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Home My WebLink AboutRES2026-047 DRP Application - SelaSponsored by: Sorensen CITY OF SEWARD, ALASKA RESOLUTION 2026-047 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING THE DEVELOPER REIMBURSEMENT PROGRAM APPLICATION SUBMITTED BY CHARLES "MICK" SELA FOR WATER AND SEWER EXTENSIONS TO BLOCK 9 LOTS 1-4 IN THE BAYVIEW ADDITION AND AUTHORIZING AN EXPENDITURE IN THE AMOUNT OF $129,550 AND APPROPRIATING FUNDS WHEREAS, on April 13, 2026, the City Council held a work session to review Developer Reimbursement Program (DRP) applications and directed administration to return with resolutions funding each applicant at 50 percent; and WHEREAS, the proposed improvements include extension of water and sewer mains along Caines Street, installation of a fire hydrant, asphalt replacement, surveying, and engineering necessary to provide utility service to the properties generally described in the title of this resolution; and WHEREAS, the improvements are intended to serve the properties generally described as Bayview Addition Block 9 Lots 1-4, which are anticipated to be developed for residential use as part of a future phase of development; and WHEREAS, the total estimated cost of the project is approximately $129,550, and the City will pay for the installation of public improvements upfront, utilizing Reimbursement Method 1, with the developer reimbursing 50 percent of those costs through the Developer Reimbursement Program; and WHEREAS, City Code Section 5.20.035 provides that the costs of an improvement shall include all actual costs associated with the construction and implementation of the improvements; and WHEREAS, Administration has determined that the proposed project is in the public's interest, is necessary, and will benefit the properties to be served; and WHEREAS, following completion of the project, actual costs will be calculated, and reimbursement will be administered in accordance with the Developer Reimbursement Program. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA: Section 1. The Developer Reimbursement Program project will include the properties generally described as BAYVIEW ADDITION BLOCK 9 LOTS 1-4 (LEGAL DESCRIPTION: SEWARD MERIDIAN SW 0000010 BAYVIEW ADDITION TO SEWARD TOWNSITE BLOCK 9 LOT 1, 2, 3, 4, BLK 9) CITY OF SEWARD, ALASKA RESOLUTION 2026-047 Page 2 of 3 Section 2. After full review by the City Council of all the facts and opinions presented, it is hereby determined that the proposed improvements are in the public's interest, are necessary, and will benefit the properties to be served. Section 3. The City Council hereby approves the Developer Reimbursement Program application submitted by Mick Sela for the project associated with the properties generally described as Bayview Addition Block 9 Lots 1-4. Section 4. The City Council hereby approves reimbursement of 50 percent of the costs related to the installation of public improvements and authorizes the City Manager to proceed with the design and construction of the project. Section 5. The City Manager is hereby authorized and directed to keep account of all costs associated with the improvements, including acquisition of interests in land, design, engineering, administration, overhead, professional services, bond or loan costs, and all other costs resulting from the construction of the improvements. Section 6. Funding in the amount of $129,550 is hereby appropriated from the Developer and Incentive and Reimbursement Fund (80071-0000-8101-0195), and other applicable funds as determined necessary, for the purpose of completing the improvements associated with this project. Section 7. Following completion of the project, actual costs will be calculated, and a subsequent resolution will establish final reimbursement or assessment terms in accordance with the Developer Reimbursement Program. Section 8. This resolution shall take effect immediately upon adoption. APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA THIS 11TH DAY OF MAY 2026. Sue McClure, Mayor CITY OF SEWARD, ALASKA RESOLUTION 2026-047 Page 3 of 3 AYES: Warner, Barnwell, Crites, Draper, Calhoon, McClure NOES: None ABSENT: Osenga ABSTAIN: None ATTEST: Kris Peck City Clerk City Council Agenda Statement Meeting Date: May 11, 2026 To: City Council Through: Kat Sorensen, City Manager From: Daniel Meuninck, Community Development Director Subject: Resolution 2026-047: Approving the Developer Reimbursement Program Application Submitted by Charles "Mick" Sela for Water and Sewer Extensions to Block 9 Lots 1-4 in the Bayview Addition and Authorizing an Expenditure in the Amount of $129,550 and Appropriating Funds Background and justification: On April 13, City Council held a work session to review Developer Reimbursement Program (DRP) applications. At that time, Council directed administration to return with resolutions funding each applicant at 50 percent. Administration has determined that the proposed project is in the public interest, is necessary, and will benefit the properties to be served. City Code Section 5.20.035 states that "the costs of an improvement shall be the actual costs of the improvement, including acquisition of interests in land for the improvement, design, engineering, administration, overhead, professional services, guarantee fund, bond costs and interest incurred as a result of the improvement, and all other costs resulting from the construction of the improvement." This development will provide water and sewer infrastructure for the properties generally described as Bayview Addition Block 9 Lots 1-4. The proposed improvements include installation of water and sewer mains along Caines Street, installation of a fire hydrant, asphalt replacement, surveying, and engineering necessary to provide utility service to the properties. Extension of water and sewer infrastructure will support housing development and improve access to City utilities in the surrounding area. The total estimated cost of the project is approximately $129,550. The City will pay for the installation of public improvements upfront, utilizing Reimbursement Method 1, and the developer will reimburse the City for 50 percent of those costs in accordance with the Developer Reimbursement Program. Following completion of the project, actual costs will be finalized. A subsequent resolution will be brought forward to Council to establish final reimbursement terms in accordance with the Developer Reimbursement Program. All utility installations are subject to the Development's Subdivision Agreement and all applicable codes and permits. Comprehensive and Strategic Plan Consistency Information This legislation is consistent with (citation listed): Comprehensive Plan: 3.3.1: 3.3.1.1, 3.3.1.2., 3.3.1.3 Strategic Plan: Other: Total amount of funds listed in this legislation: This legislation (✓): Creates revenue in the amount of: Creates expenditure in the amount of: Creates a savings in the amount of: X Has no fiscal impact Funds are (✓): Budgeted Line item(s): 80071-0000-8101-0195 X $ 129,550 $ 129,550 Not budgeted Not applicable Fund Balance Information Affected Fund (✓): General Boat Harbor Motor Pool X SMIC Parking Other Net Position as of 04/30/2026 Electric Water DRP FUND Yes Attorney Signature: X Not applicable Comments: Wastewater Healthcare Note: amounts are unaudited $ 3,417,807 Finance Director Signature: Attorney Review Administration Recommendation X Adopt Resolution Other: