SOUNDINGS - Harley Marineharleymarine.com/soundings/2017-12December.pdfsoundings 9 As the maritime business evolves into an industry with more regulations and higher standards, Harley

SOUNDINGSDECEMBER 2017

COWORKER APPRECIATIONWEEK

A MESSAGE FROM THE CEO

NEW HIRE ORIENTATION EXPLAINED

DECEMBER 2017 ♦ SOUNDINGS 1

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SoundingsA Harley Marine Services Publication

Harley Marine Services910 SW Spokane StreetSeattle, WA 98134

© 2017 Harley Marine Services. All Rights Reserved. Soundings, “A Harley Marine Services Publication”, “A Full Service Maritime Company” as well as all corporate identity used herein, are trademarks of Harley Marine Services and may not be used without permission.

A Message from the CEO

Crewmember SpotlightGet to know the crew of the BOB FRANCO

Onboarding Orientation

New Build Update

License Expiration Renewal

Coworker Appreciation Week

Kenai Peninsula Food Bank

Harley Marine Golfs for Kings Point

Employee of the Month


SAFETY CORNERDECEMBER 2017 ♦ SOUNDINGS 2

We would be remiss not to congratulate the effort of our entire shore side team. Two people especially deserve distinct recognition. Captain Joel Coffey worked tirelessly with the crew of the JAKE SHEARER, speaking directly with the bridge crew throughout the most tenuous phases of the rescue. Captain Coffey remained cool, calm and served as a great operational sounding board. Additionally, Rob Sortor has worked diligently on the investigation interviewing crews and coordinating crew swaps, while simultaneously conducting safety and regulatory investigations. Both Rob Sortor and Captain Coffey are both well respected by Harley Marine’s crews and shore side teams and proved champions of this incident. This ordeal only bolsters how respected they are by outside entities as well. In addition to commending Rob Sortor and Captain Coffey, the Canadian Coast Guard has commended our entire operation’s response and recovery to this incident. Once our investigation is completed, we will immediately share lessons learned with the Coast Guard, our crew, and management team.

We firmly believe that our response is a reflection of our preparedness, and as a company we are proud of the outcome. While unfortunate and stressful, this incident will make us a better operator, a better company, and an even better industry leader in quality, safety, and environmental protection.

2 SOUNDINGS ♦ DECEMBER 2017

A MESSAGE FROM CEO HARLEY FRANCO:

On Sunday November 26th, the Articulated Barge ZIDELL MARINE 277 detached from the tug, JAKE SHEARER, in the waters just south of Goose Island in Canada. Sailing up to Alaska the vessels became misaligned, which in extreme weather resulted in the decoupling of the equipment. During the time of the incident, the ZIDELL MARINE 277, a double hull ATB barge, was carrying approximately 67,000 barrels of diesel and an additional 11,000 barrels of regular gasoline. The crew reacted professionally and immediately. Bravely, putting themselves at risk, but taking every precaution, two crew members were safely placed on the barge and were able to lower the barge anchor. This action prevented the barge from drifting into a sensitive ecological zone and colliding into any obstructions that could have seriously damaged the vessel’s hull.

We are still investigating the incident, but it goes without saying the cooperation of all the parties involved, minimized equipment, environmental and human collateral damage. The brave men and women of the Canadian Coast Guard worked with us side by side until the vessel was successfully delivered to the shipyard. The Canadian Coast Guard vessel GORDON REID responded to the incident and monitored the situation while our crew safely secured the vessel. The M/V GULF CAJUN was dispatched the following day to tow the ZIDELL MARINE 277 into safe harbor.

Our constant training in worst case scenarios and simulations throughout the year allowed us to respond effectively and decisively. While we are still investigating the connection failure, Harley Marine’s shore side operational management team is working together with the Canadian Coast Guard to assess lessons learned. Together we devised an incident response plan that ensured the safety of our crew as well as the wildlife in the area. Every crewmember is accounted for and uninjured, and not one drop of oil was spilled. The policies and procedures that we have developed proved successful in the JAKE SHEARER/ZIDELL 277 rescue.

