HomeMy WebLinkAbout08242020 City Council Minutes City of Seward,Alaska City Council Minutes
August 24,2020 Volume 41,Page 258
CALL TO ORDER
The August 24,2020 regular meeting of the Seward City Council was called to order at 7:00
p.m.by Mayor Christy Terry.
OPENING CEREMONY
Sergeant Karl Schaefermeyer led the Pledge of Allegiance to the flag.
ROLL CALL
There were present:
Christy Terry presiding and
Sue McClure Sharyl Seese
John Osenga Tony Baclaan(arrived 7:03 p.m.)
Julie Crites (telephonically)
comprising a quorum of the Council; and
Scott Meszaros,City Manager
Brenda Ballou, City Clerk
Brooks Chandler, City Attorney
Excused—None
Absent—None
Vacant—One
CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR
PUBLIC HEARING
The City of Seward is currently experiencing a declared public health emergency due to Coronavirus
Disease 2019 (COVID-19), so alternate methods for providing Citizen Comments were created.
Unless otherwise noted, the following Citizen Comments were submitted in advance and read into
the record by the City Clerk:
Cheryl Seese opposed Ordinance 2020-011 to rezone to Central Business because the
property was located in a historic area. Also, Seese suggested that if a memorial were going to be
placed at the site of the Jesse Lee Home, then the Historic Preservation Commission and the
Resurrection Bay Historical Society should collaboratively be in charge of gathering public input and
bringing forward a recommendation to council. Seese was concerned about the Jesse Lee Home
memorial because she was hearing rumors that a decision had already been made to erect a life size
bronze statue of Benny Benson, and she believed that the public should have a say in what the
memorial would be.
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41, Page 259
Tara Reimer(telephonically)was President and CEO of the Alaska SeaLife Center(ASLC)
and was happy to announce that the match program she had announced at the August 10, 2020
council meeting had been a great success—the Seward Community Foundation had already donated
79 matches at $25 each, and there were 21 memberships left under these matching funds. She also
announced that Norwegian Cruise Lines Holdings, Royal Caribbean Group, and SSA Marine had
kicked off a campaign on August 14, 2020 to match donations, including memberships, up to
$100,000; in only eleven days, they had reached the mark. Reimer was grateful for everyone's
support.
Norm Regis was the Harbormaster and reported that he had researched whether Commercial
Passenger Vessel(CPV)funds could be used to help the Alaska SeaLife Center,and reported that the
Cruise Line International Association(CLIA)had determined that CPV funds could not be used in
that manner. Regis said he had also reached out to the Exxon Valdez Oil Spill Trustee Council,but
had not heard back from them yet. On another note, Regis shared the news that JAG Alaska in
Seward had received a multi-million dollar contract with the US Navy.
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion (McClure/Seese) Approval of Agenda and Consent Agenda
Terry added Resolution 2020-068 to the consent agenda with no objection from council.
Council Member Crites declared a potential conflict of interest for Resolutions 2020-070,2020-
072, and 2020-073 because she was employed by the Seward Community Health Center. She
wished to declare this now and have a ruling so that those resolutions might be added to the
consent agenda. Mayor Terry ruled that a conflict existed.
Seese added Resolutions 2020-070,2020-072,and 2020-073 to the consent agenda with no objection
from council.
Seese removed Resolution 2020-074 from the consent agenda.
McClure postponed Resolution 2020-071 to the September 14,2020 meeting with no objection from
council.
Motion Passed Yes: Baclaan, McClure, Seese, Osenga,
Terry
Abstain: Crites (due to Conflict of Interest)
The clerk read the following approved consent agenda items:
Ordinance 2020-011,Amending The Zoning Designation Of Lots 3,4-5 And N %2 Lot 6 Block
16 Original Townsite Seward From Multi-Family Residential (R3) To Central Business
District (CB). This ordinance was introduced tonight, and will come for public hearing and
enactment on September 14, 2020.
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41, Page 260
Resolution 2020-066, Accepting The "Fiscal Year 2020 Assistance To Firefighters Grant
Program — COVID-19 Supplemental (AFG-S)" From The U.S. Department Of Homeland
Security In The Amount Of$14,491.43,And Approving The 5%Matching Amount Of$724.57
From The Seward Volunteer Firefighter Operating Supply Account Per Grant Requirements,
And Appropriating Funds.
Resolution 2020-067, Authorizing The City Manager To Enter Into A Contract With
Dude Solutions, Inc. For An Online Business License, Permit, And Inspection Portal
In The Amount Of$23,134.78, And Appropriating Funds.
