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HomeMy WebLinkAboutRES2025-124 Adjusted Loan for LagoonsSponsored by:Sorensen CITY OF SEWARD,ALASKA RESOLUTION 2025-124 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,REPEALING RESOLUTION 2025-064 AND AUTHORIZING THE CITY MANAGER TO ACCEPT AN ADJUSTED LOAN AMOUNT FROM THE ALASKA DEPARTMENT OF ENVIRONMENTAL CONSERVATION CLEAN WATER FUND FOR $740,000 WITH LOAN FORGIVENESS OF $740,000 FOR PLANNING AND DESIGN OF LOWELL POINT AND SMIC LAGOON EFFLUENT DISINFECTION AND COMPLETING AND IMPLEMENTING A REQUIRED WASTEWATER/WATER UTILITY RATE STUDY 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 originally offered a $665,600 loan with a forgiveness of$665,600;and WHEREAS,after reviewing the City loan documents,the DEC Clean Water Fund increased the loan amount to $740,000 with loan forgiveness of $740,000,and required a Wastewater/Water Utility Rate Study to be completed;and WHEREAS,the Alaska Department of Environmental Conservation (ADEC)has mandated the City 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 ofprojects for effluent disinfection;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.City Council hereby repeals Resolution 2025-064. Section 2.The City Manager hereby confirms City of Seward commitments to the State of Alaska Department of Environmental Conservation and its intent to fund $740,000 for the Lowell Point and SMIC Lagoon disinfection effluent,with loan forgiveness of $740,000 subject to receiving a loan from ADEC. Section 3.The City Council hereby authorizes the City Manager to accept the loan grant funding and enter into a loan grant agreement with ADEC for $740,000 with $740,000 loan forgiveness. CITY OF SEWARD,ALASKA RESOLUTION 2025-124 Section 4.The City Manager is hereby authorized to execute any and all documents that may be necessary to affect a $740,000 loan with $740,000 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 5.This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward,Alaska this 1 5th day of December 2025. THE CITY OF SEWARD,ALASKA Sue McClure,Mayor [] AYES: NOES: ABSENT: ABSTAIN: ATTEST: Kris Peck City Clerk (City Barnwell,Calhoon,Crites,Osenga,Draper,Warner,McClure None None None U U