Template revised September 22, 2016.
COMMISSION
AGENDA MEMORANDUM
Item No.
7a
BRIEFING ITEM
Date of Meeting
January 24, 2017
DATE: January 6, 2017
TO: Ted Fick, Chief Executive Officer
FROM: George England, Program Leader, Aviation Project Management Group
Michael Ehl, Director, Aviation Operations
Jeffrey Brown, Director, Aviation Facilities and Capital Programs
SUBJECT: 2016 Q4 NorthSTAR Program and North Satellite Project Briefing
EXECUTIVE SUMMARY
The North Sea-Tac Airport Renovation (NorthSTAR) Program is a collaborative effort of the Port
and Alaska Airlines (AS) to improve traveler experience and customer service. The North
Satellite (NSAT) Renovation and Expansion project is the largest segment of the NorthSTAR
Program. This component project addresses the expansion of the North Satellite from 12 to 20
contact gates, modernization of the existing North Satellite facility including North Satellite and
Concourse C Satellite Transit Stations, and expansion of the baggage system to accommodate
the satellite expansion.
This presentation details the progress made over the past quarter on these projects.
1. CIP C800544 NorthSTAR Program Management & Controls
This umbrella project is comprised of cost estimating, cost controls, scheduling and overall
management support for the four capital renovation projects within the NorthSTAR program.
Accomplishments
• Decision made to transfer Main Terminal Improvements (MTI) project from the
NorthSTAR program to Planning
Progress
• Updated overall program master schedule to remove MTI & update NSAT project
schedule in design/construction
Issues
• Maintaining project scope and budget as directed by Commission on Sept 14
th
, 2016
Risks
• Communication and coordination between multiple teams, stakeholders and people
COMMISSION AGENDA – Briefing Item No. __7a__ Page 2 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
• Maintain baseline scope and schedule as agreed to by all stakeholders
• Future design change requests could have budget and schedule implication
• AS may delay concurrence or Port/AS may choose to proceed without concurrence
Metrics
Actual
Budget
/Planned
Cumulative Spent Against Budget
$4.1 M
$19.5 M
Overall Schedule Progress
51%
51%
Cashflow for Reporting Period (Q3 2016)
$150 k
$160 k
Contingency Remaining
(inclusive of Management Reserve)
$9.4 M
$0.94 M
Small Contractor Supplier (SCS)
26.8%
27.0%
M = million; k = thousand
2. CIP C800556 NorthSTAR NSAT Renovation & North Satellite Transit System Lobbies
This project includes the modernization of NSAT and the satellite transit system (STS) lobbies at
Concourse C and North Satellite including infrastructure and seismic reinforcement, the
expansion of the NSAT to 20 contact gates and expansion of the baggage handling system to
improve customer service, provide a balance of holdrooms, concessions and circulation space
to meet the overall program vision.
Accomplishments
Preliminary Work
• Installed time-elapsed cameras to record NSAT construction
• Successfully completed all preliminary work gate relocations, including N12 ground
board gates
• Temporary wall construction, graphics & project monitors installed
• Emergency generator cabinet relocated
• Successfully completed 100 shut downs to date
Base Building
• Received 90% Base Building Design Documents
• Finalized schedule of major activities to complete & authorize final MACC (Maximum
Allowable Construction Cost)
• Completed reviews of emergency generator and baggage expansions in preparation for
90% design
• Three FAA Construction Authorization Airspace applications submitted for review:
1) revised base building, 2) drill rig & crane, and 3) jet bridge relocations
• NEPA updated to include Taxiway A/B/L/Q scope
COMMISSION AGENDA – Briefing Item No. __7a__ Page 3 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
• Decision to transfer NSAT Taxiway A scope, authorization and budget to 2018 Airfield
Taxiway A/B/L/Q project
• Held second regular dispute resolution board meeting and agreed to standard operating
procedures
Progress
Preliminary Work
• Delayed PWP #2 bid opening for Vertical Circulation package due to the limited response
from interested bidders
• Conducting lessons learned on gate activations to apply during Phase I construction
Base Building
• Continuing refining of and monitoring progress on critical path schedule to complete and
authorize final MACC
• Reviewing base building 90% design submittal and 30+ draft bid packages
• Refining construction schedule, bid package scope of work, final cost and Engineers
estimates, and construction phasing in finalizing the MACC
• Final Contract MACC amendment language being drafted
• Met with procurement team on Procurement Excellence implications to project
• Begin transfer of Taxiway A Improvements scope to Airfield team
Metrics
Actual
Budget
/Planned
Cumulative Spent Against Budget
$45.4 M
$538.1 M*
Overall Schedule Progress
8%
10%
Cashflow for Reporting Period (Q4 2016)
$11.9 M
$11.5 M
Contingency Remaining
$28.5 M
$38.5 M
Small Contractor Supplier (SCS) Design
2.3%
3.3%
