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Legislative Session Update from March/April 2025 Business Pulse column

Dann Mead Smith
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Legislative Session Update from March/April 2025 Business Pulse column

Given the deadline of my March/April Business Pulse column [starting on Pg. 75] that focused on the 2025 Legislative Session and in particular the state budget that was written in mid-February, here is an update on the various tax bills that I covered as well the status of some other bills that impact business.

Tax Proposals:

The short answer is that all of the tax proposals that I mentioned in my column: HB 1319/creating a wealth tax, 1320/increasing the Business and Occupation Tax, 1334/Annual Property Tax increases, 1480/allowing a local real estate excise tax, and the idea of creating a new, statewide Jump Start Payroll Tax are all still alive and will be debated in the coming weeks as various budget plans are finalized and debated.

The state is facing an actual $6.6 billion budget “shortfall” that needs to be addressed before the legislature adjourns on April 27th.  The Senate Republicans released their comprehensive budget proposal that increases state spending, addresses the $6.6 billion “deficit” without raising or creating any taxes this week.  The House and Senate Democrats will release their separate budgets later this month.  Both budgets are expected to include several tax increases from the above list as they want to increase state spending by another $10-$12 billion.

In addition, here is a list of some other bills that are moving in the session that may affect your business. We just passed a significant legislative deadline where all bills not related to the budget had to pass either the House or Senate.  Those bills that survived this legislative cutoff will now be debated in the other legislative chamber.

HB 1921 – creating a vehicle mileage tax that would charge all drivers by the amount of miles they drive to pay for transportation projects. This new tax might eventually replace the current gas tax – this bill is still alive

SB 5041 – allows workers who choose to go on strike to be eligible for unemployment (UI) benefits, raising costs on all businesses – this bill passed the Senate and is now in the House

SB 5382 – would replace new restrictions on citizen-led ballot initiatives to make it nearly impossible to collect signatures to qualify them – this bill looks to be dead as it has not passed either the House or Senate

HB 1217 – would impose stateside rent control – this has passed the House and is now in the Senate

HB 1380 – allows homeless encampments statewide even if cities have passed their own restrictions on camps on public property and limit public drug use – this bill has not passed either chamber so looks to be dead this year

Please keep checking the WBA website’s Advocacy page for further updates.

MAR | APR 2025

WBA
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MAR | APR 2025

A celebration to honor the best of Whatcom County business

Business Pulse staff
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A celebration to honor the best of Whatcom County business

At Whatcom Business Alliance, we believe in celebrating the visionaries, risk-takers and leaders who fuel our local economy. These are the people turning dreams into reality, launching startups, expanding businesses, creating jobs and keeping our community vibrant. Whether you’re the one pouring your savings into a new venture, fine-tuning a business plan, motivating a team or navigating shifting markets, your hard work deserves recognition — and we’re here to tell your story.

For 38 years, the WBA has hosted the most exciting celebration of Whatcom County’s business community. It’s a night of high energy, fine dining, inspiring video spotlights and prestigious awards. Most importantly, it’s a moment to honor those who make this region thrive. This year’s awards gala takes place on March 27 at the stunning Hotel Bellwether, and the lineup of nominees proves once again that Whatcom County is full of remarkable talent and innovation.

The Start-Up of the Year category honors those bold enough to launch something new. Bloomhaven Bottle Shop, located in the heart of Fairhaven, is Bellingham’s first specialty retailer dedicated to non-alcoholic spirits, wines and beers, redefining the way people enjoy sophisticated beverages. Cooper Northwest is making an impression in the commercial landscaping world with its fast-growing, community-driven approach. Create It Studio is more than a crafting space — it’s a hub for digitizing services, embroidery design and creative retreats, giving artists and hobbyists a place to bring their visions to life. King of Kings Window Cleaning is taking sustainability to new heights, offering eco-friendly roof and gutter cleaning while building strong relationships with customers.

The Small Business of the Year category highlights companies that have established themselves as pillars of the community. Avenue Bread, a Bellingham staple known for its incredible soups and sandwiches, is thriving under new ownership while continuing its legacy of delicious, locally loved fare. Bellingham Bay Builders is setting a new standard for sustainable, high-performance homes, all while operating under an innovative worker-owned model. Stemma Brewing blends family, craft beer and community with plans to expand into a second location in 2025. Summit Bookkeeping continues to grow steadily through referrals, helping businesses keep their finances in order and championing success along the way.

For Business Person of the Year, we’re recognizing individuals making a significant impact. Brad Barron, CEO of Barron Heating AC Electrical & Plumbing, not only leads one of the region’s top home service providers but also prioritizes giving back, supporting charities and promoting clean energy solutions. Stowe Talbot and the Talbot Group are behind the transformation of Barkley Village, creating a dynamic mix of business, housing and entertainment that’s shaping the future of Bellingham. Trip Randall, CEO at Superfeet Worldwide, helps his company produce premium insoles for athletes and general customers, collaborating with health care professionals and industrial businesses.
Ty McClellan of Hardware Sales is carrying on
a proud family legacy, leading one of the area’s most trusted home and industrial suppliers while fostering a culture of growth.

