HomeMy WebLinkAboutRES2025-016 EPA Grant Accepting Funds1
Sponsored by: Sorensen
CITY OF SEWARD, ALASKA
RESOLUTION 2025-016
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ACCEPTING $45,732,040 IN GRANT FUNDS FROM THE U.S.
ENVIRONMENTAL PROTECTION AGENCY CLEAN PORTS GRANT
PROGRAM FOR THE IMPLEMENTATION OF SHORE POWER AT THE
SEWARD CRUISE SHIP TERMINAL, AND APPROPRIATING THE
FUNDS ACCORDING TO THE BUDGET LAID OUT IN THE GRANT
NARRATIVE
WHEREAS, the City of Seward has identified the implementation of shore power at the
Seward Cruise Ship Terminal as a critical infrastructure project to reduce air emissions, support
environmental sustainability, and enhance the economic vitality of the port; and
WHEREAS, the U.S. Environmental Protection Agency (EPA) Clean Ports Grant Program
has awarded the City of Seward $45,732,040 to fund the design, construction, and implementation
of shore power infrastructure at the Seward Cruise Ship Terminal; and
WHEREAS, the grant will support key project components, including planning and
design, procurement of equipment, construction, commissioning, and workforce development as
detailed in the grant agreement; and
WHEREAS, the acceptance and appropriation of these funds are essential to advancing
the project and ensuring compliance with the terms and conditions outlined in the grant agreement;
and
WHEREAS, the City of Seward is committed to managing the grant funds responsibly
and ensuring alignment with the budget and timeline specified in the grant document; and
WHEREAS, the required 10% match for the grant is committed from The Seward
Company, the group behind the dock reconstruction project, making the implementation of shore
power at no cost to Seward residents or Seward electric ratepayers; and
WHEREAS, the grant includes a subaward appropriation for the Alaska Vocational
Technical Center to develop and implement a workforce development program.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Council hereby accepts: $45,732,040 in grant funds from the U.S.
Environmental Protection Agency Clean Ports Grant Program for the implementation of shore
power at the Seward Cruise Ship Terminal.
Section 2. The City Council appropriates $45,732,040 in grant funds according to the
budget outlined in the grant narrative, authorizing expenditures for planning, design, procurement,
CITY OF SEWARD, ALASKA
RESOLUTION 2025-016
Page 2 of 2
construction, and commissioning of the shore power infrastructure. The fund 15360 Port of Seward
Vessel Shore Power Project will allocate revenue and expenditures related to this grant.
Section 3. The City Council directs the City Manager, or their designee, to execute all
necessary documents and take all necessary actions to fulfill the terms and conditions of the grant
agreement, including but not limited to, submitting required reports and ensuring compliance with
applicable regulations.
Section 4. The City Council expresses its appreciation to the U.S. Environmental
Protection Agency for its support in advancing this critical infrastructure project for the benefit of
the community and the environment.
Section 5. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska this 27th
day of January 2025.
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
THE CITY OF SEWARD, ALASKA
Sue McClure, Mayor
Barnwell, Finch, Crites, Osenga, Wells, Warner, McClure
None
None
None
Kris Peck
City Clerk
(City Seal)
,, O'`I 11 W4740
.41-6"14e7...?0####.
1
1
City Council Agenda Statement
Meeting Date: January 27, 2025
To: City Council
From: Kat Sorensen, City Manager
Subject: Resolution 2025-016: Accepting $45,732,040 in Grant Funds from the U.S.
Environmental Protection Agency Clean Ports Grant Program for the
Implementation of Shore Power at the Seward Cruise Ship Terminal, and
Appropriating the Funds According to the Budget Laid Out in the Grant
Narrative
Background and justification:
The City of Seward has identified the implementation of shore power at the Seward Cruise Ship
Terminal as a critical infrastructure project to reduce air emissions, support environmental
sustainability, and enhance the economic vitality of the port. The U.S. Environmental Protection
Agency (EPA) Clean Ports Grant Program has awarded the City of Seward $45,732,040 to fund
the design, construction, and implementation of shore power infrastructure at the Seward Cruise
Ship Terminal.
The grant will support key project components, including planning and design, procurement of
equipment, construction, commissioning, and workforce development as detailed in the grant
agreement. The acceptance and appropriation of these funds are essential to advancing the project
and ensuring compliance with the terms and conditions outlined in the grant agreement. The City
of Seward is committed to managing the grant funds responsibly and ensuring alignment with the
budget and specified timeline.
The required 10% match for the grant is committed from The Seward Company, the group behind
the dock reconstruction project, making the implementation of shore power at no cost to Seward
residents or Seward electric ratepayers.
The grant includes a subaward appropriation for the Alaska Vocational Technical Center to
develop and implement a workforce development program.
Comprehensive and Strategic Plan Consistency Information
This legislation is consistent with (citation listed):
Comprehensive Plan:
Strategic Plan:
Other:
Total amount of funds listed in this legislation: $ $45,732,040
This legislation:
X
Creates revenue in the amount of: $
Creates expenditure in amount of: $
Creates a savings in the amount of: $
Has no fiscal impact
Funds are:
Budgeted Line item(s):
Not budgeted
Not applicable
X
Fund Balance Information
Affected Fund:
General
Boat Harbor
Motor Pool
Available Fund Balance
X
Yes
SMIC
Parking
Other
Electric
Water
Attorney Signature:
Not applicable Comments:
$
Wastewater
Healthcare
Note: amounts are unaudited
Finance Director Signature:
Attorney Review
3'1- 966"04P
Administration Recommendation
X
Adopt Resolution
Other:
5Y - 02J92001 - 0 Page 1
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41. PROT
U.S. ENVIRONMENTAL
PROTECTION AGENCY
Grant Agreement
GRANT NUMBER (FAIN): 02J92001
MODIFICATION NUMBER: 0
PROGRAM CODE: 5Y
DATE OF AWARD
12/17/2024
TYPE OF ACTION
New
MAILING DATE
12/20/2024
PAYMENT METHOD:
ASAP
ACH#
RECIPIENT TYPE:
Municipal
Send Payment Request to:
rtpfc-grants@epa.gov
RECIPIENT:
PAYEE:
CITY OF SEWARD
PO BOX 167
SEWARD, AK 99664-0167
EIN: 92-6000086
CITY OF SEWARD
PO BOX 167
SEWARD, AK 99664-0167
PROJECT MANAGER
EPA PROJECT OFFICER
EPA GRANT SPECIALIST
Sully Jusino
PO BOX 167
SEWARD, AK 99664-0167
Email: sjusino@cityofseward.net
Phone: 907-362-1020
Elizabeth Carper
1200 Sixth Ave, Suite 155
Seattle, WA 98101-3144
Email: Carper.Beth@epa.gov
Phone: 206-553-1906
Lacey Davidson
1200 6th Ave., Suite 155
Seattle, WA 98101-3144
Email: davidson.lacey@epa.gov
Phone: 206-553-0758
PROJECT TITLE AND DESCRIPTION
Port of Seward Vessel Shore Power Implementation
See Attachment 1 for project description.
BUDGET PERIOD
01/01/2025 - 12/31/2028
PROJECT PERIOD
01/01/2025 - 12/31/2028
TOTAL BUDGET PERIOD COST
$ 50,813,378.00
TOTAL PROJECT PERIOD COST
$ 50,813,378.00
NOTICE OF
Based on your Application dated 05/28/2024 including all modifications and amendments,
Protection Agency (EPA) hereby awards $ 45,732,040.00. EPA agrees to cost -share
exceeding total federal funding of $ 45,732,040.00. Recipient's signature is not
out this award by either: 1) drawing down funds within 21 days after the EPA award
the award terms and conditions within 21 days after the EPA award or amendment
specified in this award, the authorized representative of the recipient must furnish
EPA award or amendment mailing date. In case of disagreement, and until the
provided by this award/amendment, and any costs incurred by the recipient are
statutory provisions, all terms and conditions of this agreement and any attachments.
AWARD
the United States
90.00% of all approved
acting by and through the US Environmental
budget period costs incurred, up to and not
The recipient demonstrates its commitment to carry
date; or 2) not filing a notice of disagreement with
disagrees with the terms and conditions
to the EPA Award Official within 21 days after the
recipient should not draw down on the funds
is subject to applicable EPA regulatory and
required on this agreement.
