Business Pulse March|April 2023

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dwilkens@savibank.com

Vice President Branch Manager

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cchristensen@savibank.com

Commercial

P 360.404.5042 slouia@savibank.com

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Vice President

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Assistant Vice President Loan Officer NMLS #745555 P 360.685.0080 tseimears@savibank.com

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Savi Loan Team

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Meet the Bellingham Loan Team. Our mission is to bring long-term success to our clients and this community. It’s who we are, down to the core. And it’s why we are proud of our Bellingham loan team with in-depth experience and passion for this community. The perfect group to walk you through the often-confusing world of lending. Like a good trail guide. Or an indispensable Sherpa. Using knowledge and expertise, they’ll take you where you want to go, financially speaking.

That’s why our loan officers strive to put you in the right loan for your needs and your budget. And because we’re a locally-based bank, we know the importance of strong communities that we all help create. Which makes it easier to serve all of your lending needs.

When you need a trusted advisor that believes in doing what’s right, team up with the loan officers at SaviBank. Together, we’ll make our communities even stronger.

Drew Wilkens

Senior Vice President

Strategic Projects for SaviBank

Christian Christensen

Scott Louia Vice President

Lending Officer

Wade Stringfield Vice President

Seana Olberg

Trevis Seimears

Ashley Walker

Darrell Elke

PULSE

Your local business news brought to you by WHATCOM BUSINESS ALLIANCE

VOL. 48 | NO. 2

PUBLISHER Whatcom Business Alliance

EXECUTIVE DIRECTOR Barbara Chase

EDITOR

Matthew Anderson, Bellingham PR & Communications

CONTRIBUTING Elisa Claassen

WRITERS Heather Lea

Cheryl Stritzel McCarthy

Tony Moceri

Mary Louise Van Dyke

Lorraine Wilde

GUEST COLUMNISTS Dann Mead Smith

CJ Seitz

James Twining

ART DIRECTOR Whitney Pearce

PHOTOGRAPHY Sattva Photo

Cover Photo by iStockphoto.com/-strizh-

WBA BOARD OF DIRECTORS:

BOARD CHAIR: Pam Brady, Director NW Gov’t & Public Affairs, bp Cherry Point

EXECUTIVE COMMITTEE: John Huntley, President/ CEO, Mills Electric Inc.; Doug Thomas, President/CEO, Bellingham Cold Storage; Josh Turrell, Partner, Larson Gross PLLC; Josh Wright, VP/Broker, Bell-Anderson Insurance

BOARD OF DIRECTORS: Tyler Byrd, CEO, Red Rokk Interactive; Jane Carten, President, Saturna Capital; Andy Enfield, Vice President, Enfield Farms; Bryant Engebretson, Managing Principal, Tradewinds Capital; Jon Ensch, Commercial Banking Officer, Peoples Bank; Mitch Faber, Partner, Adelstein Sharpe & Serka; Sandy Keathley, Former Owner, K & K Industries; Tony Larson, President, Barlean’s; Becky Raney, Former Owner, Print & Copy Factory; Sarah Rothenbuhler, Owner/ CEO, Birch Equipment; Patrick Schuppert, Commercial Banking Relationship Manager, Wells Fargo; Galen Smith, Operations Manager/Owner, Coldstream Farms; Carryn Vande Griend, Government Affairs Representative, PSE; Billy VanZanten, CEO, Western Refinery Services

For editorial comments and suggestions, write info@whatcombusinessalliance.com. The magazine is published bimonthly at 3111 Newmarket St., Ste. 106, Bellingham WA 98226. (360) 746.0418. Yearly subscription rate is $25 (US). For digital subscription, visit businesspulse.com. Entire contents copyrighted ©2021 Business Pulse. All rights reserved.

POSTMASTER: Send address changes to Business Pulse, 3111 Newmarket St. Ste. 106, Bellingham WA 98226

The best of Whatcom business: It’s what we do in every issue of this magazine. And you — the entrepreneurs, business builders and leaders of Whatcom — give us rich, unending content. At Business Pulse, our job is to make your hard work and accomplishments published and celebrated. We are inspired by the innovators who know that business success and community prosperity are interrelated.

Many leaders will be recognized this month at our 36th Annual Whatcom Business Awards Black & Gold Gala at Semiahmoo Resort. Nominees for Start-up of the Year are Armory Pickleball, BrightStar Care of Bellingham/ Mount Vernon, Gateway 1890 Taphouse & Grill and Jack’s BBQ. For

Small Business of the Year, nominees are Gary’s Plumbing, Living Pantry, Rover Stay Over and Vander Giessen Nursery. The Business Person of the Year nominees are Jim Haupt (Hotel Bellwether), Drew Schmidt (San Juan Cruises), Dick Skeers (Skeers Construction) and Marv Tjoelker (Larson Gross).

To recognize exceptional work at all levels, two exciting categories will also be presented. Claire Adams from Bellingham Cold Storage will receive the Jon Strong Employee of the Year Award, and Whatcom County Sheriff Bill Elfo will be presented with our inaugural Public Service Award. Our Lifetime Achievement Award will be presented posthumously to Bob Bray, of Dairy Distributing, who inspired and encouraged all the lives he

touched. Read their stories and get to know each of them in this issue.

We especially like to raise up leaders who often don’t have the time to pause and honor, gather and celebrate. The gala is a time to celebrate business and leaders who make a positive impact in our region. We realize that there isn’t just one winner. As with all nomination categories, there are hundreds of champions who are building Whatcom County. This year, come celebrate the winners. Listen to their stories. Be inspired. And next year, join us — or honor a candidate — as a nominee.

This issue of Business Pulse presents good business policy and calls out inhibitors. Cheryl Stritzel McCarthy writes about how to protect your business from cybercrime, including

We are celebrating businesses and leaders making a positive impact on our region

John Huntley (Mills Electric), right, receives the Business Person of the Year award at the

2022 Whatcom Business Awards Gala.

implement-right-now steps from Bellingham Cold Storage. Tradespeople make our physical workplaces and homes possible. Lorraine Wilde asks whether a new Washington state certification process will lead to a shortage of electricians. James B. Twining has an excellent column on taxpayer benefits, and Dann Mead Smith shares his thoughts on the top bills to watch this year. Finally, on the workforce front, CJ Seitz offers up specific actions on recruiting reluctant (and well-qualified) candidates.

This month, we celebrate those who take risks every day, invest in our community, and provide employment, mentorship and inspiration. You’re the best of Whatcom business. Let’s celebrate and move forward to spring with progress and success together!

Barbara Chase, Executive Director Whatcom Business Alliance

MARCH 23, 2023

Promoted at Peoples Bank: Lisa Hefter, Andy Riddell, Amanda Scoby and LaVonne Olsen

Peoples Bank has announced the promotions of senior executives as part of the bank’s commitment to customer success and fiscally sustainable growth.

Lisa Hefter was promoted from executive vice president to president and retains her role as chief operating officer. Hefter joined Peoples Bank in 1992. She has been involved in all facets of bank management and has contributed to the company’s strong growth during her 30-year tenure. In her current role, she is responsible for directing the administrative and operational activities of the bank. She is also member of the Peoples Bank and Peoples Bancorp board of directors.

Andy Riddell has been named executive vice president and chief lending officer. Riddell joined Peoples Bank in 2021, bringing nearly 20 years of experience focused on commercial and industrial industries. In his role as chief lending officer, Andy oversees all commercial and business lending programs across the bank’s six-county footprint.

Amanda Scoby was promoted to executive vice president and chief risk officer. Scoby joined Peoples Bank in 2013 and is responsible for overall enterprise risk management, ensuring Peoples Bank has proper oversight and internal controls in place to mitigate risks and vulnerabilities that could impact business performance.

LaVonne Olsen has been named senior vice president and chief human resources officer. Olsen joined Peoples Bank in 2019 and oversees the human resources department, including employee recruitment and retention, payroll, benefits, performance management and training. She has more than 30 years of human resources experience and holds many distinguished credentials relating to her field.

“I am thrilled to recognize the exceptional work and dedication of these individuals,” said Charles LeCocq, Peoples Bank chairman of the board and chief executive officer. Find their full profiles at www.peoplesbank-wa.com.

BRIM acquires Klamath Basin Equipment

A leading agriculture and construction equipment dealer, BRIM announced it has acquired the Oregon dealership assets of Klamath Basin Equipment. Established in 1982, KBE is a four-location New Holland agriculture and construction dealership in southern Oregon. With the addition, BRIM now has 11 locations throughout Washington and Oregon.

BRIM was established in 1966 by Bill Brim in Lynden. Brim’s son Dan took over ownership in 1997 and still leads the company.

“We are excited about acquiring Klamath Basin Equipment’s assets,” CEO Dan Brim said. “KBE has been serving customers in southern Oregon for 40 years. This acquisition is an ideal

opportunity for us to grow in our contiguous footprint.”

Read about the company’s scope at www.brimtractor.com.

Mother-daughter team joins Muljat Group

The mother-daughter real estate team of Christine Sams and Morgan Stone recently joined The Muljat Group in Bellingham.

Sams has 22 years of experience in Whatcom County real estate sales. Born and raised in Bellingham, Sams also has experience selling commercial real estate in Seattle.

Stone is now partnering with her mother as a broker after working for 10 years as a real estate executive assistant. Stone attended high school in Blaine before graduating from Sehome High School in Bellingham. She now lives in Birch Bay.

For more on these brokers, visit www.SamStoneRealEstate.com and www.MuljatGroup.com.

Four-day work week yields higher productivity, happiness at Brist Mfg.

A Bellingham manufacturer of quality custom apparel has discovered that switching to a four-day work week had multiple benefits for employees and the company.

Brist Mfg. achieved inclusion on the prestigious Inc. 5000 list of the fastest-growing private companies in America in 2020 and 2022. But CEO Brendan Pape said the COVID-19

Lisa Hefter LaVonne Olsen

Andy Riddell

Dan Brim Amanda Scoby Christine Sams

pandemic caused problems for his company, like many others.

“In 2021, our company struggled to maintain morale, and we desperately desired to restore our pre-pandemic culture,” Pape said. “But nothing we tried worked. Finally, a team member proposed an unconventional solution: a four-day work week with 10-hour days.”

Pape rejected the idea, believing that it would drastically affect operational output, hurt customer service, cut productivity by 20% and delay communications with overseas suppliers by a day. But employees kept encouraging him to try the fourday week, and Pape finally agreed to a two-month trial period while he tracked results.

The trial was extended to six months, then a year, then two years. The Brist Mfg. CEO said the quantifiable results and his own observations were congruent.

“The results were astounding,” Pape said. “Employee happiness increased, productivity remained consistent, we saw a 35% year-over-year growth in our business, and customer acquisition rose.”

The experience has made Pape more receptive to other changes.

“Be open to new ideas,” Pape said. “Testing them can lead to unexpected and positive outcomes. Listen to your people and think outside the box.”

Read about the company, including apparel trends and sustainability, at www.bristmfg.com.

Longtime local jeweler opens high-end jewelry store

John Neeter and wife Rose recently launched Neeter House of Luxury in Bellingham, offering high-end jewelry with personalized service.

Neeter House of Luxury opened at 21 Bellwether Way, Suite 107, adjacent to Lombardi’s. Neeter, a Whatcom County resident since 1989, has been working in the jewelry and precious metals sector for 34 years.

“I am Whatcom County’s personal jeweler,” he said.

Neeter House of Luxury carries a broad selection of Rolex watches and diamonds certified by the Gemological Institute of America. There’s already been great interest at the boutique in engagement rings, custom designs and precious metals, such as gold and silver coins, Neeter said. He also provides jewelry repair and appraisals.

For more information, visit www.NeeterHouseofLuxury.com.

Recycling rises in north Whatcom County

Want to know who is consuming more craft beer in cans and buying more products online? Talk to Nooksack Valley Disposal & Recycling. The company reports these trends among north Whatcom County residents for 2022.

Cardboard recycling rose 9.6%. Recycling of aluminum cans, used by many of the region’s craft breweries for retail sales, was up 8.6%, and tin cans increased 10.7%, according to Calvin Den Hartog, the company’s general manager. Unusually hot and

dry months in September and October reduced the amount of grass clippings recycled as yard waste. The average amount recycled by each household in 2022 was 937 pounds.

Read about the power of recycling at www.nvd-inc.com.

Port of Bellingham prepares for Green Marine’s certification

The Port of Bellingham is the newest participant in Green Marine, the leading voluntary environmental certification program for North America’s maritime industry.

The Port is a Whatcom County-wide municipal corporation that owns, operates and maintains approximately 1,600 acres of property, including the Bellingham Shipping Terminal, the Bellingham Cruise Terminal, Squalicum and Blaine Harbor, industrial development areas, commercial uplands, public parks and the Bellingham International Airport.

“We are committed to achieving the highest level of environmental excellence, and the decision to join Green Marine helps fulfill this commitment,” said Port Executive Director Rob Fix.

The Port has taken a leadership role in cleaning up historic environmental contamination, rebuilding waterfront infrastructure and transportation terminals and transitioning underutilized property back into productive use.

To achieve Green Marine certification, the Port of Bellingham will assess its environmental performance through indicators that address such issues as greenhouse gases, underwater noise, spill prevention, community impacts, community relations, waste management and environmental leadership. The certification process is rigorous and transparent, with results independently verified every two years. Each participant’s individual performance is made public annually.

Get the full story at www.portofbellingham.com.

Morgan Stone Brendan Pape John and Rose Neeter

A coming shock for electricians!

Shifting apprenticeship requirements have independents concerned

Lorraine Wilde

Change can be a challenge, especially when it comes to making industry-wide and/or statewide revisions. But that’s exactly what’s happening right now with the Washington State Department of Labor and Industries and the electrical apprenticeship path.

A significant standardization in the path to becoming a journey-level electrician, and therefore a master electrician, is scheduled to go into effect beginning July 2023. While many see this evolution as progress toward increasing clarity and safety across the industry, others believe that all the moving parts are not ready for the coming transition.

Some fear this shift could lead to an even greater shortage of skilled electricians across the state, even greater than we’re already experiencing as a result of the pandemic and

the cultural shift from the skilled trades toward higher education. Many worry that a further journeyman shortage could cause a full cascade of other unforeseen impacts in virtually every industry dependent on electrical workers.

“You’re likely to see a slowdown of commercial building, a delay in permitting and increasing costs in the building trades,” predicts Mark Harmsworth, a former member of the Washington State House of Representatives (2014 to 2018) and the current director of the Center for Small Business at the Washington Policy Center. “If the certification process starts to feel like too much or is difficult to obtain, workers will choose a different career, and that’s where you’re going to have problems with employment. It’s supply and demand.”

PHOTO: iStockphoto. com/golubovy

Some are so concerned about the shift that they are lobbying the Washington Legislature for a delay so that the electrical industry can prepare more fully.

And if all that weren’t enough to worry business owners, the body leading this transition, L&I’s Washington State Apprenticeship Council, has been asking for legislative authority to

to name just a few. Many question whether certification at this level is really necessary and whether further state-required apprenticeship would cause greater worker shortages in all industries.

