Port in review:
The following is the minutes of the January 11th, 2005 Port Commission meeting:
submitted by Peter Ripley, The Port Angeles Journal



Commissioner Beil reported that he checked the vouchers on Monday, January 10 and
found them in order. Commissioner Hannan moved the Commission to approve vouchers A017206
through #A017370 and payroll vouchers #PR05757 through #PR05806 for a total of $396,215.70.
Commissioner Calhoun seconded the motion. The motion passed unanimously.

II. MINUTES OF December 8 and December 13, 2004 COMMISSION MEETINGS

Commissioner Beil asked to separate the motions for approval of the minutes.
Commissioner Hannan moved to approve the minutes of the December 8, 2004 Commission meeting
as presented. Commissioner Calhoun seconded the motion. The motion passed unanimously.
Commissioner Hannan moved to approve the minutes of the December 13, 2004 Commission
meeting as presented. Commissioner Calhoun seconded the motion. The motion passed


George Schoenfeldt mentioned past discussions the Port has had on a proposed crane
operation and informed the Commission that he has since received information on several other crane
systems that are available. He indicated he would be reviewing this information with Port staff to see
if it is viable and commented that he thought it would be good for the Port to look at other
alternatives. Mr. Schoenfeldt announced that he is retiring as the Longshoreman’s Union
representative and will be addressing the Commission in the future as a private citizen. He also
indicated that he would bring some stevedoring representatives to the next Commission meeting.


The Master Policy Report is attached for information as directed by the Commission.
Commissioner Beil had a few questions, which were addressed by staff. Commissioner Beil asked
staff for an update on activity at Fairchild International Airport. Jeff Robb, Airport Manager
reported that the enplanements originating from Port Angeles have exceeded 10,000, which is the
determining factor for grant funding. Although 10,000 is the goal there is more work to be done to
continue to grow the market.


A. Marine Facilities Master Plan Update

Curtis Shuck, Manager of Facilities and Terminals provided an update on the Request for
Qualifications (RFQ). Staff has put together a scope of work for the RFQ package, which the
Commission approved at the last meeting. He reported that advertisements went into the Peninsula
Daily News and the Daily Journal of Commerce and to date there have been 18 RFQ packages
mailed out. Mr. Shuck mentioned that the RFQ submittals are due back no later than 5PM February
1, 2005. Commissioner Beil mentioned that originally the Port was looking at the cost to be around
$30,000 but now that amount has been increased by another $45,000. He asked when the total
cost for the project would be known. Mr. Shuck explained that once the consultant is selected Port
staff will negotiate a final contract. Commissioner Beil expressed concerns that a budget amount was
not published in the RFQ. More discussion followed. Bob McChesney, Executive Director
indicated it is staff’s intent to do as much of the leg work as possible and still obtain an objective
report on schedule. Commissioner Beil asked about the selection committee for the consultant and
suggested that George Schoenfeldt be a part of that. Dave Hagiwara, Deputy Executive Director
pointed out that Port staff will be on the selection committee as well as Commissioner Calhoun.
Commissioner Calhoun cautioned the Commission in expanding the selection process in order to
include all the various stakeholders. Discussion followed. Mr. Hagiwara confirmed that once the
Port selects a consultant several workshops will be held by the consultant as part of the scope of
work. He indicated that staff anticipates bringing a recommendation for a consultant to the
Commission at the second meeting in February or the first meeting in March.



A. Resolution 05-917 – Boat Sale

Bill James, Director of Finance and Administration introduced a resolution in accordance
with RCW statutes in selling vessels that have failed to pay outstanding marina charges. The owner
of the vessel listed in Resolution 05-917 has failed to respond to several notices regarding their
delinquencies, therefore an auction will be held to sell the vessel. If the sale proceeds fail to
reimburse the Port completely, then the accounts will be turned over to a collection agency. The
charges accrued by the vessels have already been recognized as revenues in Port accounts and
conducting an auction enables the Port to begin the process of collecting on these receivables. Staff
recommendation is for the Commission to adopt resolution 05-917 and authorize the auction to
proceed. Discussion followed. Commissioner Calhoun moved to consider resolution 05-917 as
presented. Commissioner Hannan seconded the motion. The motion passed unanimously.
Commissioner Calhoun moved to adopt resolution 05-917 and authorize the auction to proceed.
Commissioner Hannan seconded the motion. The motion passed unanimously.


