exempting heating fuel purchases,
Erchinger clarified the Borough would not allow individual Cities to tax exempt different items. She
stated the Borough would allow overall Sales Tax rate differences between districts.
Van Buskirk surmised the amount of tax reduction for locals would be negligible, but the
ramifications with the drop in tourism would be detrimental to local businesses.
Schaefermeyer suggested the City implement a marketing study to understand the outcome of
a Seasonal Sales Tax.
Erchinger stated serious service cuts, working with the Sales Tax income or other revenue
enhancement options were the primary options to balance this year's budget. She clarified not even
one year's payment of the PERS debt could be absorbed by the City's budget. In response to
Schaefermeyer, Erchinger clarified: if a City refused to pay their portion of the PERS debt, the State
would first charge interest; if a City continued to refuse, then the City could file for protection under
the Bankruptcy statutes; ultimately the Courts would force a City to raise taxes at the local level to
pay the debt.
Schaefermeyer noted a majority of summer tourists were in-state visitors and their out-of-
state guests. He recognized the need to examine a Seasonal Sales Tax, but questioned if this would
solve the problem. Schaefermeyer expressed his desire to provide tax relief to the local citizens, but
wasn't sure how this could be best accomplished.
Motion (SchaefermeyertBanas) Recommend proposed 2007 Legislative
Boards and Commissions, Harbor and
SMIC Operating Budgets with the
recommendation to reinstate the meal
allowance
Van Buskirk spoke against including meals in the budget.
Martin noted Altermatt's support of the meal allowance.
Schaefermeyer stated he was deferring to Altermatt's option when making this motion, but
stated he could continue to serve on the Board without a meal provided.
Motion Failed
Motion (SchaefermeyertBanas)
Unanimous
Recommend proposed 2007 Legislative
Boards and Commissions, Harbor and
SMIC Operating Budgets with the
recommendation to base the budget on the
passenger fee income projection as the
average increase of the past five years times
$3.50
City of Seward, Alaska Port and Commerce Advisory Board Minutes
October 4, 2006 Volume 3, Page 419
Schaefermeyer believed the income projection would not bridge the gap for the Harbor Fund,
but would be a substantial step in that direction. He supported this recommendation to Council.
Martin, Van Buskirk and Banal spoke in support of the motion.
Motion Passed
Unanimous
Resolution 2006-03 making recommendation to Council regarding the Seward Marine Center
Dock.
Banal declared a perceived possible conflict of interest since he was employed with the
Seward Marine Center, however he clarified he had no financial gain in this matter and would
retain employment regardless of the outcome. He confirmed he would be able to vote honestly
on this issue. Chair Van Buskirk ruled that no conflict of interest existed and also noted the
Part and Commerce Advisory Board was strictly an advisory board. The Board Members
concurred with the Chair's ruling.
Van Buskirk read the resolution to the Board.
Motion (SchaefermeyertBanas)
Approve Resolution 2006-03 with "Section 1.
The City of Seward supports the Seward
Marine Center (SMC) and the Alaska
Regional Research Vessel to be homeported
at SMC." and, "Section 2. The Board
recommends the City not pursue or accept
an ownership interest in the dock. The
City of Seward should support the
University in obtaining funds for the
project through advocacy of resolution of
support, personal contact/networking, and
maintaining established relationships."
and, "Section 3. The Board further
recommends that the SMC project should
not be placed ahead of existing ident~ed
projects on the City's State and Federal
priorities list " (This motion evolved into
this final language during Board discussion
and final language was articulated prior to
Board vote.)
Schaefermeyer spoke in support of the resolution with his suggested recommendations.
Martin supported the University building the facility at Seward Marine Center (SMC), but
felt the City should not be involved with the project.
Ctty of Seward Alaska Port and Commerce Advisory Board Minutes
October 4, 2006 Volume 3, Page 420
r..~
Schaefermeyer stressed the importance of the vessel to the Community, but had concerns
about City involvement with the facility, the current proposed location's upland logistics, the funding
status and site feasibility. He noted the City of Seward might be involved with the project because of
the current funding structure. Schaefermeyer discussed his preference for this project to be a
University project.
Erchinger clarified funding was available for the project. She stated the Department of
Transportation (DOT) Regional Director had to affirm to the Federal Funding Source,. SAFETEA-
LU (Safe, Accountable, Flexible, Efficient Transportatian Equity Act: A Legacy for Users), that the
project was being consistently used with the title of the project. Erchinger stressed that Seward
continued to intend to have the State Ferry back in Seward. She stated that if DOT accepted the
funding as a SAFETEA-LU project they would be required to complete the project or ~y the money
back. In response to Schaefenneyer, Erchinger stated it was most likely possible to have the
University work directly with DOT: She stated the ownership of the dock could be signed over to
the University from the City. Erchinger stated DOT was continuing to verify if this location was
feasible.