Preparing for change

In March 2018, state Senate Bill 6126 was signed into law, requiring that electricians complete a state-approved apprenticeship program in order to receive their journey-level electrician certificate of competency, known in the industry as level EL01, or “01.” Earning 01 status certifies a journeyman to work in commercial, industrial and all specialty electrical categories.

But without the certification, electricians are eligible to work only in residential settings, effectively limiting the type of work they can perform for an employer — and, by extension, limiting the type of work an employer can accept and go after. Because commercial and industrial electrical work generally pays better than residential electrical work, certification changes could significantly impact company earnings.

But beginning July 1, 2023, to qualify for the EL01 examination to work on a commercial jobsite, trainees must first be registered in a recognized electrical apprenticeship program. Therein lies the rub.

“The unfortunate situation is that this takes us from five pathways that are currently available to achieve journey certification to just one through state-approved apprenticeship programs,” said Lance Calloway, of Associated General Contractors of Washington. “As of now, that one path is predominantly operated by union-sponsored apprenticeship programs or closed programs that are not open to outside enrollment.”

That poses a significant problem for small to medium independent electrical contractors.

The bill included a planned delay before the requirement would take effect to allow the industry to prepare. The original rollout date was delayed two years because of the pandemic, but some believe that delay wasn’t long enough.

expand its charter to create state-required apprenticeship programs in several new industry sectors where a standard does not currently exist. Under consideration are the building trades, manufacturing, engineering, health care, behavioral health, information and communications technology, biotechnology and hospitality,

To obtain 01 status, an electrician must complete at least 8,000 on-thejob hours as an electrical trainee while under the supervision of a certified journey-level (01) electrician at least 75% of the time, with at least 4,000 of those hours spent in commercial or industrial settings. In addition, 96 hours of basic classroom instruction are required, including at least 48 hours every two years to stay current.

“I think the idea is to expand standards and trainings for apprenticeships, which is great, but I think they’re trying to bite off way too much and without enough preparation and thinking it through for everyone in the industry,” said Chris Scherer, owner of North Wave Electric, a small, independent, family-owned commercial and residential electrical contractor based in Bellingham.

In early February, Scherer testified in Olympia before the House Committee on Labor & Workplace Standards

“I think the idea is to expand standards and trainings for apprenticeships, which is great, but I think they’re trying to bite off way too much and without enough preparation and thinking it through for everyone in the industry.”

— Chris Scherer, owner of North Wave Electric

in support of House Bill 1393, a bill with bipartisan sponsorship that requests a further delay in implementing SB 6126 because, as the bill’s language states, there are “only 14 approved apprenticeship programs for journey level electricians in the state.” It continues that L&I “is unable to assess whether there is sufficient capacity in those programs for all current trainees” — specifically, the “7,000 to 10,000 trainees working towards journey level certification who are not enrolled in an apprenticeship program.”

The bill goes on to mention the lack of availability of these apprenticeship programs in rural areas of the state, noting a four-hour-per-day commute for some, which would add transportation and cost hurdles for many where they do not currently exist.

“This will affect virtually every commercial electrical contractor in the state,” Scherer said. “After July 1, without a delay, if our employees aren’t enrolled in these apprenticeship programs, they can no longer be on site or work in the field in a commercial capacity.”

“This delay is very much needed,” he added. “The two biggest bottlenecks I see ahead are a shortage of spots in approved programs and the difficulty of getting new programs approved by the state.”

Potential bottleneck No. 1: apprenticeship program capacity

Independent contractors are concerned that the Construction Industry Training Council of Washington,

a 501(c)3 nonprofit vocational trade school for the construction industry, won’t be able to handle all of the increased demand by July 1. Fourteen approved programs might sound like a lot, but many say that number is misleading.

“Seven of those 14 programs are union, and so if you’re an open shop, those programs are not available to you,” Scherer said.

The largest union program, run by the International Brotherhood of Electrical Workers, represents approximately 775,000 active members and retirees working in a wide variety of electrical fields.

“Five of the non-union programs are single-employer programs, but those are only available to employees that work for those contractors, so that doesn’t work for most people,” Scherer said. “The remaining two programs are the only options available for all of the open (non-union) shops in the state.”

Indeed, just two entities are currently considered “recognized electrical apprenticeship programs” available to independents — CITC and the Electrical Management Group of Washington.

“EMGOW is located in Vancouver, so unless you’re in the southwest corner of the state, it’s not very available to you,” Scherer said. “CITC is a great asset to our business, because they offer the classroom hours trainees need, and they are located throughout the state. But there are current CITC apprentices who testified that their classes are being delayed because CITC doesn’t have enough instructors, even before

the employer, the apprentice and the apprenticeship sponsor — the apprenticeship program — where we work together

train

the new rules have been implemented. In the electrical trade, we also don’t have enough inspectors, which are the same people they’ll need as instructors for these apprenticeship programs.”

“That will increase employer costs, because they pay for the classroom training,” Scherer said, “and those costs will get passed on to consumers in the form of hourly rates.”

Hourly rates and overhead costs already have gone up significantly in the past two years due to post-pandemic worker shortages, wage corrections and inflation.

But CITC isn’t worried.

“We’ve been methodically preparing for this for more than three years,” said Halene Sigmund, who has served

“Apprenticeship is a partnership between

to

a skilled, safe worker. Our success is our employers’ success.”

— Halene Sigmund, CITC president and CEO

as CITC’s president and CEO since 2010. “We have increased our support staff and are developing new relationships with technical and community colleges across the state, including Bellingham Technical College, where we offered classes this past fall and we will again this coming fall.”

CITC has considered the extra travel and overnight costs contractors and trainees must pay to attend classes outside their areas.

“We help support trainees by offering daily travel stipends for those traveling a greater distance, like those coming from places like Freeland, where they have to take a ferry,” Sigmund said. “And we’ve established discounts at select hotels to help lower trainee and contractor costs. We also offer several $1,000 Gene Harder

needs-based scholarships.”

Sigmund believes that CITC is offering a range of opportunities for trainees to obtain their classroom hours.

“Everyone should be able to get their hours via evening, weekend, monthly and week-long block classes we offer,” Sigmund said, noting that daytime classes also are in the works at each of the six CITC training centers sprinkled throughout the state. “We are hiring full-time instructors and have expanded our brick-and-mortar footprint. In Vancouver, we’re building 30,000 square feet of facilities and labs right now. Our facility in Puyallup will be over $5 million dollars when we build it all out with labs. And over the last three years, we have literally increased staff by 25% to 30% to address this specific need.”

CITC does have some prior experience with these challenges.

“This is very similar to Oregon and Idaho training requirements for 01 electricians, so I think this will shore up and actually increase the number of individuals available at journey level, because we are coming together as an industry in training,” Sigmund said. “There will be a clear pathway for them to get there, and when the pathway to their goal is more clear, then that is much more attractive.”

Potential bottleneck No. 2: obtaining state approval of additional programs to meet demand

“Under the new legislation, independent contractors will become caught where we can’t start our own

Attitude. Accountability. Integrity. Teamwork. Quality.

PHOTO: iStockphoto.com/Daisy-Daisy

programs,” Scherer said. “So now we can’t directly hire our own employees anymore. We can only sign on with an apprenticeship program and hope they give us employees that will be the right fit. The new process takes a lot of the power to manage our own workforce out of our hands, and that’s unsettling.”

Sigmund confirmed that CITC does use a referral dispatch system, where apprentice trainees are sent upon employer request, but she was quick to note that employers may use their own practices to select employees from among those dispatched.

“There is already a process to start new state-certified apprenticeship programs, but it’s a very lengthy process,” Harmsworth said.

An entity must apply to and be ap-

proved by L&I’s WSATC, the same entity that instigated SB 6126, but obtaining certification may be more difficult than it sounds.

“Part of the process includes the competition clause that allows existing programs to voice opposition to new programs, basically denying them approval and throwing applicants into costly litigation,” Scherer said.

Because these groups have gone through the process already, they are the ones that control what new bodies become certified, Harmsworth said.

“So it’s in their best interest not to certify other programs,” he said, “because then existing programs like CITC and IBEW will lose their control and have more competition.”

Often, Calloway said, the challenges come from multiple unions, which

fight them without the certainty of winning.

“I know of one entity who fought their challenges and spent nearly $1 million in legal fees and experienced over 18 months on delays in moving forward,” he said.

Discussions are happening now that could reduce the frequency and power of the objection process.

“I have spoken with Sophia Steele, the director of government affairs for the Associated Builders and Contractors of Western Washington,” Calloway said. “HB1773 introduces a proposed change that would not allow a challenge to the apprenticeship applicant, as long as the applicant exactly meets the apprenticeship program requirements and follows them.”

But the program requirements were

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originally designed with larger entities in mind and are not practical or achievable for small to midsize contractors, Scherer said.

“This system is mostly built and maintained by union shops, so now this legislation is bringing us independents into a system that’s not built and devised for us,” he said. “We’re not these huge entities that can build training centers. The fewer employees you have, the more impact this legislation has on you, because you have the least flexibility.”

A host of unknowns

Unfortunately, SB 6126 did not fasttrack provisions to meet demand, nor are there funding subsidies for smaller entities to cover the significant costs

associated with certifying new apprenticeship programs. The only funding that was included, Scherer said, was for expansion of programs that have already been approved.

SB 6126 does, however, allow for some exceptions, including a good cause exemption that delays the new requirement from July 1, 2023, to July 1, 2025, Calloway said. L&I filed a Proposed Rule Making (CR-102) in November 2022 that would give it the discretion to delay implementation for “good cause” — but the rule has not yet received final approval.

“I’ve been doing this for 30 years,” Sigmund said. “Anytime you have change, there’s uncertainty. Apprenticeship is a partnership between the employer, the apprentice and the ap-

prenticeship sponsor — the apprenticeship program — where we work together to train a skilled, safe worker. Our success is our employers’ success. We’re trying to communicate well so we understand employer and apprentice concerns and work with them toward solutions so they all can achieve their goals.”

There is hope, Scherer said.

“I really want to believe that the industry will be able to come together and figure this out so that it works for everyone,” he said, “including the full diversity within the industry across the state, so more people can enter the field and address demand.” ■

Three strategies to recruit reluctant workers

Re-sign staff who left during the ‘great resignation’

CJ Seitz

Ahistorically low labor pool and the “great resignation” have taken a toll on Whatcom County’s small businesses. Here are three tools to help you meet your staffing needs in 2023:

• Understand and respond to worker reluctance

• Recruit and retain with non-monetary benefits

• Find candidates with guerilla recruiting

Let’s examine each in more detail.

Understanding and responding to worker reluctance.

This means getting employees excited to return to work. A good place to start is understanding why workers lost interest in the status quo.

First, work-from-home setups during the pandemic lockdowns did not result in widespread lost productivity. This was despite workers generally having no training, limited resources, homeschooling responsibilities, health anxieties, and connectivity and relationship challenges. Right or wrong, many workers feel that the case for greater autonomy already has been made.

Second, the pandemic pause gave the workforce time to reassess prior-

ities. This is not unique to Whatcom County or the United States. Business journals in China lament the workforce abandoning hustle culture and “lying flat.” In India, a press report found that 75% of workers are reluctant to return to pre-pandemic workplace models.

Polls of reluctant workers in the U.S. note three particularly objectionable aspects of returning to work that have the potential to impact your recruiting efforts:

• Arbitrary attendance and the daily commute. After regaining personal time lost to a daily commute, few eagerly seek to return to the car 250 days a year. Add the savings of lower vehicle costs, fewer trips to day care, and fewer lattes and lunches out, and returning to the workplace five days a week seems like undeserved punishment. Most agree that workers need to spend time with peers and leadership to learn and gain experience. Today’s challenge for leadership is to create those opportunities without the burden of mandatory daily office attendance.

• Obsolete technology and inflexible tech policies. Working from home during the pandemic meant getting the job done without trip-

ping over antiquated tech and oppressive information technology. Most work was done in the cloud during the pandemic, and workers now expect modern resources and accommodating support.

• Hierarchical leadership. Topdown leadership and policies are out, and collaboration and trust are mandatory. Working during lockdowns flattened organizations and distributed responsibility. Workers appreciated that and are drawn to firms that maintain an egalitarian structure.

Look at your firm from a candidate’s perspective. Are your opportunities truly enticing, or is your offer yesterday’s news?

Recruiting and retaining with non-monetary benefits.

Many firms already offer certain non-monetary benefits by virtue of a desirable work site, flexible personnel policies or other unique intangibles. Unfortunately, too many firms completely forget to promote these benefits when recruiting.

Rather than depending on happenstance to support your non-monetary benefit portfolio, take an intentional approach to this opportunity. It’s long been said that money is the third

reason people work, after recognition and personal growth. After taking an inventory of what you have, take some time to learn where you could gain affordable goodwill.

Here are four tactics to get your own non-monetary benefit program going:

• Make it inclusive and ask your employees what they prefer (and what they don’t).

• Hang posters up, send emails, start a chat thread, etc. to share what the employee incentives are and what the program entails.

• Lead by example with management.

• Personalize your employee incentives.

Employers are already trying outof-the-box ideas like these:

• Company-provided benefits such as subscriptions to publications, streaming services, educational products and other digital content

• Commuting, parking, internet and cellphone service stipends

• Ride sharing and package and meal delivery service credits

• Membership dues for fitness programs, service clubs or public facilities

• Access to leadership through dedicated meetings, meals or off-site activities

• Grassroots opportunities to recognize and reward employees

• On-site, off-task activities to soften silos

After you get some ideas of your own, review them with your tax preparer. Some of these benefit ideas can have additional tax benefits for employers.

Guerilla recruiting — or, look where candidates are, not where they aren’t.

Now that you are thinking like candidates and can envision ways to make your workplace more attractive, it’s time to reach out. Few good candidates are actively looking for work these days, so traditional channels could be reaching no one. There are plenty of potential team members out there who are not in love with their current job, but they’re not actively looking.

Drop the job boards and advertise on pizza boxes, morning drive radio, church bulletins and club newsletters and at fishing derbies, car shows and high school football games. Use social media contests and polls to collect contact information from groups likely to yield candidates. In other words, try to get in front of people who aren’t looking for work but who might be open to persuasion.

Some employers are finding success using small scholarships to get access to candidate leads in high schools and colleges. It’s a channel that can help you reach high school seniors who later decide not to go to college and

who are wondering what to do next.

Final-term small scholarships are also a great way to reach college-graduating seniors who are thinking about employment. For college students, it’s a more familiar process than job hunting. After a scholarship is awarded, the firm can reach out to applicants periodically with job offers. It’s like advertising on pizza boxes — just one more way to get in front of people.

Make the three R’s of 2023 be respond, re-imagine and recruit.

If these ideas interest you and you’d like to know more, reach out to your Western Washington University Small Business Development Center.

Certified business advisers are available at no cost to you, thanks to our local funders.

Call 360-650-7232, email sbdc@wwu.edu or visit sbdc.wwu.edu to  connect with this trusted and confidential resource. ■

CJ Seitz is the director at Western Washington Undiversity’s Small Business Development Center, which provides tools, training and resources to help small businesses grow and succeed.

2022 3Cs Awards!

Steve Anker

“Jerry Libolt” Character Award

Nate Seigman Competency Award

Luke Camping Chemistry Award

Gone phishing? Cybercrime targets Whatcom County businesses

Cheryl Stritzel McCarthy

Cybercriminals are coming for your business, and they’re getting in via email.

