07/13/2020 - Minutes
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City of Port Orchard
Economic Development and Tourism Committee
Meeting Minutes
Monday, July 13, 2020
Committee Members Present: Councilmembers Bek Ashby, Fred Chang, Shawn Cucciardi (Chair)
City Officials and Staff: Mayor Rob Putaansuu, City Clerk Brandy Rinearson, Community Development
Director Nick Bond, Long Range Planner Keri Sallee
Guests: Jack Edwards, Coreen Haydock, Matt Murphy, Christine Stansbery
Chair Cucciardi called the meeting to order at 9:30 am.
1. Discussion: Extended Foot Ferry Services for 2020. City Clerk Rinearson said that in previous years,
the City of Port Orchard has partnered with the City of Bremerton to contract with Kitsap Harbor Tours
for extra foot ferry sailings through Labor Day, coordinated with downtown festivals and similar events.
This contract has been funded from Port Orchard’s lodging tax funds and Bremerton’s general fund. In
May, Port Orchard and Bremerton agreed that this contract would be put on hold in response to the
Governor’s “Stay Home, Stay Healthy” Order prohibiting large gatherings (50 or more people) due to the
COVID-19 pandemic. Since the Order has not been lifted, and Kitsap County remains in Phase II of the
Governor’s reopening plan (Phase III would allow 50 or more people at a gathering), it does not appear
likely that Kitsap Harbor Tours services will be needed for Port Orchard festivals this summer.
Councilmember Ashby said that if the downtown festivals have been canceled, she does not believe the
City has the authority to execute the contract. Chair Cucciardi said that since lodging tax receipts for
next year’s grants is likely to be at a historic low due to the pandemic, the City should take this
opportunity to save funding to help struggling businesses in 2021. The committee agreed to suspend the
contract for 2020. Rinearson will communicate the decision to the City of Bremerton and Kitsap Harbor
Tours.
2. Discussion: Lodging Tax Funding. Rinearson provided an update on the City’s 2020 lodging tax
funds, including a budget summary report, the grant application process, and how grant funding will be
allocated. The Lodging Tax Advisory Committee (LTAC) will begin accepting applications in approximately
mid-August to early September, and the committee will meet in September and October to coordinate
applications with the City’s budget review process. The City’s Finance Director estimates that with a
significant carryover from 2020, there will be approximately $100,000 for distribution in 2021. Chamber
of Commerce Executive Director Matt Murphy said that the Chamber’s requests for lodging tax fund
reimbursements for the remainder of 2020 will be minimal, and primarily for continuing staffing and
other fixed expenses. The Port Orchard Bay Street Association (POBSA) may do some additional
advertising, but they are not focusing on tourism or event marketing this year, and they also do not
expect to use all of the funding they were allocated.
Murphy asked if the projected 2020 lodging tax revenues and 2021 available funds are still on target.
Finance Director Noah Crocker will participate in the August EDT meeting to answer this and additional
questions about LTAC funding.
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3. Discussion: Effects of COVID-19 on Port Orchard Businesses. Cucciardi said that the state has
allocated some CARES ACT funding to cities, including Port Orchard. Mayor Putaansuu has
recommended that the City move forward with a grant process to allocate approximately 25% of the
City’s CARES ACT funding to assist small businesses that have been struggling due to the pandemic.
Cucciardi asked if there was anything else that the City could do to assist its business during this time.
Murphy said that he had been working with the Mayor to provide personal protective equipment (PPE)
to local businesses for their employees and customers. He is also working on a video that is supportive
of local businesses that comply with the law and require masks. Additional friendly signage downtown,
as well as Facebook posts and other City reminders, about complying with social distancing and mask
requirements could also be helpful for small businesses. Cucciardi will pass on these suggestions to the
Mayor and the City’s public information officer. POBSA has also been considering adding photos of
people strolling around downtown Port Orchard with masks, shopping and enjoying themselves.
Christine Stansbery, POBSA Treasurer, asked if the City could provide exemptions for small downtown
shops, which are hampered by the limited occupancy requirements of the Governor’s Order, to have
sidewalk sales, outdoor pop-up displays, etc. Cucciardi asked if the downtown businesses could prepare
a suggested plan that the Council could consider. Ashby said that personal service providers, such as
massage therapists, should also be considered for support. Community Development Director Nick Bond
said that if sidewalk sales are approved, ADA requirements will need to be considered in terms of
maintaining minimum clear sidewalk widths. The City will also need to be indemnified in case anyone
trips or is otherwise injured while participating at a sidewalk sale. Cucciardi asked that any other ideas
be brought forward to the City Council and Mayor for consideration.
Additional Discussion: Bond said that the City received its April 2020 population estimate from the state
Office of Financial Management, and subsequent to a revision the population is now 14,770. Year to
date, the Department of Community Development (DCD) is issuing building permits at a rate
comparable to the past couple of years, particularly for residential construction. At this time, DCD is
reviewing 13 applications for apartment buildings, with over 200 total units. Bond also reminded the
participants to take the downtown subarea plan survey, which is online. The Ruby Creek Neighborhood
Subarea Plan is also online, and will go to a public hearing on August 4.
Chair Cucciardi adjourned the meeting at 10:21 am.
Next Meeting: August 10, 2020 at 9:30 am, via Zoom teleconference.