Port 2 writes budget, OK's tax increase

Commissioners of Port District 2 of Wahkiakum County worked on their budget for 2010 and approved a resolution to place a 1 percent tax increase on voters in the district when they met October 13.

The commissioners postponed their usual discussion and a review of the minutes from the port's previous meeting as well as vouchers approval because port auditor Sharon Mast was called out of town on an emergency.

Manager Steve McClain reported to Commissioners Brian O’Connor, Carlton Appelo and Kayrene Gilbertsen that Skamokawa Vista Park is ending the year in the black.

McClain said the park had $18,220 left in its general fund and $78,900 in its investment fund, which hadn’t grown, but neither had it lost.

“Well it looks like good news,” said O’Connor.

McClain said the park’s finances looked okay, but the park still had to pay its third-quarter taxes and the unsigned vouchers presented at the meeting. “Those are the last big items we need to deduct from the general fund,” he said.

The commissioners learned that dredge Oregon is working in the Brookfield/Pillar Rock area.

“They are working on the channel deepening project,” said McClain, “and won’t be dumping spoils on Vista Park this year.”

McClain said that two owners of what were thought to be five abandoned boats near the park's rear entrance on Pleasant Point Road had called to notify him they would be moving their boats off park property in the next few weeks.

The port is moving ahead with a resolution to auction the remaining boats, trailers and equipment left at its site.

Commissioner Appelo said that he had attended a public meeting to establish a national heritage area with a boundary from Nehalem in Tillamook County, Ore., to North Bend and east to County line Park.

“The reason it’s important to be included,” said Appelo, “is each state gets a million dollars to establish parks and that means we would probably get about $15,000.”

Gilbertsen said she had attended the Council of Governments (COG) meeting and everyone there was worried about budgets.

“The state has a billion and a half shortfall; property tax revenues are down statewide; B&O taxes are down, so it sounded pretty doom-and-gloom at the meeting,” said Gilbertsen.

She also said the meeting revealed how local governments are looking for creative ways to cut expenses without cutting services.

“This is certainly a time when everyone is hunkering down,” she said, “and people aren’t feeling like next year is going to be any rosier.”

O’Connor said he had talked to county officials about the park taking possession of the boat ramp on Pleasant Point road. Gilbertsen asked if it was legal for the county to abandon a right-of-way that leads to water.

“Yes,” said McClain, “providing the right-of-way continues into the park proper.”

O’Connor said the county wasn’t willing to give Vista Park complete ownership of the boat ramp but was willing to share jurisdiction over the ramp.

“If the county doesn’t want to give up ownership of the ramp,” said McClain, “then perhaps they might consider something like a 20-year lease?”

McClain and commissioners all agreed that for liability reasons Vista Park should have some kind of control of the ramp before the park pays for any improvements to the ramp, or tries to enforce its boat launch fees.

The commissioners moved to discuss the Vista Park’s 2010 budget.

Puget Island resident Blue Trott asked McClain why several budget items never change. In particular, Trott was interested the park’s sale of sand to contractors.

“I was noticing that the revenue for sand: It never changes?” asked Trott.

“It changes,” said McClain. “It’s dropped a lot compared to our budget from last year. We’re still selling sand, but with home construction down, not in the amounts we’ve seen in the past.”

McClain said that the change in sales won’t show up as a decline in revenue until the park’s next budget cycle.

McClain said that because things are so up in the air with the economy it's hard to predict what the park’s budget should look like for 2010.

“It’s hard to know,” he said. “I’ve made this budget a little more conservative because we can no longer predict when or if we will have a fishing season or if the economy will bounce back.”

McClain also said things like the forest excise tax have been reduced in the new budget because he doesn’t believe the economy will pick up for awhile.

On the expenditures side, the budget shows a 1 percent pay increase for the park manager, a 2 percent increase for the port manager and a 3 percent increase for park staff.

“There are no full-time staff left at the park,” McClain explained, “ we still have trees to clear and outside work to do so we’re trying to split up the shifts and give the people we have left a little work.”

Other budget categories include Vista Park boat ramp improvement, a contingency for equipment replacement and dredging reserve to help dredge the entrance to Skamokawa Creek. “This budget reflects the situation the park is in today,” said McClain.

O’Connor asked McClain about the dredging reserve.

“Well,” he said, “I’d like to keep some money in that fund so when we get to move the port co-op dredge into the area, we will have enough money to hire people to run it.”

Gilbersten said she was concerned with the budget because the revenue was $71,000 higher than the previous version.

“Last month we were asking how we were going to make expenditures jibe with total revenues, now all of a sudden we’re $71,000 to the good,” she said.

McClain said the previous budget didn’t include grant monies and a $30,000 one-time easement from the US Corps of Engineers to pour their dredge spoils along Vista Park’s shoreline.

“All the additional funds listed are part of the carry-over balance,” said McClain, “and this doesn’t include billings still not received.”

“Well I’m just not comfortable with these numbers,” said Gilbertsen.

Trott asked McClain about the salary increase in the budget.

“Shouldn’t everybody feel lucky to just have a job?” asked Trott. “I mean, it's probably insignificant, but is the increase necessary?”

McClain responded that the increase amounted to $2,100 over six years, and that the park’s employees hadn’t had any increase in pay since 2004. The jobs have no benefits.

Trott also asked about the grant application submitted by the Lower Columbia Economic Development Council to install five new yurts at the park.

The discussion turned into a debate of the value of yurts versus tents. The current budget shows that the park took in $16,000 renting tent spaces and $18,000 renting yurts. Gilbertsen and Trott argued that paying $15,000 to get the LCEDC grant was a waste of money just to install five more yurts.

“So doesn’t that mean that in addition to the $16,000 from the tents and the$18,000 from the yurts, we can probably expect at least another $18, 000 from the new yurts?” O’Connor asked.

O’Connor made a motion to adopt the budget resolution and asked for a second, Appelo seconded. O’Connor and Appelo voted for the resolution; Gilbertsen against it. The budget resolution was adopted.

The commission will schedule a hearing for final approval of Vista Park’s 2010 budget at a later date.

Commissioners then moved on to a resolution that increased property taxes for the Port 2 district residents.

Commissioners voted to increase the district's levy by 1 percent.

Property owners in Wahkiakum County pay a total of $5,850,200 in property taxes. From that amount, state law lets Port 2 levy a tax of $59,376 of the county’s property value in Port 2’s district.

The increase will yield $593 in additional revenue.

“Is it even worth it,” asked Trott. “I mean, didn’t it cost more just in legal fees to produce the resolution than you’re going to get back in taxes?”

Port 2 commissioners passed the resolution unanimously.