A. Airport Sanitary Sewer (Milwaukee Drive)

Bob McChesney, Executive Director reported that staff has been working with City of Port
Angeles Public Works to try and figure out ways to collaborate on infrastructure improvements at the
Airport to bring more properties on line. The City recently approached the Port regarding a sanitary
sewer improvement project they have funding for and asked if the Port would be interested in
extending that project down Milwaukee Drive to 18th street at a cost to the Port of around
$100,000. Mr. McChesney indicated that Port staff has reviewed the proposal but could not come
up with any justification for that project because there were more pressing needs at the airport, such
as storm water drainage improvements. He said staff has communicated to the City that the Port
would take this under advisement because the deadline was the middle of January, 2005, and he
wanted to brief the Commission on this issue. Discussion followed. Jeff Robb, Airport Manager
was asked to provide an overview of the City’s proposal for the extension of the sanitary sewer
improvement project. Mr. McChesney indicated that staff recommendation is not to consider the
City’s offer at this time. Commissioner Beil talked about a report by Reid Middleton on the
proposed sewer enhancement project for the south side of the new entrance road at the Airport and
commented that the Commission has not spent any time on this report. He suggested in the future
staff could bring ideas to the Commission on how to address that report. Discussion followed on the
proposed sewer enhancement project.


B. Port Commissioner Representation to Organizations for 2005

The Board is represented on various organizations and committees related to Port activities.
The 2005 appointments are as follows:


l Clallam County EDC and PDA
W.M. (Bill) Hannan (Principal)

John M. Calhoun (Alternate)

l CCEDC Clusters

Marine Cluster

Education/Training Cluster

Forest Cluster

Agriculture Cluster

Finance Cluster

Leonard W. Beil

Leonard W. Beil

John M. Calhoun

John M. Calhoun

John M. Calhoun

l Forks Economic Development Steering Committee

l West End Business & Professional Association
John M. Calhoun

John M. Calhoun

W.M. (Bill) Hannan (Associate member)


Legislative Committee

Economic Development Committee

Environ Policy Committee
W.M. (Bill) Hannan (Trustee)

W.M. (Bill) Hannan

W.M. (Bill) Hannan (Principal)

Leonard W. Beil (Alternate)

John M. Calhoun

John M. Calhoun

l Puget Sound Ports Group
Leonard W. Beil

l Chambers of Commerce

Port Angeles



Leonard W. Beil

W.M. (Bill) Hannan

John M. Calhoun

l Port Angeles Forward
Leonard W. Beil

l Port Angeles Downtown Association
Leonard W. Beil

l Port Angeles Business Association
Leonard W. Beil

l North Olympic Peninsula Resource Conservation & Development Council
W.M. (Bill) Hannan

The Commissioners individually concurred with the list of representation for 2005.
Commissioner Beil asked for a list of staff representation on committees and organizations. Mr.
McChesney confirmed that staff will provide that information to the Commissioners.

C. John Wayne Marina Fuel System Upgrades

Curtis Shuck, Manager of Facilities and Terminals provided an overview of the
improvements to the John Wayne Marina Fuel System. He reported that engineering for the work
was completed in November 2004 and the engineer’s estimate for the project was between $29,000
and $31,000. A Small Works Roster project was advertised on November 30, 2004 and bids were
opened on December 14, 2004. Only one firm responded; Pacific Environmental Services of Port
Townsend, Washington put forth a bid of $30,869. Mr. Shuck stated that Pacific Environmental
Services has performed work for the Port in the past at John Wayne Marina satisfactorily and
maintains a very good reputation in the industry. He reported that $31,000 was budgeted in 2004
for this project, and the anticipated completion date is February 2005. Staff recommendation is to
award the Small Works Roster project to Pacific Environmental Services Company and authorize the
Executive Director to enter into a contract to complete the work. Discussion followed.
Commissioner Hannan moved to approve and award the John Wayne Marina Fuel System Upgrade
Small Works Roster project to Pacific Environmental Services Company and authorize the Executive
Director to enter into a small works contract for the completion of the work. Commissioner Calhoun
seconded the motion. The motion passed.

