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HomeMy WebLinkAboutRes2018-062PULLED FROM AGENDA Sponsored by: Hum CITY OF SEWARD, ALASKA RESOLUTION 2018-062 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A LEASE WITH EXIT MARINE, LLC FOR BLOCK 5 FOURTH OF JULY CREEK SUBDIVISION, SEWARD MARINE INDUSTRIAL CENTER, KENAI PENINSULA BOROUGH, PLAT NO. 97-27 SEWARD RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE OF ALASKA WHEREAS, the City is the owner of real property described as Block 5 Fourth of July Creek Subdivision; and WHEREAS, Exit Marine currently has a lease and is conducting business at Lot 4 Block 4 Fourth of July Creek Subdivision which Council approved in resolution 2018-004; and WHEREAS, Exit Marine needs, to lease additional land to expand their business at SMIC; and WHEREAS, Exit Marine, LLC submitted a proposal to lease Block 5 Fourth of July Subdivision for a boat repair/storage yard, net mending, equipment storage, future education and training center with employee housing; and WHEREAS, Exit Marine has submitted an application with the State of Alaska for their Storm Water Prevention Pollution Plan as required; and WHEREAS, the City Manager has negotiated a long term lease agreement with Exit Marine under the provisions of Seward City Code 7.05.410; and WHEREAS, the lease request is consistent with the Comprehensive Plan and the Seward Marine Industrial Center Plan. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. The Council has determined that the essential terms and conditions and the method disposition of the proposed lease with Exit Marine, LLC for the real property described as Block 5, Fourth of July Subdivision, located in the City of Seward, is in the public's best interest. Section 2. The City manager is authorized to execute a new lease with Exit Marine, LLC in substantially the form as presented at this meeting. CITY OF SEWARD, ALASKA RESOLUTION 2018-062 Section 3. This resolution shall take effect thirty (30) days after its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 23rd day of July, 2018. THE CITY OF SEWARD, ALASKA PULLED FROM AGENDA Dave Squires, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Brenda J. Ballou, MMC City Clerk (City Seal) 1 84 Agenda Statement Meeting Date: July 23, 2018 To: City Council Through: Jim Hunt, City Manager From: Norm Regis, Harbormaster Agenda Item: Exit Marine, LLC New Lease at Block 5, Seward Marine Industrial Center BACKGROUND & JUSTIFICATION: Exit Marine currently is conducting business with a lease on Lot 4 Block 4 Seward Marine Industrial Center, in which council approved in Resolution 2018-004. As their business continues to grow Exit Marine needs to lease additional property at SMIC. Exit Marine sees great potential at SMIC and the needs of the community. On this new proposed lease site Exit Marine would have more vessel storage/work sites to include equipment storage, net mending facility future training and education area and employee housing. Mr. Saunders: a.) Submitted an application with the State of Alaska for a Storm Water Pollution Prevention Plan (S WPPP) as required. b.) Shall comply with all Seward City Code requirements. The City Council has previously determined that land at SMIC is available for lease. INTENT: To approve a long term lease between the City of Seward and Exit Marine, LLC on Block 5 Fourth of July Creek Subdivision within the industrial zoning District, Seward Marine Industrial Center for boat repair, marine operations, storage and employee housing. CONSISTENCY CHECKLIST: Yes No NIA Comprehensive Plan (page 116 3.5.1.2): Support the SMIC 1 Development Plan to include new market trends and modern X technologies for ship repair and construction, shipping of natural resource products, boat storage, and other compatible industries, Strategic Plan (document source here): Attract New Industry: 2 Develop an aggressive marketing campaign which highlights the diverse resources, and quality of life that make Seward a great place to live and X establish a business or industry. (Page 5 3. Other (list): 84 85 FISCAL NOTE: The annual rent is $33,558.00 plus tax. The lease rate is based on 8% of fair market value. The parcel will be reappraised in 2020. Approved by Finance Department: ATTORNEY REVIEW: Yes X No RECOMMENDATION: Approve Resolution 2018- authorizing the City Manager to approve a new lease with Exit Marine, LLC. Resolution 2018-062 85