HomeMy WebLinkAbout04242023 City Council Minutes City of Seward,Alaska City Council Meeting Minutes
Apri124, 2023 Volume 42,Page 292
CALL TO ORDER
The April 24, 2023 regular meeting of the Seward City Council was called to order at 7:00
p.m. by Mayor Sue McClure.
OPENING CEREMONY
Police Chief Alan Nickell led the Pledge of Allegiance to the flag.
ROLL CALL
There were present:
Sue McClure,presiding, and
John Osenga Liz DeMoss
Mike Calhoon Randy Wells
Kevin Finch Robert Barnwell
comprising a quorum of the Council; and
Janette Bower, City Manager
Brenda Ballou, City Clerk
Excused—None
Absent—None
CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR
PUBLIC HEARING
Carolyn Roemer, outside the city, was a 30-year resident of Seward and she was deeply
concerned about the electric sale. She had been researching the sale for the last three weeks; she
appreciated that council had to trust the people they hired to advise them. She thought the utility
system was very cumbersome and the way it was set up made it difficult to manage. The choice of
going with HEA was guided by people council hired, some of whom would not live with the
consequences of this sale. The city's infrastructure upgrades were nearing completion;the revenue
the city could gain from the cruise ships when they were tied up could bring millions of dollars to the
city. Roemer thought the city's utility was in good repair, and the generators were state-of-the-art.
She believed the sale price was a very low figure and the sale, under these conditions, would be
irresponsible.
WC Casey,inside the city,was a former employee of the city for over 37 years;he had been
through many budget sessions and had managed four enterprise funds over the year. He thought
selling the electric utility was the worst idea he had heard of.He believed it would be a huge mistake
and was opposed to the sale. The electric department was a vital enterprise fund for the city.
City of Seward,Alaska City Council Meeting Minutes
April24, 2023 Volume 42,Page 293
Trent Lafleur,inside the city,owned a kayak business in Seward.Over the last year,he had
worked with Seward's Small Business Development Center(SBDC)advisor and said the SBDC had
been critical to his ability to grow his business.
Hannah Lafleur,inside the city,was grateful for the services that she had received through
the SBDC advisor in Seward; the SBDC advisor helped find funding for expanding her business.
Tim McDonald,inside the city,was a 50-year resident of Seward. He remained upset that
the podium in council chambers had been removed and replaced with a table and chair. Regarding
the electric sale, he was concerned that the city had not been supportive of net metering from the
beginning;the windmill at AVTEC was an example of a missed opportunity. Selling the utility took
away a valuable asset from the citizens.
Kat Sorensen, inside the city, was executive director of the Chamber of Commerce; the
chamber funded half of the SBDC advisor position in Seward and also provided office space for the
SBDC advisor inside the chamber building.The benefit of having the SBDC advisor in Seward was
tremendous.
KerriAnn Baker,outside the city,worked for Homer Electric Association(HEA). She was
appreciative of council's support of HEA. She said HEA was making their presence known and
employees accessible for anyone to ask questions. She was available to answer anyone's questions.
She was proud to work for HEA,and through this process,she had fallen for Seward and thought it
was a great community. She praised the employees of the city's electric department and observed
that they were a caring and hard-working team of employees.
David Foote, outside the city, had been a lineman in Seward for eight years. Along with
himself and three other operators,there were four employees who were extremely knowledgeable
about the electric infrastructure. If the vote did not carry for the sale,then the city needed to respect
the business operations as an enterprise fund;the funds could not be used as a slush fund.He thought
HEA would do a pretty good job,but the city's staff had also done a great deal of work to improve
the city's system,including getting trees removed,checking and double checking lines,and taking
proactive steps to make repairs and improvements.
Lynda Paquette, outside the city, said Ordinance 2023-014 was in tonight's packet for
PACAB,but included an attorney redlined version as well. She didn't understand why the ordinance
would be changed since PACAB had already approved it.
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion (DeMoss/Wells) Approval of Agenda and Consent Agenda
Motion Passed Unanimous
The clerk read the following approved consent agenda items:
Approval of the March 28,2023 City Council Special Meeting Minutes.
City of Seward,Alaska City Council Meeting Minutes
April 24, 2023 Volume 42,Page 294
Approval of the March 28, 2023 City Council Regular Meeting Minutes.
Approval of the April 6, 2023 City Council Special Meeting Minutes.
Approval of the April 10, 2023 City Council Regular Meeting Minutes.
Introduction of Ordinance 2023-010,Amending Seward City Code Title 9-Health And Safety
For The City Of Seward Recodification Project. This ordinance was introduced tonight and will
come for public hearing and enactment on May 8, 2023.
Introduction of Ordinance 2023-011, Amending Seward City Code Title 10 - Public Peace,
Morals And Welfare For The City Of Seward Recodification Project. This ordinance was
introduced tonight and will come for public hearing and enactment on May 8, 2023.
