15 Jun Commission Special Meeting Minutes 5-31-22
PORT COMMISSION OF THE PORT OF EDMONDS MINUTES OF SPECIAL MEETING
(Via Zoom) May 31, 2022
David Preston, President
Steve Johnston, Vice President
Jim Orvis, Secretary
Bob McChesney, Executive Director
Brandon Baker, Director of Marina Operations
Tina Drennan, Manager of Finance &Accounting
Brittany Williams, Manager of Properties and Marketing
Jordan Stephens, Port Attorney
CALL TO ORDER
President Preston called the meeting to order at 6:00 p.m.
All those in attendance participated in the Pledge of Allegiance to the American Flag.
Commissioner Preston announced that the Commission would move into an executive session pursuant to
• Revised Code of Washington (RCW) 42.30.110(1)(b) to consider the selection of a site or the acquisition of real estate by lease or purchase, as public knowledge would cause a likelihood of increased price, and
• RCW 42.30.110(1)(g) to evaluate the qualifications of an applicant for public service or to review the performance of a public employee.
He advised that the executive session would end before 7:00 p.m., and the Commission would resume the business portion of the meeting at that time. No action would be taken during the executive session. The business portion of the special meeting resumed at 7:00 p.m.
COMMISSIONER ORVIS MOVED THAT THE CONSENT AGENDA BE APPROVED TO INCLUDE THE FOLLOWING ITEMS:
A. APPROVAL OF AGENDA
B. APPROVAL OF MAY 9, 2022 MEETING MINUTES, AS SUBMITTED
C. APPROVAL OF PAYMENTS IN THE AMOUNT OF $366,339.97
COMMISSIONER GRANT SECONDED THE MOTION, WHICH CARRIED UNANIMOUSLY.
Greg Jacobsen, Jacobsen’s Marine, advised that his company is eight years into the current lease. He recalled that he came before the Commission five years ago to report on their great relationship with the Port, noting at the time that the Port had delivered everything that was promised. He expressed his thanks for the good relationship that has continued. He reported that, aside from the lease revenue, Jacobsen’s Marine has contributed just short of $500,000 of other revenue (moorage, fuel, travelift, sling, etc.) to the Port. He specifically thanked Port staff for their assistance during the pandemic.
Commissioner Grant requested a report on boat sales, and Mr. Jacobsen’s answered that they can’t keep up with the demand due to supply chain problems. Commissioner Orvis commented that Jacobsen’s Marine has been a great addition to the Port and community. Mr. McChesney agreed that the relationship has been mutually beneficial for both the Port and Jacobsen’s Marine. He commended Port staff for the excellent service they have provided to the business.
NORTH PORTWALK AND SEAWALL DESIGN MODIFICATIONS
Mr. McChesney advised that, as previously discussed at the March Commission/Staff Retreat, one of the limiting factors for rebuilding the North Portwalk is the width of the walking surface, itself. Due to the Joint Aquatic Resources Permit Application (JARPA) constraints, the Portwalk cannot exceed its current over-water coverage. Although the conceptual design anticipates reducing the amount of obstruction into the Portwalk by the marina access gates, it cannot be entirely eliminated. The work around solution is to widen the Portwalk to the landside, which will require some degree of modification to the architectural, landscaping, parking lot, electrical distribution and other incidental plumbing changes. It is also important to note these modifications are not the final design. Currently, the project is at 60% design as required by the JARPA submittal. Once the JARPA process is complete, another set of design drawings will be necessary to get to 90% followed by final 100% design for bidding and construction sometime thereafter. These proposed interim design modifications take the project beyond 60%, but not to the full 90% (70% is a rough comparison). There is much more detailed design work to be done as the project moves forward over the next several months and into 2023-24 before it is ready to build. The first milestone is permitting, but they must also get the basic design correct for what they want to accomplish overall.
