State disciplines health care providers

OLYMPIA – The Washington State Department of Health has taken disciplinary actions or withdrawn charges against health care providers in our state.

The department’s Health Systems Quality Assurance Division works with boards, commissions, and advisory committees to set licensing standards for more than 80 health care professions (e.g., medical doctors, nurses, counselors).

Information about health care providers is on the agency website. Click on “Look up a healthcare provider license” in the “How Do I?” section of the Department of Health website (doh.wa.gov). The site includes information about a health care provider’s license status, the expiration and renewal date of their credential, disciplinary actions and copies of legal documents issued after July 1998. This information is also available by calling 360-236-4700. Consumers who think a health care provider acted unprofessionally are encouraged to call and report their complaint.

Benton County

In February 2014 the Nursing Assistant Program charged registered nursing assistant Elizabeth Nahleen Messinger (NA60020561) with unprofessional conduct. Charges say a resident at the adult family home where Messinger worked loaned or gave her $500. Messinger allegedly admitted accepting the money but hasn’t repaid it.

Clark County

 

In February 2014 the Chemical Dependency Professional Program ended probation for chemical dependency professional trainee Christina Ann Gjesvold, also known as Christina Ann Stroup (CO60224108).

 

In February 2014 the Nursing Commission entered an agreement with registered nurse Brenda Lee Hanson (RN00129197) that reinstates her license and requires her to participate in a substance abuse monitoring program. Hanson admitted diverting controlled substances while working at two Oregon hospitals. Her Oregon license was suspended and then placed on probation for three years before she voluntarily surrendered it, saying she doesn’t plan on working in Oregon.

 

In February 2014 the Nursing Assistant Program conditionally granted a certified nursing assistant credential to Michelle Shree Gray (NC60356138) and placed her credential on probation for at least five years. She was convicted in Washington of one felony and in Oregon of crimes equivalent to six felonies and five gross misdemeanors between 2000 and 2009.

 

Cowlitz County

 

In February 2014 the Chemical Dependency Professional Program ended probation for chemical dependency professional trainee Brandi Michelle Olney (CO60211959).

 

Grant County

 

In February 2014 the Respiratory Care Practitioner Program entered an agreement with respiratory care practitioner Colette K. Lancaster (LR00003822) that places her credential on probation for at least two years. Lancaster practiced outside her scope when she discontinued a patient’s oxygen flow without a physician’s order.

 

King County

 

In February 2014 the Nursing Commission charged registered nurse Shaun J. Richardson (RN00131344) with unprofessional conduct. Richardson allegedly didn’t comply with a substance abuse monitoring contract.

 

In February 2014 the Chemical Dependency Professional Program conditionally granted a chemical dependency professional credential to Kimberly Marie Rohwer (CP60229246) and placed it on probation for at least three years. Rohwer, who must enroll in a substance abuse monitoring program, received a chemical dependency professional trainee credential in 2012 that was placed on probation.

 

In February 2014 the Nursing Assistant Program entered an agreement with certified nursing assistant Alexander Gachie Mbugua (NC60029168) requiring him to enroll in a substance abuse monitoring program. Mbugua was convicted of driving while intoxicated twice in 2010 and once in 2011.

 

In February 2014 the Medical Assistant Program conditionally granted an interim medical assistant credential to Edrie Roy Caminong (IC60439546) requiring him to continue complying with a substance abuse monitoring contract that he signed when he was granted a health care assistant credential in 2010.

 

In February 2014 the Nursing Commission charged registered nurse Paulus R. Kutrich (RN00169953) with unprofessional conduct. Allegations are that Kutrich didn’t comply with a substance abuse monitoring contract.

 

In February 2014 the Unlicensed Practice Program notified Lianhua Li of its intent to issue a cease-and-desist order. Li, who has no massage practitioner credential, allegedly provided massage to a client.

 

In February 2014 the Nursing Assistant Program ended probation for certified nursing assistant Biniam Beraki Belay (NC60223264).

 

Kitsap County

 

In February 2014 the Occupational Therapy Board ended conditions on the credential of occupational therapist Linda S. Baker (OT00000498).

 

In February 2014 the Chemical Dependency Professional Program ended conditions on the credential of chemical dependency professional trainee Carolyn Rae Bjorkheim (CO60197879).

 

Pierce County

 

In February 2014 the Nursing Commission amended a statement of charges against licensed practical nurse Bilinda Hunter (LP00049336) to delete two allegations of inadequate documentation or diversion of narcotic medication.

 

Snohomish County

 

In February 2014 the Nursing Commission entered an agreement with registered nurse Cassandra L. Abbott (RN00097911) that places her credential on probation for at least two years, fines her $1,000, and requires her to complete continuing education in ethics, legal issues and professional boundaries. Abbott sent hydrocodone prescriptions to a pharmacy for a patient at least 37 times. The patient was another clinic employee’s husband. Abbott listed a prescribing physician on the prescriptions who wasn’t the patient’s primary care provider. The physician listed didn’t know of or approve the prescriptions.

 

Spokane County

 

In February 2014 the Nursing Assistant Program reinstated the certified nursing assistant credential of Denia Caridad Correa (NC10046540). Her credential was suspended in 2011 after she didn’t respond to a Department of Health inquiry about apparent irregularities involving patient medication.

 

In February 2014 the Nursing Commission reinstated the registered nursing credential of Robin Marie Pena (RN60219122) and ordered her to enroll in a substance abuse monitoring program. Pena’s license was indefinitely suspended in 2013 after she surrendered her Alaska license in connection with allegations of a falsified application, and that she had a chemical dependency.

 

In February 2014 the Nursing Commission ended probation for registered nurse Linda C. Weinzimmer-Kirk (RN00084119).

 

In March 2014 the Unlicensed Practice Program notified Melissa R. Hubbard of its intent to issue a cease-and-desist order after she allegedly engaged in massage practice in 2013 even though her massage practitioner credential expired in 2008.

 

 

Stevens County

 

In February 2014 the Nursing Assistant Program charged certified nursing assistant Jennifer L. McKinney (NC10075495) with unprofessional conduct. McKinney allegedly didn’t comply with a substance abuse monitoring contract.

 

Yakima County

 

In February 2014 the Nursing Assistant Program charged certified nursing assistant Elizabeth Hernandez Aldana (NC60299567) with unprofessional conduct. In 2013 Aldana was convicted of third-degree assault — domestic violence.

 

Out of State

 

Oregon: In February 2014 the Nursing Assistant Program entered an agreement with certified nursing assistant Guadalupe Gutierrez (NC60151060) requiring her to enroll in a substance abuse monitoring program. In 2012 Gutierrez was convicted in Oregon of driving while intoxicated.

 

Oregon: In March 2014 the Dental Commission charged dentist Delon Karsten Gilbert (DE60361877) with unprofessional conduct. In 2013 Gilbert pleaded no-contest in Oregon to unlawful possession of cocaine.

 

Pennsylvania: In February 2014 the Osteopathic Board charged osteopathic physician David Thomas Steves (OP60243088) with unprofessional conduct. Steves allegedly visited an elderly female patient’s home several times without an invitation, and discussed his sexual problems in his marriage with the patient. Charges say Steves acknowledged the allegations and admitted having gone too far in discussing his personal problems with her. The patient allegedly interpreted the comments as a proposition for sex with her.

 

Note to Editors: Health care providers charged with unprofessional conduct have 20 days to respond to the Department of Health in writing. The case then enters the settlement process. If no disciplinary agreement can be reached, the case will go to a hearing.

The Department of Health website (www.doh.wa.gov) is your source for a healthy dose of information. Also, find us on Facebook and follow us on Twitter.

State revokes, suspends licenses, certifications, registrations of health care providers

OLYMPIA ¾ The Washington State Department of Health has revoked or suspended the licenses, certifications, or registrations of health care providers in our state. The department has also immediately suspended the credentials of people who have been prohibited from practicing in other states.

The department’s Health Systems Quality Assurance Division works with boards, commissions and advisory committees to set licensing standards for more than 80 health care professions (e.g., medical doctors, nurses, counselors).

Information about health care providers is on the agency’s website. Click on “Look up a healthcare provider license” in the “How Do I?” section of the Department of Health home page (doh.wa.gov). The site includes information about a health care provider’s license status, the expiration and renewal date of their credential, disciplinary actions and copies of legal documents issued after July 1998. This information is also available by calling 360-236-4700. Consumers who think a health care provider acted unprofessionally are also encouraged to call and report their complaint.

