April 2017 VOICE Magazine by Thurston County Chamber of Commerce

A P RI L 2017

TH UR STON C OUN TY C H AMBE R OF C OMME R C E

Adapting to Change

IN UNCERTAIN TIMES Featuring Kaufman Construction & Development, Inc., Print NW and Concrete Recyclers.

Public Policy

Timing is everything, page 11

Kaufman Construction page 12

Print NW page 20

Concrete recyclers page 16

B U I L D I N G C O M MU N I T Y P R OS P E R I T Y F OR OV E R 1 4 0 YEAR S

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Featuring...

CONTENT & CALENDAR

Every month, the Thurston County Chamber offers several networking events, forums & workshops to the community. Here are some highlights you won't want to miss.

In this issue...

6 Caught in the Lens

April 4

Morning Mixxer at Abstract Bodyworks JJoin Abstract Bodyworks on Tue., April 4 at 7:30 a.m. for the Thurston Chamber’s Morning Mixxer. Abstract Bodyworks will provide coffee and breakfast treats! Where? 4331 Lacey Blvd, Ste B, Lacey.

YPN at Hawk's Prairie Casino Y The Thurston Chamber Young Professionals Network (YPN) is a great place to interact with younger business professionals in a low-pressure environment. Join us for after hours on April 6 at 5:30 p.m. at Hawk's Prairie Casino, 8318 Quinault Dr. NW, Lacey. There is no cover charge to attend.

April 12

11 Advocacy Update Doug Mah's Public Policy Column: Timing is Everything.

Morning Mixxer is free to attend.

April 6

Photos from Chamber events.

Forum: Thurston Green Business

12 Kaufman Construction & Development, Inc. Defying the odds, this family firm is three generations strong.

On Wed., April 12, we're celebrating sustainability at the annual Thurston Green Business Forum. We're recognizing Thurston Green businesses, as well as the small, medium and large Green Businesses of the Year. We'll have a Green EXPO & keynote address by Providence St. Peter's Keith Edgerton.

BAH at SafePlace Olympia

April 20

JJoin us for Business After Hours at SafePlace Olympia, on Thursday, April 20 at 5:30 p.m. Enjoy drinks, appetizers and the chance to learn more about this incredible organization.

16 Closing the Loop Concrete Recyclers changed waste disposal regulations and developed a market for a formerly hard to dispose of product.

SafePlace is located at 521 Legion Way SE Olympia. BAH is free to attend.

Ma ay 24

Annual Meeting

Print NW

This year, the Thurston Chamber's Annual Meeting is on Wed., May 24 at 11:30 a.m. at the Hotel RL Olympia We have a few surprises in store, so stay tuned! We encourage advance registration for individual seats and tables.

For more event information, please visit www.thurstonchamber.com

www.thurstonchamber.com

South Sound printer adapts to a changing market by listening to their customers and investing in new technology.

Thurston County Chamber VOICE  April 2017 3

Adapting to change in uncertain times

By, Marny Bright, THURSTON COUNTY CHAMBER VICE PRESIDENT, MEMBER SERVICES PUBLISHER Thurston County Chamber of Commerce

EDITORIAL Editor: David Schaffert Phone: (360) 357-3362 Email: dschaffert@thurstonchamber.com

CONTRIBUTORS Natasha Ashenhurst Marny Bright Doug Mah

ow do you adapt

commercial space for Thurston County’s

to change in

manufacturers and businesses for three

an uncertain

generations. Those spaces have changed

marketplace and

drastically since the 1960s. Today, vacancy

economy? What

rates are down—thanks in part to the cannabis

systems do you use to

industry—and businesses need versatile spaces

stimulate new ideas?

to accommodate their needs. Kaufman adapted

This issue of the VOICE is examining these

Greg Raines

questions by talking to three companies: Print ADVERTISING Sales and Marketing: Marny Bright, Beth Johnson or Blake Knoblauch Phone: (360) 357-3362 Email: info@thurstonchamber.com

NW, Kaufman Construction & Development, Inc. and Concrete Recyclers. Each business responded to a change and each emerged at the end of the process a stronger company.

