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Home My WebLink About05112026 City Council Laydown - ReiersonCitizen Comments Laydown Skip Reierson 5/11/26 CC Meeting 5/11/26 CC Laydown 1 of 2 City of Seward 5/8/26 Central Treasury Report (CTR) - Electric Funds Analysis A. CTR BEFORE: ELECTRIC FUND BALANCES per 12/31/25 Central Treasurey Report (current format): Electric Electric MRRF 15000 15001 $ 2,897,973 $ 1,203,755 Electric T-Line 15310 Electric-Transformers(Infra Proj) 15340 $ 25,339 Electric Nash Road Infrast Proj 22' 15351 $ 17,271 Port of Tomorrow -EPA Grant 15360 $ 1,000 B. CTR AFTER: ELECTRIC FUND BALANCES per 12/31/25 AFTER Fund Appropriations (proposed format): ** predicated on unknown 2025 project spend -down Electric 15000 (after appropriation transfers per Council) $ (10,267,902) Electric MRRF 15001 Nash Road Phase 2 , Infra-Proj Aug-25 2025-077 & 2025-089 Nash Road Phase 2 (Sturgeon & Pacific) $ 2,294,085 Spring Creek Substation, Infra-Proj Nov-25 2025-104Spring Creek Substation, incl30% $ 5,381,452 Lawing Substation, Infr-proj Dec-25 2025-118 LawingSubstation $ 5,200,000 Mile 3 - Lean to Shelter Aug-25 2025-079 Lean To Shelter $ 251,064 Mt Marathon Hydro Nov-25 2025-110 Mt Marathon Hydro (excl $125,000 2025 $ 400,000 expenditures and City Labor for the 2025 Work & 2026 AMI Meter Project Dec-25 2025-119 NEW City-wide AMI Meters (excl 2025 $50k Util- Assist Consulting expenditures and meter Installation Labor) Electric-Transformers(Infra Proj) 15340 $ 25,339 Electric Nash Road Infrast Proj 22' 15351 $ 17,271 Port of Tomorrow -EPA Grant 15360 $ 1,000 $ 843,028 IC. 2026 Project Fund Appropriations for -info -only AccountingSyftware Project Apr-25 ** Total $388,112, excl $64kSupport) Jan-26 (add to Accounting Software Project) Jan-26 Rate Study Project Nash Road Easment Project Godwin Hydro Study Project 2025-031Convert Acctg Sys 2026-003 Accounting Software - $36.656 Set up cost - $268,936 (excl Annual Support $63,746) 2026-004 Acctg Sys Convert , part 1 of 2 45,000 305,592 $ 37,520 2026-004 Rate Study, part 2 of 2 $ 20,600 Mar-26 2026-023 Nash Road Survey & Easement $ 260,000 Mar-26 2026-027 Godwin Hydro Permitting (excludes 2025 consuling $ 60,000 expenses) Total2026 MAJOR Appropriations: $ 728,712 ** Numbers are Unaudited, per City's reports, and spend -down of apprpropriations is unknown for each. 5/11/26 CC Laydown 2 of 2 2024-016 Mar-24 2024-021 Mar-24 City of Seward Electric Dept Resolutions 24-26 Elect Power Sys (EPS) MEA(Mar-24thru 12/31/25) Ft Ray - Recloser Mngt Agree - 2 managers 95% Accuracy Version 2 $ 33,855 $ 850,000 2024-031 Jun-24 2024-032 Jun-24 Anixter Gweneral Pacific Annual Supplies Local Transformers Inventory $ 246,061 $ 87,311 2024-038 2024-043 2024-067 2024-068 2024-071 Jul-24 Aug-24 Nov-24 Nov-24 Dec-24 2025-006 Jan-25 2025-031 Apr-25 2025-032 Apr-25 2025-037 Apr-25 2025-044 Apr-25 2025-045 Apr-25 2025-047 May-25 2025-050 May-25 2025-054 Jun-25 2025-055 Jun-25 2025-061 Jul-25 2025-062 Jul-25 2025-063 Jul-25 2025-066 Jul-25 2025-077 Aug-25 2025-078 Aug-25 2025-079 Aug-25 2025-088 Sep-25 2025-089 Sep-25 2025-091 Sep-25 2025-103 Oct-25 2025-104 Nov-25 2025-106 Oct-25 2025-109 Nov-25 2025-110 Nov-25 2025-111 Nov-25 2025-118 Dec-25 2025-119 Dec-25 2025-120 Dec-25 EPS Overstory Sourcewell Fleet Marine Systems Inc Alaska Tree Sourcewell Fleet Utility Acctg & Rate, Hissom Overstory City of Seward KPFF Engineering Toyota Forklift Anixter ESRI Small Gov GIS Alaska Remote Imagining EPS Cruise Power Elec Power Const Alaska Tree Anixter Sturgeon Elect Sturgeon Electric Southern States, LLC KC Construction, ANCH Soldotna Sea & Ski General Pacific RTO membership EPC-Lawing (DELETED) SELEngineering& Northern Power General Pacific City of Seward City of Seward M EA Elect Power Contr (EPC) Landis+GYR (excl install??) National Metering, no RES Req 2/13/25 Alaska Drone 2026-003 Jan-26 2026-004 Jan-26 2026-016 Feb-26 2026-023 Mar-26 2026-026 Mar-26 2026-027 Mar-26 2026-036 Apr-26 2026-037 Apr-26 Prof Comp Sys (PCS) (repalce NorthStar and Fishbowl) Utility Acctg & Rates Spec. (no Agen Sourcewell Fleet CRW Engineering &AK Surveys City of Seward RESPEC Compant General Pacific KPFF Engineering (now $702,936) Infrastructure Appropriations Operating Budgeted Appropriations (estimate) Cruise Power