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HomeMy WebLinkAboutRes1993-093 . . . Sponsored by: Tones CITY OF SEWARD, ALASKA RESOLUTION NO. 93-093 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING A 3-YEAR LEASE AND DOCK LICENSE AGREEMENT WITH THE ALASKA MARINE HIGHWAY SYSTEM FOR THE HISTORIC RAILROAD DEPOT BUILDING AND THE FOURTH AVENUE DOCK WHEREAS, the homeporting of the M/V Tustumena in Seward is important to the community; and WHEREAS, preferential use of the Fourth Avenue Dock and lease of the historic railroad "depot" building as an operations/ticket office are essential to the effective operation of the Alaska Marine Highway System in Seward; and WHEREAS, the city of Seward as owner of the Fourth Avenue Dock and the historic railroad "depot" building has for many years made these facilities available for the operation of the Alaska Marine Highway System in Seward; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Manager is authorized to execute the Lease and Dock License Agreement, attached and incorporated herein by reference, for the historic railroad "depot" building and the preferential use of the Fourth Avenue Dock by the Alaska Marine Highway System. Section 2. The disposition of such preferential dock use and building lease by negotiated agreement is in the public interest. Section 3. The public interest would best be served by waiving an appraisal of the property in accordance with Section 7.05.140 of the City Code. Section 4. This resolution shall take effect thirty (30) days following adoption and posting as required by law. PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 28th day of June, 1993. . . . MTL-93 (AMHS) RE-018 (CITY) SEWARD LEASE AND DOCK LICENSE AGREEMENT THIS AGREEMENT, made this day of , 19 , by and between the CITY OF SEWARD, a municipal corporatIOn, organized under and operating pursuant to the laws of the State of Alaska, hereinafter referred to as the "City" i and the ALASKA MARINE HIGHWAY SYSTEM, hereinafter referred to as the "AMHS"i WHEREAS, the parties intend that the Alaska Marine Highway System be given certain preferential rights in exchange for moorage fees paid by the state; and WHEREAS, in connection with these ferry operations, the AMHS requires a building to be used for ferry offices and operations. NOW, THEREFORE, the parties hereby agrees as follows: 1. Propertv Description: The City leases to the AMHS that structure commonly known as the "Old Railroad Depot" building located at 501 Railway Avenue, and the preferential berthing rights at the Fourth Avenue Dock, both shown on the uncertified plat titled "City of Seward Waterfront Tracts", dated september 1, 1969, and are leased subject to all prior easements, conveyances and restrictions of record. 2. Preferential privileqes: The AMHS shall have first priority to berth its ferry vessels at the City of Seward Fourth Avenue Dock. Other vessels using the dock or any portion thereof which would interfere in any way with the arrival or departure of the state ferries will be removed immediately upon arrival of the ferry. Any other activities on the dock which will interfere with these preferential berthing privileges shall immediately cease upon arrival of the ferry. 3. Term: The term of the Lease and Dock License Agreement and the right of the AMHS to use the Fourth Avenue Dock, shall be for three (3) years, beginning July 1, 1993, through and including June 30, 1996. This agreement may sooner terminate by either the AMHS or City upon ninety (90) days written notice. 4. ~: The total annual fee to be paid by the AMHS to the City shall be THIRTY-THREE THOUSAND, SIX HUNDRED NINETY AND NO/100 DOLLARS ($33,690.00) of which TWENTY-EIGHT THOUSAND, TWO HUNDRED FIFTY-FOUR AND NO/100 DOLLARS ($28,254.00) is for preferential berthing and moorage privileges and FIVE THOUSAND FOUR HUNDRED C:\Marty\MTL-93ISew..u Page 1 of 5 . . . . MTL-93 Page 2 THIRTY-SIX DOLLARS ($5,436.00) is for rental of the "Old Railroad Depot" Building. The fee will be paid in advance upon approval of this agreement by both parties. AMHS is desirous of participating in a project to improve accessibility at Seward Terminal. We will reimburse the access project for receipted material expenses up to FIFTEEN THOUSAND AND NO/100 DOLLARS ($15,000.00). It is understood that in consideration of this investment in the Old Railroad Depot building that the rental rate of $453.00 per month will not be increased during the next three years (through June 30, 1996). Should AMHS and the city of Seward agree to relocate the reservation and ticketing office to another location prior to June 1996, this provision would not be transferable. 