Resolution 2020-068, Authorizing The City Manager To Replace Utility Line Vehicle Unit
502 With The Purchase Of A 2020 Ford-250 4x4 SD Crew Cab From Kendall Ford Fleet Using
The State Of Alaska Procurement Process For Competitive Bidding In The Amount Of
$40,640, And Appropriating Funds.
Resolution 2020-069,Authorizing The City Manager To Enter Into A Professional Services
Contract With The Financial Engineering Company, To Prepare A Rate Study For The
Electric Enterprise Fund For An Amount Not-To-Exceed$40,000,And Appropriating Funds.
Resolution 2020-070, Approving The 2021 Grant Year Budget For The Seward Community
Health Center (SCHC) As Required By The Co-Applicant Agreement Between The City Of
Seward And The SCHC.
Imo
Resolution 2020-072, Accepting Three Grants In The Total Amount Of$724,018 From The
Coronavirus Preparedness And Response Supplemental Appropriations Act Under The U.S.
Health Resources And Services Administration (HRSA), For The Mitigation Of COVID-19
Effects At The Seward Community Health Center (SCHC), And Appropriating Funds.
Resolution 2020-073, Approving A Five-Year Lease Agreement Between The Seward
Community Health Center, Inc. (SCHC) And The City Of Seward Beginning On August 24,
2020 And Ending September 30, 2025.
Approval of the August 10, 2020 City Council Regular Meeting Minutes.
Appoint Katrina Counihan as the city's representative to the Cook Inlet Aquaculture
Association for a term to expire in May, 2022.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Proclamations & Awards — None
City Manager Report. City Manager Scott Meszaros reported the following purchase
orders between$5,000 and $30,000 had been approved by the City Manager since the last council
meeting: $9,800 for water line engineering for Public Works; $10,300 for the PARKS playground
City of Seward,Alaska City Council Minutes
August 24,2020 Volume 41,Page 261
slide and maintenance for Parks&Recreation;$10,500 for a security camera for the jail;and,$7,400
for the design cost estimate for the Heat Loop Project for Public Works.
Meszaros introduced new Assistant City Manager Stephen Sowell and welcomed him and his
family to Seward.
Meszaros expected the refinancing of the Library General Obligation (GO) bonds to be
finalized by mid-September. He also reported that the Comprehensive Annual Financial Report
(CAFR)was being completed,and he expected the audit results to be finalized for the September 14,
2020 meeting.
Interim Electric Utility Manager Cory Borgeson stated the water flow from the Battle
Creek Project was expected to produce 37,000 megawatt hours of power,which was equivalent to
5,000 homes. He said the utilities on the Railbelt were excited about that.Borgeson had conducted
some research on residential usage and found that the usage inside the city averaged 521 kilowatt
hours per month, which indicated that Seward residents were conservative in their use of energy.
Outside city limits, Borgeson found the average went up to 641 kilowatt hours per month; he
speculated that perhaps the use of pumps in water wells may be responsible for some of that
difference. An engineer from EPS had been in Seward for two weeks to settle outstanding work
orders for the department, and was confident that the backlog of service requests was being
addressed. Borgeson was hiring a temporary field engineer to be in Seward for the fall. He, along
with the EPS engineer, had started looking at finishing power to the Camelot subdivision, and he
anticipated coming back to council with a plan to make that happen in the near future.
Baclaan wondered if the city manager might have a total of what the city charged for grant
administration fees and how those fees offset expenses. Terry restated, saying each grant was
charged a grant administration fee by the city, and she thought Baclaan was asking for a total
amount.Meszaros said he believed a 10%fee was a typical charge.Baclaan followed up and asked if
any of those administration fees helped to cover payroll costs; Meszaros would look into that.
Terry asked for an update on the tsunami sirens. In response, Meszaros said the Kenai
Peninsula Borough Office of Emergency Management (KPBOEM) had repaired the sirens and
trained the police dispatchers on how to use it manually; he said there would be a tsunami drill
conducted this fall.McClure asked to confirm how the manual override process would work locally.
In response,Meszaros said the local dispatchers would have the ability to get on the public address
system and deliver local, live messages.
Terry reminded everyone that the CARES Act application process closed today at 5:00 p.m.
