Minutes of February 1, 2005 Regular Session Meeting
Expo Center Conference Room, 7:00 P.M.

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

Absent: None

Media: Mark Bailey, KIHR Radio; and RaeLynn Ricarte, Hood River News

1. CALL TO ORDER: President Bohn called the regular session to order at 7:01 p.m.

a) Introductions: The Commission welcomed Mark Bailey, Andrew Ball, Paul Blackburn, Bob Francis, Kris Gann, Linda Maddox, RaeLynn Ricarte, Linda Rouches, and Jim Schlemmer to the meeting.

b) Modifications, Additions to Agenda by Commissioners: None.

2. PUBLIC COMMENT: None.

3. APPROVAL OF MINUTES:

Motion: Move to approve the January 18, 2005 (work/regular sessions) meeting minutes.
Move: Streich
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

4. INFORMATION-COMMUNICATIONS:

a) Executive Director:
· Bridge Update: Executive Director David Harlan reported that preliminary committee data from Oregon Department of Transportation (ODOT) Exit 64 brainstorming meetings relative to local trip alternatives is available for review at the Port Office. Harlan stated cost factors have eliminated some of the twelve scenarios, and it has been estimated that more than $7 million in funding streams will need to be identified to resolve traffic backups at the Exit 64 ramps, which ODOT now recognizes as being a problem. Harlan also reported the Port's lobbyist, Ball Janik LLP, has submitted a request for $540,000 in federal funds to be used for engineering and design work for one of the local trip alternatives-a vehicle bridge that would parallel I-84 to the north and cross the Hood River. Harlan was cautious about funding because of the difficult funding climate in Washington, D.C. and stated big cuts are expected when the President releases his proposed budget. Harlan commented there was nothing new to report on the resolution of a supposed archeological finding involving a bridge redecking sub-contractor's worksite on the Washington side of the bridge.
· Waterfront Update: Although the Hood River City Council approved the Waterfront Park IGA at Council's January 24 meeting, the Port had hoped for further discussions with the City before action was taken. Issues raised by Port Attorney Jerry Jaques were scheduled on the Agenda for discussion by the Commission under Action Items.
· Wasco Business Park Update: A settlement is expected soon on the liquidated damages claim involving JAL Construction who had the infrastructure contract at the Wasco Business Park site. Harlan also reported that Mike Doke, Marketing Manager, continues to work with potential buyers and that Attorney Jerry Jaques has finalized the development standards for basic requirements and restrictions that were presented in draft form at the January 18 Commission meeting.
· Big 7/College Update: A development analysis summary of the Technology Center was provided for informational purposes, and the liquidated damages claim with Betz Construction for the Third Floor Tenant Improvement project was on the agenda to be discussed as an Action Item.
· Waterfront Recreational: Harlan briefly commented on the scarcity of dredging funds.
· Waterfront Industrial: Homeshield, a Port tenant on the waterfront, has outgrown their current site sooner than expected. The Port and Hood River County's Economic Development Coordinator have worked to identify shovel-ready, affordably priced industrial land to keep the jobs in Hood River, but the 10 acres needed by Homeshield is unavailable. A January 26 story in the Hood River News indicates that Homeshield may eventually relocate to The Dalles or Dallesport.
· Airport: The Request for Qualifications (RFQ) for Airport Consulting Professional Services were reviewed by members of the Airport Advisory Committee and a recommendation will be discussed under Action Items. A potential property acquisition will be discussed in Executive Session and, depending on the outcome, could delay the runway lighting project.
· Other: Harlan reported that he and various Commissioners would be attending the annual Special Districts Association of Oregon conference in Portland February 10-13, and the Pacific Northwest Waterways Assocation annual Mission to Washington, D.C. from February 26 through March 4, which affects the March 1 Commission meeting date. Harlan also commented that it's time to start thinking about the budgeting process and the spring Planning Session.

b) Other: None.

