HomeMy WebLinkAboutPort of PT JCIA-Eco-Industrial-Park $350,000SO
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Date: November 8.2023
Jefferson County, Washington
Public Infrastructure Fund
Project Application
Return all Application Materials
in Microsoft WORD/EXCEL to:
carolyn@co. j efferson.wa. us
Project Title: Port of Port Townsend JCIA Eco-Industrial Park — Phase I Design/Permittin
Amount requested from PIF: $350,000 Percent as Grant: 100%
Percent as Loan: 0%
Applicant:
Port of Port Townsend
Address: P.O. Box 1180
Contact: Eric Toews
City, State, Zip: Port Townsend. WA 98368
Phone: 360-385-0656 1` ax:
E-mail: eric@portofpt.com _
Responsible OfficiaK Eron Berg, Executive Director
Signature:
1. Briefly describe your project. When did you start work on it? Who is involved? What is the
scope of the project?
The Port proposes to advance design, engineering and permitting for an ecologically friendly
light industrial park on an undeveloped 24-acre parcel of Port -owned land located at the
Jefferson County International Airport. Upon completion, the project will provide up to
eleven (11) one -acre "pad -ready" sites provided with supporting infrastructure to attract new
businesses and to allow existing businesses in our community to expand.
Work on this project began in 2002, when the Port of Port Townsend acquired 24 acres of
undeveloped land adjacent to the Port -owned Jefferson County International Airport (JCIA).
The Port identified the need for more industrial land provided with adequate infrastructure to
further its economic development and job creation mission. To this end, the Port included
the property within the boundary of its Airport Layout Plan (ALP) in 2002. This opened a
pathway to rezone the property from rural residential to Airport Essential Public Facility
(AEPF) Overlay III in 2009. The 2009 change in zoning allows for rural -scale light
industrial development compatible with surrounding rural uses and densities.
In 2010, the Port of Port Townsend obtained a Financial Assistance Award from the U.S.
Department of Commerce, Economic Development Administration (EDA) (under its
Economic Adjustment Assistance Program) to fund a study to assess the economic and
design feasibility of developing an ecologically friendly light industrial park on the site. The
key purposes of the study were to:
• Assess the demand for use of a light industrial facility at this location;
• Develop profiles of likely facility users; and
• Formulate a conceptual design for future site development.
In 2011, the Port selected a consultant team to help prepare the feasibility study and formed
an Industrial Park Advisory Committee consisting of local government and industry
stakeholders to provide input throughout the process. In August 2011, the detailed feasibility
study was completed. A central finding of the study was that the project required a high level
of initial investment (due to infrastructure development costs) but was nevertheless feasible
with grant funding and a long break-even period. In the intervening years, the Port's focus
shifted away from pursuing new capital initiatives to repairing and replacing its existing
aging infrastructure (e.g., JCIA runway, marina breakwaters, boat yard stormwater, etc.). In
consequence, this project has only recently received renewed focus and attention.
The scope of the present project is to refine and finalize the site layout and design, advance
utility and site engineering to a 90% level (including an updated engineer's estimate of
probable construction costs) and obtain necessary permits. The project deliverable will
include detailed design documents, positioning the Port to aggressively seek grant funding
for construction.
2. How does the project satisfy, in whole or in part, the jurisdiction's economic development
strategy?
The project is consistent with, and helps to implement, the North Olympic Peninsula
Comprehensive Economic Development Strategy (CEDS), as well as Jefferson County's
Comprehensive Plan. Upon completion, the JCIA Eco-Industrial Park will build on strong
natural and intellectual capital and provide opportunities for local innovators to create and
expand existing businesses and provide living wage jobs. It is expected that the Eco-
Industrial Park will attract businesses that support higher wage jobs through value-added
processing and manufacturing.
Additionally, the zoning for the 24-acre subject site was changed by Jefferson County (the
Airport Overlay III Zone applied within the AEPF Zone) in 2002 with the express intent of
facilitating rural -scale light industrial development compatible with surrounding rural uses
and densities. Policy ED-P-3.1 of Jefferson County's Comprehensive Plan states:
"Support the efforts of the Port of Port Townsend in diversifying the Jefferson County
International Airport (JCIA) to provide for a broader number of trades, manufacturing,
and services, this may include, but is not limited to, the siting of appropriately scaled
aviation and non -aviation -related industrial/manufacturing activities in the Airport
Essential Public Facilities District. "
In sum, the project directly supports the Port's economic development and job creation
mission, while helping to implement both the CEDS and the County's Comprehensive Plan.
