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HomeMy WebLinkAboutSavoonga Bulk Fuel-DES 1991state of Alaska Walter J. Hickel, Governor Alaska Energy Authority A Public Corporation October 4, 1991 Mr. George Noongwook, Manager Savoonga Native Store P.O. Box 100 Savoonga, Alaska 99769 Subject: Project Agreement No. 2800440 Dear Mr. Noongwook: A copy of the subject agreement for the Savoonga Bulk Fuel Repair project is enclosed for your files. The Energy Authority - as required by state statute - has also forwarded a copy of this agreement to the Alaska Department of Labor. We are required to notify the Department about construction projects that use state funds. Please call Pat Woodell, of my staff if the Department of Labor contacts you with questions about this project. If you have any questions about the scope, schedule or procedures for the projects, please contact Gary Smith, Manager of Rural Projects, at 800-478- 7877. Mi David Denig- Director of Rural Programs DDC:ekn Enclosure as stated cc: Senator Albert P. Adams, Alaska State Legislature Representative Richard Foster, Alaska State Legislature Sue so a gt “authori t Gary Smith, Alaska Energy Authority Pat Woodell, Alaska Energy Authority Dominic Costanzo, Alaska Energy Authority MJ DA BAv ANA linacns Alaela QORAA (ONT) AAB_AWR7E Contract No. 2&S¢0oYye SAVOONGA IRA COUNCIL GRANT AGREEMENT Savoonga Bulk Fuel Repair PURPOSE AND DESCRIPTION This Agreement entered into this p20 dayof §OcPober 1991, is between the ALASKA ENERGY A OR ol uthority) and the SAVOONGA IRA COUNCIL dba SAVOONGA NATIVE STORE (the Council). The Agreement provides a grant-in-aid of construction to the Council for repair of its bulk fuel —- facility (the Project). This Agreement is effective through Tre evn beer 3, 1A), Article A. ALASKA ENERGY AUTHORITY COVENANTS The Energy Authority will: 1. Subject rane oe and availability, provide the Council with a grant not to exceed $25, ‘or the Project. a Budget and expend these funds in the State Accounting System (AKSAS) under 32452, Collocation Code 08162205, Ledger Code 81823716. 3. Upon receipt of an invoice requesting payment to the Council of actual costs and color photographs of the completed installation, make a one-time reimbursement to the Council to cover actual costs of the Project. Article B. . SAVOONGA IRA COUNCIL dba SAVOONGA NATIVE STORE COVENANTS The Council will: 1. Expend grant funds only for the purposes provided for under this Agreement. 2. Provide the Energy Authority with an invoice requesting reimbursement for expenses associated with the Project. Include documentation of actual Project costs. 3. Provide the Energy Authority with color photographs of the completed installation. 4. Permit the Energy Authority to inspect, in such manner and at all reasonable times, all the Council’s activities related to the Council’s performance under this Agreement. Such right of examination shall include inspection of the Council’s offices, facilities, and accounting records associated with the Project. Article C. MUTUAL COVENANTS The Energy Authority and the Council agree to the following: 1. Indemnification. The Council shall indemnify, save harmless and defend the Energy Authority, its officers, agents, servants, and employees from all liability, including costs and expenses, for all actions or claims resulting from injuries or damages sustained by any person or property arising directly or indirectly as a result of any error, omission or negligent act of the indemnifying party, its officers, agents, servants, or employees or anyone directly or indirectly employed by it in the performance of this Agreement. 2. Rights to Terminate Agreement. The Council acknowledges the right of the Energy Authority to terminate this Agreement without payment of liquidated damages to the Council if it is determined by the Energy Authority to be in the best interest of the State to do so; if funds are no longer available, or for cause. For the purposes of this paragraph, "cause" is defined as the provision of incorrect or misleading information by the Council or the Council’s failure to provide information that, in the opinion of the Energy Authority, is a material fact that would have influenced Energy Authority actions. Under these conditions, The Council waives any right of recourse and will reimburse the Energy Authority for all unspent funds the Council has received according to this Agreement plus all costs, including attorneys’ fees, incurred by the Energy Authority to perfect its claim or collect those funds. The Energy Authority also texminate the eement if the Council fails to complete the Project by Sebreribee 30, 1991, or if the Council fails to. meet standards or perform services described in Article B. 3. Availability of Funding. The Council acknowledges that this Agreement is subject to availability of money from the State of Alaska or other sources to finance performance under this eement. If funding is withdrawn, reduced, or limited in 7 way after the effective date of this eement and before the completion of performance, the Energy Authority may terminate the Agreement without noe damages. The Energy Authority may, in its discretion, renegotiate the terms of this Agreement to comply with any new funding limitations or conditions. 4. Audit Requirements. This Agreement is subject to the audit requirements of Title 2, Chapter 45 (Grant ae of the Alaska Administrative Code (AAC), commonly referred to as the "Single Audit Regulation." 5. Parties not Being Agents of Each Other. It is agreed that the Parties, their officers, agents, servants and employees shall act in an independent capacity and not as agents of the other parties in the performance of this Agreement. 6. Disputes. Either party to this Agreement may bring an action against the other party in the superior court for the State of Alaska to resolve a dispute arising under this Agreement. Any lawsuit sani oie Agreement shall be heard by the superior court, Third Judicial District at Anchorage. All legal costs, including attorneys’ fees not otherwise ‘atta for in this Agreement, shall be allocated pursuant to Alaska Civil Rule 82. 7. Binding Effect. This Agreement and all of its terms, covenants, conditions, appendices and attachments represent the entire agreement and shall extend to and be binding upon the respective heirs, executors, administrators, grantees, successors and assigns of the parties to this Agreement. 8. Severability. If any section, paragraph, clause or provision of this Agreement or any agreement referred to in this Agreement shall be finally adjudicated by a court of competent jurisdiction to be invalid or unenforceable, the remainder of this Agreement shall be unaffected by such adjudication and all the remaining provisions of this Agreement shall remain in full force and effect as if such section, paragraph, clause or provision or any part thereof so adjudicated to be invalid had not been included herein. 9. Declaration of Public Benefit. The parties acknowledge that the Project is to be constructed for the benefit of the general public and will not deny any person use of Project facilities or use of power produced from Project facilities due to race, religion, color, marital status, age, sex, or national origin. 