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Home My WebLink About12092019 City Council Packet Seward City Council Agenda Packet 40 C �AK HAPPY �bD H 0 L I LAYS POK Monday, December 9, 2019 City Council Chambers Beginning at 7:00 p.m. 1963 1965 2005 The City of Seward,Alaska CITY COUNCIL MEETING AGENDA M-America0v , 1 I I®r {Please silence all cellular phones during the meeting} December 9, 2019 7:00 p.m. Council Chambers Christy Terry 1. CALL TO ORDER Mayor Term Expires 2022 2. PLEDGE OF ALLEGIANCE Sue McClure 3. ROLL CALL Vice Mayor Term Expires 2020 4. CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING [Those who have Sharyl Seese signed in will be given the first opportunity to speak. Time is limited to 3 minutes Council Member per speaker and 36 minutes total time for this agenda item.] Term Expires 2021 5. APPROVAL OF AGENDA AND CONSENT AGENDA [Approval John Osenga of Consent Agenda passes all routine items indicated by asterisk (*). Consent Agenda items are not considered separately unless a council member so requests. Council Member In the event of such a request, the item is returned to the Regular Agenda] Term Expires 2021 6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Kelley Lane Council Member A. Proclamations and Awards—None Term Expires 2020 B. Borough Assembly Report C. City Manager Report .......................................... Pg. 4 Dale Butts D. City Attorney Report (Verbal) Council Member E. Other Reports and Presentations—None Term Expires 2022 Tony Baclaan Council Member Term Expires 2022 Scott Meszaros City Manager Brenda Ballow City Clerk Holly Wells City Attorney City of Seward, Alaska Council Agenda December 9, 2019 Page I 1 7. PUBLIC HEARINGS [Public hearing comments are limited to five minutes per person; after all speakers have.Spoken, a person may speakfor a second time for no more than one minute.] A. Resolutions for Public Hearing 1. Resolutions 2019-098 through 2019-108, Adopting The 2020-2021 City of Seward Biennial Budget. These resolutions are coming hack tonight for a second public hearing tonight and approval. .......................................................... Pg. 10 2. Resolution 2019-113, Amending The Electric Rates And Charges And Readjusting Rates To Reflect Seward Electric Utility Charge, Cost Of Power Adjustment And Customer Charge, For 2020 And 2021. ................................................ Pg. 83 S. UNFINISHED BUSINESS A. Items Postponed from Previous Agenda 1. Resolution 2019-111, Establishing The City Of Seward's Calendar Year 2020 State Legislative Priorities. ..................................................................... Pg. 104 9. NEW BUSINESS A. Resolutions 1. Resolution 2019-114, Approving An Amendment To The Legal Services Agreement With Birch Horton Bittner & Cherot. ........................... Pg. 108 2. Resolution 2019-115, Establishing The City Of Seward's Calendar Year 2020 Federal Legislative Priorities. .................................................................... Pg. 134 3. Resolution 2019-116, Authorizing The City Manager To Enter Into A Contract With MacSwain Associates, LLC To Re-Appraise 43 Lots For The City Of Seward In The Amount Of$38,700, And Appropriating Funds. ......... Pg. 137 4. Resolution 2019-117, Authorizing A Contract Beginning January 1, 2020 Through December 31, 2021 With TriDelta Incorporated For City Calendar Advertising In The Seward Journal At A Rate Of$273 Per Week. ..................................... Pg. 151 B. Other New Business Items *1. Approval of the November 25, 2019 City Council Regular Meeting Minutes. Pg. 157 *2. Approval of the November 15, 2019 Special Meeting Minutes. ................. Pg. 168 *3. Cancel the December 23, 2019 City Council meeting. ............................ Pg. 170 *4. Non-objection to the renewal of the following liquor licenses: #4617 Beverage Dispensary for Chinooks Waterfront. ................................................ Pg. 171 *5. Non-objection to the renewal of the following liquor licenses: #5356 Restaurant/Eating Place—Public Convenience for Zudy's Cafe. ............... Pg. 181 *6. Non-objection to the renewal of the following liquor licenses: #5621 Restaurant/Eating Place—Public Convenience for The Highliner Restaurant. Pg. 190 7. Mayor appoint two Council Members to the Tabulation Team for the City Manager, City Attorney, and City Clerk evaluations, and set the timing for each evaluation. 198 8.Schedule a council retreat. (Terry) .................................................... Pg. 201 City of Seward, Alaska Council Agenda December 9, 2019 Page 2 2 9. Schedule a work session to discuss Electric Department rates, classifications, utility infrastructure management, current contract regarding power factor adjustment penalty and current status/process of selling electric utility. (Terry) ............ Pg. 203 *10. Schedule a work session to discuss the city's social media policies &procedures and to have a demonstration of the new city website on January 6, 2020 at 6:00 p.m. *11. Schedule a work session to review and discuss the city's wage and classification study results on January 13, 2020 at 5:00 p.m. 10. INFORMATIONAL ITEMS AND REPORTS (No Action Required) A. On-going City Project and Goal List ................................................. Pg. 205 B. October, 2019 City and Providence Financials C. Port& Commerce Advisory Board(PACAB) written report for 3Q19 & 4Q19 Pg. 208 D. Clerk's Travel Report to Alaska Association of Municipal Clerks Conference in November, 2019 in Anchorage, Alaska .............................................. Pg. 209 E. Public Records Report through December 3, 2019 ................................ Pg. 212 11. COUNCIL COMMENTS 12. CITIZEN COMMENTS [There is no sign in for this comment period. Time is limited to 5 minutes per speaker.] 13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS 14. ADJOURNMENT City of Seward, Alaska Council Agenda December 9, 2019 Page 3 3 CITY OF SEWARD Scott Meszaros, City Manager P.O. Box 167 Telephone (907) 224-4047 Seward,AK 99664 Facsimile (907) 224-4038 MANAGER'S REPORT October 22-November 3 Alaska Association of Municipal Clerks Melissa Jacobsen,MMC,President City Clerk,City of Homer 491 E.Pioneer Avenue,Homer,AK 99603 Phone:907.235.3 130 Fax:907.235.3143 Email:mjacobsen@ci.homer.ak.us November 22,2019 Scott Meszaros,City Manager City of Seward PO Box 167 Seward,AK 99664 Dear Mr.Meszaros: The Alaska Association of Municipal Clerks(AAMC)would like to thank you and the City of Seward for your support of City Clerk Brenda Ballou, MMC. We are happy to announce Ms.Ballou's election to 2nd Vice President of the AAMC at our conference on November 19, 2019, in Anchorage, Alaska. This will lead her to presidency of the Association in November 2021. Ms. Ballou has served on various AAMC committees over the years,and we value her membership and participation. On behalf of the RAMC,I thank the City of Seward Administration and City Council and offer sincere appreciation for the support you have shown to Ms. Ballou and to the AAMC by sharing her with our organization. Sincerely, (:�' D.Danyielle Snider,CMC Secretary Alaska Association of Municipal Clerks w ww. .A.drrks—g 4 Harbor CMR 12/9/19 1. All the water has been turned off for the winter, there are 4-year-round water locations in the harbor located at the F float trestle, at the end of F-float, the T-dock and on Z-float. 2. We are still working with ADF&G to replace the North East Boat Launch Ramp, funding is currently available through the same grant, waiting on the 2020 State budget to be approved. 3. The harbor is currently fully staffed, the senior administrative assistant is currently training two new office assistants. 4. The harbor has sent out renewal letters to all the permanent slip holders for the 2020 six-month moorage assignment. 5. The Harbor has gone out for quotes to install a heat pump in the wash-down pad building at SMIC along with a used oil boiler to heat the building and wash-down pad respectively. (Waiting on installation.) 6. The Harbormaster along with the Alaska Railroad and AVTEC traveled to the Fish Expo in Seattle. 7. The Harbor will be upgrading and installing new software in 2020 to improve customer relations with transient/guest vessels. The harbor will be bringing a resolution to council with a Tariff change in early 2020. 5 City of Seward Personnel Transactions from 11/16/2019-12/2/2019 Prepared by Riley Shurtleff,City of Seward Personnel Officer Separations: Department: Date of Separation Patrol Officer Recruit Police 11/27/2019 New Hires: Department: Date of Hire Administrative Assistant Harbor 11/25/2019 Museum Curator Library Museum 11/25/2019 Available Full Time Positions: Department: Position Status Corrections Officer Police Advertising Since 11/29/2018 Harbor Senior Administrative Assistant Harbor Advertising Since 6/11/2019 Finance Director Finance Advertising Since 9/9/2019 Community Development Planner Comm. Dev. Advertising Since 10/29/2019 Field Engineer Electric Advertising Since 11/7/2019 Available Seasonal Positions: Department: Position Status Winter Program Aide(TYC,Teen Rec Room, Sports&Rec at the AVTEC Gym) SPRD Advertising Since 8/30/2019 Winter Program Aide Trainee(TYC,Teen Rec Room,Sports& Rec at the AVTEC Gym) SPRD Advertising Since 8/30/2019 6 Parks & Campgrounds Facility Type/Amenities Rentals Alice RV Dry/Tent Closed until April 15 Parks&Recreation Branson Pavilion Lighting/Electric/Grill 0 410 Adams St First Lake Grill 0 Seward,AK 99664 Forest Acres RV Dry/Tent Closed until April 15 (907)224-4068 Harborside RV Dry/Tent Closed until April 15 Iditarod RV Dry/Tent Closed until April 15 Tyler Florence Marathon RV Dry/Tent Closed until April 15 Director Obihiro RV Dry/Tent Closed until April 15 ltlorence@citVofseward.net Otter Beach Tent Closed until April 15 Latesha Layne Resurrection RV Utility/RV Dry 2 Dry/51 Utility Executive Assistant Spring Creek RV Dry/Tent Closed until April 15 iayneL-cicyulseward.net Williams Park RV Dry/Tent Closed until April 15 Office Hours Monday—Friday HIGHLIGHTS 8:00 am—5:00 pm • Working on updating memorial and cemetery policies and procedures. Website vwvvv.sewardrec.cuj fi Facebook facebook.com/SPRDPMNC t I Parks&Campgrounds .- 702 Aspen Ln Seward,AK 99664 (907)224-4068 Traci Peterson Photo of Branson Pavilion two weeks ago—snow is moving down the mountainside. Supervisor tpetersen@cityofseward.net UPCOMING • Christmas lights and penguins are ready for placement Jenny Rutledge •Coordinator Researching campground reservation platforms. rutledge @cityotsewa rd.net Office Hours Monday—Sunday 7:00 am—3:30 pm 7 Sports&Rec AVTEC Gym 519 4ch Ave Seward,AK 99664 Sorts & Rec (907)224-4054 TOTAL USER COUNT 237 Ian Jones Users Users Coordinator Activity -Self-reported- -Staff Count- ilones@citVofseward.net Indoor Park 56 28 Hours of Operation Open Gym/Basketball 94 91 Tuesday—Friday Open Volleyball 43 42 9:30 am—9:00 pm Racquetball 21 19 Rockwall 31 31 Open Gym Sauna 25 N/A Tuesday—Friday Wellness/Weight Room 79 26 9:30 am—11:00 am& 12:00 pm—2:30 pm Tot Time HIGHLIGHTS Tuesday—Friday 11:00 am—12:00 pm • S&R hosted a successful Grateful Skate! • Rec Volleyball has ended. Playoffs begin next week. Open Basketball Friday • Sorts & Rec at the AVTEC m will be closed 11 28 and 11 29. 5:00 pm—7:00 pm p gym / / • First Friday in December will host Santa Skate and Adult Skating Lessons! Open Volleyball Friday 7:00pm-9:00pm Racq uet ba I I/W a l l yba I I Reservable upon request. Tuesday—Friday 9:30am-9:00pm Rentals , Gym I $60/hour Studio I $30/hour TOTAL USER COUNT 128 Rec Room Middle School 104 336 3rd Ave High School 24 Seward,AK 99664 (907)224-4054 • Grateful Skate 11/26 AVTEC Gym Meredith Lins • 6 Leadership Council members volunteered, limbo contest with 12 competitors Coordinator • Swimming eward.net Hours of Operation • Leadership Council Meeting 12/3 Tuesday—Friday • Skate with Santa 12/6 2:00 pm—9:00 pm • Breakfast with Santa 12/14 11. Saturday 1—�--- 5:00 pm—9:00 pm Teen Youth Center 336 3rd Ave Seward,AK 99664 (907)224-5472 '�. Hours of Operation � e� Monday—Friday Grateful Skate at AVTEC Gym 3:00pm-6:00pm 8 ELECTRIC 12/9/19 Number of new Job Orders started since Jan. 1, 2019: (54) 1) At the time of this writing the Electric Department is continuing to do construction for new jobs. This will continue to be the primary focus of the Electric Department until the ground freezes and we are unable to dig any longer. 2) The transmission line to Bradley Lake continues to be down due to the Swan Lake fires. Carlos tree clearing is continuing to clear in areas they are allowed to access. The inspection of the impacted poles is complete, and the report finds that 14 poles need to be repaired or replaced to re-energize the transmission line. Homer Electric is currently conducting an RFP for this construction. 12/9/19 Seward Community Library& Museum Director's Report Programs -All programs are free and open to the public! ► Our Tree Blooms with Kindness Interactive Board: Atrium, through first week in January. ► Wish Tree Book Donation Program: Through mid-Jan, Library. Sponsor a youth book for$20! ► Special Second Saturday Events, Sat, Dec 14: All are welcome to a special Second Saturday featuring: ■ Live @ the Library, 2-4pm, Library Reading Area: Live folk/bluegrass music with Jim Ostrander, Bill Marten Stacey, and Daryl Hollingsworth. ■ Book Mark Collage Activity: All Day, Library Reading Area ■ Resurrection Bay Historical Society: 1-5pm, Atrium. Stop by to view a slide show of newly acquired scrapbooks compiled by local daycare provider Jeannie Sether, who ran Gateway Daycare and Nana's Nuggets in the 1980s-1990s and help identify people in the photos. ■ Museum Drop-In Craft: Fri-Sat, 12-5pm, Museum Table- Winter Theme Collage Greeting Card ■ Free Museum Admission all winter long, Fri-Sat, noon-5pm, through mid-May ► Play Time: Each Sat, Noon-4pm, Children's Room ► Storytime: Each Fri, 11-12pm, Children's Room ► Community Book Club: Sat, Dec 21, 11am-Noon, Meeting Room—The Immortal Life of Henrietta Locks by Rebecca Skloot Closures ► Half day, Tues, Dec 24, open 11am-3pm - Christmas Eve ► Wed, Dec 25 - Christmas Day ► Wed,Jan 1 - New Year's Day ► Tues, Jan 7—Training/Work Day 9 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-098 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE CITY GENERAL FUND BIENNIAL OPERATING BUDGET FOR CALENDAR YEARS 2020 AND 2021, AND SETTING THE MILL RATE WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The City General Fund Biennial Operating Budget for Calendar Years 2020 and 2021, which are attached hereto and made a part hereof by reference and which contain estimated revenues and expenditures for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. The total assessed valuation as determined by the Kenai Peninsula Borough Assessor, and any supplemental assessment rolls for said period, which may be certified by the Borough Assessor at a future date, shall be the basis for computing estimated property tax revenues for the City of Seward, Alaska. Section 3. The rate of levy on the 2020 and 2021 real and personal property tax rolls is hereby levied at the rate of 3.84 mills per dollar of assessed valuation in Municipal Service Zones One (Borough designation TCA 40) and Two (Borough designation TCA 41). Section 4. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December, 2019. 10 GENERAL FUND Budgeted Statement of Revenues,Expenditures, Other Financing Sources (Uses) and Changes in Fund Balance For Fiscal Year 2020 and 202I 2018 2019 2020 2021 2019-2020 2020-2021 Actual Budget Budget Budget %Change %Change Revenue: Taxes 7,42I,769 7,298,060 7,529,42S 7,606,700 3.20o 1.0% Licenses and Permits I44,463 I37,450 143,600 I44,400 4.500 0.6% Intergovernmental I,I94,236 876,186 860,021 891,074 I.800 3.6% Charges for Services 3,144,93I 3,048,939 3,II2,37I 3,I83,93I 2.I00 2.3% Fines and Bails I4,317 I7,000 17,000 17,000 0.000 0.0% Interest 87,247 7I,000 7I,500 71,500 0.7% 0.0% Miscellaneous I97,276 I7,800 17,S00 17,500 -L7% 0.0% Total Revenue: $I2,204239 $11,466,435 $II,751,417 $II,932,I05 2.5% I.5% Expenditures: General Government 3,336,800 3,427,819 3.400,577 3,429,606 -0.800 0.9% Public Safety 3,673,282 3,978,907 4,251,63I 4,354,777 6.90o 2.4°0 Public Works I,392,724 1,528,782 I,454,877 I,477,66I -4.80o 1.6% Parks and Recreation I,47I,863 I,SS9,768 1,657,835 I,764,S41 6.30o 6.4% Library 570,073 679,996 675,544 691,950 -0.70o 2.4% Debt Service 92I,285 I,I59,935 I,I84,038 I,I84,5I4 2.I0o 0.0% Total Expenditures: $11,366,027 $12,335,207 $I2,624,502 $I2,903,049 2.3% 2.2% Excess of revenues over expenditures $838,2I2 -$868,772 -$873,085 -$970,944 0.5% I I.2% Other financing sources(uses): Operating transfers(to)other funds I,978,64I -I,649,496 -I,417,242 -1,413,643 -I4.1% 0.30o Operating transfers from other funds 2,203,438 2,I04,94I 2,1I4,I52 2,127,65I 0.4% 0.60o Net other financing sources(uses) 224,797 455,445 696,910 7I4,008 53.0% 2.5% Annual surplus(deficit) $I,063,009 -$413,327 -$I76,I75 -$256,936 -57.4% 100.0% Fund balance at beginning of year 7,477,288 8540,297 8,126,970 7,950,795 -4.8% -2.2% Fund balance at end of year Non-spendable: Inventory,Prepaids,Unrealized gains 3SI,045 300,000 300,000 300,000 0.000 0.0% Restricted: 0 0 0 0 0.000 0.000 Committed: Working Capital I,500,000 I,500,000 I,500,000 I,S00,000 0.000 0.000 Insurance Reserves I26,4I8 I26,418 I26,4I8 126,418 0.000 0.000 Hospital Cash Flow 500,000 500,000 500,000 500,000 0.000 0.000 Assigned: 27I,966 27I,966 27I,966 271,966 0.000 0.000 Unassigned: S,790,868 5,428,586 5,252,4II 4,995,47S -3.20o -4.90o Total Fund Balance $8,540,297 $8,I26,970 $7,950,795 $7,693,859 -2.2% -3.2% °Ties to Comprehensive Annual Financial Report 11 GENERAL FUND Budgeted Revenue Detail For 2020 and 2O2I 20I8 20I9 2020 202I 20I9-2020 2020-202I Account Name Actual Budget Budget Budget %Change %Change TAXES: Property Taxes Real Property '3.84 mills) I,037,745 I,020,000 1,045,425 I,O50,000 2.5% 0.4% Personal Property (3.84 mills) 402,9I5 340,000 405,000 408,000 19.1% 0.7% Vehicle Property Tax 23,70I 25,000 24,000 24,000 -4.0% 0.0% Total Property Taxes $I,464,36I $I,385,000 $I,474,425 $I,482,000 6.5% 0.5% Other Taxes Hotel/Motel Room Tax (4%) 556,065 5I5,000 556,000 585,200 8.0% 5.3% oales I ax o ,43 ,000 5,486,000 1.6% 0.9% Tax Penalties I,699 I,500 1,500 I,500 0.0% 0.0% Payments-in-Lieu of Tax-ASLC 73,207 46,560 62,500 52,000 34.2% -I6.8% Total Other Taxes 5,957,408 5,9I3,060 6,055,000 6,I24,700 2.4% 1.2% Total Taxes $7,42I,769 $7,298,060 $7,529,425 $7,606,700 3.2% 1.0% LICENSES&PERMITS: Taxi Permits I,037 I,200 I,I00 1,I00 -8.3% 0.0% Building Permits 40,427 40,000 40,800 41,600 2.0% 2.0% Animal Control License 90 250 200 200 -20.0% 0.0% DMV Revenues 76,803 73,000 77,000 77,000 5.5% 0.0% Miscellaneous 3,596 2,000 3,500 3,500 75.0% 0.0% City Business License 22,5I0 21,000 21,000 2I,000 0.0% 0.0% Total Licenses and Permits $I44,463 $I37,450 $I43,600 $I44,400 4.5% 0.6% INTERGOVERNMENTAL REVENUE: Liquor Tax I5,950 I9,000 I6,000 20,000 -I5.8% 25.0% Raw Fish Tax/Shared Fish.Bus.Tax 456,f 44 4I0,000 400,000 420,000 -2.4% 5.0% Fisheries Resource Landing Tax 2,477 4,000 2,500 2,500 -37.5% 0.0% Alaska Marijuana Tax 500 0 0 0 0.0% 0.0% Shared Revenue and PERS On-Behalf Pmi I23,423 0 0 0 0.0% 0.0% Jail Contract 368,952 350,000 350,000 350,000 0.0% 0.0% State Dispatch Contract 36,000 36,000 36,000 36,000 0.0% 0.0% Genl Fund-related Grant Revenues I37,990 4,626 2,721 9,774 -4I.2% 259.2% KPB 91I Dispatch 52,800 52,560 52,800 52,800 0.5% 0.0% Total Intergovernmental $I,I94,236 $876,I86 $860,02I $89I,074 -I.8% 3.6% 12 GENERAL FUND Budgeted Revenue Detail For 2020 and 202I 20I8 20I9 2020 2021 20I9-2020 2020-202I Account Name Actual Budget Budget Budget %Change %Change CHARGES FOR SERVICES: General Government Copying 9,004 5,000 7,000 7,000 40.0% 0.0% Sales Tax Credit for Prompt Remit 4,000 4,000 4,000 4,000 0.0% 0.0% Zoning Fees I,63I 200 1,500 I,500 650.0% 0.0% Project Management 27,381 0 0 0.0% 0.0% Admin.-SMIC 96,004 97,540 98,710 99,895 1.2% 1.2% Admin.-Harbor 359,680 365,435 369,820 374,258 1.2% 1.2% Admin.-Parking 11,221 11,400 1 I,537 I I,675 1.2% 1.2% Admin.-Electric 938,293 953,306 964,745 976,322 1.2% 1.2% Admin.-Water 258,849 262,99I 266,I47 269,340 1.2% 1_2% Admin.-Sewer 158,077 160,606 162,S33 I64,483 1.2% 1.2% Admin.-Jail 9I,5I3 92,761 I 10,103 112,537 18.7% 2.2% Total General Government $I,955,653 $I,9S3,239 $I,996,095 $2,021,010 2.2% 1.2% Public Safety Animal Shelter Revenue 540 1,200 600 600 -50.0% 0.0% Misc.Police and Jail Revenue 2,I35 2,000 2,500 2,500 25.0% 0.0% Misc.Dispatching 10,000 10,000 10,000 I0,000 0.0% 0.0% Total Public Safety $12,675 $13,200 $13,I00 $13,100 -0.8% 0.0% Public Works Work Orders and Equip Rent 4,950 2,500 2,000 2,000 -20.0% 0.0% Total Public Works $4,950 $2,500 $2,000 $2,000 -20.0% 0.0% Parks&Recreation Public Use 832 2,500 I,300 I,300 -48.0% 0.0% Punchcards 7,365 8,000 8,000 8,000 0.0% 0.0% Class Registrations 39,717 45,000 42,000 43,000 -6.7% 2.4% Facility Rental 6,82I 2,500 6,000 6,600 140.0% 10.0% Tournaments 1,869 1,700 1,700 I,700 0.0% 0.0% Special Events 17,572 19,000 I9,I00 19,100 0.5% 0.0% Shower Fees 20,014 18,000 18,000 I8,500 0.0% 2.8% Rock Wall Climbing Fees 243 S00 250 250 -50.0% 0.0% Pavilion Fees 7,570 4,000 7,000 7,500 75.0% 7.1% Camping Fees,dry and tent 500,977 480,000 505,000 505,050 5.2% 0.0% Campground Utility Sites 338,077 328,000 330,000 372,750 0.6% 13.0% Dump Station Fee I7,0I8 14,000 I6,000 I6,000 14.3% 0.0% Miscellaneous Revenue 243 500 600 600 20.0% 0.0% Cemetery Plot Fees 1,869 0 500 500 100.0% 0.0% Total Parks&Recreation $960,187 $923,700 $955,450 $I,000,850 3.4% 4.8% 13 GENERAL FUND Budgeted Revenue Detail For 2020 and 202I 20I8 20I9 2020 202I 20I9-2020 2020-202I Account Name Actual Budget Budget Budget %Change %Change Library Service Revenue I4,340 9,500 I5,000 I5,000 57.9% 0.0% Circulation Revenue 3,986 4,000 4,000 4,000 0.0% 0.0% Museum Revenue I0,3I8 I8,000 I2,000 I2,000 -33.3% 0.0% Total Library $28,644 $3I,500 $3I,000 $3I,000 -I.6% 0.0% Rents&Leases Land Rent&Lease 43,800 34,800 4I,900 42,500 20.4% 1.4% Jail Facility Rent 30,000 30,000 30,000 30,000 0.0% 0.0°% Municipal Building Rent I09,022 60,000 42,826 43,47I -28.6% I.5% Total Rents&Leases I82,822 I24,800 II4,726 II5,97I -8.I% I.I% Total Charges for Services $3,I44,93I $3,048,939 $3,II2,37I $3,I83,93I 2.1% 2.3% FINES AND BAILS: I4,3I7 I7,000 I7,000 I7,000 0.0% 0.0% PENALTIES&INTEREST: Investments 85,668 70,000 70,000 70,000 0.0% 0.0% Customer Penalties&Interest I,579 I,000 1,500 I,500 50.0% 0.0% Total Penalties and Interest $87,247 $7I,000 $7I,500 $7I,500 0.7% 0.0% MISCELLANEOUS: Sales of Surplus Equipment 4,9I0 0 0 0 0.0% 0.0% Franchise Fee-Refuse I7,660 17,S00 I7,500 I7,500 0.0% 0.0% City Clerk Fees 2I3 300 0 0 -I00.0% 0.0% Insurance Recovery/Rebate 37,S24 0 0 0 0.0% 0.0% Vending Machine Fees 600 0 0 0 0.0% 0.0% Other Miscellaneous I36,369 0 0 0 0.0% 0.0% Total Miscellaneous $I97,276 $I7,800 $I7,500 $I7,500 -I.7% 0.0% Total General Fund Revenue $I2,204,239 $II,466,435 $II,75I,4I7 $II,932,I05 2.5% 1.5% 14 City of Seward General Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Actual YTD Budget Budget %Chg Budget tevenues 11000 4000 Tax Revenue-Sales 5,004,992 5,160,344 5,326,437 3,694,670 5,350,000 5,435,000 1.59 5,486,000 11000 4010 Tax Revenue-Real Property 781,570 828,515 1,037,745 801,350 1,020,000 1,045,425 2.49 1,050,000 11000 4011 Tax Revenue-Personal Property 328,991 320,445 351,968 356,423 340,000 405,000 19.12 408,000 11000 4012 Tax Revenue-Motor vehicle 22,894 23,015 23,701 16,983 25,000 24,000 (4.00) 24,000 11000 4013 Tax Revenue-Oil Property 18,762 41,652 50,947 26,899 0 0 0.00 0 11000 4020 Hotel/Motel Room Tax 505,845 520,907 556,065 450,362 515,000 556,000 7.96 585,200 11000 4030 Payments in Lieu of Tax 98,782 107,157 105,787 115,860 90,000 125,000 38.89 130,000 11000 4031 Contra Payments in Lieu of Tax (8,400) 0 (32,580) (43,440) (43,440) (62,500) 43.88 (78,000) 11000 4040 Penalties and Interest on Taxes 2,506 1,170 1,699 3,827 1,500 1,500 0.00 1,500 11000 4100 Building Permits 55,367 32,630 40,427 93,424 40,000 40,800 2.00 41,600 )10004101 Permits-Taxi 1,220 1,126 1,037 1,223 1,200 1,100 (8.33) 1,100 )1000 4102 DMV-Drivers License 21,353 18,908 15,818 25,635 16,000 19,000 18.75 19,000 11000 4103 DMV-Motor Vehicles 61,551 50,388 60,985 62,785 57,000 58,000 1.75 58,000 11000 4104 Animal Control Licenses 105 145 90 190 250 200 (20.00) 200 110004105 Business License 16,750 19,795 22,510 14,370 21,000 21,000 0.00 21,000 11000 4106 License and Permits-Misc 1,828 2,698 3,596 3,676 2,000 3,500 75.00 3,500 11000 4107 Inspection Fees 0 0 0 3,506 0 0 0.00 0 )1000 4200 Revenue Sharing 143,461 140,976 123,423 111,593 0 0 0.00 0 11000 4201 PERS On-Behalf payments by SOA 176,545 142,880 0 0 0 0 0.00 0 11000 4202 Jail Contract 368,952 368,952 368,952 276,714 350,000 350,000 0.00 350,000 11000 4203 Dispatch Contract w/State of AK 36,000 36,000 36,000 27,000 36,000 36,000 0.00 36,000 11000 4204 KPB 911 Dispatch 52,560 52,800 52,800 26,400 52,560 52,800 0.46 52,800 11000 4205 Alaska Liquor Tax 15,950 18,450 15,950 20,050 19,000 16,000 (15.79) 20,000 11000 4206 Alaska Raw Fish Tax 280,935 440,958 456,144 350,482 410,000 400,000 (2.44) 420,000 11000 4207 Fisheries Resource Landing Tax 2,707 5,381 2,477 2,006 4,000 2,500 (37.50) 2,500 11000 4208 Alaska Marijuana Tax 0 0 500 300 0 0 0.00 0 11000 4251 Grant Revenue-Federal Grants 8,988 9,471 41,373 3,918 2,668 2,721 2.01 2,774 11000 4252 Grant Revenue-State Grants 6,900 13,000 80,100 7,000 0 0 0.00 7,000 11000 4253 Grant Revenue-Misc Grants 0 750 16,517 6,032 1,958 0 (100.00) 0 11000 4300 Admin.Exp.-Jail 97,097 99,951 91,513 77,301 92,761 110,103 18.70 112,537 11000 4301 Admin Exp.-Harbor 340,606 348,780 359,680 304,529 365,435 369,820 1.20 374,258 11000 4302 Admin.Exp.-SMIC 90,913 93,095 96,004 81,283 97,540 98,710 1.20 99,895 11000 4303 Admin.Exp.-Parking Fund 10,188 10,432 11,221 9,500 11,400 11,537 1.20 11,675 11000 4304 Admin.Exp.-Electric 888,535 909,860 938,293 794,422 953,306 964,745 1.20 976,322 11000 4305 Admin.Exp.-Water 245,122 251,004 258,849 219,159 262,991 266,147 1.20 269,340 11000 4306 Admin.Exp.-Sewer 149,694 153,287 158,077 133,838 160,606 162,533 1.20 164,483 11000 4307 Copying Fees 8,116 7,377 9,004 3,635 5,000 7,000 40.00 7,000 11000 4308 Sales Tax Credit 4,000 5,000 4,000 4,000 4,000 4,000 0.00 4,000 11000 4309 Zoning Fees 794 514 1,631 3,250 200 1,500 650.00 1,500 11000 4310 Project Management 0 0 27,381 0 0 0 0.00 0 11000 4311 Zoning Fees 0 7 0 234 0 0 0.00 0 11000 4320 Misc Dog Fees 1,075 742 540 1,009 1,200 600 (50.00) 600 11000 4322 Miscellaneous Dispatching 10,000 10,000 10,000 8,333 10,000 10,000 0.00 10,000 11000 4323 Miscellaneous Police Fees 2,389 2,500 2,135 3,186 2,000 2,500 25.00 2,500 11000 4330 Street Work Orders 0 0 1,136 0 0 0 0.00 0 11000 4331 Shop Work Orders 2,221 4,935 3,244 2,059 2,500 2,000 (20.00) 2,000 11000 4332 GF Equipment Rental 0 0 570 0 0 0 0.00 0 11000 4340 P&R:Public Use Fees 1,948 593 832 3,482 2,500 1,300 (48.00) 1,300 11000 4341 P&R:Punchard Fees 4,309 9,458 7,365 3,403 8,000 8,000 0.00 8,000 11000 4342 P&R:Class Registrations 44,228 41,034 39,717 50,942 45,000 42,000 (6.67) 43,000 11000 4343 P&R:Facility Rental 2,677 3,312 6,821 8,229 2,500 6,000 140.00 6,600 11000 4344 P&R:Tournaments 1,262 2,407 1,869 205 1,700 1,700 0,00 1,700 110004345 P&R:Special Events 18,060 18,161 17,572 20,002 19,000 19,100 0.53 19,100 11000 4347 P&R:Shower Fees 16,793 14,951 20,014 21,222 18,000 18,000 0.00 18,500 11000 4348 P&R:Rock Wall Fees 67 416 243 242 500 250 (50.00) 250 11000 4349 P&R:Pavilion Fees 3,955 4,823 7,570 10,474 4,000 7,000 75.00 7,500 110004350 P&R:Camping Fees 461,663 476,061 500,977 535,178 480,000 505,000 5.21 505,050 11000 4351 P&R:Camping w/Utilities 343,472 326,597 338,077 345,794 328,000 330,000 0.61 372,750 11000 4352 P&R:RV Dump Station 15,225 16,386 17,018 15,173 14,000 16,000 14.29 16,000 15 City of Seward General Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Actual YTD Budget Budget %Chg Budget 11000 4353 P&R:Misc Revenue 312 119 243 999 500 600 20.00 600 11000 4354 P&R:Work Orders 6,974 1,376 0 0 0 0 0.00 0 11000 4356 P&R:Cemetery Plot Fees 0 0 1,869 500 0 500 0.00 500 11000 4370 Library Service Revenue 9,427 11,340 14,340 11,179 9,500 15,000 57.89 15,000 11000 4371 Library Circulation Revenue 2,812 3,130 3,986 2,788 4,000 4,000 0.00 4,000 11000 4372 Museum Revenue 310 0 0 0 0 0 0.00 0 11000 4373 Museum Admissions 12,650 10,624 10,318 10,636 18,000 12,000 (33.33) 12,000 11000 4380 Land Rents&Leases 49,866 50,800 43,800 34,400 34,800 41,900 20.40 42,500 11000 4382 Jail Facility Rental 30,000 30,000 30,000 25,000 30,000 30,000 0.00 30,000 11000 4383 Municipal Building Rent 54,220 49,850 109,022 42,611 60,000 42,826 (28.62) 43,471 11000 4400 Fines and Bails 18,365 17,006 14,317 7,824 17,000 17,000 0.00 17,000 11000 4500 GF Interest on Investments 9,534 63,304 85,668 375,399 70,000 70,000 0.00 70,000 11000 4501 GF Penalties&Interest 820 1,755 1,571 1,478 1,000 1,500 50.00 1,500 11000 4503 GF Misc Interest Revenue 0 0 8 0 0 0 0.00 0 11000 4610 Surplus Sales 0 606 4,910 90 0 0 0.00 0 110004611 Gravel Sales 0 1,782 0 0 0 0 0.00 0 0000 4620 Franchise-Fee-Refuse 18,790 23,660 1-7,660 22,502 17,500 17,500 0.00 17,500 11000 4630 City Clerk Fees 703 406 213 120 300 0 (100.00) 0 11000 4631 Collection of Doubtful Acconts 0 0 0 50 0 0 0.00 0 11000 4632 Insurance Recovery/Rebate 45,668 35,172 37,524 0 0 0 0.00 0 11000 4633 Vending Machine Fees 0 1,200 600 600 0 0 0.00 0 11000 4639 Misc Service Fees 6,464 314 8,212 3,123 0 0 0.00 0 11000 4700 Other Financing Sources 0 0 0 0 0 0 0.00 0 11000 5899 Miscellaneous Revenue 851 0 122,341 773 0 0 0.00 0 11000 5911 Unrealized gain on FV of Investments 0 0 5,816 0 0 0 0.00 0 -otal Revenues $11,039,289 $11,472,640 $12,204,239 $9,659,394 $11,466,435 $11,751,417 $ 2.49 $11,932,105 16 GENERAL FUND Budgeted Expenditure Totals by Department For 2020 and 2O2I 2018 2019 2020 2021 2019-2020 2020-2021 DEPARTMENT Actual Budget Budget Budget %Chg %Chg General Government: Mayor/Council 39I,037 399,S5I 409,376 386,876 2.5% -5.5% City Clerk 264,630 352,025 281,317 292,92I -20.I% 4.1% Legislative 25,360 38,896 62,002 72,076 59.4% 16.2% Legal 252,293 80,000 80,000 80,000 0.0% 0.0% City Manager 387,057 508,884 438,444 449,565 -13.8% 2.5% Community Development 259,886 297,709 337,89I 3I7,7I5 13.5% -6.0% Management Information Systems 355,577 372,328 399,087 390,235 7.2% -2.2% Finance 994,I8I I,063,022 9II,928 948,986 -14.2% 4.1% General Services S3,8S6 -52,950 IO2,S00 I08,200 -293.6% S.6% Contributions 352,923 368,354 378,032 383,032 2.6% 1.3% Total General Government $3,336,800 $3,427,8I9 $3,400,577 $3,429,606 -0.8% 0.9% Public Safety: Police 2,I40,733 2,270,811 2,342,I83 2,394,307 3.1% 2.2% Jail 627,320 707,395 826,215 849,2II 16.8% 2.8% Animal Control 128,220 I40,045 157,34I I63,169 12.4% 3.7% Fire 635,267 704,014 760,843 778,838 8.1% 2.4% Building Inspection I4I,742 I56,642 I65,049 I69,252 5.4% 2.5% Total Public Safety $3,673,282 $3,978,907 $4,25I,63I $4,354,777 6.9% 2.4% Public Works: Roads and Streets 729,666 822,585 934,493 951,602 13.6% 1.8% City Shop 372,000 367,007 259,02I 26I,294 -29.4% 0.9% Municipal Buildings 29I,058 339,I90 26I,363 264,765 -22.9% 1.3% Total Public Works $I,392,724 $I,528,782 $I,454,877 $I,477,66I -4.8% 1.6% Parks and Recreation Sports and Recreation 288,I8I 348,293 354,63I 37I,558 1.8% 4.8% Teen and Youth Center 374,322 400,828 428,547 440,571 6.9% 2.8% Campgrounds and Parks 809,359 810,646 874,657 9S2,4I2 7.9% 8 9% Total Parks&Recreation $I,47I,863 $I,559,768 $I,657,835 $I,764,54I 6.3% 6.4% Library $570,073 $679,996 $675,544 $69I,950 -0.7% 2.4% Debt Service $92I,285 $I,I59,935 $I,I84,038 $I,I84,5I4 2.1% 0.0% TOTALS: $II,366,027 $I2,335,207 $I2,624,502 $I2,903,049 2.3% 2.2% City of Seward General Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Thru 9130 Budget Budget %Cho Budaet Personnel Costs: 6000 Salaries 3,628,522 3,775,197 3,767,546 3,024,405 4,285,371 4,193,479 (2,14) 4,259,458 6001Overtime 172,311 243,195 269,425 216,804 20,000 183,858 819.29 186,219 6002 Standby Time 7,925 8,247 6,308 7,884 0 7,969 0.00 8,093 6009 Personnel Vacancy Factor 0 0 0 0 (150,000) 0 (100.00) 0 6100 Medicare 82,959 91,137 92,832 82,216 83,189 91,537 10.03 93,880 6101 Unemployment Insurance 20,773 15,866 14,823 2,973 4,100 14,900 263.41 16,900 6102 Workers'Compensation 188,590 215,686 216,788 172,333 227,463 239,207 5.16 244,901 6200 Leave Time 362,448 405,735 383,283 277,228 423,372 389,935 (7.90) 410,260 6201 Retirement Benefits 996,865 1,005,409 860,659 655,948 968,049 952,105 (1.65) 956,767 6202 Health Insurance 1,608,440 1,670,665 1,772,625 1,559,778 2,171,280 2,077,406 (4.32) 2,238,759 6203 In Lieu of FICA 2,785 0 0 0 1,975 0 (100.00) 0 6209 PERS DC Forfeitures 0 0 (54,917) (29,321) 30,000 0 100.00 0 Total Personnel Costs: $ 7,071,618 $ 7,431,137 $7,329,372 $ 5,970,248 $ 8,004,799 $ 8,150,396 $ 1.82 $ 8,415,237 Non-Personnel Costs: 7000 Audit 102,980 105,995 111,295 115,755 114,634 115,000 0.32 115,000 7001 Communicatlons 129,401 111,230 117,665 95,841 119,859 109,537 (8,61) 117,173 7002 Postage and Freight 19,939 35,218 24,712 26,208 42,008 36,517 (13.07) 37,971 7003 Banking&Credit Card Fees 27,748 25,827 28,695 30,131 48,500 47,600 (1.86) 52,600 7004Insurance 232,214 214,739 229,033 261,099 241,494 244,360 1.19 252,943 7006 Legal 64,888 84,444 250,089 136,293 80,000 80,000 0.00 80,000 7008 CY Legal Recovery 0 0 (882) 0 0 0 0.00 0 7009 Contracted Services 261,137 222,839 321,099 294,836 406,399 309,550 (23.83) 338,033 7010 Engineering 0 0 0 13,409 28,000 45,000 60.71 40,000 7011 Testing 7,598 9,803 6,089 1,811 6,500 6,952 6.95 6,954 7012 Other Special Services 33,777 32,477 37,214 29,093 32,300 31,900 (1.24) 32,300 7013 State Lobbying Fees 84,504 84,504 84,504 71,420 87,000 90,000 3.45 90,000 7014 Federal Lobbying Fees 92,004 92,004 92,004 76,670 95,000 95,000 0.00 95,000 7015 Utilities 498,262 528,136 550,360 460,227 583,989 581,501 (0.43) 589,807 7016 Heating Fuel 46,850 58,420 53,873 35,825 68,639 62,516 (8.92) 62,193 7017 Rents&Leases 63,054 106,190 85,330 68,724 110,400 104,500 (5.34) 104,600 7201 Library Books 9,434 11,187 9,780 4,055 10,000 10,000 0.00 10,000 7202 Library Periodicals 2,118 2,297 1,850 2,747 3,000 3,000 0.00 3,000 7203 Library Standing Orders 0 306 941 1,822 4,000 4,000 0.00 4,000 7204 Library Non-Print 7,308 6,249 3,569 2,943 4,000 4,000 0.00 4,000 7205 Library Electronic Materials 1,930 0 0 1,750 4,500 4,500 0.00 4,500 7208 Museum Collection Supplies 568 1,496 2,028 480 1,200 1,200 0.00 1,200 7210 Vehicle Supplies 6,549 5,714 4,370 3,170 6,658 7,441 11.76 7,524 7211 Gas&Lube 65,437 95,450 82,703 47,737 98,959 98,268 (0,70) 98,730 7212 Uniform Allowance 10,060 8,767 9,422 9,822 13,823 15,000 8.51 14,519 7213 Safety Equipment 9,937 12,632 7,262 11,352 13,000 11,050 (15.00) 13,900 7214 Janitorial Supplies 16,748 14,945 15,894 5,923 16,958 17,500 3.20 16,350 7215 Operating Supplies 384,867 365,301 331,486 268,943 323,197 328,549 1.66 330,434 7216 Maintenance&Repair 167,449 189,168 172,792 111,797 212,202 228,600 7.73 224,097 7217 Small Tools&Equipment 72,746 51,595 73,856 38,717 85,744 134,336 56.67 102,929 7218 Inmate Meals 10,061 8,628 5,635 5,929 10,000 9,000 (10.00) 9,000 7300Advertising 44,612 65,342 28,982 21,367 42,762 37,868 (11.44) 38,024 7301 Subscriptions&Dues 35,172 28,187 33,036 22,733 40,036 51,476 28.57 40,332 7302 Travel&Subsistence 102,530 110,617 130,338 90,329 128,420 116,915 (8.96) 118,872 7303 Education&Training 35,060 18,922 37,652 22,387 75,951 70,801 (6,78) 65,014 7304 Equipment Rent 28,118 34,052 16,182 148 39,870 40,253 0.96 37,836 7307 GF Administrative Fee 97,097 99,951 91,513 77,301 92,761 110,103 18.70 112,537 7800 Sister City Program 3,725 4,147 22,206 4,497 4,500 6,250 38.89 6,250 7801 Contributions to Chamber 210,991 229,302 252,923 260,454 260,454 278,032 6.75 278,032 7802 Contributions to Senior Citizens 75,000 75,000 75,000 75,000 82,900 75,000 (9.53) 80,000 7803 Contributions to B&G Club 25,000 25,000 25,000 25,000 25,000 25,000 0.00 25,000 7804 Elections 1,591 1,269 3,249 2,993 7,000 4,000 (42.86) 4,000 7805 Promotion 4,936 2,070 6,704 11,049 11,000 10,000 (9.09) 10,000 7806 Volunteer Fireman Stipend 20,000 20,000 34,000 39,667 38,000 38,000 0.00 38,000 18 City of Seward General Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Thru 9/30 Budget Budget %Chg Budget 7807 Contingency 2,500 5,000 2,500 2,629 7,000 6,000 (14.29) 6,000 7808 Bad Debt Expense 1,202 98 0 0 0 0 0.00 0 7810 Miscellaneous Expense 72,728 22,256 11,267 8,881 22,400 25,700 14.73 25,700 7811 Miscellaneous Programs 0 28 0 0 0 0 0.00 0 8012 Debt Service Interest Expense 151,550 204,993 253,756 244,106 244,106 234,581 (3.90) 223,456 8102 Buildings 0 0 21,360 4,140 0 0 0.00 0 8103 Capital Equipment 50,606 14,178 78,326 39,541 15,500 2,750 (82.26) 5,000 8104 Motor Pool Rent 0 0 0 0 0 285,000 0.00 285,000 8300 Debt Service Principal 95,000 100,000 200,000 210,000 320,784 220,000 (31.42) 230,000 Total Non-Personnel Costs; $ 3,486,986 $ 3,545,973 $4,036,662 $3,396,751 $4,330,407 $4,474,106 $ 3.32 $4,487,810 Total Expenditures $ 10,558,604 $10,977,110 $11,366,034 $9,366,999 $12,335,206 $12,624,502 $ 2.35 $12,903,047 19 v D O 0 m O N m O S � Q n] Vt N (/n Q w W 1 com ED 0 \ �' m cu O \ �. c cn o c o n O- c o Un rD n (D n m o' n 3 Q 0_ n G) rD rD G) 3 rD 6 0 O 15 o O v (D (D N CT Q O Q O 7 7 7 7 rD Q rD Q X (D 0- rD 0- CT v v cu fv N IV rD W 70 OU O O rv+ O O \ tD cu N o � Q o rD Q v (D (D N n rrt O r1+ ram+ NO �- I--� �I N N cu " 00 N N D) fV 4�- O (D In J O E W O 01 al 00 O O) O O Cn Oo to Oo I ' =3 -N (n lD to lD I + :3 00 W zr�l O O \ n N W O0 U t l! \ (� lu N (D N (D 00 00 O O O 0) 00 00 O O O !a W ri F O O V ri I(n lo O 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W NJ NJ N N lD N N O * O O O * O O IV W W N W W lD v Ql to J m GENERAL FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out TRANSFERS FROM OTHER FUNDS: Small Boat Harbor Enterprise Fund: One-half of land rents and leases 167,872 167,872 Federal and State lobbying 17,920 17,920 Payment-in-Lieu-of-Tax 192,236 191,000 Seward Marine Industrial Center Enterprise Fund: One-half of land rents and leases 89,873 89,873 Payment-in-Lieu-of-Tax 26,156 27,136 Parking Enterprise Fund Payment-in-Lieu-of-Tax 28,056 28,056 Electric Enterprise Fund: Federal and State lobbying 40,319 40,319 Payment-in-Lieu-of-Tax 942,894 954,075 Electric line general operating permit fee 300,000 300,000 Water Enterprise Fund: Federal and State lobbying 5,973 5,973 Payment-In-Lieu-of-Tax 110,000 111,382 Wastewater Enterprise Fund: Federal and State lobbying 5,973 5,973 Payment-in-Lieu-of-Tax 96,880 98,072 Commercial Vessel Tax Fund: For SVAC ambulance service to cruise ships 20,000 20,000 For Fire service to cruise ships 20,000 20,000 For GF services to cruise ships;police security,museum movie,etc. 50,000 50,000 TOTAL TRANSFERS IN: $2,114,152 $2,127,651 TRANSFERS TO OTHER FUNDS: Hospital Debt Service Fund 1,337,500 1,337,500 SMIC Enterprise Fund-cash deficit 42,492 60,143 Electric Enterprise Fund-loan repayment (a) 0 0 Sewer Enterprise Fund-RV dump 16,000 16,000 ASLC Utility Subsidy to Electric(50%of PILT 2020;60%of PILT 2021) (b) 0 0 Capital Acquisition Fund (equal to State Revenue Sharing) 0 0 TOTAL TRANSFERS OUT: $1,395,992 $1,413,643 NET TRANSFERS: $718,160 $714,008 21 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-099 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE ELECTRIC ENTERPRISE FUND BIENNIAL OPERATING BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the 2020 budget includes a rate increase of 1.2% to all rate classes, representing the five-year average CPI, and the 2021 budget includes a rate increase of 1.2% representing the five-year average CPI; and WHEREAS, the budget includes proposed increases to the Alaska SeaLife Center special electrical contract rate, which shall come before the Seward City Council for approval via a separate resolution. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Electric Enterprise Fund budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December. 22 ELECTRIC ENTERPRISE FUND Budgeted Statement of Revenues and Expenses And Change in Net Position For Fiscal Years 2020 and 202I 20I8 20I9 2020 202I Actual# Budget Budget Budget Operating revenue: Sales: Residential 3,283,7I5 3,32I,034 3,220,5II 3,358,883 Small General Service I,745,758 I,7I7,202 I,737,809 I,758,4I5 Large General Service 4,I42,930 4,634,080 4,689,689 4,745,298 Harbor Power Sales 366,385 420,000 39I,320 397,640 Industrial Sales/Special Contracts I,260,I36 I,405,I06 I,42I,968 I,438,829 Street&Yard Lights 75,993 74,000 74,888 75,776 Miscellaneous I05,I28 76,000 75,900 76,800 Total operating revenue: $10,980,04S $11,647,422 $11,612,085 I I,85I;54I Operating expense: Before depreciation: Salaries and Benefits 1,7I9,944 I,849,980 I,757,466 I,807,476 Work order charges(salaries) (47,340) (60,000) (70,000) (70,000) Purchased services 845,887 911,210 899,7I4 906,907 Power for resale 5,250,I47 5,258,944 5,574,042 5,385,I59 Supplies &maintenance 35I,620 353,500 372,232 376,924 Work order charges(supplies) (36,960) (30,000) (40,000) (40,000) General&Administrative I,4I7,I07 I,I90,906 I,I74,236 I,I88,527 Total operating expense: $9,500,40S $9,474,540 $9,667,690 9,554,993 Operating income before depreciation I,479,640 2,I72,882 I,944,395 2,296,648 Depreciation I,63I,726 1,55I,440 I,585,249 I,606,83I Earnings from operations - I52,086 $621,442 $359,146 $689,817 Non-operating revenue(expense) Interest income 113,956 57,000 70,000 70,000 Interest expense (I84,242) (202,303) (194,067) (I85,582) Other revenue(expense) 42,759 - 800 800 Total non-operating revenues(expenses) (27,527) (I45,303) (I23,267) (114,782) Earnings before contributions and transfers -$I79,6I3 $476,I39 $235,879 $575,035 Capital contributions and special items 87,297 0 0 0 Transfers(to)/from other funds (I,3I7,770) (I,272,I I3) (I,283,2I3) (I,294,394) Change in net position (I,4I0,086) (795,974) (I,047,334) (7I9,359) Beginning net position $28,654,835 $27,244,749 $26,448,775 $25,40I,44I Ending net position $27,244,749 * $26,448,775 $25,40I,44I $24,682,082 lies to annual Comprehensive Annual Financial Report Of total depreciation expense,the following amounts were attributable to capital assets funded with capital contributions: (a)$990,369 or 6I%;(b) $964,3I5 or 63%;(c)$975,887 or 62%;(d)$975,887 or 6I% 23 City of Seward Electric Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Chg Budget 5000 5300 Residential 1,952,352 2,072,006 1,517,626 1,417,621 1,394,769 1,411,506 1.20 1,428,243 5000 5302 Residential fuel factor 818,728 1,068,739 1,247,069 1,161,548 1,423,604 1,300,312 (8.66) 1,415,915 5000 5303 Residential customer charge 491,087 503,864 519,020 354,388 502,661 508,693 1.20 514,725 5000 5310 SG Service 1,087,722 1,105,833 862,705 823,761 870,384 880,829 1.20 891,273 5000 5312 SG fuel factor 408,643 520,371 631,499 624,564 621,648 629,108 1.20 636,568 5000 5313 SG Customer Charge 215,252 226,855 241,554 170,391 225,170 227,872 1.20 230,574 5000 5320 LG Service 1,930,492 1,916,749 1,091,555 1,187,054 1,358,664 1,374,968 1.20 1,391,272 5000 5322 LG fuel factor 1,184,352 1,436,201 1,688,124 1,622,224 1,808,242 1,829,941 1.20 1,851,640 5000 5323 LG customer charge 44,673 46,327 47,062 31,095 45,802 46,352 1.20 46,901 5000 5324 LG demand charge 1,390,664 1,384,044 1,316,334 1,011,552 1,421,372 1,438,428 1.20 1,455,485 5000 5326 Alternate Energy (505) 0 (145) 0 0 5000 5340 Spec.Contract Energy 177,930 285,470 347,979 433,459 486,240 492,075 11.20 497,910 5000 5342 Special Contract fuel factor 402,817 547,322 493,290 387,965 493,974 499,902 1.20 505,829 5000 5343 Spec.Contract customer charge 988 1,010 1,290 1,048 1,064 1,077 1.22 1,090 5000 5345 Special Contract Demand 411,577 439,898 417,577 315,997 423,828 428,914 1.20 434,000 5000 5350 Harbor Fund Power Sales 308,848 276,617 212,669 140,438 310,000 280,000 (9.68) 285,000 5000 5352 Harbor power fuel factor 108,693 117,926 153,716 112,634 110,000 111,320 1.20 112,640 5000 5360 Street&Yard 65,660 65,522 70,096 59,823 70,000 70,840 1.20 71,680 5000 5362 Yard Light Fuel 3,862 4,646 5,897 4,894 4,000 4,048 1.20 4,096 5000 5801 Turn on Fees 19,776 17,833 27,779 21,224 20,000 20,240 1.20 20,480 5000 5802 Equipment Rental 19,660 47,189 11,893 0 20,000 20,240 1.20 20,480 5000 5803 Joint Pole Use 9,984 10,152 10,776 0 10,000 10,120 1.20 10,240 5000 5804 Work Order Revenue 36,159 21,021 21,865 (430) 20,000 20,240 1.20 20,480 5000 5805 Chugach Coop Divid. 