3. Is this project a documented county -wide priority? If so, where does it rank?
Yes. While not specifically ranked in a project array, Policy ED-P-3.1 documents clear
support for diversifying trades, manufacturing and services at the JCIA as a priority for
Jefferson County. The proposed project (design, engineering, permitting) is a necessary
prerequisite to seeking future construction grant funding to bring this vision to reality.
4. Summarize efforts taken to date regarding the project in terms of specific steps/studies and
dates of action, where appropriate.
a. Is the project part of a plan (capital facilities, growth management, business development,
etc.)?
The proposed project is reflected in the Port's 5-Year Capital Improvement Plan (CIP)
incorporated within its 2024 Operating & Capital Budget.
b. What engineering reports and feasibility studies have been prepared, and when?
A detailed JCIA Eco-Industrial Park Feasibility Study was prepared by a consultant team
lead by AE-COM in 2011. This study may be accessed at:
https_//portofpt.com/wp-content/uploads/JCIA-Feasibility-Aug20I I-electronic2.pdf
Appendices to this study may be found at:
https://portofpt.com/wp-content/uploads/JCIAEcoParkFeasStd r-AAppen _pdf
c. Summarize efforts you've taken to date regarding the project in terms of:
1. Securing funding for this project from local, state or federal programs or foundations.
The 2011 Feasibility Study was funded by the US Department of Commerce,
Economic Development Administration. A key recommendation of the study was to
identify and secure grant funding. The request now before the PIF Board seeks
funding to advance design, engineering, and permitting for the Eco-Industrial Park,
thereby positioning the Port to aggressively seek grant funding to build the project
within the next 2-3 years.
2. Specify sources, including local match and dollar amounts. If there are conditions
attached to any of these secured funding sources, please specify.
The total anticipated cost for the design phase of the project is $450,000. Of this total
amount, the Port is seeking $350,000 in PIF assistance, with $100,000 in Port match
(Industrial Development District (IDD) levy monies).
d. Are there other efforts you have made that are unique to this project?
Yes. A RECOMPETE grant proposal was advanced earlier this year which, if successful,
would fund both the design phase, as well as construction.
5. What are the anticipated outcomes of this project in terms of the criteria identified below?
Quantify information where possible.
a. How will this project improve local infrastructure capacity?
The proposed project is to design, engineer, and permit a master planned Eco-Industrial
Park featuring eleven (11) 1-acre lots served with the full range of infrastructure
necessary to support rural light industrial development, including: three-phase power; an
internal loop road; native vegetation in both a central green space, together with
perimeter buffering; pockets of shared on -street parking; shared driveways and truck
maneuvering areas; an off -site stormwater detention pond; vegetated bioretention areas
for stormwater treatment; and an off -site community septic drainfield.
b. How many businesses do you plan on serving with this project?
The Port estimates that six (6) to fifteen (15) separate businesses could be served within
the industrial park. With buildings of up to 10,000 square feet on eleven (11) one -acre
lots within the park, it is possible that some tenants may wish to lease multiple lots within
the park. Similarly, it is possible that some lots may play host to multiple lessees with
smaller space requirements (e.g., a 10,000 sf building demised to accommodate two
separate tenants).
c. How many full-time, permanent jobs will this project create or retain?
1. Retain: Construction and lease -up of the completed Eco-Industrial Park will
safeguard more than twenty 20 existing jobs in Jefferson Counly.
2. Create in 1-3 years: Assuming funding is secured and both project phases (i.e., phase
I desi n/en ineerin base II construction) are completed within the 2025-2026
timeframe, it is expected that up to sixty (60)new jobs would be generated by the end
of 2026 i.e. with spaces re -leased prior to completion).
3. Create in 3-5 years: Final_ lease -up of sites within the industrial park over the period
2027-2029 would be anticipated to generate a further sixty 60 'obs i.e. 140 total
retained created in years 1-3 and created in years 3-5 .
d. What is the size of the population that will benefit by these infrastructure improvements?
To the extent that the infrastructure improvements to be facilitated by this project would
support family -wage jobs in a community with a profound jobs/housing imbalance, the
improvements would benefit the entire population of Jefferson County. At full build -out
and lease -up, the 140 jobs created/retained would represent approximately 1.1% of
Jefferson County's 2021 labor force of 12,850.
