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HomeMy WebLinkAbout02102014 City Council Packet%W: Seward City Council ; �ii 5: ar ��y-'+w&5� y 3 A enda Packet w M . . . . . . . . . . . . . . . . . . g C ^. n v r L r , February 10, 2014 • qP City Council Chambers Beginning at 7 :00 p.m. L 1963 1965 2005 The City of Seward, Alaska bwdrtri CITY COUNCIL MEETING AGENDA All-America fitly {Please silence all cellular phones and pagers during the meeting} February 10, 2014 7:00 p.m. Council Chambers Jean Bardarson 1. CALL TO ORDER Mayor 2. PLEDGE OF ALLEGIANCE Term Expires 2015 3. ROLL CALL 4. CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE Marianna Keil ITEMS SCHEDULED FOR PUBLIC HEARING [Those who Vice Mayor have signed in will be given the first opportunity to speak. Time is Term Expires 2014 limited to 3 minutes per speaker and 36 minutes total time ,for this agenda item.] Vacant 5. APPROVAL OF AGENDA AND CONSENT AGENDA Council Member [Approval ol'Consent Agenda passes all routine items indicated by Term Expires 2015 asterisk Consent Agenda items are not considered separately unless a council member so requests. In the event of such a request, Ristine Casagranda the item is returned to the Regular Agenda] Council Member Term Expires 2014 6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Christy Terry A. Proclamations and Awards Council Member Term Expires 2015 1. Proclamation for Polar Bear Jump Off ...................... Pg. 4 David Squires B. Borough Assembly Report Council Member C. City Manager's Report Term Expires 2015 D. City Attorney's Report E. Other Reports and Presentations Dale Butts Council Member 1. Presentation on Seaview Community Service's Domestic Violence Term Expires 2014 Sexual Assault Program by Coordinator Dawn McDevitt. James Hunt City Manager Johanna Kinney City Clerk Cheryl Brooking City Attorney City of Seward, Alaska Council Agenda February 10, 20114 Page 1 7. PUBLIC HEARINGS — None 8. UNFINISHED BUSINESS — None 9. NEW BUSINESS A. Resolutions *1. Resolution 2014 -013, Retroactively Amending The 2013 Budget To Record Expenditures Of $325,900.14 Paid By The State Of Alaska On Behalf Of The City Toward The City's Public Employees Retirement System Liability For The Period July Through December, 2013 ........................................................................... ............................Pg. 5 2. Resolution 2014 -014, Authorizing Purchase Of A Ford F350 4x4 Truck From Kendall Ford To Replace A 2001 Chevy 3500 4x4 Truck With Crane At The Harbor, In An Amount Not To Exceed $28,500 Utilizing The State Of Alaska's Procurement Contract, And Waiving Competitive Procurement Procedures ....................... ............................Pg. 12 3. Resolution 2014 -015, Accepting An Amendment To Grant Number 7910011 Through Alaska Energy Authority To Upgrade And Update Generation Facilities At Fort Raymond Generation Plant For $2,000,000, And Appropriating Funds .......................Pg. 17 4. Resolution 2014 -016, Retroactively Amending The 2013 Budget And Appropriating An Additional $84,087 In Sales Tax Revenue To The Hospital Enterprise Fund ............ Pg. 25 *5. Resolution 2014 -017, Authorizing The City To Provide Certain Administrative And Support Services On Behalf Of The Seward Community Health Center ......................Pg. 27 6. Resolution 2014 -018, Approving A Co- Applicant Agreement Between The Seward Community Health Center, Inc. And The City Of Seward ........... ............................Pg. 29 7. Resolution 2014 -019, Approving A Transfer Of Funds In The Amount Of $500,000 From The Water Enterprise Fund To The Wastewater Enterprise Fund For The Purpose Of Conducting Mitigation Efforts At Lowell Point Sewage Lagoon, And Appropriating Funds......................................................................... ............................Pg. 42 8. Resolution 2014 -020, Approving An Amendment To The Employment Agreement With The City Manager, And Appropriating Funds ................... ............................Pg. 46 *9. Resolution 2014 -021, Amending The City Council Rules Of Procedure Rule 26, Order Of Business And Rule 27, Procedures For A Public Hearing ............................Pg. 49 B. Other New Business Items * 1. Non- objection to the liquor license renewal for Terry's Fish & Chips and the Seward Alehouse.................................................................. ............................... P g. 56 *2. Issue letter of support for the recertification of the Prince William Sound Regional Citizens' Advisory Council ............................................... ............................Pg. 66 City of Seward, Alaska Council Agenda February 10, 2014 Page 2 10. INFORMATIONAL ITEMS AND REPORTS (No Action Required) A. Regional Citizens' Advisory Council Report by City of Seward Representative Jim Herbert............................................ ....................................................... Pg. 69 B. Certificate of Congratulations awarded to Deputy City Clerk Brenda Ballou on earning the designation of Certified Municipal Clerk (CMQ from the International Institute oj' MunicipalClerks ......................................................................................... Pg. 72 11. COUNCIL COMMENTS 12. CITIZEN COMMENTS 13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS 14. EXECUTIVE SESSION A. Go into Executive Session to discuss the City Clerk's Annual Evaluation, 15. ADJOURNMENT City of Seward, Alaska Council Agenda February 10, 2014 Page 3 PROCLAMATION BEAR PFS7711AL Seward, Alaska a 2014 WHEREAS, the Polar Bear Jump -Off Festival started in Seward in 1986 and is a weekend -long festival that includes silent auctions, turkey bowling, a seafood buffet, and a parade, as well as plunges into the near - freezing waters of Resurrection Bay; and WHEREAS, the mission for this annual event is to raise pledges which help provide cancer patients and their families with information and support, fund research that leads to improved treatments, provide education about cancer prevention and early detection, and help ensure that everyone has access to lifesaving cancer screenings support for eliminating cancer in our society; and, WHEREAS, the funds raised by this event assist the Great West Division of the American Cancer Society, and the funds raised through the other weekend events directly benefit Kenai Peninsula Children with cancer; and, WHEREAS, the entire event is run completely by volunteers and Jonathan Gage became the organizer of the event this year, taking over for Marilyn "Polar Bear" Sutherland who has been organizing the event since 1988; and WHEREAS, the hard work and dedication of Jonathan Gage and all the volunteers will help ensure that more people survive cancer so they can celebrate another birthday. NOW, THEREFORE, I, Jean Bardarson, Mayor of the City of Seward, Alaska do hereby proclaim Saturday, January 18, 2014 as the 29th Annual Polar Bear Jump -Off at Seward's Small Boat Harbor, and I do commend all of the volunteers, supporters, and jumpers who participated in the festival. DATED THIS 10TH DAY OF FEBRUARY, 2014 t l.^ THE CITY OF SEWARD, ALASKA Jean Bardarson, Mayor Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -013 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, RETROACTIVELY AMENDING THE 2013 BUDGET TO RECORD EXPENDITURES OF $325,900.14 PAID BY THE STATE OF ALASKA ON BEHALF OF THE CITY TOWARD THE CITY'S PUBLIC EMPLOYEES RETIREMENT SYSTEM LIABILITY FOR THE PERIOD JULY THROUGH DECEMBER, 2013 WHEREAS, in accordance with the 2012 Alaska State Legislature's passage of House Bill 284, the State of Alaska Department of Administration, Division of Retirement & Benefits ( "DRB ") contributed $363,319.84 on behalf of the City of Seward from January through June, 2013 and $325,900.14 from July through December, 2013, for a total contribution of $689,219.98 on the City of Seward's behalf, reflecting the 13.84% difference between the actuarially required contribution rate of 35.84% as adopted by the Alaska Retirement Management Boardl and the 22% employer "capped" rate established by SB53; and WHEREAS, this July through December, 2013 contribution represents $184,394.28 toward pension costs and $141,505.86 toward healthcare costs, on behalf of the City; and WHEREAS, in accordance with generally accepted accounting principles, the City must record payments made on its behalf, and must therefore amend the 2013 Budget to account for both the expenditures paid on behalf of the City, and the corresponding revenues paid by the State of Alaska Department of Administration; and WHEREAS, failure to amend the budget to reflect the State's payments on- behalf of the City, will result in an imbalance between the actual and budgeted revenues and expenditures, giving the appearance of revenues and expenditures exceeding the annual budget as approved by the Seward City Council. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: 1 The ARC reflects normal cost rate of 11.68% plus past service cost rate of 24.16 %, and is further expressed as pension costs of 15.75 %, healthcare costs of 20.09 %, and DCR normal cost of 3.01 %. Is CITY OF SEWARD, ALASKA RESOLUTION 2014-013 Section 1. The 2013 Operating Budget shall be amended to appropriate $325,900.14 from the State grant revenues accounts x01 -0000-4350-0150 to various fund /department expense accounts x01 -XXYX-5060 allocated on a pro-rata basis, as follows: General Fund total: $279,506.41; Harbor Fund total: $13,286.60; Electric Fund total: $6,620.61; Water Fund total: $15,504.74; Wastewater Fund total: $10,981.78. Section 2. This resolution shall be retroactive to December, 2013. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of February, 2014, AYES: NOES: ABSENT: ABSTAIN: VACANT: ATTEST: Johanna Kinney, CMG City Clerk (City Seal) FS THE CITY OF SEWARD, ALASKA Jean Bardarson, Mayor COUNCIL AGENDA STATEMENT Meeting Date: January 27, 2014 Through: James Hunt, City Manager From: Kristin Erchinger, Finance Director Agenda Item: 2013 Budget Amendment appropriating State PERS on-behalf contributions of $325,900.14 for July through December 2013 BACKGROUND & JUSTIFICATION: The 2012 State legislature passed House Bill 284, appropriating $307,302,392 directly to PERS on behalf of Alaska municipalities, to help offset retirement liability costs to local taxpayers. The City of Seward's portion of this appropriation (for the period January I through June 30, 2013) is $363,319.84, and for July through December 31, 2013 is $325,900.14. This amount is being paid directly to the City's PERS account with the State of Alaska Division of Retirement & Benefits. While the funds did not come directly through the City, we are nonetheless required to account for the State's contribution as both a revenue and an expense/expenditure on the City's financial statements. In 2008, Senate Bill 125 was passed, capping the annual PERS contribution rates for employers at 22%, and creating a cost-sharing plan in which all employers pay the same employer contribution rate. This was a departure from the previous plan, in which every employer was assigned a different employer cost rate, depending on their individual experience. The attached spreadsheet lists the PERS employer contribution rates as established by the Alaska Retirement Management Board, itemizing the portion of the overall rate covered by the State of Alaska on-behalf of municipal employers, as well as a history of the amount paid by the State on behalf of the City of Seward since 2009. Municipal governments in Alaska have benefited significantly by the State's coverage of PERS costs in excess of 22%. However, it is important to note that the legislature may, at any time, modify the amount of subsidy provided by the State toward PERS contributions. Any future reduction in the State's current practice of covering contribution rates exceeding 22%, will equate to equivalent additional required contributions by the City. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here): X 2. Strategic Plan (document source here): X 3. Other (list): 7X 9, CITY OF SEWARD RESOLUTION 2014- u ( 3 FISCAL NOTE: The State's contribution of $325,900.14 is considered a State grant award and is recognized as such on the City's financial statements, with an equivalent amount recorded as retirement expense /expenditure, allocated on a pro -rata basis, to each department's operating budget. Since 2006, the State of Alaska has contributed a total of $2,727,747 toward the City of Seward's portion of the Public Employees Retirement System unfunded liability. Approved by Finance Department Z4 =j ATTORNEY REVIEW: Yes No —X RECOMMENDATION: 2 Council approve Resolution 2014- 00 amending the 2013 Operating Budget by appropriating $325,900.14 from State grant revenues, to various fund retirement expense accounts, on a pro - rata basis, to accounts X01 -XXXX -5060. w CITY OF SEWARD - PUBLIC EMPLOYEES' RETIREMENT SYSTEM CONTRIBUTIONS BY THE STATE OF ALASKA ON THE CITY'S BEHALF Pension Normal cost Past Svc cost Pension 2013 2.55% 12.90% 15.75% 2012 2.52% 12.13% 14.65% 2011 2.65% 7.33% 9.98% 2010 2.91% 7.34% 10.25% 2009 3.82% 7.09% 10.91% 2008 4.57% 4.38% 8.95% 2007 2006 2005 Total ARM Board Healthcare Normal cost Past Svc cost Healthcare Adopted Rate Normal cost DCR Total ARC ' Nor Cos 6.12% 11.26% 20.09% 3.01% 35.84% 1 5.76% 10.35% 16.11% 2.73% 33.49% 1 6.68% 11.30% 17.98% 27.96% 6.55% 10.85% 17.40% 27.65% 9.90%1 14.41% 24.31% 35.22% 1 9.91% 13.65% 23.56% 32.51% 1 'ARC - Actuarial Required Contribution Rate Reflects only 100% of 2013 contribution, for period January through December 2013 (b) - Used to compute proportion of retirement costs associated with debt service (unfunded liability), as opposed to normal cost Past State rate State contribution Service paid on- behalf on behalf Cost of Seward of Seward 24.164 13.84% $ -111,126 22.48%11 11.49 %�r?5 11 1) 18. C:\Corel Data \PERS\SEWARD_PERS_Rates.xls, 1/21/2014 0.51% 12 Past Svc Cost as Unfunded Funding % of Liability at Ratio on Total Rate (b) 30Jun Valuation RESOLUTION 2014- 01 Allocation of PERS On- Behalf Budget Adjustment New Appropriation = $ 325,900.14 IC) 2013 % of Revenue Budget Total Allocation By Fund 1110 179 0.02% $ 61.09 1111 1388 0.15% $ 473.73 1120 15574 1.63% $ 5,315.46 1121 10600 1.11% $ 3,617.82 1130 10074 1.06% $ 3,438.29 1140 28612 3.00% $ 9,765.38 1150 10394 1.09% $ 3,547.51 1210 75686 7.93% $ 25,831.90 1211 21848 2.29% $ 7,456.80 1220 11775 1.23% $ 4,018.85 1250 5267 0.55% $ 1,797.65 1310 10449 1.09% $ 3,566.28 1314 5698 0.60% $ 1,944.75 1340 10904 1.14% $ 3,721.57 1350 6300 0.66% $ 2,150.21 1400 6611 0.69% $ 2,256.36 1410 3397 0.36% $ 1,159.41 1415 3356 0.35% $ 1,145.41 1420 6792 0.71% $ 2,318.13 1430 8759 0.92% $ 2,989.48 1500 14517 1.52% $ 4,954.70 1910 550758 57.68% $ 187,975.64 $ 279,506.41 401 -4001 18089 1.89% $ 6,173.84 401 -4110 2162 0.23% $ 737.90 401 -4150 2487 0.26% $ 848.82 401 -4200 3749 0.39% $ 1,279.55 401 -4360 7592 0.80% $ 2,591.18 401 -4370 4850 0.51% $ 1,655.32 $ 13,286.60 501 -5410 19398 2.03% $ 6,620.61 $ 6,620.61 701 -7400 45428 4.76% $ 15,504.74 $ 15,504.74 703 -7900 32176 3.37% $ 10,981.78 $ 10,981.78 954,869 100% $ 325,900.14 $ 325,900.14 IC) ofRoffirb YMP IFT 0 uA 6 ct m ASR fo 4 p X� Payroll Mm A, 4ti a" EndIng'p ra rk 07/13/2013 14,779.32 11,341.85 26,121,17 07/27/2013 13,536.80 10,388.22 23,925.02 08/10/2013 13,838,66 10,619,95 24,458,61 08/2412013 13,890.14 10,659.42 24,549,56 09/07/2013 14,013.97 10,754,42 24,768.39 09/21/2013 13,545.29 10,394.74 23,940.03 10/05/2013 13,390.22 10,275.74 23,665.96 10/19/2013 13,847,28 10,626.50 24,473.78 11/02/2013 14,049.98 10,782.16 24,832.14 11/16/2013 13,983.76 10,731,25 24,715.01 11/30/2013 17,720.37 13,59812 31,319.09 12/14/2013 13,472.53 10,338.99 23.811.52 12/28/2013 14,325.96 10,99190 25,319.86 TOTALS FOR CITY OF SEWARD $184,394.28 $141,505.86 $325,900.14 Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014-014 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING PURCHASE OF A FORD F350 4X4 TRUCK FROM KENDALL FORD TO REPLACE A 2001 CHEVY 3500 4X4 TRUCK WITH CRANE AT THE HARBOR, IN AN AMOUNT NOT TO EXCEED $28,500 UTILIZING THE STATE OF ALASKA'S PROCUREMENT CONTRACT, AND WAIVING COMPETITIVE PROCUREMENT PROCEDURES WHEREAS, the Harbor Department's flatbed w/crane is 13 years old with more than 108,000 miles and it requires frequent maintenance to remain in-service; and WHEREAS, the Motor Pool Fund includes funding to replace this vehicle, as approved in the 2014 budget; and WHEREAS, this vehicle with crane is needed for the Seward Harbor's used oil collection and disposal program; and WHEREAS, the vehicle is used to tow a 1000 gallon tanker needed for collecting, processing and delivering approximately 25,000 gallons of used oil annually; and WHEREAS, the old truck will be placed in the next surplus sale; and WHEREAS, Seward City Code 6.10.120(B) exempts from competitive procurement requirements/purchases which utilize competitive bids obtained by other governmental units, and the Harbor Department is purchasing this vehicle utilizing the State of Alaska's purchasing contract. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. The City Manager is hereby authorized to purchase a Ford F350 4X4 from Kendall Ford in an amount not to exceed $28,500.00, with funding to come from the Motor Pool Internal Service Fund, as approved in the 2014 Budget. Section 2. The Seward City Council hereby finds that it is in the public interest to exempt the purchase of this truck from competitive procurement requirements, as the City is utilizing the State of Alaska's purchasing contract for this purchase. Section 3.2001 Chevy Flatbed w/crane number 455 is declared surplus to the City's needs and can be sold to the public. NC)" CITY OF SEWARD, ALASKA RESOLUTION 2014 -014 Section 4. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of February, 2014. AYES: NOES: ABSENT: ABSTAIN: VACANT: ATTEST: Johanna Kinney, CMC City Clerk (City Seal) THE CITY OF SEWARD, ALASKA Jean Bardarson, Mayor Agenda Statement Meeting Date: February 10, 2012 To: City Council Through: City Manager Jim Hunt From: Norman Regis, Deputy Harbormaster Agenda Item: Purchase of new Vehicle to replace vehicle number 455 BACKGROUND & JUSTIFICATION: The Harbor Department finds the need to replace vehicle 455, one of five harbor vehicles. The replacement plan for harbor vehicles is based upon age and wear. Unit 445 has been in the shop most recently to replace front CV joints, wheel bearings, front main oil seal, transmission issues, fuel pump, hood, and door issues. It hauls the City's 1000 gallon oil tanker which is used for pumping out the six used oil sites, pumping oil/ picking up drums of oil from vessels in the harbor, transporting the oil to SMIC then transporting the processed oil to 4 City buildings for heat, saving the City funds in heating fuel, and loading and unloading containment boom. This vehicle replacement was approved in the 2014 budget in Resolution 2013 -081 and the Capital Improvement Plan Resolution 2013 -090. The current oil truck has 108,353 miles. Harbor staff recommends the purchase of a Class 164XC 4X4 Extended Cab Chassis using the State bidding list. According to SCC 6.10.120.B "The City may utilize competitive bids obtained by other governmental units." The listed price for plain chassis extended cab truck is $28,500.00. Personnel will then get competitive quotes to add the flatbed, crane and hardware to the rig. The harbor will then notify the council through the City Manager of the total expenditure. The harbor has completed this process before and has saved the City money by doing the leg -work on adding equipment and accessories. $60,000.00 has been budgeted to replace this vehicle and crane; the harbor will come in under the budgeted amount for the complete vehicle. INTENT: To purchase a reliable replacement vehicle for towing a 1000 gallon oil tanker safely, for a vehicle with over a 108,000 miles with maintenance /transmission issues. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here): X 2. Strategic Plan (document source here): X 3. Other (list):2014 Motor Pool Fund X IL\ FISCAL NOTE: The funds would be appropriated from account no. 102-0000-3050 to account no. 102-1020-5930 in the amount not to exceed $28,500.00 for this purchase. Approved by Finance Department: XUa ATTORNEY REVIEW: Yes — No —X RECOMMENDATION: 0%h Council approve Resolution 2014- , authorizing the City Manager approve the purchase a 2015 Ford 4X4 extended cab Chassis, not to exceed $28,500.00 and declare the 2001 Chevy 3500 truck number 455 as surplus public property upon delivery of the new vehicle. �S- Commercial Sales Department Phone: (907) 376-5656 Fax: (907) 352-5629 Attention: C/O SEWARD Bill To: Company Name Street Address City, State ZIP Code Phone Comments: THANK YOU. Prepared by: Direct: Mobile: Email: Today's Date: 1/2/2014 Quote valid until: DAVE LUKE 907-352-5677 907-355-2717 davidiuke@kendallauto.com Description Amount 2015 FORD F-350 EXTENDED CAB X3H, STATE CONTRACT- PRICE $25,342.00 4X4 $3.045.00 BRAKE CONTROLLER -ZE AT -50 All stock units were available at the time of offering and are subject to prior sale. All pricing on ordered units is subject to change by Ford Motor Corporation without notice. All rebates or incentives are subject to change or withdrawal by Ford Motor Credit Corporation without notice. Item Total: $28,500.00 Sales / Tire Tax: Documentation Fees: DMV Fees: Shipping Costs: Grand Total: $28,500.00 Thank You for This Opportunity to Earn Your Business Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -015 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ACCEPTING AN AMENDMENT TO GRANT NUMBER 7910011 THROUGH ALASKA ENERGY AUTHORITY TO UPGRADE AND UPDATE GENERATION FACILITIES AT FORT RAYMOND GENERATION PLANT FOR $2,000,000, AND APPROPRIATING FUNDS WHEREAS, pursuant to the HB 108 (2011) Alaska Energy Authority ( "AEA ") Grant No. 7910011 authorized $3,960,000 to update and upgrade the generation facilities and to construct an office /warehouse at Fort Raymond; and WHEREAS, Council passed Resolution 2012 -028 accepting and allocating the grant funds to the Standby Generator Plant Project on June 11, 2012; and WHEREAS, the City received a single proposal in response to a 2012 Request for Proposals to accomplish the generator upgrades, and the bid price was higher than the available funds; and WHEREAS, the Alaska Energy Authority, being cognizant of the shortfalls of funding for this project, has authorized a $2,000,000 increase in grant funding for the project; and WHEREAS, AEA will retain $20,000 (1 %) of the grant for project management costs, resulting in a net increase of $1,980,000 to be used within Grant No. 7910011, for the Seward Project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The Seward City Council hereby authorizes the City Manager to accept Amendment #2 to AEA Grant #7910011. Section 2. Funding in the amount of $2,000,000 is hereby accepted from the Alaska Energy Authority, grant account no. 505 -5053- 4680 -0200, raising the total grant allocation to $6,000,000, and is appropriated as follows: $20,000 to Project Overhead account no. 505 -5053- 5580 for and $1,980,000 to Infrastructure Account no. 505 -5053 -5925. Section 3. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward this I Oh day of February, 2014. VI Agenda Statement Meeting Date: February 10, 2014 To: City Council Through: Jim Hunt, City Manager From: John Foutz, Electric Utility Manager Agenda Item: Accept Amendment #2 to AEA grant #7910011 BACKGROUND & JUSTIFICATION: Alaska Energy Authority administers Grant #7910011, providing funds to update and upgrade the generation facilities at Fort Raymond and to build a new warehouse to permit a more reliable generation plant. Council accepted AEA Grant #7910011 by Resolution 2012 -028 on June 11, 2012 for that purpose. The grant was awarded on July 1, 2011, in the amount of $4,000,000.00. AEA took 1% ($40,000) as administrative fees. The funds to accomplish the work were expected to total $4,164, 010, of which $3,960,000 is an outright grant from AEA and $237,010 represents work to be accomplished within the operational budget of the Electric Department. Subsequent RFP's and warehouse procurement have shown these funds to be inadequate to complete the project. Recognizing that the project was under - funded, AEA has procured a further $2,000,000 in the form of an amendment to Grant No. 7910011, less 1% management fee ($20,000), for a total increase of $1,980,000. This brings the funds available from AEA Grant No. 7910011 to $5,940,000. INTENT: That the City Council hereby authorizes the manager to accept Amendment #2 to AEA Grant #7910011 in the amount of $1,980,000 to upgrade and update generation facilities at Fort Raymond Generation Plant and to complete construction and set -up of the new Warehouse at 605 Sea Lion Avenue. CONSISTENCY CHECKLIST: Yes No N/A Comprehensive Plan: (3.7.3.1) Continue to upgrade and expand utilities to meet existing needs and encourage future development. X 1 Expand customer base within the Seward Electric Utility area as a means to reduce energy costs and improve services. 2. Strategic Plan (document source here): X 3. Other (list): X FISCAL NOTE: 11 Additional grant funds in the amount of $2 million will increase the amount available for the project by $1,980,000 with the remaining $20,000 to go to the Alaska Energy Authority for administrative overhead costs. Approved by Finance Department: -XUat,-->A2x ATTORNEY REVIEW: Yes No X RECOMMENDATION: Accept Amendment #2 to AEA grant #7910011 to accept additional grant funds in the amount of $2,000,000 to complete the generator upgrades and finish construction on the electric warehouse. Alaska Energy Authority W) XMKA Grant Agreement /40r) ENERGY AUTHORITY Amendment Grant Agreement Number CFDA# Amount of Funds 7910011 NA $ 3,960,000 1 Manage !0 Pass -thru [ice Project Code(s) Proposal No. Period of Performance: 409037 NP10111 From: July 1, 2011 To: December 31, 2015 Project Title Seward Power Plant Integration GRANTEE GRANTOR Name City of Seward Alaska Energy Authority Street/PO Box Street/PO Box P.O. Box 167 813 W. Northern Lights Blvd. City /State /Zip City /State /Zip Seward, AK 99664 Anchorage, AK 99503 Contact Person Contact Person Vernon Willet Jr. Kirk Warren, Project Manager Phone Fax Tff mail: Phone Fax Email: 907 - 2244065 907 - 224 -4038 1 vwillet@cityofseward.net 907- 771 -3072 907- 771 -3044 kwarren@aidea.or AMENDMENT2 Extend Period of Performance to December 31, 2015 Appendix A. Section 4, Insurance, replace with the following: 4. Insurance The Grantee is responsible for obtaining and maintaining any necessary insurance and endorsements as defined in Appendix B Standard Provisions. Continues on the next page. Grantee Authority Project Manager Executive Director or Designee Signature Date Signature Date Signature Date Jim Hunt, Kirk Warren, Sara Fisher -Goad City Manager Project Mana er AEA Executive Director �;(o Seward Power Plant Integration Grant Agreement # 7910011 Amendment # 2 Appendix A, Section 15, Termination, replace with the following: 15. Termination a) The Grantee shall have no rights to compensation or damages for termination except as provided in this Section. b) In addition to all other rights available under law, the Authority may terminate this Agreement or stop work on the Project for the convenience of the Authority or for cause upon ten (10) days written notice. C) "Cause" for termination shall exist when the Grantee has failed to perform under this Agreement, has been stagnant on progression of the project for 2 years, has provided incorrect or misleading information or has failed to provide information which would have influenced the Authority's actions. In order for termination to be for cause, the Grantee's failure to perform or the Grantee's provision of incorrect, misleading, or omitted information must be material. d) If this Agreement is terminated for cause, the Grantee shall be entitled to no compensation. The Grantee shall reimburse the Authority for all grant funds expended under this Agreement by the Grantee or on the Grantee's behalf including interest accrued from the date of disbursement. The Grantee shall also reimburse the Authority for any costs incurred to collect funds subject to reimbursement, and for any damages incurred by the Authority as a result of the Grantee's failure to perform or provision of incorrect or misleading information. The Authority may require the Grantee to return to the Authority some or all of the Project assets and the fair market value of the returned Project assets will be applied to reduce the amount of reimbursement the Grantee owes the Authority under this subsection d. e) If this Agreement is terminated at the sole request of the Authority for the sole reason of its convenience, the Grantee is not required to reimburse the Authority for funds expended prior to the date of termination. If the Grantee has incurred costs under this agreement, the Grantee shall only be reimbursed by the Authority for eligible costs the Grantee incurred prior to the date of termination of the Agreement. However, prior to making any claim or demand for such reimbursement, the Grantee shall use its best effort to reduce the amount of such reimbursement through any means legally available to it. The Authority's reimbursement to the Grantee shall be limited to the encumbered, unexpended amount of funds available under this Agreement. f) If the basis for the termination of the Agreement or stop work under Section 15(b) is capable of being cured, the Authority shall provide the Grantee thirty (30) days from the date the termination or stop work becomes effective for the Grantee to cure the basis for the termination or stop work. If the Grantee cannot reasonably cure the basis for the termination or stop work within this thirty (30) day period, but the Grantee promptly undertakes and diligently pursues such cure, the cure period shall be extended to sixty (60) days. The Authority may further extend the cure period if the Grantee demonstrates that it is prohibited from curing the basis for termination or stop work by any process, stay or injunction issued by any governmental authority or pursuant to any bankruptcy or insolvency proceedings. If the Grantee cures the basis for the stop work, the stop work will be lifted. Until the Agreement is reinstated or stop work lifted, the Authority may not disburse any amount under this Agreement to the Grantee except as otherwise specifically provided in this section. a\ Page 2 of 5 Seward Power Plant Integration Grant Agreement # 7910011 Amendment # 2 Appendix B, Section 1, Grant Funding Sources, replace with the following: 1. Grant Funding Sources This Grant is subject to appropriation and availability of funds as listed below: State of Alaska $ 5,,24Q= FSSLA 2011, Ch. 5, Sec. 4, Pg. 136, Ln. 18-19 Grantee acknowledges that if additional grant funds are made available they are subject to the terms and conditions of this Agreement and any amendment. The original appropriation equaled $ 4,000,000 however; the Authority will retain $ 40,000 of the original appropriation for administration of this grant-funded project. Any unused amount will be granted to the Seward for the Project. Appendix 1131, Section 4. Contracts for Engineering Services, replace with the following: 4. Contracts for Engineering Services In the event the Grantee contracts for engineering services, the Grantee will require that the engineering firm certify that it is authorized to do business in the State