Legislature(1993 - 1994)
02/24/1994 05:00 PM House TRA
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
HOUSE TRANSPORTATION STANDING COMMITTEE
February 24, 1994
5:00 p.m.
MEMBERS PRESENT
Representative Richard Foster, Chair
Representative Gary Davis, Vice-Chair
Representative Eldon Mulder
Representative Al Vezey
Representative Bill Hudson
MEMBERS ABSENT
Representative Jerry Mackie
Representative Curt Menard
COMMITTEE CALENDAR
Presentation by Port of Bellingham.
WITNESS REGISTER
JIM DARLING, Director
Port of Bellingham
625 Cornwall Avenue
Bellingham, WA 98227
206-676-2500
BRUCE AYERS
Bellingham City Council
c/o Port of Bellingham
625 Cornwall Avenue
Bellingham, WA 98227
206-676-2500
MIKE BRENNAN, President
Whatcom County Chamber
c/o Port of Bellingham
625 Cornwall Avenue
Bellingham, WA 98227
206-676-2500
SCOTT WALKER, Commissioner
Port of Bellingham
625 Cornwall Avenue
Bellingham, WA 98227
206-676-2500
PETER ZUANICH, Commissioner
Port of Bellingham
625 Cornwall Avenue
Bellingham, WA 98227
206-676-2500
ACTION NARRATIVE
TAPE 94-5, SIDE A
Number 000
CHAIR FOSTER called the meeting to order at 5:05 p.m. He
welcomed the Port of Bellingham (POB) representatives and
thanked them for the summer tour in which he had
participated last August.
Number 029
JIM DARLING identified himself as Acting Executive Director
for the POB, and thanked the committee for the opportunity
to make the presentation. He stated that there were two
issues in particular which he wished to comment on. The
first was the airport, which serves the northwestern part of
Washington. He said last year the runway was extended from
5000 to 6800 feet. In addition, they are replacing the
Winnebago control tower with a tall one, and will be
installing additional navigational aids. He stated that
this project would give them the ability to attract airlines
which would perhaps then renew their direct links between
Bellingham and Alaska, both for passengers and cargo.
Number 082
MR. DARLING identified the other project as the Multimodal
Facility Fairhaven Station, which was made possible through
a series of federal and state grants, as well as local
contributions by the port. This facility will be within
several hundred feet of the ferry terminal and will include
a bus facility and train terminal. He concluded by making
the point that, since the ferry came, this project has
always been what was envisioned as the next step, and
represents a recommitment to the ferry terminal.
Number 146
BRUCE AYERS introduced himself as being with the Bellingham
City Council, and confirmed Mr. Darling's assertions that
the community is recommitted to the ferry and port. He
mentioned moving ahead their truck route, onto the freeway,
as one of the recent steps taken, as well as working on more
landscaping, perhaps adding a motel, etc., all working
toward the goal of making the port more of a hub.
Number 184
REPRESENTATIVE DAVIS asked if the POB operates under an
enterprise fund-type situation, and if the combination bus/
train/ferry complex is an industrial development site.
Number 188
MR. DARLING responded that the Port Authority is a special
district in the state of Washington, and their boundaries
are co-terminus with Whatcom County. He added that they
have taxing authority, with about 25% of their revenue
coming from property taxes, and 75% from operating fees,
leases and rents. The Port Authority uses a single fund,
but has separate cost centers. The new transportation
location is such a separate cost center. He said that they
don't do too well, financially, with the transportation
location, but the new Amtrak and Greyhound links will
certainly help, and are attracting new cruise vessels. He
concluded with the point that the facility has many spin-off
benefits for the community.
REPRESENTATIVE DAVIS asked if the airport is included in the
Port Authority.
MR. DARLING responded that the Port Authority operates the
airport, marinas, the passenger facility, a break bulk cargo
terminal, and they are one of the largest property owners
and operators, from retail to heavy industry, renting out a
diverse range of property.
Number 216
MIKE BRENNAN identified himself as being with the Bellingham
Chamber of Commerce, and noted he'd had the pleasure of
addressing the committee for four years ago now. He
mentioned past discussions of the Canadian impact on the
Whatcom County. In 1991 they had about 31 million Canadians
come into town; now the numbers are dropping due to a lower-
valued Canadian dollar. However, they are having a good
deal of growth and development, and folks are coming into
Bellingham to do their regional shopping. Bellingham, as a
community, is going through a transition; he sees it as a
host community.
Number 244
REPRESENTATIVE DAVIS asked Mr. Brennan how the Chamber
reacts to government owned property that is leased to
hotels, etc., and if they had a lot of complaints from
private enterprise regarding the competition, or if they did
fair market value leases so that they are on par with
private enterprise.
Number 252
MR. DARLING responded that they do fair market leases,
though they have some historical leases, which may be below
market value, to stimulate economic development; but in the
not too distant past, they will go completely to fair market
leases, for precisely the reason brought up in
Representative Davis' question.
Number 262
MR. BRENNAN made the point that the state of Washington is
the only state in the nation which has a constitutional
preclusion where the public sector cannot in any way benefit
in activities on the private side. And Port Authorities was
created to act in a quasi capacity between government and
the private sector, so they have the bonding capability and
are expected to do the capital improvement processes
necessary through the bonding programs available to them, to
enhance community-size activities.
Number 270
SCOTT WALKER identified himself as Commissioner of the POB,
and added that Washington is somewhat different in Port
Authorities, as all the commissioners are elected rather
than appointed. The sensitivity to the private sector is
reflected in the campaigns.
Number 292
CHAIR FOSTER asked how long the terms are.
Number 296
MR. DARLING responded that they are six year terms, but
there's some variation.
Number 298
CHAIR FOSTER asked what kind of constituency it is.
Number 300
MR. DARLING responded that it is county-wide.
Number 303
CHAIR FOSTER asked what became of the controversy relating
to taxes on cargo ships.
Number 305
MR. BRENNAN responded that the state of Washington has a
sales tax exemption for residents of Alaska, the U.S. Virgin
Islands, American Samoa, the Province of Alberta -- those
states or provinces which do not charge a sales tax. He
added that the new omnibus tax act in Washington attempted
to eliminate Alaskans' sales tax exemption, and would only
allow it for people from Oregon, but the Governor line-item
vetoed it.
Number 328
MR. DARLING made the point that the POB works very closely,
and has a very good relationship with, the Marine Highway
staff.
Number 334
COMMISSIONER WALKER stated that he felt more of a
partnership with Alaska than the Seattle group. He then
presented the Transportation Committee with a picture of the
POB.
Number 348
CHAIR FOSTER expressed thanks and appreciation for the
picture, as did other committee members.
Number 353
PETER ZUANICH identified himself as Commissioner of POB, and
made the point that MCI owns a shipyard immediately adjacent
to the ferry terminal, and on POB property, which is
probably the favorite shipyard in the United States for the
Alaska Ferry System -- they can't say too many good things
about them.
Number 368
CHAIR FOSTER thanked Reed Stoops for his part in keeping the
committee informed.
Number 381
MR. DARLING invited the committee to attend the opening of
the Multimodal Facility in October 1994.
Number 389
CHAIR FOSTER adjourned at 5:30 p.m.
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