Minutes May 6, 2003 Port of Hood River Commission Regular Meeting
   Expo Center Conference Room
  7:00 P.M.

Present: Commissioners Sherry Bohn, Don Hosford, Fred Duckwall, Bill Lyons, and Hoby Streich; 
Budget Committee Members: Felix Tomlinson, Tom Drach, Mike Benedict, Kathy Watson; 
Attorney Jerry Jaques; from staff, David Harlan, Mike Doke, Linda Hull, Linda Shames

Absent: Joe Sheirbon, Budget Committee Member; from staff, Laurie Borton

Media: None

President Bill Lyons called the Budget Committee meeting to order at 7:05 p.m.

1. Budget Committee: President Lyons introduced the Budget Committee members in attendance: Felix Tomlinson, Tom Drach, Mike Benedict, and Kathy Watson. Joe Sheirbon was out of town and unable to attend. President Lyons presented the Budget Message, highlighting the bridge redecking, waterfront development, and Wasco Business Park projects and how all the projects tie in with the Port's Strategic Plan and the multi-year capital plan in the budget. Budget Committee officers were then elected.

Motion: Move to elect Felix Tomlinson as Presiding Officer of the Budget Committee.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

Motion: Move to elect Tom Drach as Secretary of the Budget Committee.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

President Lyons then asked Presiding Officer Tomlinson to discuss the general budget process for the benefit of new members Benedict and Watson. Tomlinson stated his appreciation of the color-coded printouts of the budget documents produced by Accounting Manager Linda Shames that help make the process less confusing. Lyons stated the Strategic Plan is important for tracking what the Port is trying to accomplish, and that it ties into the Port's 5-year capital plan. There were no questions or comments from the committee members or public. The Budget Committee then adjourned until May 7, 2003 at 5 p.m.

President Lyons then opened the regular session at 7:20 p.m.

1. INTRODUCTIONS: Brian Carlstrom and John Gerstenberger signed in to speak. Others attending included Linda Maddox, Matt Kosmata, Bud Budworth, Diane Barkhimer, Maui Meyer, Brian and Karen Shortt.

2. MODIFICATIONS, ADDITIONS TO AGENDA BY COMMISSIONERS: Executive Director David Harlan requested the addition of Prepayment of Lease/Purchase Agreement to New Business.

3. APPROVAL OF MINUTES:

Motion: Move to approve the minutes of the April 15, 2003 work session/regular session meeting.
Move: Streich
Second: Bohn
Vote: Aye: Bohn, Duckwall, Streich, Lyons
Abstain: Hosford
MOTION CARRIED

4. REPORTS
a) Executive Director:
§ David Harlan informed the Commission that the Barman property purchase transaction was completed last week. Commissioner Bohn asked staff if the Barman property could be cleaned up now that we own it? Commissioner Hosford seconded the request.
§ Harlan stated he is discussing ODOT's exploration of the bridge being placed on the historical register, although the bridge has been essentially rebuilt over time and is not original. He is in discussions with HNTB regarding the strengthening requirements of the $1.35 million federal appropriation. Commissioner Bohn asked if this would delay the bid process? Harlan stated it might delay bidding the project until October.
§ The Wasco Business Park preliminary road and infrastructure costs are projected to be $253,400. Harlan is working with Erik Andersson, Regional Development Officer for the Oregon Economic & Community Development Dept., to obtain Immediate Opportunity Funds through ODOT for the road and the Rand Road traffic light. He will also be meeting this week with DiLoreto Architects regarding the Humanities Software building. Columbia Area Transit would like to purchase a lot to build their facility. Bohn asked if broadband access would be part of the infrastructure to the business park? Harlan will find out if that is feasible.
§ Harlan reported that DEQ issued a civil penalty to the Port in the amount of $4,800 for the UTS yard cleanup of barrels left by prior tenants, Freas Roofing.
§ Reporting on the waterfront development, Harlan stated he is working with City Planner Walbridge on language to incorporate into the final zoning document. Harlan said he has made developer site visits to Portland, Bend, and Gresham and found them all impressive.
§ A meeting to evaluate the Integrated Technology Center (ITC) project was held April 29. The college remains interested in the UTS building but believes it would cost over $1 million to upgrade the facility for their use. They want to locate on the waterfront but they are also pursuing other options on an interim basis. The Port will request a 6-month extension for the $150,000 Education Dept. grant for computer lab equipment. Harlan said the $90,000 HUD grant funds will be available shortly. Commissioner Bohn felt the Port should continue to work with the college in creating the ITC.
§ House Bill 2691 promoting the redevelopment of abandoned mill sites has been sent to the governor for signature.
§ Harlan will hear later this week regarding the leasing of Western Power.
§ DaKine is close to signing a long-term lease for Columbia Building.
§ Arthur Larson Architect moved into the west wing of the Port Office Building last month.

