Olympia To Consider Spooner Berry Farm Land Purchase

Above: Mona Michaelis of Spooner Berry Farms was doing brisk business at the farm stand on Yelm Highway Friday afternoon. The Olympia city council will consider the purchase of the 83-acre parcel on Yelm Highway for a future community park.

By Janine Gates

Little Hollywood

https://janineslittlehollywood.blogspot.com

It was just a matter of time.

The Olympia City Council will consider the purchase of an 83-acre parcel, home of Spooner Berry Farms at 3323 Yelm Highway SE., at its regular meeting August 21.

The cost of the property will be $10.7 million.

The fact that the city has had its eye on the farmland for future public use as a community park has perhaps been one of the city’s worst kept secrets.

In a 2014 city assessment of undeveloped land within the city’s urban growth area, the Yelm Highway parcel stood out.

City negotiations with property owner Jim Zahn have been underway for several months.

For years, the Zahn family has leased the property to Spooner Berry Farms, who uses it for a U-Pick strawberry farm and berry stand.

Spooner’s operates multiple berry farms in the area, but as the county's population increases, acreage for farmland in Thurston County decreases.

The county has lost over 75 percent of its working agricultural lands since the mid-1950s, when Thurston County was primarily farmland. 

According to a 2015 study by the Thurston County Planning Council, 6,500 acres of farmland has been lost to development since 2000 and 22,600 acres are at risk of being lost to development.

The average age of a farmer in Thurston County is 58.9 years old and seventy percent of farmland is expected to change ownership in the next 20 years.

There are no immediate plans for the proposed future park.

Above: The 83 acre farmland on Yelm Highway in Olympia.

Future Park

The community identified the acquisition of a large, community park site for soccer fields as a high priority in the 2010 and 2016 Parks, Arts and Recreation Plans, said a city press release.

In 2004, the community voted for a parks and sidewalks funding measure that included parks acquisition. The proposed purchase moves the city closer to the goal stated in that measure of increasing the city park system by 500 acres.

If the Zahn property is acquired, the city will have acquired 440 acres since 2004.

The city says a parcel the size of the Yelm Highway site could accommodate several full-size soccer fields and associated support facilities. It could also accommodate additional community park amenities, from community gardens and trails to sports fields and courts.

The city would begin a planning process in 2019 and seek the community’s input as part of the process.  Park development would likely be done in phases, with the first phase tentatively scheduled for 2024.

The city says it is interested in developing a relationship with Spooner Berry Farms and would continue to lease to the business prior to park development.

Mona Michaelis, a lead employee at Spooner Berry Farms, has worked for the Spooner family for 16 years and hopes the news doesn’t hurt business. 

As customers jumped out of their cars and got in line at the farm stand, she said, “We’ll just keep doing what we’re doing. We have two weeks left for the blueberries and one week left for marionberries!” 

Zita Sworn In As Port of Olympia Commissioner

Above: E.J. Zita, left, was sworn in as a new Port of Olympia commissioner by Thurston County Auditor Mary Hall at the Thurston County Courthouse on Wednesday morning. Although she trailed opponent Jerry Farmer on election evening, Zita gradually pulled ahead for a final lead of 227 votes out of a total of 52,659 votes cast, not counting write-ins. A machine recount of the ballots is not expected to change the outcome of the election, said Hall.

Interview with Port Commissioner Zita 

By Janine Gates

www.janineslittlehollywood.blogspot.com

With the Thurston County elections certified on Tuesday, E.J. Zita was officially sworn into office as a Port of Olympia Commissioner by Thurston County Auditor Mary Hall on Wednesday morning.

After her swearing-in, Hall congratulated Zita and remarked that the final election numbers that gave Zita the eventual lead over her opponent, Jerry Farmer, was not typical.

“Typically, the numbers don’t flip…. In the port race for Position #1, George Barner gained 2.93% between election night and certification, and the Metropolitan Parks District ballot measure in Olympia gained about two percent, as did this port race. I can’t verify it as fact, but I heard that it was because of this race, that people waited until the last minute to vote,” said Hall, still studying the statistics.

Although a machine recount will occur, the results are not expected to change the final outcome.  Zita said she will participate in Thurston County’s formal swearing-in ceremony for all newly elected and re-elected officials on Wednesday, December 30, 2:00 p.m. – 3:00 p.m. at South Puget Sound Community College, Kenneth J. Minnaert Center for the Arts. The event is open to the public.

In a prepared statement, Zita said, “Voters had a clear choice in this Port Commission election.  Our campaign was supported by hundreds of small contributions and great volunteers - people who care about public resources, open public processes, and a sustainable future.

“....Working together, we can improve port operations, relations with the public, our bottom line, and the environment.  I am already working with good port staff, and I look forward to productive service with my fellow Commissioners….From day one, I will insist that all port business be open and transparent, that the Port Commission is financially accountable, and that we approach development in a smart, sustainable way,” she said.

 

Zita said that the first thing she'll do as a new port commissioner is her homework.