10. Notices. Any notice required of either party shall be in writing and, unless receipt of such notice is expressly required by the terms of this Agreement, shall be deemed served when deposited in the mail in a sealed envelope, with sufficient first class postage affixed, and addressed to the appropriate party. The notices shall be sent to each party’s place of business, which in the case of the Energy Authority shall be: Charlie Bussell, Executive Director Alaska Energy Authority P.O. Box 190869 Anchorage, Alaska 99519-0869 907) 561-7877 (907) 561-8584 (FAX) and in the case of the Council shall be: Mr. George Noongwook, Manager Savoonga Native Store P.O. Box 100 Savoonga, AK 99769 THIS AGREEMENT has been reviewed, agreed to, and executed by the following parties: for the ALASKA ENERGY AUTHORITY oxic Wow: fa, C. Russebb (o3/qs (Signature) ate Charlie Bussell Executive Director (Name Printed) (Title) STATE OF ALASKA ss. THIRD JUDICIAL DISTRICT ic The foregoing a was acknowledged befor this 3” day of eee 1991, by, lone Hanai fe fhathe the FyecuTye . hive ree hie of the Alaska Energy Authority. Buse dui Guttheer Notary Public, State of Alas . My Commission Expires: t 1/3 for the SAVOONGA IRA COUNCIL dba SAVOONGA NATIVE STORE by 9-4-1 (Date) LS PRESIDE 7 ame Printed (Title) STATE OF ALASKA ss. SECOND JUDICIAL DISTRICT The foregoing Agreement was acknowledged before me this day of 1991, b the y of the Savoonga IRA Council. Notary Public, State of Alaska My Commission Expires: ~~ ww wy err ee CITY OF SAVOONGA PO BOX 87 SAVOONGA. ALASKA 99769 PHONE 984-6614 . | DATE: August 26, 1991 FOR FUNDING TO CONSTRUCT A PERMANENT BULK FUEL STORAGE FACILITY RECE CITY OF SAVOONGA, ALASKA CEIVED RESOLUTION NO. 91-13 SEP 03 199] | A RESOLUTION OF THE CITY OF SAVOONGA IN supporT “SKA EXERGY AUTHORIT | WHEREAS, the community of Savoonga's existing bulk fuel storage facilities are numerous and in very aged and deteriorated phipical condition; and WHEREAS, because of the deteriorating condition and close proximity of the tanks to schools and residence, and severe lack of compliance with applicable federal and state regulations and codes the public safety and health of Savoonga's residents is greatly at risk and constant threat of fire or other disaster, and WHEREAS, in August, 1991, the fuel distribution refused | delivery. Emergancy assistance was required and provided at a minimal level to allow for delivery of the winter fuel supply. | The repairs are only temporary and an immediate longterm plan and action is critical; and WHEREAS, the project growth of the City's population will necessitate expanded fuel storage capacity; and WHEREAS, the City of Savoonga is not in a financial position to assume the planning, design and construction costs required for a consolidated bulk fuel storage facility and requires fund- ing assistance on this project. NOW, THEREFORE, BE IT RESOLVED, that the City of Savoonga respectfully requests the Governor and the Legislature to support and appropriate the required funding for a new and code compliant consolidated bulk fuel storage facility in Savoonga. PASSED and APPROVED this _ (ge day of Airdyact , 1991. tn yg — ttilin Sr., Mayor ATTEST: 14a. a “NV ae State of Alaska walter J. Hickel, Governor Alaska Energy Authority A Public Corporation August 27, 1991 Mr. George Noongwook, Manager Savoonga Native Stove P.O. Box 100 Savoonga, AK 99769 Dear Mr. Noongwook: Two copies of the grant agreement for emergency repairs to the Savoonga Native Store gasoline tank farm are enclosed for signature and notary by the Savoonga IRA Council. Please have the Council’s representative return both copies to us, and we will return a fully-executed original after the agreement has been signed by our Executive Director. Upon receipt and approval of invoices and photographs described in the grant agreement, the Energy Authority will send the Council’s reimbursement check to Alaska Native Industries Co-operative Association, Inc. in Seattle. We look forward to working with you on this project. If you have any questions, please contact me or Brian Gray, Project Manager, at (800) 478-7877 or 561- Director of Rural Programs Enclosures as stated cc: Mr. Ron Corley, Fuel Coordinator ANICA, Inc. FAEGEUsFA, EEUEse ALASKA NATIVE INDUSTRIES CO-OPERATIVE ASSOCIATION, INC. Since 1948 August 22, 1991 Mr. Jim Dwight Pacific Alaska Fuel Service P.O. Box 2287 Seattle, WA 98111 Re: _Savoonga Heating Fuel #1 - Fuel Delivery - Booking 6237 Dear Mr. Dwight: Please make the following changes to our Order 35-5181 for the Savoonga Native Store. 1. Reduce the 7th Day Adventist Church delivery to 450 gallons. 2. Delete the Presbyterian Church order of 4,000 gallons. 3. Add a delivery to the National Guard of 5,700 gallons. All other quantities remain the same. a The total quantity of the revised order is 28)a50 gallons. ri was Non’ Corley Fuel ortey, RC:ecs Enclosure cc: George Noongwook, Manager, Savoonga Native Store Joe Barber, Alaska Division of Emergency Services Brian Gray, Alaska Energy Authority Lt Jeff Lenz, Store Advisor, ANICA, Inc. —= yy — ee Ne ALASKA NATIVE INDUSTRIES CO-OPERATIVE ASSOCIATION, INC. (on? a August 12, 1991 Since 1948 Re: Savoonga Native Store HF#1 - Order 35-5181 Dear Mr. Dwight: Listed below are the delivery sites for Savoonga’s oil order. Please note the reduced quantity, and adjust the order accordingly. Site “ Quantity BSSD Tanks 35,000 City of Savoonga 40,000 7th Day Adventist Church 2,000 Presbyterian Church 4,000 Dept. of Transportation 3,000 mtotal Order 5 45 sa o aj) «© - » » » » 84,000) gallons Ron Corley Fuel Coordinator RC:ecs cc: Joe Barber, Alaska Division of Emergency Services Brian Gray, Alaska Energy Authority Jeff Lenz, Store Advisor, ANICA, Inc. SAVOONGA, ALASKA CiTY OF SAVOCONGA P.O 5OXx 87 SAVOONGA ALASKA 99769 PHONE 984-66'4 DATE: August 26, 1991 CITY OF SAVOONGA, ALASKA RESOLUTION NO. 91-13 A RESOLUTICN OF THE CITY OF SAVCONGA IN SUPPORT FOR FUNDING TO CONSTRUCT A PERMANENT RULK FUEL STORAGE FACILITY WHERDAS, the community of Savocnga's existing bulk fuel storage facilities are numerous and in very aged and deterivrated phipical condition; and WHEREAS, because of the detcriorating condition and close proximity of tne tanks to schools and residence, and severe lack of compliance with applicable federal and state regulations and codes the public safety and health of Savoonga's residents is greatly at risk and constant threat of fire or other disaster, and WHEREAS, in August, 15991, the fuel distribution refused delivery. Emergancy assistance was required and provided at a minimal level to allow for delivery of the winter fuel supply. The repairs are cnly temporary and an immediate longterm plan and action is critical; and WEEKEAS, the project growth of the City's population will necessitate expanded fuel storage capacity; and WHEKEAS, the City of Savoonga is not in a financial position assume the planning, design and construction costs required roa consolidated bulk fuel storage facility and requires fund- g assistance on this project. NOW, THEREFORE, BE IT RESOLVED, that the City of Savoonga respectfully requests the Governor and the Legislature to support and appropriate the required funding for a new and code compliant consolidated buik fuel storage facility in Savoonga. PASSED and APPROVED this Ale day of Priadac te , 1991. ATTEST: sda a ma _ = FORUEGSsA, ETEES. ALASKA NATIVE INDUSTRIES CO-OPERATIVE ASSOCIATION, INC. CEIVED Si 1948 oa mee y 199! August 12, 1991 , Auinority pyor’*~ Re: Savoonga Native Store HF#1 - Order 35-5181 Dear Mr. Dwight: Listed below are the delivery sites for Savoonga’s oil order. Please note the reduced quantity, and adjust the order accordingly. Site Quantity BSSD Tanks 35,000 City of Savoonga 40,000 7th Day Adventist Church 2,000 Presbyterian Church 4,000 Dept. of Transportation 3,000 Total Order ......... +... +. . 84,000 gallons Fuel Coordinator RC: ecs cc: Joe Barber, Alaska Division of Emergency Services “Brian Gray, Alaska Energy Authority Jeff Lenz, Store Advisor, ANICA, Inc. P.O. BOX 225 UNALAKLEET, ALASKA 99684 (907) 624-3611 BREVIG MISSION COUNCIL DIOMEDE ELIM GAMBELL GOLOVIN KOYUK SAINT MICHAEL SAVOONGA SHAKTOOLIK SHISHMAREF STEBBINS TELLER UNALAKLEET WALES WHITE MOUNTAIN 5 August 1991 AUG ~ 4991 George W. Noongwook, Store Manager Savoonga Native Store P.O. Box 100 Savoonga, Alaska 99769 Ai ae oo Dear George, This letter is in reply to your letter of August 1st requesting a commitment in writing from the Bering Strait School District as to how many gallons of heating fuel we can store in our tanks in Savoonga for the Savoonga Native Store. We have determined this number to be 35,000 gallons. This estimate is based upon monthly records submitted by our Maintenance Custodian Morris Toolie. Depending on when you have the fuel delivered, and an updated fuel storage check by Morris, we could increase that number upwards. We are more then willing to make available our excess storage for heating fuel to the Native Store. We would like to make a couple of conditions. First, we need to make it as labor free as possible for our personnel. A written procedure as to how the tanks will be used needs to be submitted to us outlining what you expect from our staff with your usage. We have enough work to do just running the school each year. The second is that we be relieved of any liability for oil spills relating to your usage of our tanks. This we would need in writing prior to your fuel entering our tanks. Except for these conditions, please contact us with your plans and we are willing to accommodate you as best as possible for the good of the community. Sincerely, Tim Towarak Director of Facilities CC: Ron Corley, ANICA -Seattle Joseph Barber, State of Alaska Fmeroency Serricac DSAVOONGA, ALASKA