SUBSCRIPTIONS Phone: (360) 357-3362 Email: info@thurstonchamber.com

Print NW is one of the largest printers in the South Sound. Demand for newspapers,

DESIGN Mosaic Marketing Studio

COVER PHOTOGRAPHY Inside the embroidery shop at Print NW. Photo by Greg Raines of Liondenpro Photography.

letterhead, envelopes and brochures may have slowed, but businesses need signs, car wraps and custom murals. Print NW asked their sales team to really talk to their customers and learn what their clients need. And they adapted.

PRINTING

They adapted by listening to customers and

Print NW

paying attention to industry trends.

809 Legion Way SE Olympia, WA 98507

to changes in public policy.

How about Concrete Recycling? Before 1994, we buried old concrete—often in wetlands. But what if you could recycle it and give it a second life? That is just what this company did. The old Fourth Avenue Bridge was recycled into the new Fourth Avenue Bridge. Concrete Recyclers helped change solid waste regulation and found markets for their product.

At the beginning of this letter, I asked what systems you use to stimulate new ideas. At the Chamber, we learn from you—business and the community. One one of the ways we learn from you is by hearing your stories and

CONTACT THE CHAMBER PO Box 1427

by listening to customers and paying attention

Kaufman Construction & Development, Inc. is a long-standing family business, building

sharing them through the VOICE. Thank you for sharing your stories. ●

Phone: (360) 357-3362 Email: info@thurstonchamber.com Website: www.thurstonchamber.com

THANK YOU TO OUR COMMUNITY INVESTORS DIAMOND INVESTORS:

All material appearing in the VOICE

information is correct at time of

Anchor Bank Capital Medical Center Heritage Bank Phillips Burgess Washington Port of Olympia Xerox Services

printing, but the publisher accepts no

PLATINUM INVESTORS

responsibility or liability for the accuracy

America's Credit Union - Lacey Lucky Eagle Casino & Hotel Mills & Mills Funeral Home & Memorial Park

Magazine is copyright unless otherwise stated or it may rest with the provider of the supplied material. The VOICE Magazine takes all care to ensure

of any information contained in the text or advertisements.

4 • April 2017 Thurston County Chamber VOICE

Morningside Olympia Federal Savings Olympia Orthopaedic Associates Print NW Providence St. Peters Saint Martin's University TwinStar Credit Union Washington Business Bank

GOLD INVESTORS First Citizens Bank Cabinets by Trivonna Columbia Bank The Creative Office GHB Insurance Great Wolf Lodge Hometown Property Management

Jessica Jensen Law PS Nicholson & Associates Nisqually Red Wind Casino Olympia Furniture Company Pardiman Productions Puget Sound Energy RHD Enterprises Hotel RL Olympia Saint Martin’s University SCJ Alliance TAGS Wells Fargo-

www.thurstonchamber.com

In March, the Hilton Garden Inn in Olympia celebrated their grand opening with a ribbon cutting ceremony.

Welcome, New Members A Beautiful Face & Skin Care Coleen Larrett (360) 402-9129 www.skincareolympia.com Skin Care All Ways Chiropractic, PLLC Kat Fox (360) 352-8896 www.allwayschiro.com Chiropractors, D.C. ASAP Business Solutions, LLC Diana Murphy (360) 491-4405 www.ASAPBiz.com Consultants - Employment Services Beyond The Brand Media Josh Eastman (603) 738-3174 Internet Web Development Dispute Resolution Center, Thurston County Jody Suhrbier (360) 956-1155 www.mediatethurston.org Mediation Service Encore Chocolates & Teas Dean Jones (360) 350-0833 www.chocolatesandteas.com Food & Beverage – Retail Fanny's House Cleaning Fanny Lobato (360) 712-9041 Cleaners – Residential www.thurstonchamber.com

Fitness Vision Media Isaac Hodukavich (971) 645-0997 www.fitnessvisionmedia.com Internet Marketing

Market Blvd. Insurance

Free Them Investments Stacey Rodgers (253) 204-6497 Real Estate - Agents & Companies – Commercial

