Commissioners Present:Benye Weber and Bruce Bryson

Others Present: Jim Patton (Executive Director), Caron Womsley (Edwards & Associates), Karen Hutchinson (GFMG President), Tom Baenen (GFMG Treasurer), Nathan Whalen (Whidbey News-Times) and Michael Stansbury (GFMG Board Member)

Call to Order:The regular meeting was called to order at 10:30 a.m. by Commissioner Weber in the Service Alternatives Building located at #20 NW First Street in Coupeville, WA, followed by the Pledge of Allegiance.

APPROVAL OF THE MINUTES OF THE PREVIOUS MEETING:

Weber stated that the Minutes for the regular meeting of June 13, 2007 were available for approval and signatures.

ACTION: A motion was made by Weber and seconded by Bryson to approve the June 13, 2007 regular meeting Minutes as submitted.The motion passed unanimously.

SPECIAL PRESENTATIONS:None.

MEETING OPEN TO PUBLIC INPUT:Weber opened the meeting to public input.No one wished to speak and Weber closed the meeting to public input and returned to the public meeting.

UNFINISHED BUSINESS:

Port Executive Director's Report: (Patton)

Boating and fueling activity: Patton reported fuel sales for June were $6,205 and moorage fees were $1,947.Fuel sales were markedly below those for June last year ($11,327) but above those for June, 2005 ($4,096).This suggests that the impact of higher fuel prices may have finally influenced boating activity in our area.June moorage included fees from the houseboat and tug.Patton said that the State Department of Ecology will now require a new report showing how much fuel we sell every six months.He will submit the first report on July 15, 2007.

Status of rental spaces on the Wharf:Patton reported that new leases had been signed for both space D (former Corroseal) and the restaurant (former Harbor Store Café). The Whidbey Center for the Arts had not yet occupied space D.Long Bechard had invested in some new kitchen equipment and had opened the restaurant for business - calling it Long's Café.Patton said that he had totaled the various costs to the Port for cleaning and repairing the restaurant space formally occupied by Jan Graham and he had prepared a letter advising Graham that the costs amounted to $2,918.74.Deducting her security deposit ($200) will leave $2,718.74.Patton said that the balance of Graham's special deposit ($2,880) after deducting April and May rent and utilities, is $1,313.96. The letter requests that Graham inform the Port if she prefers to apply the balance of her special deposit to the costs of cleaning and repairing the restaurant - leaving her owing the Port $1,404.78 for that work.Patton provided copies of the letter to the Board. Weber and Bryson both said that they had inspected the restaurant after Graham had vacated it and could attest to the need for the cleaning and repairs.

ACTION: A motion was made by Weber and seconded by Bryson to approve sending the letter as written to be signed by Patton.The motion passed unanimously

Status of WSU-Beach Watchers' displays on the Wharf and MRC displays on the causeway: Patton reported that the Beach watchers' permanent displays had been installed in the breezeway on the Wharf and that Dick Tackett, Port handyman, had erected the MRC / Beach Watchers / Shore Stewarts interpretive signs on the east side of the causeway.Both were getting lots of interest and attention.Weber and Bryson both said that they had looked at the displays and signs and found them to be excellent.

Status of strengthening the Port office basement:Patton reported that all the necessary approvals and the work permit were in hand and work would begin at 7:30 am on the following day. He said that Larry Kwarsick, the Town of Coupeville Planner, appreciated the Port's patience and cooperation in working through the permitting process which was complicated by the Shoreline Management Program and the need to gain approval from the State Department of Fish and Wildlife.Patton said that he was grateful to Ken Cunningham, owner of Newport Construction, for adjusting his summer schedule to wait for the permit.

Status of the Conservation Easement initiative: Patton reported that he had met with Hutchinson and Stansbury, the newest member of the GFMG Board, to discuss issues related to obtaining a Conservation Easement to protect the Greenbank Farm in perpetuity. Stansbury is an attorney and is a welcome addition to the Port and the GFMG. He said that this issue is outside his legal experience but that he is anxious to help. Patton said that he had been advised by the State Auditor for Ports, Nestor Newman, that there is likely no precedent for a Port surrendering its development rights on public property.Further, Patton learned from the counsel of the Municipal Research and Services Center that it would be appropriate to request an opinion from the State Attorney General, through the Island County Civil Prosecutor.Patton said that the Port's attorney, Dale Roundy, suggested that the Port might have to receive something of equal or higher value than the development rights that it would surrender.This point was also made by the counsel to the Washington Public Ports Association (WPPA), Robert Goodstein.Patton said that the Conservation Easement issue could be likened to one leg of a three legged stool - the other legs being the Master Site Plan for the Greenbank Farm and the Special Review District Zoning Ordnance that already is in place to protect the Farm.Patton described these three legs as being closely related and asked permission of the Board to meet regularly with Hutchinson and Stansbury to keep everything in order and to develop the best approach to the Attorney General.The Board had no objections to Patton meeting with Hutchinson and Stansbury and asked to be kept informed of progress.

