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1963 1965 2005 The City of Seward, Alaska
b3ft3d CITY COUNCIL MEETING AGENDA
All-Amefta CRY
{Please silence all cellular phones and pagers during the meeting}
October 12, 2009 7:00 p.m. Council Chambers
1. CALL TO ORDER
Clark Corbridge
2. PLEDGE OF ALLEGIANCE
Mayor
3. ROLL CALL
Term Expires 2009
4. CITIZENS' COMMENTS ON ANY SUBJECT EXCEPT
Willard E. Dunham
THOSE ITEMS SCHEDULED FOR PUBLIC HEARING.
Vice Mayor
[Those who have signed in will be given the first opportunity to
Term Expires 2010
speak. Time is limited to 2 minutes per speaker and 30 minutes total
time for this agenda item.]
Robert Valdatta
5. APPROVAL OF AGENDA AND CONSENT AGENDA
Council Member
[Approval of Consent Agenda passes all routine items indicated by
Term Expires 2009
asterisk (*). Consent Agenda items are not considered separately
unless a council member so requests. In the event of such a request,
Tom Smith
the item is returned to the Regular Agenda]
Council Member
Term Expires 2009
6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS
A. Proclamations and Awards
Vacant
1. Gavel and plaque presented to Mayor Clark Corbridge for
Council Member
excellent leadership and dedicated service as Mayor of the City of Seward.
Term Expires 2009
2. Gavel and plaque presented to Ron Long for his excellent
leadership and dedicated service as Seward's Representative on the Kenai
Jean Bardarson
Peninsula Borough Assembly.
Council Member
3. Fire Prevention Month Proclamation ............... Pg 3
Term Expires 2010
B. Borough Assembly Report
C. City Manager's Report
Marianna Keil
D. Other Reports, Announcements and Presentation
Council Member
Term Expires 2010
1. Report on the Shellfish Hatchery by Jeff Hettrick.
2. Budget Introduction
Phillip Oates
7. PUBLIC HEARINGS
City Manager
A. Resolution 2009-095, Authorizing Termination Of The
Jean Lewis
Existing Lease With Gerald Lorz As Assigned To Daniel And
City Clerk
Linda Lorz And Authorizing The City Manager To Enter Into A
New Lease With The Darling Family Trust For Lot 5A, Block 1,
Cheryl Brooking
Seward Small Boat Harbor Subdivision, Plat 2000-19, Seward
City Attorney
Recording District, Third Judicial District, State Of Alaska.. .Pg 4
City of Seward, Alaska Council Agenda
October 12, 2009 Page 1
8. UNFINISHED BUSINESS — None
9. NEW BUSINESS
A. Resolutions
* 1. Resolution 2009-096, Revoking Resolution 2009-089, and Stating An Intent To Fund
$4,060,000 For The North Seward Water Storage Tank & Pumping Facility Project
Subject To Receiving A Loan In That Amount, Authorizing A Loan Application With
The Alaska Drinking Water Fund And Authorizing The City Manager To Accept A Loan
Offer From The Alaska Drinking Water Fund With Payments Subject To Bi-Annual
Appropriation.................................................................................Pg 47
*2. Resolution 2009-097, Authorizing The City Manager To Submit To The State Of
Alaska A Grant Application For A Federal Grant For Providing Public Access To The
Seward Cemetery Information Requesting $8,881, Including $5,329 Federal Share And
$3,552 Applicant Share In The Form Of In -Kind Volunteer Labor...................Pg 50
*3. Resolution 2009-098, Accepting Reimbursable Historic Preservation Travel Grant
And Appropriating Funds Totaling $3790 Including $2274 Federal Share And $1516 In -
Kind Volunteer Labor Of The Seward Historic Preservation Commission .......... Pg 63
B. Other New Business Items
1. Discuss Shellfish Hatchery Update.
2. Approve applicant Frank DeMarco as Planning & Zoning Commissioner with a term to
expire February 2012..........................................................................Pg 79
*3. Council certifies the October 6, 2009 municipal election results as final ......... Pg 80
*4. Approve council letter of support for to submit Seward Mountain Haven Project in the
"Just a Darn Good Idea" category for AML's community awards......................Pg 83
10. INFORMATIONAL ITEMS AND REPORTS (No action required)
11. COUNCIL COMMENTS
12. CITIZENS' COMMENTS [5 minutes per individual - Each individual has one
opportunity to speak.]
13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS
14. ADJOURNMENT
City o[Seward, Alaska Council Agenda
October 12, 2009 Page 2
PROCLAMATION
WHEREAS, fires are often caused by carelessness and inattentiveness to
situations that cause fires and injury; and
WHEREAS, the State of Alaska has experienced significant fire related deaths;
and
WHEREAS, the Governor of Alaska has proclaimed October as Alaska Fire
Prevention Month; and
WHEREAS, the City of Seward has experienced low fire deaths because the
diligence of the community, the investment it has made in its fire service program and the
dedication of the volunteer firefighters; and
WHEREAS, even one fire death in our community is one death too many, the
City Council requests the citizens of the community of Seward to participate in fire
prevention every day.
NOW THEREFORE, I, Clark Corbridge, Mayor of the City of Seward, do
hereby join with the Governor of the State of Alaska, by proclaiming October as
Fire Prevention Month
and encourage all citizens of the City of Seward to protect themselves from the dangers
of fire through fire education and safe practices.
Dated this 12'h day of October, 2009
Clark Corbridge, Mayor
3
Sponsored by: Oates
CITY OF SEWARD, ALASKA
RESOLUTION 2009-095
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, AUTHORIZING TERMINATION OF THE
EXISTING LEASE WITH GERALD LORZ AS ASSIGNED TO
DANIEL AND LINDA LORZ AND AUTHORIZING THE CITY
MANAGER TO ENTER INTO A NEW LEASE WITH THE
DARLING FAMILY TRUST FOR LOT 5A, BLOCK 1, SEWARD
SMALL BOAT HARBOR SUBDIVISION, PLAT 2000-19, SEWARD
RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE
OF ALASKA
WHEREAS, the City is the owner of real property described as Lot 5A, Block 1,
Seward Small Boat Harbor subdivision located in the City of Seward, Alaska; and
WHEREAS, in 1988 the City of Seward entered into a Lease Agreement with
Gerald Lorz; and
WHEREAS, the lease was assigned to Pauline Lorz in 1996 and later that same
year assigned to Daniel E and Linda S Lorz; and
WHEREAS, Daniel E and Linda S Lorz desire to be released from their lease
obligations and are not in default of the lease; and
WHEREAS, The Darling Family Trust desires to enter into a lease with the City
in substantially the form presented at this meeting.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF SEWARD, ALASKA that:
Section 1. It is determined that the essential terms and conditions of the
proposed termination of the Lease with Daniel E. and Linda S. Lorz, and the proposed
Lease with The Darling Family Trust for the real property described as Lot 5A, Block 1,
Seward Small Boat Harbor subdivision located in the City of Seward, Alaska is in the
public's interest.
Section 2. The City Manager is authorized to execute a Termination of Lease
with Daniel E. and Linda S. Lorz, and to execute a new Lease with The Darling Family
Trust, each in substantially the form as presented at this meeting.
Section 3. This resolution shall take effect 30 days from the date and posting
of adoption and the authorization herein shall expire if the lease termination and new
lease are not executed by all parties by December 31, 2009.
4
CITY OF SEWARD, ALASKA
RESOLUTION 2009-095
PASSED AND APPROVED by the City Council of the City of Seward, Alaska,
and this October 12, 2009.
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Jean Lewis, CMC
City Clerk
(City Seal)
THE CITY OF SEWARD, ALASKA
Clark Corbridge, Mayor
J
COUNCIL AGENDA STATEMENT
Meeting Date: September 28, 2009
Through: Phillip Oates, City Manage,---*
From: Kari Anderson, Harbormaster
Agenda Item: Tenninating Lorz Lease and Authorizing New Lease with Darling
Family Trust
BACKGROUND & JUSTIFICATION:
The City is the owner of real property described as Lot 5A, Block 1, Seward Small Boat
Harbor Subdivision, Plat 2000-19 located in the City of Seward, Alaska. In 1988 the City
of Seward entered into a Lease Agreement with Gerald Lorz. The lease was assigned to
Pauline Lorz in 1996 and later that same year assigned to Daniel E and Linda S Lorz.
Daniel E and Linda S Lorz desire to be released from their lease obligations and are not
in default of the lease. Hugh and Iris Darling of the Darling Family Trust desire to enter
into a lease with the City in substantially the form as presented at this meeting.
The Darling Family Trust has purchased the building known as The House of Diamond
Willow. They now request to lease the property Lot 5A, Block 1, Seward Small Boat
Harbor Subdivision. Presently it is used for storage space, but on or before July 1, 2010,
it will be used for a Port and Harbor Related Retail Business as stipulated in the lease
documents.
If approved by City Council, the consent to tenninate the Lorz lease and enter into a new
lease with The Darling Family Trust would be in substantially the same form presented at
this meeting. The consent to tenninate the Lorz lease and enter into a new lease will be
effective in 30 days.
The assignment and release will not decrease the rent paid to the City. The new lease
includes an annual adjustment to rent based on the Anchorage Consumer Price Index.
CONSISTENCY CHECKLIST:
Where applicable, this resolution is consistent with the Seward City Code, Charter,
Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of
Procedures.
INTENT: To approve a lease assignment of Lot 5A, Block 1 Seward Small Boat Harbor
Subdivision from Daniel and Linda Lorz to Hugh and Iris Darling (Darling Family
Trust). The current lease with Daniel and Linda Lorz will terminate, and the City will
enter into a new lease with the Darling Family Trust.
ATTORNEY REVIEW: Yes
1�
FISCAL NOTE:
The rent is Five Thousand Six Hundred Dollars ($5,600.00) annually, subject to fair
market value increases every five years. Upon execution of the new lease, the rent will
be subject to annual CPI increases each year in between. The last appraisal rate started
on January 1, 2006 and will run through June 30, 2010.
Approved by Finance Department , �/kv
RECOMMENDATION:
Council approve Resolution 2009-q_5 Authorizing Termination Of The Existing Lease
With Gerald Lorz As Assigned To Daniel And Linda Lorz And Authorizing The City
Manager To Enter Into A New Lease With The Darling Family Trust For Lot 5A, Block
1, Seward Small Boat Harbor Subdivision, Plat No. 2000-19 In The Seward Recording
District, Third Judicial District, State of Alaska.
7
After Recording Return To:
City of Seward
Attention: City Manager
PO Box 167
Seward, Alaska 99664
AGREEMENT TO TERMINATE LEASE.
This Agreement to Terminate Leases ("Agreement") is entered into and effective as of
2009, by and between the City of Seward, Alaska, a home rule municipal
corporation, organized under the laws of the State of Alaska whose address is P.O. Box 167, Seward,
Alaska 99664 (the "City") and Daniel E. and Lvnda S. Lorz, husband and wife, dba The House of
Diamond Willow, whose address is P.O. Box 1137, Seward, Alaska 99664 (the "Lessee").
WHEREAS, the City, as Lessor, and Gerald S. Lorz, as lessee, entered into lease No. 71-063
dated October 12, 1996 (the "Lease") for the real property described herein; and
WHEREAS, the Lease was amended and assigned to the Lessee; and
WHEREAS, Lessee is not in default of its Lease obligations, and the City and Lessee now
desire to terminate the lease;
NOW THEREFORE, IN CONSIDERATION of the foregoing recitals and mutual promises
and covenants herein, the parties hereby agree as follows:
The Lease described in the above recitals encompassing
Lot 5A, Block 1, Seward Small Boat Harbor Subdivision, as shown
on Plat 2000-19, Seward Recording District, Third Judicial District,
State of Alaska, containing 4,250 square feet, more or less.
is hereby terminated effective upon execution by all parties to this Agreement.
Each party has full power and authority to enter into this Agreement and no fiirther action or
approval is required to cause this Agreement to be binding and enforceable against either party in
accordance with its terinns.
LESSOR:
THE CITY OF SEWARD
By:
Phillip Oates,
City Manager
ATTEST:
Jean Lewis
City Clerk
STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
LESSEE:
By.
Daniel E Lorz
By: ,l
Li da S Lorz
The foregoing instrument was acknowledged before me this day of
2009, by Phillip Oates, City Manager of the City of Seward, Alaska, on behalf of the City.
Notary for the State of Alaska
My Commission Expires:
STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this `tii day of
2009, by Daniel E. Lorz..
