Kitsap Peninsula Business Journal by Kitsap Sun Digital

Kitsap Peninsula

Business Journal An edition of the Kitsap Sun

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January 2016 | Vol. 29, No. 1

Manufacturing by the boatload

Two local companies ramp up production of recreational boats Pages 4, 5 Bremerton ďŹ rm builds custom shipboard interiors | 6 Cutting-edge producer/processors rise in cannabis industry | 8, 9

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| January 2016 |

WELCOME | DAVID NELSON

On the Cover

Manufacturing’s rising tide

Bo Palmer stands on a ﬁberglass boat inside the Deﬁance Boats manufacturing facility near the Bremerton Airport. Palmer also owns Allied Boats, a company started two years ago that builds aluminum boats. That manufacturing facility is currently in Bremerton but will move to Olympic View Industrial Park in January. | Story, page 4

Steve Zugschwerdt photo

Growth industry model A state-licensed marijuana producer-processor called Suspended Brands operates a state-of-the-art greenhouse growing operation in Belfair. Story, page 8

Kitsap Peninsula

Business Journal KPBJ.COM

The Kitsap Peninsula Business Journal is published by the Kitsap Sun the first week of every month, and distributed to business addresses through Kitsap County, North Mason and Gig Harbor. David Nelson, Editorial Director david.nelson@kitsapsun.com Tim Kelly, Managing Editor tim.kelly@kitsapsun.com Mike Stevens, Marketing Director mstevens@kitsapsun.com

Shipshape furnishings for carriers JPL Habitability in Bremerton builds special interiors for installation on Navy aircraft carriers. Story, page 6

Jeremy Judd, Digital Director jeremy.judd@kitsapsun.com For inquires to receive the Kitsap Peninsula Business Journal at your business, contact Circulation Sales Director Hugh Hirata at 360792-5247 or hugh.hirata@kitsapsun.com. To advertise in the Kitsap Peninsula Business Journal, contact Michael Stevens at 360-792-3350. TO SUBMIT NEWS: Tim Kelly, Managing Editor tim.kelly@kitsapsun.com 360.377-3711, ext. 5359

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Designs for decomposing Green Mountain Technologies engineers composting systems that are the right size for a small farm or a big city. Story, page 11

he county’s economic development leaders have been fixed on the aerospace sector for the past few years, so much so that an organized effort to recruit such companies was organized and spent money traveling to Paris and London to network. The day may come when Boeing subsidiaries and the like keep the payroll taxes fat in Kitsap County, but this issue of the Kitsap Peninsula Business Journal illustrates the heart of our manufacturing sector is on the water rather than in the air. The boat builders may not need an organized lobby run by the Port of Bremerton to innovate and grow. They’re clearly doing a good job of it already, with the Port’s keystone tenant SAFE Boats remaining on site during a time of growth at a Tacoma facility, a spinoff in the recreational boat sector that’s now booming (see page 5), and longtime building Defiance Boats having spawned a company that’s increasing its production load. For all the trumpeting over what potential the workforce may have for airplane components or defense, it’s clear we’ve got folks who know how to make something float — and far more than just float, as you’ll see in the Life Proof Boat demo videos online, at www.lifeproofboats.com/gallery. What’s so encouraging to see is an industry that connects with the peninsula’s historical behemoth — naval shipbuilding and the ancillary companies to that, like JPL Habitability in Bremerton (page 6) — as well as the natural landscape and recreation that our waters support — fishing and boating. This isn’t just shift work; there’s interesting, exciting stuff going on. Ithinkthere’sanostalgiainthiscommunity fortheshipyardofthepast,andwithgoodreason given Bremerton’s contribution to American military history. But in the same way that careers at PSNS and IMF have evolved — from heavy metal to nuclear technicians, to name one — the manufacturing careers highlighted in this issue show the innovation, creativityandgrowthinablue-collarindustry thatnationalpoliticiansorpunditssometimes bemoanwhentheytalkaboutAmericanmanufacturing losing its might. There are plenty of counters to that story on the Kitsap peninsula right now, and some of those stories are inside this edition. Happy New Year, it’s time to get to work. • David Nelson is editor of the Kitsap Sun and editorial director of the Kitsap Peninsula Business Journal.

| January 2016 |

A rising tide for boat builders ■ Allied Boats, sister company of Defiance, is moving manufacturing

of its aluminum models to a larger space at Port of Bremerton By Tim Kelly

tim.kelly@kitsapsun.com 360-792-3359

While high-profile efforts to draw aerospace manufacturing to Kitsap County are still in the prospecting stage, there’s been an unheralded increase in boat building the past couple of years. It goes beyond producing military vessels, although Allied Boats — an expanding Bremerton company making aluminum fishing boats — was named to salute America’s military heritage, specifically the Allied forces of World War II. “All of our boat models are World War II airplane names,” said company owner Bo Palmer, whose grandfather was a welder in the Navy during the war. Naming the company’s boats Spitfire, Mustang, Warhawk, Corsair, Dominator and Liberator is “a tip of the hat to my grandfather.” Allied started two years ago and is a separate entity from Defiance Boats, which the 37-yearold Palmer co-owns with his father. But Palmer’s Defiance Marine dealership sells the Allied aluminum boats along with the full line of fiberglass models from Defiance Boats and Arima, a company Palmer bought three years ago. The sales ratio of fiberglass to aluminum boats is about 6-to-1 now, “but that really has more to do with our production capacity,” Palmer said. Allied Boats is preparing to move into a larger manufacturing facility in the Port of Bremerton’s Olympic View Industrial Park. “I think that our aluminum Allied line has the potential to surpass Defiance and Arima in (sales) volume,” he said. The Allied boats have been built in a leased 5,000-square-foot building by the Port Washington Narrows in Bremerton. Palmer said the operation will be relocated this month to a building that’s twice as large and located across State Route 3 from the Defiance Marine showroom by the Bremerton Airport.

I COULD SIGN UP a couple more dealers right now, especially in Washington state, but I can’t build enough boats to be able to supply that many dealers until we expand.” — Allied Boats owner Bo Palmer An aluminum boat under construction at SP Marine Fabrication Allied Boats in Bremerton. LARRY STEAGALL

Currently only Defiance Marine and three other U.S. dealers — in Portland, Southern Oregon and Northern California — carry Alliance Boats. “And we just signed a big dealership up in Canada as well,” Palmer noted. “I could sign up a couple more dealers right now, especially here in Washington state,” he said, “but I can’t build enough boats to be able to supply that many dealers until we expand.” The Defiance and Arima brands are available through about 15 dealerships. Those boats are built in two buildings totaling about 25,000 square feet that Defiance Boats leases from Stan Palmer, Bo’s father who owns a construction company. The manufacturing facility was built near the boat dealership in 2012, the year Defiance bought Arima and moved

its operation, which had been in Kent ??, to the Bremerton site. Bo Palmer said the acquisition of Arima, an established company that’s been operating for ??? years, added a line of smaller fishing boats to the Defiance line of center-console boats that range from the 22-foot Admiral 220 EX — the company’s best-selling model — to the 30-foot Guadalupe. “One of the things we have worked for is to be a real boat group, so that when we go to a fishing boat dealership and talk to them about carrying our product, we have everything that they need,” Palmer said. However, the Defiance/Arima combo wasn’t everything that some Northwest dealers and customers wanted. “The thing that we heard over and over again (from dealers) is they weren’t looking to add a fiber-

glassline,they’relookingtoaddan aluminum line,” Palmer said. Defiance had started making its own aluminum add-on products for fiberglass boats about eight years ago, such as a mounting bracket for outboard motors. So that part of the operation was transformed into a separate company to start manufacturing aluminum boats. Allied makes boats in the same size range as Defiance, including its first ??? 30-footer — the Liberator series that will go into production ??? in early 2016. “It’s in the design phase,” Palmer said, although one has been ordered by a fishing guide who takes charter trips off the Pacific coast. “It’s a big, all-walkaround pilothouse offshore fishing boat.” Alliance was launched to compete with high-end aluminum fishing boats from established

manufacturers such as North River Boats and Duckworth Boasts. “We try to be competitive on our pricing, but quality-wise we’re going against the heavy hitters that have been around a long time,” Palmer said. “We came right out of the gate competing with the Mercedes or Rolls Royces of aluminium ﬁshing boats, but we were able to do that in part because of our reputation with Deﬁance Boats and Arima Boats. It would be a lot harder if we were just a start-up.” Another new entry in that market is Life Proof Boats, a company started in 2014 by one of the founders of SAFE Boats International. Its manufacturing facility also is in the Olympic View Industrial Park. A total of about 70 employees See ALLIED, 12

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| January 2016 |

Shipboard displays are JPL’s forte ■ Bremerton factory humming

again with Navy contract work after sequestration slowdown By Terri Gleich KPBJ contributor

A walk through the Bremerton offices of JPL Habitability offers an intriguing peek into the scope and creativity of the manufacturing firm’s work, from fabricating metal cabinets that mimic highend wood furniture for the aircraft carrier USS John C. Stennis to producing utilitarian mess hall stools for the USS America. Jerry LeTexier’s custom shop works primarily for the Navy, designing, fabricating and installing shipboard furniture and fixtures. About 25 percent of its jobs are for other clients, including restaurants. The firm also created and donated the iconic globe sculpture in front of the Boys and Girls Club’s Bremerton Teen Center and built the elegant wood cabinetry in the locker room of the Everett Silvertips hockey team. The company has weathered lean times in recent years due to the across-the-board federal budget cuts known as sequestration, but was inundated with work in the second half of 2015 after winning a Navy contract that designates it as one of four companies allowed to bid on work for more than 40 ships. That’s a sharp contrast with JPL’s humble beginnings in LeTexier’s garage 24 years ago. The former Navy rescue swimmer had left another firm that did similar work, when a representative from the USS Carl Vinson encouraged him to bid on a job. He was stunned to win the contract and so inexperienced he needed help getting an ID number and submitting an invoice to get paid. “If you work hard and provide people with good customer service, good things happen. I’ve been doing this ever since,” said LeTexier, who considers the new Navy contract a testament to the high quality of JPL’s work. The business now fills a 15,000-square-foot manufacturing facility by the east end of the Manette Bridge and has

4,000 square feet of warehouse space in Bremerton, where it employs 14 people. JPL also has a 6,000-square-foot warehouse in San Diego, along with five California employees. The company is currently doing extensive work for the Stennis, including building a shipboard museum to display artifacts from the former Mississippi senator for whom the ship is named. PHOTOS BY LARRY STEAGALL John C. Stennis, who died in 1995, served JPL Habitability worker Roger Morgan makes a cabinet that will go on the aircraft carrier USS John C. Stennis. The shipboard cabinets have to be metal, but are in the US Senate for made to look like fine-grained wood. more than 41 years Placards with and was a passionate advocate JPL is developing expertise the names of for the Navy. in creating aircraft carrier mupresidents from Designing a space to tell his seums, which honor the ships’ when John C. Stenlife’s story appeals to the history namesakes and are used as recepnis was in the U.S. buff in LeTexier, who has worked tion areas for visiting dignitaries. Senate will be part closely on the project with the The company previously fabriof a museum on board the aircraft ship’s captain, the captain’s wife cated one for the USS Theodore carrier honoring its and Stennis’s former Senate chief Roosevelt and is in the design namesake. of staff. Among the items to be phase for a museum aboard the showcased are the senator’s desk, USS Chester Nimitz. his portrait and Senate china One of the design challenges adorned with his signature. for the formal spaces is that all The museum is laid out so that the furniture and fixtures must Stennis (shown in a portrait) apbe made from metal. You’d never pears to be standing behind his know it to look at JPL’s handiwork. desk. Around the pedestal are the For the Stennis, LeTexier and his names of eight presidents who crew have designed a china cabiwere in office during the senator’s net with stepped moldings and tenure, from Harry S. Truman to chairs with tapered curving legs. Ronald Reagan. JPL is manufacBoth look like fine mahogany furturing a coffered ceiling for the niture but are expertly faced with space that references the Senate plastic laminate. It’s hard to tell chamber, and official Senate carthe difference without touching peting will cover the floor. them. Gary Anderson, a computerAnother challenge is making assisted design guru for JPL, furnishings that will stand up to gives a visitor a virtual tour of shipboard wear and tear. “These the museum on two screens. The ships are a serious test platform Olympic College graduate enjoys for our products,” LeTexier said. his job because of the variety. “They’re used 24/7. It’s a tough “We never do the same thing environment.” twice,” he said. “It may be the An integral part of JPL’s busisame space on a different ship, ness is 3-D computer-assisted but we customize it for each ship JPL employee Rodger Smith, left, goes over work order plans with company owner Jerry LeTexier. See JPL, 10 and for each story.”

| January 2016 |

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Just build it

■ Blackmouth Design is a small firm

that’s got game with big-name sports retailers By Tim Kelly

tim.kelly@kitsapsun.com 360-792-3359

Making plywood look like a concrete wall is the kind of illusion that makes an impression on high-powered marketing types at Nike and other major sports apparel companies. That’s one of the feats Rich Bacheller has pulledoffsincehestartedhisowncompany, Blackmouth Design, on Bainbridge Island. Working in two separate 2,000-squarefoot shop spaces in industrial areas on opposite sides of Day Road, Bacheller and his small staff design and fabricate displays that are shipped to ﬂagship retail stores in major cities, NBA arenas, and the corporate campus in Beaverton, Oregon, of Nike, his former employer. “At Nike, my team was working with people like us,” he says. He had a good run at Nike but left three years ago to move to the Seattle area and work for another corporate heavyweight, designing store layouts for Starbucks locations in the Paciﬁc Northwest. Bacheller decided after a year that wasn’t his niche, though he liked living on and Bainbridge and wanted to stay.

