Kitsap Peninsula Business Journal January 2015

January 2015 Vol. 28 No. 1

Est. 1988

An edition of the K i t sa p Su n

Recruiting & training What it takes to keep local economy growing

Library’s small business resources | Page 4 How to adapt to changing hiring environment Page 5

Return service requested The Kitsap Peninsula Business Journal Post OfďŹ ce Box 259 Bremerton, WA 98337

Presorted Standard U.S. POSTAGE PAID PERMIT NO. 76 Bremerton, WA 98337 CAR-RT Presort

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Business Calendar Jan. 6, 27 Good Morning Kitsap County Have coffee and join discussion with local business professionals each week.

Where: Hop Jack’s, 3171 Bucklin Hill Road, Silverdale When: 7:30-9 a.m.

Info: silverdalechamber.com Jan. 7 Contracting Coffee Hour Business and networking event with discussion and questions about contracting with the government.

Please pre-register.

Where: KEDA, 4312 Kitsap

Way Suite 103, Bremerton When: 7:30-9 a.m.

Info: kitsapeda.org Biz Opps Workshop Providing assistance and networking opportunities for businesses who are interested in bidding on the cur-

rent solicitation for NAVFAC Northwest Regional Small MACC. Where: KEDA, 4312 Kitsap Way Suite 103, Bremerton When: 10-11:30 a.m.

Info: kitsapeda.org

Jan. 8 Check Your Website Analytics, ‘Salon’ Style Take time monthly with this group to get help creating content and structure for business websites, and creating promotions. Meets the second Tuesday of each month.

Where: OfficeXpats, Bainbridge Island When: 6-7 p.m.

Info: officexpats.com/event/ website-analytics-salon Jan. 9 Brown Bag Lunch Lecture Series This month will feature Jeff Adams of Washington Sea Grant. Take a digital tour of some of Bainbridge Island’s coolest plants with their attractive forms, colorful flowers and limited habitat.

Where: Bainbridge Waterfront Community Center, 370 Brien Drive, Bainbridge Island When: 11:30 a.m.-12:30 p.m.

Info: bi-landtrust.org/events. asp Jan. 12 OfficeXpats Mastermind Group The group is committed to helping business owners and professionals have support in meeting goals and having success. There will be two 60-minute meetings by phone and one 90-minute meeting in person a month. Members sign up for four months.

Where: OfficeXpats, Bainbridge Island When: 9 a.m.

Info: officexpats.com/mastermind-group Jan. 13 Kitsap Business Forum “What is the Chamber’s Role in Economic Development?”

Please RSVP. Where: Kitsap Conference Center, 100 Washington Ave., Bremerton When: 7:30-9 a.m.

Info: kitsapbusinessforum. com Jan. 14 Silverdale and Poulsbo Greendrinks Bring a glass. Entrance donation will go to Coffee Oasis, North Kitsap Fishline and Martha & Mary. Please RSVP. Where: Watson Furniture When: 5:24-8:03 p.m.

Cost: $10 cash Info: rsvp4silverdalegreendrinks@gmail.com Jan. 16 BASE Lecture: Rethinking Strategy Monthly series on building a sustainable economy. This month receive information on cutting-edge strategies.

Where: Bainbridge Island Museum of Art, Bainbridge Island When: 5-7 p.m.

Info: eventbrite.com Jan. 24 Kitsap Young Professionals ’80s Bash The annual KYP event with costumes, door prizes, host bar and heavy hor d’oeuvres.

Where: Rice Fergus Miller Architecture and Planning, Fifth Street, Bremerton When: 6-11 p.m.

Cost: $10-$8 Info: thekyp.org/event Jan. 25 West Sound Wedding Show Engaged couples, their families and others are invited to attend the Kitsap Peninsula show. Couples will receive a complimentary copy of Wedding & Event magazine.

Where: Kitsap Conference Center, Bremerton When: 10 a.m. to 4 p.m.

Info: westsoundweddingshow.com Jan. 28 Decision Makers Breakfast Acclaimed economist John W. Mitchell of M & H Economic Consultants will deliver the keynote address with his 2015 Economic Forecast.

Please register.

Where: Kitsap Conference Center at Bremerton Harborside, Bremerton When: 7-10 a.m.

Info: kitsapeda.org, 360-3779499 Jan. 29 Edward Jones Coffee Club Join local Edward Jones financial advisor Donald Logan for coffee to discuss current issues and trends.

Where: Edward Jones, 2416 NW Myhre Road, Suite 102, Silverdale When: 8:15 a.m.

Info: 360-692-1216

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Also in this issue • Many PSNS workers came through apprenticeship program, 4 • Bakery’s new spot has room for

more donuts, 23

• Chiropractors open wellness center in new Silverdale building, 24 • Technology columnist Charles Keating on ITSL, 12

The Kitsap Peninsula Business Journal is published by the Kitsap Sun the first week of every month, and distributed to business addresses through Kitsap County, North Mason and Gig Harbor.

Brent Morris, Publisher brent.morris@kitsapsun.com David Nelson, Editorial Director david.nelson@kitsapsun.com Tim Kelly, Managing Editor tim.kelly@kitsapsun.com editor@kpbj.com

Mike Stevens, Marketing Director mstevens@kitsapsun.com Jeremy Judd, Digital Director jeremy.judd@kitsapsun.com For inquires to receive the Kitsap Peninsula Business Journal at your business, contact Circulation Sales Director Hugh Hirata at 360-7925247 or hugh.hirata@kitsapsun.com.

To advertise in the Kitsap Peninsula Business Journal, contact Michael Stevens at 360-7923350.

TO SUBMIT NEWS: Tim Kelly, Managing Editor tim.kelly@kitsapsun.com 360.377-3711, ext. 5359 Standard mail postage to be paid at Bremerton, WA POSTMASTER: Send address changes to Kitsap Sun, PO Box 259, Bremerton, WA 98337-1413 © 2014 Kitsap Peninsula Business Journal / Kitsap Sun ISSN 1050-3692 VOLUME 28, NO. 1

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introduction | david nelson

The never-ending need for training

A

few years ago I joined a task force focused on newsroom training for the E.W. Scripps Co., the parent of the Kitsap Sun and Kitsap Peninsula Business Journal and 13 other daily newspapers nationwide.

Training was consistently the top request on employee surveys or annual reviews, and the company organized our team to address that.

We looked at the simple classes our fellow Scripps newspapers were doing internally that could be shared. We searched around the industry for affordable online resources or conferences that would make an impact or address emerging trends.

We talked about ways that training could be an incentive for employees to enhance their careers.

As journalists we were in a changing industry, and the demand to learn digital skills and innovative storytelling techniques to engage readers came amid increasing competition. The loss of talent throughout our company’s newspapers in those years — whether of our own doing due to cost-cutting, or to other attractive

recruiting — from those specific to small careers — was weighing on everyone. To business employees looking to improve avoid putting some time into improving skills, to the broad way the Kitsap Ecothe workforce was far more costly than nomic Development Alliance offers help the extra time my team spent each month to the county’s employer researching solutions. base by targeting sectors That anecdote proba- No training plan poised to grow. bly rings familiar to most We hope this edition not business owners, and not is perfect, and the only tells a story of what’s only when the market de- effort to improve going on behind the scenes mands that skills adapt. to improve the local econThat pressure hasn’t less- your workforce omy, but also shows you ened in our industry as the something that may help economy has straightened never really rests. position your employees out — in fact, it may be and business for success more acute now with more in the coming year. post-recession job opportunities available, Our company task force ended up with and that applies far beyond journalism. a lengthy white paper full of ideas, a few Two weeks ago I talked to a friend who reporters learning investigative reporting owns a metal fabrication business. He’s or social media at conferences, and a bethaving no problem finding work to bid on; ter process to share learning across the the competitive market taking away his company. It also resulted in a completely skilled and highly trained employees is new group seeking new ideas less than a what keeps him up at night. year later — a reminder that no training That’s why this edition of the Kitsap plan is perfect, and the effort to improve Peninsula Business journal is focused on your workforce never really rests. a staple of management that can too easily be set aside when things are busy or • David Nelson is editorial director of the when budgets are lean. To start 2015 we’re Kitsap Peninsula Business Journal. highlighting local efforts in training and

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recruiting / training

Despite no ‘trophies,’ KEDA’s efforts have an impact

By Tim Kelly KPBJ editor An aerospace company that moved from Southern California to Port Orchard is the example often cited as bringing new industry to Kitsap County.

Except no one brought composites manufacturer Omohundro Co. here — except Omohundro.

It’s the kind of company that’s the holy grail of business recruiting — the owners bought and retrofitted a 40,000-squarefoot warehouse in 2013 and now have about 50 employees — but no one can take credit for recruiting them.

There hasn’t been a comparable coup in Kitsap County in recent years, but that doesn’t mean recruiting efforts — led by the Kitsap Economic Development Alliance and others — have been unsuccessful.

“Do I have a long trophy list of these 15 companies we can take credit for? No,” KEDA executive director John Powers said. “But can we look to a half a dozen or more that we’ve played an instrumental role in their final decision?”

In Omohundro’s case, owners Mark and Cindy Sparks were looking to move their company and family out of California, and they researched potential locations in Washington, where Mark grew up. When they decided Kitsap County was the right spot for them, KEDA did help find them a place to land.

Powers put them in touch with Rick Fla-

herty, owner of Leader International Inc. and Differential Energy Global in the Port Orchard Industrial Park. The Sparks reached a deal to buy the building that was Leader’s original location there, but Powers said KEDA was providing other assistance before the deal closed.

“In economic development the focus is first on who’s here, how they’re doing, how you can keep them here and grow them here.”

John Powers, KEDA executive director “Before they decided (on the location) we drilled down on workforce — what’s it going to take to find them the people they need? What can Olympic College help them do on composites?” he said.

“Then you say to yourself is that a recruitment case? Well, kind of. We didn’t cold call from a trade show and say I understand you want to move to Washington. But I also know that but for our assistance, once they decided that this was their primary market should they be able to find the right site — that we helped close the deal, … and get them up and running very successfully.”

Retention is recruiting

In the big picture of economic develop-

ment, the mission’s not just about finding the Omohundros of the world and persuading them to move to your region. Far more often, it’s about business retention and expansion, by helping companies that are already here find what they need — workforce, real estate, transportation — to grow here instead of seekwork, ing greener pastures.

“In general, in day-today activities in economic development work, the focus is first on who’s here, how they’re doing, how you can keep them here and grow them here,” said Powers, who’s been with KEDA for three years. “I would say that 60 to 70 percent-plus of our time and interface with clients are in that space.”

That view is echoed by the head of the Port of Bremerton, another key player and partner with KEDA in business recruiting.

Jim Rothlin, who took over as the port’s CEO a year ago, said one of his goals this year will be exploring how the port might connect more with companies that have contracts with the region’s largest employer, the Puget Sound Naval Shipyard and Intermediate Maintenance Facility.

“How can we get a relationship with those people that have business with the Navy shipyard, or are going to?” Rothlin said. “And rather than have their office in Tacoma or wherever, maybe it’d be easier

to set up another shop here and get things started.

“If we can make it workable for them … sometimes their contracts are only three years so they can’t tie in to a 10-year contract. We need to be flexible there.”

There’s a major transition happening at the shipyard, Powers noted, since General Dynamics/NASSCO is taking over as the prime contractor (replacing Vigor Shipyards) with the Navy for work on aircraft carriers.

Where Vigor has a large presence in Seattle, General Dynamics is expanding to Kitsap from its operations at Navy facilities in Virginia and San Diego.

“They’re investing in this community in a different way than Vigor,” Powers said.

He added that General Dynamics, which is leasing an entire floor of the D4 building in downtown Bremerton for its management offices, views its move here as an opportunity that could be expanded beyond the initial Navy contract.

The Professional Technical Assistance Center (PTAC) is an arm of KEDA that plays a significant role in helping local businesses grow by becoming subcontractors or suppliers on large projects at the area’s naval bases.

“The PTAC is a huge benefit, helping small businesses navigate through all the bureaucracy” in federal contracts, said Steve Politakis, the CEO of Kitsap Bank and current chair of KEDA’s board of directors. see recruiting | 8

Apprenticeship program trains bulk of shipyard’s workforce Partnership with Olympic College enables workers to earn associate’s degree during four years of skills training

By Ed Friedrich KPBJ contributor Puget Sound Naval Shipyard and Intermediate Maintenance Facility hires hundreds — if not thousands — of workers every year. Most need to be trained. It has apprenticeships for that.

At any given time, more than 900 apprentices are enrolled in a four-year program that will transform them into journey-level tradespersons. During the first three years, they alternate between taking classes for two weeks and working at the shipyard for two weeks in a trade such as pipe fitter, electrician, welder or any of 25 other fields. After the third year, they receive an associate’s degree in Technical Arts from Olympic College. Classes are in math, physics, tech design, trade theory, workplace communications and organizational leadership/resource management.

The fourth year is all on-the-job training of a specific skill.

All the while, apprentices receive decent pay and benefits, starting near the bottom of the federal wage scale ($17.94 an hour) and climbing to $27.60.

All of the learning happens inside the shipyard. Classes are held on the second floor of the shipfitters shop, where there are classrooms, labs and a lecture hall.

Olympic College professors teach the academic courses; trade instructors are provided by the shipyard.

“The apprenticeship does an excellent job at preparing our employees for careers within our command by providing a solid educational foundation with an emphasis on critical thinking and problem-solving skills,” said Bryan Watland, student programs director at the shipyard. “In addition to those key components, the extensive study of specific trade knowledge en-

ables our graduates to adapt to the continuous changes in maintenance and repair needs of our Navy.”

The shipyard and college have been teaming on the apprenticeship program since the 1950s. They renewed a five-year, $16 million contract last summer.

Nowadays, apprentices must first spend a year as “helpers” — trainees who participate in a one-year development program. The shipyard has been hiring tons of them lately — 1,110 in fiscal year 2013, another 1,000 in fiscal 2014, and it’s in the process of adding 850 now.

“We give them a year to get their feet in the water to make sure it’s really what they want to do, because we invest a lot in them,” said shipyard spokeswoman Mary see apprenticeship | 8

PSNS workers in the shipyard’s four-year apprenticeship program get extensive skills training and earn an associate’s degree in Technical Arts from Olympic College.

PSNS photo

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human resources | julie tappero

For successful recruiting, employers need an accessible, engaging process

I

s it getting harder to recruit great employees? Are you stuck in a r e c r u it i n g rut? Do you run a help wanted ad in the paper, online, or on a job board and wait for the perfect resumé to cross your desk?

Put a Help Wanted sign in the window and hope that someone qualified sees it?

You know what Albert Einstein said: “Insanity is doing the same thing over and over again and expecting different results.”

It’s a new day in the workforce. Whether or not your business has recovered to pre-recession levels, the unemployment rate almost has! Kitsap’s unemployment rate is around 5.3 percent. And King County’s is 4.9 percent, which is at a level considered to be full employment. The war for talent is back, and you’re going to need some new weapons if you want to win the battle.

Zappos is known for its innovative recruiting process. Instead of posting jobs and accepting resumés for them, Zappos encourages interested candidates in becoming part of their talent community.

Candidates can get connected with Zappos in a variety of ways, from using traditional email to utilizing their social network profiles. Once connected, Zappo’s recruiters can fish from this talent pool as positions come available.

The candidates who most actively engage with Zappos, expressing their enthusiasm and highlighting their unique skills and talents, have better visibility and increase their odds of getting noticed. While this might work well for Zappos, a company known as a great place to work, would this approach work for all businesses? Probably not. But what we can learn from this is that each

company is unique and those qualities can be exploited in order to attract the people who fit into the culture.

We know from companies like Zappos that people are attracted to businesses that have a good reputation, are fun places to work, and are known as excellent employers. Showing your corporate personality will help you stand out from the crowd. Try punching up your job postings to make them more interesting. Just as a resumé is the candidate’s marketing brochure, remember that your job posting works the same for the business.

A boring job ad screams to the job-seeker “boring place to work.” In this job market, you have to sell the opportunity to the candidate.

Another lesson to learn from Zappos is to make it easier for candidates to apply with you. Can they send their LinkedIn profile as their resumé? Can they connect with you on Twitter, Facebook, LinkedIn, etc.? Can they apply from their phone? Or do you require them to go through a very long and structured process that takes lots of time and steps to complete?

HR folks are always concerned about compliance, and the result can be massive paperwork and overly complex application processes. For a job-seeker in today’s labor market, ease and speed are the ways to capture talent. Have someone go through your entire recruiting process and assess it for you. Take a critical look at what you’re doing and see where steps can be consolidated or eliminated. On average, it’s taking five weeks to fill positions! If your process is easy, fast, friendly and accessible, you will have a much higher chance of snapping up an excellent candidate before your competitor does.

One last lesson from Zap-

pos. It’s not enough anymore to put the resumé in your applicant tracking system. You have to engage with the job-seekers.