5. Dock Use and parkina: The City shall grant to the AMHS the right to utilize the Fourth Avenue dock as may be required for all loading and unloading operations. The city shall provide snow removal from automobile parking areas and the access to the dock. 6. Dock Maintenance: The AMHS will repair any damage to the dock which is attributable to the ferry operations, but will not be held responsible for damages caused by others. 7. Freiaht Charaes: The AMHS will not be required to pay to the city any fee for vehicles, cargo or passengers moving across th~ dock to and from the AMHS ferries. 8. EOUIPMENT: All equipment of whatsoever nature as shall be installed by the AMHS shall continue to be property of the State and may be removed by the AMHS at the expiration of this Agreement. 9. Buildina ReDairs: (a) Kaior ReDairs. The City agrees to make major repairs necessary to maintain the roof and exterior walls of the existing building in a structurally sound and watertight condition and to replace and repair, as reasonably necessary, the exterior glass and windows. The city shall not be responsible for the cost and expense of repairing any damage caused by the willful or negligent act or omission of the Lessee, its agents or customers, including improper securing of the building by closing all windows and doors. The City shall perform major mechanical repairs or replacements of the building heat and hot water system and all other major mechanical systems. The AMHS is not authorized to order any major repairs without prior approval of the City. Any such C:\MertyIMTl-93\Seward Page 2 of 5 . . . MTL-93 Page 3 repairs accomplished without prior City approval will be at AMHS expense. (b) preventative Maintenance. The AMHS shall be charged with routine inspection and maintenance of the heating, and other major mechanical systems, such as oiling and greasing, filter changes and repairs, sometimes characterized as preventative maintenance. (c) Minor ReDairs. The AMHS shall perform the regular routine daily maintenance and repairs that can be accomplished by a day-man without special skills or training (for example, but without limitation, the clearance of toilet stoppage, changing of water faucet washers, maintenance of electric light fixtures, bulbs, switch and outlet repair, painting and other routine maintenance) so as to leave the premises, at termination of the Agreement, in reasonable condition less normal wear and tear. 10. Other Duties of AMHS: (a) use and occupy the building and dock in a careful and proper manner and for lawful purposes only; (b) not assign this Agreement, or sublease the premises, nor any part hereof, without the written consent of the City, provided, however, such consent shall not be unreasonably-withheld. (c) permit the city to enter upon the premises at all reasonable times to examine their condition; (d) responsible for all utility billings, including fuel oil, water, sewer, electricity and phone, both to the depot and the M/V TUSTUMENA; (e) provide necessary janitorial services and supplies for the space it occupies; (f) save the city harmless and indemnify it against any loss, damage, claims or liability resulting from (1) any acts or omissions of the state, its agents or employees; or (2) arising out of or from the state occupancy of the building or the dock or operations connected thereto, except for losses caused by the City's own negligence; (g) not alter the exterior appearance of the depot building without written consent of the City, but may post signs C:\Marty\MTL-83\Sewllfd P8ge 3 of 6 . . . MTL-93 Page 4 identifying the building as a ferry ticket office or terminal. (h) maintain the grounds between the building and curb of Railway Avenue and elsewhere within 25 feet of the building in a neat condition to include signing, landscaping and parking i.e. bumpers, signing, grass, flowers, shrubs. 11. Insurance: The city shall maintain casualty insurance on said premises if it deems necessary, but shall not maintain employer's liability insurance on state-owned contents. IN WITNESS WHEREOF, the parties hereto have executed this document by their duly authorized officials. STATE OF ALASKA, DEPARTMENT OF TRANSPORTATION & PUBLIC FACILITIES ALASKA MARINE HIGHWAY SYSTEM CITY OF SEWARD George H. Reifenstein, Jr. Terminal and Ship Services Manager CITY MANAGER ATTEST: APPROVED AS TO FORM: ~ F ~~J CITY ATTORNEY CITY CLERK C:\Marty\MTL-93\Sew8fd Peg.4of6 . . . CITY OF SEWARD, ALASKA RESOLUTION NO. 93-093 AYES: NOES: ABSENT: ABSTAIN: A TrEST: THE CITY OF SEWARD, ALASKA --B{JJJ'(. LA9-, (' M"~ Dave W. Crane, Mayor Bencardino, Crane, Darling, Krasnansky & Swartz Sieminski White None APPROVED AS TO FORM: Wohlforth, Argetsinger, Johnson & Brecht, Attorneys for the city of Seward, Alaska (City Seal) ~i~ City Attorney