DNR Tideland Leasing - Who is managing who? Part 2: DNR negotiates geoduck tideland leases with an inactive/administratively dissolved LLC.

Kent Kingman, owner of Minterbrook Oyster

and the administratively dissolved (2012)

Case Cove LLC

Case Cove LLC, "inactive" since October 1, 2012 

"Administratively dissolved

for failure to file an annual report."

Secretary of State

Kent Kingman's 'Case Cove LLC' - "Inactive" since October 1, 2012, and administratively dissolved. But good enough for DNR to negotiate terms and new contracts with for geoduck tideland leases beginning in 2013.

DNR documents released (files are large) reveal how convenient the various players in the geoduck industry make it for each other, and how convenient the state's Department of Natural Resources makes things, including negotiations with Kent Kingman's non-existent LLC. In the requests for proposals, rights to a DNR parcel in front of Kent Kingman's unpermitted shellfish operation were won by Brian Allen in 2006. Mr Allen's offered 12% and a price per acre  of $1,250/acre/year. Mr Allen agreed to give up his winning proposal ("for a piece") and DNR, beginning in December 2013, started re-negotiating with Mr Kingman's non-existent LLC, ending up agreeing to terms lower than originally offered by Mr Allen. (See the Washington State's Secretary of State website  showing Mr Kingman's Case Cove LLC being inactive since October of 2012).

Brian Allen's 2006 winning proposal -

12% and $1,250/acre.

Terms from DNR offered 12/5/2013 

to Mr Kingman's "inactive" Case Cove LLC

"...and the base rent is offered at $1,000/acre/year..."

(20% lower - and Mr Kingman still complains  - 

see the end of this post)

Mr Kingman's "Inactive" Case Cove LLC,

represented as still active.

(received at DNR 12/20/2013)

Secretary of State? It's inactive and dissolved.

Mr Kingman's Inactive on Resolving

Shoreline Violations As Well 

Kent Kingman's unpermitted shellfish farm, 

bulkhead, deck, remodeled cabin, retaining wall, etc.

\

Inactive on violations

December 2013: Settlement agreement signed.

June 2015: Not resolved.

Perhaps too busy working on a permit 

for his "oyster bar" in Purdy to get around to it?

I'll hold the lease but Taylor Shellfish will do the permitting

In notes released to the public from DNR, in a conversation with Mr Kingman about what the relationship of his "inactive" Case Cove LLC is with Taylor Shellfish, it was written:

1-14-15 BHL- I spoke to Kent today and found out that he will be the leaseholder, and Taylor will do the permitting at this point but he is paying for that service. (DNR Notes related to the now inactive Case Cove LLC)

 - or not.
But in a letter to Pierce County dated June 10, 2015, Taylor Shellfish states it is now withdrawing its permitting efforts for geoduck farming on the Kingman parcels, adjacent to those those the "inactive" Case Cove LLC is in negotiations with DNR about. The letter from Taylor Shellfish states it would be best to get his unpermitted farm "...in good order." Good idea in 2013 and still a good idea in 2015.

Subtidal Management by DNR?

Seattle Shellfish Tidelands

Leased from Mason County

(outlined in red)

(from DNR)

Current geoduck "seed" being planted

by Seattle Shellfish

Meanwhile, subtidally, wild populations are stripped from DNR "managed" tidelands and not replanted
While DNR negotiates with non-existent LLC's whose "permitting partners" are no longer permitting geoduck farming on the "owner's" tidelands, it has been reported Chelsea Sea Farms and the Detiennes are appealing their permit denial, affirmed by the courts, for their subtidal farm. In addition, Seattle Shellfish reports to the Corps they will be planting with divers. DNR? Well, that's something they apparently can't do. Instead, the few public tidelands still available are being leased to geoduck farmers. And LLC's who do not exist and whose owner complains about their previously offered terms now being too high.