President Bill Lyons stated he inadvertently skipped "Unscheduled Items from the General Public" and asked for public comments at this time.

5. UNSCHEDULED ITEMS FROM THE GENERAL PUBLIC: John Gerstenberger, Hood River Electric Co-op, wanted the Commission to keep the fiber optic project on the radar screen. He stated many people in the upper valley are interested in completing the project to the waterfront and support the goals of developing the area. He appreciates the assistance of the City and Port to co-locate the conduit with the waterline running under the freeway to the waterfront.

Brian Carlstrom thanked the Commission for forming the Waterfront Recreation Committee and thanked Sherry for chairing it. He read parts of a Portland Business Journal article on waterfront parks.

President Bill Lyons then returned to the regular agenda order.

b) REPORTS - Other:
§ Commissioner Bohn reported she held an ad hoc meeting and talked to many others about Event Site RV fees. Her recommendation to the Commission is to double the car rate for RV/overlength (exceeding 22 feet) vehicles (currently $3 daily/$50 annual). The committee discussed marking RV spots at a diagonal to accommodate more vehicles; providing overflow parking in the south border of the parking lot and on Portway; moving the handicapped spaces; removing the spikes at the exit; exploring the idea of having an adult "site host"; and exploring overnight parking requirements for revenue. Commissioner Streich asked why even have annual passes? Linda Maddox said the pass is similar to other state park passes and was not a guarantee of space, adding that the Event Site is rarely full. Commissioner Duckwall would like signage up prior to gate entry so that drivers of overlength vehicles will have adequate warning; he would also request the water/power access be locked and inaccessible to parking lot users.
§ President Lyons stated the Budget Committee meeting will be May 7 at 5:00 p.m. at the Expo Center Conference Room.
§ Mike Doke announced the next SR 35 open house will be May 15 at Fidel's Restaurant in Bingen from 5:00 p.m. to 8:00 p.m. All three alternatives recommended for a new bridge crossing use the existing bridge corridor.
§ Mike Doke reported on the Maritime Trust visit and said they had a comprehensive look at all ports and properties in the Gorge area and met many community leaders. They do not have a specific project identified here at this time.
§ President Lyons reported that the Real Estate Committee met and directed staff to prepare a Request for Proposal by the May 20th meeting to interested developers of the waterfront, seeking additional information not received in the qualifications process, but not requesting an actual waterfront master plan at this point.

6. ITEMS FROM WORK SESSION: None

7. NEW BUSINESS:

a) Strategic Plan Revisions: The Commission reviewed the revised Strategic Plan. President Lyons stated the Strategic Plan should continue to have measurement criteria and that dates are one way of accomplishing that task. Under Economic Development Action Items (d) "to purchase computer lab equipment by June 2003", the date was changed to December 2003. All other revisions were accepted.

Motion: Move to adopt the 2003 Strategic Plan with date change.
Move: Bohn
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

b) Conduct on Port Property - Ordinance 22: The Commission had further questions and comments on the proposed draft ordinance revised after the April 15th meeting. Attorney Jaques stated that an ordinance is written to leave latitude and flexibility for rules and regulations; regulations may be adopted at any time by the Board or Director and be considered part of the ordinance. The Commission discussed the specific hours considered to be "overnight"; kiteboarding training areas/spit restrictions; and other temporary uses of Port properties. President Lyons suggested Jaques add another section for "Temporary Uses" defining what activities can be done where on a temporary basis. The Commission will review the ordinance draft at the next meeting.

c) 2003 Event Site Fees: Consensus of the Commission was to double the current car rate for RV and overlength vehicles exceeding 22 feet.

