Port of Grays Harbor

Commission Meeting

September 11, 2018

The Port of Grays Harbor Commission Meeting for September 11, 20108 was called to order at 9:02 a.m.

Leonard Barnes, Deputy Executive Director, led the meeting in the Pledge of Allegiance.

Those in attendance at the meeting were as follows:

COMMISSION AND STAFF
Phil Papac - Commissioner
Stan Pinnick - Commissioner
Jack Thompson - Commissioner
Gary Nelson - Executive Director
Arthur Blauvelt - Legal Counsel
Mike Folkers - Director of Finance & Administration
Leonard Barnes - Deputy Executive Director
Alissa Shay - Manager of Business Development
Mike Johnson - Contract and Project Manager
Randy Lewis - Director of Environmental and Engineering Services
Seth Taylor - Marine Terminals Manager
Shannon Anderson - Business & Trade Development Asst.
Kayla Dunlap - Public Affairs Manager
Molly Bold - Westport Business Manager
Seagra Carkonen - Marina Office Assistant
Keya Bernhardt - Communications & Administrative Coordinator
Lisa Benn - Accounting Manager

VISITORS
Shelli Hopsecger - CCAI
Steve Ensley - Ocean Shores City Council
Cindy Taylor - Rainier Connect
Jeremy Culican - USCG
Johnathan Sawin - Westport Charter Assn.
Kathryn Franzen - Planning Commission
Harry Carthum - Tsunami Committee
Paula Alcerlund - Tsunami Committee
Rob Bearden - Mayor of Westport
Hillary Bearden - Director Washington Crab Assn.
Linda Orgel - FOGH
Brook Priest - Citizen
Denise Wells - Chamber

Items discussed and action taken where required are as follows:

MINUTES:
1. By motion made by Commissioner Pinnick, seconded by Commissioner Papac and unanimously approved, the Commission adopted the Minutes
of August 14, 2018 Regular Commission Meeting as recorded in the Minutes Book No. 20 on pages 236 through 243 inclusive.

VOUCHERS:
1. By motion made by Commissioner Pinnick and seconded by Commissioner Papac, the Commission unanimously approved for payment those Payroll Vouchers issued August 20, 2018 and September 5, 2018, ACH/Wire Transfers No. 999001070 through and including No. 999001085, and General Disbursement Vouchers No. 97728 through and including No. 97952 for payment in the amount of $3,456,408.01.

WORKSHOPS:
Westport Marina District Strategy Session
Molly Bold, introduced Shelli Hopsecger, CCHI. Ms. Hopsecger presented on the current and future user base of the Westport Marina District, in order to continue to protect the public infrastructure, make improvements that incorporate the trends of the diverse users and industries surrounding the Marina, and begin developing a funding strategy that leverages the limited local resources with the funding needed to extend the life of the Marina infrastructure beyond the next 10 years.

Ms. Hopsecger, introduced John Sawin, Westport Charter Assn. Mr. Sawin reported that the salmon fishing is effecting charter boat fishing, and the trend is to go to smaller boats. Mr. Sawin explained that having a live bait station really helps the marina attract fisherman.

Ms. Hopsecger, introduced Hillary Bearden, Director Washington Crab Assn. Ms. Bearden reported that the Westport Marina faces different heartaches every year. Ms. Bearden reported that the vessels are getting wider from previous years. She also mention many of the Westport fisherman would like to see a haul out facility, and access to a public hoist.

Ms. Hopsecger, introduced Mark Rydman, part owner of Ocean Gold Seafood. Mr. Rydman reported that Ocean Gold is one of the largest lease holders, and largest processors in Westport. One of their biggest obstacles is competing with the global market, and keeping the company in Westport and not shipping outward. He would like to see the slips capable of having 150ft boats attached.

Ms. Hopsecger, introduced Kathryn Franzen, reported on the real-estate changes in Westport. Ms. Franzen reported that $200,000 houses go quickly in the area. The average age of current real estate purchaser is between 40-50 years of age. Ms. Franzen reported that commercial is much more difficult and there are currently many commercial properties on the market. One of the main issues in the area is the lack of housing for employees in the area.

Westport Art Festival
Molly Bold, reported on the 2018 Westport Art Festival. This was the 21st year for the festival with 65 vendors. It continues to be a successful weekend out at Westport.

Westport District Zoning Change Recommendation
Molly Bold, introduced Kathryn Franzen, Westport Planning Commission. Ms. Franzen presented to the commission that the City of Westport Planning Commission has discussed changing the zoning of two Port owned properties in the City of Westport. Tax parcel 616120132001 (along Montesano and Dock St.) is currently zoned Marine Industrial (MI). The Planning Commission is proposing changing the zoning of the 6.3 acre parcel from MI to MUTC-1 and changing the zoning of the 23.3 acre parcel from MUTC-1 to MI. The Planning Commission is recommending this change to make the zoning more consistent with current uses.

