HomeMy WebLinkAbout04132015 City Council Packet Seward City Council
Agenda Packet
F
_,,,, _if
MN
.i.
t A , •
t 1 , it,
1:i' i ...,., t4
. ..
, ,., ,
■ � _
....7, _
...a .�
-....;
A
_ ,
i .
..6 1: -4. ..;..- -."0' . ...'*" . :- , -..--... , ti ; + i e
i*
ra4 `x . A„74 { "3,'
i
RN SIKULIAQ
Jumping for Joy!
April 13, 2015
City Council Chambers Beginning at 7:00 p.m.
1963 1965 2005 The City of Seward,Alaska
katet CITY COUNCIL MEETING AGENDA
,§&,°""e
All-America Chy
11111 {Please silence all cellular phones during the meeting}
April 13, 2015 7:00 p.m. Council Chambers
Jean Bardarson 1. CALL TO ORDER
Mayor 2. PLEDGE OF ALLEGIANCE
Term Expires 2015 3. ROLL CALL
4. CITIZEN COMMENTS ON ANY SUBJECT EXCEPT THOSE
Marianna Keil ITEMS SCHEDULED FOR PUBLIC HEARING [Those who
Vice Mayor have signed in will be given the first opportunity to speak Time is
Term Expires 2016 limited to 3 minutes per speaker and 36 minutes total time for this
agenda item]
Ristine Casagranda 5. APPROVAL OF AGENDA AND CONSENT AGENDA
Council Member [Approval of Consent Agenda passes all routine items indicated by
Term Expires 2016 asterisk (*). Consent Agenda items are not considered separately
unless a council member so requests. In the event of such a request,
Christy Terry the item is returned to the Regular Agenda]
Council Member
Term Expires 2015 6. SPECIAL ORDERS,PRESENTATIONS AND REPORTS
David Squires A. Proclamations and Awards
Council Member
Term Expires 2015 1. National Public Safety Telecommunicators Week, April 12-18,
2015 Pg. 4
Dale Butts
Council Member B. Borough Assembly Report
Term Expires 2016 C. City Manager's Report Pg. 5
D. Other Reports and Presentations
Iris Darling
Council Member 1. Presentation on recycling by Kenai Peninsula Borough Solid
Term Expires 2015 Waste Director Jack Maryott.
James Hunt
City Manager
Johanna Kinney
City Clerk
Eric Wohlforth
City Attorney
City of Seward, Alaska Council Agenda
April 13, 2015 Page 1
7. PUBLIC HEARINGS
A. Resolutions Requiring A Public Hearing
1. Resolution 2015-020, Authorizing The City Manager To Enter Into An Agreement
With The Kenai Peninsula Housing Initiative (KPHI) Donating Approximately A 0.7
Acre Portion Of KPB Parcel 14734005, Known As Pat Williams Park For The Sole
Purpose Of Developing An Independent Senior Housing Facility Upon Condition Of
KPHI Being Awarded All Other Necessary Funding For The Project Development
And Completion. (Clerk's Note:for public hearing and approval. Introduction and
first public hearing held March 23, 2015) Pg. 6
2. Resolution 2015-027, Authorizing The City Manager To Enter Into A Lease
Agreement With Alaska Wireless Network LLC, For A Portion Of U.S.S. 4828,
Within Section 12, T1 S, R1 W, Seward Meridian, Seward Recording District, Third
Judicial District, State Of Alaska, And Combine The Easement Agreement From
Resolution 2010-048 Located Within A Portion Of Lot 1 Fourth Of July Creek
Subdivision, Number 2, And Plat No. 98-09, Seward Recording District, Seward
Meridian,Alaska Township 1 South,Range 1 West, Section 12, Seward,Alaska...Pg. 35
3. Resolution 2015-028, Revising The Port And Harbor Tariff Regulations To Increase
The Charge For Dishonored Checks, To Revise The Charges For Re-Blocking
Vessels And For Boat Lift Work That Extends Beyond One Hour, And To Revise
The Wharfage Rates For Boat Fuel To Conform To The Charges In The Annual
Contract With The Fuel Dock Operator Pg. 75
8. UNFINISHED BUSINESS—None
9. NEW BUSINESS
A. Resolutions
1. Resolution 2015-029, Authorizing The Seward Community Health Center To
Apply For A 2015 US Department Of Health And Human Services Health
Resources And Services Administration Health Infrastructure Improvement
Program Grant Requiring City Commitment Of Any Funds Necessary To
Complete The Project Pg. 84
*2. Resolution 2015-030, Adopting The Planning And Zoning Commission Priorities
From April 2015 To April 2016 pg. 88
3. Resolution 2015-031, Authorizing An Agreement With Electric Power
Constructors (EPC) Inc To Repair Load Tap Changers On Four Station
Transformers Located At Lawing, Spring Creek And Fort Raymond Substations
For A Cost Not To Exceed$70,500 . Pg. 94
City of Seward, Alaska Council Agenda
April 13, 2015 Page 2
4. Resolution 2015-032, Authorizing The City Manager To Enter Into An
Agreement With Hotwire Electric LLC To Replace Electrical Conductors Along
Moat Way And The Southern End Of Excalibur Drive For An Amount Not To
Exceed$58,722 . Pg. 99
5. Resolution 2015-033, Authorizing The City Manager To Enter Into A Grant
Agreement With The State Of Alaska Department Of Commerce, Community,
And Economic Development With A Total Award Of$1,991,999.99 For Phase II
Of The North Seward Water Storage Tank And Pumping Facility, And
Appropriating Funds . Pg. 117
6. Resolution 2015-034, Accepting Funds From The Alaska State Library For The
Public Library Assistant Grant In The Amount Of$5,351.53 And Appropriating
Funds . Pg. 128
B. Other New Business Items
1. Direct Administration and the Port And Commerce Advisory Board to work together
to develop potential tidal grid site recommendations to provide to Council.
Recommendations should include pro and con listings/discussions for each proposed
site. These pro and cons should include for Council deliberation, but are not limited to,
future planning, cost, location, accessibility, community desires, environmental,
permitting, and other factors that evolve during the review and recommendation
process. Locations can be examined in the Small Boat Harbor and also the Seward
Marine Industrial Center, or other City Tidelands. Final recommendations provided to
Council can include a PACAB ranking of recommended sites. (Terry) Pg. 136
10. INFORMATIONAL ITEMS AND REPORTS (No Action Required)
11. COUNCIL COMMENTS
12. CITIZEN COMMENTS
13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS
14. ADJOURNMENT
City of Seward, Alaska Council Agenda
April 13, 2015 Page 3
Ali'1i\li ■1• %.1, ■I, 'li \li ■I, NI, Nl, ..li Ali ■li ..1i ■li ..1i ■1, ..1i Ali NI, ..1i Ali ■I, ■I, ■li NI/
#1.. i1c 'IN 'IN il■ il\i1\il\il\i1\i1\il'il■ il., il.,s■ i1\ilN,s■ il-i" i1\il\il\i1\ i1\ 's'
71c /1\
PROCLAMATION O CLA MA TION
1 .
,f, ,t,
7" WHEREAS,WHEREAS, emergencies which require police, fire or emergency medical '5'
\ services can occur at any time; and, i��
.1. 'Sc.
.1, WHEREAS, when an emergency occurs, the prompt response of police %1,
'l` officers, firefighters and medics is critical to the protection of life and the '�`
.1. preservation of property; and, is
.li 'l,
/I\ /I\
\I/ WHEREAS, the safety of our police officers and firefighters is dependent .ice
��; upon the quality and accuracy of information obtained from citizens who telephone '1�
'I` the Seward communications center; and, %I`
�
qe '5,
'1' i1c
WHEREAS, Public Safety Dispatchers are the first and most critical contact ..1i
1
\, our citizens have with emergency services, and are a vital link for enabling police .1,
''` officers, medics and firefighters to monitor activities by radio, providing
''`
.1. information and insuring their safety; and, p g 7Ic
/1\ 1\
.1\ WHEREAS, Public Safety Dispatchers of the Seward Police Department �,
‘I, have contributed substantially to the quick apprehension of criminals, the efficient J
'1` suppression of fires, and the responsive treatment of patients; and, '1.
is 1.
i
�** WHEREAS, Public Safety Dispatchers exhibit compassion, understanding, �**
.1, and professionalism during the performance of their jobs, and are greatly .li
'I` appreciated by all the citizens of Seward. '1`
.li 'I,
ilc /1N
`'' NOW, THEREFORE, I, Jean Bardarson, Mayor of the City of Seward, `''
il: > > Y Y 1.
Ali Alaska do hereby declare the week of April 12-18, 2015 to be '1i
i1� 'I'
■I,
''N National Public Safety Telecommunicators Week ''�
/lc il■
i*� and encourage everyone to honor the men and women whose diligence and **
.I. professionalism keep our city and citizens safe. Ali
'l` Dated this 13`h day of April, 2015. THE CITY OF SEWARD, ALASKA '1`
'5�
'l' 1\
Ali
il■ 'I'
■1• 'I,
''C 'I
Jean Bardarson Mayor
NJ/ qe
7ic Li 76
%Le NI, ■li ■I, ■l, NI, ■li ■l, ..1, Al, Ali '5, 'l, %to Ali Al, Al, 'li 'l, NJ, .J, NJ, Ali Ali ..1i ■I, ■li
i.i�iT is i\ i\ i\ is i\ i . is i\ i\i\ i\ is is i\ i\ i� i•i�iN is ,� ■ is
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
CITY OF SEWARD Jim Hunt, City Manager
P.O. Box 167 Telephone (907) 224- 4047
Seward, AK 99664 Facsimile (907) 224- 4038
MANAGER'S REPORT
April 13, 2015
The following purchase order for between $10,000 and $50,000 reported was approved by the City Manager
since the last council meeting:
Merrell Bros. Inc. $3,988,530 to proceed with the Sludge Removal and Disposal Project. A full
Notice to Proceed was issued 3/31/15 upon notification from ADEC that their permitting has been
completed and they have authorized Merrell Bros. Inc to proceed.
A. Public Works:
(1) Streets: Preparing a scope of work to have our Right of Ways certified for Federal Earmark paving
project.
(2) Water/Wastewater: The SMIC lagoon has been dredged, and the centrifuge equipment has been moved
to the Lowell Point Wastewater Treatment Facility to begin dredging. The project is running on
schedule.
(3) The Seward High School Environmental Science class held a field trip to the Lowell Point Lagoon on
April 2nd. They are interested in learning about where are water comes from next.
(4) Administration: Bid opening for the North Seward Storage Tank and Pumping Facility is April 14th at
1:30pm. The City of Seward distributed plans to 31 agencies and there were 14 representatives in
attendance at the pre-bid meeting March 27tH
. Harbor:
(1) In two weeks,the Sikuliaq is scheduled for$2+ Million warranty work in the Vigor shipyard.
(2) Both the harbor and Alaska Logistics have submitted new Stormwater Pollution Prevention Plans
SWPPPs to the state Department of Environmental Conservation.
(3) A lease extension document has been sent to Alaska Logistics.
(4) All three of the delinquent accounts that were scheduled for impound have been paid and no boat sale is
scheduled.
5
As Amended from March 23, 2015
Sponsored by: Hunt
First Public Hearing: March 23, 2015
Second Public Hearing and Adoption: April 13, 2015
CITY OF SEWARD,ALASKA
RESOLUTION 2015-020
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN
AGREEMENT WITH THE KENAI PENINSULA HOUSING INITIATIVE
(KPHI) DONATING APPROXIMATELY A 4,8-0.7 ACRES Of—THE
NORTHERN-PORTION OF KPB PARCEL 14734005, KNOWN AS PAT
WILLIAMS PARK FOR THE SOLE PURPOSE OF DEVELOPING AN
INDEPENDENT SENIOR HOUSING FACILITY UPON CONDITION OF
KPHI BEING AWARDED ALL OTHER NECESSARY FUNDING FOR
THE PROJECT DEVELOPMENT AND COMPLETION
WHEREAS, the lack of non-income based senior housing in Seward has been identified
as a leading cause of seniors needing to leave the community in order to find adequate facilities;
and
WHEREAS, relocating away from family, friends, and medical and social support
systems is especially traumatic for our seniors; and
WHEREAS, a dedicated group of local volunteers has for years explored options for
developing an appropriate non-income based senior living facility in Seward, and has most
recently partnered with the Kenai Peninsula Housing Initiative (KPHI) to formalize and further
their effort on behalf of the community; and
WHEREAS, KPHI is a private non-profit corporation who has successfully developed
housing projects across the Peninsula serving senior, special needs, and low income populations;
and
WHEREAS, KPHI's experience and history suggest that they are the most likely entity
to successfully procure grant funding to develop a senior housing facility in Seward; and
WHEREAS, key to a successful grant application is a commitment of site control for the
location of the proposed facility; and
WHEREAS, KPHI and the local volunteers have looked at several sites locally, and find
the northern portion of Pat Williams Park the most suitable; and
WHEREAS, preliminary seismic and geotechnical analysis by KPHI confirm that the
site is suitable for up to 14 units and associated land features; and
CITY OF SEWARD,ALASKA
RESOLUTION 2015-020
WHEREAS, KPHI proposes to develop the facility in two phases; each to be a five or
six-plex; and
WHEREAS, KPHI desires to do the replatting necessary to delineate the northern lot, to
acquire this property, and to develop the senior housing facility, all subject to grant award(s)
sufficient to fund the first phase of project; and
WHEREAS, the City desires to support and facilitate where feasible senior housing in
the community; and
WHEREAS, the entire parcel is currently used for tent camping and portable restrooms
I during the summer; approximately one-quarter half of the parcel would no longer be available
for camping under this transfer; and
WHEREAS, the parcel zone designation is currently Park, and rezoning for the lot newly
created through replat would be required; and
WHEREAS, donating land constitutes a less than fair market value transaction, and
requires the Council to find such a transaction to be in the public's interest as a condition of
authorizing the transfer; and
WHEREAS, as a condition of transfer of title to the land, the City will require that
replatting, rezoning, and proof of financing sufficient to complete Phase 1 of the development
are completed to the satisfaction of the City.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD,ALASKA that:
Section 1. The City of Seward hereby authorizes the City Manager pursuant SCC
7.05.120 and 7.05.150 to execute, upon completion of necessary replatting and rezoning, and
proof of financing for at least Phase 1 of the development, the transfer of title for property
referenced here as the western half, approximately, portion of KPB Parcel #14734005 north of
the easterly extension of Sixth Avenue and to be further described through replat, and a
minimum size for the development of a minimum of 5 units (approximately 0.7 acres) to the
Kenai Peninsula Housing Initiative (KPHI) for less than fair market value and for the sole
purpose of developing non-income based senior housing facility.
Section 2. KPHI agrees to complete at its own expense all replat and rezoning actions
necessary for the development of the property, and to provide proof of financing sufficient for at
least Phase 1 of the project as prior conditions of transfer of title, and to pay all closing costs and
fees for said property as consideration to the City for the properties.
1
CITY OF SEWARD,ALASKA
RESOLUTION 2015-020
Section 3. The Seward City Council finds the disposal of these properties, as described
in Sections 1 and 2 above, to be in the best interests of the citizens of the City of Seward and that
the public interest will be served by disposing of the property interest for less than the fair
market value, in accordance with the recitals above which are incorporated herein. No appraisal
is necessary pursuant to SCC 7.05.150.
Section 4. If the action items in Section 2 above are not completed by March 23, 2020
the authorization to transfer the land lapses unless further authorized by the City Council.
Section 5. Pending transfer of title of lapsing or re-authorization of this proposed
transfer,the land remains available for use by the City.
Section 6. This Resolution shall take effect thirty(30)days after passage and posting.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13th day of
April, 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
Council Agenda Statement
Meeting Date: March 23, & April 13, 2015 uC�o
`'
From: Ron Long, Assistant City Manager p
'14AsK
Agenda Item: Authorizing the City Manager to enter into an
Agreement with the Kenai Peninsula Housing
Initiative (KPHI) Donating approximately -14 0.7 Acres of the Northern
and Western Portion of Pat Williams Park For the Sole Purpose of
Developing an Independent Senior Housing Facility
BACKGROUND & JUSTIFICATION:
A lack of non-income based senior housing in Seward has been identified as a leading cause of
seniors leaving the community in order to find adequate facilities. Relocating away from family,
friends, and medical and social support systems is especially traumatic for our seniors. A
dedicated group of local volunteers has for years explored options for developing an appropriate
non-income based senior living facility in Seward, and has most recently partnered with the
Kenai Peninsula Housing Initiative (KPHI) to formalize and further their effort on behalf of the
community. KPHI is a private non-profit corporation that has successfully developed housing
projects across the Peninsula serving senior, special needs, and low income populations. KPHI's
experience and history suggest that they are the most likely entity to successfully procure grant
funding to develop a senior housing facility in Seward.
Key to a successful grant application is a commitment of site control for the location of the
proposed facility.
KPHI and the local volunteers have looked at several sites locally, and find the northern portion
of Pat Williams Park the most suitable. Preliminary seismic and geotechnical analysis by KPHI
confirm that the site is suitable for up to 14 units and associated land features.
KPHI proposes to develop the facility in two phases; each to be a five or six-plex. They desire to
do the replatting necessary to delineate the northern lot, to acquire this property, and to develop
the senior housing facility, all subject to grant award(s) sufficient to fund the first phase of
project. The City desires to support and facilitate where feasible senior housing in the
community. The entire parcel is currently used for tent camping and portable restrooms during
the summer; approximately hal-f one quarter of the parcel would no longer be available for
camping under this transfer.
The parcel zone designation is currently Park, and rezoning for the lot newly created through
replat would be required. Donating land constitutes a less than fair market value transaction, and
requires the Council to find such a transaction to be in the public's interest as a condition of
authorizing the transfer. As a condition of transfer of title to the land, the City will require that
replatting, rezoning, and proof of financing sufficient to complete Phase 1 of the development
are completed to the satisfaction of the City.
INTENT:
Authorize the City Manager to enter into an Agreement with the Kenai Peninsula Borough
I Housing Initiative (KPHI) donating approximately 1.S 0.7 Acres of the Northern Portion of Pat
Williams Park for the Sole Purpose of Developing an Independent Senior Housing Facility.
9
CONSISTENCY CHECKLIST: Yes No N/A
Comprehensive Plan: 3.2 Land Use
1. 3.7.3 Continue to improve the quality and efficiency of city X
governmental services.
Strategic Plan: Goals and Objectives
Adjust local development regulations, where appropriate, to encourage X
2' development that is consistent with our economic base vision and a high
quality of life for residents.
FISCAL NOTE:
. _ ... III III• -
The 0.7 acres in the site as amended contains four tent camping sites, including the only ADA
site (usually higher in demand). The estimated loss of revenue from these sites is 43,000 per
year, representing —280 camper nights. No corresponding estimation of expenses has been
applied.
Approved by Finance Department: Jl L
ATTORNEY REVIEW: Yes: No: I. ( hu+ VtViStd
RECOMMENDATION:
Council approve Resolution 2015- 02.0 Authorizing the City Manager to enter into an
agreement with the Kenai Peninsula Housing Facility (KPHI) Donating Approximately 1.8 0.7
Acres of the Northern portion of Pat Williams Park for the sole purpose of developing an
independent senior housing facility upon condition of KPHI being awarded all other necessary
funding for the project development and completion.
� 0
Kenai Peninsula Housing Initiatives(KPHI) Request to Seward City Council
For Donation of Portion of Pat Williams Park for use to develop Independent Senior Housing
In the mid 1990's, the communities of Kenai Peninsula participated in a series of
meetings called "Healthy Communities" where, with consultants, each community
broadly defined their quality of life issues. Consistently throughout this process, the
severe lack of safe affordable housing emerged as a significant community and
economic development issue. This led community and business leaders to collaborate
on solutions. As a result, Kenai Peninsula Housing Initiatives, Inc. (KPHI) was formed —
a private non-profit with the mission to alleviate the critical need for affordable housing
across the entire Kenai Peninsula.
Early on, KPHI provided information, referrals, and advocacy. In 2000 KPHI acquired its
first property - a HUD repossessed home in Soldotna. In 2002, KPHI earned
recognition as a Community Housing Development Organization (CHDO) and received
its' first development grant for a special needs housing project in Homer. With CHDO
status KPHI received a five-year operating grant which enabled the hiring of KPHI's first
staff person in 2003. In 2004 the organization completed Brookside Special Needs
Housing in Homer and renovated the HUD home and sold to a low income family. The
organization has developed a new property every year since.
Under the leadership of Executive Director Steven Rouse and with the commitment of a
highly accomplished staff, in 12 years KPHI has successfully developed 105 units of
affordable housing and owns and manages 83 of those units. Additionally, KPHI
acquired 17 units of housing from Peninsula Community Health Services and manages
those as well. In 2011, KPHI bought 5 Kenai Peninsula single family homes in
foreclosure, remodeled 4 and returned to property tax rolls by selling to low income
families under the Neighborhood Stabilization Program. In total KPHI has an inventory
of 102 rental units servicing low income, senior or special needs populations.
\ 1
11Page
Kenai Peninsula Housing Initiatives( KPHI) 2
Request for Donation of a portion of Pat Williams Park for Senior Housing Development
After assuming management of the South Peninsula Homeless Prevention Program in
2007 and applying strict guidelines and reporting protocols, the program attracted funds
from 2008 to mid-2012 that allowed KPHI to assist over 300 individuals annually to
maintain their housing. In October 2012 KPHI transferred the program to Haven House
secure in knowing the program was financially strong and under capable new
administration.
KPHI continues to work on new initiatives aimed at filling holes in the continuum of
housing on the Kenai Peninsula. It is with that objective in mind that KPHI has been
working since 2007 to fulfill the need for independent senior housing in Seward.
Independent market studies commissioned by Alaska Housing Finance Corporation and
local knowledge have identified a need for senior housing in this community. Efforts by
KPHI to develop such housing have been stalled by the inability to acquire suitable land
for development. A local task of concerned citizens was formed almost a year ago to
address the lack of independent senior housing and tireless effort has been given to
exploring options. It is with that experience empowered by the awareness of the urgent
need that KPHI formed a working partnership with this task force to finally succeed in
developing housing that does not exist and can become a reality with the City of
Seward's assistance.
Currently, the main source of gap/subsidy funding ( the difference between Total Project
Costs and all other funding sources- i.e. debt, cash, donation) for construction of
independent senior housing in Alaska is the Senior Citizens Housing Development
Funds Program (SCHDF) administered by Alaska Housing Finance Corporation.
Annually AHFC accepts pre-applications for proposed projects. Based on scope and
KPH/provides the lore-income, very long-income,senior and special needs residents of the Kenai Peninsula area the
opportunity to take a more active role in their lives and coinnuunities by providing a variety of affordable housing options.
Env 01-1R23180
19..^
Kenai Peninsula Housing Initiatives( KPHI) 3
Request for Donation of a portion of Pat Williams Park for Senior Housing Development
strength of a proposed project AHFC commissions an independent market study to
support need for the housing type and then, if deemed worthy, invites the pre-applicant
to submit a full application. The pre-application process starts in April /May of each year
with full application deadline usually in November and notice of grant award by year
end. Construction usually commences the following summer.
Due to statewide need and limited funding, the SCHDF approves only few projects each
year and competition is always fierce. Project proposals are awarded points for
community involvement and leverage contribution to the overall project cost and more
points based on the ratio of grant funds to Total Project Cost. Under these criteria a
common and effective method to secure a high number of points and win a grant award
is for the site to be donated.
In order for the first step in the time line (pre-application) to be successful and thus lead
to a funded project, KPHI must demonstrate "site control" for the proposed location of
the development. Site control need only be a letter of commitment (resolution) that
describes "should the project receive construction grant funding, clear title to the subject
property will be provided/donated for project use". In simple terms, ownership of the
property is retained until the project is approved and funded by AHFC. If the proposed
project is not funded, the agreement to donate property is rendered void.
In spring 2015, KPHI seeks to submit a preliminary application to the Alaska Housing
Finance Corporation Senior Citizens Housing Development Funds Program for the
development of 5- 6 units of independent senior housing in Seward. This would be the
first phase of a planned use development that is designed to include a second phase
development in 2018 or 2019.
KPHI provides the low-income, very low-income,senior and special needs residents of the Kenai Peninsula area the
opportunity to take a more active role in their lives and communities by providing a variety of affordable housing options.
EIN 911-1823!8D
Kenai Peninsula Housing Initiatives( KPHI) 4
Request for Donation of a portion of Pat Williams Park for Senior Housing Development
As previously mentioned, KPHI and the task force have explored options for a site to
develop senior housing in Seward. A portion of the City owned Pat Williams Park is an
ideal location and the subject of our request. Seismic and geotechnical analysis confirm
the site is suitable for 5 to 14 units depending on unit size and bedroom configuration.
KPHI respectfully asks the City Council of Seward to approve /adopt a resolution
whereby the City of Seward agrees to donate the *northern portion of KPB Parcel #
14734005 known as Pat Williams Park located at 506 B Street in Seward (*as
identified in the prosed site plan and to be accurately re-platted upon site survey) to
KPHI for the sole purpose of developing independent senior housing for the benefit of
the residents of Seward and surrounding areas contingent upon the proposed Phase 1
project receiving and /or being awarded all other necessary additional funding for
project development.
*Note: Survey defining a specific lot line location and parcel to be donated will be
accomplished summer of 2015 at KPHI expense so by the time project is awarded
funding the exact property description will be known and ready for Kenai Borough
approved re-plat and title transfer to occur prior to being required by AHFC.
KPHI looks forward to the opportunity to provide the community of Seward a well-
designed, energy efficient, market rate (no rental subsidies) independent senior housing
complex that will serve current and future seniors for decades.
Organizational Contact:
Steven. L Rouse, Executive Director
KPHI Corporate Office
3751 Sterling Highway
Homer,AK 99603
907.235.4357 (voice)
907.235.4335 (fax)
907.399.4357 (mobile)
Email steven @kphi.net
KPHI provides the low-income,very low-income,senior and special needs residents of the Kenai Peninsula area the
opportunity to take a more active role in their lives and communities by providing a variety of affordable housing options.
EINI91-1823180
Kenai Peninsula Housing Initiatives(KPHI) 5
Request for Donation of a portion of Pat Williams Park for Senior Housing Development
KPHI provides the low-income,very low-income,senior and special needs residents of the Kenai Peninsula area the
opportunity to take a more active role in their lives and communities by providing a variety of affordable housing options.
EIN 91-1823180
.7- Iii. „cv op, - 7..
sok- z
tv :
,41,I .
re i 4,40 IP
if
i 4- 1 L-L , ..
y r.
m;
f ? N fir +
' - 4 ....„
r , M , .
4 �' \
w4
DP � / r ii
s ;
ii .„ ,-1`' -- ) \\°" i.r � approx.
, edlotlin
ir , ` propos
rf
ti � t
Ad' r ligio t+ M
IP
# LI& ' - s '''
lb
110 4511 •
• . \SIR
� No.i e 11s, IIK, p,.
f . -7-4 *4 . _ .
• , ,, 1411 EY sir ... am 110 .44 _ t li,
r'7'a
, lit t it to
s
ill } i .4,,
, A , ,..
v _ - , . i
, / CC Resolution 2015-
Pat Williams Park ,,
�r; iv°g, A March 23,2015
Due to different data sources property lines and aerial o 120 240 F'
imagery do not overlay correctly. Map is to be used for 4 s*". # '
orientation and reference purposes only. .. Mapping Assistance by Alaska Map Company,LLC
amlimmallsasoler
IIP
Pat Williams Manor
An Independent Senior Housing Complex
l
5 or 6 Plex
N
Phase 1
r►
_ III 11
. i
Phase 2 �e`la 1a
Gov
Proposed ;�e
Plat Z ��a
/ v
BDS
January 26,2015
Memo from P & Z Commission
e of sets.
Meeting Date: April 13, 2015 •'�_.•c:40
Through: Ron Long, Assistant City Manager q �P
From: Donna Glenz, Planner�� p,,r,�/
Agenda Item: The Planning and Zoning Commission's Recommendation to Council on CC
Resolution 2015-020, donating a portion of Pat Williams Park for
development of a senior housing facility
BACKGROUND &JUSTIFICATION:
On March 23, 2015 the Seward City Council held the first of two public hearings on Resolution
2015-020, regarding a request from Kenai Peninsula Housing Initiative(KPHI) for the donation of
1.8 acres of the northern portion of Pat Williams Park for the development of a senior housing
facility. Following the public hearing,the Council amended the original resolution,downsizing the
amount of land to the northwest area of Pat Williams Park consisting of approximately.7 acre. The
Council also requested the Planning and Zoning Commission hold a public hearing on April 7,2015
to provide addition public comment time and provide a recommendation to Council on Resolution
2015-020, as amended.
Staff complied with the public hearing requirements of SCC15.01.040 Public Hearings. All property
owners within 300 feet of the subject parcel were notified and the property was posted with public
notice signs.
The Planning and Zoning Commission held the requested public hearing on April 7, 2015. There
were approximately 43 members of the public in attendance at the meeting. 3 members of the public
spoke in support Resolution 2015-08 and 20 members of the public spoke in opposition to
Resolution 2015-08.