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Notary for the State of AlAta Uk(S Tur
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STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this f b day of
hs ✓, 2009, by Linda S Lorz.
LEFLEI''�''�,
Notary for the State of LA-t n vt tu/
My Commission Expires
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LESSOR:
THE CITY OF SEWARD
By:
Phillip Oates,
City Manager
ATTEST:
Jean Lewis
City Clerk
STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
LESSEE:
By: `
Daniel E Lorz
By: 4- —, S
Linda S Lorz 7
The foregoing instrument was acknowledged before me this day of
2009, by Phillip Oates, City Manager of the City of Seward, Alaska, on behalf of the City.
Notary for the State of Alaska
My Commission Expires:
STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this ID day of 4 i-,
2009, by Daniel E. Lorz..
. �'eES No ry for the State of Aiaska
My Commission Expires: i
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Page 1
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STATE OF ALASKA )
) ss
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this lU day of
✓ , 2009, by Linda S Lorz.
Notary for he State �of
My Commission Expires: �IV
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13
PERSONAL GUARANTEE
To induce the City of Seward, P.O. Box 167, Seward, AK 99664 ("City') to
enter into a Lease Agreement with The Darling Family Trust, P.O. Box 149, Seward,
AK 99664 ("Trust") effective _ , 2009, the undersigned personally guarantees
payment of all obligations ofTrust as described in the Lease Agreement. The Lease
Agreement covers the following real property:
Lot 5A, Block 1, Seward Small Boat Harbor Subdivision. as shown on
Plat 2000-19, Seward Recording District, Third Judicial District, State of
Alaska, containing 4,250 square feet, more or less.
I agree to provide the City with written notification of any changes in my
address, and acknowledge that any notice required to be given by the City will be
effective if mailed to the address shown below or such changed address on file with the
City.
My guarantee is absolute and unconditional. Upon default of Trust under the
Lease Agreement, I agree to .immediately become liable foi- Trust's obligations. The
City need not seek performance, payment, and collection from "Crust before seeking
payment fi-om m.e. If more than one person guarantees payment, I agree to be jointly
and severally liable with all other guarantors for payment.
Dated this .,,2 day of _ / 2009.
Signed in my individual capacity as guarantor:
Iris Darling
rx-
PiugYy arling
P.O. Box 149
P.O. Box 149
Seward, AK 99664
Seward, AIC 99664
TRUSTEES .FURTHER CERTIFY THAN' the persons named above are duly
authorized to act on behalf of the Trust in the manner described above; that I am familiar
with the purpose of the Lease Agreement; that said transaction is to be used for a
legitimate trust purpose and for the benefit of the Trust and its beneficiaries; and, that the
certifications set forth herein shall remain in full force and effect until written notice of
their revocation shall have been delivered to and received by the City. Any such notice
shall not affect any of the Trust's agreements or commitments in effect at the time notice
is given.
I/We declare under penalty of perjury under the laws of the State of Alaska that
the foregoing is true and correct, and that 1/we have received a copy o f this document.
Dated:*/V
Dated:j_�
Trustee: J y) t `
Print Name: i O � _ !�. A-r2NLJ
Trustee: jj - j
Print Name:- i ?1211x//6-
LEASE AGREEMENT
between
CITY OF SEWARD, ALASKA
In 11
THE DARLING FAMILY TRUST
Effective Date:
16
TABLE OF CONTENTS
ARTICLE 1
- LEASED LAND................................................................................................1
1.1
Description o f Leased Land.................................................................................1
1.2
Covenant of Quiet Enjoyment; Warranty of Title.................................................1
1.3
Reserved..............................................................................................................1
1.4
Property Accepted................................................................................................2
1.5
Permits................................................................................................................2
1.6
Platting................................................................................................................2
ARTICLE 2
- LEASE TERM...................................................................................................2
2.1
Lease Term..........................................................................................................
2
ARTICLE 3
- RENTAL RATE................................................................................................
3
3.1
Initial Rental Rate................................................................................................3
3.2
Rental Adjustments..............................................................................................3
3.3
Procedure for Rental Adjustment.........................................................................3
3.4
Effect of Late Appraisal by CITY.........................................................................4
3.5
Appraisal by LESSEE..........................................................................................4
3.6
Effective Date of Adjusted Rental Rate................................................................
5
3.7
Interim Rental Adjustments..................................................................................
5
3.8
Late Payment Charge..........................................................................................5
ARTICLE 4
- USE OF LEASED LAND..................................................................................5
4.1
Use of Leased Land.............................................................................................
5
4.2
Obligations of LESSEE........................................................................................6
4.3
No Preferential Rights to Use Public Facilities....................................................6
4.4
Adequacy of Public Facilities..............................................................................6
4.5
Tariffs and Other Service Fees.............................................................................
6
4.6
Time for Payment of Utilities and Taxes..............................................................6
4.7
Other Uses...........................................................................................................6
ARTICLE 5
- UTILITIES AND RIGHTS OF ACCESS........................................................7
5.1
Utilities................................................................................................................7
5.2
Third -Party Improvements...................................................................................7
5.3
Easements............................................................................................................8
5.4
Limited Access Easement.....................................................................................8
ARTICLE 6
- CONSTRUCTION BY LESSEE......................................................................8
6.1
Improvements on Leased Land.............................................................................8
6.2
City Review of Construction...............................................................................10
ARTICLE 7
- RETURN OF LEASED LAND/SITE CONDITIONS....................................10
7.1
Return of Leased Land in Original Condition....................................................10
ARTICLE8
- FORCE MAJEURE........................................................................................10
ARTICLE 9
- LESSEE'S ACTS OF DEFAULT...................................................................10
ARTICLE 10 - REMEDIES FOR DEFAULT BY LESSEE.................................................12
ARTICLE 11 - TITLE TO IMPROVEMENTS INSTALLED BY LESSEE .......................13
17
11.1 Real Property Improvements..............................................................................13
11.2 Personal Property..............................................................................................13
ARTICLE 12 - ASSIGNMENT OR SUBLEASE..................................................................13
12.1 Assignment of Lease or Subleasing....................................................................13
12.2 Assignment of Lease for Security.......................................................................14
12.3 Assignment to Affiliate.......................................................................................14
ARTICLE 13 - LESSEE'S DUTY TO DEFEND/INDEMNIFY...........................................15
ARTICLE 14 - CITY'S DUTY TO DEFEND/INDEMNIFY................................................15
ARTICLE 15 - INSURANCE .............................................. ............15
.......................................
15.1 Minimum Insurance Requirements.....................................................................15
15.2 Subrogation Rights Waived................................................................................16
ARTICLE 16 - CONDEMNATION.......................................................................................16
ARTICLE 17 - ARBITRATION............................................................................................17
17.1 Arbitration.........................................................................................................17
ARTICLE 18 - MAINTENANCE AND REPAIRS...............................................................18
18.1 Normal Maintenance.........................................................................................18
18.2 Safety Issues......................................................................................................18
18.3 Cost of Repairs..................................................................................................19
ARTICLE 19 - ENVIRONMENTAL CONCERNS..............................................................19
19.1 Hazardous Materials.........................................................................................19
19.2 Permits and Reporting.......................................................................................22
ARTICLE 20 - ESTOPPEL CERTIFICATES......................................................................
22
ARTICLE 21 - CONDITIONS AND COVENANTS.............................................................22
ARTICLE 22 - NO WAIVER OF BREACH.........................................................................
22
ARTICLE 23 - TIME OF THE ESSENCE............................................................................23
ARTICLE 24 - COMPUTATION OF TIME.........................................................................23
ARTICLE 25 - SUCCESSORS IN INTEREST.....................................................................23
ARTICLE 26 - ENTIRE AGREEMENT...............................................................................23
ARTICLE 27 - GOVERNING LAW.....................................................................................23
ARTICLE 28 - PARTIAL INVALIDITY..............................................................................
23
ARTICLE 29 - RELATIONSHIP OF PARTIES...................................................................24
ARTICLE 30 - INTERPRETATION.....................................................................................24
ARTICLE 31 - CAPTIONS....................................................................................................
24
ARTICLE32 - AMENDMENT..............................................................................................24
ARTICLE 33 - NOTICES......................................................................................................24
ARTICLE 34 - FIRE PROTECTION....................................................................................
25
m
18
LEASE AGREEMENT
THIS LEASE AGREEMENT (the "LEASE") is made by and between the CITY OF
SEWARD (the "CITY"), a municipal corporation located in the Kenai Peninsula Borough, State of
Alaska, whose mailing address is P.O. Box 167, Seward, Alaska 99664 and The Darling Family Trust
(the "LESSEE"), whose mailing address is Post Office Box 149, Seward, AK 99664.
WHEREAS, LESSEE has indicated his desire to lease the property known as Lot 5A, Block
1, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward Recording District,
Third Judicial District, State of Alaska, consisting of approximately 4,250 square feet, more or less;
and
WHEREAS, the City Council of CITY has determined that lease of the Leased Land (as
defined below) to LESSEE for the purposes described herein would be in the public interest; and
WHEREAS, it is the intent of this LEASE to transfer from CITY to LESSEE the entire
burden of compliance with environmental regulations or controls with respect to LESSEE's
operations on the Leased Land.
NOW THEREFORE, for and in consideration of the mutual promises and covenants
hereinafter contained, the parties hereto agree as follows:
ARTICLE 1 - LEASED LAND
1.1 Description of Leased Land. The Leased Landis located in the City of Seward, Alaska. The
Leased Land is described as follows:
Lot 5A, Block 1, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward
Recording District, Third Judicial District, State ofAlaska, consisting ofapproximately4,250
square feet, more or less (the "Leased Land").
The Leased Land is also depicted on the attached Exhibit A, which is incorporated herein by
reference.
1.2 Covenant of Quiet Enjoyment; Warranty of Title. Subject to the encumbrances as ofthe date
hereof, any reasonable restrictions imposed on the Leased Land as part of recording of a plat
by CITY, and the provisions of this LEASE, CITY hereby covenants and warrants that
LESSEE shall have the quiet enjoyment and possession of the Leased Land for the full term
of this LEASE.
1.3 Reserved.
1.4 Property Accepted "As -is. " LESSEE acknowledges that it has inspected the Leased Land and
accepts the same "as -is" and without reliance on any expressed or implied representations or
warranties of CITY (other than the representations in Section 1.2 hereof), or agents ofCITY,
as to the actual physical condition or characteristics thereof and the legal description or
depiction of the Leased Land in Section 1.1 or Exhibit A hereto.
1.5 Permits. LESSEE, at its sole cost, shall obtain all permits necessary to the construction and
operation of its facilities on the Leased Land. CITY may from time to time, upon request of
LESSEE, execute such documents, petitions, applications and authorizations as may be
necessary, as the underlying fee owner, to file with an agency or public body responsible
therefor an application for conditional use permits, zoning and re -zoning, tentative and final
tract approval, or precise plan approval that may be required for the lawful construction and
operation of the facilities of LESSEE pennitted on the Leased Land by the terms of this
LEASE. However, nothing in this Section shall be construed as requiring CITY to support or
approve any such application or pen -nit requests. If the agency or public body responsible to
approve or grant such application or permit request is a City of Seward agency, department,
or board, LESSEE shall follow all City of Seward procedures, the same as any other applicant
making similar requests of the City of Seward, according to the Charter, ordinances,
resolutions, or any regulation, rules or procedures of the City of Seward. Nothing in this
Section imposes any duty or responsibility on CITY to assist LESSEE in obtaining any other
permits or approvals, including without limitation those required by the U.S. Army Corps of
Engineers (e.g., wetland fill permits), the Environmental Protection Agency (e.g., Clean Air
Act permits), the Alaska Department of Public Facilities and Transportation (e.g., right-of-
way permits), the Alaska Department of Fish and Game, and the Alaska Department of
Environmental Conservation.
1.6 Platting. In the event CITY elects to replat, CITY agrees to include the Leased Land in such
replat in accordance with the description prepared by LESSEE under Section 1.3 herein. If
LESSEE requests a replat of the Leased Land prior to that time, CITY shall assist LESSEE in
the preparation and filing of the replat, and LESSEE shall reimburse CITY for CITY's costs
in assisting with the preparation and filing of the replat. LESSEE agrees to sign the plat and
any other documents necessary to complete the platting or replatting of any area including all
or a portion of the Leased Land. LESSEE shall accept reasonable restrictions, easements, or
plat notes as may be required by CITY or other governmental authorities as a condition to
filing the plat of the Leased Land or the plat of CITY -owned real property adjacent to the
Leased Land.