Meszaros said he would be reviewing the non-profit applications with the committee on August 31,
2020.He believed there would be checks ready for the businesses as soon as next week,and wanted
to distribute the checks as quickly as possible so he would be handing them out in person rather than
putting them in the mail. Terry commended the Chamber of Commerce, Tim Dillon, and the city
manager for their work on the CARES Act process.Terry said council could sit as an appeal board,
but any appeals would start with the city manager. In response to Seese,Meszaros said if someone
had multiple businesses,they would receive funds for only one of those businesses.Baclaan thought
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41,Page 262
the information provided between the application and the Small Business Development Center
(SBDC) was confusing, and wished to clear it up; for example, the SBDC required an Alaska
driver's license,but that requirement wasn't listed on the city's application. Meszaros said council
approved the resolution, which included the application, and the SBDC was a third party hired to
process the applications.Meszaros said the city would be reviewing and finalizing the applications.
In response to Terry, Meszaros said he expected to receive a list from the SBDC, but not all the
accompanying documentation. In response to Baclaan,Terry said appeals would start with the city
manager.
City Attorney Report.Brooks Chandler said he had been on the job for two weeks and his
report in the packet reflected what he had already worked on.He was working with the previous city
attorney firm to transfer files,and expected to be turning over some files to the city clerk for records
retention. Chandler had reviewed the Memorandum of Agreement between the city and the Alaska
Railroad,had provided advice to the city clerk on extending the emergency ordinance,had spent time
looking into Jesse Lee Home title issues,and had reviewed the rezone ordinance in tonight's packet.
Other Reports and Announcements
Chamber of Commerce Report.Jason Bickling(telephonically) said the Silver Salmon
Derby was a success,and appreciated all the volunteers and staff;he was glad they were able to hold
it.The chamber was starting to focus on off-season activities,as well as planning for next summer.
There would be website developments and collateral building which identified several key areas:
visitors,marine,hometown,conferences,and a community calendar.The chamber would develop a
Visitors Guide,Marine Guide,and Conference Destination Guide as collateral.The Seward Marine
Committee would be resuming meetings soon, and Bickling was looking into the possibility of
having fireworks for New Year's Eve.
Terry commended the Chamber of Commerce for doing a great job.
Seward Community Health Center Quarterly Report.Craig Ambrosiani referred to the
laydown he provided,and said this quarterly report was part of the SCHC's commitment to the city
as part of the co-applicant agreement.For the first six months of 2020,the SCHC was down from the
previous year in the number of visits(-13%)and the number of patients seen(-9%).Revenues year to
date were down 7%, but there were grant funds from HRSA being used to offset those losses;
expenses were also under budget by 12%, so the net result for the first six months was a positive
bottom line of$32,000.The SCHC currently had approximately 70 days'worth of cash on hand,and
their goal was to have 90 days. Ambrosiani reported that year over year,there had been growth in
revenues, all while reducing the funding received from the city each year. Ambrosiani stated the
SCHC had 13 out of 15 board members. Regarding the new building project, they had some
schematics and were finalizing the layout; they would soon start fundraising with a goal of$1.2
million to get them shovel-ready. Staffing remained stable,with no turnover.Ambrosiani relayed a
recent event at the SCHC: a man had contacted the SCHC requesting a COVID test because he
thought he had been exposed,and was experiencing some issues.A staff member performed a brief
physical on the man while he remained in his vehicle, and was able to quickly diagnose him as
having atrial fibrillation,which was a precursor to a heart attack.The man was immediately brought
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41,Page 263
into the clinic to receive emergency treatment.The man was very grateful for the staff at the SCHC
and believed they saved his life.Ambrosiani added that the staff at SCHC was doing a great job,and
had administered approximately 1,500 COVID tests on approximately 1,200 people.
In response to Baclaan's earlier inquiry about grant administrative fees,Ambrosiani said the
city did not charge the SCHC any fees for the HRSA grants. The way it worked was the SCHC
submitted the receipts for expenses to the city,the city reviewed and approved the expenses,and then
reimbursed the SCHC and drew down the grant fund balance. Ambrosiani believed it was against
HRSA rules for there to be administrative fees charged on their grants.
In response to Terry, Ambrosiani said there were a target number of patients that HRSA
wanted the SCHC to achieve each year, but he had not heard of any penalties anticipated for not
reaching those goals,especially in light of the COVID pandemic;in fact,HRSA wanted the SCHC to
maintain current staff level and services. Ambrosiani shared that he learned today that the
Rasmussen Foundation would grant the SCHC$100,000 for a mobile clinic with Telemed services;
the SCHC would have to raise an additional $100,000 to cover the entire cost of the vehicle.