5. ACTION ITEMS:

a) Big 7/Columbia Gorge Community College - Liquidated Damages: Third Floor Tenant Improvement Project construction delays resulted in lost rent to the Port as well as overtime, labor and actual expenses to the College. The liquidated damage assessment to Betz Construction is approximately $1,600. Staff would like the ability to negotiate the amount down in the interest of quickly resolving the matter.

Motion: Move to approve staff to negotiate the liquidated damages clause of the Big 7 Third Floor Tenant Improvement Project contact with Don Betz Construction by setting a minimum of $1,200.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

b) Ken Jernstedt Airfield - Airport Consulting Professional Services: To qualify for Federal Aviation Administration (FAA) grant funds for capital improvement projects, the Port was required to follow the FAA process of soliciting qualifications from various firms and then rank at least three firms against specific FAA criteria. Project discussions would then be initiated with the number one ranked consulting firm to define a scope of work and services to be provided for each project. Mike Doke, Marketing Manager, explained if negotiations were not successful with the top ranked firm, the Port could negotiate projects with the second and third ranked firms identified through responses to the Request for Qualifications (RFQ) solicitation process. Four responses were received from the twenty-two RFQs that were issued to firms and plan centers. Members of the Airport Advisory Committee ranked Century West, W&H Pacific, David Evans and Associates, and Mead & Hunt one through four, respectively.

Motion: Move to approve Century West as the preferred engineering firm to discuss and negotiate work for capital improvement projects at the Ken Jernstedt Airfield; and that W&H Pacific and David Evans and Associates are identified respectively as the second and third ranked firms.
Move: Watson
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

d) Accounts Payable: None. Action Items c) and d) were taken out of order because it was known the Waterfront Park IGA discussion would be lengthy.

c) Waterfront - Park IGA: Attorney Jerry Jaques introduced discussion points he felt needed to be considered by the Commission regarding the Intergovernmental Agreement Waterfront Zone-Park IGA (1/24/05 version) adopted by the City Council on January 24. President Bohn invited comments from City Manager Bob Francis, Mayor Linda Rouches, and Councilor Paul Blackburn.

When Commissioners identified some topics as not being serious issues to them, Commissioner Duckwall pointed out that there had to be controls in the IGA by way of meaningful clauses as a protection to all parties. Duckwall stated he felt the Commission didn't need to come to a solution tonight but that a position needed to be taken to allow staff to work on the issues with the City. Duckwall thanked Jaques for doing his job of pointing out the "red flags" in this legal document.

The following represents a synopsis of the issues and verbiage that still need to be discussed at Port and City staff level, and with exceptions noted, there was Commission consensus.