Harley Franco, CEO

CREWMEMBERSPOTLIGHTDECEMBER 2017 ♦ SOUNDINGS 54 SOUNDINGS ♦ DECEMBER 2017

What is your favorite part of working on a boat?Equal time off.

What is your favorite activity to do together while crewed up?We enjoy working together to complete a job.

What is your favorite movie or show to watch as a crew?Orville Hook Training video.

Who is the best cook and what is everyone’s favorite dish that they make?Chris Starkenburg and his stag chilly hot dogs is our favorite dish.

Who has the best singing voice?No singers onboard at the moment.

Who tells the best jokes and who tells the worst jokes?We’re still working on figuring this out.

Who makes the best coffee?Kachemak Bay Roasters

Who snores the loudest?It’s hard to say since none of us sleep together.

Pepsi or Coke?Green tea for sure.

Bacon or sausage?Bacon wrapped sausage.

Hard shell taco or soft shell taco?Both with turkey burger.

Cake or pie?Pumpkin pie.

Sunrise or sunset?Northern Lights.

Getting to Know the BOB FRANCO Crew

6 SOUNDINGS ♦ DECEMBER 2017 DECEMBER 2017 ♦ SOUNDINGS 7

Onboarding Orientation By Eric Skewis, Port Captain Training Lead

With concerted efforts from several departments, the Harley Marine team has been keeping stride with our directive of “continual improvement” in our operation. A large influx of new employees has caused us to focus even more time and training during the New Hire Orientation (NHO) process. From the very beginning, candidates are screened by company recruiter, Jasmine Gonzales, as well as regional managers. This ensures that only the most qualified individuals move on to the interview phase. All candidates for captain are screened and then interviewed by a member of Harley Marine’s Port Captain team, and later approved by a member of upper management.

Our New Hire Orientation process covers many of the objectives that Harley Marine holds as a company. Emphasizing Harley Marine’s company values early on in a person’s employment not only teaches them about the kind of company they work for, it establishes a sense of acceptance into the corporate culture as well. For example, our safety policies and procedures are emphasized very early on in the NHO by safety department members Rob Sortor and Ernie Ramos. We want new employees to know that their wellbeing is more important to us than any job.

After reviewing company-wide objectives, the next step in the NHO is getting the new employee acquainted with our payroll and time card system through ADP. This portion of the NHO is introduced by members of the Human Resources and Payroll teams.

In this segment, a new employee learns how to log on to the system, clock in and out of the work day, put in for sick or vacation time, how to access the Harley Marine Learning University and the company benefits package are explained.

Cory Young of our Engineering team, trains applicable new hires on our e-Maint system to ensure that items requiring attention on the vessel are attended to in a timely and efficient manner.

The Deck Officer Procedures required to be followed as per company policies are delivered by a Regional Port Captain or an HMS Port Captain. Newly hired captains go through additional training for their role aboard the vessel as both a captain and a manager of a Harley Marine Services vessel.

New training sessions are frequently added to the NHO. This is to ensure that we are transitioning into the new Sub Chapter M requirements for 2018. Many upper level managers are directly involved with the NHO, which has made it a more streamlined and informative process.

Keeping the process coordinated is a huge task. HR addresses each individual on a regional basis to ensure it is a smooth process, and that proper documentation is recorded. The entire process can take up to 3-days. With the addition of Sub Chapter M requirements, the process will be a 5-day process. We want to ensure that new employees are compliant with state and federal laws, familiar with company policies and procedures, and understand our company history and philosophy. The ultimate goal of the NHO is for new employees to have a strong foundation when beginning their career with Harley Marine Services.


