HomeMy WebLinkAboutRES2025-064 Loan for Seward Lagoon DisinfectionF
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Sponsored by: Sorensen
CITY OF SEWARD, ALASKA
RESOLUTION 2025-064
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ACCEPT A LOAN
FROM THE ALASKA DEPARTMENT OF ENVIRONMENTAL
CONSERVATION CLEAN WATER FUND FOR $665,600 WITH LOAN
FORGIVENESS OF $665,600 FOR PLANNING AND DESIGN OF LOWELL
POINT AND SMIC LAGOON EFFLUENT DISINFECTION
WHEREAS, the Alaska Department of Environmental Conservation (ADEC) has
mandated the City to install disinfection equipment at the Lowell Point and SMIC Lagoons; and
WHEREAS, the ADEC Clean Water Fund has loan funds available for the planning and
design of projects for effluent disinfection; and
WHEREAS, the City completed and submitted the required questionnaire for the ADEC
Clean Water Fund loans; and
WHEREAS, the submitted loan questionnaire was accepted and the City was offered a
$665,600 loan with loan forgiveness of $665,600; and
WHEREAS, utilizing the Clean Water Fund is an excellent opportunity to reduce the
capital cost liability for the lagoons at Lowell Point and SMIC.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Manager hereby confirms City of Seward commitments to the State of
Alaska Department of Environmental Conservation and its intent to fund $665,600 for the Lowell
Point and SMIC Lagoon disinfection effluent, with loan forgiveness of $665,600 subject to
receiving a loan from ADEC.
Section 2. The City Council hereby authorizes the City Manager to accept the loan grant
funding and enter into a loan grant agreement with ADEC for $665,600 with $665,600 loan
forgiveness.
Section 3. The City Manager is hereby authorized to execute any and all documents that
may be necessary to affect a $665,600 loan with $665,600 forgiveness from ADEC, with agreed
interest, terms, and repayment to ADEC Clean Water Fund, subject to annual appropriations,
including but not limited to an agreement for the loan processing fee, and a promissory note.
Section 4. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska this 14th
day of July 2025.
CITY OF SEWARD, ALASKA
RESOLUTION 2025-064
THE CITY OF SEWARD, ALASKA
uAW, cCSut ae
Sue McClure, Mayor
AYES: Warner, Barnwell, Wells, Crites, Finch, Osenga, McClure
NOES: None
ABSENT: None
ABSTAIN: None
Kris Peck
City Clerk
(City Seal)
City Council Agenda Statement
Meeting Date: July 14, 2025
To: City Council
Through: Kat Sorensen, City Manager
From: Doug Schoessler, Public Works Director
Subject: Resolution 2025-064: Authorizing the City Manager to Accept a Loan from
the Alaska Department of Environmental Conservation Clean Water Fund
for $665,600 with Loan Forgiveness of $665,600 for Planning and Design
of Lowell Point and SMIC Lagoon Effluent Disinfection
Background and justification:
The Alaska Department of Environmental Conservation (ADEC) has mandated the City to install
disinfection equipment at the Lowell Point and SMIC Lagoons. The project would include the
design and infrastructure necessary for either an Ultra -Violet (UV) system or a chlorination/de-
chlorination system.
The use of these improved technologies and practices will reduce the energy consumption required
by water quality projects. This project will also improve effluent discharges to Resurrection Bay.
To obtain funding, the City submitted a loan questionnaire to the State of ADEC's Clean Water
Fund (ACWF). The submitted loan questionnaire was accepted and the City was offered a
$665,600 loan with a forgiveness of $665,600.
Comprehensive and Strategic Plan Consistency Information
This legislation is consistent with (citation listed):
Comprehensive Plan: 13.2 Wastewater
Strategic Plan:
Other:
AK -DEC Wastewater Facility Permits
Total amount of funds listed in this legislation: $
This legislation (V):
Creates revenue in the amount of: $
Creates expenditure in the amount of: $
Creates a savings in the amount of: $
Has no fiscal impact
X
Funds are (✓):
Budgeted Line item(s):
Not budgeted
Not applicable
Affected Fund (✓):
General
Boat Harbor
Motor Pool
Available Fund Balance
SMIC
Parking
Other
Electric
Water
Wastewater
Healthcare
Note: amounts are unaudited
Acting Finance Director Signature:
X
Yes
Attorney Signature:
Not applicable Comments:
Administration Recommendation
X
Adopt Resolution
Other: