HomeMy WebLinkAbout07272009 City Council MinutesCity of Seward, Alaska City Council Minutes
July 27, 2009 Volume 38, Page 120
CALL TO ORDER
The July 27, 2009 regular meeting ofthe-Seward City Council was called to order at 7:00
p.m. by Vice-Mayor Willard Dunham.
OPENING CEREMONY
Police Lieutenant Louis Tiner led the pledge of allegiance to the flag.
ROLL CALL
There were present:
Clark Corbridge presiding and
Betsy Kellar
Tom Smith
Willard Dunham
Bob Valdatta
comprising a quorum of the Council; and
Phillip Oates, City Manager
Jean Lewis, City Clerk
ABSENT -Marianna Keil, Jean Bardarson, Clark Corbridge
CITIZENS' COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED
FOR PUBLIC HEARING
Robert Buck was present and running for the vacancy on the Port and Commerce Advisory
Board. He stated he had been in Seward full time since the spring of 2000, and had worked as a
commercial fisherman, dock foreman, with the City of Seward Parks & Rec. and currently was
employed at Shoreside Petroleum as a driver and dispatcher. He had a wife and two small children
and was interested in moving Seward forward and making it a great place to grow. Buck thought he
would add a good voice and fresh face to the process.
Russ Maddox also put his hat in the ring for the Port and Commerce Advisory Board
vacancy. He thought he would have a lot to contribute and said he would still participate in the
process whether appointed or not.
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion (Smith/Kellar)
Motion Passed
Approval of Agenda and Consent Agenda
Unanimous
The clerk read the following approved consent agenda items:
City of Seward, Alaska Ciry Council Minutes
July 27, 2009 Volume 38, Page 121
Resolution 2009-064, Recommending Kenai Peninsula Borough Approval Of The City Owned
Lots 1-6, Block 8, Seward Original Townsite, Library Replat, Located At The Southwest .rr.
Corner Of Adams Street & Sixth Avenue.
Resolution 2009-065, Authorizing Emergency Repairs To The Basement Floor In City Hall In
An Amount Not To Exceed $30,000, And Appropriating Funds.
Resolution 2009-068, Exercising The Option To Extend The Contract For External Audit
Services With Mikunda, Cottrell & Co. For Two Years.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Proclamations and Awards
A Proclamation Was Read For Sea Otter Awareness Week.
City Manager's Report. City Manager Phillip Oates stated the city would be pursuing a
Transportation Investment Generating Economic Recovery (TIGER) Grant. He said up to $300
million could be awarded to each state for highway or bridge, freight and rail, and port infrastructure
projects. Oates would request an engineering firm to complete the grant for the city. He had visited
with Dr. Brian Rogers, Chancellor of the University of Alaska Fairbanks, and discussed the
homeport berthing of the Alaska Region Research Vessel (ARRV). Funding became a reality under
the American Reinvestment Recovery Act. Seward was the leading port to homebase the ship, with
Kodiak and Juneau competing. Although Seward had the advantage, a permanent basing solution
would have to be sought in order to secure this vessel long term. Oates mentioned how important it
was to complete the basin at SMIC which could also be linked with economic development and
usage by the Coast Guard vessels. This grant must be submitted by September 15, 2009 and would
then be available for the next legislative session and available for other grants.
Oates reported on three city expenditures between the $10,000 to $50,000 amounts:
1. Seward would be featured in two pages of Alaska: North to the Future, Volume 1I/ at a cost of
$11,340 with an option for expanded coverage to four pages at a cost of $19,360. He stated another
two pages may feature the Seward Mountain Haven (the new Long Term Care Facility). These
books would be distributed to the Congressional and Legislative delegations and communities
throughout Alaska and the United States.
2. The Parks and Recreation Department issued a request for proposal to improve skate park safety
and design. The contractor with the best design and delivery schedule (American Ramp Company)
was selected at a proposal of $SOK. The project must proceed immediately to fabricate components
and complete before winter. The price of this project was included in this year's capital budget.
3. The engineering, testing, hauling, and treatment of approximately 415 tons of contaminated soil
from the generator project were expedited over the past two weeks because of the urgency to -~
complete construction prior to winter. Four separate projects were required along with price quote
solicitation for each project.