or amendment mailing
mailing date. If the recipient
a notice of disagreement
disagreement is resolved, the
at its own risk. This agreement
ISSUING OFFICE (GRANTS MANAGEMENT OFFICE)
AWARD APPROVAL OFFICE
ORGANIZATION / ADDRESS
ORGANIZATION / ADDRESS
U.S. EPA, Region 10, EPA Region 10
Mail Code: 17-004, 1200 Sixth Avenue, Suite 155
Seattle, WA 98101
U.S. EPA, Region 10, Mission Support Division
R10 - Region 10
1200 Sixth Ave, Suite 155
Seattle, WA 98101-3144
THE UNITED STATES OF AMERICA BY THE U.S. ENVIRONMENTAL PROTECTION AGENCY
Digital signature applied by EPA Award Official Andrea Manion - Grants Management Officer
DATE
12/17/2024
5Y - 02J92001 - 0 Page 2
EPA Funding Information
FUNDS
FORMER AWARD
THIS ACTION
AMENDED TOTAL
EPA Amount This Action
$ 0
$ 45,732,040
$ 45,732,040
EPA In -Kind Amount
$ 0
$ 0
$ 0
Unexpended Prior Year Balance
$ 0
$ 0
$ 0
Other Federal Funds
$ 0
$ 0
$ 0
Recipient Contribution
$ 0
$ 0
$ 0
State Contribution
$ 0
$ 0
$ 0
Local Contribution
$ 0
$ 0
$ 0
Other Contribution
$ 0
$ 5,081,338
$ 5,081,338
Allowable Project Cost
$ 0
$ 50,813,378
$ 50,813,378
Assistance Program (CFDA)
Statutory Authority
Regulatory Authority
66.051 - Clean Ports Program
Clean Air Act: Sec. 133
Inflation Reduction Act: Sec. 60102
2 CFR 200, 2 CFR 1500 and 40 CFR 33
Fiscal
Site Name
Req No
FY
Code
Organization
PRC
OClass
Site/Project
Organization
/
Deolbligafion
-
25101RG012
2227
E4SF6
10B1
000AVFXY3
4166
-
-
$ 45,732,040
$ 45,732,040
5Y - 02J92001 - 0 Page 3
Budget Summary Page
Table A - Object Class Category
(Non -Construction)
Total Approved Allowable
Budget Period Cost
1. Personnel
$ 322,990
2. Fringe Benefits
$ 64,598
3. Travel
$ 0
4. Equipment
$ 0
5. Supplies
$ 24,726
6. Contractual
$ 1,416,348
7. Construction
$ 47,778,465
8. Other
$ 1,206,251
9. Total Direct Charges
$ 50,813,378
10. Indirect Costs: 0.00 % Base
$ 0
11. Total (Share: Recipient 10.00 % Federal
90.00 %)
$ 50,813,378
12. Total Approved Assistance Amount
$ 45,732,040
13. Program Income
$ 0
14. Total EPA Amount Awarded This Action
$ 45,732,040
15. Total EPA Amount Awarded To Date
$ 45,732,040
5Y - 02J92001 - 0 Page 4
Attachment 1 - Project Description
The purpose of this award is to provide funding under the Inflation Reduction Act to the City of Seward.
Specifically, the recipient will improve air quality and reduce pollution at the Port of Seward and in the
surrounding area through the deployment of zero -emission equipment and infrastructure at the port.
The activities include the installation of vessel shore power infrastructure and associated infrastructure
upgrades, switchgear, and a battery energy storage system.
The anticipated deliverables include the purchase and deployment of two vessel shore power pedestals
for cruise ships and other vessels including a 115 kV line extension to connect the shore power system
to the grid and an eight modular battery energy storage systems. Other deliverables include conducting
community engagement events, workforce training on zero -emission technology, and a baseline mobile
source emissions inventory.
The expected outcomes include reduced annual emissions of NOx, PM2.5, SO2, and CO2; increased
energy storage capacity and connectivity; and a workforce that is better skilled in the maintenance and
operation of high voltage electrical equipment.
The intended beneficiaries include the Port of Seward (grantee); ARRC (partner); Seward Company
(partner), and Seward Electric (utility partner). Indirect beneficiaries include near -port communities which
will experience reduced emissions.
The subaward for the AVTEC program will fund the costs for creating a workforce development program
at the local vocational school. This includes hiring instructors to create a instruction plan, creating the
courses and advertising the courses with the administrative team at AVTEC, as well as purchasing the
necessary equipment for students to have hands-on learning.
"EPA United States
`r Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
ENVIRONMENTAL PROTECTION AGENCY (EPA)
2024 CLEAN PORTS PROGRAM: ZERO -EMISSION TECHNOLOGY DEPLOYMENT COMPETITION
Notice of Funding Opportunity (NOFO): EPA-R-OAR-CPP-24-04
PROJECT NARRATIVE
I. COVER PAGE
Project Title
Port of Seward Vessel Shore Power Implementation
Applicant
Information
Applicant Name/Organization: City of Seward, Alaska
Address (Street, City, State, Zip): 410 Adams Street, Seward, AK 99664
Contact Name, Title/Role, Phone Number, and Email Address:
Kat Sorensen, City Manager, 907-224-4012, ksorensen@cityofseward.net
Type of Eligible
Applicant
Port authority Air pollution control agency
_
X State, regional, or local agency Private entity meeting the
_
with jurisdiction over a port requirements in Section III.A.
authority or a port
Tribal agency with jurisdiction
over a port authority or a port
Budget
Summary
EPA Funding Requested Applicant Costs Total Project Cost
$45,732,040 $5,081,338 $50,813,378
Project
Location(s)
Name of Port(s) (or other project location and port(s) served): Port of Seward, [Alaska Railroad (ARRC)
Terminal Reserve]
Name of Port Authority, if applicable: ARRC Owner, City of Seward (Home Rule Municipality)
County, City, State: Kenai Peninsula Borough, Seward, Alaska
Percent of time/activity in each county: 100%
X Small water port Dry port
Project Period
Project Start Date: January 1 2025 Project End Date: December 31 2028
Short Project
Description
The project will install shore power equipment at two passenger vessel berths in the City of Seward,
provide the electrical power to support its operations, and install a battery energy storage system (BESS)
to supplement the electrical grid during peak periods in an effort to reduce vessel emissions while in port.
Please indicate which of the following ZE port equipment and infrastructure types are included in the
project:
Drayage trucks X Vessel shore power infrastructure
Cargo handling equipment & Hydrogen fueling infrastructure
other nonroad Solar or wind power generation
_
Locomotives X Battery energy storage system
Vessels Other (please specify)
_
Electric vehicle supply equipment
Other Potential
Federal Funding
Sources
N/A
Use of Logistics
Software
Does the applicant use LOGINK or any other prohibited logistics platform as described in Section III.D. of
the NOFO? Yes X No
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
II. WORKPLAN
Section 1 - Project Summary and Approach
a. Overall Project and Proposed Impact
Background
The City of Seward is requesting
$45,732,040 of grant funding to
complete a $50,813,378 project as
part of the Environmental
Protection Agency (EPA) Clean Ports
Program: Zero -Emission Technology
Deployment Competition (EPA-R-
OAR-CPP-24-04) for the Port of
Seward Vessel Shore Power
Implementation Project (the
"Project"). The grant funding
request represents 90% of the
anticipated project cost to install
electric shore power technology
and associated infrastructure
upgrades, such as a short extension of the electric transmission line to reach the port, switchgear and a battery
energy storage system (BESS), at two passenger berths at the Port of Seward, Alaska to reduce greenhouse gas
emissions from cruise vessels while berthed. The City of Seward, as a local agency with jurisdiction over a port
(the Port of Seward), is the eligible applicant. In addition to having jurisdiction over the port, the City also
operates the local electric utility. Located at the head of Resurrection Bay on Alaska's Kenai Peninsula, the City
of Seward was founded in 1903 as the ocean terminus of the Alaska Central Railway (now known as "The Alaska
Railroad"). Incorporated in 1912, Seward is surrounded by snow-capped mountains and is Alaska's only deep -
water, ice -free port with rail, highway and air transportation to the state's interior and major population
centers.
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
The area extending from Seward inland is known as the "Railbelt" electric grid. In addition to containing roughly
75% of Alaska's population, the Railbelt also serves five military bases, each of which is strategically important to
U.S. national security, as outlined in the White House's Indo-Pacific Strategy.1 These bases support national
defense through various capabilities, including airborne infantry, military intelligence, missile defense, and
global telecommunications, among others. Alaska's extensive mining operations, including rare earth metals
critical to national security, further underscores the Railbelt's importance to both the state and national
economies. The City of Seward, the southern terminus of both the Railbelt and the Alaska Railroad, is a vital hub
for fishing, freight, and tourism. It is home to the Alaska Sealife Center and the University of Alaska's (UAF)
Seward Marine Center, the state's premier marine research facility, which includes the home port of the 261-
foot UAF research vessel R.V Sikuliaq.
The Alaska Railroad Corporation ("ARRC") is a public corporation owned by the State of Alaska, chartered to own
and operate the Alaska Railroad as a common carrier railroad under Alaska Statute 42.40. Among many other
1 U.S.-Indo-Pacific-Strategy.pdf (whitehouse.gov)
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
functions, ARRC provides scheduled passenger train service between Anchorage and Seward and owns
approximately 328 acres in a land reserve in Seward, which is used primarily for train operations, includes the
Seward Cruise Ship Terminal facilities, the docks and adjacent uplands to support intermodal operations
collectively known as the Seward Marine Terminal.
The Seward Marine Terminal was first established at its current location in 1964 following the Good Friday
earthquake. The first infrastructure asset constructed on the site is what is now known as the Passenger Dock
and the Dale R. Lindsey Intermodal Terminal Building. At present, these facilities provide services for a range of
cruise lines that land at Seward during the summer cruise season. During the 2024 cruise season, 85 vessels will
call on the Port of Seward with an average stay typically ranging between 10 and 16 hours. While that is the
average, the Viking Orion will spend three days at the Port of Seward on five separate occasions this season
alone. These long -duration stops require significant fuel consumption and generate substantial emissions that
could be avoided with the use of shore power.
The Port of Seward is looking to become a green port and reduce mobile source emissions associated with
port operations. The cruise industry is a significant economic driver in the region, and as the cruise industry
continues to grow, the Port recognizes its responsibility to balance economic growth with sustainability.
Eliminating at -berth emissions by utilizing clean electricity is a major strategy for reducing greenhouse gas
emissions and meeting this goal of becoming a green port. While ships are docked, they still need energy to run
lights, chill food, operate equipment, and power a myriad of other onboard services. A shore power connection
will allow cruise ships to plug into cleaner, landside electrical power and turn off their diesel engines, reducing
both diesel fuel consumption and related emissions.