CITY OF SAVOONGA P.O, BOX 87 SAVOONGA, ALASKA 99769 PHONE 984-6614 August 6, 1991 TO: Savoonga Native Store The City Council Members and the Mayor have’ agreed to allow the Native Store use of the City's tank. The tank can be filled with 30,000 gallons of fuel oil from the store. Chester Noongwook, Vice-Mayor 100 SAVOONGA NATIVE STORE P.O. Box 100 Savoonga, Alaska 99769 Telephone: (907) 984~- 6132 Nome of sender Coeornes Date R-Q2-7/ time Bil abies deliver immediately the following pages to: Fax # (300-97 §- 238 No. of pages A name AVEC Company Cepartment Comments: Requested by: oP Approved ee. Pisase ce/! our office mediately If you Go not recelve all the copras eres Sh | Fo) (gue Gunman), Mirage Logiolces -- at thin Jims Md ho not ingthe ce palilty, Ay str glover a | Chen ) thoy SAstnnaws- t PREGEG@s.FE, 1HGGs. ALASKA NATIVE INDUSTRIES CO-OPERATIVE ASSOCIATION, INC. sine 188 RECEIVED NOV 8 999] November 5, 1991 Alaska Energy Authority Mr. David Denig-Chakroff Director of Rural Programs Alaska Energy Authority P.O. Box 190869 Anchorage, AK 99519-0869 Re: Savoonga Bulk Fuel Repair Grant Dear Mr. Denig-Chakroff: ANICA, Inc. is submitting the attached documents for your review and payment. The amount submitted is $24,743.07. Your check should be made payable to the Savoonga Native Store and mailed to our corporate address. In behalf of the Savoonga IRA Council, and the people of Savoonga, we wish to express our appreciation for the support and assistance your agency has provided. rely, | ( rr lol Ron Corley Fuel Coordinator RC:ecs Attachments Mert YE SAW UUNGA P.O. BOX 87 SAVOONGA. ALASKA 99769 PHONE 984-6614 ee February fos tobY FD rFER TR 1892 856 ENMCOY Authog Ley: : pear Alaska Enélgy pucthovi ty; City of Savoonga will be having a public meeting on future project planning on the 6th of March, 1992 at 1:00 pm. Topics of discussion will be community planning in regards to solid waste and honey bucket disposal site and to define a new site and location of community bulk fuel storage tanks. Meeting will be held in the Savoonga City Hall. See attachment for invitation list. Sincerely, Dishes Digdy ie Warren Toolie, Mayor TENATIVE AGENDA 1. CALL TO ORDER =. INVCCATICN 3. INTRODUCTION OF GUESTS cClly Ur SAVOUONGA P.O. BOX 87 SAVOONGA, ALASKA 99769 PHONE 984-6614 CITY OF SAVOONGA PUBLIC MEETING . MARCH 6, 1992, 1:00pm 4. BULK FUEL STORAGE TANKS-LOCATION COMMENTS or QUESTIONS: - SOLID WASTE AND HONEY uw COMMENTS OR QUESTIONS: 6. AIRPORT IMPROVEMENTS CITYS PROPOSAL DOT COMMENTS 7. WASHETERIA- LOCATION ROBIN DOLTON, IHS Alaska Energy Authority rowley Maritime ANICA BSSD AVEC CIEY. FAA DOT-PF Public Comments BUCKET- DEFINE NEW SITE AND LOCATION DCRA DOT PHS Environmental Encineer ree Public Comments Joyce Beelman, Environmental Field Officer Steve M. Weaver, P.F. Office of Engineering Services, Village Saf Leroy Seppilu, Local Government Specialist Richard Atuk, Land Use Planner for Nome/Kotzebue Region, DCRA Federal Aviation Administration * Department of Transportation Bering Straights School District Alaska Village Electric Company Alaska Native Industrial Co-operative Association Public Healtn Service Norton Sound Health Corporation Judith A. Holden, Block Grants Administrator Clovis M. Bowles, Planner Kenneth 7. Fvans, P.., Districe Construction Fngineer e We (= ig ALASKA ENERGY AUTHORITY RURAL PROGRAMS Revision No. / PROJECT BUDGET munity $9075 SAV OONGA Budget § 3142 SAVOONGA |DES Buut FEL A/ER PJ CODE NAME PJ CODE PROJECT NAME parer B._CEAL Project Manager > CLAY Date G/: 22/9] ource(s) of Fundin PROJECT ie Chart of Accounts Pes ok OR Ae -Fy9g) CBrajeg- yz TOTAL Oirect Personal Serv W/Benefits assess OQ]. cece an vnnenceroeceecoooee ; eesnett 1140 debumebsssoscassesuseuscesssPMMocsnedSacesenseseeeaurers Indirect Personal Services cccccvcccccccsoecccosecs en Re cvccccceed oS 12. Wau chiscccacadstcdtvececocDMMMcesceceteccescetetesecens (Line 2 = 50% X Line 71000 PERSONAL SERVICE SUBTOTAL 1,097 549 Lwe 2394 [Line 3 = tn 1 + Line 72000 TRAVEL & PER DIEM Engineer & Prof Serv Contracts Freight Project Contingency Indirect Non-Personal Services 73000 OTHER SERVICES SUBTOTAL 74000 PROJECT MAT'LS & EQUIPMENT O 0 100 75000 AEA EQUIPMENT Oo 0 oO 77000 GRANTS Oo Q 25,000 9 CLC. [SEE BUDGET ON REVERSE [Line 13 = Sum of Line TOTAL ros? 746 ZZ, ZOO Fa PY. 3 4,9,10,11,12) Matrix Code 17 u 7 / Q) AEA PAIHENT OF OVERHEA Project AR 39394 TS SEE COUGWAL. BLpGET © EEvis tons To PKevipe GI For TEfAies & Avumiste Project CC SOX 5 Project LC Sure apes Serie 3ET APPROVALS (Please initial and date) cc: Gloria Manni Don Whelan GarySmith 23/9 Director/Rural Programs S [30/51 Pat Woodel1 Janet Hansen ZEAUG L/ Executive Director Y } C ip 4 | | Progect Manager ect Manager ger/Rural Projects ~~ o Alaska Energy Authority Rural Programs Project Budget Community 82075 Savoonga GOYA Savoonga/DES Bulk Fuel A/ER NEW PJ CODE: COMMUNITY NAME PJ CODE PROJECT NAME: REVISION NO. Preparer WOODELL Project Manager BRIAN GRAY Date 07/26/91 Source(s) of Funding nate eeeeeneee ne nnewnnne enn wenn nen ne ne ne ee eeee sn tece eee eeee ee eee PROJECT Line Chart of Accounts BULK FUEL TOTAL DES/RSA A/ER 1 Direct Personal Services w/ Bene $1,097 $0 $1,097 2 Indirect Personal Services $549 $0 $0 $0 $549 3 71000 Personal Services SUBTOTAL $1,097 $549 $0 $0 $0 $1,646 4 72000 Travel and Perdiem $0 $0 $0 5 Engineer & Prof Services Contracts $0 6 Freight $0 a Project Contingency $0 $0 8 Indirect Non-Personal Services $197 $0 $0 $0 $197 9 73000 Other Services SUBTOTAL $0 $197 $0 $0 $0 $197 10 74000 Project Materials and Equip. $0 $0 . $0 11 75000 AEA Equipment $0 $0 12 77000 Grants $0 $0 $0 13 TOTAL $1,097 $746 $0 $0 $0 $1,843 Matrix Code: 7 Project AR: 3 934Y Project CC: 2. Project LC: VSI3RO/ B/PABM/F__ WUDGET APPROVALS (initial and date) Yk Ay lanager/Rural Programs Director —_———_ Byay/ Agency Op ‘irector/ Rural Programs Executive Director Lag SA fie (Line 2 = 50% x line 1) (line 3 = line 1 + line 2) {line 8 = 18% x line 1) (line 9 = sum of lines 5,6, {see budget on reverse side’ {ln 13 = sum of Lines 3,4,9, Under AEA’s MOU with Divisic Services, DES pays for basic overhead charges. AEA pays charges FN:E:\pwoodel | \savdes.wk1 ce: Gloria Don Wh Gary S Pat Wo DEPARTMENT OF MILITARY AND VETERANS AFFAIRS DIVISION OF EMERGENCY SERVICES 3501 E. BOGARD ROAD WASILLA, ALASKA 99687 XEROX TELECOPIER 295 AUTOMATIC (907) 376-2337 OR 249-1370 (907) 376-0219 pettvern to: [ot Woodall yROM: -So& Rohn. ___ AeEO Aopes DATE: 2/257 g) time: _23'S0 NUMBER OF PAGES (INCLUDING TRANSMITTAL SHEET) : a rans OPERATOR: Lageiht IF TELECOPY DOES NOT TRANSMIT PROPERLY, PLEASE CALL (907) 376-2337 IMMEDIATELY. WV 16. \ sd Liivd S2 WW urls Alaska Energy Auth Personal Services ¢ Coat Setinetee Savoonga Bulk Fue! Storage Facility Review Brien Gray, Project Manager $1,096.80 KK 73 “Lt Joseph 8. Barber Public Assistance Officer Rane eS = FN imersevelphe DERV WIWINWE, MPA WIE CITY OF SAVOONGA P.O. BOX 87 SAVOONGA. ALASKA 99769 PHONE 984-6614 CITY OF SAVOONGA CAPITAL IMPROVEMENTS PRIORITY LIST Priority #l-New solid waste site/fill and close old site Describtion: The current Savoonga land fill site is full. It is a health hazard as hazardous materials and honey buckets as well as solid wastes are discarded at this single site. It has also caused house flies to multiply in large numbers which causes sun dried marine mammals,-waterfowl and fish to spoil during the summer months. A new solid waste site would also employ 2 individuals, year-round in garb- age collection jobs. The new solid waste site will be located approx- imately 2 miles east of the village in a more desirable location than the present, unusable site located 1/4 miles west-of the village. Cost: Estimated 1.2 million (open 150,000/close 75,000-100,000) Priority #2-Relocation/Replacement of the existing fuel tank farms. Describtion: er currently has 4 different tank farms which are situated in different areas of the village and surround the village. This Crowley Maratime, which delivers fuel to the village was very reluctant to deliver fuel because of the corroded and deteriorated condition of some of the fuel tanks. The Native Store had to get emergency State assistance to bring their tanks up to minimum code. The current tanks are a fire hazard because there,are no fences around the tanks and local children play around and between them. If all the tanks are moved to one location two or more individuals would be employed to deliver fuel year-round andthe tank farm would be located approximately 200 yards from the coast to