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Record of Proceedings

Port of Alaska & Solid Waste & AWW Update – August 21, 2025

Assembly & Committee Meetings — Thursday, August 21, 2025
BodyAnchorage, Alaska
SessionAssembly & Committee Meetings
DateThursday, August 21, 2025
StatusFILED
Video Record
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Transcript — Verbatim
0:46

Hello everyone.

0:48

Welcome to the uh assembly's infrastructure enterprise and utility oversight committee meeting.

0:54

Uh we are noticed today at eleven fifteen.

0:56

Welcome.

0:57

Thank you all for being here.

0:58

Uh I'm Aaron Baldwin Day.

1:00

I am chairing uh in lieu of member Johnson who is on the phone today.

1:05

And so I have the power of the gavel for the very first time.

1:07

I hope you'll bear with me as I pilot us through this meeting.

1:10

Um let's start with member introductions.

1:14

Christopher Constant, Anna Brawley.

1:18

You Aaron Baldwin Day?

1:20

Uh Daniel Pollen.

1:22

Yaro Silvers.

1:26

And uh we have members Martinez and Johnson on the phone, as well as Mr.

1:32

Gates, I believe.

1:35

Right.

1:44

All right.

1:45

Um let's uh let's jump right into new business.

1:49

Oh, sure, it's on a softball.

1:50

Yeah, just go one by one.

1:52

Recognize the person on the phone and ask them to say hi.

1:54

Oh that way the record's clear.

1:57

Sure, thank you.

1:58

Uh members on the phone, would you state your name for the record, please and say hello?

2:04

Mr.

2:04

Johnson.

2:05

Oh, Johnson, I'm here.

2:08

Mr.

2:08

Martinez.

2:11

Present, thank you.

2:12

Thank you.

2:13

Thank you, sir.

2:16

All right, let's begin uh with Port of Alaska updates.

2:20

Uh would you all please introduce yourselves and um then I believe you have a presentation for us?

2:28

I'm Jim Jager, acting port director.

2:32

Uh John Daly, Port of Alaska Engineering.

2:37

Sarah Rolando Jacobs Engineering Program Consultant for the Port PAMP program.

3:05

Um could you be sure that your microphone is on?

3:12

We're just sorting out an order of slides.

3:15

Ah, gotcha.

3:16

If I might chair, yes.

3:18

Then um to the port FYI, the plan for the track J.

3:22

You keep getting ready, and I'll just kind of sidebar us.

3:24

The plan for the track J amendment is going to be a motion to amend something previously adopted on our meeting agenda on Tuesday.

3:32

So it won't actually be a new item.

3:34

It won't be a whole process.

3:36

It's going to be a request of the members to support an amendment to an item that has yet to be effectuated.

3:41

So stand by for that.

3:47

Okay, so we'll we'll start uh with our our non-PAMP port projects.

3:52

We have a number of things going on.

3:54

Um the one that you're going to be interested in to begin with is going to be the sprung structure or the port maintenance complex.

4:01

Um we we have the equipment we have uh gone used one of our contracts uh with Michael Baker International to actually do the design for the foundation for that that is happening right now.

4:16

Um that design is going to be turned into an ITB to uh construct the foundation and raise the structure, and you should expect to see that later this fall.

4:27

Uh our expectation is that it will be uh winter or early spring construction, so 2026 construction of the sprung structure.

4:36

Um related to that, we also have a sole source contract that will be coming up in front of you in September.

4:43

That's for about $370,000.

4:46

That is to buy uh equipment, things like anchors, uh, structural components that go along with the structure that we really have to buy from Sprung.

4:56

Um that's pared down from over a million dollars.

5:01

We are we have taken a bunch of the parts of the building, things like doors, the HVAC system walls inside of it that we can build or that we can competitively bid with local suppliers.

Discussion Breakdown — Share of Meeting
Port Management█████████████████████████████████████████████48%
Water And Wastewater Management██████████11%
Waste Management████████9%
Procedural███████7%
Technology and Innovation██████6%
Contractual Audits████4%
Public Works████4%
Engineering And Infrastructure███3%
Budget Equity Analysis███3%
Summary of Proceedings

Port of Alaska & Solid Waste & AWW Update – August 21, 2025

On August 21, 2025, the Infrastructure, Enterprise, and Utility Oversight Committee received updates on Port of Alaska non-PAMP projects, the POL2 dock condition, the PAMP surcharge plan, Solid Waste Services software upgrades, and Anchorage Water and Wastewater capital projects. Chair Aaron Baldwin Day presided in place of Member Johnson. The meeting ran from 11:15 a.m. to 12:19 p.m.

