HomeMy WebLinkAbout02232026 Laydown_DRP_ARPA_DiscussionCouncil Discussion: DRP and ARPA Funds
$3,291,043 - The Current DRP Fund balance (Cash)
Portion of the DRP Fund Balance that is encumbered:
$133,817 – Resolution 2022-039 (Zimmerman Phase 2 – yet to be spent)
$1,837,886 - Resolution 2024-048 (Forest Acres Afognak Subdivision – Roads and
Electric)
$1,971,683.40 – Total of Encumbered Funds.
Available DRP Balance:
$3,291,043 - $1,971,683.40 = $1,319,360.
ARPA Fund Balance of $345,248.30 (Water and Sewer Use Only – must be spent by
June 30, 2026. Not reimbursable) *Hilltops portion of underbudget funds that were
ARPA.
Current Requests from the DRP:
Finalized Applications:
Mt. Alice Estates (Darling): Electric total cost of $83,883.08 (affecting 11 lots) –
requesting half, they will pay up front. ($41,941.50)
Lindquist: Unimak Circle Sewer Line $120,000 (affecting 4 lots) – city pays up front
Applications in Progress:
Nelson/Zimmerman: Roads and Electric: $423,537.25 (affecting 17 lots) – city pays up
front
2 other interested developers that could have applications in at the time of the work
session.
Total Encumbrance of DRP requests is $585,478.75 with $271,768.63 to be paid back.
If all were approved, the DRP Fund (unencumbered) would be $733,881.25
Consideration: Forest Acres Afognak Water Line with hydrants $400,000 (ARPA), would
require an additional $55,000 to be allocated from the DRP.
Work session Format Discussion
Documents Following:
DRP Application
DRP Criteria (Comp Plan)
Draft Evaluation
DEVELOPER REIMBURSEMENT PROGRAM (DRP)
APPLICATION INSTRUCTIONS
September 2025 Revision
The City of Seward permits the reimbursement of a developer for up to 50 percent of the costs of
extending public utilities to the developer’s undeveloped property in order to incentivize
installation of public utilities and property development within city boundaries. (SCC 5.22)
In order to be eligible for reimbursement, an applicant must complete this application and
comply with all requirements listed in the Seward City Code and any related policies. If the
applicant has had DRP funds approved previously, that project and all payments owed
back to the City must be completed before an additional application from the developer is
considered.
Upon completion, please submit this application to the City Clerk. Community Development
will review the application and you’ll be notified within 10 days whether or not it is complete. If
incomplete, you’ll be notified of the deficiencies. If complete, it will be put on file until a work
session with council is scheduled.
When sufficient funds are available, a City Council work session will be scheduled to review the
developers’ application(s) and provide the developer(s) with an opportunity to speak to their
project. After the work session, with input from council, resolutions for the projects
recommended for funding will be prepared and brought back within 3 meetings. A filing fee of
$374.50 must be paid for approved projects after the resolution is approved.
The developer must complete the project within a specific appropriate time frame. Once the
utility installation is complete, the developer will have 6 months to pay the city back before the
properties are assessed and interest is charged.
PLEASE BE AWARE THAT:
Applications are NOT considered on a first-come, first-serve basis. City Council will
ultimately determine priority of projects at one of their meetings after having reviewed
each application.
If using “Method 1” (see application), a person may only be eligible for reimbursement
AFTER the creation of a special improvement district under Seward City Code Chapter
5.22 and the assessment of installation costs under that chapter.
Criteria, requirements, or code may change between the time the original application is
submitted and when the application is reviewed. All code and requirements added in the
meantime must be adhered to by the developer.
If you have any questions about this application, please contact the Community Development
Director, Daniel Meuninck at 907-224-4048 or dmeuninck@cityofseward.net
APPLICABLE DEFINITIONS
For purposes of this application, the following terms, if used, have the following meanings and
parameters:
Person: extends and applies to bodies politic and corporate, and to partnerships and associations,
as well as to individuals.
Benefiting property: an area or zone which will directly benefit by a specific public utility
extension.
Cost of extension: the developer’s actual direct cost of constructing a public utility extension.
Developer:means a person who owns undeveloped land within the city.
Program Fund: a fund created expressly to fund the reimbursement and incentive program.
Public improvement: those improvements to or in connection with streets, sidewalks, parks,
playgrounds, buildings, sewer systems, water systems, harbor facilities and any other real
property or appurtenances thereof of the city used by the public.
