Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
8d
ACTION ITEM
Date of Meeting
May 28, 2019
DATE: May 20, 2019
TO: Stephen P. Metruck, Executive Director
FROM: Wendy Reiter, Director, Aviation Security
Wayne Grotheer, Director, Aviation Project Management
SUBJECT: Interim Westside Fire Station – Alternative Contracting (CIP #800876)
Amount of this request:
$0
Total estimated project cost:
$5,500,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to advertise and execute a design-
build contract to construct an interim Westside fire station at Seattle-Tacoma International
Airport. No additional funding is required.
EXECUTIVE SUMMARY
This project would establish a stand-alone, fully functional fire station next to the PACCAR
hangar, which would provide adequate accommodations for Fire Department staff and
equipment enabling the Fire Department to meet the Federal Aviation Administration's
mandated airfield response time.
Port staff recommend procuring a design-build contract to complete an interim Westside fire
station. This would provide greater innovation and flexibility in designing and constructing the
facility by leveraging the design-builder’s industry expertise. By utilizing a design-build contract
the awarded design-builder can determine the most efficient building type minimizing risk,
schedule and cost. The estimated project completion is now Q4 2020.
On February 27, 2018 Commission authorized the design and construction of an interim fire
station next to the PACCAR hangar on the west side of the Airport. The total estimated project
cost was $5,500,000. The design of this fire station developed into two distinct adjacent
elements: a pre-engineered fire truck shelter that could be quickly constructed, and a modular
crew quarters building that could be built elsewhere and transported to the site to facilitate its
future re-use.
As the project team completed design, it became apparent that the risks involved with using a
modular type building were greater than first thought. Manufacturing lead times were longer
COMMISSION AGENDA – Action Item No. __8d__ Page 2 of 6
Meeting Date: May 28, 2019
Template revised September 22, 2016; format updates October 19, 2016.
than anticipated. The best way to place the modular components on the site meant that the
truck shelter could not be constructed first, which, when combined with the lead times would
lengthen the completion of the project. Further, due to shipping height and length restrictions,
the sole available haul route to deliver the modular units to the site would likely entail
transiting the airfield, requiring taxiway and runway closures and a much more extensive
planning and coordination effort. Managing these risks with the original construction and
contracting method further exacerbated a tight project budget. A series of contractor
informational sessions generated valuable feedback regarding these project risks and assisted
Port staff to arrive at this request.
The project team is documenting lessons learned to avoid repeating the mistakes made for this
project. This includes balancing the sense of urgency with careful planning, avoiding rushing to
solutions before fully understanding the situation, and broadening project partners to develop
a full understanding of project site constraints early.
JUSTIFICATION
As stated in the previous request, the current temporary housing at the PACCAR hangar is
extremely small and does not meet the Fire Department's personnel accommodation
standards. In this small space, the Fire Department can only operate a skeleton crew of two (2)
fire fighters. To properly staff the station, the Fire Department requires a total of five (5) fire
fighters and two (2) Aircraft Rescue Fire Fighting (ARFF) trucks at the location.
DETAILS
Scope of Work
This project designs and constructs a building to accommodate the necessary living quarters for
five (5) firefighters and truck bays for the storage of two (2) Aircraft Rescue Fire Fighting (ARFF)
trucks. The building will be located directly east of the PACCAR hangar within their current lease
boundary. Additional asphalt placement, security fence relocation and utility work are required
to facilitate placement of the new building and may be completed as enabling work prior to the
design-build contract.
The living quarters will consist of five (5) bunkrooms, a day room, kitchen, restrooms with
showers, laundry facilities and an exercise room. Secured entry doors, video conferencing
equipment and an emergency response alerting system will be installed, budget dependent.
The ARFF truck bays will include features currently used at the existing fire station such as
vehicle exhaust extraction. The project requirements (musts) will be evaluated along with
project desirables (wants) so that the project scope can be refined to the project budget.
The project team, which includes representatives of the Fire Fighter end users, is preparing the
necessary documents to undertake the procurement process. This competitive procurement
process will result in a firm fixed-price design-build contract against a defined scope.
COMMISSION AGENDA – Action Item No. __8d__ Page 3 of 6
Meeting Date: May 28, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Project staff is working with the Economic Development Division – Diversity in Contracting
Department to help identify and promote opportunities and set WMBE aspirational goals in the
design build contact.
Schedule
Due to the difficulties encountered in the previous design effort highlighted above, and the
change to design-build alternative contracting, this project will now take an additional year to
complete.