· Lot 7 setback boundaries, Lot 6 northerly and western boundaries, and zoning of Luhr Jensen's parking lot not currently under Port lease need to be clarified for the IGA and Ordinance 1851's Exhibit G. President Bohn and Commissioner Watson stated they would like to find a compromise on the boundary issue to avoid any substantive changes that would reopen the hearing process on 1851. According to Bob Francis, Exhibit G was prepared by Mike Shrankel, Hood River County GIS Coordinator, using Ordinance 1851 and a draft map provided by the Port as references. It was suggested that Shrankel and Roy Gaylord of Terra Surveying should meet to clarify Lot 6 boundaries on Exhibit G and that text added to Exhibit G would further clarify the boundaries.
· Will the transfer of Lot 6 to the City trigger the dedication of Portway Avenue as a public street? Jerry Jaques had discussed this issue previously with City Attorney Alexandra Sosnkowski, who talked with City Planning Director Cindy Walbridge thinking the dedication may be conditional until development occurs. It was determined that language regarding Portway dedication, and resulting costs associated with street standard improvements and development costs should be added to the IGA so it doesn't later become a problem.
· Protective language should be considered regarding the timing of the Lot 6 conveyance until all appeal periods have expired relative to Ordinance and Lot 6 partition approvals.
· "Permanent restrooms" referenced in the IGA was not clarified as to men's and women's, or unisex. President Bohn felt there was no impact on having unisex restrooms, and Commissioner Watson stated the Park Development Committee (PDC) should be trusted to make the restroom decision. The Commission was comfortable with allowing the decision to be made by the PDC.
· If the park plan substitution language is deemed as ambiguous then reversion is at issue. President Bohn and Commissioner Watson, however, felt this was not a serious issue because both felt a park would be developed and reversion would not come into question. It was determined, however, that Port staff will work with City staff to define this section of the IGA language, which will also be included in the deed, to address substitution of minimum park standards for a different set of standards and how that substitution occurs.
· As added protection to the City, the Port is recommending the 30-Days' Notice language be clarified that notice would be given to the City before, and not after, the park maintenance covenant is breached, which could trigger the reversion. Commissioner Watson stated that she did not feel the issue was a major problem.
· New language added by the City requiring the Port to extend the seven year reversion period was questioned citing an example that the Port may be obliged to extend or possibly waive reversionary interests as a provision in a grant that exceeds $25,000. Commissioner Watson stated that as many barriers as possible should be taken down relative to money being raised for the park. Jaques will talk to Sosnkowski about this language not being included in the deed.
· The Port will request that the City not transfer the City's assignment of the property title to a non-profit entity and recommend a language substitution that would allow a lease.
· Language on approval of the PDC park plan, to include amended plans, should clarify if it's discretionary or mandatory.
· An added sentence in the 'Covenant Not to Sue' was discussed as being vague and too broad and having the potential of affecting land use decisions years from now. It was agreed this section needed to be clarified.
· A suggestion will be made to move the added last sentence in the 'Future Re-Zone Application Expectation' relative to the Port's and the City's acknowledgment of the public's support to either the Recitals and/or Miscellaneous Provisions sections of the IGA.

The correction of a few typos in the City IGA will be pointed out when Port and City staff meet to discuss the above concerns.

6. ANNOUNCEMENTS: Bob Francis, speaking as the City Manager, asked that his disappointment of the Port not taking action tonight on the Waterfront Park IGA be noted for the record. Francis indicated that he had wished the Port's laundry list of issues had been discussed with City staff prior to Council's approval of the IGA at its January 24 meeting. President Bohn thanked Francis for his comments but indicated it was the impression of Port staff and Commission that discussions were to continue before either party took action. Mayor Linda Rouches acknowledged the hard work put into the IGA by both the City and Port, and stated she believed the Council thought it was doing a good thing by voting on the IGA on January 24. Rouches also stated she thought many of the issues discussed tonight were good additions to the IGA. Rouches did ask, however, if there would be another "ping pong" match of issues? It was agreed that no later than February 9 a meeting involving Harlan, Francis and attorneys Jaques and Sosnkowsi would be held to discuss tonight's issues. Commissioner Watson then recommended a joint special meeting of the Port and City staff, Commissioners, and Councilors to approve the IGA.

Commissioner Watson, who was appointed in October 2004 to fill a vacancy whose term expires on June 30, 2005, announced that she would file the appropriate paperwork to run for election to Commission Position No. 3.

7. EXECUTIVE SESSION: President Bohn called the Commission into Executive Session under ORS 192.660(2)(e) Real Property at 9:45 p.m. At the conclusion of Executive Session, the Commission was called back into Regular Session at 10:05 p.m.

a) Executive Session Action: No action was taken as a result of Executive Session.

8. ADJOURN: President Bohn adjourned the meeting at 10:05 p.m.

Minutes of February 15, 2005 Port of Hood River Commission Special Meeting
Expo Center Conference Room
5:00 P.M.

