Minutes of September 14, 2004 Work Session/Regular Meeting 
Port of Hood River Commission
Expo Center Conference Room
 6:30 P.M.

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

Absent: Commissioner Don Hosford

Media: None

President Sherry Bohn called the Commission into work session at 6:35 p.m.

1. WATERFRONT PLANNING: The Commission and guest Bob Francis, Hood River City Manager, discussed a proposed Letter of Intent regarding the acquisition and development of a park at the waterfront. Francis reported the City Council had approved the Letter of Intent at their September 13, 2004 meeting, which will be signed by Mayor Paul Cummings. There was Commission consensus that no changes needed to be made to the Letter of Intent dated September 14, 2004.

Executive Director David Harlan and Bob Francis reported a consultant has been hired by the City to find a remedy for the odor problem at the wastewater treatment plant. The Port has been asked to contribute $1,200 towards the $5,000 study cost.

Public hearings on the waterfront zone (Ordinance 1851) will go before the City of Hood River Planning Commission on September 22, and the City of Hood River Council on September 27. The Real Estate Committee met prior to tonight's meeting to discuss the Port's presentation that will be given, and President Bohn requested the Commissioners attend the public hearings. The following dates were identified: September 22, Planning Commission public hearing on Ordinance 1851; September 27, Council meeting on Goal 5 and review of Planning Commission's direction on Ordinance 1851; and October 12, Council public hearing on Ordinance 1851. Port staff will obtain the most current version of Ordinance 1851 from City staff to distribute to the Commission. City Manager Bob Francis commented that he anticipated the City would finalize an Ordinance regarding the Goal 5 riparian inventory and meet the deadline of the first or second week of October, which is when the Oregon Department of Land Conservation and Development next meets.

President Bohn closed the work session at 6:55 p.m., and called the regular session to order at 7:05 p.m.

1. INTRODUCTIONS: Bob Francis, Hood River City Manager; Linda Maddox, Kathy Watson, and Mark Worth introduced themselves.

2. MODIFICATIONS, ADDITIONS TO AGENDA BY COMMISSIONERS: Items added to the agenda at this time included action to be taken under New Business regarding Commissioner Lyons's letter of resignation.

3. UNSCHEDULED ITEMS FROM THE GENERAL PUBLIC: None.

4. APPROVAL OF MINUTES:

Motion: Move to approve the August 17, 2004 work session/regular meeting minutes.
Move: Lyons
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Lyons, and Streich
Absent: Hosford
MOTION CARRIED

5. REPORTS:
a) Executive Director:
· Bridge Update: Executive Director Harlan reported the bridge would be closing one hour earlier, at 9:30 p.m. instead of 10:30 p.m., beginning September 15. Harlan reported there was a 50-minute delay in the bridge opening on the morning of Monday, September 13, due to an equipment malfunction of the crane and that the Port did not have the ability to waive the liquidated damages that would be imposed on the contractor, as required by the contract. Harlan reported that HNTB, the Port's bridge engineering firm, continues to work on a remedy for the now-absent rub rail, but that no further progress has been made on a feasibility study for a new Columbia River bridge crossing.
· Waterfront Update: There was no further discussion on the waterfront from Executive Director Harlan or the Commission. Marketing Manager Mike Doke reported on the meeting he attended regarding the wastewater treatment plant odor problem. Septic wastes will continue to be received at the Hood River site because the closest alternate sites are located at Troutdale or Goldendale. Remedies for the odor problems being considered by the City's consultant are to accept the septic wastes at an on-site, independent storage facility and to test chemicals or the introduction of bacteria to reduce the odor.
· Big 7/College Update: The Third Floor Tenant Improvement Project is nearing completion. Columbia Gorge Community College is moving furniture in this week and classes will begin as scheduled on September 27; and the College has planned an Open House for October 8. Executive Director Harlan requested a New Business agenda item addition at this time to consider adjusting the start date of the College's lease payments from the original date of August 1 to mid-September. Harlan reported that the Hood River Electric Cooperative NOA Net fiber run from the Big 7 Building to Sprint's central office on State Street had been completed and that the project cost came in under budget.
· Wasco Business Park Update: Executive Director Harlan reported that Marketing Manager Mike Doke is attending weekly project meetings. Harlan commented that he would be talking with Oregon Department of Transportation Region 1 planners regarding conflicting reports on whether or not a traffic light is warranted at the intersection of Rand and Cascade.
· Waterfront Recreational: As requested by the Commission at the August 17 meeting, Executive Director Harlan brought a recommendation back to the Commission regarding the request from Mark Worth of Gorge Wind Guide Service for a concession permit refund for the gravel placed by Worth at the Spit in late May. Harlan emphasized the good relationship the Port has with Worth, but recommended that a refund not be made for precedent-setting reasons only. Harlan stated that rent reductions have not been allowed for hangar tenants who have offered to mow the airfield or snowplow access to hangar openings. President Bohn requested formal action be taken on the staff recommendation under New Business.
· Waterfront Industrial: Executive Director Harlan reported the Hood River County Community Corrections Department would terminate its lease at the UTS Portsite building as of September 30, 2004, and that an existing Port tenant is considering relocation to the Portsite building.
· Airport: Mike Doke reported that he would schedule a meeting with Airport Committee members Fred Duckwall and Hoby Streich to discuss the Airport Master Plan.
· Other: Executive Director Harlan reported the quarterly Oregon Economic and Community Development Department (OECDD)/Ports meeting will be held on October 8 in Hood River.