Minuteman Press Mark Merklin (360) 491-8195 Lacey-Wa.MinutemanPress.com Printers

Green Home Solutions Ana Ramirez (360) 790-7180

Offutt Lake Resort Rebecca Pogue (360) 264-2438 Resorts

www.greenhomesolutions.com/Olympia-WA

Environmental Management & Consultants HDR Engineering, Inc. Josh Metcalf (360) 570-4400 www.hdrinc.com Engineers – Civil JBR Insurance Rebecca Marsten (360) 705-4228 www.jbrinsurance.com Insurance Joby Glass Joby Shimomura (206) 390-1659 Glass Products Live Nation Premium Seats Colin Guarrity (206) 802-3123 Outdoor Concerts

Agency

Margaret Dine (248) 860-7479 Insurance

Olympia Film Society Audrey Henley (360) 754-6670 www.olympiafilmsociety.org Entertainment Our Community Credit Union Susanna Samuelson 360-432-5209 www.ourcu.com Banks/Mortgage Companies Quality Rock Products Peter Battuello (805) 743-6360 www.euconcorp.com Sand & Gravel Rescon Alaska, LLC Zack Kirk (360) 761-4269 www.resconalaska.com Environmental Management & Consultants

Shocking Difference LLC Winona Furgison (360) 956 0232 www.shocking-difference.com Contractors – Electrical St Julien Home Loans Wendy St. Julien (360) 352-2101 Banks/Mortgage Companies Sugar Canvas Boutique Bakery, The Colleen Head (360) 970-0211 Bakeries Uniforms Plus Tracy Brown (360) 459-1219 Uniforms UW Neighborhood Olympia Clinic Shelly Wardell (360) 507-9100 www.uwmedicine.org/olympia Clinics – Medical Vancouver Energy Dan Riley (360) 984-2110 www.vancouverenergyusa.com Oils – Fuel Welcome Wagon Abby Gorder (512) 545-0592 Marketing Programs & Services Zoe Juice Bar Jason Phillips (360) 259-4074 Restaurant - Delicatessens

Thurston County Chamber VOICE  April 2017 5

Caught in the Lens...

6 • April 2017 Thurston County Chamber VOICE

A collection of photos taken at Chamber events during March 2017

www.thurstonchamber.com

Thurston County Chamber VOICE  April 2017 7

community honors green businesses Thurston Green Business is a partnership program between the Thurston County Chamber, the City of Lacey, the City of Olympia, the City of Tumwater and Thurston County. The committee includes these partners as well as a number of sponsors, including Puget Sound Energy, Intercity Transit and LeMay, Inc. The program is also supported by Thurston Energy and Thurston Climate Action Team (TCAT).

Thurston County businesses will receive recognition for their sustainability efforts at the Thurston Green Forum on Wed., April 12 at 11:30 a.m. at the Hotel RL Olympia. The Thurston Green Forum will include an EXPO of Thurston Green Businesses showcasing their 'green' goods and services and a keynote by Providence St. Peter's sustainability coordinator, Keith Edgerton. Make your reservation at www.thurstonchamber.com

ow in its tenth year, the Thurston Green Business program has become one of the Chamber’s most popular programs, and for good reason—businesses that take steps to be green save money while protecting and preserving resources. Saving energy and water, while reducing waste, are good steps that benefit our environment. The savings that result from conservation boost the bottom-line.

At this event, all Thurston Green Business designees will receive recognition and one business in the small, medium and large categories will receive special recognition for their sustainability efforts. Forum includes lunch and is $35 for general admission, $25 for prepaid (online) Chamber members and $30 for members at the door. Reservations are encouraged. Visit thurstonchamber.com or call 360.357.3362 today! ●

8 • April 2017 Thurston County Chamber VOICE

www.thurstonchamber.com

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Thurston County Chamber VOICE  April 2017 9

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ADVOCACY UPDATE

The State Capitol building over Capitol Lake at sunset. The Public Policy Division is involved in discussions about why an Environmental Impact Statement for Capitol Lake is good for the community. Photo by Chris Boswell, Dreamstime.com

Timing is everything By Doug Mah, Doug Mah & Associates, director Thurston Chamber Public Policy

ublic Policy – The words create an image of stuffy meetings, heated

• Why an Environmental Impact Statement for

public hearings and debates over

Capitol Lake is good for the community.

the intent of “may” and “can.” But

• How the “Levy Cliff” would be bad for area

public policy is about being at the right place at the right time. It

is about actively listening and participating in ongoing conversations about how government impacts our lives on a daily, even hourly basis.