251,370 92,359 23,616 281,043 0 5000 5890 Collection of Doubtful Accounts 1,400 0 0 0.00 0 868 129 1,000 800 (20.00) 800 5000 5899 Miscellaneous Revenue 5,880 0 9,199 26,749 5,000 5,060 1.20 5,120 5000 5901 EF Investment Interest 6,074 69,101 86,204 138,189 7,000 30,000 328.57 30,000 5000 5905 EF Penalties and Interest 50,585 48,333 27,752 35,675 50,000 40,000 (20.00) 40,000 5000 5919 Contra PERS On-Behalf paid by SOA (2,463) 4,931 0 0 0 5000 5920 PERS On-Behalf paid by SOA 39,731 28,811 0 0.00 0 (5 5000 5923 Spec.Proj.Other Rev. 0 47 ,58 5,914 0 0 0 0 0.00 0 0 0 0 0 0.00 0 5000 5940 Amort.of CIA-General 775,741 981,212 990,369 817,890 964,315 975,887 1.20 975,887 5000 5941 Amort.Bond Premium 13,834 13,834 13,834 0 13,834 14,000 1.20 5000 5990 Surplus Sales 200 0 .20 14,000 0 0 0 0 1 0 otal Revenues $12,231,764 $13,830,090 $12,083,489 $11,180,925 $12,682,571 $12,672,772 $ (0.08) $12,912,328 24 City of Seward Electric Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Bud et Budget %Cho Bud et 6000 Salaries 761,684 835,591 827,109 666,231 967,539 893,050 (7.70) 910,172 6001Overtime 94,481 247,895 146,001 101,612 66,881 61,252 (8.42) 62,958 6002 Standby Time 93,334 94,183 95,317 82,470 96,353 97,951 1.66 100,626 6100 Medicare 19,048 23,444 18,629 14,115 17,239 15,975 (7.33) 16,345 6101 Unemployment Insurance 594 7,968 6,886 0 0 0 0.00 0 6102 Workers'Compensation 66,222 112,723 78,867 62,579 84,648 81,749 (3.42) 84,001 6200 Leave Time 80,079 87,340 87,516 72,468 103,235 98,982 (4.12) 106,860 6201 Retirement Benefits 572,776 121,169 199,011 155,754 184,062 206,218 12.04 210,420 6202 Health Insurance 249,539 262,752 260,158 224,149 301,823 281,352 (6.78) 298,872 6204 Meal Allowance 10,172 14,257 6,353 4,211 7,200 7,286 1.19 7,373 6205 Electric Union Benefits 9,828 18,455 1,868 2,135 21,000 21,252 1.20 21,504 6209 PERS DC Forfeitures 0 0 (7,771) 3,023 0 0 0.00 0 Total Personnel Costs: $ 1,957,757 $ 1,825,777 $ 1,719,944 $ 1,382,701 $ 1,849,980 $ 1,765,067 $ (4.59) $ 1,819,131 Non-Personnel Costs: 7001 Communications 17,068 27,074 19,986 16,302 21,500 21,758 1.20 22,016 7002 Postage and Freight 13,448 21,565 14,078 12,785 23,000 19,692 (14.38) 19,884 7003 Bank and Credit Card Fees 59,292 68,867 77,500 72,017 90,760 91,849 1.20 92,938 7004Insurance 59,109 58,682 64,797 74,422 65,000 65,780 1.20 66,560 7006 Legal 63,368 21,889 13,745 33,702 60,000 50,540 (15.77) 51,080 7007 Legal Settlement 852 0 0 0 0 0 0.00 0 7009 Contracted Services 172,918 226,541 400,208 164,717 442,950 386,049 (12.85) 389,069 7010 Engineering 13,835 42,897 41,514 38,201 30,000 65,000 116.67 65,000 7011 Testing 1,755 4,812 4,609 1,153 500 1,000 100.00 1,000 7012 Other Special Services 21,792 16,059 13,851 10,315 15,000 15,000 0.00 15,360 7015 Utilities 124,586 159,066 144,238 135,404 121,500 141,554 16.51 142,016 7016 Heating Fuel 18,706 20,031 29,483 9,245 18,000 18,216 1.20 18,432 7017 Rents&Leases 21,605 17,633 21,877 23,286 23,000 23,276 1.20 23,552 7101 Chugach Power Purchases 2,165,628 2,163,292 1,890,465 1,784,251 2,246,484 2,273,442 1.20 2,300,400 7102 Power Fuel Costs 2,807,634 3,722,365 3,334,521 2,579,005 2,912,460 3,200,000 9.87 2,982,359 7103 Fuel for Generators 24,731 17,037 25,161 17,840 100,000 100,600 0.60 102,400 7210 Vehicle Supplies 33,301 21,105 12,059 22,067 10,000 10,120 1.20 10,240 7211 Gas&Lube 27,840 45,229 31,376 17,996 38,000 38,456 1.20 38,912 7212 Uniform Allowance 0 43 1,782 15,935 1,500 17,000 1,033.33 17,000 7213 Safety Equipment 4,358 10,605 7,944 13,469 6,000 5,560 (7.33) 5,620 7215 Operating Supplies 240,388 287,784 266,277 106,252 183,000 185,196 1.20 187,392 7216 Maintenance&Repair 22,757 44,506 19,439 15,575 90,000 95,720 6.36 97,160 7217 Small Tools&Equipment 41,198 18,838 12,742 22,416 25,000 25,180 0.72 25,600 7300Advertising 593 8,419 1,389 672 6,000 6,072 1.20 6,144 7301 Subscriptions&Dues 46,071 10,209 30,854 3,957 85,600 36,627 (57.21) 37,654 7302 Travel&Subsistence 21,758 28,340 37,332 16,055 28,000 48,096 71.77 48,192 7303 Education&Training 5,024 15,134 11,719 10,143 28,000 28,336 1.20 28,672 7304 Equipment Rent 2,552 32,164 5,037 30,127 25,000 35,180 40.72 35,360 7307 GF Administrative Fee 888,535 909,860 938,293 794,422 953,306 964,745 1.20 976,185 7330 P.I.L.T. 902,861 973,193 874,797 624,976 931,794 928,967 (0.30) 948,131 7331 Reclass PILT to Transfer-Out (902,861) (973,193) (874.797) (624,976) (931,794) (928,967) (0.30) (948,131) 7808 Bad Debt Expense 3,686 8,297 52,844 (172) 30,000 20,000 (33.33) 20,480 7810 Miscellaneous Expense 3,030 37,498 3,771 272 35,000 35,180 0.51 35,840 7900 Depreciation Expense 1,446,721 1,585,449 1,631,726 1,360,189 1,551,440 1,585,249 2.18 1,606,831 8010 Utility Deposit Interest 1,232 1,300 1,324 1,093 1,200 1,214 1.17 1,229 8011 Bonding Expense 73,458 41,137 0 0 0 0 0.00 0 8012 Debt Service Interest Expense 185,626 192,344 184,242 105,158 180,200 171,950 (4.58) 163,450 8013 Amortize Deferred Loss on 0 20,903 20,903 0 0 0 0.00 p Bonds 8014 Debt Service Amortization of 0 0 0 0 20,903 20,903 0.00 20,903 Bond Issue Costs 8101Infrastructure 0 0 0 58,800 140,000 140,240 0.17 143,360 8103 Capital Equipment 0 0 85,163 15,281 55,000 55,540 0.98 56,320 8104 Motor Pool Rent 291,600 175,000 270,000 225,000 270,000 360,000 33.33 276,480 25 City of Seward Electric Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Thru 9/30 Budget Budget %Chq Bu et d 8105 Improvements other than 0 0 3,450 0 0 0 Buildings 0.00 0 8200 Work Order Sal/Benefit credits (121,632) (200 428) (47,340) 0 (60,000 8201 Work Order Operating Supply (82.479) (62,987) (36,960 400 ) (40,000) 16.67 (70,000) credits ) (30,000) (40,000) 33.33 (40,000) 8300 Debt Service Principal 240,000 150,000 160,000 165,000 165,000 170,000 3.03 180,000 Total Non-Personnel Costs: $ 8,961,944 $ 9,968,559 $9,801,399 $ 7,972,752 $10,008,303 $10,420,320 Total Expenditures $ 4.12 $10,201,090 $ 10,919,701 $11,794,336 $11,521,343 $9,355,453 $11,858,283 $12,185,387 $ 2.76 $12,020,221 26 °_ -0 m D 0 m D 0 3 0 D N o � N o 00 0 v =* v =+ x O 0 v N (D 0 v N (D d rN-F cu rN-' N N N D, N N v � �+ (p O n H (D O n (D I--+ (D O < O) 3 <_ 0) 3 (D O 'p O � � (D O O � O 0- G) n O 0- G) n O :;a (D -Q" ,.' � (D 3 Z (D o o < Q 0 Q 0 a (D aq ^ oq coco X O O (D � Q Q Q (D Q G N D) N 00 P. 00 A (p O J (D O J N Cq O J O J N' D fD(D r-' fD ro N D O ,nt N 0 °�' °�' O m to �, 00 to F, m a m rn N 4 \, 2 rn N \ m o � o � Q N D 00 01 lMn N CD N NJ p � Cwn N (nD (7 110 -I NJ CD In w N 0 0 N n lV0 to N O A tD to O 1 ' 0 Z N N N N 00 n\ 00 �. V J D. fD .'G O 0 -0 0 O -0 Z > v v N 0 0 0 o n m 0 rD T N C rD cn \ V \ J N Q W N W ((D I--' 0) �` fD N N C Ln > 0 3 0 o N qj'� 0 0 O N C 0 N. W OW O o CD O O o M M W W 7 f 70 (D 4A 01 al (D Ol m (D u, � W o U ,ham O NJ W D, N O N v lD a) (D A A Gn lD lD a) F-' O In 01 N O Cn V �I w 0 I A W O a) 0 411- co 2 Q1 F-' A N N cu D W A w In W j N oo In oo n V W J Ol F, n V �I In In \ ID l0 0o Q) In \ lD V N In O lD W O w N 00 O V I In I rj O N N O OJ O OJ O of O m lD N \ 3 N \ 3 t O N * O N W O W O 00 00 2 CITY OF SEWARD ELECTRIC ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out TRANSFERS FROM OTHER FUNDS: General Fund - interfund loan repayment (a) General Fund for ASLC Utility Bill (b) TRANSFERS TO OTHER FUNDS: General Fund: Electric system permit fee $300,000 $300,000 Federal and state lobbying 40,319 40,319 Payments-in-Lieu-of-Tax 942,894 954,075 $0 $1,283,213 $0 $1,294,394 28 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-100 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE HARBOR ENTERPRISE FUND BIENNIAL OPERATING BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the 2020 budget includes a rate increase of 1.2% to all rates which are adjusted according to the five-year average CPI within the Harbor Tariff, and a rate increase of 1.2% for 2021 for those same rates, representing the five-year average CPI. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Harbor Enterprise Fund biennial budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of December. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 29 BOAT HARBOR ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Change in Net Position For Fiscal Year 2020 and 202I 20I8 20I9 2020 202I Actual Budget Budget Budget Operating revenue: Moorage I,765,856 I,730,000 I,750,000 I,746,000 Wharfage 77,252 48,000 48,000 48,500 Boat Lift Fees I00jS8 117,000 117,000 117,000 Power Sales 380,504 373,000 377,000 377,000 Passenger Transit Fee 564,I07 625,000 570,000 570,000 Launch Fees 40,963 54,250 54,250 50,500 Rents and Leases 395,097 364,7I5 335,744 335,743 Miscellaneous 7I,259 48,200 55,700 48,500 Total operating revenue $3,395,I96 $3,360,I65 $3,307,694 $3,293,243 Operating expense before depreciation: Salaries&Benefits I,070,689 I,I7I,064 I,334,998 I,347,922 Purchased Services 354,583 406,680 434,082 420,374 Power for Resale 262,389 307,000 3I0,000 307,000 Supplies and Maintenance 90,0I2 I45,500 I46,500 I52,350 General and Administrative 250,I I5 276,076 26I,064 282,232 Total operating expense: $2,027,788 $2,306,320 $2,486,644 $2,509,878 Operating income before depreciation I,367,408 I,053,845 82I,050 783,365 Depreciation I,790,078 I,4I8,309 2,376,678 2,368,893 Operating loss -$422,670 -$364,464 -$I,555,628 -$I,585,528 Non-operating revenue(expense) Interest,grants&other income 56,349 3I,200 3I,000 37,200 Interest& other expense -I9812I4 -208,093 458,468 434,I I6 Total non-operating revenue(expense) -I4I,865 -176,893 -I27,468 -96,9I6 Income(loss)before transfers -$564,535 -$54I,357 -$I,683,096 -$I,682,444 Transfers in 0 0 0 0 Capital contributions and special items 32,I6I 0 0 0 Transfers out -676,302 -389,370 -378,028 -376,792 Change in net position -$I,208,676 -$930,727 -$2,06I,I24 -$2,059,236 Beginning net position 37,527,27I 36,3I8,595 35,387,868 33,326,744 Ending net position $36,3I8,595 # $35,387,868 $33,3269744 $3I,267,508 * Ties to annual Comprehensive Annual Financial Report Of total depreciation expense,the following amounts were attributable to capital assets funded with capital contributions: (a) $I.I Million or 64%;(b) $974,557 or 69%,(c) $967554 or 4I%,( d) $974,557 or 42% 30 City of Seward Harbor Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Actual YTD Budget Budget %Chg Budget tevenues 1000 5000 Land Rents&Leases 388,020 397,253 395,097 391,088 394,715 398,990 1.08 398,990 1000 5001 Land Lease Credits l62,000) (28,816) 0 0 (30,000) (63,246) 110.82 (63,247i 1000 5100 Transient Moorage 566,895 596,005 624,516 485,628 580,000 587,000 1.21 586,000 10005101 Moorage 1,061,157 1,106,922 1,141,340 616,357 1,150,000 1,163,000 1.13 1,160,000 1000 5102 Wharfage 28,216 34,176 77,252 1,087 48,000 48,000 0.00 48,500 1000 5103 Boat Lift Fees 92,660 93,983 100,158 77,484 117,000 117,000 0.00 117,000 1000 5105 Harbor Power Sales 361,865 432,786 380,504 309,841 373,000 377,000 1.07 377,000 1000 5150 Shower Fees 15,833 17,318 14,909 14,321 12,000 12,000 0.00 12,000 1000 5153 Fuel Pumping Fee 23,115 39,826 37,714 13,721 21,000 28,000 33.33 21,000 1000 5154 Waiting List Fees 9,009 7,685 8,285 8,694 7,500 7,500 0.00 7,500 1000 5155 Towing Fees 893 1,654 1,365 683 900 900 0.00 900 1000 5156 Pumping Boats 126 315 189 126 300 300 0.00 300 1000 5157 North Harbor Launch Fee 28,130 32,521 30,893 4,608 33,750 33,750 0.00 30,000 1000 5158 South Harbor Launch Fee 18,428 19,182 10,070 1,776 20,500 20,500 0.00 20,500 1000 5800 Labor&Services 3,831 4,911 8,258 3,497 5,500 5,500 0.00 5,300 1000-5890 Collection of Doubtful Accounts 5,597 419 400 910 1,200 1,000 (16.67) 1,200 1000 5899 Miscellaneous Revenue 25,177 868 539 1,454 1,000 1,500 50.00 1,500 1000 5900 EF Interest Revenue 0 0 0 0 0 0 0.00 0 1000 5901 EF Investment Interest 3,634 25,895 51,697 75,031 20,000 20,000 0.00 20,000 1000 5905 EF Penalties and Interest 11,713 15,865 16,448 12,647 10,000 10,000 0.00 16,000 1000 5910 Gain on Sale of Fixed Assets 0 11,642 0 0 0 0 0.00 0 1000 5919 Contra PIERS On-behalf paid by SOA (1,605) 3,335 0 0 0 0 0.00 0 1000 5920 PERS On-behalf paid by SOA 25,884 19,488 (12,196) 0 0 0 0.00 0 1000 5940 Amortization of Contributions-in-Aid 1,064,165 1,148,929 1,136,677 812,132 974,557 967,554 (0.72) 974,557 1000 5941 Amortization of Bond Premiums 43,172 58,257 58,257 0 43,172 58,257 34.94 58,257 otal Revenues $ 3,713,915 $4,040,419 $4,082,372 $2,831,085 $ 3,784,094 $ 3,794,505 $ 0.28 $ 3,793,257 31 City of Seward Harbor Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Thru 9130 Budget Budget %Chg Budget Personnel Costs: 6000 Salaries 486,212 501,845 498,091 398,758 541,318 609,527 12.60 559,134 6001Overtime 21,628 33,027 28,176 16,799 40,893 50,116 22.55 40,103 6002 Standby Time 13,909 13,016 13,182 11,996 11,686 12,185 4.27 12,416 6100 Medicare 9,207 10,055 9,449 7,409 9,993 11,696 17.04 10,801 6101 Unemployment Insurance 16,163 33 1,532 4,126 500 5,000 900.00 4,000 6102 Workers'Compensation 45,634 47,497 36,955 28,130 37,600 40,554 7.86 40,617 6200 Leave Time 57,222 39,976 58,257 53,359 60,934 67,122 10.16 63,551 6201 Retirement Benefits 387,687 71,971 153,005 97,586 144,543 162,629 12.51 149,198 6202 Health Insurance 259,991 293,121 280,688 253,601 323,597 346,491 7.07 340,103 6209 PERS DC Forfeitures 0 0 (8,646; (4,293) 0 0 0.00 0 Total Personnel Costs: $ 1,297,653 $ 1,010,541 $ 1,070,689 $ 867,471 $ 1,171,064 $ 1,305,320 $ 11.46 $ 1,219,923 Non-Personnel Costs: 7001 Communications 10,892 14,843 12,748 11,917 11,500 13,020 13.22 13,260 7002 Postage and Freight 4,831 3,667 4,985 3,132 8,500 9,600 12.94 9,690 7003 Bank and Credit Card Fees 51,679 58,57-6 62,834 56,883 68,460 66,000 (3,59) 69,480 7004Insurance 86,376 86,042 93,052 100,860 82,700 83,756 1.28 83,946 7006 Legal 581 581 2,327 3,387 10,000 10,000 0.00 10,200 7008 CY Legal Recovery 0 0 r882t 0 0 0 0.00 0 7009 Contracted Services 51,185 59,669 55,902 49,632 96,400 115,246 19.55 96,206 7011 Testing 1,439 1,808 719 823 1,300 1,320 1.54 1,320 7015 Utilities 122,595 117,184 113,959 80,923 117,820 124,940 6.04 126,072 7016 Heating Fuel 6,707 5,269 8,939 5,512 10,000 10,200 2.00 10,200 7100 General Power for Resale 260,390 326,720 262,389 198,777 307,000 310,000 0.98 307,000 7210 Vehicle Supplies 0 0 0 119 0 0 0.00 0 7211 Gas&Lube 11,005 13,164 14,778 10,761 22,500 15,500 (31.11) 18,870 7212 Uniform Allowance 0 55 1,075 1,038 0 1,000 0.00 1,000 7213 Safety Equipment 8,578 6,625 6,312 7,209 7,500 6,500 (13.33) 7,650 7214 Janitorial Supplies 7,876 11,199 8,867 8,833 10,000 14,000 40.00 11,220 7215 Operating Supplies 25,109 19,292 14,970 17,602 36,000 33,000 (8.33) 36,720 7216 Maintenance&Repair 39,152 39,813 37,690 29,630 52,000 53,500 2,88 53,040 7217 Small Tools&Equipment 11,072 11,443 6,321 15,762 17,500 23,000 31.43 23,850 7300 Advertising 2,137 6,838 2,891 1,581 5,500 5,000 (9.09) 5,100 7301 Subscriptions&Dues 1,413 507 1,229 659 1,500 1,800 20.00 1,530 7302 Travel&Subsistence 9,204 13,778 9,138 11,694 10,000 11,500 15.00 10,200 7303 Education&Training 2,939 2,409 688 1,204 4,000 2,500 (37.50) 4,080 7304 Equipment Rent 1,780 1,780 1,330 0 2,000 2,000 0.00 2,040 7321 Harbor General Indirect Costs 424,384 479,381 468,251 368,614 442,336 508,136 14.88 517,800 7322 Harbor Admin Indirect Costs 269,238 391,918 460,338 426,798 465,598 618,179 32.77 496,381 7324 Gen Fund Indirect Costs 340,606 348,780 359,680 304,529 365,435 369,821 1.20 374,258 7325 Harbor Internal Cost Allocation (805,942) (938,962) (1,058,334) (906,549) (1,034,793) (1,268,372) 22,57 (1,142,727) 7330 P.I.L.T. 176,827 191,085 194,879 112,288 189,092 192,156 1.62 191,000 7331 Reclass PILT to Transfer-Out (176,827) (191,085) (194,879) (112,288) (189,092) (192,156) 1.62 (191,000) 7808 Bad Debt Expense 10,378 5,750 3,889 0 12,000 7,000 (41.67) 10,000 7810 Miscellaneous Expense 1,936 618 1,015 532 2,500 3,500 40.00 3,570 7900 Depreciation Expense 1,853,141 1,805,600 1,790,077 1,183,662 1,418,309 2,376,678 67.57 2,368,893 8011 Bonding Expense 50,593 0 0 0 0 0 0.00 0 8012 Debt Service Interest Expense 225,623 189,967 174,647 109,678 208,093 134,900 (35,17) 110,550 8013 Amortize Deferred Loss on 0 23,567 23,567 0 0 23,568 0.00 23,566 Bonds 8103 Capital Equipment 0 0 3,444 3,785 0 0 0.00 0 8104 Motor Pool Rent 0 0 64,000 53,333 64,000 64,000 0.00 64,000 8300 Debt Service Principal 497,698 480,000 490,000 300,000 531,187 530,000 (0.22) 560,000 Total Non-Personnel Costs: $ 3,584,595 $3,587,881 $ 3,502,835 $ 2,462,320 $3,356,845 $4,280,792 $ 27.52 $ 4,288,965 Total Expenditures $ 4,882,248 $4,598,422 $ 4,573,524 $3,329,791 $4,527,909 $5,586,112 $ 23.37 $5,508,888 32 m D D N DD ONN O O O m O O � 3 3 N 3 3 D N N � p N 0 0 A A Ol p In 0 0 A A a) 0, w rrv�-t d (D (D M r v N O O CD CD N O O N N N *. 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CDCDO rj D o o D O O O) > CL wN coA N N w N D n U'1 O m A N \ N N N lD (n A \ y O � w O O O O m a) N J O O O N O .� �I N A N O O O N ',D O WW CD CDO cr(D DTI -n Z m m in (D m rj LnM \ A 00 W 73 UJ `y D O v to In Ow 00 O ni to O to n' 0 0 0 0 0 0 0 0 �^ m fl T S C: V1 - M z Q 7 D I O 00 W lD W \ 00 N fD A 0) D -I v rp fD (II I-+ N N �^ lD 00 N 00 (n O to O Ln Ln O O O O O O O 0 N N r O N 4A O O 00 W Ol J d W 41 V 00 Ln Ol J lD (�D F-� W O 00 -! m N rt 00 01 N W ram-' Zl 70 iA D 40} D N N D N N fD U'1 In (f1 (n 3 LD lD lD lD rD v J J J O W ,D.r NJF-+ N CD 0 lD In Ol J W 00 lD d W Ul Ql V A J N Lu Cn A H' W N N N l0 A I-` w 00 N 00 J lD O Ln O Ol lD J lD In In O p J a) N O O O Ul V Dl N O O O cu aj N N N nCoi Co 00 lD A W \ N m Ul 00 A 00 W 7 v 000 � � pAl w tAW 7 m 0 i--+ �l V O to O m in Ol 00 O O N cn O w O O O !J A Ol V O O O m (n lD O O O O W In w O O O O 10 O O N N N N N N O O O O O O N Ql In O N Ol (.n O O N N i 0 W O 0 O N N D W O O O N N D \ \ \ 3 �D N Ol N O N N N N N N O O O O O O Ol In Ql Ul I� CITY OF SEWARD BOAT HARBOR ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out CPV Fund for USACE Loan 0 0 General Fund: One-half of land rents and leases 167,872 167,872 Federal and state lobbying 17,920 17,920 Payments-in-Lieu-of-Tax 192,236 191,000 $0 $378,028 $0 $376,792 34 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE SEWARD MARINE INDUSTRIAL CENTER (SMIC) ENTERPRISE FUND OPERATING BIENNIAL BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the 2020 budget includes a rate increase of 1.2% to all rates which are adjusted according to the five-year average Consumer Price Index (CPI) within the Seward Marine Industrial Center (SMIC) Tariff, and a rate increase of 1.2% for 2021 for those same rates, representing the five-year average CPI. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The SMIC Enterprise Fund budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December. 35 SMIC ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Change in Net Position For Fiscal Year 2020 and 202I 20I8 20I9 2020 202I Actual# Budget Budget Budget Operating revenue: Moorage 8,430 11,000 15,000 15,000 Wharfage 2,666 6,250 6,250 6,000 Boat Lift Fees 210,976 I40,000 200,000 200,000 Power Sales I42,096 4I,000 70,000 70,000 Storage 83,3I8 115,000 105,000 I00,000 Rents and Leases 179,519 I79,745 I79,745 179,745 Miscellaneous 449,570 12,200 13,700 I3,700 Total operating revenue: $I,076,575 $505,I95 $589,695 $584,445 perating expense before depreciation: Salaries&Benefits 115,523 97,405 I0I,771 104,280 Purchased Services 5,078 I08,900 I46,326 I38,827 Supplies and Maintenance 15,9I3 57,500 5I,500 52,530 General and Administrative 468,639 227,398 243,768 230,941 Total operating expense: $605,I53 $49I,203 $543,365 $526,578 Operating income before depreciation 47I,422 I3,992 46,330 57,867 Depreciation 783,463 1,140,259 1,140,259 1,140,259 Operating loss (3I2,04I) (I,126,267) (I,093,929) (I,082,392) Non-operating revenue(expense) Investment income and other 246,90I 0 0 0 Interest expense (I,296 0 0 0 Total non-operating revenue(expense) 245,605 0 0 0 Income(loss)before contributions&transfers (66,436) (I,I26,267) (I,093,929) (I,082,392) Transfers in 322,439 IO2,567 42,492 60,I43 Capital contributions 5,053,932 0 0 0 Transfers out (I26,337) (II5,909) I I6,029` (II7,009' Change in net position $5,I83,598 ($I,I39,609) ($I,I67,466) ($I,I39,258) Beginning net position $42,675,865 $47,859,463 $46,7I9,854 $45,552,388 Ending net position $47,859,463 " $46,7I9,854 $45,552,388 $44,4I3,I30 # Ties to annual Comprehensive Annual Financial Report Of total depreciation expense,the following amounts were attributable to capital assets funded with capital contributions: (a)$505,98I or 65%;(b)$505,980 or 45%;(c)$505,980 or 45%;(d)$482,529 or 43% 36 City of Seward SMIC Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Actual YTD Budget Budget %Chg Budget tevenues 2000 4632 Insurance Recovery 0 0 0 0 0 0 0.00 0 2000 5000 Land Rents&Leases 172,515 174,927 179,519 193,702 179,745 179,745 0.00 179,745 2000 5001 Land Lease Credits (11,241) 0 0 0 0 0 0.00 0 2000 5101 Moorage 23,573 15,566 8,430 37,227 11,000 15,000 36.36 14,000 2000 5102 Wharfage 10,996 7,832 2,666 5,414 6,250 6,250 0.00 6,000 2000 5103 Boat Lift Fees 163,286 182,726 210,976 201,411 140,000 200,000 42.86 200,000 2000 5104 Storage Fees 96,362 87,069 83,318 59,758 115,000 105,000 (8.70) 100,000 2000 5106 SMIC Power Sales 145,029 56,406 142,096 58,587 41,000 70,000 70.73 70,000 2000 5109 Washdown Pad Fees 3,453 5,629 8,004 8,889 8,200 8,200 0.00 8,200 2000 5110 Crane Fees 0 0 0 936 0 0 0.00 1,500 2000 5153 Fuel Pumping Fee 3,908 0 173 0 3,000 3,000 0.00 1,000 2000 5800 Labor&Services 928 1,687 1,544 0 1,000 1,000 0.00 1,500 2000 5802 Equipment Rental 0 0 0 0 0 0 0.00 500 2000 5899 Miscellaneous Revenue 0 0 439,849 96,515 0 0 0.00 1,000 2000 5901 EF Investment Interest 0 1,344 3,541 3,355 0 0 0.00 0 2000 5905 EF Penalties and Interest 0 0 467 0 0 0 0.00--0- 2000 5940 Amortization of Contributions-in-Aid 501,230 505,981 505,981 421,651 505,980 505,980 0.00 482,529 otal Revenues $ 1,110,039 $ 1,039,167 $ 1,586,564 $ 1,087,445 $ 1,011,175 $ 1,094,175 $ 8.21 $ 1,065,974 37 City of Seward SMIC Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Actual Actual Actual Thru 9/30 Budget Budget %Chg Budget Personnel Costs: 6000 Salaries 61,308 55,137 57,767 66,062 54,607 59,139 8.30 60,041 6001Overtime 875 3,927 3,002 2,798 5,228 6,921 32.38 7,053 6100 Medicare 933 993 911 1,008 935 1,034 10.59 1,046 6102 Workers'Compensation 7,062 6,511 6,124 6,604 6,710 7,214 7.51 7,328 6201 Retirement Benefits 0 6,335 14,430 15,927 1,743 1,614 (7.40) 1,640 6202 Health Insurance 31,370 1,369 33,975 44,485 28,182 24,309 (13.74) 26,198 6209 PERS DC Forfeitures 0 0 (686) (798) 0 0 0.00 0 Total Personnel Costs: $ 101,548 $ 74,272 $ 115,523 $ 136,086 $ 97,405 $ 100,231 $ 2.90 $ 103,306 Non-Personnel Costs: 7001 Communications 0 0 0 0 500 500 0.00 510 7002 Postage and Freight 360 152 1,442 140 5,500 5,500 0.00 5,610 7003 Bank and Credit Card Fees 0 0 0 12 0 0 0.00 0 7004 Insurance 14,284 14,235 15,344 16,635 14,400 16,200 12.50 17,238 7006 Legal 65,300 28,714 23,679 596 10,000 15,000 50.00 15,300 7009 Contracted Services 7,221 51,540 94,822 18,243 30,000 40,000 33.33 30,600 7012 Other Special Services 0 0 (246,563) 0 0 0 0.00 0 7015 Utilities 14,756 15,972 14,894 36,462 15,000 17,126 14.17 17,469 7016 Heating Fuel 2,439 3,735 2,238 1,032 5,000 5,000 0.00 5,100 7100 General Power for Resale 153,550 39,974 99,221 35,795 26,000 47,000 80.77 47,000 7102 Power Fuel Costs 0 0 0 0 2,500 0 (100.00) 0 7210 Vehicle Supplies 0 0 0 37 0 0 0.00 0 7211 Gas&Lube 2,990 6,195 7,408 5,201 10,000 8,000 (20,00) 8,160 7215 Operating Supplies 5,856 1,477 474 296 6,500 6,500 0.00 6,120 7216 Maintenance&Repair 13,331 6,748 7,276 3,157 36,000 35,500 (1.39) 36,720 7217 Small Tools&Equipment 2,173 1,082 756 958 5,000 1,500 (70.00) 1,530 7300 Advertising 0 94 0 0 3,000 3,000 0.00 3,060 7302 Travel&Subsistence 0 0 0 532 0 0 0.00 0 7321 Harbor General Indirect Costs 55,262 18,438 65,425 51,503 61,804 64,089 3.70 65,308 7322 Harbor Admin Indirect Costs 57,058 49,225 64,320 59,633 65,054 77,968 19.85 62,678 7323 SMIC General Indirect Costs 111,978 136,749 166,911 112,789 135,347 136,762 1.05 137,087 7324 Gen Fund Indirect Costs 90,913 93,095 96,004 81,283 97,540 98,711 1.20 99,895 7325 Harbor Internal Cost Allocation (111,978) (136,749) (166,911) (112,789) (135,347) (136,762) 1.05 (137,087) 7330 P.I.L,T, 35,803 28,553 36,577 31,202 26,036 26,156 0.46 27,136 7331 Reclass PILT to Transfer-Out (35,803) (28,553) (36,577) (31,202) (26,036) (26,156) 0.46 (27,136) 7900 Depreciation Expense 755,467 756,543 783,463 652,461 1,017,898 806,078 (20.81) 806,078 8015 Interest Expense 0 0 1,296 1,776 0 0 0.00 0 8101Infrastructure 0 0 0 102,422 0 0 0.00 0 8103 Capital Equipment 0 0 0 10,600 0 0 0.00 0 8300 Debt Service Principal 98,008 98,008 98,008 588,050 588,050 0 10( 0.00) 0 Total Non-Personnel Costs: $ 1,338,968 $ 1,185,227 $ 1,129,507 $ 1,666,824 $ 1,999,746 $ 1,247,672 $ (37.61) $ 1,228,376 Total Expenditures $ 1,440,516 $1,259,499 $ 1,245,030 $1,802,910 $2,097,151 $1,347,903 $ (35.73) $ 1,331,682 38 / / k / 0 % 0 / \ aL \ \ \ .. \ .. \ \ \ / / / 5' y » 0 « / \ 0 ; 0 0 3 < / b 0 \ { _ 0 } / } m 2 _ D / q = o D \ cu\ al C 2 s w E w E § m - � - J q CL q § z \ g NJ g C) O _n w o r \ o o A CDE ? 7 V) Ln n 2 - z D 0 m 0 :;ay _0 :;o 0 o A CD = q C q } \ ` p�j ° © A \ o 0 -n _ = c \ OQ \ m 3 / rD § r+ ` ° o o / / Ao Ao a r+ G 7 2 w q w § � @ � § IP. R if" o o 0 0 0 k 0 CD ® CD ® G % 39 CITY OF SEWARD S.M.I.C. ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out General Fund -to cover SMIC deficit 42,492 60,143 General Fund: One-half of land rents and leases 89,873 89,873 Payments-in-Lieu-of-Tax 26,156 27,136 $42,492 $116,029 $60,143 $117,009 40 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-102 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE WATER ENTERPRISE FUND BIENNIAL OPERATING BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the water enterprise fund has begun repaying debt on a major Third Avenue water main loan, necessitating rate increases to cover the cost of debt service and other operational needs, with rates slated to rise 1.2% in 2020 (five-year average CPl) and 1.2% (five- year average CPI) in 2021. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Water Enterprise Fund budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December. 41 WATER ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Change in Net Position For Fiscal Year 2020 and 202I 20I8 20I9 2020 202I Actual# Budget Budget Budget Operating revenue: Residential 509,634 476,492 S I7,000 523,000 Small General Service IS5,657 I32,422 IS7,000 IS9,000 Large General Service 222,7S3 223,6S4 220,000 222,000 SMIC Sales 58,I84 6I,4I9 S4,000 S4,200 Industrial Sales I76,960 289,I06 I78,000 I80,475 Miscellaneous I52,52I I44,394 I56,000 I59,000 Charges for Services -Ship Water 80,39S I0S,580 93,000 94,600 Total operating revenue: $I,356,I04 $1,433,067 $1,375,000 $I,392,275 Operating expense before depreciation: Salaries &Benefits 378,844 386,672 384,029 395,I I I Purchased services 280,283 407,500 404,S00 46I,I86 Supplies &Maintenance 46,722 89,500 89,500 92,I85 General&Administrative 379,114 288,69I 288169I 295,811 Total operating expense: $I,084,963 $I,I72,363 $I,I66,720 $I,244,293 Operating income before depreciation 27IJ4I 260,704 208,280 I47,982 Depreciation 393,588 392,I99 628,253 622,443 Operating income(loss) -$I22,447 -$I3I,495 -$4I9,973 -$474,46I Non-operating revenues(expenses) Interest income 44,I47 7,270 I5,500 I5,500 Other revenue 8,468 0 0 0 Interest expense -20,429 -I9,669 -17,6I2 -I5,523 Total non-operating revenues(expenses) 32,I86 -$I2,399 -$2 I I2 -$23 Earnings before transfers and contributions -$90,26I -$I43,894 -$422,085 -$474,484 Transfers Out -II4,46I -II4,S42 -IIS,973 -II7,3S5 Transfers In 0 0 0 0 Capital contributions and special items SS4,3I7 0 0 0 Change in net position $349,595 -$258,436 -$538,058 -$59I,839 Beginning net position $I0,308,9I2 $I0,658,507 $I0,400,07I $9,862,0I3 Ending net position $I0,658,507 # $I0,400,07I $9,862,0I3 $9,270,I74 * Ties to annual Comprehensive Annual Financial Report Of total depreciation expense, the following amounts were attributable to capital assets funded with capital contributions: (a) $I86,725 or 47%; (b) $209,090 or 53%;(c) $205,000 or 33%;(d) $20S,000 or 33% 42 City of Seward Water Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget °/a Ch g Budget 7000 5300 Residential 481,202 495,280 509,634 433,129 476,492 517,000 8.50 523,000 7000 5310 SG Service 131,223 147,929 155,657 143,033 132,422 157,000 18.56 159,000 7000 5320 LG Service 229,373 224,982 222,753 189,620 223,654 220,000 (1.63) 222,000 7000 5330 SMIC Sales 47,066 60,861 58,184 54,341 61,419 54,000 (12.08) 54,200 7000 5340 Spec.Contracts 245,585 260,992 176,960 167,863 289,106 178,000 (38.43) 180,475 7000 5801 Turn on Fees 11,182 17,032 18,331 15,550 10,369 16,000 54.31 17,000 7000 5804 Work Order Revenue 0 0 0 0 0 0 0.00 0 7000 5806 Ship Water 93,877 87,550 80,395 110,454 105,580 93,000 (11.92) 94,600 7000 5807 Hydrant Rentals 55,572 112,191 128,653 119,190 123,655 130,000 5.13 132,000 7000 5899 Miscellaneous Revenue (2,190) 4,503 5,537 14,128 10,369 10,000 (3.56) 10,000 7000 5901 EF Investment Interest 2,393 22,998 43,725 45,827 5,191 15,000 188.96 15,000 7000 5905 EF Penalties and Interest 4,250 687 422 593 2,079 500 (75.95) 500 7000 5919 Contra PERS On-behalf paid by SOA (593) 1,329 0 0 0 0 0.00 0 7000 5920 PERS On-behalf paid by SOA 9,565 7,766 (4,579) 0 0 0 0.00 0 7000 5940 Amort.of CIA-General 24,402 186,036 186,725 171,003 209,090 205,000 (1.96) 205,000 otalevenues $ 1,332,907 $ 1,630,136 $ 1,582,397 $ 1,464,731 $ 1,649,426 $ 1,595,500 $ (3.27) $ 1,612,775 43 City of Seward Water Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/ 0 Budget Bud et %Chq Bud et 6000 Salaries 160,656 172,542 180,164 155,532 187,526 180,304 (3.85) 183,519 6001Overtime 8,440 18,519 11,774 12,947 4,226 4,632 9.61 4,726 6002 Standby Time 8,515 8,243 7,503 7,463 9,862 8,817 (10.60) 9,027 6100 Medicare 2,937 2,954 3,083 2,580 3,387 2,951 (12.87) 3,018 6102 Workers'Compensation 7,781 9,334 13,917 12,473 12,141 12,788 5.33 13,033 6200 Leave Time 11,496 17,769 9,582 10,242 20,420 19,833 (2.87) 21,346 6201 Retirement Benefits 137,889 23,690 57,453 40,758 44,470 44,852 0.86 45,796 6202 Health Insurance 81,174 88,155 98,539 98,588 104,640 101,352 (3,14) 109,224 6203 In Lieu of FICA 461 0 0 0 0 0 0.00 0 6209 PERS DC Forfeitures 0 0 (3,171) (1,804) 0 0 0.00 0 Total Personnel Costs: $ 419,349 $ 341,206 $ 378,844 $ 338,779 $ 386,672 $ 375,529 $ (2.88) $ 389,689 Non-Personnel Costs: 7001 Communications 9,208 8,183 6,790 6,709 12,000 10,000 (16,67) 10,000 7002 Postage and Freight 2,443 4,330 3,242 2,107 6,500 5,500 (15.38) 5,515 7003 Bank and Credit Card-Fees 6,782 7,401 9,192 9,007 10,950 10,950 0.00 11,279 7004Insurance 12,150 14,891 16,267 19,237 11,000 11,000 0.00 11,330 7006 Legal 0 0 0 0 5,000 5,000 0.00 5,150 7009 Contracted Services 22,824 8,303 25,947 7,852 92,050 92,050 0.00 94,812 7011 Testing 4,796 8,945 6,938 4,303 11,000 11,000 0.00 11,330 7015 Utilities 185,732 232,487 210,525 182,451 259,000 259,000 0.00 266,770 7016 Heating Fuel 3,067 0 1,382 732 0 0 0.00 0 7210 Vehicle Supplies 1,361 171 0 0 0 0 0.00 0 7211 Gas&Lube 4,844 6,522 3,356 5,073 10,500 10,500 0.00 10,815 7213 Safety Equipment 2,052 2,401 1,707 290 3,000 3,000 0.00 3,090 7215 Operating Supplies 23,869 21,566 17,620 13,501 44,500 44,500 0.00 45,835 7216 Maintenance&Repair 6,367 31,383 17,820 2,818 25,000 30,000 20.00 30,750 7217 Small Tools&Equipment 6,234 5,233 6,221 4,475 6,600 6,500 0.00 6,695 7300Advertising 0 30 1,312 0 1,000 1,000 0.00 1,030 7301 Subscriptions&Dues 880 1,279 227 227 1,700 1,700 0.00 1,751 7302 Travel&Subsistence 3,611 901 1,248 210 5,600 5,600 0.00 5,768 7303 Education&Training 2,507 449 1,300 300 5,600 5,600 0.00 5,768 7304 Equipment Rent 1,350 0 0 0 8,000 8,000 0.00 8,240 7307 GF Administrative Fee 245,122 251,004 258,849 219,159 262,991 262,991 0.00 269,340 7330 P,I.L.T. 103,606 112,843 108,488 78,567 108,569 110,000 1.32 111,382 7331 Reclass PILTto Transfer-Out (103,606) (112,843) (108,488) (78,557) (108,569) (110,000) 1.32 (111,382) 7808 Bad Debt Expense 715 456 97,898 0 2,000 2,000 0.00 2,060 7810 Miscellaneous Expense 103 8,130 233 0 1,800 1,800 0.00 1,854 7900 Depreciation Expense 200,323 396,425 393,588 353,010 392,199 628,253 60.19 622,443 8012 Debt Service Interest Expense 24,098 5,923 20,429 4,850 19,669 17,612 (10.46) 15,523 8103 Capital Equipment 0 0 17,387 0 0 0 0.00 0 8104 Motor Pool Rent 0 0 5,000 4,167 5,000 5,000 0.00 5,150 8300 Debt Service Principal 131,182 133,150 135,147 137,176 137,175 139,232 1.50 141,321 Total Non-Personnel Costs: $ 901,620 $ 1,149,563 $ 1,259,625 $ 977,653 $ 1,339,734 $ 1,577,788 $ 17.77 $ 1,593,619 Total Expenditures $ 1,320,969 $1,490,769 $ 1,638,469 $ 1,316,432 $ 1,726,406 $1,953,317 $ 13.14 $ 1,983,308 44 m m D Q Q o QJ D D O v, < N Ln cu cn :3 d N :3Q1 {/f rD C N C t CD (D O CC n � n C rD flJ Q (D n (D -6' (D r+ 0 n m rF O rF Q rt r O V* r O O O 3 (D v fD v 0 0 < n n (D O O (Dv rx-r O 0- (D — — Q = 0- r+ + -< C. I (D 00 F' rDD V) O In (D O to r+ O O rNr O O Nr N o 0 7J o 0 1 v CD (D (D 04 in• N v O r* N CC � G 0) i/) F, n�i N N W ni O w 1p O O W F' F� n N m n O v (D {i O O CD ON (3) 00 � N F-+ m O F W p O a N Ln a mC v v (DD 22 c D N D 70 W W C(D C W UJ N N (N) N N W Lu S 0 N ry M Q C {n O {� O r In fD F' J V (D O Ln mNJw In r�r CO M r+ m C F� - C W 04 N NJ CL m (D ra 0 t ((D rr Z A N � � (DN N 3 IV IV 3 V J � V v D r+ r+ A Ql v w Ql N I--' N 00 F" fV W F, --I A F-A -lI a1 Ln I 4�- Ln F, A r�r rr+ tA GO CO Ij d d N N a) 00 W j P O W a) Ln ~ W \ n W Ln A Uri W F+ n (D O fD 001 J a) J w CD F� O F CDO f.N O N O O -I CDW W CD o 3 t.D CD3 N N J J CITY OF SEWARD WATER ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out General Fund: Federal and state lobbying $5,973 $5,973 Payments-in-Lieu-of-Tax 110,000 111,382 $0 $115,973 $0 $117,355 46 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-103 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE WASTEWATER ENTERPRISE FUND OPERATING BIENNIAL BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, recent sewer lagoon failures have necessitated incurring additional debt to conduct major repairs; and WHEREAS, the 2020 budget includes a rate increase of 1.2% representing the five-year average Consumer Price Index (CPI) and the 2021 budget includes a rate increase of 1.2% representing the five-year average CPI. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Wastewater Enterprise Fund budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December. 47 WASTEWATER ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Change in Net Position For Fiscal Year 2020 and 202I 20I8 20I9 2020 202I Actual° Budget Budget Budget Operating revenues: Residential 682,758 643,I52 69I,000 700,000 Small General Service I98,888 207,47I I98,000 200,000 Large General Service 282,649 299,786 280,000 283,300 SMIC Sales 25,050 39,834 28,000 28,350 Miscellaneous I0,647 2,589 I4,000 I4,2SO Total operating revenues: $I,199,99-2 $I,I92,832 $I,2II,000 $I12251900 Operating expenses before depreciation: Salaries&Benefits 252,I43 28I,597 304,508 309,933 Purchased services 208,429 4I7,484 4I7,484 430,009 Supplies &Maintenance 32,658 6I,700 6I,700 63,55I General&Administrative I99,303 I83,706 I85,633 I88,276 Total Operating Expenses: $692,533 $944,487 $969,325 $99I,769 Operating income before depreciation 507,459 248,345 24I,675 234,I3I Depreciation 382,985 357,I84 480,680 482,863 Operating Income(Loss) $I24,474 ($I08,839) ($239,005) ($248,732) Non-operating revenues(expenses) Interest income 3I,334 3,635 9,000 9,000 Interest expense -17,744 -I6,878 -I5,363 -I4,504 Other non-operating revenue 64,311 0 0 0 Total non-operating revenues(expenses) $77,90I ($I3,243) ($6,363) ($5,504) Income(loss)before operating transfers $202,375 ($I22,082) ($245,368) ($254,236) Capital contributions and special item 0 0 0 0 Net transfers In(Out) (84,969) (87,400) (86,853) (88,045) Change in net position $I I7,406 ($209,482) ($332,22I) ($342,28I) Beginning net position $6,934,548 $7,OSI,954 $6,842,472 $6,5I0,25I Ending net position $7,05I,954 $6,842,472 $6,SIO,25I $6,I67,970 * Ties to annual Comprehensive Annual Financial Report Of total depreciation expense,the following amounts were attributable to capital assets funded with capital contributions: (a) $398,445 or I08%,(b) $398,445 or I I2%;(c) $398,445 or 83%;(d)$398,445 or 83% 48 City of Seward Wastewater Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Chq Budget 8000 5300 Residential 637,860 667,499 682,758 578,796 643,152 691,000 7.44 700,000 8000 5310 SG Service 194,606 192,426 198,888 180,270 207,471 198,000 (4.56) 200,000 8000 5320 LG Service 279,178 282,426 282,649 240,024 299,786 280,000 (6.60) 283,300 8000 5330 SMIC Sales 35,895 44,292 25,050 19,929 39,834 28,000 (29.71) 28,350 8000 5801 Turn on Fees 0 0 5,650 11,122 0 8000 5804 Work Order Revenue 0 0 9,800 0.00 10,000 0 75 0 0 2.22 0 8000 5809 Water/Seward Misc.Service 4,223 6,373 4,960 15,70 2,589 4,200 6 . 4,250 8000 5890 Collection of Doubtful Accounts 0 0 0 0 8000 5899 Miscellaneous Revenue 1 0 0 0 0.00 0 36 0 0 8000 5901 EF Investment Interest 0 0.00 0 1,813 19,111 30,612 46,482 2,079 8,000 284.80 8,000 8000 5905 EF Penalties and Interest 1,184 1,120 723 1,125 1,556 1,000 (35.73) 1,000 8000 5910 Gain on Sale of FA 0 260 0 0 0 0 8000 5919 Contra PERS On-behalf paid by SOA (453) 902 0 0.00 0 0 0 0 0.00 0 8000 5920 PERS On-behalf aid b SOA P Y 7,314 5,269 (2,846) 0 0 0 0.00 0 8000 5921 Federal Grant Revenue 0 62,194 44,550 0 0 0 0,00 0 8000 5940 Amort.of CIA-General 4a 1,522 398,445 398,445 332,03�398,4 5 398,445 0.00 398,445 otal Revenues $ 1,573,143 $ 1,680,317 $ 1,671,475 $ 1,426,327 $ 1,594,912 $ 1,618,445 $ 1.48 $ 1,633,345 49 City of Seward Wastewater Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Bud et Bud et %Chg Bud et 6000 Salaries 126,729 118,778 110,885 81,874 142,969 148,043 3.55 149,332 6001Overtime 6,466 4,946 3,737 4,445 3,170 4,209 32.78 4,209 6002 Standby Time 7,231 7,420 8,181 4,975 6,492 6,832 5.24 6,879 6100 Medicare 2,076 2,060 1,930 1,358 2,696 2,450 (9.12) 2,475 6102 Workers'Compensation 17,233 16,504 7,728 5,743 8,749 10,565 20.76 10,576 6200 Leave Time 18,771 22,343 29,136 16,139 19,091 18,802 (1.51) 18,882 6201 Retirement Benefits 105,440 16,889 35,708 21,119 33,844 37,252 10.07 37,556 6202 Health Insurance 58,246 58,507 55,614 44,959 64,586 70,761 9.56 76,257 6203 In Lieu of FICA 461 0 0 0 0 0 0.00 0 6209 PERS DC Forfeitures 0 0 (776) 524 0 0 0.00 0 Total Personnel Costs: $ 342,653 $ 247,447 $ 252,143 $ 180,088 $ 281,597 $ 298,914 $ 6.15 $ 306,166 Non-Personnel Costs: 7001 Communications 6,529 5,763 6,928 5,540 8,300 8,300 0.00 8,549 7002 Postage and Freight 2,359 2,818 2,826 2,148 4,700 4,700 0.00 4,841 7003 Bank and Credit Card Fees 8,797 9,755 11,747 11,287 13,730 13,730 0.00 14,142 7004Insurance 6,617 6,434 6,210 5,938 8,004 8,004 0.00 8,244 7006 Legal 1,680 0 0 0 12,000 12,000 0.00 12,360 7009 Contracted Services 73,021 24,752 4,703 20,172 122,050 122,050 0.00 125,712 7011 Testing 37,819 28,539 26,332 27,917 27,000 27,000 0.00 27,810 7015 Utilities 165,585 169,485 148,520 133,600 218,000 218,000 0.00 224,540 7016 Heating Fuel 2,396 1,994 1,163 345 3,500 3,500 0.00 3,605 7017 Rents&Leases 33 17 0 0 200 200 0.00 206 7210 Vehicle Supplies 1,784 385 0 56 0 0 0.00 0 7211 Gas&Lube 6,341 7,962 12,207 6,040 9,700 9,700 0.00 9,991 7212 Uniform Allowance 0 0 0 91 0 0 0.00 0 7213 Safety Equipment 1,162 246 294 93 1,500 1,500 0.00 1,545 7215 Operating Supplies 11,996 7,399 7,515 13,185 17,000 17,000 0.00 17,510 7216 Maintenance&Repair 10,579 27,467 7,057 3,245 29,500 34,500 16.95 35,385 7217 Small Tools&Equipment 3,737 1,365 5,586 1,607 4,000 4,000 0.00 4,120 7300 Advertising 0 0 0 0 400 400 0.00 412 7301 Subscriptions&Dues 432 5,090 20,951 5,521 4,500 4,500 0.00 4,635 7302 Travel&Subsistence 225 930 540 0 5,200 5,200 0.00 5,356 7303 Education&Training 439 1,165 1,640 400 3,800 3,800 0.00 3,914 7304 Equipment Rent 1,350 0 0 0 6,000 6,000 0.00 6,180 7307 GF Administrative Fee 149,694 153,287 158,077 133,838 160,606 162,533 1,20 164,483 7330 P.I.L.T. 92,141 95,441 95,996 65,676 95,427 96,880 1.52 96,880 7331 Reclass PILT to Transfer-Out (92,141) (95,441) (95,996) (65,676) (95,427) (96,880) 1.52 (96,880) 7808 Bad Debt Expense 486 426 6,079 0 2,000 2,000 0.00 2,060 7810 Miscellaneous Expense 92 6,055 101 239 1,200 1,200 0.00 1,236 7900 Depreciation Expense 367,544 364,306 367,292 305,222 357,184 482,864 35.19 482,863 8012 Debt Service Interest Expense 5,900 13,732 17,744 11,033 16,878 15,363 (8.98) 14,504 8102 Buildings 0 0 0 12,274 0 0 0.00 0 8103 Capital Equipment 0 0 3,276 31,526 0 0 0.00 0 8104 Motor Pool Rent 0 0 5,000 4,167 5,000 5,000 0.00 5,150 8300 Debt Service Principal 58,986 56,880 57,733 56,423 58,599 57,270 (2.27) 58,128 Total Non-Personnel Costs: $ 925,583 $ 896,252 $ 879,521 $ 791,907 $ 1,100,551 $ 1,230,314 $ 11.79 j 1,247,481 Total Expenditures $ 1,268,236 $ 1,143,699 $1,131,664 $ 971,995 $ 1,382,148 $ 1,529,228 $ 10.64 $1,553,647 50 m cn C (D °� m u O70 r v r r r v rD = cn r C) O d � !ND 0�0 rr r�-r � O N 0 '< Ol f7 '� O c o �. y 0 o V) a 0 �. oo c < Q c s rD 0 Q � = O O n r M rD N N M (D rD O r) O O rD cu r n p O N n O -6 = O �. CD 0 0 v rn o v xt 0 C �G 4 J Dl J tD n O- (DD O �, O S = X (.0l0 N. -0 ((DD Q (D 7 O_ 0- (D (D rr O O v C S n n N (D (D S rr fD (D N rr (D r-r 0- (D S (D C (D 00 00 v a�i C O O O ,�'* O to to N T 7 O C D <' D ( iD K n N NJ O CC O O G rr � � N Zr (D 0 O cu (D F, OWl d m s (D u' O1 D N m car rn O CD N -DI O N (D m � O 00 000 ON � a) w r O o m 0 o m cr Z (A c c m M D i o z 0 N N n (D lD O 00 N N !V N � f7 -nl0 00 w v — S J U W N W C O O 00 lD lD O Ln Ln 7 Q � OID [D 0 O O �--� (DO L► O Q A -� NJ1--� (D NJ O O I� tp '* co w M rN-r W O Z; O A W A CD. (D O rD M UQ :;a (D OJ CD 00 90 3 0 Vt A A (p O1 mA A (D(D � A P N I (D -n O_ C O 0 00 m U'I p`Yj O CO w w 0 m Ln 0) A lD W w O 00 A O J A lD A N Q N rcu N v � lD W j Co W N S NJ O O lD Ln Ln \ n N W A (D - J co �I O l0 N 00 (D �--' W l0 w N J CO 0 (D N 0 Lu 00 cn lND W O O 000 00 N r2 (D O O NJ O O :. rj O m mN O m O�1 W W O ON NO Ln w w 3 W w Ln L 51 CITY OF SEWARD WASTEWATER ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out General Fund: ed_er_al and state lobbying $5 973 $5,973 Payments-in-Lieu-of-Tax 96,880 98,072 RV dump station payments 16,000 16,000 $16,000 $102,853 $16,000 $104,045 Net Transfers: ($86,853) ($88,045) 52 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-104 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE MOTOR POOL INTERNAL SERVICE FUND OPERATING BIENNIAL BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Motor Pool Internal Service Fund biennial budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of December. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 53 MOTOR POOL INTERNAL SERVICE FUND Budgeted Statement of Revenues, Expenses and Change in Net Position For 2020 and 202I 2018 2019 2020 2021 Actual * Budget Budget Budget Operating revenues - vehicle rental $357,000 $357,000 $7I9,000 $635,990 Operating expenses - depreciation and other 40I,22I 353,526 324,456 420,000 Operating income (loss) (44,22I) 3,474 394,544 2I5,990 Non-operating revenue(expense) Interest income 56,000 I5,000 I5,000 I5,000 Interest expense 0 0 0 0 Other non-operating 6,9S4 33,I I3 29,677 26,059 Total non-operating revenue(expense) 62,954 48,113 44,677 4I1059 Earnings before transfers I8,733 5I,587 439,22I 257,049 Transfers(to)from other funds 0 0 0 0 Change in net position I8,733 5I,587 439,22I 257,049 Beginning net position 4,833,264 4,85I,997 4,903,584 5,342,805 Ending net position $4,85I,997 # $4,903,584 $5,342,805 $5,599,854 # Ties to annual Comprehensive Annual Financial Report 54 City of Seward Motor Pool Internal Service Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Chq Budget 13000 4632 Insurance Recovery 2,598 0 0 0 0 0 0.00 0 13000 5901 EF Investment Interest 1,470 17,199 22,887 46,767 15,000 15,000 0.00 15,000 13000 5904 EF Misc.Interest Revenue 39,481 36,379 33,113 0 29,677 26,059 (12.19) 26,059 13000 5910 Gain on Sale of FA 9,000 638 6,954 0 0 0 0.00 0 13000 5950 Motor Pool Vehicle Rent 291,600 175,000 357,000 297,500 0 0 0.00 0 13000 5960 Veh.Rent/ 0 0 0 0 357,000 719,000 101.40 635,990 otal Revenues $ 344,149 $ 229,216 $ 419,954 $ 344,267 $ 401,677 $ 760,059 $ 89.22 $ 677,049 55 City of Seward Motor Pool Internal Service Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Bud et Budget %Cha Bud et Non-Personnel Costs: 7009 Contracted Services 1,430 0 0 0 0 0 0.00 0 7215 Operating Supplies 6,055 0 0 76 0 0 0.00 0 7216 Maintenance&Repair 0 0 4,700 0 0 0 0.00 0 7217 Small Tools&Equipment 1,032 935 4,155 0 0 0 0.00 0 7303 Education&Training 0 9,574 0 0 0 0 0.00 0 7900 Depreciation Expense 450,049 425,878 392,366 331,427 353,526 324,456 (8.22) 420,000 8000 Loss on Sale of Fixed Assets 0 6,534 0 0 0 0 0.00 0 8103 Capital Equipment 0 0 411,052 564,770 351,275 522,000 48.60 455,000 Total Non Personnel Costs: $ 458,566 $ 442,921 $ 812,273 $ 896,273 $ 704,801 $ 846,456 $ 20.10 $ 875,000 Total Expenditures $ 458,566 $ 442,921 $ 812,273 $ 896,273 $ 704,801 $ 846,456 $ 20.10 $ 875,000 56 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-105 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE PARKING ENTERPRISE FUND OPERATING BIENNIAL BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Parking Enterprise Fund budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenses for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this St" day of December. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 57 PARKING ENTERPRISE FUND Budgeted Statement of Revenue and Expenses and Change in Net Position For 2020 and 202I 20I8 20I9 2020 202I Actual# Budget Budget Budget Operating revenue-parking fees $352,6I6 $32I,650 $350,700 $350,700 Operating expense: Salaries&Benefits I I3,I94 I53,8I0 I60,46I I54705 Purchased Services I9,050 30,600 25,050 26,565 Supplies and Maintenance 35,997 32,900 33,500 33,025 General and Administrative 25,492 27,900 2I,587 2I,450 Total operating expense: $I93,733 $245,2I0 $240,598 $233,745 Operating income before depreciation I58,883 76,440 I I0,IO2 I I6,955 Depreciation I9,546 II,682 29,023 II,500 Operating income(ooss) $I39,337 $64,758 $8I,079 $I05,455 Non-operating revenues(expense) Interest Income and other I3,969 7,000 I0,000 I0,000 Total non-operating revenue(expense) $I3,969 $7,000 $I0,000 $I0,000 Transfers to other funds -$28,209 -$25,732 -$28,056 -$28,056 Change in net position $I2S,097 $46,026 $63,023 $87,399 Beginning net position $I,094,58I $I,2I9,678 $I,265,704 $I,328,727 Ending net position $I,2I9,678 # $I,265,704 $I,328,727 $I,4I6,I26 # Ties to annual Comprehensive Annual Financial Report 58 City of Seward Parking Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Chg Budget 3000 5200 S.Harbor Lot 131,032 128,710 122,479 157,840 128,000 125,000 (2.34) 125,000 3000 5201 N.Harbor Lot 69,764 71,336 97,758 101,666 67,000 95,000 41.79 95,000 3000 5202 N.E.Ramp Lot 44,826 46,597 46,638 73,509 45,000 47,000 4.44 47,000 3000 5204 S.Harbor Uplands Lot 24,014 18,229 10,972 26,030 25,000 18,000 (28.00) 18,000 3000 5205 Slip Holder Parking Passes 25,507 24,840 27,757 16,639 25,000 27,000 8.00 27,000 3000 5206 Employee Passes 10,047 9,626 11,659 4,590 9,000 10,000 11.11 10,000 3000 5207 Miscellaneous Parking Fees 963 1,575 65 51 0 0 0.00 0 3000 5208 S.W.Harbor Lot 0 466 1,280 0 0 1,000 0.00 1,000 3000 5209 Company Vehicle Pass 327 0 0 0 0 0 0.00 0 3000 5210 Vehicle w/Trailer 13,278 12,897 29,795 10,314 20,000 24,000 20.00 24,000 3000 5211 Visitor Parking Permits 1,304 757 1,869 654 650 1,200 84.62 1,200 3000 5212 Fines-Parking Tickets 5,665 14,224 2,344 1,404 2,000 2,500 25.00 2,500 3000 5899 Miscellaneous Revenue 1,621 1,366 0 470 0 0 0.00 0 3000 5901 EF Investment Interest 970 10,161 13,969 19,767 7,000 10,000 42.86 10,000 otal Revenues $ 329,318 $ 340,784 $ 366,585 $ 412,934 $ 328 650 3 5 $ 360,700 59 City of Seward Parking Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Bud et Bud et %Chg Budget 6000 Salaries 83,769 97,524 77,953 59,774 121,850 126,156 353 126,603 60010vertime 9,959 3,511 3,855 8,658 4,000 5,591 39.78 5,591 6100 Medicare 5,596 4,964 4,456 4,284 7,976 8,980 12.59 8,986 6101 Unemployment Insurance 2,824 2,598 6,213 0 2,000 3,500 75.00 3,500 6102 Workers'Compensation 12,329 8,922 4,467 4,047 7,800 11,412 46.31 11,416 6200 Leave Time 2,500 3,027 0 3,275 0 0 0.00 0 6201 Retirement Benefits 4,788 1,884 2,670 2,255 4,300 3,938 (8.42) 4,037 6202 Health Insurance 12,824 11,605 13,580 6,015 5,884 6,180 5.03 6,660 Total Personnel Costs: $ 134,589 $ 134,035 $ 113,194 $ 88,308 $ 153,810 $ 165,757 $ 7.77 $ 166,793 Non-Personnel Costs: 7001 Communications 2,606 2,600 3,121 1,837 3,400 3,250 (4.41) 3,250 7002 Postage and Freight 203 249 868 544 1,000 1,000 0.00 1,000 7003 Bank and Credit Card Fees 7,791 8,220 10,009 10,699 8,700 10,000 14.94 10,000 7004Insurance 2,444 2,433 3,182 3,293 2,500 3,200 28.00 3,200 7009 Contracted Services 5,215 4,430 475 963 4,500 3,000 (33.33) 4,500 7011 Testing 508 533 587 0 500 600 20.00 600 7012 Other Special Services 5,521 0 0 2,887 9,000 3,000 (66,67) 3,000 7015 Utilities 939 504 808 703 1,000 1,000 0.00 1,015 7210 Vehicle Supplies 188 6,720 1,935 1,498 4,000 3,000 (25.00) 3,000 7211 Gas&Lube 454 658 1,087 1,185 1,500 1,250 (16.67) 1,275 7212 Uniform Allowance 2,303 1,631 87 0 1,200 1,000 (16.67) 1,000 7213 Safety Equipment 1,879 0 124 0 1,200 1,000 (16.67) 1,000 7214 Janitorial Supplies 0 48 0 458 250 250 0.00 250 7215 Operating Supplies 24,958 13,062 11,556 16,953 9,250 13,000 40.54 13,000 7216 Maintenance&Repair 5,536 7,133 10,496 7,088 10,500 9,000 (14.29) 9,500 7217 Small Tools&Equipment 1,451 553 10,712 51 5,000 5,000 0.00 4,000 7300Advertising 145 14 245 0 1,000 300 (70.00) 300 7301 Subscriptions&Dues 9 11,886 595 494 7,500 5,000 (33.33) 5,000 7302 Travel&Subsistence 250 20 434 0 1,500 1,000 (33.33) 1,000 7303 Education&Training 0 0 0 125 1,500 1,000 (33.33) 1,000 7304 Equipment Rent 0 0 0 0 3,000 750 (75.00) 750 7307 GF Administrative Fee 10,188 10,432 11,221 9,500 11,400 11,537 1.20 11,400 7330 P,I,L.T. 26,268 26,445 28,209 30,490 25,732 28,056 9.03 28,056 7331 Reclass PILT to Transfer-Out (26,268) (26,445) (28,209) (30,490) (25,732) (28,056) 9.03 (28,056) 7805 Promotion 0 0 0 2,800 2,000 2,000 0.00 2,000 7810 Miscellaneous Expense 11 0 0 79 0 0 0.00 0 7900 Depreciation Expense 24,477 22,013 19,546 24,938 11,682 29,023 148.44 11,500 8101Infrastructure 0 0 0 0 0 150,000 0.00 0 8103 Capital Equipment 0 0 123,118 0 10,000 10,000 0.00 10,000 8104 Motor Pool Rent 0 0 13,000 10,833 13,000 13,000 0.00 13,000 Total Non-Personnel Costs: $ 97,076 $ 93,139 $ 223,206 $ 96,928 $ 126,082 $ 282,160 $ 123.79 $ 115,540 Total Expenditures $ 231,665 $ 227,174 $ 336,400 $ 185236 $ 279,892 $ 447,917 $ 60.03 $ 282,333 60 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-106 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE SEWARD MOUNTAIN HAVEN ENTERPRISE FUND OPERATING BIENNIAL BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Seward Mountain Haven Enterprise Fund biennial budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenditures for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of December. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 61 SEWARD MOUNTAIN HAVEN ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Changes in Net Position For 2020 and 202I 2018 2019 2020 2021 Actual * Budget Budget Budget Revenues: Interest earnings 43,430 0 40,000 40,000 LTC capital cost reimbursement 3,2I5,738 2,290,984 2,000,000 2,000,000 Total revenues $3,259,167 $2,290,984 $2,040,000 $2,040,000 Expenses: Debt service interest and other costs 658,308 649,006 607,506 564,006 Depreciation I,584,87I 1,445,306 1,083,830 I,056,60I Total expenses $2,243,179 $2,094,312 $1,691,336 $1,620,607 Excess(deficit)of revenues over expenditures 1,015,988 196,672 348,664 419,393 Operating transfers from other funds 0 163,924 I50,000 I50,000 Operating transfers to other fimds 0 0 0 0 Change in net position 1,015,988 360,596 498,664 569,393 62 City of Seward Seward Mountain Haven Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Chg Budget 9200 5810 SMH Patient Revenue for Capital 2,248,736 2,447,754 3,215,738 2,044,436 2,290,984 2,000,000 (12.70) 2,000,000 9200 5901 EF Investment Interest 810 9,968 43,430 52,015 0 40,000 0.00 40,000 9200 5941 Amort.Bond Premium 94,140 94,140 94,140 13,536 94,140 94,140 0.00 94,140 otal Revenues $2,343,686 $2,551,862 $3,353,308 $2,109,987 $2,385,124 $2,134,140 $ (10.52) $ 2,134,140 63 City of Seward Seward Mountain Haven Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Budget Budget %Cho Bud et Non-Personnel Costs: 7006 Legal 5,573 0 0 0 0 0 7900 Depreciation Expense 1,656,103 1,634,025 1,584,871 1,216,732 1,445,306 1,083,830 (25.010) 1,056,6011 8011 Bonding Expense 101,775 0 0 0 0 0 8012 Debt Service Interest Expense 532,677 695,952 658,308 378,735 649,006 607,506 (6.39) 564,006 8013 Amortize Deferred Loss on 0 98,196 98,196 0 98,196 Bonds 98,196 0.00 98,196 8300 Debt Service Principal 1,090,000 910,000 945,000 830,000 830,000 870,000 4.82 910,000 Total Non-Personnel Costs: $ 3,386,128 $3,338,173 $3,286,375 $2,425,467 $3,022,508 $2,659,532 Total Expenditures $ 12.01 $2,628,803 $ 3,386,128 $3,338,173 $3,286,375 $2,425,467 $3,022,508 $2,659,532 $ (12.01) $2,628,803 64 o D rD O Dul N O N O In N' O_ f/1 N O_ O O O O C D C O O* O 0 N :3N p O = rD O = O N N O> N N Q (D n 7J r n O � s (D D 0- W C W 77 Z3 O O_ :3 O c UQ a ap A � A O rt O O CD O (D o (D o (D O O N o -0-(D m O w rt OJ � co O p v N r N N A N to -0- C N Oi \O N 7 O po N N r 7 N W O r 7 C- C 00 u r n A v oo n N Z C0 0 (D , � O o (D O fl r N 0 v J O Z to N (D 2 OT D N v v ' < m N m m Z v tD w n 00 co �' z m z o r o o n Z p o _ CU_ M o o cn r^ O o O o n X t4 in m W Q 0) Ln O10 o, m A Q) ((D v O (DD (D m O C V O O cn In cn z 0) 00, N O) OOl r-r N p O O iA N N I--+ O D o' D w 3 3 O C- O fl- 00 _� _� m N rt N p'f n) DJ 00 W O co W O r 0 Z r °O :3 O, m 01 CY) v A v w 00 V7 m v A 0o J Ln ON w CD O, O O, 0 K h A A \ N A \ N v N W W po N N W W N n l!l N (D A W O r A V O O M r A O O O O 0, W O N O, OD N O O O O W W W W W W W W 65 CITY OF SEWARD SEWARD MOUNTAIN HAVEN ENTERPRISE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out From Hospital Enterprise Fund(a) 150,000 150,000 0 $150,000 $0 $150,000 $0 66 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-107 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ADOPTING THE HEALTHCARE ENTERPRISE FUND BIENNIAL OPERATING BUDGET FOR CALENDAR YEARS 2020 AND 2021 WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the 2020 and 2021 budgets include $500,000 for hospital capital contributions necessary to replace major assets at the hospital and Seward Mountain Haven; and WHEREAS, the 2020 also includes $100,000 for Seward Community Health Center operating needs, with any unspent funds accruing to a newly-established health facility expansion account to address the need for expansion for both the clinic and hospital. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Healthcare Enterprise Fund biennial budget for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference and which contains estimated revenues and expenditures for the period January 1, 2020 - December 31, 2021, is hereby adopted, and the necessary funds are hereby appropriated. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December. 67 HOSPITAL ENTERPRISE FUND Budgeted Statement of Revenues and Expenses and Changes in Net Position For 2020 and 202I 2018 2019 2020 2021 Actual* Budget Budget Budget Operating Expenses: Hospital capital infrastructure&equipment(a) 500,000 500,000 687,500 688,924 Hospital CT Scanner I,300,000 0 0 0 Community Health Center I b` 300,000 200,000 I00,000 0 Purchased services I5,300 0 0 0 Depreciation 238,133 I6I,293 I78,250 154,337 Total operating expenses $2,353,433 $861,293 $965,750 $843,261 Non-operating revenues(expense) Investment Income 6,725 0 0 0 Debt service interest(c) (33,113) 33,I I3) (29,677) (26,0S9) Capital equipment and other Total non-operating revenue(expense) ($26,389) ($33,II3) ($29,677) ($26,059) Earnings(loss)before transfers ($2,379,822) ($894,406) ($995,427) ($869,320) Operating transfers from other funds(d) 1,136,752 1,262,500 I,358,7S0 I,371,500 Operating transfers to other funds(e) 0 (463,924` 150,000 1150,000` Change in net position ($I,243,070) ($95,830) $2I3,323 $352,I80 (a) Providence Seward Medical&Care Center hospital,emergency room and long-term care facility capital budget. (b) Seward Community Health Center operating budget request. (c) Represents interfund loan payable to Motor Pool for Seward General Hospital pension loan. Loan balance at I/I/2020 is$565,268. Loan matures 2026. (d) Reflects one-quarter of all City sales tax;equal to I%sales tax(the City's total sales tax rate is 4%). (e) In 2020/2021 reflects payment to SMH Fund to cover future bond payments due to past census shortfalls. Does not tie to CAFR since City budgets Hospital and LTC separately,and does not budget for PSMCC operations. The CAFR however,aggregates the City's hospital enterprise fund,LTC enterprise fund,and PSMCC financial statements into one fund,since PSMCC operational surpluses or deficits accrue to taxpayers. 68 City of Seward Healthcare Enterprise Fund 2020/2021 Biennial Operating Budget Revenue Detail by Line Item 10/31/2019 2016 2017 2018 2019 2019 2020 2019-20 2021 tevenues Actual Actual Actual Actual YTD Budget Budget %Cho Budget 9100 5901 EF Investment Interest 849 5,554 6,725 28,397 0 0 9100 5940 Amort.of CIA-General 1,875 1,875 1,875 1,563 1,875 1,875 0.00 1,875 otal Revenues $ 2,724 $ 7,429 $ 8,600 $ 29,960 $ 1,875 $ 1,875 $ 0.00 $ 1,875 69 City of Seward Healthcare Enterprise Fund 2020/2021 Biennial Operating Budget Expenditure Line Item by Fund 2016 2017 2018 2019 2019 2020 2019-20 2021 Personnel Costs: Actual Actual Actual Thru 9/30 Budget Budget %Cho Bud et Non-Personnel Costs: 7009 Contracted Services 0 0 0 705 0 0 0.00 0 7809 Pass-Thru Payments 700,000 1,100,000 2,115,000 691,667 700,000 787,500 12.50 687,500 7810 Miscellaneous Expense 0 0 300 4,104 0 0 0.00 0 7900 Depreciation Expense 326,095 305,108 238,133 169,535 161,293 178,250 10.51 178,250 8012 Debt Service Interest Expense 39,481 36,379 33,113 0 33,113 29,677 (10.38) 26,059 8300 Debt Service Principal 352,343 59,095 62,198 65,463 65,463 68,900 5.25 72,517 Total Non-Personnel Costs: $ 1,417,919 $ 1,500,582 $2,448,744 $ 931,474 $ 959,869 $ 1,064,327 $ 10.88 $ 964,326 Total Expenditures $ 1,417,919 $ 1,500,582 $2,448,744 $ 931,474 $ 959,869 $ 1,064,327 $ 10.88 $ 964,326 70 O O o o r� v -0 r m m N V) 0 H N p rn ro N N fl1 n n -6. rt , F -n O - O CD �. O O O O lf7 (D (n N (N N � � v v rt rt (D (D N O N O = cu O r t rt r co 0' Q I-� cu F-' N N In. O v in o D -P� 4 F, =3 cn v, i-% m LD (o \ n m m \ n m 0) M N ro Ln (n No (DZ O w w N N m Ln rn m rn rn '+ �o m 00 00 00 00 N (D 0 m p N C z n n (Dp v v �. ( ). NJfV 0000 0000 Q Ul Ui LD l0 O O O O N O O D O 1+ m t/> rrt 0o N fV CDC N fv CDC Ol m (p Q O O Ln Ol Ol rt 00 (n to f0 LD l0 rt v J rt O O lD l0 v LD l0 v 00 00 — 00 00 U7 Ln Ln Ln v v V -I 01 Ol of 0) OJ pi r* r+ FA 00 w {A N N �} N N \ 0J \ 0J W W 7 N N n a) 0) \ F' W W n (D \ (D 00 00 N W W N Ln Ln F' al Ol O F' 00 00 N N O O O O O O N N Ql Ol 71 CITY OF SEWARD HOSPITAL DEBT SERVICE FUND Budgeted Interfund Transfers Fiscal Year 2020 and 2021 2020 2021 Transfers- Transfers- Transfers- Transfers- In Out In Out From General Fund--sales tax devoted to healthcare 1,358,750 1,371,500 To Seward Mountain Haven--for bond debt(a) 150,000 150,000 $1,358,750 $150,000 $1,371,500 $150,000 (a) To make up for prior shortfalls in census resulting in less-than-anticipated funding for future bond payments. 72 Sponsored by: Meszaros Public Hearing#1: November 25, 2019 Public Hearing#2: December 9, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-108 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,ADOPTING THE 2020/2021 CAPITAL IMPROVEMENT PLAN WHEREAS, the City Manager has submitted to the City Council a proposed biennial budget for the City of Seward for Calendar Years 2020 and 2021; and WHEREAS, the preliminary biennial budget was reviewed by the City Council in budget work sessions on October 15, October 16, October 25 & November 8, 2019, which were televised to the public; and WHEREAS, a public hearing is scheduled on the proposed budget for November 25, 2019, and a second public hearing and final adoption is scheduled for December 9, 2019; and WHEREAS, the General Fund is not budgeting for receipt of State revenue sharing, but to the extent State revenue sharing funds are received in 2020 and/or 2021, 100% of those funds will be transferred from the General Fund to the Capital Acquisition Fund to be used for capital projects. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The Capital Improvement Plan for Calendar Years 2020 and 2021, which is attached hereto and made a part hereof by reference, is hereby adopted. Section 3. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of December. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 73 Capital Improvement Plan General Fund-Related Capital Projects Fiscal Year 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost City Portion Other Source Source Projects Slated for Funding in 2020 and 2021: Public Works and P&R Warehouse Relocation Eng/Design R 2020 $125,000 $125,000 Relocation of PW&Shop Capital Acquisition Fund R 2021 $2,700,000 $2,700,000 Financing sources Parks&Rec warehouse replacement R 2021 $750,000 $750,000 Campgrounds:additional utility sites on waterfront N Capital Acquisition Fund 2020 $400,000 $400,000 Capital Acquisition Fund Japanese Creek feasibility study N 2020 $900,000 $275,000 $625,000 City/USACE/KPB/SBCFSA Heat Loop project N $1,325,000 $600,000 Williams Park restroom/showerhouse $ ,000 City/AEA Grant N 2020 $300,000 $200,000 $10000,00Q Capital Acquisition Fund Parks&Rec dumpster replacements R 2020 $65,000 $65,000 Ballaine la Capita]Acquisition Fund playground equipment update R 2020 $300,000 $300,000 Capital Acquisition Fund City Hall boiler&roof repairs R 2020 $85,000 $85,000 Annex beating system&buildingCapital Acquisition Fund upgrades R 2020 $40,O00 $40,000 Capital Acquisition Fund Breathing apparatus-Fire R 2020 $237,000 $237,000 Lowell Point Road safety design(Flap grant match of 9.3%) R 2020 Capital Acquisition Fund City Hall fire alarm system upgrade $2,$40,000 $$40,000 $2,176,800 City/Flap Grant Libra R 2020 $11,000 $11,000 Ca Library plumbing repairs R 2020 $I1,000 11,000 pits!Acquisition Fund Library roof leak repairs $ Capital Acquisition Fund R 2020 $68,000 $6$000 Library LED lights&repairs R 2020 $17,000 Capital-Acquisitien Fund City Hall ADA ramp&parking $17,000 Capital Acquisition Fund N 2020 $45,000 $45,000 Capital Acquisition Fund ADA sidewalk improvements R 20/21 $75,000 $75,000 Gateway,Forest Acres la Capital Acquisition Fund playground equipment update R 2021 $25,000 $25,000 Capital Acquisition Fund Wellington Pavilion:design and construction(ADA) N 2021 $400,000 $400,000 Bike path resurfacing Capital Acquisition Fund R 2021 $60,000 $60,000 Capital Acquisition Fund Total Projects in 2020 and 2021: $10,368,000 $4,041,200 $6,326,800 PUBLIC SAFETY: New animal shelter R $1,000,000 $1,000,000 Fire Hydrant upgrades-Ph.II R General Fund Public Safety Building $200,000 $200,000 General Fund R $5,665,000 $5,665,000 General Fund Total Public Safety Projects: 8 0,000 $6,865.00 0 PARKS&RECREATION: Lagoon Boardwalk rebuild R $240,000 $240,000 Community Rec Center N General Fund la $5,000,000 $5,000,000 Fund Resurface playgrounds;Gateway,Forest Acres,Ballaine,3rd? R $285,000 $285,000 Tennis court refurbishment R $75,000 $75,000 General Fund John Perry field fencing R General Fund TYC landscape,fence,play area $50,000 $50,000 General Fund R $75,000 $75,000 General Fund Little League concession stand replacement R $250,000 $250,000 Total Parks&Recreation Projects: General Fund CITY HALL/LIBRARY/OTHER: Paint City Hall R $20,000 $20,000 Genera]Fund City Hall building envelope and windows upgrades R $500,000 $500,000 City Hall electrical upgrades R General Fund Fix ventilation at City Hall $ ,000 $ ,000 General Fund R $855,OQ0 $855,000 General Fund Total City Hall/Library Projects: $655,000 $650,000 $0 Total General Fund Projects: $23,858,000 $17,531,200 $6,326,800 Total General Fund Projects for 2020 and 2021: $10,368,000 $4,041,200 $6,326,800 74 City of Seward Capital Improvement Plan Harbor-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source NE Boat Launch Ramp R 2021 $2,000,000 C $500,000 $1,500,000 City/ADFG Replace K&L and remainder of G Float R 2022 $3,500,000 M $3,500,000 City/Grant Replace anodes on concrete floats R 2022 $200,000 M $200,000 City 50 Ton wash down pad N 2022 $500,000 New $500,000 City Replace dumpsters R 2023 $80,000 M $80,000 City 5 Ton crane I-dock N 2024 $400,000 New $400,000 City Total harbor Fund Projects: S6 680,fl00 $5,180,000 $1,500,000 Total Harbor Fund Projects for 2020 and 2021: $2,000,000 $500,000 $1,500,000 Rating(a): Critical Risk(Q.• Likely to fail within next 5 years High Risk(H): Likely to fail in 5-10 years Moderate Risk(M):continuous increasing cost to maintain and operate. "New"reflects creation or purchase of a new asset;not replacing an existing asset 75 City of Seward Capital Improvement Plan SMIC-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source Additional water services N 2020 $10,000 N $10,000 City Improve Drainage and Fence Storage Area N 2022 $1,500,000 N $1,500,000 City/Financing Additional power stalls N 2023 $500,000 N $500,000 City Additional restroom N 2024 $75,000 N $75,000 City Pave City owned boat yard roads N 2024 $1,000,000 N $1,000,000 City/Financing North dock paving N 2024 $1,000,000 N $1,000,000 City/Financing Total SMIC Fund Projects: $4,085,000 $4,085,000 $0 Rating(a): Critical Risk(Q. Likely to fail within nest 5 years High Risk(H): Likely to fail in 5-10 years Moderate Risk(M):continuous increasing cost to maintain and operate. "New"reflects creation or purchase of a new asset;not replacing an existing asset 76 City of Seward Capital Improvement Plan Electric-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source Critical Capital Needs: Lake Drive(Stoney Creek) R 2020 $175,000 C $175,000 Electric Jesse Lee Underground R 2021 $72,000 C $72,000 Electric Radiator Hoods R 2020 $200,000 C $200,000 Electric Fort Raymond Substation Fence Upgrade R 2020 $130,000 C $130,000 Electric High-Risk Capital Needs: Old Mill#3 R 2021 $200,000 H $200,000 Electric Gateway(Upper) R 2021 $90,000 H $90,000 Electric Gateway(Lower) R 2020 $80,000 H $80,000 Electric Woodland Hills R 2021 $120,000 H $120,000 Electric Downtown Alley(2nd and 3rd)underground R 2030 $1,000,000 H $1,000,000 Electric Downtown Alley(3rd and 4th)underground R 2030 $2,000,000 H $2,000,000 Electric Downtown Alley(4th and 5th)underground R 2030 $2,000,000 H $2,000,000 Electric Moderate-Risk Capital Needs: Quests Woods R 2020 $80,000 M $80,000 Electric Lawing to Victor Creek Overhead R 2020 $75,000 M $75,000 Electric Convert transmission line to 115 kV R 2030 $12,000,000 M $12,000,000 State/Electric Security Upgrades to substations N 20-22 $130,000 M $130,000 Electric T-Line Replace Nash Rd N 2030 $2,000,000 M $2,000,000 Total Electric Fund Projects: $20,352,000 $8,352,000 $12,000,000 Total Electric Fund Projects for 2020 and 2021: $1,352,000 $1,352,000 $0 Rating(a): Critical Risk(C): Likely to fail within next 5 years High Risk(H): Likely to fail in 5.10 years Moderate Risk(*:continuous increasing cost to maintain and operate. "New"reflects creation or purchase of a new asset;not replacing an existing asset 77 City of Seward Capital Improvement Plan Water-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source Critical Capital Needs: Replace Lowell Canyon 200K gallon Tank with 500K gallon tan] R 2021 $975,000 C $195,000 $780,000 City/State High Risk Capital Needs: Gateway Tank Roof R 2020 $300,000 H $300,000 City/CPV/Loan Abandon wells at Fort Raymond R 2020 $250,000 H $250,000 City Moderate Risk Capital Needs: Refurbish#4 production well R $85,000 M $85,000 City distribution Piping apgrades(dine iron pipe 2023 $500,000 M $500,000 City Facility Control upgrades R $80,000 M $80,000 City GIs system N $60,000 M $60,000 City Replace 10"and 14"AC water line btwn Phoenix and Sea Lion R 2026 $1,860,000 M $1,860,000 City Replace water lines R 2024 $400,000 M $400,000 City Total Water Fund Projects: $4,510,000 $3,730,000 $780,000 Total Water Fund Projects for 2020 and 2021: $1,525,000 $745,000 $780,000 Rating(a): Critical Risk(Q. Likely to fail within next 5 years High Risk(H): Likely to fail in 5-10 years Moderate Risk(M):continuous increasing cost to maintain and operate. "New"reflects creation or purchase of a new asset;not replacing an existing asset 78 City of Seward Capital Improvement Plan Wastewater-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source Critical Capital Needs: Lowell Point sludge pile disposal R 2020 $60,000 C $60,000 Wastewater Fund Liftstation#1 mobile standby generator R 2022 $75,000 C $75,000 Wastewater Fund High-Risk Capital Needs: SMIC piping for bypass(engineering/design)&constructi R 2024 $150,000 H $150,000 Wastewater Fund Four double wall fuel tanks.25k in 2021-2024 R 2021 $100,000 H $100,000 Wastewater Fund Manhole refurbishment R 2021 $120,000 H $120,000 Wastewater Fund Moderate-Risk Capital Needs: SMIC lower lift station(engineering only) R 2020 $250,000 M $250,000 Wastewater Fund SMIC lower lift station construction N 2021 $320,000 M $320,000 Wastewater Fund SMIC Sludge pile disposal R 2019 $25,000 M $25,000 Wastewater Fund Replace existing collection part R 2021 $140,000 M $140,000 Wastewater Fund Replace infrastructure past useful life($75Iq R 2027 $330,000 M $330,000 Wastewater Fund Wastewater Lagoon sludge removal 2025 $2,000,000 $2,000,000 Wastewater Fund Total Wastewater Fund Projects: $3,570,000 $3,570,000 $0 Total Wastewater Fund Projects for 2020 and 2021: $990,000 $990,000 $0 Rating(a): Critical Risk(C): Likely to fail within next 5 years High Risk(H): Likely to fail in 5-10 years Moderate Risk ff:continuous increasing cost to maintain and operate. "New"reflects creation or purchase of a new asset;not replacing an existing asset 79 Capital Improvement Plan Parking-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost Rating(a) City Portion Other Source Source Parking office/chalet replacement R 2020 $100,000 $100,000 Parking Other: NE Parking lot paving N 2020 $150,000 $150,000 Parking Total Parking Fund Projects: $250,000 $250,000 Total Parking Fund Projects for 2020 and 2Q21: $2501999 $250 900 Rating(a): Critical Risk(C): Likely to(ail within next 5 years High Risk(H): Likely to fail in 5-10 years Moderate Risk(M):continuous increasing cost to maintain and operate. "Neu,"reflects creation or purchase of a new asset;not replacing an existing asset 80 Capital Improvement Plan Motor Pool-Related Capital Projects 2020 and 2021 New or Project Funding Source Project Description Replace Year Cost City Portion Other Portion Source Parking truck R 2020 17,000 17,000 Parking Public Works loader w/snow blower R 2020 340,000 340,000 Motor Pool TYC van R 2020 30,000 30,000 Motor Pool Police cruisers with equipment(3) R 2020 135,000 135,000 Motor Pool Building inspection vehicle R 2021 40,000 40,000 Motor Pool Police cruiser with equipment R 2021 45,000 45,000 Motor Pool Harbor flatbed w/plow R 2021 80,000 80,000 Motor Pool Public Works sweeper R 2021 250,000 250,000 Motor Pool Parks maintenance truck R 2021 40,000 40,000 Motor Pool Total Motor Pool Fund Projects: $977,000 $977,000 $0 Total Motor Pool Fund Projects for 2020 and 2021: $977,000 $977,000 $0 81 City of Seward Capital Improvement Plan Healthcare-Related Capital Needs 2020 and 2021 Project Project Cost Cost Project Description Year 2020 2021 Lab: Blood gas analyzer 2020 $10,575 Centrifuge 2020 $10,000 Microscope 2020 $70,000 $90,575 Mountain Haven: Air Matresses 2020 $28,000 Bariatric transport chair 2021 $4,999 Bus 2020 $60.000 Epic Upgrade 2021 $150,000 Gravel Shed 2020 $5,000 Mattresses and Furniture 25% 2020 $45,000 Nurse Call System 2020 $30,000 Paint Mountain Haven 2020 $30,000 Parking lots patched and re-sealed 2020 $10,000 PSMH lodge front siding 2020 $6,000 PSMH roofs 2021 $40,000 Replacement computers&wall mounts 2020 $10,000 Scales 2020 $5,000 Specialty Wheel Chair 2021 $4,999 Workstations on wheels 2020 $12,000 $241,000 $199,998 Hospital: Badge readers SCHC front entrance and,, 2020 $10,000 Communications Closet 2021 $100,000 Expansion IT Room 2020 $200,000 Infant warmer 2020 $10,000 Monitors,bedside, fetal 2020 $6,850 Nurse Call System 2020 $180,000 Paint Medical Center Exterior 2021 $30,000 Parking lots patched and re-sealed 2020 $10,000 Portable ventilator 2020 $16,000 PSMC fuel tank re-do manhole 2021 $7,000 Storage/Space 2021 $30,000 VentBipap Machine 2020 $20,000 $452,850 $167,000 Facilities Gravel Spreader 2020 $8,500 Pool cars 2020 $45,000 $53,500 Total Healthcare Projects for 2020 and 2021 $837,925 $366,998 82 Sponsored by: Meszaros Public Hearing: December 9, 2019 CITY OF SEWARD,ALASKA RESOLUTION 2019-113 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AMENDING THE ELECTRIC RATES AND CHARGES AND READJUSTING RATES TO REFLECT SEWARD ELECTRIC UTILITY CHARGE, COST OF POWER ADJUSTMENT AND CUSTOMER CHARGE FOR 2020 AND 2021 WHEREAS, the Seward City Council desires to keep the electric fund healthy and sustainable while considering impacts to customers; and WHEREAS, the Council does not wish to raise rates without adequate knowledge and information for 2020 electric rates; and WHEREAS, the Council seeks to define the electric rates in 2020 prior to initiating the Consumer Price Index of 1.2% for 2020; and WHEREAS, to that end, Council approves changes to the Electric Tariff as attached hereto in"Electric Rates & Charges 2020", effective January 15, 2020; and WHEREAS, the Council further approves changes to the Electric Tariff as attached hereto in"Electric Rates & Charges 2021" to be effective January 15, 2021. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. Effective January 15, 2020, the Seward City Council hereby approves the adjusted Electric Tariff rates and charges as attached hereto as "Electric Rates & Charges — 2020". Section 2. Effective January 15, 2021, the Seward City Council hereby approves the adjusted Electric Tariff rates and charges as attached hereto as "Electric Rates & Charges — 2021". Section 3. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December, 2019. 83 Council Agenda Statement Meeting Date: December 9, 2019 From: John Foutz, Manager Electric Utility Through: Scott Meszaros, City Manager Agenda Item: Amending Electric Rates and Charges and readjusting rates to reflect Seward Electric Utility charge, cost of power charge and customer charge for 2020 and 2021. BACKGROUND & JUSTIFICATION: Based on the discussion at the November 6`h Council work session, the Seward City Council does not wish to implement the automatic Consumer Price Index (CPI) for 2020 of 1.2% until more information about the electric rates is attained. The previous rate study done in 2017 showed that all rate classes were close to where they should be and that a slight increase was justified and warranted based on the recent history of a decrease in overall usage to the utility. During previous budget work sessions in 2017, some customers of the City of Seward Utility expressed they wanted the electric utility bill to be easier to comprehend and transparent. The Seward City Council chose to implement a COPA based rate system to all rate classes to address this concern. The Council approved changing the previous rate structure (from an Energy charge, Fuel adjustment charge, infrastructure fee) to a rate structure more in line with other utilities (Seward utility charge, Cost of Power Adjustment [COPA], customer charge). The council also approved narrowing the margin of difference for the seasonal rates (Summer and Winter rates) for the residential and small general rate classes. The Seward utility does not change the COPA as this is a pass-through cost from the utility selling power to Seward. This was meant to more accurately demonstrate to rate payers the cost for purchasing power and the cost to support the infrastructure of the Seward Utility. The COPA continues to fluctuate monthly because the price of fuel is included with this category. Also, any rate adjustments by the power provider, Chugach Electric Association, will be reflected in the COPA. With only two years of historical data, the validity of the Cost of Power Adjustment (COPA) based rate system cannot be accurately determined. INTENT: The purpose of Resolution 2019-113 is to modify the Electric tariff to sufficiently recover projected expenses to the Electric Enterprise fund for fiscal years 2020 and 2021. 84 CONSISTENCY CHECKLIST: Yes No N/A Comprehensive Plan (L 3, 3. 7. 3. 1, 3. 7. 3. 2): Continue to upgrade 1 and expand utilities to meet existing needs and encourage future X development. Expand customer base within the Seward Electric Utility area as a means to reduce energy costs and improve services. 2 Strategic Plan:The mission of the City of Seward government is to X provide quality leadership and economic wellbeing of its citizens 3. Other: X FISCAL NOTE: A freeze to 2020 rates will impact the electric utility with a projected decrease of$86,882 and the 1.2% increase in 2021 is expected to compensate for a projected slight loss, based on historical data, in overall sales and continue to keep up with inflation. Approved by Finance Department: ATTORNEY REVIEW: Yes No X RECOMMENDATION: Seward City Council approves Resolution 2019-113 amending the Electrical Rates and Charges tariffs for 2020 and 2021. 85 Electric Rates & Charges 2020 ELECTRIC RATES & CHARGES RATES FOR ELECTRICAL POWER BY CLASS OF SERVICE Class of Service Seward Utility Charge Demand Charge Customer Charge /kWh /kW Residential Base rate: $.09526 Summer* $0.11718 N/A $21.84 Winter* $0.08098 N/A Small General Service Base rate: $.10906 (Less than 25 kW) Summer* $0.12542 N/A $41.72 Winter* $0.09161 N/A Boat Harbor(Less $.10906/kWh N/A $41.72 than 25 kW) Large General Service $0.07523 (l st 200 kWh/kW) $26.61** $43.71 $0.02606(Additional kWh) $9.82 (175 watts) $14.58 (250 watts) Yard Lights N/A N/A $27.76 (400 watts) $69.38 (1000 watts) LED equivalent=(1/2 of cost) Metered Street Lights $0.14471 N/A $43.71 These rates are based, in part, on the cost of energy and demand from Chugach Electric Association (CEA) and will change when there is an adjustment to CEA rates charged to the City of Seward. * Summer is defined to mean the period from April 15 through October 15 with Winter defined as the remainder of the year. ** Demand Charges will be based on the maximum demand recorded over a 15-minute period. Effective January 1, 2012 and each January 1"thereafter, rates will be adjusted based on a five year average of the cost of living as stated in the consumer price index, all items, 1982-84 =100 for urban wage earners and clerical workers, Anchorage, Alaska area, as published by the U.S. Department of Labor, Bureau of Labor Statistics. (NOTE:11112014 utilizes CPI Data from 2007-2011). 87 A Small General Service customer may elect to be billed under the Large General Service schedule. However, the election to change the billing rate from one customer group to another may not be made more often than once every 12 months. Definitions And Miscellaneous Charges System delivery charge: A system delivery Charge (SDC) of$28.75 will be applied to any service that uses less than 150 kWh/month, whether or not electric service is used. This replaces the Seward Utility energy charge and the Cost of Power Adjustment, and is subject to proration. SDC under this schedule is an addition to the customer-charge and is based on a monthly usage of 150 kWh times the energy rate and the COPA. Absent an active customer the registered property owner- will be billed this monthly minimum charge. Cost of Power Adjustment(COPA): The Cost of Power adjustment charge from the Power Provider is a direct pass-through of the monthly total Power bill, including fuel costs, energy charges, customer charges, demand charges, and other miscellaneous adjustments, prorated according to the number of kilowatt hours the Seward Electrical Utility customers consumed during the billing period. The monthly rate for COPA may be modified as frequently as monthly, or through the use of a balancing account intended to reduce rate fluctuations. Seward Fuel Adjustment: The Seward Fuel Adjustment cost may be included in the COPA in the event The City operates the standby generation plant, including fuel, labor, maintenance and repair when the cost exceeds the amount budgeted. The cost will be prorated according to the number of kWh the customers consumed during the billing period. Special Contracts: Special contracts may be negotiated by the Utilities Manager with customers that have a demand in excess of 750 kW or that have unique power requirements that cannot be reasonably addressed by the large general service tariff. Special contracts may include, but are not limited to, provisions for instantaneous demand charges, time of service, interruptible power, minimum and maximum demand, adjustment of demand level, ownership and payment of new distribution facilities, termination charges and power factor. Special contracts must be approved by the City Council. VAR Change (Power Factor Adjustment): All schedules requiring demand metering will be subject to the following power factor adjustment provisions: (1) Demand-metered customer should attempt to maintain a unity power factor. If the power factor falls below ninety percent lagging, the customer will take corrective steps to return the power factor to ninety percent or higher. Also,the following charge for billed kilowatts will apply: Monthly Billing Demand=Maximum Demand x 90% Actual Power Factor (2) All power factor adjustment equipment installed by the customer must be approved by the city. Power factor can be determined by permanently installed monitoring equipment or by periodic testing at reasonable intervals, at the discretion of the City. Standby Generation: The cost of operating the standby generation plant to meet a specific customer's need will be charged directly to that customer. Such cost will be the total cost of operating the plant, 88 including fuel, labor, overtime, maintenance, repair and overhead, less the value of energy generated in excess of customer's need. Other Miscellaneous Fees and Charges: Fees and charges for existing facilities can be found on the following pages, as well as engineering service fees and charges for new facilities. Fees are listed according to service zones as follows: ZONE I Inside City Limits (excluding the Seward Boat Harbor). ZONE II City limits to Mile 12, Seward Highway, and all roads connecting to the highway within this area. ZONE III Mile 12 to Lawing. APUC Regulatory Cost Charge: A special surcharge of$0.000626/kWh imposed on electrical utilities by the Regulatory Commission of Alaska (RCA) in response to the state's intent to assess user fees to support activities of the RCA and departments. This charge was recommended by the RCA as a pass through charge to retail utilities customers. Alternative Power Rebate: kWh generated by an alternative power source will be deducted from the kWh supplied by the City of Seward distribution system on a per month basis. Any excess energy generated and placed onto the City's distribution system will be credited at the non-firm avoided cost rate established by the Regulatory Commission of Alaska. (Resolution 2014-047, Effective June 7, 2014) 89 EXISTING FACILITIES SCHEDULE OF FEES AND CHARGES Service Zone I Zone II Zone III Meter Testing,per test,when results determined meter 72.84 101.98 131.09 is accurate Reconnection to approved existing meter installation 29.14 36.42 43.71 Reconnection to approved existing meter installation 203.95 247.62 291.33 outside regular business hours New connection fee 218.52 218.52 218.52 Minimum Deposit-Residential Account 120.10 120.10 120.10 Minimum Deposit-Commercial or Industrial Account 240.21 240.21 240.21 The larger of The larger of The larger of twice the twice the twice the Deposit-Interruptible, Off-Peak Account estimated estimated estimated monthly bill or monthly bill or monthly bill or $240.20 $240.20 $240.20 Tampering with or unauthorized breaking of meter seal $728.32 728.32 728.32 Per Annum interest on delinquent account 10.5% 10.5% 10.5% Door Hanger Fee 34.68 34.68 34.68 Monthly late fee on delinquent account 6.25 6.25 6.25 Dishonored check fee 39.12 39.12 39.12 Seasonal Turn-On Fee and Seasonal Turn-Off Fee $150.50 Turn- $150.50 Turn- $165.55Turn- (excludes brand new service; includes new account On On On name or same account name; waived if<2 months $150.50 Turn- $150.50 Turn- $165.55Tum- between turn-off and turn-on) Off Off Off Reconnection during regular business hours following $57.32 $71.69 $86.03 disconnection of delinquent account Reconnection outside regular business hours following $200.74 243.72 287.79 disconnection of delinquent account Transmission Rate $7.84/kW-per $7.84/kW- $7.84/kW- Month per Month per Month 90 NEW FACILITIES—ENGINEERING SERVICE CHARGES SCHEDULE OF FEES AND CHARGES Service Zone I Zone II Zone III Temporary secondary service $72.84 87.41 101.98 Primary Overhead Extensions (Residence) 72.84 87.41 101.98 Primary Underground Extensions (Residence) 72.84 87.41 101.98 Secondary service 72.84 87.41 101.98 Primary Overhead extensions (Subdivision,Mobile 145.66 174.85 203.95 Home Park, Multi-Residence) Primary Overhead Extensions (Commercial& 291.33 349.60 378.74 Industrial) Primary Underground Extensions (Commercial& 291.33 349.60 378.74 Industrial) Modifications of Existing Facilities 145.66 174.80 203.95 Street Lighting Systems and Yard Lights 72.84 87.41 101.98 NOTE: The Zone Fee or Charge is non-refundable until the service is connected. If the service is constructed and connected,the charge will be adjusted to the actual cost of engineering services. 