Loading...
HomeMy WebLinkAbout08102009 City Council PacketSeward City Council Agenda Packet August 10, 2009 City Council Chambers Beginning at 7:00 p.m. 1963 1965 2005 The City of Seward, Alaska aid CITY COUNCIL MEETING AGENDA ; {Please silence all cellular phones and pagers during the meeting} . _: , August 10, 2009 7:00 p.m. Council Chambers 1. CALL TO ORDER Clark Corbridge 2. PLEDGE OF ALLEGIANCE Mayor 3. ROLL CALL Term Expires 2009 4. CITIZENS' COMMENTS ON ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING. Willard E. Dunham [Those who have signed in will be given the first opportunity to Vice Mayor speak. Time is limited to 2 minutes per speaker and 30 minutes total Term Expires 2010 time for this agenda item.] 5. APPROVAL OF AGENDA AND CONSENT AGENDA Robert Valdatta [Approval of Consent Agenda passes all routine items indicated by Council Member asterisk (*). Consent Agenda items are not considered separately Term Expires 2009 unless a council member so requests. In the event of such a request, the item is returned to the Regular Agenda] Tom Smith Council Member 6. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Term Expires 2009 A. Proclamations and Awards 1. Memoriam read for Devoted Alaskan Lu Young......... ...Pg. 3 Betsy Kellar 2. Seward Awarded "Preserve America Community" Award by the Council Member President and First Lady Obama ............... ................ .Pg. 4 Term Expires 2009 3. Founder's Day Proclamation .....................................Pg. 9 4. Lost Lake Breath of Life Run in support of Cystic Fibrosis Jean Bardarson Proclamation ..........................................................Pg. 10 Council Member B. Borough Assembly Report Term Expires 2010 C. City Manager's Report D. Other Reports, Announcements and Presentation Marianna Keil Council Member 1. Alaska Harbor Observation Network Report by Howard Ferren. Term Expires 2010 2. Library/Museum Project Update. 7. PUBLIC HEARINGS Phillip Oates City Manager A. Resolutions requiring a public hearing Jean Lewis 1. Resolution 2009-070, Authorizing Termination Of The Existing Lease City Clerk With Christopher J. Thayse And Authorizing The City Manager To Enter Into A New Lease With Harbor Holdings, LLC For Lot 1, Block 8, Seward Small Cheryl Brooking Boat Harbor Subdivision, Plat 2000-19, Seward Recording District, Third City Attorney Judicial District, State Of Alaska ...............................................Pg. 11 8. UNFINISHED BUSINESS -None City of Seward, Alaska Council Agenda August 10, 2009 Page 1 9. NEW BUSINESS A. Resolutions *1. Resolution 2009-071, Recommending The Kenai Peninsula Borough Approval Of The Preliminary Replat Of Lot 4A, Block 2, Marina Subdivision, Coast Guard Replat, Located South Of Port Avenue At Approximately 1509 X-Float Road, Within The Harbor Commercial Zoning District ............................................................... .......................Pg. 52 *2. Resolution 2009-072, Accepting Reimbursable Historic Preservation Travel Grant And Appropriating Funds ..............................................................................Pg. 62 *3. Resolution 2009-073, Authorizing The City Manager To Execute A Grant Agreement Between The State Of Alaska And The City Of Seward For The Purpose Of Reconstructing And Installing Four Historic Planters In Hoben Park And Appropriating Funds ............................................................................................. ...... Pg. 71 *4. Resolution 2009-074. Accepting An Alaska State Library FY2010 Interlibrary Cooperation Follett Upgrade To Destiny Grant Agreement For $4300 For The Purpose Of Upgrading The Seward Community Library Catalog Software ..................................Pg. 84 5. Resolution 2009-075, Authorizing The City Manager To Enter Into A New Short Term Lease With Godwin Glacier, LLC For Lot 4, Block 3, Seward Marine Industrial Subdivision, Plat 97-27, Seward Recording District, Third Judicial District, State Of Alaska .....................................................................................................Pg. 91 6. Resolution 2009-076 Authorizing A No-Fault Settlement With Seward Ships Drydock In The Amount Of $7,584.78 Related To An Electric Power Claim, And Appropriating Funds .................................................................................................... Pg.100 B. Other New Business Items *1. Approval Of The July 13 and July 26, 2009 Regular City Council Meeting Minutes. ...........................................................................................Pg.110 *2. Appoint L. David Hamner as a Historic Preservation Commissioner with a term to expire in May 2012 ....................................................................Pg 126 3. Vote and approve Russ Maddox or Robert Buck as a member to the Port and Commerce Advisory Board with a term to expire July 2012 ....................Pg 128 10. INFORMATIONAL ITEMS AND REPORTS (No action required) 11. COUNCIL COMMENTS 12. CITIZENS' COMMENTS [5 minutes per individual -Each individual has one opportunity to speak.] 13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS 14. ADJOURNMENT City of Seward, Alaska Council Agenda August 10, 2009 Page 2 errs©r~rt The Seward City Council is gathered together in memoriam to honor Lu Youug. Lu started the Ltt Youug Children's Fund irz 2003 to help cancer families. This c)iarity fiznds such things as a grief camp for kids wlzo lost s~meorze to cancer, and helps rertnite families from rural .Alaska with people receiving treatment in Anchorage or Seattle. The City Council ryas saddened to hear of the loss of a life long partner and devoted Alaskan. On behalf of t/ie Seward City Council, we I:ereb~~ present this Slrecial Recognition in Memoriam to the family of Lu Young and extend our sincere condolences. Dated this IOrh day of August, 2009. Bob Valdatta, Counalmember Jean Bardarson, Counalmember Tan Smith, Counalmemtrer Marianna Kell, Counciimemtrer Betsy Kellar. Courxalmemt~ Willard Dunham, Vice-Mayor Cleric Cortxidge, Mayor of Seward 'The Seward City Council is Honored to be part of the. Preserve America Community which has been recognised by President Obama and First Lady_Michelle Obama The designation of Seward, Alaska as a Preserve America community would not have been .possible avithout the ~orts of Madelyn I,TValker and Shannon Kovac, along with the support of Lee Poleske, the Seward Community Library Museum Building ..Committee, the City of Seward and the Seward Historic Preservation Commission. Ike Congratulate All That Made 'This EndeavorA Success! Clark Corbrdge, Mayor Dated August ~0, 2009 THE WHITE HOUSE July 29, 2009 Dear Citizens of Seward, Congratulations on your designation as a Preserve America Community, and thank you for all that you do to enhance our Nation's heritage. Your community holds a treasured place in the American story, and it is through your vision and dedication that our history will be upheld and our future will be renewed. President Obama and I are proud of your community and we applaud your achievement. The Americans who came before us built this country on the strength of their hopes, hard work, and perseverance. Now you are using those same qualities to help share our history with today's Americans and those of tomorrow. By strengthening your community, you are strengthening our country. You are showing that each of us has a role to play in shaping a better future, and we can do it by honoring our past. Thank you again for all that you do, for your continuing commitment to our Nation's heritage, and for your enthusiastic participation in the Preserve America program. I wish you all the best, and I have high hopes for your continued success. Sincerely, >>,...x,~~ ems...-- 9 Preserve America Community: Seward, AK Preserve America is a national initiative in cooperation with the Advisory Council on Historic Preservation; the U.S. Departments of Defense, Interior, Agriculture, Commerce, Housing and Urban Development, Transportation, and Education; the National Endowment for the Humanities; the President's Committee on the Arts and Humanities; and the President's Council on Environmental Quality. .•''a...,,,,, ~ ~ ~. j~~:Vj M ~' ACHP ~~e ~t~fk7 fdF p~~ .~' x Preserve America Community: Seward, Alaska eward, Alaska, (population 3,000) is named in honor of illiam H. Seward, the secretary of state who negotiated the purchase of Alaska from Russia in 1867. It was founded in 1903 by the Ballaine Brothers of the Alaska Central Railway as the ocean terminus for their proposed railway into the interior. Seward's setting on the ice-free port of Resurrection Bay has attracted settlement throughout Alaska's history, from the prehistoric period through the eras of Russian rule, miners and trappers, gold rush, railroad, territorial days, and World War II. Jesse Lee Home, an orphanage for native children from throughout the state, including many orphaned by the tuberculosis epidemic, was located in Seward. At the Jesse Lee Home in 1927, a 13-year-old resident, Benny Benson, created the Alaska state flag. His design and description of "8 stars of gold on a field of blue" won unanimously from a field of 142 entries. The Alaska Railroad, mining, fisheries and shipping have been the major forces in Seward's economic development. Today, Seward is a thriving town, in which the residents make their living through fishing, marine operations, tourism, a state technical training college, a maximum security prison, Alaska Sealife Center, and petroleum services. Seward is the location of Milepost 0 of the Iditarod National Historic Trail. The city of Seward, in conjunction with many Page 1 of 2 Designated Preserve America Communities http://www.preserveamerica.gov/PAcommunity-sewardAK.html 8/3/2009 . Home Executive Order Presidential Award Communities Federal Support Clearinghouse Preserve America Community: Seward, AK U public and private partners, is celebrating the Iditarod ~ National Historic Trail Centennial. In February 2008, an event commemorating the beginning of the centennial a.~r„ra included a ceremony with Alaska Gov. Sarah Palin, who h * ~~~i~~~ ~ issued an Executive Proclamation in honor of the I~~I~ Centennial. Iditarod Race Champion Mitch Seavey offered °`"` dog sled rides. Other events included a presentation on the ~,d~ °M r°"x*.~ ~ history of the trail, dog training, and historical re-enactments . s of the construction of the trail. Events and venues ° M ~ highlighted efforts to improve the trail, tell the rich stories of arc, e" its past, and encourage the stewardship of the trail. The Seward Museum, operated by the Resurrection Bay Historical Society, explores the history of Seward. Special emphasis is placed on the Iditarod Dog Race and the early history of Seward. Each year, hundreds of students from Seward and across Alaska visit the Seward Museum and participate in museum programs. The Seward Historic Preservation Commission is involved in promoting preservation activities throughout Seward. Every May, for National Historic Preservation Month, the commission sponsors a trolley tour of nine National Register of Historic Places sites in Seward. For more information City of Seward: www.cityofseward.net Seward Chamber of Commerce: www.sewardak.org Iditarod National Historic Trail: www. bl m.gov/a Wst/eNprog/sarditarod.html Posted August 3, 2009 Return to Top Page 2 of 2 8 http://www.preserveamerica.gov/PAcommunity-sewardAK.html 8/3/2009 PROCLAMATION -~ ,, arrived on the Lowell Homestead; and -;~~ .- WHEREAS, the settlers cleared the town-site, erected buildings, and began the a `° construction of the Alaska Central Railroad, later to become the Alaska Railroad; and 4 ~. ;~`. WHEREAS, in March, i9o3, John Ballaine bestowed upon the new town to be, the ~~ , name Seward, in honor of William H. Seward, President Lincoln's Secretary of State; '~` and, .~~~, -. ~: ;; WHEREAS, the landing date of August z8, X903 is remembered as Seward's Founders' <Af -- Day; and ~~° WHEREAS, the Seward Community Library, the Seward Museum, the Resurrection ~.~. Bay Historical Society, and the Historic Preservation Commission provide this ~~ proclamation to Council in preparation for Founder's Day and in keeping with their «.~. on-going effort to work toward the continuing education of citizens regarding local historic preservation and community history; and ~~> ~. WHEREAS, in celebration of Seward's Founders the Seward Museum will host an ~rF Open House with free admission and refreshments at the Museum from noon to five on August z8, zoo9. NOW THEREFORE, I, Clark Corbridge, Mayor of the City of Seward, Alaska, do hereby notify the Citizens of Seward to prepare an observance of: ~~: FOUNDERS' DAY AUGUST 28, 2009 ~~, :~ Dated this day August io, zoo9 ~, THE CITY OF SEWARD, ALASKA _~,;,;- PROCLAMATION WHEREAS, Cystic fibrosis is one of the most common fatal diseases in the United States. On this dap we renew our commitment to fighting this deadly disease that affects an estimated 30, 000 Americans; and WHEREAS, believing fund raisers for Cystic Fibrosis needed to be as big as Alaska is, Marsha and Billy Vincent, founders star°ted the Lost Lake Breath of Life Run itr 1992; and WHEREAS, running the 16 miles from Primrose Campground, up to Lost Lake and buck clown to Bear Creek is probably the "biggest" charitable run in Alaska; and WHEREAS, czrr estimated 3,000 rumzers and walkers have participated in the Lost Lczke Breath of Life Run over the past seventeen years ranging in age from 16 to 82; and WHEREAS, the 18`r` Annual Lost Lake Breath of Life Run will occur August 22, 2009; and Gf'HEREAS, runners competing in the Lost Lake Breath of Life Rurz have contributed more than $900,000 to the Cystic Fibrosis Foundation; acrd WHEREAS, the figure for• this year will certainly total over 1 million dollars; and NOW, THEREFORE, I, Clark Corbridge, Mayor• of the City of Seward, Alaska, recognize, congratulate, and thank Patrick and Christalyn Simpson, Chairpersons and the vast organization of volunteers and runners who made the Lost Lake Breath of Life Run cz legend in having fizn while supporting a good cause. Dated this 10th day of August, 2009. Clark Corbridge, Mayor Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-070 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING TERMINATION OF THE EXISTING LEASE WITH CHRISTOPHER J. THAYSE AND AUTHORIZING THE CITY MANAGER TO ENTER INTO A NEW LEASE WITH HARBOR HOLDINGS, LLC FOR LOT 1, BLOCK 8, SEWARD SMALL BOAT HARBOR SUBDIVISION, PLAT 2000-19, SEWARD RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE OF ALASKA WHEREAS, the City is the owner of real property described as Lot 1, Block 8, Seward Small Boat Harbor Subdivision located in the City of Seward, Alaska; and WHEREAS, the City of Seward entered into a Lease Agreement with Mr. Christopher J. Thayse in on January 8, 2004; and WHEREAS, Mr. Thayse desires to be released from his lease obligations and is not in default of its lease; and WHEREAS, Harbor Holdings, LLC desires to enter into a lease with the City in the form presented at this meeting. 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 a Termination of Lease with Chris J. Thayse and to execute a new lease with Harbor Holdings, LLC and a Personal Guarantee by Gene Minden each in substantially the form as presented at this meeting. Section 2. This resolution shall take effect 60 days from the date and posting of adoption and the authorization herein shall expire if the lease termination and new lease are not executed by all parties by November 1, 2009. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this l0a` day of August 2009. 1i COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To: City Council Through: Phillip Oates, City Manager~p From: Kari Anderson, Harbormaster Agenda Item: Authorizing the termination of the existing lease with Christopher J. Thayse and authorizing the City Manager to enter into a new lease with Harbor Holdings, LLC for Lot 1, Block 8 Seward Small Boat Harbor Subdivision, Plat 2000-19 BACKGROUND & JUSTIFICATION: Christopher J. Thayse entered into a lease with the City of Seward effective January 2004 for a lot adjacent to South Harbor Street. This lease encompasses Lot 1, Block 8, Seward Small Boat Harbor Subdivision in the Seward Recording District. Mr. Thayse requests the City Council's consent to terminate the lease at the time a sale of property closes between himself and Harbor Holdings, LLC. Harbor Holdings in turn requests a new lease of the same real property. The Lease Termination with Christopher J. Thayse and the form of the new lease with Harbor Holdings, LLC would be in substantially the form presented at this meeting. If approved by City Council, the consent to terminate Mr. Thayse's lease and enter into a new lease would be effective in 60 days. The termination and lease would be signed when the sale occurs between the parties, and the City Council's consent would expire November 1, 2009 if the sale has not closed by that date. The proposed lease with Harbor Holdings, LLC includes a Personal Guarantee form from Mr. Minden which addresses liability of the individual member of the LLC for the obligations of Harbor Holdings in the event of a default. The City will conduct appraisals of its rental property in 2010 and new rental rates will go in effect next summer, based on fair market rental values. The assignment and release will not decrease the rent paid to the city. The new lease includes an annual adjustment to rent based on the Anchorage Consumer Price Index. 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. ATTORNEY REVIEW: X FISCAL NOTE: The rent is $22,000 annually, and shall be adjusted on July 1, 2010, and on the same date every five years thereafter as the appraised fair market rental value. Each year between the appraisal adjustments, the rent is subject to increase based on the C er Price Index. Approved by Finance Department ~w c/L ~~~/~ 1~ RECOMMENDATION: Council approve Resolution 2009-70 authorizing the City Manager to enter into a Lease Termination with Christopher J. Thayse and a new Lease with Harbor Holdings, LLC for Lot 1, Block 8, Seward Small Boat Harbor Subdivision. 13 .~Wh(J LQ46 984 . lae m .+na am N00'OOYS'W 9W.0)' 5MWY5'F. Emer9mcY VI,He. PMealrw. k CIIY Atte.a E°.emenl E~ tOt 1tx 1m1A 1 1 II _ HC01q'IS W ,31 W' 1 ~ m Y " u'YU XDDw 1, E.x... o Lot 3 .~ mrss'm'W a9e:x Lot 4 m DIrW ° Railrc¢d A ry 25.%' ., z ___~W ;, ^ I• m ° SOD'O]'15'f IJ100' x00'00'15 w ~ ° V. 1'l x I" Im 105.1<' ~k VIaX mam_m _________________ _,tl VWy(me.s, ~ _y ~ __ _l~ x % g I E I r d Ii I ° ( ( ° Itl _ {{ LQt 15 rFl ~° w IEI ~. x 1:1 w. ~~ Idl I ;~, 16 ~ f55]M lul °do w,~ rv Block 6 pa• -I W I LOt t I3P +. ~95P, f I n Ii°z" )5,]"/)) I I I 1 ~ b_ _J ~ _1 .I.58'F .0189' ,°ulxY xmem.n e [~~ HWtlO'IS'W NOOLO't 5'W 550..' Detail rB' style: 1 °p' =. Lat 15 10.959 4. r-~ 50095']5'W 116.25' I _ Lot 12 ''o " I °° q S.M9 SC. 1 w x _ ~ g I L4 A9nv.em.w ,°~ I _~ TL SW]]'SY G0.J8'?.95' e 1 IV V+X,Y [mw.n, n; l n,r- j' I P tot 13 ~. ail P4 t 5.N6 SE, _~c Pork i d+ i .'E. _ _ _ _ _ -,o i- ' Naone owE uXer . )x ~ ~ J€ ^ _jN mi ~s91 ss4 _ Lot 17 I $^ cr 2 s)Ojro se a Sk e r 6$t ~/J ~~// I ~~\ ~ .`\\q 1 I O ~I' Fourth Avenue XODiq't5 w 85 p' 16 x252 .2.5]' g I~¢.'. W e S rv]°-° 1n"w m e a FS~XB ~ e _ ,9 - s Block 1 '^ L _ wx~ E.w.._ NCOp]'15'w BS06' ~8 Detail 'A' scn.: 1 - sa' rwa. - [m ezmw zl3o.>0] xmvo E zl3a 20 /iN3j~' • Q~ 984 ° F~=~W ~Sc msEXX.E CERTIFICA~ OF SURVEYOR ibgR ~- Al¢sk¢ R¢ilro¢d Em v.n~ma.eaw e .. 9 .. 12- 3g °~ Y<vY«e y°tiF, ~F~q.Ti//i Ie way:: r~m~~° o,m.rlsYl.i:siOe°YUkm°ei~c.,.a dux moor "' 3 ~ ~ 4 567 9 ~ .1 s raw 0'w J ] / 6 *4 •4 Nwmm.wx.r mm. er m.°°m. mr umx aw:.um°' g ~ ~~Lot 16 ~ ~ 13 ~ ® 43.L.e w mm.m:lw. u,e ems`en.Rx~.ely w`exrr.~i I~u.~e a z ssx Ac. Pork " F 2 ~ ~ u°.a>e..l 9°uw..r 1me .X,.p. tl x. sm. w uum Q®® (XI']820'E 61921) NDI39'01'E 68M V 1 -~~~i-- __ ~~,,,pppk`E'~° A ~~ Pam n\ 1ee.zw m. -~ qu os 11 ISeu s. 2 oioi'e' BIODk (i t 15 ~ 14 m~e i Lo~ 17 - .Y e~~ pA "~j^muw~' fl L.. B~'i[Dm~'s.m° R.ala .I9w NOtlO'IS'W J99 Ctl M89] ~~ e" I 1.JBJ A°. ~~, I ` ~r__ rs xee. kRt -? -__ " 6s ' _ °t - - - - - - - - - - ~.°, p" uu1r E...x,'~-_ [n0.w7 zam ~- -Y61.D9' Fourth L9 z 5.x3213Xxa nn k"'~°'qu °'urr1. F.....,r LIA ~L^ ~~ t W bH'L!O ~I- - u ° Ik r~ ce _ _- ____ g r` tot z I ~ A N 'o a..~ °3\ P r -,y w °r° - -~ ~ ~ ~ ~ .BI9 Ac. k Ij ~ ~ ql 0 L~ 9® K g ( '2aj .D. B. Avenue ~.z xoovo'a'w 123en' ^~ N ° u F l1AQ ~ Deld'1 O °n'^ I E ) - 1 iY UUnr [eT.nxi -l ___ Block 10 mR I• r$~ a g ~ ~ ~ R ;, "~ fl L` -[SSD.n7 soar _ ~9 _ "~ __ro m~_ -° ~ssy-~ $- Z ,t°J m q 38 ~g Lot 2 ~Irg ~ 9 W~ PLAT APPROVAL RED 58 \ _ _ er s~^'--~ IR 3 I K~ e ~6IDaCi 9 1y80 ~ - ^In f .~^ ~° ~~ 19M Ae. 12a TXS PIAi WAS 0-FNOVFD Br ThE KCNY FEMHSWI BORWPI PUNMHC Sewd 1¢e asr \ ~ - 1 _-RIZ ~~~~ ffi~~~e~_ o `I" ~_NO.le~+i Block 8 ~ ~4- ~~ ~ caeYls9a A) IXE YEEIwc of 5.r.l..,.~~ zs t.=o ]BabE: Z 3 2 N J -EnJ 19E ~___(su.M'1639.2 , tl' - ~ _ ~°~• IL' ___~ ZJ B~ a Q NENN PENWSV 6 BORWIN REWE91E0 Br: ~ x-yx. •xr ups _ I5B9.I Tj 589.x1' ~ i~~FR~I 5 5111RE5 MXK ~ w'mie 1AWeg1 - NENM. MASItA 99011 __ -- Third [so3arW'w m2137 uuYV'19'E 1a2xv [ee1D676e299' __I -~X. -_ x_Ia rl~ - - - - _ Avenue °•I• - XPB FILE No. 2000-166 -n.. +..u..... ~~'~ 9 Seward q LEGEND rEOTES: °~®6i~®~ ~'°~~°~ Small Boat Harbor e xOxwEx. lr°.ne ma .r,..r) 1) D 4n0rym1~mt °r m.a. I°I. I. .,,epcl m n. nq °r s..ve'a xwna • .aeaMVm me ..p°I °r L°I s e°al 1 Nurse 9reaMelm - n.x rsx. CERTIFICATE of OWNERSHIP NOTARYrS ACKNOWLEDGMENT 9.xr s e e oumw. wewwY., - Rm n-182 °u grcd A xmm w I-1/r elw. em (pmpear cavr b°^e) x) xe pN.l..vw 1. 51.1. ma,le,.e Rowa P."°lu.e unXn ppr°..e Xee.r 9lu+wm - m.l z]-uA. 6y u° s'.Le °' °°'° apmMml °' nu,wrtl.llm. and DEDICATION T / o z' x.° Py,..lm R°9 (I.me) 3) EN• .nxN In .ImN . a.arm~im nom su9suREO D swam EESLXIE NE >ti1s 1L oar a ~l~lf~ w wuN 1 u+n/. k sm/6 .r s.cllm 3. ns. R1w s.N.. alr _ m0 wea 6 MmeMM a °~ a Ix°l lapmm+ mual nplyryrWwlll, 1 XEBEHY CERIKT MAl y.E pqE )XE OYMFA(S) OC ME REnL PRCPPtt )JM Ppx u1 SfA~t1Y~kC. clc5e1i.w0. s...e R.meW9 Ol.irlcl. Kpd PmFw1. Bweyn. N.i°. O 5/8 rMV (x°unel Se.are CIY Cms°UWIern 15.2511me pl.ln Ymgemml. Y SNOWw Np pE51RIBE0 XfRECH MD MAl WE NFREBY ADW) 1N5 PWI Lan1.Mn9 11.3M Aces 1° 6elermine IFe XewlM" °I xM I,rWerly rrvy !. r.eakee prlu w $VgaNSlal MD RY my fRE£ NxIYNi MDICAR .1LL RKNR-CI- O ,/T rMU (Iwne~ ° wnaFUCllm. Jq PVBIIt Y2M JII RRVC Y4 ANO 4AMi ML Gs(YEHR )0 1~ ~ Rt NPx (Iwn6) •) wn3JEwA~g o1 ~.°: penc !m wx m daWatl. U.1 m 1XC VSE SNONi, la „4" 'G Vnfn~~vvy y' V rryul.l ~rtykemmm art m IJe °1 xl,el Al°ek° D[pwlm°nl °x ~ $ vv(9//'.' (/ V G.1ran td Cwrenwlm. YY CC E91Y1 EMRnES Sc~~OT/,Rj'. • -1/Y nlun. C.p (azl) ~/r~( LA`. '~ - q5 s.ire. Drm Nwtl. b..k° 996x1-8]61 s) gIT1 °r W°y um9 a. °xm°bl ~9.a1,0 a wk,tleml laaz m. wo- W I to ~^^9^ _ 8191x6 :~ B -IMI ]O-wx ¢ MAC HWI (a.l) M1ea 6V9gn9 kl. X c Iv G aFCe me bN9 +°X ly0.x~5e,vE ~ ~' 9NxEY045 _ _ pql yyy., 0.wxPs ' IM1e PrcMlY lk,e °n6 is Ine m.rymml. P' I ) RECdO OANM - Xr6u Su06irlnn p° b Ir.a tll Se.uE. AICW° 9966.-018> ~irei ~P'^` ° / 6B yp I 61 M azl.lree, mB 2D )e. h1B ma NPB Rannn 1°l. °Del on .E~ NO. 2a11'v ORA9M: 8 Deexn6u. 20.U C9 SVRIEKp; J°ne - N 3NC SCALE: - lt0' I ] gECORD OANN - CcmnMe. $uMlNnlm sWlmdp 25. 20M ww Y 9 Cmmnawn m amm6.r. P.1 / ]6 511D RElD BK: 2M0-3. P9 20.8) aat: R..id Sn°Ii Bml Jul 28 09 11:40a Chris and Mary Thayse 1-928-537-2503 p 2 ARer Recording Return To: CityofSeward Attention: City Manager PO Hox ] 67 Sewa~, Alaska 99664 AGREEMENT TO TERMINATE LEASE This Agreement to Temrinate Lease {"Agreement") is entered into and effective as ofAugust 2009, by and between the City of Seward, Alaska, a home Wile municipal corporation, organized under the laws of the State ofAlaska whose address is P.O. Box 167, Seward, Alaska 99664 (the "City") and Chris Thayse, whose address is 6644 Bandido Way, Show Low, Arizona 85901. WHEREAS, the City, as lessor, and Thayse, as lessee, entered into alease RE-2001-01, as amended (The `2.,ease") for the real property described herein; and WHEREAS, Thayse is not in default and the Thayse now desires to terrr-inatethe Lease; NOW TE3EREFORE,IN CONSIDERATION ofthe foregoing recitals and mutual promises and covenants herein, the parties hereby agree as follows: The Lease descrlbed itt the above recitals encompassing Lot I, Block 8, Seward Small. Boat Harbor Subdivision, according to Plat 2000-19 as recorded in the Seward Recording District, Third 7udiciat District, State of Alaska is hereby terminated effective upon execution by all parties to this Agreement. Page 1 1 Jul 28 09 11:41a Chris and Mary Thayse 1-928-537-2503 p.3 Each party has full power and authority to enter into this Agreement and no further action or approval is required to cause this Agreement to be binding and enforceable against either party in accordance with its terms. LESSOR: THE CITY OF SEWARD By: Phillip Oates, City Manager LESSEE: CHRISTOPHER J. THAYSE J BY~- ~ ~- Christophe .Thayse ATTEST: Jean Lewis, CMC City Clerk STATE OF ALASI{A )~ THIRD JUDICIAL DISTRICT ) The foregoing instrument was acknowledged before me this _day of , 2009, by Phillip Oates, City Manager of the City of Seward, Alaska, on behalf of the City. Notary Public in and for Alaska My Commission Expires: Page 2 1V Jul 28 09 11:41a Chris and Mary Thayse STATE OF ~ ~ 1~ 'n a ~~«~o C,et, ~~-~- ) ss T~I~B3~Dl~I~$1,S~R~' ) 1-928-537-2503 p,4 THIS IS TO CERTIFY that on this ~ day of 2009, before me the undersigned, a Notary Public in and for the State of Alaska, du co 'ssioned an sworn as such, personally appeared Christopher J. Thayse, individually, known to me and to me known to be the individual named above and who executed the foregoing instrument, and acknowledge to methat he signed the same Neely and voluntarily for the uses and purposes therein set forth. ~ OFFICIAL BFr4L KELLIE LINN ' NOTARY PUBLIC • Stete of AriEOrm NAVAJO COUNTY My' Comm. El~pina Mercn 26, 2012 l ~ oSl ` l~ Notary Pubhc in and for~4~Ca-~ (~,.r; 7,on ~ My Commission Expires: ~~`' ?j " ~a0 t ~ Page 3 1( LEASE AGREEMENT between CITY OF SEWARD, ALASKA and HARBOR HOLDINGS, LLC Effective Date: ~8 TABLE OF CONTENTS ARTICLE 1 -LEASED LAND ................................................................................................1 1.1 Description of Leased Land ...................................................... ...........................1 1.2 Covenant of Quiet Enjoyment; Warranty of Title ...................... ...........................1 1.3 Reserved ................................................................................... ........................... 2 1.4 Property Accepted ..................................................................... ........................... 2 1.5 Permits ..................................................................................... ...........................2 1.6 Platting ................................................................................................................2 ARTICLE 2 -LEASE TERM ........................................................................ ...........................2 2.1 Lease Term ................................................................................ ..........................2 ARTICLE 3 -RENTAL RATE ...................................................................... ..........................3 3.1 Initial Rental Rate ...................................................................... ..........................3 3.2 Rental Adjustments .................................................................... .......................... 3 3.3 Procedure for Rental Adjustment ............................................... .......................... 3 3.4 Effect of Late Appraisal by CITY ............................................... ..........................4 3.5 Appraisal by LESSEE ................................................... 4 3.6 ............. Effective Date of Adjusted Rental Rate ...................................... .......................... .......................... 5 3.7 Interim Rental Adjustments ........................................................ ... . 5 3.8 Late Payment Charge ................................................................ .. .................... ..........................5 ARTICLE 4 -USE OF LEASED LAND ........................................................ ..........................5 4.1 Use of Leased Lund ................................................................... .......................... 5 4.2 Obligations of LESSEE .............................................................. ..........................5 4.3 No Preferential Rights to Use Public Facilities .......................... .......................... 6 4.4 Adequacy of Public Facilities .................................................... .......................... 6 4.5 Tariffs and Other Service Fees ................................................... .......................... 6 4.6 Time for Payment of Utilities and Taxes .................................... . 6 4 7 Other Uses ......................... . ................................................................................. ..........................6 ARTICLE 5 -UTILITIES AND RIGHTS OF ACCESS .............................. .......................... 7 5.1 Utilities ...................................................................................... ..........................7 5.2 Third-Party Improvements ................................................. .. 7 5 3 .. .... Easements .......................... . .................................................................................. ..........................8 ARTICLE 6 -CONSTRUCTION BY LESSEE ............................................ .......................... 8 6.1 Improvements on Leased Land ................................................... ..........................8 6.2 City Review of Construction ........................................... .. 9 . ......... ARTICLE 7 -RETURN OF LEASED LAND/SITE CONDITIONS ............ .......................... ........................10 7.1 Return of Leased Land in Original Condition ............................ ........................10 ARTICLE 8 -FORCE MAJEURE ................................................................ ........................10 ARTICLE 9 - LESSEE'S ACTS OF DEFAULT ...................................................................10 ARTICLE 10 -REMEDIES FOR DEFAULT BY LESSEE ......................... ........................11 ARTICLE 11 -TITLE TO IMPROVEMENTS INSTALLED BY LESSEE .......................13 11.1 Real Property Improvements ....................................................... .......................13 ~~ 11.2 Personal Property ............................................................................. ..........13 ....... ARTICLE 12 -ASSIGNMENT OR SUBLEASE ................................................................. .13 12.1 Assignment of Lease or Subleasing ................................................................... .13 12.2 Assignment of Lease for Security ...................................................................... .14 12.3 Assignment to Affiliate .......................................................................................15 ARTICLE 13 -LESSEE'S DUTY TO DEFEND/INDEMNIFY ........................................... 