New Build UpdateBy Mark Stiefel, Vice President, Contract Administration

This year Harley Marine Services accepted delivery of a record 11 new vessels as we expanded our fleet and business to fully serve the needs of our customers. Congratulations to the HMS team! Each department worked closely together and made personal sacrifices to achieve this significant milestone. In addition, hats off to our shipyards: Conrad, Diversified Marine, Gunderson, and Zidell Marine for your significant efforts to construct and deliver quality vessels.

In November we accepted delivery of our fourth ATB tug in 2017, the TODD E. PROPHET built by Conrad Industries in Morgan City, LA. The TODD E. PROPHET is a Tier 4 ATB tug – the vessel receives propulsion from twin GE Tier 4 6L250 engines producing 2,280 HP each at 900 rpm and has twin 99-kW John Deere 6068TFM generators provide auxiliary power.

The TODD E. PROPHET is named after our late Chief Financial Officer, Todd Prophet, who lost a hard fought battle with lung cancer this past July. Todd was a constant at Harley Marine for nearly 20 years and has been greatly missed by the Harley Marine family.

In November we took delivery of the ALL ABOARD FOR A CURE, an 83,000 bbl ATB tank barge built by Gunderson in Portland, OR. ALL ABOARD FOR A CURE is a name which aspires for a cure for Type 1 Diabetes. The ALL ABOARD FOR A CURE was named by Larry and Sherry Benaroya of the Benaroya Research Foundation for their tireless efforts in raising money and awareness for Type 1 Diabetes. The name ALL ABOARD FOR A CURE intends to bring awareness to Type 1 Diabetes and illicit a cure.

We are pleased to announce that one of the conventional tugs under construction at Conrad will be named the SHELBY WITHINGTON. Shelby Withington was our dear friend, former intern and an avid outdoorsman whose life was tragically cut short at twenty years old last Memorial Day Weekend. The SHELBY WITHINGTON will be a KESTRAL class tug suited for bunker work.

Deliveries for 2018 and 2019 are as follows and our New Build Team is actively working to place additional vessels on order in the near future:

Vessel Planned Delivery DateSHELBY WITHINGTON December 2018HULL C-1186 March 2019


Conventional Tugs being constructed at Conrad:


As the maritime business evolves into an industry with more regulations and higher standards, Harley Marine's policies for maintaining a safe and quality operation must do so as well. As a quality oriented operator, it is essential that Harley Marine stay both ahead of the curve as well as organized when putting Coast Guard mandates and internal policies into practice.

An example of this can be found in how we keep track of Merchant Mariner Credentials, also known as MMCs. Issued to qualified mariners by the United States Coast Guard, the possession of a MMC provides justification that a mariner has obtained a certain level of education and skillsets.

At Harley Marine, our culture of safety and compliance is a priority and all mariners must meet US Coast Guard requirements. To reduce the risk of a mariner having an outdated MMC and to ensure all required crewmembers have a valid MMC on their person at all times while crewed up, Harley Marine’s Human Resource department has developed a method of keeping track of every mariner’s licenses.

The process has a lot of moving pieces and parts. To renew a MMC, a mariner must have a valid Transportation Worker Identification Card (TWIC), written disclosure of any convictions, a medical examination report within the last 12-months, and a Chemical Testing Report dated within 6-months of renewal. A mariner must also provide full copies of all current and applicable licenses, evidence of sea service and copies of all training courses. With a growing fleet and frequent new hires, it is no small effort to help our mariners stay on track. It takes a lot of organization and patience from the HR team as well as a lot of cooperation and coordination between different departments and regions.

Every week, HR emails a report to employees whose credentials will expire in 9-months with details on what credentials will expire and notes on the steps for renewal. This 9-month window gives our employees time to gather all of their renewal documents and submit in time for the 6-month deadline. The 9-month window also allows mariners enough time to request a Seatime Letter via Harley Marine’s mobile site, which must be done so no later than 8-months prior to MMC expiration date. Tankermen are also given 9-month warnings, however, they must go through their local Barge Operations Manager or Tankermen Supervisor no less than 8 months before expiration.

