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06222015 City Council Packet
Seward City Council Agenda Packet „Do • •: - Y • June 22, 2015 City Council Chambers Beginning at 7:00 p.m. 1963 1965 2005 The City of Seward, Alaska :t CITY COUNCIL. MEETING AGENDA 4.4}. � AB-America City I �• �i ' ,, {Please silence all cellular phones during the meeting} q�%�sw�:�` June 22,2015 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. Presenting R/V Sikuliaq with gift from the City of Seward. Dale Butts B. Chamber of Commerce Report Council Member C. City Manager's Report Term Expires 2016 D. Other Reports and Presentations Iris Darling 7. PUBLIC HEARINGS Council Member Term Expires 2015 A. Resolutions Requiring A Public Hearing 1. Resolution 2015-057, Recommending Kenai Peninsula Borough James Hunt Approval Of The Benny Benson Park Replat Which Establishes The City Manager Outer Boundaries Of The Benny Benson Park, Includes The Vacation Of All Interior Undeveloped Rights-Of-Way, Easements And Interior Johanna Kinney Platted Lot Lines; Dedicates Additional Rights-Of-Way And City Clerk Easements; Located Predominately Within The Park Zoning District. .Pg. 3 Will Earnhart City Attorney City of Seward,Alaska Council Agenda June 22, 2015 Page 1 8.. UNFINISHED BUSINESS— a A. Items Postponed From Previous Agenda For Public Hearing(*Clerk's Note: This resolution was postponed from the May 26, 2015 meeting and was requested to come back for an additional public hearing.) 1. Resolution 2015-045, Authorizing The City Manager To Enter Into A Lease Amendment With Alaska Logistics LLC For Lot 2, Block 3 Fourth Of July Creek Subdivision, Seward Marine Industrial Center, Kenai Peninsula Borough, Plat No. 97-27 Seward Recording District, Third Judicial District, State Of Alaska. (original motion made by Terry and seconded by Darling) Pg. 17 9. NEW BUSINESS A. Resolutions *1. Resolution 2015-058, Authorizing The Discharge Of Fireworks By The Chamber Of Commerce During The 2015 Fourth Of July Celebration. Pg. 64 2. Resolution 2015-059, Accepting Grant Funds In The Amount Of$50,000.00 From The Kenai Peninsula Borough For The Update Of The Seward Comprehensive Plan And Appropriating Funds. .Pg. 72 B. Other New Business Items *1. Approval of the May 26, 2015 and June 8, 2015 Regular City Council Meeting Minutes .Pg. 88 2. Discuss Mayor's visit to Ketchikan for Alaska Municipal League Summer Legislative Conference August 19-21, 2015. (Bardarson) Pg. 107 10. INFORMATIONAL ITEMS AND REPORTS (No Action Required) A. Support Letter for Federal Recognition of Qutekcak Native Tribe. Pg. 110 11. COUNCIL COMMENTS 12. CITIZEN COMMENTS 13. COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS 14. ADJOURNMENT City of Seward, Alaska Council Agenda June 22, 2015 Page 2 Sponsored by: Planning&Zoning Commission CITY OF SEWARD,ALASKA RESOLUTION 2015-057 A RESOLUTION OF THE SEWARD CITY COUNCIL RECOMMENDING KENAI PENINSULA BOROUGH APPROVAL OF THE BENNY BENSON PARK REPLAT WHICH ESTABLISHES. THE OUTER BOUNDARIES OF THE BENNY BENSON PARK, INCLUDES THE VACATION OF ALL INTERIOR UNDEVELOPED RIGHTS-OF- WAY, EASEMENTS AND INTERIOR PLATTED LOT LINES; DEDICATES ADDITIONAL RIGHTS-OF-WAY AND EASEMENTS; LOCATED PREDOMINATELY WITHIN THE PARK ZONING DISTRICT WHEREAS, administration hired Cline and Associates Land Surveyors to prepare a preliminary plat of the City owned lands, establishing the perimeter boundary of the historical area commonly known as Benny Benson Park; and WHEREAS, Cline and Associates has submitted the preliminary plat to be known as Oceanview Subdivision, Benny Benson Park Replat; and WHEREAS, this platting action will vacate interior lot lines, undeveloped Rights-of- Way, and undeveloped utility easements creating one (1) parcel totaling approximately 11.130 acres; and WHEREAS, this platting action will dedicate additional Right-of-Way for Chamberlain Road and Dairy Hill Lane, helping to provide additional Right of Way to meet minimum needs where possible; and WHEREAS, Cline and Associates has worked diligently with City staff to protect and provide easements for existing and planned utilities throughout the Benny Benson Park Replat; and WHEREAS, City staff have reviewed, commented and support the proposed replat; and WHEREAS, the majority of the area included within this replat is currently zoned Park (P); one (1) lot approximately .25 of an acre is zoned Single Family Residential (R1); this replat does not create any non-conforming structures or lots within the current zoning districts; and WHEREAS, no subdivision installation agreement is necessary because all parcels are currently serviced by municipal roads, water, sewer, electric and other utilities; and WHEREAS, it is the Planning and Zoning Commission's responsibility to act in an advisory capacity to the Seward City Council and the Kenai Peninsula Borough regarding subdivision plat proposals; and • 3 CITY OF SEWARD,ALASKA RESOLUTION 2015-057 WHEREAS, as required by Seward City Code §16.01.015, Conditions to plat approval, property owners within 300 feet of the requested replat were notified of the proposed subdivision, and the property was posted with public notice signage; and WHEREAS, the Seward Planning and Zoning Commission held a public hearing and approved Resolution 2015-13, recommending the Seward City Council and the Kenai Peninsula Borough approval of the Benny Benson Park replat. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA,that: Section 1. The Seward City Council approves the vacation of all undeveloped interior Rights-of-Way and utility easements as proposed by the Benny Benson Park Replat. Section 2. The Seward City Council further approves the dedication of Rights-of-way for Chamberlain Road and Dairy Hill Lane and all utility easements as proposed by the Benny Benson Park Replat. Section 3. The Seward City Council further approves the submittal of the Benny Benson Park Replat to the Kenai Peninsula Borough for final approval. (, Section 4. The Seward City Council further recommends the Kenai Peninsula Borough Planning Commission approve the Benny Benson Park Replat. Section 5. This resolution shall take effect 30 days after passage and posting as required by Seward City Code § 7.05.145. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 22" day of June, 2015. THE CITY OF SEWARD,ALASKA Jean Bardarson, Mayor 4 City Council Agenda Stateme Meeting Date: June 22, 2015. ;aF \ Through Jim Hunt, City Manager , < 4 _ Ron Long, Assistant City Managers .v ,�,`t- i .. From: Donna Glenz, Planner • Agenda Item: Resolution 2015-057, recommending City Council and Kenai Peninsula Borough approval of the Benny Benson Park Replat BACKGROUND & JUSTIFICATION: Attached for the Council's approval and recommendation to the Kenai Peninsula Borough Planning Commission is the Benny Benson Park Replat submitted by Cline and Associates on behalf of the City of Seward. In accordance with Seward City Code (SCC) 16.01.015(B) "no preliminary plat of City-owned property may be submitted to the Kenai Peninsula Borough Planning Commission for approval without the prior consent of the City." Cline and Associates was hired to survey and establish the boundary of the area commonly known as Benny Benson Park. This replat contains an area totaling approximately 11.130 acres and is located between the Seward Highway on the east, Dairy Hill Lane on the north, Chamberlain Road and Second Avenue on the west. The lagoon, located west of the Seward Highway was acquired as state tidelands, covers approximately 9 acres of the park. Portions along the west shore were either purchased or donated; the Benny Benson monument, City Welcome Sign, duck area, and Dairy Hill Lane are on a portion of USS 249 acquired from the Leirer family. The drive surface of Dairy Hill Lane has never been dedicated as a public right of way. The Dale Clemens Memorial Boardwalk along the highway was built by the Chamber of Commerce. It is under state permit within the highway right of way and now owned and maintained by the city. The boardwalk and gazebo at the south end of the lagoon were donated by the Rotary Club. Block 13A, located on the west side of the lagoon, was acquired for drainage in the 2014 Dairy Hill Drainage Project. The lagoon is tidally connected to Resurrection Bay and is a critical habitat for salmon passage, spawning, and rearing for Pink, Chum, Coho, and Sockeye salmon. Several anadromous streams feed into the Lagoon including Scheffler Creek and an unnamed artesian spring from the north, an unnamed creek from the east, and an unnamed creek from First Lake from the west. The presence of salmon in all stages and other ocean species make this a rich and productive habitat in the heart of Seward that attracts wildlife including birds, river otters, and bears. This platting action will vacate all interior lot lines, undeveloped rights-of-way and undeveloped utility easements. The replat also dedicates rights-of-way along the east side of Chamberlain Road and along the south side of Dairy Hill Lane. The right-of-way dedications shall provide legal 60 foot wide right-of-way to the existing public use connecting of Dairy Hill Lane to Chamberlain Road and provide additional right-of-way to the existing 30 foot right-of-way of 5 Seward City Council Agenda Statement—Resolution 2015-057 Page 2 of 3 Chamberlain Road, where possible. The Community Development staff Parks and Recreation staff and all department heads have worked with the surveyor to develop the platting action before you. The development of this replat has been a goal of the public and City staff for many, many years. SUBDIVISION REVIEW: This replat contains two (2) zoning districts. The area known as Benny Benson Park, including the lagoon, is predominantly zoned Park (P). There is one small parcel, approximately .25 of an acre, located on the southwest side of the lagoon which is zoned Single Family (R1). The City recently purchased this parcel for drainage as part of the Dairy Hill Drainage Project. Once the platting action has been completed and recorded the Community Development Staff intends to bring a rezone recommendation before the Planning and Zoning Commission and the Council to "cleanup"this small area of Single Family within the park by rezoning it to Park. Utilities: The areas included in this replat are served by all necessary utilities therefore a subdivision agreement is not required. The proposed platting action provides utility easements for all existing and planned utilities. Existing Uses: The northeast area of the park contains the Benny Benson Memorial and the day use park area. The southwest area contains a gazebo and picnic area. An area along the western side of the lagoon contains the area recently purchased for the Dairy Hill Drainage Project. The eastern edge of the lagoon, along the Seward Highway, contains the main double circuit electric lines (main electric lines for downtown Seward) and the pedestrian boardwalk and viewing stands. Flood Zone: The area is located within a Special Flood Hazard Area. INTENT: Establish the outer boundary of the area commonly known as Benny Benson Park. 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 1. socioeconomic backgrounds. X 2) Recreation 3.6 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) 6 Seward City Council Agenda Statement—Resolution 2015-057 Page 3 of 3 3.6.1.2 • Ensure that Municipal land acquired for or converted to long- term permanent park or recreational uses shall be officially dedicated as park land. (Bullet 3, Page 25) Strategic Plan (Approved by Council Resolution 99-043): 2. The Strategic Plan supports Recreation and Leisure (page 12) and the X Natural Environment(page 15)by preserving views and open spaces. Municipal Lands Management Plan: (Adopted by Council Resolution 2014-095) 3. Retain land ownership. Replat area as a Park and dedicate Dairy Hill X Lane as a public right of way. Dedicate as conservation overlay district to remain undeveloped for flood relief. (page 23) FISCAL NOTE: Costs for surveying were paid in 2014. Filing fees to the Kenai Peninsula Borough for the replat are not to exceed$500.00 and will be paid from the 2015 budget. Approved by Finance Department: 1964.2. ATTORNEY REVIEW: Yes: No: X Staff Comments: Community Development staff has held several meetings with department heads to review and discuss this platting action. All concerns have been addressed and all City department heads recommend approval of this preliminary replat. Public Comment: Property owners within three hundred (300) feet of the proposed platting action were notified of the Planning and Zoning public hearing. Public notice signs were posted on the property, and all other public hearing requirements of Seward City Code §15. 01.040 were complied with. Community Development had received several verbal inquiries, all had questions regarding the exact location of the Rights-of-Way, all questions were answered and all voiced strong support for the park replat once their questions were answered. The Planning and Zoning Commission held a Public Hearing June 2, 2015 and unanimously approved Resolution 2015-13 recommending the City Council approve the submittal of the Benny Benson Park Replat to the Kenai Peninsula Borough. 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E;._ '41'"'.'-g!' ,v_c F,Y'-e,.anT Y'+'i %'�' .f P tit=-amok, ,__ ���(® ._--. _ _ �, Council] Public } earrritg term en of� Park /F q ,4-34;, .,,p �' N June 22, 2015 Due to different data sources property lines and aerial <e ! o 300 60C. .__. imagery do not overlay correctly. Map is to be used for 4i4si�P.• • # orientation and reference purposes only. -_ , _� __ _. ' Mapping Assistance by Alaska Map Company,LLC • 8 \ f PLAT APPROVAL PROJECT LOCATION MAP 1" • )1' ? '✓' OCEAN VIEW SUBDIVISION N°"'N " t \5 .rsf51 This plat was approved by the Kenai Peninsula Borough 33 1 3An '+)� A 13 4' 13 r r Planning Commission of the meeting ab BENNY BENSON PARK REPLAT T1N W"� %fit WITH RIGHT OF WAY VACATION ns xr ;p: ...: ;1 r' This...,,I•r ........1:: Borough Official SEE SHEETS 2&3 FOR SUBDIVISION AND EASEMENT DETAILS 4 Plof H 2 1 •'' + WASIEWA7ER DISPOSAL 2 I/2'BRASS CAP ,Ir;( r 1 Plops for ntsfewe o file ol,that meet regulatory NO I i '".r requirements ore On lee of Me Department of Q aNUYENT it ap Ct C3 Environmental Conservation. CIV 593+ .+ of•) R--urreetion Boy I i4o _ 6tB-s f32,,T, IS 12 gp. 9 'z'1111!11. r �OISTUA� G tR °___] VICINITY MAP Ti MILE BRASS CAP IN J f/4"PIPE r 1_1 L `" I I';<\' -I T I T - 7.I „o 9 T I CERTIFICATE OF OWNERSHIP AND DEDICATION J!/4'BRASS LAP S owners OCEANVIEW -��t1 `Pj\__1 r s We hereby certify Not we ore the o rs o/the real property ^pte�U q 1� 953-5 (� I �30 I 19n, v,1 I-� I-' I -ill!' 7L24 slannof and subdivision. end grant olloeasementsy anddppublic LI I', L13 Ihi-I' I IpTI�y� -�-I� ROAD .�/ j s �'ght-o/-ways by our Tree consent. 1 .in "•.,) 62 Nal 1' it.I'I'I _1* w� ,2n. /I ,l�m.,m,1.. 1966 Lq %/ ////�///ii%%/��///. ....��...... \ I "9,0"1 II„�O 0 Y INSION a 9 \I` � p AIR HILL SVBD Ill 5 22° SECOND ALE _ - - �g '°' 4 James Hunt, City M no er 66•Forw_ord Geodetic ` LI �' -C 2�e R.o.w ` °.°\ ,. Cr cz.9 e a.y +4�� �p P.O. Box 167d ]370. - _T�'}y 7.u s.: g■ ■p CI5 A. A N_04_50'I B -wb 'ly'2 N� i�i ,.Vacated by this Plot �� c, L/6 �. - � Seward, AK 99664 GPS observations �L1 I \_ 'Basis o/Bearing Y ,Ppp - Yra-I '•ti® - -LIB .r4- 7 7 III III Ti- mil iv J. • a� • NOTARY'S ACKNOWLEDGMENT -Lit TRACT A ' •J. J In 2I'L'°L'•LL"_I"L17I? m - SUBSCRIBED AND SWORN TO BEFORE ,� y C 3!0:871/4.22(87+1122 89)_':_•" •_ _ _ ... L28 DAY OF 20 \ FOR ME THIS _ SUBSCRIBE o-"_CS_-_v-625351- (62.53'R9) __ CJJ _.- .- -._.._ %. Ca DA (104177.26 R9)5ta•104177.28-'? �b m o --SE- HIGHWAY (92=5'R9)-Bp,uZf_ Z r 7 1 (L I5 �� f- 3A- - - -g= r _ - -s* tR A I v,°u- -7 7 I I .°�$ IA �''"O�_ NOTARY FOR ALASKA MY COMMISSION EXPIRES• NOTES --„t LI- - - - --I-- - - I II -I n o- I ' 25 LEGEND-_J l - I - 1 I IV".) \ LINE DATA 1 These parcels are subject to the City of Seward's zoning UNE BEARING DISTANCE RECORD DATA and loud use regulations Found Monument 2 No permanent structure may be constructed or placed 01 Found Reber Al. Cop LSJ75J LI NODV5261W 215.95' (NORTH 216' RI) within a utility easement which would interfere with or L2 N000526"W 379.95' (NORTH 380' RI) the ability of a Utility to use the easement. O Found Rebor&Al. Cop LS5152 LJ 58950'1!"W 67.52' {58950'30'W 64.32' 62) VD 3 FLOOD HAZARD NOTICE t Some or all of the property 01 Found Rebor&Pl. Cop LS85J5 1.4 58950'15"W 15.03' (S8950'30-W 15.04' R2) shown on this plot has been designated ed by L5 N0422'59"W 299.58' (NO426'21'W 299.53' R2) this as o re flood recorded with area district as of the dote m Found Reber&Pl. Cop L57569 L6 N2178'00'E 49.00' (N2t9B'00-E 49.00' R3) this plot is recorded with fee district Seward dalain •• Found Reber L7 NO2'47'24'W 134.45' (NO2'47'24-W 134.45' R3) OCEANWEW SUBDIVISION Prior to development, the City of Sewent Bwith the BENNY BENSON PARK REPLAT administrator should be contacted for current information ® Found Rebor&Al. Cop C56504 L8 N90V0'OOE 174.74' (WEST 174.74' R4) and regulations. Development must comply with the 0 Found Rebor&AL Cop AK. O.O.T. L9 NJ17954 E 46.96' (N3133'00'E 46.94' R4) CREATING: City of t finished Floodploin Molefleent Regulations. L10 N2779'S4 E 112.09' (N27'23'00'E 112.04' R4) TRACT A The first finished and habitable floor of a building f9 Set 5/8x30'Rebor& LII NO079'J3E 80.32' (N00•05'E 80.00' R5) DEDICATING TRACT R.O.W.FOR: constructed within o floodploin shall be built at or Plastic Co p.LS 7569 L12 N795439'W 133.22' (N80'11'3B'w 133.22' RS) SECOND AVENUE,ADDITIONAL RAW ROAD above the 100-year flood level. A of survey may be y Exterior Boundary Ibis Plot L13 58956V5'E 7].58' (WEST 73.58' R5) AND DAIRY HILL LANE required to determine the elevation of the property ............-,.-•Lot Lines being Vacated L14 N2775'04"W 127.30' (N2726W 127.40' R6) A R£SUBDIVISION on prier to.construction. L15 N1255'S6-E 68.65' (812-55E 68,64' R6) Lots 26-38,Block 10 4 The Right of Woy Vacation shown hereon was Existing Easements L16 N17'40'S6 E 52.46' (81250'E 52.48' R6) and Lots 4-10,Block f0 approved of x the KPB Planning Commission of the Easements being granted L17 N205056'E 53.50' (N2051'E 53.51' R6) excepting Oult Claim Deed Book 300 Page 42 meeting This or requires 2015. 1.18 N0740'24'W 50.42' (N07'41'W 50.45 R6) Laubner Addition,Plot No. 2 5 Khls 0.31 40 Streets wt from KPB ordinances: Approximate Lagoon High Lots 5-7,Block It and Lot 1, Block 14 KP820.60.060 For Streets within 100'of waterbodies --•`Water Line per KPB CIS data Li9 N5479'501W 86.2]' {N5a'35'w 86.26' R2) U.S.S. 1117, Cliff Addition,Plat No.3 KP820.60.060 For Streets within 100'of waferbodies L20 N8954'01'W 154.94' (WEST 154.94' R2) Block Addition, KP820.30.170 For Block Lengths Approximate Flood Hazard Zone L21 N05'07'25'W 62.85' (80516'W 62.83' R2) Saword TownsitB Cliff Adition,Block 13 6 No access to State maintained rights-of permitted - - - -Boundaries per 2013 FIRM L22 N2177`29'W 100.53' (N2Y06'w 101.03' R2) Vocation and R, Clif Plot on, lock 7 unless approved by the State of Alaska Deportment of 02I22C50050 L23 58957'23'W 267.41' (WEST 267.41' R2) Lot 3A,Black 12 Transportation. 100.00' Measured this urvey 1.24 N8907'231- 38.47' (WEST 38.29' R2/R8) Cliff Addn Chamberlain Rd Replot L25 N31'41'291' 128.51' (N31'13'55'W 128.49' R7) Block 1 (RI) Record 0010 Plat 2 L26 N6458'44E 430.34' (N6427'48'E 430.42' R7) Oceenview Subdivision (R2) Record Data Plot 3 L27 50828'03'W 30.27' (50323'W 253 RB) Portion of USS 241 described in Book I I Page 721 (83) Record Data Prof 1990-4 L28 50372'IS'W 1773.27' (50253'21'w 1642.80' R9) WITH RIGHT OF WAY VACATION OF: SURVEYOR'S CER7IFICA TE (R4) Record Data Plat 1987-26 L29 56637'45-E 10.00' (58706'39'E 10.00' R9) A portion IG the Alleyway within Block 10 L30 58956.371W 116.85' (WEST 117.2' RI/RIO) LouDner Addition, Plot Na 2 (65) Record Data Plat 1993-03 LJ1 50010526E 150.011' (SOUTH 150' RI) WITHIN bne A 1/4 AND THE SW 1/4 I hereby certify fhof I am properly registered and licensed (R6) Record Data Plot 1975-21 L32 S892637'W 100.00• (WEST 100' R1) OF SECTION J, 715, R1W to practice loud surveying in the under of Alaska, this plat L33 N032138 E 1331.05' (50252'51"W 1331.16' R9) SEWARD MERIDIAN,ALASKA represents o survey made re by me or under my direct supervision,an, (R7) Record Data Plot 2000-21 LJ4 N8956.37-E 519.97'. (WEST 600' RI) KENAI PENINSULA BOROUGH the imensions shown other de actually ore cost of to the normal (RB) Record Dote Book 11 Page 721 1.35 N8950.15 E 693.75' (58(WEST'W 694.20' R2) CITY OF SEWARD standards dimensions and other details ore correct to the normal SEWARD RECORDING DISTRICT standards of practice of fond surveyors in the Stole of Alaska. (89) Record Doto Plot 2013-01 CURVE DATA CONTAINING 11.130 ACRES :'�'- Wyk,,•. (R10) Record Dote Book 300 Page 42 CURVE RADIUS LENGTH DELTA CHORD BEARING Date .,/' 44 •"'`/ Right of Woy Vocoted CI 215.00' 110.76' 293058" 109.54' 51824'48'W CLINE AND ASSOCIATES • A <.,.� R5 215.00' 110.39' 29'2507' 109.18' 51505'42"W) LAND SURVEYORS To,.+F gyp .L.. �"� By this Plat• 49th N1 i 1j C2 I 215.00' 7730' 1 2013125' I 76.88' 50638141E 416 41h AVENUE PO BOX 2703 SEWARD, AK 99664 """• Right of Way Dedicated (R5 215.00' 77.03' 20'37'25- 76.62' 50652'44"W) (907)224-7324 FAX(907)224-6088 i......."_...................._......."...i j By this Plot C3 I 5780.00'1 54.91' I 0032'40'1 54.91' I NOJ'0556•E • (RIO 5780.00' 54.4' 00'32'21) DATE: 04/06/2015 SCALE 1'•200" r. "NIODdos CO Cline? 4i4a Ls-7569 • • =:t° Approximate locations of C4 1 ]825.00'I 1712.96'1 2539'32'1 7698.68'1 N 16711]1"E DRAWN: WNC F.O. 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FILE A 2015- SHEET 3 OE 3 • Sponsored by: Staff CITY OF SEWARD,ALASKA PLANNING AND ZONING COMMISSION RESOLUTION 2015-13 SUBSTITUTE RESOLUTION A RESOLUTION OF THE PLANNING AND ZONING COMMISSION RECOMMENDING CITY COUNCIL AND KENAI PENINSULA BOROUGH APPROVAL OF THE BENNY BENSON PRELIMINARY REPLAT WHICH ESTABLISHES THE OUTER BOUNDARIES OF THE BENNY BENSON PARK,INCLUDES THE VACATION OF ALL INTERIOR UNDEVELOPED RIGHTS-OF-WAY,EASEMENTS AND INTERIOR PLATTED LOT LINES; DEDICATES ADDITIONAL RIGHTS-OF-WAY AND EASEMENTS; LOCATED PREDOMINATELY WITHIN THE PARK ZONING DISTRICT WHEREAS, administration hired Cline and Associates Land Surveyors to prepare a preliminary plat of the City owned lands,establishing the perimeter boundary of the historical area commonly known as Benny Benson Park;and • WHEREAS, Cline and Associates has submitted the preliminary plat to be known as {' Oceanview Subdivision,Benny Benson Park Replat; and WHEREAS,this platting action will vacate interior lot lines,undeveloped Rights-of-Way, and undeveloped utility easements creating one(1)parcel totaling approximately 11.130 acres;and WHEREAS, this platting action will dedicate additional Right-of-Way for Chamberlain Road and Dairy Hill Lane, helping to provide additional Right of Way to meet minimum needs where possible;and WHEREAS, Cline and Associates has worked diligently with City staff to protect and provide easements for existing and planned utilities throughout the Benny Benson Park Replat;and WHEREAS,City staff have reviewed,commented and support the proposed replat; and WHEREAS,the majority of the area included within this replat is currently zoned Park(P); one(1)lot approximately.25 of an acre is zoned Single Family Residential(R1);this replat does not create any non-conforming structures or lots within the current zoning districts; and WHEREAS, no subdivision installation agreement is necessary because all parcels are currently serviced by municipal roads,water,sewer,electric and other utilities; and 12 Seward Planning and Zoning Commission Resolution 2015-13 Page 2 of 3 WHEREAS,it is the Planning and Zoning Commission's responsibility to act in an advisory capacity to the Seward City Council and the Kenai Peninsula Borough regarding subdivision plat proposals; and WHEREAS, as required by Seward City Code §16.01.015, Conditions to plat approval, property owners within 300 feet of the requested replat were notified of the proposed subdivision, and the property was posted with public notice signage. NOW, THEREFORE, BE IT RESOLVED by the Seward Planning and Zoning Commission that: Section 1. The Commission recommends that,in accordance with Seward City Code Section 16.01.015(B),the City Council approve the submittal of the Benny Benson Park Replat to the Kenai Peninsula Borough for approval Section 2. The Commission further recommends the City Council approve the vacation of all undeveloped interior Rights-of-Way as proposed by the Benny Benson Park Replat. Section 3. The Commission further recommends the City Council approve the dedication of Rights-of-way for Chamberlain Road and Dairy Hill Lane as proposed by the Benny Benson Park Replat. Section 4. The Commission further recommends Kenai Peninsula Borough approval of the Benny Benson Park Replat. Section 5. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the Seward Planning and Zoning Commission this 2nd day of June 2015. 13 Seward Planning and Zoning Commission Resolution 2015-13 Page 3 of 3 THE CITY OF SEWARD,ALASKA Cindy Ecklund,Chair AYES: Swann,Fleming, Coulter,Anderson, Seese NOES: None ABSENT: Cindy Ecklund ABSTAIN: None VACANT: One ATTEST: Johanna Kinney, CMC City Clerk (City Seal) 14 Planning Comnussion Minutes � City of Seward,Alaska Volume 7, Page 144 June 2,2015 New Business Items requiring a Public Hearing— Resolution 2015-13 of the Planning and Zoning Commission n recommending Benny Benson Council and Kenai Peninsula Borough approval preliminary replat which establishes the outer boundaries of the Benny Benson Memorial Park, includes the vacation of all interior undeveloped rights-of- way, easements and interior platted lot lines; dedicates additional rights-of- way and easements; located predominately within the Park Zoning District Glenz noted the location on wall maps and explained the replat es;,, ' ished ihe 11 acres.outer boundary noted the park by vacating the interior lot lines creating a single parcel;m," . the vacation of several undeveloped rights-of-way and utili>;:."ease ` V. She pointed out the dedication of rights-of-way for Chamberlain Road and D�j 11 Land z further explained the drive surface routes and the legal width requirement./ e Glenz, stated that one parcel was currently zoned / Family`R. d would be bro' q";aback before the Commission and on to Council for a rezone to Pa'. ace t ' .;.plat was compj' ed. Much of . the proposed park plat was within the special flood hazar•,,;0,; Glenz said the resolution incorrectly inch %%,, a word "mem•, j In identifying the name oft e i 'y Asty•• /� . �' Benny Benson Park, and a substitut• ,;; j/n had beefs ,r "ided. Glenz suggested Commissioners adopt the substitute resolu4 , w ` j�>',creed th/� ord "memorial" throughout the resolution. % / /,/ ; � r ' ,. / Notice of public hear'.;' Mein :h � ted and p • ished as equired by law was noted and the public hearing wasp i9) •d. \' • '.e' , park plat g P Kerry Martin, inside City 1,,,;;;$. C4 ';x,y✓r J the ark fat was being completed. During iiir lite ?owas one of three larger land actions that needed his tenure • . rt i ,, Pla par to be copy ,/.,ted. Ma ., nkeand the Commission for the effort. Hea in � ne else wishi 2 speal .t t! a public hearing was closed. Motio',,3 �ann/Fle j;t) Approve Resolution 2015-13 v .4 %� Replace Resolution 2015-13 with laydown Motion(Fle 9.a;� ann) substitute resolution i Glenz noted that the Commission was now preparing to vote on accepting substitute resolution, which removed all references to "memorial" and had no other substantial changes. Motion Passed Unanimous Staff noted the substitute resolution was now on the floor for discussion and approval. 15 City of Seward,Alaska Planning Commission Minutes Volume 7,Page 145 / June 2, 2015 ('}' . . ) No discussion was heard and vote on the approval of the substitute resolution was held. Main Motion Passed Unanimous 1 . III .'4jk., 1r y C. // ry' i , ( '#'://-% //: ;.;/„.,/, . 00 ,,,, /„., �,i :, ,,/ /, , ,/ 4,7 . - ,? , ..:4,:,0444z, II gyt '/��%// Y .14'4 i ( 16 f +� Sponsored by: Hunt Postponed: June 22,2015 CITY OF SEWARD,ALASKA RESOLUTION 2015-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A LEASE AMENDMENT WITH ALASKA LOGISTICS LLC FOR LOT 2, BLOCK 3 FOURTH OF JULY CREEK SUBDIVISION, SEWARD MARINE INDUSTRIAL CENTER, KENAI PENINSULA BOROUGH, PLAT NO. 97-27 SEWARD RECORDING DISTRICT, THIRD JUDICIAL DISTRICT, STATE OF ALASKA WHEREAS,the city is owner of real property described as Lot 2, Block 3 Fourth of July Creek Subdivision; and WHEREAS, this parcel was leased to Alaska Logistics LLC in 2009 for a term of five years; and WHEREAS, the parties to the lease want to extend the term for an additional term ending on December 31, 2113. WHEREAS, the lease request is consistent with the Comprehensive Plan and the Seward Marine Industrial Center Plan. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The council has determined that the essential terms and conditions of the proposed lease amendment with Alaska Logistics LLC for the real property described as Lot 2, Block 3, Fourth of July Creek Subdivision located in the City of Seward, Alaska are in the public's interest. Section 2. The City Manager is authorized to execute the lease amendment with Alaska Logistics LLC in substantially the form as presented at this meeting. Section 3. This resolution shall take effect 30 days from the date and posting of adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 22nd day of June,2015. 17 • *Revised '4 Age nda Statement ,,` °` Meeting Date: June 22, 2015 gtasP ' To: City Council Through: City Manager Jim Hunt From: Harbormaster Norm Regis AL Agenda Item: Alaska Loistics LLC Long Term Extension for Lease 09-126 at Lot 2, Block 3, 4t of July Creek Subdivision, Seward Marine Industrial Center BACKGROUND & JUSTIFICATION: Alaska Logistics LLC, has executed a lease extension through December 31, 2113. This is a ninety-nine year extension beyond the end expiration of the original five year lease. That contract has been in a month to month holding over status since December 31, 2014. A longer lease will afford greater security for financing purposes. The current Municipal Land Use Plan adopted by the City Council designates SMIC lands for lease. The parcel is used for boat repairs, especially during the winter months. Five years ago, Alaska Logistics constructed their building using stacked containers for walls and a truss roof system. INTENT: To approve a lease amendment between the City of Seward and Alaska Logistics LLC on Lot 2, Block 3 Fourth of July Creek Subdivision at the Seward Marine Industrial Center for boat storage and repair operations. CONSISTENCY CHECKLIST: Yes No N/A 1 Comprehensive Plan (document source here): This lease meets the plan X goals to develop SMIC as a major industrial area of the community. Strategic Plan (document source here): Attract New Industry: 2 Develop an aggressive marketing campaign which highlights the diverse X resources, and quality of life that make Seward a great place to live and establish a business or industry. (Page 5) 3. Other (list): 18 FISCAL NOTE: The current annual lease amount is $13,288.68 plus tax. The leased property was re-appraised in early 2015. Approved by Finance Department: << •r • i ATTORNEY REVIEW: Yes X No Not Applicable RECOMMENDATION: Approve Resolution 2015-045, authorizing the City Manager to enter into a Lease Amendment with Alaska Logistics LLC for Lot 2, Block 3 Fourth of July Creek Subdivision in the Seward Marine Industrial Center, Plat No. 97-27 in the Seward Recording District, Third Judicial District, State of Alaska. 19 e•Pv,o lrgte HE Il: S I:a.I,l: Department of Environmental A caf EIIsisemt➢BC➢. am.. A .\ , DIVISION OF AA ATER tte Wastewater Discharge Authorization Pro rant (+ti\'ERN()R BILL 1\`ALKER Ancbloroae XC7`kr,1)U-y'.:6; Moir: April 1,2015 Company:Alaska Logistics,LLC Facility: ATTN:Allyn Long Alaska Logistics @ Seward Marine Industrial Complex PO Box 604 Mile 7 Nash Road Seward,AK 99664 Seward,AK 99664 Permit Number:AKRO6AA11 This email/letter acknowledges that you have submitted a complete Notice of Intent form to be covered under the APDES General Permit for Storm water Discharges for Multi-Sector General Permit Activity(MSGP).The permittee is authorized to discharge storm water under the terms and conditions of this permit seven(7) calendar days after acknowledgment of receipt of the permittee's completed NOI is posted on ADEC's Storm Water Permit Search website (http://w v,dec.state.ak.us/Applications/\Vater/`X laterPermitSearch/Search.aspx). Coverage under this permit begins seven-days from the"Date Issued"on the Water Permit Search website. As stated above,this letter acknowledges receipt of a complete Notice of Intent.However,it is not an ADEC determination of the validity of the information you provided.Your eligibility for coverage under the Permit is based on the validity of the certification you provided.Your signature on the Notice of Intent certifies that you have read,understood, and are implementing all of the applicable requirements.An important aspect of this certification requires that you correctly determine whether you are eligible for coverage under this permit. As yourknow,the Multi-Sector General Permit requires you to have developed and begun implementing a Storm water Pollution Prevention Plan(SWPPP)and outlines important inspection and record keeping requirements.You must also comply with any additional location-specific requirements applicable to your state or tribal area.A copy of the Multi- Sector General Permit must be kept with your SWPPP.An electronic copy of the Permit and additional guidance materials can be viewed and downloaded at http://www.dec.state.ak.us/wa ter/wnpspc/stortnwater/index.h tin. For tracking purposes,the following number has been assigned to your Notice of Intent Form: AKRO6AA11 If you have general questions regarding the storm water program or your responsibilities under the Multi-Sector General Permit,please call William Ashton (907)269-6283. 20 u y tie 06e, k ndlin 'gym MO'12 2-015 LEASE EXTENSION AMENDMENT (RE-2009-126) 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 P.O. Box 167, Seward, Alaska 99664. and ALASKA LOGISTICS, LLC, dba Alaska Logistics WA LLC, hereinafter referred to as the"LESSEE,"hereby agree that the lease agreement 2009-126 for Lot 2, Block 3,4th of July Creek Subdivision, Seward Marine Industrial Center,Third Judicial District, Seward Recording District, State of Alaska is hereby amended as follows: ARTICLE 2.1 Lease Term The term of this lease shall be extended in accordance with Resolution No. 2015- for ninety-nine(99)years and shall terminate on December 31,2113. ARTICLE 2.2 Option to Purchase Should the CITY decide to sell the Leased land, as described above in Section 1.1, Lessee has an option to purchase and right of first refusal in regard to the Leased land as explained below. During the term of this Agreement, before CITY may sell the Leased Land as an individual parcel to a third party, CITY shall first offer the Leased Land to LESSEE on the same terms and conditions as are offered by the third party. LESSEE shall have 30 days during which to accept said offer. If LESSEE does not accept said offer within said period. CITY shall be free to accept the third-party offer. If CITY does not enter into an agreement with the third party on said terms and conditions and close the transaction within 180 days, CITY's right to sell the Leased Land to the third party shall expire and the procedure described in this Section shall again be applicable. The provisions of this section are NOT applicable if the Leased Land is offered as part of an agreement by the CITY to sell all of its land holdings at the Seward Marine Industrial Center or a portion thereof exceeding ten (10)acres. • ARTICLE 3 RENTAL RATE The Annual Rental Rate on the effective date of this amendment through June 30,2015 is $13,288.68 and shall be adjusted on July 1, 2015. All other terms of ARTICLE 3 remain unchanged. ARTICLE 15.1 Minimum Insurance Reauirements, All minimum insurance limits may be increased to conform to industry standards on request by CITY. Page 1 of 3 21 f . • ARTICLE 17.1 Arbitration Section (a) is amended to reflect the current jurisdictional limit of the Superior Court and all references to Fifty Thousand Dollars ($50.000) are changed to One-Hundred Thousand Dollars($l00,000). In all other respects, the Lease is to remain unchanged and in full force between the undersigned parties. This amendment is effective 30 days from Council approval. LESSOR: LESSEE: CITY OF SEWARD ALASKA LO ISTICS. LLC /✓14.!Of Jim Hunt,City Manager Wig, anagin . ner Date: late: 13 / ATTEST: Johanna Kinney. CMC, City Clerk (City Seal) [ACKN s WLEDOEMENTS ON NEXT PAGEI Page 2 of 3 22 STATE OF ALASKA ) )ss. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 2015, before me. the undersigned, a Notary Public in and for the State of Alaska. personally appeared Jim Hunt. 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 hand and notarial seal the day and year first hereinabove written. NOTARY PUBLIC IN AND FOR ALASKA My Commission Expires: STATE OF WASHINGTON ) ) ss. KING COUNTY ) THIS IS TO CERTIFY that on this `S day of I \ R L , 2015, before me. the undersigned, a Notary Public in and for the State of Washington, personally appeared Allyn Long, known to me and to me known to be the Managing Partner for ALASKA LOGISTICS, LLC 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 frsLer' ve olum u woo, IOW* 01; \\\` ..,. : ® ��ii lab • `. t'v ea:�•�'�r,9®�c n ® NOTARY PUBLIC ' AV 1' ► : S. .. TON o o1 AR o: = My Commission Expires: U.tl _.O ! PUBLA° o .„�i� CIF W A5"y\\��� ;� Page 3 ot'3 23 knendlinuTe Cc)t TI O 1 eUrldeTalLieiln LEASE EXTENSION AND AMENDMENT (RE-2009-126) 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 "CI FY," whose address is PO Box 167, Seward, Alaska 99664 and ALASKA LOGISTICS, LLC, dlra Alaska Logistics WA LLC, hereinafter referred to as the "LESSEE", hereby agree that the lease agreement 2009-126 for Lot 2. Block 3. 4th of July Creek Subdivision. Seward Marine Industrial Center, Third Judicial District, Seward Recording District, State of Alaska is hereby amended as follows: • A11tT1CLE 1.7 Development of.Leased Land • LESSEE shall continue operate a vessel storage and maintenance facility through the • term of the lease. LESSEE understands that construction and operations of its marine- : related business is a major consideration for the CITY's agreement to the lease the Leased Land to LESSEE.'LESSEE shall not operate any other unrelated business on the y.. Leased Land without the consent of the CITY.• a) CITY may withhold its consent as to any proposed business or activity which. in • CITY's sole discretion, is not desirable or compatible with the CITY's operation of the Seward Marine Industrial Center. b) In accordance with the provisions of Article 12, no assignment or sublease shall be permitted, unless approved in writing by CITY. Any sublease shall be expressly subject and subordinate to this Lease and the rights of the CITY hereunder. The CITY may elect to not approve any proposed assignment or sublease that might result in a business or activity that, in the CITY's sole'discretion, is undesirable and/or incompatible with the CITY's Seward Marine Industrial Center. ARTICLE 2.1 Lease term The term of this lease shall be extended in accordance with Resolution No. 2015- for ninety-nine (99)years and shall terminate on December 31,2113, ARTICLE 2.2 Option to Purchase Should the CTI'Y decide to sell the lease land, as described in section 1.1, Lessee has an option to purchase and right of first refusal in regard to the Leased Land as explained below. During the term of this Agreement. before CITY may sell the Leased Land as an individual parcel to a third Party, CITY shall first offer the Leased Land to Lessee on the same terms and conditions as are offered by the third party. LESSEE shall have 30 days during which to accept said offer. If LESSEE does not accept said offer within said period, CITY shall be free to accept the third-party offer. I f CITY does not enter into an Page I of 3 24 • • agreement with the third party on said terms and conditions and close the transaction within 180 days, CITY's right to sell the Leased Land to the third party shall expire and the procedure described in this Section shall again be applicable. The provisions of this section are NOT applicable if the Leased Land is offered as part of an agreement by the CITY to sell all of its land holdings at the Seward Marine Industrial Center or a portion thereof exceeding ten(10) acres. ARTICLE 3 RENTAL RATE • The Annual Rental Rate on the effective date of this amendment through June 30. 2015 is $13,288.68 and shall be adjusted on July 1, 2015. All other terms of ARTICLE 3 remain unchanged. ARTICLE 15.1 Minimum insurance Requirements All minimum insurance limits may be increased to conform to industry standards on request by City. 17.1 Arbitration Section (a) is amended to reflect the current jurisdictional limit of the Superior Court and all references to Fifty Thousand Dollars ($50,000) are changed to One-Hundred Thousand Dollars($100,000). In all other respects, the Lease is to remain unchanged and in full force between the undersigned parties. This amendment is effective 30 days from Council approval. LESSOR: LESSEE: CITY OF SEWARD ALASKA L • ISTICS, LLC - Jim Hunt, City Manager •i i• on_ 9t agin:T P. er Date: Date: %/1/4s ATTEST: • Page 2 o • Johanna Kinney, City Clerk (City Seal) STATE OF ALASKA ) ) ss. THIRD JUDICIAL DISTRICT ) • THIS IS TO CERTIFY that on this day of . 2015. before me, the undersigned, a Notary Public in and for the State of Alaska, personally appeared Jim Hunt, 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 hand and notarial seal the day and year first hereinabove written. NOTARY PUBLIC IN AND FOR ALASKA My Commission Expires: STATE OF WASHINGTON ) ss. KING COUNTY ) • THIS IS TO CERTIFY that on this l day of W J . 2015, before me, the undersigned. a Notary Public in and for the State of Washington. personally appeared Allyn Long, known to me and to me known to be the Managing Partner for ALASKA LOGISTICS, LLC 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. A, 1'09 4 C , ��R .% NOTAR PU: I IN'ni . ASHINGTON _ �O � . OO My Commission Expires: ns ",,j OFWR5v \�`�� Page 3 of 3 • 26 $ • • ,1! - LEASE AGREEMENT between . - • CITY OF SEWARD, ALASKA and ALASKA LOGISTICS, LLC • • Effective Date: [ 12,13 401 • '77 $ ' 1 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 1.4 Property Accepted 2 1.5 Permits • 2 1.6 Platting 3 ARTICLE 2-LEASE.TERM 3 2.1 Lease Term 3 2.2 Options to Extend 3 ARTICLE 3 -RENTAL RATE . 3 • 3.1 Initial Rental Rate 3 3:2 Rental Adjustments- - 4 3.3 Procedure for Rental Adjustment 4 3.4 Effect of Late Appraisal by CITY _ 4 3.5 Appraisal by LESSEE 5 3.6 Effective Date of Adjusted Rental Rate 5 3.7 Interim Rental Adjustments 5 3.8 Late Payment Charge 6 ARTICLE 4-USE OF LEASED LAND • 6 4.1 Use of Leased Land 6 4.2 Obligations of LESSEE 6 . 4.3 No Preferential Rights to Use Public Facilities 7 4.3 No Preferential Rights to Use Public Facilities 7 4.4 Adequacy of Public Facilities 7 4.4 Adequacy of Public Facilities 7 4.5 Tariffs and Other Service Fees 7 4.5 Tariffs and Other Service Fees 7 4.6 Time for Payment of Utilities and Taxes 0 7 4.6 Time for Payment of Utilities and Taxes 7 4.7 Other Uses 7 4.7 Other Uses 7 • ARTICLE 5 -UTILITIES AND RIGHTS OF ACCESS 7 5.1 Utilities 0 0 7 5.2 Third-Party Improvements • _ 8 5.3 Easements 9 ARTICLE 6-CONSTRUCTION BY LESSEE 9 6.1 Improvements on Leased Land • 9 • 6.2 City Review of Construction 10 ARTICLE 7-RETURN OF LEASED LAND%SITE CONDITIONS 10 7.1 Return of Leased Land in Original Condition 10 28 7.2 Return of Leased Land in Different Condition 11 ARTICLE 8-FORCE MAJEURE 11 ARTICLE 9-LESSEE'S ACTS OF DEFAULT 11 ARTICLE 10-REMEDIES FOR DEFAULT BY LESSEE 12 ARTICLE 11-TITLE TO IMPROVEMENTS INSTALLED BY LESSEE.. 14 11.1 Real Property Improvements • - 14 11.2 Personal Property • 14 ARTICLE 12-ASSIGNMENT OR SUBLEASE 14 12.1 Assignment of Lease or Subleasing 14 12.2 Assignment of Lease for Security 15 12.3 Assignment to Affiliate " 16 ARTICLE 13-LESSEE'S DUTY TO DEFEND/INDEMNIFY 16 ARTICLE 14-CITY'S DUTY TO DEFEND/INDEMNIFY 16 ARTICLE 15-INSURANCE 16 15.1 Minimum Insurance Requirements 16 • 15.2 Subrogation Rights Waived • •17 ARTICLE 16-CONDEMNATION 18 ARTICLE 17-ARBITRATION 18 17.1 Arbitration 18 ARTICLE 18-MAINTENANCE AND REPAIRS 19 (,, _ 18.1 Normal Maintenance 19 18.2 Safety Issues 20 18.3 Cost of Repairs 20 ARTICLE 19-ENVIRONMENTAL CONCERNS 20 19.1 Hazardous Materials 0 20 19.2 Permits and Reporting 23 ARTICLE 20-ESTOPPEL CERTIFICATES 23 ARTICLE 21 - CONDITIONS AND COVENANTS 24 ARTICLE 22-NO WAIVER 01?BREACH 24 ARTICLE 23-TIME OF THE ESSENCE 24 ARTICLE 24- COMPUTATION OF TIME 24 ARTICLE 25-SUCCESSORS IN INTEREST . 24 ARTICLE 26-ENTIRE AGREEMENT 24 ARTICLE 27-GOVERNING LAW 24 ARTICLE 28-PARTIAL INVALIDITY 25 ARTICLE 29-RELATIONSHIP OF PARTIES 25 ARTICLE 30-INTERPRETATION 25 ARTICLE 31- CAPTIONS 25 ARTICLE 32-AMENDMENT 25 ARTICLE 33-NOTICES 25 • ARTICLE 34-FIRE PROTECTION 26 • • 10 • EXHIBIT A -DESCRIPTION OF THE LEASED LAND EXHIBIT B-SITE PLAN • EXHIBIT C-ENVIRONMENTAL COMPLIANCE PLAN • • iii �, ^t 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 ALASKA LOGISTICS, LLC, dba Alaska Logistics WA LLC (the "LESSEE"), a Washington limited liability company authorized to do business in Alaska,whose mailing address is P.O. Box 3512, Seattle,WA 98124. WHEREAS,the Seward Planning&Zoning commission has approved disposal by lease of lands owned by the City in the Seward Marine Industrial Center, and WHEREAS, LESSEE desires to lease land from the CITY for a vessel storage and maintenance facility and related business uses; and WHEREAS,the parties agree that the City will retain access to a portion ofthe Leased Land, as defined below, for purposes of continuing environmental cleanup work related to diesel contamination found in soils;and WHEREAS,during the soil cleanup period,the rent payable by LESSEE will be reduced to reflect the limited use of the Property by the City; and WHEREAS, the Seward Planning &Zoning Commission granted a variance to allow a structure with a height of 46 feet;and • WHEREAS, the City Council of CITY has determined that lease of the Leased Land 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 during the lease term; and NOW THEREFORE, for and in consideration of the mutual promises and covenants hereinafter contained, the parties hereto agree as follows: ARTICLE 1 -LEASED LAND 1.1 Description of Leased Land. The Leased Land is located in the City of Seward,Alaska. The Leased Land is described as follows: Lot 2, Block 3,Fourth of July Creek Subdivision, Seward Marine Industrial Center, Kenai Peninsula Borough, Plat No. 97-108 recorded in the Seward Recording District, Third Judicial District, State of Alaska, containing approximately 2.5 acres, more or less (the 1 Al "Leased Land"). The Leased Land is also depicted on the attached Exhibit A,which is incorporated herein by • reference. 