February 2013 Vol. 26 No. 2
The Voice of Kitsap Business since 1988
New cruise will stop in Poulsbo, p. 16
Artist unveils commissioned sculpture, p. 12
Inside Special Reports: Women In Business, pp 6-14 Management Consulting, pp 28-31 Jaime Forsyth stands in front of the downtown Bremerton library. She brings an unusually broad range of experience to her new job as executive director of the Kitsap Regional Library Foundation. Tim Kelly photo
There and back again, finding her right place By Tim Kelly, Editor Jaime Forsyth hasn't just changed careers in the past; she's changed continents. You might even say she went to the ends of the earth, considering she left a 15-year IT career in Seattle for a Peace Corps mission in Mongolia — a remote land of mountains and desert, wedged between China and Russia.
"It’s the least-populated country in the world, except for Antarctica," notes Forsyth, who was hired in October as the new executive director of the Kitsap Regional Library Foundation. Why leave the urban cool of Seattle for the wilds of Central Asia? Cover Story, page 9
WOMEN IN BUSINESS
Human Resources, pg 18 Real Estate, pp 23-25 Financial, pp 26, 27 Environment, pg 33 Automotive, pp 34, 35 Editorial, pp 36-38 Home Builders Newsletter, pp 19-22
Clearwater doubles down and then some on convention space By Tim Kelly, Editor Plenty of people come to Clearwater Resort and Casino to gamble, and its owners think it’s a safe bet that expanding the operation into a convention center with more than double the resort’s current number of hotel rooms and far more meeting space than any other Kitsap County facility will pay off. “We’re turning down 12,000 room nights a year,” Port Madison Enterprises CEO Russell Steele said during a recent presentation about the expansion plans. The majority of those room requests that can’t be met are from weekend casino visitors. “We know we can fill that now, even without the meeting space.” Port Madison Enterprises is the business arm of the Suquamish Tribe, which owns Clearwater. The ambitious expansion of the facility will take place in four phases over the next
five years. The first phase, estimated to take 18 months with completion by December 2014, will see construction of the convention center that will have 10,000 square feet of meeting space on the same level as the casino on the third floor of the existing main building. This phase also will include adding a 4,500-square-foot “prefunction space,” a new fine dining restaurant along with remodeling of the Longhouse Buffet, a two-story support structure, and a 700-space parking garage. Clearwater, page 4
Veteran electrician starts own service business
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Michael Prouty, an electrician with 18 years of experience, has started his own business, MP Electrical, Inc., a licensed, bonded and insured company specializing in full-service electrical. Prouty, who previously worked for Olympic Wiring, Inc., provides commercial and residential full-service electrical; tenant improvements; service upgrades; low-voltage
MP Electrical can be reached at 360340-6199.
Kitsap Bank announces management staff updates
work; whole-house generator hookups; troubleshooting service and repairs; septic wiring; and working with architects, builders and their clients on design.
Kitsap Bank has hired Paul Miller as Senior Vice President/Risk Management. Miller comes to the bank with over 34 years of experience in the financial and banking technology and operations fields. His portfolio includes working with numerous financial institutions, including Russell Investments in Tacoma. He holds a
bachelor’s degree in Business Administration from California Lutheran University. Also, Sue Besselievre, Vice President/Customer Support Center Manager of at the bank, recently Paul Miller completed the Executive Development Program through the Washington Bankers Association. WBA leads the banking industry as a provider of advocacy, education and products and services in the state. The Executive Development Program is a comprehensive 12month course, designed to cultivate the next generation of banking leaders. Besselievre has over 15 years of customer service experience, and has been with Kitsap Bank since 2001. Sue Besselievre Bank president Tony George said the program Besselievre completed “is an intensive learning experience, and her willingness to take it on while working full-time reflects her dedication to professional development.” The bank also hired Carrie Murphy as a mortgage loan officer, and she will be based out of the Silverdale branch. She comes to Kitsap Bank with over 18 years of banking experience, most recently with Carrie Murphy Union Bank. “Carrie brings with her a wealth of experience in residential real estate lending,” stated Matt Kover, Senior Vice President/Manager to the Mortgage Loan Division, “We continue to see an increased demand for mortgage services in our area, and are confident that Carrie and the rest of the mortgage team at Kitsap Bank will be able to meet our community’s growing needs.” Kitsap Bank is headquartered in Port Orchard and has 21 locations throughout Western Washington.
Poulsbo Windermere office adds new associate Noelle Osborn has joined the staff at Windermere Real Estate’s Poulsbo office. A former broadcast reporter and advertising executive, Osborn was born in Ireland and raised in England. The Pacific Northwest has been her home for the last 12 years, and she is on the board of the Cultural Arts Foundation NW, which is dedicated to Noelle Osborn furthering the arts in the Kitsap community. The Windermere office is at 18570 State Route 305 in Poulsbo. Contact: 360-7795205. For more information, visit www.windermere.com.
Peninsula Credit Union boosts CU4kids charity When Jim Morrell took over as Peninsula Credit Union’s new CEO last May, he thought the fundraising effort CU4Kids would be a good fit with his new staff, who were actively involved in supporting various charities. CU4Kids is a credit union effort to raise money for the Children’s Miracle Network and local children’s hospitals, and Seattle Children’s Hospital is the designated local beneficiary for this area. Morrell had been involved Submitted photo previously with CU4Kids and asked Peninsula Credit Union staff at the Miracle Season the Peninsula staff to set a $2,500 telethon included (from left) Kris Kord, Mandy Rogers, Jim Morrell, Katie Shrum and Mary Ellen Garcia. fundraising goal. As it turned out, several members of the staff had close connections with Seattle Children’s Hospital through neighbors, relatives and, in one case, the child of a current co-worker. Through a variety of fun and creative efforts that involved staff and members, Peninsula Credit Union collected $7,200 from September through December. As a result, Peninsula Credit Union was invited to participate in the 2012 Miracle Season program that was broadcast live on KOMO-TV on Dec. 15. The show celebrated the lives of Seattle Children’s Hospital patients and raised nearly $120,000 for children and their families who do not have insurance or are unable to afford the cost of care. Volunteers from Peninsula Credit Union, including Morrell, helped to answer phones during the telethon. “The fundraising efforts of Peninsula Credit Union employees and members, epitomizes the giving nature of credit unions throughout the U.S.,” said Joe Dearborn, senior director of Children’s Miracle Network Hospitals. “We are extremely proud of our partnership with Peninsula Credit Union and will always be indebted to them for the wonderful support they offer the kids treated at Seattle Children’s Hospital.” Peninsula Credit Union has 18,000 members in Kitsap, Mason, Jefferson, Clallam and Grays Harbor counties.
Air Masters receives service award from Angie’s List
Experienced escrow officer joins Pacific Northwest Title Kathy Brown has joined the Silverdale escrow staff of Pacific Northwest Title of Kitsap County. She has been in the title and escrow business for more than 20 years, working in both Washington and Arizona. She retired last summer but has decided to come back to the escrow industry on a part-time basis. Brown can be reached at Pacific Northwest Title’s main office in Silverdale at 360-6924141.
Financial advisor sponsors coffee club
The City of Poulsbo began a parking lot upgrade project at the end of January for Anderson Parkway, the main downtown parking area located off Front Street. According to city officials, at least half of the parking spots will be available during the project, with the exception of a seven-day period when final grading and paving will be completed. The project entails repaving, along with environmental and lighting improvements. The environmental upgrades are part of efforts to clean up Liberty Bay. Some of the work timeline depends on weather, but the final grading and paving was expected to take place during the last week of February. The entire project is expected to be completed by April 1. Alternative parking spots, which will be identified with signs, are available in the King Olaf parking lot, the underground parking at City Hall and the old police station. The Historic Downtown Poulsbo Association has hired RockFish Group, headquartered in downtown Poulsbo, to help increase public awareness and work with merchants to continue attracting customers. The merchants are planning various promotions, including a photo contest, to help maintain customer traffic.
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Donald Logan, a local Edward Jones financial advisor, will be hosting a coffee club at 8:15-9:15 a.m. starting Feb. 20, and meeting the fourth Wednesday each month at the Edward Jones office at 2416 NW Myhre Road in Silverdale. The coffee club is an informal gathering where financial advisors will provide an update on the stock market and the economy in a relaxed environment. Seating may be limited. To reserve a seat, call Beth Halvorson at (360) 692-1216.
Correction An item about Columbia Bank in the Jan. issue had incorrect information about where the bank has branches in Kitsap County. There are Columbia Bank branches in Port Orchard, Silverdale, Poulsbo, Kingston and Bainbridge Island.
4312 Kitsap Way, Suite 103 • Bremerton
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 3
Air Masters, Inc. of Port Orchard has earned the 2012 Angie’s List Super Service Award, an honor given annually to approximately 5 percent of all the companies rated on Angie’s List, a national provider of consumer reviews of local businesses. Air Masters has been providing heating and cooling installation and service since 1986 in Kitsap County and surrounding areas. Recently, two Air Masters employees donated their time to help install a gas furnace for the Sunnyslope Improvement Association’s building. Service award winners have met strict eligibility requirements, including earning a minimum number of reports, receiving an excellent rating from their customers and abiding by Angie’s List operational guidelines. Ratings are updated daily and service companies are graded on an A through F scale in areas ranging from price to professionalism to punctuality. Members can find the 2012 Super Service Award logo next to company names in search results on AngiesList.com. Air Masters can be reached at 360-895-2527 or online at www.airmastersheating.com. More than 1.5 million households subscribe to Angie’s List for access to local ratings, exclusive discounts, the Angie’s List magazine, and a complaint resolution service.
Parts of downtown Poulsbo’s main parking lot will be closed during repaving work
from page 1 "I was really interested in things beyond my doorstep," Forsyth says. "International development and the environment were two of my passions. I went to Mongolia to work on a climate change research project." While on vacation after coming back from the Peace Corps in 2004, she attended a conference on sustainability in Boulder, Colo. She was inspired by speakers such as William McDonough, author of the influential book "Cradle to Cradle," and she also stopped by the Bainbridge Graduate Institute booth and met Gifford Pinchot III, co-founder of the institute and grandson of the first chief of the U.S. Forest Service. The trip and that meeting were "serendipitous" for Forsyth. "I was feeling like (BGI) might be the place to figure out
my new career ... and figure out where my place is in the universe." That place, at least for the past several years, has been Bremerton, where she’s been an energetic organizer of neighbors for improvement projects in what they dubbed Union Hill, a neighborhood of older homes near downtown. She’s also the organizer of a thriving social network, Green Drinks Bremerton, that draws dozens of people to monthly gatherings hosted at local businesses. “This is the strongest (sense of) community I’ve ever had,” says Forsyth, a Minnesota native who worked for the Forest Service during and after her college years at the University of Utah, and thrived on the adrenaline rush of fighting wildfires. “It’s been pretty amazing that way. It feels like to me that all these things I’ve done
“This is the strongest (sense of) community I’ve ever had. It’s been pretty amazing that way. It feels like to me that all these things I’ve done have led me to this place, odd as that sounds.” — Jaime Forsyth have led me to this place, odd as that sounds.” While completing her MBA in sustainable business at Bainbridge Graduate Institute, Forsyth reconnected
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from page 1 Phase 2 will be construction of a five-story hotel with 100 rooms that all will have water views. The hotel will connect to the south side of the casino, and it is scheduled to be completed by May 2015. The casino itself will undergo a 5,700-square-foot expansion in the third phase, scheduled to last through all of 2016. There will be a new 350seat lounge that will allow Clearwater to expand its entertainment offerings. Photo courtesy Clearwater Casino Resort Plans also include a specialty Above: Aerial view of the Clearwater site. restaurant near the north end of Hidden Cove and a new bar in the The graphic at right shows the layout of Clearwater center of the casino floor. Casino Resort when all four phases of the expansion is Although the casino space will be completed. enlarged, Steele said there won’t be significantly more gaming machines in the new layout. The final phase to be built in Steele said, noting the casino draws most of 2017 will add a 15,000-square-foot its customers from surrounding areas. “We extension for meetings and entertainment, want to be more of a regional business, and which will have moveable walls for dividing cast our net farther.” the space into smaller rooms. This addition When the expansion is finished, also will have 11,500 square feet of preClearwater will have 188 hotel rooms and function space and 8,500 square feet for nearly 28,000 square feet of space for support needs. meetings and conventions. The space will Speaking at the January lunch meeting accommodate groups from 1,800 to 3,000 of the Bremerton Chamber of Commerce, people, depending on seating Steele said the expansion will create 160 to arrangements. 170 additional jobs at Clearwater. The The Kitsap Conference Center at facility will be a draw for regional Bremerton Harborside is the county’s conferences, and it will create “increased largest meeting venue, with 10,000 square tourism opportunities.” feet of space that can handle events for up “We are very much a local business,” to 750 people, but it has no on-site hotel
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rooms. The center’s general manager, Ken Milsap, views Clearwater’s development of a convention center not so much as competition for his facility, but rather as a boon for the broader area. “What they’re doing is going to put (the Kitsap Peninsula) on the map a little bit more,” he said. “The more we have nice facilities over here, the more we’re going to get our name out.” As for the Bremerton conference center, “our niche is small and medium conventions,” Milsap said, while Clearwater likely will need to attract “larger events to fill their facility. I don’t see it really
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Law Top issues of discussion facing businesses in 2013
with the Forest Service to work as a sustainable operations analyst. From BGI, she moved on in 2008 to help with a cleantech startup, In the Works Inc., on Bainbridge Island. Most recently, she was vice president of strategy and marketing for Profile Composites, a British Columbia-based firm that expanded its advanced composites technology operation to Bremerton in 2011. Kitsap Regional Library director Jill Jean says all the social and business connections Forsyth developed made her an ideal, if somewhat unconventional, candidate to lead the KRL Foundation’s fundraising efforts. “I think what we already realized with Jaime, is that she is very much a connector Cover story, page 5 hurting us in any way.” Steele said Clearwater’s ability to host conventions “will benefit a lot of hoteliers” in the area, because even with the additions the resort will not have enough rooms for all guests attending a large, multi-day conference. The scope of the Clearwater expansion was a surprise to Patty Graf-Hoke, but the executive director of the Kitsap Peninsula Visitor & Convention Bureau was pleased by the announcement. "It will now enable the Kitsap Peninsula region to compete with Olympia, Snohomish and Pierce counties for large, multi-day regional and national events and conferences,” she said. “Planners typically want conference facilities that include hotel rooms, catering and breakout spaces. The new Clearwater Casino Resort & Conference Center will give us those capabilities." She also expects the Suquamish tribe’s marketing of their new facility will help increase tourism throughout the area. “The Tribes are the only private operation locally that has the financial resources to build, manage and market a facility of this scope,” Graf-Hoke said. Although Steele didn’t disclose the total cost of the expansion, in an interview after the chamber lunch he said the tribe is in a good financial position and won’t need to borrow much money to finance the
Clearwater, page 5
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from page 4 construction. “We’ve wanted to do this for a couple years, but it’s been a little hard given what the economy’s been doing,” he said. During the recession, he said the tribe focused on maintaining its business operations and paying down debt. “Now is a good time to grow,” he said, while construction costs and interest rates are still low. Asked what type of conventions the enlarged resort might host, Steele said it could attract national tribal conferences for organizations such as Indian Health
“We are very much a local business. We want to be more of a regional business, and cast our net farther.” — Russell Steele, Port Madison Enterprises CEO Services, which has held some meetings at Clearwater. Having expansive, flexible space will mean “you’ll be able to have a trade show, and still have other functions going,” he said. Having a much bigger lounge in the casino means Clearwater can host more live entertainment for all those additional
guests attending future conferences. “We’ll continue to do our summer concerts on the lawn, but this will allow us to do concerts year-round, which is something we wanted to do,” Steele said. Another enhancement he noted is an increase in non-smoking areas. All the meeting rooms will be non-smoking, and guests will be able to enter all the restaurants without going through smoking areas in the casino. In response to another question at the chamber lunch, Steele said the expansion does not include adding waterfront access to the resort, which sits at the west end of the State Route 305 bridge that crosses Agate Pass to Bainbridge Island.
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 5
from page 4 of people,” says Jean, who knew Forsyth from her volunteer involvement in a 2010 campaign to pass a library levy. But it was a conversation the two had last fall at a Green Drinks event — which Jean recalls she was tempted to skip that night — that prompted her to encourage Forsyth to apply for the foundation job. She is confident and at ease discussing any issue with folks from all walks of life in the community, Jean adds, “And she is an absolutely fearless fundraiser. “There’s a real skill set for someone to feel comfortable with what I call ‘the art of the ask.’” Being fearless was surely an attribute Forsyth needed as the onetime wilderness ranger and timber cruiser achieved the status of first female firefighter on elite Hotshot Crews in Utah and Montana during her younger years with the Forest Service. She only shifted to an IT job in Seattle after a serious back injury suffered on a fire line curtailed her career with the Hotshots. What she brings to her new role is knowing “the yin and yang of Kitsap County” from living and working in both Bainbridge and Bremerton. “I don’t have a traditional development officer background,” she says, but working with Jean and the KRL staff is “a wonderful mix. They have all the library knowledge, and I bring a sort of entrepreneurial marketing approach to fundraising to the library.” When former director Peter Raffa left last summer, finding a capable replacement was a critical hiring decision because of upcoming capital campaigns for libraries in Kingston and Silverdale, Jean says. Forsyth is not only well suited to her fundraising role, Jean notes, she’s also “very much a part of our leadership team here” and actively involved with new programs KRL is developing as its core mission evolves. One example is the “Maker Space” concept, an innovative way for libraries to move beyond curation of their print and digital collections to facilitating users’ creation and sharing of original content. Forsyth and Jean are excited about a major grant coming from a Seattle foundation that will enable KRL to partner with Coffee Oasis in a program offering atrisk youth the opportunity to learn and experiment in technology classes. As for KRL’s fundraising, Forsyth notes that even though the last library levy didn’t pass, the 45,000 people who voted for it represent a large base of potential donors who might be willing to support library programs in other ways besides a property tax increase. She’ll also be reaching out to “people who can give in an impactful way.” She says the Kingston library that’s being developed as part of that community’s Village Green project is a model that could be viable in Silverdale and elsewhere. To create some momentum for a new Silverdale library, “We need a community group to come forward, and we will work with them.”
Women enjoy the challenges, rewards of hospitality industry “We’re always reinventing ourselves and changing the menu so it’s fresh and seasonal,” she said. Meyers said the best part of her job is working with staff — the business has nearly 50 employees — as well as seeing how the community has embraced them. Business has been good, and the pair is in the process of getting ready to add outdoor seating and outdoor events. She acknowledges that opening a new restaurant in a slow economy was a big decision. “It was a huge risk but there was a need that needed to be filled, and we’ve had a lot of support from the community,” she said. The desire of filling a need is what attracted Sue Braaten into the hospitality business. Her husband, Ken, who owns a construction Sue Braaten business, had a tough time finding a place for his customers to stay in town. “There was a need for a hotel and conference center in Gig Harbor,” Braaten said. So the couple built one, and 16 years ago they opened Wesley Inn & Suites, a Best Western Plus (www.wesleyinn.com). “It was very difficult and we’ve had a lot of obstacles, but we persevered,” she said.