ARTICLE 2 - LEASE TERM
Lease Term. The term of this LEASE (the "Lease Term") shall be in accordance with CITY's
authorization Resolution No. 2009- (the "Resolution"). The Lease Term shall
2
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commence on the date this LEASE is signed by CITY and that date shall be the effective date
of this LEASE (the "Effective Date"). The Lease Term shall run for approximately 25 years
from the Effective Date, ending at midnight on June _, 2034. LESSEE shall have the right
to extend the term of this LEASE for two (2) additional five (5) year periods [cumulative
extensions not to exceed ten (10) years], provided that:
a) LESSEE exercises any applicable option to extend at least one hundred and eighty
(180) days prior to the expiration of the then current lease term;
b) LESSEE is not in default under any term or provision of this LEASE; and
c) LESSEE shall exercise its options to extend by sending written notice in accordance
with the provisions of Article 33 of this LEASE.
ARTICLE 3 - RENTAL RATE
3.1 Initial Rental Rate. Commencing on the Effective Date of this LEASE through June 30,
2010, the annual rental rate for the Leased Land shall be set at $5600, based on $1.32 per
square foot. Rent shall be payable quarterly in advance upon the Effective Date of this Lease
(prorated for the balance of the current quarter) and thereafter on or before the 20th day of
the month beginning each calendar quarter: January 20, April 20, July 20 and October 20.
The amount of each quarterly payment shall be one -quarter of the annual rental rate as initially
established or later adjusted under this Article 3.
3.2 Rental Adjustments. The annual rental payment shall be adjusted on July 1, 2010, and on the
same date every five years thereafter (each a "Rental Adjustment Date"). The adjusted annual
rental payment to be paid under the terms of this Lease shall be the appraised fair market
rental value (the "Fair Market Rental Value") of the Leased Land at the highest and best use
of the Leased Land. The highest and best use of the Leased Land shall be determined without
regard to LESSEE's intended or actual use of the Leased Land unless that use is
coincidentally the highest and best use of the Leased Land. CITY shall complete such
appraisal and deliver a copy of the appraisal report to LESSEE not less than ninety (90) days
before each Rental Adjustment Date.
3.3 Procedure for Rental Adjustment. To adjust the rent as of any successive Rental Adjustment
Date, CITY shall, at its own expense, retain an independent State of Alaska certified MAI
appraiser (Member, Appraisal Institute), who shall determine the "Fair Market Rental Value"
of the Leased Land in accordance with this Article 3, exclusive of improvements placed
thereon by LESSEE but inclusive of all improvements made by CITY (including those made
before or subsequent to this LEASE). The appraiser's report shall be delivered to LESSEE
not less than ninety (90) days before the Rental Adjustment Date. The appraiser's
determination of Fair Market Rental Value of the Leased Land shall constitute a final binding
determination of the Fair Market Rental Value and the adjusted annual rental rate until the
next Rental Adjustment Date, unless LESSEE objects to CITY's appraiser's determination of
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the Fair Market Rental Value. In that case, LESSEE shall give written notice to CITY of its
objection within thirty (30) days of receipt of the appraiser's report, and LESSEE shall then
engage an independent State of Alaska certified MAI appraiser (Member, Appraisal Institute)
at LESSEE's expense to make an appraisal of the Fair Market Rental Value in accordance
with this Article 3.
If LESSEE'S appraisal determines a Fair Market Rental Value that varies from that
determined by CITY's appraisal by no more than twenty percent (20%), then the adjusted
rental rate shall be the average of the rental rates determined by the two appraisals. If
LESSEE'S appraisal determines a Fair Market Rental Value that varies from CITY's
appraisal by more than twenty percent (20%), then, unless CITY and LESSEE agree on a rate
themselves, the adjusted annual rental rate of the Leased Land shall be determined in
accordance with the arbitration provisions contained in Article 19 of this LEASE.
3.4 Effect of Late Appraisal by CITY. If, for any reason, CITY does not complete the appraisal
or deliver a copy of the appraisal report to LESSEE ninety (90) days before the Rental
Adjustment Date, CITY may proceed to complete the appraisal or deliver a copy of the
appraisal report to LESSEE at any time thereafter. However, any such adjusted annual rental
rate shall not be effective until the quarterly payment due date immediately following the date
CITY delivers the appraisal report to LESSEE.
3.5 Appraisal by LESSEE. If for any particular Rental Adjustment Date, CITY fails to obtain an
appraisal of the Fair Market Rental Value or fails to deliver the appraisal report to the
LESSEE by the Rental Adjustment Date, LESSEE may engage an independent State of
Alaska certified MAI appraiser (Member, Appraisal Institute) at LESSEE's expense to make
an appraisal under the terms of this Article 3 and submit a copy to CITY before the next
quarterly rental payment due date. However, LESSEE must notify CITY in writing within
thirty (30) days following the Rental Adjustment Date of LESSEE's election to obtain an
appraisal. If CITY objects to LESSEE'S appraiser's determination of the Fair Market Rental
Value, CITY shall give written notice to LESSEE of its objection within thirty (30) days of
receipt of the appraiser's report, and CITY shall then engage an independent State of Alaska
certified MAI appraiser (Member, Appraisal Institute) at CITY's expense to make an
appraisal of the Fair Market Rental Value as of the Rental Adjustment Date and in accordance
with this Article 3. If the CITY's appraisal determines a Fair Market Rental Value that varies
from that determined by LESSEE'S appraisal by no more than twenty percent (20%), then
the adjusted rental rate shall be the average of the rental rates determined by the two
appraisals. If the CITY's appraisal determines a Fair Market Rental Value that varies from
LESSEE'S appraisal by more than twenty percent (20%), then, unless CITY and LESSEE
agree on a rate themselves, the adjusted annual rental rate of the Leased Land shall be
determined in accordance with the arbitration provisions contained in Article 19 of this
LEASE.
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3.6 Effective Date of Adjusted Rental Rate. The adjusted annual rental rate established by this
Article 3 shall apply as of the Rental Adjustment Date if CITY provided a copy of the
appraisal report to LESSEE no later than ninety (90) days before the Rental Adjustment Date.
If the adjusted annual rental rate is based on CITY's late appraisal or late delivery of the
appraisal report to LESSEE, the adjusted rental rate shall be effective beginning with the
quarterly rental payment due date immediately following the date the CITY delivers the
appraisal report to LESSEE. Notwithstanding the above, the exercise by either CITY or
LESSEE of the objection procedure relating to rental adjustment described in this Article 3
shall not postpone LESSEE's obligation to pay rent at the rate established by CITY. LESSEE
shall pay the amount of rent as established or adjusted by CITY until the question ofobjection
to the rental rate is finally resolved. At such time the objection to the rental rate is resolved,
an appropriate credit or adjustment shall be made retroactive to the date the new rental rate
was established by CITY or in cases where CITY failed to obtain an appraisal or deliver the
appraisal report to the LESSEE, to the Rental Adjustment Date.
3.7 Interim Rental Adjustments. For each year in the period between each Rental Adjustment
Date, excepting the Rental Adjustment Dates, the annual rental payment shall be increased
beginning July 1, 2008 and on July 1 of every year thereafter (each on "Interim Rental
Adjustment Date") in an amount that reflects the increase, if any, in the cost of living for the
previous year as stated in the Consumer Price Index, All Urban Consumers, Anchorage,
Alaska Area, All Items 1967=100 ("CPI"), as published by the United States Department of
Labor, Bureau of Labor Statistics for the most recent period published immediately prior to
the Interim Rental Adjustment Date. In no event shall the rent be less than the previous year.
If the CPI is revised or ceases to be published, the CITY shall instead use such revised or
other index as most nearly approximates the CPI for the relevant period, and make whatever
adjustment in its application as may be necessary, in the CITY's sole discretion, to
accomplished as nearly the same result as if the CPI had not been revised or ceased to be
published.
3.8 Late Payment Charge. Rental payments not received by the due date shall bear interest until
paid at a rate of 10.5% per annum, or the maximum rate permitted under Alaska law,
whichever is less, plus a flat monthly late fee of $2.50, or such amount as may be established
from time to time by CITY ordinance or resolution and relating to late fees for CITY leases
generally.
ARTICLE 4 - USE OF LEASED LAND
4.1 Use of Leased Land. CITY has limited land available for lease. Use of the Leased Land by
LESSEE has been detennined by the City Council of CITY to be in the public interest.
LESSEE must use the Leased Land for a retail business consistent with existing land use
regulations of the CITY.
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4.2 Obligations of LESSEE. LESSEE may use the Leased Land only in accordance with
applicable CITY zoning code provisions and provided the following conditions are met:
a) The Leased Land is to be completely cleaned and restored to its original condition,
that is, the condition existing prior to this LEASE or in better condition upon
termination of this LEASE.
b) LESSEE agrees to prohibit the use, keeping, storage, or disposal of Hazardous
Materials on the Leased Land except as permitted in Article 19 of this LEASE.
c) LESSEE shall not use the Leased Land in any manner or construct any facilities
thereon which would inhibit the use of adjacent or other lands.
d) LESSEE shall operate a retail business on the Leased Land no later than January 1,
2010 and for the remaining Lease Term. Any changes to this site require prior CITY
approval, through the City Manager.
4.3 No Preferential Rights to Use Public Facilities. This LEASE does not grant to LESSEE any
exclusive rights to use any public port facilities constructed or operated by CITY. LESSEE
will be subject to any tariffs, procedures, rules and regulations of CITY concerning the use of
such facilities as they may now exist or from time to time be amended, and LESSEE shall not
be entitled to any exclusive use.
4.4 Adequacy of Public Facilities. CITY makes no representations or warranties as to the fitness
of any particular part or the whole of CITY's public facilities for the uses intended by
LESSEE, and LESSEE has inspected those facilities and has satisfied itself that the facilities
are sufficient for the intended uses by LESSEE. CITY makes no representations or
warranties of any nature with respect to the commercial practicability or accuracy of any
information provided by CITY.
4.5 Tariffs and Other Service Fees. CITY shall have the right to make amendments to its tariffs,
regulations and scheduled fees from time to time even if those adjustments shall cost LESSEE
more for its operations or use of public facilities, and CITY is free to do so provided only that
it does not impose any greater burden or higher rate upon LESSEE than upon any other
similar user of the public facilities.
4.6 Time for Payment of Utilities and Taxes. LESSEE will pay for utilities and taxes related to
operations on the Leased Land and LESSEE's interest in this LEASE and improvements
thereon, if any, before such obligations become delinquent; provided, that LESSEE may, in
good faith and before such delinquency, contest any such charge or assessment.
4.7 Other Uses. This LEASE shall not preclude the CITY from actively seeking other and
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additional tenants for space including those who would be in competition with LESSEE or
who might be interested in leasing the Leased Land should tlus LEASE be terminated for any
reason.
ARTICLE 5 - UTILITIES AND RIGHTS OF ACCESS
5.1 Utilities. LESSEE, at LESSEE's sole cost and expense, shall provide for the extension of
public utilities to the Leased Land sufficient for LESSEE's intended operations. In so doing,
LESSEE shall comply with all CITY regulations and requirements, and the tariffs of the
affected utilities, with respect to the construction of those utilities. CITY agrees to cooperate
and assist the LESSEE, through consultation and review, in LESSEE's planning and
engineering of those improvements. All utilities will be located and sized in accordance to
CITY's Master Plan for the area leased. All such construction shall be in compliance with all
applicable building, mechanical and fire codes. Utilities constructed by the LESSEE within
the public right-of-ways or within public utility easements will normally be accepted and
maintained by CITY or utility companies may be used to serve other customers of LESSEE's
without payment of fees or reimbursement of construction cost to the LESSEE. However,
this does not preclude several lessees from agreeing to share the cost of constructing a utility
to serve their facilities. CITY or other utility company may determine that it would be to
their benefit to oversize the utility or install special fittings or equipment in order to serve
other existing or future users. The additional direct costs of such oversizing shall be borne by
CITY or other utility company. Such costs shall be limited to the supplier's cost of the
additional fittings, equipment, direct labor, and equipment costs to complete the installation.
The costs ofoversizing pipe or electrical conduit shall be limited to the difference between the
supplier's price to provide the size required to serve its facility and the price of the oversized
material required by CITY or utility company.