Baclaan asked if there were any restrictions on getting COVID tests. Ambrosiani said tests
could be scheduled anytime during operating hours, and there was no fee. In response to Baclaan,
Ambrosiani clarified that Rapid tests were reserved for people with symptoms and who had been in
an environment that made it likely to result in a positive result.
Presentations —None
PUBLIC HEARINGS
Ordinances for Public Hearing and Enactment
Emergency Ordinance 2020-010,Temporarily Adopting City Council Emergency Regulations
Ordering The 50%Capacity Of City-Owned Campgrounds,Prohibiting Gatherings Of More
Than 20 Persons, Requiring Facial Coverings Inside Buildings Open To The Public, And
Limiting Eating Establishments, Bars, And Retail Stores To 50% Capacity Indoors In
Response To The Rapid Increase In COVID-19 Cases Within The City Of Seward.
Motion (Terry/McClure) Enact Ordinance 2020-010
Terry said she and McClure were bringing this ordinance forward again to extend the health
precautions that seem to have been working very effectively. McClure said in the last 30 days,
Seward's numbers had been very low; another 30 days of being responsibly cautious was prudent.
Notice of the public hearing being posted and published as required by law was noted and the public
hearing was opened. All comments were submitted in writing, unless otherwise noted.
City of Seward,Alaska City Council Minutes
August 24,2020 Volume 41,Page 264
Cheryl Seese opposed the ordinance because she was scheduling a public event at the
Branson Pavilion for Seward Founder's Day, and thought there could be between 30 to 40 people
present.
Lori Landstrom supported this emergency ordinance because she believed it was working
well, and had enabled the students to return to school today. She had spoken to two restauranteurs
who said the last two weekends they had record sales;she believed they were adapting and making it.
Landstrom worked on the slope part time, and her experience there was that they had provisions
similar to the ones in this emergency ordinance in order to protect the population.
No one else appeared and the public hearing was closed.
Crites supported this ordinance for another 30 days.
Seese wondered if there was a way to allow the Founders Day event to happen at Branson
Pavilion,given that they expected to have 30 to 40 people attend. Terry thought it was within their
Constitutional rights to assemble.Baclaan added that up to 50%capacity was allowed,as well,and
thought the Pavilion would allow enough space for the event.
Motion Passed Unanimous
Resolutions Requiring Public Hearing
Resolution 2020-064, Authorizing The City Manager To Enter Into A New Lease With
Joseph Tougas For Lot 4, Block 3, 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.
Motion (McClure/Osenga) Enact Resolution 2020-064
Harbormaster Norm Regis said this land was previously leased,but came back to the city.
Tougas had approached Regis last year expressing his interest in leasing it.
Notice of the public hearing being posted and published as required by law was noted and the public
hearing was opened. All comments were submitted in writing, unless otherwise noted. No one
appeared and the public hearing was closed.
Motion Passed Unanimous
Resolution 2020-065, Authorizing The City Manager To Enter Into A New Lease With
Joseph Tougas For Lot 5, Block 3, 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.
Motion (McClure/Seese) Enact Resolution 2020-065
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41, Page 265
Harbormaster Norm Regis said this property was immediately adjacent to that in the
previous resolution,and Tougas was interested in leasing this area, as well. Regis said Tougas mayINJ
be interested in erecting a building on this property in the future, and would go to the Planning&
Zoning Commission for approval when he was ready to start that process.
Notice of the public hearing being posted and published as required by law was noted and the public
hearing was opened. All comments were submitted in writing, unless otherwise noted. No one
appeared and the public hearing was closed.
Motion Passed Unanimous
UNFINISHED BUSINESS—None
NEW BUSINESS
Resolutions
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. This item was
postponed to September 14, 2020.
Resolution 2020-074,Authorizing The City Manager To Enter Into A Contract With Coldfoot
Environmental Services Inc.For The Hazardous Material Removal,Salvage Of Materials,And
Site Demolition At The Site Of The Jesse Lee Home Located At Jesse Lee Heights Subdivision
Addition No.4, Lots 15A And 15B,City of Seward, In The Amount Of$484,940, Plus A 10%
Contingency, And Appropriating Funds.
Motion (McClure/Osenga) Approve Resolution 2020-074
Meszaros said there were two proposals received, and they had been graded by five staff
members; Coldfoot Environmental was selected.