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After a management company ran it for the first eight months, Sue took over the operations. Six years ago, they expanded with the addition of 29 rooms and suites (for a total of 82) and two more conference rooms. Wesley Inn, which also has a ballroom, hosts numerous events all year long, from retreats and conferences to weddings. Braaten has even created a signature event, Steppin Up, a women’s conference now in its seventh year that raises funds for foster children. With the business always open, Braaten said the most important thing is having a great staff and working in partnership with them. Although not being able to take time off for family (which includes six grandchildren) has been challenging, she has found the business rewarding. A volunteer CASA advocate, she has a soft spot for foster Michelle Tomlinson children, and through Wesley Inn has been able to support that cause, along with many others. “Having this business has enabled us to do a lot,” she said. “Being a small business gives us the flexibility to do that.” The opportunity to be involved in her community has been a major attraction for Michelle Tomlinson as well. The general manager of Fairfield Inn & Suites (www.fairfieldinn.com) grew up in Bremerton and graduated
from Olympic High School, and gives back through her involvement with East Bremerton Rotary, Bremerton Downtown Business Association and other organizations. And she’s gotten her staff involved as well, together supporting various fundraisers. “I love this community. These positions have all afforded me outstanding opportunities to be actively involved in the community and give back,” she said. Tomlinson worked in a senior living community in Gig Harbor before she jumped at the opportunity to work at Kitsap Conference Center as senior sales and planning manager. She wanted to be part of her hometown’s downtown revitalization. That job led to a position as director of sales for Bremerton’s two Marriott properties, Hampton Inn & Suites and Fairfield Inn & Suites (under construction at the time). When originally presented with the idea of becoming involved in operations at Fairfield Inn, Tomlinson resisted because sales is a solo job and having a large staff sounded overwhelming. “Once I started to learn about the company and the different pieces, I loved it,” she said. Tomlinson said one part of the job she loves is developing her staff and managing a successful hotel. “The Hospitality, page 11
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By Rodika Tollefson Women who are passionate about hospitality love working in such a “happy industry” — but they don’t argue that it’s an easy job to have. Especially since many of them are essentially working it 24/7, always only a phone call away. “Hospitality, you either hate it or love Barbara Meyers it,” said Barbara Meyers, owner with her husband, Nove, of Everybody’s American Cookhouse and Sports Theater (ebcookhouse.com). “I love entertaining people and getting the instant gratification of seeing them enjoy the food.” The couple opened their restaurant in Port Orchard last September after working together in catering and event services. Their previous businesses included catering for the Washington State Ferries and catering as well as vendor management for the Ellensburg Rodeo, among other things. They saw their opportunity to open a restaurant together when the previous tenant went out of business, but they wanted something unique. After traveling the country to look at sports bars, they came up with the idea of a sports theater, which includes a floor-to-ceiling television “screen” (the screen is actually a special wall with images projected on it with a high-definition projector).
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Realtor enjoys being business owner in hometown community now — there are 21 agents — but she notes that they have less need for a spacious office with the changes in how real estate agents operate today, using iPads and smartphones for mobile online access to information they and their clients need. “I really need to provide my agents with the best possible tools, but … they’d probably rather have the technology they need and the support they need rather than a big 5,000 or 10,000-square-foot building,” she says. Realtor, page 8
Carol Sue Rogers is owner/manager of the Windermere real estate office near downtown Bremerton. Photo by Tim Kelly
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 7
By Tim Kelly, Editor The same downtown area where she rode her bike as a kid is where Carol Sue Rogers runs a real estate office. The third-generation Bremerton resident didn’t have to go away to college or explore the wide world to figure out what she wanted to do. She stayed in her hometown and found her way into a satisfying career, one that’s brought her some major advancements and challenges the last few years. Her career path can be traced, Rogers explains, to a decision she made when she was the age when many young people are living in college dorms. “I bought my first house when I was 19,” she says during an interview at her office in the Windermere Real Estate Kitsap building at the corner of Sixth Street and Park Avenue. She was working two jobs while taking a year off after high school, but planning to go to college. “My mom convinced me to buy a house,” Rogers says. “It was on Eighth Street in Bremerton, and I bought it for $42,000 in 1989.” She was already an entrepreneur, having started a children’s clothing business. A few years later, when her twin daughters who are now 21 were preschool age, she sold her house and experienced a “Eureka!” moment. “I realized ‘wow, you can make some money,’” she recalls. “So I sold my business and got into real estate.” Rogers has been with Windermere since 1995 and got her broker’s license in 2002, but within the past five years she became first a manager and then a coowner of the Bremerton business. “I really liked being a real estate agent and just being responsible for myself,” she says, admitting to some uncertainty about taking over the entire operation. But when she was asked to become manager in 2007, “I jumped into this and within two years one of our ownership partners wanted to retire, and asked me to buy out his half. “It’s been kind of a whirlwind,” Rogers adds, “going from being a real estate agent to manager and then to owner/manager, being responsible for everything. It created an opportunity for me to own the business, but it’s been kind of scary and exciting all at the same time.” The scary side of it, of course, stemmed from another significant development around the same time: “Then the market went off a cliff.” Weathering the housing market’s collapse and gradual recovery has led her to make some changes in the business. The Windermere operation was housed in the larger area on the upper level of the twostory brick building, but downsized to the smaller ground-floor space after Bank of America moved out last year. The upper level is for lease. “When we built this building (in 2002) it was designed for a very large staff,” Rogers says. Not only is the staff smaller
Veteran entrepreneur enjoys keeping furniture store going
8 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
By Rodika Tollefson Sally Glivar has been in the furniture business for 35 years and still finds it exciting to come to work every day. And while years of experience have made her much more comfortable in running her business, Great American Furniture in Bremerton, Glivar says she continuously learns new things and adapts. “In any business, there’s lots of competition. You have a general plan and every six months, you review it,” she said. “You change what doesn’t work and you stay with what works. … Independent store owners like me have an advantage — you’re able to implement changes quickly.” Glivar opened the store in Bremerton with her husband and her father, who had owned his own furniture store in Auburn. Glivar’s husband was still involved when the store moved to the current location in Bremerton’s Charleston district 22 years ago, but has since retired. “I don’t worry now about being a woman in this industry,” she said. “I’m so comfortable with what I do, a lot of it is second nature now because I’ve done it for so long. I still work really hard at it but I’m able to prioritize what’s important and what can wait.”
Sally Glivar, owner of Great American Furniture in Bremerton’s Charleston district, originally opened the store with her husband and her father. Photo by Rodika Tollefson
Great American Furniture caters to the medium to upper lines of products, serving many military customers and people from beyond Kitsap Peninsula. The 14,000square-foot showroom has everything from mattresses and children’s beds to living room and dining room furniture, home décor and art. During the holidays, Glivar will even mix in a wide selection of purses and scarves, coinciding with her annual “Ladies Nights” events around the holidays. She does all the buying herself, traveling to national shows. “I love furniture. I like all the styles,” she
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said. “When you work with customers, you listen — they tell you what they want.” One other way she stays tuned in to trends is through conferences, which she attends regularly to learn about all the aspects of the furniture business. “If you can pick up one or two fresh ideas, that’s what makes it worth it,” she said. Glivar said she has one of the best teams around, and all her employees have worked at the store for more than 12 years (one employee has been there for 30). She’s had as many as 22 people on staff at one time, and is currently down to about eight. “The economy has been really tough so we had to adjust,” she said. “That was one of the toughest things I’ve had to do because we’re like family. We have a lot of fun at work.” She said her philosophy is to work hard to find what customers want and to stand behind everything the store sells. She not only sees a lot of repeat business, but now second-generation customers are coming in. “Our customers are absolutely our No. 1. We work hard to make sure they’re happy
with their purchase and they got what they wanted at the price they wanted. And we make sure we address any questions or problems they may have in the future,” she said. The computer age has brought a major adjustment for Glivar since she didn’t grow up with them. She’s had to learn how to do online marketing, maintain a website and other things. “It’s harder to know where the best place is to market,” she said. During her 35 years in business, Glivar has done every job in the store except for delivering furniture and unpacking trucks. She still loves seeing the new deliveries arrive and setting up the new displays. Through the store, Glivar has given back to the community, supporting organizations such as the Bremerton Foodline and East Bremerton Rotary. She’s also a longtime supporter of the Armed Forces Festival and the military — and proudly displays her family’s military memorabilia in one of the display cases at the store. “We’ve made a good living and I like to give back a lot,” she said. Glivar said the furniture business is a fun one to be in, even as she’s had to increase hours and work harder during the economic downtimes. “I love this business and enjoy being here,” she said. “We have a good time.”
restoring older homes. The real estate pro knew a good deal when she saw one. “I still believe in real estate as a good investment,” she says. As for the overall housing market, Rogers says, “I feel like we’re starting to get some traction.” Her office is doing a larger volume of business with fewer agents, “but the sale prices have come down.” “We’re going through a lot of low-end inventory right now,” she explains, “with some of that being investors buying, and some firsttime buyers.” She also said real estate agents encounter a lot of misunderstanding among potential buyers regarding the profusion of short sales, foreclosures and bank-owned properties on the market. Her agents are doing a lot of deals financed by VA loans, and “the challenge right now is to find the right house for the right buyer, because a lot of our buyers are dealing with limited funds.” One thing Rogers especially enjoys about being in the real estate business in her hometown is telling clients about the history of homes and neighborhoods. She recalls a number of years ago selling the house that had long been owned by the Sorianos, a prominent Bremerton family, on Gregory Way in what once was one of the city’s most desirable areas. “That’s what’s always made it fun for me, knowing the stories and the history,” she says. “That’s part of growing up in a small town.”
from page 7
“We right-sized into this space without much discomfort,” Rogers adds. She’s thinking about moving her business, not just to have a more efficient smaller office, but also because of some issues with their current surroundings, which have a different feel than the revitalized area of downtown Bremerton just a few blocks away near the waterfront. “We were the first building built in downtown, before the Norm Dicks building,” when renovation of the downtown core got started a decade ago, Rogers says. She points out that the Windermere office sits among a courthouse, a 7-Eleven store, a Salvation Army community center and shelter, and a public health care building. It’s not that she thinks any of those neighboring entities don’t belong there, and she intends to stay in Bremerton; however, she’s considering “moving to a more businessfocused location.” Somewhere out on Kitsap Way near State Route 3 might offer better exposure for the business and be more convenient for clients, she says, “but I’m not in any rush.” The lifelong Bremerton resident moved back to her childhood neighborhood a couple years ago, buying a house in the Union Hill area where a number of homeowners are
Women making a difference in education she has been fortunate to have so many great teachers. “I’ve invested a lot of effort in getting a superior education in piano performance,” she said. “My mission is to pass that knowledge on to my students.” Mary Garguile, vice president for instruction at Olympic College in Bremerton (www.olympic.edu), oversees the development and implementation of all instructional programs and curricula, as well as five division deans and all the branch campuses. She finds being an
administrator in higher education challenging, and enjoys that challenge and the ability to stretch herself. “The best part for Mary Garguile me is contributing to help make the college a better place and help us all focus on students and their success,” she said. “I have a small role but I really believe in education and the role it plays in people’s lives. To see the difference education
makes in people’s lives is very rewarding.” Garguile, an East Bremerton High School graduate, started her college studies at Olympic College herself, before moving on to Washington State University with the goal of focusing on early childhood education. “I was fascinated with young children and their growth and development,” she said. After obtaining a bachelor’s degree in psychology and a master’s in child Education, page 13
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By Rodika Tollefson Women who work in education acknowledge it’s not necessarily a generously paying field, but they find it very rewarding, whether it’s in the public or private sector. “There are some amazing minds in education. The diversity of the skillset required of a teacher or administrator is incredible,” said Barrie Hillman, head of school for West Sound Academy in Poulsbo. From arts and sports to primary and adult education, numerous Kitsap Peninsula women have made it their mission to help both children and adults learn and grow. The KPBJ is featuring a small group of these dedicated women. Irene Bowling, piano teacher and director of Bowling Music Studios (www.bowlingmusicstudios.com) in Bremerton, has performed nationally and internationally during her long career as a professional musician. Bowling, who has a doctorate in piano Irene Bowling degree performance, has done it all — traveled to countries such as Mexico and Germany, represented the United States at the International Brighton Festival in England, been featured on radio and cable television shows. But what she’s especially enjoyed is sharing her passion for music with students of all ages. “I like giving confidence to students that they can do anything they dedicate their hearts and minds to,” she said. Bowling comes from a family including professional musicians. “I grew up surrounded by music and dance, and arts in general,” she said. She started playing the piano at age 5, teaching it to neighborhood kids at 13, and went to college to major in piano performance at 16. She’s been teaching in Kitsap since 1982, and through the years has hired other music teachers, including her own former students, to offer a variety of disciplines at Bowling Music Studios. Bowling travels and performs much less since she’s been raising children, two of whom are still at home. But she doesn’t have much time either — she teaches seven hours a day, five days a week, as many as 90 students per week. Her students range in age from 4 to 81, and her group sessions are especially popular. One group of adults, she noted, has been coming for nine years. “What’s challenging as a teacher, especially in a group setting, is that every student has different talent, history, learning style and you have to key in quickly to what each student needs,” she said. Trained by many renowned musicians and the recipient of many awards and scholarships, Bowling said
Owner of Poulsbo’s Sport Haus has seen business, community grow
10 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
By Rodika Tollefson When Paulette Huisingh first launched the Sport Haus retail store in Poulsbo with her husband, Ed, nearly three decades ago, she was glad to have a male partner in business. During those days, women entrepreneurs were less commonplace, especially in the athletic retail industry. “It’s much easier to be a woman in business today and be respected. When we got started, I was lucky to have my husband by my side,” she says. These days, even the shopper demographics are different — more and more women are shopping in athletic stores. But there’s plenty to keep Huisingh’s energy up. Since opening in 1984, Sport Haus has steadily expanded its product lines to include things like casual wear and new specialized sports apparel, and there’s always something new to learn about. “The community has grown and as the community grew, we had to add new areas,” Huisingh says. “You have to constantly be on your toes and be aware of changes, there’s never a let-down.” While the choices have greatly expanded — the store has everything from workout apparel to lacrosse and soccer gear — footwear has remained a core line. Selling shoes is considered a big responsibility because employees need to know how to analyze a person’s gait and
then match shoes accordingly. And there are a lot of shoes to learn about, from football and Zumba to hiking and casual. “Employees become immersed. It’s onthe-job training but someone doesn’t get into selling shoes until they’ve been here a year,” Huisingh says. “It’s a big responsibility to get someone into the right shoe.” Another big area of responsibility is customer service. She notes that often times in retail, people are “promoted” out of customer service and into other roles. “We like to keep the best people with customers,” she says. Huisingh herself can be found working on the floor regularly, which keeps her in tune with customers’ needs. She does most of the buying for the shop, both through reps and at trade shows. “It’s about knowing the customers. Sometimes I’ll buy something knowing it’s for a specific customer,” Huisingh says. Ed and Paulette Huisingh were both teachers — Ed taught physical education and Paulette, math. They’ve taught in different parts of the country together as well as overseas, and together decided one day to change careers. The idea for a retail shop just sort of happened after Ed saw Poulsbo Village being built. They started out in 2,000-square-foot space closer to the other end of the
Paulette Huisingh is the longtime owner of Sport Haus in Poulsbo. Photo by Rodika Tollefson
shopping center, later moved to a bigger space at the current location, and expanded several times to reach the current 8,000 square-foot size. The couple’s daughter, Mara, now works at the store full-time and does some of the buying. “We had to learn as we went,” Huisingh says. “We read a lot of business journals, talked to company reps and scrounged for information. Customers have taught us a lot.” Sport Haus is seeing third-generation customers and Huisingh says she does notice a difference between the generations. “There’s so much product now that the second and third generation won’t settle. They want what they want, and you have to have that specific thing for them — so you have to stay current,” she says.
Even after being in business for nearly 30 years, the Huisinghs are still involved hands-on full-time. They don’t take long vacations, but manage to sneak in three or four days in Mexico and Hawaii now and then. It’s a big change from their days of teaching, when they took extended vacations and traveled, but Huisingh doesn’t seem to mind. “When you enjoy your work, it’s not so bad (without long vacations),” she says. For Huisingh, the best part about her work — besides seeing new generations of customers — is the feedback from those customers. “What I enjoy the most is when someone comes back and says, ‘I was in such pain and you sold me these shoes and it’s been great ever since.’ We get this a lot,” she says. “That’s the most rewarding part.”
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from page 6 guest scores are reflective of the team,” she said. Linda Thurrott, general manager of Best Western Plus Bainbridge Island Suites (www.bestwesternbainbridge.com), also credits her team for very high guest scores as well as several awards her hotel has received. Recently, Bainbridge Island Suites was selected out of 298 properties across the Northwest to be interviewed by an Linda Thurrott independent film crew for a film series that will be posted on the Best Western International website. The hotel also received, two years in a row, the M K Guertin Award, an award now in its third year that recognizes the top North American Best Western hotels for the best performance across several areas. “The employees are the best part (of the job). If we’re communicating well and being cohesive and a welloiled machine, it trickles down to our guests. They (employees) are my biggest asset,” she said. Thurrott stumbled into the hospitality field after working in banking for 13 years and deciding to work part-time. She found a part-time job at the front desk at Island Country
Inn. By the time she left that company, not only was she working there fulltime, she was the general manager. “It fell into my lap and I loved it. It didn’t feel like work to me. It boils down to the guest interaction,” she said. She began working for the Bainbridge Island Suites investors in 2005, helping set up the front desk and hire employees for the 2006 opening. “I still work with my staff. You can find me many times in laundry or assisting with cleaning — it gives me a greater appreciation for the hard work they do,” she said. Anne Thatcher also stumbled into the hospitality industry when she met Fay Hollis in 1999. Hollis had purchased a farm in Poulsbo a few years prior, selling produce Anne Thatcher at a farmers market and through a Community Supported Agriculture model. The two women opened the Farm Kitchen (www.farmkitchen.com) in 2000, originally as a Saturday bakery and commercial kitchen, and have since expanded it into an events venue. The Farm Kitchen’s programs include classes, online bakery sales and a popular monthly breakfast. “The diverse business model keeps things fresh,” said Thatcher, whose focus is on the event side. “Part of the
fun is keeping in touch with what our customers are interested in.” Through their commercial kitchen, she’s met many small business owners who have interesting ideas and products. She also enjoys working with other small businesses to showcase what the area has to offer. Thatcher came from a background in business development and research as well as communications and marketing, including in corporate settings. And although she’s traveled around the world getting to know many interesting people, she still loves meeting new people. “I’ve had the real pleasure of interacting with people from all over the world,” she said. The interaction with customers from different backgrounds is one of the best parts of the job for many of those in the industry, and Cecilia Hughes is no exception. Hughes and her husband, Phillip, have owned Willcox House bed and breakfast in Kingston for 25 years. The couple traded Los Angeles for Seabeck Cecilia Hughes — after growing up and living in California, the two wanted out. Since they loved the water and sailing, they looked at a map, and Washington state jumped out. A B&B was the plan even before they moved, though landing in Seabeck
happened somewhat by accident. The Hugheses bought a 10,000-square-foot dilapidated home and went to work remodeling and designing their future bed and breakfast, and haven’t looked back since. Hughes, who was a fashion designer for 20 years, designed all the bedding in the early days of Willcox House (www.willcoxhouse.com). At the time, there were fewer than a half-dozen B&Bs in the area, so the business has become much more competitive. “We worked hard at trying to make it a perfect experience for guests so they’re happy, and that makes us happy. It’s a happy business,” she said. “It’s a very fulfilling and satisfying job because we’re giving people a great experience.” For Hughes, being in business with her husband has been an integral part. She said it would be tough to do it alone as a woman — just the maintenance of the 75-year-old home is a major job. “Phillip and I are partners in life and partners in business and what he can’t do, I can do,” she said. “That’s why it’s worked.”
