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Home  /  Washington Business - March/April 2007  /  Community Profile - Kalama: Spirit and determination keep a small community looking forward
Community Profile - Kalama: Spirit and determination keep a small community looking forward
Written On: March/April 2007
Written By: by Shawn Sullivan
Kalama takes its name from John Kalama, a native Hawaiian who came to the Pacific Northwest in 1830. After landing in Washington, he met and later married Marry Martin, the daughter of a Native American chief. More than 100 years later, the two cultures—Hawaiian and Native American—represent the core of Kalama’s spirit. A spirit everyone in the community embraces.

"Kalama is the only town in the U.S. named after a real native Hawaiian man," said Bill Nahalea, owner of Aloha Island Treasures.

One of the ways Kalama celebrates its unique background is through Days of Discovery, a three-day event that combines Native American and Hawaiian culture. "We put together a Hawaiian luau and Native American powwow," Nahalea said. "It is the only event of its kind where you tie in both cultures at the same time." Some of the festivities include ukulele lessons, canoe rides, dancing, signing and craft making.

A surprising aspect of Kalama’s promotion of its culture is that most of the funding comes from the Port of Kalama. "There is a strong connection between the cultural history of Kalama and the history of the port," Nahalea said. "If it wasn’t for the port, we would not have a community to celebrate."

While supporting the community may sound typical for ports in Washington—all of them do it—the Port of Kalama actually kept the city alive. "The port started in 1920 when the community was struggling," said Mark Wilson, manager of planning for the Port of Kalama. Since that time, the port has served as the backbone for Kalama’s infrastructure and economic development.

Even city government relies on the port as a means to get projects done. "I don’t think I could do my job without the support of the port," Kalama Mayor Ron Poulsen said. "If we have projects that intertwine, the port will always chip in to get what we need." One of the current projects in which the port plays an vital role is the revitalization of Kalama’s downtown core.

With help from the port, Kalama is upgrading its sewer system, adding a flood prevention system and repaving the streets.

"The reason behind the port’s ability to support the community as much as we have is because, unlike the city and privately owned businesses, we qualify for federal tax incentives and distressed-county funding," Wilson said. With these funds available, the Port of Kalama has transformed a struggling business community into a flourishing exportation machine.

"If transportation is part of a business’ plan for success, this is the place for that business," Wilson said. "We have a 75-acre industrial park that is primed for new businesses." In addition, the port has several medium-sized employers already operational. Companies like RSG Forest Products, Chemtrade Logistics Inc., and the Kalama Export Company account for most of the 1,100 jobs in Kalama.

That’s not to say that the port hasn’t had to deal with its share of problems resulting from government regulation. NorthStar Yachts, a longtime AWB member and one of the few medium-sized marine manufacturers left in Washington, recently announced its decision to move to China. "The costs associated with environmental compliance and constant increases in insurance rates were going to put me out of business," said Jerry Clark, NorthStar Yachts CEO. "The port has been really good to work with, but the state has forced me to take my business, and the 120 jobs we provide, to China. Sixty percent of the small boat and engine manufacturers have already moved over to China—Washington gave us no choice but to go with them." The fact that several companies like NorthStar are leaving the state for a more affordable location is a daunting reality facing Washington every day.

Despite the closure of companies like NorthStar Yachts, the port is experiencing significant growth in its industrial park. "We hate to see such a well-respected employer go," Wilson said. "We tried our best to keep them from leaving, but we struggled with permitting issues—and we still struggle with them."

The conundrum facing the port is that the state requires that you have a client before you can obtain a permit, but clients don’t want to start the process until a permit is issued. "One of our driving forces is to create jobs for our residents," Wilson said. "A community that doesn’t grow, dies."

Despite the difficulty with permitting and zoning, the port is thriving. "We are one stop sign away from Interstate 5, we have access to rail and access to the Pacific via the Columbia River," Wilson said. "Perhaps our most marketable feature is that we actually have [industrial] space available—which comes with distressed area tax exemptions."

While Kalama’s port district continues to grow, smaller employers on the main street through town have begun to sprout up. "We will have been in business for two years come August," said Dena Ott, co-owner of Double D’s Feed Farm and Garden. Even though Double D’s is relatively new, it has already built up a solid core clientele that treats customers like family. "Our customers are a different sort of people—they all have animals and they are always friendly and cordial," Dena said.

Polite and friendly people are the norm in Kalama, even if your business is new in town. "The people of Kalama really welcomed me here," said Heather Haneberg, owner of the Flowering Vine, a full-service florist and design shop. "I have only been in business for a month and a half and haven’t advertised at all—and I am still doing quite well."

With new businesses springing up all over town, business owners like Patti Hickman, owner of Et Cetera Ceramics, see a new Kalama developing—one with enough economic activity and jobs for everyone. "I have been in business for nearly 24 years," Hickman said. "My usual patrons are local adults, but recently I have been getting quite a few walk-ins."

Kalama has an eclectic collection of businesses ranging from a large chemical producing company to a small, paint-it-yourself ceramics store. Kalama was once a community starving for economic activity, but through a collective effort between city government, the port and the local chamber, Kalama seems to be rebounding.

Washington’s available industrial zoning near Interstate 5 is diminishing quickly because of a lack of space and the state’s disapproval of industrial businesses. Although starting a business in Washington gets more difficult every year, port officials and Kalama’s city government will continue to their fight to keep jobs in Washington. "I love my home state and hate the fact that I have to move our operations to China," Clark said. "It is sad that the state left me no other choice."

The Hawaiian and Native American culture in Kalama has brought the community together, which in turn has drawn new businesses to town. It is spirit that drives them to restore a city that was once a starving community. Through this spirit and a collective effort, Kalama should continue to grow and prosper.