The Commission closed the public hearing,placed the motion to approve Resolution 2015-08 on the
floor for discussion. The Commission thanked everyone for attending and voicing their concerns.
The Commission supported the need for senior housing in Seward but expressed concerns for the
location noting the Comprehensive Plan,Strategic Plan and the Municipal Lands Management Plan
all call for retaining Park Lands in perpetuity.
Following the discussion the Commission voted and failed Resolution 2015-08 by a 4 to 1 vote.
Thereby, recommending the Council fail Resolution 2015-020.
ICI)
FAILED
Sponsored by: Staff
CITY OF SEWARD, ALASKA
PLANNING AND ZONING COMMISSION
RESOLUTION 2015-08
A RESOLUTI►N OF THE SEWARD PLANNING AND ZONING
COMMISSION OF THE CITY OF SEWARD, ALASKA,
RECOMMENDIN e CITY COUNCIL APPROVE COUNCIL
RESOLUTION 201 020, DONATING A PORTION OF PAT WILLIAMS
PARK FOR DEVE 1 PMENT OF A SENIOR HOUSING FACILITY
WITH CONDITIONS, S AMENDED MARCH 23,2015(AS ATTACHED)
WHEREAS, on March 23, :015 the Seward City Council held the first of two public
hearings on Resolution 2015-020, reg: ding a request from Kenai Peninsula Housing Initiative
(KPHI) for the donation of.7 acre of th- northern portion of Pat Williams Park; and
WHEREAS, the Council requeste a the Planning and Zoning Commission hold a public
hearing on April 7, 2015 and provide Co ∎ucil a recommendation on City Council Resolution
2015-020, as amended; and
WHEREAS,the Council will hold the s- and public hearing on April 13, 2015; and
WHEREAS, Council Resolution 2015-0.0 as amended is attached here to for the
Commissions review and recommendation.
NOW, THEREFORE, BE IT RESOLVE I by the Seward Planning and Zoning
Commission that:
Section 1. The Commission hereby recommends - Seward City Council approve
Resolution 2015-020, as amended, authorizing the City Malta:-r to enter into an agreement, with
conditions, with the Kenai Peninsula Housing Initiative, for the onation of the northwest portion
of Pat Williams Park, approximately .7 acres.
Section 2. This resolution shall take effect immediately upon .doption.
FAILED by the Seward Planning and Zoning Commission this 7th d of April 2015.
1°)
Seward Planning and Zoning
Resolution 2015-08
Page 2 of 2
THE CITY OF SE ARD
FAILED
Cindy Ecklund, Chair
AYES: Anderson
NOES: Seese, Coulter, Fleming, Ecklund
ABSENT: Swann
ABSTAIN: None
VACANT: One
ATTEST:
Johanna Kinney,CMC,
City Clerk
(City Seal)
2-o
P&Z Agenda Statement
ocSet,.9
Meeting Date: April 7, 2015 u` k ''. '�o
Through: Ron Long, Assistant City Manager 8"' 1 �'
1CASV-P
From: Donna Glenz, Planner d
Agenda Item: Recommendation to Council on CC Resolution 2015-020,donating a portion
of Pat Williams Park for development of a senior housing facility
BACKGROUND &JUSTIFICATION:
On March 23, 2015 the Seward City Council held the first of two public hearings on Resolution
2015-020,regarding a request from Kenai Peninsula Housing Initiative(KPHI)for the donation of
1.8 acres of the northern portion of Pat Williams Park for the development of a senior housing
facility. Following the public hearing,the Council amended the original resolution,downsizing the
area and amount of land to the northwest area of Pat Williams Park consisting of approximately .7
acre. The Council also requested the Planning and Zoning Commission hold a public hearing on
April 7,2015 to provide addition public comment time and provide a recommendation to Council on
Resolution 2015-020, as amended.
The recommendation within the Municipal Lands Management Plan, 2014 Update, for Tract E,
Waterfront Park is the parcel to remain park.
HISTORY OF THE PROJECT FROM CITY COUCIL AGENDA STATEMENT
KPHI is a private non-profit corporation that has successfully developed housing projects across the
Peninsula serving senior,special needs,and low income populations. KPHI's experience and history
suggest that they are the most likely entity to successfully procure grant funding to develop a senior
housing facility in Seward.
A group of local volunteers has explored options for developing an appropriate non-income based
senior living facility in Seward,and has most recently partnered with KPHI to formalize and further
their effort in the development of a senior living faculty.
Key to a successful grant application is a commitment of site control for the location of the proposed
facility. KPHI and the local volunteers have combined efforts and looked at several sites locally,and
found the northern portion of Pat Williams Park the most suitable for a senior housing unit.
Preliminary seismic and geotechnical analysis by KPHI confirm the original site suitable for up to 14
units and associated land features. KPHI proposed to develop the facility in two phases,each to be a
five or six unity facility.
Because donating land constitutes a less than fair market value transaction,this action requires that
Council find the transaction to be in the public's interest as a condition of authorizing the transfer
pursuant to City Code 7.05.120 "The city council may acquire or dispose of an interest in real
property by negotiation,public auction,or sealed bid."And 7.05.150,"(a)The city shall not sell any
real property interest without first making an appraisal of the fair market value of that interest,unless
the city council finds that the public interest will not be served by an appraisal. And; (b) If an
appraisal is made,the property interest shall not be disposed of for less than the appraised fair market
value, unless the city council finds by resolution that public interest will be served by disposing of
the property interest for less than the appraised fair market value. " Passage of this authorization
confirms this finding by council.
KPHI desires to do the replatting necessary to delineate the northern lot of the Park to acquire this
property, and to develop the senior housing facility, all subject to grant award(s) sufficient to fund
the first phase of project. The City desires to support and facilitate where feasible senior housing in
the community. The entire parcel is currently used for tent camping and portable restrooms during
the summer and this transfer will make approximately half(just over one quarter) of the parcel
unavailable for camping. (removing three(3) camping spaces)
The parcel is currently zoned as Park,and rezoning for the lot newly created through replat would be
required.As a condition of transfer of title to the land,the City will require that replatting,rezoning,
and proof of financing sufficient to complete Phase 1 of the development are completed to the
satisfaction of the City.
Floodplain status:
According to the FEMA Flood Insurance Rate Map, September 27, 2013, this property is located
outside of any special flood hazard areas.
Utilities:
Sewer and electric are within the adjacent alley to the west. Water is within the B Street ROW and
both water and sewer bisect Tract E with large utility easements.
CONSISTENCY WITH CITY PLANS
CONSISTENCY CHECKLIST: Yes No N/A
Comprehensive Plan (2020, approved by Council August 8, 2005)
1) Recreation
We value diverse, year-round, indoor and outdoor recreational
opportunities and facilities for residents and visitors of all ages and
socioeconomic backgrounds.
• Protect open space by ensuring that Waterfront Park is platted,
zoned, and dedicated for park purposes in perpetuity. (Bullet 4,page
12)
1. 2) Recreation 3.6 X
3.6.1 Improve, expand and diversify year-round parks and
recreational opportunities for residents and visitors.
• Sustain current zoning for City park lands. (page 25,Bullet 6)
3) Quality of Life 3.9
3.9.2.2 Preserve and protect the scenic views of the mountains and
Resurrection Bay.
• Ensure zoning that maximizes park purposes along the waterfront
and waterway buffer areas,in particular dedicating Waterfront Park
for open space in perpetuity. (page 31,Bullet 2)
Comprehensive Plan (2020, approved by Council August 8, 2005):
3.2.1 Promote residential and commercial development within the
2 city of Seward in accordance with community values. (page 19) X
3.3.1.1 Support a range of housing choices that meet the needs of
people in various income and age groups. (page 22)
Strategic Plan (Approved by Council Resolution 99-043):
Pursue the community's vision through rigorous implementation of
the Comprehensive and Land Use Plans
• Ensure that all legislative and administrative decisions are
consistent with the goals of the Strategic and Comprehensive
Plans (Page 10&Bullet 3)
Recreation and Leisure
3 X
• Protect Waterfront Open Space
o Maintain Park Zoning designation throughout Waterfront
Park(Page 12,Bullet 2)
Natural Environment
o Ensure that Waterfront Park is zoned and dedicated for
park purposes in perpetuity(Page 15,Bullet 2)
Strategic Plan (Approved by Council Resolution 99-043):
• Expand availability of affordable,diverse,year-round housing.
(Page 18,Bullet 3)
o Seward has a wide range of housing alternatives to meet the
4 varied needs of Seward's long term and seasonal residents X
• Promote Residential and Commercial Development inside the
City. (Page 9,Bullet 2)
o Encourage construction of residential and seasonal housing
at all market levels (Page 9,Bullet 1)
Municipal Lands Management Plan: (Adopted by Council Resolution
2014-095)
509 B Street Waterfront Park, Tract E 14734005
5 Description: This parcel is located on the West side of Ballaine Blvd. X
between B Street and Monroe Street. The parcel contains the dedicated
Williams Park,tent camping with porta-potties.
Recommendation: Retain ownership and continue existing uses.
Develop a"conservation overlay district." (Page 25&26)
ADDITIONAL HISTORY OF THE LAND
Prior to the 1964 Earthquake this area was abutting the Texaco oil tank area and the Railroad yards,
which were destroyed during the quake,fire and tsunami. The Geological Survey Professional Paper
542-E, prepared by the U.S Geological Survey following the 1964 earthquake states, "Fractured
ground in back of the present shoreline along the Seward Waterfront is an area of incipient landslides
that would be unstable under strong shaking. For this reason the Scientific and Engineering Task
2-2)
Force placed the area in a high risk classification and recommended no repair;rehabilitation or new
construction in the area involving Federal funds;it was further recommended that the area should be
reserved for park or other uses that do not involve large congregations of people.
Following the 1964 quake the area was became part of the Alaska State Housing Authority and was
obtained by the City through that Alaska Housing Finance Corporation late 1960's Urban Renewal
Plan. There is mention in correspondence of maintaining the area as open space but there is no deed
restriction.
The late Pat Williams was a local historian and prominent member of the community. She continued
to make contributions to our community politically, professionally and historically right up to her
death in late 2014. She lived for many years overlooking the area known as Pat Williams Park. In
the mid 1990's she made a phone call and stopped the clear-cutting of the spruce trees in the park
area. The area was never owned by Pat Williams.
By Resolution 2003-073 the City Council unanimously proclaimed the park area west of Ballaine
Boulevard between Monroe Street and "B" Street as Pat Williams Park. The area known as Pat
Williams Park has continued to improve with gravel roadways,tent sites,water service,landscaping,
fire rings, and individual camp sites and continues to be used as a tent camping area.
By Resolution 2011-037 the City Council recommended the Kenai Peninsula Borough approve the
Waterfront Park Replat, which included Tract E, commonly known as Pat Williams Park.
ZONING AND LAND USE PLAN
The area known as Pat Williams Park,Tract E,Waterfront Park,is currently zoned as Park(P). The
Municipal Lands Management Plan approved with the 2020 Comprehensive Plan also calls for the
area to remain Park.
Public Hearing Comments:
Property owners within three hundred(300)feet of Tract E,Waterfront Park Replat were notified of
this special Public Hearing item. Public notice signs were posted on the property, and all other
public hearing requirements of Seward City Code §15.01.040 Public Hearings were complied with.
Community Development has received numerous phone calls and personal inquiries regarding this
public hearing item. All questions were answered and all were encouraged to submit written
comments and concerns to be included in the packet and/or to attend the public hearing before the
Commission. All written comments received before the printing of this report have been included.
Any written concerns or comments received after the publishing of this report will be provided as a
lay down item at the meeting on April 7, 2015.
RECOMMENDATION:
The Commission approves Resolution 2015-08, recommending City Council approve Council
Resolution 2015-020, donating the northwest .7 acre of Pat Williams Park for development of a
senior housing facility with conditions, as amended March 23, 2015.
The Commission fails Resolution 2015-08, thereby recommending City Council fail Resolution
2015-020,donating the northwest.7 acre of Pat Williams Park for development of a senior housing
facility with conditions, as amended March 23, 2015.
/1-a
City of Sewarct Alaska Planning Commission Minutes
April 7, 2015 Volume 7,Page 128
theme of the Forest Acres neighborhood. She suggested that Tamarack was more suitable, and
possibly Larch.
No one else requested to be heard and the public hearing was closed.
Motion (Anderson/Fleming) Approve Resolution 2015-07
Anderson said she did not see any problem with the name Crabapple Street.
Coulter noted that a work session was held to discuss the proposed name change and several
names were considered.
Motion Passed Unanimous
Resolution 2015-08 of the Seward Planning and Zoning Commission of the
.1)‘//'
City of Seward, Alaska recommending City Council approve Council
Resolution 2015-020, donating a portion of Pat Williams Park for development
of a senior housing facility with conditions, as amended March 23, 2015 (as
attached)
Glenz said the resolution was intended to provide a recommendation.to City Council regarding the
proposed donation of park land for a senior housing facility. The proposal had been amended by
Council, reducing the portion of land for the proposed project to .7 acres, Glenz said. Council
requested that the Planning and Zoning Commission hold a public hearing to provide additional
public comment time and provide a recommendation to the Council on Resolution 2015-020, as
amended. N
Glenz pointed out the location of the parcel and explained the history of the land, including a
geotechnical report that indicated the property included fractured ground and was in a high risk
classification. The property was acquired by the City through the Alaska Housing Financing Corp.
urban renewal program after the 1964 earthquake. No deed restrictions were placed on the
property. Pat Williams Park was named and identified by City Council resolution in 2003. The
area was never owned by the late Pat Williams, a longtime Seward resident.
Glenz noted staff had received numerous comments and all had been included in the Planning and
Zoning Commission meeting packet. Addition comments received prior to the meeting were
provided to the Commission as a laydown.
Notice of public hearing being posted and published as required by law was noted and the
public hearing was opened.
Kelly Hartz, inside City limits, said her home was near Pat Williams Park. Hartz was not opposed
to senior housing, but opposed the use of Pat Williams Park. Hartz pointed out the Municipal
Lands Management Plan indicated Waterfront Park should remain park land. Signatures
supporting the park had been collected and more would be gathered, Hartz said. The park area was
City of Seward,Alaska Planning Commission Minutes
April 7, 2015 Volume 7,Page 129
at risk for tsunami inundation and not suitable for senior housing, she said. Hartz also pointed out
the park generated camping fee revenue. The City owns many parcels and another location could
be considered, Hartz said.
Andy Wilder, inside City, said he opposed the use of Pat Williams Park for housing. Park land
benefits the entire community, while senior housing would benefit only a few, Wilder said. A loss
of green space and new traffic patterns would reduce nearby property values, Wilder said. City
long term plans do not support the use of park areas for housing developments. The development
proposal seemed rushed and funding appeared questionable, he said.
Kathleen Barkley, inside City, said she was asked to sign petitions related to the land issue.
Barkley said some of the information she received was not accurate. Barkley said the campground
area generates revenue during a few months of the year, while seniors are in town throughout the
year. She pointed out that much of town is in a tsunami inundation zone. Barkley said citizens
needed to give the senior housing issue more thought and find a solution. "\
Candy Norman, outside City, said she was part of the group working to provide non income based
senior housing in Seward so that older residents do not have to move to other Kenai Peninsula
communities. Norman said the board of,directors at the Seward Senior Center was in favor of the
proposed development. Many are in need of senior housing,'she said. Norman pointed out that i
many seniors who rebuilt their homes after the 1964 earthquake had to live elsewhere.
Diane McRae, inside City, said she was a senior, as well as her husband, and they wanted senior
housing. Groups had previously tried to establish senior housing, but had not been successful. The
Pat Williams Park location was suggested as a potential location, and the current group began to
work through the public process to obtain property.
r
McRae asked to read from a prepared statement and the Commission suspended the rules to allow
more time for testimony. McRae said the proposal would use a small portion of Pat Williams Park,
and the project would include a single-story structure and would not impact the view shed. She
said that much of the town is in an area that would be impacted by tsunami. The housing was ,
intended to be affordable, but not income based, she said.
Commissioner Anderson requested a copy of the written statement for the record.
Andrew Bacon, inside City,said Seward needed housing across all demographic groups. He said
the proposed location for senior housing at Pat Williams Park would result in conflicts between
residents and campers due to noise,traffic and other issues. Bacon suggested that a larger parcel be
used to include more senior housing units.
John French, inside City, said he believed the proposed non income based housing would have no
rental subsidy, but also no rental rate cap. He said the proposed development might not be
affordable for the majority of Seward seniors. French said he opposed the City donation of any
portion of Pat Williams Park. The park land became available because of natural disaster, he said.
��P
City of Seward Alaska Planning Commission Minutes
April 7, 2015 Volume 7,Page 130
The Seward shoreline could be impacted by storm surges in the future, further reducing the amount
of land that can be enjoyed as park, French said.
Mike Brittain, inside City, said the proposed donation of City land was a giveaway that he
opposed. Brittain said he was in favor of senior housing, but against using a portion of Pat
Williams Park.
Mark Kansteiner, inside City, thanked Commissioners for their work. Kansteiner said the City's
Municipal Lands Management Plan called for retaining Waterfront Park. The park generated
revenue that would surpass the dollars raised from the limited tax on paid rent by senior residents,
he said. Kansteiner read a passage written by Pat Williams, describing the attributes of the park.
Regardless of who the park was named for, public park land should remain park, Kansteiner said.
City-owned parcels on First Avenue should be considered for development, he said. Other private
and public land owners, including the Kenai Peninsula Borough, could be approached for land
donations. i t
Kansteiner said that if a portion of park land was given away, additional portions of park could be
used for development. Pat Williams Park is a high risk zone not suitable for development, he said.
Kansteiner said the Kenai Peninsula Housing Initiative made,reference to a geotechnical analysis
for the proposed development site, but he was not aware of the analysis being made available. It
was not in the public interest to house seniors in a tsunami zone, he said.`
Patty Linville, inside City, said that public projects do not go quickly. She was involved in the
Community Library Project, and said a pre-development process was required. The process
includes making sure a project meets a documented need, is consistent with community plans and
that opportunities for collaboration were considered. Linville said a project should include realistic
budgets and other financial considerations, as well. Linville referred to the Municipal Lands
Management Plan, pointing out that the proposed park donation challenges the recommendations
of the plan. Linville said she enjoyed the park and valued it and asked the Commission to fail the
resolution of support.
Bob Linville, inside City, said he supported senior housing and appreciated the work that
volunteers had done on the proposed development. He said putting the housing within the park
would generate too much opposition — the community could expend that energy looking for a
better location. Linville said he would be willing to volunteer to help with the effort.
Tim Pichotta, inside'City, said finding a location that would accommodate more than five
residential units would be a better idea. He was opposed to more traffic that could be generated.
Pichotta said nearby campers may be too noisy for senior residents.
Sue Maurice, outside City, supported senior housing and said the community needed to find a
solution. There were numerous vacant lots in town that might be suitable for a senior housing
development, she said.
1.1
City of Seward,Alaska Planning Commission Minutes
April 7, 2015 Volume 7,Page 131
Nan Thompson, inside City, said there was no dispute that senior housing is needed in the
community. The portion of the park that would be dedicated to the project is underutilized.
Alternatives should be downtown and within walking distance, she said.
Wadeen Hepworth, inside City, said the proposal to give away a portion of Pat Williams Park was
dividing the town's residents. There was no need to rush the project, she said. Hepworth
questioned a development strategy of having to make a quick decision in order to gain access to
potential funding. She suggested looking for additional locations for senior housing.
.
Matthew Hall, outside City, said the community needs housing for the working poor as well as the
elderly. He thanked the volunteers who had worked on the senior housing issue and said it was
important for community residents to provide their comments and ideas.
_ A
Linda Lasota, outside City, said senior housing was needed and the working poor need housing as
well. She objected to giving away City property for five housing units, she said. Lasota suggested
the residents of the community unite to find a better location.
Ron Wille, outside City, said he had served on local boards and proposals have been presented
with urgency, often due to funding. The land selection process for the envisioned senior housing
should be more transparent, he said. He suggested that the land selection process begin again with
more community participation.
Carol Griswold, inside City, questioned the process for land selection and said she had not seen
any geotechnical analysis for the site that Kenai Peninsula Housing Initiative might have, despite
her request. Griswold encouraged the use of deed restrictions to protect park land. She asked that
the Commission fail the resolution of support. ,,\Y
Helen Lindemuth, inside City, said the late Pat Williams would not want the park to be developed.
Lindemuth said studies indicate outdoor recreation promotes good health. There are also
environmental benefits to keeping trees and green space, she said. Lindemuth requested that Pat
Williams Park not be used for development.
Wadeen Hepworth said it was important to learn more about the developer.
John French said the Historic Preservation Commission was scheduled to meet on April 8 to
discuss the proposed park land donation and welcomed residents to participate and provide
comments.
Candy Norman said the senior housing group approached various land owners before dealing with
the City, and Pat Williams Park was suggested.Norman said she wanted to reiterate that other land
owners were approached, but they were unwilling to donate property.
Andy Wilder said he wanted to note that the City suggested Pat Williams Park land as an option
for development.He wanted to know where the suggestion originated.
City of Seward Alaska Planning Commission Minutes
April 7, 2015 Volume 7, Page 132
Diane McRae said the property site at Pat Williams Park was suggested, and the senior housing
group moved quickly. McRae said the location was not necessarily the best choice, but discussions
with other land owners had not progressed. Senior housing development efforts failed in the past,
which prompted quick action, she said.
Mel Woodard, inside City, said he wanted the Kenai Peninsula Housing Initiative to be more
forthcoming with details about the proposed senior housing project. The process should be
transparent, he said.
Katelyn Rullman, inside City, said the community conversation needed to be broadened to solve
the apparent problems. There was no need to rush with the current proposal,Rullman said.
Diane McRae said the apparent rush was due to questions about securing funding for the project.
She also said that previous failures to develop senior housing created a sense of urgency.
i
No one else requested to be heard and the public hearing was closed. N
Motion (Anderson/Fleming) Approve Resolution 2015-08 %
Fleming thanked the public for providing comment at the meeting. Senior housing is an issue the
community needs to work on. The work on updating the Municipal Lands Management Plan did
include the recommendation that the park land remain, she said. -\‘; -
Seese said he appreciated the ideas presenter by the public. Seese said he believed that nearby
campers might make too much noise for seniors.The park should remain park,he said.
Anderson noted her family history and said she would like to remain in Seward, where she was
born. Anderson said she remembered working on senior housing in the 1990s. She said it appeared
there was considerable opposition to all types of projects. The small portion of the park that would
be dedicated to the development would not severely impact the rest of the park, Anderson said.
She also pointed out that various developments in town would be impacted by tsunami, but they
were built with community support. -
Coulter said she agreed with the need for senior housing, but the park would provide the greater
good for a greater number of people.
Ecklund thanked the meeting participants for providing comment. She also reiterated that the
Historic Preservation Commission would be taking public comment on the issue. Ecklund said the
Commission was tasked with overseeing public health and safety. She questioned placing a
housing development within a tsunami zone.
Anderson noted that normally the park land donation issue would not have come before the
Planning and Zoning Commission,but additional public comment was requested by City Council.
Motion Failed Yes: Anderson
No: Seese,Coulter,Fleming,Ecklund
2•S
. ,., 1 ji 4, liti .4
r
p Ili
s y - \ 0 p ref
a
.- v
. �r.
t I approx. .7 acre
proposed lot line ^--'
6 •
•
Cllr •
Pao f '�
. - ill I '
+fir
} A Street ''
illli a 1
— it, , f
s - ,e %
i a, - 4
Ira
i $' Mil■ ' Vow -
L e . iii' __1011111____allf _ ,
11 R
,4101011 ,
/ ' ji • , Fit, i , i,, c_1 ,,. .,0 lb
, _ ,...
i
.41�r .mac -
-
�Y
Ay, Abr
air
i -
fs
" R' x..
0 , 0"� : „
AVIr i � . —
_A116 a
alma
1-...41,1 _
. % . ei• itt
it . ,, , tiii. i _ 0
Approximent .7 acres, As Amended 1FSE,,.
' Senior Housing Facility
/:
by City Council, March 23, 2015 ' . , N April 13,2015
Due to different data sources property lines and aerial At '• c # 0 120 240 F
imagery do not overlay correctly. Map is to be used for
orientation and reference purposes only. Mapping Assistance by Alaska Map Company,LLC
'.5 0
Sponsored by: Seward Historic Preservation Commission
CITY OF SEWARD, ALASKA
HISTORIC PRESERVATION COMMISSION
RESOLUTION 2015-002
A RESOLUTION OF THE SEWARD HISTORIC PRESERVATION
COMMISSION OF THE CITY OF SEWARD, ALASKA, IN
ADVISEMENT ON COUNCIL CITY RESOLUTION 2015-020,
DONATING APPROXIMATELY A 0.7 ACRE PORTION OF KPB
PARCEL 14734005, KNOWN AS PAT WILLIAMS PARK FOR THE SOLE
PURPOSE OF DEVELOPMENT
WHEREAS, the Seward Historic Preservation Commission wishes to assist with the
ongoing responsibilities it holds as a Certified Local Government (CLG), which requires
provision for recognition of the historically significant activities, structures and the people who
helped build Seward; and
WHEREAS, it is the responsibility of the Seward Historic Preservation Commission to
assist with the continuing education of citizens regarding local historic preservation and
community history; and
WHEREAS, the Commission has continuously received Certified Local Government
grants for historic preservation activities; and
WHEREAS, pursuant to the responsibilities with the Powers and Duties of the Historic
Preservation Commission (Seward City Code 2.30.425); and
(2) Survey and inventory community historic architectural and archaeological
Resources within the community,
(4) Act in an advisory role to other officials and departments of local government
Regarding the identification and protection of local historic and archaeological
Resources, and
(7) Review local projects and recommendations about the effect on properties
Identified in the local historic preservation inventory.
(Note: The local historic inventory is different from the local Register of Historic
Places. The inventory only requires that the historic or archaeological resource
be more than 50 years old.)
WHEREAS, the Seward City Council adopted, passed and approved on 08 December
2014, Resolution 2014-095 the Municipal Lands Inventory and Management Plan per Seward
City Code 15.05.015; and
31
SEWARD HISTORIC PRESERVATION COMMISSION
RESOLUTION 2015-002
WHEREAS, the Seward City Council per Seward City Code 2.30.2225(B) directs the
Planning and Zoning Commission to advise the City Council regarding the Official Land Use
Plan; and
WHEREAS, the Planning and Zoning Commission after public hearing on 04 November
2014 approved Resolution 2014-11 recommending the City Council adopt the Municipal Lands
Inventory and Management Plan; and
WHEREAS, the Seward Historical Preservation Commission supports the findings and
recommendations provided to the Seward City Council in accordance with the 2014 Municipal
Lands Inventory and Management Plan as stated on page 26, General Description & History of
Waterfront Park, the City of Seward retain ownership and continue existing uses. Develop a
"conservation overlay district"; and
WHEREAS, as noted in the City of Seward Municipal Lands Inventory and
Management Plan (Resolution 2014-11 P&Z) in its adaptation by City Council Resolution 2014-
095, `The City has received open space credit within the National Flood Insurance Program for
the Waterfront Park area' (page 26 MLMP—2014); and
WHEREAS, the Seward Historical Preservation Commission recommends to the Seward
City Council, the allowance of Waterfront Park Tract E KPB Parcel 14734001, located at 509 B
street to remain in its current full size of 3.14 acres and known as the `Pat Williams Park'; and
WHEREAS, this property is located within an area of known historic value of pre-post
1964 period of Seward, it falls within the responsibilities of the Seward Historical Preservation
Commission Powers and Duties to survey and inventory and review.
NOW, THEREFORE, BE IT RESOLVED BY THE Seward Historic Preservation
Commission that:
Section 1. This property is located within an area of known historic value of pre-post-1964
period of Seward, it falls within the responsibilities of the Seward Historic Preservation
Commission Powers and Duties to survey and inventory and review.
Section 2. This property lies well within a geological fractured zone, flooding and tsunami zone.
Section 3. The Seward Historic Preservation Commission recommends to the Seward City
Council retain said property and its current status as a park. Pat Williams Park is on the Seward
Historical Inventory List. In addition, Resolution 2003-01 by the Seward HP Commission
approved on June 18, 2003 and Resolution 2003-73 approved on July 14, 2003 by the Seward
City Council proclaiming the naming of Pat Williams Park.
Section 4. This resolution shall take effect immediately upon enactment.
PASSED AND APPROVED by the Seward Historic Preservation Commission of the City of
Seward, Alaska, this 8th day of April 2015.
SEWARD HISTORIC PRESERVATION COMMISSION
RESOLUTION 2015-002
THE CITY OF SEWARD, ALASKA
?,/ 4 .0g-'
nda Lasota, Chair
AYES: CHAIR LASOTA, FRENCH, ROACH', HEPWORTH, ERICKSON
NOES: NONE
ABSENT: KURTZ, HEDMAN
ABSTAIN: NONE
ATTEST:
-4 a ,4%017 Vr/r
Jo anna ey, MC
C' Clerk
(City Seal) ••.,a.....a,,..
