Announcements, City of Valdez, Featured

City and Aleut Corporation to Pursue Agreement

Council ChambersInterim City Manager Bob Jean, incoming City Manager Dennis Ragsdale and Community and Economic Development Director Lisa Von Bargen met with community members on Friday, January 8th to discuss progress toward an agreement with Aleut Corporation regarding the pending closure of Aleutian Village. A draft Memo of Understanding between The City of Valdez and The Aleut Corporation was made available to attendees of the meeting (MOU) Jean stated that, despite the fact that the mobile home court was presently operating at a loss, closure in August would be very expensive for the corporation due to contractual obligations with both DOT and City of Valdez. The City of Valdez suggested an extension of the closure date from August 31 to October 31, 2016 in order to give The City time to explore buying the property and converting it into ‘an owner occupied, mixed use subdivision.’ The City would be prepared to inform Aleut Corporation by August 31, 2016, the original closure date, if the plan was viable. If not, Aleutian Village would close October 31, 2016 and The City would assist residents in relocating. If so, Aleut Corporation would continue to run the mobile home court until City of Valdez was in a position to take over, through October 2018 at the latest.

If purchase is possible the property would be made available first to the present residents of the mobile home court, with assistance in financing. Jean stated that according to his figures, their payments would probably be less than their present lot rent. Remaining property would be made available for a variety of different types of dwelling and possibly a store.

Jean went on to say that The Department of Transportation seems open to the idea of the purchase and that Governor Walker has stated that he supports selling state-owned property for private use and that his office would assist with the sale. The City has already qualified to apply for a Federal Community Development Block Grant with the census figures derived from the survey taken by Aleutian residents. So the chances are good that a grant application for 2017 would be approved. This money would pay for upgrading the sewer and water systems to City code. State Aviation Management plans in both 1980 and 2000 have advised the rezoning of the Aleutian Village property.

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In closing Jean introduced City Manager Dennis Ragsdale. He said he was confident in passing the project to Ragsdale, who has been fully briefed and is experienced in property issues. Jean will continue to be available to consult after he leaves Valdez. He also praised the support and assistance of Valdez City Council and the Economic Development Department. Von Bargen took the opportunity to praise her staff and their commitment to finding a solution to the problem, especially Senior Planning/GIS Technician AnnMarie Lain for a suggestion that helped move the planning forward when it hit a snag.

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