HomeMy WebLinkAbout03262019 City Council PacketCity Council Chambers Beginning at 7:00 p.m.
Tuesday, March 26, 2019
City of Seward, Alaska Council Agenda
March 26, 2019 Page 1
1963 1965 2005 The City of Seward, Alaska
CITY COUNCIL MEETING AGENDA
{Please silence all cellular phones during the meeting}
Tuesday, March 26, 2019 7:00 p.m. Council Chambers
David Squires
Mayor
Term Expires 2019
Sue McClure
Vice Mayor
Term Expires 2019
Suzi Towsley
Council Member
Term Expires 2019
Jeremy Horn
Council Member
Term Expires 2019
Sharyl Seese
Council Member
Term Expires 2021
John Osenga
Council Member
Term Expires 2021
Kelley Lane
Council Member
Term Expires 2020
Norm Regis
Acting City Manager
Brenda Ballou
City Clerk
Will Earnhart
City Attorney
1.CALL TO ORDER
2.PLEDGE OF ALLEGIANCE
3.ROLL CALL
4.CITIZEN COMMENTS ON ANY SUBJECT EXCEPT
THOSE ITEMS SCHEDULED FOR PUBLIC HEARING
[Those who have signed in will be given the first opportunity to speak. Time
is limited to 3 minutes per speaker and 36 minutes total time for this agenda
item.]
5.APPROVAL OF AGENDA AND CONSENT AGENDA
[Approval of Consent Agenda passes all routine items indicated by asterisk
(*). Consent Agenda items are not considered separately unless a council
member so requests. In the event of such a request, the item is returned to t he
Regular Agenda]
6.SPECIAL ORDERS, PRESENTATIONS AND REPORTS
A.Proclamations and Awards – None
B.Chamber of Commerce Report
C.City Manager Report ………………………………….. Pg. 4
D.Other Reports and Presentations
1.Seward Senior Center by Dana Paperman
2.Port & Commerce Advisory Board (PACAB) Report
by Council Member Towsley
3.Election Stakeholders Group Meeting Update from
Vice Mayor McClure
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City of Seward, Alaska Council Agenda
March 26, 2019 Page 2
7. PUBLIC HEARINGS
A.Ordinances for Public Hearing and Enactment
1.Ordinance 2019-007, Amending Portions Of Seward City Code §15.10.226 Land
Uses Allowed Table, To Allow Animal Shelter In The Institutional Zoning District
By Conditional Use Permit. ………………………………………………….... Pg. 19
B.Resolutions Requiring Public Hearing
1.Resolution 2019-028, Authorizing The City Manager To Enter Into A New Lease
With Raibow Fiberglass And Boat Repair LLC For Lot 5 Block 7 Fourth Of July
Creek Subdivision, Seward Marine Industrial Center, Kenai Peninsula Borough, Plat
No. 2015-14 Raibow Replat #2 Seward Recording District, Third Judicial District,
State Of Alaska. ……………………………………………………………….. Pg. 28
8. UNFINISHED BUSINESS
A.Items Postponed from Previous Agenda
1. Discussion and direction to city administration regarding housing development within
the original Seward townsite, including selling city lots within the R1 zoning district.
(Lane)
9. NEW BUSINESS
A.Ordinances for Introduction
1.Ordinance 2019-008, Amending And Revising Seward City Code, Title 2, 2.05.030,
Exemptions For Particular Records. …………………………………………… Pg. 98
B.Resolutions
*1. Resolution 2019-030, Renaming Citizens Field Located On City-Owned Property Lot
6A-2 Fort Raymond Subdivision Replat Number 3 To The Ryan M. Lewis Memorial
Field. …………………………………………………………………………… Pg. 103
*2. Resolution 2019-031, Amending The Agreement Covering Terms And Conditions Of
Employment Between The City Of Seward, Alaska And Local No. 1547 International
Brotherhood Of Electrical Workers AFL-CIO, Anchorage, Alaska To Provide For
The Inclusion Of The Position Of Field Engineer Into The Bargaining Unit. … Pg. 127
*3. Resolution 2019-032, Authorizing Signatures For All City Bank Accounts And
Rescinding All Previous Resolutions In Conflict Herewith. ………………….. Pg. 133
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City of Seward, Alaska Council Agenda
March 26, 2019 Page 3
C.Other New Business Items
*1. Certifying the election results from the March 19, 2019 Special Municipal Election. 135
*2. Approval of the March 11, 2019 City Council Regular Meeting Minutes. ……. Pg. 139
*3. Approval of March 9, 2019 City Council Special Meeting Minutes. …………. Pg. 150
*4. Non-objection to the renewal of Beverage Dispensary – Tourism liquor license for
Gene’s Place. …………………………………………………………………. Pg. 153
*5. Appointing Sue Ward to the Historic Preservation Commission with a term to expire
May, 2020. ……………………………………………………………………. Pg. 163
6. Discuss city's legal representation, including directing city manager to create a
Request for Proposals for legal services. (Lane)
7. Discuss Port & Commerce Advisory Board (PACAB) letter regarding Seward airport.
(Towsley)
8. Consider cancelling the April 19, 2019 work session to minimize disruption for the
auditors. (Clerk)
9. Schedule a work session with Providence for a Providence Seward Administrative
Update, to include the new administrator, capital needs, Mountain Haven census,
PSMC liability issue and options to address the liability, and 1% sales tax funds.
10. Vote on citizen delegates to attend 53rd Turtle Ship Festival in Yeosu, South Korea.
11. Discuss air travel, hotel, and purchasing rewards programs. (Lane)
10. INFORMATIONAL ITEMS AND REPORTS (No Action Required)
A.On-going City Project and Goal List ……………………………………………… Pg. 166
B.January, 2019 Providence & Ci ty Financials …………………………………… Pg. 171
C.City Attorney Report …………………………………………………………….….. Pg. 192
11. COUNCIL COMMENTS
12. CITIZEN COMMENTS
13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
14. EXECUTIVE SESSION
A.Go into executive session to complete the city attorney evaluation.
15. ADJOURNMENT
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CITY OF SEWARD Jeff Bridges, Interim City Manager
P.O. Box 167 Telephone (907) 224-4047
Seward, AK 99664 Facsimile (907) 224-4038
MANAGER’S REPORT
March 11, 2019 – March 26, 2019
The following purchase orders in the amount of $5,000.00 or more have been approved by the City Manager
since the last council meeting:
DATE DEPT TO WHO WHAT FOR AMOUNT
3/11/19 Public Works
SMIC
Wastewater
Kachemak Electric SMIC Blower House ATS
switch repair
$9,527.52
3/11/19 Alaska
Textiles Inc.
Electric Fire retardant safety clothing $10,000.00
ADMINISTRATION
Friday March 1, 2019
3:40 p.m. Discussion of Library / Museum MOU with SCLA (Kingsland, Fried)
Monday March 4, 2019
6:00 p.m. Seward / Bear Creek Flood Board Meeting
Tuesday March 5, 2019
9:00 a.m. Meeting with Public Works Director Schoessler
6:00 p.m. Joint work session, P&Z and Seward Bear Creek Flood Board
7:00 p.m. Planning and Zoning Meeting
Wednesday March 6, 2019
12:00 p.m. PACAB & City Council Joint work session
1:00 p.m. PACAB Regular Meeting
3:00 p.m. Meeting with PRO-COM (Dispatch Consoles) (Clemons)
Thursday March 7, 2019
Seward / Army Corp Table Top Exercise.
8:00 a.m. Seward Business Network
3:30 p.m. Meeting on Library / Museum MOU with SCLA
Friday March 8, 2019
12:00 p.m. City Council Work Session
5:00 p.m. SCHC 5 Year Anniversary @ AVTEC
Saturday March 9, 2019
9:00 a.m. City Council Work Session on City Manager Candidates
Monday 11, 2019
2:00 p.m. Meeting with AVTEC (Hickok)
7:00 p.m. City Council Meeting
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Tuesday March 12, 2019
10:30 a.m. Meeting with Brad Snowden
Wednesday March 13, 2019
10:00 a.m. City Manager’s Meeting @ KPEDD in Kenai (Hickok)
Thursday, March 14, 2019
9:00 a.m. Staff Meeting
11:00 a.m. Seward Stakeholder’s Meeting
2:00 p.m. Meeting with Community Development (Hickok, Wilde)
4:00 p.m. Meeting with Council Member Towsley
Friday March 15, 2019
11:30 a.m. Meeting with Coast Guard Matt Bell (Squires, Regis, Hickok)
Other:
I would like to thank the City Council, City Staff, and the Seward Community for the opportunity to serve as
the Interim City Manager. I wish you all the best of luck and success for the future.
HARBOR
• A final inspection with Hamilton Construction and R&M for the Breakwater project was done on 3-8-
2019 and we just have a few more things to correct.
• The 330 ton will require a two-day shut down when we pave the next section, from the lift pit to the
wash-down pad.
• The new fisherman float is in place, electrical and water are complete and we have our first vessel (The
Endeavor) mooring there.
• The harbor has 4 sites that will supply year-round water, the end of F-float, the beginning of Z-float, the
T-dock and on the upland trestle of F-float for local citizens. (We have installed signs for traveling
vessels)
• A construction meeting with PND and Hamilton Construction was conducted on 3-19-2019 and the
concrete planks are continuing to be formed and made at Anchorage Sand and Gravel. The contractor
has started hauling and stock piling the rock and gravel for the South Harbor Launch Ramp. The South
Harbor Launch Ramp will remain closed for the construction phase; the completion date is May 2019.
• The Harbormaster traveled to Juneau for a hearing with Representative Stutes on what will be needed
for Seward infrastructure within the port to support Alaska shipping.
• The Harbormaster met with Rear Admiral Bell to talk about the port and the new FRC’s needs and met
with more Coast Guard on Monday the 18 to look at possible sites for the FRC’s and upland footprints.
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PUBLIC WORKS
Director: We had a great 2-day Tabletop Exercise with the Army Corp. of Engineers and other agencies for
the Lowell Canyon Diversion Dam gathering information to make an emergency action plan in case of a
blockage during a storm event. We had about 35 attendees and about 25 came from out of town. It was also a
nice boost to local lodging and restaurants. The event was sponsored by the Army Corp. of Engineer’s
“Silverjackets” group for this year’s Alaska Tabletop planning event.
Streets: We are working on drainage in all areas in the City. Water issues are expected at this time of year and
our efforts will continue for the next few months as snow melts and we get a few late snows. The days are
getting longer quickly, and the extra thermal heat is helping to melt more ice and snow.
Water, Wastewater Utilities: Water crews have been working on our communications systems from the water
tanks to the water plant. More serviceable and reliable options are being considered to improve the system and
reduce the false error code alerts.
Shop: Loaders are all now running well, and we are waiting on brake parts for the sander truck. Soon we’ll be
removing snow tires as temperatures continue to rise.
Buildings: Regular maintenance continues and planning for the heat pump system for the Library, City Hall,
the Fire Hall and the Annex are moving forward in the engineering stages. We had site visits to all buildings
with the engineers to get all measurements and access issues checked.
Wet, slushy roads with water on road and in ditches.
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PARKS AND RECREATION
Teen Rec Room
• Hosted Seahawks Basketball team dinner
• Dinners: burgers, calzones
• Increased attendance: 14, 19, 10, etc.
• Thanks to adult volunteers who pitched in this week!
Seahawks basketball team enjoyed pizza at TRR
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Sports & Recreation
• Rec League volleyball winner’s potluck. Players brought delicious food and healthy options. The
tourney will conclude Mon, March 18.
• Intermediate League volleyball tournament. The Alehouse defeated team Jelly Smack.
• UYBL games resumed Saturday, March 16
• Rock Wall: volunteers re-routing the courses and confirming safety.
• Thanks to the Leadership Council volunteers for helping with roller skating
• Hoops League took Spring Break week off. Play resumes Tue, March 19.
• Racquetball player increases
• Upcoming: Diaper Derby; TelAlaska Spring Classic Volleyball Tourney; Pink Cheeks Triathlon; Exit
Glacier Races; Super Saturday Clean-up event has picked up two “partner” events; Youth Challenger
Soccer Camps.
Teen Youth Center
• Record Spring Break Camp record: 35
• Summer camp registration is quickly filling. We expect to be full all 12 weeks.
• We have applied for a grant from Seward Prevention Coalition for summer camp enrichment trips.
• Our ASP numbers are growing; 15-20 kids a day.
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After a busy day at TYC Rec Camp
Administration
• Booking ARC Emergency Shelter operation training
• Encourage Mermaid Festival to reach out to City Hall if they want to use parking lot
• Signed agreement with Seward Sports Association re: summer adult softball
• Accepting applicants for the summer, youth litter patrol. Kids must be ages 14 to 17.
Campground & Park Maintenance
• Campground attendance March 1 to present | 37
• Caravan reservations June through August | 29
• Pavilion reservations April through July | 25
• The revised 2019 Campground Map has been sent to the publishing company
• Maintenance of equipment for the upcoming summer
• Vehicle inspections
• Continued snow/Ice removal
The City of Seward is now accepting payment for cemetery plot reservations. Individuals pay $500 per
cremains or burial site in the new cemetery section. See forms online at www.cityofseward.us/cemetery.
Paid Parking Department is closed for the winter. We will continue to collect and invoice unpaid parking
tickets.
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COMMUNITY LIBRARY AND MUSEUM
Upcoming Closures
Thurs, April 4, Training/Work Day
Clarified Workplace Recycling Program Details
SCLM Workplace Recycling and Disposal Program
Staff are implementing a workplace recycling program for waste that results from our work. Details for the
guidelines (see poster or contact us for a copy) for staff were clarified with the Kenai Solid Waste Office for
proper sorting and disposal practices. This includes facts such as caps and labels are okay with #1 and #2
plastics, labels are okay on glass, lids are not ok on glass, and no form of aluminum foil is accepted.
This is not a public program and the Director personally takes sorted material to the transfer station for
recycling to make this program possible. Look for opportunities for patrons and visitors to participate in the
future. Contact Director Kingsland at 907-224-4082 or vkingsland@cityofseward.net for more information or if
you’re interested in helping with this important program, such as sorting, delivery to the transfer station, or
donations for our sustainability efforts.
Visit the Kenai Peninsula Borough Solid Waste Department website for more information about recycling and
for their latest Recycling program handout. https://www.kpb.us/swd-waste/about-solidwaste
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UPCOMING PROGRAMS
Book Bunch - National Noodle Month!
Wed, March 27, 1-2pm,
Community Room
This unique program for homeschooled children is planned for the elementary age level, but students of all ages
and their families are invited to bring their current reads. Enjoy sharing about what we’re reading, book
recommendations, silly jokes and fun activities based on a theme. National Noodle Month was selected for the
March theme! We will also practice on laptops how to search the OPAC (Online Public Access Catalog) for the
books you’re looking for. Children at the next meeting will select the April theme, which will also include a
special visit to the Museum to close out the season!
New! Social Security Disability 101
Tues, April 2, 2019, Noon-1:45 pm
Meeting Room
Note that this is DIFFERENT from the usual Social Security 101. This OWL videoconference will focus in on
disability, specifically:
• Information about disability benefits and the disability application process.
• How to use your - my Social Security online account and other online services.
• What is Supplemental Security Income (SSI) Benefits and how do you qualify?
• What do you need to report when you receive SSI?
• What other Social Security programs are available, and who qualifies?
Join this FREE OWL workshop from Social Security. Visit www.socialsecurity.gov/myaccount to create a
“My Social Security” account and print out your Social Security Statement before attending the workshop.
Social Security 101: Everything You Wanted to Know About Social Security
Tues, April 9, Noon-1:30pm
Meeting Room
By popular demand, a FREE OWL videoconference workshop from Social Security to answer questions like:
When are you eligible to receive retirement benefits? How does early retirement affect your benefits? Do you
qualify for disability, survivors, and spouse benefits? How do you get the most from your benefit? What is the
future of Social Security? When should you file for Medicare? Learn how to use my Social Security online
account and other online services. Visit www.socialsecurity.gov/myaccount to create an account to print out a
Social Security Statement before the workshop. Can’t make it? This program repeats for the last time of the
season on May 14th.
Story Time
Fridays, 11am-Noon
Children’s Room
All children under the age of 5 years and their caregivers are invited to join in the fun every Friday! Each Story
Time is accompanied by story books, action songs, finger plays and crafts to enhance the children’s experience
with the theme and literacy. We will open the doors 5 minutes early to give everyone time to settle in.
• March 22: Boxes! with special activity
• March 29: Oodles of Noodles (National Noodle Month)
• April 5: Poetry is Fun! (National Poetry Month)
• April 12: Silly Stories (National Humor Month)
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• April 19: Our Amazing Planet! (Earth Day, April 22)
• April 26: Superheroes (National Superhero Day, April 28)
April 26th will be our last Story Time until next fall to give us time to prepare for another amazing community
wide Summer Reading Program: Universe of Stories! Play Time will continue through the summer.
Play Time
Saturdays, Noon-4pm
Children’s Room
Each week features a new theme and selection from our Children’s Library collection. We’re going through the
alphabet and have already had fun with Earth, Food, Gift and Home, Inch and Jump themes! Don’t miss out on
the fun with books, activities, and toys selected each week to enhance creative play and development. Stop by
each Saturday to experience our newest theme for this unique unstructured play program created with working
parents in mind. Adult supervision required.
• March 23: K is for Kite
• March 30: L is for Leaf
• April 6: M is for Mouse
• April 13: N is for Night
• April 20: O is for Orange
• April 27: P is for Pet
Can’t make it to Story Time or Play Time? Stop by whenever we’re open to enjoy our growing collection of
children’s books, puzzles, developmental toys and activities in the Children’s Room to enhance your child’s
learning, play, reading and social experience.
ONE DAY, TWO SPECIAL PROGRAMS on Sat, April 13
Special KMTA Children’s Book Release TBA
Sat, April 13, 1-3:00 pm
Community Room
A new children’s picture book published March 1, 2019 is the latest in the lineup of Kenai Mountains–
Turnagain Arm (KMTA) National Heritage Area publications to be presented in Seward first. Co-sponsored by
Ember Press and the KMTA. Light refreshments will be served. Stay tuned for more details.
Author Reading: Mar Ka and Monica Devine
Sat, April 13, 4-5:30 pm
Community Room
Genre-Bending Memoirs: A Conversation Between Poetry and Prose. Poet Mar Ka and Essayist Monica
Devine read from and discuss their new works, inviting the audience to engage in a contemplation of memoir
and form. Mar Ka is the author of Be-hooved and Monica Devine is author of Water Mask, both published by
the University of Alaska Press and both residents of Alaska. Light refreshments will be served.
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ANOTHER SPECIAL WEEKEND WITH TWO SPECIAL PROGRAMS on Sat, April 20!
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April Community Book Club with Special Author Visit
Sat, April 20, 11am-12:30pm
Meeting Room
Ten copies of Pieces of Me: Rescuing My Kidnapped Daughters by Lizbeth Meredith, are now available for
check out at the library front desk. Ms. Meredith will be joining us in person for our April 20th meeting
followed by a community wide program at 1pm. You’re welcome to read the selection even if you won’t be
attending the gathering and all are welcome whether you finished the book or not. Don’t forget to bring a light
dish to share! We will open the doors 5 minutes early to give everyone time to settle in. You may read more
about this selection on Echo at https://www.echoak.com/2018/09/lizbeth-meredith-pieces-of-me/.
Author Visit: Lizbeth Meredith
Pieces of Me: Rescuing My Kidnapped Daughters
Sat, April 20, 1-2:00 pm
Community Room
Join the conversation about intimate partner violence and breaking free of intergenerational patterns when
Lizbeth shares from her award-winning memoir, Pieces of Me: Rescuing My Kidnapped Daughters. Ms.
Meredith's memoir has won five book awards, she blogs at www.lameredith.com, is a contributor to A Girls’
Guide To Travelling Alone by Gemma Thompson, and the author of When Push Comes to Shove: How to Help
When Someone You Love Is Being Abused. Other work has appeared in Sunlight Press, Her Stories Project, and
Feminine Collective. A former domestic violence advocate and child abuse investigator; Lizbeth has worked
with at-risk teens for two decades as a juvenile probation supervisor. Don’t miss this unique opportunity to
learn about and discuss this sensitive issue. Light refreshments will be served.
See you at the Library & Museum!
Valarie
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ELECTRIC
Number of new Job Orders started since Jan. 1, 2019: (5)
The Electric Department asks your patience while we are temporarily short-staffed without an administrative
assistant and some of the routine tasks, information and services we provide are delayed while we look for a
replacement. However, the Electric Executive Assistant position has been posted, internally (1/31), externally
(2/11) and will hopefully be filled soon.
The Railbelt utilities and ATC filed the Certificate of Public Convenience and Necessity (CPCN) with the RCA
on Friday, February 22nd for the formation of the Alaska Railbelt Transmission (ART) company. The filing was
a big hurdle in the process, but we are not to the finish line yet. Now it is up to the Regulatory Commission of
Alaska (RCA) to review the application and either approve it, ask for additional changes or deny it. The
utilities are simultaneously working on the formation of the Railbelt Reliability Council (RRC) with other
interested stakeholders in the form of an implementation committee to resolve the differences. The two
organizations will work collectively to repair/replace and study/standardize the existing transmission system to
reduce congestion and allow open access for additional generation and power pooling.
