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2020-08-13 Work Session Visit our website at www.kodiakak.us www.facebook.com/Kodiakislandborough @KodiakBorough Kodiak Island Borough Assembly Work Session Thursday, August 13, 2020, 6:30 p.m. School District Conference Room Work Sessions are informal meetings of the Assembly where Assembly members review the upcoming regular meeting agenda packet and seek or receive information from staff. Although additional items not listed on the work session agenda are discussed when intr oduced by the Mayor, Assembly, or staff, no formal action is taken at work sessions and items that require formal Assembly action are placed on regular Assembly meeting agenda. Citizen’s comments at work sessions are NOT considered part of the official record. Citizen’s comments intended for the “official record” should be made at a regular Assembly meeting. Page 1. CITIZENS’ COMMENTS (Limited to Three Minutes per Speaker) 2. AGENDA ITEMS 3 - 7 a. Discussion On The Solid Waste Collection Contract, Addressing Public Concerns. Garbage Contract Comparison and Proposed Solutions - Engineering and Facilities Hand Out Solid Waste Contract Price Table Comparisons (Previous and Current) 8 - 10 b. Kodiak Island Borough CARES Nonprofit Grants - Scoring Criteria CARES Nonprofit Grant Subcommittee Draft Scoring Criteria 11 - 39 c. State of Alaska, Department Of Natural Resources Preliminary Decision For ADL 233409 Shannon Carrol DBA: Trident Seafoods Corporation Application For Lease. Complete Binder for Trident Seafoods Corporation Application For Lease - Pdf 3. MANAGER COMMENTS 4. CLERK’S COMMENTS 5. PACKET REVIEW - August 20, 2020 AWARDS AND PRESENTATIONS 1. Longevity Awards o 15 Years, Jessica Basuel, Interpretive Spec/Receptionist Page 1 of 39 Visit our website at www.kodiakak.us www.facebook.com/Kodiakislandborough @KodiakBorough o 15 Years, Dria Bray-Holloway, General Accountant o 15 Years, Tom Slagle, Baler Operator II o 30 Years, Sharon Blakeslee, Programmer/Analyst 2. FY2020 4th Quarter Budget v Actual Presentation PUBLIC HEARING 1. Ordinance No. FY2021-01C Amending Ordinance No. FY2021-01, Fiscal Year 2021 Budget, By Amending Budgets To Account For Federal CARES (Coronavirus Aid, Relief, And Economic Security) Act Revenues That Are Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. 2. Ordinance No. FY2020-01D Amending Ordinance No. FY2020-01, Fiscal Year 2020 Budget, By Amending Budgets To Account For Various Revenues That Are Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. 3. Ordinance No. FY2021-15 Rezoning Lots 1 And 2, Isthmus Bay From RR2 – Rural Residential Two District To C – Conservation District (P&Z Case No. 20-007). UNFINISHED BUSINESS 1. Ordinance No. FY2021-12 Of The Assembly Of The Kodiak Island Borough Amending KIBC Title 3 Revenue And Finance, Chapter 3.80 Excise Tax On Cigarettes And Tobacco Products Section .020 Definitions and Section .030 Excise Tax On Cigarettes And Tobacco Products. NEW BUSINESS CONTRACTS 1. FY2021-03 Discover Kodiak Contract 2. Michael Powers - KEDC Contract RESOLUTIONS 1. Resolution No. FY2021-10 Approving Kodiak Island Borough CARES Nonprofit Grants. ORDINANCES FOR INTRODUCTION OTHER ITEMS 6. ASSEMBLY MEMBERS COMMENTS 7. MAYOR’S COMMENTS Page 2 of 39 Page 1 of 3 Garbage Contract Comparison and Possible Resolution For Issues That Have Risen Due to New Contract Starting Old Contract New Contract Other Option Commercial Roll Carts $51.37 No Commercial Roll Cart Alaska Waste has provided a proposal for commercial roll carts at the cost of $79.36. If this is not accepted all business that have used a commercial roll cart during the past contract will have to go to the 2 cy dumpsters and be charged $337.28 Commercial Service Options Weekly, EOW service, self- haul, commercial roll cart, on call service. Weekly Service only Move everyone to weekly service and adjust dumpster/roll cart size based on amount of waste generated. OR If Alaska Waste agrees allow other service options. Service schedule and pricing will need to be determined to do this option. Commercial Self-Haul $56.37 No Self-Haul Option Minimal charge of commercial roll cart rate $79.36 for hauling directly to landfill. OR All businesses that self-hauled will move to commercial roll carts if Alaska Waste agrees. If this is not accepted all business will have to go to the 2 cy dumpsters and be charged $337.28 Residence greater than a duplex or buildings with multiple businesses Sharing dumpsters is allowed if space is limited for roll carts. Sharing dumpsters is allowed if space is limited for roll carts. Resident greater than a duplex will be considered a business and will be responsible for commercial rates. Residence in non-bear aware areas will have the commercial roll cart rate or a dumpster at their location. Sharing of dumpster is allowed if space for multiple roll carts is not available. Each business that shares building is responsible for garbage disposal. Depending on space availably businesses will be able to share a dumpster. If there is a dwelling that consists of a minimum of two residences and a business at any single location, they will have the option of either sharing a dumpster or commercial roll cart depending on space availability. AGENDA ITEM #2.a.Discussion On The Solid Waste Collection Contract, Addressing Public Con...Page 3 of 39 Page 2 of 3 Bear Aware Areas and roll cart removal No Bear Aware Areas during this contract Bear Aware Areas have roll carts removed. Multiple complaints of residents having their roll carts removed and saying that they are physically unable to use the roll offs. There are currently no exceptions to residents in these areas for the possibility of receiving a roll cart. Most likely there are other people in non-roll cart areas that are unable to go to a roll off, but we have not received complaints in the past. This issue is not thought to be new, but this is the first time of hearing complaints. Seniors and/or Residents that require additional or special assistance. Discount of $7 off bill Discount of $7 off bill Problem #1: There are have been several complaints about seniors living in a Bear Aware Area not being able to take their garbage to a roll-off themselves. Possible Solution: Talk with Alaska Waste and see if they would be open or allow us to contact Senior Center, Faith Based Organizations, or Community Service Groups, to come to an agreement for aid with the senior or folks that need additional aid. Problem #2: We have received complaints from an area with roll carts is that they are not able to handle the big new bear proof carts. Possible Solution: Have Alaska Waste provide smaller bear resistant roll carts or give them the old smaller roll carts that they can handle easier. Larger Scale Events Not Specified in Contract Not Specified in Contract Alaska Waste to provide options for pricing for different events. Also an event type (Crabfest, Rodeo, Outdoor Concerts) or size chart (50 people, 100 people, 2000 people, etc.) and provide recommendation obtained from past event history of what should be used for the events and size of dumpster/roll cart required. Food Truck Not Specified in Contract Not Specified in Contract Alaska Waste provide a commercial rate for food trucks that haul their trash to public dumpster or direct to landfill. Suggestion - have it the same as commercial roll cart $79.36 AGENDA ITEM #2.a.Discussion On The Solid Waste Collection Contract, Addressing Public Con...Page 4 of 39 Page 3 of 3 Home Construction/ Hired Contractors (Excess Construction/Demolition Waste in Dumpsters) Not Specified in Contract Not Specified in Contract Issue of excess construction debris has been placed into roll offs or not taken care the appropriate way. When building permit is obtained the person is responsible to contact Alaska Waste for dumpster on site. Any building permits above $XX is required to contact Alaska Waste for dumpster. OR Another option is for a certain type of renovation projects that produce larger amounts of waste/heavier waste. Vacancy Rate Not Specified in Contract Not Specified in Contract There have been multiple complaints about a vacant or uninhabitable premise. Also, other utilities offer reduced/vacant rates (electric, water/sewer). KIB Code 8.25.060 Solid Waste Collection Service states the following: A. Regular Service. Every owner of premises in the collection