PORT OF SEATTLE
MEMORANDUM
COMMISSION AGENDA
Item No.
6b
Date of Meeting
October 6, 2009
DATE: September 1, 2009
TO: Tay Yoshitani, Chief Executive Officer
FROM: James R. Schone, Director, Aviation Business Development
Jude P. Barrett, Manager, Acquisitions and Relocation
SUBJECT: Authorization for acquisition by condemnation of the Richard Williams property.
(Resolution No, 3630, First Reading)
ACTION REQUESTED
Resolution No. 3630, First Reading, providing acquisition by purchase and/or condemnation of
certain real property located at 14431 Des Moines Memorial Drive South, (King County Tax ID
Number 202304-9177), in the City of Burien, Washington.
BACKGROUND/SYNOPSIS
The Environmental Impact Statement (EIS) for the Sea-Tac Airport Master Plan Update and the
latest Sea-Tac Federal Aviation Regulation (FAR) Part 150 Noise and Land Use Compatibility
Study called for residential acquisition in Burien’s Northeast Redevelopment Area (NERA) due
to airport noise and operational impacts associated with the Third Runway (see Exhibit A). Port
staff, in cooperation with Burien planning staff and the Federal Aviation Administration (FAA),
developed an acquisition boundary for the North Burien Approach Transition Zone (ATZ) buy-
out area based on the following criteria:
• Residential parcels within the 65 decibel Day Night Limit noise contour.
• Residential parcels within the North ATZ.
• Residential parcels within natural boundaries that preserve and support neighborhood
integrity, including streets and physical boundaries, were also taken into consideration.
72 residential parcels (Parcels) met the acquisition/relocation criteria and were identified as
eligible for federal funds. The residential property that is the subject of this memo is included
within the boundary of the Parcels. The Port and the owner have not been able to reach
agreement on the Fair Market Value for the property. On June 24, 2008, the property owner
filed a complaint for inverse condemnation with the Superior Court of the State of Washington
for King County. The property consists of an approximately 66,000 square foot parcel with an
unoccupied house that has sustained water damage.
COMMISSION AGENDA
Tay Yoshitani, Chief Executive Officer
September 1, 2009
Page 2
FINANCIAL IMPLICATIONS/SOURCE OF FUNDS
Acquisition of the property is included in the 2006-2010 Capital Budget and Plan of Finance
under Capital Improvement Project (CIP) number C200015. This project is included in the Third
Runway budget. This project is eligible for federal funding by Airport Improvement Program
(AIP) grants that provide reimbursement of 80% of the eligible costs (acquisition, relocation and
demolition). The funding plan for this project includes a combination of federal grants,
passenger facility charges and revenue bonds.
PROJECT COST BREAKDOWN
Fair Market Value
$465,000
Estimated Tenant Relocation Cost
N/A
Administrative/Overhead/Legal Costs
$310,000
Total
$775,000*
* Previously budgeted and authorized under this capital project.
KEY DATES:
September 27, 2005
Initial property acquisition notice
June 5, 2007
First appraisal inspection
June 25, 2007
Offer presented for $450,000
December 12, 2007
Owner contests value and provides his own appraisal
for $1,170,000
February 5, 2008
Owner’s appraisal rejected by Port’s review appraiser
February 14, 2008
Port updates its appraisal for time and market
conditions
February 21, 2008
Revised offer presented for $465,000
March 11, 2008
Property owner retains legal counsel
April 21, 2008
File forwarded to Port legal and outside legal counsel
for further handling
June 24, 2008
Property owner’s attorney files Complaint for Inverse
Condemnation
STRATEGIES AND OBJECTIVES
This project supports the Port’s strategy to “Ensure Airport and Seaport Vitality”.
ALTERNATIVES CONSIDERED/RECOMMENDED ACTION
Do not acquire. Existing residential property and its occupants would continue to be exposed to
COMMISSION AGENDA
Tay Yoshitani, Chief Executive Officer
September 1, 2009
Page 3
aircraft noise and effects of the third runway. This is contrary to the runway Master Plan Update
and recommendations of the EIS. This is not the recommended alternative.
Acquire via condemnation. This would be in compliance with FAA Record of Decision for the
Airport Master Plan and with the Commission and FAA approved Part 150 recommendations.
This is the recommended alternative.