Although Human Resources is always happy to assist employees throughout the renewal process, the initial 9-month expiration email includes links to the USCG’s MMC renewal application and requirements as well as a reminder to contact HR to schedule their annual physicals. HR has an additional report for employees whose license will expire in less than 30-days, which goes to all managers and our dispatch team. Once an employee receives a new MMC, it is submitted to HR and added into our internal data base. Only then are employees taken off the expiration report until their next renewal.

License Expiration RenewalBy Sharon Cunningham, Human Resources


12 SOUNDINGS ♦ DECEMBER 2017 DECEMBER 2017 ♦ SOUNDINGS 1312 SOUNDINGS ♦ NOVEMBER 2017

Friendsgiving lunch at our World Headquarters in Seattle.

Co-Worker Appreciation WeekBy Annie Hall and Allie McKay

Do clothes make a man, or does a man make his clothes? Harley Marine believes that our employees are what make us a great company. As a company, we have always tried our best to emphasize our appreciation for our employees by hosting company barbecues, holiday parties and family fun days. There is one event, however, that is held solely for our co-workers.

For ten years we have hosted our annual Co-Worker Appreciation Week, or CWAW for short. CWAW has become a special time of year for employees and managers alike to venture beyond their cubicles and interact with each other in a different environment. CWAW is a weeklong organized event that consists of fun team building activities and themed luncheons.

This year, the activities included a corn hole tournament, cookie decorating contest and a friends-giving potluck. Each year, we hold a raffle in which employees can purchase “thank you” tickets for coworkers to show appreciation. Once an employee is given a ticket, they then have a selection of prizes that they can enter to win. Prizes range from items donated from vendors, gift cards or merchandise from Harley Marine Outfitters. All proceeds from the raffle are donated to a charity of choice. This year, HMS employees raised $2,813, all of which will go to the Kaplan Cancer Research Fund, and the Patient Assistance Fund at Swedish Cancer Institute in Seattle, WA.

Seeing this as a first year employees of Harley Marine has made us feel very lucky to work here. We feel that we are truly valued as employees, and it has encouraged us to work harder-- because working for a company that believes in its employees makes us believe in ourselves. We are proud to be employees of a caring and compassionate company who puts the needs of its workers and communities at the forefront.

14 SOUNDINGS ♦ DECEMBER 2017 DECEMBER 2017 ♦ SOUNDINGS 15NOVEMBER 2017 ♦ SOUNDINGS 15

Westoil Marine Services’ barge, LILY BLAIR, in the Port of Long Beach.Each year around Thanksgiving, Harley Marine donates funds to local food banks in

the ports we operate. Brad Kroon provided a check from the company to the local Food Bank where the tug, BOB FRANCO operates.

Linda, the Executive Director of Kenai Peninsula Food Bank, wants to give a special thanks to Harley Marine Services and the Franco Family for the continued support of the Food Bank. She noted they had 20 new families show up unannounced for Thanksgiving. We were unable to get the check there before Thanksgiving, but the money will help for the rest of the Holiday season.

DECEMBER 2017 ♦ SOUNDINGS 1514 SOUNDINGS ♦ DECEMBER 2017

Kenai Peninsula Food BankBy Bradley Kroon, Alaska Operation Manager

HARLEY MARINE OUTFITTERS

Visit our online store to view prices and browse more items.


Excluding Float Coats and Floatation Devices.

Through December 31, while sizes and supplies last.

http://www.harleymarine.com/store

Online code:HOLIDAYS

OUTFITTERS HOLIDAY SALE30% off!

A special Turkey Thanks from Jackie Dsouza at Enterprise!