of Alaska and provide proof of licensing and required professional liability insurance. Unless otherwise agreed by the Authority, the insurance required by this section shall, at a minimum, included professional liability insurance covering all errors, omissions or negligent acts in the performance of professional services under this agreement, with limits required per the following schedule: Contract Amount Minimum Required Limits Under $ 100,000 $ 300,000 per Occurrence/Annual Aggregate $ 100,000-$ 499,999 $ 500,000 per Occurrence/Annual Aggregate $ 500,000-$ 999,999 $ 1,000,000 per Occurrence/Annual Aggregate $ 1,000,000 or over Refer to Risk Management Appendix 1131, Section 11. Contracts for Engineering Services, replace with the following: 11. Construction Insurance and Bonding When the value of the construction is anticipated to be greater than $100,000, prior to beginning construction on a project funded by this grant, the Grantee or Grantee's contractor(s) must provide the Authority; either a payment and performance bond, as may be required by AS 36.25.010, a surety in form and substance acceptable to the Authority, or some other guarantee or assurance acceptable to the Authority that the Grantee or the Grantee's contractor has the capacity, qualifications, and financial resources necessary to complete construction of the project as proposed in the grant or construction contract(s) funded by this grant. Appendix C, Scope of Work, replace the table detailing milestones, tasks, budget, schedule and deliverables with the following: Milestones Reimbursable Tasks Budget Start Date End Date Deliverables Pre-design/Design Entire Design Package Page 3 of 5 Seward Power Plant Integration Grant Agreement # 7910011 Amendment # 2 Appendix D, Section 3, Monthly Progress and Financial Reports, replace with the following: 3. Monthly Progress and Financial Reports The Grantee will provide monthly progress and financial reports by email (or other method allowed by the Authority, if email is not available) to the Authority Project Manager. These reports are due starting the first full month after the execution of this Agreement. This report must update the Authority on the project's progress, regulatory and compliance issues, possible delays, and grant expenditures during the month. These Monthly Progress Reports, which are due within 30 days of the end of the previous month, must summarize, in one or two pages, the progress made on grant tasks during the month and identify any difficulties in completing tasks or meeting goals or deadlines. The Grantee must also include with the report copies of any work products due to the Authority during this period. Reports are considered late five 5 days after the due date. No further payments will be made without submission and approval of required reports. Work completed after the twenty -day period when required reports have not been submitted is at the Grantee's risk, and costs incurred may be disallowed. Repeated failure to submit reports in a timely manner could result in suspension or termination of the grant. All reports and deliverables required in this agreement must have been submitted and approved by the Authority prior to the final payment being released. Attachment 1 Financial Report/Request for Reimbursement Form, replace with the form provided below. All other terms and conditions remain unchanged. Page 4 of 5 Concept Design Report Aug Dec Concept Design Report $ 25,000 2011 2011 RFP & Evaluation Mar Apr Winning Proposal 2012 2012 Engineering Apr Jul All Engineering Documents 220,000 2012 2014 Construction Protection Components Install 3 phase 69 kV relays, Jul Jun update existing reclosers 41,520 2011 2014 Warehouse EPC warehouse building Jan June 2,100,000 2013 2014 Relocate & Upgrade Unit #4 & Remove arctic enclosures and May Oct #5 relocate Units. Integrate SCADA 2,468,250 2014 2015 5% COS Engineering 242,738 20% Contingency 1,019,502 AEA Management Fee 60.000 Total $ Appendix D, Section 3, Monthly Progress and Financial Reports, replace with the following: 3. Monthly Progress and Financial Reports The Grantee will provide monthly progress and financial reports by email (or other method allowed by the Authority, if email is not available) to the Authority Project Manager. These reports are due starting the first full month after the execution of this Agreement. This report must update the Authority on the project's progress, regulatory and compliance issues, possible delays, and grant expenditures during the month. These Monthly Progress Reports, which are due within 30 days of the end of the previous month, must summarize, in one or two pages, the progress made on grant tasks during the month and identify any difficulties in completing tasks or meeting goals or deadlines. The Grantee must also include with the report copies of any work products due to the Authority during this period. Reports are considered late five 5 days after the due date. No further payments will be made without submission and approval of required reports. Work completed after the twenty -day period when required reports have not been submitted is at the Grantee's risk, and costs incurred may be disallowed. Repeated failure to submit reports in a timely manner could result in suspension or termination of the grant. All reports and deliverables required in this agreement must have been submitted and approved by the Authority prior to the final payment being released. Attachment 1 Financial Report/Request for Reimbursement Form, replace with the form provided below. All other terms and conditions remain unchanged. Page 4 of 5 Seward Power Plant Integration Grant Agreement # 7910011 Amendment # 2 Attachment 1 Financial Report/Request for Reimbursement Form THIS REQUEST IS FOR FINAL PAYMENT R Grantee: City of Seward Period: to Project: Seward Power Plant Integration Grant Number: 7910011 BUDGET SUMMARY A B C D =B +C E =A -D TOTAL GRANT BUDGET PRIOR EXPENDITURES EXPENDITURES THIS PERIOD TOTAL EXPENDITURES GRANT BALANCE BY TASK OR MILESTONE Concept Design Report $ 25,000 Mechanical Engineering Support 20,000 Electrical Engineering 200,000 Protection Components 41,520 Warehouse 2,100,000 Relocate Units 500,000 Integrate Generators 1,968,250 5% COS Engineering 242,738 20% Contingency 1,019,502 AEA Admin Fee 60.000 TOTAL $ limm BY FUND SOURCES Grant Funds $ 5,940,000 Grantee Match — Cash 237.010 TOTAL $ Please submit this form and the supporting documentation to aeapayables @aidea.org CERTIFICATION Form requires two original signatures. The person certifying must be different from the person preparing the report. One signature should be the authorized representative of the Grantee organization or highest ranking officer; the other should be the person who prepared the report. I certify to the best of my knowledge and belief that the information reported on both the Financial Report above and the attached Progress Report are correct. In addition, funds were spent and work performed in accordance with the grant agreement terms and conditions. Certified By: Printed Name: Title: Prepared By: Printed Name: Title: Date: a� Page 5of5 Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -016 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, RETROACTIVELY AMENDING THE 2013 BUDGET AND APPROPRIATING AN ADDITIONAL $84,087 IN SALES TAX REVENUE TO THE HOSPITAL ENTERPRISE FUND WHEREAS, the 2013 Operating Budget anticipated that one cent of every four cents in sales tax collected by the City of Seward would be transferred to the Hospital Enterprise Fund to pay healthcare related costs including debt service costs for the hospital and the long -term care facilities; the hospital Public Employees Retirement System (PERS) liability; major repair and replacement costs, and operating costs associated with healthcare; and WHEREAS, actual sales tax receipts from the Kenai Peninsula Borough during 2013 totaled $4,544,418, requiring an additional transfer of $84,087 to the Hospital Enterprise Fund, for a total annual transfer from the General Fund to the Hospital Enterprise Fund of $1,136,104. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The 2013 Operating Budget shall be amended as follows: 1) increase sales tax revenue account 101- 0000 -4120 -0100 by $296,566 to a total of $4,544,632; and 2) appropriate an additional $84,087 from the General Fund Transfers -Out account no. 101 -0000- 3071 -0801 to the Hospital Enterprise Fund Transfers -In account no. 801- 0000 - 3070 -0101. Section 2. This resolution shall be retroactive to December 31, 2013. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of February, 2014. THE CITY OF SEWARD, ALASKA Jean Bardarson, Mayor a� Council Agenda Statement Meeting Date: February 10, 2014 To: Honorable Mayor and Members of the City Council Through: City Manager Jim Hunt From: Kristin Erchinger, Finance Director * Agenda Item: Appropriation of additional sales tax to Hospital Enterprise Fund BACKGROUND & JUSTIFICATION: The City of Seward sets aside a I% sales tax (currently one -fourth of all sales tax revenues) for the purpose of supporting local healthcare. When the City first initiated a sales tax in March, 1982 (Ordinance No. 507), the Ordinance explicitly addressed the funding of healthcare in Seward as a primary purpose of the tax. The 2013 Budget anticipated total sales tax revenues of $4,248,066, and the amount to be allocated for healthcare, of $1,052,071. {Note: This amount is not exactly one- quarter of estimated sales tax revenues due to a budget amendment to revenues that failed to also allocate one - quarter of that amount for healthcare. } These funds are used to cover bond payments, to repay unfunded retirement liabilities associated with former Seward General Hospital employees, for facility capital costs, and for operational shortfalls. Preliminary sales tax cash receipts in 2013 were $4,544,418, representing an increase of $332,164 from the prior years' cash receipts. To transfer one - quarter of the additional cash receipts to the Hospital Debt Service Fund requires an additional appropriation of $84,087. INTENT: The intent of this resolution is to continue the practice of transferring' /4 of all sales tax revenue from the General Fund to the Hospital Enterprise Fund for healthcare- related purposes. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here): 2. Strategic Plan document source here): 3. Other (list): 2013 Budget p. 76 and p. 163. X FISCAL NOTE: This action has no net financial impact on the City, but will provide additional funding of $84,087 for healthcare purposes. Approved by Finance Department: ATTORNEY REVIEW: Yes No X RECOMMENDATION: R ,$ o l wk- o A ZO t4 -- o I % Seward City Council authorize the transfer of an additional $84,087 in sales tax revenue from the General Fund to the Hospital Enterprise Fund. �b Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -017 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY TO PROVIDE CERTAIN ADMINISTRATIVE AND SUPPORT SERVICES ON BEHALF OF THE SEWARD COMMUNITY HEALTH CENTER WHEREAS, the Seward City Council enacted Ordinance 2010 -008 on December 13, 2010, establishing the powers and duties of the Board of Directors ( "Board ") charged with oversight of the newly established Seward Community Health Center; and WHEREAS, the City of Seward serves as co- applicant with the Seward Community Health Center (stand -alone 501(c)3 entity) as a federally qualified health center ( "CHC "), collaborating to improve access to primary health care in the community, pursuant to Section 330 of the Public Health Service Act (42 U.S.C. § 254b); and WHEREAS, the Seward City Council enacted Ordinance 2013 -013 on December 16, 2013, authorizing employees of the Seward Community Health Center to be employees of the City for a limited time, requiring a Co- Applicant Agreement ( "Agreement ") between the City and the CHC, and in accordance with Seward City Code §2.40.040(D), "if approved by council resolution, the city may provide human resources, risk management, legal, accounting, and general administrative services to the SCHC;" and WHEREAS, the parties agree that the CHC can benefit from assistance from the City as it focuses on clinical and operational matters during the initial operating period. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The Seward City Council hereby authorizes City staff to provide services requested by the Seward Community Health Center, upon approval of the city manager, as follows: payroll and accounts payable processing; accounting and financial reporting; human resource assistance such as advertising, collecting applications, drug- testing and background checks; legal support; computer assistance; provision of employee benefits; and general administrative support. City staff will expressly not provide billing and collection services. Section 2. The costs associated with assisting the Seward Community Health Center may be allocated to the Center and reimbursed by the CHC, as costs of the CHC. Section 3. This resolution shall take effect immediately upon its adoption. A_� COUNCIL AGENDA STATEMENT Meeting Date: February 10, 2014 ' From: James Hunt, City Manager Agenda Item: Authorization to provide support services to Seward CHC. BACKGROUND & JUSTIFICATION: The City of Seward and the Seward Community Health Center Board are co- applicants in the newly funded Section 330 federally qualified health center in Seward. On December 16, 2013, the City Council enacted Ordinance 2013 -013, authorizing employees of the Seward Community Health Center ( "Clinic') to be employees of the City for a limited time, amending portions of the City Code, and requiring the Board of the CHC to enter into a Co- Applicant Agreement with the City. Seward City Code §2.40.040(D), as enacted by Ordinance 2013 -013, authorizes City staff to provide a number of services to the clinic if approved by Resolution of the City Council. In order to assist the very limited initial staff of the clinic in its start-up efforts, the City Council is asked to authorize the City to assist with the following services if requested by the CHC Executive Director, and if approved by the City Manager: human resources assistance, such as advertising for positions, collecting job applications, setting up meetings with applicants, coordinating drug testing and background checks; risk management, legal support; accounting and financial reporting; computer and information technology assistance, to include setting up computer systems and coordinating telephone, internet, and communication services; provision of employee benefits; and general administrative services. INTENT: The intent of this action is to assist the clinic in its initial start-up and implementation phase, to allow the clinic staff to focus on clinical and operational matters. The expectation is that over time, the clinic will be capable of managing these services without support from the City. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here).