DATE: April 9, 2003
TO: Mayor Cushing / Homer City Council
FROM: Walt Wrede
SUBJECT: Lease Amendment / Coast Guard Cutter Hickory
The negotiations on the mooring lease amendment are complete. You will recall that some modifications and improvements are necessary at the Pioneer Dock before the new Coast Guard Cutter Hickory can moor there in June. This lease amendment addresses how the improvements will be installed and who will own and maintain them. The lease amendment is attached for your review and approval.
In short, the City will be responsible for the design, procurement, and construction of all improvements necessary for the new ship to tie up at the Pioneer Dock. This includes modified fenders, camel logs, and constant tension winches. USCG will reimburse the City for all of this work. USCG will own, operate, and maintain the winches. The City will own and maintain the camel logs and fenders. The Coast Guard will increase the annual lease rate to $16,080.00 to cover the costs of maintenance, repair, and depreciation on the City owned improvements.
RECOMMENDATION: Approval