1.2 Covenant-of Quiet Enjoyment. 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: a) The CITY retains the right to use the Leased Land for the limited purpose of continuing the soil cleanup project in the area shown on Exhibit A. Following notice to LESSEE by the CITY that such use.is no longer needed, LESSEE shall have the quiet enjoyment and possession ofthe Leased Land for the full remaining term ofthis LEASE; b) CITY is unaware of any prior conflicting use ofthe Leased Land that would adversely affect LESSEE's intended use of the subject parcel. • 1.3 Reserved. 1.4 Property Accepted"As-is." LESSEE acknowledges that it has inspected the Leased Land and accepts the same"as-is"and without reliance on any expressed or implied representations or warranties of CITY(other than the representations in Section 1.2 hereof),or agents ofCITY, as to the actual physical condition or characteristics thereof and the legal description or depiction of the Leased Land in Section 1.1 or Exhibit A hereto. • 1.5 Permits. LESSEE,at its sole cost,shall obtain all permits necessary to the construction and operation of its facilities on the Leased Land. CITY may from time to time,upon request of LESSEE, execute such documents, petitions, applications and authorizations as may be necessary, as the underlying fee owner, to file with an agency or public body responsible therefor an application for conditional use permits,zoning and re-zoning,tentative and final tract approval,or precise plan approval that may be required for the lawful construction and operation of the facilities of LESSEE permitted on the Leased Land by the terms of this LEASE. However,nothing in this Section shall be construed as requiring CITY to support or approve any such application or permit requests. If the agency or public body responsible to approve or grant such application or permit request is a City of Seward agency,department, or board,LESSEE shall follow all City of Seward procedures,the same as any other applicant making similar requests of the City of Seward, according to the Charter, ordinances, resolutions, or any regulation, rules or procedures of the City of Seward. Nothing in this Section imposes any duty or responsibility on CITY to assist LESSEE in obtaining any other permits or approvals,including without limitation those required by the U.S.Army Corps of Engineers(e.g.,wetland fill permits),the Environmental Protection Agency(e.g., Clean Air Act permits),the Alaska Department of Public Facilities and Transportation(e.g., right-of- 2 • 32 • ( • way permits), the Alaska Department of Fish and Game, and the Alaska Department of Environmental Conservation. 1.6 Platting. In the event CITY elects to replat, CITY agrees to include the Leased Land in such replatin accordance with reasonable requests by LESSEE. 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 ofthe replat. LESSEE agrees to sign the plat and any other documents necessary to complete the platting or replatting of any area including all or a portion of the Leased Land. LESSEE shall accept other reasonable restrictions,easements,or plat notes as maybe required by CITY or other governmental authorities as a condition to filing the plat of the Leased Land or the plat of CITY-owned real property adjacent to the Leased Land. ARTICLE 2-LEASE TERM • 2.1 Lease Term. The term of this LEASE(the"Lease Term")shall be in accordance with CITY's authorization Resolution No. 2009- (the "Resolution"). The Lease Term shall • commence on the date this LEASE is signed by CITY and that date shall be the effective date of this LEASE (the"Effective Date"). The Lease Term shall run for approximately 5 years from the Effective Date, ending at midnight on December 15,2014.. 2.2 Options to Extend. LESSEE shall have the right to extend the term of this LEASE for one additional five year period,provided that: . • a) LESSEE exercises its option to extend at least one hundred and eighty(180)days . prior to the expiration of the current lease term; b) LESSEE is not in default under any term or provision of this LEASE;and c) LESSEE shall exercise its option to extend by sending written notice thereof 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, . 2010, the annual rental rate for the Leased Land shall be set at $13,608.00, which is acknowledged to be fair market rental value for the Leased Land. Rent shall be payable quarterly in advance upon the Effective Date of this Lease(prorated for the balance of the current quarter) and thereafter on or before the 20th day of the month beginning each calendar quarter: January 20, April 20, July 20 and October 20. The amount of each quarterly payment shall be one-quarter of the annual rental rate as initially established or later adjusted under this Article 3. • . • _.- 3 11 • 3.2 Rental Adjustments. • (a) The amount of$8,165.00 shall be credited toward the annual rental payment to reflect the CITY's continuing use of a portion ofthe Leased Land until there is no longer a need for the CITY's presence as evidenced by written notice from the CITY to LESSEE. . (b) The annual rental payment shall be adjusted on July 1, 2010, and on the same date every five years thereafter(each a "Rental Adjustment Date"). The adjusted annual rental payment to be paid under the terms of this Lease shall be the appraised fair market rental value(the"Fair Market Rental Value")of the Leased Land at the highest and best use ofthe 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 ofFair 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 appraiser's determination of the Fair Market Rental Value. In that case,LESSEE shall give written notice to CITY ofits objection within thirty(30)days of receipt of the appraiser's report,and LESSEE shall then engage an independent State ofAlaska certified MAI appraiser(Member,Appraisal Institute) at LESSEE's expense to make an appraisal of the Fair Market Rental Value in accordance with this Article 3. . If LESSEE'S appraisal determines a Fair Market Rental Value that varies from that determined by CITY's appraisal by no more than twenty percent (20%), then the adjusted rental rate shad 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 17 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 4 34 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 ofthe 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 ofthe Fair Market Rental Value as ofthe 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 17 of this LEASE. 3.6 Effective Date of Adjusted Rental Rate. The adjusted aimual 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 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 o f rent as established or adjusted by CITY until the question ofobjection to the rental rate is finally resolved. At such time the objection to the rental rate is resolved, an appropriate credit or adjustment shall be made retroactive to the date the new rental rate was established by CITY or in cases where CITY failed to obtain an appraisal or deliver the appraisal report to the LESSEE,to the Rental Adjustment Date. 3.7 Interim Rental Adjustments. For each year in the period between each Rental Adjustment . Date, excepting the Rental Adjustment Dates, the annual rental payment shall be increased beginning July 1, 2011, and on July 1 of every year thereafter (each an "Interim Rental. +ice 5 • • z� • Adjustment Date") in an amount that reflects the increase,if any,in the cost of living for the previous year as stated in the Consumer Price Index, All Urban Consumers, Anchorage, Alaska Area,All Items 1967=100("CPI"),as published by the United States Department of Labor,Bureau of Labor Statistics for the most recent period published immediatelyprior 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 maybe necessary,in the CITY'S sole discretion,to accomplish 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 for operating a business to store vessels, engage in ship repair and maintenance, equipment rental and storage, equipment maintenance, and similar related marine business activities,and uses necessary and incidental thereto,has been determined by the City Council to be in the public interest. 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 upon termination of this Lease that is,the condition_existing prior to any operations by LESSEE under this or any prior agreement, or in better.condition. 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 use the Leased Land only for the uses described in Section 4.1, and uses necessary and incidental thereto. (e) A site plan, attached as Exhibit B, has been submitted and approved by the CITY. Any changes to this site require CITY approval,through the City Manager, prior to additional construction. LESSEE'S failure to obtain CITY approval ofany changes to 6 • J 36 the site development plan or LESSEE's failure to install the improvements according to the site development plan shall be a LESSEE Act of Default under this LEASE. f) Attached as Exhibit C is the Environmental Compliance Plan to be implemented and followed by LESSEE. . • g). LESSEE shall not allow any camping on the leased property unless the LESSEE obtains all required permits.for an employee campground. 4.3 No Preferential Rights to Use Public Facilities. Except as provided in Section 4.3, this LEASE does not grant to LESSEE any exclusive rights to use any public port facilities. • 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 • q, .information provided by CITY. 4.5 Tanffs and Other Service Fees. CITY shall have the right to make amendments to its tariffs, regulations and scheduled fees from time to time even ifthose adjustments shall cost LESSEE more for its operations or:use ofpublic 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 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. • ARTICLE 5-UTILITIES AND RIGHTS OF ACCESS 5.1 Utilities. LESSEE, at LESSEE's sole cost and expense, shall provide for the extension of public utilities to the Leased Land sufficient for LESSEE's intended operations. In so doing, LESSEE shall comply with all CITY regulations and requirements, and the tariffs of the 7 • 17 affected utilities,with respect to the construction ofthose utilities. CITY agrees to cooperate and assist the LESSEE, through consultation and review, in LESSEE's planning and engineering of those improvements. All utilities will be located and sized in accordance to . CITY's Master Plan for the area leased. All such construction shall be in compliance with all applicable'building,mechanical and fire codes. Utilities constructed by the LESSEE within the public right-of-ways or within public utility easements will normally be accepted and maintained by CITY or utility companies maybe used to serve other customers ofLESSEE'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 ofthe 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 ofLESSEE's facilities on the Leased Land,it being the intent ofthe parties that the risk of obtaining required permits be solely a risk undertaken by LESSEE. 5.2 Third-Party Improvements. At the request of LESSEE, CITY shall, from time to time, execute and deliver,or join in execution and delivery oi;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 instances referred to in this Section, CITY shall be without expense therefor,and the cost and expense thereof shall be.bome•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 • 8 • • 3R • property of CITY without the payment of any compensation to LESSEE. 5.3 Easements. In order to provide for the orderly development ofthe Leased Land and adjacent lands,it may be necessary,desirable or required that street,railroad,water,sewer,drainage, gas, power line and other easements and dedications and similar rights be granted or dedicated over or within portions of the Leased Land: As additional consideration for this • • LEASE, CITY and LESSEE each shall, at the request of the other;join with each other in executing and delivering such documents from time to time and throughout the Lease Term as maybe appropriate,necessary,or required by the several governmental agencies(including the City of Seward),public utilities and other users or tenants of CITY land for the purpose of granting such easements and dedications; provided, however, that such easements and dedications and similar rights do not unreasonably interfere with LESSEE's operations.The costs of locating or relocating any public easements or restrictions of record including any relocation of public road, railroad, utility, or other easements shall be at the sole cost and • expense ofthe party requesting the relocation. CITY shall not refuse reasonable requests for such relocations.provided those relocations do not interfere with or inhibit the overall development of CITY property or other public property. Any easements or rights of access granted to LESSEE by CITY need not be exclusive to LESSEE. . ARTICLE 6-CONSTRUCTION BY LESSEE 6.1 Improvements on Leased Land. LESSEE shall have the right to erect, maintain, alter, remodel,reconstruct,rebuild,build and/or replace buildings and other improvements on the . Leased•Land, subject to the following conditions: a) The cost of any construction, reconstruction, demolition, or of any changes, alterations or improvements,shall be borne and paid for by LESSEE. b) The Leased Land shall at all times be kept free ofinechanic'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 or its sublessees shall be appropriately bonded by use ofperformance and labor and material payment bonds in the customary form when cost of the work is equal to or exceeds FIFTY THOUSAND DOLLARS • 39 • ($50,000). Copies of all such bonds shall be furnished to CITY prior to commencement of construction. If the cost of the work is less than FIFTY THOUSAND DOLLARS ($50,000.00), LESSEE shall provide CITY, 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,no performance bond shall be required. f) CITY may,as contemplated by Alaska Statutes,give notice ofnon-responsibility for any improvements constructed or effected by LESSEE on the Leased Land. •g) LESSEE shall comply with all federal, state and local statutes and regulations with respect to such construction, including but not limited to all applicable building, mechanical, and fire codes. No permanent construction is allowed in any easement. 6.2 City Review of Construction. CITY shall have the right to review initialplans,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 thereofprior 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 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 LES SEE's plans and 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 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. 10 40 • 7.2 Return of 1.eased Land in Different Condition. Notwithstanding the provisions of Section 7.1 above,upon termination of this LEASE for any reason LESSEE may return the Leased Land in a re-contoured or graded clean,safe,and stable condition different from its original condition provided CITY grants written approval of LESSEE's plans for development ofthe Leased Land contours, including its plans for material extraction and final grade. 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 observe,fulfill or perform any covenants,conditions or agreements on its part to be observed or performed under this LEASE 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. 9.3 The making by LESSEE of an assignment for the benefit of creditors,the filing ofa petition in bankruptcybyLESSEE,the adjudication ofLESSEE as insolvent or bankrupt,thepetitionor • application by LESSEE to any tribunal for any receiver or any trustee for itself or for any substantial part of its property;or the commencement of any proceeding relating to LESSEE under any bankruptcy,insolvency,reorganization,arrangement or readjustment ofdebt law or statute or similar law or statute of any jurisdiction,whether now or hereafter in effect which shall remain undismissed for a period of six (6) months from the date of commencement thereof . 9.4 LESSEE's failure to comply with any laws or regulations ofthe United States,or ofthe State of Alaska, or any conditions'of any permits issued by agencies of the City of Seward,.the Kenai Peninsula Borough,the State ofAlaska or ofthe.United States Government applicable 11 Al • 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 non-compliance has been given by the agency charged with the enforcement of such laws,regulations or permits to LESSEE; provided, however, if such non-compliance 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 LESSEE is.in compliance. Furthermore, if LESSEE shall contest such alleged non-compliance 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 oftime shall not be effective if the effect ofthe 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. • 9.5 Reserved. 0 9.6 Failure of LESSEE to maintain its operations within the Leased Land or to keep the public rights of way clear. • 9.7 Failure to promptly pay when due any user,wharfage,or other charges by the City of Seward and associated With the Seward Marine Industrial Center;or 9.8 Failure of LESSEE to promptly pay when due any real'or personal property taxes or any sales taxes assessed by the Kenai Peninsula Borough. 9.9 Use of the Leased Land,or any portion of the Leased Land,.for camping without appropriate permits obtained from the City of Seward. 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 propertymay 12 � a7 • be stored in place or may be removed and stored in a public warehouse or elsewhere at the. cost of LESSEE all without service ofnotice or resort to legal process,all ofwhich LESSEE expressly waives. - 10.3 In addition to the above, CITY may: a) Declare this LEASE terminated; b) Collect any and all rents due or to become due from subtenants or other occupants of the Leased Land; .c) Recover from LESSEE, whether this LEASE be terminated or not, reasonable attorney's fees and all other expenses incurred by CITY by reason of the breach or default by LESSEE; d) Recover an amount to be due immediately on breach equal to the unpaid rent for the entire remaining term of this LEASE. e) Recover all damages incurred by CITY by reason of LESSEE's default or breach including,but not limited to,the cost of recovering possession of the Leased Land, expenses of reletting including costs of necessary renovation and alteration of the premises,reasonable attorney's fees and any real estate commissions actually paid. f) Remove or require the removal of any improvements constructed without CITY approval or constructed contrary to site development plans approved by CITY and recover all costs and expense incurred by CITY to remove such 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 ofrent 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 y • .13 Al • • j _-) 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. 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 Oahe construed to be a waiver thereof but any such right and power may be exercised froth time to time and as often as may be deemed expedient. ARTICLE 11 -TITLE TO IMPROVEMENTS INSTALLED BY LESSEE i 11.1 Real Property Improvements. Allimprovements constructed by LESSEE on the Leased Land or on easements to or from the Same, such as buildings, warehouses, conveyor systems, ditches,sewer lines,water lines,Aces 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, at'LESSEE's sole expense, to remove any improvements designated by CITY. . 11.2 Personal Property. Upon termination of this LEASE for any reason other than default by LESSEE, LESSEE may,but need not,promptly remove, in no event later than ninety(90) days from the termination of the LASE,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 (1,, 12.1 Assignment of Lease or Subleas ng. The parties recognize that this LEASE has been determined to be in the public intemest by the City Council of CITY for the reasons set forth in . the approving Resolution. The ghts.and duties created by the LEASE are personal to LESSEE and.CITY has granted tile LEASE in reliance upon the individual character and financial capability ofLESSEE. Therefore,LESSEE shall not assign or sublease this LEASE without CITY's prior written consent, in CITY's sole discretion. LESSEE may sublease a portion of the Leased Land or buildings or improvements located thereon only with CITY's • prior written consent,which consent shall be granted if: a) The use of the Leased Land) by the proposed sublessee is compatible with the use of -adjacent lands; i - . . b) The proposed use is a permitted use under the then existing zoning regulations and comprehensive land use plan; c) LESSEE has made a wri t en request to sublease a portion of the Leased Land or buildings or improvements!{located thereon and provided CITY with a copy of the sublease agreement. The sublease agreement shall not provide for a lease amount that is greater than 20%more than the amount that the LESSEE pays the CITY pursuant to Article 3 for that portion of the Leased Land subject to the sublease, calculated on - • 14 44 .) •• • a pro rata basis. The•sublease agreement shall state that it is subject to and subordinate to this LEASE and any amendments thereto; d) The sublessee shall agree to defend, indemnify and hold harmless the CITY, its officials, employees, and agents, from any and all liability or claims for damages,. including personal injuries,death and property damage arising out ofor resulting from sublessee's use ofthe Leased Land by themselves,their agents,contractors,guests or the public, except for damages arising from the sole negligence or willful acts or omissions of CITY,its officials, employees, agents, or contractors; ' • e) LESSEE's full faith and credit shall remain obligated under this LEASE as though the sublease had not taken place; • f) The sublessee assumes and agrees in writing to pay and perform all ofthe obligations of LESSEE hereunder including, without limitation, Article 19 - Environmental Concerns; and . . . • . g) The sublessee has a credit-worthiness demonstrated to be equal to or better than LESSEE and has operating experience suitable to manage any facilities located on the Leased Land. 12.2 Assignment 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 ofor operations on the Leased Land,provided that Lender shall be subject to all obligations ofLESSEE 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 ofrent or other money,shall undertake within thirty(30)days after notice to cure the default or breach and shall diligently and in good faith proceed to do so, CITY may not terminate this LEASE or relet the Leased Land unless Lender . fads 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 ofthe remedies afforded to it under Article 10 above so long as LESSEE • or Lender remains in possession of the Leased Land and satisfies LESSEE's • • 15 r . I f f . 7, l 46 ) • obligations under the terms of this LEASE. Upon foreclosure or other assertionbfits • 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 al 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 ofthe Lease Tenn 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 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 • 16 46 f J • • . 