Skamokawa struggles with the economy

You can almost hear Skamokawa’s economy draining into Steamboat Slough. The recession has left the town’s residents with fewer dollars in their jeans and the question, “Where does the town go from here?”

Skamokawa saw what might be called a small renaissance when Colorado developer Warren Rovetch came to town and bought and restored the Skamokawa Town Center in 1994.

Rovetch’s remodel added six new condos, a refurbished dock, a cafe, bed and breakfast and rental space to house Columbia River Kayaking. The improvements lured the locals back and drew groups like Elderhostel, campers from Skamokawa Vista Park and visitors from cities around the nation.

At the same time, Vista Park received grants to improve its park grounds and camping facilities, which drew even more people to town.

Several new bed and breakfasts were built in Skamokawa. The town’s post office reopened. Two new antique stores opened and by the summer of 2002 a car count conducted by Sisters’ Antiques measured almost 300 cars an hour rolling through Skamokawa.

Community spirit rebounded. The Grange Hall reopened after a decade of decay and volunteers stepped forward to aid The Friends of Skamokawa Foundation (Redmen Hall) and the fire department.

Economically, things looked good in Skamokawa at the end of the 1990’s. But today Skamokawa struggles again to maintain any sort of economic vitality. Driving through the town reveals fewer operating businesses. Those that remain, according to their owners, won’t be there long if the economy doesn’t turn around.

“I don’t know what will happen to us,” said Judy Smith, Duck Inn partner. “I do know one thing; if things don’t change soon the Duck will have to shut its doors.”

Smith said the Duck Inn can barely make payroll, let alone turn a profit. The Inn currently owes $57,000 in back taxes. Smith said she and co-owner Johnny Peterson plan to apply for a small business loan to pay off the tax debt and then sell out.

“If we can’t get the loan then the IRS can have the place. There’s not much I can do about it,” Smith said.

The Duck Inn is one thin thread in the flimsy economic fabric holding Skamokawa together. That fabric, however, is unraveling, and Smith points to the Skamokawa Town Center as an example of where the entire town is headed.

The Town Center property is currently tied up in bankruptcy court. A nearby business, The Oasis Tavern, is open only occasionally and also for sale. Legally the tavern has to remain open to be sold with a valid liquor license.

One of Skamokawa’s two antique stores closed, and one of the four B&B’s that opened in recent years is also now in foreclosure.

The kayak center has also closed and the building it occupied is also part of the Town Center bankruptcy filing.

The three remaining Skamokawa B&Bs have seen an overall an up-tick in bookings associated with Columbia River Kayaking Elderhostel/Exploritas programs in relation to the closing of Skamokawa Center.

Vista Park continues to add to Skamokawa’s economy, but at the September meeting of the Port District No. 2 board of commissioners, Park Manager Steve McClain told commissioners, “Our revenues are down considerably from previous years.”

So how did this happen to Skamokawa?

Over decades the town has lost most of its traditional economic base of farming, logging and fishing.

Skamokawa became tied to the nationwide economy when it started to promote itself as a tourist attraction. The local economy became reliant on the finicky whims of the notoriously unreliable tourist dollar.

All the while, Columbia River fishery managers helped to undermine what little commercial fishing remained in Skamokawa. New fishing restrictions reduced the times fishermen could fish to a few days a year.

“I can remember a time,” said Smith nodding toward the empty 150 foot dock outside her window, “when there were literally dozens of fishing boats lined up out there.”

Other pressures followed Skamokawa into the new century and continued to damage its economy. In 1996 and 2006 Skamokawa suffered severe flooding that damaged many of the houses along Skamokawa Creek.

The worst damage to Skamokawa’s economy didn’t come from nature however. Skamokawa’s already weakened economy was further damaged on December 8, 2005 when the state's Clean Indoor Air Act took effect.

Two of the most profitable businesses in Skamokawa were the Duck Inn and the Oasis Tavern. The new smoking ban cut both these business’s profits by almost 50 percent--overnight.

The reduced business at the Duck Inn and Oasis Tavern caused an almost instant drop in employment. One-by-one the Duck Inn’s employees were asked to work part-time. Employees who had worked at the Duck Inn for 15 years couldn’t afford to stay. The already struggling Oasis all but closed it doors.

“The smoking ban is really what did in the Duck’s lounge,” said Smith. “After it passed, there was a noticeable decline in revenue.”

Smith said the law changed the very nature of the Duck’s business. People no longer came for dinner and drinks.

In the end, very little remains of Skamokawa’s economy. Its hub, The Town Center, remains closed, and current owner, Greg Hofmann, seems reluctant to leave. Delays have prevented the sale and reopening of The Town Center, which would help restore some of the town’s economy. (Both Hofmann and his attorney were contacted about the Town Center bankruptcy but didn't respond to phone calls.)

Duck Inn owners Judy Smith and John Peterson, in a move to keep the Duck viable long enough to sell, have reopened their restaurant full time.

“I now cook Monday through Thursday,” said Smith, “but I’ve been doing this for 25 years and I’m tired.”