Ordinance also introduced to amend ADU code

by Michael Armstrong

Special to The Seward Folly

Two actions taken by the Seward City Council last month chipped away at the ongoing issue of providing more housing.

At a work session on March 24, the council heard a report and recommendations from Deputy City Manager Jason Bickling that could help 18 owners of 25 lots in the Forest Acres Afognak Subdivision build affordably on their properties. The council also went into executive session at the end of its regular meeting to discuss legal action regarding the previous owner of that subdivision.

Then, at the regular meeting, the council and Mayor Sue McClure unanimously voted to introduce Ordinance 2025-007 to amend city code by allowing attached efficiency apartments to be more than one room and allowing detached accessory dwelling units, or ADUs. ADUs would have to be smaller in size than the main single-family home. That ordinance comes up for a public hearing and action at the council’s next meeting on April 14.

Bickling’s report on Forest Acres looked at the history of the subdivision — researched with the help of Council Member Randy Wells — and the cost of bringing roads and utilities, about $4 million for all 25 lots. At the work session Bickling presented some numbers for developing and financing the lots located north of Ash Street.

For a 0.82-acre lot where the landowner paid 100% of the utilities, the cost would be $194,000. Financed at 9.5% over 10 years, the total cost would be about $300,000 or $2,500/month. That cost could be dropped to $1,800/month if financed over 20 years, Bickling said.

In public testimony at the work session, Forest Acres landowner Brendan Ryan offered perspective on the sticker shock of that cost.

“Somebody would have to be crazy in order to invest $600,000 in order to be able to build like a two-bedroom, one-bath home,” he said.

Bickling proposed another option where the landowners would only have to pay for electricity and roads. The landowners also would pay for water and sewer — wells and septic systems. That would require amending city code and setting up a permit system. With the owner paying 100% of just electricity and roads, the cost for a 0.82-acre lot would drop to $73,000 or $948/month if financed over 10 years.

“If we’re looking at roads and electric only, we are dealing, we’re getting a lot closer to what we would say is being more affordable,” Bickling said. 

In public comments, Nicole Lawrence said she estimated the cost of well and septic to range from $15,500 to $25,000. If the landowner paid half of the electricity and roads, the bill might be about $65,000.

“It’s doable, because we want to see these people be able to build,” she said.

Bickling’s report also included documents showing the history of the subdivision, including a 2006 resolution of the Seward Planning and Zoning Commission requiring a subdivision agreement before recording the plat. Under city code, a subdivision agreement cannot be made until the owner makes required improvements — roads and utilities.

“The owner violated that agreement by recording the plat prior to there being a subdivision agreement in place and selling the parcels before making the improvements set down in the preliminary plat approval and city code,” Bickling wrote in his report. “Because there was never a subdivision agreement put in place by the previous owner with the city, that still needs to be resolved before development takes place.”

At the regular meeting, Council Member Wells pulled Ordinance 2025-007 from the consent agenda. Wells said he wanted to do so to discuss the ordinance. Under the proposed change, accessory dwelling units would be allowed to be detached from the primary residence. If the ADU was on a lot that could be subdivided, the ordinance would require separate electricity, water, and sewer hookups. That would make the ADU more expensive for someone who might not want to subdivide right away, Wells said. He proposed an amendment that wouldn’t require separate utilities on a lot that could be subdivided until the owner did so. Mayor McClure noted that such an amendment could be made when the ordinance comes up for second reading.

In other action, the council:

• Introduced Ordinance 2025-005 to rezone Spring Creek Park from Industrial to Park zoning;

• Introduced Ordinance 2025-006 to rezone Fourth of July Beach Park from Industrial to Park zoning;

• Introduced Ordinance 2025-008, powers and duties, Electric Department, to include the provision of cashier and billing services;

• Passed Resolution 2025-030 authorizing City Manager Kat Sorensen to enter into an agreement with the Seward Chamber of Commerce for the provision of visitor services and economic development activities in the amount of $300,000;

• Passed Ordinance 2025-004 amending city code to clarify that day-use areas, campgrounds and other reservable areas are subject to parking enforcement;

• Passed Resolution 2025-028 authorizing the city manager to update the city’s contract with Electric Power Systems Inc. to do a land services study for easements along Nash Road for the Phase II transmission upgrade project;

• Passed Resolution 2025-029 authorizing the city manager to execute a task order with R&M Engineering for the 15% design and engineering of the police department building in an amount not to exceed $297,994; 

• Heard a presentation by Elizabeth Greer on the Alaska Railroad Freight Dock expansion, and

• Interviewed and recommended Karina England for the Seward City seat on the Kenai Peninsula Borough Planning Commission.

For more information on the council’s March 24 agenda and document, visit City of Seward.

Michael Armstrong is a retired Homer News reporter and editor. Reach him at wordfolk@gmail.com.

The Seward Folly publisher Robert Barnwell is a current member of the Seward City Council, but he did not participate in the editing of this story.