And of course, we can’t forget the Public Service, Employee of the Year, and Lifetime Achievement award winners — individuals whose dedication, hard work and passion are second to none. To find out more about our inspirational finalists and award winners, and why they’re the best of the best, read the stories captured by our talented stable of writers in this exciting issue.

With so much talent and drive in Whatcom County, this year’s celebration promises to be one for the books. Here’s to the businesses and people shaping our community’s future — we can’t wait to raise a glass to you!

Subscribe for a rpint copy to see the list of finalists!

Recruiting in today’s world

Tamara Loucks
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Recruiting in today’s world

Worker shortage and candidate expectations create hiring challenges

For several years, businesses across the region have struggled to fill blue-collar positions due to a shortage of skilled and specialized workers. While it’s an idyllic place to live and work, Whatcom County’s geographical location produces an even smaller candidate pool. Add in some recent candidate-driven, post-pandemic trends in the job market, and recruiting for skilled labor positions is now even more challenging.

“The county is bordered by the Pacific Ocean to the west, the Cascade Mountains to the east and Canada to the north,” said Amanda Sell-Sande, CEO of Bellingham-based recruiting company Julison-Sell Search Team. “It creates a geographical conundrum and contributes to the shortage of skilled labor. Lots of companies need it, and they are struggling to hire at that level.”

Bellingham Cold Storage is just one of the many local companies feeling the pinch of the skilled labor shortage. The company’s workforce varies between 160 and 180 people, approximately 35 of whom are administrative staff. The remainder primarily fill warehouse positions, including as forklift drivers, laborers, maintenance staff and engineers.

“The majority of our administrative team are long-term employees,” said Kim Clemons, vice president of human resources for Bellingham Cold Storage. “Positions there rarely open. Where we struggle is staffing the warehouse positions, about half of which are forklift drivers and heavy-duty laborers. In recent years, there’s a shortage of available skilled tradespeople and laborers, so it’s been difficult to find candidates.”

People don’t often show up at job fairs anymore, he said. Before the COVID-19 pandemic, people used to line up at the fairs to learn what Bellingham Cold Storage was doing and what positions were available.

To hire the company’s essential workforce, Clemons and her team work with temporary employment agencies, Worksource and Goodwill and partner with a few companies that aren’t mainstream recruiting organizations, such as World Relief and the Washington State Department of Corrections.

“We’ve had great success with our DOC hires,” Clemons said. “We’ve found them to be reliable workers because they have to check in and report with their parole officers, and they work hard because they want a second chance at life. We run background checks, and if candidates are honest with us about their history, we want to provide them with that second chance.”

Clemons added that Bellingham’s high cost of living also contributes to the skilled labor shortage. Even though Bellingham Cold Storage pays good wages and offers great benefits, it can be too expensive for blue-collar workers to live locally, and not all candidates are willing to commute.

The skilled labor shortage is also a recruiting challenge for Western Refinery Services. The company has 240 to 250 employees within the industries of civil construction, refinery maintenance and asphalt paving. Some of the positions WRS hires include equipment operators, safety professionals and industrial positions. The company recruits in house and posts open jobs on its website, Indeed, GlassDoor and social media, and sometimes it places local ads. These efforts have aided WRS in filling the company’s diverse skilled labor and specialized positions.

“Some of those specialty positions are unique and require a skillset that you can’t go to school and learn,” said Karen Dykstra, the manager of people and benefits at WRS. “So those are the ones that are a little tougher for us, because you have to gain the knowledge through experience.”

The evolving post-pandemic job market

In the past five years, new post-pandemic trends have changed the hiring landscape. Several of those trends are driven by candidates. Besides decent pay and benefits programs, applicants also seek employment opportunities that offer flexibility, work-life balance, employee incentives and an employer whose values align with their own. 

COVID-19 introduced remote work and flexed schedules to the workforce on a wide scale. Since the pandemic, many prospects still want that flexibility in their work day. Flexibility also contributes to work-life balance. Employers who are rigid about work schedules will find it harder to retain employees.

“COVID was a great humanizer,” Sell-Sande said. “People want [to be] recognized as humans who have lives, and they’re not willing to put up with pressure, abuse, unreasonable work expectations. Life comes first. Work is now second.”

However, for companies like Bellingham Cold Storage, operational demands make flexible work schedules an impossibility.

“Our work schedules are determined by when trucks and boats need loading and off-loading,” Clemons said. “Because of remote work and the trend in gig working, I’ve found people want to manage their own schedules. Newer generations of workers want to pick and choose when they work, but that doesn’t work for us. Our operations don’t have that type of flexibility.”

In the past, candidates for skilled labor positions primarily asked during interviews about benefits packages. Today, they are dialed in and ask direct questions about flexibility, training, opportunities for advancement, work environment and safety.

