Compiled by Andrew S. McBride
Action Taken at January 3, 2017 Meeting
Shall the commission:
1. Reaffirm Chmelik, Sitkin, & Davis as the port’s legal counsel for 2017? The firm’s hourly rate will remain at the capped rate of $250.00, through 12/31/2017, for principals, and actual billing rates for associates and paralegals. (6458/Consent Agenda B) Approved 3-0
2. Authorize the port’s legal counsel to sign contracts up to a total of $154,760 with Anchor QEA and other consultants to provide technical expertise in support of legal work related to the environmental department? Since 1996, legal counsel, in conjunction with the port’s environmental department, manages the claims process with AIG for the port’s cost cap insurance policy, cost recovery efforts involving former tenants and historical insurance, grant funding programs, and negotiations with the state of Washington concerning agreed orders and consent decrees for the port’s 20 state-listed Model Toxics Control Act sites. Anchor QEA has provided the bulk of technical-legal support for these legal efforts. (6450/Consent Agenda C) Approved 3-0
3. Authorize the executive director to sign an environmental covenant for the pulp and tissue mill remedial action unit at the former GP West site? In December 2014, the port entered into a consent decree with the Washington State Department of Ecology to perform final cleanup actions at the 31-acre pulp and tissue mill remedial action unit. In 2016, the port completed the cleanup action and is currently developing an as-built report and engaged in long-term monitoring. Because capping was part of the cleanup action, Ecology requires an environmental covenant be recorded for the property to ensure that the cleanup action continues to perform over time as designed. (6451/Consent Agenda D) Approved 3-0
4. Authorize the executive director to sign a $10,754 contract (amendment #9) with CH2M HILL of Englewood, Colo. for the Slater Road wetland mitigation monitoring project? The U.S. Army Corps of Engineers issued a permit (11/16/2010 meeting, vote #161) allowing 8.9 acres at the airport to be filled for the terminal building expansion project. Approximately 37 acres of wetlands were created on state Slater Road property adjacent to unnamed tributaries of Spring Creek. CH2M has been monitoring the site for four years. Scope of work will be one year of vegetation monitoring, wetland delineation of the site, and the year five monitoring report. The contract expires on 12/31/2017. This amendment brings the total authorized contract to $542,189. (6452/Consent Agenda E) Approved 3-0
5. Authorize the executive director to sign a $616,745 two-year contract with SP Plus Corp. of Chicago, Ill., for janitorial services at the Bellingham airport? The contract with American Building Maintenance of New York expired on 2/1/2017. A request for proposals was advertised; four responses were received. The first year of the SP+ contract will be $303,815, and the second year $312,930. Based on previous budget estimates, the port will save approximately $235,459 over two years on janitorial services. The contract expires on 1/31/2019. (6453/Consent Agenda F) Approved 3-0
6. Delegate certain administrative powers and duties to the executive director? The administrative powers will run from 2/1/2017 to 1/31/2018. 6441/Action Item 1 (Resolution 1106-S) Approved 3-0
7. Approve rental revenue standards for 2017? The key change in these standards is raising the high range rental rate for the Bellwether and Bayview buildings from $27.08 per square foot per year to approximately $32.72 per square foot per year. Otherwise, the current rate structure would remain intact. (6443/Action Item 2) Approved 3-0
8. Approve a harbor land lease at the with GrandCamp International of Elma, Wash. and an associated motion authorizing the executive director to sign lease modifications with GrandCamp? The lease will allow GrandCamp to use the Bellingham Shipping Terminal premises and state Department of Natural Resources property for storage, handling, debarking and loading of logs for export to Asian markets. Stormwater improvements and granting of an industrial stormwater general permit should be completed by the end of March 2017; the tenant will be given access to Bellingham Shipping Terminal at that time. The initial term is for five years, and includes one five-year renewal option. The port and GrandCamp have the right to early termination given 90 days notice. Lease and cargo revenue to the port over the five-year period is estimated at $3,068,025. (6445/Action Item 3) Approved 3-0
