Chelan County urges action; Port holds off on interlocal agreement vote

WENATCHEE — Chelan County Commissioner Shon Smith urged the Chelan-Douglas Regional Port Authority on Jan. 27 to approve an interlocal agreement immediately, arguing that further delay would continue costly litigation, but Port commissioners declined to take action without first reviewing the finalized document.

Smith appeared before the Port Authority to press for same-day approval of an updated interlocal agreement related to the Port’s proposed tax increment financing district in Malaga. He described the agreement as final and said approval would allow Chelan County to withdraw from ongoing litigation against the Port.

“I would encourage you to take action on it today,” Smith told commissioners, saying the agreement would help stop “the bleeding of the taxpayer dollars” associated with continued legal action.

Smith said Chelan County had agreed that once the interlocal agreement was signed, its litigation against the Port would end. He also acknowledged that other parties remain involved.

“We can’t control what Douglas County is doing on their side of the river,” Smith said, noting that Douglas County is a separate entity not bound by Chelan County’s agreement.

Port Commission Chair JC Baldwin responded that commissioners could not act on the agreement without first reviewing the finalized version Smith brought with him.

“I personally haven’t seen your finalized copy yet,” Baldwin said, adding that the board would need time to review “the final copy that you brought” before taking action.

Smith replied that the document presented was the final version, telling Baldwin, “Rest assured this is your final copy, not ours.”

The exchange made clear that while Chelan County considered the agreement ready for execution, the Port Authority had not previously reviewed the version presented at the meeting. Baldwin said the Port’s responsibility required commissioners to examine the full text before voting.

Port CEO Jim Kuntz also addressed the issue, emphasizing the need for the Port to fully understand the agreement and its implications before taking action.

Smith reiterated his concern that delays would prolong litigation costs and slow progress, while acknowledging that withdrawal by Chelan County alone would not automatically resolve all legal disputes involving the Port.

In the end, the Port Authority did not reject the interlocal agreement. Commissioners declined to take action at the Jan. 27 meeting, citing the need to review the finalized document before considering approval at a future meeting.

Andrew Simpson: 509-433-7626 or andrew@ward.media