,.+....,, ri
c+ R O
•
% .o �;�°•eu; n`+.• y1':.Oho
d
sA•J1<Lt9.
>11A310 IWO
3H1 AO 301±10 �
510Z 6 0 eldd
a3AI333a
3 �
�vn i �n� S ?/mil 1412!?' c'-g7/
%v I/0I°
o sb'7 Pp 7
+ 0(-11) S A14 at:-3Y2)YY) --P79
�, r n7a5 a� Nan �
�S �
o c ! / 11 - ;1 /11/
p ")t N qt.7 '
p 20c79.3s cvQ s ► S it rm T ut8 so
r, p nl - 13 v1 S t 0101-1-,V -3 ? ! s mo o-
d
s71/4_ no0s-dam oo - 5/ 0Z° ni09- v
rsn'to33L 01 cal o-.o rt �I '
cod t1 s loe ` b 1
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2015-027
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
LEASE AGREEMENT WITH ALASKA WIRELESS NETWORK LLC,
FOR A PORTION OF U.S.S. 4828, WITHIN SECTION 12, T1S, R1W,
SEWARD MERIDIAN, SEWARD RECORDING DISTRICT, THIRD
JUDICIAL DISTRICT, STATE OF ALASKA, AND COMBINE THE
EASEMENT AGREEMENT FROM RESOLUTION 2010-048 LOCATED
WITHIN A PORTION OF LOT 1 FOURTH OF JULY CREEK
SUBDIVISION, NUMBER 2, AND PLAT NO. 98-09, SEWARD
RECORDING DISTRICT, SEWARD MERIDIAN, ALASKA TOWNSHIP 1
SOUTH, RANGE 1 WEST, SECTION 12, SEWARD,ALASKA
WHEREAS, AWN LLC, ("Lessee") has requested to renew this lease (94-092) for an
additional 10 years with the City of Seward for 2800 square feet, more or less, within U.S.S.
4828, within section 12, T1S, R1W, Seward Meridian, Seward Recording District, Third Judicial
District, State of Alaska;
WHEREAS, the current lease has been in effect since December 28, 1994; and
WHEREAS, by combining the Utility easement agreement from resolution 2010-048 for
an non-Exclusive fifteen foot (15) utility easement at 707 Nash Road, Seward, Alaska located
within a portion of Lot 1, Fourth of July Creek Subdivision, Number 2, and Plat No. 98-09,
Seward Recording District, Seward Meridian, Alaska, Township 1 South, Range 1 West, Section
12, and Located within a portion of Fourth of July Creek Subdivision, Roberts Replat, Plat No.
2006-12, Seward recording District, Containing 1,215 sq. feet. Plus or Minus, into one contract
would benefit AWN and the City; and
WHEREAS, use of the tower is compatible with the use for adjacent lands. The City of
Seward previously approved the tower construction and use. The tower is registered with the
FCC and height was approved by the FAA for air clearance; and
WHEREAS, the tower is permitted under the then existing zoning regulations and
comprehensive land use plan; and
WHEREAS, the tower provides coverage of cellular and data services to citizens and
public agencies.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
35
CITY OF SEWARD, ALASKA
RESOLUTION 2015-027
Section 1. The City Manager is hereby authorized to enter into a Lease Agreement with
Alaska Wireless Network, LLC, and combining the utility easement into one contract, in
substantial form as attached hereto.
Section 2. The recitals set forth above are incorporated herein by reference and adopted
as findings of the City Council. For the reasons stated, this lease to Alaska Wireless Network,
LLC, in the form presented at this meeting will be in the public interest.
Section 3. This resolution shall have an effective date 30 days after its adoption .
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13th day of
April, 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
3k4)
Council Agenda Statement
,of sets.
S
. `q
Meeting Date: April 13, 2015 _
Through: City Manager Jim Hunt 44:2vir
14.ASKP
From: Deputy Harbormaster Norman Regis
Agenda Item: Renew Alaska Wireless Network Lease Agreement
BACKGROUND & JUSTIFICATION:
AWN LLC currently has a lease for 2,800 square feet,more or less,within U.S.S.4828,within Section
12, T1S, R1W, Seward Meridian, Seward Recording District, Third Judicial District, and State of
Alaska. This leased area encompasses a cell phone tower and associated electric infrastructure.
Resolution 2010-047 extended the term of this lease through June 30, 2015 for AWN to continue to
utilize this parcel.AWN currently has an Easement agreement with AWN for a Non-Exclusive fifteen
foot(15)utility easement at 707 Nash Road,Seward,Alaska located within a portion of Lot 1,Fourth of
July Creek Subdivision,Number 2,and Plat No. 98-09, Seward Recording District, Seward Meridian,
Alaska, Township 1 South, Range 1 West, Section 12, and Located within a portion of Fourth of July
Creek Subdivision,Roberts Replat,Plat No.2006-12, Seward recording District,Containing 1,215 sq.
feet. Plus or Minus. This Easement agreement was just extended on April 1st, 2014. This Resolution
combines these two contracts into one contract in order to improve efficiency for both the Lessee and
the City.
INTENT:
To enter into a renewed ten year(10) Lease with AWN and combining the Easement Agreement from
Resolution 2010-48 into one contract ending on June 30, 2025, Lessee shall also have the right to
extend this Lease for two additional five (5)year periods.
CONSISTENCY CHECKLIST: Yes No N/A
1. Comprehensive Plan (document source here): X
2. Strategic Plan (document source here): X
3. Other (list):
FISCAL NOTE: The annual rate for this Lease is $1600.00 and is subject to change in accordance
with the consumer price index each year, as well as in accordance with re-appraisals every five years.
Approved by Finance Department: ,;Z ,,izLr,G,1,c
�
ATTORNEY REVIEW: Yes X No �d
RECOMMENDATION:
Council approve Resolution 2015-000 approving the renewed Lease and combining the Easement
agreement(Resolution 2010-048)into one(1)contract ending on June 30,2025 with the option of two,
(2), Five, (5), year extensions. -51
Sponsored by: Oates
CITY OF SEWARD, ALASKA
RESOLUTION 2010-048
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN
EASEMENT AGREEMENT WITH GCI COMMUNICATION,CORP.FOR A
TEMPORARY AND NON-EXCLUSIVE FIFTEEN FOOT (15) UTILITY
EASEMENT, AT 707 NASH ROAD, SEWARD, ALASKA, LOCATED
WITHIN A PORTION OF LOT 1, FOURTH OF JULY CREEK
SUBDIVISION, NUMBER 2, PLAT NO. 98-09, SEWARD RECORDING
DISTRICT, SEWARD MERIDIAN, ALASKA, TOWNSHIP 1 SOUTH,
RANGE 1 WEST,SECTION 12,AND LOCATED WITHIN A PORTION OF
TRACT 112, FOURTH OF JULY CREEK SUBDIVISION, ROBERTS
REPLAT, PLAT NO. 2006-12, SEWARD RECORDING
DISTRICT, CONTAINING 1,215 SQ. FT.+/-
WHEREAS,General Communication,Corp.("GCI")wishes to use the land described above
for private utilities across City land; and
WHEREAS,it has been determined that the proposed non-exclusive use will not materially
adversely impact the pedestrian public access; and
WHEREAS,the City Council has determined that granting a temporary easement to GCI for
use of this property for the purposes set out herein would be in the public interest;
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. It is in the public interest to grant a temporary, non-exclusive easement of the
property described above in the Fourth of July Creek Subdivision,Seward Marine Industrial
Center, to GCI.
Section 2. The City Manager is hereby authorized to execute an easement
agreement with GCI, in substantially the form presented at this meeting.
Section 3. This resolution shall take effect thirty(30) days following passage and
posting as required by law.
PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 24th day of
May, 2010.
LEASE AMENDMENT NO.3
to the
Lease Agreement Between
City of Seward and Mactel Cellular System
ACS Contract ID 100135
THE CITY OF SEWARD,ALASKA,a home rule municipal corporation,organized and
existing under the laws of the State of Alaska,hereinafter referred to as"CITY,"whose address is
PO Box 167, Seward, Alaska 99664 and ACS WIRELESS, INC., as successor in interest to
MACTEL CELLULAR SYSTEM,whose address is 600 Telephone Avenue,Anchorage,Alaska
99503,hereinafter referred to as"LESSEE"wish to amend that certain Lease effective December 28,
1994,made between CITY and LESSEE,covering the real property described as 2,800 square feet,
more or less,within USS 4828,within Section 12,Ti S,R1 W,Seward Meridian,Seward Recording
District, Third Judicial District, State of Alaska, as reflected by Lease Memorandum recorded in •
Book 89 beginning at Page 959,Seward Recording District,Third Judicial District,State of Alaska
and as amended by Lease Amendment No. 1 dated 1995 and Lease Amendment No.2 dated April
2005 as follows:
ITEM 1.
The term of the LEASE is hereby extended to and shall end on June 30,2015.
ITEM 2.
A sublease between LESSEE and GCI Communication,Corp.,entitled'Wireless Tower Sub-
License Agreement,Lease ID 102378,"and attached as Exhibit A hereto,is hereby approved.
In all other respects,the Lease is to remain unchanged and in full force between the undersigned
parties.
IN WITNESS WHEREOF, the parties hereto have executed this document and it is
effective July 1, 2010,upon the effectiveness of Resolution 2010-4 i.
LESSOR: LESSEE:
CITY OF SEWARD ACS Wireless,Inc.
/
Phillip Oates eonard A. •tee erg
City Manager VP,Gen Counsel&Corp S: ,S Gonfra�r
I IIIIIIII III! IIIIIIIIIIIH I
Lease Amendment No.3 •
ACS Wireless,Inc. 2010-000970-0 30)
,
ATTEST: 'e_tste onnef6600
Jea (Lewis,CMC a 0, A
City Clerk ® SE � a
(city Seal) ••� �1 iie 1 '4
} af° ��
~�p1t
,41 OF
-*oft Pik p�*
STATE OF ALASKA )
)ss.
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this day of Z,)t.:.`,Q_ , 2010, before me, the
undersigned, a Notary Public in and for the State of Alaska, personally appeared Phillip Oates,
known to me and to me known to be the City Manager for the City of Seward, Alaska, and
authorized to execute documents on its behalf,and is the individual named in and who executed the
foregoing document on behalf of the City of Seward for the uses and purposes therein set forth.
WITNESS my ha 4011i �1 seal the day and year first hereinabove written.
.., , ....:_,
....
...... .
,..... &a. 1 `-
NOTARY UBLI IN AND OR ALASKA
:.1 a�iy� -1 if'�dtr` My Co Sion Expires: - 1 c-1-,1 D 13
STATE OF ALASKA M/1611% )
)ss.
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this 714 day of /if , 2010, before me, the
undersigned, a Notary Public in and for the State of Alaska, ersonally appeared Leonard A.
Steinberg,known to me and to me known to be the VP,General Counsel and Corporate Secretary for
ACS Wireless,Inc.,and authorized to execute documents on its behalf,and is the individual named
in and who executed the foregoing document on behalf of the corporation for the uses and purposes
therein set forth.
WITNESS my hand and notarial seal the day and year first hereinabove written.
N
' Stile of NOTARY PUB# 1 LAND OR MASK A
My Commission Expires: I/ll i Zo el
Ill I1IIIIIIIIIII 11IIIIIIIIIIIhlII
Lease Amendment No. 3
ACS Wireless,Inc. 2010-000970-0 l_.(o
If
CONSENT TO ASSIGNMENT
This CONSENT TO ASSIGNMENT is made and entered into by the City of Seward
("City").
RECITALS
A. The City and ACS Wireless, Inc. a Alaska Corporation ("ACS") are parties to that
certain Lease Agreement (as amended, the "Agreement"); dated as of 12/28/1994 for 2800
square feet, more or less, within U.S.S. 4828; within section 12, T1S, R1 W, Seward Meridian ,
Seward Recording District, Third Judicial District, State of Alaska, and located at 707 Nash
Road and
B. Under an Asset Purchase and Contribution Agreement dated as of June 4, 2012 by
and among Alaska Communications Systems Group, Inc., ACS Wireless, Inc., General
Communication, Inc., GCI Wireless Holdings, LLC and The Alaska Wireless Network, LLC, a
Delaware limited liability company ("AWN"), Alaska Communications Systems Group, Inc. has
agreed, or to cause ACS, to convey, assign and transfer and AWN has agreed to accept and
assume all of ACS' wireless assets, including, without limitation, ACS' right, title and interest in
and to the Agreement; and
C. AWN has asked that the City consent to the assignment of all of ACS' right, title,
and interest in and to the Agreement to AWN.
CONSENT
1. Upon the effectiveness of Resolution 2013-007 approved by the City Council,
the City hereby consents to the assignment of ACS' right, title and interest in and to the
Agreement to AWN and AWN's assumption of all of the obligations of ACS (the assignment
and assumption of the Agreement is collectively referred to herein as the "Assignment").
Following the Assignment, the Agreement shall continue in full force and effect with AWN
substituted for ACS as applicable.
The undersigned has executed this Consent to Assignment as of the date set forth below.
City of Seward
Date: I '.20'07O 13
Ames Hunt, C'r Manager
ATTEST: x3t.o-RCry
„tc;i4 hid
Jo canna KV", ity Clerk o �a-
`' dr `` ;t,
n e .
.'lf%'
r +
i
Amendment 1
to
Utility Easement Agreement
This Amendment 1 ("Amendment") is made effective as of April 1, 2014 ("Effective Date") to the Utility
Easement Agreement dated as of April 1, 2009 ("Easement") between The Alaska Wireless Network, LLC,
a Delaware limited liability company, successor in interest to GCI Communication Corp., with offices
located at 2550 Denali Street, Suite 1000, Anchorage, Alaska 99503-2781, ("Grantee"), and the City of
Seward, Alaska, a municipal corporation with a mailing address of PO Box 167, Seward, Alaska 99664
("Grantor") (each a"Party" and collectively, the"Parties").
RECITALS
WHEREAS, the Parties wish to enter into this Amendment to extend the term of the Easement; and
WHEREAS, the Parties wish to enter into this Amendment to revise the Consideration section of the
Easement.
NOW, THEREFORE, in consideration of the mutual promises, the sufficiency of which is hereby
acknowledged, the Parties agree as follows:
AGREEMENT
The Parties incorporate by reference and agree to the accuracy of the above recitals and further agree as
follows:
1.0 TERM EXTENSION
Section 5 of the Easement is hereby modified by extending the term of the Easement to March 31, 2019,
with three (3), 5-year extensions (individually, an "Extension" and collectively, the "Extensions") at the
sole option of Grantee, so long as Grantee is not in violation of any terms or conditions as set forth in this
Easement. The Extensions shall be automatic unless: (a) Grantee notifies Grantor at least 30 days prior
to the expiration of the then-current term of its intent not to renew this Easement, or (b) Grantor notifies
Grantee in writing of a default, and Grantee fails to timely cure that default. At the conclusion, of the
original Term or final Extension, if any, this Easement shall continue year to year unless either Party has
given notice of termination. Notice of termination during the year to year period shall be given no later
than 30 days before the expiration of the then-current term.
2.0 CONSIDERATION
Section 7 of the Easement is hereby modified by setting the consideration at $800 per year beginning
April 1, 2014.
3.0 FURTHER AMENDMENTS
Except as expressly modified herein, the provisions of the Easement shall remain in full force and effect.
In case of any conflict between the provisions of the Easement and of this Amendment, the provisions of
this Amendment shall take precedence. Neither the Easement nor this Amendment may be further
amended or altered except by written instrument executed by an authorized representative of both
Parties. This Amendment, together with the non-conflicting provisions of the Easement, constitutes the
entire agreement, and supersedes all previous and contemporaneous written and oral understandings,
between the Parties with respect to the subject matter.
1 Granto1/11,r Grantee V''
2 AWN Contract#3943
February 26,2014
4.0 EXECUTION IN COUNTERPARTS
This Amendment may be executed in counterparts, each of which shall be an original, but such
counterparts shall together constitute but one and the same instrument. Delivery of an executed
counterpart by electronic transmission shall be equally effective as physical delivery of an original
counterpart.
The Parties, intending to be legally bound, have executed this Amendment as of the Effective Date.
The Alaska Wirel Network, LLC Ci f Seward
{ e.
By: /T� ^ Bp. Z--.1 y
/ I
Name: Ji '•p-s ;�Nayie: -•i• »5 S
Title: VP, ark Services & Chief Engineer --Title: Oi v&P
Date: '3 - S- /1 Date: 3//7/lif
ATTEST: r
Johanna K ney,City Clerk
. '.', e' . e..
Cii.
4 a y: °•
V or.
O G
r ° 1_. ��' -'•-- r
° a
v °a
°o `4,,itlt•
2 GrantorU Grantee
iji ID AWN Contract#3943
February 26,2014
LEASE AGREEMENT
between
CITY OF SEWARD, ALASKA
and
THE ALASKA WIRELESS NETWORK,
LLC
Effective Date: July 1, 2015
L"`LA
TABLE OF CONTENTS
ARTICLE 1 -LEASED LAND 1
1.1 Description of Leased Land 1
1.2 Covenant of Quiet Enjoyment; Warranty of Title 2
1.3 Reserved 2
1.4 Property Accepted 2
1.5 Permits 2
1.6 Platting 2
ARTICLE 2 -LEASE TERM 3
2.1 Lease Term 3
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 45
3.7 Interim Rental Adjustments 5
3.8 Late Payment Charge 5
ARTICLE 4-USE OF LEASED LAND 5
4.1 Use of Leased Land 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 6-7
5.1 Utilities 7
5.2 Third-Party Improvements 7
5.3 Easement for Leasee Utility 8
5.4 Other 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 13
12.3 Assignment to Affiliate 14
ARTICLE 13 -LESSEE'S DUTY TO DEFEND/INDEMNIFY 14
ARTICLE 14 - CITY'S DUTY TO DEFEND/INDEMNIFY 14
ARTICLE 15- INSURANCE 14
15.1 Minimum Insurance Requirements 1415
15.2 Subrogation Rights Waived 15
ARTICLE 16- CONDEMNATION 16
ARTICLE 17- ARBITRATION 16
17.1 Arbitration 16
ARTICLE 18 - MAINTENANCE AND REPAIRS 171-8
18.1 Normal Maintenance 1748
18.2 Safety Issues 18
18.3 Cost of Repairs 18
ARTICLE 19-ENVIRONMENTAL CONCERNS 19
19.1 Hazardous Materials 19
19.2 Permits and Reporting 21
I ARTICLE 20- ESTOPPEL CERTIFICATES 2122
ARTICLE 21 - CONDITIONS AND COVENANTS 22
ARTICLE 22 -NO WAIVER OF BREACH 22
ARTICLE 23 -TIME OF THE ESSENCE 22
ARTICLE 24 - COMPUTATION OF TIME 22
ARTICLE 25-SUCCESSORS IN INTEREST 22
ARTICLE 26 -ENTIRE AGREEMENT 22
I ARTICLE 27-GOVERNING LAW 22
ARTICLE 28 -PARTIAL INVALIDITY 23
ARTICLE 29 -RELATIONSHIP OF PARTIES 23
ARTICLE 30-INTERPRETATION 23
ARTICLE 31 -CAPTIONS 23
ARTICLE 32 -AMENDMENT 23
ARTICLE 33 -NOTICES 23
ARTICLE 34 -FIRE PROTECTION 24
ii
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 THE ALASKA
WIRELESS NETWORK, LLC, a Delaware limited liability company (the "Lessee"), whose
mailing address is 2550 Denali Street, Suite 1000, Anchorage, Alaska 99503-2781 (each a
"Party"and collectively,the"Parties").
WHEREAS, Lessee has indicated its desire to renew leased property described as, 2800
square feet more or less, at Lot 1 Fourth of July Creek, Subdivision number 2, as shown on Plat
No. 98-09, and a non exclusive fifteen foot (15) foot utility easement with 1,215 square feet
more or less, in Seward Recording District, Seward Meridian, Alaska, Township 1 South Range
1 West, Section 12, and located within a portion of Tract H2 Fourth of July Creek subdivision,
Roberts replat, Plat No. 2006-12; and
WHEREAS, ACS Wireless, Inc., predecessor in interest to Lessee, has leased this site
since 1994 and the lease will expire on June 30, 2015;
WHEREAS, Lessee also has a utility easement lease dated April 1, 2009, which was
extended on April 1, 2014 with the City of Seward in the same location, and combining the two
(2) contracts into one(1) document would benefit Lessee and the City; and
WHEREAS, the City Council of City has determined that lease of the Leased Land (as
defined below)to Lessee for the purposes described herein would be in the public interest; and
WHEREAS, it is the intent of this Lease to transfer from City to Lessee the entire burden
of compliance with environmental regulations or controls with respect to Lessee's operations on
the Leased Land.
NOW THEREFORE, for and in consideration of the mutual promises and covenants
hereinafter contained,the parties hereto agree as follows:
ARTICLE 1 - LEASED LAND
1.1 Description of Leased Land. The Leased Land is located within USS 4828 in the City of
Seward,Alaska. The Leased Land is described as follows:
The area of leased land is 2800 square feet more or less, at Lot 1 Fourth of July
Creek, Subdivision number 2, as shown on Plat No. 98-09, and a non-exclusive
fifteen foot (15) foot utility easement with 1,215 square feet more or less, are
depicted in attached Exhibits "A" and "B," which are incorporated herein by
reference.
1
LAI
1.2 Covenant of Quiet Enjoyment; Warranty of Title. Subject to the encumbrances as of the
date hereof, any reasonable restrictions imposed on the Leased Land as part of recording
of a plat by City, and the provisions of this Lease, City hereby covenants and warrants
that Lessee shall have the quiet enjoyment and possession of the Leased Land for the full
term of this Lease and any extensions.
1.3 Survey of Leased Land; The description of Leased Land in Exhibit A, shall be considered
the correct description of the Leased Land for all purposes under this Lease.
1.4 Property Accepted "As-is." Lessee acknowledges that it has inspected the Leased Land
and accepts the same "as-is" and without reliance on any expressed or implied
representations or warranties of City (other than the representations in Section 1.2
hereof), or agents of City,as to the actual physical condition or characteristics thereof and
the legal description or depiction of the Leased Land in Section 1.1 or Exhibit A hereto.
1.5 Permits. Lessee, at its sole cost, shall obtain all permits necessary to the construction and
operation of its facilities on the Leased Land. City may from time to time, upon request
of Lessee, execute such documents, petitions, applications, and authorizations as may be
necessary, as the underlying fee owner, to file with an agency or public body responsible
therefor an application for conditional use permits, zoning and re-zoning, tentative and
final tract approval, or precise plan approval that may be required for the lawful
construction and operation of the facilities of Lessee permitted on the Leased Land by the
terms of this Lease. However, nothing in this section shall be construed as requiring City
to support or approve any such application or permit requests. If the agency or public
body responsible to approve or grant such application or permit request is a City agency,
department, or board, Lessee shall follow all City procedures, the same as any other
applicant making similar requests of the City, according to the Charter, ordinances,
resolutions, or any regulation, rules, or procedures of the City. 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 the Utility Easement, City agrees to include the
Leased Land in such replat in accordance with the description in Section 1.3. If Lessee
requests a replat of the Leased Land prior to that time, City shall assist Lessee in the
preparation and filing of the replat, and Lessee shall reimburse City for City's costs in
assisting with the preparation and filing of the replat. Lessee agrees to sign the plat and
any other documents necessary to complete the platting or replatting of any area
including all or a portion of the Leased Land. Lessee shall accept reasonable restrictions,
easements, or plat notes as may be required by City or other governmental authorities as a
2
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
2.1 Lease Term. The term of this Lease (the "Lease Term") shall be in accordance with
City's authorization in Resolution No. 2015- (the "Resolution"). The Lease Term
shall commence on July 1, 2015 (the "Effective Date"). The Lease Term shall run for 10
years from the Effective Date, ending at midnight on June 30, 2025. Lessee shall have
the right to extend the term of this Lease for two additional five (5) year periods,
provided that :
a) Lessee exercises its option to extend at least Ninety (90) days prior to the expiration of
the then current Lease term;
Lessee is not in default under any term or provision of this Lease; and
Lessee shall exercise its options to extend by sending written notice in accordance with
the provisions of Article 33 of this Lease.
ARTICLE 3-RENTAL RATE
3.1 Initial Rental Rate. Commencing on the Effective Date of this Lease through June 30,
2016, the annual rental rate for the Leased Land shall be set at $1,600.00, including an
access easement. Rent shall be payable annually in advance upon the Effective Date of
this Lease or before the annual anniversary of the Effective Date of this Lease.
3.2 Rental Adjustments. The annual rental payment shall be adjusted on July 1, 2020, and on
the same date every five years thereafter (each a "Rental Adjustment Date"). The
adjusted annual rental payment to be paid under the terms of this Lease shall be the
appraised fair market rental value (the "Fair Market Rental Value") of the Leased Land at
the highest and best use of the Leased Land. The highest and best use of the Leased Land
shall be determined without regard to Lessee's intended or actual use of the Leased Land
unless that use is coincidentally the highest and best use of the Leased Land. City shall
complete such appraisal and deliver a copy of the appraisal report to LESSEE not less
than ninety(90) days before each Rental Adjustment Date.
3.3 Procedure for Rental Adjustment. To adjust the rent as of any successive Rental
Adjustment Date, City shall, at its own expense, retain an independent State of Alaska
certified MAI appraiser (Member, Appraisal Institute), who shall determine the "Fair
Market Rental Value" of the Leased Land in accordance with this Article 3, exclusive of
improvements placed thereon by Lessee but inclusive of all improvements made by City
(including those made before or subsequent to this LEASE). The appraiser's report shall
be delivered to Lessee not less than ninety (90) days before the Rental Adjustment Date.
The appraiser's determination of Fair Market Rental Value of the Leased Land shall
constitute a final binding determination of the Fair Market Rental Value and the adjusted
annual rental rate until the next Rental Adjustment Date, unless Lessee objects to City's
3
appraiser's determination of the Fair Market Rental Value. In that case, Lessee shall give
written notice to City of its objection within thirty (30) days of receipt of the appraiser's
report, and shall then engage an independent State of Alaska certified MAI appraiser
(Member, Appraisal Institute) at Lessee's expense to make an appraisal of the Fair
Market Rental Value in accordance with this Article 3.
If Lessee's appraisal determines a Fair Market Rental Value that varies from that
determined by City's appraisal by no more than twenty percent (20%), then the adjusted
rental rate shall be the average of the rental rates determined by the two appraisals. If
Lessee's appraisal determines a Fair Market Rental Value that varies from City's appraisal
by more than twenty percent (20%), then, unless City and Lessee agree on a rate
themselves, the adjusted annual rental rate of the Leased Land shall be determined in
accordance with the arbitration provisions contained in Article 19 of this LEASE.
3.4 Effect of Late Appraisal by City. If, for any reason, City does not complete the appraisal
or deliver a copy of the appraisal report to Lessee ninety (90) days before the Rental
Adjustment Date, City may proceed to complete the appraisal or deliver a copy of the
appraisal report to Lessee at any time thereafter. However, any such adjusted annual
rental rate shall not be effective until the quarterly payment due date immediately
following the date City delivers the appraisal report to Lessee.
3.5 Appraisal by Lessee. If, for any particular Rental Adjustment Date, City fails to obtain an
appraisal of the Fair Market Rental Value or fails to deliver the appraisal report to the
Lessee by the Rental Adjustment Date, Lessee may engage an independent State of
Alaska certified MAI appraiser (Member, Appraisal Institute) at Lessee's expense to
make an appraisal under the terms of this Article 3 and submit a copy to City before the
next quarterly rental payment due date. However, Lessee must notify City in writing
within thirty (30) days following the Rental Adjustment Date of Lessee's election to
obtain an appraisal. If City objects to Lessee's appraiser's determination of the Fair
Market Rental Value, City shall give written notice to Lessee of its objection within thirty
(30) days of receipt of the appraiser's report, and City shall then engage an independent
State of Alaska certified MAI appraiser (Member, Appraisal Institute) at City's expense
to make an appraisal of the Fair Market Rental Value as of the Rental Adjustment Date
and in accordance with this Article 3. If the City's appraisal determines a Fair Market
Rental Value that varies from that determined by Lessee's appraisal by no more than
twenty percent (20%), then the adjusted rental rate shall be the average of the rental rates
determined by the two appraisals. If the City's appraisal determines a Fair Market Rental
Value that varies from Lessee's appraisal by more than twenty percent (20%), then,
unless City and Lessee agree on a rate themselves, the adjusted annual rental rate of the
Leased Land shall be determined in accordance with the arbitration provisions contained
in Article 19 of this LEASE.
3.6 Effective Date of Adjusted Rental Rate. The adjusted annual rental rate established by
this Article 3 shall apply as of the Rental Adjustment Date if City provided a copy of the
appraisal report to Lessee no later than ninety (90) days before the Rental Adjustment
4
Date. If the adjusted annual rental rate is based on City's late appraisal or late delivery of
the appraisal report to Lessee, the adjusted rental rate shall be effective beginning with
the quarterly rental payment due date immediately following the date the City delivers
the appraisal report to Lessee. Notwithstanding the above, the exercise by either City or
Lessee of the objection procedure relating to rental adjustment described in this Article 3
shall not postpone Lessee's obligation to pay rent at the rate established by City. Lessee
shall pay the amount of rent as established or adjusted by City until the question of
objection to the rental rate is finally resolved. At such time the objection to the rental rate
is resolved, an appropriate credit or adjustment shall be made retroactive to the date the
new rental rate was established by City or in cases where City failed to obtain an
appraisal or deliver the appraisal report to the Lessee,to the Rental Adjustment Date.