Chugach Electric is currently replacing transmission infrastructure between Hope and Cooper Landing along
the Seward Highway. This work was scheduled and is required repair and replacement for this section of
transmission line. These kinds of construction are already included in the costs for purchasing and transmitting
power. The concept of a section of the grid being cut off from other parts of the grid is called islanding and it
means that Seward is separated from generation in Anchorage. Since Chugach is required to supply us power
by contract, they are supplying us with their shares of Bradley Lake Hydro during the islanded time. Homer
Electric also has transmission work needed to be done and we three utilities worked together to ensure that
Seward would not have to operate our backup generation during this time. This was accomplished by
staggering the work each of the utilities did instead of simultaneously. The Chugach project is expected to last
until the end of March and Homer’s project will be done for the two weeks following that. The City shouldn’t
see any disturbances during this time. All of the City’s backup generators are operational in the event of an
emergency transmission outage but, thanks to the coordination between the utilities, we don’t expect to run
them other than our regularly schedules times.
The electric utility manager attended the Northwest Public Power Association (NWPPA) board meetings March
6th through the 8th. The following is a summary of these meetings:
Highlights:
o Scott Corwin will start as the new Executive Director for NWPPA on May 1 replacing Anita
Decker. However, he will be attending some NWPPA events in April as well – the E&O and
NWPPA’s Legislative Rally. Thank you, Anita! Welcome SCOTT!
o A feature that is now available to all NWPPA members is Learning on Demand (LoD) or the ability
to take learning sessions about electric utility topics online from the NWPPA website. This feature
will continue to add content as it matures so continue to regularly check the website for new video
trainings. The electric department is in the process of setting up individual login settings for council
members to access the website at their convenience.
o Andrew Wills from APPA provided an in-depth overview of the impact of the FCC’s proposed
new regulations and interpretation on pole attachments. Under the new regulations the FCC is
claiming jurisdiction over pole attachments on municipal facilities/rights of ways. APPA has filed
a legal challenge to this overreach of FCC authorities, specified in section 224, which is contrary
to other sections of FCC regulation. At odds are the safety, reliability, cost and review of telecom
request to attach to facilities verse the FCC implementing set fees and passive approval for
telecoms to attach without electric utility review based on length of time for a permit to be issued.
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NWPPA is leading several regional associations and large utilities in an amicus letter to the 9th
District Circuit Court in support of APPA’s legal challenge. (Alaska Power Association, MECA,
OPUDA, OMEA, ICUA, WREA, WPUDA, SMUD, Snohomish PUD and EWEB). A resolution
opposing this regulation will be presented to the council at an upcoming council meeting.
o NWPPA Annual Conference and Membership Meeting – May 19 -22, Sacramento, CA –
Registration is open!
Upcoming Events:
o Engineering & Operations Conference & Tradeshow – April 9-11, Spokane, WA
o NWPPA Annual Conference and Membership Meeting – May 19 -22, Sacramento, CA –
Registration is open!
Government Affairs:
o NWPPA’s DC representative provided an overview of the political climate in DC. There is not a
high expectation of any power related legislation to move in this congress, but you never know –
it’s an interesting time.
o NWPPA co-hosted, with the California Municipal Utilities Association, the Western Wine
Reception during the APPA Legislative Rally at the end of February. The reception was well
supported and attended by congressional staff members.
Financial Health:
o The Association finished the year in strong financial health with over a $300,000 surplus ahead of
budget. New members since September are Salmon River Electric in Idaho and Garkane Electric
in UT. Membership proposals are out to Nome, AK and the City of McCleary, WA.
o Due to the surplus in 2018, the association is either reducing or keeping the same registration costs
for 2019.
o Some of the surplus funds from 2019 are being used to further invest in Learning on Demand
content. The Board approved that Learning on Demand will be a member benefit and no longer a
separate subscription. Members who had already subscribed for 2019 are being issued a refund
and a communications campaign to inform all members of LoD as a member benefit is underway.
Access is available now.
Workforce Development:
o Another member benefit is the implementation of a Materials Surplus site where member utilities
can post excess materials that may be useful to other members. This is a utility-to-utility site and
not available for third-party vendor use. We are already seeing postings on this site. An example
of how it can be used is if a utility is reconductoring to a high voltage, they may have materials
that are no longer needed in the warehouse. These materials can be advertised much like Craigslist.
Any transactions are between the utilities. NWPPA is only hosting the site and is not engaged in
the transactions in any manner.
Communications:
o The 2019 More Powerful Together (MPT) updates for quarter one are available for use.
NWPPA/Ruralite Services received a Communicators award from APPA for its MPT program.
We have submitted the MPT program to NRECA and are awaiting word on if we will be
recognized as well.
Good of the Order:
o Continue to populate the mutual aid templates with contacts and resources. Currently have
Washington Rural Electric Association, Alaska Power Association, Oregon Rural Electric
Association, Montana Electric Cooperatives Association, and Oregon Municipal Electric Utilities.
Going after Oregon and Washington PUD Associations and Idaho Consumers next. Anyone can
come in at any time.
o NWPPA’s Legislative Rally is April 29 – May 2.
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The feasibility study portion of the Lowell Creek Canyon Hydro project is near complete, with only a
follow-up work session/town hall meeting scheduled for March 20th and the final written report from
Your Clean Energy (YCE) remaining. It was decided to have a follow-up work session/town hall
meeting because of the large amount of interest in the project/initial presentation to City Council and
PACAB and the limited amount of time for questions and answers from the council, board and the
public at large. The final written report will be scheduled to be delivered after the follow-up meeting,
hopefully by the end of March, in case any questions cannot be answered during the follow-up meeting
and/or in case any additional information from the follow-up meeting needs to be included in the final
report. Moving forward, today, March 15th, we filed electronically by email for the Lowell Creek
Canyon water rights for up to 75 CFS with the Alaska Department of Natural Resources
(DNR). Electronic filing holds our place/filing priority while the check for the application fee and the
paper application make their way to Juneau by snail mail. Your Clean Energy (Andy Baker) has also
begun initial discussion with the Federal Energy Regulatory Commission (FERC) regarding permit
requirements/applicability and whether or not there are possibilities for either waivers or accelerated
licensing. Additional agency coordination with Alaska DNR, Alaska Fish and Game and the Army
Corps of Engineers will also be addressed by Your Clean Energy/Andy Baker as the need, schedule and
project progresses. And per YCE's presentation, the suggested upcoming plan of action is as follows:
Prepare DNR Water Rights applications, coordinate with agencies, supervise flow data collection and
prepare pre-design report.
Prepare and submit preliminary applications with Federal Energy Regulatory Commission (FERC),
request waiver if possible
Schedule scoping and coordination meeting(s) with state and federal agencies that may be involved in the
hydro permitting process, including Army Corps of Engineers.
Once preliminary DNR water rights permit application is made, begin stream flow and underground flow
monitoring program to collect data – pursue state and federal grants.
FINANCE
The finance department, with assistance from staff from the Harbor, Electric and Public Works, we are busy
preparing for the City’s financial audit for 2018. The crews completed necessary inventory counts and the
harbor staff have done an excellent job of preparing workpapers for the audit of the Harbor and SMIC. A final
reconciliation has been completed on all City grants and confirmation letters have been sent to the
auditors. The auditors will arrive April 1st to begin working on the audit of the Seward Community Health
Center and the HRSA grant, and will meet in a work session with the City Council. This year the City has a
new principal auditor as our principal on the last two audits retired from BDO last year. The Auditors will
conduct City fieldwork from April 8 through April 19.
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate
of Achievement for Excellence in Financial Reporting to the City of Seward for its comprehensive annual
financial report for the fiscal year ended December 31, 2017. This was the 24th consecutive year that the
government has achieved this prestigious award. In order to be awarded a Certificate of Achievement, a
government must publish an easily readable and efficiently organized comprehensive annual financial
report. This report must satisfy both generally accepted accounting principles and applicable legal
requirements. A Certificate of Achievement is valid for a period of one year only. We believe our upcoming
comprehensive annual financial report will continue to meet the Certificate of Achievement Program’s
requirements and we will be submitting it to GFOA to determine its eligibility for another certificate.
17
The finance department has previously distributed budget worksheets to department heads to afford additional
time for them to begin preparing for the upcoming 2020/2021 Biennial Budget period.
Finance has been working to modify payroll software to account for changes associated with the new Seward
Public Employees Association union.
PERSONNEL
City of Seward Personnel Transactions from 3/2/2019-3/15/2019
Prepared by Riley Shurtleff, City of Seward Personnel Officer
Separations: Department: Date of Separation
Maintenance Mechanic Operator Public Works 3/7/2019
New Hires: Department: Date of Hire
Available Full Time Positions: Department: Position Status
City Manager Administration Advertising via City Website
and GovHR since 1/29/2019
Police Dispatcher Police Advertising Since 9/18/2018
Patrol Officer Recruit Police Advertising Since 10/11/2018
Corrections Officer Police Advertising Since 11/29/2018
Program Coordinator Library
Museum
Advertising Since 1/28/2019
Sports and Recreation Coordinator SPRD Advertising Since 2/8/2019
Recreation Assistant SPRD Advertising Since 2/11/2019
Executive Assistant Electric Advertising Since 2/11/2019
Teen Rec Room Coordinator SPRD Advertising Since 2/14/2019
Maintenance Mechanic Operator Public Works Advertising Since 3/11/2019
Available Seasonal Positions: Department: Position Status
Campground Attendants I & II SPRD Advertising Since 1/18/2019
Parks Maintenance Worker I, II, II SPRD Advertising Since 1/18/2019
Gardener SPRD Advertising Since 1/18/2019
Library Museum Seasonal Aide Library Museum Advertising Since 2/1/2019
Parking Operations Supervisor Parking Advertising Since 1/18/2019
Parking Operations Technician Parking Advertising Since 1/18/2019
Parking Attendant Parking Advertising Since 1/18/2019
Teen Youth Center Summer Camp
Counselor
SPRD
Advertising Since 1/18/2019
Program Aide (TYC, Teen Rec Room,
Sports
& Rec at the AVTEC Gym)
SPRD
Advertising Since 1/18/2019
Program Aide Trainee SPRD Advertising Since 1/18/2019
ALPAR Crew Leader SPRD Advertising Since 1/18/2019
ALPAR Teen Litter Patrol Crew SPRD Advertising Since 1/18/2019
18
Sponsored by: Planning & Zoning Commission
Introduction Date: March 11, 2019
Public Hearing Date: March 26, 2019
Enactment Date: March 26, 2019
CITY OF SEWARD, ALASKA
ORDINANCE 2019-007
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING PORTIONS OF SEWARD CITY CODE §15.10.226
LAND USES ALLOWED TABLE, TO ALLOW ANIMAL SHELTER IN
THE INSTITUTIONAL ZONING DISTRICT BY CONDITIONAL USE
PERMIT
WHEREAS, City Council passed Resolution 2018-049 on May 29, 2018, directing City
administration to bring forward recommendations for a site on which to relocate the animal
shelter; and
WHEREAS, the Seward Planning and Zoning Commission passed Resolution 2018-015
on September 4, 2018 recommending that the Alice Pickett Memorial Animal Shelter be
relocated to Lot 6A-2 Fort Raymond Subdivision Replat Number Three, located at 605 Sea Lion
Drive, in the Institutional Zoning District; and
WHEREAS, Lot 6A-2 is owned by the City of Seward and currently supports a number
of public uses, including a baseball field, the electric utility warehouse and substation, and two
municipal water wells; and
WHEREAS, Animal Shelters are currently an allowed use in the Industrial and Resource
Management Zoning Districts per Table 15.10.226 Land Uses Allowed; and
WHEREAS, the Alice Pickett Memorial Animal Shelter is a public facility operated for
the well-being of the animal companions of the citizens of Seward and is operated by the City of
Seward; and
WHEREAS, the Institutional Zoning District is designed to allow public and private
educational, administrative, government and health care uses, including public land r eserve for
future public development. The development standards are intended to set a high standard to
assure that the activities provide visual amenity to the surrounding area; and
WHEREAS, the public notification process was complied with and the appropriate
public hearing as required by Seward City Code § 15.01.040 was conducted by the Planning and
Zoning Commission on October 16, 2018, and
WHEREAS, at their October 16, 2018 meeting, the Planning and Zoning Commission
held a public hearing and recommended City Council approval of the proposed Land Uses
Allowed Table amendments included in this ordinance.
19
CITY OF SEWARD, ALASKA
ORDINANCE 2019-007
________________________
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, HEREBY ORDAINS that:
Section 1. Seward City Code Section 15.10.226 Land Uses Allowed Table is hereby
amended to read as follows:
(Deletions are Bold Strikethroughs; Additions are Bold Underline.)
SCC Table 15.10.225. - Land Uses Allowed Table
(Deletions are Bold Strikethroughs; Additions are Bold Underline)
Districts: Principally Residential Principally
Commercial
Principally
Public
Uses RR R1 R2 R3 UR OR AC HC CB I RM INS P
Animal Shelter O C C
Section 2. This ordinance shall take effect ten (10) days following enactment.
ENACTED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA
this 26th day of March, 2019.
THE CITY OF SEWARD, ALASKA
_______________________________
David Squires, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
20
21
22
23
Ordinance 2019-007
24
25
Sponsored by: Staff
CITY OF SEWARD,ALASKA
PLANNING AND ZONING COMMISSION
RESOLUTION 2018-016
A RESOLUTION OF THE PLANNING AND ZONING COMMISSION OF
THE CITY OF SEWARD, ALASKA,RECOMMENDING CITY COUNCIL
AMEND PORTIONS OF SEWARD CITY CODE §15.10.226 LAND USES
ALLOWED TABLE, TO ALLOW ANIMAL SHELTER IN THE
INSTITUTIONAL ZONING DISTRICT BY CONDITIONAL USE
PERMIT
WHEREAS, the Seward Planning and Zoning Commission passed Resolution 2018-015
on September 4, 2018 recommending that the Alice Pickett Memorial Animal Shelter be
relocated to Lot 6A-2 Fort Raymond Subdivision Replat Number Three; and
WHEREAS,Lot 6A-2 Fort Raymond Subdivision Replat Number Three consisting of
approximately 10.7 acres, is located at 605 Sea Lion Drive, in the Institutional Zoning District;
and
WHEREAS, Lot 6A-2 is owned by the City of Seward and currently supports a
number of public uses including a baseball field, the electric utility warehouse and
substation,and two municipal water wells; and
WHEREAS,Animal Shelters are currently an allowed use in the Industrial and Resource
Management Zoning Districts per Table 15. 10.226 Land Uses Allowed; and
WHEREAS,the Alice Pickett Memorial Animal Shelter is a public facility operated for
the well-being of the animal companions of the citizens of Seward and is operated by the City of
Seward; and
WHEREAS, The Institutional Zoning District is designed to allow public and private
educational, administrative, government and health care uses, including public land reserve for
future public development. The development standards are intended to set a high standard to
assure that the activities provide visual amenity to the surrounding area.
26
Seward Planning and Zoning Commission
Resolution 2018-016
Page 2 of 2
NOW, THEREFORE, BE IT RESOLVED by the Seward Planning and Zoning
Commission that:
Section 1. The Commission recommends Ordinance 2018- attached and
incorporated herein by reference, be forwarded to City Council for approval,
amending portions of Seward City Code §15.10.226 Land Uses Allowed Table; to
allow Animal Shelter within the Institutional Zoning District by conditional use
permit
Section 2. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the Seward Planning and Zoning Commission this 16th
day of October, 2018.
THE CITY OF SEWARD
IP0
Cindy"cklund, Chair
AYES: Seese, Fleming, Charbonneau, Ecklund
NOES:
ABSENT: Ambrosiani, Hatfield, Swann
ABSTAIN:
VACANT:
ATTEST:
I1vivuBrnaBalou,
City Clerk
pF SFit'y
City S;nl.•.GORPORq•.-Pc •.
SEAL ) . ;:
27
Sponsored by: Regis
Public Hearing: March 26, 2019
Approval Date: March 26, 2019
CITY OF SEWARD, ALASKA
RESOLUTION 2019-028
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
NEW LEASE WITH RAIBOW FIBERGLASS AND BOAT REPAIR LLC
FOR LOT 5 BLOCK 7 FOURTH OF JULY CREEK SUBDIVISION,
SEWARD MARINE INDUSTRIAL CENTER, KENAI PENINSULA
BOROUGH, PLAT NO. 2015-14 RAIBOW REPLAT #2 SEWARD
RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE OF
ALASKA
WHEREAS, the City is the owner of real property described as Lot 5 Block 7 Fourth of
July Creek Subdivision; and
WHEREAS, Raibow is currently conducting business adjacent to the proposed leased
premises on Lot 4D Block 7 with a 20-year lease which expires in June 2035; and
WHEREAS, the City and Raibow Fiberglass and Boat Repair LLC (Raibow) have
previously executed a lease contract at the Seward Marine Industrial Center (SMIC); and
WHEREAS, Raibow needs to lease additional land at the SMIC; and
WHEREAS, Raibow Fiberglass and Boat Repair LLC submitted a proposal to lease
Lot 5 Block 7 Fourth of July Subdivision for a boat repair yard; and
WHEREAS, Raibow has submitted an application with the State of Alaska for their
Storm Water Prevention Pollution Plan as required; and
WHEREAS, the City Manager has negotiated a lease agreement to lease additional land
to Raibow under the provisions of Seward City Code 7.05.410; and
WHEREAS, the Council approve in Resolution 2019-004 recommending that the Kenai
Peninsula Borough approve the replat of City owned land of Lot 5 Block 7 Fourth of July Creek
Subdivision, which is currently in the process of being re-platted; and
WHEREAS, the lease request is consistent with the Comprehensive Plan and the Seward
Marine Industrial Center Plan.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
28
CITY OF SEWARD, ALASKA
RESOLUTION 2019-028
___________________________
Section 1. The Council has determined that the essential terms and conditions and the
method disposition of the proposed lease agreement with Raibow Fiberglass and Boat Repair
LLC for the real property described as Lot 5, Block 7, Fourth of July Subdivision, located in the
City of Seward, is in the public’s best interest.
Section 2. The City Manager is authorized to execute the new lease agreement with
Raibow Fiberglass and Boat Repair LLC in substantially the form as presented at this meeting.
Section 3. This resolution shall take effect thirty (30) days after its adoption and posting.
Upon the effectiveness of this resolution the lease will be effective April 10, 2019.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
11th day of March, 2019.
THE CITY OF SEWARD, ALASKA
David Squires, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
______________________
Brenda J. Ballou, MMC
City Clerk
(City Seal)
29
30
31
Resolution 2019-028 PH
LEASE AGREEMENT
between
CITY OF SEWARD, ALASKA
and
Raibow Fiberglass and Boat Repair LLC
Effective Date:
32
TABLE OF CONTENTS
ARTICLE 1 - LEASED LAND .................................................................................................... 3
1.1 Description of Leased Land .................................................................................... 3
1.2 Covenant of Quiet Enjoyment; Warranty of Title ................................................... 3
1.3 Reserved .................................................................................................................. 3
1.4 Property Accepted ................................................................................................... 4
1.5 Permits .................................................................................................................... 4
1.6 Platting .................................................................................................................... 4
1.7 Development of Leased Land 4
ARTICLE 2 - LEASE TERM ...................................................................................................... 5
2.1 Lease Term .............................................................................................................. 5
ARTICLE 3 - RENTAL RATE ................................................................................................... 5
3.1 Initial Rental Rate ................................................................................................... 5
3.2 Rental Adjustments.................................................................................................. 5
3.3 Procedure for Rental Adjustment............................................................................ 6
3.4 Effect of Late Appraisal by CITY ............................................................................ 6
3.5 Appraisal by LESSEE ............................................................................................. 6
3.6 Effective Date of Adjusted Rental Rate ................................................................... 7
3.7 Interim Rental Adjustments ..................................................................................... 7
3.8 Late Payment Charge ............................................................................................. 8
ARTICLE 4 - USE OF LEASED LAND .................................................................................... 8
4.1 Use of Leased Land ................................................................................................. 8
4.2 Obligations of LESSEE ........................................................................................... 8
4.3 No Preferential Rights to Use Public Facilities ..................................................... 8
4.4 Adequacy of Public Facilities ................................................................................. 8
4.5 Tariffs and Other Service Fees ............................................................................... 9
4.6 Time for Payment of Utilities and Taxes................................................................. 9
4.7 Other Uses .............................................................................................................. 9
ARTICLE 5 - UTILITIES AND RIGHTS OF ACCESS .......................................................... 9
5.1 Utilities .................................................................................................................... 9
5.2 Third-Party Improvements .................................................................................... 10
5.3 Easements ............................................................................................................. 10
ARTICLE 6 - CONSTRUCTION BY LESSEE ....................................................................... 11
6.1 Improvements on Leased Land ............................................................................. 11
6.2 City Review of Construction ................................................................................. 12
ARTICLE 7 - RETURN OF LEASED LAND/SITE CONDITIONS .................................... 12
7.1 Return of Leased Land in Original Condition ...................................................... 12
ARTICLE 8 - FORCE MAJEURE ........................................................................................... 12
ARTICLE 9 - LESSEE'S ACTS OF DEFAULT ..................................................................... 12
ARTICLE 10 - REMEDIES FOR DEFAULT BY LESSEE .......................................... 141413
ARTICLE 11 - TITLE TO IMPROVEMENTS INSTALLED BY LESSEE ........................ 15
11.1 Real Property Improvements ................................................................................ 15
11.2 Personal Property ................................................................................................. 15
33
ARTICLE 12 - ASSIGNMENT OR SUBLEASE ............................................................ 151615
12.1 Assignment of Lease or Subleasing............................................................... 161615
12.2 Assignment of Lease for Security .......................................................................... 16
12.3 Assignment to Affiliate .......................................................................................... 16
ARTICLE 13 - LESSEE'S DUTY TO DEFEND/INDEMNIFY ............................................ 16
ARTICLE 14 - CITY'S DUTY TO DEFEND/INDEMNIFY ................................................. 17
ARTICLE 15 - INSURANCE .................................................................................................... 17
15.1 Minimum Insurance Requirements ....................................................................... 17
15.2 Subrogation Rights Waived................................................................................... 18
ARTICLE 16 - CONDEMNATION .......................................................................................... 18
ARTICLE 17 - ARBITRATION ............................................................................................... 19
17.1 Arbitration............................................................................................................. 19
ARTICLE 18 - MAINTENANCE AND REPAIRS ................................................................. 20
18.1 Normal Maintenance ............................................................................................ 20
18.2 Safety Issues ...................................................................................................... 2021
18.3 Cost of Repairs ...................................................................................................... 21
ARTICLE 19 - ENVIRONMENTAL CONCERNS ................................................................ 21
19.1 Hazardous Materials ............................................................................................ 21
19.2 Permits and Reporting .......................................................................................... 24
ARTICLE 20 - ESTOPPEL CERTIFICATES ........................................................................ 24
ARTICLE 21 - CONDITIONS AND COVENANTS .............................................................. 24
ARTICLE 22 - NO WAIVER OF BREACH ....................................................................... 2425
ARTICLE 23 - TIME OF THE ESSENCE .............................................................................. 25
ARTICLE 24 - COMPUTATION OF TIME ........................................................................... 25
ARTICLE 25 - SUCCESSORS IN INTEREST ....................................................................... 25
ARTICLE 26 - ENTIRE AGREEMENT ................................................................................. 25
ARTICLE 27 - GOVERNING LAW ........................................................................................ 25
ARTICLE 28 - PARTIAL INVALIDITY................................................................................. 25
ARTICLE 29 - RELATIONSHIP OF PARTIES ................................................................ 2526
ARTICLE 30 - INTERPRETATION ....................................................................................... 26
ARTICLE 31 - CAPTIONS ....................................................................................................... 26
ARTICLE 32 - AMENDMENT ................................................................................................. 26
ARTICLE 33 - NOTICES .......................................................................................................... 26
ARTICLE 34 - FIRE PROTECTION................................................................................... 2627
Exhibit A - Personal Guarantee
Exhibit B - Environmental Compliance Plan
Exhibit C - Leased Parcel
34
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 Raibow Fiberglass
and Boat Repair, LLC (the "LESSEE"), an Alaska corporation whose mailing address is P.O. Box
2891, Seward, Alaska 99664.