Present: Commissioners Sherry Bohn, Fred Duckwall, Hoby Streich, and Kathy Watson; Attorney Jerry Jaques; from staff, David Harlan, Mike Doke, Linda Shames, Linda Hull, and Laurie Borton; guests Bob Francis, City Manager; Linda Rouches, Mayor; AJ Kitt, City Councilor; Ann Frodel, City Councilor; Linda Maddox, Andrew Ball, and Jim Schlemmer

Absent: Commissioner Don Hosford

Media: None

President Bohn called the Special Meeting to order at 5:03 p.m. for the purpose of continuing discussions of the draft Intergovernmental Agreement Waterfront Zone-Park IGA. Bohn requested that a consensus be reached by the Commission on whether or not the Port would deed Lot 6 to the City as originally proposed or consider a lease option, which was a scenario discussed at a February 7 meeting involving Port Executive Director David Harlan, Port Attorney Jerry Jaques, City Manager Bob Francis, and City Attorney Alexandra Sosnkowski. A detailed discussion by the Commission, with input from City representatives, included:

1. Lot 6 Area and Roadway Issues. The consensus reached by the Commissioners present was that the Port would deed, rather than lease, Lot 6 to the City. City Manager Bob Francis illustrated how he believed Lot 6 boundary changes could be addressed administratively without triggering substantive changes to zoning Ordinance 1851. A developed park on Lot 6 requires public access, and Portway Avenue is a private roadway. Dedicating Portway as a public street may requirement improvements, such as sidewalks, lighting, and bike routes. Commissioner Duckwall stated, however, that the Port should not be required to fund any Portway Avenue improvements that the City may require. Francis did not know if the current Council would relax standards, but stated he would have a City Engineer verify by the end of the week which waterfront roads were built to city standards. Attorney Jaques presented the option of a license or easement being granted to the City by the Port, which Francis was familiar with from a project in Pennsylvania.

2. Timing of the Lot 6 Transfer. It was the recommendation of Attorney Jaques that the IGA language be clear that the conveyance of Lot 6 should not occur until after all Ordinance 1851 appeal periods have expired and after the expiration of the appeal period for a partition.

3. Bathrooms. At the February 1 meeting, the Commission confirmed they were comfortable with allowing the Park Development Committee (PDC) to make the decision regarding men's and women's, or unisex bathrooms. Attorney Jaques stated basic standards from the Urban Land Institute require separate bathrooms. The Commission present reached consensus that the IGA language needs to clarify a unisex bathroom is a permissible deviation from the basic standards.

4. Park Plan Substitution. It was the consensus of the Commission present that Attorney Jaques would draft language to show the process if a substitution occurs.

5. Thirty (30) Days Notice. The IGA, as currently written, does not clarify when notice of failure to maintain the park would be given. The Commission agreed the language should be clarified.

6. Assignment. Commissioner Watson reiterated the consensus from the February 1 meeting that the park should not be assigned to a non-profit entity.

7. PDC Plan Approval. Attorney Jaques basically agreed with Attorney Sosnkowski's recommended verbiage "Prior to the park plan being implemented, the Park plan must be approved as modified by the City and Port," but stated he would change the language slightly.

8. Covenant Not to Sue. Attorney Jaques was still unclear as to the City's language and concern. City Manager Bob Francis recommended that Jaques talk directly with Sosnkowski for a clarification.

9. Reversion. Park perpetuity, funding choices, roadblocks in grant applications, and developer opinions of draft zoning Ordinance 1851 were discussed at length. Attorney Jaques and City Manager Bob Francis had differing opinions as to which Oregon Revised Statutes (ORS) relative to "relinquishing title of property" (ORS 271.330) or "relinquishing reversionary interest" (ORS 271.335) was more applicable. Both statutes reference 20 year timeframes.

President Bohn questioned if the reversion clause would cause limitations, or denials, of grant requests? Commissioner Watson contended it would be an easier decision for a grantor to award funds if a reversion clause was not involved. Watson also commented on Bohn's question about funding reimbursement if a reversion clause were to kick in by saying the problem would go away if the Port were to indicate Lot 6 would remain a park forever. Commissioner Duckwall stated the Port has a fiduciary responsibility to any waterfront developer to maintain the value of the whole area. If Lot 6 remains a brown parcel due to lack of funding, then it's a breach of responsibility to the developer according to Duckwall, who reminded the Commissioners the idea of Tax Increment Financing has not been supported by the City, and questioned whether or not the community would support a bond measure for development and maintenance of a park. Watson responded that a credible group started working on funding just last week.