In addition to reducing green house gas emissions, shore power in the Seward community will increase kw/h
electricity usage from the locally -owned municipal electric utility. The increased usage of electricity allows for
more efficiencies in the electrical system and will allow for a decrease in rates for the entire Seward community.
As a small, coastal Alaska community, Seward suffers from a high cost -of -living. This is especially seen in utility
pricing. Implementing shore power in the Seward community will bring two results - decreasing power costs for
Seward -area residents and decreasing emissions.
Proposed Project Activities
The Project will provide the necessary infrastructure upgrades required to supply electrical power from the city -
owned and operated local electric grid to the passenger dock and install all necessary electric shore power
equipment to serve both berths at the new passenger dock at the Port of Seward.
Each vessel that calls on the Port of Seward currently utilizes either coal engines or diesel generators, which
release air toxins and greenhouse gases (GHGs) into the atmosphere, adversely affecting the local communities
and reducing overall air quality in the City of Seward. In an effort to reduce these emissions and improve air
quality for all, shore power infrastructure will be installed at the facility to supply necessary power through the
local electrical grid rather than shipboard fuel.
Seward is linked to the Railbelt electric grid by a single 115kV transmission line extending from the Fort
Raymond generating plant to the Daves Creek substation, near the intersection of the Seward and Sterling
Highways. The City of Seward also maintains a 15.6MW backup generation facility at Fort Raymond to safeguard
against grid disruptions. To accommodate increased port demand, we propose a shore power feed tapped
directly from the 115kV system near Fort Raymond. The line would run east across the Seward Highway to a
new 115kV to 12.5kV substation near the intersection of Port Avenue and Z Float Road. The power would be
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
Ar% Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
converted to 12.5kV and routed underground to the shore power facilities for the sole use by the Port of
Seward. This proposal includes the initial feed, power transformation, and the necessary breakers and switches
to allow for safe operations.
All work will be abide by the Davis -Bacon Act and the Build America, Buy America Act when applicable.
Figure 1: Conceptual Electrical Layout
..."----------_,. - --------"-----'""''''''":.:L.*-'
1 Overhead Power Lines
1,'21 .,,, -• \ ir`
SILT "t!__ • • •
on 4,k7 1'r'•
dll
•
P-IMARY METE9NG FOR
SHORE POWER
!
The shore power system will deliver power to vessels utilizing an International High Voltage Shore Connection
standard outlet configuration [IEC/IEEE 80005-1 (Standard)] and a cable management system [including a Cable
Positioning Device (CPD)]. The proposed Project will include one 11kV feeder circuit breaker and one 6.6 kV
feeder circuit breaker. These are the typical industry accepted voltages, with 11kV being the newer standard
used by large cruise lines, and 6.6kV used by older fleets, sometimes including cargo ships and naval vessels. The
installation of each feed, with switching capabilities, will allow the Port of Seward to service any shore power
capable vessel that calls. The existing and proposed layout of the dock infrastructure are shown in Figure 2.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Figure 2: Existing and Proposed Dock
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
-
UPLANDS LAND PeRLFI.
6.89+ AC E-S
F9[517 FixEE, WADY
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7119ELANDS LAND PARCEL
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Typical demand from passenger vessels serving the US market are approximately 1.5-2.5 megavolt amperes
(MVA). The Project will include primary metering equipment, primary and secondary equipment in the new
pier, a transformer, 2-stage capacitor bank, connection sawtooth boxes and mobile CPD to support two
complete shore power systems at the Port of Seward passenger dock. Both sides of the dock will be shore -
powered, meaning that up to two vessels may be able to dock and use shore power at the same time (pending
vessel size).
Shore power systems have had successful implementations in locations across the country, including six years of
operations at the Port of Long Beach, 20 years in Juneau, and nearly 20 years at the Port of Seattle, which has
recently expanded to additional berths due to proven success.
The City of Seward will competitively bid this project and will follow the federal procurement policy in 2 CFR
200.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
:.EPA
United States
Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
In addition to the shore power infrastructure, the City of Seward intends to install a Battery Energy Storage
System (BESS) to supplement the existing utility grid. While the final location of the BESS system has not been
determined, it is expected to be placed somewhere between the new substation and the passenger dock. BESS
will enhance grid stability and energy management for the shore power system. The system will be modular,
initially consisting of eight (8) batteries providing 12MW storage capacity. This system will provide the capability
to collect and store electricity during lower demand periods to supplement energy needs during peak periods —
a process known as "peak shaving." The BESS will allow for
collection of electricity at times when demand and associated
distribution cost are lower, to be stored for use during higher
demand periods to supplement the existing grid production. The
availability of this stored electricity will allow vessels to continue
utilizing shore power during times when the existing electrical grid
may otherwise be unable to support continued power distribution,
thus increasing vessel ability to remain connected to shore power
as opposed to relying on diesel fuel. BESS systems for peak load
shaving adjustments have been tested and utilized in various
capacities throughout the world for nearly 20 years in building
construction and in the maritime industry. The National Electric
Code includes sections on energy storage systems and IEEE also has
a series of standards to be utilized when designing and
implementing BESS.2 BESS has been successfully utilized in the
European maritime industry, with the European Maritime Safety
Agency including step-by-step guidance on how to plan for and
include BESS in the use of shore -side electricity.'
Summary of equipment and
infrastructure to be purchased and
installed includes:
Two vessel shore power pedestals
115kV line extension; step-down
conversion from 230kV
One 11kV feeder circuit breaker and
one 6.6 kV feeder circuit breaker
Transmission line upgrades to support
shore power
Mobile Cable Positioning Device (CPD)
to enable connection to all vessel types
and sizes
The City of Seward will competitively bid the BESS and follow procurement policies from 2 CFR 200.
Meeting Program Goals and Objectives
Transition to ZE Operations and Reducing Mobile Source Pollution
The installation of vessel shore power and a BESS are two key steps in the Port of Seward's commitment to
being a green port, reducing GHG emissions and mobile source pollution in near -port communities while also
serving as a catalyst for transformational change across the industry. The Port of Seward has set a goal of 100%
shore power utilization. Overall, the Port of Seward's efforts to become a green port are a positive step toward a
more sustainable future for the region. By prioritizing environmentally friendly practices and committing to
reducing emissions, the Port is setting a strong example for other ports and industries to follow.
Meaningful Community Engagement
Seward is committed to meaningful community engagement as further detailed in Section 4.
2 Implementing Energy Storage for Peak -load Shifting I Cat 1 Caterpillar
https://www.emsa.europa.eu/component/flexicontent/download/7257/4799/23.html
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
6
:.EPA
United States
Environmental Protection
Agency
b. Partnerships and Collaboration
The City of Seward is collaborating with several other parties,
including Alaska Vocational Technical Center and the Seward
Company to implement the various aspects of this Project. The
Seward Company has committed to providing the required 10%
cost share to match anticipated grant funds!' The City of
Seward recognizes that they will be responsible for the 10%
match if the Seward Company commitment changes at any
point in time.
The City of Seward, as a local agency with jurisdiction over the
Port of Seward, is the eligible applicant for purposes of this
application. The City of Seward will be responsible for carrying
out the grant activities if this application is selected for funding
and Appendix B of the NOFO is not applicable.
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
To ensure partner performance
throughout the Project, the group
proposes a series of steps, including:
Ongoing project meetings, effective
planning with corresponding larger
port projects, clear lines of
communication between all parties
on the experienced project team; and
Regular monitoring of the
construction contract for the dock
replacement project.
For additional documentation, see the Letter of Commitment from the Seward Company
aewara electric
Seward Electric Utility is a municipally owned utility operated by the City of Seward and is responsible for power
distribution throughout the city, including to the Port. As a municipality owned utility, Seward electric is fully
committed to Project implementation and relevant staff members have been identified as part of the project
team and have provided input as to the feasibility and estimated requirements to support needs for this project
application. As part of the applicant organization, the optional Utility Coordination Document was not deemed
relevant for this particular project.
c. Coordination with Complementary Initiatives
Operated by five load -serving electric utilities, the Railbelt is the largest regional electric grid in Alaska,
stretching over 700 miles and serving approximately 75% of Alaska's population. As a municipally -owned electric
utility, the City of Seward serves 3,000 residential and commercial customers throughout the Seward area.
Seward has power generation ability but serves its customers through a power supply contract with Chugach
Electric Association (CEA). CEA is a member -owned cooperative that owns and operates generation,
transmission, and distribution of electricity within the region.
Since the electric utility is municipally owned, it does not generate income. The addition of shore power to
Seward's electric grid would further benefit the Seward community by bringing down the electricity rates
through economy of scale.
The current electric supply to the Railbelt is approximately 80% fossil fuel and 20% renewable (primarily
hydropower). Initiatives are in place to convert to 80% renewable energy statewide by 2040. In consultation
with utilities and Alaskan energy stakeholders, the Alaska Center for Energy and Power (ACEP) is exploring and
quantifying pathways to reducing the Railbelt's grid -based carbon emissions while also maintaining reliable and
affordable electricity for Alaskans.' ACEP is currently studying ways for the Railbelt electrical system to move
toward zero net carbon emissions by 2050; the first phase of the study focuses on technical and economic
See the Letter of Commitment that has been included in the application package for further details.
