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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.. 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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