minimize, or mitigate salt water corrosion as. currently experienced. The proposed location of the tanks would be approximately 1/4 to 1/2 miles east of the village thus removing the potential devestating fire hazard. Cost: aees-merrro PROTECT: FibuRem lS mtwcron eee = ome Priority #3-Electrical Distribution Line to Airport Description: The City of Savoonga currantly has a building located on the airport apron built 5 years ago, however, this building does not have an electrical distribution line and has not been utilized since completion because of this. Three communter airlines fly to Savoonga on a daily basis. Therefore all three airlines would utilize the building and passengers would have a warm place to wait at during the winter months when wind driven sub-zero temperatures (40-70below) are prevelant. Gostis'||)|$i/0),/000 - Description: The City of Savoonga presently owns 2 dump trucks with 5 yd and 10 yd capacity. Both trucks have good engines but major structural ovehall. Our drivers have to tighten nuts and bolts on the trucks after every trip to our local gravel pit because of depreciated conditions of the trucks. The City also owns a 1978 frontend loader which barely makes it up the hill to the gravel pit because of its deplorable mechanical condition. The City of Savoonga presently employs 5 people seasonally to operate it's heavy equipment. Therefore the City requests funds for either the major overhall of the eqipment by a cert- ified mechanic or the replacement of similar new equipment. 150,000 Cost: S5ed0 (overhall $7500 new dump trucks/loader $70000) Priority #5-Demolition/Removal of abandonded building and heavy equipment (vehicles) Description: Savoonga had approximately 12 abandonded buildings which are a severe fire hazard to the entire village. Children often have to be chased from them and found to be “experimenting" with smoking, matces etc. The buildings are also an eyesore on our community. Savoonga also has 6 pieces of heavy equipment (graders and bulldozers) within the village that attract children playing in the area and are also in the way of snowmachines in the winter time creating a potential hazards. Cost: -sTt H-1|-] f 5,00 i. Why TS Ae So ek eR a ane ere ET Q @ D ay Alaska Energy Authority A Public Corporation November 14, 1991 Ron Corley, Fuel Coordinator Alaska Native Industries Co-Operative Association, Inc 4634 East Marginal Way South, Suite 200 Seattle, WA 98134 Re: Savoonga Bulk Fuel Repair Grant Dear Mr. Corley: We have received the documentation of expenses incurred on the above referenced project and are processing the invoice for payment. We appreciate your efforts to help bring this project to successful completion. While the repairs performed are only temporary and the entire facility will eventually require total replacement, we are pleased to have helped avert a potentially disastrous situation and allow the community of Savoonga to receive its winter fuel supply. We are currently working with the community to plan for an eventual upgrade of all bulk fuel facilities. Once again, thank you for your assistance to the community of Savoonga. If you have any questions do not hesitate to call me at (907) 561-7877. bn, Laie Cc. Ce Project Manager cc: Senator Al Adams Representative Richard Foster George Noongwook, Savoonga Native Store Charlie Bussell, Alaska Energy Authority David Denig-Chakroff. Alaska Energy Authority Gary Smith Alaska Energy Authority SVGABGL2 CANCHORAGE Telecopy Phone No. (JUNEAU Telecopy Phone No- TELECOPY SENT TO: NAME OF COMPANY: COMPANY ADDRESS: TELECOPY PHONE NUMBER: TELEPHONE NUMBER: OO7- Ze-J-Jea4 SENDER: NUMBER OF DATE SENT: Ife vou oo SPECIAL INSTRUCTIONS: to tee se. f PAGES SENT: Bhre/o{ NOT RECEIVE ALL OF THIS TELECOPY PLEASE CALL: APueKc Conporatnon TELECOPY (907) 561-8584) (907) 4665-3767) Gan Coclex Arbab 226 — 7E7- ZFS f CHARGE CODE: @ INCLUDING THIS COVER PAGE (907 261-7240-Anchorage (907) 465-3575~-Juneau tea BOO ee PO Bon Aanm m= PO Box 190869 Juneau. Aloska 99844 701 East Tudor Road (907) 405-3575 Anchorage Alaska 99519-0869 (907) 561-7877 | TRANSMISSION REPORT | THIS DOCUMENT WAS CONFIRMED (REDUCED SAMPLE ABOVE - SEE DETAILS BELOW) ** COUNT **« TOTAL PAGES SCANNED > 6 TOTAL PAGES CONFIRMED : 6 ae SEND 6K No. REMOTE STATION | START TIME DURATION | #PAGES MODE RESULTS 1 206 767 2421| 8-12-91 10:31AM 2°33" 6/ 6 |EC COMPLETED 9600 TOTAL 0:02'33" 6 NOTE: : 4800BPS SELECTED EC : ERROR CORRECT G2 : G2 COMMUNICATION OPERATION NUMBER 48 POLLED BY REMOTE SF : STORE & FORWARD RI SEND TO MAILBOX PG : POLLING A REMOTE MP No. : ED & MB : : RELAY STATION > RELAY INITIATE RS RECEIVE TO MEMORY > MULTI -POLLING RM : By Walter) +.ckel Gover > Alaska Energy Authority A Public Corporation TELECOPY (ANCHORAGE Telecopy Phone No. (907) 561-8584) (JUNEAU Telecopy Phone No. (907) 465-3767) TELECOPY SENT TO: ae. Coclen NAME OF COMPANY: A NIcA COMPANY ADDRESS: Seat le : TELECOPY PHONE NUMBER: 7206 - /G7- Z4Z | SENDER: Brian Grau TELEPHONE NUMBER: 907 - 26|-72Z94 — CHARGE CODE: NUMBER OF PAGES SENT: 2 INCLUDING THIS COVER PAGE DATE SENT: B/iel 3 { IF YOU DO NOT RECEIVE ALL OF THIS TELECOPY PLEASE CALL: (907) 261-7240-Anchorage (907) 465-3575-Juneau SPECIAL INSTRUCTIONS: Cozy ot [ean As leedtond This agreement is made this day of Lo , By and between the State of Alaska, Alaska Energy Authority ("Lender") and the Savoonga IRA Council ("Borrower"). Li 10. The Lender, subject to the terms and conditions set forth in this agreement, agrees to loan an amount of money not to exceed $25,000 to Borrower to enable it to purchase materials and perform emergency repairs required for the gasoline tank farm. Borrower agrees to use the proceeds of the loan only for purchasing materials, freight, and labor charges. Borrower further agrees that before the lender loans money to the borrower under this agreement, borrower will submit to the Lender a resolution of the oo body of the community, in the form attached (Exhibit 1), authorizing the Borrower to enter into and execute this Agreement, a promissory note (Exhibit 2) evidencing the loan, and such other documents as the Lender may require. The Borrower agrees to complete a resolution waiving sovereign immunity (Exhibit 3). The Borrower agrees to secure this loan with its fuel revenues and other legally available monies. The Borrower agrees to repay the loan over a period of no longer than 25 months pursuant to the terms of the promissory note, to provide other collateral for the loan that the Lender may require, and to execute documents and to take action as the Lender may require in connection with the loan and the securing of the loan with collateral. Under this Agreement, if a payment is not received by the Authority when due (a “default") and if the payment is not made prior to the due date of the next payment, the entire unpaid sum shall at once become due and payable at the option of the Lender. Failure to exercise this option shall not constitute a waiver of the right to exercise the same option in the event of any subsequent default. If any suit or action is instituted to collect under this Agreement, the Undersigned promises and agrees to pay, in addition to the costs and disbursements provided by statute, a reasonable sum as attorney fees in such suit or action. The Lender reserves the right to inspect the borrower's facilities and records. The borrower agrees that no person or persons shall, on the | Meme of race, creed, color or national origin, be excluded form participation in, be denied the proceeds of, or be subject to discrimination in the use of this loan. This Agreement shall be governed by the laws of the State of Alaska. All disputes or claims arising under this agreement will be brought in the Superior Court, State of Alaska, Third Judicial District at Anchorage. 