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HomeMy WebLinkAboutRes2020-045 Sponsored by: Meszaros Public Hearing: June 8, 2020 CITY OF SEWARD, ALASKA RESOLUTION 2020-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AMENDING THE PORT AND HARBOR TARIFF TO PROVIDE AUTOMATIC CHANGE FROM TRANSIENT DAILY RATE TO A RATE EQUAL TO 15 DAYS TRANSIENT MOORAGE FOR A 30 DAY PERIOD WHEREAS, the Seward Boat Harbor is host to transient vessels, both recreational and commercial; and WHEREAS, currently, Seward City Code and the Seward Port & Harbor Tariff require transient moorage to be paid in advance in order to receive discounted rates; and WHEREAS, vessels often arrive in the harbor with the expectation that they won't be there long and are billed the transient daily rate; and WHEREAS, however, vessels are often required to remain longer due to inclement weather or operational needs; and WHEREAS, vessels that have not paid advanced transient moorage, but are in the harbor for more than 15 days in a 30 day consecutive period, will be invoiced 15 days of Transient Moorage for that 30 day period. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. The rates, fees, and charges incorporated herein by reference and attached hereto as "The Port and Harbor Tariff Regulations — 2020" are effective June 18, 2020, with the bills sent out after July 1, 2020 reflecting this adjusted rate. Section 2. The Port and Harbor Tariff Regulations are amended for the purpose of implementing a new transient moorage for vessels that have not paid in advance, providing for automatic adjustments from transient daily moorage, and dockage rates to 30 days of coverage equal to 15 days of transient daily moorage. Section 3. This resolution shall take effect ten (10) days following enactment. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 8`h day of June, 2020. CITY OF SEWARD,ALASKA RESOLUTION 2020-045 THE CITY F SE ARD,ALASKA Ch isty Terry, M or AYES: Osenga, Seese, McClure, Butts, Crites, Baclaan, Terry NOES: None ABSENT: None ABSTAIN: None ATTEST: Brenda J. Bal , M C City Clerk (City Seal) .•'••`l'of SE& "•.•. ;:e�..GaRP Ofti.N • l • • SEAL ` • = • s • .ry,,T OF-k- •A�•.7••� Agenda Statement Meeting Date: June 8, 2020 To: Scott Meszaros, City Manager From: Norm Regis, Harbormaster 1 Agenda Item: Amending the Port & Harbor Tariff to provide automatic shift from transient daily rate to adjusted moorage for 30 days equal to 15 days at the transient daily rate. BACKGROUND & JUSTIFICATION: Currently, the Seward City Code and the Seward Port and Harbor Tariff require transient moorage to be paid in advance to receive the discounted rates. Vessels are billed the transient daily rate until moorage is paid. Vessels often arrive in the harbor and do not anticipate being there for more than 14 days, so owners do not pay the advanced monthly moorage. However, vessels are often required to be here longer than expected due to weather and operational needs and stay for several days while charged the daily rate. This amendment will provide transient vessels a rate equivalent to 15 days at the transient moorage rate and allow the moorage to cover thirty consecutive days. When presented to the Port and Commerce Advisory board, this proposal was received with very positive support and encouraged to move forward. The proposed changes to the Port and Harbor Tariff will allow transient vessels that do not pay advanced moorage a better rate than they could currently receive under the provisions of the tariff while still allowing those customers that do pay advanced moorage a better rate. This will allow the harbor staff to process moorage in a concise way while also saving customers time and money. The change to the Semi-Annual Rate are only for housekeeping purposes since the advanced transient moorage is no longer based on the calendar month, but on the date advanced moorage is paid. 205 MOORAGE RATES (c) Transient(Guest)Daily Rates.With the exception of vessel owner/operators who have paid an annual, semi-annual,or monthly fee in advance,all temporary or transient moorage charges shall be calculated on the daily rate Vessels that have not paid advanced transient moorage but are in the harbor for more than 15 days in a 30-day consecutive period will be invoiced 15 days of Transient Moorage for that 30-day period. The daily rate shall be $0.80 per lineal foot of overall length of the vessel. (See Appendix A for a listing of Transient Moorage Rates according to vessel length): (1) Transient(Guest)Annual Rate.The Annual Rate shall be$58.94 per lineal foot. (2) Semi-Annual Rate.At the option of the vessel owner/operator, the annual moorage fee may be paid in two equal semi-annual installments of sixty percent(601I)of the annual rate established above.Each prepaid installment described in this Paragraph represents six(6)months.The first installment is due and payable on the date the vessel owner/operator completes the Application and Agreement for Transient Moorage. The second installment is due on or before the date that moorage expires. 