Bellingham Business Journal, December 02, 2013

M ike Stoner had news the Port of Bellingham’s com-missioners had been wait-

ing to hear: The Bellingham City Council’s dissection of a complex master plan proposal to redevelop swaths of waterfront real estate could finish within weeks, clear-ing the way for the plan’s final approval.

“I think we’re on track,” Stoner, the port’s environmental pro-grams director, said Nov. 19. Stoner has worked with counter-parts at the city deliberating over the master plan. “I think at this point, we’re pretty much at the end of changes to the documents.”

City Council voted, 6-0, on Nov. 7 (Councilwoman Cathy Lehman was out of town and excused from the vote) to grant preliminary approval to the Waterfront District master plan, which will be a roadmap for future environmental cleanup and real-estate development on 237 acres of formerly indus-trial Bellingham waterfront. The vote allows the council to move toward a final vote on the plan, which has been a work-in-prog-ress for nearly a decade. Port of Bellingham commissioners must also approve the plan before any development can begin.

Stoner said he anticipates a final vote soon, perhaps by the City Council’s next meeting on Monday, Dec. 2. That would mean the port commission could have an approved plan ready for its deliberations by the next com-mission meeting, scheduled for the following day, Tuesday, Dec. 3.

Port staff and commission-ers have been active in the city’s review process, which has stretched for most of the latter half of 2013. The city and port are partnering on the redevelopment, as the port seeks private develop-ers and tackles multimillion dol-lar environmental cleanup efforts, while the city focuses on building

new streets and public utilities.

Future stepsPort officials issued an official

request for proposals back in May offering 10.8 acres of prop-erty that surrounds the historic waterfront Granary Building, a section of land likely to be the first to see new building activity.

The port commission’s November work sessions on the waterfront proposal focused heavily on responses to the request.

Rob Fix, the port’s execu-tive director, said interviews have been completed with three companies expressing interest in taking on a master land devel-oper role for the entire property. Interviews have also been com-pleted with three other firms seeking standalone agreements to renovate the abandoned Granary Building, he added.

The port revealed eight separate proposals to the official

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theBUZZ

Haggen looks at its future with fewer stores, new focusCompetition and changing customer preferences have led the Bellingham-based regional grocer to retool its business model. [6]

Where GMO-label backers went wrongMoney was a signifcant factor in Initiative 522’s defeat this year, but a $22 million opposing campaign wasn’t the only reason the measure went down. [Op-Ed on Page 3]

Banks, credit unions in a pickle with potSome Washington state financial institutions are eager to work with future cannabis entrepreneurs. But without an official nod from federal regulators, local bankers and lenders see too much risk . [9]

In this month’sBusiness ToolkitOn management: Looking for workers’ capabilities when roles replace jobs. [21] On social media and marketing: Are you getting social-media engagement wrong? [22]

See BUZZ, Page 4

FINAL DECISIONS AWAITPort considers potential developers as Waterfront District plan nears vote

Multiple proposals are on the table to restore Bellingham’s historic waterfront Granary Building. EVAN MARCZYNSKI PHOTO | THE BELLINGHAM BUSINESS JOURNAL

BY EVAN MARCZYNSKIThe Bellingham Business Journal

See WATERFRONT, Page 27

Port of Bellingham’s 2014 budget funds several new capital projects, including environmental cleanup work along the city’s central waterfront; property-tax rates to the port will not change next year [PAGE 9]

2 BBJToday.com December 2013

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CONTENTSDecember 2013

Advice from local experts on: Retirement savings [7], tax planning [8], durable power of attorney [8] and small-business cash flow [12].

ALSO IN THIS ISSUE

Market Indicators [10], Public Records [19], Business Toolkit [21-22] and People [23].

YOUR MONEY MATTERS

NEWS & FEATURES

[6] Haggen focusing on long-term growth, stability A company executive says recent TOP Food closures have been difficult.

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[9] Credit unions and banks see complex future with potFederal restrictions could complicate financial business with new industry.[9] Port of Bellingham approves 2014 strategic budgetThe $24.9 million budget funds capital projects, keeps property tax unchanged.[11] Heritage Flight Museum leaves BellinghamNonprofit aviation organization looks to new skies in Skagit County.

[17] Q&A with Alice Clark of the Pickford Film CenterDeparting director of the nonprofit theater talks fundrasing, support for arts.

December 2013 BBJToday.com 3

Solar builder supports efforts to bolster industry

We would like to thank The Bellingham Business Journal for the November feature story on Itekenergy and our solar-panel manufacturing business. We are proud to be part of the Whatcom County business community, and we truly appreciate the recognition.

Of course the real success story is our customers—the forward-thinking Wash-ington residents who are “going solar” in record numbers to power their homes and businesses. It is their passion for a greener state that drives demand for our Made in Washington solar products, which in turn allows Itekenergy to grow our manufac-turing operations and add local jobs. As Washington turns to solar power, we all win.

We would also like to thank Rep. Jeff Morris of the 40th Legislative District for his tireless support of our state’s solar

industry. As the story noted, we at Itek-energy hope to see the state Legislature extend current incentives that make solar the smart choice both environmentally and financially for consumers. We’re glad to have Rep. Morris as an ally; his support for “clean and green” solar power serves Wash-ington citizens well.

—John Flanagan, BellinghamFlanagan is president and founding princi-pal of Itekenergy.

The Bellingham Business Journal welcomes letters from readers. Please see our guidelines online at BBJToday.com/contact. Views reflected in letters belong solely to the author(s), and they are not necessarily shared by The Bellingham Business Journal or Sound Publishing.

Initiative 522 is failing to pass for more reasons than just the $22 million oppo-nents shelled out to defeat it.

All those bucks certainly made a dif-ference; it was the most money ever spent against an initiative in state history, so far.

Had those pushing the food labeling initiative done a better job seeding their mes-sage throughout

the state and tilling the fields of voters, they could have harvested victory.

Rather, their pitch for requiring labels on foods with genetically-modified ingre-dients lacked urgency and their campaign inspired little excitement outside Seattle and urban pockets in Western Washington.

At times, it seemed those running the Yes on 522 campaign had not learned many lessons from the defeat of a nearly identical food labeling initiative in Califor-nia in 2012.

As a result the ballot measure, which 66

percent of potential voters endorsed in a September Elway Poll, is on track to finish with only 49 percent voting for it.

It is a startling but not shocking col-lapse of support, said political consultants, pollsters — and a noted chronicler of food labeling battles watching from the side-lines.

“Initiative campaigns are successful when they offer a solution to something the public perceives as a significant prob-lem,” said consultant Sandeep Kaushik, who had a busy fall helping state Sen. Ed Murray’s campaign for Seattle mayor. “I’m not sure this initiative passed that test.”

While the public does see value in labels on food, they were not overwhelmingly worried about the presence of GMOs in what they eat, said Seattle pollster Stuart Elway. That made them persuadable.

Advisers to the No on 522 campaign knew this too. They took a tack saying that, while there is nothing wrong with labeling food, Initiative 522 wasn’t the right way of doing it. They cited their reasons – higher costs, new regulations, confusing exemp-tions – and used gobs of money to make sure everyone in front of a television set

in October got a taste. For good measure, they repeated it in a string of mailers sent to the homes of those who always vote.

Of course this is pretty much how it played out in California. This is why those pols not involved in the campaign wonder why initiative supporters weren’t better prepared for the tactics they encountered.

The Yes on 522 campaign lacked a convincing rebuttal on the need for label-ing and how it wouldn’t bring a trove of troubles.

Supporters had money. They spent $8 million – an impressive sum and only slightly less than their friends expended in California – yet could not get their response out often enough on television and almost not at all in the mailboxes.

Nor could they turn out their voters. Their plan called for winning at least 60 percent of the votes in King County, to pick up Snohomish County and to do respectably in the rural areas.

They are almost there in the state’s larg-est county. They barely got there in Sno-homish County – 51.4 percent. But they are getting wiped out in the smaller coun-ties of Eastern Washington.

Dan Flynn, a Denver-based writer with Food Safety News, believes rural voters are the reason I-522 went down.

“Indeed, the rural counties of Washing-ton voted just like the rural counties of California did a year ago when they proved key to toppling Proposition 37,” Flynn wrote online. “When the medicine show behind the Prop. 37 campaign announced it was moving on to Washington state, I remember thinking, “Gee, a state with a larger rural vote than California.”

As of Wednesday morning, Nov. 13, I-522 was getting rejected by 82 percent in Garfield County, 79 percent in Adams County, 75 percent in Grant and Franklin counties, 73 percent in Walla Walla County and 72 percent in Yakima County. Those are impressive numbers, and are as much a reason for why voters put the kibosh on food labeling as the $22 million of opposi-tion spending.

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VIEWSMoney was not the sole cause of Initiative 522’s defeat

BY JERRY CORNFIELD The (Everett) Daily Herald

Opinion- Editorial

Dissecting how the GMO-labeling measure failed to pass muster with Washington voters

Jerry Cornfield is a political reporter who covers Olympia for The Daily Herald in Everett, Wash., a partner publication of The Bellingham Business Journal. Cornfield’s blog, The Petri Dish, is available at www.heraldnet.com. Contact him at 360-352-8623 or [email protected].

LETTERS

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The Bellingham Business Journal

Had those pushing the food label-ing initiative done a better job seeding their message throughout the state and tilling the fields of voters, they could have harvested victory.


State job growth slows, unemployment rate stays flat

A 22-month streak of job growth in Washington state ended in September and October, while statewide unemployment stayed flat through both months, according to the latest report from the Washington State Employment Security Department.

The number of seasonally adjusted jobs in Washington fell by an estimated 1,400 in September and 8,100 in October, according to the new figures. Paul Turek, a state labor economist, noted that Washington actually saw job gains during both months, but not as many as normal, registering the final tallies as job losses once seasonable adjust-ments are made.

Washington’s seasonally adjusted unem-ployment rate remained largely the same the past two months. From the 7 percent rate in August, it dipped slightly to 6.9 percent in September and returned to an estimated 7 percent in October.

Due to the 16-day federal government shutdown in October, the September employment report was not issued that month. The data for both months were combined into a single report issued today by Washington’s Employment Security Department.

Federal jobs furloughs did not affect the October job numbers, since those jobs were not eliminated, said Turek. However, the furloughs may have affected the esti-mated unemployment rate, which is based on a survey that asks individuals whether they were working during the second week of the month.

Both the job numbers and the unem-ployment rate may be revised as more

information comes in.Industries with job gains in October

wholesale trade, up 1,000; retail trade, up 400; other services, up 300; government, up 200 jobs, mostly in K-12 education and state higher education; and the transporta-tion, warehousing and utilities industry, up 100.

Industries that reported job losses included education and health services, down 2,800 jobs; construction, down 2,800; leisure and hospitality, down 2,700; manufacturing, down 1,300 jobs; profes-sional and business services, down 300; financial activities, down 100; and infor-mation, down 100.

In October, an estimated 241,300 people (seasonally adjusted) in Washington were unemployed and looking for work. That includes 94,951 who claimed unemploy-ment benefits last month.

The Woods Coffee, Spice Hut enter tea collaboration

The Woods Coffee has begun a new col-laboration with the Bellingham-based tea retailer, The Spice Hut, through which the coffee chain has completely overhauled its tea offerings.

Woods’ 14 locations in Whatcom County now sell new “pyramid” shaped tea bags developed through the partnership with Spice Hut, which the companies say offer improved design and better tea flavor. Woods plans to continue selling the same 10 tea variety familiar to its customers, along with a limited-time, holiday flavor.

A news release from Woods notes the expanding retail tea market in North America, citing statistics from the Tea Association of the USA, a trade group, that show more than 3,500 tea stores now oper-ate nationwide.

Alpha Technologies acquires India-based solar firm

Alpha Technologies Inc., a Bellingham-based company that designs and builds power systems for a variety of applications, has acquired a Bangalore, India-based firm called NavSemi Energy, which develops technology to make solar-power systems more productive and efficient.

Alpha’s company leaders said that NavSemi’s customer base in India will expand Alpha’s reach into one of the world’s fastest growing and most progres-sive solar-power markets. The purchase should also complement Alpha’s existing renewable energy brand, OutBack Power.

“Alpha has worked with NavSemi Energy for several years, and during that time we’ve collaborated well together,” said Drew Zogby, Alpha’s president. “NavSemi’s prod-ucts and philosophy reflect our approach. Together, we expect to expand our market reach into regions such as India, where our joint technologies can have a real impact.”

Alpha Technologies is a global designer and manufacturer of advanced power systems for renewable and other energy applications, as well as back-up power and industrial applications. It is among the top private employers in Whatcom County, reporting about 500 local employees in 2012, according to information provided to The Bellingham Business Journal.

Banner Bank picked to join federal export-aid program

Banner Bank will be the first bank head-quartered in Washington state to become a partner in the U.S. Global Business Solutions Program, a federal interagency

initiative designed to add 50,000 American small businesses to the nation’s exporter base by 2017.

The pilot program aims to expand the base of financial institutions and service providers that facilitate exports, adding an anticipated 250 trade-finance sources by December 2015.

The initiative is meant to make it easier and more cost-effective for exporters to use the programs and products of multiple federal agencies.

It will “bundle” U.S. government trade-finance products for lenders and export-ers. The programs and products will be combined into a single menu of options that will be tailored to the stage of the exporter’s development and the capacity of the financial institution or service provider.

Leaders with the Export-Import Bank of the United States, which also participates in the program, said Banner Bank’s famil-iarity with the Pacific Northwest and its “demonstrated strength in [Small Business Administration] lending and its preferred lender status in the SBA’s Export Working Capital Program,” would enhance the capa-bilities of the Global Solutions Program.

Banner Bank, a wholly owned subsid-iary of Banner Corp., has 85 locations in Washington, Oregon and Idaho. It has four locations in Whatcom County; three in Bellingham, one in Ferndale.

Debbie Gelbach, a vice president with the bank, will lead its international-trade services. Gelbach joined Banner to help establish its trade-finance operations. She has worked in international trade in Wash-ington state since 1979.

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BUZZ | FROM 1 Interfaith breaks ground on “Our House” project

Members of the Interfaith Coalition of Whatcom County’s board of directors and staff during a ground-breaking celebration at the nonprofit’s Our House project in Ferndale. (From left) Mike Hess, Linda Anderson, Joel Langholz, Bobbi Virta, Andy Day, the Rev. Jon Hauerwas and Kara Hauerwas.

Photo CoURtESY to thE BEllingham BUSinESS JoURnal

The Interfaith Coalition of Whatcom County has begun construction on its “Our House” project, which will expand an existing single-family residence in Ferndale to enable it to provide emergency and transitional housing to three homeless

families at once.When completed next spring, the three-unit complex will house around 12 fami-

lies each year, who would otherwise be homeless. While living at the complex, fami-lies will receive case-management services in order to help develop skills critical to breaking the cycle of homelessness, according to Interfaith.

Funding for the Our House campaign comes from monetary and in-kind contri-butions from more than 500 individuals, congregations, businesses and foundations, according to the nonprofit coalition, which supports a mission to provide health care and housing for all.

More information is online at www.interfaith-coalition.org. The Interfaith Coali-tion can also be reached at 360-734-3983.

See BUZZ, Page 26


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When Haggen Inc.’s TOP Food & Drug stores first began opening in the 1980s, the focus of the new spi-

noff brand was right there in its name: TOP, Tough On Prices.

But in the decades since, the grocery industry has evolved, new competitors have arrived and a retail company with a long history in the Pacific Northwest—

Haggen celebrated its 80th anniversary last month; the company was founded in Bellingham in 1933—has decided its TOP “tough” strategy is in need of change.

Eight TOP Food stores have closed or are in the process of closing in 2013.

The company continues to move for-ward with its “Northwest Fresh” rebrand initiative, first started in 2011. The effort will eventually place all Haggen stores under one, singular Northwest Fresh motif.

Clement Stevens, Haggen’s senior vice president of merchandising and a member of its three-person leadership team, spoke with The Bellingham Business Journal ear-lier this fall about the company’s future.

On the recent closures of the company’s TOP Food & Drug stores:

The closures have been driven by mul-tiple factors, Stevens said, including greater competition from other bargain-brand retailers and changes in customers’ shop-ping preference.

TOP Food & Drug, which was first introduced and developed in the 1980s, focused on bargain “price brand” prod-ucts, he said. Today, Wal-Mart and WinCo Foods have emerged as very tough com-petitors in that arena, with what Stevens called “a very engineered approach to costs and distribution.”

While it is tempting for the company to focus on meeting that level of competition, Stevens said current efforts are to focus on Haggen’s quality and customer service, which have been hallmarks of the com-pany’s mission for decades—hence the end of the TOP brand.

