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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
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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
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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
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(City Seal)
~N~
Fred B. Arvidson
city Attorney
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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:
'\\
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\,FFECT I VE :
Subsection
205
Exhibit -4
Pog. I of :l-
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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
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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-
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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-
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~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
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