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APPROVED MINUTES

COMMISSION REGULAR MEETING JANUARY 4, 2011

The Port of Seattle Commission met in a special meeting at 1:00 p.m., Tuesday, January 4, 2011

at Port of Seattle Headquarters, Commission Chambers, 2711 Alaskan Way, Seattle, Washington.

Commissioners Albro, Bryant, Creighton and Tarleton were present. Commissioner Holland

participated by telephone.

1. CALL TO ORDER

approximately thirty minutes and reconvened to open public session.

PLEDGE OF ALLEGIANCE

3. APPROVAL OF MINUTES

(00:01:18) Minutes for the regular meetings of October 26 and November 2, 2010, and the

special meeting of November 9, 2010. The minutes for the special meeting of June 17-18,

2010, were withdrawn.

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Motion carried by the following vote:

In Favor: Albro, Bryant, Creighton, Holland, Tarleton (5).

Motion for approval of Minutes for November 9 – Albro

Commissioner Creighton was absent for the November 9 meeting and abstained from the vote.

4. (00:03:13) SPECIAL ORDER OF BUSINESS

a. (00:03:26) Election of Officers for 2011

Commissioner Holland moved the following slate of officers for 2011:

Chair and President – Bill Bryant

Commissioner Creighton commented that this was a great slate of officers. Commissioner

Tarleton thanked Commissioner Bryant for being willing to stand for a third term of office. She

commented that the Port was in great shape to move forward and play a role as a regional leader.

She thanked Commissioner Holland for being willing to step forward as Vice President and said

she supported this slate of officers.

Motion carried by the following vote:

In Favor: Albro, Bryant, Creighton, Holland, Tarleton (5)

governance through the Audit Committee and Resolution No. 3605 and by reorganizing

departments, reviewing programs, removing the Seaport from the reliance of the property

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tax levy, cutting the budget by more than 10 percent and payroll by 6 percent, lowering the

tax levy and holding it flat, and implementing zero-based budgeting. The Seaport has set

an all-time record of cargo volume, the Airport is performing extremely well, the grain

terminal is operating well above projections and the cruise terminal set an all-time record.

Commissioner Bryant expressed said this is an excellent and enviable position to be in to

build upon the previous 36 months of reforms, particularly in three areas: a focus internally

on cost, productivity and optimal use of the tax levy; a focus on the environmental

challenges, some of which are unfunded mandates, and continue to exert leadership on

the cleanup of the Duwamish and Puget Sound that makes scientific, and not just political,

sense; and a focus on our transportation infrastructure. The widening of the Panama

Canal in 2014 will increase competition not only from ports in British Columbia, but also

b. (00:12:00) The Port’s Centennial – 1911 – 2011

Presentation documents: Commission agenda memorandum dated December 22, 2010, and

computer slide presentation from Jane Kilburn, Director of Public Affairs.

Commissioner Bryant asked Commissioner Tarleton to introduce the Centennial.

Commissioner Tarleton expressed appreciation for all the commissioners, executives and leaders

who have served before. The Port is indebted to a broad community of supporters and was led by

a Centennial Committee. Commissioner Tarleton thanked the Centennial Committee that was led

Commissioner Tarleton introduced Jane Kilburn, who has led the internal team planning for the

Centennial, and Nancy Blanton, Manager of Corporate Communications.

events that are planned.

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Ms. Blanton demonstrated the interactive timeline which is on the Port’s external webpage and

which opened in 1914 to the beginning of the Depression.

(CSMP), CIP #102030. No new funding is requested.

Request document: Commission agenda memorandum dated December 10, 2010, from George

England, Program Leader, Aviation Project Management Group, and Elizabeth Leavitt, Director,

Aviation Planning and Environmental Services.

Motion for approval of Consent Item Item 5a –- Tarleton

Second – Albro

a. (00:38:26) Motion to form a temporary Century Agenda Committee to further the work

of the Century Agenda.

Request documents: Commission agenda memorandum dated December 21, 2010, from Tom

Barnard, Commission Research and Policy Analyst, and Geri Poor, Regional Transportation

Manager; a Seattle Port Commission motion to create a temporary Century Agenda Committee

dated January 4, 2011; and the Century Agenda: Expert Panels’ Recommended Guiding

Principles, as amended by the Port of Seattle Commission, dated August 4, 2009.

Commissioner Albro introduced Tom Barnard, Commission Research and Policy Analyst, who

continued since then, and this motion establishes a temporary Century Agenda Committee to set

long-range strategic goals over the next 25 years and actionable goals over the next five years.

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Motion for approval of Item 6a – Albro

Second – Creighton

Commissioner Creighton said this is a good structure to move the Century Agenda forward with

affect the strategy over the next 25 years with targets in the next five years. The Century Agenda

should lead us into uncharted territory in a successful way and focus on transportation, the

environment, competitiveness and more opportunities from Port facilities.