In 2021, according to technology research firm Comparitech, 79% of U.S. businesses reported falling victim to a successful phishing attack, and $2.4 billion was stolen via business email, a 28% increase over the previous year.

“We are targeted by phishing every day,” said Ian Harper, information technology manager for Bellingham Cold Storage, a refrigerated warehousing company with 175 employees and three locations, two in Bellingham. “A lot doesn’t make it past our advanced email defense system.”

For the emails that do slip by, Harper and his team conduct a “search and destroy” routine to reduce the possibility that employees will respond.

“The ones that our users typically bite on are made to look like a note from their supervisor or another executive asking for a favor or some urgent task,” Harper said.

If employees are in a hurry, they’re more likely to miss the signs that messages came from outside.

It’s not just employees. Business owners and managers are top targets for phishing, Harper said.

“They are much more likely to receive phishing emails than the rest of their staff,” he said. “Hackers do this because owners/managers have more control over organizational finances, so the payout is bigger.”

Hackers buy lists of employees from companies that sell marketing leads and use that to target their campaigns.

“Even IT pros will fall for scams from time to time,” Harper said. “It’s happened to me and my team. When it does, it’s when you are in a rush … How critical are you at five minutes to lunch or going home for the day? What happens when an email comes in asking for one quick click? Wouldn’t you want to take care of it now, so you don’t have to deal with it later? It will only take a minute, right?”

Dennis D’Ambrosio, fraud investigations officer for Heritage Bank, with two locations in Bellingham, said scammers create that sense of urgency, pressuring you to take action now.

“A lot of very intelligent people have fallen victim to scams,” D’Ambrosio said. “It’s human nature to trust people, especially when they are assumed to be in a position of authority or we believe it’s someone we know.”

PHOTO: iStockphoto.com/Philip Steury

D’Ambrosio said business email compromise and ransomware are the biggest threats now: “They can cause the greatest damage to a business financially or operationally.”

Business email compromise is particularly lucrative for scammers, according to Comparitech: The average amount of money that businesses lost via business email compromise nationally in 2021 increased nearly 25% over 2020.

Besides the increase in business email compromise, in 2022 the financial industry saw a resurgence in check fraud, D’Ambrosio said.

“Mail theft rebounded, and the dark web has become a marketplace for the sale of checks,” D’Ambrosio said. “Business identity theft could be the next big thing, so it’s important for businesses to monitor their accounts.”

of businesses and the public in general. “Cybercriminals’ full-time job is scamming honest people out of money,” Harper said. “They are constantly working to improve the effectiveness of their scams. They have developed organizations and even social networks to make attacks more effective. They will share best practices and even hacking tools or services through these connections.”

D’Ambrosio concurs, saying cybercriminals are always looking for gaps or weaknesses in systems and processes.

“It’s a constant cat-and-mouse game where they poke and prod until they find a loophole that they can exploit,” D’Ambrosio said.

may drop into an active email chain with, ‘I’m following up on the status of invoice 1234. We need to have the payment sent to our new account, since we are in the middle of an audit. Let me know when it’s completed so I can let accounting know to watch for it.’ You’re familiar with the project invoice and the sender, so you don’t think twice about it until the real vendor says they didn’t get the payment.”

What you can do

“My mantra is stop, call, confirm,” D’Ambrosio said. “Most scams can be stopped in their tracks if you follow these three simple steps.”

1. Stop: Do not process a pay ment change request received by Call the sender’s verified phone number, not the one in the email.

General security practices for businesses are a good starting point: Arrange for antivirus software to update automatically; keep firewalls up to date; have the router protected by a password that is not a default password; regularly back up data to additional, unconnected storage; limit employee access to only the data systems they need for their jobs.

Harper highlights other essential practices:

1. Separate administrative access from an employee’s daily use accounts. “Typically, businesses will allow regular accounts to have administrator rights, to make installing software easier. This hole allows malware to hijack these permissions and start running amok in your systems. Having a separate account for admin access will stop a lot of malware from infecting a PC.”

2. Have strong email filters. “The No. 1 attack delivery these days is via email.”

3. Train employees to be aware.

4. Use multifactor authentication for all critical online accounts to prevent hackers from getting in if your password is stolen or guessed.

D’Ambrosio adds:

5. Use dual authentication for financial transactions; one person enters the transaction, and another approves it before funds are released.

6. Review or create an incident response plan.

7. Encrypt sensitive data.

8. Use strong passwords, and don’t reuse passwords. Credentials obtained from a breach on one service can be used by cybercriminals to log in to other, unrelated

sites or services, wreaking havoc.

9. Take advantage of online banking alerts.

10. Know your insurance. Do you need more coverage?

All businesses should have an upto-date inventory of IT assets, including computers, firewalls, networking equipment and software.

“From there you can start securing your network,” Harper said. “There’s a lot of basic blocking and tackling that businesses should be doing that doesn’t require expensive hardware or

subscription services.”

Some businesses send their own phishing emails to employees to help train them to avoid those that come from outside. Harper said he considers this essential for developing awareness among employees. D’Ambrosio added that it’s preferable to learn from a fake phish rather than the real thing.

“In the event you do fall for a phish, you need to know what to do and who to contact,” D’Ambrosio said.

Both Harper and D’Ambrosio stress the importance of education.

“I deliver optional training on a regular basis to all employees, and we have additional yearly mandatory cybersecurity training,” Harper said.

As D’Ambrosio put it, “It’s much easier to avoid phishing and any number of scams with just a little training.”

Cybersecurity at Whatcom Community College

Cheryl Stritzel McCarthy

Whatcom Community College’s initiatives have been contributing to the nation’s cybersecurity education for more than a decade: The school was nationally recognized for academic excellence in cybersecurity in 2011 and further honored by the National Security Agency in 2014. In 2022, it was designated a Center of Excellence in Technology and Cybersecurity by Washington state.

The college offers associate degrees in computer information systems and cybersecurity. Both options prepare students for the workplace or to continue toward the Bachelor of Applied Science in IT networking–cybersecurity, which WCC launched in 2017.

Students who complete the associate degree are ready for entry roles as information security analysts, computer-user support specialists, network and computer system administrators, or computer network architects, said

“Many WCC students of the computer information system program complete internships with our local businesses in Whatcom County and contribute their knowledge and skills to our local businesses and nonprofits,” Saunders said.

Saunders said cyber scams now incorporate machine learning and artificial intelligence to craft ever-more-realistic messages or criminal actions, but cybersecurity is evolving too, improving the ability to detect and respond to those scams.

“Individuals and organizations need to keep learning and source tools and skills to help identify malicious users,” Saunders said.

Christy Saunders (pictured at right), WCC technology department chair and CIS cybersecurity program lead.

“It’s a constant cat-and-mouse game where they poke and prod until they find a loophole they can exploit.”

- Dennis D’Ambrosio, fraud investigations officer, Heritage Bank

CELEBRATING THE BEST OF WHATCOM BUSINESS

Every Whatcom business owner knows the joy of running a company comes from more than the balance sheet. Building community is also important. Prosperity and community are values shared by the following outstanding 2023 Whatcom Business Award nominees, and the award recipients will be announced at a gala event on March 23 at Semiahmoo Resort.

Among the nominees for Start-up of the Year are nurturers committed to helping our seniors age in place at home. At the newest taphouse in Blaine, come in for a pint and stay for the talk. Inspired by Central Texas is a barbeque joint offering smoked meats and rotating taps.

And pickleball — our all-comers national sports craze — is now in a local Bellingham landmark!

Small Business of the Year nominees emerge from the trades, those who make our physical workplaces run, with 24/7 service and off-the-charts client reviews. A local refillery brings only product — soaps and shampoos, teas and honey — without packaging waste. We all need a safe and fun place to board our dogs, our beloved extended family members! And led by the fourth generation is a favorite nursery cultivating bountiful fruit trees and colorful blooms.

Nominees for Business Person of the Year come from coastal beauty. One is the general manager of a luxe, boutique hotel, and another leads cruises throughout Pacific Northwest waters. High-end home builders and the most personable accountants make Whatcom desirable and secure.

We look forward to celebrating the variety of businesses represented in this issue on March 23, and invite you to join us!

PHOTO: iStockphoto.com/-strizh-

for helping improve the economic and civic vitality of Whatcom County. entrepreneurs, job creators and risk-takers who enhance our community.

BRIGHTSTAR CARE OF BELLINGHAM/MOUNT VERNON

Providing communities a higher standard of caregiving

Elisa Claassen

Karl Larsen is the CEO and co-owner of Faith-Alliance LLC, doing business as BrightStar Care of Bellingham/Mount Vernon. His business partner is Nathan Jackson, and Connie Streubel serves as BrightStar’s sales manager. Founded during the pandemic in August 2021, the company presently has 12 employees in Whatcom County.

Doors opened for business on

March 21, 2022. Revenues were approximately $537,495 in 2022 in the company’s nine months of operation.

“Based on our many experiences with our parents and others, we believe providing a higher standard of care to people in their homes and/or communities leads to more happiness for everyone,” Larsen said. “After receiving an inquiry from BrightStar Care, we realized that their franchise model,

training and technology would provide the best results when compared to other opportunities we considered.”

The team purchased the BrightStar Care franchise for Whatcom, Skagit and Island counties. The investment for the local franchise startup was slightly over $400,000.

BrightStar, Larsen said, is composed of on-site registered nurses and a professional care team providing home

Karl Larsen and Connie Streubel

PHOTO: Sattva Photo

care and medical staffing services.

“We help loved ones stay at home or within their communities, assisting them with doing the things they love and living better,” Larsen said. “BrightStar Care of Bellingham provides a full continuum of care, from companion to skilled nursing. Our director of nursing will do a complimentary assessment and provide a personalized care plan that reduces stress while improving safety and quality of life at home.”

The organization philosophy: “To help others love life and create opportunities for advancement.”

Larsen said what sets BrightStar apart is a high standard of personalized care, a team of care experts, and high marks for client satisfaction.

As the local BrightStar franchise heads into its second year of operations, its goal is to fully serve the communities of Whatcom, Skagit and Island counties with comprehensive care, Larsen said.

“We want to be trusted and recognized as providing the highest-quality caregiving and nursing experience,” he said. “In addition to providing care giving and medical staffing, we are also working on the development of multiple BrightStar Care Homes for meeting the memory care needs of the communities we serve.”

Larsen said he walked alongside senior members of his family as they aged and knows firsthand the emo tional challenge of the experience. His family saw the needs of a long-married couple indicate different solutions that would separate them. They wanted to stay together, even though one had de mentia and the other didn’t.

The homes BrightStar is working

to build for the next phase of care addresses those who can’t stay in their own homes but want that environment, along with 24/7 care.

The goal is to have the first small home built and operational within two years. BrightStar is looking at suitable properties around Bellingham and also intends to build additional homes in or near Anacortes and Mount Vernon.

Jackson, Larsen’s partner at BrightStar, serves as the branch manager and minority owner. The two met years ago when Larsen was coaching a Ferndale Amateur Athletic Union team, and Jackson’s wife, Kyrin, was on the team with Larsen’s children. They stayed in touch through the years, Larsen said. Jackson’s strength as a former Army tank commander has come through, and he has expertise managing in a

franchise environment.

In addition to BrightStar, Larsen has been involved with a specialty chemical company, CESCO Solutions, since 1983 as an owner.

Since Larsen has developed more than one company, he gives the following advice: “Have a long-term business plan with your vision, goals and objectives. Make sure you spend your time hiring the highest-quality people you can find and pay them well. With a great plan and people, you will surely be successful.”

Many of the BrightStar team members are lifelong residents of Whatcom, Skagit and Island counties.

“We are truly invested in making sure we provide our communities with the highest-quality caregiving experience possible,” he said. ■

GATEWAY 1890 TAPHOUSE & GRILL

Local couple brings taphouse concept to Blaine, showcases historic past

Elisa Claassen

Gateway 1890 Taphouse & Grill — a combination of hospitality venue, taphouse and restaurant — was founded in December 2021 by Gary and Kristen Slavin on Peace Portal Drive in Blaine. The location is blocks from the border with Canada, at the corner of Peace Portal Drive and Marine Drive, by the freeway on-ramp.

The city of Blaine is full of histo-

ry. “Many say it’s no different than any other town, but many have been long-time residents,” Gary Slavin said. “Many outside of that have been long-time visitors and have seen what Blaine was like over years.”

To visually show newcomers what Blaine has been and is, the Slavins have put historic photos along the walls, with large wall murals and ac-

tual street signs. Due to the décor, they are constantly receiving memorabilia to display. By the time patrons leave, Gary Slavin said, he wants them to have learned a lot about Blaine’s history.

“As we are a small town with an amazing community, it is our local residents who have gotten us to where we are in our first year,” he said. “We

Kristen and Gary Slavin

PHOTO: Sattva Photo

do need visitors to come in, as do all our local businesses.”

Gateway also markets to other parts of Whatcom County and to Canada.

During the winter, the business has 15 full-time employees, and that number increases to 22 workers in spring and summer. Approximate revenues in 2022 were $900,000.

Originally from Canada, Gary had a summer vacation place in Birch Bay his entire life, while Kristen was born in Bellingham and raised in Blaine.

“In the last five to 10 years, as more breweries and taphouses were popping up in Bellingham, we felt that Blaine was missing out and could use a similar model for downtown,” Gary wrote via email. “We wanted a place where atmosphere and being able to relax and socialize was needed, with a cold beer and good comfort food.”

The Slavins had a plan to focus on specific beverages and comfort food from near and far.

“For beverages, we would offer craft-style beers, wines and ciders that are from the West Coast, as we love all our breweries in the area. We wanted to offer beers that the patrons could try without driving four to six hours to get.”

Stemma Brewery makes and supplies them with their Gateway Pilsner. Beach Cat Beers come from nearby Birch Bay. Gateway also brings in craft beers from southern Washington, Oregon, California and other nearby regions.

The Slavins also considered Blaine’s location in deciding on additional selections.

“We take great pride that we offer 50 international beers. Being right next to

an international border, we tied that in to offering beers from all over the world — many that cannot be bought in stores or are hard to find, from Belgium, India, the United Kingdom and Europe.”

The Slavins also purchased a 20-tap Bottoms Up Tap System.

“We are the only ones in Whatcom County to have one, and the only one with 20 of these taps in Washington,” Gary Slavin said. “The beer fills from the bottom of your glass!”

The Slavins also wanted to offer great comfort food, with the majority being made in-house.

“We are becoming known for our fish and chips and our 8-ounce burgers,” Gary Slavin said. “Our fish is hand-cut Alaskan cod, deep-fried in our house-made beer batter, served with sidewinder fries and our housemade tartar sauce and coleslaw. All of our dipping and burger sauces are made in-house.”

Gateway offers seasonal menus and continues to expand. Gary Slavin said the list of favorites is growing — house-made “when ordered” mac and cheese, chicken schnitzel, meatloaf with brown-sugar-and-bourbonglazed carrots, steak plates.

“With products like these, we put service first, and that starts with the staffing we have,” Gary Slavin said. “Our front of the house is exceptional service and always upbeat. All of our front staff have been with us since we opened, and you can see the commitment they have with the atmosphere they enjoy working in.”