“I'm already working with staff to get up to speed on issues, and I'll be doing a lot of reading and research as I step into this role,” she said.

Zita is fulfilling the term held by former port commissioner Sue Gunn, who resigned due to health reasons. Michelle Morris was appointed to the position in June and served until Monday, November 23. Zita will be up for election again, if she chooses to run, in 2017, as will current Port Commissioner Bill McGregor.

The next meeting of the Port of Olympia is Monday, December 14, 5:30 p.m., at the Port of Olympia offices at 626 Columbia St. NW, Suite 1 – B, Olympia.

Washington Public Ports Association Training

Interviewed after her swearing-in, Zita said she participated in the Washington Public Ports Association (WPPA) training in Seattle last week. 

Asked if she learned anything new or particularly enlightening, she said that the training emphasized that Port Commissioners should hold all discussions in public, welcome all public comment, and televise all sessions. 

“Ports have two complementary missions - economics and public good….Whatever actions ports take, the WPPA explained the importance of sharing our reasoning with the public on all processes and decisions.  We should even publicly recap conversations held in “executive sessions,” which are private because of sensitive content. 

“All of our material should be posted online - people should not have to ask for it.  WPPA advises that the perfect citizen - someone who attends every port meeting and reads all the information - should never be surprised by our decisions, because we have been open about everything going into them.  Citizens should always be treated with friendly respect, and given ample time to testify, whether it is on our agenda or not, even if it makes meetings run long.  Good relationships with the public are one of the highest priorities for the WPPA.

“The WPPA provided legal and ethics training, which I got certified in.  A quorum of commissioners may not “meet” for coffee, on the phone, by email, etc. except at commission meetings.  If we find ourselves at public events together, we cannot talk business.  It's legal to carpool to events together, but it may not be a good idea.  And all port correspondence is subject to public records requests - so I will keep mine on port-issued devices,” said Zita.

A Few More Questions

Little Hollywood also asked Zita about her role as chair of the Thurston County Agriculture Advisory Committee.

Zita says she will remain chair of the Thurston County Agriculture Advisory Committee, which advises the county commissioners on current issues. She said her work on food production, farming and other agricultural issues will be complementary to her new position at the port. She said that the group recently drafted a new urban agriculture ordinance which is expected to be presented to the Board of County Commissioners by the beginning of 2016.

“We’ve been working a couple of years to make the ordinance for farming in the urban growth area more consistent with Lacey, Olympia and Tumwater ordinances. In some cases, it is currently more restrictive to farm in the county. We’ve worded it in such a way that makes farming in the areas of beekeeping, poultry, and rabbits in the urban growth area flexible and easier overall,” said Zita.

The group will also be delving into the issue of industrial hemp.

Asked what she thinks about recent conversations during port meetings about daylighting Olympia’s Moxlie Creek, which runs under city streets and exits through a pipe into East Bay, Zita said, “(Olympia resident) Harry Branch and others make good arguments that a Moxlie Creek estuary could effectively remediate contaminants such as nitrates in the creek, while restoring ecosystem services and a valuable recreation resource.

“I would like the Port to start climate planning with the City of Olympia, the state Department of Ecology, and the Thurston Regional Planning Commission. The City of Olympia is a leader in climate change planning and the port needs to know what’s coming. The possibility of remediating contaminated streamflow with a restored wetland in that area should be reviewed as part of that process.”

Zita said she welcomes the public’s suggestions for drafting proposals on the process.

Earlier this month, Zita also answered a few quick questions on emerging port issues:

Little Hollywood: What is your opinion of the code of conduct resolution (then before the commissioners), and would you vote and sign for or against it?

Zita: I agree with Port Commissioner George Barner, and with the public comments made by Bev Bassett, Denis Langhans, Monica Hoover, Jan Witt, and Sharron Coontz.

LH: Can you foresee any situation in which you might want to disagree with what another port in Washington is doing and offer them your opinion, as Commissioners Barner and Gunn did with their letter to the Grays Harbor/Hoquiam ports and their roles in the status of the oil terminals? 

Zita: Commissioners Barner and Gunn took a courageous stand.  More Pacific Northwest ports will be called on by the people to stand as a "thin green line" between extreme fossil fuel extraction and dangerous shipments to Asia.

LH: How would you have voted on the building of another warehouse for the storage of ceramic proppants and other shipments requiring shelter? Would you be interested in revisiting this issue as a new commissioner?

Zita: No and no.  The current warehouse is mostly empty.

LH: In a February 22, 2015 article on my blog, I wrote about a Port work session topic, the re-creation of a "Berth 4." At the time, it was billed as an "information only" discussion, but staff is spending time analyzing its feasibility. Do you have an opinion about the creation of a Berth 4?

Zita: I haven't read that article yet....

LH: Do you feel port work sessions should be televised?

Zita: Yes.

Above: According to the Port of Olympia, the channels on port property parcels 2 and 3 near State Street as seen here on November 20, are directing stormwater flow to remain on the two parcels, rather than allow it to flow out to the sidewalk and into the City of Olympia storm drains. 