Commissioner Streich raised the question of eliminating the reversion clause if it was the biggest roadblock to the IGA, to which President Bohn stated the Port would be responsible for the Park if Lot 6 were to revert back. Executive Director Harlan stated a 7-year versus 20-year reversion would be a substantive change to the IGA and emphasized that decisions need to be guided by the Port's strategic plan. City of Hood River Mayor, Linda Rouches, acknowledged that the City had agreed with the Port on a reversion clause, but commented that April 15 was a deadline for some grant applications and if the timeline was missed the next window of opportunity would be two years from now.

Commissioner Duckwall requested a discussion on the option to lease rather than deed Lot 6 to the City. President Bohn stated a lease did not make the perpetuity issue go away, and that the City was not crazy about the idea. Attorney Jaques reviewed the advantages stating lease amendments could occur as conditions change; a lease may not have as much negative impact, although the psychological issue of control could be perceived; a partition process, which requires a road dedication and improvements, would not be a requirement of a lease; and a lease has many renewable options. Jaques further stated a lease would still have built-in standards regarding park development and maintenance, and further stated that if money were not available to develop a 6-acre park, then the money should be used to develop a 2-½ acre park, for example. Jaques emphasized that the lease option has not been suggested as a vehicle for a park not to happen, but to facilitate its happening. Harlan commented the lease was discussed with the City as a flexibility issue. Mayor Rouches stated trust would be the issue if Lot 6 were not given to the City and thought it would open the door to appeals.

Commissioner Duckwall stated there was nothing wrong in asking the City to look at both the IGA and portions of draft zoning Ordinance 1851 to repair problems before both have been approved. President Bohn did state the process has been 'give and take' but Duckwall argued that the City hasn't given much and the Port has been making all of the concessions. When Harlan commented the Port didn't make the choices that limited funding with risks coming back to the Port, Commissioner Watson replied that Harlan did not speak for the entire Commission that draft Ordinance 1851 wasn't workable-she thought it was, and the Commission should move on. Harlan, responding to Commissioner Duckwall's comments, stated he believed that the City had not addressed all of developer William Smith Properties, Inc. questions. City Manager Bob Francis stated he believed emails between Smith and City Planning Director Cindy Walbridge would indicate Smith's issues had been addressed. Duckwall commented that financial and marketing consultants, and not just Smith, had issues with the zone so why not revisit portions if that option exists?

President Bohn then polled the Commission on whether the IGA should be redrafted to provide for Lot 6 to be deeded or leased by the Port to the City.

Commissioner Duckwall - deed, but that the Port should not fund road improvements
Commissioner Streich - deed
Commissioner Watson - deed
Commissioner Hosford - absent
President Bohn - deed

Bohn then asked for opinions on the reversion clause in order to direct staff to redraft the IGA. Commissioner Watson stated language should indicate the Port intends to maintain the future use of the property as a park or whatever is required of the grant administration rules. Commissioners Streich and Duckwall objected, stating that there was not a consensus to include such language. Commissioner Watson suggested setting a percentage threshold for park funding that if achieved would result in the Port waiving its reversion rights. Commissioner Duckwall stated the financial responsibility for the park should not come back on the Port if Lot 6 reverts.
Attorney Jaques summarized that he would redraft the IGA by taking the reversion out of the deed by replacing it with a contractual obligation between the Port and the City providing for a deed transfer allowing the City and others to pursue outside funding without threat of reversion. If outside funding is received and development occurs, park use would continue in perpetuity as long as basic maintenance standards are met.

If the City or other parties are unsuccessful in raising money to build and maintain a park, transfer of the property would come back to the Port within a specified time period.

AJ Kitt, Hood River City Council, commented on the noble intent by the City, Port, and community to ensure the park is developed and maintained but was still concerned about the reversionary "red flag" language that may be an impediment to a granting agency. President Bohn stated she believed the IGA language would legally address the issue.

Director Harlan reiterated that we all want the park to be a success as well as have an assurance that the parcel remains an added value to all of the Port's waterfront property.