“Candidates also ask about our onboarding process, culture and if there’s profit sharing,” Clemons said. “They want to know specific job details and exact work schedules. They want to know ‘what’s in it for me’. We now offer signing bonuses and additional bonuses throughout the year, including just before Christmas. We also have an employee appreciation committee and an education coordinator.”

Dykstra concurs.

“It’s almost to the point where I’m getting somewhat interviewed, and our company is being interviewed, so that has changed from what I have witnessed in the past. They want to know ‘what is WRS going to do for me’, which is great because we love to have those conversations.”

Workplace culture matters

A key aspect to hiring and retaining employees today is attributed to company culture. Candidates are prioritizing employers who they believe will provide value to them and notice the value they as employees bring to the company. 

“Successful hiring strategies today start with company culture, which needs to be reflected in everything you do,” Sell-Sande said. “Prospective employees want to know what your company stands for.”

Bellingham Cold Storage recognizes the importance culture contributes to growing and retaining a reliable workforce. The company’s core values of teamwork, integrity, accountability, attitude and quality were set by their employees, not management, and are posted throughout the facility. They also are discussed during the hiring and onboarding process.

Dykstra believes that transparency during the hiring process ensures that candidates understand what it means to work at WRS and whether the company would be a good fit for them.

“We are transparent with prospective employees to ensure they understand what our core values are, what it’s like to work here, what our benefits are and stress the importance of our culture of safety, which is huge in our industry,” Dykstra said. “We also let them know we retain and grow our team from within. Of our 57 company leaders, 47 have come up through the ranks. It’s been helpful for us. We’ve experienced a bit of an uptick in applicants recently, and we don’t have a lot of turnover.”

There is no clear timeframe for when the skilled labor shortage will end. With fewer workers available to fill open positions, candidates have the opportunity to choose the employer they believe most closely aligns with their needs and values. The blue-collar job market is highly competitive, so Whatcom County employers will need to implement strategic recruiting strategies to attract and retain these high-demand workers.

Lessons learned

Rud Browne
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Lessons learned

We all see the world through the lens of our experience. My view is colored by decades spent operating a mid-sized multinational business and eight years as a member of the Whatcom County Council. I had thought the transition from business to government would be easy, as the county was about twice the budget and number of employees as the business I had run.

I soon learned local government is far more complex and challenging to operate than a similar-sized business. As a business owner, I had no boss; a councilmember in Whatcom County has 225,000. Local government is the one “closest to the people.” It is legally a subdivision of Washington, which means that most local regulations are state mandates. Local government can legally only make things more restrictive, never less restrictive.

Everywhere across the developed world, from America to Australia to Austria, owning a house has become an unrealistic dream for most young people. During the time I was elected, I avoided developing any land in the county, feeling it was a conflict of interest to be on “both sides of the counter.” I now realize that was a major mistake. I should have developed at least one property to experience how intensely difficult our society has made it to build housing. Which is why, for the past three years since I left office, I have chosen to experience firsthand the challenge of increasing buildable land to support new housing. My current belief is that every elected official, at every level, should either try to build some housing or shadow two people who are (from start to finish, one trying to create a new buildable lot and the other trying to permit development).

Most government employees I have interacted with are dedicated and professional. When challenges arise, the cause is likely one or more of the following:

1.  the complex and sometimes conflicting rules that government employees have to navigate;

2.  the constant fear of litigation (which favors saying “no” to minimize risk, thus discouraging innovation); and

3.  some misapplication of rules due to poor training or a misunderstanding of the scope of their authority.

But the biggest barriers to more housing are a lack of interagency collaboration and a lack of understanding of the unintended consequences of new regulations upon the whole. I have seen countless state and federal mandates and read thousands of new rules and regulations, but I have never seen any include analysis of the compliance cost or the impact on affordability and availability. For example, on-demand all-electric hot water sounds energy efficient, but there never is mention that it will add $10,000 to the cost of a house, since a larger transformer is required.

Another example is the new 2025 wetlands buffer rule changes, which make it harder and much more expensive to create housing. I love wetlands; they feed my soul. Over the past 20 years, I have purchased more than 300 acres of land with the intent to enhance and protect them. My goal is to eventually gift our community with 1,000 acres protected in perpetuity. To fund this, I am using the least-sensitive portion of each parcel to create much-needed, small, clustered, energy-efficient single-family homesites while mitigating impacts by enhancing more valuable habitat at greater-than-prescribed ratios.

Ideally, growth should target urban growth areas — land outside the city limits where future development is expected — that have water and sewer already installed. The next best option is rural areas served by private water districts with surplus water rights capacity. Imagine you have 5 acres in a UGA zoned four houses per acre (20 homes in total) with one small Category III (common, lower class) forested wetland in the middle, just larger than a pickleball court. In 2024, you had to preserve a 150-foot buffer around it, taking up just over 2 acres. In 2025, the buffer is now 300 feet, or 7 acres (2 acres more than the property). Buffers don’t stop at property lines, and if the parcel has more than one wetland and/or your neighbors have wetlands, the buffers can easily cover a very large property. The law allows limited impacts to a small portion of the buffers; it requires enhancement (planting trees) on the property or nearby. Both are expensive, so the number of permitted lots will likely be much less than zoning allows. The costs get added to the homebuyer’s price, making housing even less affordable. The new 2025 buffer rules will make most of the county UGAs unbuildable.

