Digital recordings of the meeting proceedings and meeting materials are available online – www.portseattle.org.
APPROVED MINUTES
COMMISSION SPECIAL MEETING FEBRUARY 27, 2018
The Port of Seattle Commission met in a special meeting Tuesday, February 27, 2018, in
Commission Chambers at Port of Seattle offices, 2711 Alaskan Way, Seattle, Washington.
Commissioners Bowman, Calkins, Felleman, Gregoire, and Steinbrueck were present.
Commissioner Bowman was present until 3:36 p.m.
1. CALL TO ORDER
The meeting was called to order at 12:12 p.m. by Commission President Courtney Gregoire, who
led the flag salute.
2. EXECUTIVE SESSION pursuant to RCW 42.30.110 – None.
3. APPROVAL OF THE AGENDA
Without objection, the preliminary agenda was revised to remove agenda item 6c from the
Unanimous Consent Calendar for separate discussion and vote.
4. EXECUTIVE DIRECTOR’S REPORT
Executive Director Steve Metruck previewed items on the day’s agenda and made
announcements.
5. PUBLIC COMMENT
Public comment was received from the following individual(s):
Mike Sotelo, regarding airport concessions.
David Fukuhara, Concourse Concessions, regarding airport concessions.
Daniel Nguyen and Katherine Lam, CEO and President, Bambuza Hospitality Group,
regarding airport concessions.
Pat Murray, Executive Vice President Business Development, contract food services
provider SSP America, regarding airport concessions.
Nate Miles, contract food services providers Hyflyers and SSP America, regarding
airport concessions.
Sheila Brush, Founder, Quiet Skies Puget Sound, regarding airport communities.
Ms. Brush submitted written materials, which are included here as minutes Exhibit A.
Debi Wagner, Burien citizen, regarding airport communities.
Ralph Ibarra, President, Diverse America Network, regarding inclusion and diversity.
P.O. Box 1209
Seattle, Washington 98111
www.portseattle.org
206.787.3000
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Megan Oullette, Alaska Airlines, regarding the airline signatory lease and operating
agreement.
Rich Austin, President, International Longshore Workers Union Local 19, regarding
opportunities connected to the port’s cruise line of business.
Jerry Effenberger, citizen, Lake Forest Park, regarding liveaboards at Salmon Bay
Marina.
Susie Schulmeyer, Lake Union Liveaboard Association, Salmon Bay, regarding
liveaboards at Salmon Bay Marina.
Al Hughes, Seattle resident, regarding liveaboards at Salmon Bay Marina.
Kristen Sierra, Seattle resident, regarding liveaboards at Salmon Bay Marina.
6. UNANIMOUS CONSENT CALENDAR
[Clerk’s Note: Items on the Unanimous Consent Calendar are not individually discussed.
Commissioners may remove items for separate discussion and vote when approving the agenda.]
6a. Approval of the minutes of the regular meeting of October 10, 2017.
6b. Approval of the Claims and Obligations for the period January 1, 2018, through January
31, 2018, including accounts payable check nos. 921673-922215 in the amount of
$6,863,005.83; accounts payable ACH nos. 005119-005833 in the amount of
$54,295,371.62; accounts payable wire transfer nos. 014808-014831 in the amount of
$12,833,766.23, payroll check nos. 188585-188791 in the amount of $242,426.49; and
payroll ACH nos. 840383-844345 in the amount of $9,618,465.67 for a fund total of
$83,853,035.84.
Request document(s) included an agenda memorandum.
As noted above, agenda item 6c was temporarily postponed.
6d. Authorization for the Executive Director to execute: (1) up to four indefinite delivery,
indefinite quantity consulting agreements for services related to special testing,
inspection, and investigation, with a cumulative total amount not to exceed $2 million;
and (2) up to two indefinite delivery, indefinite quantity consulting agreements for
survey and mapping services with a cumulative total amount not to exceed $1 million,
in support of various Port projects. No funding is associated with this request.
Request document(s) included an agenda memorandum.
6e. Authorization for the Executive Director to increase the Alaskan Way Street
Improvement project funding by $375,000, for a total estimated project cost of
$1,657,000 (CIP #C800759).
Request document(s) included an abbreviated agenda memorandum.
6f. Authorization for the Executive Director to (1) prepare design and construction bid
documents for the replacement of the passenger loading bridge (PLB) at Seattle-
Tacoma International Airport Gates C11, C15, and S6 and the PLB and fixed walkway at
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Gates C9, C18, D11, and D4; (2) purchase seven new PLBs and four fixed walkways;
and (3) use Port crews and small works contracts. The amount of this request is
$7,700,000 for a total estimated project cost of $10,000,000 (CIP #C800793).
Request document(s) included an agenda memorandum.
6g. Authorization for the Executive Director to cancel the authorization for Single Food
Unit 1 and Small Food Package 7 as part of the Airport Dining and Retail Lease Group 3
and to amend the authorization to conduct competitive solicitations and execute lease
and concession agreements for the Airport Dining and Retail Lease Group 4 by adding
an RFP Food - 8 (F-8) and a CEP Food - 9 (F-9).