Continue reading State revokes, suspends licenses, certifications, registrations of health care providers

Elma man walking with sword briefly shuts down I-5

HAZEL DELL, Washington — An Elma man with a decorative sword shut down the northbound lanes of Interstate 5 for about 5 minutes last night while responding officers approached what they thought was a man walking down the highway with a shotgun.
The State Patrol says it happened in the small southwest Washington community of Hazel Dell Monday night. The Columbian reports (http://is.gd/s63cin ) that a 911 caller apparently mistook the sword for a gun.
Troopers, Vancouver police and Clark County sheriff’s officers rushed to the scene, turned on their spotlights and talked to the man over a loudspeaker with guns drawn. Trooper Will Finn says when officers are told someone has a weapon, “we approach as if someone is indeed carrying a weapon.”

The 20-year-old man said he was headed home to Elma, Washington Police drove the man to a relative’s house in nearby Vancouver and warned him that pedestrians aren’t allowed on I-5.

The newspaper says the shutdown lasted about five minutes.

Timberland Bancorp Earns $0.08 per Share in Fiscal Third Quarter

"Our fiscal third quarter performance demonstrates the progress we have made during the past few quarters toward improving the risk profile of the Bank. Asset quality, asset mix, deposit mix and our already strong Risk Based Capital ratios improved during the quarter," stated Michael Sand, the Company’s President and CEO. "We have relentlessly reduced our exposure to speculative single family construction loans which at June 30, 2010, comprised less than 1% of the total loan portfolio. Total construction credits at June 30, 2010, exclusive of our owner builder segment, represented less than 7% of our loan portfolio," Sand also stated. "Loan demand remained soft during the quarter which is reflected by a 1% reduction in net loans receivable at quarter end relative to the end of the prior quarter. We were also pleased to have completed our annual regulatory examination," added Sand.

Capital Ratios and Asset Quality

Timberland Bancorp remains very well capitalized with a total risk-based capital ratio of 15.96%, a Tier 1 leverage capital ratio of 11.15% and a tangible capital to tangible assets ratio of 10.94% at June 30, 2010.

The NPAs to total assets ratio decreased to 5.12% at June 30, 2010 from 5.95% at March 31, 2010. "We charged off a total of $6.5 million in loans in the third fiscal quarter. This total included $5.1 million of previously identified impairments that were provisioned for in prior quarters. Due to improving credit metrics and appropriate provisioning in prior periods for potential charge-offs, a $750,000 provision for the quarter was appropriate based on our detailed allowance for loan loss analysis," Sand stated. The allowance for loan losses of $10.9 million represented 2.00% of loans receivable and loans held for sale at June 30, 2010. Net charge-offs for the quarter ended June 30, 2010 totaled $6.5 million compared to $3.4 million for the quarter ended March 31, 2010 and $609,000 for the quarter ended June 30, 2009.

NPLs decreased 20% to $21.0 million at June 30, 2010 from $26.4 million at March 31, 2010 and were comprised of 66 loans and 44 credit relationships. NPLs were comprised of the following at June 30, 2010:

* Seven commercial real estate loans totaling $4.96 million (of which the largest had a balance of $2.84 million)
* 22 land loans totaling $4.85 million (of which the largest had a balance of $835,000)
* 12 single family home loans totaling $3.46 million (of which the largest had a balance of $722,000)
* Seven land development loans totaling $3.21 million (of which the largest had a balance of $1.49 million)
* Seven single family speculative home loans totaling $2.08 million (of which the largest had a balance of $767,000)
* Two condominium construction loans totaling $1.93 million (of which the largest had a balance of $1.60 million)
* One single family construction loan with a balance of $274,000
* Four home equity loans totaling $114,000
* Two commercial business loans totaling $98,000
* Two consumer loans totaling $62,000

Net charge-offs totaled $6.54 million during the quarter ended June 30, 2010 and were comprised of the following:

* $3.99 million on six land development loans (of which $3.57 million had already been specifically reserved for in previous quarters)
* $1.74 million on 14 land loans (of which $1.37 million had already been specifically reserved for in previous quarters)
* $189,000 on two commercial real estate properties
* $176,000 on two multi-family construction loans
* $144,000 on home equity and consumer loans
* $133,000 on three single family construction loans
* $116,000 on three single family loans
* $47,000 on two single family speculative construction loans

Other real estate owned ("OREO") and other repossessed items decreased to $12.96 million at June 30, 2010 from $13.48 million at March 31, 2010. At June 30, 2010 the OREO portfolio consisted of 28 individual properties and two other repossessed assets. The properties consisted of two condominium projects totaling $3.9 million, three land development projects totaling $3.6 million, ten single family homes totaling $2.9 million, ten land parcels totaling $1.3 million and three commercial real estate properties totaling $1.3 million. During the quarter ended June 30, 2010 seven OREO properties and three other repossessed assets totaling $1.1 million were sold for a net book gain of $73,000. In addition to these sales, 23 residential building lots were closed in the Clark County, Washington OREO subdivision during the quarter ended June 30, 2010 with three pending sales at quarter end. The Bank has a 12.5% participation interest in the plat. Also at quarter end, there were eight pending sales in the Bank’s Richland, Washington OREO plat with four sales closing during the quarter.

Balance Sheet Management

Total assets increased 1% to $732.4 million at June 30, 2010 from $724.8 million at March 31, 2010. The increase in total assets was primarily the result of a $16.9 million increase in cash equivalents and certificates of deposits ("CDs") held for investment, which was partially offset by a decrease in net loans receivable. "We continue to build and maintain a high level of liquidity, both on balance sheet and through off-balance sheet sources," said Dean Brydon, Chief Financial Officer. Liquidity as measured by cash equivalents, CDs held for investment and available for sale investments increased to 18.9% of total liabilities at June 30, 2010 from 16.5% at March 31, 2010 and 9.9% one year ago.

Net loans receivable decreased 1% to $533.1 million at June 30, 2010 from $538.7 million at March 31, 2010. "The mix of loans in our portfolio continues to improve," said Brydon. "Overall, we have reduced our total exposure to construction and land development loans by 34% during the last quarter and by 53% from one year ago." During the current quarter the one-to-four family speculative construction portfolio decreased by 50%, the land development portfolio decreased by 49% and the multi-family construction portfolio decreased by 35%.

LOAN PORTFOLIO
($ in thousands)    June 30, 2010      March 31, 2010       June 30, 2009
                  Amount   Percent    Amount   Percent    Amount   Percent
                 -------- ---------  -------- ---------  -------- ---------
Mortgage Loans:
  One-to-four
   family        $116,805       21%  $113,295       20%  $110,338       19%
  Multi-family     33,127        6     33,236        6     25,702        4
  Commercial      215,336       38    198,171       34    178,941       30
  Construction
   and land
   development     66,248       12    100,938       18    142,006       24
  Land             63,684       11     63,856       11     65,736       11
                 -------- ---------  -------- ---------  -------- ---------
    Total mortgage
     loans        495,200       88    509,496       89    522,723       88

Consumer Loans:
  Home equity
   and second
   mortgage        39,215        7     39,303        7     41,950        7
  Other             9,514        2      9,477        1     10,107        2
                 -------- ---------  -------- ---------  -------- ---------
    Total
     consumer
     loans         48,729        9     48,780        8     52,057        9

Commercial
 business loans    18,114        3     18,173        3     15,199        3
                 -------- ---------  -------- ---------  -------- ---------
Total loans       562,043      100%   576,449      100%   589,979      100%
Less:
  Undisbursed
   portion of
   construction
   loans in
   process        (15,780)            (18,824)            (29,447)
  Unearned income  (2,232)             (2,286)             (2,326)
  Allowance for
   loan losses    (10,900)            (16,687)            (12,440)
                 --------            --------            --------
Total loans
 receivable, net $533,131            $538,652            $545,766
                 ========            ========            ========




CONSTRUCTION LOAN
 COMPOSITION
($ in thousands)    June 30, 2010      March 31, 2010       June 30, 2009
                           Percent             Percent             Percent
                           of Loan             of Loan             of Loan
                  Amount  Portfolio   Amount  Portfolio   Amount  Portfolio
                 -------- ---------  -------- ---------  -------- ---------
Custom and
 owner / builder $ 29,080        5%  $ 29,101        5%  $ 34,373        6%
Speculative         5,071        1     10,070        2     19,332        3
Commercial real
 estate            20,363        4     40,369        7     42,056        7
Multi-family
 (including
 condominium)       4,014        1      6,135        1     25,631        4
Land development    7,720        1     15,263        3     20,614        4
                 -------- ---------  -------- ---------  -------- ---------
  Total
   construction
   and land
   development
   loans         $ 66,248       12%  $100,938       18%  $142,006       24%
                 ======== =========  ======== =========  ======== =========

 

Total loan originations were $36.5 million for the quarter ended June 30, 2010 compared to $42.6 million for the preceding quarter and $94.8 million for the comparable quarter one year ago. Timberland continues to sell fixed rate one-to-four family mortgage loans into the secondary market for asset-liability management purposes and to generate non-interest income. During the quarter ended June 30, 2010, $11.4 million one-to-four family fixed-rate mortgage loans were sold on the secondary market compared to $13.5 million for the preceding quarter and $69.6 million for the quarter ended one year ago.