78 INTENT: The adoption of this change to the 2020 Port and Harbor Tariff, with the proposed change to transient moorage not paid in advance, will benefit both the harbor and their customers. CONSISTENCY CHECKLIST: Yes No . N/A Comprehensive Plan (2030 Comp plan page 1-16, 3.5.1.1 page): 1. Encourage the growth and development of an efficient,functional X boat harbor that meets Seward's conunercial and recreational needs. 2 Comprehensive Plan (2030 Comp Plan page 1-16 3.6.1.1): Improve X existing and develop additional recreational infrastructure. 3 Strategic PIan (page 19)• Provide adequate firriding for a financially X sound city goverrmtent FISCAL NOTE: The fiscal impact to Harbor revenue will be minimal and will be offset by cost savings in streamlining the process.This will allow transient vessels to have a better rate at the Seward Harbor when staying longer than expected. Approved by Finance Department: ATTORNEY REVIEW: Yes X —No RECOMMENDATION: For council to approve Resolution 2020. 045,adopting the revision to the 2020 Port and Harbor Tariff Regulations. 79 2020 Seward Port and Harbor Tariff 205 MOORAGE RATES (c) Transient(Guest)Daily Rates. With the exception of vessel owner/operators who have paid an annual, semi-annual,or monthly fee in advance,all temporary or transient moorage charges shall be calculated on the daily rate.Vessels that have not paid advanced transient moorage but are in the harbor for more than 15 days in a 30-dayspan can be billed 15 da s transient moorage which will cover moorage for 30 d4ys the first date of this calculation. The daily rate shall be$0.80 per lineal foot of overall length of the vessel. (See Appendix A for a listing of Transient Moorage Rates according to vessel length): (1) Transient(Guest)Annual Rate.The Annual Rate shall be$58.94 per lineal foot. (2) Semi-Annual Rate.At the option of the vessel owner/operator,the annual moorage fee may be paid in two equal semi-annual installments of sixty percent(60%)of the annual rate established above. Each prepaid installment described in this Paragraph represents six(6)emonths. The first installment is due and payable on the date the vessel owner/operator completes the Application and Agreement for Transient Moorage, and on or before the first day of an ealendar month.—The second installment is due on or before the date that moorage ex ires. t day of�he ealendaF month six(6)months theFeafter, (3) Monthly Rate.At the option of the vessel owner/operator,the annual moorage fee may be paid in twelve equal monthly installments of eighteen percent(18%) of the annual rate established above_ Each prepaid installment described in this Paragraph represents one(1)month.The first installment is due and payable on the date the vessel owner/operator completes the Application and Agreement for Moorage. The succeeding payments are due on or before the same day of each succeeding calendar month. (d) Reserved Moorage Rates for Slip Assignments. Moorage charges shall commence on the date a slip assignment is accepted. Charges shall continue until the holder ceases to have a qualifying interest in. a vessel suitable for the assigned space, until the holder's death, or until the holder's voluntary or involuntarily relinquishment of the space.Prepayment of moorage is required.(See Appendix B for a listing of moorage rates according to vessel length). (1) The vessel owner/operator must complete an Application and Agreement for Reserved Moorage in the form provided by the City. (2) Renewal Rate. The vessel owner/operator, if agreed by both parties,can renew his contract on or before June 301 and December 3Is'and pay the Renewal Rate based on the length of the vessel, or,the length of the slip, whichever is greater. The Renewal Rate shall be $26.79 per lineal foot. (3) Monthly hate. At the option of the vessel owner/operator, the moorage fee may be paid in monthly installments of tbirty-six percent (36%) of the rate established above. Each prepaid installment described in this Paragraph represents one (1) month. The first installment is due and payable on the date the vessel owner/operator completes the Application and Agreement for Moorage. The succeeding payments are due on or before the same day of each calendar month. (4) All reserved assigned berths are assigned on a six (6) month basis. Prepayment of a full six month's charges is due on or before December 311 or June 301, respectively. A vessel owner/operator may also elect to prepay the Renewal moorage fee in monthly installments, each of which represents thirty-six percent(36%)of the Renewal fee. (e) Float Plane Fees.A fee in the amount of TWENTY-SIX DOLLARS AND TWENTY-FIVE CENTS ($26.25)per day shall be charged for float plane berthing in the confines of the Boat Harbor. 80 The following.example will be the results of the ro osed chap e based on the proposed changes in tariff submitted 5.14.20 1 have used a 50 foot length overall boat in this example CURRENTLY Moorage CRR-once monthly Daily Moorage 40.00 15.00 IF paid in Monthly Moorage 531.00 15.00 advance Currently the monthly,rate is equivilant to 13.275 days of daily moorage PROPOSED CHANGEif moorage is not paid in advance the harbor will bill 15 days transient moorage and allow moorage for 30 days. No advanced notice required by the customer but saves them $600 in daily moorage when in the harbor for 30 days. Moorage CRR-once monthly Saving of up to $600 per Daily.rate X 15 days 600.00 15.00 month over the daily rate 81