Commissioner Tarleton said she was happy to see this motion and recalled that over 50 volunteers

had helped with the Expert Panels. Strategic thinking or envisioning needs many perspectives.

The Century Agenda is one way the Commission can show what we do and why the Commission

is here to lead the Port.

Motion carried by the following vote:

Commissioner Bryant appointed Commissioner Albro to chair the Audit Committee and asked for

7. STAFF BRIEFING

a. (00:48:39) Federal and State Government Relations Briefing for 2011.

Request documents: Commission agenda memorandum dated December 28, 2010, from Patricia

Akiyama, Director of External Affairs; Clare Gallagher, State Government Relations Manager; and

Ryan McFarland, Policy Analyst and External Affairs.

State Government Relations Manager.

Ms. Gallagher discussed the state budget picture and the $4.6 billion budget gap, Governor

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Commissioner Creighton inquired about the proposal to consolidate the Freight Mobility Strategic

Investment Board (FMSIB) and the impact of the budget cuts on the Department of Ecology on

Port projects. Ms. Gallagher noted that Commissioner Creighton was appointed by the Governor

safeguard it. Commissioner Creighton said FMSIB has provided value by bringing in the private

Ms. Gallagher explained that we are working with other ports and interest groups to make the

job creation mission.

Ms. Gallagher thanked the Commissioners for their outreach over the past year and said she would

continue to call on Commissioners and the Chief Executive Officer to make calls in Olympia.

Patricia Akiyama reviewed the major federal issues of interest to the Port, including

reauthorizations of the Safe, Accountable, Flexible and Efficient Transportation Act: A Legacy for

Users (SAFETEA-LU), the Federal Aviation Administration Act and the Water Resources

House Transportation Committee, Ms. Akiyama said he wants to move SAFETERA-LU forward but

within existing funds. Commissioner Creighton said he supports a user fee, like a container box

tax, at the national level, but at the state level, a box tax is counter-productive. He asked whether

the Commission should take a leadership role in advocating for national user fees. Ms. Akiyama

replied that the U.S. West Coast Collaboration is in agreement on SAFETEA-LU and making

strategic investments in freight. Commissioner Tarleton said the ports need to be more forceful in

comprehensive review of which security measures are more effective. Mark Reis, Managing

Director, Aviation Division, responded that TSA is doing such a review now and has identified

some procedures that can be rolled back, which are primarily invisible to the public but will make it

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Commissioner Tarleton commented that on the need to keep up the pressure for getting matching

federal funding for Superfund mandates.

Commissioner Tarleton introduced a revised motion based on the motion introduced by

Commissioner Holland and discussed at the December 7, 2010, meeting to integrate ideas on the

core approach to accelerate the Clean Air Strategy. Since the first phase of the Clean Air Strategy

and needs to acknowledge its success to date. Commissioner Tarleton said it is also time to set

the next big goal. She developed a draft motion growing out of a meeting that she and

Commissioner Holland had with Chief Executive Officer Yoshitani in December 2010 to discuss the

supported the motion.

Commissioner Bryant thanked Commissioners Tarleton and Holland for their additional work on the

motion which was tabled at the December meeting. He had two minor concerns. By moving the

goal posts up from 2017 to 2015, we are adding uncertainty through government regulation which

is one of the worst things that businessmen have to deal with. He also did not want to get ahead of

the motion slightly to make it aspirational would ease his concerns. He offered the following

friendly amendment to the first paragraph of the motion adding the words “aimed at achieving,”

Therefore, the Commission adopts a modification to the Northwest Ports Clean Air

Strategy and stipulates that we aspire to achieve our clean air goals by 2015. The Port

Commission directs the Chief Executive Officer (“CEO”) to present several options for

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inventory. While applauding the challenge, the Clean Air program should work with our overall

strategies. He said he would support the motion.

Commissioner Creighton agreed that it was a good point to make the motion aspirational. He

are taking on. It is not too big a stretch to see if we can have both clean air and jobs. She

be possible to reach the Clean Air goals in 2015.

Commissioner Holland said it is important to stretch ourselves in a community that stresses

environmental protection.

Motion, as amended, carried by the following vote:

In Favor: Albro, Bryant, Creighton, Holland, Tarleton (5)

the implementation of the Drayage Truck Registry program.

Public Comment regarding Item 8a was received from the following individual:

Commissioners and the Chief Executive Officer. A copy of the document is, by reference,

made part of these minutes, is marked “Exhibit A” and is on file in Port offices.

Certified Forensic Accountant. She is Senior Vice President and Chief Accounting and

Administrative Officer of the Federal Home Loan Bank of Seattle. Commissioner Albro also

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announced that the first meeting of the Audit Committee, which normally meets on the first

Tuesday of the month at 9 a.m., will meet on January 11, 2011, at 9 a.m. at P-69.

9. POLICY ROUNDTABLE

(A digital recording of the meeting is available on the Port’s website)

John Creighton

Secretary