15 ARTICLE 14 -CITY'S DUTY TO DEFEND/INDEMNIFY ................................................ 15 ARTICLE 15 -INSURANCE ......................................................... 15 ........................................ 15 1 Minimum I s R i . n urance equ rements ..................................................................... 15 15.2 Subrogation Rights Waived ................................................................................ 16 ARTICLE 16 -CONDEMNATION ....................................................................................... 17 ARTICLE 17 -ARBITRATION ............................................... . 17 . ........................................... 17.1 Arbitration ......................................................................................................... 17 ARTICLE 18 -MAINTENANCE AND REPAIRS ............................................................... 19 18.1 Normal Maintenance ......................................................................................... 19 18.2 Safety Issues ...................................................................................................... 19 18.3 Cost of Repairs .................................................................................................. 19 ARTICLE 19 -ENVIRONMENTAL CONCERNS .............................................................. 20 19.1 Hazardous Materials ......................................................................................... 20 19.2 Permits and Reporting ....................................................... 22 ................................ ARTICLE 20 -ESTOPPEL CERTIFICATES ...................................................................... 23 ARTICLE 21 -CONDITIONS AND COVENANTS ............................................................. 23 ARTICLE 22 - NO WAIVER OF BREACH ......................................... 23 ................................ ARTICLE 23 -TIME OF THE ESSENCE ............................................................................ 23 ARTICLE 24 -COMPUTATION OF TIME ......................................................................... 23 ARTICLE 25 - SUCCESSORS IN INTEREST ..................................................................... 23 ARTICLE 26 -ENTIRE AGREEMENT .......................................... . 24 ... ................................. ARTICLE 27 -GOVERNING LAW ..................................................................................... ARTICLE 28 -PARTIAL INVALIDITY 24 .............................................................................. 24 ARTICLE 29 -RELATIONSHIP OF PARTIES ................................................................... 24 ARTICLE 30 -INTERPRETATION .................................................. . 24 . ................................. ARTICLE 31 -CAPTIONS .................................................................................................... 24 ARTICLE 32 -AMENDMENT .............................................................................................. 24 ARTICLE 33 -NOTICES ........................................................... ... 25 . ....................................... ARTICLE 34 -FIRE PROTECTION .................................................................................... 25 ll ~ o LEASE AGREEMENT THIS LEASE AGREEMENT (the "LEASE") is made by and between the CITY OF SEWARD (the "CITY"), a municipal corporation located in the Kenai Peninsula Borough, State of Alaska, whose mailing address is P.O. Box 167, Seward, Alaska 99664 and Harbor Holdings, LLC (the "LESSEE"), whose mailing address is P.O. Box 2753, Seward AK 99664. WHEREAS, LESSEE has indicated its desire to lease the property known as Lot 1, Block 8, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward Recording District, Third Judicial District, State of Alaska, consisting of approximately 20,729 square feet, more or less; and WHEREAS, the City Council of CITY has determined that lease of the Leased Land (as defined below) to LESSEE for the purposes descnbed herein would be in the public interest; and WHEREAS, it is the intent of this LEASE to transfer from CITY to LESSEE the entire burden of compliance with envnonmental regulations or controls with respect to LESSEE'S operations on the Leased Land. NOW THEREFORE, for and in consideration of the mutual promises and covenants hereinafter contained, the parties hereto agree as follows: ARTICLE 1 -LEASED LAND 1.1 Description of Leased Land. The Leased Land is located in the City of Seward, Alaska. The Leased Land is described as follows: Lot 1, Block 8, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward Recording District, Third Judicial District, State of Alaska, consisting of approximately 20,729 square feet, more or less (the "Leased Land"). The Leased Land is also depicted on the attached Exhibit A, which is incorporated herein by reference. 1.2 Covenant of Quiet Enjoyment; Warranty of Title. Subject to the encumbrances as ofthe date hereof, any reasonable restrictions imposed on the Leased Land as part ofrecording of a plat by CITY, and the provisions of this LEASE, CITY hereby covenants and warrants that LESSEE shall have the quiet enjoyment and possession of the Leased Land for the full term ofthis LEASE. 1 r, ~ ~1 1.3 Reserved. 1.4 Property Accepted "As-is. "LESSEE acknowledges that it has inspected the Leased Land and accepts the same "as-is" and without reliance on any expressed or implied representations or warranties of CITY (other than the representations in Section 1.2 hereo fl, or agents ofCITY, as to the actual physical condition or characteristics thereof and the legal description or depiction of the Leased Land in Section 1.1 or Exhibit A hereto. 1.5 Permits. LESSEE, at its sole cost, shall obtain all permits necessary to the construction and operation of its facilities on the Leased Land. CITY may from time to time, upon request of LESSEE, execute such documents, petitions, applications and authorizations as may be necessary, as the underlying fee owner, to file with an agency or public body responsible therefor an application for conditional use permits, zoning and re-zoning, tentative and final tract approval, or precise plan approval that may be required for the lawful construction and operation of the facilities of LESSEE permitted on the Leased Land by the terms of this LEASE. However, nothing in this Section shall be construed as requiring CITY to support or approve any such application or permit requests. If the agency or public body responsible to approve or grant such application or permit request is a City of Seward agency, department, or board, LESSEE shall follow all City of Seward procedures, the same as anyother applicant making similar requests of the City of Seward, according to the Charter, ordinances, resolutions, or any regulation, rules or procedures of the City of Seward. Nothing in this Section imposes any duty or responsibility on CITY to assist LESSEE in obtaining any other permits or approvals, including without limitation those required by the U.S. Army Corps of Engineers (e.g., wetland fill permits), the Environmental Protection Agency (e.g., Clean Air Act permits), the Alaska Department of Public Facilities and Transportation (e.g., right-of- way permits), the Alaska Department of Fish and Game, and the Alaska Department of Environmental Conservation. 1.6 Platting. In the event CITY elects to replat, CITY agrees to include the Leased Land in such replat in accordance with the description in Section 1.3. If LESSEE requests a replat of the Leased Land prior to that time, CITY shall assist LESSEE in the preparation and filing ofthe replat, and LESSEE shall reimburse CITY for CITY's costs in assisting with the preparation and filing ofthe replat. LESSEE agrees to sign the plat and any other documents necessary to complete the platting or replatting of any area including all or a portion of the Leased Land. LESSEE shall accept reasonable restrictions, easements, or plat notes as may be required by CITY or other governmental authorities as a condition to filing the plat of the Leased Land or the plat of CITY-owned real property adjacent to the Leased Land. ARTICLE 2 - LEASE TERM Lease Term. The term o f this LEASE (the "Lease Term") shall be in accordance with CITY's authorization in Resolution No. 2009- (the "Resolution"). The Lease Term shall 2 ~~ ~~ :: ~.. commence on the date this LEASE is signed by CITY and that date shall be the effective date of this LEASE (the "Effective Date"). The Lease Term shall run for approximately 35 years from the Effective Date, ending at midnight on September 30, 2044. LESSEE shall have the right to extend the term ofthis LEASE for one additional five (5) year period, provided that: a) LESSEE exercises its option to extend at least one hundred and eighty (180) days prior to the expiration of the then current lease term; b) LESSEE is not in default under any term or provision of this LEASE; and c) LESSEE shall exercise its options to extend by sending written notice in accordance with the provisions of Article 33 ofthis LEASE. ARTICLE 3 -RENTAL RATE 3.1 Initial Rental Rate. Commencing on the Effective Date of this LEASE through June 30, 2010, the annual rental rate for the Leased Land shall be set at $22,000. Rent shall be payable quarterly in advance upon the Effective Date of this Lease (prorated for the balance of the current quarter) and thereafter on or before the 20th day of the month beginning each calendar quarter: January 20, April 20, July 20 and October 20. The amount of each quarterly payment shall beone-quarter of the annual rental rate as initially established or later adjusted under this Article 3. 3.2 Rental Adjustments. The annual rental payment shall be adjusted on July 1, 2010, 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") ofthe Leased Land at the highest and best use ofthe Leased Land. The highest and best use ofthe 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 ofthe 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 ofFair Market Rental Value ofthe 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 detemvnation of the Fair Market Rental Value. In that case, LESSEE shall give written notice to CITY ofits 3 ~3 objection within thirty (30) days ofreceipt ofthe appraiser's report, and LESSEE shall then engage an independent State ofAlaska certified MAI appraiser (Member, Appraisal Institute) at LESSEE'S expense to make an appraisal of the Fair Market Rental Value in accordance with this Article 3. If LESSEE'S appraisal determines a Fair Market Rental Value that varies from that determined by CITY'S appraisal by no more than twenty percent (20%), then the adjusted rental rate shall be the average of the rental rates determined by the two appraisals. If LESSEE'S appraisal determines a Fair Market Rental Value that varies from CITY's appraisal by more than twenty percent (20%), then, unless CITY and LESSEE agree on a rate themselves, the adjusted annual rental rate of the Leased Land shall be determined in accordance with the arbitration provisions contained in Article 19 of this LEASE. 3.4 Effect of Late Appraisal by CITY. If, for any reason, CITY does not complete the appraisal or deliver a copy of the appraisal report to LESSEE ninety (90) days before the Rental Adjustment Date, CITY may proceed to complete the appraisal or deliver a copy of the appraisal report to LESSEE at any time thereafter. However, any such adjusted annual rental rate shall not be effective until the quarterly payment due date immediately following the date CITY delivers the appraisal report to LESSEE. 3.5 Appraisal by LESSEE. If for any particular Rental Adjustment Date, CITY fails to obtain an appraisal of the Fair Market Rental Value or fails to deliver the appraisal report to the LESSEE by the Rental Adjustment Date, LESSEE may engage an independent State of Alaska certified MAI appraiser (Member, Appraisal Institute) at LESSEE's expense to make an appraisal under the terms of this Article 3 and submit a copy to CITY before the next quarterly rental payment due date. However, LESSEE must notify CITY in writing within thn-ty (30) days following the Rental Adjustment Date of LESSEE's election to obtain an appraisal. IfCITY objects to LESSEE'S appraiser's determination ofthe Fair Market Rental Value, CITY shall give written notice to LESSEE of its objection within thirty (30) days of receipt ofthe appraiser's report, and CITY shall then engage an independent State ofAlaska certified MAI appraiser (Member, Appraisal Institute) at CITY'S expense to make an appraisal ofthe Fair Market Rental Value as ofthe Rental Adjustment Date and in accordance with this Article 3. Ifthe CITY'S appraisal determines a Fair Market Rental Value that varies from that determined by LESSEE' S appraisal by no more than twenty percent (20%), then the adjusted rental rate shall be the average of the rental rates determined by the two appraisals. If the CITY'S appraisal determines a Fair Market Rental Value that varies from LESSEE'S appraisal by more than twenty percent (20%), then, unless CITY and LESSEE agree on a rate themselves, the adjusted annual rental rate of the Leased Land shall be determined in accordance with the arbitration provisions contained in Article 19 of this LEASE. 4 24 3.6 Effective Date of Adjusted Rental Rate. The adjusted annual rental rate established by this Article 3 shall apply as of the Rental Adjustment Date if CITY provided a copy of the appraisal report to LESSEE no later than ninety (90) days before the RentalAdjustment Date. If the adjusted annual rental rate is based on CITY's late appraisal or late delivery of the appraisal report to LESSEE, the adjusted rental rate shall be effective begnuiing with the quarterly rental payment due date immediately following the date the CITY delivers the appraisal report to LESSEE. Notwithstanding the above, the exercise by either CITY or LESSEE of the objection procedure relating to rental adjustment described in this Article 3 shall not postpone LESSEE's obligation to pay rent at the rate established by CITY. LESSEE shall pay the amount ofrent as established or adjusted by CITY until the question ofobjection to the rental rate is finally resolved. At such time the objection to the rental rate is resolved, an appropriate credit or adjustment shall be made retroactive to the date the new rental rate was established by CITY or in cases where CITY failed to obtain an appraisal or deliver the appraisal report to the LESSEE, to the Rental Adjustment Date. 3.7 Interim Rental Adjustments. For each year in the period between each Rental Adjustment Date, excepting the Rental Adjustment Dates, the annual rental payment shall be increased beguming July 1, 2011 and on July 1 of every year thereafter (each on "Interim Rental Adjustment Date") in an amount that reflects the increase, if any, in the cost of living for the previous year as stated in the Consumer Price Index, All Urban Consumers, Anchorage, Alaska Area, All Items 1967=100 ("CPI"), as published by the United States Department of Labor, Bureau of Labor Statistics for the most recent period published immediately prior to the Interim Rental Adjustment Date. In no event shall the rent be less than the previous year. If the CPI is revised or ceases to be published, the CITY shall instead use such revised or other index as most nearly approximates the CPI for the relevant period, and make whatever adjustment in its application as may be necessary, in the CITY's sole discretion, to accomplished as nearly the same result as if the CPI had not been revised or ceased to be published. 3.8 Late Payment Charge. Rental payments not received by the due date shall bear interest until paid at a rate of 10.5% per annum, or the maximum rate permitted under Alaska law, whichever is less, plus a flat monthly late fee of $2.50, or such amount as maybe established from time to time by CITY ordinance or resolution and relating to late fees for CITY leases generally. ARTICLE 4 -USE OF LEASED LAND 4.1 Use of Leased Land. CITY has limited land available for lease. Use of the Leased Land by LESSEE has been determined by the City Council of CITY to be in the public interest. LESSEE may use the Leased Land for a port and harbor related retail business. 4.2 Obligations of LESSEE. LESSEE may use the Leased Land only in accordance with 5 .~ C~ applicable CITY zoning code provisions and provided the following conditions are met: a) The Leased Land is to be completely cleaned and restored to its original condition, that is, the condition existing prior to this LEASE or in better condition upon termination of this LEASE. b) LESSEE agrees to prohibit the use, keeping, storage, or disposal of Hazardous Materials on the Leased Land except as pernutted in Article 19 of this LEASE. c) LESSEE shall not use the Leased Land in any manner or construct any facilities thereon which would inhibit the use of adjacent or other lands. d) LESSEE shall operate retail businesses on the Leased Land. e) Any changes to this site require prior CITY approval, through the City Manager. 4.3 No Preferential Rights to Use Public Facilities. This LEASE does not grant to LESSEE any exclusive rights to use any public port facilities constructed or operated by CITY. LESSEE will be subject to any tariffs, procedures, rules and regulations of CITY concerning the use of such facilities as they may now exist or from time to time be amended, and LESSEE shall not be entitled to any exclusive use. 4.4 Adequacy of Public Facilities. CITY makes no representations or warranties as to the fitness of any particular part or the whole of CITY's public facilities for the uses intended by LESSEE, and LESSEE has inspected those facilities and has satisfied itself that the facilities are sufficient for the intended uses by LESSEE. CITY makes no representations or warranties of any nature with respect to the commercial practicability or accuracy of any information provided by CITY. 4.5 Tariffs and Other Service Fees. CITY shall have the right to make amendments to its tariffs, regulations and scheduled fees from time to time even if those adjustments shall cost LESSEE more for its operations or use ofpublic facilities, and CITY is free to do so provided onlythat it does not impose any greater burden or higher rate upon LESSEE than upon any other similar user of the public facilities. 4.6 Time for Payment of Utilities and Taxes. LESSEE will pay for utilities and taxes related to operations on the Leased Land and LESSEE's interest in this LEASE and improvements thereon, if any, before such obligations become delinquent; provided, that LESSEE may, in good faith and before such delinquency, contest any such charge or assessment. 4.7 Other Uses. This LEASE shall not preclude the CITY from actively seeking other and additional tenants for space including those who would be in competition with LESSEE or 6 ;~ who might be interested in leasing the Leased Land should this LEASE be terminated for any reason. 4.8 Use of Public Docks and Port Facilities. Public docks are subject to port and harbor rules and regulations as adopted by City Council. ARTICLE 5 -UTILITIES AND RIGHTS OF ACCESS 5.1 Utilities. LESSEE, at LESSEE'S sole cost and expense, shall provide for the extension of public utilities to the Leased Land sufficient for LESSEE'S intended operations. In so doing, LESSEE shall comply with all CITY regulations and requirements, and the tariffs of the affected utilities, with respect to the construction ofthose utilities. CITY agrees to cooperate and assist the LESSEE, through consultation and review, in LESSEE'S planning and engineering ofthose improvements. All utilities will be located and sized in accordance to CITY'S Master Plan for the area leased. All such construction shall be in compliance with all applicable building, mechanical and fire codes. Utilities constructed by the LESSEE within the public right-of--ways or within public utility easements will nornially be accepted and maintained by CITY or utility companies may be used to serve other customers of LESSEE'S without payment of fees or reimbursement of construction cost to the LESSEE. However, this does not preclude several lessees from agreeing to share the cost of constructing a utility to serve their facilities. CITY or other utility company may deterniine that it would be to their benefit to oversize the utility or install special fittings or equipment in order to serve other existing or future users. The additional direct costs of such oversizing shall be borne by CITY or other utility company. Such costs shall be limited to the supplier's cost of the additional fittings, equipment, direct labor, and equipment costs to complete the installation. The costs of oversizing pipe or electrical conduit shall be limited to the difference between the supplier's price to provide the size required to serve its facility and the price of the oversized material required by CITY or utility company. LESSEE shall not be entitled to any refund, rebate, or payments from CITY for any rent, investment, or costs incurred by LESSEE with respect to any required permits for construction or operation of LESSEE'S facilities on the Leased Land, it being the intent ofthe parties that the risk of obtaining required permits be solely a risk undertaken by LESSEE. 5.2 Third-Party Improvements. At the request of LESSEE, CITY shall, from time to time, execute and deliver, or join in execution and delivery of, such documents as are appropriate, necessary, or required to impose upon the Leased Land in accordance with the terms of this LEASE covenants, conditions and restrictions providing for the granting of uses of the Leased Land, or any part thereof, the establishment of party walls, the establishment of mutual and reciprocal parking rights or rights of ingress or egress, or other like matters (herein called "third-party improvements"), all of which are for the purpose of the orderly development of the Leased Land as a commercial unit subject, however, to the conditions 7 ~% v! that: a) All such matters shall be limited to the Lease Term and shall terminate upon temunation of this LEASE for whatever reason. b) Any such matters of a permanent nature extending beyond the Lease Term shall not be granted without the prior written approval of CITY. In any of the foregoing instances referred to in this Section, CITY shall be without expense therefor, and the cost and expense thereof shall be borne solely by LESSEE. c) At the expiration of the Lease Term (including any extended period) third-party improvements on the Leased Land other than portable equipment shall become the property of CITY without the payment of any compensation to LESSEE. 5.3 Easements. In order to provide for the orderly development ofthe Leased Land and adjacent lands, it may be necessary, desirable or required that street, railroad, water, sewer, drainage, gas, power line and other easements and dedications and similar rights be granted or dedicated over or within portions of the Leased Land. As additional consideration for this LEASE, CITY and LESSEE each shall, at the request of the other, join with each other in executing and delivering such documents from time to time and throughout the Lease Term as maybe appropriate, necessary, or required by the several governmental agencies (including the City of Seward), public utilities and other users or tenants of CITY land for the purpose of granting such easements and dedications; provided, however, that such easements and dedications and similar rights do not unreasonably interfere with LESSEE's operations. The costs of locating or relocating any public easements or restrictions of record including any relocation of public road, railroad, utility, or other easements shall be at the sole cost and expense ofthe party requesting the relocation. CITY shall not refuse reasonable requests for such relocations provided those relocations do not interfere with or inhibit the overall development of CITY property or other public property. Any easements or rights of access granted to LESSEE by CITY need not be exclusive to LESSEE. ARTICLE 6 -CONSTRUCTION BY LESSEE 6.1 Improvements on Leased Land. LESSEE shall have the right to erect, maintain, alter, remodel, reconstruct, rebuild, build and/or replace buildings and other improvements on the Leased Land, subject to the following conditions: a) The cost of any construction, reconstruction, demolition, or of any changes, alterations or improvements, shall be borne and paid for by LESSEE. b) The Leased Land shall at all times be kept free of mechanic's and materiahnen's liens. 8 ig ti c) LESSEE shall provide CITY with a copy of all building plans and specifications and a site development plan or plans (based on a recent survey) for the Leased Land prior to commencement of construction. d) LESSEE is solely responsible for resurveying and locating improvements on the Leased Land in such manner not to violate building setback requirements or encroach into rights-of--ways or easements. On completion of any improvements, LESSEE shall provide CITY a copy of an as-built survey depicting the improvements as completed on the Leased Land. e) Any general contractor employed by LESSEE shall be appropriatelybonded byuse of performance and labor and material payment bonds in the customary form when cost of the work is equal to or exceeds FIFTY THOUSAND DOLLARS ($50,000). Copies of all such bonds shall be furnished to CITY prior to commencement of construction. If the cost of the work is less than FIFTY THOUSAND DOLLARS ($50,000.00), LESSEE shall provide CITY, ifno performance and labor and material bonds are provided by LESSEE, any necessary assurances or guarantees that the contemplated work will be performed by the general contractor or by LESSEE. In the event that LESSEE elects to construct the facility with its own personnel and equipment, or the personnel and equipment of any corporation or person that is an "affiliate" of LESSEE as such term is defined in AS 10.06.990(2) or Alaska limited liability company in which LESSEE maintains a substantial membership interest, a performance bond shall be required when the cost of the work is equal to or exceeds FIFTY THOUSAND DOLLARS ($50,000). fl CITY may, as contemplated by Alaska Statutes, give notice ofnon-responsibility for any improvements constructed or effected by LESSEE on the Leased Land. g) LESSEE shall comply with all federal, state and local statutes and regulations with respect to such construction, including but not limited to all applicable building, mechanical, and fire codes. 6.2 City Review of Construction. CITY shall have the right to review initial plans, including those supplied to CITY under Section 6.1 hereof, and any future changes or additions to LESSEE's facilities on the Leased Land, by reviewing the design thereof prior to the commencement of construction. CITY shall have the right to comment upon that design and to require LESSEE to make reasonable changes so as to avoid interference with public operations, but the exercise ofthese rights shall not imply any obligation to do so nor any obligation to do so in a particular way. LESSEE shall construct the facility in accordance with final design specifications approved by CITY. CITY's representatives may monitor the work and shall have access to the site at all reasonable times. LESSEE shall be solely responsible for completing all improvements according to LESSEE'S plans and specifications and shall bear 9 ~9 all risk, responsibility, and liability for properly surveying the Leased Land before construction and to place all improvements on the Leased Land without encroaching upon any land, easements, rights-of--way, or setback requirements. LESSEE shall obtain the usual and customary performance guarantees from its contractors, and CITY shall be named as an additional insured. ARTICLE 7 -RETURN OF LEASED LAND/SITE CONDITIONS 7.1 Return of Leased Land in Original Condition. Subject to the provisions of Article 11.1 herein, upon termination of this LEASE for any reason, LESSEE shall return the Leased Land to CITY in the same condition as at the commencement this LEASE, subject to normal, non-abusive use. The Leased Land shall be free of all Hazardous Materials and contamination arising out of or resulting from or occurring during LESSEE'S operations or use of the Leased Land during this LEASE. ARTICLE 8 -FORCE MAJEURE In the event either LESSEE or CITY is delayed from performance of any of its obligations under this LEASE due to acts of nature, acts of the enemies of the United States of America, sabotage, blockade, insurrection, riot, epidemic, fire, flood, explosion, earthquake/tsunami, civil disturbance, or war, the time period wherein such performance is to occur shall be extended by that amount of time necessary to compensate for the delay. ARTICLE 9 -LESSEE'S ACTS OF DEFAULT Each of the following shall be a "LESSEE Act of Default" under this LEASE and the terms "acts ofdefault" and "default" shall mean, whenever they are used in this LEASE, any one or more of the following events: 9.1 Failure by LESSEE to pay promptly when due, and in no event later than twenty (20) days from the due date thereof, the rent required to be paid under this LEASE. 9.2 Failure by LESSEE to comply with Section 4.1 of this LEASE. 9.3 Failure by LESSEE to observe, fulfill or perform any covenants, conditions or agreements on its part to be observed or performed under this LEASE, other than payment of rent or compliance with Section 4.1, for a period of thirty (30) days after written notice specifying such failure, requesting that it be remedied, and stating that it is a notice of default, has been given to LESSEE by CITY; provided, however, that if said default is such that it cannot be corrected within the applicable period, it shall not constitute an act ofdefault if corrective action is instituted by LESSEE within the applicable period and diligently pursued until the default is corrected. 10 ~' o J 9.4 The making by LESSEE of an assignment for the benefit of creditors, the filing ofapetition in bankruptcy by LESSEE, the adjudication ofLESSEE as insolvent orbankrupt, the petition or application by LESSEE to any tribunal for any receiver or any trustee for itself or for any substantial part of its property; or the commencement of any proceeding relating to LESSEE under any bankruptcy, insolvency, reorganization, arrangement or readjustment ofdebt law or statute or similar law or statute of any jurisdiction, whether now or hereafter in effect which shall remain undismissed for a period of six (6) months from the date of commencement thereof. 