Status of planning the 10th anniversary of the purchase of Greenbank Farm:Patton reported that in place of Bryson, the liaison Commissioner, he had attended the second meeting of the Core group that is planning the celebration.Island County Commissioner, Mike Shelton, also attended.Patton was surprised to learn that the group hoped that it could announce at the celebration that the Conservation Easement had been put into place.Patton said that he explained to the group the various issues involved (questionable legal precedent, possible affect on the status of the municipal bonds and possible prohibitive costs to the Port) and suggested that they not count on having the Conservation Easement in place by the date of the celebration, September 23, 2007.Baenen indicated that some of the group had not been aware of the complicated issues concerning the Conservation Easement, while others had assumed that easement protection was already in place.Baenen said that Patton had suggested that the Port might contribute to some aspect of the celebration and had mentioned helping to pay for the advertising.Patton suggested that the Port could contribute as much as $1,000.

ACTION:A motion was made by Weber and seconded by Bryson to authorize a contribution not to exceed $1,000 towards the cost of advertising for the anniversary celebration.The motion passed unanimously.

Schedule for adjusting the fee paid to the GFMF: Patton reported that he and Bryson had met with Baenen to examine the monthly report prepared by the GFMG as to the expenses against the $3,750 fee paid to the group by the Port to manage, operate and maintain the managed properties at the Farm that are not already leased to the GFMG.Patton said that they found the report satisfactory and had discussed the need for a schedule for determining how to adjust the fee according to the requirements of the Management Services Agreement. The adjusted fee amount will commence to be paid to the GFMG on April 1, 2008 and will remain the same until it is again adjusted on April 1, 2010.Patton said that the adjusted fee amount must be shown in the Port's budget for 2008 and, therefore, it must be determined in time for the Board's approval of the Preliminary Budget which must, by state law, occur before September 15, 2007.Baenen suggested that the GFMG provide a contractor's proposal to the Port in time to be considered and agreed upon before that date.Patton said that he planned for the Board to consider and approve the Preliminary Budget at its regular public meeting on September 12, 2007 and meet to adopt the Final Budget at a special meeting for that purpose on October 2, 2007. He said that having the GFMG's proposal in hand sometime in August would be very helpful.Weber and Bryson agreed.Hutchinson said that equipment costs and depreciation would be in the proposal as it would be in any contractor's proposal.

Greenbank Farm Management Report: (Hutchinson) Hutchinson asked the Board if it would be acceptable for the GFMG to mail the invoice for the monthly fee and the check for the leasehold taxes instead of hand delivering them at the Board's monthly meetings.Weber and Bryson said that they had no objection.Hutchinson then gave the following report:

GFMG General Operations

Administration

July Board Meeting Thursday, July 19th at the Jim Davis House

May Financials: Baenen had met with Patton and Bryson and format corrections had been made.

Volunteer Program.Volunteer hours in all aspects of the Farm, including Wine Shop, Markets, Administration, and Managed Property are steadily increasing.

Issy Olivia, the Events Manager, announced her retirement effective July 1, 2007.The new events manager is Missy Villapudua and Peg Tenant has contracted to work the farmers' markets for the summer.

Financials

May, l 2007 financial statements have been reviewed by the Port and Year-to-Date Port Fee is $18,750 and Year-To-Date GFMG Expenses are $18,957.

GFMG paid $600 for a used Brush Hog to mow the managed properties.

CE & Master Site Planning

Michael Stansbury met with Hutchinson and Patton regarding the Conservation Easement and will help with an approach to the State Attorney General

Hutchinson is continuing to work with Susan Lindsey Cohen on concepts for the Master Site Plan and Barn A improvements

Events

Hutchinson provided a list of 15 events from June 1 through August, including the new Whidbey Island Music Festival

Leased Areas

Tenants

Beginning June 1, 2007, the Farm's hours increased and are now 10 a.m. to 5 p.m.Cheryl Sagmeister is conducting regular tenant meetings.

Still seeking new tenant for ex-Tacky Ladies location.The sign is up on the highway, there have been some nibbles, but nothing has been resolved.