President Bohn adjourned the special meeting at 7:05 p.m.

Minutes of February 22, 2005 Regular Session Meeting
Port of Hood River Commission
Expo Center Conference Room, 7:00 P.M.

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

Absent: None

Media: None

1. CALL TO ORDER: President Bohn called the regular session to order at 7:00 p.m.

a) Introductions: Bob Francis, City Manager; Linda Rouches, City Mayor; Andrew Ball, Kevin Donald, Kris Gann, Linda Maddox, and Jim Schlemmer introduced themselves to the Commission. Late arrivals included Susan Froehlich and Andy von Flotow.

b) Modifications, Additions to Agenda by Commissioners: Agenda additions under Information-Communications to discuss moving forward with Port-selected members to the Park Development Committee was requested by President Bohn, and a discussion on Measure 37 (Oregon's recently passed property rights law) as it might relate to the airport's future was requested by Commissioner Streich.

3. APPROVAL OF MINUTES: Commissioner Hosford, who was unavailable to attend the February 15 special meeting, requested the approvals be considered separately as he had comments and questions for clarification.

Motion: Move to approve the February 1, 2005 (regular session) meeting minutes.
Move: Duckwall
Second: Streich
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

Commissioner Hosford asked about Commissioner Watson's comment on the group that was already working on park funding and was advised that the "Friends of the Waterfront Park" was a "pre-Park Development Committee" volunteer group looking at fund raising. Hosford then commented that minutes from a February 8 City Council meeting directing City staff to continue with the IGA and pursue the idea of a 99-year lease contradicted comments that the City was not crazy about the lease option. Noting the email by Bill Smith stating he'd had no further discussions with City staff after the December joint meeting regarding zoning issues, Hosford stated he did not feel it was appropriate that a Commissioner criticized Executive Director Harlan at the February 15 for failing to coordinate another meeting.

Motion: Move to approve the February 15, 2005 (special session) meeting minutes.
Move: Streich
Second: Watson
Vote: Aye: Bohn, Duckwall, Streich, and Watson
Abstain: Hosford
MOTION CARRIED