State lawmakers acknowledge that more housing is needed, but then government departments create policies that impact affordability and availability with no awareness or analysis of the consequences. The state Growth Management Act requires planners to use “best available science,” but the current critical-areas map was built using 1981 aerial photos and a 1992 survey of (only) Category I wetlands. It fails to identify the vast majority of wetlands in the county that are Category II, Category III and Category IV, so it creates the false impression that most of the county is still buildable even though 300-foot buffers are applied. In the past 10 years, just one new buildable lot has been created for every five new houses permitted. It’s unsustainable and getting worse.

I recently joined the Whatcom County Planning Commission, as 2025 will be the year the comprehensive plan is updated. The last buildable lands report claims we have thousands of vacant buildable lots, when in truth we may be lucky to have a few hundred. We can’t plan for the future unless we know the remaining real buildable land, which requires revising the critical areas map using 2024 data.

Aren’t we all tired of seeing our grown kids forced to move elsewhere to raise our grandchildren? Our government entities must be required to identify and disclose the affordability and availability consequences created by any new regulations.

JAN | FEB 2025

WBA
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JAN | FEB 2025

An economy fueled by visitors

Elisa Claassen
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An economy fueled by visitors

Exploring the impact of tourism in Whatcom County

Located in the upper northwest corner of the continental United States, Whatcom County is surrounded by the border with Canada, the Cascade Mountains and the Salish Sea and encompasses a vibrant culture and almost any type of outdoor recreation you can imagine. 

The tourism market has been interlinked with Canadian visitors in the past and has resumed welcoming them — and others — since the pandemic interrupted travel.

Take a look at one large annual event that takes place in Whatcom County: the Ski to Sea race, which starts at the Mount Baker Ski Area, proceeds down and along the lengthy and scenic Mount Baker Highway, the Nooksack River and Bellingham Bay and ends in Bellingham’s Fairhaven district. Teams of professional athletes mix with everyday family and friends who ski, bike, run and paddle. Thousands of visitors and locals compete, watch or party at the finish line.

Bellingham/Whatcom County Tourism is a nonprofit economic development and destination marketing agency that promotes Bellingham and Whatcom County as a premier year-round travel destination for leisure travel as well as business meetings and conferences, group tours, sports, outdoor recreation and cultural heritage.

Created and incorporated in 1978, BWCT continues to monitor and encourage visitors. From its physical office adjacent to the freeway near Lakeway Drive, it creates an impact by sending staff to conferences, leading workshops and responding to requests for information.

“Destination marketing organizations like ours rely on metric tools to understand and champion the economic impact of meetings and events,” said Katy Willis, BWCT director of destination sales. “Destinations International, in partnership with Tourism Economics, developed an Event Impact Calculator which is utilized by over 300 destination organizations worldwide and is the global standard for measuring net new money coming to a community because of meetings and events. Meetings and events are an important revenue stream for our community. They not only provide direct spending but also generate sales tax dollars and support jobs.”

Willis translated tourism into dollars and the impact on Whatcom County: The Event Impact Calculator from direct sales amounts to $1.27 million, and estimated hotel room night demand is 2,120. For Bellingham Bells baseball, 31 regular season home games account for an EIC in direct sales of $69,688 per game and an estimated hotel room night demand of 23 rooms each game for a total of $2.16 million and 713 room nights for the season. During the American Rhododendron Society conference, held May 1 to 5 in 2024, the EIC in direct sales was $101,300 and 274 total hotel room nights.

BWCT hosts an education series on recreation and tourism. On Oct. 30, 2024, Sales and Sports Development Manager Eric Rainaud-Hinds and Community Outreach and Destination Development Manager Lindsey Gerhard hosted a session in the Hotel Leo Crystal Ballroom on the impact of tourism from sports, outdoor recreation, cultural arts, events and festivals on the community and discussed how to be involved. BWCT outreach also has included a road trip series in which BWCT partnered with Scenic Washington to produce videos about traveling scenic roadways locally, including Chuckanut Drive and soon another on Mount Baker Highway.

The 2024 report will be released in May; the last completed year was 2023.

According to State of Washington Tourism, total travel spending in 2023 was $750.8 million, up 9.1 percent from 2022.

In addition to the central tourism office, the smaller towns in the county also operate tourism efforts. The city of Blaine has a Blaine Tourism Advisory Committee to more effectively develop its tourism and recreation economy and updates the Blaine Tourism Marketing & Development Plan. It also recommends programs to the local city council and seeks ways to interface with the public and business community.