“It is a requirement of the state Department of Ecology that we keep the stormwater on site, since Parcels 2 and 3 are within the boundary of the East Bay Redevelopment Cleanup Site,” said Kathleen White, Port of Olympia, on Wednesday. 

Port of Olympia Commissioners McGregor, Barner and Morris voted on Monday night to move forward with a mixed use development agreement with developer Walker John on this property near East Bay and State Street in downtown Olympia. Commissioner Barner voted no.

Harry Branch, an Olympia resident and retired captain of fishing, charter and research vessels with a Masters of Environmental Studies from The Evergreen State College, commented at a recent port meeting that a mixed use development on this location places significant limitations on the option of restoring or daylighting Moxlie Creek.

Branch believes that development of this property is a violation of the Clean Water Act because the parcels are likely an uncontrolled source of dioxin. He has offered the commissioners a detailed alternative for the site that would environmentally clean up and restore the historic estuary to a functioning ecosystem.

Commissioner Barner expressed an interest in having a work session on the topic and extended an invitation to Branch to further educate the Commission.

For more information about Port of Olympia activities, go to www.portolympia.com.

For past stories about the Port of Olympia issues at Little Hollywood, go to www.janineslittlehollywood.blogspot.com and type key words, issues, and names into the search button.

Correction/Clarification Added November 27: Commissioner Barner voted no and Commissioners McGregor and Morris voted yes on the developer agreement with Walker John. Little Hollywood explained who was on the commission at the time of the vote to approve the agreement, but neglected to state Barner's vote. 

HB 1437 Farmland Preservation Bill Scheduled for Hearing

League of Women Voters Address Agriculture Preservation

By Janine Unsoeld
www.janineslittlehollywood.blogspot.com

A bill that seeks to update property tax program and help small farms across the state is scheduled for a hearing in front of the House Finance Committee on Thursday, January 30, 1:30 pm, in JLOB House hearing room A. Legislative schedules are subject to change.

The bill, technically known as E2SHB 1437, concerns small farms under the current use property tax program for farm and agricultural lands, and is scheduled last on the agenda.

Currently, for farms less than 20 acres, the one acre under a farm house is assessed at the 'highest and best use'. This subjects smaller farms to a higher tax rate and works against efforts to preserve working lands. 

Farmers say that taxing one acre of a small farm at fair market value hurts small farms, and ask that all farms in the current use program be assessed the same.

Farm land that is enrolled in the Open Space program is currently assessed based on current use rather than fair market value. This reduces pressure to convert farmland to other uses.

Thurston County Assessor Perspective

In a telephone interview held earlier today with Thurston County assessor Steven Drew, Drew said he doesn’t think the bill will get out of committee.

In response to an article published by Little Hollywood on January 22, Drew explained his position about HB1437, and his role as an assessor, saying he actively supported the bill as it passed out of the House last year.

“The thing that is often lost and not well represented is that I support the concept and the bill as written. I did a great deal of work with Senator Fraser and Representative Reykdal to engineer the bill so it would pass….”

Drew said the bill was a result of a five year dialog with interested stakeholders.

“It was not the utopian bill, but what passed out of the House had the best scope. Just prior to the Senate hearing, I was informed…that it was not going to pass out of (the Senate) committee….I intended to save the bill, not oppose it….I was trying to keep it on life support.

“The tension between small and large farms is unfortunate…I don’t think the bill will get out of the Finance committee. There’s a healthy tension between what can be done to keep the issue on the forefront….Maybe this can lead to studies and citizen initiatives, but the goal is to find a way to help a bill that would pass and address part of the problem.

“There are issues with quarter horse ranches, stables and uses – those are real sticking points. The number one reason why the Legislature amended the citizen initiative…was an abuse of the original law as passed. Believe me, I got an earful from the county assessor association for being ‘off the farm’ so to speak. Anything that challenges the purity of the state process is seen as a negative, but that’s nonsense, right?

“You could put a couple horses in a field, or grow crappy hay, or sell hay to your neighbor who buys it back just to get the tax break – that’s abuse! Some large farmers are abusing this and getting tax breaks, so the large farmer does not like idea of opening it (the legislation) up.

“There’s a factual issue, a reason why home sites are valued at one acre and the state board of tax appeals has consistently ruled in favor of that one acre parcel.  We are obligated, as assessors, to uphold state law, but prefer not to value in that way. This is why I’m interested. Everything I do is driven by statute, and that limiting factor creates a disparity. I seek a solution.”

Agriculture Preservation Forum

The League of Women Voters of Thurston County held a farmland preservation forum tonight at United Churches of Olympia. About 60 people were in attendance including City of Olympia Stephen Buxbaum, Olympia councilmember Nathaniel Jones, and Port of Olympia commissioner Sue Gunn.

Information gathered from the forum will be used to update the national League’s position on federal agriculture policy, which it hasn’t updated since 1988. R. Peggy Smith of the League introduced the speakers, saying, “New thinking is needed. The loss of farmland is one of the biggest agricultural issues in Thurston County.”

