Port of Bellingham Commission

Action Taken at September 2, 2014 Meeting

Shall the commission:

116. Appoint Rafeeka Kloke to a three year term on the Bellingham International Airport Advisory Committee? At the 3/18/2014 meeting, vote #40, the committee was reorganized into a non-technical committee with community members. The committee deals matters like planning and development, traffic, noise, economic impacts and tourism. At the 7/1/2014 meeting, Vote #93, the commision appointed eight applicants to fill nine vacancies. Rafeeka Kloke’s appointment to the higher education position fills the final vacancy. (4687/Consent Agenda D) Approved 2-0, Jim Jorgensen absent.

117. Authorize the executive director to sign a $22,900 contract (amendment #3) with Associated Project Consultants of Bellingham to provide structural engineering for the installation of a fire sprinkler system at Squalicum Harbor? A boathouse fire on 3/30/2012 killed two people, and twelve boats were destroyed. At the 9/24/2012 meeting, vote # 187, the Bellingham City Council approved a marina boathouse chapter to the Bellingham Fire Code. 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. This amendment brings the total contract to $121,516. (4690/Consent Agenda G) Approved 2-0, Jim Jorgensen absent.

118. Authorize the executive director to sign a $598,700 contract with Landau Associates of Edmonds to perform engineering, design and construction support for the Cornwall Avenue landfill cleanup project? The port sold 49 percent of the landfill (11/15/2005 meeting, vote #111) to the city of Bellingham for $2,450,000. The property is located at the foot of Cornwall Avenue and requires remedial action under the Model Toxics Control Act. A contingency fee of $59,870 brings the total contract to $658,570 (4680/Consent Agenda H) Approved 2-0, Jim Jorgensen absent.

119. Authorize the executive director to adjust the event and facility rental fees? The meeting and events program is budgeted to lose $71,305 in 2014 and is projected to lose $87,436 in 2018, the furthest point of projection. (4682/Action Item 2) Approved 2-0, Jim Jorgensen absent.

120. Increase by $61,924 the contract (amendment #1) with Western Refinery Services of Ferndale for re-striping at the Bellingham airport? The use of larger aircraft (Airbus 319/320 and Boeing 737-900) requires a complete redesign of the plane parking area. The FAA requires a new paint striping plan. Of the total cost, 60 percent goes for paint removal. A contingency fee of $6,076 brings the amendment to $68,000 and the total amended contract to $137,920. (4683/Action Item 3) Approved 2-0, Jim Jorgensen absent.

121. Authorize the executive director to sign agreements with Bellwether Gate LLC? The agreements are necessary for Bellwether Gate LLC to refinance Building A. (New Business 1) Approved 2-0, Jim Jorgensen absent.

Action Taken at September 16, 2014 Meeting

Shall the commission:

122. Approve a lease modification with Frontier Airlines? A lease with the airline was first approved at the 4/17/2012 meeting, vote #72. A change in ownership requires commission consent. The parent company, Republic Airways Holding, has sold a majority of its stock to Indigo Partners LLC. (4691/Consent Agenda B) Approved 3-0

Action Taken at October 7, 2014 Meeting

Shall the commission:

123. Authorize the executive director to sign a $1,320 contract (amendment #5) with Wilson Engineering of Bellingham for passenger ramp hanger bar repairs at the Bellingham Cruise Terminal? On 11/2/2012, the passenger ramp at the cruise terminal fell an estimated 12 feet. At the 1/21/2014 meeting, vote #22, Wilson Engineering was authorized to perform final design and construction support services. A contingency fee of $5,000 brings the total contract to $35,859. (3809/Consent Agenda C) Approved 3-0

124. Renew and modify a lease with Mountain View Reload? Desticon Transportation had been a port tenant from 1989. to 2010. Mountain View Reload of Sardis, B.C. purchased Desticon in 2010 and moved its Abbotsford facility to Sumas. The Sumas facility is used for storing and loading truck and railcars operating between Canada and the United States. The five-year lease begins on 9/1/2014 and ends on 8/31/2019. (3810/Consent Agenda D) Approved 3-0

125. Authorize the sale of one vessel for the nonpayment of moorage fees? An auction was scheduled for October 28, a 26-foot fiberglass sailboat had unpaid moorage fees of $1,601. The auction was cancelled when the fee was paid. (3812/Consent Agenda F) Approved 3-0

126. Authorize the interim executive director to renew the port’s liability and auto insurance coverage? The premium will be $158,422 (10/1/2014 to 9/30/2015) and the broker is Alliant Insurance Services of Newport Beach, Calif. The premium is 5.5 percent or $8,281 above 2013-2014 coverage. Terrorism coverage was added to this policy for an additional premium of $2,779. The port’s property insurance coverage was approved at the 7/1/2014 meeting, vote #91. (3804/Action Item 1) Approved 3-0

