Commission discusses dredging, port‑district proposal and funding options as urgency for marina work grows

Commissioners at the Jan. 13 Oak Harbor Marina Advisory Commission meeting pressed city staff for concrete funding options for dredging and other long‑range marina repairs, saying the marina’s condition creates urgency for funding beyond tenant fees.

Staff member Chris reported that Representative Rick Larsen had included the Oak Harbor marina in language in the Water Resources Development Act (WRDA) bill referencing a 1996 provision (section 504(a)) that would instruct the U.S. Army Corps of Engineers to investigate dredging the channel, building a new breakwater and maintaining both. Chris said the mention “starts the conversation” with federal agencies, but did not assert a guaranteed outcome or schedule.

Commissioners debated two near‑term funding options: a city‑administered business and occupation (B&O) tax proposal and formation of a port district. Staff said a commonly discussed B&O threshold (taxing businesses with more than $5,000,000 in revenue) was estimated in the meeting to generate roughly $800,000 a year, but commissioners noted the city has not finalized how any such revenues would be allocated. Commissioners also discussed bond measures and the scale of likely costs: participants noted a previous marina bond was about $4 million, and that current planning figures discussed in the meeting now exceed $11 million.

Chris and other staff described next steps for dredging: additional sampling is being requested, with samples combining near‑shore and deeper water to evaluate contaminant levels and identify acceptable disposal options. The meeting record names two preferred disposal/dump areas discussed: a traditional Port Gardner site (near Everett) and other regional disposal areas; staff said final decisions about disposal zones rest with the Army Corps of Engineers and NOAA. Permits for dredging remain in process, and staff emphasized there are several technical and regulatory steps before contracts or construction could proceed.

Commissioners discussed formation of a port district as a longer‑term funding and governance option. Chris said staff planned to ask City Council on Jan. 21 for authorization to proceed to explore a port district; staff and the commission intend to work with consultants and the Washington Port Association during that process. City clerk Julie Nestor (identified in the meeting as a city clerk who previously worked at the Port of Anacortes) and legal staff will be involved in framing next steps; staff said consulting and election costs are part of initial planning and that the city sought to avoid impacting the Marina Fund by repurposing portions of an economic development grant (about $600,000 requested from which staff proposed using roughly half for port‑district planning and expenses).

Commissioners urged urgency, with some saying port‑district formation is a multi‑year effort that would not provide immediate funds for dredging; several commissioners said near‑term steps (grant seeking, bond work, council action on a B&O tax or other revenue) will be necessary to fund imminent dredging permits and project work.