On the waterfront

Christine Jenkins has been the director of sales and marketing at the four-star full-service luxury Hotel Bellwether on the waterfront since the spring of 2021. She oversees all marketing efforts, sales, public relations and strategic use of the 10,000-square-foot event space. Prior to this role, Jenkins had 20 years’ experience in the tourism and hospitality industry, including as an employee of BWCT and in a similar position at the Four Points Sheraton. Jenkins has continued to serve on several associated boards, including the Bellingham Tourism Commission and the Bellingham Whatcom County Tourism Board. She is a past member of the Lodging Tax Advisory Board.

In the hospitality industry, Jenkins has seen changes in recent years. Bellwether saw growth during the pandemic, with visitors not venturing as far from home to enjoy shopping, meetings, concerts and museums. Rather than Canadians making their way down, rooms were filled with those seeking in-state leisure opportunities or business travel, she said. In 2024, Jenkins saw more Canadian travel for leisure, shopping and events. Her hotel has large bayside event spaces, and Jenkins said she has seen the guest lists for weddings increase from around 100 to 150 initially to 200 to 300 now. 

When Canadians couldn’t visit during the border closure, more locals started to come, Jenkins said, and often the purpose was simply for resting or disconnecting. They needed a place and space to de-stress and recuperate.

BWCT Communications Manager Becky Mandelbaum relays information from BWCT President and CEO Dylan Deane-Boyle for insight on tourism impacts. 

“When restrictions lifted in 2021,” said Mandelbaum, “we saw a surge in tourism across the country and internationally, with visitor spending in Whatcom County increasing by 38.4 percent compared to 2020. This upward momentum continued into 2022, with spending increasing 30.5 percent in Whatcom County. Though the rate of growth slowed in 2023, which was to be expected after the boom of ‘revenge travel’ following COVID shut-downs, tourism spending in 2023 still grew 9.1 percent, and visits increased 4.6 percent, coming closer to pre-COVID numbers, suggesting that travel to Whatcom County is stabilizing.”

The $750.8 million injected by visitor spending into the Whatcom County economy in 2023 supported 7,735 local jobs and reduced the individual tax burden by more than $700, Mandelbaum said. During that time, Whatcom County had 3.42 million total visits, a growth of 4.6 percent. A portion of lodging tax collected in the county gets reinvested into the community in the form of tourism promotion grants. These grants, which are administered by local municipalities, help fund local events and infrastructure, such as the July NW Tune Up Festival and public restroom maintenance in highly visited areas such as Glacier and Birch Bay.

Most of the visitors driving from outside the region come from Seattle; Vancouver, British Columbia; and places in Oregon. Meanwhile, visitors have been flying from cities in California and places in the Southwest with direct flights into Bellingham International Airport.

“Canadian spending in Whatcom County typically fluctuates with the exchange rate,” Mandelbaum said. “Another change over the years is that increasingly, visitors on the ground and potential visitors find our information online, making our website, digital content and social media presence more essential than ever.”

Western Washington University’s Laurie Trautman, a professor and director of the Border Policy Research Institute at WWU, said her department is doing fewer analyses of the impacts of cross-border traffic than before the pandemic.

While the traffic volume is rising, it is still not up to pre-pandemic status. One factor is the Nexus program, which does background checks of its participants for faster cross-border travel. While this program has two appointments — one for each country — at the same time in the US, it often is more extensive on the Canada side, which makes enrollment more difficult.

Trautman also noted that due to the length of the pandemic, shoppers had time to create and sustain new shopping behaviors. At the same time, the local community, she said, did see an increase in local spending. Like others, Trautman also looked to the strength of the Canadian dollar for the most impact on shopping south of the border. The Canadian dollar in November 2024 was close to 70 percent of the US dollar, close to its lowest point since the start of the pandemic in early 2020. The results of the US presidential election, Trautman said, also are likely to have impacts, especially if tariffs or economic measures are instituted with Canada.

A small border town: Lynden 

Scenic Lynden, with population 16,551, is known for its Dutch charm. Unlike Sumas and Blaine, Lynden doesn’t sit exactly on the international border but is in close proximity. Gary Vis, longtime director of the Lynden Chamber of Commerce, recently celebrated a popular festival in his town: the lighted Christmas parade on the first Saturday night in December along the town’s Front Street. It attracts locals and visitors alike as trucks and floats ringed with lights entertain the crowds. (Sumas and Blaine were also contacted but did not respond.)

“Pre- and post-pandemic are in many ways the same,” Vis said. “For example, for our Canadian visitors, most appear to be day-trippers coming down for a bite to eat, some shopping and visiting their favorite stops, such as the Lynden Dutch Bakery or Lynden Heritage Museum (formerly known as the Lynden Pioneer Museum). We seem to have more visitors coming overnight to visit family in the area or making a trip up to British Columbia and making us a stop for a night or two on the way up or back.

“Visitors from around the country, especially the East Coast, seem to be straight up making a trip to see the West Coast. Lynden is the base camp to see the county and great Northwest.”

Lynden has made a concerted attempt to get locals more involved in community life, Vis said.