service area must subscribe to and pay for solid waste collection service for its premises by the contract hauler at least weekly, in carts, including bear carts, bins, or roll-offs, as administered by the manager, even if that owner self-hauls all or a portion of its solid waste for disposal at the borough landfill or recycling at a processing facility. AGENDA ITEM #2.a.Discussion On The Solid Waste Collection Contract, Addressing Public Con...Page 5 of 39 Dumpster Size in Cubic Yards (CY) Bi-Weekly/EOW (every other week) 1x per Week 2x per Week 3x per Week 4x per Week 5x per Week 2 CY 156.07$ 312.15$ 624.30$ 936.45$ 1,248.60$ 1,560.75$ 2.6 CY 208.47$ 416.95$ 833.90$ 1,250.85$ 1,667.80$ 2,084.75$ 3 CY 243.41$ 486.81$ 973.62$ 1,460.43$ 1,947.24$ 2,434.05$ 3.6 CY 287.96$ 575.91$ 1,151.82$ 1,727.73$ 2,303.64$ 2,879.55$ 4 CY 317.66$ 635.31$ 1,270.62$ 1,905.93$ 2,541.24$ 3,176.55$ 5 CY 372.43$ 744.87$ 1,489.74$ 2,234.61$ 2,979.48$ 3,724.35$ 5.5 CY 399.82$ 799.64$ 1,599.28$ 2,398.92$ 3,198.56$ 3,998.20$ 6 CY 427.21$ 854.42$ 1,708.84$ 2,563.26$ 3,417.68$ 4,272.10$ 8 CY 544.36$ 1,088.73$ 2,177.46$ 3,266.19$ 4,354.92$ 5,443.65$ Roll Carts & Other Options Per Month Contract Beginning Fee (2011) Per Month Contract Ending Fee (2019) 32 Gallon 28.90$ 49.75$ 64 Gallon 34.09$ 62.96$ 96 Gallon 38.31$ 73.69$ SELF-HAUL to Dumpster or Landfill N/A 75.69$ ON-Call Rate Dumpster Clean Up Cost 2.00$ 2.00$ Locks on Dumpser *PER MONTH*5.00$ 5.00$ PREVIOUS CONTRACT PRICES Contractor Montly Service Fee ROLL CARTS Determained Case per Case PREVIOUS CONTRACT PRICES Contractor Montly Service Fee for DUMPSTERS/ROLL-OFFS Number of Dumpsters (Scheduled Tips Per Week In One Month) Prepared by KIB E/F Dept. 8.12.2020 AGENDA ITEM #2.a.Discussion On The Solid Waste Collection Contract, Addressing Public Con...Page 6 of 39 Dumpster Size in Cubic Yards (CY) 1 2 3 4 5 Description of what calcualtions truly are. Bi-Weekly/EOW (every other week) Old Contract 1x per wk 3x Bi-Weekly Price Old Contract 2x per wk 5x Bi-Weekly Price 2 CY 156.07$ 312.15$ 468.21$ 624.28$ 780.35$ 2.6 CY 208.47$ 416.95$ 625.41$ 833.88$ 1,042.35$ 3 CY 243.41$ 486.81$ 730.23$ 973.64$ 1,217.05$ 3.6 CY 287.96$ 575.91$ 863.88$ 1,151.84$ 1,439.80$ 4 CY 317.66$ 635.31$ 952.98$ 1,207.64$ 1,588.30$ 5 CY 372.43$ 744.87$ 1,117.29$ 1,489.72$ 1,862.15$ 5.5 CY 399.82$ 799.64$ 1,199.46$ 1,599.28$ 1,999.10$ 6 CY 427.21$ 854.42$ 1,281.63$ 1,708.84$ 2,136.05$ 8 CY 544.36$ 1,088.73$ 1,633.08$ 2,177.44$ 2,721.80$ Dumpster Size in Cubic Yards (CY) Bi-Weekly/EOW (every other week) If Option Allowed 1x per Week 2x per Week 3x per Week 4x per Week 5x per Week 6x per Week ON-CALL Collection If Option Allowed RENTAL FEE 2 CY 168.64$ 337.28$ 674.56$ 1,011.83$ 1,349.11$ 1,686.39$ 2,023.65$ 89.58$ 30.00$ 2.6 CY 225.26$ 450.51$ 901.03$ 1,351.54$ 1,802.06$ 2,252.57$ 2,703.06$ 119.65$ 30.00$ 3 CY 263.00$ 526.00$ 1,052.00$ 1,578.00$ 2,103.99$ 2,629.99$ 3,156.00$ 139.70$ 3.6 CY 311.14$ 622.27$ 1,244.54$ 1,866.81$ 2,489.08$ 3,111.36$ 3,733.65$ 165.27$ 35.00$ 4 CY 343.23$ 686.46$ 1,372.91$ 2,059.36$ 2,745.81$ 3,432.26$ 4,118.74$ 182.32$ 40.00$ 5 CY 402.41$ 804.83$ 1,609.66$ 2,414.50$ 3,219.33$ 4,024.16$ 4,828.98$ 213.75$ 40.00$ 5.5 CY 432.01$ 864.02$ 1,728.02$ 2,592.03$ 3,456.05$ 4,320.06$ 5,184.09$ 229.47$ 40.00$ 6 CY 461.60$ 923.20$ 1,846.40$ 2,769.60$ 3,692.80$ 4,616.01$ 5,539.21$ 245.19$ 8 CY 588.18$ 1,176.37$ 2,352.75$ 3,529.12$ 4,705.49$ 5,881.87$ 7,058.21$ 312.43$ *Calculated by 1x per week divided by two. Roll Carts & Other Options Contract FY2019-25 Current Rates 32 Gallon N/A N/A 64 Gallon N/A N/A 96 Gallon Bear Resistant 49.95$ 51.37$ Commercial - 95 Gal. Bear Resistant N/A 79.36$ *Proposed Price* SELF-HAUL to Public Dumpster or Landfill N/A 56.37$ Dumpster Clean Up Cost 5.00$ 5.00$ Locks on Dumpser *NOT MONTHLY - One Time*25.00$ Prepared by KIB E/F Dept. 8.12.2020 NEW CONTRACT PRICES Contractor Montly Service Fee ROLL CARTS Number of Dumpsters (Scheduled Tips Per Week In One Month) CURRENT (Erroneous Table in New Contract) Contractor Montly Service Fee for DUMPSTERS/ROLL-OFFS Number of Dumpsters (Scheduled Tips Per Week In One Month) NEW CONTRACT PRICES (Corrected) Contractor Montly Service Fee for DUMPSTERS/ROLL-OFFS AGENDA ITEM #2.a.Discussion On The Solid Waste Collection Contract, Addressing Public Con...Page 7 of 39 CARES Nonprofit Grant Subcommittee Version 2 DRAFT Recommendations: Following the “Guidance for State, Territorial, Local, and Tribal governments” (6/30/2020) Utilize the 3 basic criteria: 1.Costs are necessary expenditures incurred due to COVID -19 public health emergency 2. Costs were not accounted for in the budget most recently approved; as of March 27,2020 3.Costs were/will be incurred Between March 1-Dec 30,2020 The Sub Committee notes that the above mentioned “Guidance” A) allows for expenditures incurred to respond to second-order effects of the declared emergency such as providing economic support for individuals suffering from employment or business interruptions. B) requires that the funds are utilized when the recipient has expended funds that covers costs of performance or delivery that has occurred and that the services and goods are expected prior to the Dec 30,2020 deadline. Further Recommendations: The Assembly consider limiting disbursement to costs incurred from March 1,2020 to June 30, 2020 Allow for an Administration cost of up to 5% Determine the applicant ineligible if it does not otherwise meet the CARES Act eligibility criteria Require a full report of costs and expenses due no later than March 30,2021. (adjusted to Sept 30,2020 or similar if the Assembly choses to further limit the deadline parameters) After initial review, the remaining applicants be requested to provide the following: 1.If the organization is a 501-3C 2.If it is registered with the State of Alaska 3.Description of where and to whom the services are provided (if not already in the request) AGENDA ITEM #2.b. Kodiak Island Borough CARES Nonprofit Grants - Scoring Criteria Page 8 of 39 4.A copy of the current and most recent past budget 5.If the organization has received any other financial aid related to the COVID -19 crisis. If yes, explain the source and application of funds. The Sub Committee found the “Guidance for State, Territorial, Local, and Tribal Governments” as well as the “Frequently asked questions” documents, to be helpful, and suggests that the direct links be provided to the Assembly. In the “Coronavirus Relief Fund: Frequently Asked Questions”, the Sub committee would like to highlight the following sections: The Guidance provides that eligible expenditures may include expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures. What is meant by a “small business,” and is the Guidance intended to refer only to expenditures to cover administrative expenses of such a grant program? Governments have discretion to determine what payments are necessary. A program that is aimed at assisting small businesses with the costs of business interruption caused by required closures should be tailored to assist those businesses in need of such assistance. The amount of a grant to a small business to reimburse the costs of business interruption caused by required closures would also be an eligible expenditure under section 601(d) of the Social Security Act, as outlined in the Guidance. The Guidance provides that expenses associated with the provision of economic support in connection with the public health emergency, such as expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures, would constitute eligible expenditures of Fund payments. Would such expenditures be eligible in the absence of a stay-at-home order? Fund payments may be used for economic support in the absence of a stay-at-home order if such expenditures are determined by the government to be necessary. This may include, for example, a grant program to benefit small businesses that close voluntarily to promote social distancing measures or that are affected by decreased customer demand as a result of the COVID-19 public health emergency. Could Fund payments be used for capital improvement projects that broadly provide potential economic development in a community? In general, no. If capital improvement projects are not necessary expenditures incurred due to the COVID-19 public health emergency, then Fund payments may not be used for such projects. However, Fund payments may be used for the