Port of Bellingham Commission

Action Taken at August 21, 2012 Meeting

Shall the commission:

130. Authorize the sale of two vessels for the nonpayment of moorage fees? An auction was held on August 30 for a 35-foot 1968 wood Chris Craft with a moorage fee of $5,162. The auction did not have any bidders. The boat was declared surplus and sold for $6,500. An auction was held on September 13 for a 29-foot fiberglass sailboat with a moorage fee of $3,467. The only bid of $300 was accepted. (Consent Agenda B) Approved 3-0

131. Authorize the executive director to apply for a $340,000 state grant to support the Squalicum Creek estuary restoration project? The major components of the project are: removal of fish passage barriers, modification of two bridges, removal of the concrete bottom between the two bridges and replacement of a sewer trunk line. The state, city of Bellingham and Whatcom County have made commitments of $2,485,000 to fund the project. The estimated cost of the project is $3,500,000. Consent Agenda D (Resolution 1312) Approved 3-0

132. Extend a lease agreement with the state of Washington for warehouse space at 800 Cornwall Avenue? The original five-year leased was signed in September 2007, this vote extends it for another five years. The monthly rent is $1,050. (Consent Agenda E) Approved 3-0

133. Authorize the interim executive director to sign a $63,720 contract (amendment #14) with Reid Middleton of Everett for the Gate 3 docks F & G piling replacement? The next step in the recovery from the March boathouse fire is to assess the environmental impact of the fire on the marina floor. The port is required to provide anchor piling for boathouse owners. Reid Middleton will collect and test marine sediment to determine the fire’s impact and verify that the piling is efficiently designed for the new G East boathouse. This amendment brings the total amended amount to $1,145,681. (Action Item 1) Approved 3-0

134. Authorize the interim executive director to award the low bid of $882,455 to Bellingham Marine Industries of Ferndale for three marine repair projects? 1. Squalicum Harbor boat launch and rise station: existing floats and piling will be replaced, the concrete ramp repaired and extended, lighting improved the trailer rinse area upgraded. 2. Squalicum inner harbor float repairs: there will be structural repairs at Gates 6, 8 and 9. 3. Bellingham Cruise Terminal timber replacement: wing walls at Berth #1 will be replaced with a floating crane. A contingency fee of $88,246 brings the total contract to $970,701. (Action Item 2) Approved 3-0

135. Authorize the executive director to sign a $21,180 contract (amendment #3) with KPFF Consulting Engineers of Seattle to perform construction support services for the Squalicum Harbor boat launch improvement project? The project includes new concrete floats and guide piles, boat ramp repair, a new boat boat washdown area, associated water treatment and lighting systems. The contingency fee of $4,000 brings this amendment to $25,180 and the total amended contact to $93,165. (Action Item 3) Approved 3-0

136. Authorize the executive director to award the low bid of $3,599,772 to Pacific Pile & Marine of Seattle for the shipping terminal bulkhead and pier repair project? A 2010 survey recommended repair/replacement of the bulkhead between warehouse #1 and the north dock. The pier repair program is the second year of a multi-year repair project. This phase will focus on cross-bracing along the south pier. (Action Item 4) Approved 3-0

137. Authorize the executive director to sign a $104,000 contract (amendment #4) with KPFF Consulting Engineers of Seattle to perform construction support services for the shipping terminal and main pier repair/replacement project? The work will involve site visits, drawing interpretations, assist with field changes and assemble pertinent records for archiving. A contingency fee of $10,000 brings this amendment to $114,000 and the total contract to $376,782. (Action Item 5) Approved 3-0

138. Authorize the executive director to sign a $287,300 contract (amendment #28) with Anchor QEA of Seattle for the phase 1 of the Whatcom Waterway cleanup project? Leaching oil from the former Chevron site requires the removal of the bulkhead and shoreline work. The project is eligible for 50 percent of the funding by the Model Toxics Control Act. This amendment brings the total contract to $7,427,662. (Action Item 6) Approved 3-0

139. Authorize the executive director to award the second lowest bid of $1,785,224 to Strider Construction Company of Bellingham for the caustic plume/cell building remedial action? The lowest bidder was Anderson Environmental Contracting; their supplemental bidder responsibility criteria documents were reviewed by three evaluators and failed to receive a passing score. The contract includes: removal, stabilization and transportation to appropriate landfills of mercury-contaminated soil from the former G-P property; demolition of the cell building and the backfill and paving of excavation sites. A contingency fee of $178,522 brings the total contract to $1,963,746 (Action Item 7) Approved 3-0

140. Authorize the executive director to sign a $433,724 contract (amendment #12) with Aspect Consulting of Seattle for construction oversight of the caustic plume/cell building interim action? This amendment covers oversight of the cell building demolition at The Waterfront District. This amendment brings the total contract to $2,303,345. (Action Item 8)Approved 3-0