Speakers and topics included:

Lucas Patzek, Thurston County director of Washington State University Extension, gave a current and historical statistical overview and inventory of farmland in Thurston County. My Favorite Quote: “How are we going to preserve big farms within the urban growth boundary?”

Steven Drew, Thurston County Assessor, spoke on the economic aspects of farming and the Open Tax program in Thurston County. Favorite Quote: “Our policies are not keeping up with the pressures to urbanize…we need creative solutions to meet those pressures.”

Chris Wilcox, a fourth generation owner of Wilcox Farms in Roy, spoke about his family’s farm and the need to be continually innovative. My Favorite Quote: How do you change an egg? We have organic eggs, omega-added eggs, liquid eggs, and hard boiled eggs…we didn’t do this by accident.”

Loretta Seppanen, a board member of South of the Sound Community Farmland Trust, spoke about her organization’s efforts to purchase and preserve farmland. The organization assisted Kirsop Farm with the leasing of its land on a 99 year contract, and purchased land now called the Scatter Creek Farm and Conservancy. My Favorite Quote: “The Farmland Trust buys the whole farm and leases it back to farmers…who will use the land to produce food for our community….”

Lisa Smith, executive director of Enterprise for Equity, discussed her organization’s successful collaboration with regional partners to assist in the business development training of local farmers. My Favorite Quote: “You’ve heard how hard it is to be a farmer…that’s why I’m not a farmer…so when you buy that food, please eat it!” (Smith cited the 2012 National Resources Defense Council report statistic that 40% of food in America is thrown away uneaten.)

For more information about farmland preservation and HB 1437, go to www.janineslittlehollywood.blogspot.com, and read “Small Farms Try Again for Tax Program Changes,” published January 22, 2014 and other stories using the search button and typing in key words.

For more information about legislative bills and schedules, go to www.leg.wa.gov. Legislative schedules are subject to change.

Above: Produce from Kirsop Farm at Acqua Via restaurant in downtown Olympia - a great example of a local "farm to fork" connection.

Small Farms Try Again For Tax Program Changes

 

Above: A close-up of the 1956 tile mural by Jean Beal in the lobby of the General Administration building on the Capitol Campus.

Farms Look To Update Property Tax Program with New Bill

By Janine Unsoeld

www.janineslittlehollywood.blogspot.com

Editor’s Note: As with any legislative story, proposed legislation and information can change fast. A loose coalition of farm advocates is working to create a statewide farmland current use bill that can pass in this 60 day session. Draft legislation wording has changed dramatically this week and today. It is current as of this writing.

While sitting at the Olympia Food Co-op on the eastside early this morning, Leslie Cushman, a volunteer small farm advocate, transferred the latest version of a proposed piece of farmland preservation legislation to me via her Smartphone. Talk about hot off the press.

It was an appropriate place to meet, and several Co-op volunteers were being trained at a nearby cash register.

By correcting inequalities in the open space and agriculture laws, farmers hope to ensure the future between local food availability and farm sustainability. 

Enjoying bi-partisan, statewide support, tax relief comes to the Washington State Legislature as House Bill 1437, a bill which would amend the home site exemption in the Open Space law. 

The proposed legislation is sponsored by Representatives Chris Reykdal (D-22), Brian Blake (D-19), Kathy Haigh (D-35), Ed Orcutt (R-20), Kristine Lytton (D-40), Kevin Van De Wege (D-24), and Hans Zeiger (R-25). On the first day of this session, the bill was taken out of Rules and referred to the House Finance Committee.

The Senate companion bill is SB 5327, sponsored by Senators Karen Fraser (D-22), Steve Hobbs, (D-44), and Randi Becker (R-2). It was reintroduced and retained in its present status.

It’s a bill that has seen a lot of history.

In a new proposed substitute bill, supporters are emphasizing that farmland preservation is an important tax policy.

Currently, for farms less than 20 acres, the one acre under a farm house is assessed at the 'highest and best use'. This subjects smaller farms to a higher tax rate and works against efforts to preserve working lands. 

Farmers say that taxing one acre of a small farm at fair market value hurts small farms, and ask that all farms in the current use program be assessed the same.

The bill would abolish the "farm house acre" practice employed by assessors. Farm land that is enrolled in the Open Space program is currently assessed based on current use rather than fair market value. This reduces pressure to convert farmland to other uses.

Supporters are now calling on House Finance Chair Carlyle Reuven (D-36) and Ranking Minority Member Representative Terry Nealey (R-16), to hold a hearing on the new bill, which ended last session as E2SHB 1437.

The Open Space Act

The details of the Open Space Act, under RCW 84.34.010,  is technical. At the time of its enactment in 1970, it was probably revolutionary, but over time, it appears that it has not stayed in step with the diversity and changing nature of today’s farms.

Three categories under the Open Space Taxation Act allow for current use valuation, and are based on the size of the agricultural parcel.

Parcels 20 acres and larger must be devoted primarily to agricultural production. Parcels between five and 20 acres must generate gross income from the sale of farm products of $200 or more per acre in three of each five-year period. 