The Chamber’s Public Policy Division finds opportunities to remind decision makers about the needs, abilities, and the capacity of the private sector to help create vibrant communities. Some of the opportunities are formal engagements. Sometimes they are “spur of the moment” encounters. Just like a great marketing firm, Public Policy Division of the Thurston Chamber is always looking to advocate and advance our shared interests. For example, recently the Public Policy Division found itself involved in discussions about: www.thurstonchamber.com

Public policy. The words create an image of stuffy meetings, heated public hearings and debates over the intent of "may" and "can."

school districts. • When standardizing approaches to habitat conservation can help property owners. • How a new business will benefit existing businesses in Lacey’s Woodland district. • Why a corridor study of I-5 is needed for state and regional economic vitality. • How state commute trip reduction programs benefit employers. The Chamber is working to improve and sustain positive relationships with federal, state, and local government by constructively sharing the perspective and experience of the private sector. You can help by becoming informed and joining us in “spur of the moment” discussions. Of course, the Public Policy Division will always advocate on your behalf at meetings, hearings, and community debates over the intent of “may” and “can.” ●

Thurston County Chamber VOICE  April 2017 11

John Kaufman and Theresa Kaufman-Wall discussing blueprints in Kaufman Construction & Development, Inc.'s offices on Martin Way in Olympia. The Kaufman headquarters will move to Tumwater in 2017. Photo by Greg Raines of Lionsdenpro.com

Three Generations Strong

Kaufman family firm is defying the odds By Natasha Ashenhurst

Only 30 percent of all family-owned businesses survive into the 2nd generation & only 12 percent into the 3rd.

amily-owned businesses are the backbone of the American economy, comprising 80 to 90 percent of all business enterprises in North America, according to research compiled by the Conway Center for Family Business. However, only 30 percent of family-owned businesses survive

and they’ll tell you that the

into the second generation, 12 percent into the third generation

decision to work for the

and only 3 percent into the fourth generation and beyond,

family was easy—love for the

according to the Conway Center.

business is in their DNA.

The Kaufman family-owned business, Kaufman Construction

History: From Kaufman Brothers to Kaufman Construction & Development, Inc.

& Development, Inc., which began 52 years ago, counts itself among the 12 percent of family firms with third generation employees. And while statistics show most children aren’t interested in working for the family firm, talk to a Kaufman

12 • April 2017 Thurston County Chamber VOICE

www.thurstonchamber.com

Brothers and company founders Vic and

John. “There are unique dynamics with

Kaufman Construction & Development is

Marvin Kaufman were born and raised

family run businesses. We had to work

thriving, posting roughly $15 million in

in South Dakota.

with advisors in Seattle who specialize in

annual sales, employing between 30 and

family-owned businesses, to successfully

35 people, managing 108 properties with

make the transition,” he said.

120 leases and have four new projects

Both Vic and Marvin enlisted in the

under construction to add to their

Navy when they turned 17 and found their way to Washington State when

Theresa added, “We enjoyed being

building portfolio. They currently have a

they ended up working in the Bremerton

mentored by dad and Uncle Marvin

vacancy rate of only 1.3 percent.

shipyards. Once their service ended,

for all these years, but the burden

they traveled back to South Dakota, but

of transitioning the business fell on

And while the company continues to

in 1961 decided to move to Olympia.

our shoulders, and it was a long and

buy and develop property located in the

complicated process.”

‘path of progress,’ their business model includes design-build construction

Soon after arriving, they went to work

Kaufman projects, from left to right: Deschutes building in Tumwater. Volkswagen of Olympia and Woodshed Furniture. for a neighbor in the construction industry. The brothers were industrious and bought their neighbor out. The year was 1965 and Kaufman Brothers Construction was born. The brothers' business model was simple: buy land located in the ‘path of progress’ and hold or develop those parcels. They continued this strategy for almost 50 years. It worked, and the company prospered.