Introduction of Ordinance 2023-012, Amending Seward City Code Title 3-Personnel. This
ordinance was introduced tonight and will come for public hearing and enactment on May 8, 2023.
Introduction of Ordinance 2023-013,Enacting Seward City Code,Section 3.50.040-Floating
Holiday.This ordinance was introduced tonight and will come for public hearing and enactment on
May 8, 2023.
Introduction of Ordinance 2023-014,Amending Seward City Code,Chapter 2.30-Boards and
Commissions. This ordinance was introduced tonight and will come for public hearing and
enactment on May 8, 2023.
Resolution 2023-045,Appointing Harbormaster Norm Regis As Acting City Manager For Up
To Six Months Beginning May 11,2023,With The Option To Extend As Necessary.
Resolution 2023-047,Authorizing The City Manager To Purchase An"HLA Hydraulic Wing
Blade"Loader Attachment In The Amount Of$21,150 Plus 10%Contingency Of$2,115 From
Construction Machinery Industrial, LLC (CMI)And Appropriating Funds.
Resolution 2023-048,Authorizing The City Manager To Approve The Purchase Of A Backup
Pump Replacement With DXP Alaska Pump & Supply,Inc For The Town Wastewater Lift
Station#1 In An Amount Not To Exceed $57,887.50 And Appropriating Funds.
Non-objection to the transfer and renewal of the liquor license #3230 - Restaurant/Eating
Place, and approval of the Restaurant Designation Permit, for Apollo Restaurant.
Appoint Laura Erickson to the Historic Preservation Commission with a term to expire May,
2025.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Proclamations and Awards -None
City of Seward,Alaska City Council Meeting Minutes
Apri124, 2023 Volume 42,Page 295
City Manager Report.
City Manager Janette Bower said she had traveled to Washington DC last week with the
harbormaster and vice mayor to meet with legislators; they had an intense couple of days in
meetings. They met with the US Coast Guard to discuss homeporting an icebreaker in Seward;
Juneau was chosen for that homeporting.There were three large cutters being built,and those were
slated to go to Seattle.There would then be three medium size cutters,and one might be homeported
in Seward; it could be 8-10 years from now. Regarding the Fast Response Cutter(FRC) that was
coming to Seward, the vessel would be completed in 2028. The USCG required housing to be in
place before the FRC could be homeported; the USCG would obtain land acquisition in 2024 and
then they could get started.The next meetings were with USACE for the Lowell Canyon Diversion
Tunnel which was at 35%design.The project started at$185 million,but was now expected to cost
up to $223 million. She was working with the USACE to extend the current Operating &
Management Agreement on the existing tunnel to make sure it remained in place until the new
tunnel was completed.
City Clerk Report.
City Clerk Brenda Ballou said tomorrow at 5:00 p.m.was the deadline for applying for a by
mail ballot.Absentee In Person voting was available 8:00 a.m.—5:00 p.m. weekdays through next
Monday. Election Day would be Tuesday, May 2, 2023 from 7:00 a.m. to 8:00 p.m. in council
chambers.
City Attorney Report—None
Other Reports and Announcements
Planning& Zoning Commission Report by Chair Clare Sullivan—April 2023.
Presentations
Small Business Development Center Presentation by Cliff Cochran.(Rescheduled from
April 10, 2023)
Alaska Trails Presentation on the Long Trail by Mariyam Moldova.
PUBLIC HEARINGS—None
UNFINISHED BUSINESS—None
NEW BUSINESS
Resolutions
City of Seward,Alaska City Council Meeting Minutes
Apri124, 2023 Volume 42,Page 296
Resolution 2023-049,Authorizing The City Manager To Purchase A 2023 Chevrolet Silverado
2500 Double Cab From Chevrolet Of South Anchorage Using The State Procurement Process
In A Not-To-Exceed Amount Of$60,073 And Appropriating Funds.
Motion (Osenga/DeMoss) Approve Resolution 2023-049
Electric Utility Manager Rob Montgomery said this vehicle would be a fleet truck for any
employee to use,not assigned to one specific employee. This vehicle would replace a vehicle that
was damaged in an accident last winter.
Finch said the city should be looking at fleet trucks that did not have bells and whistles.
In response to Wells,Montgomery said the insurance check the city received for the damaged
vehicle was for$37,000.
Motion Passed Unanimous
Other New Business
Discuss Obihiro delegation exchange and determine next steps.
By unanimous consent, council made the following decisions:
• Council Member Wells would donate lodging for the visiting citizens from Obihiro;
• The city clerk would make Obihiro aware that their proposed visit dates would not coincide
with the 2023 Silver Salmon Derby;
• Mayor McClure wished to go to Obihiro,but could not confirm until a later date;
• Vice Mayor Osenga would go to Obihiro,along with Council Members Barnwell and Wells
and Assistant City Manager Stephen Sowell;
• The Chamber of Commerce Director would go to Obihiro;
• An application process for citizens interested in traveling to Obihiro would be developed.