b) Other:
· Community Relations Committee: Commissioner Streich thanked staff for the great organizational job relative to the September 2 Business After Hours. The consensus from attendees, Commission, and staff was that the lack of alcohol was not a concern. Executive Director Harlan and his son, Ned, were thanked for attending the Business After Hours just hours after the birth of the Harlan's daughter. President Bohn related comments that people didn't know many of the businesses existed, or that they were Port tenants; and Mike Doke commented that the tenants appreciated the opportunity to meet one another.
· Real Estate Committee: Commissioner Lyons had no further comments to add from the Work Session discussions.

6. ITEMS FROM WORK SESSION:

a) City Wastewater Treatment Plant Study:

Motion: Move to approve a $1,200 contribution to the City of Hood River's study of the wastewater treatment plant odor study.
Move: Lyons
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Lyons, and Streich
Absent: Hosford
MOTION CARRIED

b) Letter of Intent:

Motion: Move to authorize the Commission President to sign the September 14, 2004 Letter of Intent, regarding the acquisition and development of a park at the waterfront, which has been approved by the City of Hood River Council.
Move: Lyons
Second: Streich
Vote: Aye: Bohn, Duckwall, Lyons, and Streich
Absent: Hosford
MOTION CARRIED

7. NEW BUSINESS:

a) Big 7 Change Orders:

Motion: Move to approve Big 7 Building "Third Floor Tenant Improvement" Change Order No. 4 for a roof system repair in the amount of $4,344; and Change Order No. 5 for visual fire alarms and additional light fixtures in the amount of $1,955.
Move: Duckwall
Second: Streich
Vote: Aye: Bohn, Duckwall, Lyons, and Streich
Absent: Hosford
MOTION CARRIED

b) Approval of Accounts Payable: None.

c) Columbia Gorge Community College Lease:

Motion: Move to modify the lease payment date from August 1 to September 15 for the Columbia Gorge Community College lease at the Big 7 Building.
Move: Lyons
Second: Streich
Vote: Aye: Bohn, Duckwall, Lyons, and Streich
Absent: Hosford
MOTION CARRIED

d) Gorge Wind Guide Service Request: There was Commission consensus to accept staff's recommendation not to offer a concession permit refund to Mark Worth. Worth, who operates a kiteboarding concession from the Spit, approached the Commission at the August 17 meeting requesting a refund in the form of rent reduction for the rock he placed to curb blowing dust. Commissioner Lyons reiterated that precedent should not be set and informed Worth, who was present, that his request should have been brought to the Port at the time the rock was placed. Commissioner Duckwall stated that any refund considered by the Port should be for the service provided and not a rent reduction. President Bohn concurred with staff's recommendation that dust abatement at the Spit should be reviewed with Maintenance realizing that the kiteboarding season starts earlier, and lasts longer, than the windsurfing season. Worth was given an opportunity to respond, stating that he accepted the Port decision, and presented a visual sample of the rock and debris uncovered by the blowing winds.

e) Commissioner Lyons's Resignation: Citing a desire to spend more time with his grandchildren, and having recently accepting a Board position with Apollo Diamond, Inc., a Boston-based technology company, Commissioner Lyons submitted his Letter of Resignation from Position #3 effective September 30, 2004.

Motion: Move to accept Bill Lyons's letter of resignation as Port of Hood River Commissioner, Position No. 3, effective September 30, 2004.
Move: Duckwall
Second: Streich
Discussion: Lyons was thanked for his service to the Port District since January 1998 by Commissioners Bohn, Duckwall, and Streich who commented that Lyons's expertise would be sorely missed, and that without Lyons's leadership and working relationship with City staff and council the Port would not be as close to having a zone in place, and realizing a quality development on the waterfront.
Vote: Aye: Bohn, Duckwall, and Streich
Abstain: Lyons
Absent: Hosford
MOTION CARRIED
8. EXECUTIVE SESSION: None.

9. NEXT MEETING DATE: The Commission will meet on Tuesday, September 28, 2004 at 11:00 a.m. for a planning session at the Expo Center Conference Room.