91 Electric Rates & Charges 20214 92 ELECTRIC RATES&CHARGES RATES FOR ELECTRICAL POWER BY CLASS OF SERVICE Class of Service Seward Utility Charge Demand Charge Customer Charge /kWh /kW Residential Base rate: S.095M0964 Summer* $0.117181186 N/A $24-.8422.10 Winter* $0.080980820 N/A Small General Service Base rate: $. 1103 (Less than 25 kW) Summer* $0.425421269 N/A $41:7242.22 Winter* $0.091610927 N/A Boat Harbor(Less $}g9gy1103/kWh N/A $41 7242.22 than 25 kW) Large General Service $0.973 07610 s`200 kWh/kW) $26.61** $43-.7444.23 $0.026060264(Additional kWh) $9 829.94(175 watts) $14.5814.75(250 watts) $27 7628.09(400 watts) Yard Lights N/A N/A $69�870.21(1000 watts) LED equivalent=(1/2 of cost) Metered Street Lights $0.144711464 N/A $43-.7444.23 These rates are based, in part, on the cost of energy and demand from Chugach Electric Association (CEA)and will change when there is an adjustment to CEA rates charged to the City of Seward. * Summer is defined to mean the period from April 15 through October 15 with Winter defined as the remainder of the year. ** Demand Charges will be based on the maximum demand recorded over a 15-minute period. Effective January 1,2012 and each January I"thereafter,rates will he adjusted haled on a five-year average of the cost of living as stated in the consumer price index, all items, 1982-84=700 for urban wage earners and clerical workers, Anchorage, Alaska area, as puhlished by the US. Department of Labor, Bureau of Lahor Statistics. (NOTE:11112014 utilizes CPI Data from 2007-2011). 93 A Small General Service customer may elect to be billed under the Large General Service schedule. However, the election to change the billing rate from one customer group to another may not be made more often than once every 12 months. Definitions And Miscellaneous Charges System delivery charge:A system delivery Charge(SDC)of$28.75 will be applied to any service that uses less than 150 kWh/month, whether or not electric service is used. This replaces the Seward Utility energy charge and the Cost of Power Adjustment,and is subject to proration. SDC under this schedule is an addition to the customer charge and is based on a monthly usage of 150 kWh times the energy rate and the COPA. Absent an active customer the registered property owner will be billed this monthly minimum charge. Cost of Power Adjustment(COPA): The Cost of Power adjustment charge from the Power Provider is a direct pass-through of the monthly total Power bill, including fuel costs, energy charges, customer charges, demand charges, and other miscellaneous adjustments, prorated according to the number of kilowatt hours the Seward Electrical Utility customers consumed during the billing period. The monthly rate for COPA may be modified as frequently as monthly, or through the use of a balancing account intended to reduce rate fluctuations. Seward Fuel Adjustment. The Seward Fuel Adjustment cost may be included in the COPA in the event The City operates the standby generation plant, including fuel, labor, maintenance and repair when the cost exceeds the amount budgeted. The cost will be prorated according to the number of kWh the customers consumed during the billing period. Special Contracts: Special contracts may be negotiated by the Utilities Manager with customers that have a demand in excess of 750 kW or that have unique power requirements that cannot be reasonably addressed by the large general service tariff. Special contracts may include, but are not limited to, provisions for instantaneous demand charges, time of service, interruptible power, minimum and maximum demand, adjustment of demand level, ownership and payment of new distribution facilities, termination charges and power factor.Special contracts must be approved by the City Council. VAR Change(Power Factor Adjustment): All schedules requiring demand metering will be subject to the following power factor adjustment provisions: (1) Demand-metered customer should attempt to maintain a unity power factor.If the power factor falls below ninety percent lagging, the customer will take corrective steps to return the power factor to ninety percent or higher.Also,the following charge for billed kilowatts will apply: Monthly Billing Demand=Maximum Demand x 90% Actual Power Factor (2) All power factor adjustment equipment installed by the customer must be approved by the city. Power factor can be determined by permanently installed monitoring equipment or by periodic testing at reasonable intervals,at the discretion of the City. Standhy Generation: The cost of operating the standby generation plant to meet a specific customer's need will be charged directly to that customer. Such cost will be the total cost of operating the plant, 94 including fuel, labor, overtime, maintenance,repair and overhead, less the value of energy generated in excess of customer's need. Other Miscellaneous Fees and Charges: Fees and charges for existing facilities can be found on the following pages, as well as engineering service fees and charges for new facilities. Fees are listed according to service zones as follows: ZONE I Inside City Limits(excluding the Small Seward Boat Harbor). ZONE H City limits to Mile 42,Seward Highway,and all roads connecting to the highway within this area. ZONE III Mile 12 to Lawing. APUC Regulatory Cost Charge:A special surcharge of$0.000626/kWh imposed on electrical utilities by the Regulatory Commission of Alaska (RCA) in response to the state's intent to assess user fees to support activities of the RCA and departments. This charge was recommended by the RCA as a pass through charge to retail utilities customers. Alternative Power Rebate:kWh generated by an alternative power source will be deducted from the kWh supplied by the City of Seward distribution system on a per month basis. Any excess energy generated and placed onto the City's distribution system will be credited at the non-firm avoided cost rate established by the Regulatory Commission of Alaska. (Resolution 2074-047, Effective June 7, 2014) 95 EXISTING FACILITIES SCHEDULE OF FEES AND CHARGES Service Zone I Zone 11 Zone III Meter Testing,per test,when results determined meter 72.8475.75 101.98106.06 131.09136.33 is accurate Reconnection to approved existing meter installation 29.1430.30 36.4237.88 43.7145.46 Reconnection to approved existing meter installation 2W 95212.11 347Q257.52 302.98 outside regular business hours New connection fee 218.52221.14 218.52221.14 218.52221.14 Minimum Deposit-Residential Account 120.1 121.54 120.10121.54 120.10121.54 Minimum Deposit-Commercial or Industrial Account 240.21243.09 240.21243.09 240.21243.09 The larger of The larger of The larger of twice the twice the twice the Deposit-Interruptible,Off-Peak Account estimated estimated estimated monthly bill or monthly bill or monthly bill or $249.20243.09 $249 20243.09 $249.2-0243.09 Tampering with or unauthorized breaking of meter seal $ 2737.06 728.32737.06 728.32737.06 Per Annum interest on delinquent account 10.5% 10.5% 10.5% Door Hanger Fee 34.6835.10 34.6835.10 34.6835.10 Monthly late fee on delinquent account zo 256.33 zo-56.33 zo 256.33 Dishonored check fee 39.1239.59 39.1239.59 39.1239.59 Seasonal Turn-On Fee and Seasonal Turn-Off Fee $150.50156.50 $150.50156.50 $165.55172.17 (excludes brand new service;includes new account Turn-On Turn-On Turn-On name or same account name;waived if<2 months $150.50156.50 $150.50156.50 $165.55172.17 between turn-off and turn-on) Turn-Off Turn-Off Turn-Off Reconnection during regular business hours following disconnection of delinquent account $57.32 $71.69 $86.0�---- Formatted:Centered Reconnection outside regular business hours following $200.74 243.72 287.79 disconnection of delinquent account Transmission Rate $7.84/kW—per $7.84/kW— $7.84/kW— Month per Month per Month 96 NEW FACILITIES—ENGINEERING SERVICE CHARGES SCHEDULE OF FEES AND CHARGES Service Zone I Zone II Zone III Temporary secondary service $72 8473.71 87.4188.46 101.98103.20 Primary Overhead Extensions(Residence) 72.8473.71 87.4188.46 101.98103.20 Primary Underground Extensions(Residence) 72.8473.71 87.4188.46 101.98103.20 Secondary service 72 8473.71 87 4188.46 101 98103.20 Primary Overhead extensions(Subdivision,Mobile ,n�66147.41 14-850176.95 20395206.40 Home Park,Multi-Residence) Primary Overhead Extensions(Commercial& 291.33294.83 349.60353.80 378.74383.28 Industrial) Primary Underground Extensions(Commercial& 291.33294.83 349.60353.80 378.74383.28 Industrial) Modifications of Existing Facilities 145 66147.41 1480176.95 2W 95206.40 Street Lighting Systems and Yard Lights 72.8473.71 87.4188.46 101.98103.20 NOTE: The Zone Fee or Charge is non-refundable until the service is connected. If the service is constructed and connected,the charge will be adjusted to the actual cost of engineering set-vices. 97 Electric Rates & Charges 2021 ELECTRIC RATES & CHARGES RATES FOR ELECTRICAL POWER BY CLASS OF SERVICE Class of Service Seward Utility Charge Demand Charge Customer Charge /kWh /kW Residential Base rate: $.0964 Summer* $0.1186 N/A $22.10 Winter* $0.0820 N/A Small General Service Base rate: $.1103 (Less than 25 kW) Summer* $0.1269 N/A $42.22 Winter* $0.0927 N/A Boat Harbor(Less $.1103/kWh N/A $42.22 than 25 kW) Large General Service $0.0761 (lst 200 kWh/kW) $26.93** $44.23 $0.0264(Additional kWh) $9.94(175 watts) $14.75 (250 watts) Yard Lights N/A N/A $28.09 (400 watts) $70.21 (1000 watts) LED equivalent=(1/2 of cost) Metered Street Lights $0.1464 N/A $44.23 These rates are based, in part, on the cost of energy and demand from Chugach Electric Association (CEA) and will change when there is an adjustment to CEA rates charged to the City of Seward. * Summer is defined to mean the period from April 15 through October 15 with Winter defined as the remainder of the year. ** Demand Charges will be based on the maximum demand recorded over a 15-minute period. Effective January 1, 2012 and each January 1"thereafter, rates will be adjusted based on a five year average of the cost of living as stated in the consumer price index, all items, 1982-84 =100 for urban wage earners and clerical workers, Anchorage, Alaska area, as published by the U.S. Department of Labor, Bureau of Labor Statistics. (NOTE:11112014 utilizes CPI Data from 2007-2011). 99 A Small General Service customer may elect to be billed under the Large General Service schedule. However, the election to change the billing rate from one customer group to another may not be made more often than once every 12 months. Definitions And Miscellaneous Charges System delivery charge: A system delivery Charge (SDC) of$28.75 will be applied to any service that uses less than 150 kWh/month, whether or not electric service is used. This replaces the Seward Utility energy charge and the Cost of Power Adjustment, and is subject to proration. SDC under this schedule is an addition to the customer-charge and is based on a monthly usage of 150 kWh times the energy rate and the COPA. Absent an active customer the registered property owner- will be billed this monthly minimum charge. Cost of Power Adjustment(COPA): The Cost of Power adjustment charge from the Power Provider is a direct pass-through of the monthly total Power bill, including fuel costs, energy charges, customer charges, demand charges, and other miscellaneous adjustments, prorated according to the number of kilowatt hours the Seward Electrical Utility customers consumed during the billing period. The monthly rate for COPA may be modified as frequently as monthly, or through the use of a balancing account intended to reduce rate fluctuations. Seward Fuel Adjustment: The Seward Fuel Adjustment cost may be included in the COPA in the event The City operates the standby generation plant, including fuel, labor, maintenance and repair when the cost exceeds the amount budgeted. The cost will be prorated according to the number of kWh the customers consumed during the billing period. Special Contracts: Special contracts may be negotiated by the Utilities Manager with customers that have a demand in excess of 750 kW or that have unique power requirements that cannot be reasonably addressed by the large general service tariff. Special contracts may include, but are not limited to, provisions for instantaneous demand charges, time of service, interruptible power, minimum and maximum demand, adjustment of demand level, ownership and payment of new distribution facilities, termination charges and power factor. Special contracts must be approved by the City Council. VAR Change (Power Factor Adjustment): All schedules requiring demand metering will be subject to the following power factor adjustment provisions: (1) Demand-metered customer should attempt to maintain a unity power factor. If the power factor falls below ninety percent lagging, the customer will take corrective steps to return the power factor to ninety percent or higher. Also,the following charge for billed kilowatts will apply: Monthly Billing Demand=Maximum Demand x 90% Actual Power Factor (2) All power factor adjustment equipment installed by the customer must be approved by the city. Power factor can be determined by permanently installed monitoring equipment or by periodic testing at reasonable intervals, at the discretion of the City. Standby Generation: The cost of operating the standby generation plant to meet a specific customer's need will be charged directly to that customer. Such cost will be the total cost of operating the plant, 100 including fuel, labor, overtime, maintenance, repair and overhead, less the value of energy generated in excess of customer's need. Other Miscellaneous Fees and Charges: Fees and charges for existing facilities can be found on the following pages, as well as engineering service fees and charges for new facilities. Fees are listed according to service zones as follows: ZONE I Inside City Limits (excluding the Small Boat Harbor). ZONE II City limits to Mile 12, Seward Highway, and all roads connecting to the highway within this area. ZONE III Mile 12 to Lawing. APUC Regulatory Cost Charge: A special surcharge of$0.000626/kWh imposed on electrical utilities by the Regulatory Commission of Alaska (RCA) in response to the state's intent to assess user fees to support activities of the RCA and departments. This charge was recommended by the RCA as a pass through charge to retail utilities customers. Alternative Power Rebate: kWh generated by an alternative power source will be deducted from the kWh supplied by the City of Seward distribution system on a per month basis. Any excess energy generated and placed onto the City's distribution system will be credited at the non-firm avoided cost rate established by the Regulatory Commission of Alaska. (Resolution 2014-047, Effective June 7, 2014) 101 EXISTING FACILITIES SCHEDULE OF FEES AND CHARGES Service Zone I Zone II Zone III Meter Testing,per test,when results determined meter 75.75 106.06 136.33 is accurate Reconnection to approved existing meter installation 30.30 37.88 45.46 Reconnection to approved existing meter installation 212.11 257.52 302.98 outside regular business hours New connection fee 221.14 221.14 221.14 Minimum Deposit-Residential Account 121.54 121.54 121.54 Minimum Deposit-Commercial or Industrial Account 243.09 243.09 243.09 The larger of The larger of The larger of twice the twice the twice the Deposit-Interruptible, Off-Peak Account estimated estimated estimated monthly bill or monthly bill or monthly bill or $243.09 $243.09 $243.09 Tampering with or unauthorized breaking of meter seal $737.06 737.06 737.06 Per Annum interest on delinquent account 10.5% 10.5% 10.5% Door Hanger Fee 35.10 35.10 35.10 Monthly late fee on delinquent account 6.33 6.33 6.33 Dishonored check fee 39.59 39.59 39.59 Seasonal Turn-On Fee and Seasonal Turn-Off Fee $156.50 Turn- $156.50 Turn- $172.17Turn- (excludes brand new service; includes new account On On On name or same account name; waived if<2 months $156.50 Turn- $156.50 Turn- $172.17Tum- between turn-off and turn-on) Off Off Off Reconnection during regular business hours following $57.32 $71.69 $86.03 disconnection of delinquent account Reconnection outside regular business hours following $200.74 243.72 287.79 disconnection of delinquent account Transmission Rate $7.84/kW-per $7.84/kW- $7.84/kW- Month per Month per Month 102 NEW FACILITIES—ENGINEERING SERVICE CHARGES SCHEDULE OF FEES AND CHARGES Service Zone I Zone II Zone III Temporary secondary service $73.71 88.46 103.20 Primary Overhead Extensions (Residence) 73.71 88.46 103.20 Primary Underground Extensions (Residence) 73.71 88.46 103.20 Secondary service 73.71 88.46 103.20 Primary Overhead extensions (Subdivision,Mobile 147.41 176.95 206.40 Home Park, Multi-Residence) Primary Overhead Extensions (Commercial& 294.83 353.80 383.28 Industrial) Primary Underground Extensions (Commercial& 294.83 353.80 383.28 Industrial) Modifications of Existing Facilities 147.41 176.95 206.40 Street Lighting Systems and Yard Lights 73.71 88.46 103.20 NOTE: The Zone Fee or Charge is non-refundable until the service is connected. If the service is constructed and connected,the charge will be adjusted to the actual cost of engineering services. 103 Sponsored by: Meszaros Approved: November 25, 2019 Reconsidered: November 25, 2019 Postponed: November 25, 2019 CITY OF SEWARD, ALASKA RESOLUTION 2019-111 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ESTABLISHING THE CITY OF SEWARD'S CALENDAR YEAR 2020 STATE LEGISLATIVE PRIORITIES WHEREAS, the City annually compiles a list of projects or issues that are identified as top legislative priorities; and WHEREAS, the list of projects are compiled and distributed to the State of Alaska Legislature, Kenai Peninsula Borough, and City of Seward lobbyists; and WHEREAS, this resolution validates projects, prioritizes needs, and focuses the efforts of City Administration in its lobbying efforts; and WHEREAS, the passage of this resolution occurs through a public process; and WHEREAS, all projects on this list are consistent with the City Comprehensive and Strategic Plans. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. This list of city projects is hereby declared to be the official STATE priority list for the City of Seward for calendar year 2020: A. BENEFICIAL LEGISLATION 1. Legislative support for maintaining the current level of State contributions into the PERS/TRS Retirement System on behalf of local governments, and for not extending the amortization period, in order to offset unfunded retirement system liabilities and to make future contribution rates more affordable for the state and local governments. 2. Legislative support for the U.S. Army Corps of Engineers "Lowell Creek Tunnel Study" to construct a new tunnel through Bear Mountain to protect life, safety, and property of City of Seward residents. 3. Legislative support for the U.S. Army Corps of Engineers to design and construct a "rip-rap rock levee"to protect airport runways and property from flooding. 104 CITY OF SEWARD,ALASKA RESOLUTION 2019-111 4. Support for continuing Medicaid programs and capital cost reimbursement at not less than current year funding levels. 5. Legislative support for continuing Alaska Energy Authority (AEA) programs that promote energy efficiency and conservation to help mitigate the costs of heating homes and businesses not served by natural gas. 6. Legislative support for feasibility analyses considering pipeline or multi-modal delivery methods of making natural gas available to communities not currently along a pipeline corridor, and using Seward's road/rail/barge connections as demonstration projects. 7. Legislative support for matching City funds towards the non-Federal 50% cost share of the U.S. Army Corps of Engineers study required to address the Lowell Canyon Diversion Tunnel hazard. The City currently owes $266,022. 8. Continued support for the State Department of Transportation and Public Facilities Municipal Harbors Grant Program. 9. Full funding of the Alaska Police Standards Council in order to return to full reimbursement of Police Recruit training costs. 10. Full funding of the Alaska Department of Corrections in order to return 100% of the operational costs of the Jail to the State of Alaska. 11. Full funding of the Alaska Department of Corrections in order to continue State operation of the Spring Creek Correctional Center, the only maximum-security prison in the State of Alaska. 12. Full funding of the Alaska Vocational Technical Center (AVTEC) in order to continue vocational training and investment in local communities and trades. The City seeks support for AVTEC as it provides students with skills and career paths that benefit the State and local economy. 13. Legislative support for expanding access to mental health and substance use disorder treatment and recovery, to include expansion and renovation of the Seaview Community Services existing behavioral health treatment facility. 105 CITY OF SEWARD,ALASKA RESOLUTION 2019-111 B. CAPITAL PROJECTS Recognizing the current government sector fiscal reality and its potential private sector economic impacts, the City of Seward is limiting its capital improvement project requests to those where the State's participation would leverage other significant funding, complete projects already underway, address projects of immediate life and safety, and enable projects that could be eligible under a statewide bond package if the State pursues and the voters approve such a plan. 1. $3,050,000 for design and construction of a new Public Works Facility (City will provide land for the new building). 2. $8 million to design and rebuild the electric transmission line from the Seward Highway to the Seward Marine Industrial Center facility and upgrade the Spring Creek substation by securing an alternative feed transformer to add capacity and reduce system outages and provide continuous service during maintenance periods. 3. $12 million to upgrade transmission conductors and substation transformers to improve the system's capacity to 115kV over existing 69 kV capacity. This would help unify the transmission system for the entire community and expand the system's capabilities, allowing higher capacity projects into the future. 4. $2.5 million to rebuild the electric transmission line from the Seward Highway to the Seward Marine Industrial Center facility. 5. $1,000,000 for systems maintenance and repairs at the Alaska SeaLife Center. 6. $500,000 for a hull washwater collection and treatment system at the 50-Ton Travelift. 7. $1,241,250 for JAG Shipyard Environmental Discharge Controls. 8. Continued support for Alaska Energy Authority (AEA) grants program in order to expand district heat loop systems and other alternative energy projects. 9. $1,000,000 for the design, engineering and construction of an Animal Shelter and dog park facility 10. $8,100,000 for the Alaska Department of Transportation to extend the proposed runway to 4,000 feet in order to accommodate larger aircraft and provide effective disaster response 106 CITY OF SEWARD,ALASKA RESOLUTION 2019-111 C. CRUISE PASSENGER VESSEL TAX REGIONAL IMPACT FUND OR CRUISE SHIP GAMBLING TAX 1. Appropriating funding for the Alaska Railroad Corporation Seward Marine Terminal Expansion project supporting both passenger and freight activities. Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December, 2019. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Brenda J. Ballou, MMC City Clerk (City Seal) 107 Sponsored by: Meszaros & Terry CITY OF SEWARD,ALASKA RESOLUTION 2019-114 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING AN AMENDMENT TO THE LEGAL SERVICES AGREEMENT WITH BIRCH HORTON BITTNER & CHEROT WHEREAS, on December 14, 2015, Seward City Council passed resolution 2015-116 approving a legal services agreement with Birch Horton Bittner& Cherot ("Law Firm"); and WHEREAS, the selection of Birch Horton Bittner & Cherot as the City Attorney resulted from a competitive request for proposals which resulted in five proposals which were narrowed down by a scoring committee comprised of members of the City Council, Administration, and the City Clerk to three firms interviewed on December 7, 2015 by the Seward City Council; and WHEREAS, the legal services agreement continues from year to year until terminated by either party; the City may terminate the agreement at any time for any reason, whereas the Law Firm may not terminate the agreement without first giving ninety (90) days' written notice; and WHEREAS, due to increased use in 2018 and 2019, legal services rendered exceeded the $80,000 budgeted amount each year at the previously-approved hourly rate; and WHEREAS, under the proposed amendment, the City shall pay the Law Firm a fxed fee of $6,700 per month in exchange for up to 33 hours of general counsel services per month, as well as a list of other services. The $6,700 per month equals $80,400 per year; and WHEREAS, Seward City Code §610.120 (A)(8) allows for an explicit exemption from competitive procurement for the purchase of professional legal services. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The city manager is hereby authorized to execute the Amendment to Legal Services Agreement with Birch Horton Bittner & Cherot in substantial form as attached hereto, including the modified"Appendix A—Fee Schedule". Section 2. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9tt, day of December, 2019. 108 Agenda Statement Meeting Date: December 9t' 2019 To: City Council -- Through: Christy Terry, Mayor From: Scott Meszaros, City Manager Agenda Item: City Attorney Contract Amendment BACKGROUND & JUSTIFICATION: The City entered into a legal services agreement with Birch Horton Bittner&Cherot("Law Firm") on December 14, 2015 , when the City's prior law firm dissolved after providing legal services to the City for more than twenty years. The selection of the Birch Horton Bittner & Cherot was the result of a competitive request for proposals which yielded five submittals. The candidates were narrowed down by a scoring committee consisting of members of the City Council,Administration and the City Clerk, and after interviewing the firms, Council selected the firm of Birch Horton Bittner & Cherot as the City's legal firm, with Will Earnhart serving as Lead Attorney. The legal services agreement continues from year to year until terminated by either party; the City may terminate the agreement at any time for any reason, whereas the Law Firm may not terminate the agreement without first giving ninety(90) days' written notice. The contract is being amended to modify the hourly fee schedule to a fixed or flat fee schedule of 6,700 per month in exchange for up to 33 hours of general counsel services per month as well as a list of other services. The $6700 per month equals $80,400 per year. INTENT: To amend Appendix "A" of the Legal Services Agreement modify the existing contract fee schedule, with all other terms remaining in effect. CONSISTENCY CHECKLIST: Yes No NIA City Charter: 2.1 (b) " The appointive officers of the citv are the citv manager, the city clerk and the city attorney. " 2.5 "The compensation o 1. all elective officers and board members, the city manager, the citv clerk and X the city attorney shall be established by the council." 5.3 "The... city attorney shall be appointed by the council. (They) shall hold office for indefinite terms at the pleasure of the council."5.6 "The city attorney shall act as the le;!,al advisor of, and be responsible to, the city council. " 2. City Code: 2.20.040 The position of city attorney "..shall advise the council and the city manager, and boards, commissions and all offices andX departments of the city, on all matters of law."See 2.20.040 - City attorney 3. Pesolution 2015-116 approves initial legal services agreement ATTORNEY REVIEW: X Yes No 109 FISCAL NOTE: The 2018 /2019 Budget includes funding for legal services each year in the amount of$80,000. Approved by Finance Department: RECOMMENDATION: Council approve Resolution 2019-114 amending the Legal Services Agreement with Birch Horton Bittner & Cherot to modify the existing hourly fee schedule to a fixed fee schedule as described. 110 AMENDMENT TO LEGAL SERVICES AGREEMENT WHEREAS, Birch Horton Bittner& Cherot (the "Law Firm :) has provided excellent legal representation to the City of Seward (the "City") for over three years; and WHEREAS, on February 13, 2018, the Seward City Council voted to continue to retain the services of the Law Firm; and WHEREAS, the Law Firm provides legal services to the City at substantially discounted rates; NOW THEREFORE, the City and the Law Firm hereby agree to amend the current Legal Services Agreement, dated December 14, 2015, with a new fixed fee schedule, attached hereto as Appendix A. Appendix A attached hereto replaces the previous Exhibit A amended in January 2018 attached to the December 14, 2015 Legal Services Agreement. All other terms remain in effect. City of Seward Birch, Horton, Bittner& Cherot By: By: Scott Meszaros Title: City Manager Title: Managing Shareholder Date: Date: 111 ATTORNEY-CLIENT PRIVILEGE MEMORANDUM TO: SEWARD CITY COUNCIL SCOTT MESZAROS FROM: HOLLY WELLS RE: CITY ATTORNEY SERVICES AND OPTIONS CLIENT: CITY OF SEWARD FILE NO.: 507486.1006 DATE: OCTOBER 14, 2019 I. INTRODUCTION The purpose of this memorandum is to provide City Council with requested information regarding the viability of in-house legal services and present a flat-fee agreement to Council that incorporates services and budgetary restrictions requested by Council members. II. OPTIONS A. Flat Fee Services Due to increased legal fees over the last two years, several City Council members expressed an interest in exploring the benefits of paying a monthly flat fee for general legal services instead of paying hourly for such services. As a result, our firm began monitoring the monthly amount of legal services used by the City and the reasons for this use. When considering the viability of a flat fee services agreement for a public entity, Birch Horton generally considers: 1) the predictability of the nature and extent of the entity's monthly legal services and 2) the ability to safe guard the entity, and the firm, from unexpected increases and decreases in needed services. At first blush, the City is not a great candidate for a flat-fee agreement because the amount of its general legal services have fluctuated significantly over the last four years. In 2016 and 2017, the City used approximately$68,200 of general legal services per year. In 2018, these services more than doubled. In 2019, legal services rendered declined Memo Re: Legal Services Options Page 1 of 4 112 ATTORNEY-CLIENT PRIVILEGE substantially but still exceeded services rendered in 2016 and 2017, with current 2019 fees more than $100,000.1 Despite the unpredictability of the legal services used by the City over the last four years, Council's use of legal services is increasing in efficiency. While there are still months with greater use of legal services than seen on average in 2016 and 2017, legal services rendered during such months generally involve review of substantial legislative actions, core transactions, and/or mandated administrative proceedings. This trend suggests that despite inconsistencies in the use of legal services over the last four years, a flat fee agreement may be a viable option for Seward, with a few modifications. After working with administration to determine the City's needs, and determining the City's ability To this end, Appendix A includes a proposed flat-fee agreement that provides the City reduced hourly rates for legal services, Council greater oversight over legal counsel while protecting the City from extreme overages and ensuring the City receives essential legal services at no additional cost. Under the proposed Agreement, the City pays the Firm a fixed fee of $6,700 per month in exchange for up to 33 hours of general counsel services per month as well as a list of other services. The $6700 per month equals $80,400 per year. The other services offered as part of the agreement, at no additional cost to the City, include: 1. Two "in-house counsel sessions." These "in-house counsel sessions" involve a member of the municipal team traveling to the City and residing in the City for five consecutive work-days. The purpose of this service is to ensure that the City Attorney understands the City, its property, its culture, and its priorities as much as possible. It also gives the Administration and Council an opportunity to assess the value of having an attorney present in in-house. 2. One half-hour telephonic or in-person training session with the designated City Attorney for all newly-elected Council members. The purpose of this service is to give new Council members an opportunity to ask questions without doing so in a public forum. 3. One half-hour session annually for each Council member to discuss concerns, goals, and priorities. This is a service the firm recently provided Council that seemed to be beneficial for both new Council members and the City Attorney. 4. One in-person training on municipal governance per year for Council, commission, and board members not to exceed four hours. ' See Appendix B. Memo Re: Legal Services Options Page 2 of 4 113 ATTORNEY-CLIENT PRIVILEGE 5. Travel time and travel-related expenses arising from attendance at the 12 Council meetings. 6. Long distance telephone calls 7. Photocopies created at the Firm offices 8. Two one-hour sessions with the City Manager annually to discuss Firm performance and outstanding goals and priorities of the City. The hourly rates for general legal services beyond 33 hours per month as well as the hourly rates for litigation remain the same as current rates. The proposed agreement does permit the City to roll over hours for general legal services exceeding the 33-hour cap to the next month, allowing the City to maximize the value of the 33-hour cap. Given the amount of new services included in the proposed agreement, and the firm's uncertainty of the cost of these services, the proposed agreement is only for one year. However, there is a provision that permits the City to renew the agreement with mutual consent of both parties. B. In-house Counsel While the City has always retained outside legal counsel to serve as its designated City Attorney, Council recently expressed interest in transitioning to in-house counsel. In an effort to assist City Administration and Council in exploring the in-house counsel option, we reviewed data and documents that the firm had regarding the costs of in-house legal departments in municipalities similar in size to Seward. As was the case with the flat-fee agreement analysis, the City's determination of the viability of in-house counsel may be difficult to assess given the fluctuation in legal services over the last four years. According to Kenai's 2020 Fiscal Year Operating Budget, the FY2020 Adopted Budget affords $348,786 for legal services.2 While this exceeds the general legal services rendered Seward, the fees resulting from litigation and other considerations may warrant a deeper analysis of the pros and cons of the in-house counsel system before dismissing it. Many city managers find in-house counsel to serve not only as the designated municipal attorney, but also as a valuable member of the administrative team, which may have less tangible cost savings worth considering. 2https://www.kenai.city/sites/default/files/fileattachments/finance/page/l971/final update d budget.pdf Memo Re: Legal Services Options Page 3 of 4 114 ATTORNEY-CLIENT PRIVILEGE If the City delves into this option further, I would recommend reaching out to the Alaska Municipal League-Attorney's Section, which has among its members many in-house municipal attorneys. Further, I'd also recommend discussing the potential transition with the City's insurance carriers and the Alaska Municipal Manager's Association, both of which may have additional resources for the City. Memo Re: Legal Services Options Page 4 of 4 115 GENERAL COUNSEL LEGAL SERVICES INTERIM FLAT FEE AGREEMENT Agreement dated as of 2-0 between the CITY OF SEWARD, an Alaska municipal corporation ("City"), and BIRtI4, HORTON, BITTNER, INC., an Alaska professional corporation, d/b/a Birch, Horton, Bittner and Cherot ("Firm"). Section 1. Definitions. In addition to the terms defined above, in this contract: A. "City" means the City of Seward, Alaska. B. "Council" means the Seward City Council. C. "Manager' means the City Manager of City. Section 2. Scope of Services. The Firm shall act as general counsel to City and shall perform the following work at the direction of Council: • Serve as the legal advisor of and be responsible to Council and Manager; advise Manager and City Clerk concerning matters affecting City Administration and perform other duties prescribed by Council and Manager. • Prepare or review legal documents, including but not limited to ordinances, resolutions, contracts, conveyances, leases, easements and legal opinions, as needed. + Be readily available for consultation with Council, Manager, and City Clerk. + Represent City, City employees and officials acting in their professional capacities, and City departments and agencies in judicial and quasi-judicial. • Assist Manager in negotiations on City's behalf, as needed. • At the request of Manager, or by action of Council, draft opinion letters regarding, among other things, interpretation of Seward City Code, City policies, state and federal laws, and case law. + Perform other such duties as may be prescribed for the City Attorney by ordinance, resolution or by direction of Council and/or Manager. • Work effectively with Council, Manager, City Clerk and with all other public agencies and other entities with which the City has a legal relationship. + Attend at least one Council meeting per month and others telephonically as requested. B. All representation of City shall continue until the matters or cases assigned are either closed out by mutual consent or are recalled by Council. C. The Firm shall not engage any consultant, expert, or other third-party service without prior approval of Council. Section 3. Access to City Personnel. Manager shall secure the cooperation of City personnel as necessary to assist Firm's performance under this agreement. INTERIM FLAT-FEE AGREEMENT FOR GENERAL LEGAL SERVICES Page 1 of 5 00887367.DOC 116 Section 4. Contract Administrator. Manager shall administer this contract on behalf of City and at direction of Council. Section 5. Term. A. Initial Term. This agreement becomes effective when signed on behalf of both parties and shall continue in effect for one year. B. Option to Extend. Council shall have the option to extend this agreement for a three (3) year term commencing on the expiration of the Initial Term upon mutual consent of Firm and Council. All the terms and conditions of this agreement shall apply during any extended term. No additional options to extend shall be created by City's election to extend this agreement. Section 6. Attorney Assignment. Holly C. Wells is the Firm attorney who will be principally responsible for performing or supervising the work to be done by Firm on City's behalf and who will be City's principal contact with respect to contract administration and billing. The responsible attorney will not be changed without written consent of Council. The responsible attorney may, in her discretion, assign additional Firm attorneys, paralegals, and law clerks to perform legal services under her supervision. Section 7. Compensation. A. City shall pay Firm a fixed fee of $6,700 per month in exchange for up to 33 hours of general counsel legal services per month and the services in subsection B below. B. The $6,700 monthly fixed fee shall include, at no additional cost to City except as expressly noted in this section: 1. Two "in-house counsel sessions." These "in-house counsel sessions" involve a member of the municipal team traveling to Seward and residing within Seward's boundaries for five consecutive work-days. City shall provide a work-space for the attorney at City Hall. Holly Wells shall attend at least one of the "in-house counsel sessions." Firm shall pay the costs of transportation, lodging, and meals during all "in-house counsel sessions." Legal work performed during these sessions will be charged in accordance with this agreement. City shall only be charged for time during which the attorney is engaged in providing legal advice or performing legal work for City. 2. One half-hour telephonic or in-person training session with the designated City Attorney for all newly-elected Council members. 