127. Authorize the executive director to sign a $10,000 contract (Amendment #1) with Carletti Architects of Mount Vernon for preliminary assessment of the Warehouse 9 site at the Harris Avenue shipyard? A new site is being considered for a building to be constructed for All American Marine.This amendment brings the total contract to $35,000. (3805/Action Item 2) Approved 3-0

128. Modify a lease with Bellingham HI, LLC for the Holiday Inn at the Bellingham airport? At the 6/4/2013 meeting, vote #94, the commission approved a lease for a Holiday Inn with 150 rooms, underground parking, workout room, meeting space and restaurant to be constructed on approximately 3.8 acres at the intersection of West Bakerview and Airport Drive at an estimated cost of $19-20 million. At the 12/17/2013 meeting, vote #194, a lease modification added approximately 39,640 square feet (4.89 acres) for additional parking and to expand the meeting/banquet/restaurant facilities. This modification will move the commencement date of construction from 8/30/2014 to 5/15/2015 and the completion to no later than 8/15/2016. (3806/Action Item 3) Approved 3-0

Action Taken at October 21, 2014 Meeting

Shall the commission:

129. Approve an agreement with Verizon Wireless to enhance wireless communications at the Bellingham airport? The steel construction at the airport has created inadequate wireless communication for the public. Verizon will install, at their expense, equipment to enhance wireless communications. Verizon will pay a license fee of $150 per month for the five years of the agreement. (4707/Consent Agenda B) Approved 3-0

130. Renew and modify a lease with Command Aviation for airplane refueling and other aviation services at the Bellingham airport? At the 11/3/2003 meeting, vote #94, the commission approved an initial lease with Bellingham Aero. In March 2011, the lease was changed from Bellingham Aero to Command Aviation. The five-year lease runs retroactively from 12/1/2013 through 11/30/2018 with rental rate adjusted upward by 7.3 percent over the five years of the lease. (4708/ Consent Agenda C) Approved 3-0

131. Extend the remedial analysis as part of the remedial investigation funding of the Yorkston Oil site? The port has owned the Yorkston property since 1931 and leased the site to: Petroleum Navigation Company (1931 to 1945), Whatcom Petroleum Company (1931 to 1936), Signal Oil Company/Standard Oil of Exxon Company USA (1975 to 1977) and Yorkston Oil Company (1977 to present), California (1937 to 1967), Humble Oil and Refining Company (1975 to 1977). Environmental investigations confirmed hydrocarbons in soil and groundwater at concentrations that required action under the state Model Toxics Control Act. Starting in the 1930s, several properties located near the intersection of Roeder Avenue and Squalicum Parkway were operated as bulk fuel fueling facilities by Atlantic Richfield, EXXON and Yorkston Oil Company. An environmental site assessment completed in 2002 determined that the bulk fueling activities resulted in petroleum and hydrocarbons in the soil and groundwater. This remedial analysis will provide a range of cleanup options and associated costs. (4710/ Consent Agenda E) Approved 3-0

132. Continue working with the city of Bellingham and Whatcom County on shared legislative objectives? The 2015 legislative objectives: Model Toxics Contract Act funding; infrastructure funding; community and economic development initiatives; aquatic invasive species control; restoration of revenue sharing measures; criminal justice and social services funding and rail safety. The consulting firm McBride Public Affairs of Olympia to represent the interests of the city/county/port on state legislative issues. The port will contribute $30,000 or one-third of the $90,000 contract. (4712/Action Item 1) Approved 3-0

133. Authorize the executive director to sign a license with the city of Bellingham for an interim trail to connect Bellwether Way to the ASB/Marina Trail? The ASB (Aeration Settlement Basin) is the former GP treatment lagoon. This is a temporary trail; a permanent trail requires a land swap between the city and the port. The port will budget $25,00 for fencing and signage. (4711/Action Item 2)

Action Taken at November 4, 2014 Meeting

Shall the commission:

134. Authorize the executive director to award the only bid of $40,110 to VidTroniX Ticket and Label of Shawnee, KS, for printer paper? Airlines at the Bellingham airport use a shared computer system for baggage tags and boarding passes. The purchase was advertised and one bid was received. (4749/Consent Agenda B) Approved 3-0

135. Increase by $10,000 the contract (amendment #1) with Neptune Marine Services of Anacortes for ramp repairs at the Bellingham Cruise Terminal? On 11/2/2012, the passenger ramp fell an estimated 12 feet; Wilson Engineering was hired to design temporary support. The vehicle ramp required concrete patching and fiber wrap to the low portion of the counterweights. When the concrete was removed holes were discovered requiring a different product for repairs. This amendment brings the total contract to $264,684. (4726/Consent Agenda C) Approved 3-0

