When in the best interests of the municipality, the city and borough may grant leases to tidelands, filled tidelands, tidelands in the intertidal area, submerged tidelands, submerged lands, and reclaimed lands as out-lined below.
(S.G.C. 18.16.010; Ord. 03-1751 § 4, 2003)
The municipality may grant leases or permits for the use of Sitka-owned tidelands, filled tidelands, tide-lands in the intertidal area, submerged tidelands, submerged lands, and reclaimed lands under such policy directions and conditions as the assembly shall set from time to time. Leases and permits shall be subject to all other applicable municipal, state, and federal regulations.
(S.G.C. 18.16.020; Ord. 03-1751 § 4, 2003)
When leases or permits are issued to other local, state, or federal governmental units or a corporation or agency through which the governmental unit acts, there is no limit to the front footage obtainable, or valuation limit and no permitted advisory election as set out by SGC § 18.15.010, and no consideration for such a lease shall necessarily be required.
(S.G.C. 18.16.030; Ord. 03-1751 § 4, 2003; Ord. 18-29 § 4, 2018)
A. 
There shall be three classes of approvals for permits and leases.
B. 
Class I approvals which are for permits for use of tidelands that are cancelable by the municipality on 30 days’ notice.
C. 
Class II approvals are for personal use docks and facilities that are immediately seaward of deeded lands and deeded tidelands.
D. 
The approval of Class IIA facilities shall grant the owner exclusive use of a personal use dock with a perimeter that does not exceed 300 linear feet and the tidelands that are immediately adjacent to the facility.
E. 
Class IIB approvals are for exclusive use of personal use docks with a perimeter of more than 300 linear feet.
F. 
Class IIC approvals are for mooring buoys.
G. 
Class III approvals, which are for leases for commercial docks and facilities and/or personal docks that include the lease of space and facilities. The approval of Class III facilities shall grant the facility owner exclusive use of the facility. The area required for the berthing of all vessels shall be included in the lease area. Class III facilities include community use docks or docks constructed and owned by individuals other than the upland property owner.
(S.G.C. 18.16.040; Ord. 03-1751 § 4, 2003)
A. 
Class I approvals may be made by the administrator with or without the approval of the assembly. It shall follow the submittal of a completed application on the form prepared by the municipality and detailed sketch. The fee for the permit shall be a monthly charge established by the administrator.
B. 
Class II approvals shall be made by the assembly by motion following the procedures outlined in SGC §§ 18.20.060 through 18.20.090. The assembly may, at its discretion, require that a Class II facility follow the procedures required for a Class III facility.
C. 
Class III approvals shall be made in accordance with the procedures outlined in SGC §§ 18.20.100 through 18.20.220.
(S.G.C. 18.16.050; Ord. 03-1751 § 4, 2003)
A. 
Class II approvals are for permits for personal noncommercial docks and facilities and mooring buoys that are immediately seaward of deeded lands and deeded tidelands. Application forms for Class II approvals shall be obtained from and returned to the municipal clerk and each form shall include the information required by the municipality. The application shall be accompanied by full dimensioned vertical and horizontal drawings of the facility with an approximate scale. These drawings are in lieu of a plat prepared by a registered surveyor that is required of Class III facilities. These drawings shall show all environmentally sensitive areas. An approved Corps of Engineers permit shall be submitted with the application for a Class IIA and Class IIB facility.
B. 
The application shall be accompanied by a $250.00 application fee for a Class IIA and Class IIB personal use dock, which is intended to offset the municipality’s processing costs. There shall be a $150.00 application fee for a Class IIC mooring buoy.
C. 
Only the upland property owner shall have the ability of applying for a Class II permit.
D. 
The Class II permit shall only be valid for two years unless construction of the dock is actively under-way. Any request for extension of the permit must be filed prior to the end of the approval period. Only one single one-year extension may be granted.
(S.G.C. 18.16.060; Ord. 03-1751 § 4, 2003)
A. 
The planning commission shall consider an application for a Class II facility during at least one meeting. The role of the planning commission is to provide comments to the applicant and the assembly on the proposal. Formal recommendations and approvals are not required.
B. 
The planning commission shall review and may approve Class IIC mooring buoy applications subject to appeal to the assembly. The planning commission shall attach any conditions that are considered appropriate. The approval may be for a term not to exceed 10 years. No annual permit fees shall be charged for mooring buoys.
(S.G.C. 18.16.080; Ord. 03-1751 § 4, 2003)
A. 