Railbelt Decarbonization I ACEP (uaf.edu)
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feasibility of various technologies. The study provided conceptual analysis of various decarbonization scenarios,
including identification of potential challenges and mitigation strategies as renewable energies are incorporated
into the system.
At a more local level, ARRC initiated the Seward Marine Terminal Expansion Planning Project also known as
RailportSeward) in 2015 to evaluate existing and anticipated long-term needs at the Seward Marine Terminal.
This effort involved three separate studies: Passenger Traffic, Freight Traffic, and Transportation Connectivity,
which were combined into a single Master Plan document, issued in 2017. The Master Plan' identified the need
to replace the aging passenger dock and construct a new passenger terminal building and associated facilities.
The passenger dock replacement plan includes a significant financial investment to replace the existing fixed
dock and terminal building with a new floating dock, passenger terminal facilities and upland improvements to
enhance operational efficiency and mitigate against the impacts of climate change to allow continued operation
well into the future. This project will construct a new, floating 100-foot-wide by 748-foot-long floating double -
berth pier which will be complemented by a 200-foot-long transfer span for passengers boarding and alighting.
The project also includes a new 68,500 square foot cruise terminal with 41,500 square feet of indoor space and
27,000 square feet of covered outdoor space to accommodate anticipated cruise passenger traffic for the next
50 years. The new terminal is designed with the most current technology to construct a new healthy, efficient
and cost -saving green building replacing the existing facility that is over 60 years old and originally constructed
as a freight warehouse. In tandem with this forward -looking dock replacement project, the City of Seward are
looking to install shore power capabilities at both berths to enhance environmental sustainability by significantly
reducing, and potentially eliminating vessel emissions while berthed.
The proposed grant Project will further modernize this new dock with electric shore power infrastructure to
support sustainable operations. The Port of Seward is also implementing other sustainable practices, such as the
Freight Dock expansion project, ARRC trains plugging into their own locomotive shore power system at the rail
depot for the eight (8) hours they are in Seward, promoting waste reduction and recycling, the use of
environmentally friendly cleaning products, and supporting local businesses that prioritize sustainability. The
Freight Dock replacement project (funded with a Port and Infrastructure Development Program grant) will
relieve both dock and port congestion, increase cargo transfer and storage efficiencies, reduce idle time for
vessels waiting to berth and load or unload, and reduce fuel consumption of vessels circling in the bay waiting
for a berth and by keeping more ships in Seward for long term services rather than forcing them to faraway
ports like Anchorage.
The transition to becoming a green port is not only important for the environment, but also for the community.
By reducing harmful emissions and promoting sustainability, the Port of Seward is helping to protect the health
and well-being of residents and visitors alike. Additionally, by taking a leadership role in sustainability, the Port is
positioning itself as a forward -thinking and responsible partner in the cruise industry. The Port is committed to
working with cruise lines to help them meet their own sustainability goals and reduce overall environmental
impact.
6 MASTER PLAN.pdf (alaskarailroad.com)
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d. Project Risk Mitigation
Any infrastructure project comes with potential risks. A description of those risks identified to date and potential
mitigation strategies are provided in Table 1.
Table 1: Anticipated Project Risks and Mitigation Strategies
Project Risks and Mitigation Strategies
Risk
(Category — Issue)
Technical — Technology /
System integration
Potential Impact (delay, interruption,
cost, effectiveness, etc.)
Emerging technologies and system
integration may pose challenges for
System integration
engineering
Mitigation Strategy
The shore power and BESS technologies that
Seward plans to utilize are currently in place
in other locations, providing available lessons
learned. A further mitigation strategy is to
hire an experienced contractor for project
implementation.
Technical — Technology
Availability
Financial — Funding sources
Certain zero emission equipment may
not be available in a timely manner,
or at all, from US manufacturers, thus
not meeting the BABA requirements.
The Project will require a combination
of federal and non-federal funding to
succeed. If one of the anticipated
funding sources falls through, the
Project will be delayed until
additional funding can be secured.
The EPA has released a temporary waiver to
cover some of the equipment. The
manufacturer of the mobile shore power unit
is included in this waiver. The manufacturer is
working to maintain BABA compliance, and
the Port is in regular contact to retain
awareness of the potential pending
equipment procurement.
The Seward Company has committed to
providing the non-federal cost -share for this
Project and will adhere to all grant
parameters.
Financial — Reasonableness of
Contractor Bids and Potential
Cost Overruns
As the use of federal funds will
require competitive bidding to
implement the Project, there is a risk
that no reasonable bids will be
received or that cost overruns will be
incurred during project
implementation.
Project parties have substantial experience
implementing federally funded projects and
have positive experiences on previous
projects. Robust project management
strategies and established best practices for
project implementation and monitoring of
spending minimize this risk.
Security — Cybersecurity and
Associated Threats
The implementation of any new
technology and system tracking or
reporting mechanisms carries a risk of
security breaches, both cyber and
physical, which can interrupt the
overall Project.
The Port has Facility security plan approved
by USCG and does not believe that there are
any significant risks to project
implementation.
Execution — Contractor
Availability
Construction and installation of shore
power technology requires a specific
skillset and qualified contractors who
A study of available resources has been
undertaken to identify available resources.
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Project Risks and Mitigation Strategies
Risk
(Category — Issue)
Potential Impact (delay, interruption,
cost, effectiveness, etc.)
Mitigation Strategy
may have limited availability and
potentially delay the Project.
Seward believes that qualified contractors
will be available to meet project timelines.
Organizational — Number of
Parties
The Project involves multiple
collaborating entities which may lead
to potential project delays or reduced
effectiveness of project execution.
The City of Seward and the ARRC, and have a
well -established working relationship, and
each have a vested interest in the success of
the Project and thus there are no anticipated
issues associated with the number of parties
involved in the Project.
e. Applicant Fleet and Infrastructure Description
Detailed information on the proposed infrastructure is included in the Supplemental Application Template that
has been submitted as part of this application.
Section 2 - Environmental Results —Outcomes, Outputs and Performance Measures
a. Expected Project Outputs and Outcomes
The outputs and outcomes of the Project, as well as proposed performance measures, are summarized in Table
2 below.
Table 2: Anticipated Outputs and Outcomes for Shore Power at Port of Seward
Anticipated Outputs and Outcomes
Activities
Installation of shore power
infrastructure for vessels
and
Outputs
Installation of shore power infrastructure at
the two berths on the new passenger dock.
The shore power system will provide power to
ships while they are docked, enabling their
fossil fuel engines / generators to be shut off
which in port.
Extension of 3000 feet of transmission wire to
connect shore power to the electrical grid.
Outcomes
Based on the current vessel mix and grid
composition, potential annual emission
reductions of:
• NOx: 57.4 Metric Tons (MT)
• PM2.5: 1.4 MT
• S02: 15.7 MT
• CO2: 1,435 MT
Estimated 80-100% utilization of shore
power annually of capable ships.
Installation of battery
energy storage system
Install modular battery backup system with 12
MW capacity to offset energy demand during
peak periods.
Utilize stored energy to offset costs of
electricity during peak periods and allow
ships to remain connected to shore power
during peak demand periods.
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Anticipated Outputs and Outcomes
Activities
Outputs
Outcomes
Community engagement
activities to ensure
meaningful participation
with respect to the design,
planning, and performance
of the Project
Goal of attendance of at least 25 local
residents and/or community -based
organizations participating in the design,
planning, and performance of the Project.
Hold a minimum of 10 outreach events to
provide information on the Project through a
variety of community member driven event
like Chamber of Commerce meeting. Will also
incorporate both seasonal and year-round
residents by holding events throughout the
year for continued discussion on the project
and sustainable tourism in the community.
Establishment of sustainable tourism
regular meetings to engage near -port
communities with regular project updates,
and increased capacity for port staff to
consider community perspectives in
decision -making.
Development of a workforce skilled in the
operation and maintenance of high -
voltage electrical equipment.
Inclusion of power metering
and usage reporting as part
of Project
Will enable the provision of power usage
reports (by vessel, charge event, ship
operator, etc.), including power usage, and
estimate of emissions saved.
Will provide a measurable way to track the
performance of the Project, including
projected emissions saving due to the
shore power.
Emission inventory
Conduct a local air quality study and complete
a baseline emissions inventory. I
Will provide a baseline measurement to
track the emissions reduction.
Progress reporting
Complete semi-annual progress reports and a
detailed final report.
Semi-annual progress reports will
document technical progress, a summary
of expenditures to date, and planned
activities for the following quarter.
The final report will include a detailed
description of project activities,
documentation of outputs and outcomes
achieved through the period of
performance, total project costs, and a
discussion of both successful strategies
and lessons learned to overcome similar
obstacles on future implementation of
similar projects.
b. Performance Measures and Plan
Seward will establish a project management plan to oversee implementation and coordinate among all parties
and subrecipients throughout the grant period of performance. This will include developing and confirming
timelines and milestones as well as implementation, tracking and monitoring plans for each aspect of the Project
- construction, emissions inventory, community engagement and workforce development activities.
Upon construction completion, Seward will quantify the reduction in emissions from the use of shore power
compared to the existing diesel consumption and associated greenhouse gas emissions. The Port of Seward will
monitor shore power usage to quantify and measure the emissions generated once the equipment has been
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installed compared to the existing conditions. To do so, they will track the usage of the shore power
infrastructure, including the electricity requirements, time connected per vessel, and potential additional
measures. This information will be compiled into a report summarizing key findings and any lessons learned
through the implementation process. Specific activities may include:
• Collecting data to detail the total number of vessels, average
duration (hours) connected, and shore power used per vessel.
