Port of Bellingham Commission

Compiled by Bill McCallum

Action Taken at July 11, 2023 Meeting

Shall the commission:
57. Modify a lease with Aliotti Enterprises to add professional offices for an authorized use at 1030 C Street? At the 1/5/2021 meeting, vote #9, the commission authorized the purchase of the land and building at 1030 C Street for $270,000. At the 2/2/2021 meeting, vote #17, the commission approved a lease with Aliotti Enterprises for the land and building. Alliotti wanted to open a fish market and fish and chip restaurant. A restaurant is prohibited by the city because it is not a primary street. The building will be used as professional offices until restaurant use is approved by the city. The lease expires on 3/31/2027. (12853/Consent Agenda E) Approved 3-0

58. Authorize the sale of four vessels for the nonpayment of moorage fees? An auction was held on August 3 at the Blaine Harbor and Squalicum Harbor offices for a 41-foot sailboat with unpaid fees of $16,950, a 26-foot sailboat with unpaid fees of $2,847, a 32-foot motorboat with unpaid fees of $5,787, and a 29-foot sailboat with unpaid fees of $3,345. Port staff contacted the four owners about the unpaid fees a total of 58 times between December 2020 and June 2023. (12855/Consent Agenda G) Approved 3-0

59. Renew the lease with Bayside Therapy Associates? Bayside Therapy has been a tenant in the Bayview Center Building since 2003. At the 12/18/2012 meeting, vote #191, the commission au- thorized the purchase of the building for $4.1 million. The Bayside Therapy three-year lease is for approximately 1400 square feet in suite 220, will be $115,409 and it will expire on 7/31/2026. (12856/ Consent Agenda H) Approved 3-0

60. Authorize the executive director to renew the port’s property, cyber and crime insurance coverage?The property premium is $1,497,026, a less than 1 percent increase over the previous year. Alliant Insurance Services of Newport Beach, California, serves as port’s broker of record. Included is $50 million in earthquake, flood and terrorism insurance. The coverage is for the period 7/1/2023 through 7/1/2024. The crime coverage is for two years. (12858/Consent Agenda J) Approved 3-0

61. Approve a settlement and release agreement with Lee Mi- chels for Boathouse No. 1 located in Blaine Harbor? The Blaine Moorage No. 1 Association is the owner of Boathouse No. 1. and is obligated to keep the structure in good condition. The structure has fallen into disrepair and a fire suppression system has not been installed, the boathouse has 10 slips. At the 5/2/2023 meeting, vote #39, seven moorage customers in good standing were given new slips. Lee Michels was not party to the release and his moorage account was delinquent, he began falling behind in moorage payments in April 2019. This year, port attorneys sent a letter to Michels in California seeking payment of $39,145 in moorage fees. In the settlement and release agreement, Lee Michels will pay the port $20,736 and terminate any interest in the boathouse. (12859/ Consent Agenda K) Approved 3-0

62. Small Works Roster. Contracts under $300,000 fall within the executive director’s spending authority; they only require commission notification. The executive director awarded contracts for 742 Marine upgrades to Discount Fence of Bellingham for $44,417 and to Specialized Pavement Marking of Tualatin, Oregon, for survey and to stripe airline gates for $237,861. (12860/Consent Agenda L) Approved

63. Writeoff a delinquent balance of $13,854? James Wade moored a boat in Blaine Harbor in November 2021. A payment on his account was never made. The vessel was impounded and destroyed. All attempts to reach the owner were unsuccessful. The total write-off is for moorage, guest moorage, leaseholder tax, power, late fees and postage. A collection agency will be contacted. (12864/Consent Agenda D) Approved 3-0

64. Increase the shipping terminal budget by $11,200,000? The shipping terminal project has shifted to repair of the south terminal and replacement of the heavy lift area. The entire budget increase goes the heavy left area, the revised budget is $18,618,474 for the heavy lift area and $4,182,600 for dredging for a grand total of $22,801,074. (12877/Action Item 1) Approved 3-0

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