After establishing favorite menu items during the first year in business, the Slavins continue to think to the

future, Gary said.

“Restaurants can’t stagnate; people do want to see consistency but want options,” he said. “We will continue with seasonal menus that caters to that, but as well put on more events, theme nights, reasons for people to come in for new things to enjoy.”

An outdoor tap yard, opened this past July, was successful during the summer. Local musicians have come in for live music nights.

“We are aiming for late spring to open our ‘Smuggler’s Tunnel Tasting Room,’ located in our first floor, that will offer high-end spirits, cocktails, in a low-lit atmosphere with various appetizer options to enjoy.”

Advice to new entrepreneurs: “You need to have big shoulders, along with a sound heart, to be in this industry. Keep persevering through slow months. If you receive bad reviews or comments, take note of all, but stay on track with your goals. In the end, seeing smiling people, a ‘thank you’ as people walk by, are the rewards for this type of industry. Respect your staff: I have always treated them like family.”

Gary Slavin has plenty of good things to say about his supportive family and staff and doing business in Whatcom County.

“We have a great county with great people — from patrons and staff to suppliers and services. Not everything has to be ‘down the street.’ We all tend to drive miles to try something different. We support each other, and that is all we can ask for from the people of Whatcom.” ■

ARMORY PICKLEBALL

Pickleball craze hits Bellingham

Century-old building is new home for up-and-coming sport

Elisa Claassen

COVID-19 impacted people in different ways. For Bellingham’s Craig Cooper, it helped him discover a hobby he really liked: pickleball. It was something he could do for fun safely, outside. He started playing in Cornwall Park and then found, as the weather was cooling, that Bellingham didn’t have a covered or indoor location to continue playing, he said.

The castle-like Armory building caught his eye. It wasn’t being fully

used, and once he talked with the newer owners, he found they also had an interest in the game and in what he wanted to develop. When they bought the building, they had announced they were open to ideas.

“They are wonderful people,” Cooper said. “And supportive.”

The Washington National Guard Armory building is located at 525 N. State St., between downtown Bellingham and Fairhaven and below

the Western Washington University campus. Built in 1910, its architecture is distinct, with heavy masonry walls, a crenellated parapet and rounded towers. It once was a site for military training, and in more recent decades it was used as a roller skating rink, though that was stopped in 1989 due to water damage. Western Washington University also has used portions of the large facility for storing theater sets and equipment. The building was

Courtney Jenkins and Craig Cooper

PHOTO: Sattva Photo

listed on the Washington Trust for Historic Preservation in 2006.

In June 2018, WWU sold the building and adjacent site to Curt O’Connor and Pete Dawson, according to the Trust’s website. Cooper approached the owners and Courtney Jenkins, whom he had met playing pickleball, about running a business in the building.

The game originated in Washington state during the summer of 1965, invented by former State Lt. Governor Joel Pritchard, businessman Bill Bell, and Barney McCallum. The three men used a badminton net, ping pong paddles and a perforated plastic ball for the first games, according to the USA Pickleball organization.

To create their own indoor pickleball playing community, co-owners Cooper and Jenkins focused on the main drill hall gym space, removing

the existing flooring, updating the concrete and installing five pickleball courts. They looked at the popular 24 Hour Fitness club model for inspiration, Cooper said. An app can be downloaded for use by members.

This business is structured differently than the other start-ups; it has no full-time employees. Cooper and Jenkins both have full-time jobs and depend on a strong online presence and the community of players and those who come alongside to clean and maintain the space. In addition to the courts, the building contains a small office and bathrooms.

An online schedule shows court availability from 6 a.m. to 11 p.m., seven days a week. College Nights are every other Friday, from 8 p.m. to 11 p.m., for $15. The schedule allows players to book one and a half hours of playing time.

The membership-based community, which has 200 at present, is in the midst of expanding its offerings, according to the website. While Armory Pickleball is promoted as a resource for die-hard pickleball players, Cooper said newer players also are showing up. As the business — and community — grows, Cooper and Jenkins have been taking feedback from participants on what changes are needed. They also are partnering with instructors to teach the game through four-week skill sessions, Cooper said. Other relationships have been formed with pickleball playing organizations.

Currently, membership applications are completed online. Armory Pickleball does not give refunds for memberships once they have started, but players can find others to take over the membership, if needed. A membership waitlist is available. ■

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JACK’S BBQ

Barbecue that gives back

Eight years in, Jack Timmons has seven restaurants and an overseas nonprofit

Elisa Claassen

Jack Timmons may live in Seattle, but he does retain part of his native Texas in his speech and his love of barbecue. His title is proprietor and pit master at Jack’s BBQ. While Timmons has four vice presidents who manage day-to-day operations, as the CEO he is focused on overall strategy, branding, marketing and planning. He also takes pride in that he still trims meats in the barbecue pit areas occasionally — but

“only for fun.”

Though he had not been in the restaurant industry before, he said he was motivated to get out of the corporate life. He now owns and operates multiple locations and also does catering.

Timmons grew up in Texas and has lived in West Seattle for more than three decades. In 2012, he attended Barbecue Summer Camp at the Meat

Sciences program of Texas A&M University and toured many historic barbecue “temples” in Central Texas. For those not familiar: The Meat Science program is part of the College of Agriculture & Life Sciences at TAMU. Highlights of the three-day summer camp include brining basics, whole hog cookery, homemade sausage and meat safety.

Returning to Seattle, Timmons

Jack Timmons

PHOTO: Sattva Photo

bought an offset smoker, imported some post oak wood and started what he called the “Seattle Brisket Experience.”

After more than a year of practicing the art of barbecue — serving old-school, succulent smoked meats to thousands of Northwest barbecue fans at events, Timmons opened his first restaurant in the South of Downtown (SoDo) area of Seattle in 2014. He opened another location in Algona, where he smokes meats, and then several other locations where he brings the barbecue for selling — Columbia Tower, Lakewood and Jackalope, according to the company website.

The restaurant menu includes Texan fare — buttermilk hushpuppies, fried okra, iceberg lettuce topped with smoked beef bacon, myriad barbecue plates with sides — as well as desserts, cocktails, draft beers and wines.

Jack’s BBQ opened its third smoking location this past spring in the old Greyhound bus terminal on North State Street in Bellingham. Thirty of the company’s 150 full-time employees are in Bellingham. Growth has been 20%, with an estimated revenue of $6 million for 2022.

“We came to Whatcom County because it’s the perfect place for us to engage with the many small businesses and organizations,” Timmons said via email. “We very much like having these deeper relationships with customers and partners. Joining the Bellingham Regional Chamber of Commerce, sponsoring a Robert Cray show at the Mount Baker Theatre, supporting local charities such as Lydia Place, serving chili at the Bellingham Bells baseball games, partnering with Stone’s Throw and other breweries to provide barbecue to their beer fans, and others.”

Timmons is also engaging with Whatcom Community College and Western Washington University to teach entrepreneurship classes in their business programs. He takes pride in giving back, both locally and abroad.In addition to his restaurant work, Timmons manages a nonprofit organization that builds schools in the Yucatan Peninsula of Mexico (https://yucataneducationproject.org).

“We just completed the first school, and I am flying to Rome mid-February to meet the Pope,” Timmons said. “The priest I’m doing this project with studied in Rome and apparently knows people.”

Timmons says he had never worked in a restaurant before starting one, and the travails of the business have come as a bit of a surprise.

“I tell people I’ve aged like a presi-

dent,” Timmons said. “Eight years later and I’m looking worn. The key is hiring the right people and giving them a vested interest — such as profit sharing — in making the business successful.”

He is happy to share that advice — and much more — with new business owners.

“Come and talk to me,” he said. “I can tell you how I set up my business, the deals for investors, the pro forma financial forms, and how I manage the business to the profit and loss statement on a weekly basis. Marrying operations with accounting is the key.”

Despite the challenges, the past eight years have been a wonderful experience, Timmons said.

“This is all very fun for us,” he said, “and we very much appreciate the opportunity to engage and support the community.” ■

GARY’S PLUMBING

Customer service tops mission to serve

Family-owned business continues to expand

Mary Louise Van Dyke

Gary’s Plumbing and Heating LLC involves more than just wrenches and pipes, with office staff and technicians at the ready 24 hours a day, seven days a week, to respond to plumbing and heating emergencies.

Founded in 2006, the company is a family-owned business, according to Mary Gibb, co-owner and wife of founder and owner Gary Gibb.

She manages marketing and office work, and their two children also are involved in the operations. Gary’s Plumbing employs 33 full-time workers, and all of them live in Whatcom County, according to Mary Gibb.

Launching Gary’s Plumbing and Heating didn’t involve writing a major business plan. “Gary had been working for another local plumbing company,”

Mary Gibb said, “and it became time for him to go out on his own.”

Initially, the company operated out of the couple’s basement, using a single truck for calls. From there, the company rented space and eventually moved into its location at 4760 Pacific Highway in Bellingham.

The company’s initial emphasis was jobs involving new construction. Now,

PHOTOS: Sattva Photo

Mary and Gary Gibb

PHOTO: Sattva Photo

17 years later, the vast bulk of its work is focused on residential and commercial customers, Gibb said, with a light remodel project now and then.

Staff are trained in customer service as well as in their individual job skills. Gary’s Plumbing and Heating technicians perform repairs and installations and handle emergency situations, Mary Gibb said, such as if there are smelly things bubbling up in the toilet or sink that don’t belong there.

People needing a plumbing or heat-related repair often experience frustration while waiting for a call back from contractors, she said. “We try to be as responsive and available as we can be, offering more available hours than just 8 a.m. to 5 p.m.,” Gibb said.

The company’s plumbing services range from emergency and commercial plumbing to water heater installation and repair, sewer service and drain cleaning, garbage disposal installation, gas line installation, re-piping and boiler service and repair, according to the website. The heating side includes ductless mini-split services, heating and furnace installation and repair, air duct cleaning, gas line installation and repair and emergency heating needs.

“The trucks are like a rolling warehouse, with the items needed for most repairs,” Gibb said. “When they come to the customer’s site, they are ready to make the repairs.”

The couple crafted their mission statement with the pledge that technicians and office staff will do their best to make people feel comfortable, to be honest and respectful of customer’s homes, and to not charge extra for work done at nights or on weekends.

“It reminds our team of the mission,” she said, “and it also makes our customers feel more comfortable because they know they can count on us.”

Gary’s Plumbing offers customers top-quality brands and recommendations on what products will work the best for their homes, Gibb said. Customers also are encouraged to be proactive with scheduling services through the company’s Healthy Home Maintenance program.

The company supports local organizations such as Women Sharing Hope, which organizes and hosts fundraising events to benefit local nonprofits such as Hope House and Blue Skies for Children, according to its website. Gary’s Plumbing and Heating also sponsors a few events for the Bellingham Regional Chamber of Commerce.

Especially close to Gary’s and Mary’s hearts is the support the company has provided to Brigadoon Service Dogs, a Whatcom County organization that provides trained service dogs for veterans, children and adults with varying disabilities. Gary’s Plumbing assisted with remodeling a shop to serve as the Brigadoon “House of Puppies,” and the company has contributed funds to help train dogs.

The service dog program has several training locations, including Stafford Creek Corrections Center in Auburn, where incarcerated veterans raise and train service dogs for veterans who live with post-traumatic stress disorder, mobility and other issues, according to the Brigadoon website.

“It was really neat, too, because some of these veterans now get to graduate and have a dog of their own,” Mary

Gibb said. “They can be out in the community again and able to function, going to school, getting jobs.”

The company earned about $5.6 million in revenue in 2022, reflecting a growth of 10% from 2021.

For the future, the couple plan to stay focused on growing and hiring and to continue their support for Brigadoon and other community organizations. They hope to move to a bigger site eventually, but for now they will continue chugging along at the current location.

“The main thing is we do really try to have excellence in our work, and how much doing that means to us,” Mary Gibb said. “That we give back to the community.” ■

LIVING PANTRY

Refilling station is ‘compassionate commerce’ Couple aims to eliminate packaging, waste at its stores

Mary Louise Van Dyke

Living Pantry offers shoppers the unique opportunity to purchase only the amounts needed and reuse their own clean and dry containers for personal care, kitchen and home product refills.

The refillery, as it’s called, is owned by Shawna and Seppi Morris, with locations in Blaine, Bellingham and Fairhaven. Seppi Morris focuses on business development, marketing and

website development. The couple work with four part-timers. Living Pantry’s revenues in 2022 were $350,000, marking an increase of 50% from 2021.

The intention, Shawna Morris said, was to give people access to natural, eco-friendly products, providing them the opportunity to refill products and cut down and eliminate the tossing out of used plastic containers and bottles.

The idea of opening a store dedicated to sustainable products sparked in March 2020, when Shawna Morris discovered that the refillery concept existed in places such as England, California and Seattle.

“For years,” Shawna Morris said, “Seppi and I had dreamed, ‘Wouldn’t it be nice to have a business someday?’”

Previously, she’d shopped at grocery stores that offered bulk food options

Seppi and Shawna Morris

PHOTO: Sattva Photo

but hadn’t visited a retail shop totally dedicated to refilling products.

Being laid off during the pandemic allowed the couple time to workshop a plan before launching the first location, at 684 Peace Portal Drive in Blaine. They spent hundreds of hours sitting together to brainstorm and get clear on what they wanted to do.

“For us, it was an all-in endeavor of our time and energy,” Shawna Morris said, adding that they didn’t get a business loan.

Visiting the A Public Shop refillery in Seattle helped Shawna Morris develop insights into how to run a refillery. She already knew where she wanted to locate the Living Pantry store in Blaine.

The couple developed the phrase “compassionate commerce” while preparing to open the Blaine store in September 2020. The shopping experience, she said, takes place in a retail space full of natural products for home and body. While refilling and viewing what is available, shoppers gain fresh perspectives on purchasing and reducing or eliminating waste.

The experience “is very mindful. It’s very connected and so much more than just refilling soap,” Shawna Morris said. “All our choices affect our bodies, our environment.”

The Bellingham location, at 2400 Yew St., opened in September 2021, and the newest location, 1132 Finnegan Way in Fairhaven, opened in February 2023.

Customers can purchase as little as an ounce of what they need, from facial creams to dental floss to laundry

soap. Some refillable bulk food items are available at the Blaine location.

Many sustainable products are made regionally, with a few items obtained from other parts of the world, Shawna Morris said. The focus is on what is available in Washington and across the border.

In addition to serving the local area, the shops also attract tourists visiting Whatcom County.

“I never really considered tourism, and that is a huge piece of what we do, especially in Blaine,” she said.

Relationships develop through these interactions. Some customers make annual return trips and may call and order something to be sent to them through Living Pantry’s online bulk shopping option. The stores also sell containers for shoppers who don’t have their own, she said.

Shawna Morris also helps interested visitors locate refilleries nearer their homes for future refills. A few people have indicated they would like to open a refillery in their areas. One person accomplished that goal in Chicago, she said.

“Connection is so important; you never know that ripple effect you may have on someone, regardless of the shopping,” she said.

With the Fairhaven store just launched, the main goal is to keep fine-tuning what is happening at each of the locations. Living Pantry expanded quickly and thrived due to opportunities and interest from the local community and tourists, despite the pandemic.