Request document(s) included an agenda memorandum, memorandum from CEO Ted Fick dated
November 11, 2015, and presentation slides.
6h. Adoption of Resolution No. 3745: A resolution of the Port Commission of the Port of
Seattle adopting the 2015 editions of the International Code Council, Building,
Mechanical, Fire Codes and Fuel Gas Code, the 2015 Edition of the Uniform Plumbing
Code, and 2015 Washington State Energy Code and the editorial changes made to the
State Building Code by the Washington State Legislature; repealing certain sections of
the Airport Building Code; adopting new sections of the Airport Building Code and
repealing Resolution 3527, as amended.
Request document(s) included an agenda memorandum, draft resolution, building permit fee
schedule, grading permit fee schedule, and presentation slides. Introduction of the resolution was
approved on February 13, 2018. A copy of the final, adopted version of Resolution No. 3745 is
attached for ease of reference.
The motion for approval of consent items 6a, 6b, 6d, 6e, 6f, 6g, and 6h carried by the
following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
7. SPECIAL ORDERS OF BUSINESS
7a. Authorization for the Managing Director, Aviation Division to (1) execute a 2018-2022
Signatory Lease and Operating Agreement between the Port and signatory airlines for
the use of facilities at the Airport and (2) to approve the memorandum of understanding
between the Port and airline(s) to work together to develop a strategic plan to reduce
carbon emissions and air pollutants, and the community and environmental impacts
from existing and forecasted aviation growth, at Seattle-Tacoma International Airport.
Request document(s) included an agenda memorandum and revised draft agreement.
Presenter(s): Lance Lyttle, Managing Director, Aviation Division, and Borgan Anderson, Director,
Aviation Finance and Budget.
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The key terms of the signatory lease and operating agreement were summarized and revisions to
the draft agreement made as recently as February 23 were noted. Commissioners commented on
the draft lease and asked for clarifications. The lease terms would apply retroactively to January 1,
2018, and would expire December 31, 2022.
The motion for approval of agenda item 7a carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
7b. Cruise Overview.
Presentation document(s) included an agenda memorandum and presentation slides. Video shown
during the presentation is available upon request.
Presenter(s): Stephanie Jones Stebbins, Managing Director Maritime Division; Michael
McLaughlin, Director Cruise Operations; and Tom Norwalk, President and CEO, Visit Seattle.
Commissioners received a presentation on the status of the cruise business generally and in
Seattle, which accommodated record numbers of passengers in 2017 while retaining emphasis on
community benefits and reduced environmental impacts. The port’s environmental strategy with the
cruise industry was summarized.
Commissioners asked about usage of the port’s baggage valet program for cruise passengers
returning to port. This program provides an opportunity for cruise visitors to explore Seattle or
nearby communities baggage-free at the end of a cruise and before flying out of the area through
Seattle-Tacoma International Airport.
The increasing size of cruise ships and numbers of associated crew and shore workers were
discussed. Commissioners asked about the unique role of the Alaska cruising experience as it
contributes to the local cruise industry and Seattle’s competitive advantage over the Port of
Vancouver, British Columbia. Commissioners asked about opportunities for off-season cruises.
Cruise passenger volumes through the airport were discussed, including implications for peak
volumes for ground transportation services.
Commissioners commented on better communicating the impacts of the cruise industry for local
businesses, environmental excellence in Seattle’s cruise business, and opportunities for expansion
into smaller exploration cruising and eco-tourism. Commissioners discussed the opportunity to
further develop Seattle’s cruise business as an integrated component of the local community. They
noted the need to balance demand with appropriate cruise tariffs and lease terms.
The Commission advanced to consideration of –
ITEMS REMOVED FROM CONSENT
6c. Approval of the Port’s 2018 local and regional government relations priorities and for
staff to engage with local and regional officials in support of these priorities.
Request document(s) included an agenda memorandum.
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Presenter(s): Pearse Edwards, Government Relations Director.
Previously, the commission received a presentation on this subject on February 13, 2018, under
agenda item 9a.
AMENDMENT
Commissioner Steinbrueck offered an amendment to the priority related to workforce development
and priority hire to emphasize intergovernmental collaboration.
The motion for approval of Amendment 1 carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
This government relations priority now reads as follows:
Workforce Development and Priority Hire: support proposals to enhance local and
regional investments in workforce development and career connected learning through
direct program coordination with other public agencies and school boards, while
collaborating with industry partners and private sector outreach. Work with other
jurisdictions to implement regional priority hire policies through a Memorandum of
Understanding between the Regional Public Owner participants and an Interlocal
Agreement between the Port, the City of Seattle and King County. As a public agency
that is focused on creating jobs by advancing trade and commerce, promoting
industrial growth, and stimulating economic development we are committed to working
with our partners on all levels of government in this shared priority.
AMENDMENT
Commissioner Steinbrueck offered an amendment to the priority related to climate, energy, and
sustainability to emphasize intergovernmental and citizen collaboration. Without objection, the
proposed addition was moved to the top of the text of the priority.
The motion for approval of Amendment 2, as amended, carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
This government relations priority now reads as follows:
Climate, Energy and Sustainability: As regional growth increases environmental
pressures we are committed to working with citizens, local governments and
organizations to minimize the environmental impacts associated with port operations.
