Publisher’s Note

Port of Astoria’s willy-nilly approach to business bad for tenants, taxpayers

Volume 5: Issue 3 - 03/01/2010

By Susan Trabucco

Discussion continues in the community on the subject of the Port of Astoria’s interest in log exporting.

On Feb. 16 the port commission voted unanimously to accept a letter of intent from Westerlund Log Handlers of Bremerton, starting the clock on a 90-day window during which both the port and Westerlund have the opportunity to assess options regarding the deal.

I don’t know if a workable plan will be delivered or accepted by the port commission. But I think there is a greater issue at stake here than whether bark dust will be flying over Astoria like a cloud of locusts, or if residents and hotel guests in the area might be rattled out of bed by the log transfer process.

What strikes me in this is that for the port commission to even consider the idea of log exports at the port’s waterfront shows a complete and utter disregard by the current commission for a prior administration’s strategic plan, the taxpayer dollars it invested, and the tenants who liked what was presented to them and invested there.

The Port of Astoria’s 2000 strategic plan was touted as visionary, and as projects came on line, caught the attention of the State of Oregon – all the way to the governor’s office. The Port of Astoria gained fame in economic development circles for carrying out a successful maritime-related "industry cluster."

I feel I can speak with some authority on this issue. My work as an independent contractor for the Port of Astoria from May 2001 until about May 2006 was to communicate the port’s activities to the public via monthly paid newspaper space, a quarterly Web newsletter, and press releases when appropriate.

While the dismantling of the old Pier 3 warehouse pre-dated my work there, I watched and reported on the removal of oil tanks on port property and the subsequent development of the new Englund Marine building at the site. I wrote about the clean-up of junk-filled property where new light-industrial buildings were built and filled with tenants.

I chronicled major upgrades in two breakwaters, expansion of the West Basin marina, the move of Columbia Pacific Marine’s building, and development of the boatyard and haul-out facility.

Bornstein Seafoods’ new facility was one of the final projects I watched develop, and reported on for the port.

Millions of dollars were invested by port tenants during this time. In all, towards fulfillment of the 2000 strategic plan, something in the neighborhood of $26 million was invested by the port in maritime-related infrastructure.

Leadership at that time was comprised of former Executive Director Peter Gearin (now my husband, in the interest of full disclosure), and the prior commission of Don McDaniel, Glenn Taggart, Jim Bergeron, Larry Pfund and Dan Hess.

Those, my friends, were the good ol’ days of progress at the port.

The current port commission seems hell-bent on dismantling all that the prior administration accomplished, yet Pfund and Hess sat on that prior commission. Why do they want to take apart that which they created, and were so proud of at the time? And new personalities on the port commission added ego and private agendas to the mix—a combination leading to bad business decisions.

A U.S district judge stated in his recent Findings and Recommendations that the Port of Astoria’s failure to sign its lease obligation with Oregon LNG will "likely create public and business mistrust of doing business with municipalities."

This port commission’s willy-nilly approach to business further fosters business mistrust that will serve to unsettle tenants and discourage further investment in the maritime industry cluster.

 


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G.T. from Astoria
3/6/2010 10:10:56 AM

I don't understand what's going through Hess' mind. Maybe they hypnotized him. Pfund on the other hand has been and will always be a follower. In life there are drivers and there are passengers. I do find it unfortunate they are trying to roll back many years of hard work and public investment.


 
B.B. from Seaside
3/12/2010 12:06:30 PM

For all your protestation that the previous port board was "touted as visionary" I would ask how much the port will profit from the Oregon LNG lease? It has now been forced to renew a lease that provides NO PROFIT for the port. This agreement was made by the previous board. Now to the detriment of the current board they have no choice but to honor a 30 YEAR lease that fails to provide ANY INCOME for the port. This so called "...vision..." allows for Oregon LNG to lease land at a CONSIDERABLY reduced rate due to the agreements made by the previous board. Since you were an employee of Calpine now Oregon LNG during the time frame this lease was made. How much did you have to do with this fiasco??? Just one of the many issues, the previous board approved, that haunt the current board. Your idea of "...vision..." is obviously tainted by your close (and now married) relationship to the NOW DISGRACED board president Peter Gerin.


 
A.H. from Astoria
3/21/2010 11:22:06 PM

I don't pretend to know all that many here apparently know or understand. But at some point, it seems useful to focus on a larger picture, perhaps differently than I've seen anyway. Regarding the log export proposition, it seems rather strange to consider that this isn't a maritime business that ought to be able to be accommodated inasmuch as exporting logs by ship would seem to meet any reasonable definition of a maritime operation: Clatsop and surrounding counties in OR & WA have plentiful logs to export; Astoria has a close port from which to ship them. Ergo, what's not to like, given the revenues that will accrue to the Port, which ought to be doing just this sort of thing to earn its keep. I would hope there is a solution where concerns of existing tenants can be worked out. I can certainly understand why Englund would want to see the Port retain its boat yard proximity to its wonderful, new store, which is hardly mobile. I understand those who worked hard on a strategic plan in prior years might feel justified in asking for answers and receiving input. I cannot imagine that any strategic plan is so cast in concrete that it can't adjust to opportunities or, for sure, economic conditions, both of which are always capable of turning out to be quite different than projected or desired. We are living in rather difficult economic times, and the more rosy general business expectations that were probably part of the motivations behind previous boards at the port only a few years ago have truly disappeared in more ways than one. Revenue of any kind that can be acquired by the Port ought to be seriously considered, but with due regard for the current tenants, who ought to also be understanding of the need for the Port to operate its business in a viable, profitable manner.