Dredging and Aids to Navigation Update
Randy Lewis, reported on the dredging and aids to navigation update. The Marina federal channel dredging was contracted by Corps of Engineers and the contractor was HME Construction, Inc. The dredging began August 6, and completed August 13, with 32,140 CY being dredged.

The navigation channel dredging was contracted by Corps of Engineers, and the contractor was American Construction with Manson Construction as the Subcontractor. The Hoquiam reach deepening began July 16, Cow Point Reach maintenance began July 18, and work stopped August 21.

The Grays Harbor fixed aids repair upgrade project, was contracted by US Coast Guard, and the contractor Bergeson Construction. The project began June 25, and is scheduled to be completed September 12.

Derelict Vessel Update
Molly Bold, presented on the Derelict Vessel update. In 2017, staff confirmed seven derelict and abandoned vessels in the marina, and identified several vessels of concern. The Port partnered with the Department of Natural Resources to remove and demolish five potentially hazardous vessels using the DNR Derelict Vessel Removal Program (DVRP). The DVRP, which began in 2002, has aided in the removal of over 600 vessels from Washington State waters. Using the State Department of Enterprises Services, the Port authorized the removal of the following five vessels:
• Nyoda
• Taurus
• Sea Lane II
• Freebird
• Quiet Tidal
The total cost to remove the vessels was $141,254.68. The costs were fully reimbursed by the Washington State Department of Natural Resources Derelict Vessel Removal Program, resulting in no cost to the Port of Grays Harbor.

Public Information Report
Kayla Dunlap, reminded staff and commissioners that Friends Landing will host its 2nd Annual Salmon Run in conjunction with Montesano Fish & Brew Fest on Saturday September 29, at 9am. Participants can choose between a 5k run or a 1.7 mile walk around Lake Quigg.

Ms. Dunlap reported that the Annual Public Outreach includes the following dates:
• October 18 – Westport
• AGP September 13 – Philippines group
• AGP October 8 – Philippines group

Vessel Activity
Leonard Barnes reported for Aug 2018 the Port had calls from 10 deep-water vessels and 2 barges, which resulted in 236,309 MT of cargo being handled. Year-to-date, the Port has handled 72ships, 12 barges and 1.8 million MT of cargo.

ACTION/RESOLUTION ITEMS:
Action Item No. 1
Leonard Barnes, requested authorization for the Executive Director to enter into a new Rental Agreement with Harbor Alternate Living Association (HALA) for parking.

This will be a month-to-month agreement. The rent is $200.00 per month and HALA is exempt from Washington State Leasehold Tax. Insurance and Performance Bond will be in place before the agreement is executed.

Motion to authorize the Executive Director to enter into a new Rental Agreement with Harbor Alternate Living Association (HALA) for parking was made by Commissioner Pinnick and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Resolution 2955
Mike Folkers presented for Commission consideration, Resolution No. 2955, Authorize a Special Meeting of the Port of Grays Harbor Commission for a Budget Workshop October 4, 2018.

Motion to adopt Resolution No. 2952: A Resolution of The Port Commissioners of The Port of Grays Harbor Scheduling A Special Meeting Of The Port Commission For Friday, October 4, 2018 At 1:00 P.M. was made by Commissioner Papac and seconded by Commissioner Pinnick. Motion passed with a vote of 3-0. Resolution adopted.
Resolution 2956
Molly Bold, presented for Commission consideration, Resolution No. 2956, Authorize Donation of Surplus Personal Property to South Beach Historical Society.

Motion to adopt Resolution No. 2956: A Resolution Donation of Surplus Personal Property was made by Commissioner Pinnick and seconded by Commissioner Papac. Motion passed with a vote of 3-0. Resolution adopted.

Resolution 2957
Mike Folkers presented for Commission consideration, Resolution No. 2957, Rescheduling the October 9, 2018 Meeting of the Port Commission to Tuesday, October 16, 2018

Motion to adopt Resolution No. 2952: A Resolution of The Port of Grays Harbor Commissioners Rescheduling the October 9, 2018 Meeting of the Port Commission to Tuesday, October 16, 2018 was made by Commissioner Pinnick and seconded by Commissioner Papac. Motion passed with a vote of 3-0. Resolution adopted.

Visitors/Public Comment:
None.

NEW BUSINESS:

Mr. Nelson noted future meetings and events:
• September 13 – Chehalis Basin
• September 20 – Pilotage
• September 20-21 -FIMSIB
• September 27-28 – WPPA, Mike Johnson
• October 4 – Budget Workshop
• October 16 – Commission Meeting

There being no further business to come before the Commission, the Regular Meeting recessed at 11:18 a.m.

The Board then went into Executive Session to consider the acquisition, sale or lease of real estate and to discuss with Port’s legal counsel matters relating to agency enforcement actions, litigation or potential litigation. No action to be taken during Executive Session. It was announced that the Executive Session would last an hour and 15 minutes.

The Executive Session ended at 1:30 p.m. and the Regular Meeting adjourned at that time.