4. INFORMATION-COMMUNICATIONS:

a) Executive Director:
· Bridge Update: Executive Director David Harlan reported the Oregon Department of Transportation (ODOT) has retained $327,000 from Christie Constructor's bridge redecking contract because of the unresolved archeological issue involving subcontractor Elder Construction's demolition worksite on the Washington side of the bridge. Elder Construction has reported a cost of $53,470 for gravel removal to determine if there is any hazardous waste contamination but the "catch-22" question is what effect the gravel removal will have on the supposed archeological finding? Harlan also reported the City of Bingen has apparently passed a resolution calling for a 25 cent increase in the bridge toll that would be dedicated to a new bridge construction fund. At the invitation of Port lobbyist Ball Janik LLP, Harlan reported that he attended a fundraising breakfast hosted by Oregon Congressman Peter DeFazio, whose guest was Rep. Jim Oberstar, the ranking Democrat on the House Transportation and Infrastructure Committee. DeFazio is the ranking Democrat on the Surface Transportation Subcommittee and both gentlemen are influential in TEA-21 priority project requests.
· Waterfront Update: Harlan commented that a request from a waterfront tenant would be discussed in Executive Session. Harlan reported that Port attorney Jerry Jaques was working on revising the draft Waterfront Park Intergovernmental Agreement (IGA) based on discussions from the February 15 special meeting. Harlan stated that he and Jaques would meet again with City Manager Bob Francis and City Attorney Alexandra Sosnkowski later in the week, and Harlan hoped a clear understanding would be reached on Lot 6 dimensions so that Roy Gaylord of Terra Surveying could be directed to finalize a Lot 6 map and legal description. Waterfront zoning Ordinance 1851 concerns of developer William Smith Properties, Inc., some of which are shared by the Port, and in Harlan's opinion are still unresolved following a joint Smith/Port staff/City staff meeting in December 2004, would also be discussed with the City. President Bohn stated she was under the impression that the City thought Smith's issues had been addressed. Commissioner Duckwall commented if zoning questions still exist and it was the opinion of the City attorney that specific issues could be reopened then there was no harm for Harlan and Jaques to revisit those questions at the City meeting. Duckwall stated it was Smith's right and opportunity to do so. President Bohn reiterated her concern that the outcome would cause substantive changes to 1851. Duckwall responded by stating repairs should be done before the zone is passed rather than patching it later, and that it made sense to have the discussion to determine if the City is willing to reopen the hearing process on specific sections of the zoning ordinance. Commissioner Watson commented the Port should verify if the concerns were Smith's alone or mutual, and that she remained satisfied with the City going forward with 1851 as is. Commissioner Hosford stated his preference was that any ambiguities should be cleared up now. Commissioner Streich questioned staff on their understanding of how the December meeting concluded and then commented he believed the issues were addressed in a January 6, 2005 letter from City Planning Director Cindy Walbridge.
· Wasco Business Park Update: The scheduled completion of the Humanities Software building has been pushed into June. Harlan reported that discussions would need to take place with Columbia Building owner Key Development and tenant DaKine Hawaii, who will occupy the current Humanities space, to negotiate a short-term extension for Humanities until the Wasco Business Park building is ready for occupancy. Harlan reported a Change Order would be considered under Action Items, and the JAL Construction liquidated damages claim would be discussed in Executive Session.
· Big 7/College Update: Harlan reported that he had been contacted by Columbia Gorge Community College (CGCC) advising they are still interested in siting a college campus on the waterfront and that a committee will be identifying other prospective locations within the next 60 days.
· Airport: Harlan stated a property transaction would be discussed in Executive Session.
· Other: Harlan reported that he and President Bohn and Commissioner Hosford would be attending the Pacific Northwest Waterways Association annual Mission to Washington, D.C. from February 26 through March 4. The "Frontage Road Crossing," and "Waterfront Parkland Development" appropriations projects would be discussed. Harlan also reported the Oregon Downtown Development Association, working under contract for Hood River County, would be analyzing county-wide housing needs, and that the Port has been asked to contribute towards the cost of the analysis.

b) Commissioner, Committee Reports:
· Agenda Addition: President Bohn asked if the timing was appropriate to authorize Terra Surveying to proceed with a legal description for Lot 6? President Bohn then asked about the timeframe on obtaining an appraisal? Harlan stated an industrial appraisal was not within the Scope of Work the Commission had previously authorized for Don Singer of Integra Realty; Harlan further stated he was unsure of Singer's availability and if an appraisal would be a shared cost with the City pursuant to the IGA. Commissioner Watson recommended moving ahead with an industrial appraisal if there were no other issues, which was also the consensus of Commissioners Duckwall, Hosford, Streich, and President Bohn.

At 7:48 p.m. President Bohn apologized for unintentionally skipping comments from the public, which is agenda item number 2, and asked if anyone in the audience had comments for the Commission.

2. PUBLIC COMMENT: Susan Froehlich asked the Commission to move forward on the Waterfront Park IGA for a park on Lot 6. If the process is stalled, Froehlich stated grant funding would dry up. Froehlich also asked that the Commission keep its promise to hand over Lot 6 to the City and that it be as close to 6 acres as possible.

President Bohn then returned to the agenda to continue "Commissioner, Committee Reports."