3.7 Interim Rental Adjustments. For each year in the period between each Rental Adjustment
Date, excepting the Rental Adjustment Dates,the annual rental payment shall be adjusted
beginning July 1, 2016 and on July 1 of every year thereafter (each on "Interim Rental
Adjustment Date") in an amount that reflects the adjustment, 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 may be
established from time to time by City ordinance or resolution and relating to late fees for
City leases generally.
ARTICLE 4 -USE OF LEASED LAND
4.1 Use of Leased Land. City has limited land available for lease. Use of the Leased Land
by Lessee has been determined by the City Council of City to be in the public interest.
Lessee may use the Leased Land for a telecommunications tower.
4.2 Obligations of Lessee. Lessee may use the Leased Land only in accordance with
applicable City zoning code provisions and provided the following conditions are met:
a) The Leased Land is to be completely cleaned and restored to its original
condition, that is, the condition existing prior to this Lease or in better condition
upon termination of this Lease.
5
b) Lessee agrees to prohibit the use, keeping, storage, or disposal of Hazardous
Materials on the Leased Land except as permitted in Article 19 of this Lease.
c) Lessee shall not use the Leased Land in any manner or construct any facilities
thereon which would inhibit the use of adjacent or other lands.
d) Lessee shall operate exclusively on the Leased Land.
e) Any changes to the size of the Lease Land 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. Except as to the rental rate covered by Section 3 above,
City shall have the right to make amendments to its tariffs, regulations, and scheduled
fees from time to time,even if those adjustments shall cost Lessee more for its operations
or use of public facilities, and City is free to do so provided only that it does not impose
any greater burden or higher rate upon Lessee than upon any other similar user of the
public facilities.
4.6 Time for Payment of Utilities and Taxes. Lessee will pay for utilities and taxes related to
its operations on the Leased Land and Lessee's interest in this Lease and improvements
thereon, if any, before such obligations become delinquent; provided, that Lessee may, in
good faith and before such delinquency, contest any such charge or assessment.
4.7 Other Uses. This Lease shall not preclude the City from actively seeking other and
additional tenants for space, including those who would be in competition with Lessee or
who might be interested in leasing the Leased Land should this Lease be terminated for
any reason.
4.8 Use of Public Docks and Port Facilities. Public docks are subject to port and harbor
rules and regulations as adopted by City Council.
ARTICLE 5 - UTILITIES AND RIGHTS OF ACCESS
6
5.1 Utilities. Lessee, at Lessee's sole cost and expense, shall provide for the extension of
public utilities and fiber 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 and fiber, with respect to the construction of those utilities
and fiber. City agrees to cooperate and assist the Lessee, through consultation and
review, in Lessee's planning and engineering of those improvements. All utilities and
fiber 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 and fiber constructed by the Lessee within the public right-of-ways or
within public utility easements will normally be accepted and maintained except fiber, by
City or utility companies may be used to serve other customers of Lessee's without
payment of fees or reimbursement of construction cost to the Lessee. However,this does
not preclude several lessees from agreeing to share the cost of constructing a utility to
serve their facilities. City or other utility company may determine that it would be to
their benefit to oversize the utility or install special fittings or equipment in order to serve
other existing or future users. The additional direct costs of such oversizing shall be
borne by City or other utility company. Such costs shall be limited to the supplier's cost
of the additional fittings, equipment, direct labor, and equipment costs to complete the
installation. The costs of oversizing pipe or electrical conduit shall be limited to the
difference between the supplier's price to provide the size required to serve its facility and
the price of the oversized material required by City or utility company.
Lessee shall not be entitled to any refund, rebate, or payments from City for any rent,
investment, or costs incurred by Lessee with respect to any required permits for
construction or operation of Lessee's facilities on the Leased Land, it being the intent of
the parties that the risk of obtaining required permits be solely a risk undertaken by
Lessee.
5.2 Third-Party Improvements. At the request of Lessee, City shall, from time to time,
execute and deliver, or join in execution and delivery of, such documents as are
appropriate, necessary, or required to impose upon the Leased Land in accordance with
the terms of this Lease covenants, conditions, and restrictions providing for the granting
of uses of the Leased Land, or any part thereof, the establishment of party walls, the
establishment of mutual and reciprocal parking rights or rights of ingress or egress, or
other like matters (herein called "third-party improvements"), all of which are for the
purpose of the orderly development of the Leased Land as a commercial unit subject,
however,to the conditions that:
a) All such matters shall be limited to the Lease Term and shall terminate upon
termination of this Lease for whatever reason.
b) Any such matters of a permanent nature extending beyond the Lease Term shall
not be granted without the prior written approval of City. In any of the foregoing
7
53
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 Easement for Lessee Utility. A non-exclusive fifteen (15) foot wide utility easement is
granted to Lessee across the real property located at 707 Nash Road as described in
Exhibit A, for the purpose of access, operation, repair, and maintenance of above ground
and underground telecommunication facilities and services by Lessee and its assigns.
Notwithstanding the above Lessee shall construct improvements only with the prior
consent of the City, which consent shall not be unreasonably conditioned, withheld or
delayed, and will ensure at all times the pedestrian access easement also shown on
Exhibit A remains open to public access. This easement runs concurrently with this Lease
and terminates with this Lease.
5.4 Other Easements. In order to provide for the orderly development of the Leased Land
and adjacent lands, it may be necessary, desirable, or required that street, railroad, water,
sewer, drainage, gas, power line, and other easements and dedications and similar rights
be granted or dedicated over or within portions of the Leased Land. As additional
consideration for this Lease, City and Lessee each shall, at the request of the other,join
with each other in executing and delivering such documents from time to time and
throughout the Lease Term as may be appropriate, necessary, or required by the several
governmental agencies (including the City of Seward), public utilities, and other users or
tenants of City land for the purpose of granting such easements and dedications;
provided, however, that such easements and dedications and similar rights do not
unreasonably interfere with Lessee's operations. The costs of locating or relocating any
public easements or restrictions of record including any relocation of public road,
railroad, utility, or other easements shall be at the sole cost and expense of the party
requesting the relocation. City shall not refuse reasonable requests for such relocations
provided those relocations do not interfere with or inhibit the overall development of City
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.
8
b) The Leased Land shall at all times be kept free of mechanic's and materialmen's
liens.
c) Lessee shall provide City with a copy of all building plans and specifications and
a site development plan or plans (based on a recent survey) for the Leased Land
prior to commencement of construction.
d) Lessee is solely responsible for resurveying and locating improvements on the
Leased Land in such manner not to violate building setback requirements or
encroach into rights-of-ways or easements. On completion of any improvements,
Lessee shall provide City a copy of an as-built survey depicting the improvements
as completed on the Leased Land.
e) Any general contractor employed by Lessee shall be appropriately bonded by use
of performance and labor and material payment bonds in the customary form
when cost of the work is equal to or exceeds Fifty Thousand Dollars ($50,000).
Copies of all such bonds shall be furnished to City prior to commencement of
construction. If the cost of the work is less than Fifty Thousand Dollars
($50,000), Lessee shall provide City, if no performance and labor and material
bonds are provided by Lessee, any necessary assurances or guarantees that the
contemplated work will be performed by the general contractor or by Lessee. In
the event that Lessee elects to construct the facility with its own personnel and
equipment, or the personnel and equipment of any corporation or person that is an
"affiliate" of Lessee as such term is defined in AS 10.06.990(2) or Alaska limited
liability company in which Lessee maintains a substantial membership interest, a
performance bond shall be required when the cost of the work is equal to or
exceeds Fifty Thousand Dollars ($50,000).
f) City may, as contemplated by Alaska Statutes, give notice of non-responsibility
for any improvements constructed or effected by Lessee on the Leased Land.
g) Lessee shall comply with all federal, state, and local statutes and regulations with
respect to such construction, including, but not limited to, all applicable building,
mechanical,and fire codes.
6.2 City Review of Construction. City shall have the right to review initial plans, including
those supplied to City under Section 6.1 hereof, and any future changes or additions to
Lessee's facilities on the Leased Land, by reviewing the design thereof prior to the
commencement of construction. City shall have the right to comment upon that design
and to require Lessee to make reasonable changes so as to avoid interference with public
operations, but the exercise of these rights shall not imply any obligation to do so nor any
obligation to do so in a particular way. Lessee shall construct the facility in accordance
with final design specifications approved by City. City's representatives may monitor the
work and shall have access to the site at all reasonable times. Lessee shall be solely
responsible for completing all improvements according to Lessee's plans and
9
specifications and shall bear all risk, responsibility, and liability for properly surveying
the Leased Land before construction and to place all improvements on the Leased Land
without encroaching upon any land, easements, rights-of-way, or setback requirements.
Lessee shall obtain the usual and customary performance guarantees from its contractors,
and City shall be named as an additional insured.
ARTICLE 7-RETURN OF LEASED LAND/SITE CONDITIONS
7.1 Return of Leased Land in Original Condition. Subject to the provisions of Article 11.1
herein, upon termination of this Lease for any reason, Lessee shall return the Leased
Land to City in the same condition as at the commencement of 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 of default" and "default" shall mean, whenever they are used in this Lease, any one or more
of the following events:
9.1 Failure by Lessee to pay promptly when due, and in no event later than twenty (20) days
from the due date thereof, the rent required to be paid under this Lease.
9.2 Failure by Lessee to comply with Section 4.1 of this Lease.
9.3 Failure by Lessee to observe, fulfill or perform any covenants, conditions, or agreements
on its part to be observed or performed under this Lease, other than payment of rent or
compliance with Section 4.1, for a period of thirty (30) days after written notice
specifying such failure, requesting that it be remedied, and stating that it is a notice of
default, has been given to Lessee by City; provided, however, that if said default is such
that it cannot be corrected within the applicable period, it shall not constitute an act of
default if corrective action is instituted by Lessee within the applicable period and
diligently pursued until the default is corrected.
9.4 The making by Lessee of an assignment for the benefit of creditors, the filing of a
petition in bankruptcy by Lessee, the adjudication of Lessee as insolvent or bankrupt, the
10
5(0
petition or application by Lessee to any tribunal for any receiver or any trustee for itself
or for any substantial part of its property; or the commencement of any proceeding
relating to Lessee under any bankruptcy, insolvency, reorganization, arrangement, or
readjustment of debt law or statute or similar law or statute of any jurisdiction, whether
now or hereafter in effect which shall remain undismissed for a period of six (6) months
from the date of commencement thereof.
9.5 Violation by Lessee of any laws or regulations of the United States, 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 of the Leased Land, pursuant to the regulations of such
agencies, for a period of sixty (60) days after written notice specifying such violation has
been given by the agency charged with the enforcement of such laws, regulations, or
permits to Lessee;provided, however, if such violation be such that it cannot be corrected
within the applicable period, it shall not constitute an act of default if corrective action is
instituted by Lessee within the applicable period and diligently pursued until the violation
is corrected. Furthermore, if Lessee shall contest such alleged violation through
appropriate judicial or administrative channels, the time period specified herein shall not
commence until such proceedings are finally determined provided such proceedings are
diligently pursued; provided, however, that any such extension of time shall not be
effective if the effect of the interim administrative or judicial action is to cause a
stoppage, interruption, or threat to the activities of any person or entity other than those
of Lessee.
9.6 Failure of Lessee to maintain its operations within the Leased Land or to keep the public
rights of way clear.
ARTICLE 10-REMEDIES FOR DEFAULT BY LESSEE
Whenever an act of default by Lessee shall have occurred, and any applicable period for
giving notice and any opportunity to cure shall have expired, City shall have the following rights
and remedies all in addition to any rights and remedies that may be given to City by statute,
common law,or otherwise:
10.1 City may distrain for rent due any of Lessee's personal property which comes into City's
possession. This remedy shall include the right of City to dispose of personal property
distrained in any commercially reasonable manner. It shall be conclusively presumed
that compliance with the procedures set forth in the Alaska Uniform Commercial Code
(AS 45.29.601-.628) with respect to sale of property shall be a commercially reasonable
disposal.
10.2 City may re-enter the Leased Land and take possession thereof and, except for any
personal property of Lessee which City has waived its right to distrain under Section 10.1
above, remove all personal property of Lessee from the Leased Land. Such personal
property may be stored in place or may be removed and stored in a public warehouse or
11
61
elsewhere at the cost of Lessee all without service of notice or resort to legal process, all
of which Lessee expressly waives.
10.3 In addition to the above, City may:
a) Declare this Lease terminated;
b) Collect any and all rents due or to become due from subtenants or other occupants
of the Leased Land;
c) Recover from Lessee, whether this Lease be terminated or not, reasonable
attorney's fees and all other expenses incurred by City by reason of the breach or
default by Lessee;
d) Recover an amount to be due immediately on breach equal to the unpaid rent for
the entire remaining term of this Lease.
e) Recover all damages incurred by City by reason of Lessee's default or breach,
including, but not limited to, the cost of recovering possession of the Leased
Land, expenses of reletting, including costs of necessary renovation and alteration
of the premises, reasonable attorney's fees, and any real estate commissions
actually paid.
f) Remove or require the removal of any improvements constructed without City
approval or constructed contrary to site development plans approved by City and
recover all costs and expense incurred by City to remove violating improvements.
10.4 If Lessee does not immediately surrender possession of the Leased Land after termination
by City and upon demand by City, City may forthwith enter into and upon and repossess
the Leased Land and expel Lessee without being deemed guilty in any manner of trespass
and without prejudice to any remedies which might otherwise be used for arrears of rent
or breach of covenant.
10.5 No expiration or termination of this Lease shall expire or terminate any liability or
obligation to perform of Lessee's which arose prior to the termination or expiration
except insofar as otherwise agreed to in this Lease.
10.6 Each right and remedy of City provided for in this Lease shall be cumulative and shall be
in addition to every other right or remedy provided for in this Lease or now or hereafter
existing at law or in equity or by statute or otherwise,and the exercise or beginning of the
exercise by City of any one or more of the rights and remedies provided for in this Lease
or now or hereafter existing at law or in equity or by statute or otherwise shall not
preclude the simultaneous or later exercise by City of any or all other rights or remedies
provided for in this Lease or now or thereafter existing at law, or in equity or by statute or
otherwise.
12
59)
10.7 No delay or omission to exercise any right or power accruing following an act of default
shall impair any such right or power or shall be construed to be a waiver thereof, but any
such right and power may be exercised from time to time and as often as may be deemed
expedient.
ARTICLE 11 -TITLE TO IMPROVEMENTS INSTALLED BY LESSEE
11.1 Real Property Improvements. All improvements constructed by Lessee or its
predecessors on the Leased Land or on easements to or from the same, such as ditches,
sewer lines, water lines, dikes or berms and similar improvements, shall become the
property of City upon termination of this Lease for any reason; provided, however, that
City may require Lessee to remove any improvements designated by City and without
cost to City.
11.2 Personal Property. Any other provisions of this Lease to the contrary notwithstanding,
Lessee, upon termination of this Lease for any reason, may, but need not, promptly
remove, in no event later than ninety (90) days from the termination of the Lease, trade
fixtures and equipment from the Leased Land provided that Lessee shall repair any
damages to the Leased Land caused by such removal.
ARTICLE 12 -ASSIGNMENT OR SUBLEASE
12.1 Assignment of Lease or Subleasing. The parties recognize that this Lease has been
determined to be in the public interest by the City Council of City for the reasons set
forth in the approving Resolution. The rights and duties created by the Lease are
personal to Lessee and City has granted the Lease in reliance upon the individual
character and financial capability of Lessee. Therefore, Lessee shall not assign or
sublease this Lease without City's prior written consent, in City's sole discretion.
12.2 Assignment of Lease for Security. Notwithstanding Section 12.1 above, Lessee may
assign, encumber, or mortgage its interest in this Lease or improvements on the Leased
Land, by deed of trust or other security instrument, to an institutional lender ("Lender")
for development of or operations on the Leased Land, provided that Lender shall be
subject to all obligations of Lessee under the terms of this Lease upon foreclosure. City
shall furnish Lender, at the address provided to City by Lender in writing, with notice of
any default or breach of Lessee under this Lease. Lender shall have the right (without
being required to do so and without thereby assuming the obligations of Lessee under this
Lease) to make good such default or breach within thirty (30) days after written notice
specifying such breach. Notwithstanding the provisions of Article 10 above, no "Lessee
Act of Default" shall exist until expiration of thirty (30) days after such notice is
furnished to Lender; provided,
a) If Lender, with respect to any default or breach other than a failure to make any
required payment of rent or other money, shall undertake within thirty (30) days
13
after notice to cure the default or breach and shall diligently and in good faith
proceed to do so, City may not terminate this Lease or relet the Leased Land
unless Lender fails to cure the default or breach within a reasonable period of time
thereafter; and
b) If the default for which notice is given is a breach of Section 9.3, City shall not
exercise any of the remedies afforded to it under Article 10 above so long as
Lessee or Lender remains in possession of the Leased Land and satisfies Lessee's
obligations under the terms of this Lease. Upon foreclosure or other assertion of
its security interest, Lender may further assign, transfer, or dispose of its interests,
provided that any subsequent assignee, purchaser, or transferee shall remain
bound by each and every term of this Lease.
12.3 Assignment to Affiliate. Notwithstanding Section 12.1 above, Lessee may assign this
Lease to an affiliate of Lessee as that term is defined by AS 10.06.990(2) or Alaska
limited liability company in which Lessee maintains a substantial membership interest;
provided, however, that Lessee's full faith and credit shall remain obligated under this
Lease as though the assignment had not taken place.
ARTICLE 13-LESSEE'S DUTY TO DEFEND/INDEMNIFY
Lessee shall defend, indemnify, and hold harmless City, its officials, employees, agents,
and contractors from any and all liability or claims for damages, including personal injuries,
environmental damage, death and property damage arising out of or resulting from Lessee's use
of the Leased Land or the use of the Leased Land by Lessee's sublessees, assignees, agents,
contractors, or the public, except for damages arising from the sole negligence or willful acts or
omissions of City, its officials, employees, agents, or contractors. If any action or proceeding is
brought against Lessee by reason of any such occurrence, Lessee shall notify City promptly in
writing of such action or proceeding.
ARTICLE 14-CITY'S DUTY TO DEFEND/INDEMNIFY
City shall defend, indemnify and hold Lessee harmless from any and all liability or
claims for damages, including personal injuries, death, and property damage arising from the
sole negligence or willful acts or omissions of City, its officials, employees, agents, or
contractors.
ARTICLE 15-INSURANCE
15.1 Minimum Insurance Requirements. Prior to commencement of the Lease Term or
Lessee's occupancy of the Leased Land, Lessee shall procure and maintain, at Lessee's
sole cost and expense, comprehensive commercial general liability insurance with limits
of liability of not less than Two Million Dollars ($2,000,000) for all injuries and/or deaths
resulting to any one person and Two Million Dollars ($2,000,000) limit from any one
occurrence. The comprehensive commercial general liability insurance shall include
14
(0
coverage for personal injury, bodily injury, and property damage or destruction.
Coverage under such policies of insurance shall include collapse and underground
property damage hazards. Contractual liability insurance coverage in the amount of not
less than Two Million Dollars($2,000,000)is also required.
Lessee shall obtain owned and non-owned automobile liability insurance with limits of
liability of not less than One Million Dollars ($1,000,000) per occurrence combined
single limit for bodily injury and property damage.
Lessee shall also maintain workers' compensation insurance as required under Alaska
law.
The minimum amounts and types of insurance provided by Lessee shall be subject to
revision at the sole discretion of City in accordance with standard insurance practices, in
order to provide continuously throughout the term of this Lease and any extensions
hereof, a level of protection consonant with good business practice and accepted
standards in the industry. Such factors as changes in the type of or extent of use of the
Lease Land, increases in the cost of living, inflationary pressures, and other
considerations, shall be 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 Artcile 33 of this Lease.
All such policies shall be written by insurance companies legally authorized or licensed
to do business in the State of Alaska, and acceptable to City (Best's Rating B+ or better).
City shall be listed as an additional insured under all insurance policies. Lessee shall
furnish City, on forms approved by City, certificates evidencing that it has procured the
insurance required herein prior to the occupancy of the Leased Land or operation by
Lessee. Insurance policy deductibles are subject to approval by City. Nothing herein
contained shall prevent Lessee or City from placing and maintaining at City's or Lessee's
own individual cost and expense, additional or other insurance as may be desired. The
minimum insurance requirements under this Lease shall not act to limit Lessee's liability
for any occurrence and shall not limit Lessee's duty to defend and indemnify City for
claims related to this Lease or the Leased Land.
15.2 Subrogation Rights Waived. To the extent permitted by law, Lessee hereby releases City,
its elected and appointed officials, employees and volunteers, and others working on
behalf of City from any and all liability or responsibility to Lessee or anyone claiming
through or under Lessee by way of subrogation or otherwise, for any loss of any kind
(including damage to property caused by fire or any other casualty), even if such loss
shall have been caused by the fault or negligence of the City, its elected or appointed
officials, employees or volunteers, or others working on behalf of the City. This
provision shall be applicable and in full force and effect only with respect to loss or
damage occurring during the time of Lessee's occupancy or use (including Lessee's
15
(p �
occupancy or use prior to the Effective Date of this Lease), and Lessee's policies of
insurance shall contain a clause or endorsement to the effect that such release shall not
adversely affect or impair such policies or prejudice the right of Lessee to recover
thereunder except as against City (including its elected and appointed officials,
employees and volunteers, and others working on behalf of City) during the time of
Lessee's occupancy or use. Lessee agrees that its policies of insurance will include such
a clause or endorsement.
ARTICLE 16-CONDEMNATION
If all or any part of the Leased Land is condemned for a public use by any government
agency or other duly authorized entity, City and Lessee shall each make a claim against the
condemning or taking authority for the amount of any damage incurred by or done to them
respectively as a result of the taking. Neither Lessee nor City shall have any rights in or to any
award made to the other by the condemning authority; provided, that in the event of a single
award to City which includes specific damages for loss of Lessee's leasehold interest, City shall
transmit to Lessee the amount of such specific damages so found, if any.
If part but not all of the Leased Land is condemned for public use, Lessee shall make a
good faith determination as to whether or not the taking of the part of the Leased Land
designated for condemnation will prevent it from continuing to operate on the Leased Land. If
Lessee determines in good faith that the condemning of such part of the Leased Land will
prevent it from continuing to operate on the Leased Land, Lessee may notify City in writing to
this effect, and this Lease shall then be terminated for all purposes effective fifteen (15) days
from the date Lessee sends such notice to City, or at such other later date as Lessee shall specify
in its notice, and such termination shall be treated in the same manner as a termination at the
expiration of the term of this Lease. Lessee shall, as a condition precedent to such termination,
remove all encumbrances, debts, and liens to which the Leased Land is subject. If at the time of
such partial taking for public use, Lessee determines that such partial taking will not prevent it
from continuing to operate, then Lessee and City shall negotiate an equitable and partial
abatement of the rent beginning to be effective on the actual date when Lessee is effectively
prevented from utilizing the condemned land.
ARTICLE 17-ARBITRATION
17.1 Arbitration.
a) Disputes between the parties with respect to the performance of this Lease that
cannot be resolved by the parties, shall be submitted to an independent arbitrator
for a settlement pursuant to the provisions of the Alaska Uniform Arbitration Act
(AS 09.43.010 et. seq.), as it now exists or may hereafter be amended from time
to time, and judgment on the award may be entered in any Superior Court in the
State of Alaska. Notwithstanding the foregoing, arbitration shall not be
applicable to claims or disputes involving a requested remedy having a value of
more than Fifty Thousand Dollars($50,000) (exclusive of interest and costs). All
16
demands for arbitration and all answering statements thereto that include any
claim must contain a statement that the total sum or value in controversy, as
alleged by the party making such demand or answering statement, is not more
than Fifty Thousand Dollars ($50,000.) The arbitrator will not have jurisdiction,
power, or authority to consider or make findings (except to deny jurisdiction)
concerning any claim,counterclaim,dispute, or other matter in question where the
amount in controversy of any such claim, counterclaim, dispute or matter is more
than Fifty Thousand Dollars ($50,000). The costs and expenses of arbitration
shall be shared equally by the parties, and each party shall bear its own attorney's
fees and costs.
b) Arbitration procedures shall be applicable only to contract, negligence, and
similar claims arising from or related to this Lease, and shall not be used to
resolve or determine any claim based upon fraud, intentional misrepresentation,
nor any claim based on conduct that is a felony crime in the State of Alaska.
c) Written notice of requests for arbitration of disputes may be served by either party
to this Lease upon the other party. Arbitration of any dispute or claim shall be
determined by a single arbitrator selected from a list of not less than five (5)
arbitrators obtained from the presiding Superior Court Judge or other appropriate
judicial officer in Anchorage, Alaska. The arbitrator shall be a person who(a)has
not less than five (5) years legal experience in the State of Alaska prior to
appointment; and (b) such legal experience includes substantial experience with
long-term commercial real property transactions. Each party shall be provided
with a copy of the list and shall be afforded a maximum of ten (10) working days
to become familiar with the qualifications of the prospective arbitrators. The
arbitrator shall be selected by each party, commencing with the party demanding
the arbitration, striking one name from the list until only a single name remains.
d) Arbitration hearings shall be conducted in Anchorage, Alaska or such other
location as the parties may agree. Each party shall produce at the request of the
other party, at least thirty (30) days in advance of such hearing, all documents to
be submitted at the hearing and such other documents as are relevant to the issues
or likely to lead to relevant information.
e) In deciding the claim or dispute, the arbitrator shall follow applicable Alaska law,
and the written decision shall be supported by substantial evidence in the record.
Failure to apply Alaska law, or entry of a decision that is not based on substantial
evidence in the record, shall be additional grounds for modifying or vacating an
arbitration decision.
ARTICLE 18-MAINTENANCE AND REPAIRS
18.1 Normal Maintenance. During the entire term of this Lease and every extension hereof, if
any, Lessee shall, at Lessee's sole cost, risk and expense, maintain the Leased Land,
17
including any improvements placed thereon by Lessee, in as good condition as received
or constructed by Lessee, subject to normal, non-abusive use. City, at City's sole option
and expense, may, prior to the commencement of construction by Lessee, perform
maintenance and preventative work on the Leased Land, exclusive of improvements
placed thereon by Lessee, in order to prevent erosion, mitigate damage to plants and
animals, or prepare the Leased Land for eventual development by Lessee or others by
grading, filling, or contouring the Leased Land. Any such work performed by City shall
be at City's sole expense and risk unless Lessee agrees, in advance and in writing, to
share such expense and risk. Lessee shall maintain in first class condition at all times all
fire,pollution,and other protective equipment, if any are placed on Leased Land.
18.2 Safety Issues. City may notify Lessee in writing of any deficiencies in the performance
of Lessee's maintenance responsibilities as they relate to public health or safety and
Lessee shall promptly within thirty (30) days of receipt of such notice advise City in
writing of its proposed schedule for performance of any work necessary to cure such
deficiencies.
If such deficiencies relate to the safety of Lessee's operation such that the surrounding
land and port facilities are exposed to risk, unnecessary potential hazards, or a risk to the
public interest (as distinguished from a business risk), or if City is not satisfied with the
proposed schedule of repairs either because of the delays therein or the scope of the
repairs, then City may engage an independent engineering consultant well-versed and
experienced who shall furnish to City a comprehensive survey and report for the purpose
of establishing both the need and urgency to perform such maintenance work. As soon as
practicable following receipt of said engineer's determinations and recommendations, if
the report requires repair then Lessee shall pay the cost of the report and perform such
work in accordance therewith at Lessee's cost, risk, and expense.
18.3 Cost of Repairs. Should Lessee dispute the necessity of any maintenance work as being
necessary or advisable or reasonable to protect the public facilities on adjacent land, it
may submit the matter to arbitration; provided, however, that pending the decision of the
arbitrator it shall fully comply with the maintenance requests. If an arbitration award
should ultimately find that the repairs were not necessary then Lessee may either deduct
from future rental payments the cost of such repairs or be reimbursed therefor. In
deciding whether repairs requested by City or required by an engineering report are
necessary, the arbitration panel is to give primary consideration to the safety and welfare
of the Seward port facilities and the citizens of Seward in light of the highest standards in
the industry.
If any facility or service provided by City to the Leased Land shall become inadequate
due to changes in environmental control standards or should any facility require updating
or improvement by reason of a change in Lessee's use of the Leased Land or operations
therefrom, Lessee shall either construct such improvements at Lessee's own cost or
reimburse City for such work at the option of City.
18 u
ARTICLE 19- ENVIRONMENTAL CONCERNS
19.1 Hazardous Materials.
a) Condition of Site. Lessee has had full opportunity to examine the site for the
presence of any Hazardous Material and accepts the site in "as is" condition.