Ms. Williams shared some of the architectural features that will be included in the next iteration. She referred to the MAKERS addendum that was attached to the Staff Report, which addresses the necessary design additions and changes to get the project design to 100%. A lot of changes need to be made to increase the width of the Portwalk between Arnies and the Edmonds Yacht Club (EYC). As proposed, the north parking lot will be reconfigured, and the planter boxes will be replaced with a landscaped planter strip between the Portwalk walking surface and the parking lot. In addition to landscaping, the strip will include pedestrian lights and the electrical power transformers that will service the docks. New fixed seating will be implemented along the Portwalk, and the bollards will be removed from the design. The design team is working to incorporate recent feedback from Port staff for the guardrail design, which will now include a brushed aluminum cap, integrated lighting and anodized aluminum posts and pickets.
Ms. Williams advised that a major addition that the proposed addendum covers is a request for full, detailed design plans for both the upper and central plazas. While not included in the original scope of work, these full plans are needed for permitting and for use by other consultants. The concept designs are currently depicted in the renderings, but they need to be completed with the full design specifications for electrical, plumbing, civil and structural plans. The addendum will also cover some MAKERS participation in meetings and work sessions to finalize the designs, and they will provide concept estimates for all of the items in the final design.
Mr. McChesney summarized that the addendum is fairly comprehensive, and most of it is related to architectural and structural design elements. The total cost of the addendum is $130,135 (MAKERS—$89,755, CG Engineering—$25,000, Harbor Power—$9,180, Harris Group—$6,200). He recommended the Commission approve the additional service requests from the consultant design team as specified in the total amount of $130,135.
COMMISSIONER JOHNSTON MOVED THE COMMISSION AUTHORIZE THE EXECUTIVE DIRECTOR TO APPROVE THE ADDITIONAL SERVICE REQUESTS FROM DESIGNATED CONSULTANTS TO PERFORM SPECIFIED DESIGN MODIFICATIONS TO THE NORTH PORTWALK AND SEAWALL PROJECT AS SUBMITTED FOR A TOTAL AMOUNT OF $135,135. COMMISSIONER HARRIS SECONDED THE MOTION, WHICH CARRIED UNANIMOUSLY.
Commissioner Preston asked if there have been any comments about the night lights shining through the glass blocks. Mr. McChesney said there have been some tangential comments about that, but the Port hasn’t heard anything definitively from the agencies. He expects this will be part of the discussion as the process moves forward. Commissioner Grant noted that the glass block design is very similar to a project in the City of Seattle. Mr. McChesney noted that it was driven by the agencies’ requirement for light transmissibility. He added there is only one supplier in the country for the glass blocks, so they will be costly.
Commissioner Grant said that even people within the Port District who don’t own a boat use the Portwalk a lot. Mr. McChesney agreed and commented that the Port is in the “public access” business. Commissioner Grant said people have told him they appreciate that the current wood boards will be replaced, and Mr. McChesney added that the wood material is costly to maintain.
Commissioner Preston asked if some of the parking spaces could be a little wider to accommodate larger vehicles, and Commissioner Orvis pointed out that angle parking would work better for all sizes of vehicles. Mr. McChesney advised that the parking lot design would be consistent with the City’s parking code. Commissioner Preston agreed that angle parking would help, but he voiced concern that they wouldn’t be wide enough to accommodate trucks with mirrors, etc.
NEW ADMINISTRATION AND MAINTENANCE BUILDING PERMIT FEES
Mr. McChesney reported that the final plans and specifications for the proposed new Administration/Maintenance Building are complete and the project is out to bid. The building permit was approved on May 24th by the City’s issuance of a formal “Notice of Readiness,” but the actual building permit won’t be released until all the fees are paid and the general contractor has been named. The City is requiring a performance bond to cover $142,942.80. Because the Port has never had to get a performance bond, the actual cost has not yet been determined. It usually depends on the credit worthiness of the bond applicant. In the Port’s case, he anticipates the bond might be 3% to 5% of the bondable amount.
Mr. McChesney explained that this particular performance bond is required by the City as an attachment to the permit, and it guarantees the Port will complete all of the required elements of the project (i.e., landscaping, water and sewer hookups, etc.) The City will also require a maintenance bond. Commissioner Orvis asked if the Port would receive the bond money back at some point. Commissioner Preston stated that the bond would cost the Port about $7,000 to $8,000.