One of the biggest com-

plaints job-seekers have is the lack of communication when they apply for a position. Your company can stand out just by communicating. Using a mass email

Just as a resumé is the candidate’s marketing brochure, remember that your job posting works the same for your business. ... In this job market, you have to sell the opportunity to the candidate. program like Mail Chimp, you can communicate often with job-seekers, keep-

ing them informed about what the company is doing, see tappero | 7

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recruiting / training

Online or from specialist, library has invaluable resources “I couldn’t believe the amount of information she could pull off the library website through databases that I otherwise wouldn’t have access to.”

By Teri Gleich KPBJ contributor With databases worth tens of thousands of dollars and expertise in how to use them, Adult Services Librarian Peggy Branaman has turned a Kitsap Regional Library card into a must-have tool for local entrepreneurs.

The former insurance agent combines knowledge gleaned from 10 years in the business world with the research savvy of a 20-year library veteran to show business owners how to investigate the competition and identify potential customers.

She’s also available to meet one-on-one with anyone who wants a tutorial on the library’s business resources. Entrepreneurs don’t even have to go to the Poulsbo library where she’s based, she’ll go to them.

And the price tag for both her expertise and access to the databases is one even the smallest start-up can afford — free.

Business consultant Jan Harrison of JHarrison Solutions likens Branaman to a prospector mining for gold.

“I spent an hour with her and my head was spinning. I couldn’t believe the amount of information she could pull off the library website through databases that I otherwise wouldn’t have access to,” said Harrison, a former director of the Poulsbo Chamber of Commerce who was researching statistics on the economic health of North Kitsap and looking for specific examples of business growth.

Roseanne Newton, owner of Travel Wi$e, has used the library databases to identify Kitsap veterans for marketing a cruise that included a day trip to Normandy. She also compiled a list of Seabeck residents who live near her home-based business and could be potential customers.

“A lot of businesses subscribe to these (databases) for a big chunk of change and we can use them for free,” she said.

Newton learned about the resources during a presentation by Branaman to WINGS Kitsap, which stands for Women in Networking Generating Success. She said club members were astonished at all the information available to them at no cost through the library.

Branaman contends that all business owners have the same two priorities — saving time and saving money. She promises to help with both.

“I know what it is like to live that smallbusiness lifestyle. I have a real heart for and head for both the plight and the delight of small business owners,” she said.

“I want to be part of your network.”

Her favorite information sources include: • ReferenceUSA — A business and residential telephone and reverse directory, this database can be used to identify markets, research other businesses and find professionals for networking. Business data includes the number of employees working for a business, square footage

Jan Harrison, JHarrison Solutions

LARRY STEAGALL

Peggy Branaman is the adult services librarian at Kitsap Regional Library’s Poulsbo branch, and she runs a program that helps small business operators find information and use databases.

getting access To access Kitsap Regional Library’s business resources, go to www.krl.org, pull down the “Research & Learn” tab and click on “Business & Investing.” You will need a free library card to use the databses.

For information or to schedule an appointment with KRL business specialist Peggy Branaman, call 360-779-2915, ext.

9501, or email pbranaman@krl.org

and whether it’s been around less than six months. You can also find out what businesses have closed in a particular area.

Branaman has used the database to create a spreadsheet of apartment buildings across the country by size, and to identify African-American business owners in Kitsap County.

• DemographicsNow — This resource provides census data, including searching for specific types of people or businesses located within a set distance from your business. The database can generate charts, tables and maps to help entrepreneurs understand their communities, customers and competitors.

Together, Branaman said, the two resources provide a real-time snapshot of the business environment.

Also through the library’s website, entrepreneurs can learn or become more proficient with Microsoft applications, check out e-books, read hundreds of magazines and access more than 30 years of Wall Street Journal and New York Times articles.

Kathy Cocus, business development director for the Kitsap Economic Development Alliance, said she often recom-

mends that businesses consult Branaman.

“It gives them a powerful tool,” she said.

Small business expert Stuart Walton

agreed: “She can eliminate an incredible amount of legwork for entrepreneurs.”

Walton, who helped train low-income entrepreneurs through Washington CASH and Kitsap’s BE$T program before retiring this year, said he always had Branaman speak to his clients. In addition to teaching them about the library tools, he said she connected them to helpful people in the community and showed them how to determine which state and local regulations applied to their enterprises.

“She knows a lot of people and she has a lot of insight into what kind of business is going to succeed or not succeed,” he said.

“She is a county treasure.”

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JANUARY 2015 | 7

As recovery continues, hiring picks up in more sectors

Greendrinks groups co-host gathering

A few formerly down-and-out employment sectors merit watching in the new year.

Regional state labor economist Jim Vleming says construction and the leisure and hospitality industries are both showing signs of a rebound as the economy improves. Hiring picked up slightly in Kitsap’s building industry in 2013, following several years of stagnation.

That trend carried through to 2014, Vleming said, with construction firms continuing to add employees. The leisure and hospitality industry, also hit hard in the recession, added jobs over the past year, he said.

“I look for construction to continue to build on this momentum along with further gains in the leisure sector and even for government to continue some modest gains,” Vleming said.

He noted Kitsap’s unemployment rate has fallen each year since 2010, and was nearly a point below 2013 on average.

That decline was due in part to a drop in Kitsap’s labor force (the total number of people employed or actively seeking work), which has been shrinking since 2008.

Vleming said he expects the labor force to rebound slightly in 2015.

The Silverdale and Poulsbo Greendrinks groups are combining their monthly events to start 2015, with a gathering Jan. 14 hosted at Watson Furniture in Poulsbo.

The Greendrinks events are for those age 21 and over, and there is a $10 cash admission at the door, along with a collection of food bank donations. Attendees also are encouraged to bring their own cups or glasses for drinks.

The January event will be catered by The Chipmunk Grill at Harrison Hospital, with Tucker Distillery also providing hospitality. It will take place from 5:24-8:03 p.m. at Watson, located in the Twelve Trees Business Park.

The proceeds from each month’s Greendrinks event are shared with a local nonprofit group.

To register for this event, RSVP by Jan. 12 to rsvp4silverdalegreendrinks@gmail. com.

TAPPERO | F ROM 5

trends in the industry, positions you have, and skills you are seeking. If you’re using social media sites to promote yourself as a place to work, remember why they are called “social” media. Social interaction should be happening regularly between the company and its talent pool.

Your current staff is also an important part of the equation. It’s a lot better to keep your quality employees happy and engaged than it is to have to recruit new ones to replace them.

So do yourself a favor and talk to them. What do they love about working for you and why do they stay?

That’s your company’s secret sauce that you can sell when you’re recruiting for new hires.

You also need to ask your employees for information that’s harder for you to hear. What don’t they like about working there, and what is attractive to them about your compe-

LONGTERM EMPLOYMENT TRENDS IN KITSAP Year of highest employment within category during nine year span.

Number of firms Avg. ann. employment Construction Manufacturing Wholesale trade Retail trade Finance + insurance Information Real estate Professional-technical Admin. & support Health care A&E/rec./gambling Food & lodging Misc. services Federal government State government Local government

2005 5,805 82,235 4,503 1,742 1,338 11,135 2,274 2,131 1,123 4,135 3,147 9,786 1,365 6,469 2,952 14,769 2,034 11,105

2006 5,992 84,455 4,966 2,046 1,394 11,743 2,283 1,540 1,189 3,548 3,699 10,192 1,339 6,952 3,118 15,015 2,042 11,122

Year of lowest employment within category during nine year span.

2007 6,116 83,928 5,344 1,931 1,338 11,484 2,294 1,489 1,167 3,685 3,477 10,346 1,355 6,810 3,197 14,747 1,984 11,176

2008 6,145 83,807 5,003 1,933 1,346 11,655 2,182 1,449 1,155 3,713 3,054 10,612 1,344 6,763 3,202 14,934 2,029 11,039

2009 6,120 81,890 3,931 1,915 1,181 10,967 1,952 1,295 1,043 4,030 2,695 11,113 1,237 6,442 3,248 15,518 2,031 11,007

2010 6,231 80,903 3,320 1,807 1,111 10,516 1,717 1,243 944 3,959 2,755 11,407 1,296 6,408 3,371 16,015 1,980 10,906

2011 2012 2013 6,119 6,269 6,538 80,932 80,359 80,405 3,235 3,144 3,380 1,805 1,911 1,979 1,167 1,222 1,255 10,329 10,198 9,909 1,720 1,692 1,688 1,187 1,128 1,256 923 823 835 3,922 3,635 3,489 3,245 3,135 3,130 11,414 11,508 11,559 1,260 1,167 1,034 6,391 6,707 6,853 3,330 3,388 3,360 16,322 16,448 16,450 1,865 1,746 1,754 10,849 10,613 10,545

Source: Employment Security Department SCRIPPS NEWSPAPERS

tition? Then, do your best to make some positive changes. Your employees will feel valued and appreciated in the process, and your company will become more attractive to new recruits.

In our business we often see employers miss out on great talent because of their processes. On average, it is still taking companies five weeks to fill positions, which means great talent slips through their fingers. Times are not changing — they already have changed. Your business can win the war for talent by just recognizing that the war exists, and by working as hard to woo great people as you do to woo great customers.

• Julie Tappero is president and owner of West Sound Workforce, a professional staffing and recruiting company based in Poulsbo and Gig Harbor.

She can be reached at julie@westsoundworkforce. com.

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Check it out!

8 |JANUARY 2015

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recruiting / training sented what we had very effectively.”

Delivering that presentation is valuable to KEDA investor-partners such as the port and the cities in Kitsap County.

“We have a strong partnership with KEDA,” Poulsbo Mayor Becky Erickson said.

She wanted Powers there when city officials met in 2014 with the Michigan-based Edward Rose development firm about moving forward on a large project with apartment buildings, senior housing and a mixed-used commercial area that’s been in the planning stages for a few years.

“On something of that size, I brought John in, and his insight into employment patterns was very helpful to the Edward Rose people,” Erickson said.

Rothlin said the port may find a prospective business

r ecru iti ng | f rom 4

Another unique though significant case that Powers puts in the retention category is Olympic College keeping its contract for the shipyard’s apprenticeship program (see related story).

OC has handled the educational part of the program for many years, but in 2014 had to compete in an open bidding process. Powers said a Texas junior college that runs some programs at Joint Base Lewis-McChord also wanted the contract.

Kathy Cocus, KEDA’s director of business development, and PTAC counselor Mary Jo Juarez worked extensively with OC staff in preparing the college’s successful bid for the five-year, $16 million contract.

Powers acknowledged that OC is not a business, and keeping the program isn’t an expansion. But he contended it was an important endeavor to help the college “preserve the whole program and a $16 million revenue stream as a result of them capturing a bid.”

Evangelist for Kitsap

KEDA photo

Retired Port of Bremerton CEO Tim Thomson, co-chair of the Kitsap Aerospace and Defense Alliance, mans a booth at the Pacific Northwest Aerospace Alliance’s Defense, Space & Security Conference, held in Seattle in October.

Anyone who’s met the relentlessly upbeat KEDA director (and former Spokane mayor) knows he is a gungho evangelist for Kitsap, always touting its contribution to the broad regional economy and its virtues as a location for manufacturing, particularly for aerospace-related companies. It’s a familiar litany — highly capable workforce including many veterans; well-established industrial base; successful technology companies based here; Olympic College programs that support employers’ needs; proximity to the Seattle area; quality of life, etc.

In fact, one of KEDA’s most notable 2014 achievements was winning an award at an International Economic Development Council conference for its marketing campaigns.

Rothlin, who previously was CEO at the Port of Chehalis, agrees it’s a good message, though he holds a different view on proximity.

“When you’re on the I-5 corridor, I find you get a lot more attention than when you’re here,” he said.

From his perspective at the port, which has the largest area open for industrial development in the region, Rothlin said it’s critical to “find out exactly what are the type and size of companies where this (location) is going to make sense.”

Again, he mentioned Omohundro as one that fits the profile.

“This is exactly what we’re trying to get,” Rothlin said.

“Once they’re here, John and I and everybody, the city, a ppr en tice sh i p | f rom 4

Anne Mascianica.

Helpers start at $15.27 per hour.

The development program is geared for them to progress at their own rate, taking optional after-hours classes. Once they can show they possess certain skills and have put in 1,800 hours (45 weeks), they advance to a WG-05 pay range of $20.57 per hour.

Helpers can work with their supervisors to create individual development plans and pursue career am-

everybody will bend over backwards to make it work. It’s just you can’t get them here.”

One scenario of “getting them here” with help from KEDA involved the Kitsap Mall.

“Here’s one that people don’t realize, and it’s big,” Powers said, explaining that his staff compiled a lot of regional demographic and economic data for investment company Starwood Capital.

“They do financing,” he said. “They basically fund other retailers’ acquisitions for development of such properties.

Guess what they did? They bought (Kitsap Mall) rather than funded it, and it was the first one of several that is now in a whole new division called Starwood Retail.”

The result was not any highly visible new business like the REI store that opened near the mall in 2013, but Powers said Starwood is making a big investment in improving the 800,000-square-foot property that anchors Kitsap County’s commercial core.

He also said KEDA has been close to landing a couple big-time prospects, but even with a compelling case to make, sometimes things don’t work out. He mentioned a battery storage company that had Kitsap on its finalist list two years ago for a relocation site, but the company lost a $65 million federal energy grant from the Department of Defense, and soon after was bought by a large Korean company.

“Turns out it was something beyond our control,” Powers said. “But I feel good about that case, because we pre-

bitions according to their individual interests.

“Our helper program is specifically designed to provide an overall industrial orientation to employees who want to pursue career opportunities within the trades at the command,” Watland said. “The program also offers the opportunity for new employees to re-engage in post-secondary education at a level and pace that they are comfortable with.”

A quarter of the PSNS workforce and half of the superintendents began as apprentices. Most stick around

for 30-year careers.

For the more experienced of the shipyard’s 12,200 civilian employees, there’s Command University. It offers skills and leadership training, including one for each level of management.

“So when you get promoted, you’re not just tossed in without any supervisory training,” Mascianica said.

There are also advanced training programs for non-managers.

• Ed Friedrich is a reporter for the Kitsap Sun and contributes to the Kitsap Peninsula Business Journal.

WWW.KPBJ.COM tenant through KEDA’s marketing or its own recruiting. “But if I have a client in the room,” he said, “I need John Powers in the room helping to sell it.”

Prospects for 2015

The everyday focus may be on retention/expansion with existing companies, but KEDA also does some high-profile outreach.

Most notable are annual trips with the Washington state delegation to the Paris Air Show and its counterpart in Farnborough, England, which are held in alternating years.

Those trips include the Kitsap Aerospace and Defense Alliance (KADA), which the Port of Bremerton and KEDA formed to focus on expanding the area’s aerospace sector.

Powers said one of the first contacts generated through KADA was with a big manufacturer connected with Boeing that was looking to expand. That didn’t pan out, he said, in part because “the competition for much of the labor pool they were looking for was the shipyard.”

However, there are two active aerospace prospects from the air show visits.

One is a European-based company that Powers first met with in 2013 in Paris, and continued discussions with at the next year’s Farnborough expo.

Powers said the Puget Sound Industrial Center-Bremerton — the land around the Bremerton Airport formerly known as the South Kitsap Industrial Area — could be a good fit for the company, which does aircraft repair and refurbishing at two U.S. locations and is looking to set up a West Coast operation.

“We thought this was the year they would make their decision,” he said, but that was put off for another year.

There’s also a Washington state company looking at Kitsap as a possible third location.

“We’ve met at their facility, we met with them at Farnborough, and we’ve had them out to Kitsap,” Powers said.

The port, which Rothlin

JANUARY 2015 | 9 said may restore a director of business development position to its staff in 2015, Jim Rothlin is working with a couple local tech start-ups as prospective new tenants.

One of them focuses on energy distribution, and the owner has an option on space in a port facility while working on getting financing for his business.

Otherwise, the port has no available buildings to lease, but there are 11 pad-ready, 1- to 2-acre sites open in the Olympic View Industrial Park, and roughly 650 acres of developable land around the Bremerton Airport.

The port’s lack of buildings is a disadvantage when many companies, in the aftermath of the recession, would prefer to lease space rather than build their own facility on the port’s land or elsewhere. Rothlin said the port would consider investing in new buildings to lease if it had the capital, but that would be risky unless there were tenants willing to sign a long-term lease.

“That would be a great marketing tool, and John would agree with me on that one,” he said. “If we had a building, I would make his job easier.”

The marketing book that Kitsap promoters take to the air shows highlights the airport and land around it.

“That’s our biggest industrial base yet to be developed; it’s got the infrastructure to support manufacturing,” Powers said.

“But it also talks about Twelve Trees (in Poulsbo), it talks about Kennedy Park (near Kingston), and Coppertop (on Bainbridge Island). All the business and manufacturing parks are in there.”