“We develop relationships before we build a project. For us, our business model is about the relationship, not bidding,” said John.

services in addition to leasing and development. “We develop relationships before we build a project. For us, our business model is about the relationship, not bidding. Ninety-five percent of our work is private-sector commercial work,” said John. Kaufman Construction & Development has a reputation for building highquality pre-engineered metal buildings,

Eventually, Vic and Marvin decided it

Today, John, Theresa and Jeff run the

but John explains that their construction

was time to turn the company over to

day to day operations and a seven-

services also include conventional wood-

their children and retire and, in 2012,

member board of directors oversees

framing, concrete tilt-up and tenant

Vic’s son John became President of

the corporation, meeting quarterly.

improvements. Recent projects include

Kaufman Construction & Development,

In addition, there is a family council

Olympia Volkswagen, Spa Depot, I-5

Inc. Vic’s daughter Theresa became

that helps make decisions affecting the

Toyota, the Olympia Veterinary Clinic,

Sr. Vice president, and Marvin’s son

future of the company and sets strict

Steamboat Tennis and Athletic Club,

Jeff became vice president. Theresa’s

employment policies for family members

Northwest Helicopter and Setina’s.

son Riley Wall is a third-generation

who want to work for Kaufman.

employee, as is nephew Jake Homann. “It took five years to complete the process of transferring ownership,” said

Kaufman also has 120 active leases,

Remaining Relevant in Today’s Economic Landscape

meaning they must maintain landlordtenant relationships as well.

Continued on page 14 www.thurstonchamber.com

Thurston County Chamber VOICE  April 2017 13

Continued from page 13 “We try and provide good service and are responsive when there is a building or lease issue. We have kept our portfolio within a small proximity so we can be on-site within a short amount of time,” said Theresa. Relationship building and listening to customers helped Kaufman identify a need in the marketplace. One of their new projects, the Deschutes Landing project, is a good example of filling a niche. “Our warehouses are typically in the 10,000 square-foot range and up,” said Theresa. “We identified customers looking for 1,800 to 5,000 square feet, and so we designed the Deschutes building to contain smaller spaces,” she said. A bakery and a specialty foods company will go into two of the spaces, and two brewing companies will go into the building. “The City of Tumwater is interested in expanding the beer industry locally and that is bringing in tenants interested in these smaller sized spaces near the Olympia Airport,” said John. Build-to-suit spaces for tenants like Matchless Brewing and 8 Arms Bakery are great for the community, but getting new projects off the ground in Thurston County often presents a

Theresa Kaufman-Wall. Photo by Greg Raines. the local building industry that forced developers like Kaufman to put projects on hold for years. “We are one of the few developers in Thurston County that has a Habitat Conservation Permit (HCP.) Until we had the HCP [for Mazama Pocket Gopher mitigation] we had no certainty. If someone wanted to build, we could not provide them with a timeline. Now we have more certainty and we know how to

regulatory challenge for developers.

move forward on projects,” explained John.

John and Theresa describe an “atmosphere of uncertainty” in

“Properties like the building for Matchless Brewing and 8

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Continued from page 14

In 2017 Kaufman Construction & Development, Inc. will move into their new headquarter in Tumwater. Arms Bakery would not have been able to be built had we not

This year, the Kaufman’s will complete a more personal project

proceeded with obtaining the HCP,” said Theresa.

that has been on hold for the past 10 years due to regulatory issues—they are moving out of the offices opened by Vic and

The Kaufman family is hopeful that new local government

Marvin Kaufman in 1965, into new company headquarters in

leadership will help create more certainty in the building

Tumwater. It is the culmination of 52 years of company—and

process and streamline the land-use regulatory issues Thurston

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Thurston County Chamber VOICE  April 2017 15

CONCRETE RECYCLERS asphalt debris a regulated product. Prior to these changes, old asphalt and concrete were most often buried and often ended up in low spots of wetlands. Once the County created an ordinance making it regulated debris, that changed,” said Wall. In 1994, she launched Concrete Recyclers, located along Black Lake Boulevard. Diana Wall

Diana Wall is president of Concrete Recyclers and her husband, John Specht, is vice president. Concrete Recyclers is president and her husband, is located on Black Lake Boulevard in Tumwater. John Specht, is vice president.

