COMMISSION MEETING MINUTES July 10, 2007 The Port of Grays Harbor Commission Meeting for July 10, 2007 was called to order at 9:00 a.m. Mary Nelson led the meeting in the Pledge of Allegiance. Those in attendance at the meeting were as follows: COMMISSION AND STAFF Chuck Caldwell - Commissioner Stan Pinnick - Commissioner Jack Thompson - Commissioner Art Blauvelt - Legal Counsel Gary Nelson - Executive Director Leonard Barnes - Deputy Executive Director Mary Nelson - Director of Finance & Administration Lisa Benn - Accounting Manager Mike Johnson - Contracts Administrator Diane Souron - Business & Trade Development Asst. Robin Leraas - Westport Marina Manager Seth Taylor - Marine Terminals Manager Janet Blackmun-Johnson - Accounts Receivable Specialist Joseph Shay - History Intern VISITORS Virgil Stortroen - Westport Art Festival Bill Lindstrom - The Daily World Mary Riley - Grays Harbor Grannies Bob Dome - Libertarian Party of GH County Wes Brosman - Private Citizen Kirsten Anderson - Private Citizen Billy Swor - ILWU Local #24 Stan Sliva - ILWU Local #24 Linda Orgel - Private Citizen Desiree Dodson - Westport City Council Barbara Smith - GH Tourism Connie Stullick - Private Citizen Items discussed and action taken where required are as follows: MINUTES: 1. By motion made by Commissioner Thompson, seconded by Commissioner Pinnick and unanimously approved, the Commission adopted the Minutes of the June 12, 2007, Regular Commission Meeting as recorded in Minutes Book No. 16, on pages 38 through 43 inclusive. VOUCHERS: 1. By motion made by Commissioner Pinnick, seconded by Commissioner Thompson and unanimously adopted, the Commission approved for payment those Payroll Vouchers issued June 20, 2007 and July 5, 2007, and General Disbursement Vouchers No. 69315 through and including No. 69479 for payment in the amount of $823,472.52. REPORTS: Westport Art Festival Virgil Stortroen briefed the Commission on the upcoming Art Festival scheduled for August 18 & 19 in Westport and thanked the Port for their support of the event. Glideslope Revision Status Business & Trade Development Assistant Diane Souron reported that the Federal Aviation Administration (FAA) has approved the Port’s requests for a GPS approach to Runway 6 and to raise the Bowerman Field Airport approach glideslope from 3.0° to 3.5°. Earlier discussions had indicated that the change would be effective October 2008, however FAA now estimates implementation in October 2009. Executive Director Gary Nelson instructed staff to prepare a letter to FAA outlining the Port’s concerns with the additional delay. Deeper Draft, Phase II Executive Director Gary Nelson reviewed the current status of the Grays Harbor Navigation Improvement Project (GHNIP) and the navigation channel’s water resources: channel is 350’ wide; Cow Point Turning Basin is 900’ wide with a notch at the southern side; channel’s authorized depth is –38’, and GHNIP Phase 1 construction deepened the channel to –36.’ The current depth of –36’ allows for prevailing sailing drafts of –39’ to –40’ with the appropriate tide. Phase II of the GHNIP includes deepening the downstream portion of the channel to its authorized depth of –38’. Earlier this year, a request was made to Congressman Dicks to help secure funding for the Seattle District to accomplish the General Investigation (GI) report for Phase II, the first step in getting appropriation for Phase II construction. Moving forward with the GI will keep the project on active status thereby avoiding the costly and time-consuming process of re-authorization. Westport Marina Breakwaters Investigation Contracts Administrator Mike Johnson presented a slideshow on the recent survey undertaken by the US Army Corps of Engineers of the breakwater structures at the Westport Marina. The June inspection was a result of discussions at the Boat Basin Master Plan Advisory Committee and Community Meetings in April. The complaint by vessel and business owners concerned the amount of wave energy that was coming through the structure. The Corps constructed and is responsible for the maintenance of breakwaters structures, and is working on a repair plan to replace planking on all structures and toe rock at Breakwater A. They hope to accomplish this work prior to commencement of the winter storm season. Vessel Activity Leonard Barnes reported six vessel calls in June: 1 inbound shipment for Imperium Grays Harbor (IGH); 4 outbound shipments for IGH; and M/V Industrial Dawn loaded rocket motors headed for Japan. In July, there will be more inbound and outbound vessel traffic for IGH. Public Comment Wes Brosman expressed his concern regarding Port’s compliance status with ADA requirements for public access. Billy Swor of the ILWU Local No. 24 requested that the Port consider