City of Seward, Alaska Cdty Council Minutes
July 27, 2009 volume 38, Page 122
Project 1 went to Rozak Engineering for site layout, sampling, supervision of excavation, and ADEC
reporting at a cost not to exceed $15K.
~"~` Project 2 went to SGS Test Labs for testing the soil at a cost of approximately $18K.
Project 3 went to a subsidiary of Alaska, Sand, and Gravel, Alaska Soil Recycling, for transportation
of the contaminated soil at a cost of approximately $17K.
Project 4 also went to ASR for treating the contaminated soil at a cost of approximately $37K.
Oates also stated the City of Seward had been awarded Title V Delinquency Prevention grant
funds in the amount of $45,000 from the Division of Juvenile Justice for Fiscal Year 2010, and on
July 16, 2009, MARAD announced that Seward Ship's DryDock, Inc. had received $1,088,078 for
ship transport cradles; syncrolift controls and compressed air as part of its shipyard grants program.
On July 22, 2009 this grant was put on hold, so hopefully SSD would receive this grant at a later
time.
- Harbor/SMIC. The 250-ton TraveLift maintenance was completed this week and was
available for use. The Harbor was gearing up for the 54`" Silver Salmon Derby which
was scheduled from August 8-16, 2009. Seward Ship's Dry Dock was installing the new
cathodic protection system and city staff was researching the proposed coating for the
splash zone. Oates mentioned Godwin Glacier Tours was requesting to lease an area of
SMIC (Lot 5, Block 3) for connex and vehicle storage. They were requesting to occupy
the leased area beginning August 1, 2009, due to melting conditions on the glacier. The
City would enter into ashort-term lease (120 days was allowed per 7.05.410 of the code)
until the lease documents could be finalized and brought to council.
~.
Police Department. Seward Police Department's Corporal Patrick Messmer and Officer
James Roleau attended the annual APOA (Alaska Peace Officer's Association) Pat Tobin
Memorial shooting match in Fairbanks. Cpl. Messmer placed first in the individual
competition and Office Rouleau placed fourth. Together in the team competition, Cpl.
Messmer and Office Rouleau placed second.
Public Works. Water/Sewer personnel had been completing the #3 Lift Station Project,
resolving equipment malfunctions elsewhere in the sewer system, and planning for the
new water storage tank. On July 27, 2009, PND would look at the Alaska SeaLife Center
erosion problem at the city sheet pile wall and submit a report after their visit to include
options and costs.
Sports and Recreation The total 2009 camp revenue for the week of the 4`" of July
including tax, was $49,502.00. This was a decrease of $2,647.00 from 2008. June
revenues and camper nights were up $l 1,994.17 from 2008, and June parking permit
sales were up $460.00 from 2008.
- Finance. This department was working with the State Department of Health & Social
Services and Providence to provide necessary financial documentation, compute
expected capital add-on components and obtain new rates for when the long-term care
facility project was completed. They also had begun negotiations with Providence for a
new management and operating agreement which expires at the end of the year. Utility
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July 27, 2009 Volume 38, Page 123
billing in the harbor would be switched to the harbor department beginning October 1,
2009 and implementation of an electronic purchasing program was being prepared. ._.
Chamber of Commerce Report. Director Laura Cloward stated visitors were down 19%
which was the third year in a row a decline was seen. She noted this was not necessarily an accurate
reflection because visitors could just be more prepared. Guide requests were down 10% and Internet
usage was up 15% with web statistics down 2% from last year. The chamber had contributed
$10,000 on smolts this year which were released in the Bear Lake system. Cloward saw a 60%
participant increase in the halibut derby this year. She thought fish restoration and smolt purchase
was important. She heard some retailers state that business was down and others saying this was
their best year yet. She noted it was hard to budget without knowing what the bed tax and other
revenue generating numbers were. Cloward stated their economic development proposal would be
completed in a couple of weeks and thought the TIGER grant would increase the capacity for vessels
and cargo locations at SMIC.
A report was given by Council Member Betsy Kellar on the National League of Cities
Conference. This conference was two days of leadership training in Cleveland, Ohio. The main
item taken from this conference was the way cities were partnering with one another to generate
revenue.