expenses of, for example, establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity or improve mitigation measures, including related construction costs. The Guidance provides that ineligible expenditures include “[p]ayroll or benefits expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 public health emergency.” Is this intended to relate only to public employees? Yes. This particular nonexclusive example of an ineligible expenditure relates to public employees. A recipient would not be permitted to pay for payroll or benefit expenses of private employees and any financial assistance (such as grants or short-term loans) to private employers are not AGENDA ITEM #2.b. Kodiak Island Borough CARES Nonprofit Grants - Scoring Criteria Page 9 of 39 subject to the restriction that the private employers’ employees must be substantially dedicated to mitigating or responding to the COVID-19 public health emergency. May Fund payments be used for expenditures necessary to prepare for a future COVID-19 outbreak? Fund payments may be used only for expenditures necessary to address the current COVID-19 public health emergency. For example, a State may spend Fund payments to create a reserve of personal protective equipment or develop increased intensive care unit capacity to support regions in its jurisdiction not yet affected, but likely to be impacted by the current COVID-19 pandemic. May Fund payments be provided to non-profits for distribution to individuals in need of financial assistance, such as rent relief? Yes, non-profits may be used to distribute assistance. Regardless of how the assistance is structured, the financial assistance provided would have to be related to COVID-19. May recipients use Fund payments to remarket the recipient’s convention facilities and tourism industry? Yes, if the costs of such remarketing satisfy the requirements of the CARES Act. Expenses incurred to publicize the resumption of activities and steps taken to ensure a safe experience may be needed due to 9 the public health emergency. Expenses related to developing a long-term plan to reposition a recipient’s convention and tourism industry and infrastructure would not be incurred due to the public health emergency and therefore may not be covered using payments from the Fund. Do governments have to return unspent funds to Treasury? Yes. Section 601(f)(2) of the Social Security Act, as added by section 5001(a) of the CARES Act, provides for recoupment by the Department of the Treasury of amounts received from the Fund that have not been used in a manner consistent with section 601(d) of the Social Security Act. If a government has not used funds it has received to cover costs that were incurred by December 30, 2020, as required by the statute, those funds must be returned to the Department of the Treasury. What records must be kept by governments receiving payment? A government should keep records sufficient to demonstrate that the amount of Fund payments to the government has been used in accordance with section 601(d) of the Social Security Act The sub-committee assumed that a non-profit could be treated like a business and therefore the word “business” could be substituted with “non-profit”. AGENDA ITEM #2.b. Kodiak Island Borough CARES Nonprofit Grants - Scoring Criteria Page 10 of 39 KODIAK ISLAND BOROUGH STAFF REPORT AUGUST 13, 2020 ASSEMBLY WORK SESSION Kodiak Island Borough SUBJECT: State of Alaska, Department Of Natural Resources Preliminary Decision For ADL 233409 Shannon Carrol DBA: Trident Seafoods Corporation Application For Lease. ORIGINATOR: Michael Powers RECOMMENDATION: Provide direction on letter for Mayor's signature. DISCUSSION: The proposed "kelp farm" proposed pursuant to the Preliminary Decision, is for nearly 27 acres at Long Island. Staff had previously commented that the use was inappropriate due to the recreation use of the areas. The state states that only 1/3 of the bay will be used, therefore it isn't an significant enough issue to warrant denial. We have also received correspondence from the Naval Surface Warfare Detachment that they use the cove and are opposed. I asked them to file comments with the State and have included their email in the attachments. Staff has prepared the brief letter for approval to send. ALTERNATIVES: FISCAL IMPACT: None. OTHER INFORMATION: None. AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 11 of 39 State of Alaska Department of Natural Resources Division of Mining, Land & Water Southcentral Regional Land Office 550 W. 7th Ave., Suite 900C Anchorage, AK 99501-3577 ADL 233406 Public and Agency Notice: Aquatic Farmsite Lease Pursuant to AS 38.05.945 (USGS Quad Map Kodiak D-4) Subject to AS 38.05.083, the Southcentral Regional Land Office (SCRO) has made a Preliminary Decision to offer a 10-year lease to John Bateman dba Bare Island Farms for a 2.98-acre, more or less, site for the operation of an aquatic farmsite for the purpose of cultivating sugar kelp and ribbon kelp. The location of the project area is further described as being within the SW 1/4 of Section 9 and NW 1/4 of Section 16, Township 26 South, Range 23 West, Seward Meridian, within Dry Spruce Bay near Bare Island, approximately 25 miles northwest of Kodiak, Alaska. The public is invited to review and comment on this Decision. A copy of the Decision can be found at https://aws.state.ak.us/OnlinePublicNotices/default.aspx or is available in hardcopy upon request. Questions concerning how to comment should be directed to Karen Cougan at (907) 269- 8543, by e-mail at karen.cougan@alaska.gov or by fax to (907) 269-8913. All comments must be received in writing at the above listed mailing address or e-mail on or before 5:00 PM on September 2, 2020. To be eligible to appeal DNR’s Final Decision, under AS 38.05.035(i)-(m), a person must have submitted written comments during this comment period. The State of Alaska, Department of Natural Resources, complies with Title II of the American with Disabilities Act of 1990. Individuals with audio impairments that have questions concerning this PD may call Relay Alaska at 711 or 1-800-770-8973 for assistance at no cost. DNR reserves the right to waive technical defects in this publication. AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 12 of 39 EPARTMENT OF NATURAL RES F MINING,LAND AND WATER PRELIMINARY DECISION ADL 233409 Carroll dba Trident Seafoods Scoge of Review: STATE OF ALASKA D OURCES DIVISION 0 Shannon Corporation Application for Lease AS 38.05.083 This Preliminary Decision is the initial determination on a proposed disposal of interest in state land and is subject to comments received during the Public Notice period.The public is invited to comment on this Preliminary Decision.The deadline for commenting is August 24,2020.Please see the Comments Section of this decision for details on how and where to send comments for consideration.Only the applicant and those who comment have the right to appeal the Final Finding and Decision. Proposed Action: The Department of Natural Resources (DNR),Division of Mining,Land and Water (DMLW), Southcentral Regional Land Of?ce (SCRO)has received a request from Shannon Carroll dba Trident Seafoods Corporation (TSC)to lease 25.66 acres,more or less,of tide and submerged lands located in Cook Bay,approximately 5 nautical miles east from the city of Kodiak,for 10 years for the purpose of cultivating bull kelp (Necreocystis luetkeana),sugar kelp (Saccharina latissima),and ribbon kelp (Alaria marginata).The location of the project area is further described as being within the S1/2 of Section 6,Township 28 South,Range 18 West,Seward Meridian. SCRO is considering the issuance of a 10-year aquatic farrnsite lease to TSC for the purpose of an aquatic farm consisting of one parcel to be used for the commercial growth and harvest of bull kelp,sugar kelp,and ribbon kelp. The scope of this decision is to determine if it is the State’s best interest to issue this aquatic farmsite lease. Authority: This lease application is being adjudicated pursuant to AS 38.05.035 Delegation of the Powers and Duties of the Director;AS 38.05.070(b)Generally;AS 38.05.083 Aquatic Farming and Hatchery Site Leases;and AS 38.05.945 Public Notice.The authority to execute the Preliminary Decision ,Final Finding and Decision,and the lease,has been delegated to the Regional Manager of SCRO. Preliminary Decision ADL 233409 Page 