6. How many months will the work on this project take to complete?
Project design, engineering and permitting is expected to require 12-14 months, with detailed
design documents completed and permits in hand by the end of 2024.
7. Are there other factors significant to this project that we should be aware of, such as health
and safety, emergency declaration, "bird in hand" efforts, volunteer efforts, etc.?
Yes. Rain Shadow Woodworks, Inc., and Pacific Northwest Timbers, Inc. are both
supporters of this project. These businesses work symbiotically together from their current
leased locations in the Glen Cove Industrial Park. Rain Shadow has added 11 new jobs over
just the past three years and is severely space constrained at its current location. Moreover, a
new landowner and expiring leases for both Rain Shadow and Pacific Northwest Timbers
will require both businesses to either close or relocate over the next three (3) years. Both
businesses are keenly interested in relocating to an industrial park within the community
where long-term leases at competitive rates can be negotiated.
The Port is actively building other partnerships and identifying prospective tenants, even as
this application is being prepared. The Port's objective would be to pre -lease up to one-third
of the sites in the park, with full lease up over the ensuing decade.
Rain Shadow Woodworks, Inc.
P. O. Box 336
Port Townsend WA 98368
360 301-9704 cel
November 2, 2023
Eron Berg
Executive Director
Port of Port Townsend
2701 Jefferson Street
Port Townsend WA 98368
Dear Eron,
Thanks very much for writing to inform me about the Port's application for Jefferson
County PIF funding to support industrial development at the Jefferson County
International Airport (JCIA).
The Port's mission as I understand it is to serve the community by maintaining and
improving our transportation infrastructure and to further the creation of business
opportunities that will maintain and expand family wage jobs in Jefferson County.
My construction and woodworking company has been growing here since 1977. We
produce high end architectural woodwork including staircases, doors, cabinets,
bookcases, furniture, flooring and custom mouldings, and the general contracting division
does residential remodeling and new construction, and commercial and institutional
work. I see this region and Jefferson County specifically as the epicenter of continued
strong growth for several key reasons.
1. This is a refuge from climate disruption, as our environment is tempered by the
Pacific and the Salish Sea.
2. The recreational and cultural opportunities are vast and varied.
3. There is relatively convenient access to transportation corridors for international
travel and commerce.
4. There is abundant volume and easy access to raw materials for particular
products, mostly wood.
5. We all enjoy local food production, including farming and fishing.
6. We have a population of educated involved citizens of all ages that are aware of
the challenges our civilization now faces.
7. Property is still available, albeit unaffordable for many of our working class
population.
With the support of Jefferson County the Port may now have an opportunity to provide
additional space for development at JCIA. As a small business owner I've been faced
with the challenge of where and how to grow my operation. As you know, I'm stuffed
into a small shop with little outside space for materials storage and processing. My
property nearby is equally cramped, and although it's zoned light industrial/commercial,
there really isn't enough land there to do what I'd like to do with my business.
In the last three years I have created twelve new jobs, mostly full time at wages for
skilled workers starting at $30.00 per hour and averaging at around $32. Management
and supervisory personnel are paid between $42 and $55 per hour. I have no doubt that I
would be able to create more high wage jobs and build our employee's knowledge and
experience if I had a place for them and the equipment we need. We create a lot of
product in the shop and rely on other outside vendors to support our work as well,
passing along some of the cash flow to other local job creators. We are seeking strategic
alliances with other contractors to serve their needs as our community grows as well. I
cannot see this activity do anything but increase, and despite the ever-present threat of
recession our position here in Port Townsend secures our future.
Pacific Northwest Timbers (PNT) and I have been working symbiotically for almost
fourteen years. If there was an opportunity for a long term lease at the airport at a
competitive rate PNT might and I certainly would strongly consider moving swiftly in
that direction. The current owner of the property we rent has other plans for the property
and further expansion of my business there simply doesn't pencil out.
Right now I'm occupying the equivalent of about five thousand square feet of shop and
office space, with about a thousand for outside parking and storage. In the near term I
could easily use about 6,000 sq, ft. of shop space, 1,500 sq. ft. for office space and 2,000
sq. ft. for outside storage. Over time this would increase as the market continues to
develop. My best guess is that PNT is using about 12,000 sq. ft. of covered area (the large
blue building, the tent and the shed over the bandsaw) and could use easily double that,
plus at least two acres of open ballasted yard space for product storage. There isn't this
amount of land anywhere in the Glen Cove Industrial area at a price that would support
private development.