LESSEE shall not be entitled to any refund, rebate, or payments from CITY for any rent,
investment, or costs incurred by LESSEE with respect to any required permits for
construction or operation of LESSEE's facilities on the Leased Land, it being the intent ofthe
parties that the risk of obtaining required permits be solely a risk undertaken by LESSEE.
5.2 Third -Party Improvements. At the request of LESSEE, CITY shall, from time to time,
execute and deliver, or join in execution and delivery of, such documents as are appropriate,
necessary, or required to impose upon the Leased Land in accordance with the terms of this
LEASE covenants, conditions and restrictions providing for the granting of uses of the
Leased Land, or any part thereof, the establishment of party walls, the establishment of
mutual and reciprocal parking rights or rights of ingress or egress, or other like matters
(herein called "third -party improvements"), all of which are for the purpose of the orderly
development of the Leased Land as a commercial unit subject, however, to the conditions
that:
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a) All such matters shall be limited to the Lease Term and shall terminate upon
termination of this LEASE for whatever reason.
b) Any such matters of a permanent nature extending beyond the Lease Term shall not
be granted without the prior written approval of CITY. In any of the foregoing
instances referred to in this Section, CITY shall be without expense therefor, and the
cost and expense thereof shall be borne solely by LESSEE.
c) At the expiration of the Lease Term (including any extended period) third -party
improvements on the Leased Land other than portable equipment shall become the
property of CITY without the payment of any compensation to LESSEE.
5.3 Easements. In order to provide for the orderly development of the Leased Land and adjacent
lands, it maybe necessary, desirable or required that street, railroad, water, sewer, drainage,
gas, power line and other easements and dedications and similar rights be granted or
dedicated over or within portions of the Leased Land. As additional consideration for this
LEASE, CITY and LESSEE each shall, at the request of the other, join with each other in
executing and delivering such documents from time to time and throughout the Lease Term as
may be appropriate, necessary, or required by the several governmental agencies (including
the City of Seward), public utilities and other users or tenants of CITY land for the purpose
of granting such easements and dedications; provided, however, that such easements and
dedications and similar rights do not unreasonably interfere with LESSEE's operations. The
costs of locating or relocating any public easements or restrictions of record including any
relocation of public road, railroad, utility, or other easements shall be at the sole cost and
expense of the party requesting the relocation. CITY shall not refuse reasonable requests for
such relocations provided those relocations do not interfere with or inhibit the overall
development of CITY property or other public property. Any easements or rights of access
granted to LESSEE by CITY need not be exclusive to LESSEE.
5.4 Limited Access Easement.
The CITY reserves a limited easement across the West fifteen (15) feet of the Leased Land,
for the limited use of and by the CITY for emergency and utility access, and for access by
other owners or lessees of parcels on Block 1, Marina Subdivision and Seward Small Board
Harbor Subdivision for the limited purposes of emergency use, deliveries and owner/employee
parking. LESSEE agrees to keep this easement clear of obstructions, but LESSEE assumes
no responsibility for snow removal.
ARTICLE 6 - CONSTRUCTION BY LESSEE
6.1 Improvements on Leased Land. LESSEE shall have the right to erect, maintain, alter,
remodel, reconstruct, rebuild, build and/or replace buildings and other improvements on the
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Leased Land, subject to the following conditions:
a) The cost of any construction, reconstruction, demolition, or of any changes,
alterations or improvements, shall be borne and paid for by LESSEE.
b) The Leased Land shall at all times be kept free of mechanic's and materiahnen's liens.
c) LESSEE shall provide CITY with a copy of all building plans and specifications and a
site development plan or plans (based on a recent survey) for the Leased Land prior to
commencement of construction.
d) LESSEE is solely responsible for resurveying and locating improvements on the
Leased Land in such manner not to violate building setback requirements or encroach
into rights -of -ways or easements. On completion of any improvements, LESSEE
shall provide CITY a copy of an as -built survey depicting the improvements as
completed on the Leased Land.
e) Any general contractor employed by LESSEE shall be appropriately bonded by use of
performance and labor and material payment bonds in the customary form when cost
of the work is equal to or exceeds FIFTY THOUSAND DOLLARS ($50,000).
Copies of all such bonds shall be furnished to CITY prior to commencement of
construction. If the cost of the work is less than FIFTY THOUSAND DOLLARS
($50,000.00), LESSEE shall provide CITY, if no performance and labor and material
bonds are provided by LESSEE, any necessary assurances or guarantees that the
contemplated work will be performed by the general contractor or by LESSEE. In
the event that LESSEE elects to construct the facility with its own personnel and
equipment, or the personnel and equipment of any corporation or person that is an
"affiliate" of LESSEE as such term is defined in AS 10.06.990(2) or Alaska limited
liability company in which LESSEE maintains a substantial membership interest', a
performance bond shall be required when the cost of the work is equal to or exceeds
FIFTY THOUSAND DOLLARS ($50,000).
fl CITY may, as contemplated by Alaska Statutes, give notice of non -responsibility for
any improvements constructed or effected by LESSEE on the Leased Land.
g) LESSEE shall comply with all federal, state and local statutes and regulations with
respect to such construction, including but not limited to all applicable building,
mechanical, and fire codes.
Affiliate means a person that directly or indirectly through one or more intermediaries controls, or is controlled by, or is under common
control with, a corporation subject to the Alaska Corporation Code.
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6.2 City Review of Construction. CITY shall have the right to review initial plans, including those
supplied to CITY under Section 6.1 hereof, and any future changes or additions to LESSEE's
facilities on the Leased Land, by reviewing the design thereof prior to the commencement of
construction. CITY shall have the right to comment upon that design and to require LESSEE
to make reasonable changes so as to avoid interference with public operations, but the
exercise of these rights shall not imply any obligation to do so nor any obligation to do so in a
particular way. LESSEE shall construct the facility in accordance with final design
specifications approved by CITY. CITY's representatives may monitor the work and shall
have access to the site at all reasonable times. LESSEE shall be solely responsible for
completing all improvements according to LESSEE's plans and specifications and shall bear
all risk, responsibility, and liability for properly surveying the Leased Land before construction
and to place all improvements on the Leased Land without encroaching upon any land,
easements, rights -of -way, or setback requirements. LESSEE shall obtain the usual and
customary performance guarantees from its contractors, and CITY shall be named as an
additional insured.
ARTICLE 7 - RETURN OF LEASED LAND/SITE CONDITIONS
7.1 Return of Leased Land in Original Condition. Subject to the provisions of Article 11.1
herein, upon termination of this LEASE for any reason, LESSEE shall return the Leased
Land to CITY in the same condition as at the commencement this LEASE, subject to
normal, non -abusive use. The Leased Land shall be free of all Hazardous Materials and
contamination arising out of or resulting from or occurring during LESSEE's operations
or use of the Leased Land during this LEASE.
ARTICLE 8 - FORCE MAJEURE
In the event either LESSEE or CITY is delayed from performance of any of its obligations
under this LEASE due to acts of nature, acts of the enemies of the United States of America,
sabotage, blockade, insurrection, riot, epidemic, fire, flood, explosion, earthquake/tsunami, civil
disturbance, or war, the time period wherein such performance is to occur shall be extended by that
amount of time necessary to compensate for the delay.
ARTICLE 9 - LESSEE'S ACTS OF DEFAULT
Each of the following shall be a "LESSEE Act of Default" under this LEASE and the terms
"acts of default" and "default" shall mean, whenever they are used in this LEASE, any one or more of
the following events:
9.1 Failure by LESSEE to pay promptly when due, and in no event later than twenty (20) days
from the due date thereof, the rent required to be paid under this LEASE.
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9.2 Failure by LESSEE to comply with Section 4.1 of this LEASE.
9.3 Failure by LESSEE to observe, fulfill or perform any covenants, conditions or agreements on
its part to be observed or performed under this LEASE, other than payment of rent or
compliance with Section 4.1, for a period of thirty (30) days after written notice specifying
such failure, requesting that it be remedied, and stating that it is a notice of default, has been
given to LESSEE by CITY; provided, however, that if said default is such that it cannot be
corrected within the applicable period, it shall not constitute an act of default if corrective
action is instituted by LESSEE within the applicable period and diligently pursued until the
default is corrected.
9.4 The making by LESSEE of an assignment for the benefit of creditors, the filing ofa petition in
bankruptcy by LESSEE, the adjudication of LESSEE as insolvent or bankrupt, the petition or
application by LESSEE to any tribunal for any receiver or any trustee for itself or for any
substantial part of its property; or the commencement of any proceeding relating to LESSEE
under any bankruptcy, insolvency, reorganization, arrangement or readjustment ofdebt law or
statute or similar law or statute of any jurisdiction, whether now or hereafter in effect which
shall remain undismissed for a period of six (6) months from the date of commencement
thereof.
9.5 Violation by LESSEE of any laws or regulations of the United States, or of the State of
Alaska, or any conditions of any permits issued by agencies of the City of Seward, the Kenai
Peninsula Borough, the State of Alaska or of the United States Government applicable to
LESSEE's use of the Leased Land, pursuant to the regulations of such agencies, for a period
of sixty (60) days after written notice specifying such violation has been given by the agency
charged with the enforcement of such laws, regulations or permits to LESSEE; provided,
however, if such violation be such that it cannot be corrected within the applicable period, it
shall not constitute an act of default if corrective action is instituted by LESSEE within the
applicable period and diligently pursued until the violation is corrected. Furthermore, if
LESSEE shall contest such alleged violation through appropriate judicial or administrative
channels, the time period specified herein shall not commence until such proceedings are
finally determined provided such proceedings are diligently pursued; provided, however, that
any such extension of time shall not be effective if the effect of the interim administrative or
judicial action is to cause a stoppage, interruption or threat to the activities of any person or
entity other than those of LESSEE.
9.6 Failure of LESSEE to maintain its operations within the Leased Land or to keep the public
rights of way clear.
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ARTICLE 10 - REMEDIES FOR DEFAULT BY LESSEE
Whenever an act of default by LESSEE shall have occurred, and any applicable period for
giving notice and any opportunity to cure shall have expired, CITY shall have the following rights and
remedies all in addition to any rights and remedies that may be given to CITY by statute, common law
or otherwise:
10.1 CITY may distrain for rent due any of LESSEE's personal property which comes into CITY's
possession. This remedy shall include the right of CITY to dispose of personal property
distrained in any commercially reasonable manner. It shall be conclusively presumed that
compliance with the procedures set forth in the Alaska Uniform Commercial Code (AS
45.29.601-.628) with respect to sale of property shall be a commercially reasonable disposal.
10.2 CITY may re-enter the Leased Land and take possession thereof and, except for any personal
property of LESSEE which CITY has waived its right to distrain under Section 10.1 above,
remove all personal property of LESSEE from the Leased Land. Such personal property may
be stored in place or may be removed and stored in a public warehouse or elsewhere at the
cost of LESSEE all without service of notice or resort to legal process, all of which LESSEE
expressly waives.
10.3 In addition to the above, CITY may:
a) Declare this LEASE terminated;
b) Collect any and all rents due or to become due from subtenants or other occupants of
the Leased Land;
c) Recover from LESSEE, whether this LEASE be terminated or not, reasonable
attorney's fees and all other expenses incurred by CITY by reason of the breach or
default by LESSEE;
d) Recover an amount to be due immediately on breach equal to the unpaid rent for the
entire remaining term of this LEASE.
e) Recover all damages incurred by CITY by reason of LESSEE's default or breach
including, but not limited to, the cost of recovering possession of the Leased Land,
expenses of reletting including costs of necessary renovation and alteration of the
premises, reasonable attorney's fees and any real estate commissions actually paid.
fl Remove or require the removal of any improvements constructed without CITY
approval or constructed contrary to site development plans approved by CITY and
recover all costs and expense incurred by CITY to remove violating improvements.
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10.4 If LESSEE does not immediately surrender possession of the Leased Land after termination
by CITY and upon demand by CITY, CITY may forthwith enter into and upon and repossess
the Leased Land and expel LESSEE without being deemed guilty in any manner of trespass
and without prejudice to any remedies which might otherwise be used for arrears of rent or
breach of covenant.
10.5 No expiration or termination of this LEASE shall expire or terminate any liability or
obligation to perform of LESSEE's which arose prior to the termination or expiration except
insofar as otherwise agreed to in this LEASE.