Port of Alaska: Non-PAMP Projects Update

  • Port Maintenance Complex (Sprung Structure): Foundation design is underway via Michael Baker International. Construction is expected winter/early spring 2026. A sole-source contract for ~$370,000 for structural anchors, doors, and HVAC components will be presented in September. The original $1+ million estimate was reduced by competitively bidding many components locally.
  • Fender Repairs: A five-year, ~$2 million/year program to repair fenders on aging dock sections will be brought forward. Crews are currently on site.
  • Energy Services Contract: Negotiations are ongoing; approval expected next month.
  • Cargo Terminal Transportation Optimization Study: A change order for a fourth phase (an additional circulation study) was described. The study focuses on aligning port users’ yards with the new dock after the land swap/lease changes. Assembly Member Constant questioned why the municipality must pay more for what should have been delivered initially. Port staff explained the scope evolved as the base study identified new problems (e.g., roadways not aligning with dock trestles).

Port of Alaska: POL2 Condition Assessment

  • POL2 Dock (Petroleum Oils and Lubricants Dock No. 2): John Daly (Port of Alaska Engineering) presented a list of significant structural issues: hydraulic crane problems, missing rubber fender elements, buckled fender pin piles, corroded main dock pilings, inadequate cathodic protection, and severe corrosion on a pile cap on the approach trestle (discovered Spring 2025). The pile cap is a pre‑tensioned beam with exposed, rusted rebar.
  • Plan: A condition assessment and load rating of the pile cap will be completed by end of 2025 to determine safety for bringing a crane onto the dock. The goal is to keep POL2 operational for ~10 more years until scheduled replacement.
  • Risk: If POL2 fails, the port would be left with only the PCT dock for petroleum, which would be very challenging. Assembly Member Constant noted this would be a major deviation from the PAMP plan and could disrupt TOTE’s operations. Port staff acknowledged the risk but stated this is a last‑resort scenario being studied.

Port of Alaska: PAMP Update – Terminal Two Design & Surcharge

  • Terminal Two Design Contract: Eric Adams (Jacobs) presented a recommendation to award the $3.1 million design contract (with 10% change order authority totaling $3.5 million) to Cowley. Work includes evaluating reduced seismic performance criteria, 35% design, and cost estimates. The item will go to the Assembly on September 9, 2025. No questions were raised.
  • Change Order No. 3 – SafeEarth: $150,000 requested to provide on‑call legal support for the crane purchase agreement and T1 construction contract, particularly to handle potential claims (e.g., missed milestones by August 15, 2028). The change order will be on the August assembly meeting.
  • PCT Fuel Operations: Bill Carlson (Port Engineer) reported $300,000 is being spent on piping modifications and final commissioning. Target completion is October 15, 2025, with fuel vessel operations expected shortly after (pending a cement ship schedule). Amy Johnson queried the construction date of POL2 (early 1980s).
  • PAMP Surcharge Update: Bill Falsey, Chief Administrative Officer, previewed the revised surcharge rates effective January 1, 2026 (to be adopted September 2025):
    • Cargo: Proposed $8.05/ton (down from estimated $8.30/ton).
    • Petroleum: Proposed $0.14/barrel (down from $0.18/barrel, driven by higher petroleum volume in 2024).
    • Cement: Proposed $0.92/ton (up from $0.76/ton, due to lower cement volume in 2024).
    • The surcharge covers debt service for the entire PAMP program; future adjustments are expected for Terminal One procurement and POL2 replacement. The current surcharge represents <10% of the total capacity needed without state/federal grants. Assembly Member Constant asked about the risk of losing an operator and the ensuing death spiral; Falsey confirmed that would be significant but said current signals do not indicate the surcharge is unsustainable.