Action Taken at January 24, 2017 Meeting
Shall the commission:
9. Authorize the executive director to sign the 2017-2020 collective bargaining agreement with the International Longshore and Warehouse Union (ILWU) – Local 7, Maintenance? The 2014-2016 agreement (5/5/2014 meeting, vote #62) expired 12/31/2016. This four-year agreement runs from 1/1/2017 to 12/31/2020. Wage increases are 2.5 percent in 2017, 2019 and 2020, 3.0 percent in 2018. Projected base salary cost ($1,105,811 in 2016) rises annually from $1,135,351 in 2017 to $1,228,355 in 2020. These estimates are based on 2016 staffing and do not include overtime. Authorization includes any necessary budget adjustments. (6486/Action Item 1) Approved 3-0
10. Authorize the executive director to accept a $125,553 state grant for workforce training and sign a sub-agreement with Impact Washington to provide workforce development training to Pando Innovations (Itek Energy)? Itek Energy, a Bellingham-based solar panel manufacturer, (see the 10/18/2016 commission meeting, vote #173) has been seeking training resources to improve employees’ skills and productivity. Impact Washington, a nonprofit specializing in training small manufacturing firms, worked with Itek and port staff to secure the state grant. Training will benefit Itek’s 85-person workforce plus 25-40 new employees at its facility on Cornwall Avenue. (6487/Action Item 2) Approved 3-0
11. Modify a lease with Teal Jones Lumber Services of Surrey, British Columbia? At the 8/3/2004 meeting, vote #87, the commission sign a five-year lease with Teal-Jones for five acres at the Sumas International Cargo Terminal. Teal Jones employs up to 50 workers at its planing and remanufacturing facility. This modification adds a nine-acre parcel to its leasehold. Rent is $7,349 per month and will commence on 5/1/2017. It includes an option to purchase the property and improvements and a right of first offer to purchase or lease a nine-acre parcel to the west of Mitchell Way. An option on an additional five-acre parcel to the east is included for $1,000 per month. The total rent and option payment to the port through July 2019 will be $660,867, an increase of $229,423. (6588/Action Item 3) Approved 3-0
12. Authorize the executive director to sign an agreement with the city of Bellingham for the reciprocal use of facilities? This renewal allows each agency up to three free uses per year of the other’s facilities. The port may use city facilities including: Elizabeth Park gazebo, Maritime amphitheatre, Fairhaven Village Green, Civic stadium, Joe Martin baseball field, museum rotunda and Lightcatcher building, Bloedel Donovan and Fairhaven Park indoor facilities, Maritime Heritage Park pavilion, and Bellingham Library facilities. This agreement will remain in effect unless terminated by either party with 30 days written notice. (6491/Consent Agenda B) Approved 3-0
13. Authorize the sale of three vessels for the nonpayment of moorage fees? An auction is scheduled to be held at Squalicum Harbor on 2/16/2017 for a 24-foot sailboat with unpaid moorage fees of $1,857 and a 29-foot sailboat with unpaid moorage fees of $2,287. Another auction is scheduled to be held at Blaine Harbor on 2/17/2017 for a 79-foot purse seiner with unpaid moorage fees of $4,627. (6492/Consent Agenda C) Approved 3-0
14. Authorize port staff to use the small works roster for contracts up to $300,000? At the 11/15/2016 meeting, vote #192, the commission passed Resolution 1358, it established a small works roster process. The port staff will not use the formal bidding procedure for construction, renovation, alteration, or property improvement on contracts up to $300,000. In the past, contracts of $25,000 or larger have required commission approval; now contracts under $150,000 fall within the executive director’s spending authority. The commission will be made aware of these spending decisions via post-award ratification. 6493/Consent Agenda D (Resolution 1358-A) Approved 3-0
15. Modify a lease with Alaska Airlines? The airline premises in the airport terminal building will increase by approximately 294 square feet for unclaimed passenger baggage. Rent to the port will be $9,702 per year. The lease will renew automatically for one-year terms unless either party provides 120 days written notice prior to the end of an annual term that renewal is no longer desired. (6494/Consent Agenda E) Approved 3-0