Schaefermeyer stated until the engineering design was completed, no one would be able to
say with certainty: that the dock was feasible to build. He stressed his desire that the vessel was
located in Seward.
Van Buskirk supported the University designing the project without City of Seward
interference.
Schaefermeyer agreed with Van Buskirk, but questioned if the City could actually step out of
the funding aspect of the project. Schaefermeyer was cautious of how PACAB's recommendations
would effect the funding for the project.
Erchinger surmised the Seward Marine Center (SMC) benefited from having the City
involved with the funding source because of the high percentage of overhead the University would
require for the project. She then surmised that SMC might have more flexibility if the City operated
the dock.
Schaefermeyer questioned the value of this resolution prior to the Board reviewing future
plans for the facility and having their questions answered. He specifically asked for details on how
the funding was progressing.
Ransom noted an upcoming Council Work Session addressing this topic.
Schaefermeyer reiterated his desire to have this vessel located in Seward because of its
addition to the local economy. He felt the Board should advise Council on whom to hire for the
r.. project and other details, but questioned the necessity of recommending the issues outlined in the
resolution.
City of Seward Alaska Port and Commerce Advisory Board Mlrtutes
October 4, 2006 Volume 3, Page 421
Van Buskirk noted one issue needing to be addressed was the City's role in the project.
Schaefermeyer felt this might be conditional on the funding restrictions. He stated the Board
could forward their opinion that this project did not make sense for ultimate City ownership and
operation. Schaefermeyer stated the City might have to be involved as a conduit for the funding and
a facilitator for the project.
With assistance from the Board Members, Schaefermeyer clarified his motion language
with concurrence of his second.
Motion Passed
Unanimous
Reschedule October 18, 2006 Work Session and set topic for October's Work Session.
After Board discussion, the Work Session scheduled for October 18, 2006 was
cancelled.
Discuss and appoint representative to attend October 24, 2006 Land Use Law Training.
After Board discussion, no Board Members were available to attend the October 24,
2006 Land Use Law Training. The Board left the possibility open for a Board Member to
attend if their scheduled allowed.
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS (No action required)-
City of Seward 2007 Biennial Budget Calendar
BOARD COMMENTS
Board Members all eoncurred that this meeting was very productive.
Van Buskirk thanked the Board.
CITIZENS' COMMENTS [S minutes per individual -Each individual has one opportunity to
speak.]
BOARD AND ADMII~IISTRATION RESPONSE
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Vice-Chair
City of Seward, Alaska Port and Commerce Advisory Bourd Minutes
November 1, 2006 Volume 3, Page 422
CALL TO ORDER
The regular November 1, 2006 meeting of the Seward Port and Commerce Advisory Board
was called to order at 12:00 pm by Vice Chair Karl Van Buskirk.
PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by Board Member Long.
There were present:
Karl Van Buskirk, presiding, and
Theresa Butts Ron Long
Darryl Schaefermeyer (12:03)
Absent: Deborah Altermatt Bruce Martin
Comprising a quorum of the Board; and
Kirsten Vesel, Assistant City Manager
r.. Louis Beneardino, Alaska Railroad Corporation Representative
Scott Ransom, Harbor Master
Christy Terry, Executive Liaison
Coast Guard Lt. James D. Stoller
Ransom introduced the new Mustang Coast Guard Lt. James D. Stoffer.
Lt. James Stoller stated he had taken command of the Mustang on August 11, 2006. He
noted his 27 years of experience in the Coast Guard. Lt. Stoffer stated the Coast Guard would like
their relationship to grown with the City of Seward and they would be maintaining a presence hero.
He noted that in 2009 the Mustang would travel to Baltimore to complete a nine month maintenance
period.
Van Buskirk welcomed Lt. Stoffer and inquired how the City could encourage other Coast
Guard Cutters to dock in Seward for repair or staff training opportunities.
Lt. Stoffer stated the high endurance Cutters rotated patrols and mainly docked in Kodiak or
Dutch Harbor to be close to their primary patrol grounds. He stated the Coast Guard also looked for
other ports for recreation and worked with their District Office to, on occasion, visit Seward. Lt.
Stoffer clarified that the Coast Guard Buoy tenders porting in Seward was because of their current
contracts.
.~..
City of Seward Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 423
In response to Long, Lt. Stoffer stated the transition to Sectors would be a benefit to their
local operation.
Alternative Energy Proposal -David Osborn
David Osborn reviewed his Waste Vegetable Oil Boiler Proposal.
In response to Banas, Osborn stated the transfer station would accept the solids reduced in the
process.
In response to Busts, Osborn stated the BTUs provided by the waste oil unit was similar to
traditional boilers. Osborn stated that local restaurants would be able to provide enough waste oil for
a few buildings to be converted. He noted the oil did not produce an unpleasant smell and did not
need to be refrigerated.
Osborn stated he was looking for financial backing to convert his home to this system to
provide results for the City to review for their own conversion needs. He clarified that a complete
unit installed would be about $10,000.
