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Home My WebLink About02012012 PACAB Packet Port and Commerce Advisory Board Regular Meeting of sSgy 1 1) ♦ fi 4 q� SAP • February 1, 2012 Council Chambers noon SEWARD PORT AND COMMERCE ADVISORY BOARD Regular Meeting February 1, 2012 12:00PM COUNCIL CHAMBERS 1. CALL TO ORDER Deborah Altermatt Board Member Term Expires 07/2013 2. PLEDGE OF ALLEGIANCE Daryl Schaefermeyer 3. ROLL CALL Board Member Term Expires 07/2012 4. SPECIAL ORDERS, PRESENTATIONS AND Bruce Jaffa REPORTS Board Member Term Expires 07/2012 A. AKRR Representative- Louis Bencardino Daniel Oliver B. Harbormaster Report - Mack Funk Board Member Term Expires 07/2013 C. Chamber of Commerce Report- Cindy Clock Steve Fink Board Member Term Expires 07/2012 5. Citizens' comments on any subject except those items scheduled for public hearing. [Those who have signed in Bob Linville will be given the first opportunity to speak. Time is limited Board Member Term Expires 07 /2014 to 2 minutes per speaker and 30 minutes total time for this agenda item.] Carl Hughes Board Member 6. Approval of agenda and consent agenda [Approval of Term Expires 07/2014 Consent Agenda passes all routine items indicated by Jim Hunt asterisk ( *). Consent Agenda items are not considered City Manager separately unless a Board Member so requests. In the event of such a request, the item is returned to the Regular Ron Long Agenda] Assistant City Manager Mack Funk Harbor Master Suzi Towsley Executive Liaison City of Seward, Alaska PACAB Agenda February 1, 2012 Page 1 7. INFOMATIONAL ITEMS, REPORTS AND PRESENTATIONS- 8. UNFINISHED BUSINESS A. Changes to the 2012 and 2013 Harbor Tariffs 9. NEW BUSINESS A. Resolution 2012 -XXX — Resolution of the Seward City Council transferring $234,451.41 of additional 2011 raw fish tax proceeds to the Harbor Major Repair and Replacement Fund to fund Capital Infrastructure needs B. January 4, 2012 Minutes 10. CORRESPONDENCE, INFORMATIONAL ITEMS AND REPORTS (No action required) - A. Coastal Villages Fleet Update 11. BOARD COMMENTS 12. CITIZEN COMMENTS [5 minutes per individual - Each individual has one opportunity to speak.] 13. BOARD AND ADMINSTRATIVE RESPONSE TO CITIZENS'COMMENTS 14. ADJOURNMENT City of Seward, Alaska PACAB Agenda February 1, 2012 Page 2 Council Agenda Statement r lof s Meeting Date: February 13, 2012 , ' ' To: Honorable Mayor and Members of the City Council q p Through: City Manager Jim Hunt From: Kristin Erchinger, Finance Director Agenda Item: Appropriation of Additional Raw Fish Tax BACKGROUND & JUSTIFICATION: The City of Seward annually receives raw fish tax payments from the State of Alaska. These payments are the result of a Fisheries Business Tax levied by the state on persons who process or export fisheries resources from Alaska. The tax is based on the price paid to commercial fishers, or fair market value when there is not an arms- length transaction. Fisheries business tax is primarily collected from licensed processors and persons who export fish from Alaska. The tax rates are as follows: Established Species Rate Developing Species Rate Floating 5% Floating 3% Salmon Cannery 4.5% Shore -Based 1% Shore -Based 3% Direct Marketers 1% Direct Marketers 3% In 2011, the City of Seward budgeted $365,000 in estimated raw fish tax revenues to the City's General Fund, with a corresponding transfer -out to the Harbor Enterprise Fund. This represents the second consecutive year in which raw fish tax proceeds have been given to the harbor, rather than used to offset the community -wide (General Fund) effects of fisheries operations. Shifting of this revenue source to the harbor was done to assist the harbor with accumulating sufficient reserves to address critical capital infrastructure needs, for which a funding source was not available. Based on the 2011 Budget, the Harbor Enterprise Fund intended to transfer $183,248 of the estimated $365,000 raw fish tax proceeds to the Harbor Major Repair and Replacement Fund (MRRF), for the purpose of replacing existing harbor infrastructure nearing the end of its useful life. The remaining fish tax proceeds ($181,752) were to be used to balance the Harbor's 2011 budget. The amount of fish tax received by the City in 2011 is $599,451.41. In order to accomplish the original intent of the City Council per the 2011 Budget, the following budget adjustments are necessary: 1) General Fund budgeted revenues increase by $234,451.41; 2) General Fund transfers out to the Harbor Enterprise Fund increase by $234,451.14; and 3) Harbor Enterprise Fund transfers out to the Harbor MRRF Fund increase by $234,451.41. INTENT: To allocate 100% of the raw fish tax proceeds received in 2011 from the City's General Fund to the Harbor Enterprise Fund, with final