“We’ve supported our communities

in reducing waste,” Shawna Morris said. “As an example, we saved over 2,000 laundry containers. There’s been 2,000 refilled in our stores that didn’t go to the landfill.”

Looking ahead, Shawna Morris said the main local goal is to produce more product in-house to reduce costs and the environmental impact of shipping things. That goal won’t be quickly accomplished, she said. The Bellingham location offers space for expansion and more production; however, that goal will take time to achieve.

As much as possible, staff reuse and upcycle materials received at the store for shipping orders through the online store.

Another of the couple’s goals is to get more involved in community activities — but, baby steps first, Shawna Morris said. When possible, they will participate in activities other organizations are doing, such as beach cleanups.

Living Pantry collaborates with other companies to serve as a takeback program for razorblade recycling and a drop zone for cosmetic containers that are clean and dry.

“We contribute to our community because we are supporting local small businesses and artisans who are trying to get their feet wet in the local market,” Shawna Morris said.

Living Pantry’s three locations aim to continue to be places that support people working toward a zero-waste environment — one choice at a time. ■

VANDER GIESSEN NURSERY

86 years of smiles at Vander Giessen Nursery

Four generations have run this family business

Mary Louise Van Dyke

Vander Giessen Nursery, a family-owned, full-service nursery and garden center, is renowned for bringing smiles to customers’ faces.

The Lynden-based company specializes in flowers, plants and the Lynden baskets — huge flowering hanging baskets that are planted and grown at the nursery, said co-owner David Vos. Those baskets richly ornament Lyn-

den’s downtown in the summertime.

James and Anna Vander Giessen opened for business in 1938 after building a greenhouse at their 401 E. Grover St. property in Lynden.

Today, the nursery, still located at the same address, continues to supply customers’ garden needs with co-owners Alvin Vos and his son David Vos, respectively the third and fourth gener-

ations, at the helm. The only full-time staff, the two hire seasonal workers for the busy seasons.

However, the nursery might not exist today if Alvin Vos had pursued his original plan to work in construction after graduating from high school. At that time, the nursery was under the management of the second generation, Lawrence Vander Giessen,

Alvin Vos and David Vos

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Ada (Vander Giessen) Vos and her husband, John Vos.

“But there was a need at the time, as my dad (John) had some health issues,” Alvin Vos said. “I volunteered at their request to help out that first summer after graduation from high school. Fifty years later, here I am.”

He worked with his uncle until Lawrence Vander Giessen’s retirement. Taking over the landscaping division of the business helped pacify some of Alvin’s need for construction, he added.

David’s initial plan was to become an architect when he grew up. John and Ada Vos operated the business as a seasonal operation, with a focus on greenhouse flowers.

“It was almost really more of a hobby for my grandparents at that time,” David Vos recalled.

Instead, David decided to join the family business and work with his dad after John experienced a brain injury in 2003 from a fall. Alvin shifted his focus from landscaping to the nursery side and worked on renovations to the business and Grover Street property. The nursery expanded into a yearround business in 2005, and David joined the business full-time in 2008, according to the nursery’s website.

The company’s markets keep expanding each year, with buyers coming from as far away as Seattle to purchase the hanging baskets and flowers, David Vos said. These baskets can be ordered in advance, with customized plantings, or purchased during a visit to the nursery.

Other products offered at the garden

center range from shrubs and trees to beauty bark, fertilizer, gravel and garden chemicals. Spring sales include vegetable and fruit starts. The nursery provides local delivery in northern Whatcom County.

Alvin’s greatest joy is when a customer walks out the door, satisfied with having received answers to questions about gardening, or shows excitement over their purchases — particularly the colorful hanging baskets, he said.

“Our philosophy is truly to serve our community and our clients, our customers,” Alvin Vos said.

David Vos appreciates the nursery’s commitment to quality, both in its products and interactions with customers, despite the current inflation.

“We try to keep our prices reasonable, certainly, but I think we’ve stayed true to the quality of the products and services that we provide,” he said.

The nursery doesn’t have any big projects being worked on right now, David Vos said. About 10 years ago, the partners purchased a property across the street that increased their overall space and allowed them to build more greenhouses and add warehouse storage space.

The COVID-19 pandemic resulted in customers, especially first-timers, visiting the nursery at a time when gardening was one of the few stress relief outlets available. During that turbulent period, the company worked with a smaller crew while trying to keep everyone safe.

“It was an accomplishment to get through that season in 2020,” Alvin Vos said.

David reflected that it was also a real joy to serve customers. He recalled watching people smile as they looked through the flowers and a customer sharing that she felt the nursery was the most normal place she visited during the pandemic.

Father and son are working on ways to make the most efficient use of the space they have available. They are utilizing the room in one of their greenhouses during the offseason by growing pansies and chrysanthemums for fall sales, David Vos said.

They are both involved in community activities in addition to running the nursery. The business supports the Lighthouse Mission and New Way Ministries, a Christian organization that supports women and children in crisis.

Father and son serve on Lynden’s design review board, composed of community members who have experience in aspects of building projects, and are active members of Bethel Christian Reformed Church in Lynden.

Since 2015, the nursery’s business has doubled in size, especially given the big bump due to the pandemic.

“We thought that would be a temporary spike, but that has maintained,” David Vos said. “Our goal is to maintain those customers and continue to serve those people.”

The nursery will need to add another full-time employee as Alvin Vos gradually prepares for retirement in the next few years, he said. However, he’s not ready to sit back and watch the chrysanthemums grow. Not yet. ■

ROVER STAY OVER

The hounds have been unleashed

With up to 60 dogs per night, pet resort business is booming

Mary Louise Van Dyke

Mornings start early at Rover Stay

Over pet resort, with boarder dogs heading out one at a time to use the outdoor facilities. Their breakfasts await, and their human attendants will begin the process of changing each canine’s water, vacuuming the kennel, shaking out the dogs’ blankets and sanitizing.

Later, more dogs arrive to spend a few hours — or the whole day — at

the doggy day care. Attendants are bustling as dogs head outdoors for hours of fun, playing together, chasing, napping and doing the smell routine to make sure their pals are OK.

Owners Charmae and Ken Scheffer opened the business in 2011 after moving to Lynden. The couple and family were returning home after living in Pasco. During their time in southeastern Washington, they’d dis-

covered how difficult it was to find just the right place to board their own dogs while on vacation, Charmae Scheffer said.

The Scheffers researched what running a professional kennel involved and scoped out a plan for operating their new business at 6451 Hannegan Road in Lynden. Their seven children, all homeschooled, helped with preparations for opening in 2011.

PHOTOS: Sattva Photo

Three of the Scheffer family: Ken, Charmae and daughter Sydney

PHOTO: Sattva Photo

The course was set, but Charmae Scheffer recalls her dad questioning their intended venture. Why did she and Ken think people would want to board their dogs at the kennel? Was it really a good idea?

The answer was arf-arf yes. The Scheffers discovered a definite demand for their services from dog-loving Whatcom County residents. The kennel, with its original nine spaces, filled up quickly, and the phone kept ringing with folks wanting information.

“It’s been an amazing little business and great for our family,” Charmae Scheffer said. “I’ve met so many people. I’m a homebody, and this business was perfect, because people were coming to my house.”

The main offerings are the doggy day care and boarding, dog and puppy training and pet shuttle transportation. Day care is available seven days a week and includes the option of dropping your furry friend off for a few hours, an afternoon or the whole day. This appeals to individuals who need to run errands or go on a dog-free outing with friends, or who have dogs that tend to bark or get in messy trouble when their human is gone.

New clients often have concerns about boarding their dog. “People are scared of kenneling until they get there and realize it’s a good experience,” Charmae Scheffer said.

First-time boarders are given a free day of boarding before their scheduled stay to get them familiar with the routine, Scheffer said. Dogs are required to have immunization records, and

each is evaluated to determine personality, play style and socialization level.

Boarder stays usually last a week or two, but the length depends on each person’s needs, Scheffer said.

Sometimes, people are moving and need more time to get settled in their new location.

Other times, people are scheduled for surgery or lengthy medical treatment and don’t have anyone who can look after their dog while they’re recovering. Scheffer shared the story of an older man who brought his older husky to board at Rover Stay Over. The pair were accustomed to taking walks along the waterfront; boarding allowed the husky space to play and receive good care while the man was recovering from surgery.

Unfortunately, the man passed away. “We were like, ‘oh no, what do we do now with the dog?’” Scheffer said. The husky was adopted.

Some boarders go out for play group with the day care canines. Dogs who aren’t as social spend time with an attendant. Each dog’s human can select special options, such as having the dog go for a country walk once a day, enjoy cuddle time with the attendant, play ball, or eat frozen peanut butter treats at bedtime.

For many of the trained attendants, working at Rover Stay Over is their first job. The work requires more than just loving dogs, Charmae Scheffer said. In an online course, attendants study the basics of dog care, customer service and CPR for canines. Experienced staff train them on cleaning

the kennels and taking care of a dog’s needs.

New employees are trained in dog behavior and reading dogs’ body language, Scheffer said. This includes being able to decode the dog’s side eye look (that includes the white of the dog’s eye), which indicates fear and stress, or realizing when the dog wants to play.

Scheffer appreciates seeing the facility filled with dogs again, with an average of 30 to 40 boarders a night. Summertime and holidays are their busiest times.

That bustle is reassuring after weathering the pandemic. When the “stay home, stay healthy” order occurred in March 2020, the kennel’s phone kept ringing with people cancelling reservations for boarding and day care, she said.

Goals for the future include bringing dogs to schools as therapy dogs and working on employee retention and training. Another option is possibly setting up a special area to cater to the needs of older dogs. The Scheffers also offer doggy day care at Puget Hound, located at 3710 Williamson Way in Bellingham.

In five years, Scheffer hopes Rover Stay Over offers clients more indoor and outdoor options, with more individualized care to meet more specific needs.

“We have lots of happy satisfied customers,” she said, “and we meet a need for people.” ■

MARV TJOELKER , LARSON GROSS CPAs & CONSULTANTS

CPA firm aims to improve businesses, lives

Heather Lea

In 1949, Ted Larson was fresh out of Washington State University after World War II, having served in the Battle of Normandy. He needed a job, so he created one by starting an accounting firm. Founded as a single office in Bellingham all those years ago, today Larson Gross CPAs & Consultants has grown to five physical offices across the state of Washington and 190-plus team members, with 140 living in Whatcom County.

Marv Tjoelker — partner, past CEO and past chairman of the board —

joined Larson Gross in 1983 when the firm was just two offices and 25 people. He was promoted to partner in 1994, and in 2002, he became CEO. From 2012 to 2020, he served the firm as chairman of the board.

As business grew over the years, Larson Gross saw the addition of more than 160 team members, an increase from five to 18 partners, and a geographic footprint that’s changed from two to five offices.

The firm has added to the breadth and types of services it offers to clients,

expanding from tax returns and financial statement preparation to technology and human resources consulting, personal financial planning, and now wealth management.

Approximate revenue in 2022 was $26.8 million, up 22% from 2021. Most of this growth has been organic — one step at a time, one client at a time, and even one team member at a time.

“But what hopefully stands out,” Tjoelker said, “is that our culture has developed and deepened to where we

PHOTO: Sattva Photo

are very team oriented, working together to put the development of our team members at the center of everything we do.”

Tjoelker said he owes much of his career achievements to other people.

“My wife, Linda, is my biggest cheerleader and has been a tremendous support for me during the 45 years we have been married,” Tjoelker said. “I have had and continue to have incredible mentors in my life.”

Ted Larson and Dennis Gross are among the men Tjoelker credits as wanting to help him and others succeed, along with his partners and teammates, who “are so much fun to work with and operate at such a high caliber, it is amazing to share the day with them.”

In 2021, Tjoelker received the Washington Society of CPAs Community Leadership Award.

“This was incredibly special to me,” he said. “Especially when I reviewed the names of individuals who had won this award previously.”

Tjoelker is involved in Mount Baker Rotary, Kidstown International, Northwest Washington Fair, Whatcom Business Alliance, Lynden Christian Schools and the Interstate Committee.

Tjoelker also leads what he calls Cowboy Church, a weekly 10- to 20-minute message from the Bible, “using everyday life examples to help make the Bible come alive today.” The messages are posted to Facebook at 8 a.m. every Sunday morning.

Over the past several years, Tjoelker has continued to transition leadership roles at Larson Gross to other people. He says it’s rewarding to see others become successful, and he’s always there to cheer them on and offer whatever support and encouragement he can.

“As I look back over the 40 years of helping clients, it is humbling to know that we at Larson Gross have contributed to the success of our clients, our community and our people,” he said. “That is so cool. We have made a difference.”

As a firm that comes from community roots planted almost three quarters of a century ago, Larson Gross knows how important it is to create impact where we all live and work. Ultimately, the firm believes that impact happens on many levels, including its relationships with clients, businesses and nonprofits and its philanthropic giving.

The mission of Larson Gross CPAs & Consultants is to make lives better and businesses stronger. The firm’s vision is to be “connected in genuine relationships with our team members, clients and community creating healthy organizations, secure financial futures, and meaningful legacies,” Tjoelker said. “We really are all about building relationships and connecting with people.”

In addition to the company’s goal to serve as advisers and community leaders, and as part of its larger organizational giving strategy, Larson Gross has implemented a program allowing its staff to vote for a nonprofit organization each quarter to which it provides monetary support. The firm has a partner matching program to raise funds for the nonprofits selected.

“It’s been incredibly inspiring to put the power of the firm’s philanthropy in the hands of our team members,” Tjoelker said.

What’s on the front burner for Larson Gross CPAs & Consultants?

“We are in the ongoing process of integrating a recent merger (September 2022) with a 35-member CPA Firm in Wenatchee,” Tjoelker said. “This ex-

citing merger is helping Larson Gross to expand geographically and to build an even greater resource base of people and expertise to add even more value to our clients and to diversify our client base.”

He adds the firm is executing on several strategic partner relationships to add wealth management services to its client service mix. This will help Larson Gross continue to be a full-service financial resource, helping clients achieve success in reaching their financial goals.

The most notable accomplishments for the firm include having been able to consistently grow at an average yearly rate of 10% since 2002, all while remaining locally owned.

In 2016, out of 43,000 registered firms, Larson Gross was recognized as a top 400 CPA firm by the American Institute of Certified Public Accountants. In 2019, it was selected as Firm of the Year by the Washington Society of Certified Public Accountants, and in 2022, it was ranked No. 44 among the Whatcom Business Alliance top 100 private companies.

On doing business in Whatcom County, Tjoelker said the firm’s clients place a level of trust in Larson Gross that is formed over years of personal relationships.

“On more than one occasion, I have experienced an outpouring of support that was absolutely incredible,” he said. “It’s not just business; it’s way deeper than that. It is really special to be an adviser to individuals I ride horses with, attend Rotary with, sit next to in church … I get the privilege of working with these individuals while enjoying our relationship as friends and fellow community members. What a great place to be fulfilled in a career.” ■

Jonathan Hutton

DICK SKEERS , SKEERS CONSTRUCTION

Persistence has been key for Whatcom construction mainstay

Heather Lea

When asked what got him to where he is today, Dick Skeers, president of Skeers Construction Inc., replied simply, “persistence and investing in real estate.”