So the 45-year-old with a community college education and on-the-money instincts for design decided it was time to take an entrepreneurial leap of faith. He started calling all his connections to tell them he was starting his own company. “Just like every company starts, you’re just out there hustling,” Bacheller recalls. Things started looking up when he got a call to create a ceiling element for a Foot Locker store in Pennsylvania. It was a kids’ store that the company uses as a test lab, and the challenge was to make something “a bit more playful and youthful.” “So we designed this 5-foot by 12-footlong cyclone fence-inspired box that has like 220 different balls inside of it,” Bacheller recalls, “and it basically looks like the balls are pouring out on you, and they all have to be bright white, and they all have to stay inﬂated.” He spent much of his holiday season that year in his garage working on the project, which involved pouring expandable foam into the balls so they would hold their shape, spray painting them and hanging them with monoﬁlament from the welded box frame. See BUILD, 15

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| January 2016 |

Growth industry

■ Suspended Brands in Belfair on leading edge

with marijuana-growing operation, marketing

STEVE ZUGSCHWERDT FOR KITSAP PENINSULA BUSINESS JOURNAL

Josh Simons conducts an inventory of marijuana plants on rolling tables in the Suspended Brands greenhouse in Belfair. The 15,000-square-foot greenhouse is equipped with special lighting and a full blackout system to precisely control how many hours of light the plants are exposed to each day. By Tim Kelly

tim.kelly@kitsapsun.com 360-792-3359

Changing day to night takes 10 minutes, any time of day, in a state-of-the art greenhouse that may be the future of Washington’s flourishing marijuana industry. The nearly 12,000square-foot structure filled with 60-foot rolling tables covered with plants is the shining centerpiece of the Suspended Brands operation in Belfair. Plants moved in there are exposed to 12 hours of light a day to induce flowering. The other 12 hours the plants are in complete darkness created by a motorized system of blackout curtains

that are drawn over the entire exterior surface of the greenhouse. Fadi Yashruti, one of the company’s owners and the operations manager at Suspended Brands, explained that the greenhouse is a prototype from California manufacturer Conley’s. “This is one of the ﬁrst greenhouses ever constructed that had a blackout system, that was a threebay, gutter-connected greenhouse,” he said. It’s essentially three 30-by-132-foot greenhouses lined up next to each other lengthwise to create one large open structure, and a fourth bay can be added when Suspended Brands needs to expand. The company, which as a Tier 3

YOU GET THE BEST of both worlds — the best of indoor (growing) and the best of outdoor, because you still get the natural sunlight.” — Fadi Yashruti, Suspended Brands co-owner

producer is allowed a maximum of 30,000 square feet of growing space, also has room on its nearly 12-acre site to build another fourbay greenhouse in the future, Yashruti said. Suspended Brands, which is operated by I-502 licensee Seattle Inceptive Group as a marijuana producer and processor, bought the Belfair property that was a former nursery. An existing greenhouse was retroﬁtted as the “veg house,” where plants are started. (It also has infrastructure installed for hydroponic growing, should the company decide to add that production method.) While in the veg house, plants get about 18 hours a day of sunlight or artiﬁcial

light for an optimal summerlike growing environment, no matter what season it is outside. They don’t start to ﬂower until moved into the new greenhouse, where the 12hour light regimen “makes the plants think they’re reaching fall, and they need to start to ﬂower and reproduce,” Yashruti said. The full cycle takes 10

to 12 weeks, depending on the marijuana strain, until plants are ready to harvest. That allows for up to five crops a year in the hybrid system that uses natural sunlight when available and artificial lighting as needed. “You get the best of both worlds — the best of indoor (growing) and the best of outdoor, because you still get the natural sunlight, which you’ll never be able to replicate,” Yashruti said. “And we found that the plants actually do better in a greenhouse than they do indoor. They’re just healthier, and we’ve actually seen about a week decrease in flower time, so we can actually harvest it a week earlier.” The greenhouses are equipped with 1,000-watt high-pressure sodium lights, but Suspended Brands estimates the amount of time the approximately 350 lights are turned on uses only about one-fourth the power required for the same size indoor growing operation. That’s an important advantage as some local governments and utility companies are raising concerns about high electricity usage by indoor growers. The partners in Seattle Inceptive Group feel like their Belfair operation is on theleadingedgeofcommercial marijuana production. “A lot of people are moving to greenhouse growing,” Yashruti said. “This is pretty much the future.” See SUSPENDED, 14

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ôôô½ - ½[¨

| January 2016 |

Composting scaled to fit user’s need ■ Bainbridge-based company

designs metro-sized facilities and builds vessels for smaller uses By Tim Kelly

tim.kelly@kitsapsun.com 360-792-3359

MEEGAN M. REID

Michael Bryan-Brown is president and chief engineer of Green Mountain Technologies, which designed and built an Earth Flow automated composting system inside HeyDay Farm’s pig barn. The sustainable farm is next to Green Mountain’s headquarters on Bainbridge Island.

WE FLY PEOPLE IN from all over the country, we’ve flown people in from China and Singapore, and we can give them a quick tour locally.” — Michael Bryan-Brown, president of Green Mountain Technologies

Whether it’s the neighboring farm or one of the largest cities in the U.S. that wants to turn organic waste into compost, Green Mountain Technologies can engineer a system that will process commercial compost piles of virtually any size. Currently the small Bainbridge Island company is working on its largest project to date: a composting facility in Phoenix that will handle 200,000 tons of organic waste collected annually in the city of more than 1.5 million people. “They’ve been interested in emulating a Seattle-style curbside collection program for organic waste, so they hired us to essentially come up with that facility design for it,” Green Mountain president and chief engineer Michael Bryan-Brown said. “We’ve been working on that for about a year now. It’s been a very exciting project for us, just the opportunity to design something from the ground up as opposed to starting with a facility they want to upgrade, or some ﬁxed site constraints.” The city plans to start con-

struction of the $15 million project in January and hopes to have it operating by fall 2016. Green Mountain has been a consultant on the design, and Bryan-Brown said the company also will bid on building some of the facility’s components. “Primarily the aeration controls and logic systems for the facility will be components we would supply,” he said. “It’s kind of like a computer system that integrates all the functions of the facility.” One of the most critical functions in commercial composting is aeration — blowing air into the piles of food scraps, yard waste, etc. to provide oxygen needed for decomposition of the organic material, and to regulate the temperature in the piles. Green Mountain specializes in technology for automating the aeration and temperature monitoring functions, as well as site and facility design. The company, which started in Vermont in 1992, also makes in-vessel systems for smaller-scale composting. Closer to home, Green Mountain worked on upgrading a North Kitsap site originally operated as Emu Composting & Topsoils.

Celebrating over 6,000 successful job placements on the Kitsap Peninsula! Kitsap County

Pierce County

See COMPOSTING, 13

| January 2016 |

Ethos from 9

everybody else behind it, I thought ‘it’s going to win,’” he recalled. “So I literally left that night and went home and talked to my wife, … and I actually never went back to the ﬂoor.” Lafferty had owned a hemp soap business in Montreal in the 1990s, and had been involved with medicinal marijuana in Canada and had “done a lot of R&D.” He had been monitoring legalization efforts in the U.S., in anticipation of possible business opportunities in commercial cannabis. “We were ready to go into it,” he said. “Being a commodities trader, it was just irresponsible not to get into this, and I believed in it.” He lives on Bainbridge and has been working to set up a second company there, which would focus on products containing only CBDs, with no THC. Those potentially could be sold online to customers in other states, although he said that venture could be impacted by pending legislation. Also, now that Oregon is the fourth state where recreational marijuana is legal — although licensed sales have not yet started

MEEGAN M. REID

Tinctures are among the products manufactured by Ethos Extracts.

there — Lafferty is actively exploring a move into that market, potentially with a processing facility in the Portland area. Getting started in Washington had plenty of challenges for any I-502 business, and significant ones were restrictive municipal zoning and finding a landlord willing to lease space to a marijuana entrepreneur. Even when Lafferty finagled a lease on a 3,400-square-foot space in a small Poulsbo business park, he was making lease payments for a year and a half while he obtained his state license and all the local permits needed to equip the space and start his business there. To launch Ethos Extracts, Lafferty said he didn’t have to aggres-

sively seek investors. “I have turned down a lot more money than I have pursued,” he said. “I presented the products to a couple of people and … then the word kind of spread and I started getting people coming to me. “The investors originally were myself and some ... very awesome island people, famous island people also.” He noted that all his investors have been paid back and he’s now the sole equity owner. However, Lafferty also said he’s close to concluding negotiations to merge Ethos Extracts with a major food company.

Patents, medical

His processing company’s strong ﬁrst-year sales numbers notwithstanding,there’soneother aspectofthecommercialcannabis industry that could be far more ﬁnancially rewarding. “A symptom of prohibition is you weren’t allowed to patent anything cannabis-wise, until now,” Lafferty said. “So it’s a bit of a patent rush right now, and any one patent could certainly be more valuable than anything. “So we’re really working on patenting our systems and various products for things we do, products for growing, extracting, anything like that.”