• Documentation and quantification / estimation of gallons of diesel
or other fuel replaced by the usage of shore power.
• Data collection and quantification of the annual reduction in
emissions generated from vessels while connected to shore power,
including NOx, PM2.s, SO2, and CO2, measured in metric tons.
• Tracking of energy storage and usage of the BESS system.
All project parties will work
together to develop a final
evaluation plan and
documented procedures for
identifying the final outputs,
outcomes, and performance
measures upon project
implementation.
c. Timeline and Milestones
The preliminary estimated timeline and key milestones anticipated for the Project are shown in Figure 3. Note
that while the period of performance is anticipated to be four years from 2025 through 2029, ongoing
operations are expected to continue beyond this period and are illustratively shown.
Figure 3: Preliminary Proposed Quarterly Project Timeline and Milestones
Estimated Project Timeline and Milestones
2025
2026 2027 2028 2029 2030
12 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
Estimated Start Date
Community Engagement and Grant Management
Bidding/Procurement
Community Engagement Activities
Grant Management Activities
Shore Power Infrastructure
Bidding/Procurement
Installation
Operation
Battery Energy Storage System
• Bidding/Procurement
• Installation
• Operation
Emissions Inventory
• Bidding/Procurement
• Inventory Process
• Reporting
AVTEC Workforce Development Program
mai
d. Scrappage
As a shore power implementation project, no mobile equipment will be purchased and thus no existing
equipment qualifies for scrappage under the proposed criteria.
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Section 3 - Programmatic Capability and Past Performance
a. Past Performance and Reporting Requirements
The City of Seward successfully managed various projects that have received state or federal funding support,
including maintaining progress as anticipated in the schedule, and filing acceptable reports for each of the
programs in a timely manner. Table 3 below highlights several of these recent projects.
The City of Seward has a full-time accountant on staff to manage all grant reporting. There are currently several
grants in the reporting phase, and the City has strict oversight processes in place to oversee the expenditure of
awarded funds and to maintain compliance with all reporting requirements, including timeliness and
completeness. These procedures will be used to facilitate successful delivery of this Project. Additional
information regarding the expenditure of awarded funds is noted in Section 8.b.
Table 3: Past Performance
Project Title
Seward Harbor
G, K, L Dock
Replacement
Lowell Point Rd.
Debris Removal
& Emergency
Protective
Measures
Seward North
Harbor Launch
Ramp
Renovation
Assistance Assistance
Funding Agency Agreement Listing
Number Number
Project Description
Project
Status
Reporting
Status
SOA — Dept of
Transportation
& Public
Utilities
SOA Dept of
Military &
Veterans Affairs
— Div of
Homeland
Security &
Emergency
Management
Alaska Dept. of
Fish and Game
— Division of
Sports Fish
22-HG-002
4661-DR-
AK/PW#1
&2
COOP 20-
122
N/A
97.039
15.605
Project replaced aging
docks to remedy
safety and
environmental
concerns and improve
the economic viability
of the Seward Boat
Harbor.
Project provided
temporary road repair
to immediately lessen
threats to livelihood,
public health and
safety around Lowell
Point after a landslide.
Cooperatively
rehabilitating and
maintaining the north
boat launch facility in
Seward Harbor to
improve recreational
boating and sport
fishing access to
marine waters.
Successfully
Completed
Successfully
Completed
Successfully
Completed
Successfully
Completed
Successfully
Completed
Successfully
Completed
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Project Title
FY2020 CPV Tax
Shared Revenue
— State and Local
Fiscal Recovery
Funds (SLRF)
FY2021 CPV Tax
Shared Revenue
— State and Local
Fiscal Recovery
Funds (SLRF)
United States
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Funding Agency
Assistance Assistance
Agreement Listing
Number Number
Project Description
Project
Status
Reporting
Status
Kenai Peninsula
Borough —
Federal pass -
through
Kenai Peninsula
Borough —
Federal pass -
through
271.94910.
21CPV.430
11
271.94910.
22CPV.430
11
21.027
21.027
Replace aging and
deteriorating
transmission power
poles and related
support materials for
Nash Road electric
project.
Extended public water
and wastewater
utilities to currently
undeveloped
properties.
Successfully
Completed
Successfully
Completed
Successfully
Completed
Successfully
Completed
b. Staff Expertise
The Project will be administered and overseen by the following leads who understand the Port of Seward
operations and together have been a part of many projects of similar magnitude and scope in the region and
beyond. More information about the highly qualified team members can be found in the Project Team
Biographies attachment included with this application package.
Kat Sorensen
Organization: City of Seward Title:
City Manager
Prior Experience: Seward Chamber of
Commerce - Executive Director
As Seward's City Manager, Kat will provide oversight to the Project
and has in-depth knowledge of the City and Port's operations. She
holds a master's degree in public administration, and her experience
in a range of industries in Seward and beyond provide her with
extensive background knowledge of the needs and opportunities for
the City and Port, and a thorough understanding of how the Project
will benefit the community and economy.
Christy Terry
Organization: Alaska Railroad
Corporation Title: Vice President Real
Estate
Prior Experience: ARRC — former
Director of External Affairs, Seward Port
Manager, Seward Dock Operations
Manager
City of Seward — Mayor, Community
Development Director
Christy is an experienced management and rail professional who has
held many important and high -profile positions within the Alaska
Railroad Corporation and the community, including serving as the
City of Seward's Mayor from 2019-2022, and previously serving as
the Seward Port Manager and Dock Operations Manager in her
subsequent roles. She understands the Port operations, limitations,
and opportunities, and has led the development of this Project from
ideation to now and will take a hands-on approach to seeing the
Project through to construction completion and operation.
Brian Hickey
Organization: Regional Railbelt
Coordination Title: Executive Director
Prior Experience: Chugach Electric
Association - Chief Operating Officer
Brian is a proven executive leader that brings more than 40 years of
experience in electrical utility operations. He has a comprehensive
understanding of the energy sector and a track record of effectively
planning, operating, acquiring and integrating major utility assets,
fostering inter -agency collaboration, and propelling strategic growth.
He holds a bachelor's degree in electrical engineering from Montana
State University, a master's degree in global finance from Alaska
Pacific University, and a master's certificate in project management
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from ESI/George Washington University. Brian is a graduate of the
Robert Kabat school of electric cooperative management, and serves
on the board of Nuvision Federal Credit Union. He will oversee the
coordination and implementation of infrastructure connection to the
existing electrical grid.
Bryan Thrall
Organization: City of Seward Title:
Electric Department Foreman
Prior Experience: City of Seward
Lineman
Bryan is the Electric Department Foreman at the City of Seward. He
has 23 years of experience in the utility industry. In 2013, Bryan
returned to his hometown's electric utility with the skills he
developed working for different contractors throughout Alaska. He
took over as Foreman just two years later. By hard work and
professionalism, Bryan was able to build a solid reputation in the
community for himself and crew members. Bryan believes in
bringing added value to the position to best serve his community. As
the lineman foreman, he will be the primary technician working on
technical project implementation if grant funding is received.
Mickey Richardson
Organization: Seward Company
Title: CEO
Prior Experience: Huna Totem
Corporation VP of Creative
Development and Marketing Director
Mickey is the CEO and Co -Founder of Port of Tomorrow, LLC, owner
of the Seward Company. The Port of Tomorrow is a purpose-built
company facilitating cruise port development projects, including that
at the Port of Seward. Mickey is an experienced port and destination
developer, revolutionizing the construction and design for innovative
project delivery with a proven track record of delivering projects on
time and on budget. His additional skills in engineering, project
management and communications provide over 30 years of tried-
and-true experience.
Section 4— Environmental Justice and Disadvantaged Communities
The Port of Seward is located at 913 Port Avenue, Seward, AK 99664, which is entirely in the Kenai Peninsula
Borough. All activity associated with the proposed Project will take place in this location. The proposed Project is
to install shore power technology and associated infrastructure upgrades to operate the equipment.
a. Disadvantaged Communities: Nonattainment Areas
Based on EPA's definition of Nonattainment Areas for this program, containing ozone or PM2.5 nonattainment or
maintenance areas, the Project location does not qualify as a nonattainment area disadvantaged community.
b. Disadvantaged Communities: Areas with Air Toxics Concerns
Based on EPA's definition for this program, the Project location does not qualify as a disadvantaged community
with regards to air toxics concerns.
c. Community Engagement Prior to Application and During Project
Home to 75% of Alaska's population, the Railbelt region encompasses numerous federally recognized tribes and
disadvantaged and underserved communities. In fact, nearly 40% of Railbelt residents live in disadvantaged
communities or Alaska Native Village Statistical Areas — Alaska's equivalent of tribal lands. The region, including
over 200 federally recognized tribes, has a diverse social and economic composition. According to the 2010
census, Anchorage houses the three most culturally diverse census tracts in the United States, with the
Anchorage School District alone having 110 languages spoken. This diversity makes Seward and the Railbelt ideal
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for the federal government to demonstrate the extensive benefits of decarbonization, particularly for
indigenous peoples and those living in disadvantaged communities.