Long apologized to Mr. Osborn that he was incorrectly informed that the City was looking for
projects to fund. He suggested approaching traditional lenders for the start-up costs.
Osborn stated he had unsuccessfully seazched for possible grant opportunities and, due to his
current start-up business; he would not be able to solely fund an installation of the unit until a later
date.
Van Buskirk encouraged Osborn to continue to search for grant opportunities, submit a
written proposal to the City of Seward, or begin to sell units. He thanked Mr. Osborn for his
presentation.
ARRC Representative Louis Bencardino
Bencazdino stated the ARRC Board meeting would be held on November 17, 2006. He noted
north of Port Avenue ARRC had 16 acres recently refurbished and rented. Bencardino listed
companies renting land. He noted the Coast Guard Cutter Maple would be at the ARRC dock from
January 15, 2006 to February 16, 2006 and the modifications this would entail. Bencardino
encouraged Samson Tug and Barge to fuel in Seward because of the high quality of fuel. He stated
the ARRC would be upgrading the freight dock. He noted the dock produced double last year's
amounts. Bencardino stated Seward was moving forward to be a hub of economic activity in Alaska.
He explained the Port City Players were allowed to leave up a majority of their artwork in the
wazehouse for the year. Bencardino noted the Arts and Crags show would begin December 1, 2006,
but he did not have an update on the possible New Year's Eve party. He stated the Archery Club
would begin practice in the building next week. Bencardino discussed the High School baseball and
softball teams using the outside parking lot for their spring practices. Bencardino explained
Cary of Seward, Alaska Port and Commerce Advisory Board Minutes
November I, 2006 ['alume 3, Page 424
Shoreside updates on the dock. He then described debris build up caused by the flooding and how it
was removed.
In response to Schaefermeyer, Bencardino stated the status of the expansion of the Coal pile
area was still unsure. He noted ARRC now owned not only the land, but also the equipment.
Bencazdino explained Hundi still held the operating agreement.
Bencardino stated he was in support of ARRC's plan to use herbicide on the tracks.
Bencardino noted as a citizen of Seward he was also concerned about the City's water supply, but
felt these herbicides would not cause any problems.
In response to Long, Bencazdino stated the docks stored behind the old Norco building did
belong to the City of Seward.
Butts thanked ARRC for allowing community events in their facility.
Bencazdino stated ARRC was supportive of a positive relationship with the City.
Schaefermeyer thanked ARRC for partnering with the SeaLife Center and the Anchorage
School District for the SeaTrain.
Administrative Report
Scott Ransom stated the City had a signed contract with Harris Sand and Gravel and they
were present for the off loading of the new floats. Ransom noted that assembly and pile driving
would begin in December and uplands work was scheduled to begin before the ground froze.
Ransom stated stall options were being offered to holders in the older floats and the schedule was to
allow slip holders in the new floats on Apri115, 2007. Ransom welcomed Theresa Butts to PACAB.
In response to Schaefermeyer, Ransom stated the Harbor suffered less damage during this
flooding event then they had in the past. He stated there was shoreline erosion that was corrected in
a timely manner. Ransom thanked ARRC for their assistance with this problem, and for the
equipment from Seward Ships Drydock and Suneel. He did clarify there was massive amounts of
debris they had to deal with.
In response to. Long, Ransom stated the Corps had reviewed the completed survey of the
dredged basin. He noted infrastructure was being planned and installed. Ransom stated the City was
ready to accept the dredged portion and the dredged fill, but did not feel the breakwater was
complete. He stated there was legal clarification needed regarding the land survey and the design
deficiency.
Butts encouraged Lt. Stoller to approach PACAB if the Coast Guard needed any assistance.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 425
Lt. Stoller thanked Butts for her offer. He stated City Clerk Jean Lewis was very helpful to
the Coast Guard during the flooding event and the Coast Guard was also able to provide resources
for their families needing assistance.
Citizens' comments on any subject except those items scheduled for public hearing. [Those
who have signed in will be given the first opportunity to spear Time is limited to 2 minutes per
speaker and 30 minutes total time for this agenda item.J -None.
Approval of agenda and consent agenda
Motion (Long /Schaefermeyer) Approve the Agenda
Agenda Passed Unanimous Consent
Goals and Priorities - On-Going
Van Buskirk noted this list had a major update at the last meeting.
Update Board with STIP Projects
Long explained that `STIP' was the State Wide Transportation Improvement Plan. He further
explained this list was developed by the State and included a scoring criteria. ,He confirmed the
importance of the Board monitoring the City's projects on this list and providing direction.
Eastward Expansion
Ransom noted the Denali Commission had contributed one million dollars to Z Float Phase 3
and the City was looking at additional dock users.
SMIC New Commerce
Van Buskirk mentioned the AVTEC Fire Training Center being planned by AVTEC.