10.6 Each right and remedy of CITY provided for in this LEASE shall be cumulative and shall be
in addition to every other right or remedy provided for in this LEASE or now or hereafter
existing at law or in equity or by statute or otherwise, and the exercise or beginning of the
exercise by CITY of any one or more of the rights and remedies provided for in this LEASE
or now or hereafter existing at law or in equity or by statute or otherwise shall not preclude
the simultaneous or later exercise by CITY of any or all other rights or remedies provided for
in this LEASE or now or thereafter existing at law, or in equity or by statute or otherwise.
10.7 No delay or omission to exercise any right or power accruing following an act of default shall
impair any such right or power or shall be construed to be a waiver thereof, but any such right
and power may be exercised from time to time and as often as may be deemed expedient.
ARTICLE 11 - TITLE TO IMPROVEMENTS INSTALLED BY LESSEE
11.1 Real Property Improvements. All improvements constructed by LESSEE on the Leased Land
or on easements to or from the same, such as buildings, warehouses, conveyor systems,
ditches, sewer lines, water lines, dikes or berms and similar improvements, shall become the
property of CITY upon termination of this LEASE for any reason; provided, however, that
CITY may require LESSEE to remove any improvements designated by CITY and without
cost to CITY.
11.2 Personal Property. Any other provisions of this LEASE to the contrary notwithstanding,
LESSEE, upon termination of this LEASE for any reason, may, but need not, promptly
remove, in no event later than ninety (90) days from the termination of the LEASE, trade
fixtures and equipment from the Leased Land provided that LESSEE shall repair any damages
to the Leased Land caused by such removal.
ARTICLE 12 - ASSIGNMENT OR SUBLEASE
12.1 Assignment of Lease or Subleasing. The parties recognize that this LEASE has been
determined to be in the public interest by the City Council of CITY for the reasons set forth in
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the approving Resolution. The rights and duties created by the LEASE are personal to
LESSEE and CITY has granted the LEASE in reliance upon the individual character and
financial capability of LESSEE. Therefore, LESSEE shall not assign or sublease this LEASE
without CITY's prior written consent, in CITY's sole discretion.
12.2 Assignment of Lease for Security. Notwithstanding Section 12.1 above, LESSEE may assign,
encumber or mortgage its interest in this LEASE or improvements on the Leased Land, by
deed of trust or other security instrument, to an institutional lender ("Lender") for
development of or operations on the Leased Land, provided that Lender shall be subject to all
obligations of LESSEE under the terms of this LEASE upon foreclosure. CITY shall furnish
Lender, at the address provided to CITY by Lender in writing, with notice of any default or
breach of LESSEE under this LEASE. Lender shall have the right (without being required to
do so and without thereby assuming the obligations of LESSEE under this LEASE) to make
good such default or breach within thirty (30) days after written notice specifying such
breach. Notwithstanding the provisions of Article 10 above, no "LESSEE Act of Default"
shall exist until expiration of thirty (30) days after such notice is furnished to Lender;
provided,
a) If Lender, with respect to any default or breach other than a failure to make any
required payment of rent or other money, shall undertake within thirty (30) days after
notice to cure the default or breach and shall diligently and in good faith proceed to
do so, CITY may not terminate this LEASE or relet the Leased Land unless Lender
fails to cure the default or breach within a reasonable period of time thereafter; and
b) If the default for which notice is given is a breach of Section 9.3, CITY shall not
exercise any of the remedies afforded to it under Article 10 above so long as LESSEE
or Lender remains in possession of the Leased Land and satisfies LESSEE's
obligations under the terms of this LEASE. Upon foreclosure or other assertion of its
security interest, Lender may further assign, transfer, or dispose of its interests,
provided that any subsequent assignee, purchaser or transferee shall remain bound by
each and every term of this LEASE.
12.3 Assignment to Affiliate. Notwithstanding Section 12.1 above, LESSEE may assign this
LEASE to an affiliate of LESSEE as that term is defined by AS 10.06.990(2) or Alaska
limited liability company in which LESSEE maintains a substantial membership interest';
provided, however, that LESSEE's full faith and credit shall remain obligated under this
LEASE as though the assignment had not taken place.
2Affiliate means a person that directly or indirectly dtrrough one or more intennediaries controls, or is controlled by, or is under common
control with, a corporation subject to the Alaska Corporation Code.
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ARTICLE 13 - LESSEE'S DUTY TO DEFEND/INDEMNIFY
LESSEE shall defend, indemnify and hold harmless CITY, its officials, employees, agents, and
contractors from any and all liability or claims for damages, including personal injuries, environmental
damage, death and property damage arising out of or resulting from LESSEE's use of the Leased
Land or the use of the Leased Land by LESSEE's sublessees, assignees, agents, contractors or the
public, except for damages arising from the sole negligence or willful acts or omissions of CITY, its
officials, employees, agents, or contractors. If any action or proceeding is brought against LESSEE
by reason of any such occurrence, LESSEE shall notify CITY promptly in writing of such action or
proceeding.
ARTICLE 14 - CITY'S DUTY TO DEFEND/INDEMNIFY
CITY shall defend, indemnify and hold LESSEE harmless from any and all liability or claims
for damages, including personal injuries, death and property damage arising from the sole negligence
or willful acts or omissions of CITY, its officials, employees, agents, or contractors.
ARTICLE 15 - INSURANCE
15.1 Minimum Insurance Requirements. Prior to commencement ofthe Lease Term or LESSEE'S
occupancy of the Leased Land, LESSEE shall procure and maintain, at LESSEE's sole cost
and expense, comprehensive commercial general liability insurance with limits of liability of
not less than TWO MILLION DOLLARS ($2,000,000) for all injuries and/or deaths resulting
to any one person and TWO MILLION DOLLARS ($2,000,000) limit from any one
occurrence. The comprehensive commercial general liability insurance shall include coverage
for personal injury, bodily injury, and property damage or destruction. Coverage under such
policies of insurance shall include collapse and underground property damage hazards.
Contractual liability insurance coverage in the amount of not less than TWO MILLION
DOLLARS ($2,000,000) is also required.
LESSEE shall obtain owned and non -owned automobile liability insurance with limits of
liability of not less than ONE MILLION DOLLARS ($1,000,000) per occurrence combined
single limit for bodily injury and property damage.
LESSEE shall also maintain workers' compensation insurance as required under Alaska law.
The minimum amounts and types of insurance provided by LESSEE shall be subject to
revision at the sole discretion of CITY in accordance with standard insurance practices, in
order to provide continuously throughout the term of this LEASE and any extensions hereof,
a level of protection consonant with good business practice and accepted standards in the
industry. Such factors as changes in the type of or extent of use of the Lease Land, increases
in the cost of living, inflationary pressures, and other considerations, shall be utilized in
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33
assessing whether the minimum insurance requirements should be increased. CITY shall
notify LESSEE of any required increase in insurance coverage.
All insurance policies shall provide for thirty (30) days' notice of cancellation and/or material
change to be sent to CITY at the address designated in ARTICLE 33 of this LEASE. All
such policies shall be written by insurance companies legally authorized or licensed to do
business in the State of Alaska, and acceptable to CITY (Best's Rating B+ or better). CITY
shall be listed as an additional insured under all insurance policies. LESSEE shall furnish
CITY, on forms approved by CITY, certificates evidencing that it has procured the insurance
required herein prior to the occupancy of the Leased Land or operation by LESSEE.
Insurance policy deductibles are subject to approval by CITY. Nothing herein contained
shall prevent LESSEE or CITY from placing and maintaining at CITY's or LESSEE's own
individual cost and expense, additional or other insurance as may be desired. The minimum
insurance requirements under this LEASE shall not act to limit LESSEE's liability for any
occurrence and shall not limit LESSEE's duty to defend and indemnify CITY for claims
related to this LEASE or the Leased Land.
15.2 Subrogation Rights Waived. To the extent permitted by law, LESSEE herebyreleases CITY,
its elected and appointed officials, employees and volunteers and others working on behalfof
CITY fiom any and all liability or responsibility to LESSEE or anyone claiming through or
under LESSEE by way of subrogation or otherwise, for any loss of any kind (including
damage to property caused by fire or any other casualty), even if such loss shall have been
caused by the fault or negligence of the CITY, its elected or appointed officials, employees or
volunteers or others working on behalf ofthe CITY. This provision shall be applicable and in
full force and effect only with respect to loss or damage occurring during the time of
LESSEE's occupancy or use (including LESSEE's occupancy or use prior to the Effective
Date of this LEASE), and LESSEE's policies of insurance shall contain a clause or
endorsement to the effect that such release shall not adversely affect or impair such policies or
prejudice the right of LESSEE to recover thereunder except as against CITY (including its
elected and appointed officials, employees and volunteers and others working on behalf of
CITY) during the time of LESSEE's occupancy or use. LESSEE agrees that its policies of
insurance will include such a clause or endorsement.
ARTICLE 16 - CONDEMNATION
If all or any part of the Leased Land is condemned for a public use by any government agency
or other duly authorized entity, CITY and LESSEE shall each make a claim against the condemning
or taking authority for the amount of any damage incurred by or done to them respectively as a result
of the taking. Neither LESSEE nor CITY shall have any rights in or to any award made to the other
by the condemning authority; provided, that in the event of a single award to CITY which includes
specific damages for loss of LESSEE's leasehold interest, CITY shall transmit to LESSEE the amount
of such specific damages so found, if any.
16
If part but not all ofthe Leased Landis condemned for public use, LESSEE shall make agood
faith determination as to whether or not the taking of the part of the Leased Land designated for
condemnation will prevent it from continuing to operate on the Leased Land. If LESSEE determines
in good faith that the condemning of such part of the Leased Land will prevent it from continuing to
operate on the Leased Land, LESSEE may notify CITY in writing to this effect, and this LEASE shall
then be terminated for all purposes effective fifteen (15) days from the date LESSEE sends such
notice to CITY, or at such other later date as LESSEE shall specify in its notice, and such termination
shall be treated in the same manner as a termination at the expiration of the term of this LEASE.
LESSEE shall, as a condition precedent to such termination, remove all encumbrances, debts and
liens to which the Leased Land is subject. If at the time of such partial taking for public use, LESSEE
determines that such partial taking will not prevent it from continuing to operate, then LESSEE and
CITY shall negotiate an equitable and partial abatement of the rent beginning to be effective on the
actual date when LESSEE is effectively prevented from utilizing the condemned land.
ARTICLE 17 - ARBITRATION
17.1 Arbitration.
a) Disputes between the parties with respect to the performance of this LEASE that
cannot be resolved by the parties, shall be submitted to an independent arbitrator for a
settlement pursuant to the provisions of the Alaska Uniform Arbitration Act (AS
09.43.010 et. seq.), as it now exists or may hereafter be amended from time to time,
and judgment on the award may be entered in any Superior Court in the State of
Alaska. Notwithstanding the foregoing, arbitration shall not be applicable to claims or
disputes involving a requested remedy having a value of more than Fifty Thousand
Dollars and No/100s ($50,000) (exclusive of interest and costs). All demands for
arbitration and all answering statements thereto that include any claim must contain a
statement that the total sum or value in controversy, as alleged by the party making
such demand or answering statement, is not more than Fifty Thousand Dollars and
No/100s ($50,000.) The arbitrator will not have jurisdiction, power, or authority to
consider or make findings (except to deny jurisdiction) concerning any claim,
counterclaim, dispute or other matter in question where the amount in controversy of
any such claim, counterclaim, dispute or matter is more than Fifty Thousand Dollars
and No/100s ($50,000). The costs and expenses of arbitration shall be shared equally
by the parties, and each party shall bear its own attorney's fees and costs.
b) Arbitration procedures shall be applicable only to contract, negligence, and similar
claims arising from or related to this LEASE, and shall not be used to resolve or
determine any claim based upon fraud, intentional misrepresentation, nor any claim
based on conduct that is a felony crime in the State of Alaska.
17
c) Written notice of requests for arbitration of disputes maybe served by either party to
this LEASE upon the other party. Arbitration of any dispute or claim shall be
determined by a single arbitrator selected from a list of not less than five arbitrators
obtained from the presiding Superior Court Judge or other appropriate judicial officer
in Anchorage, Alaska. The arbitrator shall be a person who (a) has not less than five
(5) years legal experience in the State of Alaska prior to appointment; and (b) such
legal experience includes substantial experience with long-term commercial real
property transactions. Each party shall be provided with a copy of the list and shall be
afforded a maximum of ten (10) working days to become familiar with the
qualifications of the prospective arbitrators. The arbitrator shall be selected by each
party, commencing with the party demanding the arbitration, striking one name from
the list until only a single name remains.
d) Arbitration hearings shall be conducted in Anchorage, Alaska or such other location
as the parties may agree. Each party shall produce at the request of the other party, at
least thirty (30) days in advance of such hearing, all documents to be submitted at the
hearing and such other documents as are relevant to the issues or likely to lead to
relevant information.
e) In deciding the claim or dispute, the arbitrator shall follow applicable Alaska law, and
the written decision shall be supported by substantial evidence in the record. Failure
to apply Alaska law, or entry of a decision that is not based on substantial evidence in
the record, shall be additional grounds for modifying or vacating an arbitration
decision.