Community engagement is a regular part of Port operations, with extensive outreach efforts consistently
undertaken to keep the community apprised of projects and plans at the Port, which is a key economic driver in
the region. The city of Seward looks to constantly engage the local and extended community via an online
submission form on its website, as well as public testimony at any city council meeting. In addition, the Seward
Marine Terminal Master Plan process included extensive community involvement and engagement through
surveys, targeted emails, and on -site questionnaires, which continues as the Master Plan heads toward
implementation. These efforts initially sought to understand the challenges, deficiencies and concerns around
passenger movement and public transportation at the existing facilities. Outreach included individuals and
businesses, internal and external stakeholders, customers, elected officials, citizen planning commissions, and
many others. More than 60 stakeholder meetings were conducted to gather extensive information about site
use, facilities, and potential improvements. Community feedback was incorporated into the Master Plan and
continues to play an important role in the development and implementation of the passenger dock replacement
project. Recent and ongoing project specific engagement efforts include:
• May 7, 2024, outreach event which included discussions of the broader dock project and the installation
of shore power hosted by ARRC, the Seward Company/Ports of Tomorrow and Royal Caribbean Group.
o Radio interview for Seward Public Radio — aired twice and available on YouTube.
o Rotary Lunch — 32 attendees — attendees asked questions, provided feedback, and expressed support.
o Chamber of Commerce event — 43 attendees — comments, questions, businesses expressed support.
Attendees included the Railroad Port Manager, Dwayne Atwood, and the Assistant Port Manager,
Rhonda Crabill.
Planning and Zoning Commission presentation — televised live on YouTube and remains available
online. Strong support for the community to highlight the environmental benefits and sustainability of
the electric utility.
• Continued outreach events will include a Council tour, additional radio interview and port visit on July 11th
and 12tn
• Plan to return to Seward in September or October to continue updating the community on project
progress. During the summer most, if not all, of the community pivots to working long hours with tourism
support and event attendance is hard to obtain.
• In the interim, reports will be provided to the Port and Commerce Advisory Board (Advisory Board to
Seward Council), and this will continue throughout the Project. A new page will be added
to sewardcompany.com to highlight this aspect of the Project once the grant is approved.
The Project has extensive local and regional support and vocal support of many community organizations, as
documented in the Letters of Support included with this application package.
d. Long -Term Community Engagement
Seward is committed to continuing its well -established long-term engagement efforts with local communities of
all backgrounds. These efforts include collaboration with local residents and businesses to continue integration
with maritime activities and associated improvement efforts. There will be a variety of ways to engage including
public meetings and a call for input through an online forum.
Section 5 — Project Sustainability
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e. Baseline port mobile source inventory for greenhouse gases, PM2.5 and/or NO.
The City of Seward has not recently completed a baseline mobile source emissions inventory. However,
preliminary estimates of the existing vessel emissions and anticipated reduction after shore power
implementation were calculated and the City of Seward is committed to expanding upon this and
completing a baseline mobile source emissions inventory as part of project implementation.
As an initial step to gauging mobile source emissions, the Alaska Municipal League utilized the EPA's Shore
Power Emissions calculator to estimate anticipated emission reduction associated with the proposed
Project. The preliminary assessment utilized the vessel mix for the 2024 season combined with the existing
grid structure to generate an estimate of both existing emissions and anticipated emissions with shore
power. Based on the current cruise fleet and assumption that ships typically burn marine diesel oil (MDO)
while hoteling as opposed to bunker fuel, the 85 vessel calls in the 2024 season alone are expected to
generate 81.79 metric tons (MT) of NOx, 17.97 MT of SO2, 2.49MT of PM2.5 and 5,973 MT of CO2eq.
To conduct the baseline emissions inventory and provide associated reporting, the City of Seward will
complete a baseline mobile source inventory for greenhouse gases, fine particulate matter (PM2.5), and
Nitrogen Oxides (NOX). With this data, we will be able to inform the Seward community about the long-term
impacts and benefits of the Shore Power project.
f. Plan to reduce port mobile source emissions
Key to the plan for reducing mobile source emissions is the use of shore power for cruise vessels calling on the
Port of Seward. The Port has set a target of 100% utilization, which would lead to a significant reduction in
greenhouse gas emissions, both on an annual and cumulative basis. Assuming the same number of vessel calls
and electric grid energy mix, the first year of operations is expected reduce CO2 equivalent emissions by 1,435
metric tons. Alaska's governor has committed to 80% electric production from renewable energy by 2040. As
the local electrical grid is supplied by increasingly clean energy sources, overall greenhouse gas emissions will be
further reduced — the equivalent of 4,925 metric tons of CO2 per year.
Further, as noted in section 5.a., Seward is committed to conducting a baseline mobile source emissions
inventory.
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Section 6—Job Quality and Equitable Workforce Development
a. Supporting high quality jobs
The City of Seward is an equal opportunity employer that conducts recruitment and selection in an affirmative
manner to ensure open competition. The city prohibits discrimination based on race, age, disability, political
affiliation, religion, sex, color, pregnancy, marital status, veteran status, national origin, or any other
discriminatory factor prohibited by law.
Longshoremen who support cruise operations are some of the highest paid jobs in the City of Seward. Additional
jobs will be required to support operations at the new facility. It is preferred to have local resources connect and
disconnect cruise vessels to and from the shore power system. This will require at least one Union Electrician
with High Voltage Certification for each connection; it is expected that two to four positions will be available for
Alaskans to meet these needs. All Electricians installing, operating, or maintaining electric charging
infrastructure will be required to hold Electric Vehicle Infrastructure Program certification, or certification
through another program approved by the EPA in consultation with the Department of Labor and Department of
Transportation.
b. Expanding access to high -quality jobs, including for people in low-income and
disadvantaged near -port communities
Seward is committed to workforce development and providing access to high -quality jobs for all residents.
Building on existing relationships and the success of a previous program,' Seward plans to issue a subaward with
the Alaska Vocational Technical Center (AVTEC) to offer a new zero emissions technology course as part of its
Industrial Electricity program. Created in 1969 in response to emerging demand for a skilled workforce to meet
the needs after oil discovery, AVTEC has successfully provided training opportunities to Alaskans for over 50
years. AVTEC continues to respond to needs in Alaska's job and labor market by providing a unique model of
post -secondary workforce training to residents from across the state through affordable, applicable and
accelerated training designed to prepare Alaskans with relevant technical and professional skills, earn industry
valued credentials, and gain employment in less than one year. AVTEC has seen great success in serving diverse
population with more than 50% of students identifying as non -white and more than 90% of enrolled students
completing their training and over 90% finding employment in their field of study pot -training.
The existing program follows a hands-on curriculum that equips students to become proficient in understanding
power and controls, enabling them to work safely and efficiently in the electrical industry. The anticipated vision
will utilize grant funding to:
• Hire an instructional team for curriculum development and delivery design;
• Purchase zero -emissions equipment to be used for hands-on training; and
• Support approximately 1.5 years of program development and 3.5 years of training delivery which
includes:
o Development of a curriculum that includes classroom time to learn basics of electricity, electrical
systems, zero -emissions technology, and other necessary topics to develop a skilled workforce to
support a zero -emissions shore power system;
o Development of hands-on classroom training activities utilizing the same equipment installed on
anticipated jobsites; and
'Seward and AVTEC received a Department of Energy grant for the Seward Heat Loop Project which provided hands-on
training for Alaskans across the state to learn how to utilize the equipment.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
o Design of delivery models to provide full -term training for Alaskans who are new to the workforce, as
well as short, skill -specific trainings for those Alaskans who are currently employed and seeking to
upskill and grow their knowledge in zero emissions technology.
AVTEC is subject to the State of Alaska's Equal Employment Opportunity Program. While this does not, in and of
itself, result in equitable outcomes, the state has taken steps beyond a minimum of meeting nondiscrimination
and equal employment requirements. The state holds a broad concept of diversity, as "Valuing the diversity of a
workforce representative of all Alaskans enriches the quality of our service to the people of Alaska."'
Section 7 — Project Resilience to Climate Impacts
The Seward Company is planning to incorporate all shore power components on the proposed floating dock,
which is the central component of the Passenger Dock Replacement Project, expected to be complete in June
2026. Resilience benefits of the Project, and its inclusion on the floating dock, include:
Protected Against Sea Level Rise — By its inherent nature of being a floating dock and designed length of
the transfer span bridging the floating and fixed components, the dock and planned shore power
components will rise and fall with the tides, and any future sea level rises due to climate change. This will
effectively eliminate the risk of flooding or infrastructure obsolescence due to sea level rise. Further, the
shore power technology will be incorporated into the interior of the barge -style floating dock, protecting it
from wind and water damage. For maintenance and to extend the life of the barge platform, the float is
built in two sections specifically to be serviced in Seward's dry-dock facilities.
• Emergency Back-up Power - The Shore Power Project will be able to support Port infrastructure, and even
potentially the City of Seward, during emergency and natural disaster events due to the BESS. This is a
significant benefit of the Project, as the Port and the marine connection that it enables would provide a
critical connection to the region in the event of an emergency event / natural disaster.
• Safe Moorage —Together, the upgraded dock and associated shore power will provide a safe and reliable
location for vessels to moor that is protected from weather / ocean. This will improve port resiliency and
will be able to provide moorage for large ships (such as cruise ships), and the Navy and Coast Guard -
improving defense resilience.
Strategic Shore Power Component Placement - The shore power components will be strategically located
on the dock to reduce the probability and magnitude of impact from weather and tidal events, resulting in
improved resiliency compared to a fixed dock location for the shore power components.
Together these aspects will improve overall Port resiliency, both to emergency events, and to long term climate
change and sea level rise, enhancing the resilience of the Port and region overall to the effects of climate
change.