Harley Marine enjoyed an excellent day with employees and customers at the spectacular King’s Point Golf Tournament held at Oak Creek Golf Club in Irvine CA, on November 16th. This was the third King’s Point Golf Event for Harley Marine in 2017, with the day consisting of 18 holes of golf, followed by a delicious dinner and an entertaining raffle. It should be noted that we’d like to give a special shout out to Gregg Matalas, who did an incredible job organizing such a fun event for the Harley team to be a part of. Everyone who attended had a fantastic time enjoying the perfect weather conditions on hand.

Always eager and willing to give, Harley Marine was a prominent sponsor for the event, and was represented well by the employees who attended. We had a great turn out from our customers, including: NYK, OOCL, Catalina Express, PIL, CMA-CGM, APL, Aegean, CVT Tankers, Marine Technical Services, and Conrad Ship Builders. Harley Marine employees included: CEO Harley Franco and wife Lela Franco, Matt Gullickson, Kimberly Cartagena, Doug Houghton, Matt Hathaway, Ben Kotin, Jennifer Beckman, and Anthony Lobro. The event was a success and a memorable day for Kings Point and all who attended.

By Jennifer Beckman, Marketing CoordinatorHarley Marine Golfs for Kings Point


Thank you to all our subscribers.


Harley Marine GulfDee Rubin, 5James Veazey, 5Jeffery Manes, 5Alejandro Torres, 4James Thomas, 4Justin Snyder, 3Jason Burket, 2Damon Neblett, 2

Harley Marine NYCorey Harris, 11Robert Ehmann, 6Richard Brockway, 5

Harley Marine ServicesStephen Parry, 9

Millennium MaritimeMatthew Hathaway, 13

Olympic Tug & BargeKurt Zaverson, 30Guy Larsen, 14Gary St. Luise, 12Joseph Miranda, 11William Ford, 11Carlos Trinidad, 10

Daniel Baumfalk, 10James Whitney, 6Michael Lindquist, 5Chester Harrison, 4Joshua Swainston, 4Clinton Williams, 3Richard Pennewell, 2

Pacific Coast MaritimeSteven Osberg, 9

Starlight Marine ServicesHal Eltzroth II, 12Michael Limon, 12Gabe Cleope, 4

Westoil Marine ServicesBrian Janson, 21Andre Nault, 11Dain Schmidt, 8Paul Cruz, 2

Employee Anniversaries

Harley Marine New York tugANDREA on the Kill Van Kull, courtesy of TugBoat Graffiti


EMPLOYEE OF THE MONTH22 SOUNDINGS ♦ DECEMBER 2017

Olympic Tug & Barge would like to recognize Derrill Dizard as employee of the month. He would be credited as one of our outstanding, versatile chief engineers. There’s not many vessels he hasn’t sailed as chief engineer within our company. Coming from the fishing industry, Derrill has a “can do” attitude which he proved recently on the Bob Franco, up in Cook Inlet. On his first voyage on the Bob Franco, the vessel experienced a catastrophic failure of the Starboard Z-drive coupling. This was not just handled, but our customers needs were met with no loss of revenue. Job well done!

Harley Marine New York would like to recognize Engineer Thomas Powell as the December Employee of the Month. Tommy has been a long standing employee who has been with HMNY from its inception. His attention to detail in the Engine Room is abundantly obvious with its pristine condition. Tommy is a great crewmember who continually goes above and beyond to help anyone. HMNY appreciates all that Tommy has done, and we are very proud to have him onboard.

Starlight Marine Service would like to recognize Eric Vuoso as employee of the month. Eric’s background with Starlight started when he did his commercial cruse with us while he was a cadet at California Maritime Academy. Eric has worked hard for his mates position at Starlight starting out as a deckhand for 2 years and working his way up the ladder to Jr. Mate. He is currently in a full time Mate position standing his own watch on the Tug Ahbra Franco. He has acquired his Master of Tow endorsement and will now be promoted to Jr. Captain starting December 1. His mentors Captains Mike Link and Dave Cadiz can be proud of sharing of their knowledge and the mentoring with Eric. His work ethic and care of any vessel he is on shows that he is always making a difference.

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