Downtown Revitalization
Long noted the Mary Lowell Center Replat was approved by the Kenai Peninsula Borough
Planning Commission. He stated there was a 30 day window for parties to file an appeal of this
approval.
Schaefermeyer stated there might be a possible land swap developing that would alleviate
some of the controversy surrounding the site.
Ciry of Sewarr~ Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 426
Fish Restoration
Schaefermeyer stated the ASLC Pump House was a total loss due to the October flooding
event. He clarified the salmon fry were relocated to the Fort Richardson hatchery. ASLC was in the
process of rebuilding and was working toward having the system running by the first part of 2007.
North Dock
Butts confirmed that the plan was to build a breakwater and fix the dock. She asked if there
was a current need for a North Dock.
Ransom stated the breakwater was included with the North Dock.
Schaefermeyer noted that Ransom had provided him with a cost/benefit analysis that looked
promising. He offered to share these documents with Butts and surmised the Corps would not be
pursing the project if it wasn't viable.
Board Members discussed Kodiak's new travel lift.
Banal understood Kodiak would have the travel lift by March 2007.
Ransom stated the Department of Coastal Engineers was still working with the Corps and had
confirmed $475,000 in the State of Alaska's budget to be applied to the City's one million dollar
match of the feasibility study. He noted these were dedicated funds. Ransom asked the State if these
funds could pursue alternative methods and was told this money was specifically for the Corps
project matching funds. Ransom discussed the financial benefit of this as a Corps project even
though the process was slower. He clarified this did not negate the City looking at other options.
Long suggested assigning revisit dates to the projects. He noted the Board should review the
Capital Requests prior to them being submitted to Council. Long advocated for a Flood Mitigation
Project to be incorporated into a Capital Request list.
Van Buskirk suggested dividing the items on the list to each Board Member according to
their interests, and. then the Board Member's could present the items at a Work Session or Regular
Meeting.
Board Members discussed the importance of assigning revisit dates to the list, possibly at a
work session.
Van Buskirk inquired if there were any items the Board felt should be immediately addressed,
and received an answer in the negative.
~" NEW BUSINESS-
Ciry of Seward Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 427
Nominate and appoint Chair and Vice Chair-
The nominations for-Chair were opened. Long nominated Deborah Altermatt,as Chair.
Deborah Alterman was elected Chair. Unanimous
The nominations for Vice Chair were opened. Banes nominated Van Buskirk.
Karl Van Buskirk was elected Vice Chair. Unanimous
Discuss Alternative Energy Proposal -David Osborn
Board Members wished Mr. Osborn good luck with his endeavors.
Set Work Session topic forNovember 15, 2006
Long suggested discussing the City's Priority Lists with recommendations to Council and
then schedule Mr. Baker's presentation to follow. Long clarified that the Board was not in violation
of the Open Meeting's Act if the topics of their Work Sessions were not published. He recognized it
was desirable, but not necessary.
Van Buskirk stated it was good advertising to provide the Work Session topic.
The Board recessed for 5 minutes to obtain the scheduled date of the Priority Lists- going
before Council.
Board Members discussed the information that the resolutions approving the Priority Lists
would be on the Council Mee#ing of November 6, 2006. They noted that any review at this point
would be for informational purposes only.
Long advocated for Board Members to attend the Council Meeting as private citizens to
provide public comment on the issue or provide comments to the Council prior to the meeting.
After discussion, the Board chose the next work session topic as "Lowell Creek Hydro
Project Presentation by Andy Baker."
CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS (No action required)-
Lowell Creek Hydro Project Proposal Lener
Van Buskirk stated he was interested in hearing this proposal.
Board discussed former hydro project operated by the hospital.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 428
Schaefermeyer noted there was a study completed on this topic from 1979. He was interested
in the updated technology that would possibly allow a hydro project on this creek.
Long also expressed interested in this subject.
Butts discussed a controlled wave tourism opportunity in this area.
Council Letter is support of Pollock Fishery
BOARD COMMENTS
Butts questioned the Board on the levee on Resurrection River visible from the highway
bridges.
Long confirmed that typically levees were constructed in this manner and welcomed Board
Member Butts. Long brought the Board's attention to the Borough issue of per person per day
recreational sales tax rate that would be going into effect. He noted an Ordinance meeting the Public
Hearing Requirements would be needed to make any modifications. Long stated any suggestions
would be required by November 7s' to meet Assembly deadlines. He explained the tax was patterned
after the Hotel per night tax, but there was an element of lack of definition for recreational activities.
Butts hoped this tax was implemented in such a way as to provide a competitive edge for the
small businesses as opposed to the booking agents.
Schaefermeyer requested the Board be provided with copies from the Lowell Creek
feasibility study obtained by the City in 1979.
Van Buskirk noted the importance of the Goal and Priority list, but was frustrated with
hashing over the whole list at each meeting. He suggested each Board Member tackle the items they
were interested in and having presentations at Regular Meetings or Work Sessions. Van Buskirk felt
this would allow more progress on each item with useful pros and cons for Council.