Section 8 — Budget
c. a. Budget Overview
The overview budget highlights several different aspects of the project — the installation of shore power at the
Port of Seward, the line extension and substation on the customer side necessary to power the shore power, a
battery energy storage system, project management and the workforce development with AVTEC.
8 https://doa.alaska.gov/dop/eeo
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
The City of Seward will comply with the federal procurement procedures of 2 CRF 200 for the entirety of the
project.
Personnel:
Personnel for this project includes three types — administration, lineman, and public affairs. Administration will
cover City of Seward administrative staff time, such as City Manager through the completion of the project. This
time will be used to coordinate, administer decisions, collaborate with contractors, subawards, and delegating
responsibilities across the project.
The Lineman position will be coordinating the construction and contractors. These are professionals with the
City of Seward Electric Department that can navigate the engineering side of the project from a City standpoint.
City of Seward Public Affairs will cover the staff time incurred for outreach and public engagement.
Fringe Benefits:
All of these personnel expenses also incur fringe benefits which include health insurance and retirement.
Supplies - Outreach Material:
Supplies for outreach and public engagement include website domain, design, and hosting, pamphlets and fliers,
mailers to the Seward community, room rentals for open houses, and other marketing materials deemed
necessary as the project continues. The City of Seward will be performing these activities in-house, rather than
through a contract, to insure the lowest costs.
Construction — 115kv and Line Extension:
Costs for the equipment, construction, and installation 115kV extension and substation is broken down in detail
in the construction budget. This portion of the project includes creating a line extension to a new substation, all
on the customer side, that would feed directly and solely to the Port of Seward. The costs include many of the
supplies and equipment needed for this, including the line terminal and cable, the circuit breakers and the
power transformer itself - See TABLE 5 for more details.
Construction — Shore Power and Handling System
The budget for procuring the shore power handling system and the battery energy storage system includes the
equipment necessary to provide power to the Port of Seward. It also includes the BESS system, which will be
made up of eight 1.5 MW BESS systems for a total of 12 MWs. See TABLE 6 for more details.
Design:
A major part of construction budgets include design.
The best practice in project design and management follows a staged approach known as Front -End Engineering
and Design (FEED), also referred to as Front -End Loading (FEL). The stages in this process are:
Conceptual Design: Establish the project's overall vision and feasibility.
Feasibility Review and Preliminary Design: Refine the concept and assess feasibility in greater detail.
Detailed Scope Definition and Final Design: Develop comprehensive designs and specifications.
The final stage produces documents that progress from being issued for review (IFR) to being issued for
construction (IFC). This process involves successive design and engineering refinement to minimize uncertainties
and prepare for execution.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
At this point, the project has progressed beyond stages (1) and (2). The budget allocated under the design
categories for both the shore power project and the 115 kV substation/line design will be used to perform stage
(3). This stage will generate detailed designs, engineer's estimates, and specifications sufficient to create bid
packages for procurement and construction.
Shipping and Fees:
A vital part of creating any project budget in Alaska is incorporating shipping and fees. All of the equipment
necessary to make this project happen will need to be shipped up to Alaska. This includes the eight BESS systems
and the transformers, so the City of Seward incorporated those fees into the project costs. For comparison, a
BESS system at Golden Valley Electric Association in Fairbanks, Alaska weighs a total of 1,500 tons. The shipping
costs include the higher end price to ship multiple, very heavy container from the Lower 48 to Alaska, as well as
to ship from Anchorage, Alaska to the City of Seward. The City of Seward has also included fees into this
category to cover permitting, construction and dig permits, right of way research, regulatory required
inspections, and handling fees for the equipment.
Project/Grant Management
The Project/Grant Management contract budget will provide comprehensive oversight and coordination for the
project, ensuring adherence to EPA guidelines, on -time delivery of milestones, and expenditure of funds.
Services covered under this contract will include: grant compliance, project oversight, stakeholder coordination,
and technical expertise.
The City of Seward has strong experience in grant financial reporting and management, and will work hand in
hand with this contractor to insure timeliness, efficiency, and adherence to any and all regulations.
Community Engagement:
The contractual budget for community engagement includes contracted time to plan and develop community
engagement events through the duration of this project. While we have both personnel and supplies budgeted
toward this as well, an additional contract will allow us to engage with professionals who will help the City of
Seward take complex electrical engineering terminology and explain it in layman's terms throughout each step
of the project through outreach material designs and copywriting.
Emissions Inventory:
This budget item will allow the City of Seward to conduct e a baseline emissions inventory. Following the
baseline emissions inventory marking the presence of greenhouse gases, particulates, and NOx.
Subaward: AVTEC Program
The budget for the AVTEC program will fund the costs for creating a workforce development program at the
local vocational school. This includes hiring instructors to create a instruction plan, creating the courses and
advertising the courses with the administrative team at AVTEC, as well as purchasing the necessary equipment
for students to have hands-on learning. See TABLE 7 for more details.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
„EPA United States
�► Environmental Protection
Agency
Table 4: Budget Table
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
Summary
1
Tatal Casts
EPA Casts
Non Fe-deral Casts
Budget Category
Personnel (by Job series)
# Hours
$ Rate/Hour
Administration (1109
910
$75.00
$68,250
$61,425
$6,825
Lineman (2810)
4000
$54.31
$217,240
$195,516
$21,724
Public Affairs (1035)
500
$75.00
$37,500
$33,750
$3,750
Total Personnel
$322,990
5290,691
$32,299.00
Fringe Benefits 20% of Personnel
Includes health insurance and retirement
Personnel (byjob series)
% of personnel
Administration (1109
20%
$13,650
$12,285
$1,365
Lineman (2810)
20%
$43,448
$39,103
$4,345
Public Affairs (1035)
20%
$7,500
$6,750
$750
Total Fringe
$64,598
$58,138
$6,460
Travel
$0
$0
$0.00
Travel
$0
$0
$0.00
Equipment
$0
$0
$0.00
Total Equipment
$0
$0
$0.00
Supplies
Outreach Material
$24,726
$22,253
$2,473
Total Supplies
$24,726
$22,253
$2,473
Contractual
Project/Grant Management
$791,348
$712,213
$79,135
Emissions Inventory
$500,000
$450,000
$50,000
Community Engagement
$125,000
$112,500
$12,500
Total Contractual
$1,416,348
$1,274,713
$141,635
Construction
115 kV Substation and Line Extension
515,560,912
$14,004,821
$1,556,091
Shore Power Handling System
S32,217,553
$28,995,798
$3,221,755
Total Construction
$47,778,465
$43,000,619
$4,777,846
Other
Subaward AVTEC Program
$1,206,251
$1,085,626
$120,625
Subtotal Other
$1,206,251
$1,085,626
$120,625
Total Direct Costs
$50,813,378
$45,712,040
$5,081,338
indirect (X% of Personnel t Fringe BenefftsJ
$0
$0
$0.00
Budget Summary
$50,813,378
$45,732,040
$5,081,338
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
EPAUnited States
�► Environmental Protection
Agency
Table 5: 115KV Substation/Line Budget
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
115 KV 5ubstation/Line
Services
Supervisory Control & Commis - systems and processi c that allow operators
to monitor, control, and manage electriml infrastructure remotely and
efficiently. These systems are critical for maintaining reliability, efficiency.
and safety in modern power systems.
102,400
Design
$ 2,100,000
Construction Management
$ 2,514,921
Shipping and fees
$ 1,200,000
( including construction, and dig permits, right of way research, regulatory
required inspections and handling Fees rill -the equipment]
Total ServPcps
$ 5,916,921
Supplies
Iota Supplies
$ -
Equ ipme nt
Line Terminal and Cable
$ 200,000
2_301-M A -Frame
$ 133,000
23Ok4+ Bus Support
3
$ 21380
$ 65,340
23Oku PT Support
3
$ 11,850
$ 14,55+0
Disconnects 230kv 3-ph
$ 23,BSO
2304:1+ Circuit Breaker
$ 195,000
15kV Circuit Breakers
2
$ 108,000
$ 216,000
Protection and Control Panels (transformer and line panels)
$ 600,7S0
Power Transformers- SS 23 MIA 115ktr to 12470 LTC Wm r
$ 1,127,13110
Foundations (terminal, transformer, breakers and switches]
$ 759,000
Arresters - protective devices used to safeguard electrical equipment a: d
systems from overvaltage conditions
$ 51,480
Conduits and Cables iRC3S & 6001f Cable, 1.514V E FR cable exit)
$ 192,5+00
Total EquipMent
5 4,218A70
Installation
Grounding- the installation of copper conductors in various configu rat ier.s
to ensure that the electrical system's waveforms are properly referenced
$ 335,000
115k11 line extension
$ 1,199,841
Installation of the Li5ku line
$ 2,035,620
Site Work - initial geotechnicl investigations, including core sampling and
surveying, as well as site erntiranmental evaluations. Then sites are prepared
for equipment installation.
$ 1,855,000
Total Installation
$ 5,425,521
Other
Total Other
$ -
Total Contract
15,560,912
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
„EPA United States
�► Environmental Protection
Agency
Table 6: Shore Power Handling System
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
Shore Power Handling System
Design
5 3,012,20
S;Apping+ Fees
S 1,BMX°
includvig fiansviriiun, and eig permits, right of way research
regulatory re g La d i ns pe c! i orti s a rid handling lees lot the
el*iprrienq
Total Services
5 C612.205
SuPPIlei
Total SuN. Ines
$ -
L
U'ili'y Meier
S 774_384
Transformers-2O111VA Capacity. duel voltage output
2
$ 1,5sB4O56
S 3,196..113
Cfro,nhreakers,ShitdieLand Feeders for 2benhs
2
$ 1,621,32E
5 3,64.3,454.