ARTICLE 18 - MAINTENANCE AND REPAIRS
18.1 Normal Maintenance. During the entire term of this LEASE and every extension hereof, if
any, LESSEE shall, at LESSEE's sole cost, risk and expense, maintain the Leased Land,
including any improvements placed thereon by LESSEE, in as good condition as received or
constructed by LESSEE, subject to normal, non -abusive use. CITY, at CITY's sole option
and expense, may, prior to the commencement of construction by LESSEE, perform
maintenance and preventative work on the Leased Land, exclusive of improvements placed
thereon by LESSEE, in order to prevent erosion, mitigate damage to plants and animals, or
prepare the Leased Land for eventual development by LESSEE or others by grading, filling or
contouring the Leased Land. Any such work performed by CITY shall be at CITY's sole
expense and risk unless LESSEE agrees, in advance and in writing, to share such expense and
risk. LESSEE shall maintain in first class condition at all times all fire, pollution and other
protective equipment, if any are placed on Leased Land.
18.2 Safety Issues. CITY may notify LESSEE in writing of any deficiencies in the perfonnance of
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36
LESSEE's maintenance responsibilities as they relate to public health or safety and LESSEE
shall promptly within thirty (30) days of receipt of such notice advise CITY in writing of its
proposed schedule for performance of any work necessary to cure such deficiencies.
If such deficiencies relate to the safety of LESSEE's operation such that the surrounding land
and port facilities are exposed to risk, unnecessary potential hazards, or a risk to the public
interest (as distinguished from a business risk), or if CITY is not satisfied with the proposed
schedule of repairs either because of the delays thereui or the scope of the repairs, then CITY
may engage an independent engineering consultant well -versed and experienced who shall
furnish to CITY a comprehensive survey and report for the purpose of establishing both the
need and urgency to perform such maintenance work. As soon as practicable following
receipt of said engineer's determinations and recommendations, if the report requires repair
then LESSEE shall pay the cost of the report and perform such work in accordance therewith
at LESSEE's cost, risk and expense.
18.3 Cost of Repairs. Should LESSEE dispute the necessity of any maintenance work as being
necessary or advisable or reasonable to protect the public facilities on adjacent land, it may
submit the matter to arbitration; provided, however, that pending the decision ofthe arbitrator
it shall fully comply with the maintenance requests. If an arbitration award should ultimately
find that the repairs were not necessary then LESSEE may either deduct from future rental
payments the cost of such repairs or be reimbursed therefor. In deciding whether repairs
requested by CITY or required by an engineering report are necessary, the arbitration panel is
to give primary consideration to the safety and welfare of the Seward port facilities and the
citizens of Seward in light of the highest standards in the industry.
If any facility or service provided by CITY to the Leased Land shall become inadequate due
to changes in environmental control standards or should any facility require updating or
improvement by reason of a change in LESSEE's use of the Leased Land or operations
therefrom, LESSEE shall either construct such improvements at LESSEE's own cost or
reimburse CITY for such work at the option of CITY.
ARTICLE 19 - ENVIRONMENTAL CONCERNS
19.1 Hazardous Materials.
a) Condition of Site. LESSEE has had full opportunity to examine the site for the
presence of any Hazardous Material and accepts the site in "as is" condition.
LESSEE may elect, at LESSEE's sole cost, to conduct a baseline soils test prior to
execution of this LEASE.
b) Release of CITY. Any other provision of this LEASE to the contrary notwith-
standing, LESSEE releases CITY from any and all claims, demands, penalties, fines,
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37
judgments, liabilities, settlements, damages, costs or expenses (including, without
limitation, attorney's fees, court costs, litigation expenses, and consultant and expert
fees) arising prior to, during, and after the term of this LEASE, and resulting from the
use, keeping, storage or disposal of Hazardous Material on the Leased Land by
LESSEE or its predecessors in interest, or arising out of or resulting from LESSEE's
operations at the Leased Land or the operations of its predecessors in interest at the
Leased Land except for those claims arising out of CITY's sole negligence or
intentional misconduct. This release includes, without limitation, any and all costs
incurred due to any investigation of the Leased Land or any cleanup, removal or
restoration mandated by a federal, state or local agency or political subdivision or by
law or regulation.
c) Use of Hazardous Materials on the Site.
i) LESSEE shall not cause or permit any Hazardous Material to be brought
upon, kept or used in or about the Leased Land except for such Hazardous
Material as is necessary to conduct LESSEE's authorized use of the Leased
Land.
Any Hazardous Material permitted on the Leased Land as provided in this
paragraph, and all containers therefor, shall be used, kept, stored and disposed
of in a manner that complies with all Environmental Laws or other laws or
regulations applicable to such Hazardous Material.
iii) LESSEE shall not discharge, leak or emit, or permit to be discharged, leaked
or emitted, any material into the atmosphere, ground, ground water, sewer
system or any body of water, if such material (as reasonably determined by the
City, or any governmental authority) does or may, pollute or contaminate the
same, or may adversely affect the (a) health, welfare or safety of persons,
whether located on the Leased Land or elsewhere; or (b) condition, use or
enjoyment of the Leased Land or any other area or personal property.
iv) LESSEE hereby agrees that it shall be fully liable for all costs and expenses
related to the use, storage and disposal of Hazardous Material kept or brought
on the Leased Land by LESSEE, its authorized representatives and invitees,
and LESSEE shall give immediate notice to CITY of any violation or
potential violation of the provisions of this subparagraph.
d) Indemnification of CITY. Any other provision of this LEASE to the contrary
notwithstanding, LESSEE shall defend, indemnify and hold CITY harmless from and
against any claims, demands, penalties, fines, judgments, liabilities, settlements,
damages, costs or expenses (including, without limitation, attorney, consultant and
20
[Z
expert fees, court costs and litigation expenses) of whatever kind or nature, known or
unknown, contingent or otherwise, arising out of or in any way related to:
i) The presence, disposal, release or threatened release of any such Hazardous
Material which is on or from the Leased Land, soil, water, ground water,
vegetation, buildings, personal property, persons, animals or otherwise;
ii) Any personal injury (including wrongful death) or property damage (real or
personal) arising out of or related to such Hazardous Material or any use of
the Leased Land;
Any lawsuit brought or threatened, settlement reached or government order
relating to such Hazardous Material or any use of the Leased Land; and/or
iv) Any violation of any laws applicable thereto; provided, however, that this
Section 19.1(d) shall apply only if the acts giving rise to the claims, demands,
penalties, fines, judgments, liabilities, settlements, damages, costs or expenses
(1) occur prior to or during the term of this LEASE; and (2) arise in whole or
in part from the use of, operations on, or activities on the Leased Land by
LESSEE or LESSEE's predecessors in interest, employees, agents, invitees,
contractors, subcontractors, authorized representatives, subtenants or any
other persons. The provisions of this subparagraph shall be in addition to any
other obligations and liabilities LESSEE may have to CITY at law or equity
and shall survive the transactions contemplated herein and shall survive the
termination of this LEASE.
e) Operator. For all purposes, LESSEE shall be deemed the operator of any facility on
the Leased Land.
0 Hazardous Material Defined. As used in this LEASE, Hazardous Material is any
substance which is toxic, ignitable, reactive, or corrosive or which is regulated by any
Environmental Law. Hazardous Material includes any and all material or substances
which are defined as industrial waste, hazardous waste, extremely hazardous waste or
a hazardous substance under any Environmental Law. Notwithstanding any statutory
petroleum exclusion, for the purposes of this LEASE, the term Hazardous Material
includes, without limitation, petroleum, including crude oil or any fraction thereof,
petroleum soaked absorbent material and other petroleum wastes.
g) Environmental Law Defined. As used in this LEASE, Environmental Laws include
any and all local, state and federal ordinances, statutes, and regulations, as now in
force or as may be amended from time to time, relating to the protection of human
health and the environment, as well as any judgments, orders, injunctions, awards,
21
decrees, covenants, conditions, or other restrictions or standards relating to same.
Environmental Laws include, by way of example and not as a limitation of the
generality of the foregoing, Alaska Statutes Title 46, the Resource Conservation and
Recovery Act of 1976, the Comprehensive Environmental Response, Compensation
and Liability Act of 1980, the Clean Water Act, and the Superfund Amendments and
Reauthorization Act of 1986.
19.2 Permits and Reporting.
a) Permits Required by Other Governmental Agencies. LESSEE shall obtain all permits
or approvals required by any applicable law or regulation. Copies of all such permits
shall be provided to CITY prior to LESSEE commencing work under this LEASE.
LESSEE shall promptly make all reports to any federal, state or local government or
agency required by any permit or Environmental Law, including reports of any spill or
discharge of Hazardous Material. The CITY, through the City Manager, may order
LESSEE to immediately cease any operations or activities on the Leased Land if the
same is being carried out without necessary permits, in violation of the terms of any
permit or Environmental Law, or contrary to this LEASE.
b) Correspondence With and Reports to Environmental Agencies. LESSEE shall
immediately (the same or the next business day) provide CITY with copies of all
correspondence and notice, including copies, of all reports between LESSEE and any
state, federal or local government or agency regulating Hazardous Material which
relates to LESSEE's operations on or use of the Leased Land.
ARTICLE 20 - ESTOPPEL CERTIFICATES
Either party shall at any time and from time to time upon not less than ten (10) days' prior
written request by the other party, execute, acknowledge, and deliver to such party, or to its designee,
a statement in writing certifying that this LEASE is unamended and in full force and effect (or, ifthere
has been any amendment thereof, that the same is in full force and effect as amended and stating the
amendment or amendments), that there are no defaults existing (or, if there is any claimed default,
stating the nature and extent thereof); and stating the dates to which the rent and other charges have
been paid in advance.
ARTICLE 21 - CONDITIONS AND COVENANTS
All the provisions of this LEASE shall be construed to be "conditions" as well as "covenants,"
as though the words specifically expressing or imparting covenants and conditions were used in each
separate provision.
ARTICLE 22 - NO WAIVER OF BREACH
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40
No failure by either CITY or LESSEE to insist upon the strict performance by the other of
any term, covenant or condition of this LEASE or to exercise any right or remedy consequent upon a
breach thereof, shall constitute a waiver of any such breach or of such terms, covenants or conditions.
No waiver of any breach shall affect or alter this LEASE, but each and every term, covenant and
condition of this LEASE shall continue in full force and effect with respect to any other then existing
or subsequent breach.
ARTICLE 23 - TIME OF THE ESSENCE
Time is of the essence of this LEASE and of each provision.
ARTICLE 24 - COMPUTATION OF TIME
The time in which any act provided by this LEASE is to be done by shall be computed by
excluding the first day and including the last, unless the last day is a Saturday, Sunday or a holiday,
and then it is also excluded.
ARTICLE 25 - SUCCESSORS IN INTEREST
Each and all of the terms, covenants and conditions in this LEASE shall inure to the benefit of
and shall be binding upon the successors in interest of CITY and LESSEE.
ARTICLE 26 - ENTIRE AGREEMENT
This LEASE contains the entire agreement of the parties with respect to the matters covered
by this LEASE, and no other agreement, statement or promise made by any party which is not
contained in this LEASE shall be binding or valid.
ARTICLE 27 - GOVERNING LAW
This LEASE shall be governed by, construed and enforced in accordance with the laws ofthe
State of Alaska. The terms of this LEASE are subject in all respects to the Charter and Code of
Ordinances of CITY in effect on the date of this LEASE, and as they may be hereafter amended,
including without limitation, Chapter 7.05 of the Seward City Code.
ARTICLE 28 - PARTIAL INVALIDITY
If any provision of this LEASE is held by a court of competent jurisdiction to be invalid, void
or unenforceable, the remainder of the provisions shall remain in full force and effect and shall in no
way be affected, impaired or invalidated.
