Kitsap Peninsula Business Journal - July 2016

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Kitsap Peninsula

Business Journal An edition of the Kitsap Sun

KPBJ.COM

July 2016 | Vol. 29, No. 7

Organic or ‘moreganic’ Local farmers weigh in on pros and cons of certification Page 4

Farm interns find a place to grow food and careers | 5 Historic farmland preserved for continued ag production | 7

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| July 2016 |

WELCOME | DAVID NELSON

On the Cover

An ‘edge’ for ag?

A variety of fruits and vegetables for sale at the farmstand at Bainbridge Island’s Suyematsu & Bentryn Family Farms. Some area farmers are certified organic growers, while others use organic and sustainable practices but don’t feel the need for certification. | Story, page 4

O City, farmers preserve ag land The city of Bainbridge Island and the nonprofit Friends of the Farm have worked with local farmers to preserve and use land farmed by the Suyematsu family for nearly a century. Story, page 5

Kitsap Peninsula

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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 michaelstevens@kitsapsun.com Jeremy Judd, Digital Director jeremy.judd@kitsapsun.com

Hands-on training Some of Kitsap County’s newer farmers, such as Becky Warner (above) got their start as interns at area farms. Story, page 6

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

Standard mail postage to be paid at Bremerton, WA

POSTMASTER: Send address changes to Kitsap Sun, PO Box 259, Bremerton, WA 98337-1413 © 2016 Kitsap Peninsula Business Journal / Kitsap Sun ISSN 1050-3692 VOLUME 29, NO. 7

Bookstore’s new stewards Dave and Jane Danielson met at Eagle Harbor Book Company, where she’s worked for nine years. Now they own the iconic Bainbridge Island bookstore. Story, page 26

ur annual focus on local agriculture makes for one of the most interesting issues each summer. I always find an untold story about a small farmer doing something new, or a cooperative working to retain our county’s agriculture presence. That’s no different this July, as you’ll read inside. Sustaining a place for local agricultural in the face of growing demand for undeveloped land can’t be easy, which makes projects to protect historic farmland vital. Turning a profit as a small producer isn’t a snap either, and even individuals called to become farmers still work part-time gigs. And finding the next generation of farmers will remain a challenge with opportunities — and income — still too rare. That gives another announcement in this edition some interesting timing. Kitsap Bank’s Edg3 Fund competition, an event the Kitsap Peninsula Business Journal is a media partner on, is now accepting applications. This is a competition in its third year that awards $20,000 to a small business or entrepreneur, with an emphasis on plans that boost our region economically, socially and environmentally. To phrase that criteria another way (and don’t worry, I’m not a judge) — businesses that enhance the quality and profitability of our local food network and use our physical landscape in an economically sustainable way. My bias is that last year’s winner was just that — OlyKraut, an Olympia producer of sauerkraut and pickles that buys from local, organic producers and planned to invest the prize money by expanding its refrigeration and storage capacity — and one of the finalists was Poulsbo’s SmithShyre Farm. I couldn’t help reading this edition of KPBJ and wondering what $20,000 could do for a farm internship program, or a fledgling winery, or a farm interested in adding “organic” status to its products so sales may expand to stores with that requirement. That’ll be up to Kitsap Bank as it sorts through applications and then the judging panel at this fall’s event, of course, and the competition is in no way limited to the food industry. I’d encourage you to suggest this opportunity to any entrepreneur you know who may benefit from such a boost, and enjoy learning more about what’s happening on the agricultural scene in this edition of Kitsap Peninsula Business Journal. • David Nelson is the editorial director of the Kitsap Peninsula Business Journal and editor of the Kitsap Sun. Contact him at david.nelson@kitsapsun.com.


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| July 2016 |

Farmer’s choice: Organic or ‘moreganic’ ■ Some local growers regard their sustainable ag practices as more worthwhile than certification By Tim Kelly

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

Marilyn Holt remembers sitting under a lightning-scarred tree on the family farm and reading a book with her mother. They read Silent Spring, Rachel Carson’s 1962 seminal work about the environmental harm caused by widespread pesticide use. That influenced Holt decades later when she left her job as a business consultant and took over the family’s Kitsap County farm, and decided to make Abundantly Green a certified organic farm. “We just believe if you’re going to protect the earth, you’ve got to do certain things, so you might as well go all the way and not use half-measures,” Holt said. “For me, that meant we became certified organic.” Only a handful of Kitsap’s small-scale farms have done that, although numerous growers use sustainable, eco-friendly farming practices. They just don’t feel it’s necessary to complete the organic certification process. “We’re actually sympathetic to people who don’t want to do it,” Holt said, “but when you can I think you should.” Rebecca Slattery’s Persephone Farm in Indianola is one of the region’s more established farms and maintains “a balanced ecosystem” on its 13-acre spread by using “careful crop rotations, homemade compost, beneficial insectaries and patient observation to avoid pesticides and chemical fertilizers,” according to its website. Like some other non-certified farms, Persephone says its practices exceed national organic standards, so that crops grown there are “moreganic.” Erin and Roni Smith describe their Smithshyre Farm near Poulsbo in similar terms. “We consider ourselves ‘actually organic,’” they wrote in an email response to a Kitsap Peninsula Business Journal survey of local farms. The couple, who started their farm a couple years ago and

I THINK THERE’S a lot more than organic certification that can be done to be a sustainable farm.” — Dana Steege-Jackson, Around the Table Farm

TIM KELLY

Max Sassenfeld stands at the top of a slope overlooking organic vegetable plots and greenhouses at his Tani Creek Farm on Bainbridge Island.

LARRY STEAGALL / KITSAP SUN FILE

TIM KELLY

Nikki Johansen of Pheasant Fields Farm in Silverdale waters tomato plants for sale at the SIlverdale Farmers Market. She uses organic farming practices, but Pheasant Fields is not a certified organic farm.

Pasture-raised chickens and ducks at Marilyn and Cliff Holt’s certified organic farm, Abundantly Green, near Silverdale.

helped found Kitsap Fresh last year as an online farmers market, use soil enhancers approved by

natural means of pest control and don’t apply any herbicides, insecticides or fungicides. The Smiths

the Organic Materials Review Institute, such as rock minerals and sea kelp. They use ladybugs as a

also use rotational grazing with their livestock. “We never seriously considered organic certification,” they said. “Certification is both expensive, time consuming and allows for use of chemicals that we do not feel are healthy or natural and neither do our customers. “Since we sell 100 percent direct to our customers, certification is just not necessary. Our customers trust us when we say this is an ‘actually organic’ farm.” Brian McWhorter is a longtime certified organic grower, but the operator of Butler Green Farms understands that distinction between selling veggies and berries at farmstands and farmers markets versus selling produce to grocery stores and restaurants. “You can get philosophical about it,” he said of the organic debate, “but the number one reason (for getting certified) is if you sell wholesale. Like I sell to Town & Country, and I actually manage their farm, Middlefield Farm, for them. So everything that grows has to be certified, that’s the law, if you’re going to sell it to the public in the store and they put the organic label on there.” Wine from Bainbridge Vineyards doesn’t carry that label, even though the 1,000 or so bottles produced annually are made from organically grown grapes. Betsey Wittick said she got her vineyard certified as organic in 2014 “because I decided to sell a lot of my wine off the farm,” in See ORGANIC, 9


| July 2016 |

A variety of fruits and vegetables are for sale at the farm stand at Suyematsu & Bentryn Family Farms on Day Road on Bainbridge Island. MEEGAN M. REID

and sustainable practices on the island and was determined that the property his family purchased in 1928 remain agricultural. Over

Ag pioneer’s land preserved for farming

the years, he sold portions to Wittick and Bainbridge Vineyards founders Gerard and JoAnn Bentryn. After island voters approved an open-space initiative that included farm preservation funding, Suyematsu sold his remaining acreage to the city and the Bentryns sold a portion of their land

with the provision that the parcels never be developed. “We did all we could to try to lock this up as a place of beauty,” said Gerard Bentryn, adding that a groundswell of public support made it possible. “Even people who don’t farm, want to see farms.” In all, the city owns 60

acres of agricultural land in five locations and leases acreage to eight farms, which practice sustainable farming techniques. The nonprofit Friends of the Farms manages the properties, maintains the infrastructure, organizes See FARMLAND, 10

Could Your Business Use

$20,000?

■ Historic farm on Bainbridge

now a shared 40-acre spread with berries, veggies, vineyards By Terri Gleich KPBJ contributor

Karen Selvar was 9 years old when she started picking strawberries for Bainbridge Island farmer Akio Suyematsu. And, although she quit after a week or two, a seed was planted in that summer of 1973 that continues to bear fruit today. Selvar came back the next summer and the one after that, learning at Suyematsu’s side and eventually taking over his berry operation and starting her own business growing vegetables for the local farmers market. Today, she is one of seven farmers cooperatively working Suyematsu’s former Day Road farm, a patchwork of vineyards, berry fields and vegetable plots that provides both a link to the island’s agricultural past and a hope for its future. “It’s one of the few places on the island where you can get a sense of what the island was like before so many people got here,” said Betsey Wittick, whose Laughing Crow Farm is

part of the Suyematsu property, as is Bainbridge Vineyards, where she works. The 40-acre tract, now known as Suyematsu & Bentryn Family Farms and partly owned by the City of Bainbridge Island, is the oldest continuously farmed land in Kitsap County. The lastofthelargefamilyfarms thatoncemadeBainbridgea strawberry capital, its preservation — in the face of skyrocketing property values and growing pressure for development — is a testament to both Suyematsu’s determination and the foresight of island voters. “It was preserved because Akio continued to farm it,” said Selvar. Hardworking,disciplined and a generous mentor to new farmers, Suyematsu was still weeding his pumpkin fields and maintaining his raspberry canes when he passed away in 2012 at age 91. He spent most of his lifeonthefarm,leavingonly when his family was forced to go to an internment camp during World War II and when he servedin the Army from 1945-47. He pioneered organic

TM

Kitsap Bank’s edg3 FUND small business competition is for entrepreneurs dedicated to growing their community economically, socially and environmentally.

Want to win $20,000 for your business? Application Period: July 1-29. Visit www.kitsapbank.com/edg3-fund.

Serving you through over 20 locations in six Western Washington counties. www.kitsapbank.com • 800-283-5537

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| July 2016 |

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The grounds of Olalla Vineyard & Winery in South Kitsap. PHOTO COURTESY MARY ELLEN HOUSTON

With help, new owners happily learning in their vineyard

â– Couple who bought Olalla Vineyard & Winery

plan more production, and special event bookings By Christian Vosler

christian.vosler@kitsapsun.com 360-792-9207

When Joe Serka returned to the vineyard he had owned for over a decade, he couldn’t believe the state of the grapes. “He said, ‘This is the year I’ve been waiting for,’â€? said Mary Ellen Houston, one of the new owners of Olalla Vineyard & Winery. Houston and her husband, Scotland native Stuart Chisholm, purchased the winery and vineyard in December. Previously, the 6-acre estate had been home to Serka and his wife, who ďŹ rst planted vines in 1999 and officially opened the winery for business in 2008. “[Stuart] and I, ever since we got married, we said we wanted to work together, doing something together,â€? Houston said. The only problem? Neither Houston nor Chisholm had ever made wine before.