Activity
Design start (design-build contract executed)
Construction start
In-use date
Cost Breakdown
This Request
Total Project
Design
$0
$980,000
Construction
$0
$4,520,000
Total
$0
$5,500,000
ALTERNATIVES AND IMPLICATIONS CONSIDERED
All alternatives contemplate the construction of a permanent fire station on the west side of
the Airport, at the site of the PACCAR Hangar. This project, in the $35 to $45 million range,
would start construction after completion of the environmental review for the Sustainable
Airport Master Plan Near Term Projects and the expiration of the hangar lease and would be
completed in approximately late 2023.
Alternative 1 – Stop and cancel the project. Fire Fighters would continue to be housed in space
within the PACCAR hangar.
Cost Implications: Capital cost: $0
Pros:
(1) Lowest capital cost.
Cons:
(1) The Fire Department would continue to use inadequate facilities on the west side.
(2) The current agreement can be terminated by PACCAR on very short-term notice.
(3) PACCAR has requested that the Port's use of its space be separated and segregated
from its operations.
This is not the recommended alternative.
COMMISSION AGENDA – Action Item No. __8d__ Page 4 of 6
Meeting Date: May 28, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Alternative 2 – Continue with the original plan: bid one project for a modular crew quarters and
pre-engineered metal building truck shelter. Deliver modular buildings over airfield runways.
Cost Implications: $5,500,000 or higher
Pros:
(1) Design is virtually complete.
(2) Once complete, the Fire Department would have adequate facilities on the west side.
Cons:
(1) Project would be complete in Q2 2020, a 6-month delay.
(2) Scope would need to be reduced to pay for additional review required to transit
runways to deliver the modular building elements or budget would need to be
increased.
(3) Planning and approvals for transiting the runways would add time, cost and
complexity to the project.
(4) By code, the design as prepared requires the buildings to be separated, making
transiting between the two buildings more difficult.
This is not the recommended alternative.
Alternative 3 – Complete the interim fire station using the design-build alternative contracting
method.
Cost Implications: $5,500,000
Pros:
(1) Flexibility in design and construction would allow for budget efficiency.
(2) Ability to refine scope to budget.
(3) Fire Fighters integrated in development of requirements and proposer evaluations.
(4) Combined single structure improves efficiency and use of space.
(5) Can provide an early understanding of the marketplace.
Cons:
(1) A longer schedule: project would be complete Q4 2020.
(2) Ability to change design later in the project would be costly.
(3) No plan for future re-usability.
(4) Marketplace may reveal a need to adjust the project scope or budget.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
The result of the design-build procurement will be a firm fixed-price contract against a specific
scope. During procurement the project team will be evaluating proposers’ responses to the
proposed scope to verify the project requirements fit within the project budget. In the chance
that the requirements would not be able to be met within the current budget, staff may return
to the Commission to request additional funding.
COMMISSION AGENDA – Action Item No. __8d__ Page 5 of 6
Meeting Date: May 28, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Cost Estimate/Authorization Summary
Capital
Expense
Total
COST ESTIMATE
Original estimate
$2,400,000
$0
$2,400,000
Previous changes – net
$3,100,000
$0
$3,100,000
Current change
$0
$0
$0
Revised estimate
$5,500,000
$0
$5,500,000
AUTHORIZATION
Previous authorizations
$5,500,000
$0
$5,500,000
Current request for authorization
$0
$0
$0
Total authorizations, including this request
$5,500,000
$0
$5,500,000
Remaining amount to be authorized
$0
$0
$0
Annual Budget Status and Source of Funds
This project was included in the 2018 - 2022 capital budget and plan of finance with a budget of
$2,400,000 million. The cost increase was due to building a separate building providing
firefighters an improved living space and a shelter for two {2) ARFF vehicles. The budget
increase has been transferred from the Aeronautical Allowance CIP (C800753) resulting in no
net change to the Aviation capital budget. The funding source will be the Airport Development
Fund.
Financial Analysis and Summary
Project cost for analysis
$5,500,000
Business Unit (BU)
Airfield Movement
Effect on business performance
(NOI after depreciation)
NOI after depreciation will increase
IRR/NPV (if relevant)
N/A
CPE Impact
$0.06 in 2020
Future Revenues and Expenses (Total cost of ownership)
Maintenance, utilities and janitorial costs will be incurred, but this amount is not established at
this time.
ADDITIONAL BACKGROUND
The Port is planning the future construction of a permanent fire station on the west side of the
Airport. The site of this project has been accounted for in the planning efforts to ensure that it
will not be impacted by future construction.
ATTACHMENTS TO THIS REQUEST
(1) Presentation slides
COMMISSION AGENDA – Action Item No. __8d__ Page 6 of 6
Meeting Date: May 28, 2019
Template revised September 22, 2016; format updates October 19, 2016.
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
February 27, 2018 – The Commission authorized design and construction of this project.