“We have taken the approach in our marketing to focus on who we are as a community,” he said. “On social media, we spend the majority — roughly 70 percent or so — of the space ‘speaking’ to locals, primarily because as a consultant hired by Bellingham Tourism stated a few years ago, we need the locals to ‘make the experience,’ so coming to community events, participating in local activities, etc., in order to build the excitement and energy visitors enjoy. Then, when visitors do make the plunge to visit, they have a spectacular experience and often make return trips to enjoy more.”

Vis said visitors may come to the Northwest Raspberry Festival in the early summer and then make a return trip for the Northwest Washington Fair in August.

“We often remind our local residents they are a huge part of the visitor experience,” Vis said. “A ‘hello,’ smile and a wave, and just being friendly, are so important, as we all enjoy when we ourselves visit somewhere, as many visitors comment about their positive interactions with the folks who call north Whatcom County home.”

Since pandemic restrictions were lifted, Vis said he has seen many more Canadians coming again for day trips or overnight stays. Lynden also is getting steady visits from within the state and even from the Midwest via recreational vehicle travel, as people tour the country and stay at the Lynden KOA and Oostema Farmstead, which has space in a farm setting for RVs (“Each a unique experience in their own way,” Vis said).

“Based on comments we receive,” he said, “the area in general has such natural beauty that they are stunned: ‘it is better than the photos and websites show.’”

Overall, tourism is a boon for Lynden.

“Tourism does help the local economy to some extent, perhaps more than some appreciate,” Vis said, “and although the hard numbers are hard to determine, if at the end of the year $350,000 or so of Lynden sales tax — about 10 percent of the city’s total sales tax revenue — are generated by visitors, and more people have businesses and jobs because of our visitors, it’s a win for Lynden.”

Celebrating 50 years of Business Pulse magazine

WBA
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Celebrating 50 years of Business Pulse magazine

Floods, fires and fierce determination

In 1975, a group of visionary business leaders in Whatcom County, led by banker Rick Tremaine, founded Whatcom County Business Pulse with a bold mission: to give the local business community a voice. From its inception as a tabloid-style newspaper, the publication was designed to highlight the people, news, issues and trends shaping the region’s economic landscape. Over the past five decades, Business Pulse has grown into an enduring institution, championing the successes of local businesses and driving meaningful conversations about community prosperity.

As Business Pulse marks its 50th anniversary, we look back at its remarkable journey, shaped by visionary leadership, innovative adaptation to change and an unwavering commitment to the business community. 

The beginning: a voice for local business

The early 1970s was a time of significant change and growth in Whatcom County. Local business leaders saw the need for a platform to elevate stories about businesses, advocate for their interests and address key economic issues. Under Rick Tremaine’s leadership, a dedicated team of entrepreneurs and professionals launched Business Pulse as a tabloid-format newspaper. The publication quickly became a trusted source for stories about the people and industries driving local economic growth. 

The desktop publishing revolution: Gerald Baron’s vision

In 1988, Gerald Baron acquired Business Pulse and began transforming it into a full-fledged magazine. This transition coincided with the emergence of desktop publishing technology, an innovation that changed the publishing industry forever. Baron embraced the revolution, swapping traditional typesetting equipment for the groundbreaking Aldus PageMaker 1.0 software and the first-generation laser printers. Time Magazine took notice and interviewed Baron as a pioneer of desktop publishing in America.

Baron’s bold embrace of technology enabled Business Pulse to elevate its visual design and storytelling. Recognizing the need for fresh talent, he hired Tony Larson, a young entrepreneur just out of college who had learned much from his mentor, Gerald’s father, Sid Baron, also a serial entrepreneur who owned many businesses. Together, they set the stage for the next chapter of the magazine’s growth.

From disaster to determination: Tony Larson’s leadership

By February 1990, Larson was ready to take the helm of Business Pulse. On Friday, February 9, Larson and Baron finalized the terms of the sale. But the next day, disaster struck: A flood backed up Baker Creek and devastated the magazine’s office, destroying equipment, files, the darkroom and even the current issue about to be published. Despite this significant setback, Larson, with the help of Sid Baron, moved forward with the purchase. Sid Baron offered Larson free temporary office space, including a desk, phone and fax and copy machine. On his first official day as owner, Larson faced the challenge of rebuilding the business from scratch.

Larson’s resilience and vision guided the magazine through this tumultuous start. His mission was clear: to celebrate the individuals and businesses driving positive change and to advocate for the success of the local business community. Larson believed that business success was the cornerstone of community prosperity. 

Expanding the vision: events and advocacy

Under Larson’s leadership, Business Pulse evolved beyond a publication. It became a platform for celebrating local businesses and fostering community dialogue. Central to this expansion was Danielle Larson, Tony Larson’s wife, who worked side by side with him in planning and executing many of the magazine’s special events. Together, the Larsons organized and promoted many events, including the Northwest Business Expo, the Business Person of the Year Awards Banquet, the Economic Forecast Breakfast, the Leaders of Industry Conference, the entrepreneurial and success conferences and various seminars and monthly roundtables.

Danielle’s meticulous planning and organizational skills ensured that these events ran smoothly, providing opportunities for business leaders to connect, share ideas and celebrate their successes. These gatherings became cornerstones of the magazine’s mission to uplift the business community and became important profit centers that supported the magazine.