One other area Powers wants KEDA and its partners to be involved in this year is the updating of comp plans for the county and its cities. He said it’s critical that local zoning accommodates new and expanding businesses, such as SAFE Boat’s need

for industrial-zoned waterfront property.

“As we try to draw more employers in, we’re looking at our zoning map,” Poulsbo’s Erickson said. While maintaining the town’s character, “We want to make sure we have appropriate zoning designations in order to allow large industrial activity,” to bolster the local economy.

Powers believes technology companies can play

an increasing role Kitsap’s economy.

“We’ve got good relationships with the industry, led by ATS (Applied Technical Systems in Silverdale), who’s on our board,” he said, and also noted that Bainbridge-based Avalara is “the fastest-growing technology company in all of the Seattle region, and just got another $100 million” in private capital investment in 2014.

Even though Powers expects the bulk of Avalara’s ongoing growth will necessarily take place in Seattle and other markets, he hopes the company will retain its headquarters on Bainbridge.

“There’s room for another Avalara,” said Powers, ever the evangelist. “We’ve got to find the serial entrepreneur that’s looking to reinvest and loves this lifestyle; that’s our hook.”

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Paladin going strong after 20 years in software business

By Tad Sooter KPBJ contributor Paladin Data Systems was just four guys working out of a spare room in Silverdale when the tech firm launched in 1994.

The company’s first clients, IBM and Starbucks, didn’t know that, though.

“They thought we were a pretty goodsized company,” co-founder and CEO Jim Nall recalled with a smile.

Two decades later, Paladin really is a good-sized company. The provider of cloud-based software, which celebrated its 20th anniversary this month, employs about 60 people in its Powder Hill offices in Poulsbo.

Twenty years is a good run for any business. In the tech industry it’s an eternity.

Paladin has flourished not just by keeping ahead of technology trends but by also staying in step with political and social change. The company has built software systems to meet emerging needs for governments and businesses, whether it’s a county streamlining its permitting, a police department retraining officers, or a natural resources agency coordinating watershed restoration projects.

Partners Jim Nall, Bob Johnston, Gary Macy and Dave Streifel founded Paladin after working together at defense contractor Lockheed Martin.

They started out creating custom-built software applications for businesses. Landing work with giants such as IBM and Starbucks out the gate gave them confidence.

“We realized we were pretty good compared with everybody else,” Nall said.

Paladin enjoyed a surge in clients in the late 1990s as corporations rushed to replace their software systems in anticipation of the “Y2K” bug. At the same time, a wave of “dot-com” companies were look-

MEEGAN M. REID

Paladin Data employs about 60 people in its Powder Hill offices in Poulsbo. ing for applications to support their online stores. Paladin worked with both.

The burst of the dot-com bubble around year 2000 dealt a blow to the young company, which in some cases had foregone immediate profit to speculate on the success of its tech clients. Those clients disappeared “almost overnight,” Nall said.

In need of a stable customer base, Paladin turned to its connections in the defense industry to began working with federal agencies.

That led the company to start building software for city and county governments, as well, beginning with applications to manage property assessments and land-use permitting. Kitsap County was its first customer.

Those products tailored for small governments evolved into SMARTGov, a pro-

gram that streamlines the work of planners and code enforcement officers.

The system includes an online portal for the public, allowing residents to check on the status of a permit without driving to the planning department.

SMARTGov is now used by more than 50 small to midsized cities and counties across the country.

Local clients include Bainbridge Island, Bremerton, Port Orchard and Kitsap County.

With government budgets beginning to rebound from the recession, Nall believes Paladin could add SMARTGov customers at a rate of 30 per year.

“We’re getting inundated now with requests,” Nall said.

SMARTGov is one of three core products Paladin developed as it moved away

from making one-off custom applications and started offering flexible, remotely hosted software packages that can work for a wide variety of customers.

A second Paladin product, called Panoramic, helps agencies coordinate large, complicated projects. Panoramic has been used to track habitat restoration in Washington and promote economic development in New Mexico.

A third product, the recently launched ASMi, is a workforce management tool.

Organizations can use ASMi to track training and certification among employees. With increased scrutiny of law enforcement agencies nationwide, police departments could be among the biggest customers.

“Police forces are really looking for ways to retrain their folks and document everything,” Nall said.

Paladin hopes to keep growing its workforce. Nall said that large-scale military contracts for ASMi could be on the horizon and that requests for SMARTGov keep rolling in. Added revenue would lead to more hiring in Poulsbo.

Co-founder Bob Johnston said it hasn’t always been easy to lure young tech talent to the west side of Puget Sound. But Paladin has succeeded in creating a close-knit work environment, he said. A number of its employees have been with the company for 15 years or longer.

“It’s kind of a family atmosphere,” Johnston said. “Being able to maintain that small-business culture in Kitsap County ... that’s the most rewarding part.”

For information on Paladin Data Systems, go to www.paladindata.com.

• Tad Sooter is a business reoporter for the Kitsap Sun and contributes to the Kitsap Peninsula Business Journal.

Merger clears way for office supplies business owner to retire

By Tim Kelly KPBJ editor All his customers paid up, and Lee Speed is proud of that as he heads into retirement.

His business, Speed’s Stationers, was acquired in October by Chuckals, a Tacoma-based office products company looking to expand into Kitsap County. He stayed on for a month during the transition, and it wasn’t until a couple days before Christmas that Speed finally closed the books on the business he started 35 years ago.

“I took until Monday or Tuesday that week for my very last receivable to come in,” Speed said. “Every one of my accounts paid up 100 percent.”

The opportunity with Chuckals came along at a good time for the 67-year-old businessman.

“I was prime on retiring, and they were prime on acquiring and enlarging their overall footprint,” he said.

A news release from Chuckals said the company was expanding through a “merger” with Speed’s Stationers, and that the two businesses “share a common culture based on long-term business relationships with our customers.”

Those relationships within the local community meant more when he started in the office supplies business 45 years ago, said Speed, a lifelong Kitsap County resident who was born in Bremerton.

“The frustrating thing about it is more the attitude of the business consumer … the perception that the big-box store is always cheaper,” he said. “It’s not like it used to be back in the ‘70s when people appreciated local businesses.”

Those local businesses used to form “a big circle within the community, and that has just kind of gone away, very slowly,” he said, adding that “the newer generation would just as soon punch it on their keyboard and not have to worry about it.”

He said he enjoyed the years of running his business, which moved to four different locations in the Bremerton/Silverdale area and had seven employees at its peak — and which tried to keep up with the changing times by offering online ordering.

For the last several years, Speed said he eliminated the high cost of leasing retail space and ran the business as a “warehousing/stockless type operation” that he operat-

ed out of his daughter’s garage. For products they didn’t have in stock, they would order the items for delivery the next day.

Chuckals plans to maintain the Silverdale distribution site.

As for Speed, he’s ready to shift into another gear and plan some road trips with his wife.

“I’m basically ready to take off and go cruise around,” he said.

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JANUARY 2015 | 11

RETIREMENT PLANNING | JASON PARKER

The cost of keeping short-term CDs

I

f you had money available to earn interest, then which would you rather have?

• $84 of interest in one year?

• Or $797 of interest in one year?

That is a 948 percent difference in the amount of interest after just one year, and I’m going to share with you exactly how and why you might want to consider an alternate vehicle for your money.

I recently had a client contact me and she said, “Jason, I have a CD at the credit union that is about to mature.” She went on to say, “Last year I earned about $75 of interest on $29,000.

The CD is going to roll over soon, and the new rate is only going to be 0.29 percent.”

Yes ... you read that correctly.

She will earn a little more than ¼ of 1 percent if she leaves her money at the credit union. I’ve found some people mistakenly move the decimal point and think they are earning 2.9 percent. Not in this case.

She would in fact be earning only 0.29 percent for a one-year certificate of deposit. This is why some people now say “CD” stands for certificate of disappointment.

When it comes to safe money, in order to get a higher fixed interest rate, you generally have to commit to a longer period of time. For this client we were able to find a fixed deferred insurance contract that guaranteed 2.75 percent interest if she would commit to a five-year term. In the historic context of interest rates, 2.75 percent does not sound very good. But if she earns 2.75 percent interest on $29,000 the first year, then she will earn $797 of interest. If she sticks with the CD she would earn about $84 in interest. Given the options she has available today, I’d say the choice is pretty straightforward.

But what if you commit to five years and then interest rates go up?

Many people don’t like the idea of committing to a five-year period of time in a low interest rate environment, but there may be a cost to keeping short-term CDs. I created a quick spreadsheet to try to determine the cost of keeping the CD’s short term assuming the CD is rolled over every year and every year interest rates are going up.

You can see the results in this chart.

I assumed a couple different scenarios with interest rates rising: .25, .5, .75 and 1 percent every year for the next five years.

I’ve highlighted in yellow what the value of her account will be at the end of five years given the different scenarios.

Obviously there is a cost of waiting.

• Jason Parker is president of Parker Financial LLC, a fee-based registered investment advisory firm working primarily in wealth management for retirees. His office is in Silverdale. Parker is insurancelicensed and holds his series 65 securities license. He offers annuities, life and longterm care insurances as well as investment services. Follow Jason’s blog at www.soundretirementplanning.com.

WWW.KPBJ.COM Check it out!

PEOPLE IN BUSINESS CHI Franciscan Health hires new CEO

New manager named for Silverdale library

TACOMA — Ketul J. Patel has been named Chief Executive Officer of CHI Franciscan Health and Senior Vice President of Divisional Operations for the Pacific Northwest Region of Catholic Health Initiatives.

Patel is currently Executive Vice President and Chief Strategy and Operations Officer at Hackensack University Health Network Ketul Patel and Hackensack University Medical Center in northern New Jersey.

He will succeed Joe Wilczek, who is retiring after 16 years leading Tacoma-based Franciscan Health system. Patel will start his new position on Feb. 23.

Patel’s more than 20 years of experience includes working for several large health systems around the country. He joined Hackensack University Health in 2010.

He will be one of seven CHI senior vice presidents overseeing divisional operations across a national enterprise that includes 19 states. CHI Franciscan Health is part of Englewood, Colorado-based Catholic Health Initiatives. Bremerton-based Harrison Medical Center system became part of CHI Franciscan Health earlier this year. For more information, visit www. chifranciscan.org.

Kitsap Regional Library has selected Zak Sherman to become the new manager of the library in Silverdale when Melody Sky Eisler leaves in January to become the director of the Port Townsend City Library.

Sherman, 38, has been the branch manager at Manchester since 2012.

Prior to joining Kitsap Zak Regional Library, he was Sherman the branch supervisor for two libraries in the Tampa-Hillsborough County Public Library system in Florida for four years.

Eisler has served as branch manager at the library in Silverdale for three years, coming to Kitsap after working in the city library system in Boise, Idaho.

In taking over the Silverdale position, Sherman moves from one of KRL’s smaller locations to one of its busiest, and into a key position at a time when the library system is gearing up for a capital campaign to raise the funds needed to build a new library in Silverdale.

A reception for staff, Friends of Silverdale Library and the public to thank Eisler and welcome Sherman will be held from noon to 2 p.m. Friday, Jan. 16 at the Silverdale library.

12 |JANUARY 2015

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TECHNOLOGY | CHARLES KEATING

ITSL: Information Technology as a Second Language

W

hether we fondly bid the old year adieu or good riddance, it comes, followed by preparations and welcoming the new. This year another tide is coming in, and to our happiness or consternation, it demands our attention.

West Sound Technology Association (WSTA) held its annual holiday social and visioning on Dec. 18, and attendees reviewed our strides while planning forward. All readily acknowledged that preparing our workforce and inspiring others were important parts of our mission to continue pursuing.

As I’ve shared in prior articles, this year was a busy one with significant partnership wins. Our annual summit covered the evolution of technology in education, and the need to move beyond digital substitution into game-changing transforma-

tion. Olympic College’s first four-year CIS (Computer Information Systems) degree was launched with our help and partnered efforts. This past summer, we initiated a successful partnership with Olympic College, West Sound Skills Technical Center and DigiPen Institute on Project Summer Fun gaming development workshops so high school students interested in gaming could gain college credits and highly marketable skills. We were major sponsors of the region’s first GamCon event to reach new audiences. Hour of Code promotional efforts resulted in tripled participation, increasing our 2013 numbers of 22 schools to 66, including 31 entire schools and two entire districts. In addition, we co-hosted four Hour of Code events with Kitsap Regional Library. The net effect helped us to gain and maintain mindshare with young and old alike.

Looking forward to our new quarterly briefing format, February will focus on

Big/Open Data and the entrepreneurial and economic development opportunities it presents. We will also take the WSTA message on the road, presenting to wider audiences regarding technology, innovation, education – and ways we can all move the ball forward on behalf of our region’s competitiveness and success.

ITSL is an acronym I coined at our holiday retreat after a guest described their career evolution from English as a Second Language (ESL) teacher to chamber professional. Information Technology as a Second Language was discussed as not unlike learning another language.

What may begin as an educational endeavor quickly morphs into application and growth of critical skills that help one to adapt to a burgeoning culture.

In formal education, expanded development of science, technology, engineering and math (STEM) is required for sustaining our increasingly innovative and technology-based economy. STEM careers are rewarding, but also challenging.

As the related skills become more generally essential for almost any job, the resistance many have gives way to realization and acceptance that it’s the way up and through. Stakeholders and supporters, such as Congressman Derek Kilmer, understand the vision and necessity of in-

vesting now instead of facing the consequences of not being prepared.

We must dig in and ramp up our ability to partner and collaborate. Whether K-20, state policy, workforce development, economic development, local business groups, troubled youth, or our libraries, West Sound Technology Association is recognized as an invaluable non-traditional educational resource and proactive bridge toward driving an innovationand technology-based future for the West Puget Sound. Economic opportunities don’t just go where the talent is; they are also attracted to agile and forward-thinking communities that work together.

We look forward to your support in 2015 as we continue to leverage our assets, and create or expand opportunities. We wish everyone a prosperous 2015!

• Charles Keating is president of Keating Consulting Service, Inc. (www.kcsco.com), an IT consulting firm serving global clients since 1983. He is also a partner in K2 Strategic Solutions (www.k2strategic.com) and Professional Options (www.professionaloptions.com), and current president and co-founding member of West Sound Technology Association (www.westsoundtechnology.org).

PEOPLE IN BUSINESS Commercial banking officer joins Kitsap Bank in Gig Harbor

Navy Gateway Inns employee wins award for outstanding service

Kitsap Bank has hired Don Brown as vice president and commercial relationship manager, and will be based out of the Point Fosdick branch in Gig Harbor.

Brown has nearly 20 years of experience in commercial and consumer lending. He has spent his entire career in the Puget Sound business commu- Don Brown nity, most recently as a senior business relationship manager with Key Bank.

“Don brings a wealth of experience in commercial banking,” said Steve Maxwell, executive vice president and chief lending officer. “He is dedicated to providing the personalized customer service that is Kitsap Bank’s hallmark. We are very pleased to have him on board.”

Purificacion “PJ” Valeria of Naval Base Kitsap’s (NBK) Navy Gateway Inns and Suites (NGIS) was honored with the Stellar Service Award for all Navy Gateway Inns facilities worldwide.

The recognition came on Navy Lodging Program Appreciation Day, Nov. 19, during an awards ceremony at Shields Hall on NBK-Bremerton. The Stel- Purificacion Valeria lar Service Award goes to the civilian employee who exemplifies the highest standards of professionalism, attitude, guest service and job knowledge as determined by the Commander, Navy Installations Command (CNIC), Lodging Program team.

Valerio, a housekeeping lead, was key to Navy Gateway Inns at NBK attaining two Five-Star Zumwalt accreditations, according to Edgar Deocampo, NGIS general

manager for NBK Bangor and Bremerton.

He noted that her customer service skills and willingness to go above and beyond her duty were key factors in being selected for the CNIC Stellar Service Award.

“I want to make sure that our sailors and customers are happy when they stay here at NGIS,” said Valerio.

“I’ve been here 19 years, and it’s really nice to receive an award,” she added. “It really surprised me.”

Navy Lodging Program Appreciation Day was established to highlight program and individual accomplishments and present awards to members of the NGIS team.

Local NGIS accomplishments including repairs, renovations and upgrades were numerous over the past year, but the 91 percent customer satisfaction rate stood out in the list of accomplishments.

Personal banker joins staff at 1st Security Bank branch in Poulsbo The Poulsbo branch of 1st Security Bank has hired Pam Whitt as the new personal

banker on staff.

A veteran of 25 years in the bank business, mostly in Kitsap County, Whitt most recently worked at AmericanWest Bank in Poulsbo.

She is a member and Pam Whitt past president of the Greater Poulsbo Chamber of Commerce.

“I came to 1st Security Bank because I enjoy working at a community bank that encourages me to develop personal relationships with customers and local business owners,” Whitt said.

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JANUARY 2015 | 13

financial focus | Edward jones

Seek to balance ‘risk tolerance’ and ‘required risk’ in investing Article provided by Edward Jones for use by financial advisor Rachel Sutherland of Silverdale.