9.5 Violation by LESSEE of any laws or regulations of the United States, or of the State of Alaska, or any conditions of any permits issued by agencies of the City of Seward, the Kenai Peninsula Borough, the State of Alaska or of the United States Government applicable to LESSEE's use ofthe Leased Land, pursuant to the regulations of such agencies, for a period of sixty (60) days after written notice specifying such violation has been given by the agency charged with the enforcement of such laws, regulations or permits to LESSEE; provided, however, if such violation be such that it cannot be corrected within the applicable period, it shall not constitute an act of default if corrective action is instituted by LESSEE within the applicable period and diligently pursued until the violation is corrected. Furthermore, if LESSEE shall contest such alleged violation through appropriate judicial or administrative channels, the time period specified herein shall not commence until such proceedings are finally determined provided such proceedings are diligently pursued; provided, however, that any such extension of time shall not be effective if the effect of the interim administrative or judicial action is to cause a stoppage, interruption or threat to the activities of any person or entity other than those of LESSEE. 9.6 Failure of LESSEE to maintain its operations within the Leased Land or to keep the public rights ofway clear. ARTICLE 10 -REMEDIES FOR DEFAULT BY LESSEE Whenever an act of default by LESSEE shall have occurred, and any applicable period for giving notice and any opportunity to cure shall have expired, CITY shall have the following rights and remedies all in addition to any rights and remedies that maybe given to CITY by statute, common law or otherwise: 10.1 CITY may distrain for rent due any of LESSEE'S personal property which comes into CITY'S possession. This remedy shall include the right of CITY to dispose. of personal property distrained in any commercially reasonable manner. It shall be conclusively presumed that compliance with the procedures set forth in the Alaska Uniform Commercial Code (AS 45.29.601-.628) with respect to sale ofproperty shall be a commercially reasonable disposal. 11 3~ 10.2 CITY may re-enter the Leased Land and take possession thereof and, except for anypersonal property of LESSEE which CITY has waived its right to distrain under Section 10.1 above, remove all personal property of LESSEE from the Leased Land. Such personal propertymay be stored in place or may be removed and stored in a public warehouse or elsewhere at the cost ofLESSEE all without service ofnotice or resort to legal process, all ofwhich LESSEE expressly waives. 10.3 In addition to the above, CITY may: a) Declare this LEASE terminated; b) Collect any and all rents due or to become due from subtenants or other occupants of the Leased Land; c) Recover from LESSEE, whether this LEASE be terminated or not, reasonable attorney's fees and all other expenses incurred by CITY by reason of the breach or default by LESSEE; d) Recover an amount to be due immediately on breach equal to the unpaid rent for the entire remaining term of this LEASE. e) Recover all damages incurred by CITY by reason of LESSEE'S default or breach including, but not limited to, the cost of recovering possession of the Leased Land, expenses of reletting including costs of necessary renovation and alteration of the premises, reasonable attorney's fees and any real estate commissions actually paid. f) Remove or require the removal of any improvements constructed without CITY approval or constructed contrary to site development plans approved by CITY and recover all costs and expense incurred by CITY to remove violating improvements. 10.4 If LESSEE does not immediately surrender possession ofthe Leased Land after termination by CITY and upon demand by CITY, CITY may forthwith enter into and upon and repossess the Leased Land and expel LESSEE without being deemed guilty in any manner oftrespass and without prejudice to any remedies which might otherwise be used for arrears of rent or breach of covenant. 10.5 No expiration or termination of this LEASE shall expire or terminate any liability or obligation to perform of LESSEE'S which arose prior to the termination or expiration except insofar as otherwise agreed to in this LEASE. 10.6 Each right and remedy of CITY provided for in this LEASE shall be cumulative and shall be in addition to every other right or remedy provided for in this LEASE or now or hereafter 12 32 existing at law or in equity or by statute or otherwise, and the exercise or beguming of the exercise by CITY of any one or more ofthe rights and remedies provided for in this LEASE or now or hereafter existing at law or in equity or by statute or otherwise shall not preclude the simultaneous or later exercise by CITY ofany or all other rights or remedies provided for in this LEASE or now or thereafter existing at law, or in equity or by statute or otherwise. 10.7 No delay or omission to exercise any right or power accruing following an act of default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power maybe exercised from time to time and as often as may be deemed expedient. ARTICLE 11- TTTLE TO IMPROVEMENTS INSTALLED BY LESSEE 11.1 Real Property Improvements. All improvements constructed by LESSEE or its predecessors on the Leased Land or on easements to or from the same, such as buildings, warehouses, conveyor systems, ditches, sewer lines, water lines, dikes or berms and similar improvements, shall become the property of CITY upon termniation ofthis LEASE for any reason; provided, however, that CITY may require LESSEE to remove any improvements designated by CITY and without cost to CITY. 11.2 Personal Property. Any other provisions of this LEASE to the contrary notwithstanding, LESSEE, upon termination of this LEASE for any reason, may, but need not, promptly remove, in no event later than ninety (90) days from the termination of the LEASE, trade fixtures and equipment from the Leased Land provided that LESSEE shall repair any damages to the Leased Land caused by such removal. ARTICLE 12 -ASSIGNMENT OR SUBLEASE 12.1 Assignment of Lease or Subleasing. The parties recognize that this LEASE has been determined to be in the public interest by the City Council of CITY for the reasons set forth in the approving Resolution. The rights and duties created by the LEASE are personal to LESSEE and CITY has granted the LEASE in reliance upon the individual character and financial capability ofLESSEE. Therefore, LESSEE shall not assign or subleasethis LEASE without CITY's prior written consent, in CITY's sole discretion. LESSEE may sublease a portion of the Leased Land only with CITY's prior written consent, which consent shall be granted if a) The use of the Leased Land by the proposed sublessee is compatible with the use of adjacent lands; b) The proposed use is a permitted use under the then existing zoning regulations and comprehensive land use plan; 13 33 c) The sublessee's use is found to be in the public interest by approval ofthe City Council of CITY to such subletting; d) LESSEE has made a written request to sublease the LEASE or any part ofthe Leased Land provided a copy of the sublease agreement to the CITY; e) The sublessee shall agree to defend, indenmify and hold harmless the CITY, its officials, employees, and agents, from any and all liability or claims for damages, including personal injuries, death and property damage arising out of or resulting from sublessee's use of the Leased Land by themselves, their agents, contractors, guests or the public, except for damages arising from the sole negligence or willful acts or omissions of CITY, its officials, employees, agents, or contractors; fl LESSEE's full faith and credit shall remain obligated under this LEASE as though the sublease had not taken place; g) The sublessee assumes and agrees in writing to pay and perform all ofthe obligations of LESSEE hereunder including, without limitation, Article 21 -Environmental Concerns, and h) The sublessee has acredit-worthiness demonstrated to be equal to or better than LESSEE and has operating experience suitable to manage any facilities located on the Leased Land. 12.2 Assignment ofLease for Security. Notwithstanding Section 12.1 above, LESSEE may assign, encumber or mortgage its interest in this LEASE or improvements on the Leased Land, by deed of bust or other security instrument, to an institutional lender ("Lender") for development of or operations on the Leased Land, provided that Lender shall be subject to all obligations ofLESSEE under the terms ofthis LEASE upon foreclosure. CITY shall famish Lender, at the address provided to CITY by Lender in writing, with notice of any default or breach of LES SEE under this LEASE. Lender shall have the right (without being required to do so and without thereby assuming the obligations of LESSEE under this LEASE) to make good such default or breach within thirty (30) days after written notice specifying such breach. Notwithstanding the provisions of Article 10 above, no "LESSEE Act of Default" shall exist until expiration of thirty (30) days after such notice is furnished to Lender; provided, a) If Lender, with respect to any default or breach other than a failure to make any required payment ofrent or other money, shall undertake within thirty (30) days after notice to cure the default or breach and shall diligently and in good faith proceed to do so, CITY may not terminate this LEASE or relet the Leased Land unless Lender fails to cure the default or breach within a reasonable period of time thereafter; and 14 ~~ b) If the default for which notice is given is a breach of Section 9.3, CITY shall not exercise any ofthe remedies afforded to it under Article 10 above so long as LESSEE or Lender remains in possession of the Leased Land and satisfies LESSEE'S obligations under the terms ofthis LEASE. Upon foreclosure or other assertion ofits security interest, Lender may further assign, transfer, or dispose of its interests, provided that any subsequent assignee, purchaser or transferee shall remain bound by each and every term of this LEASE. 12.3 Assignment to Affiliate. Notwithstanding Section 12.1 above, LESSEE may assign this LEASE to an affiliate of LESSEE as that team is defined by AS 10.06.990(2) or Alaska limited liability company in which LESSEE maintains a substantial membership interest; provided, however, that LESSEE'S full faith and credit shall remain obligated under this LEASE as though the assignment had not taken place. ARTICLE 13 -LESSEE'S DUTY TO DEFEND/INDEMNIFY LESSEE shall defend, indemnify and hold harmless CITY, its officials, employees, agents, and contractors from any and all liability or claims for damages, including personal injuries, environmental damage, death and property damage arising out of or resulting from LESSEE's use of the Leased Land or the use of the Leased Land by LESSEE'S sublessees, assignees, agents, contractors or the public, except for damages arising from the sole negligence or willful acts or omissions of CITY, its officials, employees, agents, or contractors. If any action or proceeding is brought against LESSEE by reason of any such occurrence, LESSEE shall notify CITY promptly in writing of such action or proceeding. ARTICLE 14 -CITY'S DUTY TO DEFEND/INDEMNIFY CITY shall defend, indemnify and hold LESSEE harmless from any and all liability or claims for damages, including personal injuries, death and property damage arising from the sole negligence or willful acts or omissions of CITY, its officials, employees, agents, or contractors. ARTICLE 15 -INSURANCE 15.1 MinimuminsuranceRequirements.PriortocommencementoftheLeaseTermorLESSEE'S occupancy ofthe Leased Land, LESSEE shall procure and maintain, at LESSEE's sole cost and expense, comprehensive commercial general liability insurance with limits of liability of not less than TWO MILLION DOLLARS ($2,000,000) for all injuries and/or deaths resulting to any one person and TWO MILLION DOLLARS ($2,000,000) limit from any one occurrence. The comprehensive commercial general liability insurance shall include coverage for personal injury, bodily injury, and property damage or destruction. Coverage under such policies of insurance shall include collapse and underground property damage hazards. 15 J~ Contractual liability insurance coverage in the amount of not less than TWO MILLION DOLLARS ($2,000,000) is also required. LESSEE shall obtain owned and non-owned automobile liability insurance with limits of liabilityofnot less than ONE MILLION DOLLARS ($1,000,000) per occurrence combined single limit for bodily injury and property damage. LESSEE shall also maintain workers' compensation insurance as required under Alaska law. The minimum amounts and types of insurance provided by LESSEE shall be subject to revision at the sole discretion of CITY in accordance with standard insurance practices, in order to provide continuously throughout the term ofthis LEASE and any extensions hereof a level of protection consonant with good business practice and accepted standards in the industry. Such factors as changes in the type ofor extent ofuse ofthe Lease Land, increases in the cost of living, inflationary pressures, and other considerations, shall be utilized in assessing whether the minimum insurance requirements should be increased. CITY shall notify LESSEE of any required increase in insurance coverage. All insurance policies shall provide for thirty (30) days' notice of cancellation and/or material change to be sent to CITY at the address designated in ARTICLE 33 of this LEASE. All such policies shall be written by insurance companies legally authorized or licensed to do business in the State of Alaska, and acceptable to CITY (Best's Rating B+ or better). CITY shaIl be listed as an additional insured under all insurance policies. LESSEE shall furnish CITY, on forms approved by CITY, certificates evidencing that it has procured the insurance required herein prior to the occupancy of the Leased Land or operation by LESSEE. Insurance policy deductibles are subject to approval by CITY. Nothing herein contained shall prevent LESSEE or CITY from placing and maintaining at CITY'S or LESSEE'S own individual cost and expense, additional or other insurance as may be desired. The minimum insurance requirements under this LEASE shall not act to limit LESSEE'S liability for any occurrence and shall not limit LESSEE's duty to defend and indemnify CITY for claims related to this LEASE or the Leased Land. 15.2 Subrogation Rights Waived. To the extent permitted by law, LESSEE herebyreleases CITY, its elected and appointed officials, employees and volunteers and others working on behalfof CITY from any and all liability or responsibility to LESSEE or anyone claiming through or under LESSEE by way of subrogation or otherwise, for any loss of any kind (including damage to property caused by fire or any other casualty), even if such loss shall have been caused by the fault or negligence ofthe CITY, its elected or appointed officials, employees or volunteers or others working on behalf of the CITY. This provision shall be applicable and in full force and effect only with respect to loss or damage occurring during the time of LESSEE's occupancy or use (including LESSEE's occupancy or use prior to the Effective Date of this LEASE), and LESSEE'S policies of insurance shall contain a clause or endorsement to the effect that such release shall not adversely affect or impair such policies or 16 J6 prejudice the right of LESSEE to recover thereunder except as against CITY (including its elected and appointed officials, employees and volunteers and others working on behalf of CITY) during the time of LESSEE'S occupancy or use. LESSEE agrees that its policies of insurance will include such a clause or endorsement. ARTICLE 16 -CONDEMNATION If all or any part of the Leased Land is condemned for a public use by any government agency or other duly authorized entity, CITY and LESSEE shall each make a claim against the condemning or taking authority for the amount of any damage incurred by or done to them respectively as a result of the taking. Neither LESSEE nor CITY shall have any rights in or to any award made to the other by the condemning authority; provided, that in the event of a single award to CITY which includes specific damages for loss of LESSEE'S leasehold interest, CITY shalltransmit to LESSEE the amount of such specific damages so found, if any. Ifpart but not all ofthe Leased Land is condemned for public use, LESSEE shall make a good faith determination as to whether or not the taking of the part of the Leased Land designated for condemnation will prevent it from continuing to operate on the Leased Land. If LESSEE determines in good faith that the condemning of such part of the Leased Land will prevent it from continuing to operate on the Leased Land, LES SEE may notify CITY in writing to this effect, and this LEASE shall then be terminated for all purposes effective fifteen (15) days from the date LESSEE sends such notice to CITY, or at such other later date as LESSEE shall specify in its notice, and suchtermination shall be treated in the same manner as a termination at the expiration of the term of this LEASE. LESSEE shall, as a condition precedent to such termination, remove all encumbrances, debts and liens to which the Leased Land is subject. If at the time of such partial taking for public use, LESSEE determines that such partial taking will not prevent it from continuing to operate, then LESSEE and CITY shall negotiate an equitable and partial abatement of the rent beginning to be effective on the actual date when LESSEE is effectively prevented from utilizing the condemned land. ARTICLE 17 -ARBITRATION 17.1 Arbitration. a) Disputes between the parties with respect to the performance of this LEASE that cannot be resolved by the parties, shall be submitted to an independent arbitrator for a settlement pursuant to the provisions of the Alaska Uniform Arbitration Act (AS 09.43.010 et. sec .), as it now exists or may hereafter be amended from time to time, and judgment on the award may be entered in any Superior Court in the State of Alaska. Notwithstanding the foregoing, arbitration shall not be applicable to claims or disputes involving a requested remedy having a value of more than Fifty Thousand Dollars and No/100s ($50,000) (exclusive of interest and costs). All demands for arbitration and all answering statements thereto that include any claim must contain a 17 ~~ statement that the total sum or value in controversy, as alleged by the party making such demand or answering statement, is not more than Fifty Thousand Dollars and No/100s ($50,000.) The arbitrator will not have jurisdiction, power, or authority to consider or make findings (except to deny jurisdiction) concerning any claim, counterclaim, dispute or other matter in question where the amount in controversyof any such claim, counterclaim, dispute or matter is more than Fifty Thousand Dollars and No/100s ($50,000). The costs and expenses of arbitration shall be shared equally by the parties, and each party shall bear its own attorney's fees and costs. b) Arbitration procedures shall be applicable only to contract, negligence, and similar claims arising from or related to this LEASE, and shall not be used to resolve or determine any claim based upon fraud, intentional misrepresentation, nor any claim based on conduct that is a felony crime in the State of Alaska. c) Written notice of requests for arbitration of disputes may be served by either party to this LEASE upon the other party. Arbitration of any dispute or claim shall be determined by a single arbitrator selected from a list of not less than five arbitrators obtained from the presiding Superior Court Judge or other appropriate judicialofficer in Anchorage, Alaska. The arbitrator shall be a person who (a) has not less than five (5) years legal experience in the State of Alaska prior to appointment; and (b) such legal experience includes substantial experience with long-term commercial real property transactions. Each party shall be provided with a copy ofthe list and shallbe afforded a maximum of ten (10) working days to become familiar with the qualifications of the prospective arbitrators. The arbiriator shall be selected by each party, commencing with the party demanding the arbitration, striking one name from the list until only a single name remains. d) Arbitration hearings shall be conducted in Anchorage, Alaska or such other location as the parties may agree. Each party shall produce at the request ofthe other party, at least thirty (30) days in advance ofsuch hearing, all documents to be submitted at the hearing and such other documents as are relevant to the issues or likely to lead to relevant information. e) In deciding the claim or dispute, the arbitrator shall follow applicable Alaska law, and the written decision shall be supported by substantial evidence in the record. Failure to apply Alaska law, or entry of a decision that is not based on substantial evidence in the record, shall be additional grounds for modifying or vacating an arbitration decision. 18 3$ ARTICLE 18 -MAINTENANCE AND REPAIRS 18.1 Normal Maintenance. During the entire term of this LEASE and every extension hereof, if any, LESSEE shall, at LESSEE'S sole cost, risk and expense, maintain the Leased Land, including any improvements placed thereon by LESSEE, in as good condition as received or constructed by LESSEE, subject to normal, non-abusive use. CITY, at CITY's sole option and expense, may, prior to the commencement of construction by LESSEE, perform maintenance and preventative work on the Leased Land, exclusive of improvements placed thereon by LESSEE, in order to prevent erosion, mitigate damage to plants and animals, or prepare the Leased Land for eventual development by LESSEE or others bygrading, filling or contouring the Leased Land. Any such work performed by CITY shall be at CITY's sole expense and risk unless LESSEE agrees, in advance and in writing, to share such expense and risk. LESSEE shall maintain in first class condition at all times all fire, pollution and other protective equipment, if any are placed on Leased Land. 18.2 Safety Issues. CITY may notify LESSEE in writing of any deficiencies in the performance of LESSEE'S maintenance responsibilities asthey relate to public health or safety and LESSEE shall promptly within thirty (30) days of receipt of such notice advise CITY in writing of its proposed schedule for performance of any work necessary to cure such deficiencies. If such deficiencies relate to the safety of LESSEE'S operation such that the surrounding land and port facilities are exposed to risk, unnecessary potential hazards, or a risk to the public interest (as distinguished from a business risk), or if CITY is not satisfied with the proposed schedule ofrepairs either because ofthe delays therein or the scope ofthe repairs, then CITY may engage an independent engineering consultant well-versed and experienced who shall fitrnish to CITY a comprehensive survey and report for the purpose of establishing both the need and urgency to perform such maintenance work. As soon as practicable following receipt of said engineer's determinations and recommendations, if the report requires repair then LESSEE shall pay the cost of the report and perform such work in accordance therewith at LESSEE'S cost, risk and expense. 18.3 Cost of Repairs. Should LESSEE dispute the necessity of any maintenance work as being necessary or advisable or reasonable to protect the public facilities on adjacent land, it may submit the matter to arbitration; provided, however, that pending the decision ofthe arbitrator it shall fully comply with the maintenance requests. If an arbitration award should ultimately find that the repairs were not necessary then LESSEE may either deduct from future rental payments the cost of such repairs or be reimbursed therefor. In deciding whether repairs requested by CITY or required by an engineering report are necessary, the arbitration panel is to give primary consideration to the safety and welfare of the Seward port facilities and the citizens of Seward in light of the highest standards in the industry. If any facility or service provided by CITY to the Leased Land shall become inadequate due 19 n J to changes in environmental control standards or should any facility require updating or improvement by reason of a change in LESSEE'S use of the Leased Land or operations therefrom, LESSEE shall either construct such improvements at LESSEE'S own cost or reimburse CITY for such work at the option of CITY. ARTICLE 19 -ENVIRONMENTAL CONCERNS 19.1 Hazardous Materials. a) Condition of Site. LESSEE has had full opportunity to examine the site for the presence of any Hazardous Material and accepts the site in "as is" condition. LESSEE may elect, at LESSEE'S sole cost, to conduct a baseline soils test prior to execution of this LEASE. b) Release of CITY. Any other provision of this LEASE to the contrary notwith- standing, LESSEE releases CITY from any and all claims, demands, penalties, fines, judgments, liabilities, settlements, damages, costs or expenses (including, without limitation, attorney's fees, court costs, litigation expenses, and consultant and expert fees) arising prior to, during, and after the team ofthis LEASE, and resulting fromthe use, keeping, storage or disposal of Hazardous Material on the Leased Land by LESSEE or its predecessors in interest, or arising out ofor resulting from LESSEE'S operations at the Leased Land or the operations of its predecessors in interest at the Leased Land except for those claims arising out of CITY's sole negligence or intentional nnisconduct. This release includes, without limitation, any and all costs incurred due to any investigation of the Leased Land or any cleanup, removal or restoration mandated by a federal, state or local agency or political subdivision or by law or regulation. c) Use of Hazardous Materials on the Site. i) LESSEE shall not cause or permit any Hazardous Material to be brought upon, kept or used in or about the Leased Land except for such Hazardous Material as is necessary to conduct LESSEE'S authorized use of the Leased Land. ii) Any Hazardous Material permitted on the Leased Land as provided in this paragraph, and all containers therefor, shall be used, kept, stored and disposed of in a manner that complies with all Environmental Laws or other laws or regulations applicable to such Hazardous Material. iii) LESSEE shall not discharge, leak or emit, or permit to be discharged, leaked or emitted, any material into the atmosphere, ground, ground water, sewer 20 40 system or any body of water, if such material (as reasonably determined by the City, or any governmental authority) does or may, pollute or contaminate the same, or may adversely affect the (a) health, welfare or safety of persons, whether located on the Leased Land or elsewhere; or (b) condition, use or enjoyment of the Leased Land or any other area or personal property. iv) LESSEE hereby agrees that it shall be fizlly liable for all costs and expenses related to the use, storage and disposal of Hazardous Materialkept orbrought on the Leased Land by LESSEE, its authorized representatives and invitees, and LESSEE shall give immediate notice to CITY of any violation or potential violation ofthe provisions ofthis subparagraph. d) Indemnification of CITY. Any other provision of this LEASE to the contrary notwithstanding, LESSEE shall defend, indemnify and hold CITY harmless from and against any claims, demands, penalties, fines, judgments, liabilities, settlements, damages, costs or expenses (including, without limitation, attorney, consultant and expert fees, court costs and litigation expenses) ofwhatever kind or nature, known or unknown, contingent or otherwise, arising out of or in any way related to: i) The presence, disposal, release or threatened release of any such Hazardous Material which is on or from the Leased Land, soil, water, ground water, vegetation, buildings, personal property, persons, animals or otherwise; ii) Any personal injury (including wrongful death) or property damage (real or personal) arising out of or related to such Hazardous Material or any use of the Leased Land; iii) Any lawsuit brought or threatened, settlement reached or government order relating to such Hazardous Material or any use of the Leased Land; and/or iv) Any violation of any laws applicable thereto; provided, however, that this Section 19.1(d) shall apply only ifthe acts giving rise to the claims, demands, penalties, fines, judgments, liabilities, settlements, damages, costs or expenses (1) occur prior to or during the term ofthis LEASE; and (2) arise in whole or in part from the use of, operations on, or activities on the Leased Land by LESSEE or LESSEE'S predecessors in interest, employees, agents, invitees, contractors, subcontractors, authorized representatives, subtenants or any other persons. The provisions ofthis subparagraph shall be in addition to any other obligations and liabilities LESSEE may have to CITY at law or equity and shall survive the transactions contemplated herein and shall survive the termination ofthis LEASE. 21 ~~ e) Operator. For all purposes, LESSEE shall be deemed the operator of any facility on the Leased Land. f) Hazardous Material Defined. As used in this LEASE, Hazardous Material is any substance which is toxic, ignitable, reactive, or corrosive or which is regulated by any Environmental Law. Hazardous Material includes any and all material or substances which are defined as industrial waste, hazardous waste, extremely hazardous waste or a hazardous substance under any Environmental Law. Notwithstanding any statutory petroleum exclusion, for the purposes of this LEASE, the term Hazardous Material includes, without limitation, petroleum, including crude oil or any fraction thereof, petroleum soaked absorbent material and other petroleum wastes. g) Environmental Law Defined. As used in this LEASE, Environmental Laws include any and all local, state and federal ordinances, statutes, and regulations, as now in force or as maybe amended from time to time, relating to the protection of human health and the environment, as well as any judgments, orders, injunctions, awards, decrees, covenants, conditions, or other restrictions or standards relating to same. Environmental Laws include, by way of example and not as a limitation of the generality of the foregoing, Alaska Statutes Title 46, the Resource Conservation and Recovery Act of 1976, the Comprehensive Environmental Response, Compensation and Liability Act of 1980, the Clean Water Act, and the Superfixnd Amendments and Reauthorization Act of 1986. 