Because the Port is a government entity, Commissioner Grant suggested that they have a discussion with the City as to whether the bond requirement could be waived. Mr. McChesney agreed to raise this issue with the Planning Division Manager because it seems like an unnecessary imposition and cost carry given that the Port is a government agency. Commissioner Grant pointed out that taxpayer money would be used to pay the bonds.
Mr. McChesney summarized that the permit fee is $207,260.46, and an itemization of what that includes was attached to the Staff Report. It includes a grading and fill permit, building permit, mechanical permit, plumbing permit, sewer permit, three water meter permits, and a right-of-way permit. He explained that the City has costs associated with the permits, too.
Commissioner Grant noted that the City denied the Port’s request to waive the transportation study requirement. He suggested that Mr. McChesney raise this issue one more time with the City’s new Community Development Director.
COMMISSIONER GRANT MOVED THAT THE COMMISSION AUTHORIZE THE EXECUTIVE DIRECTOR TO PAY THE CITY OF EDMONDS BUILDING PERMIT FEES FOR THE NEW ADMINISTRATION AND MAINTENANCE BUILDING IN THE AMOUNT OF $207,260.46 AND OBTAIN A PERFORMANCE BOND OF $142,942.80, IF REQUIRED. COMMISSIONER ORVIS SECONDED THE MOTION, WHICH CARRIED UNANIMOUSLY.
HARBOR SQUARE BUILDING 1 ELEVATOR PIT REPAIR CONTRACT NO. 2022-407 16D LLC
Mr. McChesney reviewed that Harbor Square Building 1 has an elevator that services tenants, and the Department of Labor and Industries (L&I) conducts an annual inspection of the equipment, including the pit. The Port was notified there was water accumulating in the bottom of the pit, which is an infraction. A contractor was engaged in 2021 to remedy the situation with an injection of material into the walls to seal, but the floor condition was unknown at that time. The contractor successfully sealed the stem walls per request. However, water then started accumulating from the bottom of the floor pit, which was again noted by the L&I inspector, and another infraction with an urgent order to address was issued.
Mr. McChesney further reviewed that the Port engaged CG Engineering in the amount of $5,000 to examine the issue, and it was determined that the floor was inadequately constructed with an inferior depth of 4 inches when the code requires a 12-inch pad. This resulted in failure allowing ground water to enter the pit. Plans were drawn up and submitted to the City for a permit at a cost of $1,249. The project requires supervision by an elevator technician ($7,779.20), who will suspend and safely secure the elevator car in place following L&I procedures. Port staff will construct and supply steel shoring ($5,000) to build the interior cribbing to hold the carriage up. A Municipal Research and Services Center (MSRC) Roster contractor, 16d llc, was direct awarded a contract using the approved process for projects under $40,000. They will excavate the bottom of the pit ($28,240) and reinforce properly with a new concrete slab with bentonite strips and advanced materials to rectify the issue.
Because there was some residual contamination under the Harbor Square Buildings from the previous Unocal oil tank farm, Mr. McChesney announced that the Port has engaged Landau Environmental Associates to supervise the testing and proper disposal methods for the soils that will be removed from the site. The cost of this testing has yet to be determined. He advised that the project is scheduled to start on July 5th and should be completed in two weeks. He said Ms. Williams has coordinated the schedule with the tenants in Building 1, and they have all been cooperative.
In anticipation that this same problem could arise in the other Harbor Square Buildings, Commissioner Orvis suggested that the Port save the steel cribbing that is used for this project.
Commissioner Grant asked if the elevator pit met the code requirements at the time it was built. If not, he questioned how the elevator passed inspection by L&I. Commissioner Orvis said a rash of things were done that did not meet the code requirements in place at the time of construction. He recalled that some of the elevator shafts flooded years ago and were pumped out. Mr. McChesney pointed out that the fact that the elevator was approved by L&I 30 years ago is largely moot, since the regulations are continually changing.