L

ike everyone else, you have financial goals. To help achieve these goals, you may need to invest — and when you invest, you’ll need to take on some risk. But the more you understand this risk, and the better you are at managing

it, the greater your potential for staying invested for the long term.

To begin with, then, take a look at these terms: • Risk tolerance — Your risk tolerance is essentially your comfort level with taking risk. For example, if you have a high tolerance for risk, you may be comfortable investing aggressively. Conversely, if you tend to be risk-averse, you might lean

Time for a family meeting to discuss financial preparations?

Article provided by Edward Jones for use by financial advisor Mary Beslagic of Manchester.

D

uring the holiday season, you no doubt have a lot going on in your life — work functions, gatherings with friends and neighbors, tracking down the elusive “perfect gift,” etc. But you may find it valuable to add one more event to

your calendar: a family meeting to discuss those financial preparations that affect you and your loved ones.

Of course, the scope of your meeting will depend on your age and the age of your children, and on whether you have elderly parents. So, let’s look at one family meeting scenario that would work under two different sets of circumstances: you are meeting with your own grown chil-

more toward more conservative investment vehicles that offer greater protection of principal.

• Required risk — While the term “required risk” may sound odd, it is actually an integral component of your ability to invest successfully. Basically, your required risk is the level of risk necessary to help you achieve your investment goals.

The higher the return necessary to reach those goals, the more potential risk you’ll need to assume.

As you invest, you’ll need to balance these two aspects of risk. For example, what might happen if you have a low risk tolerance, leading you toward “safer,” lowgrowth investments, but your goal is to retire early? For most people, this goal requires them to invest in vehicles that of-

fer significant growth potential, such as stocks. And, as you know, investing in stocks entails risk — specifically, the risk that your stocks will lose value. So in this situation, your risk tolerance — the fact that you are risk-averse — is going to collide with your required risk level, the amount of risk you are going to need to take (by investing in stocks) to achieve your goal of early retirement.

When such a collision occurs, you have two choices. First, you could “stretch” your risk tolerance and accept the need to take on riskier investments in exchange for the growth potential you will require.

Your other choice is to stay within your risk tolerance and adjust your ultimate goal — which, in this example, may mean

dren or you are meeting with your elderly parents.

In either case, you’ll want to review the following areas: • Investment information — It’s a good idea to let your grown children know where you (and your spouse, if still living) keep your investments and what sort of investments and retirement accounts you own, such as your IRA, 401(k), and so on. You should also provide your children with the name of your financial advisor. And talk to your parents about their investments. You might think that this could be challenging topic to bring up, but you might be surprised at their willingness to talk.

• Estate planning documents — Comprehensive estate planning can involve a variety of legal documents, such as a will, a living trust, power of attorney, etc. If you have already created these documents, you need to share both their location and their intent with your grown children, who will be active players in carrying out your estate plans. The same is true with your elderly parents — try to encourage them to share all their estate-planning documents with you, especially if they will be counting on you for their care.

• Names of professional advisors — As you put together your estate plans, you will likely need to work with a team of

see risk | 14

see prepar ations | 14

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business briefs

r isk | f rom 13

accepting a later retirement date.

Obviously, this is a personal decision. However, you may have more flexibility than you might have imagined. For instance, you might feel that you should be risk-averse because you have seen so many fluctuations in the financial markets. But if you have many decades to go until you retire, you actually do have time to recover from short-term losses, which means you may be able to reasonably handle more volatility. On the other hand, once you’re retired, you won’t have as many years to bounce back from market downturns, so you’ll have less “risk capacity” than you did when you were younger.

In any case, by balancing your risk tolerance and your required risk level — and by understanding your risk capacity — you can be better prepared to take the emotion out of investing. When investors let their emotions get the better of them, they can make mistakes such as chasing “hot” stocks or selling quality investments due to temporary price drops. By having a clear sense of what risk really entails, however, you may be able to avoid costly detours — and stick with your long-term investment strategy. pr epa r ations | f rom 13

financial, tax and legal advisors. Make sure your grown children know the names of these professionals and how to contact them. Similarly, seek the same information from your parents.

• Wishes for future living arrangements — It’s certainly possible that you will be able to live independently your whole life. On the other hand, you may eventually need some type of long-term care, such as that provided in a nursing home or an assisted-living residence.

Let your children know what your feelings are about such a possibility, and what preparations you have made. And try to elicit the same information from your own parents.

• Funeral or burial instructions — Admittedly, you can probably find topics that are more pleasant to discuss than funeral plans. Yet, if you make your own burial or cremation plans in advance, and possibly even prepay for them, you will be taking a tremendous burden off the shoulders of your loved ones, who won’t be forced to make difficult decisions — or scramble for money at short notice — during a highly emotional time in their lives. Once again, you’ll also want to learn about your parents’ desires for their final arrangements, and what steps they may have already taken in this area.

By holding a family meeting about these issues today, you can avoid a lot of stress and misunderstandings in the future. So bring out the coffee and cookies — and start talking.

2015 Economic Forecast will highlight KEDA Decision Makers event The Kitsap Economic Development Alliance (KEDA) will host the 17th annual Decision Makers Breakfast on Wednesday, Jan. 28 from 7:30-10 a.m. at the Kitsap Conference Center in Bremerton. Acclaimed economist John John W. Mitchell, principal at Mitchell M & H Economic Consultants, will deliver the keynote address with his 2015 Economic Forecast.

Mitchell, a former chief economist for U.S. Bancorp and economics professor at Boise State University, is known for his shrewd observations and charismatic delivery. He will discuss prospects and risks for the nation and the region in the coming year.

Tickets for the event are $50 for KEDA Investor Partners, or $75 for others, with special rates available for a table of 10. Visit kitsapeda.org to register or for more information, or contact Theresa Mangrum at 360-377-9499 or mangrum@kitsapeda.org.

Business Forum topic will be chambers’ role in economic development The first monthly Kitsap Business Forum of 2015 will discuss the role of the Chamber of Commerce in economic development.

What is your definition of economic development, and how will you make it happen? That is the question posed to Kitsap Chamber of Commerce directors and the Association of Washington Business. Chamber roles in the community continue to evolve — this is your opportunity to provide input and receive insight on community economic development.

John Powers, executive director of KEDA, will facilitate the panel discussion.

Panel members will include: • Marc Abshire, executive director of Greater Poulsbo Chamber of Commerce; • Kathleen Knuckey, executive director of Silverdale Chamber of Commerce;

• Kris Johnson, president of Association of Washington Business; • Matt Murphy, executive director of Port Orchard Chamber of Commerce; • Gena Wales, executive director of Bremerton Area Chamber of Commerce.

Learn how your chamber views economic development and how they plan to implement strategy. Learn how chambers are changing and how you can make a difference at your community chamber.

The forum will be held Jan. 13 from 7:30-9 a.m. in the third-floor meeting room at the Kitsap Conference Center in Bremerton. Please RSVP at KitsapBusinessForum.com.

Parking is free for the event on the Blue level of the parking garage.

New event will explore Pacific NW Maritime Defense opportunities Kitsap Economic Development Alliance and the Pacific Northwest Defense Coalition are presenting the first Pacific NW Maritime Defense Luncheon. The event on Jan. 14 will bring together military and private sector leaders to discuss current maritime initiatives and procurement opportunities for regional businesses.

The keynote speaker will be Navy Capt. Stephen Williamson, Commander, Puget Sound Naval Shipyard & Intermediate Maintenance Facility. Attendees will learn about current and planned activities at PSNS/IMF and the impacts on the region.

A panel discussion on the Pacific NW Maritime Defense Industry will focus on the private sector’s perspective of the industry. Panel members are: • Kevin Terry, program manager, General Dynamics NASSCO • Mark Tomas, senior manager, Raytheon • Steve Sewell, director of economic development for the maritime industry, Washington Department of Commerce.

The forum will be held at the Kitsap Conference Center in Bremerton from 11 a.m. to 1:30 p.m.

Anyone interested in attending should RSVP to 888-701-7632 or go online to register at www.pndc.us. During early registration through Dec. 31, registration is $50 for KEDA/PNDC members and $95 for non-members. Fees after Dec. 31 are $75 for KEDA/PNDC members and $120 for non-members.

For more information on Kitsap Economic Development Alliance and doing in business in Kitsap County, visit www. kitsapeda.org, www.kitsapconnected. com and www.kitsapaerospace.com.

For more information on the Pacific Northwest Defense Coalition and their activities in the defense/security sector, visit www.pndc.us.

PSE offers new rebate on faster chargers for electric vehicles Puget Sound Energy wants to make it easier for its electric customers to upgrade to a fast home charger to save energy, and help PSE plan for more electric vehicles.

For a limited time, qualified PSE residential customers can get a $500 rebate on the purchase of more than 30 types of Level 2 electric vehicle chargers. The rebate is available to 5,000 eligible customers.

Many electric vehicles, known as EVs, can plug into a standard 120-volt household outlet. But Level 2 chargers use 240 volts — similar to voltage that a clothes dryer would use — and can provide a full charge in a shorter amount of time.

The charging stations can be easily installed in a garage or carport. Some EVs now recommend a Level 2 charger.

The EV charger rebates are available to PSE residential electric customers who bought an electric vehicle after May 1, 2014, if they purchase and install the charger within one year of vehicle registration. Those who bought an electric vehicle between Jan. 1, 2012 and April 30, 2014 are eligible for the rebate if they purchase and install the charger between May 1, 2014 and May 1, 2015.

The charger must be installed behind the existing PSE electric meter that provides the customer’s residential electric service. It also must be the principal charging location for a new highway-capable vehicle.

PSE is making the rebates available to help with the collection of data about EVs and energy usage.

The rebate is not available to PSE commercial customers.

A list of qualified electric vehicle chargers, rebate forms and more information can be found at pse.com/electricvehicles. Or PSE customers may call an energy advisor at 800-562-1482.

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More sustainable projects on architect’s 2015 agenda

By Rodika Tollefson KPBJ contributor

“In addition to creating a lasting, sustainable facility for the Skokomish Tribe, the When Matthew Coates took hatchery frequently a leap of faith to launch his hosts students for eduown architectural firm, he cational opportunities,” started small — working from said Brian Schroedhome as the sole architect. er, a Coates Design arNow, his Bainbridge Island chitect. “Our goal is to company employs 10 designcreate a hatchery faciliers and is known for many ty that stands as an exprominent local projects. ample for good stewCoates Design Architects ardship of the environturns a decade old in 2015, ment.” and Coates says he’s both Coates said his firm thrilled and “somewhat suris a good choice “for cliprised” because in the beents or organizations ginning, he wasn’t sure how Courtesy photos that want do to somethings would work out.

Matthew Coates, shown at left inside the Bainbridge Island Museum of Art that he designed, took a leap of faith a decade ago thing a little out of the “What I’ve learned is that to establish his own architecture firm on Bainbridge Island, and has since has been part of many prominent local projects. box.” the best way to predict the fuThe most recent is Harrison Medical Center’s clinic (above), which opened on Bainbridge in December.

One example is ture is to invent it,” he said. a housing developOne of the firm’s most rement for an undisclosed client on Baincent completed projects is Harrison MedWildlife Shelter. design. In addition to being an energy-efbridge Island. The site, located on 20-plus ical Center’s new 17,000-square-foot clinA new facility for West Sound Wildficient building made of pre-fabricated, acres, will be developed so the majoriic on the island. The facility opened Dec. life Shelter is one of the unique projstructural insulated panels, the new facilty of the land will remain as open space, 1 and includes an urgent care center, priects Coates Design Architects has in the ity will draw its power from micro-hydroused for trails, farming and similar purmary and specialty care, state-of-the-art works. The multiphase project will inpower turbines and solar panels. poses. Some of the land may be preserved imaging and laboratory and other servicclude a capital campaign to raise several The same spring water used for raising through a conservation easement. es. million dollars for a new facility, located the fish will be used to provide power and “The intent is to develop sustainably The project was built under a so-called in North Kitsap. water to the building. The restroom will with high-performance buildings and creintegrated project delivery contract. It’s The project is currently in the feasibilhave a composting toilet system and the ating community connected to the land,” an agreement between Harrison, Coates ity phase and a site selection is expected rest of the wastewater will be treated on Coates said.

Design as the architect and Tim Ryan in early 2015. site.

Construction as the contractor to collabThe new center will have about 700 to orate on the project from the beginning in 1,200 more square feet than the current order to avoid “inefficiencies typical in de2,800-square-foot facility, located on the sign-build relationships,” Coates said. island. The design is still in the conceptuUnder this model, the parties agree on a al stage. target cost and timeline, and the contracHorn said the new location would allow tor and architect are paid only at cost if for the expansion of the organization’s edthey don’t deliver on time and on budget. ucational component, with on-site tours If the agreement is met, they receive addiand other programming to be added. tional pay to make a profit.

The move to North Kitsap will give The model, according to Coates, was WSWF a more central location — the created by the American Institute of Arshelter reaches as far as Bellingham and chitects and is a new trend.

Olympia. An intake center would remain “We’re one of the first teams in the state on Bainbridge Island and another one to execute this type of AIA agreement,” would be added in Gig Harbor. he said. “The biggest benefit is to the The project is complex not only because owner entity; they have greater assurancthe facility will include a hospital, a flight es the project will be delivered on budget cage and other special needs, but will also because the contractor and the architect present a challenge in moving wildlife paare incentivized. It’s a new way to do projtients that may be in critical condition. ects.”

“It’s a very exciting project because they rescue about 1,500 animals per year,” Coates said. “It’s an amazing organization Projects in the Works to work with.”

Coates himself is now licensed in two Another unique project in the works is more states, Idaho and Oregon, and in a new hatchery support building for the the process of being licensed in CaliforSkokomish Tribe at Enetai Creek. The nia. The firm’s projects stretch as far as Wyoming and include both residential tribe will replace its hatchery building and commercial design, including renovanear Shelton with a new facility that will tions. allow for expanded educational opporWhat sets the firm apart, Coates said, tunities as well as better accommodate is the focus on sustainable architecture needs.

—which goes beyond being green and The 2,400-square-foot building will inconsiders social and economic aspects in clude a meeting/conference room, a wet addition to environmental ones. lab for biologists, a workshop for equip“Matthew is a visionary. He understands ment repair and other facilities. Construcenvironmental impact and being good tion is expected to start in spring or earstewards of the environment,” said Lisa ly summer.

Horn, executive director for West Sound What makes it unique is the sustainable

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Harrison’s new president taking charge amid change Exec from Overlake takes over as medical center builds a new hospital in Silverdale

By Tad Sooter KPBJ contributor The next four years will be transformative for Harrison Medical Center as the nonprofit health system constructs a new Silverdale hospital. The same four years could be defining for new Harrison president David Schultz.

It will be Schultz’s job to oversee the transition to the new campus, while maintaining quality care throughout the system. The former chief operating officer at Overlake Medical Center said the challenge of creating a new hospital was one reason he was drawn to the Harrison job.

“Certainly the opportunity to build a brand new hospital is very exciting,” Schultz said recently. “There’s a lot of pressure to get it right, and I think the whole team feels that.”

Harrison’s affable new president was still getting to know his team after starting work in Bremerton Dec. 15. He fills the office left open by longtime Harrison CEO Scott Bosch, who retired in July. A sixmonth search led to Schultz’s hiring.

The selection of Schultz made sense on many levels.

Schultz, a graduate of Trinity University in San Antonio, has held positions in hospital leadership for close to two decades, including stints with medical groups in Arizona, Oklahoma and his home state of Texas. He spent the last seven years at Bellevue-based Overlake Medical Center, which is roughly comparable to Harrison in size and scope of services.

Schultz worked to expand Overlake’s physician network from roughly 30 to more than 100. He also oversaw implementation of the electronic record keeping system Epic, the same platform Harrison recently installed.

MEEGAN M. REID

Harrison Medical Center president David Schultz talks with employees during a meet and greet event last month at Harrison in Bremerton.

While Overlake is an independent hospital, most of Schultz’s background was with broader health systems. He said he can draw on that varied experience to help Harrison continue integrating with CHI Franciscan Health in Tacoma and parent company Catholic Health Initiatives of Colo.

As for experience on large capital projects, Schultz points to his work with Northwest Medical Center in Tucson, Ariz., where he handled project planning for a new sister campus. He’ll be in a similar situation in Kitsap as Harrison carries out its Vision 2020, a plan to relocate acute care services to a new hospital in Silverdale over the next four years. Designs for the roughly $240 million facility are still being developed.

Harrison also represented a logical career choice for Schultz. He’s served as a COO and a chief administrator for hospitals, but never as the top executive.

“It’s the next step in his progression of what his career goals are,” Harrison

Board Chairman Jim Civilla said in an earlier interview.

‘COLLABORATIVE, COMPASSIONATE’

‘

It was more than resume bullet points on Schultz’s resume that won over the Harrison selection committee.

