PORT OF SEATTLE

MEMORANDUM

SUBJECT: Terminal 10 site and drainage improvements

ACTION REQUESTED

Request Port Commission approval to increase the authorized budget by $270,000 for a

total new authorization of $800,000 and to complete permitting and design of site

improvements at Terminal 10.

SYNOPSIS

mistakenly did not include all the necessary Engineering and Environmental support.

The additional money is required to include a new stormwater outfall in the permitting

and design; and to accommodate increased costs associated with the Environmental

Protection Agency (EPA) and City coordination on construction issues. Staff is now

requesting approval of an additional $270,000 to amend Category 3 Service Agreement,

prepare permit documents, and obtain necessary permits, complete 100% design

drawings and complete 100% contract documents for site improvements at T10.

PROJECT DESCRIPTION AND JUSTIFICATION

exist under consent decrees applicable to the site; and the purchase and sale agreement

with Lockheed. With upgrades complete, the site’s commercial potential for either

temporary or long term use commitments increases substantially.

by POS in 1999 from Lockheed Shipyards. Prior to the sale Lockheed demolished

shipyard facilities, performed soil clean up and constructed an asphalt cap to isolate

remaining upland contaminated soils. This work was required by the EPA as a final

remedy approved by a Record of Decision (ROD). They also removed nearly 3.4 acres

of overwater structures, dredged significant volumes of contaminated sediments in the

adjoining aquatic area and placed a clean sediment cap over the dredged area (designated

by the EPA as the Lockheed Sediment operable unit (LSSOU)).

Lockheed is responsible for long term groundwater monitoring and cap inspection. The

Port, under the purchase and sale agreement, is responsible for maintaining the upland

low points across the site forming large pools of standing water or sheet flows off the site

into the adjacent waterway. The site drainage problem must be resolved before the

terminal can be leased or used in any manner since source control at the site is critical to

protect the aquatic sediment cap and City of Seattle drainage requirements have been

triggered for the site. Installing treatment will also result in a reduction of pollution

loading to the West Water Way.

The drainage improvements and pavement overlay will allow use of T10 to support cargo

terminal operations, a use consistent with previously established uses and the IG/1 zoning

at the site. As a component of marine cargo activities at T10, the Port anticipates using

 This project includes 100% design and permitting for the drainage improvements and

a pavement overlay necessary to prepare the site for use as temporary drayage vehicle

storage for trucks directly related to movement of cargo to and from the Port

terminals and potentially for use of T10 as cargo support area, uses consistent with

previously established uses and the IG/1 zoning at the site.

 The design criteria and permits will meet state, local, and federal construction permit

requirements, construction requirements for a site adjacent to an active Superfund

listed site as well as environmental obligations under existing consent decrees and the

purchase and sale agreement.

issues have impacted the schedule and budget:

1. At the time, the plan was to either use in-house Engineering to complete the

design or use an Open-Order Service Agreement. In-house Engineering staff was

assigned T25, a higher priority project, and staff determined use of the existing

open-orders was not appropriate. A Category 3 selection process began in early

April 2008, and the Service agreement was executed on November 10, 2008.

2. The original design assumed use of an existing 8-inch outfall until a new 24-inch

outfall could be permitted. It was assumed that permitting review for the outfall

would negatively impact the schedule and a phased approach to permitting the

outfall later was chosen. However, when the 30% design plan was shared with

with the designer did not include engineering and permit support for the 24-inch

outfall and an amendment is proposed to increase the Service Agreement from

$412,413 to approximately $505,000.

 The original design and permitting budget was based on preliminary work completed

in 2007 and mistakenly did not include all the necessary Engineering and

Environmental support. The design estimate only included budget to complete the

design and permitting phase of the project using Port of Seattle Resources. The

existing Category 3 Service Agreement includes budget for design, permitting and

construction support.

 Project permits, construction documents and estimates are scheduled for completion

in November 2009.

 Estimated construction schedule NTP June 2010 and completion September 2010.

―Exhibit Environmental Stewardship through our Actions‖.

 Improves air quality and achieves greenhouse gas emission reductions in the

Duwamish Industrial area by potentially reducing idle time and vehicle miles traveled

in the Duwamish Industrial area, particularly the Georgetown community.

 Improve community relations by providing operators of drayage vehicle/equipment a

near terminal staging and use area, as an alternative to parking in right-of-way areas

throughout the Duwamish Industrial area and nearby neighborhoods.

 Fullfills Port and City stormwater water quality requirements for intended uses.

 Specifications will encourage recycling asphalt, concrete, creosote piling and timber

and metal debris removed from the project area as either construction material or as a

source of energy.

 Alternative 1 - No Action. This alternative curtails any and all interim and long term

Storm water Management Manual for Western Washington and/or City of Seattle

Stormwater Drainage Code, and provide necessary stormwater controls to protect the

offshore sediment cap as required by the EPA. Cost of development is estimated at

$5,150,000. This is the recommended alternative.

 On September 2, 2008, Commission was advised by staff that:

o Costs for 100% design and permitting may exceed the authorized amount of

$530,000 by up to several hundred thousand dollars.

o Staff will proceed only with 30% design to better quantify risks specifically

involving use of the site with only the existing asphalt cap and permitting a new

24 inch outfall.

o Staff will plan to return to Commission in public session to describe the findings

and request additional funding for design and permitting if necessary.