19.2 Permits and Reporting. a) Permits Required by Other Governmental Agencies. LESSEE shall obtain all pemrits or approvals required by any applicable law or regulation. Copies ofall such permits shall be provided to CITY prior to LESSEE commencing work under this LEASE. LESSEE shall promptly make all reports to any federal, state or local government or agency required by any permit or Environmental Law, including reports of any spill or discharge of Hazardous Material. The CITY, through the City Manager, may order LESSEE to immediately cease any operations or activities on the Leased Land if the same is being carried out without necessary permits, in violation of the terms of any permit or Environmental Law, or contrary to this LEASE. b) Correspondence With and Reports to Environmental Agencies. LESSEE shall immediately (the same or the next business day) provide CITY with copies of all correspondence and notice, including copies, of all reports between LESSEE and any state, federal or local government or agency regulating Hazardous Material which relates to LESSEE's operations on or use ofthe Leased Land. 22 4~ ARTICLE 20 -ESTOPPEL CERTIFICATES Either party shall at any time and from time to time upon not less than ten (] 0) days' prior written request by the other party, execute, acknowledge, and deliver to such party, or to its designee, a statement in writing certifying that this LEASE is unamended and in full force and effect (or, ifthere has been any amendment thereof, that the same is in full force and effect as amended and stating the amendment or amendments), that there are no defaults existing (or, ifthere is any claimed default, stating the nature and extent thereof); and stating the dates to which the rent and other charges have been paid in advance. ARTICLE 21 -CONDITIONS AND COVENANTS All the provisions ofthis LEASE shall be construed to be "conditions" as well as "covenants," as though the words specifically expressing or imparting covenants and conditions were used in each separate provision. ARTICLE 22 - NO WAIVER OF BREACH No failure by either CITY or LESSEE to insist upon the strict performance by the other of any term, covenant or condition ofthis LEASE or to exercise any right or remedy consequent upon a breach thereof, shall constitute a waiver of any such breach or of such terms, covenants or conditions. No waiver of any breach shall affect or alter this LEASE, but each and every term, covenant and condition ofthis LEASE shall continue in full force and effect with respect to any other then existing or subsequent breach. ARTICLE 23 -TIME OF THE ESSENCE Time is of the essence of this LEASE and of each provision. ARTICLE 24 -COMPUTATION OF TIME The time in which any act provided by this LEASE is to be done by shall be computed by excluding the first day and including the last, unless the last day is a Saturday, Sunday or a holiday, and then it is also excluded. ARTICLE 25 - SUCCESSORS IN INTEREST Each and all ofthe terms, covenants and conditions in this LEASE shall inure to thebenefit of and shall be binding upon the successors in interest of CITY and LESSEE. 23 43 ARTICLE 26 -ENTIRE AGREEMENT This LEASE contains the entire agreement ofthe parties with respect to the matters covered by this LEASE, and no other agreement, statement or promise made by any party which is not contained in this LEASE shall be binding or valid. ARTICLE 27 -GOVERNING LAW This LEASE shall be governed by, construed and enforced in accordance with the laws ofthe State of Alaska. The terms of this LEASE are subject in all respects to the Charter and Code of Ordinances of CITY in effect on the date of this LEASE, and as they may be hereafter amended, including without limitation, Chapter 7.05 of the Seward City Code. ARTICLE 28 -PARTIAL INVALIDITY If any provision ofthis LEASE is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions shall remain in full force and effect and shall in no way be affected, impaired or invalidated. ARTICLE 29 -RELATIONSHIP OF PARTIES Nothing contained in this LEASE shall be deemed or construed by the parties or by any third person to create the relationship ofprincipal and agent or of partnership or of joint venture or of any association between CITY and LESSEE; and neither the method of computation of rent, nor any other provisions contained in this LEASE nor any acts of the parties, shall be deemed to create any relationship between CITY and LESSEE other than the relationship of lessee and lessor. ARTICLE 30 -INTERPRETATION The language in all parts ofthis LEASE shall in all cases be simply construed according to its fair meaning and not for or against CITY or LESSEE as both CITY and LESSEE have had the opportunity to seek assistance of counsel in drafting and reviewing this LEASE. ARTICLE 31 -CAPTIONS Captions ofthe articles, paragraphs and subparagraphs ofthis LEASE are for convenience and reference only, and the words contained therein shall in no way be held to explain, modify, amplify or aid in the interpretation, construction or meaning of the provisions of this LEASE. ARTICLE 32 -AMENDMENT This LEASE is not subject to amendment except in writing executed by both parties hereto. 24 44 ARTICLE 33 -NOTICES All notices, demands or requests from one party to another shall be delivered in person or be sent by mail, certified or registered, postage prepaid, to the addresses stated in this Article and to such other persons and addresses as either party may designate. Notice by mail shall be deemed to have been given at the time of mailing. All notices, demands and requests from LESSEE to CITY shall be given to CITY at the following address: City Manager CITY OF SEWARD PO Box 167 Seward, Alaska 99664 All notices, demands or requests from CITY to LESSEE shall be given to LESSEE at the following address: Harbor Holdings, LLC P.O. Box 2753 Seward, AK 99664 Attention: Gene Minden Each party shall have the right, from time to time, to designate a different address by notice given in conformity with this Article. ARTICLE 34 -FIRE PROTECTION LESSEE shall at its sole cost, risk and expense provide fire detection and protection to its operations on the Leased Land and fire prevention to industry standards for risks to adjacent facilities such that those risks are m;nimi~ed. LESSEE shall continue to provide and maintain industy accepted standards of fire protection such that the City of Seward's ISO rating is not degraded by reason of LESSEE'S operation. The parties agree that with the rapid expansion oftechnology in the field of fire prevention and control LESSEESs obligations hereunder may vary during the term of this LEASE and CITY may submit LESSEE'S compliance with its obligation hereunder to arbitration not more frequently than once each five years. 25 4~ IN WITNESS WHEREOF, the parties hereto have set their hands and Seals the dates herein set forth. CITY: CITY OF SEWARD Phillip Oates, City Manager LESSEE: HARBOR HOLDINGS, LL ne~Member Date: ATTEST: Jean Lewis, CMC City Clerk STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT ) Date: 7- ~f7 The foregoing instrument was acknowledged before me this 7l3 day of ~~~ 2009, by Phillip Oates, City Manager of the City of Seward, Alaska, on behalf of the City. Notary Public in and for Alaska My Commission Expires: 26 46 STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT The foregoing instrument was acknowledged before me this ~c~ day of v ~ 2009, by Gene Minden who executed the foregoing document on behalf of Harbor Holdings, L C as sole Member of the limited liability company. f~~ Notary blic in and for Alaska My Commission Expires: S // -~.O 1~~ 27 4'7 PERSONAL GUARANTEE To induce the City of Seward, P.O. Box 167, Seward, AK 99664 ("City') to enter into a Lease Agreement with Gene Minden, P.O. Box 54, Seward, AK 99664 ("Harbor Holdings, LLC") effective , 2009, the undersigned personally guarantees payment of all obligations of Dockside as described in the Lease Agreement. The Lease Agreement covers the following real property: Lot 1, Block 8, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward Recording District, Third Judicial District, State of Alaska, consisting of approximately 20,589 square feet, more or less. I agree to provide the City with written notification of any changes in my address, and acknowledge that any notice requixed to be given by the City will be effective if mailed to the address shown below or such changed address on file with the City. My guarantee is absolute and unconditional. Upon default of Harbor Holdings under the Lease Agreement, I agree to immediately become liable for Harbor Holding's obligations. The City need not seek performance, payment, and collection from Harbor Holdings, LLC before seeking payment from me. Dated this 2C3 day of S'~~`1 , 2009. ~-- Signed in my individual capacity as guarantor: e Mmden P.O. Box 2753 Seward, AK 99664 48 After Recordin¢ Return to: City of Seward Attention: Harbormaster P.O. Box 167 Seward, Alaska 99664 MEMORANDUM OF LEASE (AS 40.17.120) Pursuant to AS 40.17.120, the undersigned parties make this instrument describing a Lease Agreement pertaining to Leased Premises located in Seward, Alaska. THE PARTIES HERETO have entered into a Lease of the property descnbed herein according to the terms as follows: LESSOR: City of Seward P. O. Box 167 Seward, Alaska 99664 LESSEE: Harbor Holdings, LLC P.O. Box 2753 Seward, Alaska 99664 EFFECTIVE DATE: , 2009 TERM: September 30, 2044 Date of Lease Agreement: The Lease Agreement was dated as of , 2009 Description of Real Property Leased: The Leased Premises are legally descnbed as: Lot 1, Block 8, Seward Small Boat Harbor Subdivision, as shown on Plat 2000-19, Seward Recording District, Third Judicial District, State of Alaska, consisting of approximately 20,729 square feet, more or less. Commencement and Termination Dates: The effective lease term for the Lease Agreement is , 2009 tluough September 30, 2039. There is an option for one additional five-year term extension. Statement of Conditions on Extension or Renewal of Lease: The Lease Agreement provides that the option to renew the lease maybe exercised by Lessee, provided Lessee is not in Memorandum of Lease Page 1 of 3 ~n default or breach of the terms of the lease at the time of exercise. An option must be exercised in writing by Lessee at least 180 days prior to the expiration of the lease term. DATED at Seward, Alaska this 20 day of S'~s 1~, 2009. CITY OF SEWARD Phillip Oates, City Manager HARBOR HOLDINGS, LLC e Minden, Member ATTESTED BY: Jean Lewis, CMC, City Clerk City of Seward Memorandum of Lease Page 2 of 3 :) Acknowledgments STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT ) This is to certify that on the day of _ , 2009, before me, the undersigned Notary Public in and for the State of Alaska, duly commissioned and sworn as such, personally appeared Phillip Oates to me and to me known to be the individual named in and who executed the foregoing instrument on behalf of The City of Seward, and acknowledged to me that he signed the same freely and voluntarily for the uses and purposes therein set forth. WITNESS my hand and official seal the day and year first written above. NOTARY PUBLIC in and for Alaska My Commission Expires: STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT ) This is to certify that on the 2,[3 day of ~(J `~ , 2009, before me, the undersigned Notary Public in and for the State of Alaska, duly commissioned and sworn as such, personally appeared Gene Minden to me and to me known to be the individual named in and who executed the foregoing instrument on behalf of Harbor Holdings, LLC and acknowledged to me that he signed the same freely and voluntarily for the uses and purposes therein set forth. WITNESS my hand and official seal the day and year first written above. G~T NOT Y P BLIC in and for Alaska My Commission Expires: "?-ZD °-© Memorandum of Lease Page 3 of 3 ~~ Sponsored by: Oates SEWARD CITY COUNCII, RESOLUTION 2009-071 A RESOLUTION OF THE SEWARD CITY COUNCIL OF THE CITY OF SEWARD, ALASKA RECOMMENDING THE KENAI PENINSULA BOROUGH APPROVAL OF THE PRELIMINARY REPEAT OF LOT 4A, BLOCK 2, MARINA SUBDIVISION, COAST GUARD REPEAT, LOCATED SOUTH OF PORT AVENUE AT APPROXIMATELY 1509 X-FLOAT ROAD, WITHIN THE HARBOR COMMERCIAL ZONING DISTRICT WHEREAS, administration hired Integrity Surveys to prepare a preliminary plat of City- owned land Lot 4A, Block 2, Marina Subdivision; and WHEREAS, Integrity Surveys has submitted, on behalf of the City of Seward, the attached replat which subdivides the parcel into two lots creating Lots 4A-1 and 4A-2, Block 2, Marina Subdivision, Coat Guard Replat; and WHEREAS, this platting action will create Lot 4A-1 at approximately 3.431 acres and Lot 4A-2, at 27,720 square feet; and WHEREAS, the property is zoned Harbor Commercial (HC) and is currently vacant of any structures and the subdivision meets the minimum lot size and width requirements of the Seward Zoning Code; and WHEREAS, Lot 4A-2 is being created in preparation for the planned relocation of the US Coast Guard Facility; and WHEREAS, prior to final approval the plat shall provide utility and access easements for all existing and proposed utilities and accesses; and WHEREAS, no subdivision installation agreement is necessary at this time because the area is currently serviced by municipal roads, water, sewer, electric and other utilities; and WHEREAS, at their July 7, 2009 meeting the Planning and Zoning Commission held the required public hearing and approved Resolution 2009-16 recommending the City Council and the Kenai Peninsula Borough approve the Lot 4A, Block 2, Marina Subdivision, Coast Guard Replat, subject to certain conditions; and WHEREAS, the Subdivision Code 16.01.015 (B) stipulates that no preliminary plat ofcity- owned property may be submitted to the Kenai Peninsula Borough planning commission for approval without prior consent of the city council. 52 CITY OF SEWARD, ALASKA RESOLUTION 2009-071 NOW, THEREFORE, BE IT RESOLVED BYTHE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Council hereby recommends Kenai Peninsula Borough approval of the Lot 4A, Block 2, Marina Subdivision, subject to the following condition: 1. All existing utilities shall be located; and easements provided for all existing and planned utilities and accesses for the entire plat. Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of Seward, Alaska this 10th day of August 2009. THE CITY OF SEWARD, ALASKA Clark Corbridge, Mayor AYES: NOES ABSENT: ABSTAIN: ATTEST: Jean Lewis, CMC City Clerk (City Seal) 53 COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To: City Council Through: Phillip Oates, City Manager Christy Terry, Community Development Director From: Donna Glenz, Associate Planner Agenda Item: Resolution 2009- °]/ Recommending the Kenai Peninsula Borough Approval of the Preliminary Plat Review of Lot 4A-1, and Lot 4A-2, Marina Subdivision, Coast Guard Replat BACKGROUND & JUSTIFICATION: Attached for Council's review and recommendation to the Kenai Peninsula Borough Planning Commission is a preliminary plat of City-owned land Lot 4A, Block 2, Marina Subdivision which subdivides the parcel into two lots creating Lots 4A-1 and 4A-2, Block 2, Marina Subdivision, Coat Guard Replat. In accordance with Seward City Code (SCC) 16.01.015(B) No preliminary plat of city-owned property may be submitted to the Kenai Peninsula Borough planning commission for approval without the prior consent ofthe City Council. Subdivision Review: Zoning: The property is zoned Harbor Commercial (HC) rwhich allows all of the existing uses on the property, and the subdivision meets the minimum lot size and width requirements of the Seward Zoning Code. Size: This platting action will create Lot 4A-1 at approximately 3.431 acres and Lot 4A-2, at 27,720 square feet. Lot 4A-1 has 308 lineal feet on Port Avenue and Lot 4A-2 has approximately 198 lineal feet of lot frontage on what has become known as X-Float Road. These lots meet the SCC requirement. in lot size and width within the Harbor Commercial Zoning District. Utilities: The property is served by the existing public utilities; therefore a subdivision agreement is not required. Existing water, sewer and electric lines are located within existing utility easements or in easements which shall be provided during this plating action. There are fire hydrants within approved distances. City staff reviewed the replat and has submitted a request that all utilities currently located on the Lots 4A-1 and 2 be located and easements be provided before this plat is approved. The request has become a condition recommended to the Kenai Peninsula Planning Commission for final platting action. J~ Existing Use: These parcels are currently used as access and parking for the northeast harbor boat launch ramps and X-Float. There are currently no structures located on these parcels. Flood Zone: The property is not within a FEMA mapped Flood Hazard Zone. Kenai Peninsula Borough Code 20.24 Exceptions Requested.• On behalf of the City of Seward the surveyor will be requesting the Kenai Peninsula Borough Planning Commission approve an exception to the proposed plat. The exception granted by the Kenai Peninsula Borough Planning Commission will be noted on the plat with the date of the Commission meeting. The Kenai Peninsula Borough Commission may authorize exceptions to any of the requirements set forth in their subdivision design requirements based on findings of fact outlined in KPB Code §20.24.010(A) Exceptions to regulations -Procedure-Commission authority. 1. That special circumstances or conditions affecting the property have been shown by application; 2. That the exception is necessary for the preservation and enjoyment of a substantial property right and is that most practical manner of complying with the intent of this title; 3. That the granting of the exception will not be detrimental to the public welfare or injurious to other property in the area in which said property is situated. KPB Code §20.20.200 would require Lot 4A-2 abut a dedicated street. There are compelling fmdings to support the requested exception: 1. The entire Lot 4A-1 is a dedicated public access easement and anon-dedicated route commonly known as X-Float Road located on the westerly edge of the lot has provided access to the public boat launch ramp, X-Float and other uses. 2. Access to all portions of Lot 4A-2 and other uses is or will be available for emergency service providers, city maintenance vehicles, refuse collectors and public vehicles. 3. Existing access easement is available to all adjoining properties. 4. The plating of a dedicated Right-of--way for X-Float Road has not been reviewed or supported at this time. It is the Planning and Zoning Commission's responsibility to act in an advisory capacity to the City Council and the Kenai Peninsula Borough regarding subdivision plat proposals. The Planning and Zoning Commission reviewed the preliminary plat at its July 7, 2009 regular meeting and approved Resolution 2009-16 recommending City Council and Kenai Peninsula Borough approval ofthe Lot 4A-1, and Lot 4A-2, Marina Subdivision, Coast Guard Replat. CONSISTENCY CHECKLIST: Where applicable, this resolution is consistent with the Seward City Code, Charter, Comprehensive Plans, Land Use Plans, Strategic Plan, Seward Small Boat Harbor Plan and City Council Rules of Procedures. ~J Lot 4A-2 is being created in preparation for the planned relocation of the US Coast Guard Facility currently located along Fourth Avenue in the Small Boat Harbor. ATTORNEY REVIEW: N/A FISCAL NOTE: The surveying and associated fees to complete the rep t were include in t e current Community Development Contracted Services Budget. Approved by Finance Department ~'a'E_ RECOMMENDATION: ~r i Council approves Resolution 2009-, recommending the Kenai Peninsula Borough approval of Lots 4A-1 and 4A-2, Block 2, Marina Subdivision, Coast Guard Replat subject to the following conditions: 1. All existing utilities shall be located; and easements provided for all existing and planned utilities and accesses for the entire plat. ~~ NOTES: 1) Development of these Iota la aubjaet to the City of SewaM'a :wing regulotkna. 2) Na permanent structure shall be wnsWcted w dated within a utility easement which woultl Inter/ere with the ability of ° Utility to use the eaaemwl. 3) No prYwta access to St°ta m°Mt°ined ROWa permitted unless opproW by the Stote of Aloako Department of Tranaportalion. 4) Lata within Ihle eubdivbian may be located within a daeignated Good hazard area, develapmant must canply wIN TIUe 15 of the Sawgrd City code of ardfnwcae. A survey to determine the Mewtian of the properly may be requirM prior to ewetructlw. 5) WASTEWATER DISPOSAL: Plana fw wastewater dlapoaal, that meet regulatory requhsmente are on Poe at the Alcako Deportment of Envkwmmlal Cwaarmtlon. LEGEND: MONUMENT (found this survey) • 5/8" REBAR (found this survey) O 5/e" REBAR (eel this survey) © 2" ALCAP LS /3753 (found this aurwy) P.U.E. Public Utility Easement ( ) RECORD OANM - MaNna Subd. -Block 2 Rq~laU Plot y 96-28 SRD Nxo Water Ilne xC FUe Hytlrwt it storm Dram Manna. ~ y~ ~ !fyli/ -*~ Ill ~'.*/ 49. ~ ~ ~~~~ ,E ::n Storm Grain Ilne ~ .x.. s$` Sanitwy Sewer Mwhole // ~Ne t3-6tSf~ / / TIS SEWA 4 RO 3 lll~ ss Swltary Sewer line ll1\\\~~~ N ~ CITY OF "~: el Seofwtl Out(all Ilne T SEWARD ue Undergrwntl Electrk SURVEYORS CERTIFICATE I lD I hereby certify that; I err: properly registered and Ilcanaea VICINITY to practiw Iwd aurwylnq in lire State o/ Aloaka, thb plat MAP reprsemts a wrwy maM by ms a wdr my dkect aupeMYw. Na mmummte shown harem actudly exist w described, and R 16 oil dknwaiwe and other detolla ore corteet to the narmd 1' = 1 MILE m etwtlaMs o/ practice of Intl wrwyms m the Slate of Alaska. ..,.,.,, ~ar~c~c~~ C~o~~ ~~~o~o~~ 13D' 30' Approxlmat° Igcatlw Fud Lina ~ 1 1 11 Lot 4A- / Center of 15' Easement 1 \ 3.631 Ac. ~~ ~ B~ ~ 1 ~ ICI ~ a° ~i ,, i g a y P a: o nP ~~` of 1 ~ 1 "t 1 _ 20_Publk UtYItY_ _ - I _ - - - _ _ ml Qj u.00'00'1B"W I vj w w us~-}--aue~- w exlatinq dectNC Ilne / , ~ II I q~ _ _ _ -t 1 / , ::. ss 50' UtiI1tY Easement I / _~ -~ -N20~ N20 i -~ ant ~ ~ ~ II~ $ UtN\tY Eoaatn (~_ _ ,c.R€I a w ___ =t- ~ ~ ~ ~'/~-~t ~~--~, Lot 9A-2 1 ~ 1 'C, ~ / ~I ~ 27,720 5.F. ~ `,~I` - _ ti; 1 ~--- -~E ~~------` 246.60, 20' UtNlty E°aementi g ° 129.09' -\~ ~~/~// ~ \\q E~ ~ ~ ~ A?/ I I j Block Two ~~ a~° `• , • • • • • • • m N00'O4'OB"W 26],21' O•_ _ _ .4 5 8. s i I ~___J - o° PLAT APPROVAL -_ ynj JbtA- raem. 7HIS PLAT WAS APPROVED BY THE KENAI PENINSULA BOROUGH PLANNING COMMISSION AT THE MEETNG OF r-~ tpprax. MHW k Flood Iknita 9RM datetl 19 May, 1987 wcwM acwwan a Rnwnuru k~~~ 55i~~.e..v eIM ~~{{yy M ~ (~ :J LI LI LIC~1~~ ° Qc(a111S LI LJ ((~II~L:J~~ 500'00118"W 425.98' ~J 1 1 \ uO V `lL.l"l] I I I evP°'. to CERTIFICATE of OWNERSHIP ~~~n ~~~~n~~~7 ~n ~~ and DEDICATION Iw V I HEREBY CERTIFY THAT WE ARE THE OWNER(S) OF THE REAL PROPERTY NOTARY'S ACKNOWLEDGMENT ~_~~ SHOWN AND DESCRIBED HERECN ANO THAT NE HEREBY ADOPT THIS PLAN T~ OF SUBDIVISION AND BY OUR FREE CONSENT DEDICATE ALL RIGHTS-OF- CI 1 I OF ~SEWARD WAY AND PUBLIC AREAS TO PUBLIC USE AND GRANT ALL EASEMENTS TO THE USE SHOWN. 5~ RIBEp pN0 SWORN BEFORE ME TNIS _ DAY OF ~"" ""~^"""~ p owl 9 ~ JUL 2 2 X09 City of Seward P. 0. Box 187 MY COMMISSION E%PIRES Ssword. Alosko 89084 ~. PLAMNINt, OFFICE RECORDED REC. 01ST. DATE: 20 TIME: _N REWESTED BV: INIECRITY SURVEYS 8195 KENAI SPUR HWY KENAI, ALASKA 99611 Marina Subdivision Coast Guard Replat A raplot of Lot 4A Morino Subd. - Block 2 Replat, Plat No. 98-28 SRD @ pwtlan of the Federal lldeland Located wlthln the NWI/4 of Sec. J, T75. R1 W. S.M., Clty of ySeward, Sewwd Recording DlatrlcA Nenal Peninsula Borough, I~ Bi~Ken Nwy ~en°I, gloekO 996~~ I Exaxa _ po>) 2ea-awT SURVEYORS ssx ___ rmat as.mn PLMINlR3 IWnreWO: pw. oe - 1 scNe t' . ao' 1 W(: ZOOB-d. Pa. 42 Sponsored by: Staff CITY OF SEWARD, ALASKA PLANNING AND ZONING COMMISSION RESOLUTION 2009-16 RESOLUTION 2009-16 OF THE SEWARD PLANNING AND ZONING COMMISSION, RECOMMENDING THE SEWARD CITY COUNCIL AND THE KENAI PENINSULA BOROUGH APPROVAL OF THE PRELIMINARY REPEAT OF LOT 4A, BLOCK 2, MARINA SUBDIVISION, COAST GUARD REPEAT, LOCATED SOUTH OF PORT AVENUE AT APB-ROX3MA~'EL1' 1509 I~-F-,OAT READ, WITHIN ~'HE I-IARBOR COMMERCIAL ZONING DISTRICT WHEREAS, administration hired Integrity Surveys to prepare a preliminary plat of City- owned land Lot 4A, Block 2, Marina Subdivision; and WHEREAS, Integrity Surveys has submitted, on behalf of the City of Seward, the attached replat which subdivides the parcel into 'two lots creating Lots 4A-1 and 4A-2, Block 2, Marina Subdivision, Coat Guard Replat; and WHEREAS, this platting action will create Lot 4A-1 at approximately 3.431 acres and Lot 4A-2, at just over a half an acre or 26,6000 square feet; and WHEREAS, the property is zoned Harbor Commercial (HC) and is currently vacant of any structures and the subdivision meets the minimum lot size and width requirements of the Seward Zoning Code; and WHEREAS, Lot 4A-2 is being created in preparation for the planned relocation of the US Coast Guard Facility; and WHEREAS, prior to fmal approval the plat shall provide utility and access easements for all existing and proposed utilities and accesses; and WHEREAS, no subdivision installation agreement is necessary at this time because the area is currently serviced by municipal roads, water, sewer, electric and other utilities; and WHEREAS, it is the Planning and Zoning Commission's responsibility to act in an advisory capacity to the Seward City Council and the Kenai Peninsula Borough regarding subdivision plat proposals; and WHEREAS, as required by Seward City Code § 16.01.015, Conditions to plat approval, property owners within 300 feet of the requested replat were notified of the proposed subdivision, and the property was posted with a public notice sign. J~ Seward Planning and Zoning Commission Resolution 2009-16 Page 2 of 2 NOW, THEREFORE, BE IT RESOLVED by the Seward Planning and Zoning Commission that: Section 1. The Commission recommends that, in accordance with Seward City Code Section 16.01.015 (B), the City Council approve the submittal of the Lots 4A-1 and 4A-2, Block 2, Marina Subdivision,~oast Guard Replat to the Kenai Peninsula Borough for approval. Section 2. The Commission further recommends Kenai Peninsula Borough approval of the Lots 4A-1 and 4A-2, Block 2, Marina Subdivision, Coast Guard Replat subject to the following conditions: 1. All existing utilities shall be located; and easements provided for all existing and planned utilities and accesses for the entire plat. 2. Correct plat note number 4 to comply with Title 15, Floodplain Development, of the Seward City Code. Section 3. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the Seward Planning and Zoning Commission this 7~' day of July 2009. THE CITY OF SEWARD, ALASKA ~-~r~ ~ ~- Sandie Roach', Chair AYES: Ecklund, Morgan, Roach', Stauffer NOES: None ABSENT: Heinrich ABSTAIN: McClure VACANT: One ATTEST: ~~~ ~~ ean Lewis, CMC City Clerk (City Seal) .••'~t. OF G`~.¢~o • ~ SEAI, • 1w~ ~ Ciry of Seward, Alaska Planning Commission Minutes July 7, 2009 Volume 6, Page 3 4 3 The following items were approved on the Consent Agenda: Resolution 2009-17 Recommending City Council and Kenai Peninsula Borough Approval of the Preliminary Replat of Lots 1-6, Block 8, Original Townsite of Seward, Library Replat, Located Between 229 and 239 Sixth Avenue May 7, 2009 Regular Meeting Minutes and May 19, 2009 Special Meeting Minutes Unfinished Business Items requiring a Public Hearing -None New Business Items requiring a Public Hearing - Resolution 2009-15 (Substitute) Recommending the Kenai Peninsula Borough Approval of the Preliminary Replat of Lots 1 & 2 of USS 241, Clearview Manor, Three Bears Replat, Vacation of Internal Lot Line and Dedicating Approximately 461 Square Feet of Iron Drive Right-Of--Way, Located at 1711 Seward Highway, Within the Auto Commercial Zoning District Terry reviewed Resolution 2009-15 and explained the differences between the original and substitute resolution. She noted the substitute resolution changed the word dedicated to dedicating. She stated the owners of Three Beazs were considering a remodel and they were required to vacate the internal lot lines and were dedicating additional right-of--way of Iron Drive. She explained why this was not on the consent agenda. In response to Ecklund, Terry stated the owners of Three Bears had paid for the survey. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one requested to be heard and the public hearing was closed. Motion (McClure/Stauffer) Approve Resolution 2009-15 Substitute Motion Passed Unanimous Resolution 2009-16 Recommending Seward City Council and the Kenai Peninsula Borough Approval of the Preliminary Replat of Lot 4A Block 2, Marina Subdivision, Coast Guard Replat, Located South of Port Avenue at Approximately 1509 X-Float Road, within the harbor Commercial Zoning District Terry reviewed Resolution 2009-16 and explained Lot 4A-2, Block 2, was being created for the planned relocation of the Coast Guard building. She stated prior to final approval the plat 60 City of Seward, Alaska Planning Commission Minutes July 7, 2009 Volume 6, Page 3 4 4 was to provide access and utility easements for all existing and proposed utilities and accesses. She noted that plat notes were be included, the surveyor was to ask for a variance, to comply with the dedicated Right-of Way access at the Borough Planning level, and she continued to review the plat. She concluded that administration was looking forward to the Coast Guard moving to the new location which would benefit both the Coast Guard and harbors. In response to Roach', Terry explained the utilities and uses currently within the proposed building location. In response to Stauffer, Terry stated she did not have the specifics on what changes would be made to plat note #4. McClure requested to recuse hexself from voting on this resolution in order to vote at the Borough level. Roach' granted her recusal on this issue. In response to Ecklund, Harbor Master Anderson stated due to the deal that was agreed upon between the City and Coast Guard the relocation costs would be split in half between both parties. She noted the Coast Guard did not want to move from their location but since they are on railroad and City property they need to move and further explained why the proposed location was chosen. In further response to Ecklund, Anderson explained that the Coast Guard had requirements on where the on shore facilities must be located in relation to the support vessel and the current Mustang float location would not support the new service demands once the boat is refitted at dry dock. Terry clarified the aerial had a Kenai Peninsula Borough overlay, which skewed the image. In response to Roach', Anderson noted the new Z float was able to support the Mustang and other vessels. Anderson continued the railroad planned to improve the, harbor area through beautification efforts, once the Coast Guard had been relocated. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one else requested to be heard and the public hearing was closed. Motion (Stauffer/Morgan) Approve Resolution 2009-16 Stauffer expressed her approval of the Coast Guard and stated she would vote for this Resolution. Roach' commented that this proposal did not distract from the community but would help enhance it. Motion Passed Unanimous 6 ~. Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-072 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ACCEPTING REIMBURSABLE HISTORIC PRESERVATION TRAVEL GRANT AND APPROPRIATING FUNDS WHEREAS, the State Office of History and Archaeology has reimbursable matching travel grant funds available for Certified Local Governments to attend the Advisory Council on Historic Preservation Section 106 Essentials; and WHEREAS, the conference registration and travel expenses will be reimbursed one hundred percent by the grant because the Commissioners and staff traveling to and attending the conference provides the City's 40% match; and WHEREAS, two members of the Historic Preservation Commission and two staff members have expressed an interest in attending the 2 day Anchorage workshop; and WHEREAS, registration and travel arrangements will be arranged by city staff and participants will submit receipts for reimbursement post workshop and upon submittal of the final grant report; and WHEREAS, the City of Seward will be one hundred percent reimbursed for the appropriated funds through the State Office of Historic Preservation Officer via Historic Preservation Fund Travel Grants Project #08518. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Council hereby accepts the reimbursable Historic Preservation Fund Travel Grant Project #08518 in the amount of $4,734.00, to provide travel expenses and registration for four participants in the Advisory Council on Historic Preservation Section 106 Essentials workshop. 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 10`" day of August 2009. ~~ COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To: City Council Through: Phillip Oates, City Manager From: Patricia Linville, Library Director, and Historic Preservation Liaison Agenda Item: Accepting an Historic Preservation Reimbursable Travel Costs Grant and Appropriating Funds BACKGROUND & JUSTIFICATION: The State Office of History and Archaeology has reimbursable matching travel grant funds available for Certified Local Governments to attend the Advisory Council on Historic Preservation Section 106 Essentials. An application was submitted upon the request of the State of Alaska Historic Preservation Office in early July. The application was reviewed and approved. The grant documents state the conference registration and travel expenses will be reimbursed one hundred percent by the grant and the Commissioners and staff time traveling to and attending the conference will provide the City's required 40% match. Two members of the Historic Preservation Commission and two staff members have scheduled time to attend the two day Anchorage workshop August 18-19, 2009. Registration and travel arrangements will be arranged by city staff and participants will submit receipts for reimbursement post workshop and upon submittal ofthe final grant report. The City of Seward will be one hundred percent reimbursed for the appropriated funds through the State Historic Preservation Officer via Historic Preservation Fund Travel Grants Project #08518. 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. INTENT: Utilize Historic Preservation Fund Travel Grant funds in the amount of $4734.00 to enable two Historic Preservation commissioners and two City staff to attend a two day workshop entitled Advisory Council on Historic Preservation Section 106 Essentials. ATTORNEY REVIEW: N/A FISCAL NOTE: Approved by Finance Department _;~~` ~~-.- .. `«=~~~ =~ ~~%~~ RECOMMENDATION: Council approve Resolution 2009-~ Accepting an Historic Preservation Reimbursable Travel Costs Grant and Appropriating Funds 63 4iA`I~L:ME'~ i' 01~ W1LI.INGI~F.SS TC) CU'4IP1_Y ttr'I'IH RI=:Q[:IKf-,tIl-'.v 1-ti C)I' FEI~FK.AF. GRAT~'T 1?Rt~~GRf'~?41 1. I understand that this is an application f'or fcdcra! matching assistatece frr up to bi°i> (less 10°~~> surchar~ej c?f Ule tr{tal prcajcct cost. chicle is the subject oi'thi application. 2. In submitting this application, I understated that if awarded the t;~lnds it is rm rtsponsibilih° tc~ comply with all program requirement_~ outlined in the "liisturic f'reser~ation Fund Progratel, (;rants for I Iistcmc Preservation in Alasi:a" nlareual, pertinent State and i~e~leral regulatians, and the State`I.ocal agreement. 3. in submitting this application. I understand that prc7jeet records arc subject to audit after project coelapietion, and Heat if such an audit questions expenditures for ti+hich 1 ha~'e been partially reimbursed I thilt return an amount equal to b0°~ iless surcharge} of the questioned expenditures that c{~uld net be ,ubstantiated. d- 1 understand that no gram or prtymisc~ cef a grant exists anti! the Mate Histi>ric Preservation C~t~icer signs the ~~tate,`Lacai A~reenlent e.~eu if the r'tlaska l-Iist~~rieaP C'temmission recommends t,r tellocates fiueds f~~r tm~ project. and that an~~ Bends expended before the grant period or before obtaining the SHPf)'s signature may ni:+t be reimbursed t~•ithcuet specific approval. The SHPt) ~~~ill not sign until aI; required materials and documents are. in hand. t~ _....~.- L ~. - __.. _ C~-,~_ s;,' Slgnatur Authorized Lcscal Govennnlent t7tTicial 1'~tnars Scal ~ubsctibed anti St~~irtTi befilre nle this 1 ~~ ltiutar~ tear the S ate of :- laska '`'1l` ti{)nlnliSSll}IB yy c~ 1. .{ tXi7ireS: ~ - i a ~1~ s/~ l Dot+Q4 ~~ ~ati~ z~f' [-It~Y State.`Lc~cal rtigreement {sun~4..1 64 E'a« HISTORIC PRESERVATION FOND -TRAVEL GRANTS STATE/LOCAL GRANT AGREEMENT Project #08518 f"his grant agreement is between the State of Alaska, by and through the State Historic 'reservation Officer for purposes of the National Historic Preservation Act of 1966. as amended. P.L. 96-515) HEREAFTER, THE STATE, AND, ~trv of aewara HEREAFTER, THE GRANTEE, (Grantee) Box 167, Seward, AK 99664 (Mailing Address [Street or P.O. Box], City, State. Zip Code) le 1. Grant Project Title: Cit} of Sep+ard -"106 Essentials" Trainine Grant le 2. Appendices: Appendices referred to in this agreement and attached to it are considered part of it. le 3. Performance of Services 3.1 Appendix A sets forth the services to be performed by the Grantee. 3.2 Appendix B sets forth the project budget. 3.3 Appendix C sets forth the special conditions of the grant. 3A Appendix D sets forth the financial reports that must be supplied to the State. the payment schedule for the disbursement of funds to the Grantee. and audit requirements. 3S Appendix E -Assurances Non-Construction Programs; Certification Regarding Drug-Free V1'orkplace; Certification Regarding Lobbying; Certification Regarding Debarment, Suspension, Ineligibility and Voluntar} Exclusion-Lower Tier Covered Transactions; any other applicable Federal or State statutes, and the requirements of the National Park Service governing the performance of services under this rant. 'Article 4. Period of Performance: The period of performance of the grant agreement begins July 6. 2009 and ends August 30 X009 e ~. Consideration 5.1 "The estimated total cost of the project is $ _ 4734.00 The Federal share of the project is $ 2840.00 The estimated non-federal share of the project is $ t g9q (~ 5.2 In full consideration of the Grantee's performance under this grant agree- ment, the State shall apply to the National Park Service for sixty percent (60%) of the estimated total cost of the project or sixty percent (60°'0) of the actual total cost of the project, whichever is Icss. in accordance with Appen- dix Band Appendix D of this agreement. 5.3 An administrative surcharge in the amount of 0°% of the total direct costs shall be assessed and retained by the State. ~.4 This grant will be reimbursable in nature, only one billing will be accepted. Payment will be made after the billing has been submitted and approved. 07-`09 HPF State.'I_ocal Atireetnent TraininglTrave! Grants Page I 6~ 5.5 When billing the State, the Grantee shall refer to the State Grant Number and send the billing to mailing address: '. Department of Natural Resources ', i Division of Parks and Outdoor Recreation OfTce of History• and Archaeology 550 West 7th Avenue, Suite 1310 Anchorage, AK 99501-3561 SIGNATURE BLOCKS FOR DNR L'SE O?\ZY' GRANTEE _ __ i - _ _ _. - GRANT TRACKING DATA Name of Fntit Gr d ~ 5~ ' q WD i r-- - __. ...r LOC ', Signature ~~J~ LWA Typed or Printed Name and Title ~.Jq,vgG~ Authority Pl/~tcrP Ogscs cr ©G .SEsJ,~i~~ j ADMDYISTERING AGENCY Source RD Department of Natural Resources Encumbrance No. Division of Parks and Outdoor Recreation ~ Financial Codine O$ice oY'Hismry and Archaeology € -- Vendor No. I Signature ~ ------ __- _ 111 Project Name Typed or Printed Name and Title Purpose of Grant Judith )r. Bittner, State Historic Preservation Officer i NOTARY STATEMENT 'T'his certifies that on the day of X009 ,before me a Notary public in and for the State of Alaska, duly commissioned and sworn, personally ~ appeared , to me known and known to me to be the person li described in and who executed and acknowledged the foregoing instrument on behalf of the The said , after being duh sworn accordine to law, stated to me under oath that he is the for the and that he executed and acknowledged the same freely and voluntarily as the free and voluntary• act and deed of the WITNESS my hand and official seal the day and year in this certiticate first above written. Nrnarv Public in and for the State o1'Alaska Commission expires: 07109 IiPf State:Local Agreement-Training~Travel Crrants Page Z ~. 66 APPE:4DIX A -SCOPE OF WORK Grant Project Name: Cih of Seward. "Section 106 Lssentials'' CLG Training Grant Grant Project Number: 08518 Recipient agrees to: Attendance of staff and HPF Commission members to the `'Section 1(16 Essentials" training held in Anchorage August 18-19, 20(19 and related travel costs. 07'09 HPF State'Local Agreement - Trainire-Traoel Grants Page 3 ~~ APPENDIX B - BUDC,F_T Grant Project Name: Cih of Seward CLG "Section 106 Essentials" Training/Travel Grant Grant Project Number nsc ~ 8 Personal Services" 2, t X4.00 Travel 264.00 Per Diem 336.00 Registration fees 1.980.00 Direct Costs 4.734.00 X 0;% surcharge .00 Total costs 4.734.00 40% Match 1,894.00 60% Federal Share 2,84(1.00 less surcharge Sponsor Payment $ 2,840.00 Local government employees and commission members may use the time spent traveling to and from the conference and the tune actually attending the conference (not off hours) as allowable match. For employees of the CLG, sen ices shall be valued at the employee's regular rate of pay. For committee members, if the committee member is a professional in the field they represent -historian, archaeologist, etc. -they may charge their regular rate of pay up to $8D.37 per hour as match. A member of the commission who is not trained in an applicable Held will be limited to $25 per hour as match. Reimbursement requesu must include supporting documentation for all costs. No cost will be allowed or reimbursed without receipts or other valid suotwrtinE documentation Supporting documentation should be in the form of time sheets, payroll records, or donated time sheets. restaurant, taxi, airline receipts, etc. in no case may an employee or committee member be charged at a rate of mare than $80.37 per hour to the grant. When employee services exceed this rate, only the arnomn up to and including $8037 may be charged to the grant or used as matching expenses. 68 U?'09 HPF State;'Lexal .Agreement 'training- travel Grants Page 4 APPF,NDIX C -SPECIAL CONDITIONS Grant Project tiame: C.in of tiewar i (" •-Se lion 106 = ntial "Traininf~('fravel Cr°nt Grant Project Number: Appendi> U -Financial Reportine Requirements, Payment Schedule and Audit Requirements, Appendix E -Assurances and Certifications are made a pan of this Agreement by reference. 2. In addition to the terms detailed in this Agreement, all Federal requirements governing grants (O~ce of'Nanagement and Budget Circulars A-87 or .A-122, A- 102 or A-110, and A-128) are applicable. 3. This Agreement providrs for the voluntary and involuntary suspension or termination of said Agreement consistent with all Federal requirements governing grants. 69 0709 HPF State-local Agreement - Tmining:Travel Grants Page 5 APPENDIX D -FINANCIAL REPORTING REQUIREMENTS, PAYMENT SCHEDULE AND AUDIT REQUIREMENT Grant Project NamC: Cih' of Seward ('I (} "Section 1D6 Fccentia lc ' Traininglfrauel ('rant Grant Project Number. Section 1: FINANCIAL REPORTING REQUIREMENTS Financial progress shall be monitored by the State. A careful financial accounting of the grant project will be maintained by the participant, copies of which must be submitted to the State Historic Preservation Officer to document reimbursement requests. Section 11: PAYMENT SCHEDULE Payment will be made on a reimbursable basis. 1'he C LG or the traveler must pay all costs initially. Only one billing, submitted by the CLG, will be accepted by OHA. This billing will be accepted after the travel - w~heo all actual costs aze known. Acceptable documeutation must be submitted for all elieible excenses to aualifv for reimbursement, Timeshee[s or payroll records must be submitted to document the value of time paid to a CLG employee for all paid tune claimed as match against this grant. The value of donated time claimed as match must be documented on forms provided by OHA. Other types of required documentation include but are not limited to receipts for mstaurant, taxi, air travel. conference registration, etc. Reimbursement will be made upon receipt of an acceptable financial report that includes documentation for all eligible expenditures. Only one warrant will be issued to reimburse for this grant The warrant will be issued to the CLG. The CLG will be responsible for reimbursing travelers. Billings Nith anoropriate back-un documentation must be received no later than 4/30/09. Receipts or billings submitted after 09!30/09 will not he considered eligible expenses for either match or federal share and will not be reimbursable. Section lII: AUDIT REQUIREMENTS Grantee must make all records relevant to this grant available fer audit Yor a period of [hre~e (3) years after the term of the project. In addition, governmental entities are required to comply with the Sute of Alaska, Single Audit Regulations 2 AAC x5.010 an8 the Federal Single Audit Act of 19A4 P.L. 98-502. 0?'09 HPF S[ate,!I,ocal Agreement - Tr~i ~'Trnvel Grants Yage 6 Sponsored by: Historic Preservation Commission CITY OF SEWARD, ALASKA RESOLUTION 2009-073 A RESOLUTION OF THE SEWARD CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO EXECUTE A GRANT AGREEMENT BETWEEN THE STATE OF ALASKA AND THE CITY OF SEWARD FOR THE PURPOSE OF RECONSTRUCTING AND INSTALLING FOUR HISTORIC PLANTERS IN HOBEN PARK, AND APPROPRIATING FUNDS WHEREAS, The State of Alaska, Department of Natural Resources Office of Historic Preservation has awarded a grant to the City of Seward to reconstruct and install four historic planters in Hoben Park; and WHEREAS, Constructing and installing the planters is included in Phase III of the City of Seward's plan to restore Hoben Park; and WHEREAS, Hoben Park is currently listed on National Register of Historic Places and the Seward Register of Historic Places; and WHEREAS, This project will continue to enhance public awareness of Seward historic properties listed on local, state and national registers and complement the fountain restoration that was completed in 2008; and WHEREAS, the total project cost is estimated at $10,500.00, with a federal share of $6,300.00 and a local match of $4,200.00; and WHEREAS, the City's match for this project will be provided through the in-kind services of the Seward Historic Preservation Commission. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Council authorize the city manager to execute a grant agreement between the State of Alaska and the City of Seward, accepting grant funds in the amount of $6300.00 to grant account no. 810-8100-4680-0100 and contributing $4200.00 as in- kind services to contracted services account no. 810-8100-5390. Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward this 10th day of August, 2009. /~ COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To: City Council Through: Phillip Oates, City Manager~~ From: Patricia Linville, Library Director Historical Preservation Liaison Agenda Item: Authorizing the City Manger to Execute a Grant Agreement Between the State of Alaska and the City of Seward For the Purpose of Reconstructing and Installing Four Historical Planters in Hoben Park. BACKGROUND & JUSTIFICATION: The State of Alaska, Department of Natural Resources Office of Historic Preservation has awarded a grant to the City of Seward to reconstruct and install four historic planters in Hoben Park. Constructing and installing the planters is included in Phase III of the City of Seward's plan to restore Hoben Park. The park is currently listed on National Register of Historic Places and the Seward Register of Historic Places. This project will enhance public awareness of Seward historic properties listed on local, state and national registers and complement fountain restoration completed in 2008. Additionally it will increase public appreciation of the benefits of placing properties on these registers. The total project cost is estimated to be $10,500.00 with agrant-share of $6300.00 and a local match of $4200.00. The local portion will be matched by the in-kind services of the Historic Preservation commissioners. All work must comply with The Secretary of the Interior's Standards for the Treatment of Historic Properties, 1995. This grant also includes the following timeline: July, October, January, Submit to the Office of History and Archaeology (OHA) quarterly and Apri12009 progress reports addressing project activities during the preceding three months, referencin items in this Sco e of Work. September 2009 Prepare design plans for 4 planters and submit to Seward Historic Preservation Commission for review, comment and approval. The design standards must follow The Secretary of the Interior's Standards or the Treatment of Historic Pro erties, 1995. ~~ October 2009 1. Consider review comments and revise design plans as needed. 2. Complete Section 106 review process. The submission must identify the type of treatment and treatment standards to be met and include the draft design for the planters. November 2009 Prepare request for proposals, advertise, and select a contractor(s) to manufacture the lanters. July 2010 Install the planters at Hoben Park. September 30, 2010 Submit final products to OHA: 1. Three copies of a narrative project report that describes activities (who, what, where, when, why) done with the grant funds. The report must detail how the work met The Secretary of the Interior's Standards for the Treatment of Historic Properties, 1995. The report must include photographs of the park and installed planters. It also must include the date of the Seward Historic Preservation Commission site visit. 2. Minutes of the Seward Historic Preservation Commission meeting(s) showing its awareness and participation in the project, 3. Final billin . 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. FISCAL NOTE: The total cost of the project is $10,500.00. The Federal share ofthe project is $6300.00; the local share is $4200.00. This local share will be provided by in- d services of the individual citizens who serve on the Historic Preservation Commission. Approved by Finance Department: ~`T"~ ~~ ~~/~D9 RECOMMENDATION: Council approve Resolution 2009-~ jauthorizing the City Manager to execute a grant agreement between the State of Alaska and the City of Seward, accepting grant funds in the amount of $6300.00 and contributing $4200.00 as in-kind services to the Project, No. $10 -g/QQ- XxXX . '~ 3 ~t~hen 'ark I~BHS 65, ~! .E ,/ l DEPARTMENT OF NATURAL RESOCiRC:E~~ Df 17.57[). ~ {fF PARRS 9.~ n OL TL>()OR RE'CRT. F TfL> 1 June 9:2009 Re: 09511 -~ Hoben Park Restoration PH ll! -Planters FY'09 Historic Presentation Fund Grant Program Patty Linville, Library Director City of Seward PO Box 167 Seward, Alaska 99664 dear Ms. Linville: S.~tIL1 H P,~LIrti', Governvr CSON.~° a~~t~~IF~AI rlt. i3tp) 4 ~C-ffUF.4GE,.4L4SA4 94Sf11-3{!1 f*H11.~'F~ t9p~"~ wb9~P(X9 fF4.ai ~40?11G9gi~M? Enclosed are two (2~ copies of the StatelLocal Agreement for the referenced Historic Preservation Fund (HPF) grant project. Provided you find the agreement acceptable as written, both copies should be signed, notarized and rstumed to our office. Appendix E of the agreement contains a number of certification forms. Be sure these forms are signed.. dated and returned as well. Upon full execution.. a copy of the agreement will be returned to you for your file. INe would like to take this opportunity to thank you for your interest in and support of the Historic Preservation Fund grant program- Ef you have any guesiions regarding this letter or the agreement, feel free to contact me at (907p269-8694 or a-mail at ca rote 9ravCdtalaska.gov. Sincerely. .~- - - ~~ -~ c_ _ _. ~~ Carl~i~tyfGray Grants Administrator it Enclosures i' J HISTORIC PRFSERt~'ATION FL1?ti~D STATEILOC'AL GExANT .4GREEMEVT Project # 09511 3 his grant agreement is txttivicert the Steatc of A]saska, by rand thrciul?h the State Hist~~ric Presen~ation t~fficer for purposes of the National fiistorie Preservation ,pct of iPbfi, as amended- (P L 9h-535) F~ER{vAFTFR, THE STATE, A's'1-), i~ ~~e±±arcl EIN: 92-6(it30086 HEREAFTER I-3iE t~RAtiTLE, PO P~Cr!C lFJ~, SeN'drd AIC 9r)6~-11167 Rttt;iu5g .4adre5i lSlrrrl r?r P{; f~n~j Cih. t ate:_Zi{ lc.rlei Article 1. Grant Prrsject Title: I i~~bett Park Retit~rad+~n. PH ILI -Planters Article ~. Appendices: :'vppendices referred to in this agreement acrd attached try it are considered patrt of it. ,Article ~. Perfcsrntance of Services 3.1 Appendix .A sets forth the timeline of services itr I?c performed b} the Gratnee 3.? :'appendix B sets forth the project budget. l ~.3 Appendix C sets fi~tth the project progress and firta] reports ~+~hich must be supplied to ate State, acrd special ct~nditions of the grant. 3.~ Appendix D sets frrYh the financial reports that must be supplied to iht State. the pa} meet schedule for the disbursement of funds try the Grantee. and audit requirements. '•5 APFendix E sets forth required amendment procedures. 3.6 Appendix F _ .Assttrartces Nun-Construction Programs or Assrsranees C°c7nstructiCrn Prc~~rrams tas dtsp3icable); DI-ww71 f3 C_'ertitications 3tegarding I3ebarment. Suspensican and Other Resparnsibitity Matzen, I?mg-Free Wari;piace Requirements and I_ohb}'ing; Statement of Willingness to tc~rnp(s: and art} offset appfic~ble Federal nr State statutes, and the requirements oft}ae National Park ~ See ice govern the performance taf services ender iltis grant.. 3.7 Appendix (~ - prc~~ject proposal as submitted by the Grantee is made a part of this agreement bti this reference. r'lrticle 4. Period of Petfdrrnance: l-he period of performance r,fthe grant agreement hegans and t}~?I'+0.10 There can be no e[tensit-ns of time. \rticle 5 t'onsideratic~n j ~, l The estimated tout! cu~st of the project is $ ttl_`~0li tlfl . _. __ I~lae Federal share of the prL,jett is S fa„.>{)it,00 Tltc esti€rtated non-fec9eral shstre iaf the project is S 5 r; I + UAi 5 2 In ill consideration of the Grantee`s pcrfcrrrnancc under this grant agree ntent, the State. shall apply tc~ the Natirmal Park Seri icy t~?r sixty percent (E~0`~.'u 3 ctf the estimated iota! cost ~~f the project {rr sixtti percent 4Gtr"~) t,f the actual total cost cif ttie prorit~a, v~ 1ticFterer is less. in acec}rdartcc ~~ i€h !lppendi:v B ~ntd :~~ppend%x L) e_''f this agreement. -_t Att administrative surcharge in the am+~utat isf'r ";~, <,£ the tot ~@ direct ctpsts sha11 be assessed and retained >~v the State. 5.~1 ~Iwent}~ percent (ys?' i~ ~ of il;e rural pd}~ment to irrantre ticill be t+~ithheld tmtil final products and c. ~~mpletion reports hav~c horn sr_rbntitted rind apprt'>recl. Oa 09 HFt~ St.ne 1. c+ a[ ;3~~>recnter-~r rsurvc~ `„ Poe, 1. V - -- 5.~ tti~hen billing the State, dte Grantee shall refer t~~ the State Crrant dumber and send the billing tct mailing adtfress~ Department of'vatural Resources Division i!f Parks and Chxtdcaor Recreation (~f~ce Uf Histon~ and rlrcdtaei~lirgy ;~U 14'est 7th Avenue..~uite 131~J ,a,tichc~rage. AK 9950 [ -3161 SIGtiATtiRlg F31,OC'KS ~ Ft)R DNR tSF ONLY G R,A:YT>t E Nance of Fntit} ---------_ --- _- ---- Signet ,., ,rte'" ~ ~`~~t~.. ~G~ a~_ --- --- -- - J~yped ar Printed Name and Title t'~)rt_1 t.L-t~ t=.. C?gtt ~..-C..tT`1 1~+~t'-~tti1lA C~~. ~ AI}MiN1STERlNG AGEN['Y ____e._ _ Department of Natural Resources ' Division of Parks and Outdoor Recreation ~~ Office of I3is[tsry aaac~ Atchaeo~}~ - _ _ Signature I Typed or Printed Narrte and Title Judith E. Butner, State Jiisti}ric Preser~atian Officer .,.~~ --~. GR4NT TRAC~li1NG DATA _ __ Asti D __ t,c s~~ __ ___ __ LJL~"A i; RT Auth~~ritc Source RD Eneuntbr€trtce No. Financial 't~dine Vendcsr No, - -- Prc~jcct Narate Purpc„e uffsrant NOTARY 3TATE?4'[EN"F y't -~-r^ Tttis Certifies diet on the _j_~=__ da4~ of_~4,!_ti,!_L;_- --_~., ~Clt~~g. htfc~re nee ~x `kc~tar~ public in and tetr~ the State of .4las~:a_ daxlti c~~xnmissioned snd ,ti+~trm, persr~nallti I _ 'appeared ~~~ ~1 ~~' ~ (`)~~.~_, ti> me kn<~ann anal ktu~~+n to nee icy be tfte hersr;r dc~crit~d in and whr~ tMxe4utd and ackxtcrtviedgcd the fc,~rcgc~ing instrurttent nn bzhalfoE tlro~ ~ `~ "` "`~-,-Q.~- ~-~ +'~d~/~_._ The said ~~~-- ..after iDttxiL ciul~ 1 _s su,rtt acez~rding tci la+~, stat„ed',t~t~ m~e under {:ksth ghat he is idte_:~--~~_t~~,,y{~~-¢+~_ for the 4.r-_ ~~ ~j~~+±-~c1 __ and Ehat he etiecutcd ;and ttckta~,~~.leci~.td tltu :>am~ - ,- - freeli and ~c~)unt:rriiy iss dte fre.c axed ~ c,luntan at and deed ~~Y the s.~~"i. ^~.~~<~ 4L1I~ ASS ttrti~t;a~d and,c~fla~t~rt,~al the do} and Eesu in this c`~`~~~~~~~~tritt~n ,.~ ` ~- ~- lvotaEl Pu lip in an for cite ~ tr isFAlaska _~ Contnaisi;~n xx ices: ~ ,; ~ ~'~ ~~ '~ '~?~ O- F1 '~M*\ G`t'~g fPFI' Su32e7,c~cai A~reexnent ~',at~ f,,; , x,_ ~ ~, ~ it Scope of tiVork: Grant Project ?tame: Hohen Park Restoration Phass: III: Planters Grant Project Number. 09~ l 1 Grant Period: lone 15.2009-September 3(1. ?O14 E'edtira share: fi _i00.0{~ Recipient as;z~ees to reconstruct ic~tu historic concrete planters and install them in Hvben Park. Ail 44ark must a~mpl~ v.ith the Secretar)~ of the Interior's 5'tQn~furris r<~r thc~ 7`reatment rJJ Hi,rtr}ric Prcrnerti~s, 19'9 {httR.'it4'1d'L4 nps ~as'hivtnr} ~hps''tpsrstand~uidc.'index,htr~~. July. Oct, 1an..~'kpril. July Submit to the Office of liistor}' and Archaeology i.(7HA) quarterl} progress reports addressing project activities dtuing the preceding three months, referencing items in this Scrape of VBork. Sept 20U~1 Prepare desi~*n plans for 4 planters and 5uhmit tea Seward Historic Presen~alion Commission and the OHA for revies+. comment, and approval, "The design standards roust t'c~lloi• The .Sei•retart nJ the Interior' s .Statrtfarcls /or the Treatmc rrt of lfrstvrzc Prrarrerlits, 199? Oct 2t)f)'~ Consider res iew comments and revise design plans a_s nc3eded. Complete Section l (X reviei process. Tll submission talust identify the ty~pc of treatnent and treatment standards to be met and include the draft design ft~r the planters. T~iov 2(1(19 Prepare request for prop~~sals, advertise. and select a contractortsj to manuf'acturc the planters. July 2pltJ Install the Ranters at Haben Park. Arrange a site visit to the park for the Scv~ard Historic Prescnatiian Contrnission. September ±i), ~'O k 0 5uhmit anal products to ()HA: I1 ?copies of`a narrative project report that describes activities (~vho. that, inhere, when. uin }done ~+ith the grant funds. 1`Ile reExart roust detail hot the fork nlct TIae.Sec°rrtarl u,i r)te hur~rlvr's,Slanclartle for thc~ 7rt•crtmr?ast cif H+~tcarrc~ 1'r-t+,raer-ries, 199?. ~Che report ntutit include photogTttplls of the park and installed planters. Ct alrEl must include the date of the Seward Historic Pre5er4"atH~tl ~~+.~nd.lnis3ion SitC visit. '_) minutes of`the Sew~alyd }listoric Pres~rs,~atic*n Cc>rnmfssion 1Tleetltl~(SJ S110itRk' Ili a4~3reneS~ acid partiClpatii)n to the project, arld ~) final billing- ~~'~`t H FP SE:~te`L.~ca~ .A~reelnel*t i,s~n~i~ i p~~~ i ~~ .~PPE'~TUIX B - BL~GET Brant Prtiiject Name: I~r~h~n Park Restoration P'lt~s~ III_ Plantet-s tJrant i'r~ject \urnber: OUST CA7 F.Cif)RI~ S: P~rsisttal Sen ices* 0.00 I'ra~•el'Per 1_jie~m D.00 ~Raterialsr`SuPFtlies 00 C'oncraetual 9$13.00 Uther l7irect Costs ~~~ 9$13.00 rk 7%'~ State admin sarrrharge 6$7.00 Total Pr~iject Costs 1050D.00 ~()°~i~ grantee i1~4atch 4200.OD fit>°~~ Federal share 6300.00 icss surcharge {887_DOj !v'lazimum ttrantee Payment 5613.00 * Services small he ~~aiued a~t ttie emplcry~e-c's regular rate ~,f pay prtas~ided these sero~ices are fcir fire carne skill for ~shich the employee is ru~rmall} paid. If rile sers~rces arc rtt~t for the carne skil I fcat~ v+hit:h die c nPit7yec iti rtortnally paid the Pcrson rtiu$t he iirofessiraraa8ly skiilcd iaa the ss~iiri, bein~~ Perliirmed. 4'r'hen this is the case. the ~as~e rate €.xsed sa~i81 Fre c«nsisterst ~+rth trt~.r>~ Paid S:~r ,imiEar sv~r-k iri the labor sn:r¢~t.et in ~,chich tlse ~rarstee wr*+.iPete- E ;t s ~slunteer Per#i~r`ms sere ices outside kris Pmtessiott ur trade. ~ c: lurstecr tirnc r tt;st f,e E aluerf ;t the t=edera] rramimurts tic ~e rate unJe+; x higher rate ~cui bcr docu:7teratcrf ,r, a}iplscable atsd i, al~iieo~ed tsti tits SFiP(l. !n €ra ease ntav an 4tnPli~ t;~ car asrsuEtant serti i~e5 }sc tloarged iat €t r~~te ~_f €n€?rc tl;arr $88.1i- Eie€ ~{7ur fu tale gCatli. it @Snpi~~+~"~2 Or COtltlhant sera Szes eY4.f[€~ thFS rate, ~7r7f1 fife at3inut,t ttP Sts land irtcludirig 'nk$ a tt ma~. hC chrrrgecl to the iiPr arattt .}r ec~ as rtit~hiet~> ~•+,lS~risr ru~'r~~? HFP'~tatc t:rscal A-^r:'in3era't isur,~ec; f`a~~ ~ 19 .~PPE1'ili:Y C -SPECIAL C()!~~tTlUi\S Grant Pro{et Name: Ruben Karl: Restoration ~'ha~se 11 t: Planters Grant Project Numher: t:~uarterh~ progress rerport~ detailing project actis~ih~ to date Nili be due rrn ur heic+re October 31, 2t}~~J, Januan 31, 2t)1d. April 39.2(lif?, and Jule ~1. ?nl t) or until a final narratise project report, financial reports. and final products a; identified in ,~.~trendix A - $cr~ of Work are srsbmined tcs and accepted by the State Historic Presenation CJfficer, 7`he final narrative report is distinct fn~m ttte tinal products It details the_methudc,log}. aC[i_r ides and tirneftne o~;er tlie_lif~ cri_the rg ant See Appendix )]. ?. Alt project products must comply s+~ith the Secrete afthe Intcri~~r~s "Standards and Guidelines for 1-Iiston~ and Areha~olo~" The final prtx#rxcts must detail hr3.~ the r~~ork eixnplied. ~. All public-ations using infanttatic+n gathered under this ,grant must acknossiedge support by the National Park Screicc and the Alaska 17ivisicm of Parks and C)tttdoor Recreation, Office of history and Archaeoloyry~ in the following rnanncs•: the research fro this publication has been financed in part ssit}r Federal funds front the National Park Service, Department of the irrterir,r, and through the assistance of the C?ffice e~f }~isutn~ and Archaat>logti~_ C)epartnttnt of Natural Resi}urces. Hrs#eser, the contents and opinions expressed do not necessarily retied the views ar policies of the 17cparttnent of the Interior or the Tepartment at Natural Itesonrces. nor does the mention of trade names or commercial products constitute cndc,rsrtnent ~;~r rec~~rnmendation by dte C)eparnatent:af th€ Interior or the llcpatrtment c~F N atu ra 1 Resources. =i. ?appendix D s Reprsrtirtg Requirements. Payment Schtdult and :1r3clit Requirements. Appendix E - .Arnendmcnt Proacdures, .Appendix F - Assuranczs and Certifications, and Appendix G -- Project Proposal as submitted by Grantee are made a part ~~f this .Agreement bti reference, 5, lrt addition to the teizns detailed in this Subgrant Agre~emenF, alE Federal requirements gover~ting grants f t~ffice of h9anagement and )3udgrt l:ir4ular~ ;x,-$" car A-1~2..A- I l? Gar ~,~ 7 10, anti A-!<$"! are appli~abie. ti. I his Subgrrutt Agreentrrx pros-ides for the volunkan and intitrluntan ~r~spcnaiun ~3r tcrtTtirlation trf said ;'lgreeoncnt c~:~n+istent s+'ith all l='ederal requireasent, ~•:c~srrn;eie grants. tJ4'r99 HFP State l_ocaf Agree:m~nt (strrvc~, i F'as~e w ~~ APPEtipI.~ ll - E'l.'Y~t?VC:L~L REPC)RTL`v'G REQt-IREi41I:N'IS, PAYh1Tl\T tiC11FDt'LE AND AL'DfT C2E;t7t'LtZE'-7EtiT t,rani Project Name; 1~otaen Park Resicrration. Phase ttt: Planters e.