Kent Kingman: "Expressed the % wholesale state royalty

should be re-evaluated..." How about thrown out?

(click to enlarge)

Get involved - Commissioner Goldmark's email: CPL@dnr.wa.gov

Tell Peter Goldmark he was not elected - twice - as the Commissioner for Public Lands to allow the aquatics division to continue as it was before he was elected. It's time for DNR to first manage their subtidal tidelands like their forest lands and require replanting, then open more intertidal tidleands to the public.

Minterbrook Oyster/Kent Kingman Hearing Tonight, June 10

Friends of Burley Lagoon notes the following hearing for tonight:

June 10, 6:30PM
City of Gig Harbor
3510 Grandview St., Community Room A
Gig Harbor, WA

Shoreline Substantial Development Permit/Shoreline Conditional Use Permit: SD/CP9-15
Application Nos. 802556, 802559
Applicant: Minterbrook Oyster Company

Planner: Ty Booth, tbooth@co.pierce.wa.us

Request: Demolish an existing office building and construct a new 9,730 sq. ft., 2-story restaurant/office building, set back 30 ft. from the shoreline. Parking would be on site and off site within leased WSDOT right-of-way. The site would be served by sewers. In addition to the submitted applications, the following are also likely necessary: 1) Shoreline Variance for dining patio/building eaves located within the 30-ft. shoreline setback. 2) Administrative Design Review/Site Plan Review to ensure applicable building design standards, etc. are met. 3) Zoning Code Variance for a building located within 20 ft. of the front yard setback. 4) Sign Code Variance for sign(s) facing SR 302. The site is located at 13810 SR 302 NW, in Council District #7.  Will Pierce County use this permit application as a stick to motivate Mr. Kingman to resolve his unpermitted shellfish farm, bulkhead and deck he agreed to take care of in a 2013 settlement agreement? Or are they separate issues?  

Pierce County SMP Update: Final Council Hearing Delayed Until Early 2015, Geoduck Expansion Continues

Taylor Shellfish is "troubled." Kitsap County experiences

the geoduck industry's dislike of permits.

Pierce County SMP Update Council Hearing Put Off Until Early 2015
Pierce County has announced its final Council hearing on its updated Shoreline Master Program (SMP) will not occur until early 2015. Comments will continue to be accepted, as will public testimony at the final hearing (click here to comment). To see amendments proposed click here. To see the draft SMP, click here. To see Taylor Shellfish's 156 page document written by their attorney describing why they are "troubled" by the amendments, click here (10mb file).

Marine habitat or PVC?

Seattle Shellfish/Taylor Shellfish/Haley

Geoduck proposal

Older SMP Suits Industry Just Fine - Better than Almond Roca for Christmas 
In the interim the geoduck industry has continued to press for expansion in Pierce County under the old SMP. Most recently, a permit allowing 11 acres of intertidal habitat has been approved for Seattle Shellfish and Taylor Shellfish, the two largest geoduck operators in Washington. The joint project on tidelands owned by both, and by the Haley (Almond Roca) family, is a clear indication of the cooperation between the companies to ensure expansion occurs under the older, more lenient SMP, under terms they find acceptable. A delay of the more "troubling" updated SMP may be a Christmas gift the industry wants.

Kent Kingman's Unpermitted Shellfish Operation

(Mr. Kingman owns Minterbrook Oyster)

To be operated by Taylor Shellfish

 

So Good You Can't Have Just One - Taylor Shellfish, Picking up Pieces of the King
Among a myriad of other proposals in Pierce County, Taylor Shellfish has also proposed a 25 acre geoduck farm in Burley Lagoon, a small embayment located west of Gig Harbor. Taylor Shellfish has also been chosen to be the operator of Kent Kingman's unpermitted shellfish operation on tidelands he owns (Mr. Kingman is also the new owner of Minterbrook Oyster). The resolution of Mr. Kingman's various violations is currently being worked through by both Taylor Shellfish and Mr. Kingman  (click here to read Pierce County's June 3, 2014 letter to Taylor Shellfish requesting additional information and describing some of Mr. Kingman's violations). (See earlier post for additional details on Mr. Kingman's various shoreline violations.) Located ~2 miles south of the Haley operation, this too would fit well with Seattle Shellfish's hatchery and nursery facilities, ~2 miles to the west in Spencer Cove on Harstine Island.