3. One half-hour session annually for each Council member to discuss concerns, goals, and priorities. 4. One in-person training on municipal governance per year for Council, commission, and board members, not to exceed four hours. 5. Travel time and travel-related expenses arising from attendance at 12 Council meetings. INTERIM FLAT-FEE AGREEMENT FOR GENERAL LEGAL SERVICES Page 2 of 5 00887367.DOC 117 6. Long distance telephone calls 7. Photocopies created at Firm offices 8. Two one-hour sessions with Manager annually to discuss Firm performance and his, her or Council's outstanding goals and priorities for City. C. The following hourly rates for work above and beyond 33 hours per month or work classified as Litigation: Shareholders, Members, and Of-Counsel: $225; Associates: $205; Paralegals: $130. D. For travel time between Seward and Anchorage outside the contracted 12 trips, City agrees to pay Firm the applicable hourly rate, plus out-of-pocket expenses. E. Except for travel expenses described in subsection A of this section, City shall reimburse Firm for in-house expenses and third-party expenses incurred on City's behalf. Such expenses may include applicable filing fees, recording fees, facsimile services, courier services, expedited mail or delivery services, travel expenses, service of process fees, deposition transcripts, stenographer fees, computer-assisted legal research fees, title insurance premiums, and other similar charges. F. Firm shall receive Council approval before exceeding 33 hours of general legal services in a calendar month. This section does not apply to litigation fees outside flat fee amount. Section 8. Statements and Payment. A. Firm shall submit itemized monthly statements to City for all fees and costs incurred during the preceding calendar month. Monthly statements shall identify the subject of the work performed and the time, to the nearest one-tenth of an hour, spent on each subject. Costs shall be itemized and described separately on each monthly statement. B. Payment of monthly statements will be remitted to Firm within 30 days. A late charge on amounts past due for 30 days or more will be assessed at the rate of .88% per month, or at the highest rate allowed by applicable law. C. Overages by City in one month will be rolled over to the next month and applied to that month's 33-hour cap. Hours may be rolled over consecutively but City agrees to pay Firm for any remaining overages no later than November 30 of each year. In the event this agreement is terminated before the term expires, rolled-over fees shall be paid to Firm no more than 30 days after the date of termination. Section 9. Insurance. Firm shall maintain in good standing the following insurance during the term of this agreement, and shall furnish Manager with proof of the required insurance coverage before rendering any services under this agreement: A. Worker's compensation insurance as required by AS 23.30.045, including employer's liability protection not less than $100,000 per person, $100,000 per occurrence. INTERIM FLAT-FEE AGREEMENT FOR GENERAL LEGAL SERVICES Page 3 of 5 00887367.DOC 118 B. Comprehensive automobile liability insurance, covering all owned, hired and non- owned vehicles with coverage limits not less than $300,000 per person/$300,000 per occurrence. C. Professional liability coverage for claims up to a minimum amount of $1,000,000 per claim for the term of this agreement, plus a three-year extended reporting period endorsement after the end of this agreement. Section 10. Records. Subject to the transfer of a file to another attorney at City's request, Firm shall retain and maintain all significant components of the files concerning each matter in which Firm provides services to City for a period of seven years following the conclusion of representation of City in the matter, unless a longer period of retention is required under the City of Seward Retention Schedule. During such time, Firm will afford City representatives reasonable access to each such file. At any time after the end of this seven- year retention period, Firm, in its discretion, may destroy the file and its contents without further notice to City. Firm will deliver to City the originals of any documents in a file at the time the file is closed. Section 11. Termination of Services. Firm's services under Section 2 may be terminated: A. For convenience by City. B. By mutual consent of the parties. C. For cause, by either party where the other party fails in any material way to perform its obligations under this agreement. Termination under this subsection is subject to the condition that the terminating party notify the other party of its intent to terminate, stating with reasonable specificity the grounds for termination, and the other party's failure to cure the default within 15 days after receiving the notice of termination. Section 12. Notices. Any notice pertaining to this agreement shall be either personally delivered or mailed by prepaid first class registered or certified mail, return receipt requested as follows: City: City of Seward City Hall Building Attention: City Manager PO Box 167 Seward, AK 99664 smeszaros cit ofseward.net Firm: Birch, Horton, Bittner and Cherot Attn: Holly C. Wells 510 L, Street, Suite 700 Anchorage, Alaska 99501 hwells()bhb.com Section 13. Amendment. This agreement may be amended only by a writing executed by each party and approved by Council. INTERIM FLAT-FEE AGREEMENT FOR GENERAL LEGAL SERVICES Page 4 of 5 00887367.DOC 119 Section 14. integration. This instrument embodies the entire agreement of the parties. There are no promises, terms, conditions or obligations other than those contained herein; and this contract shall supersede all previous communications, representations or agreements, either oral or written, between the parties hereto. IN WITNESS WHEREOF, the parties have executed this contract as of the date first written above. CITY OF SEWARD BIRCH HORTON BITTNER AND CHEROT Christy Terry 'H0 Wells Mayor/City Council Chairperson Attorney Scott Meszaros City Manager/Contract Administrator ATTEST: Brenda Ballou, CIVIC, City Clerk INTERIM FLAT-FEE AGREEMENT FOR GENERAL LEGAL SERVICES Page 5 of 5 00887367.DOC 120 Sponsored by: Hunt CITY OF SEWARD,ALASKA RESOLUTION 2015-116 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,APPROVING A LEGAL SERVICES AGREEMENT WITH BIRCH HORTON BITTNER& CHEROT WHEREAS, the city has need of professional legal services in a wide variety of settings including employment relations,contracting,real property transactions,ordinance and resolution drafting,environmental and financial matters,as_well as more generalized services to the city;and WHEREAS, it is in the public interest to engage the services of a law firm with the required areas of expertise and experience in municipal law issues; and WHEREAS,the city's current firm Wohlforth,Brecht&Cartledge is dissolving by year end; and WHEREAS,at their October 26,2015 meeting,the City Council directed staff to issue a Request For Proposals to provide legal services; and WHEREAS, in November, 2015, the city advertised for such Request For Proposals, advertising in the Alaska Dispatch News; and WHEREAS, five proposals were received from legal firms; and WHEREAS,at a special meeting on December 3,2015,the scoring committee comprised of members of the City Council, City Administration, and the City Clerk scored the proposals, selecting three applicants to interview on December 7, 2015; and WHEREAS,at a special meeting on December 7, 2015,the City Council voted to enter into contract negotiations and conduct reference checks with the legal firm Birch Horton Bittner &Cherot. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The legal services agreement, as substantially presented at this meeting is hereby approved. Section 2. This resolution shall take effect immediately. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 14fh day of December, 2015. 121 Agenda Statement Meeting Date: December 14,2015dt To: City Council Through: Jim Hunt, City Manager From: Johanna Kinney, City Clerk Agenda Item: Approving a legal services agreement with Birch Horton Bittner& Cherot. BACKGROUND & JUSTIFICATION: Due to the dissolving of the city's current legal firm Wohlforth, Brecht& Cartledge, the city was faced with obtaining new legal representation for the first time in over twenty years. The City Council directed staff to prepare a Request For Proposal for such legal services and five proposals were received. Upon preliminary scoring and interviewing throughout the month of November and December, the City Council has selected the law firm of Birch Horton Bittner & Cherot(BHBC)to negotiate a contract for legal services. The contract included in this agenda packet is negotiated and signed by BHBC. The agreed upon rate schedule is $215 per hour for Shareholders and Lead Attorney Will Earnhart, $195.00 for Associates, and $120.00 per hour for Paralegals/Law Clerks. INTENT: CONSISTENCY CHECKLIST: Yes No NIA City Charter (document source here): 2.1 (b) "The appointive officers of the city are the city manager, the city clerk and the city attorney. " 2.5 The compensation of all elective officers and board members, the 1. city manager, the city clerk and the city attorney shall be established by X the council." 5.6 "The city attorney shall act as the legal advisor or and be responsible to the council. " 2. City Code (document source here): 2,20.040—City Attorney X FISCAL NOTE: The Funding for city legal services is a budget fund approved in the 2016-2017 Budget. l �p 122 Approved by Finance Department: ATTORNEY REVIEW: Yes No X RECOMMENDATION: Council approve Resolution 2015-116, a legal services agreement with Birch Horton Bittner & Cherot. 123 LEGAL SERVICES AGREEMENT This AGREEMENT dated and effective this 14a' day of December, 2015 is made. between the CITY OF SEWARD (the "City") and the law firm Birch Horton Bittaer &'Cherot (the"Law Firm") 1. LEGAL SERVICES TO BE PROVIDED. The Law Firm agrees to serve as the attorney and to provide,on request,legal advice and services as necessary to the City Council and City administration. For purposes of budgetary controls and financial pl"anning,the provision of legal services under this agreement will be considered a City departmental function with the normal budgetary restraints. For each annual budget cycle,and as required during the fiscal year,;the City attorney shall-prepare,with approval of the City manager, a budget for services for the fiscal year. The City Manager shall be responsible for overall budget compliance in the same manner as other City departments. Billings by the Law Firm under a budget line item are not to exceed the budgeted amount without the required appropriation by the City Council. 2, SCOPE OF SERVICES.The1aw Firm shall act as City attorney of the City, shall represent the City in all civil and criminal proceedings except those matters which may be assigned by the City to other counsel, and shall act as legal advisor to and be attorney and counsel for the City Council and city manager in all mutters of law affecting the City. Except on an emergency basis(e.g.,responding-to litigation seeking emergency relief) the Law Firm is not to provide or bill for any legal services without first obtaining the approval of the City. Such approval may be provided by the City Manager up to the limits established by the City Code:but shall also,where appropriate,consist of specific City Council authorization when an additional appropriation is required. Where possible,categories of legal services shall be identified annually in the budget process and included in the City legal services budget. When that is not possible(e.g.,when the City is the subject of litigation commenced after the beginning of the fiscal year), The City Manager shall request the City attorney to prepare an outline form budget for a matter which shall be submitted by the City Manager to the Council for approval.. The City administration will provide the Council with regular financial information at least quarterly showing the actual expenses year to date,a comparison to the budgeted amounts, and such other information as the Council may request in order to monitor both the extent and expense of legal services. 3. FEES FOR SERVICES: Services provided under this agreement will be based on hourly rates for the various members of the Law Firm as set forth in the rate schedule.attached as Exhibit A. The rates set forth in Exhibit A shall be subject to renegotiation between the City and the Law Firm no more frequently than once every two years. There will be no charge for responding to telephone calls from the Mayor, Council Members or senior administrators of the City seeking basic legal information concerning their functions and responsibilities, where the. CITY OF SEWARD/LEGAL SERVICES AGREEMENT 124 response requires minimal,research effort.: There will be no charge for travel time, as such;work actually preformed for the City while traveling will be billed at the applicable hourly rate. Direct out-of-pocket expenses shall,be:charged at actual costs. Law Firm billing Will:be sepanited into matters for billing purposes. The Law Finn will not bill for any services aside from,those listed without first obtaining approval from the City. That approval will be reflected on forms developed by the Law Firm and the City adrrifnistration and may,where appropriate,include estimated project budgets and other information. Itemized monthly bilfing:iaormatibn shall include all of the following items..'. The,date the:$ervice:is rendered The individuad Who performed'the service The time spent preforming the service A narrative description of'the service The hourly rate of the:individual who performed the service An extension of the 4kbgv' e items-showing the cost (rate multiplied by the time) for'the specific service. In addition, the Law Firm will provide a one-page summary sheet each month showing by project account-code (using City account codes)the various projects and:cost of each. This summary will be provided for information to the Council each month. The Law Finn will not bill for regular incidental charges :such as telephone, copy, of .. facsimile. The Law Firm will not bill for extraordinarypNperisq , has a Major copying s fsue.. %j .. ...opyip project.). . .without prior approval from the City Manager. In order to preserve the,attorney-client privilege, or where it would be in the best:interest of the City to utilize the attorney work product doctrine to protect the legal interest of the City, the Law Finn may include chares and-cost for :experts or others:who work on behalf of the, City but only upon prior approval consent of the City. Billings for those services will be separately itemized and the Law Firm will not chare any mark-up or administrative fees for administering those projects. The Law Firm will send the City itemized bills on a monthly basis and payment is due within thirty(30) days of receipt of the billing. Interest at the rate-of:10.5% per year with accrue on unpaid invoices after sixty (60) days. The Law Finn will.-cooperate and -assist the'City's auditors in review :and analysis of'the City's legal services. cost, including those incurred by outside counsel. The above provisions do not:apply to any services of the Law Firm as. the CUY'S bond counsel. Fees f6r boi14 counsel services will be negotiated separately for each bond financing transaction where the Law Firm is engaged as bond counsel. 4. RESPONSIBLE -OR LEAD ATTORNEY. For purposes of the City Charter and other requirements, William Earnhart will be the:designated City attorney. He may, in his discretion, assign City matters to other attorneys or legal assistants in the Law Firm for handling work under his supervision. CITY OF SEWARD/LEGAL SERVICES AGREEMENT 125 5. Monthly Reports: The Law Firm will provide the Council, at least monthly; a w itten report on all legal matters and issues involving the City. The Law firm: will be responsible for obtaining information on matters handled by outside counsel (such as insurance company appointed counsel) and will coordinate the annual audit letter preparation for:the City. The monthly reports are to be considered subject to the attorney-client privilege unless that privilege is waived by council. 6. Insnrance and Indemnification. A. The;firm shall maintain in good standing the insurance described below.: :Before rendering any services under this contract, the firm shall furnish the City Manager with proof of the insurance. B. The fun shall provide the following types of insurance. The City of Seward shall be named as additional insured on all,insurance policies except Professional Liability and Worker's Compensation policies. All policies shall have a thirty day notice of cancellation clause. J. Workers'Compensation $1:00,000 Employer's. Liability and Worker's Compensation as required by Alaska State, Workers'Compensation Statutes. 2: Professional Liability Agree to provide layer's professional liability insurance for all periods under the contract and provide an extended reporting period endorsement after the end of the contract for three years. Without°request by the City,the firm shall provide proof of insurance:during the contract period and proof of such endorsement after the end of the contract. The firms' carrier must agree to notify the City thirty days before cancellation of insurance or of the extended reporting period endorsement. The insurance shall provide coverage for claims up to a minimum amount of $1,000,OOO per claim. 7. Permits,Laws, and Taxes. The firm shall acquire and maintain in good standing all permits, licenses, and other entitlements necessary to:its performance under this contract. All actions taken.by the firm under this contract shall comply with all applicable law to include without limitation, statutes,, ordinances,rules,and regulations. CITY OF SEWARD/LEGAL SERVICES AGREEMENT �?I 126 r 8v TERM OF AGREEMENT. This agreement will take effect this 14tb day of December,2015, and shall-continue from year to year until terminated by either party. The City may terminate this agreement at any time:and for any reason. The Law Finn may not terminate this agreement without first giving ninety(90)days' written notice. City of Seward Bach Bittner a ero,t ............. ....... Jim Hint Z"i .............................. Y: u Title.- City Manager Title- C Dater Date: ATTEST: Johanna Kinney, CMC City Clerk (City Seal) CITY OF SEWARD/LEGAL SERVICES AGREEMENT rl 127 EXHIBIT A FEESCHEDULE A. Hourly costs. Shareholders/Members/Will Earnhart: $215.00 per hour Associates: $195.00 per hour Paralegals/Law Clerks: $120.00 per hour Attorneys will be available on-call for telephonic participation in meetings without charge for "standby" time. There will be no charge for responding to telephone calls from the Mayor, Council Members or senior administrators of the City seeking basic legal information concerning their functions and responsibilities, where the response requires minimal research effort. B. Travel costs. The firm will not charge for travel to and from Seward for one Council meeting each month (12 trips). Thereafter, our fee will be one-half of our normal rate for travel time for each roundtrip. All costs and expenses will be charged at actual cost. C. Bond Counsel. The above provisions do not apply to any services of the Finn as the City's bond counsel. Fees for bond counsel services will be negotiated separately for each bond financing transaction where the Firm is engaged as bond counsel. D. Expenses. For out-of-pocket expenses incurred in the course of representation, Seward would be billed the actual cost where applicable, or in the event services are contracted for in bulk, a reasonable allocation of expenses for such services. Such expenses include expedited mail, filing and recording fees, computerized research fees, and travel expenses. The Firm will not bill for administrative staff time or word processing services. The Firm will not bill for regular incidental charges such as telephone or facsimile. The Firm will not bill for extraordinary expenses (such as a major copying project) without prior approval from the City Manager. In order to preserve the attorney-client privilege, or where it would be in the best interest of the City to utilize the attorney work product doctrine to protect the legal interest of the City, the Firm may include charges and cost for experts or others who work on behalf of the City but only upon prior approval consent of the City. Billings for those services will be separately itemized and the firm will not charge any mark-up or administrative fees for administering those projects. City of Seward Legal Services Contract Resolution 2015-116 128 Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2018-017 A RESOLI -ION OF TtiE CITY COUNCIL OF THE CITY OF SEN .ARD, ALASKA, A1111ROVI`G AN ANIFNI)NIENT TO THE LFGAL SERVICES AGREEMENT WITH BIRCH HORTON BITTNER & CHEROT WHEREAS. the Seward City Council passed Resolution 2015-116 on December 14,2015 approving a legal services agreement with Birch Horton Bittner& Cherot ("Law Firm"); and WHEREAS, the selection of Birch Horton Bittner& Cherot as the City Attorney resulted from a competitive request for proposals which resulted in five proposals which were narrowed down by a scoring committee comprised of members of the City Council, Administration and the City Clerk, to three firms interviewed on December 7, 2015 by the Seward City Council; and WHEREAS,the legal services agreement continues from year to year until terminated by either party;the City may terminate the agreement at any time for any reason,whereas the Law Firm may not terminate the agreement without first giving ninety (90) day's written notice; and `�'I i E R I A S, the contract is amended to increase the hourly fee schedule by $10 per hour, representing a savings of$100 per hour on the standard rate for Shareholders and Lead Attorney;and WHEREAS, Seward City Code §6.10.120(A)(8) allows for an explicit exemption from competitive procurement for the purchase of professional legal services. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Manager is hereby authorized to execute the Amendment To Legal Services Agreement with Birch Horton Bittner & Cherot in substantial form as attached hereto, including the modified"Exhibit A—Fee Schedule". Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska this 26t' day of February, 2018. THE CITY OF SEWARD,ALASKA David Squires, or 129 CITY OF SEWARD, A1L;XSKA RESOLUTION 2018-017 AYES: Keil, McClure, Slater, Towsley, Horn, Squires NOES: Casagranda ABSENT: None ABSTAIN: None ATTEST: renda . Ballou, MC City Clerk 052991aa8,11 (City Seal) ''.� Of sekk '. ., a EL M i N r i � -n• Vf� �� A j� 4 130 Council Agenda Statement Meeting Date: February 26, 2018 Through: James Hunt City Manager aaer g � tY g i From: Kristin Erchinger, Finance Director N'"-/ Agenda Item: City Attorney Contract Extension BACKGROUND&JUSTIFICATION: The Cite entered into a legal services agreement with Birch Horton Bittner&Cherot("Law Firm")on December 14, 2015, \s hen the City's prior law firm dissolved after providing legal services to the City for more than twenty years. The selection of the Birch Horton Bittner&Cherot was the result of a competitive request for proposals which yielded five submittals. The candidates were narrowed down by a scoring committee consisting of members of the City Council,Administration and the City Clerk,and after interviewing the firms,Council selected the firm of Birch Horton Bittner&Cherot as the City's legal firm, with Will Earnhart serving as Lead Attorney. The legal services agreement continues from year to year until terminated by either party:the City may terminate the agreement at any time for any reason, whereas the Law Firm may not terminate the agreement without first giving ninety(90)days' written notice. The contract is being amended to increase the hourly fee schedule by$10 per hour to$225 per hour for Shareholders and Lead Attorney Will Earnhart, $205 per hour for Associates, and $130 per hour for Paralegals/Law Clerks. INTENT: To amend Exhibit "A" of the Legal Services Agreement to increase the hourly fee schedule which is provided at sub,,tauitiallv discounted rates(standard rate is $325), with all other terms remaining in effect. CONSISTENCY CHECKLIST: Yes No N/A City Charter: 2.1 (b)"The appointivc officers of the city are the city manager, the city clerk and the city attorney. " 2.5 "The compensation of all elective officers and 1 board members, the city manager, the city clerk and the city attorney shall be X established by the council." 5.3"The...city attorney shall be appointed by the council. (They)shall hold office for indefinite terms at the pleasure of the council."5.6 "The ci attorney shall act as the legal advisor of and be responsible to, the city council. " City Code: 2.20.040 The position of city attorney "..shall advise the council and the 2. city manager, and boards, commissions and all offices and departments of the city, on X all matters of law." See 2.20.040-City attorne 3. Resolution 2015-116 approves initial legal services agreement X ATTORNEY REVIEW: X Yes No FISCAL NOTE: The 2018/2019 Budget includes funding for legal services each year in the amount of$80,000. Approved by Finance Department: � � RECOMMENDATION: Council approve Resolution 2018- amending the Legal Services Agreement with Birch Horton Bittner&Cherot to increase the hourly fee schedule by$10 per hour. 131 AMENDMENT TO LEGAL SERVICES AGREEMENT WHEREAS, Birch Horton Bittner & Cherot (the "Law Firm:) has provided excellent legal representation to the City of Seward (the "City")for over two years; and WHEREAS, on February 13, 2018, the Seward City Council voted to continue to retain the services of the Law Firm; and WHEREAS, the Law Firm provides legal services to the City at substantially discounted rates; NOW THEREFORE, the City and the Law Firm hereby agree to amend the current Legal Services Agreement, dated December 14, 2015, with new hourly rates, attached hereto as Exhibit A. Exhibit A attached hereto replaces the previous Exhibit A attached to the December 14, 2015 Legal Services Agreement. All other terms remain in effect. City of Seward Birch Horton ittner & C erot By: By: im unt avid K. Gross Title: City Manager ,� Title: Ma aging Shareholder Date: �- Date: *1161 1co J CONTRACT FOR PROFESSIONAL LEGAL SERVICES Page 2 of 2 507486\1001=693502 132 EXHIBIT "A" FEE SCHEDULE A. Hourly costs. Shareholders/Members/Will Earnhart: $225.00 per hour Associates: $205.00 per hour Paralegals/Law Clerks: $130.00 per hour Attorneys will be available on-call for telephonic participation in meetings without charge for "standby" time. There will be no charge for responding to telephone calls from the Mayor, Council Members, or senior administrators of the City seeking basic legal information concerning their functions and responsibilities, where the response requires minimal research effort. B. Travel costs. The firm will not charge for travel to and from Seward for one Council meeting each month (12 trips). Thereafter, our fee will be one-half of our normal rate for travel time for each roundtrip. All costs and expenses will be charged at actual cost. C. Bond Counsel. The above provisions do not apply to any services of the Firm as the City's bond counsel. Fees for bond counsel services will be negotiated separately for each bond financing transaction where the Firm is engaged as bond counsel. D. Expenses. For out-of-pocket expenses incurred in the course of representation, Seward would be billed the actual cost where applicable, or in the event services are contracted for in bulk, a reasonable allocation of expenses for such services. Such expenses include expedited mail, filing and recording fees, computerized research fees, and travel expenses. The Firm will not bill for administrative staff time or word processing services. The Firm will not bill for regular incidental charges such as telephone or facsimile. The Firm will not bill for extraordinary expenses (such as a major copying project) without prior approval from the City Manager. In order to preserve the attorney- client privilege, or where it would be in the best interest of the City to utilize the attorney work product doctrine to protect the legal interest of the City, the Firm may include charges and cost for experts or others who work on behalf of the City but only upon prior approval consent of the City. Billings for those services will be separately itemized and the firm will not charge any mark-up or administrative fees for administering those projects. CONTRACT FOR PROFESSIONAL LEGAL SERVICES Page 1 of 2 507486\1001\00693502 133 Sponsored by: Meszaros CITY OF SEWARD, ALASKA RESOLUTION 2019-115 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ESTABLISHING THE CITY OF SEWARD'S CALENDAR YEAR 2020 FEDERAL LEGISLATIVE PRIORITIES WHEREAS, the City annually compiles a list of projects or issues that are identified as top Federal legislative priorities; and WHEREAS, the list of projects is compiled and distributed to the Kenai Peninsula Borough, our congressional delegation and City of Seward federal lobbyist; and WHEREAS, this resolution validates projects, prioritizes needs, and focuses the efforts of City Administration in its lobbying efforts; and WHEREAS, the passage of this resolution occurs through a public process; and WHEREAS, all projects on this list are consistent with the City Comprehensive and Strategic Plans. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA, that: Section 1. The following list of legislative projects is hereby declared to be the official FEDERAL legislative priority list of the City of Seward for 2020: A. APPROPRIATIONS AND GRANTS 1. Appropriating funding for the development of the new U.S. Coast Guard Fast Response Cutter facilities, as well as homeport support facilities. 2. $266,022 appropriation to the U.S. Army Corps of Engineers for the City's 50% remaining cost share for the Lowell Creek Flood Diversion Feasibility Study. 3. $7 million for a comprehensive Seward Flood Mitigation Program on the watershed level by the U.S. Army Corps of Engineers. 4. $3 million appropriation for Lowell Point Road storm surge mitigation, bank stabilization and erosion control projects through a future Section 103 study by the U.S. Army Corps of Engineers. 5. $1 million appropriation for erosion control projects, through a future Section 14 study by the U.S. Army Corps of Engineers, for the Seward Marine Industrial Center 134 CITY OF SEWARD,ALASKA RESOLUTION 2019-115 and the Alaska Railroad Dock. 6. $2.496 million in the Highway Transportation Bill for design, engineering, construction and protection from coastal erosion for the Lowell Point Road, the sole land access to residences, critical infrastructure, and a State Parks trailhead. 7. Appropriating funding for the Alaska Railroad Corporation Seward Marine Terminal Expansion project supporting both passenger and freight activities. This may also involve a collaboration with the Alaska Railroad to seek BUILD Act grants or funding in a future Highway Transportation bill. 8. $9.5 million for the U.S. Army Corps of Engineers to design and construct a rip-rap rock levee to protect the airport runways and property from flooding. 9. $8.1 million for the Federal Aviation Administration (FAA) to extend the proposed runway to 4,000 feet in order to accommodate larger aircraft and provide effective disaster response. 10. $1 million for engineer study of Lowell Canyon Hydro to analyze resource and produce a report quantifying potential. B. AUTHORIZATIONS AND BENEFICIAL LEGISLATION 1. Authorization language amending the Water Resource Development Act of 2007 (Public Law 110-114, 121 STAT. 1205) to require the U.S. Army Corps of Engineers to continue the operation and maintenance of the Lowell Canyon Tunnel until such time that an alternative method of flood diversion has been constructed and a determination by the Corps that the City of Seward and its residents are no longer at risk of catastrophic flooding. 2. Support the U.S. Army Corps of Engineers study, to construct the new tunnel for Lowell Creek through Bear Mountain to protect life, safety, and property for City of Seward Residents. 3. Support the establishment of a Prescott grant program within the Fish & Wildlife Service budget to provide support for a stranding network and responding to marine mammal live stranding and mortalities throughout Alaska. Section 2. This resolution shall take effect immediately upon its adoption. 135 CITY OF SEWARD,ALASKA RESOLUTION 2019-115 PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`' day of December, 2019. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Brenda J. Ballou, MMC City Clerk (City Seal) 136 Sponsored by: Meszaros CITY OF SEWARD,ALASKA RESOLUTION 2019-116 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A CONTRACT WITH MACSWAIN ASSOCIATES, LLC TO RE-APPRAISE 43 LOTS FOR THE CITY OF SEWARD IN THE AMOUNT OF $38,700, AND APPROPRIATING FUNDS WHEREAS, per City of Seward lease agreements, Article 3, the value of all leased land must be re-appraised every five years; and WHEREAS, in accordance with SCC 6.10.135 and SCC 6.10.140, a Request for Proposals (RFP)was issued on November 6, 2019; and WHEREAS, one (1) business responded to the RFP by the November 26, 2019 deadline and was evaluated by staff from the Harbor Department; and WHEREAS, MacSwain Associates, LLC issued a responsive bid of $38,700 to reappraise the 43 City of Seward leased lots. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The city manager is hereby authorized to enter into a contract with MacSwain Associates, LLC to reappraise 43 lots owned by the City of Seward in the amount of$38,700. Section 2. Funding in the amount of$18,350 (50%) for this contract will come from the Harbor Administration budget 11000-2001-7009 and $18,350 (50%) will come from the General fund budget 10000-0000-7009. Section 3. This resolution shall take effect January 1, 2020. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9cn day of December, 2019. THE CITY OF SEWARD,ALASKA Christy Terry, Mayor 137 Agenda Statement Meeting Date: December 9, 2019 = 1 To: City Council • Through: Scott Meszaros, City Manager From: Norm Regis, Harbormaster Agenda Item: Appraisal Contract with MacSwain Associates, LLC BACKGROUND & JUSTIFICATION: The city of Seward currently leases 43 lots to different LEESEE's throughout the City of Seward. The City of Seward reappraises its leases every five years according to Article 3 of the 43 Lease Agreements signed by LEESEE's, and approved by the Seward City Council. 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 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. 138 This RFP was advertised according to SCC 6.10.135 and SCC 6.10.140.The RFP's were opened on November 26`h at 2pm. One business responded to the RFP with a responsive bid of$38,700. MacSwam Associates, LLC. With only one Company responding no scoring was needed to determine the winning proposal. INTENT: Enter into a contract with MacSwain Associates,LLC in the amount of$38,700.00 to reappraise 43 City of Seward leased properties. CONSISTENCY CHECKLIST: Yes No N/A Comprehensive Plan (Page I-13 3.2.1.]):Manage land use to facilitate 1. economic development while maintain the historic, small town X character of Seward 2. Strategic Plan (page 9):Growth Management and Land use planning X 3. Other (list): FISCAL NOTE: Approved by Finance Department: ATTORNEY REVIEW: Yes X No Not Applicable RECOMMENDATION: Approve Resolution 2019-116 authorizing the City manager to enter into a contract with MacSwain Associates, LLC to reappraise 43 lots leased by the City of Seward in the amount of$38,700. 139 City ®f Seward Land Appraisal Services Appendix A — Bid Submittal Form Date ( 11/25/19 Company Name MacSwain Associates, LLC i Type of Organization (Individual' Limited Liability Corporation Limited Partnership, etc. Printed Marne and 'Title of Steve MacSwain,MAI - Owner Authorised Agent Address 4401 Business Park Blvd.,Suite 22,Anchorage,AK 99503 Contact Person Steve MacSwain,MAI r Contact Phone Number 907-561-1965 Contact Email Address s.macswain@macswain.com Contact Fax Number 1907-561-1955 Addenda: Receipt of addenda number (s? 1 is/are hereby acknowledged (please insert `no' if no addenda were issued); Lump sum price to appraise 43 parcels $ 38,700 (Dollars) Uth'o, rued Signature and date 140 Professional Services Agreement with for Land Appraisal Services This AGREEMENT, made and entered into this 11" day of January, 2020 by and between the CITY OF SEWARD, a municipal corporation located within the Kenai Peninsula Borough and organized under the laws of the State of Alaska, hereinafter referred to as the "City" and MacSwain Associates, LC, a Land Appraisal Company authorized to do business in Alaska, with offices locatedat 4401 Business Park Blvd, Suite 22, Anchorage, AK 99503, hereinafter referred to as the "Contractor". WITNESSETH WHEREAS, the City of Seward wishes to have certain lands appraised; and WHEREAS, MacSwain Associates, LLC has demonstrated qualifications to perform these appraisals and in a timely manner; NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows: 1.0 DEFINITIONS 1.1 "Agreement" shall mean this Professional Services Agreement. 1.2 "Change" is an addition to, or reduction of, or other revision in the scope, complexity, character, or duration of the services or other provisions of this Agreement. 1.3 "City," "the client", and "Owner" shall all mean the City of Seward, Alaska. 1.4 "Contracting Officer" shall mean the City of Seward Harbormaster and include any successor or authorized representative. 1.5 "Project" shall mean the appraisal of a number of municipal owned properties or properties to be acquired that are located in the City of Seward to provide an appraisal report, which contains the Fair Market Value of the Fee Simple interest in land, a Lease Rate Analysis, and the Fair Market Rental Value of leasehold interests as described herein. 2.0 TERM OF AGREEMENT, This Agreement shall take effect upon execution. This Agreement shall remain in full force and effect until the Project has been completed and further, until all claims and disputes have been concluded. The 1 00878915.DOC 141 work is considered complete when the City has received and found acceptable the finished product of all work described in 4.0 Scope of Services or changes thereto. This date is not necessarily the Completion Date as described in 5.0 Completion Date. This Agreement may be amended only in writing and after compliance with all applicable statutes, ordinances, and regulations. 3.0 Cost of Agreement. The total fee to be paid to the Contractor for this Agreement is a fixed fee of $38,700.00 for Land Appraisal Services outlined in 4.0 Scope of Services, notwithstanding any other articles and conditions except if the fee is increased or decreased by a written Change issued pursuant to Section 26.0 of this Agreement. 3.1 Extension Error. In the case of an error in the extension of prices in the bid, unit prices will govern. 3.2 Additions/Deletions. The City reserves the right to add or delete parcels from the contract. Provided that the additional (or deleted) parcels are similar in size and type, the unit fee to be paid for additions (or deletions), including individual appraisals, will be the average contracted fee of all parcels within that priority group. Other types of additions (or deletions) will be negotiated on a case by case basis. 3.3 Payments. Payment will be made within thirty (30) working days after receipt and approval of Contractor's billing statement and following acceptance by the City of Contractor's final products. Unless otherwise agreed, payment will be based on a properly documented invoice showing the project completed. 4.0 SCOPE OF SERVICES. The City and Contractor have agreed upon a scope of work described in the Contractor's proposal, to provide professional land appraisal services based on approved standards and instructions, to include: a. Establishing the Fair Market Rental Value of leasehold interests through a Lease Rate Analysis, which establishes city land lease rates as a percent of fair market fee simple land value. This should include specific recommendations regarding the rates to be applied in the City's boat harbor and marine industrial areas. b. Establishing the fair market fee simple value and the rental adjustment of parcels in Attachment B. c. Establishing the fair market fee simple value of parcels identified in Attachment B to provide the basis for negotiating price for possible acquisition of the properties. 142 2 00878915.DOC d. Submitting three (3) copies of the draft appraisal report in photocopy form not later than February 20, 2020. e. Submitting three (3) copies of the final report - one (1) original with color photos in a three ring binder, and two (2) spiral bound photocopies not later than March 6, 2020. This Scope of Services can only be changed in writing pursuant to Section 26.0 of this Agreement. 5.0 COMPLETION DATE. The completion date for all work described herein shall be as follows: 5.1 Draft Report. The Draft Appraisal Report shall be due not later than February 20, 2020. 5.2 Final Report. The Final Appraisal Report shall be due not later than March 6, 2020. 6.0 PERSONNEL/ORGANIZATION 6.1 Protect Coordinator and Principal Appraiser. Work and services provided by the Contractor will be performed by: 6.2 Key Personnel. The following personnel are considered to be essential to the provision of adequate services by the Contractor: 6.3 Substitution of Key Personnel. The Contractor shall give the City reasonable advance notice of any necessary substitution of key personnel and shall submit justification therefore in sufficient detail to permit the City to evaluate the.impact of such substitution on this Agreement. No substitutions shall be made without the written consent of the City. 6.4 Removal of Protect Personnel. The City may, with reasonable cause, upon providing written notice to the Contractor, cause to be removed immediately from the Project or any phase thereof, any personnel whose continued involvement in the opinion of the City, is not in the best interest of the Project or the City. The Contractor, upon receipt of such written notice to remove an individual(s), shall have five (5) business days to provide the City with the name and summary of credentials of proposed replacement(s) for those removed. The participation of those proposed personnel shall be subject to approval by the City. 7.0 STANDARD OF PERFORMANCE. The Contractor agrees to provide all required 143 3 00878915.DOC professional services to complete the project and any additions or changes thereto. The Contractor accepts the relationship of trust and confidence established between it and the City by this Agreement. The Contractor covenants with the City to furnish its best skill and judgment, and to further the interest of the City at all times through efficient business administration and management. The Contractor shall provide all services in a competent manner. It is understood that some of the services to be rendered hereunder required professional judgment and skill. In those cases, the Contractor agrees to adhere to the standards of the applicable profession and as set out in Attachment D, Land Appraisal Instructions. 