Allied from 4

work at Allied Boats, Defiance Boats and the Defiance Marine dealership that also does service and repairs and sells fishing supplies. Allied is hiring more, particularly welders, to ramp up production at the larger facility, which Palmer said could eventually add 30 or more employees and be making 100 boats annually. He said Defiance Boats also could use significantly more manufacturing space. “Ireallycoulduse50,000square feet right now for my fiberglass (production),” he said. “We’re pumping a lot of boats out of a small space up there right now.” He said that last year Defiance was the No. 2 fiberglass outboardpowered fishing boat on the West Coast, behind Boston Whaler. Increasing production could allow Defiance to enter the boat market on the East Coast, where

LARRY STEAGALL

Welder Jeremy Huffman works on an aluminum boat at SP Marine Fabrication Allied Boats on in Bremerton.

there is a much larger coastal population than out west. Palmer said profits from Defiance have been reinvested into developing Allied Boats, so his business expansion has mostly paid for itself. Building his own 50,000-square-foot factory would require substantial financing, but

Palmer said a commercial real estate investor would have an opportunity to get a good return from building such a structure and leasing it to a growing company like his. When the Deﬁance Boats manufacturing facility was built and Arima was added in 2012, Palmer

IT JUST SEEMED LIKE this incredible potential thing, and I certainly wanted to be part of it. And I will absolutely say, I love cannabis.” — Edward Lafferty, founder of Ethos Extracts

Ethos Extracts is unique in another way, as suggested by its website message: “There’s more to this plant.” The business has a “PhD in Residence Program” that is accepting research proposals, and Lafferty said he’s talked to a first potential resident who may study uses for the fibrous hemp that’s waste material left after extracting the oil from cannabis plants. With medicinal marijuana coming under regulation of the state Liquor and Cannabis Board, a processor like Ethos could stand to benefit, but the LCB will require significant additional testing to meet Department of Health standards for certifying products was hopeful that a “marine cluster” would develop and draw support businesses to the industrial area. That hasn’t happened yet, but he’d like to see some businesses move in so he could outsource some of his boat company’s work, such as upholstery and canvas work that’s currently done in-house. “You can be way more effective as a manufacturer when you’re putting pieces together and you’re not having to build every piece yourself,” Palmer said. Another support business opportunity he cited is making boat windows, which Defiance and Allied get from two suppliers in Canada. His company has been well

as medical cannabis. There also will be tighter restrictions on patients getting prescriptions for those products, which will not be subject to the excise tax on recreational marijuana but might wind up being just as expensive, Lafferty noted. He thinks Ethos, which markets its infused products but doesn’t make cannabis edibles, could easily adapt to serve medical patients. “We have perfect products for it,” he said. “You’re not allowed to do candy or chocolates or anything; you’re only allowed to do boring stuff — you’re only allowed to do pills, tinctures, patches or suppositories.” Lafferty’s main motivation in getting into the legal marijuana business is to be part of promoting the positive beneﬁts of cannabis use, whether recreationally or for legitimate medical needs. He regards making cannabis available to folks who aren’t stereotypical pot smokers as a way to help people “in such a direct, palpable way.” “I really believed in it. … It just seemed like this incredible potential thing, and I certainly wanted to be part of it,” he said. “And I will absolutely say, I love cannabis.”

represented in West Coast fishing tournaments such as the Washington Tuna Classic charity event. “Last year there were five of our 22-footers in the tournament,” said Palmer, an avid fisherman who’s won the tournament twice with a team aboard his boat. As someone born and raised in Kitsap, Palmer said it’s also gratifying to see his company’s boats used in local waters by fishermen he knows, including former Olympic High School classmates and his old wrestling coach who retired from the shipyard. “It’s neat to see the boats that we build here fishing out in Sinclair Inlet or out in front of Seattle,” he said.

www.KPBJ.com

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| January 2016 |

There are three sales reps and that side of the company is handled by Nenad Yashruti, Fadi’s brother. Suspended Brands has a total of 30 employees, making it one of the larger employers in Belfair. The Root Cellar, a retail marijuana shop in Belfair, is one of Suspended’s top customers. “Suspended is a best-seller, and it’s a consistent grade,” store manager Jonathan Esposito said. “They’re local, and a lot of

Fadi Yashruti, co-owner and operations manager of Suspended Brands in Belfair, works with the CO2 compressor that extracts oil from cannabis plants. The oil is reﬁned before being packaged and sold to retail shops. PHOTOS BY STEVE ZUGSCHWERDT FOR KITSAP PENINSULA BUSINESS JOURNAL

people know them and like that they’re buying from a local producer.” The Root Cellar was one of the ﬁrst retailers to receive a shipment in December of Suspended’s newest product, a potent THC concentrate called Bare. Like the company’s other extracts (called “shatter”), it’s a sticky oil smoked by “dabbing” — placing a dab of the substance on a heated See SUSPENDED, 23

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Suspended from 8

Changing the stereotype Suspended Brands is both a grower and processor, but currently about 80 to 90 percent of its business is sales of its harvested marijuana to retail stores. The processing side produces extracted oils that have a variety of uses, and Yashruti said sales of those products are expected to increase this year when the business starts operating a larger, propane-based extraction machine. The company also is standing out for its marketing efforts. Its dba name came from the Seattle Inceptive Group partners’ brainstorming ideas for how to present its products, and “suspended” conveys a peak mid-air experience in outdoor adventures such as skiing or snowboarding, mountain biking or windsurﬁng. “We wanted to tie our company into more like a lifestyle brand,” Yashruti explained. “We didn’t want people to just get stoned and sit on their ass and watch TV … Go do something, go enjoy life.” The name also lends itself to the distinctive tag line “be suspended.” The company ran an ad in Dope magazine that states “Our goal at Suspended is to encourage you to get out and enjoy life responsibly, and most importantly, freely.” “We wanted to kind of help change the stereotype of marijuana smokers. So we thought that that was kind of a good way to do it,” Yashruti said. “I think a lot of people are receptive to it.” At the annual Dope Industry Awards (for Washington businesses) held by Dope magazine in December in Seattle, Suspended Brands — which was one of the event sponsors — won in the Best Brand Marketing category. During the CannaCon marijuana business and culture expo in Seattle last February, Suspended Brands got some attention by ﬂying attendees by helicopter to Belfair for tours of its blackout greenhouse, even

Buds, cut from plants in the drying room, are collected in bins then further processed into a marketable product.

though the company hadn’t begun production yet. Suspended is going to start placing ads In January in another industry magazine called Marijuana Venture, which Yashruti said is “more of a business journal for recreational marijuana.” Business has been good since Suspended started sales last summer. Through the end of November, the company was fourth in total sales for the year among Mason County producer/processors with $539,386, and second in monthly sales for November with $114,276. Suspended’s 2015 sales through November surpassed the top producer/processors in Kitsap County — Nine Point Growth Industries, started in Bremerton in July 2014, with $487,661 in total sales; and Ethos Extracts of Poulsbo, which also entered the market mid-year in 2015, with $71,153 in November and $481,243 total for the year.

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Port Orchard 360.876.7600

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| January 2016 |

Build from 7

Blackmouthâ&#x20AC;&#x2122;s ďŹ rst full store design was for ďŹ&#x201A;y ďŹ shing guide Dave McCoy, whoâ&#x20AC;&#x2122;s taken clients all over the globe and who opened a ďŹ shing shop called Emerald Water Anglers in West Seattle in the summer of 2014. To come up with a design that would capture the essence of the store, which also carries high-end Patagonia apparel, Bacheller enlisted the help of an artist, Chris Haberman, whoâ&#x20AC;&#x2122;s an old high school friend from Portland. Using ďŹ sh stories told by McCoy and other guides who work for him as inspiration, they designed a mural that covers two walls in the store. The colorful mural depicts the Puget Sound ďŹ shery and other storied waterways, and the montage of images is an arresting backdrop for long doublehanded spey rods angled in a display in along one wall, juxtaposed with shorter ďŹ&#x201A;y rods arranged vertically in front of the muralâ&#x20AC;&#x2122;s other section. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a cool store,â&#x20AC;? Bacheller says, adding that he expected the project might bring his company more work. â&#x20AC;&#x153;I thought it would be like â&#x20AC;&#x2DC;oh my god, who did that store?â&#x20AC;&#x2122; and weâ&#x20AC;&#x2122;d have people knocking on the door, but it hasnâ&#x20AC;&#x2122;t really happened that way.â&#x20AC;? Through his connec-

MEEGAN M. REID

Rich Bacheller in the lobby of Blackmouth Designâ&#x20AC;&#x2122;s ofďŹ ce on Bainbridge Island ofďŹ ce.

tions at Nike and elsewhere, though, Blackmouth has outgrown its founderâ&#x20AC;&#x2122;s garage. One of the ďŹ rst big projects the crew did in the Day Road shop was tied to an Adidas ad campaign for its NBA fan wear, particularly a product called the â&#x20AC;&#x153;swingman jersey.â&#x20AC;? Although Adidas ultimately scaled back its broader advertising campaign, the company used the physical displays built by Blackmouth. â&#x20AC;&#x153;So what was left was this ďŹ xture build that we designed and fabricated for each of the NBA arenas,â&#x20AC;? Bacheller says. â&#x20AC;&#x153;In Port-

land, thereâ&#x20AC;&#x2122;s this revolving ďŹ xture that has mannequins on both sides, one side is the game day jersey and other side is fan wear. â&#x20AC;&#x153;That was the end of our ďŹ rst year, and it was awesome.â&#x20AC;? Blackmouth has designed in-store displays for â&#x20AC;&#x153;shoe dropsâ&#x20AC;? when new footwear branded to the likes of Lebron James and Kevin Durant is rolled out. Bachellerâ&#x20AC;&#x2122;s small outďŹ t lands high-proďŹ le projects because of his reputation for delivering quality work, and that matters more than the size of his workshop and staff. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;ve known Rich since

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my ďŹ rst day at Nike in 2011; we used to work together when he was here on baseball and football campaigns,â&#x20AC;? says Benjamin Burke, a retail brand director for Nike. â&#x20AC;&#x153;I think more than anything heâ&#x20AC;&#x2122;s a problem-solver. â&#x20AC;&#x153;I know that I can bring an assignment to him and if it has a heavy conceptual edge to it, if he has to ďŹ gure out all the details of how to build something, or build off mechanical drawings and make it look amazing, I know he can do it.â&#x20AC;? The biggest Nike project Blackmouth has done was for an event called GearUp Day last summer that marketed football gear to athletes preparing for the upcoming season. Bacheller and his crew had a tight deadline to get elaborate displays built and shipped to three stores in Ohio where Gear-Up Day launched with appearances

by NFL players. â&#x20AC;&#x153;So each store gets its own artificial floor and these three glass cases that are 5 feet wide, 10 feet tall, 2 feet deep, and they all have a full mannequin hanging inside thatâ&#x20AC;&#x2122;s been deconstructed just to support the jersey, the pants, the shoes, the helmet,â&#x20AC;? he explains. â&#x20AC;&#x153;So itâ&#x20AC;&#x2122;s almost like this ghost. Each one took a lot of time, and we got it about two and a half weeks before it had to ship. â&#x20AC;&#x153;The last four days before we shipped, it was four back-to-back 19-hour days.â&#x20AC;? That was followed by a whirlwind trip to Ohio where Bacheller and an artist on the project worked a couple more grueling days with local crews installing everything in the stores. â&#x20AC;&#x153;We threw him a pretty big challenge for that part of the project,â&#x20AC;? Benjamin says. The Nike creative team gave Bacheller â&#x20AC;&#x153;just

the most basic visuals, â&#x20AC;Ś and with Rich itâ&#x20AC;&#x2122;s not just asking can you build it, but how do you build it?â&#x20AC;? The end result was so well received, Benjamin says, that Nike ended up bringing three of the display cases to the Nike campus during a weeklong summer training camp for elite high school athletes from around the country. The Lebron James display cases were made using concrete and steel, and Nikeâ&#x20AC;&#x2122;s creative team wanted to use concrete in the project Blackmouthâ&#x20AC;&#x2122;s working on now. But Batcheller says this project involves display cases that would be too heavy with concrete sides, so he came up with a way to put the look of concrete on lighter weight materials. â&#x20AC;&#x153;Some of these pieces will be 6 feet tall, some will See BUILD, 18

Pacific Northwest Title is proud to annouce the results of our 11th Annual Food Drive benefitting the Kitsap County Food Banks. With support from local real estate offices, lending institutions and Chamber of Commerce offices, we were able to bring in a...

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| January 2016 |

Grub Hut guy brings yoga to Kingston ■ Sweet Heat Yoga studio

opens down the street from popular burger joint By Tim Kelly

tim.kelly@kitsapsun.com 360-792-3359

Before he opened Sweet Heat Yoga in Kingston, Sean Pickard encountered a bit of skepticism when he was putting the word out to find instructors for the new place. “I think a lot of people were taking a wait-andsee attitude,” he said. When people heard that he was planning to start a yoga studio, typical reactions were “That Grub Hut guy? The burger guy?” Yep, the guy who’s run the popular Grub Hut near the Kingston ferry terminal for seven years wanted to branch out. He even got certified as a yoga instructor himself. Sweet Heat opened in September in the Windermere Real Estate building, but Pickard’s no newbie to yoga. And he had a practical reason for starting a studio a couple blocks down the street from his Kingston burger joint. “I just didn’t want to have to drive to Poulsbo or Bainbridge to do yoga,” he said. Pickard had been a regular at Bindi Yoga in Lynnwood before he and his wife moved across the water to Kingston in the summer of 2014. He was taking the ferry over to continue with classes at Bindi until he was ready to open his new studio, and he signed up for a 200-hour training program at Bindi to get certified as a yoga instructor. “I figured I wouldn’t have

felt comfortable (opening a studio) without doing the teacher training,” he said. The new studio launched with an extensive schedule and a dozen instructors offering a total of 28 classes a week, with sessions available every day including weekends. PHOTOS BY MEEGAN M. REID

Instructor Lang Charters leads a group in deep-breathing exercises at the beginning of a Heated Vinyasa class at Sweet Heat Yoga studio in Kingston.