D. Port Angeles Salmon Club Fee Waiver Request

Bob McChesney, Executive Director presented a letter from the Port Angeles Salmon Club
requesting a waiver of launch fees for participants in the 5th Annual Halibut Derby they will be
hosting at the Port Angeles Boat Haven Marina on May 28 and 29, 2005. The fee waiver request is
for both days of the derby. Mr. McChesney stated that staff recommendation is to grant this request
as in the past. Commissioner Calhoun moved the Commission waive launch ramp fees for
participants in the 5th Annual Halibut Derby for May 28 and 29, 2005. Commissioner Hannan
seconded the motion. The motion passed unanimously.


A. Surplus Chip Equipment Removal Update

Curtis Shuck, Terminals and Facilities Manager provided some background information on
the Daishowa log chip mill facility and how the mill operated. He also reviewed the process the Port
went through to surplus and sell the chip mill equipment. Maple Valley Tone Woods purchased the
chip mill equipment for $33,000 and Mr. Shuck reported that a check for that full amount has been
received by the Port. Staff has been working with Mr. Tim Wilson of Maple Valley Tone Woods on
removing the old equipment from the property. Mr. Wilson has requested delaying the equipment
removal project until after the holidays to the first of the year 2005 and the Port has concurred. A
notice to proceed was issued to Mr. Wilson on January 6, 2005 and he has begun to move forward
in removing the chip mill facility equipment. Discussion followed.

Commissioner Beil recessed the meeting at 1:55 p.m. and reconvened the meeting at 2:00

IX. NEW BUSINESS (continued)

A. Michael Quinn – Port Web Page – 2:00 P.M.

Bill James, Director of Finance and Administration expressed appreciation to Port staff who
contributed to working on getting the Web Page completed. He gave special recognition to Susan
Bauer, Environmental Planning Manager for her participation and efforts in keeping everyone on
track. He announced that the website went live on Monday, January 10th and introduced Michael
Quinn of Affinity Web Solutions to present the Port’s new website.

Mr. Quinn stated it was a long process that took about six months and that this is the largest
site his company has done so far. He expressed appreciation to Port staff for their commitment and
the Commissioners for their support. Mr. Quinn provided an overview of the site for t he
Commission, pointing out some of the major assets and features of the site. It was pointed out by
Mr. James that Port staff Susan Bauer, Jerry Ludke, and Wallene Eichhorn will be sharing the
responsibilities of updating the website as necessary. Discussion followed. Commissioner Beil asked
staff if the software and equipment the Port has is sufficient in supporting the website. Ms. Bauer
stated the hardware the Port currently has is wonderful and indicated that Mr. Quinn has installed all
the necessary software needed for staff to maintain the website. She added that the software is very
easy to use and talked about the benefits of having three people to share the responsibility of
updating the website. Commissioner Calhoun mentioned the Port’s efforts in having a more
comprehensive public outreach program and noted that the new website was a part of that. He
talked about news releases or news letters that can be posted periodically on the web site. More
discussion followed with the Commission, staff and Mr. Quinn on the Port’s new website.
Commissioner Beil inquired if this completes the contract and asked what the total cost was for the
finished product. Mr. Quinn stated that the final contract amount was $26,000 and that includes a
6-month maintenance contract which allows for additional updates, training, and to make sure
everything is taken care of for the next 6 months.



