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HomeMy WebLinkAboutRes2015-011 Sponsored by: Hunt CITY OF SEWARD,ALASKA RESOLUTION 2015-011 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,URGING THE ALASKA LEGISLATURE AND GOVERNOR TO FULLY FUND THE MUNICIPAL HARBOR FACILITY GRANT PROGRAM IN THE FY 2016 STATE CAPITAL BUDGET WHEREAS, in 1999 the State of Alaska transferred ownership of the Seward Small Boat Harbor to the City of Seward; and WHEREAS,many other formerly state owned harbors are now owned by municipalities;and WHEREAS,it is estimated that the backlog of projects necessary to repair and replace these former State owned harbors has increased to over$90,000,000; and WHEREAS, the municipalities of the Aleutians East Borough, the City and Borough of Sitka,the City of Seward,the City of Ketchikan,the City of Coffman Cove,and the Municipality of Anchorage have offered to contribute $14,262,722 in local match funding for FY 2016 towards seven harbor projects of significant importance locally as required in the Harbor Facility Grant Program; and WHEREAS,for each harbor facility grant application these municipalities have committed to invest 100%of the design and permitting costs and 50%of the construction cost; and WHEREAS, during the last eight years the Municipal Harbor Facility Grant Program has only been fully funded twice. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1.The City Manager be directed to urge the Alaska Legislature and Governor to fully fund the Harbor Facility Matching Grant Program in the amount of$14,262,722 in the FY2016 State Capital Budget in order to ensure enhanced safety and economic prosperity among Alaskan coastal • communities. Section 2. This resolution shall take effect immediately. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of February 2015. CITY OF SEWARD,ALASKA RESOLUTION 2015-011 I THE CITY OF SEWARD,ALASKA ç2arL 24.,40.,/a./2„c2.ev-ii Jean Bardarson, Mayor AYES: Squires, Darling, Butts, Terry, Keil, Bardarson NOES: None ABSENT: Casagranda ABSTAIN: None ATTEST: c .Amot '0, .Yo anna nney, MC • Clerk (City SeaJ),A ioo. C t+ R e ,e A =tzf,*o , 0e 4, ,.......n... £4 e , ._ ..e. o i.:.y a� d .` J ^' T . w © F t. C .. u••-e ,''.. 4I I I Council Agenda Statement of Meeting Date: February 9, 20151 Through: City Manager Jim Hunt q`' P From: Mack Funk, Harbormaster Agenda Item: A resolution urging the State Legislature and Governor to fully fund the Municipal Harbor Facility Grant Program in the FY 2016 State Capital Budget BACKGROUND &JUSTIFICATION: In July 2014 the Council directed staff to apply for state matching grant funds to replace B, C, and S docks. That grant application was submitted to the Alaska Department of Transportation and Public Facilities. The state needs to act to appropriate funds in order that the grant will be funded. The grant program was started because the State of Alaska transferred the responsibility for its state owned harbors to local municipalities, but many harbors needed new capital investment. It is currently estimated that the backlog of projects necessary to repair and replace these former State owned harbors has increased to over$90,000,000. For FY 2016 six municipalities have grant applications pending with a total cost to the state of $14,262,722. The grant program has only been fully funded twice in the past eight years. The grant program is the City's best means to replace its docks and keep customer rate increases to a minimum. DOT Grant Program The Municipal Harbor Facility Grant Program is managed by DOT&PF. The program provides 50/50 matching funds to eligible applicants. The program was created in 2006, but not funded until 2007. The legislature supplied funding in subsequent years (but not in 2009). The money can only be used for construction ready projects, not for planning or engineering. This grant program is funded on an annual basis at the discretion of the Alaska Legislature and consists of two tiers, Tier I and II. With State revenues projected to decline over the next few years, funding for the municipal Harbor Facility Grant Program will be a bigger challenge for the Legislature, therefore the Administration recommends getting our application in soon before the fund is depleted. INTENT: To urge the state legislature and Governor to fully fund the state Municipal Harbor Facility Grant Program in the amount of$14,262,722. CONSISTENCY CHECKLIST: Yes No N/A 2020 Seward Comprehensive Plan(page 23): Create a thriving port of 1. Seward through harbor improvements, infrastructure expansion, and X implementation of management plans. 2 City of Seward Strategic Plan (page 7): Complete the renovation of the X Small Boat Harbor 3. Other: FISCAL NOTE: The City has already committed to provide local funding to re-build several docks. The design engineering work is underway. In order to make the project financially feasible, state funds are essential. Approved by Finance Department: 31.1.444,J■-4/Leiti-.P ATTORNEY REVIEW: Yes No RECOMMENDATION: Council approve Resolution 2015-01 , authorizing the City Administration and lobbyist to urge the state legislature and Govern to fully fund the Harbor Matching Grant program in the amount of$14,262,722. 1 6