The closures are a culmination of work from various elements within the Haggen company, including landowners, stakehold-ers and members of the firm’s board of directors, Stevens said. To remain a com-petitive grocery outlet, Haggen needs to position itself for both long-term growth and long-term stability, he added.

“It has been, over this past year, very difficult to close these stores,” Stevens said. “[The employees there] are members of our team. But as you look at running our business five years from now, these are opportunities we probably should have dealt with a long time ago.”

On the remaining TOP stores:

TOP Food stores remain viable in Woodinville, Puyallup and Edmonds. Ste-vens said the markets in those cities have are more stable for the TOP brand, and they have built loyal customers bases.

The three stores that remain will each be renovated and reopened as Haggen North-west Fresh stores over the next two years, Stevens said, as the company moves to complete its rebranding initiative.

On markets where Haggen sees success:

Stevens said Haggen stores’ success is not so much based on geographic loca-

tion. Instead, success depends a lot on how much competition stores face.

It also has a lot to do with the customers they direct their marketing efforts toward, as well as the amount of available commer-cial real-estate space in their surrounding areas, which presents opportunities for new competitors to open stores, Stevens said.

Haggen’s five Whatcom County stores, which have all been remodeled under the Northwest Fresh theme, are solid perform-ers, and Stevens said Whatcom is “a strate-gic location for the company.”

The company is currently focusing its remodeling efforts in Skagit County, including locations in Burlington and Mount Vernon, he said.

On the company’s deadline for its North-west Fresh rebranding:

So far, 12 stores have received the rebranding treatment, and the completion of the project will be a major focus at Hag-gen in 2014, Stevens said.

Due to the capital needed for the rebrands, ironclad deadlines can be diffi-cult to predict, he added.

“I know that we’re focused on next year,” Stevens said. “I would like to see it [fin-ished] earlier than the end of the year. But I’m not sure how exactly that will pan out.”

On the new WinCo store in Bellingham:

Haggen’s leadership team had planned for WinCo opening its Bellingham loca-tion for several years. It was not a surprise, Stevens said. WinCo is a competitor with Haggen in a lot of its markets.

They invested a lot of time into market impact and analysis of the WinCo addi-tion, he said. Stevens believes Haggen has set themselves up well to face off with WinCo in Bellingham, though he admits it is a difficult competitor to have.

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SHIFTING AISLESTop Haggen Inc. executive says closing the

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The Ferndale Haggen location, after reopening under the company’s new “Northwest Fresh” store theme in February 2013.

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“It has been, over this past year, very difficult to close these stores. [The employees there] are mem-bers of our team.” —Clement Stevens, Haggen Inc.


1. Take the free moneyMake sure you are taking advantage of

your employer match. They have been increasing, with most offering a dollar-for-dollar match for the first 6 percent of employee deferrals (up from $0.50 per $1), according to a 2013 survey from the AON Hewitt consultancy.

If you aren’t participating in your employer’s retirement plan or maximizing the matching opportunities, you are drasti-cally reducing your chances of success.

Think of it this way: If an employee is making $50,000 per year, contributing 6 percent for 35 years, receiving a full match on the first 6 percent and earning a 6 per-cent annual return, then that employee is not only missing out on the $357,958 from their contributions, but they are also missing out on an additional $357,958 from the matching contributions for a total of $715,916. Not bad considering this employee only contributed $105,000 of their own money.

2. Increase your savings The 401(k) contribution limits are set to

stay the same in 2014, allowing employees to contribute $17,500 annually with an additional $5,500 “catch up” contribution for those turning 50 or above in 2014.

Not only will the increased savings increase your chances of retirement suc-cess, but qualified retirement plans receive tax deferral. This means that when you have dividends, interest and realized gains

in your retirement account, you don’t owe taxes in the current tax year. By deferring the taxes until later, the money you would have spent on taxes is put to work increasing your nest egg.

It is always best to make your sav-ings automatic, and some plans allow you to set up automatic annual increases to your contribu-tions as well. If you don’t have this luxury, make

it a point to increase your contribution percentage every time you get a raise.

3. Save to the proper account According to AON Hewitt, half of all

plans now include a Roth 401(k) option. With the Roth option, you forego the immediate tax savings of the traditional 401(k), but in return receive tax-free growth.

The key to determining which account is right for you is understanding your taxes relative to the tiered-income tax brackets. If you think you will receive a greater tax deduction now relative to your tax bracket

in retirement, the traditional 401(k) may be best.

Are you uncomfortable predicting future tax brackets? Me too. One strategy to com-bat this is to diversify between Roth and traditional 401(k) accounts.

Let’s say you are in the 25 percent tax bracket by $10,000 of taxable income. In this case, you might want to save your first $10,000 to the traditional 401(k), locking in the immediate 25 percent tax savings, and the remaining $7,500 contribution to the Roth 401(k). By doing this, your tax rate on the Roth 401(k) contribution will be reduced to the 15 percent bracket.

For those really excited about the Roth 401(k) option, the Taxpayer Relief Act of 2012 allows in-plan Roth conversions. Essentially, you are able to pay the tax and move assets from the traditional 401(k) to the Roth 401(k) if your plan supports this feature.

4. Reduce expensesRetirement-plan expenses have been

a hot topic lately. 408(b)(2) regulations implemented in 2012 require that fee information be provided to each employee. While you may not be able to control plan expenses, you can review investment expenses and select more cost effective investments.

Use a free service like Morningstar to view the fund expenses and avoid invest-ments with loads, 12b-1 fees or high administrative fees. These expenses have nothing to do with the actual management

of the investment, and you may actually be paying for more of the plan level expenses by using these funds.

5. Diversify Too often, investors feel like they are

diversified because they invest in multiple mutual funds. Diversification is about what you own inside of the mutual funds and how diversified these holdings are.

You can use a free service like Morning-star’s portfolio x-ray to see how your port-folio looks as a whole. For stocks, review diversification between regions, market capitalization (Large Cap, Mid, and Small), valuations (growth versus value) and sec-tors.

Review your portfolio to make sure you are taking an appropriate level of risk and you are fully diversified. Company stock can increase risk and reduce diversifica-tion. If you hold company stock and the company folds, you lose both your job and your retirement.

Finally, once you have built the right portfolio, be sure to routinely rebalance the account. Many plans allow you to automatically rebalance, or buy and sell the funds in your portfolio to get back to your desired asset allocation, once per year.

YOUR MONEY MATTERSYear’s end financial advice for business and personal life

Five ways to make your 401(k) work for you in 2014

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On Retirement

Savings

W. Devin Wolf is a certified financial planner and a wealth manager at the fee-only firm Financial Plan Inc., in Bellingham. He leads the company’s 401(k) branch and serves as chief investment officer, helping families, corporations and foundations make smart financial decisions. Financial Plan Inc. is online at www.financialplaninc.com.


A durable power of attorney (DPOA) is a valuable tool for almost everyone. It ensures the continuity of your financial affairs if you become incapacitated. It’s best to prepare your DPOA in advance, even though you may never need it, but there are a few caveats to keep in mind. Let’s take a look.

The choice is yoursIn essence, a DPOA is a legal document

that gives a person of your choosing the authority to act on your behalf if you are

unable to take action on your own — if, for example, you experience a devastating ill-ness, incapacity following a major surgery, a seri-ous accident or

the onset of dementia. Although these are

As 2014 approaches, many focus on year-end tax planning strategies to reduce the taxes they’ll owe in April. This year many will find themselves paying more, so proper planning is even more critical. Let’s look at some strategies to consider.

For IndividualsMost taxpayers will find their ordinary

2013 income tax rate similar to 2012’s. However, for those with taxable income exceeding $400,000 for single filers ($450,000 if married filing jointly), the top rate will increase to 39.6 percent. Further-more, the phaseout of itemized deductions is back.

To potentially reduce your tax exposure:▶Time the payment of expenses to make the most of your deductions.

▶Pay your fourth-quarter estimated state tax or real-estate property tax in December 2013 or January 2014—whichever year provides the greatest benefit.

▶If you’re planning large donations, evalu-ate when to make the contribution in order to receive the best deduction. Additionally, review whether other charitable planning mechanisms, such as a charitable remain-der trust or donor advised fund can pro-vide additional benefit.

Many taxpayers will be subject to the net invest-ment income tax (NIIT) and addi-tional Medicare tax. The NIIT adds a 3.8 percent tax on the lesser of net invest-ment income or the amount that a taxpayer’s modified adjusted gross income exceeds $200,000 for single filers ($250,000 if mar-ried filing jointly). The 0.9 percent

Medicare tax applies to FICA wages and self-employment income exceeding that same threshold.

The capital gains and dividends tax rate has also increased to 20 percent (23.8 percent with NIIT) for individuals whose taxable income exceeds $400,000 for single filers ($450,000 if married filing jointly).

To potentially reduce your exposure:▶Work with your tax adviser to evaluate your participation in business and rental activities. The NIIT applies only to income

classified as “passive,” so to the extent that you materially participate in the activity, you may be able to reduce your tax expo-sure.

▶Use like-kind exchanges or sell assets on the installment method to defer gains.

▶If you’re 70 1/2 or older, make a chari-table distribution from your IRA to reduce your taxable income.

▶Gift income-producing assets to your children.

▶If you’re an LLC member or business owner with self-employment income, elect to be taxed as an S corporation. S corpora-tion income isn’t considered net invest-ment income.

▶Realize losses in investment portfolios.

▶Donate appreciated property (i.e. stock) to get a charitable deduction. This strategy allows for a deduction at the property’s fair market value while avoiding the capital gains tax and the NIIT.

For BusinessesIn 2013, the maximum Section 179

depreciation deduction is $500,000 and begins to phase out when assets placed in

service during the year exceed $2 million. Up to $250,000 of Section 179 expenses may apply to real property purchases. Effective in 2014, the Section 179 deduc-tion reverts to only $25,000, with the real property provision expiring completely.

Additionally, bonus depreciation of 50 percent of a qualifying asset’s cost can be deducted—a provision that expires at the end of 2013. Leasehold improvements may be depreciated over 15 years (in 2014 this increases to 39 years), and may also be eligible for Section 179 expensing or bonus depreciation.

In light of these dramatic changes, note the timing of your significant asset pur-chases (and when assets are actually placed in service).

Think AheadWhile it’s tempting to put off tax plan-

ning, now is the time to act. You can still implement many of these strategies before the year’s end to impact your tax bill. Con-sult a tax professional to best implement these strategies and achieve results that fit with your overall financial goals.

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YOUR MONEY MATTERS

Tax planning tips to help ring in a successful new year

Kira Bravo

On Tax Planning

Kira Bravo, manager at Moss Adams LLP in Bellingham, has practiced public accounting since 2004. She focuses on tax planning, compliance and consulting for high net worth individuals and closely held businesses and their owners. You can reach her at 360-685-2223 or [email protected].

Get the facts on durable power of attorney

Erin Eddins

On Financial Well-being

YOUR MONEY MATTERS continues on Page 12


The Port of Bellingham Board of Com-missioners adopted its 2014 strategic budget Tuesday, Nov. 19, with a 3-0

vote. Budget items for next year include completion of a major expansion of the city’s airport, repairs to marine infrastruc-ture and the start of environmental cleanup on sites in and around Bellingham’s central waterfront.

The $24.9 million budget will also keep property tax unchanged next year, with rates just under 30 cents (.2861 cents, to be exact) per $1,000 of property value. The proposal means a resident owning a $275,000 home will continue paying about $82 in property taxes to the port, which funds about one quarter of its operating

budget with property tax.A multiyear, $38.5 million expansion of

the Bellingham International Airport is on schedule to finish in 2014. When the expansion is complete, the airport’s com-mercial terminal will be about three times the size it was before, and will include new baggage carousels, ticketing and gate areas.

The airport’s operational and capital expansion costs are supported by airport users, airlines and airport businesses.

Environmental cleanup work will fac-tor heavily into the port’s activity next year and likely further on into the future. The agency’s environmental division is set to begin cleanup actions along with the Washington Department of Ecology at the former Georgia-Pacific pulp and paper mill, the Cornwall Avenue Landfill and

Bellingham’s central waterfront.The port plans to also initiate cleanup

activities in the Whatcom County that will focus first on shoreline restoration in the inner waterway and targeted dredging near the Bellingham Shipping Terminal.

The budget allocates about $10 million in other capital projects, including money to build overnight parking sites for large commercial aircraft at the airport, make repairs and stormwater improvements to the Bellingham Shipping Terminal, replace a portion of the Fairhaven Shipyard Pier and install new fire sprinkler pressure lines, along with other upgrades, at Squali-cum Harbor.

The port’s “corporate goals” include:

▶Finalize the initial development agree-

ments for Bellingham’s future Waterfront District.▶Complete a new master plan for the Bell-ingham International Airport while man-aging airport growth to gain new revenue.▶Redevelop the Bellingham Shipping Terminal and adjacent Log Pond Area to prepare for new activity.▶Restore local marine infrastructure in need of repairs.

A full copy of the port’s 2014 budget is available for download in the online version of this article, which can be accessed at pnw.cc/r1YJY.

Community banks and credit unions are ready and willing to provide financial services to entrepreneurs in the state’s

new legal pot industry.But they aren’t able to, at least not yet.Marijuana businesses, even ones that

will soon be legally licensed in this state, are considered criminal enterprises under federal law, which makes handling their money a crime in the eyes of the Depart-ment of Justice.

Until the agency changes its outlook or Congress changes the law — and efforts are under way to do both — those getting into the pot business can’t open a bank account, secure a line of credit or obtain a loan from a federally insured financial institution in their neighborhood.

For those who make a living doing those things, it’s frustrating.

“We survive in our community and we prosper in our community by providing banking services,” said Denny Eliason, lobbyist for the Washington Bankers Asso-ciation, which represents nearly all of the state’s 93 banks. “It is not a matter of do we want to offer these services. We’re eager to but we’re not willing because there is too much at stake.”

The landscape is the same for credit unions.

“Our hands are tied,” said David Cur-tis, director of compliance services for the Northwest Credit Union Association, which has 104 members in Washington. “Until we can get some official guidance, everybody is in a holding pattern.”

Under the federal Controlled Substances Act, marijuana is deemed a dangerous drug and it’s illegal to grow, distribute and sell it.

In August, U.S. Attorney General Eric Holder said his department would not upend efforts of Washington and Colo-rado to implement regulated marijuana industries approved by their voters. The agency will steer clear as long as the states

run their systems in a way that prevents distribution to minors, keeps money from sales out of the coffers of gangs and pre-vents diversion of marijuana to other states where recreational use by adults remains illegal.

But the feds didn’t green-light banking and financial services. The last time the department looked at the money side came in 2011 when it put out guidelines for how it would deal with medical marijuana busi-nesses. The message to banks was clear: don’t do it.

“Those who engage in transactions involving the proceeds of such activity may also be in violation of federal money laun-dering statutes and other federal financial laws,” Deputy Attorney General James Cole wrote in the 2011 memo.

A lack of banking options won’t impede those who apply for a producer, processor or retailer license in Washington starting Nov. 18.

“We don’t require an applicant to have a business bank account,” said Brian Smith, communications director for the state Liquor Control Board. “During the inves-tigation phase of their application, we may ask that they provide personal or business bank statements to verify source of funds.”

Without banking services, it’s not far-fetched to imagine retailers keeping large sums of money in safes and paying taxes with suitcases of cash.

Gov. Jay Inslee and Colorado Gov. John Hickenlooper pointed out such concerns in an Oct. 2 letter to federal financial offi-cials urging them to find a way to permit normal banking transactions, credit card services and other activities.

“Our states will soon be licensing hun-dreds of retail stores, each of which will, without a normal banking relationship, be forced to conduct business on an all-cash basis,” the governors wrote in their Oct. 2 letter. “This creates an unnecessary inviting target for criminal activity.”

Access to banking services and credit card processing is “a necessary component in ensuring a highly regulated marijuana

system that will accurately track funds, prevent criminal involvement, and pro-mote public safety,” they wrote.

Among those receiving the letter were heads of the Treasury Department, Federal Deposit Insurance Corp. (FDIC), National Credit Union Association and the Comp-troller of the Currency.

“We’re all talking. So much is in the hands of our federal counterparts,” said Scott Jarvis, director of the state’s Depart-ment of Financial Institutions. “Having all that cash running around doesn’t really provide the kind of safe environment the Attorney General has said he wants to see.”

If Jarvis gets asked his advice from a banker, he can’t provide much guidance.

“We’re not telling them ‘no.’ We’re not telling them ‘yes’. We’re telling them you have to make your own decision,” he said. “As a result I think everybody is sitting back and waiting.”

Representatives of banks and credit unions said any rule changes must be crystal clear on what will, and will not, be allowed.

“We are going to be cautious,” Eliason said. “It is an emerging industry. It is going to be a lucrative one. We want an ironclad assurance that we would not be putting charters at risk by banking this industry.”

