Assembly approves operating agreement with Highmark Marine for Sitka haul-out; fishermen raise revenue and renewal concerns

The Sitka City and Borough Assembly voted 5–1 on Aug. 12 to approve an operating agreement with Highmark Marine Fabrication for the operation of the municipal marine vessel haul-out and shipyard at the Gary PaX Industrial Park (GPIP). The agreement sets fees, operational responsibilities and a multi-year term with potential administrative renewals.

Gary White, GPIP director, summarized the packet materials and exhibits for the assembly: a scope of services, facility-use rules, a negotiated fee schedule and a lease for warehouse space. White said the city successfully negotiated lower daily haul-out rates, generally reducing proposed fees by about $3 per foot across most boat-size bands, and arranged a modest payment back to the city's GPIP enterprise fund. "We were successful in getting lower fees from what Highmark originally proposed," White said.

Public commenters included commercial fishermen and local vessel owners who urged changes before final approval. Linda Behnken of the Alaska Long Line Fishermen's Association said the community-built facility represents a major public investment and urged clarification on renewals and whether Highmark would automatically gain rights to future expanded yard (phase 2) without a larger revenue share to the city. "I would expect that if that is open, that would not automatically go to…