Geoduck tubes and oyster tumblers.

Oops, did I need a permit?

A Philosophy Spreading into Kitsap County - "New Day Fisheries" (owned by Scott and Joni Kimmel)
Recently Kitsap County began to experience the philosophy of its being "easier to ask forgiveness than ask for permission" some industry members practice. Rather than apply for a permit, New Day Fisheries operators chose instead to simply install PVC tubes last summer into tidelands owned by the Baldwin family, and plant them with geoduck. When reported to the county, instead of being required to pull the unpermitted tubes, New Day Fisheries apparently said they were sorry, and that in addition to the 3,000 unpermitted PVC tubes they were also going to populate another 35,000 square feet with PVC tubes, and "oyster tumblers" on another 27,000 square feet of tidelands (see image above). Kitsap County told the Kimmels and the Baldwin family, the latter being the tideland owners, they do in fact need permits. That permit process has begun with an initial comment period on a SEPA decision of a mitigated determination of non-significance ending November 6, and a public hearing scheduled for January 8. The permit information may be found by clicking here. Unclear is how the lateral boundaries of the tideland parcel were determined. What is clear is the plasticizing of Puget Sound's tidelands is spreading north. Contact/permit information may be found here:

The application file may be examined at the Department of Community Development, 614 Division Street, Port Orchard, Washington, between the hours of 10:00 a.m. and 4:00 p.m. Monday through Thursday and Fridays 9:00 a.m. through 1:00 p.m., except holidays. The staff person assigned to this project is Lisa Lewis and may be contacted at (360) 337-5777. Lisa's email is: llewis@co.kitsap.wa.us

This is not in the "statewide interest"

and should be stopped.

"Statewide interest" or just in the interest of a few geoduck operators plasticizing Puget Sound's intertidal area?
Geoduck growers transforming Puget Sound's intertidal areas claim geoduck sold to China in order to satisfy their emotional belief of its bestowing virility, like shark fin soup or Black rhinoceros horns, is in the "statewide interest."  They claim their industry is a "preferred use" and as such should be allowed to use any methods with minimal regulatory oversight. Through well crafted public relations efforts and well paid attorneys they have to date succeeded in convincing agencies this is somehow good for Puget Sound. It is not.

Governor Inslee and Taylor Shellfish's Bill Dewey



Politics is messy, but it need not be gooey.
Governor Inslee has turned his eyes towards fundraising and sees a large pool of money available to support his campaign and those of others with help from the shellfish industry. Politics is messy, but it need not be gooey. Tell the governor geoduck farming is not in the statewide interest and populating Puget Sound's intertidal areas with PVC pipes is not a "preferred use" allowed under the Shoreline Management Act. Click here to contact the governor.

Pierce County/Haley Geoduck Farm: Coalition and Neighbors Appeal MDNS Decision

Location of the proposed 11 acre "Haley" geoduck farm

on tidelands jointly owned by Taylor Shellfish family,

Seattle Shellfish, and those of the Haley (Almond Roca) family.

 

The Coalition To Protect Puget Sound Habitat and neighbors of a proposed 11 acre geoduck farm on Case Inlet have appealed the Mitigated Determination of Non-Significance (MDNS) issued by Pierce County. It was felt the lack of analysis by Pierce County which preceded the MDNS decision would set a dangerous precedent for all of Puget Sound. Issues included such things as the large size of the farm; the lack of a clear indication of how the farm would be planted and harvested; and, little to no consideration of the current expansion of geoduck farming which is occurring and will occur in Puget Sound.

