December 2003
Watching Government
Port of Bellingham
Compiled by Earl Dennis
Action Taken at September 23, 2003 Meeting
79. Authorize the executive director to appoint Acordia, Inc. of Seattle as insurance broker and Flex Plan Service of Seattle to administer dental and vision claims?
Both have served the port in these capacities for 13 years. The port tested the market to ensure that they were getting the highest quality work for the best price. Total savings for 2004 are estimated to be $22,703. Approved 3-0
80. Terminate a lease with Steve and Mara Sargent?
The Sargents opened Lucci’s Bayshore Pizzeria in Squalicum Harbor in 1994 and ran it till they sold the business to Ernest and Kandi Roberts in 2001. The Sargents provided a personal guarantee on the rent. In 2003, the Roberts went bankrupt. The Sargents have maintained the rent and recently found a buyer, Magix Restaurants of Bellevue. Approved 3-0
81. Sign a lease with Magix Restaurants of Belleview for the former Lucci’s Bayshore Pizzeria in Squalicum Harbor?
Magix is a specialty steak house and will serve high-end Kobe beef with South American cuisine. The owners will guarantee the lease along with a bond. The five-year lease has four five-year renewals and the rent will be $3,500 a month, with a 3 percent inflator starting in year six. Approved 3-0
Action Taken at October 7, 2003 Meeting
82. Amend the Internet user fee at Squalicum and Blaine Harbors?
The current Internet fee is $10 per hour (5/6/03, vote 37), pro-rated by the minute with a 15-minute minimum. Many use the Internet less than 15 minutes, so the port is changing the fee structure. The first 15 minutes will be free, the second 15 minutes will be $2.50 and each additional minute will be 17 cents. Approved 3-0
83. Authorize the executive director to renew the port’s insurance coverage?
The $456,777 property and liability insurance package (10/1/03—9/30/04) will be with AON Risk Services of Chicago. It will add terrorist coverage that was eliminated last year as a cost saving measure. Last year, insurance payments increased 12 percent or $50,604. This year, payments increased 8 percent or $36,657. Approved 3-0
84. Authorize the executive director to purchase rock from Ace Rock of Everett for $60,000?
The rock will replace 3,000 feet of shoreline at the Bellingham Shipping Terminal. The improvement will take place between berth three and the concrete stub pier. This is the first half of the shoreline project; the second half will be in the 2004 budget. Approved 3-0
85. Sign a five-year lease with Nobel & Rogers of Bellingham for retail space in Bellwether on the Bay?
The store (Time n’ Seasons) will carry collectibles, gifts, seasonal merchandise, jewelry, etc. The lease for 1,035 square feet will start March 1, 2004, and the monthly rent will be $1.04 per square foot for the first year and $1.56 for years two through five. Approved 3-0
Action Taken at November 4, 2003 Meeting
87. Annul the Newport Petroleum account in the amount of $8,082?
The delinquent amount (of a California corporation also known as Newport Leasing) includes $6,780 for docking the ship “Energizer” from May through August 2002 and late fees of $1,302. Legal council is working through the courts to obtain the money. The expense will be written off as a bad debt. Approved 3-0
88. Annul the Mt. Aspiring Air Land Trust account in the amount of $7,531?
The delinquent amount of $8,437 is for rent (12/02–6/03) of $7,056, state tax of $906 and late fees of $475. With state tax removed, there will be a write-off of $7,531. Mt. Aspiring never occupied the warehouse space they leased. The expense will be written off as a bad debt. Approved 3-0
89. Annul the Whatcom Wood Products of Sumas account in the amount of $24,630?
The company filed for bankruptcy on July 23, 2003. The delinquent amount of $27,711 is for rent (9/02–12/02) of $24,000, tax of $3,082, miscellaneous fees of $20 and late fees of $610. With state tax removed there will be a write-off of $24,630. The expense will be written off as a bad debt. Approved 3-0
90. Annul the Pacific Trawler of Bellingham account in the amount of $27,216?
The delinquent amount of $18,911 is for rent (10/02–2/03), tax of $2,428, utility fees of $6,862 and late fees of $1,443. With state tax removed there will be a write-off will be $27,216. Court action was taken on August 29 in the amount of $62,807, which includes legal fees. The expense will be written off as a bad debt. Approved 3-0
91. Appoint Father Tim Sauer and Barney Goltz to the Ethics Advisory Committee?
The port commissioners created an ethics committee of seven members on 8/19/03 (vote 59). Five members were appointed on 9/2/03 (vote 77). The ethics committee has no enforcement power. It can only offer advice. Approved 3-0
92. Extend an agreement with the city of Ferndale on Slater Road improvements?
The port will pay $50,000 to improve the intersection of Slater/Rural Roads. The intersection’s improvements will become necessary with development of the area to the west of the airport. The project is behind schedule because of the lengthy bid process. The new expiration date is July 31, 2004. Approved 3-0
93. Sign a lease with Bellingham Aviation Services for airplane refueling and other aviation services at the Bellingham International Airport?
The five-year lease will start 1/1/04 and be renewable for five consecutive five-year periods. The monthly rent for 2004 is $1,683.08 and will increase yearly to $5,075.49 per month in 2008. Approved 3-0
94. Sign a lease with Bellingham Aero Inc. for airplane refueling and other aviation services at the Bellingham International Airport?
Aero will be selling cheaper fuel so the rent is only $1,061 a-month with no yearly rent increase. The five-year lease begins 12/1/03 and allows for three consecutive five-year renewals. Approved 3-0
95. Authorize the executive director to sign an agreement with the FAA for lease for navigational equipment?
The FAA owns, operates and maintains the equipment. Each piece needed a legal description, which was constantly being updated. This agreement eliminates the individual descriptions and replaces them with a single reference in the airport layout plan. Approved 3-0
96. Authorize the executive director to sign an agreement with the sheriff’s office for security at Bellingham International Airport?
This agreement will define funding, services and responsibilities. The airport currently uses sheriff’s officers to provide security against a terrorist threat. Approved 3-0
97. Sign a lease with Puget Sound Truck Lines of Seattle for truck storage at the airport?
The three-year lease (9/1/03–8/31/06) for 3.45 acres allows two one-year renewals. The monthly rent is $3,516. Approved 3-0