Timberland’s mortgage-backed securities and other investments decreased by $1.0 million during the quarter to $17.2 million at June 30, 2010 from $18.2 million at March 31, 2010, primarily as a result of prepayments, regular amortization and impairment related write-downs. During the quarter ended June 30, 2010, other-than-temporary-impairment ("OTTI") credit related write-downs and realized losses of $152,000 were recorded on the private label mortgage-backed securities that were acquired in the in-kind redemption from the AMF family of mutual funds in June 2008. At June 30, 2010 the Bank’s remaining private label mortgage-backed securities portfolio had been reduced to $5.4 million from an original acquired balance of $15.3 million.

 

DEPOSIT BREAKDOWN
($ in thousands)    June 30, 2010      March 31, 2010       June 30, 2009
                  Amount   Percent    Amount   Percent    Amount   Percent
                 -------- ---------  -------- ---------  -------- ---------
Non-interest
 bearing         $ 52,018        9%    49,870        9%  $ 50,153       10%
N.O.W. checking   154,753       27    141,119       26    102,186       21
Savings            66,134       12     64,800       12     56,303       11
Money market       54,506       10     57,716       10     61,992       13
Certificates of
 deposit
 under $100       148,864       26    144,957       26    140,924       29
Certificates of
 deposit $100
 and over          91,710       16     89,262       16     75,861       16
Certificates of
 deposit -
 brokered              --       --      4,000        1         --       --
                 -------- ---------  -------- ---------  -------- ---------
  Total deposits $567,985      100%  $551,724      100%  $487,419      100%
                 ======== =========  ======== =========  ======== =========

 

Total deposits increased by 3% to $568.0 million at June 30, 2010, from $551.7 million at March 31, 2010 primarily as a result of a $13.6 million increase in N.O.W. checking account balances, a $2.1 million increase in non-interest bearing account balances, a $6.4 million increase in CD account balances and a $1.3 million increase in savings account balances. These increases were partially offset by a $3.2 million decrease in money market account balances.

Total shareholders’ equity increased $810,000 to $85.68 million at June 30, 2010, from $84.87 million at March 31, 2010. The increase in equity was primarily a result of net income for the quarter and a reduction in the accumulated other comprehensive loss equity component. Timberland continues to remain very well capitalized with a total risk based capital ratio of 15.96% and a Tier 1 leverage capital of 11.15%. Book value per common share was $9.93 and tangible book value per common share was $9.04 at June 30, 2010.

Operating Results

Fiscal third quarter operating revenue (net interest income before provision for loan losses, plus non-interest income excluding OTTI charges), increased 1% to $8.5 million from $8.4 million for the immediately prior quarter and decreased 6% compared to $9.0 million in the comparable quarter one year ago. The decrease in operating revenue from the comparable quarter one year ago was primarily the result of a decrease in gains on sale of loans as mortgage banking activity slowed. For the first nine months of fiscal 2010, operating revenue decreased 5% to $25.6 million compared to $26.9 million for the first nine months of fiscal 2009 primarily due to a decrease in gains on sale of loans. Also affecting the comparison to the first nine months of fiscal 2009 was a $134,000 non-recurring gain on the Bank’s investment in bank owned life insurance ("BOLI") recorded during the quarter ended March 31, 2009.

Net interest income before the provision for loan losses increased to $6.39 million for the quarter ended June 30, 2010, from $6.20 million for the comparable quarter one year ago with interest and dividend income decreasing by 5% and interest expense decreasing by 21%. The increase in net interest income was primarily due to a decrease in funding costs and an increased level of average interest earnings assets for the current quarter. In spite of the challenging interest rate environment and elevated liquidity levels, Timberland’s net interest margin remained strong at 3.85% for the current quarter compared to 3.93% for the quarter ended March 31, 2010 and 3.86% for the quarter one year ago. The net interest margin was reduced by approximately eight basis points for the quarter ended June 30, 2010 by the reversal of interest income on loans placed on non-accrual during the quarter. For the first nine months of fiscal 2010, net interest income before the provision for loan losses increased 1% to $19.2 million compared to $19.1 million for the first nine months of fiscal 2009. Timberland’s net interest margin for the first nine months of fiscal 2010 was 3.91% compared to 4.03% for the first nine months of fiscal 2009.

Timberland recorded a $750,000 provision to its allowance for loan losses for the quarter ended June 30, 2010, compared to $5.2 million in the preceding quarter and $1.0 million in the comparable quarter one year prior. Net charge-offs during the current quarter exceeded the quarterly provision expense primarily due to the charge-off of $5.1 million in impairments previously identified and factored into prior quarters’ provisions. Net charge-offs for the quarter ended June 30, 2010 totaled $6.5 million compared to $3.4 million for the quarter ended March 31, 2010 and $609,000 for the quarter ended June 30, 2009. For the first nine months of fiscal 2010, the provision for loan losses totaled $8.5 million compared to $7.5 million in the first nine months of fiscal 2009. Year to date, net charge-offs were $11.8 million compared to $3.0 million in the first nine months of fiscal 2009.

Total operating (non-interest) expenses increased 1% to $6.42 million for the third fiscal quarter from $6.37 million from the comparable quarter one year ago and decreased 4% from $6.69 million for the immediately prior quarter. Year to date, total operating expenses increased 7% to $18.61 million from $17.35 million for the first nine months of fiscal 2009. Increased insurance expenses (FDIC and D&O), increased OREO expenses and increased salaries and employee benefits expenses accounted for the majority of the increased expense.

About Timberland Bancorp, Inc. Timberland Bancorp, Inc., a Washington corporation, is the holding company for Timberland Bank ("Bank"). The Bank opened for business in 1915 and serves consumers and businesses across Grays Harbor, Thurston, Pierce, King, Kitsap and Lewis counties, Washington with a full range of lending and deposit services through its 22 branches (including its main office in Hoquiam).

Disclaimer Certain matters discussed in this press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and often include the words "believes," "expects," "anticipates," "estimates," "forecasts," "intends," "plans," "targets," "potentially," "probably," "projects," "outlook" or similar expressions or future or conditional verbs such as "may," "will," "should," "would" and "could." Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, assumptions and statements about future performance. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause our actual results to differ materially from the results anticipated, including, but not limited to: the credit risks of lending activities, including changes in the level and trend of loan delinquencies and write-offs and changes in our allowance for loan losses and provision for loan losses that may be impacted by deterioration in the housing and commercial real estate markets and may lead to increased losses and non-performing assets in our loan portfolio, and may result in our allowance for loan losses not being adequate to cover actual losses, and require us to materially increase our reserves; changes in general economic conditions, either nationally or in our market areas; changes in the levels of general interest rates, and the relative differences between short and long term interest rates, deposit interest rates, our net interest margin and funding sources; fluctuations in the demand for loans, the number of unsold homes, land and other properties and fluctuations in real estate values in our market areas; secondary market conditions for loans and our ability to sell loans in the secondary market; results of examinations of us by the Federal Reserve and our bank subsidiary by the Federal Deposit Insurance Corporation, the Washington State Department of Financial Institutions, Division of Banks or other regulatory authorities, including the possibility that any such regulatory authority may, among other things, require us to increase our allowance for loan losses, write-down assets, change our regulatory capital position or affect our ability to borrow funds or maintain or increase deposits, which could adversely affect our liquidity and earnings; our compliance with regulatory enforcement actions, including regulatory memoranda of understandings ("MOUs") to which we are subject; legislative or regulatory changes that adversely affect our business including changes in regulatory policies and principles, or the interpretation of regulatory capital or other rules; our ability to attract and retain deposits; further increases in premiums for deposit insurance; our ability to control operating costs and expenses; the use of estimates in determining fair value of certain of our assets, which estimates may prove to be incorrect and result in significant declines in valuation; difficulties in reducing risk associated with the loans on our balance sheet; staffing fluctuations in response to product demand or the implementation of corporate strategies that affect our workforce and potential associated charges; computer systems on which we depend could fail or experience a security breach; our ability to retain key members of our senior management team; costs and effects of litigation, including settlements and judgments; our ability to successfully integrate any assets, liabilities, customers, systems, and management personnel we may in the future acquire into our operations and our ability to realize related revenue synergies and cost savings within expected time frames and any goodwill charges related thereto; our ability to manage loan delinquency rates; increased competitive pressures among financial services companies; changes in consumer spending, borrowing and savings habits; legislative or regulatory changes that adversely affect our business including changes in regulatory policies and principles, the interpretation of regulatory capital or other rules and any changes in the rules applicable to institutions participating in the TARP Capital Purchase Program; the availability of resources to address changes in laws, rules, or regulations or to respond to regulatory actions; adverse changes in the securities markets; inability of key third-party providers to perform their obligations to us; changes in accounting policies and practices, as may be adopted by the financial institution regulatory agencies or the Financial Accounting Standards Board, including additional guidance and interpretation on accounting issues and details of the implementation of new accounting methods; the economic impact of war or any terrorist activities; other economic, competitive, governmental, regulatory, and technological factors affecting our operations; pricing, products and services; and other risks detailed in our reports filed with the Securities and Exchange Commission.