Appropriations (estimate) Ft Ray Infra Upgrades Vegitation Software New Meter Reader Vehicle Ft Ray Generator Inspections Tree Clearing Dist&Trans Pickup OPS (motor pool) Convert Acctg Sys 2-yr Support Hire New Position Cruise Ship Engineering Warehouse Forklift SC Switch Cabinet 3-yr License, GIS Upgrade GIS System Cruise Engineering Ft Ray Fuel Meters Addt'ltree clearing 3rd Ave Street lites Rental of Boring Machine Nash Road Phase 2 Transrupter Switch, backup Lean To Shelter 2 Can -Am 4-wheelers Nash Road Phase 2 Materials Annual Cost for Member 17% Cost NTE $5.2mm Spring Creek Substation, incl.30% Cruise Power-Conducter NEW Lineman Position Mt Marathon Hydro (started SEPT) 2 Manager Contract 27'-28' LawingSubstation NEW City-wide AMI Meters Large Meter Audit (83) Drone $ 127,434 $ 50,000 $ 30,710 $ 37,218 $ 600,000 $ 2,062,589 $ 50,900 $ 45,000 $ 107,625 $ 90,000 $ 418,000 $ 44,000 $ 46,300 $ 35,700 $ 226,442 $ 1,830,436 $ 169,432 $ 400,000 $ 43,819 $ 144,918 $ 2,150,953 $ 39,265 $ 251,064 $ 38,840 $ 143,132 $ 5,381,452 $ 34,461 400,000 950,000 5,200,000 843,028 40,705 15,546 19,141,018 Accounting Software - $36.656 $ 305,592 Set up cost - $268,936 (excl Annual Support $63,746) Rate Study- $20,600 $ 64,032 Acctg Sys Convert - $37,520 New ShopVan(MotorPool) $ 80,000 Nash Road Survey & Easement $ 260,000 Support for Godwin Hyro Electric Godwin Hydro Permitting $ 60,000 Annual Supplies Order $ 297,413 AMEND #1- Expand Scope, CRUISE $ 284,995 $ 1,352,032 5/11/26 Citizen Testimony to Council (refer to 2 attached laydowns) Good evening Council, Administration and fellow citizens, my name is Skip Reierson and I live inside city limits. I am here today to bring to your attention three finance related matters for your consideration: First as seen in my first laydown, I am recommending Council adopting the Fund Accounting Format in Section B, which is in keeping with Administrations Best Practices for Transparency, and which we currently use in other funds such as DRP and Capital Acquisitions. By setting up Fund Accounts for the Approved Major Projects listed, everyone we will all be able to see the financial status of each project, as well as the balance in the electric enterprise fund that can be spent. Second, given the $19mm of appropriations in the 2' laydown for 2025, I would like to propose that until a decision is made on the future of our electric utility, that all non- budgeted/non-essential electric expenditures be ceased or curtailed, as I believe expenditures like the new Accounting Software for $400,000 was unnecessary and not an urgent priority, as we have AccuFund in place, and all that seemed necessary for the short-term was for electric to work with finance to reinstate the Work Order system that our city has effectively used for decades. Further, it is my opinion that if we sell our utility to another railbelt utility, it is highly doubtful that they will compensate us for assets like this, as they no doubt will be using their own accounting & work order software. Third, and let me be perfectly clear that what I am about to say has nothing to do with our dedicated and highly skilled IBEW electric staff, but rather is intended for our Administration and electric managers. You see, since 2023 I could not help but notice that the Total Electric Salaries have been over budget by as much as 50% or more, but I never could understand why. Then recently I became aware that the Mt Marathon Hydro project for 2025 where we spent $125,000 for materials, did not included any city labor, and neither did the resolution you passed for $400,000 for 2026 work. Then I wondered if this was also the case for other city projects like the Infrastructure and Cruise Power projects. If we are not tracking and Capitalizing Labor costs and adding these to the materials costs to reflect the proper Book Value, this could be a serious problem. I don't have enough time to go into details tonite on the impact this could have on our finances, but I am recommending Council consider commissioning our auditors to look into this matter for at least 2025 and report back with their finding, as I am also concerned about the potential impact on the Rate Study results we are about to undertake. Thank you for your time and consideration of these matters.