11. The Parties hereto have executed this Agreement as of the date above written. LENDER BORROWER STATE OF ALASKA SAVOONGA IRA COUNCIL ALASKA ENERGY AUTHORITY By: By: Printed Name: Printed Name: Title: Title: STATE OF ALASKA JUDICIAL DISTRICT TT The foregoing instrument was acknowledged before me this day of 19___ by (name) (title) of the Savoonga IRA Council. Notary Public, State of Alaska My Commission expires RESOLUTION NO. DATE BE IT RESOLVED, that the Savoonga IRA Council is authorized to borrow trom the State of Alaska for the purpose of repairing bulk fuel facilities, a sum not to exceed $25,000 and that the following named member(s) of the governing body of the council are authorized to execute any and all documents which may be required by the State to reflect that indebtedness, the terms of its repayment, and any security therefore, including but not limited to a loan agreement and a promissory note. Authorized Signatory(ies) The foregoing resolution was duly adopted at a duly convened meeting of the Savoonga IRA Council this _ day of , 19 By Title STATE OF ALASKA ss JUDICIAL DISTRICT This instrument was acknowledged before me this day of , 19 by (name of officer or agent, title officer or agent) of the Savoonga IRA Council, on its behalf, with its authority, and as a free act. Notary Public, State of Alaska My Commission expires For value received, the Undersigned Savoonga IRA Council promises to pay to the order of the Alaska Energy Authority, P-O. Box 190869, Anchorage, Alaska 99519, or at any other place the holder of this Note may direct in writing, the principal sum of $25,000 with zero percent interest. The loan principal shall be due and payable as follows: 25 equal installments of $1,000.00 shall be paid commencing on , 1991 and monthly thereafter until the balance is paid in full. The Undersigned hereby waives demand, protect, and notice of demand, protest of nonpayment, and expressly agrees that this Note or any payment hereunder may be extended from time to time, and consents to the acceptance of security or further security, including other types of security, all without in any way affecting the liability of the Undersigned. This Note shall be governed by the laws of the State of Alaska. Dated at , Alaska this day of , 19 Savoonga IRA Council By Title STATE OF ALASKA ss JUDICIAL DISTRICT The foregoing instrument was acknowledged before me this ____ day of A by (name) the (title) of the Savoonga IRA Council. Notary Public, State of Alaska My Commission expires WAILVER OF SOVEREIGN IMMUNITY RESOLUTION VILLAGE COUNCIL RESOLUTION NO. DATE WHEREAS, the Savoonga IRA Council is an applicant for a loan in the amount of $25,000 from the Alaska Energy Authority; WHEREAS, the Authority requires as a condition of the loan that an Alaska Native Village waive sovereign immunity from suit for any claims related to the loan. NOW THEREFORE, be it resolved that Savoonga, an Alaska Native Village, by its council, hereby gives its irrevocable consent to allow Savoonga to be sued in the name of the Savoonga IRA ouncil for any claims related to the loan and hereby waives any immunity from suit for such purposes, and the Savoonga IRA Council shall be liable for such claims. The Savoonga IRA Council also consents to the execution of any judgment obtained pursuant to this waiver of immunity against any property, whether real or personal, including money, in an amount equal to the amount of the loan. The foregoing resolution was duly adopted at a duly convened meeting of this day of 19 (Authorized Signature) (Title) STATE OF ALASKA ss JUDICIAL DISTRICT This instrument was acknowledged before me this day of : 19 by (name of officer or agent, title officer or agent) of the Savoonga IRA Council, on behalf of the council, with its authority, and as a free act. Notary Public, State of Alaska My Commission expires Date: 8-6-91 10:06am From: AAntoine:Anch:AEA To: BGRAY, EWHITNEY, JHANSEN cc: TGANTHNER , CBUSSELL, GMANNI Subj: PAYOFF FOR CITY OF SAVOONGA FYI: JUST THOUGHT YOU MIGHT BE INTERESTED TO KNOW THAT WE RECEIVED PAYMENT IN FULL FOR THE CITY OF SAVOONGA’S BULK FUEL LOAN. THANKS! ! DEPARTMENT OF MILITARY fA ee 0 AND VETERANS AFFAIRS / (907) 376-2337 ALASKA DIVISION OF EMERGENCY SERVICES guy 31, 1991 RECEIVED AUG 2 1991 Mr. Ron Corley aiaska Energy Authority ANICA, Inc. 4634 E. Marginal Way South Seattle, WA 98134 Dear Mr. Corley: Enclosed is a Fact Sheet reporting this Division's assessment of the problem of bulk fuel storage in Savoonga. As you will note, I have sent a copy of this Fact Sheet and this letter to each of the individuals and agencies who helped to resolve the critical problem of making this winters' fuel deliveries to the village store. In our trip to Savoonga on Monday we met with George Noonwook, Store Manager, and several members of the City and IRA Councils. I have also talked via telephone with the Mayor of Savoonga and Mr. Rick Reed, Facilities Manager for the Bering Straits School District, Mark Hughes of Crowley Maritime, Brian Gray, an engineer working for Alaska Energy Authority, conducted the on-site inspection of bulk fuel storage facilities in Savoonga. I believe that the measures we have proposed offer a workable but temporary solution to the problem. Needless to say, much of the responsibility for implementing these measures rests with the Native Store and its owner, the Savoonga IRA Council. The Store should complete its repairs to the gasoline storage area and arrange for written agreements with the City of Savoonga and the Bering Straits School District on the use of storage space. Crowley Maritime has indicated that it would like to receive copies of these agreements. Both the Mayor of Savoonga and the Facilities Manager for the School District have already agreed, in principle, to these proposals. The store may also have to make some minor adjustments on pipes and valves at the City's tanks. These measures will accommodate most, but not all, of the fuel ordered for this Fall. One recommendation for increasing the quantity a little more would be for the store to deliver direct from the barge to its largest users (i.e. DOT, Wayne's Store, etc.). vusy vay, 2774 page 2 We also recommended to the Store, the IRA Council and the City of Savoonga that they make replacement of the bulk fuel storage facility a high priority in their community development and improvement plans. Leroy Seppilu of the Dept. of Community and Regional Affairs Nome Office, may be able to help in identifying potential sources of grant and loan assistance. As in the case of some other Cooperative related problems, the solution to this was available to the parties involved at Savoonga. This office expended in excess of $3,500.00 to determine what should have been evident to the responsible parties. While we are gratified that this situation does not require a Disaster Declaration, it has resulted in an abuse of the monies allocated to this office for response to bonafide emergencies. Please keep me informed of progress. Sincerely, JB:lg Joe Barber Enclosures: as stated Emergency Management Officer ces George Noonwook, Manager, Savoonga Native Store Representative Richard Foster Leroy Seppilu, Department of Community and Regional Affairs Brian Gray, AK Energy Authority Ed Meggert, AK Department of Environmental Conservation The Honorable Jerry Wongitillin, Mayor of Savoonga Mr. Rick Reed, Facilities Manager, Bering Straits School District Mark Hughes, Marketing Representative, Pacific Alaska Fuel Services (Crowley Maritime) Ken Faris, Pacific Alaska Fuel Services 1. Subject: 2. Background: Bulk fuel storage in village of Savoonga On July 28-30, ADES investigated a problem related to bulk fuel storage facilities in Savoonga owned by the IRA Council and used by the Native Store. Officials of ANICA and the Savoonga IRA Council requested State assistance after Crowley Maritime decided to cancel winter fuel deliveries to the Native Store because of the condition of these facilities. Brian Gray, of AK Energy Authority; Leroy Seppilu, DCRA (Nome); and John Walsh, Aid to Reb. Richard Foster assisted in ADES’ assessment of the problem. The investigation included discussions with George Noonwook, Savoonga Native Store Manager and member, IRA Council; Jerry Wongitillen, Mayor of Savoonga; Ron Corely, ANICA; Rick Reed, Bering Straits School District; Ed Meggert, DEC; and Mark Hughes of Crowley Maritime. 3. Facts Bearing on the Subject: A. Facts: The storage facilities in question were apparently given to the Savoonga IRA Council by the Bureau of Indian Affairs many years ago. Crowley Maritime inspected them earlier this summer and determined that it could not make its scheduled delivery of 45,000 gal. of gasoline and 115,000 gal. of heating oil because of (1) deficiencies in the transfer lines, (2) lack of support for the tanks and lack of containment areas, (3) deficiencies in the lines interconnecting tanks, and (4) critica] structural weaknesses of some of the tanks. Crowley Maritime determined that it could make scheduled deliveries to the other major users in Savoonga: AVEC and the Bering Straits School District, both of whom maintain separate storage facilities. B. Action Taken: iz Ww ADES inspection confirmed the deficiencies in the existing storage facilities. The majority of the tanks designated for storing heating fue] have structural deterioration to the extent that they should be abandoned, having served their useful life. The native store has begun to correct the deficiencies noted by Crowley Maritime in the gasoline storage area. It expects to complete repairs prior to delivery. ADES hes recommended that these repairs be funded through surcharges on retail gasoline sales. A survey of storage facilities in Savoonga has identified approx. 