Port of Grays Harbor

Commission Meeting

December 11, 2018

The Port of Grays Harbor Commission Meeting for December 11, 2018 was called to order at 8:58 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
Tom Quigg - 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
Keya Bernhardt - Communications & Administrative Coordinator
Lisa Benn - Accounting Manager

VISITORS
Rob Bearden - City of Westport
Todd Bates - Grays Harbor College
Kim Roberts - Westport Winery
Pat Oleachea - Citizen
Arnie Martin - Citizen
Darlene Camp - Citizen
Kevin Campbell - Brusco Tug
Mike Quigg - Citizen
Linda Orgel - FOGH
Steve Ensley - City of Ocean Shores
Kevin Goodrich - City of Westport

Items discussed and action taken where required are as follows:

RESOLUTION
Resolution 2964
Art Blauvelt, General Counsel, presented for Commission consideration, Resolution No. 2964 Appointing Tom Quigg as Port Commissioner from District 2.

Motion to adopt Resolution No. 2964: A Resolution to Appoint Tom Quigg as Port Commissioner from District 2 was made by Commissioner Papac and seconded by Commissioner Pinnick. Motion passed with a vote of 2-0. Resolution adopted.

Notary Public Art Blauvelt administered the Oath of Office to Commissioner-Appointee Tom Quigg.

MINUTES:
1. By motion made by Commissioner Papac, seconded by Commissioner Quigg and unanimously approved, the Commission adopted the Minutes of
November 13, 2018 Regular Commission Meeting as recorded in the Minutes Book No. 20 on pages 263 through 268 inclusive.

2. By motion made by Commissioner Quigg, seconded by Commissioner Papac and unanimously approved, the Commission adopted the Minutes of
November 26, 2018 Special Commission Meeting as recorded in the Minutes Book No. 20 on pages 269 through 270 inclusive.

3. By motion made by Commissioner Papac, seconded by Commissioner Quigg and unanimously approved, the Commission adopted the Minutes of
November 27, 2018 Special Commission Meeting as recorded in the Minutes Book No. 20 on pages 271 through 272 inclusive.

VOUCHERS:
1. By motion made by Commissioner Papac and seconded by Commissioner Quigg, the Commission unanimously approved for payment those Payroll Vouchers issued November 20, 2018 and December 5, 2018, ACH/Wire Transfers No. 99901111 through and including No. 999001128, and General Disbursement Vouchers No. 98406 through and including No. 98717 for payment in the amount of $4,258.525.27.

WORKSHOPS:
Forest Certification Program Update
Gary Nelson, reported on the SBP Forest Certification. Mr. Nelson recommended that we continue to pursue the renewal of our FSC certification contingent on getting FSC auditors to recognize the difference between the management of the business park and forest lands. Mr. Nelson also recommended that we continue to pursue FSC certification in our management plan for SBP forest lands while allowing us to manage the development of the business park without jeopardizing our certification status.

Mr. Nelson reported that there will be no change from our current forest practices but it is important we get FSC auditors to distinguish between forest management and business park management.

Sale of Lambert Ledge Timber Post Completion Report
Mike Johnson, reported on the sale of Lambert Ledge Timber Post Completion. A logging services contract for the harvest and hauling of approximately 135 MBF of saw logs and 1000 Ton of Chip-N-Saw and Pulp on approximately 19 acres was awarded to Lewis River Logging on June 28, 2018. Logging included cutting, yarding, processing, sorting, loading, and hauling to designated destinations. Logging operations are complete for this contract. Mike Johnson introduced Todd Bates, Grays Harbor College.

Mr. Bates presented the final sales report. This harvest was intended capture value from a stand of trees dominated by naturally regenerated red alder after construction activities halted in the mid 1980's. Trees retained are Douglas-fir scattered throughout the stand along with small hemlock in clumps intermixed. The sole-proprietor logging contractor began on July 8th and completed in 60 days. Final volume was 42% above of cruised volume. The "chip-and-saw" (CNS) sort was not utilized due to the potential loss of value so more was sent as straight sawlog. Net revenue was $108,540.16

PGH Recreation Lands & Facilities Report
Shelli Hopsecger presented on the PGH Recreation Lands and Facilities Report. Currently the facilities consists:
• Playgrounds
• 4 Viewing Areas
• 6 Boat Launches
• 29 Camping Spots
• 550Moorage slips
• 600+ Parking spots
• 100+ Miles of open trails

Ms. Hopsecger introduced Alissa Shay, who reported on the multiple recreation facilities the Port owns and manages. Friends Landing will see improvements this year including a new playground, signs, online reservations, and a new lodging tax grant.

Ms. Hopsecger introduced Molly Bold, who reported on the activities at the Westport Marina, including multiple partnerships, safety improvements, and festivals.

Ms. Hopsecger introduced Randy Lewis, who reported on the recent completion of the 28th St. Boat Launch. The boat launch finished construction at the end of 2018. This phase included a new boat launch, parking stalls, and a new bathroom facility.

2019 Communication Plan
Kayla Dunlap presented the 2019 Communication Plan. The Port’s objective is to effectively communicate the opportunities and accomplishments at the Port of Grays Harbor through the implementation of a public relations and communication program, and to best utilize the many tools and resources available to the Port of Grays Harbor to reach target audiences.

The Port of Grays Harbor will strive to incorporate the importance of partnerships to the success of Grays Harbor into all communication pieces, continue to ensure our policies and procedures relating to public information are up to date and that staff and Commissioners are in compliance with training as it relates to the Open Public Meetings Act and the Public Records Act.

Public Information Report
Kayla Dunlap reported there were a few updates regarding BHP’s proposed export facility. The public comment period was extended 30 days to December 17th, 2018. Ms. Dunlap reminded commission that the Notice and more information about the project can be found on BHP’s website.