1 of 26 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 13 of 39 Legal Description,Location,and Geographical Administrative Record: The administrative record for the proposed action consists of the Constitution of the State of Alaska,the Alaska Land Act as amended,applicable statutes and regulations referenced herein, the 2004 Kodiak Area Plan and other classi?cation references described herein,and the case?le for the application serialized by DNR as ADL 233409. Features: The state land where this proposed lease site is located is described as follows: Site reference name:Cook Bay,Long Island,Kodiak,Alaska Legal description:Sl/2 of Section 6,Township 28 South,Range 18 West,Seward Meridian. Geographical locations:Cook Bay,Long Island,approximately 5 nautical miles from the city of Kodiak,Alaska.See Figure 1 for the project location. Vicinity Map FIGURE 1:General Location Map ADL 233409 Trident Seafoods Corporation NOTE:AnCh0T3Qe This map provides a graphical representation of a proposed aquatic lann lease site.this is not an exact location of the proposed site and has only been provided as a general reference for noticing Exact location of the lease site may Proposed Aquahc adjustedprior to IeaseissuanceThismap Location lS not inlented for navigational purposes Kodiak Island Preliminary Decision ADL 233409 Page 2 of 25 'Kodiak,AK W L/1 Kodiak,Alaska *,'C 5 |,-I Hohdawsland Apprmlnmelv mum Woody Island Cook Bay Nearlsland Trident Seafood:Corporanon Proposed Aquatic F arm 04 0-8 16 Chiniak Bay _.' Miles AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 14 of 39 Third Parg Interests Classi?cation and Planning: Approximate Lat/Longs Parcel #1:25.667 acres NE Comer:57°46.633'N,l52°l5.4l6'W SE Corner:57°46.473’N,l52°l5.7l6'W SW Corner:57°46.583'N,l52°l5.885'W NW Corner:57°46.733’N,l52°l5.600'W Existing surveys:None Municipality/Borough:Kodiak Island Borough 0 Native Corporations/Federally Recognized Tribes:Koniag Incorporated Title: A DNR Title Report (RPT-20767)was requested on January 14,2020 from DMLW’s Realty Services Section.A Title Report issued ?'om DMLW’s Realty Services Section will state whether the State of Alaska holds title to the subject tidelands under the Equal Footing Doctrine and the Submerged Lands Act of 1953.SCRO reserves the right to modify the Final Finding and Decision based upon information contained within the Title Report. No third-party interests are known at this time. The project area ADL 233409 is subject to the Kodiak Area Plan (KAP),Kodiak Region,Map 3- 5,Unit KT-l 5.The project area is designated as Habitat (Ha)and Public Recreation and Tourism- Dispersed (Rd). The project area is designated as Habitat (Ha)and Public Recreation and Tourism —Dispersed (Rd)which converts to the classi?cation of Wildlife Habitat Land and Public Recreation Land. According to Chapter 4 of the KAP,Wildlife Habitat Land “is primarily valuable for (A)?sh and wildlife resource production,whether existing or through habitat manipulation,to supply suf?cient numbers or diversity of species to support commercial,recreational,or traditional uses on an optimum sustained yield basis,or (B)a unique or rare assemblage of a single or multiple species of regional,state,or national signi?cance”.Lands classi?ed as Public Recreation Land are those lands that are “suitable for recreation uses,waysides,parks,campsites,scenic overlooks,hunting, ?shing,or boating access sites,trail corridors,or greenbelts along bodies of water or roadways”. Management guidelines for the siting and operation of aquatic farms are speci?cally mentioned within Chapter 2 of the KAP.The stated goal set forth in Chapter 2 of the KAP for aquatic farms is to “provide opportunities to increase income and diversify the state’s economy through the use of state tidelands and submerged lands for aquatic farming”.Aquatic farming will be allowed on Preliminary Decisio nADL233409 Page 3 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 15 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 16 of 39 Operation and Develogment Plan: while allowing for the development of this project.As such,SCRO is reserving the right to grant other authorizations to the subject area consistent with the Public Trust Doctrine. Lease Discussion: TSC submitted an application for a DNR aquatic farm lease to culture bull kelp,sugar kelp,and ribbon kelp on April 30,2019.On January 16,2020,TSC submitted a ?nalized and updated application in response to a request for additional information from DNR and Alaska Department of Fish and Game (ADF&G). The proposed lease site will be comprised of one parcel covering an area of approximately 25.66 acres,more or less,and measure 1,300-feet by 860-feet.TSC proposes to use a total of 62 longlines,made of 3/8”high quality twisted nylon or polyester blend groundline,measuring 625- feet in length,submerged 7-feet under the water suspended by crab ?oats and anchored using a total of 9 anchors ranging from 200 pounds to 2,000 pounds.On each of the long sides of the parcel,there will be a 5-foot buffer between the longlines and the edge of the parcel while the short ends will have a 10-foot buffer between the longlines and the edge of the parcel.TSC proposes to install PVC seeded lines onto the longlines during October or November annually.Harvest will occur in May annually and the longlines will be removed by June armually. The proposed aquatic farmsite operation must be in best interest of the State before an authorization may be issued.Factors that are to be considered in this decision are identified in 11 AAC 63.050(b). These factors are addressed above and include consideration of land management policies for the project area,existing uses,public access to and along public waters,and the Public Trust Doctrine. At this time the Commercial Use Requirement (CUR)states a farm needs to be making annual sales in excess of $3,000.00 per acre or $15,000.00 per farm by the ?fth year of operation of aquatic farm product.Failure to meet CUR constitutes a default and may be cause for termination. Annual reports of sales are due January 31 of every year. The proposed lease will be subject to the terms of DMLW’s standard lease document and any Additional Stipulations based,in part,upon the following considerations. The Operation and Development Plan revised and submitted on April 30,2019 is accepted by SCRO as complete but may be subject to change based on agency and public review.Should the proposed lease be granted,it is anticipated that the Development Plan will need to be updated throughout the life of the lease as activities and/or infrastructure are added or subtracted.All updates must be approved,in writing,by SCRO before any construction,deconstruction, replacement of infrastructure,or change in activity will be permitted.SCRO reserves the right to Preliminary Decisio nADL233409 Page 5 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 17 of 39 Lease Performance Guaran bondin require additional agency review and/or public notice for changes that are deemed by SCRO to be beyond the scope of this decision. Hazardous Materials and Potential Contaminants: No hazardous materials or fuel will be stored on the proposed leasehold.The use and storage of all hazardous substances must be done in accordance with existing federal,state and local laws. Debris (such as soil)contaminated with used motor oil,solvents,or other chemicals may be classi?ed as a hazardous substance and must be removed from the sites and managed and disposed of in accordance with state and federal law. In accordance with AS 38.05.083(e)and 11 AAC 63.080,TSC will be required to submit a performance guaranty for the lease site. $2,500.00 Performance Bond:This bond will remain in place for the life the proposed lease.The bond amount is based upon the level of development,amounts of hazardous material/substances on site,and the perceived liability to the state. This bond will be used to insure the applicant’s compliance with the terms and conditions of the lease issued for their project.This bond amount will be subject to periodic adjustments and may be adjusted upon approval of any amendments ,assignments,re-appraisals,changes in the development plan,changes in the activities conducted,or changes in the performance of operations conducted on the authorized premises,and as a result of any violations to one or more of the authorizations associated