80,000-90,000 gal. of unused space in tanks belonging to the Bering Straits School District and the City of Savoonge. These owners have assented to entering agreements with the Native Store for use of this space. Crowley Maritime can offload to these facilities. C. Action Required: de Ww Ww 4. Funding: The Savoonga Native Store must immediately negotiate agreements for use of fuel storage space with the City of Savoonga and Bering Straits Schoo! District and provide Crowicy Maritime with copies of these agreements. The Savoonga Native Store must complete repairs to the gasoline storage facility. All parties assisting in resolving this problem agree that these proposed actions constitute only temporary solutions. The long term need to replacing the fuel storage facilities in Savoonga remains. It is recommended that the users of fuel storage facilities in the village (City of Savoonga, AVEC, Bering Straits School District and the Native Store) develop proposals and see}: funding for replacing existing worn out storage facilities with 2 new, combined facility that can meet the needs of all parties and satisfy current safety codes. ADES expended $3,500 to conduct the on-site assessment of this problem. c “ CO : Te YMOA® Pog W/ Al Adan” Oe CS -3ie7 . risa Situabion, 12D ee the will tr 4» get a aes o VES Fact Sheep _ Also Telayed Creat’s Me $649 Aho ut St. Ceeme! - DNe ned & ji, FY 92. hel 2) fortron oF 0.9, being revlaced 4 Clesed bul new? 3B) 4): ( Consider (feces Ge Fr 73 ri eT \ ~~ 3:07 Marla - 4 - bb Z47 My ees iM Mou Office bees FE ve were ous to rer the ~6BaHe re i hee we ard oe ral ee ei Pee eutacpr ‘S@S 4 Petever an Dy 60isy prece . be Pox 264-0477 | — J 20 Geerge fb ee 72 mater j of mater: feed have Ke dit | Codd a rate We the ab,/- — salez —— +. leanqweof ; beoge 1 er meee waiting $ he gan ord fale Wook - Supa pod. _ i) ls to eae Giller prices Sp 5 — AUIcA sas euccbt meplac thet - wants a == Ex B'%° Gleria — deem’+ see aux Problen wit it bib need ts Met her temnteyyee 964-Gol3 984 -C4T7 Fax A'eb George Neonawook - tld Area we ae willins \a de loan 4 wi ff tre, + 9t it maviinn temerco — ee ek ted — arate ae fle Seni he oe eee ; possible te 2. for dulegs in. | atecioh & shipping Caflen Ary % ) 415 Marla fer - fh her Ge were going : loge Nevex fp Pavoongc, ~ she sad “& eod . 7 : | @ Ayocussed options Sa — Gu Conte|idet ten (jet — Sites =| they are leuning . fo peep foomrels he aud of the wath te Nscuces Ke we eemeeenna AW VOLEKANS AFFAIRS DIVISION OF EMERGENCY SERVICES 3501 E. BOGARD ROAD WASILLA, ALASKA 99687 XEROX TELECOPIER 295 AUTOMATIC (907) 376-2337 OR 249-1370 (907) 376-0219 TELECOPIER TRANSMITTAL SHEET DELIVER TO: Glocokea Energy Orton FROM: oe, Baka ot. - um Gra / QD FS lo eset _ an pate: _2L2//F) ame: (4S NUMBER OF PAGES (INCLUDING TRANSMITTAL SHEET) : Y 1 OPERATOR: IF TELECOPY DOES NOT TRANSMIT PROPERLY, PLEASE CALL (907) 376-2337 IMMEDIATELY. > Ss = > ~ Cos A ie 4 Ww = pont a 2 8S: 2d VE ANLMEN EOF MALIZANY PHONE Nani oeo a7 : AND VETERANS AFFAIRS a (90?) 378-2337 ALASKA DIVISION OF EMERGENCY SERVICES / July 31, 1991 Mr. Ron Corley ANICA, Inc. 4634 E. Marginal Way South Seattle, WA 98134 Dear Mr. Corley: Enclosed is a Fact Sheet reporting this Division's assessment of the problem of bulk fuel storage in Savoonga. As you will note, I have sent a copy of this Fact Sheet and this letter to each of the individuals and agencies who helped to resolve the critical problem of making this winters' fuel deliveries to the village store. In our trip to Savoonga on Monday we met with George Noonwook, Store Manager, and several members of the City and IRA Councils. I have also talked via telephone with the Mayor of Savoonga and Mr. Rick Reed, Facilities Manager for the Bering Straits School District, Mark Hughes of Crowley Maritime, Brian Gray, an engineer working for Alaska Energy Authority, conducted the on-site inspection of bulk fuel storage facilities in Savoonga. I believe that the measures we have proposed offer a workable but temporary solution to the problem. Needless to say, much of the responsibility for implementing these measures rests with the Native Store and its owner, the Savoonga IRA Council. The Store should complete its repairs to the gasoline storage area and arrange for written agreements with the City of Savoonga and the Bering Straits School District on the use of storage space. Crowley Maritime has indicated that it would like to receive copies of these agreements. Both the Mayor of Savoonga and the Facilities Manager for the School District have already agreed, in principle, to these proposals. The store may also have to make some minor adjustments on pipes and valves at the City's tanks. These measures will accommodate most, but not all, of the fuel ordered for this Fall. One recommendation for increasing the quantity a Little more would be for the store to deliver direct from the barge to its largest users (i.e. DOT, Wayne's Store, etc.). vusy 94, 29772 page 2 We also recommended to the Store, the IRA Council and the City of Savoonga that they make replacement of the bulk fuel storage facility a high priority in their community development and improvement plans. Leroy Seppilu of the Dept. of Community and Regional Affairs Nome Office, may be able to help in identifying potential sources of grant and loan assistance. As in the case of some other Cooperative related problems, the solution to this was available to the parties involved at Savoonga. This office expended in excess of $3,500.00 to determine what should have been evident to the responsible parties. While we are gratified that this situation does not require a Disaster Declaration, it has resulted in an abuse of the monies allocated to this office for response to bonafide emergencies. Please keep me informed of progress. Sincerely, JIB:1g Joe Barber Enclosures: as stated Emergency Management Officer ec: George Noonwook, Manager, Savoonga Native Store Representative Richard Foster Leroy Seppilu, Department of Community and Regional Affairs Brian Gray, AK Energy Authority Ed Meggert, AK Department of Environmental Conservation The Honorable Jerry Wongitillin, Mayor of Savoonga Mr. Rick Reed, Facilities Manager, Bering Straits School District Mark Hughes, Marketing Representative, Pacific Alaska Fuel Services (Crowley Maritime) Ken Faris, Pacific Alaska Fuel Services 2. Subject 2. Background: BuUIK tue! storage in village of Savoonga On July 28-30, ADES investigated a problem related to bulk fuel storage facilities in Savoonga owned by the IRA Council and used by the Native Store. Officials of ANICA and the Savoonga IRA Council requested State assistance after Crowley Maritime decided to cance] winter fuel deliveries to the Native Store because of the condition of these facilities. Brian Gray, of AK. Energy Authority; Leroy Seppilu, . DCRA (Nome); and John Walsh, Aid to Reb, Richard Foster assisted in ADES* assessment of the problem. The investigation included discussions with George Noonwook, Savoonga Native Store Manager and member, IRA Council; Jerry Wongitillen, Mayor of Savoonga; Ron Corely, ANICA; Rick Reed, Bering Straits Schoo! District; Ed Meggert, DEC; and Mark Hughes of Crowley Maritime, 3. Facts Bearing on the Subject: A. Facts: The storage facilities in question were apparently given to the Savoonga IRA Council by the Bureau of Indian Affairs many years ago. Crowley Maritime inspected them earlier this summer and determined that it could not make its scheduled delivery of 45,000 gal. of gasoline and )!5,000 gal. of heating oil because of (1) deficiencies in the transfer lines, (2) lack of support for the tanks and lack of containment areas, (3) deficiencies in the lines interconnecting tanks, and (4) critica) structural weaknesses of some of the tanks. Crowley Maritime determined that it could make scheduled deliveries to the other mejor users in Savoonga: AVEC and the Bering Straits Schoo} District, both of whom maintain separate storage facilities. B. Action Takez: 15 w us ADES inspection confirmed the deficiencies in the existing storage facilities. The majority of the tanks designated for storing heating fue) have structura! deterioration to the extent that they should be abandoned, having served their useful life. The native store hes begun to correct the deficiencies noted by Crowley Maritime in the gasoline storage arez. It expects to complete repairs prior to delivery. ADES hes recommended that these repairs be funded through surcharges on retail gasoline sales. A survey of storage facilities in Savoonga has identified approx. 