136. Authorize the executive director to sign a $39,686 contract (amendment #37) with Anchor QEA of Seattle for phase 1 of the Whatcom Waterway cleanup project? This amendment requires additional monitoring in response to the U.S. Army Corps of Engineers review of the Nationwide Permit 38 for the project. The project may be eligible for Model Toxics Control Act funding. This amendment brings the total contract to $8,568,995. (4748/Action Item 1) Approved 3-0

137. Authorize the executive director to award the low bid of $1,075,478 to Razz Construct of Bellingham for a sprinkler system upgrade? A boathouse fire on 3/30/2012, killed two people and twelve boats were destroyed. At the 9/24/2012 meeting, vote # 187, the Bellingham City Council approved a marina boathouse chapter to the Bellingham Fire Code. 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. This contract is a combination of two projects. The Gate 3 portion provides increased water flow and pressure to the existing system. The sprinkler system under the Gate 3 Esplanade dock will be replaced. The work was advertised and three bids were received. A contingency fee of $99,000 brings the total contract to $1,174,478. (4731/Action Item 2) Approved 3-0

138. Authorize the executive director to sign a $77,631 contract (amendment #3) with Associated Project Consultants of Bellingham to provide construction support services for the installation of a fire sprinkler system at Squalicum Harbor? At the 9/24/2012 meeting, vote # 187, the Bellingham City Council approved a marina boathouse chapter to the Bellingham Fire Code. 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. This amendment brings the total contract not including the contingency fee to $199,147. (4732/Action Item 3) Approved 3-0

139. Approve a lease with Northwest Marine Industries for a portion of building 6 at the Fairhaven Marine Industrial Park? The two-year lease is for approximately 20,000 square feet. The company was founded in 1955 as Sportsman Boats. Their leased facility in Ferndale burned down earlier this year. The boat manufacturer will employ approximately 22 people at the new facility in Fairhaven. (4733/Action Item 4) Approved 3-0

140. Authorize the executive director, staff and/or commissioner to travel to Ireland to visit the Harcourt Developments Limited facility in Dublin? The port is negotiating with Harcourt to redevelop 10.8 acres in the Waterfront District. The trip is to look at the balance sheet, see Harcourt’s projects, speak to community leaders and observe the company firsthand. (New Business 1) Approved 3-0

Action Taken at November 18 Meeting

Shall the commission:

141. Change the petty cash amounts/custodians and change fund amounts/custodians? The petty cash funds total $700 and the custodians are: Valerie Schorr, Andy Peterson and Dave Warter. The change funds total $3,250 and the custodians are: Andy Peterson, Dave Warter and Mark Leutwiler. 4863/Consent Agenda B (Resolution 1336) Approved 3-0

142. Authorize the sale of one vessel for the nonpayment of moorage fees? An auction was scheduled for December 8; a 32-foot crabber had unpaid moorage fees of $3,025. The auction was held and the boat was not sold. The vessel becomes the property of the port. (4864/Consent Agenda C) Approved 3-0

143. Authorize the payment of $50,465 to the state of Washington for two aquatic lands harbor leases? The state issued two leases to Georgia-Pacific for the treatment lagoon known as the Aerated Stabilization Basin. The leases are for a pipeline under Whatcom Creek to the treatment lagoon for stormwater treatment and the outfall pipe from the treatment lagoon into Bellingham Bay. The treatment lagoon is part of the Whatcom Waterway cleanup site. This payment is for 12/1/2014 through 11/30/2015. (4865/Consent Agenda D) Approved 3-0

144. Incorporate the capital projects contained in the 2015 strategic budget into the Comprehensive Scheme of Harbor Improvements? (Public hearing held) The harbor improvements are: Blaine wharf district master plan; Sumas international cargo terminal; Bellingham airport master plan; Squalicum Harbor improvements; waterfront district plan and Fairhaven Harbor improvements. 4866/Action Item 1 (Resolution 1335) Approved 3-0

145. Adopt the 2015 strategic budget? (Public hearing held.) The property tax in 2015 will result in approximately $6.9 million revenue to the port. 4861/Action Item 2 (Resolution 1337) Approved 3-0

146. Adopt the 2015 property tax levy? The 2015 property tax levy is .2861 cents per $1,000 of assessed valuation and tax income is estimated at $6,719,000. The revenue is believed to be the same as the 2014 property tax levy. When the county assessor provides a final property assessment, staff will prepare a modified resolution. 4861/Action Item 2 (Resolution 1338) Approved 3-0