-p. 12 "We value effective, accessible and affordable healthcare "; "encourage cooperation between all healthcare providers "; X 2. Strategic Plan (document source here): X 3. Other (list): X ATTORNEY REVIEW: X Yes No FISCAL NOTE: The costs associated with services provided by the City to the Seward Community Health Center may be assessed to the Seward Community Health Center and are considered costs of the Clinic. To the extent the Clinic is in a financial position to reimburse the City for those costs, the City may be reimbursed. Approved by Finance Department: RECOMMENDATION: Council approve Resolution 2014- authorizing the City to provide certain administrative and support services on behalf of the Seward Community Health Center. I K Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -018 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING A CO- APPLICANT AGREEMENT BETWEEN THE SEWARD COMMUNITY HEALTH CENTER, INC. AND THE CITY OF SEWARD WHEREAS, the Seward City Council enacted Ordinance 2010 -008 on December 13, 2010, establishing the powers and duties of the Board of Directors ( "Board ") charged with oversight of the newly established Seward Community Health Center; and WHEREAS, the City of Seward serves as co- applicant with the Seward Community Health Center (stand -alone 501(c)3 entity) as a federally qualified health center (FQHC), collaborating to improve access to primary health care in the community, pursuant to Section 330 of the Public Health Service Act (42 U.S.C. § 254b); and WHEREAS, the Seward City Council enacted Ordinance 2013 -013 on December 16, 2013, authorizing employees of the Seward Community Health Center to be non -PERS employees of the City for a limited time, amending portions of the City Code, and requiring the Board to enter into a Co- Applicant Agreement ( "Agreement ") with the City of Seward; and WHEREAS, the Co- Applicant Agreement is established for the purpose of describing the relationship of the parties in the mutual operation of a federally qualified health center in accordance with Section 330; and WHEREAS, the Co- Applicant Agreement expressly provides for the provision that the Seward City Council and the Governing Board of the Seward Community Health Center review the status of the City employment of employees of the SCHC no later than three years from the effective date of this Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The Seward City Council hereby approves the Co- Applicant Agreement between the Seward Community Health Center, Inc. and the City of Seward, in substantial form as attached hereto. Section 2. The City Manager is hereby authorized to undertake any and all actions necessary to execute and implement the Agreement. Section 3. This resolution shall take effect immediately upon its adoption. COUNCIL AGENDA STATEMENT Meeting Date: February 10, 2014 , From: James Hunt, City Manager Agenda Item: Co- Applicant Agreement with Seward Community Health Center, Inc. BACKGROUND & JUSTIFICATION: The City of Seward and the Seward Community Health Center Board ( "Board") are co- applicants in the newly funded Section 330 federally qualified health center in Seward. On December 16, 2013, the City Council enacted Ordinance 2013 -013, authorizing employees of the Seward Community Health Center ( "CHC ") to be non -PERS employees of the City for a limited time, amending portions of the City Code, and requiring the Board of the CHC to enter into a Co- Applicant Agreement ( "Agreement ") with the City. The attached Agreement establishes the roles and responsibilities of the Board, the executive director, and the City of Seward, and expresses the following goals: cooperation rather than competition among healthcare providers to drive efficiency; City financial and administrative support to build a strong foundation for the newly - formed center and oversight of funding; operation of the CHC consistent with Section 330 requirements and the best interests of the community; and restricting the City's role to the highest level necessary to provide oversight without involvement in daily operations or management. The primary responsibilities of the Board include: selecting services to be provided; adopting policies and procedures; ensuring quality of care; providing a sliding fee discount program; evaluating CHC programs and services; approving annual budgets and grant applications, then submitting to City Council for approval; selecting, evaluating, dismissing the executive director; ensuring that adequate insurance coverage is in place for the CHC, employees, and the Board; and ensuring compliance with all applicable laws. The primary responsibilities of the Executive Director include: managing and supervising activities of the CHC including - carrying out policies, procedures, and programs of the Board; negotiating and administering contracts; ensuring eligibility for Federal Tort Claims Act medical malpractice insurance coverage; coordinating with the city manager as to applicable City policies; informing the Parties of any new pertinent federal guidance; maintaining all licensing; and hiring, evaluating, managing, and terminating staff. The primary responsibilities of the City include: providing assistance to the CHC as approved by Resolution of the City Council; ensuring fiscal management and oversight of grant and local funds passed through the City to the CHC; approving grant applications as necessary; providing access to health insurance and retirement Plans; and approving the annual budget upon approval by the Board. The Agreement provides that employees are City employees subject to the Personnel Policies of the CHC as adopted by the Board. Employees are hired, fired, trained, supervised, disciplined and terminated by the Executive Director in accordance with the Personnel Policies. Employment in the CHC is at -will, and Personnel Policies include a grievance procedure, including the right to file a grievance against the Executive Director, which will be heard by the executive committee of the Board. Employees of the CHC are not entitled to participation in the Public Employees Retirement System, but are expected to participate in a deferred compensation -type plan, and are offered the same health insurance plan as other City employees, including the requirement to contribute a portion of the monthly premium. Employment at the �b CHC requires a probationary period and employees are currently offered the same annual leave allowances as other City employees. The pay schedule of the CHC will be approved by the Board, INTENT: The intent of this action is to establish the respective roles and responsibilities of the City, the Board, and the Executive Director of the CHC. Employees of the Seward Community Health Center are deemed to be employees of the City for a limited period of time, in order to provide a stronger foundation for the start-up of the CHC, with the employment status to be revisited by the City Council and the Seward Community Health Center Board. The employees of the clinic will be entirely subject to the personnel and employment policies of the SCHC rather than the City's personnel policies, and the SCHC will be solely responsible for all aspects of employment of SCHC employees, to include wage and salary structure (pay scale, merit increases, cola, etc.), personnel administration, hiring, training, supervision, discipline, grievances, termination, etc. Except as expressly provided in the Agreement, the City will not have any involvement in employment matters of the SCHC, including in the hiring of the executive director. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan (document source here ):p. 12 "We value effective, accessible and affordable healthcare "; "encourage cooperation between all healthcare providers "; X 1 2. Strategic Plan (document source here): X 3. Other (list): X ATTORNEY REVIEW: X Yes No FISCAL NOTE: The personnel costs associated with employees of the Seward Community Health Center will be costs borne by the Seward Community Health Center. While the City may assist with processing payroll and payables, all personnel and other costs paid on behalf of the SCHC by the City, will be assessed to the SCHC and are considered costs of the SCHC. Approved by Finance Department: RECOMMENDATION: ()Ib Council approve Resolution 2014- approving a Co-Applicant Agreement between the City of Seward and the Seward Community Health Center, Inc. MV CO- APPLICANT AGREEMENT BETWEEN SEWARD COMMUNITY HEALTH CENTER, INC., and THE CITY OF SEWARD, ALASKA FOR THE MUTUAL OPERATION OF A FEDERALLY QUALIFED HEALTH CENTER IN ACCORDANCE WITH SECTION 330 OF THE PUBLIC HEALTH SERVICE ACT, 42 U.S.C. §254b SECTION 1. RECITALS. I.I. This Co- Applicant Agreement (the "Agreement ") is for the purpose of maintaining a co- applicant relationship for the mutual operation of a federally qualified health center in accordance with Section 330 of the Public Health Service Act, 42 U.S.C. §254b ( "Section 330 "). 1.2. The facilities and operations that are supported by Bureau of Primary Health Care funds and are operated by the City of Seward, Alaska and the co- applicant Governing Board under the name of "Seward Community Health Center" comprise the "Health Center" for purposes of this Agreement. 1.3. Seward Community Health Center, Inc., the Health Center's governing board (the "Governing Board ") is a separate, non - profit corporation which meets the requirements of Section 330 and is the Co- Applicant board providing the required community -based governance for the Health Center. 1.4. The City of Seward, Alaska ( "City ") is the Section 330 grantee, a local government entity governed by the Seward City Council ( "City Council ") and is a home rule City of the State of Alaska providing general government services for the City, including management of public health facilities, per Chapter 16 of the Seward City Charter. 1.5. The Governing Board and City have been awarded a New Access Point Grant as a Federally Qualified Health Center in accordance with a Notice of Award issued by the United States Department of Health & Social Services, Health Resources and Services Administration, establishing a project period of November 1, 2013 through January 31, 2016. 1.6. The Health Center's Governing Board and the City (the "Parties ") enter into this Agreement is order to: advance the Health Center's mission to provide accessible primary health care to the medically underserved population in the region through a partnership of community resources; to preserve the local partnership which founded the Health Center; and to set forth their respective roles and responsibilities to govern and operate the Health Center in accordance with applicable law and policies 1.7. The Parties mutually agree that the Public Entity Model (which establishes the Co- Applicant partnership between the City and the Governing Board) is deemed by the Co- Applicant Agreement- Page 1 3� Parties to be the operating model which best accomplishes the following mutually desired goals: 1.7.1.Requires cooperation rather than competition among the community's healthcare providers, creating partnerships to drive a more efficient healthcare delivery system and strengthen safety net programs; 1.7.2.Provides City financial and administrative support to build a strong foundation for the newly - formed community health center; 1.7.3.Provides City financial oversight of funding that flows from the City to the health center, including the Section 330 federal grant funding; 1.7.4.Provides the City with a means to ensure that the Governing Board operates the Health Center consistent with the requirements of Section 330 and the overall best interests of the community; 1.7.5.Restricts the City's role in the operation and management of the Health Center to the highest levels necessary to provide legally required and appropriate oversight, without involvement in daily operations or management of the Health Center. Therefore, the Parties mutually agree to the following: SECTION 2. DEFINITIONS. "Agreement" means this Co- Applicant Agreement. 2.1. "City Council" means the Seward, Alaska City Council. 2.2. "Council Members" means the City of Seward, Alaska City Council Members 2.3. "Coordinating Committee" means a committee composed of one member each of the Governing Board; the City Council; the Health Center Executive Director; and the City Manager, or their respective designees. 2.4. "City" means the political subdivision of the State of Alaska incorporated as the City of Seward, Alaska. 2.5. "DHHS" means the United States Department of Health and Human Services. 2.6. "FTCA" means the Federal Tort Claims Act. 2.7. "Governing Board" means Seward Community Health Center, Inc., an Alaska non - profit organization that is the co- applicant governing board providing the community -based governance for the Health Center in accordance with the requirements of Section 330. 2.8. "Health Center" means the facilities and operations that are supported by Bureau of Primary Health Care funds and are operated by the Co- applicant Governing Board under the public name "Seward Community Health Center" Co- Applicant Agreement- Page 2 33> 2.9. "HRSA" means the federal Health Resources and Services Administration. 2.10. "Parties" means Governing Board and the City. 2.11, "Public Entity Model" refers to a partnership between a public entity and a co-applicant, where the public entity is the licensed provider of services and receives the Section 330 grant from HRSA, and collectively, the two entities meet all other Section 330 requirements and are referred to as the "health center." 2.12. "Section 330" means the Section 330 of the Public Health Service Act, 42 U.S.0 § 254b. SECTION 3. GOVERNING BOARD: ROLES AND RESPONSIBILITIES 3.2. Composition. The Governing Board shall comply with the composition and selection requirements of Section 330 and implementing regulations as set forth in the Governing Board Bylaws. 3.3. The Governing Board shall exercise the following authorities and responsibilities of a co- applicant set forth in Section 330 and implementing regulations and policies. 3.3.1. The Governing Board shall select the services to be provided and adopt health care policies including the scope and availability of services to be provided, the location and hours of operation and quality-of-care audit procedures. 3.3.2. The Governing Board shall adopt a policy for eligibility for services, including criteria for a schedule of discounts on charges for services provided to uninsured and underinsured patients with annual incomes at or below 200% of the federal poverty guidelines, with nominal fees for patients with income less than or equal to 100% of the federal poverty guidelines. 3.3.3. The Governing Board shall evaluate Health Center activities including service utilization patterns, productivity, patient satisfaction, achievement of program objectives, and development of a process for hearing and resolving patient complaints. 3.3.4. The Governing Board shall approve the annual operating and capital budget in accordance with Section 330 requirements and City policies. The overall plan and budget shall be prepared under the Governing Board's direction by the Health Center's management team and the Finance Committee of the Governing Board. 3.3.5. The Governing Board shall submit an annual budget for the health center to the City Council for approval, as a co-applicant requirement of Section 330. The Board shall submit the budget no later than October I of each year, for the following year. If the Board unreasonably fails to approve an annual budget, the City may still submit the annual funding request under Section 330 of the Federal Co-Applicant Agreement- Page 3 LA )k Public Health Service Act. No budget shall become effective without City Council approval. 3.3.6. The Governing Board shall approve Section 330 and related grant applications. 3.3.7. The Governing Board shall have the sole authority to select, evaluate (at least annually) and dismiss the Health Center's Executive Director. 3.3.8. The Governing Board shall assure that the Health Center is operated in compliance with all applicable Federal, State and local laws and regulations. 3.3.9. The Governing Board shall evaluate the Health Center's achievements at least annually, and shall use the knowledge gained thereby to revise the Health Center's goals, objectives, plan and budget as necessary and appropriate. 3.3.10. The Governing Board shall have other authorities and responsibilities which are required by Section 330. 