President Bohn adjourned the meeting at 7:40 p.m.

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Minutes of September 28, 2004 Work Session/Regular Session Meeting
Port of Hood River Commission
Expo Center Conference Room, 11:00 A.M.

THESE MINUTES ARE NOT OFFICIAL, as they have not been approved by the Port Commission. These minutes are for review and are subject to change and/or approval at the October 4, 2004 meeting.

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

Absent: None

Media: None

President Sherry Bohn called the Commission into Work Session at 11:10 A.M. for the purpose of discussing waterfront planning and developer negotiation issues. Executive Director David Harlan stated that the usual fall planning session regarding asset performance and fiscal policies would be held later this fall and that most of this Work Session would be conducted in Executive Session. Attorney Jerry Jaques said the Executive Session is required because it involves negotiation issues pertaining to the Development Agreement with William Smith Properties, which are confidential.

Because of the four public persons present, the Commission agreed to start with a discussion of E.D. Hovee's Waterfront Real Estate Market Assessment final draft version. New additions and revisions not included in the first draft were discussed. The Commissioners are to forward to Harlan all questions and information they feel need to be clarified in advance of the October 6 presentation by Hovee. Commissioner Lyons thought the underlying conclusion that Hovee makes in this study is that people-related activities at the site will be the key to successful development.

Linda Maddox asked why "policy issues" to be discussed were not public? Attorney Jaques replied that the agenda probably should have read "negotiation issues". The discussion's purpose is to prepare for negotiating a contract with Mr. Smith. President Bohn stated it is important for the Commission to reach consensus on several of Mr. Smith's negotiation points prior to the Development Agreement finalization process. Commissioner Duckwall stated that this discussion is to prepare for the contract between the parties; the public process would be later in the master planning process. Commissioner Lyons stated that based on his other projects, Mr. Smith is public-minded and has good ideas and he engages the community in his planning processes.

President Bohn called the Commission into Executive Session under ORS. 192.660(1)(e) Real Property at 12:00 p.m. At the conclusion of Executive Session, the Commission was called back into Regular Session at 4:25 p.m. No action was taken as a result of Executive Session.

On behalf of the full Port Commission and staff, President Bohn presented Commissioner Lyons with a parting gift and thanked him for his excellent work in serving the people of the Port District and for his accomplishments since 1998, in particular his impact on the waterfront planning process with the City and the establishment of the community college campus in Hood River. Commissioner Hosford had to leave at 4:35 for another commitment.

APPROVAL OF MINUTES:

Motion: Move to approve the September 14, 2004 work session/regular meeting minutes.
Move: Lyons
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Streich, Lyons
Absent: Hosford
MOTION CARRIED

INFORMATION-COMMUNICATIONS
a) Executive Director's Report
· Commission Appointment: Harlan reported several people have picked up applications. Interviews are set to begin at 6:00 p.m. Monday, October 4.
· Fall Planning Session: Staff will send out some dates for October or November.
· Bridge Update: As of today, the bridge panels are 73% replaced. WSDOT will be working this week on the installation of the intersection traffic lights on SR 14 and will coordinate flagging with our project. The latest bridge inspection report indicated ongoing maintenance tasks that staff will use to determine a consistent bridge maintenance program. The bridge replacement feasibility study is on hold until Harlan meets with ODOT.
· Waterfront Update: Harlan reported the City Planning Commission meets tomorrow on the Ordinance 1851; the City Council will then review it October 12 and a final hearing after that. The Goal 5 Ordinance 1863 was passed by City Council on September 27.
· Big 7/College Update: Harlan reported that the college received a temporary occupancy permit and classes began this week. Commissioner Bohn gave kudos to Mike Doke who worked extra hard to get the college project completed. Bohn invited all the Commissioners to stop by the building and see the beautiful renovation. The Open House is scheduled for Friday, October 8.
· Wasco Business Park: Harlan reported that the building for Humanities is progressing well. Grant funds are being pursued for Humanities' moving costs. The Post Office is working on an earnest money agreement for its parcel.
· Airport: Mike Doke reported that the Airport Advisory Committee will be meeting soon to review the Airport Master Plan and discuss the correlated County Planning process.
· Other: Harlan said he is working with Bill Fashing, County Economic Development Director, to obtain training funds for Homeshield. They also are looking for extra storage space. Lastly, Harlan reported the Oregon Ports Group will be holding their quarterly meeting here in Hood River on October 8 at the Hood River Inn.
b) Commissioner, Committee Reports
· Commissioner Streich attended Urban Renewal and reported they have a new project to begin which will move utilities underground from First Street and State to Cascade Avenue.

Action Items:
a) Consultant Contracts: Tabled until after October 6.
b) Accounts Payable: None.

The meeting was adjourned at 4:55 p.m.