Born in Pittsburgh, Houston was living in Seattle, working for the TSA when she met Chisholm in 2011. They were married in 2012. Fed up with her work, the couple began looking for business opportunities: coffee shops, wine bars, wedding venues ... even a UPS store. But when they visited Olalla Winery, Houston said it felt like coming home. Serka offered his assistance as part of the business deal. “He is mentoring us over the next year,� Houston said. “He’s teaching us a lot about how to maintain the vineyard, pest management, any type of vineyard management as far as tying the vines, thinning the vines, pruning, things like that.� Houston and Chisholm also received help in the form of Matthew Loso, a winemaker from Woodinville who consults for wineries throughout the state. Houston said Loso visited

the estate, and encouraged them to go through with the deal. “That’s the key, is surrounding yourself with the right people,� Houston said. “And then having the desire to be a sponge and just take everything in and learn as much as you can about it.� Chisholm is simultaneously embracing the new business with fervor without putting all of his eggs in one basket. He still works as a project manager in the telecommunications industry, a position he hopes to vacate when the winery is stable enough to allow it. And while prospects are good — hundreds of people showed up for the grand opening June 4 — Chisholm said he doesn’t expect to be able to leave his outside job until 2018. That doesn’t stop him from getting up at 6 a.m. to tie vines, however, while his wife works in the tasting See OLALLA, 12

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| July 2016 |

TOURISM | PATRICIA GRAF-HOKE

Agri-tourism reinforces Kitsap’s ‘natural side’ image

W

hen you think of agri-tourism, it may conjure up visions of working for a week on a real farm, no desktop computers or swivel chairs in sight. It may mean a day trip with the family to trade the din and dust of the city for the chance to pet baby goats and look a llama in the eye. It may mean a weekend with your best friend tasting award-winning wines and sampling artisan cheeses. On the Kitsap Peninsula, agri-tourism means all of these things and more. Like the forests, trails, shorelines and wetlands, Kitsap’s farmlands are an important part of the region’s natural assets that all contribute to Kitsap’s quality of life, health and economy. Our goal is to educate visitors, and locals, about the wide range of agri-tourism options visitors will discover in communities in and around the Kitsap Peninsula region. Based on national and international trends, there is significant potential to grow agri-tourism choices available to those visiting the region. One of the marketing challenges is that the definition of agri-tourism has changed dramatically over the past decade, and it is now as diverse as the destinations and activities that carry that moniker. Historically, agri-tourism centered on activities that occurred on large farms or ranches. Today, agri-tourism can encompass any activity related to the production, distribution, education or use of anything locally grown, raised or made. The reason the definition of agri-tourism changed

over the years is purely economic. Smaller farms and producers needed to find new sales channels to generate alternate sources of revenue to supplement and sustain their agriculture operations and related businesses. Examples of alternate revenue channels include farmers markets (which are a major distribution channel for most local farms), farm stands, U-pick farms, farm and vineyards, edible garden tours, farm-to-table celebrations, culinary/ cooking classes, cheesemaking workshops, wine tastings, shopping harvest and seasonal events like corn mazes and pumpkin patches, paid educational tours of farms and interaction with farm animals. Depending on local agriculture codes and ordinances, it may also include microbreweries, retail sales, lodging, venue rentals and even outdoor recreation. For the past 18 months Kitsap County staff has workedcloselywithagriculture and agri-tourism stakeholders to update and revise local agriculture code and ordinances. The purpose of the update and revisions are twofold: 1) to create opportunities for farmers and producers to generate more revenue, and 2) take advantageofthegrowingpopularity of agri-tourism to attract visitors and increase sales and tax revenues. For marketing purposes, agri-tourism is divided into two types of travel options — packaged agriculture destinations and self-guided ag-related activities and events. Large agriculture regions like Walla Walla in Eastern Washington and Sonoma and Napa valleys in California fall into the first category, offering travelers well-defined, and highly marketed, agritourism vacation packages.

While visitors may engage in other activities such as concerts and festivals, the focus of the visit is centered on the education and enjoyment of wine. To date, Heyday Farm on Bainbridge Island is the only agri-tourism destination that qualifies for the first category, offering highend overnight accommodations along with hands-on farm experience and education. The farm also offers professional-level culinary classes often taught by well-known chefs. Heyday also maintains a wellstocked farm store open to the public. Most other farms and producers fall into the second category and offer visitors a wide range of agriculture activities and events on a year-round basis. Well-publicized events like annual festivals can provide visitors the primary incentive to visit and even spend the night. However smaller events like a visit to one of Kitsap’s many farmers markets or U-picks can be combined with non-agri-tourism activities to provide visitors with a memorable experience on “the natural side of

Puget Sound.” The branding strategy, put in place in 2009, has been very successful mar-

keting the region’s natural assets as the primary incentive to attract tourists and visitors. The same strategic umbrella can also be used to market the Kitsap Peninsula region and all of its communities as one contiguous “agri-tourism destination,” following the model that led to the creation of the Kitsap Peninsula National Water Trails. Studies show that farmbased activities have widespread impact on economic and community development since they benefit not only farmers, but also providers of other goods and services in the community. Agri-tourism and other visitors that seek out nature-based or outdoor recreation activities are more likely to support and spend tourism dollars

at farmers markets, farm stands, agriculture-related fairs and festivals, and at cafés and restaurants that use farm-fresh local ingredients. There is no doubt that Kitsap’s agritourism scene is blossoming. With proper cultivation and attention, it has the potential to reap sustainable environmental and economic benefits. To generate awareness about Kitsap’s agri-tourism options, the VKP recently created a page on our website (see image at left) that includes a list of local resources and an interactive map showing locations and descriptions of local farms, producers, farmers markets, farm stands, vineyards and restaurants See TOURISM, 11

• OWCP • L&I • Jones Act

Dr. Robin Fiscus Audiologist

In a large survey by the National Council on the Aging, two-thirds of older adults with untreated hearing loss explained their reluctance to get a hearing aid with statements like "my hearing is not bad enough" or "I can get along without one," and one person in five said things like "it would make me feel old" or "I don't like what others will think about me. However, those in the survey who had hearing aids were, on average, more socially active and less likely to be depressed, worried, paranoid or insecure, and their family members and friends were even more likely than they were to have noticed these benefits. The findings of the survey, conducted among 2,096 hearing-impaired people and 1,710 of their family members and friends, and funded by the Hearing Industries Association, a trade group, were published in 1999, but experts say little has changed in people's attitudes and treatment of hearing loss.


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| July 2016 |

Farmland from 5

volunteer work parties, matches farmers with people who have extra land, and provides educational programs. According to the organization’s 2015 annual report, city-owned farmland yielded more than 104,000 pounds of produce last year, including 18 food crops and six varieties of wine grapes. “I’m inspired that there’s a community that wants to support farming,” said Brian MacWhorter, a Friends of the Farms board member and owner of Butler Green Farms, which leases several parcels of city land. “I started farming in ’74. In my lifetime, the family farm has gone away.” Bainbridge is not alone

A dirt row runs through fields at Bainbridge Island’s Suyematsu & Berntryn Family Farms. MEEGAN M. REID

Visiting the farms For a taste of Suyematsu & Bentryn Family Farms, visit the iconic farm stand at 9227 NE Day Road. Open 9 a.m. to 3 p.m. daily during raspberry season. Prepicked flats and U-pick available. Suyematsu & Bentryn Family Farms includes these growers: • Laughing Crow Farm, Betsey Wittick

in trying to stem that tide. Since 1979, King County has purchased the development rights to 13,200 acres of farmland to keep them in agricultural use. And in Jefferson County, more than 10,000 acres are pro-

tected by a nonprofit land trust, which uses a variety of strategies including conservation easements that preclude development. Wittick of Laughing Crow Farm said many people and groups, includ-

Interns from 6

uniqueness. Warner, Ziemann and Tzeng all got their start as interns for Bainbridge Island growers Betsey Wittick and Brian MacWhorter, veterans who have mentored many of Kitsap’s new crop of farmers. MacWhorter, who owns Butler Green Farms, said working with interns is energizing. “I want to pass my knowledge on and I’m inspired when young kids come onto the farm,” he said. “They inspire me to get out of bed every day with their enthusiasm.” Wittick’s current intern, Sabrina Green, has a degree in wildlife science and is particularly interested in how agriculture affects bees. She has created a quarter-acre microfarm on Wittick’s Laughing Crow Farm, growing mainly lettuces and herbs. When she can arrange access to a commercial kitchen, she wants to craft herbal teas. To make ends meet, she

ing Rural Bainbridge Island and the Bainbridge Island Grange, helped create a foundation for farmland preservation 25 years ago by invigorating the farmers market and giving producers another avenue for selling their crops. “A lot of us pooled together to grow enough veggies for a booth and that was the beginning of Laughing Crow Farm,” she recalled. Bart Berg, a landscape architect and Friends of the Farm board member, said strong support for farming is essential to maintaining the island’s culture. “I want to live in a community where we have farmland, we know the farmersandweknowwhere our food comes from,” he said. “I want to drive by and see an agricultural land-

scape. It’s a very powerful thing to me. I grew up here. For that to be part of where I live is critical to me.” To kindle that same passion in Bainbridge’s youngest residents, Friends of the Farms partners with the nonprofitEduculturetoturn city farmland into outdoor classrooms. Educulture managing director Jon Garfunkel said some of the land at Suyematsu & Bentryn Family Farms is set aside for instructional plots, where kids can work with master farmers to plantand harvest produce that is taken back to school for tasting and to study the food cycle. One of those master farmers is Selvar, who was introduced to farming when she was the same age as some of the visiting students. She now supplies 300 pounds of raspberries

• Bainbridge Vineyards, Betsey Wittick • Bainbridge Island Farms, Karen Selvar • Butler Green Farms, Brian MacWhorter • Perennial Vintners, Mike Lempriere • Paulson Farm, Mike Paulson For up-to-date hours and produce availability, follow Bainbridge Island Farms on Facebook at https://www.facebook.com/Bainbridge-IslandFarms-540307349350949/.

and 600 ears of corn to the Bainbridge schools each year for a special lunch program, perhaps inspiring her young visitors the way Suyematsu inspired her. Said Garfunkel: “We are raising the next generation of farmers because that public land is ours to carry into the future.”

Bremerton Office Building For Lease 900 � BUILDING

MEEGAN M. REID

Becky Warner, left, and Renee Ziemann look over plants in one of the greenhouses at Full Tilth Farm in Poulsbo.

repairs fly fishing rods. “I definitely want to be a farmer. It’s the most satisfying work I’ve ever done,” she said. In particular, she loves having a direct relation-

ship with the people who buy her produce. “It’s the community building and community nourishing aspect of farming that’s really great.”

