An audit has shown that the Port of Astoria
has been losing about $1 million annually in recent years, according to a new
investigative report by the Daily
Astorian newspaper.
The audit, which was conducted by West
Linn, Oregon-based Merina & Co. concluded that the port is still losing
money, even though revenue has been rising faster than expenses, the paper said
in a story published in late July as part of an investigative series. The
reasons for the financial downturn include heavy investment in upgrades and
expansion, as well as expensive legal battles.
Most significantly, after the port invested
heavily in upgrades to a pier for export company Westerlund Log Handlers, the
market for logs to Asia dropped significantly. About four months went by last
fall without a single ship coming in, according to the newspaper.
Also, the port spent more than half a
million dollars over a four-year span, according to port finance manager Colleen
Browne, in battles over various issues, including with the developer of a
proposed natural gas terminal, litigation against the port’s former attorney
and with the Bank of Astoria over offices.
