With economic summit, Quinault Nation looks for common ground

Summit’s goal to avoid divisiveness

The Quinault Indian Nation estimates it now generates a few more than 1,400 jobs directly and indirectly to the Grays Harbor economy, with plans to break ground this summer on a new Q-Mart store at Hogan’s Corner and an ongoing $30 million project to expand the Quinault Beach Resort and Casino.

During a day-long Grays Harbor Coastal Economic Summit at the resort on Thursday, tribal officials, state and county legislators, the Port of Grays Harbor and a number of business and community leaders gathered to share plans, information and ideas about how to further the economic health of the area.

Of specific concern to the North Beach area, discussions continued about what can be done with the tribe-owned Ocean Shores Marina, with the tribe calling for a public-private partnership that might involve the Port and potentially the county. Also, plans for the resort and casino property include “an increase of the lodging capacity, improvements to the RV park, and ocean boardwalk connecting to the Sweetgrass (Hotel in Ocean Shores) property, and even commercial, condominium and residential development.”

Quinault Nation President Fawn Sharp gave the keynote address to the group of about 50 people, and she touched on how the tribal economy has grown since she first took office in 2008. At that time, she noted, the tribe’s annual budget was about $50,000, compared to more than $10 million now.

“While we do have differences, we have way more in common because we all want to have a bright future for our region,” Sharp said of the intent of the economic summit.

Attendees included all three Grays Harbor County commissioners, two of the three Port commissioners, state Reps. Steve Tharinger and Brian Blake, representatives from Gov. Jay Inslee’s office and from the offices of both U.S. Sen. Maria Cantwell and Sen. Patty Murray, and the Grays Harbor PUD and Greater Grays Harbor Inc., among other agencies. Among the businesses to participate, there also was a group from BHP Billiton in Canada, the world’s largest mining company from Saskatoon, Saskatchewan, that has expressed interest in shipping potash through the Port of Grays Harbor.

Sharp urged those in attendance to help break out of their “silos” and find ways to work together.

“How can we strategically look at what is on the horizon, strategically enlist our resources, and strategically come together for that vision we all have,” Sharp said.

The morning session was an opportunity for those participating to give an overview of the projects that already are in the works, while the afternoon was focused on more open discussions, such as affirmations by Port tenants Contanda (formerly Westways Terminals) and Renewable Energy Group (formerly Imperium) to abandon plans to ship crude oil through the Harbor by rail and sea in favor of other products, such as biodiesel, renewable diesel, methanol and other refined products.

Tribal economy

Sharp stressed how the Quinault economy, especially its salmon and seafood resource, is directly tied to the environment, while issues such as flood planning in the Chehalis River basin or increasing ocean acidification and climate change all have an impact on development plans.

“We’re doing our best to understand all the different impacts” of various projects the tribe is being asked to consider, Sharp said.

“It’s not a policy question, it’s a cultural question, it’s a scientific question,” she said. “We try not to pre-judge things, and we try to be open-minded. We don’t want to be characterized as anti-jobs or anti-projects. I think it’s well said that we are very much about jobs and creating partnerships. We don’t want to operate in a vacuum.”

Scott Reynvaan, Quinault economic development specialist, said the tribe is now the largest employer in Grays Harbor County, with the primary goal of employing and training Quinault members. As part of the summit, the tribe presented a 28-page executive summary of its economic development strategy to all those in attendance.

At Hogan’s Corner at the junction of State Routes 109 and 115, a new Q-Mart will be built over the next 12-24 months, Reynvaan said. The Q Mart in Aberdeen generated $7.44 million in operating revenue the year after it opened in 2014 as a convenience store that sells tobacco and fuel, and it is currently projected to reach $15 million, according to the summary.

“It’s a big deal to the nation and another example of a high quality investment,” Reynvaan said of the new Q Mart.

Consultant Bob Whitener, whose Whitener Group produced the Quinault economic report, discussed the expansion plans at QBRC, which eventually will include a parking garage to go along with expanded gaming areas, a new 250-seat buffet, entertainment room, a full Starbucks, and non-smoking area for gaming.

The tribe also continues to expand its seafood and fishing operations, with purchase of an offloading dock in Westport and the establishment of Jolly Roger Seafood to go along with its Quinault Pride Seafood operation in Taholah. Whitener said there are plans for a woodworking facility in Queets, along with plans for “building the brands along these rivers.”

“You will see Quinault salmon marketed as a whole food product,” he said.

Don Kajans, who manages the resort and casino for the tribe, noted: “Quinault Beach Resort and Casino and the Quinault Nation are very bullish on the Harbor. That’s why they let us spend $30 million for an almost 40,000-square-foot expansion.”

The expansion is expected to increase resort and casino capacity by about 40 percent, with an equal impact on gross revenue.

Marina dilemma

Concerning the Ocean Shores Marina, the tribe recently demolished the dilapidated Silver King Motel that was an eyesore on the property, but there are still no long-term plans to rebuild the marina operation or expand the RV park and campground the tribe also owns.

“We see that as a future multi-partner partnership,” Whitener said, suggesting some sort of public-private effort to better develop the property.

“Of course, the marina property has had a number of years of neglect,” Whitener added. “We started to look at cleanup and how to stabilize the facility, but we find ourselves with ownership of something that doesn’t quite fit.”

He said the tribe “really isn’t the right public agency to try to create some sort of recreation access or recreational-type marina.”

“We can do a collaborative process and think about what’s best for Ocean Shores, Grays Harbor and the Nation,” Whitener said.

Larry Thevik, vice president of the Washington Dungeness Crab Fishermen’s Association and a longtime user/tenant of the marina, noted the facility “was originally a fundamental and dynamic piece of the economic development of Ocean Shores.”

“In its present form, we all know it’s not contributing much,” Thevik said. “Part of what is lacking is a little bit of vision about the renewal for that asset — because it truly is an asset.”

“The idea of a water link between the north side of Grays Harbor and the south side of Grays Harbor, and the benefits we would all accrue from that, I think we’re kind of missing,” Thevik added. In 1982, he said, 85,000 people used the passenger ferry at the marina to go across the harbor between Ocean Shores and Westport. “So much has been forgotten that I don’t think we can see what can be renewed.”

Going forward

In addition to the focus on specific projects, Sharp shared her vision for a healthy tribal economy, noting that “historically, our economies were focused on tribally owned businesses” such as the fish house or timber operations, and then the resort/casino. The view is now broader, she said, to help build a private sector economy, such as with the establishment of the tribal Taala Fund in 2009 to help provide business capital.

“We went from having no small businesses to now over 30 small businesses,” Sharp said of the financial benefit of the Taala Fund.

Among other plans, the tribe also intends to build a new museum and interpretive center, but a specific site has not yet been chosen. Currently under consideration are sites near Lake Quinault or at Point Haynisisoos on the ocean.

“We understand that as public policy officials, it is our job to create a healthy environment for business to thrive,” Sharp said.

Overall, the intent of the summit was to lay a blueprint for future discussions and better understanding of issues that may arise before they become divisive, such as over the crude oil shipping plans that galvanized opposition from the tribe and local citizen and environmental groups.

“I would hope this is the first of many opportunities we have to come together,” Sharp said.

Port Director Gary Nelson noted that he and Sharp had previous discussions about such a summit.

“I concur that we have a lot more in common than we have differences,” Nelson said. “This is a great first step. … The key is diversification of our economy.”