Following the planning commission review, the assembly shall consider the request. The information provided to the assembly shall include all application materials, minutes from the planning commission meeting(s), and an estimate from the assessor of the value of the tidelands.
B. 
The assembly, by simple motion, may give an approval of an exclusive transferable permit for a period of 10 years for Class IIA and Class IIB facilities. The permit shall carry two automatic five-year renewals that may be exercised at the applicant’s discretion.
C. 
There shall not be an annual permit fee for a Class IIA personal use dock.
D. 
Since a Class IIB facility involves large personal use docks, the annual permit fee shall be $200.00 a year. It shall be adjusted every five years based on the aggregate rate of inflation for the previous five-year period. The annual permit fee shall be higher than these amounts only in the event that the assembly finds that higher fees are justified by area of the tidelands that are involved.
E. 
The assembly may place conditions on any approval, and, the assembly may withhold approval if it finds the granting of the permit is not within the public interest. Any denial of a Class II application may be followed by the issuance of specific findings.
(S.G.C. 18.16.090; Ord. 03-1751 § 4, 2003)
Prior to making formal application, a potential applicant may request the assembly to give its advice concerning whether or not the assembly will consider leasing the property. The request may be considered by the planning commission and the port and harbors commission before the assembly considers the matter. Any preliminary advice shall not be binding upon the assembly, but is designed to give an applicant some idea of his or her chances and to avoid unproductive efforts.
(S.G.C. 18.16.100; Ord. 03-1751 § 4, 2003)
A. 
Application forms shall be obtained from and returned to the municipal clerk and each form shall include the information required by the municipality and be accompanied by a filing fee of $300.00 unless otherwise directed by the applicable sections of this chapter. The filing fee will not be refunded, including cases in which the application is rejected. All checks and/or money orders shall be made payable to the city and borough of Sitka.
B. 
Deposit. In addition to the filing fee the municipal clerk shall require applicants to deposit with the finance director a sum sufficient to cover all anticipated costs of advertisement and notice mailing of the area under application. In the event the land applied for is disposed to other than the applicant, then within 20 days after the auction, the successful bidder shall be required to pay advertising costs including reimbursing the applicant a reasonable amount for the plat. The original deposit will be returned to the depositor. If the depositor cancels his application or fails to accept the lease within 30 days of being offered by the municipality, the deposited moneys shall be forfeited.
(S.G.C. 18.16.110; Ord. 03-1751 § 4, 2003)
Along with the application, a plat of the area applied for shall be included. Should additional surveying be necessary it shall be done at the cost of the applicant. All plats shall be the responsibility of the applicant and shall be stamped by a land surveyor registered in Alaska. The municipality may prepare the plat and shall be reimbursed by the applicant for all reasonable costs. Mailings shall be sent to property owners within 500 feet of exterior property lines for the notifications required by this chapter by first class mail unless otherwise specified in this chapter.
(S.G.C. 18.16.120; Ord. 03-1751 § 4, 2003)
A. 
Under prior code, six types of preference rights were recognized. The time for applying for preference rights, except for upland owners (former Class VI), has long passed (December 1, 1967) and any such other unasserted rights are declared void.
B. 
Preference shall be granted to upland owners (formerly called Class VI preference right holders) over other nonpreference applicants for the same tract, for the use of tidelands and contiguous submerged land sea-ward of the upland property. It shall not be required that Sitka offer tidelands for lease should the assembly determine that it will be of greatest benefit to Sitka not to lease the tidelands. The municipality may itself make such use of tidelands as it may consider in the public interest without offering the tidelands to a preference right holder.
The preference right shall be limited to allowing the preference right holder to lease the property for the minimum price established by the assembly, if the right holder shall so bid at the auction, even though a non-preference right holder may bid more.
C. 
Any lease made to a preference holder shall require that any sublease or sale of lease rights shall require prior assembly approval and possible lease rental adjustment. Separation of ownership of the tidelands lease from the abutting uplands will not normally be approved.
D. 
If owners of more than one upland parcel claim a preference right to the same tidelands, the assembly shall determine which party is entitled to the preference. In making its determination, the assembly may consider the totality of the circumstances, including proposed uses, size and shape of the tracts, water access, and equitable consideration.
(S.G.C. 18.16.130; Ord. 03-1751 § 4, 2003)
Before the application is preliminarily approved by the assembly and a minimum bid price set, the municipality shall advise by certified mail each of the abutting upland property owners of the nature of use proposed on tidelands seaward of their property. Each upland property owner may protest issuance of the lease and such protest must be filed with the municipal clerk within 15 working days of mailing of notice. Each protest submitted shall conform substantially to SGC § 18.20.130.