Any of the forward-looking statements that we make in this press release and in the other public statements we make are based upon management’s beliefs and assumptions at the time they are made. We undertake no obligation to publicly update or revise any forward-looking statements included in this report or to update the reasons why actual results could differ from those contained in such statements, whether as a result of new information, future events or otherwise. We caution readers not to place undue reliance on any forward-looking statements. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. These risks could cause our actual results for 2010 and beyond to differ materially from those expressed in any forward-looking statements by, or on behalf of us, and could negatively affect the Company’s operations and stock price performance.

 

TIMBERLAND BANCORP INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS
($ in thousands, except per share amounts)
(unaudited)
                                                Three Months Ended
                                         June 30,    March 31,   June 30,
                                           2010        2010        2009
                                         ---------   ---------   ---------
  Interest and dividend income
  Loans receivable                       $   8,764   $   8,832   $   9,240
  Mortgage-backed securities and other
   investments                                 239         239         322
  Dividends from mutual funds                    9           9           9
  Federal funds sold                            --          --           8
  Interest bearing deposits in banks            90          77          32
                                         ---------   ---------   ---------
     Total interest and dividend income      9,102       9,157       9,611

  Interest expense
  Deposits                                   1,951       1,958       2,440
  FHLB advances and other borrowings           760         753         979
                                         ---------   ---------   ---------
     Total interest expense                  2,711       2,711       3,419
                                         ---------   ---------   ---------
     Net interest income                     6,391       6,446       6,192

  Provision for loan losses                    750       5,195       1,000
                                         ---------   ---------   ---------
     Net interest income after
      provision for loan losses              5,641       1,251       5,192

  Non-interest income
  OTTI loss, net                              (152)     (1,556)       (125)
  Realized loss on investment securities        --          (1)         --
  Service charges on deposits                1,066       1,022       1,066
  Gain on sale of loans, net                   238         300       1,170
  Bank owned life insurance ("BOLI")
   net earnings                                120         115         123
  Servicing income on loans sold                32          25          20
  Valuation recovery (allowance)
   on mortgage servicing rights ("MSRs")        22         (22)       (169)
  ATM transaction fees                         439         386         326
  Other                                        176         161         263
                                         ---------   ---------   ---------
     Total non-interest income               1,941         430       2,674

  Non-interest expense
  Salaries and employee benefits             3,117       2,921       2,919
  Premises and equipment                       717         702         719
  Advertising                                  235         220         252
  OREO and other repossessed items
   expense, net                                373         344         391
  ATM expenses                                 164         171         162
  FDIC insurance                               317         806         400
  Postage and courier                          130         142         203
  Amortization of core deposit
   intangible                                   48          48          54
  State and local taxes                        159         153         152
  Professional fees                            193         196         199
  Other                                        969         989         922
                                         ---------   ---------   ---------
     Total non-interest expense              6,422       6,692       6,373
                                         ---------   ---------   ---------

  Income (loss) before income taxes          1,160      (5,011)      1,493
  Provision (benefit) for income taxes         356      (1,833)        435
                                         ---------   ---------   ---------
     Net income (loss)                   $     804   $  (3,178)  $   1,058
                                         =========   =========   =========

  Preferred stock dividends accrued      $     208   $     208   $     210
  Preferred stock discount accretion            53          52          79
                                         ---------   ---------   ---------
  Net income (loss) to common
   shareholders                          $     543   $  (3,438)  $     769
                                         =========   =========   =========

  Earnings (loss) per common share:
     Basic                               $    0.08   $   (0.51)  $    0.12
     Diluted                             $    0.08   $   (0.51)  $    0.12
  Weighted average common shares
   outstanding:
     Basic                               6,715,410   6,713,958   6,645,229
     Diluted                             6,715,410   6,713,958   6,645,229





TIMBERLAND BANCORP INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS
($ in thousands, except per share)
(unaudited)
                                                      Nine Months Ended
                                                     June 30,    June 30,
                                                       2010        2009
                                                     ---------   ---------
Interest and dividend income
Loans receivable                                     $  26,661   $  28,229
Mortgage-backed securities and other investments           695       1,081
Dividends from mutual funds                                 27          29
Federal funds sold                                          --          36
Interest bearing deposits in banks                         218          62
                                                     ---------   ---------
   Total interest and dividend income                   27,601      29,437

Interest expense
Deposits                                                 5,986       7,321
FHLB advances and other borrowings                       2,387       3,043
                                                     ---------   ---------
   Total interest expense                                8,373      10,364
                                                     ---------   ---------
   Net interest income                                  19,228      19,073

Provision for loan losses                                8,545       7,491
                                                     ---------   ---------
   Net interest income after provision
    for loan losses                                     10,683      11,582

Non-interest income
OTTI loss, net                                          (2,028)     (2,288)
Realized loss on investment securities                     (17)         --
Service charges on deposits                              3,218       3,224
Gain on sale of loans, net                                 987       2,471
BOLI net earnings                                          369         501
Servicing income on loans sold                              86          76
Valuation allowance on MSRs                                 --        (169)
ATM transaction fees                                     1,187         920
Other                                                      538         756
                                                     ---------   ---------
   Total non-interest income                             4,340       5,491

Non-interest expense
Salaries and employee benefits                           9,019       8,818
Premises and equipment                                   2,120       2,079
Advertising                                                626         672
OREO and other repossessed items expense, net              767         552
ATM expenses                                               490         448
FDIC insurance                                           1,323         586
Postage and courier                                        400         448
Amortization of core deposit intangible                    143         163
State and local taxes                                      453         449
Professional fees                                          561         547
Other                                                    2,710       2,589
                                                     ---------   ---------
   Total non-interest expense                           18,612      17,351
                                                     ---------   ---------

Loss before income taxes                                (3,589)       (278)
Benefit for income taxes                                (1,439)       (305)
                                                     ---------   ---------
   Net income (loss)                                 $  (2,150)  $      27
                                                     =========   =========

Preferred stock dividends accrued                    $     624   $     437
Preferred stock discount accretion                         156          79
                                                     ---------   ---------
Net loss to common shareholders                      $  (2,930)  $    (489)
                                                     =========   =========

Loss per common share:
   Basic                                             $   (0.44)  $   (0.07)
   Diluted                                           $   (0.44)  $   (0.07)
Weighted average common shares outstanding:
   Basic                                             6,713,103   6,609,915
   Diluted                                           6,713,103   6,609,915





TIMBERLAND BANCORP, INC.
CONSOLIDATED BALANCE SHEET
($ in thousands, except per share amounts) (unaudited)

                                         June 30,    March 31,   June 30,
                                           2010        2010        2009
Assets                                   ---------   ---------   ---------
Cash equivalents:
   Cash and due from financial
    institutions                         $  11,748   $   9,883   $  12,118
   Interest-bearing deposits in
    other banks                             83,507      65,574      31,853
                                         ---------   ---------   ---------
                                            95,255      75,457      43,971

Certificate of deposits ("CDs") held
 for investment, at cost                    15,188      18,108          --
Mortgage-backed securities and other
 investments:
   Held to maturity, at amortized cost       5,604       5,982      10,196
   Available for sale, at fair value        11,578      12,225      13,898
FHLB stock                                   5,705       5,705       5,705
                                         ---------   ---------   ---------
                                            22,887      23,912      29,799