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February 2013 Kitsap Peninsula Business Journal • KPBJ.com 11
Making a living making monuments Gig Harbor sculptor unveils latest commissioned work By Tim Kelly, Editor The first work of art Mardie Rees ever sold was a watercolor painting she did as a teenager when her family was living in South America. “I created a painting of this little model home built of thatch — it had a thatched roof with mud walls — that my dad built in a place called Olanahurco in Ecuador,” she said. Rees recalled the local people being agog over something completely new in their farming village in the Andes Mountains — the windows in that small, simple house. “It was so beautiful in this community that had never seen windows,” she said. The homeschooled teenager who traveled daily to the capital city of Quito to take art classes grew up to become a professional sculptor. Don Rees, her father who worked on community development in Ecuador, is the owner of Real Carriage Door Co. in Gig Harbor. He let his daughter work on her latest project at the familyrun manufacturing business, because the sculpture was too large for her art studio. Mardie Rees recently held a public unveiling of the 8-foot statue she was commissioned to create for Shawnigan Lake School, a private boarding school on Vancouver Island in British Columbia. School officials and alumni, including Stuart Milbrad of Belfair, wanted a statue of founder C.W. Lonsdale for the school’s upcoming centennial in 2016. Milbrad, a retired businessman who owned a
commercial laundry and drycleaners in Bremerton, had visited St. Anthony Hospital in Gig Harbor four years ago and was impressed by the statue of St. Anthony and Child in the lobby. And he was surprised when he met the artist — Rees. “I found the sculptor, and I had no idea she was just a young girl,” said Milbrad, a 1948 grad of Shawnigan Lake School. “She’s a remarkable young lady, … and she’s received international recognition.” Indeed, her portrait bust Truth Beloved received First Honor at the 2010 International Portrait Competition hosted by the Portrait Society of America, where it was the only sculpture among 16 finalists (the rest were paintings). The same work was a finalist in the sculpture category at the 2009-2010 Art Renewal Center Salon Competition. Rees currently has a pair of high-relief bronze panels — art nouveau-style allegorical figures titled Dusk & Dawn that originally were created to go in a custom door made by Real Carriage — on display at a Los Angeles sculpture exhibition. Born to be an artist “I was basically drawing all the time from when I was 3 years old,” Rees said. “I realized that was what made me most happy, when I was creating.” By her senior year in high school she knew she wanted to pursue art as a career. She attended
12 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
Rodika Tollefson photo
Laguna College of Mardie Rees of Gig Art and Design in Harbor stands next to Southern California, the statue she created and “sculpture was of C.W. Lonsdale, my gravitational founder of a pull.” Canadian boarding “I was probably school whose officials one of most and alumni determined artists commissioned the in the school,” Rees statue. Rees recently said. hosted an event to After college, it unveil her work. wasn’t a straight line to earning a living as an artist, but her dedication and passion for art didn’t waver. “I tried to find professions that I could do, that weren’t creative but made money,” she said. “But I was always working weekends on my projects.” She had a cement business for awhile, making free-form counters and sinks, and in 2006 she joined the sales staff at the family business. Getting the commission for the St. Anthony statue was the big break in establishing her professional art career. Rees doesn’t disclose how much she’s paid for a commissioned work, but the process for creating a statue such as St. Anthony or the monument-size Lonsdale piece takes two to three years. It begins with Sculptor, page 14
competing. She began teaching in Russia in her mid-20s, and now uses a blend of the more competitive Russian style and recreational dancing. “I pay attention to Natalia King technique a lot. It’s not just about social dancing and having fun,” she said, adding that she likes to challenge both kids and adults to work harder. King hasn’t had the opportunity to perform because she doesn’t have a dance partner, but doesn’t dismiss the idea of training one in the future. Instead, she has focused on sharing her passion with students. “You see yourself in the students, especially in kids,” she said. Among her students are her sons, ages 8 and 10, and she’s hoping to instill the love of dancing in them as well. Although yoga and pilates are different from ballroom dancing, King said there are many similar aspects. “It’s about how we move to express ourselves,” she said. One of her current roles is teaching yoga classes at the Gig Harbor Family YMCA. She said it’s a way for her to give back, but she also learns a lot in the process. She finds that teaching involves a lot of creativity in trying to figure out how something would work for another person. “All my knowledge, experience and passion have guided me to my unique way of teaching,” she said. Peg Tillery has worked for Washington State University Kitsap County Extension in Bremerton (www.kitsap.wsu.edu) for more than 11 years, most of that time as the horticulture coordinator. She is currently the streams, shorelines and native plants educator, working with volunteers and citizens on projects and education related to local watersheds.
“I really like helping people learn about the marine environment. We have thousands of fascinating creatures here,” she said. Tillery, who has a degree in English and journalism, planned to teach middle and high school students. But after graduating from college, she moved to England due to her husband’s job transfer, and when she returned in 1995, a battle with cancer forced her to focus on her health while working in retail. It wasn’t long before she gravitated to her passion for education and for gardening — she became involved with the Master Gardener program at the extension, and after finishing the program, volunteered as an MG for seven years. “I came from a family of gardeners. My dad grew at least half of the food we ate on a small city block in Bremerton,” she said. “My parents instilled a love of gardening in me.” As a Master Gardener volunteer, she started the youth Peg Tillery garden at Raab Park with Donna Poulsen, and later a community garden with the help of other Master Gardeners. Although she’s on track to retire at the end of July, Tillery plans to continue her involvement with several watershed projects as a volunteer. Although she never got to teach in school, Tillery has enjoyed taking a different path in education. “I really love helping people have these ‘aha’ moments. I love helping people learn because I love to learn,” she said. “I’m so inspired by the people I meet and their willingness to learn and dedication to this place we call home. It’s an honor to me to bring these educational programs to them.”
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February 2013 Kitsap Peninsula Business Journal • KPBJ.com 13
from page 9 development, she returned to Bremerton, where her husband’s family live and own a family business. Her first job at Olympic College was director of the childhood development center. Garguile said she especially enjoyed working with families as well as student parents. She taught for about 12 years, with an administrative post in between. “I loved teaching and the interaction with students, and that’s something I do miss,” she said. However, she has found her passion as an administrator, embracing a “sense of personal mission to try to make things better.” During her tenure, she worked on a national level, serving as the president of the Associate Degree Early Childhood Teacher Association (ACCESS). “That was an incredible growth opportunity for me because I could learn from people from other colleges nationally,” Garguile said. Her work has been recognized with accolades such as the YWCA Woman of Achievement, Jennie May Moyer Administrative Award and the Bremer Exceptional Faculty Award. “I really enjoy working at Olympic College,” she said. “I feel so blessed to work with a wonderful team here.” Barrie Hillman, head of school at West Sound Academy (www.westsoundacademy.org), began her career in education and took a detour to work in the private sector before returning to her first love, teaching. She joined West Sound Academy in 2008 as part-time faculty, moving to full-time in short order, and then accepting the responsibility as head of the middle school in her second year. She was appointed as head of school in 2011, and Barrie Hillman acknowledges that it was somewhat unique to go from full-time teaching into fulltime administration. “They took the risk on me and I took the risk on them,” she said. The leap of faith was similar to how
she returned to education. Hillman, who has a master’s degree in education, taught for several years and then went into the business sector for 15 years, working in various roles including as project manager for environmental projects. But she missed teaching, and as her children became older and her industry was shifting, she saw an opportunity to return to education. The challenge, she said, was convincing someone she could still teach after a long hiatus. “I went for the business manager job at West Sound Academy to get my foot in the door. I walked out with a teaching job,” she said. “They believed in me.” Hillman’s diverse experience — which included being everything from a custodian and librarian to bookkeeper — culminated in the opportunity to run a school. “Everything I had done up to that point had prepared me to take on an administrative role,” she said, adding that being in education is similar to business and environmental consulting. “As a teacher, you have to know your audience, understand each student’s background and interests. It’s the same in business — you have to read people,” she said. While she misses teaching, she takes every opportunity to be in the classroom. “The kids are the reason I adore my job,” she said. And they’re the best part of her job, too. “I never thought I would enjoy spending time with teenagers,” Hillman said. “They’re fascinating people. They have such great energy. It’s fun to figure out what makes them tick.” Natalia King has been teaching ballroom dancing and yoga for 20 years, including 12 years in Gig Harbor. She currently teaches ballroom dancing to children and adults, as well as yoga and pilates at various venues around Gig Harbor. King started ballroom dancing at age 7 in Stavropol, Russia, where she grew up. She says in Russia, ballroom dancing is considered a sport, so she spent much of her time performing and
from page 12 the artist sculpting a maquette — a scale model, usually a foot or so tall, of the eventual statue — that is shown to whoever is commissioning the work for their approval. Then she creates a full-size framework that will be covered with clay. Rees said that step used to require using rebar and Styrofoam, but now she uses 3-D computer technology and a specialized cutting machine to create an armature of foam that is lighter and easier to adjust while she’s sculpting. The scale of the Lonsdale statue, which is one-third larger than life-size and includes a German shepherd that was his constant compaion, presented new challenges for Rees, including creating a set of tools large enough to work on the project. “There’s a complexity of perspective that’s certainly a challenge with a portrait, because the work is going to be three to four feet off the ground,” she said. She worked on it for 10 months before the finished clay statue was ready for its unveiling. Next, the piece will be taken to a Tacoma foundry to be cast in bronze.
“I was basically drawing all the time from when I was 3 years old. I realized that was what made me most happy, when I was creating.” — Sculptor Mardie Rees
Rodika Tollefson photo
At a social event held at Real Carriage Door Co. in Gig Harbor to unveil her latest statue, sculptor Mardie Rees talks about the process of creating her artwork. The 8-foot statue was too large to work on in her art studio, so Rees worked on the project at the door company owned by her family. Installation of the statue at Shawnigan Lake School is planned in time for the school’s Founder’s Day celebration in the fall. In the meantime, Rees has begun working on a maquette for her next potential commission, a project that coincidentally also includes a dog.
It’s a World War II memorial for the Marine Raiders Foundation. The Raiders were an original special forces group, and the foundation president lives in Gig Harbor and has been discussing the project with Rees for a couple years. If the foundation is able to raise funds for it, the
monument of three Marines with a war dog eventually could be displayed at the National Museum of the Marine Corps in Quantico, Va. While being a successful artist obviously requires a unique talent, Rees also credits her family for the support they
provide her. “Definitely my family has a big part in making my work happen,” she said. Her husband, Scott Rees, a production manager at Real Carriage Door Co., designed the granite base for the Lonsdale statue and builds things for his wife’s studio. Her brother does photography and web design work, and Rees said her mother, Beth, “is really great with color, and has a really great eye for things with design.” “Making a business work is having the right people around you,” she added, “because you just can’t do it alone.”
AWOB changes format for monthly business discussions
14 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
It’s a new year and the Alliance of Women Owned Businesses (AWOB) has announced a new format for this month’s meeting presentation – Rotating Roundtable Discussions. This informative and interactive experience provides attendees a variety of topics with one cohesive theme, Need to Know Business Topics.
This special event takes place on Feb. 13 at The Inn at Gig Harbor and begins at 5 p.m. Because of the unique format, attendees are encouraged to arrive early to pick the discussion group of their choice: • What is News? • Conducting Better Meetings • Surviving Taxes
• Beyond Facebook • Effective Networking • Clients You Shouldn’t Have The objective is to provide participants with necessary tools for an informed approach to business success. The approach is to have participants rotate through three of six mini-
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roundtable discussions facilitated by engaged professionals. The takeaways will be new current and emerging ideas on topics of interest useful for business growth and taking it to the next level. AWOB’s monthly meetings feature a guest speaker, or special format event, on topics of interest to female entrepreneurs. Attendees will meet other women business owners, share challenges and experiences, and walk away with information that will take a business to the next level. This event is free to AWOB members and first-time guests, and the fee for all others is $25, payable at the door. Members attend all AWOB events free, and anyone interested can sign up at this meeting. Attendees may bring a door prize to get a spotlight moment to promote their business. Business cards are drawn for door prizes. AWOB Meet Me After Hours, a nohost dinner opportunity, follows this meeting in the restaurant at the Inn at Gig Harbor – offering time for attendees to converse and continue networking in a casual one-to-one setting. For more information: www.allianceofwomenownedbusinesses.com www.facebook.com/allianceofwomenowned businesses.
Award winners at Collective Visions Gallery show announced The winners of over $9,000 in cash and purchase awards in the 2013 CVG Show, a statewide juried art show, were honored at a reception for the artists and event sponsors held Jan. 19 in the Norm Dicks Government Center in downtown Bremerton. The winners in in the various categories were as follows: • Mayor’s Award for Best of Show, $1,500 award: Juan Rodriguez (Bremerton) for “Prophet” • Best of Kitsap Award, $1000: Anna Hoey (Bremerton) for “Boy Toy” 2-Dimensional Arts • First place, $1000 award: Azalea Rees (Port Townsend) for “Silvan in Thread” • Second place, $400 award: Michael Paul Miller (Port Angeles) for “The Migration” • Third place, $250 award: Janie Olsen (Monroe) for “Innocent Thieves” 3-Dimensional Arts • First place, $1,000 award: Steve Parmelee (Poulsbo) for “Life Support” • Second place, $400 award: CJ Peltz (Redmond) for “Agoraphobia” • Third place, $250 award: Diane Haddon (Suquamish) for “wheeeeeee!!” Photographic/Digital Arts • First place, $1,000 award: Stan Raucher (Seattle) for “Chica en el Mercado de Abastos” • Second place, $400 award: Matthew Worden (Port Orchard) for “First and Last Chance” • Third place, $250 award: Jake Clifford (Seattle) for “Indianola Sunset” Kitsap County Arts Board Purchase Prize Awards
• Priscilla Preus (Kingston) for “Going Home” • James Adams (Kingston) for “Moonshadow” • Judy Guttormsen (Poulsbo) for “Power to the People” Voting for the $300 People’s Choice Award started when the show opened and will run through Feb. 21. The complete show of 126 pieces is on exhibit at the Collective Visions Gallery, 331 Pacific Ave. in Bremerton, through Feb. 23. Images of all the award-winning artworks, a list of all participating artists and a complete schedule of show events can found at www.collectivevisions.com. Gallery hours are 10 a.m. to 5 p,m. Tuesdays through Saturdays and 1-5 p.m. on Sundays. Phone: 360-377-8327.
Photos courtesy Collective Visions Gallery
Award-winning artwork at the 2013 CVG Show included a sculpture (right) by Juan Rodriguez of Bremerton, and a photograph (above) by Stan Raucher of Seattle.
Pyrex seminar on tap at museum in Bremerton
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 15
The Pyrex Museum in downtown Bremerton will present a film and seminar Feb. 16 that highlights the history and stories of the classic cookware that dates back to 1915. The museum is at the corner of Fourth Street and Pacific Avenue in Bremerton, next to the Amy Burnett Gallery. Burnett is curator of the museum, which was established in 2008 and has been featured on the Seattle television show Evening Magazine and in tourist magazines. The small museum has doubled in size, and Burnett says Pyrex donation pieces come in almost weekly. Burnett recently finished a new halfhour Pyrex documentary that will be shown at 1 p.m. to start the seminar. After the film, there will be a tour of the museum, which houses more than 1,000 pieces, and a discussion. The two-hour seminar is free, but donations are welcome. There will be a drawing with a piece of Pyrex as the prize, and guests are invited to bring a piece of their own Pyrex to share with the audience. The person with the most unusual piece will also win a prize. For more information, call 360-3733187.
Cruise ship will make stop in Poulsbo on new tour By Tim Kelly, Editor Popular ports of call for cruise ships range from Caribbean hotspots like Jamaica or the Virgin Islands, to Sitka and Glacier Bay on Alaska’s Inside Passage. And starting this spring, that list will include Poulsbo on the Kitsap Peninsula. American Cruise Lines is offering a new eight-day, seven-night tour out of Seattle that will take passengers to the San Juan Islands and the Olympic Peninsula before making a stop to explore the Norwegian culture and history of Poulsbo. Regional tourism officials are excited about seeing the 100-passenger American Spirit sail into Liberty Bay for the first time in April. “It should look quite impressive out there in the harbor,” said Port of Poulsbo manager Kirk Stickels, who said the smaller cruise ship w ill be able to get close to the town’s marina, dropping anchor less than 200 yards off shore. Although he was instrumental in arranging for the cruise to come to Poulsbo, Stickels won’t be around to see the first ship arrive. He’s stepping down at the end of February from his position at the port after eight years and preparing to move to New Zealand.
But he’s pleased that the town will get some exposure fro m being on a cruise itinerary. “I think it goes a long way to kind of putting Poulsbo, which had been somewhat of a hidden secret, it puts us right out on the map,” he said. That assessment is shared by Patty Graf-Hoke, executive director of the Kitsap Peninsula Visitor & Convention Bureau. She sees the development as a boost for the region’s overall tourism because the stop in Poulsbo on this cruise means “K itsap is being positioned alongside the San Juan Islands and Olympic Peninsula as a destination.” And she said for groups like the Poulsbo Historic Downtown Association, the port and the Chamber of Commerce, “This is providing them with an opportunity to really showcase their Scandinavian heritage to national and even international travelers.” An authentic welcome with costumed Vikings is being planned, poss ibly with a traditional Norse vessel on the water. The first tour departs Seattle on April 6, and American Cruise Lines has 15 sailings scheduled for the spring and fall, around the summer season when the American Spirit heads north for Alaskan cruises.
16 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
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American Cruise Lines photo
The 100-passenger cruise ship American Spirit will stop in Poulsbo on a new weeklong tour starting this spring through Puget Sound, the San Juan Islands and the Olympic Peninsula. “We were extending more into the Pacific Northwest in general, and we wanted an itinerary to complement our Alaska tours,” company spokeswoman Britt Rabinovici said. She added that even without a lot of marketing so far, the new cruise already has generated a lot of bookings. The cruise will take passengers, to Anacortes, Friday Harbor in the San Juans, Port Angeles and Port Townsend before a stop in Poulsbo on the next-to-last day of the tour. The ship won’t anchor there overnight, instead returning to Seattle for the last evening of the cruise. Rabinovici said the smaller 100passenger ship offers a more intimate setting for a cruise while still providing amenities passengers expect. “People like the option of a smaller ship versus an oceangoing vessel, because you get really up close to these various ports,” she said. “You can go right into the harbor. “Also, with 100 passengers on board, it doesn’t overwhelm the port of call.” Tourism boosters aren’t worried about being overwhelmed. In fact, they’re hoping the cruise passengers who are introduced to Poulsbo will tell their friends about the new destination they’ve discovered and make plans for return trips. “We’re all looking at ways to enhance our tourism programs here, and hopefully some of these folks will come back,” port Commissioner Steve Swann said. Cruise passengers are the kind of tourists that Poulsbo merchants will welcome.
American Cruise Lines
This map shows the planned schedule for the weeklong tour that American Cruise Lines will begin operating in April. American Cruise Lines has been able to weather the economic downturn and sluggish recovery of the past few years, Rabinovici said, “because our price point is rather high; we cater to a demographic that is affluent.” The company’s website lists prices starting at $3,750 for the seven-night cruise.
LEED-certified architect joins Bainbridge Island firm Besides routine, we have the ability to respond in an emergency. — Caroline Rivers Estimator/Technician
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BC&J Architecture, Planning and Construction Management has hired Greg Hartman, AIA, LEED AP as a member of their design and project administration team. Hartman’s previous experience as a project architect and manager includes work in multi-family residential, planned communities, hospitality, K-12 schools and community centers. He will focus on creatively integrating sustainable materials and environmental practices at BC&J Architecture, as well as coordinating new design work for The Perfect Little House Co. Both companies are owned by architect Peter Brachvogel, AIA, and Stella Carosso of Bainbridge Island. "Greg's abilities to listen to client needs, craft timely, sustainable design solutions and keep current with technological advancements will be valuable to BC&J Architecture and our community," Brachvogel said. “We are very excited that Greg has joined our firm and by the opportunities that lie ahead for both BC&J Architecture and The Perfect Little House Company with his involvement.” Hartman lives on Bainbridge Island with his wife and their two young children. He holds a graduate degree in architecture from the University of Oregon and an undergraduate degree in art and architecture from Miami University, Ohio.