Local banks, credit unions in a pickle with pot business

BY JERRY CORNFIELD The (Everett) Daily Herald

Some eager to serve new cannabis industry, but with federal restrictions: “Our hands are tied”

Window opens for state’s pot business licenses

Nearly 300 people completed applica-tions, most online, to secure business licenses to either produce, process or retail marijuana, by mid-afternoon on Monday, Nov. 18, the first day applica-tions were accepted through the Wash-ington State Department of Revenue’s Business Licensing Service.

Applicants can submit applications through the state’s Business Licensing Service until Thursday, Dec. 19. Those who plan to form a corporation or lim-ited liability company must first establish them with the Washington Secretary of State’s office, according to revenue department officials. This is a required step before filing an application with the Business Licensing Service.

The revenue department is accepting applications on behalf of the Wash-ington State Liquor Control Board, which will approve licensees. The liquor board began processing applications on Wednesday, Nov 20.

Officials with the revenue department

said the first day of marijuana business licensing went smoothly, thanks to many applicants using the state’s online appli-cation process. Applicants also applied in person at 12 revenue department offices across the state.

According to statistics released by the revenue department, a total of 299 applications had been received by mid-afternoon on Nov. 18: 16 applications had been submitted for marijuana pro-ducers; 62 for processors; 70 for retailers; and 151 for both producer and proces-sor, combined

The state liquor board announced Sept. 4 that it would issue licenses for no more than 334 marijuana retail outlets statewide. Fifteen of those will be issued in Whatcom County; six in Bellingham.

Should there be more applicants than available license allocations for a specific area, the board plans to use a lottery sys-tem to select licensees.


Evan Marczynski, staff reporter for The Bellingham Business Journal, can be reached at 360-647-8805, Ext. 5052, or [email protected].

Jerry Cornfield is a staff writer for The Daily Herald in Everett, Wash., a partner publication of The Bellingham Business Journal.

Port’s 2014 budget includes flat taxes, new capital projectsEnvironmental cleanup on Bellingham’s waterfront is one of several planned improvements




MARKET INDICATORSTracking the local economy

Other factors: Airport, cruise terminal traffic below last year’s levelsAirport tra�c

Oct. 2013: 42,533 Yearly change: �4.53% Monthly: �1.37%Includes total enplanements at Bellingham International Airport

10K

20K

30K

40K

50K

60K

70K

OSAJJMAMFJDNOSAJJMAMFJ2012 2013

Cruise terminal tra�cOct. 2013: 1,546 Yearly change: �18.46% Monthly: �15.19%

Includes inbound/outbound passengers at Bellingham Cruise Terminal

50010001500200025003000350040004500


Bellingham permit valuesOct. 2013: $13.9M Yearly change: �8.59% Monthly: �59.77%

Includes total building-permit valuation in Bellingham

$5M$10M$15M$20M$25M$30M$35M$40M$45M


Whatcom permit valuesOct. 2013: $7.9M Yearly change: �29.51% Monthly: �9.2%Includes total building-permit valuation in unincorporated county areas

$5M

$10M

$15M

$20M

$25M


SOURCE: PORT OF BELLINGHAM SOURCE: PORT OF BELLINGHAM SOURCE: CITY OF BELLINGHAM SOURCE: WHATCOM COUNTY PLANNING & DEVELOPMENT SERVICES

Housing: Busy sales activity continues, but overall price increases slow Home sales prices

Average: Oct-13: $282,221 Yearly: �1.23% Monthly: �6.41% Median: Oct-13: $249,000 Yearly: �3.35% Monthly: �7.74%

$50K

$100K

$150K

$200K

$250K

$300K

$350KAverage price

Median price


Closed residential salesOct. 2013: 280 Yearly change: �15.7% Monthly: �8.11%

Includes single-family homes and condos in Whatcom County

50

100

150

200

250

300

350


Pending residential salesOct. 2013: 276 Yearly change: �11.54% Monthly: �8.91%

Includes single-family homes and condos in Whatcom County

50

100

150

200

250

300

350

400


Foreclosures & delinquenciesDelinquency: Aug-13: 3.33% Yearly: �0.99% Monthly: �0.18%

Foreclosure: Aug-13: 1.17% Yearly: �0.3% Monthly: �0.11%

0.5%1%

1.5%2%

2.5%3%

3.5%4%

4.5%

AJJMAMFJDNOSAJJMAMFJ2012 2013

Foreclosure

Delinquency

SOURCE: NORTHWEST MULTIPLE LISTING SERVICE SOURCE: NORTHWEST MULTIPLE LISTING SERVICE SOURCE: NORTHWEST MULTIPLE LISTING SERVICE SOURCE: CORELOGIC

Spending: Canadian dollar average down nearly 5 percent from last yearSales-tax distribution

Oct. 2013: $1.74M Yearly change: �8.75% Monthly: NegligibleIncludes basic and optional local sales tax to Bellingham

$250K

$500K

$750K

$1M

$1.25M

$1.5M

$1.75M

$2M


Motor-vehicle registrationsOct. 2013: 1,109 Yearly change: �5.62% Monthly: �4.33%

Includes original registrations in Whatcom County

250

500

750

1000

1250

OSAJJMAMFJDNOSAJ2012 2013

Canadian dollarOct. 2013: $0.96 Yearly change: �4.95% Monthly: �1.03%

Includes monthly averages (Canada-to-U.S.) at market closing

$0.10$0.20$0.30$0.40$0.50$0.60$0.70$0.80$0.90$1.00$1.10


Border tra�cApr. 2013: 545,964 Yearly change: �0.65% Monthly: �6.62%

Includes southbound passenger-vehicle crossings into Whatcom County

100K

200K

300K

400K

500K

600K

700K

AMFJDNOSAJJMAMFJ2012 2013

SOURCE: WASHINGTON STATE DEPARTMENT OF REVENUE SOURCE: WASHINGTON STATE DEPARTMENT OF LICENSING SOURCE: BANK OF CANADA SOURCE: U.S. DEPARTMENT OF TRANSPORTATION

Jobs: Employment reports delayed this month; bankruptcies risingUnemployment Rate

Aug. 2013: 7.7% Yearly change: �1.2% Monthly: �0.7%Includes non-seasonally adjusted �gures in Whatcom County

2%

4%

6%

8%

10%


Jobless bene�t claimsOct. 2013: 1,780 Yearly change: �17.09% Monthly: �1.37%

Includes continued unemployment bene�t claims in Whatcom County

1000

2000

3000

4000


Total nonfarm employmentAug. 2013: 82.1K Yearly change: �3.01% Monthly: �0.48%

Includes non-seasonally adjusted �gures in Whatcom County

10K20K30K40K50K60K70K80K90K


BankruptciesOct. 2013: 51 Yearly change: �21.43% Monthly: �18.6%

Includes Chapters 7, 11 and 13 in Whatcom County

10

20

30

40

50

60

70


SOURCE: WASHINGTON STATE EMPLOYMENT SECURITY DEPARTMENT SOURCE: WASHINGTON STATE EMPLOYMENT SECURITY DEPARTMENT SOURCE: WASHINGTON STATE EMPLOYMENT SECURITY DEPARTMENT SOURCE: U.S. BANKRUPTCY COURT, WESTERN DISTRICT OF WASHINGTON


W ith its final “Fly Day,” the Heritage Flight Museum’s days in Bellingham are numbered.

Directors of the nonprofit museum, which is dedicated to preserving and flying historic military aircraft, announced on Thursday, Oct. 31, that they plan to move to the Skagit Regional Airport, in a hangar located at 15053 Crosswind Drive in Bur-lington.

After a final Fly Day at the Bellingham International Airport on Saturday, Nov. 16—the museum uses the monthly events to showcase aircraft and other artifacts in its collection—the organization effectively

shut down as staff and volunteers began pack-ing up and moving to their new home, said Kate Simmons, the museum’s director of programs.

Land-lease negotia-tions last year between the Heritage museum and the Port of Bellingham, which operates the city’s airport, failed to reach agreeable terms on space for a new, larger museum facility that would be located just north of the airport’s runway.

Since 2001, the museum has operated out of an airplane hangar at the Belling-ham airport owned by Apogree LLC, a

firm owned by William Anders, an Apollo astronaut and founder of the nonprofit organization, as well as the father of its current executive director, Greg Anders.

Conceptual plans for Heritage’s new facility included a permanent museum building, along with a library, cafe and

picnic area, as well as displays of decom-missioned aircraft near the entrance to the property.

Heritage scrapped its plans late last year after its directors said they received an

This year’s lively activity in Whatcom County’s residential real-estate

market looks to be continu-ing into the fall, as total closed sales in October rose 15.7 percent compared to last year, according to the latest stats from the North-west Multiple Listing Ser-vice.

The average sale price on homes also rose slightly from $278,791 in Octo-ber 2012 to $282,221 in October 2013, an increase of 1.23 percent. However, the market’s median sale price dropped by 3.35 percent within the same time period, sliding from $257,625 in October 2012 to $249,000 in October of this year.

Figures from the NMLS summarizing October’s activity across the 21 Wash-ington state counties the organization serves showed year-over-year improve-ment in inventory (up 5.5 percent), double-digit increases in the volume of closed sales (up 12.5 per-cent), as well as moderate increases in selling prices

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Local home sales continue rising; median price drops

See HOUSING, Page 27

UP AND AWAY

Heritage Flight Museum announces move to new facility

at Skagit Regional Airport

The Heritage Flight Museum’s future home at the Skagit Regional Airport in Burlington. In front of the hangar sits two aircraft in the museum’s collection, an SNJ-4, left, and a Cessna O-2 Skymaster.

HERITAGE FLIGHT MUSEUM PHOTO | COURTESY TO THE BELLInGHAM BUSInESS JOURnAL


See FLIGHT, Page 18


Most entrepreneurs know that ineffec-tive cash management is one of the leading causes of business failure. It is also often the cause of hasty decisions regarding equity and debt — decisions they will often come to regret.

In good economic times and bad, cash flow is almost always an issue with small to medium sized businesses. Recent changes in our economy — including collateral damage from the federal government budget battles — are raising it to major headache level. Beyond this temporary situation, though, smaller companies are routinely horsed around by big corpora-tions and government when it comes to paying their bills on time.

If you haven’t used your cash flow model recently, it should be dusted off, updated, and re-validated. If you don’t have a work-ing cash flow model at all, this would be a great time to prepare one.

There are two kinds of cash flow that you should know about; one deals with the past and the other with the future. The first, the Cash Flow Statement, is one of the three essential parts of your financial state-ment and addresses two questions about your business: Where did the money come from and what did you do with it?

The other cash flow report is a model that addresses a different set of questions: how much money do we need to make

payroll and our other expenses next month? It allows you to forecast the cash needs for your company — daily, weekly, or month-ly, depending on your requirement.

Because of the coming economic pressures on cash, forecasting your future needs should be given a high priority on your “to do” list.

The good news is that cash flow fore-casts for smaller businesses are not that demanding in terms of accounting or math skills, and, even better, they are both informative and kind of fun. If you have never done one before, the Small Business Administration (SBA), through their Ser-vice Corps of Retired Executives (SCORE), has some templates that you might find useful. Their 12-month cash flow forecast template may be found at www.score.org/sites/default/files/12_Month_Cash_Flow_0.xls . Also, most accounting software pack-ages for smaller businesses have a cash forecast report already built into their system and provide instructions on how to set it up.

The greatest value of a template, or a software package, is in getting you past the

dreaded “Inertia of The Blank Page,” which often dooms projects undertaken by busy managers and entrepreneurs. As useful as they are, though, neither a template nor canned software will do your thinking for you. There is no substitute for your knowl-edge of the business when it comes to cash forecasting.

It is probably best to start by taking a look at last month’s cash outlays. List the payments by type — suppliers, utilities, bank loans, taxes, payroll, and any other expenses that came up. You may find pay-ments for non-expense items and for items paid for up front that are expensed over a longer time period. Use your common sense and your knowledge of the business when deciding which payments are one-time cash outflows and which ones come due periodically.

Your check register can be used to ensure that the cash outlays for the month, less the one-time payments, equals the amount shown in your cash flow state-ment. This validates your model initially and gives you a starting place for the fore-cast.

Using a spreadsheet such as Excel at this point will make the forecasting model eas-ier to calculate as well as more useful. Last month’s cash outlays become the first data column in your spreadsheet. You can orga-nize it to fit your business and your fore-

casting needs, but initially, at least, you will find it useful to group your outlays into recurrent and non-recurrent payments.

You may find it useful to split up the recurrent expenses into monthly and non-monthly. Some taxes, for example, are recurrent but come due quarterly rather than monthly. Others are due in a matter of days after payroll.

Taxes are often the source of cash flow problems for businesses, and making sure that they are included in your forecasting system can avoid a situation where you cannot make a payment on time. Unless you have borrowed money from the mob and can’t pay it back, nothing will get you into trouble faster than missing a payroll tax payment to the Internal Revenue Ser-vice.

Your knowledge of the business becomes they key to forecasting its cash needs. That, along with the monthly, quarterly, and sea-sonal cycle information you can calculate from your payments history, will form a solid cash flow forecast. It is an important step in managing your business instead of your letting your business manage you — and it’s well worth the effort.

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unpleasant circumstances to contemplate, it’s important to remember that the inabil-ity to pay bills or sell assets could under-mine the wisest financial planning.

While a court could appoint a guardian to act for you in the absence of a DPOA, that process can be costly, slow and trau-matic. In most cases, creating a DPOA does not involve the courts at all. You can make your agent’s powers as limited or broad as you wish, including the author-ity to buy property, invest, sign contracts, engage in tax planning, make gifts and plan for government benefits. You may cancel or change your DPOA as long as you are not incapacitated, and you can even name the party or parties who will decide whether you are or not.

How to chooseYour agent — called an agent or attor-

ney-in-fact, though they need not be an attorney — should be someone you trust to manage your affairs, protect your best interests, maintain accurate records and keep your property separate from his or her own. Some states allow multiple agents, but this can cause conflicts if they disagree. However, it is a good idea to name at least one alternate in case your first choice is unable to assume the role.

Some states require your attorney-in-fact to be a state resident. Because your agent may not be recognized across state borders, you may wish to execute a DPOA in each state where you live or work.

Standing or springing DPOAA standing or standby DPOA becomes

effective as soon as you sign it, which means that your agent has immediate power over your affairs. If you’re not com-fortable with that, you may wish to create a springing DPOA, which “springs” into effect once you become incapacitated. This allows you to maintain control for as long as possible, but problems may arise if there is doubt or dispute about your incapac-ity. Neither type of DPOA substitutes for a will; in fact, any DPOA will terminate when you die.

Spelling out the detailsWhile there are do-it-yourself DPOA

forms available, an effective DPOA requires a thorough understanding of your state’s laws and other factors. For example, authorizing an agent to give away your wealth before you die may create tax advantages for your estate, but it can also be an invitation to fraud. Additionally, some third parties such as banks or insur-ance companies may be reluctant to honor a DPOA or may require customized paper-work. For these and other reasons, it is advisable to consult an attorney and finan-cial adviser when drawing up your DPOA.

YOUR MONEY MATTERS

Small businesses need a solid cash-flow model

James McCusker is a Bothell economist, educator and small-business consultant. He can be reached at [email protected]. His columns are also regularly featured in The Herald Business Journal in Everett, Wash., a partner publication of The Bellingham Business Journal.

James McCusker

On Business 101

Erin Eddins is a chartered financial consultant, a member of the Financial Planning Association and is a certified financial planner with StanCorp Investment Advisers Inc. She specializes in Social Security maximization, pre- and post-retirement planning strategies and asset management. She can be reached at [email protected] or 425-212-5986. Her columns also appear in The Herald Business Journal in Everett, Wash., a partner publication of The Bellingham Business Journal.

CONTINUED FROM 8


The Bellingham/What-com Chamber of Com-merce & Industry wel-comes six new members to its Board of Directors with terms beginning in January 2014. “We took the opportunity with six vacancies to build a more economically diverse board,” said Tim Spink, Exxel Pacific and Chamber Board Development Chair. The Board of Directors believes that it still has work to do to build repre-sentation with other key sectors of Whatcom Coun-ty’s economy and feels this list is a great start towards that goal.

They are:Anne Bowen, Director, WCC FoundationRepresenting workforce development in Whatcom County. Whatcom Com-munity College is innovat-ing with its new state-of-the-art Health Professions

Education Center and is now home to CyberWatch West, a prestigious cyber-security education consor-tium.

Julian Greening, General Manager, Wilson MotorsRepresenting a key retail sector in Whatcom County in automobile sales and service, a sector which has not been represented on the Chamber Board for some time.