Commissioner Grant asked if there would be any opportunity for mitigation from Unocal if contamination is found. Commissioner Johnston answered that the issue has already been settled, and the Port received money from Unocal at the time. He noted that the intersection of Dayton Street and the railroad tracks was the site of an old oil depot. Some remediation was done previously and trenching did not reveal further contamination. He doesn’t anticipate a significant problem with the soils that are removed for this project.
NEW ADMINISTRATION AND MAINTENANCE BUILDING ENERGY MODEL AND LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED)
Mr. McChesney announced that plans and specifications for the new Administration/Maintenance Building have been completed, and the project is currently out for bid. Bid opening is scheduled for June 17th, and construction is expected to start on or about July 11th.
Mr. McChesney advised that he had a conversation with the project architect last week regarding the project’s LEED status. There appears to be some miscommunication about the scorecard, which is just proforma at this stage and is based on an evaluation of the design. The Wildan Energy Model has been completed and increased energy optimization from 18% to 35%, which means there is a good possibility to achieve LEED Gold Certification. The project’s LEED point target total increased from 53 to 57, further solidifying the potential of achieving LEED Silver Certification, and LEED Gold Certification requires a minimum of 60 points. As mentioned at the retreat, there really needs to be at least 63 points in order to provide some padding. At this time, the Port remains intentionally conservative until the project team completes the LEED required calculations.
Mr. McChesney summarized that the LEED scorecard is still a work in progress. Jackson Main and RWDI still have to submit the design to Green Business Certification, Inc, (GBCI), who will have the final say in how many points the project will qualify for. The submittal to GBCI won’t happen until after construction begins, and most likely not until the end of July. Then the actual documentation process will begin, but the final points tally won’t be known until the building is about 90% complete. At that time, they will be able to determine whether the project will qualify for Silver or Gold Certification and/or how many additional points will be needed to obtain Gold Certification. Salmon Safe Certification also remains an option for the new building, but they won’t move that process forward without further consideration and discussion near project completion. As discussed earlier, the Port is not willing to spend additional dollars on Safe Salmon Certification if design changes are required. If Safe Salmon determines the design is consistent with their standards, perhaps the Port will pay the extra dollars for certification. Commissioner Orvis pointed out that Salmon Safe Certification has to be renewed every few years, and there will be a fee attached each time.
Commissioner Grant agreed that there is value associated with LEED certification. However, it is important to note that when the program first came out, projects were much further away from certification. More stringent code requirements are now in place, and projects can comply with the requirements of LEED Silver Certification just by meeting the current code requirements. It is also important for the public to understand that LEED Certification will have a cost that is paid by the taxpayers.
EXECUTIVE DIRECTOR’S REPORT
Mr. McChesney did not have any other items to report.
COMMISSIONER’S COMMENTS AND COMMITTEE REPORTS
Commissioner Johnston reported that he attended a number of different presentations relative to the economic status of Snohomish County. He learned that Snohomish County has an unemployment rate of under 4%, but it only counts people who have actively looked for work in the last four weeks. There are key reasons why people have dropped out of the workforce or changed employment status. These include: retirement, pursuing additional education, moving out of the area and starting their own business. Currently, the labor market is very tight and is anticipated to last for at least one or two more years. Employees are looking for experience, flexibility, work/life balance, and fulfillment. The workplace has changed and people no longer want to commute every day, and they don’t require a lot of support. While the Port has less ability to address some of these desires, they are doing a particularly good job in other areas, leading to greater employee retention.
Commissioner Harris reported that she has had some discussions about the Port’s mission and vision. However, due to her schedule, she has asked Commissioners Grant and Johnston to move the discussion forward. She recalled that, at the retreat, the Communications Committee was charged with reviewing the Port’s Strategic Plan and Mission Statement and outlining potential changes. Once draft documents have been prepared, she will work with Mr. McChesney on a plan for bringing the proposed changes forward to the Commission.
Commissioner Johnston reminded Commissioner Harris that they were also going to meet to review some open action items that have been identified in the environmental plans. He suggested that the Environmental Committee meet soon to talk about these issues, and Mr. McChesney agreed to schedule the meeting.