3.4. Executive Director. The Executive Director shall be the chief executive officer of the Health Center and shall be subject to the direction and supervision of the Governing Board. 3.4.1. The Executive Director shall have responsibility for the management, supervision, and direction of the Health Center's affairs in furthering policies, procedures and programs established by the Governing Board. 3.4.2. The Executive Director shall have the authority to negotiate, execute and administer all contracts for goods and services required for the Health Center. All major purchases (defined as a single item exceeding $50,000) shall be made in accordance with competitive procurement Ordinance and purchasing policies of the City. 3.4.3. The Executive Director shall assure that the Health Center becomes and remains eligible for Federal Tort Claims Act ( "FTCA ") coverage. 3.4.4. The Executive Director shall coordinate with the City Manager or the manager's designee on administrative actions pursuant to applicable City policies (i.e. purchasing policies, grant reporting requirements). 3.4.5. The Executive Director shall bring any and all new federal guidance pertaining to this Agreement to the attention of the Parties. 3.4.6. The Executive Director of the Health Center shall ensure that the Health Center maintains all licenses, permits, certifications and approvals necessary and appropriate for the operation of the Health Center and ensure that all employees who work at or for the Health Center apply for and maintain all professional licenses and certifications necessary and appropriate. Co- Applicant Agreement- Page 4 3.5. The Health Center will work closely and cooperatively with the City as co-applicants of Section 330 federal grant funding. The City Council and the Governing Board have agreed that it is mutually beneficial for the employees of the Health Center to be deemed to be City employees for a limited period of time. Therefore, the issue of employment will be reconsidered by the parties no later than three years from the effective date of this Agreement, and the following shall apply: 3.5.1. To the extent the Health Center requests administrative assistance from the City and such is approved by Resolution of the City Council, the Health Center shall comply with applicable administrative, fiscal, risk management and human resource policies of the City. Pursuant to City fiscal policies, the Governing Board shall be responsible for maintaining a balanced budget, 3.5.2. Health Center staff, including the Executive Director, shall be City employees subject solely to the Personnel Policies of the Seward CHC, as approved by the Governing Board. The Health Center is fully and solely responsible for all aspects of employment, including payroll administration, hiring, training, supervision, discipline, grievances, and termination, in accordance with the Personnel Policies adopted by the Governing Board. 3.5.3. The Health Center may adopt provisions of the City of Seward's personnel ordinances as components of its employment policies and procedures, subject to approval of the Governing Board. 3.5.4. The Health Center will maintain health insurance, liability insurance and workers' compensation insurance coverage for so long as health center employees remain City employees. 3.5.5. Health Center staff may be eligible to participate in City employee benefit plans authorized by the Governing Board, with the exception that they are expressly prohibited from participating in the Public Employees Retirement System. 3.5.6. Health Center Staff are expressly considered to be City employees for the purpose of participating in health insurance coverage and retirement plans other than the Public Employees Retirement System, although the Health Center may also pursue an alternate retirement plan, if necessary. 3.5.7. The Governing Board of the Health Center shall have exclusive responsibility for hiring, evaluating, managing, and terminating the Executive Director. 3.5.8. The Executive Director of the Health Center shall be appointed by the Governing Board and shall serve at the sole pleasure of the Governing Board. 3.5.9. All employees of the Health Center, including those serving under individual employment contracts (e.g. physicians) shall be appointed by the Executive Director of the Health Center and shall serve at the pleasure of the Executive Co-Applicant Agreement- Page 5 3 � Director. Health Center employees have all the rights afforded them under the Seward Community Health Center Personnel Policies, as approved by the Governing Board, and as amended from time to time. SECTION 4. THE CITY AND CITY COUNCIL: ROLES AND RESPONSIBILITIES. Retention of Authorities. The City Council and the City Manager shall retain all authority not delegated to the Governing Board by federal law or through the terms of this Agreement. 4.1. City Administrative Policies and Resources. 4.1.1. The City may provide general administrative services to the Health Center, such as accounting services, risk management services, personnel assistance, etc., subject to approval by the Seward City Council by Resolution 4.1.2. The City shall provide, without limitation, fiscal management and oversight of grant and local funds passed through the City of Seward, in accordance with applicable law and City policies. 4.1.3. The City will treat the Health Center as a separate accounting fund of the City (the "Community Health Center Fund ") for purposes of accounting for and segregating the Health Center's funds. The City will deposit money from the City's General Fund into the Health Center Fund annually, in amounts approved by the City and consistent with the annual operating and capital budgets approved by the City and the Governing Board. The Community Health Center Fund will also include and account for the federal grant funds that the City receives as the Section 330 grantee. 4.1.4. The City Council shall be responsible for adopting the Health Center's annual operating and capital budgets as finally approved by the Governing Board; the City Council may not unilaterally revise a budget approved by the Governing Board or approve an alternate budget for the Health Center without review and final approval by the Governing Board, with subsequent follow -up by the Council in accordance with Seward City Code 2.40.030(a). 4.1.5. The City may provide human resource services to the Health Center, including advertising, compiling applications, notifying applicants as requested by the Executive Director, drug and background tests, filing applications, etc. if approved by the City Council by Resolution. 4.1.6. The City may provide risk management oversight and services, and insurance for the Health Center, the Health Center's employees and the Governing Board to cover liabilities for each of them not otherwise covered or preempted by the FTCA. 4.1.7. The City may provide legal consultation to the Health Center and the Governing Board, but the Governing Board shall be free to retain separate counsel. Co- Applicant Agreement- Page 6 2:� 4.1.8. The Health Center, out of its Community Health Center Fund, shall pay for or reimburse the City for the services and the insurance coverage that the City may provide to the Health Center under this Agreement, including general administrative services, human resource services, accounting services and legal services, to the extent that cash is available for this repayment. The amount to be paid or reimbursed by the Health Center shall constitute the Heath Center's pro- rata share of the cost of such services, all in accordance with the annual budgets for the Health Center that are approved by the City and the Governing Board. SECTION 5. PARTIES' AGREEMENT TO PARTICIPATE IN COORDINATING COMMITTEE. For purposes of implementing this Agreement, the Parties agree to participate in a Coordinating Committee comprised of one member each of the Governing Board, the City Council, the Health Center Executive Director, and the City Manager, or their respective designees. 5.2. Meetings may be called by any one member of the Coordinating Committee and may be held telephonically or electronically. SECTION 6. TERM OF AGREEMENT. The Agreement shall remain in effect during the project period of each Section 330 grant award and shall remain in effect until terminated in accordance with the terms, of Section 7. 6.2. Subject to any Federal and/or state regulatory approval which might be required to terminate the operation of the Health Center, nothing in this Agreement is intended to require, nor should be construed to require, that the Health Center remain in operation, or that the City apply for any grant funding, including continued Section 330 funding for the Health Center. SECTION 7. TERMINATION OF AGREEMENT. Immediate Termination. This Agreement shall terminate immediately upon the effective date of any termination of City's Section 330 grant (without renewal), or upon the loss of any license, permit or other authorization required by law or regulation for operation of the Health Center. 7.2. For Cause Termination. Subject to Section 7.5, any of the Parties may terminate this Agreement for cause in the event that another Party fails to meet its material obligations under this Agreement. Such termination shall require ninety days' prior written notice of intent to terminate, during which period the Party that has failed to meet its material obligations may attempt to cure such failure. If the material breach is cured within the Co-Applicant Agreement- Page 7 b-MM WIM i W 41 ninety day period, termination shall not occur. If the Parties do not agree that a breach of a material obligation has ' occurred or that such a breach has been satisfactorily cured, the Parties shall submit their claims to a mutually- approved independent mediator, as set forth in 7.4, who shall attempt to assist the Parties in resolving their disagreement. 7.3. Termination for Mutual Convenience or Without Cause. This Agreement may be terminated upon the written agreement of both Parties, subject to Section 7.5. In addition, any of the Parties may terminate this Agreement without cause upon giving one hundred and eighty (180) days' prior written notice to the other Party. 7.4. In the event either Party gives notice of intent to terminate this Agreement and the other Party does not concur, the Parties shall submit to a review by a mediator to determine if issues leading to termination.can be resolved. The mediator shall be chosen by a process in which all Parties first; attempt to concur in the selection. In the event concurrence cannot be reached, the iCity Human Resources Officer shall prepare a list of five independent mediators and etch of the Parties shall strike one name until one remains who shall serve as mediator. 7.5. Termination Contingent upon HRSA Approval. Termination under Sections 7.2 or 7.3 shall not become effective unless and until HRSA issues its written approval of such termination. SECTION 8. NOTICES. All notices permitted or . required by this Agreement shall be deemed given when in writing and delivered personally or deposited in the United States Mail, first class postage prepaid, Certified and Return Receipt Requested, addressed to the other Party at the address set forth below,.onsuch other address as the Party may designate in writing. For Governing Board: Chairperson and Executive Director Seward Community Health Center, Inc. PO Box 2895 Seward, AK 99664, and For City: City Manager PO Box 167 410 Adams Street Seward, AK 99664 Co- Applicant Agreement- Page 8 SECTION 9. ASSIGNMENT. This Agreement shall be binding upon and shall inure to the benefit of the Parties hereto and their respective transferees, successors and assigns, provided that neither Party shall have the right to assign, delegate or transfer this Agreement, or its rights and obligations hereunder, without the prior written consent of the other Parties. SECTION 10. AMENDMENTS TO COMPLY WITH LAW. In the event that any one or more provisions of this Agreement are deemed null, void, illegal or unenforceable; or should any part of this Agreement cause the Governing Board or the City (as co-applicants) not to comply with Section 330, the Parties agree to attempt to amend this Agreement as reasonably necessary to achieve legal compliance. 10.2. In the event that no such amendments or agreements for amendments can reasonably be made, this Agreement shall :immediately terminate. SECTION 11. ENTIRE AGREEMENT; AMENDMENTS. This Agreement, City Ordinance 2013-013, the New Access Point Grant Application, and the New Access Point br'an"t' Award issued by HRSA, and the provisions of the Health Information Portability and Protection Act (HIPPA) respecting the confidentiality of patient records, constitutes the entire agreement between the Parties and supersedes all prior written and oral agreements among the Parties relating to the subject matter hereof. No statements, promises or inducement made by any party or by agents of any of the parties which are not contained in this Agreement shall be valid or binding. 11.2. This Agreement shall not be enlarged, modified or otherwise altered without the written agreement of all Parties. The Parties may adopt, from time to time, supplemental or additional agreements which, enlarge, modify or otherwise alter this agreement. Being the persons duly authorized to sign this Agreement and thereby bind the above- named Parties, we do hereby affix our signatures on this, the _ day of 2014. SEWARD COMMUNITY HEALTH CENTER, INC. (GOVERNING BOARD) By: Patricia Beals Its: Chairperson Co-Applicant Agreement- Page 9 L�o CITY OF SEWARD By: James Hunt Its: City Manager Attest: Johanna Kinney, CMC, City Clerk SEAL: Co- Applicant Agreement- Page 10 y� Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014-019 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING A TRANSFER OF FUNDS IN THE AMOUNT OF $500,000 FROM THE WATER ENTERPRISE FUND TO THE WASTEWATER ENTERPRISE FUND FOR THE PURPOSE OF CONDUCTING MITIGATION EFFORTS AT LOWELL POINT SEWAGE LAGOON, AND APPROPRIATING FUNDS WHEREAS, operation of the Lowell Point Sewage lagoon was initiated in November, 1993, and the lagoon has operated for more than two decades without a significant investment in lagoon repair or sludge disposal costs; and WHEREAS, maintenance and repairs are necessary so that the Lagoon can perform as intended, which may require diversion of sewage into one cell while another cell is serviced, repair and/or installation of pumps and piping, and disposal of lagoon sludge, in addition to the design, engineering, and other associated repair work; and WHEREAS, City staff are developing plans for long-term repairs to the Lagoon, but in the immediate term, it is necessary to perform work to design, engineering, and perform odor-control measures at the Lagoon, necessitating an appropriation of $500,000; and WHEREAS, despite recent increases in the wastewater tariff aimed at addressing deferred maintenance needs of wastewater infrastructure, the cash balance in the Wastewater Enterprise Fund is approximately $689,600, and $311,000 in the Wastewater Major Repair and Replacement Fund (MRRF), for a combined total of approximately $1 Million at December 31, 2013, still insufficient to cover major anticipated costs of repairs; and WHEREAS, the cash balance in the Water Enterprise Fund is approximately $2.7 Million, and in the Water MRRF, $212,500 for a combined total of nearly $3 Million at December 31, 2013, which includes a recent loan repayment to the Fund of approximately $1.9 Million; and WHEREAS, the administration recommends a transfer of cash from the Water Enterprise Fund to the Wastewater Enterprise Fund MRRF to cover the costs of short-term mitigation efforts at the Lagoon, in an amount not to exceed $500,000. The Water Fund is considered a more appropriate source of funds given the shortfall of cash in the Wastewater Fund, given the shared customer base of ratepayers for both the Water and Wastewater Funds, as well as the relationship between system inflows (Water) and outflows (Wastewater). NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: �a CITY OF SEWARD, ALASKA RESOLUTION 2014 -019 Section 1. Funding in the amount of $500,000 is hereby appropriated from the Water Enterprise Fund net assets account no. 701 - 0000 - 3071 -0702 to the Wastewater MMRF Fund account no. 702 - 0000 - 3070 -0701, for the purpose of conducting necessary short-term repair needs at the Lowell Point Sewage Lagoon, including performing design work, odor control, engineering, etc. Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10`h day of February, 2014. AYES: NOES: ABSENT: ABSTAIN: VACANT: 04111 *11 Johanna Kinney, CMC City Clerk LA'�) THE CITY OF SEWARD ALASKA Jean Bardarson, Mayor COUNCIL AGENDA STATEMENT Meeting Date: February 10, 2014 From: James Hunt, City Manager Agenda Item: Transfer of $500,000 from Water Fund to Sewer MRRF for Lowell Point Sewage Lagoon Repairs BACKGROUND & JUSTIFICATION: The upgraded Lowell Point Sewage Lagoon began operation in November, 1993, and has operated continuously for more than two decades without a significant investment in repairs or sludge removal costs. It has become necessary to perform immediate mitigation efforts on the lagoon in order to enable the lagoon to perform as intended, and improve odor control at the Lagoon. Depending on the cost of mitigation efforts, funding will be spent on odor control efforts, design and engineering, and potentially dredging. Eventually, repairing the system will likely involve diversion of sewage between cells, repairs and/or installation of pumps and piping, and removal and disposal of sludge, but we anticipate the need for further funding to facilitate all of the necessary repairs, and will bring this matter back to Council in the future. The Wastewater Enterprise Fund and its Major Repair and Replacement Fund have inadequate reserves available to meet the cost of these expected mitigation efforts, estimated at approximately $500,000. As of December 31, 2013, the cash balance in those funds combined, totals approximately $1 Million. Given the relationship between inflows into the system (water) and outflows from the system (sewer), there is some relationship between these two enterprise operations which can justify the sharing of cash reserves for major infrastructure needs. These two utilities share a common purpose, some infrastructure, and customers, and prior to 2006 were accounted for in a single enterprise fund. This source of funding is preferred instead of the use of taxpayer funds from the General Fund, which has no Major Repair and Replacement Fund available. INTENT: The intent of this action is to provide funding to the Wastewater MRRF Fund to mitigate odor problems at the Lowell Point Sewage Lagoon. This transfer of funds is not intended to be a loan, and repayment from the Wastewater Fund to the Water Fund is not contemplated by this transaction. CONSISTENCY CHECKLIST: Yes No N/A I — Comprehensive Plan (document source here ): Protect air quality, p, I ];Following recommendations from Water /Sewer Systems Analysis, p.2 X 2. Strategic Plan (document source here): X 3. Other (list): Water/Sewer Systems Analysis X ATTORNEY REVIEW: Yes X No yL� ATTORNEY REVIEW: Yes X No FISCAL NOTE: The transfer of $500,000 from the Water Enterprise Fund to the Wastewater MRRF will reduce the approximate cash balance of the Water Enterprise Fund and its companion MRRF, to $2.4 Million, preserving the balance in the Wastewater Enterprise Fund and its companion MRRF, at approximately $1 Million. We anticipate needing to come back to Council for additional funding in the future, for the purpose of conducting repairs to the Lagoon, to include the costs of engineering, repairs, and dredging. The approximate cost of those efforts it not known at this time. Approved by Finance Department: -�j6u- Z :t -cduao- i a RECOMMENDATION: Council approve Resolution 2014- authorizing a transfer of $500,000 from the Water Enterprise Fund to the Wastewater MRRF for the purpose of conducting mitigation efforts and maintenance to the Lowell Point Sewage Lagoon. —\-5� Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2014 -020 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWAR% ALASKA, APPROVING AN AMENDMENT TO THE EMPLOYMENT AGREEMENT WITH THE CITY MANAGER, AND APPROPRIATING FUNDS WHEREAS, James Hunt has been employed as the City Manager since October 31, 2011; and WHEREAS, the City Manager does not participate in standard employee merit step increases or cost of living increases as outlined in the Seward City Code, and any increase in pay or annual leave accrual must be by amendment to the employment agreement; and WHEREAS, Hunt's contract states that the City Council agrees to review Hunt's salary annually and upon a favorable review on the standard City Manager Evaluation by Council, receive a salary increase; and WHEREAS, per a satisfactory evaluation, the City Council agrees to give Hunt a 3% Cost of Living Adjustment (COLA) increase effective February 10, 2014; and WHEREAS, this increase was not already factored into the FY 2014 budget, and requires a budget adjustment of $4,252.50, including salary and benefits. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. Amendment No. 2 to the City Manager's employment agreement dated October 31, 2011 between the City of Seward and James Hunt, which increases his annual pay by 3 %, is hereby approved. Section 2. The 2014 and 2015 budgets are hereby amended to increase the city manager department salary line item (101 -1120 -5010) by $3,150 (hourly rate increase from $50.48 to $52.00), and benefit line items (101 - 1120 -5XXX) by $1,102.50, for a total budget increase of $4,252.50, with funding from the General Fund undesignated fund balance account no. 101- 0000 -3050. Section 3, The effective date of this increase shall be February 10, 2014. Section 4. This resolution shall take effect immediately upon its adoption. L��p Agenda Statement Meeting Date: February 10, 2014 To: City Council From: City Manager James Hunt Agenda Item: Amending the City Manager Employment Agreement BACKGROUND & JUSTIFICATION: James Hunt has been employed by the Seward City Council as the City Manager since October 31, 2011. The city manager does not participate in standard employee step increases or cost of living allowances (COLA) as outlined in the Seward City Code, and any increase in pay or annual leave accrual must be by an amendment to the employment agreement. The attached resolution reflects an increase in annual pay by a 3% Cost of Living Adjustment (COLA). CONSISTENCY CHECKLIST: Yes No NA 1 Comprehensive Plan: Page 70, Offsetting "Factors that negatively impact the quality of life — high cost of living." x 2 Strategic Plan: x 3 Other: x ATTORNEY REVIEW: Yes No X FISCAL NOTE: This increase has not been factored into the FY 2014-2015 budget, and requires a budget adjustment of $4,252.50, including salary and benefits. Approved by Finance Department: RECOMMENDATION: 020- Approve Resolution 2014- , amending the employment contract of James Hunt to allow for a 3% COLA increase to his annual rate of pay effective February 10, 2014 and adjusting the 2014 and 2015 budgets to increase the city manager department salary line item (101 -1120 -5010) by $3,150 (hourly rate increase from $50.48 to $52.00), and benefit line items (10 1 - I 120-5XXX) by $1,102.50, for a total budget increase of $4,252.50, with funding from the General Fund undesignated fund balance account no. 101-0000-3050. by $4,252.50, including salary and benefits. L\-) EMPLOYMENT AGREEMENT AMENDMENT #2 City Manager Services for Jim Hunt This is an amendment to the agreement between the City Council of the City of Seward, Alaska, whose address is P.O. Box 167, Seward, Alaska 99664 ("City") and Jim Hunt, whose address is PO Box 3094, Seward, Alaska 99664 ("Hunt"). Amendments: Section 2 is amended to the original employment agreement to read: "2. Hunt shall be paid at the rate of $108,160.00 per year." This change is effective February 10, 2014. Except as provided herein, all other terms and conditions of the agreement dated October 10, 2011 and subsequent amendments remain in force and effect. All other provisions of the original agreement remain in effect. DATED this day of February, 2014 IOWA DoWNYA1341M. Jean Bardarson, Mayor Jim Hunt, City Manager Johanna Kinney, CMC City Clerk (City Seal) Sponsored by: Clerk CITY OF SEWARD, ALASKA RESOLUTION 2014 -021 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AMENDING THE CITY COUNCIL RULES OF PROCEDURE RULE 26, ORDER OF BUSINESS AND RULE 27, PROCEDURES FOR A PUBLIC HEARING WHEREAS, Seward City Code Section 2.10.055 states that the order of business for the regular meetings of the City Council shall be set by resolution of the council and incorporated into the Council's adopted Rules of Procedure; and WHEREAS, the order of business regarding public hearing items is clearly written in the City Council Rules of Procedure and the order of business regarding regular agenda items is not; and WHEREAS, it is recommended that the Council adopt consistent order of business procedures for both items of business; and WHEREAS, the Council wishes to amend Rule 26 of the City Council Rules of Procedure to address the procedures for public hearing agenda items and non - public hearing agenda items; and WHEREAS, the Council wishes to amend Rule 27 (b) — Public Hearings of the City Council Rules of Procedure to make the order of procedure consistent with current practices; and WHEREAS, this includes other minor housekeeping changes such as making the process consistent for citizens to state whether they are a resident of Seward rather than stating their physical residence for the record on public comment sections on the agenda and adding agenda items routinely used but not listed in the Rules of Procedure like Council and Administration Response to Citizen Comments, Executive Session, and Adjournment. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Council amends Rule 26 of the City Council Rules of Procedure to read as follows (strike 00 = deletions, bold italics = additions): ORDER OF BUSINESS RULE 26. (a) The order of business for the regular meetings of the City Council is as follows: 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. CITIZENS' COMMENTS ON ANY SCHEDULED FOR PUBLIC HEARING 5. APPROVAL OF AGENDA AND CONSENT L\OA- SUBJECT EXCEPT THOSE ITEMS F.Mu m CITY OF SEWARD, ALASKA RESOLUTION 2014-021 6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS A. Proclamations and Awards B. Borough Assembly Report C. City Manager's Report D. City Attorney's Report E. Other Reports, Announcements and Presentations 7. PUBLIC HEARINGS A. Ordinances for Public Hearing and Enactment B. Resolutions Requiring Public Hearing C. Other Public Hearing Items 8. UNFINISHED BUSINESS A. Items not Completed from Previous Agenda B. Items Postponed from Previous Agenda C. Items for Reconsideration D. Other Unfinished Business Items 9. NEW BUSINESS A. Ordinances for Introduction B. Resolutions C. Other New Business Items 10. INFORMATIONAL ITEMS AND REPORTS (No action required) 11. COUNCIL COMMENTS 12. CITIZENS COMMENTS 13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS 14. EXECUTIVE SESSION 15. ADJOURNMENT (b) Consent agenda. Those items on the council agenda which are considered routine by the City Manager and the City Clerk shall be indicated by an asterisk on the agenda. Unless the Mayor or a Council member specifically requests that such an item on the consent agenda be considered under the regular meeting agenda, and thus removed from the consent agenda ealende and considered separately on the regular agenda, these items so designated shall be approved, adopted, accepted, etc. by motion of the Council to approve the agenda and consent agenda. Those items so approved shall appear in the Council minutes as if acted upon individually. The Clerk shall read into the record the Consent Agenda, including the titles of any ordinances or resolutions contained therein. (SCC § 2.10.055 B.) (c) Agenda items. The procedure for agenda items are as follows: 1. The Presiding Officer introduces the agenda item 2. The Presiding Officer inquires if there is a motion by any Council member. If a motion is made, it shall be in the form of an affirmative motion. S_ () CITY OF SEWARD, ALASKA RESOLUTION 2014 -021 3. Following the motion and its second, the Presiding Officer calls upon the City Manager to describe the matter under consideration. 4. If applicable, the Presiding Officer opens the public hearing and follows the public hearing procedure outlined in Rule 27. S. The Presiding Officer asks if there is any discussion among Council members. The Presiding Officer may call on individual Council members in the discussion. The Presiding Officer inquires if there is any further discussion by the Council members. 6. The Presiding Officer inquires if there are any final comments or recommendations from administration. 7. The Presiding Officer inquires of the Council members as to whether they are ready for the question. 8. The Clerk shall conduct a roll call vote. Section 2. The City Council amends Rule 27 of the City Council Rules of Procedure to read as follows (str ke ou = deletions, bold italics = additions): ADDRESSING THE COUNCIL BY THE PUBLIC RULE 27. (b) Public Hearings. The procedures for a public hearing are as follows: (1) A sign -in sheet shall be provided for those wishing to address the Council under "Public Hearings ". Prior to the start of the public hearing, the Presiding Officer will first recognize those whose names appear on the sign -in sheet. Any person who fails to sign in shall not be permitted to speak until all those who signed in have done so. At any public hearing all persons who have signed in and wish to be heard shall be heard. Those testifying under public hearings must limit their comments to 5 minutes. No person who has previously spoken during the public hearing on a particular item may speak again unless all other persons desiring to give testimony at the public hearing have spoken. A person speaking for a second time shall limit their testimony to not more than one minute. (2) The Presiding Officer introduces the agenda opens the publi-e healing, Nas (L 1V M1Ves the following Rules e fOr-a . CITY OF SEWARD, ALASKA RESOLUTION 2014 -021 (3) The Presiding Officer inquires if there is a motion by any Council member. If a motion is made, it shall be in the form of an affirmative motion. (4) Following the motion and its second, Tthe Presiding Officer calls upon the City Manager to describe the matter under consideration. (4) (S) The Presiding Officer opens the public hearing, and announces the following Rules of Order: (a) All comments by proponents, opponents, or the public shall be made from the speaker's podium and any individual making comments shall first give their name, state whether they are a resident of Seward in an audible tone of voice for the record, and shall limit their remarks to S minutes. This is required because an official record of the public hearing is being made. No comments shall be made from any other location except the podium, and anyone making "out of order" comments may be subject to removal from the meeting. (b) There will be no demonstrations during or at the conclusion of anyone's presentation. (c) These rules are intended to promote an orderly system of holding a public hearing, to give every person an opportunity to be heard, and to ensure that no individual is embarrassed by exercising their right of free speech. (6) The Presiding Officer opens the floor to those on the sign -in sheet in the order which they appear on the sheet. (-S) (7) The Presiding Officer calls for additional comments from the audience. (6) (8) The Presiding Officer closes the public hearing. 