7,143 square foot brick building

Can easily be divided

20 on-site parking spaces

1 block north of downtown post office

Between Downtown and Evergreen Park

Newly renovated streetscape

Remodeled common areas and façade

Quick access via 11th Street to East Bremerton, Kitsap Way, and HWY #3

Gary Gar n CCIM & Garet Gar n Bradley Sco� Commercial Real Estate (360) 479-6900 (800) 479-6903 www.bradleysco nc.com


| July 2016 |

Business Briefs Heronswood Garden open weekly to visitors without a reservation Heronswood Garden, where many plants are just peaking in blossom in the woodland, is open to visitors without a reservation every Friday from 10 a.m. to 3 p.m. Volunteers at the garden entrance will greet and orient visitors. Visitors are encouraged to take photos of plants they wish to identify, and garden volunteers will help identify them and answer questions. Picnic tables under cover are available adjacent to the Garden. Last garden entry is at 2:30 p.m. Admission is $10 per person, or free for Heronswood Garden members and PGS tribal members. The garden is located at 7530 NE 288th St. near Kingston. Guided tours are available on Tuesdays and Thursdays, and may be booked by visiting the Tours page or by contacting Steve Knowlton at sknowlton@pgst.nsn.us. Cost for a 1.5-hour tour is $20 per person, with a minimum charge of $200 for groups of

10 or fewer. For more information about any of Heronswood’s upcoming events please visit www.HeronswoodGarden.org.

Kitsap ag group creating interactive map of area farms as customer resource The Kitsap Community & Agricultural Alliance has recently sponsored the Kitsap Page in the 2016 Puget Sound Fresh Farm Guide, and KCAA is now creating its own interactive farm map. The organization would like it to be as comprehensive as possible and include all farms and food/ agriculture-related business. If you would like your farm or ag business included, please email the following info to kcaa4u@yahoo.com. The map will be a resource on the KCAA website helping link customers to local businesses. Info Needed: • Name of farm or ag-related business • Address • Phone # • Website link • Owner/contact Name

Meet Our Sales Team

(From L to R) Tabatha Irish, Julie Cooper and Vickie Lawrence

Your Sales Team are experienced industry professionals who understand the changing needs of the market. We are committed to finding more ways to enhance your real estate experience while constantly supporting your Title and Escrow needs. Providing superior customer service and professionalism to every real estate transaction. SILVERDALE OFFICE 2021 NW Myhre Road, Suite 300

BAINBRIDGE ISLAND OFFICE 921 NE Hildebrand Lane, Suite 200

www.pnwtkitsap.com

Tourism from 8

specializing in farm-fresh ingredients. Show your support for Kitsap’s growing agri-tourism programs and visit one of our many local farmers

markets on a regular basis. Take time to meet and talk with the farmers and producers and stock up on fresh, healthy local produce and products. You will ďŹ nd more information and resources about the agri-tourism scene at www.VisitKitsap.com/agritourism.

11

• Patricia Graf-Hoke is director of Visit Kitsap Peninsula, which markets the region to attract visitors and events. VKP has an office in Silverdale and may be contacted at info@visitkitsap. com or 800-337-0580.

FOR SALE INDUSTRIAL/VACANT LAND MLS# 647702 Price: $530,000 19.34 ac zoned (IND) industrial property within the Silverdale UGA. Easy access to State Hwy 3 off of Newberry Hill Road. Contact: Marcus Hoffman 360-271-0023 COMMERCIAL INDUSTRIAL MLS# 795626 Price: $155,000 Great location would be a great place for another church or nonprofit community group. Land is zoned UL, maybe able to be rezoned for more uses. Contact: Dennis Balduf 360-649-5053 COMMERCIAL MLS# 962507 Price: $160,000 Own a complete Event/Party Rental shop with all $150,000 worth of rental & office equip, website & affiliated rights. Includes very lg catalog of clients. Business is in high demand w/few competitors. Contact: Andy Graham 360-271-8266

COMMERCIAL MLS# 283763 Price: $399,000 Medical office built in 1994 w/4608 sq ft on one level. Conveniently located within a block of Harrison Hospital & rest of the Medical District in East Bremerton. Contact: Merv Killoran 360-308-2255 DEVELOPMENT POTENTIAL MLS# 860178 Price: $240,000 Large .67 acre site with a 1500 SF one-level residence-Preliminary drawing with engineering estimates to develop the sit into an additional 4 lots. Sewer on site Contact: Merv Killoran 360-308-2255 COMMERCIAL MLS#816250 Price: $600,000 Quality-Built office building at the entrance of Belfair just off Hwy. 3 tenants occupy building. All offices have bathrooms. Common area has kit, conf rm & 2 BA for staff. Contact: Merv Killoran 360-308-2255

Bainbridge Island

Poulsbo

206.842.5636

360.779.7555

Kingston

Silverdale

360.297.7500

360.692.9777

Port Orchard 360.876.7600

www.johnlscottcommercial.com

Bremerton 360.377.0046


Organic from 9

was ridiculous.” She believes sustainable practices accomplish the goals shared by farmers — certified or not — who want to be good stewards of their land. “I chose to go the organic route,” she said. “Common things like crop rotation, planting of cover crops, composting, and avoidance of contaminants (especially if it compromises a stream or creek or your water supply), I consciously think about in relation to the long-term use of our earth.” Dana Steege-Jackson said she and her husband, Aaron, “definitely believe in organic practices and follow them,” even though their Around the Table Farm in Poulsbo is not certified. But she added, “I think there’s a lot more than organic certification that can be done to be a sustainable farm.” That was echoed by McWhorter of Butler Green, who along with Wittick

MEEGAN M. REID

Max Gordinier uses twisty ties to attach pinot noir vines to the trellis wire at Bainbridge Island Vineyard, which grows certified organic grapes for the wines produced there.

was a mentor for SteegeJackson when she was a farm intern before starting Around the Table in 2010. “Actually a lot of the farmers, myself included, go beyond organic standards,” he said. And while McWhorter

and Sassenfeld said WSDA is helpful in working with organic farmers, there is widespread agreement among Kitsap’s small-scale growers that the national standards were influenced by the agribusiness lobby to make it easier for corpo-

PHOTO COURTESY MARY ELLEN HOUSTON

Houston said. “It’s coming back, it’s become very popular.” While there are some changes being made, the couple hopes to keep the spirit of Serka’s winery alive. They hope the small, community-based experience of the winery will appeal to local patrons. “It’s an experience, it’s not just about us selling wine,” Houston said. “It’s about us meeting people from the area, sharing our passion, educating them more as we educate ourselves on the whole process of winemaking.” The tasting room at Olalla Vineyard & Winery is open Thursday-Sunday from noon to 5 p.m.

Olalla from 7

room and on social media to advertise the business. While the learning curve may be high, the new owners are already shaking things up. The pair plan to ramp up production from 200 cases a year to 600 by supplementing the grapes they grow on site with fruit imported from Eastern Washington. They are also in the process of obtaining a conditional use permit that would allow them to host events such as weddings. However, the most unique change may be the adoption of clay amphoras for the primary and secondary fermen-

New owners Mary Ellen Houston and Stuart Chisholm in the tasting room at Olalla Vineyard & Winery.

tation of wine. Houston said the large containers, Italian-made, harken back to ancient times when they were the primary vessels for wine. “The amphora is an unusual way to make wine,”

www.KPBJ.com

rate-owned factory farms to get organic certification as a marketing boon for their products. “For a lot of farmers,

there’s a whole debate about how good is the organic certification system,” Wittick said. “The original intent behind it was that the farm owner would be involved in farming. … I believe what I’m doing is really different from corporate organic.” McWhorter recently took over the crop and livestock operations at HeyDay Farm on Bainbridge Island after managers Craig and Alice Skipton moved on. He plans to get HeyDay certified for organic crops, but not for poultry and eggs. “I’m not going to certified for my eggs; they’re not going to be organic eggs,” McWhorter said. The laying chickens will be “pasture-raised, free-range, … but they’re not going to have totally organic grain, because that’s double the cost of grain.” The Smithshyre and Abundantly Green also have pasture-raised poultry, which they consider

superior to some chickens classified as organic. “A chicken stuck in a building its whole life is considered organic if it is fed ‘organic’ feed, but to us that is not ‘organic,’” the Smithshyre operators said. Steege-Jackson said Around the Table displays signs at its farmers market booths that explain the farming practices they use. “That’s part of what we’re about is educating people,” she said. “What does a sustainable farm look like? What does it take? “And why is our product worth more than something you might buy that come from California?” That gets back to the overriding belief in locally grown food. “The most important thing a consumer can do who cares about what they eat and how food is grown,” Nikki Johansen said, “is to know their food source.”


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The catalyst for business prosperity, connection, and opportunity.

2016 GOLF TOURNAMENT

EVENTS CALENDAR JULY 12

Business U: Cyber Security 5:30 - 6:30 pm at Poulsbo Chamber of Commerce

JULY 13

Business Networking Luncheon Speaker - Brad Worthley is an internationally acclaimed leadership, customer service and motivational expert and author. 11:30 - 1:00 pm at Gateway Fellowship Hall

JULY 21

Monthly Business After Hours: Well Being Health Center 5:00 - 7:00 pm at 19045 WA-305 #190, Poulsbo

JULY 28

Annual Golf Tournament White Horse Golf Club - Registration begins at 11 a.m.

Thursday, July 28 White Horse Golf Club 11:00am - Registration & Driving Range Open 11:30am - Putting Contest Begins 1:00pm - Tournament 6:00pm - Dinner, BBQ & Awards Ceremony

$125 per Golfer ($135 after June 30) $450 per Foursome ($500 after June 30) Reserve online or by phone poulsbochamber.com/golf-tournament • (360) 779-4999 Photo courtesy of P5 Photography

July Luncheon: Brad Worthley Brad Worthley is an accomplished business consultant with over 42 years of management experience. He is an internationally acclaimed leadership, customer service and motivational expert who has trained hundreds of thousands of people in a wide range of industries throughout the world since 1991.

JOIN NOW! Interested in becoming a member of the Poulsbo Chamber of Commerce? Call us today at (360) 779-4999 or visit www.PoulsboChamber.com


18

| July 2016 |

People in Business West Sound Workforce adds staff members West Sound Workforce, a staffing and recruiting firm with offices in Gig Harbor and Poulsbo, announced the hiring of Sue Haugan of Bainbridge Island as business development manager and Crystal Nixon of Port Sue Haugan Orchard as a recruiter. H a u g a n brings more than 30 years of experience in the staffing industry to her role, and has a Crystal Nixon background in developing hiring programs for administrative, customer service, healthcare and light industrial staffing. Nixon has a bachelor’s degree in Business and Human Resources Management, and is skilled in handling diverse workforce needs. West Sound Workforce (westsoundworkforce.com) is a fullservice temporary and direct-hire staffing and recruiting company serving public and private clients in Kitsap, Pierce, Jefferson, Mason and King counties.

Paratransit recognizes employee with top performance award Paratransit Services presented the Bill Dane Award, its highest professional performance appreciation award, to Lisa Sims, the human resources, payroll and benefits manager at the company’s corporate office in Lisa Sims Bremerton. The annual award is named for the late William R. “Bill” Dane, a former Paratransit driver who exemplified the spirit of customer service (and who came to be affectionately known by his passengers as “the singing bus driver”). Paratransit board of directors chairman Bill Mahan noted that Sims has displayed a “can-do, getit-done attitude.” He added that any time the company has work that needs to be done, Sims can be counted on to accept the challenge “and that’s really what Bill Dane was all about.” Sims has been with Paratransit since 2002, when she was hired as payroll manager. Founded in in 1980, Paratransit Services operates accessible public transit systems in Washington, Oregon and Northern California.