Jeff Callender, Regional Director, Public Affairs and Communications, Phillips 66 RefineryContinues the Chamber’s long relationship with Cherry Point industries. Jeff is also the President of the Board of Directors for the Economic Develop-ment Council.

Anne Freeman Rasmussen, Director of Development

-Major Gifts, PeaceHealth

Whatcom county was recently recognized as one of the healthiest commu-nities in the United States. PeaceHealth, is one of Whatcom County’s largest employers and a signif-icant community asset. Anne’s representation on the board connects the Chamber of Commerce to this important community asset.

Renè Morris, Senior General Manager, General Growth Properties, Bellis Fair MallRetail is one of the key drivers of Whatcom County’s economy. Renè, originally from Skagit County, brings 15 years of experience in mall man-agement and understands the business from a local, regional and national perspective.

Lydia Bennett, Broker and Consultant, CRE West

CoastLydia brings to the board a unique perspective with experience working as a commercial real estate broker as well as a proper-ty manager for the Port of Bellingham. She is also a highly respected instruc-tor for the commercial real estate industry. In addition, the Board is in the process of hiring a new President/CEO for the Chamber of Com-merce. Applicants are being screened and the best candidates will be re-viewed in the next two to three weeks. “Our plan is to build on our new Board with a new President/CEO ready to go in 2014,”said Kathy Herndon, Board CEO. We are excited to continue our second cen-tury as the Bellingham/Whatcom Chamber of Commerce & Industry.”

CHAMBER WELCOMESNEW BOARD MEMBERS

Bill GormanInterim Execu-tive Director,Bellingham/Whatcom Cham-ber of Commerce& Industry

2013 Current Board of DirectorsCo ChairsJim Darling, Maul, Foster & AlongiKathi Herndon, VSH CPA’sPast ChairChristine Palmerton, Nauti-Girl BrandsTreasurerPeter Cutbill, Whidbey Island BankSecretaryTroy Wills, Peoples BankDirectorsSusie Betts, Solutions Electrical Con-tracting, IncGlen Groenig, The UPS StoreMike McEvoy, McEvoy Oil CompanyJon Sitkin, Chmelik, Sitkin, Davis P.S.Tim Spink, Exxel PacificLori Reece, RE/MAX Whatcom CountyEx-OfficioRobert Fix, Port of BellinghamCale Luna, Advanced Solutions Tech-nologiesLori Rahm, Bellingham/Whatcom County TourismRobert Wilson, Whatcom Council of GovernmentsTyler Byrd, Red Rokk InteractiveBill Gorman, The Chamber

R E P O R TWH TCOMD E C E M B E R 2 0 1 3

Bellingham / Whatcom Chamber of Commerce & Industry : Representing Businesses Across Whatcom County

Client: Whidbey Island BankPub: Stanwood Professional ProfileAd: SBA Ad Live: 9.86" x 3.5"Trim: N/ABleed: N/A

For more information, just call us at (360) 757-0170, or visit www.wibank.com

What An SBA Preferred Lender Can Do For You.

As an SBA Preferred Lender, we can initiate, process and approve your loan internally. And about 95% of the time, that’s exactly what we do. That means less red tape and a lot less waiting for answers. In fact, most of our SBA loans take only a couple of weeks from application to being approved. Why not see if an SBA loan might be a good fit for your business? Call or stop by and talk with any of our helpfulcommercial lenders.


Value-added processing of grain into high quality poultry feed. Alex Ekins, Production Manager of Scratch and Peck Feeds, off-loading grain that will be milled into feed. Photo by Peter James Photography Studio

Twin Brook Creamery, a six-generation Whatcom County family farm, opened a small milk processing plant in 2008. Due to business growth the creamery has since tripled the size of the facility and automated its processing line.

With offices in Skagit and Whatcom Counties, NABC is a private nonprofit that serves

farmers and agriculture-related businesses in Island, San Juan, Skagit, Snohomish and What-com Counties. The nonprofit is governed by a 16-member Board of Directors. Each County ap-points three directors with one director appointed from Wash-

ington State University. More than half of the Board consists of farmers. NABC has nine staff with a deep and diverse set of skills and experience including strategic and business planning, marketing, brand development, finance, facilities development,

food safety, project management and cooperative development. For more information please access www.agbizcenter.org; (360) 336-36727 (Skagit Office) or (360) 593-4744 (Whatcom Office).

WHO ARE THE

NABC

We, who live in Whatcom Coun-ty, are blessed

with beautiful land-scapes and a bounty of wonderful farms and families that provide healthful food. With sales of $326.5M in 2007 (the latest USDA Agricultural Census data currently available) our county ranked number sev-en in Washington State for the total value of commodity agricultural product sold, and number one in Western Washington. It is estimated that agriculture and related industries create well over $1B in economic activity and thousands of jobs in Whatcom County. Farming is not an easy business. There are plenty of risks including weather events, market and price

pressures, rising fuel costs, the rising cost of land, and farm succession challenges. All of these can negatively impact the profitability of a family’s farm business. Much of the dollar increase that propels the $326.5M in the total value of commodity product to achieving more than $1B in economic activ-ity comes from enterprises which are able to add value to their raw products. Help-ing farmers to capture more of that value can be one way to help to improve farm profitability and reduce risk. The Northwest Agricul-ture Business Center (NABC) is a regional private non-profit that provides support in a number of ways to help local agricultural producers capture more value for the commodity products they produce. This support in-

cludes technical assistance for the preparation of stra-tegic, market and business plans, and support to secure sources of capital necessary for business start-up and expansion. NABC currently works “hands-on” to make

direct connections between value-added producers and the supermarkets, institu-tional food service provid-ers, and restaurants that are seeking new and locally produced products. A very important need that NABC serves is to establish or reestablish the infrastructure necessary to increase the production of value-added food prod-ucts. Some of our Whatcom County-oriented projects in-clude business development support that helped with new infrastructure for the local processing and packag-ing of apple cider, certified organic and pasture-raised eggs, dairy products, dis-tilled spirits, energy bars, fresh vegetables and poultry feed. And NABC is continu-ing to support local meat producers seeking expanded opportunities to access US-DA-inspected meat process-ing through its work with the North Cascades Meat Producers Cooperative.

DID YOUKNOW

The second largest saw blade manufacturer in North America is Cut Technologies in Bellingham.

The largest hem-lock moulding manufacturing plant in the world is Sauder Mould-ing in Ferndale.

In 1933, Bell-ingham had two hospitals - Saint Luke’s and Saint Joseph’s.PHOTO: WHATCOM MUSEUM OF HISTORY & ART

The largest manufacturer of ship anchors and marine chain in the U.S. is Lister Chain & Forge in Blaine.PHOTO: RANDEN PETERSON

The third largest marine fuel tank manufacturer in the U.S. is Coast-line Equipment in Bellingham.

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?ADDING TO THE VALUE OF THE REGION’S AGRICULTUREby Jeff Voltz, Project Manager at Northwest Agriculture Business Center

?


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If you haven’t been to Bellis Fair in the last few weeks, you are in for a big sur-

prise!

For the last eight months, Bellis Fair has been undergoing a dramat-

ic facelift. Contractors have been working around the clock replac-ing every tile in the mall to create a complementary tile pattern with altering marble and wood grain. They’ve been building new dramat-ic entrances at the front of the mall

and near Target. New restrooms have replaced the dated and a new Community Room will open in Jan-uary! The new food court is filled with new tables and chairs and soft seating areas are surrounded with lush plants. A grand stone fire-

place with giant video wall is the new centerpiece in the Food Court. Charging stations and free Wi-Fi are now available throughout the mall.

“The transformation is unbeliev-able,” says Sr. General Manager René Morris. “We welcome the community to join in our celebra-tion of the upcoming holiday sea-son. New holiday décor will adorn the mall along with a new Santa set in our Center Court. Santa’s living room will be a welcoming site for children and adults alike. And we aren’t done yet. The next phase of our development is coming in 2014! In addition, we will be an-nouncing our newest retailers soon! “

DID YOUKNOW

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By now you’ve un-doubtedly heard many sound bites about the

Affordable Care Act (ACA) or Obamacare. Some of these are correct and some are slanted towards one political pole or another. Below are the five key impacts that WAHA would recommend business owners know going forward:

1. For all employers the nature of health insurance policies will be changing. The law has attempted to steer the market away from a number of coverage provi-sions that used to be routine policies. Examples include dollar caps on annual cover-age and pre-existing condi-tion clauses.

2. Large employers (over 50 employees) may be subject to penalties starting in 2015 if they do not offer qualify-ing coverage that contains a standardized list of essential benefits.

3. While it will continue to be possible to buy your employee’s health insurance the old-fashioned way, a new vehicle called “health insur-ance exchanges” will also be available to you. These exchanges, like online “big box” stores, will allow you to more quickly compare a wider variety of insurance products. In addition to the government-run exchange in Washington (wahealth-planfinder.org), private

exchanges are also spring-ing up – evidence that the distribution model for health insurance products is beginning to modernize.

4. As an inducement to get more people covered, many employers who don’t currently offer coverage can receive subsidies (also called tax credits) when offering coverage on the exchange.

5. For all employer-of-fered coverage, as well as individual coverage, in 2014 there will be stan-

dards affecting all health in-surance policy cost sharing provisions. These provisions limit consumer out-of-pocket costs. Additionally, each policy must contain 10

“essential health benefits”, such as mental health treat-ment or maternity care. Will these changes raise your costs? Answer: it depends on your individual circumstances. For some, effective total cost will be lower. For others, it will be higher.

To gain a better under-standing of your unique situation, WAHA recom-mends that you consult with a trained insurance broker or an impartial in-person assister.* Brokers and as-

sisters review hundreds of cases and can quickly size up your individual situation. In the best of circumstanc-es, health insurance is a confusing product to buy. As this market undergoes its biggest change in at least 50 years, it won’t get easier to make decisions until this changing market stabilizes. The good news is that dozens of local brokers have been trained on these new realities. Add to that the available in-person-assister organizations like WAHA and you’ll never ever have to learn what a “bronze plan” is unless you want to.

* For a list of brokers and in-person assister organiza-tions in Whatcom County go to whatcomalliance.org.

Larry ThompsonExecutive Director, WAHALarry is a graduate of Johns Hopkins and the University of Oregon. His more than thirty year career has seen him touch in one way or an-other nearly every sector of the health and medical care world. Holding leadership and management roles in the public and private sec-tors, he has worked in public policy, in managing main-stream provider groups, in research and teaching, and in the health insurance sector.

About Whatcom Alliance for Health Advancement (WAHA), whatcomalliance.org Improving Lives, Trans-forming CareWAHA is a nonprofit orga-nization with a mission that includes connecting people to health care and trans-forming our current health care system into one that honors and serves the entire community. To receive notifications on enrollment or education-al opportunities: please sign up for WAHA’s e-newsletter, http://whatcomalliance.org/newsletter-signup/Or like us on facebook, www.facebook.com/whatcomal-liance.

Top Pitfalls & Trapdoors when applying for health plans on Washington Healthplanfinder:

1. If your spouse is offered coverage through an employ-er, you will likely not qualify for a subsidy.

2. Marking YES when the application asks, ‘Do you have coverage?’ is actually asking – Do you already have cov-erage in place for 2014? You need to mark NO to receive a subsidy.

3. Receiving a Notice of Denial is often a notice of denial from Apple Health.

4. If a member of your household is eligible for Apple Health, they will not be included in your household cen-sus that determines subsidy eligibility. If someone goes onto apple, your subsidy amount will adjust.

5. You won’t qualify for a subsidy if you mark ‘Married,

filing Separately.’ You must mark ‘Married, filing Jointly.’

6. Not entering correct income information – need to enter information that is expected for 2014.

7. Clients have to notify their old carrier that they need to cancel their plan.

8. This IS happening, people think that it’s not final, but it is.

9. Recently President Obama stated that you could keep your old plan. Mike Kriedler says that’s a no go.

10. First premium is paid to Washington Healthplan-finder and subsequent payments go directly through the carrier.

“There is no better place than the Chamber to meet today’s business leaders here in Whatcom County.

The more you are involved with the Chamber, the more you will see the benefits the Chamber provides.” Scott Richardson President State Street Insurance Allstate on State Street 2009 Chamber Board Chairman

Join the Chamber Call Marvin Riggs 360-734-1330

What are members saying about the Bellingham/Whatcom Chamber?

“Being involved with the Chamber has allowed me outstanding networking opportunities. I’ve made contacts that simply wouldn’t have evolved without the chamber. In the land of game shows, this would be a daily double.

In the land of sales, this is priceless!”

Troy Wills Vice President/ Branch Manager Peoples Bank Written by Keith Wallace, Broker at Rice Insurance

Navigating Obamacare without a Compassby Larry Thompson, Executive Director atWhatcom Alliance for Health Advancement (WAHA)


A fter spending nearly 15 years filling key roles at the nonprofit Pickford Film Center, including more than a

decade as its executive director, Alice Clark said there was some sadness in closing a rewarding chapter of her life.

But taking into account how far the Pickford has come since its infancy in Bell-ingham, she leaves with a high level of job satisfaction.

The popu-lar downtown theater, which began as a small, 80-seat venue on Cornwall Avenue

(which today continues as the Pickford’s Limelight Cinema), today has a bright, new home in Bellingham’s emerging Arts District and more that 85,000 annual ticket sales with revenues that reach $1 million.

Clark will officially step down as the center’s leader on Dec. 31. The Pickford’s board of directors is in the process of find-ing a successor.

As a driving force behind the center’s fundraising efforts, including a recent suc-cessful effort to raise $225,000 for neces-sary digital upgrades to the theater’s pro-jection equipment, Clark is a proponent of greater collaboration between nonprofits, business owners and city leaders to bolster creative arts in Bellingham. In your time at the Pickford, what accom-plishment are you most proud of?

Building the Pickford Film Center, itself, for sure.

When we started the organization our sole operation was the old Pickford Cin-ema on Cornwall Avenue and, although blessed with many good attributes, it still suffered from limitations of space and inferior sight lines. I became a bit obsessed about figuring out how we could eventually find a better home base that would provide a better viewing experience and give us the space we needed to really become the com-munity hub we knew our members would respond to.

The journey there took most of my tenure at PFC to complete, but it was an amazing experience, and we accomplished what we set out to do. In fact, the PFC has turned out to have more of an impact than we realized in the beginning.

For us, the main driver was about creat-ing a better place to watch and enjoy mov-ies, but the reality is that the film center also evolved into a major anchor in the Arts District and a real economic driver downtown. That has been very cool to see happen.

What do you wish you had more time to work on?

I think I would have to say that would be in the programming aspect of PFC.

We put the outdoor cinema on a bit of a hiatus during the capital campaign and building of the film center, and I think we now have the time to grow that program again, which allows us to serve children and families more than we typically do at our theaters.

I also would like to see us do more for the local filmmakers in the area, from young adults to more accomplished pro-fessionals. I feel that as the regional film organization, it is something we should commit to on a higher level. But that is just my personal opinion.

What’s the best piece of fundraising advice you’ve ever received?

It was from Miriam Barnett, the power-

house behind Allied Arts in the late 90s. She said: ‘’It’s all about relationships.’’

This seems like a no brainer, but in real-ity I think a lot of people underestimate this piece of the puzzle. You can do all of the planning and trainings you want, but without having formed relationships with those you plan to ask to begin with, you won’t get very far.

In fundraising for the Pickford, what was your greatest challenge?

I think that we started before all of our ducks were 100 percent in a row, and in some ways that may have heeded our progress. On the other hand, if we hadn’t started when we did, then we might have wound up having the economic downturn happen earlier in the campaign.

It is easy to speculate about such things. The truth is that it took a long time, we weathered the rough years toward the end and were ultimately successful. Like raising a child, you do the best you can and you make some mistakes along the way.

That’s part of life. What matters in the end is the final result.

What’s the most important thing the Pick-ford brings to Bellingham?

To me it is about bringing the stories from all over the country and the world to our community and giving people the space and time to understand the mean-ing of those stories. Understanding is a key component of this.

We may not be hanging out around fires anymore listening to the tales of past defeats and victories, but we still have the desire for the story, as it tells us about our-selves and our place in the world. Whether

we are learning about how Shackleton made it to Antarctica or watching a kid survive poverty in India, like in “Slumdog Millionaire,” movies expand our under-standing.

When you couple that with our com-munity’s desire to learn and share that experience with each other, then you have created something that does more than show movies—it is a community-building institution, which is a good thing.

What can Bellingham business owners and city leaders can do to foster nonprofit

organizations like the Pickford, as well as other creative-arts groups?

As far as business owners, I think that there are several things they can do that would really help and there are businesses out there that are already doing some of these.