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 ofuse ofthe Lease Land,increases in the cost of living, inflationary pressures, and other considerations, shall be utilized in • assessing whether the minimum insurance requirements should be increased. CITY shall • notify LESSEE of any required increase in insurance coverage. All insurance policies shall provide for thirty.(30)days'notice of cancellation and/or material change to be sent to CITY at the address designated in ARTICLE 33 of this LEASE. All such policies shall be written by insurance companies legally authorized or licensed to do business in the State of Alaska,and acceptable to CITY(Best's Rating B+or better). CITY 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 herebyreleases CITY, its elected and appointed officials,employees and volunteers and others working on behalfof CITY from any and all liability or responsibility to LESSEE or anyone claiming through or under LESSEE by way of subrogation or otherwise, for any loss of any kind (including damage to property caused by fire or any other casualty), even if such loss shall have been caused by the fault or negligence ofthe CITY,its elected or appointed officials,employees or volunteers or others working on behalf ofthe CITY. This provision shall be applicable and in full force and effect only with respect to loss or damage occurring during the time of LESSEE's occupancy or use (including LESSEE's occupancy or use prior to the Effective Date of this LEASE), and LESSEE's policies of insurance shall contain a clause or endorsement to the effect that such release shall not adversely affect or impair such policies or 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. 17 • d'7 ARTICLE 16- CONDEMNATION • If all or any part ofthe 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 ofLESSEE's leasehold interest,CITY shall transmit to LESSEE the amount of such specific damages so found,if any. Ifpart but not all ofthe Leased Land is condemned for public use,LESSEE shallmake 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.IfLESSEE 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 o f 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.m.), as it now exists or may hereafter be amended from time to time, and judgment on the award may be entered in any Superior Court in the State of Alaska. Notwithstanding the foregoing, arbitration shall not be applicable to claims or disputes involving a requested remedy having a value of more than Fifty Thousand Dollars and No/100s ($50,000) (exclusive of interest and costs): All demands for arbitration and all answering statements thereto that include any claim must contain a statement that the total sum.or value in controversy, as alleged by the party making such demand or answering statement, is not more than Fifty'Thousand Dollars and No/100s($50,000.) The arbitrator will not have jurisdiction,power,or authority to consider or make findings (except to deny jurisdiction) concerning any claim, counterclaim,dispute or other matter in question where the amount in controversy of any such claim, counterclaim, dispute or matter is more than Fifty Thousand Dollars 18 • 48 � • and No/100s($50,000). The costs and expenses of arbitration shall be shared equally by the parties,and each party shall bear its own attorney's fees and costs. • b) Arbitration procedures shall be applicable only to contract, negligence, and similar claims arising from or related to this LEASE, and shall not be used to resolve or determine any claim based upon fraud, intentional misrepresentation,nor any claim • based on conduct that is a felony crime in the State of Alaska. c) Written notice of requests for arbitration of disputes maybe served by either party to this LEASE upon the other party. Arbitration of any dispute or claim shall be • determined by a single arbitrator selected from a list of not less than.five arbitrators obtained from the presiding.Superior Court Judge or other appropriate 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 ofsuch hearing,all documents to be submitted at the• • hearing and such other documents as are relevant to the issues or likely to lead to . relevant information. . • • e) In deciding the claim or dispute,the arbitrator shall follow applicable Alaska law,and the written decision shall be supported by substantial evidence in the record. Faihire 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, 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• 19 An f 1 • 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 ofrepairs either because ofthe delays therein or the scope ofthe repairs,then CITY may engage an independent engineering consultant well-versed and experienced who shall 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 ofthe arbitrator it shall fully comply with the maintenance requests. If an arbitration award should ultimately find that the repairs were not necessary then LESSEE may either deduct from future rental • payments the cost of such repairs or be reimbursed therefor. In deciding whether repairs requested by CITY or required by an engineering report are necessary,the-arbitration panel is to give primary consideration to the safety and welfare of the Seward port facilities and the citizens of Seward in light of the highest standards in the industry. If any facility or service provided by CITY to the Leased Land shall become inadequate due to changes in environmental control standards. or should any facility require updating or improvement by reason of a change in LESSEE's use of the Leased Land or operations therefrom, LESSEE shall either construct such improvements at LESSEE's own cost or . reimburse CITY for such work at the option of CITY. ARTICLE 19-ENVIRONMENTAL CONCERNS • 19.1 Hazardous Materials. a) Condition of Site. LESSEE has had full opportunity to examine the site for the presence of any Hazardous Material and accepts the Leased Land in"as is"condition. 20 1 • • 50 LESSEE may elect,at LESSEE's sole cost,to conduct a baseline soils test prior to execution of this LEASE. b) Release of CITY. Any other provision of this LEASE to the contrary notwith- standing,LESSEE releases CITY from any and all claims,demands,penalties,fines, • judgments, liabilities, settlements, damages, costs or expenses (including, without limitation,attorney's fees,court costs,litigation expenses,and consultant and expert fees)arising prior to,during,and after the term oft is 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 manner that complies with all Environmental Laws or other laws or • regulations applicable to such Hazardous MateriaL iii) LESSEE shall not discharge,leak or emit,or permit to be discharged,leaked or emitted, any material into the atmosphere, ground, ground water, sewer system or anybody ofwater,if such material(as reasonably determinedbythe City,or any governmental authority)does or may,pollute or contaminate the same, or may adversely affect the (a) health, welfare or safety of persons, whether located on the Leased Land or elsewhere; or(b) condition, use or enjoyment of the Leased Land or any other area or personal property. iv) LESSEE hereby agrees that it shall be fully liable for all costs and expenses related to the use,storage and disposal ofHazardous Material kept orbmught on the Leased Land by LESSEE,its authorized representatives and invitees, • and LESSEE shall give immediate notice to CITY of any violation or • 21 I ^ I 41' • potential violation of the provisions of this subparagraph. d) Indemnification of CITY. Except with regard to the soil cleanup area shown on Exhibit B and.existing prior to the Effective Date, 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 anyway related to: i) The presence, disposal,release or threatened release of any such Hazardous . Material which is on or.from the Leased Land, soil, water, ground water, vegetation,buildings,personal property,persons, animals or otherwise; ii) Any personal injury(including wrongful death)or property damage(real or personal) arising out of or related to such Hazardous Material or any use of the Leased Land; iii) Any lawsuit brought or threatened, settlement reached or government order relating to such Hazardous Material or any use of the Leased Land; and/or iv) Any violation of any laws applicable thereto; provided, however, that this Section 19.1(d)shall apply only ifthe acts giving rise to the claims,demands, penalties,fines,judgments,liabilities,settlements,damages;costs or expenses (1)occur prior to or during the term 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 ofthis subparagraph shall be in addition to any other obligations and liabilities LESSEE may have to CITY at law or equity and shall survive the transactions contemplated herein and shall survive the termination 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 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; 22 A • 52 • • 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 ofthe 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 ifthe 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 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,ifthere • has been any amendment thereof that the same is in full force.and effect as amended and stating the amendment or amendments), that there are no defaults existing(or, if 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. . 23 G1 ARTICLE 21 CONDITIONS AND COVENANTS All the provisions ofthis LEASE shall be construed to be"conditions"as well as"covenants," as though the words specifically expressing or imparting covenants and conditions were used in each separate provision. • ARTICLE 22-NO WAIVER.OF BREACH No failure by either CITY or LESSEE to insist upon the strict performance by the other of any term,covenant or condition ofthis LEASE or to exercise any right or remedy consequent upon a breach thereof shall constitute a waiver of any such breach or of such terms,covenants or conditions. No waiver of any breach shall affect or alter this LEASE,but each and every term, covenant and condition 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 ofthe 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 ofthe parties with respect to the matters covered by this LEASE, and no other agreement, statement or promise made by any party which is not contained in this LEASE shall be binding or valid: ARTICLE 27-GOVERNING LAW This LEASE shall be governed by,Construed and enforced in accordance with the laws ofthe State of Alaska. The terms Of this LEASE are subject in all respects to the Charter and Code of Ordinances of CITY in effect on the date of this LEASE, and as they may be hereafter amended, including without limitation, Chapter 7.05 Of the Seward City Code. • 24 .J r.. 54 } j • • ARTICLE 28-PARTIAL INVALIDITY If any provision ofthis LEASE is held by a court of competent jurisdiction to be invalid,void or unenforceable,the remainder of the provisions shall remain in full force and effect and shall in no way be affected,impaired or invalidated. ARTICLE 29-RELATIONSHIP OF PARTIES Nothing contained in this LEASE shall be deemed or construed by the parties or by any third person to create the relationship of principal and agent or of partnership or ofjoint venture or of any association between CITY and LESSEE; and neither the method of computation of rent, nor any other provisions contained in this LEASE nor any acts of the parties,shall be deemed to create.any relationship between CITY and LESSEE other than the relationship of lessee and lessor. ARTICLE 30-INTERPRETATION The language in all parts ofthis LEASE shall in all cases be simply construed according to its fair meaning and not for or against CITY or LESSEE as both CITY and LESSEE have had the opportunity to seek assistance of counsel in drafting and reviewing this LEASE. • ARTICLE 31 -CAPTIONS Captions ofthe articles,paragraphs and subparagraphs ofthis LEASE are for convenience and reference only,and the words contained therein shall in no way be held to explain,modify,amplify or aid in the interpretation, construction or meaning of the provisions of this LEASE. • . • ARTICLE 32-AMENDMENT This LEASE is not subject to amendment except in writing executed byboth 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. • • All notices, demands and requests from LESSEE to CITY shall be given to CITY at the following address: . • • • . 25 • I l • City Manager CITY OF SEWARD PO Box 167 Seward,Alaska 99664 • All notices, demands or requests from CITY to LESSEE shall be given to LESSEE at the following address: Alaska Logistics,LLC P.O. Box 3512 Seattle,WA 98124 ATTN: Allyn Long,Managing Member • ---or--- Allyn Long-Alaska Logistics,LLC • 14018 Puget Sound Blvd • Edmonds,WA 98206 Each party shall have the right, from time to time,to designate a different address by notice given in conformity with this Article. ( • ARTICLE 34-FIRE PROTECTION LESSEE shall at its sole cost,risk and expense provide fire protection to its operations on the Leased.Land and the dock, and fire prevention to industry standards for risks-to adjacent facilities . such that those risks are minimized. LESSEE shall continue to provide and maintain industry accepted standards of fire protection such that the City of Seward's ISO rating is not degraded by reason of LESSEE'S operation. The parties agree that with the rapid expansion oftechnology in the field of fire prevention and control LESSEE's obligations hereunder may vary during the term ofthis LEASE. • • 26 56 IN WITNESS WHEREOF,the parties hereto have executed this Lease the dates herein set forth. CITY: LESSEE: • • CITY OF SEWARD ALASKA LOGISTICS,.LLC • - . • 1 ../ . .,, '` . AgrAel• -4_■---.., • .By: Phillip Oates • By: yn i' Its: City a r (F� Managing Member • Date: a1" ZG ��...oeo., sage: /! halo, . •.• ®IFS P, ,, - ATTEST: ;'�4'49 � .". �••� i : • I S �'''L i I --01-20/4/1 .Z110.! ■. I \ —e— N. ••i to '+te.. - - - J:= Lewis, .,�!,4. ••.. PS••• ,- - 0, Clerk • • .,�� OF P�;••� • 4dn"ss • STATE OF ALASKA ) )ss. THIRD JUDICIAL DISTRICT .) - THIS IS TO CERTIFY that on this_,.--fi day of t 6Wsih%2009,before me,the undersigned, a Notary Public in and for the State of Alaska,personally appeared Philip 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 hand and notarial seal the day and year first hereinabove written. p 0ute1aauif'i � pled .dC. l a.?�, A. 'dpi//�OtgR . �� Notary Public in and for=ao �4". _ • My Commission Expires: �' '03 - X01 I ...M+ Pm" off' . , , 17500. 27 C7 STATE OF ALASKA )ss. THIRD JUDICIAL.DISTRICT ) THIS.IS TO CERTIFY that orkgis, ID day of 1\\n‘.1• ,2009,before me,the undersigned, • a Notary Public in and for the State of onally. appeared Allyn Long,known to me and to me known to be the Managing Member of Alaska Logistics, LLC, a Washington limited liability company,and authorized to execute documents on its behalf,and is the individual named in and who executed the foregoing document on behalf of the company for the uses and purposes therein set forth WITNESS my hand and notarial seal the day and year first hereinabove written.. • • __--- _ 4 No ary L' s lic in . i for Alaska • =At NOTAbv 1k O M y Co M. ..n •fires::'-4 I t l t12. rwir PUBLIC (''� WASt41- Y t • • 28 ) 58 • !,e-bb P+ S ' . • • M••• n••• l•t am II-t1 4109Y 000E•.1 0173 {t/1 003+0 411.rM5 ' N atw'.tml»a 0i +4rd dw 9.•Or rmrl lrrta SI 1 44,+7(1 rt 400 �� _ y ••..4•...•Y 0 „ i:ranf 1 *Mt n WI;•4 4.....t.MIA.IGt•m 0 wr+V • m'Qtr.. YNM L•vu.m /. 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' '�.i Ij L.- °° •u' .l• W W W I �Y V •." h ii i ( • W W Contaminated§o,i Ail .(v)O it W w . v go I I • I W * W O\ I ,0A. w w W W W .y I 4, `, 'Y sr sr W 4# m W W W W W a .,. .,. .,. . •60'Driveway f 7 Acre Lot 2 • • • Mustang Avenue. • • Alaska Logistics • 7400 8th Ave.South Alaska Logistics Site Plan Proposal Date Seattle,WA 98108 Job 9-2&-09 ' 206-767-2555 AL Seward Building Do Not Drawn Sy Rev. ---, SMIC Block 3,Lot 2 Scale Sfs •• c • 4.1.• s k a . ._••:.. • Environmental Compliance Plan • November 9,2009 Alaska Logistics,LLC plans to comply with all Federal,State and City of Seward Environm tal Regulations that apply to its operation of a vessel repair and maintenance facility on pro. leased from the City of Seward. Environmental related items and a brief description of Logistics plan to comply with the regulations is as follows: Alaska Logistics will comply with the regulations requiring application for and approval o'an Industrial Stormwater Discharge Permit. Alaska Logistics is familiar with the process of preparation of the Storm Water Pollution Prevention Plan, implementation of the Plan and he continued application of Best Management Practices,monitoring and testing.. The site will be graded to force stormwater runoff into perimeter ditches. Appropriate :est Management Practices will be applied to slow the runoff rate and prevent the migration of t and/or other pollutants outside the limits of the perimeter ditches. The gravel surface of the e will serve to slow runoff and allow a significant amount of the stonnwater falling on the si' to . be absorbed. The vessel repair facility will generate a significant amount of waste as the result of sandbl: g portions of the vessels prior to repair and repainting. The sandblast grit and paint chips • ' be collected by placing plastic tarps beneath the vessel and sweeping the grit and paint chips to piles daily for collection and placement in containers. It is anticipated that either barrel• or -supersacks will be used to hold the used blasting sand and paint chips. Once the barrel or supersacks are filled,they will be placed in a designated ocean cargo container for storage. I's container will be shipped,on one of our southbound barges,to the Seattle area for disposal o the hazardous materials by one of the several commercial waste disposal firms. Discussion with the Anchorage office of ADEC has indicated that this method of disposal is acceptable and at • ADEC will require information regarding the final point of disposal be provided to them. The use of several types of diesel powered equipment on the site requires that diesel fuel,m or oil and'other petroleum products be used. Diesel powered equipment on the site will be ed from a tank mounted on one of Alaska Logistics light trucks or by a local commercial ven' if available. Spill prevention BMPs will be practiced and Spill Cleanup Materials will be • PO BOX 3512. • SEATTLE, WA 98124-3512 PHONE: (206) 767-2555 • PAX: (206) 767-5222 EMAIL: JNPO(DALASKA-T.QGISTICS_COM • WEBSITE: WWW.ALASKA-LOGTST1(:S.COM maintained on the site at all times. Gasoline will not be stored on site and gasoline pow ii ed vehicles will obtain fuel from local commercial fuel facilities. Used motor,oil, antifreeze and other hazardous materials associated with equipment opera•on and maintenance, will be collected,placed in designated barrels,and stored hi an appropria -ly marked cargo container on site. This container will be shipped, on one of Alaska Logis s' southbound barges, to Seattle. Upon arrival in Seattle, the hazardous materials will be transferred to one of the commercial Haz-Mat disposal firms for transportation to its • al location and disposal in accordance with Federal,State and local requirements. Sanitary facilities at the site will be provided in the form of portable units furnished d . maintained by a local Seward firm. The number of portable units and frequency of mainte' ce pumping will vary based upon the number of personnel working at the site during any given •i i i e frame and the recommendation of the portable unit provider. The portable units will be to ed in close proximity to the work areas on site to enable easy access by all workers. Marine Vessel Paint will be used in quantity at the site and will require disposal of =• •ty containers and any spilled paint and/or related products. Spills will be cleaned up by immediately excavating the gravel beneath the vessel to a depth below the level of penetratio of the paint material. This excavated material will be placed in suitable containers and stored a cargo container on site to await shipment on a southbound barge to Seattle. Upon ani • in Seattle, the hazardous material will be transferred to one of the commercial disposal firms for transportation to its final location. Empty paint buckets will be placed in a marked cargo container with the lid removed. This i. to allow the paint residue in. the bucket to dry and reduce any risk of spillage or o i•er contamination. Once the residue in the bucket is dry,the lid can be replaced. These empty p:int buckets will be allowed to accumulate in the cargo container until shipment on a soutbbo .d barge to Seattle and transfer to a commercial disposal firm for handling in accordance 'th Federal,State and Local regulations. The above items are some of the means by which Alaska Logistics plans to prevent damag- to the environment as the result of its vessel maintenance and repair facility to be placed on a.ite leased from the City to Seward. Other items will be identified in the course of construction : i d operation of the facility. Once identified, a specific plan for handling these materials wi be implemented. . Material Safety Data Sheets will be maintained at the site and personnel will be made away• of the dangers related to hazardous materials that may be in use. All personnel will be is ed personal protective equipment appropriate to the duties they perform and the hazardous mate als that they may encounter in the course of performing their assigned tasks. PO BOX 3512. • SEATTLE, WA 98124-3512 PHONE: (206) 767-2555 • FAX: (206) 767-5222 EMATT.: JNFOaALASKA-LOGISTICS_COM WEBSTTE: WWW.ALASKA-LOGTSTICS.COM .62 1 .) . t. As stated earlier, Alaska Logistics is planning to comply with all Federal, State and City of • Seward environmental regulations during the operation of its vessel repair and maintenance facility.In addition,Alaska Logistics plans to comply with all Federal,State and City of Seward regulations of any kind. Alaska Logistics is particularly concerned with the health and safety of its employees and those of its subcontractors. • Respectfully submitted, Any trifil" .14‘"\ • Yn L° - . - • Manager • • PO BOX 3512. • SEATTLE, WA 98124-3512 PHONE: (206) 767-2555 • FAX: (206) 767-5222 EMAIL: ZNPOQILASKA-LOGISTTCS.-C.OM. WEBSITE: WWW.AI.ASKA-LOGIST1CS.COM • • Sponsored by: Hunt iy CITY OF SEWARD,ALASKA RESOLUTION 2015-058 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE DISCHARGE OF FIREWORKS BY THE CHAMBER OF COMMERCE DURING THE 2015 FOURTH OF JULY CELEBRATION WHEREAS,Seward City Code§10.10.040 prohibits the discharge of fireworks within City limits unless specifically approved by the City Council; and WHEREAS, the Chamber of Commerce has requested permission to conduct a fireworks display on Saturday July 4th at 12:01 am with an alternate date of Sunday July 5th at 12:01 am; and WHEREAS,the site for the discharge of fireworks has been identified as the uplands area south of the harbor and has been approved by the Fire Chief as required by Seward City Code; and WHEREAS, the City has customarily allowed the Chamber of Commerce to provide a fireworks display within City limits in conjunction with its Fourth of July celebration. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY ( OF SEWARD, ALASKA that: Section 1. As a part of its Fourth of July Celebration,the Seward Chamber of Commerce is authorized to discharge fireworks within City limits at a time and place that has received prior approval from the Fire Chief Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 22nd day of June 2015. THE CITY OF SEWARD,ALASKA Jean Bardarson, Mayor 6d Agenda Statement Meeting Date: June 22, 2015 ,`� I;' 41a, To: City Council * 4LAS10" Through: City Manager Jim Hun I4,, From: Fire Chief Edward Athey Agenda Item: 2015 Fireworks permit BACKGROUND&JUSTIFICATION: The Seward Chamber of Commerce has requested permission from City Council to hold a fireworks display on Saturday July 4, 2015 at 12:01 A.M. The display will last 15 —20 minutes. The display location will be the same as in years past, the south breakwater area behind Harbor View condominiums. Seward City Code 10.10. 040 (a) prohibits the discharge of fireworks in Seward unless specially approved by the City Council. The Council has customarily allowed the Chamber to provide an annual fireworks display within City limits to coincide with its Fourth of July celebration. The fireworks display will be conducted by the Chambers identified vendor, Lantis Fireworks & Lasers. The Fire Department has inspected and approved of the display site and location. The identified alternate day in case of inclement weather is July 5th at 12:01 A.M. INTENT: Approve the Seward Chamber of Commerce's request for permission to conduct a fireworks display in conjunction with the Fourth of July celebration. CONSISTENCY CHECKLIST: Yes No N/A 1. Comprehensive Plan(document source here): x 2. Strategic Plan(document source here): x 3. Other(list): SCC Section 10.10.040 (a) FISCAL.NOTE: There is no significant impact to the 2015 budget • Approved by Finance Department: ATTORNEY REVIEW: Yes No x 65 RECOMMENDATION: City Council approves Resolution 2015- , authorizing the discharge of fireworks by the Chamber of Commerce during the 2015 Fourth of July celebration. 1, C; 66 Lantis Fireworks • Production Schedule Seward 4TH of July Location of Show: 1300 4th Ave Seward,AK 99664 at Seward Harbor south parking lot Show Date and Time:July 4,2015 at 12:01AM (Rain Date:July 5,2015) Pyrotechnician:Anthony Schmidt—Alaska Pyro License#FWP12-006 Cell Phone:907-707-3661 Date and Time of Arrival of Pyrotechnician and Fireworks on site:July 3, 2015 between TBD Truck will be parked in the Seward Harbor south parking lot launch site.The Fireworks will be attended and secure at all times.There will be no smoking allowed within 100'. Type and size of Fireworks in Display: Display shells and Cakes with a diameter no larger than 5 inches with a 350 foot radius fallout zone. 3:OOPM-9:O0PM:Set up fireworks display in correct location,wire up and get ready to test. 9:00PM:Test and correct any problems. 11:30PM:Client will take care of spectator and vehicle control prior to,during and after the display. 12:01AM-12:20AM: Begin Display(19 minutes) Immediately after show:Make sure fallout area is clear of unexploded fireworks. Keep fallout area closed to vehicles and spectators. 20 minutes after show:Begin takedown and area clean up. Keep fallout area closed to vehicles and spectators. 12:45AM-2:15AM:Clean up display area. July 4,2014 by 8:00AM: Recheck fallout zone and final clean up. V 67 /`1C R DATE(MM/DD/YYYY) L CERTIFICATE OF LIABILITY INSURANCE 05/21/2015 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED,the policy(ies)must be endorsed. If SUBROGATION IS WAIVED,subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER NQACT ELLEN MEEHAN JUSTIN GOODMAN,AGENT STATE FARM INSURANCE (NC.No.Ext):9075617771 FN No):9075617772 ADDRESS: ELLEN.MEEHAN.LAOF @STATEFARM.COM 4200 OLD SEWARD HVVY STE B4 CUSTOMER ID 4: t ANCHORAGE,AK 99503 INSURER(S)AFFORDING COVERAGE NAIC INSURED INSURER A:State Farm Fire and Casualty Company 25143 LANTIS FIREWORKS&LASERS ALASKA, INSURER B: LLC INSURER C: 2150 INNES CIRCLE INSURER D: ANCHORAGE,AK 99515 INSURERE: INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT,TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDL SUBR POLICY EFF POLICY EXP LTR TYPE OF INSURANCE .INSR,WVD POLICY NUMBER (MM/DD/YYYY) (MM/DD/YYYY) LIMITS GENERAL LIABILITY EACH OCCURRENCE $ _ COMMERCIAL GENERAL LIABILITY PR S(RENTED PRE MI E SES(Ea occurrence) $ CLAIMS-MADE OCCUR - MED EXP(Any one person) $ PERSONAL 8 ADV INJURY $ GENERAL AGGREGATE $ i GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS-COMP/OP AGG $ PRO T 7 POLICY n LOC $ JEC AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ (Ea accident) ANY AUTO BODILY INJURY(Per person) $ ALL OWNED AUTOS BODILY INJURY(Per accident) $ SCHEDULED AUTOS - PROPERTY DAMAGE $ HIRED AUTOS (Per accident) • NON-OWNED AUTOS $ UMBRELLA LIAB _ OCCUR EACH OCCURRENCE $ _ EXCESS LIAB CLAIMS-MADE AGGREGATE _ $ DEDUCTIBLE $ RETENTION $ _ $ B WORKERS COMPENSATION X TORY L MITS ER AND EMPLOYERS'LIABILITY ANY PROPRIETOR/PARTNER/EXECUTIVE Y/N 15E WW 97466 05/06/2015 05/06/2016 E.L.EACH ACCIDENT $ 100,000 OFFICER/MEMBER EXCLUDED? N/A y (Mandatory In NH) E.L.DISEASE-EA EMPLOYEE $ 100,000 fyes,describe under 500,000 SPFniai PRO N VISInS hPlnw E.L.DISEASE-POLICY LIMIT $ DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (Attach ACORD 101,Additional Remarks Schedule,if more space is required) B.ALASKA NATIONAL CERTIFICATE HOLDER CANCELLATION CITY OF SEWARD SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE - P.O.BOX 167 EXPIRATION DATE THEREOF,NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE(' POLICY PROVISIONS. SEWARD,AK 99664 AUTHORIZED REPRESENTATIVE Justin Goodman/Ellen Meehan LSA5 ©1988-2009 ACORD CORPORATION. All rights reserved. ACORD 25(2009/09) The ACORD name and logo are 6S3istered marks of ACORD 1001486 132849.4 02-11-2010 • . CERTIFICATE OF INSURANCE' • ISSUE.DATE. 5/0015 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS �-� NO RIGHTS UPON THE CERTIFICATE HOLDER,THIS CERTIFICATE DOES NOT AMEND, /" - >ROFESSIONAL PROGRAM INSURANCE BROKERAGE EXTEND OR LATER THE COVERAGE AFFORDED BY THE POLICIES BELOW. (1 BEL MARIN KEYS BLVD.,SUITE 220 INSURER(S)AFFORDING COVERAGE "..OVATO CA,94949-5662 INSURER A: LLOYD'S OF LONDON INSURED INSURER B: • Lantis Productions,Inc.,The Lantis Company Inc. INSURER C: 2369 Willow View Way Sandy,UT 84092 INSURER D: COVERAGES THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE NAMED INSURED ABOVE FOR THE PERIOD INDICATED.NOTWITHSTANDING ANY REQUIREMENT,TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN,THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. CO POLICY EFFECTIVE POLICY EXPIRATION LTR TYPE OF INSURANCE POLICY NUMBER DATE(MMIDD/YY) DATE(MMIDDIYY) LIMITS GENERAL LIABILITY CLAIMS MADE EACH ACCIDENT $ 1,000,000 A MEDICAL EXP(Any one PY/14-0118 07/29/2014 07/29/2015 person) $ FIRE LEGAL LIABILITY $ 50,000 GEN'L AGGREGATE LIMIT GENERAL AGGREGATE $ 2,000,000 APPLIES PER POLICY PRODUCTS.COMP/OPS AGG $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT _7_ ANY AUTO (Ea accident) $• ' ANY OWNED AUTOS BODILY INJURY SCHEDULED AUTOS (Per peraan) $ I HIRED AUTOS BODIaccident)nt) e I NON-OWNED AUTOS (Per accident) $ PROPERTY DAMAGE (Per accident) $ EXCESS LIABILTY FOLLOWING FORM EACH ACCIDENT $ AGGREGATE $ WORKERS COMPENSATION WC STATU. 0TH- AND TORY LIMITS ER $ EMPLOYERS'LIABILITY E.L EACH ACCIDENT E.L.DISEASE-EA EMPLOYEE $ E.L DISEASE-POLICY LIMIT $ OTHER DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS Seward Chamber of Commerce;City of Seward and State of Alaska are Additional Insured as respects the 07/04/2015(RD:07/05/2015)Aerial Fireworks Display located at Mariner's Memorial/Small Boat Harbor-Parking Lot,Seward,AK.This certificate replaces cert#6694 issued on 05/07/2015 and is not in addition to that certificate. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF,THE ISSUING COMPANY WILL ENDEAVOR TO MAIL Seward Chamber of Commerce DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,BUT P.O.Box 749 FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY "001 Seward Highway KIND UPON THE INSURER,ITS AGENTS SENTATIVES. 3rd,AK 99664 AUTHORIZE REPRESENTATIVE 69 o� rb Department of Public Safe iw 4/y,,*s� THE STATE Safety �.%�► of 1* M DIVISION OF FIRE AND LIFE SAFETY � � ' Life Safety Inspection Bureau-Anchorage ' GOVERNOR BILL WALKER �"?��� 5700 East Tudor Rood o "A' Anchorage,Alaska 99507-1225 Main:907.269.5637 Fax:907.269.5018 PERMIT TO DISPLAY FIREWORKS 1.3G AND/OR 1.4G (EXCESS OF 250 POUNDS) DISPLAY PERMIT NUMBER: I5FWKS1022 This permit is issued to: LANTIS PRODUCTIONS, INC. Mailing Address:5840 GERSHMEL LOOP, PALMER,AK 99645 Pyrotechnic Permit Number: FWP15.007 This permit gives Pyrotechnic ANTHONY W. SCHMIDT the authorization to use and discharge 1.3G and/or 1.4G fireworks at: MARINER'S MEMORIAL/SMALL BOAT HARBOR PARKING LOT,SEWARD,AK on the indicated date(s):JULY 04,2015 OR JULY 05,2015 for the purpose(s)of 4TH OF JULY, under the provision of AS 18.72.010-060 and 13AAC 50.025. rf g June 15,2015 Lloyd M. Nak.1 o,Acting State Fire Marshal Date THIS PERMIT IS NOT TRANSFERABLE 70 . . .1 :17,,,!.%, it , .. • .: .itig# 1./'"r•-,4771r ., 111 t .1 , ...-.r. .•,,..,0 ' a ;11 ‘ t i,i ti 11 .1 ' 611611111' : . '. ... . fr ill I to, • 1P:•,-.' I .' '... . 4i:ef. :. r. ,''. tt c..t , ■ -- !- i .. " ": i ... r i sis T• .i.A . _r 4 . , ''''.- • ..0. 14 : II • ■ 71 ,. 1,• ` if .4. ' - il, , !.---4:-,„ . , -• - .. . -- . • , E - 4. , - % itli i .e- ,-( _, . ,:• .. • • , . i . . ., - • ir.._ e" .. . • • 2,"*$-.,.' .im.■-•... dot! _ -II. , . . . . 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Al _II . - , •,. v 2015 1:3 00110 , - " Irliaq?.ry Elate: z-./1612011 130,00€ 53.1.0" tt 149125'11.50" IN el.2'., :0 ft vie aft ..1-- --- . :., AA..r.■*. - Sponsored by: Hunt ( - CITY OF SEWARD, ALASKA RESOLUTION 2015-059 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, ACCEPTING GRANT FUNDS IN THE AMOUNT OF $50,000.00 FROM THE KENAI PENINSULA BOROUGH FOR THE UPDATE OF THE SEWARD COMPREHENSIVE PLAN AND APPROPRIATING FUNDS WHEREAS, the current 2020 Seward Comprehensive Plan was approved by City Council on August 8, 2005 and forwarded to the Kenai Peninsula Borough for approval; and WHEREAS, during the last ten (10) years the community of Seward has experienced significant growth and change; and WHEREAS, the community and Council need an accurate and current Comprehensive Plan that expresses the community's desire for future growth and development; and WHEREAS, the Comprehensive Plan is a document the Council uses to manage and facilitate the decisions made in the growth of our community; and WHEREAS, Council approved Resolution 2015-008 requesting grant funding from the Kenai Peninsula Borough for the purpose of updating the 2020 Comprehensive Plan; and WHEREAS, the Kenai Peninsula Borough approved Ordinance 2014-19-47 which appropriated a $50,000.00 grant to the City of Seward for the Comprehensive Plan update; and WHEREAS, the Planning and Zoning Commission approved Resolution 2015-13 recommending the City Council accept the Kenai Peninsula Borough grant funds. 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 accept the $50,000.00 grant from the Kenai Peninsula Borough to update the 2020 Comprehensive Plan. Section 2. Funding in the amount of$50,000 is hereby appropriated from Miscellaneous Grant revenue account no. 30061-0000-4253 to contracted services account no. 30061-0000- 7009. Section 3. This resolution shall take effect immediately upon its adoption. 72 Agenda Stateme ;t r�OF,sets Meeting.Date: June 22, 2015 ;�% ��'o To City Council t Through: Jim Hunt, City Manager Ron Long,Assistant City Manager From: Donna Glenz, Planner Agenda Item: Accept the Kenai Peninsula Borough $50,000.00 grant for the update of the 2020 Comprehensive Plan BACKGROUND &JUSTIFICATION: The Seward Comprehensive Plan was last updated in 2005, and provides a guide for community development pertaining to land use, transportation facilities, economic development, public facilities and services. The 2030 Comprehensive Plan will be long range policy document adopted and amended by the City Council. The Plan establishes a vision for the City, provides policy guidance for growth and development and contains action items directed at the City to implement the vision. Y i During the last ten (10) years the community of Seward has experienced growth and change. The community needs to have an accurate and current Comprehensive Plan that expresses the community's desire for future growth and development. The Kenai Peninsula Borough provides for planning on area-wide bases in accordance with Alaska Statute 29.40.010. Council approved Resolution 2015-008 requesting grant funding from the Kenai Peninsula Borough for the purpose of updating the 2020 Comprehensive Plan. The Kenai Peninsula Borough approved Ordinance 2014-19-47 which appropriated a $50,000.00 grant to the City of Seward for the Comprehensive Plan update. The Community Development Department will coordinate the project on behalf of the City. The City planning staff will assist in providing planning documents, existing maps and in coordinating the Planning and Zoning Commission public workshops. The Planning and Zoning Commission will be the public forum used to track the progress of the project and will act in an advisory capacity at the request of the administration. CONSISTENCY WITH CITY PLANS Yes No N/A Comprehensive Plan (2020, approved by Council August 8,2005) 1. - a, Was written to provide a vision and guidance for growth and X development through the year 2020. Strategic Plan (Approved by Council Resolution 99-043): 2. Pursue the co hi mu m ity's vision through rigorous imple tatio;n of X the Comprehensive and Land Use Plans 73 • Ensure that all legislative and administrative decisions are consistent with the goals of the Strategic and Comprehensive L, Plans (Page 10 &Bullet 3) ( Seward City Code 15.05.010. -Seward Comprehensive Plan. From time to time, upon recommendation of the city council, the Kenai Peninsula Borough assembly shall by ordinance modify, adopt and 3. implement the Seward Comprehensive Plan. The plan is a public X declaration of policies reflecting community goals as expressed by citizens, and is meant to guide the actions of elected officials in setting forth the goals, objectives, and policies governing the future development within the city. INTENT: Council to accept the Kenai Peninsula Borough $50,000.00 grant for the update of the 2020 Comprehensive Plan FISCAL NOTE: There is no local funding required to match these grant funds. Approved by Finance Department: jecc`, ATTORNEY REVIEW: Yes No Not Applicable X RECOMMENDATION: Staff and the Planning and Zoning Commission recommend the Council approve Resolution 2015- °S , accepting the $50,000.00 Kenai Peninsula Borough Seward Comprehensive Plan update grant and appropriating funds. C> j 74 • Introduced by: Mayor,McClure Date: 03/17/15 Hearing: 04/21/15 Action: Enacted as Amended Vote: 9 Yes,0 No,0 Absent KENAI PENINSULA BOROUGH ORDINANCE 201449-47 AN ORDINANCE APPROPRIATING$50,000 FROM THE GENERAL FUND TO BE GRANTED TO THE CITY OF SEWARD TO UPDATE THE CITY OF SEWARD'S COMPREHENSIVE PLAN WHEREAS, the Kenai Peninsula Borough provides for planning on an areawide basis in accordance with Alaska Statute 29.40.010;and WHEREAS, goal 1.1, objective 7, of the 2005 Kenai Peninsula Borough Comprehensive Plan is to regularly update the Comprehensive Plan to reflect changing conditions, trends,laws,regulations and policies; and WHEREAS, on August 8,2005 the City of Seward approved the Seward 2020 Comprehensive Plan and forwarded it to the Kenai Peninsula Borough for approval;and WHEREAS, nearly ten years have passed since the City of Seward developed the Seward 2020. Comprehensive Plan and an update to that document would be appropriate at this time;and WHEREAS, the Seward City Council passed Resolution 2015-088 requesting grant funding from the Kenai Peninsula Borough for the purpose of updating the City of Seward Comprehensive Plan that would be submitted to the Kenai Peninsula Borough ` Assembly and Planning Commission for approval;and • WHEREAS, in a letter dated January 30, 2015, the Seward City Manager asked the Kenai Peninsula Borough to provide a one-time grant of funds to update the City of Seward Comprehensive Plan;and WHEREAS, the Kenai Peninsula Borough has,in the past,made grant funds available to cities within the borough for comprehensive plan development;and WHEREAS, the Kenai Peninsula Borough Planning Commission at its regularly scheduled meeting of April 13,2015,recommended approval by majority consent; NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KENAI PENINSULA BOROUGH: Kenai Peninsula Borough,Alaska New Text Underlined;[DELETED TEXT BRACKETED] Ordinance 2014-19-47 Page 1 of 2 • 75 SECTION 1. That the sum of$50,000 is appropriated from the General Fund fund balance to account number 100.21110.00000.43011, planning department contracts, to be paid to the City of Seward for the purpose of updating its comprehensive plan. SECTION 2. That this ordinance takes effect immediately upon its enactment. ENACTED BY THE ASSEMBLY OF THE KENAI PENINSULA BOROUGH THIS 21ST DAY OF APRIL,2015. T3-0vg Dale Bagley,Assembly resident ATTEST: c $ E :%%1 1 1 1 1 I I II l I p/ Jo Blankenship,MMC,Borough Cl F/l/llllliho\\ • Yes: Cooper,Haggerty,Gilman,Johnson,McClure,Ogle,Welles,Wolf,Bagley No: None Absent: None Ordinance 2014-19-47 New Text Underlined;[DELETED Tour BRAu ereD] Kenai Peninsula Borough,Alaska Page 2 of 2 76 Signature Authorization Form 40 Grant Program:City of Seward Comprehensive Plan Arireement Number: 100.21110.00000.43011 Effective Date 4/22/2015 to 6/30/2017 Name of Grantee City of Seward DUNS#and Tax ID# DUNS#037996634 TAX ID#92-6000086 Point of Contact Information 41:-> Program Manager,Chief Financial Officer,and Signatory Official must be three(3)different indi s. Primary and Alternate Signatories:Grant Award/Amendments and ' its Program Manager Name Donna Glenz Individual managing the project l PM Address City Hall Building-410 Adams Street—Sewa d AK 99664 PM Telephone 907-224-4048 ' PM Fax 907-224-4038 / M1 ,. ✓ PM Email dglenz @cityofseward.net Chief Financial Officer'Name Authorized to certify financial Kristin Erchinger, Fi ance Director Kim ilski-Rogers expenditures and records f `' � �x CFO Address same as above `� -a„-.7s,-:f:,:,,. ., • CFO Telephone 224-4064 ,/ CFO Fax 224-4038 Ilk CFO Em � 7kerchi 'f r @cityofseward.n.'' kimkr @cityofseward.net fe y' J5a Signatory Official I the Ja s - )ty Manager City Manager ; 1:_ FSignatory Official Address' taa7 as above Signato a! Telephone 90 ' ;ri, ,047 Si! ,,,ry Official N Fax 907-224-4038 Sig ._, Official vfail jhunt @cityofseward.net �W4 Signatures required by each of the above-named individuals. Project Man Signature and Date Chief Financial Officer Signature and Date Alternate Signature and Date Signatory Official Signature and Date Alternate Signature and Date Attachment C 77 v 41. KENAI PENINSULA . BOROUGHI`F F-554 GRANT AGREEMENT c3 Total Grant Funds Authorizing Ordinance KPB Account Number rant Award $50,000.00 02014-19-47 100.21110.00000.43011 ,..;T$50,000.00 Project Title Funding Source City of Seward Comprehensive Plan KPB general funds .. '`l'� h' P g `c . 4r,.. ' 1-s Z t P Grantee Borogh Contac Per n _ Name DUNS#037996634 Name City of Seward TAX#92-6000086 Bruce Wall,Planner Mailing Address Mailing Address PO Box 167 144 N.Binkley Str:: City/State/Zip City/State/Zip Seward,AK 99664 Soldotna,AK 9' ' y Contact Person Email Donna Glenz bwall@kpb.us r•~" Phone Email Phone Fax 907-224-4047 dglenz@cityofseward.net 907-714-2206 - 07-714-2378 The Kenai Peninsula Borough(hereinafter`Borough")and Ci /6Ne,ward(hereinafter"Grantee")al.;ee as set forth herein. Section I: The Borough shall pay Grantee for the perform• of '`, work under the terms outlined in this agreement.The amount of the payment is based upon project expenses in >)vhich "°r •:it� -. under this agreement.In no event shall the payment , exceed$50,000.00. `':-'' ( s. Section II: The Grantee shall perform all of the work required b-,!∎0 s agreement. Section III: The work to be perfo =`'u•'•- is agreement begin';:;_;'2 /2015 and shall be completed no later than 6/30/2017. Section IV: the agreement c• of this p.0,_ )and the following attachments: A. Scope of Work and U • - unds PaymentMethodan R ,•rting ' :4._i:. .W Standard Provisions `'' `' B. Financial/Progress Report ",:J - C. Signature Authorization Form "j-. , Certificate(s)of Insurance-provide, tntee Sectio 4 !, : Clerk shall contro i e original,including any attachments filed. ,tee Borough - Sign. 1., Signature: a Authorize :+.tory Name • .Title Authorized Signatory Name and Title James Hunt, -.. '';. ana..- r Mike Navarre,Mayor Date: Date: Attest: Johni Blankenship,Borough Clerk Approved as to form and legal sufficiency: l' Holly Montague,Deputy Borough Attorney 78 FY15 KPB Grant Agreement (/- - City of Seward—Comprehensive Plan Project Scope of Work and Use of Funds Project Description: The purpose of this Borough Grant is to provide funding to the City of Seward, hereinafter referred to as "grantee"for the purpose of completing a city comps,;, ensive plan. 1 r, z � Project Management I. #,/) N.:..,.'-, The project will be managed by the grantee. ' rantee. 3- 2. The City Manager, or such other person(s)as indicated on Atta A ent C, shall be desiao as the representative to receive or make all communications;; _ ding the performance or administration of this agreement. The Borough Communi% '_ r iscal Projects Manager as designated by the Borough Mayor is hereby designated 'e repres�, .tive of the Borough to receive or make all communications,payment reque%'l,.tt d re l a regarding the performance or administration of this agreement, and w13.1.44,-Tilte payment under this agreement.The parties may chonge their representative upo ' ,f en notification to the other party. Key Contact Information (�Zj Bruce Wall,Planner :r • z erg,Community&Fiscal Projects 714-2206 •bwall@kpb.us 4-21 , 4,1?„,. ..@kpb.us ( \' Kenai Peninsula Borough 'a;:a� i kl � 144 N.Biney St. , " Soldotna,AK 99669 \A akg) Project Approval ° The Assembly a ed and '�,mu ' .ra. d funds in the amount of$50,000.00 to the grantee through KPB Ordi'' ": ," '=` "-` : e shall cite KPB account number 100.21110.00000.430 _., 1 correspondence and reporting forms. G . . .'•s,or any earning- 'It - from,may be spent only for the purposes of the grant project . • t.,ove.Any monie used for purposes not authorized by this agreement shall be nded to : a 4 rough immediately after such expenditures,with or without demand by the orou .Rey'o amend the budget shall be submitted to the Community&Fiscal Projects .n. � q �� g ty Projects ` ager no less;;: , ninety(90)days prior to performance period end date. . fl) Attachment A—City of Seward Comprehensive Plan Project Initials 1 79 Project Performance Period ----. Period: The performance period shall be effective for the period commencing on April 22,2015 and ending on June 30,2017.The grantee must liquidate all obligations not later than June 30, 2017.Final comprehensive plan shall be submitted before July 10, 2017.The Borough shall have no obligation for payment of services rendered by the grantee which are not performed within this specified period. e,, , 'l" Request to Extend: Any determination to extend the project performance period4 , ely at the discretion of the Borough.A request to amend the performance period should a: :. tted not later than ninety(90)days prior to the established end date. 43 ' 0'04 Funding . 