~ Crrat7t Project Number; (1451 1 -- __ 5etaicia L F6NA':^JCaAt~ f2EPt7(Z~hINC~ kid:(~U1Rfc'tifE'v"3'S )"inattciai prt3gress shall he monitored br the State. Prrje~t billings sia}~ he submitted as often a, quarterly, Each biUin~ request must tx acc~rmpanied h~ a narratie e progress report t<~r the corresponding peritxi. A c-areful tinan+;iai accounting of the grant project evil] be manttained by the Gr~ttee, ct+pies of 4+hich must be submitted to the State Historie Presenation {)fFicer to dcrcutt7ent minjhursen~en! requests. Failure b}~ the Grantee to provide adequate financial repnris or required dircun;entatitrn rs il1 provide cause f{~r a ithhtrlding reimbursement. r'lppendia E3 of this agreement lists eligible ~~ork items fi3r the pre~ject. Use this itemization as a basis (ter reporting. "hhe i~licntiing items must Ite included with all requests far re:mbursemeat A. ,A signed. ctrmplet>td Summ~_of t7c~curnentalinn rs~ith titUa~hed source dc*cumentatiun f;~r -- t'eder~31 _attd_r>o_n-feder<il_cnsts mint he submitted to request cost reimbursement attd to dc~cumettt matching share. Source documeutatiou co~sicts of psrid bibs, pa~~rolts. invoices with canceled check copies, receipts of payment b;r• veudorlconiraetor, donated sen~ice documentation forms signed by person donating and a supervisor. equipment use forme, etc.. [3. V4'here required,justificatiun far charges should ac~:artapan} the iraroice. Fc~r esatnple. 13a>.mertt of salaries should be supported b} tame sheets and justrt'icatiort t~f rate <>f pad. Rental cquiPtnent trust be supported hti time err use statements with apprsti~sai letter. 1'~~hcr~ rr°ork fists been dorm tinder +:otatract_ irtefude a 4opti~ ~t-the contract r~oith statcmet~t tote choie ~rsf eontractcu and tee fur c:onsuharti sen'icc. Section !1: t'Ay"eft tiT St'itri~t."l E PayrttCnt requests rr~itl be gene+~ted by thti State Historic i'resrnation Old'sce rm a quanerlt hosts do that federal bi[tittg deadlines mas~ be rnet, reimbursrauent requests tram ih~e grantee most reach this at~ice by .luly 3 t , [)ctober 31. January 3 L and ;~pri1 ~U_ Please cote -- no hilliuga under ~l,t?Di1. RtiJrrburu ntertt ~vil1 be forwarded to the grantee ttppraxintatcly tftirtr I ~Oy daZ t'olt;trrist the quat~terly deadline dates. (~arterly na~~ments ±yil[ nt3t be made €f ae;ce~~tahle naet3ti~regtra~rc,;, rc~jx~rYs arc neat recci+, cd ft~r tits c~t~ercayc+ncf gf1~ ~sritrd. (5~~~ .=>4 pf,~ nd rr; I ). Sera ion 11 Payments are made on a eo~~;t reimhJrrsement i><vSi>_ Ttirettty~ per~cnt (~~ty of flee Ic;ita isar.tnrrat r~.? C~r~rtc-e r~~iPl he rr~ithi~eld a; a retainer until c-untple#ir_ut ofthe prr~y~~t and ;rterptanGe «f the fn~l protect doct.unenlation b~~ the Skate Hrcicrr:c Pecser~~atiota t)1licer Final reimbtrsement ~~,s~ili b~ trade apott receipt cif acceptable final prt~ducis. acceptahle pertbrtnancc need c~.)nti~lctit~rt re~ni°~s. ftrt3ttcial rep:,rts, expenditure docutriet7tatic}a~~. plies :and rp«aal ;E •~,1iti~,rt. ,,`the :?r;iart 7~he Uffice of fliston aril Archaeology must be notified at feast three t3j months prior to the project camplction date should the grantee anticipate any unexpended fund.. OdZ)~i HF~t' Statc.Local r~greetrrent r's;lrre~J Fa~y~ f; s Secti~nt lll: 1-INAL ~i~aRR.~rtv>/ 17a~~,ricr fzr-l~ol~ r ~rhe final narrati~~e project report is regtured as part ut~the gratet elc~sur~ documents. L'se the following forrrtat: I) Fr+aject Litl~inan~e ') Grant number 3 j ',National Register prapert;; nanae.'adaress iif applicahlc) ~j Detail the Gvark (hy.~hc±nt. «hen, i~hat) acci~tt,fslishec~ with the gr;int. A!l items it; AI?Y)r1NDIX A - Sccipe of ~T+'ork must be discussed. 5} Describe hua~ pr«ject ~ti~c~rk: complied ~~~th the `+eeretan~ afthe later€r~r's "Standar(Is and C;uidelines fnr Iiiston' and Archaeologt ~ . 6~7 Describe hc~w The local Iutitctrie pns~r`vah~sn ~umm;ssian was kept ati~-~;sed of the arc>ject~ ?) Describe differences heirveen planned and actual major.a irk items and esplain. $) Provide dates, list of participants and minutes of alt public meeun~s. ~) Provide an} ether drata required b} special canditinns ur instructions ~appt;cable to this grant. Seotic~n IV' Alilll"f R~C~UIR~,MEItiTS Grantee must male all rer~~rds re}et~a»t to this grant available for audit f«r a period «f three 1 ~~ }'tsars after the term ot'the project. hi addition, gcwernmcnt.ti entities are required to rornpf~ «ith tl7e Stile d4f Alaska, Single Audit Regulatic~rts s AAG ~ti.(1:Ct and the €ederal Single Audit Act tsf l °$~ P.L 98-5C~2. rtaa79 I-i1=P State:Lat31 ~'t~rBeR~r~~t i~.:ar:c~: i P ire t. :~FPE!YDIX E - AAfErD'~fE:tiT PR~EDC"RES (;rant Project Name: IIolaen Park Restnraticrn. Phase Ill: Planters Grant Project'tiumber: {~'~51 ~ Any modification of t3te project work, budget or time ~riod, problems or adverse conditions must intntediatel} be brought to thr attention of the State Historic Preservation C)~cer, in H riling. It may bt necrss.an' tat receive prior National Park Service approval before the changes may take place. The Office of History and Arehaealog_v will notify the grant recipient io writing when the approval has been obtained in the form of an amendment to the grant award, Failure to obtain such approval pricer to implementat-on of changes wif! jeopardize reimbursement. {3-t;'~9 HFF' ~tste Loyal A~^rc~mrnt I~.ui~e~ l P~m~ ~T ~3 Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-074 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ACCEPTING AN ALASKA STATE LIBRARY FY2010 INTERLIBRARY COOPERATION FOLLETT UPGRADE TO DESTINY GRANT AGREEMENT FOR $4300 FOR THE PURPOSE OF UPGRADING THE SEWARD COMMUNITY LIBRARY CATALOG SOFTWARE WHEREAS, Seward Community Library was awarded the Alaska State Library FY2010 Interlibrary Cooperation Follett to Destiny Grant in the amount of $4300; and WHEREAS, the current library catalog and equipment was purchased and installed in 2000; and WHEREAS, the funds will be used to upgrade the library catalog software program of the library; and WHEREAS, scanners (hardware) required for the upgrade will be purchased through the library equipment budget 101-1500-5640 for $1200; and WHEREAS, Follett/Destiny software will allow more options to patrons and staff when searching library collections. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Manager is authorized to accept the Alaska State Library FY2010 Interlibrary Cooperation Follett Upgrade to Destiny Grant, and enter into a grant agreement. Section 2. Funding in the amount of $4300 is hereby accepted to the City of Seward grant revenues account 101-0-4680-0200. Section 3. This resolution to take effect immediately. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of August, 2009. ~~ COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To City Council Through: Phillip Oates, City Manager~~D From: Patricia Linville, Library Director Agenda Item: Accepting an Alaska State Library FY2010 Interlibrary Cooperation Follett to Destiny Grant in the amount $4300.00. BACKGROUND & JUSTIFICATION: The Seward Community Library has been awarded an Alaska State Library FY2010 Interlibrary Cooperation Follett to Destiny Grant in the amount $4300.00. This grant will be used to purchase new equipment for, and make upgrades to the existing Seward Community Library catalog system. The current library catalog and equipment was purchased and installed in 2000. Though staff has regularly installed updates to the Follett/Destiny Program the newer version offers options for patron interactivity both in the library and at remote locations. The software also enables more efficient use and reporting options for library staff. Seward Community Library has committed $1200.00 to purchase the hardware necessary for the Follett/Destiny Program software upgrades. This hardware will be purchased with funds allocated in the library equipment budget. 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. INTENT: Utilize grant funds received from the State of Alaska Interlibrary Cooperation Grant program to upgrade library catalog software. ATTORNEY REVIEW: N/A FISCAL NOTE: Approved by Finance Department :~~ .. /r~.,~~~„:~~~~. RECOMMENDATION: Council approve Resolution 2009-~_ Accepting an Alaska State Library FY2010 Interlibrary Cooperation Grant Agreement. ~~ March 24, 2009 Ms. Patricia Linville Instructional Media Svcs Dir SEWARD CMTY LIBRARY Customer # 6510145 PO BOX 2389 SEWARD AK 99664 (907) 224-4008 A l i n vi I l e Cad ci tyofsewa rd .net DestinyTM Library Manager Budgetary Estimate Thank you for your interest in Follett Software Company and our education resource management solutions. We are pleased to present SEWARD CMTY LIBRARY with a cost estimate for budgetary purposes only. At the time you are ready to make a purchase, contact me to receive a firm price quote. Pricing is subject to change by Follett Software Company. Shipping and handling charges and sales tax, if applicable, are not reflected in this estimate. DestinyT"' Resource Management Solution Summary DestinyTM Resource Management Solution Summary $6,809.00 Software License: • Library Manager for 1 location $4,300.00 • Online Documentation and Help • Online access to over 8 million MARC records and 239.50 server and client • Data conversion Utility • Implementation Services: • Project Management: includes a central point of contact during the implementation of the Destiny Resource Management Solution. • Centralized System Integration: includes installation and configuration of Destiny Resource Management software and initial data load. • Technology Training: includes Destiny Resource Management technology training for up to five district technology staff members. • District Training: includes instructor-led web-based training focused on district functionality of the Destiny Resource Management Solution. Up to ten district staff members can login. • Fundamentals Training: instructor-led web-based training focused on end-user functionality. Curriculum is customized during project planning. Up to twenty staff members can login. • TitlePeek for 1 locations $200.00 • 2 3820 Cordless Scanner for 1 location $1,198.00 3 year warranty • 2 Extended Maintenance Agreement for 3820 Cordless Scanner $198.00 ($99.00 per each scanner • FOLLETT INFIGO RECEIPT PRINTER KIT for 1 locations $499.00 1 year warranty • 1 Box Thermal Paper (50 rolls) $149.00 • Extended Maintenance Agreement for FOLLETT INFIGO PRINTER $265.00 estimated -the EMA has not been finalized yet Follett Software Company Confidential -prices are subject to change ~~ Annual Licensing and Maintenance Costs After Year One"` (starts in Year Two) • Annual licensing Destiny Library Manager includes $829.00 • Product updates • Online access to MARC records • District Technical Support includes: • Toll free telephone technical support for Follett Trained resources • 24/7 Access to online knowledge base • Unlimited email support • Access to recorded eLearning Web-based training • Annual licensing TitlePeek $200.00 Follett Software Company Confidential -prices are subject to change TitlePeekT'" Subscription $200.00 (1 year subscription service) TitlePeek enhances the patron searching experience by providing content enrichment services to titles in the library collection. Content includes cover photos, title profiles, table of contents, brief summaries, author notes, first chapter or excerpts, and published reviews. 3820 Cordless Scanner The 3820 Cordless Scanner is the perfect scannerfor your circulation stations. The cordless device clears up desk and counter space while delivering the reliable performance you've come to expect from Follett Software scanners. Plus, Bluetooth technology allows for extended mobility so you aren't limited by cords. Regards, Connie Hansen Inside Sales Representative Follett Software Company 1391 Corporate Drive McHenry, IL 60050 800-323-3397 Ext 7481 Fax815-578-5481 chansenna,fsc. follett. com Gi Detail of Costs Associated with the Seward Community Library Follett Upgrade to Destiny Library Management Solutions Proposal Division of estimated costs Item Estimated Total Cost Interlibrary Seward Community Cooperation Grant Library Library Manager Software $4300.00 $4300 0 Cordless Scanners $1,198.00 $1198. TitlePeek $200.00 0 $200.00 2 Extended Maintenance $198.00 0 $198. Agreement for 3820 Cordless Scanner $198.00 ($99.00 per each scanner) FOLLETT INFIGO RECEIPT $499.00 0 $499. PRINTER KlTfor 1 locations 1 year warranty 1 Box Thermal Paper (50 rolls) $149.00 0 $149. $6,544.00 $4300.00 $2244.00 C7 Grant Proposal Narrative Seward Community Library Follett Upgrade to Destiny Library Management Solutions We are frequently asked simple questions such as: "Do you know what children's book has been the most popular in the last year?" A seemingly simple question that has a simple answer? Not so with our current LIS. To answer this and many other questions library staff must "extract" data from our system, copy it into EXCEL and manipulate it until the answer becomes evident. Not a simple task for anyone and especially time consuming and inefficient for those seeking simple answers. In 2000, when Seward Community Library automated its collection, library staff were thrilled to experience the ease of cataloging, maintaining patron records and the ability to search our collection quickly. As we began to understand what was possible in the world of automation, the limited abilities of Circ Plus and Catalog Plus became apparent. Being resourceful librarians we attempted "work arounds" within the system to try to accomplish what we felt should be possible. Currently, we have multiple EXCEL files to complement our LIS. For example we have a New Request List containing patron requests for the library to order. Our cataloger must search for and download MARC records individually for most new acquisitions. Each of these processes require copy, paste and manipulating multiple databases. Our goal is to upgrade to a more useful ILS that integrates our cataloging procedures, patron request lists, vendors and order lists. We have reviewed and priced other public library specific management software. All are too expensive for our small library. Destiny Library Manager by Follett is affordable, will address our current needs and enhance our patrons experience in the library and at home. Seward Community Library has been providing library service to the community since 1930. Our building was a grocery store/butcher shop until 1961 when the community renovated it into a library. The library has been a department of the City of Seward since 1989 and has received the Public Library Assistance continuously. Library personnel will work with Follett Software representatives to assess our current catalog, patron use, library staff needs and schedules to design and implement a plan for the upgrade to Destiny. The City of Seward Management Information Systems technicians are familiar with Follett technical support personnel, feel the company is reputable and support the library staff in their efforts to migrate to a more responsive software system. As we are already automated utilizing a Follett product, this process should be a smooth transition. We have developed a timeline for the project below: ^ July 2009-Submit Technical Checklist to Follett representative, develop timeline to implement migration ^ Early August 2009-Migrate catalog to Destiny Library Manager and do an internal test run ^ Late August 2009-Staff training ^ September 2009-Go live with the software ^ June 2010-submit final report to Alaska State Library utilizing software statistics The Library Manager Software will replace our Circulation Plus and Catalog Plus software system. The new software includes staff enhancement s that will streamline the library's procurement procedures. TitlePeek will give patrons the ability to view title covers as they search the catalog. Patrons will also be able to request titles and write reviews using the new software. Funds have been requested to purchase the software and two cordless scanners. These are one-time costs. The library is committed to purchasing the receipt printer, printer supplies and the scanner maintenance agreement. We will also purchase the first year of TitlePeek subscription. The subscription, maintenance agreement and supplies 89 Grant Proposal Narrative Seward Community Library Follett Upgrade to Destiny Library Management Solutions are recurring annual costs that can be accounted for in the annual library budget. A table of estimated costs is below. Detail of Costs Associated with the Seward Community Library Follett Upgrade to Destiny Library Management Solutions Pro osal Division of estimated costs Item Estimated Total Cost Interlibrary Seward Cooperation Grant Community Librar Library Manager $4300.00 $4300 0 Software Cordless Scanners $1,198.00 0 1198.00 TitlePeek $200.00 0 200.00 2 Extended Maintenance $198.00 0 198. Agreement for 3820 Cordless Scanner $198.00 ($99.00 per each scanner) FOLLETT INFIGO $499.00 0 499. RECEIPT PRINTER KIT for l locations 1 year warranty 1 Box Thermal Paper (50 $149.00 0 149. rolls) Totals $6,544.00 $4300.00 $2244.00 Included in the final report will be anecdotal evidence of library staff and patron satisfaction (or not) with the new software. Also included will be technical support staff information and ratings of the new software's performance. We appreciate the opportunity to apply for these funds. We look forward to the day when we can quickly give simple answers to simple questions. That will leave us more time for the more in-depth quandaries that come across our front desk. ~~ Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-075 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A NEW SHORT TERM LEASE WITH GODWIN GLACIER, LLC FOR LOT 4, BLOCK 3, SEWARD MARINE INDUSTRIAL SUBDIVISION, PLAT 97-27, SEWARD RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE OF ALASKA WHEREAS, the City is the owner of real property described as Lot 4, Block 3, Seward Marine Industrial Subdivision located in the City of Seward, Alaska; and WHEREAS, this is vacant land identified in the Municipal Lands Management Plan as available for lease in the Seward Marine Industrial Center (SMIC); and WHEREAS, pursuant to Seward City Code §7.05.410, this short term Lease is subject to Council approval; and WHEREAS, Godwin Glacier Tours, LLC desires to enter into a short term lease with the City in the form presented at this meeting; and 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 a new 120- day lease with Godwin Glacier Tours, LLC in substantially the form as presented at this meeting. Section 2. This resolution shall take immediately, and authorization herein shall expire if the lease termination and new lease are not executed by all parties by November 28, 2009. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10"' day of August 2009. ~~ COUNCIL AGENDA STATEMENT Meeting Date: August 10, 2009 To: City Council Through: Phillip Oates, City Manager~~19 From: Kari Anderson, Harbormaster Agenda Item: Authorizing the City Manager to enter into a new lease with Godwin Glacier, LLC for Lot 4, Block 3 Seward Marine Industrial Center Subdivision BACKGROUND & JUSTIFICATION: Godwin Glacier Tours, LLC is seeking a short term lease with the City of Seward until a long term lease can be generated by the City and approved by Seward City Council. This lease encompasses Lot 4, Block 3, Seward Marine Industrial Center Subdivision in the Seward Recording District. The site plan attached as Exhibit A with the short term Lease documents shows the area will be used for storing three connexes and vehicle storage. The proposed lease is valid through November 28, 2009. 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. ATTORNEY REVIEW: X FISCAL NOTE: The rent is $508.00 for the period of this lease, and shall be paid in advance of the term of this lease. Approved by Finance Department ~~/~o RECOMMENDATION: Council approve Resolution 2009-~_ authorizing the City Manager to enter into a new Lease with Godwin Glacier, LLC for Lot 4, Block 3, Seward Small Boat Harbor Subdivision. ~, ..~ .' Seward Marine Industrial Center Short-Term Lease for Lot 4, Block 3 This LEASE (hereinafter "LEASE"), for good and valuable consideration, and pursuant to Seward City Code § 7.05.410 is entered into between the City of Seward, Alaska, a municipal corporation, organized and existing under the laws of the State of Alaska, (the "City") whose address is PO Box 167, Seward, Alaska 99664 and Godwin Glacier Tours, LLC, whose address is P.O. Box 2711 Seward, Alaska 99664 (the "LESSEE"). 1. Purpose of Lease. This Lease grants LESSEE use of the real property described below for the purpose of storing three connexes containing marine and aviation equipment and for storage of vehicles as described in Exhibit A in accordance with all laws, regulations, ordinances and City policies. 2. Description of Property. A parcel of land known as 301 Olga Street, Seward, Alaska shown as Lot 4 of Block 3 on Exhibit B attached hereto, and more particularly described as follows: Lot 4, Block 3, of Seward Marine Industrial Center, an area consisting of approximately 13,250 square feet. Other than access to and from this designated area, use of any area outside of this designated area is not permitted including but not limited to parking, storage or disposal. 3. Term. The term of this Lease is for 120 days, commencing August 1 2009 and ending on November 28, 2009. 4. Short Term Lease subject to Seward City Code § 7 OS 410. LESSEE understands and agrees that this is a short term lease pursuant to Seward City Code § 7.05.410 and subject to approval by Seward City Council ("Council") and referendary petition as follows: (a.) Pursuant to Seward City Code § 7.05.410, this Lease is subject to Council approval. If a resolution authorizing this Lease is presented to Council and Council does not approve the resolution, this Lease shall automatically terminate. (b.) Pursuant to Seward City Code § 7.05.410, upon Council approval of the resolution approving this Lease, this Lease is subject to suspension during the first thirty days after passage of the resolution if a sufficient referendary petition is filed in accordance with § 4.8 of the Seward City Charter. (c.) Upon termination or suspension of the Lease pursuant to this Section 4, LESSEE agrees to remove any connexes, vehicles, materials, equipment and other property from the premises within five (5) calendar days of such termination or suspension, and restore the premises to the same or better condition existing at the time prior to entering upon the premises. Short-Term Lease Lot 5, Block 3 SMIC Page I 5. Rent. Upon execution of this Lease, LESSEE shall pay the City $508.00 for the rental of the premises for the Term of this Lease. LESSEE agrees that the rental amount is an interim calculation and is not necessarily representative of any rental amount that will be imposed under any long term lease for the property. 6. Lessee's Property. Any vehicle, convex, equipment or material placed upon the above-described premises shall be and remain the property of LESSEE and may be removed therefrom by LESSEE at any time provided that LESSEE shall not damage or impair the City's property while installing or removing LESSEE'S property. 7. Termination. In the event of LESSEE's default in the performance or observance of any of the Lease terms, conditions, covenants and stipulations thereto, and such default continues 5 days after written notice of default, City may cancel this Lease, or take any legal action for damages or recovery of the property. This Lease maybe terminated for convenience by either party upon 15 days written notice to the other party. Upon termination or caricelation of this Lease, LESSEE covenants and agrees to remove any connexes, vehicles and all other equipment and materials from the premises within five (5) days and restore the premises to the same or better condition existing at the time prior to entering upon the premises. Removal will not be required if this Lease is superseded by a duly authorized long term lease for the premises prior to November 28, 2009. 8. Liability and Indemnity. Except and to the extent solely caused by City's own negligence or intentional misconduct, City shall not be liable for damages to property or injuries to persons, including death, arising from the construction, operation, maintenance, removal or activity of LESSEE, its principals, officers, employers, associates, agents, representatives, successors, heirs or assigns, licensees or invitees, and LESSEE does hereby agree to release, protect, defend, save harmless and indemnify City, its officials, employees and authorized representatives against any loss, cost, damage, expense, judgment or liability of any kind whatsoever, from or by reason or on account or as a result of the activity of LESSEE. 9. Waiver. LESSEE acknowledges that the premises are not secured by the City, the area is open to other users and the public, and LESSEE accepts all risk of loss or damage whatsoever. LESSEE waives all claims against the City for any and all loss or damage that may occur. City makes no representations or warranties as to the fitness of any particular part or the whole of City's public facilities for the uses intended by LESSEE and LESSEE has inspected the site and has satisfied itself that the designated premises are sufficient for the intended uses by LESSEE. City makes no representations or warranties of any nature with respect to the commercial practicability or accuracy of any information provided by City. 10. Liability Insurance. LESSEE, during the term of this Lease, shall carry, at its expense, public liability insurance covering the licensed property in an amount of not less than $500,000 for injury or death to any one person, $1,000,000 for injury and/or death to any number of persons in any one accident, $1,000,000 for property damage or destruction and the statutory amount required for Worker's Compensation. The minimum requirements in this section may be increased from time to time by City in accordance with customs and usage for comparable property in the Seward area. Short-Term Lease Lot 5, Block 3 SMIC ~ 4 Page 2 11. Additional Named Insured Waiver of Subro ag tion. All insurance policies required of LESSEE shall name the City as additional insured. All policies shall contain an agreement by the insurers that such policies shall not be canceled or amended without at least thirty (30) days' prior written notice to City, and certificates or copies of all such insurance policies shall be furnished to City promptly after the issuance thereof. 12. Repairs and Maintenance. LESSEE shall pay the cost of repair of any damage to the above-described premises caused by LESSEE, its invitees or guests occurring during the term of this Lease. 13. No Assignment or Sub-leasing. LESSEE is not allowed to assign this Lease or sub-lease the premises. 14. No Hazardous Materials. The use, keeping, storage, or disposal of hazardous materials on the premises is prohibited. Hazardous materials include but are not limited to petroleum products, animal and human waste, dead animals, and contaminated water. 15. Lease Agreement Only: LESSEE agrees and understands that this agreement is a temporary lease agreement only and that by accepting this contract the City is not accepting the connexes and vehicles for storage; the relationship between the parties is simply that of a landlord and tenant. Unless the connexes and vehicles are formally impounded by the City, the connexes and vehicles shall at all times remain in the exclusive possession and control of the LESSEE and the City is not acting, and shall not be held liable in any manner, as a warehouseman or a bailee. 16. Records. The City shall have the right to review and inspect LESSEE'S records, licenses, and permits during all business hours. 17. No Utilities. LESSEE understands that there are no utilities, water and sewer available on the premises. LESSEE agrees that utilities, water and sewer are not necessary for the LESSEE'S use of the premises. IN WITNESS WHEREOF, the parties hereto have executed this document by and through their duly authorized officials. City Of Seward, Alaska By: Phillip Oates Title: City Manage Date: O D / 2~ s*~~-t ~ ~E -'~~yr}~ ~`ty ~ ps~aewpv~~ '. q~~~®O0 ~~~~I~~~~~o 0 ATT~T: ~,,~ : . P Je Lewi Cit rk o~ ~s Short-Term Lease Lot 5, Block 3 SMIC Godwin Glacier Tours, LLC y: Paul Carter Title: ..-~.•- ~~ ~O tPj` •~9yE 1 ^!~®e• ~ ~~ 3 ~~F~t T ~" SMIC Proposed Site Plan 40ft Notes: l Lot would be used for storing of {3) connexes with marine and aviation equipment 2 Development schedule to be completed within 30 days of approval of lease 3 Location will be used to stage cargo transports primarily spring and fall of each year. 4 Vehicles storage would be tractor with trailer and other vehicles used in our summer operations. Other vehicles include passenger vans, cargo van, and various equipment used in the summer operaiions. 5 iVo electricity is required, nor is sewer and watcr. ~6 PRIVATE ~1 ~ BLOCK 10 1A ~V 2A SM/C BASIN 2 Seward Marine Industrial Center LAND City of Seward, Alaska 1 ~ BLOCK 1 2 JELLISON BLOCK 3 1 2 3 x z MUSTANG AVE. D~ 1 A OCJ~ ~v MORRIS AVE. 4 ~ __~~ 3 II \ 1~ ~~O 750 ~~~ ~~\ Feet \ ~ 1A ~v 4 5 BLOCK 2 O~ ~V C.~ O ~~ 2 3 State SORREL RD. L a I1 d w w J r• X10 Z ~ a - J W D a Exhibit B The graphics on this map were produced from the best available sources. The Cdy of Seward assume no responsibility for any omissions, inaccuracies or other errors that may exist. February 12th 2008 G:\MAPS\SMIQPLAN\BLOCKS.mxtl CERTIFICATE OF INSURANCE DATE (MM/DD/1'1') 07/30/2009 PRODUCER AND THE NAMED INSURED Worldwide Outfitters and Guides Association, Inc. Inc., A THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND Risk Retention Purchasing Group qualified under the Risk Retention Act of 1986; CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS Federal Law 975. CERTIFICATE DOES NOT AMEND, EXTEND, OR ALTER THE COVERAGE P.O. Box 469 AFFORDED BY THE POLICIES BELOW. Sandy, UT 84091-0469 800-321-1492 INSURERS AFFORDING COVERAGE INSURED INSURER A: NOTICE: Coverage is being provided as part of a Master Group Godwin Glacier Dog Sled Tours INSURER B: Policy issued to INSURER C: members of the Worldwide Outfitters and Guides Associa[ion, Ultimate Tours Carlairt><Md~rwrkeraaPL•layd'siC4mlom~~' ,,,.~..•,.=a ~,~.+_..~ INSURER D: PO Box 2711 Seward, AK 99664 "LIMITS SHOWN ARE THOSE IN COVERAGES EFFECT AS OF POLICY INCEPTION" The policies of insurance listed below have been issued to the insured named above for the policy indicated. Notwithstanding any requirement, term or condition of any contractor other document with respect to which this certificate may be issued or may pertain, the insurance afforded by the policies described herein is subject to all the terms, exclusions and conditions of such policies. Aggregate limits shown may have been reduced by paid claims. TYPE OF INSURANCE POLICY NUMBER PDATEYMM DDTM'E PDATE EXPIRATION (MM/DD/YY) DMITS Commercial Liability LOG0314-09060002 6/5/2009 6/5/2010 $100,000 Per Person © Claims Made $1,000,000 Per Accident $3,000,000 Policy Aggregate ^ PRODUCTS © Excuding Products and Complete ^ Commercial Auto Liability Any Auto All Owned Autos Scheduled Autos Hired Autos Non-Owned Autos O.T.R.P.D. ^ Garage Coverage G.K.L. L. Drive Away D.O.C. Cargo On Hook Contractual Liability Wrongful Repossession ^ Excess Liability ^ Claims Made DMITATION OF COVERAGE FOR ADDITIONAL INSURED Liability Coverage is only provided to the Additional Insured with respect to Accidents otherwise covered under the Policy/Coverage Contract where the Insured is found directly liable and not where the Additional Insured is found independently negligent of [he Insured. DESCRIPTION OF OPERATIONILOCATIONSNEHICLESIEXCLUSIONSADDED BY ENDORSEMENTISPECIALPROYISION Coverage is limited [o only insured activities or operations on [he Participant Member Declaration CertiScate or as may be separately endorsed.