Parcels that are five acres and under must generate gross income from the sale of farm products of at least $1,500 per year in three of each five-year period.

For parcels of 20 acres and larger, the principal residence of the farm operator or owner is considered an integral part of the farm, and the land under the house is valued at its current use value.

For parcels less than 20 acres, the land that the house is situated is valued at fair market value while the remainder of the parcel is valued at current use value.

Bill Died in Senate Last Year Last April, E2SHB 1437 passed out of the House of Representatives with a vote of 92-1. 

The Senate entertained a hearing last year on the companion to the bill, but it did not get out of the Senate Agriculture and Rural Economic Development committee by cutoff.

Prime sponsor Senator Karen Fraser (D-22) spoke to her bill last year, SB 5814, saying, “It’s a tricky matter to draft a bill for small agriculture. I want to protect the tax base and don’t want to draft a bill that is a wide open loophole for hobby farms….  

“I want to help our farmers to stay in business...farmers that sell to farmer’s markets or sell food on a subscription basis….these are highly appreciated land uses in our state. These farmers provide fresh food into our local communities.”

Representatives of the Washington State Grange supported the bill, saying “This is a great step forward to keep farmers farming.”

Lone opposition last year was voiced by the Association of County Officials due to a tax shift of an undetermined amount. The assessors association estimated a nearly $700,000 loss in revenue per year, although it was unclear where this number came from since a local governmental fiscal note was not produced. Bill supporters dispute this figure.

Supporters say the bill, which would have been a pilot project for Thurston County as proposed last year, would have had a very modest fiscal impact. Why Thurston County? 

“The Thurston County Commissioners supported the legislation and testified in front of the legislative committees. The county assessor was willing to work on resolving differences.  For a program with local impacts, the support of local government officials made a big difference.  And the residents of Thurston County are involved in a local food movement, emphasizing sustainability and community,” said Cushman.

After some discussion and generally positive remarks expressed by fellow committee members, Committee chair Brian Hatfield (D-19) said he was torn on the bill, expressing concern about a possible loss of tax revenue to local governments. 

“I grew up in county government and tend to bounce things off local government. Let’s balance this thing out…maybe there’s a compromise, maybe not. I’m glad we’re starting this conversation,” said Hatfield last year.

Small Farms Speak Up

Common Ground Farm in west Olympia works in community sustainable agriculture (CSA). Some of its CSA customers who receive a weekly box of fresh vegetables and herbs from mid-May to mid-November, have been buying Common Ground’s produce for over 20 years.

A farmer for 31 years, Nancy Laich of Common Ground testified last year to the Senate committee. Laich served on the Thurston County Agricultural advisory committee, and helped Senator Fraser craft last year’s legislation. She has long worked for farmland preservation, and served on the board of the South of the Sound Community Farmland Trust.

To explain the reason for the bill, Laich explained that the land under her house on her 15 acre farm receives continual increases in the assessed value because she is close to an urbanized area.

“It’s compared with nonconforming one acre lots hooked up to city services. I cannot subdivide one acre or sell one acre or hook up to city services on my street, but I am taxed at an assessed value that's the same as these one acre lots,” said Laich in a telephone interview today.

Laich, like many farmers, uses her house as an integral part of her farm.

“Essentially, farms are small, medium and large, and we're going for the equal treatment of farms of all sizes,” she said. 

Julie Puhich, also of Common Ground Farm, has been farming for 33 years.

“Our farm provide jobs, educational opportunities, research, and acts as a business incubator. If we had not been enrolled with the Open Space Agricultural Program from the beginning, we would have long been paved over,” said Putich.

Above: Otis Bell, left, chats with Senator Karen Fraser about her small farm last year. Bell, a local farmer for eight years, leased a one acre piece of land in Northeast Olympia to grow vegetables, medicinal herbs, bees, and chickens. Testifying to the committee in support of the bill last year, Bell said some farmers cannot afford large pieces of land but make a viable living on small plots. 

New Statewide Small Farm Study

A new farm survey, “Profile of Small Farms in Washington State Agriculture,” by Washington State University (WSU) Extension, says that based on U.S. Department of Agriculture criteria, 90 percent or 35,269 of Washington’s farms are considered small.

The U.S. Department of Agriculture National Commission on Small Farms defines small farms as “farms with less than $250,000 gross receipts annually on which day-to-day labor and management are provided by the farmer and/or the farm family that owns the production or owns, or leases, the productive assets.”

The WSU study states that, “Classifying farms by acreage can be misleading in a state like Washington, where productivity per acre can differ vastly depending on water availability, type of crop, and the farming strategies employed.”

Indeed, many farms now include many value-added products, such as artesian cheese, bees, and mushrooms to the list of products it produces and sells.

The study goes on to say that, “If current trends hold, we will see continued erosion of commercially viable small and moderate sized farms and their associated farmland.”

Strange Bedfellows Collaborate

Small farmers enjoy a wide range of bi-partisan legislative support, and have also brought together groups that might not ordinarily work together.