Lessee may elect, at Lessee's sole cost, to conduct a baseline soils test prior to
execution of this Lease.
b) Release of City. Any other provision of this Lease to the contrary notwithstanding,
Lessee releases City from any and all claims, demands, penalties, fines,
judgments, liabilities, settlements, damages, costs, or expenses(including, without
limitation, attorney's fees, court costs, litigation expenses, and consultant and
expert fees) arising prior to, during, and after the term of this Lease, and resulting
from the use, keeping, storage, or disposal of Hazardous Material on the Leased
Land by Lessee or its predecessors in interest, or arising out of or resulting from
Lessee's operations at the Leased Land or the operations of its predecessors in
interest at the Leased Land except for those claims arising out of City's sole
negligence or intentional misconduct. This release includes, without limitation,
any and all costs incurred due to any investigation of the Leased Land or any
cleanup, removal, or restoration mandated by a federal, state, or local agency or
political subdivision or by law or regulation.
c) Use of Hazardous Materials on the Site.
i) Lessee shall not cause or permit any Hazardous Material to be brought
upon,kept,or used in or about the Leased Land except for such Hazardous
Material as is necessary to conduct Lessee's authorized use of the Leased
Land.
ii) Any Hazardous Material permitted on the Leased Land as provided in this
paragraph, and all containers therefor, shall be used, kept, stored, and
disposed of in a maimer that complies with all Environmental Laws or
other laws or regulations applicable to such Hazardous Material.
iii) Lessee shall not discharge, leak, or emit, or permit to be discharged,
leaked, or emitted, any material into the atmosphere, ground, ground
water, sewer system, or any body of water, if such material (as reasonably
determined by the City, or any governmental authority) does or may,
pollute or contaminate the same, or may adversely affect the (a) health,
welfare, or safety of persons, whether located on the Leased Land or
elsewhere; or (b) condition, use, or enjoyment of the Leased Land or any
other area or personal property.
19
te
iv) Lessee hereby agrees that it shall be fully liable for all costs and expenses
related to the use, storage, and disposal of Hazardous Material kept or
brought on the Leased Land by Lessee, its authorized representatives and
invitees, and Lessee shall give immediate notice to City of any violation or
potential violation of the provisions of this subparagraph.
d) Indemnification of City. Any other provision of this Lease to the contrary
notwithstanding, Lessee shall defend, indemnify, and hold City harmless from
and against any claims, demands, penalties, fines, judgments, liabilities,
settlements, damages, costs, or expenses (including, without limitation, attorney,
consultant and expert fees, court costs, and litigation expenses) of whatever kind
or nature, known or unknown, contingent or otherwise, arising out of or in any
way related to:
i) The presence, disposal, release, or threatened release of any such
Hazardous Material which is on or from the Leased Land, soil, water,
ground water, vegetation, buildings, personal property, persons, animals,
or otherwise;
ii) Any personal injury (including wrongful death) or property damage (real
or personal) arising out of or related to such Hazardous Material or any
use of the Leased Land;
iii) Any lawsuit brought or threatened, settlement reached, or government
order relating to such Hazardous Material or any use of the Leased Land;
and/or
iv) Any violation of any laws applicable thereto; provided, however, that this
Section 19.1(d) shall apply only if the acts giving rise to the claims,
demands, penalties, fines, judgments, liabilities, settlements, damages,
costs, or expenses (1) occur prior to or during the term of this Lease; and
(2) arise, in whole or in part, from the use of, operations on, or activities
on the Leased Land by Lessee or Lessee's predecessors in interest,
employees, agents, invitees, contractors, subcontractors, authorized
representatives, subtenants, or any other persons. The provisions of this
subparagraph shall be in addition to any other obligations and liabilities
Lessee may have to City at law or equity and shall survive the transactions
contemplated herein and shall survive the termination of this Lease.
e) Operator. For all purposes, Lessee shall be deemed the operator of any facility on
the Leased Land.
f) Hazardous Material Defined. As used in this Lease, Hazardous Material is any
substance which is toxic, ignitable, reactive, or corrosive or which is regulated by
any Environmental Law. Hazardous Material includes any and all material or
20
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 may be amended from time to time, relating to the protection of human
health and the environment, as well as any judgments, orders, injunctions, awards,
decrees, covenants, conditions, or other restrictions or standards relating to same.
Environmental Laws include, by way of example and not as a limitation of the
generality of the foregoing, Alaska Statutes Title 46, the Resource Conservation
and Recovery Act of 1976, the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, the Clean Water Act, and the Superfund
Amendments and Reauthorization Act of 1986.
19.2 Permits and Reporting.
a) Permits Required by Other Governmental Agencies. Lessee shall obtain all
permits or approvals required by any applicable law or regulation. Copies of all
such permits shall be provided to City prior to Lessee commencing work under
this Lease. Lessee shall promptly make all reports to any federal, state, or local
government or agency required by any permit or Environmental Law, including
reports of any spill or discharge of Hazardous Material. The City, through the
City Manager, may order Lessee to immediately cease any operations or activities
on the Leased Land if the same is being carried out without necessary permits, in
violation of the terms of any permit or Environmental Law, or contrary to this
Lease.
b) Correspondence With and Reports to Environmental Agencies. Lessee shall
immediately (the same or the next business day) provide City with copies of all
correspondence and notice, including copies of all reports between Lessee and
any state, federal, or local government or agency regulating Hazardous Material
which relates to Lessee's operations on or use of the Leased Land.
ARTICLE 20 -ESTOPPEL CERTIFICATES
Either party shall at any time and from time to time upon not less than ten (10)days' prior
written request by the other party, execute, acknowledge, and deliver to such party, or to its
designee, a statement in writing certifying that this Lease is unamended and in full force and
effect (or, if there has been any amendment thereof, that the same is in full force and effect as
amended and stating the amendment or amendments), that there are no defaults existing (or, if
21 (01
there is any claimed default, stating the nature and extent thereof), and stating the dates to which
the rent and other charges have been paid in advance.
ARTICLE 21 -CONDITIONS AND COVENANTS
All the provisions of this Lease shall be construed to be "conditions" as well as
"covenants," as though the words specifically expressing or imparting covenants and conditions
were used in each separate provision.
ARTICLE 22 -NO WAIVER OF BREACH
No failure by either City or Lessee to insist upon the strict performance by the other of
any term, covenant, or condition of this Lease or to exercise any right or remedy consequent
upon a breach thereof, shall constitute a waiver of any such breach or of such terms, covenants,
or conditions. No waiver of any breach shall affect or alter this Lease, but each and every term,
covenant, and condition of this Lease shall continue in full force and effect with respect to any
other then existing or subsequent breach.
ARTICLE 23 -TIME OF THE ESSENCE
Time is of the essence of this Lease and of each provision.
ARTICLE 24- COMPUTATION OF TIME
The time in which any act provided by this Lease is to be done by shall be computed by
excluding the first day and including the last, unless the last day is a Saturday, Sunday, or a
holiday, and then it is also excluded.
ARTICLE 25 -SUCCESSORS IN INTEREST
Each and all of the terms, covenants, and conditions in this Lease shall inure to the
benefit of and shall be binding upon the successors in interest of City and Lessee.
ARTICLE 26- ENTIRE AGREEMENT
This Lease contains the entire agreement of the parties with respect to the matters
covered by this Lease, and no other agreement, statement, or promise made by any party which
is not contained in this Lease shall be binding or valid.
ARTICLE 27-GOVERNING LAW
This Lease shall be governed by, construed, and enforced in accordance with the laws of
the State of Alaska. The terms of this Lease are subject in all respects to the Charter and Code of
Ordinances of City in effect on the date of this Lease, and as they may be hereafter amended,
including, without limitation, Chapter 7.05 of the Seward City Code.
22
(v$
ARTICLE 28- PARTIAL INVALIDITY
If any provision of this Lease is held by a court of competent jurisdiction to be invalid,
void, or unenforceable, the remainder of the provisions shall remain in full force and effect and
shall in no way be affected, impaired, or invalidated.
ARTICLE 29-RELATIONSHIP OF PARTIES
Nothing contained in this Lease shall be deemed or construed by the parties or by any
third person to create the relationship of principal and agent or of partnership or of joint venture
or of any association between City and Lessee; and neither the method of computation of rent,
nor any other provisions contained in this Lease, nor any acts of the parties, shall be deemed to
create any relationship between City and Lessee other than the relationship of lessee and lessor.
ARTICLE 30-INTERPRETATION
The language in all parts of this Lease shall in all cases be simply construed according to
its fair meaning and not for or against City or Lessee as both City and Lessee have had the
opportunity to seek assistance of counsel in drafting and reviewing this Lease.
ARTICLE 31 -CAPTIONS
Captions of the articles, paragraphs, and subparagraphs of this Lease are for convenience
and reference only, and the words contained therein shall in no way be held to explain, modify,
amplify,or aid in the interpretation,construction, or meaning of the provisions of this Lease.
ARTICLE 32-AMENDMENT
This Lease is not subject to amendment except in writing executed by both parties hereto.
ARTICLE 33- NOTICES
All notices, demands, or requests from one party to another shall be delivered in person
or be sent by mail, certified or registered, postage prepaid, to the addresses stated in this Article
and to such other persons and addresses as either party may designate. Notice by mail shall be
deemed to have been given at the time of mailing.
23
V:j
All notices, demands, and requests from Lessee to City shall be given to City at the
following address:
City Manager
City of Seward
Attn: Harbormaster
PO Box 167
Seward,Alaska 99664
Phone: 907-224-3138 ext 2
Email: harbormaster @cityofseward.net
All notices, demands or requests from City to Lessee shall be given to Lessee at the
following address:
The Alaska Wireless Network, LLC
Attn: Rachelle Alger
2550 Denali Street, Suite 1000
Anchorage,Alaska 99503-2781
Phone: 907-868-5771
Email: raalger @gci.com
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 acknowledges that the City of Seward lacks the personnel and resources to
provide onsite fire protection in the Seward Marine Industrial Center, and emergency response
time may be longer than for other areas in Seward. Lessee accepts the risks inherent in
conducting its operations in this area and willingly assumes, at its sole cost and risk, the
obligation to provide fire protection to its operations on Leased Land in SMIC, and fire
prevention to industry standards to minimize risks to adjacent facilities and nearby operations.
24
10
Seward, Alaska 99664
Phone: 907-224-3138 ext 2
Email: harbormaster @cityofseward.net
All notices, demands or requests from City to Lessee shall be given to Lessee at the
following address:
The Alaska Wireless Network, LLC
Attn: Rachelle Alger
2550 Denali Street, Suite 1000
Anchorage, Alaska 99503-2781
Phone: 907-868-5771
Email: raalger @gci.com
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 acknowledges that the City of Seward lacks the personnel and resources to
provide onsite fire protection in the Seward Marine Industrial Center, and emergency response
time may be longer than for other areas in Seward. Lessee accepts the risks inherent in
conducting its operations in this area and willingly assumes, at its sole cost and risk, the
obligation to provide fire protection to its operations on Leased Land in SMIC, and fire
prevention to industry standards to minimize risks to adjacent facilities and nearby operations.
IN WITNESS WHEREOF, the parties hereto have set their hands and seals the dates
herein set forth.
CITY: CITY OF SEWARD LESSEE:
THE ALASKA WIRELESS NETWORK,
LLC
Jim Hunt, City Manager Ben Z.6,t o n, VP, Wireless Operations
Date: — — Date: 3/2—.5 155
ATTEST:
Johanna Kinney,CIVIC
24
1 '
City Clerk
STATE OF ALASKA )
)ss.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this day of ,
2015,by Jim Hunt, City Manager of the City of Seward,Alaska,on behalf of the City.
Notary Public in and for Alaska
My Commission Expires:
STATE OF ALASKA )
)ss.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this day of 44 ,
2015, by Ben Benton who executed the foregoing document on behalf o The Alaska Wireless
Network, LLC as VP, Wireless Operations of the limited li. -: ity comp. y.
'1 a--
N t . w Public i and d for Alaska
My Commission ApiLcb.
DAVID J.OM ER
STATE OF ALASKR
My&mmission E*ue April 1,2011 ,
25
BIZ
EXHIBIT A
=m~ FOURTH OF
:1°` JU.,f CREEK SUBDIVISION I
{Z A . ROBJRTS REPLAT 1
i I • A.tt.b -..d'Eran ii tarn U".11y lied.Sas.2.VD P3-70
L�c. .IC RE Jra k u orra R u.arcf ae
trap Secem).T6 Z sn.P✓
_� t �..t ,s.. Exhibit A
rs
....,cf t te/sft eK
SCALE I.-POO' AREA-et050 w.t .....�II oaf
0 Se;if.nnw,3005 ..'RwwKwseT[
I Gee w ° ° • r�!.R �- t:
• • -,
�ti. a:�•�..� °a� '•• I' ' •
�.-x II..M.[r r,er,,.e1 r... .`,4: s
y-.us.d., aw m.=I c..... ��` f e PLAT APPAev
•-Kir.sn.m.sae ess...d t i.:11 ; a..owr..wu warx.•f.x�oc
f-Inn x = ,t / r s�J;;._-d?v 1 !
I• / 9
. O` �vav rv,
MIL-
♦rr�...w.....t imp k[ pi
iy.m�far same...r�•w,n...e., r• CT o MY(DQfi�.Ol91F[
3.12 0.111.7.M.•r.sm damp tea ✓ °f: .,.. .4 a... vw. *
w."e�'as°.M...M L..,tre.x.le V,.1 �... r .rte'..°"�.:`.
Mtn,... ..f.••f..a•r•.r.le Mr r�..n..r,..v y . -c` s �°"wP•.c..e.e�cM'°i.....��:
°� a ="®
,a••1 or.�. V m� ` - °S• Y tA�nenlw mnsoATt
W .start •.•..n�✓x.r..•f...e,✓w.r•i
o
.aura-c )• F,6 .rj:7.�,i 4..,i.....r....•
cc �. F /
g 1:= f
TIES TO C/L .d;':, (t
Pa'aPaITS Farm i I �1-4,' R-7-04
I roe to!colt I E o .„r-e It .1.s sorf..w
.t/0 A /; u•.1 il...p�.. v.
S i jT I [.�,...,.iw {' F,
.,tea•.- ^+u PPTJACLI
l.; E F re.
• ( 4 .._
a,r �
,
�j1 = 1 1 G
`gS
s�f['' i r. s
i� ID.' t.a.f F4 N
27
11)
EXHIBIT B
Exhibit B
NUM SEARING DISTANCE
L1 N 89'47'1O" W 20.00'
L2 N 0'43'30° E 20.00'
L3 N 0'43'30" E 20.00' r
L4 N 89'47'10" W 20.00' , i
I ° II
50' SERVICE ` ' s o I 9,I ACCESS EASEMENT' ' y
O
I IA o` O
I t $ °s.
I t � ��`
N 8956'00° E \f 9 ..
40.00' —} � i N ,CO
I � \o % \_
0 c 23 70
d c iD
LOT i °/• N ��
2,800 sq.ft. , 1 °(PLAT 98-04) 1 s 1
0 1
o
o ```t , , PP 13 0
• I.
° \ .�!S 1 h
`` \, '`Zi, NCHOR p 10
40.00' \\\<,..s.„ss��., 1 N 8956'00" E / ! '• I ANCHOR
�' 1
,', `� /
I / �'oO�F Lin/
POINT OF
G 1 .` 1
TRACT H2 / / \ `0 1 COMMENCEMENT
a 1^•
1 5.679 AC.1 / z I sd
r
N �‘, 1
APROX. 25' PEDESTRIAN/ / -' �'�y`"/POINT BEGINNING
ACCESS EASEMENT—! PP W/7RANS
I //ANCHOR x 1 ` 0 ACS COMPOUND
LEGEND:
GRAPHIC SCALE YE/SIRED DATA 125'
20 0 10 20 RECORD DATA N 90'00'00° W
SitE in . `SS:°e7t RECOVERED 3 1/2'ALCAV
MIP.M.1DnN ..:11. ccNTERIJNE MONUMENT
PAGE 2 OF 2
■
28
1t"\
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2015-028
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, REVISING THE PORT AND HARBOR TARIFF
REGULATIONS TO INCREASE THE CHARGE FOR DISHONORED
CHECKS, TO REVISE THE CHARGES FOR RE-BLOCKING VESSELS
AND FOR BOAT LIFT WORK THAT EXTENDS BEYOND ONE HOUR,
AND TO REVISE THE WHARFAGE RATES FOR BOAT FUEL TO
CONFORM TO THE CHARGES IN THE ANNUAL CONTRACT WITH
THE FUEL DOCK OPERATOR
WHEREAS, the charge for dishonored checks has been increased to $36.75; and
WHEREAS, the charges for re-blocking vessels and for boat lift work that extends
beyond one hour should better reflect the cost of the work; and
WHEREAS,the wharfage rates in the Tariff should conform to the fuel dock contract.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. Sections 225, 265, and 290 of the Port & Harbor Tariff Regulations entitled
respectively Labor& Service Charges, 330-Ton Travelift Fees, and Wharfage Rates are amended
as follows:
Strikeout= delete Bold Italics =new
225 LABOR AND SERVICE CHARGES
A labor and service charge is assessed, in addition to any other charges set forth in this
tariff, for all labor performed by City personnel and for specific services provided by the
City of Seward or its agents. Service charges do not include charges for dockage,
wharfage, wharf demurrage or handling.
(e) Miscellaneous Charges
(4) Dishonored check fee $3-5.00 36.75
265 330-TON TRAVELIFT FEES
(a) Description of Charge. The lift fee is the charge for lifting a vessel from the water
or the land utilizing the City's 330-ton Travelift. A separate lift fee is generated
whenever a vessel is lifted, even if it is only lifted and relocated on land. Lift fees
do not include overtime labor charges for operation of the Travelift system as
described in Subsection 225 of this tariff.
15
CITY OF SEWARD, ALASKA
RESOLUTION 2015-028
(b) Lift Fee
(1) Minimum Fee. The minimum fee for a lift on the 330-ton Travelift shall be
FOUR HUNDRED TWENTY-FIVE DOLLARS ($425.00) for the first hour of
use or any portion of time less than one (1) hour. For use of a lift in excess of
one (1) hour, additional time shall be charged in fifteen (15) minute
increments. The overall length of the vessel will determine the lift fee. A full
lift fee is charged once a lift has commenced, even if that lift is subsequently
interrupted, suspended or canceled for any reason. The risk of loss because of a
suspended or canceled lift by reason of mechanical failure or difficulty with the
Travelift system is the responsibility of the vessel owner/operator. Once a lift is
scheduled and the boat owner fails to show or cancel the lift at least one hour
prior to the scheduled lift time, the minimum lift fee will be charged.
(2) Additional Lift Fee Rates for Large Vessels. For all vessels over FIFTY-FIVE
(55) feet in length, an additional TWENTY-ONE DOLLARS ($21.00) shall be
charged for each foot of vessel length over fifty five (55) feet during the first
hour of use or any portion of time less than one (1) hour.
hour, a fcc of THREE HUNDRED FO' - " -- ' ' - • • -' - -
CENTS ($ 346.50) per hour shall be charged. This charge-shall-be-assess
. • 9 ' _ .
(3) Relocation and Reblocking Fees. Rion Reblocking of all vessels on the
uplands shall be charged at a rate of - '.- - - -1. ' '-- -' - e •
• • . - - - • - •, • ! ; FOUR HUNDRED
TWENTY-FIVE DOLLARS($425.00)for the first hour of use or any portion
of time less than one (1) hour. Reblocking consists of lifting the boat,
adjusting/replacing the blocking materials and setting the boat down in the
same space. If a boat is to be relocated to another space or yard, lift fees
apply as listed in sections (1) and(2) above.
290 WHARFAGE RATES
(a) Schedule of Standard Rates. Except as otherwise specifically provided, rates are
in dollars per ton of 2,000 pounds or per 40 cubic feet.
Commodity Wharfage
Rate
Petroleum products (gasoline) per gallon ... $0.0172 $.0147
1(P
CITY OF SEWARD, ALASKA
RESOLUTION 2015-028
Petroleum products (diesel) per gallon $0.0083 $.0075
Section 2. This resolution shall take effect ten (10) days after adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13th day of
April, 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson,Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
—1 ?
Agenda Statement
r &Cif Se
Meeting Date: April 13, 2015
To: City Council "
'4��►SwP
Through: City Manager Jim Hunt
From: Harbormaster Mack Funk
Agenda Item: Revising the 2015 Port and Harbor Tariff Regulations to 1) increase the
charge for dishonored checks, 2) revise the charges for re-blocking vessels
and for boat lift work that extends beyond one hour, and 3) revise the
Tariff wharfage rates for boat fuel to conform to the charges in the annual
contract with the fuel dock owner/operator.
BACKGROUND & JUSTIFICATION:
Section 225. The Harbor Tariff specifies a charge for dishonored checks. The City has recently
raised its charge from $35 to $36.75. Section 225 (e) (4) of the Harbor Tariff should be revised
to bring the Harbor into conformance with City-wide policy.
Section 265. When the purchase of the new boat lift equipment was approved in the summer of
2014 it was the Administration's intent to increase not only the basic fee, but also the extra
charge for vessels longer than 55 feet. However, only the basic fee increase was approved at that
time. This current proposed change will extend the previously adopted "base" rate ($425 per
hour) to reblocking and to lifts that extend beyond one hour. There is no change proposed for
the rate charged to boats longer than 55 feet.
In addition to hauling out and launching boats, the Harbor staff also relocates boats and reblocks
boats. In the City's boatyard at SMIC the Harbor seeks to clarify the rates for these two services
and for lift work that lasts longer than one hour. There is no need to revise the Tariff with regard
to services performed with the 50-ton boat lift. Section 265 (b) of the Harbor Tariff should be
revised to: 1) add reblocking, 2) to establish separate rates for reblocking and relocating vessels,
and 3) to apply the same basic rate for lift work that extends beyond one hour. Reblocking is
specifically described in the Tariff language. No charge will be added for boats longer than 55
feet.
The Administration believes that these changes will increase revenues needed to repay the
general fund for the cost of the new equipment. It will also better reflect the cost of the work
expended. Finally the changes should be simpler to administer.
Section 290. Harbor moorage rates are adjusted annually based on the Consumer Price Index-
CPI. In order to make this administratively possible there is a delay so, for example, the 2015
rates are based on the change in the CPI during the years 2008-2012.
The fuel dock contract was amended in January 2013 to specify that the October Annual Energy
Category CPI report will be used to calculate the contract rental rates for the fuel docks. That
report is not published until November 20, by which time the Tariff for the subsequent year has
generally been finalized, but the City and the vendor must still finalize the contract for the
$
subsequent year. Therefore in 2015, the rental rate remains the same as 2014. In future years the
parties would use the index for the prior year. Thus, in 2016 the rental rate would be based on
the change in the Annual Energy Category of the Consumer Price Index Report issued November
20, 2014. This will allow time for the parties to enter into an agreement and incorporate the
rental price into the 2016 Harbor Tariff.
The Tariff wharfage rate must also be brought into conformance with the annual fuel dock
terminal contract that was approved by the City Manager on February 13, 2015. The suggested
language below does that.
INTENT: This resolution will update the Port and Harbor Tariff and bring the rates up to date.
CONSISTENCY CHECKLIST: Yes No N/A
1 Comprehensive Plan (document source here): Create a thriving port of X
Seward through Harbor improvements. Page 23
2 Strategic Plan (document source here): Improve and expand maritime X
facilities. Page 7
3. Other (list):
FISCAL NOTE: The charge for dishonored checks will bring the harbor charges into
conformance with other City departments. The new boat lift charges are expected to result in
approximately$2000 per year in additional revenue. The revised wharfage rates for fuel will be
tied to the changes in fuel costs and the Tariff will now conform to the already approved contract
with the fuel provider.
Approved by Finance Department: /'
ATTORNEY REVIEW: Yes No X
RECOMMENDATION:
To approve Resolution 2015- Revising the 2015 Port and Harbor Tariff Regulations to 1)
increase the charge for dishonored checks, 2) revise the charges for re-blocking vessels and for
boat lift work that extends beyond one hour, and 3) revise the Tariff wharfage rates for boat fuel
to conform to the charges in the annual contract with the fuel dock owner/operator.
1°S
LICENSE AGREEMENT FOR
SEWARD MUNICIPAL SMALL BOAT HARBOR
"T"DOCK AND "R" FLOAT MARINE FUEL STATIONS
THIS AGREEMENT, effective January 1, 2015, is made and entered into by and between
the CITY OF SEWARD, ALASKA, a municipal corporation, organized and existing under the
laws of the State of Alaska, hereinafter referred to as "CITY" and SHORESIDE PETROLEUM,
INCORPORATED, an Alaska corporation, hereinafter referred to as "LICENSEE";
1. Premises. CITY hereby grants to LICENSEE a license to occupy and use, subject to all of the
terms and conditions hereinafter stated, the following-described premises as further identified on
a map attached hereto as Exhibit A:
a. The southern portion of the Municipal Small Boat Harbor"T"dock, more specifically
the north, east, west and south sides of the"T";
b. The southern portion of"R" float, to be occupied by a floating fuel station of approximate
dimensions 25ft by 150ft.
2. Use. The premises may be occupied and used by LICENSEE solely for the purpose of selling and
delivering gasoline, diesel fuel and lubricating oil. LICENSEE shall be entitled to install a fuel
delivery system on the dock areas described above for use in connection with LICENSEE's
business.
3. Term.The term of this License is for one (1) year term, beginning January 1 of each year
and terminating December 31 of the same year. The use of the dock granted to LICENSEE is
temporary and may be revoked by the CITY upon fourteen(14)days written notice.
4. Charges. LICENSEE shall pay the CITY point zero one four seven cents ($.0147) per gallon of
gasoline and point zero zero seven five cents ($.0075) per gallon of diesel fuel delivered to
ships or boats. On the date of renewal, the charges will be adjusted annually based on the
Energy Category of the Consumer Price Index for all Urban Consumers as published by the
United State Department of Labor Bureau of Labor Statistics for gasoline and fuel oil in its
October Annual report. Payments shall be made quarterly on or before the fifteenth (15th) day
of the month following the end of each calendar quarter. Late payments are subject to late fees
and interest charges according to the method adopted by CITY at the time such fees and charges
are assessed.
5. Reports. LICENSEE will provide to CITY annually, by March 1, a written report for the
previous calendar year, outlining any maintenance and/or repair work accomplished on the
licensed premises and the cost of that work. LICENSEE shall also provide to CITY a quarterly
report detailing the amount of fuel sold and gross receipts for such sales. These reports shall be
due on the fifteenth (15th) day of the month following the end of each calendar quarter. The
CITY shall have the right to review and inspect LICENSEE's records during all business hours.
LICENSE AGREEMENT Page 1
City of Seward--Shoreside Petroleum Incorporated
�d o
6. Installations. All installations placed upon the above-described facilities shall be and remain
the property of LICENSEE and may be removed there from by LICENSEE at any time
provided that LICENSEE shall not damage or impair CITY's property while installing or
removing LICENSEE's equipment or improvements. The installations shall be accomplished
by LICENSEE at its sole cost and expense and in such a manner as will, at all times, enable
CITY and members of the general public and those otherwise entitled to the use of the
facilities to use the surface of the remaining portion of the facilities. At no time shall such
installations or use of the licensed portion impede the clear and safe transit of the general
public entitled to use the remaining portion of the facilities.
7. Removal of Improvements. LICENSEE hereby covenants and agrees that, on or before the
termination of this License, it will remove said installation and other appurtenances
connected therewith from the premises of CITY and restore the premises to the condition
existing at the time of entering upon the same under this License, reasonable wear and tear
and damage by the elements excepted.
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 LICENSEE, its principals, officers, employers, associates, agents, representatives,
successors, heirs or assigns, licensees or invitees, and LICENSEE 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
LICENSEE.
9. Liability Insurance. LICENSEE shall carry, at its expense,public liability insurance covering
the licensed property in an amount of not less than $1,000,000 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, $1,000,000 Environmental Liability 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 metropolitan area.
10. Additional Named Insured. All insurance policies required of LICENSEE shall name
LICENSEE and CITY as insureds, as their respective interests may appear. 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.
LICENSE AGREEMENT Page 2
City of Seward--Shoreside Petroleum incorporated
11. Repairs and Maintenance. LICENSEE shall pay the cost of repair of any damage to the
above-described licensed premises caused by LICENSEE, its invitees or guests occurring
during the term of this License. LICENSEE shall have the fuel delivery system inspected
periodically by a competent person or firm. Any report generated by such qualified person
or firm shall be provided to CITY.
IN WITNESS WHEREOF,the parties hereto have executed this document by and through
their duly authorized officials.
CITY OF SEWARD, •�1ASKA SHORE SIDE PETROLEUM, INCORPORATED
J..des Hunt, City Manager Doug Lehner, Vice President/Marketing`
Date: 9 13-090L.5 Date: a ` //—a /s
ATTEST:
/ �4 C :..� '
J Jhanna Kinney, City Cler.�
•
(City Seal) ti
•p4
•
•
s ~
� G9
LICENSE AGREEMENT Page 3
City of Seward--Shoreside Petroleum Incorporated
2-
STATE OF ALASKA )
)ss
THIRD JUDICIAL DISTRICT )
THIS CERTIFIES that on /3 ,2015 before me,the undersigned,a Notary
Public in and for the State of Alaska, perso appeared James Hunt to me known to be the City
Manager for the CITY OF SEWARD, ALASKA, and authorized to execute documents on its behalf;
and is the individual named in and who executed the foregoing document on behalf of the City of
Seward for the uses and purposes therein set forth.