(Exludeslnland Marine Liability), Independent Contractors -Instructors, Guided Dog Sled Tours. CERTIFICATE HOLDER ADDITIONAL INSURED LOSS PAYEE City of Seward SHOULD ANV OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER W ILL MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT. 1300 4th Ave. Seward, AK 99664 AUfHOR12ED REPRESENTAT E E'PN CHASING~6ROUP' WOGAf-004030CT2005 ~ 1 ~I ~ ' ADDITIONAL NAMED INSURED ENDORSEMENT FOR STATE OR POLITICAL SUBDIVISIONS AND U.S. GOVERNMENT AGENCIES RCL-99-13 This Endorsement changes the terms and conditions of the Coverage Contract issued. Please read it carefully! The "Who is a Participating Member?" provision of this Coverage Contract shall include as an additional Named Insured under the Coverage Contract issued, any state, political subdivision, or U. S. government agency so designated in the schedule below ("Additional Named Insured"), subject to the follov~ing additional provisions: 1. Coverage applies only to operations performed by or on behalf of the Participating Member for which an Additional Named Insured has issued a permit to the Participating Member, and only vwth respect to liability arising from the operations of the Participating Member shown on the Participating Member's Declarations Page. 2. No coverage exists for Bodily Injury or Property Damage arising out of operations for which a permit was not issued by an Additional Named Insured. 3. Liability coverage is provided to, and the Insurer has the duty to defend, any Additional Named Insured listed below only with respect to injury, loss, or damage associated with the Participating Member's use and occupancy of State or Federal lands covered by this Coverage Contract. 4. If the Participating Member fails to conduct special permit activities in full compliance with the special representations that are a part of this Coverage Contract, then the Coverage Contract shall nevertheless apply; however, special use permit activities that are not conducted in full compliance with the special representations are subject to an automatic and immediate $5,000 increase of the Participating Member's Self-Insured Retention. 5. No Endorsements issued after the initial Coverage Contract shall be added to the Coverage Contract without the approval of the Additional Named Insured. 6. The Participating Member may use a participant agreement form approved by the Additional Named Insured. This participating agreement provision supersedes any contrary provision contained in the Policy or any other Endorsement. 7. Should this Coverage Contract be cancelled before the end of its stated term, the Insurer shall give any Additional Named Insured 30 day's prior written notice of such cancellation. If notice to any Additional Named Insured is not provided for any reason, the Participating Member's Coverage Contract vall cancel; however, coverage will be provided to any Additional Named Insured through the stated term or until proper notice is delivered. Master Coverage Contract # LOG0314 Certificate # 09060002 Participating Member: Godwin Glacier Dog Sled Tours Effective Date: 7/30/2009 Date Issued: 7/30/2009 Additional Named Insured -Designation of State, Political Subdivision, or U.S. Government Agency: City of Seward 1300 4th Ave. Seward, AK 99664 Endorsement # 9 RCL-99-13 21APR2004 Page 1 of~ Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-076 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING A NO-FAULT SETTLEMENT WITH SEWARD SHIPS DRYDOCK IN THE AMOUNT OF $7,584.78 RELATING TO AN ELECTRIC POWER CLAIM, AND APPROPRIATING FUND5 WHEREAS, the city experienced a series of electrical brownouts over a period of weeks during the Fall of 2008, causing discontinuity in electrical service to the SMIC service area, and adversely impacting Seward Ships Drydock; and WHEREAS, Seward City Code 14.15.610 (a) Interruption of Service states that "The city will exercise reasonable care to provide adequate and continuous electric service. However, the city assumes no liability for injury, loss or damage resulting from system failure...unless such ...damage results from the sole negligence of the city;" and WHEREAS, the City received a claim for damages from Seward Ships Drydock and as a result, the Seward City Council met in executive session on December 8, 2008 and authorized the city manager to negotiate a settlement with Seward Ships Drydock, provided the settlement met specific terms; and WHEREAS, the City sent a letter to Seward Ships Drydock dated November 18, 2008, establishing the terms of the settlement, which Seward Ships has agreed to, including: 1) agreement that said settlement represents a `no-fault settlement'; 2) providing evidence from their insurance company that the claim is not covered by insurance coverage in order to prevent a double recovery; 3) and agreeing that this settlement does not establish an expectation for future claims or establish a precedent; and WHEREAS, this settlement reflects a matter of good will and courtesy by the City in order to help this business offset costs incurred as a result of a particularly unusual circumstance involving a prolonged series of outages, a complex power problem, and limited availability of engineers and technicians to resolve the problem. 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 pay Seward Ships Drydock the amount of $7,584.78 as settlement for costs incurred by Seward Ships. Section 2. The Seward City Council hereby intends that this settlement agreement reflects no fault of the City, and is solely offered as a matter of good will and courtesy, and is not intended to set a precedent or establish an expectation of future claims. ~~® CITY OF SEWARD, ALASKA RESOLUTION 2009-076 Section 3. Funding in the amount of $7,584.78 is hereby appropriated from the electric enterprise fund retained earnings account no. 501-0000-3050 to the miscellaneous account 501-5410- 5790. Section 4. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 10th day of August, 2009. THE CITY OF SEWARD, ALASKA Clark Corbridge, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Jean Lewis. CMC City Clerk (City Seal) ~n~ Council Agenda Statement Meeting Date: August 10, 2009 To: Phillip Oates, City Manager From: Kristin Erchinger, Finance Director }~`~'~ Agenda Item: Electric Settlement with Seward Ships Drydock BACKGROUND & JUSTIFICATION: A series of electrical disruptions occurred in the Fall of 2008, disrupting power to the SMIC area over a period of approximately two weeks. The City hired specialized engineers to assess the situation and determine the cause of the outages, since the cause was not immediately determinable by the City's electric crew. The ultimate cause of the failure was determined, repairs were completed, and consistent power was restored. During the period of disruption, two private businesses were adversely impacted by the power outages; Seward Ships Drydock and Polar Equipment, Inc. Each of these businesses submitted a claim for damages to the City based on their need to supply backup power for their own operations. The City administration met with Council in an executive session, and received authorization to offer a settlement of the claims, despite the fact that the tariff specifically states that the City is not responsible for any costs incurred as a result of electric power issues, unless they result from negligence on the part of the City. In this case, the offers to settle represent a matter of good will and courtesy, and are not to be used to establish a precedent for future claims. Seward Ships Drydock has signed a `no fault' settlement letter agreeing that the settlement of $7,584.78 constitutes a complete settlement of their claim. It has further verified from its insurance provider, that they are not covered for the extent of these claims. They acknowledge that the settlement reflects electrical generation costs that they would not have otherwise incurred. Based on the above recitals, the administration recommends settlement of this claim. INTENT: To settle a claim related to additional costs incurred by Seward Ships Drydock to provide their own power during a period of power blackouts. This settlement does not assign fault to the City and is not intended to set a precedent or an expectation of future claims. Rather, it reflects a matter of good will and courtesy extended by the City in order to help this business offset the costs they incurred as a result of a particularly unusual circumstance involving a prolonged series of outages, a complex power problem, and the availability of engineers and technicians to resolve the problem. CONSISTENCY CHECKLIST: Where applicable, this resolution/ordinance is consistent with the Seward City Code, Charter, Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures. FISCAL NOTE: Funding for this settlement will come from the Electric Enterprise Fund. Finance : t. RECOMMENDATION: City Council authorize a settlement in the amount of $7,584.78 with Seward Ships Drydock. lv~~ CITI' OF SEWARD P.O. BOX 167 sEwaR®, a~asKa 99664-0167 November 18, 2008 To: Jim Pruitt, President Seward Ship's Dry Dock P.O. Box 944 Seward, AK. 99664 Through: Phillip Oates, Gity Manager Dear Mr. Pruitt: ® Main Office (907) 224-4050 ® Police (907) 224-3338 • Harbor (907) 224-3138 ® Fire (907) 224-3445 • City Clerk (907) 224-4046 ® Engineering (907) 224.4049 • Utilities (907) 224-4050 • Fax (907) 224-4038 The City has reviewed your Gaim for damages, dated September 29, 2008. As you know, the City's insurance provider AMUJIA has denied the claim based on a determination that any loss or damage was not the result of the sole negligence of the City. Attached as Exhibit A are certain relevant provisions of the Seward City Code. Although the City is not responsible for any costs incurred as a result of electrical power issues you experienced, as a matter of good will and courtesy we are willing to recommend to City Council that it approve a payment to you in full settlement of your claim. We offer this in an effort to help businesses succeed in our community and fo recognize the particularly unusual circumstances that occurred last summer, including the length of time to identify the problem, the complexity of the problem and availability of engineers and technicians. The City is willing to offer the following settlement terms to your claim, all of which must be met prior to any reimbursement • This settlement is due to "No Fault' on behalf of the City of Seward. • Verification from your insurance provider that you are not covered to the extent of this settlement for items submitted in the claim. (We are not willing to recommend to Council any payment of public funds that would result in a windfall or double recovery.) • Reimbursement will be in the amount of $7,584.78. This amount reflects electrical generation casts that you may not have otherwise incurred. • This is not to be used or referenced to set a precedent or expectation for future claims. • City Council approval by resolution If you agree to these settlement terms, please sign below and we will take the necessary steps to seek approval from the Seward City Council. ~ Page 2 Sincerely, ~J.a~.- ,~czctrsw-.~-- Tim Bamum Utility Manager Consent: Seward Ship's Drydock, Inc. 1JdGG i~R~StDRwT ~atE; James Pruitt, President Date November 18, 2008 .~_ :i `3 e Page 3 EXHIBIT A Electrical Claims -Seward City Code Prov~ions November 18, 2008 14.15.250. Load protection. The customer is responsible for overload, short circuit, and phase failure protection of his own equipment. Certain protective devices considered necessary for adequate motor protection are recommended hereunder: (1) Line starting protection. Any motor 50 horsepower or greater in size which, in starting, might be damaged by the full line voltage requires some type of protective device to disconnect it from the line during interruptions in service, thus protecting the motor when service is restored. The city further recommends that such a device be equipped with a time delay mechanism so that the motor will not be disconnected by momentary fluctua#ions in voltage. (2) Overload protection. Since the intense heat caused by overload might seriously damage the motor, the customer should install a device that will disconnect the motor if overload occurs. Fuses, thermal relays or circuit breakers which are specifically designed to operate when excessive current occurs, are the devices used for this purpose. Where the customer receives three-phase service, the city suggests tha# such protective devices be connected in all phases. (3) Single phasing protection. When=. the customer receives three-phase service, a relay should be installed which will disconnect the motor from the lines in the event one phase of the line becomes open. (d} Reverse phasing protection. For three-phase installations of electric cranes, hoists, elevators, pumps and the tike, the customer should install relays which will disconnect the motor from the line in the event of accidental phase reversal. (Ord. 504, 1982) 14.15.610. Interruption of service. (a) The city will exercise reasonable care to provide adequate and continuous electric service. However, the city assumes no liability for injury, loss or damage resulting from system failure or curtailment of service, unless such injury, loss or damage results from the sole negligence of the city. Such failure or curtailment shall not be deemed breach of contract. (b) The city also reserves the right to temporarily interrupt service to make system repairs ar system upgrades. In the event such interruptions are required, the city will make efforts, where practical, to give advance public notice. The city will also schedule these outages to be as short as possible and at times of least inconvenience. (c) Should a serious power shortage develop for reasons beyond control of the city, and should it became mandatory that the city place into effect a curtailment program, Then in this event, the city reserves the right to limit the use of electrical energy to such extent and duration as may become necessary. (Ord. 504, 1982) 14.15.615. Customer's equipment. (a) Neither by inspection, nor non-rejection, nor in any other way, does the city give a warranty, expressed or implied, as to the adequacy, safety or other characteristics of structures, equipment, wires, conduit, appliances or devices owned, installed or maintained by the customer or leased by the customer from third parties. (b) It is the customer's responsibility to install and maintain all wiring and equipment beyond the agreed point of delivery. The customer will also provide an Underwriter's Laboratory approved meter socket or sockets as specified by the city for the appropriate types of service. If instrument transformers are required, they will be supplied by the city at customer expense. The customer will provide the necessary space and equipment enclosures for mounting these devices as specified by the city's engineering department The customer shall furnish and install meter sockets for instrument-rated metering according to the city's specifications. (c) The city will install and maintain meters and special monitoring equipment as needed. Because the city cannot guarantee normal operating standards at all times due to conditions or circumstances beyond the city's control, the customer is responsible for providing suitable ,~- ~!' e Page 4 November 18, 2008 protective equipment (i.e., fuses, breakers, relays, etc.) for protection against phase failure at excessive voltage fluctuation. (d) All wiring will comply with local, state and national electrical code standards. The city is not, in any way, liable for any damages or accidents to the customer or third parties due to contact with, or failure of, customer-owned installations. (Ord. 504, 1982; Ord. 95-06) 14.15.620. Consequential damages. The city is not liable for any injury, loss or damage resulting in any way from the supply or use of eiectricity or from the presence or operations of the city's structures, equipment, wires, conduit, appliances or devices on the customer's premises, unless such injury, loss or damage results from the sole negligence of the city. (Ord. 504, 1982) ~_ ~~ CHUBB GROUP OF INSURANCE COMPANIES ~,~~ Machinery Breakdown Claim Unit 15 Mountain View Road; PO Box 1616 Warren NJ 07059 June 16, 2009 Mr. D.J. Whitman Seward Ship's Drydock, Inc. Via email: "DJ Whitman" <stewardship@seward.net> Re: Insured: Location: Policy No: Issuing Company: Date of Occurrence: Type of Occurrence: Claim Ref No.: Mr. Whitman: Seward Ship's Drydock, Inc. Mile 7 End of Nash Road, Seward AK 78320800 Pacific Indemnity Company May 17, 2008 Electrical failure/damaged transformer 040508061426 Pacific Indemnity has received and reviewed the recently submitted revised claim information. As previously communicated, this is a covered loss under the referenced Boiler & Machinery insurance policy. Based on this claim information submitted, a payment in the amount of $43,567.25 is being issued, and will be sent via regular U.S. mail. Attached is a summary of the invoices, separated into the appropriate Property Damage and Extra Expense coverage categories. A $2500 deductible is applicable to the Property Damage coverage, and is reflected in the final payment amount. The funds received by you from the City of Seward have also been deducted from the total claim amount, thus there is not any duplicate payment. Please call or email me with any questions. Sincerely, Chubb & Son, a division of Federal Insurance Company Donald P. Zaprazny Asst. Vice President Machinery Breakdown Claim Unit Manager 800-296-3246 x8 dzaprazny@chubb.com ~~~ SEWARD SHIP'S DRYDOCK, INC. P.O. Box 944 Mile 7 Nash Road Seward, Alaska 99664-0944 Tel: (907) 224-3198 Tel: (907) 224-5640 Fax: (907) 224-5376 June 11, 2009 ELECTRICAL FAILURE CLAIM -ADJUSTED xM PARTS INVOICE # 25471 ITEMS TOTAL: $ 475.35 KM PARTS INVOICE # 25470 ITEMS TOTAL: $ 219.47 HAYDEN ELECTRIC MOTORS, INC. INVOICE # 037321 ITEMS TOTAL: $ 2,235.00 SERVICE ELECTRIC, INC. INVOICE # 4782b ITEMS TOTAL: $ 1,421.00 NC POWER SYSTEMS INVOICE # 14000085-0001 ITEMS TOTAL: $ 10,688.00 NC POWER SYSTEMS INVOICE #14000085-0002 ITEMS TOTAL: $ 3,097.60 SHORESIDE PETROLEUM, INC. RECEIPT # 625266 ITEMS TOTAL: $ 2,155.80 SHORESIDE PETROLEUM, INC. RECEIPT # 625036 ITEMS TOTAL: $ 304.47 SHORESIDE PETROLEUM, INC. RECEIPT # 625026 ITEMS TOTAL: $ 574.36 CARLILE TRANSPORTATION SYS., INC. INVOICE # 2505337 ITEMS TOTAL: $ 160.00 CARLILE TRANSPORTATION SYS., INC. INVOICE # 2485776 ITEMS TOTAL: $ 2,949.80 ~_ ~,~ CARLILE TRANSPORTATION SYS., INC. INVOICE # 1978657 ITEMS TOTAL: $ 475.30 ELECTRICAL DEPARTMENT ESTIMATE TICKET JOB ORDER # 3994 ITEMS TOTAL: $ 34,478.39 CITY POWER SYNCROLIFT -ELECT. SYSTEMS STRAIGHT TIME LABOR JOB # 61151110-50 ITEMS TOTAL: $ 1,662.25 CITY POWER SYNCROLIFT -ELECT. SYSTEMS OVERTIME LABOR JOB # 6115/ 110-60 ITEMS TOTAL: $ 77.00 CITY POWER SYNCROLIFT -ELECT. SYSTEMS MATERIALS JOB # 6115! 110-72 TTEMS TOTAL: $ 3,056.91 INVOICE SUB-TOTAL: INVOICE TOTAL: AMOUNT DUE: CLAIM ADJUSTMENTS $ 64,030.70 $ 64,030.70 $ 64,030.70 CITY OF SEWARD REIMBURSMENT FOR POWER GENERATION $ (7,584.78) CITY OF SEWARD REFUND FOR TRANSFORMER PRE-PAY $ (10,378.67) TOTAL ADJUSTED CLAIM $ 46,067.25 ~. ~ City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38, Page CALL TO ORDER The July 13, 2009 regular meeting of the Seward City Council was called to order at 7:00 p.m. by Mayor Clark Corbridge. OPENING CEREMONY Police Chief Tom Clemons led the pledge of allegiance to ROLL CALL There were present: Clark Corbridge presiding and Jean Bardarson Bob Valdatta comprising a quorum of the Council; and Phillip Oates, City Mai Jean Lewis, City Clerk Cheryl Brooking, City ABSENT -Tom CITIZENS' C FOR PUBLIC an a. case EXCEPT THOSE ITEMS SCHEDULED stied for psa~e and support on Resolutions 2009-61, 62 and 63. He stated the rc~~ad held ifs ~~~husiness meeting until next March and informed council that z~ ~~~~aluable cor~Erbutor to this task force. Long stated the attached backup to ~~~~kgrourid on navigability opinions and expressed that there had not been ~~; tr lion o~5avigability, just opinions. He said navigability was important in this the crlt~ria that kicked in the royalty fee. In response";fo` questions, Long stated the navigability opinions were legislative and administrative, arid`a determination could be challenged in the courts. Unless there had been a determination, if water was running, they were assumed navigable until proven otherwise. When asked if the task force considered gravel a nuisance, Long stated yes, and mentioned various administrative solutions were tried before going to this resolution, but was decided some of the definition changes would be a constitutional issue. APPROVAL OF AGENDA AND CONSENT AGENDA Motion (KeiUKellar) Approval of Agenda and Consent Agenda ~` i City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38 Page The following was added to the agenda: Discussion of vacancies and recruitment for the Public Advisory committee (PAC) and Chugach Resource Advisory commnittee. Resolution 2009-061, Requesting That The State Of Alaska In The Seward Area From The Gravel Royalty Fee, As It A Resurrection Bay, In The Vicinity Of Seward Alaska. Motion Passed The clerk read the following approved consent The June 22, 2009 regular city council ~ council meeting minutes were approved. Resolution 2009-057. Accepting A Highway Safety Office For 2009 Fo Enforcement Campaign And Appr Highway Safety Campaign And.:. lion Projects Waters Into special city x,766.40 From The Alaska Under The Influence (DUI) Of $5,004.72 From The Alaska r ASTEP Seatbelt Enforcement lte Gib Manager To Sign An Extension Of A Special y Of "Seward And The Department Of Public Safety vices To Public Safety Employees In The Seward Area Hundred Dollars ($48,500.00). Expeditiously opting Capital Funding In The Amount Of $30,581.00 From The To Install A New Roof Over The Steps And Exterior Door Of The And Appropriating Funds. Requesting The USDA Natural Ri e Soils Surveys In The Seward Area. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Proclamations and Awards Conservation Services A Proclamation Was Read For Sadler's Alaska Challenge Wheelchair And Handcycle Race And Presented To Challenge Alaska's Executive Director Beth Edmands. ~1~ The following was removed from the consent agenda: City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38, Page An Appreciation Certificate Was Read For Doug Capra, Outgoing Historic Preservation Commissioner. Borough Assembly Report. Borough Assembly Representative Ron Long reported on the July 7, 2009 assembly meeting and had three items of local interest which were the gravel royalty fee, revocation of navigability determination and USDA soil surveys resolutions that were for approval tonight. Of borough interest, Long stated the issue was whethex,to put on the ballot to have a Manager instead of Mayor form of government effective 2011 H°e sat ~;~articular group who originally initiated this under the past administration was now aga~~~tRand has'had a very effective campaign turning it from this question to a referendum on the'c~r~$orough Mayor and the Assembly as well. The vote carried 5-4, with Long voting agya~st px~~~t,~n the ballot, and after reconsideration, another vote would occur August 4, 200x ;~ ~ ~ ~" Long stated at the next meeting, two final ~~~inances would be sent`~~i,~~i~`F'lood Plain Task Force. The first urged the Administration}tc~`` apt the Watershed Master ~n that included ~ _~ ~+r a suitability planning, channel migration and zone a~js~u to°iri~orporate suitable and unsuitable parcels and update FEMA maps. The second ordmancer,~~~v,~d selection lands, mental health trusts, university lands or private lands in an.ef~ort to move peopl~~tz~t,of loss areas and into safer land and revert them back to their original state ,~ t the bu out '~ `~ns°contained a broader ublic ~r Y ~ ~ ~ ~, P interest in making those lots available too, Y~ ;~ ~e out of harm=way and thereby reduce hazard for everyone. 3~ ~~~`" .~ r,~,~„_ City Manager's Rep©~ City Manager Philip<~ates stated he would support the Seward Silver Salmon Derbynl~ donatn~S,,000 from the city manager and city council contingency budgets unless council stated ~~~w~se. He re~o~rted that the Alaska Railroad was applying for an herbicide permit and would hold~~~~bhc ho~`~ ° „yth~Seward's held on Tuesday, August 11, 2009 at the .fi IMS/Rae Building. Other~a~~ mf~~'t~s report were: ~'Ahe Harl~ap~;tt~d bids for procurement of Z float. The lowest bid was from ~" ~ ""~, A nev~h hanging rack was installed in the south harbor, and he .. ~ . a Se~rrd~~mall Boat Harbor-Harbor Expansion Project- Z Float Construction :~~, pdate included information on what had been completed, the work planned, sched~ie and the input needed from the City. - Commu`m~y~evelonment. This department would be sending thank you cards to businesses and home owners who had completed exterior aesthetic improvements. The first round would be`sent to: Breeze Inn, Alaska Shop, Harbor Enterprises, Liberty Theater, Seward Merchants Association, Sarah Nan, USAF Recreation Camp, Willard and Bev Dunham (for their rental property occupied by GCI), Wells Fargo, and First National Bank of Alaska. Federal Reference Monitors would be installed by the ADEC Acting Air Monitoring Program to evaluate air quality. Staff would be trained to maintain the monitors which were the federally endorsed standard for the nation. The search for possible installation sites would be the beginning of August, 2009. The Branson Pavilion Grand Opening was held in conjunction with the one year anniversary celebration of the Community Playground on July 19, 2009. X12 City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38 Page - Sadler's Alaska Challenge was held in Seward on Monday, July 20, 2009 with over 200 participants. - Sports and Recreation. The new TYC van had arrived and the dunk tank they purchased was already a huge success. Interest was being expressed in the Evan Casey Skate Park Upgrade RFP. - Fire Department. On July 3 and 6, 2009, the Fire Department responded to numerous mountain rescues and medical emergencies. The departxnent~iad sent two vehicles and four personnel to Soldotna for wildland-urban interface as the Sl~at~tiilc Creek fire, and city burn permits were suspended until weather condit;oti~ improved, . ~ ~ ~~~' In response to questions, Oates stated all pra~exty appraisals on the Forest r levee project t4 were done except one, that was anticipated tq be~ibp~ete soon. The first phase would put the q ~.a~ culvert under the road, the 2"d would put the gravel do,~n~~o~btiild the levee, and the 3`d phase was to finish the paving. Culvert and construction would proeeed`ths fall. A Report Was Given By City EmpTiiy~~+~wSteve Audette Orl~provements To Lift Station #3. Audette reported this system had be found. A backup generatcs~tyas proc $278,000 was secured becat~e~~~the Ar being upgraded to 200.9'=with ndV~ ~t'ansfe of this lift station and twas ode of 1' project should be complafe by-:the ent} ~een~~~ed~tn,the early 1980's and parts could no longer ~~ r~ re`d seveh~~'st hgo` ~ An engineering firm was hired and ~rican Recovery and Reinvestment Act. This system was switches and total automation. He stressed the importance aging infrastructure sites around the city. Audette said the ~4u~ast, 2009. as the new hospital administrator. Resolution 2(I~19h0~6, Approving A Third Amendment Lease Of Lot 1, Block 10, 4`" Of July Creek Subdiv'sY~ To Extend The Term Of The Lease By Five Years And Approve An Assignment To GCI Communications Corporation. Motion (Kellar/Keil) Approve Resolution 2009-056 Vice-Mayor Dunham Declared A Conflict Of Interest Since GCI Was His Primary Lessee. Mayor Corbridge Declared A Conflict Of Interest Existed And Dunham Exited The Dias And Area. City Manager Phillip Oates stated this site had been leased to GCI since June of 1988 but had month to month extensions since it had expired on June 2008. The site at Seward Marine ~~.~ City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38 Page Industrial Center would be used for construction, maintenance and operation of related communication equipment in conjunction with GCI's operations as a telecommunication provider. Oates noted any improvements would be approved by the city and that the annual rental payment would be adjusted on July 1, 2010 based on the appraised fair market rental value. He recommended this amendment extending the lease five years through June 2013. Notice of the public hearing being posted and published as required by lav~:was noted and the public hearing was opened. No one appeared to address the Council and the p~lilichearing was closed. Motion Passed Yes: Kul, I~~~aldatta, Bardarson, NEW BUSINESS Ordinances For Introduction Non-Code Ordinance 2009-004 Appropriating Funds ~An Amount Not To Exceed $500 To Make Expenditures Which Could Int~~ e' ~e The Outcori~~ ~l;n=-Election Concerning 2009 Advisory Ballot Proposition #1 Which~~ The Addy ~ Of Fluoride To The City Of Seward Drinking Water To The Level Oaf' .: ~ ~~syPer 1Vl~i`Ilion As Recommended By The s- U.S. Public Health Service, w rat ~~ =~ Motion (Bardarson~~llar) ~ Introduce Non-Code Ordinance 2009-004 and Set for Public Hearing July 27, 2009. uates quoted the s~t~statutet~~iat.~,~funicipality could not use money to influence the outcome ol?~d~~~~ctlop unless t~iz~ funds had'lieen specifically appropriated for that purpose. It was his izitention to~~txa1 m this ~~~kion and not use public funds, but put these ordinances in play lus~~;n~p public ' ~ ~t befoie~~ election requested a change in those plans. He reiterated his poslti'o,~~emam net„ '~ an administration and let the voters decide. Motion PF~~~~t1~; . ,, Unanimous Non-Code Urdim~[t~e`2009-005, Appropriating $500 To Make Expenditures Which Could Influence The O~~come Of An Election Concerning 2009 Advisory Ballot Proposition #2 Which Asks The'Qualifled Voters If The City Should Increase The Sales Tax From 4.0% To 4.5% With The Understanding That The Additional Funds Are Expected To Be In An Amount Sufficient To Cover A Portion Of The Proposed Library/Museum Operating And Construction Costs. Motion (Kellar/Dunham) Introduce Non-Code Ordinance 2009-005 and Set for Public Hearing July 27, 2009. ~.