Civilla pointed to his calm, “collaborative” demeanor as a sign of good leadership. Kitsap Mental Health Services CEO Joe Roszak, who serves on Harrison’s board, said he was struck by the way Schultz talked about providing compassionate care in the community.

“We work collaboratively across the community with different agencies,” Roszak said. “And that means the top leadership rolls up its sleeves and is actively involved in projects for the betterment of their community. I think David is going to do that.”

Schultz said he is eager to dig into the Kitsap community and hopes to eventually join service groups in the area. He’s still

hunting for a permanent home on the peninsula for himself, his wife, and their two teenage children.

Before diving into community engagement though, Schultz will spend his first few months immersed in operations at Harrison, and getting to know the hundreds of employees who keep the medical group ticking.

Schultz has pulled a few management tricks out of his bag to acclimate himself.

He uses different entrances each day so he can expose himself to all the hospital wings, meets with managers in their offices instead of summoning them to his, and spends time mingling with staff in the hallways.

“Those little things can make a big difference,” he said.

While the Silverdale construction project looms on the horizon, Schultz said the board made his first priority clear.

“Quality, first and foremost,” he said.

“Making sure we’re taking exceptional care of our patients.”

As Harrison solidifies its top executive post, its chief operating officer position remains in flux. Former COO Adar Palis left Harrison abruptly this fall, after a decade with the organization. He officially resigned Dec. 4, according to a statement from Harrison.

Last week MultiCare Health System announced it had appointed Palis as a new chief operating officer for Tacoma General Hospital. His first day will be Jan. 12.

In the statement, Harrison representatives wished Palis well and declined to answer further questions on his resignation.

“We thank Adar for his years of service to our organization and wish him much success as he departs to pursue other interests,” the statement read.

The chief operating officer position at Harrison will remain open until Schultz can evaluate the organization’s needs.

• Tad Sooter is a business reporter for the Kitsap Sun and contributes to the Kitsap Peninsula Business Journal.

business briefs Meetings will update public on plans for high-speed ferry service to Seattle Kitsap Transit executive director John Clauson will provide an update on the cross-sound passenger-only ferry project during a series of upcoming community meetings. Outside of that, people can share ideas and ask questions about anything they want.

The meeting schedule is: Jan. 10: 9 a.m. at Kitsap Transit Harborside Conference Room, 60 Washington Ave., Suite 200; 11:30 a.m. at Bainbridge Island Fire Station No. 21, 8895 Madison Ave. NE; 2:30 p.m. at Kingston Library, 11212 Hwy. 104.

Jan. 17: 9:30 a.m. at Silverdale Community Center Evergreen Room, 9729 Silverdale Way NW; 11:30 a.m. at Poulsbo Fire Department, 911 NE Liberty Road; 2:30 p.m. at Port Orchard City Hall council chambers, 216 Prospect St.

Settlement deal prevents sale of Tim Ryan-owned building in Bremerton A last-minute agreement rescued an office building at Sixth Street and Pacific Avenue from a foreclosure sale in December.

Tim Ryan Properties and members of the Ryan family signed a settlement with Union Bank on Dec. 22, to prevent the sale of the Sixth and Pacific building, ac-

cording to a lawyer involved in the case.

The building was scheduled to be sold in a sheriff’s sale Dec. 26.

Roger Sherrard, an attorney representing the estate of Shirley Ryan, said the agreement keeps the property in the possession of Tim Ryan Properties. He declined to give more details but said the settlement will clear up the legal issues

surrounding the property.

Union Bank twice tried to force the sale of the Sixth and Pacific building to recover money owed on a $9 million loan. The loan was made by Frontier Bank to Tim Ryan Properties in 2007. Union Bank inherited the loan after regulators closed Frontier Bank.

The property nearly sold in a foreclosure sale in 2012 before Union Bank pulled it off the auction block, citing continued negotiations with Tim Ryan Properties. The bank filed a lawsuit against the company in March 2013 and was awarded a $10.77 million judgment in February 2014.

The four-story Sixth and Pacific building was initially scheduled to be sold in a sheriff’s sale in November and later postponed to Dec. 26.

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Business openings

New spot suits baker of countless cakes and donuts

photos by MEEGAN M. REID

Nostalgia House Bakery and Deli owner Lois Sietman prepares dill chicken salad while visiting with regular customer Ken Lewallen on Dec. 23, a few days after the bakery opened in its new location in the Westbay Center in Port Orchard.

Nostalgia House Bakery and Deli moves into larger, more visible location

By Tim Kelly KPBJ editor Nostalgia House Bakery and Deli is no longer tucked away on the back side of a small parking lot behind a bar.

The transition was more challenging — and more expensive — than owner Lois Sietman anticipated, but she got her family business open just before Christmas in a larger, more visible location in Port Orchard.

Sietman’s a 33-year veteran of the food industry, and she may have created more donuts in Kitsap County than any other baker since she started at the once-iconic Milt’s Donuts in Bremerton.

Back then Milt’s kept the Puget Sound Naval Shipyard and the Navy bases at Bangor and Keyport supplied with donuts.

“We used to do 200 to 300 dozen raised donuts a day, and 100 to 150 dozen cake donuts a day,” Sietman recalled. “We did massive amounts for the three military installations, and that’s where I got my start in donuts.”

She also spent a long time over two stints as bakery manager at Ralph’s Red Apple grocery store in Bremerton; she and her daughter operated one of the big-

Teresa Ehrhardt, who helps her mother, Lois Sietman, at Nostalgia House Bakery and Deli, displays a tray of fresh donuts.

gest food booths at the former Bremerton Sunday market for several years; and for more than eight years Sietman commuted to work in Seattle at the Washington State Convention Center, working her way up to executive pastry chef.

The longtime baker and cake decora-

tor has lived in Kitsap County most of her life, though she opened her first incarnation of Nostalgia House in Spokane, when she and her husband moved back to her hometown for awhile in the early 1990s.

Sietman and her daughter, Teresa Ehrhardt, restarted the family bakery in

Port Orchard two years ago when they took over the former Dippity Donuts, located in a small building in back of the Red Dog Saloon that sits at the intersection of Mile Hill Drive and Retsil Road.

It wasn’t a very visible location for a retail bakery, but at the time it was a good opportunity to take over a turnkey operation and get back into running her own business.

They moved nostalgia to their new house 1,800-square-foot space in the WestWHAT: Bakery bay Center at Bay and deli serving Street and Bethbreakfast and lunch, el Road to have and specializing in a larger kitchen custom-decorated for Sietman and cakes more table space WHERE: Westbay for serving breakCenter, 1341 Bay St. fast and lunch, in Port Orchard and to be easier HOURS: 6 a.m. to for customers to 3:30 p.m. Tuesdayfind.

Friday, 7 a.m. to 2 “The space p.m. Saturday-Sunday, was just not big closed Mondays enough for us anymore.

We INFO: 360-443-2977 couldn’t expand at all where we were,” Sietman said. “We didn’t have room for another refrigerated case. The kitchen was so tiny I was cooking on a two-burner hot plate, and now I have a real stove.”

Their previous location felt cramped because it was divided into different rooms.

The new location is one large, airy room with a high ceiling, freshly painted white walls and large storefront windows.

“One of the things that we really liked about this is we wanted the open concept.

We wanted people to be able to see what we are doing,” said Sietman, a gregarious baker who likes to interact with her regulars as she works.

Nostalgia House now has “a homey feel,” Ehrhardt said. “It’s us, it’s not taking over someone else’s prestarted business.”

They had been looking at an even larger vacant space next to Dollar Tree in the shopping center on Bethel Road by the Mile Hill Drive roundabout. Sietman said it would have cost more to lease, but they figured that would be offset by the increase in business from having their bakery on a busy street.

However, she said the property owner would only lease the space to “a regional or national tenant.”

She’s happy to have wound up in the Westbay Center, although there was a lot more stress than she bargained for in getting the new place opened. Most of it had to do with completing work and scheduling required inspections for the various permits they needed to open their new business location.

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business openings

Chiropractor partners launch multifaceted wellness center

By Tim Kelly KPBJ editor A quartet of chiropractors has opened Silverdale Wellness Center in the new Creek View Office Park on Ridgetop Boulevard.

It was a short move for the four doctors from their shared space in the 3100 Bucklin Hill Building to the first floor of Creek View, the 14,-000 square-foot building built by Sound West Group. Each maintains a separate chiropractic practice, but they are also partners in the new wellness center that includes other practitioners and services — massage therapy, pain management, thermography for diagnostic imaging, and a weight-loss clinic.

“We were looking to expand,” said Sean Joseph, one of the chiropractors. “We had the pain management practice that has been two years in the making that we wanted to find a home for. With four chiropractors it was getting pretty tight in the space that we were in.”

The other three at the center are Tony Lane, Joe Christman and Bradley Franklin.

Joseph and Christman operate Pain Solutions, a separate practice that will include an anesthesiologist, Matthew Marcuson, as an interventional pain management specialist.

Christman said the expanded space they have at Creek View also will allow him and Joseph to bring their weight-loss practice under the same roof. It had been in an office next door to the chiropractic clinic before the move.

“That practice has done exceptionally well,” Joseph said. “In fact, it got so big it needed its own suite, and so it moved out of our office. We just never had the room to bring it all together.”

He said opening the wellness center in a new building where they have twice as much space “was ultimately to create that one-stop shop that takes care of everybody’s wellness.”

Ideal Health Center, their weight-loss practice, is a stand-alone entity in the

groovey burger WHAT: New restaurant featuring gourmet burgers and retro ambiance WHERE: 9601 Mickelberry Road, Silverdale HOURS: Starting Jan. 6, regular hours will be 9 a.m. to 9 p.m. seven days a week (subject to adjustment) INFO: 360-710-7708 or grooveyburger.com

submitted photo

Chiropractors (back row, left to right) Sean Joseph, Tony Lane, Bradley Franklin and Joe Christman are shown with their staff. The chiropractors opened Silverdale Wellness Center on Dec. 29 in the new Creek View Office Park in Silverdale.

silverdale wellness center • Creek View Office Park, 9220 Ridgetop Blvd.

• In addition to chiropractic care, the center includes massage therapy, a pain management clinic, thermography for diagnostic imaging, and a weight-loss program.

• Info: 360-308-0930 or www.silverdalewellness center.com.

wellness center and primarily serves a different clientele.

“In the weight loss program, probably over 90 percent of them are not our (chiropractic) patients,” Christman said.

The program utilizes Ideal Protein meals in a medically designed protocol originally developed in France by a doctor who specialized in treating obesity and related health issues. The chiropractors explained that the Ideal Protein regimen is a healthy and lasting way to lose weight because dieters burn stored fat for the body’s energy needs, while sustaining lean muscle mass.

“The last time I checked, it was still the only program that has FDA approval to say it’s 100 percent fat-burning and muscle-sparing,” Christman said.

There will be two massage therapists at the new location who will be independent practitioners, not Silverdale Wellness Center employees.

The one new service the four chiropractors are bringing to their wellness center is thermography. It’s a non-invasive screening procedure that uses heat detection, and is used in breast cancer detection and to diagnose musculoskeletal problems.

It’s not a typical arrangement to have four separate chiropractic practices sharing a clinic; a solo practice may have associates, other chiropractors who are employees.

“Most are solo offices or two practitioners,” Lane said. “It’s not that common to see more than two in an office; that just doesn’t happen that often.”

It works for the four in Silverdale, they said, because they have complementary training and backgrounds and work well together.

Lane is the senior member, having practiced in Silverdale for 22 years, half of that time sharing an office with Christman, a lifelong Kitsap resident. Joseph is a Canadian who joined them four years ago after completing his training in Chicago.

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Burger joint will get diners in the groove

By Tim Kelly KPBJ editor New Year’s Eve was supposed to be showtime for Navdeep Maju and his crew at Groovey Burger.

That’s when the entrepreneur who’s an entertainer at heart planned to raise the curtain on his new joint, where customers can expect servers performing retro songand-dance numbers to go with burgers that will be anything but bland.

“My main thing is people being enter-

tained; I like people to smile,” Maju said during an interview two weeks before the scheduled opening of his Silverdale restaurant.

The opening had to be postponed to Jan. 6, according to a post on the restaurant’s Facebook page a few hours before the planned opening time on Dec. 31.

Maju is bringing the same creativity to the menu and atmosphere at Groovey Burger that inspires his independent filmmaking, an avocation he pursues through his own video arts company, Navi Nav

Production. His undated profile on Pinterest says “I like making movies, and being an entrepreneur.” He wrote, directed and acted in his latest short film, “A Shattered Life,” and he’s trying to arrange a local premiere on Valentine’s Day. The restaurant venture may be a way for Maju — who turned 31 on New Year’s Day — to get his groove back after a year that certainly had some challenges.

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groov ey | f rom 2 4

that the Bremerton business had been using unlicensed and uninsured drivers, which led to the city’s new taxi regulations.

He said he sold Royal Taxi in May, and blamed most of the problems in the business on a couple managers he hired who were “incompetent.”

His father started the business and got him to take it over a few years ago, even though, Maju said, “I never liked it; it was too much of a headache.”

Maju, who was born in India and moved with his family to Bremerton when he was 6, also has worked previously as a real estate agent, and has helped his parents run another family business, the RK Mart in Bremerton’s Manette neighborhood.

The store was an occasional testing lab for Maju’s burger experiments the past few months, and he also set up a Groovey Burger booth at a three-day festival in Tacoma.

“We had a burger trial there, and everybody loved the food,” he said. “I’ve done a lot of experimentation, with a lot of different flavors and ideas that come to me.”

Some concoctions didn’t make the final list, but his restaurant will feature choices such as the Groovey Garlic Burger, the Ginger Spice Burger and the Monster Burger, topped with mushrooms, jalapeños, bacon, onions, tomatoes and more.

“So every flavor in there has like a kick to it,” said Maju, who has no previous restaurant experience other than a youthful stint at Taco Bell, although the father of

Nav Maju is owner of Groovey Burger, a new restaurant he planned to open on New Year’s Eve in Silverdale. However, the opening was delayed until Jan. 6.

LARRY STEAGALL

three has always enjoyed cooking as another creative hobby.

“I used to make a lot of different things for my family,” he said. “So it’s just figuring out the flavors, what goes with what, and what enhances the taste.”

He will be doing much of the cooking himself at the restaurant, which is opening in the former site of a Quizno’s Subs in

business briefs L&I offers workshop for construction employers about fall protection The Department of Labor & Industries is offering an informative workshop for construction employers about fall protection. The workshop will be held Feb. 4 in Bremerton, from 9 a.m. to noon at the L&I office at 500 Pacific Ave., in the fifth-floor conference room.

For planning purposes, online registra-

tion is required and is available by calling 800-574-2829 or visiting the website www. lni.wa.gov. Be sure to reference workshop number: 3-43-0008.

This workshop is designed for employers in the construction industry and covers new and updated definitions, general requirements, fall protection regardless of height, as well as fall protection from 4 feet and 10 feet and Fall Arrest and Restraint and Positions systems.

For more information, call 1-800-5742829.

Mariner Square on Mickelberry Road.

Groovey Burger will have seating for 40 people in a diner-style setup of tables, booths and a few counter stools. There won’t be any beer or wine available, but Maju said he plans to apply for a liquor license.

The retro vibe will flow from songs customers play on the jukebox — a tablet

computer loaded with oldies. Whatever favorites diners pick will cue the staff to sing and dance along, and impromptu customer participation will be encouraged as well.

Maju just wants everybody to get in the groove, the way he does when he’s listening to music while making his burgers. That’s actually what the restaurant’s name came from, not the ‘60s colloquialism “groovy” (although the jukebox might include ‘60s pop hits like “Groovy Kind of Love” or “Feelin’ Groovy.”)

“The music’s always in my head when I’m making a burger, or making any kind of food,” he said. “I was like ‘I’m makin’ a burger and I’m groovin’ to it, I’ll call it Groovey Burger.’”

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business strategy | Dan weedin

Are you ready to make the most of 2015?

“Are you ready?”

T

his might be the most asked question known to man. Consider these examples of when that phrase is used …

Are you ready for dinner? Are you ready to go to the game? Are you ready for the sales call? Are you ready to present to the board? Are you ready to go yet? Are you ready for the test? Are you ready for some football?

Are you ready for 2015?

As we embark on another calendar year, it becomes the appointed time to review and assess the good, the bad, and the great (let’s avoid the ugly) of 2014. It’s also a time to strategize, resolve, plan, prepare and implement for a successful new year.

Last month, I discussed sprinting to the finish line in December and being ready to bolt out of the blocks in January. And there is that word again – ready.

Just exactly what are you ready to accomplish? What evidence do you have that you actually are ready? While many business leaders and professionals are eager to proclaim their state of readiness, my experience tells me that there is still work to be done to back up that assertion.

To help you assess your current state of readiness, answer these questions truthfully about yourself and your business.

Then read on about how to fix whatever might be lacking.