I REALLY LOVE this area, and now that I moved here, I really believe Kingston can support a yoga studio. And I’m happy to be the guy bringing it.” — Sean Pickard, owner of The Grub Hut

There’s been a good turnout since Sweet Heat opened, according to Sherry Eckert, one of the ﬁrst instructors hired for the studio. She lives on Bainbridge Island and has been a yoga instructor for 14 years, though she didn’t know Pickard before ﬁnding out about his plan for a Kingston studio. “There’s a huge desire for yoga in the community,

which we discovered once the doors opened,” Eckert said. “From day one that ﬁrst week, I’ve had more people in my class than I ever expected to have. “People have been so receptive and happy we are there, and they just really love the space.” Eckert, whose full-time job at Island Fitness includes yoga classes there, is teaching three classes a

week at Sweet Heat, with usually 9 to 15 people participating. The Kingston studio is smaller than most places Eckert has taught, but she said the place is “very welcoming, and the energy in the space is really great. Sean did a really good job setting it up.” Pickard was leading some of the early morning sessions for the first couple months, but said he’d rather be a yoga class participant than an instructor. He began doing yoga to get relief from chronic back problems, which were severe enough to occasionally leave him laid up for a week or so. His first instructor wasn’t at a studio, but on television. “There used to be a program on TV at 6 a.m. weekdays called ‘Inhale with Steve Ross,’” he recalled. He was initially surprised by how sore he was after a workout that didn’t involve lifting weights. “But I also noticed how quickly my flexibility was improving,” Pickard said.

“And I started realizing it was helping my stress level.” For his 40th birthday, his wife gave him a membership at Bindi, which was

offering a 30-day pass for $30 as an introductory offer. Pickard went to a hot yoga class and soon was See YOGA, ?

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Greater Kingston Chamber of Commerce & Visitor’s Informa�on Center A Message from our new Chamber President, Shelby Nelson.

https://twitter.com/ThePaisleyWhale, www.pinterest.com/PaisleyWhale, thepaisleywhale, thepaisleywhale@outlook.com

https://instagram.com/

Mi Sueno Tacos y Mas Mexican Take-out and Catering.

Open 11am to 7pm daily except Mondays. Come in or call ahead, 360-860-0303. Follow Mi Sueno Tacos y Mas on Facebook and Instagram and visit their website! http:// www.misuenotaqueria.com/

INTERESTED IN MEMBERSHIP?

Greater Kingston Chamber Board of Directors 2016 Shelby Nelson, President (The Point Casino) Mike Haley, Immediate Past President (Evergreen Home Loans) Margaret Larson, Treasurer (Columbia Bank) Diana Kingsley, Secretary, (D’Zine Interiors and John L. Scott) Bim Prince, Director at Large (Ameriprise Financial) Dustin Wright, Director at Large (WCE General Contractors) Siri Reinbold, Director at Large (Kingston Center) Stacy Patrick, Director at Large (Lucky Star Clothing) Linda Fyfe, Director at Large (Kingston Cove Yacht Club) Soks Martz, Director at Large (Christmas In the Country) Dawn Hunter, Director at Large (Evergreen Home Loans) Debi Tanner, Director at Large (Edward Jones Investments)

Contact our Chamber’s Execu�ve Director, Colleen Carey by phone or email. Mon-Fri 10am-2pm 360-297-3813, director@kingstonchamber.com

Colleen Carey, Executive Director

P A R T N E R

Born in Mexico, Anita “Anna” Moore learned from an early age that that cooking was an essential component of her family’s rich Latino culture. She has been sharing authentic Mexican ﬂavors with her neighbors in Kitsap County through catering and vending at farmer’s markets, festivals and events for years with her company, Mi Sueno Catering. . On December 5th, Anna opened Mi Sueno Tacos Y Mas, Mexican Take-Out. Located adjacent to the Kingston Ferry Terminal parking lot at 25923 Washington Blvd., Mi Sueno is poised to become the next great take-out in the region. For years, folks have been riding the ferry to Kingston to enjoy the 6 time winner of Evening Magazine’s Best of Western Washington’s take-out, Jaime Les Crepes. Now they will be coming for crepes and the incredible Sasquatcho Burrito (as big as your head), and delicioso street tacos with fresh lime and cilantro! Carne Asada, Polla Asada, Carnitas, Venduras, even Mariscos on occasion.

C O M M E R C E

(pictured left, Owner, Anna Moore with daughter, Alina Hurtado)

O F

KINGSTON GETS A NEW EATERY!

C H A M B E R

The Paisley Whale, Vintage Antiques, Local Art and much more, is an eco-friendly retailer, exclusively On-Line. Owner Marie, is excited to get involved with the local business community by joining the chamber. Check out her shops: https://www.etsy.com/shop/ThePaisleyWhale, www.facebook.com/ThePaisleyWhale,

My husband’s family has been in the Kinston, Bainbridge and Hansville areas since the early 1940’s. As soon as I moved here with my husband 11 years ago, I immediately fell in love with the community, the people and the beautiful North Kitsap area. After serving my first year on the Kingston Chamber Board in 2015, I am enthusiastic, excited and proud to be the 2016 / 2017 President. In my position as Sales and Events Manager for the Point Casino, I juggle a wide variety of tasks and meet a huge number of people. It is my goal in 2016 as Chamber President to utilize my organizational and people skills to bring together local businesses, community leaders and our board of directors. Happy New Year Everyone. Let’s make 2016 a great year! ~Shelby Nelson

K P B J

WELCOME NEW MEMBER!

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January 2016 Edition

Events And Activities VISIT the HBA Website! www.kitsaphba.com Friday, January 1 Happy New Year! HBA is Closed Wednesday, January 6 50% Deposits DUE Peninsula Home & Garden Expo Booth Sales On Now! Expo is March 18 – 20. Wednesday, January 6 Remodelers Council, 4pm Start off 2016 with a solid BUSINESS Plan. Thursday, January 7 Developers Council, 7:30am Friday, January 8 Installation & Awards Banquet 6pm social/7pm dinner RSVP to HBA Wednesday, January 13 Constr. & Lien Law Class, 8am HBA Office Open to Members & Non-Members Register with BIAW Tuesday, January 19 1st Aid/CPR Class, 2:30pm HBA Office THIS CLASS is FULL Please contact the HBA For future class dates Thursday, January 28 Executive Committee Mtg., 2:00pm Government Affairs Cmt., 2:30pm Board of Directors, 3:30pm Friday, January 29 Customer Service Class, 8am Register with BIAW 360-352-7800 Upcoming: Thursday, February 4 Business Mngmt. For Bldng. Professionals Class at HBA Open to Members & Non-Members Register with BIAW 360-352-7800 Wednesday, February 10 EPA Lead Certification & Lead Refresher Class at HBA Open to Members & Non-Members Register with BIAW 360-352-7800

Call for VENDORS! Peninsula Home & Garden Expo 2016 Sponsored by: HBA of Kitsap County, Kitsap Credit Union, Kitsap Sun, & Advantage Nissan Booth sales are underway! Kitsap businesses, now’s the time to purchase your space. While this is a home and garden event, vendors of all types are encouraged to participate. If you want to get your name out there, if you have a product you want to sell, if you have a service Kitsap residents need to know about, this is the event for you! In addition to extensive advertising, we have fun daily features to attract the public. This year we will have regional celebrity Ciscoe Morris on Saturday and the 3rd annual LEGO® Brand Building Challenge on Sunday. We will have the 2nd annual Garden Art Walk as well as a Vintage Market. So much to see and do! Be seen! Be a vendor at this professionally managed, annual Peninsula Home & Garden Expo. Booths are affordable, starting at just $450, providing you over 20 hours of time with the public. Vendors are promoted on our Expo website as well as in the printed Official Expo Guide, published by the Kitsap Sun. We offer over 18 hours to set up, opportunities to teach seminars, affordable “customer appreciation passes” for your clients/friends/family, 6 free Expo Vendor badges for you and your employees, free parking all weekend (where designated), and affordable advertising opportunities to further promote your place in the Expo. The Expo is March 18 – 20. Booths are sold on a first come, first served basis. So don’t delay! Reserve your space today! Call the HBA at 360-479-5778 or via www.kitsaphba.com

2016 Ofﬁcers President................................... Kevin Ryan 1st Vice President............... Miriam Villiard 2nd Vice President ...........Berni Kenworthy Treasurer ............................. Leslie Peterson Secretary ..............................Brent Marmon Immediate Past President..... Judy Mentor Eagleson

2016 Builders & Assoc. Directors Bill Broughton, Ellen Ross-Cordoso, Walter Galitzki, Stuart Hager, Jim Heins, Joe Hurtt, Chad Lyons, Brendan McGeer, Jo Pederson, Shad Smallwood

2016 State Directors Robert Baglio, Lary Coppola, Judy Mentor Eagleson, Wayne Keffer, Berni Kenworthy, Ron Perkerewicz, Kevin Ryan, Miriam Villiard

2016 Alternate State Directors Rick Cadwell, Kevin Hancock, Byron Harris, Justin Ingalls

Life State Directors Bill Parnell

2016 Education for the Industry! Sign up today for the classes you need and want! Construction Contracts & Lien Law: Do you have contracts that protect you? Do you know your rights and responsibilities under our State’s lien laws? This course is essential for all construction companies! Get your year off on the right and legal foot! Register for this January 13 class! 7.5 Real Estate Clock Hours WA DOL; 6 CE Insurance Continuing Education, State of WA Insurance Commissioner; 6 CE NAHB; and 6 CE American Institute of Building Design (AIBD) Certified Erosion & Sediment Control: If you’re in the construction trades you must have a Certified Erosion and Sediment Control Lead on your job site if you’re disrupting dirt. Stormwater controls are required! To earn this certification or to update it (as required) we have you covered! Sign up for our March or June classes! 16 CE Appraiser Continuing Education; and 12 CE NAHB. EPA Lead Renovator Certification: Are you a remodeler? Did you know that to even bid a job on a home built before 1978 you must be a lead certified firm, per the Environmental Protection Agency? Did you know that work done on such a home requires that you have a lead certified professional supervising the job? Were you aware that you must maintain paperwork on all jobs to show that you’ve met the Renovate Right Rules of the EPA? Get certified, or refresh the one you have at our class in February. Failure to comply with this rule can carry a $29,000 fine from the Washington State Department of Commerce. 8 Real Estate Clock Hours WA DOL Customer Service: Another opportunity to get 2016 off to the best start ever! Register for this informative session on how to build customer loyalty and satisfaction while growing your bottom line! 8 CE, NAHB; and 6 CE American Institute of Building Design (AIBD). Register for these classes on the HBA website or by contacting the Building Industry Association of Washington directly at 360-352-7800. These classes will all be at the local Bremerton Association office.