The appeal decision - a $2,900 investment in the future of Puget Sound
Unlike the past, it was strongly felt that not appealing the MDNS would set a dangerous precedent for all of Puget Sound. While an appeal fee of $2,900 had to be paid, the alternative of doing nothing would have left the door open for shellfish attorneys to claim, as they have in the past, that because "nobody appealed the MDNS" any environmental concerns should not be considered in the permitting process. It is an investment in the belief that the future of Puget Sound is in balance.

Overview of the Haley farm's location,

just north of Herron Island.

 

Access to tidelands is denied - "trust us"
Part of the decision rested on the fact that the Taylor family, Seattle Shellfish, and the Haley family refused to grant access to the tidelands to help scientists determine what was there. In the past, shellfish attorneys have stated because expert witnesses did not visit the specific site their testimony should be discounted if not ignored. Now, when given the opportunity to show that the contract scientists hired by the shellfish industry were, in fact, correctly analyzing the habitat, the shellfish industry denies access. Instead, they take a "trust us" attitude because their well paid contract scientists have been there.

Department of Natural Resources'

"Herron Lake" lease proposal,

south of the Haley farm. 



Pierce County, and other counties, cannot operate in a vacuum - a current weakness in the Shoreline Management Act
Also at issue is the fact that Pierce County feels it is only obligated to look at what is occurring in Pierce County. In fact, south Puget Sound's habitat spans three separate counties with three separate approaches to how its tidelands are developed. Pierce and Thurston County both require permits, some more stringent than others, both complained about by the shellfish industry. Immediately to the west, Mason County has chosen to virtually ignore any regulatory oversight of geoduck farming, as seen in this permit note to Arcadia Point Seafood, with similar letters sent to others in the industry:

wrote letter to applicants, Steve and Vicki Wilson, cc'd DOE and Corps, approving proposal without need for SDP [shoreline development permit] or letter of exemption.

Minterbrook Oyster owner Kent Kingman's

 unpermitted developments.

Even Pierce County is challenged by shellfish growers - Minterbrook Oyster owner Kent Kingman's unpermitted bulkheads, shellfish operation and old data
Despite Pierce County's permitting requirements, even shellfish growers make regulatory oversight difficult with unpermitted activities. Within the Coalition's Shoreline Master Plan update submittal to Pierce County is a settlement agreement between Kent Kingman, current owner of Minterbrook Oyster, and Pierce County, for unpermitted developments on his shoreline property at the south end of Herron Island. Included is a major unpermitted shellfish operation; bulkheads; decks; and a dam blocking a stream which created a lagoon (see above and page 9 of the document). Currently, Taylor Shellfish has applied to operate the shellfish farm. Part of the application to resolve the violation incudes an 8 year old (2006) review done for both the DNR site and Mr. Kingman's, hoping to address the "Critical Fish and Wildlife Review." The report was done by Bioaquatics, owned by Dan Cheney, also employed by the Pacific Shellfish Institute. It does not appear any of the above was considered in the decision process which determined the outcome of the MDNS which the Coalition is appealing.

"You too can get rich!"

Really?

The tideland rush
Added to the above is a current rush by shellfish growers to lock up as many tidelands as possible for as long as possible. Industry is out of tidelands leaving only private and public tidelands left. Waving promises of great riches before tideland owners who are, for the most part, naïve of the long term consequences of their signing on the dotted line, shellfish growers lock them in to long-term leases with a small percentage paid to them. Not discussed is who will clean up the mess when this "geoduck bubble" crashes. It is not a matter of if, only a matter of when.

Support the Coalition and Case Inlet Shoreline Association
You can help the Coalition in its drive to protect Puget Sound's habitat as it was meant to be with a donation to the Case Inlet Shoreline Association (CISA). CISA is a 501c3 organization so donations are tax deductible. More important is the future Puget Sound which you will help create.