1. Create a culture of giving back within your own company. All nonprofits are possible due in large part to the work of volunteers, so encourage your employees

“When no bank wanted to look at us, Industrial Credit Union saw our business potential. Our experience with Dale has been

exceptional; he is full of innovative ideas. The credit union is convenient and friendly – they always remember my name.”

- George, owner of A-1 Shredding

IndustrialCU.org (360) 734-2043

Business Banking that Realizes Potential

READY FOR THE WRAP PARTYAlice Clark reflects on fundraising and arts

in Bellingham as she steps down from leading the Pickford Film Center

Alice Clark has led the Pickford Film Center in Bellingham since 2001, and has been involved with the center as a founding board member and volunteer since 1998.

EVAN MARCZYNSKI PHOTO | THE BEllINgHAM BuSINESS JOuRNAl


Q&A

See Q&A, PAgE 18


to volunteer with nonprofits by serving as board members, participating in commu-nity projects or other ways. Encouraging this could mean giving paid time off while doing volunteer work, creating a way for employees to work together on a volunteer project and allowing time for employees to speak about the nonprofits they support and why.

2. Offer matching gift programs for your employees. It may not need to be a 50-50 match. If you can afford a flat amount or percentage, then do that. This encourages employees to give and creates goodwill all around in the process.

3. Allocate a percentage of your annual budget to nonprofit sponsorships. This is one of those win-win situations: You help a nonprofit make a program happen, and in return, you gain some positive exposure for your company.

4. Consider what else your business has that might be of use to nonprofits, which are always looking for donated services and equipment. Can you afford to donate something now and then to a nonprofit’s annual fundraiser? You don’t need to wait until they ask. Contact the nonprofits you are interested in, and offer them what you have. The same goes for cast-off equip-ment.

As far as city leaders are concerned, I would like to see leadership on creating a fund for projects like the Pickford Film Center. Right now there are just a handful of avenues for funding, none of which are really designated for projects like ours.

We were able to secure some funds from the local tourism commission, but typically applicants need to show they are drawing

tourists from outside of the city. Most local projects simply don’t fit that requirement.

One idea could be to crowdsource the process. By this I mean groups with proj-ects applying for funding could have them posted on a city-run website (maybe the Arts Commission could be the designated city avenue for these).

The community could review the appli-cations and commit individual funds to the projects they want to see happen. The city would then commit matching funds to those that garnered the most support. This way the city and the community are partnering together with nonprofit groups to make projects happen.

After Dec. 31, what comes next for you?

I think I am an entrepreneur at heart, so I look forward to throwing myself into my new pie business (Alice’s Pies) and taking on that new challenge.

I am dabbling with other ideas, as well, including writing, maybe a little consulting and exploring other business ideas. Hope-fully I will also find time to get back into art by painting and other cool projects, traveling and more hiking.

I also look forward to having fun with the Sunnyland Stomp again next year with an even bigger chicken race.

So much to do, so little time!

The Pickford Film Center is hosting a three-week exhibit on the history of film theaters in Bellingham in honor of its 15th anniversary and its outgoing executive direc-tor, Alice Clark.

The historical exhibit will be on display in the lobby of Pickford Film Center, located at 1318 Bay St. in downtown Bellingham, until Dec. 15.

offer for a $3,500-per-month lease from port officials, which would be too expen-sive for the museum to manage. They argued that when Heritage first moved to the Bellingham airport, former port execu-tive Jim Darling had offered to lease land to the museum for a nominal annual rate of $1, with consideration to its nonprofit status and the potential tourism it could bring.

Darling authored a port memorandum back in 2002 that said the port’s elected commission had found some support for allowing such leasing terms, as long as the museum met several conditions, includ-ing funding the project through a private foundation or state or federal grants and designing the facility so it could be con-verted for other commercial purposes should Heritage ever cease operations.

However, the port commission, which must vote to authorize lease decisions, never officially offered land to the Heritage Flight Museum under those terms.

Daniel Zenk, the port’s aviation director, said in a previous interview with The Bell-ingham Business Journal that the $1 lease offer was not something the port could offer, citing Federal Aviation Administra-tion rules that require airports that accept FAA grant money (which Bellingham’s airport has done to fund upgrades to its runway and facilities) to charge uniform rates for any “fixed-base” operator.

In followup comments last month, Zenk said the museum had been an asset in Bell-ingham, and he’s sure they will be an asset at the Skagit Regional Airport.

“I wish them well. I hope they will thrive

in Skagit County,” Zenk said. Greg Anders said, in a state-

ment released Oct. 31, that the museum’s directors and staff regretted having to leave Bell-ingham.

“We are a small business that cannot survive in an infertile environment. … We must go where we are more likely to thrive,” Anders said.

Simmons said that the museum’s staff hoped to hold a “soft” opening in its new Skagit County hangar space by February. Their target date for a grand opening would be in April, which would coincide with the region’s popular Tulip Festival, she said.

“That would be our hope to do that,” Simmons said. “It might be a little ambitious.”

Simmons said the museum’s directors and staff were excited about the possibilities of their new facility. The move to the Skagit Regional Airport will allow them to bring all of their collections and maintenance work under a single roof, con-tinue with monthly and annual events, develop a gift shop and provide space for both corporate and private events, she said.

Patsy Martin, the executive director of the Port of Skagit, said the addition of the Heritage Flight Museum could bring much-appreciated new activity to the Skagit Regional Airport.

She said the regional aviation facility, which has some cargo service but minimal

passenger flight activity, has seen a recent uptick in business from corporate clients, who use the airport to station their compa-ny-owned jets. A nonprofit museum that can offer event space and bring in visitors and tourists should fit nicely, she said.

“We have a large and very underutilized facility,” Martin said.

Heritage will have to make several modifications to their new space, including updates that will bring it into compliance

with the Americans with Disabilities Act, Simmons said.

She added that any supporters who wanted to lend a hand in the move should contact the museum, which is online at www.heritageflight.org.

German Auto Service, Sales, Trust

Greg Anders, right, Heritage Flight Museum’s executive director, talks with visitors at a Fly Day event in 2011.

NATE MCGREW PHOTO | COURTESY TO THE BElliNGHAM BUSiNESS JOURNAl

FLIGHT | FROM 11

Q&A | FROM 17



Business licenses Listings, which feature both new and renewed licenses, include business name, licensee name and the business’ physical address. Records are obtained from the city of Bellingham.

1123 Productions, 1123 Productions LLC, 2612 Alabama St. #A, Bellingham, WA 98229.A&K Services, Jon Robert Koker, 1131 Van Wyck Road, Bellingham, WA 98226.Active Life Pilates, Cynthia Amy Gabriel, 3240 Cherrywood Ave., Bellingham, WA 98225.Aerial Estates, Aerial Estates, 3001 Lindbergh Ave., Bellingham, WA 98225.Alaska Naturals, Trident Seafoods Corporation, 400 W. Orchard Drive, Bellingham, WA 98225.Ashley Krebsbach Healing Touch, Ashley Charmayne Krebsbach, 4055 Gloria Lane, Bellingham, WA 98226.Barn Hunt Academy, Barn Hunt Academy LLC, 903 19th St., Bellingham, WA 98225.Bay City Construction Company, Bay City Construction Company, 2969 Plymouth Drive, Bellingham, WA 98225.Bay City View 201 LLC, Bay City View 201 LLC, 729 High St., Apt. 201, Bellingham, WA 98225.Bellingham Aromatherapy, Karen Sue Jensen, 26 Inglewood Place, Bellingham, WA 98229.Bellingham Film Festivals, Avielle Rain Heath, 2626 Park St., Bellingham, WA 98225.Bellingham Jazzercise LLC, Bellingham Jazzercise LLC, 1517 Cornwall Ave., Bellingham, WA 98225.Big Moose Catering, Nathan Warner, 3728 Magrath Road, Bellingham, WA 98226.Biomechanix, Greenlight Movement Education LLC, 1221 Fraser St. #102, Bellingham, WA 98229.Blam LLC, Blam LLC, 2118 I St., Bellingham, WA 98225.Blueprint Clinical Inc., BP Clinical Development Inc., 115 W. Magnolia St., Suite 209, Bellingham, WA 98225.Boz Hogg, Boz Hogg, 1114 Harris Ave., Bellingham, WA 98225.Bring The Pane, Jarrett Ashur Merl, 4236 Stone Crest Court, Bellingham, WA 98226.BT Davis Ventures Inc., BT Davis Ventures Inc., 913 Lakeway Drive, Bellingham, WA 98229.Cascade Culinary Consulting, Dillon Matthew Bissell, 2413 Ellis St., Bellingham, WA 98225.Chad Walker, Chad Walker, 2724 Utter St., Bellingham, WA 98225.Christine Harem, Christine Marie Harem, 27 Tumbling Water Drive, Bellingham, WA 98229.Chuy’s Auto Mechanic, Jesus A. Rivera, 1265 Kelly Road, Bellingham, WA 98226.Coastal Regions LLC, Coastal Regions LLC, 4540 Cordata Parkway, Suite 101, Bellingham, WA 98226.Cobalt Mortgage Inc., Cobalt Mortgage Inc., 2200 Rimland Drive, Suite 110, Bellingham, WA 98226.Compass Christian Ministries, Compass Christian Ministries, 2220 Lynn St., Bellingham, WA 98225.Courtenay McFadden, Courtenay McFadden, 110 43rd St., Bellingham, WA 98229.Crooked Hill Cycles LLC, Crooked Hill Cycles LLC, 1819 Donovan Ave., Bellingham, WA 98225.Darkside Glassworks, TetraHealth Clothing And Gifts LLC, 1326 E. Laurel St. #200, Bellingham, WA 98225.David E. Bourlier, David E. Bourlier, 356 Viewcrest Road, Bellingham, WA 98229.Diablo Golf LLC, Diablo Golf LLC, 1200 Broad St. Bellingham, WA 98229.Electric Tree Media, Omar Jordan, 2206 D St., Bellingham, WA 98225.Endless Potential LLC, Endless Potential LLC, 3800 Byron Ave., Unit B, Bellingham, WA 98229.Essen, Essen, 402 Cedar St., Bellingham, WA 98225.Exceleration Driving Schools LLC, Exceleration Driving Schools LLC, 1308 Meador Ave., Suite C-8, Bellingham, WA 98229.Fairhaven Integrative Health PLLC, Fairhaven Integrative Health PLLC, 1224 Harris Ave., Suite 108, Bellingham, WA 98225.Flying Bird Botanicals, Flying Bird Botanicals LLC, 2812 Cedarwood Ave., Bellingham, WA 98225.Forever Homes Concrete Inc., Forever Homes Concrete Inc., 835 Samish Way, Bellingham, WA 98229.Freedman & Associates Psychological Services, PLLC, Freedman & Associates Psychological Services PLLC, 2110 Iron St., Bellingham, WA 98225.Geezers Of America, Geezers Of America LLC, 3712 Seeley St., Bellingham, WA 98226.General Relevance, General Relevance, 1715 E. Sunset Drive, Apt.

3, Bellingham, WA 98226.Glama’s Estate Jewelry And Collectibles LLC, Glama’s Estate Jewelry And Collectibles LLC, 702 Kentucky St., Unit 421, Bellingham, WA 98225.Glass & Gourds By Matt, Matthew John Gregorich, 3802 James St., Unit 49, Bellingham, WA 98226.Global Marketing Strategies LLC, Global Marketing Strategies LLC, 2509 Cedarwood Ave., Suite 3, Bellingham, WA 98225.Green Truck I Limited Partnership, Green Truck I Limited Partnership, 1313 E. Maple St., Suite 217, Bellingham, WA 98225.Green. Fabric. Love., Chiane T. Bakke, 3557 Cedarville Road, Trailer 25, Bellingham, WA 98226.Hana Teriyaki, Yakim Company, 701 W. Holly St., Bellingham, WA 98225.Healing On The Sabbath Ministry, Healing On The Sabbath Ministry, 2105 Birch Circle, Bellingham, WA 98229.Henderson Lawn Care, Douglas Edward Henderson, 1688 Sapphire Trail, Bellingham, WA 98226.Houseware, Houseware, 3720 Woodside Way, Bellingham, WA 98226.Impossible Roads Foundation, Impossible Roads Foundation, 2515 Vining St., Bellingham, WA 98226.Insight Glassworks, Brian Isaac James, 1306 Lakeway Drive, Bellingham, WA 98229.Iron Street Printing LLC, Iron Street Printing LLC, 929 N. State St., Suite B, Bellingham, WA 98225.J. L. White, Jodi Tarvin White, 2833 Meridian St., Bellingham, WA 98225.Jones Physical Therapy, Clare Monica Jones, 2321 Dean Ave., Bellingham, WA 98225.Joule Group LLC, Joule Group LLC, 1329 N. State St., Bellingham, WA 98225.KBK Cleaning, Colleen Komenda, 2374 Forest View Drive, Bellingham, WA 98229.Kelly Kenney, Kelly Kenney, 800 13th St., Bellingham, WA 98225.Kelly Rosebrock Photography, Kelly Lynne Rosebrock, 1015 Railroad Ave., Unit 308, Bellingham, WA 98225.Kountry Customz LLC, Kountry Customz LLC, 5930 Guide Meridian, Bellingham, WA 98226.Let’s Clean, Let’s Clean, 2920 Moore St., Bellingham, WA 98226.Licorice Fish, Licorice Fish, 1909 Donovan Ave., Bellingham, WA 98225.Little Bird Intuitive Arts, Erika Lucienne D. Rado, 1185 Lakewood Lane, Bellingham, WA 98229.Luma Continuing Education, Robert F. Costello, 2330 Cherry St., Bellingham, WA 98225.Mac’s Quality Cleaning, William M. Boyce, 2251 Michigan St., Bellingham, WA 98229.Master Auto Detail LLC, Master Auto Detail LLC, 1204 Iowa St., Bellingham, WA 98229.Memo’s Auto & Carpet Cleaning, Guillermo Rosas, 1302 Birchwood Ave., Apt. B10, Bellingham, WA 98225.Michelle B. Dahlgren, Michelle B. Dahlgren, 4000 Flynn St., Spc. 96,Bellingham, WA 98229.Monica Elizabeth Latham, Monica Elizabeth Latham, 5728 Schickler Lane, Bellingham, WA 98226.Mt. Baker Powder Coating Inc., Mt. Baker Powder Coating Inc., 2023 Grant St., Bellingham, WA 98225.Norbert’s Home & Yard Maintenance, Norbert Zalabai, 149 W. Kellogg Road, Bellingham, WA 98226.Northwest Straits Foundation, Northwest Straits Marine Conservation Foundation, 1155 N. State St., Suite 402, Bellingham, WA 98225.Packetkraft, Jared Andrew Hayward, 1000 High St., Unit 301, Bellingham, WA 98225.Rapid Response, Rapid Response, 4008 Northwest Ave., Apt. I-304, Bellingham, WA 98226.Ravenwood Advisors Inc., Ravenwood Advisors Inc., 2 Ravenwood Court, Bellingham, WA 98229.Redemptive Christian Counseling, Redemptive Christian Counseling, 103 E. Holly St., Suite 404, Bellingham, WA 98225.Relocate Northwest Inc., Relocate Northwest Inc., 1313 E. Maple St. #201-558, Bellingham, WA 98225.Reprise Hosting, Elliot Nelson Bradshaw, 1112 40th St., Bellingham, WA 98229.Rescare Homecare, Res-Care Washington Inc., 1337 Lincoln St., Suite 1, Bellingham, WA 98229.Richmond Corporation, Trans Techno Partners LLC, 3222 Eagleridge Way, Bellingham, WA 98226.Rock And Rye Oyster House, Algonquin Enterprises LLC, 1145 N. State St., Bellingham, WA 98225.Rose’s Home Solutions, Rosalie D. Foss, 713 Marine Drive, Bellingham, WA 98225.