80,000-90,000 gal. of unused space in tanks belonging to the Bering Straits Schoo! District and the City of Savoonge. These owners have assented to entering agreements with the Native Srore tor use of this space. Crowley Maritime can offload to these facilities. C. Action Required: 1. ur 4. Funding: The Savoonga Native Store must immediately negotiate agreements for use of fuel storag¢ space with the City of Savoonga and Bering Straits School District and provide Crowisy Maritime with copies of these agreements. The Savoonga Native Store must complete repairs to the gasoline storage facility. All parties assisting in resolving this problem agree that these proposed actions constitute only temporary sojutions, The long term need to replacing the fuel storage facilities in Savoonga remains. It is recommended that the users of fuel storage facilities in the village (Ciry of Sevoonga, AVEC, Bering Straits Schoo!) District and thé Native Store) develop proposals and see}: funding for replacing existing worn out storage facilities with 2 new, combined facility that can meet the needs of all parties and satisfy current safety codes. ADES expended $3,500 to conduct the on-site assessment of this problem, TRIP REPORT - SAVOONGA/DES BULK FUEL ASSISTANCE July 29, 1991 Date: August 1, 1991 To: Project File Thru: Gary Smith Mf From: Brian Gray Gt-5- Re: Technical Assistance to the Department of Emergency Services in Assessing the Bulk Fuel Situation in Savoonga Background: Sue White received telephone calls from Senator Adams’ and Representative Foster’s Offices on July 23, 1991 stating that the Savoonga Native Store had been denied delivery of fuel due the condition of their bulk fuel facilities. I called Ron Corley with ANICA and he stated that Crowley Maritime had refused to deliver to the gasoline tank farm unless certain repairs were made and refused to the existing fuel oil tank farm under any conditions. He said they were in the process of arranging for repairs to the gasoline tank farm including construction of a new gravel pad and dike, installation of a liner, installation of new timber foundations, and installation of new piping. He estimated the cost for repairs at around $25,000. He said they were also looking into alternatives for the fuel oil including bladder tanks. I suggested they check on the availability of tanker trailers in Nome. I requested a policy decision from Charlie Bussell regarding the possibility of the AEA funding repair work to the gasoline facility on July 24. The funding was not approved on the basis of the facility being a privately owned, commercial (for-profit) entity. On July 24 we also received several telephone calls from the Department of Emergency Services regarding the situation in Savoonga. They were considering declaration of an emergency and wanted our assistance in evaluating the situation. The Budget and RSA for our assistance was approved on July 24 and arrangements were made for me to accompany DES staff to Savoonga. Trip Report: Monday, 7/29/91 I met Joe Barber of DES at the airport and we departed Anchorage at 8:00 AM on Alaska Airlines arriving in Nome at 9:30 AM. We were joined in Nome by John Walsh of Representative Foster’s Office and Leroy Seppilu of DCRA (Nome.) We departed Nome on an Olson’s Air charter flight at 11:00 AM arriving in Savoonga at 12:00 PM. The weather in Savoonga was partly cloudy with occasional showers, windy, and +45F. We walked to the Savoonga Native Store but the manager was not in, so we then proceeded directly to the tank farm. The tank farm is by far the worst facility I have observed to date. Due to its close proximity to the beach, the tanks appear to have received considerable exposure to salt spray and are severely corroded. While the gasoline tanks did appear to have more residual paint left than the fuel oil tanks, they were corroded so severely that I was surprised the representative of Crowley was willing to consider use of the tanks because they did not appear to be structurally sound. At the time of our visit, the gas tanks had been moved and placed on temporary blocking and a gravel (rock actually) pad was being constructed for reinstallation of the gas tanks. The Store tank farm consists of 21 fuel oil tanks of approximately 6,000 to 7,500 gallon capacity each, connected together with rubber hoses and 9 gasoline tanks of approximately 6,000 to 7,500 gallon capacity each not connected at the time of the site visit. The tanks set on wood blocking on the tundra and are not protected by a dike. The area exhibited large stains from spilled fuel. We then inspected the AVEC tank farm. The AVEC tank farm consists of 16 fuel oil tanks of approximately 7,000 to 9,000 gallon capacity each, connected together with a threaded steel piping header with flex connections. Eight of the tanks are moderately corroded and in need of cleaning and repainting while the other eight tanks appear to have been painted recently. The tanks set on wood cribbing on the tundra and are surrounded by a sandbag dike. The dike is not liquid-tight and the area exhibited evidence of prior fuel leakage. We then inspected the Bering Straights School District tank farm. The school tank farm consists of 19 fuel oil tanks of approximately 7,000 gallon capacity each, connected together with a grooved steel piping header. All of the tanks are severely corroded and in need of cleaning, testing, and repainting or replacement. The tank farm was reportedly rebuilt this summer. The tanks set on wood decking on a gravel pad and are surrounded by a wooden dike with a urethane liner. The dike appeared to be liquid-tight. No evidence of spills or stains was noticed, however, the new gravel pad could be covering prior contamination. We then met with George Noonwook, Manager of the Native Store, and other local residents to discuss the current situation. George explained that the Store was owned by the Savoonga IRA Council and was set up as a non-profit organization with earnings to be distributed to the IRA members (no profit has been earned to date.) We discussed options for storing fuel oil in other tank farms in town (primarily the school), obtaining bladders, and or the use of drums. Joe Barber suggested that the cost of repairs to the gasoline tank farm be paid through a surcharge of approximately $0.50 per gallon which would result ina retail price of $2.50 to $2.75 per gallon. We noted that while this sounds high it is actually comparable to current prices in many similar remote locations. No definite conclusions were reached during the meeting. We then discussed the possibility of developing a consolidated storage facility for the community. The local residents indicated that this has already been considered and that they would like to construct a new tank farm remote from the town. After the meeting we went to the community building where we discovered another tank farm belonging to the City of Savoonga. The City tank farm consists of 2 fuel oil tanks of approximately 20,000 gallons capacity each in a welded steel dike and 1 fuel oil tank of approximately 8,000 gallons capacity setting on wood decking on a gravel pad with no dike. The welded steel dike is corroded and is no longer liquid tight but could probably be patched reasonably with timbers or sandbags. The tanks exhibited moderate corrosion but appeared to be structurally sound. Use of the City tanks would require delivery by a tanker truck as they are quite distant from the beach and do not have a fill pipeline. Local residents reported that Crowley always brings their fuel truck to shore for delivery to the smaller bulk customers such as the church. Prior to departing, I went to the school to inspect the waste heat system in response to a report we received this summer of a leak in the arctic piping. The regular school maintenance personnel were out of town so I was not able to obtain any accurate descriptions of the problems. I inspected the entire run of piping