Those who testified last year in support of the bill include Common Ground Farm, Thurston County Commissioner Sandra Romero, the State Grange, the Thurston County Farm Bureau, the South of the Sound Farmland Trust, the Thurston County Agricultural Advisory Board, shellfish growers, farming professors, and others. 

Signing in as supporting past legislation were the League of Women Voters, the State Conservation Commission, Calliope Farms, Lisa Smith of Enterprise for Equity, and the Washington State Realtors. 

A group of interested parties met during the legislative interim to craft a new bill to introduce this session.

Good ideas floated in previous bill versions as recently as yesterday addressed the inconsistent tax treatment between counties, and recognized the value of food production to the food bank and other charitable feeding programs. Part of the draft proposed bill would have allowed all farms to count food bank donations as commercial activities and income. For Eastern Washington farmers, it addressed imperfections of an old survey system.

Other ideas directed the State Conservation Commission and the Office of Farmland Preservation to study the trends in farming, the economic contribution of farms, and the fiscal impact of the current use program on property taxes and taxpayers. This would have included a comprehensive study of the food economy and the impact and role of the current use program.

There’s a lot that can be thrown into a bill, but when that happens, things get complicated. In many cases, simple is best. And for a short session in particular, there just isn’t time to properly educate legislators on the issues.

One of the interested parties that has helped craft the new legislation regarding current use is the Thurston County Farm Bureau. The Bureau has found itself on the other side of a few conversations with the current county commissioners.

Jim Goche is a managing partner of Friendly Grove Farm in Olympia and a board member of the Thurston County Farm Bureau. For about four years, Goche and his family has allowed Kiwanis volunteers to till a portion of their land, plant crops, harvest what comes up, and take it down to the Thurston County food bank.

Representing himself, Goche has communicated with the state Department of Revenue regarding the Open Space Act to clarify the agency's role, and the county assessors’ house site designation practices. He helped draft the current legislation.

“I believe that the Department of Revenue should check its assumptions, look more closely at the county assessors’ actions, and ask itself whether the current administration of the Open Space Act is meeting its stated goals….The Open Space Act is 44 years old this year…Some of its provisions don’t support farmland preservation and food production and several are being administered by Washington’s counties in a manner which works against the intent of the law…One area of the Act which needs immediate attention involves the distinction made between large and small farms.”

Goche says the world has changed and agriculture has evolved. “Farms are smaller and now so numerous that they represent well over half of the farms in Washington State. While these small farms may be highly productive in growing the fresh produce that farmer’s markets, food banks, and school nutrition programs rely on, the farm income for many is marginal….”

“Considering the importance of Washington agriculture and the enormous contribution that small farms make to it, the ‘house site’ issue and all of the problems that go with it should be addressed by the 2014 Legislature....I support attempts to fix for 'house site' part of the law, but believe that a better solution is to repeal the 'house site' language entirely....This will benefit farms both large and small and help keep working lands working. It will also help preserve farmland and maintain the open spaces and habitat that farms provide for the public.

“We’re losing farms at an alarming rate. Every time the state adds a regulation on one’s property, it diminishes the value and shifts the burden to the taxpayer,” said Goche.

Thurston County Farmlands at Risk

The Washington Conservation Commission’s Office of Farm Preservation published a report last year, Thurston County Farmlands at Risk.

A Thurston County farmland inventory, completed in 2009 by South of the Sound Community Farmland Trust, concludes several startling facts:

-Thurston County has lost over 90,000 acres of farmland since the 1950s;

-Seventy-five percent of the farmland is within three miles of an urban growth boundary;

-Only about 51 percent of the farmland is in the Open Space Tax program;

-The majority of farmland is not within Long Term Agriculture zoning;

-The average age of principal farm operators is 57 years old;

-The majority of the total land in farms is on rented land.

For more information about the bill and the history of Washington State legislation, go to: www.leg.wa.gov

For more information on the Profile of Small Farms in Washington State Agriculture, go to: www.cru.cahe.wsu.edu/CEPublications/FS072E/FS072E.pdf

For more information about the farmland inventory, go to: http://www.communityfarmlandtrust.org

Also: The League of Women Voters of Thurston County will be holding an Agriculture Preservation forum on Thursday, January 23, 7:00 pm, United Churches of Olympia, 110 11th Ave. SE.

The forum will feature a panel with various perspectives on agriculture economics and ways to preserve local farms.

Speakers and topics include: Erik Hagen, WSU Extension, an overview of farmland in Thurston County; Steven Drew, County Assessor, economic aspects of farming in Thurston County; Chris Wilcox, owner of Wilcox Farms, a large farmer’s perspective; Lisa Smith, executive director of Enterprise for Equity, efforts to increase the number of small farms; Loretta Seppanen, citizen board member, South of the Sound Community Farmland Trust, efforts to purchase and preserve farmland.

For more information, go to: www.lwvtc.org  or call (360) 754-4305.

