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Council presses for insurance, fundraising details before deciding on donated "Lady Bee" tugboat
Summary
Advocates propose donating the 40‑foot tugboat Lady Bee for display in Willamette Park; city attorneys flagged lead paint and PCB risks and the insurer (CIS) said it would likely cover the display if mitigation and site protections are implemented. Council asked for a CIS review, clearer maintenance funding and fundraising milestones before a decision.
Advocates for preserving the historic tugboat Lady Bee asked the West Linn City Council to accept the vessel as a donation and place it on public display at Willamette Park, but council members and staff said they need more information on insurance, hazardous‑materials remediation and long‑term maintenance before taking ownership.
Jim Edwards, an advocate for the project, said the boat is the "real thing" and urged that it be saved rather than scrapped. "We have the opportunity to save a real boat, a real tugboat that was used on the Willamette River," Edwards told the council. He said advocates already have $25,000 and plan a fundraiser next week and that earlier cost estimates put the fundraising target at about $200,000 (he said he may raise that to $250,000). "The city doesn't have to do anything until we raise the $200,000," Edwards said.
City Attorney Kaylee Klein and staff reviewed a draft memorandum of understanding and redlined donation agreement and identified outstanding legal and safety questions. Klein noted the expert report showed "fixtures that may contain PCBs and mercury are present throughout the tugboat," and that lead paint is known to be present. She warned that the city would normally require broader seller warranties and protections when accepting an artifact as large as a 40‑foot vessel.
Klein said the draft MOU reduces city risk by making advocates raise needed funds in advance, but she flagged the timing of title transfer — the city would take ownership before lead‑paint encapsulation is completed under the advocates' proposed edits. "That is a policy decision for the council," Klein said, adding that the city must consider whether it is comfortable accepting more risk than it usually would.
Insurance was a central question. Klein reported that the city's insurer (CIS) "most likely" will cover the Lady Bee once placed in Willamette Park under the city's general liability, but CIS could issue a loss exclusion until mitigation is completed and may set specific mitigation requirements such as fencing, signage or other protections to reduce attractive‑nuisance risk.
Council members expressed mixed views: some emphasized the vessel's historic value and compared it to museum displays elsewhere, while others worried about the size of the object (40 feet), ongoing maintenance costs and staff time required to manage the project. "I just don't think we've ever taken on an object of this size," Councilor Bridal said, noting the council's constrained staff capacity.
Council directed staff to obtain a CIS review, to clarify fundraising milestones and contingency plans if fundraising fails, and to return with that information at a short work session or the next business meeting so the council can decide whether to accept the donation.