Port commissioners reject both private bids to run marina Bob Wise of Bainbridge Island, a partner in Marsh Andersen who prepared the company's proposal, offered a similar assessment, although he disputed the consultant's conclusion that his proposal would shift payroll costs back to the port. The consultant also had noted that the Marsh Andersen proposal showed a significant cost reduction by eliminating a $131,000 allocation in the port's budget for administration costs associated with the marina. Wise wasn't at the Jan. 8 meeting, but when contacted later he said his proposal would have paid for all staff hours worked at
the Bremerton marina, which is essentially the same way the port allocates costs. "If they don’t have enough work for those people, then that points to a bigger problem, which is that they have too many staff," Wise said. "I never said I would reduce the hours they worked at the Bremerton Marina." So the port is back to square one in trying to solve the marina's intractable financial woes. "The RFP process is over, but obviously we have to do something," CEO Tim Thomson said. He was prepared to present a staff-
developed marina proposal at the Jan. 8 meeting, but the commissioners opted only to make a decision on the two plans submitted by the RFP deadline. However, Thomson said after the meeting that he and port staff will rework their proposal over the next few weeks and take a broader look at operations beyond just the marina, before bringing the plan for port commissioners to consider. "It really will be prudent for us to revisit the whole scope of Port of Bremerton operations," including labor costs, Thomson said.
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 17
By Tim Kelly, Editor No positive news came out of the recent meeting when Port of Bremerton commissioners heard a consultant’s evaluation of the two responses submitted to a Request for Proposals for a private operator to manage the Bremerton Marina. If commissioners were hopeful they’d get a proposal that could accomplish what the port’s been unable to do — attract more boaters to boost the occupancy rate above roughly one-third, and stem operating losses that run near $400,000 a year at the $34 million public marina opened in 2008 — no such plan surfaced. In a nutshell, what consultant Paul Sorensen of BST Associates in Kenmore told port officials at the Jan. 8 meeting was: The marina’s moorage rates and operating costs are high, revenues are low, and it will be tough to fill more slips because of lean times in the recreational boating industry. Sorenson also said he wouldn't recommend that commissioners accept either of the two private management proposals, because neither would improve the financial situation at the unprofitable marina. The three commissioners later voted to reject both proposals. "This is just not a marina that’s performing well," Sorenson said, stating the obvious. "It’s very important for you to look at what your options are, and consider all the options that are available." But nobody at the port meeting had any viable options to recommend for how the marina could break even, and possibly become profitable in the future. Of the two proposals submitted from private companies, he said the one from Dallas-based Marinas International would slightly increase the Bremerton Marina's operating losses, based on one-year projections the company provided. The other proposal from Marsh Andersen LLC included a revenue-sharing plan that would give the port 20 percent of gross annual revenues over $750,000 — a figure significantly higher than past revenue levels or 2013 projections — but Sorenson said the plan actually would shift some costs back onto the port, which would have to cover those costs through its other business lines. Labor costs at the marina were a key issue discussed at the meeting. When Sorenson mentioned looking at how to possibly reduce "allocated costs" for unionized port workers who split their time between the Bremerton and Port Orchard marinas and other operations as needed, he was stopped by the port's chief financial officer, Becky Swanson. "If those costs need to be 'reallocated,' then you will simply increase the loss of the Port Orchard Marina or the other uncovered portions of the non-revenuegenerating marina funds. So the only way to right-size that is to reduce your labor pool," Swanson said. "If we reallocate then we’re simply shifting costs, and that’s not going to improve the bottom line for the port in any fashion."
18 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
Anti-discrimination laws protect pregnant workers By Julie Tappero Yahoo’s hiring of CEO Marissa Mayer created a lot of buzz in the business community. It wasn’t just due to the fact that a woman was hired to run one of the largest and best known tech companies in the world, though that in and of itself was a rarity. Even more incredible than that fact was the fact that Marissa Mayer is pregnant, and Yahoo knew that when they hired her. Evolved thinking? A sign of better times for women in the workplace? One might think so. But if that’s the case, why has the Equal Employment Opportunity Commission (EEOC) put an increased emphasis on the enforcement of pregnancy anti-discrimination laws? There have been some flagrant and even outrageous cases recently involving pregnant women and employment. Here are just a couple illustrative examples: Sandbar Mexican Grill in Arizona had a policy that prevented pregnant servers from working on Sundays. Why? Allegedly because they believed that the men who came to enjoy a Sunday football game would be unhappy if served by pregnant women. The EEOC ordered the restaurant to pay a $15,000 fine for denying these lucrative shifts to pregnant employees. A Comfort Inn franchise was sued by the EEOC for their policy of firing pregnant housekeepers due to their belief that the work would cause potential harm to the development of the baby. Brandi Cochran, one of the models on The Price is Right, was awarded $776,944 when she sued after the show refused to return her to her job after she took maternity leave. Lastly, there’s the case of Christina Spigarelli, an employee at Target, who alleges her supervisor told her that her “decision-making was being affected” by her pregnancy hormones causing
her to not think right, resulting in her termination. In 2011, almost 5,800 complaints of pregnancy discrimination were filed with the EEOC, resulting in $17.2 million in fines. Of these types of EEOC cases in the past 10 years, almost 75 percent of them relate to wrongful termination. Understanding the laws is paramount to protecting your business. The statistics show that working mothers are a huge presence in our workforce: 64 percent of women with children under the age of 6 participate in the workforce. And almost 56 percent of women with infants are employed. In 1978, Congress passed the Pregnancy Discrimination Act, which forbids employment discrimination based on pregnancy. This includes acts relating to hiring, firing, pay, job assignments, promotions, layoffs, training and fringe benefits. This means businesses cannot refuse to hire someone because they are pregnant, or because of a concern that they might become pregnant. A pregnant employee has the same rights to be considered for promotion or new job assignments. And they cannot be terminated if a business feels that a pregnancy might cause an issue in their workplace. The EEOC has identified pregnancy discrimination as an emerging issue. In its Strategic Enforcement Plan for 2012-2016, they
say that many pregnant women are forced onto unpaid leave after they are denied the accommodations “routinely provided to similarly situated employees.” The Americans with Disability Act (ADA) excludes ordinary pregnancy from the list of conditions that must be accommodated. However, recent steps by the EEOC indicate that they are ready to protect employees who have certain common pregnancy-related conditions, such as anemia, sciatica and gestational diabetes. Many employers provide light duty work to employees who are temporarily disabled by on-the-job injuries, or even if an employee needs temporary accommodations following an accident, surgery, or illness. If your business is willing to take that smart, commonsense approach for any other employee, the EEOC expects you to do the same for a pregnant woman with work restrictions. And if you would hold a job open for another employee who was temporarily unable to work, you should do the same for a pregnant worker. With this increased focus on pregnancy, Congress has also stepped into the conversation. The Pregnant Workers Fairness Act was introduced into both the House and the Senate in 2012. This legislation would require employers to make reasonable accommodations based on pregnancy, childbirth or related medical conditions unless it was a hardship for
the business. It would also make it illegal to force a pregnant woman to accept an accommodation that she didn’t want. A review of EEOC complaints on this issue shows that some businesses fail to provide simple accommodations that assist pregnant workers to stay on the job longer. These could include providing stools to workers who stand most of the day, allowing more frequent bathroom breaks, giving them the flexibility for doctor appointments, and providing access to water sources for hydration. Marissa Mayer has become a recognizable face for pregnant employees in the workplace. Yahoo certainly set an outstanding example for businesses. Hiring, retaining, promoting and supporting pregnant workers is not just the law, but as Yahoo has shown us, it’s just good business sense as well. (Editor's Note: Julie Tappero is president and owner of West Sound Workforce, a professional staffing and recruiting company based in Poulsbo and Gig Harbor. She can be reached at email@example.com. View her LinkedIn profile at www.linkedin.com/in/jtappero. The recommendations and opinions provided are based on general human resource management fundamentals, practices and principles, and are not legal opinions, advice, or guaranteed outcomes. Consult with your legal counsel when addressing legal concerns related to human resource issues and legal contracts.)
Leadership Kitsap Foundation accepting applications for Class of 2014 Leadership Kitsap is taking applications for the class of 2014. The application deadline is April 15, 2013, for this intensive 10-month training program. If you are interested in becoming more knowledgeable about the Kitsap area and learning how to make a positive impact in civic issues affecting your community, Leadership Kitsap is for you. The mission of Leadership Kitsap is to educate, prepare and connect a new group of committed leaders for
community involvement in Kitsap County. The program’s vision is to create a community where there is a diverse network of effective leaders educated in public policy issues and committed to serving as stewards. Accordingly, its programs are designed to help participants acquire not only a fuller sense of the wide array of critical issues affecting the Kitsap community, but also the skills necessary to motivate and engage others in collaborative efforts to resolve them. An
exciting piece of the curriculum is participating in a community project. To find out more information about this 10-month community leadership program or to apply, please visit www.leadershipkitsap.org. Applications also may be picked up at the Leadership Kitsap office located inside the United Way office at 647 Fourth St. in Bremerton. For g eneral questions please contact executive director Kathy Nelson at 360-782-1058 or firstname.lastname@example.org.
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February 2013 Edition
Events And Activities VISIT the NEW HBA Website! www.kitsaphba.com Online Registrations! Tuesday, February 5, 9 a.m. Affordable Health Care Act Employer Information HBA Tuesday, February 5, Noon Spring Home Show Cmt. Mtg. Wednesday, February 6, 7:30 a.m. HBA Past President’s Breakfast RSVP to HBA Wednesday, February 6, 4 p.m. Kitsap HBA Remodelers Council Thursday, February 7, 7:30 a.m. Developers Council Mtg. Thursday, February 14 by 5 p.m. Peninsula Home & Garden Payments & Paperwork DUE Monday, February 18, 4 p.m. Auction Committee Mtg. Location TBD Tuesday, February 19, Noon Spring Home Show Cmt. Mtg. Wednesday, February 20, 8 a.m. HBA Board Orientation Wednesday, February 20, 10 a.m. HBA Action Planning Mon. - Wed., February 25 -27 BIAW Board Meetings Olympia Thursday, February 28 Executive Cmt. Mtg., 2 p.m. Gov. Aff. Cmt. Mtg., 2:30 p.m. Board of Directors Mtg., 3:30 p.m. VISIT the NEW HBA Website! www.kitsaphba.com Online Event Registrations!
2013 Officers and Directors Installed
Early in January, the Home Builders Association held its annual Installation and Awards Banquet. This event was again a “who’s who” of Kitsap with companies like Tim Ryan Construction, FPH Construction, Land Title, Pacific Northwest Title, and Liberty Bank all in attendance. We were honored to have several elected officials including all three County Commissions (Brown, Garrido, and Gelder), Mayor Patty Lent of Bremerton, City of Bremerton Council Members Wheeler and Dawgs, Representative Jan Angel, and Congressman Derek Kilmer. Congressman Kilmer spoke briefly to the packed ballroom and thanked the industry for its support of him recently as well as over the years. He also remarked on his committee assignments and his eagerness to roll up his sleeves and get to work. The event is to install our 2013 Officers and Directors as well as to install and welcome our President. The HBA 2013 President is Robert Baglio, BJC Group and he was installed by 2008 President, Jeff Coombe, JCM Property Management. Just before Robert was installed as President, Wayne Keffer did one final Presidential act and that was to award Kitsap DCD Director, Larry Keeton with the Public Official of the Year Award. For his years of hard work during a very difficult economic time, Larry was recognized for several achievements including the implementation of Over the Counter Permitting in 2012 and the implementation of LEAN Management techniques in the department. As is true each year, the HBA also awarded the Associate Member of the Year, Remodeler Member of the Year and the Builder Member of the Year. These awards are given to the member in each category that has consistently worked for the betterment of the Association and this industry. Nominees for the 2012 Associate Member of the Year were: Carrie Tyler-Bolz, 1st Choice Housekeeping; Brent Marmon, Pacific Northwest Title; and, Joe Hurtt, Kingston Lumber. The 2012 recipient of the Associate Member of the Year was: Brent Marmon of Pacific Northwest Title. The nominees for the 2012 Remodeler Member of the Year were: Stephen F Kafer, SF Kafer Construction; Walter Galitzki, Sun Path Custom Construction; David Godbolt, Sentinel Construction & Consulting; Molly McCabe, A Kitchen That Works; and, Wayne R Keffer, WRK Construction. The winner of the 2012 Remodeler Member of the Year was: David Godbolt, Sentinel Construction & Consulting. For the 2012 Builder Member of the Year all the nominations for the same recipient. The winner of the 2012 Builder Member of the Year was: Robert Baglio, BJC Group. Congratulations to all our nominees and our winners. The HBA is better and stronger because of the contributions of our volunteers and those that receive nominations have gone the extra mile. Thank you all! The HBA continues to be strong and we hope to increase our membership during 2013. The HBA is often the voice of the consumer since many out there aren’t aware of the way policy decisions affect them as homeowners today or in the future. The industry and the public are served well by the high caliber membership we have and the professionalism of our leadership. For a complete list of our Officers, Directors, and Committee Chairs for 2013, please view the right margin on this page of the newsletter.
President . . . . . . . . . . . . . . . . . . . . Robert Baglio First Vice President . . . . . . Judy Mentor Eagleson Second Vice President . . . . . . . . . . . . . . John Leage Treasurer . . . . . . . . . . . . . . Randy Biegenwald Secretary . . . . . . . . . . . . . . Dee Coppola, CGA Immediate Past Pres. . . . Wayne Keffer, CGR, CAPS
2013 BUILDER & ASSOC. DIRECTORS Karla Cook • Judy Granlee-Gates Joe Hurtt • David Godbolt, CAPS, CGP, CGB, CGR Berni Kenworthy • Miriam Villiard Kevin Ryan • Leslie Peterson, CGA Shawnee Spencer • Jim Way, CGB
2013 STATE DIRECTORS Robert Baglio • Kevin Hancock Lary Coppola • Judy Mentor Eagleson Justin Ingalls, RCS • Wayne Keffer, CGR, CAPS John Leage • Ron Perkerewicz
2013 ALTERNATE STATE DIRECTOR John Armstrong • Walter Galitzki Brent Marmon • Greg Livdahl • Jim Heins
LIFE STATE DIRECTORS Bill Parnell
2013 NATIONAL DIRECTORS Robert Baglio • John Leage
2013 ALTERNATE NATNL. DIRECTORS Michael Brown • Jeff Coombe
LIFE DIRECTORS Rick Courson • Jim Smalley • Bob Helm Bill Parnell • Larry Ward John Schufreider • Dori Shobert
2013 COUNCIL & CHAIRS Build a Better Christmas. . . Randy Biegenwald Built Green . . . . . . . . . . . . . . . . Walter Galitzki By Laws & Nominations . . Wayne Keffer, CGR, CAPS Developers Council. . . . . . . . . Berni Kenworthy Golf Classic . . . . . . . . . . . . . Shawnee Spencer Govt. Affairs Cmte . . . Judy Mentor Eagleson Remodelers Ccl Chair . . . . . . . Walter Galitzki Membership . . . . . . . . . . . . . . . . . . John Leage Parade of Homes . . . . . . . . . . . . . Dee Coppola Peninsula H&G Expo. . . . . . . . . . Ardi Villiard Peninsula H&R Expo . . . . . . . . . Dee Coppola
HBA STAFF Executive Vice President . . . Teresa Osinski, CGP email@example.com Events and Administrative Assistant . . . Katie Revis firstname.lastname@example.org Administrative Coordinator. . . Kathleen Brosnan info@KitsapHBA.com
Home Builders Association of Kitsap County 5251 Auto Center Way, Bremerton, WA 98312 360-479-5778 • 800-200-5778 FAX 360-479-0313 www.KitsapHBA.com
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February 2013 Edition
The State of the Construction Industry
As we head into 2013, I thought it would be interesting to look at the construction industry to see where The BJC Group we are at, what the national averages are for the housing industry, what 2013 President material prices are doing, and how the construction industry affects our State’s economy. So I did a little research and found the following data on the National Association of Home Builders (NAHB) website. Housing Starts Both single family and multi-family production resulted in nationwide housing starts rising 12.1% (seasonally adjusted annual rate). This is the highest level of new home production since June 2008. • In October new homes sales were up 17% from a year ago. • Existing home sales were up 9.6% from a year ago. Material Prices Cost per 1,000 board foot, random lengths, composite price • Jan 2013 - $400/1,000 board foot. - This is the most expensive board foot price since September of 2005. The lowest price was January of 2009 which was $190/1,000 board foot • Gypsum drywall is 13.8% higher than the first of last year. - Softwood lumber has been volatile and in recent months and is averaging 10% above last year’s totals - Prices for OSB continue to climb and now stand at 52.1% above levels beginning at the first of the year. So what does the construction industry mean to our State and local economy? I found a study performed by the University of Washington on the Association of General Contractors (AGC) website. It had some interesting statistics on the impact the construction industry has on our State economy. • Slightly more than 196,600 workers are employed by construction services, contractors, and material suppliers in the State (private sector only) - This is 8.6% of the State’s private sector workforce - Total payroll in excess of $10.4 billion. This is 9.5% of the total state non-government payroll • Construction sales were more than $23.3 billion in 2010 - This equals 12.7% of all sales in the State - This figure is down 36.3% from the 2007. This is the largest industry sector decline in the State. • For each $1.00 invested in new construction - The State’s economy generates an additional $1.97 in economic activity throughout the State - Household incomes increase by 64 cents. This is all households, not just those with someone employed in the construction industry • For each $1 million invested in construction an additional 15.95 jobs are created across the economy. Construction Industry’s contribution to Government revenues • Construction industry paid over $1.5 billion to the state in Sales and Business & Occupation taxes. This equals 16.3% of all payments to the State. These figures do not include local taxes. • State Sales Tax Payments - Contractors, construction suppliers, and service providers paid almost $1.3 billion in state sales tax. This equates to 19.5% of total state sales tax payments. How does this compare to other industries? - Auto dealers and gas stations - 10.9% - Restaurants & bars - 9.1% - Food stores - 3.4% - Manufacturing - 2.1% - Agriculture, forestry, and fishing - 0.2% Additional local construction sales taxes paid were more than $500 million. Only the broad category of retail sales businesses pays more in sales tax than the construction industry. State Business & Occupation Tax (B&O Tax) Contractors, construction suppliers, and service providers paid almost $26.3 million in state B&O taxes (local B&O taxes are not included). How does this compare to other industries? • Auto dealers and gas stations - 3.9% • Restaurants & bars - 1.8% • Food stores - 2.2% • Manufacturing - 12.9% • Agriculture, forestry, and fishing - 0.4% So it appears the construction industry is starting to recover. The industry is once again contributing to the growth of our economy. The recovery is a slow process and we have a long way to go, but we are seeing positive signs. There are also factors out there that can limit and slow the recovery. These include difficult lending conditions, increases in material costs, increased regulatory requirements, and uncertainty regarding government fiscal policies. These factors must be taken into consideration in order to sustain the recovery. Let’s hope for the best.
What is the Play or Pay Penalty in the Federal Affordable Health Care Act? As members of the HBA you have access to information about CGP how the Federal act will affect your Executive bottom line. Access to this type of Vice President information is a benefit of membership. Along those lines, you are encouraged to contact the BIAW and register for the Affordable Health Care Act Information Session we will be holding here at the HBA in Bremerton on February 5, 2013 at 9 a.m. One of the first issues employers will face is the “Play or Pay” penalty which begins in 2014. This element of the Act states that employers (employing 50 or more full-time equivalent employees) will be subject to a penalty if one or more full-time employees receives a tax credit or costsharing reduction (otherwise known as a “Subsidy”) and purchases coverage through the state based exchanges (providers approved by the State) due to one of the following conditions: 1. The employer doesn’t offer coverage, or 2. The coverage offered by the employer either does not provide minimum value or is unaffordable to the employee. If an employer fails to offer coverage; a $2,000 annual penalty (calculated monthly at $166.67) will be assessed for every full time employee purchasing subsidized coverage through the exchange — minus the first 30 employees. PLEASE NOTE: If an employer offers coverage but the coverage is deemed “unaffordable” or does not meet minimum essential coverage; a $3,000 per employee (calculated monthly at $250) penalty will be assessed to the company for each employee that purchases subsidized coverage through the exchange. This and other important information about the Affordable Health Care Act will be distributed to HBA member companies over the next several weeks and months. Be sure to call the HBA or the BIAW if you have any questions or need assistance.