1:121 !11:11stlfe that no An_ividua4 TOM any ethef leeafie fit e*eept the pedit:11931;' the- fneeting 11:11d anyone dufi:111:111'111�111: 01 (b) T-hefe will be no defnenstfeAiens (3) The Presiding Officer inquires if there is a motion by any Council member. If a motion is made, it shall be in the form of an affirmative motion. (4) Following the motion and its second, Tthe Presiding Officer calls upon the City Manager to describe the matter under consideration. (4) (S) The Presiding Officer opens the public hearing, and announces the following Rules of Order: (a) All comments by proponents, opponents, or the public shall be made from the speaker's podium and any individual making comments shall first give their name, state whether they are a resident of Seward in an audible tone of voice for the record, and shall limit their remarks to S minutes. This is required because an official record of the public hearing is being made. No comments shall be made from any other location except the podium, and anyone making "out of order" comments may be subject to removal from the meeting. (b) There will be no demonstrations during or at the conclusion of anyone's presentation. (c) These rules are intended to promote an orderly system of holding a public hearing, to give every person an opportunity to be heard, and to ensure that no individual is embarrassed by exercising their right of free speech. (6) The Presiding Officer opens the floor to those on the sign -in sheet in the order which they appear on the sheet. (-S) (7) The Presiding Officer calls for additional comments from the audience. (6) (8) The Presiding Officer closes the public hearing. 1:121 !11:11stlfe that no An_ividua4 (3) The Presiding Officer inquires if there is a motion by any Council member. If a motion is made, it shall be in the form of an affirmative motion. (4) Following the motion and its second, Tthe Presiding Officer calls upon the City Manager to describe the matter under consideration. (4) (S) The Presiding Officer opens the public hearing, and announces the following Rules of Order: (a) All comments by proponents, opponents, or the public shall be made from the speaker's podium and any individual making comments shall first give their name, state whether they are a resident of Seward in an audible tone of voice for the record, and shall limit their remarks to S minutes. This is required because an official record of the public hearing is being made. No comments shall be made from any other location except the podium, and anyone making "out of order" comments may be subject to removal from the meeting. (b) There will be no demonstrations during or at the conclusion of anyone's presentation. (c) These rules are intended to promote an orderly system of holding a public hearing, to give every person an opportunity to be heard, and to ensure that no individual is embarrassed by exercising their right of free speech. (6) The Presiding Officer opens the floor to those on the sign -in sheet in the order which they appear on the sheet. (-S) (7) The Presiding Officer calls for additional comments from the audience. (6) (8) The Presiding Officer closes the public hearing. CITY OF SEWARD, ALASKA RESOLUTION 2014- memben if a motion is made-, it shall be in the foam -of an af&mative fnetion. Fellewing the eall on individual Couneil members in 11 . (8) (9) Following the public hearing, discussion occurs among Council members. The Presiding Officer may call on individual Council members in the discussion. The Presiding Officer inquires if there is any further discussion by the Council members. (9)(10) The Presiding Officer inquires if there are any final comments or recommendations from administration. 40) (11) The Presiding Officer inquires of the Council members as to whether they are ready for the question. " (12) The Clerk shall conduct a roll call vote. Section 3. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of February, 2014. AYES: NOES: ABSENT: ABSTAIN: VACANT: ATTEST: Johanna Kinney, CMC City Clerk (City Seal) THE CITY OF SEWARD, ALASKA Jean Bardarson, Mayor S1 BACKGROUND & JUSTIFICATION: By City Code, "the order of business for the regular meetings of the City Council shall be set by resolution of the council and incorporated into the Council's adopted Rules of Procedure." (SCC 2.10.55) The procedure for public hearing items is listed in the City Council Rules of Procedure. However, it is inconsistent with how the council handles agenda items that do not require a public hearing, which is not currently described in the City Council Rules of Procedure. To be consistent with current practices, it is the recommendation of the City Clerk to change the order of the public hearing procedure and implement similar language regarding the procedure for items that do not require a public hearing. The change in Rule 27 is essentially requesting a motion and second be made by the council before any public comment or discussion is made for a public hearing item. Currently, the City Council Rules of Procedure states the agenda item is announced, administration is referred to explain the item, the public hearing is opened, testimony is given, the public hearing is closed, and then a motion and second is requested. This resolution simply changes the order of events, by moving the request of a motion and second to the beginning of the process after the agenda item is announced. The creation of Rule 26 (c) is addressing the order of business whether the item requires or does not require a public hearing. This addition patterns the process outlined in the paragraph above. Additional changes are requested to clean up Rule 26 and 27. Those changes are as follows: • Rule 26 (a): Under order of business, using the word "citizen" in agenda item number 4 and number 12, replacing "citizens... and "citizens" for consistency purposes. • Rule 26 (a): Under order of business, add agenda items number 13, 14, and 15 as they are routinely used but not formally listed in council's order of business. • Rule 26 (b): Under consent agenda, change reference to "consent calendar" to "consent agenda". • Rule 27 (b) (5) (a): Under public hearings, change citizen residence declaration to be consistent with the other requirements under addressing the council by the public, which is stating whether they are a resident of Seward rather than stating their actual residence. ,5L\ Upon researching Robert's Rules of Order and receiving input from nine other City Clerks in Alaska, it is the clerk's belief these changes are allowable and do not violate any of the public's rights. INTENT: To formally change the order of business for public hearing items and create a similar process for non-public hearing items as well as additional minor changes for better consistency and clarification. FISCAL NOTE: Clerk did not seek fiscal review. Approved by Finance Department: N/A ATTORNEY REVIEW: Clerk did not seek attorney review. `RECOMMENDATION: Approve Resolution 2014-021, amending City Council Rules of Procedure, Rule 26 and 27, to change the ordef,of business for public hearing items and establish a similar order for non-public hear—ing- items; and cleaning up other inconsistencies. AGENDA STATEMENT Meeting Date: February 10, 2014 From: Johanna Kinney, City Clerk w Agenda Item: Non-objection to the Renewa of Liquor License # 5007 for Terry's Fish & Chips BACKGROUND & JUSTIFICATION: The City Council has an opportunity to object to the renewal of Restaurant/Eating Place — Public Convenience Liquor License #5007 for Terry's Fish & Chips. The City of Seward Police Department, Fire Department, Utilities Department and the Kenai Peninsula Borough Finance Department have no objections to the liquor license renewal for these businesses. FISCAL NOTE: In the event the City of Seward chooses to file a protest for the above liquor license renewals, then under Alaska Statutes the City of Seward will be required to assist in, or undertake the defense of its protest. RECOMMENDATION: Non-objection to the renewal of Restaurant/Eating Place — Public Convenience Liquor License #5007 for Terry's Fish & Chips. 5 q P MEMORANDUM Date: To: Michelle Endresen Finance /Leases e � Department p Kari Atwood Finance /Public Utilities / 2AI Chief Tom Clemons Police De ar ��� Chief Eddie Athey Fire Department >+ I From: Brenda Ballou, Deputy Y Cit Clerk a9 z l• RE: Verifying Compliance For Renewal Of Liquor License The following business has applied for a renewal of their liquor license. Please review for compliance with all utilities, lease payments and assessments. Thank you. Name of Business: Terry's Fish & Chips Type of License: Restaurant /Eating Place — Public Convenience License Number: 5007 Department Status Initials Finance /Leases 11+ e Finance /Utilities Police Chief G- Fire Chief u �9►r ,`,i,sPec y�l ort Ge�pl�Gfd q� January 29, 2014 KENAI PENINSULA BOROUGH 144 North Binkley Street • Soldotna, Alaska 99669 -7520 PHONE: (907) 714 -2160 • FAX: (907) 714 -2388 Toll -free within the Borough: 1- 800 -478 -4441 Ext. 2160 Email: assemblyclerk @borough.kenai.ak.us Ms. Christine Lambert Records & Licensing Supervisor Alcoholic Beverage Control Board 2400 Viking Drive Anchorage, AK 99501 -1768 RE: Non - Objection of License Renewal JOHNI BLANKENSHIP, MMC BOROUGH CLERK Business Name Terry's Fish & Chips License Type Restaurant /Eating Place — Public Convenience License Location City of Seward License No. 5007 Dear Ms. Lambert, This serves to advise that the Finance Department has reviewed the above referenced application and has no objection to the renewal of this license. Should you have any questions, or need additional information, please do not hesitate to contact our office. Sincerely, Johni Blankenship, MMC Borough Clerk JB /klr cc: Applicant City of Seward KPB Finance Department File 5� T L S -Lik- 1 "r "ALASKA Department of Coll, jjjej�ee, Cfrtl €li3i6fl i�� and Economic Man:90',263.'Y ,: i00: J/ io', , December 18, 2013 RE: Liquor License Renewal Notice Attn: Homer City Clerk Kenai City Clerk Seward City Clerk Soldotna City Clerk Kenai Peninsula Borough Clerk rYP Beverage Dispensary Lic 2300 DBA ame: Down East Saloon Premise ddress: 3125 E End Road Owner: Down East, Inc. Mailing Ad -ess: 3125 E End Road omer, AK 99603 Type: Beverage Dis nsary Lic #: 1085 DBA Name: Kharacte Premise Address: 3851 S lford Owner: L & Inc. Mailing Address: 8 Shelford, Homer, AK 99603 Type: Be rage Dispensary Lic #: 98 DBA Narne: The A i Premise Addr s: 453 E Pi eer Ave. Owner: Mix Rocks, LLC Mailing A dress: 4525 Heidi ourt, Homer, AK 99603 Type: Beverage Dispe ary - Seasonal Lic 3174 D A Name: Harbor Grill remise Address: 4262 Spit Road Owner: Don Jose's LLC Mailing Address: 2052 E Northern Lights Blvd., Anchorage, AK 99508 Is Renewal Notice 12 -18 -13 Page 1 Type: Restaurant Eating Place — Seasonal Lic #: 3021 DBA Name: Marina Restaurant Premise Address: 1321 Fourth Ave. Owner: C Scott Bald Mailing Address: PO Box 845, Seward, AK 99664 Type: Restaurant Eating Place — Public Convenience Lic #: 5007 DBA Name: Teriy's Fish & Chips Premise Address: 1403 Fourth Ave. Owner: Terrance F. Lee Mailing Address: PO Box 1987, Seward, AK 99664 TNA Type: Lic #: \DBA Name: N-emise Address Address: Type: Lic #: DBA Name: Premise Address Owner: Mailing Address: Beverage Dispensary 102 Don Jose's Soldotna 44109 Sterling Hwy., Ernesto Sanchez 44109 Sterling HWY/ B, Soldotna, AK 99669 Brewery/ 4546 Kenai 1 Riv. B enai R' r Brewing Co. 1v - Brewing 241 A spen St. -, Ste, 100 Ken . . ve: Company en i ver Brewing Coi I Aspen n St. Aspen St., Ste. 100, Soldotna, AK 99669 Type: /RestaXant Eating Place Li c # : 5117 DBA Name: Odie 's Premise Addr 44315 St e r h n wy. . Owner: Melodie Symin g n Mailing A ress: 44315 Sterling H So ldotna, AK 99 669 Type: Restaurant Eating Place Lic 5177 D A N a me: Pizza Boys remise Address: 44686 Sterling Hwy. Owner: Pizza Boys, Inc. Mailing Address: PO Box 4163, Soldotna, AK 09660 6o Renewal Notice 12-18-13 Page 6 'A I F SEw �J 'a�ASK� AGENDA STATEMENT Meeting Date: February 10, 2014 From: Johanna Kinney, City Clerk Agenda Item: Non - objection to the Renewal Liquor License # 324 for The Seward Alehouse BACKGROUND & JUSTIFICATION: The City Council has an opportunity to object to the renewal of Beverage Dispensary Liquor License #324 for The Seward Alehouse. The City of Seward Police Department, Fire Department, Utilities Department and the Kenai Peninsula Borough Finance Department have no objections to the liquor license renewal for these businesses. FISCAL NOTE: In the event the City of Seward chooses to file a protest for the above liquor license renewals, then under Alaska Statutes the City of Seward will be required to assist in, or undertake the defense of its protest. RECOMMENDATION: Non - objection to the renewal of Beverage Dispensary Liquor License #324 for The Seward Alehouse. (c�1 9a b -� q� MEMORANDUM Date: January 22, 2014 To: Michelle Endresen Finance /Leases Kari Atwood Finance /Public Utilities Chief Tom Clemons Police Department Chief Eddie Athey Fire Department From: Brenda Ballou, Deputy City Clerk RE: Verifying Compliance For The Renewal Of Liquor License #324 at The Seward Alehouse The following business has applied for a renewal of their liquor license. Please review for compliance with all utilities, lease payments and assessments. Thank you. Name of Business: The Seward Alehouse Type of License: Beverage Dispensary License Number: 324 Department Status Finance /Leases AInitials Finance /Utilities C)k-- Police Chief Fire Chief 6 ;�' February 3, 2014 mENAI PENINSULA B OROUGx 144 North 8inWeyStreet wSo|dotne. Alaska QQ8S9-752O PHONE: (907) 714-2160 * FAX: (907) 714-2388 ToU'freewithin the Borough: 1-800-478'4441 Ext. 2160 Email: aayomblyo|erk@bornughkenaiak.ue Ms. Christine Lambert Records & Licensing Supervisor Alcoholic Beverage Control Board 24UO Viking Drive Anchorage, AK 99501-1788 RE: Non-Objection of License Renewal Business Name The Seward Alehouse License Type Beverage Dispensary License Location City ofSeward License No. 324 Dear Ms. Lambert, JOWNIBLANKENSH|P.k0KOC BOROUGH CLERK This serves to advise that the Finance Department has reviewed the above referenced application and has no objection to the renewal of this license. Should you have any questions, or need additional information, please do not hesitate to Sincerely, contact our office. Johni Blankenship, K4K8[ Borough Clerk cc: Applicant City ofSeward KPB Finance Department File + / z THE STATE "'ALASKA January 22, 2014 SI:'A\' PAk\F1,11 RE: Liquor License Renewal Notice Attn: Homer City Clerk Seldovia City Clerk Soldotna City Clerk HOMER Department of Commerce, Community, and Economic Development ALCOHOLIC BEVEAWjE CONTROL BOARL) Kenai City Clerk Seward City Clerk Kenai Peninsula Borough Clerk Type: Beverage Dispensary Lic #: 1252 DBA Name: Aj's Oldtown Steakhouse & Tavern Premise Address: 120 W Bunnel Ave. Owner: APS Investments LLC Mailing Address: 135 W Bunnell Ave., Homer, AK 99603 Type: Club Lic #: 367 DBA Name: BPO Elks Lodge #2127 Premise Address: 215 W jenny Way Owner: BPO Elks Lodge #2127 Mailing Address: 215 W jenny Way, Horner, AK 99603 Type: Package Store Lic #: 4162 DBA Name: Oaken Keg Premise Address: 90 Sterling Hwy. Owner: Safeway Inc. Mailing Address: Po Box 29096 MS 6531, Phoenix, AZ 85038-9096 Type: Restaurant Eating Place — Public Convenience Lic #: 3666 DBA Name: Happy Face Premise Address: 4400 Homer Spit Road Owner: Hyang-Suk Yuk & Chae Myong Yuk Mailing Address: 4400 Homer Spit Road, Homer, AK 99603 2400 Vikiflg Dfilv(:; At)chot'age, Alaska 9950 � Mail-]: 907,269.035C, TDD: 