~~ City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38 Page Oates again stated these funds were just being put in place in case the city felt they needed to educate the public and publish and disseminate bipartisan information. This non-code ordinance allowed the city that option if needed. Motion Passed Unanimous Non-Code Ordinance 2009-006 Appropriating $500 To Make Influence The Outcome Of An Election Concerning Advisory,] Asks The Qualified Voters If The City Should Pursue The Iss~i (GO) Bonds Not To Exceed $5 Million Dollars To Finance The)_Y And Capital Costs. Motion (KeiUDunham) State Of Al alty Fee, As 27, 2009. Motion Passed Resolution 2009-061. Requesting T In The Seward Area From The Gr; Resurrection Bay, In The Vicinity Motion (Dunham/Keil) Council Member Vald Property In The Area.;:: Mayor Corbridge Decl A Conflict A Which Could ion #3 Which •al Obligation i Construction Flood Mitigation Projects ~ All Flowing Waters Into Resolution 2009-061 To Abstain Because He Owned Allowed Valdatta To Abstain. UateS ~s~reduesUng~~~islafiape support on this state issue. The SewardBear Creek Flood ServiceArea~l~pand ~x.,~on~uncttotr w~filifhe City and Borough, were working towards stream bed load reoval and otlxe3'~1©od control options and wished to be exempt from the State's gravel royalty fee to l~sy~ impacts duo ~ooding~to the Seward area. The extraction royalty fee made the gravel extract~~Q~tog,~xpensive aril cost prohibitive. These fees were also contrary to protecting public health and safey~~ . Dunham thqu~lit this needed to be done to mitigate flooding issues and didn't think the city should have to pay:-:what seemed like extortion or blackmail costs. Motion Passed Yes: Kellar, Keil, Bardarson, Dunham, Mayor Corbridge Abstain: Valdatta Resolution 2009-062. Requesting That The State Of Alaska Revoke Its March 20, 2006 Navigability Determination As To Salmon Creek, Fourth Of July Creek And Sawmill Creek, All Located In The Vicinity Of Seward. ~~ City of Seward, Alaska City Council Minutes July 13, 2009 Volume 38, Page Motion (Bardarson/Kellar) Approve Resolution 2009-062 Council Member Valdatta Again Declared A Conflict And Wished To Abstain Because He Owned Property In The Area. Mayor Corbridge Declared A Conflict Existed And Allowed Valdatta To Abstain. Oates stated the Department of Natural Resources position on~~~vigability had changed several times. The Bureau of Land Management had recommended that a`Il mater bodies in a certain area except Bear Lake be considered non-navigable and wished,~~r~voke the March 20, 2006 determination to be able to lessen impacts due to flooding in the ~~ea. Motion Passed Yes; ;~fam, Bson, Kellar, Keil, x~~r Corbiic~e-~~ :,Abstain: Valdatta OTHER NEW BUSINESS Discussion ensued on vacancies with the Exxon Valde~~ill Trustee Public Advisory Committee and the U.S. Forest Servi~~~~gach Resour'~sery Committee which resulted in two council members posse ,fed. F ~`~ INFORMATIONAL ITE~M~,~;ND REPORTS (~4 a~~in-requirec~ A Master Municipal CI~~k Acade~ Completion Certificate for Jean Lewis, CMC. COUNCIL COMMLI~-~;~,,,, t ,:~ d. , ., ~£~llarthked all firstz~s~sonders and volunteers for their assistance in making a safe 4`t' of July weekend. ,' ~ ~~ ..~, _ . _ . _ . who put on a wonderful 4"' of July weekend. Du~'~n~~lso tha~€ed the Chamber of Commerce and all volunteers involved with putting ~ ~~ ,. this huge 4 of^uiy went on. He especially acknowledged the firemen and EMT s for their prompt action with the rye fader and the rest of the dehydration issues on that day. He notified that the community had losfia staunch supporter in Frank Dieckgraeff who had just passed away, and noted he would be sorely missed. Dunham again thanked all who worked on the pavilion for a job well done and suggested the city invite the rural providers conference back to Seward in 2011 or 2012. Dunham attended two days of meetings in Anchorage covering old ground with the six Alaska Railbelt Utilities group. Lastly, Dunham requested that the city and Chamber get together and find another place for the recycle bin that was sitting out by the road. Keil thanked the Chamber, the Mt. Marathon Race Committee and City of Seward for the 4`t' of July planning and events. She also commended the work of the Kenai Peninsula Borough Flood ~. City of Seward, Alaska City Council Minutes J~ 13, 2009 Volume 38 Page Task Force and Sue McClure for their hard work for the community. Keil also thanked everyone who worked hard on the Seward Ships Drydock agreement. Corbridge also thanked the Chamber and Police Chief Tom Clemons, for making a good peaceful and safe 4"' of July. Oates confirmed their attendance at the railbelt utility meeting i called the Railbelt Utility Integrated Resource Plan. He found mo management, the most likely risk was moving together with the most both were coming together by not having the natural gas needed t~',, where power was bought. He cautioned this was coming fitc~ a fre exploration. Oates stated it was apparent the industry was tt~~go~ng to going to take leadership from Alaska. He said they had a go~d,prese sources available in Alaska. He explained that pernu~tng hydro plant thermal at Mt. Spurr may be a good source because afl s.difftculty in of Alaska would have to bridge the gap to get natural~gas horn otk~er ~ Anchorage and stated it was ~f compelling was with risk ~ngerousrisk. He explained existing plants that feed ght train because of lack of sou~I~problem and it was rtattott~t ~~~~ernative energy ~y tl was complt~ated where geo- ~ermitting; did how the State sources resources was well worth the ITIZENS' COMMENTS -None rbridge ~1~ City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page CALL TO ORDER The July 27, 2009 regular meeting of the Seward City Council was called to order at 7:00 p.m. by Vice-Mayor Willard Dunham. OPENING CEREMONY Police Lieutenant Louis Tiner led the pledge of allegiance ROLL CALL There were present: Clark Corbridge presiding and Betsy Kellar Tom Smith comprising a quorum of the Council; and Phillip Oates, City Mai Jean Lewis, City Clerk ABSENT -Marianna Kell„ Jew Bardarson, Cla ^ _ ,~fc~g~' } ~,~ CITIZENS' CO1v~TS ANY SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HE~G ;; Robert Buck was p~~ntand t~rrlFg~or the vacancy on the Port and Commerce Advisory Board.., He s~a~~ he had be~tvY~rt, Sward full time since the spring of 2000, and had worked as a commercial ~s~i~~dock ~o~>-with the City of Seward Parks & Rec. and currently was ern~~~e~at Shor~~~~~~~~r~oleum a~ driver and dispatcher. He had a wife and two small children an vv~'a~ ested iri ~~g Seward forward and making it a great place to grow. Buck thought he ~~ ;~ would ~~ ~ ~ ;~ od void ~t~fresh face to the process. Russ ,~x also put his hat in the ring for the Port and Commerce Advisory Board vacancy. He tliou~~.~e would have a lot to contribute and said he would still participate in the ~-. process whether appointed or not. APPROVAL OF AGENDA AND CONSENT AGENDA Motion (Smith/Kellar) Motion Passed Approval of Agenda and Consent Agenda Unanimous The clerk read the following approved consent agenda items: ~~~ City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page Resolution 2009-064, Recommending Kenai Peninsula Borough Approval Of The City Owned Lots 1-6, Block 8, Seward Original Townsite, Library Replat, Located At The Southwest Corner Of Adams Street & Sixth Avenue. Resolution 2009-065, Authorizing Emergency Repairs To The Basement Floor In City Hall In An Amount Not To Exceed $30,000, And Appropriating Funds. City Manager's Report. City Manage Transportation Investment Generating lconomi million could be awarded to each state ~or~btgl3~w projects. Oates would request an engineet`Yng~~`~ with Dr. Brian Rogers, Chancellor of the homeport berthing of the AlaskaRegion Researc the American Reinvestment Reeoirery Act. Sew' Kodiak and Juneau eppeting Although Sew' would have to be sought tiY order to see~re this-v was to complete the basin at SMTC ~hie1J foul usage by the Coast Guard vess~~~. Thi~gfan~nu then be availably fot, the ne~l legtsT:atve session r Philli~~~~tes stated the city would be pursuing a c Recove~`y~ ~'PIGER) Grant. ~ He said up to $300 ay or bridge; eight-and rail, and port infrastructure to complete the grant for the,city. He had visited "~~~ of Alaska Fairbanks,: and discussed the ' a,~s~,. ..+,~ 1T§` ~e~~ef(E , -IrV). Funding became a reality under and was t~i~'leading port to horliebase the ship, with and had the advantage, a permanent basing solution essel long term. Oates mentioned how important it d`also be linked with economic development and st be submitted by September 15, 2009 and would and available for other grants. between the $10,000 to $50;000 amounts: 1. Seward, ~vo~uld be feattpri/d in two pages of Alaska: North to the Future, Volume IV at a cost of $11,340 wtth`~~~ption fo expanded coverage to four pages at a cost of $19,36. He stated another two pages mad future the Seward Mountain Haven (the new Long Term Care Facility). These books would be di~fributed to the Congressional and Legislative delegations and communities throughout Alaska and the United States. 2. The Parks and Recreation Department issued a request for proposal to improve skate park safety and design. The contractor with the best design and delivery schedule (American Ramp Company) was selected at a proposal of $SOK. The project must proceed immediately to fabricate components and complete before winter. The price of this project was included in this year's capital budget. 3. The engineering, testing, hauling, and treatment of approximately 415 tons of contaminated soil from the generator project were expedited over the past two weeks because of the urgency to '~ 1 City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page complete construction prior to winter. Four separate projects were required along with price quote solicitation for each project. Project 1 went to Rozak Engineering for site layout, sampling, supervision of excavation, and ADEC reporting at a cost not to exceed $15K. Proiect 2 went to SGS Test Labs for testing the soil at a cost of approximately $18K. Project 3 went to a subsidiary of Alaska, Sand, and Gravel, Alaska Soil Recycling, for transportation of the contaminated soil at a cost of approximately $17K. Project 4 also went to ASR for treating the contaminated soil at a cost of approximately $37K. Oates also stated the City of Seward had been awarded, Tit1~i~~I~,~~nquency Prevention grant funds in the amount of $45,000 from the Division of Juvent~~ustic ~~1~+`~ral Year 2010, and on July 16, 2009, MARAD announced that Seward Ship's ~ k~ Inc. h~d~~e~a~ed $1,088,078 for ship transport cradles; syncrolift controls and compres5e~a~ ~ of its ~ ~ f ~ranls program. ~. On July 22, 2009 this grant was put on hold, so h~ efully SSD would rece~~~ grant at a later time. ~.,.:° - Harbor/SMIC. The 250-ton TraveLift mait~~~~e was completed this week and was available for use. The Ha~~r was gearing u~~~~e 54~' Silver Salmon Derby which was scheduled from AuguS~~a ~ ~ y Q09. Seward S~'~ Dry Dock was installing the new cathodic protection system ark ~ ~ ~ _ -was resear~~g the proposed coating for the ~. splash zone Oates mentioned ~~~' ~ hex Tours was requesting to lease an area of ~~ SMIC (Lot 5, l~fl~ 3) for convex an ~~age. They were requesting to occupy the leased area be August k, 2009>`~dl~d melting conditions on the glacier. The City woul~lter iri~~ort-term lease (12Q hays was allowed per 7.05.410 of the code) until the I~~d~acum~~~ul,~d be finalized and brought to council. - Pohce De~,g„ward~kc~~zQDepartment's Corporal Patrick Messmer and Officer J~'l~leau att ~„ ~t~L~ annual`APOA (Alaska Peace Officer's Association) Pat Tobin Memo t~a~~~hootmg m~t~in Fairbanks. C 1 Messmer laced first in the individual ~~~ ~~ ~ -~ ,; ` P • P compett~ d Office ~daleau placed fourth. Together in the team competition, Cpl. ~IessmeT ~~ ice Rouleau placed second. 'Yorks e~Vater/Sewer personnel had been completing the #3 Lift Station Project, equipment malfunctions elsewhere in the sewer system, and planning for the ;~~storage tank. On July 27, 2009, PND would look at the Alaska SeaLife Center =~. problem at the city sheet pile wall and submit a report after their visit to include and costs. - Sports and Recreation. The total 2009 camp revenue for the week of the 4`~' of July including tax, was $49,502.00. This was a decrease of $2,647..00 from 2008. June revenues and camper nights were up $11,994.17 from 2008, and June parking permit sales were up $460.00 from 2008. - Finance. This department was working with the State Department of Health & Social Services and Providence to provide necessary financial documentation, compute 1~0 City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page expected capital add-on components and obtain new rates for when the long-term care facility project was completed. They also had begun negotiations with Providence for a new management and operating agreement which expires at the end of the year. Utility billing in the harbor would be switched to the harbor department beginning October 1, 2009 and implementation of an electronic purchasing program was being prepared. Chamber of Commerce Report. Director Laura Cloward stated; v which was the third year in a row a decline was seen. She noted this ~'as ~€ reflection because visitors could just be more prepared. Guide requ~ruvere ~ usage was up 15% with web statistics down 2% from last.year~ ~~ ~ha $10,000 on smolts this year which were released in the Bead ~.ake s~st~~m:. participant increase in the halibut derby this year. She though~sh restox~tz~ l =' r was important. She heard some retailers state that bdsmess ~~s down an their best year yet. She noted it was hard to buds without knowing what revenue generating numbers were. Cloward state~~k~ economic developm completed in a couple of weeks and thought the TIU~gr~t oul~i increase i and cargo locations at SMIC. A report was given by Councii_~ Conference. This conference was two d item taken from this conference was the revenue. PUBLIC Make To ,itors were down 19% ;.cessarily an accurate wtm 10% and Internet fiber had contributed Cloward saw a 60% d smolt purchase rsaying this was and other 1 would be for vessels Betsy Kellar on the National League of Cities rdership training in Cincinnati, Ohio. The main r ~vere,partnering with one another to generate «ting'Funds In An Amount Not To Exceed $500 To t~+e The Outcome Of An Election Concerning 2009 lresses The Addition Of Fluoride To The City Of 0.7-1.2 Parts Per Million As Recommended By The Enact Non-Code Ordinance2009-004 (,ity M~g~x Phillip Oates stated this non-code ordinance would allow funds to be expended and preserved t~'i~pportunity if necessary. This ordinance provided flexibility to educate the public on issues that could influence the outcome of the election and followed state law to appropriate funds. He wished to stay neutral as an administration on this issue and recommended passage. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Clerk's Note: (In a work session immediately prior to this meeting, City Clem Jean Lewis indicated she had heard a comment from the public about perception and that they thought it would be negligent of a city council to ask voters to vote on an issue and not print a pro and con statement Si.C~ City of Seward, Alaska Ciry Council Minutes July 27, 2009 Volume 38 Page about why this item should or should not be passed. Council members decided during the work session that the city would maintain a neutral position and not produce a pro%on statement.) Motion Passed Unanimous Non-Code Ordinance 2009-005 Appropriating $500 To Make Influence The Outcome Of An Election Concerning 2009 Ad. Which Asks The Qualified Voters If The City Should Increase 7 4.5% With The Understanding That The Additional Funds A. Sufficient To Cover A Portion Of The Proposed Lrb~a Construction Costs. >wr r Motion (Smith/Kellar) Oates stated this non-code ordinance wu~~a ¢l public on the proposed library/museum construcUoi ~,.. voters increased the sales tax to cover a portion of t1i construction costs. He thought the city may find it ne authorized public funds that could infl~tl,outcome be disseminated. He recommended annro~a: r ~.>_ Notice of the public h hearing was opened. While operating and Motion to 'es Which Could t Proposition #2 x From 4.0% To 3e In An Amount Operating And money if needed to educate the g costs. Ballot Proposition #2 to i °library museum operating and isseminate information and this ~fon'if neutral material needed to fired by law was noted and the public and the public hearing was closed. would include a sunset tax, Smith thought this was for f_°`a th construction and operating costs and would not be ;built. This tax would generate sufficient revenue to and pay for additional operation costs associated with Unanimous Non-Code Ordiit~'2009-006. Appropriating $500 To Make Expenditures Which Could Influence The O ome Of An Election Concerning Advisory Ballot Proposition #3 Which Asks The Qualified Voters If The City Should Pursue The Issuance Of General Obligation (GO) Bonds Not To Exceed $5 Million Dollars To Finance The Library/Museum Construction And Capital Costs. Motion (Smith/Kellar) Enact Non-Code Ordinance 2009-006 Oates again stated this would allocate funds in case the council wished to publish materials that could influence the outcome of an election. This proposition would establish a GO ,~, .i.~~ City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page bond to show the state of Alaska there were matching funds for other sources sought to assist in the payment of the estimated cost of $10 million for the new library/museum. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion Passed NEW BUSINESS Unanimous Resolution 2009-066, Authorizing Purchase Of A Truck From Cascadia International, Previously Au Motion (Kellar/Smith) Oates needed to bring this item back to the anew one as previously approved. The used truck hac~~Y savings of $60,000. This water tankei+.truck would be plow truck in order to prevent the duphe~tion,of two set Finance Director Kris months on the west coast Thy car Motion Passed Unanimous Water Tanker 108-134. purchase a used`vehicle rather than 2060 miles on it with an additional red outright and separate from the nancn~ transactions. was a 2009 and had been held for to purchase tires if needed. Resolution 2009-067,':Authorizing The- City Manager To Enter Into An Agreement With Transpac Marinas, Inc To`Pxovide ~'lambe~r Floats For The Seward Small Boat Harbor East Harbor Ex~~~~on Protect ~,(~L~ k~oat) For An Amount Not To Exceed $704,817.00, And Approve Resolution 2009-06'7 Oatd~~~ixrinded tl~f`this security float would be used for such vessels as the Coast Guard Mustan , the`~~~ vessel, troo er boats and the cit 's fire boat. Pro ect fundin was secured b a g ~, P Y j g Y grant by the Denah :Commission and would allow the purchase of materials to install the float system. Additional'funding, possibly from cruise ship head tax funds, was needed for completion of the security dock. Oates recapped the justification for this project began in 2007 when Tryck, Nyman & Hayes, now URS, did engineering services for Phase 3 of the harbor expansion project. Other items associated with the floats were; fire suppression, utilities, upland improvements, and gangway. This resolution provided 8701inear feet of floats delivered and stored in the railroad area. Transpac Marinas, Inc. was the lowest bid received. Harbormaster Kari Anderson stated this bid was under the estimated budget. There was fluctuation in the pricing which was why the contingency was built in. ~: .~w3 City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38, Page Motion Passed Unanimous Resolution 2009-069, Authorizing The City Manager To Enter Into A Purchase Agreement With General Switchgear Inc. For The Purchase Of Switchgear To Be Used In The Fort Raymond Substation -Generation Addition Project For A Total Amount Not-To-Exceed $213,074.00 And Appropriating Funds. Motion (Smith/Kellar) Approve Oates advised that three switchgears would be p new building. It was concluded the city would save rr from the manufacturer to cut the cost of overhead. The occur after EPS bid the materials out to four separate s' considering price, timetables and the advice of EPS> ~h switchgear installed. s_:_'- Smith asked if this invalidated the warrant] installation and that it did not invalidate tie warranty. Electric Utility Manager John In response to que~t~+ox~s Eabout ge operational generators,;, and no~~d the prison Finance D? which left $40,000 to have Intral mthe new generators in the ~~f >fi~'~~l~asing the switchgear pp~~`~~° fly $225,000 would se suppi~'" sere chosen after the delive ~ iess to get this stated EPS would do the actual ect completed next year. er, Oates stated the city had four life Center had their own generators. .5 million was the total cost of this project, Unanimous A And By nimous Consent To Allow PACAB Candidate Darryl To His Qualifications To Be Re-Appointed To The Port Council Vote ~ ~~ ~Re-Appointed Darryl Schaefermeyer And Theresa Butts To The Port And Commerce. ~, sory Board With Terms To Expire July 2012. The Appointment Of Either Russ Maddox Or Robert Buck Was Postponed And Set On The Next Council Agenda August 10, 2009. INFORMATIONAL ITEMS AND REPORTS (No action required) 1. City Financial Report. 2. Providence Financial Report. 3. A Certificate of Completion was given to Johanna Dollerhide for the Northwest Clerks Institute Master Academy. ~~~ City of Seward, Alaska City Council Minutes July 27, 2009 Volume 38 Page COUNCIL COMMENTS Valdatta complimented staff on the treatment and washing and waxing of the parking attendant truck. Smith thanked all the candidates for applying to be on the Port and Commerce Advisory Board tonight, and thought it was good to have candidates to choose frotrt; Kellar thanked Sadler's Challenge Alaska for She thought it was spectacular to watch. Dunham also thanked the candidates for apf Board. He announced that Nikki Gilman, mother of week and noted the time of the memorial service.: "Fish for the Future" program put on as a research requested council involvement as board members fo Kenai. as the start of their race. the Port an l~Qmmerce Advisory xad G~lmap~~~assed away last commumt~ to~~articipate in the e Alaska S~ali~es~enter. He also and Meeting on August 5, 2009 in ' COMMENTS -None bridge .~ .,~ :. C9° F SE ~R®, ALAS APPLlCA`T!®N FOR °TtiE SE AR® Fil~°f®R!C PRESERilAaTl®Fd CtVl14~ISS1®!V NAME: ~ . ~ji~G/1 ~ ~/'3'dl'I.arl, STREET ADDRESS: ~ ~ ~ ~~ MAILING ADDRESS: ~~ ~~ ~~ ~ ~ H®ME TELEPHONE: ~a 7- ~a~ ~' ~9 ~`~ LENGTH OF RESIDENCY IN THE SEWARD AREA:_~/~/;P~-'-~ /~l~ PRESENLY EMPLOYED AS: ~~~=r.~;~/~~i~ List any special training, education or background such as grant writing, history, architecture, or~rcheology, which may help you as a member of the Commission. ~ r/> ~- if~.~cf~,~. i~~.~ ~ ~ ~~r~/~o~S ~.rJrs®>r.~°~'~r~ Have you ever been involved in any aspect of historic preservation? If so, briefly describe your involvement: / .~v' '~~'s~a0~'T/mN D% cam. Tlv~ 1~1`cJ'y~r1. ~~~'Ir~~S ~itJ ~iz..t>.~ ~,u~ ~~«lr ~~s ~ 9~af3 ~~ r~.<~.~e I9~ a~ /fr~'.€Ll/r.~. ~,~li'!LV/.~LL~ ,~~.Sj/ j~i'u~'..~.~1/rrL'C~ ~1~=1c3Yj r~.P.tJ/, I am specifically interested in serving on the I-(istoric Preservati((n Commission I-lave you ever served on a similar commission elsewhere? Yes or Qo If so, where? If appointed, are you willing to: And when? • Do historic research? NO Work on preparing grant applications? YE NO Work on writing historic register nominations? E NO Attend historic preservation workshops? 'E NO ~- ~_ NATURE DA RECEIVED JUL 2 2 2009 .; ~ ~ OFFICE OiF THE C1~ ~- ~.~ City of Seward, Alaska Application for the Seward Historic Preservation Commission Response to Questions I am specifically interested in serving on the Historic Preservation Commission because As a young boy my family would travel through the capitol city of Sacramento, California and pass over "Old Sacramento." Known as "Old Sac° it had become a derelict area of the city made up of the original town structures along the river which had been the thriving center for its early development during the 49er Gold Rush. Forme, it was an intriguing glimpse into a bygone era that I found fascinating especially because my maternal family was part of the Rush and later settled much of the northern Sacramento Valley. Years later while attending college at UC Davis, a large campaign to revitalize Old Sac in collaboration with the preservation of the state capitol was launched with much success. Old Sac became a must see destination for folks traveling through the area. Many trades and skills were re-learned and taught to a new generation, that would have otherwise been lost. While in college I spent a good deal of time visiting Old Sac and nearby Folsom (also a preserved "Old Towne") and became "hooked on history" and its preservation. I worked antique shows, had a part time job restoring antique furniture and become deeply involved in the skills that produced both furniture and architectural design elements. This included acquiring an extensive collection of useable hand tools necessary to reproduce replacement components. Moving to Alaska after college found me in the midst of a Anchorage which was burst with growth from the Oil & Gas industry and much of its historical elements were quickly disappearing. Traveling down to Seward that first year, I found that "historical charm" that had so inspired me in my youth, which eventually led (amongst the many good reasons!) to our family moving to Seward. One of the many reasons forme being interested in serving on this commission is to bring my desire to preserve the historically sign cant place Seward has played in the history of Alaska. Seward still poses a significant portion of its historical past giving it an opportunity to be "destination" location, through the preservation of its culturally unique architecture, trail heads, and residential environments. Our family currently owns or is the current custodian of two homes built in the early years of Seward which we are currently continuing to preserve in the "style of the day." This is our personal investment to Seward's historical preservation and acts as learning platform for me. It also has provided insights into Seward's early building challenges as well as it has raised questions for further research. Serving on this Commission provides an avenue for me to learn more of Seward's important role in Alaska's earlier era's, be an active voice in keeping alive its historical foundation into the future, helping our youth appreciate and preserve skills that may be lost othewise, and safeguarding our community heritage. Thank you for your consideration of my application and desire to be an active member of the community. L. David Hamner 1 'i'.. Memorandum Date: August 10, 2009 To: Mayor Corbridge, City Council Members ~. From: Jean Lewis, City Cler t_.~~ Subj: PACAB conflict of interest question It came to my attention that there was perception of a possible conflict of interest to appoint Robert Buck to the Port and Commerce Advisory Board because his wife is a harbor employee and takes the minutes. We referred this question to the city attorney, Cheryl Brooking and received the following advice. Generally speaking, there is no conflict. Although the staff member works with PACAB, they do not work directly for the Board, so there is no employee supervision involved. Brooking stated the city's conflict of interest ordinance did not apply to PACAB, but the common law conflict rules would still apply. This means, there may conceivably be a situation that would cause a board member to be recused. This could occur with any member. The Port and Commerce Advisory Board is not a decision making body but an advisory body to the city council. The Planning and Zoning Commission is held to a different set of standards because it has the authority to make final decisions for the City. This is the key distinction between the P&Z and other boards. .-, . :. REC~~~~a JUL 15 2009 CITY OF SEWARD, ALASKA OF~~GE OF 7HE APPLICATION FOR THE ~,.~,~, ~~ E~QR HE PORT & COMMERCE ADVISORY BOARD NAME: __ ;'<USS l "l aD~Bt, STREET ADDRESS: 3 ~ S S < "~.S ~`- /'Ldp- MAILING ADDRESS: ~Ct Wt e' HOME TELEPHONE:_ ~ ~ 76 ~ 7 BUSINESS PHONE: 5 ~ m'~- FAX NUMBER: ~~q LENGTH OF RESIDENCY IN THE SEWARD AREA: p~~' 6 ~~~ PRESENLY EMPLOYED AS: s~I 'R '°e (~'~Y~« 1 ~ ~ ~ ~ ~aQ~l List any special training, education or background you have which may help you as a member of the Board..Z ~ v ~.e o~~ tM 2i/ o~" C w a. ®tn- c ~ e~ t ~ f ftZ~~o v^ ~' S(M fG d ~ 2-'°~, rho ~vc~ 1 ~Su~3 i~ ,S.a~r, f ~ Gt~vc, h~ ~-eci:l~S' . Have you ever been involved in port operations? If so, briefly des ribe your involvement: ~/~ I am specifically interested in because: Z awe c~ evc~.+ >~~ Have you ever served on a If so, where? on the Port and Commerce Advisory == i v, /oat ~~ S~'`Q , ~ `?~ .r _ ~ r • _ n _. e~ ~r~eq 7'L1'fg del ~ board elsewhere? 5-~- ~~~ And when? C ~_ ~ `7`' we No e,-}~,~ X08 '~i CLvtQ ®~ ~~ be ~~ L2~`~ ~I G~vvf(n~(/~t! ct~ce.;v. Are you available for meetings at noon (second Wednesday of each month)?~ If appointed, are you willing to travel occasionally? p~$' o SIGNATURE ~/r~ ~®o~ ~ vv$ cS' ~ 1 /eCt6h°~ v IN~P-1M ~ ~ ` tr DATE f p S~ C~ ~~~ ~llray ~~..~SSc~eS (o(rcy C~zs~ er ~ Cl~l lvh'~iv1~ Si~~'~'~ Lr~~ ~-las,~a Cf- ~ C ~ ~~.C ~ -~ l~~'~ C.ov~rMil~°e-~ G~t~evtw~a.~~ ~.eyr~~l~y ~~~ ~ e9 Cv vvun ~ .~ . ~ RE~E~!/E® CITY OF SEWARD, ALASKA ~~~ 1 7 2009 APPLICATION FOR THE OFFICE OF THE FOR THE PORT & COMMERCE ADVISORY BOA CITY CLERK NAME: RC~~E~. ~ ~ Uwe STREET ADDRESS: I y360 ~E~4P. PAw ~ Q, MAII.INGADDRESS: ~x7x 3yDS S~w~2~ ~ /~,I~, 996by HOME TELEPHONE: 22~ ~ (~ ~ i S BUSINESS PHONE: 2~1'I -$~y ~ FAX NUMBER: ill C/~ LENGTH OF RESIDENCY IN THE SEWARD AREA: ~ ~I~. vr~ke.S PRESENLY EMPLOYED AS: TR.vC ~~ Q 21 VEER ~ S~+Ue~S i ~ E P6~R~•'L.~v ~, List any special training, education or background you have which may help you as a member of the Board. iMc t L.T~pL~E .Sa~S TN ~~ PD2T t~-~ S~wA.yz~ AQ~-q. Have you ever been involved in port operations? If so, briefly describe your involvement: WITS Dpi'. ~c~2~tanA~ -Fe~J2 R ,6.5. -FocL 3 YE I am specifically interested in serving on the Port and Commerce Advisory Board because: DBE ~y NAvr~b- Q ~Aws~L~ -~kA-T ~ L~ t3~. 1~1~Q.,E ~{L /} Lc-^~(r T~wi~ 1 w~~~ ~o N~La S~w~~~1 G- ~ w 3n~ An1 Cr- ,~Qc9N~-~•Te4ly ~.~~ CGtw~w~I'CALY SUSfi~~NAF~i,~ w-~4Na~, Have you ever served on a similar board elsewhere? Yes or T~o If so, where? And when? Are you available for meetings at noon (second Wednesday of each month)? ~`/ES If appointed, are you willing to travel occasionally? '/~S _~, A ,- -' ~ ~~~~ SI NATURE DATE .f 3® ~~ qug ~C~ 2009 August 2009: September 2009: i7 S M T W T F S S M T W T F- S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28S 29 30 31 1' 2 3 4 5 6 7 8 9301112 13 14 15 16 17 18:39 ' 20 21 22 23 24 25<26 27 28 29'.30 Monda _ Tues+ja Weiinesday Thursday . Fridav Meeting AB Meeting Work Session Special CC Meeting City Council Meeting City Council Meeting Preservation Meeting Social Security Rep """ '"" "r 1 8/5/2009 4:27 PM Jt .~ i September ` r'~009 (~ September 2009 ! S M T'W T F':5 October 2009 'S M T W T F S 1< 2 3 4:! 5 1 2 3 6 7 8 9 10 li 12 '4 5 6 7. 8 9 IO '13 14 15:16 17 i8 `>19 11 12 13 14 i5 16 17 `20 21 22;23 24' 25'26 i8 19 20 21 22 23 24 27 28 29 30 25 26 27 28 29 30 31 Monda " ° Tuesda 1Netlnesday Thursda Frida Se' tember 1 2 `: 3 7:30pm;P8¢ Meeting 12:OOpm PACA6 Meeting 7) 8 9l' l0l"-- 111 I~----~- ~,~--.281 291 cols;, e ~„ Ie,. ~ ;r e~ .~.rl City Council Meeting Nanci Richey 2 8/5/2009 4:27 PM rti