Schaefermeyer questioned what role PACAB played in some of the items on the list.
Long felt PACAB's role included informing Council if a project wasn't feasible.
Van Buskirk concurred. In response to Butts, he clarified PACAB's recommendations
were given to Council via Resolution.
Butts suggested tackling 3-4 items off the priority list at each meeting.
CITIZENS' COMMENTS [S minutes per individual -Each individual has one opportunity to
speak J None.
Ctry of Seward, Alaska Port and Commerce Advisory Board Minutes
November 1, 2006 Volume 3, Page 429
a,rl
BOARD AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS- None.
Adjournment _.
eeting ed at 1:50
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hristy T Karl Van Buskirk
Executive Liaison Vice Chair
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Ciry of Seward, Alaska Port and Commerce Advisory Board Minutes
December6, 2006 Volume 3, Page 430
CALL TO ORDER
The regular December 6, 2006 meeting of the Seward Port and Commerce Advisory Board
was called to order at 12:00 pm by Vice Chair Karl Van Buskirk.
PLEDGE OF ALLEGIANCE TO THE FLAG
The pledge of allegiance was led by Board Member Martin.
There were present:
Karl Van Buskirk, presiding, and
Mike Banas Theresa Butts
Ron Long Bruce Martin
Absent: Deborah Altermatt Darryl Schaefermeyer
Comprising a quorum of the Board; and
Louis Bencardino, Alaska Railroad Corporation Representative
Scott Ransom, Harbor Master
Christy Terry, Executive Liaison
Alaska Railroad Corporation (ARRC) Representative Louis Bencardino
Bencardino stated ARRC applied for permits to fill the log pond and extend the freight dock.
He shared ARRC was working with Totem Ocean Trailer Express, Inc. (TOTE) to dock in Seward.
Bencardino stated that Hyundai wanted to cease operations at the Coal Facility, but ARRC was in
discussions with Usibelli Coal Mine, Inc. to take over that role. Chairman Joe Usibelli would be in
Seward next week to meet with Hyundai.
In response to Van Buskirk, Bencardino clarified ARRC owned the Coal Facility (building,
land, equipment, everything), but ARRC leased out the actual operations.
Bencardino stated the Arts and Craft Fair was attended by many locals on Friday night and
brought 556 train passengers to Seward on Saturday. He noted due to the icy conditions ARRC was
still cleaning up all the sand tracked in by the participants. Bencardino stated the downtown
merchants were very happy with the amount of customers who made their way to the shops
downtown. He noted this was due, in part, to buses shuttling between the Railroad Warehouse and
downtown Seward. Bencardino shared the Economic Development Group's discussion to try to
develop other economic activities during the off-season. He stated ARRC had major concerns with
running passenger trains to Seward after the Christmas Train, because of the possibility of passengers
being injured in an avalanche. Bencardino stated the group discussed possible events in the fall to
entice Anchorage citizens to come to Seward on the train twice during the year.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
December6, 2006 Volume 3, Page 431
In response to Long, Bencazdino confirmed the TOTE ship was roil on/roll off and required
the dock extension.
Long explained current Borough discussions regarding development of a Coal Facility in
Chulitna verses bazging the coal to the Seward Coal Facility. Long questioned Chulitna's finding
that it was more expensive to barge the coal to Seward then to develop a Chulitna Coal Facility.
Long suggested Usibelli could take a good look at the financial numbers
Bencardino felt it would be a good concept to examine and suggested Long and Usibelli
should talk next week.
Long confirmed there were many visitors from the Holiday Train stopping by the Renown
Tour office looking for downtown Seward. He noted whoever spread the word about downtown
Seward did a great job and it was a boon to the downtown merchants.
Chamber Director Laura Cloward
Cloward stated Chair Altermatt had asked her to come and speak to the Board with the
Chamber's perspective of the Port and Commerce Advisory Board's role in economic development
for Seward. Cloward stated she became involved because of Administration's invitation to provide
input on how to best advise the Council to utilize the Port and Commerce Advisory Board's
expertise. Cloward felt some parties saw a lack in overall economic development in non-marine
based projects. She surmised some of the confusion stemmed from semantics between `port' and
`commerce' in the Board's title and deciphering if these two items were separate or tied together.
Cloward noted that a few years ago the Chamber had done away with their Economic Development
Committee based on Altermatt's interpretation that the Port and Commerce Advisory Board
addressed `Seward commerce' that was not solely limited to `marine based commerce.' She stated
the Chamber wanted to act in a support role to PACAB as the City of Sewazd's economic
development entity. Clowazd stated her Chamber Board assumed PACAB was providing Council
with recommendations dealing with economic development. Cloward noted the contract they held
with the City was for marketing both tourism and non-tourism items, and looked to the Board to
outline what those non-tourism items should be. She noted non-tourism examples: Long Term Care
Facility, Mary Lowell Center, Library Museum, and general real estate development. Cloward
reminded PACAB that the Chamber was a membership based organization. She stated the ideal
representation of Sewazd's economic development was PACAB because of their status of a public
body representing all of Sewazd's citizens. Cloward stated presuming PACAB addressed only
marine industries didn't necessitate their review of the business development packet, if PACAB had
a broader role, then they would be the driving force in issues such as the 2020 Comprehensive Plan.