Support proposals that reduce the Port’s carbon emissions and promote energy-
efficient operation of transportation infrastructure and policies that promote renewable
energy generation, and collaborate with other jurisdictions on climate resiliency,
including Seattle City Light, the King County Climate Change Collaboration (K4C) and
the Puget Sound Regional Council (PSRC).
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AMENDMENT
Commissioner Steinbrueck offered an amendment to create a new maritime/Seattle priority, which
would read as follows:
Cruise Industry: Support efforts that recognize the value the cruise industry brings to
our economy including how the industry promotes tourism, a diverse and skilled
workforce and how the industry continued to thrive during the recent economic
downturn.
The motion for approval of Amendment 3 carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
The question recurred on approval of the agenda item, as amended.
The motion for approval of agenda item 6c, as amended, carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
8. AUTHORIZATIONS AND FINAL ACTIONS
8a. Authorization for the Executive Director to execute an amendment to the existing
Sustainable Airport Master Plan (SAMP) service agreement with Leigh Fisher for an
increase of $800,000 for a new contract amount of $10,450,000 to finalize planning
documentation and provide planning support to environmental review of the SAMP
near-term projects.
Request document(s) included an agenda memorandum and presentation slides.
Presenter(s): Jeffrey Brown, Director of Aviation Facilities and Capital Programs; Arlyn Purcell,
Director, Aviation Environmental; Julie Collins, Director, Public Affairs; Traci Goodwin, Senior Port
Counsel; Lance Lyttle, Managing Director, Aviation Division; and Elizabeth Leavitt, Senior Director,
Environment and Sustainability Center of Expertise.
The service agreement amendment request was summarized. Commissioners commented on
various aspects of the request and the sustainable airport master planning (SAMP) process and
engaged with staff presenters on several factors relevant to the contract. Commissioners asked
about the demand model and stressed that pressure for airport growth was being driven by local
rather than hub demand. They commented on the possibility that forecasted demand might not be
able to be accommodated at the airport’s existing, constrained location.
Commissioners noted the absence of a ground run-up enclosure (GRE or “hush house”) on the list
of enabling projects through 2025 and commented on the difference between airline business
demand for such a facility versus the community’s demand for it. Environmental review was
discussed. Commissioners commented on accommodation of sustainable aviation fuels and the
need to plan for extended public comment on environmental review. They discussed the need for
further extensive community outreach and the need for clarity for the public about what aspect of
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the SAMP the outreach is for. Commissioners opined on the level of environmental review
appropriate to the magnitude of the planning effort.
Significant cost growth of the planning service agreement since 2013 was discussed.
The motion for approval of agenda item 8a carried by the following vote:
In favor: Bowman, Calkins, Felleman, Gregoire, Steinbrueck (5)
Commissioner Bowman was present until 3:36 p.m.
8b. Authorization for the Executive Director to: (1) execute an amendment to the lease with
PACCAR to remove land from their pad needed to meet Port Fire Department
requirements, and (2) authorize the design and construction of an interim fire station
next to the PACCAR hangar on the west side of Seattle-Tacoma International Airport.
The total estimated project cost is $5,500,000 (CIP #C800876).
Request document(s) included an agenda memorandum and presentation slides.
Presenter(s): Wayne Grotheer, Director, Aviation Project Management Group; Randy Krause, Fire
Department Chief; David Jewett, Fire Battalion Chief; and Lance Lyttle, Managing Director,
Aviation Division.
Staff described the need for the lease amendment and for an interim facility. Commissioners
opined on the high cost of the project based on square footage.
The motion for approval of agenda item 8b carried by the following vote:
In favor: Calkins, Felleman, Gregoire, Steinbrueck (4)
Absent for the vote: Bowman
8c. Authorization for the Executive Director to execute a maintenance contract for elevator
and escalator services at Seattle-Tacoma International Airport and Maritime locations
for up to five years with a competitively bid Port contract. The total cost for five years
is estimated to be $23 million.
Request document(s) included an agenda memorandum.
Presenter(s): Stuart Mathews, Director, Aviation Maintenance; Skip Himes, Director, Maritime
Maintenance; and Rob Lane, Manager, Aviation Maintenance Logistics.
Commissioners asked about considerations for priority hiring for this contract. They asked about
out-of-service times for elevators and escalators and the inspection process, particularly the supply
of Labor and Industries inspectors. Commissioners asked whether the airport could request
inspection jurisdiction such as other municipalities enjoy, like the City of Seattle.
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The motion for approval of agenda item 8c carried by the following vote:
In favor: Calkins, Felleman, Gregoire, Steinbrueck (4)
Absent for the vote: Bowman
9. PRESENTATIONS, REPORTS, and STAFF BRIEFINGS – None.
10. QUESTIONS on REFERRAL to COMMITTEE – None.
11. ADJOURNMENT
There was no further business, and the meeting adjourned at 4:08 p.m.
Prepared: Attest:
Paul J. White, Commission Clerk Ryan Calkins, Commission Secretary
Minutes approved: July 10, 2018.
