July 31, 2025, by Michael Armstrong

Special to The Seward Folly

In a meeting where the Seward City Council’s main business consisted of a stack of resolutions, it approved two agreements related to the City of Seward Electric System. At its July 28 meeting, in Resolution 2025-072, the council unanimously approved a collective bargaining agreement between the city and the International Brotherhood of Electrical Workers. It also approved unanimously in Resolution 2025-073 the 2025 wholesale power contract and joint use and operations and maintenance agreement between the city and Chugach Electric Association Inc.

In other resolutions, the council authorized the purchase of a new breathing air compressor, a new side-by-side all-terrain vehicle — both for the Seward Volunteer Fire Department — and the purchase of a back-up pump for a wastewater lift station. It also authorized paving a portion of Phoenix Road.

According to an agenda statement from  Electric Operations Supervisor Taylor Crocker, the collective bargaining agreement with the IBEW has these changes:

• The contract is extended through June 30, 2029;

• Standby pay for linemen is increased by $2 an hour and for operators by $3 an hour;

• Enhanced overtime premiums were agreed upon to compensate employees for after-hours availability;

• The tools and clothing allowance is increased from $850 to $1,200 annually;

• The journeyman lineman base rate of pay effective July 1, 2025, is increased to $60.01 an hour; to $64.21 on July 1, 2026; to $68.70 on July 1, 2027; and on July 28, 2028, increased to “100% of the U.S. Department of Labor Consumer Price Index for all urban consumers for Anchorage measured from January 1st, 2027 through December 31st, 2027, with a minimum 2.5% and a maximum of 5%”;

• Pension contributions to the Alaska Electrical Pension Fund are increased effective July 1, 2025, to $11.57 an hour; to $13.07 an hour on July 1, 2026; to $14.07 an hour on July 1, 2027; and to $14.57 an hour on July 1, 2028;  

• Pension contributions to the Alaska Electrical Workers Retirement Savings Plan are increased monthly to $265.00 per eligible employee.

“We’re really excited about the provisions in here and the operational stability and the ability to recruit and maintain a skilled work force,” Seward City Manager Kat Sorensen said.

The wholesale power agreement and joint operations agreement gives Seward more control over its electrical operations. In an agenda statement, Electric Utility Manager Brian Hickey said the agreement makes these changes:

• Make sure the city’s power requirements are met fully;

• Excludes Seward from paying for Chugach Electric’s production reserves;

• Allows Seward the option to supply its own gas or generation resources;

• Permits Seward to provide energy to other Railbelt electrical utilities;

• Provide a fair rate structure that unbundles production and transmission rates.

Hickey said that one key change gives Seward control over work that needs to be

done, such as powerline clearing. Previously, Chugach would do that and send Seward the bill. Seward can now do work itself, contract to have it done, or work with Chugach Electric.

The agreement also allows Seward to negotiate a specific rate for cruise ships if the terminal and shore power is in service.

“They’ve (Chugach) agreed to negotiate a rate that there’ll be no discrimination between Whittier and Seward,” Hickey said. 

Seward also will have the ability to dispatch power from 12-megawatt, two-hour service batteries for cruise ships when it’s not being used for cruise ships, Hickey said.

The council also approved purchases of new equipment for the fire department. In Resolution 2025-068, it authorized spending up to about $65,000 for a new breathing air compressor.

Sorensen said the old compressor is 18 years old and that city administration had hoped it would last an anticipated 20 years.

“But the end of life came a little sooner than anticipated, so we are hoping to move forward with this purchase,” she said.

“So it’s potentially breathed its last, right?” Mayor Sue McClure said to laughter from the room.

The council approved purchase of a six-wheel, side-by-side Can-Am all-terrain vehicle and a patient mover for up to about $51,000. Fire Chief Clinton Crites said the ATV would allow for rescues in rugged terrain and wilderness. Currently the fire department uses a Jeep to access remote areas.

“We’ve just had a growing number of incidents that we needed this,” he said. 

Sorensen said the increase in rescues had prompted administration to request the purchase now instead of waiting for the next budget cycle. Council Member Kevin Finch asked if the Jeep would work until the Can-Am ATV could be purchased in the next budget cycle.

“I mean, with the amount of money we’ve been spending this past year on vehicles, I’d like to see this held off till next budget session,” he said. 

Crites said he understood Finch’s concern.

“But as the fire chief, I have to come to you when I see a public safety threat and I have to tell you I have a solution for a threat that we have multiple examples of,” he said.

In response to a question from Council Member Robert Barnwell about where the funds would come from and if there was a sufficient balance, Sorensen said the motor pool fund has a balance of about $1.7 million. 

In response to another equipment need, the council also approved up to about $113,000 for a backup pump replacement for Wastewater Lift Station No. 3. Public Works Director Doug Schoessler cited an incident before the July 4 weekend where a pump there failed. A back-up pump was installed and the old pump removed. Schoessler said the old pump might be able to be rebuilt, but given the lead time to order a new pump and the cost, the city requested purchasing a new one.

The council next meets at 7 p.m. Monday, Aug. 11.

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.