(S.G.C. 18.16.140; Ord. 03-1751 § 4, 2003)
No sooner than 15 working days following the mailing of the notice to abutting upland property owners, the assembly may give preliminary consideration to the application and may hear objections, and settle disputes between claimants as to preference status, boundaries, and any other matter related to the tidelands and set a minimum bid price.
(S.G.C. 18.16.150; Ord. 03-1751 § 4, 2003)
Notice of auction and of the application for lease shall be contained in one notice and shall be made substantially as follows:
The municipal clerk shall publish three times over a three-week period at the expense of the applicant, a notice in at least one newspaper of general circulation in the vicinity in which the land, property, or interest therein is to be leased; and provided, that the lease of lands be held after the end of the three-week advertisement period. Copies of this notice shall be served on adjacent property owners by a copy being sent to them by first class mail.
The notice shall set forth the following:
A. 
A general description of the request;
B. 
The date, if any, time and place, and the general terms, including the minimum bid, if any, of the sale, lease, or other disposal;
C. 
The location and description of the lands or interest therein and the improvements thereon; and
D. 
The preference or preference rights claimed, if any.
(S.G.C. 18.16.160; Ord. 03-1751 § 4, 2003)
Lease of tidelands to other than preference right holders for areas which have more than 250 feet of frontage along the upland meander line, or lease of any tidelands valued above $7,500,000, may be submitted to the voters for an advisory vote. The assembly shall stay its decision on any such sale, lease, or disposition pending the outcome of the election. This section shall not apply to leases at the former Alaska Pulp Corporation mill site, now known as Gary Paxton Industrial Park, and the property leased under Ordinance 99-1539.
(S.G.C. 18.16.170; Ord. 03-1751 § 4, 2003; Ord. 18-29 § 4, 2018)
Anyone may file a protest with respect to the grant, sale, lease, or other disposal of tidelands or materials thereon or therein. Such protest shall be in writing and contain a statement as to the nature and reason for the protest. Each protest so made shall be filed with the municipal clerk during the period of publication. Failure to protest shall constitute a waiver.
(S.G.C. 18.16.180; Ord. 03-1751 § 4, 2003)
Lease price shall finally be determined by open auction. The assembly shall set the upset price for the auction and advertise the minimum price. In determining the minimum price, the assembly may rely on the municipal assessor’s advice as to value and consider such additional input, as it may desire. The minimum price shall be no less than the value established by the municipal assessor.
In addition to a minimum bid, the assembly may require a development plan from each bidder and may evaluate such plans for acceptability prior to auction. Acceptability shall be based upon a determination that the plan would enhance the long range development of the municipality and benefit the public.
(S.G.C. 18.16.190; Ord. 03-1751 § 4, 2003)
Should the auction be held and a bid accepted by the assembly, the lease shall be executed subject to passage of an ordinance authorizing the lease. If the lease is subject to an advisory vote and the assembly authorizes an advisory vote, the assembly shall stay its decision on the ordinance authorizing the lease pending the outcome of the election.
(S.G.C. 18.16.200; Ord. 03-1751 § 4, 2003; Ord. 18-29 § 4, 2018)
A. 
The annual lease payment to the municipality shall be four and one-half percent of the price established at the auction plus sales tax for new leases and lease renewals.
B. 
On the seventh anniversary of each lease, and each seven years thereafter the annual lease payment shall be adjusted as follows: The annual lease payment shall be designed to approximate the national inflation or deflation rate using the Consumer Price Index – U.S. City Average – All Items (base period 1984 = 100). Each lease shall state the base figure and tax year on which it was calculated. The term shall be 30 years unless otherwise determined by the assembly.
C. 
The assembly may require such other terms and conditions as it may desire to be included in the lease at its commencement.
(S.G.C. 18.16.210; Ord. 03-1751 § 4, 2003; Ord. 13-22 § 4, 2013)
By ordinance the municipality may elect to lease tidelands upon its own initiative upon such terms as are set out in the ordinance.
Tidelands leased by the direct lease procedure may be subject to an advisory vote if approved by the assembly when applicable by other sections of the Sitka General Code.
(S.G.C. 18.16.220; Ord. 03-1751 § 4, 2003; Ord. 18-29 § 4, 2018)
Following any approval the administrator shall prepare and execute lease documents. Those documents shall include clauses covering termination of leases for nonpayment and ownership of facilities involving terminated or expired leases.
(S.G.C. 18.16.230; Ord. 03-1751 § 4, 2003)