NewWPPAcolor.JPGMembersLetter

From the Washington Public Ports Association

 

August 2011

Upcoming Events

September 22-23, 2011
Trade & Economic Development Seminar
The Coast Hotel, Wenatchee

WPPA Purchases Building

Bainbridge Island and Winlock Look to Form Their Own Port Districts. Error! Bookmark not defined.

Washington Export Initiative Launches Export Success Stories. 4

OFM Predicts Fiscal Impact of Initiative 1183. 4

Association of Washington Cities Presents Open Government Workshop: Policy Development for Local Public Officials. 5

Port News. 7

Federal Bills Introduced to Protect VEBA Benefits. 7

Employment Opportunities. 13

 

WPPA Purchases building

After more than a year of discussions and assessment, the WPPA Board of Trustees held a rare special meeting on August 19 and voted to purchase the building that WPPA has leased space in for many years.

“This is an exciting opportunity, and there was enthusiastic support from an overwhelming majority of our membership to take this step” said WPPA President Scott Walker, Commissioner from the Port of Bellingham. “It makes sense financially and it sends a strong signal about the stability and permanence of Washington’s Port Community.”

At the special meeting, the Board of Trustees took two steps. The first was to amend the By-laws of the Association to allow for the purchase of the building. The second was approval of a resolution approving the purchase of the building and authorizing the WPPA Executive Director to obtain financing.

This decision follows nine months of “due-diligence” investigations, including thorough building inspections, an appraisal, and an environmental assessment. The Association has occupied a large portion of the building since it was built in 1972. The structure is the closest commercial office space to the Legislative campus, and has always been prime real estate for government relations tenants.

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Bainbridge Island and Winlock Look to Form Their Own Port Districts

By this time next year Washington might have two new ports joining the existing 75.  Bainbridge Island voters will have to decide whether they want a port during the upcoming election season.  Meanwhile, the Port of Winlock is up for public hearing to decide whether it too will be on the ballot.

 

This is not the first time the Port of Winlock has been up for vote.  In 1985, county economic development councilmember Dan Godat first began to pursue the idea of forming a port.  At that time, the law only provided for a countywide port district.  Godat wanted to change that law.  With the help of then Representative Jay Vander Stoep, he did.  In 1986 Godat managed to get enough voter signatures to get the port on the ballot, but the measure failed.  Recently the economic stagnation of his community prompted Godat, who is the Director of the South Lewis County Chamber of Commerce, to pursue the idea of port formation once again.

 

Godat describes looking through his son’s senior year high school yearbook to count the number of Winlock graduates who stayed in their home town; he counted only five.

 

“There are no jobs,” said Winlock.  “We only have one manufacturing plant.  Kids have no hope of staying, so we have to do something.”

 

He believes forming a port is that something.  Currently there is a 65 to 75 percent vacancy rate in Winlock’s downtown district.  Water and sewer rates have also doubled since the construction of a treatment plant in the area.  According to Godat, the only way to change these things is to grow, and forming the Port of Winlock means the community gets to decide how Winlock grows; the decisions are not left up to speculators and developers.

 

“The port is a long-term solution for economic drive and development,” said Godat.

 

While Godat has been pursuing Winlock’s port formation, Bainbridge Island resident Wini Jones has simultaneously been hard at work promoting and advocating for the Port of Bainbridge Island.  Her work culminated in the decision of Kitsap County commissioners to put the port formation on the November ballot.

 

“The subject [of creating a port] has come up at many community  project meetings I have been involved with over the past five years,” said Jones. 

 

Jones explained that projects like executing the Harbor Management Plan created in 1999, but never funded, opening public beach access, and expanding guest moorage at the marina have always been put on the bottom of the priority list by the city. 

 

She also described the process of enforcing a 1995 agreement between Washington State Ferries (WSF) and the City of Bainbridge Island that allowed the city to use a portion of WSF property for a public marina and boat yard.  In the end, WSF offered the City of Bainbridge Island the use of the land by a lease or $2 million to be used to purchase similar land or to be used as the city saw fit.  In a four to three vote on December 15, 2010 the City Council took the money and signed away any claim, past, present or future, to use of the land. 

 

“This entire process raised the community's level of awareness of what a port could do that the city does not want to do, and did not want to do even when there were funds,” said Jones.   “February 2010 was the public meeting we held to start the process of port formation.”