Motion: Move to increase the RV-overlength Event Site parking fees to double the current daily and season rate for cars.
Move: Bohn
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

The Commission directed staff to address the Event Site issues raised in previous discussion. Staff will explore diagonal parking stripes for overlength vehicles; moving handicapped parking area; overflow parking to south of lot and Portway; signage; water/power locks; feasibility of having an Event Site "host"; removal of exit spikes; and temporary overnight parking.

d) FAA AWOS Construction Services: Mike Doke explained that Century West Engineering Corporation would be sending the grant application for the airport AWOS system project soon. The total cost for the project is estimated to be approximately $148,000, with FAA contributing 90% and the Port contributing 10%. He asked the Commission to authorize the construction services tonight.

Motion: Move to authorize construction services by Century West Engineering Corporation for the airport AWOS project in the amount of $16,711.56.
Move: Duckwall
Second: Streich
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

e) Accounts Payable: The Commission discussed if insurance for terrorism should be purchased. Commissioner Streich asked if we really needed it; President Lyons stated as a public entity, how could you not? Commissioner Hosford asked what it covered. Linda Shames explained that it covers any act of terrorism traced to the airport. Harlan stated the federal government will not cover any acts if not covered by a policy. Hosford stated it's a different world since 9-11 and that our government is very concerned with airport activity and security.

Motion: Move to purchase Airport Terrorism Insurance as additional coverage in the amount of $3,495.
Move: Hosford
Second: Streich
Vote: Aye: Hosford, Streich, and Lyons
Nay: Bohn, Duckwall
MOTION CARRIED

f) River Walk Paving RFP: Mike Doke informed the Commission that Munsen Paving submitted the low bid to asphalt 625 yards of pathway in the Marina Area for $18,900. This would be using, not demolishing, part of the existing walkway.

Motion: Move to authorize Munsen Paving to complete the River Walk Phase II asphalt-paving project in an amount not to exceed $18,900.
Move: Bohn
Second: Streich
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

g) Prepayment of Lease/Purchase Agreement: Linda Shames explained this is a prepayment of the airport hangar loan.

Motion: Move to prepay the existing Lease/Purchase Agreement in the amount of $196,063.75 and to authorize the President to sign the Notice of Prepayment.
Move: Streich
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

9. EXECUTIVE SESSION: None.

10. NEXT MEETING DATE: May 20, 2003 at the Expo Center Conference

President Lyons adjourned the meeting at 9:05 p.m.

Minutes May 7, 2003 Port of Hood River Budget Committee Meeting
Expo Center Conference Room
5:00 P.M.

Present: Budget Committee Members: Felix Tomlinson, Tom Drach, Mike Benedict, Kathy Watson, Joe Sheirbon; Commissioners: Sherry Bohn, Don Hosford, Fred Duckwall, Bill Lyons, and Hoby Streich; from staff, David Harlan, Mike Doke, Linda Shames

Absent: None

Media: None

President Bill Lyons called the Budget Committee meeting to order at 5:10 p.m., and turned the meeting over to Budget Committee Chair Felix Tomlinson.

Felix Tomlinson opened the meeting by reviewing the Port's Strategic Plan document with the group.

Overview of Strategic Plan

Points of general discussion, if any, for each portion of the Mission statement appear below:
A: Financial Management
All activities for the Port should be self-supporting
The revenue from the local tax base is about $35,000 annually, which represents a very small percentage of the operating budget.
By statute, 15% of the Port's operating budget must be available as cash in the end-of-year balances.
Independent audits are done annually.
By the end of FY 2003, the Port will have minimal debt. This situation was intentional, in order to allow the assumption of a new large debt. (bridge redecking)

B: Asset Management
Bridge Redecking- to commence by middle of FY2004.
This effort is an attempt to extend the useful life of the bridge 40 more years.
Ongoing incremental painting is being considered, rather than traditional all-at-once methods.
Waterfront- new zoning approval expected within several months
Airport- The extent of which the Port will need to pay into the WindMaster Sewer Extension Project will determine if portions need to be rezoned to cover the infrastructure costs. Depending on any existing restrictions, the Port may request a change for some of the Airport Zone to be reclassified as Light Industrial.
Wasco Industrial Park- Plans are underway to erect some buildings for existing and new Port tenants.

