Minutes of December 4, 2001 Port of Hood River Commission Regular Meeting
Expo Center Conference Room
7:30 P.M.

Present: Commissioners Sherry Bohn, Fred Duckwall, Don Hosford, Bill Lyons, and Bob Nichols; Attorney Jerry Jaques; from staff, David Harlan, Mike Doke, Linda Hull, Linda Shames, and Laurie Borton

Absent: None

Media: Chris Huggins, Radio Station Q104

President Bill Lyons called the regular session to order at 7:35 p.m.

1. INTRODUCTIONS: None.

2. MODIFICATIONS OR ADDITIONS TO THE AGENDA: There was commission consensus to add the HNTB Supplemental Agreement discussion to Items from Previous Work Session, and a discussion of the Expo Building use by Columbia Gorge Community College to New Business.

3. UNSCHEDULED ITEMS FROM THE GENERAL PUBLIC: Guests Matt Kosmata and Gil Sharp did not have any items for discussion in regular session.

4. APPROVAL OF MINUTES:

Motion: Move to approve minutes of the November 20 (work session/regular), 2001 meeting.
Move: Hosford
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, and Lyons
Abstain: Nichols
MOTION CARRIED

************************************************************

Motion: Move to approve minutes of the November 27 (special), 2001 meeting.
Move: Bohn
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Nichols
MOTION CARRIED

5. REPORTS:

a) Executive Director: Executive Director Harlan reported he would be attending two Oregon Ports Group meetings this week to discuss the state's budget shortfall; a memo to file has been prepared documenting the events of the submerged floatplane and Harlan commended Mike Doke for his involvement in the situation. Harlan reported on meetings with the Oregon Department of Transportation, Region 1 to discuss the bridge redecking and toll plaza projects; community college discussions regarding Expo Center use; continuing discussions with Electronics Assemblers and Heelside regarding space reductions; and discussions with Columbia Area Transit pursuing the relocation of the Greyhound stop in front of the Port administration office.

b) Commissioners: President Lyons commented on a successful Waterfront Task Force public presentation on November 27, 2001. Lyons reported the real estate committee met and a discussion of the meeting would continue in Executive Session.

6. ITEMS FROM PREVIOUS WORK SESSIONS:

a) Expo Center Waiver Policy: A revised waiver policy presented to the Commission was narrowed further in scope after discussion and comments by Commissioner Duckwall. The policy would be used for Expo Center, waterfront, and marina event policies.

Motion: Move to modify the waiver policy to read as follows: It is not the Port of Hood River's policy to waive fees for commercial events with concessions or sales of any type. The Port may consider waivers or fee reductions for those events or activities resulting in community-wide benefits, if an event is a not-for-profit activity involving financial or in-kind contributions from or to local agencies, organizations or residents.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Nichols
MOTION CARRIED

b) Bridge Redecking Project:

Motion: Move to approve HNTB Supplemental Agreement Number 2 in conjunction with the deck replacement project in an amount not to exceed $204,127.00.
Move: Duckwall
Second: Nichols
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Nichols
MOTION CARRIED

c) Bridge - HNTB Supplemental Agreement:

Motion: Move to approve HNTB Supplemental Agreement Number 4 for bridge stringer repair in an amount not to exceed $27,915.00.
Move: Hosford
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Nichols
MOTION CARRIED

7. NEW BUSINESS:

a) Approval of Accounts Payable: None.

b) Expo Center - Use by Columbia Gorge Community College: President Lyons reported Columbia Gorge Community College would like to enter into discussions with the Port regarding potential use of the Expo Center by the College. While the College feels this building would require less refurbishing, Executive Director Harlan questions the feasibility and costs that would be associated with a renovation that would accommodate multiple tenants.

Commissioner Bohn asked attorney Jaques if her involvement in discussions would be perceived as a conflict of interest inasmuch as Commissioner Bohn's husband is a member of the Community College President's Council. Jaques advised Bohn she did not need to remove herself from discussions or votes if there was no potential for monetary gain to herself or her spouse. Jaques commented any Commissioner removing themselves from discussion would need to site the specifics relative to a conflict of interest.

An invitation will be extended to the Columbia Gorge Community College to attend a Port Commission meeting in January to discuss their interest in the Expo Building.

8. Executive Session: At 8:35 p.m., President Lyons called the Commission into Executive Session under ORS 192.660(1)(e), Real Estate and ORS 192.660(1)(h) Litigation.

At the conclusion of Executive Session, the Commission was called back into regular session at 9:30 p.m. The following action was taken as a result of Executive Session.

Motion: Move to prepare and execute an earnest money agreement offering $2.50 per square foot on the Houston property; that the offer be reviewed by the real estate committee and signed by the president; the offer include contingency provisions for an environmental audit with results satisfactory to the Port, soils compaction and engineering analyses reports satisfactory to the Port, and that titles be in order for the earnest money agreement closing by December 31, 2001.
Move: Hosford
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Nichols
MOTION CARRIED

The next Commission meeting will be held on Tuesday, December 18, 2001 at the Expo Center Conference.

President Bill Lyons adjourned the meeting at 9:35 p.m.

---

Minutes of December 10, 2001 Port of Hood River Commission Special Meeting
Expo Center Conference Room
3:30 p.m.

Present: Commissioners Don Hosford, Fred Duckwall, and Sherry Bohn; Attorney Jerry Jaques; from staff, David Harlan, Mike Doke and Linda Hull

Absent: Commissioner Bill Lyons and Bob Nichols

Media: None

Vice-President Don Hosford called the Special Meeting to order at 3:38 p.m. for the purpose of discussing real estate and to consider the Port's environmental, soil and compaction contingencies on the Wasco Street property purchase offer, considering the short timeline of a December 27, 2001 target closing date for the transaction.

Motion: Move to authorize staff to make the expenditures necessary to conduct due diligence on the site.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, and Hosford
Absent: Lyons and Nichols
MOTION CARRIED

Commissioner Bohn asked what the procedure would be if the transaction failed to close by December 27 or if the Level I environmental study required a Level II study after the time limit expired. Executive Director Harlan explained that the Real Estate Committee will meet to review the information from the studies and will come back to the full Commission on how to proceed, if necessary.

Motion: Move to authorize staff to submit a revised offer of $2.75 per square foot for the Wasco Street property.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, and Hosford
Absent: Lyons and Nichols
MOTION CARRIED

Harlan explained that the current property owner, Howard W. Houston, Jr., is willing to warrant that there are no hazardous materials or contaminated soils on the site; however, if any were found, he would be responsible for its mitigation.

Motion: Move to authorize the Commission President or Vice-President to sign the offer and other documents associated with the transaction should it proceed; and to authorize the Real Estate Committee to review the environmental, soils and title information as it develops to decide if the contingencies have been satisfied.

Move: Bohn
Second: Duckwall
Vote: Aye: Bohn, Duckwall, and Hosford
Absent: Lyons and Nichols
MOTION CARRIED

It was the consensus of the Commission that the transaction can close if the results of the studies are satisfactory as determined by the Real Estate Committee.

The meeting was adjourned at 3:45 p.m.