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CITY OF SEWARD, ALASKA
RESOLUTION No.7') -. 3 2
A RESOLUTION RELATING TO AN AMENDMENT TO
THE ICY CAPE NO. 1.TUlBER SALE PERMITTING EXPORTATION
OF ROUND LOGS
WHEREAS, the Alaska Department of Natural Resources let a timber sale
contract in Icy Cape in 1969 which specifically prohibited the exportation of
round logs as a marketable commodity; and
WHEREAS, as a result of state policy requ1r1ng pr1mary manufacture of
timber in the state, several sawmills in Alaska have established sawmill operations
suitable for primary manufacture of timber; and
WHEREAS, people who work in the sawmills are permanent members of their
communities, and the sawmills are an integral part of the economies of the commun-
ities in which they are located; and
WHEREAS, in January 1979 the state amended the Icy Cape No.1 timber
sale contract, waiving the requirement of primary manufacture of logs in the
state contrary to its stated policy; and
WHEREAS, Kenai Lumber Company operates a sawmill in Seward; and
WHEREAS, waiving the primary manufacture requirements for timber, coupled
with the lack of new federal and state timber sales, places Kenai Lumber Company
1n a position of facing closure in early 1980 due to the lack of operating logs;
and
WHEREAS, a closure of the mill will mean the loss of 40 jobs which will
significantly impact the economy of Seward; and
WHEREAS, the Department of Natural Resources has responded negatively to
Kenai Lumber Company's request for a negotiated timber sale pursuant to AS38.05.
118; and
WHEREAS, little encouragement has been given by the Department of Natural
Resources that competative state timber sales would be offered in time to meet the
needs of Kenai Lumber Company; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, that the amendment which waived primary manufacture in the Icy Cape No.1
timber sale is not in the best interests of the state and its citizens; and
BE IT FURTHER RESOLVED that round logs from the Icy Cape timber sale
contract continue to be made available under the timber sale contract to those
sawmills in the state which are capable and willing to process those logs into
lumber to provide local employment as well as building materials for the Alaska
market; and
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BE IT FURTHER RESOLVED that the amendment wa~v~ng primary manufacture
of timber ~n the state be repealed by the Department of Natural Resources.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,
this 13th day of July, 1979.
CITY OF SEWARD, ALASKA
AYES:
NOES:
ABSENT:
CAMPBELL, GILLESPIE, LEER, SORIANO AND SWARTZ
NONE
HUGLI AND POTTS
ATTEST:
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'-''-_ ~, ,. )Ul(;' / c..-~)G'YLCtL~
JoA ne E. Shanley r
City Clerk
APPROVED AS TO FORM:
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CRANSTON, WALTERS, DAHL & JARRELL
Attorneys for the City of Seward, Alaska
(Ci ty Seal)
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Ranald H. Jarre