Manufacturing

Pulp to Sawdust

By By Ross Anderson March 31, 2010

ECONOMY_townsend

Pt Townsend
A new maritime center in
Port Townsend signals a possible future for the town if its pulp mill closes.

Like countless other small towns across the nation, Port
Townsend half expects to wake up one morning and learn that its oldest and largest
private employer is shutting its doors. But this changing community, perched on
a narrow peninsula at the entrance to Puget Sound, has more than most to fall
back on.

For 81 years, the huge Port Townsend Paper mill, with its
array of stacks belching sulfuric fumes into the sky, has dominated the local
landscape. The town may be best known for its elegant old Victorian homes,
vibrant arts and dramatic setting, but for most of its history it has relied on
its pungent corporate citizen to provide nearly 300 jobs worth some $27 million
a year to the local economy.

But now Port Townsend Paper is struggling with rising costs
and competition from mills in Asia. Critics, especially those living downwind,
have challenged the companys air pollution permits. The company has been in
and out of Chapter 11 bankruptcy and has changed hands several times, most
recently to private owners who decline to discuss the firms economic health.

All of which leaves townspeople guessing about their
economic future. Meanwhile, down at the other end of town, Port Townsend is
about to get its self-styled $12.7-million economic stimulusa handsome,
25,000-square-foot maritime center that promises to showcase Port Townsends
newest industry. Financed with a mix of public and private funds, the Northwest
Maritime Center occupies a prominent spot at the entrance to the landmark Point
Hudson Marina.

More than a century ago, Port Town-send dreamed of becoming
the regions seaport, where sailing ships would offload goods for shipment by
rail across the continent. But steamships displaced sailing ships, and the
railroad never made it to Port Townsend. The town went bust and settled for its
pulp mill.

Beginning in
the late 1970s, a few young sailors and shipwrights rediscovered the town, bought
up some of those old Victorians, and started building and repairing boats down
at the marina. Today Port Townsend is a regional mecca for building and
maintaining small boatsespecially wooden boats.

Some 450 people make their living on and around the Port
Townsend waterfront. Twenty-four businesses build boats, ranging from wooden
kayaks to multi-million-dollar yachts. There are also 30 boat repair shops,
eight riggers, four sailmakers, 14 marine surveyors, 13 marine supply stores
and much more.

Jim Pivarnik, deputy director of the Port of Port Townsend,
says the combined marine trades now match or exceed the mills economic impact.

Still, Port Townsend would be clobbered by the loss of PT
Paper, cautions Scott Wilson, publisher of the local weekly newspaper, the Leader. Without the mill, this town becomes another
weekend getaway town, like Coupeville or La Conner.

The maritime trades, combined with a growing tourist trade,
simply cant provide the year-round, family wages jobs provided by the mill, he
says.

If PT Paper does close its doors, what will happen to its
huge chunk of prime waterfront real estate? Some see a new flurry of high-end
condos and seven-digit homes. Others see it as an ideal spot for a salty,
year-round shipyard.

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