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Sep, 30, 2007

WORKPLACE

Purchase by CH2M Hill leads to expansion of Bellingham office

DAVE GALLAGHER


BELLINGHAM — With all the changes his company has gone through, the most common question Ken Marzocco gets these days is the new name.

“It’s one of those things that will take getting used to,” Marzocco said with a chuckle. “Some people think the name stands for a chemical, but it’s actually a melding of different names.”

What’s more heartening for Marzocco and his 250 employees is what the new owner, CH2M Hill, will do beyond changing the business name at the Flatiron Building on Bay Street.

In the next couple of years the plan is to double the work force from 250 employees to about 500. Most of the new jobs will be in the engineering and technical side of the business — jobs that can pay about $80,000 a year, Marzocco said.

It’s a strong shot of good news for an office that has had to endure the troubles that the company, formerly known as VECO, has gone through the past few months.

VECO, headquartered in Alaska, has been embroiled in a corruption scandal involving potential bribery charges against some Alaska lawmakers. Marzocco said the local office is far removed from what was happening in Alaska and that much of what they learned was through newspaper reports. But it has been damaging to company morale.

“It was disappointing because, aside from that situation, VECO has been an outstanding company to work for,” Marzocco said. “I’m happy that we will now be able to move on and feel lucky to be acquired by a company of CH2M Hill’s stature in the industry.”

The Bellingham office is being expanded partly because of the resources the new owner brings, Marzocco said. In recent years the Bellingham office has focused on projects involving local refineries. However, CH2M Hill has broader services, including economic development, emergency management and city operation services. The company has worked on projects as big as the expansion of the Panama Canal and the 2012 Olympics in London, and managing services for small cities such as Quincy, Fla. The company also is a business partner of Google Earth, which combines satellite pictures and maps to show specific areas.

“The difference for us is with more resources. We can look at other opportunities in this region, while at the same time keeping our current customers happy,” Marzocco said.

The demand should continue to be strong with the firm’s current customers. Michael Abendhoff, spokesman at BP Cherry Point, said the refinery industry continues to be aggressive when it comes to upgrades and installing new, more efficient units.

“All the engineering firms play an important role in helping make the local refineries run,” Abendhoff said. “We have our own engineers here, but many of these upgrades are so complex and require so much planning that we have to get help from outside engineering firms. They play an integral role in working with our team.”

Another reason Marzocco is pleased with the new ownership is that it is employee-owned. All the VECO employees at the Bellingham office were made shareholders and are able to vote on board decisions.

“It certainly will help in keeping our job turnover rate low, as well as help begin attracting new employees to the office,” Marzocco said.

The Bellingham office currently has 30 open positions to fill. To attract employees, the company relies heavily on a strategy that brought Marzocco to the company — living in Whatcom County.

“I like to tell people that they can either be out kayaking an hour after they get off work or, if they go to a big city, spend time stuck in traffic,” Marzocco said.

“The small-town atmosphere of Bellingham is a major selling point, but it is still a challenge to bring people here because for many it means uprooting families and bringing them here.”

The Bellingham office’s seven-story Flatiron Building is currently full; the company has been leasing extra office space in the nearby Crown Plaza building.

The company plans to erect a new office building to handle the growth. Marzocco said it is committed to staying in Bellingham.

“It’s an exciting time for our company, and I’m glad that we’re doing this in Bellingham,” he said.


Reach Dave Gallagher at 715-2269 or davegallagher@bellinghamherald.com.