Closing the Loop By Natasha Ashenhurst

Concrete Recyclers have taken what was old and useless and made it new again & they are a local company, working hard to close the sustainability loop.

n 2001, the Nisqually earthquake damaged Olympia’s Fourth

Avenue Bridge beyond repair. The City demolished the bridge and replaced it, but what happened to the 12,000 tons of concrete from the old bridge? Prior to 1994, the debris

Using recycled asphalt and concrete in local building projects was not always an option. “For decades European countries have recycled their concrete and asphalt as an important part of overall sustainability and waste reduction efforts. These countries were not burying their concrete—they were reusing it. I read about Europe’s success recycling concrete and asphalt and saw a business model and income base, as well as a way to promote environmental responsibility at a local level,” said Diana Wall.

From Old to New Today, demolition contractors tearing out an old building, road or sidewalk, or homeowners tearing out an old patio, can take the debris to the landfill, but it will cost them $120 per ton. The affordable option is to take it to a regulated recycling facility, like Concrete Recyclers, and pay only $7 per ton on average with $20 minimum for a pickup load. Concrete Recyclers accepts asphalt, brick, concrete and anything masonry, as well as glass—but more on that later. Dump trucks drive up, scale in, unload and scale out. Concrete Recyclers then preps the debris, using equipment to

would have been buried. Instead, remnants of the old bridge were broken up and the crushed material was used in the base of the new bridge.

Wall helped change existing policies regulating concrete and asphalt waste, and then generated a market for recycled concrete and asphalt.

break the material into pieces no larger than 2 feet by 2 feet. Then, the crew runs the pieces, often embedded with rebar, through the rock crusher until it is the desired size. The

“It took a lot of work with Thurston County Solid Waste to change the regulations within Thurston County in order to make concrete and

crushed concrete and asphalt goes into a pile ready for the market and large magnets pull out any metal embedded in the

Continued on page 18 16 • April 2017 Thurston County Chamber VOICE 

www.thurstonchamber.com

Thurston County Chamber VOICE  April 2017 17

Continued from page 17

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18 • April 2017 Thurston County Chamber VOICE

material for further

Our aggregate is keeping the natural

recycling. Concrete

resource in the ground, and our recycled

Recyclers sells the

products are excellent,” said Specht.

finished crushed asphalt or concrete in

Every year, Concrete Recyclers diverts

sizes ranging from ¾

thousands of tons of concrete and

inch to 2 ½ inches.

asphalt from landfills.

Contractors and

In addition to concrete and asphalt,

homeowners buy the

Concrete Recyclers recycles used glass—

recycled product for

mostly bottles, but also old computer

new building projects,

screens. The crew crushes the glass

landscaping projects

into a uniform size that contractors use

and road building and

as a substitute for sand and gravel in

repair.

backfill and foundation projects. Glass cullet is another name for crushed

“When you buy

glass. Contractors use glass cullet as a

finished recycled

landscape mulch, for drainage media

product not only is

in pervious pavements, backfill for

it less expensive,

retaining walls and bedding material

but it is an excellent

under sidewalks and small-diameter

sustainable building

water and service lines, substituting fine-

material option. From

grained glass cullet for the two-inch sand

an environmental

cushion layer they normally use.

perspective, sand and gravel are not a

Concrete Recyclers saw an opportunity

renewable resource.

to divert waste from the landfill and turn

www.thurstonchamber.com

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The process: Concrete Recyclers preps debris into pieces no larger than 2 feet by 2 feet, then the crew runs the pieces through the rock crusher until it is the desired size. Once crushed, it is ready for the market and can be purchased on site at their Tumwater facility. Glass is crushed on site as well.

Olympia Orthopaedic Associates www.olyortho.com (360) 709-6230

it into an affordable and sustainable building material. They earn a living by recycling materials that were difficult to dispose of. They have taken what was old and useless and made it new again. Concrete Recyclers is a local company, working hard to close the sustainability loop. ●

www.thurstonchamber.com