She questioned who should be driving the Chamber's activities and noted this was an exciting
question to pose and have answered. Cloward noted the direction on these items should come from
Council, but a recommendation could come from PACAB if they feel there was a gap. She stated
from her discussions with Administration they were looking for recommendations and support from
PACAB. Cloward noted the Chamber acted as a cheerleader for City directed policies. She wrapped
up by clarifying the Chamber was looking for clarification on who from the City would be directing
their activities on economic development.
City of Seward Alaska Port and Commerce Advisory Boord Minutes
December6, 2006 Volume 3, Page 432
~~
Van Buskirk stated he was an ardent Chamber supporter and noted they had many successes.
He agreed with Cloward that the Chamber was a membership organization and as the Director she
represented the member's interests. Van Buskirk stated the Chamber should be working on goals to
not only benefit businesses, but also the Community. He stated the system seemed to be working,
but could work better. Van Buskirk stated that as the Board honed their priority list and solidified
how their priorities were addressed, PACAB would become a better sounding board for the
community. He stated the Board wasn't specific to marine related issues, but most of the economic
issues in Seward tied back to Sewazd's port. Van Buskirk thanked Cloward for her presentation and
highlighted the success of the Chamber's fish enhancement program.
Long agreed with Van Buskirk's comments. He cited history of the when there was a
sepazate Board of Trade and a Port Board that merged to form the Port and Commerce Advisory
Board. Long felt there was more to the port then the boat harbor and more to commerce then just the
port. He agreed that PACAB should be advising council on non-marine related economic policy
items. Long felt PACAB and the Chamber had parallel paths to pursue on economic projects. He
clarified: PACAB's role would be looking at policy recommendations to the Council protecting the
public interests while at the same time making the project attractive to private businesses; the
Chamber's role would be examining if there was general support from the businesses already in the
community, while examining the competition aspects; and a third loosely based group would need to
examine if there was overall community support. Long stated he didn't view the Chamber and
PACAB roles as an `either/or' proposition. He stated PACAB's first .focus should be policy
recommendations to Council. Long stated a good example was PACAB's role reviewing and
updating the SMIC Development Plan. He noted PACAB would be working with the Planning and
Zoning Commission and community organizations. Long clarified there was very little room in a
small community for anyone to absolve themselves from any responsibility. He thanked Cloward for
attending and also for doing a great job as Chamber Director.
Martin supported PACAB as a broad based body for the economic health of the entire
community.
Butts concurred with Martin and supported a close relationship with the Chamber. She
questioned the Board's involvement in current non-mazine based activities. Butts clarified that while
she agreed with Martin, she noted there would be a lot of work involved with getting into every
economic development issue.
Long stated Butts had been involved with the original development with the SMIC plan. He
noted in recent years there was a lack of public involvement because of the perspective that there
weren't any issues for PACAB to tackle. Long noted there had to be a balance between not
addressing any issues and an overabundance of work. He stated PACAB's role was to .make
recommendations and Council had to move issues forward from there.
r.. Van Buskirk supported Long's statements, but felt recommendations to Council were not as
informative as they should have been. He stated recommendations and justifications were needed for
City of Seward, Alaska Port and Commerce Advisory Board Minutes
December6, 2006 Volume 3, Page 433
PACAB to be really helpful to the Council. Van Buskirk noted that the Park Service made one
presentation on the Mary Lowell Center to PACAB.
Banal understood PACAB's role of making recommendations to Council, but felt it would be
beneficial to have Council provide feedback on how the recommendation was used. He stressed the
need for communication and Council providing direction.
Long felt PACAB was a great benefit to Council by saving them from having to deal. with a
bad idea or proposal. He supported using PACAB for that task to allow Council to focus their time
and attention on items that made sense.
Cloward stated she would share PACAB's comments with the Chamber Board. She
proposed the Chamber Board could adopt a resolution that incorporated the comments from today
and clarified the Chamber's support of PACAB's roles and responsibilities in the Community.
Kenai Peninsula Borough Economic Development District (IQ'BlEDD) -City Councilmember
Bob Valdatta
Valdatta shared his discussions with Auction Block. He noted Auction Block wanted to
expand the Travel Lift proj ect to include additional sheet piling to benefit their operations in Seward.