WHEREAS, LESSEE has indicated its desire to lease the property known as Lot 5, Block
7, Fourth of July Creek Subdivision, Seward Marine Industrial Center, Kenai Peninsula Borough,
Plat No. 2015-14 Raibow Replat #2 recorded in the Seward Recording District, Third Judicial
District, State of Alaska, consisting of approximately 106,370 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 Land is located in the City of Seward, Alaska.
The Leased Land is described as follows:
Lot 5, Block 7, Fourth of July Creek Subdivision, Seward Marine Industrial Center, Kenai
Peninsula Borough, Plat No. 2015-14 Raibow Replat #2 recorded in the Seward Recording
District, Third Judicial District, State of Alaska, consisting of approximately 106,370
square feet, more or less.
1.2 Covenant of Quiet Enjoyment; Warranty of Title. Subject to the encumbrances as of the
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.
35
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 of CITY, 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 permitted 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 permit 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 in Section 1.3. 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.
1.7 Development of Leased Land. LESSEE shall continue operate a vessel storage
and maintenance facility through the term of the lease. LESSEE understands that
construction and operations of its marine-related business is a major consideration for the
CITY’s agreement to the lease the Leased Land to LESSEE. LESSEE shall not operate
any other unrelated business on the Leased Land without the consent of the CITY.
36
a) CITY may withhold its consent as to any proposed business or activity which, in
CITY’s sole discretion, is not desirable or compatible with the CITY’s operation of
the Seward Marine Industrial Center.
b) In accordance with the provisions of Article 12, no assignment or sublease shall be
permitted, unless approved in writing by CITY. Any sublease shall be expressly
subject and subordinate to this Lease and the rights of the CITY hereunder. The CITY
may elect to not approve any proposed assignment or sublease that might result in a
business or activity that, in the CITY’s sole discretion, is undesirable and/or
incompatible with the CITY’s Seward Marine Industrial Center.
ARTICLE 2 - LEASE TERM
Lease Term. The term of this LEASE (the "Lease Term") shall be in accordance with
CITY's authorization in Resolution No. 2019-_____ (the "Resolution"). The Lease Term
shall run for approximately 20 years from the Effective Date, ending at midnight on June
30, 2039. LESSEE shall have the right to extend the term of this LEASE for two additional
five (5) year periods, provided that:
a) LESSEE exercises its 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.
d) The City Council of CITY, at the time each option is exercised, approves the
extension by resolution or ordinance.
ARTICLE 3 - RENTAL RATE
3.1 Initial Rental Rate. Commencing on the Effective Date of this LEASE through June 30,
2020, the annual rental rate for the Leased Land shall be set at $16,216.00. 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, 2020, 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
37
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 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
38
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.
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 p rovided 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
of objection 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, 2019 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.
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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 determined by the City Council of CITY to be in the public interest.
LESSEE may use the Leased Land for boat storage/repair work and industrial vessel repair
shop.
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 may operate a boat repair and boat storage business on the Leased Land.
e) 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.
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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
additional tenants for space, including those who would be in competition with LESSEE
or who might be interested in leasing the Leased Land should this LEASE be terminated
for any reason.
4.8 Use of Public Docks and Port Facilities. Public docks are subject to port and harbor rules
and regulations as adopted by City Council.
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 of oversizing 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.
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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 of
the 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:
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 may be 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 prope rty or
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other public property. Any easements or rights of access granted to LESSEE by CITY
need not be exclusive to LESSEE.
a) LESSEE shall maintain the drainage easement noted in the Raibow Replat 2015-
14 #2 and install an oil water separator at the South portion of the drainage easement to
protect the adjacent land and wetlands.
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 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 materialmen'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), 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).
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f) 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.
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
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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.
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 of a 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 of debt 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, of the State of Alaska
and the City of Seward, 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.
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9.6 Failure of LESSEE to maintain its operations within the Leased Land or to keep the public
rights of way clear.
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 dis train 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.
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f) 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.
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 or its
predecessors 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
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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 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.
ARTICLE 13 - LESSEE'S DUTY TO DEFEND/INDEMNIFY
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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 of the 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 ONE MILLION DOLLARS ($1,000,000) of Ship Repairers
Liability Insurance including “hot work” coverage and pollution liability coverage.
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
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utilized in 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 hereby releases
CITY, its elected and appointed officials, employees and volunteers, and others working
on behalf of CITY from 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 of the 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.
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If part but not all of the Leased Land is condemned for public use, LESSEE shall make a
good 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 ($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 ($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 ($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.
51
c) Written notice of requests for arbitration of disputes may be 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 (5)
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 performance
of 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
52
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 therein 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 of the
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
notwithstanding, LESSEE releases CITY from any and all claims, demands,
penalties, fines, 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
53
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.
ii) 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 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:
54
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;
iii) 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.
f) 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 was te, 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,
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
55
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, if there 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
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
56
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 of
the 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.
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 of joint 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.
57
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 of the articles, paragraphs, and subparagraphs of this 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
PO Box 167
Seward, Alaska 99664
All notices, demands or requests from CITY to LESSEE shall be given to LESSEE at the
following address:
Raibow Fiberglass and Boat Repair, LLC
PO Box 2891
Seward, Alaska 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
58
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 of this LEASE and CITY may submit LESSEE's compliance with its obligation
hereunder to arbitration not more frequently than once each five (5) years.
59
IN WITNESS WHEREOF, the parties hereto have set their hands and seals the dates
herein set forth.
CITY: LESSEE:
CITY OF SEWARD RAIBOW FIBERGLASS AND BOAT
REPAIR, LLC
Jeff Bridges, Interim City Manager Dave Phillips, President
Date: __________________________ Date:
ATTEST:
_____________________________
Brenda Ballou, MCMC
City Clerk
60
STATE OF ALASKA )
) ss.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this ____ day of ___________,
2019, by Jeff Bridges, Interim City Manager of the City of Seward, Alaska, on behalf of the City.
_______________________________________
Notary Public in and for Alaska
My Commission Expires:___________________
STATE OF ALASKA )
) ss.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this ____ day of ___________,
2019, by Dave Phillips who executed the foregoing document on behalf of Raibow Fiberglass and
Boat Repair, LLC
Notary Public in and for Alaska
My Commission Expires:
61
62
63
64
Sponsored by: Planning& Zoning Commission
Public Hearing Date: January 28, 2019
Approval Date: January 28, 2019
CITY OF SEWARD,ALASKA
RESOLUTION 2019-004
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RECOMMENDING KENAI PENINSULA BOROUGH
APPROVAL OF THE CITY OWNED FOURTH OF JULY CREEK
SUBDIVISION, SEWARD MARINE INDUSTRIAL CENTER, RAIBOW
REPLAT #2, CREATING TWO NEW LOTS TO BE KNOWN AS LOTS
4A-2 AND LOT 5, BLOCK 7; LOCATED WITHIN THE INDUSTRIAL
ZONING DISTRICT
WHEREAS, Joshua W. Varney, on behalf of Raibow Fiberglass and Boat Repair, LLC,
has submitted a preliminary replat of City owned Block 7, Fourth of July Creek Subdivision, to
be known as Fourth of July Creek Subdivision, Seward Marine Industrial Center(SMIC) Raibow
Replat#2; and
WHEREAS, this platting action subdivides Lot 4A-1, Block 7, Fourth of July Creek
Subdivision, SMIC, Plat 2015-14; creating two (2) parcels to be known as Lot 4A-2 and Lot 5
and; involving approximately 9.6 acres; and
WHEREAS, the subject properties of this replat are located within the Industrial Zoning
District(I); the minimum lot size and lot width as required by City Code have been met; and
WHEREAS, Dave Phillips of Raibow Fiberglass and Boat Repair, LLC has requested a
long-term lease of one (1) of the parcels depicted in this replat known as Lot 5, Block 7,
containing approximately 2.44 acres; and
WHEREAS, City staff have reviewed and commented, and are requiring that a ten (10)
foot drainage easement be dedicated on the plat which shall preserve a pre-existing drainage
feature on the subject parcel; and
WHEREAS, Block 7 is currently serviced by public roads, municipal water, sewer,
electric and other utilities, therefore, no subdivision installation agreement shall be required; and
WHEREAS, the replat protects and provides easements for existing and planned utilities
throughout the replat area; and
WHEREAS, it is the Seward Planning and Zoning Commission's responsibility to act in
an advisory capacity to the Seward City Council and the Kenai Peninsula Borough regarding
subdivision plat proposals; and
65
CITY OF SEWARD, ALASKA
RESOLUTION 2019-004
WHEREAS, all conditions required by Seward City Code §16.01.015, Conditions to plat
approval, were met; the property owners and leaseholders within 300 feet of the requested replat
were notified of the proposed subdivision, and the property was posted with public notice
signage; and
WHEREAS, the Seward Planning & Zoning Commission held a public hearing on
December 4, 2018 and approved P&Z Resolution 2015-018, recommending Council and the
Kenai Peninsula Borough approve the Fourth of July Creek Subdivision, Seward Marine
Industrial Center, Raibow Replat #2, creating two new lots to be known as Lots 4A-2 and Lot 5,
Block 7; and
WHEREAS, in accordance with Seward City Code Section 16.01.015 ( B), no
preliminary plat of city owned property may be submitted to the Kenai Peninsula Borough for
approval without prior consent of the City Council.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The Seward City Council recommends the Kenai Peninsula Borough Planning
Commission approve the Fourth of July Creek Subdivision, Seward Marine Industrial Center,
Raibow Replat#2, subject to the following condition:
A. Provide a ten (10) foot drainage easement along the existing drainage feature on the
subject parcel, as noted on the preliminary plat.
Section 2. This resolution shall take effect thirty (30) days upon approval.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
28th day of January, 2019.
THE CITY OF SEWARD, ALASKA
Davi quires, Mayor
66
CITY OF SEWARD, ALASKA
RESOLUTION 2019-004
AYES: McClure, Towsley, Lane, Seese, Osenga, Horn, Squires
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
Brenda J. Ballou, MMC
City Clerk
City Seal) ,,,,,,,,,,„
SEAL GY ;.
s
OFA
67
Meeting Date:
To:
Through
From:
Agenda Item:
Agenda Statement
January 28, 2019
City Council
JeffBridges, Interim City Manage
Jackie C. Wilde, Planner U 0
Resolution 2019-004 recommending City Council and Kenai Peninsula
Borough approval of the Fourth of July Creek Subdivision, Seward
Marine Industrial Center, Raibow Replat #2, creating two new lots to
be known as Lots 4A-2 and Lot 5, Block 7; located within the industrial
zoning district
BACKGROUND & JUSTIFICATION:
Attached for the Council's review and recommendation to the Kenai Peninsula Borough
Planning Commission is a preliminary plat submitted by Joshua W. Varney on behalf of Dave
Phillips, Raibow Fiberglass & Boat Repair, LLC. In accordance with Seward City Code (SCC)
16.0l.015(B) "No preliminary plat of City-owned property may be submitted to the Kenai
Peninsula Borough Planning Commission for approval without the prior consent of the City."
This replat is located within the Seward Marine Industrial Center (SMIC). This platting action
subdivides Lot 4A-l, Block 7, Fourth of July Creek Subdivision, SMIC, Plat 2015-14; creating
two (2) parcels to be known as Lot 4A-2 and Lot 5; involving approximately 9.6 acres. Lot 5
will also be under a long-term lease to Raibow Fiberglass & Boat Repair, LLC. When the
platting action is completed the lease agreements with Raibow Boat Repair will be brought
beforethe Council forapproval.
SUBDIVISION REVIEW:
Zoning:
The replat is within the Industrial Zoning District. Current development surrounding this replat
includes Jag Industrial & Marine Services, Exit Marine, and the City boat storage yard parcels.
Utilities:
The replat area is currently serviced by private roads, some municipal water, sewer, electric and
other utilities are available; no subdivision installation agreement shall be required. The
surveyor has worked diligently with City staff to provide current and planned utility/access
easements.
Existing Uses:
Block 7 currently contains the Jag Industrial & Marine Services lease parcels, the City Vessel
Washdown Pad, Polar Seafoods storage parcel, the transfer rails for the vessel syncrolift and
driveway and utility easements. The parcel immediately to the north, known as Lot 4D, is also
currently under long term lease by Raibow Fiberglass & Boat Repair, LLC.
5468
Flood Zone:
The area is within a Flood Zone D, which are areas ofundetermined flood hazards.
CONSISTENCY CHECKLIST: Yes
Seward 2030 Comprehensive Plan (approved by Council, 2017)
3 .5 Port and Harbor Develor2ment (page 16)
1.Section 3.5.1 Maintain a thriving port of Seward through harbor X
improvements, infrastructure expansion, and implementation of
management plans.
2.Strategic Plan (1999)
Seward City Code:
16.01.015. Conditions to 12latarmroval.
3. b)No preliminary plat ofcity-owned property may be submitted to the X
Kenai Peninsula Borough planning commission forapproval without
the prior consent ofthe city council.
Staff Comments:
No
All staffand administration concernshave been addressed and all City department heads
recommend approval ofthe preliminary replat. ··
FISCAL NOTE:
Replat costs were paid by Raibow Boat Repair in preparation oflong term lease agreements.
Approved by Finance Department:
ATTORNEY REVIEW: Yes No X NIA -----------
RECOMMENDATION:
NIA
X
Approve Resolution 2019- 004, recommending Kenai Peninsula Borough approval of the
Fourth of July, Seward Marine Industrial Center, Raibow Replat #2, creating two new lots to
be known as Lots 4A-2 and Lot 5, Block 7, subject to the cdnditions listed in this resolution.