Capaeiter ler 2 berths - multifunction devices that can be used
to eerreerpoweriactor and support Iacal area,mlrage by
producing reactive power.
2
$ 130,634
S. 661,25E
Mobile CPDFirltanle control and protect device to monitor
changing levels'.
2
$ 933.234
5 1,666,ASS
Sawtaalh5 [used CO th waveforms and rnarrage,
analyze, and}or sratiiae power systems'
2
$ 228.3E4
5 4152.76E
PowerConnecta. end Cable to insure safe aril el#ienr.
deployment
$ 604,474
Closed Cirerlt TV and oammissianing for seeuriLX
S 11O 2E1
Battery Energy Storage Systems 1 5 MW
a
$ 1,21:17,004
5 9,503.0E0
Total Equipment
$ 21405.712
installation
install, testing, and commissioning
5 5,299.836
InstalllatIan of all equipment necessary for Shore Power, including the utility meter. transformers. capacitors,, and power
onnectlon deployment_ Folk wIng the installatIcin, there will be a systematic process of testing. uerifyingr and
documenting that all components of an electrical system are designed, Installed, and functioning as intended. it ensures
that the system meets protect specifications, safety requirements and performance expectations before tieing put Into
full operation.
Total Installation
$ 6,299,616
Other
Total Other
S -
Tatal Contract
S 32,217,553
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
Ar% Environmental Protection
Agency
Table 7: AVTEC Subaward Budget
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
AVTEC Subaward
Budget Category
Personnel (byjob series)
# Hogs
$ Rate?H❑ur
Iratru:t2rs[1in)
62LC
5E5
9
403,22g
Administration [1710)
62=r:.
552.
9
312,000
$
-
Total Personnel
$
715229
Frn ge Benefits X% of Personnel
I^=Lio :=lvL... •atif-rant 3, haalth banafita,.,vvr<ara= .-rp:Lb-rr:ipiart ap: fi:)
Per son n el (by job series)
%of personnel
Administration 11710)
1.355
5
L'C.,323
Total Fringe
5
S
40,323
Travel
Airplane
$
-
fylealsperdiem
5
-
L:dging
5
-
Fv1i1eage
5
-
Total Travel
$
-
Equi prnent
Classroomterhnol ydeployment
5
263,625
Total Equipment
$
263,625
Supplies
Total Supplies
$
-
Contractual
Total Contractual
$
-
Other
S
-
Total tither
S
-
Total Direct Casts
S
1,019,177
fatirert (X% of Personne(+Fringe Benefits)
$
187,375
Total Subawardl
$
1,206,251
d. Expenditure of Awarded Funds
The City of Seward utilizes a multi -layered reporting system to maintain the integrity of grant expenditures. All
expenditure needs must be submitted and approved at several levels through the existing financial process. The
City's six -person finance department maintains a keen eye on all expenditures and budgets them appropriately
through accounts payable. The City of Seward has received several Government Finance Officers Association
(GFOA) achievements, including a June 2023 Certificate for Achievement for financial reporting. This is the
highest level of recognition in governmental accounting for representing complete and transparent financial
reporting.
Upon notice of funding, the City of Seward will proceed with project implementation as preliminarily outlined in
Section 2.c and to be updated upon grant agreement.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
"EPA United States
•fir Environmental Protection
Agency
Office of Transportation and Air Quality
2024 CLEAN PORTS PROGRAM
May 2024
e. Reasonableness of Costs
The Project cost estimated was derived from engineering cost estimates on recent similar projects provided by
experts in the field of shore power, utility transmission, and battery energy storage systems.
The estimate for shore power equipment and installation is based on direct quotes from suppliers and
manufacturers based on the anticipated project needs and location. The estimate for the extension of the
transmission line from the existing utility infrastructure to the dock to supply electricity to the shore power
system was generated by the Seward Electric Utility. Each element included in the cost estimate directly
supports Project activities, including procurement and installation of shore power infrastructure and BESS,
emissions monitoring, grant management, and workforce training. The Project budget includes estimates to
meet BABA requirements and an additional 20% contingency to account for the potential risks associated with
shore power technology based on the current design status and anticipated Project timing.
The Project budget meets the Target Apportionment among cost categories as the expense related to the
purchase and installation of zero emission technologies, including shore power and BESS infrastructure, account
for approximately 94% of total Project cost.
PORT OF SEWARD VESSEL SHORE POWER IMPLEMENTATION
FY 2024 CLEAN PORTS PROGRAM
26
FOR IMMEDIATE RELEASE: October 29, 2024
Contact Information:
Kat Sorensen, City Manager
City of Seward, Alaska
(907) 362 1020
ksorensen@cityofseward.net
City of Seward Awarded $45.7 Million EPA Grant to Implement Shore
Power at Port of Seward
Seward, Alaska —Today, the Environmental Protection Agency (EPA) announced as part of its Clean
Ports Program that the City of Seward was awarded their full grant request of $45.7 million as a
public -private partnership to provide shore power for the new cruise port of Seward, Alaska,
allowing the community to take a huge step towards zero emissions.
The project, which brings together the City of Seward, The Seward Company, Royal Caribbean
Group, and the Alaska Railroad, will transform the Port of Seward into a green port by enabling
cruise vessels to connect to electrical power from the city's local grid instead of using diesel
generators while docked.
These upgrades include extending the electric transmission line to the port, adding switchgear, and
integrating a Battery Energy Storage System (BESS) to enhance energy management. This
investment is a significant step in Seward's ongoing efforts to balance economic growth with
sustainability and to address climate change by reducing mobile source emissions associated with
port operations. The local power company, Seward Electric Services, is owned by the City of
Seward and currently serves 3,000 customers in the Seward area.
"This will be the most advanced shore power system to ever be installed in Alaska," said Jason
Davis President of Turnagain Marine. "For a community this size, the system will constantly analyze
and store power, saving energy and money for the City of Seward, all while making it a better place
to visit and live."
Located at the head of Resurrection Bay on Alaska's Kenai Peninsula, Seward is home to Alaska's
only deep -water, ice -free port with road, rail, and air connectivity to the state's interior. The City of
Seward is a major hub for fishing, freight, and tourism, with the cruise industry playing a key role.
"The EPA Clean Ports Grant is a game -changer for us," said Seward City Manager Kat Sorensen. "It
allows the city to implement shore power technology that will drastically reduce emissions from
cruise ships in our coastal Alaska community."
"We are grateful for The Seward Company and Royal Caribbean Group, the port's anchor tenant
and long-time community partner," Sorensen continued. "The strong collaboration that our
community has with the Royal Caribbean Group has allowed this project to progress with an
intentional focus on our community's needs as it supports visitors to Seward for years to come.
City of Seward Awarded $45.7 Million EPA Grant to Implement Shore Power at Port of Seward
The Clean Ports grant will cover 90 percent of the $50.8 million project cost, aimed at installing
electric shore power technology and infrastructure upgrades, and significantly reducing
greenhouse gas emissions from cruise ships while berthed.
The remaining 10 percent in project funding is comprised through funding support and design
criteria, from the Seward Company. The Alaska Railroad is also supporting the initiative through
land access and assistance with the grant application. The total projected value will exceed $56
million once completed.
"Royal Caribbean made it easy to dream big. At today's price tag for infrastructure projects, new
ideas require long-term thinking and even more support through model public -private partnerships.
Without Royal Caribbean Group's commitment to shore power, receiving this EPA grant would not
be possible," said Mickey Richardson, CEO of the Port of Tomorrow and owner of the Seward
Company who is developing the New Cruise Port of Seward.
Within the grant, the Alaska Vocational Technical Center (AVTEC), based in Seward, will receive
funding to develop a training program to support the operations and anticipated maintenance for
the complete shore power system, including ship connections, computer control systems and
battery bank. Once installed, the opportunities for the City of Seward to leverage the battery system
and integrated power technology is only limited by the creativity of local students and the next
generation of utility operators.
"The Port of Seward's shore power project will place Seward among the forefront of sustainable
ports in North America. By reducing reliance on diesel generators, we are not only cutting emissions
but also enhancing the resilience of our local electric grid," Seward Mayor Sue McClure said.
The Port of Seward Vessel Shore Power Implementation Project is part of the city's broader effort to
promote sustainable development while fostering economic growth. The city looks forward to
seeing the positive impact this investment will have on both the environment and the community.
All the design elements and construction requirements for the shore power system have been
considered by the Seward Company and Turnagain Marine in the Port's plan development. The new
Cruise Port of Seward is scheduled to open in May of 2026, with the integrated shore power system
anticipated to be complete shortly after.
"The new Seward Passenger dock represents a generational investment in Alaska's marine
infrastructure — an investment that would not be possible without strong partners in Royal
Caribbean, the Seward Company, and the support of the City of Seward," said Bill O'Leary,
President and CEO of the Alaska Railroad Corporation. "We are delighted that this grant has
accelerated a greener future, as the new dock will serve Alaska for decades to come."
The U.S. Environmental Protection Agency announced the selection of 55 applicants across 27
states and territories to receive nearly $3 billion through EPA's Clean Ports Program. These grants
will support the deployment of zero -emission equipment, as well as infrastructure and climate and
air quality planning projects at ports across the country.