Valdatta. advocated the quarry being designated as an enterprise fund in order to keep better track of
our resource. He discussed the importance the Pollock Fishery being supported in Seward and noted
the City wrote a letter in support of this fishery. Valdatta stated Jerimiah Campbell was on the
Fisheries Board and noted he would contact Campbell to follow the issue.
In response to Van Buskirk, Valdatta explained that Kodiak was able to fish outside of
Seward and take their catch back to Kodiak.
Valdatta noted there was a new manager at Alyeska and suggested the Chamber invite him to
Seward to examine our local ski slope possibilities and introduce him to all the activities available in
Seward. He shared an article he read in US Business News that stated Coal Gasification created too
many greenhouse gases. Valdatta stated the City had been in contact with Alaska Power and
Telephone President Bob Grim and that he was willing to provide some direction for the City with
proposed hydro projects. He clarified that he was the Council Member suggesting Cargo Fee to
mitigate impacts to our local infrastructure.
Long noted the KPB/EDD Board met following Thanksgiving and they were working to sell
the building and move into a smaller space. He stated there was some concern that one of Seward's
seats remained unfilled and stressed the importance of Council filling this seat. Long shared that the
Board met one Wednesday per month at 10 or 10:30 am and ended by noon. These meetings could
be attended telephonically.
Valdatta stated he was on the Board. Valdatta and Long discussed successful projects such as
a blueberry business and a shellfish shucking project in Homer.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
December6, 2006 volume 3, Page 434
rr~. Public Works Director WC Casey -Quarry Update
Casey educated the Board on the location, area, types of rock, history, and other general
informational items about the quarry. He noted that the rock was most valuable blasted and sorted
and felt the best u~ of this important resource was for municipal projects. Casey clarified the Public
Works Department was working with contractors and in-kind credits to sort out the quarry.
In response to Board questions, he noted there were other sites for the City to explore as a
possible future quarry.
Long expressed the gambling aspect of creating an enterprise fund with the quarry.
Van Buskirk supported serving the City's best interests by utilizing the quarry far municipal
projects.
Administrative Report
Harbormaster Scott Ransom reported on the following items:
• Requests for bids on the restrooms located above the gangway at the new floats would be
out this week with the opening scheduled for January 9, 2007. In response to Board
~... Members, Ransom noted the restrooms would be similar to the restrooms in Kawabe Pazk.
He noted utilities were included inside the building.
• A proposal to the Denali Commission was submitted for a fish cleaning station and upgrade
by the northeast ramps. There was already funding in place for paving and a commitment
from the State of Alaska to build fish cleaning tables in this area.
• Ransom noted requests for bids for sheet pile for the bulls head work and a separate bid for
the actual construction and repair/upgrade of the I, T, Travel Lift and Bulkhead dock. He
stated Auction Block had been meeting with Administration to propose and construct a cold
storage, fish processing facility and bulk head in this area. Ransom stated the City had
secured funding to take care of the repairs but did not have adequate funds for the entire
area. He stated Auction Block hadn't provided any detailed proposals on what they intend to
do, but Administration was still open to them adding their own sheet pile and building their
own dock. Ransom stated the City of Seward needed to keep moving forward to meet their
deadlines.
• Pacific Marine Fish Expo was successful and Ransom thanked the Chamber for all their
hard work and excellent job. He stated they had many visitors to the booth interested in
Seward.
Long stated he had heard many positive responses to having the Seward Harbor Masher attend
the Expo.
In response to Butts, Ransom stated many locals stopped by the booth to say Seward had well
rounded services available in our Harbor and provided positive comments.
Ciry of Seward, Alaska
December6, 2006
Port and Commerce Advisory Board Minutes
volume 3, Page 435
Citizens' comments on any subject except those items scheduled for public hearing. [Those
who have signed in will be given the first opportunity to speak. Time is limited to 2 minutes per
speaker and 30 minutes total time for this agenda item.J -None.
Approval of agenda and consent agenda
Motion (Long/Martin) Approve the Agenda
Agenda and Consent Agenda Passed Unanimous
The following items were approved under the Consent Agenda:
October 4, 2006 and November I, 2006 Regular Meeting Minutes
Goals and Priorities - On-Going
By general consensus, the Board postponed this item until the next Regular Meeting in order
to have more Board Members present for the discussion.
NEW BUSINESS-
Cargo Fee
Long noted that Council had tasked PACAB with examining this item.
Erchinger stated this was proposed by Council during the budget process as a possible
revenue source. She noted this item. was one option to address the significant impacts to
infrastructure where there weren't commensurate returns. Erchinger stated that a Cargo Fee had
many aspects that needed to be addressed. These included: should the Cargo Fee be leveled as a tax
or a fee, should the charge be leveled on cargo only or leveled on cargo and passengers. She stated
Council hadn't discussed details and had tasked Administration to research how to legally impose
taxes or fees. Erchinger noted the City was prohihited to tax ARRC, but could charge a fee. She
explained that the City could charge an impact fee whether the passengers/goods were going over a
City owned or privately owned dock. She noted Juneau changed a fee that went to waterfront
development and into their General Fund. Erchinger understood Council did not want to tax fish
because that product was already taxed by the State and these funds were remitted to the City. She
stated Administration was investigating various options. Erchinger reminded PACAB that there
were substantial impacts to Port Avenue. She noted that the concept of the fee was passed with the
budget, but the enactment of the fee would be contingent on an ordinance change.