with this project. Reclamation Bond:SCRO is reserving the right to require a reclamation bond due to non-compliance issues during the term of the lease or near the end of the life of the project. Insurance: TSC will be required to submit proof of liability insurance to SCRO,with the State of Alaska listed as a “NAMED”insured party.TSC will be responsible for maintaining such insurance throughout the term of the lease. Survey: In accordance with AS 38.04.045,this short-term lease does not require a survey.However,the State of Alaska reserves the right to require one in the future should the need arise due to changes in statutes or increased use of the area.TSC has submitted GPS coordinate point(s)for the four comers of the proposed leasehold. Preliminary Decisio nADL23 3409 Page 6 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 18 of 39 Comgensation/Aggraisal: Assignment of Lease: DMLW has approved an administrative lease fee schedule for aquatic farmsites that meet the conditions listed within the schedule.The most current lease fee schedule will be used to establish the fair market rental each lessee must pay.Fees are subject to adjustment per AS 38.05.083(c).The current armual rate for a 25.66-acre aquatic farm lease is a base fee of $450.00 for the ?rst acre or portion thereof,and $125.00 for each additional acre or partial acre.In accordance with the Aquatic Farmsite Fee Schedule,Report No.2522-14,a breakdown of the lease fee will be as follows: 25.66 acres (1 acre at $450)+(25 acres x $125)=$3,575.00 per year If the applicant does not agree with the fee schedule amount of $3,575.00,a fair market value determination can be obtained by the applicant.Fair market value is determined by obtaining a DNR approved appraisal of the lease.If an appraisal is conducted to determine fair market value of the lease site,the applicant will be required to pay the appraised amount and the $3,575.00 annual fee will no longer be an option.The appraisal cost will be borne by the applicant.The parcel may need to have an approved Alaska Tidelands Survey to accomplish the appraisal.If a survey is required,the cost will be incurred by the applicant. The proposed lease,if issued,may be transferred or assigned to another individual or corporation only with prior written approval from DMLW.A lease will not be assigned to an entity if that entity does not meet the statutory requirements of the lease or the lease is not in good standing. DMLW reserves the right to amend the terms of the lease prior to assignment. Reclamation: In accordance with AS 38.05.090(b),all lessees must restore their lease sites to a “good and marketable condition”within 120 days after termination of the lease.What level of reclamatio nconstitutesasbeing“good and marketable”is at the discretion of SCRO.DNR reserves the right to require a reclamation bond at any time. Agency Review: An Agency Review was conducted for a 20-day review starting on January 16,2020 and ending on February 5,2020.The following agencies were included in the review: 0 ADF&G —Aquatic Farm Coordinator ADF&G —Habitat ADF&G Wildlife Conservation ADF&G Advisory Committee Alaska Department of Environmental Conservation (DEC)—Shell?sh 0 DNR DMLW —Realty Service Preliminary Decision ADL 233409 Page 7 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 19 of 39 0900 Agency Review Commentgsg DNR DMLW —Mining DNR Division of Parks and Outdoor Recreation (DPOR) DNR DPOR Of?ce of History and Archaeology,State Historic Preservation Of?ce DNR Division of Oil and Gas 0 DNR DMLW —Water 0 DNR Natural Resource Conservation and Development Board 0 Alaska Department of Transportation and Public Facilities National Oceanic and Atmospheric Administration 0 U.S.Army Corp of Engineers (USACE) United States Coast Guard United States Fish and Wildlife Service United States Environmental Protection Agency 0 State of Alaska Department of Commerce,Community,and Economic Development United States Forest Service Tongass Aquatics Program Manager Southeast Soil and Water Conservation District United States Forest Service,Tongass Aquatics Program Alaska Association of Conservation Districts Kodiak Soil and Water Conservation District 0 Kodiak Island Borough City of Kodiak —City Clerk 0 City of Kodiak During the Agency Review,SCRO received comments from two agencies and a “no comment” from one agency. ADF&G Comments: As stated in ADF&G’s Aquatic Farm Coordinator’s February 5,2020 letter,“The Alaska Department of Fish and Game (ADF&G)has completed a preliminary review of the proposal, ADL 233409,relevant to authorizations regulating permitting of this activity (AS l6.40.l05 and 5 AAC 200-400).The ADF&G Division of Commercial Fisheries,Sport Fish,Subsistence, Habitat,and Wildlife Conservation were part of the initial review.The proposal is being recommended for approval of an aquatic farm operation permit with site-speci?c stipulations to meet review criteria provisions speci?ed in the Alaska Aquatic Farming Regulations. Within ADF&G’s letter are recommended site-speci?c conditions regarding access,invasive species,established or existing ?shery uses,protection of wild stock,genetic and disease risk for broodstock collection,marine mammal disturbances,a Department Advisory,and aquatic farm operation permit conditions. Preliminary Decision ADL 233409 Page 8 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 20 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 21 of 39 Commenqs) Public Notice of the Preliminary Decision: Pursuant to AS 38.05.945,this PD will be advertised for 30-day public comment period.Notice will be posted on the Alaska Online Public Notice System,and the post of?ces located in Larsen Bay and Kodiak,Alaska.Courtesy notices will also be mailed or emailed to neighboring property owners,perrnit/lease holders,and other interested parties on July 24,2020 for a 30-day public comment period. This decision is subject to both public and agency comments and all comments received by the comment deadline will be considered in the Final Finding and Decision.Only those who comment and the applicant have the right to appeal the Final Finding and Decision. Written comments about this project must be received in this of?ce no later than 5:00 PM on August 24,2020 to be considered. To submit comments,please choose one of the following methods: Postal:Department of Natural Resources Southcentral Regional Land Of?ce ATTN:Brent Reynolds 550 West 7”‘Avenue Suite 900C Anchorage,AK 99501-3577 Phone:907-269-8567 E-mail:brent.reynolds@alaska.gov Fax:907-269-8913 If public comments result in signi?cant changes to the Preliminary Decision,additional public notice may be given.To be eligible to appeal the Final Finding and Decision,a person must provide written comments during the Preliminary Decision comment period per AS 38.05.03 5(i)-(m). Signature Page F allows Preliminary Decision ADL 233409 Page 10 of 26 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 22 of 39 s?atur Prelimingg Decisinn: Samagtha a{\[k Recommendation: DMLW has completed a review of the information provided by the applicant,examined the relevant land management documents,and has found that this project is consistent with all applicable statutes and regulations.DMLW considered three criteria to determine if this project provided the best interest to the State and the development and enjoyment of its natural resources. The criteria include direct economic bene?t to the State,indirect economic bene?t to the State, and encouragement of the development of the State’s resources.This authorization provides a direct economic bene?t to the State with the collection of one-time ?ling fees and any yearly rent/fees.The authorization of this lease is in the State’s best interest as it furthers economic development of the State’s aquatic farm industry.It is recommended that DMLW issue a 10-year lease to TSC. Brent Reynold al Resource Specialist 11 Date Aquatic Farm Leasing Program It is the determination of the Division of Mining,Land,and Water that it may be in the State’s best interest to issue an aquatic farrnsite lease to TSC,as described above.Upon authorization of lease ADL 233409,the applicant will be required to pay the annual lease fee of $3,575.00,submit a $2,500.00 performance bond,and provide proof of liability insurance.This Preliminary Decision proceed to public notice. Carroll,Manager Date Southcentral Regional Land Of?ce Division of Mining,Land &Water Attachments Attachment A —Development Plan:Project Description,General Location Map,Detailed Location Map,Site Plan Maps,and Cross-Sectional Diagram. Attachment B —Alaska Department of Fish and Game Agency Review Comments;Carroll / Trident Seafoods Corporation Farm Site Proposal —Cook Bay —DNR File No.:ADL 233409 Preliminary Decision ADL 233409 Page 11 of 25 %’Mz?,./1 v7/25é>0.2 0 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 23 of 39 S n lnculion Site slinwnxinns ncrcs fnr cull gurcul Total acres of x|I gnrccls S gcciesyou lnlcm]In [Inn Gear I 1:site number confl unuion mnl mesh 5 I.