5569
5670
5771
NSURVEYOR'
S
CERTIFICATENOTARY'
S
ACKNOWLEDGMENT
CERTIFICATION
OF
72
City of Seward
Strategic Plan
M Approved by City Council Resolution No 99 043
5973
This
Strategic
Plan is a
flexible and
evolving
document
which the
City
government
will use to
move the
community
into the
future
Introduction
The community of Seward is using strategic planning to identify and address the
ajor issues ofthe future The City Council Planning and Zoning Commission and
administrative staff developed this plan using the results of the Community Town
Meetings to guide the City to the year 2020 The goals and objectives identified
under each vision element were developed based on a five year schedule for
completing the objectives and attaining the goals
This Strategic Plan is a flexible and evolving document which will guide decision
making The City will use this plan to develop specific action items to move our
community with confidence into the twenty first century
Our Beginning
Seward was founded in 1903 as a railroading town one of Alaska s earliest pianned
communities This ice free port became the tidewater te inus for an overland route
o the Interior the gateway to the Iditarod gold fields and the means to export the
state s agricultural mineral and timber resources
Page16074
This vision
reflects
the citizen s
hopes for
the Seward
community
into and
beyond the
year
2020
Our Vision
Building on Seward s heritage and impressive natural setting the community s vision
for Seward includes an attractive healthy vibrant community a strong diverse
economy with quality business educational and recreational opportunities a process
for orderly growth and an appreciation of local history culture and sense of
community
The City s Mission
The mission of the City of Seward government is to provide quality leadership
operate efficiently be responsive to the desires of its residents preserve and promote
the unique heritage and natural setting of the city and further the social and
economic well being of its citizens
Page 2
6175
These
elements
comprIse
today s
vision of
Seward
in the
year
2020
VISION ELEMENTS
Economic Base
We are a community that promotes economIc diversity
encourages growth of year round businesses desires
environmentally responsible industry and seeks jobs that
promote a higher standard of living
Growth Management and Land Use Planning
We have an attractive community in which to live work be
educated and recreate where growth is orderly and driven by
community consensus Growth and land use planning are
coordinated through the collaboration of private and public
entities We promote and facilitate balanced development
Recreation and Leisure
We provide diverse year round indoor and outdoor recreational
educational and cultural opportunities and facilities for residents
and visitors of all ages and socioeconomic backgrounds
Page36276
These
elements
comprise
today s
vision of
Seward
in the
year
2020
VISION ELEMENTS
HistolY and Sense of Community
We value and protect Seward s historic ch acter culture and
physical attributes all of which contribute to its strong sense of
community
Natural Environment
We celebrate our natural environment by preserving views and
open spaces working in harmony with nature protecting
wildlife and providing environmentally sensitive access to
nearby waterways glaciers fjords mountains and marine life
Transportation Facilities
Weare a community with diverse transportation facilities
including road rail air pedestri and water routes that meet the
needs of residents businesses and visitors
Page46377
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Economic Base
We are a community that promoreseconomic diversity encourages growth of year
round businesses desires environmentally responsible industry and seeks jobs that
promote a higher standard of living
Goals and Objectives
Attract New Industry
Develop an aggressive marketing campaign which highlights the
diverse resources and quality of life that make Seward a great place
to live and establish a business or industry
Develop appropriate economic tools to attract industry
Endeavor to provide modern communication infrastructure
Adjust local development regulations where appropriate to
encourage development that is consistent with our economic base
VISIon
Develop infrastructure expansion plans for currently undeveloped
residential and commercial property
Establish a foreign trade zone
Page56478
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Attract More Public Sector FederaVState Employment and
Program Funding
Continu to lobby on behalf of the University of Alaska in their
efforts to expand the Institute of Marine Science facility in Seward
Continue to lobby the Department of Corrections and the state
legislature to expand the Spring Creek Correctional Center
Continue to lobby for the growth of the Alaska Vocational Technical
Center
Support construction of the inter agency facility including National
Park Service U S Forest Service Alaska State Parks and University
ofAlaska
Continue to support external funding for the Alaska SeaLife Center
Support efforts of village and regional native corporations to expand
their services
Encourage the appointment of a supenor court judge and
construction of a courthouse public safety building in Seward
Page 6
6579
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Improve and Expand Maritime Facilities
Complete the renovation of the Small Boat Harbor
Continue working with the Alaska Railroad Alaska Marine Highway
System shipping and cruise ship industries to ensure the expansion
and modernization of the freight and cruise ship port facilities
Complete the eastward expansion of the Small Boat Harbor
Reduce Energy Costs
Expand customer base within the Seward Electric Utility area
Complete a utility rate study
Continue to support efforts that would provide Seward with
alternative energy sources including natural gas hydropower etc
Expand Development in the Seward Marine Industrial Center
Resolve the financial burden of the North Dock
Expand utilities throughout the Seward Marine Industrial Center area
Develop an active marketing campaign
Page 7
6680
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
visionfor
the year
2020
Promote Winter Activities
Promote winter back country activities such as the expansion of
nordic ski trails alpine skiing and snowmachining
Support and encourage the development of an ice skatinghockey
facility
Page86781
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
cO11munity s
vision for
the year
2020
Growth Management and Land Use
Planning
We have an attractive community in which to live work be educated and recreate
where growth is orderly and driven by community consensus Growth and land use
planning are coordinated through the collaboration ofprivaie and public entities We
promote and facilitate balanced development
Goals and Objectives
Establish An Attractive Highway Corridor From Mile 0 8
Establish a joint land use planning process for the corridor with the
local residents and the Kenai Peninsula Borough
Coordinate with local residents and the Borough to develop a specific
land use plan for the corridor
Implement the jointly adopted land use plan
Promote Residential and Commercial Development Inside The City
Encourage construction of residential and seasonal housing at all
market levels
Streamline plan approval and building inspection processes
Page 9
6882
These
goals and
objectives
wilt guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Develop infrastructure and utility expansion plans for currently
undeveloped residential and commercial property
Create a financial plan for new services and infrastructure
Reduce utility costs
Maintain Comprehensive And Land Use Plans That Reflect And Achieve
The Community s Vision
Revise the Comprehensive Plan so that it is consistent with this
Strategic Plan
Annually review update and affirm the Comprehensive and Land
Use Plans
Revise the Comprehensive Plan to include infrastructure and growth
plans
Pursue the community s vision thro gh rigorous imple mentation of the
Comprehensive and Land Use Plans
Promote in fill development by encouraging and promoting
construction on vacant sites in already established areas of the city
Achieve public awareness and acceptance of the Comprehensive and
Land Use Plans through public participation in town meetings
outreach to community groups and increased public relations
Page106983
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Ensure that all legislative and administrative decisions are consistent
with the goals of the Strategic and Comprehensive plans
Update the Zoning Code in order to implement the Comprehensive
Plan
Work towards bringing the Zoning Map into conformance with the
Land Use Plan
Ensure uniform and consistent enforcement of the Zoning Code
Mitigate Flood Hazards
Secure funding to implement the comprehensive flood mitigation
plan for Resurrection River and Japanese Creek
Actively maintain the Fourth of July Creek channel through debris
removal
Determine the best solution and seek adequate funding to dimin sh
the Lowell Creek flood potential
Plan and Prepare for Natural Disasters
Actively participate in the National Flood Insurance Program
Coordinate with the Kenai Peninsula Borough to annually review all
disaster emergency plans
Coordinate community wide disaster preparedness training and
public education efforts
Page117084
These
goal and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vis ion for
the year
2020
Recreation and Leisure
We provide diverse year round indoor and outdoor recreational educational and
cultural opportunities and facilities for residents and visitors of all ages and
socioeconomic backgrounds
Goals and Objectives
Beautify Waterfront Park
Develop a landscaping plan for Waterfront Park which provides for
additional green space
Protect Waterfront Open Space
Maintain Park Zoning designation throughout Waterfront Park
Develop and Improve Public Playgrounds
Replace and maintain equipment with a focus on safety and ADA
accessibility
Complete Two Lakes Park improvement plan
Develop a neighborhood park in the Gateway Subdivision
Encourage Cultural Activities Expand Library Services and Develop
Additional Recreational Facilities
Page127185
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
History and Sense of Community
We value and protect Seward s historic character culture and physical attributes all
of which contribute to its strong sense of community
loals and Objectives
Enhance the Sense of Community Among Residents of the Greater
Seward Area
Make every effort to involve the entire community in decision
making processes
Maintain Seward s small town character throughout the growth
process
Promote the development of local communication networks
Encourage the Recognition Rehabilitation and Preservation of Historic
Sites and Buildings
Support the Historic Preservation Commission s efforts to raise public
awareness regarding local historic property
Plan and Celebrate the Seward Centennial Celebration in 2003
Page137286
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Continue to Support and Encourage the Re vitalization of Downtown
Focus downtown revitalization efforts on vacant and dilapidated
buildings
Complete Hoben Park improvements
Identify location for public restrooms and fund construction
Encourage downtown resident apartments
Page147387
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Natural Environment
We celebrate our natural environment by preserving views and open spaces working
in harmony with nature protecting wildlife and providing environmentally sensitive
access to nearby waterways glaciers fjords mountains and marine life
Goqls and Objectives
Preserve and Protect the Scenic Views of the Mountains and Resurrection
Bay
Ensure that Waterfront Park is zoned and dedicated for park purposes
in perpetuity
Seek ways to protect the watershed and mitigate development impacts
on the slopes of Bear Mountain Marathon Mountain Mount Benson
and the Mt Alice bench
Encourage Citizens As Well As The City To Take An Active Role In
Beautifying The Community
Plant trees shrubs and wildflowers
Develop landscaping recommendations
Page157488
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
community s
vision for
the year
2020
Expanded Transportation Facilities
We are a community with diverse transportation facilities including road rail air
pedestrian and water routes that meet the needs of residents businesses and visitors
Goals and Objectives
Provide Safe and Efficient Vellicular Tran portation Facilities That Meet
the Needs of the Community
Use the State Transportation Improvement Plan STIP to complete
the Seward Highway MP 0 8 improvement project which includes
replacing the Resurrection River bridges and constructing a separated
pedestrianlbicycle path and upgrade Lowell Point Road
Improve public transportation between downtown and the harbor by
developing an ADA compliant local transit system
Improve access to and within the City
Improve the State Airport
Complete an airport runway expansion feasibility study
Develop a flood mitigation project to protect the runway from
flooding
Upgrade navigational aids technology
Page167589
These
goals and
objectives
will guide
the City
government
over the
next five
years to
help reach
the
comlunity s
vision for
the year
2020
Expand and Maintain Existing Sidewalks and the Multi Purpose Trail
System in Order to Provide a Safe Fully Accessible Paved Pathway
Throughout the City
Construct a separated trail along the Seward Highway from mile 0 8
Construct a pedestrian sidewalk between the Alaska Railroad Dock
an9 the lditarod Trail at Fourth Avenue and Van Buren Street
Connect schools and residential areas through the development of
sidewalks and trails
Develop long term sidewalk installation plans
Ensure year round maintenance of existing sidewalks
Support the construction of a pedestrian path to Exit Glacier
Page 17
7690
These
elements
comprise
the
community s
vision of
Seward
in the
year
2020
Other Major Elements of Our Vision
The following elements were identified by the public as key components of Seward s
vision Specific goals and objectives were not identified for these elements because
many of them have already been addressed in other sections of the Plan However
the Council Planning and Zoning Commission and administration agreed that they
warranted special consiaeration in the Plan
Expa d and integrate educational programs
We are a community with quality educational resources and facilities that
provide academic and personal growth opportunities for citizens of all ages
Such a vision includes integrating the Seward public schools University of
Alaska Institute of Marine Science Alaska Vocational Technical Center
Alaska SeaLife Center and other such facilities to maximize resources
Promote a safe community
Weare a community that promotes the public health safety and welfare of
its residents by preparing for natural and man made hazards through
responsible building construction maintaining streets and sidewalks and
providing superior police fire and disaster management services
Expand availability of affordable diverse year round housing
Seward has a wide range of housing alternatives to meet the varied needs of
Seward s long term and seasonal residents
Page187791
These
elements
comprise
the
community s
vision of
Seward
in the
year
2020
Provide adequate funding for afinancially sound city government
The City ofSeward is a fiscally responsible entity which utilizes creative and
responsible ftmding alternatives
Maintain and enhance medical and social services
Weare a community that provides an integrated array of health 1are servies
designed to protect and improve the quality of life for all citizens
Page 19
7892
Implementation
It is the City s intent to consider the implementation ofall recommendations outlined
in this Strategic Plan to the fullest extent possible In order to assist in the
implementation the Plan will be used as the basis for all City Council Planning and
Zoning Commission and administrative decision making The City of Seward annual
operating budget capital improvement budgeting and Comprehensive Plan will also
be developed consistent with the community vision and recommendations of the
Strategic Plan
f
Page207993
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Sponsored by: Council Member Towsley
Introduction Date: March 26, 2019
Public Hearing Date: April 8, 2019
Enactment Date: April 8, 2019
CITY OF SEWARD, ALASKA
ORDINANCE 2019-008
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING AND REVISING SEWARD CITY CODE, TITLE
2, 2.05.030, EXEMPTIONS FOR PARTICULAR RECORDS
WHEREAS, Seward City Code, Title 2, Chapter 2.05 Records, Exemptions was
originally adopted in the 1987 with Ordinance No. 599; and
WHEREAS, regular review and revision of City code is necessary to ensure that Seward
City Code remains relevant, continues to reflect the values of the citizens of Seward, and is in
compliance with Alaska statutes; and
WHEREAS, Alaska statutes balance the public interest and disclosure on the one hand
and the privacy and reputational interests of the affected party together with the government’s
interest in confidentiality, on the other; and
WHEREAS, in 2003 the Alaska Supreme Court said that access to public records is a
“fundamental right” (see Fuller v City of Homer) and that “exemptions” to the disclosure
requirements of Alaska’s public records laws are not favored and will be narrowly construed (see
Municipality of Anchorage v Anchorage Daily News, 794 p. 2d 584 1990); and
WHEREAS, changes to Title 2.05 Records will bring the City of Seward Code into
alignment with most interpretations of State Alaska Statute 40.25.120. Public Records;
Exceptions; Certified Copies. which does not allow for payroll database exemptions; and
WHEREAS, updating Seward City Code Title 2, Administration, 2.05.030, “Exemptions
for particular records” promotes openness and transparency in government by allowing public
access to payroll database information through the public records request process; and
WHEREAS, complying with state law, and practicing openness and access to payroll
and salary database information for public officials helps to establish and foster trust between
citizens and the City of Seward.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA HEREBY ORDAINS that:
Section 1. Seward City Code 2.05.030 Exemptions for particular records as follows:
(Deletions are Bold Strikethroughs; Additions are Bold/Underline/Italics.)
98
CITY OF SEWARD, ALASKA
ORDINANCE 2019-008
________________________
2.05.030 - Exemptions for particular records.
(a) This chapter shall not be construed to require disclosure of the following records or
information which, by law, are required to be confidential:
(1) Records of vital statistics and adoption proceedings;
(2) Records pertaining to juveniles unless disclosure is authorized by law;
(3) Health, mental health, medical, juvenile and personality problem information
obtained or prepared by the city with respect to any person for whom treatment or
services were provided; Medical and related public health records;
(4) Records required to be kept confidential by a federal law or regulation or by state law;
(5) Records required to be kept confidential under 20 U.S.C. 1232g and the regulations
adopted thereunder in order to secure or retain federal assistance.
***
D. This chapter shall not be construed to require disclosure of the following personnel records
or information:
1. City personnel records, including employment applications and examination materials,
payroll and medical records which reveal the financial or medical status of any
specific individual and, in addition, those records the disclosure of which would
constitute an unwarranted invasion of privacy. This subsection does not protect from
disclosure the following personnel information:
a. Employment applications and examination materials of city officials appointed by
the city council;
b. The names and position titles of all city employees;
c. The position held by a city employee;
d. Prior positions held by a city employee;
e. Whether a city employee is in a collective bargaining unit;
f. The dates of appointment and separation of a city employee; and
g. The compensation authorized for a city employee.
A city employee has the right to examine the employee's own personnel files and may
authorize others to examine those files.
2. Information which municipal governments engaged in collective bargaining regularly
consider to be privileged or confidential for purposes of successful collective
bargaining.
***
Section 2. This ordinance shall take effect ten (10) days following its enactment.
99
CITY OF SEWARD, ALASKA
ORDINANCE 2019-008
________________________
ENACTED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA
this 8th day of April, 2019.
THE CITY OF SEWARD, ALASKA
_______________________________
David Squires, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
_________________________
Brenda J. Ballou, MMC
City Clerk
(City Seal)
100
COUNCIL AGENDA STATEMENT
Meeting Date: April 8, 2019
To: Seward City Council
From: Council Member Suzi Towsley
Agenda Item: Ordinance 2018-008, Amending And Revising Seward City Code, Title 2,
2.05.030, Exemptions For Particular Records,
BACKGROUND & JUSTIFICATION:
Regular review and revision of Seward City Code is necessary to ensure that Seward City Code
remains relevant, continues to reflect the values of the citizens of Seward, and is in compliance
with Alaska statutes. Seward City Code, Title 2, Chapter 2.05 Records was originally adopted
decades ago and has been updated periodically, including minor revisions in 1988 and 1991.
In 2003, the Alaska Supreme Court said that access to public records is a “fundamental right”
(Fuller v. City of Homer) and that “exemptions” to the disclosure requirements of Alaska’s
public records laws are not favored and will be narrowly construed (Municipality of Anchorage
v. Anchorage Daily News, 794 p. 2d 584 1990).
Changes to Title 2.05 Records will bring the Seward City Code into alignment with Alaska
Statute 40.25.120. Public Records; Exceptions; Certified Copies which does not allow for payroll
database exemptions.
These proposed updates to Seward City Code Title 2, Administration, 2.05.030, “Exemptions for
particular records” promote openness and transparency in government by allowing public access
to payroll database information through the public records request process.
Council bringing Seward City Code into alignment with state law, while practicing openness by
allowing access to payroll/salary database information for public officials, helps to establish and
foster better trust between citizens and the City of Seward.
INTENT:
The intent of this Ordinance is to align Seward City Code with current interpretations of Alaska
Statute 40.25.120 Public Records; Exceptions; Certified Copies.
101
507486\1006\00798783
CONSISTENCY CHECKLIST: Yes No N/A
1. Comprehensive Plan (document source here): X
2. Strategic Plan (document source here) : X
3. Other (list): Alaska Statute 40.25.120 Public Records; Exceptions;
Certified Copies. X
FISCAL NOTE:
This change in the City Code is expected to have no financial impact upon the City.
Approved by Finance Department: _______________________________________ (3/11/19)
ATTORNEY REVIEW: Yes __X__ No _____ Not Applicable ______
RECOMMENDATION:
Enact Ordinance 2019-008
102
Sponsored by: Regis
CITY OF SEWARD, ALASKA
RESOLUTION 2019-030
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RENAMING CITIZENS FIELD LOCATED ON CITY-OWNED
PROPERTY LOT 6A-2 FORT RAYMOND SUBDIVISION REPLAT
NUMBER 3 TO THE RYAN M. LEWIS MEMORIAL FIELD
WHEREAS, Ryan was the son of Jim and Jean Lewis, and was born and raised in
Seward, Alaska. He attended all three schools designating him to be a twelve year senior; and
WHEREAS, Ryan was active in sports, and he always enjoyed watching sporting events
with friends and family; and
WHEREAS, Ryan particularly loved a good game of softball, and you could find him
every summer playing on various teams; and
WHEREAS, Ryan M. Lewis was beloved in Seward by everyone – from the parents who
were friends of his parents, to his sports-minded friends, to his childhood friends, and his co-
workers and bosses from various jobs held in Seward over the years; and
WHEREAS, a citizen petition was submitted to the city which contained over 200
signatures from community members requesting this act.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The City Council hereby approves the renaming of “Citizens Field” to "Ryan
M. Lewis Memorial Field".
Section 2. An appropriate sign shall be created memorializing Ryan’s life and shall be
affixed during a ceremony to be held on April 28, 2019.
Section 3. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
26th day of March, 2019.
THE CITY OF SEWARD, ALASKA
David Squires, Mayor
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Resolution 2019-030
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Sponsored by: Regis
CITY OF SEWARD, ALASKA
RESOLUTION 2019-031
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING THE AGREEMENT COVERING TERMS AND
CONDITIONS OF EMPLOYMENT BETWEEN THE CITY OF SEWARD,
ALASKA AND LOCAL NO. 1547 INTERNATIONAL BROTHERHOOD OF
ELECTRICAL WORKERS AFL-CIO ANCHORAGE, ALASKA TO
PROVIDE FOR THE INCLUSION OF THE POSITION OF FIELD
ENGINEER INTO THE BARGAINING UNIT
WHEREAS, on March 27, 2018, the Seward City Council voted in favor of the petition for
recognition to include the Field Engineer position in the International Brotherhood of Electrical
Workers (IBEW); and
WHEREAS, administration and the city attorney have negotiated with the IBEW
business representative on the terms and conditions specific to the Field Engineer position; and
WHEREAS, all parties have agreed to the attached amended agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The City Manager is authorized to amend the Agreement Covering the Terms
and Conditions of Employment between the City of Seward and the International Brotherhood of
Electrical Workers (IBEW) Local No. 1547 for the inclusion of the position of Field Engineer into
the bargaining unit.
Section 2. This contract is effective March 31, 2019 and will expire June 30, 2019.
Section 3. Funding in the amount of $1,619 for the increased hourly rate is within the
Electric Department’s 2019 budget.
Section 4. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
26th day of March, 2019.
THE CITY OF SEWARD, ALASKA
David Squires, Mayor
127
Meeting Date:
To:
Through:
Agenda Item:
Agenda Statement
March 26, 2019
City Council
Jeff Bridges, Interim City Manage
Inclusion of Electrical Departme ield Engineer Position into the IBEW
BACKGROUND & JUSTIFICATION: On March 27, 2018 the Seward City Council voted to
include the Executive Assistant and Field Engineer in the Electrical Department into the IBEW
Collective Bargaining Unit. Since that time, negotiations have been underway on the terms and
conditions of their participation in the Unit.
During those discussions and with the newly organized Seward Public Employees Association
(SPEA) Bargaining Unit, the IBEW and the City now agree that the executive assistant should be in
the SPEA. This is primarily for internal advancement opportunities. Under the SPEA contract all
open positions are posted within the SPEA Bargaining Unit first. Ifthere are no qualified candidates
then the position is posted externally. If the Electrical Department Executive Assistant is not in the
SPEA that person would not be able to compete internally for open positions throughout the City.
Therefore, only the Field Engineer will be enrolled into the IBEW Bargaining Unit. The side
agreement with the IBEW provides for the inclusion of the position in the Bargaining Unit, and
provides for an increase in the hourly salary for the employee from $34.28 to $34.94 per hour.
INTENT: To comply with the Council's action taken at the March 27, 201 8 City Council Meeting.
CONSISTENCY CHECKLIST:
1. Comprehensive Plan (document source here):
2. Strategic Plan (document source here):
3. Other (list):
FISCAL NOTE: The increase in salary and benefits will be $1,619.
Approved by Finance Department: � �IY':Bi;) 0
Yes No
ATTORNEY REVIEW: Yes _____ Xc.=__ No ____ Not Applicable ___ _
NIA
X
X
X
RECOMMENDATION: Approve the letter of agreement By and Between the City of Seward and
International Brotherhood of Electrical Workers, Local 1547 (IBEW) Re: New Classifications.
128
Resolution 2019-031
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Sponsored by: Regis
CITY OF SEWARD, ALASKA
RESOLUTION 2019-032
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING SIGNATURES FOR ALL CITY BANK
ACCOUNTS AND RESCINDING ALL PREVIOUS RESOLUTIONS IN
CONFLICT HEREWITH
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA that:
Section 1. Any two of the following signatures shall appear on all checks, drafts, notes or
orders drawn against the City of Seward bank accounts maintained at the Seward Branch of
Wells Fargo or the Seward Branch of the First National Bank of Anchorage:
___________________________________ ____________________________________
Norman Regis, Acting City Manager Kristin Erchinger, Finance Director
___________________________________ ____________________________________
Sam Hickok, Assistant Finance Director Brenda Ballou, City Clerk
Section 2. Any one of the above persons shall have access to and full power to remove
the contents of and to exchange or surrender the safe deposit boxes rented by the City of Seward
located at the Seward Branch of Wells Fargo under the terms of the City of Seward's banking
services agreement with Wells Fargo.
Section 3. Any one of the above persons shall have authority to invest City monies with
financial institutions as prescribed by the Seward City Code Chapter 5.15, Investment and
Collateralization of Public Funds.
Section 4. All previously approved resolutions in conflict herewith are hereby rescinded.
Section 5. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
26th day of March, 2019.
THE CITY OF SEWARD, ALASKA
David Squires, Mayor
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Resolution 2019-032
Agenda Statement
Meeting Date: March 26, 2019
From: Brenda Ballou, City Clerk
Agenda Item: Certification of the March 19, 2019 Special City Election
BACKGROUND & JUSTIFICATION:
The City conducted a special municipal election on Tuesday, March 19, 2019. The Canvass of the
election was conducted on Thursday, March 21, 2019. A report stating the final results of the
election, including votes cast by absentee and questioned voters, is attached for your certification.
RECOMMENDATION:
Certify the March 19, 2019 special city election and declare the results final.
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City of Seward, Alaska City Council Minutes
March 11, 2019 Volume 40, Page
CALL TO ORDER
The March 11, 2019 regular meeting of the Seward City Council was called to order at 7:00
p.m. by Mayor David Squires.
OPENING CEREMONY
Police Chief Tom Clemons led the Pledge of Allegiance to the flag.
ROLL CALL
There were present:
David Squires presiding and
Sue McClure Suzanne Towsley
Jeremy Horn Sharyl Seese
John Osenga Kelley Lane
comprising a quorum of the Council; and
Jeff Bridges, Interim City Manager
Brenda Ballou, City Clerk
Will Earnhart, City Attorney
Excused – None
Absent – None
CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR
PUBLIC HEARING
Carol Griswold said regarding unfinished business, she supported a joint work session with
PACAB and the chamber of commerce; also supported teen rec room. Encouraged council to give
more clear direction to administration on … thanked Jeff
Tim McDonald expressed his condolences to the Dunham family. Regarding extending the
airport runway, he was concerned that a longer runway would create noise pollution throughout the
city.