Rosmari Gold Star Cleaning LLC, Rosmari Gold Star Cleaning LLC, 1200 Lincoln St., Unit 190, Bellingham, WA 98229.Security First Financial Services Inc., Security First Financial Services Inc., 2107 Birch Circle, Bellingham, WA 98229.Setting Sun Productions, Darrell Steven Hillaire, 102 E. Maple St., Bellingham, WA 98225.Shikany Technical Services Inc., Shikany Technical Services Inc., 3619 Northridge Pl., Bellingham, WA 98226.SJT Engineering LLC, SJT Engineering LLC, 1033 E. Laurel Road, Bellingham, WA 98226.Sole Photography, Candace Allen, 1676 Summit Court, Bellingham, WA 98226.Spectrum Veterinary Care, Colleen E. Coyne, 3807 York St., Bellingham, WA 98229.Staci Littlefield, Staci Marie Littlefield, 2517 Humboldt St., Bellingham, WA 98225.Stephen A. Seymour, Stephen A. Seymour, 3725 Dana St., Bellingham, WA 98225.Stewart’s Internet Consignment Shop, Randolph Darrell Stewart, 1201 Cornwall Ave., Suite 102, Bellingham, WA 98225.Sunflower Co. Inc., Mason Investment Inc., 745 Cross St., Bellingham, WA 98229.Tera’s Adult Day Care, Tera D. Herting, 1154 Lakewood Lane, Bellingham, WA 98229.The Sisterhood, Olivia B. Hanson-Hostetter, 1215 Kelly Road, Bellingham, WA 98226.The Starving Artist, Aerin A. Adrian, 1342 Orleans St., Bellingham, WA 98229.The Unity Group, Hub International Northwest LLC, 110 Unity St., Bellingham, WA 98225.Thinh Vk Nguyen, Thinh Vk Nguyen, 321 Telegraph Road, Bellingham, WA 98226.Tracey Thuy Tran Vu, Tracey Thuy Tran Vu, 127 W. Kellogg Road, Bellingham, WA 98226.Traditional Karate, Traditional Karate Of Bellingham LLC, 1027 N. Forest St., Bellingham, WA 98225.Trayvax Enterprises LLC, Trayvax Enterprises LLC, 2412 Queen St., Apt. 201, Bellingham, WA 98229.True Name Soap Company, True Name Soap Company LLC, 2929 Cedarwood Ave., Bellingham, WA 98225.Uptown Art Studio, New Bellingham Corp., 23 Bellwether Way #101, Bellingham, WA 98225.Vantage Spot Photography, Angela Nicole Holloway, 2611 Moore St., Bellingham, WA 98226.Vital Produce, Vital Produce, 2925 Cottonwood Ave., Bellingham, WA 98225.Westy Foot Spa/Massage, Shihua Xu, 436 W. Bakerview Road, Suite 107, Bellingham, WA 98226.Whispering Winds PLLC, Whispering Winds PLLC, 1506 F St., Bellingham, WA 98225.

Building permits Includes commercial building activity with an estimated valu-ation listed at $10,000 or more. Records are obtained from the City of Bellingham’s Permit Center. Status updates on permits are available on on the city’s website at pnw.cc/qgu67.

11/12/13 to 11/18/13ISSUED PERMITS905 Darby Drive, $415,000 for foundation only for new blood-collection medical facility: Biolife Plasma Services. Applicant and contractor: Oracle Contracting Services. Permit No.: BLD2013-00522. 11/12/13. 811 Harris Ave., $80,952 for new commercial: install new and used pallet racking system: LFS. Applicant and contractor: Northwest Handling Systems. Permit No.: BLD2013-00515. 11/15/13.202 Ohio St., $50,000 for commercial: remove and replace metal roofing and install new fascia boards (no insulation or structural work proposed). Contractor: Eagle Contracting/STL Building Inc. Permit No.: BLD2013-00547. 11/15/13. PENDING APPLICATIONS1029 22nd St., $1,864,400 for new four-story, 16-unit multifamily building. Permit No.: BLD2013-00389. 11/15/13. 155 E. Kellogg Road, $185,000 for commercial addition and alterations: construct addition between two existing senior-care facilities and combine the two into one building: Highgate House. Permit No.: BLD2013-00344. 11/13/13.519 E. Maple St., $25,000 for commercial: repair structure hit by vehicle, install retaining wall and reinforce interior balcony where portion removed. Permit No.: BLD2013-00534. 11/14/13.1014 N. Garden St., $15,000 for commercial: replace exterior wood front-entry stair with new concrete stair and metal railing. Permit No.: BLD2013-00545. 11/14/13. 1020 Garden St., $10,000 for commercial: replacement of exterior stairway and second floor deck. Permit No.: BLD2013-00546.

11/14/13. 11/4/13 to 11/12/13ISSUED PERMITS910 W. Holly St., $200,000 for commercial addition/alteration: elevator constructed on exterior of building: Lighthouse Mission. Contractor: Colacurcio Bros. Inc. Permit No.: BLD2013-00520. 11/8/13. 1001 Meador Ave. 108 (tool storage), $121,000 for commercial: demolish and replace existing storage building with post-frame building. Contractor: Alvord & Richardson Construction Co. Permit No.: BLD2013-00458. 11/5/13. 700 W. Holly St., $100,000 for commercial: repair and restoration of south facade of building from second floor to parapet. Contractor: Pearson Construction Corp. Permit No.: BLD2013-00510. 11/4/13. 2950 Newmarket St. 104, $50,000 for commercial: new prefabricated walk-up, thru-the-wall ATM and machinery room; modification of existing storefront system. Contractor: Westmark Construction Inc. Permit No.: BLD2013-00532. 11/7/13.PENDING APPLICATIONS913 Lakeway Drive, $45,000 for commercial: remodel of ground floor and second floor bathrooms: RE/MAX. Contractor: Hjelmseth Construction. Permit No.: BLD2013-00539. 11/7/13. 10/28/13 to 11/4/13ISSUED PERMITS2945 Newmarket St., $32,799 for commercial re-roof: re-cover over one layer of existing “tourchdown” roofing with 60 mil. TPO roof membrane system. Applicant and contractor: Hytech Roofing Inc. Permit No.: BLD2013-00291. 10/30/13. 1305 Fraser St. 101, [no valuation listed] for commercial alterations and occupancy change: new fitness studio in previous office/warehouse space: Pro Fitness Northwest. Contractor: Kulshan Builders. Permit No.: BLD2013-00476. 11/1/13. PENDING APPLICATIONS2500 Squalicum Parkway, $890,299 for commercial: phase one (9,960 square feet) of new 21,000-square-foot, one-story medical office building with associated, on-site parking (shell only). Permit No.: BLD2013-00535. 10/31/13. 2014 C St., $144,000 for commercial alterations: re-roof and repair finishes of judicial-services office area, new HVAC unit and interior security improvements. Contractor: Faber Construction Corp. Permit No.: BLD2013-00507. 10/29/13. 3824 Hammer Drive, $130,000 for new commercial: pre-engineered, open steel RV storage building. Permit No.: BLD2013-00463. 11/1/13.1001 Meador Ave. 101 (Tool Storage), $121,000 for commercial: demolish and replace existing storage building with post-frame building. Permit No.: BLD2013-00458. 10/30/13.2901 Squalicum Parkway CN (ground floor), $118,000 for tenant improvement: remodel of nonpatient support spaces on ground floor. Permit No.: BLD2013-00536. 11/1/13. 3826 Hammer Drive, $100,000 for new commercial: pre-engineered, open steel RV storage building. Permit No.: BLD2013-00464. 11/1/13.3820 Hammer Drive, $90,000 for new commercial: office building for RV storage site. Permit No.: BLD2013-00462. 11/1/13.3822 Hammer Drive, $80,000 for new commercial: pre-engineered, open steel RV storage building. Permit No.: BLD2013-00461. 11/1/13.23 Bellwether Way 101, $50,000 for tenant improvement: Suite 101 to be an art studio. Permit No.: BLD2013-00533. 10/31/13. 2950 Newmarket St. 104, $50,000 for commercial: new prefabricated walk-up, “thru-the-wall” ATM and machinery rooms and modification of existing storefront system. Permit No.: BLD2013-00532. 10/30/13. 1100 Railroad Ave., $34,000 for commercial: add a service platform within the clock tower. Permit No.: BLD2013-00528. 10/28/13. 519 E. Maple St., $25,000 for commercial: repair structure hit by vehicle, install retaining wall and reinforce interior balcony where portion was removed. Permit No.: BLD2013-00534. 10/31/13. 10/21/13 to 10/28/13ISSUED PERMITS1115 E. Sunset Drive 100, $810,000 for commercial alterations: reconstruction and enlargement of Goodwill facility; includes remodel of adjacent theater building for classrooms and warehouse/production; remodel sales area; preparation for covered loading. Application: PKJB Architectural Group. Contractor: Foushee & Associations Co. Inc. Permit No.: BLD2013-00433. 10/25/2013. 119 N. Commercial St., $22,000 for commercial alteration: extend exterior exit stairway to roof of building; add service-equipment ladder to access equipment areas behind parapet walls: Bellingham Towers. Applicant: Susie Landsem. Contractor: Sea Con LLC. Permit No.: BLD2013-00265. 10/23/2013. 1600 Kentucky St. B4, $10,000 for tenant improvement: remodel to convert/expand warehouse for karate studio (includes firewall construction and stairway/landing): Pacific NW Karate LLC. Contractor: tenant (with affidavit). Permit No.: BLD2013-00483. 10/23/2013.

PUBLIC RECORDSGovernment information relevant to business

see recOrds, Page 20


Pending applications561 W. Bakerview Road, $863,600 for commercial: new emergency animal care clinic. Contractor: Moceri Construction Inc. Permit No.: BLD2013-00229. 10/21/2013. 905 Darby Drive, $415,000 for foundation-only for new 16,694-square-foot medical facility: Biolife Plasma Services. Applicant and contractor: Oracle Contracting Services. Permit No.: BLD2013-00522. 10/23/2013. 4051 Meridian St., $200,000 for commercial: construction of retaining walls for hotel development. Contractor: Colacurcio Bros Inc. Permit No.: BLD2013-00526. 10/25/2013. 1304 F St., $200,000 for commercial: addition of elevator at northeast corner of building to provide ADA access. Contractor: Colacurcio Bros Inc. Permit No.: BLD2013-00520. 10/21/2013.

Liquor Licenses Records include license activity in Whatcom County. They are obtained from the Washington State Liquor Control Board, which is online at www.liq.wa.gov.

10/30/13 to 11/13/13NeW liceNSe aPPlicatioNSBevMo!; Beverages & More inc. applied for changes on an existing license to be a direct-shipment receiver (in/out of Wa), sell beer/wine/spirits in a specialty shop, make growler and keg sales and offer samples of spirits at 114 W. Stuart Road, Bellingham, WA 98226. License No.: 410145. 11/12/13. taqueria tecalitlan; Juan V. carrillo and olivia R. carrillo applied for a new license to see beer/wine in a restaurant at 1263 Barkley Blvd., Suite 101, Bellingham, WA 98226. License No.: 409866. 11/8/13. Birch Bay liquor Store; terra lynn Zuidmeer applied to assume an existing license held by Birch Bay liquor Store, John Everett Zuidmeer and Terra Lynn Zuidmeer, to sell beer/wine in a specialty shop and be a CLS spirits retailer at 7832 Birch Bay Drive, Blaine, WA 98230. License No.: 079756. 10/30/13.ReceNtly aPPRoVeD liceNSeSNone reported. DiScoNtiNueD liceNSeSold Fairhaven Wines at 1106 Harris ave., Suite 4, Bellingham, WA 98225, had a license to be a direct-shipment receiver (in/out of WA) discontinued. License No.: 085928. 11/12/13. 10/16/13 to 10/30/13NeW liceNSe aPPlicatioNSBevX360 Bellingham Beverage express, Bellingham Beverage Express LLC; Craig Michael Mullarky, Laurie E. Mullarky, Mark E.

Shintaffer, Amy M. Shintaffer, Dean Phillip Shintaffer and Joyce A. Shintaffer applied for changes on an existing license to sell beer/wine in a restaurant and for off-premises consumption at 2001 Iowa St., Suite A, Bellingham, WA 98229. License No.: 409956. 10/23/13. Bellingham lake Grocery outlet; Grocery outlet inc. and BGo inc. applied for changes on an existing license to be a direct-shipment receiver (in/out of Wa), sell beer/wine in a grocery store and offer beer/wine tastings at 1600 Ellis Ave., Bellingham, WA 98225. License No.: 08328. 10/18/13.Jofish Seafood; Deana elizabeth Haworth and David Dale Haworth applied for a new application to sell beer/wine in a restaurant at 312 Front St., Lynden, WA 98264. License No.: 355146. 10/18/13.ReceNtly aPPRoVeD liceNSeSRite aid #5241 at 1195 Boblett St., Blaine, WA 98230, had a change of location approved on an existing license to sell beer/wine in a grocery store. License No.: 411899. 10/24/13. DiScoNtiNueD liceNSeSStone Pot at 113 e. Magnolia St., Bellingham, WA 98225, had a license to sell beer/wine in a restaurant discontinued. License No.: 355711. 10/17/13.

Bankruptcies Business-related debts only. Listings feature debtor name(s), case number and filing date. Records are obtained from the U.S. Bankruptcy Court, Western District of Washington.

cHaPteR 7Straight bankruptcy; debtor gives up non-exempt property and debts are discharged.None reported. cHaPteR 11Business reorganization; protection from creditors while business devises plan of reorganization. Income/expense reports must be filed monthly.Konil Hwang, 13-20022-TWD, 11/14/2013.cHaPteR 13Plan devised by individual to pay a percentage of debts, based on ability to pay. All disposable income must be used to pay. Patti M. umland, 13-19625-KAO. 10/31/2013.

FederaL tax Liens Tax liens of $5,000 or more issued by the Internal Revenue Ser-vice. Listings include taxpayer name(s), lien amount, document number and filing date. Records are obtained locally from the Whatcom County Auditor’s Office.

William c. Wibby, $27,712.71, 2131100819, 11/8/2013.Shannon R. Gobbato, $14,350.85, 2131100818, 11/8/2013.

William c. Wibby, $7,886.96, 2131100817, 11/8/2013.Wayne N. Frye iii and Jenaea langnese, $45,982.87, 2131100267, 11/4/2013.Parkway chevron llc, Gablehouse, Brad G. MBR, $9,151.86, 2131100089, 11/1/2013.Birch Bay cab company inc., $5,565.05, 2131100088, 11/1/2013.Robert W. Kness, $166,882.59, 2131100087, 11/1/2013.Rutledge embroidery corp. Reco, $9,233.07, 2131100086, 11/1/2013.B&B Paint co. inc., $75,075.28, 2131100085, 11/1/2013.Ryan caillier, Arlis’s Restaurant, $16,080.20, 2131100084, 11/1/2013.Douglas o. Benton, $9,927.14, 2131100082, 11/1/2013.timothy Scott Moore, Slide Mountain Bar & Grill, $17,907.69, 2131100081, 11/1/2013.Van Hofwegen Family Dairy, $31,842.59, 2131002756, 10/25/2013.Robert W. Kness, $24,683.75, 2131002755, 10/25/2013.Wendy S. Heatherly, $17,768.29, 2131002334, 10/22/2013.Robert W. Kness, $22,178.41, 2131002333, 10/22/2013.

reLeases oF FederaL tax Liens

Bellingham Whatcom Radiator & Battery, $33,058.59, 2131100834, 11/8/2013.Bellingham Whatcom Radiator & Battery, $8,434.17, 2131100823, 11/8/2013.Shayne c. Simpson, $11,097.10, 2131100822, 11/8/2013.Bella Marina llc, Gillian Scianna MBR, $9,728.93, 2131100821, 11/8/2013.Bryan corp., Quincy Inn, $245,748.02, 2131100820, 11/8/2013.andrew S. Hernandez and Ruth Hernandez, $10,192.02, 2131100080, 11/1/2013.William e. Findley and Julia l. Findley, $23,909.79, 2131002754, 10/25/2013.allen D. Bellingar, $6,376.26, 2131002753, 10/25/2013.Harkness contracting inc., $7,152.41, 2131002317, 10/22/2013.Harkness contracting inc., $18,866.20, 2131002324, 10/22/2013.Harkness contracting inc., $29,444.44, 2131002323, 10/22/2013.Harkness contracting inc., $47,226.69, 2131002321, 10/22/2013.Mile Keser and carole Keser, $21,619.56, 2131002320, 10/22/2013.