PUBLIC HEARINGS
Non-Code Ordinance 2009-004, Appropriating Funds In An Amount Not To Exceed $500 To --
Make Expenditures Which Could Influence The Outcome Of An Election Concerning 2009
Advisory Ballot Proposition #1 Which Addresses The Addition Of Fluoride To The City Of
Seward Drinking Water To The Level Of 0.7-1.2 Parts Per Million As Recommended By The
U.S. Public Health Service.
Motion (Smith/Kellar)
Enact Non-Code Ordinance 2009-004
City Manager Phillip Oates stated this non-code ordinance would allow funds to be expended
and preserved this opportunity if necessary. This ordinance provided flexibility to educate the public
on issues that could influence the outcome of the election and followed state law to appropriate
funds. He wished to stay neutral as an administration on this issue and recommended passage.
Notice of the public hearing being posted and p~nblished as required bylaw was noted and
the public hearing was opened. No one appeared to address the Council and the public hearing was
closed.
Clerk's Note: (In. a worksession immediately prior to this meeting, City Clerk Jean Lewis indicated
she had heard a comment from the public about perception and t12at they thought it would be
negligent of a city council to ask voters to vote on an issue and not print a pro and con statement
about why this item should or should not be passed. Council members decided during the work
session that the city would maintain a neutral position and not produce apro/con statement.)
Motion Passed Unanimous
City of Seward, Alaska
July 27, 2009 Ciry Council Minutes
I~olurne 38, Page 124
..~
Non-Code Ordinance 2009-005 Appropriating $500 To Make Expenditures Which Could
Influence The Outcome Of An Election Concerning 2009 Advisory Ballot Proposition #2
Which Asks The Qualified Voters If The City Should Increase The Sales Tax From 4.0% To
4.5% With The Understanding That The Additional Funds Are Expected To Be In An Amount
Sufficient To Cover A Portion Of The Proposed Library/Museum Operating And
Construction Costs.
Motion (Smith/Kellar) Enact Non-Code Ordinance 2009-005
Oates stated this non-code ordinance would appropriate money if needed to educate the
public on the proposed library/museum construction and operating costs. Ballot Proposition #2 to
voters increased the sales tax to cover a portion of the proposed library museum operating and
construction costs. He thought the city may find it needed to disseminate information and this
authorized public funds that could influence the outcome of the election if neutral material needed to
be disseminated. He recommended approval.
Notice of the public hearing being posted and published as required bylaw was doted and the public
hearing was ope~ied. No one appeared to address the Council and the public hearing was closed.
While Kellar and Dunham hoped this would include a sunset tax, Smith thought this was for
operating and construction costs.
Oates stated this tax would defray both construction and operating costs and would not be
enacted unless the facility was actually being built. This tax would generate sufficient revenue to
repay the GO bond to construct the building, and pay for additional operation costs associated with
the building.
Motion Passed Unanimous
Non-Code Ordinance 2009-006 Appropriating $500 To Make Expenditures Which Could
Influence The Outcome Of An Election Concerning Advisory Ballot Proposition #3 Which
Asks The Qualified Voters If The City Should Pursue The Issuance Of General Obligation
(GO) Bonds Not To Exceed $5 Million Dollars To Finance The Library/Museum Construction
And Capital Costs.
Motion (Smith/Kellar) Enact Non-Code Ordinance 2009-006
Oates again stated this would allocate funds in case the council wished to publish
materials that could influence the outcome of an election. This proposition would establish a GO
bond to show the state of Alaska there were matching funds for other sources sought to assist in the
payment of the estimated cost of $10 million for the new library/museum.
Notice of the public hearing being posted and published as required bylaw was noted and the public
hearing was opened. No one appeared to address the Council and the public hearing was closed.
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Ciry of Seward, Alaska Volume 38, Page 125
July 27, 2009
Motion Passed
NEW BUSINESS
Unanimous
Resolution 2009-066, Authorizing Purchase Of A Used Rather Than New Water Tanker
Truck From Cascadia International, Previously Authorized By Resolution 2008-134.
Motion (Kellar/Smith) Approve Resolution 2009-066
Oates needed to bring this item back to the council to purchase a used vehicle rather than
anew one as previously approved. The used truck had less than 2000 miles on it with an additional
savings of $60,000. This water tanker truck would be purchased outright and separate from the
plow truck in order to prevent the duplication of two separate financing transactions.
Finance Director Kris Erchinger stated this vehicle was a 2009 and had been held for
months on the west coast. The contingency funds could be used to purchase tires if needed.
