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HomeMy WebLinkAboutRes1991-068 . . . sponsored by: Schaefermever CITY OF SEWARD, ALASKA RESOLUTION NO. 91-068 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AMENDING THE CITY OF SEWARD GENERAL TERMINAL TARIFF NO. 1 WHEREAS, the ci ty of Seward has adopted General Terminal Tariff No. 1 providing the rules, charges and regulations for the city of Seward's docks and terminal facilities; and WHEREAS, the City of Seward has amended the General Terminal Tariff No. 1 by Amendment No. 1 approved by Resolution 90-031 of the city Council of the City of Seward; and WHEREAS, Subsection 205(e) (2) of the Tariff provides for discount rates based on written agreements approved by the City council; and WHEREAS, by Resolution 90-010 the city of Seward approved a prepayment agreement with Chugach Forest Products, Inc., ("Chu- gach") in accordance with the provisions of the General Terminal Tariff which agreement expired by its own terms on December 31, 1990; and WHEREAS, commencing with shipping operations on January 1, 1991, the rates and conditions governing Chugach's operations at the Seward Marine Industrial Center were subject to the general rates set forth in Subsection 205 (e) and including the payment provisions in Subsection 120 including the requirement of cash deposits in advance for vessels utilizing harbor facilities; and WHEREAS, the standard provisions of the tariff (including the prepayment deposits required in Subsection 120) have been continued in use to the present time; and WHEREAS, on March 11, 1991, Chugach and related corporations filed for relief under Chapter XI of the U.S. Bankruptcy Code; and WHEREAS, Chugach is in the process of formulating a reorgani- zation plan to submit to the bankruptcy court for approval; and WHEREAS, continued operation and ultimate financial success of Chugach is important to the public interest in the City of Seward for the reasons set forth in Resolution 88-007 in that chugach has made a substantial investment in the economy of Seward and has provided substantial employment for local residents; and -1- . . . CITY OF SEWARD, ALASKA RESOLUTION NO. 91-068 WHEREAS, it is in the public interest for the City of Seward to extend new credit to Chugach on a short-term basis in order to facilitate the reorganization efforts of chugach and ultimate continued operation of a major industry in the community; and WHEREAS, the city council of the city of Seward wishes to express its support on a continuing basis for the reorganization of Chugach in such a way as to assure continued operation in Seward and ultimate financial success of the corporation; and WHEREAS, Chugach has requested extension of new credit for shipments of logs across the city of Seward dock at the Seward Marine Industrial Center; and WHEREAS, the city and chugach have negotiated an agreement encompassing the terms of those concessions in the form of the payment agreement attached to this resolution as Exhibit A; and WHEREAS, Chugach has requested extended free time for the lay- down of cargo to increase its operating efficiencies and it is in the public interest to accommodate those requests; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. Subsection 205(e) of the City of Seward General Tariff No. 1 filed February 1, 1990, as amended is further amended as set forth in the attached Exhibit A. section 2. The standard form pre-payment agreement referenced in Subsection 205(e)(2) and attached to the tariff is amended as set forth in the attached Exhibit B, Payment Agreement. Section 3. Subsection 210(b) is amended as set forth in the attached Exhibit C. Section 4. These changes shall be effective only after filing with the Federal Maritime Commission. PASSED AND APPROVED by the City council of the city of Seward, Alaska, this 10th day of June, 1991. THE CITY OF SEWARD, ALASKA o~z~ David L. Hilton, Mayor -2- . CITY OF SEWARD, ALASKA RESOLUTION NO. 91-068 AYES: NOES: ABSENT: ABSTAIN: ATTEST: Burgess, Hilton, Krasnansky, Meehan, Sieminski & Simutis None Dunham None APPROVED AS TO FORM: Perkins coie, Attorneys for the city of Seward, Alaska . . (City Seal) ~N~ Fred B. Arvidson city Attorney -3- . . . CITY OF SEWARD GENERAL TARIFF NO, 1 Original Page 31 WHARFAGE (CONTINUED) (e) SCHEDULE OF RATES: 1) Standard Rates Except as otherwise specifically provided, rates are in cents per ton of 2000 lbs. or per 40 cu. ft. COMMODITY WHARFAGE RATE Freight N,O,S. Scrap (iron, steel) Raw fish not to be processed within the city limits of Seward $ 2.06 2.06 30.00 Poles, logs, cants, or cut finished lumber 2.06 Petroleum products (inbound) (per barrel) Petroleum products (out- bound) (per barrel) .17 .24 Petroleum products--Gaso1ine (per gallon) .01 Plastic material 4.12 Explosives 25.00 Vans or containers (net contents weight) Vehicles (gross vehicle weight) 2.00 5.00 " ISSUED: '\\ \ \,FFECT I VE : Subsection 205 Exhibit -4 Pog. I of :l- -- . . . CITY OF SEWARD GENERAL TARIFF NO. 1 Original Page 32 Subsection WHARFAGE (CONTINUED) 205 2) Discount Rates Based on Written Agreements Upon a finding that an agreement is in the public interest and approval by the City Council of the City of Seward a written payment agreement in the form attached to this Tariff may be obtained. The discounted rate shall be as follows: Timber and timber products $1. 