141. Authorize the interim executive director to sign an agreed order (amendment #1) with the state of Washington for the Central Waterfront cleanup? In February 2012, a petroleum hydrocarbon sheen was observed near the former Chevron bulk fuel terminal. This agreed order addresses the preparation and submission of remedial investigation and feasibility study for the cleanup of contaminants. (Action Item 9) Approved 3-0

142. Authorize the interim executive director to sign an agreement with Georgia-Pacific West and Georgia-Pacific LLC to transfer outfall pipe leases to the Port of Bellingham? Pipes from the former G-P facility crossed under the Whatcom Waterway to the treatment facility. The lease is with the state of Washington for aquatic lands under the pipeline. (Action Item 10) Approved 3-0

143. Authorize the interim executive director to sign a letter to the mayor of Bellingham supporting the addition of a marina boathouse chapter to the Bellingham Fire Code? The boathouse fire at Squalicum Harbor on 3/30/2012 that killed two people and destroyed 12 boats made it clear that changes in the existing fire code were necessary. The new code outlines safety regulations, requires permits and annual inspections of all harbor boathouses and establishes maintenance requirements for handling and storage of combustible materials. In addition, fire alarm and protection systems will be required in all the larger boathouse condominiums. (Action Item 11) Approved 3-0

Action Taken at September 4, 2012 Meeting

Shall the commission:

144. Authorize the executive director to sign a lease modification with Allegiant Air for non-stop service to Honolulu and Maui, Hawaii? The new service is scheduled to begin on 11/14/2012. The port will reimburse the airline $3.00 per enplaned revenue passenger to compensate the airline for marketing expenses beginning on 11/14/2012 and ending on 11/13/2013. Based on four flights per week, the port’s operating revenues are expected to increase by approximately $80,000. (Consent Agenda C) Approved 3-0

145. Authorize the executive director to sign a lease modification with Alaska Airlines for non-stop service to Maui, Hawaii? The new service is scheduled to begin on 11/8/2012. The port will reimburse the airline $3.00 per enplaned revenue passenger to compensate the airline for marketing expenses beginning on 11/8/2012 and ending on 11/7/2013. Based on four flights per week, the port’s operating revenues are expected to increase by approximately $60,000. (Consent Agenda D) Approved 3-0

146, Authorize the executive director to sign a $25,000 contract with Forecast, Inc of Cheyenne, Wyoming, for the retention and development of air service at the Bellingham airport? The consultant will develop programs and strategies to retain current levels and expand service provided by existing airline and attract new airlines to the Bellingham airport. (Consent Agenda E) Approved 3-0

147. Authorize the executive director to sign a $401,400 contract (amendment #29) with Anchor QEA of Seattle for the phase 1 of the Whatcom Waterway cleanup project? This amendment will address remediation actions requested by the city of Bellingham for the Colony Wharf property. There will be additional dredging, enhancing the bulkhead design, rebuilding and retrofitting the barge ramp and reconstructing the crane pad. The project is eligible for 50 percent of the funding by the Model Toxics Control Act. This amendment brings the total contract to $7,427,662. (Action Item 2) Approved 3-0

148. Authorize the executive director to sign an agreement with the Whatcom Maritime Association regarding artwork for the Squalicum Boathouse? The association is dedicated to cataloging, recording, preserving and restoring Whatcom County’s maritime heritage. The port will display maritime artwork, include a ship wheel, photography and maritime artifacts. It will cost the port approximately $9,000 to convert a storage closet to a display area. (Action Item 3) Approved 3-0

Action Taken at September 18, 2012 Meeting

Shall the commission:

149. Change basic rules and regulations governing reimbursement and payment of petty cash expenses? Basic rules were approved at the 8/17/2010 meeting, vote #117. Petty cash amounts totaling $950 are kept at the following offices: accounting, Squalicum, Blaine, airport and Cruise Terminal. Change funds totaling $3,150 are kept at the following machines: Gate 12, Harbor Center, Gate 3, BCT locker, Bellingham airport baggage claim, Blaine boating center, three Blaine employee tills and five Squalicum employee tills. Consent Agenda A (Resolution 1313) Approved 3-0

150. Modify a lease with Puglia Engineering? The company is looking to downsize. It would like to terminate the lease for the Arrow Building and add two trailers to house administrative staff. PEI will pay rent on the Arrow Building until a new tenant is found. (Consent Agenda D) Approved 3-0

151. Authorize the interim executive director to sign a 278,100 contract (amendment #1) with Landau Associated of Edmonds for the next phase of environmental remediation at the Blaine Marina site? The original contract for the Blaine Marine tank farm site was approved at the 10/4/2011 meeting, vote #150. The site has been listed by the state as falling under the Model Toxics Control Act. The site cleanup will be a multi-phase process. Previous environmental investigations have identified petroleum hydrocarbons in the soil and groundwater. This amendment is for the remedial investigation/feasibility study to determine the nature and extent of petroleum hydrocarbon contamination. A contingency fee of $27,801 brings this amendment to $305,910 and the total contract to $516,340. (Action Item 1) Approved 3-0