1. Source of Funds: a. Kenai Peninsula Borough general funds; b. All unexpended grant funds as of the end of the gr• eriod m.�: e returned to the Borough.Funds will be considered obligated if they - t,ac•4 . been expended or encumbered prior to the end date of the performance p- acid;K 2. Funds,or earnings there from, shall not be expended for the pu se- of lobbying activities before the Borough Assembly,the Alas. State Legislature or U.S. gress. Payment Terms and Reporting Reouirem °'°'= � 1. Payments: The Grantee will be compensate ,.:r up to and not exceeded$50,000.00 as approved by Kenai Pe 'I. la Borough Ord' . e 2014-19-47 upon executing the grant agreement. 2. Reporting Re' -ments: a. The Boro =;4 appr ; rgi a ed expenditures shall not be construed to mean that the Borough `,.r any any m:lr whatsoever if it is determined by an agency or court of competent j ,; .. tion that the grantee's project does not satisfy the statutory criteria. v • completion of' ; roject, but no later than ten days thereafter the agreement end • grantee shall provide the final comprehensive plan to the Borough Planning �h Corn . g,,on(reference Attachment B). -,c. The Gr agrees to refund any such amounts, including principal, interest, costs, fees, fii�: er charges, if it is determined by a court of competent jurisdiction that the '3. • expenditure of the funds does not meet the statutory criteria. d. geement is not to be construed as entitlement to grantee receiving the future allocation of the Borough's funds. e. Failure to meet the reporting requirements set forth in this agreement may result in the Borough requiring full refund of this grant award in the amount of$50,000.00. Attachment A—City of Seward Comprehensive Plan Project Initials 2 80 Mail OR Email Final Comprehensive Report to: Bruce Wall,Planner 714-2206 •bwall@kpb.us Kenai Peninsula Borough 144 N.Binkley St. Soldotna,AK 99669 Standards for Financial Management Financial Management System: 1. The grantee will maintain an accounting system and a set of account _ ecord at a minimum, allows for the identification of individual projects by source of revenue expenditures related to this project. 2. All costs will be supported by source documentation.Gran :hall retain all contracts, invoices,materials,payrolls,personnel records, conditi. . employment, and other data relating to matters covered by this agreement for a p- of three ,ears after the completion date of the agreement,or until fmal res. on of• i •'t findings, claims,or litigation related to the grant. 3. The grantee's accounting records will be the basis for ge •ng fmancial reports which must reflect accurate and complete data.In addition, finance. ords must be properly closed out at the end of the project period and all reports subm a timely manner. Procurement Standards The Grantee agrees to use a competitive pro a a ocurements for goods and services. These standards include but are not , o the following: 1. Grantee may use its own procurement p •ies provided that they adhere to the applicable standards; • 2. Grantee shall , k i .de of conduct ' h shall govern the performance of its officers, - ees or a ,'is in contracting with or expending grant funds; and 3. All proc ••ent trans. hall be conducted in a manner so as to provide for maximum • an. Monitoring . _ •tee may receive an on-site review from the Borough,or its authorized repress ives.Monitoring staff may review project and financial activity relating to the terms o agreement.Upon request,the Borough shall be given full and complete access to information related to the performance period of this agreement to ensure compli.. ° with the project activities and consistently applied costs. e ee shall provide the Borough and its authorized representatives all technical .ssistance and information needed to enable the Borough personnel to perform its monitoring function. This assistance from the grantee includes, but is not limited to, information about the grantee's project operation, accounting and data-base systems. Program and Financial Deficiencies: 1. Through audits,reviews,monitoring or other means,the Borough may find the grantee to have program or fmancial deficiencies in the performance of the agreement. Such Attachment A—City of Seward Comprehensive Plan Project Initials 3 81 deficiencies may include, but are not limited to,the areas of accounting, financial controls,budgeting, and/or project compliance issues.If deficiencies are found,the I� Borough may require the grantee to take corrective action and to submit a written corrective action plan to address identified deficiencies.All corrective action plans must be accepted by the Borough or its authorized representatives.Any corrective action must be satisfactorily completed within thirty days from the date of written notification. 2. The Borough, in its sole discretion,may require the grantee to submit periodi 4-ten verification that measures have been taken to implement the corrective acti, the grantee fails to demonstrate its compliance with the approved corrective - I plan within the time constraints set by the Borough,the Borough may, at i ' i ercise its rights to terminate the agreement. The Borough may exercise an the o ' is and remedies available to it at law or in equity. Standard Provisions 1. No Maintenance or Further Funding Responsibility signin. • agreement, grantee certifies that it will not ask the Borough to operate or . .in it ti am, except as may be otherwise agreed to in writing signed by both parties. . rstands, acknowledges and agrees that the Borough shall not be responsible for any es,programs, maintenance,operations,or further funding to grantee,or actio .ted thereto,and has not, and will not assume any such responsibility, all of such to be the s i d exclusive responsibility of grantee. 2. Defense and Indemnification: The Gr. -e sha -•it, defend, save and hold the Borough, its elected and appointed office g= and e 'oyees,harmless from any and all claims, demands,suits, or liability of any n ,kind or character including costs, expenses, and attorney's fees resulting from grantee o ntee's officers, agents,employees,partners, attorneys and suppli• •rmance or fail '• perform this agreement in any way whatsoever. This - . "se . . 'ndemnification ponsibility includes claims alleging acts or omissions by orough • s agents,which are said to have contributed to the losses, failure, viola. or da si - - er,grantee shall not be responsible for any damages or claim arising fr. 4 e - e _ willful misconduct of the Borough, its agents, or employees.Gran . also not be required to defend or indemnify the Borough for damage or loss that h.• ' -- found to be attributed to an independent party directly re ••nsible to the Boro der separate written contract.If any portion of this clause is aw or court of V. petent jurisdiction,the remainder of the clause shall remain in full for effect. ' Relationshi f Parties: Nothing herein contained shall be deemed or construed by the arties here +or by any third party, as creating the relationship of principal and agent,or of ••I ersh.• of joint venture between the parties hereto, it being understood and agreed t . method of computation of payment nor any other provision contained herein,nor any . , : of the parties hereto, shall be deemed to create any relationship between the parties hereto other than the relationship of Borough and independent grantee of funds. 4. No Exclusive Service; No Property Interest: The grantee understands, acknowledges and agrees that all supplies, materials and equipment purchased with the grant funds shall be and shall remain the property of the grantee, subject to all applicable State statutes and Federal regulations. Attachment A—City of Seward Comprehensive Plan Project Initials 4 82 5. Termination. The Borough may terminate this agreement, by written notice,when it is in the best interest of the Borough. In the event that grantee does not perform the tasks as required in this agreement, or does not submit any required reports for verification of performance,the Borough may exercise its option to terminate this agreement. 6. Permits, Taxes and Adherence to Local, State, and Federal Laws: Si Li,' of this agreement does not, in any manner, excuse grantee from complying with . ether law, Alaska state statute or regulation, or Borough ordinance or regulation. . -- must in all cases adhere to all local, state and federal laws and regulations that pert& p• funds,to the services performed pursuant to this agreement, and related to •ges, t social security, workers compensation, nondiscrimination, licenses, permits, and re: • ion requirements. Grantee shall pay all taxes pertaining to its performance under this agr-- and shall acquire and maintain in good standing all permits ses and other entitlem- necessary to the performance under this agreement. 7. Jurisdiction; Choice of Law: Any civil action aris' ,m this • ement shall be brought in the superior court for the Third Judicial District of the , aska at Kenai. The law of the State of Alaska shall govern the rights and obligations o 40 arties. 8. Non-Waiver: The failure of the Borough at any time to - e a provision of this agreement shall in no way constitute Over of the provisions, in any way affect the validity of this agreement or any p. _ or the right of the Borough thereafter to enforce each and every protection hereo o co$ - s r provisions of this grant agreement can be waived unless approved by t h e : .u: Waiver by the Borough of any non-compliance by grantee, or excusing o .ding performance, shall not be considered a waiver of any other rights of the Borough o waiver of the right to terminate in the event of future breaches. 9. No Third-Pa eficia This agreement is intended solely for the benefit of each party hereto. Noth' ontaine' -'I shall be construed or deemed to confer any benefit or right upon any thin I 1. • 10.Environmental Re ents: The grantee must comply with all environmental standards, to include those prescri• nder State of Alaska and Federal statutes and Executive Orders. • ntire •ment: This agreement represents the entire and integrated agreement between the Borou s d grantee, and supersedes all prior, inconsistent negotiations,representations or agreeme I whether written or oral.This agreement may be amended only by written strument s d by both the Borough and grantee. Attachment A—City of Seward Comprehensive Plan Project Initials 5 83 • KENAI PENINSULA BOROUGH 144 North Binkley Street• Soldotna,Alaska 99669-7599 PHONE: (907)714-2206 • FAX: (907)714-2200 Q NAi� EMAIL: bwall @kpb.us FROM: City of Seward • Contract Amount: $50,000.00 KPB ACCOUNT:100.21110.00000.43011 Ending:June 30, 2017 Financial / Progress Report Submit Report To: Project Name: City of Seward Compr ive Bruce Wall,Planner Date: bwali @kpb.us Report No.: Kenai Peninsula Borough 144 N. Binkley St., Soldotna,AK 99669 1'INANCIAL REholzr: The final comprehensive plan i not I han June 30, 2017. Expenditures Total Authorized Expenditures Balance of Cost Category Budget from Last This Period nditures to Funds Report to $ 50,000.00 Personnel - $ - Travel - - $ - Contractual - $ - Supplies - $ - Other - - - $ - - $ - TOTALS $ • • - $ - - $ 50,000.00 Advance funding $ 50,000 00 Expenditures app ' advan• - Remaining Advance L. $ 50,000.00 P R o o R ES S RE P o R l': De - activities that have occurred during this reporting period. Describe any chall-•. - •u may have experien, i y foreseen problems,and/or any special requests. Attach additional pages. 4 Grantee Certification:I certify that the above information is true and correct,and that expenditures have been made for the purpose of,and in accordance with,applicable grant agreement terms and conditions. Signature: Date: Printed Name and Title: James Hunt,City Manager Attachment B—City of Seward Comprehensive Plan 84 • Sponsored by: Staff • CITY OF SEWARD,ALASKA PLANNING AND ZONING COMMISSION RESOLUTION 2015-12 A RESOLUTION OF THE PLANNING AND ZONING COMMISSION OF THE CITY OF SEWARD, ALASKA, RECOMMENDING THE CITY COUNCIL ACCEPT A $50,000.00 KENAI PENINSULA BOROUGH GRANT FOR THE SOLE PURPOSE OF UPDATING THE 2020 SEWARD COMPREHENSIVE PLAN WHEREAS, the current 2020 Seward Comprehensive Plan was approved by City Council on August 8,2005 and forwarded to the Kenai Peninsula Borough for approval;and WHEREAS, it has been nearly ten (10) years since the update and approval of the current 2020 Comprehensive Plan;and WHEREAS, during the last ten (10) years the community of Seward has experienced significant growth and change;and WHEREAS, the community needs an accurate and current Comprehensive Plan that expresses the community's desire for future growth and development;and WHEREAS, Council approved Resolution 2012-088 requesting grant funding from the Kenai.Peninsula Borough for the purpose of updating the 2020 Comprehensive Plan;and WHEREAS, the Kenai Peninsula Borough approved Ordinance 2014-19-47 which appropriated a$50,000.00 grant to the City of Seward for the Comprehensive Plan update;and WHEREAS, the Comprehensive Plan is a document the Planning and Zoning Commission uses to provide recommendations to the City Council;and - WHEREAS, the Comprehensive Plan is the guide the Council uses to manage and facilitate the decisions made in the growth of our community. NOW, THEREFORE, BE IT RESOLVED BY THE PLANNING AND ZONING COMMISSION OF THE CITY OF SEWARD,ALASKA that: Section 1. The Planning and Zoning Commission recommends the Seward City Council accept the $50,000.00 Seward Comprehensive Plan Update Grant from the Kenai Peninsula Borough and appropriate funds. 85 CITY OF SEWARD,ALASKA RESOLUTION 2015-12 Section 2. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the Seward Planning and Zoning Commission this 2°d day of June 2015. THE CITY OF SEWARD,ALASKA Cindy Ecidund,Chair AYES: Fleming,Swarm,Coulter,Anderson, Seese NOES: None ABSENT: Cindy Ecklund ABSTAIN: None VACANT: One C ATTEST: Johanna Kinney,CHIC City Clerk (City Seal) 86 i"- City of Seward,Alaska Planning Commission Minutes June 2,2015 Volume 7,Page 145 New Business Items— Resolution 2015-12 of the Planning and Zoning Commission of the City of Seward, Alaska, recommending the City Council accept a $50,000.00 Kenai Peninsula Borough grant for the sole purpose of updating the 2020 Seward Comprehensive Plan Glenz explained the support of the $50,000.00 grant from the Kenai Peninsula Borough. It was noted the Comprehensive Plan Update took several years to a'Isle. Glenz noted the Community Development Department was responsible for the !t"dinatibn of the project on behalf of the City and the Commission was responsible to hold ,,,,- �'1, ,:c meetings to take input as the plan is updated. "r' Motion (Swann/Anderson) A i '` 'esoiution i :.,r 3 Fleming asked staff if the$50,000 grant was ade the w required.i,;-- -/i 4 i Glenz said that $50,000 appeared to be the current ire Kenai Peninsula Borough was providing communities to help fund the . !date their Comp ve Plans. She noted the last plan update received a$30,000 grant. Until } i„ tors were solic t was difficult to know if the grant funding was adequate or not. '';'s" grant '',-4"i,';, ' ,. 1 hi response to Anderson, Glenz said the job y,-de.; • • fished and that staff planned to make every effort to comp dry Ask on sch In response to Seese� .i t.1 t noted 1,;t City would - •vide support via its paid staff,but not bill the grant directly. , A r id I. Fleming as sav . plaii' :r tuneluie '+ t 19'=proposed update and the work that was done on previous. .'It Gle s/:-:. :4e current 20 . i m P reh lsive Plan was adopted by City Council in August 2005. She noted i',.0,-„,an update h :` egun in 1998 and took seven years to complete. Glenz explained there had b-- ver proble,4 with the contractor and that a second firm had been hired to complete the ups . 4 y Seese stated the propoy' update was a substantial amount of work and would take a considerable amount of staff time. Glenz said the City will do everything possible to complete the task with the resources provided. Motion Passed Unanimous \ Set June 16,2015 Work Session Topic 87 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39,Page CALL TO ORDER The May 26, 2015 regular meeting of the Seward City Council was called to order at 7:00 p.m. by Mayor Jean Bardarson. OPENING CEREMONY Police Lieutenant Doreen Valadez led the Pledge of Allegiance to the flag. ROLL CALL There were present: Jean Bardarson presiding and Iris.Darling Christy Terry David Squires Dale Butts comprising a quorum of the Council; and Jim Hunt, City Manager. Johanna Kinney, City Clerk Absent—Marianna Keil,Ristine Casagranda CITIZEN COMMENTS ON ANY_-;SUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING Tim McDonald said there were six swan babies in the water on Nash Road. He was interested to know how the sludge dredging contract was going at the sewage lagoon and how much had been'dredged. APPROVAL OF AGENDA AND CONSENT AGENDA Motion (Terry/Darling) Approval of Agenda and Consent Agenda Butts placed Resolution 2015-051 on the consent agenda with no objection from council. Bardarson added scheduling a work session to discuss questions for the Seward Community Health Center Capital Grant/Due Diligence Process under Other New Business Items. Motion Passed Unanimous The clerk read the following approved consent agenda items: Schedule a work session to review the 2014 audit results for 5:30 p.m. on Monday,June 22, t. 2015. 88 • City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39, Page Approve the Public Convenience/Eating Place Liquor License application for The Sea Bean, LLC. Resolution 2015-051, Accepting A Grant In The Amount Of $2,923.20 From The Alaska Highway Safety Office For The DUI High Visibility Enforcement Campaign During The 2015 Enforcement Periods Of Independence Day(July 3-5,2015)And Labor Day(August 19-Sept 7, 2015)And Appropriating Funds. SPECIAL ORDERS, PRESENTATIONS AND REPORTS Proclamations & Awards Recognition for Lila Hurst for her volunteer work at the Seward Animal Control Shelter. Chamber of Commerce Report.Cindy Clock said the chamber buildinghad some exterior remodeling done and she was happy about how good#,looked. Melody Hatch was'a r�;. new part time 4 addition for the chamber.Approximately 90 people attended the recent public free customer service seminar hosted by the chamber. Foot traffic through the visitor's center was picking up and their membership drive would begin next month.Currently,there were308 chamber members;the largest group of members was the small business owner x Clock emphasized-the rewards in belonging to the Chamber of Commerce. She thanked Terry letting the,chamber know that the Norwegian Cruise Line sales team was visiting Seward; the chamber was able to find`them and present them with Seward gift bags. Their first ship was June 1, 2015, which` was also the start of the halibut tournament. City Manager's Report.Jim Hunt said there were no purchases since last meeting.Benches for the bus stops around town had been ordered and would be here in about two weeks. Hunt asked the citizens to please sweep their sidewalks. The City Managergave a brief update on the Lowell Point Sewage Lagoon dredging project and explained the company added 40 bio;domes over the aerators at the bottom of the lagoon. He reported the contractor was running under budget and was on schedule. In response to Squires,Hunt said the project had been well documented with photos,which would be helpful in future maintenance. Butts asked about the recent clean-up at the Seward Marine Industrial Center(SMIC)Sewage Lagoon and if staff found out what exactly happened with the situation that caused the beach to be severely littered. Public Works Director W.C. Casey stated the contractor was working round the clock at SMIC with city staff monitoring the area about 8-10 hours a day. In the final stages of pumping, the matter from the sewage lagoon had to be hauled and not drained down by water. In hauling throughout the night,and in the process of cleaning the lagoon out and sucking up the debris as planned,something got clogged or ripped and various types of condiment packages went through the discharge.As soon as that was realized the project was halted and the Public Works staff started { hauling and cleaning immediately. Casey stated it was clean over there now, his crew walked the entire area and found it to be clear of all debris. He called the Alaska Department of Environmental Conservation(ADEC),who did an onsite visit and thought the city did a good job responding to the 89 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39, Page situation. Casey added the prison assisted with staff and inmates to help clean up around fenced areas. In response to Terry, Casey stated there was not a final report prepared by ADEC at this point,but he could distribute to council what the city filed to ADEC.In response to Squires, Casey confirmed staff went into Spring Creek to make sure there was not debris in the creek. In response to Bardarson,Hunt said the notice to bid for the SMIC Breakwater Construction project went public today.In regards to the state paving project in the city;Casey stated staff needed to get the rights of way certified,so either a Request For Proposals or solicitation of quotes would be forthcoming.That would be the last requirement of the city before;tle state began the project. When Casey submitted the rights of way certification to the state,he would ask for a timeline schedule for this project. Hunt stated the city would be enforcing the nuisance and health codes,and a4d abatement letters would be going out to have people clear and clean their.lots.He felt good progress had already been made with this approach. Butts asked if they had come up with ideas on making;this council more paperless. City Clerk Johanna Kinney stated she was prepared to bring council a cost estimate of using electronic tablets in place of paper agenda packets during this yeaes budget session. Other Reports,Announcements an&Presentations PUBLIC HEARINGS • Resolutions Requiring A Public Hearing Resolution 2015-045,Authorizing.The City Manager To Enter Into A Lease Amendment With Alaska Logistics I-LC For Lot 2,Block 3 Fourth Of July Creek Subdivision, Seward Marine Industrial Center,-,Kenai Peninsula Borough, Plat No. 97-27 Seward Recording District,Third Judicial District, State Of Alaska. Motion (Terry/Darling) Approve Resolution 2015-045 Hunt stated he recommended council pull this from the agenda,because this amendment was lacking some development provisions. Terry was confused because the lessee had signed the agreement and questioned how the city would be able to renegotiate. She felt it was regressive bargaining and would like the attorney to weigh in on that aspect. Terry said she would be willing to postpone this, if needed. Motion to Postpone (Darling/Squires) Postpone Resolution 2015-045 to the June 22, 2015 meeting, with a new public hearing notice. Council recessed at 7:40 p.m. 90 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39, Page (� Council resumed at 7:45 p.m. Addressing the timeliness of this lease amendment,Deputy/Acting Harbormaster Norm Regis said delaying this resolution shouldn't affect things with Alaska Logistics because their lease expired in 2014 and they were currently paying month to month. To allow for more discussion, the motion to postpone was withdrawn with no objection from council. Notice of the public hearing beingposted and published as required bylaw was noted and the public hearing was opened Tim McDonald said there wasn't much information`.given''to the council to make this decision. This appeared to be a 99 year lease. McDonald wasn't against*Lease that long, but the company didn't even have a building at this point.Unless:the city had some protections in the lease, this didn't seem warranted. He said the council needed to ask themselves what guarantees did the city have.Alaska Logistics didn't have a proven track record with the city,as they only been in Seward for five years. No one else appeared.to address the Council and the public hearing was closed. Motion to Postpone(Darling/Squires) Postpone Resolution 2015-045 to the June 22,` 2015 meeting, with a new public bearing notice. T Terry said she would like to see on all legislation where the city was disposing or leasing land that the Municipal Lands.Management Plan was being reviewed in the consistency checklist. Motion to Postpone Passed Unanimous Resolution 2015-046,Authorizing The City Manager To Enter Into An Agreement With The Kenai Peninsula Housing:Initiative"(KPHI), Donating Approximately 1.7 Acres Of The Southern:Portion Of Lot 11A, Fort Raymond Subdivision Replat Number 1, For The Sole Purpose Of Developing A Non-Income Based Independent Senior Housing Facility Upon Condition Of "KPHI Being= Awarded All Other Necessary Funding For The Project Development And Completion. Motion (Squires/Terry) Approve Resolution 2015-046 Hunt said the council held two previous public hearings on this matter, initially with a different location proposed at Williams Park. After much input, another potential property was identified in the Fort Raymond Subdivision as a suitable location. Staff was now asking council to consider donating this property. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. 91 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39,Page John French was attending tonight's meeting on behalf of the Historic Preservation Commission. He was there to answer any questions that may come up. The Commission reviewed this per the request of the City Council. The commission supported this resolution. They did recommend additional conditions,however. Because Seward was established as a Certified Local Government(CLG),the commission felt it was a responsibility of the city to survey those properties with respect to historical importance. Those properties need not be large physical structures; they could be archeological as well.The commission recommended a historic and archaeological survey be done prior to transfer of property. It would be valuable for the city to find a way to do an archaeological survey of the vacant parts of the Fort Raymond track::He reminded council not all history was easily identifiable. Steven Rouse,Executive Director of the Kenai Peninsula Housing Initiative(KPHI),offered two clarifications on this project.The group anticipated two six-plex buildings total for this project, broken into two phases.The group would like to utilize the entire 1.7 acres for housing with required buffers surrounding. KPHI would have to conduct a 13 point environmental assessment of the property; one of those points would have to be a letter-from the State Historic Preservation Office (SHPO)determining if there was any historic impact. Rouse reminded council the deadline for site control and grant possibilities was rapidly nearing and delaying this could jeopardize the project for this year No one else appeared to address the Council and the public hearing,was closed By unanimous consent,council suspended the rules'to allow John French and Steven Rouse to G' y � P , � answer questions of the council In response to Squires,French said the Seward Historic Preservation Commission(SHPC) was not an expert commission, and that the expertise Iied in the State Historic Preservation Office. Because of this,the SPHC did not do a thorough`:investigation of the area French stated the SHPC was primarily concerned with any World War II history that could be underground. He was more confident after Rouse's comments about KPHI's required environmental assessment which included getting'input from SHPO. Rouse,said KPHI wouldn't be able to proceed with development until they got approval from 13 agencies,one being SHPO,.stating this land was of no historical significance, or if it was of historical significance, how they should proceed ahead. Motion Passed Unanimous UNFINISHED BUSINESS Items postponed from Previous Agenda. Discussion on State of Alaska's Department of Transportation Building in Seward. (added by Bardarson,postponed from March 23, 2015) Hunt stated this had been a long path and the State Department of Transportation(DOT) offices on B Street had been there a long time.He recently was able to communicate with the state 92 City ofSeward,Alaska City Council Minutes May 26, 2015 Volume 39, Page last week and expressed the need for additional land in Seward.Hunt was going to encourage the state to engage in a dialogue to consider options for obtaining or switching this land. He would keep the council updated as there was more information. NEW BUSINESS Resolution 2015-047,Affirming That The Council Must Authorize The Seward Community Health Center's 2015 US Department Of Health And Human Services'Health Infrastructure Improvement Program Grant Application. Motion (Terry/Squires) Approve.Resolution 2015-047 Hunt said this was a reiteration of Resolution 2015 029 to apply ti'for the aforementioned grant.What was not mentioned in the first resolution,and What was promised by administration,was confirmation that the approval of the project mayrbe rescinded prior to 'the submittal of the application. The council was the funding power as the legislative_.body. Squires wanted to know if they were going to have any work sessions with the Seward Community Health Center(SCHC) and how the city was going to fund such a project as this grant was tied to Hunt said the city administration andcouncil had some;important decisions to make if they proceeded ahead with this grant project, including funding Motion to Amend (Bardarson/Terry) Amend'Resolution 2015-047,by amending 'the last Whereas as follows: "WHEREAS, such approval may be rescinded prior to- , .,,'submittal-ef-the-applieatien September 1, 2015." Motion to"Amend Passed Unanimous Motion to Amend (Bardarson/Terry).: Amend Resolution 2015-047,by amending Section 1 as follows: "The Seward City Council directs the City Manager to bring forward a resolution by August 10,2015 to formally authorize the Seward Community Health Center's submission of application process with the US Department of Health and Human Services' Health Infrastructure Improvement Program grant application." Motion to Amend Passed Unanimous Main Motion Passed Unanimous Resolution 2015-048, Authorizing The City Manager To Amend The Contract With CRW Engineering Group, LLC And Increasing The Contract In The Amount Not To Exceed 93 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39,Page $178,830 To Provide Construction Support Services For The North Seward Water Storage Tank And Pumping Facility Project. Motion (Terry/Squires) Approve Resolution 2015-048 Casey said the North Seward Water Storage Tank and Pumping Facility had been a long project. When the engineering contract was let, it was originally considered to include project • management,but after review it was ultimately decided to address it at a later time.The new Project Manager had become very involved in this and was doing a great job..Casey stated he needed a registered engineer for this project.He did not anticipate the cost ofthis service to actually come to the full amount of the contract;it was an estimate he received from CRW.It was imperative to have them on this project,he felt Fortunately,this was negotiated down to the price before the council, "tc•is}"s� and he emphasized again he didn't expect to spend the entire amount. Squires asked if a demolition of the old tank.would be performed and who:would be involved in that Casey said it would involve the city very little and confirmedthe city would betaking out and rerouting piping. s. In response to Bardarson, Casey rioted it was originally stated it would be a 600,000 gallon water tank going in, and in the later letter from CRW it was noted as a 500,000 gallon tank. Casey •said this was a housekeeping measure,and was actually;fairly minor m nature since the tank does not carry at full capacity. He noted•this new tank would-double.the current storage. In response to Darling, Casey said the city would be billed for time and materials. Bardarson asked if they initially hired a company to do the engineering and do the bidding. Casey stated in 2001 the idea began with the 'study of the water and sewer system analysis, identifying capital future needs aid system,issues the city had In 2007,the city entered into the first contract with CRW for engineering services . •asey stated the original contract was for design engineering services, not construction support services. Bardarson asked if spreadsheet of project costs could be provided to council,onthis. In response to Terry,Casey said December 31,2015 was the deadline for completion of this project. He anticipated to be within the budget and was working with finance to get an accurate accounting of the overall projectcosts. Motion Passed Unanimous Resolution 2015-049, Authorizing The City Manager To Enter Into A Professional Services Agreement With M.L.Foster&Associates To Provide Additional Engineering Services And Construction Support For An Amount Not To Exceed $58,000. Motion (Terry/Squires) Approve Resolution 2015-049 Casey some of this wort :had already been performed. With the immediate need to move forward on completion of the•Sewage Lagoon Dredging and Disposal Project,and to satisfy Alaska ( t: . Department of Environmental Conservation(ADEC),he anticipated this engineering service would fall under $50,000. Some elements in the dredging project had changed, including allowing the 94 City ofSeward,Alaska City Council Minutes May 26, 2015 Volume 39,Page addition of bio domes and other advantageous features,so the engineering services cost increased as well. Casey stated he needed to pay M.L. Foster for services already performed, and services yet to be performed. • In response to Terry, Casey said this contract amount would be in addition to any previous purchase orders. Qn the city's behalf,M.L. Foster was sending the state weekly reports for several months now.Casey estimated thecity has spent approximately$98,000 on the two lagoons so far for engineering services. Darling would like to see these engineering firms go out to bid. She understood they likely couldn't do that in this situation,but other companies should be allowed to compete.The city should be totally objective. This firm-had--been in business with the;city for some time now, and other companies should be given the opportunity to bid on these services. Squires said this didn't include the breakdown,in costs and wanted it to havemore detail.He didn't doubt it was justified but would like to see-why the increase in cost . wanted administration to look at how t iey;handled their contracts Council-should get more input early on in the process so they were prepared by;the time it came to them for approval.He felt they needed to do better. Council requested the expenses reported out and the letters updating ADEC.Administration said they would get that to council and Casey,noted the project was under budget. Darling said when these little,costs keep coming back to the council;they are questioned as to why the additional costs. Motion Passed - `!'Unanimous Resolutions 2015-050 °Authorizk The City Manager To Enter Into A Contract,With Jordan Meter Services,For The:Reading Of Electrical Meters Within The City Of Seward Electric Service Area For An Amount Not To Exceed $60,000 And Appropriating Funds. Motion (Terry/Squires) Approve Resolution 2015-050 Hunt said the original eontract expired in June 2012,after a three year extension option.That three year option ended and a new contract was needed. Motion to Amend (Darling/Squires) Amend Resolution 2015-050 to change any references from a three year contract to a one year contract. Darling said this might be a good idea because new technology like smart meters and auto meter reading systems were starting to become more popular. In response to questions of the council,Electric Utility Manager John Foutz clarified that the meter readers were paid per meter. 95 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39,Page In response to Butts, the city would change to smart metering, not the customer. He'd (,- researched this new type of metering and it was very costly to pursue, but he was continuing his research. Hunt added the return on the investment would take a long time to pay off this cost and start saving funds. City Clerk Johanna Kinney asked administration if the city went out for proposals with a three year contract as part of the scope of the contract.Administration confirmed that was the case. Kinney stated if council wanted a one year contract, it would be safer to fail this resolution and go back out for a new Request For Proposal. With no objection from council, Darling and Squires withdrew theirmotion to amend. Motion Passed Unanimous Other New Business Items Vote and appoint two applicants to the Historic Preservation Commission for a term toeExpire May 2018. Applicants are Linda Lasota,Sandie Roach',and Frederick Woelkers. Receiving five votes each, Lasota and Woelkers were appointed to the Historic Preservation Commission. ; 4 Schedule a work session to discuss questions for the Seward Community Health Center (% Capital Grant Project/Due 'Diligence Questions. Council scheduled this work session for Thursday,June 18,.2015 at 50 pm. INFORMATIONAL ITEMS AND*EPORTS March 2015 Financial Reports for;Providence Seward Medical and Care Center. COUNCIL COMMENTS,:- • • Terry was glad they were having a work session on land disposal policies and procedures. She wasn't sure they followed:Ore same process anymore. It addressed a good timeline that if followed,maybe wouldn't l-ave,had the issues they had tonight with reviewing the lease amendment for Alaska Logistics. • Butts congratulated Lila Hurst for her work in the Seward Animal Shelter.He congratulated the new graduates of 2015. Butts noted there was a new young moose in the city limits and asked everyone to please watch out for them as moms were protective. He wished his wife a Happy Birthday today. Squires attended the Memorial Day celebrations at the American Legion and it was very moving. It had great community participation and he said it was always nice to remember our forefathers. He was disappointed the kids fishing event at First Lake turned out poorly. 96 City of Seward,Alaska City Council Minutes May 26, 2015 Volume 39,Page Darling said the museum had done a gorgeous remodeling job and there was an upcoming open house. Bardarson said the environmental science class at the high school sent her letters on recycling and trash. They were very well done and good information given. She would leave them with the clerk if anyone wanted to see them. Hunt had an additional comment to his manager report.He recently received a letter from the Director of the Department of Corrections regarding the status of.tie community regional jail funding.A new formula had been determined by the state due to the extreme state budget cuts,which was if a community jail didn't have a certain percentage capacity rate for the 2013-2014 state budget year,the community budget would be cut.For Seward,that would be'a reduction of approximately 45%. Hunt intended to speak to the state about this and would do everything he could. He emphasized it was important for it to be understood that t1e city needed to te4gepared and cutting this budget would be costly.for?ERS studies, among other things. CITIZEN COMMENTS Sue McClure said the Brown and.Hawkins exhibit was up,at the museum.A special showing of the new exhibit was May 28, 2015 She encouraged folks to come by and take a look. McClure thanked Squires for coming to the Memorial Service at;the American_Legion. It was good to see council and city participation and noted it was a nice event The,annual cemetery walk was June 21, ` 2015 beginning at 10:30 p.m. The public had.one more opportunity to weigh in on the Kenai Peninsula Borough budget next Tuesday,but comments would have to be presented in person. Patrick Linton:thanked1Cio. cil and administration for moving the process forward for the Seward Community Health Center(SCHC) grant project.Even though the SCHC was trying to do their due diligence on the capital grant,it was up for everyone in the community to make a good and through decision by early August Linton thanked the City Council for scheduling the work session on this project. COUNCIL.AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS—None ADJOURNMENT The meeting was adjourned at 9:23 p.m. Johanna Kinney, CMC Jean Bardarson City Clerk Mayor (City Seal) 97 City of Seward,Alaska City Council Minutes June 8, 2015 Volume 39,Page CALL TO ORDER The June 8,2015 regular meeting of the Seward City Council was called to order at 7:00 p.m. by Mayor Jean Bardarson. OPENING CEREMONY Lieutenant Doreen Valadez led the Pledge of Allegiance to the.flag. ROLL CALL There were present: Jean Bardarson presiding,and Marianna Keil Ristine Casagranda Christy Terry David Squires Iris Darling comprising a quorum of the Council; and Jim Hunt, City Manager Johanna Kinney, City Clerk Will Earnhart, City Attorney Absent—Dale Butts CITIZEN COMMENTS ON ANYSUBJECT EXCEPT THOSE ITEMS SCHEDULED FOR PUBLIC HEARING 5laryl Seese thanked council for their letter of support for the volunteer hospice program in Seward.The group pursuing.this,who was under Seaview Community Services,was awarded a grant to determine the feasibility of'a volunteer hospice program. Seese invited the council to a meet and greet event Thursday at the'museum to find out what this program was about. She thought a volunteer hospice program would help everyone in the area in a time of need. Tim McDonald spoke on the council meeting and pointed out this was a council meeting and it was the public's chance to see how the city was working. He looked up records, and it was the mayor's prerogative to point out a point of order.Administration was out of order at the last meeting for their comments in saying he was out of order.Comments like this didn't give a good impression of the relationship between the public and the administration.McDonald stated the public needed to trust the council and the administration and admonished administration for their comments last week. Richard Noren asked for a variance or exception to the city's garbage removal requirement policy. He had received a bill and didn't understand why he was being forced by the city to do business with a vendor. Noren paid taxes for the transfer station and used it. The city was forcing (. mass amounts of people to use a service he didn't think they should have to use. Things like wind and wild animals kept Noren from using the garbage pickup service and so he took his garbage to the 98 City of Seward,Alaska City Council Minutes June 8,2015 Volume 39, Page ( dump once a week and also recycled.. He had lived here for five years and all of a sudden it was a problem.Noren asked the council to look at the welfare of the community. APPROVAL OF AGENDA AND CONSENT AGENDA Motion(Keil/Casagranda) Approval of Agenda and Consent Agenda Terry moved Resolution 2015-053 to the consent agenda with no objection from council. Motion Passed Unanimous. The clerk read the following approved consent agenda items; Resolution 2015-053, Accepting The 2015 Volunteer Fire Assistance•Grant (VFA) In The Amount Of $6,170.10 And Authorizing The„10%o Matching Funds Of $685.50 And Appropriating Funds. Resolution 2015-055, Setting The Mill Rate(Unchanged)Ii, r 2015,At 3.12 Mills. Resolution 2015-056, Supporting The Qutekcak Native Tribe's Federal Recognition Efforts. Approval of the April 27,2015 and the May 11,2015 Regular City Council Meeting Minutes. , Approve the Public Convenience/Eating Pla'ee-Liquor License application for The Cookery. SPECIAL ORDERS,PRESENTATIONS AND REPORTS Proclamations& Awards—None Borough Assembly Report:-Sue McClure reported the assembly successfully passed their budget at the last meeting,and it was a god experience.They funded the schools to the budget cap for the first time in many years. The overall mill rate stayed the same. At their next meeting, the assembly would be discussing the citizen initiative to put back in the pro and con statements on ballot issues in the borough election pamphlet. It was deleted originally because it was difficult to objectively obtain;both statements,but with this citizen initiative it could be reinstated.The assembly was revisiting the anadromous stream ordinance. There was a proposed ordinance to repeal the 50 foot setback protection for the Kenai River Watershed and the Kasilof Watershed, which would substantially scale back the original ordinance. There were also some code changes proposed concerning utility special assessment districts and road assessment districts. The assembly was looking at changing the requirement of obtaining 70% of the neighborhood to agree with an assessment district to 60%. The Nikiski area had been plagued with crime lately. There have been some community meetings, and residents were considering forming a service area for crime prevention. If so, such an action would have to go to a vote of the people. McClure thanked those locally who sent in emails concerning the budget. City Manager's Report. Jim Hunt stated a purchase order for$35,619 was issued to HD Supply Power Solutions for purchasing transformers. Hunt also handed out and read Lowell Point 99 City ofSeward,Alaska City Council Minutes June 8,2015 Volume 39,Page Sewage Lagoon update#11. (r Long showed council a copy of a U.S. Army Corps of Engineers permit received for the Seward Marine Industrial Center (SMIC) breakwater project, which was about a year's worth of work to obtain. The city was closing a bid for construction on June 26, 2015. He thanked the volunteers who helped on the last phase,of the Mariner's Memorial Project,which consisted of the public, city staff, and members of the U.S. Coast Guard Cutter Munro. He was honored to attend a conference on building a sustainable future for Alaska in Fairbanks last weekend and said it was a worthwhile exercise. Keil said they had received some financial reports, but not the general report for the enterprise fund balances.Hunt said they could provide that Keil also asked administration to explain to the public that the public voted to use the current vendor for garbagepickup and prior to this contract the waste charge was on the utility bills. Hitt said the-enforcement mechanism was unwieldy, but the city had a law for mandatory garbage pickup and billing. Untilathis process was reexamined, the city needed to enforce the code provision and the public needed to adhere to it. Terry went to sign up for the reading program at the library last Saturday, and saw it was closed. She understood it was short staffed. Council received a.letter-that staff wouldn't be able to staff Historic Preservation Commission