Business Briefs Greendrinks plans night out at Kitsap BlueJackets game

July 11 to rsvp4silverdalegreendrinks@gmail.com.

The next Silverdale Greendrinks gathering will take place at the Kitsap BlueJackets baseball game on July 13 at the Kitsap County fairgrounds. As always, the event time is 5:24-8:03 p.m. The designated nonprofit that this month’s Greendrinks will support is the Bremerton Historical Ship Association. Admission is $10, and beer or wine will be available for $2 at the stadium. To sign up for this event or to be on the email list, respond by

Coates Architects receives awards for innovative design Coates Design Architects has received design awards for the firm’s architectural contributions to the Bainbridge Island Museum of Art and the Eagle Harbor Market Building at the Island Gateway complex on Bainbridge Island. The Eagle Harbor building, designed by Coates and built by PHC Construction, was rec-

Kitsap Bank makes two executive promotions Kitsap Bank recently announced the promotions of Elizabeth Robertson and Natasha Pugh. Robertson was promoted to Vice President/ Credit Administrator, with responsibility for underwriting and approvNatasha Pugh ing commercial, consumer and mortgage loans. She joined Kitsap Bank as Vice President/ Credit Officer in January 2015. Pugh was promoted to Elizabeth Robertson Assistant Vice President/ Credit Officer. In this role, Pugh will have responsibility for underwriting and approving commercial loans. She has been with Kitsap Bank since August 2015, and previously worked in commercial credit for 16 years. Pugh holds a bachelor’s degree from the University of Washington and is a graduate of the Western School of Commercial Lending and the Microsoft IT Academy.

ognized for Outstanding Use of Architectural Copper in Building Design and Construction. The North American Copper Development Association and the Canadian Copper & Brass Development Association recognize building projects in the United States and Canada for their exceptional use of architectural and copper alloys. The building was designed to be a sophisticated and distinctive neighbor to the adjacent Bainbridge Island Museum of Art. Coates Design also received the top award for excellence in concrete design and construction for the art museum, also built by PHC. This award, given by the Washington Aggregates & Concrete Association, noted the building’s juxtaposition of con-

The Point Casino & Hotel hires former Port of Kingston manager The Noo-Kayet Development Corp. (NKDC), the tribal enterprise charged with economic development for the Port Gamble S’Klallam Tribe, announced the hiring of David Malone of Hansville as director of hotel operations for the The Point Casino & Hotel. The 94-room hotel is expected to open late this year and Malone’s hiring is the first fulltime position filled at the new property. Malone resigned from his position as Port of Kingston manager in October, ending a two-year tenure that saw the port become embroiled in multiple lawsuits over the eviction of Kingston Adventures from the port’s marina, and over handling of public records requests. Malone comes to The Point Casino & Hotel with extensive experience in hotel and hospitality management, including opening new properties. Malone will manage and oversee all aspects of the The Point Hotel’s operations, including accounting, human resources, sales and maintenance. “Dave has the skills and experience to help us create a guest experience that will fully realize our vision of The Point Hotel becoming a destination location,” said Chris Placentia, CEO of NooKayet Development Corp. crete and glass. Coates Design Architects is a Bainbridge Island-based fullservice architectural design firm. For more information, visit www.coatesdesign.com.

Grant will help Port of Bremerton do marketing study The Washington State Community Economic Revitalization Board (CERB) has awarded a grant to the Port of Bremerton for $49,500, to provide financial support for a marketing feasibility study. The goal of this study is to enhance the port’s real estate portfolio and ultimately increase business development within

The Point Hotel, which broke ground in last September adjacent to casino, will offer a meeting space that will accommodate up to 100 people, an indoor/outdoor lounge, and a large outdoor gathering area with a kitchen and fire pit. For more information, visit www.the-point-casino.com/hotel/.

Thomas Driver

Franchisee’s third Dickey’s Barbecue opens in Gig Harbor The third Dickey’s Barbecue Pit operated by franchisee Thomas Driver of Port Orchard opened in June in Gig Harbor, at 4726 Borgen Blvd. in the Harbor Hill development. Driver opened his first Dickey’s on Mile Hill Drive in Port Orchard in 2014, and added a second location in Poulsbo’s College Marketplace last year. Dickey’s Barbecue Restaurants, Inc., is a barbecue chain founded in 1941, and the Dallasbased family-run franchise has more than 550 locations in 43 states. For more information, visit www.dickeys.com. existing infrastructure of 1,700 acres. The port is contributing $25,500 in matching funds to this project. This funding will be used to perform a specialized market study conducted by Heartland LLC, based out of Seattle. The study will assist the city of Bremerton in its efforts to increase jobs in Kitsap County. “We are looking forward to beginning this project. We see it as an opportunity to better refine our marketing strategy and to more aggressively pursue our target markets,” port CEO Jim Rothlin said. The development of a more complex market study will help to specifically identify what type See GRANT, 23


EWSLETTER KBA NEWSLETTER

2016 Officers

VISIT the HBA Website!

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

www.kitsapbuilds.com THURSDAY, JULY 7 Developers Council Mtg., 7:30am

2016 Builders & Assoc. Directors Bill Broughton, Ellen Ross-Cardoso, 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

FRIDAY, JULY 8 36th Annual Builders Classic Golf Tournament Rolling Hills Golf Course 11:30 Check-in 1:00pm Shotgun Start Awards & Dinner immediately following the tournament. Register online at www.KitapBuilds.com or call the KBA directly WED.–THURS., JULY 20-21 Certified Erosion & Sediment Control Lead (Class), 8am—5pm @ KBA Register with BIAW (360) 352-7800 FRIDAY, JULY 22 Certified Erosion & Sediment Control Lead REFRESHER COURSE 8am – 5pm at the KBA Register with BIAW (360) 352-7800 THURSDAY, JULY 28 Executive Committee • 2:00pm Government Affairs Cmt. • 2:30pm* Board of Directors • 3:30pm * Note: During election season, this time may shift. Please check with the KBA for start time. NOW TAKING RESERVATIONS FOR THE PENINSULA HOME & RECREATION EXPO Sign up today to reserve a booth Visit www.KitsapBuilds.com or call The KBA today!

2016 Alternate State Directors

Don’t miss this terrific opportunity to promote your recreation business in Kitsap and beyond! Sign up today for a booth at the NEW Home & Recreation Expo! This is the only expo on the greater peninsula for you to promote your recreation focused business. Don’t miss it!

Rick Cadwell, Kevin Hancock, Byron Harris, Justin Ingalls

Life State Directors Bill Parnell

2016 National Directors Berni Kenworthy, Shawnee Spencer, Kevin Ryan

WHEN: September 30, October 1, October 2 – 20 hours open to the public! WHERE: Kitsap Sun Pavilion at the Kitsap County Fairgrounds 10 X 10 professional booth space for as low as $275. First Right of Refusal for the 2017 Expo when you participate in the 2016 event! The Peninsula Home & Recreation Expo is perfect for any company that has a service or product that is focused on recreation. Kitsap is the Natural Side of Puget Sound! Promote your business and encourage area residents to get involved with your product or service! Whether your business is focused on indoor or outdoor, on land or on the sea, the Peninsula Home & Recreation Expo is an affordable way to promote what you do! The Peninsula Home & Recreation Expo is owned and operated by the Kitsap Building Association. We have been offering and managing local Expos for decades and offer our vendors professional booth space, onsite management support, and extensive advertising to bring the public to the Expo. Please call the KBA office at 360-479-5778 or check out all the registration information on our website at www.kitsapbuilds.com.

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

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

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Kitsap Building Association • www.kitsapbuilds.com Events And Activities JULY 2016


Kitsap Building Association • www.kitsapbuilds.com

President, 2016

Diversity is the Key We have all heard the saying that “There is diversity in numbers” or in the case of a stock portfolio “Better to have a diverse portfolio than to place all your eggs in one basket. The same is true today as construction industry professionals. If there is one lesson to be gained from the recent Great Recession of 20082012 it is that in order to survive our businesses must become diverse. Those who survived have shown that they can adapt to the many changes that have taken place. Changes in lending practices, workforce availability, shortages in buildable lots, changes in technology, and continued pressures of increased regulation are just a few examples. For those in the lending industry you are well aware of the increased amount of checks and balances now placed on lenders and those who borrow from you. As our economy continues its recovery and pressures increase to keep up with the demands for new construction loans those borrower’s with a track record of keeping their portfolio’s well balanced will be in a much better position to weather the next downturn when it comes. The shortage in our industry of skilled labor in the trades is and will continue to be a concern for all in our industry. Does your company continue to reach out to younger workers and spread the word that this is an amazing, rewarding and challenging business? If your core base of workers is between 40-50 years of age it is time to recruit and train for the next generation. Instill in your seasoned crew the need to continue to train those coming up. They will not only get satisfaction in teaching others but they will gain a sense of accomplishment that they are leaving part of their legacy to others and making the company stronger because of it. Recently we closed on the sale of a residential lot and I was reminded of how the recent increase in Real Estate demand continues to keep pressure on the availability of lots for builders. As most of us know lot creation is restricted by many government regulations passed into law that keep the permit process slow. How can you make a difference? Talk with your legislature and local officials and let them know that without reasonable development regulations we will continue to restrict those who want to come into our community and help drive the Construction Economy. Information Technology continues to define how we do business. Recently we updated our company contacts data base and if was interesting to note that there are very few “old timers” who do not have an e-mail address as part of their contact data. Most documentation is now available to be communicated to others instantly and the days of waiting for information to arrive by regular mail is rare. Does your company embrace technology and implement new ways of using this to your advantage? By continuing to look at what works for you and what does not, never forget that in order to gain market share you must be always stay diverse in your approach so as to not be left behind.

Teresa Osinski CGP Executive Vice President The KBA continues to be engaged and active in crucial, local, industry regulatory issues. In addition to testifying on area Comprehensive plans, the KBA has been directly involved in the County’s stormwater code update. These issues are all technical and require a significant amount of time. There are several dedicated members that donate countless hours each year helping to improve and protect the construction trades in Kitsap. They dedicate their time because without their contribution, insight, and real-world experience our county and municipal leaders would make ill-informed decisions. A recent example best relates this truth. While the County was in the final stretches of its comprehensive plan development they were also preparing to reply to the Growth Management Hearings Board on a mandate to present a list of “Reasonable Measures.” In this context, Reasonable Measures refers to a list of policies the County would adopt that would be reasonably likely to either discourage development outside the designated Urban Growth Area (UGA), or encourage greater development within the UGA. With no notice or opportunity to review the County’s 6 draft measures, the KBA Developers Council was given a briefing on these proposals in late April. The 6 Reasonable Measures (RM) were ill-conceived and most were written from the perspective of “sticks” rather than “carrots.” The general perspective of the KBA was that these 6 draft policies were unlikely to affect where development would occur in the County but would drive up the costs of construction, take property from thousands of invested property owners, and almost guarantee ongoing litigation. The KBA, at the suggestion of these active volunteer members, held a meeting with the two Parties to the previous litigation; the Suquamish Tribe and Mr. Jerry Harless. Based on testimony at the Planning Commission it was clear the KBA and the Parties were more in line with each other than with the County. In a brief meeting we drafted 9 incentive focused alternative measures. Incentives are important because what the County really needs to do is to encourage the free market to invest their money in preferred (UGA) areas over other areas. If the County wants more in-fill and UGA development then it behooves the County to reduce barriers. It is our understanding that the list submitted to the Growth Management Hearings Board reflects the cooperative effort of the KBA, the Suquamish Tribe and Mr. Harless. We may not agree on every aspect or detail, but this cooperative effort will surely improve outcomes for years to come. Due to excessive regulation, lending challenges, labor shortages, and increasing demand, housing in Kitsap is not keeping pace with need. Rents remain expensive and unavailable, and housing stock expensive and limited in supply. It is essential we continue to be vocal about these issues. The KBA is not only the voice for the industry but also the unsuspecting public that have an expectation of affordable housing options. The collision of economic and regulatory constraints is pushing up the cost of housing.