Loans receivable                           542,577     554,880     555,961
Loans held for sale                          1,454         459       2,245
Less: Allowance for loan losses            (10,900)    (16,687)    (12,440)
                                         ---------   ---------   ---------
Net loans receivable                       533,131     538,652     545,766

Premises and equipment                      17,529      17,751      18,174
OREO and other repossessed items            12,957      13,477       7,698
BOLI                                        13,278      13,158      13,403
Accrued interest receivable                  2,709       2,996       2,918
Goodwill                                     5,650       5,650       5,650
Core deposit intangible                        612         659         809
Mortgage servicing rights, net               2,683       2,678       2,366
Prepaid FDIC insurance assessment            3,569       3,863          --
Other assets                                 6,970       8,415       4,938
                                         ---------   ---------   ---------
Total Assets                             $ 732,418   $ 724,776   $ 675,492
                                         =========   =========   =========

Liabilities and Shareholders' Equity
Non-interest-bearing deposits            $  52,018   $  49,870   $  50,153
Interest-bearing deposits                  515,967     501,854     437,266
                                         ---------   ---------   ---------
   Total deposits                          567,985     551,724     487,419

FHLB advances                               75,000      75,000      95,000
Federal Reserve Bank of San Francisco
 advances                                       --      10,000          --
Repurchase agreements                          713         445         666
Other liabilities and accrued expenses       3,041       2,738       3,652
                                         ---------   ---------   ---------
Total Liabilities                          646,739     639,907     586,737
                                         ---------   ---------   ---------

Shareholders' Equity
Preferred stock - $.01 par value;
 1,000,000 shares authorized;               15,710      15,657      15,487
 16,641 shares, Series A, issued and
 outstanding
 Series A shares: $1,000 per share
 liquidation value
Common stock - $.01 par value;
 50,000,000 shares authorized;              10,373      10,357      10,328
 7,045,036 shares issued and
 outstanding
Unearned shares - Employee Stock
 Ownership Plan                             (2,313)     (2,379)     (2,578)
Retained earnings                           62,641      62,098      66,802
Accumulated other comprehensive loss          (732)       (864)     (1,284)
                                         ---------   ---------   ---------
Total Shareholders' Equity                  85,679      84,869      88,755
                                         ---------   ---------   ---------
Total Liabilities and Shareholders'
 Equity                                  $ 732,418   $ 724,776   $ 675,492
                                         =========   =========   =========





KEY FINANCIAL RATIOS AND DATA
($ in thousands, except per share amounts) (unaudited)


                                                Three Months Ended
                                         ---------------------------------
                                         June 30,    March 31,   June 30,
                                           2010        2010        2009
                                         ---------   ---------   ---------
PERFORMANCE RATIOS:
Return (loss) on average assets (a)           0.45%      (1.78)%      0.61%
Return (loss) on average equity (a)           3.78%     (14.56)%      4.79%
Net interest margin (a)                       3.85%       3.93%       3.86%
Efficiency ratio                             77.08%      97.32%      71.88%
Core efficiency ratio (b)                    70.92%      68.46%      64.72%


                                                Nine Months Ended
                                         ---------------------------------
                                         June 30,                June 30,
                                           2010                    2009
                                         ---------               ---------
Return (loss) on average assets (a)          (0.40)%                  0.01%
Return (loss) on average equity (a)          (3.31)%                  0.04%
Net interest margin (a)                       3.91%                   4.03%
Efficiency ratio                             78.97%                  70.64%
Core efficiency ratio (b)                    67.11%                  61.57%


                                         June 30,    March 31,   June 30,
                                           2010        2010        2009
                                         ---------   ---------   ---------
ASSET QUALITY RATIOS:
Non-performing loans                     $  21,031   $  26,351   $  25,113
Non-performing investment securities         3,482       3,262         175
OREO and other repossessed assets           12,957      13,477       7,698
                                         ---------   ---------   ---------
Total non-performing assets              $  37,470   $  43,090   $  32,986
                                         =========   =========   =========

Non-performing assets to total
 assets (c)                                   5.12%       5.95%       4.88%
Allowance for loan losses to
 non-performing loans                           52%         63%         50%
Allowance for loan losses to
 net loans receivable                         2.00%       3.00%         --
Troubled debt restructured loans (d)     $  14,359   $  18,623   $      --
Past due 90 days and still accruing      $   1,198   $   5,216   $     830

CAPITAL RATIOS:
Tier 1 leverage capital                      11.15%      11.27%      12.30%
Tier 1 risk based capital                    14.70%      14.04%      14.93%
Total risk based capital                     15.96%      15.31%      16.19%
Tangible capital to tangible assets          10.94%      10.93%      12.30%

BOOK VALUES:
Book value per common share              $    9.93   $    9.82   $   10.39
Tangible book value per common
 share (e)                               $    9.04   $    8.93   $    9.33


(a)  Annualized
(b)  Calculation excludes OTTI losses, OREO expenses, realized losses on
     investment securities, valuation allowance / recovery on MSRs and
     amortization of CDI. For the nine-month period ending June 30, 2010
     the non-recurring FDIC insurance expense accrual adjustment ($512)
     has also been excluded.
(c)  Non-performing assets include non-accrual loans, non-accrual
     investment securities, and other real estate owned and other
     repossessed assets
(d)  At June 30, 2010, $5,464 of the $14,359 in troubled debt
     restructured loans were on non-accrual status and included in
     non-performing loans.  At March 31, 2010, $10,265 of the $18,623 in
     troubled debt restructured loans were on non-accrual status and
     included in total non-performing loans.
(e)  Calculation subtracts goodwill and core deposit intangible from the
     equity component





AVERAGE BALANCE SHEET:

                                                Three Months Ended
                                         ---------------------------------
                                         June 30,    March 31,   June 30,
                                           2010        2010        2009
                                         ---------   ---------   ---------
Average total loans                      $ 552,055   $ 562,335   $ 562,105
Average total interest-earning
 assets (a)                                663,511     655,357     641,468
Average total assets                       721,001     712,205     688,411
Average total interest-bearing
 deposits                                  508,185     496,148     450,974
Average FHLB advances and other
 borrowings                                 75,859      76,561      95,612
Average shareholders' equity                85,101      87,333      88,433


                                                Nine Months Ended
                                         ---------------------------------
                                         June 30,                June 30,
                                           2010                    2009
                                         ---------               ---------
Average total loans                      $ 558,586               $ 565,274
Average total interest-earning
 assets (a)                                655,847                 630,421
Average total assets                       711,551                 676,809
Average total interest-bearing
 deposits                                  492,999                 438,762
Average FHLB advances and other
 borrowings                                 79,352                  97,954
Average shareholders' equity                86,732                  85,445


(a)  Includes loans on non-accrual status

 

Contact:
Michael R. Sand,
President & CEO
Dean J. Brydon
CFO
(360) 533-4747
www.timberlandbank.com

Auto glass installer pleads guilty to theft in insurance-fraud case

Farmers contacted Kreidler’s office, which has a Special Investigations Unit to investigate insurance fraud. The state investigators served a search warrant on Wooster’s business in late 2007, seizing dozens of fraudulent invoices.
The investigation found that Wooster had two schemes for illegally billing the insurer:
-He would replace chipped or cracked windshields, but bill the company for more-expensive side- or back windows. The insurance commissioner’s office is aware of more than 100 cases in which customers had windshields replaced, but where the records showed that Wooster had billed for side- or back glass.
-He would submit bogus invoices, cutting and pasting photocopied dealer invoices to make it look like his costs for the glass were much higher than they really were. He also fabricated false invoices for parts that were never actually installed, such as new window moldings.
Wooster pleaded guilty to the felony charge this week in Clark County Superior Court. Sentencing is scheduled for mid-February.

WSDOT Runs Down Stimulus News

This week by the numbers (project dollars in millions)

Individual highway projects

State

Local

Total

Notes

Total funds

$340

$152

$492

 

Obligated funds1

$267 (77%)

$142.6 (94%)

$409.6 (83%)

All funds must be obligated by March 2, 2010

Projects certified

40 (100%)

156 (100%)

196 (100%)

Four new individual projects certified on November 13

Projects obligated

39 (98%)

143 (90%)

182 (93%)

FHWA has obligated some or all funds for the projects

Project delivery to date

Operationally complete

20 (50%)

64 (41%)

84 (43%)

Six projects reported complete this week

Awarded/
under way2 

32 (80%)

135 (87%)

167 (85%)

Includes completed projects

Advertised

36 (90%)

142 (91%)

178 (91%)

Includes completed and awarded projects

Certified, awaiting advertisment

3 (8%)

14 (11%)

17 (9%)

These projects, including several receiving surplus funds, are planned for upcoming advertisement.