A. Commissioner Beil requested staff to update the Commissioners on the alternatives
for the Hood Canal Bridge reconstruction project. Bob McChesney, Executive Director, reported
that as part of the DOT’s search for alternative sites they have put together a punch list of items and
circulated that to various ports and facilities. The Port thought it would be incumbent on the Port to
get on board and offer an alternative to the existing site. Mr. McChesney announced that the Port
has offered the Nippon property recently purchased by the Port as an alternative site for at least a
portion of the Hood Canal Bridge reconstruction, which would be construction of the anchors. He
noted that the Port realizes the pontoons would have to be built elsewhere but in order to preserve as
much of the work here in Port Angeles as possible the Port has tendered this offer to DOT. William
Simonsen, Reporter for the Sequim Gazette, asked for clarification on which property the Port was
offering as an alternative site for the Hood Canal Bridge reconstruction. Mr. McChesney explained
that the parcel the Port has offered is paved and there will be no excavation whatsoever. It is an
18-acre site adjacent to the existing Graving Dock site and the Port is offering this to build the
anchors, which will not require any excavation. He reiterated that the intent was to keep as much of
the Hood Canal Bridge reconstruction work in Port Angeles as possible. Commissioner Beil added
that the Port understands the state is taking proposals through today and is anticipated to come up
with some final determinations by the first of February.

B. Commissioner Beil mentioned the Port’s surplused computers and inquired on the
status of the Port donating those to the Skill Center or to other schools in the community. Curtis
Shuck, Terminals and Facilities Manager stated that he is currently working with the Port Angeles
School District, Peninsula College and other agencies of AWT (Agencies Working Together) on
disposing of old and surplused computers. He noted that the computers are still available for the
highest fair market bid, however all the participating agencies have a surplus of old computer
equipment and are trying to develop a disposal scenario. The Port Angeles School District has taken
the lead in this effort.

C. Commissioner Beil asked about a voucher for $300 for dues for the Washington
Citizens for World Trade and pointed out that this was not included in the 2005 budget. Mr.
McChesney confirmed that it is in the 2005 Budget.

D. Commissioner Hannan inquired about the approach antenna being down at Fairchild
International Airport over the weekend. Jeff Robb, Airport Manager concurred that the approach
system on Striped Peak went down due to snow and ice on Friday and disrupted all flights for that
day. There were a few cargo flights that went out, but no carrier flights, even though the Airport was
open for service and in operation. Mr. Robb noted that FAA personnel was in Olympia and did not
arrive until 5:00 p.m. Friday evening due to weather and traffic; they chose not to go up the hill in the
dark and arrived at the Airport early Saturday morning. Mr. Robb accompanied them to Striped
Peak and they were able to bring the system back up. He asked FAA to look at that site to see if
additional equipment could be installed to allow the system to be reset remotely. He mentioned that
he is going to write a letter to the FAA requesting they put procedures in place to make more staff
available, and indicated that currently there is only one person out of Olympia. Discussion followed.
Commissioner Beil expressed concern on the impact to the carriers (San Juan and Kenmore). Mr.
Robb concurred and added that it also impacted the primary element of life safety for the
community. The Commissioners individually agreed that a letter of extreme concern from Port staff
was appropriate at this time.

E. Commissioner Hannan mentioned a severe weather alert was out for very high tides
tonight and asked staff if they expect to have implications from that. Curtis Shuck, Manager of
Facilities and Terminals commented that the Port has done everything possible in preparation for that
at the log handling facilities and at the boat havens.

F. Curtis Shuck, Manager of Facilities and Terminals announced that the Port recently
purchased its first Automatic External Defibrillator (AED) and will be kept at the Port Administration
Building for use at public meetings and Port facilities when needed. Port staff will receive training
from the Port Angeles Fire Department on Monday, January 17th.


XIV. NEXT MEETING – January 24, 2005


Commissioner Beil closed the regular meeting at 3:00 p.m. and moved the Board of
Commissioners into Executive Session to consider two items of property. These items are discussed
in executive session in accordance with title 42.30.110 of the Revised Code of Washington. It is
estimated that the executive session will conclude at 3:30 p.m.


Commissioner Beil closed the meeting at 3:30 p.m.