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EWSLETTER KBA NEWSLETTER

Kevin Ryan Tim Ryan Construction


Kitsap Building Association • www.kitsapbuilds.com

EWSLETTER KBA NEWSLETTER

Miriam Villiard, Heritage Builders NW LLC

Recently I attended the BIAW Summer Board meetings in Wenatchee. As I participate in these meetings, I am reminded how important the construction industry is to our local, state, and country’s economy. From the one-person business to the large businesses, we all have the same fundamental needs, and we all provide the same fundamental service as a representative of the construction sector. A need that many of us don’t think about daily is the need for a representative organization willing and able to monitor and influence our local, state, and federal government to keep regulations and legislation in check. Members get that through the KBA, BIAW, and NAHB. I was reminded in Wenatchee what a great job BIAW is doing for us! Your membership in the Kitsap Building Association supports those efforts. At the BIAW board meeting’s luncheon, we had the pleasure of hearing Bill Bryant (R), candidate for Governor of Washington State. What a breath of fresh air and renewed inspiration for Washington State! Bill is pragmatic, strategic, intelligent, articulate, successful business owner here in Washington State, and has a proven track record earned during his tenure as King County/Seattle Port Commission as a leader and productive builder of coalitions. After graduating from Georgetown University with a degree in trade and diplomacy, Bill began working in the Yakima area and effectively opened up new export markets for Washington’s apples, pears, and cherries. Twenty-three years ago he and his wife Barbara moved to Seattle where Bill founded BCI in their basement with a phone and fax machine. BCI is a firm that helps farmers and agricultural companies export their crops. Today, BCI employs 35 people and has successfully opened new markets for Washington agricultural products across Europe, Asia, and Latin America. Bill’s experience working with one of Washington State’s largest export markets, building a successful business, and an 8-year tenure at the King County/Seattle Port Commission provided him the foundation and understanding needed to take the next step and run for Governor of Washington State. There are three things that set him apart from our current Governor. 1) Leadership style. He’s not a career politician. His background is from the private sector and working with governments building coalitions to expand Washington agricultural products export market. 2) Fiscal responsibility. During his time at the King County/ Seattle Port Commission he implemented a culture of accountability and fiscal responsibility and held or cut budgets. 3) Strategic vision. Bill recognizes the importance of strategic planning and plans to prepare 4, 7, and 10 year strategic plans for Washington State. His strategic planning is evidenced in the coalitions built resulting in the expansion of Washington’s agricultural products export MEMBER ADVANTAGE: destinations and in the consolidation of the Seattle and Tacoma seaports, which As a KBA member you are also a member of the National Association of saved money and kept jobs in Washington State. Home Builders. In addition to advocating for the industry with our nation’s Bill Bryant’s vision for Washington State is about Washingtonians pulling congress members, in the courts, and among regulatory agencies, NAHB has together, so people can find good jobs here, raise their families here, and pulled together incredible buying power deals for our members! As you make retire here in this beautiful state. To learn more about Bill Bryant, visit www. plans to travel with summer don’t forget to check out Hertz, Budget and also Avis! For all the details go to nahb.org/ma! billbryantforgovernor.com

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Government Affairs Committee


Kitsap Building Association • www.kitsapbuilds.com Catherine Ecker – Morrison House Sotheby’s Catherine Ecker 3004 Harborview Drive Gig Harbor, WA 98335 (253) 292-9288 kitsaprealestate@gmail.com And the SPIKE goes to… Ronald C Hutchinson Hutch-Con Construction Inc.

UPCOMING CLASSES – The KBA — Your source for education! KBA classes are affordable, local, and on topics important to your business. All professionals are welcome to register and attend our classes. July 20—Certified Erosion & Sediment Control Lead (2 days) July 22—CESCL Recertification—8am

Rodda Paint Co Kelly Worden 3276 NW Plaza Rd, Ste 107 Silverdale, WA 98383 (360) 698-6792 (360) 698-6842 Fax kworden@roddapaint.com www.roddapaint.com

Oct 26 – Construction Management – 8am Nov 2- Estimating for Builders & Remodelers – 8am All courses listed above will be at the KBA office in Bremerton. Please register directly with BIAW at www.biaw.com, or call the KBA office for assistance (360-479-5778).

And the SPIKE goes to… Chad Lyons Lyons Painting & Design, LLC

THANK YOU RENEWING MEMBERS 27 Years! Harrison Homes LLC Grandy Marble & Tile Inc. 26 Years Smallwood Design & Construction Inc.

All Trades Mechanical Inc. (14) Cloise & Mike Construction Inc Creative Countertops Inc. Sound Construction & Coating Inc. Inspection & Permit Services 10 Years NL Olson & Associates Inc

Over 20 Years Kitsap Plumbers Group Inc. (24) Crabtree Drilling Company Sound Excavation Inc. Jennings-Heins & Associates Inc.

Over 5 Years Sterling Estates (9) Orca Remodeling & Plumbing Services LLC

20 Years Mentor Company

5 Years The Cadwell Group

Over 15 Years Ritzman Construction LLC (19) Randy Biegenwald CPA PS 15 Years Advanced Rentals & Sales Newton Construction

Over 1 Year Lyons Painting & Design, LLC (4) Sears & Associates Insurance Kitsap Bank/Mortgage Division Directors Mortgage Broughton Law Group

Over 10 Years Robison Plumbing Service Inc. (14)

1 Year The RockFish Group Olympic Organics LLC

KBA members participating in ROII® Select received almost $500,000 in returns in June! Member companies are encouraged to apply for the ROII® Select program and have a chance to get back significant refunds from the insurance premiums they pay into Labor and Industries. The ROII® Select program is an investment that includes an array of services for our member companies. The average KBA participating member company received over $5,000 this summer! What would you do with a check returning money to you from the premiums you pay for your employees in Washington State? How much more competitive might you be if you anticipated a windfall each summer? ROII® Select is a risk pool, and there are no guarantees but with the professional pool management, excellent staff ready to help you navigate claims, and expert staff able to help you manage risks in advance, participating member companies are well positioned for the competitive advantage and annual returns. Thank you BIAW and the ROII® Select staff for another terrific return! Statewide, over $15,000,000 was returned to member companies.

KBA NEWSLETTER KBA NEWSL

EWSLETTER KBA NEWSLETTER

WELCOME NEW MEMBERS


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24

| July 2016 |

BUSINESS STRATEGY | DAN WEEDIN

What message is your company sending?

L

ast month, I went on my annual weekend golf outing with my high school buddies. We go somewhere new every year and play four rounds of golf, eat too much food, and generally pretend we are still in high school. At our final course this year, I went to pay for my green fees with my American Express card and the employee behind the counter said, “Sorry, you’ll have to pay with Visa or MasterCard.” I found it odd that a golf course the caliber of this one didn’t take every single credit card on the face of the earth! I shrugged and changed cards and went to thefirsttee.Afterourround, we had our final lunch together, and as is the case with all our meals, we draw two credit cards from a hat andthosetwo“losers”getto pay the check for the group. Unfortunately for me, this time I was one of the “losers.” When I received my check, I noticed that imprinted on the leatherboundcoverwastheAmerican Express logo as the desired method of payment. This made me chuckle. Either theemployeeat thegolf shop didn’t get the memo or theyhadtwosetsofrulesfor the same place. Regardless of the reason, one thing was certain. The golf course and restaurant were sending a mixed message. One side of the company accepted a form of payment, and the other side didn’t. Is your company inadvertently sending mixed messages both internally and externally? It’s not uncommon for companies to send out mixed messages to employees. Notwithstanding a company’s size or industry,

humans are susceptible to such errors. For example: • Inconsistent treatment of employees when it comes to promotions, pay increases, and time off • Inconsistency regarding discipline and reasons for termination • Inconsistent hiring practices and training • Lack of follow-through on new procedures and practices • Failing to properly communicate changes • Failure to set adequate contingencies, leading to confusion and frustration in time of crisis • Saying one thing and doing another Don’t tell me this only happens at other companies; that you’re immune to it. I have yet to observe a company that doesn’t have atleastafewinconsistencies that lead to internal strife. To fix these issues, allow me to offer some internal best practices and suggestions: 1. Don’t worry about being perfect. I talk to business owners that aspire to have a perfect culture, perfect employees, and perfect harmony. There is perfection in imperfection as long as it’s part of the humanness of a company. Take perfect out of the equation and strive for exceptional. There’s a big difference. 2. Be consistent. Just like one organization should accept the same credit cards, you should be consistent with how you treat employees when it comes to benefits, pay increase opportunities, and advancement guidelines. 3. Become fluent in speaking their language. Make sure you’re clear in how you communicate your message, your priorities, changes in procedures, or anything else that requires education. It’s your message, yet you need to deliver it in way that is un-

derstood and implemented. 4. Get help. Subscribe and join associations and groups that provide information and education on human resources. Hire experts to help you navigate challenges and find solutions. Be vulnerable enough to admit that investing in help will ultimately make you a better company. It’s also a reality that messages can get mixed up externally, just like my story depicts. • Is your sales team making promises it can’t keep? • Is your brand clear to your target market, or are you trying to be everything to everyone? • Is your website current? The worst thing you can do in 21st-century marketing is becoming obsolete in a post-Yellow Pages world. • Does your customer service team treat customers as you wish they would? How do you know? • Are you accessible to people you most value as customers and clients? To fix these issues, allow me to offer some external best practices and suggestions: 1. Invest time, money and resources into assuring your sales message and vision resonates with the entire operation. Sales must know what is practical for steady growth without becoming a burden to operations. 2. Create a plan to monitor your cyber presence. That includes your website and social media platforms. Respond to concerns and stay current. 3. Hire and train customer service people that like talking to people. I’m not kidding. Have you ever had a conversation with a customer service person that was surly, uninterested, or even just rude? You know what I mean then! 4. Engage your employ-

ees. Ask them for help and suggestions for improvement when it comes to your external message. If you want to truly be significant and successful

in business, you must communicate your message both internally and externally. Your employees must understand and exemplify your mission and vision. Your clients and customers need to know what you do and how you’ll help them. It’s pretty basic, but important. Sort of like knowing which credit cards to ac-

cept, right? Make sure you keep your message clear and concise, so that your companycanbeUnleashed. • Dan Weedin is a strategist, speaker, author and executive coach. You can reach Dan at 360-697-1058; e-mail at dan@danweedin. com or visit his website at www.DanWeedin.com.