8.0 TIMELINESS OF PERFORMANCE. Time is of the essence in this contract. The City may well time matters relating to the Project and development of the Appraisal Report based upon and in reliance upon the Scope of Services dates and time schedules for performance by the Contractor. Contractor's failure to meet any such deadlines or required performance may adversely imperil other contractual obligations of the City. If the Contractor fails to deliver the Final Appraisal Report by March 6, 2020 Contractor shall pay as liquidated damages and not as penalty $200 per day for each day after March 6, 2020 the Final Appraisal Report is not delivered. 9.0 COMPLIANCE WITH LAWS, The Contractor shall be familiar with and at all times comply with and observe all applicable federal, state and local laws, ordinances, rules, regulations, and executive order, ail applicable safety orders, all orders or decrees of administrative agencies, courts, or other legally constituted authorities having jurisdiction or authority over the Contractor, the City, or the service which may be in effect now or during performance of the services. The Contractor shall indemnify and save harmless the City and all its officers, agents, and employees against any claim or liability from or based upon the violation of any such law, ordinance, rule, regulation, order, or decree whether such violation be the result of conduct by the Contractor, its agents, or employees. 10.0 INDEMNITY. To the fullest extent permitted by law, the Contractor shall indemnify, defend, and hold harmless and save the City, its officers, agents and employees harmless from any claims or liability of any nature or kind including costs and expenses (including attorneys' fees), for or on account of any and all legal actions or claims of any character whatsoever alleged to have resulted from injuries or damages sustained by any person or persons or property (including contract rights or intangible assets) and arising from, or in connection with, performance of this Agreement, and caused in whole or in part by any negligent act or omission of the Contractor; provided, however, that this paragraph shall not be construed so as to require indemnification of the City from such claims, damages, losses, or expenses caused by or resulting from the sole negligence of the City. 11.0 INSURANCE. The Contractor understands that no City insurance coverage, including Workers' Compensation, are extended to the Contractor while completing the terms of this Agreement. The Contractor shall carry adequate (commercially reasonable coverage levels) insurance covering Workers' Compensation, general public liability, automobile, professional liability, and property damage including a 144 4 00878915.DOC contractual liability endorsement covering the liability created or assumed under this Agreement. The Contractor shall not commence work under this Agreement or any work on any phase of the Project until the Contractor provides the City with certificates of insurance evidencing that all required insurance has been obtained. These insurance policies and any extension or renewals thereof must contain the following provisions or endorsements: a. City is an additional insured thereunder as respects liability arising out of or from the work performed by Contractor of City of Seward. b. City will be given thirty (30) days prior notice of cancellation or material alteration of any of the insurance policies specified in the certificate. c. Insurer waives all rights of subrogation against City of Seward and its employees or elected officials. d. The insurance coverage is primary to any comparable liability insurance carried by the City of Seward. Upon request, Contractor shall permit the City to examine any of the insurance policies specified herein. Any deductibles or exclusions in coverage will be assumed by the Contractor, for account of, and at the sole risk of the Contractor. The minimum amounts and types of insurance provided by the Contractor shall be subject to revision at the City's request in order to provide continuously throughout the term of the Contract a level of protection consistent with good business practice and accepted standard of the industry. 12.0 GOVERNING LAW The laws of Alaska will determine the interpretation of this Agreement and performance thereof. 13.0 OWNERSHIP OF WORK PRODUCTS. Payment to the Contractor for services hereunder include full compensation for all work products and other materials produced by the Contractor and its subcontractors pertaining to this Agreement. The originals of all material prepared or developed by the Contractor or its employees, agents, or representatives hereunder, including documents, drawings, designs, calculations, maps, sketches, notes, reports, data, models, computer tapes, and samples shall become the property of the City when prepared, whether delivered or not, and shall, together with any materials furnished the Contractor and its employees, agents, or representatives by the City hereunder, be delivered to the City upon request and, upon termination or completion of this Agreement. Materials previously created and copyrighted by the Contractor included in this project will remain property of the Contractor. Copies will be made available to the City upon request. Materials purchased from and copyrighted by third parties are not included in this provision. 14.0 PATENTS, TRADEMARKS, AND COPYRIGHTS. The Contractor agrees to defend, 145 5 00878915.DOC indemnify, and hold harmless the City harmless from and against any and all claims, costs, royalties, damages and expenses of any kind of nature whatsoever (including attorneys' fees) which may arise out of or result from or be reasonably incurred in contesting any claim that the methods, processes, or acts employed by the Contractor or its employees in connection with the performance of services hereunder infringes or contributes to the infringement of any letter patent, trademark, or copyright. In case such methods, processes, or acts are in suit held to constitute infringement and use is enjoined, the Contractor, within reasonable time and at its own expense, will either secure a suspension of the injunction by procuring for the City a license or otherwise, or replace such method, process, etc., with one of equal efficiency. 15.0 NONWAIVER. No failure of the City or Contractor to insist upon the strict perfor- mance by the other of any of the terms of this Agreement or to exercise any right or remedy herein conferred, shall constitute a waiver or relinquishment to any extent of its rights to rely upon such terms or rights on any future occasion. Each and every term, right, or remedy of this Agreement shall continue in full force and effect. 16.0 SAFETY/PERFORMANCE. The Contractor shall perform the work in a safe and workmanlike manner. The Contractor shall comply with all federal and state statues, ordinances, orders, rules, and regulations pertaining to the protection of workers and the public from injury or damage, and shall take all other reasonable precautions to protect workers and the public from injury or damage. 17.0 SUSPENSION OR TERMINATION. 17.1 Fault Termination or Suspension. This Agreement may be terminated by either party upon ten (10) days written notice if the other party fails substantially to perform in accordance with its terms. If the City terminates this Agreement it will pay the Contractor a sum equal to the percentage of work completed that can be substantiated by the Contractor and the City. However, within the ten (10) day Notice of Intent to terminate the party in default shall be given an opportunity to present a plan to correct its failure. 17.2 Convenience Suspension or Termination. The City may at any time terminate or suspend this Agreement for any reason including its own needs or convenience. In the event of a convenience termination or suspension for more than six (6) months, the Contractor will be compensated for authorized services and authorized expenditures performed to the date of receipt of written notice of termination or suspension. No fee or other compensation for the uncompleted portion of the services will be paid, except for already incurred indirect costs which the Contractor can establish and which would have been compensated for over the life of the phase of the appraisal underway, but because of the termination or suspension would have to be absorbed by the Contractor without further compensation. 17.3 Activities Subsequent to Receipt of Notice of Termination or Suspension. Immediately upon receipt of a Notice of Termination or suspension and 146 6 00878915.DOC except as otherwise directed by the City or its Representative, the Contractor shall: a. stop work performed under this Agreement on the date and to the extent specified in the Notice; b. terminate all orders and subcontracts to the extent that they relate to the performance of the work terminated or suspended by the Notice. c. place no further orders for materials, services, or facilities, except as may be necessary for completion of such portion of the work under this Agreement that is not terminated or suspended; d. assign to the City, in the manner and to the extent directed by the City or its representative, all of the right, title, and interest of the Contractor under the orders of subcontracts so terminated, in which case, the City shall have the right, at its discretion, to settle or pay any or all claims arising out of their termination of such orders and subcontracts; e. with the approval of the City or its representative, which shall be final and conclusive for all purposes of this paragraph, settle all outstanding liabilities and all claims arising out of termination of such orders and subcontracts; the cost of which would be reimbursable in whole or in part, in accordance with the provisions of this Agreement; and f. transfer title to the City (to the extent that title has not already been transferred) and deliver in the manner, at the times, and to the extent directed by the City's representative, work in progress, completed work, supplies, and other material produced as a part of, or acquired in respect of the performance of the work terminated or suspended by the Notice. 18.0 EQUAL EMPLOYMENT OPPORTUNITY. The Contractor shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, or because of age, physical handicap, sex, martial status, change in marital status, pregnancy, or parenthood when the reasonable demands of the position do not require distinction on the basis of age, physical handicap, sex, marital status, changes in marital status, pregnancy, or parenthood. The Contractor shall take affirmative action required by law to ensure that applicants are employed and that employees are treated during employment without regard to their race, color, religion, national origin, ancestry, age, or marital status. 19.0 NO ASSIGNMENT OR DELEGATION. The Contractor may not assign or delegate this Agreement, or any part of it, or any right to any of the money to be paid under it without written consent of the Contracting Officer. This consent shall not be unreasonably withheld. 20.0 INDEPENDENT CONTRACTOR, The Contractor shall be an independent contractor in the performance of the work under this Agreement, and shall not be an employee 147 7 00878915.DOC of the City. 21.0 PAYMENT OF TAXES As a condition of performance of this Agreement, the Contractor shall pay all federal, state and local taxes incurred by the Contractor and shall require their payment by all subcontractors or any other persons in the performance of this Agreement. 22.0 PRECEDENCE AND DIVISIBILITY. The provisions of this Agreement shall fully govern the services performed by the Contractor. If any term, condition, or provision of this Agreement is declared void or unenforceable, or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. 23.0 ENTIRE AGREEMENT. This Agreement contains the entire agreement between the parties as to the services to be rendered by the Contractor. All previous or concurrent agreements, representations, warranties, promises, and conditions relating to the subject matter of this Agreement are superseded by this Agreement. 24.0 COMPLETION OF WORK, TERM OF CONTRACT. The Contractor shall perform all work in a timely fashion, and in accordance with the schedules included in this Agreement and Attachments. 25.0 CLAIMS AND DISPUTES. All claims and disputes under this Agreement, if not otherwise resolved by the parties, shall be submitted to mediation prior to the filing of any court action with respect to this Agreement. All court action related to this Agreement or the performance thereunder will be filed in the Superior Court for the State of Alaska, Third Judicial District at Kenai. 26.0 CHANGES IN SCOPE OF WORK 26.1 General. No claim for additional services not specifically provided in this Agreement will be allowed, nor may the Contractor do any work or furnish any materials not covered by the Agreement unless the work or material is ordered in writing by the Contracting Officer. Preparation of change orders and design changes, due to errors and/or omissions by the Contractor, will be done at the sole expense of the Contractor. 26.2 Changes in Scope of Work. The City or its representative may, at any time, by a written order delivered to the Contractor, make changes to the scope of work, or authorize additional work outside the scope of work. 26.3 Compensation to the Contractor. If any change for which compensation is allowed under this Article causes an increase or decrease in the estimated cost of, or time required for, the performance of any part of the work under this Agreement, or if such change otherwise affects other provisions of this Agreement, an equitable adjustment will be negotiated. Such an adjustment may be: a. in the estimated cost or completion schedule, or both; 148 8 00878915.DOC b. in the amount of fee to be paid; and c. in such other provisions of the Agreement as may be affected, and the Agreement shall be modified in writing accordingly. 26.4 Any claim by the Contractor for adjustment under this section must be asserted within fifteen (15) days from the day of receipt by the Contractor of the notification of change; provided, however, that the City or its representative, deciding that the facts justify such action, may receive and act upon any such claim asserted at any time prior to final payment under this Agreement. Failure to agree to any adjustment shall be a dispute within the meaning of Section 25.0 of this Agreement. 27.0 LIMITATION OF FUNDS 27.1 At no time will any provision of this Agreement make the City or its representative liable for payment for performance of work under this Agreement in excess of the amount that has been appropriated by the City Council and obligated for expenditure for purposes of this Agreement. 27.2 Change orders issued pursuant to Section 26 of this Agreement shall not be considered an authorization to the Contractor to exceed the amount allotted in the absence of a statement in the change order, or other modification increasing the amount allotted. 27.3 Nothing in this Section shall affect the right of the City under Section 17 to terminate this Agreement. 28.0 PRIOR WORK For the purposes of this Agreement, work done at the request of the City or its representative before execution of this Agreement shall be deemed to be work done after its execution and shall be subject to all the conditions contained herein. 29.0 NOTICES. Any notices, bills, invoices, or reports required by the Agreement shall be sufficient if sent by the parties in the United States mail, postage paid, to the address noted below: City of Seward Contractor Attn: Harbormaster Mac Swain Associates, LLC P.O. Box 167 4401 Business Park Blvd, Suite 22 Seward, Alaska 99664-0167 Anchorage, AK 99503 149 9 00878915.DOC IN WITNESS WHEREOF, the parties have executed this agreement: CITY OF SEWARD CONTRACTOR BY: Scott Meszaros BY: Steve MacSwain Title: City Manager Title: Owner Date: Date: Attest: Brenda Ballou, City Clerk City Seal 150 10 00878915.DOC Sponsored by: City Clerk CITY OF SEWARD,ALASKA RESOLUTION 2019-117 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,AUTHORIZING A CONTRACT BEGINNING JANUARY 1,2020 THROUGH DECEMBER 31, 2021 WITH TRIDELTA INCORPORATED FOR CITY CALENDAR ADVERTISING IN THE SEWARD JOURNAL AT A RATE OF $273 PER WEEK WHEREAS, the City Clerk's Office produces, on a weekly basis, display advertisements announcing City of Seward meetings which are required by law; and WHEREAS, the city's current contract for "City Calendar" advertising with the Seward Journal will expire December 31, 2019; and WHEREAS, a quote was requested in September, 2019 by the City Clerk a response was received in a timely manner; and WHEREAS,TriDelta Incorporated d/b/a Seward Journal submitted a quote at a fixed rate of $273 per weekly ad, which includes the city's required affidavit of publication; and WHEREAS, this quote reflects a 22% increase over the prior contract, which is a direct result of an increase in the average size of the City Calendar; and WHEREAS,the prior contract required the space to accommodate up to 30 column inches, and the new contract will accommodate up to 40 column inches, or greater, if necessary; and WHEREAS,it is required by charter and code,and in the public interest,to publish the bulk of the city's ads in a newspaper of general circulation. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Manager is authorized to sign an advertiser's agreement with TriDelta Incorporated d/b/a Seward Journal for the City Calendar for a flat rate of$273 per week,or$14,196 per year, for the period January 1, 2020, through December 31, 2021, with funding taken from advertising account 01000-1110-7300. Section 2. This resolution shall take effect January 1, 2020. PASSED AND APPROVED by the City Council of the City of Seward,Alaska,this 9,1'day of December, 2019. 151 Agenda Statement Meeting Date: December 9, 2019 From: Brenda Ballou, City Clerk Through: Scott Meszaros, City Manage Agenda Item: Annual contract for advertising with TriDelta Incorporated d/b/a Seward Journal BACKGROUND &JUSTIFICATION: Per City code, the City must advertise in a paper of local circulation, or"newspaper of the City."In September,the City Clerk's office requested a quote from the Seward Journal.TriDelta Incorporated d/b/a Seward Journal submitted a quote of a flat fee of$273 per week, which includes the legally required notarized affidavit of publication,or$14,196 per year. The new contract reflects a 22% increase over the prior contract. Michael Paschall, the owner and editor of the Seward Journal, reported that the City's weekly publication of the City Calendar has grown in the past couple of years: the smallest ad was 23.75 column inches, and several ads have exceeded 40 column inches. The average size is approximately 35 column inches. The funds for this contract have been included in the proposed 2020/2021 budget, pending council approval. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan: X 2. Strategic Plan: X Other: Seward 'Ci Charter 1.5 (1), 3.5 (c), 4.2, 6.3, 8.2 3. X Seward City Code 1.01.060, 2.10.032,4.01.010, 5.05.015, 5.20.040, 7.05.125,7.10.610, 14.01.040, 15.01.040 FISCAL NOTE: 154 The estimated annual rate for the City calendar is $14,196 and is charged from Mayor/Council account 01000-1110-7300. Per approval of this resolution, this amount is incorporated into the 202012021 biennial budget. Finance Approval: ATTORNEY REVIEW: Yes: No: N/A: X RECOMMENDATION: Approve Resolution 2019-117 and authorize the City to sign a contract with TriDelta Incorporated d/b a Seward Journal in the amount of $273 per week/$ 14,196 per year for the period of January 1,2020 through December 31, 2021. 155 7riDeCtc, Incorporated P. O. Box 986 DeCta Junction, AX 99737 Phone: (907) 460-8629 September 27, 2019 Brenda Ballou City of Seward Clerk PO Box 167 Seward, Alaska 99664 TriDelta, Incorporated proposes to publish the Seward City Calendar weekly beginning January 1, 2020, through December 31, 2021, in the Seward Journal, Seward Alaska. Material for the advertisement will be submitted as a Microsoft Word file by email to the Seward Journal no later than 5 p.m. the Tuesday prior to publication, subject to print deadline changes due to holidays or other unforeseen events. In the event of a deadline change,we will work to accommodate the city's needs. A proof will be provided for final review in PDF format in a timely manner, normally within one hour of notification that the material has been provided. Final approval for the proof must be provided by 9 p.m., or the ad will publish as provided in the proof. The agreed upon specifications for the Calendar are grayscale, and will be adjusted in size based upon content to meet the needs of the City of Seward. The rate will remain constant regardless of the actual ad size. Maximum size available is one full page or 77.5 column inches, 5 columns x 15.5"(10"x 15.5"). It is agreed that the ad will be positioned run of press,but will be included in the section of the paper with and as close to classified ads and other legal notices as possible. A notarized affidavit of publication and tear sheet will be provided with the weekly invoice for each ad. The fixed cost for the advertisement is $273 per week($14,196 per year)which shall be due and payable 30 days following the invoice date. Insertions will be invoiced weekly. A late fee of$20 will be assessed on the balance of each invoice unpaid by the due date, along with an interest charge of 5%per month on any past due invoice open as of the last day of each month. If you have any questions,please do not hesitate to contact me. Michael Paschall President Newspaper publishing and digital consulting 156 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page CALL TO ORDER The November 25, 2019 regular meeting of the Seward City Council was called to order at 7:00 p.m. by Vice Mayor Sue McClure. OPENING CEREMONY Police Chief Tom Clemons led the Pledge of Allegiance to the flag. ROLL CALL There were present: Ch+isty Tef fy presiding and Sue McClure Shaiyl Seese John Osenga Kelley Lane Dale Butts Tony Baclaan comprising a quorum of the Council; and Scott Meszaros, City Manager Brenda Ballou, City Clerk Excused—Lane, Terry Absent—None CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING Carolyn Roemer had lived in Seward for 28 years. She was concerned about the city's partnership with Ring and she wanted some assurance that this program would be executed in a responsible way. She wanted to know how a private citizen's information would be accessed and for how long it would be kept. Roemer said she believed that Amazon had an arrangement with Ring to allow them access to the information collected. She requested that council put a hold on the program until the community had an opportunity to weigh in on it. Heather Bardarson wanted to bring attention, once again, to the community's childcare crisis. There had been a recent announcement that the Pre-K school would be closed,leaving over 33 children without preparation for kindergarten. Bardarson strongly encouraged council to create a committee to reach out to the community and find solutions to this issue. Bardarson said if the current situation continued it would result in a financial hardship and a scholastic deficit for the community. Carol Griswold had some comments about the city and state priorities: the Ad Hoc Committee for the Seward airport should be contacted for input on the runway items;Lowell Canyon 157 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page Tunnel could be moved up to be a higher priority;perhaps the money for enveloping City Hall would better be spent for a new building; and, she wondered about increasing office space at the electric warehouse. Darryl Schaefermeyer supported Griswold's comments about the airport runway; he thought the city should support protecting the current runways. APPROVAL OF AGENDA AND CONSENT AGENDA Motion (Osenga/Seese) Approval of Agenda and Consent Agenda Butts removed Resolutions 2019-110, 2019-111, and 2019-112 for the City, State, and Federal Priorities from the consent agenda. City Clerk Brenda Ballou explained that Resolutions 2019- 109 through 2019-111 would be renumbered to 2019-110 through 2019-112. McClure removed the introduction of Ordinance 2019-017 from the agenda. Motion Passed Unanimous The clerk read the following approved consent agenda items: Approval of the November 12, 2019 City Council Regular Meeting Minutes. Schedule a work session to review the complete proposed 2020/2021 budget on December 2, 2019 at 6:00 p.m. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Proclamations & Awards—None Chamber of Commerce Report. Jason Bickling stated there were two new chamber members.He would be sending out a membership survey so he could better understand the needs of the membership.Bickling wanted to develop a united front with the city for what Seward had to offer between the harbor, port, SMIC, and the marine trade business. Regarding marketing,the chamber was in the midst of revamping the 2020 Visitors Guide,and would continue developing the website. City Manager Report.Scott Meszaros reported the following purchase orders over$5,000 had been approved by the City Manager since the last council meeting: None. In response to Osenga, Meszaros said the Police Department statement about the investigation was new last Friday. Other Reports, Announcements and Presentations Seward Community Health Center Quarterly Report by Craig Ambrostani. 158 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page Alaska Municipal League(AML)Conference Travel Reports by Mayor Terry(laydown)and Council Members Baclaan and Seese. PUBLIC HEARINGS Resolutions 2019-098 through 2019-108, Adopting The 2020-2021 City of Seward Biennial Budget. These resolutions are having a first public hearing tonight, and will come backfor a second public hearing and approval on December 9, 2019. Motion (Seese/Osenga) Approve Resolutions 2019-098 through 2019- 108 Meszaros said the budget packet that was handed out at the November 6,2019 work session remained the most updated detailed budget documentation for approval. He added that the Capital Improvements Plan would be worked on again after the new year. McClure clarified that council had just scheduled a work session on December 2, 2019 to have further discussions about the budget. Baclaan wondered how council would know what updates had been made to the budget since the beginning.In response,Meszaros said there had been no changes made to the budget documents since November 6, 2019 version. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Carol Griswold thought that this year's budget process had been exceptionally rushed and poorly vetted. She was concerned that there were still unknowns, like the payroll study. She wondered if travel, subscriptions, and other budgets had been reconsidered by individual departments. Darryl Schaefermeyer supported moving ahead with the district heating project for city buildings. He urged council to continue with the hydrology studies for Lowell Creek. No one else appeared and the public hearing was closed. Seese said she had studied the budget and wondered why there were so many increases from the original budget to the November 6, 2019 budget, even after healthcare costs decreased. Specifically, the city manager's personnel costs increased; in response, Acting Finance Director Sam Hickok said he would look into it. Motion to Amend (Baclaan/Butts) Direct the city manager to bring forward the increases and decreases from the original budget document to the current one so that 159 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page the public and council know what was changed. Seese said she had thought about creating her own spreadsheet so she could see the changes that were made. In response, Meszaros said he could furnish the percentage changes between the 2019 budget and the 2020/2021 proposed budgets. In response to McClure, Baclaan said he wished to see the actual dollar changes from the original budget presented at the first work session and the November 6, 2019 budget, not the percentage changes. In response to McClure and Seese,Hickok said he would see what he could do to furnish that information before the December 2, 2019 work session. In response to Seese,Hickok said he could copy the current proposed budget information into an Excel spreadsheet,but he could not do that with the original budget document because it had been overlaid; however, Hickok said, he had the hard copies of the original budget information. In response to Butts concern that there was a short week for the Thanksgiving holiday in which to produce this information,Meszaros said changes had been made during every work session; he didn't have the documentation for all the changes that were made,but he could easily produce a percentage change report.Meszaros added that in order to produce a redlined budget,he would have to reset the system to the original budget and document every change requested manually. Osenga stated that the change requests had been documented over time, so perhaps a list could be furnished instead. Motion withdrawn with no objection from council. Motion to Amend (Baclaan/Seese) Direct the city manager to create a list of all changes of increases and decreases from the preliminary budget to the November 6, 2019 budget before the December 2, 2019 work session. Motion to Amend Passed Unanimous Seese requested to have an Excel spreadsheet of the November 6,2019 budget.In response to Baclaan, Hickok said he could create it by running a report from the system and exporting it to Excel. In response to McClure,Hickok said it was a large document, and would take a few hours to run. In response to Seese, Hickok clarified that the time was computer time, not his time; he wondered why Seese wanted the file. In response, Seese said she had already spent hours on the budget and wanted to use a spreadsheet to assist her. 160 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page Council directed the city manager to provide Council Member Seese an Excel file of the November 6, 2019 budget. Primary Motion to Amend (Baclaan/Seese) Direct the city manager to bring forward a balanced budget. Baclaan was concerned that if the city was spending more than it earned,it basically equated to using a credit card, or required dipping into savings. In response to Osenga,Meszaros said the projected revenues in the budget were way short of actual, and he could produce a balanced budget by simply increasing revenue projections. Rather, Meszaros preferred to present a realistic and conservative budget;he said he could present a balanced budget however council directed.Hickok said as long as any budget gap could be filled with the fund balance,the budget was technically balanced. Baclaan said he didn't think it was a good practice to use the reserve fund balance to balance a budget,just in case there was a catastrophic event. In response to Osenga,Hickok said the reserves fund was currently at 5.2 months;it was very healthy and the highest it had been for years. Hickok was very confident that the city would not actually see a budget deficit because of the conservative revenue projections. Secondary Motion to Amend (Butts/Baclaan) Direct the city manager to bring forward options for a balanced budget. Secondary Motion Passed Unanimous Primary Motion Passed Yes: Baclaan, Butts, Seese, Osenga No: McClure Motion to Postpone (Seese/Baclaan) Postpone Resolutions 2019-098 through 2019- 108 to December 9, 2019. Motion to Postpone Passed Unanimous Resolution 2019-097,Authorizing The City Manager To Enter Into A Special Contract With The Seward Association For The Advancement Of Marine Science (SAAMS) For Adjusted Electric Rates. Motion O Approve Resolution 2019-097 Meszaros said this resolution would continue with the same rates as in 2019. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Chip Arnold was the Chief Operating Officer and Acting Chief Executive Officer for the 161 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page Alaska SeaLife Center (ASLC). He requested council approval of this resolution. The ASLC appreciated the partnership with the city and support.The ASLC needed this special contract because they had a relatively constant demand of electricity and were unique in that they didn't fit into the usual large commercial user. The ASLC was the second largest employer in Seward, right behind Providence Hospital. Carol Griswold had been a member of the ASLC since they opened in 1998. She was a strong supporter;however, she was troubled by the statement that if the city didn't provide a special rate,the ASLC would have to close. She wondered if the ASLC was doing everything they could to conserve energy. She didn't think it was possible for the city to continue supplementing the ASLC; the city gave them special electric rates and special housing accommodations for their workers. Darryl Schaefermeyer was on the board of directors for SAAMS and the ASLC, although he was not speaking on behalf of either board.He thought the ASLC had contributed far more to the city's revenues than the city had ever provided in return. The ASLC went to great lengths to take energy conservation measures.Next to payroll,the highest cost in their budget was electric utilities. Schaefermeyer thought it was a well-nun facility. No one else appeared and the public hearing ivas closed. Baclaan disclosed a potential conflict of interest because he often provided catering services to the Alaska SeaLife Center. Vice Mayor McClure ruled that no conflict existed with no objections from council. Butts thanked the ASLC for all their contributions and thought it was the best aquarium in the entire state. Motion Passed Unanimous UNFINISHED BUSINESS —None NEW BUSINESS Resolutions Resolution 2019-110,Establishing The City Of Seward's Calendar Year 2020 City Legislative Priorities. Motion (Osenga/Seese) Approve Resolution 2019-110 Meszaros said all the draft priorities had been sent to staff, both of the city's lobbyists, Providence, the Community Health Center, and the Alaska SeaLife Center for input. Butts thought the reference to Seward airport improvements was generic enough to be in keeping with the Ad Hoc Committee's recommendations. 162 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page Main Motion Passed Unanimous Resolution 2019-111,Establishing The City Of Seward's Calendar Year 2020 State Legislative Priorities. Motion (Seese/Osenga) Approve Resolution 2019-111 Meszaros stated that the priorities were not purposefully ranked, even thought they were numbered. In response to Baclaan,Meszaros clarified that the transmission line and the transformers for SMIC were two separate projects. In response to Butts, Meszaros said when delegates traveled to Juneau, they went with a specific short-term list of needs for the city. Baclaan wanted to state for the record that the Alaska Railroad Corporation's Seward Marine Terminal Expansion Project supported both passenger and freight activities. Main Motion Passed Unanimous Resolution 2019-112, Establishing The City Of Seward's Calendar Year 2020 Federal Legislative Priorities. Main Motion (Osenga/Baclaan) Approve Resolution 2019-112 Meszaros said the Lowell Creek Tunnel maintenance and the creation of a new outfall option were the two highest priorities. Motion to Amend (Butts/Osenga) Amend Resolution 2019-112 under Section B. Authorizations and Beneficial Legislation, Number 3, so that it reads, "Support the establishment of a Prescott grant program within the Fish & Wildlife Service budget to provide support for a stranding network and responding to marine mammal live stranding and mortalities throughout Alaska." Motion to Amend Passed Unanimous Council suspended the rules to speak with Carol Griswold. Carol Griswold spoke on behalf of the Seward Ad Hoc Airport Committee and said the committee had not had the opportunity to provide input,but the committee's goals were to stabilize and maintain the long runway and mitigate the potential damage from the Resurrection River. She 163 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page encouraged council to speak with the committee's chair Bruce Jaffa. Council went back on the rules. Motion to Postpone (Baclaan/Seese) Postpone Resolution 2019-112 to December 9, 2019. Butts wondered when the Ad Hoc Committee for the Seward airport would meet again; no one knew the meeting schedule.McClure reiterated that the options for council included postponing this resolution now, approving it and possibly amending it at a later date, or defeating it. Motion to Postpone Failed Yes: Seese, Baclaan No: Osenga, Butts, McClure Motion to Amend (Butts/Osenga) Amend Resolution 2019-112 under Section A. Appropriations and Grants, Number 9, so that it reads, "Seek support from the Federal Aviation Administration(FAA)for the existing long runway." Baclaan said he was not against this amendment,but thought it would be prudent to postpone until the committee had an opportunity to provide wording. Council suspended the rules to speak with Lynda Paquette. Lynda Paquette was a member of the Port&Commerce Advisory Board and was also on the Ad Hoc Committee for the Seward airport. She said the FAA was offering a long runway, and so to be very clear, perhaps Butts would consider including the word"existing"to his amendment. Council went back on the rules. Butts concurred. Baclaan reconfirmed his faith in Bruce Jaffa's ability and passion for this topic,and thought it wise to wait for clearer language. Motion to Amend Failed Yes: Osenga, Butts, McClure No: Seese, Baclaan Primary Motion to Amend (Butts/Seese) Amend Resolution 2019-112 under Section A. Appropriations and Grants,Number 9,by striking it in its entirety. Secondary Motion to Amend (Seese/Osenga) Amend Resolution 2019-112 under Section A. Appropriations and Grants,Number 9,by 164 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page striking it in its entirety and adding the words, "Seward Airport: to be determined." Secondary Motion to Amend Passed Yes: Osenga, Butts, Seese, McClure No: Baclaan Primary Motion to Amend Failed Yes: Butts, Osenga, McClure No: Baclaan, Seese Main Motion Failed Yes: Seese, Osenga, McClure No: Baclaan, Butts Other New Business All Other New Business items were approved on the consent agenda. INFORMATIONAL ITEMS AND REPORTS On-Going City Projects and Goals. September, 2019 City and Providence Financials. In response to Baclaan,Meszaros said the Water and Wastewater Rate Study results should be available within the next week. Motion (Baclaan/Seese) Create an Ad Hoc Committee of one or two council members to work with the community to explore solutions for childcare options. In response to McClure, the city clerk advised that this action come at a future council meeting along with an agenda statement. Baclaan felt strongly that community members had come to council at the last two meetings to express their concerns about childcare in Seward, so he felt that action should be taken. McClure was concerned that there needed to be proper public notice. Baclaan thought there was immediacy to having a response, but was willing to withdraw his motion; he stated he would attend community meetings on his own to support the community's concerns. McClure thought it would still be good to see something come on the next meeting agenda. The motion was withdrawn with no objection from council. Council directed the city manager to bring back a new resolution establishing the city's federal priorities for the December 9, 2019 meeting. 165 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page COUNCIL COMMENTS Butts thanked everyone for coming tonight.He encouraged everyone to watch for the Angel Tree initiative being launched next week to support individuals and families in need. Butts said, "Right now it was 90 days." Baclaan thanked everyone for coming and speaking.He thanked the chamber for sponsoring Start-Up Week for new businesses last week. At AML, Tim Dillon introduced Baclaan to the federally-appointed chair from the Denali Commission; that was a great connection because they were a great source for funding. Baclaan thanked everyone for a productive meeting. Osenga thanked Baclaan and Seese for their AML reports. He wished the Terry family a speedy recovery, and wished everyone a Happy Thanksgiving. Seese said Happy Thanksgiving to everyone. She appreciated being sent to AML, and thanked Tim Dillon for connecting them with the Denali Commission. McClure thanked the public for coming tonight. The Angel Tree gift wrapping party would be held on December 14,2019 at the fire station. She reminded everyone about the work session on December 2, 2019. McClure wished everyone a Happy Thanksgiving and safe travels. CITIZEN COMMENTS Darryl Schaefermeyer said the legislative priorities resolutions went to a broad audience of legislators, on both the state and federal levels. He was concerned that the state priorities list contained the same statement that council was concerned about for the federal priorities. He admonished council to be very precise and careful with the language in these documents. He commended council for the work they did,but he would appreciate it if council would reconsider the state priority resolution. Chip Arnold expressed his appreciation to council and administration on behalf of the ASLC and wished everyone a Happy Thanksgiving. Carol Griswold thought the quality of the legal service provided to the city was lacking. She encouraged the city to send out a Request for Proposals for a new city attorney firm. Her concerns specifically surrounded what she considered to be inconsistent legal contracts, negotiations, resolutions, and ordinances that required extensive revisions. Griswold said she was alarmed at the November 12, 2019 Board of Adjustment appeal hearing at rules apparently being made up on the fly. Griswold said her head was spinning with the explanations provided by the city attorney; she said she had spent a great deal of time listening to the recording of the hearing so she could make sense of the proceedings. Norm Regis said the U.S. Coast Guard confirmed the Fast Response Cutter would be going to SMIC,but the Coast Guard had a change of command and so the conversations about supporting 166 City of Seward,Alaska City Council Minutes November 25, 2019 Volume 41,Page additional vessels had to start all over again. Regis suggested perhaps council could model their priorities after the way PACAB did theirs by using bullets instead of numbers. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS Meszaros was currently developing a resolution for a city attorney flat fee schedule and would bring that back on the next agenda. Motion to Reconsider (Baclaan/Seese) Reconsider Resolution 2019-111 Motion to Reconsider Passed Unanimous Motion to Postpone (Baclaan/Seese) Postpone Resolution 2019-111 to December 9, 2019 Baclaan wanted the airport committee to have an opportunity to provide wording. Motion to Postpone Passed Unanimous Baclaan said he spent two hours in a class at AML regarding quasi-judicial boards and offered to share information with Carol Griswold if she wished.He understood peoples' frustrations about getting laydowns at the last minute, especially when the topics were important items like the budget.Baclaan supported providing the public and council with as much documentation as possible in advance of taking any action. ADJOURNMENT The meeting was adjourned at 9:42 p.m. Brenda J. Ballou, MMC Sue McClure City Clerk Vice Mayor (City Seal) 167 City of Seward,Alaska City Council Special Meeting Minutes November 15, 2019 Volume 41,Page CALL TO ORDER The November 15, 2019 special meeting of the Seward City Council was called to order at 12:00 p.m. by Mayor Christy Terry. OPENING CEREMONY Harbormaster Norm Regis led the Pledge of Allegiance to the flag. ROLL CALL There were present: Christy Terry presiding and Sue McClure Sharyl Seese John Osenga Kelley Lane Dale ts Tony Baclaan comprising a quorum of the Council; and Scott Meszaros, City Manager Norm Regis, Harbormaster Jessica Stallard, Deputy City Clerk Excused—Butts, Lane Absent—None CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING—None APPROVAL OF AGENDA AND CONSENT AGENDA Motion (/) Approval of Agenda and Consent Agenda This was an oversight that was missed at the meeting. There were no consent agenda items. NEW BUSINESS Resolutions 168 City of Seward,Alaska City Council Special Meeting Minutes November 15, 2019 Volume 41,Page Resolution 2019-109,Authorizing The City Of Seward To Join The Alaska Remote Seller Sales Tax Commission For The Purpose Of Developing,Implementing,And Enforcing A Remote Seller Sales Tax Code And Designating The Seward City Manager As The City's Commission Representative. Motion (McClure/Seese) Approve Resolution 2019-109 City Manager Scott Meszaros said Alaska had problematic issues with sales tax.The Kenai Peninsula Borough took the lead on enforcing the Alaska remote sales tax. Meszaros said the other municipalities within the Kenai Peninsula Borough had opted in to the Alaska Remote Seller Sales Tax Commission.He said if the terms of the agreement were not acceptable to the municipality,then they did have the ability to opt out of this partnership at a later date. In response to McClure, Meszaros said approving this resolution gave the Seward City Council the ability to help plan for the sales tax. He said there would be a statewide discussion on this at the Alaska Municipal League (AML) conference in Anchorage on Tuesday, November 19, 2019. In response to Terry,Meszaros said if Council did not approve this resolution,then the Kenai Peninsula Borough would still collect the sales tax but it would not be distributed throughout the borough. Motion Passed Unanimous COUNCIL COMMENTS Seese verified that City Manager Scott Meszaros had been designated as the City's Commission Representative. CITIZEN COMMENTS—None COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS —None ADJOURNMENT The meeting was adjourned at 12:05 p.m. Jessica Stallard Christy Terry Deputy City Clerk Mayor (City Seal) 169 Memorandum Date: December 9, 2019 From: Brenda Ballou, City Clerk Subj: Cancellation of the December 23, 2019 City Council Meeting HISTORY City Council Rules of Procedures, Rule 2, and Seward City Code, Section 2.10.030 (a) (1), state that regular meetings of the City Council are held on the 2nd and 4d' Mondays of each month at 7:00 p.m. Council has traditionally canceled the last meeting in December due to the holidays. BACKGROUND CITY COUNCIL RULES OF PROCEDURES, RULE 2. COUNCIL MEETINGS - TIME The regular meetings of the City Council are held on the 2nd and 4d' Mondays of each month at 7:00 p.m. As specified in SCC § 2.10.031, all regular and special meetings of the Council must adjourn no later than 11:00 p.m. The Council may not adjourn prior to 11:00 p.m. unless all presentations and comments by members of the general public have been heard. By a vote of council, the time for conclusion of legislative business and adjournment may be extended to 12:00 a.m. SEWARD CITY CODE, SECTION 2.10.030 (A)(1) Regular meetings. Regular meetings of the city council shall be held in the council chambers in the Seward City Hall, or at such other place as may be determined by the city council upon consideration of the reasonable accommodation of the public. Regular city council meetings shall be held on the second and fourth Mondays of each month at 7:00 p.m.; provided that any regular meeting may be canceled by the affirmative vote of at least four councilmembers. RECOMMENDATION If all business is met, City Council cancel the December 23, 2019 meeting in observance of the holidays. 170 AGENDA STATEMENT Meeting Date: December 9, 2019 -r S From: Jessica Stallard, Deputy City Clerk Agenda Item: Liquor License Renewal BACKGROUND &JUSTIFICATION: The City Council has an opportunity to object to the request for a liquor license renewal for the following business: Chinooks Waterfront Beverage Dispensary License#4617 The City of Seward Police Department, Fire Department, Utilities Department, Leases Department, and the Kenai Peninsula Borough Finance Department have no objections to the liquor license renewal for this business. FISCAL NOTE: In the event the City of Seward chooses to file a protest for the above liquor license renewals, then under Alaska Statutes the City of Seward will be required to assist in, or undertake the defense of its protest. RECOMMENDATION: Non-objection to the liquor license renewal for Chinooks Waterfront, License# 4617, Beverage Dispensary. 171 MEMORANDUM Date: November 7, 2019 To: Naneth Arnbrosiani Finance/Leases Sarka Calocci Finance/Public Utilities Chief Torn Clemons Police Department Chief Eddie Athey Fire Department From: Jessica Stallard, Deputy City Clerk �5 RE: Verifying Compliance for the Renewal of Liquor License The following business has applied for a renewal of their liquor license. Please review for compliance with all utilities, lease payments and assessments. Thank you. Name of Business: Chinooks Waterfront Licensee: Fain Alaska, Inc. Type of License: Beverage Dispensary License Number: 4617 Department Status Initials Finance/Leases �j�^'�� ( Finance/Utilities ` V• 1� Police Chief 1 f Fire Chief * Deadline for Protest: January 6, 2020 U 172 Office of the Borough 08 o \ 144 North Binkley Street, Soldotna, Alaska 99669 • (907) 714-2160 • (907) 714-2388 Fax Johni Blankenship, MMC Borough Clerk 11/8/2019 Sent via email: clerk@cityofseword.net Seward City Hall City of Seward RE: Non-Objection of Application Licensee/Applicant Fam Alaska, Inc. Business Name Chinooks Waterfront License Type Restaurant/Eating Places License Location 1404 4th Avenue, Seward, AK 99664, City of Seward License No. 4617 Application Type License Renewal Dear Ms. Ballou, This serves to advise that the Kenai Peninsula Borough has reviewed the above referenced application and has no objection. Should you have any questions, or need additional information, please do not hesitate to let us know. Sincerely, Johni Blankenship, MMC Borough Clerk JB/ts Encl. cc: harborholdings@yahoo.com; clerk@cityofseward.net; DHenry@kpb.us; SNess@kpb.us; JRodgers@kpb.us 173 V or Tye THE STATE f Department of Commerce, Community, ALASand Economic Development ALCOHOL&MARIJUANA CONTROL OFFICE ' GOVERNOR MICHAEL J.DUNLEAVY 550 West 7'h Avenue, Suite 1600 Anchorage,AK 99501 ALAS Main:907.269.0350 November 7, 2019 City of Seward & Kenai Peninsula Borough Via Email: clerk@citvofseward.net bballou@citvofseward.net Iblankenship@kpb.us dhenrv@kpd.us IrodRers@kpb.us sness@kpb.us Joanne@borough.kenai.ak.us tshassetz@kpb.us Re: Notice of 2020/2021 Liquor License Renewal Application License Type: Beverage Dispensary License Number: 4617 Licensee: Fam Alaska, Inc. Doing Business As: Chinooks Waterfront We have received a completed renewal application for the above listed license (see attached application documents) within your jurisdiction.This is the notice required under AS O4.11.480, A local governing body may protest the approval of an application(s) pursuant to AS O4.11.480 by furnishing the director and the applicant with a clear and concise written statement of reasons for the protest within 60 days of receipt of this notice, and by allowing the applicant a reasonable opportunity to defend the application before a meeting of the local governing body, as required by 3 AAC 304.145(d). If a protest is filed,the board will deny the application unless the board finds that the protest is arbitrary, capricious, and unreasonable. To protest the application referenced above,please submit your written protest within 60 days, and show proof of service upon the applicant and proof that the applicant has had a reasonable opportunity to defend the application before a meeting of the local governing body. Sincerely, o'-6e,'W, Erika McConnell,Director amco.localgovernmentonly@alaska.gov 174 &��; Alcohol and Marijuana Control Office � 550 W 711,Avenue,Suite 1600 Anchorage,AK 99501 T i alcohol.)icensing@alaska.gov AMCO httos://www.commerce.alaska.gov/web/amco Phone:907.269.0350 Alaska Alcoholic Beverage Control Board 41""ITI10"N'N. Or1 Master Checklist: Renewal Liquor License Application Doing Business As: Chinooks Waterfront License Number: I4617 License Type: Beverage Dispensary Examiner: �ocl�l Transaction#: 201901164038 Document Received Completed Notes AB-17: Renewal Application 10/28/19 App and License Fees 10/28/19 Supplemental Document Received Completed Notes Tourism/Rec Site Statement AB-25:Supplier Cert (WS) AB-29:Waiver of Operation AB-30: Minimum Operation A13-33:Restaurant Affidavit COI/COC/5 Star FP Cards& Fees/AB-08a Late Fee Names on FP Cards: Yes No Selling alcohol in response to written order(package stores)? — Mailing address and contact information different than in database (if yes, update database)? In "Good Standing"with CBPL(skip this and next question for sole proprietor)? r Officers and stockholders match CBPL and database (if"No", determine if transfer necessary)? LGB 1 Response: LGB 2 Response: ® Waive ® Protest ❑ Lapsed a Waive Protest ® Lapsed [Master Checklist:Renewal](rev 09/20/2018) Page 1 of 1 175 1t Alcohol and Marijuana Control Office 550 W 71"Avenue,Suite 1600 /7 Anchorage,AK 99501 71 i :V AMCO m(", Phone:907.269.0350 Alaska Alcoholic Beverage Control Board Form AB-17: 2020/2021 Renewal License Application What is this form? This renewal license application form is required for all individuals or entities seeking to apply for renewal of an existing liquor license that are is due to renew by December 31, 2019. All fields of this form must be complete and correct, or the application will be returned to you in the manner in which it was received, per AS O4.11.270 and 3 AAC 304.105.The Community Council field only should be verified/completed by licensees whose establishments are located within the Municipality of Anchorage or outside of city limits within the Matanuska-Susitna Borough. This form must be completed and submitted to AMCO's main office before any license renewal application will be reviewed.Receipt and/or processing of renewal payments by AMCO staff neither indicates nor guarantees that an application will be considered complete,or that a license will be renewed. Section 1 - Establishment and Contact Information Enter information for the business seeking to have its license renewed.If any populated information is incorrect,please contact AMCO. Licensee: Fam Alaska, Inc. License#: 4617 License Type: Beverage Dispensary Doing Business As: Chinooks Waterfront Premises Address: 1404 4th Avenue Local Governing Body: City of Seward(Kenai Peninsula Borough) Community Council: None Mailing Address: 7 03 City: C I") ze ,,'=/— State: ZIP: Enter information for the individual who will be designated as the primary point of contact regarding this application.This individual must be a licensee who is rec uired to be listed in and authorized to sign this application. Contact Licensee: e 'I Contact Phone: D• _ _� �. Contact Email: Optional: If you wish for AMCO staff to communicate with an individual who is not a licensee named on this form(eg:legal counsel) about this application and other matters pertaining to the license,please provide that person's contact information in the fields below. Name of Contact: Contact Phone: Contact Email: [Form AB-171(rev 09/17/2019) Page 1 of 4 AMCC OCT 2 8 2019 176 Alaska Alcoholic Beverage Control Board AMCO Form AB-17: 2020/2021 Renewal License Application Section 2 - Entity or Community Ownership Information Licensees who directly hold a license as an individual nr indivi&als should skip to Section 3 General partnerships and local governments should skip to the second half of this page.All licensees that are corporations or LLCs must complete this section. Corporations and LLCs are required to be in good standing with the Alaska Division of Corporations, Business&Professional Licensing (CBPL).The CBPL Entity#below is neither your EIN/tax ID number, nor your business license number.You may view your entity's status or find your CBPL entity number by vising the following site:https://www.commerce.alaska.,ovjcbp/mamZsearchlentities Alaska CBPL Entity#: You must ensure that you are able to certify the following statement before signing your initials in the box to the right: Initials I certify that this entity is in good standing with CBPL and that all current entity officials and stakeholders(listed below) are also currently and accurately listed with CBPL. This subsection must be completed by any community or entity including a corporation,limited liability company,partnership,or limited partnership,that is applying for renewal.If more space is needed,please attach additional completed copies of this page. • If the applicant is a corporation,the following information must be completed for each shareholder who owns 10%or more of the stock in the corporation,and for each president vice-president secretary, and managing officer. • If the applicant is a limited liability organization,the following information must be completed for each member with an ownership interest of 10%or more,and for each manager. • If the applicant is a partnership,including a limited partnership,the following information must be completed for each partner with an interest of 10%or more,and for each general partner. Important Note:The information provided in the below fields(including spelling of names,specific titles,and percentages held)must match that which is listed with CBPL. If one individual holds multiple titles mentioned in the�z fillets above all titles must be Ii-Aed_f g- a nndivi ua on this application and with CBPL. Failure to list all required titles constitutes an incomplete application.You must list ALL of your qualifying officials,additional copies of this page or a separate sheet of paper may be submitted if necessary. Name of Official: Title(s): , f , S Phone: Mailing Address: 7S� City: State: ZIP: Name of Official: 1z rV Iyt 6� Title(s): �— r„ N�S Phone: , 3GQ� %Owned: Mailing Address: 77 3 City: State: d NV ZIP: Name of Official: Title(s): Phone: %Owned: Mailing Address: City: State: ZIP: (Form AB-17](rev 09/17/2019) Page 2of4 License#4617 DBA Chinooks Waterfront AMCC OCT 2 8 2019 177 nMro Alaska Alcoholic Beverage Control Board Form AB-17: 2020/2021 Renewal License Application Section 3- Sole Proprietor Ownership Information Entities,such as corporations or LLCs,should skip this section This section must be completed by any licensee who directly holds the license as an individual or multiple individuals and is applying for license renewal.If more space is needed,please attach a separate sheet that includes all of the required information. The following information must be completed for each licensee and each affiliate. This individual is an: ❑ applicant El affiliate Name: Contact Phone: Mailing Address: City: State: ZIP: Email: This individual is an: applicant affiliate Name: Contact Phone: Mailing Address: City: State: ZIP: Email: Section 4- Alcohol Server Education This section must be completed only by the holder-of.a beverage dispensar club,or_publicense or conditional contractor's permit. - ier licens( kdp to Section 5 Read the line below,and then sign your initials in the box to the right of the statement: Initials I certify that all licensees,agents, and employees who sell or serve alcoholic beverages or check identification of a patron have completed an alcohol server education course approved by the ABC Board and keep current,valid copies of their course completion cards on the licensed premises during all working hours, as set forth in AS O4.21.025 and 3 AAC 304.465: Section 5 - License Operation [heck a for each calendar year that best describes how this liquor license was operated: 2018 2019 The license was regularly operated continuously throughout each year. 7 The license was regularly operated during a specific season each year. ® ❑ The license was only operated to meet the minimum requirement of 240 total hours each calendar year. If this box is checked, a complete copy of Form AB-30:Proof of Minimum Operation Checklist and all necessary documentation must be provided with this application. J The license was not operated at all or was not operated for at least the minimum requirement of 240 total hours each year,during one or both of the calendaryears. If this box is checked,a complete copy of Form AB-29:Waiver of Operation Application and corresponding fees must be submitted with this application for each calendar year during which the license was not operated for at least the minimum requirement unless a complete copy of the form(including fees)has already been submitted for that year. [Form A13-17](rev 09/17/2019) AMCO Page 3 of 4 License#J 4617 DBA Chinooks Waterfront OCT 2 8 2019 178 11MC0 19 Alaska Alcoholic Beverage Control Board Form AB-17: 2020/2021 Renewal License Application Section 6 -Violations and Convictions Applicant violations and convictions in calendar years 2018 and 2019: Yes No Have any notices of violation(NOVs)been issued for this license in the calendar years 2018 or 2019? ® F Has any person or entity named in this application been convicted of a violation of Title 04,of 3 AAC 304,or a local El ordinance adopted under AS 04.21.010 in the calendar years 2018 or 2019? If"Yes"to either of the previous two questions,attach a separate page to this application listing all NOVs and/or convictions. Section 7 - Certifications Read each line below,and then sign your initials in the box to the right of each statement: Initials I certify that all current licensees(as defined in AS O4.11.260)and affiliates have been listed on this application, and that in accordance with AS O4.11.450,no one other than the licensee(s) has a direct or indirect financial interest in the licensed business. I certify that I have not altered the functional floor plan or reduced or expanded the area of the licensed premises, and I have not changed the business name orthe ownership(including officers,managers,general partners,or stakeholders) from what is currently approved and on file with the Alcoholic Beverage Control Board. I certify on behalf of myself or of the organized entity that I understand that providing a false statement on this form or any other form provided by AMCO is grounds for rejection or denial of this application or revocation of any license issued. Fs—ari-app rt o-rya iziaorlicense�enewaT, f declare under penalty of perjury tFat ll have read and am familiar with AS 04 and 3 AAC 304,and that this application,including all accompanying schedules and statements,is true,correct,and complete.I agree to provide all information required by the Alcoholic Beverage Control Board or AMCO staff in support of this a plication and understand that failure to do so by any deadline gi rti to me by AMCO staff will result in this application bein me o as,into fete. w� nature of licen a Signature o Notary Public 59-e.,,v E----A 1 tid /✓ Notary Public in and for the State of_ v Printed name of licensee My commission expires:_ " 'r Ireida Rizo Notary Public I Subscribed and sworn to before me this.214ay ofZ2�4� 20�&. Mohave County,Arizona My Comm.Expires 12-10-2021 Yes No Seasonal License? . ® If"Yes",write your six-month operating period: License Fee: $ 2500.00 Application Fee: $ 300.00 TOTAL: $2800.00 Miscellaneous Fees: GRAND TOTAL(if different than TOTAL): form AB-17](rev 09/17/2019) AMCO - Page 4 of 4.. License k 4617 DBA Chinooks waterfront OCT 2 8 2019 179 Division of Corporations, Business and Professional Licensing https://www.commerce.alaska.gov/cbp/main/search/entities Details ENTITY DETAILS Name(s) Type Na Legal Name Entity Type: Business Corporation Entity#: 90869 Status: Good Standing AK Formed Date: 1 2/612 0 04 Duration/Expiration: Perpetual Home State: ALASKA Next Biennial Report Due: 1/2/2020 File Biennial Report Entity Mailing Address: PO BOX 2753,SEWARD,AK 99664 Entity Physical Address: 1404 4TH AVE,SEWARD,AK 99664 Registered Agent Agent Name: Sandra Szymaszek Registered Mailing Address: PO Box 2753,Seward,AK 99664 Registered Physical Address: 1404 4Th Ave,Seward,AK 99664 Officials Show Former AK Entity# Name Titles Owned GARY GILMOUR Secretary,Shareholder,Treasurer 33.00 GENE MINDEN Director,President,Shareholder 67.00 Filed Documents Date Filed Type Filing Certificate 12/06/2004 Creation Filing Click to View 12/23/2005 Biennial Report Click to View 1 011 4/2 0 0 9 Biennial Report Click to View 10/14/2009 Biennial Report Click to View 12/23/2011 Biennial Report Click to View 4/20/2012 Change of Officials Click to View 1 2111/2 01 3 Biennial Report Click to View 1/06/2016 Biennial Report Click to View 1010512017 Biennial Report Click to View Close Details Print Friendly Version 1 of 1 180 11/7/2019, 3:17 PM AGENDA STATEMENT Meeting Date: December 9, 2019 From: Jessica Stallard, Deputy City Clerk `�S Agenda Item: Liquor License Renewal BACKGROUND &JUSTIFICATION: The City Council has an opportunity to object to the request for a liquor license renewal for the following business: Zudy's Cafe Restaurant/ Eating Place—Public Convenience License#5356 The City of Seward Police Department, Fire Department, Utilities Department, Leases Department, and the Kenai Peninsula Borough Finance Department have no objections to the liquor license renewal for this business. FISCAL NOTE: In the event the City of Seward chooses to file a protest for the above liquor license renewals, then under Alaska Statutes the City of Seward will be required to assist in, or undertake the defense of its protest. RECOMMENDATION: Non-objection to the liquor license renewal for Zudy's Cafe, License # 5356, Restaurant/ Eating Place—Public Convenience. 181 MEMORANDUM Date: October 21, 2019 To: Naneth Ainbrosiani Finance/Leases Sarka Calocci Finance/Public Utilities Chief Tom Clemons Police Department Chief Eddie Athey Fire Department From: Jessica Stallard, Deputy City Clerk RE: Verifying Compliance for the Renewal of Liquor License The following business has applied for a renewal of their liquor license. Please review for compliance with all utilities, lease payments and assessments. Thank you. Name of Business: Zudy's Cafe Licensee: Zudy's Cafe LLC Type of License: Restaurant/Eating Place- Public Convenience License Number: 5356 Department Status Initials Finance/Leases Finance/Utilities Police Chief Fire Chief * Deadline for Protest: December 20, 2019 182 Office of the Borough G OR o \3 144 North Binkley Street, Soldotna, Alaska 99669 • (907) 714-2160 • (907) 714-2388 Fax Johni Blankenship, MMC Borough Clerk 10/22/2019 Sent via email: clerk@cityofseword.net Seward City Hall City of Seward RE: Non-Objection of Application Licensee/Applicant ; Zudy's Cafe LLC Business Name Zudy's Cafe License Type Restaurant/Eating Places - Public Convenience License Location 501 Railway Ave, City of Seward License No. 5356 Application Type ; Renewal Dear Ms. Ballou, This serves to advise that the Kenai Peninsula Borough has reviewed the above referenced application and has no objection. Should you have any questions, or need additional information, please do not hesitate to let us know. Sincerely, Johni Blankenship, MMC Borough Clerk J B/ts Encl. cc: ja nod hner@gmail.com; clerk@cityofseward.net; DHenry@kpb.us; JRodgers@kpb.us 183 OF Tye THE STATE Department of Commerce, Community, °tALASKA and Economic Development ALCOHOL&MARIJUANA CONTROL OFFICE GOVERNOR MICHAEL J.DUNLF.AVY 550 West 7`h Avenue,Suite 1600 Anchorage,AK 99501 QF ALAS�'r Main: 907.269.0350 October 21, 2019 City of Seward Kenai Peninsula Borough Via Email: clerk@citvofseward.net bballou@cityofseward.net iblankenship@kpb.us dhenrv@kpb.us JRodgers@kpb.us ioanne@borough.kenai.ak.ustshassetz@kpb.us Re: Notice of 2020/2021 Liquor License Renewal Application License Type: Restaurant/Eating Place- Public Convenience License Number: 5356 Licensee: Zudy's Cafe LLC Doing Business As: Zudy's Cafe We have received a completed renewal application for the above listed license (see attached application documents) within your jurisdiction.This is the notice required under AS O4.11.480. A local governing body may protest the approval of an application(s)pursuant to AS O4.11.480 by furnishing the director and the applicant with a clear and concise written statement of reasons for the protest within 60 days of receipt of this notice, and by allowing the applicant a reasonable opportunity to defend the application before a meeting of the local governing body, as required by 3 AAC 304.145(d). If a protest is filed,the board will deny the application unless the board finds that the protest is arbitrary, capricious, and unreasonable. To protest the application referenced above, please submit your written protest within 60 days, and show proof of service upon the applicant and proof that the applicant has had a reasonable opportunity to defend the application before a meeting of the local governing body. Sincerely, y % it"I'l ti Gunk t Erika McConnell, Director amco.localgovernmentonly@alaska.gov 184 �1 Alcohol and Marijuana Control Office 550 W 71h Avenue,Suite 1500 7� Anchorage.AK 99SOI Tr .•, alcoho l.licensirng&alaska.eov ;.' " �; Alaska Alcoholic Beverage Control Board httos:ltwww.commerce.alaska.eov/web/amco �.; Phone:907.269.0350 Restaurant or Eating Place License Form AB-17a: 2020/2021 Renewal license Application What is this form? This renewal license application form is required for all individuals or entities seeking to apply for renewal of an existing restaurant or eating place liquor license that is due to renew by December 31,2019.All fields of this form must be complete and correct,or the application will be returned to you in the manner in which it was received,per As 04.11.270 and 3 AAC 304.165.The Community Council field only should be verified/completed by licensees whose establishments are located within the Municipality of Anchorage or outside of city limits within the Matanuska Susitna Borough. This form must be completed and submitted to AMCo's main office before any license renewal application will be reviewed.Receipt and/or processing of renewal payments by AMCO staff neither indicates nor guarantees that an application will be considered complete,or that a license will be renewed. Section 9 -Establishment and Contact Information Enter information for the business seeking to have its license renewed.if any populated informatlon is incorrect,please contactAMCo. Licensee: Zudy's Cafe LLC I License#: 5356 License Type: Restaurant/Eating Place-Public Convenience Doing Business As: Zudy's Cafe Premises Address: 5U1 Railway Ave. Local Governing Body: City of Seward(Kenai Peninsula Borough) Community Council: None MailingAddress: �e 0., �7 1 City: �t 1['�5� Stale: �-� - ZIP � Enter Information for the Individual who will be designated as the primary point of contact regarding this application.This individual must be a'licensee who is required to be listed In and authorized to sign this application. Contact Licensee: N "re-A ContactPhone: �Q7-79 .707a Contact Email: I '1hN MdrQ rz G 1AU— 1 cam optional.If you wish for AMCo staff to communicate with an individual who is not a licensee named an this form(eg:legal counsel) about this application and other matters pertaining to the license,please provide that erson's contact information in the fields below. Name of Contact: l Contact Phone: I Contact Email. y r j (FormAB•17a)(rev09/17/2019) E E Pa me I of4 'iL 185 ��. Alaska Alcoholic Beverage Control Board ' AhSCO Form AS-17a: 2020/2021 Restaurant Renewal License Application Section 2-Entity or Community Ownership information ticewees uJho dircctly hold a license as an individual or Individuals should skip to Section 3.General partnerships and local governments should skip to the second half of this page.All licensees that are corporations or LiLCs must complete this section. Corporations and LLCs are required to be in good standing with theAiaska Division of Corporations,Business&Professional Licensing (CBPL).The CBPL Entity#below is neither your FIN/tax 1D number,nor your business license number.You may view your entity's status orfind yourCe PL entity number by vising the following site:https://www.commerce.alaska.gov/chp/main/searchlentities Alaska C13PL,Entity#: �—A IS!'1`—D—ftR<—>X q �T _ I You must ensure that you are able to certify the fallowing statement before signing your initials in the box to the right: initials I certify that this entity is In good standing with CBPL and that all current entity officials and stakeholders(listed below) are also currently and accurately listed with CBPL. (1 This subsection must be completed by anycommunity or entity,including a corporation,limited liability company,partnership,ar limited partnership,that is apply ing for renewal,If more space is needed,please attach additional completed copies of this page. o If the applicant is a corporation,the following information must be completed for each shareholder who owns 10%ormare of the stock In the corporation,and for each president,vice-president,secretary,and managing officer. a If the applicant is a limited liability organization,the following informatlon must be completed for each member with an ownership interest 010%armore,andforeach manager. o If the applicant is a nartnerslila,including a limited partnership,the following information must be completed for each partner with an interest of 10%or more,and for each genera!partner. Important Note:The information provided in the below fields(including spelling of names,specific titles,and percentages held)must match thatwhich is listed with CBPL.If one individual holds multiple titles mentioned In the bullets above,ail titles must be listed for that individual on this application and with CBPL Failure to list all required titles constitutes an Incomplete application.You must list ALL of your qualifying officials,additional copies ofthis page or a separate sheet of papermay be submitted If necessary. Dame of officiate b � Tltle(s): Phone: 0 8 K S6-1 0 %owned: Mailing Address: R ' ° City: YIP: . Name of Official: ffUDIV ift, O l NfIz- Title(s): tNtt Phone: ' ` %Owned: Mailing Address: ' City: Mao ^ � State: � ZIP, ^ Name of Official: Title(s): Phone: %Owned: Mailing Address: City: 1 State: TZ71P. 1 (Form AB 17a)(rev9/17/2019) L PageZof4 License#15355 DBA Zudy's Cafe r ' y I�v S t11,� til C- f 4i 1.i 186 ad i:n,q Alaska Alcoholic Beverage Control Board AMCO : Form AB-17a: 2020/2021 Restaurant Renewal License Application Section 3-Sole Proprietor Ownership Information Lntitir,%such vs corporations or LLCs,should ship this section.This section must be completed by any licensee who directly holds the license as an individual or multiple individuals and is applying far license renewal.If more space is needed,please attach a separate sheet that includes all of the required information. The following information must be completed for each licensee and each affiliate. This individual is an: 0 applicant affiliate Name: Contact Phone: Mailing Address: City: , State: + ZIP: Email: This individual Is an: applicant affiliate Name: Contact Phone: Mailing Address: City: I State: ZIP:. Email: Section 4-Alcohol Server Education Read the line below,and then sign your initials in the box to the right of the statement: Initials 1 certify that all licensees,agents,and employees who sell or serve alcoholic beverages or check identification of a patron have completed an alcohol server education course approved by the ABC Hoard and keep current,valid copies of their course completion cards on the licensed premises during all working hours,as set forth in AS O4.21.025 and 3 AAC 304.465. Section 5-License Operation Check asingle box for each calendar yearthat best describes howthis liquor license was operated: 2018 2019 The license was regularly operated continuously throughout each year. The license was regularly operated during a specific season each year / 0 The license was only operated to meet the minimum requirement of 240 total hours each calendar year. [®�► If this box is checked,a complete copy of Form A8 30.Proof of Minimum Operation Checklist,and all necessary documentation must be provided with this application. The license was not operated at all or was not operated for at least the minimum requirement of 240 total hours each year,during one or both of the calendar years. J If this box is checked,a complete copy of Form A8-29.Waiver of operation Application and corresponding fees must be submitted with this application for each calendaryear during which the license was not operated for at least the minimum requirement,unless a complete copy of the form(including fees)has already been submitted for that year. (Form Aa-17a1(rev 9J17/2019) I Page3oM 0cense NS356 DBA2udy's Cafe E 187 Alaska Alcoholic Beverage Control Board Form AB-17a: 2020/2021 Restaurant Renewal License Application Section 6-Violations and Convictions Applicant violations and convictions in calendar years 2018 and 2019: Yes No Have any notices of violation(NOvs)been issued for this license in the calendar years 2018 or 2019? =-, Has any person or entity named in this application been convicted of a violation of Title 04,of 3 AAC 304,or local a ordinance adopted under AS O4.21.010 in the calendar years 2018 or 2019? If"Yes"to either of the previous two questions,attach a separate page to this application listing all NOVs and/or convictions. Sections 7- Certifications Read each line below,and then sign your initials in the bon to the right of each statement: Initials I certify that all current licensees(as defined in AS O4.11.260)and affiliates have been listed on this application,and that in accordance with AS O4.11AS0, no one other than the licensee(s)has a direct or indirect financial interest in the J1 licensed business. I certify that I have not altered the functional floor plan or reduced or expanded the area of the licensed premises, and I have not changed the business name or the ownership(including officers,managers,general partners,or stakeholders)from what is currently approved and on file with the Alcoholic Beverage Control(ABC)Board. I certify on behalf of myself or of the organized entity that I understand that providing a false statement on this form or any other form provided by AMCO is grounds for rejection or denial of this application or revocation of any license issued. I am submitting as part of this application a completed copy of Form AB-33:Restaurant Receipts Affidavit,to provide evidence to the ABC Board that this establishment met the food sales requirement set forth in AS O4.11.100(e). :J(1� As an applicant for a liquor license renewal,I declare under penalty of perjury that I have read and am familiar with AS 04 and 3 AAC 304,and that this application,including all accompanying schedules and statements,is true,correct,and complete.I agree to provide all information required by the Alcoholic Beverage Control Board or AMCO staff in support of this application and understand that failure to do so y any deadline given to me by AMCO staff will result in this application being returned to me arias omplete. _ � 2-,Ifl �, Al I�,..,.. O Signature of licensee 1 'L Si na re of NotaryPublic g t1� C� � � d��'�� •, g A O'� �ut�r in and for the State of ` Printed name of licensee p C My commission expires: Subscribed f� ,taUe ►`ITi�e this ( day of,� ( �_Y� 20�1� /lllllllllt / Yes No i Seasonal License? If"Yes",write your six-month operating period: E License Fee: $ 600.00 Application Fee: $ 300.00 TOTAL: $900.00 Miscellaneous Fees: GRAND TOTAL(if different than TOTAQ: [Form A8-17a](rev 9/17/2019) 4 � � Page 4 of 4 License N 5356 DBA 2udy's Cafe L 188 Notice of Violation (3AAC 304.525) This form,all Information provided and responses are public documents per Alaska Public Records ACT AS 4a.25 Date:9/3/19 License#!Type: 5356 RestanraTWEating Plaoe—Public Convenience Licensee: Zudy's Cafe LLC Address: 501 Railway Ave, Seward, AK DBA: Zudy's Cafe AMCO Case#: 19-1410 This is a notice to you as licensee that an alleged violation has occurred. If the Alcoholic Beverage control Board decides to act against your license,under the provisions of AS 44.62.330-AS 44.62.630(Administrative Procedures Act)you will receive an Accusation and Notice of your right to an Administrative bearing. Note;This is not an accusation or a criminal complaint. On 8-28-19 an inspection was done at your establishment. As part of the inspection, Manager Cindy Lou Ecklund was asked to provide proof of current server education. Ms. Ecklund responded she doesn't serve alcohol but does supervise employees who do. Ms. Ecklund has been employed on and off for more than 30 days. Also noticed were no civil penalty signs posted at entrances and the liquor license was not posted. Your attention is directed to 3AAC 304.465: Alcohol server education, AS O4.11.630: Accessibility of license and licensed premises to inspection; AS O4.21.065: Posting of waming signs,AS O4.21.030: Responsibility of licensees, agents, and employees and AS O4.16.150: License responsible for violations You are s'rmactad to resnonid in l-167-ieq to U 3 Mr•:.;:e of vlole,`ian uui�:—�')days or:�cc��'^c e•t a1-x?-, acUosl)rou have- f^'-9ri to prever"a r occv7:--lee ai R�-is violM art. i"A F,'! rr�:.:TO t'=�ma .� -�n°m`•9 NK)g _ G-7 Vlc;A T E01,1 ..ITS,-1 DAYS toili..l_Pr_.8 L: 0M YOUR A� 7-Ar�:"1?CE,EITI-I'= IN^�rac�poa��TEp E, ��.�.;C.C�F_E 1f, =�f--_e- �£��'T!1y `!EX T REGLILA.C�L'Y 3C W=DUF L7-)IFC"+^-)"^Er7.-1 iGa. "Please send your response to the address below and include your alcohol license number in your response. 3 AAC 304.525(S)provides that upon receipt of a Notice of Violation,a licensee may'request to appear before the Director and be heard regarding the Notice of Violation. The request must he made within ten days after receipt of the Notice and the Director must grant an appearance within ten days after receipt of a request. A Licensee shall respond,either orally or in writing,to the Notice. Alcohol&Marijuana Control Office ATiN: Enforcement' 550 W.r Ave,Suite 1600 Anchorage,Alaska 99501 amco.enforcement@alaska.uov Issuing Investigator: J. Hamilton Received by: SIGNATURE: , f SIGNATURE: !y Delivered VIA: Mail Date: updated 4123/19 189 AGENDA STATEMENT Meeting Date: December 9, 2019 From: Jessica Stallard, Deputy City Clerk T 5 Agenda Item: Liquor License Renewal BACKGROUND &JUSTIFICATION: The City Council has an opportunity to object to the request for a liquor license renewal for the following business: The Highliner Restaurant Restaurant/Eating Place—Public Convenience License#5621 The City of Seward Police Department, Fire Department, Utilities Department, Leases Department, and the Kenai Peninsula Borough Finance Department have no objections to the liquor license renewal for this business. FISCAL NOTE: In the event the City of Seward chooses to file a protest for the above liquor license renewals, then under Alaska Statutes the City of Seward will be required to assist in, or undertake the defense of its protest. RECOMMENDATION: Non-objection to the liquor license renewal for The Highliner Restaurant, License #5621, Restaurant/Eating Place—Public Convenience. 190 -61W MEMORANDUM Date: October 22, 2019 To: Naneth Ambrosiani Finance/Leases Sarka Calocci Finance/Public Utilities Chief Tom Clemons Police Department Chief Eddie Athey Fire Department From: Jessica Stallard, Deputy City Clerk 7 S RE: Verifying Compliance for the Renewal of Liquor License The following business has applied for a renewal of their liquor license. Please review for compliance with all utilities, lease payments and assessments. Thank you. Name of Business: The Highliner Restaurant Licensee: The Highliner Restaurant, LLC Type of License: Restaurant/Eating Place- Public Convenience License Number: 5621 Department Status Initials Finance/Leases �U�'1 WWI- I G) Finance/Utilities C!