Harkness contracting inc., $97,253.78, 2131002319, 10/22/2013.

state tax judgments Tax judgments of $5,000 or more issued by Washington state

government agencies and filed locally in Whatcom County Supe-rior Court. Listings include taxpayer name(s), judgment amount, the state agency filing the judgment, case number and filing date. Records are obtained from the Whatcom County Superior Court Clerk’s Office.

chazzzam Signs & Graphics llc, $9,636.88, Revenue, 13-2-02872-3, 11/18/2013.Heritage Building company llc, $22,596.03, Revenue, 13-2-02858-8, 11/14/2013.Platinum Builders inc. dba Platinum Homes, $11,920.37, Revenue, 13-2-02857-0, 11/14/2013.yara Barrera dba Northwest Spectacular events, $23,149.46, Revenue, 13-2-02855-3, 11/14/2013.american logistics llc, $8,072.26, L&I, 13-2-02781-6, 11/5/2013.More carts llc, $14,350.34 (overpaid benefits), Employment Security, 13-2-02774-3, 11/4/2013.Big tiny unlimited, $9,917.76, Revenue, 13-2-02750-6, 10/31/2013.claassen enterprises llc, $5,248.27, Revenue, 13-2-02751-4, 10/31/2013.Kent G. Kok, $5,295.87, Revenue, 13-2-02752-2, 10/31/2013.John cantelini, $18,517.48, L&I, 13-2-02765-4, 10/31/2013.

satisFactions oF state tax judgmentsBig Sky industries ltd., L&I, 08-2-03296-1, 11/19/2013.Big Sky industries ltd., L&I, 11-2-01911-6, 11/19/2013.Grondin construction, L&I, 12-2-01596-8, 11/19/2013.Grondin construction, L&I, 12-2-02019-8, 11/19/2013.Pacific Northwest Karate llc, Revenue, 12-2-02319-7, 11/14/2013.la cantina Birch Bay llc, Revenue, 13-2-01075-1, 11/14/2013.GNa llc, Revenue, 13-2-01440-4, 11/14/2013.Stauffer Stains llc, Revenue, 13-2-01596-6, 11/14/2013.Gabe 5 llc, Revenue, 13-2-02210-5, 11/14/2013.the Ridge Wine Bar llc, Revenue, 13-2-00630-4, 11/5/2013.Harkness contracting inc., Revenue, 13-2-00742-4, 11/5/2013.Bellingham Whatcom Radiator & Battery, Revenue, 13-2-00113-4, 11/5/2013.the cat clinic llc, Revenue, 13-2-02025-1, 11/5/2013.Nebula Glass Studios i, L&I, 13-2-01504-4, 10/31/2013.Premier Packing llc, Revenue, 13-2-01597-4, 11/1/2013.

records | FROM 19

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I f you are the owner of a business, you likely know that the idea of jobs

bounded by strict descrip-tions has begun to make little or no sense unless you are involved in providing a service that involves a high degree of repetitive activity.

The smaller the business, the more evident this truth becomes.

Every employee is too large a part of the produc-tive capacity and capability of the business to be bound by a simple description of tasks to be performed. Whoever shows up on a given day needs to be accountable to the custom-ers for doing everything possible to meet their expectations.

As “work” has evolved, so have our businesses. We are all working with fewer employees than we would have in the absence of cur-rent technology. Employ-ees now perform roles on behalf of the business, rather than merely a set of tasks neatly bundled into a “job description.”

Before you offer any argument to the statement I just made, let me acknowl-edge that there are busi-nesses—dental offices come to mind—where specific, technical knowledge is not completely replaceable by responsibility and hard work. When the special-ist who performs the root canals is out sick on Tues-day, no one is going to get a root canal that day.

But what about the relationship with the dis-appointed patients? Who will manage that, and how will they proceed? Not by performing the root canal, but by managing the rela-

tionship.Your business, that is to

say the flow of products or services that is generated by you and your employ-ees is founded on a set of expectations based on past experiences and antici-pated future exchanges. You might refer to some employees as responsible for customer service, but in actuality, the smaller the business, the more likely that every employee has responsibility for the cus-tomer relationship.

The dentist might be out

on a given day, but some sort of value needs to be delivered to insure that the customer will patiently await the return of the spe-cialist.

Back in September 2012, I wrote a piece about this issue that spoke of an employee’s willingness to make a decision to sat-isfy the customer (me!) in a situation where that employee could have easily have said they did not have the authority to honor my request. I will grant you that I was not asking the

employee to perform oral surgery when the dentist was out, but a risk was involved and the employee stepped up.

Ultimately, it is how you perform when you are at your worst that determines whether your business is sustainable. Anyone can perform when everything is working.

How will you find the employees that will honor the customer relationship when the going gets tough?

Recently an associate of mine, Steve Roberts,

wrote a brief post at his site, CoolMindWarm-Heart.com, titled “What our resume will look like in the next life.” Steve is a deeply thoughtful man and frequently inspires me to think differently about familiar issues.

In the piece, he suggests that the capabilities we might need to interview for now, and the questions we need to develop our children to answer, look something like these (italics

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See COOK, Page 22


are my additions):How well can you recog-

nize and act in accordance with timeless, universal principals of health? Not just physical health, but

emotional and psychologi-cal too.

—How well can you manage fear? Again, not necessarily physical but emotional.

— How well can you learn from your experi-ence and share what you’re

learning with others? Are you a collaborator?

—How well can you gain ever-deeper understand-ing of what you cannot live without––in a given situation, and in your life in general? Really, aside from a paycheck, why does

working here make sense in your life?

—How well can you align commitments with action and action with commitments? Do you understand that our prom-ises to customers are yours too?

—How well can you turn conflict into a bridge to greater understanding? The customer may not always be right, but they have a right to their point of view. Get interested.

Ask yourself this: How would you answer these

questions? And how com-fortable would you feel asking them to potential employees?

You may initially look at this list of questions and judge that not all of them are relevant to you or your business. OK, you can pare down the list or create your own. But let me ask you this: Has there ever been a time when you wished you had asked some of these questions, or all of them, or even similar ones?

If you haven’t been ask-ing questions like these, then you have been inter-viewing for employees who can perform when every-thing is going well.

You may want to think about changing your approach.

So your small business is “doing” social media, but not seeing results. It could be because you’re actually doing it

wrong. The reality is that if you are only gener-

ating outbound messages and not interact-ing with others, you are missing important opportunities. It would be like sitting in a room with your brand advocates, but you’re doing all the talking and ignoring everything they are saying.

The good news is that there is a way to improve your results by learning about the benefit of engaging with others. As you read this article, keep in mind that social media is supposed to be social. It is not about posting marketing-related messages on your Facebook page and waiting to see if anyone responds.

What is social-media engagement?

Social-media engagement is defined as communicating with an audience using tools like Facebook, Twitter, Google+, etc. Those who use social-media engage-ment as a marketing tool are able to build a meaningful community, turn customers (and business peers) into brand advocates and even help other local companies suc-ceed.

Businesses that succeed with social-media marketing have found a way to use engagement to give consumers what they

want. With that in

mind, we know that consumers:

1. Want to do business with those they know, like and trust. Engaging with others can help build meaning-ful relationships; when people like a business, they are far more will-ing to become an advocate (and share info with their friends and family).

2. Respond pos-itively when they feel like they are heard. Word spreads quickly online when people have positive experiences with a brand. Word can also spread quickly when people feel ignored. Engagement gives companies an opportunity to listen and provide solu-tions as well as tune in to important con-versations taking place online.

3. Appreciate special discounts and rewards. More and more businesses are using social media to find and reward those who advocate for their business (watch for this trend in 2014).

Engagement: It’s the difference between robotic and interactive

We’ve all seen a social-media page that appears to be made by marketing robots. They crank out post after post about their own products and services without responding, interacting or supporting oth-ers. Nothing social or engaging happens.

Consumers soon understand that the business is only using social media to try and sell them stuff. These businesses are doing social media wrong.

On the other hand, there are social-media pages that are obviously interactive and alive.

We see consumers replying and liking status updates, asking questions or leaving feedback and the business responding to interactions. We also see the business inter-acting with other local business pages to help build an online community. This is an example of doing social media right.

Two simple tips on getting started with engagement

It may seem obvious, but the first tip is to review your pages and respond in a pos-itive, friendly manner to any comments, replies or feedback already on the page. Then from this point forward, make sure you respond to each interaction in a timely manner (within 24 hours).

Try to personalize messages by using

first names in the response, like “Thank you, Pam, for helping spread the word about our local business, we appreciate the support,” or “We always love hearing new ideas from customers, thank you for the suggestion, Don.”

Another tip is to be a positive presence in the local online community.

Start by connecting your business with local companies (make sure you are logged into your business page when connecting, not your personal profile). Look for oppor-tunities to like, comment, share or retweet relevant information they are posting. You will stand out and they will definitely be more likely connect with your business and return the favor.

The main takeaway from this article is to understand that if people are not interact-ing with your social-media pages you can change that by being proactive and encour-aging to others.

Log on to your business page today, and start engaging with your online commu-nity!

Dwight JeppsonCommercial Relationship Manager, [email protected]

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BUSINESS TOOLKIT

Is your business getting social-media engagement wrong?

Patti Rowlson

On Social Media &

Marketing

Patti Rowlson is a marketing consultant and social media manager at PR Consulting, Inc. She helps Whatcom County small businesses identify, implement and consistently maintain marketing-related programs. Learn more about small-business marketing by connecting with PR Consulting on social media sites or by visiting www.pattirowlson.com.

COOK | FROM 21

Mike Cook is a management developer who lives in Anacortes, Wash. He publishes a weekly blog at www.heartofengagement.com.

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Banking Steve Hatfield has been named Wells

Fargo’s new northwest Washington area president. Hatfield will oversee four Wells Fargo retail banking districts (from north Seattle up to the Canadian border), 40 stores and about 400 team members. The Seattle-area native earned a bachelor’s degree in eco-nomics and communica-tions from University of

Washington. He has been with Wells Fargo for 11 years.

Russ Lee will join the leadership team at Skagit State Bank as president and chief operating offices on Nov. 5. He will handle the day-to-day operations for the bank, while Skagit State’s current CEO, Cheryl Bishop, will focus more on developing new opportunities for business growth.Lee received MBA from Western Washington University, and a bachelor’s degree from Luther College in Decorah, Iowa.

Financial servicesLarson Gross PLLC has announced

two new partners on its ownership team: Josh Turrell and Kelli Visser, both certi-fied public accountants. They will begin as partners on Jan. 1.

Turrell joined the firm in 2005 after spending four years with a public account-

ing firm in Tacoma. He has expertise in public accounting, specializing in both audit and attest services, as well as tax planning and preparation for corporations and indi-viduals. He is a graduate of St. Martin’s University in Lacey, Wash.

Visser has been with Larson Gross since 2008, and previously spent eight years with another public accounting firm in Bell-ingham. Her experience is in complex tax compli-ance and consulting, with

a specialization in serving individuals and businesses in the manufacturing, agricul-ture and food processing industries. Visser hold a bachelor’s degree in accounting from Western Washington University and a master’s in taxation from Golden Gate University in San Francisco.

Sara Greenleaf, owner and primary accountant of Greenleaf Bookkeeping & Accounting Services in Bellingham, has been named to Intuit Inc.’s Accountant and Advisor Customer Council. Greenleaf is one of 18 council members who will share their insights, experience and expertise to help Intuit develop new products and services for accounting professionals and small business owners. Greenleaf has more than 14 years’ experience in accounting and information systems.

The council meets periodically at Intuit’s Silicon Valley headquarters, getting an inside look at the company’s strategy and products in development. Members partic-ipate for two years, sharing their thoughts on critical accountant and small business tools, such as new online and mobile-based solutions.

Israel Thomas Jacob has been promoted to LPL manager for Peoples Investments,

a division of Peoples Bank in Bellingham. In this new role, he will lead the investments team to grow and develop the invest-ment services line of busi-ness around Washington state. Jacob studied at Northwestern College in Iowa earned a bachelor’s degree in finance. He has

been in the financial services industry for more than 19 years.

Irene Lee-Sluys has joined Waddell & Reed in Bellingham as a certified financial planner and financial adviser. Lee-Sluys previously held a similar position for nearly five year with LPL Financial, located at Peoples Bank.

Jordan Mahoney has joined Waddell & Reed in Bellingham as a financial adviser. Mahoney was previously an adviser’s assis-tant with the company. In her new role,

Mahoney will help develop customized financial plans, recommend investment strategies and counsel clients. Mahoney earned a bachelor’s degree from Eastern Washington University and graduated from Ecola Bible School.

Rick Rosbach has been promoted to res-ident director of Merrill Lynch’s Belling-ham office. Rosbach has been with Merrill Lynch since 2002, and is currently a wealth management adviser with the firm. He is a partner on the Kehoe Rosbach Group, a family team specializing in wealth manage-ment solutions for individuals and families.

Health and wellnessMurry Chiropractic & Associates in

Bellingham has added three new team members. Chad Faaborg joins as the third chiropractor in the practice. He received his doctorate of chiropractic from the Uni-versity of Western States in Portland, Ore.,

in 2012. Renee Caldwell has been hired as a as a licensed massage practitioner. She has 17 years’ experience with injury work, and prior to working as a massage practi-tioner, she was a physical therapy assistant. Shasonta Delmage, a certified personal trainer and CrossFit coach, will facilitate exercise therapy. Delmage has an MBA in marketing and communications.

NonprofitsPeggy Zoro has been hired as interim

executive director for the Whatcom Cen-ter for Early Learning. Sandy Berner, who has served as the agency’s executive for the past nine years, has assumed a new part-time role as fund development coordinator.

Zoro will lead the agency as it searches for a new permanent executive director. he organization plans to host an community event from 5-7 p.m. on Thursday, Jan. 23,

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PEOPLEWho’s news in Bellingham & Whatcom business

Karen Barlean, the chief financial officer of Barlean’s Organic Oils LLC in Ferndale, has been named

the 2013 Professional Woman of the Year by Whatcom Women in Business, which presented the award during a banquet in October.

Barlean joined her family’s company, which produces and sells organic oil products, in Febru-ary 1995. She over-sees accounting and finance, along with other duties.

Barlean was previ-ously a branch manager for Whatcom Educational Credit Union’s Birchwood Branch in Bellingham.

In her community, Barlean is a vol-unteer track and basketball coach for the Ferndale School District, a member of the Ferndale School District Advi-sory Committee and previous board president for Big Brothers Big Sisters of Northwest Washington.

Whatcom Women in Business,

which was established in 1978, serves as a networking and mentorship group for local business women. The orga-nization also funds scholarships for young women about to graduate high school and planning to further their education through a university, com-munity or technical college or trade school.

The finalists for this year’s Profes-sional Woman of the Year award included Randi Axelsson, hotel sales manager of Silver Reef Hotel Casino Spa and tournament director for the Ryan Stiles Golf Classic; Bridget C. Cantrell, author, speaker and founder of Hearts Toward Home International; Anny Havland, co-founder of Neigh-borhood Mortgage and executive producer of Talk It Up TV; Cheri Kilty, executive director of the YWCA; and Michelle Kuss-Cybula, principal of Fairhaven Middle School.

The Bellingham Business Journal is a media sponsor for Whatcom Women in Business’ Professional Women of Year awards.

Barlean named Professional Woman of the Year

Karen Barlean

See PEOPLE, Page 26

Israel Thomas Jacob

Josh Turrell

Kelli Visser

Steve Hatfield

BBJToday.com December 201324

Tourists have discovered Whatcom County and each year more visitors

choose to spend their time and money here. Bellingham Whatcom County Tourism (BWCT) noted that in 2012 visitors added about $600 million to our local economy.

They may be drawn here because of the amazing out-door recreation. Or they could be coming because of our diversity of museums and theaters. Certainly a lot of people are coming here to take part in the growing number of marathons, triath-lons, bike races and of course, the biggest of all – Ski to Sea. Shopping also is a big draw and our community has a lot to offer in this arena as well.

Why would the Port of Bell-ingham care about tourism? Isn’t the Port’s role job cre-ation and economic develop-ment? Doesn’t the Port focus

on transportation?

The Port recognizes that operating our transporta-tion terminals in a way that exceeds visitors’ expectations helps bring them here and, more importantly, brings them back again. The Port is charged with operating the Bellingham Internation-al Airport, the Bellingham Cruise Terminal, the Fairhav-en Transportation Station

(Amtrak and Greyhound) and marinas in Bellingham and Blaine with over 2,000 moorage slips.

Unless a visitor arrives by car, they will pass through a Port-operated transporta-tion terminal. In 2013, over 1 million passengers will fly into or out of the Belling-ham Airport, nearly 60,000 passengers will climb aboard Amtrak in Fairhaven and

nearly 30,000 passengers will arrive or depart aboard the Alaska State Ferry through our local Cruise Terminal. Of course those numbers include both local residents and visitors.

The Port understands that our staff and our facilities directly impact visitors’ Whatcom County experi-ence.

That is one of the reasons the Port has invested over $38 million in the ongoing expansion of the Bellingham Airport. It is also why our staff works to make sure the marina facilities and sur-rounding parks are top notch both for our regular custom-ers and for our visitors. So far this year visiting boaters have spent 1,341 nights at the Squalicum Harbor and 509 nights at Blaine Harbor.

Even those visiting boaters add to our economy. A recent study by a nearby port found that visiting boaters spend an average of $250 per night in the community. That means those visiting boaters likely added $462,500 to our local economy. BWCT estimates that overnight guests staying in hotels spend about $320 per day.

The Port works closely with BWCT to do our part to attract and serve tourists. That includes encouraging regional boaters to visit our marinas and reaching out to communities served by direct flights to Bellingham to make

sure those people know what our community has to offer. We have about a dozen dif-ferent destinations offered at our airport and, in 2014, we will be working even harder to make sure residents in those cities are hearing about

Whatcom County by joining BWCT in their trade show visits to those areas.

