» Port OKs budget of nearly $1M

By Steve McCasland
Staff Writer
Thursday, June 11, 2009 | No comments posted. Port of Bandon commissioners approved a $993,951 budget for fiscal year 2009-10 following a public hearing at Coquille on May 28.

The budget includes the elimination of the equivalent of one full-time position. The total amount is up $107,509 from this year’s, but is only $20,465 above the port’s 2007-08 FY budget.

After the hearing and the commission’s subsequent approval of the proposed budget, General Manager Gina Dearth explained, “We’re trying hard to limit expenses whenever possible without reducing the services that we provide and the community expects. Although we’re saving money — and earning a little more (through rents and moorage fees) — the cost to do business has gone up significantly in terms of fuel, paper, the hardware store, utilities, everything.”

Dearth explained that the port’s 2007-08 budget included 4.5 full-time employees, while this year’s has 3.5, with fulltimers including Dearth; harbormaster and inmate supervisor Bob Dearth; and administrative assistant and project manager Trudy Spanier.

In the new budget, Spanier’s pay rate was increased to $14 an hour, while Bob Dearth will see an increase to $16.41 an hour. Gina Dearth — whose salary is equivalent to $21 an hour — proposed no increase for herself.

“Historically, bonuses were given in place of wage increases, resulting in low hourly wages in comparison to other facilities that provide the same services,” Dearth said in her budget message. “These increases are also implemented based on job scope and responsibility. The port has three full-time employees that continue to take on all responsibilities that historically a larger staff completed, resulting in significant savings for the district while we continue to save money to eventually replace inmate labor with a minimum of two maintenance (positions).” She explained that when Bob Dearth retires, the port will cease using inmate labor. At that point, she believes a harbormaster and a pair of maintenance workers will be able to handle the work now covered by the harbormaster/inmate supervisor and the inmate crew — at about the same overall cost.

The commission expressed concern that finding a future replacement for Gina Dearth could be more difficult if her pay isn’t increased along with the other. To that end, commissioners decided to evaluate the general manager at a later date and decide for itself whether a salary increase is appropriate for her.

Legal fees increased

Gina Dearth told the commission that $27,000 of the $40,000 budgeted this year for legal fees had been spent to try to regain control of the port’s old Bandon Fisheries property.

The budget includes no rental income from Bandon Pacific Seafood, the company that owns the big blue building on the port’s waterfront property and operates a small retail seafood market there. The port stopped accepting rent from the company last year after it declared its lease with PSG to be terminated for nonperformance. The matter has been in litigation for some time, but isn’t expected to go to trial until at least 2010.

Dearth proposed budgeting $50,000 for legal fees for 2009-10, but Commissioner Reg Pullen felt that $100,000 would be more appropriate. Dearth then agreed, saying that port attorneys have indicated the cost to go to trial could range from $75,000 to $100,000 or more. With commission approval, the line item for legal fees was increased to $100,000. Maintenance work

“Even in this economy, this budget supports our waterfront facilities and helps us continue our mission to promote economic activity,” Dearth said this week.

The capital projects fund includes approximately $100,000 for repair and maintenance of port assets. Dearth said the improvements may cost less than the amounts estimated.

“We are still debt-free and, fortunately, we don’t depend on the state of Oregon to balance our budget,” Dearth said. “We are able to function on a small tax base (32.49 cents per $1,000 of assessed valuation), supplemented by our rental and moorage income, along with fund-raisers, like our sidewalk brick sales. We don’t live outside our budget.”

She noted that grants also have helped the agency with numerous projects over the years.

Dearth added, “Our mission is to promote the economic development potential of the port district, and we’ll continue to try to bring people to town to boost the local economy any way we can.”