But there’s much more to it than that. Over the last 50-plus years Dick has been in the construction industry, there have been at least five significant recessions in the United States. How did he manage to keep building — both homes and his business?

“I did a lot of work myself instead of

hiring people,” he said. “But the business grew, and that became a dumb thing to do.”

He recalls a time when he partnered with a prominent King County builder who arrived at the project one day when Dick was on the roof of the house he was building. The builder told Dick, “Get back in the office. Your job is in there.”

O ver time, Dick learned to leave the manual work to the laborers and concentrate on growing his business.

When the economy was strong, he hired people who then became part of what Skeers Construction Inc. is today. Dave Monks and Brandon Priest were brought on as partners in February 2021.

Skeers Construction has built hundreds of high-end, energy-efficient homes in Bellingham and Blaine over the past 40 years. Owners Dick and Sharon Skeers employ 15 full-time employees, all of whom live in Whatcom County. The company is vertically

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integrated in that it builds the infrastructure first, then does the excavation and, finally, builds the homes.

“This creates the critical mass for professional staff to properly run the business rather than relying on a higher volume of homes to create the ability to support said staff,” Dick Skeers said. “We believe strong communities provide enormous value to both the homeowners and to the overall well-being of the greater community. And in pursuit of this goal, we are able to create many great family-wage jobs.”

In the mid-1970s, Dick partnered with two other men, and the trio built homes and apartments together. But high interest rates and a rough economy ended that partnership in the early ’80s. Dick worked mostly on his own until 1990, when he started his current business.

“The first house I built sold for around $20,000,” he said. “And I made money. That was in 1982. Houses were simpler back then. Everything was smaller.”

With the costs of land regulations, permitting and general inflation, it’s hard to build a 1,000-square foot home today and expect to make a return on your investment.

During 2009 and 2010, just 36 homes were built in the Bellingham area, and Dick Skeers was building nine of them.

Currently, Skeers Construction is working on the construction of 20 recently approved new homes in its Hannah Creek community, with pending approvals for an additional 18. It is also constructing four homes near Whatcom Falls Park on lots it has developed.

The lack of completed building lots and increasing mortgage rates have caused a reduction in sales volume for

Skeers Construction, from approximately $12 million to roughly $9 million in 2022.

As Americans anticipate another recession, Dick Skeers — having experienced a few in the past and come out the other end — said, “You can’t just turn and run away. You figure out what you can sell and what doesn’t have huge tax consequences. In slow times, it’s all about balance sheet management.”

Meaning you do what’s necessary and not what isn’t. Dick has had to postpone hiring for a position that would take some of the workload off his team but isn’t something he can take on at this point.

Still, he knows the value of a great team.

“I used to hate the 10th of the month,” he said. “It used to be chaos, with me running around the office, trying to match bids, invoices and statements. Now the 10th comes and goes, and I don’t even notice. I am proud to have created a staff that has grown in their individual skillsets and helped them improve their lives.”

A significant personal achievement for Skeers — one important for the future success of his business — was setting it up in such a way that it can continue without him.

“I often see one of my senior workers giving instruction to younger workers, who are then in position to become capable carpenters and equipment operators, for example,” he said.

Dick Skeers believes his company’s most notable achievement is the completion of the Bellingham Boys & Girls Club. Skeers Construction did all excavation work pro bono, which amounted to $200,000. He was there almost daily, and the project was completed on time with $6,000 remaining in the construction account.

Another thing that’s clearly important to him is that people should have homes and a sense of community. And he’s not too far removed from the feelgood stories that follow once people move in. He often hears about how homeowners in Skeers-built communities take care of each other, organize neighborhood events and connect.

Dick Skeers has been named Builder of the Year three times by the Building Industry Association of Whatcom County and has served there as president for three terms. He was a founding member of the BIAWC in 1978, and he and Sharon are creating the “Skeers Family and Construction Company Fund” with the Whatcom Community Foundation. The primary purpose of the fund is to help kids who become too old for foster care to achieve what it takes to become self-sufficient adults.

“Creating homesites and building homes in Bellingham and Whatcom County is much more difficult than it should be,” he said, “which is primarily why we have a single-family home shortage.”

To help rectify this, Dick supports the efforts of the Home Builders Association to speak with government officials, county executives, the mayor and new planners.

“ We strive to create homes and communities that will stand the test of time,” he said.

Major efforts coming up this year for Skeers Construction Inc. are getting the next phase in Hannah Creek approved and completing construction of its new Whitworth Park community.

“I enjoy that we have physically changed the world at the end of each day,” Dick Skeers said. “You start with piece of dirt, build the infrastructure, and then the homes. It’s very gratifying to see a community come together.” ■

JIM HAUPT , HOTEL BELLWETHER

From bellman to GM, Haupt has done it all — and well

Heather Lea

As one of the top destinations in the region for upscale events, weddings and social gatherings, Hotel Bellwether, situated on beautiful Bellingham Bay, sounds like a great place to visit — whether you’re a tourist or a local. Bellingham Alive calls it the No. 1 luxury hotel in the Pacific Northwest. Evening Magazine also has named the Bellwether Western Washington’s No. 1 luxury hotel.

The hotel isn’t the only entity receiving the accolades, either. Its restaurant, Lighthouse Grill, is recognized as hav-

ing the best fish and chips in Whatcom County and was named one of the premier dining establishments by Bellingham Alive.

The Bellwether is a 66-room luxury hotel with full catering services. It is owned by Bellwether Harbor Investments, LPP, and was built in 2000 by Peter Paulson. In 2007, the Andre Molnar Group purchased the hotel from Paulson, and in 2012, Jim Haupt came on as general manager.

Haupt grew up in Skagit Valley. He spent his younger years working

on farms and fishing in Bristol Bay, Alaska, then later received his bachelor’s degree in hospitality business management from Washington State University. He went from bellman to front office manager of the 550-room Madison Hotel in Seattle, then moved to Idaho in the ’90s to become the assistant general manager at Sun Valley’s Elkhorn Resort. While there, Haupt was instrumental in building a reputable hotel and in heightening customer service programs, including a variety of entertainment partnerships in the

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local art scene, like Sun Valley Summer Symphony, Sun Valley Summer Ballet and Jazz on the Green.

In 2004, Haupt joined Andrew Harper’s Hideaway Report, “a connoisseur’s worldwide guide to peaceful and unspoiled places.” His role was to build a hotel marketing program for the subscribers of Hideaway Report to enjoy special rates and VIP privileges at the world’s greatest hotels and boutique luxury hideaways. The program took off and became one of the most recognized boutique luxury hotel programs in the world.

“My claim to fame,” Haupt said, “is that American Express Fine Hotels and Resorts program wrote in their annual hotel agreements that they required parity with Andrew Harper’s hotel program. Wow, we were the small fish in the sea that made a big splash!”

After the Andrew Harper brand was sold, Haupt moved to Vancouver, British Columbia, and assisted in the launch of the Visa Signature Luxury Hotel Collection, managed by the Kiwi Collection.

“I met Andre Molnar while negotiating a purchase of an inn in La Conner,” Haupt said. “By fate, the deal fell through. (I) joined Andre to take on the management of the Hotel Bellwether. It has been a pure delight, and working for the Molnar family is an incredible blessing.”

This past summer, Hotel Bellwether organized a paella dinner on its waterfront terrace to raise funds for the Boys & Girls Clubs of Whatcom County. Lighthouse Grill donated the food, and the hotel coordinated with a wine rep to offer import wines. The hotel donated $10,000 to get the fundraising started.

“To my amazement, the several hundred attendees stepped it up and raised

in total over $100,000 for the night,” Haupt said. “I’d have to say that was some awfully good paella and mighty fine wine.”

One of Hotel Bellwether’s greatest community accomplishments is Blues, Brews & BBQ, a summer music festival running every Thursday from June through September.

“One of the objectives Andre Molnar had asked me to do as the new general manager of the Hotel Bellwether was to get involved in the community,” Haupt said. “(He) wanted to focus on organizations and charities that help people in need.”

Hotel Bellwether supports Whatcom Hospice and holds an annual holiday tree lighting festival that has raised up to $14,000 for Skookum Kids. The hotel also participates in the Birch Golf Classic and contributes to Habitat for Humanity, Lydia Place and many more nonprofit organizations in the area.

Haupt has served on many community boards, including Whatcom Allied Arts, Whatcom Community College, Hospitality Advisory Board, Bellingham Tourism Commission, Whatcom Business Alliance and Bellingham Whatcom Tourism Board.

By building a foundation of hospitality, spirited individuals and creative marketing campaigns, the business has grown by over $4 million in the past 10 years. That growth has been steady and stable year after year, with a 16% increase from 2021 to 2022, resulting in a record year in ’22, with over $8.9 million in total sales.

Hotel Bellwether’s guest return rate hovers around 45%, which speaks to its staff, location and community spirit. From Sun Valley to Bellingham, Haupt has always focused on building strong, people-oriented teams.

“I wanted to surround myself with the smartest and most creative individuals I could recruit,” he said. “This is most apparent in the team I have assembled at the Hotel Bellwether. The enthusiasm and dedication to make the hotel successful is driven by the daily goal to make each event special, welcome our arriving guests with appreciation, and ensure we do not miss any detail in the fast-moving dynamics of running a full-service, four-star luxury hotel.”

In January, operations ceased for almost two weeks to make room for lobby renovations, a hot water system upgrade and new carpet throughout. The hotel is currently undergoing renovations to its guest rooms, with new carpet and paint, an inspired Northwest art theme, and marble bathrooms with whirlpool tubs. A freshening-up of the Lighthouse Grill is slated for 2023, along with new carpet and other thoughtful design changes.

“Business was extremely good in 2022,” Haupt said, “and we look to continue to build upon our successful run over the last few years with these new upgrades to the hotel and the return of our loyal guest base.”

Hotel Bellwether employs 80 people, half of whom are full time. Most live in Whatcom County. In the summer months, that number increases to over 120.

Haupt notes that one of the finest qualities of doing business in Whatcom County is the community bond that exists with many business leaders.

“As the GM of the Bellwether, I have met many businesspeople in our community, and they have a genuine quality of integrity, pride and a camaraderie that makes this part of the Pacific Northwest a special place to conduct business.” ■

DREW SCHMIDT , SAN JUAN CRUISES

Creating amazing experiences

San Juan Cruises aims to keep things simple, memorable

Heather Lea

In 1987, Drew Schmidt was hired by Gray Line Tours to oversee a new sightseeing and sportfishing operation at the soon-to-open Semiahmoo Resort. When the operation moved to Bellingham Cruise Terminal in 1991, Schmidt bought the company and began to operate passenger ferry service from Bellingham to Victoria, British Columbia, and the San Juan Islands.

Today, Schmidt is the owner of Pacific Cruises Northwest, doing business as San Juan Cruises. The company offers bird and whale watching; tours of Friday Harbor, Sucia Island and Deception Pass; and food, beer and wine cruises. San Juan Cruises also charters privately for business and

family functions and runs the gift shop and café at Bellingham Cruise Terminal.

Two significant world events have impacted business at San Juan Cruises in its history. The first came after 9/11, when the Western Hemisphere Travel Initiative was passed. This required all travelers — whether you were an American citizen or a foreign national — to carry passports or other official identification across the border between the United States and Canada.

San Juan Cruises had been doing tours to Victoria for 18 years by this point. Since so many Americans didn’t have passports at the time, Schmidt was forced to cease tours

PHOTO: Sattva Photo

to Canada and focus on expanding the company’s offerings to the list of cruises available today.

“I lost 50% of my out-of-state business because of that,” Schmidt said, “but my domestic business increased 10%, so that was good.”

The second event was, of course, the COVID-19 pandemic. Like everyone, San Juan Cruises had to operate at limited capacity and ask guests to wear masks. Business wasn’t exactly booming for many during the pandemic, but as a company operating mostly out in the fresh air, San Juan Cruises kept afloat.

Schmidt said he feels that what has gotten him to where he is today — and what keeps him there — is keeping things simple as much as possible, even through tough times.

“There’s nothing special about me,” he said — though admitting to weathering adversity with a determined perseverance not everybody has.

After working on boats most of his young life, Schmidt is happy to be where he is after coming from nothing. His family didn’t have money or a knack for starting businesses. He learned how to be a businessman from no one but himself.

“I convinced a bank to loan me money; they got it all back,” Schmidt said. “Everybody won.”

In 1996, San Juan Cruises began offering tours from Seward, Alaska, into nearby Kenai Fjords National Park. That part of the company was sold in 2000 and still operates in Alaska today.

San Juan Cruises has grown to 45 staff members, all of them living in Whatcom County. Schmidt says everyone likes what they do, and they all move forward together. He states the importance of being helpful to each other as well as to their guests, mentioning a sales manager who just retired after 24 years with the company. He is perhaps most proud of his two kids, 23 and 26, who are both boat captains now.

“Creating special memories and amazing experiences for our guests” is the company’s philosophy. Schmidt says about half of the San Juan Cruises customers are visitors and half locals.

Schmidt also is involved with the San Juan AREA Sea Life organization, which has a goal to restore salmon abundance to 1985 levels, with a pilot project for a private nonprofit hatchery near the mouth of Whatcom Creek. Schmidt has many philanthropic projects, with an emphasis on the well-being of Southern Resident Killer Whales.

“Whales have helped me earn a living, so I want to give back to them,” Schmidt said. “Primary to that is prey

abundance. Locally, the Nooksack Salmon Enhancement Association is deserving of support for their years of great work.”

San Juan Cruises also contributes free cruises to nonprofits and gives time, resources and funds to local festivals, schools, organizations and auctions.

Schmidt has served on the boards of Bellingham/Whatcom County Tourism, Bellingham/Whatcom Chamber of Commerce, Economic Development Council, Washington State Tourism Alliance, Bellingham Tourism Commission, Whatcom County Lodging Tax Advisory Committee, Pacific Whale Watch Association, and Bellingham SeaFeast.

Growth from the previous year is 21%. In 2023, the company looks forward to replacing the three 650-horsepower propulsion engines in its largest vessel with modern, efficient engines. Schmidt says the business climate in Whatcom County has been great for San Juan Cruises.

“The tourism community has always been positive and helpful, and the general business community is open and receptive,” he said. “We have a great working relationship with the Port of Bellingham and have always found the city and county good to work with.” ■

CLAIRE ADAMS , BELLINGHAM COLD STORAGE

A rising tide floats all boats

Claire Adams focuses on ensuring the entire team is successful

Tony Moceri

No matter what type of work you are doing, it is the people who matter. With the right people on a team, work is fun, challenges can be overcome, and all can realize success. Everyone dreams of working with individuals who set themselves apart by doing all the things that lead to a positive work environment. For the quality assurance team at Bellingham Cold Storage, many people’s dream is their reality. This group has the good fortune of working with Claire Adams, this year’s Jon Strong Employee of the

Year award winner.

Adams, who has been with Bellingham Cold Storage for three years, was nominated by Nic Sakuma for being the person everyone wants on their team.

“She’s not looking for personal credit,” Sakuma said. “She wants the whole team to succeed, which is great to have on your team. It doesn’t matter if it’s me or one of her peers or someone that kind of works with us. It’s just how can she support the team and do what’s best for both the team

and the company.”