2016 National Directors Berni Kenworthy, Shawnee Spencer, Kevin Ryan

2016 Alternate Natnl. Directors Mike Brown, Jeff Coombe

Life Directors Rick Courson, Bob Helm, Bill Parnell, John Schufreider, Dori Shobert, Jim Smalley, Larry Ward

2016 Council & Committee Chairs Build A Better Christmas ..... Randy Biegewald Built Green.............................Walter Galitzki By Laws & Nominations ........Judy Eagleson Developers Council..................... Mike Wnek Golf Classic........................Shawnee Spencer Govt. Affairs Cmt..................Miriam Villiard Remodelers Council Chair.....Molly McCabe Membership ....................... Berni Kenworthy Parade of Homes .................................... TBD Peninsula H&G Expo....................Lena Price Peninsula H&R Expo Leslie Peterson & Judy Eagleson

HBA Staff Exec. Vice President .....Teresa Osinski, CGP tosinski@kitsaphba.com Events & Admin. Assistant .......Katie Revis hbaevents@kitsaphba.com Admin. Coord. & Membership Asst. Jennifer Phillips info@kitsaphba.com

Home Builders Association of Kitsap County 5251 Auto Center Way, Bremerton, WA 98312 (360) 479-5778 • (800) 200-5778 FAX (360) 479-0313

www.KitsapHBA.com

January 2016 Edition

Kevin Ryan Tim Ryan Construction

Teresa Osinski CGP

President, 2016

Executive Vice President

Building a solid foundation in 2016

Same solid Association, Updated look and a New Name

As contractors, tradesman, suppliers and construction design professionals we all can appreciate a building or project design with a foundation built with pride, good materials, and great collaboration. By getting involved and knowing we had input in the process and final outcome is one of the reasons we continue to do what we do every day. We all appreciate the reward of a job well done and knowing that we truly had an impact on a project. In 2016 we are looking forward to continuing to build on the great foundation that our dedicated leadership has put in place over the last 60 years as an organization. Although we plan to roll out our new name, Kitsap Building Association (KBA) in February, we will continue the strong relationships and image we have worked so hard to maintain. As the only construction association with direct ties to Kitsap County we have continued to be the go to organization for those who need guidance or input from us on the many issues we face in our industry. Whether it is a proposed building code change, land use regulation improvements, storm water design and development standards the KBA will continue to provide our input for the benefit of our membership and community. The developer’s council held typically the first Thursday each month at the KBA offices continues to build in attend-ance and is just one example of how you can stay in touch with your local building officials, developers, and construction design professionals. I would like to congratulate our new officers and pledge to all of you my continued support in the coming year as your 2016 President. The dedication you have made speaks volumes as to the integrity of this great organization. You are all leaders in your organization and it is through the work that you do that will continue to define our goals and impact on our industry. Great foundations are built on a solid footing and as we begin 2016 ask your-self do you have the tools and support you need to keep your business run-ning strong. As members of the Kitsap Building Association you are in a select group of construction professionals. We know that membership has its privileges. Not only do you have the support of our great KBA staff but, you have access to the many programs offered by NAHB (National Association of Home Builders) and our Washington State leaders in the BIAW (Building Industry Association of Washington). So even though our roots are local the impact you make here at home is routed through the conduits of our State and National representatives. Let us know what’s on your mind and if there is a burning issue you would like addressed we can let those who make the rules know your concerns.

This Association that has served the construction trades in Kitsap for 60 years has elected to change its name. The Association is one of diversity. While the name, Home Builders Association of Kitsap County, tells part of the story; it doesn’t tell the whole story. The purpose of the Association is to support the construction trades by assisting in fostering opportunity for economic development, education, facilitation for effective codes, stewards of Kitsap’s natural beauty, and a positive influence in all regulatory matters. We work to protect the affordability of housing, offer business development support to small businesses in the construction arena, and encourage diversity of choices for consumers and the market as a whole. The historic name of the Association clearly indicated the importance of the home builders in our community, but failed to express the Association’s support and engagement in other construction related and affiliated businesses. It is the expectation of the members that the new name will be more inclusive for all our current and future members.

SUPPORT SOUTH KITSAP SCHOOLS – VOTE “YES” ON THE BOND Cast your ballot on or before February 9, 2016. Support the second high school in South Kitsap. Vibrant, safe, and economically sound communities thrive where there are good schools. South Kitsap is stuck with an education model (3 –year high school) that has been abandoned in every other district in Washington State. Now, while the cost of money is lower than historic times, the bond should be approved and the building constructed. For more information on the bond check out these resources: skitsap.wednet.edu Questions? Bond2016@skitsap. wednet.edu Download the SKSD mobile app South Kitsap School District Facebook Twitter @SouthKitsapSD Follow Superintendent Reid on Twitter@SouthKitsapSupt Call South Kitsap School District at 360-874-7000 Vote YES.

The new name is, Kitsap Building Association (KBA). While the name is new, the services offered will continue with the same excellence and professionalism our long history allows us. The KBA will still be proudly affiliated to the National Association of Home Builders and the Building Industry Association of Washington. The rollout of the new name will be in full effect after the NAHB meeting in January. Rest assured our members will continue to get a three-for-one membership when they join and will continue to reap all the great services and benefits our State and National Associations provide. KBA will continue to offer the highest quality of educational opportunities and has a full assortment of terrific classes lined up for 2016. Members and non-members alike can attend classes at the KBA to be better prepared for the changing business climate as well as earn or refresh state mandated certifications on stormwater management and lead safe practices. Check the online calendar for the dates of upcoming classes. The KBA will continue to offer affordable and competitive medical insurance options to qualified member construction companies. With the recent announced premium increases for other medical insurance providers, now is a perfect time to look into the insurance offered through the BIAW Health Trust. KBA will continue to participate in the R.O.I.I. Select® program. If you employ workers, have a positive experience rating with L&I, and would like the opportunity to receive a return of your annual L&I premium, the R.O.I.I. Select program is worth looking into. Last summer, we returned over $500,000 to about 70 member companies participating in the R.O.I.I. program. If you’d like to know more, whether you’re currently a member or not, please call the HBA. As I approach my tenth anniversary with the Association, I continue to be so impressed with the caliber of the companies that invest in this organization. We are fortunate to have highly motivated, intelligent and successful business men and women as members. In 2016, please spread the word about the Kitsap Building Association. Reach out to subcontractors and other industry professionals and encourage them to join. We want our members doing business with members. Together we are stronger. As the economy and the regulatory environment pushes against the small business owner, affiliation with the KBA, BIAW, and NAHB is a solid investment. We are working to protect your business and your industry. Your support through membership helps us do that. Happy New Year!

January 2016 Edition

Government Affairs Committee Miriam Villiard, Heritage Builders NW LLC 20 years ago, my life quote, as captured in my Senior yearbook, was “Would the child you were be proud of the adult you’ve become.” At the time, I had no idea the impact that quote would have on my adult years. It’s challenged me to step outside of my comfort zone, to seek ways to have a positive impact on the people and community around me, and to each day learn from yesterday and be better for it today. Stepping into the role of 1st Vice President, with which comes the role of Chair of the Government Affairs Committee, finds me way outside of my comfort zone, but I’m excited to stretch, and find my inner political self. My business experience began at the age of 14 when an opportunity to make laminate countertops for a supplier came to my brother and me. My family owned a factory making solid surface products, had all the machinery needed, and allowed us to make use of the space in the evenings and on the weekends, so long as we cleaned up after ourselves and paid for all materials. This business ended up being fairly lucrative for a teenager, as well as taught me about estimating, ordering, accounting and paying taxes. I’ve found, owning a business is in my DNA, passed down to me from my parents. In 1998, my husband and I started our own custom home building and remodeling company, which we operated at night and on the weekends as he was enlisted in the Navy, and I worked my way up the corporate ladder for other local companies. Our goal was to build and grow the business to the point where he could take it full time in 2010 when he retired from the US Navy. In 2011, I left my corporate job to run our business. As a small business owner and employer, on a daily basis, I am impacted by the multiple layers of politics, and have an invested reason to have an impact on the political atmosphere as it affects our industry. 2016 is going to be a busy political year at the local, state and federal level. One of the objectives of this Association is to foster relationships with political figures at the local and state level and keep the Home Building and Construction industry at the forefront of policy considerations. Ours is a heavily regulated industry and those regulations come from elected officials. We’ll seek candidates who understand and will advocate for the home building and construction industry. We want to reverse and avoid far-reaching, overbearing, and financially damaging regulations. Not only to help our bottom line, but to protect future homeowners that will be priced out of the market. The Government Affairs Committee will spend time interviewing candidates and will make recommendations for endorsements of candidates that will work with us on policies that affect our members. Other Government Affairs Committee agenda items include continuing to work with the Kitsap County Building Department to improve the construction process from land use to development to building. The County has shown great strides in the building permit and inspection process however the focus is now on the land use and development permitting process. Additionally, we will continue our outreach to Labor and Industries to improve the electrical permit and inspection process. And lastly, we will be looking at ways to find solutions to the skilled labor shortage that our entire industry is facing. Our industry is feeling the effects of the loss of vocational education in our high schools, the years of marginalizing non-college careers, the subordinate view that builders, plumbers, electricians, machine operators; those who work with their hands and have calloused hands to show for it, are somehow less worthy, less able, less capable of making a good and satisfying living. There are a large number of children who can achieve great futures by learning in a tactile environment. Learning the skills of a trade can lead to a lifelong, and rewarding career. We will be looking for ways to highlight this problem but also help our members find qualified, hard workers, to fill the employment needs in the construction industry of Kitsap. I look forward to Chairing this important Association committee and I encourage you to join us! We meet each month on the final Thursday at 2:30pm. All Association members are welcome to attend.

2015 Was FUN!

Thank you HBA members and friends! We had lots of fun in 2015, working together, advocating for the industry, learning important ways to be the best companies in Kitsap, and networking! In 2015 we launched the Build Your Network campaign to help our Associate members ﬁnd all the dates and places to connect to other Association members. 2016 is sure to be full of fun, education and networking too! With dues held ﬁrm at just $507 per year, there is no reason not to join!

January 2016 Edition

WELCOME NEW MEMBERS Granite Construction Mike Bursey 1525 E Marine View Drive Everett, WA 98201 (425) 551-3100 (425) 551-3116 FAX Mike.bursey@gcinc.com www.graniteconstruction.com And the SPIKE goes to….. Robert Baglio The BJC Group Inc.

THANK YOU RENEWING MEMBERS 27 Years

Olympic Property Group

15 Years

Paul Ogilvie Construction

Over 10 Years

Habitat For Humanity (12)

Over 5 Years

Over 1 Year

Caseco Associates Inc. (4) Kelley Imaging Systems (4) Rank’s Constr. Co., Inc. (4) Hager House, LLC Miles Yanick Visionarch, LLC

One Year

CalPortland Freestone Inc.

Andersen Homes (8) Authority Bremerton Housing Author

The Association Wants YOU! 22016 President, Kevin Ryan has thr thrown down the challenge for 2016. He has committed to recruiting 6 full me memberships during the year. Now think about that…that’s only one Now, new member every 2 months! Surely you can do at least that well! One thing about Association members is that they are competitive! It is likely because you’re masters of your destiny! Forgers of new ground! Creators of commerce! You get the point. We are stronger when we work together and growing our member-ship is a piece of that process. You chose to invest, encourage others in the industry to do the same. We will have prizes throughout the year. Stay tuned to ﬁnd out more! But remember, President Ryan has issued the challenge!