>rn UQV- -- IO-zz- 1 Police Chief Fire Chief * Deadline for Protest: December 21, 2019 191 VINiNsG 9 - of Borough 0 o RZ O �' 144 North Binkley Street, Soldotna, Alaska 99669 • (907) 714-2160 • (907) 714-2388 Fax Johni Blankenship, MMC Borough Clerk 11/5/2019 Sent via email: clerk_acityofseward.net Seward City Hall City of Seward RE: Non-Objection of Application Licensee/Applicant The Highliner Restaurant LLC Business Name The Highliner Restaurant License Type Restaurant/Eating Places- Public Convenience License Location 303 Adams Street, City of Seward, AK 99664 License No. 5621 Application Type License Renewal Dear Ms. Ballou, This serves to advise that the Kenai Peninsula Borough has reviewed the above referenced application and has no objection. Should you have any questions, or need additional information, please do not hesitate to let us know. Sincerely, Johni Blankenship, MMC Borough Clerk JB/ts Encl. cc: g pen terprise88@gmail.com; clerk@cityofseward.net; DHenry@kpb.us; JRodgers@kpb.us 192 OF Ty£ % s THE STATE- Department of Commerce, Community, ALASKA. and Economic Development ALCOHOL&MARIJUANA CONTROL OFFICE GOVERNOR NIICHALL 1.DUNLEAVF 550 West 7"Avenue, Suite 1600 Anchorage,AK 99501 o�ALAS Main:907.269.0350 October 22, 2019 City of Seward Kenai Peninsula Borough Via Email: clerk@cityofseward.net ; bballou@cityofseward.net ; jblankenship@kpb.us ; Dhenry@kpb.us JRodgers@kpb.us ioanne@borough.kenai.ak.us;tshassetz@kpb.us; Re: Notice of 2020/2021 Liquor License Renewal Application License Type: Restaurant/Eating Place-Public Convenience License Number: 5621 Licensee: The Highliner Restaurant, LLC Doing Business As: The Highliner Restaurant We have received a completed renewal application for the above listed license (see attached application documents)within your jurisdiction.This is the notice required under AS O4.11.480. A local governing body may protest the approval of an application(s) pursuant to AS O4.11.480 by furnishing the director and the applicant with a clear and concise written statement of reasons for the protest within 60 days of receipt of this notice,and by allowing the applicant a reasonable opportunity to defend the application before a meeting of the local governing body,as required by 3 AAC 304.145(d). If a protest is filed,the board will deny the application unless the board finds that the protest is arbitrary, capricious, and unreasonable. To protest the application referenced above, please submit your written protest within 60 days,and show proof of service upon the applicant and proof that the applicant has had a reasonable opportunity to defend the application before a meeting of the local governing body. Sincerely, Erika McConnell, Director amco.localgovernmentonly@alaska.gov 193 ,01.&U'A v Alcohol and Marijuana Control Office OX 'tG 550 W T^Avenue,Suite 1600 Anchorage,AK 99501 ,- alcohol.licensin,%@alaska.gov AMCO Alaska Alcoholic Beverage Control Board https://www.commerce.alaska.gov/web/amco Phone:907.269.0350 Restaurant or Eating Place License ° ``� Form AB-17a: 2020/2021 Renewal License Application What is this form? This renewal license application form is required for all individuals or entities seeking to apply for renewal of an existing restaurant or eating place liquor license that is due to renew by December 31,2019.All fields of this form must be complete and correct,or the application will be returned to you in the manner in which it was received,per AS O4.11.270 and 3 AAC 304.105.The Community Council field only should be verified/completed by licensees whose establishments are located within the Municipality of Anchorage or outside of city limits within the Matanuska-Susitna Borough. This form must be completed and submitted to AMCO's main office before any license renewal application will be reviewed.Receipt and/or processing of renewal payments by AMCO staff neither indicates nor guarantees that an application will be considered complete,or that a license will be renewed. Section 1 - Establishment and Contact Information Enter information for the business seeking to have its license renewed.If any populated information is incorrect,please contact AMCO. Licensee: The Highliner Restaurant, LLC License#: 5621 License Type: Restaurant/Eating Place-Public Convenience Doing Business As: The Highliner Restaurant Premises Address: 303 Adams St,Seward,AK,99664 Local Governing Body: City of Seward (Kenai Peninsula Borough) Community Council: None Mailing Address: City: S f� State: ZIP: 1 Enter information for the individual who will be designated as the primary point of contact regarding this application.This individual must be a licensee who is required to be listed in and authorized to sign this application. Contact Licensee: `1 ""� Yw Contact Phone: Contact Email: , / l v� Optional:If you wish for AMCO staff to communicate with an individual who is not a licensee named on this form(eg:legal counsel) about this application and other matters pertaining to the license,please provide that person's contact information in the fields below. Name of Contact: Contact Phone: Contact Email: [Form AB-17a](rev 09/17/2019) AMCQage 1 of ON 0 .12019 194 Alaska Alcoholic Beverage Control Board Form A13-17a: 2020/2021 Restaurant Renewal License Application Section 2-Entity or Community Ownership information General partnerships and local governments should skip to the second half of this page.All licensees that are corporations or LLCs must complete this section. Corporations and LLCs are required to be in good standing with the Alaska Division of Corporations,Business&Professional Licensing (CBPL).The CBPL Entity H below is neither your EIN/tax ID number,nor your business license number.You may view your entity's status or find your CBPL entity number byvising the following site:ti j/www.commerrraiaslw.gov/cDp/main/search/entities Alaska CBPL Entity 9: , You must ensure that you are able to certify the following statement before signing your Initials in the box to the right. Initials I certify that this entity is in good standing with CBPL and that all current entity officials and stakeholders(listed below) are also currently and accurately listed with CBPL This subsection must be completed by any community or entity including a corporation,limited liability company,partnership,or limited partnership,that is applying for renewal.If more space is needed,please attach additional completed copies of this page. o If the applicant is a corporation,the following information must be completed for each shareholder who owns 10%ormore of the stock in the corporation,and for each president vice-president,secretary,and managing officer. • If the applicant is a limited liability cimanization,the following information must be completed for each member with an ownership interest of 10%or more,and for each manager. • If the applicant is a partnership including a limited partnership,the following information must be completed for each partner with an interest of 10%or more,and for each general partner. Important Note:The information provided in the below fields(including spelling of names,specific titles,and percentages held)must match that which is listed with CBPL If one individual holds multiple titles mentioned in the bullets above,all titles must be listed for that individual on this application and with CBPL Failure to list all required titles constitutes an incomplete application.You must list ALL of your qualifying officials,additional copies of this page or a separate sheet of paper may be submitted If necessary. Name of Official: - Title(s): �" . Y- Phone: ct >v ),3y_<. }� %Owned: ' Mailing Address: Crty: ---` State: Zip: f �<' Name of official: Tltle(s): 1' Phone: �: ;�y %Owned: i Mailing Address: City: State: Name of Official: i Trtle(s): Phone: %Owned: Mailing Address: ! I City: State: ZIP: 1 [Form AB-17ai(rev 9/17/2019) Page 2 of A I� License#5621 DBA The HlghlinerRestaurant (�l L OCT 2 2 2019 ' _ I ALCU; 195 Alaska Alcoholic Beverage Control Board 4MCO Form AB-17a: 2020/2021 Restaurant Renewal License Application Section 3 - Sole Proprietor Ownership Information Entities,such as corporations or LLCs,should skip this section.This section must be completed by any licensee who directly holds the license as an individual or multiple individuals and is applying for license renewal.If more space is needed,please attach a separate sheet that includes all of the required information. The following information must be completed for each licensee and each affiliate. This individual is an: ❑ applicant affiliate Name: Contact Phone: Mailing Address: City: State: ZIP: Email: This individual is an: applicant affiliate Name: Contact Phone: Mailing Address: City: State: ZIP: Email: Section 4- Alcohol Server Education Read the line below,and then sign your initials in the box to the right of the statement: Initials I certify that all licensees,agents,and employees who sell or serve alcoholic beverages or check identification of a patron have completed an alcohol server education course approved by the ABC Board and keep current,valid copies of their course completion cards on the licensed premises during all working hours,as set forth in AS O4.21.025 and 3 AAC 304.465. Section 5 - License Operation Check a single box for each calendar year that best describes how this liquor license was operated: 2018 2019 The license was regularly operated continuously throughout each year. The license was regularly operated during a specific season each year. ❑ The license was only operated to meet the minimum requirement of 240 total hours each calendar year. If this box is checked,a complete copy of Form AB-30:Proof of Minimum Operation Checklist,and all necessary documentation must be provided with this application. The license was not operated at all or was not operated for at least the minimum requirement of 240 total hours Q each year,during one or both of the calendar years. If this box is checked,a complete copy of Form AB-29:Waiver of Operation Application and corresponding fees must be submitted with this application for each calendar year during which the license was not operated for at least the minimum requirement unless a complete copy of the form(including fees)has already been submitted for that year. [Form AB-17a](rev 9/17/2019) Page 3 of 4 License q 5621 DBA The Highliner Restaurant IN ry 196 ..,`s AMCO Alaska Alcoholic Beverage Control Board Form AB-17a: 2020/2021 Restaurant Renewal License Application Section 6 - Violations and Convictions Applicant violations and convictions in calendar years 2018 and 2019: Yes No Have any notices of violation(NOVs)been issued for this license in the calendar years 2018 or 2019? F K Has any person or entity named in this application been convicted of a violation of Title 04,of 3 AAC 304,or a local ordinance adopted under AS O4.21.010 in the calendar years 2018 or 2019? If"Yes"to either of the previous two questions,attach a separate page to this application listing all NOVs and/or convictions. Section 7 - Certifications Read each line below,and then sign your initials in the box to the right of each statement: Initials I certify that all current licensees(as defined in AS O4.11.260)and affiliates have been listed on this application,and that in accordance with AS O4.11.450,no one other than the licensee(s)has a direct or indirect financial interest in the licensed business. certify that I have not altered the functional floor plan or reduced or expanded the area of the licensed premises, and I have not changed the business name or the ownership(including officers,managers,general partners,or stakeholders)from what is currently approved and on file with the Alcoholic Beverage Control(ABC)Board. I certify on behalf of myself or of the organized entity that I understand that providing a false statement on this form or any other form provided by AMCO is grounds for rejection or denial of this application or revocation of any license issued. I am submitting as part of this application a completed copy of Form AB-33:Restaurant Receipts Affidavit,to provide evidence to the ABC Board that this establishment met the food sales requirement set forth in AS O4.11.100(e). As an applicant for a liquor license renewal,I declare under penalty of perjury that I have read and am familiar with AS 04 and 3 AAC 304,and that this application,including all accompanying schedules and statements,is true,correct,and complete.I agree to provide all information required by the Alcoholic Beverage Control Board or AMCO staff in support of this application and understand that fa� o d so by any deadline given to me by AMCO staff will result in this application being return to me as incomplete. ignatur of I ee Signature of Notary Pu 'c Notary Public in and for the State of STATE OF ALASKA,; My commission expires:06L `u 0 2 NOTARY PUBLIC Nj'1.3 I-:glflngSWOftll Subscribed and sworn to before me this day o f 20 �• My oor!mission Ex!oiras IJIa%30,i'0 11 Seasonal License? © ® If"Yes",write your six-month operating period: License Fee: $ 600.00 Application Fee: 1 $ 300.00 TOTAL: $900.00 Miscellaneous Fees: GRAND TOTAL(if different than TOTAL): [Form AB-17a](rev 9/17/2019) Page 4 of 4 License#5621 OBA The Highliner Restaurant A 197 Memorandum Date: December 9, 2019 From: Brenda Ballou, City Clerk RE: Mayor to appoint two Council Members to the Tabulation Team for the City Manager, City Attorney, and City Clerk evaluations, and set the timing for each evaluation HISTORY Annual evaluations for the City Manager, City Attorney, and City Clerk are scheduled in January, February and March of each year, or as directed by Council. Historically, there has been no consistent order assigned for which evaluation comes first, second, and third. BACKGROUND CITY COUNCIL RULES OF PROCEDURES - RULE 16. EVALUATION OF APPOINTED OFFICIALS PURPOSE OF EVALUATION The purpose of providing periodic evaluations of the City Attorney, City Clerk, and City Manager is: • To give the employee timely feedback on his/her performance and to identify areas in which he/she is doing well, along with areas in which improvement may be needed. Evaluation should lead to positive action. • To clarify and strengthen communication between the employee and the Council as it relates to their respective expectations for their position. • To serve as a method for gathering data relevant to subsequent personnel decisions. STATEMENT OF CITY COUNCIL'S RESPONSIBILITIES Evaluating the performance of the City Manager, the City Clerk, and the City Attorney is a significant responsibility of the City Council. Conducting an effective evaluation is hard work, but it does not have to be a bad experience. With a clear procedure and open lines of communication, chances are good that the experience will result in a more productive working relationship. FREQUENCY AND TIMING OF EVALUATIONS Evaluation is an ongoing process. To be most beneficial, it is suggested that evaluation sessions be held at least annually. Nothing in these evaluation procedures precludes the Council from exercising its authority to appoint or terminate the services of the City Manager, the City 198 Attorney, or the City Clerk; or to exercise its authority as set forth in any employment contract with said employees. OVERVIEW OF STEPS INVOLVED IN EVALUATION PROCESS Special Performance Evaluation Session: This ad hoc meeting may be scheduled at the will of the Council to provide feedback and address any areas needing improvement. There are no evaluation forms or standard processes defined for this evaluation since it is ad hoc. Annual Evaluation Session: This annual meeting should be scheduled in January, February and March of each year, or as directed by Council. It also marks the beginning of the next evaluation cycle. This evaluation is regularly-scheduled and follows this process: I. Self-Evaluation: The employee shall complete a self-evaluation using his/her respective blank evaluation form as a guide. He/she may write comments rather than use the rating system if he/she so chooses. It is the responsibility of the employee to complete and distribute hard copies of these self-evaluation reports to the council members no less than two (2) weeks prior to the actual Annual Evaluation Session. 2. Council Evaluation: No less than two (2) weeks prior to the employee's evaluation date, the City Clerk will provide the necessary blank evaluation forms to the City Council. The tabulation of the council members' scoring and comments will be assigned to two appointed council members; these two people form the tabulation team. Completed evaluation forms should be turned in to the tabulation team no less than three (3) days prior to the Annual Evaluation Session. 3. Evaluation Tabulation: The tabulation team will tally and average the scores, and combine all comments anonymously onto one tabulated evaluation form. This tabulated form should be made available for Council members at the Annual Evaluation Session. 4. Evaluation & Goal Setting In Executive Session: The Annual Evaluation Session will be held in Executive Session and the time scheduled for the Evaluation Session should be sufficient to do the job in a professional manner. "Round Robin" comments by Council members are permitted. It is also during the Annual Evaluation Session that the employee's goals are discussed and agreed upon by all parties. 5. Finalizing Evaluation & Goals With Employee: Within one (1) week of the Annual Evaluation Session, the tabulation team should create a final draft of the employee's tabulated evaluation form that also includes the agreed-upon goals, tabulated score, and comments, and should meet with the employee to review. At this meeting, the tabulation team and the employee will sign the document as an acknowledgement of the understanding. The final step will be for Council to determine any personnel decisions as a result of the evaluation, to conduct an assessment of the evaluation process and suggest amendments to the procedures, if necessary. At the conclusion of the current evaluation, the next evaluation cycle 199 automatically begins. DISPOSITION OF EVALUATION FORMS Certain information concerning the performance of an individual being evaluated under these procedures is not a public record, except as described in this section, and is not subject to disclosure under AS 40.25. Individual Council evaluation forms and the employee's self-evaluation forms are to be destroyed after executive session by the tabulation team. These forms are not considered a public record. Overall tabulation forms and criteria forms are considered a public record, as well as these procedures and shall be maintained in the employee's contract folder. RECOMMENDATION Mayor to appoint two Council Members to form the Tabulation Team. Determine the order of evaluations for January, February, and March for the City Manager, City Attorney, and City Clerk. 200 Council Agenda Statement Meeting Date: December 9, 2019 From: Christy Terry, Seward Mayor Agenda Item: Schedule a Council Retreat BACKGROUND & JUSTIFICATION: New Council make-up and new City Manager creates the perfect occasion to schedule and hold a Council Retreat, also including the City Clerk, to accomplish two objectives: 1) team building opportunity to get to know one another and develop relationships using ice breakers, games and activities; and 2) reviewing roles, responsibilities and expectations of Municipal Officials. Understanding and learning about everyone's communication styles will help facilitate the business of the public. Building relationships and communication skills will add to Council's success serving as the legislative body of the city and the City Manager and Clerk success of working with Council. It's helpful to have someone other than a Council Member, City Manager or City Clerk lead the retreat, so that everyone participate,rather than have to lead the agenda. Alaska Municipal League Executive Director Nils Andreassen offered to provide assistance and can be contacted if Council chooses to move forward with a Council Retreat. Clerk and City Manager can work together to ask for AML assistance with ideas about setting the agenda, suggestions with facilitator and ideas about other details with the retreat. Final details of the retreat can be determined by City Manager and Clerk working together,however, general suggestions are as follows: proposed locations to encourage a relaxed setting but also ensuring public access include-City Library(Community or Meeting Room)or Museum conference table (after hours)or TYC or Teen Rec Room(outside of operating hours); duration of the meeting could be 4-6 hours with a lunch or dinner for participants; schedule the retreat sometime in January prior to the start of the Community Strategic Planning/Visioning Session proposed by the City Manager. Public is invited and encouraged to attend and the meeting will be properly noticed. Members of the public are invited to make comments at the start of the retreat and at the close. Retreat will not be broadcast on social media,TV or radio,but will be recorded as public record. Limiting the activities of the day to Council,City Manager and City Clerk will help achieve the desired outcomes including better communication. INTENT: Create a Council Retreat opportunity to accomplish two objectives: ])team building opportunity to get to know one another and develop relationships using ice breakers, games and activities; and 2) reviewing roles, responsibilities and expectations of Municipal Officials. 201 CONSISTENCY CHECKLIST: Where applicable,this resolution is consistent with the Seward City Code,Charter,Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures. Other: FISCAL NOTE: Retreat can be planned with the goal to keep costs as low as possible. Venue can be scheduled at a City Building to reduce costs. One item of expense might be obtaining a facilitator. Council Education and Training or Travel and Subsistence budget can be used for expenses as necessary. Approved by Finance Department: ATTORNEY REVIEW: Yes No X RECOMMENDATION: Schedule a Council Retreat to include Council, City Manager and City Clerk. 202 Council Agenda Statement Meeting Date: December 9, 2019 From: Christy Terry, Seward Mayor Agenda Item: Schedule Work Session to discuss Electric Department rates, classifications, utility infrastructure management, current contract regarding power factor adjustment penalty and current status/process of selling electric utility BACKGROUND & JUSTIFICATION: Under Seward City Code §13.1-3 Council has all power not prohibited by law to acquire, own, operate and regulate,provide for regulation, promotion, control and provide for collection of rates and charges. Under Seward City Code §13.4, "Council may sell, lease or otherwise dispose of a municipal utility or of property and interest in property used or useful in the operation of a utility only after a proposition to do so is approved by three-fifths of the electors of the city voting on the proposition." A Work Session is helpful for study and recommendation regarding questions with the Electric Department. Specifically on the following: 1) Update information on the Meter Exchange Project 2) Reexamine Rate Study completed in 2017 including the changes to the tariff and City Code and how the changes impacted the rate payers and budget 3) Review of current rate structure and compare rate categories to other Electric Utilities in Alaska 4) Timeline for repairs and funding sources for projects identified and approved in the 2020- 2021 Budget 5) To date process and efforts discussing the sale of the Electric Utility 6) Review of all current professional services contracts including contract regarding company and job duties in regards to the Power Factor Adjustment INTENT: Schedule a two hour Council Work Session regarding Electric Utility items in cooperation with the Administration. Administration will provide materials to review by creating a packet of information prior to the Work Session and will be prepared to answer questions on Work Session topics. No outside contractors or vendors will be hired or paid in the gathering or examination of the requested Work Session items. 203 CONSISTENCY CHECKLIST: Where applicable,this resolution is consistent with the Seward City Code,Charter,Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures. Other: FISCAL NOTE: Holding the Work Session does not create a fiscal impact. ATTORNEY REVIEW: Yes No X RECOMMENDATION: Schedule Work Session to discuss Electric Department rates, classifications, utility infrastructure management,current contract regarding power factor adjustment penalty,update on meter exchange project (Council ongoing City Project Goal) and current status/process of selling electric utility. 204 ONGOING CITY PROJECTS & GOALS December 9, 2019 City Council Meeting ADA ACCESSIBLE PARKING AT CITY HALL September 27, 2019 At the September 23, 2019 meeting, Public Works Director Doug Schoessler reported that he received an engineer's estimate of$36,000 plus a $3,000 contingency for the project. Schoessler recommended that the project be delayed until the springtime to avoid potential winter salt damage to the new concrete. There was no objection rom council. SET LOCATION FOR SATELLITE FIRE STATION AND PUBLIC WORKS BUILDING September 27, 2019 1 Staff working with DOT regarding the shop property. DISCUSSION ON AIR FORCE RECREATION CAMP SITE October 28, 2019 The agenda item "Discuss the Fort Raymond property and engineering report, and give direction to the city manager on how toproceed"was removed from the agenda. SALTWATER HEAT PUMP PROJECT September 23, 2019 Presentation on PACAB on Wednesday 9118119. Engineering estimates will be obtained. ENERGY EFFICIENCY OF CITY HALL (See Saltwater Heat Pump Project) September 23, 2019 No updates at this time. GROUND TRANSPORTATION FOR AMBULANCE SERVICES April 22, 2019 1 No updates at this time. ANIMAL SHELTER RELOCATION—new location is at 605 Sea Lion Drive September 27, 2019 1 City Manager received survey work estimates and will schedule for an upcoming meeting. EXPLORE POSSIBILITIES FOR CREATING A REVENUE STREAM FOR THE ANIMAL SHELTER AND SOS PETS October 22, 2018 Staff and organizing groups have indicated that a dog washing station will be included in the design and build of the new Animal Shelter. UPDATE THE KPB TSUNAMI WARNING MESSAGE TO INCLUDE SPECIFIC REFERENCE TO THE LOCAL RADIO STATION (91.7/106.1) September 23, 2019 Citv manager scheduling a conversation with Kenn Carpenter to discuss. INCENTIVIZE FAMILY ENTERTAINMENT-TYPE BUSINESSES TO COME TO SEWARD April 22, 2019 Administration briefed R&M on the Fort Raymond property project and indicated this as the first priority in their contract for engineering services. Administration is working on a scope of work in order to obtain a quote for this effort and has indicated that the city would like to see options presented to city council that would include sizable lots suitable for these types of businesses. AFFORDABLE HOUSING(INCLUDING SUMMER WORKER HOUSING) November 12, 2019 Council directed the city manager to bring forward a Resolution for Public Hearing on December 9, 2019. SEWARD COMMUNITY HEALTH CARE CENTER EXPANSION May 13, 2019 The Seward Community Health Center conducted a public forum on May 7, 2019 regarding expansion. BUILDING MAINTENANCE October 22, 2019 Library HVAC cleaning and maintenance updates. 1 205 ONGOING CITY PROJECTS & GOALS December 9, 2019 City Council Meeting LED LIGHT CONVERSIONS January 28, 2019 1 A City shop office was upgraded to LED lights. PURSUE AVENUES TO INCREASE WINTER RECREATION OPPORTUNITIES September 27, 2019 1 Presented idea for Parks &Rec regarding Nordic Skiing ideas. CONDUCT CITY-WIDE DISASTER EXERCISE TO INCLUDE MOVING RESOURCES, EVACUATION FO THE PUBLIC,ENGAGING OUTSIDE AGENCIES,AND PUBLIC INFORMATION DISSEMINATION April 19, 2019 1 The city conducted a community-wide drill. EXTEND CITY UTILITIES INTO VIABLE AREAS TO SUPPORT FUTURE RESIDENTIAL HOUSING September 23, 2019 1 Stoney Creek electrical expansion. IMPROVE COUNCIL CHAMBERS TO ALLOW CITIZENS TO MORE CLEARLY HEAR AND EXPERIENCE MEETINGS November 25, 2019 New camera in operation;first council meeting successfully live streamed and automatically uploaded to YouTube. IMPROVE CITY WEBSITE TO INCREASE EASE OF USE BY THE PUBLIC October 28, 2019 We have moved into the Staging Phase where all Authorized Users have access to their content and can make live edits to the site. Over the next two to three weeks, MIS will be scheduling one-on-one reji esher time with each department to ensure employees are comfortable with using the new website. Go Live Launch Date =January 7, 2020. RETAINING WALL AT CITY HALL September 27, 2019 Postponed until springtime, along with ADA accessible parking at City Hall project. LOWELL POINT ROAD STORM DAMAGE REPAIR November 19, 2019 1 Construction has begun with road closures. 1999 STRATEGIC PLAN October 15, 2019 1 Council requested funding in the 2020 budget to allow for the plan to be updated. METER EXCHANGE PROJECT August 26, 2019 The demand meter policv has been finalized and is included in the packet this evening. Finance is working with the software company to develop methods for exporting pertinent data in order to determine demand meter locations movingforward. 2 206 ONGOING CITY PROJECTS & GOALS December 9, 2019 City Council Meeting COUNCIL COMMITTEES CITY COUNCIL POLICY WORK GROUP June 24, 2019 Council created a work group consisting of.Vice Mayor McClure, Council Member Towsley, City Manager Meszaros, and City Attorney Wells to review city-wide policies and propose revisions, as necessary. July 8, 2019 Council approved Resolution 2019-065, Directing The City Council Policy Work Group To Review The City Of Seward's Personnel Policies For Harassment And Bullying. September 23, 2019 At the September 9, 2019 work session, council reviewed the ordinance with the city attorney, and decided to have the Policy Work Group draft new and/or revise existing policies as they relate to this ordinance. Once the Policy Work Group completes their work, the policies will come back to council in the form of one or more resolutions, and this ordinance will come back at the same time lbr introduction. October 28, 2019 Council to decide which council member will replace Towsley on this committee. October 28, 2019 Council Member Tony Baclaan will replace Suzi Towsley on this committee. SPECIAL AD HOC CITIZEN ADVISORY COMMITTEE FOR SEWARD AIRPORT August 15, 2019 The Alaska Department of Transportation & Public Facilities (DOT&PF) and the Federal Aviation Administration (FAA) held a Public Hearing to collect comments on the Draft Environmental Assessment and Proposed Action. September 16, 2019 Council conducted a Public Forum to discuss Seward Airport options, develop a timeline/plan, and obtain public input in preparation for the next meeting with the ADOT and FAA. September 23, 2019 Council formed a Special Ad Hoc Citizen Advisory Committee with a sunset date of' December 31, 2020, and directed the city clerk to solicit interest from citizens. The purpose of the committee is to research options for the Seward Airport, and report back to council. September 24, 2019 City clerk solicited interest fNom citizens of Seward and the surrounding area. Deadline for letters of interest is October 4, 2019 at 5:00 p.m. October 14, 2019 Nine citizen letters of interest received; council will vote and appoint members at tonight's meeting. October 15, 2019 Council appointed ten citizens to the committee: Bruce Jaffa (Chair), Stephanie Presley, Lynda Paquette, Steve Leirer, Walter Corrigan, Carol Griswold, Bob Linville, Fred Woelkers, Bob Reisner, and Duke Marolf. The clerk notified the citizens and provided contact information for the group. October 25, 2019 Committee's first meeting. November 7, 2019 Committee meeting. December 5, 2019 Committee meeting. 3 207 Seward Port and Commerce Advisory Board 2019 3'd and 4d'Quarter Report Submitted by PACAB Chair Laura Schneider December 3, 2019 During the second half of 2019, PACAB held 6 meetings, additional work sessions and Climate Action Plan ad hoc committee meetings. Although we officially took our annual summer hiatus, we held regular meetings in July and August to attend to pressing business. We are pleased to once again be a full board with the appointment of Ben Smith in November. The board would like to thank Mayor Terry for her years of leadership and service on the board. PACAB continued to work from our list of approved priorities for February 2019- February 2020: • Review taxes, especially vessel property tax. • Review the Harbor Tariff. • Work to support industries to Seward including the Community Development Quota (CDQ) fleets and related industries, oil & gas related industries, transportation, vessel maintenance and repair facilities and commercial/sports fishing industry. • Help lead Seward Marine Industrial Center(SMIC) development. • Prioritize Federal and State Priorities for Port& Commerce Initiatives (October) • Continue exploration of energy alternatives (Wind, Solar, Geothermal and Hydroelectric, etc.), sponsor energy fair and/or other continuing community education, develop a Seward Renewable Energy Plan, review Title 15 including process and procedures for alternative energy connection to city infrastructure • Continue to send a Board Member to the Alaska Municipal League Annual Conference (AML) • Create a Climate Action Plan(2020) • Support the Blue Pipeline Initiative • Review utility infrastructure for future growth and development Some highlights of the last 6 months include: 1) Resolution recommending Council continue with the Seward Chamber of Commerce, Conference and Visitor's Bureau as the designated lead marketing arm of the city. 2) Attended a joint work session with Council and the Seward Chamber of Commerce. 3) Held a community open house to kick off the development of the Seward Climate Action Plan. 4) Continued to support the efforts to change the project design at the Seward Airport 5) Recommended to Council that Administration hold a meeting to discuss proceeding with the gauging of Lowell Creek for the Lowell Canyon Hydro Project 6) Forwarded PACAB Resolution 2019-003 recommending updates to the city's Interconnect Policy to Council. 7) Reviewed the Harbor Tariff. 8) Reviewed the SMIC Development Plan 9) There were no members of the board able to attend the Alaska Municipal League Conference in November; however, our Council liaison, Council Member Baclaan, City Clerk Ballou, and City Manager Meszaros attended a meeting to discuss Climate Action Planning in Alaska and brought back great resources to the board. 208 CLERK'S REPORT Alaska Association of Municipal Clerks Annual Conference Anchorage, Alaska November,2019 Report submitted to Seward City Council by Brenda Ballou, MMC, City Clerk The 54th Alaska Association of Municipal Clerks (AAMC) Conference was held from Sunday, November 17 through Tuesday, November 20, 2019 in Anchorage, Alaska. There were over 100 clerks from around the State of Alaska in attendance. Following is a summary of the classes I attended: SUNDAY,November 17, 2019 Advanced Academy Session: Gain Altitude with Attitude Matt Booth, Professional Speaker * Certification Points; learning assessment required Set goals, communicate, and stay positive in your personal and professional life. MONDAY,November 18, 2019 Opening Ceremony Invocation, Presentation of Colors, National Anthem, Introductions, Opening Remarks, and Welcome Addresses. Conference Introduction: Capitalize on Every Opportunity Learn about AAMC and ways to support the organization, including the importance of serving on committees. Introductions and remarks from honored guests: • Sheri Pierce, MMC Vice President, IIMC and City Clerk in Valdez, AK • Stephanie Smith, MMC Immediate Past President, California Clerks Association • Kathy Payne, MMC President, Oregon Association of Municipal Records • Dawn Abrahamson, MMC Region IX Director, TTMC • Scott Passey, MMC Region IX Director, TTMC • Joann Tilton, MMC Northwest Clerks Institute Director Education Session: Elections Update Gail Fenumiai, Director of Alaska State Division of Elections Regional Supervisors, Alaska State Division of Elections The Division of Elections performed voter list maintenance in 2019. 53,565 voters who had been inactive for four years were sent notices. Of those, 19,477 voters were purged due to no response. 209 CLERK'S REPORT Alaska Association of Municipal Clerks Annual Conference Anchorage, Alaska November,2019 Beginning March 1, 2017, the Division of Elections initiated automatic voter registration for all PFD-eligible citizens over the age of 18. Since then, 64,583 new voters have been added to the rolls, and 651,683 voter records have been updated, but only 4,639 new registrants have actually voted. The initiative has proved to be costly at$1,483,457, and still requires extensive manual data entry to match street addresses. The Division of Elections contracted with Dominion to replace the OptiScan and Touch Screen units used by voters on election day. The old equipment will be decommissioned and destroyed, and the new equipment will start being delivered in the coming months. For the 2020 elections, the precincts will have the choice to use the old equipment or the new equipment. DOE training will take place June-August, 2020. Education Session: Legal Issues Scott Bloom, Attorney fbr City of Kenai Holly Wells, Municipal Attorney (Attorney for City of Seward) Sean Kelley, Assistant Attorney fbr Kenai Peninsula Borough Topics covered included Open Meetings Act (OMA), administrative appeals, ethics, and conflicts of interest. General Session: Power Talk Round table topics included: agenda management, certification & continuing education, initiatives & petitions, marijuana & liquor licenses, OMA & public meeting notices, parliamentary procedures, Title 29, and PIO & social media. TUESDAY, November 19,2019 General Session: Recognizing/Understanding Threats & Potential Attacks and the Clerk's Role in Emergency Crisis Management Maura Kane McAuliffe, Forensic Psychologist for Los Angeles County Maureen Kane, Registered Nurse and Califbrnia Institute Director As first-line service providers, clerks and their staff frequently interact with a wide range of individuals, some of whom may pose a threat to public safety. Identifying and interacting with these types of individuals requires specific training. Increased awareness and practical knowledge will help prepare employees and officials to identify, respond, and assist in the de-escalation of a threat and/or the possible prevention of a future attack. We will address the physiological and psychological aspects of violence and violent behavior, the motivation, behaviors and types of threatening individuals, as well as the three myths of attacks on public officials. Practical knowledge in crisis situations will increase clerk effectiveness and personal safety in an emergency. We will review how to convey accurate and complete information to emergency responders. This will include understanding what information is pertinent and important, their mission and 210 CLERK'S REPORT Alaska Association of Municipal Clerks Annual Conference Anchorage, Alaska November,2019 behaviors, and how to report an incident and give descriptions to emergency personnel. Annual Business Meeting 2020 Election of Officers (Installed on November 19, 2019) • Sara Peterson, MMC Immediate Past President, City Clerk, City& Borough of Sitka • Melissa Jacobsen, MMC President, City Clerk, City of Homer • Jamie Heinz, CMC I"Vice President, City Clerk, City of Kenai • Brenda Ballou, MMC 2nd Vice President, City Clerk, City of Seward 211 REQUESTS FOR PUBLIC RECORDS City Clerk's Report Updated for December 9,2019 City Council meeting Report through December 3,2019 PENDING REQUESTS DATE IV REQUESTED BY DOCUMENT REQUESTED EMAIL SENT TO RESPONSE RECEIVED (Summary)ary) APPROPRIATE EMAIL SENT TO CITY ATTORNEY PROVIDED NOTES DEPARTMENT HEAD November 28, Ben Matheson Police Report Nickell,Schaetermeyer No Pending 2019 December 2,2019 Erin Reading Police Report Nickell,Schaefermeyer No Pending COMPLETED REQUESTS DATE REQUESTED BY DOCUMENT REQUESTED APPROPRIATE EMAIL SENT TO CITY CITY A SENT TO RESPONSE NOTES RECEIVED (Summary) DEPARTMENT HEAD CITY ATTORNEY PROVIDED Any letters(or other correspondence)to Seward Journal— Kelley Lane concerning her compliance October 21,2019 Kyle Walker with city code,particularly those Wilde,Nilsson,Athey Yes 11/25/19 pertaining to building or construction violations since January 1,2019. Review all travel expense reports and all travel receipts for Chief of Police Tom Clemons,Jacobs, October 28,2019 Suzi Townley Clemons from October 1,2016 to Hickok,T.Nickell No 11/8/19 October 1,2019 Review the list of noncompliant lodging October 30,2019 Suzanne Townley businesses who received notices in late Wilde Yes 1118119 2018. Copies of all proposals received by the November 6, City of Seward(circa)November 2014 2019 Steve MacSwain for the appraisal of 40 lease parcels in Clerks No 11/15/19 Seward,which were awarded March 2015. November 7, Janine Rugas- Report of all building permits processed Athey,Nilsson No 11/7/19 2019 Buildzoom from September 17,2019 to present. December 2,2019 Elizabeth Dunn Police Report No Yes 12/3/19 212 December 2019 December 2019 January 2020 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 5 6 7 1 2 3 4 8 9 10 11 12 13 14 5 6 7 8 9 10 11 15 16 17 18 19 20 21 12 13 14 15 16 17 18 22 23 24 25 26 27 28 19 20 21 22 23 24 25 29 30 31 26 27 28 29 30 31 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY Dec 1 2 3 4 5 6 7 6:OOpm CC Work 7:OOpm P&Z Mtg 12:OOpm PACAB Session (Council Mtg (Council Chambers Chambers 8 9 10 11 12 13 14 7:OOpm CC Mtg (Council Chambers 15 16 17 18 19 20 21 6:OOpm P&Z 12:OOpm PACAB 6:OOpm HPC Work Session Work Session Work Session (Council Chambers (Council Chambers Chambers 7:30pm HPC Meeting (Council Chambers 22 23 24 25 26 27 28 7:OOpm CC Mtg HALF DAY CITY CHRISTMAS Chambers HOLIDAY 29 30 31 Jan 1, 20 2 3 4 Council Calendar 1 12/2/2019 9:04 AM 213 January 2020 February 2020 January 2020 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 1 5 6 7 8 91011 2 3 4 5 6 7 8 12 13 14 15 16 17 18 9 10 11 12 13 14 15 19 20 21 22 23 24 25 16 17 18 19 20 21 22 26 27 28 29 30 31 23 24 25 26 27 28 29 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY Dec 29 30 31 Jan 1, 20 2 3 4 New Year's Day Holiday 12:OOpm PACAB Mt 5 6 7 8 9 10 11 7:OOpm P&Z Mtg 6:OOpm HPC (Council Work Session Chambers (Council Chambers 7:30pm HPC Meeting (Council Chambers 12 JE7:OOpm 14 15 16 17 18 C Mtg 12:OOpm PACAB il Work Session ers) Chambers 19 20 21 22 23 24 25 6:OOpm P&Z WS Chambers 26 27 28 29 30 31 Feb1 7:OOpm CC Mtg Chambers Council Calendar 2 12/2/2019 9:04 AM 214 February 2020 February 2020 March 2020 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 1 2 3 4 5 6 7 2 3 4 5 6 7 8 8 9 10 11 12 13 14 9 10 11 12 13 14 15 15 16 17 18 19 20 21 16 17 18 19 20 21 22 22 23 24 25 26 27 28 23 24 25 26 27 28 29 29 30 31 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY Jan 26 27 28 29 30 31 Feb 1 2 3 4 5 6 7 8 7:OOpm P&Z Mtg 12:OOpm PACAB (Council Mtg Chambers) 9 10 11 12 13 14 15 7:OOpm CC Mtg 6:OOpm HPC (Council Work Session Chambers) (Council Chambers 7:OOpm HPC Meeting (Council Chambers 16 17 18 19 20 21 22 President's Day 6:OOpm P&Z WS 12:OOpm PACAB Holiday Chambers Work Session Chambers 23 24 25 26 27 28 29 7:OOpm CC Mtg Chambers Council Calendar 3 12/2/2019 9:04 AM 215