Motion Passed Unanimous
Resolution 2009-067, Authorizing The City Manager To Enter Into An Agreement With
Transpac Marinas, Inc. To Provide Timber Floats For The Seward Small Boat Harbor East
Harbor Expansion Project (Z Float) For An Amount Not To Exceed $704,817.00, And
.-.~
Appropriating Funds.
Motion (Smith/Kellar) Approve Resolution 2009-067
Oates reminded that this security float would be used for such vessels as the Coast Guard
Mustang, the NOAA vessel, trooper boats and the city's fire boat. Project funding was secured by a
grant by the Denali Commission and would allow the purchase of materials to install the float
system. Additional funding, possibly from cruise ship head tax funds, was needed for completion of
the security dock. Oates recapped the justification for this project began in 2007 when Tryck,
Nyman & Hayes, now URS, did engineering services for Phase 3 of the harbor expansion project.
Other items associated with the floats were; fire suppression, utilities, upland improvements, and
gangway. This resolution provided 870 linear feet of floats delivered and stored in the railroad area.
Transpac Marinas, Inc. was the lowest bid received.
Harbormaster Kari Anderson stated this bid was under the estimated budget. There was
fluctuation in the pricing which was why the contingency was built in.
Motion Passed
Unanimous
Resolution 2009-069, Authorizing The City Manager To Enter Into A Purchase Agreement
With General Switchgear Inc. For The Purchase Of Switchgear To Be Used In The Fort
Raymond Substation -Generation Addition Project For A Total Amount Not-To-Exceed
$213,074.00 And Appropriating Funds.
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July 27, 2009 Ciry Council Minutes
Volume 38, Page 126
Motion (Smith/Kellar) Approve Resolution 2009-069
Oates advised that three switchgears would be purchased to control the new generators in the
new building. It was concluded the city would save money by directly purchasing the switchgear
from the manufacturer to cut the cost of overhead. The purchase of approximately $225,000 would
occur after EPS bid the materials out to four separate suppliers. These suppliers were chosen after
considering price, timetables and the advice of EPS. This would start the delivery process to get this
switchgear installed.
Smith asked if this invalidated the warranty. Oates stated EPS would do the actual
installation and that it did not invalidate the warranty.
Electric Utility Manager John Foutz looked to have the project completed next year.
In response to questions about generation this winter, Oates stated the city had four
operational generators, and noted the prison and the Alaska Sealife Center had their own generators.
Finance Director Kris Erchinger stated $7.5 million was the total cost of this project,
which left $40,000 not committed after this.
Motion Passed Unanimous
The Rules Were Suspended By Unanimous Consent To Allow PACAB Candidate Darryl
Schaefermeyer A Chance To Speak To His Qualifications To Be Re-Appointed To The Port
And Commerce Advisory Board.
Council Voted And Re-Appointed Darryl Schaefermeyer And Theresa Butts To The Port
And Commerce Advisory Board With Terms To Expire July 2012.
The Appointment Of Either Russ Maddox Or Robert Buck Was Postponed And Set On
The Next Council Agenda August 10, 2009.
INFORMATIONAL ITEMS AND REPORTS (No action required)
1. City Financial Report.
2. Providence Financial Report.
3. A Certificate of Completion was given to Johanna Dollerhide for the Northwest Clerks Institute
Master Academy.
COUNCIL COMMENTS
Valdatta complimented staff on the treatment and washing and waxing of the parking
attendant truck.
Smith thanked all the candidates for applying to be on the Port and Commerce Advisory
Board tonight, and thought it was good to have candidates to choose from.
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July 27, 2009 volume 38, Pnge 127
Kellar thanked Sadler's Challenge Alaska for choosing Seward as the start of their race.
She thought it was spectacular to watch. ~"'
Dunham also thanked the candidates for applying to be on the Port and Commerce Advisory
Board. He announced that Nikki Gilman, mother of city lobbyist Brad Gilman, had passed away last
week and noted the time of the memorial service. He asked the community to participate in the
"Fish for the Future" program put on as a research fundraiser by the Alaska Sealife Center. He also
requested council involvement as board members for the Utility Board Meeting on August 5, 2009 in
Kenai.
CITIZENS' COMMENTS -None
COUNCIL AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS -None
ADJOURNMENT
The meeting was adjourned at 8:41 pm.
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