Safety funding buckets ($12 stimulus)

Rumble
Strips

Cable
median
barrier

Total

Notes

Completed

15

2

17

State stimulus funds only

Awarded

17

7

24

Includes completed projects

Advertised 

26

7

33

Includes completed and awarded projects

Transit projects

Large
urban

Small
urban

Nonurban/
rural

State total

Percent of total $179 awarded

97%

97%

100%

98%
Includes Washington State Ferries projects

Number of Transit projects obligated

33 of 35

18 of 19

20 of 20

52 of 55
FTA counts all rural projects as one project

October employment

State

Local

Total

Notes

Payroll

$4.4

$6.5

$10.9
for October

Cumulatively, $40 million in payroll to date  Average wage is $37 per hour

Hours

109,584

174,608

284,192
for October

Employees have worked 1,061,000 hours to date

FTEs

634

1,009

1,643
for October

FTE = 173 hours per month

Employees

2,023

4,377

6,400
for October

Note: Not a count of unique employees

1$4M in state enhancement funds provided to locals. While WSDOT controls $340M, the total for obligation authority is $344M, which is the basis of the percentages in this table, and basis for USDOT review on 3/02/2010.
2This includes one state project that has stimulus funding authorized for pre-construction and is currently under way.

 

Key issues: State

Third tier Recovery Act projects come on line thanks to competitive bid climate – Lower construction bids have generated enough savings to allow the Washington State Department of Transportation to build seven more highway projects funded by the American Recovery and Reinvestment Act than first expected.  The December 16 news release has more information. The seven new projects will receive $12.3 million in stimulus funds.

  • US 195/Idaho State Line to Colton – Paving ($2,600,000)
  • SR 503/1mi East of Rock Creek Bridge to Frederickson Rd – Paving ($3,440,000)
  • SR 14/I-5 to SE 164th Ave. Interchange – Paving ($2,160,000)
  • US 97/Orondo Northward – Paving – Chip Seal ($1,120,000)
  • US 97/Okanogan to Riverside – Chip Seal ($1,440,000)
  • US 97/Pateros South – Chip Seal ($560,000)
  • SR 26/Royal City East – Chip Seal ($960,000)

Transportation Secretary Paula Hammond attended White House Jobs Forum – The December 3 White House Jobs and Economic Growth Forum included a session on infrastructure investment as part of the nation’s economic and employment recovery efforts. Transportation Secretary Paula Hammond presented the case for increased federal infrastructure funding to President Obama and suggested the White House should expand the Recovery Act TIGER grant program to include more money. The $1.5 billion stimulus grant program attracted nearly 1,400 applications seeking over $56 billion. She was one of 150 guests invited to the summit to provide ideas for job creation.

  • The U.S. House of Representatives is scheduled to begin debating a jobs bill authorizing $37.3 billion for transportation on December 16. The WSDOT federal funding blog has more information.

Recovery Act funds provide three new Grape Line buses – Three new buses funded by federal stimulus dollars for the Grape Line have arrived and soon will begin carrying passengers between Walla Walla and Pasco. The new buses are the latest fruits from $1.9 million in Recovery Act funds for the Travel Washington Intercity Bus Program.

Crews are building new SR 501 bridge over I-5 in Clark County – Stage one of the I-5, SR 501 Ridgefield Interchange project is well under way. Crews are starting to drill large shafts deep into the middle of the interstate that will anchor the new SR 501 bridge. Once finished with the shafts in the median, crews will begin working on another set of shafts that will support the bridge abutments on each side of the interstate. Drilling shafts is the first step in the process of building the bridge.

  • The project, initially certified for $10 million in Recovery Act funds, is now expected to use only $8.2 million due to a low successful bid.
  • The interchange is scheduled to be complete in late 2011 or early 2012.

Tier 2 stimulus project awarded – The City of Monroe awarded the contract for intersection improvements on US 2 at Chain Lake Road at N. Lewis Street. The project received $2.95 million in Recovery Act funds made available due to low bids on other local stimulus projects.

Seven more highway projects completed – 
Local projects:

Four more Tier 2 highway projects advertised – WSDOT and local governments advertised four projects receiving surplus stimulus funds from earlier advertised projects.

Key issues: National

Stimulus job reporting guidance expected to change – The White House Office of Management and Budget is expected to provide new guidance on reporting stimulus job creation for the upcoming quarterly data submission in January. The guidance may affect the calculation of jobs saved and retained by Recovery Act projects. The updated guidance will be posted on the OMB stimulus webpage. WSDOT will continue to report monthly labor data on the measured employment webpage.

Five Washington tribes awarded Recovery Act grants – The Federal Transit Administration awarded stimulus funds to five Tribal Transit Programs in Washington State. The awards total over $1.22 million for new buses, other vehicles, equipment, and bus shelters. Nationwide, FTA awarded $17 million to 39 projects. The FTA news release has the full list of projects. The Washington stimulus projects are:

  • Spokane Tribe of Indians received $255,000 for six vehicles
  • Kalispel Tribe of Indians received $335,600 to purchase a bus, two vehicles, and dispatch equipment 
  • The Quinault Tribe of the Quinault reservation received $398,000 to purchase two buses 
  • The Confederated Tribes of the Yakima Nation received $112,000 to purchase 12 bus shelters and two support vehicles 
  • Tulalip Tribe received $126,748 for the purchase of three buses 
  • Additionally, eight Washington tribes received $2.67 million in non-stimulus federal transit grants

Congress provides more funds for high-speed rail – The 2010 Transportation funding bill Congress passed on December 13 includes $2.5 billion in new funding for High Speed Intercity Passenger Rail (HSIPR) grants. President Obama is expected to sign the funding bill soon. The additional federal funds are planned to supplement the $8 billion in Recovery Act funds for the high speed rail program.

  • The Federal Rail Administration received applications from 24 states seeking about $50 billion funds and is expected to announce the selected projects in early 2010. Washington State applied for $1.3 billion in HSIPR stimulus funds.

Secretary LaHood hosted high-speed rail manufacturing conference – U.S. Department of Transportation Secretary Ray LaHood hosted a conference on domestic high-speed rail manufacturing on December 4 in Washington, D.C. LaHood said more than 30 rail manufacturers and suppliers committed to establish or expand operations in the United States if they are selected to build high-speed rail lines in the U.S.

  • The event’s news release includes a list of the companies participating.

National stimulus website plans changes to improve accuracy – Recovery.gov, the federal government’s official stimulus website, announced new changes in a blog entry December 15. The website will allow stimulus recipients to make corrections more frequently and will post a new list of “errors, omissions, and non-reported awards,” to publicly identify incorrect or incomplete reports. Recovery Accountability and Transparency Board Chairman Earl Devaney wrote that the website has also been updated to better identify congressional districts. Mistakes in the first report identified some projects as occurring in congressional districts that do not exist.

House T & I Committee held oversight hearing December 10 – Minnesota Rep. Jim Oberstar, Chairman of the House Transportation and Infrastructure Committee, opened the hearing December 10, by saying the Recovery Act has created over 200,000 infrastructure jobs. Oberstar said the Federal Highway Administration’s $26.8 billion in stimulus projects are providing pavement improvements, widening, and enhancements that add up to 27,756.6 miles of road improvements nationwide.

FHWA has obligated 80% of stimulus funds nationwide – The Federal Highway Administration has obligated almost $21.4 billion to 9,580 projects, or 80% of $26.8 billion in Recovery Act highway funds. Of those projects, 5,639 costing $14.45 billion are under way, and nearly $5 billion has been spent.

Inspector General started a review of U.S. DOT Stimulus Reporting Oversight – The U.S. Department of Transportation Inspector General initiated an audit of U.S. DOT oversight of the Section 1512 reporting required under the Recovery Act on December 11. All transportation stimulus recipients were required to post accountability reports on October, 10. The federal Recovery Accountability and Transparency Board requested the Inspector General’s audit.

Stimulus project of the week

Stimulus funds help improve pedestrian safety in Lynnwood
Work is underway on a project to improve safety for pedestrians and bicyclists at the I-5/196th Street SW interchange in Lynnwood.
Tri-State Construction crews are making great progress on a city of Lynnwood project that will improve safety for pedestrians and bicyclists at the I-5/196th Street SW interchange. The American Recovery and Reinvestment Act (ARRA) provided $1.25 million toward the $5.65 million project.