Commissioner Orvis said he listened to the Snohomish County Executive’s recent update and learned the following:
• He wants the makeup of Snohomish County’s employees to more closely resemble the county’s population.
• The Meadowdale Beach Park Project is probably the most significant environmental project going on right now and involves building a new trestle to open up the marsh land, improve the stream, provide more access to the beach, and do something positive for salmon. The project appears to be progressing well.
• People are still moving to Snohomish County, and the Cascade Industrial Park at the Arlington/Marysville border is thriving.
• The Port of Everett and Paine Field are drawing a lot of business. Some of the skilled workforce is not going back into King County, and more small businesses are opening. A good section of the tourist expansion is small business.
• Paine Field makes more money than SeaTac, due to all of the industrial businesses surrounding it, including Boeing. SeaTac brings in clear about $20 million per year, and Paine Field brings in about $60 million per year. Alaska Airlines will increase flights to 25 per day and will remain the only airline at Paine Field. Things are expanding at Paine Field, which is one of the largest job generators in the county right now.
Commissioner Grant reported that he met with Councilmembers Tibbott and Chen, and he attended a day-long Puget Sound Maritime Disaster and Resilience Regional Workshop on April 24th. Participants included representatives from Canada and Alaska, local legislators, United States Coast Guard, Washington State Department of Transportation, Washington State Ferries, Global Diving and Salvage, and a number of ports in the State. The focus was on deciding what they need to work on and anticipating future challenges. They unanimously agreed that the first and most important step is to form a Communications Committee.
Commissioner Grant also reported that he attended the recent Edmonds City Council meetings where he made a statement relative to the waterfront study, which he previously submitted to Mr. McChesney. He reminded the Council that several governments and stakeholders, including the Port, should be involved and the process will not go quickly. He also reminded them that there are things the City can control and things it cannot control. The City wants to incorporate the study into the Parks, Recreation and Open Space (PROS) Plan so it is important to have a community discussion relative to the future of the waterfront.
Commissioner Grant said he spoke with the Edmonds Community Development Director, Susan McLaughlin, who was present to brief the City Council on the waterfront study. However, the discussion was postponed until June 7th. Following the Council briefing, the study will be presented to the Edmonds Planning Board for a public hearing and recommendation. A Planning Board Member raised the idea of doing a scientific shadow performance report, and he discussed this option with the Director, who thought that would be a prudent step to take.
Commissioner Grant reported that the City Council passed an ordinance relative to overnight camping on public property. In order to make an arrest, the City must be able to offer the person shelter within 35 miles and a few other caveats. They did not address recreational vehicles (RVs) parking on City streets, but he noted that the City of Seattle has recently decided to start enforcing their 72-hour parking rule for everyone, including RVs.
Commissioner Grant also reported that he attended a virtual Federal Emergency Management Agency (FEMA) Grant Program, and he can forward a recorded audio of the meeting to interested Commissioners and Port staff.
Commissioner Grant announced that he asked staff to register him to attend a two-day Shoreline Master Program (SMP) Seminar that will focus on coastal permitting rules.
Commissioner Preston reported that he attended some recent Downtown Edmonds Merchant Association (DEMA) and Edmonds Downtown Alliance (ED) meetings. Downtown businesses are booming and things are going well. However, they have some concerns about what the City Mayor might possibly do with the neighborhood meetings and if its really just an agenda to get to closing Main Street again. There are strong feelings both ways. They announced that the Edmonds Wine Walk is scheduled for June 25th.
Commissioner Orvis asked when the Sea Jazz Performances would start again, and Ms. Williams answered that the main performances would start on June 17th, but a guitarist will start on June 4th. She agreed to provide an update on the summer schedule at the Commission’s next meeting.
Commissioner Preston announced that the Commission would adjourn back into an executive session at 8:06 p.m. as per RCW.42.30.110(1)(g) to evaluated the qualifications of an applicant for public-service or to review the performance of a public employee. The executive session concluded at 8:20. No action was taken.
The Commission meeting was adjourned at 8:21 p.m.
Port Commission Secretary