23
ARTICLE 29 - RELATIONSHIP OF PARTIES
Nothing contained in this LEASE shall be deemed or construed by the parties or by any third
person to create the relationship of principal and agent or of partnership or ofjoint venture or of any
association between CITY and LESSEE; and neither the method of computation of rent, nor any
other provisions contained in this LEASE nor any acts of the parties, shall be deemed to create any
relationship between CITY and LESSEE other than the relationship of lessee and lessor.
ARTICLE 30 - INTERPRETATION
The language in all parts of this LEASE shall in all cases be simply construed according to its
fair meaning and not for or against CITY or LESSEE as both CITY and LESSEE have had the
opportunity to seek assistance of counsel in drafting and reviewing this LEASE.
ARTICLE 31 - CAPTIONS
Captions ofthe articles, paragraphs and subparagraphs ofthis LEASE are for convenience and
reference only, and the words contained therein shall in no way be held to explain, modify, amplify or
aid in the interpretation, construction or meaning of the provisions of this LEASE.
ARTICLE 32 - AMENDMENT
This LEASE is not subject to amendment except in writing executed by both parties hereto.
ARTICLE 33 - NOTICES
All notices, demands or requests from one party to another shall be delivered in person or be
sent by mail, certified or registered, postage prepaid, to the addresses stated in this Article and to such
other persons and addresses as either party may designate. Notice by mail shall be deemed to have
been given at the time of mailing.
All notices, demands and requests from LESSEE to CITY shall be given to CITY at the
following address:
City Manager
CITY OF SEWARD
Post Office Box 167
Seward, Alaska 99664
All notices, demands or requests from CITY to LESSEE shall be given to LESSEE at the
following address:
24
9
The Darling Family Trust
Post Office Box 149
Seward, AK 99664
Each party shall have the right, from time to time, to designate a different address by notice
given in conformity with this Article.
ARTICLE 34 - FIRE PROTECTION
LESSEE shall at its sole cost, risk and expense provide fire detection and protection to its
operations on the Leased Land and fire prevention to industry standards for risks to adjacent facilities
such that those risks are minimized. LESSEE shall continue to provide and maintain industry
accepted standards of fire protection such that the City of Seward's ISO rating is not degraded by
reason of LESSEE'S operation. The parties agree that with the rapid expansion of technology in the
field of fire prevention and control LESSEE's obligations hereunder may vary during the term ofthis
LEASE and CITY may submit LESSEE's compliance with its obligation hereunder to arbitration not
more frequently than once each five years.
25
IN WITNESS WHEREOF, the parties hereto have set flicir hands and seals the dates
herein set forth.
CITY:
CITY OF SEWARD
Phillip Oates, City Manager
Date:
ATTEST:
Jean Lewis, CMC
City Clerk
26
LESSEE:
THE DARLING FAMILY TRUST
Iris Darling, 'FrUstee
Date:
HLoi Darling, Trustee
Date:
WE
STATE Or AI,ASKA )
Ss.
THIRD JUDICIAL DISTRICT )
This is to certify that on the day of' , 2009, before me, the
undersigned Notary Public in and for the State of Alaska, duly commissioned and sworn as such,
personally appeared Phillip Oates to me and to me known to be the individual named in and who
executed the foregoing instrument on behalfof The City of Seward, and acknowledged to me that be
signed the same fi-eely and voluntarily for the uses and purposes therein set forth.
WITNESS my hand and official seal the day and year first written above.
NOTARY PUBLIC in and for Alaska
My Commission Expires:
STATE OF ALASKA )
) ss.
THIRD JUDICIAL DISTRICT )
This is to certify that on the c day of _�7 , ' " 2009, before me, the
undersigned Notary Public in and for the State of Alaska, duly commissioned and sworn as such,
personally appeared Iris Darling to me and to me known to be the individual narned in and who
executed the foregoing instrument on behalf of The Darling Family Trust and acknowledged to me
that she signed the same freely and voluntarily for the uses and purposes therein set forth.
WITNESS nay hand and official seal the day and year first written abov
Ze.
,/
NOTARY BL/C/ill-
and for Alaska.
My Commission Expires:�l
27
4J
STATE OF ALASKA
THIRD JUDICIAL DISTRICT
This is to certify that on the 1� clay of !nC -be,�- , 2009, befbre me, the
undersigned Notary Public in and t6r the State of Alaskc &ulyco-imissioncd and sworn as Such,
personally appeared Hugh Darling to me and to me known
to be the individual named in and who
executed the foregoing instrument on behall'of The Darling Family Trust and acknowledged to me
that lie signed the same fi-eely and voluntarily for the uses and purposes therein set forth.
WITNESS my hand and official seal the day and year first written 4pove.
JV
1��llilill//�� NOTARY I.JBLIC in
and for Alaska
X
FER V// My Commission Expires:
...........
0 A
+ A.
0
28
m
Sponsored by: Oates
CITY OF SEWARD, ALASKA
RESOLUTION 2009-096
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, REVOKING RESOLUTION 2009-089 AND STATING AN INTENT
TO FUND $4,060,000 FOR THE NORTH SEWARD WATER STORAGE
TANK & PUMPING FACILITY PROJECT SUBJECT TO RECEIVING A
LOAN IN THAT AMOUNT, AUTHORIZING A LOAN APPLICATION
WITH THE ALASKA DRINKING WATER FUND AND AUTHORIZING
THE CITY MANAGER TO ACCEPT A LOAN OFFER FROM THE ALASKA
DRINKING WATER FUND WITH PAYMENTS SUBJECT TO BI-ANNUAL
APPROPRIATION
WHEREAS, the Seward City Council in its 2009 Capital Budget identified the North
Seward Water Storage Tank & Pumping Facility as being an infrastructure priority; and
WHEREAS, the project is at 35% design (Phase I, Water Main Intertie, at 100% design); and
WHEREAS, the City of Seward seeks to obtain the necessary financial assistance to
complete the North Seward Water Storage Tank & Pumping Facility by way of obtaining a loan
from the State of Alaska, Department of Environmental Conservation's Alaska Drinking Water
Fund; and
WHEREAS, the City intends to repay the loan over a period of 20 years from fees paid by
water system users or available grant funds; and
WHEREAS, payments by the City will be subject to appropriation.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City of Seward is hereby committing to the State of Alaska (ADEC), its intent
to fund the $4,060,000 water improvement project known as North Seward Water Storage Tank &
Pumping Facility (the "Project") and related capital improvements, subject to receiving the loan
described below, with the additional details of the Project funding to be determined at a future time.
Section 2. The City Manager is hereby authorized to apply for a loan in the amount of
$4,060,000 from the State of Alaska Department of Environmental Conservation, Drinking Water
Fund, for the Project.
Section 3. The City Manager is hereby authorized to execute any and all documents that
may be necessary to reflect the $4,060,000 loan from ADEC, the terms of its repayment over 20
years at a rate of interest equal to 1.5% subject to bi-annual appropriations, including but not limited
to an agreement for the loan, provided that any promissory note shall be signed by the Mayor.
47
CITY OF SEWARD, ALASKA
RESOLUTION 2009-096
Section 4. According to Chapter 11 of the Seward Charter this resolution shall take effect
30 days following adoption.
PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 12t" day of
October, 2009.
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Jean Lewis, CMC
City Clerk
(City Seal)
THE CITY OF SEWARD, ALASKA
Clark Corbridge, Mayor
M
Council Agenda Statement
Meeting Date: October 12, 2009
Through: Phillip Oates, City Manager
From: W.C. Casey, Public Works Director
Agenda Item: North Seward Water Storage Tank & Pumping
Facility
BACKGROUND & JUSTIFICATION:
In 2000, the Design Study Report completed by CRW, identified as a necessary improvement to the
City of Seward water system, a 520,000 gallon water storage tank. The proposed site for the new
water storage tank was the Forest Acres area, at an elevation that matched the Lowell Canyon tanks.
Since that time (2000), City Staff with the assistance of CRW Engineering, have continued to pursue
funding for this project. The project is currently at 35% design. On two separate occasions, the City
Staff has submitted an application with the ADEC Municipal Matching Grant Program.
Staff has continued their efforts to secure funding for this critical infrastructure. The new storage tank
remains in the budget as a priority project. The availability of l .5% interest, ADEC loan dollars,
makes this water storage tank project feasible. The North Seward Water Storage Tank & Pumping
Facility is at 35% design, while (Phase I) the Water Main Intertie is at 100% design. Moving forward
with Phase I will enable staff to complete the necessary remaining design work, gain site control for
the tank and finish this important water system improvement.
INTENT:
Secure available funding for the North Seward Water Storage Tank & Pumping Facility through the
Alaska Department of Environmental Conservation, Alaska Drinking Water Fund, and Loan Program.
.CONSISTENCY CHECKLIST:
Where applicable, this resolution is consistent with the Seward City Code, Charter, Comprehensive
Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures.
Other:
ATTORNEY REVIEW: Yes
FISCAL NOTE:
Approved by Finance Department:
RECOMMENDATION:
City Council approve Resolution 2009--C% , stating an intent to fund $4,060,000 for the "North
Seward Water Storage Tank & Pumping Facility" project subject to receiving a loan in that amount,
authorizing a loan application with the Alaska Drinking Water Fund and authorizing the City Manager
to accept a loan offer from the Alaska Drinking Water Fund with payments subject to appropriation.
11m
Sponsored by: Phillip Oates, City Manager
CITY OF SEWARD, ALASKA
RESOLUTION 2009-097
AUTHORIZING THE CITY MANAGER TO SUBMIT TO THE STATE
OF ALASKA A GRANT APPLICATION FOR A FEDERAL GRANT FOR
PROVIDING PUBLIC ACCESS TO THE SEWARD CEMETERY
INFORMATION REQUESTING $8,881, INCLUDING $5,329 FEDERAL
SHARE AND $3,552 APPLICANT SHARE IN THE FORM OF IN -KIND
VOLUNTEER LABOR
WHEREAS, pursuant to the National Park Service Historic Preservation Act of 1966,
certain federal share matching grants for historic preservation projects are available to
certified local governments, and
WHEREAS, the Seward Historic Preservation Commission held a work session for the
discussion and selection of a FY 2011 grant project on September 30, 2009; and
WHEREAS, The Seward City Council has reviewed the application prepared by the
Seward Historic Preservation Commissioners for such a federal share matching grant for
the Seward Historic Preservation Commission, and
WHEREAS, The funds to accomplish the work of Providing Access to the Seward
Cemetery Information total $8881, including $5,329 Federal share and $3552 applicant
share in the form of in -kind volunteer labor, and
WHEREAS, The City Council is fully cognizant of the obligations and responsibilities
that will be incurred by the City of Seward upon acceptance of such grant.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. That the City Council hereby authorizes the manager to submit an application
to the State of Alaska, Department of Natural Resources, for a federal share matching
grant for Providing Access to the Seward Cemetery Information.
Section 2. That funding to accomplish the work of Providing Access to the Seward
Cemetery Information will be appropriated at the time of grant award, anticipating that
the total amount of $8,881 will include $5,328 Federal share and $3552 applicant share in
the form of in -kind volunteer labor.
Section 3. This resolution shall take effect immediately upon its adoption.
50
City of Seward
Resolution 2009-097
Page 2
PASSED AND APPROVED by the City Council of the City of Seward this 12th day of
October, 2009.
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Jean Lewis, CMC
City Clerk
(City Seal)
THE CITY OF SEWARD, ALASKA
Clark Corbridge, Mayor
51
Council Agenda Statement
Meeting Date: October 12, 2009
Through: Phillip Oates, City Manager,_
From: Patricia Linville, Library Director, Historic Preservation Liaison
Subject: Seward Cemetery Information Grant
BACKGROUND & JUSTIFICATION:
Annually, pursuant to the National Park Service Historic Preservation Act of 1966, certain
federal share matching grants for historic preservation projects are available to certified local
governments to assist with specific local historic preservation projects. Seward has submitted
successful applications and requests permission to do so with this resolution.
The Seward Historic Preservation Commission received notice of the FY2010 grant cycle on
September 23. On September 30, the Commission held a work session for the discussion and
selection of a FY 2010 grant project. Commissioners decided to submit a request to develop a
website of information about Seward's cemetery inhabitants, thus making this information
available publicly.
The total project cost is anticipated at $8881, including $5329 Federal share and $3552 applicant
share in the form of in -kind volunteer labor. The grant application is attached with detailed
budget information.
INTENT: This resolution, if passed, will authorize the City Manager to allow the Seward Historic
Preservation Commission submit a grant request to complete the work of providing public access to
information about Seward's cemetery inhabitants thorough a webs ite.