The numbers demonstrate the value of overnight visi-tors to our economy and the Port will continue to partner

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Our community was for-tunate to welcome Andy Dumaine from Shrinking

Footprints, a communications and collaboration strategist, late last month. He works with governments and businesses to open minds, broaden perspec-tives, and stimulate the search for more productive paths to sustainable and collaborative prosperity.

Sponsored by Bellingham What-com County Tourism and the Mt. Baker Foothills Chamber of Commerce, Andy conducted a large group, 3-hour presentation

on Wednesday the 20th, where a number of barriers to stronger collaboration were identified by community members and tour-ism partners from throughout Whatcom County. The next day, a small work group spent an entire day blasting through the concerns and beliefs that keep us in an “isolation” mind set.

I guess the first “aha” moment was the realization that although there is great interest in collab-orative opportunities, there isn’t a great deal of motivation to fol-low through. Primarily because people are too darn busy, and

see working together as more time consuming than just doing it yourself. True confession: this is why neither of my daugh-ters learned to cook until they moved out on their own.

The second “aha” moment was recognizing that eventually much more can get done when we work together — as soon as we identify our strengths and weaknesses and collectively assign pieces of the overall tasks to those who have the skills. And ask for help in the areas where individuals are perhaps a little weaker. Back to the

daughters…Thanksgiving used to be an all day ordeal for me. Now, we recognize that my older daughter is a vegetable diva, and my younger daughter has the mashed potatoes and gravy down pat. By handing these tasks off, I freed up time to perfect my turkey and wild rice stuffing! Everyone wins. And we’re having a ball working together in the kitchen.

Erasing the pre-conceived boundaries and barriers to col-laborative destination marketing isn’t easy. What we achieved in six hours, though, was a remark-able first step. We defined com-monalities and points of pride that bring us together. We start-ed working on “our story” as it relates to the entire destination, providing a foundation for the interesting, individual and per-sonal moments that transform a visitor experience. We came with crazy, creative ideas that made us laugh uncontrollably…some of which we will probably incorporate into “our story”.

The goal is simple: economic vitality. The steps to achieve it are difficult. But the 58 people who started the process in the large group presentation, and the 15 who invested their time to move it forward — found that collaboration was way more fun than they expected. Just like cooking Thanksgiving dinner with my daughters!

We plan to invite Andy back

next year to check on our prog-ress. In the meantime, if you’d like to be part of the collabora-tive discussion, please contact [email protected] or [email protected]. Addi-tional information about Andy Dumaine can be found at www.shrinkingfootprint.com

And don’t be surprised if some-one, somewhere, sometime,

hands you a stuffed orca and asks you to pass it along.

Loni Rahm, President & CEOBellingham Whatcom County Tourism904 Potter Street, Bellingham, WA 98229360-671-3990 or [email protected]

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December 4-8, 11-15, 18-22Allied Arts - Holiday Festival of the Arts

December 5Red Cross Real Heros Dinner

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December 7Pioneer Park: Olde Fashioned ChristmasLynden's Lighted Parade

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December EventsVisit our website or call for more details: www.bellingham.org (360) 671-3990

Andy Dumaine Helps To Break Collaborative Barriers


at the Squalicum Boathouse, to honor and celebrate Berner’s work as executive direc-tor and to thank its loyal supporters. http://www.wcel.net.

Public SectorMarvin Waschke, a newly-retired for-

mer manager and software architect at CA Technologies, has been appointed to the What-com County Library System’s board of trust-ees. Waschke joins the five-member volunteer board that is appointed by the Whatcom County Executive. The trustees are responsible for budget

oversight and setting policy for the county’s library system.

Real estate and property salesLoralei Denton recently accepted a posi-

tion as an escrow closer with Whatcom Land Title in Bellingham, after serving as an escrow assistant since 2001. Denton also recently passed her licensing exam to become a limited practice officer. She is now licensed by the Washington State Bar Association and authorized to select, pre-pare and complete form documents for use in closing loans, sales or other transfers of real and personal property.

Brandon Nelson has joined Keller Wil-liams Western Realty in Bellingham as a residential real-estate broker. Nelson previ-ously spent seven years with RE/MAX.

SportsThe Bellingham Bells have hired Jeff

James as its new head coach. James joins Dane Siegfried, assistant coach and Jim Clem, pitching coach and recruiting coor-

dinator. James, has extensive playing and coaching experience throughout the Pacific Northwest, including time spent in the Division I college ranks and in summer leagues.

Previously, James served as the director of baseball operations for Seattle Universi-ty, and has also held coaching roles at Ever-ett Community College and the University of Washington. He lives in Seattle with his wife, Darcee, where they are able to stay in close contact with his father and his grand-mother, Carol James, wife of the late Don James, the legendary head football coach for the University of Washington.

Technology and Web designKastle Huffaker has joined Litzia LLC

in Bellingham as a marketing specialist. Huffaker will develop and execute mar-keting campaigns to expand Litzia’s reach in the community, and support sales and

administrative staff with business development ini-tiatives, including social media and Web presence. She is currently finish-ing a bachelor’s degree in English with a minor in internet resource and cre-ation management, com-bined with a certificate in Web content develop-

ment. Litzia provides a range of business-technology services.

Big Fresh, a Web design and develop-ment firm in Bellingham, has hired Chris Clizbe as a technician in its Tech Help divison. Clizbe is the former owner of Lyn-den IT, which he closed last year. Clizbe has more than 17 years of experience in the information-technology industry, and also has a background in quality control, logis-tics, communications, and security in the U.S. Army National Guard.

Big Fresh has also hired Jordan Ander-

sen as graphic designer at Big Fresh. Anderson graduated from Western Wash-ington University with a bachelor’s degree in design. He has previous experience as a graphic designer in WWU’s College of Fine and Performing Arts.

KudosThe Best Western Plus Heritage Inn

in on McLeod Road Bellingham recently received the hotel chain’s “Green Award” during a Best Western International Con-vention held in San Antonio, Texas. The honor is given to Best Western hotels that demonstrate a commitment to sustaining resources and reducing their carbon foot-prints. Hotels receiving this award comply with “green” guidelines from the American Hotel & Lodging Association, and meet other quality and service standards.

Birch Equipment of Bellingham is encouraging its customers to support a company-wide food bank drive that will run until Monday, Nov. 25. Customers can drop off cash or check donations or non-perishable food items at any Birch Equip-ment store; they will be given 5 percent off of any rental or retail purchase for their donations. Donations will be accepted at Birch Equipment stores in Bellingham, Anacortes, Mount Vernon and Sitka, Alaska. The company is online at www.birchequipment.com.

Bob Wallin Insurance in Bellingham is collecting nonperishable items and monetary donations for the Bellingham Food Bank’s Milk Money program. The company’s goal is to raise $1,500 to provide fresh milk to almost 4,000 kids for two months. Donations can be dropped off in the lobby of Bob Wallin Insurance’s office 1844 Iron St. Those interested in making larger donations can contact Suzanne Tay-lor at 360-734-5204, Ext.218, or [email protected].

ClearView Eyecare in Bellingham, will be collecting used eyeglasses to donate to the Lions Club, in conjunction with a first anniversary open house. The event will be held from 9 a.m. to 4 p.m. on Saturday, Dec. 7. ClearView Eyecare is located at 410 W. Bakerview Road, Suite 107, in Baker-view Square.

Launching Success Learning Store in Bellingham reports it has been able to make $6,150 in donations in the past year to 56 schools and nonprofit groups that help children. Donations focused on organizations that have direct impact on needy children, such as Agape House with Lighthouse Mission Ministries. Launching Success is also a business partner and sup-

porter of The Firs campground, and pro-vided a large percentage of its donations and gifts to that organization, as well.

Craig Cole, president of Brown & Cole Inc. in Bellingham, has been named a “Fellow” by the National Association of Corporate Directors. It is the highest level of credentialing for corporate directors and corporate-governance professionals.

Cole has an extensive background of board service. He currently serves as a director on the boards of Pioneer Human Services Inc., Brown & Cole Inc., and affiliated companies. He and his wife, Sue Cole, are the owners of Straight Talk Con-sulting LLC, a consultancy on corporate public affairs, strategy, and governance. Recently, Cole has served as a consultant and spokesperson for the Gateway Pacific Terminal project at Cherry Point in What-com County, proposed by SSA Marine of Seattle. He is also a former Whatcom County Councilmember.

Michael Jay, president of Educational Systemics Inc. in Bellingham, has received the inaugural Lamplighter Ambassador Award, presented by the Association of American Publisher’s PreK-12 Learning Group, which supports content creators that serve the pre-kindergarten through 12th grade education community with quality content for students and educators.

Kristiana Kahakauwila, an assistant professor of English at Western Washing-ton University, was selected last summer to be part of the Barnes and Noble Sum-mer Discover Great New Writers program and the Target Emerging Author program for her literary short story collection, “This is Paradise.” The collection depicts the daily lives of Hawaiian natives, relation-ships between locals and tourists and the struggle between the traditional Hawaiian culture and the modern world encroaching on its shores.

Benjamin Miner, as associate profes-sor of biology at Western Washington University, has received, along with his colleague Ian Hewson, a geneticist at Cor-nell University, a one-year research grant from the National Science Foundation to begin to explore the potential reasons for the region’s dramatic loss of sea stars due to what is known as Sea Star Wasting Disease. Miner will be sampling both intertidal areas on foot and near-shore sites by diving in both the Pacific Ocean and inside the Salish Sea, and he will compare the popula-tions he finds there with historical records.

Kastle Huffaker

Marvin Waschke

dent and SBA manager at Banner, believes the bank’s participation in the program has the potential to contribute to economic growth in the Pacific Northwest.

“Banner’s proven SBA-lending capability, coupled with our selection as a pilot bank for Ex-Im’s Global Business Solutions Pro-gram, will certainly enable us to help more small businesses export their goods from the Northwest to other countries through-

out the world,” McLaughlin said.

New primary health care office opens in Fairhaven

A new medical office focused on alterna-tive approaches to primary health care has opened in Bellingham’s Fairhaven District.

Fairhaven Integrative Health is located in 1224 Harris Ave., Suite 108, in the Fairhav-en Square.

Dr. Joseph Garrett operates the practice with his wife, Dr. Sarah Garrett. He said their goal is to integrate natural and con-

ventional medicine with diet and lifestyle, allowing for more personalized treatment for individual patients. They treat a wide range of ailments and accept patients of all ages, he added.

More information can be found at www.fairhavenintegrativehealth.com. The office can also be contacted at 360-990-6266.

Assistance League of Bellingham opens new thrift store

The Assistance League of Bellingham’s new Thrift & Gift has opened at 2817

Meridian St. It sells men’s and women’s clothing, shoes, accessories, household and decorative items, books and new office supplies. The new location is currently carrying a large number of Christmas and holiday items, along with winter clothing.

Staffed entirely by volunteers, the shop is an important revenue source to fund phil-anthropic programs operated by the Assis-tance League. More information is online at www.assistanceleaguebellingham.org.

BUZZ | FROM 4

The Buzz is compiled from daily news reports posted on BBJToday.com.

PEOPLE | FROM 23

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request in mid-July, with six split between the entire property and the Granary Build-ing joined by two smaller, self-contained proposals: one from the Bellingham Housing Authority for a 100-unit afford-able housing complex; the other from an Oregon-based partnership seeking to build a waterfront hotel.

Proposal reviews have been taken up by a partnership of local government lead-ers and others, including Fix, Bellingham Mayor Kelli Linville, Whatcom County Executive Jack Louws and Steve Swan, the vice president of university relations at Western Washington University. The group will make recommendations to the port commission, which will make the ultimate decisions.

Initially, port commissioners were told they could have recommendations by early fall 2013. However, Fix said the acceptance of a late entrant to the pool of potential master developers delayed the process.

That entrant, a global partnership with the name Uniting Creatives LLC, has pro-posed a broad scheme called the Four Pil-lars Development. The proposal features a wide array of possible projects, with heavy focus on environmental sustainability and partnerships with local government agen-cies, schools and other organizations.

Along with the Four Pillars Develop-ment’s backers, other firms in the running for the master developer role include:

- Harcourt Developments Limited of Ireland, along with local partner Tin Rock Development Inc. One of Harcourt’s notable projects is the Titanic Quarter on the site of the former Harland and Wolff Shipyard in Belfast, Ireland, where the famous yet ill-fated ocean liner was built in the early 20th Century.

- Williams/Dame and Associates of Portland, Ore., with partner Loci Inc. This group’s past work includes several redevel-opment projects in Portland, including in the city’s Pearl District and South Water-front District.

An early proposal submitted by Belling-ham developer David Ebenal, under the company name Viking Development LLC, has been withdrawn.

The list of proposed developers for the 1920s-era Granary Building remains the

same: - Quay Property Management, based in

Vancouver, British Columbia, seeks to cre-ate a public market in the building, along with restaurants and office space. Quay has developed similar markets in B.C.

- Tollhouse Energy Company, along with Zervas Group Architects, both from Bellingham. Their plan features a fish mar-ket, in addition to restaurants, offices and residential units. Tollhouse would move its offices into the building, Fix said, becom-ing an anchor tenant.

- A Bellingham-based group led by developers James Willson and John Blethen, whose plan emphasizes office and business use over residential units in the Granary. This proposal was made public last year, Blethen presented an architectural illustration of the plans during a port com-mission meeting in fall 2012.

Holding on the GranaryThe Granary Building proposals were

the subject of debate among port commis-sioners last month.

Commissioner Michael McAuley said, during a Nov. 5 work session, that the commission should make a decision on the Granary Building now.

“I don’t want to delay any longer on what we decide to do with that building,” McAu-ley said.

Yet Fix said the port staff ’s recommen-dation to the commission is to choose a master developer for the site first, adding that a master developer would not be the one making a decision on the Granary, but should provide input to commissioners.

Fix said that two of the three firms have expressed reservations about plans to restore the Granary Building, mainly due to the fact that the building’s location will serve as a prominent entry point to their developments in the Waterfront District, should they be approved.

Commissioner Scott Walker said he thinks the master developer should have a say in what happens to the Granary Building, due to the grand scale of the development and the amount of money the master developer will need to spend on any project.

He doesn’t want to start breaking up the development of the site before a master developer is chosen, he said. He worried

that the companies vying to take the mas-ter developer role would be scared off if the port starts making decisions on the prop-erty, especially such an important piece.

“If you don’t let the master developer have a say in this, you’re going to lose some of them right off the bat, for sure,” Walker said.

McAuley pressed his argument, saying the port needs to act on the building now. He said the Granary Building represents an asset that can be put to effective use, and one which the community has made clear it wants brought back to life.

Once marked for demolition due to its decrepit state, the Granary Building was saved last year after port commissioners reversed course following public outcry to keep the building. The building is seen by many to be a historical icon of Bellingham’s waterfront.

Despite the debate last month, the port commission did not make a decision on the building.

Fix further defended the choice to hold on the Granary until a master developer

was picked during comments he made Nov. 7 during a waterfront work session of City Council’s Committee of the Whole.

“I think it is out of sequence to start doing the Granary Building now when its the grand entrance to the 10 acres,” Fix said.

Bellingham Mayor Kelli Linville, who has taken part in the master-developer review process, said she is inclined to pre-fer a developer that wants to have a close relationship with the city and port.

“Certainly, we want a master developer who wants to be a partner,” Linville said Nov. 7.

Fix also gave a message of approval on the waterfront plans to City Council mem-bers.

“We’ve got a great project here. I think it has a lot of potential to go forward,” he said. “It has some momentum right now, so I’m excited for the next couple of years.”

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(up 7.7 percent).Whatcom County’s 5.33 months of home

inventory was above a regional average of 3.02 months. Home inventories between four and six months generally indicate a balanced market, according to the NMLS.

Whatcom real-estate data, October 2013Includes single-family homes and condos

Total closed salesOctober 2013: 280; October 2012: 242Change: 15.7 percent increase

Closed sales, average priceOctober 2013: $282,221 October 2012: $278,791Change: 1.23 percent increase

Closed sales, median priceOctober 2013: $249,000October 2012: $257,625Change: 3.35 percent decrease

Total pending salesOctober 2013: 276; October 2012: 312Change: 11.54 percent decrease

Pending sales, average list priceOctober 2013: $270,577October 2012: $266,837Change: 1.4 percent increase

Pending sales, median list priceOctober 2013: $250,000October 2012: $235,000Change: 6.38 percent increase

Total active listingsOctober 2013: 1,440October 2012: 1,353Change: 6.43 percent increase

Active listings, average list priceOctober 2013: $365,047October 2012: $383,853Change: 4.65 percent decrease

Active listings, median list priceOctober 2013: $283,500October 2012: $278,500Change: 1.8 percent increase

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HOUSING | FROM 11



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Bellingham Business Journal, December 02, 2013