Guest Column by: Elliot Eisenberg, Ph.D., GraphsandLaughs, LLC With our economy growing slowly for nearly a decade, it’s time to promote policies that will spur growth. While there are always the obvious ones such as reducing government regulation, improving K-12 education and offering investment tax credits to firms, the first two are at best long-term reclamation projects while the latter costs money, which is in short supply. Below are five suggestions, each of which costs little to no money, and collectively they can boost annual GDP growth by 20% to 25%/year or $80 billion annually. Begin by lowering the US corporate tax rate of 35% closer to the average developed world rate of 20%. Our high rate pushes firms to ex-ploit loopholes, encourages firms to keep foreign earnings abroad and pro-motes corporate inversions and foreign takeovers of US firms. Worse, it brings in little revenue. A lower rate would attract investment from abroad, boosting productivity. At the same time simplify the personal income tax system. It is complicated, unfair and inefficient. At a minimum reduce marginal rates, widen the tax base and rid the code of some deductions. Plenty of studies show how this can be done while remaining revenue neu-tral. Next, pass trade reform. At present, US exporters face an aver-age tariff rate of close to 7% and more importantly, a host of non-tariff barriers. As the world’s leader in services exports such as banking, insur-ance, music, movies and agricultural exports, increased trade is critical to growth. Moreover, the US generally has lower trade barriers than most other nations, so elimination of trade barriers is additionally beneficial. And due to the size and wealth of our market, other nations will be willing to make trade deals to get better access to it. Something else to do; provide the Highway Trust Fund with a permanent source of sufficient revenue so that it is not perpetually in need of emergency monies from the general fund to remain solvent. Ideally raising the fuel tax, last increased to 18.4 cents/gallon in 1993, to eliminate this problem would be best, but nearly any source of dedicated revenue will do. As it is, we systematically underinvest in roads, bridges, tunnels and airports, yet these are precisely what establish conditions for long-run growth. Skimping on infrastructure is penny wise and pound foolish. Reduce the number of professions where licensing is required. Over the past 40 years the number of professions that require licensing has risen from 10% to almost 30%. Licensing hits the poor hardest and erects barriers to entry for the less educated. For health and safety reasons sure, but 163 days of training for a manicurist in Alabama - that’s clearly overkill. Last but not least, get on with immigration reform! At a mini-mum, pass limited legislation where both parties are in agreement. In-crease the number of H-1B visas that admit skilled foreigners. This will not depress wages of union workers and will increase the flow of human capital here. The more talent we attract, the faster we grow. We are en-gaged in competition with other nations such as Canada, Britain, Germany and Australia for the most talented. There is no reason for us to be turning away highly educated individuals who wish to live here. Elliot Eisenberg, Ph.D. is President of GraphsandLaughs, LLC and can be reached at Elliot@graphsandlaughs.net. His daily 70 word economics and policy blog can be seen at www.econ70.com.

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| January 2016 |

Pharmacy helps organize your prescriptions serve about 40 patients in Kitsap, Jefferson and Mason counties and are looking to grow. Once the system gains traction, Knott believes

patients taking multiple medications will seek it out. “I think 10 years from now this will be the expectation,” Knott said. MedOrganize Pharmacy

is at 325 Hostmark St., Suite B, in the same building as Cascade Specialty Pharmacy. For information, go to www.medorganize.com or call 360-930-8197.

18th Annual

2016 Economic Forecast LARRY STEAGALL/KITSAP SUN

Pharmacist Dan Smart starts the medicine dispenser machine at MedOrganzie Pharmacy in Poulsbo.

■ All meds for a patient come

in one box of presorted strips By Tad Sooter tad.sooter@kitsapsun.com 360-475-3783

A Poulsbo pharmacy wants to replace your medicine cabinet full of pill bottles with a simple, white box. MedOrganize, an offshoot of Cascade Specialty Pharmacy, is using technology to streamline prescriptions for patients who juggle multiple medications. The pharmacy provides patients with one box each month containing all their meds. Pills are dispensed in strips of presorted packages marked with the date and time they should be taken. MedOrganize pharmacist Dan Smart said the system is designed to lessen confusion for patients and caregivers and make it easier to comply with doctors’ recommendations. “I’m really helping to manage the medications,” Smart said. “It’s not just selling a commodity, which is how a lot of pharmacies

view it.” On a larger scale, MedOrganize owner and pharmacist Brandon Knott believes managing medications more efficiently will help cut down on health care costs associated with wastedmedicationsandunnecessary hospitalizations. The prepackaged medication system also is a way for his independent pharmacy to stand out in an industry increasingly dominated by large corporations. “It all comes down to service,” Knott said. “What can we do for people that’s different and special?” A machine the size of a double-door refrigerator makes MedOrganize’s medication management system possible. Smart enters patients’ prescription information into a software program. The machine, called a Parata PASS, automatically bundles the necessary pills into packets and applies labels. Smart double-checks the packages and loads

them into a box for pickup or delivery. MedOrganize doesn’t charge extra for the prepackaging service. The automated system doesn’t eliminate the need for a human touch. Smart checks with patients to talk about conditions, medication changes and upcoming doctor visits. He tweaks their monthly orders as needed. Smart said most of his patients are seniors with chronic conditions and people suffering from mental illness. On average, they take about 10 different medications, meaning they had to worry about getting multiple reﬁlls each month and remember when to take various doses. Helping them simplify their routines and stick to their medication plans is rewarding work, Smart said. “It’s an opportunity to do something really good for the community,” he said. MedOrganize launched in January and began accepting new patients in September. Knott and Smart rolled out the service gradually as they worked through kinks. They now

18th Annual

2016 Economic Forecast Decision Makers Breakfast

Kitsap Conference Center January 28, 2016 7:30 – 10:00 a.m. Keynote Speaker: John Mitchell, PhD – 2016 Economic Forecast Also Featuring: Rear Admiral Jeffry Ruth, Commander Navy Region Northwest The US Navy’s Role in National Security and its Impact on Our Local and Global Economy $50 - KEDA Investor Partners $75 - Non Investor Partners $450 – Table of 10/KEDA Investor Partners $650 – Table of 10/Non KEDA Investor Partners PREMIER SPONSOR

Visit Kitsapeda.org for more information and registration or contact Theresa Mangrum (360) 377-9499 mangrum@kitsapeda.org

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Business Pioneer of the Year

Sponsors Kitsap Bank

Silverdale Cyclery

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Evergreen Homes Loans—Frank Elderbroek

Costco First Federal Pacific Northwest Title

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Angela Sell Judy Eagleson Natalie Bryson

Clearwater Casino

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CK Food Bank CKHS Alumni Assoc. Kitsap Humane Society

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Centering Massage Elizabeth House of Wax Maxwell Salon

Military Excellence

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Excellence in Education Christine Franzen Carla Larson Leslie Boyer

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| January 2016 |

PSNS delays some work ■ Priorities shifted to meet key deadlines By Ed Friedrich efriedrich@kitsapsun.com 360-475-3792

Puget Sound Naval Shipyard and Intermediate Maintenance Facility has delayed some upcoming projects to concentrate on completing the most important ones punctually. Despite employing its largest workforce in decades of about 13,500 after hiring thousands the past couple years, the com-

mand doesn’t have enough workers with certain critical skills to go around, commanding officer Capt. Howard Markle explained in a shipyard publication in November. The workload is burgeoning. Priority projects include the USS Nebraska, USS Michigan, USS Carl Vinson, USS Nimitz and speciﬁc work on the USS Seawolf. To concentrate on them, the shipyard got approval from the Paciﬁc Fleet to delay the USS

Albuquerque and the USS Connecticut projects for three and ﬁve months, respectively, and the majority of USS Seawolf work for ﬁve months. Work on the USS Nebraska, a ballistic-missile submarine based at Bangor, is in its 20th month and wrapping up. The USS Michigan, a cruise-missile sub also based at Bangor, is in the early stages of a major maintenance period scheduled to be completed next summer. It’ll take longer than

usual because the boat is being altered to be the ﬁrst submarine to accommodate enlisted women. The USS Carl Vinson and USS Nimitz are aircraft carriers. Local shipyard workers are in the Vinson’s San Diego homeport conducting a six-month overhaul that’s slated to be ﬁnished in February. The Nimitz, based in Everett, is in the middle of an 18-month maintenance and modernization period in Bremerton that’s due for completion next summer. The Bremerton-based fast attack sub Seawolf is starting an extended dry-docking period. Workers have been reassigned to support the schedule changes.

“I realize that this is disruptive and I acknowledge that this will produce some inefficiencies across the waterfront,” Markle wrote. “However, these resets are necessary to produce an executable plan for the ﬁscal year.” The Naval Sea System’s Command, to which the shipyards belong, didn’t respond to questions about the broader implications of a maintenance backlog. Earlier, former Chief of Naval Operations Adm. Jonathan Greener said it can have a cascading effect across the ﬂeet, leading to extended deployments, rescheduled or canceled departures and uncertainty for sailors and their families.

Budget includes four projects at Naval Base Kitsap By Ed Friedrich efriedrich@kitsapsun.com 360-475-3792

The military construction budget approved by Congress on Dec. 18 as part of a $1.15 trillion spending bill provides more than $90 million for four local Naval Base Kitsap projects. The legislation allocates $34.2 million for a land-water interface and $12.8 million for a regional ship maintenance support facility at Bangor, $22.7 million for Dry Dock 6 modernization and utility improvements in Bremerton, and $20.6 million for a Port Angeles forward operating location. In Port Angeles the Navy plans to build a pier and support facilities for Coast Guard ships and crews that escort ballistic-missile submarines between Bangor and their dive points in the Strait of Juan de Fuca. Up to nine ships, from 33 to 250 feet, comprise the Transit Pro-

Keeton from 26

and the United States European Command, where he went to the Czech Republic during the 1990s. Throughout his time in the military, Keeton was fascinated with leadership, he said. His dedication to best leadership practices came with him to

tection System. The Navy wants space for seven at the pier. Having a staging area along the route will ensure that crew fatigue limits aren’t exceeded. Turnaround times for missions will be reduced if the escorts don’t have to return to Bangor each time. Fuel will be saved, according to the Navy. The facility will include offices, briefing areas, sleeping areas for 20 to 30 people, ammunition and weapons storage, and a fuel storage and distribution system. A land-water interface will complete the security perimeter around Bangor’s waterfront restricted area. There is already a floating security fence on Hood Canal and a double security fence on land. The interface will connect the two. There are two alternatives. One would build piers from concrete shoreline abutments on the shore to each end of the floating fence. They’d be 280 feet long at

the north end and 730 feet long at the south. A fence would run the length of the piers. There would be lights, cameras and a mesh with sensors extending from the bottom of the pier to the seafloor. In the other option the floating security fence would be lengthened to extend across the intertidal zone and attach to shoreline abutments. There would be three 30-foot-tall towers built on piles, fitted with lights and security equipment. The Navy says the interface is necessary to comply with Department of Defense directives to protect Trident submarines from increased and evolving threats and to prevent the seizure, damage or destruction of military assets. The Navy will upgrade Dry Dock 6 at Puget Sound Naval Shipyard and Intermediate Maintenance Facility. The project comprises renovating and modernizing service tun-

nels and service galleries, and boosting industrial power and compressed air capabilities. The improvements will speed up painting and blasting jobs, reduce waterfront congestion and reduce hightide restrictions by raising the height of gallery walls. This is the only Navy dry dock on the West Coast that can accommodate aircraft carriers. The work is expected to be completed in August 2018. At Bangor the Navy will build a 20,000-square-foot ship maintenance support facility. Dispersed production functions will be consolidated within the waterfront fence line and maintenance support placed next to the controlled industrial facility, improving maintenance operations. The work should be completed by September 2018. The act funds the government for the rest of ﬁscal year

2016, pre-empting naval shipyard shutdowns and furloughs. It funds the Ohio-class submarine replacement program and an 11-ship ﬂeet of aircraft carriers, and it provides $2.9 billion for ship depot maintenance. “After years of acrossthe-board spending cuts and threats of government shutdown, this bill is a relief,” said U.S. Rep. Derek Kilmer, D-Gig Harbor, who represents the Kitsap and Olympic peninsulas and Tacoma. “Workers and their families will get a break from having to worry about furloughs. Veterans will see additional funds to address VA backlogs. And the men and women who serve in the military will better receive the training and equipment that they need. With the bill’s passage we can continue to invest in projects at our shipyard and local installations that will keep our Navy strong.”

Kitsap County. During the recession, Dunn said Keeton took cuts along with his employees at the Department of Community Development. “He always had our backs,” she said.

boards, committees or commissions, he said. He’d like to step away from government work, spend more time with his grandchildren in Seattle and write mystery thrillers about military history. “I’ve been writing since I was in the Army,” Keeton said. “I’ve just never published anything.” Now, he’ll have time to edit and pitch stories to agents. He

also is a member of the Paciﬁc Northwest Writers Association. “It keeps me off the streets,” he joked. The novel he’ll be pitching ﬁrst is about a German scientist who is a prisoner of war at Fort Lewis during World War II. As Keeton works on his mystery novels, he predicts the Department of Community Development’s next move will be

to create a position to focus on urban needs of unincorporated Kitsap County, such as Silverdale and Kingston. The position will manage urban growth, helping avoid sprawl. “The fundamentals of the department are pretty rock solid,” Keeton said. “What it’s got to continue is that lean culture.”