Above: LadyBerry Farms' Brussels sprouts are great sautéed with butter and a little bit of salt. I hated them too when I was kid, but now? Ymmm, they're good. And good for you! 

 

Cooperative Center, Pet Business To Move Into Downtown Olympia

 

Above: The building space at 407 4th Avenue has just been rented to two businesses, the Northwest Cooperative Development Center, and Pet Works. They will both move in by the end of the year.

By Janine Unsoeld

www.janineslittlehollywood.blogspot.com

At long last, a key downtown building has new tenants – upstairs, the Northwest Cooperative Development Center (NWCDC), and downstairs, a pet food and supply company, The Pet Works.

The building at 407 4th Avenue next to Olympia’s popular artesian well is owned by Ray LaForge and Mike Lyons.

The former Union Pacific railroad depot building is perhaps best known as the former location of Alpine Experience and Olympic Outfitters, and most recently, Crossfit Olympia, which rented the space for eight months and then moved to nearby Cherry Street, just behind Olympia City Hall.

Reached late today, building co-owner Mike Lyons said that remodeling is set to begin today or tomorrow and continue through January.  He also confirmed that The Pet Works, a company with two locations, one in Longview, Washington, and one in Astoria, Oregon, will move into the just under 10,000 square foot downstairs space on December 1. 

According to their website, Pet Works was established in 1975 and is locally owned and operated, with over 50 years of experience in the pet industry.

The Northwest Cooperative Development Center (NWCDC) is expected to move into the 1,900 square foot upstairs space by early January.

Above: Community members fill up their jugs at Olympia's artesian well. The building at 407 4th Avenue is next to the well and the adjacent parking lot.

The Northwest Cooperative Development Center (NWCDC)

The NWCDC is a nonprofit organization devoted to assisting new and existing cooperatives in such fields as daycare centers, credit unions, online food businesses, energy, and home health care.

Diane Gasaway, executive director of the NWCDC, is excited about the move in January. She signed the lease to rent out the upstairs of the building on 4th Avenue on Friday, October 11.

Gasaway says the move will more than double their current space at 1063 Capitol Way, which is quite cramped. They will provide desk space for Co-Fed, a college food co-operative, and anticipates the ability to rent out office space and a board room to community members when it doesn't interfere with their work.

The NWCDC is currently located in a building scheduled to be demolished by Washington State's Department of Enterprise Services. Current tenants of that building have until June 2014 to find new homes.

The NWCDC supports cooperatives in Oregon, Washington, Idaho and Hawaii. Founded by cooperatives in 1979, the Center has grown into the  Northwest's leading provider of services for co-op business development. It has a long history of collaborating with communities, governments, economic development agencies and other cooperatives.

The NWCDC is funded in large part by federal grants received by the U.S. Department of Agriculture Rural Cooperative Development program, and other non-federal sources. The organization offers technical assistance services including feasibility assessments, cooperative education, business planning, strategic planning, market research, board training, and grant writing.

While it might sound cool to start a cooperatively-owned business, it requires, like any business, extensive planning, analysis, financing, capital investment, and marketing.

According to a 2011 list compiled by the National Cooperative Bank’s “NCB Co-op 100,” the top six revenue generating industries are agriculture, grocery and food distribution, energy and communications, finance, hardware and lumber, and healthcare. All combined, these businesses posted revenue totaling approximately $215.6 billion, an 11% increase from 2010. The top seven industries are in the fields of agriculture and grocery.

So what is a cooperative?

A cooperative is defined by the International Cooperative Alliance as any “autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise."

“We understand that when consumers, producers or workers become business owners of a cooperative, their individual and collective responsibilities greatly increase.  New owners face significant challenges to organize, get started and stay on track with a new cooperative business,” said Gasaway.

Asked for the number one reason why businesses fail in their first year, Gasaway responded, without hesitation, “Failure to plan.”

To lighten a reality that can be daunting to many business newcomers who think their idea is the best thing since sliced bread, Gasaway added, “There’s a quote I just read in an industry magazine that roughly says, “The best thing about failing to plan is that failure comes as a surprise.”

Gasaway says a potential new business should make month by month planning assumptions for five years into the future. A feasibility study can be expensive, upwards of $100,000 or more, depending on several technical aspects, such as architectural needs, environmental impact surveys, and more.

Through grants, the NWCDC tries to help new businesses with these costs. She knows of a few potential businesses who, after doing a good, thorough feasibility study, decide that the high cost of starting up is just too great.

“Plenty of people with great ideas, at this point, get the wind taken out of their sails…a lot of good can come out of organizing even if you don’t launch a business, but we’re in the business of starting businesses,” said Gasaway, and offered several examples of their successes.

At any one time, the NWCDC has about 25 potential projects going, in various stages of development.

Northwest and South Sound Cooperatives

Well known Northwest cooperatives include REI, Inc., which now has a South Sound retail location at Westfield Capital Mall in Olympia; an agricultural co-op, Cenex Harvest States, and the Boeing Employees Credit Union. Leslye Tueber of REI, Inc. serves as an advisory board member to the NWCDC.