KEDA HAS MOVED! Visit our new office in the beautiful Cavalon Place II Building in Silverdale Kitsap Economic Development Alliance Cavalon Place II 2021 NW Myhre Road, Suite 100 Silverdale, WA 98383

You can still reach us at: 360-377-9499

SAVE THE DATES: Kitsap Aerospace and Defense Alliance Annual Meeting August 23, 2016 Maritime Defense Symposium September 13, 2016 Decision Makers II October 20, 2016

Watch the KEDA newsletters, blog and calendar for details. Visit our website for a complete list of upcoming events.

Kitsapeda.org


Touch a

LIVE

geoduck at

B ELFAIR L ICENSING | V ISITOR C ENTER

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

MAKE A NOTE OF IT UPCOMING CHAMBER EVENTS

ENGAGE … ENERGIZE … EXCEL

7:30 a.m. – 9:00 a.m. Build Your Business Breakfast “Maximize Your Membership” Stephanie Rowland President & CEO

Linda Rogers, North Mason Food Bank, was surprised twice at last month’s Chamber luncheon. Not only was she honored as a recent recipient of the Governor’s Volunteer Service Award, she was named our Member of the Month. Congratulations, Linda!

Ruth Beavan and her husband, Thom, joined in the festivities at our June After Hours at the Lucky Dog Casino in Skokomish. Special thanks to Julia Gillespie and everyone at the Lucky Dog for a fantastic event.

North Mason Rotary August 13 Downtown Belfair www.tasteofhoodcanal.com

Leanne Sanchez, Hood Canal Travel, and Adena Clark, North Mason Chamber, serve up Harry Martin’s World Famous Oysters at last year’s Taste of Hood Canal. The North Mason Rotary is planning another exciting event on Saturday, August 13

WEL LCOM M E NEW M EMBE ERS Harstine Island Community Choir www.harstinechoir.org

Psychic Intuitions 22691 NE State Route 3 Belfair, WA 98528 (206) 673-0028

The Community Foundation of South Puget Sound 212 Union Ave SE Olympia, WA 98501 (360) 705-3340 www.thecommunityfoundation.com Sherwood Creek Children’s Center Allyn, WA 98524 (360) 801-6294

OYSTERFEST Skookum Rotary October 1 & 2, Shelton www.oysterfest.org

BELFAIR SATURDAY MARKET Through September 9:00 a.m. – 2:00 p.m. HUB Center for Seniors, Belfair www.belfairfarmersmarket.com

P A G E

Hoodsport Coffee Company 24240 N. Hwy 101 Hoodsport, WA 98548 (360) 877-6732 www.hoodsportcoffee.com

Open Mortgage, LLC Patricia Bigford (425) 207-4270 www.openmortgage.com

September 3 & 4 Belfair State Park www.hoodcanalscots.org

C O M M E R C E

On July 12, the Chamber will host its quarterly luncheon at the Alderbrook Resort & Spa, on “The Art of Creative Collaboration.” Members Kerry Myers and Jeff Nunnemaker of Hood Canal Events in Union, and Daniel Warn and Randell Seymour of Radsaw Films in Allyn will discuss special projects involving local businesses.

O F

11:30 a.m. – 1:30 p.m. Chamber Luncheon in Belfair Theler Community Center Rick Garza, Director Washington State Liquor & Cannabis Board Sponsor: Wittenberg CPA, PS

HOOD CANAL HIGHLAND CELTIC FESTIVAL

C H A M B E R

WEDNESDAY, JULY 27

July 30 Fair Harbor Marina Grapeview www.grapeviewwa.com

TASTE OF HOOD CANAL

THURSDAY, JULY 14 5:00 – 7:00 p.m. After Hours “Lawn Party” Cameo Boutique & Wine Shop Union

GRAPEVIEW ART & WATER FESTIVAL

J O U R N A L

11:30 a.m. – 1:30 p.m. Chamber Luncheon in Union Alderbrook Resort & Spa “The Art of Creative Collaboration” Hood Canal Events & RadSaw Films Sponsor: Zech Interiors & Design

July 15-16-17 Downtown Allyn www.allynwa.org

B U S I N E S S

ALLYN DAYS & GEODUCK FESTIVAL

WEDNESDAY, JULY 6

TUESDAY, JULY 12

FESTIVALS & EVENTS

P E N I N S U L A

Allyn Days & Geoduck Festival

K I T S A P

CHAMBER NORTH MASON


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| July 2016 |

Coffee Oasis to open café in donated building ■ Owners of former KFC in Bremerton gave the property to the nonprofit youth ministry By Tim Kelly

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

The Coffee Oasis will open its new Bremerton café at 301 Naval Ave. in July at the former KFC building that was donated to the nonprofit organization. The property was given to Coffee Oasis by the Centioli family of Seattle that formerly operated the KFC. The building, which is near the shipyard’s Naval Avenue entrance gate, had been vacant since 2008 and the site had become an eyesore. But it has been renovated — with a big assist from community volunteers and local businesses — for use as a full-service café with seating for 40 and drive-thru access. The drive-thru stand Coffee Oasis operated for several years on a small lot at Sixth Street and Veneta closed June 18 for relocation to the new site. On July 9 there will be a grand opening of the Naval Avenue café that members of the Centioli family will attend. The Coffee Oasis, which has a mission of helping homeless and at-risk youth in the communities it serves, has locations in Bremerton, Poulsbo and Port Orchard that operate cafés and house youth centers that provide job training and other services, including an overnight shelter at the Bremerton site on Burwell Street. Another Coffee Oasis is planned in Kingston. The new location — less than a mile from the Bremerton café — will not have a youth center, but willprovideexpandedjobtraining opportunities for teens as baristas and kitchen workers, executive director Dave Frederick said. Moving the drive-thru coffee

Roads from 23

parking garage and new entry into the campus from Ridgetop. Part 2: Expanding the existing hospital to 240 beds from 94 beds, relocating a helicopter pad, add-

LARRY STEAGALL

The former KFC building, which sat empty and boarded up for years on Naval Avenue near Burwell Street in Bremerton, is being transformed into a Coffee Oasis café and drive-thru that will open in early July.

stand from a small leased site to the larger location Coffee Oasis

now owns on Naval Avenue will help the bottom line, but Freder-

ick said the nonprofit will utilize the 2,200-square-foot building to enhance its growing business operations in other ways as well. “Of all our locations, the drivethru has been the most underperforming,” Frederick said, noting the limited capacity of the previous drive-thru site. A new component of the nonprofit’s business side is a repair service for espresso machines at Coffee Oasis locations and for its wholesale coffee customers. A workshop for that will be set up in a storage room at the new location. Another recent development is doing all baking in-house at the Burwell location to supply the three cafés, and the newest venture is the online Real Cof-

ing a new diagnostic and testing section, new patient floors and two floors to the parking garage. Part 3: Adding a multistory tower no higher than 180 feet for a total of 350 beds, 840,000 square feet and 1,322 parking spaces. The county received no public comments on the application. At

the public hearing, senior county planner Jeff Smith testified that he reviewed the agreement and believes it complies with all requirements. He said that Harrison is enthusiastic about moving forward immediately with the proposal. “It was a very cooperative pro-

cess,” Smith said. “There’s mutual benefit between Kitsap County and Harrison Hospital. There were over 12 intersections that were analyzed based on level of service. We came up with a mitigation plan, and this is what was agreed upon. It makes sense. This is what worked.”

MEEGAN M. REID

The long-vacant building is taking shape as the new location for The Coffee Oasis.

fee Club for subscription sales of roasted beans. Frederick said catering also is a growing and profitable part of the business. Each café handles smaller events in its local area, but catering for bigger events comes out of the Bremerton café, which has the largest kitchen. “The potential is huge” for the catering business, he said, noting that Coffee Oasis recently catered an event in Poulsbo for 500 people, the largest it’s ever done. “We might shift the baking or catering, one or the other, over there (to Naval Avenue),” Frederick said, “because we’re hoping with the baking that we can start maybe even wholesaling some of that. It’s doing really well.” Overall, he said, it’s gratifying that the nonprofit is seeing its business operations provide a greater share of funding for its youth ministry. “Beginning last year, the businesses, after all these years, really kind of turned the corner and became a lot stronger,” Frederick said, which enables Coffee Oasis to be more self-sustaining. The various enterprises had net revenue of nearly $25,000 in May, a month when charitable donations to the organization declined. “We’re doing some things to hopefully continue to really strengthen the sustainability model of the business,” he said. That would mean the organization wouldn’t need to rely as much on grants and donations to fund day-to-day operations, and instead those contributions could go toward new projects and expansion. “It’s moving that direction,” Frederick said. “It’s encouraging.”

www. KPBJ.com


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HAPPY ANNIVERSARY! Silverdale Chamber of Commerce is Turning 43!

The h Heartbeat b off Kitsap Peninsula! l

Silverdale Trivia

SEE WEBSITE EVENTS FOR MORE DETAILS SilverdaleChamber.com/events July 5 & 19 – Good Morning Kitsap • HopJacks • 730-900AM • Network with other business owners

July 26 – Your Business Academy at HopJacks • Speaker: Ken Sethney • 730AM-900AM July 27 – General Membership Luncheon • Arena Sports Bar & Grill. Education CarnivalRaising Funds for Education Scholarships 11:00AM-1:00PM July 29, 30, & 31 – Whaling Days • Silverdale Waterfront Starts at 5PM Friday July 30 – Rotary Breakfast 7AM-11AM at Silverdale Methodist Church • Whale of a Run-Meals on Wheels 8:30AM • Silverdale Parade 10AM on Silverdale Way-Silverdale Dandilions July 31– Silverdale Rotary Big Duck Race 1:30PM • Dyes Inlet Dash Outrigger Canoe Race, Go to Whalingdays.com for information and registration

Answers: 1. The Business Pillars of the Community and it was spearheaded by the Silverdale Dandy Lions that realized we need a Chamber for businesses. Glen A. Gordon MD President 1973/74, J. Michael Koch, Paul Goheen, Larry Johnson, Don Lewis, Paul Linder- President 1985, Gerry Lyon, Commander R.D. Melim, Pete Ross, Ron Ross- President 1975, Rick Smith, Pat Tucker, Doc Gordon, Don Langhorn -President 1978 | 2. Silverdale Dandy Lions and Silverdale Chamber of Commerce. | 3. Silverdale Dandy Lions | 4. Gary Bowlby of Gary Bowlby Photography has been a member since 1974 and was President in 1977 &2004. He is also an Honorary Member. One of four prestigious awards ever given. He was also a Silverdale Dandy Lion. | 5. The Central Kitsap Chamber of Commerce