John Wisel II introduced himself as a new resident of Seward. his family had moved to
invest in Seward; he had obtained a property on old exit glacier road, and also the old video store on
fifth avenue. He was partnering with local contractor Phil Zimmerman. He would like to develop the
gateway subdivision up Dora way; the location was near the school, which was convenient.
Lynda Paquette updated everyone on Seward civic engagement. On march 21 she was trying
to get the borough to speak about mill rates, property assessments, appeals, etc. the schc anniversary
party last Friday was wonderful; this could be a future topic, as well.
139
City of Seward, Alaska City Council Minutes
March 11, 2019 Volume 40, Page
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion () Approval of Agenda and Consent Agenda
Motion Passed Unanimous
The clerk read the following approved consent agenda items:
Resolution 2019-024, Authorizing The City Manager To Enter Into A Three-Year Contract
With R&M Consultants Inc. For On-Call Engineering Services.
Non-objection for the renewal of the Restaurant/Eating Place – Public Convenience Seasonal
liquor license #4915 for the Gulf of Alaska Food Court.
Approval to lift the protest of the renewal of Beverage Dispensary liquor license #822 for
Seasalt Alaskan Bar & Grill.
SPECIAL ORDERS, PRESENTATIONS AND REPORTS
Proclamations & Awards
Honoring the Life of Willard Dunham
American Legion Centennial Day In Seward
Seward’s Day
Borough Assembly Report. Kenn Carpenter could not attend the meeting due to illness.
City Manager Report. Jeff Bridges reported the following purchase orders over $5,000 had
been approved by the City Manager since the last council meeting: $29,806 to Alaska Sales &
Service for a Chevrolet truck for Public Works per Resolution 2019-020; $31,771 to Kendall Ford
for a Ford truck for Public Works per Resolution 2019-019; $9,800 to YourCleanEnergy, LLC for
Lowell Canyon Hydro Project engineering services; and, $72,009 to Connie Alsup for general
monthly janitorial services at the Library.
Following up from the last meeting, Bridges said there was a question on the solid waste bills
and how they impacted the utility bills; the contract with Alaska Waste allowed the city the choice to
include them on delinquent notices as a utility bill. There was no written policy on how that was
done, nor about who decided to turn off a customer for non-payment of bills. Bridges suggested it
would be in the city’s best interest to draft a policy addressing this issue.
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Bridges said Andy Baker would be in town again on March 21, 2019, and based on the joint
work session last week with PACAB, there seemed to be the desire to have more community input
and information about the project; Andy Baker was offering to have another public meeting to
answer questions.
On March 19, 2019, the acting city manager and assistant city manager would be traveling to
Juneau to provide a presentation to the Transportation Committee to discuss Seward’s port and
harbor.
Public Works Director Doug Schoessler said there had been an issue at the Lowell Point
Sewage Lagoon last week wherein the calcium nitrate tube had calcified where there was an
unnoticed kink; the tube was replaced, and the department’s best practices manual had been updated
to replace the tubes every two years from now on. In response to Towsley, Schoessler said portions
of the lagoon froze from time to time, but did not impact the mechanics; everything was working
well.
In response to Towsley, Schoessler said the job description for the Street Foreman position
was under review, had not yet been advertised, and would be filled as a non-union position.
In response to Lane, Electric Utility Supervisor Patrick Gillis said the city was undergoing
a scheduled sequence of small outages on the transmission line; Chugach had agreed to pick up any
cost overages so the city was not impacted.
Council directed the city clerk and administration to add a fourth location for posting public notices:
Post Office, Bulletin Board in City Hall, Harbormaster’s Office, and Library Bulletin Board.
City Attorney Report. Will Earnhart reported a written report would come for the next
meeting. Earnhart was attending tonight for the APEA union contract on the agenda. Negotiations
were close to being finalized with IBEW. In response to Towsley, Earnhart said he would be
presenting a letter of agreement for two positions related to IBEW. The Field Engineer position
would be folded into the IBEW contract which council would see come forward on March 26, 2019.
In response to Towsley, Earnhart said the Reincke lawsuit was in discovery, and was being
handled by insurance counsel.
In response to Squires, Earnhart said the last portion of the city attorney evaluation, setting
the goals for the city attorney, could be finalized on March 26, 2019 when Holly Wells was in
Seward.
Council scheduled an executive session on March 26, 2019 to complete the city attorney evaluation.
Other Reports, Announcements and Presentations – None
PUBLIC HEARINGS – None
UNFINISHED BUSINESS
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Items Postponed from Previous Agenda
Discuss sending a delegate to the 53rd Yeosu Turtle Ship Festival in Yeosu, South Korea.
Primary Motion (McClure/Towsley) Send no more than two council members to
Yeosu, South Korea.
Secondary Motion (Lane/) Send no more than four community
members to Yeosu, South Korea.
Secondary motion died for lack of second.
Primary Motion Passed Unanimous Consent
Osenga stated he was not interested in traveling to South Korea. Seese stated she was also not
interested in traveling to South Korea. Lane stated she would prefer to travel to Washington, D.C.,
but if that was not an option, she would like to travel to South Korea. Towsley did not have a current
passport, so she could not travel to South Korea. Horn expressed interest in travelling. McClure
stated she was not interested, nor was Squires.
Council appointed Horn and Lane as the delegates to travel to Yeosu, South Korea for the festival,
and directed the city clerk to advertise for up to three citizens to accompany the delegates; citizens
would travel at their own expense.
Schedule a work session on chamber funding, allocation of monies, chamber priorities. (Lane)
Lane said the budget process would start in September, and through that process a lot of
things got reevaluated. Lane was concerned about how chamber funding happened, that there would
be 20 more cruise ships coming to Seward this summer which citizens did not have a voice in
deciding, and that the city needed to clarify its vision for the future and decide what role the chamber
would play in that. Lane thought that waiting to have a work session in the fall may leave the
chamber at a disadvantage if the funding provided through the budget process were to change.
McClure suggested waiting until after the Silver Salmon Derby was over so that the chamber
could focus on their busy season before having a work session; if PACAB was invited as well, there
could be more dialogue. Osenga and Towsley concurred with McClure’s suggestion.
Council directed the city clerk to include an item on the agenda for the July 22, 2019 council meeting
to schedule a joint work session with the chamber and PACAB for late August.
Discussion and direction to city administration regarding housing development within the
original Seward townsite, including selling city lots within the R1 zoning district. (Lane)
In response to Lane, Bridges said administration would bring back specific information at the
March 26, 2019 meeting about the lots on First Avenue so council could decide to sell or develop
them; there were two lots that could be split into four 30’ x 100’ lots.
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In response to Seese wondering why the city would not wish to sell off its vacant land,
Towsley said she would like to explore the idea of the city developing a city-owned residence that
could be used to assist incoming employees get settled in Seward.
McClure said there had been many discussions about these properties over the last few years,
since the property had reverted back to the city, and there had been discussions about selling the
properties.
Reallocation of resources based on attendance at the Teen Rec Room with brainstorming
opportunity for how this facility and program could better serve the community. (Lane)
Lane said she examined attendance at the Teen Rec Room (TRR) and was concerned with
lower attendance numbers. She wondered if the teenagers weren’t going to the TRR, where they
were going.
Osenga thought it would be important to evaluate why the attendance levels were dropping,
and did not want to consider reallocating funds until council knew what was impacting attendance.
Seese concurred with Osenga, and wanted to involve the Teen Council. Towsley also wished
to engage the Teen Council in the discussion.
Council directed the city manager to consult with the Teen Council and bring back a proposed date
for a work session with council at the March 26, 2019 meeting.
NEW BUSINESS
Ordinances for Introduction
Ordinance 2019-007, Amending Portions Of Seward City Code §15.10.226 Land Uses Allowed
Table, To Allow Animal Shelter In The Institutional Zoning District By Conditional Use
Permit. This ordinance is being introduced tonight and will come for public hearing and enactment
on March 26, 2019.
Motion (McClure/Towsley) Introduce Ordinance 2019-007
Bridges said this ordinance would allow animal shelters to be located inside the Industrial
Use district.
McClure said this was exciting and would be the next step in the process for moving forward
with the new animal shelter.
Motion Passed Unanimous
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Resolutions
Resolution 2019-023, Authorizing Payoff Of An Interfund Loan Owed To The Motor Pool
Internal Service Fund From The SMIC Enterprise Fund In The Remaining Amount Of
$490,042.57 Related To The Purchase Of A 330-Ton Travelift, And Appropriating Funds.
Motion (McClure/Lane) Approve Resolution 2019-023
Bridges said the Seward Marine Industrial Center (SMIC) Enterprise Fund owed the Motor
Pool Fund, and this resolution would pay back the General Fund and settle that debt.
In response to Lane, Regis said there had been other loans between departments that had
charged interest, but this particular one had been approved by council for zero interest.
Motion Passed Unanimous
Resolution 2019-025, Authorizing The City Manager To Enter Into A Contract With Kendall
Ford For The Purchase Of One Ford AWD Police Patrol Vehicle, For An Amount Not To Exceed
$42,766.56.
Motion (McClure/Towsley) Approve Resolution 2019-025
Motion to Amend (McClure/Towsley) Amend Resolution 2019-025 by accepting the
substitute resolution.
Motion to Amend Passed Unanimous
Main Motion Passed Unanimous
Resolution 2019-026, Authorizing The City Manager To Purchase From Alaska
Environmental & Safety Supply, Inc. Emergency Equipment On One Model Year 2019 Ford
Explorer, Including The Cost To Install Equipment For An Amount Not To Exceed $6,100.00,
And Appropriating Funds In The Amount Of $3,866.56.
Motion (McClure/Towsley) Approve Resolution 2019-026
Motion to Amend (McClure/Towsley) Amend Resolution 2019-026 by accepting the
substitute resolution.
Motion to Amend Passed Unanimous
Main Motion Passed Unanimous
Resolution 2019-027, Authorizing The City Manager To Enter Into A Contract With The
Alaska Public Employees Association (APEA) Retroactively Effective January 1, 2019 And
Ending December 31, 2021.
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Motion (McClure/Towsley) Approve Resolution 2019-027
Lane thanked everyone for their efforts in bringing this contract together. Towsley was very
happy.
Bridges thanked the SPEA representatives for their cooperation and positive negotiating
attitude.
Motion Passed Unanimous
Council recessed at 8:30 p.m.
Council resumed at 8:40 p.m.
Other New Business
Prince William Sound Regional Citizens Advisory Council (PWSRCAC) Vacancy.
Council directed the city clerk to advertise the upcoming vacancy for PWSRCAC.
Schedule a joint work session with the Planning and Zoning Commission, the Port and
Commerce Advisory Board, and the Historic Preservation Commission to review annual
priorities.
Council scheduled a joint work session on March 26, 2019.
Electrical billing & cost composition training for 1-3 members of Council as a way to gather
strategic knowledge in order to create informed management policies for our public utility.
(Lane)
Hickok requested clear and specific guidance on what council was requesting in order to
prepare a response. Hickok added that there was a presentation scheduled on April 8, 2019 by the
Utility Billing Department to review the process for utility bill development, Cost of Power
Adjustment (COPA), and seasonal base rates.
Lane was looking forward to that presentation, but was looking for training. In response,
Hickok said he was familiar with training that was offered in the past by a regulatory board; that
training would soon be available online. Hickok said he would be happy to bring back the online
training information at the April 22, 2091 council meeting.
Approve travel for Council Member Lane to attend the KPEDD meeting in Kenai on April 17,
2019. (Lane)
Lane requested to go to Soldotna the day before the KPEDD meeting so she could meet one-
on-one with board members prior to the board meeting.
Motion (Seese/Towsley) Send Council Member Lane to Soldotna for
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one night for the Kenai Peninsula
Economic Development District (KPEDD)
Board Meeting.
Motion Approved Unanimous
Discuss the city's legal representation. (Lane)
Lane did not wish to discuss this topic further because there was an executive session
scheduled for the March 26, 2019 meeting to complete the city attorney evaluation.
Selection of Council members to travel to Washington D.C. from April 29 – May 2, 2019.
(Squires)
McClure said she did not wish to travel to Washington, D.C. this time due to family
obligations.
Motion (McClure/Seese) Send Mayor Squires and Council Member
Osenga to Washington, D.C.
Osenga said he had been to D.C. twice in the past, and had met with representatives on behalf
of the Qutekcak Native Tribe. He would gladly go again on behalf of the city.
Squires would like to speak specifically about the U.S. Coast Guard and the Seward airport
while in D.C.
Motion Passed Unanimous
Update from the Ad Hoc Committee For City Personnel Matters. (Towsley)
Towsley wanted to resolve the topic of what this committee was tasked to do, and also
wished to extend the sunset date for the committee to December 31, 2019.
Primary Motion (Towsley/McClure) Extend the sunset date of the Ad Hoc
Committee for City Personnel Matters to
December 31, 2019.
Secondary Motion (Lane/Seese) Require the committee to provide bi-monthly
reports to council.
Secondary Motion Passed Yes: Seese, Towsley, Lane, Osenga, Horn,
McClure
No: Squires
Primary Motion Passed Unanimous
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Request council empanel an ad hoc committee to gather and ask questions of the auditing firm,
BDO, and bring a report back to council in preparation for the work session scheduled on
April 1, 2019 at 6:00 p.m. (Towsley)
Towsley wished to create an ad hoc committee to gather and add questions of the auditing
firm BDO in preparation for the April 1, 2019 work session. This information could be used as a
foundational tool should council decide to move forward with a forensic audit.
Motion (Towsley/Seese) Create an ad hoc committee of three council
members to formulate a list of questions to
present to the auditing firm BDO, obtain
answers, and provide a report back to
council in advance of the work session on
April 1, 2019.
In response to Osenga, Towsley said she anticipated the questions would mostly be
procedural in nature. In response to Squires, Towsley said she wished to gather questions and obtain
responses from BDO in advance of the April 1, 2019 work session; it would streamline the process.
Motion Passed Unanimous
Council appointed Council Members Towsley and Seese, and Vice Mayor McClure, to serve on the
committee.
Approval of February 25, 2019 Regular Meeting Minutes.
By unanimous consent, the city clerk was directed to make a housekeeper amendment to the minutes
to reflect that City Attorney Will Earnhart was in attendance.
INFORMATIONAL ITEMS AND REPORTS
On-going City Project and Goal List.
Clerk’s Report on Public Records Requests through March 4, 2019.
COUNCIL COMMENTS
McClure remembered Willard Dunham fondly; his memorial at the Alaska SeaLife Center
on Saturday was lovely. McClure expressed condolences to the Dunham family, as well as to the
Erchinger family for the passing of Deb. She complimented council for having full attendance
tonight, and welcomed Harbormaster Norm Regis as acting city manager starting next week.
Towsley wanted council to host a farewell pot luck for Jeff Bridges this week, and thanked
him for his service. Towsley expressed condolences to the Dunham family. She thanked Norm Regis
and all the speakers tonight. Towsley was thrilled about council unanimously passing the APEA
contract.
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Council scheduled a Farewell Pot Luck for Jeff Bridges on Saturday, March 16, 2019 at 3:00 p.m. in
council chambers.
Seese voiced condolences to the Dunham and Erchinger families. She congratulated Norm
Regis on his appointment. In response to a letter received about Brad Snowden’s property, Bridges
said a notice was served to allow Snowden 30 days to clean up his property on Fourth Avenue.
Horn thanked everyone for speaking tonight, and he thanked Bridges for being the
consummate professional. Horn expressed congratulations to Norm Regis, and reminded everyone
about the special election on March 19, 2019.
Osenga expressed condolences to the Dunham and Erchinger families. He thanked all of
tonight’s speakers, and said he was looking forward to Washington, D.C.
Lane said there was power in a union.
Squires expressed condolences to Dunham and Erchinger families. He thanked Bridges very
much for being such a professional; Seward’s loss was Sturbridge’s gain.
CITIZEN COMMENTS
Anthony Baclaan expressed condolences to all the families who suffered losses recently. He
thanked Bridges for his advice and counsel. Baclaan had submitted a record request for the city
attorney evaluation; he was confused about whether the city was continuing with the firm, and said
there was a lot of community distrust of the city attorney. Baclaan noted a lot of confusion about who
on council could contact attorney and for what reasons. Regarding selling versus leasing land,
Baclaan wondered why the city would wish to sell rather than make money on rentals. He had
spoken with Kris Erchinger, Pat Gillis, and Vernon Willet about the electric meters; he learned a lot
about the meters and encouraged everyone to reach out to them with their questions. Baclaan stated
the hospitality industry in Seward had to scrape to get by in the winter, and then struggled to find
housing for themselves in the busy summer season. He thought the ad hoc committee formed today
was important, and that Jen Leahy made a good suggestion about using an organizational consultant.
He missed Ryan Lewis.
Patrick Messmer offered condolences to all the families who suffered losses, and thanked
Jeff Bridges for leaving the community in a better place than he found it.
John Wisel II looked forward to working with the city on housing needs. He had purchased
the old video store form Brad Snowden; he wondered what the city could do to help Snowden clean
up all the stuff that was removed from the store and stored in his driveway.
COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
Bridges expressed condolences to the Dunham and Erchinger families. He thanked council
and the Seward community, and said his six months in Seward had been the best job he’d ever had.
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Seese thought Bridges did a wonderful job for Seward. She felt for Brad Snowden, and things
were being handled.
Squires expressed condolences to the Lewis family. He said the city has looked into having a
code enforcement officer several times, and it was a continuing discussion.
EXECUTIVE SESSION
Motion (McClure/Towsley) Go into executive session to evaluate the
interim city manager.
Motion Passed Unanimous
Interim City Manager Jeff Bridges was invited to remain.
Council went into executive session at 9:37 p.m.
Council came out of executive session at 10:10 p.m.
Squires stated that Bridges performance had been excellent, and said he would be drafting a letter of
reference for Bridges.
ADJOURNMENT
The meeting was adjourned at 10:11 p.m.
____________________________________ ____________________________________
Brenda J. Ballou, MMC David Squires
City Clerk Mayor
(City Seal)
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CALL TO ORDER
The March 9, 2019 special meeting of the Seward City Council was called to order at 11:00
a.m. by Mayor David Squires.
OPENING CEREMONY
Citizen Kyle Walker led the Pledge of Allegiance to the flag.
ROLL CALL
There were present:
David Squires presiding and
Sue McClure Suzanne Towsley
Jeremy Horn Sharyl Seese
John Osenga Kelley Lane
comprising a quorum of the Council; and
Jeff Bridges, Interim City Manager
Brenda Ballou, City Clerk
Excused – None
Absent – Horn
CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR
PUBLIC HEARING – None
APPROVAL OF AGENDA AND CONSENT AGENDA
Motion (McClure/Lane) Approval of Agenda and Consent Agenda
Motion Passed Unanimous
There were no consent agenda items.
NEW BUSINESS
Resolutions
Resolution 2019-029, Appointing Harbormaster Norm Regis As Acting City Manager
Beginning March 18, 2019 And Ending April 19, 2019, With The Option To Extend.
Motion (McClure/Osenga) Approve Resolution 2019-029
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McClure said the negotiating committee appointed by council, consisting of herself and
Council Member Lane, met with Norm Regis and discussed various options. The final agreement
was for Regis to commit to one month, as acting and not interim so as not to interfere with PERS.
Also agreed upon was a temporary salary bump of 22% to be commensurate with the job duties of
city manager.
In response to Lane and Towsley, McClure suggested that the negotiating team plan to meet
with Norm Regis prior to April 19, 2019 to consider whether to extend. In response to Osenga,
McClure said the reason for agreeing to a one month term was because Regis stated that, upon
consideration, he had concerns about committing to a two or three month term as acting city manager
because of the activity at the harbor.
In response to Towsley, Assistant City Manager Brennan Hickok said he would provide as
much support as possible; he was confident that he would be able to support Regis to a level that
would enable Regis to continue to fulfill his harbormaster obligations.
Harbormaster Norm Regis thanked council for the opportunity, and said there were big
projects underway at the harbor and at SMIC. Deputy Harbormaster Matt Chase would be there to
help Regis, but with two big projects underway at the same time, Regis was concerned about
committing for too long a time. As long as things were going smoothly with the projects, Regis
would be happy to extend. Lane said the value of having Regis as acting would enable an easy
transfer of information.
In response to Squires, McClure said she was aware of the standard salary increase of 10%
for acting status, but the negotiating committee had agreed on this salary increase and she was
comfortable with it.
Motion Passed Unanimous
COUNCIL COMMENTS
Osenga said nice job everyone.
McClure was comfortable working with Council Member Lane on the negotiating team and
things went smoothly.
Towsley thought the city was in good hands.
Seese thanked the negotiating committee and she was looking forward to working with Norm
Regis.
Lane said it was a delight to work with Vice Mayor McClure, and she thanked Norm Regis
and Jeff Bridges.
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Squires thanked the negotiating committee for working so quickly and efficiently. He
thanked Norm Regis for stepping up and he was confident in his abilities. Squires thanked everyone
for participating in this meeting on a Saturday.