1. Do you have a marketing plan in place? Notice that I wrote marketing plan,

not business plan. The worst thing about a business plan is that you might actually hit it. A marketing plan is a strategy that involves implementation of daily, weekly and monthly activities and behaviors meant to produce results. For example, don’t say that you want to reach $1,000,000 in new sales. Instead, create a marketing plan that includes asking for one referral every day. Over the course of the year, you will have asked for over 250 introductions. Even if you were only successful in half of them (a very conservative number), you would gain 125 new clients. Depending on the size of your average client, you might far exceed your “business goal.”

2. Are you ready to learn? One of the common mistakes I see business leaders, executives and professionals make is foregoing their own professional development.

The excuses range from the cost, the time or the perceived need.

Here’s the deal — once you stop learning, you start regressing. Everyone can continue to grow and develop talent and skills — from the CEO to the receptionist. Identify areas of professional growth that you can focus on in 2015 — leadership, presentations, communications, time management, strategic thinking and workflow efficiency, to name a few.

3. Do you have a plan to improve your culture? This applies to business owners, managers and supervisors. What are you prepared to do in 2015 that will ameliorate the culture of your team? Can you offer trainings in team dynamics and collaboration? Can you find ways to make the work-

SCORE mentoring | ken sethney

Is it a good idea to take on a business partner?

A

re two heads always better than one? When it comes to taking on a partner to start or grow a small business, there’s no right or wrong answer.

Partners can complement each other’s management skills and bring benefits such as special expertise and client relationships.

As with any relationship, there are trade-offs that must be carefully considered before deciding whether adding a partner is a wise move, and then you have to find the right person for the role.

If it sounds a bit like marriage, you’re not far off. Having the right partner can be a terrific advantage for a business.

Making the partnership successful takes as much energy, effort, and positive feel-

ings for one another as it does to make a marriage work.

There are several important things to consider before choosing a partner and entering into a business partnership.

• Define your objectives. From the beginning, the partners need to be certain they share the same personal and financial goals and have comparable expectations for what the partnership will accomplish.

• Define your roles. Each partner’s roles and responsibilities should supplement and enhance the other’s, but not overlap.

In other words, don’t get in each other’s way. Respect each other’s skills and abilities, but do your own job.

• Share financial obligations and rewards. Be clear with each other about your financial obligations and how the rewards (i.e., the profit and owners’ equity) see partner | 28

day lighter and more fun? How about professional development for your team to improve their skills and self-confidence? Peter Drucker once quipped “Culture eats strategy for breakfast.” What are you ready to do to make breakfast a more balanced and nutritious “meal” for your business?

4. Are you protecting your most valuable assets? I’m referring to your business property and financial strength. You may have purchased insurance to protect your business, but now ask yourself these questions? How do you know your insurance is right (not cheap)? Have you ever tested it? What preventive measures do you have in place to avoid calamity in the first place? What contingent measures do you make use of to mitigate things out of your control? Are your policies and procedures updated? Is your technology adequately backed up? Do you have a written and communicated crisis plan, including topics like evacuation and business continuation? Not every business that ended up on CNN last year due to a catastrophe had that listed in their business goals!

5. Do you have a place to turn to for help?

Whom do you use (other than your spouse or dog) when you need fast and trusted advice? Do you have a coach or mentor, an accountability partner, or a mastermind group? Face it; you can’t be brilliant

by yourself. Have the humility and courage to seek out professional advisors to help you in both good and bad times. The best athletes in the world utilize a myriad of coaches. You should, too.

6. How’s your life? You don’t have a professional life and a personal life. You have a life. Don’t kid yourself; your “personal life” will always encroach on what you do at work. Do you have a plan to enhance your personal relationships? Are you prepared to jettison activities and/or commitments that are distracting and keeping you from focusing on success? Is your work-life balance “balanced?”

7. Are you ready to have fun? Life’s too short to waste it on misery, drudgery or tediousness. Be in a vocation that you have a passion for because there will be crises during the year. You will need to love and believe in what you’re doing to carry you through. Plus, it’s just plain more fun.

Bottom line — A new year offers a time to pause and take stock; dream a little; and attack the world with a fresh perspective and approach. To do that, you need to be prepared to answer affirmatively to the question I posed at the start.

Are you ready?

• Dan Weedin is a strategist, speaker, author and executive coach. He helps business leaders and executives to become stronger leaders, grow their businesses, and enrich their lives. You can reach him at 360-697-1058; e-mail at dan@dan weedin.com or visit his web site at www.

DanWeedin.com.

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helpful in working with her, but Sietman said it was a frustrating process because “the way the system is set up, when you’re opening a business, it’s hard to know everything you have to get done. And they don’t even know everything you have to get done until they look it up.”

Part of the problem was trying to get everything done quickly so the bakery, which shut down at the old location after Thanksgiving, wouldn’t be closed long for the move. Sietman conceded she should have applied for the permits sooner.

“We got to the point where because we were so late in opening, we were out of money,” she said, noting that relocation expenses were considerably more than anticipated.

The last straw was when she found out she’d need a $250 permit to modify the fire suppression system, but the frazzled baker was relieved when a compromise was worked out to issue Nostalgia House a temporary certificate of occupancy.

“I really commend the city and fire department for helping us out, but it was a mess” figuring out all the permit requirements, she said.

The new place will be a work in progress for awhile, but Sietman and Ehrhardt have resumed their complementary roles. The kitchen is mom’s domain, while the daughter — who’s worked with her mother off and on since she was in junior high — runs the front of the shop and manages other business functions.

“I like the customer service aspect of it,” Ehrhardt said, “not so much the w el l n e s s | f rom 2 4

Olympic High School grad who came back to the area after finishing his chiropractic education in 2009.

The new Creek View building is on a site they had considered before, when Lane and Christman were looking to move several years ago and met Mike Brown, who owns FPH Construction and is a principal in Sound West Group.

Things didn’t work out at the time, but Christman said they reconnected with Brown while looking for a location for the pain management practice, and the plan came together for the wellness center to be the main tenant when Sound West Group built the Creek View facil-

Courtesy photo

A peacock cake Lois Sietman created for the bridal shower of a friend’s daughter.

“I got all of (my mother’s) cake decorating stuff, and I just started playing around with it. And then over the years ...

I found that I really liked doing it.”

Lois Sietman cooking and baking.”

That’s a contrast with Sietman, who ity on the undeveloped lot.

The wellness center leases about 4,000 square feet and shares a reception area with Maughan Prosthetic and Orthotic, which occupies the rest of the first floor.

The building (originally scheduled for completion in August) has an underground parking garage and an additional 5,300 square feet of office space for lease on the second floor. The site has entrances on Ridgetop and on Blaine Avenue.

The fact that the chiropractors are launching their wellness center at the same time Harrison Medical Center is proceeding with plans to build a new hospital on its nearby Silverdale campus is “a fortunate coincidence,” Lane said.

was drawn in childhood to what her mother did.

“She was a cake decorator; I grew up watching her decorate cakes,” she said.

Although her mother died when Sietman was 6, the youngster’s interest in cakes had been sparked. “I got all of her cake decorating stuff, and I just started playing around with it. And then over the years ... I found that I really liked doing it.”

As a bakery owner, Sietman also is doing something her mother dreamed of doing. She recalled driving by a donut shop in Spokane with her dad, “and he said she always wanted to buy that little donut shop and have her own bakery.”

Sentiment aside, the bakery business is how Sietman has been the breadwinner for her family. A self-described “workaholic,” her baker’s hours are long — she comes in most days about 1 a.m. and stays through the afternoon.

On Mondays when Nostalgia House is closed, she and her husband go shopping for supplies, and she may come in to do some cake decorating.

She figures she’s made enough donuts in her life, and as the bakery grows into its new location, “We’re hoping that we get enough business we can hire somebody full time to do donuts, because it’s not my favorite thing,” she said. “I love doing the cakes.”

With a five-year lease, Sietman, 57, hopes to settle in at her bakery’s new home for the long haul.

“I hope so,” she said. “The only thing that would make us move is if we need a bigger space again. I think we can really make this one work for us.”

“Health care is centralizing to the Silverdale area in a big way, and it’s going to continue to accelerate the next couple of years,” he said.

Joseph said they’re excited about the impact their venture will have on the continuing growth of the community.

“This is going to be something different that Kitsap County has never seen before, especially having all of this in one location,” he said. “We’re really excited to introduce it to everybody.”

As part of that introduction in the first couple months of the new year, the wellness center will host a grand opening as well as other community events such as a Silverdale Greendrinks gathering.

pa rt n er | f rom 27

from the partnership will be shared.

• Sign a written partnership agreement. This is absolutely essential. Every partnership should be based on a well-written partnership agreement, prepared by an attorney with a great deal of experience in business law. It will be worth every dollar you spend to have it prepared.

• Share decision-making. Partners need to agree on all major decisions affecting the business, particularly those involving large investments of capital, changes in strategic focus, key management hires, and more. Decide in advance how you will make these decisions and know you will benefit by having more than one perspective.

• Understand that unhappiness happens.

Any relationship between two people is bound to produce a bit of friction and sometimes anger. More often than not, they are caused by miscommunication or misunderstanding. The sooner they are brought out in the open and discussed, the less likely they will lead to a major “blow-up.”

• Provide an “escape hatch.” Every good partnership agreement contains a “buy/sell” provision in case the partnership doesn’t work out, or one of the partners needs to withdraw from the business for any reason.

When there are disagreements, knowing the consequences of not reaching an agreement is often all it takes to help partners find a reasonable compromise.

My first business was a four-way partnership that included an angel investor. Before the investor wrote his check, and the four of us got down to business, we hired an experienced business attorney to write our partnership agreement. He asked a lot of questions and we talked among ourselves until we had the answers.

We agreed on our roles, our financial obligations and potential rewards. When the time came to dissolve the partnership, everything we had to do was right there in the agreement.

• Ken Sethney is a volunteer business mentor and branch manager with Kitsap SCORE. He is a former ad agency creative director and marketing coach who worked with the owners of midsize companies throughout the U.S. Contact Ken via email at ken.sethney@scorevolunteer.org.

For more help with valuing your small business, contact SCORE — Mentors to America’s Small Business. SCORE is a nonprofit organization with more than 12,000 volunteers who provide free, confidential business mentoring and training workshops to small business owners. To contact Kitsap SCORE, email kitsap@scorevolunteer.org, call 360-328-1380 or visit kitsapscore. org.

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Business just down the street to buy Courtesy Ford site

By Tim Kelly KPBJ editor The vacant building that was formerly the Courtesy Ford dealership showroom and service center in Poulsbo will be the new location for American Building and Roofing, a wholesale building supplies company that has been leasing property nearby on Viking Avenue for several years.

A sale appears imminent for the 3.4-acre site and its 40,000-square-foot building, the last piece of the prominent location where John Hern operated his Courtesy Auto Group dealerships for three decades. The receiver for the foreclosed property at 20081 Viking Avenue NW has recommended court approval for selling it for just under $2 million to Christopher and Laurie Morgan.

Christopher Morgan is the son of Dave Morgan, who owns American Building and Roofing (ABR), although Christopher is not involved in the family-run company that has seven stores and is based in Snohomish. The younger Morgan is an Air Force Reserve pilot who’s been stationed at Hill Air Force Base in Utah for 10 years.

The sale of the property is expected to close by mid-January and Dave Morgan, who retired from running the company about 15 years ago, told the

Kitsap Peninsula Business Journal that ABR plans to move its Poulsbo business to the site. It will lease about one-third of the location, and the rest will be leased to other businesses.

Morgan said his company had wanted to buy the property that’s been ABR’s location since the company expanded to Poulsbo about six years ago, when it acquired a local roofing business. He said the other six ABR locations are owned by the company or family members.

“The landlord wouldn’t sell it to us,” he said. “So we’re going to leave that location and move to the new facility.”

Morgan said his company has 18 months left on its current lease, but he’s working with the property owners, Roger and Steve Stanford, to find a replacement tenant so ABR can move to the Courtesy site as soon as possible.

“Where we’re moving to would just about handle everything we have now in outside storage; it would go inside the new building” once some renovations are done, he said.

As for the rest of the former car lot site, Morgan said he and Dave Pruitte, a former ABR employee in Poulsbo who will manage the property for the Morgans, will be recruiting and selecting the other tenants. No leases can be signed until after the sale of the

property is complete, but Morgan said prospective tenants interested in the site include a tasting room/restaurant, a hair salon, medical offices and a beverage company.

“We have seen a gradual improvement in the Poulsbo business climate and hope to provide incentives to tenants to utilize this prime piece of commercial real estate,” Morgan said.

According to Kitsap County Superior Court records, the court-appointed receiver for the Hern properties entered into a purchase and sale agreement in October with the David W. Morgan and Wendy J. Morgan Trust.

On Nov. 20, the trust assigned its purchase rights under the agreement to Christopher and Laurie Morgan, court records show.

Dave Morgan said the purchase arrangement was part of the family’s estate planning.

Union Bank, the sole lienholder on the property, has consented to the sale of the property, which has been on the market for more than two years.

The old Courtesy Ford site is the last piece of the foreclosed property to be sold. Since Hern’s auto dealerships went out of business, other parcels have been sold for a John Deere dealership (which bought the part of the property it had previously been leasing), an auto body shop, and a smoke shop.

Front Street’s new building finally opens Boomer’s Pet Boutique has relocated down the block and is now open in a new building on Front Street in downtown Poulsbo. The old building in that space was torn out nearly two years ago.

Boomer’s owners Jim and Erika Cecil have not yet said what retail tenants will occupy the second floor of their building.

photos by larry steagall

The former Courtesty Ford site (top photo) on Viking Avenue in Poulsbo will be the new home of American Building & Roofing (above), which has been leasing property just down the street for several years. The owner of American Building & Roofing has arranged a purchase of the 3.4-acre Courtesy site for $1.975 million. The wholesale building supplies company will occupy part of the site, and the rest will be leased to other tenants.

Craig Steinlicht of ReMax Victory in Silverdale, the real estate agent for the receiver, said one other Poulsbo property formerly owned by the Herns is still on the market. It’s a 13-acre un-

developed site on 10th Avenue near Central Market, and Steinlicht said Hern had purchased the property in 2009 with plans to subdivide it into office or retail pads.

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business openings

Clothing store’s fashion options, name may turn heads out her mom as partner.

“We do everything together,” she said.

“We’re more like best friends than mom and daughter.”

Their only previous retail experience was a convenience store Sharon owned in the 1970s by Big Bear Lake in Southern California.

To prepare for opening Bitch’s Britch’s, Vanleuven took a one-day class in Seattle with the SCORE business mentoring

photos by tim kelly

Marlene VanLeuven, right, and her mother, Sharon Duncan, opened the Bitch’s Britch’s clothing and accessories store in December at the Westbay Center in Port Orchard.

By Tim Kelly KPBJ editor You might be curious why a middle-aged woman and her mother chose the name they did for their new store.

It’s called Bitch’s Britch’s.

There’s no funny family story behind the name, and it wasn’t a consultant’s branding recommendation.

Marlene VanLeuven said it just popped into her head one day.

“And everybody said no, no, no,” Sharon Duncan said of her daughter’s idea, but the younger partner in the business venture wouldn’t be dissuaded.

“I persisted,” Vanleuven said.

So the sign went up for Bitch’s Britch’s, their clothing and accessories store that opened two weeks before Christmas in the Westbay Center, by the intersection of Bethel Road and Bay Street in Port Orchard.

“It’s something that’s going to get people’s attention,” Duncan said. “I have a hard time saying it when I have to answer the telephone.”

Vanleuven, 52, thought the name was amusing, and “we haven’t had anybody not like it,” she said.

Their business model is also unique.

The store has a mix of new and used apparel and accessories, but the used clothing is not sold on consignment. Vanleuven and her mother have searched many clearance sales and other sources (including their own closets), both online and in person to amass their inventory. They also will consider buying used items that customers bring in, as long as the clothing is in good condition and carries a fashionable label.

Vanleuven said she was inspired on a visit to Plato’s Closet, a national chain of

resale stores offering gently used, brandname clothing for both genders at prices well below the retail cost.

“I buy a lot of (new and used) stuff online,” she said. “I just got a bunch of new men’s Fila shoes.”

Vanleuven hopes her clothing store in Port Orchard will appeal to younger shoppers by providing an alternative to going to the Kitsap Mall or Seattle to find upscale brands, and at affordable prices.

“The juniors who can’t afford to go to Buckle and buy new Miss Me jeans or Rock Revival, will be able to come here; maybe it’s not new, but they’ll be able to have the same things for less than half (price),” she said. “We have lot of the good brands. I just bought a bunch of True Religion.”

She gets recommendations from her 30-year-old niece. “She’s a hairdresser, so she knows all that kind of stuff.”

Free People is a hip women’s brand that Vanleuven describes as “kind of bohemian.”

“Then she got a bunch of Betsy Johnson stuff, cute little dresses and stuff,” Duncan said.

“That’s what I’m hoping the girls will love for prom,” Vanleuven added.

