Port of Port Angeles talking with Rayonier in wake of Harbor-Works’ fade-out

PORT ANGELES — The head of the Port of Port Angeles confirmed last week that the public entity is conducting one-on-one talks with Rayonier Inc. over the future use of the company’s former mill site.

But exactly what that entails is confidential, port Executive Director Jeff Robb said Friday.

“I really can’t discuss what we’re working with them jointly on,” he said.

He added, “We are actively communicating with Rayonier and will remain actively communicating with them.”

Robb said confidentiality was a stipulation from Rayonier.

Robb said the talks started in response to the pending dissolution of the Harbor-Works Development Authority, which the city created with support from the port to acquire and redevelop Rayonier’s property on the Port Angeles waterfront.

He said the talks involve support of the Jamestown S’Klallam tribe’s “Salish Village” concept, which includes residential and commercial development on the 75-acre waterfront site along with native cultural and conference centers.

“We’re looking for opportunities that we can engage in that will produce economic development for that site,” he said.

Robb declined to say whether the talks involve purchase of any of Rayonier’s property, but he did say the port remains interested in acquiring some of the site once the environmental cleanup is complete.

The property has been a state Department of Ecology cleanup site since 2000. A cleanup plan is not expected to be in place until May 2013. Ecology is partners in the cleanup with Rayonier, which owns it, and the Lower Elwha Kallam tribe.

Ron Allen, Jamestown S’Klallam chairman, said that the port has told the tribe that the talks involve acquisition of the property.

“They have communicated to us that they feel that they need to consider negotiations with them for the property as a way to mitigate their investment with Harbor-Works,” he said.

“They made it clear to us that they fully understand that whatever they do with the property . . . it would require collaboration with the tribe regarding Ennis Creek Village as well as Ennis Creek restoration.”

Allen said he did not have any more details.

Robb could not be reached Saturday for comment on Allen’s statements.

Asked for comment, Rayonier spokeswoman Robin Keegan said in an e-mail:

“Rayonier continues to regularly communicate with all of the stakeholders in Port Angeles including [state Department of] Ecology, the port, the city, the Lower [Elwha Klallam tribe] and various community leaders. We understand everyone’s interest in the mill site’s future and will certainly advise if there are any developments.”

A frequent critic of the port and city who describes the formation of Harbor-Works by the two public entities as occurring “behind closed doors,” said she’s not surprised that the port is providing little information about its talks with Rayonier.

“It’s more of the same,” said Norma Turner, who lives south of Port Angeles.

“One of the big reasons that Harbor-Works didn’t work, was because no one trusted them,” she added, referring to its formation.

“So I think the port needs to keep that in mind with whatever they want to do.”

Port commission President George Schoenfeldt could not be reached for comment Friday and Saturday.

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Reporter Tom Callis can be reached at 360-417-3532 or at tom.callis@peninsuladailynews.com.

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