CITIZEN COMMENTS
Lynda Paquette said council did a great job today. She wondered if, at the end of Regis’ first
month, having additional harbor would help Regis so he wouldn’t have to end too quickly. Paquette
said her husband had met with Public Works Director Doug Schoessler last week, and she had
concerns about what was happening because there was smell and parts of it were frozen.
Norm Regis reported that on March 18, 2019, his first day as acting city manager, he had
already planned for a vacation day, although he would be in town.
COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
Towsley thanked Paquette for bringing up the concern about the sewage lagoon.
McClure said the negotiating team was aware the Regis had scheduled a day off on March 18,
2019.
Bridges said there had been a clog last week in one of the lines at the Lowell Point sewage
lagoon, but it had been resolved.
ADJOURNMENT
The meeting was adjourned at 11:27 a.m.
____________________________________ ____________________________________
Brenda J. Ballou, MMC David Squires
City Clerk Mayor
(City Seal)
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PROJECTS & GOALS
1. ADA ACCESSIBLE PARKING AT CITY HALL
Council directed the city clerk to provide a history of why the location for municipal elections was
moved from City Hall to the K.M. Rae Building, as it related to ADA accessibility. City Clerk history and
status provided February 27, 2018. First floor restrooms currently under renovation to provide one
large ADA-accessible family restroom, in addition to one men’s and one women’s restroom. The first-
floor restrooms in City Hall were completed May 14, 2018. Fifth Avenue parking is not practical due to
challenges with grade and distance; Adams Street parking must be reserved for Police Department
access; Public Works is currently researching the feasibility of a modification to the SE corner of the
back lot, as well as modifications to second floor restrooms. Clerk’s office received ADA analysis kit
from Division of Elections (DOE); clerk worked with Public Works Director Doug Schoessler and
Assistant City Manager Brennan Hickok to perform the analysis on September 12, 2018. The city clerk
has furnished the DOE with results and is awaiting a response. Clerk received email from Acting
Director at DOE apologizing for the delay in the analysis; the new Director would start January 2,
2019, and response should come soon thereafter. January 25, 2019 teleconference call with DOE,
Brennan Hickok, Doug Schoessler, and city clerk to review results of analysis; results indicate that the
voting location could potentially be moved back to city hall if the back parking lot were modified to
allow for one or two van accessible spaces with a flat approach to the back door, and if the back door
were widened by a minimum of two inches.
2. SET LOCATION FOR SATELLITE FIRE STATION AND PUBLIC WORKS
BUILDING
Administration is currently reviewing a concept public-private proposal to house the Quint (ladder
truck) on the city-side of the bay. The Interim City Manager and Assistant City Manager met with the
city’s State lobbyist, Kent Dawson on October 15, 2018. Dawson is confident that the state will have a
capital budget this coming session. The opportunity to push for this project as a State Legislative
Priority will be coming to council on December 10, 2018.
3. DISCUSSION ON AIR FORCE RECREATION CAMP SITE
Council held a joint work session with the Planning & Zoning Commission on February 28, 2018.
Directed administration to have Community Development bring forward multiple land use concepts.
(Previous council work session was held September 25, 2017). April 9, 2018 work session to discuss
development concepts. Following April 9, 2018 work session, administration has initiated the rezone of
the property to Auto Commercial (AC), the replatting of lots generally as presented at the work session,
and the creation of a subdivision and utility development plan. Ordinance 2018-009 introduced on
October 8, 2018 amending the zoning and land use plan from Institutional to Auto Commercial; will
come for public hearing and enactment on October 22, 2018. Administration will be putting out a
Request for Proposal for on-call engineering services which will provide engineering, surveying and
platting services for various City projects including the Air Force Recreation land.
4. SALTWATER HEAT PUMP PROJECT
The state capital budget approved $725,000 for this project; currently awaiting Governor Walker’s
signature. Administration is working with the design engineer to update costs and ROI models in order
to identify any potential funding shortfall and prepare strategies for additional funding sources, if
necessary. City Administration has received an estimated project cost of $965,000. The $240,000
difference will need to be funded by the City. This obligation includes in-kind and cash contributions as
well as already spent funds on the testing well. We are currently waiting for grant documents from the
Alaska Energy Authority. State lobbyist Kent Dawson expressed that the likely new Governor will be
interested in Economic Development projects. The potential for expanding on this loop using state grant
dollars exists. The City has received the Alaska Energy Authority grant documentation and is awaiting
approval from City Council to authorize the City Manager to accept the grant money and grant terms.
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Approval was on the November 26, 2018 regular Council meeting agenda; the grant documents have
been signed and sent back to the AEA. Staff has provided YourCleanEnergy with grant documents and is
awaiting a design and engineering proposal. YourCleanEnergy LLC has provided a design and
engineering proposal for sole source contract consideration on the February 25, 2019 regular meeting
agenda. YourCleanEnergy contract approved by Resolution 2019-022.
5. ENERGY EFFICIENCY OF CITY HALL
See #4 – Saltwater Heat Pump Project
YourCleanEnergy and the building department have also identified the need for insulation in the
basement of the City Hall Annex in support of the Heat Pump Project. The City will seek quotes for that
portion of the project.
6. GROUND TRANSPORTATION FOR AMBULANCE SERVICES
Directed administration to provide an update on ground transportation for ambulance services.
7. ANIMAL SHELTER IMPROVEMENTS
(Council passed Resolution 2017-035, Authorizing Replacement Of The Roof Of The Seward Animal
Shelter, In An Amount Not To Exceed $6,851.00, And Appropriating Funds.) March 19, 2018 work
session; directed administration to look into potential locations and funding options. Resolution 2018-
049 approved at the May 29, 2018 meeting, authorizing the creation of the Animal Shelter Relocation
Fund and approving start-up funds. Update: Resolution 2018-080 being considered on September 24,
2018 for council approval will relocate the Animal Shelter to Fort Raymond. Resolution 2018-080 was
approved on September 24, 2018, providing land for the new shelter location. City staff is now
conducting meetings with local organizations to discuss design, build, fund raising and funding efforts.
Ordinance 2019-007 is being introduced on March 11, 2019 and will come for public hearing and
enactment on March 26, 2019; this ordinance will amend the Land Uses Allowed Table to allow an
animal shelter in the Institutional Zoning District by CUP.
8. UPDATE THE KPB TSUNAMI WARNING MESSAGE TO INCLUDE SPECIFIC
REFERENCE TO THE LOCAL RADIO STATION (91.7/106.1)
Directed administration to provide an update on the status of modifying the tsunami warning
announcement to include specific radio information, and also request the borough add a sticker to their
brochures which identifies the Seward radio station. Resolution 2018-019 designated KIBH-FM 91.7 as
the city’s official radio station for emergencies, and authorized the City Manager to work with borough
to include radio station information in tsunami warning broadcasts.
9. INCENTIVIZE FAMILY ENTERTAINMENT-TYPE BUSINESSES TO COME TO
SEWARD
Zoning changes and Replat of the Air Force Rec Camp property will provide ample space and
opportunity for such business.
10. AFFORDABLE HOUSING (INCLUDING SUMMER WORKER HOUSING)
Council will hold a work session in May, 2018. (Previous council work sessions were held on May 22,
2017, June 12, 2017, and July 11, 2017). Community Development will be discussing with Planning and
Zoning assessment districts on October 16, 2018. The City will utilize the on-call engineering service to
determine the costs associated with expanding utilities, paving roads and developing proper drainage for
potential development districts.
11. SEWARD COMMUNITY HEALTH CARE CENTER EXPANSION
Directed administration to provide an update on the Seward Community Health Care Center expansion.
March 12, 2018 council meeting authorized to pay up to $1,500 in travel expenses for Jean Bardarson to
travel with city representatives to Washington, DC in April, 2018 (April 14-18, 2018 trip to Washington,
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DC). A grant in the amount of $285,000 was awarded to the CHC for expanding access to quality
substance use disorder and mental health services. The CHC is using these funds to subcontract with
Seaview Community Services to provide mental health services in support of the local schools.
12. BUILDING MAINTENANCE
Public Works has been conducting their annual boiler inspections. General maintenance and repair is
complete. Staff has identified the need to upgrade the heating controls for City Hall, City Hall Annex,
and Community Center. Estimated cost for these upgrades is $200,000. Ongoing. Public Works has
repaired the Senior Center elevator, a water pipe leak in the Library and Museum, and the Library and
Museum emergency light system.
13. LED LIGHT CONVERSIONS
Public Works replaced 15 fluorescent fixtures with LEDs in the City Hall Annex. A City shop office was
upgraded to LED lights.
14. EXPLORE POSSIBILITIES FOR CREATING A REVENUE STREAM FOR THE
ANIMAL SHELTER AND SOS PETS
Staff and organizing groups have indicated that a dog washing station will be included in the design and
build of the new Animal Shelter.
15. PURSUE AVENUES TO INCREASE WINTER RECREATION OPPORTUNITIES
16. CONDUCT CITY-WIDE DISASTER EXERCISE TO INCLUDE MOVING
RESOURCES, EVACUATION FO THE PUBLIC, ENGAGING OUTSIDE AGENCIES,
AND PUBLIC INFORMATION DISSEMINATION
On March 6 and 7, 2019 the City will be participating in a table top exercise with the Army Corps of
Engineers and the Alaska Silver Jackets to simulate the failure of the Lowell Canyon Dam. This exercise
will provide the City with a template for conducting a City-wide exercise in the future. Staff is currently
planning a disaster exercise to coincide with the “Chill it’s a Drill” exercise scheduled for March 27,
2019. State of Alaska canceled the Chill It’s A Drill exercise for March 27, 2019. KPB will be
conducting a tsunami siren test drill on March 27, 2019.
17. EXTEND CITY UTILITIES INTO VIABLE AREAS TO SUPPORT FUTURE
RESIDENTIAL HOUSING
Community Development will be discussing with Planning and Zoning assessment districts on October
16, 2018. The City will utilize the on-call engineering service to determine the costs associated with
expanding utilities, paving roads and developing proper drainage for potential development districts.
Resolution 2019-024 is being brought for approval on March 11, 2019 to contract with R&M
Consultants for on-call engineering services.
18. IMPROVE COUNCIL CHAMBERS TO ALLOW CITIZENS TO MORE CLEARLY
HEAR AND EXPERIENCE MEETINGS
The City Clerk placed an order through the MIS department for a Polycom teleconference device for
council chambers. In the meantime, the City Manager’s office will lend a similar phone until the new one
arrives. In addition, a mid-cycle budget amendment will be requested to replace some of the
broadcasting equipment. At the February 11, 2019 work session, council reviewed a request for $10,000
to be added to the 2019 budget, and directed the city manager to bring forward a resolution to amend
the budget. Mid-cycle budget amendments were approved by council in Resolution 2019-021; included
were funds for improving the audience experience – addressing ceiling speakers, microphones, camera,
and video recording. Polycom phone has been received; awaiting phone number assignment from
TelAlaska.
168
CITY PROJECTS & GOALS
March 26, 2019 City Council Meeting
19. IMPROVE CITY WEBSITE TO INCREASE EASE OF USE BY THE PUBLIC
In July, 2018 council directed the city clerk to seek ways to increase the ease of use of the city website by
citizens. On October 1, 2018 the city clerk was informed by the current website vendor, CivicPlus, that
as of July 1, 2019 the company would no longer make any maintenance fixes, and as of December 31,
2019 the company would no longer support the current platform. The city clerk researched upgrade and
redesign options with several companies, including CivicPlus, Municode, Revize, Alopex, and Granicus.
A mid-cycle budget amendment was requested at the February 11, 2019 city council work session in
anticipation of working with one of these companies. The work will be completed by year end 2019. On
March 4, 2019, the city selected to move forward with Granicus; a resolution to approve the contract
will come to council on March 26, 2019. Granicus contract resolution pending licensing
20. RETAINING WALL AT CITY HALL
At the direction of council, administration will issue a Request for Proposals for the construction of a
new retaining wall and guard railing, where required, for the raised parking lot area at the north end of
City Hall.
21. LOWELL POINT ROAD STORM DAMAGE REPAIR
The Request for Proposals for the engineering will be out as soon as the City receives the work sheets
back from the Department of Homeland Security. As soon as the design is complete, the contractor will
then put out a bid packet and select a contractor. Construction is estimated to begin in the spring of
2019. The Design and Engineering contract is on the regular meeting agenda for on February 11, 2019.
Contract with PND approved by council on February 11, 2019.
COUNCIL COMMITTEES
1. AD HOC COMMITTEE FOR CITY PERSONNEL MATTERS
February 26, 2018, council created an Ad Hoc Committee consisting of Council Member Horn,
Council Member Casagranda, and Mayor Squires to work with administration to develop a
Request for Proposals for conducting a third-party investigation of city personnel matters.
At the May 29, 2018 council meeting, the city manager was directed to contact the DCRA and arrange
for an audit of administration, personnel, and council. Based on the results of that event, council will
decide whether or not to continue with this committee. At the August 13, 2018 meeting, Assistant City
Manager Brennan Hickok reported that the DCRA declined the city’s request for an audit because it was
beyond the scope of their duties/capabilities. Assistant City Manager Brennan Hickok reported at the
September 10, 2018 that he had sent an email to council on August 31, 2018 with responses from the
DCRA regarding Title 29 (Municipal Government) training they could provide, if council wishes.
Request for Proposal has been sent to committee members. Group should meet to discuss. November 26,
2018 Council Member Towsley replaced Casagranda on the committee. At the March 11, 2019 meeting,
council voted to extend the sunset date of this committee to December 31, 2019.
2. AD HOC COMMITTEE FOR CITY AUDIT WITH BDO
March 11, 2019, council created an Ad Hoc Committee consisting of Vice Mayor McClure,
Council Member Towsley, and Council Member Seese to gather questions from council and the
public and work with city auditors, BDO, to provide answers, in preparation for the April 1,
2019 work session. On Monday, March 18, 2019 the city clerk released a public notice
soliciting citizen questions for the city auditor firm; deadline for submissions is Friday, March
22, 2019.
169
CITY PROJECTS & GOALS
March 26, 2019 City Council Meeting
COMPLETED PROJECTS
1. RESEARCH ELECTED/APPOINTED OFFICIAL TELECONFERENCING
POSSIBILITIES FOR MEETINGS
Directed the city attorney to provide advice on teleconferencing possibilities for elected and appointed
officials. City Attorney opinion provided February 14, 2018.
2. INVESTIGATION INTO CLAIMS OF DEFAMATION AND FRAUD
Report delivered by Interim City Manager Bridges to City Council and the public on October 22, 2018.
170
Providence St. Joseph Health110 - PROVIDENCE SEWARD MED CENTER - MGDBalance Sheet (Whole Dollars)Reported as of January 2019
!January December20192018ActualPr. YearASSETSCurrent Assets:Cash and Cash Equivalents461,967470,263Mgmt Designated Cash & Cash Equiv.--Patient Accounts Receivable6,877,952 5,735,947Less: Contractual Allowance(1,156,002) (1,265,678)Less: Allowance for Doubtful Accounts(1,937,396) (919,829)Other Receivables921,032 1,141,317Supplies Inventory41,24243,039Other Current Assets36,47642,546Total Current Assets5,245,272 5,247,606Assets Whose Use is Limited:Funds Held for Long Term Purposes(251,593) (254,234)Assets Whose Use is Limited(251,593) (254,234)Property, Plant & Equipment:Property Plant Equipment Gross304,317304,317Accumulated Depreciation(286,626) (285,345)Property Plant Equipment Net17,691 18,972Other Long Term Assets:Other LT Assets1,275,205 1,273,852Total Other LT Assets1,275,205 1,273,852Total Assets6,286,575 6,286,196January December20192018ActualPr. YearLIABILITIES & NET ASSETSCurrent Liabilities:Accounts Payable744,528 1,536,642Accrued Compensation1,056,606 1,030,955Payable to Contractual Agencies17,80017,000Other Current Liabilities8,318,658 7,266,795Total Current Liabilities10,137,592 9,851,392Long-Term Debt:Other Long Term Liabilities959,904958,551Total Liabilities11,097,496 10,809,943Net Assets:Unrestricted(4,852,849) (4,565,676)Temporarily Restricted41,92841,928Total Net Assets(4,810,921) (4,523,748)Total Liabilities and Net Assets6,286,575 6,286,196171