While Adams is always focused on doing her best, it helps that she loves her job. Her role as a compliance officer has her always learning about food and how to keep it safe. Learning and implementing that knowledge is what she enjoys most. She understands how important food safety is and how a mistake can disrupt the food supply chain. With a focus on food safety compliance and meeting regulatory requirements, Adams is aware of the importance of each decision she

PHOTO: Sattva Photo

makes. This is her first job in the food industry, and she loves it. She takes a lot of pride in the fact that Bellingham Cold Storage is Safe Quality Food certified, which is a step above Food and Drug Administration approval. Food safety is the No. 1 priority, and her team takes it very seriously.

Adams has tools and systems in place to ensure she can always put her best foot forward. While she regularly integrates technology into her life, she feels there is no replacement for having a pen and paper on hand for taking notes and solving problems.

“I really like using the five whys, which is a lean manufacturing tool,” she said. “So, instead of going into your first assumption of why something went wrong, write a statement of neutrality describing the problem and then ask yourself why that happened. Then you keep moving backward, and you find the antecedents that occurred that led up to that problem.”

This methodical, detailed approach is how Adams moves through her work. A 2018 graduate of Western Washington University in manufacturing and engineering, Adams clearly translates the problem-solving skills she learned in school to her work environment.

“Claire has an incredible ability to be a voice of reason and a foundational structural member of the team that we all bounce things off of,” Sakuma said.

As the team works through its typical workflow, challenges inevitably arise. While Adams prefers things to go smoothly, she does enjoy solving problems — whether it is something that comes up unexpectedly or it’s a specific request from a customer.

In addition to being a person who produces top-quality work for the team, Adams also understands the

value of the team and each individual on it. She is known for promoting a good working environment for everyone so they can be the best versions of themselves and then, in turn, help the team and Bellingham Cold Storage as a company.

“Great employees collaborate well,” Adams said. “They are less focused on having things their way, and they’re willing to compromise and work as a team. Projects can have a much larger scope and be done much more efficiently as a team.”

BCS, with approximately 150 employees and 77 years of business in Bellingham, needs individuals like Adams to help the company function at a high level. While she takes pride in her specific role at BCS, she appreciates her great team of peers and the management, which cares about the

team.

“We just all generate ideas really well together,” Adams said. “We support each other. It’s one of the best working environments I’ve been in.”

It is easy to get lost in the hustle and bustle of work, with each day bleeding into the next. With never-ending work to be done and fires to put out, the people who make it all happen can be lost in the fray. The Jon Strong Employee of the Year award is here so that, at this moment in time, an exemplary employee can be recognized. There were many good candidates, but the passion Adams has for her team and work made her a standout.

“Everybody who works with her enjoys the opportunity to work with her, and if you can find someone that has something bad to say about her, I’d be surprised,” Sakuma said. ■

BILL ELFO , WHATCOM COUNTY SHERIFF

For 20 years, Elfo has found his calling in Whatcom County

Tony Moceri

When people choose to dedicate their lives to public service, they are dedicating themselves to helping as many people as possible, knowing they won’t be able to please everyone. It’s a life of constantly making difficult choices to do as much good as possible. Those who choose public service are the rare ones who put their communities before themselves. They combine optimism and realism, getting up every day to do their best to help those

around them. Whatcom County is filled with people who fit this description, but because of his long-standing commitment to making our community as safe as possible, one man has risen above the rest. This year’s Public Service Award goes to Sheriff Bill Elfo for all that he has done — and continues to do — for Whatcom County.

Elfo is in his 20th year as Whatcom County sheriff and his 49th year in law enforcement. In that time, Elfo has

faced continuous challenges but is unwavering in his dedication to keeping the public safe.

“I think it’s a very important job, one where the public really places their trust in me and the people I have working here to carry out the mission,” Elfo said. “I believe it’s my calling, and I’m motivated every day to come to work.”

That motivation is maintained by wanting what’s best for the community and his team, but it stems from an

PHOTO: Sattva Photo

explorer program in 1971 while Elfo was in high school. Within the first hour of that ride-along, he saw an officer save someone’s life with CPR. It was then that Elfo knew that serving the public as an officer was what he would do with his life. After retiring as an officer in Pompano Beach, Florida, in 1996, he moved across the country to be the police chief in Blaine for six years. Then, after serving 11 months as Whatcom County’s interim sheriff by appointment, in 2003, he was elected by the people and has served in that role ever since.

If Elfo is not woken in the night with an emergency, he begins his day with a morning briefing before tackling the challenges the day will bring. Currently, the two issues in our community that stand out to Elfo are the disastrous effect fentanyl is having on our community and a dilapidated and undersized jail. Fentanyl is unnecessarily taking people’s lives, and Elfo and his team are doing their best to combat that with their resources. The current state of the jail makes population management and the ability to hold people accountable challenging. A new jail has been in discussion for Elfo’s entire time as sheriff. While the consensus by all the consultants and committees is that Whatcom County needs a new jail, a path forward has never been paved.

In a position that can be so challenging, it’s Elfo’s team that pulls him through.

“What brings me satisfaction is seeing everyone that works here succeed in what they do,” he said. “Last week, we had four inmates go down at the same time with overdoses in the jail, and our deputies quickly revived them with CPR and Narcan. It’s just great

to see our deputies out helping people in the worst of situations. We have behavior health deputies that work with people that are in a mental health crisis to try to divert them, where appropriate, from the criminal justice system to the mental health or substance abuse system. I’m very, very proud of the people we have in the organization.”

While the day-in and day-out events make up most of Elfo’s position, some of the moments that stand out to Undersheriff Doug Chadwick are things like speaking at community events and collaborating with other agencies. After the two Whatcom County Sheriff’s Office deputies were shot in Kendall while responding to a dispute among neighbors, Elfo was the first person to greet them in the hospital.

Also, he never gives up on a case. Many remember the 1989 rape and murder of Mandy Stavik, an 18-yearold Mount Baker High School graduate. Elfo wouldn’t let it go.

“It was something he was committed to solving, and 30 years later, we were able to solve that case and bring justice for Mandy and her family,” Chadwick said.

Under Elfo’s leadership, the Whatcom County Sheriff’s Office has people lined up on the street for job openings in an environment that has seen many agencies have difficulties hiring officers. What this means for Elfo and his team is that they can select the best of the best.

“The people of Whatcom County are very fortunate to have such high-quality people that work every day with integrity, excellence and teamwork,” Elfo said. “We are very selective about who we hire. We hire one out of every 50 people that apply for a posting with

the Sheriff’s Office. We make sure we weed out people that have character flaws or psychological issues. We have a team that is really committed to doing the best they possibly can given the resources they have available to make Whatcom County safe.”

Elfo leads by example.

“I’ve been here at the Sheriff’s Office for almost 29 years now,” Chadwick said, “and I’ve served under two sheriffs, with Sheriff Elfo being the longest. He’s a leader, a man of integrity, and really believes in the public safety and doing what’s right for the community — but also taking care of the men and women that work for the Sheriff’s Office.”

Elfo stays in touch with the community to ensure he understands the issues of the day. By staying nimble and flexible, the office can adapt to an ever-changing environment and respond to crises efficiently. Often, Elfo and his team are responding to what is likely the worst thing in a person’s life, and they all take great pride in making that situation as safe as possible.

“It’s keeping mindful of the importance of what we’re doing,” Elfo said. “People depend on it with their lives, and sometimes we think we’re doing things that are just routine, but it may be the biggest event someone’s having in their life. Their life may depend on it. Just recognizing the importance of what we do and what we’re called to do every day.”

This attitude and approach have made Sheriff Bill Elfo deserving of the Public Service Award. With a lifetime of service behind him, he continues to rise every day to serve his mission in life, which is to make his community as safe as possible. ■

LIFETIME ACHIEVEMENT AWARD

IN MEMORIAM

BOB

BRAY , DAIRY DISTRIBUTING

Remembering Bob Bray

McCarthy

Bellingham business owner Bob Bray left behind a thriving company, and his achievement in that arena alone would qualify him for this Lifetime Achievement Award. But his legacy is much more than that.

Ask anyone about Bob’s legacy and they’ll tell you how he’d help you out at a moment’s notice; how he trusted his customers, who became his friends; how he loved his wife, his kids, his grandkids; how his life, day after day, showed his devout faith. After that, they’d tell you that he ran his company with a lot of heart; that he put his employees first; and that they never had a problem with an order from Dairy Distributing.

On March 23, 2023, the Lifetime Achievement Award will be presented to Bob Bray’s family in his honor.

Bob Bray was such a well-liked and well-respected member of the community, people expected his funeral would be full of tears.

It was the opposite. The celebration of life in honor of Bray was — like the man himself — faith-filled and brimming with joyful memories.

“It was the most positive memorial I’ve been to in my life,” said longtime friend Tim Trott, retired owner of the former Lee’s Drive-In in Bellingham. Trott estimated 400

Bray was rooted in ‘his faith and his great love for his family and grandkids’

Cheryl Stritzel

Bob, Joe Sandoval, Fahri Ugurlu, Ken Bell in 2019 Doug Thomas and Bob

people packed Christ the King Community Church in Bellingham on Oct. 13, 2022, for Bray’s service.

“There were people I hadn’t seen in 15 years who came for Bob. People were happy, not crying. Martha (Bob’s wife) made it incredible,” Trott said. “I expected it to be heartbreaking and traumatic. It was the opposite.”

It was fitting that many who came wore not funeral black, but crimson and gray, the colors of Bray’s beloved Washington State University Cougars. He would’ve liked that.

As the pastor read tribute after tribute from Bray’s legions of friends and business associates — it seems you couldn’t do business with Bray without becoming his friend — those who came to mourn felt lifted up.

Before that day, and before the heartbreaking September day when a tragic traffic accident took his life, you would not have thought of Bray as a towering figure, as an icon of Whatcom County. He was not flashy, up front or in the headlines. He was, instead, a behindthe-scenes embodiment of the best of Whatcom County’s business community: a beloved husband, father and grandfather; a small-business owner who ran Dairy Distributing based on trust; a rock-solid member of Northlake Community Church who volunteered with Young Life and Royal Family Kids camps.

He was also just plain fun. Ed Mack, owner of Cruisin Coffee, said Bray was always joyful at the Royal Family Kids golf tournament. Bray’s team, filled with co-workers from Dairy Distributing — including his son Tyler, the

sales manager — “was rowdy and full of fun, raising money for those kids,” Mack said.

Mack initially met Bray on a church softball team, and their friendship grew when Mack went to work for Cruisin Coffee, which Dairy Distributing had served since Cruisin Coffee’s beginning in 1993. Cruisin Coffee now has 13 locations.

“They are the only distributors Cruisin Coffee has ever had — this was a 30-year relationship,” Mack said.

“When you ask, ‘how did we typically interact,’ my first thought is, with a lot of laughter and joy,” Mack said. “One memory I have of Bob that still gets told in my family is the weekend we were out of ice cream at Cruisin Coffee, and Bob agreed to meet us at his warehouse.” Before Bray loaded ice cream for the business, “he went

into his blast freezer and gave each of our daughters a popsicle,” Mack remembers. “Our 6-year-old ripped open that popsicle and wrapped her mouth around it — well, those blast freezers are so very cold. Her lips got stuck to it, she ripped it off and left them bloody. Bob felt so bad. We were laughing, but Bob felt just terrible!”

Bray liked to tell a few stories of his own, Trott remembers. “He’d make fun of himself. He’d tell a good story, he really did, and we’d always laugh.”

Humor seemed to run in the Bray family. Diane Brainard, owner of Old Town Café on West Holly Street in Bellingham, remembers when Bob Bray’s father was running the business and delivering orders. “His father always had a joke or a pun, and Bob was his biggest supporter,” Brainard said. “Bob had the most infectious laugh.”

Brainard has known Bray since 1989, when she first started working at Old Town. “Dairy Distributing is a small company that’s run very professionally, with a lot of heart. I don’t think I ever had a problem with any orders, which is rare in this business.” If Old Town ran short on dairy, “all I needed to do was call and they’d run over with a case of eggs, milk or cheese.” Often, it was Bob who delivered it.

“Bob’s legacy is that he ran a successful business with people he loved,” Brainard said. “He put his staff first, and that showed with how well the business ran. I know he was trying to retire but couldn’t quite let go. I think he liked being with everyone in his office. Bob was a devout Christian, and he showed it every day with his love of

“Bob’s legacy is that he ran a successful business with people he loved. He put his staff first, and that showed with how well the business ran.”

— Diane Brainard, owner Old Town Café

life, family and community.”

Fahri Ugurlu, former manager of Hotel Bellwether, and owner of Harborside Hospitality and Sirena Gelato shops in Fairhaven and Kirkland, moved to this area in 1999 to open the Bellwether in August 2000. As an unknown in this market, vendors asked him to personally guarantee the bills. “My chef wanted to use Dairy Distributing, so I offered them my personal guarantee,” Ugurlu remembers. Instead, Bray told the Bellwether chef to get what he wanted from Dairy Distributing’s warehouse and just let him know. “Bob had tremendous trust in his employees and customers,” Ugurlu said. “That’s how he managed his business. He was unique.”

Ugurlu echoes the theme of fun in Bray’s life. “Bob always had a positive attitude, with the best smile and laugh! He’d help you out at a moment’s notice, too. He loved his family and grandchildren; he talked about them all the time. He was the kindest and

most honest man … He helped many people in town, more than what anyone knows.”

Doug Thomas, president and CEO of Bellingham Cold Storage, said he and his wife, Sandy, met Bob and Martha Bray about 2006, when the Brays were leading a Young Life group, as reported in an October 2022 Bellingham Herald story. “They were a lot like us,” Thomas told the Herald, adding that in addition to the same faith and ideals and a love for travel and boating, their kids were similar ages, and he and Bray were both WSU Cougars.

Thomas remembers attending football games together, and trading lines from actor Chevy Chase and sportscaster Bob Uecker. “Bob liked to impersonate a bunch of funny people, and he was actually very good at it. Sandy and Martha would just roll their eyes and laugh at us, because we were laughing at ourselves.”

Thomas smiles when he remem-

bers Bray kindly responding, “Just a bit outside!” after someone had tossed something toward a garbage can or other target and had not even been close.

Bray was thrilled last summer, Thomas said, when Bray caught more shrimp than he did. “He came by with a little extra for us because he had already caught his limit,” Thomas said. “That made him so happy, to have out-fished me, and I loved it too! I was happy for him to have finally felt like he had mastered the boat fishing-and-catching thing ...”

On an earlier shrimping expedition on the south end of Lopez Island, Thomas asked Bray to take his photo with a bucketload of shrimp. “I couldn’t figure out what he was doing, leaning way over the side of my boat,” Thomas said. “Bob had taken seasick and eventually took a few photos, but he had a big happy smile on his face between getting sick. We made it back home to Bellingham in good shape

Bob and Martha with Doug and Sandy Thomas

and from there on out he used a little Dramamine on each trip.”