C: Economic Development
Economic development is a primary mission for the Port.
Action items 1-6 on Pg 13 of the Strategic Plan represent the Port's focus to this mission.

D: Communications and Public Relations
Maintaining public support and understanding is important for accomplishing its goals.

Cash Flow Projections
The Cash Flow Projections form was reviewed resulting in no specific issues.

5-Year Capital Plan
The 5-Year Capital Plan form was reviewed resulting in no specific issues.

Debt Payment Schedule
Debt should be reduced to $0 by end of FY2003.
The Bridge redecking is expected to be a $7M bond measure, resulting in $610K in annual interest payments.

Source of Funds
The Source of Funds form was reviewed resulting in no specific issues.

Return on Investments of Assets
The Return on Investments of Assets form was reviewed resulting in no specific issues.

General Fund Budget
The General Fund Budget was reviewed resulting in no specific issues. A $6500 capital outlay was noted for purchase of a new phone system.

Bridge Repair and Replacement Fund Budget
The Bridge Repair and Replacement Fund Budget was reviewed, resulting in no specific issues. $600K will be transferred in from the Revenue Fund.

Revenue Fund Budget
Toll Bridge- expect 10% drop in annual revenue once redecking project begins. The project begins half way thru FY2004, so income for FY2004 is reduced by 5%.
A new traffic counter system will be installed prior to the new toll plaza project. The two projects are mutually exclusive, and no financial gain would be realized by executing the projects concurrently.
Comment was made about the Bridge in relation to the I-84 Interstate exchange, and how this may create some financial impact to the Port in the future. Apparently, this is a known issue with ODOT, but all parties agree there is little to be done to resolve the situation currently.

Columbia Building- the sale is currently in process to Key Development Corporation for $1.45 million. The proceeds are earmarked for Wasco business park to further the Port's economic development mission.

Western Power- There is a potential tenant for the entire building. Mike Doke is working with Bill Fashing, the County Economic Development Coordinator.

UTS- The Columbia Gorge Community College is currently not interested in this space as a temporary or permanent home for their satellite campus. Widespread speculation has it there's something in the water near there to blame….

Expo Center- still operating at a loss, even after several years of focus to reach revenue neutral status. Staff is still working on the problem, and the Budget committee recognizes the longer-term approach being taken for this property.

Waterfront Event Site- a small loss of $10K is being budgeted. The possibility of implementing fee-based overnight parking will be researched by staff.

Marina Park- a loss of $100K is expected. There will be some use of this area for staging during the Bridge Redecking project. A suggestion was made to increase the shower fees at the site. Staff to make recommendation to Port Commission on this issue.

Airport- some questions remain about zoning in regards to the WindMaster sewer infrastructure, and its financial impact to the Port.

John Weber Business Park- This project has been a great success for economic development and the Port.

Wasco Street Business Park- Activity should be underway soon to develop lease space for existing and new Port tenants.

This concluded the review of presented budget documents.

Budget Committee Resolutions
Discussion between the Budget Committee resulted in the following Resolution:

Motion: Move to direct Port Staff to achieve revenue neutral status for Waterfront Event Site and Marina Park by FY2004-2005. Also, to evaluate the feasibility of seasonal, overnight RV parking on Port property as a means to achieve revenue neutral status.
Move: Mike Benedict
Second: Joe Sheirbon
Vote: Aye: Tomlinson, Drach, Benedict, Watson, Sheirbon, Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

Budget Approval

Motion: Move to approve the FY 2003-2004 budget as presented.
Move: Joe Sheirbon
Second: Bill Lyons
Vote: Aye: Tomlinson, Drach, Benedict, Watson, Sheirbon, Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

Taxing Approval

Motion: Move to approve the local taxation rate of 0.0000332 for the upcoming local tax year.
Move: Fred Duckwall
Second: Tom Drach
Vote: Aye: Tomlinson, Drach, Benedict, Watson, Sheirbon, Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

With no further business, the meeting was adjourned at 9:10 pm.

Present: Commissioners Sherry Bohn, Fred Duckwall, Don Hosford, Bill Lyons, and Hoby Streich; Attorney Jerry Jaques; from staff, David Harlan, Mike Doke, Linda Hull, Linda Shames (work session only), and Laurie Borton

Absent: None

Media: None

President Bill Lyons called the work session to order at 5:38 p.m.