Proceeding along with new sign at Highway 525 and Wonn Rd.Two GFMG Board members (Ken Bloom and Terry Rose) have taken on the project along with Richard Rhydes who has started the permitting process.The GFMG will update the Board as progress moves forward.

Volunteer Organizations:

Master Gardeners appreciation gathering scheduled for July 11th

Facilities/Repairs

Barn A painting is complete, and Hutchinson thanked the Board.She did reiterate her request for seagull wire for the roof of the barn.Patton told her that Dick Tackett would take care of that after he installed safety ladders on the mooring floats.

Managed Areas:

General

Mowing

Mowing with 2 tractors

2 volunteers assisting Hank with mowing

22 volunteer mowing hours in April

The GFMG has agreed to place two caution signs at the pond.Cheryl Sagmeister worked with Jim Patton to design suitable signs that would blend in with the pond area but still meet requirements for cautioning those in the vicinity of the pond.

Agricultural

Loganberry area

The loganberries are coming along and there were bees for pollination this year.The crops should be ready for the Loganberry Festival.

Market Garden area.

Products are now available at the farmers markets.

Hutchinson noted that the First Friday Wine Tasting had been very successful.

COMMITTEE REPORTS: The commissioners will provide relevant reports as appropriate for attachment to these Minutes.

Central Whidbey Chamber of Commerce:(Weber)

Marine Resources Committee (MRC):(Weber)

Shoreline Management Plan (SMP) and Greenbank Farm Liaison:(Bryson)

Council of Governments (COG), Economic Development Council (EDC), WPPA Legislative Committee), and Regional Transportation Policy Organization (RTPO):(McDonald) Commissioner McDonald was on vacation.

NEW BUSINESS:

Bid to replace rusted electrical conduit on the causeway: Patton reported that about 150 feet of the 450 foot steel conduit that protects the electrical power lines to the fuel pumps on the Wharf was badly rusted and some of the wires are exposed.He has been seeking a bid from local electricians on the Small Works Roster for several months but only one contractor has responded.The Port has received a bid in the amount of $3,550 from CK Electric Services, Inc. of Coupeville.Bryson said that he had seen the rusted conduit and exposed wires and he believed that this work needed to be done as soon as possible.

ACTION: A motion was made by Bryson and seconded by Weber to accept the bid from CK Electric to repair the electrical conduit on the causeway.The motion passed unanimously and Weber signed acceptance of the bid.

Possible new signage for Wharf tenants: Patton reported that Long Bechard was concerned about attracting customers to her gift shop and restaurant without the large signs that had formerly been on the south face of the wharf building - and which were approved by the Design Review Board (DRB) of the Town of Coupeville in 2002.Patton said that three of the four large signs that had been on the south face of the Wharf were removed when Corroseal and the Harbor Store Café both closed and the Beach Watchers agreed to remove their Rosie sign.Long agreed at that time to remove her gift shop sign as well.The south face of the Wharf now looks like it did half a century ago.Weber and Bryson said that they thought that the Wharf is more attractive without the signs.Patton provided the Board with pictures of a four-sided sign stand that would be about six feet high and would fit in the Front Street entrance to the causeway.Bechard and other tenants on the Wharf could advertise their shops on this new stand.Patton asked the Board to consider this proposal.If the Board has no objections Patton will make the necessary application to the DRB - requesting permission to substitute the sign stand for the four large signs on the south face of the Wharf that the DRB previously approved. Weber and Bryson thanked Patton for this proposal and promised to give him their responses soon.

ANNOUNCEMENTS & ADMINISTRATIVE ACTIONS:

Next Port regular meeting: The next regular monthly meeting of the Port's Board of Commissioners will be held at 10:30 a.m. on Wednesday, August 8, 2007, in the Island County Commissioners Hearing Room located at #1 NE 6th Street, Room B 102, Coupeville, WA.

Monthly Financial Status Report:Womsley submitted the May, 2007 financial statement and the preliminary June, 2007 financial statement.

ACTION: A motion was made by Weber and seconded by Bryson to accept the final May, 2007 financial statement as submitted.The motion passed unanimously.

Approval of Current Vouchers: Womsley submitted vouchers audited and certified by the auditing officer as required by RCW 42.24.080.She also submitted expense reimbursement claims certified as required by RCW 42.24.090.

ACTION: A motion was made by Bryson and seconded by Weber to approve by signature the May, 2007 vouchers, numbers #448 - #482, for a total amount of $41,281.35.The motion passed unanimously.

ADJOURNMENT: There being no further business to come before the Board, Weber adjourned the meeting at 12:14 pm.