Providence St. Joseph Health110 - PROVIDENCE SEWARD MED CENTER - MGDDetail Statement of Operations (Whole Dollars)Reported as of January 2019INC_DET_OPS_1WD_EALDept AllDepartments - AllDepartmentsPrinted On 2/20/19 @ 2:22 PMPrinted By vdedikMonth-To-DateYear-To-DateActualBudget % VarianceActualBudget % Variance Pr. Year % VarianceGross Service Revenues:236,653128,720 83.9% Acute Care - Inpatient236,653128,720 83.9%106,151 122.9%1,013,060863,868 17.3% Acute Care - Outpatient1,013,060863,868 17.3%708,919 42.9%165,426162,165 2.0% Primary Care165,426162,165 2.0%124,839 32.5%1,405,037 1,451,169 (3.2%) Long-term Care1,405,037 1,451,169 (3.2%) 1,370,746 2.5%2,820,176 2,605,921 8.2%Total Gross Service Revenues2,820,176 2,605,921 8.2% 2,310,655 22.1%Revenue Deductions:(153,416)161,537 195.0% Charity Care(153,416)161,537 195.0%7,141 2,248.3%137,379567,505 75.8% Medicare Medicaid137,379567,505 75.8%481,916 71.5%71,19330,740 (131.6%) Negotiated Contracts71,19330,740 (131.6%)25,430 (180.0%)22,50246,225 51.3% Other Deduction Expense22,50246,225 51.3%45,137 50.1%77,657806,007 90.4% Revenue Deductions77,657806,007 90.4%559,624 86.1%1,077,11365,019 (1,556.6%) Bad Debt Deduction1,077,11365,019 (1,556.6%) 411,169 (162.0%)1,665,406 1,734,895 (4.0%) Net Service Revenue1,665,406 1,734,895 (4.0%) 1,339,861 24.3%4,3319,214 (53.0%) Other Operating Revenue4,3319,214 (53.0%)10,432 (58.5%)1,669,737 1,744,109 (4.3%)Total Net Operating Revenues1,669,737 1,744,109 (4.3%) 1,350,293 23.7%Expenses from Operations:Other Expenses from Operations:1,007,119975,821 (3.2%) Salaries and Wages1,007,119975,821 (3.2%)895,522 (12.5%)226,470247,449 8.5% Employee Benefits226,470247,449 8.5%226,582 -10,76420,706 48.0% Professional Fees Expense10,76420,706 48.0%17,466 38.4%100,47991,680 (9.6%) Supplies100,47991,680 (9.6%)72,304 (39.0%)243,336251,886 3.4% Purchased Services Expense243,336251,886 3.4%37,903 (542.0%)1,2811,244 (2.9%) Depreciation Expense1,2811,244 (2.9%)1,950 34.3%-- - Interest and Amortization-- -18,295 100.0%483478 (1.1%) Taxes and Licenses483478 (1.1%)2,194 78.0%115,581111,307 (3.8%) Other Expenses115,581111,307 (3.8%)106,787 (8.2%)1,705,513 1,700,571 (0.3%) Other Expenses from Operations1,705,513 1,700,571 (0.3%) 1,379,003 (23.7%)1,705,513 1,700,571 (0.3%) Total Operating Expenses1,705,513 1,700,571 (0.3%) 1,379,003 (23.7%)(35,776)43,538(182.2%)Net Operating Income(35,776)43,538(182.2%)(28,709)24.6%1969 2,196.8% Non-Operating Gain (Loss)1969 2,196.8%6 2,962.4%(35,580)43,546 (181.7%)Net Income(35,580)43,546 (181.7%)(28,703) 24.0%(251,593)- -Other Activity-Unrestricted(251,593)- -(253,034) (0.6%)(287,173)43,546 (181.7%)Increase (Decrease) in UR Net Assets (287,173)43,546 (181.7%)(281,736) 1.9%172
Providence Health & Services110 - PROVIDENCE SEWARD MED CENTER - MGDStatement of Changes in Net Assets (Whole Dollars)Reported as of January 2019BAL_STMT_CHG_IN NET_ASSET_WD_EALActualPrinted On 2/20/19 @ 2:22 PMPrinted By vdedik9 of 11UNRESTRICTED FUNDSCurrent Year to DatePrior Year to DateBeginning of Year(5,294,615)(5,386,610)Excess of Revenues Over Expenses(35,580)(28,703)Restricted Contributions & Grants--Net Assets Released from Rest.--Interdivision Transfers--Unidentified Differences *728,940-Net Assets (Liabilities) Assumed--Unrealized Gains (Losses) on Invest. --Extraordinary Items & Other(251,593)(253,034)Total Change in Net Assets441,766(281,736)Ending Balance(4,852,849) (5,668,347)TEMPORARILY RESTRICTED FUNDSCurrent Year to DatePrior Year to DateBeginning of Year41,92836,705Investment and Other Income--Restricted Contributions & Grants--Net Assets Released from Rest.--Interdivision Transfers--Unidentified Differences *--Net Assets (Liabilities) Assumed--Unrealized Gains (Losses) on Invest. --Extraordinary Items & Other--Total Change in Net Assets--Ending Balance41,928 36,705173
Providence Health & Services110 - PROVIDENCE SEWARD MED CENTER - MGDStatement of Changes in Net Assets (Whole Dollars)Reported as of January 2019BAL_STMT_CHG_IN NET_ASSET_WD_EALActualPrinted On 2/20/19 @ 2:22 PMPrinted By vdedik10 of 11PERMANENTLY RESTRICTED FUNDSCurrent Year to DatePrior Year to DateBeginning of Year--Investment and Other Income--Restricted Contributions & Grants--Net Assets Released From Rest.--Interdivision Transfers--Unidentified Differences *--Net Assets (Liabilities) Assumed--Unrealized Gains (Losses) on Invest. --Extraordinary Items & Other--Total Change in Net Assets--Ending Balance--TOTAL ALL FUNDSCurrent Year to DatePrior Year to DateBeginning of Year(5,252,687)(5,349,905)Excess of Revenues Over Expenses(35,580)(28,703)Investment and Other Income--Restricted Contributions & Grants--Net Assets Released From Rest.--Interdivision Transfers--Unidentified Difference *728,940-Net Assets (Liabilities) Assumed--Unrealized Gains (Losses) on Inv.--Extraordinary Items & Other(251,593)(253,034)Total Change in Net Assets441,766(281,736)Ending Balance(4,810,921) (5,631,641)174
Providence Health & Services110 - PROVIDENCE SEWARD MED CENTER - MGDStatement of Cash Flows (Whole Dollars)Reported as of January 2019CF_CASHFLOW_STMT_WD_EALActual YTDPrinted On 2/20/19 @ 2:22 PMPrinted By vdedikJanuary January20192018Operating Activities:Change in Net Assets441,766 (281,736)Adjustments to Reconcile Net Cash Provided by Operating ActivitiesDepreciation1,2811,950Provision for Bad Debts1,077,113411,169Net Real/Unreal Gains Losses on Invest(196)(6)Changes in Certain Current Assets/Liab(1,533,295) (766,547)Increase Decrease in Other Liabilities1,3539Net Cash Provided by Used in Op Act(11,978) (635,162)Investing Activities:Net Investments Purchases Sales(2,445)253,040FM Increase Decrease in Other Long-Term Assets (1,353) (9)Net Cash Provided by Used in Inv Act(3,798)253,031January January20192018Financing Activities:Increase (Decrease) in Cash & Cash Equiv.(15,776) (382,131)Cash and Cash Equiv - Beginning of Period 477,743779,547Cash and Cash Equiv - End of Period461,967 397,416Supplemental Disclosure:175
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 1City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM General Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
4000 Tax Revenue - Sales (3,196)(3,196)420,833 (424,029)5,350,000 (5,353,196)(0.06)
4010 Tax Revenue - Real Property 11,852 11,852 80,833 (68,981)1,020,000 (1,008,148)1.16
4011 Tax Revenue - Personal Property 6,320 6,320 26,667 (20,347)340,000 (333,680)1.86
4012 Tax Revenue - Motor vehicle 1,690 1,690 2,083 (393)25,000 (23,310)6.76
4020 Hotel/Motel Room Tax (14,575)(14,575)41,667 (56,242)515,000 (529,575)(2.83)
4030 Payments in Lieu of Tax 0 0 7,500 (7,500)90,000 (90,000)0.00
4031 Contra Payments in Lieu of Tax 0 0 (2,800)2,800 (43,440)43,440 0.00
4040 Penalties and Interest on Taxes 343 343 125 218 1,500 (1,157)22.88
4100 Building Permits 126 126 4,167 (4,041)40,000 (39,874)0.31
4101 Permits - Taxi 280 280 100 180 1,200 (920)23.37
4102 DMV - Drivers License 1,538 1,538 1,750 (212)16,000 (14,462)9.61
4103 DMV - Motor Vehicles 2,972 2,972 4,333 (1,361)57,000 (54,028)5.21
4104 Animal Control Licenses 65 65 21 44 250 (185)26.00
4105 Business License 3,330 3,330 1,500 1,830 21,000 (17,670)15.86
4106 License and Permits - Misc 354 354 167 187 2,000 (1,646)17.69
4202 Jail Contract 92,238 92,238 29,167 63,071 350,000 (257,762)26.35
4203 Dispatch Contract w/State of AK 0 0 3,000 (3,000)36,000 (36,000)0.00
4204 KPB 911 Dispatch 0 0 4,380 (4,380)52,560 (52,560)0.00
4205 Alaska Liquor Tax 0 0 1,583 (1,583)19,000 (19,000)0.00
4206 Alaska Raw Fish Tax 0 0 23,333 (23,333)410,000 (410,000)0.00
4207 Fisheries Resource Landing Tax 0 0 333 (333)4,000 (4,000)0.00
4300 Admin. Exp. - Jail 0 0 7,730 (7,730)92,761 (92,761)0.00
4301 Admin Exp.- Harbor 0 0 30,453 (30,453)365,435 (365,435)0.00
4302 Admin. Exp. - SMIC 0 0 8,128 (8,128)97,540 (97,540)0.00
4303 Admin. Exp.- Parking Fund 0 0 950 (950)11,400 (11,400)0.00
4304 Admin. Exp. - Electric 0 0 79,442 (79,442)953,306 (953,306)0.00
4305 Admin. Exp. - Water 0 0 21,916 (21,916)262,991 (262,991)0.00
4306 Admin. Exp. - Sewer 0 0 13,384 (13,384)160,606 (160,606)0.00
4307 Copying Fees 803 803 417 386 5,000 (4,197)16.07
4308 Sales Tax Credit 0 0 333 (333)4,000 (4,000)0.00
4309 Zoning Fees 14 14 17 (3)200 (186)7.01
4320 Misc Dog Fees 95 95 100 (5)1,200 (1,105)7.92
4322 Miscellaneous Dispatching 0 0 833 (833)10,000 (10,000)0.00
4323 Miscellaneous Police Fees 120 120 167 (47)2,000 (1,880)6.00
4331 Shop Work Orders 150 150 208 (58)2,500 (2,350)6.01
4340 P&R: Public Use Fees 1,114 1,114 208 906 2,500 (1,386)44.58
4341 P&R: Punchard Fees 421 421 1,000 (579)8,000 (7,579)5.26
4342 P&R: Class Registrations 4,731 4,731 3,750 981 45,000 (40,269)10.51
4343 P&R: Facility Rental 1,081 1,081 209 872 2,500 (1,419)43.25
4344 P&R: Tournaments 0 0 142 (142)1,700 (1,700)0.00
4345 P&R: Special Events 995 995 1,583 (588)19,000 (18,005)5.24
4347 P&R: Shower Fees 0 0 1,250 (1,250)18,000 (18,000)0.00
4348 P&R: Rock Wall Fees 0 0 42 (42)500 (500)0.00
4349 P&R: Pavilion Fees 682 682 333 349 4,000 (3,318)17.06
4350 P&R: Camping Fees 19 19 36,667 (36,648)480,000 (479,981)0.00
4351 P&R: Camping w/Utilities 467 467 28,333 (27,866)328,000 (327,533)0.14
4352 P&R: RV Dump Station 0 0 1,167 (1,167)14,000 (14,000)0.00
4353 P&R: Misc Revenue 0 0 42 (42)500 (500)0.00
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 2City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM General Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
4354 P&R: Work Orders 0 0 500 (500)0 0 0.00
4356 P&R: Cemetery Plot Fees 250 250 0 250 0 250 0.00
4370 Library Service Revenue 556 556 792 (236)9,500 (8,944)5.85
4371 Library Circulation Revenue 299 299 333 (34)4,000 (3,701)7.47
4373 Museum Admissions 0 0 1,500 (1,500)18,000 (18,000)0.00
4380 Land Rents & Leases 4,325 4,325 3,225 1,100 34,800 (30,475)12.43
4382 Jail Facility Rental 0 0 2,500 (2,500)30,000 (30,000)0.00
4383 Municipal Building Rent 0 0 3,333 (3,333)60,000 (60,000)0.00
4400 Fines and Bails 90 90 1,417 (1,327)17,000 (16,910)0.53
4500 GF Interest on Investments 24,699 24,699 2,500 22,199 70,000 (45,301)35.28
4501 GF Penalties & Interest 361 361 83 278 1,000 (639)36.07
4620 Franchise Fee - Refuse 4,762 4,762 1,458 3,304 17,500 (12,738)27.21
4630 City Clerk Fees 0 0 25 (25)300 (300)0.00
4639 Misc Service Fees 5 5 0 5 0 5 0.00
5899 Miscellaneous Revenue (10)(10)0 (10)0 (10)0.00
Total Revenues 149,366$149,366$907,212$(757,846)$11,461,809$(11,312,443)$1.30$
Monthly Budget Expenditure Report by Fund
Page: 1City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
General Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 187,944 187,944 488,383 300,440 4,291,371 4,103,428 4.38
6001 Overtime 10,539 10,539 1,667 (8,872)20,000 9,461 52.69
6002 Standby Time 695 695 0 (695)0 (695)0.00
6009 Personnel Vacancy Factor 0 0 (12,500)(12,500)(150,000)(150,000)0.00
6100 Medicare 4,705 4,705 7,462 2,757 83,189 78,484 5.66
6101 Unemployment Insurance 0 0 342 342 4,100 4,100 0.00
6102 Workers' Compensation 10,507 10,507 18,605 8,098 227,463 216,956 4.62
6200 Leave Time 30,763 30,763 37,878 7,115 423,372 392,609 7.27
6201 Retirement Benefits 43,967 43,967 91,088 47,121 968,049 924,082 4.54
6202 Health Insurance 112,796 112,796 188,301 75,505 2,171,280 2,058,484 5.19
6203 In Lieu of FICA 0 0 165 165 1,975 1,975 0.00
6209 Contra-Retirement PERS DC Forfeitures (8,472)(8,472)0 8,472 (30,000)(21,528)28.24
Total Personnel Costs:393,444$393,444$821,391$427,947$8,010,799$7,617,355$4.91$
Non-Personnel Costs:
7000 Audit 0 0 11,967 11,967 114,634 114,634 0.00
7001 Communications 9,623 9,623 9,989 366 119,859 110,236 8.03
7002 Postage and Freight 2,488 2,488 3,500 1,012 42,008 39,520 5.92
7003 Banking & Credit Card Fees 431 431 2,741 2,310 48,500 48,069 0.89
7004 Insurance 118,648 118,648 20,125 (98,523)241,494 122,846 49.13
7006 Legal 0 0 6,667 6,667 80,000 80,000 0.00
7009 Contracted Services 4,187 4,187 35,740 31,553 370,667 366,480 1.13
7010 Engineering 0 0 250 250 28,000 28,000 0.00
7011 Testing 0 0 543 543 6,500 6,500 0.00
7012 Other Special Services 0 0 2,692 2,692 50,050 50,050 0.00
7013 State Lobbying Fees 8,042 8,042 7,250 (792)87,000 78,958 9.24
7014 Federal Lobbying Fees 7,667 7,667 7,917 250 95,000 87,333 8.07
7015 Utilities 36,499 36,499 48,666 12,167 583,989 547,490 6.25
7016 Heating Fuel (69)(69)5,720 5,789 68,639 68,708 (0.10)
7017 Rents & Leases 0 0 34,789 34,789 110,400 110,400 0.00
7201 Library Books 0 0 833 833 10,000 10,000 0.00
7202 Library Periodicals 0 0 250 250 3,000 3,000 0.00
7203 Library Standing Orders 0 0 333 333 4,000 4,000 0.00
7204 Library Non-Print 0 0 333 333 4,000 4,000 0.00
7205 Library Electronic Materials 0 0 375 375 4,500 4,500 0.00
7208 Museum Collection Supplies 0 0 100 100 1,200 1,200 0.00
7210 Vehicle Supplies 0 0 555 555 6,658 6,658 0.00
7211 Gas & Lube (45)(45)8,248 8,293 98,959 99,004 (0.05)
7212 Uniform Allowance 1,594 1,594 1,153 (441)13,823 12,230 11.53
7213 Safety Equipment 0 0 1,084 1,084 13,000 13,000 0.00
7214 Janitorial Supplies 0 0 1,414 1,414 16,958 16,958 0.00
7215 Operating Supplies 2,728 2,728 26,934 24,206 323,197 320,469 0.84
7216 Maintenance & Repair 21,663 21,663 17,686 (3,977)212,202 190,539 10.21
7217 Small Tools & Equipment 199 199 6,926 6,727 83,076 82,877 0.24
7218 Inmate Meals 0 0 833 833 10,000 10,000 0.00
7300 Advertising 774 774 3,563 2,790 42,762 41,989 1.81
7301 Subscriptions & Dues 2,301 2,301 3,337 1,036 40,036 37,735 5.75
Monthly Budget Expenditure Report by Fund
Page: 2City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
General Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
7302 Travel & Subsistence 120 120 10,202 10,082 122,420 122,300 0.10
7303 Education & Training 200 200 4,254 4,054 75,951 75,751 0.26
7304 Equipment Rent 0 0 5,233 5,233 39,870 39,870 0.00
7307 GF Administrative Fee 0 0 7,730 7,730 92,761 92,761 0.00
7800 Sister City Program 0 0 375 375 4,500 4,500 0.00
7801 Contributions to Chamber 0 0 21,077 21,077 260,454 260,454 0.00
7802 Contributions to Senior Citizens 0 0 6,250 6,250 82,900 82,900 0.00
7803 Contributions to B&G Club 0 0 2,083 2,083 25,000 25,000 0.00
7804 Elections 0 0 333 333 7,000 7,000 0.00
7805 Promotion 500 500 917 417 11,000 10,500 4.55
7806 Volunteer Fireman Stipend 3,167 3,167 3,167 0 38,000 34,833 8.33
7807 Contingency 0 0 584 584 7,000 7,000 0.00
7810 Miscellaneous Expense 198 198 1,867 1,669 22,400 22,202 0.88
8012 Debt Service Interest Expense 0 0 20,342 20,342 244,106 244,106 0.00
8103 Capital Equipment 2,984 2,984 459 (2,525)15,500 12,516 19.25
8300 Debt Service Principal 0 0 26,732 26,732 320,784 320,784 0.00
Total Non-Personnel Costs:223,899$223,899$384,118$160,219$4,303,757$4,079,858$5.20$Total Expenditures 617,343$617,343$1,205,509$588,166$12,314,556$11,697,213$5.01$
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 3City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM Harbor Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
5000 Land Rents & Leases 91,112 91,112 32,893 58,219 394,715 (303,603)23.08
5001 Land Lease Credits 0 0 (2,500)2,500 (30,000)30,000 0.00
5100 Transient Moorage 29,802 29,802 48,334 (18,532)580,000 (550,198)5.14
5101 Moorage 19,056 19,056 95,833 (76,777)1,150,000 (1,130,944)1.66
5102 Wharfage 0 0 4,000 (4,000)48,000 (48,000)0.00
5103 Boat Lift Fees 1,788 1,788 9,750 (7,962)117,000 (115,212)1.53
5105 Harbor Power Sales 32,535 32,535 31,083 1,452 373,000 (340,465)8.72
5150 Shower Fees 622 622 1,000 (379)12,000 (11,379)5.18
5153 Fuel Pumping Fee 1,471 1,471 1,750 (279)21,000 (19,529)7.01
5154 Waiting List Fees 315 315 625 (310)7,500 (7,185)4.20
5155 Towing Fees 0 0 75 (75)900 (900)0.00
5156 Pumping Boats 32 32 25 7 300 (269)10.50
5157 North Harbor Launch Fee 0 0 2,813 (2,813)33,750 (33,750)0.00
5158 South Harbor Launch Fee 0 0 1,708 (1,708)20,500 (20,500)0.00
5800 Labor & Services 1,239 1,239 458 781 5,500 (4,261)22.53
5890 Collection of Doubtful Accounts 0 0 100 (100)1,200 (1,200)0.00
5899 Miscellaneous Revenue 0 0 83 (83)1,000 (1,000)0.00
5901 EF Investment Interest 9,549 9,549 1,667 7,882 20,000 (10,451)47.74
5905 EF Penalties and Interest 1,482 1,482 833 649 10,000 (8,518)14.82
5940 Amortization of Contributions-in-Aid 0 0 81,213 (81,213)974,557 (974,557)0.00
5941 Amortization of Bond Premiums 0 0 3,598 (3,598)43,172 (43,172)0.00
Total Revenues 189,003$189,003$315,341$(126,339)$3,784,094$(3,595,093)$4.99$
Monthly Budget Expenditure Report by Fund
Page: 3City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Harbor Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 26,667 26,667 60,743 34,076 541,318 514,651 4.93
6001 Overtime 237 237 3,407 3,170 40,893 40,656 0.58
6002 Standby Time 734 734 973 239 11,686 10,952 6.28
6100 Medicare 422 422 833 411 9,993 9,571 4.22
6101 Unemployment Insurance 0 0 42 42 500 500 0.00
6102 Workers' Compensation 1,930 1,930 3,133 1,203 37,600 35,670 5.13
6200 Leave Time 5,052 5,052 5,078 26 60,934 55,882 8.29
6201 Retirement Benefits 6,668 6,668 14,010 7,342 144,543 137,875 4.61
6202 Health Insurance 17,510 17,510 24,618 7,108 323,597 306,087 5.41
6209 Contra-Retirement PERS DC Forfeitures (1,108)(1,108)0 1,108 0 1,108 0.00
Total Personnel Costs:58,112$58,112$112,837$54,725$1,171,064$1,112,952$4.96$
Non-Personnel Costs:
7001 Communications 866 866 959 93 11,500 10,634 7.53
7002 Postage and Freight 54 54 708 654 8,500 8,446 0.63
7003 Bank and Credit Card Fees 12,452 12,452 4,250 (8,202)68,460 56,008 18.19
7004 Insurance 69,024 69,024 6,892 (62,132)82,700 13,676 83.46
7006 Legal 0 0 833 833 10,000 10,000 0.00
7009 Contracted Services 2,992 2,992 6,666 3,674 91,000 88,008 3.29
7011 Testing 0 0 108 108 1,300 1,300 0.00
7012 Other Special Services 0 0 0 0 3,500 3,500 0.00
7015 Utilities 8,112 8,112 9,818 1,706 117,820 109,708 6.89
7016 Heating Fuel 0 0 833 833 10,000 10,000 0.00
7100 General Power for Resale 17,570 17,570 25,583 8,013 307,000 289,430 5.72
7211 Gas & Lube 0 0 1,875 1,875 22,500 22,500 0.00
7213 Safety Equipment 0 0 625 625 7,500 7,500 0.00
7214 Janitorial Supplies 491 491 833 342 10,000 9,509 4.91
7215 Operating Supplies 690 690 3,000 2,310 36,000 35,310 1.92
