Template revised April 12, 2018.
COMMISSION
AGENDA MEMORANDUM
Item No.
6c
ACTION ITEM
Date of Meeting
July 10, 2018
DATE: June 28, 2018
TO: Stephen P. Metruck, Executive Director
FROM: Kathy Roeder, Director of Communications
SUBJECT: Contract to provide graphic design services to the Port of Seattle
Amount of this request:
$600,000
Total estimated project cost:
$600,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute up to three indefinite
delivery, indefinite quantity (IDIQ) contracts for graphic design services for a total maximum
value of $600,000 and a contract ordering period of three years. No funding is associated with
this authorization.
EXECUTIVE SUMMARY
Graphic design services underpin all communications needs across the Port, from marketing
Port facilities in brochures, reports and one-pagers to designing informative and appealing
construction barricades at the airport. While the Port completes most of its graphic design
work in-house, IDIQ contracts help maintain high quality deliverables during peak workload,
and expand our range of capabilities with specialized services.
This contract will be among one of the first pilots to go through procurement with our new
WMBE policies and will include a WMBE aspirational goal.
IDIQ contracts provide the Port with the flexibility to meet business requirements as they arise
by issuing individual Service Directives to accomplish tasks within the general, pre-defined
scope of work on an as-needed basis for a fixed period of time and a maximum contract
amount. The funding for these service directives will come separately from either annual
operating budgets or individual project authorizations.
JUSTIFICATION
The Port relies heavily on communications materials, particularly brochures, flyers, one pagers,
and installed materials like posters and barricades. New programs, expanded initiatives, and
increased construction drive increased demand.
COMMISSION AGENDA – Action Item No. ____ Page 2 of 4
Meeting Date: July 10, 2018
Template revised September 22, 2016; format updates October 19, 2016.
All Port departments access these services and either partner with Public Affairs on funding or
cover the cost of graphic design needs within their project budgets. The Port’s sole full-time,
Port-wide graphic design employee routinely partners with experts in Aviation Facilities and
with teams across the Port to ensure that providers deliver high-quality materials that meet our
brand guidelines.
Competitively bid IDIQ contracts are a widely used public sector contracting tool, consistent
with the Port’s General Delegation of Authority and governed by Central Procurement Office
(CPO)-1 policy.
Based on to-date expenditures, we anticipate the Port will only spend $470,000 of the $870,000
authorized in the 2015-2018 contracts. Our request of $600,000 tracks our proven spending
needs and allows for an increase in utilization, out of pocket, and labor costs.
DETAILS
This request is to execute up to three contracts: each up to $200,000 which will be awarded to
the highest ranked firms.
Graphic design services contracts are proven to provide opportunities for local small
businesses. Two of the three preferred respondents for our current IDIQ contracts were
certified small business contractors and suppliers.
Scope of Work
Firms will provide high-quality graphic concepts and design that inform the public, clearly
communicate the Port’s values, and improve the customer service experience. Projects include
various types of communications material for local, regional, national, and international
audiences in support of Port initiatives or programs. Firms will be expected to produce
marketing and communications materials by following a strategic and engaged process, which
will include attending planning meetings, developing creative briefs, and either working with
existing Port assets or starting from scratch based on the need.
Deliverables will include marketing materials for the airport, for cruise or marinas, advertising,
brochures, construction barricades, posters, informational handouts about the Port, exhibits,
promotional videos, one pagers, interactive maps and more.
Contract duration will be one year with options to extend for two additional years. No funding
is associated with this authorization.
Schedule
Upon Commission approval of this authorization, work can commence to issue an RFP. Firms
should be under contract by January 2019.
COMMISSION AGENDA – Action Item No. ____ Page 3 of 4
Meeting Date: July 10, 2018
Template revised September 22, 2016; format updates October 19, 2016.
ALTERNATIVES AND IMPLICATIONS CONSIDERED
The Port could hire additional staff to meet graphics design needs. While two full time
employees might be the same cost as hiring firms, we would not benefit from the full range of
services offered by a firm. Engaging firms also gives us greater flexibility versus locking in the
costs of new hires.
Alternative 1 – No graphics design contract.
Cost Implications:
Pros:
(1) No cost to Port
Cons:
(1) Would limit flexibility and breadth of services available to the Port by going through
specialty firms
(2) Would limit ability to respond to quick turn projects during peak workload
(3) Would reduce procurement opportunities for local small businesses
This is not the recommended alternative.
Alternative 2 – Reduce contract by half and hire a second graphic design FTE to boost in-house
capabilities.
Cost Implications: $600,000 for three years.
Pros:
(1) Further develops our in-house expertise
(2) Maintains a balance of internal and external resources
Cons:
(1) Leads to less spending on local businesses or fewer opportunities for businesses
(2) Commits Port to long-term spending on an additional FTE
(3) Might not be enough budget for firms to find Port businesses worth bidding on
(approximately $50,000/year if we offer contracts to three firms)
This is not the recommended alternative.
Alternative 3 – Offer three graphics contracts for up to $600,000 for three years.
Cost Implications: $600,000 for three years.
Pros:
(1) Continue to benefit from external expertise and flexibility of on-call agencies
(2) More realistic anticipated spending by the Port
Cons:
(1) Budget might run out before the three years concludes, if circumstances or demands
change significantly
COMMISSION AGENDA – Action Item No. ____ Page 4 of 4
Meeting Date: July 10, 2018
Template revised September 22, 2016; format updates October 19, 2016.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
There is no funding request directly associated with this authorization. No work is guaranteed
to the selected consultants and the Port is not obligated to pay a selected consultant until a
service directive is executed. The budget for work performed under each agreement will come
from individual service directives authorizing the consultant to perform specific work on the
contract against approved project authorizations and within the total contract amount.
Departments individually budget for many of their own marketing needs, such as the annual
cruise brochure.
ATTACHMENTS TO THIS REQUEST
(1) Presentation slides
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
September 8, 2015 – The Commission authorized $870,000 for the Port to execute three
IDIQ contracts for graphic design services.