ATTORNEY REVIEW: No
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.
FISCAL NOTE:
The total project cost is estimated eight thousand eighty one dollars ($8881), including five
thousand three hundred and twenty nine dollars ($5329) Federal share and three thousand five
hundred and fifty two dollars ($3552) applicant share in the form of in -kind volunteer labor of
the Seward Historic Preservation Commission members.
Finance Approva
KLt-UIVI M UNDA'I'ION:
Council approve Resolution 2007-'']Authorizing the City Manager to submit to the State of
Alaska a Grant application for a federal grant for Providing public access to the Seward
Cemetery information requesting $8881, including $5329 Federal share and $3552 applicant
share in the form of in -kind volunteer labor.
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Sponsored by: Phillip Oates, City Manager
CITY OF SEWARD, ALASKA
RESOLUTION 2009-098
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ACCEPTING REIMBURSABLE HISTORIC PRESERVATION
TRAVEL GRANT AND APPROPRIATING FUNDS TOTALING $3790
INCLUDING $2274 FEDERAL SHARE AND $1516 IN -KIND VOLUNTEER
LABOR OF THE SEWARD HISTORIC PRESERVATION COMMISSION
WHEREAS, the State Office of History and Archaeology has reimbursable matching travel
grant funds available for Certified Local Governments to attend the Historic Preservation Training;
and
WHEREAS, the conference registration and travel expenses will be reimbursed one hundred
percent by the grant because the Commissioner's and staff time traveling to and attending the
conference provides the City's 40% match; and
WHEREAS, three members of the Historic Preservation Commission and one staff member
have expressed an interest in attending the 2 day Anchorage workshop; and
WHEREAS, registration and travel arrangements will be arranged by city staff and
participants will submit receipts for reimbursement post workshop and upon submittal of the final
grant report; and
WHEREAS, the City of Seward will be one hundred percent reimbursed for the appropriated
funds through the State Office of Historic Preservation Officer via Historic Preservation Fund Travel
Grants Project #09521.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Council hereby accepts the reimbursable Historic Preservation Fund
Travel Grant Project #09521 in the amount of $3790.00, to provide travel expenses and registration
for four participants in the `Historic Preservation Commission Training'.
Section 2. Funding in the amount of $3,790 is hereby appropriated as follows: 1) $2,274
from grant revenue account 271-271 X-4680-0200; and $1,516 in in -kind contributions, to account
no. 271-271 X-5140.
Section 3. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 12"'
day of October 2009.
63
Council Agenda Statement
Meeting Date: October 12, 2009
Through: Phillip Oates, City Manager/
From: Patricia Linville, Library Director, and Historic Preservation Liaison
Subject: Historic Preservation Travel Grant
BACKGROUND & JUSTIFICATION:
The State Office of History and Archaeology has reimbursable matching travel grant funds
available for Certified Local Governments to attend Historic Preservation Commission Training
in Anchorage Oct 29-30. An application was submitted upon the request of the State of Alaska
Historic Preservation Office in September. The application was reviewed and approved.
The grant documents state the conference registration and travel expenses will be reimbursed one
hundred percent by the grant and the Commissioners and staff time traveling to and attending the
conference will provide the City's required 40% match.
Three members of the Historic Preservation Commission and two staff members have scheduled
time to attend the two day Anchorage workshop October 29-30.
Registration and travel arrangements will be arranged by city staff and participants will submit
receipts for reimbursement post workshop and upon submittal of the final grant report.
The City of Seward will be one hundred percent reimbursed for the appropriated funds through
the State Historic Preservation Officer via Historic Preservation Fund Travel Grants Project
#09521.
CONSISTENCY CHECKLIST:
Where applicable, this resolution is consistent with the Seward City Code, Charter,
Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures.
INTENT:
Utilize Historic Preservation Fund Travel Grant funds in the amount of $3790 to enable three
Historic Preservation commissioners and one City staff to attend a two day workshop entitled
`Historic Preservation Commission Training.'
ATTORNEY REVIEW: No
FISCAL NOTE: Funds will be reimbursed post training. Participants will be reimbursed only
for receipts received.
Approved by Finance Department
KLUU1y1M NDATION: Council approves Resolution 2009-1%Ywhich approves and accepts
reimbursable Historic Preservation Travel Grant #09521 and appropriates funds totaling $3790
including $2274 Federal share and $1516 in -kind volunteer labor of the Seward Historic
Preservation Commission.
149V
i
_ iJ ' II
DEPARTMENT OF NATURAL RESOURCES
DIVISION OF PARKS & OUTDOOR RECREATION
OFFICE OF HISTORY AND ARCHAEOLOGY
September 4, 2009
File No.: 3350-4 CLG Training
Subject: Historic Preservation Commission Workshop
To Whom It May Concern:
SEAN PARNELL, GOVERNOR
5S0 WEST 7 rnAVENUE, SUITE 1310
ANCHORAGE, ALASKA 99501-3565
PHONE: (907) 269-8721
FAX- (907) 269-8908
The Alaska Office of History and Archaeology in cooperation with the Alaska
Association for Historic Preservation is planning a Historic Preservation Commission
Workshop on October 29-30, 2009 in Anchorage. The workshop is intended for local
planning staff, historic preservation commissioners, elected officials, planning
commissioners, and historic preservation practitioners. A draft agenda is included to
provide you more information on the activities and discussions that will take place.
A limited number of travel grants are available for staff, officials and commissioners
from Certified Local Governments, Travel grants will cover registration fees, travel, and
lodging while in Anchorage. Please complete the enclosed travel grant form if you wish
to apply, Scholarship applications must be received in the OHA office by September 30,
2009. Scholarship recipients will be notified by October 5, 2009 and instructions will be
provided.
We hope to you see you all at the Workshop. If you wish to attend, please contact the
Alaska Association for Historic Preservation at 929-9870 or email AAHP at
AAHP@ataska.net.
Sincerely,
Judith E. Bittner
State Historic Preservation Officer
cc: Jessica Verges, Alaska Association for Historic Preservation
6J
Historic Preservation Commission Training
Anchorage, AK
October 29-30
Thursday
11:00 — 1:00 Registration
1:00 — 1:30 Welcome
1:45 — 2:45 Commission Basics
3:00 — 4:15 How to Partner with a Non -Profit
4:45 — 5:45 Building Tour
6:30 — 7:00 Reception
Friday
8:00 — 9:00 Coffee
9:00 — 10:15 Roundtables
Recognition Programs
Historic Preservation Law —Importance of Local Criteria
10:30 — 11:45 Roundtables
Building Consensus for a Local Historic District
Heritage Tourism and Preservation
12:00 — 2:00 Lunch
CLG Updates
2:15 — 3:30 Roundtables
Preservation in the Planning Process
Archeological Site Preservation
3:45 — 4:15 Wrap Up/Goodbyes
66
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CITV OF SEWAIM, ALASKA 0v.9C;E- OF THE
APPLICA,riON FORTHE'SEWARD PLANNING & ZONING (44�101NFRJC
NAMF:
IMAILING ADDR�'SS:
HOMETF I-EPI ION BUSINESS PHONE
F,,i\/IAII__ADDRFS,S:
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IIOWI,,ONGIN THE CITY LIMITS OFSl:-,WARD:____ Z. -,:5' 11� I i
List airy Spec -I'll training education or background you have whic.1i nxly help you as a mcmhcj- of
the. Coll in 11"S's 1,011 :�4,cp
Have you ever dev(,,Iof)c,,cl real property (()tile]- th,111 YOLII- 0"111 personal residence)? I f"so, briefly
I
describe the ell-4—
I,"" specifically Interested III serving on the Planning and Zoning Commission because: 1�
I lave you ever served oil LIsimilar col III I-lission somewhere CIS0
If So, whcre, mid when "?
Are you available for meetings Tuesday evenings?
11"Ippollacd, are You willing to tr'IN"Cl Often Rarely Never
f
SiglMtLIlV Dale
AII
IFOC 7 9
Agenda Statement
Meeting Date: October 12, 2009
From: Jean Lewis, City Clerk
Agenda Item: Certification of the October 6, 2009 Regular City
Election
BACKGROUND & JUSTIFICATION:
The City conducted its annual election on Tuesday, October 6, 2009. The Canvass of the election
was conducted on Thursday, October 8, 2009. A report stating the final results of the election
including votes cast by absentee and questioned voters are attached for your certification.
The newly elected council members will be sworn and seated as the first item of business at the
October 26, 2009 regular meeting.
RECOMMENDATION:
The Council certify the October 6, 2009 regular city election and declare the results final.
FINAL CERTIFICATE OF RESULTS FOR THE
REGULAR MUNICIPAL ELECTION
HELD OCTOBER 6, 2009
The City Canvass Board has completed their review of all absentee and
questioned ballots of the Regular Municipal Election held October 6, 2009.
Their totals are:
[Note: Total Counted plus Total Rejected =Total Voted)
Report of Absentee and Questioned Ballots
Absentee ballots voted
Questioned ballots voted
Special Needs ballots voted
Total Voted
Rejected
Not registered, registered too late
or registered out of City
Form not completed properly
Signed/witnessed after election day
Total Rejected
77
16
3
96
IVA
18
Counted
Absentee
75
Questioned
0
Special Needs
3
Total Counted
78
The Election Day results, after canvassing are as follows:
Two-year Mayoral Seat
F]ertinn nnv VntPc After f anvacc Vntoc 'r,fnl
Willard E. Dunham
264
52
316
Write-ins
113
18
131
Three,Two-year Council Seats
F.lertinn nqv Vote-, After C''nnvncc Vntt-c Tntnl Vntac
Tom Smith
285
51
336
Robert Valdatta
311
55
366
Vanta Shafer
310
52
362
Write-ins
56
17
73
81
Final Certificate of Results
Regular Municipal Flection
Tuesday, October 6, 2009
Page2
Proposition 1. (Advisory) Shall fluoride be added to the City of Seward water to the
level (0.7-1.2 parts per million) recommended by the U.S. Public Health Service?
Election Dnv Vntec After Cnnvncc Vntac Tntol W—f—
YES
229
50
279
NO
1206
28
234
Proposition 2. (Advisory) Shall the Seward City Council 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 and would be available to be appropriated by the City Council?
Election Dav Votec After C'anvncc VntPc Tntnl Vntac
YES
185
38
223
NO
251
37
288
Proposition 3. Shall the City of Seward incur debt and issue general obligation bonds in
an amount not to exceed five million dollars ($5,000,000) to finance the construction of
community library museum capital improvements in the City? Bonds may not be issued
until the City has obtained additional funding through contributions and grants for the
remainder of the costs of the project.
The bonds shall be secured by a pledge of the full faith and credit of the City. It is
expected that annual payments of principal and interest on the Bonds will not exceed the
annual amount to be received by the City from a one-half percent sales tax.
Election Dav Votes After C'anvacc Vote-, Tntnl Vote.-,
YES
253
48
301
NO
176
27
203
A total of 440 people voted at this election plus 78 counted absentee votes = 518 Total.
Upon completion of the canvass, it is our opinion that the attached summary of election
returns compiled above, accurately reflect the final totals for the Regular City Election
held October 6, 2009.
Dated this 8"' day of October, 2009.
i7
CITY OF SEWARD
P.O. BOX 167
SEWARD, ALASKA 99664-0167
October 12, 2009
Re: Letter of Support for Seward's "Darn Good Idea"
Main Office (907) 224-4050
Police (907) 224-3338
Harbor (907) 224-3138
Fire (907) 224-3445
City Clerk (907) 224-4046
Community Development (907) 224-4049
Utilities (907) 224-4050
Fax (907) 224-4038
The Seward City Council enthusiastically supports the Community Awards Application
for the Vic Fisher Local Government Leadership Award sponsored by Alaska Municipal
League.
With the construction of Seward Mountain Haven Long Term Care Facility, Seward
identified and met a need within the community, constructing a progressive "Green
House" modeled facility, unlike any other in Alaska. This home -like environment in
conjunction with the history of compassionate elder care available in Seward is a source
of pride for the Council and the community and is "Just a Darn Good Idea".
Sincerely,
Willard Dunham
Mayor, City of Seward
8 .1
October
2009
October 2
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12:00pm PACAB Meeting
12i00pm SeWar�
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Meeting
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12:00 m PACAB Special
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6:30pm Coundf, Bwdgek;
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Preservation
Meeting
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Meeting
Nanci Richey
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10/8/2009 1:42 PM
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November 2009
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