}'�• px'�s 1°, IN WITNESS WHERE OF,I have hereunto set my hand and seal.
r
�" :1614
lotary n and for Ala ka
My Commi ` ion Expires: i� ►S
STATE OF ALASKA )
)ss
THIRD JUDICIAL DISTRICT )
1
THIS CERTIFIES that on -/ I 1 / , 2015 before me,a Notary Public in and for
Alaska, personally appeared Doug Lechner, to me known to be the Vice President/Marketing of
SHORESIDE PETROLEUM, INCORPORATED, who executed the foregoing instrument on
behalf of SHORESIDE PETROLEUM, INCORPORATED. He acknowledged to me that he
executed the same freely and voluntarily on behalf of said corporation.He stated to me under oath that
he is the President of the said corporation, has been authorized by the Board of Directors of the said
corporation to execute said instrument on its behalf, and has full power and authority to execute the
same.
IN WITNESS WHERE OF,I have hereunto set my hand and seal.
h+
0 '''' ''.,eayo,.ti ( 1 G \ - E C �t t. L tom,r_iC(
0: NoTARy 3 Notary Public in and for Alaska
�, = " $ My Commission Expires: 1 t.i 1
•
y ° T!' Py • �
Q%r
1111'•• 4' _ f , �.
LICENSE AGREEMENT
City of Seward-Shoreside Petroleum Incorporated Page 4
cc ID
Sponsored by: Hunt
CITY OF SEWARD,ALASKA
RESOLUTION 2015-029
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE SEWARD COMMUNITY HEALTH
CENTER TO APPLY FOR A 2015 US DEPARTMENT OF HEALTH AND
HUMAN SERVICES HEALTH RESOURCES AND SERVICES
ADMINISTRATION HEALTH INFRASTRUCTURE IMPROVEMENT
PROGRAM GRANT REQUIRING CITY COMMITMENT OF ANY FUNDS
NECESSARY TO COMPLETE THE PROJECT
WHEREAS,improving health care services and access to health care services is in the best
interests of the public; and
WHEREAS,the City of Seward has for many years pursued improvements in health care,
both through partnership with Providence Seward Medical and Care Center (PSMCC), and more
recently as grantee and co-applicant for funding to establish a Federally Qualified Health Center
(FQHC),the Seward Community Health Center(SCHC); and
WHEREAS, colocation of these organizations on a common campus and in common
facilities results in efficiencies and mutually supporting synergies for both,but that multiple space
challenges exist for both organizations,as discussed in January 19,2015 and March 23, 2015 work
sessions with the City Council addressing Space Planning for SCHC and PSMCC; and
WHEREAS,SCHC and PSMCC staff have worked collaboratively with Architects Alaska
on conceptual modification,expansion and renovation designs using the existing City owned site and
facility to effectively address operational and space needs for both health care organizations; and
WHEREAS,the City acts as a legally separate co-applicant in order to obtain federal grant
funds to support a FQHC in accordance with Section 330 of the Public Health Safety Act(42 USC
§254b), requiring that the City serve as the public entity for receiving and disbursing federal 330
grant funds utilized by the FQHC; and
WHEREAS, the US Department of Health and Human Services' Health Infrastructure
Improvement Program (HIIP) offers up to one million dollars ($1,000,000)through a competitive
grant program to existing Health Center Program grantees to be used to improve or increase services
through alteration/renovation, expansion or construction of a facility; and
WHEREAS,a condition of the grant is that the City,at a minimum,commit to provide any
additional funds necessary to complete any and all SCHC portions of the project identified in the
grant application; and
WHEREAS, the base level project, identified as Phase I, including the expansion and
CITY OF SEWARD, ALASKA
RESOLUTION 2015-029
renovation of the current facility necessary to complete all aspects of the project related to SCHC,
has an estimated total project cost of$4,019,014 and, with the full federal award could result in
$3,019,014 of additional estimated City funding necessary to complete Phase I; and
WHEREAS, the SCHC Board of Directors met March 26, 2015, and recommended
requesting City Council authorization to proceed with the HIIP grant application; and
WHEREAS, the City desires that an application for HIIP funding be submitted in
support of the SCHC portion of Phase I of the hospital facility improvement project.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The City of Seward supports requesting the HIIP funding and authorizes the
SCHC to prepare and submit the grant application on its behalf for up to one million dollars
($1,000,000) towards Phase I of the proposed hospital facility improvement project.
Section 2. Contingent upon the grant being awarded, the City will provide the additional
funding necessary to complete the project, identified as Phase I,with an estimated total cost of
$4,019,014.
Section 3. The City of Seward approves the expansion and renovation of the current
facility as included in Phase I and commits to moving forward with Phase I of the proposed
project, contingent upon the grant being awarded.
Section 4. The City of Seward will take any and all steps necessary to the best of its
ability to complete Phase I of the proposed project no later than August 31, 2018, contingent
upon the grant being awarded.
Section 5. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska,this 13th day of
April, 2015.
THE CITY OF SEWARD,ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
Council Agenda Statement
Meeting Date: April 13, 2015 4 O SE�yq
\
From: Jim Hunt, City Manager
Agenda Item: To authorize the Seward Community Health ASv-p
Center to apply for a Health Infrastructure and
Improvement grant,and committing City funds to
compete the clinic expansion project if the grant is
awarded
BACKGROUND &JUSTIFICATION:
The City has participated in providing health care services to the community for many years, and
continues to partner with Providence Seward Medical and Care Center (PSMCC) and the Seward
Community Health Clinic(SCHC)to improve access to health care services.
Both PSMCC and SCHC currently occupy the City-owned facility. The shared location results in
synergies of service and efficiencies for both organizations,and as discussed in two work session with
the City Council,also presents some space challenges and therefore opportunities to consider strategic
expansion or renovation options that would best meet the need for additional space.
Staff from both organizations have worked with Architects Alaska to bring back to Council a set of
options for expansion or renovation of the facility, and has presented to the Council a concept design
consisting of Phase I(expansion and renovation)and Phase II(full build out)of the existing facility to
serve existing and future needs.At the same time,SCHC has identified a US Department of Health and
Human Services grant opportunity for up to $1 million, available to existing Health Care Center
grantees for use in work on a facility that results in increased or improved health care services to the
community.
The grant application requires that the public entity eligible to receive and disburse the funds under the
Public Safety Health Act,in this case the City,commit to providing any additional funds necessary to
complete and all SCHC portions of the project identified in the grant application.
Project cost for the SCHC-related portions of the Phase I development is estimated at $4,019,014,
therefore, with full federal award, the City could be responsible for the $3,019,014 necessary to
complete the project.
The SCHC Board of Directors met March 26, 2015, and recommended that City Council authorize
pursuing the grant application.
INTENT: Council approve and authorize the SCHC to prepare and submit the grant application on the
City's behalf for up to one million dollars($1,000,000)towards Phase I of the proposed hospital facility
improvement project.
c
CONSISTENCY CHECKLIST: Yes No N/A
1 Comprehensive Plan (3.7.3.2):Relocate the long term care facility and X
the hospital to a site which will support expansion and modernization.
2 Strategic Plan (p. 19)Other Major Elements of Our Vision: Maintain X
and enhance medical and social services
3. Other (list):
FISCAL NOTE: The City of Seward is the owner of the healthcare facilities utilized by the clinic and
hospital, and expansion of those facilities necessitates City involvement and funding. The City
maintains a 1% sales tax designated for healthcare capital and services, generating approximately $1
million per year. Funding for expansion of the hospital/clinic building can be financed through a
combination of grant funds, cost-based reimbursement funding (for the hospital portion of the
expansion),patient revenues associated with added services and/or utilization,revenue bonds,and the
sales tax proceeds dedicated to healthcare. A precise plan for funding will be developed prior to final
submission of a grant application,based on the proposed configuration of the expansion project(space
allocation between the hospital and clinic facilities).
Approved by Finance Department:
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: Council authorize the SCHC to submit the grant application.
("Zt-So 1v+■0h 'Ltd\ - o2-
Sponsored by: Planning and Zoning Commission
CITY OF SEWARD, ALASKA
RESOLUTION 2015-030
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ADOPTING THE PLANNING AND ZONING COMMISSION
PRIORITIES FROM APRIL 2015 TO APRIL 2016
WHEREAS, at the January 20, 2015 work session the Planning and Zoning Commission
reviewed their Priorities List; and
WHEREAS,the Seward City Council Rules of Procedure, adopted March 14, 1994, state
that the Council should meet in an annual joint work session with the Commission to address
areas of mutual concern; and
WHEREAS, the Commission and Council held a joint work session, reviewed and
updated the Planning and Zoning annual Priorities List on February 3, 2015; and
WHEREAS, at the March 3, 2015 meeting the Planning and Zoning Commission
reviewed and approved the Planning and Zoning Priority List; and
WHEREAS, Council will address a resolution adopting these recommendations.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The following List of Planning and Zoning Priorities is hereby approved and
recommended to Council for their adoption:
Priorities
Short and Medium Term
1) Continue to pursue compliance with the Seward City Zoning Code by prioritizing the
outstanding health and safety issues, such as snow removal, illegal camping,junk
vehicles, etc.
2) Help review Camping Code
3) Communication Tower Education/ Work Session
4) Parks & Recreation Master Plan Update/ Work Session
q)(6
CITY OF SEWARD, ALASKA
RESOLUTION 2015-030
Continuing
1) Work with City Council to continue recruitment efforts for the Planning and Zoning
Commission
2) Seek additional funding for Planning & Zoning Commissioner training
• Search out and add funding to the budget
• Maintain a Commissioner training calendar
3) City of Seward Comprehensive Plan Update
Section 2. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of Seward, Alaska this 13th day of
April, 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
VACANT:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
Council Agenda Statement
Meeting Date: April 13, 2015
Of SeSt•
44
To: City Council �'
Through: Ron Long, Assistant City Manager
Donna Glenz, Planner qtq r�P
From: Dwayne Atwood, Planning Technician
Agenda Item: Resolution Adopting the Planning and Zoning
Commission Priorities from April 2015 to April
2016.
BACKGROUND & JUSTIFICATION:
Annually,the Planning and Zoning Commission establishes their priorities. The Commission began
this year's process by reviewing their Priority List at their January 20, 2015 work session in
preparation of their joint work session with Council scheduled for February 3,2015. During the joint
work session,the Commission and Council reviewed and updated the Planning and Zoning Priorities
List.
At their March 3,2015 meeting the Planning and Zoning Commission approved Resolution 2015-05
recommending Council adoption of the Commission's April 2015 to April 2016 Priority List.
CONSISTENCY CHECKLIST: Yes No N/A
Comprehensive Plan: Most of the priorities which the Commission
1. wishes to work on are an outgrowth of goals and objectives established in X
the Comprehensive Plan.
2 Strategic Plan: The Strategic Plan also identifies many of the priorities X
addressed by the Commission.
Planning and Zoning Rules of Procedure: Rule 34 (c.) "The
Commission shall meet in a joint work session with the City Council in
3. X of each year to discuss areas of mutual interest." X
FISCAL NOTE:
The City will have no costs associated with the approval of the Planning and Zoning Priorities List.
Approved by Finance Department:
INTENT: Adopt the April 2015 through April 2016 Planning and Zoning Priorities List.
ATTORNEY REVIEW: No
RECOMMENDATION:
Approve Resolution 2015-030,Adopting the Planning and Zoning Commission Priorities from April
2015 to April 2016. Ot 0
Sponsored by: Planning and Zoning Commission
CITY OF SEWARD,ALASKA
PLANNING AND ZONING COMMISSION
RESOLUTION 2015-05
A RESOLUTION OF THE SEWARD PLANNING AND ZONING
COMMISSION OF THE CITY OF SEWARD, ALASKA,
RECOMMENDING CITY COUNCIL APPROVAL OF THE PLANNING
AND ZONING COMMISSION PRIORITIES FROM APRIL 2015 TO
APRIL 2016
WHEREAS,at the January 20, 2015 work session the Planning and Zoning Commission
reviewed their Priorities List;and
WHEREAS,the Seward City Council Rules of Procedure, adopted March 14, 1994, state
that the Council should meet in an annual joint work session with the Commission to address
areas of mutual concern; and
WHEREAS, the Commission and Council held a joint work session, reviewed and
updated the Planning and Zoning annual Priorities List on February 3, 2015; and
WHEREAS, at the March 3, 2015 meeting the Planning and Zoning Commission
reviewed and approved the Planning and Zoning Priority List; and
WHEREAS,Council will address a resolution adopting these recommendations.
NOW, THEREFORE, BE IT RESOLVED by the Seward Planning and Zoning
Commission that:
Section 1. The following List of Planning and Zoning Priorities is hereby approved and
recommended to Council for their adoption:
Priorities
Short and Medium Term
1) Continue to pursue compliance with the Seward City Zoning Code by prioritizing the
outstanding health and safety issues, such as snow removal, illegal camping,junk
vehicles, etc.
2) Help review Camping Code
9 c
Seward Planning and Zoning Commission
Resolution 2015-05
Page 2 of 2
3) Communication Tower Education/Work Session
4) Parks & Recreation Master Plan Update/Work Session
Continuing
I) Work with City Council to continue recruitment efforts for the Planning and Zoning
Commission
2) Seek additional funding for Planning& Zoning Commissioner training
• Search out and add funding to the budget
• Maintain a Commissioner training calendar
3) City of Seward Comprehensive Plan Update
Section 2. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the Seward Planning and Zoning Commission this 3rd
day of March, 2015.
THE CITY OF SEWARD,ALASKA
/ or
Ci, Ecklund, Chair
AYES: Swarm, Coulter, Seese, Anderson,Fleming
NOES: None
ABSENT: Ecklund
ABSTAIN: None
VACANT: One
Gy6N 16111,,...
ATTEST: 40,4 V.z: `,f
)
-d._ 4 . „.1z.,ISAPIIA_41 .. • ..
JKhanna y, d m C..- :. T r
f ity Clerk ,
(citykS al)' '-J
• 4
. & • , • o l4 V
`:..' .
•440...__
City of Seward,Alaska Planning Conuuission Minutes
March 3, 2015 Volume 7,Page 123
Motion (Swann/Seese) Approve Resolution 2015-04
Coulter asked staff to indicate the location of the parcels included in the proposed replat.
Glenz directed Commissioners to wall maps and described the lots and the surrounding properties
up and down Brownell Street.
Motion Passed Unanimous
Resolution 2015-05 of the Seward Planning and Zoning Commission of the City of
Seward, Alaska, recommending City Council approval of the Planning and Zoning
Commission priorities from April 2015 to April 2016
Motion (Swann/Coulter) ApproveAesolution 2015-05
Motion Passed
,,.gib nimous
Informational Items and Reports(No action reyuired) ,.,
FEMA Region X Newsletter f;;-,,, r9f;
2015 Planning and Zoning Meetinc St ;�
Railroad Terminal Expansion Article./
Glenz reiterated the informational items and reminded Commissioners of a scheduled March 17
Planning and Zoning work session.
In response to Glen&: Anderson said she could not attend the Planning and Zoning Commission
regular w.otk session on March 17.
Swarm said he could not attt the Planning and Zoning Commission regular meeting on April 7.
I
Commission'comments
Seese said there wá ;'u �dvehicle in his neighborhood with a notice attached. He asked staff
about any continued ei't 'ement efforts.
Glenz said Administration had worked on the abandoned and junked vehicle issue during the
summer and autumn, but was not aware of current efforts. Glenn said she would pass the violation
information on to the City Manager.
Anderson asked staff to again describe the election procedure, since Commissioner Swann had
indicated he would not attend the next regular meeting.
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2015-031
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA,AUTHORIZING AN AGREEMENT WITH ELECTRIC POWER
CONSTRUCTORS (EPC) INC TO REPAIR LOAD TAP CHANGERS ON
FOUR STATION TRANSFORMERS LOCATED AT LAWING, SPRING
CREEK AND FORT RAYMOND SUBSTATIONS FOR A COST NOT TO
EXCEED $70,500
WHEREAS,transformer renovation has been on the critical needs list for at least five years
and funds were allocated for that purpose in the Electric Department's 2014/2015 budget; and
WHEREAS, in October of 2012, Electric Power Constructors (EPC) conducted tests to
determine the condition of all four substation transformers. EPC determined the windings of the
transformers were in acceptable condition but found issues with all four load tap changers (LTC);
and
WHEREAS,in May of 2014,the Electric Department published an Invitation to Bid on the
repairs recommended by the previous assessment and no bids were received; and
WHEREAS,on February 13,2015,the Electric Department received a proposal from EPC to
perform this work and the City of Seward Electric Department has had a positive working history
with EPC; and
WHEREAS, the parties have negotiated a scope of work at a fixed price of$70,500.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. The City Council, in accordance with SCC 6.10.120.A.10 and the recitals above
which are incorporated herein, finds that it is in the City's best interest to sole source this work to
Electric Power Constructors, Inc.
Section 2. The City Manager is hereby authorized to enter into an agreement with Electric
Power Constructors,Inc.of Anchorage,Alaska to troubleshoot and repair the Load Tap Changers on
four(4) station transformers located at Lawing, Spring Creek and Fort Raymond Substations.
Section 3. Funding for this contract in an amount not to exceed$70,500 is available within
the 2015 Budget.
Section 4. This resolution shall take effect immediately upon its adoption.
91
Agenda Statement
e 4 O SFtt9
Meeting Date: April 13, 2015 4
To: City CouncilP
�ASw
Through: Jim Hunt, City Manager
From: John Foutz, Electric Department Manager
Agenda Item: EPC Contract to repair electric transformers
BACKGROUND & JUSTIFICATION:
Transformer Renovation has been on the critical needs list for at least five years and funds were
allocated for that purpose in the Electric Department's 2014/2015 budget.
In October of 2012, EPC conducted tests to determine the condition of all four substation
transformers. They found the windings of the transformers to be in acceptable condition but found
issues with all four LTC's. They also found some potential issues with several of the transformer
bushings.
In May of 2014,the Electric Department published an Invitation to Bid on the repairs recommended
by the previous assessment.No bids were received although EPC expressed an interest in that work,
to be explored in the upcoming year. On February 13, the Electric Department received a proposal
from EPC for the work in question. Over the next month, we have negotiated the scope of work to
ensure that all of the work needed is accomplished.
This contract is intended to address the LTC issues and perform such maintenance as is needed to
ensure longer life and better reliability for these units.This is,in essence,a continuation of the work
begun in 2012.EPC is the only company which responded to the 2014 solicitation.It is,therefore in
the City's interest, as defined under SCC 6.10.120 A.10 to place this contract with EPC.
INTENT: To enter into an agreement with Electric Power Constructors(EPC)Inc to troubleshoot
and repair the Load Tap Changers (LTC) on the transformers located at Lawing, Spring Creek and
Fort Raymond Substations.
CONSISTENCY CHECKLIST: Yes No N/A
Comprehensive Plan (1.3, 3.7.3.1, 3.7.3.2): Continue to upgrade and
1. expand utilities to meet existing needs and encourage future X
development.
2 Strategic Plan : The mission of the City of Seward government it is to X
provide quality leadership and economic wellbeing of its citizens
3. Other (list): X
FISCAL NOTE: Funding for this project is included in the 2015 Electric Enterprise Fund
Infrastructure account.
Approved by Finance Department: ✓G 12 )
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: ON
City Council approve Resolution 2015- Authorizing the City Manager to enter into an agreement
with Electric Power Constructors (EPC) Inc of Anchorage, Alaska to troubleshoot and repair the
Load Tap Changers(LTC)on the four(4)station transformers located at Lawing, Spring Creek and
Fort Raymond Substations for a cost not to exceed $70,500 and allocate funds.
9(49
Planned 2015 Transformer Maintenance. 3-10-15
Lawing:
1.HV Bushing Testing,
2.LTC troubleshooting including replacing the capacitor similar to what bad at Spring Creek,no other parts
other than the capacitor are included in the estimate. Weather cannot be rainy/snowy while the work is being
done as we don't want to introduce moisture into the oil. Our oil pump that we use has water removal
properties,but we don't want to depend on it to remove any moisture that can be avoided by chosen a window
of good weather.
3.Oil Samples(Main Tank and LTC).
4.Thermowell Leak Repair without draining tank which might be required in case the leak is from the flange
and not the thermowell threads.
5.Tightening up of the radiator valve packing nut/monitor the packing nut that was tightened already to
confirm oil leak has stopped.
Spring Creek:
1.HV Bushing Testing,
2. Installation of new printed circuit board for LTC controller,this is what is believed to be the issue that isn't
allowing controller to operate correctly.
3. Oil Samples(Main Tank and LTC).
4. Replacement of radiator fan AC wiring junction box assuming the work gets done while the Ft. Raymond
project is occurring allowing a wireman to come over to the site to make the repair and not have to come down
for a separate trip. $1,100 adder to estimate total.
5. Procurement and installation of a new LTC position indicator and cable. This work assumes that Lawing
will occur first to allow dimensions required to order materials to be determined off of the Lawing unit when
its troubleshooting is occurring. Weather cannot be rainy/snowy while the work is being done as we don't
want to introduce moisture into the oil. Our oil pump that we use has water removal properties,but we don't
want to depend on it to remove any moisture that can be avoided by chosen a window of good weather.
Ft.Raymond Unit A:
1.Clean up oily areas around radiators and attempt repairs by tightening radiator valve packing nuts.
2.Oil Samples(Main Tank and LTC).
3. Filtration of LTC oil by circulation through particulate and moisture removing filter element.
4.Top off of LTC oil.
5. LTC pressure gauge replacement.
91
•
6.Winding Temperature Thermowell leak repair.
7.Troubleshoot(extemal to LTC only)/install new LTC counter.
Ft.Raymond Unit B:
1.Clean up oily areas around radiators and attempt repairs by tightening radiator valve packing nuts.
2. Oil Samples(Main Tank and LTC).
3. Filtration of LTC oil by circulation through particulate and moisture removing filter element.
4. Top off of LTC oil.
5. Main Tank and LTC pressure gauge replacement.
6. Winding Temperature Thermowell leak repair.
7.Troubleshoot(external to LTC only)/install new LTC counter.
The total estimate time and materials budgetary cost is$70,500 and includes a 10%contingency for the four
transformers.Actual costs will be billed according to the 2015 Rate Schedule that will be released after the
new IBEW rates come into effect in April.
9 ?
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2015-032
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN
AGREEMENT WITH HOTWIRE ELECTRIC LLC TO REPLACE
ELECTRICAL CONDUCTORS ALONG MOAT WAY AND THE
SOUTHERN END OF EXCALIBUR DRIVE FOR AN AMOUNT NOT TO
EXCEED $58,722
WHEREAS, electric service was installed in along Moat Way and the southern end of
Excalibur Drive before 1988, which makes it at least 27 years old; and
WHEREAS,the wire used in that installation has a twenty year life span; and
WHEREAS, the City electric utility has experienced failures due to deterioration with
increasing frequency in recent years; and
WHEREAS,the replacement of those conductors has been on the Critical Needs list for at
least six years and is a line item on the Electric Department's Capital Projects budget for 2015; and
WHEREAS, the City developed a scope of work and, on March 8, 2015, advertised a
competitive bid package to provide labor and equipment to replace the conductors on Moat Way and
the southern end of Excalibur Drive, according to SCC 6.10.210 and SCC 6.10.215; and
WHEREAS,the low bid proved to be responsible,responsive and qualified and was in the
amount of$53,384; and
WHEREAS,it is prudent engineering practice to allow 10%of any construction bid to cover
unforeseen contingencies, and the contingency will not be utilized unless approved in writing, in
advance, by the City Manager.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is authorized to enter into an agreement with Hot Wire Electric
LLC for labor and equipment to replace the electrical conductors along Moat Way and the southern
end of Excalibur Drive for an amount not to exceed $53,384.
Section 2. An additional contingency in the amount of $5,338 is available to address
unforeseen conditions and can be added to the contract only upon written approval in advance,by the
City Manager.
CITY OF SEWARD, ALASKA
RESOLUTION 2015-032
Section 3. Funding for this contract in an amount not to exceed $58,722 is available in the
Electric Department 2015 budget.
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 13th
day of April, 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
X oo
Agenda Statement
of sett,
Meeting Date: April 13, 2015 . b4111ti4A
To: City Council
ASKP
Through: Jim Hunt, City Manager
From: John Foutz, Electric Department Manager
Agenda Item: Contract to replace the electrical conductors along Moat Way and the
southern end of Excalibur Drive
BACKGROUND & JUSTIFICATION:
Electric service was installed in along Moat Way and the southern end of Excalibur Drive before
1988, which makes it at least 27 years old. The wire used in that installation has a twenty year life
span.
The electric utility has experienced failures due to deterioration with increasing frequency in recent
years. One of the conductors in that area has failed entirely. The replacement of those conductors has
been on the Critical Needs list for at least six years and is a line item on the Electric Department's Capital
Projects budget for 2015.
The City developed a scope of work and,on 08 March 2015,advertised a competitive bid package to
provide labor and equipment to replace the conductors on Moat Way and the southern end of
Excalibur Drive, according to SCC 6.10.210 and SCC 6.10.215. Bids were received at the Clerk's
office on time, as required by the Invitation to Bid. Two bids were received. The low bid proved to
be responsible,responsive and qualified and was in the amount of$53,384.It is prudent engineering
practice to allow 10%of any construction bid to cover unforeseen contingencies.Thus,total funding
for this project would be$53,384 + $5,338= $58,722. The contingency will not be utilized unless
approved in advance and in writing, by the city manager.
INTENT: To enter into an agreement with HotWire Electric LLC to replace electrical conductors
along Moat Way and the southern end of Excalibur Drive
CONSISTENCY CHECKLIST: Yes No N/A
1. Comprehensive Plan (1.3, 3.7.3.1, 3.7.3.2): X
2. Strategic Plan (document source here): X
3. Other (list): X
FISCAL NOTE: Funding for this project is available in the Electric Enterprise Fund 2015 Budget
for infrastructure repair and replacement account no. 15000-3005-8101. Although the CIP has been
approved, individual expenditures require appropriation by the City Council.
Approved by Finance Department:
101
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: 0
/5/1'
City Council Approve Resolution 2015- Authorizing the City Manager to enter into an agreement
with HotWire Electric LLC for labor and equipment to replace the electrical conductors along Moat
Way and the southern end of Excalibur Drive for an amount not to exceed$58,722,including a 10%
contingency.
0'1
CONSTRUCTION AGREEMENT BETWEEN THE CITY OF SEWARD AND
HOTWIRE ELECTRIC LLC
BETWEEN:
CITY OF SEWARD, ALASKA THE ("CITY")
Post Office Box 167
Seward, Alaska 99664 Phone: 907.224.3445 Fax: 907.224.8633
and
HotWire Electric LLC ("The Contractor")
5451 Loana Drive
Anchorage, AK 99518
The City and The Contractor agree as follows:
SCOPE OF WORK
HotWire Electric LLC shall furnish all labor and equipment necessary for the installation of new
conductors and associated equipment as shown on City of Seward Drawings CR1-00001, Sheets 1 thru 5
and as further described in the Invitation to Bid and the specifications pertaining thereto.
TERM
The Contractor agrees to commence the Scope of Work of this Agreement, as described in the Invitation
to Bid, immediately upon execution of this Agreement. Work shall be complete within ninety days.
DELIVERY
The Contractor shall perform all labor and services necessary to complete the Scope of Work in Seward,
Alaska, as specified in the Invitation to Bid, all associated documents and 20 March 2015 Bid.
CONTRACT PRICE
Following receipt of periodic invoices from the Contractor, the City agrees to pay Fifty Three Thousand
Three Hundred Eighty-Four and No Cents ($53,384) in the amounts as set forth in the Bid for Work
actually delivered, completed, and accepted by the City.
PRIORITY OF CONTRACT DOCUMENTS
The documents below are referred to as the "Contract Documents" and are listed in order of priority in
the event of conflict, errors or discrepancies and by this reference made a part of this Agreement:
1. This Agreement.
2. City of Seward Invitation to Bid.
Construction Agreement
Page 1 of 5
13 April 2015 1 01)
CONSTRUCTION AGREEMENT BETWEEN THE CITY OF SEWARD AND
HOTWIRE ELECTRIC LLC
3. Drawings and Specifications
4. Information to Bidders
5. Contractor's Bid dated 20 March 2015
MATERIALS AND WORKMANSHIP
All materials furnished by City of Seward shall be new and suitable for the intended purposes.
CHANGE ORDERS
No changes or substitutions shall be made in the Scope of Work without prior written authorization by
the City, approved by John Foutz, Utility Manager. Requests for Change Orders shall be reviewed
promptly upon receipt. Adjustments, if any, to the contract price shall be negotiated by the undersigned
or other person designated in writing on behalf of the parties and agreed to in advance in writing.