1. Waterfront Development - Request for Supplemental Information to the RFQ: President Lyons stated the purpose of the Waterfront Development work session would be to discuss the specifics of a Term Sheet, which would be the basis for either a Request for Proposal (RFP) or direct negotiations with a developer or developers, and to determine with whom further contact would be made.

The Term Sheet was reviewed line-by-line and the Commission consented on changes that staff would make to the document. Commissioner Duckwall commented on the subject of an RFP versus negotiation, stating the list of six developers should be narrowed and a Term Sheet RFP should be sent to three developers. Commissioner Bohn expressed her desire to keep the process as public as possible, with Commissioner Streich stating the process and timelines need to be flexible. Attorney Jaques recommended that further requests of the developers be clearly defined because this RFP is not the standard interpretation of a Request for Proposal. Each Commissioner stated the number of developers they wished to have the RFP sent to: Duckwall-3; Streich-3 or 4; Hosford-3; Bohn-4; and Lyons-2.

Timelines were then discussed and it was determined that a cover letter and RFP could be mailed by May 30, 2003. A response date of July 1 would be requested, which would allow time for a review of the responses prior to the July 15 Commission meeting.

President Lyons solicited public comment from Maui Meyer and Christine Knowles regarding timelines. Meyer stated his opinion that the RFP would be taken more seriously by developers if they knew they were on a 'short list.' Knowles commented that respondents to an RFP should be given at least 30 days to respond and interviews should be done in a public work session; Knowles also stated that she was accustomed to a process in which respondents were introduced to various people and businesses around the town. Other comments from audience members included a question on why there was a rush to deliberate, and a perception that the Port's mind was already made up on who the developer would be.

President Lyons closed the work session at 7:05 p.m. and opened the regular session at 7:10 p.m.

1. INTRODUCTIONS: Audience members present at the opening of the regular session introduced themselves to the Commission and Port staff.

2. MODIFICATIONS, ADDITIONS TO AGENDA BY COMMISSIONERS: Executive Director David Harlan requested the consideration of purchasing benches for the Marina River Walk be added to New Business.

3. UNSCHEDULED ITEMS FROM THE GENERAL PUBLIC: Brian Carlstrom, Brian Robb, and Pete MacKay signed in to speak. Carlstrom said that he did not support the Port's plans for the Waterfront and voiced concern that his comments at the May 6 meeting were not accurately reflected in the minutes. President Lyons stated that meeting minutes are not verbatim and that tonight's minutes would reflect Carlstrom's disassociation with the Waterfront plan. Robb illustrated a 25-foot setback from development to the water was not a great distance by stepping off the footage in the conference room. Robb also commented on the lack of public discussion of a hotel on Lot 6, along with building heights and setbacks; he questioned if CAD designs had been done to show that view sheds would not be affected, and inquired if any economic analyses had shown a hotel would be more beneficial than a park. Robb would like to see a waterfront that is best for Hood River, not what's best for the developer. MacKay stated he was attending the meeting to gain an understanding from the Port Commission regarding the waterfront development compared to what he was hearing on the street. MacKay also asked some waterfront questions on behalf of Susan Froehlich, who attended the work session but did not stay for the regular session.

4. APPROVAL OF MINUTES:

Motion: Move to approve the minutes of the May 6, 2003 work session/regular session meeting.
Move: Hosford
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

The minutes were approved without changes with the Commission acknowledging, for the record, the comments of Brian Carlstrom.

