Port of Port Townsend purchases 3.4 acres for future industrial park

Agency intends to use space for economic development

PORT TOWNSEND — The Port of Port Townsend’s future industrial park, located on 24 acres south of Jefferson County International Airport, got a little bigger when commissioners unanimously agreed to purchase 3.4 acres of vacant land between the park and Four Corners Road.

The $250,000 property and closing costs will be paid for with Industrial Development District funds.

Commissioners on Wednesday also unanimously approved a $600,000 public infrastructure fund grant application and a $400,000 match that would contribute toward the construction of about 500 feet of road on its new property purchase to connect the industrial park to Four Corners.

Design of the industrial park is already underway, and access to Four Corners was critical to the port’s plans for the site as an economic hub and job generator.

Executive Director Eron Berg said the port is partnering with Jefferson PUD on the road project.

“It is about $1.1 million in electrical infrastructure that puts redundant power to our property and also provides a new main feeder from the Four Corners substation through the port’s property to Kala Point and the surrounding area,” Berg said.

“We will have adequate power and water for any anybody that wants to locate there: a foundry, a cold storage facility. It would all be ready.”

The PUD will invest about $925,000 in the road project, Berg said. It is seeking a reimbursement of $175,000 from the port, which Berg said the agency will pay with PIF funds.

The port’s portion of the project will be funded with $775,000 in IDD funding and $425,000 in PIF funding.

It was a lot of money for the port, Berg said, but it will put them in a good position when competing for funding for the next phase of developing the property for economic development.

“There are people in our community right now who need that space for their businesses to grow,” Commissioner Pam Patranek said.

The port’s year-to-date revenues are stable and close to budget, said Connie Anderson, the director of finance and administration. Overall net operating revenue of $4.82 million was $33,450 more than last year. Overall year-to-date expenditures of $4.18 million are $560,000 more than in 2023.

Commissioners discussed leasing hangar pad site 6 at Jefferson County International Airport to Dave Ward, who wants to build on the site.

There had been concern that developing the site would circumvent the port’s plans to develop the pad site itself. But Ward’s intention to begin building as soon as a lease is signed means the port could offer more much-needed hangar space; the lease itself would generate about $15,000 in revenue for the airport next year.

Commissioners said they want to see a plan to create vehicle access to the site because it currently can only be reached via the taxiway, and that creates safety risks for ground and air transportation.

Commissioners agreed to have Berg draw up a lease for their approval at their next meeting on Sept. 25.

During the Wednesday morning workshop, Matt Klontz, the director of capital projects, shared with commissioners a draft of the port’s $145.155 million five-year capital improvement plan and funding sources.

Boat Haven Marina would see the most attention, with more than $80 million in projects, including a $5.23 million stormwater improvement project that is scheduled for next summer and the $5.125 million west expansion of the boatyard. The biggest cost would be the $66.6 million sea level rise project that would protect Boat Haven from king tides like those that occurred in 2022.

In 2025, most of the funding for the port’s capital projects (37 percent) would come from grants it already has secured. Monies from the IDD make up 20 percent of the funding. About 30 percent of the funding for next year has not been secured.

Klontz said he is not too concerned based on the port’s successful track record.

“The port does a really good job of securing grants to complement our port funds, in particular the Industrial Development District levy,” he said.

Also from Wednesday’s meeting:

• Commissioners unanimously approved a three-year contract between the port and Teamsters Local Union 589 that will start Jan. 1.

• Since taking possession of the 253-acre Short’s Family Farm on Sept. 1, the port has started upgrading the property by removing invasive reed canary grass from Chimacum Creek and collecting more than 800 tires from around the property. It is working on a license with the Washington Department of Fish and Wildlife to continue to allow hunting and bird watching on the farm.

• The port’s Boatyard BBQ celebrating its 100th birthday and Port Townsend’s maritime culture will take place from 4 p.m. to 9 p.m. Sept. 26 on Eighth Street near the entrance to the Larry Scott Trail.

Live music will be provided by the Dawg Trio, the Homewreckers, Uncle Daddy and the Unexpected Brass Band. Food can be purchased from the Friendly Nettle, Fiddlehead Creamery, Bar Car and Java Gypsy Coffee.

A coho salmon dinner with potato salad and fresh greens will be $20 per plate. There is a $10 suggested donation for the general public.

Boatyard staff and their families and children can attend for free.

For more information, go to boatyardbbq.org.

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Reporter Paula Hunt can be reached by email at paula.hunt@peninsuladailynews.com.

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