907.465.543, Fax 907.334.228,,. L\ Renewal Notice 1-22-14 Page 1 Type: Package Store Lic #: 4535 DBA Name: TJ Seggy's Premise Address: 50470 Sterling Hwy. Owner: TLS, Inc. Mailing Address: 50470 Sterling Hwy., Soldotna, AK 99669 Type: Package Store Lic #: 1294 DBA Name: Big John's Premise Address: No Premises Owner: Irini, Inc. Mailing Address: PO Box 151, Kenai, AK 99611 Type: Recreational Site - Seasonal Lic #: 4969 DBA Name: Fireweed Meadows Premise Address: 72749 Milo Fritz Avenue Owner: Kyllonen Enterprises Inc. Mailing Address: PO Box 49, Anchor Point, AK 99556 Type: Restaurant Eating Place Lic #: 5014 DBA Name: AK Supperclub.com Premise Address: 64316 Elizabeth Street Owner: Paul & Angela Warner Mailing Address: PO Box 39856, Ninilchik, AK 99639 Type: Restaurant Eating Place Lic #: 5156 DBA Name: Gwin's Lodge / Gwin's Roadhouse Premise Address: 14865 Sterling Hwy. Owner: Gwin's Resorts, LLC Mailing Address: PO Box 769 Cooper Landing, AK 99572 -0769 Type: Beverage Dispensary Lic #: 324 DBA Name: The Seward Alehouse Premise Address: 215 Fourth Ave. Owner: Seward Alehouse, Inc. Mailing Address: PO Box 2442, Seward, AK 99664 Renewal Notice 1 -22 -14 Page 4 City of Seward P.O. Box 167 Seward, Alaska 99664-0167 Main Office (907) 224-4050 Facsimile (907) 224-4038 February 11, 2014 Docket Management Facility (M- 30) U. S. Department of Transportation West Building Ground Floor Room WI 2- 140 1200 New Jersey Avenue, SE Washington, DC 20590- 0001 Commander, 17th Coast Guard District Inspections and Investigations (Dp) PO Box 25517 Juneau, Alaska 99802 Attn: Lt Tom Pauser City of Seward, A64o 1963 1%5 2005 b . #V WE g All•America City I I I I [F Re: Recertification of the Prince William Sound Regional Citizens' Advisory Council, DOC Number USCG-2013-1003 The City of Seward has proudly been a member of Prince William Sound Regional Citizens' Advisory Council (PWSRCAC) since its inception. This letter is to affirm the City of Seward's continuing strong support of the recertification of PWSRCAC. The City of Seward directly benefits from several of PWSRCAC's programs as listed below: • Knowledge of spill prevention programs which help assure that the best available technology is used to protect tank vessels transiting out of PWS. • Opportunities to review contingency plans for oil spill prevention and response. • Knowledge of the Federal Unified Plan, Cook Inlet, PWS & Kodiak Sub-Area plans, and associated response guidelines. • Awareness of the enhanced response planning for oil spills originating within PWS but extending into the Cook Inlet Sub-Area and threatening Resurrection Bay as did the oil spilled from TN Exxon Valdez. • Consideration of alternatives to improve oil spill prevention and response. • Opportunities to monitor the current state of the environment and to mitigate potential adverse impacts of various oil spill response strategies. • Opportunities to work with the communities within the PWSRCAC region of responsibility to improve community emergency response planning and capabilities; including marine firefighting training. The City of Seward respectfully requests that you recertify the PWSRCAC and continue to support their efforts. Respectfully, Mayor Jean Bardarson City of Seward In Anchorage: 3709 SI)enard Road /Suite 100 /Anchorage, Alaska 99503 1! (907) 277-7222 1 FAX (907) 277-4523 In Valdez: RO. Box 3089 /i 130 South Meals / Suite 202 / Valdez, Alaska 99686 / (907) 334.5000/ FAX (907) 83,5-5'926 MEMOEPS January 27, 2014 Mosko Stutz Chamber of Mayor Jean Bardarson Commerce City of Seward PO Box 167 Alaska Widerness support for recertification of the Prince William Sound Regional Citizens' Recreatoii a Tourisin 410 Adams St A$So,iatioh year and it is important that they hear periodically from our member Cl t , i y of 5eldevia Seward, AK 99664 Chugach Afcsko Corparotion Dear Madam Mayor Bardarson: City cf Cordova I am contacting you as one of our member organizations to ask for a letter of city of Homer support for recertification of the Prince William Sound Regional Citizens' City -of Kodiak Advisory Council, The Coast Guard is required to review our certification every year and it is important that they hear periodically from our member Cl t , i y of 5eldevia organizations when this process goes out for public comment every three yea rs, City of se.warld rityof Valdez Your letter doesn't need to be long —just a few paragraphs emphasizing how important the work of PWSRCAC is in preventing oil spills like the Exxon Valdez Coy of WOOer and making sure there will be a better cleanup if anything like it ever happens Community of again, Chenega Say L etters need to reach the Coast Guard in Washington, DC or Juneau by March Communoyof Ta*itlek 7, 2014, at either of the following addresses: Cordova Disirlcf h,vqivt United Docket Management Facility (M30) Commander, le Coast Guard District Kenai Penintul a Borough US Dept of Transportation Inspections and Investigations (Dp) West Building Ground Floor PO Box 25517 Kodiak Island Room W12-140 Juneau, AK 99802 Sorouch 1200 New Jersey Ave SE Attn: Lt Tom Pauser Kodiak VOlace Mayors Washington, DC 20590-000.1 ASSociat" n Oii Alternatively, comments, and letters can be submitted on line through the Environmenial Federal eRulemaking Portal at http.//www,rgR�L1atio via to Cnoiiflan . ....... [ILp ,,ov, or via Thomas.e.pauser@uscg,mil. Comments may also be submitted by fax to (202) Pori Srahan' 493-2251. Corporation Prince Wiliam Sound AquocWture Corporati n 0 Pifinaed oD Reryded Now Letters should reference DOC NUMBER USCG-2013-1003, which is the document number of the Coast Guard's Federal Register notice about our recertification. if you need more information about this, you can contact me or Steve Rothchild, our Administrative Deputy Director at stephen.rothchild@pwsrcac.org or 907- 273-6230. For your reference, I am enclosing a letter from your organization supporting us in a previous recertification application, for which our council remains deeply grateful. Thanks for considering our request, Mark A. Swanson Executive Director, Prince William Sound Regional Citizens' Advisory Council (0'9 Johanna Kinney From: 'herbert~]herbed6Dsewaod.net» Sent: Sunday, 2620142:45PIVI To; Johanna Kinney Subject: Regional Citizens' Advisory Council Report Attachments: Report toOtv[Vunci|Ol-27'2Ol4.doc Follow Up Flag: Follow up Flag Status: Flagged J: Attached please find a report of my activities with the PWS RCAC over the past few months. Will you please see it is sent to staff and Council? |can provide more information oo desired bv the Mayor or the Council. | will be providing you with language for o letter ofsupport for the triennial recertification of the Council. | believe this has been done regularly in the past since Seward ium charter member of the Council. The majority of the attention bvAlyemke is directed at activities and communities within PWS; but loud voices from Seward, Seldovia, Homer, and Kodiak remind the Council and Alyeska that oil spill prevention and response is a regional matter. Thanks and regards Jim Herbert Spam Not sp Forget previous vote ME To: Mayor Bardarson and the Seward City Council From: Jim Herbert, Seward representative PWS Regional Citizen's Advisory Council Date: 27 January 2014 Re: Fall and Winter Activities I have served as the City of Seward representative on the PWSRCAC for nine months. Since my last report concerning the Board of Directors Meeting in Seward in late September I have had a solid involvement in many aspects of Council work. My role as organization Treasurer means frequent interactions with the chief financial manager and serving as chairman of the Finance Committee. Formal meetings of this committee are held quarterly and informal sessions as needed. Meetings can be in person in Anchorage or by teleconference. The Treasurer also serves on the Executive Committee which is empowered to take actions between meetings of the full Board [20 members from across the region affected by the Exxon Valdez Oil Spill].This committee makes financial, administrative and policy decisions as required. I also serve as a member of the Oil Spill Prevention and Response Technical Committee. This group evaluates and suggests research projects and reviews reports that further the work of the organization with regards to spill prevention and response. For example, there has been a thorough study comparing the escort tug boats in PWS with the best available technology in other parts of the world. The full Board of Directors met in Anchorage January 23 and 24, 2014. Administrative matters dominated the first morning. The Valdez Terminal and shippers gave reports that indicated safe and successful operations during the fall and thus far this winter. RCAC Executive Director Mark Swanson gave an exhaustive report on activities of his staff since the September Board meeting including travel to communities in the region and meetings regarding oil spill response. The Board received reports and updates on various terminal and tanker related items. Alyeska gave a report on Valdez Marine Terminal Inventory Management. As flow of crude oil down the pipeline decreases and lower 48 oil goes to west coast refineries, there are new problems and technology being implemented to build efficiencies and safety into the system. The study concerning the remote control of the operation of the terminal by an operations center in Anchorage generated some coverage by Anchorage television news. Another report focused on the presence of non-indigenous species carried into PWS by ballast water and by hull fouling. Seward residents have similar concerns for Resurrection Bay with the arrival of coal ships and cruise ships from distant waters. The Sea Life Center has monitored the north end of Resurrection Bay for European Green Crab with a grant from RCAC. One report that caught my interest was on Long Tenn Environmental Monitoring of PWS for the period 2008-2012. The bottom line is that near the Valdez Terminal and in most places in PWS hydrocarbon levels in the sediments and in organism such as mussels have dropped to background levels. The environment has mostly cleaned itself up. However, some samples taken in Resurrection Bay in 2010 and earlier showed high levels of the measured hydrocarbons. I need to look into this matter a bit more to understand the significance of these numbers for Seward. Members expressed concern that the Alaska Department of Environmental Conservation's Spill Prevention and Response Division was looking at funding shortfalls in the future. It is through cooperation with such state and federal agencies that RCAC has the most effect on enforcing existing regulations and ensuring industry compliance. This seems to be the best way to prevent oil spills. The third week in March the Sea Life Center will host a RCAC program on the 25th Anniversary of the Exxon Valdez Oil Spill. It will be featured in communities around the region. Local resident Bob Linville was interviewed for his experiences during the 1989 Spill. This will be part of a University of Alaska historical documentation of the event. In the next few weeks I will be requesting Mayor Bardarson and the Council to sign a letter of support for the continued certification of the PWSRCAC. Every three years it must be considered for recertification by the US Coast Guard under the terms of the Oil Pollution Act of 1990. I understand you have provided a letter of support in the past. The City may choose to make comments on the new federal plan for the use of dispersants in the event of an offshore spill of crude oil. Similarly there is a comment period coming for a diminished role for entities like the City of Seward in an Incident Command System when responding to a serious marine incident such as the Kulak grounding a year ago. I can provide more details on any matters you request and am happy to talk to any of you on matters of personal concern. `-) 1 City Of ! Certificate Of • • • Awarded • Deputy City Clerk Wenda Ballou, Brenda Ballou, Deputy City Clerk for the City of Seward, earned the prestigious designation of Certified Municipal Clerk from the International Institute of Municipal Clerks on January 30, 2014. Ballou has shown tremendous dedication by achieving this title in just three years. Congratulations from the Seward City Council on this great accomplishment! Dated: February 10, 2014 Jean Bardarson, Mayor Johanna Kinney From: Brenda Ballou Sent: Thursday, January 30, 201411:20 AM To: Johanna Kinney Subject: FW: Congratulations on your CIVIC Designation From: Ashley Carroll rrnailto:ashley0iimc.corn] Sent: Thursday, January 30, 2014 10:10 AM To: Brenda Ballou Subject: Congratulations on your CIVIC Designation International Institute of Municipal Clerks in Lora! Gow"'11nient 01/30/2014 Dear Brenda J. Ballou, CMC: Congratulations! It is my pleasure to inform you that you have fulfilled all the requirements of the Certified Municipal Clerk (CMC) Program of the International Institute of Municipal Clerks (IIMC) and have earned your CMC designation. Your certificate and your pin will be shipped to you at a later date. The CMC is more than a pin, a certificate and three letters at the end of your name. It is a declaration that you are proficient in your important position and that you have demonstrated mastery of administrative skills critical to good government. Please know that you also have the option of enrolling in the MMC program to become a Master Municipal Clerk (MMC). If you decide to do so, or if you would like more information on the program, please contact me at ashlevaiimc.com. I extend my warmest congratulations to you and wish you all the best in your professional endeavors. Ashley Carroll Verification Specialist IIMC Education Department Spam Not spam Forget previous vote W onat /*149, to Hereby Confers The Title of Tirtitico )fRURICIVaf �ferk upon Brenda J. Ballou, CMC who has completed the requirements prescribed by the International Institute of Municipal Clerks for Certification. {You must remain an active member for IIMC to recognize your CMC) Certified This 30 Day Of January A.D. 2014 IIMC President IIMC Director of Education FFebruary 2014 March 2014 ebruary 2014 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa Mon Feb 3 LL K77 00p, CC Mtg LL LL 0') LL 1 1 2 3 4 5 6 7 8 2 3 4 5 6 7 8 9 10 11 12 13 14 15 9 10 11 12 13 14 15 16 17 18 19 20 21 22 16 17 18 19 20 21 22 23 24 25 26 27 28 23 24 25 26 27 28 29 30 31 Tuesday Wednesday Thursday Friday 4 5 6 17 6:00pm P&Z Worksess I 12:00pm Seward Recrea 11 12 113 114 17 18 119 120 21 Offices Closed; PresidE ') 6:00pm P&Z WS 12:00pm PACAB Work 5 6:30pm HP Mtg 7:00pm CC Mtg 125 126 127 128 1 Nand Richey 1 2/5/2014 11:58 AM -1 5— MarchMarchMarch 2014 April 2014 2014 SUMO TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 1 2 3 4 5 2 3 4 5 6 7 8 6 7 8 9101112 9 10 11 12 13 14 15 13 14 15 16 17 18 19 16 17 18 19 20 21 22 20 21 22 23 24 25 26 23 24 25 26 27 28 29 27 28 29 30 30 31 Monday Tuesday Wednesday Thursday Friday Mar 3 4 5 6 7 6:00pm P&Z and Floo( 12 00p PACAB Mtg 7:00pm P&Z Mtg ❑ 11 12 13 14 7:00pm CC Mtg 0 17 18 19 20 21 6:00pm P&Z WS 12:00pm PACAB Work S 6:30pm HP Mtg iq 25 26 27 28 7:00pm CC Mtg 00 to 31 Apr 1 2 3 4 Nanci Richey imp! 2/5/2014 11:59 AM April 2014 May 2014 April 2014 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 5 1 2 3 6 7 8 9101112 4 5 6 7 8 910 13 14 15 16 17 18 19 11 12 13 14 15 16 17 20 21 22 23 24 25 26 18 19 20 21 22 23 24 27 28 29 30 25 26 27 28 29 30 31 Monday Tuesday Wednesday Thursday Friday Mar 31 Apr 1 2 3 4 7:00pm P&Z Mtg 12:00pm PACAB Mtg CL m �6 2 7 8 !9 10 11 < 14 15 16 17 18 7:00pm CC Mtg 6:00pm P&Z WS 12:00pm PACAB Work S QI- — 6:30pm HP Mtg 00 Ivy 21 22 23 24 25 Ln CL 29 130 1 May 1 1 2 7:00pm CC Mtg 00 N CL Nanci Richey —.1 � 2/5/2014 11:59 AM