‘and anclmrln Attachment A Development Plan PROJECT DESCRIPTION TRIDENT srezxrooos,COOK BAY,KODIAK APRIL 30,2019 1.:The proposed aquatic farm site is the northern comer of Cook Bay.Cook Bay is 21 located within Long Island,which is located off the mainland ofKodiak Island.The site is approximately 4.47 nauticalmiles north/northeast of our facility in Kodiak. 2.:The proposed aquatic farm site dimensionis an rectangle,measuring 860 ft wide and 1300 ft long.The total length ofthe longline array is l2SO’. The total length of the array with the scoped anchor lines and anchors is 1290’.Thus,a 5‘buffer exists on each side,length-wise.The total width of the longline array is 800’.The total width of the array with the scoped anchor lines and anchors is 840’.Thus,a 10’buffer exists on each side, width-wise. 3.:The proposed aquatic fann site area is 25.667 acres. 4.:Trident intends to farm the following species at the proposed site;Bull kelp (Necreacystisluetkeana) 'Sugar kelp (Saccharina latissima) I Ribbon kelp (Alaria marginata) Note:Species mix will vary depending on market conditions and growing experience. 5.Culture Method At full capacity,the kelp culture gear will consist of a laterally submerged longline array system made up of 62 longlines,measuring 625 feet in length.Longlines will be anchored to the bottom surface with scoped anchor lines (see ?gures 3.1 and 5).Each longline will be submerged 7 ft under the surface of the water and suspended by crab ?oats,mooring buoys, and anchor lines.Line spacing will range from 20 to 30 feet between longlines,and will be adjusted based on growing productivity,processor capacity,and operational experience. Trident will obtain seed,in the form of PVC seeded lines,from a permitted seed source (both 0ceanAlaska hatchezies).Trident will then (in October/November,weather dependent)install the longline system and thread the PVC seeded lines onto longlines and ensure that tension is equal across all longlines.Seeding will take place October or November,when temperatures are 52 degrees or cooler,cloud cover exists,and on an approaching low tide.Kelp operations will occur between October 1 and June 1,each year.Harvest will occur annually in May. 6.system)At max capacity,the total number of longlines will be 62.The longline array con?guration will be structuredin groups of 2,625 x 800 foot sections.Each longline will be made of 3/8",high quality twisted nylon or polyester blend groundline.Each section will support 31 longlines (measuring 625 feet)that will be suspended approximately 7 feet below the water surface using crab ?oats,mooring buoys,weights,and anchors (depth control system).The site will start with 1,625x800 foot section.As market conditions,growing productivity,and experience allow,the project will scale up,adding a second section of 625x800 foot sections. The second section will be added on to the existing mooring buoy and anchor system. ADL 233409 Attachment A Development Plan Page 12 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 24 of 39 Fgulglllen?lxgcs:e numlwr cnn?gurmon material and mchorlngs stem) Harven zguigmem and method Suggnrl Facilities (me lillxlllllllhll’COHHEIIFKIIOIIXmaterial and anchorlng) Access In and from SIN: Slnrlge locnlon ofeglllgmenl and gear when not in use Attachment A Development Plan The anchor system for each longline will have a smaller anchor and buoy system that will hold each longline approximately 20-30 feet apart.The longlincs will have small intermittentdropper weights and buoy ?oats,as may be necessary to maintain a consistent depth to maximize growth, counter the natural buoyancy of the kelp,and prevent fouling of longlines.Buoy ?oats and dropperweights (depth control system)will be added/removeddepending on buoyancy of kelp.A total of 4 depth control systems will be installed per longline section,for a total of 248 (4 x 62 sections).The end of each longline will be secured to a 250-2,000 pound cement anchor.The total number of anchors will be 9 (6 for first section,then additional 3 for second secton). The total width of the longline array is 800’.The total width of the array with the offset,slanted anchor lines and anchors is 840’.Thus,a 5 ’buffer exists on each side,width-wise.The total length of the longline array is 1250’.The total length of the array with the offset,slanted anchor lines and anchors is 1290’.Thus,a 5'buffer exists on each side,length-wise. The longline systems will be installed in the fall and removed in the by June 1st each year,after the kelp is harvested.Trident will store the longlines,crab ?oats and buoyancy weights on shore. The mooring buoys and their anchoring systems may remain in the water year-round.They will be regularly monitored,even when not in use. 7.See Kelp will be harvested utilizing a repurposed commercial ?shing vessel that will haul the line on deck where the kelp will then be cut using a knife from the longline and subsequently moved to a tow bag behind the vessel.A tender may be used if it is deemed more efficient from an operational perspective.Once harvested,the kelp will go to the Trident’s Kodiak plant for processing and the longline will be secured on deck.This process will be completed for each longline until the harvest is complete.All gear,with the exception of sea?oor anchors and mooring buoys will be removed after harvest is complete. 9.:No support facilities will be used in conjunction with the proposed aquatic farm site. :All personnel will live off-site and will be transported daily from our facility in Kodiak to the site via appropriately sized and manned vcsscls.Either the tender or harvesting vessel will have a head and kitchen facility for crew usage.All waste will be disposed of in compliance with applicablestate and federal laws. 11.:All equipment that is not left in water (e.g.,longlines)will be stored on Trident’s property in Kodiak. ADL 233409 Attachment A Development Plan Page 13 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 25 of 39 4.47nauticalmilesto Kodiak (See?gure1.1 forsupplementalmap) Attachment A Development Plan B D D o .," yr... Project Location 0 $ 0 A Q 1‘ U565 Map KodiakD-1 Scale:1:63,360 Figure 1-General Location Map—USGS Name Tridenl SeafuodsCorporation WalelhodvtCnnk Bay,long Island Region:west ol City of Kodiak,Kodiak Tuday‘s Date:Ap!i|3(1,2019 ADL 233409 Attachment A Development Plan Page 14 of 25 UNITED STATES DEPARTM ENT OF THE IN l‘E|i|OR GEOLOGICAL SURVEV KODIAK ID!) m.a.»4mv.¢»,n.ru.:..:sm, Ml'(r~uE401 mm»-Luotas Hunt.,hm mugm ____,. mm,_,,u..uvnodm - vm Mn KODMK lD'I|.ALASKA ~sr<s—~mmns.m -awn..-u I-Nun nu mnusmunmmmmmamnnmvmmnmemnwunwuummnu ..u—.—-_-n-..-...--.m_u..uu.u-—.n AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 26 of 39 Attachment A Development Plan Fun:l.1—SuppkrnemlGeneulloca?on mp-080$ NamelliduulSnloodstorpourmn Wilubody:Cool?ay,LongIsland Rgfnn:Wu!nlEilvnl(mill.Inhl Today/5nmzapnl an,1019 USG5Map Scale:1163,36!) Kmlink‘DJ E‘V-lzlho hlnllll ’ i51l5_‘i.‘ I ....._...”"‘.;_. ADL 233409 Attachment A Development Plan Page 15 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 27 of 39 Attachment A Development Plan >>.8o8.?.~mH.2hmmmmwqKm<52 P;bommm?K3.2.mmmmm.$.3Him 3Rm@._K.m.—am"..mmm$.S.Kmmm 3.Bm$.mH.~m«..mmm$....<.5.mz Huumcieoou umcommxammM_._o_m.._mE_omnbnBm.m~“mu._< MEN«:a-3o.m29.vuucmnmzmIH_mEmn uwu<Unauuav $8.8__._a<“Emam.>mvo._. v_m__uox.e_m__uov_we35weumw>>Eo_w$.._ _ucm_m_9.3.>mmxoou”>von._mam>> co_Hm.oa._oumuoowmom«:o_..._._._.wEmz taco<<OzInm_>.:o_umuo.._uw__muwn_INBani E2;30..$3..252 ._.< ?_2o:._.<u_zmad 9 BE.92 mzo??. ws_o_._._.<n_z_825238 u \ «$3 tm?<<oz :o_..muo....um_o._a ADL 233409 Attachment Development Pla nPage16of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 28 of 39 Attachment A Development Plan FEM»503:3U22 .mmo<z“E33 gas: uv=__w=o4l.I.