She and her mother work well together (they also live together near Manchester with Vanleuven’s two children), and the daughter said she couldn’t conceive undertaking such a business venture with-

group, and got some tips for setting up her store from a local SCORE mentor, Dick Larkin.

What the two women spent the most time on — and had the most fun doing — was shopping trips over the past year or so to gather all the clothing and other items (Coach purses? They’ve got some) now on display at their store.

“We are shopaholics, OK?” Duncan says with a laugh. “So this was not hard.”

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Bremerton artist closing Pyrex Museum, revamping her gallery

By Josh Farley KPBJ contributor Bremerton’s Pyrex Museum is closing down.

Don’t use those words with Amy Burnett, the longtime Bremerton artist who curated the quirky homage to kitchenware at her gallery on Fourth Street. She said the shuttering is a “reinvention,” turning the space into a retail store selling midcentury kitchen items, and primarily consisting of — you guessed it — Pyrex.

She said it was just time for the peculiar museum — which ran for a decade in a tidy space inside Burnett’s gallery — to come to an end. And she joked she didn’t want to end up stuck with 1,400 pieces of Pyrex.

The move is a part of a long-term winding down for Burnett, who will turn 70 this year. She said she plans to sell the 15,000-square-foot building at Fourth and Pacific Avenue that houses her gallery,

book. Burnett has for two years produced the “Amy Pyrex People Reality Show,” which is broadcast every Thursday on BKAT, Bremerton’s public access television.

But she is frank in saying the museum probably got too big.

“It has outgrown itself,” she said, “and is taking over the gallery.”

She has no plans to turn the museum over to someone else.

She admits it’s not a profitable undertaking and doesn’t want the collection to land in someLARRY STEAGALL one’s garage.

Artist Amy Burnett’s Pyrex Museum on Fourth Street “It would be impossible” for and Pacific Avenue in Bremerton is closing. someone to have it, Burnett said. “No one could afford to do what I Purpose Boutique, Gift Shop Alley and did.”

All Ribboned Out. Burnett said those who donated Pyrex Burnett said the museum, along with can come get it back from her gallery. her gallery, drew thousands of people evOther parts of the collection will be ery year. It has nearly 2,800 likes on Face-

merchandise in her new vintage kitchenware store, which will also contain her artwork.

“I’m going to make it really elegant,” she said. The new space will open in early February.

The Pyrex Museum was an unusual endeavor for Burnett, who said she “never had anything to do” with the branded kitchenware before finding a large collection on a trip to Montana. Once she decided to open space in her gallery, she said people came out of the woodwork, visiting from all over the world and donating new pieces.

As for her own career, Burnett said she’ll always work on her own craft, regardless of whether she has a storefront in downtown Bremerton.

“Artists never retire,” she said.

• Josh Farley is the Bremerton beat reporter for the Kitsap Sun and contributes to the Kitsap Peninsula Business Journal.

business Briefs Foundation accepting nominations for Kitsap philanthropy awards Kitsap Community Foundation (KCF) will present three philanthropy awards to individuals and businesses at the Kitsap County Celebration of Philanthropy in May. KCF is asking for the public’s assistance in finding the most deserving supporters of philanthropy in Kitsap County.

“We aren’t always aware of the most deserving individuals and businesses and are appreciative of the public’s help in identifying worthy nominees,” executive director Kol Medina said.

The foundation has been giving these awards annually since 2001 at the Celebration of Philanthropy, which will be May 15 at the Kitsap Convention Center in Bremerton.

KCF is accepting nominations for the following awards: Spirit of Philanthropy Award — presented as the C. Keith Birkenfeld Humanitarian Award. The recipient of this award receives $25,000 from the Birkenfeld Trust at The Seattle Foundation to give to local nonprofits of his or her choice. This award honors an individual, couple or family who exhibit a deep commitment and heartfelt dedication to philanthropy.

Outstanding Citizen Award — This award honors a Kitsap County resident who has a proven history of giving generously of his or her time to local nonprofit organizations or directly to people in need or to activities that benefit our community. In short, this award honors an outstanding volunteer Business Making a Difference Award — This award honors a for-profit business in Kitsap County that has a proven track record of making a positive difference in our

community. The business that receives this award must be a Kitsap-based business.

For more information on the Kitsap Community Foundation or the nomination process, go to www.kitsapfoundation. org and click on the “Kitsap Philanthropy Awards Nomination” link near the bottom of the page.

All completed nomination forms and supporting materials should be emailed or mailed to Kol Medina at kol@kitsapfoundation.org or P.O. Box 3670, Silverdale, WA 98383. Nominations will be accepted until Jan. 15, and previous award winners are not eligible. If you have any questions, call Medina 360-698-3622.

Applications open for next Kitsap Leadership civic training program The Leadership Kitsap Foundation is now taking applications for the Class of 2016. The application deadline is April 15, 2015, for this intensive 10-month training program.

Leadership Kitsap is a good program for anyone interested in becoming more knowledgeable about the Kitsap area and learning how to make a positive impact in civic issues affecting local communities.

The mission of Leadership Kitsap is to educate, prepare and connect a new group of committed leaders for community involvement in Kitsap County.

The program’s vision is to create a community where there is a diverse network of effective leaders educated in public policy issues and committed to serving as stewards. Accordingly, its programs are designed to help participants acquire not only a fuller sense of the wide array of critical issues affecting the Kitsap community, but also the skills necessary to

motivate and engage others in collaborative efforts to resolve them.

An exciting piece of the curriculum is participating in a community project. To find out more about this community leadership program or to apply, visit www. leadershipkitsap.org. For general questions call executive director Kathy Nelson at 360-782-1058, or email exdir@leadershipkitsap.org.

Kitsap Community Foundation taking 2015 grant applications The Kitsap Community Foundation is accepting applications for its 2015 grant cycle.

Applications will be accepted online only until Jan. 26. More information, including directions on how to apply, can be found at www.kitsapfoundation.org.

The foundation is offering three different types of grants: community grants for any 501(c)(3) organization doing work in Kitsap County; grants for foster children and family reconciliation; and grants for youth mentoring.

During the month of March, the foundation will be posting a summary of each Community Grant Program application online and inviting the public to help fund the applications.

Grant decisions will be made by the end of April. Grant recipients will be given a ticket to attend the Kitsap Foundation Community’s Celebration of Philanthropy on May 15, when the grant awards will be announced.

The Competitive Grants Program favors investing in organizations that achieve measureable outcomes that have positive impacts in our community. For additional questions, contact Shaine Schramling,

funds and grants administrator, or Beverly Kincaid, the 2015 grant chairperson, by e-mail at grants@kitsapfoundation.org or call 360-698-6043.

County departments will change operating hours In response to requests from the public to provide more consistent hours at Kitsap County departmental offices on the Port Orchard campus, the county commissioners approved revised hours beginning Jan. 5.

The new hours of operation will be implemented in the three main buildings: the Kitsap County Administration Building (619 Division St.), the Courthouse (614 Division St.), and the Public Works building (507 Austin Ave.). The offices of the Auditor, Assessor, Treasurer and Commissioners, as well as the departments of Community Development and Administrative Services, are housed in the Administration Building. In addition to court services, the county’s Information Services and Sheriff’s Office are located in the courthouse. The Public Works building is the location of some Public Works offices, and the county’s Human Services and Human Resources departments.

The new hours more closely align with existing hours at the courthouse, 8 a.m. to 4:30 p.m. Monday through Friday. As the economy recovered, commissioners have continued to restore hours on the campus since they were scaled back in 2009 in response to staff and budget cutbacks during the recession. For 2015, commissioners approved a budget that allows the Treasurer’s Office to open all day on Fridays.

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business commentary | Don brunell

Is Boeing having second thoughts about moving HQ to Illinois?

I

n 2001, Boeing announced it would move its corporate headquarters from Seattle to Chicago. Today, you wonder if Boeing is having buyer’s remorse.

Illinois has become one of the nation’s most unfriendly states for business. According to the Illinois Policy Institute, 850,000 people have left the state over the past 15 years, headed for other states like Texas, Florida and neighboring Indiana. If you are bleeding one person every 10 minutes, something is deeply wrong with the way the state is being run.

For example, Forbes ranks Texas as the sixth-best place for business. Washington and Florida, states without an income tax, rank eighth and 19th. Indiana, a right-towork state, ranks 13th. Illinois is 40th.

Forbes rates Texas best for economic climate and growth prospects. DallasFort Worth — one of the cities Boeing considered before choosing Chicago — has among the lowest costs of doing business.

Chicago’s business costs rank among the highest.

Illinois is like Greece in one obvious way: it overpromised and under-delivered on pensions and has little appetite for dealing with the problem, says Hal Weitzman of the University of Chicago Booth School of Business.

In 2011, former Gov. Pat Quinn convinced fellow Democrats in the legislature to significantly raise taxes so the state could begin to dig itself out of its financial hole. They obliged, raising income and corporate taxes by 67 and 37 percent, respectively, on the promise there would be spending and pension reforms.

But when the unions for teachers and government employees pushed back, lawmakers adjourned in 2013 without passing a single reform. Two years of rancorous debate produced nothing — and they didn’t vote to give the people their taxes back. As a consequence, the typical Illinois family saw taxes increase $1,594 a year while watching pension costs rocket upward by $17 million a day.

Voters didn’t forget Quinn’s debacle and hou r s | f rom 3 4

including online services, electronic notifications and a consolidated call center, allowing the public access to many services 24 hours a day, seven days a week. The revised business hours further increase direct access to county services and provide the public with a higher level of customer services available during the week.

The new hours are as follows: Treasurer, commissioners offices, Administrative Services: 8 a.m. to 4:30 p.m.

last November they voted him out of office — a highly unusual move for a deep blue state that votes Democrat. In fact, every county except Cook County where Chicago is located went for Republican newcomer Bruce Rauner.

Rauner will take over a state with the highest number of public pension funds close to insolvency. One is Chicago’s police and firefighters’ fund. According to the Civic Federation, a budget watchdog, it has piled up a whopping $111 billion in unfunded pension liabilities, in addition to $56 billion in debt for health benefits for pensioners.

Today, Illinois is spending more of its general fund on pensions than on K-12 education. One in four tax dollars goes to pay for retired workers’ benefits. The financial crisis has gotten so bad that last year the state had to defer paying $7 billion owed to contractors.

The level of debt is staggering. According to a recent report by Statista Inc., Illinois residents owe $24,959 each as their share of the outstanding bonds, unfunded pension commitments and budget gaps the state has accumulated. The state’s Aminus bond rating is the worst of any state in the nation. Compare that to Washington, where our state’s per capita debt is $12,988 and our bond rating is AA+.

Michael Lucci, director of jobs and growth at the Illinois Policy Institute, notes that Illinois’ population drain accelerated following the 2011 state tax increase.

“We can’t ignore that high taxes play a major role in encouraging people to jump the border. If Illinois wants to stop the bleeding, it must abandon its tax-andspend policies and look at pro-growth reforms being implemented in other states.”

That’s good advice for Washington as well if we are going to keep Boeing and other companies from jumping ship.

• Don C. Brunell is a business analyst, writer and columnist. He is the former president of the Association of Washington Business, and now lives in Vancouver.

He can be contacted at theBrunells@msn. com.

Monday through Friday Assessor’s Office — 8 a.m. to 4:30 p.m.

Monday through Thursday , and 9 a.m. to 1 p.m. Friday Department of Community Development — 8 a.m. to 4 p.m. Monday through Thursday, and 9 a.m. to 1 p.m. Friday Public Works Building — Public Works, Human Resources, Human Services: 8 a.m. to 4:30 p.m. Monday through Friday Courthouse (hours remain the same) — 8 a.m. to 4:30 p.m. Monday through Friday.

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REGIONal ECONOMY | JOHN POWERS

CenturyLink Field and Kitsap County . . . both home to ‘big plays’ in 2014

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n Jan. 28 hundreds of community leaders from across Kitsap County will gather at the Kitsap Conference Center for our Economic Development Alliance’s Annual Economic Forecast — Decision Makers Breakfast.

Once again, we will be well informed and regaled by the esteemed economist John Mitchell, who will provide keen insights into our economic future via global, national, regional and local data and perspective. John’s forecast always includes a look ahead and at the past year to evaluate his most recent forecast – he is rarely off his marks. I invite you to join us on Jan. 28 — register at www.kitsapeda.org.

The “numbers” Mitchell will analyze relate primarily to the big data macroeconomic picture. This data is consistently valuable in informing both private-sector and public enterprises as they execute current operations and plan for the future.

This important macroeconomic forecasting data is an aggregation of microeconomic activity.

Microeconomic data is comprised of day-to-day local consumer, government and business decisions — decisions to spend, to save, to borrow, to invest, and to hire. Microeconomic decisions are often a reflection of overall consumer confidence, as well as the perceived business environment. Market conditions, workforce, capital, technology and growth opportunities influence “deal flow.” Deal flow in a growing economy can often lead to big deals — “big plays” in football parlance.

It is at the deal-flow level that our team of economic developers at KEDA operates.

We deliver one-on-one service to business clients helping them move their respective “football” down the field, through the market, and over the goal. Our work is a bit like Seahawks offensive coordinator Darrell Bevell’s presnap helmet mic time with Russell Wilson — helping the quarterback make the “big play.”

While fans sometimes lament that the Seahawks aren’t a big-play team, the NFL’s data tells a different story. Through Week 16, the Hawks ranked No. 1 in big plays in the league. A “big play” in the NFL is: “an unofficial statistical measurement that generates significant gains and

greatly impacts games, and includes passing plays netting 25-plus yards, as well as runs over 10 yards.” Big plays on the football field lead to wins; the same holds true when it comes to big plays in the field of economic development. This past year Kitsap County, like CenturyLink Field, has been home to some big plays. Here are a few worthy of the economic development highlight film for 2014: • Harrison Medial Center and Franciscan Health System merge and pursue plans to build a new $240 million facility in Silverdale (one of the top 10 real estate projects in the Seattle region); • Bainbridge Island-based Avalara secures $100 million venture investment from Warburg Pincus as it experiences record-high employment; • Port Madison Enterprises embarks on multimillion-dollar, 100,000-square-foot addition to Clearwater Resort; • CenterCal breaks ground on a $75 million retail center in Silverdale, while Starwood Retail undertakes multimillion-dollar renovation of Kitsap Mall, Safeway opens $20 million superstore in Poulsbo, and T&C Markets undertakes multimillion-dollar remake of Winslow store; • PSNS-IMF moves to hire thousands of additional workers and projects employment levels not seen since the Reagan administration; • Bremerton issues permits for over $50 million construction of 250 new multifamily units in city core; • General Dynamics NASSCO wins large multiyear contract with PSNS-IMF

federal contracting | steve shapro

Zeroing in on subcontracting opportunities

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ach year, Navy contracting offices award hundreds of millions of dollars in prime contracts for supplies, services and construction projects to be performed at Navy bases in Kitsap County. While most Kitsap businesses are not in a position to perform as a prime contractor on one of these multi-million dollar efforts, many have the knowhow, capacity and capability to be suppliers and subcontractors. The challenge is identifying those opportunities.

Fortunately, the Navy helps out by requiring the prime contractors to provide maximum practicable participation by small businesses. On larger contracts, the prime contractors must develop plans that spell out the dollars they will subcontract with small businesses. These subcontracting plans typically identify the supplies or services that will be subcontracted, and the names of the small businesses that will provide them. The Navy evaluates these subcontracting plans as part of the contract award process. During contract performance, the prime contractors are evaluated on how well they meet the goals, which in turn is consid-

ered when they are competing for future contracts. It’s not just the small businesses seeking out potential partners: prime contractors are also looking for suppliers and subcontractors.

Many of the contracts awarded for performance in Kitsap County are for services that the Navy requires on a regular and continuing basis. For example, a contract for public works and facilities maintenance functions at West Sound bases was awarded to Chugach Federal Solutions, Inc. of Anchorage, Alaska last year. If all options are exercised, the contract value will exceed $275 million over a period of five years. This contract replaced a similar one for similar services performed by another firm for the preceding eight years.

While the mix of what the new prime contractor self-performs and subcontracts out to local firms will likely change, long-term opportunities remain for local businesses as suppliers or subcontractors. Another change in major prime contractors of ongoing, contracted work occurred last year when General Dynamics NASSCO-Earl Industries was awarded an $87.7 million contract for aircraft carrier maintenance and repair at Puget Sound Naval Shipyard and Intermediate Maintenance Facility.

Ongoing contracts where prime contrac-

tors have not recently changed include engineering and logistics support services provided by BAE Systems Applied Technology at Naval Undersea Warfare Center, Keyport, about $21.3 million over the past two years. Janitorial and grounds maintenance services at all Puget Sound Navy bases are provided by Skookum Educational Programs under a $220 million, 10-year contract.