February 2013 Edition
As I write this all eyes are on Olympia and the Republican take over of the Senate. Typically the first week of a new legislative cycle is loaded with quiet procedural matters, Judy Mentor Eagleson Mentor Company speeches, and a few background briefings in front 2013 Chair of committees. Committee assignments and offices would have been established long before the session started. But not this year. This year, the unthinkable has happened and two State Senators dared to be different and crossed the aisle to join the Republicans in creating a new Majority Coalition Caucus. On paper, the Democrats have a 26 to 23 majority. But with the coalition the scales are tipped with 25 votes going to the Republicans. Immediately after the election, the Senate engaged in a spirited procedural debate that, in the end, put a new Majority Coalition Caucus in control. This coalition of 23 Republicans and 2 Democrats elected Senator Rodney Tom (D-Medina) as the Majority Leader, Senator Tim Sheldon (D-Shelton) as President Pro-Tem and Senator Mark Schoesler (R-Ritzville) as the Senate Republican Caucus Leader. This new majority coalition then appointed Republican members as Chairs of six key committees: Ways and Means, Commerce, Labor, Health Care, Energy and K-12 Education. Six committees will be chaired by Democrats, and the remaining three committees, including the important Transportation Committee, will work with co-chairs from each party. Committees will no longer be stacked — there will be no more than one member difference between the two parties on each committee. What were they thinking? Senator Tom, a real estate agent and former Republican considers himself fiscally conservative but “very socially liberal.” He changed parties six years ago because of the Republican drift to the right on social issues. Senator Sheldon, who has parts of Kitsap County in his district, has a reputation of being a maverick. He has served as a Democrat for 22 years in Washington State - 4 terms in the House and is now in his 4th term in the Senate. Senator Sheldon has been known to cross the aisle to get legislation passed. He has been called a “Republican in Sheep’s Clothing.” In the new coalition, conservative social legislation will be off the table. Instead there will be a relentless focus on what Senator Tom called, the “bread and butter” of the budget, job creation and education financing. Each of the 25 members of the Majority Coalition Caucus has committed in writing to five principles. To promote job growth and a vibrant economy; craft a sustainable state budget by living within our means; provide for a world-class education system through reforms and enhancements; govern collaboratively to protect our most vulnerable while prioritizing the needs of middle-class Washingtonians; and set priorities for state government and hold its agencies accountable. According to the coalition leaders, citizens across our state and our nation are tired of the partisan gridlock. But will it work? We had a glimpse of this new coalition late in the 2012 session when Republican and Democrat Senators formed a “philosophical majority” and accomplished what the Senators political majority could not — they passed a budget! So while some are saying Senators Tom and Sheldon have created political suicide — many more are applauding their efforts to create a path around partisan dysfunction. Would this kind of thinking ever be considered in Washington D.C.? All eyes are on Olympia.
Government Affairs Committee
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O T ff In he eri Se Be ng rv st ic e
The Biggest & Best Home Show West of Seattle!® March 15, 16, & 17, 2013 — Kitsap Fairgrounds and Event Center • Three buildings! • Vendors inside and out! • Landscape displays! • Great Seminars! • Master Gardeners on site! • Habitat for Humanity’s Builder Surplus SALE! • Regional Celebrity Ciscoe Morris The professional Expo staff at the Home Builders Association continue to work to make our Expo the best choice for vendors and for the public. We will continue to have low admission rates and free parking again this year, plus interesting seminars and displays to draw folks in! We are always looking for new and interesting vendors. Our booths are competitively priced and we invest in significant Expo promotion throughout the Kitsap region. For as little as $350 you can have a presence at this well established, annual event. The Peninsula Home & Garden Expo is proudly brought to you by the Home Builders Association of Kitsap County, Kitsap Sun, Wave Broadband, the Kitsap Credit Union, and Puget Sound Energy. Mark your calendar for March 15, 16, and 17, 2013 for the Biggest and Best Home Show West of Seattle®. Visit the HBA website for details at www.kitsaphba.com and beginning in February monitor the details at www.kitsaphbahomeshow.com where the attractions, seminars, and vendors will be listed.
NAHB Member Advantage Program is For You! All members or potential members should check out the NAHB Member Advantage program and learn about all the member discounts. If a new GM vehicle is in your future, or your company’s future, be sure to check out the GM Special Offer. Do you buy from Office Depot? Do you have a credit card with Lowes? There are discounts with these and many more companies just for members! Do you use Dell computers? Recently, Karla Cook of Cook Construction picked and priced-out a new Dell computer. She saw an HBA ad for the Dell discount and looked into it. She saved over $400.00 on just that one purchase. That almost covers her HBA dues investment for the year! Check out the NAHB Member Advantage at www.nahb.org/ma for all the latest offers!
Hand-Selected Granite from Brazil Directly Imported for You! After our trip to Brazil, containers of granite are arriving at our showroom in Poulsbo. Discover a vast array of tile selections, slab granite and quartz, stone samples and custom countertops.
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February 2013 Edition
Welcome New Members Daves Septic Service Dave Ghylin PO Box 826, Seabeck, WA 98380 (360) 830-9699 email@example.com And the SPIKE goes to...
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Thank You Renewing Members 43 Years Land Title Company Over 30 Years Custom Hearth - 33 years Novak Gutters Over 20 Years Fairbank Construction Over 10 Year West Sound Electric Inc
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Please UPDATE YOUR HBA Information! With our new website there are added benefits to being a member and we want you to get all the bang for your buck! Please visit the “Find a Member” tab on the new HBA website. View your listing by searching within categories or by your company’s name. You can have a brief company description, your website linked, links to your social media accounts as well as a company logo and tag line! Please send us all the info so your listing can make an impact! 360-479-5778.
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Renovation gives all-new look to Silverdale lounge The BJC Group, Inc. recently completed the renovation of the lounge at All Star Lanes & Casino in Silverdale. The lounge, now called Ozzie’s, was totally redone and an outdoor sitting area was created. The lounge had not been renovated for quite some time. It was a dark space with no windows and antiquated 80’slooking wood paneling. The renovation focused on creating an open, airy feel with larger spaces and lots of natural light. To achieve this feel, the suspended ceiling was removed to generate the additional volume. New storefront doors Before-and-after photos show the renovation of the lounge at All Star Lanes & Casino in Silverdale by BJC Group, Inc. The photo at right shows the lounge before and windows were cut into the it was remodeled, and the photo at left shows the new look that brings in more natural light and creates a more open feel at the lounge, which was renamed Ozzie’s. exterior concrete block walls to bring in natural light and created outdoor sitting area as well as from surrounding the fireplace, stained concrete Ozzie’s, which showcase local musicians on contribute to a much larger open feel to the couches inside the lounge. floors, contemporary lighting, and stamped the weekends. space. New finishes include the addition of concrete floors at the outdoor sitting area. For more information, contact Robert An indoor-outdoor gas fireplace also wall tile with accent band, dry stackstone The newly renovated space provides a Baglio at (360) 895-0896 or was incorporated into the design. The veneer on the inside and outside welcoming, warm, contemporary feel for firstname.lastname@example.org. fireplace can be enjoyed from the newly
TRC completes Island Cool Yogurt project
Partners In Success Look Who’s Joined Our Team! Mike Mjelde (Senior Title Officer) and Kathy Brown, (Escrow Support), have joined our Pacific Northwest Title team! Mike and Kathy each bring with them over 30+ years of experience in the Title and Escrow industry. Their extreme knowledge and talent in our business makes them excellent additions to our team and we couldn’t be happier that they’re here. Please join us in welcoming them to our PNWT family!
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February 2013 Kitsap Peninsula Business Journal • KPBJ.com 23
Tim Ryan Construction, Inc. recently completed a tenant improvement project at Island Cool Yogurt for Blue Heron Operations LLC. The 1,487square-foot shop is at 4642 Lynwood Center Road NE, Suite 130, on Bainbridge Island. The project architect was Case Design Group from Portland. For more information, contact Dan Ryan at (360) 779-7667 or visit www.TimRyanConstruction.com.
Kitchen Designer on Bainbridge Island gets Best Of Houzz award A Kitchen That Works of Bainbridge Island has been awarded Best Of Houzz for Customer Satisfaction 2013 by Houzz, a leading online platform for residential remodeling and design. The shop, founded in 2002 by designer Molly McCabe, was chosen by the monthly users that comprise the Houzz community. The Best Of Houzz award is given in two categories: Customer Satisfaction and Design. Customer Satisfaction awards are based on homeowner members who rated their experience working with remodeling
professionals in 12 categories ranging from architects and interior designers. Design award winners’ work was the most popular among the community of monthly users, also known as Molly McCabe “Houzzers,” who saved more than 124 million professional images of home interiors and exteriors to their personal ideabooks via www.houzz.com or their iPad/iPhone and Android apps. With Houzz, homeowners can identify not only top-rated professionals like A Kitchen That Works, but also those whose work matches their own aspirations for
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24 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
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their home. Homeowners can also evaluate professionals by contacting them directly on the Houzz platform, asking questions about their work and evaluating their responses to questions from others in the online community. Over the past 10 years, McCabe’s business has grown into a full-service residential design-build firm specializing in kitchens and baths.
Keyport fire services company part of Ex-Im Bank program in Nigeria The board of the Export-Import Bank of the United States (Ex-Im Bank) has authorized a $15.7 million direct loan to the state government of Lagos, Nigeria, to underwrite the purchase of 32 American firefighting vehicles manufactured by W.S. Darley & Co. of Itasca, Ill. Keyport-based Targhee Fire Services will be the primary subcontractor to provide Edward Wright emergency services training and organizational and leadership development for the program for an anticipated time period of five years. The loan, part of the U.S. administration’s “Doing Business in Africa Campaign,” will support approximately 100 U.S. jobs, according to bank estimates derived from Department of Commerce and Department of Labor data and
methodology. Additionally, 65 percent of the financing is expected to support American small businesses. “This transaction reflects our continued commitment to increasing exports to subSaharan Africa while supporting American small-business jobs,” said Ex-Im Bank chairman and president Fred P. Hochberg. “Additionally, the financing, which targets one of our nine key markets, ensures the government of Lagos can respond efficiently and effectively to emergency situations.” The state of Lagos, which is home to Nigeria’s commercial center and largest city of the same name, plans to upgrade its fleet of firefighting vehicles. The governor of Lagos has declared that the expansion and reequipping of the fire service is an urgent matter of state security. The state fire service provides emergency services to more than 15 million people. Targhee president and CEO Edward A. Wright, who is also a firefighter, visited Lagos state officials and Lagos State Fire Services officers in May 2012, at the invitation of Darley, and completed an initial report of recommendations in November. He also met with Ex-Im Bank officials. He is returning to Lagos in February to present his report to the governor and the director of state fire services, and anticipates that the training will be conducted both at the new training center under construction in Lagos, at the Darley factory and at Bates Technical College in Tacoma. “This is a historic project for Africa, as it not only includes U.S. fire apparatus and equipment but the creation of new training, maintenance and leadership paradigms,” Wright said. “When completed, the Lagos Fire Safety Initiative will provide emergency services — structured around international fire services standards and the U.S. Homeland Security National Incident Management System — in all 58 administrative districts.”
Mosquito Fleet Winery hosts 2010 vintage release parties Mosquito Fleet Winery in Belfair will host a 2010 vintage release party on Feb. 910. This is the second vintage release for the winery, which has been in operation for four years. The party will include live music and food pairings, and the winery has hired chef Dustin Joseph of the Art House Café to create food pairings for each of the six wines. In addition, Mosquito Fleet contracted with Oh Chocolates of Mercer Island to create truffles using the winery’s own portstyle dessert wine. There will be a different band playing each day, and the winery at 21 NE Old Belfair Highway will be open from 11 a.m. to 5 p.m. both days. The cost is $10 per person, waived with the purchase of a bottle of wine. The winery, owned by Jacy Griffin and Brian Peterson, is releasing only 1,000 cases of 2010 wine and some varietals are extremely limited.
Port Orchard council to study switching to city manager At the study session, all the other council members supported the idea of studying a potential change to the councilmanager form of government. They plan to ask a representative from either the Association of Washington Cities or the Municipal Research Services Council of Washington to take part in the council's Feb. 19 study session when they will discuss the idea further. Also, John Clauson, Jerry Childs and Putaansuu agreed to contact officials in cities such as Bainbridge Island, Gig Harbor and Port Townsend that switched to a council-city manager form of government. Putaansuu acknowledged the costs associated with a potential switch, since hiring a city manager would require paying a higher salary than what the mayor is paid. But he said "I believe it would be more efficient, and could save us money by not making mistakes." Until four years ago, the Port Orchard mayor's job was a part-time position. The City Council approved making the position full-time and raising the mayor's salary from $19,738 to $62,169 at the end of 2008, after then-Mayor Lary Coppola had been in office for a year. Although most of the people who spoke at public hearings on the full-time mayor proposal were supportive of the change, Coppola's political opponents used the issue against him in his 2011 re-election campaign, which ended with Matthes winning election by five votes. One of the positives Putaansuu sees in switching to a city manager is "taking the politics out of the business side of City Hall." He also said it would be better if competent city staff didn't have to worry about keeping their jobs every time a new mayor is elected. "It seems every mayor election cycle we have turnover in staff whether we need it or
not," Putaansuu said in the statement he issued. He added that the city has "a group of professional and dedicated people ... and I think it's wrong that any one person can fire staff for political or maybe personal bias." Matthes, who had little to say during the council's discussion of a possible change in city government, did not respond to an email from the Kitsap Peninsula Business Journal requesting comment. Putaansuu seemed to anticipate that some people might respond to his proposal by claiming he or the council is looking for a way to bring Coppola, who is owner and publisher of the Business Journal, back into city government. "This isn't about bringing Lary Coppola back to manage the city," his statement said. "It's about bringing in credentialed professional management to the City of Port Orchard." To put the city manager idea to a public vote, the council would have to pass a resolution to place the measure on the
November ballot at least 6 months before the election. Council members also discussed revisiting the possible reclassification of Port Orchard to "code city" status, a change that's already been made by the majority of Washington cities that meet the state's criteria for doing so. The City Council passed a resolution to change to a code city in 2011, but it was prevented from taking effect by a petition drive for a public vote led by the couple who managed Matthes' mayoral campaign. Because they missed a filing deadline for the November 2011 ballot, their petition would have required voting on the issue in a special election that would have cost the city an estimated $20,000 or more. So rather than incur the election cost, the council rescinded its resolution but said the issue could be reconsidered in the future. At the January study session, council members discussed possibly putting the code city issue and the city manager proposal on the November 2013 ballot.
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Poulsbo bookstore hosts Literary Trivia event The Anderson Parkway waterfront parking lot in Poulsbo will be repaved in February, which will close parts of the lot during the month and limit the parking downtown, potentially diminishing customer traffic on Front Street. To help draw people downtown to local shops and restaurants during this time, Liberty Bay Books will host a Literary Trivia event with Trivia Time Live, and is encouraging teams to carpool to the event. It will be at That's A Some Italian restaurant from 1-3 p.m. on Feb. 10. Tickets for the event are $10 per team (up to six players), with all proceeds with going to Kitsap County Literacy. Interested participants should call 360-779-5909 or stop by Liberty Bay Books, 18881 Front St., to register and reserve a spot for their team.
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By Tim Kelly, Editor The City Council has decided to explore changing Port Orchard's form of government to have a professional city manager rather than an elected mayor as the city's chief administrative officer. The city manager in such a system would not be an elected official. The City Council would hire the manager and he or she would oversee operations of all city departments and report to the council. There would still be a mayor, but City Council members would choose one of themselves to fill that ceremonial role on a rotating two-year basis. Also, if such a change was made, all seven council positions would be up for election within 90 days of when the Rob Putaansuu change takes effect. Councilman Rob Putaansuu brought the idea up for discussion at the council's work study session on Jan. 15. "We've grown since I've been on the City Council from 8,000 to 12,000 people in the last few years, and I think it's time for us to look at professional management in the form of a city manager," he said. The suggestion comes after Mayor Tim Matthes has been in office for one year, and his relationship with the council has been strained, as evidenced by a dispute earlier in the same study session over whether Matthes or the council has authority to negotiate a contract with the city attorney. However, Putaansuu said his proposal is not about any individual, but rather a consideration of how the city could be run most effectively. To emphasize that, Putaansuu issued a statement a couple days after the study session noting that "The city is a multimillion dollar operation, and whether it's the current mayor or a future mayor, the average person on the street doesn't have the skill set to manage 70 people or an operation this size."
Investing is a marathon, not a sprint By Mary Beslagic Investors sometimes may get frustrated with their investments because those investments don’t seem to produce quick results. Perhaps that’s understandable in our fast-paced society, in which we’ve grown accustomed to instant gratification. But investing is, by nature, a long-term activity. If you look at it in terms of an athletic event, it’s not a sprint, in which you must pull out all the stops to quickly get where you’re going. Instead, it’s more like the 26.2-mile race known as a marathon. And as an investor, you can learn a few things from marathoners, such as: Preparation — No one gets up one day and is ready to run a marathon. Marathon runners train for months, and even years. As an investor, you, too, need to prepare yourself for the “long run.” How? By learning as much as you can about different asset classes, types of risk and all the other factors associated with investing. Patience — Marathoners know they have a long haul in front of them, so they typically create a “game plan” — one that takes into account such factors as their physical condition, the weather on race day and the characteristics of the course, such as whether it’s hilly or flat. Investors should also create a strategy — one that
encompasses their goals and ways of working toward them — and stick to this strategy. Perseverance — Marathoners may deal with injuries, dehydration and other setbacks, either while training or during the actual race. But as long as they’re able to keep going, they do so. As an investor, you too will face obstacles, such as market downturns. But as long as you continue investing and don’t head to the “sidelines,” you have a good chance of making progress toward your goals. Vision — Marathoners study the course they’re on, so they know what’s ahead — and where they’re going. As an investor, you also need a vision of what lies in front of you — the number of years until your retirement, the type of retirement lifestyle you anticipate, what sort of legacy you plan to leave, and so on. Your vision will help drive your investment decisions. Proper coaching — Not all marathoners have individual coaches, but many have at least gone to clinics or joined running clubs so they could learn more about the various aspects of this grueling event. As an investor, you can certainly benefit from guidance or “coaching” in the form of a financial professional — someone who knows your individual needs, goals
and risk tolerance, and who has the experience to make recommendations that are appropriate for your situation. Every marathoner is familiar with the difficulties of the challenge and the satisfaction of finishing the race. As an investor, you also will be tested many times. Furthermore, you’ll never really cross the
“finish line” because you’ll always have goals toward which you’ll be working. Yet, by emulating the traits of successful marathoners, you can continue working toward your objectives — and perhaps you’ll avoid the blisters, too. • Mary Beslagic is an Edward Jones financial adviser in Manchester.