Business Pulse also became a strong advocate for policies that supported the business community, often challenging elected officials to prioritize economic development and policies supportive of local farming, industry and small business. 

Rising from the ashes: the 1999 fire

In March 1999, tragedy struck again when a fire destroyed the magazine’s office and much of its archives. The fire occurred just a week before the annual Business Person of the Year Awards Banquet. While the records and planning documents were on the hard drives, the cloud was not yet invented, so all the planning materials were lost. Despite the devastation, the event went on as planned, becoming a powerful celebration of resilience and the role Business Pulse played in the community. The fire underscored the magazine’s determination to continue its mission even in the face of significant obstacles.

Danielle Larson played a critical role during this crisis, helping ensure the awards banquet was a success despite the challenges. The event became a testament to the strength and dedication of the Larsons and their team. 

A new era: the Whatcom Business Alliance

In 2012, Larson founded the Whatcom Business Alliance as a natural extension of Business Pulse’s advocacy work. This nonprofit organization was built on Larson’s foundational belief that business success drives community prosperity and his understanding that there is strength in numbers — and, thus, that if he could attract CEOs from Whatcom County’s top companies, the advocacy would be much more powerful. The WBA quickly gained traction, with top business leaders in Whatcom County joining its board. Larson recalled a conversation with early adopter Doug Thomas, CEO of Bellingham Cold Storage: “Doug was one of the first to join the board and become a founding member. I so much respected Doug, the core values he represented and how those could be seen in the way he ran his company,” Larson said. Thomas still serves on the WBA board. Business Pulse then became the official publication of the WBA, further solidifying its role as a voice for the business community.

Transition to new leadership: Barbara Chase takes the helm

In 2020, after decades of dedicated service, Larson stepped down as president of the WBA and publisher of Business Pulse magazine. The WBA board appointed Barbara Chase as his successor, ushering in a new chapter for the organization and its flagship publication. “Barb is an extraordinary asset to the WBA, Business Pulse and the community,” Larson said. “Having been a business owner herself, she understands the many challenges and obstacles of running a business and how important it is to have the backs of those working so hard to support their employees.” Chase’s leadership continues to build on the strong foundation laid by her predecessors, ensuring that Business Pulse remains a vital resource for the local business community.

Reflecting on 50 Years: a legacy of impact

As we celebrate 50 years of Whatcom County Business Pulse, it’s clear that the publication’s impact extends far beyond its pages. From its humble beginnings as a tabloid newspaper to its evolution into a respected magazine and advocacy platform, Business Pulse has been a constant voice for the business community.

With more than 500 cover features and thousands of stories celebrating the accomplishments, challenges and insights of business leaders from all walks of life — from large corporations to mom-and-pop businesses, from seasoned veterans to rising entrepreneurs — Business Pulse brought many stories to light.

These stories aren’t just about successes; they are about the full spectrum of the human experience in business — the victories, the failures and the lessons learned along the way. 

The journey has been marked by challenges, from floods to fires, but each obstacle has only strengthened the publication’s resolve. At its core, Business Pulse has remained committed to its founding mission: to uplift the individuals and businesses that drive Whatcom County’s prosperity and quality of life.

The contributions of Tony and Danielle Larson, along with their teams, have ensured that Business Pulse not only survived but thrived. Their shared vision and dedication to lifting the community created a legacy that continues to shape Whatcom County’s business landscape.

Larson said he believes Business Pulse Magazine has survived and thrived because of the business community buy-in and the unwavering dedication, skill and passion of its employees. He adds that every individual — past and present — has played a critical role in shaping the legacy of the past 50 years.

Today, as we reflect on five decades of history, we also look to the future. The business community continues to evolve, and so too will Business Pulse and the WBA, adapting to new challenges and opportunities while staying true to their core values.

Here’s to 50 years of Whatcom County’s Business Pulse magazine — and to many more years of championing local businesses, fostering community success and making a lasting impact.

The heart of our city

Cheryl Stritzel McCarthy
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The heart of our city

A variety of viewpoints on business downtown 

Business Pulse contributor Cheryl Stritzel McCarthy reached out to Bellingham’s mayor, police chief and select businesses in, or formerly in, Bellingham’s downtown core to get a well-rounded take on our city’s heartbeat.

A Q&A with Mayor Lund and Police Chief Mertzig

The mayor and police chief responded cooperatively to questions about the status of downtown. (Remarks have been edited.)

Q: When did the city hire private contractor Risk Solutions Unlimited to act as downtown security patrols in addition to regular police?

In January 2022, due to reduced police response caused by staff shortages and state legislation that changed police duties. We also saw a need for security staff who could respond and de-escalate situations that didn’t require a police response.

We first partnered with RSU in a two-year pilot program. Results were positive, showing that downtown stakeholders and others valued the additional security and connections to community services. During the pilot, two separate safety teams provided services: RSU and Streetplus Safety Ambassadors. At pilot’s end, we determined it would be more efficient to combine daytime and nighttime safety patrols under one contractor. At the beginning of 2024, RSU began patrolling downtown Bellingham seven days a week, 24 hours per day.