Seese had heard there might be an issue with the title of the property. In response,Chandler
said the original Purchase and Sale Agreement transferred title to the Friends of the Jesse Lee Home,
subject to certain conditions, and included a reversionary clause. This meant that if the conditions
were not met,the ownership automatically reverted back to the city.The deed still listed the Friends
of the Jesse Lee Home, and the city requested the Friends to sign a quit claim,but the Friends of the
Jesse Lee Home declined, alleging they had been denied access to the property which disallowed
them to accomplish their work.Chandler said,as it appeared to him,the title had reverted to the City
of Seward. The city had demonstrated by their actions that they owned the property, specifically
when they erected a fence to control access to the property. What remained to be done, in his
City of Seward,Alaska City Council Minutes
August 24,2020 Volume 41,Page 266
opinion, was to have the borough record that the property ownership had reverted to the city.
Chandler said,in relation to the resolution under consideration,the risk of the city moving forward
with the demolition, in the face of the Friends saying they still owned the property and thereby
potentially getting into a messy legal situation, was relatively slight.
Motion Passed Yes: Crites, McClure, Osenga, Baclaan,
Terry
No: Seese
INFORMATIONAL ITEMS AND REPORTS
July, 2020 City and Providence Financials.
CITIZEN COMMENTS
The City of Seward is currently experiencing a declared public health emergency due to Coronavirus
Disease 2019 (COVID-19), so alternate methods for providing Citizen Comments were created.
Unless otherwise noted, the following Citizen Comments were submitted in advance and read into
the record by the City Clerk:
Cheryl Seese (telephonically) thanked council for listening to her comments and for their
111 service.
COUNCIL AND ADMINISTRATION COMMENTS & RESPONSE TO CITIZEN
COMMENTS
Meszaros welcomed Sowell and Chandler.
Osenga welcomed Sowell and Chandler. He thanked Terry and McClure for bringing
forward the emergency ordinance tonight. Osenga thanked the Chamber of Commerce for a good
Silver Salmon Derby;he was sorry he didn't fish in it. He wanted everyone to be safe.
Baclaan fished the Derby and caught a big, fat nothing; he thanked the chamber staff and
volunteers.He congratulated Lynda Paquette's grandson on winning prizes in the youth category,as
well as coming in second place overall. Baclaan thanked all the businesses and non-profits for
applying for the CARES Act funding with the city;the money was intended to get out into the hands
of the community.He welcomed Sowell,and was looking forward to having a productive winter.He
welcomed Chandler, and commended Borgeson for doing a great job.
Crites welcomed Sowell.She thanked council for passing the emergency ordinance tonight,
and said the community was doing a great job keeping the virus at bay.
Seese congratulated John Paul Paquette,Jr. for his success at the Silver Salmon Derby. She
hoped there would be more money to give out in the second round of the CARES Act funding
process. She welcomed Sowell and Chandler, and thanked Regis for the new dumpsters.
City of Seward,Alaska City Council Minutes
August 24, 2020 Volume 41,Page 267
McClure welcomed Sowell. She thanked Katrina Counihan for her interest in Cook Inlet
Aquaculture Association (CIAA); her credentials were outstanding. She was looking forward to
attending the non-profit review committee meeting so she could say yes to all the applications.
Founder's Day would be this Friday; as president of the Resurrection Bay Historical Society
(RBHS), and under the current pandemic, McClure announced the museum would be open from
1:00-5:00 p.m.on Friday,there would be a large card for everyone to sign,and a new Rockwell Kent
exhibit to see. There would also be an event at 3:45 p.m. in Branson Pavilion.
Terry appreciated the comprehensive packet tonight. She appreciated Cheryl Seese's
comments about having the Historic Preservation Commission and RBHS involved in the monument
at the Jesse Lee Home.Terry commended the fire department for putting out the boat fire at SMIC
over the weekend. She said today was the first day of school;because the community was doing so
well managing the virus, students were able to attend school in person. Terry credited the borough
mayor for repairing the tsunami sirens, thanked the chamber for a great Silver Salmon Derby, and
welcomed Sowell and Chandler.
EXECUTIVE SESSION
Per SCC 2.10.030 (b) (2), go into executive session to discuss matters involving the working
relationship between the City Manager and the City Clerk,which if discussed in public could
tend to prejudice the reputation of a person.
Terry requested that the executive session not be held tonight.She said she was working out a
different internal process,and wished to take a different route;she may call for an executive session
at a later date. There was no objection from council.
ADJOURNMENT
The meeting was adjourned at 8:34 p.m.
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