HomeMy WebLinkAboutRes2006-064
Postponedfrom 5/22/06 meeting.
Amended and Approved 6/12/06.
Sponsored by: Corbridge
CITY OF SEWARD, ALASKA
RESOLUTION 2006-64
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RECOMMENDING FURTHER STUDY OF THE SEWARD CO-
GEN, LLC ELECTRICAL SERVICE AS A POTENTIAL SOURCE OF
ALTERNATIVE ENERGY FOR THE COMMUNITY OF SEWARD AND
APPROPRIATING FUNDS
WHEREAS, the City of Seward is a dynamic and growing community that is in need of
reliable and inexpensive electrical power; and
WHEREAS, the Seward City Council has tasked the Port and Commerce Advisory Board
("P ACAB") with researching possible sources of alternative energy for the community; and
WHEREAS, the City of Seward is proactive in economic development projects that will
benefit and grow the City's economy; and
WHEREAS, the City Council directed the City administration to examine various
alternative energy sources concurrently, including but not limited to tidal, wave action, wind, coal
gasification and coal generation, in order to determine the best course of action for Seward's future;
and
WHEREAS, on April 5, 2006, the P ACAB heard a presentation from Seward Co-Gen, LLC
regarding the potential for a coal-fired power plant in Seward, and subsequently approved
Resolution 2006-02 on May 3, 2006, seeking further examination of such a proposal by the City
administration; and
WHEREAS, the administration will investigate proposals for alternative energy, including a
proposal by Seward Co-Gen, LLC, and will refrain from endorsing any particular Memorandum of
Agreement until such time as all alternative energy options have been thoroughly evaluated.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The city manager and the Port and Commerce Advisory Board (P ACAB) is
hereby directed to concurrently research and evaluate alternate and alternative energy sources in
order to determine the potential benefits of such sources to Seward's future.
Section 2. The mayor will appoint a committee that is hereby directed to evaluate, review,
and resolve the community's questions regarding the specific proposal by Seward Co-Gen, LLC
and the proposal by the Alaska Interstate Gas Co.
Section 3. This resolution shall take effect immediately upon its adoption.
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Council Agenda Statement
Meeting Date: May 22, 2006
To: Mayor Shafer and City Council
From: Tim Barnum, Manager of Electric Utility
Thru: Clark Corbridge, City Manager
Agenda Item: Study of alternative energy sources, and review of a proposal by
Seward Co-Gen, LLC
BACKGROUND & JUSTIFICATION:
The Seward City Council tasked the Port and Commerce Advisory Board with researching alternate
and alternative energy sources for the community of Seward, including alternatives such as wind
power, tidal, wave action, coal gasification, etc. During the April 5, 2006 Port and Commerce
Advisory Board meeting, Mark Marlow of Seward Co-Generation, LLC gave a presentation
proposing a coal power plant in Seward. On May 3, 2006, PACAB approved Resolution 2006-02,
recommending further study of the Seward Co-Gen, LLC Electrical Service as a source of
alternative energy.
The administration is forwarding a copy of the PACAB resolution to Council, and recommends that
various alternative energy sources be researched concurrently, in order to determine the best course
of action for Seward’s future. Rob Rance, the City’s new VISTA volunteer, has been tasked with
assisting in the research of alternative energy sources. The administration will investigate all
proposals for alternative energy, including a proposal by Seward Co-Gen, LLC, and will refrain
from endorsing any particular Memorandum of Agreement until such time as all alternative energy
options have been thoroughly evaluated.
CONSISTENCY CHECKLIST: Where applicable, this agenda statement is consistent with the
Seward City Code, Charter, Comprehensive Plans, Land Use Plans, Strategic Plan and City Council
Rules of Procedures. Other: ____________
FISCAL NOTE:
The VISTA volunteer and electric utility manager will work to evaluate alternative energy sources
within available budgetary resources. Review of firm proposals will involve thorough financial
analysis by experts in the utility industry, and will incur both legal and financial consulting expense
by the City. Such review was not contemplated in the 2006 budget and the administration seeks an
appropriation in the amount of $20,000 to pay for such professional reviews.
Approved by Finance Department: _______________________________
RECOMMENDATION:
City Council approve Resolution 2006-64, directing the City administration to research alternative
energy sources, including a proposal by Seward Co-Gen LLC.