152. Authorize the interim executive director to award the low bid of $2,691,151 to Glidepath, LLC of Grand Prairie, Texas, for a baggage handling system at the Bellingham airport? The checked baggage inspection system is for inbound and outbound baggage. It includes an explosive detection system, support equipment and two inbound baggage carousels. The contract includes installation, maintenance agreement, staff training and a one-year warranty. A contingency fee of $135,000 brings the total contract to $2,826,151. (Action Item 2) Approved 3-0

153. Authorize the executive director to sign a $109,488 contract (amendment #7) with URS Corporation of San Francisco to perform construction support services for the airport baggage handling system? URS has been involved in the design of the building and performed construction administration for the terminal expansion project. Construction management for 2013 will be approved at a later date. The original contract was approved at the 3/3/2009 meeting, vote number 47, and last amended at the 2/21/2012 meeting, vote #28. This amendment brings the total contract to $4,914,402. (Action Item 4) Approved 3-0

Action Taken at October 2, 2012 Meeting

Shall the commission:

154. Authorize the interim executive director to renew the port’s liability and auto insurance coverage? The premium will be $141,783 (10/1/2012 to 9/30/2013) and the broker is Alliant Insurance Services of Newport Beach, Calif. The premium is 5.9 percent or $7,857 above 2011-2012 coverage. The port’s property insurance coverage was approved at the 7/3/2012 meeting, vote #116. (Consent Agenda C) Approved 2-0, Michael McAuley absent.

155. Authorize the interim executive director to sign a $49,350 contract (amendment #15) with Reid Middleton of Everett for the Gate 3 docks F & G project? The next step in the recovery from the March boathouse fire is the design of a fire protection system to comply with the flow and pressure requirements of the new city ordinance. Construction is anticipated in 2013. This amendment brings the total amended contract to $1,195,031. (Action Item 1) Approved 2-0, Michael McAuley absent.

156. Authorize the interim executive director to sign a $130,200 contract (amendment #1) with Anchor QEA of Seattle for interim action on the remedial investigation/feasibility study of the Central Waterfront site? The original contract was approved at the 5/14/2012 meeting, vote #90. The site is approximately 55 acres of industrial property, used for bulk fueling, boat yard operations, rock crushing and municipal waste disposal. This amendment is for the southwestern shoreline near the former Chevron bulk fueling terminal. This site falls under the Model Toxics Control Act making 50 percent of cleanup costs eligible for state grants. This amendment brings the total contract to $324,130. (Action Item 2) Approved 2-0, Michael McAuley absent.

Action Taken at October 16, 2012 Meeting

Shall the commission

157. Authorize the payment of $48,767 to the state of Washington for two aquatic land leases? One lease is for the wastewater pipeline from the former G-P property under Whatcom Waterway to the treatment lagoon and the outfall pipeline which extends from the lagoon into Bellingham Bay. The other lease is for state-owned property at the southeast corner of the treatment lagoon. The lease runs from 12/1/2012 to 11/30/2013. (Consent Agenda A) Approved 3-0

158. Declare as surplus the Cornwall Beach property, the Army Street property and the tidelands lots of Cornwall Beach? (Public hearing held.) In 2005, the Port of Bellingham acquired all of previously named property from Georgia-Pacific Corporation. The Comprehensive Scheme of Harbor Improvements must be amended to declared the properties surplus so they can be transferred to the city of Bellingham. See the next vote for details on the trade. Action Item 1 (Resolution 1314) Approved 3-0

159. Authorize the interim executive director to sign an agreement with the city of Bellingham for the exchange of waterfront property? The city of Bellingham will receive the port’s 51 percent ownership of the Cornwall Beach parcel, an option to receive the three Cornwall Beach tideland parcels and the Army Street parcels, the port’s agreement to pay for any costs related to replacement of marine infrastructure at Colony Wharf that would have been the city’s responsibility to pay under the Model Toxic Controls Act cleanup of that portion of the Central Waterfront and Whatcom Waterway sites, a license to establish a temporary trail to and around the former G-P treatment lagoon, and a parking area for users of the trail. The port will receive: all but two of the Colony Wharf parcels owned by the city, an option to purchase the two remaining Colony Wharf parcels and an option to purchase up to 40 percent of the Cornwall Beach development parcel. Action Item 2 (Resolution 1315) Approved 3-0

160. Increase by $52,614 the contract (change order #4) with Dawson Construction of Bellingham for phase 2 of the airport expansion project? The original contract for $16,961,834 was approved at the 2/21/2012 meeting, vote #26. Two port tenants, Allegiant Air and Scotty Brown’s restaurant have requested changes to the expansion project and will reimburse the port to accommodate their current and future requirements. Allegiant Air is preparing to build a 9,000 square foot commissary building where their modular unit was located before it was moved for the terminal expansion. Plumbing is being installed next to Scotty Brown’s restaurant for future expansion. The increase brings the total authorized contract to $17,014,448. (Action Item 3) Approved 3-0