· SDAO Conference: Commissioner Watson highlighted a creativity session, commenting that it becomes easy to miss "out of the box" thinking when boards become focused on projects; a strategic plan development session brought attention to the fact that it's not just an internal document; and the board tune-up session touched on the considerations that electronic mail may be considered public meetings, and that Commissioners may be personally liable for a $1,000 fine if open meeting laws are violated.
Commissioner Hosford attended a session on building a great board and as a result asked Executive Director Harlan to schedule a retreat because Hosford felt the Commission may be "heading down a slippery slope." Harlan commented that retreats were helpful and he would suggest one be held prior to the Strategic Planning session. Harlan had contacted Gwen Griffith with Speer, Hoyt, Jones, Feinman, Poppe, Wolf & Griffith, P.C. who was available the first two weeks of April, and whose preference was a Friday. Harlan stated the retreat work session would begin at approximately 9:30 a.m. and run through mid-afternoon. There was Commission consensus with Duckwall agreeing a retreat would be helpful and a good thing to do; Streich was also in agreement; Watson stated a March date would be easier for her but if the retreat were to be scheduled in April, the first of the month would be better because her restaurant in Bingen was scheduled to open April 7; and President Bohn asked for consideration in working around professional schedules and asked that a retreat not be scheduled close to Blossom Festival weekend.
· Agenda Addition: Commissioner Streich reported he had met Eric Burnette, at the request of President Bohn, regarding the Benton families Measure 37 claims. Streich stated airports often close down because of housing developments and asked if the Port should be working with the County regarding the Oregon property rights law? Commissioner Watson was of the opinion that colleges and airports make communities viable and questioned if Streich was correct that development would affect the airport's operations? Commissioner Duckwall stated the Port should be working with the County and not private citizens.
President Bohn reported she and Mayor Linda Rouches co-authored an editorial opinion, which they hoped would be printed in the Hood River News, regarding March 8 Ballot Measure 14-22 to be voted on by city residents. Rouches and Bohn are urging a "no" vote so that protection of riparian areas (statewide land use Goal 5) on the waterfront and elsewhere within the City of Hood River are not removed.
President Bohn then requested the Commission consider appointments to the waterfront Park Development Committee (PDC) in anticipation of finalizing the IGA. After discussion, staff was directed to begin the advertisement process in the Hood River News and the Port's website. Bob Francis, City Manager, reported the Council had already appointed Christine Knowles as one of three City representatives and that the Council would discuss two other PDC appointments at its February 28 meeting. Francis noted that "Friends of the Waterfront," a pre-PDC fundraising group chaired by Knowles, would request $5,000 from the Oregon Investment Board (OIB) as a match to the $5,000 seed money for administration costs that will be given to the PDC by the Port.

5. ACTION ITEMS:

a) Wasco Business Park - Humanities Change Order: Finance Manager Linda Shames summarized the Change Orders as reviewed and recommended by DiLoreto Architects for the addition of one electric wall heater; door latch change outs; and a reduction in cost for some waterproofing that was not required.

Motion: Move to approve the Humanities Building change orders (proposal request numbers 8, 9, and 10) in the total amount of $1,924.63.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

b) Wasco Business Park - Requirements and Restrictions: Executive Director Harlan commented the Covenants, Conditions and Restrictions (CCR's) document written by Attorney Jaques defines basic requirements required of a quality development and addresses storm water runoff maintenance. Commissioner Watson commended Jaques for the good job on the CCR's.

Motion: Move to approve the Wasco Business Park Declaration of Covenants, Conditions and Restrictions.
Move: Watson
Second: Duckwall
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

c) Accounts Payable: A letter with and attached invoice from the Oregon Downtown Development Association was presented for Commission approval.

Motion: Move to approve a request from the Oregon Downtown Development Association (ODDA) to contribute $1,125 towards a Hood River countywide housing needs study.
Move: Duckwall
Second: Watson
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

6. ANNOUNCEMENTS: None.

7. EXECUTIVE SESSION: President Bohn called the Commission into Executive Session under ORS 192.660(2)(e) Real Property and ORS 192.660(2)(h) Litigation at 8:20 p.m. Upon conclusion of Executive Session, the Commission was called back into Regular Session at 8:58 p.m. The following action was taken as a result of Executive Session:

Motion: Move to resolve the Wasco Business Park claim against infrastructure contractor JAL Construction by dismissing the liquidated damages charges.
Move: Duckwall
Second: Hosford
Vote: Aye: Bohn, Duckwall, Hosford, Streich, and Watson
MOTION CARRIED

8. ADJOURN: President Bohn adjourned the meeting at 8:58 p.m.