5. REPORTS

a) Executive Director:
§ David Harlan informed the Commission that Sally Donovan has discussed the historical status of the Hood River Bridge with the Oregon Department of Transportation (ODOT), and that the redeck project will likely be considered a maintenance issue, which means the project should not be delayed. Because federal appropriations will be received, the redeck project bid will be let by ODOT. The current bid date is September 11, 2003, with a drop-dead date of October 23, 2003. Harlan also commented that ODOT has a concern with HS20 Standards regarding load ratings.
§ A former member of the River Walk Committee requested the committee be reestablished. Harlan commented that if a committee were needed, it should be broad based to represent all users of the marina. Harlan's recommendation was that the Commission not reestablish the ad hoc advisory committee at this time.
§ Jeff Tashman, of Tashman Johnson LLC, has indicated his availability to discuss tax increment financing with the Waterfront Task Force. Harlan estimated the cost of the presentation to be $4,000 to $5,000 with the Port paying the bill. President Lyons stated he would contact Mayor Paul Cummings regarding the presentation; Commissioner Bohn stated she felt the entire City Council and Port Commission should attend as well.
§ Harlan stated there may be fire flow problems at the lower Hanel Mill site for Cardinal Glass but that Bill Fashing, County Economic Development Coordinator, and Erick Andersson, Regional Development Officer for the Oregon Economic & Community Development Department are working with the State to resolve the issue. A Cardinal Glass vendor has continued to express interest in a short-term lease of the Western Power Building; the vendor would eventually relocate to the lower Hanel Mill site.
§ Harlan updated the Commission that quotes had been received for removal of debris from the Barman property and that cleanup should begin soon.
§ Key Development's inspection of the Columbia Building noted concerns with the roof, exterior paint and the heating, ventilation and air conditioning system. Harlan reported that repair estimates have been received and he requested authorization from the Commission to extend the May 22 acceptance date, if requested by Key Development, in order to address their concerns.
§ Harlan reported a one-year extension of the $150,000 Department of Education grant for the Integrated Technology Center will be requested. Harlan stated that Columbia Gorge Community College is expressing renewed interest in the Expo Center Building and adjacent property.
§ ODOT has approved plans for the Second Street Project and Harlan requested authorization from the Commission to sign and submit the construction permit. Harlan stated the Port has until December 2004 to complete the road.
§ Diagonal parking spaces for recreational vehicles and vehicles over 22 feet in length are being restriped at the Event Site this week, and Harlan reported that overflow parking on Portway Avenue would be considered only on special occasions. Initial reports indicate the City may authorize overnight parking at the Event Site.
§ Harlan reported that discussions are proceeding for Immediate Opportunity Funding (IOF) for road infrastructure improvements and the installation of a traffic light at the intersection of Cascade and Rand, which would require matching funds from the Port and City of Hood River.
§ It had been rumored that a Waterfront Initiative may be submitted for a City vote. Harlan stated that while he respects those with differing views, development on the Hood River Waterfront must address and take into account the county's and community's larger economic challenges, specifically high rates of unemployment, poverty and hunger.

b) Other:
§ Mike Doke provided results to the Commission on a recently completed Hood River Valley Parks and Recreation District Needs Assessment, which included Port properties as being the "most visited parks." Doke stated that Parks & Rec would be using the data to create a Master Plan.
§ Doke reported on a recent meeting at the Spit with the six kiteboarding instruction schools. The schools would like to see some improvements to the area, however, without the collection of user fees there is no revenue to pay for improvements. The schools have offered to make some improvements if approved by the Commission.
§ President Lyons and Commissioner Bohn provided an update on the Columbia Gorge Community College's search for classroom space in Hood River, which includes a proposal to place portable classroom buildings on the Waterfront close to the Expo Building. The proposal also included a request to form a committee of Port and College representatives to formalize discussions of the College locating permanently at the Port. The Commission consented that an affirmative response should be sent to the College indicating the Port's willingness to work with them and suggest that a representative from the Chamber of Commerce, the current Expo Center Building tenant, be included in the proposed committee.
§ President Lyons recognized and congratulated Commissioner Hosford on a recent competition in which his men's chorus, which was ranked fifth going into the competition, placed first.

6. ITEMS FROM WORK SESSION: President Lyons recapped the Hood River Waterfront Developer Term Sheet that was reviewed and modified during the work session discussion and stated the Commission would need to decide on a timeline for the Request for Proposal, and to whom the RFP would be issued.

Motion: Move to approve the Term Sheet as modified and direct staff to prepare a Request for Proposal.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

The Commission then voted on the developers who would receive the RFP, consenting that a developer would need the vote of at least three Commissioners in order to continue in the process. The Commission also consented that Request for Qualifications respondents A-1 Hospitality and DM Stevenson Ranch would not be considered in the vote because their interest was limited to hotel facilities only. A show of hands was taken and unanimous votes were cast for developers William Smith Properties, Gerding/Edlen Development Company, and Heritage Investment Corporation. Center Oak Properties, which was represented by Harper Houf Righellis, Inc., received the votes from Commissioners Bohn, Hosford, and Streich.