Sometimes instead of awarding a single contract to only one contractor, the Navy awards a number of them to a group of contractors. Then, when a project comes up, perhaps in response to changing operational commitments, the Navy uses a streamlined process to compete among the previously vetted, smaller group of contractors. While there’s no guarantee of work when these multiple contacts are awarded, their convenience and faster response times makes them a popular tool.

Since they often last for up to five years, they provide an ideal opportunity for longterm supplier or subcontractor relationships with a prime contractor. Much of the contracted work at the Naval Undersea Warfare Center in Keyport is awarded under a multiple award contract called Seaport-e. There are also a number of multiple-award construction contracts in place

and opens new offices and operations facilities in Bremerton; • Olympic College wins competitive bid to continue delivering its acclaimed shipyard apprenticeship program — while recognized as top 10 community college

by Aspen Institute; • Watson Furniture experiences recordhigh sales and employment; • Silverdale’s ATS wins award supporting Archimedes Global on $2 billion INSCOM contract, experiences record growth; • Port Orchard’s Differential Energy Global Ltd., one of the fastest-growing LED brands, posts big gains in penetrating multibillion-dollar international LED market; • Omohundro marks one-year anniversary in Port Orchard — and briefs Kitsap Aerospace & Defense Alliance leaders on its 50-employee composite manufacturing operations; • New commercial real estate investment in Kitsap County eclipses $500 million in 2014; • Kitsap IT pioneer Paladin Data marks 20th anniversary; and, • Kitsap County posts its highest employment levels since 2008.

As we lean into 2015, let’s cheer on the Hawks; and let’s keep our economic development eyes on the ball while supporting our private-sector enterprises and investors as they look downfield to make their next big play in Kitsap!

On Kitsap – Go Hawks!

• John Powers is executive director of the Kitsap Economic Development Alliance. for construction projects on the various Navy bases. If your firm supplies construction materials or works in the construction trades, you should know who these prime contractors are.

In addition to contracts for continuing and ongoing services and supplies that support the fleet and bases, there is a continuing flow of new projects that represent new work. While this work is by no means a certainty and is subject to politics, the large Navy presence bodes well for our area as these projects are needed to keep the Navy’s infrastructure up to date. In spite of a 33 percent reduction in the overall military construction budget from the prior year, a number of projects for our area made it into the omnibus bill approved by the Congress last month.

It included the next increment of the $715 million Explosive Handling Wharf II at Bangor, which is being built by a team consisting of Skanska USA, American Bridge Co., and Nova Group. It included $16.4 million for the next phase of the Integrated Water Treatment System at the shipyard in Bremerton. This project, along with two others previously awarded for over $20 million, will enable the shipyard to accomplish ship maintenance less expensively while remaining compliant with the Clean Water Act. While not in Kitsap County, over $100 million in contracts were awarded in the latter half of last year to Korte Construction of St. Louis, Missouri, and RQ Consee shapro | 38

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car review | 2016 Kia sorento

For Kia, a good thing gets better

By Lary Coppola For KPBJ

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e confess a personal bias towards the Kia Sorento, which we acquired driving a 2015 model on a day trip from Phoenix to Sedona and back after the initial intro event in Arizona. We drove it where and how we wanted with no set drive route or schedule, and came away knowing this was a much better vehicle than we originally thought. For 2016, it’s just gotten bigger and better.

That version of the Sorento, even at the end of its life cycle, ranks third on Kia’s sales chart. The second generation of the original body-on-frame Sorento morphed into a five-to-seven passenger unibody crossover utility vehicle, or CUV. The third-generation, American-made 2016 Sorento has the Korean automaker reaching out to a much broader audience, with three powertrain options — including a new turbocharged version of its 2.0-liter 4-banger, and increased trim, technology, interior and other upscale choices, not to mention more head and leg room, than ever before.

According to Kia marketeers, the new Sorento competes with a wide variety of CUVs across two market segments, including the Jeep Cherokee and the larger Grand Cherokee and Toyota Highlander, as well as a host of somewhat smaller vehicles like the Ford Escape and Honda CR-V among others.

There are five trim levels — L, LX, EX, SX, and SXL, and all are front-wheel drive with Kia’s DynaMax all-wheel drive system an option on all.

The essence of the all-new 2016 Sorento is the significantly modified platform sh a pro | f rom 37

struction of Carlsbad, Calif., for hanger and support facility construction projects at Naval Air Station Whidbey Island as part of the Navy’s transition to new aircraft models. This year’s omnibus includes another $51 million in construction projects at Whid-

it rides on. Torsional rigidity has been increased 14 percent, while 53 percent of the unit-body consists of advanced highstrength steel — a 115 percent increase over the previous Sorento. Industrial strength adhesives combined with dualseal lip joints and large diameter and laser welding techniques result in the strongest Sorento ever built.

Walkaround: The most immediately noticeable change is Kia’s new signature grill, which first debuted on the luxurious K900. It seemingly appears to be Jaguar-inspired, with the Kia badge front and center.

The roof slopes gently downward as it flows to the rear from the raked front windshield, ending with a liftgate-mounted rear spoiler. Chrome accents outline the windows on the SX Limited V6, with body-colored door handles and heated mirrors with turn signal indicators standard across the line. Projector-style headlamps are standard on all, with foglights molded into the front fascia below the grill. Depending on which model you choose, there are a variety of other exterior options available such as selfleveling Xenon headlights, roof rails, various chrome accessories, and a panoramic sunroof.

Interior: The interior is an exceptionally comfortable, harmonious experience, especially on the upscale trim levels. Contrasting colors, such as the black and white Nappa leather in our SXL test vehicle showcase Kia’s new, more premium direction. Regardless of which trim you choose, there’s lots of room and the optional panoramic sunroof adds an airy, open feeling.

Also available are heated and ventilat-

bey Island for aircraft transitions to the P-8A Poseidon and C-40 Clipper military transport, which are both built by Boeing.

In the past, a number of Kitsap County construction firms with Navy experience at Bremerton or Bangor have successfully performed contracts at the air station in Oak Harbor.

For the small business making its initial foray into the world of federal acquisition, the challenge of identifying potential prime contractors can be daunting. While the Navy, other services and federal agencies advertise solicitations for contracts, if a firm waits until a solicitation is released to start looking for teaming opportunities, it’s too late.

Once a solicitation is released, the large prime contactors who are competing will have a matter of weeks to put together a team that can perform the contract, and then develop and price a winning proposal. The small business interested in being part of that effort needs to have done the networking and made its case to potential

2016 Kia Sorento ed front seats, heated rear seats, a 14-way power driver’s seat and eight-way passenger seat — as well as a seat thigh extension for the driver. The various available interior trim levels include a 40/20/40 second row five-passenger seating system, as well a 50/50 third-row seven-passenger configuration. Folding the 50/50 split seats is easy — a simple tug on the lever quickly folds them flat, and they’re raised and locked into position just as efficiently. The second row 40/20/40 split means longer objects like skis — or 2x4s — can be hauled while maximizing passenger space.

At 74 cubic feet overall, cargo room is abundant. However, with the third row up, it’s reduced to 11 — an increase from the previous 9.1 cu-ft.

The center stack looks like a marriage of VW and Jeep. Under the center-positioned large touchscreen, which works the navigation system and Kia’s UVO telempartners well in advance.

To maximize the return on scarce time and resources expended, a targeted approach is often best. A firm can use publicly available tools such as www.USASpending. gov or FedBizOps (www. fbo.gov) to identify large companies that are prime contractors. Supplemental guidance and direction on how to use these tools is available on the Daily RFI at www.seabeckresearch.com. The Washington State Procurement Technical Assistance Center (PTAC) website (www. washingtonptac.org) has links to lists of prime contractors and acquisition forecasts provided by a number of the Navy’s contracting offices.

Firms should periodi-

atics, are the dual-zone climate controls.

There’s individual knobs for the driver and passenger, and below are buttons for heated seats (and/or the optional heated and cooled front seats) and the heated steering wheel. Below that is a handy storage cubby with USB and power ports.

Near the shifter and the chrome-ringed cupholders are three selectable drivemode buttons — Normal, Sport, and Eco — which adjust the steering and shift points.

Under The Hood: There are three engine choices, — a 185-horse, 2.0-liter 4-banger, and a turbocharged version of that powerplant, putting out 240 horses, plus Kia’s workhorse 3.3-liter V6, which puts 290 ponies to the pavement. All powertrains are married to a smooth, 6-speed, electronically controlled automatic with Kia’s Sportmatic manual shift option. All Sorentos are 50-state certified as ULEVLevel II, Ultra-Low Emission Vehicles.

cally check the PTAC calendar for training and events. When a new contract solicitation is anticipated, prime contractors will often work with the PTAC to hold outreach events to help identify potential subcontractors so they can develop a quality subcontracting plan to submit with their proposal. A number of the Navy contracting offices hold Industry Days or similar outreach events, which are also included in the PTAC’s online schedule of events and workshops.

Finally, once a year the Washington PTAC hosts a business-to-government networking event at the Puyallup fairgrounds attended by hundreds of firms. This premier event is a great way for a busi-

see sorento | 39

ness to get familiar with the federal marketplace, and a way to meet potential customers and partners.

• Steve Shapro recently founded Seabeck Research, a consulting firm providing information and analysis to companies interested in government contracting work. He has extensive experience as a Navy contracting officer, and as the Navy’s civilian Chief of the Contracting Office and the Deputy for Small Business, promoting small business participation and supplier diversity efforts in support of Navy contracts. His website is www.seabeckresearch.com.

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JANUARY 2015 | 39

car review | 2015 cadillac ATS

Hey BMW and Mercedes, there’s a new sheriff in town

By Lary Coppola For KPBJ

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e heard mixed reviews about the Cadillac ATS from other auto journalists when the sedan version debuted a couple of years ago, but didn’t have occasion to actually drive one until this past summer at the Northwest Automotive Press Association’s (NWAPA) Run To The Sun event. It featured over 20 high-end, high-performance luxury coupes, sedans and ragtops driven in rotation over several hundred miles of varying terrain, including twisty two-lane blacktops throughout the forested shadow of Mt. Hood, wide open stretches of lonely highway in eastern Oregon, as well as urban freeways near Portland.

For the event, Cadillac showed off its new 2015 Coupe version of the ATS. Our turn behind the wheel was navigating one of those winding two-lanes through the woods at speeds exceeding 75 mph at times. We came away impressed by the handling and performance of the ATS, and drove it again not long after as part of our regular, weeklong test drive rotation.

When the ATS sedan debuted, its distinctive, CTS-inspired chiseled design, lightweight construction and agile handling immediately caused concern at BMW and Mercedes-Benz. For 2015, the Cadillac ATS lineup boasts updated features, a refreshed look and the new, sleek and sporty Coupe — which this review will focus on.

The ATS Coupe is built on the same platform as the sedan; however, the only shared sheet metal is the hood — and the signature egg-crate grille — showcasing Cadillac’s new crest, which ditches the traditional laurel wreath in favor of a lower, wider design.

The compact luxury sport segment is perhaps the most competitive of all, and while brand cachet is definitely a consideration for some buyers, the ATS Coupe matches up well against competitors like the Audi A5 and BMW 4 Series, and proudly stands its ground against Asian competitors like the Lexus IS and Infiniti Q50.

Walkaround: The ATS boasts its own bodywork, and sits about an inch lower than the sedan, with a wider track. Unique sor en to | f rom 3 8

Behind The Wheel: As we were leaving the Ritz Carlton in Lake Tahoe, I was our navigator for the first leg of our daylong test drive that would take us over a wide variety of terrain in eastern California and western Nevada, including rolling hills, mountain foothills, plains and freeways, with lunch in downtown Reno.

to the Coupe is also a thicker steering wheel, wider rear tires and performancetuned rear suspension. Like its siblings, the geometrically chiseled shape makes a uniquely bold and distinctive styling statement in opposition to the rounded, boring sameness of European and Asian luxury cars. A definite wedge shape is formed by the rising character line stretching from behind the front wheelwell all the way to the taillights. Chrome window surrounds and door handles add a luxurious touch.

The headlamps feature Cadillac’s signature long, tapering vertical tails stretching up alongside the hood line, while vertical foglights underneath accentuate the aggressive look of the front fascia. Inside the redesigned front grille, shutters automatically close at certain highway speeds to reduce aerodynamic drag and boost fuel economy. All models of the Coupe get HID headlights and LED foglights except for the standard base trims.

In back, the rear taillights are long and narrow. The deck lid spoiler on the Coupe has the brake light inlaid, with dual chrome exhaust pipes positioned below the rear bumper.

Interior: Interior fit and finish is comparable with the Audi A4 or BMW 3 Series, although, as with the exterior design, the bold angles and sharp creases are unlike anything European or Asian cars offer. Amenities include everything you expect from Cadillac, with upper trim levels utilizing Cadillac’s CUE — Cadillac User Experience — touchscreen interface.

The large screen employs proximity sensors and voice recognition to control navigation, phone and audio functions. Unlike the overly complicated, highly unintuitive interfaces like BMW’s iDrive, there is no main control knob on the console. All functions are performed via voice or the touchscreen.

CUE includes a new text-to-voice feature that reads SMS messages from connectivity (requires a separate data plan) allows drivers and passengers to use the ATS as a WiFi hotspot for up to seven devices. A wireless charging tray will charge compatible smartphones — that utilize a specially designed case. Another cool amenity offers storage for valuables behind the movable touchscreen — accessed

by programming a code.

The front seats are quite comfortable, with a wide adjustability range for all body types. The bolsters hug the driver and front passenger tighter than other Cadillac models — a good thing on winding roads.

The Coupe has an inch less headroom in front, and nearly 2 inches less in the rear than the sedan, but rear legroom is the same. Trunk space measures 10.4 cubic feet — somewhat less than the Audi A4, Mercedes C250 and BMW 328i.

Under The Hood: The ATS Coupe only features two engine choices — an updated version of GM’s 2.0-liter turbocharged inline-4 that delivers 272 horses and 295 lb.-ft. of torque for peppy acceleration. The top-of-the-line powertrain — GM’s 3.6-liter naturally aspirated V6, which powered our test vehicle — puts 321 horses to the highway with 275 lb-ft. of torque, and does the 0-60 mph drill in just 5.4 seconds. Most ATS models come standard with a six-speed automatic transmission, though a six-speed manual is available on some trims with the 2.0-liter turbo. All-wheel drive is available on all models. We applaud Cadillac for offering a manual option while others appear to be moving exclusively to paddle shifters.

Fuel economy ratings are 18/28 mpg city/ highway for the 3.6-liter with RWD and 18/26 with AWD. The 2.0-liter turbo gets 21/30 with the automatic, 19/30 with the six-speed manual, and 28/20 with AWD. Behind The Wheel: The ATS Coupe is built on a light but solid chassis that offers nearly 50/50 weight distribution — a major factor in its driving dynamics — which are enhanced by a sporty, five-link

independent rear suspension. The third version of Cadillac’s optional Magnetic Ride Control adjusts that suspension in real-time for even more responsive handling. The chassis is pleasingly compliant with little-to-no body roll, while the weight distribution keeps the ATS balanced and controlled around turns, with the wider tires delivering additional grip.

The ATS cabin is very quiet, with almost zero road or wind noise. The 3.6-liter V6 offers strong acceleration, while the available Brembo performance brakes — which use a special Ferritic Nitro-Carburizing (FNC) coating that helps prevent brake dust buildup and corrosion on the wheels — stop the ATS with authority. The beltdriven variable-electric steering was a little numb on demanding turns for our taste, although most people won’t notice.

Whines: While CUE has been improved to be faster and more user-friendly, it still has some issues. For example, audio volume is adjusted by dragging a finger across a horizontal bar — not easy while driving a moving car. Most of CUE’s audio functions are better controlled on the steering wheel anyway.

Bottom Line: The 2015 Cadillac ATS coupe delivers import-like luxury and performance, while making a stylishly unique statement against boring, lookalike competitors. The ATS Coupe is definitely a bona fide player in this segment — not a poser. If we were in the market for a set of personal wheels, the 2015 Cadillac ATS Coupe would be on our short list.

From there, it was more of the same, including a good bit of hilly, winding twolane trekking around the lake itself, and back up the mountain to our hotel.

We drove the turbocharged 4-banger in the morning and the V6 after lunch. Driving the second and after-lunch legs of the journey — about 100 miles of back-to-back seat time, we can’t say that we really felt any significant difference in the two pow-

erplants. Both delivered satisfactory acceleration, with plenty of torque.

The reinforced chassis is well damped, resulting in a ride that’s comfortable and quiet, with good handling and strong braking even on dubious surfaces. Overall, the Sorento is predictable and fundamentally competent.

Whines: Like most CUVs, the third row is strictly a kid zone.

Bottom Line: The 2016 Kia Sorento is much improved — and the previous version was pretty good to begin with. It offers true value for the price, and you’ll be hard-pressed to do better in terms of cost, style, quality and capability.

2015 Cadillac ATS Coupe

• For more car reviews, visit www. autoreviewers.com.

• For more car reviews, visit www.autoreviewers.com.

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