Help your children avoid student debt burden By Don Logan It’s not so easy being a college kid these days. The job market for recent graduates has been shaky while, at the same time, students are leaving school with more debt than ever before. If you have children who will someday be attending college, should you be worried? You might indeed have cause for concern. Americans now owe more on student loans than on credit cards, according to the Federal Bank of New York, the U.S. Department of Education and other sources. For the college class of 2011, the most recent year
for which figures are available, the average student loan debt was about $26,500, according to the Institute for College Access and Success’s Project on Student Debt. This type of debt load, coupled with the struggles to find a well-paying job commensurate with their education, is causing many recent graduates to get off on the wrong foot in terms of developing savings and investment strategies that could help them throughout their lives. So, what can you do? If you want to help your kids pay for college, you may want to consider a 529 plan. When you invest in a 529 plan, all withdrawals will be free from federal income taxes, as long as the money is used Children, page 27
KNOW WHO TO CALL 26 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
WHEN YOUR BONDS ARE CALLED Your local Edward Jones financial advisors:
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Brain surgery He said she was going to need brain surgery. He went on to explain they don't do brain surgery in Juneau, Alaska, so we would need to decide to have her flown to Anchorage or Seattle for it. He went on to say that Seattle would be a little bit of a longer flight. I remember looking into the doctor's eyes as it were yesterday, because this was the first time in my life where I felt like I was having to make a life-or-death decision on behalf of another person. I looked in the doctor's eyes, and I asked him, “Who has the best brain surgeon in the world?” With my father-in-law out, I knew if my wife and I were to have to make this decision that we wanted the absolute best. The doctor looked at me and told me the best brain surgeon in the world is in Seattle. Shortly thereafter my wife and my mother-in-law were on a high-speed jet flying from Juneau to Seattle. And it turns out that Seattle did indeed have one of the best brain surgeons in the world. I'm very happy to report that 15 years after having brain surgery, my mother-in-law has made a full recovery and lives 45 minutes from us. It is wonderful to have Grandma and Grandpa nearby to love on our kids. One of the reasons I reflect on the story is because we are approaching the anniversary of that event. But as this relates to retirement planning, the important lesson I learned that day was in the power of the question I asked, "Who had the best brain surgeon in the world?” I didn't ask who had the best cardiologist. I didn't ask who had the best general practitioner. I didn't ask my co-workers, family or friends to perform the surgery. I wanted the best brain surgeon in the world. I wanted somebody who all they did, day in and day out, 365 days a year was brain surgery. One of the mistakes I see many people
not an “either-or” situation — there’s nothing stopping you from contributing to a 529 plan, Coverdell account or custodial account along with your 401(k) and IRA. Clearly, though, it will take discipline and perseverance on your part to save and invest for both your children’s education and your own retirement. Like everyone else, you don’t have unlimited resources. But you do have another ally — time. The earlier you begin investing for education and retirement, the greater your chances of achieving your goals in these areas. And by understanding how your goals interact, you can work to make sure you don't inadvertently derail one when saving for another. Avoiding the student loan “debt trap” while still making progress toward your retirement savings will require creative thinking — and both you and your children may have to make some sacrifices along the way. But the ultimate goals — a college degree that isn’t one big IOU, and a comfortable retirement — are worth the effort. • Don Logan is an Edward Jones financial adviser in Silverdale.
from page 26 for qualified college expenses. (However, non-qualified withdrawals may be subject to ordinary income tax plus a 10 percent penalty on the earnings portion.) Contribution limits are high, and, contributions may be eligible for a tax deduction or credit for residents in certain states. A 529 plan, while valuable, is not the only college savings vehicle available. You may also want to consider a Coverdell Education Savings Account, which, like a 529 plan, can generate tax-free earnings if the money is used for higher education expenses. However, a Coverdell account’s contribution limits are much lower than those of a 529 plan. You could also establish a custodial account, known as a UGMA or UTMA, which offers some tax benefits and no contribution limits. Nonetheless, while these vehicles may help you save and invest for college, they may also divert resources that you might have used for other financial goals — such as a comfortable retirement. Of course, it’s
make when working on their retirement planning is they ask for the advice of a family member, friend, co-worker or even a general practitioner financial advice-giver. While all of these people may certainly mean well, chances are they don't know all of the specifics of your circumstances to truly give you expert advice. Really all they are equipped to do is tell you what worked for them and offer an opinion. Retirement involves many different areas of expertise. You must consider how to maximize your Social Security, pensions and other income sources as well as create tax-efficient income. A financial advisor should be trained in how to preserve a lifetime of hard work and wealth and make sure you don't run out of money during your lifetime. A skilled practitioner will be looking at your investments, insurance, estate plan, entitlements, pensions, inflation and taxes to make sure every area of your financial life is coordinated and optimized so you will confidently meet your goals. The decisions you make as you transition into and through retirement will be some of the most important that you may ever make. Remember you may spend as many years retired as you did working. Twenty-five years of unemployment is a long time, and you won’t be adding to your investments any more. What you have is what you have, and you need to make sure
it is going to last as long as you do. The last thing you want to have to worry about is going back to work after 10 years of retirement because you made a financial mistake. It's not fair to your friends and family members to place the burden of your questions on their shoulders. Instead make sure you find an expert that specializes in retirement planning. Ask your friends and family members the most important question of all, “Who is the best retirement expert in the world.” Seek them out and pay for their advice. It could be one of the smartest investments you ever make. • Article written by Jason Parker. He is the president of Parker Financial LLC, a feebased registered investment advisory firm specializing in wealth management for retirees. His office is located in Silverdale. The opinions and information voiced in this material are not intended to provide specific advice or recommendations for any individual, and do not constitute a solicitation for any securities or insurance products. All information is believed to be from reliable sources; however, no representation is made as to its completeness or accuracy. Please consult your trusted professional for advice and further information. Jason Parker is insurance licensed and holds his series 65 securities license. He offers annuities, life and long-term care insurances as well as investment services. Follow Jason’s blog at www.thriving-inretirement.com.
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By Jason R. Parker Do you remember the first time you had to make a life-or-death decision? Fifteen years ago I was working for the state of Alaska when my telephone rang. It was my wife. She did not usually call me at work, but this particular day was our one-year wedding anniversary so I figured she was calling to wish me a happy anniversary. Instead she said, "Jason, I was at my mom’s house when she fell over and hit her head on a table, and she's bleeding. I called the ambulance and we’re on our way to the hospital. Can you meet us there?" When I arrived at the hospital, I learned my mother-in-law had a very bad headache. She was only in her mid-50s and had never been sick a day in her life, so this was very unusual. The doctors thought the headache was because of her fall. She also had a small cut under her eye where she had been bleeding. My wife and I sat in the waiting room for what seemed like an eternity, but in all reality was probably not very long. We tried to call my father-in-law, but he was out of town on a business trip. We couldn't track him down. I remember walking back to where my mother-in-law was lying in the hospital bed, and I asked her how she was doing. She just reached up holding her head and said, “My head hurts so bad.” The doctors initially thought she was having a migraine. A short while later the doctors walked into the waiting room and let my wife and I know that they had done a scan of my mother-in-law's brain. The doctor said it looked like she had bleeding in her brain.
Helping organizations through change By Rodika Tollefson When companies are going through change, good or bad, the uncertainty can be scary. That’s where Norma Dompier of Gig Harbor-based RedBike International comes in: Her job is to help people through that change. “I help people get through the scary
stuff. Everybody hates change because it makes us feel stupid. I help people get through that and not feel stupid,” she says. Dompier has seen major changes herself many times, starting with her first job in human resources. As an HR director, she had to create an employee transition plan when the company ended up closing. Her mission was to come up with a way of retaining people until the end while helping both the organization and the employees through the transition. That mission was accomplished — and it set Dompier on a path of helping organizations through change. “I ended up getting into human resources positions where companies were going through change and my job was to facilitate that,” she says. “After five or six times, I got burned out, being the last one out of the door, taking care of everything and working long hours.” She took a year to decompress, and in the process learned Pilates. After a few lessons, she decided to teach and soon was operating her own studio and doing some HR consulting on the side. Pilates was similar in many ways to her
“My business always has some sort of evolution. I like to stay curious and never say that something won’t happen.” Norma Dompier, RedBike International HR work. “In Pilates, people start going through a lot of change. I was helping people do cool stuff they never thought they could do,” she says. “A lot of it was getting them to visualize themselves in it, changing the story of who they were so they could change things.” After moving to Gig Harbor and selling her Bellevue studio, Dompier refocused on working with companies to facilitate transition and expanded to offer leadership development and executive management coaching, among various other things. “I loved my Pilates clients but I wanted to be back in the corporate world. I like
Norma Dompier says her job is to “help people be more bold and have more courage to get through change.” people and the energy of collaboration,” she says. Dompier, who’s a certified professional RedBike, page 29
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Kitsap Bank makes $10,000 donations to Main Street groups Kitsap Bank recently presented $40,000 in donations to four Washington Main Street organizations as part of the bank’s annual Community Partner Program commitments. The donations fall under the Main Street Tax Incentive Program, which provides B&O tax credits for businesses who invest in downtown revitalization efforts, including economic development activities designed to support and promote the local small business community. The recipients, each receiving $10,000, are Bainbridge Island Downtown Association, Gig Harbor Waterfront Association, Port Angeles Downtown Association and Port Townsend Main Street Program. “Kitsap Bank is proud of our tradition of community involvement, which spans more than a century,” CEO Steve Politakis said. “As the community bank, we believe it is our role to invest and help our local nonprofits improve our communities and enhance our quality of life. We congratulate each of these Main Street organizations for their successful work in blending historic preservation with the economic vitality of our historic commercial districts, while maintaining the small-town quality of life we hold dear.”
Photo courtesy Kitsap Bank
Attending Kitsap Bank’s presentation of a $10,000 donation to the Bainbridge Island Downtown Association are (left to right): Corrynn Cloward, Kitsap Bank Vice President/Commercial Loan Officer and Downtown Association board member; Andrea Mackin, executive director of the Downtown Association; Bainbridge Island City Manager Doug Schulze; Andre Olanie, Kitsap Bank Senior Vice President/Commercial Market Manager; Claire Chavanu, Kitsap Bank Bainbridge Island branch manager; Marlene Mitchell, Kitsap Bank Vice President/Regional Operations Manager; and Donna Etchey, publisher of Bainbridge Island Review and board member of the Downtown Association. Through the Community Partner regard to the stability and permanence of Program, Kitsap Bank has invested over $1 many of our downtown businesses,” said million and countless volunteer hours over Andrea Mackin, executive director of the the past six years with nonprofits and civic Bainbridge Island Downtown Association. organizations in the communities we serve. “Thanks in large part to Kitsap Bank's investment in the Main Street Program here In 2013, the bank will provide support to on Bainbridge Island, we are starting the new over 80 area nonprofit organizations with year in a much stronger position with a bright donations totaling more than $300,000. outlook for our local downtown economy." "2012 was a year of great progress with
When hiring a management consultant, maximize the relationship and recommendations of tremendous benefit to your operations. The ultimate goal is not simply arriving at solutions within this consultancy mission, but cementing a high-performing and selfsufficient environment with the renewed ability to think and resolve independently. Making the decision to retain a consultant can be an intimidating prospect, and understanding the value of outcomes beyond preconceived notions will go a long way toward framing a partnership as a trusted advisor to your business — the gold standard for consultants who also invest with their clients. Sometimes your problem will not be fixed with the perfect solution, but a good and workable decision will nonetheless emerge. And though the numbers can contextualize the issue, at the basic core of all operations are the qualitative human factor and a heuristic application. In choosing a consultant to assist in the realization of your company’s vision, consider the following to maximize on the relationship: • Recognize the consultant is there to provide advisory feedback. Be realistic about the timeline in business turnaround, and wary of promises of overnight success. A consultant should be resourceful and knowledgeable within your industry (or the topic) toward a realistic and feasible solution. • Articulate your goals with as much specificity as possible. Expressing generic displeasure with sales doesn’t paint a clear picture. Discuss explicit
as part of rebranding. Instead, Dompier organized “café conversations” and virtually trained local leaders in several areas how to facilitate them, saving major expenses from sending focus-group teams around the world. Dompier says what attracted her to human resources years ago was the desire to help people succeed, and make the process fun — the same approach she takes in her consulting work. “I hate rules and I don’t think there should be a rule that says we need to stop playing (as adults). Experiential learning gets you to think differently. The games are teaching people to think in the moment and break their habits — ‘let’s think in the moment and create some risk and support each other to get through it.’ It’s like Pilates, getting to use muscles you didn’t use before.” Although she focuses on transition and change, Dompier takes a holistic approach, a systems view of the entire organization. “To me, management consulting is going into a business and helping them be more successful than they are right now. It’s very broad and you can focus on different things, and I focus on transition and change. I facilitate the change with them and help them figure out how to get where they want to be. When you’re in the thick of it, you
from page 28 co-active coach, has certifications as Team Diagnostic assessment facilitator and coach as well as Bigger Game trainer. One of the approaches that makes her unique is experiential learning — she teaches leadership skills through the use of improv techniques and games, both in organizational settings and in classes offered to the public. “The goal is to find out your defaults and habits and then work on doing things differently,” she says. “I love improv because it has great concepts and one concept is that you’re always right and your partner’s always right. We’re conditioned in our heads to say no and our minds are conditioned to pick up negative things — so it’s about reconditioning and getting in the habit of saying yes. … With improv, we can teach people to listen, and listening doesn’t mean being quiet.” She says in organizations, people develop habits as well, and that’s where she comes in, to give them the tools to get unstuck, create new habits and a new comfort zone. Frequently, that work requires her to think out of the box. As one example, she helped an international nonprofit figure out a way around the expense of focus groups around the world
RedBike, page 31
intentions so the consultant can address what needs to be accomplished. How willing are you to provide records, staffing assistance or office resources to facilitate the consultant’s analysis? Does your environment accommodate a process where employees can speak openly and confidentially to the consultant without interference or punitive measures? Are you the moose in the room and able to heed that message? Assess the level of your commitment to this process. Negotiate fees and the manner in which they are determined or billed before proceeding. Some methods involve hourly, flat or project-oriented rates. Don’t be afraid to interview a potential consultant. Open a dialogue about his or her experience, case studies or success stories. Explore confidentiality or conflict of interest issues regarding your competitors, or the consultant’s other clients. Never underestimate the importance of good rapport or a personal comfort level. Follow up by requesting at least three references. Contact them for feedback just as you would for a permanent employee. Credentials are important, but ensure your consultant has the
intelligence to solve complex problems and work well with others. • Formalize the relationship with an agreement, which spells out all terms regarding work to be performed and fees. Identify the product: Are you contracting for analysis, its implementation, or both? Have an attorney review it for legal and business prudence. • Knowing when to hire a consultant is a decision that requires savvy and insight. Approach it intelligently and realistically for the ultimate win-win solution. (Editor’s Note: Doña Keating is President and CEO of Professional Options, a prominent innovator in the policy and management consulting industry which provides solutions for businesses, organisations and governmental agencies. She is also a principal in K2 Strategic Solutions, a partnership between Professional Options and Keating Consulting Service which has a combined 50 year history of providing information technology, policy, and management consulting. Keating’s latest book, “How to Avoid the Pitfalls of Nonprofit Hell”, offers pithy observations and solutions borne of decades of service on nonprofit boards and committees, advising them, or facilitating executive and board retreats.)
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 29
By Doña Keating Private companies, nonprofits, governmental agencies and educational institutions face issues and questions they are unable to resolve. A management consultant with e f f e c t i v e communications skills and industry expertise can help. Aside from the typical reason — cost effectiveness — a consultant can provide an objective and expert point of view without a vested interest in preserving the status quo. He or she can recommend effective strategies, which may have been previously overlooked. Consultants provide services in business, management, marketing, social media, information technology, communications and many more disciplines — providing expertise on everything from professional writing to image development. Methodologies include client and team meetings, interviewing, gathering and analyzing data, and strategic exercises to address organizational dynamics. Whether the purpose is reviewing human capital and employee performance, clarifying future direction, reducing costs, improving efficiency, business process re-engineering, refining competitive strategy, or increasing revenue, working in tandem with a management consultant or firm is a committed exercise in producing insights
Marketing firm RockFish evolves into business consulting people, opened the downtown office last summer with only two or three spaces in the suite and since then the RockFish Group grew to occupy all of it except for Doyle’s office. Kitchell-Cooper also recruited Doyle to collaborate on RockFish projects when customers need design or remodeling services, especially so their space matches their brand. “She’s got a visionary mindset and sees potential in her clients that I don’t think they even recognize, and that’s contagious,” Doyle says. The RockFish Group (www.rockfishgroup.com) offers services ranging from marketing and PR to branding, e-commerce solutions and project development. The firm’s client base stretches all over the country, and KitchellCooper says business has been growing strictly through word of mouth. She says one of the things that makes the business unique is the continuous search for new tools — tools that the RockFish tests and implements first, then passes along to clients. The strategy has been so successful that the company is in the process of developing its own tool, an online-based product catalog that will help streamline the sales and ordering process both for products and services. KitchellCooper says the software tool will be funded through venture capitalism and she expects it to roll out next year. She notes it’s a side project so they’re taking it slowly while focusing on their core services. “‘New school’ management consulting is about the tools, and speaking with a person versus to them. We truly come with a bag of options,” she says. Kitchell-Cooper brims with ideas for
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30 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
By Rodika Tollefson Kelle Kitchell-Cooper has done marketing and public relations work for nearly 20 years, including for Fortune 500 companies, but after a local project more than a year ago, she saw a need for comprehensive services for small businesses in the local area. So about a year ago, she launched the RockFish Group with the idea of bringing high-caliber local professionals, specializing in different areas, under one roof. Since then, business not only has been booming but RockFish has been expanding its offerings, including business consulting. “Business consulting almost came organically, as customers for different projects are identifying deficits. It’s like peeling layers of an onion,” she says. “They’re asking us for ways to get healthy, whether it involves morale, process improvement or workflow issues. … I do think we’re able to motivate customers to begin a plan to get their business healthy.” Michele Doyle with Michele Interiors says her business was already doing well when she met Kitchell-Cooper, but she’s been able to implement various new ideas since. “She’s taken a keen interest in my business and I know she’s always thinking about it,” says Doyle, whose business shares the same suite as RockFish in downtown Poulsbo. “She’s looked at how I do business and offered me some tools for productivity, especially communication. … When I see her, it’s a daily kick in the pants for me as a manager and entrepreneur. She’s like that voice inside you that you can’t take for granted.” Kitchell-Cooper, who has a team of six
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things she wants to do. A recent one was to add a conference room in the RockFish suite that will be available for her clients to use, both to meet with customers and get some work done while away from their office. She says this free service will especially benefit entrepreneurs who are home-based or people whose business doesn’t have a private place to meet. She says she sees people conducting confidential business in public settings — such as coffee shops — far too often, and this will give her clients an alternative. The conference room, which will be completed in the next few weeks, will have WiFi and Apple TV (for those who want to hook up their laptops for a presentation). A system will be in place for people to reserve
the room via phone or email. Jennifer Lampe, marketing director for Port Ludlow Associates, says what sets RockFish Group apart is the combination of local knowledge and the quality of the team. “They’re a local-based team with the understanding of the local market but the knowledge base and caliber of a metropolitan firm. They’re highly competitive with Seattle firms but knowledgeable of the local market — they bridge that gap,” she says. She says Kitchell-Cooper’s personality was one of the things that immediately set her apart. “She’s a bundle of energy that doesn’t quit,” Lampe says, “and the most positive person I can imagine.”
YWCA accepting Women of Achievement nominations The YWCA of Kitsap County is accepting nominations for its Women of Achievement Recognition Luncheon. Nominations will be accepted through March 5, and nomination forms can be obtained online at www.ywcakitsap.org, or at the YWCA Community Center (Monday through Thursday 8 a.m. to 5 p.m.) at 905 Pacific Ave. in Bremerton. The 24th annual Women of Achievement Recognition Luncheon will be held April 23 at Kitsap Conference Center at Bremerton Harborside. Proceeds from the luncheon will directly benefit YWCA ALIVE shelter programs that provide supportive services for domestic violence survivors and their children. For more information, visit www.ywcakitsap.org, email email@example.com or call Tracy at (360) 479-0522.
Kitsap Community Foundation taking grant applications Kitsap Community Foundation has begun accepting applications for its 2013 competitive grant cycle. Applications will be accepted until Feb. 22. The foundation is offering three different types of grants: Community Grants, Foster Children and Family Reconciliation Grants, and Youth Mentoring Grants. Community Grants are available to any nonprofit organization working in Kitsap County or neighboring areas. These grants have no particular focus area, and the maximum amount is $5,000. Information regarding The Kitsap Community Foundation and the 2013 grant cycle can be found on the foundation’s website: www.kitsapfoundation.org. To apply for grants, go to www.kitsapfoundation.org/grant-opportunities.aspx. If you are unable to complete the application process online, contact foundation executive director Kol Medina at 360-698-3622. Kitsap Community Foundation is a tax-exempt public charity whose mission is helping Kitsap County’s residents by connecting people who care with causes that matter. The foundation has distributed nearly $850,000 in grants and scholarships since 1999. For additional questions, contact Medina or Vicki Collins, the 2013 grant chairperson, at firstname.lastname@example.org or 360-698-3622.