||_,an:m4...m..omK,w.;%a...5 x..oz.oEou 32 >>.o8mm.mrm£%a_u8._z_8§.§H ..§._a.E dzaeou am >:8:.?%_%=:w=o._z.8.E._§$uE.._.5“~.oz aeoumm 3_$¢:..2..N2%____w=3z_mmmmm.ovL.m§._.m,E.oz aeoumz nmvumc?noou bomux.oww“mr_o_mcmE_o mmbm nww.mN “mm._< mw._<023.. 28. $8.om__.a<“Ema {anew u_m_.u0v_J_m:uoxmo.35 mo503 Eo_mmm _u:m_m_9.3Sam xoou Suontmumg co_um._oEoumuoou?wmucwu_.._.0ENZ cm:26 I mSam: ADL 233409 Attachment A Development Plan Page 17 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 29 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 30 of 39 -...n.i.5...x<._.._..y..:.€s.§_r. _ .§.i.su.....s§2_.§§m.3¥E.§:....zx.§sm.: _ Attachment A Development Plan 28am__...<28?aws. Euv.§Eu._v?oeu?s =aun.nn._ouwvnuwuuw.=w§...—ruEnz 3:5552»2.295_25_..u»m.n2uuu__n..5.musmm éonmum2:5o._m.§£uuuuiunin=_.s?r_m_u.s.¢=n.€__a 93 H3: A96u:..vnE::2:E292...u.s_._ue8_?cuE:o._>:uvcu«cue.E§m3>_.u>___z..¢._§o=.. 95..va.._un=.ans.nun5.535.._..:..8inuu2.2=_:s._u_u.s?.§3n .uu¢:n ma 1. 26.3Ku:_.nEu.u:_._m:o_2...2.u=:cu2u..___m:o_8E533N.53?at;vo§t..<uuoz* aunts.:23Unin_u._33.25233.2«giro.zm.u..;=uEuu .5 E.m o =_n..U _]lEn=.._u.._n:xuan3:8: a&2._:_s_ 1..ass.55..3aviaWU2:B?cm.3._.__2m._.=_u,9.:.c£u_._nvane:mm6$2.. 2__.an..:2..8:as2sumEau?E2.Ssn?u.9W 333 mm ckH0::_oh:oo:68L /\ thus:JEUCgn‘WN_. .mNwN:D_«u.umWNW_.CO_uUUW ADL 233409 Attachment A Development Pla nPage19of 25 .55 =WI!"WI3' uuntau use35.3 «at.n ucn93.nun»who u..___:3 23.nuuowu:v:_o_.R mc_.no_2..?\m 55:...._uEuu n.8o~.am~ AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 31 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 32 of 39 Dcpartggg Adviser}; Rccummcndcd SiIe—speL 'Conditiuns Attachment B ADF&G Letter Department of Fish and Game Division ofCo1nmcrcia1Fisheries Hendqurrrters Ollicc 1255 West 8‘*=Street P.O Box l 15526 JuneoU.A|ciskc1 9981175526 Mcrin:907,465.42]0 Fax:907 465.2604 Aquatic Forming Coordinator Main:907 465-6150 GOVERNOR MICHAEL I.DUNLEAVY February 5,2020 Brent Reynolds Aquatic Fann Program SouthcentralRegion 550 West 7th Avenue,Suite 900C Anchorage AK 99501 Re Alaska Department of Fish and Game Agency Review Comments Carroll /Trident Seafoods Corporation Aquatic Farm Site Proposal —Cook Bay DNR File No.:ADL 233409 Dear Ms.Cougan The Alaska Department of Fish and Game (ADF&G)has completed a preliminary review of the proposal,ADL 233409,relevant to authorizationsregulating permitting of this activity (ASl6.40.105 and 5 AAC 200-400).The ADF&G Divisions of Commercial Fisheries,Sport Fish, Subsistence,Habitat,and Wildlife Conservation were part of the initial review.The proposal is being recommended for approval of an aquatic farm operation permit with site-speci?c stipulations to meet review criteria provisions speci?ed in the Alaska Aquatic Farming Regulations.Any comments from any other government agencies or through the public comment period that may impact compliance with applicable departmentprovisionswill be consideredas part of the ?nal department review for an aquatic farm operation permit.Recommendations from this preliminary review are summarized below. Pleaseadvise the applicant that if the project is approved,the site-speci?c conditions listed below have been recommended to make the project consistent with the Alaska Fish and Game statutory and regulatory provisions for issuance of an aquatic farm operation permit.In addition,general conditions also listed below will be part of the aquatic farm operation permit.Our department requests that the Department of NaturalResources considerproviding this in the Department of Natural Resourcc’s Preliminary Decision as an advisory to the applicant and for public reference. 0 The permit holder must provide public access to aquatic plants,?sh,shellfish,and wildlife resources,other than the aquatic farm product being cultured at the site,and provide access to other established uses of these resources,to the extent that such access does not disrupt ADL 23 3409 Attachment B ADF&G Letter Page 21 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 33 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 34 of 39 lonzaliousalong a shonzline lo Nduce llle L I.InL:cs o .um um relaltd m n.uIunlJ>lnnu. (1 huI&‘?aa|n§ka.gov (u||ris.lmbicl1l(2t)nlgska.gov Attachment B ADF&G Letter Brent Reynolds -3 -February 5,2020 Department of Natural Resources Aquatic Farm Proposal ADL 233409 ADF&G Review Comments the short-term loss of adaptive potential. To maintain the health of macroalgae beds,efforts should be made by the collector(s)to take the following precautions while collecting to prevent localized depletions: a.Collect sori rather than removing wl1ole plants,unless collecting for initial identi?cation purposes; b.collect no more than 10%from any given patch,bed,group,cluster or aggregation depending on the genus of macroalgae;and c.spread out the collection sites within the area. The permit holder,working in cooperation with a permitted hatchery issued the stock acquisition and transport permit for macroalgae,will provide the department’s Gene Conservation Laboratory with small tissue samples from 60 individuals (or all individuals collected if less than 60 are collected under the permit)of each species for genetic analyses.Samples are to be representative of all collection sites within the approved acquisition area.Contact Judy Berger or (907)267-2175),or Chris Habicht or (907)261-2169),for a collection kit that includes directions and sample materials. The permit holder will implement best management practices to reduce impacts to marine mammals including the following: a.regular maintenance of farm structures (i.e.keeping lines secured and anchor wraps under tension); limiting the use of underwater lighting; ensuring waste material and debris are collected and disposed of correctly; using caution when operating vessels;and directing aquatic farm workers to avoid interacting with or feeding marine mammals. .0?-.09" Any marine mammal entanglements should be immediately reported to the department aquatic farming coordinator (phone 907-465-6150 and and National Marine Fisheries Service Alaska 24 hr Stranding Hotline,phone —(877)925-7773. To reduce disturbances to harbor seals that are hauled-out onshore of any recognized harbor seal haulout,vessels used by the aquatic farming operation should remain a minimum of 500 meters (1640 feet)offshore in these areas and maintain a 457 meter (1500-foot)minimum attitude when traveling by aircra?over haulouts without compromising safe navigation. ADL 233409 Attachment B ADF&G Letter Page 23 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 35 of 39 Agumlc Fnrnl Ogcmllan Pcnll?Cum Is Attachment B ADF&G Letter Brent Reynolds -4 -February 5,2020 Department of Natural Resources Aquatic Farm Proposal ADL 233409 ADF&G Review Comments 0 If approved,any advisories or mitigation steps recommended by NOAA Fisheries as part of the Section 7 consultation will be reviewed and considered for recommendation for our department authorization. 1.The permit holder will improve productivity of the species intended for culture according to the operation and development plan.(5 AAC 41.250(a)(1)) If modi?cations need to be made to the plan over the duration of this permit,an amendment request to update the operation and development plan,and the revised plan, must be submitted to the department for review and approval. 2.The permit holder will limit an aquatic farm or hatchery to the culture of species approved by the department.(5 AAC 4l.250(a)(2)) 3.The permit holder may not store,or otherwise possess,animals of the same species being cultured that have been commercially or recreationally harvested,unless the commercially or recreationally harvested animals are clearly separated from cultured species,labeled,and if applicable,accompanied with a receipt of purchase.(5 AAC 4l.250(a)(3)) 4.The permit holder must prevent aquatic farm operations from signi?cantly altering an established use of ?sh and wildlife resources.(5 AAC 41.250(a)(5)) The project may not impede access to plants,?sh,and wildlife resources,and shell?sh other than the species being cultured at the site to the extent that such access does not disrupt the operation of the aquatic farm,disturb the species being cultured,or damage any of the shell?sh aquatic farm culture equipment,facilities,or gear. 5.The permit holder must conduct aquatic farm operations in a manner that avoids signi?cantly affecting ?sh,wildlife,and their habitats in an adverse manner.