75 ISSUED: EFFECTIVE: Exhibit Pog. ,1,ot ;L -- . . . PAYMENT AGREEMENT This Agreement is made and entered into this ____ day of , 1991, by and between the City of Seward, Alaska, a municipal corporation located in the Kenai Peninsula Borough, State of Alaska ("City"), and , a A. Payment: Use Rate. City agrees to charge the discount wharfage rate of ONE DOLLAR SEVENTY FIVE CENTS ($1,75) per ton as invoiced by City for all timber and timber products, loaded, unloaded or transported by to or from vessels using the North Dock. Payment shall be made within thirty days of invoice date. B, ~ult in Payments. If fails to make any required payment to City within 30 days of the invoice date, or if fails to make any payment to the City on the due date including taxes, utility payments or other fees and charges due the City, or if fails to pre-pay an estimate of the cost of damages to the North Dock, or to comply with any other provision of the tariff or Terminal Use Permit, then after notice shall no longer be entitled to the benefit of the discount rate provided herein, and shall pay all wharfage at the standard rate as set forth in the tariff. C, Term of Agreement. The original term of this Agreement shall expire ; provided, however, that it shall automatically be renewed for additional successive periods of three months unless either party gives written notice of termination at least ten (10) days prior to the end of the original term or any subsequent renewal. D. Other Fees and Tariff Provisions. Other fees due City under the tariff and other terms of the tariff are not affected by this agreement, E, Arbitration. The arbitration provisions of Article 19 of Lease Agreement No, 3 between Chugach Alaska Corporation, Inc., and the City of Seward, Alaska, dated April 1989, are incorporated herein by reference. Arbitration shall be the exclusive means of resolving any dispute under this payment agreement, F. Supplementation. Modification or Amendment, This Agreement may not be supplemented, modified or amended in any manner except by an instrument in writing signed by City and Exhibit tJ Pove .-.L of J- - . . . G. Successo~in In~_~. This Agreement shall inure to the benefit of and shall be binding upon the successors and assigns of City and IN WITNESS WHEREOF, City and have executed this Agreement effective as of the date first written above. Date: By Its CITY CITY OF SEWARD Date: By Its ATTEST: APPROVED AS TO FORM: PERKINS COlE, Attorneys for the City of Seward, Alaska Linda Murphy, CMC City Clerk Fred B. Arvidson City Attorney Exhibit H Pig- rL <ilf :J- -- . . I. ~ITY OF SEWARD GENERAL TARIFF NO. 1 Original Page 33 WHARF DEMURRAGE (a) DEFINITION: A charge assessed against cargo remaInIng in or on terminal facilities after the expiration of free time, unless arrangements have been made for storage. (b) FREE TIME: 1. DEFINITION: The specified period during which cargo may occupy space assigned to it on terminal property, free of wharf demurrage or terminal storage charges, immediately prior to the loading, or subsequent to the discharge, of such cargo on or off the vessel. 2. COMPUTING FREE TIME: Free time is calculated exclusive of Saturdays, Sundays or holidays. Free time starts the first 7:00 A.M. after freight is received or unloaded onto wharf from car or truck, or, in the case of freight received from vessel, the first 7:00 A.M. after completion of vessel's discharge. On outbound traffic, the day or days vessel is loading are not included in the computation. On inbound traffic from vessel, delivery of which is made after the allotted free time period, the day freight is loaded out or delivered to truck or car is to be included in the computation as a storage day. When freight is transshipped between deep sea vessels and involves application of both a long and a short time period, the longer period shall be allowed, but not the aggregate of any two free time periods. 3. FREE TIME PERIOD: Free time of five days will be allowed on all inbound traffic. Free time of ten days will be allowed on all outbound traffic. In only those areas specifically designated by the harbormaster, free time of 30 days and 15 days shall be allowed on all inbound and outbound traffic. ISSUED: EFFECTIVE: Subsection 210 Exhibit e. Plge I of I --