between the waste heat module and the school and could not find any leaks. According to the pressure gauge in the waste heat module, the secondary system was operating at 4 PSIG and based on piping temperatures did not appear to be circulating to the school. We departed Savoonga at 4:30 PM on the charter flight, arriving in Nome at 5:30 PM. We went to John Walsh’s house to discuss the current situation in Savoonga, possible options for a consolidated facility, and problems associated with bulk fuel in general. We departed Nome at 7:30 PM arriving in Anchorage at 9:00 PM. Conclusions: Based on the information obtained in the field and through follow up telephone inquiries made by Joe Barber on July 30, 1991, we have concluded that the Store should be able to store approximately 40,000 gallons of fuel at the school tank farm and 40,000 gallons at the City tank farm. While the school and City facilities do not meet all code and regulation requirements, they are comparable in condition to the majority of rural facilities that Crowley regularly delivers to. In light of this, Crowley should be willing to offload the extra fuel to these facilities but they will need to see copies of agreements between the Store and the School District and City. The Store indicated a need for 115,000 gallons of total storage but it seems that this could be reduced by direct delivery from Crowley to some of the Store’s larger customers such as the DOT and Wayne’s Store. Public funding should not be required as the cost of repairs can readily be recovered through increased fuel sales prices. cc: Charlie Bussell, Alaska Energy Authority Brent Petrie, Alaska Energy Authority David Denig-Chakroff, Alaska Energy Authority Sue White, Alaska Energy Authority SVGABGRI1 Date: July 24, 1991 TO: Charlie Bussell \L Thru: David nich (\\ Gary Smith From: Brian Gray /_A\ Re: Approval to Fund Bulk Fuel Repair Work on a Privately Owned Facility Action Requested: This memorandum requests approval to fund approximately $25,000 worth of emergency repair work on a privately owned (Savoonga Native Store) bulk fuel facility. This decision will establish a precedent for future involvement in private facilities. Background: The appropriation for our Bulk Fuel Assessment and Emergency Repairs Program does not differentiate between private and public facilities. However, as a matter of internal policy we have only funded repairs to public facilities thus far. Crowley Maritime has refused to deliver fuel to the Savoonga Native Store this summer. They indicated they would deliver to the gasoline tank farm if a new dike and new piping were installed. The estimated cost for this ‘work is approximately $25,000. The diesel tank farm is beyond repair and the store is looking into alternatives for temporary storage such as bladder tanks. The State of Alaska Division of Emergency Services is considering declaration of a disaster. I recommend that the Alaska Energy Authority fund the repairs to the gasoline tank farm based on the fact that our involvement in bulk fuel repairs was prompted by the potential for refusal of delivery and Savoonga has received such a refusal. I do not recommend that we become involved in the temporary diesel storage since this is outside of our program scope and would be best left to the Division of Emergency Services Approved: Not : Approved Charlie Bussell SVGABGM1 bus. dex fh Boss | ee Date: 7-30-91 1:30pm From: AAntoine:Anch:AEA To: TGANTHNER , CBUSSELL cc: AANTOINE, EWHITNEY, BGRAY Subj: RE: CITY OF SAVOONGA BFRLF LOAN FYI: I RECEIVED A CALL FROM JERRY, CITY OF SAVOONGA THIS AFTERNOON. HE SAYS HE WILL SEND A CHECK TO REPAY OLD LOAN, #81622042 (CURRENT BALANCE IS: $5,356.12); IN TODAYS’ MAIL. HE ALSO REQUESTED A NEW LOAN APPLICATION. THANKS! ! (ecress regen seh 9 Ga 20 [ne 22 GOK 144 voy | —— — = Jerry segay a cg hee cba) 1942 Pier tauks + i tito Arve, Saenccgs. IZi20 - Bee 256 «13,5 to DEO IFW. 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Bree toad ALASKA NATIVE INDUSTRIES COOPERATIVE ASSOCIATION, INCAS 4634 E MARGINAL WAY S >: SUITE 200 = 2 SEATTLE, WASHINGTON 98134 ro = (206) 767-0333 rane Facsimile (206) 767-2421 = a> Ww FAX COVER SHEET PAGES INCLUDING COVER: aa pate: 7- > 3- Fi z STORE? Approval: Return Original Copies? Y / N COMMENZD: ; V6 i 6 Cg Ve 3" Flex Pipes 3° Nipples QTY ITEM DESCRIPTION & NOS 12 S" FLEXES 3°x21" ALD MAS 3021F 3° FLEXES = 3°X27" ALD MAS 3027F AS’ FLEXES = 3°X21" USF USFWS5S-21 S" FLEXES 3°X27" USE USFWSS-27 USF=U.S. FLEXABLE METALLIC : ALASKA RUEBER SUPPLY 562-2200 ALD=ALDE INDUSTRIAL INC. 206-662-2611 5 3" cross 10/ GATE VALVE W/LOCK MORRISON MR2435BDI-3 (ALASKA PIPE & SUPPLY) 20 3" UNIONS 1 CHECK VALVE MORRISON MR2 46ADI-3 2 2° GATE VALVES W/LOCKS MORRISON MR2 435BD!-2 2 3" TO 2" REDUCER 12 3° PLUGS 25 GLPN3X6 E.W. EX.HVY. PIPE NIPPLES 3°X6" BLACK 3” PIPES EX. HVY. BLACK 3°X20' 50 AS MANY AS YOU CAN GET ME (PERHAPS PIPES \ CAN BE CUT IN HALF FOR TRANSPORTING CONVENIENCE i 3" ELBsws ibm el an! Ou OO JE3900 OOO Esso —_—— Z TOO e000 To Hesder CN ee Mek nics cs Mee To Pump 1s GRAVEL BERM . GRAVEL BASE . URETHANE LINER . GRAVEL . PLATFORM . TANKS DEPT. OF COMMUNITY AND REGIONAL AFFAIRS MUNICIPAL AND REGIONAL ASSISTANCE DIVISION () 949 EAST 36TH AVENUE, SUITE 400 © PO. 80x 348 P.O. BOX 290 © 1001 NOBLE STREET, SUITE 430 ANCHORAGE, ALASKA 99508-4302 BETHEL, ALASKA 99559-0348 DILLINGHAM, ALASKA 99576-0295 FAIRBANKS, ALASKA 99701-4948 PHONE: (907) 563-1073 PHONE: (907) 543-3475 PHONE: (907) 842-5135 PHONE: (907) 452-7126 P.O. BOX BH © 710 MILL BAY ROAD P.O. BOX 350 0-6 80x 4 JUNEAU, ALASKA 99811-2110 KODIAK, ALASKA 99615 KOTZEBUE, ALASKA 99752-0280 NOME, ALASKA 99762-0041 PHONE: (907) 465-4750 PHONE: (907) 486-5736 PHONE: (907) 442-3696 PHONE: (907) 443-5457 RECEIVED August 9, 1991 AUG 12 1991 ALASKA ENERGY AUTHORITY Sue White, Special Assistant to the Executive Director AEA P.O. Box 190869 Anchorage, AK. 99519-0869 Dear Ms. White: This is a follow-up letter from our telephone conversation concerning the joint meeting of Savoonga IRA Council, City Council, Savoonga Native Corporation, tank farm storage facility owners (Savoonga Native Store, Bering Strait School District, Alaska Village Electric Cooperative), and various state and federal agency personnel, in Savoonga on August 24. Gambell IRA and City councils, and Sivuqaq, Inc., will be invited. The meeting will be to discuss the present crises being faced by Savoonga Native Store concerning its tank farm storage facility and seek long term solutions. Recently, Crowley Co., who delivers fuel by barge to rural communities, refused to deliver fuel for Savoonga Native Store unless they took steps to upgrade their fuel tank farm facility to acceptable standards. Crowley Co. was concerned the tank farm was potential for an oil spill disaster. Savoonga Native Store was not able to upgrade the tanks because of their poor condition. However, a temporary solution was found by borrowing space from BSSD and City of Savoonga's tanks. This is a short term solution, we need to look for long term solutions. ; . - Cne possible solution we may discuss is to seek funding for 500,000 gals. capacity tank farm storage facilities. It may be operated and maintained by a local organization, with the three major fuel users leasing space for storing their fuel. We will appreciate your input during the meeting. Please expect to minted on re says anv make a presentation about your organization's program related to bulk fuel storage facilities (grants, loans, or technical assistance). The meeting will start at 10 a.m. in the IRA Building and may last into the evening. We hope to finish by 5 p.m. so that guest speakers can catch the evening flight back to Nome. Transportation and lodging costs will be your organization's responsibility. I suggest you travel to Savoonga on Friday, August 23, so you can be at the meeting when it starts in the morning. I am enclosing lodging and transportation information in and to/from Savoonga for your convenience. Please contact Vic Goldsberry or myself at 443-5457 for questions or concerns. Sincerely, oy Seppi ft Local Government Specialist MUUYENY GK seee ease Bye mee Se eww Lodging: Alanga Lodge - Ora Gologergen 984-6520 Wayne Penayah 984-6249 City of Savoonga 984-6614 Airline Agents: Bering Air: Wayne Penayah - 984-6249 Cape Smythe: Bertha Rookok - 984-6128 Ryan Air: Mary Ann Noongwook - 984-6814 Tab | 'SAV0ON6R TAN ER | ateeret | — Reema 1997 RePaiw 1997 | Savoowea Tawk | Repaia 199, Savoow6ea TAWle Rerar ¢99/ Rerare 1997 Savoonsa TAN