a new strategy by accentuating its marketing efforts with the addition of an employee devoted to generating new marine commerce business. REPORTS (continued): Grays Harbor Tourism Marketing Barb Smith reported that Grays Harbor Tourism is looking into publishing a DVD promoting the Grays Harbor area. Grays Harbor Tourism estimates the cost to be $20,000 to use a high quality production company. They are looking for approximately 10 partners to contribute $2,000 each for the project. ACTION/RESOLUTION ITEMS: Action Item No. 1 Legal Counsel Art Blauvelt informed the Commission that it was time for a representative to the PDA Board be appointed for 3 years. Motion to appoint Commissioner Jack Thompson to serve on the PDA Board for a 3-year term was made by Commissioner Pinnick and seconded by Commissioner Caldwell. Motion passed with all Commissioners in favor. Action Item No. 2 Leonard Barnes reported that Paneltech International, LLC would like to extend the term of its Warehouse D lease by one year. Motion to authorize the Executive Director to amend Lease Agreement No. 1018 with Paneltech International, LLC was made by Commissioner Thompson and seconded by Commissioner Pinnick. Motion passed with all Commissioners in favor. Action Item No. 3 Leonard Barnes reported Imperium Grays Harbor, LLC would like to rent approximately 14,000 square feet of space in Warehouse E for storage. Motion to authorize the Executive Director enter into Rental Agreement No. 1049 with Imperium Grays Harbor, LLC was made by Commissioner Pinnick and seconded by Commissioner Thompson. Motion passed with all Commissioners in favor. Action Item No. 4 Art Blauvelt briefed the Commission on the status of Contract No. 1563, T4 Jet Array Painting Project. The contract had previously been awarded to a company at the Regular April 2007 Commission Meeting. This company was unable to secure a bond for the project. The Executive Director declared an emergency and awarded Contract No. 1563 to the next lowest bidder Washington Industrial Coatings for $161,767.75 plus sales tax. Motion to ratify the actions taken by the Executive Director in declaring an emergency and awarding Contract No. 1563, T4 Jet Array Painting to Washington Industrial Coatings was made by Commissioner Thompson and seconded by Commissioner Pinnick. Motion passed with all Commissioners in favor. Action Item No. 5 Art Blauvelt outlined the events that led to the termination of Contract No. 1555, Stormwater Pipeline Rehabilitation Project with Pipe Experts, Inc. Payment to Pipe Experts is requested for work and materials provided by the contractor prior to contract termination. Motion to authorize the Executive Director to pay Pipe Experts, Inc. $85,000, including sales tax, under Contract No. 1555, Stormwater Pipeline Rehabilitation Project was made by Commissioner Pinnick and seconded by Commissioner Thompson. Motion passed with all Commissioners in favor. Resolution 2688 Diane Souron reported that federal and state grant funds are available to accomplish reconciling of existing tree obstructions, runway re-striping and crack sealing, and preliminary engineering design of the rotating beacon and electrical building at Bowerman Field Airport. To qualify for the grant funds, the Port must provide a local match of 2.5% or $7,511.95. Motion to adopt Resolution No. 2688: A Resolution of the Port of Grays Harbor to Washington State Department of Transportation Aviation Guaranteeing Grant Match Funds Availability was made by Commissioner Thompson and seconded by Commissioner Pinnick. Motion passed with all Commissioners in favor. Resolution Adopted. NEW BUSINESS: Legal Counsel Art Blauvelt reported that he has reviewed certain amendment requests to Lease Agreement No. 1014 with Imperium Grays Harbor, LLC (IGH) and found them to be acceptable. Motion to authorize the Executive Director to enter into the Second Amendment of Lease No. 1014 with Imperium Grays Harbor, LLC was made by Commissioner Pinnick and seconded by Commissioner Thompson. Motion passed with all Commissioners in favor. Seth Taylor was introduced to the Commission as the newly hired Marine Terminals Manager. Commissioner Pinnick reported he had attended the Rusty Scuppers Pirate Daze ceremonies in Westport and accepted a plaque of appreciation on the Port’s behalf. There being no further business to come before the Commission, the Regular Meeting recessed at 10:18 a.m. The Board then went into Executive Session to consider the sale or lease of real property and discuss with legal counsel potential or actual litigation. No action to be taken during Executive Session. It was announced that the Executive Session would last until 12:30 p.m. The Executive Session ended at 12:30 p.m. and the Regular Meeting adjourned at that time.