BECU • First Federal • Fix Auto Silverdale • Race Directions • Ollie the Otter • Kitsap Regional Library • Lukas Rose Band Brian “Buck” Ellard • Sweet T & Justice • NW School of Dance • Silverdale Halau • Olympic College • Sparky • McGruff Home Depot • REI • Safeway • Catie’s Creations • Team Goldmeister • Zakariya Sherman-Story Teller Youth for Christ • Cash Brewing Company • Kristina Hanson-Zoomba Keyport Mercantile • Sluy’s Bakery • Keyport Grandview Gardens B&B • Blue Heron Jewelry Company • Keyport Casa Mexico • Blue Water Art Gallery Keyport Whiskey Creek • Sogno di Vino • Kitsap Mosaics’ • Cups • Slippery Pig • Tizley’s • Hot Shot’s Java • Marina Market • US Power Squadron

ARE YOU A MEMBER YET? - JOIN THE SILVERDALE CHAMBER OF COMMERCE! 3100 NW Bucklin Hill Rd. Suite 100 • Silverdale, WA 98383 • 360.692.6800 • S I L V E R D A L E C H A M B E R . C O M

P A R T N E R

Water Trail Alliance • Priority One Real Estate • The Suquamish Tribe

C O M M E R C E

To All Who Made The Water Trails Festival Possible:

O F

YOU

C H A M B E R

July 12 – Kitsap Business Forum • Silverdale Beach Hotel • Speaker :Urs Koenig, PhD, MBA, M.S. 7:00AM Networking, 7:30AM-9:00AM Program

K P B J

OTHER UPCOMING EVENTS

1. Who were the founders of the Silverdale Chamber of Commerce? 2. Who started Whaling Days? 3. When the Chamber first began, what organization allowed them to run their accounting through their books? 4. Who is our longest standing Chamber Member? 5. What was the original name of the Silverdale Chamber of Commerce

A Great Big Huge THANK

Silverdale


32

| July 2016 |

FINANCIAL PLANNING | EDWARD JONES

Gen Xers must juggle both money and time Article provided by Edward Jones for use by financial advisor Schelley Dyess in Port Orchard. If you’re an older member of Generation X – that is, if you were born in the early- to-mid1960s – you may have a lot of “balls in the air.” You are saving for your own retirement – which might not be that far away – while at the same time possibly wanting to help pay for your children’s college education. And you may also be assisting your aging parents in some ways. How can you manage this juggling act? To begin with, you need to emphasize your retirement. Now that you are likely in, or near, your peak earning years, you should contribute as much as you can afford to your 401(k) orotheremployer-sponsoredre-

tirement plan. Your plan likely offers you a range of investment options, so you can create a portfolio that’s appropriate for your needs. The money in your 401(k) or similar plan can grow on a tax-deferred basis, and your contributionsaretypicallymade with pretax dollars. So, the more youputin,theloweryourannual taxable income. You won’t have to pay taxes until you take withdrawals, but if you do withdraw moneybeforeyoureach59½,the withdrawals may be subject to a 10 percent IRS penalty. Even if you’re contributing to a 401(k) or similar plan, you’re probably still eligible to contribute to an IRA. Like a 401(k), a traditional IRA offers tax-deferred growth potential, while a Roth IRA can provide tax-free earnings distributions if you’ve had your account at least five years and don’t take withdraw-

als until you’re at least 59½. If you devote most of your investable income to your retirement plans, you may not have much left to help pay for your children’s college education. But that may not be a disaster – after all, they could get scholarships and financial aid. And even if they need to take out student loans, they have a lot more years to pay them back than you have until your retirement. If you can afford to help your children, choose a smart college-savings vehicle, such as a 529 plan, which offers tax-free earnings distributions as long as the money is used exclusively for qualified higher education expenses. (If it’s used for other purposes, you’ll be taxed on it and also could face a penalty.) How about your elderly parents? How can you best help them? Hopefully, they will not

How can you declare your financial independence? Article provided by Edward Jones for use by financial advisor Denette Chu in Port Orchard. We observe the 4th of July with sparklers, picnics and parades. And living in a country that offers so much freedom, we have a lot to celebrate. But on a more personal level, you may still be working toward another type of independence — financial independence. What can you do to speed your progress toward this goal? Here are some ideas to think about: Free yourself from excessive fear. As an investor, it’s not hard to find something to fear. Oil prices, interest rates, political squabbles, even natural disasters — at any given time, each of these factors (and many

more) might be blamed for volatility in the financial markets. In response, many people take a “time out” from investing. Don’t let fear hold you back. It takes discipline and some mental toughness to stay invested in all economic environments, but if you’re constantly jumping in and out of the market, you’re almost guaranteed to miss out on the kind of continuity and opportunities you need to move toward your financial freedom. Liberate your investments’ growth potential. Many investors avoid investing too aggressively, wishing to lower their risk level. And that’s certainly not a bad idea. On the other hand, you can easily slip into investing too “safely” by keeping the bulk of your portfolio in investments that protect your principal but offer so little in the

way of return that they may not even keep up with inflation. So, try to always maintain a reasonable percentage of growth-oriented vehicles in your portfolio. The exact amount may depend on your age and tolerance for risk, but at virtually every stage of your life, you need some growth potential. Avoid the tyranny of debt. It’s not easy to stay out of debt. But carrying a heavy debt load is truly a burden — you’re not only concerned about making the payments, but you’re also depriving yourself of dollars that could be used to invest for your future. Try to do everything you can to live within your means and avoid racking up more debt than is necessary. And when you do whittle down your debts, put that “found” money to work. The more you

require any outright financial assistance from you – but that doesn’t mean you can’t assist them in other ways. If you haven’t already done so, try to find out as much as you can about their estate plans and any arrangements they’ve made should they become incapacitated. Ideally, you’ll want to get answers to questions such as these: Have they named a durable power of attorney? Have they chosen an executor for their estate? Have they thought about they would pay for any longterm care services they might need, such as a nursing home stay? It may not be that easy to have these conversations, but they are important – especially if you are going to play an active role in your parents’ plans. Clearly, as a Gen Xer concerned about retirement, college-age children and aging parents, you’ll have a balancing act involving both money and time. But with planning, patience and realistic expectations, you can help yourself and the ones you love.

put in your investment portfolio, the more opportunities you have to reach your objectives. Free your thinking about the future. Here’s another roadblock on your journey toward financial independence: shortterm thinking. Instead of seeking quick gains (which are notoriously hard to achieve), strive for steady growth. Instead of reacting to the news of the day by making impulsive moves, chart a long-term strategy that’s appropriate for your needs, and stick to it. Instead of focusing on the losses you might see on one month’s investment statement, look back over the progress you’ve made over the last five or 10 years. In short, worry less about today — and plan for tomorrow. It will take a lot of time, effort and patience to ultimately achieve your own Financial Independence Day. But once you do, you’ll have reason to rejoice — and you won’t even need the fireworks.

Kitsap Bank’s edg3 Fund small business competition open for entries Kitsap Bank has a question for entrepreneurs and small business owners: What could you do for your business, if you had an extra $20,000? Contestants will have the opportunity to answer that question and compete for $20,000 in the bank’s third annual edg3 FUND small business competition. The edg3 FUND competition, which had its inaugural year in 2014, recognizes entrepreneurs dedicated to growing their communities economically, socially, and environmentally. “Last year’s competition produced 70 applicants representing a wide range of industries, stretching from the Olympic Peninsula to our state Capitol,” Kitsap Bank president and chief operating officer Tony George said. “Some very creative and hardworking entrepreneurs shared their unique stories with us; and we look forward to meeting even more of these innovative companies this year.” The edg3 FUND application period runs through July 29. Visit www.kitsapbank.com/edg3-fund to view the official rules, register for the workshop, or to submit an edg3 FUND application online. After the application period ends, semifinalists will be chosen, with public voting taking place through Kitsap Bank’s website Sept. 15-30. The public will help to select the top five finalists, who will present their pitches at a live event during Global Entrepreneurship Week on Nov. 17 at the Kitsap Conference Center in Bremerton. An independent panel of judges will determine the winner. For-profit small businesses based in Western Washington that have a positive economic, social and environmental impact on the communities Kitsap Bank serves are encouraged to apply. The business needs to have a commitment to their idea and concept, and make the case for how the prize money will give their business an edge. The 2015 winner of the edg3 FUND prize was OlyKraut, an Olympia-based business that produces handcrafted sauerkrauts,picklesandsippingbrines.Business owner Sash Sunday said the edg3 FUND supports “businesses that are looking at people, place and planet — the triple bottom line. And those businesses, I firmly believe, are how we are going to grow our regional economy in a healthier way.” OlyKraut is using its $20,000 prize to help scale its business and increase capacity by building a cooler customized for the business’ growing needs.


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| July 2016 |

Summer looks brighter for ice cream maker ■ Crowdfunded Kiva loan gets Carter’s Chocolates out from under an onerous bank debt By Tim Kelly

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

Matt Carter had a pretty good month of May. The first boost for Carter’s Chocolates, the business he’s run in Port Orchard for eight years, was when he brought home the People’s Choice award for best desserts at the annual Bacon and Beer Classic held at Safeco Field in Seattle. The chocolatier served up samples of maple bacon ice cream that’s one of his shop’s more popular flavors, and handed out chunks of baconinfused chocolate he concocted especially for the event. Might seem hard to top that, but an even bigger deal followed when Carter’s application for a loan through crowdfunding website Kiva got funded, thanks to a big donation that bridged the final gap to the $10,000 goal just before the funding period expired. He may not be a typical loan recipient from Kiva; the microlending site channels loans to many small entrepreneurs around the world looking to fund start-up businesses. Carter, however, was looking to get out from under a burdensome credit card debt that had been an albatross around the business owner’s neck for several years. “We’re happy and I got to pay off a couple things and get out from under a huge financial issue,” he said, “which will hopefully make things easier going forward.” In a message posted with his loan application on the Kiva website, as well as in a recent interview, Carter was very open about how he got into a difficult situation that led to seeking a crowdfunded loan to extricate himself. “The financial fallout from a stupid mistake has been going on for over 5 years,” he wrote online. “A Big Bank’s policy of raising interest rates from 9% to 29% due to two late payments in 6 months (sidestepping the Credit Card Act of 2009 through a technicality) almost put Carter’s into bankruptcy and has been a drain on

PHOTOS BY LARRY STEAGALL

John Strasinger, partner of Carter’s Chocolates proprietor Matt Carter, talks with customers Kimberly Clemmer of Allyn and her son Jake, 11, on the new patio behind the ice cream and chocolate shop in the Port Orchard Public Market.