Q: Could Bellingham get an ordinance prohibiting panhandling?

We won’t speculate. We know, anecdotally and from our survey, community members say it’s erratic or aggressive behavior and open drug use that are most concerning, and our community wants to compassionately address people who are unhoused or experiencing behavioral health challenges, as well as those of the broader community.

We’re responding to what we’ve heard are top priorities: keeping downtown clean and welcoming, maintaining emergency medical services and police officers, creating safe and convenient ways to walk and bike downtown, and supporting organizations that provide social services downtown.

(Existing municipal code finds people guilty of pedestrian interference if they aggressively beg, meaning with intent to intimidate another into giving them money or goods.)

Q: What are the metrics on businesses downtown?

Downtown continues to be our largest employment hub, with more than 8,800 jobs and 558 businesses. It’s also our most successful urban village in terms of retail and housing. Of the jobs, 28% are commercial, 17% food and drink and 8% retail. Downtown is also home to more than 4,600 residents. 

See our Urban Village data dashboard (cob.org/services/planning/urban-villages) for current metrics, and look at our Downtown Forward Progress Report (cob.org/gov/mayor/top-issues/downtown-forward).

We will collect other data starting in 2025 so we can track progress. We don’t currently track commercial occupancy/vacancy rates for downtown.

Q: Can you speak to the safety and comfort of downtown?

Our police department will be bringing back a bicycle unit to increase police presence while offering a community-oriented policing model downtown. Reports of open drug use, property damage, disorderly conduct and people experiencing behavioral health crises are the primary challenges. The bicycle unit will expedite responses to these calls for service and connect people to resources.

In our recent survey, many people said they feel safer downtown than they did last winter, and about two-thirds said they feel positive about downtown’s future. There are so many great things happening downtown, and there are so many businesses and organizations making it lively and fun. We’re committed to keeping it safe and welcoming for business owners, employees and customers.

Downtown is an engine of economic opportunity and the heart of arts, culture and entertainment for Bellingham and the county. We’re investing in this vital neighborhood because when a downtown thrives, the rest of the city benefits, too.

The Jan/Feb print copy of Business Pulse magazine has further sidebars expanding on this story. Get your copy here!

It’s time to push ‘pause’ on spending

Kris Johnson
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It’s time to push ‘pause’ on spending

It wasn’t long ago that Washington state lawmakers were awash in a multi-billion-dollar budget surplus thanks to a surprisingly strong rebound from the pandemic lock-down and a flood of federal relief dollars.

At the time, employers were pleading with lawmakers to make smart decisions about what to do with the excess, i.e. put away some of the money in the rainy-day fund, don’t use one-time funds to pay for ongoing obligations, and don’t raise taxes at a time when the state is flush with resources.

The Association of Washington Business even joined with chamber of commerce partners around the state in an advertising campaign urging lawmakers not to raise taxes on employers with so much new revenue coming into the state’s coffers.

We were concerned not only about hurting businesses that were still struggling to recover from the pandemic but also about setting up a scenario where lawmakers would spend through all the one-time funds, find themselves needing to plug a budget hole and then being tempted to raise even more taxes.

In other words, we were concerned that we might land in exactly the spot where we have landed today.

Lawmakers chose to increase spending by 16% in the 2023-25 biennium at a time when revenue was expected to increase by 3%. And now they are going into the 2025 legislative session with an anticipated $5.1 billion-plus shortfall in the next two-year state budget, and as much as $10-12 billion over the four-year outlook.

In November, outgoing Gov. Jay Inslee called on state agency leaders to look for budget cuts to close the gap and followed in early December with a spending freeze, but it’s clear that lawmakers will also be looking at tax increases to solve at least part of their problem.

We’re expecting lawmakers to propose an array of potential tax increases including a new payroll tax that would, if approved, amount to by far the biggest state tax increase in Washington history.

Regardless of whatever mix of reductions and new revenue lawmakers ultimate arrive at to solve the problem, make no mistake: This is a problem that could have been avoided. Unlike previous budget crises, which could be attributed to an unexpected downturn in the economy, this crisis is primarily the result of overspending, not a drop in revenue.

“Now that bill is coming due,” the Washington Research Council noted in a recent policy brief.

Faced with the possibility of ever-increasing tax bills, it’s fair for taxpayers to ask what they’re getting in return. Are we getting the results that lawmakers intended?

It’s also fair to ask when the spending will end. Unfortunately, there is no limit to the ways that lawmakers could spend taxpayers’ money. Knowing this, it’s appropriate to ask where to draw the line on new spending.

Washington is already a high-cost state for employers, even without any additional taxes. And we’re at risk of falling further behind other states in regions in key competitiveness measures.

It’s time to push pause on spending while lawmakers get the state’s financial house in order.

Kris Johnson is president of the Association of Washington Business, the state’s chamber of commerce and manufacturers association.

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