In response to Butts, Erchinger noted the City did not have the actual numbers or types of
cargo passing over the docks into Seward. She stated the City could look to other communities to
pattern their fee structure.
city of Seward, Alaska
Port and Commerce Advisory Board Minutes
December6, 2006 Volume 3, Page 436
Van Buskirk clarified that the current tariff did not change ARRC, and the Council was
looking to expand the tariff.
Erchinger noted that legally the City of Seward could charge sales tax to ARRC customers
and Army Recreation Camp customers, but these entities were not willing to collect sales tax from
their customers. She noted that rather then dealing with the issue in court, the Council wanted to
creatively develop a mechanism to offset the unfunded impacts to Seward's infrastructure.
Van Buskirk expressed his concerns that ARRC and the cruise lines would chose to leave
Seward because of increased fees.
In response to Van Buskirk, Erchinger confirmed that ARRC and the Army Recreation Camp
had both declined to collect sales tax from their customers. She noted that the Army Recreation
Camp did collect the Passenger Fee required in the Harbor because it was a fee instead of a tax.
Erchinger stated there were also large non-profits and Government Agencies in Seward impacting
infrastructure.
Long supported a balance where neither the City nor private enterprise benefited at the
expense of the other. He noted this would not be done overnight and would need to have all the
details ironed out and included in the tariff. Long asked if we owned the water ships travel through
or just the tidelands underneath.
Erchinger stated the City owned the water within their City Limits.
Long stated in the Maritime Security Act of 2002 a provision was included that could be
interpreted to exclude the local government's ability to tax anything moving on navigable waters.
He stated if it was a fee to mitigate the impacts on Port Avenue it could be construed as a toll road
and the entities could then bypass through the airport or through the DOT dirt road. Long said this
could be an attractive alternative to reroute the industrial traffic away from pedestrian centers. He
remembered funds given to ARRC and an agreement for ARRC to provide fees from the passengers
on the SS Universe. Long stated this ended when the Universe was taken out of commission. He
felt a constructive dialogue was possible with the ARRC and the Army Recreation Camp.
Erchinger concurred with working together with the organizations in question and having a
strong position to avoid conflict. She stated alternatives were being examined and advocated for a
fair and equitable resolution.
Long suggested requesting Council's consent to review other cooperative mitigation options.
Van Buskirk suspended the Hiles to allow Alaska Railroad Corporation Representative Louis
Bencardino to address the Board.
Bencardino stated this discussion happened at an inopportune time during the Alaska
Railroad's negotiations with TOTE. He stated ARRC contributed to the community in a multitude
of ways, including functions at the warehouse.
City of Seward, Alaska Port and Commerce Advisory Board Minutes
December6, 2006 Volume 3, Page 437
In response to Van Buskirk, Bencardino stated that fees imposed by Seward would have
further ramifications along the railbelt.
Long stated benefits to negate the impacts did. not have to have a direct correlation, but could
be offset by economic benefits to the community.
By general consensus, the Board directed Administration send a memo to Council stating,
"PACAB respectfully requests permission to expand their Cargo Fee discussion to include
additional and/or other ways to mitigate nontaxable organizations' impacts to the City's
infrastructure that are equitable for both the City and the organizations."
Set Seward Marine Industrial Center Development Plan Update as Work Session topic for
December 20, 2006
Motion (Long/Martin)
Set Seward Marine Industrial Center
Development Plan Update as Work Session
topic for December 20, 2006
Van Buskirk requested that any Board Member's unable to attend email their comments in
advance.
...
Motion Passed Unanimous
CORRESPONDENCE, INFORMATIONAL ITEMS. AND REPORTS (No action required)-
North Pacific Fishery Management Council Draft Agenda
Long stated his best wishes were with Jerimiah Campbell as he dealt with these issues in
Dillingham.
Van Buskirk noted the loss of the Pollock Fishery was a .loss to Seward's economy.
BOARD COMMENTS -None.
CITIZENS' COMMENTS [S minutes per individual -Each individual has one opportunity to
speal~J None.
BOARD AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS- None.
Ransom stated the SMIC Work Session would lay the groundwork for revising the SMIC
Development Plan.
Long concurred.
City of Seward, Alaska
Deeember6, 2006
Port and Commerce Advisory Board Minutes
Volume 3, Page 438
~ In response to Van Buskirk, Ransom noted he would review significant changes with the
Board.
Adjournment
adjourned at 2:20.
Executive
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K~yl'Van Buskirk
Vice Chair