The South Sound area is home to several businesses and cooperatives, such as Group Health Cooperative, which ranked #13 on NCB’s Top 100 Co-op list in terms of revenue; Ace Hardware, a cooperative which ranked #10 , is operated as Hardels Ace Hardware on the westside of Olympia, and REI, Inc., which ranked #27 on the list.

Despite the name, grandfathered in years ago, the Olympia Food Co-op is not actually a co-operative – it is structured as a non-profit.

True to the national statistics, the areas of food, housing, and home health care are the fastest growing segments of the co-op industry for the NWCDC. The NWCDC helped the Ellensburg Food Co-op start and the Hidden Village Manufactured Housing Co-op start, both in 2011.

Another business, Olympia Local Foods, received assistance from the NWCDC and a grant from the U.S. Department of Agriculture’s Rural Development Program. Gasaway was present at the grand opening of Olympia Local Foods in April 2012, and gave remarks on the owner’s persistence and dedication to making his business a success.

Some local cooperatives have been helped by the NWCDC, the most recent being the New Moon Café, which became a cooperative in August.

Simon Gorbaty, a member of the New Moon Cooperative which runs a café in downtown Olympia, says the NWCDC helped the collective form a business plan, compile useful financial data, “and provide us with ways to improve our organizational structure.”

Cooperative Training Opportunities and Future

The NWCDC regularly provides networking and training opportunities through its “Cultivating NW Co-ops” conferences. The value of cooperatives to their communities and to each other was the theme of the NWCDC’s regional conference last year, which brought 130 participants from six states.  The message was that cooperative businesses add value, not only in the sense of dollars but also in the value of the relationships that connect communities with cooperatives.

Last month, the NWCDC sponsored a conference called “Fresh Starts” that focused on the opportunities and challenges of starting and growing a food cooperative grocery.  Gasaway gave the welcoming remarks to about 75 attendees representing about 12 cooperatives.

Asked if the South Sound could be in the market for a cooperative grocery, Gawaway said, "We don't want them to go into competition with other businesses but make sure their idea is serving a need that isn't being currently met....Starting a business is a big responsibility with big risks - we want to make sure communities are utilizing their resources to the best of their ability."

The Future of the NWCDC

Gasaway joined the NWCDC in 2003 and has 13 years of experience in the financial services industry. She received a Master of Public Administration with a co-op emphasis from The Evergreen State College and oversees five other employees, who all have experience with cooperatives in their professional and personal lives.

Staff member Eric Bowman provides cooperative development support and is board chair of the local Tulip Credit Union; Ben Dryfoos-Guss, NWCDC’s manufactured housing program manager, is on the board of the South of the South Community Land Trust.

Gasaway stays active in attending regional and national networking activities to hear other perspectives.

Recently, she heard Gar Alperovitz, a political economist, historian, and author of the book, “What Then Must We Do? Straight Talk About the Next American Revolution" speak when he came to the Northwest.

Aperovitz highlights, in his words, that a movement aiming at the “evolutionary reconstruction” of the American system—away from rampant inequality and corporate control, and towards a more just distribution of wealth and renewed democracy—is poised to take center stage in the national conversation.

Gasaway also recommended that people interested in cooperatives read, “Humanizing the Economy – Co-operatives in the Age of Capital,” by John Restakis.

“We’re a learning organization – I thought that after a few years I’d know it all, but the field is changing so fast and there’s still so much to know – there’s always something new. We’re excited about what’s happening all over the region and the country. There’s a real need for professionals in this field, from attorneys to accountants.”

Asked if funding for the NWCDC been affected by the recent federal shutdown, Gasaway said that they had a board discussion about it this week.

“We are submitting our reimbursements as usual, but they’ve been put on hold – our cash flow is okay for now, but in general, we’re looking for ways we can keep ourselves sustainable. The fact is, the USDA’s Rural Development program is one of the few funding sources that support cooperative development.

“Olympia is still considered rural, and as soon as one of our regional cities officially goes over a population of 50,000, that will no longer be the case. At this point, we’re constantly writing grants, which take a lot of time, and are competitive. We don’t know from year to year if we’ll be funded, so we’re trying to explore more options. There isn’t a lot of funding for urban work.”

If national co-operative statistics and local interest in co-operatives are any indication, no doubt, the NWCDC will continue to grow and expand.

For more information about the NWCDC, go to www.nwcdc.coop or call (360) 943-4241.

For information about Olympia Local Foods, go to the April 5, 2012 article “Olympia Local Foods Receives Grant to Fulfill Dream” at www.janineslittlehollywood.blogspot.com.

For information about the New Moon Cooperative, go to the South Sound Green Pages Summer 2013 edition at:  www.oly-wa.us/greenpages and read “Cooperative Model” by Simon Gorbaty.

 

Above: The Northwest Co-operative Development Center (NWCDC) has been a tenant of 1063 Capitol Way, a building set to be demolished by the State, since 2005. The building is near the State Capitol Building, and across from TVW. A handful of tenants are in the building, including the State Department of Archeology and Preservation.