until of ter.,the summertuie. Administration reported staff support would only be provided for the minimum time.required for meetings,which was quarterly. City Clerk Johanna Kinney clarified the city code stated the minimum requirement for the Historic Preservation Commission to meet was twice a year,not quarterly:Regarding the library,Hunt said the hours were cut back in the library museum untillhey were fully staffed for safety reasons.Terry requested the limited hours be on the city's website. Darling said it was good to know the hours of the museum as well. Hunt stated he wanted to improve the signage in the Railroad welcome area and would ask for an appropriation for this out of the cruise ship tax. Casagranda hoped there would be some mention Of the downtown°area.Keil asked if those would be quotes or proposals for that Hunt said it would depend on the price but they Would go out for competitive procurement. In response to Casagranda,Long stated the benches for the bus stops had been shipped and once they arrived some assembly would be required. In response to Bardarson, administration said they intended to begin the budget process in July with departments, and anticipated they would approach council in September. Casagranda stated she heard complaints about Lowell Point residents and businesses not getting advance notice when the helicopter came in to install the bio domes at the sewage lagoon. Casagranda said it seemed there was an employee shortage for the City of Seward and generally around town. She felt it had a lot to do with the shortage of housing. She'd like to see the city take on some kind of role in fixing this. Hunt said he'd been approached to discuss zoning and build some moderate sized housing units. Bardarson added one of the Planning and Zoning Commission priorities was to examine creating 30x100 foot lots. to 0 City of Seward,Alaska City Council Minutes June 8, 2015 Volume 39, Page City Attorney's Report. Will Earnhart reported he sent a memo to the council on marijuana legislation throughout the state.The city was waiting to see what the state would do first before making any of their own rules regarding marijuana.Earnhart was working with the City Clerk and City Manager on setting a training date for council and boards and commissions on the Open Meetings Act and various processes,possibly in July.He would be working with administration to bring back the garbage ordinance for review. Earnhart noted garbage was considered to be a little different than other utilities in a municipality. Garbage didn't need infrastructure; it was more of a public health and public safety issue. It didn't mean there couldn't be other waivers or processes in place. But something needed to be in place to maintain public safety. Other Reports,Announcements and Presentations—None.. PUBLIC HEARINGS Resolutions Requiring A Public Hearing Resolution 2015-052,Authorizing The City Manager To Enter Into A Lease Amendment With Carl I. And Kim Hughes To Extend The Term Of TheirLease By Thirteen Years, To Add Two Thirty-Three Years Options,And To Add Their Son:John C. Hughes. Motion (Terry/Casagranda) '`Approve Resolution 2015-052 Long said this was a fairly uncomplicated lease amendment. The lessee's requested an extension of lease and also:to add'another member as a lease holder.This had been reviewed by the attorney and performance measures were already incorporated into the original lease,but Long said they could be finned up if council wished. Notice of thepublic hearing being posted and published as required by law was noted and the public hearing was opened John C. Hughes was requesting=to be signed on as a lessee and wanted to carry on in his father's footsteps and keep his family in town.He took pride in Seward and was excited to be a part of this business community. Carl Hughes started a"charter business 25 years ago in Seward so he could stay in town and have the opportunity to,see his children grow up in their community. Hughes started his business with just him and his wife. They now had a four boat, eleven employee business that contributed sales and property tax to Seward. When the initial lease was awarded in 1997, Hughes didn't anticipate carrying on the business in his family, but was pleased to see now his family wished to continue his charter company after he retired.He was not opposed to adding additional performance clauses, but also felt his reputation spoke to how they operated in Seward, morally and ethically. Hughes asked council to approve this resolution. No one else appeared to address the Council and the public hearing was closed. Terry said the existing lease spoke on failure to construct a building,but they already had a building. Long stated Article 1.5 of the original lease addressed development of leased land, 101 City of Seward,Alaska City Council Minutes June 8,2015 Volume 39, Page specifically, constructing a building on the land for the operation of the business. Long said construction was not the objection and the continuance of this operation could be more explicitly stated. Long also referred to Article 4 of the original lease, which addressed the use of the leased land.He again stated there were other mechanisms that could be in place for capital improvements. Bardarson stated she supported this extension. Motion to Amend (Casagranda/Terry) Amend Resolution 2015-052, by adding "OF LOT 7,BLOCK 6,SEWARD SMALL BOAT HARBOR SUBDIVISION" to the title. Motion to Amend Passed Unanimous Motion to Postpone (Darling/Casagranda) •Postpone Resolution 2015;-052 to the June 22,2015 meeting. Kinney noted if council wanted to postpone this resolution'to another meeting,they may want to consider making all the proposed changes-first so the revised:version can be noticed for the public. To allow for more discussion, Darling and Casagranda withdrew the motion to postpone with no objection from council. Motion to Amend (Casagranlda/Squires) Amend Resolution 2015-052 to add the following additional section to the lease amendment: "ARTICLE 4.1 USE OF LEASED LAND.LESSEE shall continue to operate their marine, retail and other related businesses throughout the term of the lease, and failure to do so constitutes a condition of default." Motion to Amend Passed . Yes: Casagranda,Squires,Darling,Terry, Bardarson No: Keil Motion to Postpone (Darling/Casagranda) Postpone Resolution 2015-052 to the June 22,2015 meeting. Earnhart said the changes made tonight would not be considered substantial in nature and wouldn't necessarily need to be re-noticed, so if council wished, they could likely vote on the approval of this resolution tonight. Darling and Casagranda withdrew the motion to postpone with no objection from council. Main Motion Passed Unanimous 102 City of Seward,Alaska City Council Minutes June 8,2015 Volume 39, Page UNFINISHED BUSINESS—None NEW BUSINESS Resolution 2015-054,Authorizing Use Of The Capital Credit Refund From Chugach Electric In The Amount Of$211,659 To Extent Primary Electrical Service And Add A Fourth Recloser At The Spring Creek Substation,And Appropriating Funds. Motion (Terry/Keil) Approve Resolution 2015-054 Hunt stated the city received a capital credit from ChugachBlectric Association for$211,659. Based on input received, the administration recommended:a portion of these funds be used immediately to install a primary electrical extension in the Seward Marine Industrial Center(SMIC). Long added the estimated cost was $110,000.and would service nine lots at SMIC. And adding a recloser would extend service beyond the nine.lots.Administration had considered giving a rebate to every customer, which by their calculations would have come to approximately $71 per account. Staff thought providing this electrical extension would be a better contribution to the community and would come at a lesser cost than a customer rebate. Council had made comments in the past that they wanted the city to move forward and install infrastructure when opportunities presented themselves; staff felt this was='one of those opportunities, especially with the new r_ development at SMIC coming ahead. Casagranda said this project was half of what'the credit from Chugach was and asked what the city would do with the other portion. Long anticipated the other half would be banked for other future uses, likely something electrical in nature. response to Darling,administration saidthe$110,000 cost was an estimate determined by the Electric Department. In response to Squires, Long stated he didn't think this work would be done in house as the Electric Department was extremely busy and also short staffed. Squires noted Mustang Avenue was not platted; and asked if the city had an easement platted for this area. Long believed they did. Council requested the City Clerk make a technical change to the title of the resolution, changing the word"extent" to "extend". Motion Passed Unanimous Other New Business Items—None INFORMATIONAL ITEMS,AND REPORTS Proclamation recognizing National Hospital Week, May 10-16, 2015. COUNCIL COMMENTS 103 City of Seward,Alaska City Council Minutes June 8, 2015 Volume 39,Page Terry said they had a work session coming up with the Seward Community Health Center (l (SCHC)on June 18,2015 and hoped administration was working on coming up with answers to the SCHC's due diligence questions:She wanted to know if administration thought they needed to meet with council prior to that session.Terry noticed that on council agenda statements,there was a new option under attorney review of"not applicable". It seemed like if it was not applicable for the attorney to review or not review, it should still be marked "yes" or "no" in addition to "not applicable". It wasn't a clear answer to her. She understood the idea, but it wasn't quite the entire story.Long said this additional option was intended to address the matter of why didn't the attorney review everything, as some things did not warrant a need to spend money on simple pieces of legislation. So the thinking was if the attorney did not review the legislation, the"not applicable" option was to answer the question"Why not?"Long was open tostggestions on how to improve the attorney review on agenda statements. Squires said tonight they'approved money for installing electric at SMIC,and he applauded administration for doing this,' he has stated repeatedly it was the city's obligation to do this Darling reminded everyone about the volunteer hospice program meet and greet event. She encouraged the public to attend. ,, Long stated he was appointed to aborough wide marijuana task force.He noted in the lower 48,there were currently three or four neighboring states•in lawsuits due to marijuana crossing state lines,which he thought was interesting.It wouldn't necessarily be as big of an issue given Alaska's location, but there was much to think about with the legalization;of recreational marijuana use. • Hunt mentioned in addition to the resolution of support for federal recognition for Qutekcak Native Tribe, he'd be drafting'a letter of support,AS well, from the city. He had not heard of any attempts to open up a marijuana;sttire in Seward.Hunt thanked McDonald for reminding him about procedure and decorum in the couneil chamber's. Long said they had plans to meet with staff to prepare for the council work session on June 18,2015. It was hard to prepare to answer some of the due diligence questions asked by the SCHC. He suspected administratiori's recommendation would be to not proceed with the grant award and project. Bardarson felt getting all the same players in the same room would be a good start. A big decision would be if they wanted to keep the hospital in the same location or move it altogether. Hunt said this issue was.difficult to weigh in on because the administration was not intending to become immersed,in a capital project. It was a challenge to provide answers to the questions submitted by the SCHC, the city administration,but all answers predicated upon decision of the city council. He was reluctant to make any recommendations at this point. CITIZEN COMMENTS Tim McDonald was thinking about the comments about the garbage service earlier tonight. It seemed like requiring garbage pickup was a monopoly on its citizens. It was true the voters approved this contract,but he believed this requirement extended beyond the city limits and if that was the case,those people outside the city had no say in the process. McDonald didn't think it was 104 City ofSeward,Alaska City Council Minutes June 8, 2015 Volume 39, Page right to force everyone into this and it seemed like it was a constitutional question.The city needed to look at this operation and where they were going in the future.He anticipated some challenges on this utility structure to try and make it more user-friendly.Citizens outside the city limits also didn't get a vote on the conditions of things like the Lowell Point Road.McDonald asked council why they were even considering building a larger hospital. Richard Noren said,to him,the garbage pickup requirement was about a freedom of choice. It was his responsibility to take care of his garbage. If he presented a health hazard or sanitation issue,then he should be fined.Noren requested to be made aware when and where the city would be reconsidering this issue. Sue McClure, on behalf-of the Resurrection Bay Historical Society (RBHS), reminded everyone to come out on June 21,2015 for the Annual Cemetery Walk hosted by resident historian Lee Poleske.It was a wonderful event.McClure stated she`was President of the RBHS and said there were discussions underway to have their members help keep the museum open on some afternoons. On a personal note, McClure expressed distress the Library/Museum Department was so understaffed and unable to keep `regular hours.RBHS was willing to step up and volunteer to help in this time of need. - COUNCIL AND ADMINISTRATION RESPONSE TO CITIZEN COMMENTS Terry said the city sat as an electrical utility,and•referenced Alaska Statute 29.35.050,which l y allowed P municipalities to royide for waste and Alaska Statute 29.35.060 which also allowed P municipalities to grant franchises by,a vote of theleople. Council couldn't simply override these provisions because it was currently`mandated by a vote of the people of Seward. Squires agreed with:McDonald on some of his points. He disagreed with the attorney that garbage was not a utility. Squires believed it was a utility and one that needed to be fixed to be able to accommodate some people with certain circumstances.He hoped they had a work session soon on this issue. Customers could cancel their electric service if they wanted,but that was not the same for garbage service and the city sheuld fix that inconsistency. Squires said he would personally notify Mr. Noren when the council had a work session on this issue. Casagranda looked forward to having some better technology other than paper. Terry added if there were recommendations regarding the SCHC due diligence questions, she would appreciate them ahead of time. Long agreed with McDonald that Seward was one community inside and outside city limits. He corrected a couple of staternerits.—the city was not requiring anyone outside city limits to do anything; no one had to hook up to electric, nor did they have to have garbage service. Hunt stated Lowell Point Road was owned by the Kenai Peninsula Borough and the city l: maintained it the best they could as timewas available. Ordinances enacted by council became the laws of the city. The laws could be changed by changing the existing ordinances. He reminded 105 City of Seward,Alaska City Council Minutes June 8, 2015 Volume 39,Page everyone that the laws were established for the well-being of the community for health and safety ADJOURNMENT The meeting was adjourned at 8:56 p.m. • Johanna Kinney, CMC Jean Bardarson City Clerk _._ Mayor (City Seal) •1: • 106 Johanna Kinney Betty Svensson <Betty @akml.org> Wednesday,June 03,2015 10:25 AM Subject: Update-AML Summer Conference August 19-20, 2015 Attachments: DraftAMLSummer2015.docx Update: Attached is an updated DRAFT agenda. Mark your calendar and make your hotel reservations NOW! Hotel rooms will go FAST! DRAFT AGENDA Flights arriving in Ketchikan (from Anchorage) are at 12:35p.m. & 5:59 p.m. Tuesday,August 18, 2015 1:30 p.m.—5:30 p.m. Sustainability Committee-The Naa Kaani Wednesday,August 19,2015 8:30 a.m.—4:00 p.m. Alaska.Conference of Mayors Meeting—Shaa Hit 8—agenda available soon 8:30 a.m.—4:00 p.m. Alaska Municipal Management Association Meeting—Shaa Hit A-agenda available soon 4:15 p.m.—6:00 p.m. AML Position Committee Meeting-The Naa Kaani Thursday,August 20,2015 AML Legislative Conference-Shaa Hit Room 8:00 a.m. —8:30 a.m. Breakfast a.m.—9:00 a.m. Welcome and Introductions—Linda Murphy,AML President )a.m. —10:30 a.m. Marijuana Update 10:30a.m.— 10:45a.m. Break 10:45 a.m.—11:45 a.m.' The State of the State Budget 12:00 p.m.—1:00 p.m. Lunch—Guest Speaker 1:15 p.m.—4:30 p.m. AML Legislative Priorities & Position Statements Discussion 5:30 p.m. Ketchikan Reception—Fish Pirates Saloon & Restaurant Friday,August 21,2015 8:00 a.m.—12:00 p.m. AML Board Meeting-Shaa Hit Room Flights departing Ketchikan (to Anchorage) are at 9:30 a.m. and 5:20 p.m. •AML Summer Le•illative Conference The Ketchikan Gateway Borough and The City of Ketchikan will be hosting the AML Summer Conference August 19-21, 2015. The AML Board of Directors, Alaska Conference of Mayors, Alaska Municipal. Management Association and AML Members will meet during this time. Meetings will take place at the Cape Fox Lodge. Cape Fox Lodge — Conference Hotel Location: 800 Venetia Ave Ketchikan,AK 99901 Phone: (907) 225-8001 email: Web: www.capefoxlodge.com C en booking room you must use code name: Alaska Municipal League 1 107 Best Western Plus Landing Hotel Location: 3434 Tongass Ave. Ketchikan, AK 99901- Phone: 907-225-5166 (-` To receive conference rate you must use code name: Alaska Municipal League They will provide a shuttle to the meeting venue. Web: http://www.Iandinghotel.com/reservations.aspx For more information and to register, visit our website at www.akml.org Thank you, Betty Betty Svensson, Deputy Director Alaska Municipal League 217 2nd Street, Suite 200 Juneau, AK 99801 Phone: 907-586-1325 Fax: 907-463-5480 www.akml.org Facebook NOTE: This message was trained as non-spam. If this is wrong, please correct the training as soon i as possible. Spam Not spam Forget previous vote 2 108 `,A'LjA'S' MUN9CKA IPAL LEAGUE 217 Second Street, Suite 200 © Juneau,e u, Alaska 99801 Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org IN/,a CoirPrence of Mayors Alaska Municipal League Summer Legislative Conference Cape Fox Lodge "' Ketchikan, AK August 19-21, 2015 DRAFT AGENDA Flights arriving in Ketchikan (from Anchorage) are at 12:35p.m. &5:59 p.m. Tuesday,August 18,2015 1:30 p.m.—5:30 p.m. Sustainability Committee-The Naa Kaani Wednesday, August 19, 2015 8:30 a.m.—4:00 p.m. Alaska Conference of Mayors Meeting—Shaa Hit B 8:30 a.m.—4:00 p.m. Alaska Municipal Management Association Meeting—Shaa Hit A 4:15 p.m.—6:00 p.m. AML Position Committee Meeting-The Naa Kaani '`^ Thursday, August 20,2015 AML Legislative Conference-Shaa Hit Room 8:00 a.m. —8:30 a.m. Breakfast 8:30 a.m.—9:00 a.m. Welcome and Introductions—Linda Murphy, AML President 9:00 a.m.—10:30 a.m. Marijuana Update 10:30a.m.—10:45a.m. Break 10:45 a.m. —11:45 a.m. The State of the State Budget 12:00 p.m. —1:00 p.m. Lunch —Guest Speaker 1:15 p.m.—4:30 p.m. AML Legislative Priorities & Position Statements Discussion 5:30 p.m. Ketchikan Reception—Fish Pirates Saloon & Restaurant Friday,August 21, 2015 8:00 a.m.—12:00 p.m. AML Board Meeting-Shaa Hit Room Flights departing Ketchikan (to Anchorage) are at 9:30 a.m. and 5:20 p.m. Member of the National League of rii ies and the National Association of Counties • CITY OF SEWARD r..: .:. °City Manager's Office (907) 2 24-4047 P.O. Box 167 Fax (907) 224-4038 410 Adams Street "` • - °jhunt@cityofseward.net I, Seward, Alaska 99664-0167 °www.cityofseward.us June 9, 2015 Interior Secretary Sally Jewell 1849 C Street, NW Washington, DC 20240 Re: Support for Qutekcak Native Tribe of Seward, Alaska Dear Madam Secretary, I am writing you on behalf of the citizens of the City of Seward and for residents surrounding Resurrection Bay whom support the Qutekcak Native Tribe's (QNT) request to organize under the Alaska amendment to the Indian Reorganization Act (IRA), 25 U.S.C. § 473a, and gain federal recognition. In 1993, QNT submitted its first formal request for recognition organization under the Alaska amendment to the IRA. Following policies and protocols, QNT resubmitted their request with substantial documentation in years 2002 and 2008. QNT has relied upon the unwavering support of the Alaska congressional delegation during this recognition request process. Thanks to your leadership and that of Assistant Secretary Kevin Washburn, QNT's request appears to have risen to a higher level of consideration and the City of Seward sincerely hopes - progress continues towards the tribe's ultimate goal - to be able to formally organize and be recognized. QNT is an official entity of the Alaska Native community and have been active in the Seward area dating back to the late 1800s. QNT has demonstrated and documented its members share "a common bond of occupation, or association, or residence within a well- defined neighborhood, community, or rural district" and meets the statutory standard for organization under the Alaska amendment to the IRA. Federal recognition is vital for QNT to serve the needs of its people. QNT has been an outstanding partner to the City of Seward and the Kenai Peninsula Borough. We expect that its federal recognition will make available additional programs and funding that QNT is•currently unable to access. We understand the Department of the Interior has carefully reviewed QNT's documentation and we anticipate your Department will share our conviction that QNT meets the standard for organization under the Alaska amendment to the IRA. As our support has been stated, the City respectfully requests a positive decision regarding QNT as soon as reasonably possible. Thank you. Yours Sincerely, 941 Jim Hunt, City Manager cc: Assistant Interior Secretary Kevin Washburn (, Rep. Don Young Senator Lisa Murkowski Senator Dan Sullivan no June 2015 June 2015 July 2015 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 5 6 1 2 3 4 7 8 9 10 11 12 13 5 6 7 8 9 10 11 14 15 16 17 18 19 20 12 13 14 15 16 17 18 21 22 23 24 25 26 27 19 20 21 22 23 24 25 28 29 30 26 27 28 29 30 31 Monday Tuesday Wednesday Thursday Friday 2 3 4 5 6:00pm P&Z WS;Flooc 12:00pm PACAB Mtg 7:00pm P&Z Mtg C 8 9 10 11 12 7:00pm CC Mtg '-I c0 C ' 15 16 - - 17 3 19 6:00pm P&Z WS 5:30pm CC WS;SCHC 1 rn u. C 23 24 25 26 m 7:OOp CC Mtg N C 7 29 30 Jul 1 2 3 5:30pm CC WS;Land L m Nanci Richey 1 6/18/2015 9:17 AM 111 July 01 July TuWe Th August 2015 SuMo TuWe Th Fr Sa SuMo TuWe Th Fr Sa 1 2 3 4 1 5 6 7 8 91011 2 3 4 5 6 7 8 12 13 14 15 16 17 18 9 10 11 12 13 14 15 • 19 20 21 22 23 24 25 16 17 18 19 20 21 22 26 27 28 29 30 31 23 24 25 26 27 28 29 30 31 Monday Tuesday Wednesday Thursday Friday Jun 29 30 Jul 1 2 3 12:00pm PACAB Mtg m rn N C 7 6 7 8 9 10 0 0 14 15 16 17 C-13-7:OOpm CC Mtg 7:00pm P&Z Mtg 12:00pm PACAB Work 5 N m 20 21 22 23 24 6:00pm P&Z Mtg v N O N tr________ 28 29 30 131 Opm CC Mtg m N i Ni Nanci Richey 1 6/18/2015 9:17 AM , 112