transfer to the Harbor Major Repair & Replacement Fund, for the purpose of addressing harbor capital replacement needs. CITY OF SEWARD RESOLUTION 2012 - PAGE TWO CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here): 2. Strategic Plan (document source here): Other (list): 2012 -2013 Harbor Capital Improvement Plan lists replacement of D Float as a critical capital need that must be X 3 ' accomplished within the next five years to avoid failure. The cost of this project is estimated at $2.363 million. FISCAL NOTE: This action has no financial impact on the General Fund since 100% of the fish tax proceeds are intended to be transferred to the Harbor. This action has no financial impact on the Harbor, since all of the increased fish tax proceeds will be transferred to the Harbor Major Repair and Replacement Fund. This action will increase the reserve balance in the Harbor MRRF by $234,451.41, to be used to fund harbor infrastructure replacement. Approved by Finance Department: ATTORNEY REVIEW: Yes No RECOMMENDATION: Seward City Council approve an increase in the budgeted fish tax revenues, with final transfer of additional revenues to the Harbor MRRF Fund to fund critical capital needs. Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2012 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING TRANSFER OF ADDITIONAL RAW FISH TAX PROCEEDS IN THE AMOUNT OF $234,451.41 TO THE HARBOR MAJOR REPAIR AND REPLACEMENT FUND, TO FUND CAPITAL INFRASTRUCTURE NEEDS WHEREAS, the Seward City Council authorized transfer of 100% of the estimated raw fish tax proceeds ($365,000) from the General Fund to the Harbor Enterprise Fund in 2011, for the purpose of developing a revenue source to assist the harbor with replacement of critical capital infrastructure which was nearing the end of its useful life; and WHEREAS, the Harbor Enterprise Fund anticipated transferring all but $181,752 of the fish tax proceeds to the Harbor Major Repair and Replacement Fund (MRRF) to fund critical capital needs, such as replacement of D- Float, with the non - transferred funds remaining in the harbor to help balance the 2011 Harbor Enterprise Fund budget; and WHEREAS, raw fish tax proceeds exceeded budgeted projections by $234,451.41, coming in at $599,451.41, and it is the intent of the City Council to transfer 100% of these additional funds from the General Fund to the Harbor Enterprise Fund, for final transfer to the Harbor MRRF Fund, and this additional appropriation requires approval of the City Council; and WHEREAS, this resolution has been reviewed and supported by the Port and Commerce Advisory Board. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. General Fund raw fish tax budgeted revenues are hereby increased to account 101- 0000 - 4350 -0130 by $234,451.41; transfers -out from the General Fund (101 -0000- 3071 -0401) to the Harbor Enterprise Fund (401- 0000 - 3070 -0101) are hereby increased by $234,451.41; and transfers -out from the Harbor Enterprise Fund (401- 0000 - 3075 -0402) to the Harbor MRRF Fund (402- 0000 - 3075 -0401) are hereby increased by $234,451.41. Section 2. This resolution is retroactive to December 31, 2011, and shall impact the 2011 Budget. Section 3. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13 day of February 2012. CITY OF SEWARD, ALASKA RESOLUTION 2012 - THE CITY OF SEWARD, ALASKA David Seaward, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Johanna Kinney, CMC City Clerk (City Seal) February 2012 February 2012 March 2012 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 1 2 3 5 6 7 8 9 10 11 4 5 6 7 8 910 12 13 14 15 16 17 18 11 12 13 14 15 16 17 19 20 21 22 23 24 25 18 19 20 21 22 23 24 26 27 28 29 25 26 27 28 29 30 31 Monday Tuesday Wednesday Thursday Friday Jan 30 31 Feb 1 2 3 11:00am PACAB WS 12:00pm PACAB Meetin n, v LL O rn C 6 7 8 9 10 11:30am Seward Comm 0 v LL 13 14 15 16 17 7:00pm City Council M 12:00pm PACAB Work S 9:00am Social Security 6:30pm Historic Preser r , v LL 20 21 22 23 24 Offices Closed; Preside j 6:30pm P &Z Work Ses N N LL 27 28 29 Mar 1 2 7:00pm City Council M N 2 r N N LL Nanci Richey 1 1/31/2012 3:32 PM March 2 012 March 2 April 2012 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 1 2 3 4 5 6 7 4 5 6 7 8 9 10 8 9 10 11 12 13 14 11 12 13 14 15 16 17 15 16 17 18 19 20 21 18 19 20 21 22 23 24 22 23 24 25 26 27 28 25 26 27 28 29 30 31 2930 Monday Tuesday Wednesday Thursday Friday Feb 27 28 29 Mar 1 2 N 2 N N a) v LL 5 6 7 8 9 7:00pm P &Z Meeting 12:00pm PACAB Meetin 11:30am Seward Comm rn L 2 12 13 14 15 16 7:00pm City Council M N r-1 19 20 21 22 23 6:30pm P &Z Work Ses 12:00pm PACAB Work S 9:00am Social Security 6:30pm Historic Preser m N Q1 r-1 2 26 27 28 29 30 Offices Closed; Seward 7:00pm City Council M 0 N 2 Nanci Richey 1 1/31/2012 3:32 PM