Public utility: includes all common carriers in the public streets, water, sewage disposal, electric
light, central heating, gas, electric power, telephone and telegraph lines and systems, garbage
collection, garbage disposal and reduction plants, docks and such other and different enterprises
as the law or the council may determine to be or designated as public utilities.
Local improvement: those public improvements which are especially beneficial to the property
affected and shall further include the abatement of such unsafe, unsightly, unhealthful or
unsanitary conditions as the council shall determine to be a public nuisance.
Undeveloped land: tracts or parcels of land that are not part of an existing improvement district
and have no significant or substantial improvement, infrastructure, grading, or site development
related to residential, commercial, or industrial uses or outstanding building permits. The
provisions of this section specifically do not apply to tracts within the Seward Marine Industrial
Complex (SMIC).
City of Developer Reimbursement Application –2019 jw T:\Comm Dev\Community Development Folder\00 Applications\19 Developer Reimbursement Application\Develope
ReimbursementApplication Template.docx
DeveloperReimbursement
Program Application
Name of Applicant: ______
Legal Property Description: Seward, Alaska
Name of Improvement District:
I am registered with sam.gov
I have participated in the Developer Reimbursement Program previously
Installation Cost Details & Request for Reimbursement:
A.Please provide a statement of the properties owned and the total estimated cost of the
installation of the improvement to the developer.
B.Please submit an itemized report, with supporting documentation, of the estimated cost of the
extension to the developer.
Statement of Purpose & Disclosures:
A.Please provide a statement regarding the purpose and use of the property at issue and the
ways in which the use promotes the public interest and complies with the city
comprehensive plan.
B.Please disclose any outstanding liabilities owed to any public utilities, contractors or other
persons on or regarding the property at issue.
C.Please disclose any violations of safety, health or land use laws applying to the subject
property.
Reimbursement Method:
Method 1: City pays up front and property owner reimburses City (this method is only available to
those projects that will be a 50% reimbursement)
Method 2: Property owner pays up front and City reimburses property owner
Statement of Understanding:
Upon signing this application, the applicant acknowledges and agrees that City Council may reimburse all,
none or a portion of the pro-rated share of the improvements under Title 5 up to 50% of the installation costs
and the applicant accepts his, her, or its obligation to pay his, her, or its pro-rated share of those costs as
identified on the assessment roll. As Applicant, I certify or declare under penalty of perjury under the
laws of the State of Alaska that the foregoing is true and correct.
APPLICANT SIGNATURE: DATE:
r
FOR OFFICE USE ONLY
Clerk Received (date & Initials)Com Dev Confirm Completion __
Finance Review Date
City Council Meeting Date Approved / Not Approved
Finance amount reimbursement / acct #
DRP Evaluation Criteria Discussion
Related Comprehensive Plan
3.2.1 Promote residential and commercial development within the city of Seward and its
vicinity in accordance with community values
3.3.1 Encourage development of new housing in Seward
3.3.1.1 Support a range of housing choices that meet the needs of people in various
income and age groups
3.3.1.2 Create incentives to provide land for housing development within the City of
Seward
residential development.
Potential Evaluation Criteria:
Type of housing – single family, multi-family
Priority would be on the type of housing the city needs most at the time
/ Accessibility - sale/rental
More accessible rentals vs. high end rentals
Investment / housing unit cost ratio
Example
- $200k city investment for 8 housing units would be $25,000 / unit
-
Method 1 vs. Method 2
Method 1: Developer pays up front, and city reimburses determined percentage
Method 2: City pays up front, and developer reimburses determined percentage
Method 1 is preferable because it doesn’t encumber as much of the city’s money.
Developer / Project
Name:
Physical Location
Amount Requested
Method
Method 1 (Dev
pays up front)
Method 2 (City
pays up front)
Previous DRP
Participation Yes No
Parcels Zoned RR R1 R2 R3 AC
Number of Lots
Lot sizes
Notes
City Investment / Lot
Ratio
City Investment / Lot
ratio (see attached
history)
Very unfavorable
cost ratio range
Unfavorable cost
ratio range
Average cost ratio
range
Favorable cost
ratio range
Very favorable cost
ratio range
Notes
DRP Evaluation Rubric
Estimated Sale Price of
Lots
Affordability /
accessiblity
Project creates
unaffordable / not
accessible housing
opportunity
Project creates
somewhat
unaffordable / not
accessible housing
opportunity Average?
Project creates
somewhat
affordable /
accessible housing
opportunity
Project creates
affordable /
accessible housing
opportunity
Notes
Additional Criteria
Considerations (ex
greenspace, parks,
walkability)
Project Determination
Notes