SBE Participation (Construction)
26.4%
1
16.0%
SCS Participation (Construction)
4.6%
1
5.5%
WMBE Participation (Construction)
4.1%
1
3.6%
Apprenticeship Utilization
17.5%
1
15.0%
Minority Utilization (% of apprenticeship)
38.73%
1
15.0%
Women Utilization (% of apprenticeship)
19.0%
1
10.0%
Preferred Entry Apprentices
No Data
2
1 in 5
1
Represents participation for PWP #1 effort only
2
No Information available yet – Too early to report
* Does not reflect pending scope/budget transfers
M = million
COMMISSION AGENDA – Briefing Item No. __7a__ Page 4 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
Issues
Preliminary Work
• Signage updates and holdroom gate counter overhead task lighting replacement delayed
by abatement work scope (PWP #1)
• Revising constructed ground board walkway to provide improved passenger experience,
customer service, wayfinding and weather protection
Base Building
• Continue discussing with AS a letter revising final concurrence points for base building
from original Letter of Understanding
• Continuing alternatives investigation on Phase II ground board operations to eliminate
potential need for a temporary ramp level holdroom facility
• Continue interior project phasing transition investigations to ensure balanced gate
capacity with reasonable customer level of service during construction
• Coordinating NSAT gate activation requirements with additional Taxiway A/B/L/Q
improvements to mitigate FAA runway incursion concerns
• Final definition and agreement continues for AS cost sharing items
• Working with GCCM on schedule improvements to maintain agreed upon project
substantial completion date (currently April 2021)
Risks
Preliminary Work
• Weatherproofing improvements to ground board walkway may require temporary
closures
• Potential cost increases on remaining PWP #2 bid items (vertical conveyance) due to
strong local construction market conditions
Base Building
• Budget growth due to bid results during the strong local construction market, limited
resource availability and lack of interest
• Cost and schedule impacts of needed terminal/airside modifications to transition from
Phase I to Phase II construction to minimize impacts to level of service and operations
• Accommodating further Port/AS scope changes or detailed analysis that potentially
impacts design and construction schedule
• Impacts accommodating the number of operating gates (12 vs 14) in Phase II
• Resolution of open issues that impact final design and construction
• Complying with FAA Passenger Facility Charges submission requirements
• Schedule impacts due to delayed bidding, final MACC negotiations & Commission
approval
COMMISSION AGENDA – Briefing Item No. __7a__ Page 5 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
• FAA approvals for two NSAT Construction Authorization applications and taxilane
intersection realignment that mitigates potential runway incursions and meets Aircraft
Movement Area (AMA) wingtip separation requirements
• AS concurrence and continued collaboration with tenant
3. CIP 800547 NorthSTAR Concourse C Vertical Circulation – Complete
4. CIP C800555 NorthSTAR Refurbish Baggage System – Complete
5. CIP C800545 NorthSTAR Main Terminal Improvement – Removed
6. CIP C800554 NorthSTAR Concourse C&D Exterior Stairs - Deleted
ATTACHMENTS TO THIS BRIEFING
(1) Attachment A: Quarterly Commission Update PowerPoint
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
North Sea-Tac Airport Renovations (NorthSTAR) (CIP #C800544)
September 13, 2016 – Request Commission authorization for the Chief Executive Officer to
(1) increase the North Satellite Renovation & North Satellite Transit Station Lobbies (NSAT)
project scope and budget; (2) increase authorization for project design; (3) amend design
service agreement with URS that exceeds 50% of the value of the original contract; and (4)
increase authorization for Preliminary Work Package #2 (PWP #2) construction.
August 9, 2016 – NorthSTAR Program Status Update
May 24, 2016 – Commission authorized Chief Executive Officer to 1) increase the North
Satellite project scope and budget; 2) increase authorization for NSAT design and overall
project support; 3) amend service agreements with Jacobs Project Management Company
and AECOM; and 4) authorize the use of port crews and small works contactors to perform
work for the project.
February 23, 2016 – NorthSTAR Program status update
November 24, 2015 – NorthSTAR Program status update
July 14, 2015 – NorthSTAR Program status update
April 28, 2015 – NorthSTAR Program status update
January 27, 2015 – NorthSTAR Program status update
October 28, 2014 - NorthSTAR Program status update.
August 19, 2014 - NorthSTAR Program status update.
May 27, 2014 – NorthSTAR Program status update.
January 14, 2014 – NorthSTAR Program status update.
September 24, 2013 – NorthSTAR Program status update.
June 25, 2013 –NorthSTAR Program status update.
April 9, 2013 – The Commission authorized the Chief Executive Officer to enter into a
project labor agreement covering the NorthSTAR program’s five major construction
projects.
COMMISSION AGENDA – Briefing Item No. __7a__ Page 6 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
March 26, 2013 –NorthSTAR Program status update.
June 26, 2012 – The Commission received a briefing on the status of the Airline
Realignment Program and budget restructuring in association with the NorthSTAR
Program.
April 10 2012 – Authorizations for the North Sea-Tac Airport Renovations program for: 1)
preliminary project funding; 2) execution of consulting contracts for design/construction
support services and project management services; and 3) use of Port crews and
consultants to conduct regulated materials management surveys and field support services
for preliminary project planning tasks.
North Satellite Renovation & North Satellite Transit Station Lobbies (CIP #C800556)
September 13, 2016 – The Commission authorized four NSAT related items:
the increase of project scope and budget (capital) by $7,000,000 for the revised third
floor layout to better accommodate the signature restaurant, provide 3,000 additional
square feet of future airport related leasable space, and increase AS premium traveler
lounge as requested by 4,850 square feet
Increase authorization by $1,000,000 for project design.
Amend design service agreements with AECOM that exceed 50% value of the original
contract.
Increase authorization by $30,000,000 to accommodate Preliminary Work Package #2
construction.
May 24, 2016 - The Commission authorized four NSAT related items:
Increase of project scope and budget (capital and expense) by $121,219,098 for 30% &
60% design scope additions and risk contingencies
Increased authorization of $11,000,000 for continued NorthSTAR Program/Project
Management services and NSAT design and overall project support.
Amend service agreements with Jacobs Project Management Co. and AECOM.
Authorize the use of port crews and small works contractors.
December 8, 2015 – The Commission authorized $98,100,000 for the following:
Additional Pre-Construction services ($1,200,000)
Construction auditing services
Preliminary Construction work
March 24, 2015 – The Commission authorized three NSAT related items:
Expand the baggage handling system increasing the project scope for $14,400,000 and
$1,954,000 to complete the design.
Entering into a developer agreement with Puget Sound Energy and $200,000 in
reimbursement for the design and construction of underground gas infrastructure.
$5,300,000 to Prepare four locations to accommodate temporary passenger loading
bridges, to construct temporary construction offices; To complete construction of a
Satellite Transit System (STS) North loop Dynamic Display system; $600,000 in expense
funds for regulated materials management for AS’s tenant improvement project; and
Approval to use Port crew labor and small works contractors to complete early project
work.
COMMISSION AGENDA – Briefing Item No. __7a__ Page 7 of 7
Meeting Date: January 24, 2017
Template revised September 22, 2016.
August 5, 2014 – The Commission authorized expansion of the NSAT, $191,323,143 budget
increase, $15,717,800 to complete the design, execute amendments to existing consulting
contracts; execute future consulting contracts and use of and to advertise for General
Contractor/Construction Manager (GC/CM) alternative public works contractor.
July 22, 2014 - NSAT Expansion Briefing
April 22, 2014 – Seattle-Tacoma International Airport Capital Program - Briefing
January 14, 2014 –NSAT expansion briefing.
May 28, 2013, Commission authorized the execution of separate service agreements for
Construction Management Services and Commissioning Services, of approximate values of
$10 million and $1.5 million.
December 11, 2012 – The Commission was briefed on the Vertical Conveyance
Modernization Project Aero Phases 1 and 2 and the possibility of adding the specified
elevators and escalators to the NorthSTAR program.
July 24, 2012 - Commission authorized $32,000,000 for the design of the NorthSTAR NSAT
Renovation and NSTS Lobbies project.
April 10, 2012 - The Commission authorized the execution of consultant contracts for
design and construction support services; program management services; and the
completion of site surveys for regulated materials management, for $1,200,000.
NorthSTAR Concourse C Vertical Circulation Project (CIP #C800547)
October 22, 2013 – Commission authorized $16,145,000 for advertising for bids, executing
a major construction contract, executing a tenant reimbursement agreement with AS,
using Port crews to provide construction services for the Concourse C Vertical Circulation.
November 6, 2012 – Commission authorized the design for the 1:20 sloped walkways and
elevator(s) at Gates C2, C10-12, and C14 on Concourse C.
NorthSTAR North Main Terminal Improvements Project (CIP #C800545)
December 3, 2013 – Commission authorized $1,500,000 for preliminary engineering up to
30% design.
North Satellite Refurbish Baggage System Project (CIP#C800555)
September 24, 2013 – The Commission authorized staff to: (1) advertise, award, and
execute a major public works contract for the construction of the North Satellite Refurbish
Baggage System Project; and (2) authorize the use of Port crews.
July 12, 2013 – The Commission was notified of 1 added scope item and 2 scope items
moved into the scope previously identified as suggested scope.
November 6, 2012 – The Commission authorized staff to prepare design documents and
use Port crews to support site investigation needed to develop the contract documents, for
$3,760,000.