A NOVEL APPROACH TO RETIREMENT

Keeton’s retirement plans don’t include joining any county

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ôôô½ - ½[¨ ôôô½ - ½[¨ ôôô½ - ½[¨

K I T S A P

More Opportunity. Spirited Community. The Best Place to Be.

Young Professionals Wednesday, Jan. 20, 1:00 PM Host: Olympic Alzheimerâ&#x20AC;&#x2122;s

Membership Luncheon Thursday, January 7th Speaker: Brad Worthley

Business After Hours Wednesday, Jan. 27, 5:30 PM Host: Harbor WildWatch

Learn more at: www.gigharborchamber.net/calendar Connect With Us

Congratulations 2015 Award Recipients! The Chamber thanks U.S. Bank for supporting this yearâ&#x20AC;&#x2122;s awards dinner, the businesses that graciously donated the spectacular desserts, Heritage Distilling, Maryhill Winery, and Canterwood Golf & Country Club and staff for contributing to a successful event.

! " #

P A G E

John Hogan

C O M M E R C E

Emcee Marler sang holiday tunes and joined Maryhill Winery Sommelier, Rich Marshall, in a skit and

# ) * ! + / % % 3 3 vying for a decadent and elaborate selection of confections, including a 10-pound chocolate cake.

Public Affairs Forum Thursdays, 7:30 AM January 7, 14, 21, 28

O F

The Chamber honored five businesses, individuals and organizations for their commitment, volunteerism and devotion in making Gig Harbor a better place to live, work and play. The gala also ! "#$ Expeditionary Military Intelligence Brigade Colonel Constantin Nicolet received the gift and spoke on % ' % ( !

Other Upcoming Events

C H A M B E R

Emcee Lois Ann Marler opened the awards ceremony with comments on the Gig Harbor community and its impact in the Puget Sound: â&#x20AC;&#x153;The people in University Place, Tacoma, Seattle, Olympia and beyond feel the ripples from all the good you are doing here.â&#x20AC;?

If you care about how decisions made in Olympia will impact your life and business next year â&#x20AC;&#x201D; and in the years to come â&#x20AC;&#x201D; then plan to participate in the 2016 Annual Legislative Sendoff hosted by the Gig Harbor Chamber of Commerce.

J O U R N A L

In Winter Wonderland-themed glitz Gig Harbor Chamber of Commerce hosted its U.S. Bank sponsored 2015 Annual Awards Gala at Canterwood Golf & Country Club on Saturday, December 5.

Jan. 8

B U S I N E S S

The sold out Gig Harbor Chamber of Commerce annual gala, emceed by â&#x20AC;&#x153;Voice of the Sound,â&#x20AC;? Lois help military families in need.

P E N I N S U L A

Awards, Donations & Toys, Oh My!

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Chairman Chris Ladner gets in the spirit at Salmon Center Holiday Party

B ELFAIR L ICENSING | V ISITOR C ENTER

MAKE A NOTE OF IT UPCOMING EVENTS

ENGAGE … ENERGIZE … EXCEL

Business Breakfast Featuring Mason Co. Commissioner Randy Neatherlin 7:30 – 9:00 a.m. Union River Grille, Belfair

WEDNESDAY, JANUARY 13 North Mason Girl Scouts raised the new flag that Congressman Derek Kilmer donated to the North Mason School District’s Theler Center, thanks to the Kiwanis Club of North Mason, represented here by Michael Siptroth (far right). The Congressman presented the flag, which had previously flown at the U.S. Capitol Building, to North Mason School Superintendent Dana Rosenbach (left) and Theler Center Manager Joan Moore at the November luncheon.

Special thanks to Mendy Harlow at The Salmon Center and Susan Perkins, Clinic Manager, Harrison Urgent Care Belfair, for co-sponsoring our Annual Holiday Party. More than 60 members and guests joined in the good cheer. The Salmon Center also sponsored our November luncheon – thank you! Mendy is pictured here with her surprise luncheon guest “Big Redd.”

Business After Hours Location tba 5:00 – 7:00 p.m.

WEDNESDAY, JANUARY 27 Chamber Luncheon 11:30 – 1:00 p.m. Theler Center, Belfair

ALL EVENT INFORMATION: ADENA CLARK, 360-277-5007

North Bay Marijuana

Christine Marshall, DDS 360-552-2456 www.NorthBayMarijuana.com Kitsap Public Health Shelley Rose Bremerton 360-337-5230 www.kitsappublichealth.org

jan@hardwaredistillery.com Wittenberg CPA, PS Michael Wittenberg, CPA Shelton 360-426-0230 www.wittenbergcpa.com

P A G E

Pictured here celebrating the holidays with resident family member Chloe Cabana, Debra Jamerson, Owner of Haven In Allyn Assisted Living/Home Care in Allyn was the lucky winner of our Shop Local Media Package sponsored by Hood Canal Communications.

The Hardware Distillery Co. Nall Roofing Jan Morris, Owner Erin Nall, Office Manager Hoodsport, WA Belfair www.thehardwaredistillery.com Healthy Homes Pest Control 360-552-2811 & Home Services, LLC Nallroofing@yahoo.com Craig Maki, Owner/Operator Grapeview Northwest Termite and Pest Control www.healthyhomespestcontrol.net Elizabeth Feldman Rees Construction Belfair Jason Rees, Owner Tahuya, WA 360-340-8748 (360)801-5031 www.buggman.com

C O M M E R C E

Annual Red & White Gala & “Hot Stuff” Auction 5:00 p.m. Alderbrook Resort & Spa, Union

WELCOME NEW MEMBERS

O F

SATURDAY, FEBRUARY 6

Congratulations, Cliff Higashi, Business Development Manager, Kitsap Credit Union, our November Member of the Month. Cliff was recognized for his continued support of Chamber events.

C H A M B E R

THURSDAY, JANUARY 14

J O U R N A L

Visit Union Membership Luncheon “How to get your name in the news” and “Visit Union 2016” featuring Chamber Pres./CEO Stephanie Rowland 11:30 a.m. – Order lunch on own 12:00 – 1:00 p.m. Program Alderbrook Golf & Yacht Club, Union

B U S I N E S S

WEDNESDAY, JANUARY 6

P E N I N S U L A

30 NE Romance Hill Road, Belfair, WA 98528 | 360.275.4267 | northmasonchamber.com | explorehoodcanal.com

K I T S A P

CHAMBER NORTH MASON

| January 2016 |

BUSINESS STRATEGY | DAN WEEDIN

Are you buying or selling in 2016?

he clock has passed into a new year amid the hangover of a bustling holiday season full of parties, gifts, revelations and resolutions. Now it’s back to business with a fresh outlook ﬁlled with hope and expectation. Right? There’s a certain “back to reality” perception that obscures our emotions whenever January rolls around. It’s human nature. Everyone is now done wishing you a “Happy New Year” and loads of joy, prosperity and success. The challenge is that now the hard work begins to convert those well-intentioned wishes into reality. My question for you is — are you buying or selling? Nothing magical happens when time shifts from December 31 to January 1. The wish for “happy” results knows no set time or place. Your attitude, mindset and level of discipline are what will result in consistent and sustained success. Those three factors determine whether you’re buying or selling on the concept and reality of a “Happy New Year.” Too many

business people actually are “selling” on that concept. Here are ﬁve signs on whether you are unwittingly bailing out — or “selling” — on a “Happy New Year”: 1. You’ve invested nothing in personal growth and development. That means no investment of time or money for you or your people in growing your minds, your skills, or your habits. 2. You choose not to review your practices, procedures and activities. Just because you’ve always done it the same way doesn’t mean it’s the best option. Those that never look for a better way often fade into complacency. 3. You fail to invest in marketing. Every company is reliant on acquiring new business. Failing to stay creative and bold in marketing results in stagnation and obsolescence. 4. Company culture isn’t a priority. As much as “culture” has become a buzzword in business, there is still much evidence that it hasn’t caught on everywhere. Overlooking the importance of it can lead to dire consequences. 5. Recruiting and hiring are

done on an “as needed basis.” Hiring people out of desperation rarely works. Any of these maladies look familiar? Whether you run a gigantic company or are the boss of just yourself, any of these factors will interfere with your desire to have a successful and prosperous year. At the very least, you won’t be maximizing what you can accomplish. Let’s fix these problems and swap to “buying” through a changed attitude, mindset and discipline. 1. Commit to professional growth by putting your moneyandtimewhereyourmouth is. Decide what you’re going to do to improve yourself and your team. Is it coaching and mentoring? Is it skills-based training? Is it virtual workshops or attending conferences? Map out what you’re going to do this year and then find the time and finances for it. Pull out your calendar and schedule professional development now. It’s too easy to put off and then complain that you ran out of time. Professional growth is an attitude (priority), a mindset (always striving to learn more) and a discipline (actually doing it). 2. Schedule time to review

Business Briefs Liberty Bay Books staying in Bremerton A Poulsbo bookseller is giving Bremerton readers the best gift they could hope for. Liberty Bay Books, which operated a pop-up bookstore on Paciﬁc Avenue for the last three months, has decided to stick around town. Owner Suzanne Droppert said the response from Bremerton shoppers during the holiday season was encouraging. “We received a really warm welcome for everyone who stopped in,” Droppert said recently. Liberty Bay Books will remain at 409 Paciﬁc Ave. at least through January, while looking for a permanent home downtown. Droppert said the landlord is looking for a tenant to lease the Liberty Bay Books space and an adjacent suite together, which is more room than the bookstore needs.

LARRY STEAGALL / KITSAP SUN FILE

Erik Painter of Bremerton and sons Luka, 10, and Leo, 7, window shop at the Liberty Bay Books shop that opened in November on Paciﬁc Avenue in downtown Bremerton.

When a new tenant is found, Liberty Bay Books will move to another location. The Bremerton Liberty Bay Books store will begin hosting events and clubs early in the new year. You can ﬁnd updates on the Liberty Bay Books Facebook page.

your practices. I met in December with a new client that committed to this strategy. It takes vulnerability and humility, yet it’s worth the effort. It’s too easy to get caught in the “same old, same old.” This concept breathes a fresh perspective on your activities and uncovers areas that you can enhance or add for your beneﬁt. Make sure you have an outside expert helping you or otherwise you get caught breathing your own exhaust. Make the most of your time spent and implement your new practices. 3. Focus on building your brand. My professional mentor Alan Weiss has always said that, “If you don’t toot your own horn, there is no music.” You have value to offer through your products and services. You have the ability to improve the conditions and lives of others, but they need to know you exist. Don’t get caught in the snare of thinking that you can get by with your current base of clients or else one day you may ﬁnd that your pipeline has run dry. Brand building requires consistency, patience and discipline. It may be the most important business activity you perform. 4. Create a fun environment. Employees invest a huge chunk of their lives in a company. If it’s dreary and dull, the results will be poor performance and high turnover. It doesn’t take

much to exponentially improve a culture. Even adding a modicum of fun into the daily grind can enhance an entire company attitude. More on this topic next month. 5. Always be recruiting. The worst thing that can happen to a company is to hire out of desperation. Recruiting must be a regular executive function. The focus should be on finding good people that add value and diversity to your business. Most skills can be taught; seek out individuals that enrich your company. Even if you have to hire without a spot in place, you build better bench strength and grow the quality of your people. Bottom line: You are either buying or selling on your success and significance in 2016. Making a conscience effort to acknowledge that and prepare your attitude, mindset and discipline to guide your efforts is the first step in making sure all those that wished you a “Happy New Year” will have been prophets. Are you buying or selling? • Dan Weedin is a strategist, speaker, author and executive coach. He helps business leaders and executives to become stronger leaders, grow their businesses, and enrich their lives. You can reach him at 360-697-1058; e-mail at dan@danweedin.com or visit his web site at www.DanWeedin.com.