Why business plans fail; or how to GPS your way to success in 2013 By Dan Weedin January is the time to plan big, right? Business plans are created, amended, folded, stapled, mutilated, and disseminated. Business strategies are set when these business plans pop up and everyone gets very excited. Then it’s February. Resolutions and business plans — both business and personal — are made with great intentions. And most are doomed to fail. Why? Because resolutions and business plans are overrated. They fail because you might just hit them. It doesn't matter what kind of business you are in. My advice to you is to eschew a business plan and create a powerful marketing plan. Having a business plan without a strategy on how you're going to bring business in is like taking off for a secluded vacation getaway without a GPS, a map, or a Boy Scout compass. You might end up getting there, but it took you longer and wasted more of your valuable time. Here is your GPS to success for next year. Just insert my voice (rather than the lady with the English accent) imploring you to recalculate when you go off track. 1. Determine how you improve the condition of others. What is the value you bring? What sets you apart from your competition?
If you can't sum it up in your own words, ask your best clients. Find out why they do business with you. Two things happen. First, you learn why people actually do business with you. Second, they remind themselves why they should continue to work with you! That helps with retained and future business. 2. Who is your target market? Are there new audiences you should be reaching out to and grabbing around the shirt collar? How do you get yourself and your brand in front of them? 3. Put asking for referrals on the top of your list. Many businesses get referrals just by doing a good job for their clients. Most do a poor job of asking for them. Develop a system and language for your sales professionals (and you) to mine for gold. Asking for referrals is not difficult once you know how. Make it a priority. Note: there is an art and science to not only receiving, but also converting referrals into business. This is lowhanging fruit. If you get good at picking fruit, you will consistently be “eating healthy” in any economy! 4. Create your own intellectual property. For professional service providers, that might mean webinars, teleconferences, articles, columns, blogs and podcasts. For other businesses, that might mean creating new services, products and offerings. Find new and creative ways to become an object of interest. 5. Stop wasting time and money on tactics that aren't working. Does anybody even own a phone book anymore? Find
happen. I like helping people get through stuff so it’s not scary — that has remained constant since before I opened my business. How I do that could change.”
marketing plan that works well will ultimately blow away anything your business plan would have set as a goal. Take a left at the next light. You have reached your destination... • Dan Weedin is a Poulsbo-based management consultant, speaker and mentor. He leads an executive peer-to-peer group in Kitsap County where he helps executives improve personally, professionally, and organizationally by enhancing leadership skills. He was inducted into the Million Dollar Consultant™ Hall of Fame in 2012. You can reach Dan at 360-697-1058; e-mail at email@example.com or visit his web site at www.DanWeedin.com.
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 31
from page 29 really don’t see it and you need to bring in someone from the outside.” Her job, then, is to create that atmosphere where people are comfortable taking those risks together, and coaching the leaders on sustaining the new things they’ve created in the process. “You can’t change a culture overnight,” Dompier says. “You have to have some steps in place and the commitment to make it happen. Part of it is that you have to be clear what you’re about, otherwise people aren’t going to succeed because they don’t know what the expectations are.” Through her business, RedBike International (redbikeinternational.com), Dompier works with a team of three collaborators, located around the world, who bring different strengths to the table. They also support each other in their work. And while she considers certain areas of her work the core of her services, Dompier is always adding new ones — everything from social media development to publicspeaking coaching. “My business always has some sort of evolution,” she says. “I like to stay curious and never say that something won’t
out where people hear about you and go there. There has never been an easier time to be creative for far less investment. 6. Find ways to speak publicly about how you dramatically improve the condition of your clients. You aren't there to "pitch." However, if your presentation is deemed as valuable then you will get opportunities to speak. The thundering herd of people approaching you afterwards to talk to you is your sign that people might like to hire you. 7. Be better at following up on revenue opportunities. We have all been guilty of getting great leads and then letting them slip through the cracks. Set up a system that doesn't allow that to happen. These chances rarely offer you second chances. 8. Set metrics and review data to see what is working and find out why. If it isn't working, adjust and retry. If it still isn't working, stop. If it is working, rinse and repeat. 9. Be shameless in your promotion. If you really and genuinely believe that what you offer to your customers is highly valuable and will help them lead better lives, then why wouldn’t you? Marketing is no place for modesty. We are all in the marketing business and there is no shame in that. It just simply is a shame if you do not become competent in letting your potential customers and clients know you exist and how much you can help them. If you provide a great value through your services or products, you should be telling the whole world. If you truly believe that you are improving the condition and lives of others, then not aggressively tooting your own horn is actually selfish. You have great value; believe in yourself first. Bottom line — ditch the business plan and create a powerful marketing plan. A
32 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
Solarize Kitsap rebates make solar power more affordable Five free workshops are scheduled in coming months for Kitsap County residents interested in learning more about affordable solar power. The Solarize Kitsap progam aims to get more solar panels on roofs in Kitsap County in 2013. The program offers cash rebates to county residents through April 30. New homes under construction also qualify. Power Trip Energy Corp., an electrical contracting firm based in Port Townsend,, developed this solar PV (photovoltaic) group purchasing and installation program, and passes the cost savings on to its customers. It is modeled after similar programs around the country but is unique in that it is funded by the solar contractor, not a nonprofit or governmental group. “We’ve installed more than 50 PV systems and rebated more than $185,000 to our customers in this region in the past two years,” Power Trip Energy president Andy Cochrane says. “There’s really never been a better time to generate your own solar electricity at your home or business,” he adds, noting that the state sales tax exemption for solar PV systems expires June 30, and this will be the last group purchase that qualifies. Learn more at Solarize Kitsap workshops scheduled throughout the county. These informational events are free and open to the public, and will cover the rebates, other financial incentives and available loan programs, and solar power products, pricing and system performance. Power Trip Energy is a trade ally with
Free workshops on solar energy • Feb. 2, 1-3 p.m. at Seabold Community Center, Bainbridge Island • Feb. 9, 11 a.m.-1 p.m. at Long Lake Community Center, Port Orchard • Mar. 2, 11 a.m.-1 p.m. at the Poulsbo Library • Mar. 23, 11 a.m.-1 p.m. at the Baymont Inn & Suites, Bremerton • Apr. 13, 11 a.m.-1 p.m. at Silverdale Community Center RePower Kitsap, which can offer lowinterest financing for solar power installations through local credit unions. Customers who enroll by April 30 to install grid-tied solar PV systems with Power Trip Energy will receive cash rebates of $500-750 per installed kilowatt, depending on the ultimate size of the group purchase. (Roof-mounted solar power installations typically cost $3,500-6,000 per kilowatt after the 30 percent federal income tax credit.) As an added incentive, customers who install 8 kW or more qualify to have an electric vehicle charging station installed for free at their home or business. Power Trip Energy has installed more than 300 PV systems on and around the Olympic and Kitsap peninsulas since 2003. For more details, call 360-643-3080 or visit www.solarizekitsap.com.
Grounds for Change recognized with Family Business Award Grounds for Change, a specialty coffee roaster based in Poulsbo, is the recent recipient of a Washington State Family Business Award from Seattle Business Magazine. The environmentally friendly business, which marks its 10th anniversary this year, was selected by a panel of judges from among a large number of businesses nominated from all over the state. The awards, now in their third year, recognize family-owned businesses in four categories, with Grounds for Change selected as the Community Winner. Founded in 2003, Grounds for Change roasts exclusively Fair Trade-certified, organic, shade-grown coffee. Their coffee is served at independent cafés around the country and is available online at GroundsforChange.com. In 2008, the business partnered with CarbonFund.org to offset 100 percent of the global warming emissions associated with the full lifecycle of its coffee. The business is the first coffee roaster in the country to complete the rigorous thirdparty certification process to obtain the CarbonFree Certified Product label. The company is also a member of 1% for the Planet and donates at least 1 percent of its revenues to environmental organizations
Kelsey and Stacy Marshall, co-founders of Grounds for Change, with Seattle Business Magazine associate publisher Michael Romoser at the awards ceremony in Seattle.. each year. In addition to supporting environmental education programs and other causes on the Kitsap Peninsula, Grounds for Change has developed partnerships with nonprofit organizations, and donates a portion of sales from each of these partnership coffees to support the ongoing efforts of the organizations. The company plans several events later this year to celebrate its 10th anniversary, which is officially in July. The celebrations will coincide with the grand opening of the Grounds for Change tasting area, which will offer scheduled tastings for groups as well as bulk sales of whole-bean coffee. The roasting facility is currently being remodeled to accommodate an expansion of the lobby and the tasting room.
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February 2013 Kitsap Peninsula Business Journal • KPBJ.com 33
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2013 Honda Accord coupe: Sporty and sensible By Bruce Caldwell Sport sedans have risen to positions of prominence and prestige formerly held by sport coupes, but that doesn’t mean sleek sports coupes are passé. The two-door body style is still highly desirable at the uppermost levels of the automotive spectrum and there has been a resurgence of two-door muscle cars such as the Mustang, Camaro, and Challenger. These are rear wheel drive cars. The midsize front wheel drive sports coupe field is sparse except for the excellent 2013 Honda Accord coupe, which stands alone with its available V6 engine and 6speed manual transmission. The Nissan Altima coupe is front wheel drive, but it only has a four-cylinder engine. The Hyundai Genesis coupe is available with four-cylinder or V6 power, but the drivetrain is rear wheel drive. There are plenty of compact sport coupes/hatchbacks/two-door sedans, but if you want more substance, space, style, and performance in a handsome front wheel drive configuration the Honda Accord coupe is your best option. Walkaround: The 2013 Honda Accord coupe is pretty traditionally styled without any over-the-top features. It’s sleek with a long nose, graceful roof, and short deck.
Crisp bodylines are in keeping with Honda’s current styling themes. The flat-faced 18x8-inch wheels are handsome and contemporary. They fit the body well, but seem a little small compared to some of the larger diameter wheels found on many cars. Honda styling favors conservatism over craziness, which is good for long-term resale value. One negative aspect of the coupe body style (compared to hatchbacks) is the small trunk opening. No one minded much during the classic Mustang/Camaro muscle car days, but that was before the advent of multipurpose hatchbacks. The Accord trunk lid is far more accommodating that those early mail slot trunks. The Accord trunk opens a full ninety degrees. Interior: Honda understands the importance of a great interior. No matter how slick the exterior styling is you live with the interior every time you drive. The
COME DRIVE THE NEW
34 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
360-377-1100 520 West Hills Blvd., Bremerton • www.westhillshonda.com
Accord seating construction, materials, adjustability, comfort, and legroom are all excellent. Rear seat access is quite good for a coupe. I’m 6’2” and I fit fine in the rear seat. My head just cleared the rear window and knee room was sufficient as long as the front seat was forward a little. The passenger door opens wide and the front seat moves close to the dashboard. Getting in is easier than getting out, because the seat cushions are low. Rear seat amenities are minimal. There isn’t a center armrest and cup holders are nonexistent. There are two seatback pouches and two small outer storage wells. Even though the trunk opening is compromised, the actual trunk space is good. The floor is flat and the one-piece rear seatback folds almost flat. The folded seat is several inches higher than the trunk floor. There is a power sunroof, but the coupe roof design limits its size. The sunroof is standard on the EX-L trim level. Instead of stand alone options the Accord coupe comes in four trim levels: LX-S, EX, EX-L, and EX-L V6, which is what we drove. Under The Hood: Honda engines are legendary for their precision and smoothness. The 3.5-liter V6 is an engine builder’s dream. The VTEC engine is rated at 278 horsepower with 252 lb-ft of torque. Our test car had the super-smooth 6-speed manual transmission. It was a joy to shift. The other available transmission is an excellent 6-speed automatic. The Accord coupe is also available with an excellent 2.4-liter four-cylinder engine that’s rated at 185 horsepower. The fourcylinder engine can be mated to the 6speed manual transmission (a nice combo) or a CVT automatic. In a nod to the outstanding efficiency of modern automatic transmissions the
automatic gets better fuel economy than the manual. The manual is EPA rated at 18mpg city and 28-mpg highway, while the automatic jumps to 21-mpg city and 32mpg highway. The four-cylinder/automatic also bests the manual transmission with 24/34 and 26/35 EPA ratings. A downside to the manual transmission is that it’s so much fun to push rev limits that fuel economy can suffer, but this is a sports coupe, not an economy run competitor. Both engines use regular gas. Behind The Wheel: Driving pleasure is a prime reason for buying a 2013 Honda Accord coupe with the V6 and 6-speed manual transmission. The transmission and clutch are both super smooth. Handling is composed and confidence inspiring. The mix between feeling what the car is doing and not feeling too much road harshness is good. The highway ride is mostly smooth, but expansion strips are definitely felt. All interior controls are well designed and positioned for easy use. The excellent, thick, contoured, leather-wrapped steering wheel is a pleasure to hold. The auxiliary controls are very good. A new feature that we greatly appreciated was the LaneWatch system. When the right turn signal is activated the rear view camera comes on to show traffic beside and behind you. This is a superb safety feature, especially in busy, congested traffic. Whines: There is noticeable torque steer under aggressive acceleration. Rear cup holders would be nice. Bottom Line: The 2013 Honda Accord V6 coupe is a unique car that hopefully will remain in the company’s lineup. It’s not a first choice for families, but it is a true fourpassenger vehicle. Performance, comfort and driving fun stand out, but the Accord coupe is also sensible and affordable.
Kia Soul offers great mix of features and value projector headlights, sand and black interior with houndstooth upholstery inserts, standard UVO, and more. The main option is the premium package that includes navigation, XM traffic, leather seating trim, heated front seats, climate control, and push-button start/Smart Key. Safety equipment on all models includes six airbags, active front headrests, LATCH seating system, electronic stability control, antilock brakes, and a tire pressure monitor. Walkaround: With rear windows that are narrower than those in front, it appears there’s a rear downward slope to the roof, but it’s a clever optical illusion because of the rising beltline below the windows. There’s also a black, horizontal, ding strip on the doors that’s both functional, and adds to the strong straight-line design. The corners on the Soul are nicely rounded, taking away some of the hard edge of its box-like shape, with help from strong, chiseled wheel wells. The smile-like grille is small, and no bigger than necessary to suck in fresh air for the engine. The stylish front lighting elements are new, and include LED running lights and projector headlamps. Big vertical LED taillamps outline the rear pillars, and complete the wraparound look. The rear window and liftgate are clean and smooth, with an indented handle and a stylish chrome Soul badge. The 16- and 18-inch alloy wheels are larger than what’s often available in this market segment. Interior: Everything inside the Soul is simple, clean, functional, and ergonomically positioned. The front bucket seats are more comfortable than I thought they’d be — especially after a couple of long jaunts. They offer plenty of legroom, and enough headroom for six-plus-footers. Rear seat legroom is tight, but fine for kids or adults of average height, and the 60/40 rear seats easily fold flat. There’s a handy compartment under the trunk floor, and below that a space-saver spare tire. There’s 19 cubic feet of space behind the rear seat, about four under the floor, totaling 53.4 with the back seats folded down. The interior vinyl and cloth trim is above average, and there are bottle holders in the front door pockets, plus cupholders in the console, which also offers a deep storage compartment. There’s a surprisingly large dual-level glovebox, map nets on the front seatbacks, and grab handles over every door. There are auxiliary audio, iPod, and USB port connections, and two 12-volt outlets. The steering wheel boasts the usual standard controls, while the three-ring instrumentation is clean, with an eave over the gauges so they’re readable in the sun. The modest center stack features businesslike knobs and buttons that accommodate the revised shifter and UVO/Microsoft entertainment system, which includes a rear camera. There’s throbbing-to-the-beat rims of changing colored lights surrounding the front door speakers. This can be turned on
and off, and you can program the way it reacts to sound — a quick way to amuse yourself while stuck in traffic. Under The Hood: The 2.0-liter inlinefour (which our test model was equipped with) got a muchneeded upgrade during the 2012 model year refresh. Power was increased by 16 horses to 164, and torque by 11 pound-feet to 148. The base powerplant is a 138-horse, 1.6-liter (up from 122). Kia upgraded the transmissions as well last year. The six-speed automatic is smoother, even when shifting down a couple of gears for acceleration and highway passing, with mileage improved by 1-4 mpg whether automatic or manual, to 27/35 mpg for the 1.6-liter and 26/34 mpg for the 2.0-liter. Behind The Wheel: I found the Soul nimble, and fun to drive. There’s sufficient power available, although the transmission will run a gear up all the way up to redline before shifting under heavy acceleration. If that’s your driving style, you’ll pay for it with lots of engine noise. Road noise is also
a factor, but no worse than any other vehicle this size, and this low to the ground. Handling and braking are more than adequate for this class of vehicle, and there is that level of utility that makes this a surprisingly adaptable daily driver. Whines: Having an upright windshield and large greenhouse make for great for visibility, but wind noise is harsh. Bottom Line: The Kia Soul offers simplicity, four-door upright hatchback versatility, great gas mileage, and styling with personality. It’s easy to drive in urban settings because of its nimble size, and with a price of $25,555 for the top-of-the-line Exclaim with every single option available — not to mention Kia’s 10-year/100,000-mile warranty — this car is an enormous value.