Ms. Dunlap, reported that the comment period for the SEPA threshold determination ended on Thursday, November 29, 2019

Ms. Dunlap, reported that the Notice of Application (Shorelines Permit) will be accepted through December 17th at 5pm and may also be submitted orally or in writing at the public hearing on December 19th at 11am.

Ms. Dunlap, reported that the Governor’s budget will be release this week, and the legislative budget with be facing around a $1.5 billion deficit heading into the 2019-2020 biennium.

Vessel Activity
Leonard Barnes reported for November 2018 the Port had calls from 8 deep-water vessels and 0 barges, which resulted in 164,242 MT of cargo being handled. Year-to-date, the Port has handled 101 ships, 14 barges and 2.32 million MT of cargo.

Public Comment:
N/A

ACTION/RESOLUTION ITEMS:
Action Item No. 1
Molly Bold, requested authorization for the Executive Director to Amend the Westport Marina Tariff As Follows: Section 8, Commercial and Recreational Activities within the Marina.

A motion to authorize the Executive Director to amend the Westport Marina Tariff made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0.

Action Item No. 2
Mike Johnson, requested authorization for the Executive Director Award Contract No. 1970, Ranney Well Interconnection Line.

Motion to authorize the Executive Director to Award Contract No. 1970, Ranney Well Interconnection Line was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Action Item No. 3
Mike Johnson, requested authorization for the Executive Director to award Contract No. 1983, Terminal Maintenance Dredging.

Motion to authorize the Executive Director to award Contract No. 1983, Terminal Maintenance Dredging was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0.

Action Item No. 4
Randy Lewis, requested authorization for the Executive Director to accept Surface Transportation Program Funds for Port Paving Project.

Motion to authorize the Executive Director to accept Surface Transportation Program Funds for Port Paving Project was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Motion to authorize the Executive Director to accept funding from the Surface Transportation Program and authorization for the Executive Director to sign the 2019-2021 Project Phase Authorization of Commitment Form for the Port Paving Project was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0.

Motion to authorize the Executive Director to proceed with the project and enter into contracts with consultants as required to complete the design and meet the administrative requirements associated with the federal funding was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0.
Action Item No. 5
Randy Lewis, requested authorization for the Executive Director to approve Amendment No. 1 to Contract 1891 Westport Marina Dredging Engineering Support

Motion to authorize the Executive Director to approve Amendment No. 1 to Contract 1891 Westport Marina Dredging Engineering Support was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0.
Action Item No. 6
Art Blauvelt, General Counsel, requested Commission pass a motion ratifying the actions of the Executive Director in declaring an emergency and awarding a contract to Rognlin’s, Inc. for the repair of a sink hole that suddenly appeared on the Port Industrial Road. The cause of the sink hole was apparently a culvert pipe failure.

Motion to ratify the Executive Director’s finding of an emergency was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Motion to ratify awarding of the contract to Rognlin’s pursuant to this finding of an emergency was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Public Comment:
Linda Orgel, St. Rt.105, wanted to thank the commission for the FSC recommendation. Stan Pinnick responded with, we believe in high standard our forestry program.

Arnie Martin, Hoquiam, WA, thanked the commission for the continuing support for the sandpiper trail.

Resolution 2965
Mike Folkers presented for Commission consideration, Resolution No. 2965, A Resolution to update the Port’s salary range schedule, the authorized position schedules, and the 2018 holiday schedule.

Motion to adopt Resolution No. 2965: A Resolution of The Port Commission of The Port of Grays Harbor Modifying The Port’s Salary And Benefit Policy As Adopted By Resolution No. 2367 On January 14, 1997, And As Has Been Amended was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0. Resolution adopted.

Resolution 2966
Mike Folkers, presented for Commission consideration, Resolution No. 2966, A Resolution of The Port Commission of The Port of Grays Harbor Delegating Authority to The Executive Director to Sell Port Surplus Personal Property during Calendar Year 2019.

Motion to adopt Resolution No. 2966: A Resolution of The Port Commission of The Port of Grays Harbor Delegating Authority to The Executive Director to Sell Port Surplus Personal Property during Calendar Year 2019 was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0. Resolution adopted.

Resolution 2967
Randy Lewis, presented for Commission consideration, Resolution No. 2967, Adoption of Amendment #1 to the Port of Grays Harbor Six Year Transportation Improvement Program (2019 – 2024).

Motion to adopt Resolution No. 2967: Adoption of Amendment #1 to the Port of Grays Harbor Six Year Transportation Improvement Program (2019 – 2024) was made by Commissioner Papac and seconded by Commissioner Quigg. Motion passed with a vote of 3-0. Resolution adopted.

Visitors/Public Comment:
N/A

NEW BUSINESS:

Lisa Benn, announced it was the 107th anniversary of the Port of Grays Harbor.

Mr. Nelson wanted to lend our support for Vladimir Shepsis wave energy concept. Motion, subject to final review to support the Wave Energy project was made by Commissioner Quigg and seconded by Commissioner Papac. Motion passed with a vote of 3-0.

Mr. Nelson noted future meetings and events:
• December 11 – Monte Chamber of Commerce
• December 13 – Pilotage
• December 18 – Joint Special Commission Meeting with PUD
• January 8th – Commission Meeting

Public Comment:
Arnie Martin, suggested researching BHP in Vancouver and seeing their expansion plans.

Molly Bold, introduced the new Westport Marina Operations Manager, Jeremy Plummer to the commission.

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, an extension of 30 minutes was subsequently announced.

The Executive Session ended at 1:03 p.m. and the Regular Meeting adjourned at that time.