PORT TOWNSEND — Port of Port Townsend commissioners got a first look at proposed 2026 rate and fee increases and a draft budget for next year as well as an overview of the five-year capital improvement plan.
An across-the-board increase of 2.7 percent based on the consumer price index was applied to most service rates at port facilities, with some holding at 2025 service rates and adjustments made to how others were applied.
Among the proposed changes Wednesday were including a monthly electrical fee for liveaboards at Boat Haven, rather than charging a separate fee, which also is increasing the monthly liveaboard fees at both Boat Haven and Point Hudson from $114 a month to $150.
That rate was competitive with liveaboard fees at the Port of Edmonds ($189/month) and the Port of Port Angeles ($175/month), while taking into account staggering increases in port costs, Executive Director Eron Berg said.
“We’re getting clobbered on garbage and sewer,” Berg said. “I think our garbage is going to reach $150,000 this year and maybe $300,000 for utilities, and most of that is attributable to the marinas.”
The monthly liveaboard fee at the Boat Yard would be replaced by a $6 nightly fee. That change would enable people to stay on their boats while they repair them and only pay for the time they need to finish their project. It also would allow the port to have a more active hand in monitoring the status of boats that take up valuable space in the yard when, rather than fixing their vessels and then leaving, owners use them as housing.
Under the proposed budget, cruise ship docking would increase from $1,100 to $2,000 a day. While he agreed with the rate increase, Commissioner Pete Hanke said he wanted to see that revenue tied to specific dock improvements rather than going into the port’s general fund.
“There is a lot of controversy about this on Water Street,” Hanke said in reference to concerns that the ships did not have a positive impact on Port Townsend and the downtown area.
Investing cruise ship revenue in much-needed improvements on the waterfront could be one way of demonstrating the value the vessels had on the local economy.
Hanke also said he believed the $750,000 dedicated to Short’s Farm over the course of the proposed five-year capital improvement plan was not enough.
“Short’s Farm needs more attention than $150,000 a year,” he said. “I don’t know what that looks like, but I think we all need to kind of dig in and really start looking at what we want Short’s Farm to be and how we get it there.”
The farm was one of $16 million in capital projects in the five-year CIP that Capital Projects Director Matt Klontz presented. About 90 percent of the 2026 total is funded with a combination of grants, Industrial Development District levy funds, capital reserves and cash.
The port’s operating revenue next year is projected to be $9.4 million — an increase of 5 percent over 2025. But operating expenses are anticipated to be 8 percent higher.
Connie Anderson, the port’s director of finance and administration, said she and her staff have made very conservative projections for next year.
“We continue to experience costs outpacing revenue due to inflation,” she said. “This is something we have to be aware of, and you’ll hear us talk about this every year.”
The establishment of a Mariners’ Memorial fund was part of the unanimously approved consent agenda. Under the resolution, the port will collect donations on behalf of the fund. It will commit $100,000 — $50,000 from the IDD and $50,000 in anticipated donations — for the design, materials, installation and maintenance of a memorial at the Point Hudson Breakwater walkway to honor Jefferson County residents who have been lost at sea.
The resolution can be found in the meeting packet at tinyurl.com/4fc2dhb8.
Ribbon cutting at the new Gardiner boat launch is scheduled for 1 p.m. Oct. 15. The $1.1 million project includes the replacement of the old concrete launch, installation of an ADA-accessible ramp and repaving of Gardiner Beach Road.
The ramp area has been closed since July 14 due to the construction.
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Reporter Paula Hunt can be reached by email at paula.hunt@peninsuladailynews.com.
