Daily Sitka Sentinel

City Tries New Tack On Haulout Project

By SHANNON HAUGLAND
Sentinel Staff Writer

The Assembly on Tuesday moved forward with three items related to Sitka’s harbors, including a $100,000 appropriation to continue moving forward on having a boat haulout at the industrial park.

The motion on the haulout spending ordinance passed on first reading and will be up for public hearing and final reading at the Aug. 11 Assembly meeting.

It calls for spending $100,000 from the city’s Southeast Alaska Economic Development fund to “support specialized consultant services for the technical analysis and design related to the development of a haulout basis of design and RFP.”

“This $100,000 seed money is to help design a slip and a washdown pad – what is appropriate,” Leach told the Assembly.

“We have set a goal to complete Stage 1 by the end of November assuming we receive full grant funding or the end of April 2021 if we need to secure a general obligation bond,” Leach said in a memo to the Assembly.

The city wants to have a haulout – essential infrastructure in a fishing community – in operation before Halibut Point Marine closes Sitka’s primary haulout next spring.

Stage 1 includes a pier and concrete washdown pad..

The Gary Paxton Industrial Park board and staff have been working for years on plans for a haulout under city control. The most recent request for proposals process, calling for private investment, ended with the Assembly’s rejection of all proposals.

Public Works Director Michael Harmon told the Assembly when asked to describe the project: “My understanding, and the idea behind this item, is to shift this project to be more of a city project, that we would be in more of a leadership role to bring that project forward. We would be looking at the grant funding we have applied for ... and have a plan to address leading that project forward with or without that grant funding.”

Leach and Harmon described the team approach that they hope will result in “strong buy in” from various groups.

One of the major changes that occurred after the city issued the RFP was the city’s application for an $8.2 million federal BUILD grant. The city expects to hear in mid-September whether the application is successful. The first RFP did not mention the availability of federal funding for the haulout.

One of the main goals, Leach told the Assembly in his memo, is to develop a plan with “strong buy-in” by user groups and the public in general. Although the initial stages will be taken on by the Technical Working Group (consultants, city staff); and the Haulout Task Force (city commission members, GPIP director, city staff), the public will have a chance to be involved when the plan comes before the park board.

“The GPIP board will give ultimate direction to task the HTF to refine and improve work products as needed,” Leach said in his memo.

Leach told the Assembly, “That will be the stage where there’s public comment and public input to the process. There will be some working sessions where Port and Harbors will be called in with GPIP to assist with that, and the final stage will be presenting that product to the Assembly.”

He said some overlap exists between the committees and other groups, and Assembly members will be asked to participate on the committees.

Assembly member Thor Christianson asked why the city was moving forward before hearing whether federal funds will be available.

“If we don’t (get the grants) it’ll be a waste of time and money,” he said.

Mayor Gary Paxton said he believes the work of the groups will be valuable with or without receipt of the BUILD grant.

“If we don’t get the grant we’re going to be faced with two options: do a revenue bond or go back with an RFP for the public to do,” he said.

Answering a question about a new study and consulting work, Harmon said the work previously done needs to be updated to take into account changes at the park.

“We really need to update and we really need to hit this right, and cost – especially if we don’t get the grant – is going to be of the essence,” he said. “This is very, very expensive construction, and so we really want to hit a home run in where we site this, so operationally you’re not regretting that for the next 20 years – and we do it in a way that’s cost-effective. The current concepts I don’t believe do that, and I don’t believe the (GPIP) board believes that. ...”

Harmon said the city is using experts and consultants in order to “get the biggest bang for the buck” and accommodate the wide range of boats home-ported in Sitka.

On a question about the private sector’s participation, Harmon said he believes there will be “partnership” opportunities after the initial infrastructure is built.

“We’re the infrastructure builders that put it in – the grant is going to drive us, that we need to be doing that because it’s federally funded and there’s a lot to that,” he said. “But beyond that immediate core infrastructure, the upland development, the operations ... that’s where the partnership could be ripe. And I would encourage us not to give up on that, absolutely.”

The vote was 6-1 in favor of the appropriation, with Valorie Nelson opposed. If it passes at the next meeting, the funds will come out of the Southeast Alaska Economic Development fund, which has more than $2 million in unencumbered funds, plus outstanding loans.

In other harbor-related business at Tuesday’s meeting, the Assembly:

– authorized the administrator to execute a Clean Vessel Act grant with the state Department of Fish & Game for $39,000 to support the Crescent Harbor float replacement project. The project, a sewer pumpout at the bottom of the Crescent gangway, requires a 25 percent match from the city ($13.000).

– passed a resolution to apply for a $1.76 million grant from the state DOT for the Eliason Harbor electrical replacement project. The city is hoping to qualify for the DOT’s 50 percent harbor matching grant program to help fund the project.

“I’m hoping we get it this time; otherwise we’re going to have to move forward and do it ourselves,” said Harbor Master Stan Eliason. 

The vote was 7-0 to apply for the grant.