SUBCONTRACTORS/THIRD PARTIES
The Contractor shall be as fully responsible for the acts or omissions of its subcontractors and of persons
either directly or indirectly employed by them as for the acts or omissions of persons directly employed
by The Contractor. Nothing contained in this Agreement shall create any contractual relationship
between the City and any subcontractor.
It is specifically understood between the parties that this Agreement does not make anyone a third party
beneficiary, nor does this Agreement authorize anyone not an authorized party to maintain a lawsuit for
personal injuries or property damage.
THE CITY'S RIGHT OF INSPECTION
The City, or its agents may, at any time during regular hours of operation, inspect the Scope of Work and
services provided under this Agreement. Such inspections are solely for the benefit of the City and not
for any third person. The exercise by the City or an agent acting on behalf of the City, of its rights under
this paragraph, shall not imply any obligation to inspect nor an obligation to inspect in any particular
manner. The City reserves the right to refuse any damaged or unusable Work or materials not of equal or
better quality than stated in the specifications in the Contract Documents.
AMENDMENT
This Agreement shall only be amended, modified or changed in writing, signed executed by an
authorized representative of each of the parties.
JURISDICTION, CHOICE OF LAW
The law of the State of Alaska shall govern the rights and obligations of the parties and interpretation of
this Agreement. Venue for any legal actions arising from this Agreement shall be in Anchorage, Alaska.
Construction Agreement
Page 2 of 5
13 April 2015 t 0 L
CONSTRUCTION AGREEMENT BETWEEN THE CITY OF SEWARD AND
HOTWIRE ELECTRIC LLC
COMPLIANCE WITH LAWS
The City shall obtain, at its own expense, all necessary permits, rights-of-way or other consents from all
governmental agencies. The Contractor shall comply with all applicable federal, State and local laws,
statutes, regulations and ordinances. Attached are a performance bond, insurance certificates, and
contractor's license and bonding information.
DEFAULT,REMEDIES, LIQUIDATED DAMAGES
The Contractor's failure to comply with any representation or warranty made in this Agreement or the 20
March 2015 Bid, shall be considered an event of default. In addition, The Contractor's failure to perform
any other term, covenant or agreement contained in any of the Contract Documents shall be considered
an event of default. An event of default by The Contractor and its refusal or inability to cure or
diligently pursue a cure within the time authorized by the City, shall give the City the right, but not the
obligation, to procure services and materials from another source (with any difference in cost to be paid
by The Contractor) or to terminate this Agreement upon ten (10) days written notice to The Contractor.
The City, upon termination of this Agreement, shall have the right but not the obligation to accept
performance of the Scope of Work up to the date of termination. Upon termination as a result of The
Contractor's breach, the City shall be entitled to a full refund of all amounts paid under this Agreement
provided that in the event that the City exercises its ability to accept the Work, as completed to the date
of termination, the City shall pay The Contractor for the Scope of Work completed to such date to the
extent that such Work conforms to this Agreement. Amounts owed to either party pursuant to this
paragraph may be offset. The City shall be entitled to liquidated damages in the amount of$250 per day
for each day the Work is not completed after 150 days. The parties agree that actual damages are
impossible to calculate, and this amount is a reasonable estimate for damages to the City caused by
delay. Remedies described herein are not exclusive and the City retains all other rights and remedies at
law or in equity.
TIMELINESS
Time is of the essence for this Agreement.
REPAIR OF DAMAGES CAUSED BY HotWire Electric LLC.
All damage and injury to property that is caused by, or that results from performance of the Scope of
Work by, or from any act, omission or neglect by The Contractor, its subcontractors or its employees,
shall promptly be remedied by The Contractor either by repairing, rebuilding or replacing the property
damaged or in some other manner satisfactory to the City and to the owner of such property. In case of
failure on the part of The Contractor to promptly and satisfactorily remedy such damage or injury, the
City may proceed to repair, rebuild or replace such property as required and the cost thereof will be
deducted from any monies due or which may become due to The Contractor.
In applying the above provisions, the repairing, rebuilding or replacing of damaged property shall be
understood to include the providing of temporary facilities that may be needed to maintain normal
service until the required repairing, rebuilding or replacing is accomplished. Restoration of damaged
Construction Agreement
Page 3 of 5
13 April 2015 J, 0
CONSTRUCTION AGREEMENT BETWEEN THE CITY OF SEWARD AND
HOTWIRE ELECTRIC LLC
property includes removal of contaminated water or soil, remediation to the extent required by any State
or federal environmental law, regulation, or order of an agency having jurisdiction over a release of a
contaminant or hazardous substance.
RELEASE, INDEMNIFICATION AND INSURANCE
The Contractor agrees to release, indemnify, defend and hold harmless the City, its officers, agents and
employees from and against any and all claims, demands, losses, defense costs or liability of any kind or
nature, including environmental liability, which the City, its officers, agents and employees may sustain
or incur or which may be imposed upon them or injury to or death of persons or damage to property as a
result of, arising out of or in any manner connected with The Contractor's performance under the terms
of this Agreement,excepting only liability arising out of the sole, gross negligence of the City.
Without limiting The Contractor's obligations stated above in this paragraph, it is agreed that The
Contractor shall maintain in force, at all times, during the performance of this Agreement the following
policies of insurance, with deductibles acceptable to the City,covering its operations:
Insurance Minimum Limits
Comprehensive General Liability $1 Million combined limit each occurrence
Worker's Compensation/Employer Liability As required by statute
Automobile Liability- Covering bodily injury and $1 Million combined limit per accident
property damage, including all owned,hired and
non-owned vehicles.
Professional Liability—Covering all errors, N/A
omissions, or negligent acts in the performance of
services under this Agreement.
The Contractor shall procure insurance for full replacement value and to adequately insure against the
loss of or damage to materials during shipment and at all times in The Contractor's possession. Costs of
shipping and other insurance are covered by the contract price.
The Contractor's insurance policies shall contain the following clauses:
1. The City, its officers, employees and volunteers are added as additional insured for operations of
the named insured performed under contract with the City.
2. Any insurance maintained by the City shall apply in excess of, and not contribute with, insurance
provided by The Contractor.
3. All insurance policies required by this Agreement shall contain a clause that the insurance shall
not be canceled, limited, non-renewed, or otherwise materially changed without thirty (30) days
Construction Agreement
Page 4 of 5
13 April 2015 I OP
CONSTRUCTION AGREEMENT BETWEEN THE CITY OF SEWARD AND
HOTWIRE ELECTRIC LLC
prior written notice delivered to the City.
4. All policies shall be written by insurance companies legally authorized or licensed to do business
in the State of Alaska and acceptable to the City.
5. The Contractor shall furnish to the City, certificates evidencing that it has procured the insurance
required herein prior to commencement of the contract term.
6. All of the insurance policies described above shall provide that the insurers waive rights of
subrogation against the City, its officers, agents and employees.
ASSIGNMENT PROHIBITED
Any assignment by The Contractor of its interest or responsibilities in any part of this Agreement or any
delegation of duties under this Agreement shall be void and any attempt by The Contractor to assign any
part of its interest or delegate duties under this Agreement shall give the City the right to terminate this
Agreement immediately.
This Agreement is entered into and effective when executed by both parties.
CITY OF SEWARD, ALASKA HotWire Electric LLC.
James Hunt, Cit y Manager B Mana a
g By: i 1 -_. � 41.
Its: dIFei(j-m 1J 11ff5111//f(- yj2
DATE: DATE: Z 2-0/5
ATTEST:
Johanna Kinney, CMC, City Clerk
Date:
(City Seal)
Construction Agreement
Page 5 of 5 , 61
13 April 2015
Bond No.09190056
PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS:that
Hot Wire Electric,LLC
(Name of Company)
(Name of Corporation)
a LLC - ,hereinafter called Principal and
Fidelity and Deposit Company of Maryland
(Name of Surety)
hereinafter called Surety,are held and firmly bound unto
City of Seward
(Name of Grantor)
PO Box 167,Seward,AK 99664
-------.._ ___
(Address of Grantor)
Fifty Three Thousand Three Hundred
hereinafter called Owner, in the penal sum of 'Eiibiy-Four and.00t oQ.__ _. - Dollars,
(S 53,384.00 )in lawful money of the United States,for the payment of which sum well and
truly to be made, we bind ourselves, successors, and assign, jointly and severally, firmly by these
presents.
THE CONDITION OF THIS OBLIGATION is such that whereas, the Principal entered into a certain
contract with the OWNER,dated the day .201_,a copy of which is here
attached and made a part hereof for the construction of:
Camelot South Re-Conductoring
NOW, THEREFORE, if the Principal shall promptly make payment to all persons, firms,
SUBCONTRACTORS and corporations furnishing materials for or performing labor in the prosecution
of the WORK provided for in such contract, and any authorized extension or modification thereof,
including all amounts due for materials, lubricants, oil, gasoline, coal and coke, repairs on machinery,
equipment and tools, consumed or used in connection with the construction of such WORK, and all
insurance premiums on said WORK, and for all labor, performed in such WORK whether by
SUBCONTRACTOR or otherwise then this obligation shall be void:otherwise to remain in full force and
effect.
PROVIDED, FURTHER, that the said Surety for value recaived hereby stipulates and agrees that no
change, extension of time, alteration or addition to the terms of the contract nr to the WORK to be
performed thereunder or the SPECIFICATIONS accompanying the same shall in any wise affect its
obligation on this BOND, and it does hereby waive notice of any such change, extension of time,
alteration or addition to the terms of the contract or to the WORK or to the SPECIFICATIONS.
0C
PROVIDED,FURTHER,that no final settlement between the OWNER and the CONTRACTOR shall
abridge the right of any beneficiary hereunder,whose claim may be unsatisfied.
IN WITNESS WHEREOF,this instrument is executed in One(1) counterparts,each
one of which shall be deemed an original,this — day of _20
ATTEST:
Hot Wire Electric,LLC
(Principal-Secretary) (Principal)
(SEAL) BY: _. _--z-
5.451_Laona D e
(Witness as to Principal) (Address)
Anchorage,AK 99518
(Address) _�_.__-- ..._
ATTEST:
Fidelity and Deposit Company of Maryland
(Surety-Secretary) (Surety)
(SEAL)
?..7,"„"el
kete ett/4464 '
(Witness as to Surety) /ttorney-in-fact) Kelly ^ 'I Layman
1031 W 4th Ave.,Suite 400 1400 American Lane,Tower 1 18th Floor
(Address) (Address)
Anchorage,AK 99501 Schaumburg,IL 60196
NOTE: Date of BOND must not be prior to date of Contract. If CONTRACTOR is Partnership,
all partners should execute BOND.
IMPORTANT: Surety companies executing Bonds must appear on the Treasury Department's most
current list(Circular 570 as amended) and be authorized to transact business in the state
where the PROJECT is located.
PERFORMANCE BOND Bond No.09190056
KNOW ALL MEN BY THESE PRESENTS:that
Hot Wire Electric,LLC
(Name of Company)
(Name of Corporation)
a LLC ,hereinafter called Principal and
Fidelity and Deposit Company of Maryland
(Name of Surety)
hereinafter called Surety,are held and firmly bound unto
City of Seward
(Name of Grantor)
PO Box 167,Seward,AK 99664
(Address of Grantor)
Fifty Three Thousand Three Hundred
hereinafter called Owner, in the penal sum of Eighty and 00/100- Dollars,
($ 53,384.00 in lawful money of the United Stites,for the payment of which sum well and
truly to he made, we bind ourselves, successor, and assigns, jointly and severally, firmly by these
presents.
THE CONDITION OF THIS OBLIGATION is such that whereas, the Principal entered into a certain
contract with the OWNER,dated the day .201_,a copy of which is here
attached and made a part hereof for the construction of:
Camelot South Re-Conductoring
NOW, THEREFORE, if the Principal shall promptly make payment to all persons, firms,
SUBCONTRACTORS and corporations furnishing materials for or performing labor in the prosecution
of the WORK provided for in such contract, and any authorized extension or modification thereof,
including all amounts due for materials, lubricants, oil, gasoline, coal and coke, repairs on machinery,
equipment and tools, consumed or used in connection with the construction of such WORK, and all
insurance premiums on said WORK, and for all labor, performed in such WORK whether by
SUBCONTRACTOR or otherwise then this obligation shall be void:otherwise to remain in full face and
effect.
PROVIDED, FURTHER, that the said Surety for value received hereby stipulates and agrees that no
change, extension of time, alteration or addition to the terms of the contract or to the WORK to be
performed thereunder or the SPECIFICATIONS accompanying the same shall in any wise affect its
obligation on this BOND, and it does hereby waive notic+. of any such change, extension of time,
alteration or addition to the terms of the contract or to the WORK or to the SPECIFICATIONS.
\ \0
PROVIDED,FURTHER,that no final settlement between the OWNER and the CONTRACTOR shall
abridge the right of any beneficiary hereunder,whose claim may be unsatisfied.
IN WITNESS WHEREOF,this instrument is executed in One(I) counterparts,each one of
which shall be deemed an original,this day of 20 __.
ATTEST:
Hot Wire Electric,LLC
(Principal—Secretary) (Principal)
(SEAL) By: ✓6 /�- , —... c
5451 Laona
(Witness as to Principal) (Address)
A nchorage,AK 99518
(Address) --
ATTEST:
Fidelity and Deposit Company of Maryland
(Surety-Secretary) (Surety)
(SEAL)
By:
(Witness as to Surety) (Attom -In-fact) Kelly Michael Law
lJ r
1031 W 4th Ave.,Suite 400 1400 American Lane,Tower I, 18th Floor
(Address) (Address)
Anchorage,AK 99501 Schaumburg,IL 60196
NOTE: Date of BOND must not be prior to date of Contract. If CONTRACTOR is Partnership,
all partners should execute BOND.
IMPORTANT: Surety companies executing Bonds must appear on the Treasury Department's most
current list(Circular 570 as amended)and be authorized to transact business in the state
where the PROJECT is located.
t '
EXTRACT FROM BY-LAWS OF THE COMPANIES
"Article V,Section 8,Attorneys-in-Fact. The Chief Executive Officer,the President,or any Executive Vice President or Vice President
may, by written instrument under the attested corporate seal, appoint attorneys-in-fact with authority to execute bonds, policies,
recognizances, stipulations, undertakings, or other like instruments on behalf of the Company, and may authorize any officer or any such
attorney-in-fact to affix the corporate seal thereto;and may with or without cause modify of revoke any such appointment or authority at any
time."
CERTIFICATE
I, the undersigned, Vice President of the ZURICH AMERICAN INSURANCE COMPANY, the COLONIAL AMERICAN
CASUALTY AND SURETY COMPANY, and the FIDELITY AND DEPOSIT COMPANY OF MARYLAND,do hereby certify that the
foregoing Power of Attorney is still in full force and effect on the date of this certificate;and I do further certify that Article V,Section 8,of
the By-Laws of the Companies is still in force.
This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of
Directors of the ZURICH AMERICAN INSURANCE COMPANY at a meeting duly called and held on the 15th day of December 1998.
RESOLVED: "That the signature of the President or a Vice President and the attesting signature of a Secretary or an Assistant Secretary
and the Seal of the Company may be affixed by facsimile on any Power of Attorney...Any such Power or any certificate thereof bearing such
facsimile signature and seal shall be valid and binding on the Company."
This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of
Directors of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at a meeting duly called and held on the 5th day of
May, 1994,and the following resolution of the Board of Directors of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND at a
meeting duly called and held on the 10th day of May, 1990.
RESOLVED: "That the facsimile or mechanically reproduced seal of the company and facsimile or mechanically reproduced signature
of any Vice-President, Secretary, or Assistant Secretary of the Company,whether made heretofore or hereafter,wherever appearing upon a
certified copy of any power of attorney issued by the Company,shall be valid and binding upon the Company with the same force and effect
as though manually affixed.
IN TESTIMONY WHEREOF,I have hereunto subscribed my name and affixed the corporate seals of the said Companies,
this day of ,20_
}p.o.:�"o ••�e`'�°°.ron"o`m .., to
�, ;0.: SEAL X
y ism at 4
utottEP
(41. ric,,a(1
Thomas O. McClellan,Vice President
H -
ZURICH AMERICAN INSURANCE COMPANY
COLONIAL AMERICAN CASUALTY AND SURETY COMPANY
FIDELITY AND DEPOSIT COMPANY OF MARYLAND
POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS:That the ZURICH AMERICAN INSURANCE COMPANY,a corporation of the State of New
York,the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY,a corporation of the State of Maryland,and the FIDELITY
AND DEPOSIT COMPANY OF MARYLAND a corporation of the State of Maryland (herein collectively called the "Companies"), by
JAMES M. CARROLL, Vice President, in pursuance of authority granted by Article V, Section 8, of the By-Laws of said Companies,
which are set forth on the reverse side hereof and are hereby certified to be in full force and effect on the date hereof,do hereby nominate,
constitute, and appoint James K. BRADY, Kristy M. KONTE, Kelly Michael LAYMAN, Kirk C. LEADBETTER, Jay A. MILEY,
Katie BOOHER and Glen LOPEZ,all of Anchorage,Alaska, EACH its true and lawful agent and Attorney-in-Fact, to make,execute,
seal and deliver,for, and on its behalf as surety, and as its act and deed: any and all bonds and undertakings,and the execution of such
bonds or undertakings in pursuance of these presents, shall be as binding upon said Companies, as fully and amply, to all intents and
purposes,as if they had been duly executed and acknowledged by the regularly elected officers of the ZURICH AMERICAN INSURANCE
COMPANY at its office in New York, New York., the regularly elected officers of the COLONIAL AMERICAN CASUALTY AND
SURETY COMPANY at its office in Owings Mills, Maryland., and the regularly elected officers of the FIDELITY AND DEPOSIT
COMPANY OF MARYLAND at its office in Owings Mills, Maryland.,in their own proper persons.
The said Vice President does hereby certify that the extract set forth on the reverse side hereof is a true copy of Article V,Section 8,of
the By-Laws of said Companies,and is now in force.
IN WITNESS WHEREOF, the said Vice-President has hereunto subscribed his/her names and affixed the Corporate Seals of the said
ZURICH AMERICAN INSURANCE COMPANY, COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, and
FIDELITY AND DEPOSIT COMPANY OF MARYLAND,this 26th day of October,A.D.2012.
ATTEST:
ZURICH AMERICAN INSURANCE COMPANY
COLONIAL AMERICAN CASUALTY AND SURETY COMPANY
FIDELITY AND DEPOSIT COMPANY OF MARYLAND
ocio ups'w
usW14)� fib tea j�e / * c+
(13 EAL ` ` �—�- '
7 ;v
By
~M+wn.Nr
Assistant Secretary Vice President
Gerald F.Haley James M. Carroll
State of Maryland
City of Baltimore
On this 26th day of October,A.D.2012,before the subscriber,a Notary Public of the State of Maryland,duly commissioned and qualified,JAMES M.
CARROLL,Vice President,and GERALD F.HALEY,Assistant Secretary,of the Companies,to me personally known to be the individuals and officers
described in and who executed the preceding instrument,and acknowledged the execution of same,and being by me duly sworn,deposeth and saith,that
he/she is the said officer of the Company aforesaid,and that the seals affixed to the preceding instrument are the Corporate Seals of said Companies,and that
the said Corporate Seals and the signature as such officer were duly affixed and subscribed to the said instrument by the authority and direction of the said
Corporations.
IN TESTIMONY WHEREOF,I have hereunto set my hand and affixed my Official Seal the day and year first above written.
,,,,, UTrto..
...;,�p ice:
91ooa14h?
Maria D.Adamski,Notary Public
My Commission Expires:July 8,2015
POA-F 180-0491 I
No. 37732
Effective: 12/29/2014 STATE OF ALASKA
Expires: 12/31/2016 DEPARTMENT OF COMMERCE,COMMUNITY&ECONOMIC DEVELOPMENT
Division of Corporations, Business and Professional Licensing
P.O. Box 110806,Juneau,Alaska 99811-0806
Certifies that
HOT WIRE ELECTRIC, LLC
Is A Registered
General Contractor without Residential Contractor Endorsement
Administrator: ARIC BARTLETT EAD 1974 Commissioner: Fred Parady
Administrator: JASON ELLIS EAD 1738
Administrator OSCAR JOHNSON EAD 1661
No. 1974
Effective 01/01/2015 STATE OF ALASKA
Expires: 12/31/2015 DEPARTMENT OF COMMERCE,COMMUNITY&ECONOMIC DEVELOPMENT
Division of Corporations, Business and Professional Licensing
P.O.Box 110806,Juneau,Alaska 99811=0806
Certifies that
ARIC BARTLETT
Is a Licensed
ELECTRICAL ADMINISTRATOR
Categories: UCW Commissioner: Fred Parady
Assignment: HOT WIRE ELECTRIC,LLC CON 37732
No. 1661
Effective 12/05/2013 STATE OF ALASKA
Expires. 12/31/2015 DEPARTMENT OF COMMERCE,COMMUNITY&ECONOMIC DEVELOPMENT
Division of Corporations, Business and Professional Licensing
P.O. Box 110806,Juneau,Alaska 99811-0806
Certifies that
OSCAR L JOHNSON
Is a Licensed
ELECTRICAL ADMINISTRATOR
Categories: UL Commissioner: Susan K. Bell
Assignment. HOT WIRE ELECTRIC,LLC CON 37732
��Ntic .s-,r p Municipallchorage
di
° Development Se es Department •0'Air// 4700 Elmore Road Anchorage, AK 99508 \° `�Ca
f 4... . 1 G
CONTRACTORS LICENSE
�� epartment
4R/E`y0Aro'e The Licensee below holds the Municipality of Anchorage Contractors License Number: C0N3570
Company:
HOT WIRE ELECTRIC, LLC*
5451 LAONA DR. ANCHORAGE, AK 99518
s Type of Business: Electrical Contractor
Electr Electrical Contractor
Next Renewal Date: February 14, 2016 a%
LICENSE NOT TRANSFERABLE !-•''
AUTHORIZED BY: /�
CO, fp y
Alaska Business License# 967642
Alaska Department of Commerce, Community, and Economic Development
Division of Corporations, Business and Professional Licensing
P.O. Box 110806, Juneau,Alaska 99811-0806
This is to certify that
HOT WIRE ELECTRIC, LLC
3000 C ST STE 301 ANCHORAGE AK 99503
owned by
HOT WIRE ELECTRIC, LLC
is licensed by the department to conduct business for the period
December 09, 2014 through December 31, 2016
for the following line of business:
23 -Construction
or 71# This license shall not be taken as permission to do business in the state without
having complied with the other requirements of the laws of the State or of the United States.
4
F.+ ' — This license must be posted in a conspicuous place at the business location.
It is not transferable or assignable.
Fred Parady
bet, "`
Commissioner
Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2015-033
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
GRANT AGREEMENT WITH THE STATE OF ALASKA DEPARTMENT
OF COMMERCE, COMMUNITY, AND ECONOMIC DEVELOPMENT
WITH A TOTAL AWARD OF$1,991,999.99 FOR PHASE II OF THE NORTH
SEWARD WATER STORAGE TANK AND PUMPING FACILITY, AND
APPROPRIATING FUNDS
WHEREAS, for more than 10 years, City staff has been pursuing funding necessary to
construct a 600,000 gallon water storage tank and pumping facility in an effort to increase necessary
chlorination contact time and buffer demand for water during periods of peak tourism; and
WHEREAS, the Seward City Council approved Resolution 2009-093 on September 28,
2009, accepting State Grant #10-DC-024 in the amount of$4.5 Million to dredge the cruise ship
berthing basins and approaches, utilizing commercial passenger vessel tax proceeds. Upon
completion of that project,the City requested re-appropriation of remaining funds in the amount of
$1,991,999.99 for the purpose of constructing a new water storage tank in part,to alleviate seasonal
demand on the City's water system; and
WHEREAS,the State Legislature authorized re-appropriation of these funds in the form of
new Grant#12-RR-030, necessitating Council acceptance of a new grant agreement; and
WHEREAS, in September 2011 the Seward City Council designated the North Seward
Water Storage Tank & Pumping Facility Phase II as the City's number one local state funding
priority for fiscal year 2013; and
WHEREAS, the City successfully procured $2,508,000 in funding through the Alaska
Department of Environmental Conservation(ADEC)Municipal Matching Grant Program requiring a
30% City match requirement; and
WHEREAS, this Designated Legislative Grant in the amount of$1,991,999.99 has been
approved to qualify as the City's 30% match to the ADEC Municipal Matching Grant; and
WHEREAS, accepting the total award amount of $1,991,999.99 from the Alaska
Department of Commerce,Community and Economic Development is in the best interest of the City
by allowing the City to utilize the funds to invest in critical infrastructure, follow regulations set
forth by the Alaska Department of Commerce,Community,and Economic Development and buffer
demand related to tourism and the high transient population observed in Seward.
k t1
CITY OF SEWARD, ALASKA
RESOLUTION 2015-033
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. The City Manager is hereby authorized to enter into a grant agreement with the
State of Alaska Department of Commerce,Community and Economic Development,and accept the
total award of$1,991,999.99 for construction of the North Seward Water Storage Tank&Pumping
Facility.
Section 2. Funding in the amount of$1,991,999.99 is hereby appropriated from State grant
account no. 17312-0000-5922 as follows: 1) $1,897,142.85 to Infrastructure Costs account no.
17312-0000-8101; and 2) $94,857.14 to Project Overhead account no. 17312-0000-7305.
Section 3. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13`h day of
April 2015.
THE CITY OF SEWARD,ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
Agenda Statement
40C sett.
Meeting Date: April 13, 2015 _ o
J
To: City Council ����P
Through: Jim Hunt, City Manager
From: W.C. Casey, Public Works Director
Agenda Item: Accepting Designated Legislative Grant #12-RR-30 to construct the North
Seward Water Storage Tank
BACKGROUND & JUSTIFICATION:
The North Seward Water Storage Tank and Pumping Facility project, Phase II, is ready to move
forward by accepting and appropriating the remaining funding needed to complete the project. The
City of Seward has gained site control of Tract C-6 for the new tank site and two sources of funding
have been secured for construction of the project.
The City of Seward received a Municipal Matching grant in the amount of$2,508,000,with a 30%
match requirement from the Alaska Department of Environmental Conservation. This grant was
accepted and appropriated in Resolution 2012-087.
The additional funding will come from re-appropriated funds in the amount of$1,991,999.99 from
Designated Legislative Grant #12-RR-030 from the State of Alaska Department of Commerce,
Community,and Economic Development. These are unspent funds from a$4.5 million Designated
Legislative Grant that was used for dredging cruise ship basins and approaches in 2009. The City
completed that project and did not utilize all of the grant funding. In 2012, the City of Seward
requested,and was granted the remaining,re-appropriated funds for the North Seward Water Storage
Tank and Pumping Facility. This re-appropriated Legislative Grant has been approved by the State
of Alaska to qualify as the City's 30% match for the $2,508,000 Municipal Matching Grant.
INTENT:
Authorizing the City Manager to accept grant funding in the amount of$1,991,999.99 from the State
of Alaska Department of Commerce,Community, and Economic Development for construction of
the North Seward Water Storage Tank
CONSISTENCY CHECKLIST: Yes No N/A
Comprehensive Plan (document source here):Page 27: Continue to
1. upgrade and expand utilities to meet existing needs and encourage X
future development.
2. Strategic Plan (document source here): Promote a safe community. X
3. Other (list): Design Study Report completed by CRW in 2000. X
1
FISCAL NOTE:
Funding in the amount of $1,991,999.99 will be utilized to construct the North Seward Water
Storage Tank, serving as the City's matching funds for additional funds from the State of Alaska
Department of Environmental Conservation. This grant will cover City administrative fees in the
amount of$94,857.14.
Approved by Finance Department: Ag
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: �'J��
City Council approve Resolution 2015- authorizing the City Manager to enter into a grant
agreement with the Alaska Department of Commerce, Community, and Economic Development,
accepting the total award of$1,991,999.99 and appropriating funds.
1 20
IDESIGNATED LE .SLATIVE GRANT AGREL..,ENT - AMENDMENT
State of Alaska
Department of Commerce, Community, and Economic Development
Division of Community and Regional Affairs
Project Title Grant Agreement Number AR
for construction of a new water storage tank
and improving restrooms in the Seward 12-RR-030 8933
harbor area
Grantee Name Effective Date of Amendment ENC
City of Seward September 30, 2012 820831
Amendment # 1
EFFECTIVE THE DATE SHOWN ABOVE THIS GRANT IS HEREBY AMENDED AS FOLLOWS:
1. The start date of this Grant Agreement remains July 1, 2011.
2. The termination date of this Grant Agreement remains June 30, 2016.
3. The project budget is modified as reflected below:
BUDGET COMPONENT CURRENT BUDGET MODIFICATION REVISED BUDGET
Program Funds $1,991,999.99 ($94,857.14) $1,897142.85
Administration 0.00 $94,857.14 $94,857.14
TOTALS $1,991,999.99
ALL OTHER TERMS AND CONDITIONS OF THE ORIGINAL GRANT AGREEMENT
REMAIN IN FULL FORCE AND EFFECT.