As many friends as Bray had, Thomas said the center of Bray’s universe, other than his faith, was his wife, Martha, and his sons, Tyler and Tory, and their families. Mack concurs, saying Bray’s values were rooted in “his faith and his great love for his family and grandkids.” Trott echoes the theme, saying Bray most valued his Christian beliefs and his family.

“Every time we’d motorcycle ride, he was always so thankful for all of creation,” Trott said. “We enjoyed so many rides together, maybe 50 over the last five years.”

Ugurlu laughs when he remembers a motorcycle ride with Bray and others to WSU, where Bray had them all salute the Cougar flag. “When we would see Bob and ask him, ‘how are you,’ he’d always say, “I’m living the life!”

May that joyful celebration of his life continue. ■

The future looks promising

For months before the accident, Bob Bray had been working to sell his Bellingham business, but the potential Seattle-area buyer couldn’t come to terms, said Ken Bell, port commissioner at Port of Bellingham and longtime friend of Bray’s. Then Bray died unexpectedly, and the potential buyer asked for more time.

“We met with them and told them what Bob’s wife wanted,” Bell said. But Bell was now thinking that the deal might never come to fruition. He mentioned the situation to another friend, Edwin Martinez, owner and CEO of Onyx Coffee, which has a presence in both Bellingham and Guatemala. Martinez mentioned Dairy Distributing at a convention in Southern California. Two names came up. Martinez passed them along to Bell, who phoned them both.

One was Troia Foods, a family-owned business based in Monterey. Within a week, John Troia, CEO, and George Logan, director of sales and marketing, were sitting on the deck at the Bray home with Bell and Martha Bray. “Within a couple of days, they had a letter of intent that met all the requirements Martha had laid out,” Bell said. “The (potential) Seattle buyer, we gave until week’s end to respond, and they did not respond.”

Dairy Distributing is now owned by Troia Foods. “You couldn’t have asked for a better partner,” Bell said.

Tyler Bray, sales manager at Dairy Distributing, said Troia has been great to work with. “I like them,” he said. “They treated my mom really well, they treated the employees really well, we are excited about the future.” Prior to his father’s death, Tyler had been considering going back to school for a degree in elementary education. Now he’s looking forward to the investment, improvements and technology Troia will bring. “I’m happy where I’m at,” Tyler Bray said.

Bell said it’s taking time for family members to deal with the trauma. Tyler Bray, whom his mother characterizes as a man of few words, mentions his early days back at work. “The first few weeks were brutal, sitting at my dad’s desk,” he said. “But I am still there.”

Courtesy photos

The Whatcom Business Alliance is the ears, eyes, and voice for the Whatcom County business community. We believe success is the single largest driver of community prosperity, which is why we focus our efforts on facilitating that success through advocacy, research and education and job opportunities. We bring business leaders together to encourage, acknowledge and share the best and most ethical business practices. Our members improve their respective businesses and work closely with community leaders to promote public policy that supports a healthy business climate and a vibrant economy.

To learn more and become a member, visit whatcombusinessalliance.com/joinus or call Barbara Chase at 360.543.5637. or call Randi Axelsson at 360.303.3885.

Top bills to watch

Voice your opinion during the 2023 legislative session

Dann Mead Smith

Editor’s note: This column was written in mid-February, so some of these bills may no longer be alive, or they may have been amended in committee. The 105-day legislative session is scheduled to adjourn on April 23.

The Whatcom Business Alliance is busy tracking and sending out action alerts on key bills that impact you and your business during this year’s legislative session. The following is a list of some of the ones you should know about and weigh in on by contacting your legislators in the 40th and 42nd districts.

Of all the issues the Washington Legislature is juggling this year, restoring the ability for police to pursue criminals in vehicles might be the highest-profile issue, given the media coverage highlighting how police cannot pursue criminals in our state due to what the majority of legislators passed in 2021. Senate Bill 5352 and House Bill 1363 would reauthorize police to engage in vehicular pursuits

using the “reasonable suspicion” standard instead of probable cause. Nearly every police chief in Whatcom County has spoken about the need for this fix. The House bill, 1363, is sponsored by Rep. Alicia Rule, a Democrat from the 42nd district. As of this writing, HB 1363 passed out of its House committee of origin but as a new, substitute bill, which changed the language and intent quite a bit, so it is not as strong as the original bill. The WBA will continue to monitor its movement through the full House and hopefully in the Senate and send out ‘action alerts’ to keep its members updated.

Given how important agriculture is in Whatcom County, it would be good to support SB 5476/HB 1523, which would authorize agricultural employers to select 12 weeks a year to employ workers for up to 50 hours a week before overtime applies. This attempts to address some of the damage from the overtime laws recently passed by the Legislature that impact the agriculture sector, including the ability of workers to earn wages while working one job while allowing flexibility during harvest time.

PHOTO: iStockphoto.com/welcomia

The state’s new Long-Term Care Payroll Tax officially begins in July, when it will impact every W2 employee in the state. HB 1011 repeals the unpopular long-term care program, which is funded by a new payroll tax of 58 cents for every $100 a worker earns. State voters recommended the repeal of House Bill 1087 via Washington Advisory Vote 20, with nearly 63% voting no. And about 480,000 Washingtonians have opted out of the state’s new plan (and the tax) by purchasing their own private coverage.

Another top issue is addressing homelessness and its impacts on local businesses and neighborhoods. HB 1373 would fund the removal of illegal encampments near schools, childcare centers, parks and courthouses.

One key goal of this session is to build more homes across the state. HB 1401 would streamline the permit process by allowing cities and counties to create a simple, standardized housing permit process for affordable housing units in areas designated for housing. On the other hand, HB 1181 adds “climate change” as a specific element to the Growth Management Act and adds a goal of reducing vehicle miles driven, which would increase housing costs with yet another regulatory element. A similar proposal has been proposed in the Whatcom County Council, so it’s something to watch at both the legislative and local levels. When affordable housing is one of the biggest issues locally and across the state, we should be reducing unnecessary regulations to bring down housing costs.

Another bill related to the construction industry, especially small busi-

“With BECU, we feel like business partners.”

a BECU Business member is like getting all the banking help you need, but with a relationship you actually want. Because we’re a not-for-profit credit union, so the biggest profits we care about are yours.

Member Nik P., Co-Owner of Phinney Ridge Painting.

nesses, might end up increasing costs and add to workforce shortages if it passes. SB 5133 requires bidders to be listed as an “active training agent” on the Department of Labor & Industries website to meet responsible bidder criteria. This essentially requires all contractors looking to engage in public/government work to have a registered training agent, something many small contractors can’t afford. As a result, they won’t be able to participate in public work projects and would be considered “irresponsible bidders” by the state. The bill attempts to end on-the-job training opportunities, which is the most flexible option for contractors and should be embraced as an accessible workforce development tool. If this bill passes, it will further contribute to workforce shortages and increase construction costs to taxpay-

ers, essentially preventing any nonunion contractor from participating in public work projects.

Two other noteworthy bills could impact employers. First, HB 1106 would make it easier for individuals to gain unemployment benefits by expanding the standards for voluntarily leaving work.

Employers in Whatcom County and across the state already are struggling to hire employees; we shouldn’t make it easier to be unemployed. Second, SB 5217 removes the restriction on the regulation of work-related musculoskeletal disorders (“ergonomics”), except for home offices. This increases the power of L&I to fine small businesses, even when the state doesn’t have any scientific consensus

on musculoskeletal injuries. The bill is being proposed while workplace safety

is improving, worker injuries are decreasing, and employers are struggling to come back from a pandemic and are in a recession. We should be making it easier rather than harder for our businesses.

Finally, here are three other bills that are worth keeping an eye on, though

Now is not the time to be discouraged and feel like your voice does not matter. Your state legislators need to hear from you on these and other important issues.

as of this writing it is difficult to determine whether they will be moving this year:

• SB 5482 would replace the state’s business and occupation tax with a margins tax. This is controversial, as proponents argue that this would be better than our state’s unpopular and unique B&O tax, which taxes gross profit; opponents say many businesses and industries will see higher taxes if we move to a margins tax.

• HB 1795 is one of two bills that have been introduced relating to our state’s estate/death tax. This bill would make the estate/death tax “more progressive.” Our state already has the highest death tax rate at 20%, and this bill would massively increase the top tax rate to 40%.

• HB 1484, the other estate/death tax bill, addresses who qualifies to pay the estate tax by restoring a working inflation index, as the number of people paying the tax is much higher than originally envisioned, since there is no functional death tax index for inflation. The bill also tries to correct for the fact that the state estate tax hasn’t been adjusted for inflation since 2018 by increasing the 2023 exemption so that it would reflect the amount had inflation been calculated. Now is not the time to be discouraged and feel like your voice does not matter. Your state legislators need to hear from you on these and other important issues. It’s a good time to ask them where they stand on all of these bills. You can access more

information on these bills and contact your legislator via www.leg.wa.gov and www.future42.org.

Special thank you to former Sen. Simon Sefzik, who is now part of Project 42, and the research team at Washington Policy Center for their work, which was used and referenced in this column. ■

Dann Mead Smith, president/CEO of the Mead Smith Group, works with groups such as Project 42, a nonprofit organization created to change the course of Washington state. Prior to starting his own firm, Dann was president and CEO of the Washington Policy Center. He also served on the Advisory Group of the Washington State Tax Structure Study Committee and the Citizen Performance Audit Oversight Board. Dann is a graduate of Western Washington University and lives part time in Birch Bay.

Three good features in the SECURE 2.0 Act

Act includes tax advantages for retirees, younger earners

James B. Twining, CFP

The SECURE 2.0 Act was signed into law on Dec. 29, 2022. It was buried inside a 4,155page, $1.7 billion omnibus spending bill, and members of Congress were given less than a day to read the bill before a vote was taken. While much of the omnibus bill was damaging, there are a few provisions in the SECURE 2.0 Act that are beneficial for taxpayers.

New individual retirement account required minimum distribution age

The act raises from 72 to 73 the age at which required minimum distributions are required. For taxpayers born in 1960 or later, the age is increased to 75.

The significance: Retired taxpayers who have not yet reached required minimum distribution age often have low taxable income. This can be true even for taxpayers with large account balances. Investors who hold tax-free municipal bonds and tax-efficient equities and who live off tax-free withdrawals of principal while deferring their IRA withdrawals until required

minimum distribution age can use those low-income years to make partial conversions of traditional IRAs to Roth IRAs in reasonable tax brackets. The increase in the required minimum distribution age to 73 gives them one more year to do this. Younger taxpayers will have three more years to take advantage.

Employer contributions eligible for Roth treatment

Employers are now permitted to make matching and nonelective contributions in 401(k) and 403(b) plans to Roth accounts.

Until now, employer contributions were restricted to before-tax accounts.

PHOTO: iStockphoto.com/Bussarin Rinchumrus

This new employer Roth account is a nice feature, especially for younger employees who have not reached their peak earning years. Roth accounts allow for tax to be paid at the present (and known) tax bracket to avoid paying tax in an unknown future (and perhaps higher) bracket.

Employers will need to update procedures to make this happen. It amounts to one more element of complexity, but it will be appreciated by some employees.

529 plan rollover to Roth IRA

Beginning in 2024, a maximum of $35,000 in a 529 plan can be rolled to a Roth IRA.

A 529 plan is designed to pay for education. If withdrawals are used for that purpose, they are generally tax free. But what happens when the 529 plan is not used for education? Until

now, any 529 withdrawals of the gain not used for education were taxable and subject to a 10% penalty.

With the SECURE 2.0 Act, up to $35,000 in a 529 plan that has been in existence for at least 15 years can be rolled into a Roth IRA in the name of the 529 beneficiary. The amount that can be rolled into the Roth each year is equal to the IRA contribution limit for the year, less any IRA contributions that have been made in that year. For example, if the IRA contribution limit in 2024 is $7,000, and no IRA contributions take place, that amount can be rolled from a 529 plan into a Roth IRA. Rollovers can continue each year until the maximum $35,000 lifetime limit has been rolled. Note that the 529 beneficiary must have earned income to qualify.

This is beneficial because the tax-

free status of the 529 withdrawals is maintained in the Roth IRA, which can grow tax-free for decades and ultimately be withdrawn tax-free in retirement.

As always, we must present this information along with a disclaimer: The information in this article is not meant to be used as advice for your unique situation. Please rely upon your financial and tax advisers. ■

James (Jamie) Twining is the CEO and founder of Financial Plan, Inc., and a certified financial planner Practitioner who works with an exclusive high net worth client base. Jamie has a niche advising BP Cherry Point refinery employees. A member of the Whatcom Business Alliance, James is a graduate of the University of Southern California and devoted husband, father and grandfather. Jamie enjoys spending time with his family, particularly when that time is spent on Lake Whatcom. Visit www.financialplaninc.com for more information.

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Meet the “Fish Bankers”

By Zoë Bowen

The maritime industry is woven deep into the history and culture of the Pacific Northwest, dating back hundreds of years. For modern maritime businesses, it’s important to have commercial bankers who understand the industry and can help them continue to grow. Arne Arnesen, Director of Commercial Banking at First Fed, and his team have specialized for years in the maritime industry in order to better serve the needs of those businesses.

A third generation Norwegian in Ballard, Arnesen grew up near Fisherman’s Terminal, the bustling maritime hub for the West Coast fishing industry. The North Pacific fleet was pioneered by Norwegian immigrants like Arnesen’s grandfather. Maritime finance has been a way for Arnesen to connect his banking expertise with his heritage.

“As a commercial banker I could see that the financial needs of the maritime industry were being underserved,” recalled Arnesen. “Local fisheries need lenders who understand the intricacies of their business. I wanted to cultivate the bridge between banking and maritime so they could get financial solutions that meet their needs.”

Along Washington’s 3,200 miles of shoreline, roughly 70,000 residents are employed in maritime, making it an important economic driver for the region. While the maritime sector covers a wide range of activities and commerce, some of the key areas include commercial fishing and seafood production, ship and boat building, maritime logistics and shipping, repair and maintenance, and passenger transportation.

“The maritime industry is comprised of a diverse range of business types with unique financial needs,” noted Arnesen. “For example, fisheries operate according to

prime harvest season, so structuring loan payments so they coincide with a big catch can relieve some of the pressure around financing.”

Working alongside Arnesen are Jake Dixon and Scott Montgomery, Commercial Relationship Managers who each bring their own rich backgrounds in maritime to the First Fed Commerical Lending Team.

“I was excited about First Fed’s commitment to growth, particularly in maritime lending,” said Dixon. “Our First Fed team also has a strong community focus which was really appealing to me.”

“It’s wonderful that First Fed understands the benefit of having lenders who specialize in commercial maritime lending,” noted Montgomery. “Our team is committed to finding the best financial solutions for maritime businesses to support this vital industry.”

The Commercial Lending Team at First Fed can help maritime businesses who need a loan to expand their operations as well as those looking to buy, construct, or refinance commercial vessels. They also offer lending solutions for fishing rights, maritime equipment providers, and shipyards.

“Our team is local with over 50 years of combined experience working in the maritime industry,” added Arnesen. “That experience helps us ease the lending process for maritime businesses, so they can get back to doing what they do best.”

To learn more about the maritime loans from First Fed or connect with a commercial lender, visit: https://www.ourfirstfed.com/maritime

From the left, Scott Montgomery, Arne Arnesen, and Jake Dixon.