(5 AAC 41.250(a)(6)) If herring spawn on the site,the herring eggs must not be disturbed or removed.All eggs must be allowed to hatch.The Department of Fish and Game shall be noti?ed within ?ve days of the initial discovery by the operato Activities at the site may not be conducted in eelgrass or kelp beds.Disturbance of tidelands must be kept to the minimum necessary to practicably accomplish the work. Entrance to and exit from the site must be made where there is no eelgrass. No portion of the ?oating facilities may ground at any tidal stage,other than grounding for purposes of defouling.Def0uli11gactivities must be confined to areas designated for that purpose in attachments to this permit. ADL 233409 Attachment B ADF&G Letter Page 24 of 25 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 36 of 39 AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... Page 37 of 39 August 20, 2020 State of Alaska Department of Natural Resources Division of Mining, Land & Water Southcentral Regional Land Office 550 W. 7th Ave., Suite 900C Anchorage, AK 9950-3357 Subject: ADL233409 Public and Agency Notice: Aquatic Farmsite Lease Greetings: On behalf of the Kodiak Island Borough, we wish to voice our opposition to the proposed initial determination to lease and use 25.66 acres in Cook Bay near Kodiak. The proposed aquatic Farmsite, while only using “1/3” of the cove, impacts recreational uses as well as training mission of the nearby Naval Surface Warfare Facility. The Kodiak Island Borough supports aquaculture, however we believe other more suitable sites can be found for this endeavor. Sincerely, William Roberts Mayor AGENDA ITEM #2.c. State of Alaska, Department Of Natural Resources Preliminary Decision Fo... 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E2505._am.._u=>_AGENDA ITEM #2.c.State of Alaska, Department Of Natural Resources Preliminary Decision Fo...Page 39 of 39 KODIAK ISLAND BOROUGH Meeting Type: _ ,gss�w,��Y 141a'I-f Je SS, In -e7 Date: �" 3 Please PRINT your name legibly Please PRINT your name legibly G� .k 1 nAv Earlier this week I sent a certified letter to Alaska Waste questioning their billing on my accounts. I also ccd borough staff and the mayor and deputy presiding officer. I have two primary concerns. First Alaska Waste is over charging customers compared to what is in the signed contract and secondly they are requiring all building owners to get a 2.0 yard dumpster or larger. 1" on price. 3 issues. I. The signed contract lists a specific rate per dumpster based on how many times it is tipped per week. My new bill is more than double the rate in the signed contract. 2. They are charging for a locking mechanism ($14 per month) which is clearly prohibited in the current contract. They are charging rent on the dumpsters. The contract states contractor "will provide refuse containers to customers". It also states that "contractor will provide roll off containers or dumpsters for which the customer shall be charged in accordance with the Contractor Service Fee Schedule in the contract. The signed contract does not list dumpster rentals as an allowable charge. The contract goes onto say the contractor will provide all necessary equipment to do the job at the service fee. Dumpster rentals adds an additional $70 per month to my bills and adds nearly $85,000 to Alaska Wastes annual profit in Kodiak. The current Alaska Waste pricing sheet for commercial accounts does not match the new contract. If we compared the commercial rate sheet they are using for billing with the two other bidders Alaska Waste would have actually been the high bidder on the commercial side when this contract was evaluated. 2nd issue is all premise owners required to have dumpster service. Two points. First that is listed in Borough Code and you are allowed to change Borough code. If you want to fix that just amend borough code. More importantly, Alaska Waste would lead you to believe that dumpsters are commercial and roll carts are residential. The signed contract does not differentiate. In fact the contract says specifically that a business can use a roll cart. The contract states "A Customer may direct the contractor to provide a Dumpster of alternate capacity, or one or more refuse carts or roll of fcontainers subject to the service fee schedule. I would assume that Alaska Waste and Staff are going to encourage you to change the contract. I would encourage you to be very careful in doing so. The borough chose to negotiate exclusively with one contractor behind closed doors and because of this the only thing we have to really rely on is the signed contract. In the contract the "Contractor warrants that it has conducted such independent investigations, examination and research of the conditions and circumstances surrounding this contract...." Any changes to the contract puts the Kodiak Island Borough at risk of being sued by the unsuccessful bidders and in fact also by any current customer who is being over charged. Please move carefully on this issue. '9 a 1� �U� V t�- DESTINATION MARKETING & TOURISM DEVELOPMENT PROGRAM AGREEMENT THIS AGREEMENT Is entered Into by and between the Kodiak Island Borough (Borough) and Discover Kodiak (contractor) for the purpose of setting forth the terms and conditions pursuant to which the contractor shall be contracted to provide destination marketing and tourism development activities for the Kodiak Island Borough. Section 1. INTENT OF AGREEMENT. The contractor is hereby contracted to provide destination marketing and tourism development in the Kodiak Island Borough. Section 2. SCOPE OF WORK. The contractor will work with the Discover Kodiak Board of Directors to accomplish the following tasks: a. Produce collateral marketing materials, including the Discover Kodiak Visitor Guide b. Maintain and staff the Kodiak VIsitor Center c. Work with the Alaska Travel Industry Association to ensure Kodiak Is represented in their ongoing national and intemational marketing programs d. Continue work with the communities in the Kodiak Island Borough to determine the role tourism does and can play in the community economies e. Work with the Kodiak Chamber of Commerce to transform the visitor Industry into a significant component of the Kodiak region's economy f. Continue development of the kodiak.org website to improve its usability and visibility to visitors, potential businesses, and residents g. Work with Kodiak College, the Kodiak Island Borough School District, Kodiak Area Native organizations, and other organizations to encourage entrepreneurship and assist small business development In the visitor Industry h. Maintain a travel press kit to be available on the kodiak.org website i. Continue work with the airline industry and the Alaska Marine Highway System to maintain and improve access to the Kodiak region A minimum of four Board of Director meetings will be scheduled during the term of this Agreement for the purpose of maintaining board input and guiding the efforts of the contractor. A written summary of Discover Kodiak activities will be submitted to the Borough Manager's Officer and an agenda Page I of 2 item shall be set each quarter for the contractor to present to the the Kodiak Island Borough Assembly. Section 3. TERM. This agreement will remain in effect July 1, 2020 through June 30, 2021, unless earlier terminated. Either party shall have the right to terminate the agreement without penalty upon one month's written notice to the other. Section 4. COMPENSATION. As compensation for all services rendered under this agreement, contractor shall be paid $75,000.00 by the Kodiak Island Borough. Said compensation shall be paid in equal installments of $18,750.00 on the second Friday of July (or upon execution of this contract), and October 2020, and January and April 2021. IN WITNESS WHREROF the parties have executed this Agreement on this 2t day of _ %J U*V, , 2020. KODIAK ISLAND BOROUGH Michael Powers Manager Attest: Borough Clerk DISCOVER KODIAK L" l A Aimee Williams Executive Director 277 297 448.364 Contmcl No. FY2021-03 page 2 ort DATE 1 1 MID U� SCOTT A R N DT DUANEDVORAK JULIE KAVANAUGH WORK SESSION ATTENDED f ATTENDED ANDY SCHROEDER ATTENDED N REBECCA SKINNER ATTENDED DENNIS SYMMONSATTENDED 4 ABSENT ABSENT ABSENT ABSENT ABSENT ABSENT JAMES TURNER ATTENDED ABSENT MAYOR ROBERTS ATTENDE ABSENT