our resources ever since.” The bank was Wells Fargo, and Carter said his stellar credit rating when he started his business eight years ago allowed him to get a $25,000 line of credit. About six years ago he used that to cover expenses in moving his business — from the “desolate” second floor of Port Orchard’s Towne Square mall to what he hoped would be a busier spot on the ground floor — and buying additional kitchen equipment. The line of credit was “a great

tool” for helping with cash flow in the business he started after leaving a sales career, but the entrepreneur admitted he made some costly mistakes. “I was stupid in a couple of ways,” Carter said. One was incurring a significant cost in moving his shop downstairs, which meant higher rent but didn’t generate more revenue. Another was not always staying on top of making the monthly payments to Wells Fargo. “I’d get a phone call from their robot

the Port Orchard Public Market, and revenue from ice cream cone sales won’t be siphoned off to repay a constraining debt. The no-interest Kiva loan — which also helped him get caught up on his rent at the market and at Westbay Center where he has a production kitchen — will Scott Barner puts scoops on an ice cream cone at Carter’s Chocotake three years to lates in the Port Orchard Public Market. pay back at $277 a month. saying you forgot your payment It was clinched by a final donayesterday,” he recalled. “So I’d tion of more than $1,000 from a drop the phone and I’d make the family member, but the loan was payment online, and there it goes; funded by 108 donors who made it’s less than 24 hours” past the the minimum contribution of due date. $25 or more. A number of those That wasn’t sufficient to pre- donors live in other parts of the vent a punishing spike in the in- country, and some in other counterest rate the bank charged him. tries. “The next thing I know it Since it was founded a decade shoots up from 9.1 to 29 percent ago, the nonprofit Kiva has crowdovernight,” Carter said. funded loans of up to $10,000 for He thought the Credit Card Act for more than 2 million borrowers of 2009 would have barred such a in 80 countries. Some 1.5 million penalty, but found out that wasn’t lenders have provided about $869 the case for a business account. million in loans, and the repayThe upshot was that payments ment rate is 97 percent according on his credit-line debt of $22,000 to Kiva’s website. jumped to $667 a month, and afKiva encourages lenders, when ter nearly six years he still owed they are repaid by one borrower, a balance of about $3,500 that he to then contribute to another appaid off with part of his Kiva loan. plicant’s loan. Carter said he plans He doesn’t hide his contempt to send $25 to a different Kiva apfor Wells Fargo, noting the bank’s plicant each month when he’s rerole in the home foreclosure con- paying his loan. troversy after it received billions He’s still thinking of ways to of dollars from the federal gov- expand his business, possibly by ernment’s bank bailout. finding a partner to operate an ice “I take every opportunity I can cream shop as a joint venture in to talk about Wells Fargo and Tacoma or Gig Harbor. what they’ve done. I just think Whether or not that happens, they’re a bunch of shysters,” he Carter appreciates being able said, though his ire is directed at to consider such plans, thanks the corporate level and he noted largely to Kiva. that local branch employees are “They’re great,” he said. “I all nice people. highly recommend it to anyone With that ordeal behind him, who needs a little bit of a push to Carter looks forward to a prom- get started. ising summer. There’s a brand “It’s gotten me to the point new patio facing the waterfront where I can start making plans outside his business at the back of beyond just day to day.”


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Greater Kingston Chamber of Commerce & Visitor’s Informa on Center

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K P B J C H A M B E R

Greater Kingston Events Calendar

OPEN TO ALL BUSINESS OWNERS & MANAGERS!

The ďŹ rst seminar in our series focuses on “The Talent Tsunamiâ€?. Learn how to attract and keep your most valuable assets, a talented, motivated and dedicated team. $30 Fee includes lunch. Go to www.kingstonchamber.com to register. There is s ll me to register your business, scout troup, golf buddies, dance group‌ whomever‌ to be in the Oldest Parade this side of Mississippi! Download the applica on from our website K4OJ.com and we’ll see you on the 4th of July!

event, snacks, beverages and give-a-ways.

August 20th: Kingston Wine & Brew Walk 5-9pm - 10 Stops Downtown Kingston June 14th: TalentinTsunami Seminar & Lunch Buy tickets online at KingstonChamber.com at the Point Casino, noon-2pm Or at d’Vine Wines & The Chamber Office

KINGSTON 4TH OF JULY 2016 www.K4OJ.com *Parade at noon *Farmer’s Market *Ball Races *Tiny Town *Live Music *Fireworks *Beer Garden

P A R T N E R

The Kingston Chamber of Commerce Presents Round Table Seminars, Lunch & Learn June 14th 12-2 pm At the Point Casino Featuring Nancy Maki of Open Gate Consulting

August 11th: Chamber After Hours June 9th: Chamber � er Hours at The 7-9pm GreaterbyKingston Chamber of Commerce & Hosted d’Vine Wines Visitor’s Center, 25923 Washington Blvd. www.dvinewineshop.com Kingston. Hosted byKingston, the Kingston Chamber 25960 Central Ave S, WA 98346 Board of Directors and open to everyone. Please join us for this great networking event Snacks, beverages, and Give-A-Ways Please join us for this great networking

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11:45am-1pm

O F

August 4th: Chamber Business Luncheon June 2nd: 11:45am-1pm Hosted Bank - Kingston Hostedby byKitsap Market Fresh Buet &Branch Catering. Featuring Speaker Shannon Singleton of North Featuring Speaker Mary McClure, Port of Kitsap Schools Foundation Kingston Commissioner At the Village Green Community Center The Point Casino’s Event Center Catering by Mi Sueno Catering


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| July 2016 |

REGION’S ECONOMY | JOHN POWERS

Western makes big splash on peninsulas

M

ay 24th marked a milestone in the long-range prosperity of our West Sound economy. It was the day Western Washington University doubled down on its three-year-old commitment to be the leading bacca lau reate institution serving communities and businesses on the Kitsap and Olympic peninsulas. On that day, Western Washington University, the city of Poulsbo, and the Poulsbo Marine Science Foundation celebrated their joint agree-

ment allowing WWU to assume ownership and operations of the Poulsbo Marine Science Center on the shores of Liberty Bay in downtown Poulsbo. This initiative will support Western’s programs at its Huxley College of the Environment, from which it confers Bachelor of Science degrees in Environmental Policy and Environmental Science. It also brings to four the number of baccalaureate degrees offered by Western in conjunction with Olympic College and Peninsula College on campuses in Bremerton, Poulsbo and Port Angeles. Other four-year degrees offeredbyWWUincludeBusiness

AdministrationandComputerand Information Systems Security. The agreement providing for the transfer of ownership of the Marine Science Center to WWU was heralded at an event attended by university, city and foundation officials. It was also announced that the center would be renamed SEA Discovery Center. SEA denotes the facility’s marine orientation centered on its three central components – science, education and aquarium. In remarks prepared by Western president Bruce Shepard, he shared his appreciation for the initiative strengthening WWU’s partnership with the region’s

BUSINESS COMMENTARY | DON BRUNELL

community colleges, local school districts, tribal communities and the city of Poulsbo. He applauded the visionary work of retired Navy Rear Adm. Bruce Harlow, the foundation’s board chair, who was instrumental in reinvigorating the center in 2007 and instituting the current day marine science education programs for elementary-age students that will continue under WWU’s stewardship. Other community leaders recognized for key roles played in welcoming Western Washington University to Kitsap included David Mitchell, president of Olympic College, state Rep.

ashington leaders need to keep an eye on South Carolina. It is a state that is becoming a strong magnet to attract business. A couple of years ago, the front-page news was the competition between Seattle and Charleston to lure Boeing’s 787 assembly production. Now, it has grown to include international trade and the associated economic development and jobs. Washington and South Carolina are among our nation’s leaders in international trade. Our state’s ports process roughly $150 billion in imported and exported products annually and 40 percent of all Washington jobs are tied to international trade. Meanwhile, South Carolina is

now up to $40 billion export sales and has become the nation’s top exporter of motorized vehicles, tires and lawnmowers. Today, South Carolina stands to gain from the newly expanded Panama Canal, which is now open. If we are not careful, their gain could be our loss. Vessel traffic is moving more efficiently with the canal’s increased capacity. As important, the size of ships that can navigate between the Atlantic and Pacific oceans is 2.5 times greater. Larger ships carrying up to 14,000 containers now can bypass West Coast ports and economically sail directly to the Charleston. In past years, although sea transport was generally cheaper compared to sea-rail shipping, it took more time. Traditionally, container ships steamed into West Coast ports and their cargo

arrived and departed by train and truck. However, the lower shipping costs to the East Coast make our ports venerable, especially in a sluggish economy. Compressed shipping time and larger loads often lower costs to the point where they are overriding factors for shipping destinations. Forbes cautioned last year that western railroads, such as BNSF and Union Pacific, could lose substantial shipping volumes from the new canal opening. Their loss would be offset by gains for eastern railroads such as Norfolk Southern, CN and CSX. The expanded canal has triggered a race to improve port facilities. The bottom line is manufacturers and shipping companies won’t come if port infrastructure is inadequate and railroads and highways are overly congested. Delays are costly.

It is high-stakes competition among ports and their partners. The American Association of Port Authorities calculates its members are spending $9 billion a year to modernize and expand port facilities. AAPA estimates there are 125 port-related infrastructure projects under way or planned. They cumulatively valued at $29 billion and except for on-dock rail, these projects are mostly improvements outside of port facilities. They include highways and rail corridors. The Ports of Seattle and Tacoma formed an alliance and both are investing in facilities to dock the mega container ships. Those carry between 18,000 and 20,000 containers and need drafts (water depths) of 60 feet. The Port of Charleston is spending $1.6 billion to dock even the world’s largest container ships. A third of that cost is dredging. Once completed, the Charleston Harbor will be the deepest on the East Coast. Containers are important for manufacturers, but they must ar-

Kitsap Bank reports best first quarter in 107-year history

for the period ending March 31, 2016, rose 55 percent year over year, as the bank achieved double digit growth in a number of key areas. Net income totaled $2.64 million for the first quarter, compared with $1.7 million last year.

Total loans grew $106 million, or 22 percent, from $485 million one year ago to $591 million. Deposits totaled $989 million at the end of the first quarter, compared with $873 million, a 13 percent increase over the previous year. “Our performance continues

to be robust in this economy, producing record results for the bank,” president and CEO Steve Politakis said in a news release. “Kitsap Bank’s core deposit base and strong team of bankers, combined with investments outside our traditional market, in King

Watch South Carolina closely

W

Olympic Bancorp, holding company for Kitsap Bank, recorded the best first quarter in the bank’s 107-year history. Earnings

Drew Hanson of the 23rd legislative district, and Poulsbo City Council member Ed Stern. I believe this event will be looked back upon a generation from now and recognized as a milestone in Western Washington University’s ever expanding commitment to serve the communities and businesses of the Olympic and Kitsap peninsulas. Thanks to WWU’s enhanced investment in educating the next generation of community and business leaders, our West Sound economy will grow stronger, and Kitsap will play an ever more important role in Central Puget Sound’s economy. Here’s to The Vikings ... On Kitsap! • John Powers is executive director of the Kitsap Economic Development Alliance. rive on time to fit into the order sequence. South Carolina officials recognized this and use it recruit auto manufacturing. It has landed 250 automotive companies with a series of low corporate taxes, port volume and worker training tax credits, expedited permitting and developable property for factories, affordable housing and warehouses. Today, the automotive impact on South Carolina’s economy is estimated at $27 billion each year and accounts for 33,000 jobs, according to the state’s commerce department. At last estimate, Boeing had 9,000 workers at its Charleston facility. The expanded Panama Canal is just one more “game changer” our elected leaders must not ignore.

and Pierce Counties, have all contributed to our results.” Port Orchard-based Kitsap Bank operates 21 locations throughout Western Washington.

• Don C. Brunell is a business analyst, writer and columnist. He retired as president of the Association of Washington Business, and now lives in Vancouver. He can be contacted at theBrunells@msn. com.


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