Port commission approves rate hikes; issue goes to assembly

The port commission has voted to increase most of Wrangell’s port and harbors rates, generally about 2% per year for the next five years, sending the new fee schedule to the borough assembly for consideration.

The new rates would take effect this July and apply to most port and harbors services, including long- and short-term storage and haul-out rates at The Marine Service Center, transient and reserved moorage in the harbors, electricity hookups, use of the gridiron and hoists.

The borough had generally been raising port and harbor rates about 2% a year until the COVID-19 pandemic prompted a slowdown in economic activity and a pause in the fee increases.

The suggested rate hikes follow a study prepared for the borough by Rain Coast Data, which looked at the long-term viability of The Marine Service Center and the port and harbors fee structure. For every dollar spent, the port and harbors department is only getting about three-quarters of a dollar back, the study concluded, with the rate of return further decreased in future projections without fee increases.

Under the rate hikes forwarded by the port commission Feb. 17 to the assembly for consideration, daily transient moorage fees in the harbors would increase in the first year from 49 cents to 50 cents per linear feet for vessels up to 30 feet long; vessels in the 31- to 55-foot length would go from 59 cents to 60 cents; and vessels in the 56- to 100-foot category would go up 2 cents from 69 cents to 71 cents.

Similar increases would be implemented for 2023 through 2026.

Monthly reserved moorage rates for 56- to 100-foot vessels would go up 11 cents from $5.40 to $5.51 per foot in the first year, with a rate hike from $4.87 to $4.97 for boats 31 to 55 feet long.

The $85 a month liveaboard fee would go up by $1.70 to $86.70 in July, and a similar amount in subsequent years.

The proposed rate hikes for the travel lift haul-out range from a 28-cent increase from $13.64 to $13.92 per foot for vessels up to 40 feet in length, to a 52-cent increase for vessels 141 feet and longer, which would go from $25.91 to $26.43 per foot.

Use of hoists (billed in 10-minute intervals) would increase from $30 to $30.60 per hour.

Other increases affect seaplane float billing (per day, month or year), electric utility service, impoundment fees, hydraulic trailer fees at The Marine Service Center, and port security personnel for cruise ships.

If approved by the assembly in March, the updated fee schedule would kick in on July 1, 2022, coinciding with the start of the borough’s fiscal year.

In explaining the rate increase, Port Director Steve Miller said the increases are not intended to “run anyone out of business.”

Port commission member John Martin added, “We don’t want to run ourselves out of business.”

No members of the public attended the Feb. 17 port commission meeting where the fees were discussed.

 

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