Solid Waste Services Software Upgrade

Kelly Toth (Director, SWS) and Katie Dank (Finance) reported on a complete software overhaul (first approved in May 2025). Three legacy systems (PC Scales, Tower, Routeware) will be replaced by a single AMCS cloud platform. New features include Vision AI for contamination monitoring, telematics for all fleet vehicles (from 14 to 61 trucks), driver‑assisted terminals to bypass landfill queues, and a customer self‑service online portal (go‑live October 6, 2025). A $330,000 change order for cameras and driver terminals was included. No questions were asked.

Anchorage Water and Wastewater (AWW) Capital Projects

David Persinger, AWW General Manager, highlighted several 2025 summer projects:

  • Glen Highway Pressure Regulating Facility: Replacing a 1967 underground vault with a new above‑ground facility to serve the largest pressure zone (downtown, Port, midtown).
  • Eklutna Water Treatment Facility: Replacing 1980s electrical gear (~$8 million, multi‑year).
  • Braga Pipe Bursting: ~$5 million project replacing corroded pipe with minimal disruption.
  • Pump Station 2 (Westchester Lagoon): Complete rehab (~$20 million) with new pumps, mechanical, electrical, and SCADA.
  • Pump Station 12 (Campbell Lake): Similar rehab (a bit less funding).
  • King Street Fuel System Upgrade: ~$8 million project for fleet fueling and emergency fuel storage.
  • Girdwood I/I Reduction Program: Ongoing effort (since ~2004) to reduce inflow/infiltration from frost‑damaged manholes and laterals.
  • Girdwood Water Intertie (Donner): Directional drill under Alyeska Highway to provide looping and redundancy. All projects are funded through low‑interest loans from state SRF programs (~4% interest), not rate‑payer equity. Assembly Member Brawley inquired about funding sources; Persinger confirmed no grant funding is used.

Key Outcomes

  • No formal votes were taken. All items were presented for information and discussion.
  • Next steps:
    • Port surcharge ordinance will go to the Assembly for action in September 2025.
    • Terminal Two design contract (Cowley) will be on the September 9, 2025 Assembly agenda.
    • SafeEarth change order will be on the August 2025 Assembly agenda.
    • Solid Waste Services’ software go‑live is October 6, 2025.
    • POL2 condition assessment and load rating report expected by end of 2025.
    • A litigation update on the Port’s court cases will be scheduled for a future briefing.
  • Public Comments: None were offered.

Meeting adjourned at 12:19 p.m.

Meeting Transcript

Hello everyone. Welcome to the uh assembly's infrastructure enterprise and utility oversight committee meeting. Uh we are noticed today at eleven fifteen. Welcome. Thank you all for being here. Uh I'm Aaron Baldwin Day. I am chairing uh in lieu of member Johnson who is on the phone today. And so I have the power of the gavel for the very first time. I hope you'll bear with me as I pilot us through this meeting. Um let's start with member introductions. Christopher Constant, Anna Brawley. You Aaron Baldwin Day? Uh Daniel Pollen. Yaro Silvers. And uh we have members Martinez and Johnson on the phone, as well as Mr. Gates, I believe. Right. All right. Um let's uh let's jump right into new business. Oh, sure, it's on a softball. Yeah, just go one by one. Recognize the person on the phone and ask them to say hi. Oh that way the record's clear. Sure, thank you. Uh members on the phone, would you state your name for the record, please and say hello? Mr. Johnson. Oh, Johnson, I'm here. Mr. Martinez. Present, thank you. Thank you. Thank you, sir. All right, let's begin uh with Port of Alaska updates. Uh would you all please introduce yourselves and um then I believe you have a presentation for us? I'm Jim Jager, acting port director. Uh John Daly, Port of Alaska Engineering. Sarah Rolando Jacobs Engineering Program Consultant for the Port PAMP program. Um could you be sure that your microphone is on? We're just sorting out an order of slides. Ah, gotcha. If I might chair, yes. Then um to the port FYI, the plan for the track J. You keep getting ready, and I'll just kind of sidebar us. The plan for the track J amendment is going to be a motion to amend something previously adopted on our meeting agenda on Tuesday. So it won't actually be a new item. It won't be a whole process. It's going to be a request of the members to support an amendment to an item that has yet to be effectuated. So stand by for that. Okay, so we'll we'll start uh with our our non-PAMP port projects.

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