 

The proposed Port of Winlock is up for hearing at 6 p.m. on August 22 at the Winlock Community Building located at 607 N.W. Kerron Avenue. 

 

You can learn more about the proposed Port of Bainbridge Island at www.portofbainbridgeisland.org.

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The Washington Export Initiative is launching a new outreach effort targeted to small and medium sized business to encourage companies to develop new international markets and customer bases. Governor Gregoire launched the Washington Export Initiative in June 2011 and set ambitious goals to increase the number of companies exporting as well as to increase the total export sales out of Washington.  This campaign is designed to build momentum to deliver on the 5-year goals.

 

“We’ve gone straight to the source --- the Washington businesses that are flourishing as exporters ---and we asked them to share their success stories,” commented Rogers Weed, the Director for the Washington State Department of Commerce.   “Exporting is central to our economic recovery and there are many resources available to help businesses start exporting or to expand to new markets.”


The campaign kicks off with four web-based media profiles of best-in-class Washington exporters: Stemilt Growers of Wenatchee; Seattle software innovator Swype, the 2011 Governor’s Trader of the Year Award winner; advanced materials producer Janicki Industries of Sedro Woolley; and Wood Stone Corporation of Bellingham, a Port of Bellingham tenant, which ships its high-end cooking ovens to over 75 different countries. Each 2-minute profile features commentary by key employees involved in export and “rules of the road” advice on the best way to capitalize on export opportunities.

 

“With about 1/3 of our food and agricultural products destined for foreign markets, Washington growers have a vested interest in strengthening our export economy,” said Director Dan Newhouse of the Washington State Department of Agriculture. “While our high-quality foods, from apples to wine, are already world famous, we know more of our growers and processors could benefit from trade. The bottom line is that more exports overseas mean job growth here at home.”

 

The four “Success Stories” videos will be featured on the Export Washington website.  A range of export services and connections can be found on this site.  You can find the videos posted on the Washington State YouTube channel.

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The Office of Financial Management released its analysis of the fiscal impact of the Costco-backed voter initiative that would privatize liquor sales in Washington State.  The agency found that, unlike last year’s initiative, Initiative 1183 could increase state and local government revenues by tens of millions of dollars a year.

 

The initiative calls for revenue to be maintained for state and local governments, as well as for the Municipal Research and Services Center.  In fact, OFM estimated that local government revenues could increase by as much as $38 million a year over the next six years.

 

The increase in revenue can be attributed to the establishment of new fees in the initiative - 17 percent of all liquor sales on retailers and 5 to 10 percent of sales on distributors.  The greater access to liquor would also increase sales by about 5 percent, a number based on research done by OFM which found that Alberta, Canada experienced such growth after it privatized liquor sales.

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A citizen’s first contact with local government often comes by way of meetings or information requests. The Open Public Meetings Act (OPMA) and the Public Records Act (PRA) are the legal framework for citizen access. While most violations of these laws are unintentional, a single misstep can be costly and erode public confidence.

 

Full compliance with the OPMA and PRA starts at the top with the elected or appointed public official.  The workshop on these issues will be presented on September 27 in Kennewick at the Three Rivers Convention Center, and again on October 12 in Tacoma at the La Quinta Inn. 

 

The workshop will focus on:

·       Practical advice for making your meetings and public records programs run smoothly

·       How to develop effective policies to guide you when challenges arise

·       How to identify actions that may raise concerns

·       Hearing from other local public officials from across the state

 

Workshop highlights include:

  • Essential features of an effective public records program
  • Open public meeting pitfalls
  • Insights and tips on how to make and adhere to successful open government policies 
  • Opportunities to ask legal experts about open government requirements

 

Registration and fees:

·       AWC Member Registration – $125 per person

·       Co-Sponsor Registration - $125 per person (Member rate available to all sponsoring associations)

·       Other Registration – $185 per person

 

A fee of $25 will be charged for cancellations made more than one week prior to the meeting for which you are registered. Cancellations made less than seven days prior to the meeting for which you are registered will require full payment.

 

Presenters:

Municipal Research & Services Center (MRSC)

·       Pat Mason, Senior Legal Consultant

·       Paul Sullivan, Legal Consultant

 

Ogden Murphy Wallace, PLLC

·       Angela Belbeck, Attorney

·       Julie Norton, Attorney

 

Association of Washington Cities

·        Victoria Lincoln, Legislative &  Policy Advocate

 

For more information, or to register for this event, please click here.