Crews are building a new walkway on the 196th Street SW overpass and a pedestrian bridge over the southbound I-5 off-ramp. The goal of the project is to make it safer and easier to cross I-5 at 196th Street SW on bike or foot. Currently, bicyclists and pedestrians must use a narrow sidewalk on 196th Street SW to travel between east and west Lynnwood. To access the Interurban Trail and Alderwood Boulevard on the west side of the interchange, they must cross 196th Street SW and wind their way through heavily-traveled local streets.

The new barrier-separated pedestrian walkway on the north side of the 196th Street SW bridge provides a safer, wider route across the interchange, separating vehicle traffic from pedestrians and bicyclists on the off-ramp. Finally, an elevated walkway will provide a safe connection to the popular Interurban Trail and Alderwood Boulevard. Crews started work in August and are on track to wrap up the project by next spring. 
 

Important dates

December 20: Next report to U.S. House Transportation and Infrastructure Committee
January 6: Anticipated bid opening for I-5/North Kelso to Harrison Ave
January 10: Next quarterly report due to OMB
January 13: Anticipated bid opening for I-82/Valley Mall Blvd Interchange
February 17: Deadline for the U.S. Department of Transportation to announce TIGER grants and High-Speed Intercity Passenger Rail awards (both are expected earlier)
March 2: Deadline for obligating federal highway funds

Websites of interest

WSDOT ARRA website: http://www.wsdot.wa.gov/funding/stimulus
Washington recovery website: http://www.recovery.wa.gov/
Federal recovery website: http://www.recovery.gov/
FHWA recovery website: http://www.fhwa.dot.gov/economicrecovery/index.htm
Federal Transit Administration recovery website: www.fta.dot.gov/recovery
Federal Rail Administration recovery website: http://www.fra.dot.gov/us/content/2153
Federal Aviation Administration recovery website: http://www.faa.gov/recovery
OMB recovery website: http://www.whitehouse.gov/omb/recovery_default/

Grays Harbor County organizations get salmon recovery grants from state

The grants from the Salmon Recovery Funding Board ranged from $17,000 to $1.7 million. The funding goes for big and small restoration and recovery projects across the state, including work ranging from planting trees along streams to cool the water for salmon, to replacing culverts that prevent salmon from migrating to spawning habitat, to restoring entire floodplains.
 
Grants were given to projects in the below. Click here for details on each project.
 
Asotin County……………………….. $136,800
Benton County……………………… $115,362
Chelan County………………….. $1,143,123
Clallam County………………….. $4,131,462
Clark County…………………………. $510,452
Columbia County…………………. $787,113
Cowlitz County……………………… $706,695
Grays Harbor County……………. $870,343
Island County…………………….. $1,143,187
Jefferson County……………….. $2,277,856
King County………………………. $2,644,814
Kitsap County…………………….. $1,489,850
Kittitas County………………………. $328,500
Klickitat County…………………….. $265,650
Mason County……………………. $3,409,910
Okanogan County………………… $809,877
Pacific County……………………. $1,135,419
Pend Oreille County……………… $360,000
Pierce County……………………. $2,960,669
San Juan County………………. $1,458,776
Skagit County…………………….. $5,844,363
Snohomish County……………. $5,547,631
Thurston County………………… $1,320,675
Walla Walla County………………. $674,487
Wahkiakum County……………… $691,332
Whatcom County………………….. $951,215
Yakima County………………….. $1,120,053
 
 
"Local watershed groups develop these projects based on regional recovery plans and with the support of regional salmon recovery organizations. This “bottom-up” approach to salmon recovery ensures that funding is focused on what they see happening in their communities," Tharinger said. "The projects are then checked by the state’s technical review panel to make sure they will help recover salmon in the most cost-effective manner. This local and state partnership has made Washington a national model in salmon recovery."
Several populations of salmon were put on the federal list of endangered species in 1991. By then, the number of salmon had fallen to only 40 percent of historic levels in Washington, Oregon, Idaho and California. By 1999, almost three-fourths of Washington’s watersheds were affected by Endangered Species Act listings of salmon and bull trout. Those listings set off a series of activities including the formation of the Salmon Recovery Funding Board to oversee the investment of state and federal funds for salmon recovery. Since 2000, the board has awarded nearly $404 million in grants, funded by federal and state dollars, for 1,307 projects. Grantees have contributed nearly $160 million in matching resources, bringing the total investment to more than $564 million.
The funding comes from the federal Pacific Coastal Salmon Recovery Fund and is matched by state funds from the sale of bonds. The funding for these grants was approved by Congress and the Washington Legislature earlier this year. On Thursday, Washington State received news that $80 million in 2010 federal funding for Washington and several other western states is in the final budget bill before Congress.
“We want to thank our Congressional delegation, especially Senator Patty Murray and Representative Norm Dicks, who have been champions of salmon recovery work,” Tharinger said. “Without their help at the national level, this important work wouldn’t be able to continue. All of Washington will benefit from these grants.”
The Salmon Recovery Funding Board’s citizen members are appointed by the Governor and they are: Harry Barber, Washougal; Commissioner Donald “Bud” Hover, Okanogan County; Bob Nichols, Olympia; Commissioner Steve Tharinger, Clallam County; and David Troutt, Dupont. Five state agency directors or their designees also serve as members (Conservation Commission, Department of Ecology, Department of Fish and Wildlife, Department of Natural Resources and Department of Transportation). Staff support to the Salmon Recovery Funding Board and the process of project recruitment and review is provided by the Washington Recreation and Conservation Office. Information about the Salmon Recovery Funding Board and the Recreation and Conservation Office is available online at www.rco.wa.gov.

Washington Attorney General sues two more businesses as part of industry crackdown

Since 2007, the Attorney General’s Office has accused five marketing businesses and two Washington dealerships of false advertising. That tally includes the latest lawsuit, filed this week in Clark County Superior Court. It accuses RGH Marketing, of Happy Valley, Ore., and Robert G. Hubbard, Jr., of violating the violating Washington’s Consumer Protection Act, Promotional Advertising of Prizes Act and Dealers’ Licenses Act.

Hubbard lives in Oregon and is the general manager of Interstate Auto Liquidators, based in Vancouver, Wash. RGH Marketing claims on its Web site that it is a wholesale division of Whitney’s Auto Group, whose members include Whitney’s Chevrolet in Montesano, Aberdeen Honda, Whitney’s Value Ford in Elma, Interstate Auto Liquidators in Kelso, and Stormy’s Used Cars in Elma.

“We believe that RGH Marketing promoted off-site sales at locations throughout Washington, making it appear these were special bank-ordered events,” Assistant Attorney General Mary Lobdell explained. “In fact, we believe the cars were from the Whitney’s Group dealers’ regular inventory or were picked up at auto auctions.”

The state’s complaint accuses the defendants of using terms such as “Pre-Auction Auto Sale,” “Repos,” and “Bank Asset Sale.” Ads also included statements such as “$0 Down Delivers!” when RGH knew or should have known that the dealer can’t prove these statements are true.

In 2006, the Oregon Department of Justice sent a notice to Hubbard, doing business as U.S. Marketing Direct, along with RGH Marketing and other individuals. The agency alleged their direct mail advertisements for “pre-auction liquidation” sales events violated the law. The flyers advertised events by Nationwide Fleet Liquidators. Oregon DOJ said the sales were conducted by Kirby Car Company and Newberg Dodge Chrysler Jeep and, despite advertising claims, the vehicles were offered at retail prices.

 

RGH Complaint

Washington State disciplines health care providers

Benton County

In July 2009 the Medical Commission amended the statement of charges against physician assistant Patricia Hernandez (PA10003590). Allegations include crossing professional boundaries with patients, asking patients for a loan, treating immediate family members, and prescribing narcotics and issuing refills of the narcotics without examining the patients or noting justification in the medical record.

Chelan County

 
In July 2009 the Medical Commission amended the statement of charges against physician Kenneth M. Jones (MD00028268). He allegedly aided or abetted unlicensed practice of medicine by allowing unlicensed people to evaluate clients, provide injections, use his name to obtain and use equipment, and use his Drug Enforcement Agency number to obtain medications. Jones also allegedly misprescribed human growth hormone to two patients.
 
Clark County
 
In July 2009 the Nursing Commission charged licensed practical nurse Sean A. Campbell (LP00044162) with unprofessional conduct. He allegedly used restraints on a patient when the patient was supposed to be continuously mobile.
 
 
Clallam County
 
In July 2009 the Registered Counselor Program released Mark P. Hynes (RC00051298) from terms and conditions set against his registration.
 
In July 2009 the Nursing Assistant Program granted the application of Deborah Ann Marshall (NA60060967) and placed her registration on probation for two years. She was convicted of social security fraud. She must comply with terms and conditions set against her registration.
 