Motion: Move to authorize the Executive Director to send the Term Sheet Request For Proposal for additional information, including a timeline schedule, to developers William Smith Properties, Gerding/Edlen Development Company, Heritage Investment Corporation, and Center Oak Properties.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

The Commission consented that review of the RFP responses may result in narrowing the field of developers to be considered and finalists would be invited to the July 15 Commission meeting.

7. NEW BUSINESS:

a) ODOT Construction Permit:

Motion: Move to authorize the Executive Director to sign and submit the construction permit to the Oregon Department of Transportation for the Second Street Project.
Move: Bohn
Second: Streich
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

b) Ordinance Regulating Conduct on Port Property: Executive Director Harlan commented that Ordinance No. 22 is intended to serve as a last resort in dealing with unusual circumstances and would allow staff to request assistance from local authorities accordingly. For the official record, it was announced to the audience that a copy of Ordinance No. 22 was available for each person who desired a copy.

Motion: Move to authorize the Ordinance be read by title only.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

Commissioner Duckwall read "Ordinance No. 22 - An Ordinance Regulating Conduct on Port Property and Repealing Ordinances."

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

Motion: Move to adopt Ordinance No. 22.
Move: Hosford
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

Attorney Jerry Jaques reviewed the process to enact the ordinance on an emergency basis and stated the ordinance would become effective immediately upon unanimous passage by the Commission. Executive Director expressed his appreciation to the Commission for their approval of the Ordinance 22, which would allow staff the authority to deal with extraordinary circumstances.

c) AWOS Grant Resolution 2002-03-4:

Motion: Move to adopt Resolution 2002-03-4 accepting a Federal Aviation Administration grant for an Automated Weather Observation System at the Ken Jernstedt Airfield.
Move: Streich
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Lyons, and Streich
MOTION CARRIED

d) Event Site Overlength Fee Increases: Executive Director Harlan expressed there was a difference of opinion from the May 6, 2003 motion concerning daily fees to be charged for overlength vehicles at the Event Site. Due to mechanical problems, the tape did not record the discussion so Harlan requested the Commission clarify the ambiguities of the overlength vehicle daily fee.

Motion: Move to clarify that Event Site fees for the 2003-2004 season for overlength vehicles exceeding 22 feet be $10.00 for a day pass and $100.00 for a season pass.
Move: Bohn
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

e) College Letter of Support - SB 720: Executive Director Harlan commented that SB 720 would provide the College with $9.35 million in facility funding, with $3.75 million being earmarked for a Hood River facility. If approved as drafted, the bill would require matching dollars from other money funding sources.

Motion: Move to direct staff to prepare a letter in support of SB 720, to be signed by the President, and sent to the appropriate legislators.
Move: Streich
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

f) Approval of Accounts Payable:

Motion: Move to ratify the action of the Finance Committee's authorization to approve accounts payable in the amount of $7,285.00.
Move: Bohn
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Lyons
MOTION CARRIED

g) River Walk Benches: Mike Doke informed the Commission of unused grant monies that could be used for benches and landscaping for the Marina River Walk. Doke reviewed the local vendors that had been contacted and responses that had been received and requested authorization from the Commission to negotiate for services, as reflected in the Marina Master Plan, prior to the June 30, 2003 grant deadline.

Motion: Move to authorize an expenditure not to exceed $4,850 for benches to be placed along the Marina River Walk.
Move: Hosford
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

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Motion: Move to authorize an expenditure not to exceed $12,000 for landscaping along the Marina River Walk.
Move: Hosford
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

h) Key Development Acceptance Date Extension:

Motion: Move to authorize a two-week extension, if needed, to Key Development's May 22, 2003 acceptance date of the Columbia Building in order to address building inspection issues.
Move: Duckwall
Second: Bohn
Vote: Aye: Bohn, Duckwall, Hosford, Streich, Lyons
MOTION CARRIED

8. EXECUTIVE SESSION: None.

9. NEXT MEETING DATE: June 3, 2003 at the Expo Center Conference.

President Lyons adjourned the meeting at 8:50 p.m.