PORT ANGELES — A $200,000 grant from the state Department of Ecology will help the Port Angeles Harbor-Works public development authority learn more about how the former Rayonier pulp mill site can be redeveloped, its top official says.

The authority, created in 2008 by city and port governments in Port Angeles, is in the middle of a $380,460 “due diligence” phase to study economic aspects of redeveloping the 75-acre site still owned by Rayonier Inc. at the foot of Ennis Street.

“We have expended about $180,000 in consultant services — including engineering, environmental and marketing studies — to aggressively pursue the due diligence,” said Jeff Lincoln, Harbor-Works’ executive director.

“Ultimately, this will help us show the public how we can best take advantage of the Rayonier land.”

Assessments, analyses

The grant will pay for environmental assess-ments, market analysis, cultural review and habitat assessments, Ecology said in a news release.

After the data are analyzed, Harbor-Works will decide whether to purchase the property that is contaminated with pockets of PCBs, dioxin and arsenic.

A decision will be made next August, Lincoln has said.

“We feel it’s important Harbor-Works and the public understand what would be entailed if it ends up purchasing the Rayonier property,” said Rebecca Lawson, regional lead for Ecology’s toxic cleanup program.

“The work they’ll do under this planning grant should pave a solid path toward answering many critical questions.”

The grant will go before the Harbor-Works board at its January meeting for formal acceptance.

Harbor-Works applied for the grant in June.

In separate reports to the Harbor-Works board and the Port Angeles City Council on Nov. 15, Lincoln outlined three options for the site:

•Alternative A: Describes a diverse development with marine, retail, residential and industrial uses.

•Alternative B: Includes marine, retail and residential development but adds a cultural hub to capitalize on the potential for finding historical Klallam artifacts.

• Alternative C: Focuses on marine industries and includes a marina and an industrial area.

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Reporter Paige Dickerson contributed to this report.

Reporter Rob Ollikainen can be reached at 360-417-3537 or at rob.ollikainen@peninsuladailynews.com.