7216 Maintenance & Repair 642 642 4,334 3,692 52,000 51,358 1.23
7217 Small Tools & Equipment 0 0 1,459 1,459 17,500 17,500 0.00
7300 Advertising 0 0 458 458 5,500 5,500 0.00
7301 Subscriptions & Dues 0 0 125 125 1,500 1,500 0.00
7302 Travel & Subsistence 0 0 833 833 10,000 10,000 0.00
7303 Education & Training 0 0 333 333 4,000 4,000 0.00
7304 Equipment Rent 0 0 1,083 1,083 2,000 2,000 0.00
7321 Harbor General Indirect Costs 0 0 36,862 36,862 442,336 442,336 0.00
7322 Harbor Admin Indirect Costs 0 0 38,800 38,800 465,598 465,598 0.00
7324 Gen Fund Indirect Costs 0 0 30,452 30,452 365,435 365,435 0.00
7325 Harbor Internal Cost Allocation 0 0 (86,233)(86,233)(1,034,793)(1,034,793)0.00
7330 P.I.L.T.0 0 15,758 15,758 189,092 189,092 0.00
7331 Reclass PILT to Transfer-Out 0 0 (15,758)(15,758)(189,092)(189,092)0.00
7808 Bad Debt Expense 0 0 1,000 1,000 12,000 12,000 0.00
7810 Miscellaneous Expense 0 0 208 208 2,500 2,500 0.00
7900 Depreciation Expense 0 0 118,193 118,193 1,418,309 1,418,309 0.00
8012 Debt Service Interest Expense 0 0 17,341 17,341 208,093 208,093 0.00
8104 Motor Pool Rent 0 0 5,334 5,334 64,000 64,000 0.00
Monthly Budget Expenditure Report by Fund
Page: 4City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Harbor Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
8300 Debt Service Principal 0 0 44,266 44,266 531,187 531,187 0.00
Total Non-Personnel Costs:112,893$112,893$277,831$164,938$3,354,945$3,242,052$3.36$Total Expenditures 171,005$171,005$390,668$219,663$4,526,009$4,355,004$3.78$
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 4City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM SMIC Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
5000 Land Rents & Leases 45,548 45,548 14,978 30,570 179,745 (134,197)25.34
5001 Land Lease Credits (3,136)(3,136)0 (3,136)0 (3,136)0.00
5101 Moorage 0 0 916 (916)11,000 (11,000)0.00
5102 Wharfage 0 0 521 (521)6,250 (6,250)0.00
5103 Boat Lift Fees 5,254 5,254 11,667 (6,413)140,000 (134,746)3.75
5104 Storage Fees 8,538 8,538 9,583 (1,045)115,000 (106,462)7.42
5106 SMIC Power Sales 4,447 4,447 3,417 1,030 41,000 (36,553)10.85
5109 Washdown Pad Fees 0 0 683 (683)8,200 (8,200)0.00
5153 Fuel Pumping Fee 0 0 250 (250)3,000 (3,000)0.00
5800 Labor & Services 0 0 83 (83)1,000 (1,000)0.00
5901 EF Investment Interest 1,593 1,593 0 1,593 0 1,593 0.00
5940 Amortization of Contributions-in-Aid 0 0 42,165 (42,165)505,980 (505,980)0.00
Total Revenues 62,244$62,244$84,263$(22,019)$1,011,175$(948,931)$6.16$
Monthly Budget Expenditure Report by Fund
Page: 5City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
SMIC Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 2,826 2,826 4,550 1,724 54,607 51,781 5.17
6001 Overtime 0 0 436 436 5,228 5,228 0.00
6100 Medicare 44 44 78 34 935 891 4.65
6102 Workers' Compensation 296 296 560 264 6,710 6,414 4.42
6201 Retirement Benefits 706 706 146 (560)1,743 1,037 40.53
6202 Health Insurance 1,691 1,691 2,349 658 28,182 26,491 6.00
6209 Contra-Retirement PERS DC Forfeitures (146)(146)0 146 0 146 0.00
Total Personnel Costs:5,417$5,417$8,119$2,702$97,405$91,988$5.56$
Non-Personnel Costs:
7001 Communications 0 0 42 42 500 500 0.00
7002 Postage and Freight 0 0 459 459 5,500 5,500 0.00
7004 Insurance 7,702 7,702 1,200 (6,502)14,400 6,698 53.49
7006 Legal 0 0 833 833 10,000 10,000 0.00
7009 Contracted Services 735 735 2,501 1,766 30,000 29,265 2.45
7015 Utilities 1,169 1,169 1,250 81 15,000 13,831 7.79
7016 Heating Fuel (274)(274)417 691 5,000 5,274 (5.49)
7100 General Power for Resale 3,109 3,109 2,167 (942)26,000 22,891 11.96
7102 Power Fuel Costs 0 0 208 208 2,500 2,500 0.00
7211 Gas & Lube 343 343 833 490 10,000 9,657 3.43
7215 Operating Supplies 0 0 542 542 6,500 6,500 0.00
7216 Maintenance & Repair 0 0 3,000 3,000 36,000 36,000 0.00
7217 Small Tools & Equipment 0 0 417 417 5,000 5,000 0.00
7300 Advertising 0 0 250 250 3,000 3,000 0.00
7321 Harbor General Indirect Costs 0 0 5,151 5,151 61,804 61,804 0.00
7322 Harbor Admin Indirect Costs 0 0 5,422 5,422 65,054 65,054 0.00
7323 SMIC General Indirect Costs 0 0 11,278 11,278 135,347 135,347 0.00
7324 Gen Fund Indirect Costs 0 0 8,128 8,128 97,540 97,540 0.00
7325 Harbor Internal Cost Allocation 0 0 (11,279)(11,279)(135,347)(135,347)0.00
7330 P.I.L.T.0 0 2,169 2,169 26,036 26,036 0.00
7331 Reclass PILT to Transfer-Out 0 0 (2,169)(2,169)(26,036)(26,036)0.00
7900 Depreciation Expense 0 0 84,825 84,825 1,017,898 1,017,898 0.00
8300 Debt Service Principal 98,008 98,008 8,167 (89,841)98,008 0 100.00
Total Non-Personnel Costs:110,792$110,792$125,811$15,019$1,509,704$1,398,912$7.34$Total Expenditures 116,209$116,209$133,930$17,721$1,607,109$1,490,900$7.23$
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 5City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM Electric Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
5300 Residential 130,170 130,170 116,231 13,939 1,394,769 (1,264,599)9.33
5302 Residential fuel factor 128,852 128,852 118,634 10,218 1,423,604 (1,294,752)9.05
5303 Residential customer charge 43,722 43,722 41,888 1,834 502,661 (458,939)8.70
5310 SG Service 59,256 59,256 72,532 (13,276)870,384 (811,128)6.81
5312 SG fuel factor 52,811 52,811 51,804 1,007 621,648 (568,837)8.50
5313 SG Customer Charge 20,712 20,712 18,764 1,948 225,170 (204,458)9.20
5320 LG Service 79,653 79,653 113,222 (33,569)1,358,664 (1,279,011)5.86
5322 LG fuel factor 134,697 134,697 150,687 (15,990)1,808,242 (1,673,545)7.45
5323 LG customer charge 3,821 3,821 3,817 4 45,802 (41,981)8.34
5324 LG demand charge 98,631 98,631 118,448 (19,817)1,421,372 (1,322,741)6.94
5340 Spec. Contract Energy 22,082 22,082 40,520 (18,438)486,240 (464,158)4.54
5342 Special Contract fuel factor 28,235 28,235 41,165 (12,930)493,974 (465,739)5.72
5343 Spec. Contract customer charge 130 130 89 41 1,064 (934)12.19
5345 Special Contract Demand 36,833 36,833 35,319 1,514 423,828 (386,995)8.69
5350 Harbor Fund Power Sales 17,332 17,332 25,833 (8,501)310,000 (292,668)5.59
5352 Harbor power fuel factor 12,764 12,764 9,167 3,597 110,000 (97,236)11.60
5360 Street & Yard 6,385 6,385 5,833 552 70,000 (63,615)9.12
5362 Yard Light Fuel 774 774 333 441 4,000 (3,226)19.35
5801 Turn on Fees 601 601 1,667 (1,066)20,000 (19,399)3.01
5802 Equipment Rental 0 0 1,667 (1,667)20,000 (20,000)0.00
5803 Joint Pole Use 0 0 833 (833)10,000 (10,000)0.00
5804 Work Order Revenue 0 0 1,667 (1,667)20,000 (20,000)0.00
5890 Collection of Doubtful Accounts 0 0 83 (83)1,000 (1,000)0.00
5899 Miscellaneous Revenue 0 0 417 (417)5,000 (5,000)0.00
5901 EF Investment Interest 16,107 16,107 583 15,524 7,000 9,107 230.10
5905 EF Penalties and Interest 4,014 4,014 4,167 (153)50,000 (45,986)8.03
5940 Amort. of CIA - General 0 0 80,360 (80,360)964,315 (964,315)0.00
5941 Amort.Bond Premium 0 0 1,153 (1,153)13,834 (13,834)0.00
Total Revenues 897,582$897,582$1,056,883$(159,301)$12,682,571$(11,784,989)$7.08$
Monthly Budget Expenditure Report by Fund
Page: 6City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Electric Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 40,957 40,957 86,833 45,876 967,539 926,582 4.23
6001 Overtime 3,894 3,894 5,574 1,680 66,881 62,987 5.82
6002 Standby Time 5,363 5,363 8,029 2,666 96,353 90,990 5.57
6100 Medicare 840 840 1,437 597 17,239 16,399 4.88
6102 Workers' Compensation 3,677 3,677 7,055 3,378 84,648 80,971 4.34
6200 Leave Time 5,242 5,242 8,603 3,361 103,235 97,993 5.08
6201 Retirement Benefits 9,114 9,114 16,354 7,239 184,062 174,947 4.95
6202 Health Insurance 14,986 14,986 24,059 9,073 301,823 286,837 4.97
6204 Meal Allowance 0 0 600 600 7,200 7,200 0.00
6205 Electric Union Benefits 156 156 1,750 1,594 21,000 20,844 0.74
6209 Contra-Retirement PERS DC Forfeitures (943)(943)0 943 0 943 0.00
Total Personnel Costs:83,286$83,286$160,294$77,008$1,849,980$1,766,694$4.50$
Non-Personnel Costs:
7001 Communications 1,112 1,112 1,791 679 21,500 20,388 5.17
7002 Postage and Freight 247 247 1,916 1,669 23,000 22,753 1.07
7003 Bank and Credit Card Fees 5,518 5,518 4,833 (685)90,760 85,242 6.08
7004 Insurance 33,050 33,050 5,417 (27,633)65,000 31,950 50.85
7006 Legal 0 0 5,000 5,000 60,000 60,000 0.00
7009 Contracted Services 0 0 36,500 36,500 438,000 438,000 0.00
7010 Engineering 0 0 2,500 2,500 30,000 30,000 0.00
7011 Testing 86 86 42 (44)500 414 17.20
7012 Other Special Services 0 0 1,250 1,250 18,000 18,000 0.00
7015 Utilities 12,032 12,032 10,125 (1,907)121,500 109,468 9.90
7016 Heating Fuel 0 0 1,500 1,500 18,000 18,000 0.00
7017 Rents & Leases 67 67 1,917 1,850 23,000 22,933 0.29
7101 Chugach Power Purchases 18,314 18,314 187,207 168,893 2,246,484 2,228,170 0.82
7102 Power Fuel Costs 0 0 242,705 242,705 2,912,460 2,912,460 0.00
7103 Fuel for Generators 0 0 8,334 8,334 100,000 100,000 0.00
7210 Vehicle Supplies 352 352 833 481 10,000 9,648 3.52
7211 Gas & Lube 0 0 3,167 3,167 38,000 38,000 0.00
7212 Uniform Allowance 0 0 125 125 1,500 1,500 0.00
7213 Safety Equipment 0 0 500 500 6,000 6,000 0.00
7215 Operating Supplies 902 902 15,250 14,348 183,000 182,098 0.49
7216 Maintenance & Repair 1,232 1,232 7,501 6,269 90,000 88,768 1.37
7217 Small Tools & Equipment 229 229 2,083 1,854 25,000 24,771 0.91
7300 Advertising 0 0 500 500 6,000 6,000 0.00
7301 Subscriptions & Dues 0 0 7,134 7,134 85,600 85,600 0.00
7302 Travel & Subsistence 0 0 2,334 2,334 28,000 28,000 0.00
7303 Education & Training 0 0 2,334 2,334 28,000 28,000 0.00
7304 Equipment Rent 0 0 2,083 2,083 25,000 25,000 0.00
7307 GF Administrative Fee 0 0 79,442 79,442 953,306 953,306 0.00
7330 P.I.L.T.0 0 77,650 77,650 931,794 931,794 0.00
7331 Reclass PILT to Transfer-Out 0 0 (77,650)(77,650)(931,794)(931,794)0.00
7808 Bad Debt Expense 0 0 2,500 2,500 30,000 30,000 0.00
7810 Miscellaneous Expense 22 22 2,917 2,895 35,000 34,978 0.06
Monthly Budget Expenditure Report by Fund
Page: 7City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Electric Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
7900 Depreciation Expense 0 0 129,286 129,286 1,551,440 1,551,440 0.00
8010 Utility Deposit Interest 111 111 100 (11)1,200 1,089 9.22
8012 Debt Service Interest Expense 90,100 90,100 15,017 (75,083)180,200 90,100 50.00
8014 Amortization of Bond Issue Costs 0 0 1,742 1,742 20,903 20,903 0.00
8101 Infrastructure 0 0 11,667 11,667 140,000 140,000 0.00
8103 Capital Equipment 0 0 4,583 4,583 55,000 55,000 0.00
8104 Motor Pool Rent 0 0 22,500 22,500 270,000 270,000 0.00
8200 Work Order Sal/Benefit credits 0 0 (5,000)(5,000)(60,000)(60,000)0.00
8201 Work Order Operating Supply credits 0 0 (2,500)(2,500)(30,000)(30,000)0.00
8300 Debt Service Principal 0 0 13,750 13,750 165,000 165,000 0.00
Total Non-Personnel Costs:163,374$163,374$830,885$667,511$10,006,353$9,842,979$1.63$Total Expenditures 246,660$246,660$991,179$744,519$11,856,333$11,609,673$2.08$
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 6City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM Water Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
5300 Residential 42,341 42,341 39,708 2,633 476,492 (434,151)8.89
5310 SG Service 9,312 9,312 11,035 (1,723)132,422 (123,110)7.03
5320 LG Service 14,487 14,487 18,638 (4,151)223,654 (209,167)6.48
5330 SMIC Sales 3,857 3,857 5,118 (1,261)61,419 (57,562)6.28
5340 Spec. Contracts 5,940 5,940 24,092 (18,152)289,106 (283,166)2.05
5801 Turn on Fees 166 166 864 (698)10,369 (10,203)1.60
5806 Ship Water 198 198 8,798 (8,600)105,580 (105,382)0.19
5807 Hydrant Rentals 10,481 10,481 10,305 176 123,655 (113,174)8.48
5899 Miscellaneous Revenue 0 0 864 (864)10,369 (10,369)0.00
5901 EF Investment Interest 5,763 5,763 433 5,330 5,191 572 111.02
5905 EF Penalties and Interest 66 66 173 (107)2,079 (2,013)3.19
5940 Amort. of CIA - General 0 0 17,424 (17,424)209,090 (209,090)0.00
Total Revenues 92,611$92,611$137,452$(44,841)$1,649,426$(1,556,815)$5.61$
Monthly Budget Expenditure Report by Fund
Page: 8City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Water Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 9,486 9,486 21,045 11,559 187,526 178,040 5.06
6001 Overtime 309 309 353 44 4,226 3,917 7.32
6002 Standby Time 571 571 822 251 9,862 9,291 5.79
6100 Medicare 174 174 282 108 3,387 3,213 5.13
6102 Workers' Compensation 740 740 1,012 272 12,141 11,401 6.09
6200 Leave Time (2,390)(2,390)1,702 4,092 20,420 22,810 (11.70)
6201 Retirement Benefits 2,500 2,500 3,707 1,207 44,470 41,970 5.62
6202 Health Insurance 6,838 6,838 7,845 1,007 104,640 97,802 6.54
6209 Contra-Retirement PERS DC Forfeitures (478)(478)0 478 0 478 0.00
Total Personnel Costs:17,750$17,750$36,768$19,018$386,672$368,922$4.59$
Non-Personnel Costs:
7001 Communications 482 482 1,000 518 12,000 11,518 4.02
7002 Postage and Freight 48 48 542 494 6,500 6,452 0.74
7003 Bank and Credit Card Fees 759 759 500 (259)10,950 10,191 6.93
7004 Insurance 8,552 8,552 917 (7,635)11,000 2,448 77.74
7006 Legal 0 0 417 417 5,000 5,000 0.00
7009 Contracted Services 0 0 6,250 6,250 75,000 75,000 0.00
7011 Testing 375 375 917 542 11,000 10,625 3.41
7012 Other Special Services 0 0 0 0 250 250 0.00
7015 Utilities 15,863 15,863 21,583 5,720 259,000 243,137 6.12
7211 Gas & Lube 0 0 875 875 10,500 10,500 0.00
7213 Safety Equipment 0 0 250 250 3,000 3,000 0.00
7215 Operating Supplies 173 173 3,708 3,535 44,500 44,327 0.39
7216 Maintenance & Repair 80 80 2,083 2,003 25,000 24,920 0.32
7217 Small Tools & Equipment 0 0 542 542 6,500 6,500 0.00
7300 Advertising 0 0 83 83 1,000 1,000 0.00
7301 Subscriptions & Dues 0 0 142 142 1,700 1,700 0.00
7302 Travel & Subsistence 0 0 467 467 5,600 5,600 0.00
7303 Education & Training 0 0 467 467 5,600 5,600 0.00
7304 Equipment Rent 0 0 667 667 8,000 8,000 0.00
7307 GF Administrative Fee 0 0 21,916 21,916 262,991 262,991 0.00
7330 P.I.L.T.0 0 9,047 9,047 108,569 108,569 0.00
7331 Reclass PILT to Transfer-Out 0 0 (9,047)(9,047)(108,569)(108,569)0.00
7808 Bad Debt Expense 0 0 167 167 2,000 2,000 0.00
7810 Miscellaneous Expense 0 0 150 150 1,800 1,800 0.00
7900 Depreciation Expense 0 0 32,683 32,683 392,199 392,199 0.00
8012 Debt Service Interest Expense 0 0 1,639 1,639 19,669 19,669 0.00
8104 Motor Pool Rent 0 0 417 417 5,000 5,000 0.00
8300 Debt Service Principal 0 0 11,431 11,431 137,175 137,175 0.00
Total Non-Personnel Costs:26,332$26,332$109,813$83,481$1,322,934$1,296,602$1.99$Total Expenditures 44,082$44,082$146,581$102,499$1,709,606$1,665,524$2.58$
Monthly Budget-to-Actual Revenue Report -- By Fund
Page: 7City of Seward
For 1/31/2019
Run: 3/19/2019 at 3:58 PM Wastewater Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
Over/(Under)
Budget
Annual
Budget
Variance
Over/(Under)
Budget
% of Annual
Budget
Revenues
5300 Residential 56,753 56,753 53,596 3,157 643,152 (586,399)8.82
5310 SG Service 11,919 11,919 17,289 (5,370)207,471 (195,552)5.74
5320 LG Service 19,206 19,206 24,982 (5,776)299,786 (280,580)6.41
5330 SMIC Sales 1,964 1,964 3,320 (1,356)39,834 (37,870)4.93
5801 Turn on Fees 2,400 2,400 0 2,400 0 2,400 0.00
5809 Water/Seward Misc. Service 0 0 216 (216)2,589 (2,589)0.00
5901 EF Investment Interest 5,460 5,460 173 5,287 2,079 3,381 262.62
5905 EF Penalties and Interest 138 138 130 8 1,556 (1,418)8.90
5940 Amort. of CIA - General 0 0 33,204 (33,204)398,445 (398,445)0.00
Total Revenues 97,840$97,840$132,910$(35,070)$1,594,912$(1,497,072)$6.13$
Monthly Budget Expenditure Report by Fund
Page: 9City of SewardRun: 3/19/2019 at 4:00 PM
For 1/31/2019
Wastewater Enterprise Fund
Actual
Month
Y-T-D
Actual
Y-T-D
Budget
Variance
(Over)/Under
Budget
Annual
Budget
Variance
(Over)/Under
Budget
% of Annual
Budget
ExpendituresPersonnel Costs:
6000 Salaries 5,366 5,366 16,082 10,716 142,969 137,603 3.75
6001 Overtime 200 200 264 64 3,170 2,970 6.32
6002 Standby Time 255 255 541 286 6,492 6,237 3.92
6100 Medicare 105 105 224 119 2,696 2,591 3.88
6102 Workers' Compensation 357 357 730 373 8,749 8,392 4.08
6200 Leave Time 2,783 2,783 1,591 (1,192)19,091 16,308 14.58
6201 Retirement Benefits 1,386 1,386 2,820 1,434 33,844 32,458 4.10
6202 Health Insurance 3,383 3,383 4,781 1,398 64,586 61,203 5.24
6209 Contra-Retirement PERS DC Forfeitures (86)(86)0 86 0 86 0.00
Total Personnel Costs:13,749$13,749$27,033$13,284$281,597$267,848$4.88$
Non-Personnel Costs:
7001 Communications 482 482 692 210 8,300 7,818 5.81
7002 Postage and Freight 48 48 391 343 4,700 4,652 1.02
7003 Bank and Credit Card Fees 1,055 1,055 667 (388)13,730 12,675 7.68
7004 Insurance 2,816 2,816 667 (2,149)8,004 5,188 35.19
7006 Legal 0 0 1,000 1,000 12,000 12,000 0.00
7009 Contracted Services 0 0 8,750 8,750 105,000 105,000 0.00
7011 Testing 1,720 1,720 2,250 530 27,000 25,280 6.37
7012 Other Special Services 0 0 0 0 500 500 0.00
7015 Utilities 9,865 9,865 18,166 8,301 218,000 208,135 4.53
7016 Heating Fuel 0 0 292 292 3,500 3,500 0.00
7017 Rents & Leases 0 0 17 17 200 200 0.00
7211 Gas & Lube 0 0 808 808 9,700 9,700 0.00
7213 Safety Equipment 0 0 125 125 1,500 1,500 0.00
7215 Operating Supplies 0 0 1,417 1,417 17,000 17,000 0.00
7216 Maintenance & Repair 34 34 2,459 2,425 29,500 29,466 0.12
7217 Small Tools & Equipment 0 0 333 333 4,000 4,000 0.00
7300 Advertising 0 0 33 33 400 400 0.00
7301 Subscriptions & Dues 0 0 375 375 4,500 4,500 0.00
7302 Travel & Subsistence 0 0 433 433 5,200 5,200 0.00
7303 Education & Training 0 0 317 317 3,800 3,800 0.00
7304 Equipment Rent 0 0 500 500 6,000 6,000 0.00
7307 GF Administrative Fee 0 0 13,384 13,384 160,606 160,606 0.00
7330 P.I.L.T.0 0 7,952 7,952 95,427 95,427 0.00
7331 Reclass PILT to Transfer-Out 0 0 (7,952)(7,952)(95,427)(95,427)0.00
7808 Bad Debt Expense 0 0 167 167 2,000 2,000 0.00
7810 Miscellaneous Expense 0 0 100 100 1,200 1,200 0.00
7900 Depreciation Expense 0 0 29,765 29,765 357,184 357,184 0.00
8012 Debt Service Interest Expense 0 0 1,407 1,407 16,878 16,878 0.00
8104 Motor Pool Rent 0 0 417 417 5,000 5,000 0.00
8300 Debt Service Principal 0 0 4,883 4,883 58,599 58,599 0.00
Total Non-Personnel Costs:16,020$16,020$89,815$73,795$1,084,001$1,067,981$1.48$Total Expenditures 29,769$29,769$116,848$87,079$1,365,598$1,335,829$2.18$
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