Hood River Port brainstorms revenue sources

Following construction of the new Hood River-White Salmon Interstate Bridge, all tolls collected will be invested back into the bridge for operational upkeep.

On April 5, port commissioners and staff held their annual spring planning work session where this year much of the talk centered around financial sustainability. The port operates the Hood River Marina, Ken Jernstedt Airfield and several undeveloped properties throughout the county.

According to projections for 2023, the bridge will bring in around $3.6 million in tolls, but those tolls will be restricted to bridge maintenance and operation, rather than port operations. Other options for revenue are the port’s commercial and industrial interests, which will generate a meager $460,000 compared to the bridge tolls.

The port owns and operates eight properties in Hood River County and has several smaller concession type structures it leases seasonally. They hope to develop or sell ownership of properties such as the Lower Mill in Odell and the Lot 1 site in downtown Hood River. Lot 1 is the largest remaining undeveloped site by the waterfront. Although the port has a plan for the light industrial zone, Lot 1 is lacking basic infrastructure — sewer, water and streets — necessary to accommodate commercial business.

“The port is now currently looking to assess its strategic options while it navigates a construction market that is more expensive than previous,” said Greg Hagbery, property development manager.

The port commission has been very ambitious in trying to upgrade facilities at the Ken Jernstedt Airfield. Commissioner Mike Fox wants to turn the “sleepy airfield” into a profitable venture.

Recently, the port completed an expansion project of the north apron to support construction of flexible commercial hangars. Plans were proposed for an Aviation Technology & Emergency Response Center, but cost projections were far too high at $7.4 million.

“We have to look at what the market is doing today,” said Commissioner Kristi Chapman. “And if we have to think about it differently, we must know what our options are.”

Due to Federal Aviation Administration policies, any revenue generated by the airport cannot be used to subsidize other projects. For example, if the airport brings in a net profit of $1 million, all of that money generated must be put back into airport operations.

“In order to make this a successful airport the first step is to get it self-sustaining,” said Hagbery.

The marina is managed by Darryl Stafford who says no major projects are on the horizon only because there are still a lot of unknowns with the bridge replacement project.

“We are kind of waiting to see how the replacement effort will affect port operations on the river,” said Stafford.

Boat owners who lease spaces in the marina will see their annual rates go up. Stafford says this increase is to try and build a reserve fund for the port in an effort to become “cash positive” and address any necessary dock repairs.