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Federal bills introduced to protect veba benefits

Bipartisan U.S. Senate and House bills were introduced in July to make a no cost, technical correction to the laws governing health reimbursement arrangements (HRAs) utilized by many WPPA members.  In the Senate, Senators Cantwell (D-WA), Crapo (R-ID), Murray (D-WA), and Merkley (D-OR) have co-sponsored S. 1366.  In the House, Representatives Reichert (R-WA), Blumenauer (D-OR), McMorris Rodgers (R-WA), Inslee (D-WA), and Herrera Beutler (R-WA) have co-sponsored companion legislation (HR 2698).

 

The bills will provide northwest employees of political subdivisions with more flexibility in designating beneficiaries for their HRAs when they pass away. Many political subdivisions (cities, counties, and various fire, water, port, school, and utility districts) in the northwest participate in voluntary employee beneficiary association (VEBA) trusts which provide HRAs. 

 

A 2006 IRS ruling imposes rules which cause participants in these plans to lose earned benefits if they die without a spouse or dependent. This is a problem for VEBA participants who pass away that are single, outlive their spouse, or have adult children and have a remaining balance in the VEBA account.  In 2008, Congress passed the Worker, Retiree, and Employer Recovery Act of 2008 that addressed this problem for certain HRA plans but not all.  A technical fix is needed to include plans established by political subdivisions. 

 

Over 130 supporters in the northwest have endorsed this legislative effort, including WPPA.  There are currently 18 ports in Washington that participate in the VEBA program.  Efforts are now focused on contacting U.S. House members for co-sponsorship of HR 2698.  If individual members are interested in sending letters of support to U.S. House members, please contact Brad Hawkins at Douglas County PUD at 509-881-2225 or bradh@dcpud.org.

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Ecology and the Port of Mattawa Work Together To Develop a Wastewater Plant for Winery Wastewater

 

Wahluke Winery began operations in the Mattawa area in 2005, discharging wastewater to the city of Mattawa wastewater treatment plant. For the next two years, the city of Mattawa’s treatment plant experienced many treatment upsets, especially from the end of September to mid-November. In the wine industry, this period is known as “crush,” when tons of grapes arrive at the winery to have the juice squeezed from them, leaving stems and skins behind.

 

During crush, the Mattawa wineries can produce 10,000 to 20,000 gallons of wastewater per day. Since the area is suitable for winery and fruit processing, the Port of Mattawa saw an opportunity to promote the growth of these industries so it stepped up to help. From 2006 to 2008, the Port of Mattawa worked with Ecology to develop a wastewater plant designed for winery wastewater with its high BOD and low pH.

 

Port of Mattawa settling pond.

 

The Port of Mattawa wastewater treatment plant came online in 2008, and Wahluke Winery started hauling its wastewater there. J & S Crushing, a former potato-processing facility converted to a winery, also sends most of its wastewater to the new Port of Mattawa treatment plant while reserving some wastewater for land application for dust control

 

The Port of Mattawa saw a need where it could help its local industries and sought funding to build a treatment plant that could handle the unique qualities of its wastewater. After many meetings with Ecology, the wineries, and the funding sources and several years of construction, the Port now has a treatment plant that can attract businesses to the area and protect surface and groundwater quality.

 

For the full story written by the Department of Ecology, click here.

 

 

Port of Walla Walla Creates Work Space for Creative Minds

 

While the Port is often associated with assisting the largest employers in the Walla Walla Valley, what is often overlooked are its efforts to help small businesses succeed. The best examples of its small business outreach are its investments at the Walla Walla Regional Airport. The Airport Business Park is home to some 50 small businesses operating out of buildings and shops left over from the World War II Army airbase days. The Port, along with its tenants, has rehabilitated these buildings during the past 20 years into cost effective production spaces.

The Port recently announced a new initiative to rehabilitate a small cluster of storage buildings the Port owns adjacent to the Cliffstar juice processing plant on Dell Avenue. The buildings are remnants from the days Birds Eye and D&K Foods used the buildings for parts storage. Each building contains 1,000 square feet and is being rehabilitated to provide cost effective workshop space for the artist community. The concept came from Craig Keister, a downtown Walla Walla merchant who owns Mandrakes II.

The Port plans on having the buildings rehabilitated by the end of the summer. One building has already been leased to a small business that makes fishing lures.

The Port Commission believes assisting small businesses in the Walla Walla Valley is a sound economic development strategy. Its ongoing investments at the airport business park and now the Dell Avenue small shop buildings are investments that will create new jobs by providing its small businesses with cost effective work space.

 

 

Biodiesel Processing and Shipments Increase at Imperial Grays Harbor

 

Grays Harbor’s role in renewable fuels is growing as Imperium Grays Harbor, the nation’s largest biodiesel production facility, has increased production and begun exporting their product throughout the world.

 

Located near Terminals 1 and 2 at the Port of Grays Harbor, Imperium Grays Harbor employs 37 local workers and 44 statewide.  The renewable fuels company specializes in producing pure, unblended B100 biodiesel refined from a variety of oils, primarily canola oil at this time. 

 

The tanker Siteam Discoverer is guided to berth with an inbound shipment of canola oil for processing at Imperiam Grays Harbor.  Photo courtesy of Kevin Campbell.

 

The Grays Harbor facility has the capacity to produce one hundred million gallons of fuel per year.   The facility is also the nation’s largest DQ9000 certified product producer, a designation of significance in the renewable fuels industry.

 

Shipping activity has picked up this year as a result of regional mandates requiring the use of renewable fuels.  Company officials are optimistic about the continuing market demand and the resulting growth of the Grays Harbor facility. 

 

To learn more about Imperium Grays Harbor, check out their website at www.ImperiumRenewables.com.

 

 

Port of Skagit Purchases Property Adjacent to Airport for Buffer

 

The Port of Skagit has purchased a 95-acre parcel abutting port property on the east side of Skagit Regional Airport and backing up on the Skagit Golf and Country Club.

 

The land, purchased from Idaho resident Henry Van Pelt for $485,100, will help to secure the airport from encroachment of residential development under the landing pattern, said Patsy Martin, executive director of the Port of Skagit. Further benefits from the purchase include the following:

 

·       The Van Pelt property is under two safety zones for the airport’s main runway. The area needs to be kept clear of development that might create potential hazards to flight, such as bird strikes, smoke or electronic interference with air navigation.

·       The property also needs to be protected from development that is particularly sensitive to noise, including residential housing, in compliance with the FAA Integrated Noise Model, a part of the Skagit Regional Airport Master Plan Update, adopted by the Federal Aviation Administration in 2007.

·       The property currently is zoned for industrial use, which fits the port’s mission and purpose. Under port ownership, it would not be subject to potential rezoning to allow residential development or other uses incompatible with the airport’s continued operation.

·       Acquiring the property would give the port the potential use of about 13 acres for wetland restoration. This could be used for mitigation to open more suitable property at the airport for development.

 

Current port plans call for developing Skagit Regional Airport as a hub for corporate and private business aviation. The port does not expect to pursue regularly scheduled airline service at the airport in the foreseeable future. But it is likely that air traffic – including corporate jets – will increase in the coming years.

 

With increased operations at the airport, it is also likely that further build-out of the

airport and adjacent Bayview Business Park properties will occur, producing increased employment opportunities in Skagit County.

 

 

Port of Olympia Continues to Set Record Highs in Operating Revenue

 

Port of Olympia Commissioners heard at their Aug. 8th meeting that the Port is continuing to set financial record highs.

 

“It’s not the first time in history that Port of Olympia’s operating revenues exceeded $4 million in the first half,” said Kevin Ferguson, Finance Director, “but $4.2 million does set a new record.”

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Ferguson presented the Port’s first half financial report to the Commissioners at their regular meeting last night.

 

The Port’s operating surplus after applying overhead exceeded a half million dollars during the first half for the third year in a row. And all business units reported a positive operating surplus after applying operation and maintenance expenses. The Port’s business units are Olympia Regional Airport, International Shipping Terminal, Real Estate and Swantown Marina & Boatworks.

 

Both the Port’s gross and net operating margins are better than budgeted for the first half.

“Due to the world economy, we expect shipping to slow down a bit during the second half,” said Bill McGregor, President. “Still, we expect to see record revenue for the year overall. In spite of uncertain economic times, the Port of Olympia is continuing to keep people on their jobs here in Thurston County and in other communities that receive an impact from our business.”

 

The Commission periodically convenes at different locations in Thurston County to make it easier for citizens to attend. Last night they met in the Lacey City Council Chambers.

 

For more information, see Quarterly Reports / 2011 First Half Financial Results at   http://www.portolympia.com/index.aspx?nid=234.