Council established a planning committee for the visiting Japanese delegation consisting of:Council
Member Barnwell, Chamber Director Kat Sorensen, and Deputy City Clerk Kris Peck.
Schedule a joint work session with the Planning&Zoning Commission,the Port&Commerce
Advisory Board, and the Historic Preservation Commission.
Council schedule a joint work session with the boards and commissions on May 22,2023 starting at
5:00 p.m. for the Historic Preservation Commission, followed by the Port&Commerce Advisory
Board at 5:30 p.m., and the Planning&Zoning Commission at 6:00 p.m. to discuss priorities.
INFORMATIONAL ITEMS AND REPORTS
Other Items
Deputy City Clerk's memo regarding timely receipt of Annual Financial Disclosure Forms.
City of Seward,Alaska City Council Meeting Minutes
Apri124, 2023 Volume 42,Page 297
CITIZEN COMMENTS
Kat Sorensen,inside the city,said the Chamber of Commerce would be happy to collaborate
with the city to plan for the visit of the Obihiro delegation. She was pleased to hear the SBDC
presentation tonight and to hear the accolades for SBDC advisor.
Norm Regis, outside the city, said the harbor had been helping the parks and recreation
department clearing the parking lots in preparation for having the lines painted.Congressman Young
had started a youth fishing tournament which Congresswoman Peltola wished to continue; she was
planning to keep the tradition alive of bringing youth to Seward to fish.
Tim McDonald,inside the city,thought the diversion tunnel project was a huge opportunity
to establish hydro power inside the tunnel to generate electricity;the new tunnel should be created to
provide ancillary benefits.
COUNCIL AND ADMINISTRATION COMMENTS & RESPONSE TO CITIZEN
COMMENTS
Bower said she had a meeting with the borough mayor and emergency operations manager
about Lowell Point Road. Also,regarding the Lowell Canyon Diversion Tunnel,there had been a
study conducted and there could be no hydro could be placed inside the tunnel due to boulders.
Barnwell was pleased with the success of the SBDC in Seward.The Alaska Long Trail was a
great opportunity for Seward.He was pleased that the Washington DC trip went well.There were a
lot of opportunities for Seward.
Finch thanked the linemen for their work. He wished HEA would continue their public
education. He thanked the group for their work in Washington DC.
•
Wells gave a huge shoutout to the SBDC advisor in Seward; she was doing a great job.
Regarding Chugach versus HEA, Wells said both companies had provided proposals. The federal
government set thresholds for electric sales,both the floor and the ceiling.He said Chugach was not
interested in having a Seward representative on their board; conversely, HEA created a seat for a
Seward representative.
Calhoon thought the presentations were great.The SBDC was doing a great job,as was the
Chamber of Commerce. The Alaska Long Trail was interesting; snow machine trails would
potentially be used quite a bit. All the work in DC was great, and there were a lot of good things
coming. Regarding the utility sale, citizens had been provided a lot of opportunities to attend
sessions,ask questions,and do their research.He cautioned people about the veracity of information
on social media related to the sale.
DeMoss thought the SBDC position was really important and valuable to the community.
Regarding the electric sale,there were many ways to obtain facts and information about the sale.She
City of Seward,Alaska City Council Meeting Minutes
Apri124, 2023 Volume 42,Page 298
believed selling to HEA was the right decision. She thanked P&Z Chair Sullivan for the great P&Z
Commission report.
Osenga congratulated the Seward SBDC advisor for her success.He encouraged everyone to
get information about the sale of the electric utility. The trip to Washington DC went well; the
legislators seemed happy with what had been accomplished and with things being planned.All the
conversations and discussions had been positive; the meetings had been great and he thought the
future was bright for Seward.
Calhoun congratulated Harbormaster Regis for being appointed acting city manager. The
ballot for next week's election contained a proposition that would loosen the residency requirements
for the city manager position.
McClure thought the city manager residency was an important item to vote on. She
appreciated people speaking up about the facts surrounding the electric sale; there was a lot of
misinformation going around. She met with the US Navy representatives last week about the
Northern Edge training exercises. The city wide clean up would be held on May 6, 2023; collect
yellow bags at city hall. She thanked Regis for taking on the acting city manager position and
congratulated Laura Erickson for joining the Historic Preservation Commission.
Calhoon said May 2-5,2023 the naval destroyer Lake Champlain would be in Seward with
300 personnel.
ADJOURNMENT
The meeting was adjourned at 9:04 p.m.
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Brenda J. Ballo , MMC Sue McClure
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