New concept store to open at old QFC site in Gig Harbor

Business Forum explores shaping company culture

A new concept grocery store called Main & Vine is scheduled to open in February in part of the former QFC supermarket space at 5010 Point Fosdick Dr. NW in Gig Harbor. The market will feature seasonal products including fresh, organic, local and sustainable foods, along with name-brand staples, according to a news release. “The Paciﬁc Northwest is a hotbed of fantastic artisans and producers, and we know there’s a strong interest for organic, fresh and unprocessed food, but also for those mainstream items and little indulgences that families both want and need. That’s where Main & Vine comes in,” said Dann Kohl, store manager. The 27,000-square-foot store will host culinary experiences with local chefs and farmers. It also will include a coffee, wine andbeerbar,aswellasa dual level café area. The Gig Harbor store (www.mainandvineshop.com) is the ﬁrst Main & Vine location opened by The Kroger Co., parent company of QFC and Fred Meyer.

The ﬁrst Kitsap Business Forum of 2016 will present “Your Boot Camp for Company Cultural Transformation: Whether you know it or not you have created a culture. When it’s not effective, what will you do?” The Jan. 12 session will feature Lesli Dullum-Tutterrow of Optimal Wellness Inc. and Marsha Bell Frisch of Focal Point Coaching Excellence, who will lead a workshop on identifying your company culture. How will you intentionally evolve your culture to beneﬁt your team and company in tangible and intangible ways? The forum, will be held from 7:30-9 a.m. at the Kitsap Conference Center, 100 Washington Ave. in Bremerton. Free parking is available in the Anthony’s spaces on the blue level during the forum. Those interested in attending should RSVP to 360-692-6800, or go online to register at http://KitsapBusinessForum.com. The monthly Kitsap Business Forum is organized by the Silverdale Chamber of Commerce.

Promoting Business & Encouraging Community in South Kitsap Since 1890

THANK YOU TO OUR SPONSORS! ďż˝ S

January Luncheon

You can register online at www.portorchard.com

Learn about the February 9 bond to fund construction of a second high school and upgrade technology and safety at South Kitsap High School. December 9 ........6:00pm................... Sunnyslope Elementary January 5 ............6:00pm .......... Orchard Heights Elementary January 9 ............11:00am ..........SKSD Administration Office January 12 ..........6:00pm..............John Sedgwick Junior High

O F

Plan on a ending our January luncheon, ask your ques ons and learn how you can support the future business leaders of tomorrow.

Bond Information Meetings

C H A M B E R

1/14/2016 11:00 am â&#x20AC;&#x201C;1:00 pm McCormick Woods Join community leaders and Dr. Michelle Reid, SKSD Superintendent as she discusses the upcoming High School Bond vote on February 9th, 2016. There are may challenges facing our children today and our youth deserve the best educa on available.

Two new member beneďŹ ts

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S S

Peterson & Jake CPA Kitsap Sun Kitsap Bank Harrison Medical Center / CHI Franciscan Health

B S

My Prin ng Services Southard, Beckham Atwater & Berry CPA, PS Barry Doll Agency/ American Family Insurance

Need More?

Stay tuned for more details!

Get in the KNOW, www.portorchard.com 360.876.3505

1014 Bay St #3 Port Orchard, WA 98367

www.portorchard.com

360-876-3505

P A R T N E R

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C O M M E R C E

Make the most of 2016 and your Chamber membership HR Management and â&#x20AC;&#x153;Reverse Riskâ&#x20AC;? tool. Take the guess work out of new hires. Maximize your teams eďŹ&#x20AC;orts for maximum results.

K P B J

| January 2016 |

HUMAN RESOURCES | JULIE TAPPERO

Safe workplace preparations today should include worst-case scenario

very year in October we conduct earthquake drills in our companies as part of the Great Shakeout. No doubt, most of us hold an annual fire drill in our businesses to make sure our employees know the exit routes, how to use the extinguisher, and where to safely gather. But do your employees know what to do if there is an active shooter in your workplace? If you are not preparing them, sadly, you should be. All of us have been incredibly saddened and shocked by horriﬁc stories of mass shootings in workplaces in the last few years. While everyone believes it will never happen in their workplace or community, tragically, it is happening in many. According to the Bureau of Labor Statistics: • From 2006 to 2010, an average of 551 workers were killed each year as a result of work-related homicides • In 2010, 11 percent of all fatal

work injuries were homicides, and 77 percent of those were multiple-fatality homicide incidents • 78 percent of those homicides were shootings, and in two-thirds of them the assailants had no known personal relationship to the victims Those are some truly scary statistics! As employers, we are required by law to provide a safe workplace for our employees. Part of that requirement is to conduct monthly safety meetings or to have a safety committee. We’re also required to have a safety plan. The beginning of the year is a good time to review our safety programs and incorporate mass shooting preparation, to protect our employees. According to the Department of Homeland Security, active shooter incidents are over within 10 to 15 minutes, and 60 percent end before law enforcement arrives. So it is imperative your employees know what to do if they ﬁnd themselves in this situation. The goal for every employee is that they personally survive. The ﬁrst option is to evacuate,

if at all possible. If an employee has a safe escape route, they should leave immediately. They should help others if they can, but not wait for others to agree to go. Once outside, they can prevent others from entering the unsafe area, and call 911. As part of your active shooter plan, have your employees describe their escape routes. If escape is not possible, the second option is to hide. The hiding spot should be out of the shooter’s view, with protection from shots if possible, and not where the employee will be trapped. Ideally, an employee will be able to lock a door and barricade it with heavy furniture. Some companies have gone so far as to install deadbolt locks on office doors to protect staff. Remind employees that they should silence their cell phones, remain quiet, and hide behind large items such as desks or ﬁle cabinets. If possible, they should call 911, but if speaking puts them in any danger, they should just leave the line open. The FBI advises groups to disperse if possible, as there are

larger numbers of casualties when shooting at a group of people, and when people spread out it creates more confusion to the shooter. Employees can prepare for this in advance by considering best hiding places in their workspace. If leaving and hiding are not options, the last recommended step is to take action against the shooter. This is absolutely a last resort and should only be turned to if people’s lives are in imminent danger. The idea is to distract or somehow disable the shooter. It’s recommended that people throw heavy items at the shooter and use improvised weapons. Have your employees consider what they have in their offices to harm an intruder. There are some other things you can do in advance to increase worker safety: • Your workplace should have a minimum of two exits and evacuation maps should be prominently displayed throughout the workplace • Ensure that employees know how to report concerns about potentially violent or suspicious behavior of co-workers and others • Maintain up-to-date lists of emergency contact information and emergency kits stocked with ﬁrst aid, ﬂashlights and other items needed in a crisis • Periodically conduct a safety

and security audit of the facility to see if there are unsafe conditions, such as burned out lights, malfunctioning locks, outdated security codes, and unlit exit signs • If your company is large enough you may want to have employees and visitors sign in and out so you know who is in the building when an emergency occurs Train your employees on how to behave when law enforcement arrives. They need to keep their hands visible, raised, and free of any items. They should avoid making quick movements or loud noises, and remain calm and follow directions. There are some great resources online from both the FBI and Homeland Security to help prepare yourself and your employees. They have a ﬁve-minute video called Run Hide Fight, which provides the basics to prepare employees, and is a good starting place for training. It’s awful to think that we have to prepare for such a possible tragedy in our workplaces. But if preparing saves even one life, it’s certainly worth doing. • Julie Tappero is president and owner of West Sound Workforce, a professional staffing and recruiting company based in Poulsbo and Gig Harbor. She can be reached at julie@westsoundworkforce.com.

SCORE MENTORING | KEN SETHNEY

How can I get help with accounting and taxes?

irst, decide what kind of accounting help you need. There are many responsibilities that come with being a small business owner, and every one is critical to maintaining profitability and promoting growth. You can’t risk letting a deadline slip or overlooking an administrative requirement, yet there are only so many hours in the day to get things done. To ensure you stay focused on the most important things, it may be a good idea to transfer some

routine chores. Even though accounting software programs have simpliﬁed the process of routine bookkeeping and tax preparation, someone wellversed in this area can spot trends or problems you might miss. And the more complex your needs — preparing financial reports, invoicing, payroll, etc. — the more time-consuming accounting becomes. If you decide you need the skills of an accounting professional, the American Institute of Certiﬁed Public Accountants

(AICPA) can help. The “For the Public” section of their website (www.aicpa.org) offers guidance in selecting the right CPA for your small business, including a searchable directory of AICPA member firms. Fees vary greatly among accountants, depending on location, expertise and services provided. Some firms will provide bundled services for a flat monthly fee, but may charge less for bookkeeping and other tasks that don’t require CPA-level training. If you are considering a larger accounting firm, make sure you meet and get to know the people with whom you will be working. As with any business relationship, a “comfort level” of trust, confidence and

communication with an accountant is a must. Not sure you need a CPA? Then a professional bookkeeper may be just the resource you need. The free online “Bookkeepers Hiring Test” from the American Institute of Professional Bookkeepers (www.aipb.org) can help you assess candidates’ qualiﬁcations. Another option is an Enrolled Agent (EA), a professional licensed by the federal government to prepare tax returns. Unlike CPAs, EAs must demonstrate their competence in all areas of taxation, representation and ethics before they are given unlimited representation rights before IRS. More information and assistance in ﬁnding an EA is available

from the National Association of Enrolled Agents (www.naea.org). • For more help with finding accounting services, contact SCORE — Mentors to America’s Small Business. SCORE is a nonprofit organization with more than 12,000 volunteers who provide free, confidential business mentoring and training workshops to small business owners. To contact Kitsap SCORE, email kitsap@scorevolunteer.org, call 360-328-1380 or visit kitsapscore.org. Ken Sethney is a volunteer business mentor and branch manager with Kitsap SCORE. He is a former ad agency creative director and marketing coach who worked with owners of midsize companies throughout the U.S. Contact Ken via email at ken.sethney@scorevolunteer.org.

286 4th Street, Bremerton WA 98337 l 360.479.3579 l bremertonchamber.org

Harrison Medical Center

January Chamber Events 2016 West Sound Business EXPO

Land Title of Kitsap County

Thursday, February 18, 2016 2:00 - 7:00 p.m. Kitsap Sun Pavilion

Tim Ryan Construction, Inc.

Calling all Super Heroes!

New Members Community Geeks Project 3460 W Belfair Valley Rd Bremerton (360) 479-6487

Northwest Chimney Service Inc.

Plaza Barbershop 5050 State Hwy 303 #110 Bremerton (360) 373-0983

Thrivent Financial 2819 Kitsap Place, Suite 202 Silverdale (360) 731-8676

It gives us great pleasure to announce the 2016 Westsound Business Expo is coming February 18, 2016 to the Kitsap Sun Pavilion. The WSBE is the largest one day Business Expo where all our local chambers come together to "Celebrate Business Success" on the Peninsula. It is our hopes that you will join us again this year as we call out to all Super Heroes!! In the business world that is! Kitsap Credit Union will be our Premier Event Sponsor for 2016. Thank you Kitsap Credit Union we appreciate your support. To register visit the Chamber website at bremertonchamber.org or call (360) 479-3579.

January 14 - 7:00 AM Your Business Academy How to Find More Customers Without Spending a Fortune United Way Building Conference Room 647 Fourth Street January 19 - 11:30 AM Membership Luncheon Aaron Leavell Superintendent, Bremerton School District Kitsap Golf & Country Club January 28 - 5:30 PM Chamber After-Hours Hosted by CJâ&#x20AC;&#x2122;s Evergreen Store & Catering Chamber Office 286 Fourth Street Bremerton

P A R T N E R

10689 State Hwy 3 Bremerton (360) 373-3034

Kitsap County Fairgrounds

C O M M E R C E

Puget Sound Naval Shipyard & Intermediate Maintenance Facility

January 12 - 7:30 - 9:00 AM Kitsap Business Forum Your Bootcamp for Company Cultural Transformation: Whether you know it or not you have created a culture. Kitsap Conference Center

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Kitsap Sun