Cowlitz County
 
In May 2009 the Nursing Commission charged licensed practical nurse Ralph G. Snyder (LP00055296) with unprofessional conduct. He allegedly failed to comply with previous terms and conditions set against his license.
 
Grant County
 
In July 2009 the Nursing Commission charged registered nurse Connie Jo Raphael (RN00114309) with unprofessional conduct. She was convicted of driving under the influence on more than one occasion, reckless driving, assault on more than one occasion, and violation of pre-trial protection order.
 
In July 2009 the Medical Commission entered into an agreed order with physician Michael L. Thorpe (MD00042843). He entered into a romantic and sexual relationship with a patient. He must comply with terms and conditions set against his license.
 
Grays Harbor County
 
In July 2009 the Emergency Medical Technician Program granted the application of Tina Marie Morgan-Schmidt (ES60093336) and placed her license on probation for one year. She was convicted of possession of controlled substance, and escape. She must comply with terms and conditions set against her license.
 
King County
 
In July 2009 the Chiropractic Commission charged chiropractor Theodore Clark (CH00002219) with unprofessional conduct. He allegedly billed patients for massages performed by him when the massages were actually provided by other practitioners.
 
In June 2009 the Registered Counselor Program denied the application of Stephen W. Clegg (RC00059874). He was convicted of violation of a no contact order and violation of a restraining order.
 
In July 2009 the Medical Commission charged physician Frederick B. Davis (MD00010139) with unprofessional conduct. He allegedly engaged in sexual misconduct with a patient, and failed to keep adequate treatment notes on the patient.
 
In July 2009 the Health Care Assistant Program granted the application of Courtney Renee Kinzer (HC60071850) and placed her license on probation for two years. She was charged with domestic battery, placed on probation for the charge, and failed to comply with conditions of her probation, resulting in a warrant for her arrest. She must comply with terms and conditions set against her license.
 
In May 2009 the Massage Therapy Program charged Enrico Modiano (MA00001135) with unprofessional conduct. He allegedly engaged in sexual misconduct with a patient.
 
In July 2009 the Dental Commission charged dentist Vance Reed (DE00006387) with unprofessional conduct. Allegations include failing to correctly fit a patient’s bridge, failing to notify a patient of a possible need for a root canal, and failing to keep adequate charts and records for patients’ treatment.
 
In June 2009 the Nursing Commission terminated the order of probation against registered nurse Marcia Sederstrom (RN00087727).
 
Kitsap County
 
In July 2009 the Nursing Assistant Program charged Jordan T. Henzel (NA60027093) with unprofessional conduct. He was convicted of delivery of marijuana.
 
Pierce County
 
In July 2009 the Medical Commission charged physician Dennis J. Geyer (MD00048961) with unprofessional conduct. He allegedly entered into an altercation with another motorist on his way home from work, resulting in an accusation of the felony crime of assault.
 
In July 2009 the Medical Commission entered into an agreed order with physician Jerome P. Rao (MD00018925). He became upset during a surgical procedure, raised his voice, shouted expletives, and flung bloody irrigation at the surgical technician. He must comply with terms and conditions set against his license.
 
In July 2009 the Nursing Assistant Program reinstated the certification of certified nursing assistant Thomas Willett (NC10011353) and placed it on probation for four years. He must comply with terms and conditions set against his certification.

 

Snohomish County
 
In July 2009 the Medical Commission entered into an agreed order with physician Kisoon Cho (MD00029288) and placed her license on probation for three years. She failed to meet the standard of care while treating a patient; placing the patient at an unreasonable risk of harm, resulting in the patient’s death. She must comply with terms and conditions set against her license.
 
In June 2009 the Registered Counselor Program denied the application of Denise Michele Huff (RC60036390). Her certification to practice as a nursing assistant was indefinitely suspended.
 
Spokane County
 
In July 2009 the Board of Pharmacy charged pharmacy technician Lisa Roth (VA00066652) with unprofessional conduct. She allegedly diverted controlled substances from her place of employment and sold them for her own gain.
 
Thurston County
 
In July 2009 the Emergency Medical Technician Program granted the application of Jerry D. Kessler (ES60089093) and placed conditions against his license. He was convicted of vehicular homicide. He must comply with terms and conditions set against his license.
 
Out of State
 
California: In June 2009 the Medical Commission denied the application of physician Charles D. Nordlinger (MD60062972). His license to practice as a physician in California was placed on probation, and he failed to disclose the probation on his application.
 
Minnesota: In June 2009 the Nursing Commission denied the application of registered nurse Therese Morgan (RN60073941). The Arizona State Board of Nursing revoked her license to practice as a registered nurse in Arizona and she failed to disclose the revocation on her application.

Texas: In July 2009 the Nursing Commission charged registered nurse Sara A. Warren (RN00153305) with unprofessional conduct. She allegedly failed to comply with terms and conditions set against her license.

Health care providers charged with unprofessional conduct have 20 days to respond to the Department of Health in writing. The case then enters the settlement process. If no disciplinary agreement can be reached, the case will go to a hearing.

Hundreds of Volunteers Expected Saturday for National Public Lands Day

“National Public Lands Day is an important day to appreciate the beauty and bounty of our state,” said Commissioner Goldmark. “Whether you are talking about recreation, clean water, or revenue for our schools, public lands provide wonderful benefits for all Washingtonians.”

 

DNR manages 5.6 million acres of public lands, including the forested alpine foothills of the Cascade Mountain range, shrub-steppe grasslands in eastern Washington, and marine and freshwater aquatic lands such as Puget Sound.

Along with providing revenue for trust beneficiaries such as public schools and universities, Washington’s public lands provide healthy habitats to sustain our state’s natural resources. These lands also provide access for the public to enjoy recreational opportunities such as hiking, mountain biking, horseback and off-road vehicle riding, and hunting and fishing.

 

National Public Lands Day events on DNR-managed lands:

Saturday, September 26

 

West Tiger Mountain Natural Resources Conservation Area

9 a.m. to 3 p.m.
DNR, along with the Mountains to Sound Greenway Trust and the City of Issaquah, are looking for volunteers to help pull out invasive plants and repair trails. Joining the event will be former participants of Greenway Summer Camps, a program for 10 to 18 year olds, and Washington Conservation Corps crew members.

Meet at the upper parking lot of the High Point Trailhead
Directions: Take Exit 20 from Interstate 90 east of Issaquah.
Contact: Doug McClelland, DNR, 206-920-5907 or
doug.mcclelland@dnr.wa.gov
         

Mima Mounds Natural Area Preserve event

9 a.m. to 1 p.m.
Help get rid of invasive weeds—particularly Scotch broom—and also repair trails.

Waddell Creek Road SW, Littlerock
Directions: Exit I-5 at Littlerock. Drive west through Littlerock and continue on 128th Avenue SW until it ends at an intersection with Waddell Creek Road. Turn right on Waddell Creek Road. The Mima Mounds entrance will be on the left. Drive slowly or you might miss it..
Contact: Roberta (Birdie) Davenport, DNR, 360-577-2025 or
roberta.davenport@dnr.wa.gov  

 

Pick Up the Burn — Yacolt Burn State Forest

8 to 9 a.m. — sign up
9 to 2 p.m. — clean up
2 to 4 p.m. — volunteer appreciation lunch
In the Yacolt Burn State Forest in Clark County, DNR and Piston’s Wild Motorsports are co-sponsoring the 7th Annual Pick Up the Burn. This event will bring volunteers from all recreation use types together to pick up garbage and haul out several abandoned vehicles. Doughnuts and lunch will be provided to volunteers.

Meet at the Jones Creek Trailhead (off of Lessard Road, about 6 miles north of Washougal)

Directions:

From either northbound or southbound I-5, take I-205 exit.

Use Hwy 500 East (Exit 30-Orchards).

Go east on Hwy 500 to Fourth Plain (1st light) and turn right, continuing on Hwy 500 East (Camas).

Go 6.3 miles, turn left on 53rd Street.

Go 3.2 miles, turn left on Ireland Road.

Go .3 miles turn left on Lessard Road.

Continue on Lessard Road for 4 miles and follow signs to Jones Creek ORV.

Contact: Nick Cronquist, DNR, 360-575-5016 or nick.cronquist@dnr.wa.gov  

National Public Lands Day

National Public Lands Day began in 1994 with three federal agencies and 700 volunteers. Last year, 120,000 volunteers participated in 1,800 locations and in every state.

For more information, visit National Public Lands Day at www.publiclandsday.org