 

 

Ridgefield rail overpass project receives $3.5 million in federal funding

Ray LaHood, U.S. Transportation Secretary, announced early yesterday that the State of Washington would receive more than $25.9 million in grants for highway-related projects. Brent Grening, Executive Director of the Port of Ridgefield, later stated that the Port of Ridgefield would be receiving $3.5 million of those funds for the Pioneer Street Railroad Overpass.  “We’ve already completed the majority of the planning and design and process bringing the project to 90% design phase. These funds represent construction dollars, about a third of what it will take to complete the overpass,” said Grening.

The overpass will extend Pioneer St., the main road leading into the city of Ridgefield, out over the railroad tracks and landing on the waterfront.  The goal, according to Grening, is to provide safe, unobstructed, and direct access to the redeveloped Ridgefield waterfront, as well as to the Ridgefield National Wildlife Refuge. “At present, safety and access to the waterfront by emergency vehicles, cars, trucks, and pedestrians are considered deficient because of the street-level rail crossings and short sight distances.”

The project provides major benefits to the community and to the region.  It will close up to three at-grade railroad crossings, including the Mill Street crossing which has been ranked the 5th most dangerous crossing in Washington State.  It will improve visitor access to the Ridgefield National Wildlife Refuge.  It will also connect downtown Ridgefield and Overlook Park to the newly cleaned up and revitalized waterfront.  Furthermore, this project will increase railroad mainline capacity through the Portland metro area - where 70-80 trains pass through Ridgefield on a daily basis and enabling the extension of the high speed rail corridor between Eugene, Oregon and Vancouver, BC and provide safe access to the Port of Ridgefield, a major job center for the city of Ridgefield.

Total cost of the project is estimated at approximately $12.5 million including: final design, engineering and administration, right-of-way acquisition, environmental impact mitigation, construction, contingency and mobilization.  Initial construction is expected to begin in fall of 2012.

 

Port of Seattle introduces carbon calculator Web-based feature allows users to calculate carbon footprint for shipping goods from Asia

 

SEATTLE-The Port of Seattle recently posted a carbon calculator to its web site.  The feature is based on an updated study showing that the Port of Seattle offers the lowest carbon footprint for containers moving from Asia to the Midwest. 

 

"Our new carbon calculator feature makes it easier to compare gateways," said Tay Yoshitani, CEO of the Port of Seattle.  "Shippers and retailers will be able to see why we are the Green Gateway for trade from Asia to the Heartland of the United States."

 

The Green Gateway Carbon Calculator allows shippers to compare the CO2e per TEU through various North American gateways, factoring in different vessel sizes and utilizations, and the recent trend of slow steaming.  

 

Allowing easy determination of a container's carbon footprint, it is now available on the port's website at: http://www.portseattle.org/seaport/cargo/GreenGateway.shtml

 

The study from which the port's carbon calculator is based is the 2011 "Carbon Footprint Analysis for the Asia to North America Intermodal Trade," conducted by the maritime firm Herbert Engineering Corp, builds upon their 2009 analysis and reconfirms that the Port of Seattle is the Green Gateway for trade.

 

Herbert Engineering's study, commissioned by the Port of Seattle, calculated the carbon footprint of trade routes from the Asian ports of Singapore, Hong Kong, Shanghai, Ho Chi Minh, Busan, and Tokyo to the U.S. distribution hubs of Chicago, Columbus, Memphis, New York, Norfolk, and Atlanta via the North American gateways of Prince Rupert, Seattle, Oakland, Los Angeles/Long Beach, Houston, Savannah, Norfolk, and New York/New Jersey. 

 

The study analyzed the ship, truck, and rail segments of each trade route, including the all water routes via the soon to be expanded Panama Canal and the Suez Canal.  Vessel analysis was conducted for ship sizes of 4,500, 6,500, 8,500, and 12,500 TEUs traveling at design and slow steaming speeds, with utilization rates of 60 percent to 90 percent.

 

Herbert Engineering Corp. is a ship design, engineering and transportation consulting firm based in Alameda, California.

 

The Port of Seattle's environmental efforts were developed in collaboration with industry and include the At-Berth Clean (ABC) Fuels Program; a clean truck program; shore power for cruise vessels; and programs to reduce emissions from cargo-handling equipment.

 

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Port Auditor/Administrative Assistant, Port of Columbia

GIS Coordinator, Port of Tacoma

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PO Box 1518 * Olympia, WA 98507
360-943-0760 * 360-753-6176 FAX