GRANTEE DEPARTMENT
Si.nature Signature
Printed Name and Title • Printed Name and Title
Kristin Erchinger, Finance Director Jolene Julian, Grants Administrator III
Date Date
id-lf /aoia
Page l of l
� ti\
Attachment A
Scope of Work
1. Project Description
The purpose of this FY 2012 Designated Legislative Grant in the amount of$1,991,999.99 [pursuant to
the provisions of AS 37.05.315, SLA 2011, Chapter 5, Section 46(b), Page 175, Lines 21-26,J is to provide
funding to City of Seward for use towards construction of a new water storage tank and improving
restrooms in the Seward harbor area. The objective of this project is for completing the harbor restrooms
renovations, construction of a building for the new water storage tank and fire protection improvements
for the cruise ships.
This project may include, but is not limited to:
• Contractual agreements;
• Construction costs;
• Equipment;
• Materials and supplies
No more than five percent (5%) of the total grant award may be reimbursed for Administrative expenses
for projects involving equipment purchase or repairs and no more than ten percent(10%) of the total grant
award may be reimbursed for Administrative expenses for all other projects. To be reimbursed for eligible
administrative costs, expenses must be reported on the Designated Legislative Grant FinanciaUProgress
Report form.
2. Project Budget
Cost Category Grant Funds Total Project Cost
Program Funds $1,991,999.99 $1,991,999.99
3. Budget Narrative
The Grant Funds identified above will be used to complete the project described in the above Project
Description.
Rev.4/2009 Designated Legislative Grant Agreement Attachment A Page I of 2
4. Project Management/Reporting
This project will be managed by the Grantee.
If the Grantee is a City, signatory authority for execution of the Grant Agreement and subsequent
amendments is granted to the Mayor. The Mayor may delegate signatory authority for executing the
Grant Agreement and amendments to others within the City government via the Signatory Authority
Form. The Mayor may also designate financial and progress reporting authority via the Signatory
Authority Form. Such delegation is limited to others within the City government, unless otherwise
approved by the Department.
If the Grantee is not a City, signatory authority for execution of the Grant Agreement and subsequent
amendments is granted to the Chief Executive Officer (CEO). The CEO may delegate authority for
executing the Grant Agreement and amendments to others within the Grantee's organization via the
Signatory Authority Form. The CEO may also designate financial and performance progress reporting
authority via the Signatory Authority Form. Such delegation is limited to others within the Grantee's
organization unless otherwise approved by the Department.
The Grantee must establish and maintain separate accounting for the use of this Grant. The use of
Grant funds in any manner contrary to the terms and conditions of this Grant Agreement may result in
the subsequent revocation of the grant and any balance of funds under the grant. It may also result in
the Grantee being required to return such amounts to the State.
The Grantee shall submit a Designated Legislative Grant Financial/Progress Report Form (see
attached) each month, or quarterly, with the concurrence of the Department, during the life of the
Grant Agreement. Grant Financial/Progress Report Forms are due fifteen(15)days after the end of the
month or quarter being reported. The report period is the first of the month through the last day of the
month. If quarterly reporting is approved, the report period is the first day of the first month through
the last day of the third month of the quarter. The final Financial/Progress Reports must be submitted
within thirty (30) days following completion of the project. Under no circumstances will the
Department release funds to the Grantee unless all required reporting is current.
5. Grant Forms Packet
The following page, which includes the Designated Legislative Grant Financial/Progress Report
Form, is to be used by the Grantee for monthly/quarterly reporting. Additional copies of this form are
available from the Department, electronically or in hard copy.
1 Rev.4/2009 Designated Legtslattve Grant Agreement Attachment A Page 2 oft
1P)^1-)
Sponsored by: Oates
t
CITY OF SEWARD,ALASKA
RESOLUTION 2011-069
A RESOLUTION OF THE SEWARD CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, DESIGNATING STATE OF ALASKA,
DEPARTMENT OF ENVIRONMENTAL CONSERVATION (ADEC)
GRANT FUNDS FOR THE PROJECT ENTITLED NORTH SEWARD
WATER STORAGE TANK AND PUMPING FACILITY PHASE II AS
THE NUMBER ONE LOCAL STATE FUNDING PRIORITY FOR
FISCAL YEAR 2013
WHEREAS, the City of Seward through the State of Alaska, Department of
Environmental Conservation, will request grant funding for the North Seward Water Storage
Tank and Pumping Facility Phase 11; and
WHEREAS, the State of Alaska, Department of Environmental Conservation has
requested that the City of Seward identify this project as the community's number one local state
funding priority for fiscal year 2013; and
WHEREAS, the North Seward Water Storage Tank Phase II will provide the required
chlorine contact time for disinfection to the City water Supply, as well as, additional storage
capacity for the water system adding a needed buffer during peak demand periods that occur
frequently in Seward due to seasonal increases in population because of the tourism and fishing
industries.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
SEWARD,ALASKA:
Section 1. The Seward City Council hereby designates the North Seward Water Storage
Tank Phase H as the City's number one local state funding priority for fiscal year 2013.
Section 2. Phis resolution shall take effect immediately upon its adoption.
L
1 �U
CITY OF SEWARD,ALASKA
RESOLUTION 2011-069
PASSED AND APPROVED by the City Council of the City of Seward, Alaska,and this Is`day
of September 2011.
TH CI 1,. ARD,ALASKA
ii and .Dunham,Mayor
AYES: Valdatta, Smith,Kcil,Shafer,Casagranda,Dunham
NOES: None
ABSENT: Bardarson
ABSTAIN: None
ATTEST:
J
J hanna Kinney,CMC,
ity Clerk
(City Seal)
of SEW%
• ; -4-
r •
•
pp •
,•q Op'pg .
J
/1- )
Sponsored by: Hunt
ttaw CITY OF SEWARD,ALASKA
RESOLUTION 2012-057
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
GRANT AGREEMENT WITH THE ALASKA DEPARTMENT OF
ENVIRONMENTAL CONSERVATION MUNICIPAL MATCHING GRANT
PROGRAM WITH A TOTAL AWARD OF $2,508,000 FOR PHASE II OF
THE NORTH SEWARD WATER STORAGE TANK AND PUMPING
FACILITY PROJECT,AND APPROPRIATING FUNDS
WHEREAS,for over 10 years,City staff has been pursuing funding necessary to construct a
520,000 gallon water storage tank and pumping facility in an effort to increase necessary chlorine
contact time and buffer demand for water during periods of peak tourism; and
WHEREAS, City staff submitted numerous applications with the Department of
Environmental Conservation Municipal Matching Grant; and
WHEREAS, in 2010, City staff was successful in acquiring grant monies through the
American Reinvestment and Recovery Act sufficient to complete Phase One of The North Seward
Water Storage Tank Project: Waterline Intertie; and
WHEREAS, staff continued to pursue the remaining $4,500,000 in funding necessary to
compete Phase Il of the North Seward Water Storage Tank and Pumping Facility,and
WHEREAS,an additional $1,991,999 in state appropriated funds has been identified and
approved as the required match for this grant;
WHEREAS, in August of 2011,the City of Seward through the State of Alaska Department
of Environmental Conservation submitted questionnaires seeking funding for the completion of the
North Seward Water Storage Tank and Pumping Facility Phase II;and
WHEREAS,in September of 2011 the Seward City Council designated the North Seward
Water Storage Tank and Pumping Facility Phase II as the City's number one local state funding
priority for fiscal year 2013; and
WHEREAS,the City successfully procured an additional$2,508,000 in funding through the
Alaska Department of Environmental Conservation,Municipal Matching Grant Program; and
WHEREAS, the grant funds may be used to provide contractual services, engineering,
design planning,permitting,project support and construction management; and
WHEREAS, accepting the total award amount of $2,508,000 from the Department of
VIFSEWARD,ALASKA
RESOLUTION 2012-057
mai
Environmental Conservation Municipal Matching Grant Program is in the best interest of the City by
allowing the City to utilize the funds to invest in critical infrastructure,follow regulations set forth
by the Alaska Department of Environmental Conservation and buffer demand related to tourism and
the high transient population observed in Seward.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. The City Manager is hereby authorized to enter into a grant agreement with the
Alaska Department of Environment Conservation Municipal Matching Grant Program,and accept
the total award amount of$2,508,000.
Section 2. The City Manager is hereby authorized to appropriate funding in the amount of
$2,508,000 from account no. 709-70924680-0200 to Infrastructure Costs account no. 709-7092-
5926.
Section 3. This resolution shall take effect immediately upon its adoption.
III PASSED AND APPROVED by the City Council of the City of Seward,Alaska,this 23`d day of
...1July 2012.
THE CITY OF SEWARD,ALASKA
A----1/4
t
Dav Sewwa , yor
AYES: Bardarson. Keil, Shafer,Casagranda, Seaward
NOES: None
ABSENT: Terry, Valdatta
ABSTAIN: None
ATTEST: ��glill#nu��.�
�*$:i pF SEy, '...
de e ,1 ✓ice .I ' soG��c G�apQ�t'�Ve...
Johanna Kinney,CMC = 3 —0—
•
City Clerk I• SEAL • ■
(
...1
City Seal) ,t
• ••-•.+I'. 1 ors)0-S•.. �STE OF'A`PS•'.
1 1.J1
Sponsored by: Hunt
CITY OF SEWARD,ALASKA
RESOLUTION 2015-034
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ACCEPTING FUNDS FROM THE ALASKA STATE LIBRARY
FOR THE PUBLIC LIBRARY ASSISTANT GRANT IN THE AMOUNT
OF $5,351.53 AND APPROPRIATING FUNDS
WHEREAS, in January 2014 the Alaska State Library sought applications for the Public
Library Assistant Grant; and
WHEREAS, the staff of the Seward Community Library & Museum submitted an
application for $7000.00 with a match of$7000.00 from the City to purchase materials and build
the library collection for the benefit of the community; and
WHEREAS, the purpose of these funds is to purchase books, serial subscriptions, media
and other material to build the library collection; and
WHEREAS, the matched funds are already built into the library budget for the purchase
of collection materials; and
WHEREAS, in June 2014, the Alaska State Library awarded the Public Library
Assistance Grant to the Seward Community Library Museum in the amount of$6,500.00 with a
City match of$7,000.00; and
WHEREAS, library staff and city administration signed the grant agreement with the
Alaska State Library on June 8, 2014; and
WHEREAS, an amount of$1,298.47 in grants funds has already been expended beyond
the match; and
WHEREAS, a total of$5,351.53 remains to be appropriated and expended by June 30,
2015.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The City Council hereby authorizes the City Manager to accept the Public
Library Assistant grant in the amount of$6,500.00 from the Alaska State Library.
Section 2. Funding remaining on the grant in the amount of $5,351.53 is hereby
appropriated from Alaska State Library Public Library Assistant grant revenue account no.
01000-1500-4252-0001 to the Library Books account number 01000-1500-7201-0001.
CITY OF SEWARD, ALASKA
RESOLUTION 2015-034
Section 3. This resolution shall take effect immediately.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of
April 2015.
THE CITY OF SEWARD, ALASKA
Jean Bardarson, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Johanna Kinney, CMC
City Clerk
(City Seal)
1 ��
Agenda Statement
of Seigle
Meeting Date: April 9, 2015 I.' 10
To: City Council'"
1&As"p
Through: Jim Hunt, City Manager
From: Valarie Kingsland, Library Museum Director
Agenda Item: Accepting Alaska State Library Public Library Assistant Grant
BACKGROUND & JUSTIFICATION:
In January 2014, the Alaska State Library sought applications for the Public Library Assistant (PLA)
Grant. Seward Community Library&Museum(SCLM)staff filed a grant application which was reviewed
and accepted in June 2014 for the amount of$6,650 with a matching commitment from the City for$7,000,
for a total of$13,500.
The purpose of these funds is to purchase books, serial subscriptions, media and other material to build
the library collection. The City match of$7,000 is included in the library budget. A total of$5,351.53
of grant funds remains to be appropriated and expended by June 30, 2015. Grant reports are due by
September 1, 2015.
INTENT:
To appropriate $5,351.53 in remaining grant funds to purchase library collection materials.
CONSISTENCY CHECKLIST: Yes No N/A
1 Comprehensive Plan (3.1.2.1): Support existing public institutions X
in their effort to maintain, expand and develop.
2. Strategic Plan (pg12):"...expand Library Services,.... " X
3. Other (list): X
FISCAL NOTE:
The City match of $7,000.00 exists in the 2015-2015 Library Museum budget for library materials to
facilitate this grant, but an appropriation is needed to spend remaining grant funds of $5,351.53. The
balance of the grant was spent in 2014, consistent with the State of Alaska's fiscal year.
Approved by Finance Department: illAta -tttli,p
ATTORNEY REVIEW: Yes No X
RECOMMENDATION:
City Council approve Resolution 2015- accepting funds from the Alaska State Library for the Public
Library Assistant Grant in the Amount of$5,351.53, and Appropriating Funds.
X50
tiag 7/0, /1
1 FY2415 ALASKA PUBLIC LIBRARY ASSISTANCE GRANT O?l
CATI „ice
DUE: April 1,2014 I
Seward Community Library Museum
1. Library Name: MAR 2 5 20N
2. Address: PO Box i
ox 2389 239 6th Ave
I
City: Seward "~` MARY
Zip: 99664
3. Head librarian: Patricia Linville 4. Phone No:
907-224-4008
5. Fax No: 907-2243521
6. E-mail: plinvilie(mcicyofseward.net •
7. Mailing address if award Is done as paper check: City of Seward PO Box 167 Seward,AK 99664
lI
8. Schedule of Hours Library Will Be O.en Note an seasonal Libra schedule changes ou expect this year: __ I
Sun Mon Tues Wed Thurs Fri Total Hours Weeks Open
S8t Per Week Per Year
Closed I1To6 11to8 11to8 48 52
11to8 11To6 11To6
9, If the library will be open fewer than 52 weeks,which weeks will your library be closed?
i
10, Number of branch libraries and/or bookmobiles:_0_Please fill out the enclosed Branch Library or
■
Bookmobile Application Addendum Page and attach to the grant application,Currently applies Just to
Anchorage,Barrow,Fairbanks,Juneau,Kotzebue,and Naknek. I
11. Budget Summary:
Local Funds Public Library Total Project
•
•
for Match Assistance Grant Budget
a. Personnel Funds Requested
1. Salaries and Wa:-5
2. Farr Value Rate for Volunteer Labor(#12 below)
3. Benefits Not Applicable
b. Collection(Library Materials)
1. Books
2. Subscriptions 7000.00 7000.00 1400o.00
3. Audiovisuals
4. Online Services,and Internet Service Provider ��` �
(ISP)Fees Ex.-ndltures u. to$500 total)
5. Mlcroforms,Computer Software for Patron Use,
Games and T. s
c. Other Expenditures
1. Building Operations
2. urniture,Equipment&Computers i
3. Travel
4. Sup•lies
5. Online Services and Internet Service Provider
•
(ISP)Fees(Expenditures be and$500 total)
6. Services 99
7. All Other Unreported Expenditures -- d
d. Total
7000.00 7000.00 14000,00
Note:If Local Funds for Match column totals$7,000 or more,
you should request$7,000 in Grant Funds Requested column.
�/2)1
PUBLIC LIBRARY ASSISTANCE GRANT FY2015 4
Budget Revision
Budget Summary Local Funds for Grant Funds Total Project
Project Requested Budget
a. Personnel
1.Salaries and Wages(Actual funds) i
2.Benefits -~
3.Value of Volunteer Labor _ Not applicable
b.Collection(Library Materials)
1. Books in Print Format 7 011) - - .f! ,' 0
2.Subscriptions in Print Format
3.Audiovisuals
4.Electronic(Digital) Materials and Online
Services(No computers or e-readers.)
5. Initial$500 Spent on Internet Service
Provider(ISP)Fees.(Report remaining 1SP
fees on line c-6. No computers or e-readers.)
6.Other Materials such as Microforms,
Computer Software for Patron Use,Games
and Toys.(No computers or e-readers.)
ti
c.Other Expenditures
1.Building Operations
2.Furniture,Equipment,Computers,E-Readers
3.Travel •
4.Supplies
5.Services(Do NOT include Internet service
provider fees on this line.)
6.Internet Service Provider Fees paid beyond
$500•total. (List first$500 of 1SP fees on
line b-5 above.)
7.All Other Unreported Expenditures.
d.Total 7( 000 6/050. 13�s
As Amended for Library Name: - - • ■ ♦ £ W1 _ ' I-(0. A_. „' wL
Signature: %i► -<< �� i Date 7/e-/Y-
D Approved: Date
For the Alaska State Library:
1. The Alaska State Library must approve any change of more than 10%to any budget line on your original grant
application.Please show the entire revised budget In the budget summary above.
2. Changes of less than$100 to any line Item or any change that adds funds to amounts budgeted for library materials
((Ines B1 through B6)do NOT need to be approved by the State Library,even if the change is more than 10%. !1
3. The librarian should sign this form,then fax it to 907-269-6580 or mail it to Alaska State Library,344 West Third
Avenue,Suite 125,Anchorage,AK 99501 or send a scanned copy to:Patience.Frederiksen @alaska.gov
4. The grants administrator at the Alaska State Library will sign this form and return It to you.
5. Keep the signed copy of this budget revision with your original grant application.Questions?Call 1-800-776-65661
' 1)7^
or Tk; Department of Education &
\�� �y/,,-,� THE STATE
„--Is.+ ,0 ALASKA. Division of Libraries,Archives &Museums
't �� ' GOVERNOR SEAN PARNF.LL 344 West Third Avenue,Suite 125
p :'g Anchorage,Alaska 99501
Maln:907.269-6570
Fax:907,269-6580
Linda S.Thibodeau,Director
July 2,2014
Patricia Linville
Seward Community Library Museum •
P.O. Box 2389
Seward,AK 99664
Dear Patty, .
The total Public Library Assistance grant for FY2015 for the Seward Community Library Museum
will be$6,650.Although the State Library has reduced the grant,your library may NOT reduce the
amount of local match,$7,000.
The reason that we will not be able to fund grant requests at$7,000 is that the grant line in the State
Library's budget has not been fully funded for some years. Since the money appropriated is not sufficient
to fully fund the grants, regulations require that we: "reduce each grant proportionally."
In order to receive your grant check as soon as possible,please:
• Return the enclosed grant agreement and budget revision as soon as you can.Two different
people(the librarian and the appropriate legal authority)must sign the grant agreement, since it is a
legal document committing your library to certain obligations in return for receiving the public library
assistance grant. Once we have your agreement and budget revision,we will start mailing out grant
checks.
• Please review your original grant budget and revise that budget to show how you plan to
spend the lower amount of the grant.For libraries without branches,show how you plan to spend
$6,650,rather than the$7,000 you requested on the grant application. We have included a copy of the
budget from your original grant application and a budget revision form.This budget revision form
should be submitted with your grant agreement.
• As you fill out the budget revision form, please remember that the library MUST spend at least
$3,500 on the Collection (Library Materials). Of this$3,500,each library may include UP TO a
total of$500 for Electronic Materials and Online Services.We have broadened the definition of
Electronic Materials and Online Services to include: Internet Service Provider(ISP)fees,
OCLC license fees,and database access or purchase fees.
1
PLAG Cover letter
Page two of two
July 2,2014
The FY2015 Public Library Assistance grant year starts July 1,2014.Librarians and officials should •
carefully note and follow the regulations governing the administration of this grant.To remain eligible for
the grant,the library MUST:
• Submit by September 1,2015 the following legally required reports for FY2015:Final Grant Report,
Technology Report, and Annual Public Library Report
• Spend at least$3,500 on library materials and online services.
• Be open at least 10 hours per week for 48 weeks.
• Schedule some evening and weekend hours each week.
• Have trained paid or volunteer staff on duty in the library during all open hours.
• Combined school/public libraries must take special care to not use grant money or local funds used as
matching money for school library purposes.This includes purchasing school-type library materials
(books,magazines,etc.)
Each library director is required to attend at least 6 hours of continuing education during the current two
year cycle, which includes FY2014 and FY2015 (July 2013 through June 2015).If you attended
continuing education during FY2014,do be sure to record that training on your FY2014 public library
annual report.
The State Library audits the records of selected libraries at the end of the grant year and reclaims any
grant funds not properly accounted for.Also,any portion of this grant money not spent or encumbered by
June 30,2015 must be returned to the State Library.Please call or write if you have questions.You may
contact me at: Patience.Frederiksen@alaska.gov Thank you.
Sincerely,
6/atet/4 ,
Patience Frederiksen
Grants Administrator
Alaska Public Library Assistance Grant Agreement FY2015
•This agreement made and entered into this second day of July 2014,by and between the Alaska State Library,
hereafter referred to as the Grantor;and the Seward Community library Museum,referred to as the Grantee.
Whereas,the State of Alaska has appropriated funds for public library assistance;and whereas,the application of the
Grantee for a grant for public library assistance has been approved.NOW THEREFORE,for and in consideration of the
mutual covenants herein contained the parties hereto agree as follows:
The Grantor will agree to:
1. Furnish funds in the amount of$6,650.
2. Provide advisory services in furtherance of the grant project.
The Grantee will agree to:
1. Expend local funds of at least$7,000 for project purposes. Funds may be expended only for public library
purposes and must be clearly attributable to public library services and operations.
2. Provide at least the following services free to residents of the municipality or community:
• Establish and maintain a collection of books and other materials for loan;
• Provide access to interlibrary loans;
• Provide reading or other educational programs for children;and
• Provide reference Information.
3. Abide by the conditions set forth in Its application and approved by the Grantor,Including:
• The number and timing of open hours;
• The existing and ongoing educational requirements for the library director.
4. Expend at least$3,500 on library materials and online services for each outlet,
5. Have trained staff on duty In the library during the scheduled open hours.
6. Submit a Final Grant and Technology Report and Public Library Annual Report by September 1,2015.
7. Maintain accurate records for auditing purposes.
8. Return any grant funds unexpended or unencumbered by June 30,2015,and all funds for which there Is no
proper accounting.
9. Repay any portion of grant funds that have not actually been matched by local funds over the course of the
grant period,
10. Receive prior approval from the Grantor for any line item change that exceeds 10%of the line item,except
that no prior approval Is required for:
• Line item changes of less than$100;or
• Line item changes that add funds to library materials and online services.
The source of funding for this agreement is as follows:
State Sources $6,650
By accepting this award or agreement,the grantee may become subject to the audit requirements of State of
Alaska Administrative code 2 MC 45.010. As a result,the grantee may be required to provide for an audit and to
permit independent auditors to have access to their records and financial statements. The grantee should consult
with an independent auditor for assistance in determining audit requirements for each fiscal year.
The undersigned understands and agrees to the conditions of this agreement.Both signatures are required.
For Library Fo • ega Ent
Air r ,. r
i�� _/� a_�✓ilk. a� _
S :nature / Signature Ca,S � / /�� /1e
tie Date Title Date
PLEASE MAKE A PHOTOCOPY OF THE SIGNED AGREEMENT FOR YOUR RECORDS
RETURN BY SEPTEMBER 1,2014 TO:GRANTS ADMINISTRATOR,ALASKA STATE LIBRARY,
344 WEST THIRD AVENUE,SUITE 125,ANCHORAGE,AK 99501
` �Yl
April 1, 2015
City of Seward,Alaska
City Council Joint Work Session with the Port and Commerce Advisory Board
Unofficial meeting notes
Taken by City Clerk Johanna Kinney
In attendance:
Council Members Darling, Terry, Squires, *Vice Mayor Keil, *Mayor Bardarson
Port and Commerce Advisory Board Members Linville, Oliver, Hughes, *Fink, Vice Chair
Schaefermeyer,Chair Altermatt
*did not stay for the entire session
Staff: City Manager Hunt,Assistant City Manager Long, City Clerk Kinney, Harbormaster Funk,
Deputy Harbormaster Regis, Executive Liaison Towsley
Public: Andy Wilder, Jonah Swiderski, Louis Tiner, Koal Backlund, Tyrell Seavey, Jim
Hubbard, Patty Linville, Ann Linville, Kaare Elde, Rae Elde, Ezra Campbell, Corey Harris,
Kenneth Wardle, Gail Burnard, Brooke Andrews, Rick Smeriglio, Rhonda Hubbard
The Council and Board met at 12:00 p.m. on April 1, 2015 and ended their work session
approximately at 1:30 p.m.
Some statements made:
• The city should be better supporting the fisherman currently operating out of Seward, and
then more fishermen would be attracted to working in Seward.
• Fishing compliments tourism, but is also not dependent on tourism, should the tourism
industry decline.
• Need better taxes and better infrastructure—a flat tax, and a crane and grid.
• Seward should be a community where boat repairs should be able to take place, keeping
families and businesses here.
• The fishing industry needs local services.
• There is a major lack in lifting abilities. In other fishing towns, a grid and crane are a
normalcy, and should be in Seward. This is especially helpful for smaller fishing
businesses.
• How would the city pay for infrastructure such as a crane and a grid?
1 IA°
61 1 V lM d 5 aitil
oat Pcivior P 16c v -1 (9_2o E)
Dock. The purpose of either of these projects would be for mariners to load and unload fish and
gear.
4.11 Wash Down Facility
A new wash down facility in the area of the Travelift would benefit harbor users by offering a
convenient way to clean their boats. And since potential contaminants would be captured for
proper disposal, the facility would also be good for the environment. A wash down facility was
built at SMIC in 2013 and the harbor staff is refining operational techniques. The pressure
washing equipment is mounted on a trailer and it could be used at both SMIC and the Small Boat
Harbor if a slab with containment was built.
4.12 Drive Down Float
A new drive down float is proposed for the northeast corner of the harbor,just to the north of the
northeast launch ramps. The drive down float would provide access for boats to load and unload
supplies and equipment or do minor maintenance. Only temporary short-term mooring would be
permitted and no overnight mooring. The float would be 60 feet wide by 100 feet long, held in
place by steel piling, and have an approximately 100-foot steel bridge/gangway accessing the
northeast parking area. The float and bridge would be similar to the drive down dock in Sitka,
Alaska which is heavily used by boats.
4.13 Tidal Grid
The harbor did have a tidal grid in the northeast corner until the flood in the fall of 1995. At that
time, the grid was buried by sediment washed into the basin by the flood. The grid was never
uncovered, primarily because of the high cost of potential contaminated soil disposal. It is
possible that state matching grant funds may be used to construct a new grid.
A tidal grid is proposed to be installed between I Dock and the Travelift in the northwest
quadrant of the harbor. Accessibility from both land and water exist at this site, and similar
working infrastructure already exists on both sides. An alternative location with more room is the
currently unused northeast corner of the harbor area between the east side of the T Dock and the
Northeast Boat Ramp/Fish Cleaning Station.
4.14 Fish Cleaning Facilities
The harbor has a grant to replace the fish cleaning station in the northeast corner of the harbor.
The new fish cleaning station will be built at the bottom of the northeast launch ramp. This will
improve these facilities for this quadrant of the harbor. In 2007 a similar floating fish cleaning
facility was built in the southeast corner of the harbor.
( 1)-1
A .ri 1 2015 April 2015 May 2015
SuMo
SuMo TuWe Th Fr Sa TuWe Th Fr Sa
1 2 3 4 1 2
5 6 7 8 9 10 11 3 4 5 6 7 8 9
12 13 14 15 16 17 18 10 11 12 13 14 15 16
19 20 21 22 23 24 25 17 18 19 20 21 22 23
26 27 28 29 30 24 25 26 27 28 29 30
31
Monday Tuesday Wednesday Thursday Friday
Mar 30 31 Apr 1 12 '3
12:00pm PACAB&CC V 5:30pm CC WS;Sludge
12:00pm Seward Recrea 6:30pm CC WS for Pro'
a
0
m
2
6 7 8 9 10
7:00pm P&Z Mtg 6:30pm HP Spc Mtg
0
a
1- 14 15 16 17
7:00pm CC Mtg 12:00pm PACAB Meetin
12:00pm Rec Comm Sp
6:30pm HP Mtg;HP W
m
a
20 21 22 123 24
6:00pm P&Z WS movit
0
(N
a
7: CC Mtg
�I 28 29 130 I May 1
r
N
N
a
Nand Richey 1 4/9/2015 12:56 PM
May 2015 Maye 2015
Th June 2015
SuMo TuWe Fr Sa SuMo TuWe Th Fr Sa
1 2 1 2 3 4 5 6
3 4 5 6 7 8 9 7 8 9 10 11 12 13
10 11 12 13 14 15 16 14 15 16 17 18 19 20
17 18 19 20 21 22 23 21 22 23 24 25 26 27
24 25 26 27 28 29 30 28 29 30
31
Monday Tuesday Wednesday Thursday Friday
Apr 27 (28 29 30 May 1
N
N
a
4 5 6 7 8
7:00pm P&Z Mtg 12:00pm PACAB Mtg
m
11 12 13 s 14 15
7:00pm CC Mtg
A
18 19 20 21 22
6:00pm P&Z WS 12:00pm PACAB Work S
6:30pm HP Mtg
N
N
CO
r-1
A
25 26 (27 28 (29
:00pm CC Mtg
ry
Nanci Richey 1 4/9/2015 12:56 PM