2013 KIA SOUL A new way to roll ®
515 West Hills Blvd., Bremerton, WA 98312
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 35
By Lary Coppola No matter how you feel about those rapping wannabe gangsta hamsters, the 2013 Kia Soul offers an interesting mix of good looks, technology, functionality, efficiency and refinement, in an incredibly affordable package, and does it in a way that attracts a wider spectrum of buyers than those hamsters are aiming for. In spite of new engines and tweaked styling received in 2012, it’s still an inexpensive box-shaped runabout with Gen Y firmly in its crosshairs. But it’s surprisingly suitable for anyone — no matter what their age — who appreciates youthful styling, fuel economy, daily practicality, coupled with useful standard features like Bluetooth, iPod, and USB connectivity, and the best warranty on the planet. While the Soul attempts to stand out in a sea of sameness — in spite of its basic shape — there are plenty of options and accessories to seriously personalize it. Kia makes no bones about what the Soul is — and is not: It’s a car — not a cute-ute, or “compact utility” as that segment is labeled, and certainly not an SUV, crossover, or minivan surrogate. Mechanically, it’s your basic small sedan, with no all-wheel or fourwheel drive offered. Model Lineup: The 2013 Kia Soul comes in three models: Soul, Soul+ (Soul plus), and Soul! (Soul exclaim). The Soul ($14,400) features an inline, 138-horse, 4-cylinder, 1.6-liter engine and comes with air conditioning, power windows and door locks, 15-inch steel wheels, black trim, body-color door handles and mirrors, AM/FM/XM/CD/MP3 stereo, USB and auxiliary inputs, Bluetooth with steering-wheel controls, 6-way manual drivers seat, tilt/telescoping steering wheel, 60/40 split folding rear seat, remote keyless entry, and variable intermittent wipers. The base Soul comes with a 6-speed manual transmission, but a 6-speed automatic is available ($16,200). Options include alloy wheels and an ECO package that includes idle-stop-andgo start-stop system, power mirrors, alloy wheels, luggage under-floor tray, illuminated visor mirrors with extensions, and low rolling resistance tires. Accessories include illuminated sill plates, cabin lighting, auto-dimming mirror, floor mats, cargo net and rear spoiler. The Soul+ ($16,700) upgrades to the 2.0-liter engine, and adds 16-inch alloy wheels, stereo tweeters, leather-wrapped steering wheel, Soul logo inserts on the upholstery, and metal-finish trim. The 6speed manual is standard, but it’s available with the 6-speed automatic ($17,700). Options available only on automatic versions include a power sunroof and fog lights ($800), 350-watt Infinity/UVO by Microsoft entertainment system with rear camera and HD radio, and the ECO package. The top of the line Soul! ($19,900) offers only the 2-liter and 6-speed automatic, and adds 18-inch alloy wheels, body-color trim, LED running lights,
Publisher Lary Coppola Editor Tim Kelly Advertising Sales Dee Coppola Creative Director Steve Horn Webmaster/IT Greg Piper Graphic Design Kris Lively Office Administration Jennifer Christine Web Host PCS Web Hosting LLC Contributing Writers Rodika Tollefson Don Brunell Dan Weedin Julie Tappero Jason Parker
36 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
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Silverdale should be a city Plan doesn’t pass logic test By John M. Taylor The best thing that can happen for the Silverdale business community would be the incorporation of Silverdale. The closer the government, the better the management. When Silverdale is incorporated, it will be a Washington code city, well defined by state law with a professional manager and a seven-member part-time council elected at large from their local neighborhoods. This is a replacement form of government designed to manage urban communities. Local voters controlling permitting, land use, taxes and services will build a better community. The chairman, secretary and treasurer, as well as all the other members of Citizens United for Silverdale except two, are selfemployed and one of the two is retired. We are all well established in our businesses and careers and have nothing to gain from the incorporation of Silverdale except the obvious benefit of living and working in a better community. If you were in attendance at the forum sponsored by the Central Kitsap Community Council and the Silverdale Chamber of Commerce on Jan. 17, you already know that the incorporation of Silverdale will add no additional tax burden or government. What we learned from the other recently incorporated cities is that if the voters of a new city don’t want additional regulation or taxes then it won’t happen. None of the cities represented raised taxes, none had a business and occupation tax, and only half even had a city business license. Of the two charging for a business license, one city charged $10 and the other charged $40. Those cities provided additional services to small businesses including business counseling and marketing assistance. As Silverdale continues to grow, delaying incorporation will only cause greater transition problems for both Silverdale and the county when it finally does happen. Fortunately, that transition will be mitigated by the normal practice of the new city contracting back to the county for most of its services. The transition is a smooth and orderly three-phase process that takes approximately five years. All the cities consulted with have far less operating costs today than they would had they not incorporated Many have lowered their taxes. The point is that local decisions will be made by local citizens who are most directly affected by the consequence of those decisions. I am amazed at the number of people I meet who are surprised to find out Silverdale is not a city. Silverdale looks like a city, feels like a City, page 37
By Jack Hamilton A recent opinion in this paper addressed Silverdale incorporation and recommended approval. A significant part of the recommendation dealt with assumed flexibility in land-use decisions and the potential impact of cost to taxpayers. With respect to land use, GMA and countywide planning policies will still apply. The Hearings Board rulings on requirements for sanitary sewer systems and a minimum density will have major, continuing impact on growth in Silverdale. The density ruling will force “infill” rather than boundary expansion and poses a direct threat to the existing nature of Silverdale. The previous designation of a one-mile square section of Silverdale (including Old Town) as a growth center, by Puget Sound Regional Council (in return for transportation dollars that never materialized), places additional development constraints on the entire area. The limitations on development present a problem for future economic growth in the “city” and the potential to expand a tax base to meet the eventual cost of growth. Finally, it is not apparent that the primary players in the tax structure, the business owners and commercial property owners, are prepared to jump on board at this time. Many of those businesses, especially the local small businesses, are operating at their margin or using reserves to stay in business. Small businesses already have enough uncertainty regarding taxation, fees and other new cost requirements and they surely do not need the potential of a city government to help them out. That a city government is not an additional layer and will not create additional cost does not meet the logic test. Services need to be provided and services cost. If the service level currently enjoyed is acceptable, why change? If you want more, it will cost more. The capital cost alone for a “city hall” and administrative offices, salaries for city officials and workers, and the capital costs for “city” equipment must create some additional cost. If services are contracted from the county or another jurisdiction, the per capita cost will be higher than present for the same level of service. Because the type of government has not been defined it is difficult to assess actual costs but, as a minimum, a rough draft budget with reasonable estimates of revenue and cost needs to be presented before the voters are asked to buy in to the proposal. Finally, there appears to be an assumption that all taxes and fees currently collected in Silverdale will immediately accrue to the city Logic, page 37
A commitment to our veterans By Don C. Brunell In the midst of seemingly endless partisan arguments in our nation’s capital about how to reduce unemployment, WalMart, America’s largest retailer, announced its own plan to deal with the problem. William S. Simon, president and chief executive officer of WalMart U.S., announced that beginning on Memorial Day, the company will hire any recent veteran who wants a job. Any veteran honorably discharged within the last 12 months is welcome to apply. Company officials estimate that 100,000 of the company’s 1.4 million U.S. employees are veterans and project that the five-year program will double that number. “We believe Wal-Mart is already the largest private employer of veterans in the country, and we want to hire more,” said Simon in a Jan. 15 announcement. “I can think of no better group to lead in revitalizing our economy than those who have served in uniform. Through their service, veterans give us a land of freedom. When they return, it must be to a land of possibility.” Simon stressed that hiring veterans will pay major dividends for employers. ''Hiring a veteran can be one of the best decisions any of us can make. These are
leaders with discipline, training and a passion for service.'' The unemployment rate for veterans of the Iraq and Afghanistan wars is about 10 percent, compared with 7.9 percent for nonveterans. First lady Michelle Obama called WalMart’s announcement “historic.” “Wal-Mart is setting a groundbreaking example for the private sector to follow,” noted Obama. “As our wars come to an end and our troops continue to come home, it's more important than ever that all of us — not just government, but our businesses and nonprofits as well — do our part to serve those who have served us so bravely.” The first lady is spearheading the administration’s effort to encourage private employers to hire veterans. The program, Joining Forces, works to connect service members, veterans and military spouses with the resources they need to find jobs. As evidenced by the Joining Forces program, assistance efforts are increasingly recognizing the sacrifices made by military families. Many of the service members in today’s volunteer military are married with young children. Their spouses and children subsist on low military pay and often bear the brunt of the impact when returning service members can’t find a civilian job. Our state plays a major role in veterans’ assistance efforts. Washington is one of 22 states with favorable state laws or policies for military spouses, and as chair of the Senate Veterans’ Affairs Committee, Sen.
Patty Murray, D-Wash., is on the front lines of veterans issues. Her perspective is shaped by her personal experience as the daughter of a disabled World War II veteran and what she saw as a college intern in a Seattle Veterans Administration psychiatric ward. In 2010, Murray sponsored the Veterans Employment Assistance Act, a series of proposals to improve training, skills transition, education and small business assistance programs for veterans. In 2012, she co-sponsored the Veterans Jobs Corps Act, designed to increase training and hiring opportunities for veterans as police officers, firefighters and other first responders. The support for America’s veterans is in stark contrast to the treatment of Vietnam veterans who were ridiculed and spat on by protesters. Today, most people set aside their differences on U.S. military policy and support the veterans who serve on our behalf. Helping our unemployed veterans is an example of how government and the private sector can work together on a major problem. Hopefully, we can use this successful public-private partnership as a blueprint for tackling the rest of our nation’s challenges. • Don Brunell is president of the Association of Washington Business. Formed in 1904, the Association of Washington Business is Washington’s oldest and largest statewide business association, and includes more than 8,000 members representing 700,000 employees. For more about AWB, visit www.awb.org.
from page 36 city, and the Growth Management Act expects it to be a city. Silverdale needs to retain and strengthen its own identity. Real leadership is seeing and understanding the consequences of our decisions farther into the future than anyone else around us. Now is the time. • John M.Taylor is a lifelong Kitsap County resident and real estate broker in Silverdale.
from page 36 and that outstanding debt for projects in Silverdale will remain with the county. It just does not happen that way. The proposal would severely curtail county funds but still expect that the nonresidents (80 percent of people who support Silverdale business) will accept that reduction and continue to “shop Silverdale.” Don’t count on it. I do support eventual incorporation of Silverdale. I just cannot support incorporation at this time of economic uncertainty and with the lack of solid planning information being provided by the proponents. They have not made a compelling case. • Jack Hamilton lives in Silverdale .
New members elected to YWCA board Keyport Naval Undersea Warfare Center. Simpson is a Kitsap County Sheriff’s deputy Sheriff, and Garrido is a web developer and owner of a consulting business. They will join the 17 other current YWCA board members.
"To me, there are some commonsense things we can do that both respect Second Amendment rights, and move the needle to keep our kids safe," said Kilmer, who has two young daughters and reacted to the school tragedy "as a parent," not as a policymaker. In the latter role, he said during the lunchtime conversation, he's been "doing a lot of outreach to mental health professionals, gun owners, educators ... to get their sense of what's going to work. "Not just some feel-good thing," he stressed. "But what's actually going to keep kids safe?" Maybe if more people who are appalled by the menace of gun violence — the frightening specter of mass shootings and the reality of thousands of homicides every year — engage in discussions like Derek Kilmer and a military veteran at SAFE Boats did, there may be hope for figuring that out. Tim Kelly is editor of the Kitsap Peninsula Business Journal
from page 38 horrifying and spark widespread angst and outrage, they are still rare occurrences. "These are very, very infrequent events," Dr. Stephen Morse said on a public radio program I listened to driving back to my office after the SAFE Boats tour. The topic was gun laws relating to the mentally ill, and Morse, a professor of law and psychiatry at the University of Pennsylvania, noted that "Not only is it difficult to predict future serious violence accurately, but the more infrequent the event you are trying to predict, the (harder) it is to predict it accurately." But whether or not we ever know if a mentally ill person or anyone else who might slaughter innocents with an AR-15 semi-automatic rifle was thwarted because of a particular law or regulation, it's worthwhile to do more than just collectively wring our hands.
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 37
The YWCA of Kitsap County recently elected the following new board members: Robert Forbes, Wendy A. Miles, Gary Simpson and Ramon (Ray) Garrido. Forbes is a community volunteer and former police chief in Bremerton. Miles is a strategic planning manager for the
Is the Gang That Couldn’t Shoot Straight running the Port?
38 • Kitsap Peninsula Business Journal • KPBJ.com February 2013
Is it just me, or does the Port of Bremerton remind anyone else of the Gang That Couldn’t Shoot Straight? For years, I’ve said that there isn’t a way for the local Republicans to shoot themselves in the foot they hadn’t thought of, but that I have great confidence in their ability to invent new ones. I’m beginning to think the Port of Bremerton falls into that exact same category. Beginning with the stealth tax that built the money-losing Bremerton Marina, to its latest insult to the people paying the bills — an arrogant refusal to honor a Public Records Request — it’s no wonder the public has zero confidence in the Port’s current management. When the port hired former Bremerton Mayor Cary Bozeman as its CEO, it looked like the beginning of a new era, where forward thinking would finally prevail. Bozeman’s resignation as mayor and hiring as CEO seemed to me at the time to be a stroke of genius on someone’s part. Bozeman was facing re-election, which I believe he would have won handily in spite of naysayers about the infamous tunnel, but would have faced four years with an economy that had tanked and brought downtown redevelopment — his personal passion — to a halt. In spite of his critics, I believe Bozeman is a true leader — a big-picture guy with extraordinary vision. While no one will accuse him of being detail-oriented, he knows how to get things done, and surrounds himself with people who understand visionary thinking and know how to handle details that turn vision into reality. With the voters angry at the port over
the tax to build the marina, and because of the economy, no projected money on the horizon for the city to move downtown redevelopment forward, the move to the port appeared to be a win/win. However, until Bozeman arrived, no one really understood just how furtively mismanaged the port had been. It was sitting on a huge LARY COPPOLA empty building it was ill-advised to The Last Word build in the first place, costing taxpayers more than $20,000 a month, and eventually leased at significantly less than local market rates just to stem some of the bleeding. It was losing money on both marinas, the airport, and had empty buildings at the Olympic View Industrial Park. For two years, Bozeman was forbidden by his bosses — the port commissioners — to spend any money on new initiatives. In one discussion we had, he said what the port really needs is an experienced entrepreneur running it, and commissioners willing to invest money to make money. Bozeman retired at the end of his contract, and in my view, the port lost a tremendous opportunity to fix its problems because the commissioners are obsessed with not spending any money. When the commissioners tapped second in command, Tim Thomson, to take over as CEO, I believed it was another misstep. I’ve known Tim for about 20 years. He’s a really nice guy, a good administrator,
but the wrong guy for the job. He’s retired military, with no real entrepreneurial experience. He’s used to taking orders — and not challenging them. So standing up to strong, irascible personalities like Commissioner Larry Stokes — a financial conservative, as is Commissioner Axel Strakeljahn — just isn’t in his DNA. He’s a guy caught between a rock and hard place. The port’s recent proposal to turn the money-losing Bremerton Marina over to private enterprise seemed to me to be a good idea. However, the port’s insistence the private operator keep the port’s current level of unionized staffing, coupled with the expectation the port would make a profit on the private operation, made this a nonstarter. If a profit was to be made, why didn’t the port just make the changes necessary to do so? Also, it seems to me, just getting out from under losing $1,000-plus a day would improve the port’s bottom line even if it didn’t make a nickel off the private operation. In an attempt to learn more about exactly how the port expected to pull this miracle off, I submitted a public-documents request for copies of the two responses to the port’s RFP — submitted by Marsh Andersen LLC and its principal owner, Robert Wise of Bainbridge Island, and Marinas International Inc. of Dallas. Rachel Pritchard of the Kitsap Sun also submitted the same request, the same day. Our editor, Tim Kelly, had previously learned that both Wise and Marinas International might be interested in not just managing, but possibly purchasing the marina that cost taxpayers $34 million to
build, were it to be made available and the deal worked for them. Any information about a sale would be exempted by law from the Public Records request, and the port would not have to release those parts of the documents. However, a sale was not what the RFP called for, so the proposals should have been released. However, the port didn’t see it that way. Rachel agreed to contact Tim Ford, the state’s assistant attorney general for government accountability, and share his opinion. I also copied Ford on my own communications with the port. Ford said the proposals are public, and suggested asking for supporting legal citation, if the port refused our requests. Rachel and I both received an email from the port stating that, “public release of (request for proposal) responses prior to port commission action could result in private gain or public loss by disclosing critical private proprietary terms, conditions and values that may be used in future negotiations with the port.” There was no supporting legal citation, and reading the proposals, it becomes clear that just isn’t so. While not an outright denial, it indicates a determined unwillingness to share public information. Commissioner Roger Zabinski strongly supported releasing the documents and lobbied for that, but was overruled. In the end, the port rejected both proposals. While it complied with the letter of the Public Disclosure law, it certainly violated the spirit of it — arrogantly reminiscent of the stealth tax.
A conversation that shows we can talk reasonably about guns My cousin who's a Facebook denizen is a staunch supporter of the Second Amendment. Lots of his posts spout garden-variety gun rights bravado, but some I find tasteless and offensive. I usually resist the urge to respond and call him a gun nut, because that doesn't help foster thoughtful discussion about addressing gun violence. My congressman, Rep. Derek Kilmer, is a Democrat who also says he supports the Second Amendment, but for him that support doesn't preclude considering reasonable measures that might help prevent senseless violence that shocks us to our core, as happened at a Connecticut elementary school. On Kilmer's tour of the SAFE Boats plant in Bremerton with CEO Scott Peterson a couple weeks ago, there were conversations about improving manufacturing efficiencies and finding enough skilled welders and negotiating contracts with foreign military services — and then the freshman congressman met an SBI employee retired from the
military, over chili dogs for lunch. The conversation on the factory floor turned to gun control, but it stayed civil — which all too often is not the case when that topic comes up. Reasonable people — maybe even including my cousin in Missouri — ought to be able to respectfully TIM KELLY consider Editor’s View each other's views on such a controversial issue without resorting to mockery and insults that only harden us into our own unyielding positions. It's a nonstarter if the mere mention of gun regulations — not even using the loaded phrase "gun control" — provokes angry accusations of trying to abolish the revered Second Amendment. Nobody in their right mind is going to lead that crusade, nor think there's the slimmest
chance of amending the Constitution to deny citizens the right to bear arms. That would be even harder than restoring Lance Armstrong's reputation. The remarkable thing about that brief discussion amid the loud industrial setting at SAFE Boats was that two men, who might tend toward different ends of the gun rights spectrum, really listened to what each other had to say. The retired military guy made it clear that he wouldn't abide anyone taking away his legal firearms, but he said it so dispassionately, with no tone of defiance. "I don't want to have to go bury my guns out in the yard," he told Kilmer, "because I'm not gonna give them up." Yet he seemed to regard the notion of government confiscation as farfetched, and to realize there are more pressing realities to confront. He mentioned the need for legislatures "to hold people accountable," referring to irresponsible gun owners and convicted violent criminals who are released after minimal jail time. And he
didn't reflexively dismiss any federal attempts to deal with the complex problem of gun violence. "I think it's appropriate for Congress to take some action," he said, such as measures to enhance school safety and requiring more stringent background checks for gun purchases. Kilmer talked about his visit to Kitsap Mental Health Services earlier in the day, which drove home the critical need to provide more treatment for people struggling with mental illness and to keep lethal weapons out of those folks' hands. "I think caring for the people in need of that is huge," the worker said. But as for knowing who's unstable enough to commit an atrocity like Newtown, "how do you identify that?" It's extremely unlikely anyone will. Because even though mass shootings — in a movie theater or a first-grade classroom or most recently in a pastor's rural family home in New Mexico — are Conversation, page 37
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Commercial CBA512042 $1,000,000 Mixed use building in downtown Bremerton. Skip to the Seattle ferry, the Admiral theater, new 10-screen theater, several parks, restaurants, coffee bars. 11 res units, 3 comm. Units +- 51 space parking lot. Victor Targett, CCIM for details. 360-731-5550. Commercial CBA509296 Commercial (For Lease) Class A office space in downtown Bremerton. 6,108 sq ft on 2 levels with high quality improvements, excellent visibility, with lots of parking. Victor Targett CCIM for details 360-731-5550. Poulsbo CBA509029 Adjacent to new Safeway Supercenter on 10th Ave., approved for 4,790 sf building, this site is available for $249,000 or call for price on turnkey commercial space. Call Kelly Muldrow at 360-710-0509 or Joe Michelson at 360-282-5340. Poulsbo CBA454043 2 very nice offices in Olympic Place 2. 972 sq.ft. & 1475 sq.ft. Each contains private offices. Great parking, elevator & competitive rents. Joe Michelsen 360-692-6102/360-509-4009.
Silverdale CBA509502 Beautifully completed office space on the ground floor of the Cavalon Place II Building (class A), in Silverdale. Six offices, conference room, kitchen, reception and storage in 1815 square feet. Bob Guardino 360-692-6102/360-710-7844. Silverdale CBA475911 Office for lease. Fully built out offices with restroom, kitchen and easy freeway access. Competitive rents and very close to hospital annex. Joe Michelsen 360-692-6102/360-509-4009. Silverdale CBA517898 $215,000 Zoned Hwy Tourist Commercial, this well kept comfortable 3/1, 1,299 sq.ft. rambler home on 1.87 acres is well suited for a variety of office and some retail uses. Located on busy street in Silverdale. Mark Danielsen 360-692-6102/360-509-1299. Silverdale #365570 $1,500,000 Beautifully, mostly level & cleared 1.96 acre parcel zoned regional commercial on Randall Way next to the new Navy Federal Credit Union, due east of Target store. Adjacent 3.2 acres also available. Mark Danielsen 360-692-6102/360-509-1299.
February 2013 Kitsap Peninsula Business Journal • KPBJ.com 39
PROPERTY FOR SALE OR LEASE Commercial CBA486951 $100,000 Downtown Redevelopment in Bremerton offer one level Commercial retail/office space with 1,240 SF, 2 restrooms, 5 parking spaces plus on street parking in an area of redevelopment. Victor Targett, CCIM for details. 360-731-5550.