You can see that we both could use more space. It would help both our businesses if there
was space into which we can grow and thereby support many more family wage jobs. I
can see a wonderful opportunity to develop a new facility at the airport. Please let me
know how I can further your efforts.
Thanks very much,
Seb
R. Sebastian Eggert
Rain Shadow Woodworks, Inc.
130 Seton Road
P. O. Box 336
Port Townsend WA 98368
360 385-6789 land
360 301-9704 mobile
Creating and Preserving Pacific Northwest Landmarks since 1977
r JEFFERSON TIMBER COLLECTIVE
3 November 2023
Eron Berg, Executive Director
Port of Port Townsend
2701 Jefferson Street
Port Townsend, WA 98368
Dear Eron,
I am writing on behalf of the Jefferson Timber Collective (JTC) in support of the Port of Port
Townsend's proposal for funding from the Public Infrastructure Fund. JTC sees the availability
of infrastructure for processing local wood as critically important for the growth and
sustainability of a local -wood industry. In partnership with the Port of Port Townsend, we see the
creation of a local wood processing center as an exciting break from a 140-year history of
Jefferson County's timber resources being sent out of county, state, or even country for
processing and sale. It's time to keep that money and those jobs here.
JTC is a newly formed coalition of small sawmill owners and forestland owner -managers who
are collaborating to brand and market local wood. Our operating area encompasses all of East
Jefferson County as well as small areas of Clallum and Mason Counties, east of the Dungeness
River and north of the Hamma Hamma River.
JTC is currently developing its initial product line and is planning for a public launch in early
2024, possibly in synchrony with the opening of the Jefferson Land Trust's Chimacum
Community Forest. In addition, member businesses are actively researching and/or negotiating
possible sites for a retail outlet in Jefferson County. This storefront is projected to open in late
2024 and focus on selling local wood and wood products.
In both the near and longer term, it will be imperative for the collective as an entity and for JTC
members as individual businesses to find the land and infrastructure required to support growth.
As an entity, JTC intends to own and operate shared, production -scale equipment that could
include high -capacity kilns, planers, chippers, and sawdust -compressors, along with dry storage
and log handling equipment. As individual businesses, members intend to expand their
processing capacity and product lines to move from their current focus on custom orders to
include high -volume production of trim, flooring, posts, beams, and siding. The needs of both
the Collective and its individual member businesses synchronize beautifully with the Port's plan
to create a shovel -ready industrial park. We want to be there.
The five founding businesses currently employ 18 Jefferson County residents in family -wage
jobs. With a successful branding and marketing campaign, a retail presence, and expanded log -
handling and production facilities, both the number of participating businesses and the total
number of individuals employed is projected to grow dramatically. But currently, only one of the
five founding businesses has the land security and infrastructure build -out required to not only
sustain current employment levels but make meaningful growth possible.
We wholeheartedly support the Port's vision for developing a site where JTC and its member
businesses could survive, thrive, and make Jefferson County a national leader in using local
resources to support local jobs.
Sincerely,
Scott Freeman, Manager
Leopold -Freeman Forests LLC
2110 E Quilcene Rd
Quilcene WA 98376
360.316.6641
CC. Evan Bombardier, Bombardier Arboriculture
Paul Mahan, Mahan Log & Lumber
Cody Wayland, Wayland Constructive
Cory Williams, Northwest Sawmilling
TMTA
ror[ iawnsend fdarme Trades Associatiion
giving voice to w.arkers and industry
To whom it may concern, 11/6/2023
Jefferson County Commissioners, and the Public Infrastructure Fund committee.
The board of the Port Townsend Marine Trades Association has voted
unanimously to fully support the use of PIF funds for the economic development /
planning for the Jefferson County International Airport industrial park.
This area has been historically underutilized from lack of progressive planning and
held back from taking part in the development of a stable tax base. The industrial
property there has unique opportunities for businesses, further development of
marine trades, and expansion of the supply chain that is within that sector.
It also has the potential for other Aircraft manufacturing, etc., within the
boundary of the federally funded portions of the airport proper. With appropriate
funding for planning, and the fact that there is need for immediate business
growth within the maritime sector, especially for those that do not require water
front properties to expand, this is essential and time is of the essence.
The board is asking for your full support of the Port of Port Townsend request.
Thank you
Peter R. Langleyv��-���`
President PTMTA
PTMTA.ORG, P.O. Box 1214, Port Townsend, WA 98368 ptmarinetrades@gmail.com