Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
6f
ACTION ITEM
Date of Meeting
October 13, 2020
DATE: September 30, 2020
TO: Stephen P. Metruck, Executive Director
FROM: Kenneth Lyles, Director, Maritime Operations and Security
Jo Woods, Sr. Manager, Recreational Boating
Tin Nguyen, Sr. Manager, Marine Maintenance
Robert Hoyman, Project Manager III Marine Maintenance
SUBJECT: Harbor Island Marina (HIM) Dock-E Power Improvements (CIP# C801200)
Amount of this request:
$165,000
Total estimated project cost:
$450,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to (1) proceed with construction of
the power improvements for Dock-E at Harbor Island Marina (HIM) and (2) use Port crews to
construct the project. The amount of this request is $165,000 for a total estimated project cost
of $450,000.
EXECUTIVE SUMMARY
This project provides replacement of an existing transformer located on Dock-E providing 120V
power to six locations where power pedestals are currently located. The electrical service
upgrades will include a new substation to be located landside and six new power pedestals to be
located at existing locations. The new service will deliver 3-Phase 480V power to industrial and
commercial use vessels.
JUSTIFICATION
“Harbor Island Commercial Dock East Side” was constructed in 1998. There are currently two
long-term tenants using Dock E including; Western Towboat Company since 2008 and Global
Diving and Salvage, Inc. since 1999. Both these tenants are committed to future long-term
moorage commitment and are vital to the maritime industries in the Puget Sound region and
beyond.
The existing 200A Electrical Service and 30A power pedestals dockside are in poor and
deteriorating condition. They no longer meet the necessary power requirements for the
commercial and industrial vessels they serve. The existing transformer supplying power to the
pedestals on Dock-E poses a safety concern, as it is causing the dock to list and shows signs of
COMMISSION AGENDA – Action Item No. _6f_ Page 2 of 6
Meeting Date: October 13, 2020
Template revised June 27, 2019 (Diversity in Contracting).
significant corrosion. The existing power pedestals do not meet current code requirements of
having ground fault protection and only deliver 120V power, which does not meet the power
requirements of larger vessels. In its current condition, the electrical service is a safety concern
and the recommendation of Marine Maintenance is that the service be upgraded to current code
requirements and service capacity for the needs of the Port’s tenants. Future HIM Dock-E Float
& North Pier Improvements needs are factored into the design capacity for expansion and
adaptability within the Electrical Service Upgrades portion of this work.
This work will be performed by Port crews within Marine Maintenance and benefit from
maintenance crafts’ familiarity with current electrical systems and established tenant
relationships. The schedule will be adaptable to Port’s tenant needs and our maintenance staff
have institutional knowledge to work around existing operations.
DETAILS
HIM Dock-E Power Improvements was originally proposed in our 2019 Maritime Division Small
Capital Program (CIP# 801003), as a result of safety concerns caused by the transformer’s
deteriorating condition and its location dockside creating a listing effect on Dock-E. The small
capital program is intended for projects below $300,000 and this project was authorized within
the EX-2 Delegation of Authority for a total project cost of $285,000.
The original scope of this small capital project was to upgrade the electrical service to Dock-E to
3-Phase 480V power, remove the existing transformer from Dock-E, and relocate new electrical
service equipment landside. Design development led to changes in scope requiring that all (6)
power pedestals providing shore power on Dock-E be replaced in conjunction with the electrical
service upgrade. The existing power pedestals are in poor condition and do not provide ground
fault protection to users.
This additional scope to replace all (6) power pedestals on Dock-E was budgeted as a separate
small capital project in our 2020 Maritime Division Small Capital Program (CIP# C801088). This
project was recognized as having separate asset features with significantly different lifespans
than the electrical service upgrade proposed in the HIM Dock-E Power Improvement project
above. However, with proximity of the two small projects along with related interdependencies
on their scope of work, they are to be combined as a single investment with a total project cost
of $450,000. Commission approval is sought for this single, larger project.
The combined project will bring the industrial use of Dock-E up to current design standards, meet
current code requirements, and provided required safety features to our users.
Scope of Work
SCOPE OF WORK and SCHEDULE:
• Design is complete.
• Permitting is complete.
COMMISSION AGENDA – Action Item No. _6f_ Page 3 of 6
Meeting Date: October 13, 2020
Template revised June 27, 2019 (Diversity in Contracting).
• Install new below ground raceways from the main distribution to the new substation
location and from the new substation location to Dock-E for new power distribution.
• Install a new fenced substation pad for safety and protection of equipment.
• Replace existing single phase 300A 120V shore power system with a new landside
substation providing 600A availability, 3-phase 480V power to new power pedestals to be
installed on Dock-E.
• Install new combination 3-phase 480V power/single phase 120V power pedestals on
Dock-E.
• Complete project December 2020.
Schedule
Design Completion – July 2020
Equipment Procurement – August 2020
Construction – October 2020
Construction duration is estimated at sixty working days and is expected to commence in October
2020. The site will be ready for full intended use immediately after construction is complete,
December 2020.
Relationship to Other Project Work at HIM
This is one of three projects at Harbor Island Marina in various development stages directed
toward replacement or repair of assets, which are beyond their useful service life or in a
deteriorating condition. All three projects are seeking Commission action before year end and
due to their condensed timing, are noted below for clarity:
• HIM Dock-E Power Improvements: Current authorization request. Construction planned
for in Q4 2020.
• HIM Restroom Replacement: Seeking Commission authorization for construction in
November 2020. Construction anticipated for in Q1 2021.
• HIM Dock-E Float & North Pier Improvements: Seeking Commission authorization for
design in November 2020. Construction anticipated for in 2022-2023.
Both the HIM Dock-E Power Improvements and the HIM Restroom Replacement Projects have
been planned for construction in advance of the HIM Dock-E Float & North Pier Improvements,
which requires a more complex design and longer duration for permitting. These two smaller
projects have been accelerated in the Maritime Capital Plan due to concerns with safety and the
Port’s ability to provide required amenities to Marina users. Consideration has been given to the
relationships of these three projects and it has been determined that execution of both the HIM
Dock-E Power Improvements and HIM Restroom Replacement in advance will best serve marina
users and complement the work to be performed under the proposed 2022-2023 HIM Dock-E
Float & North Pier Improvements.
COMMISSION AGENDA – Action Item No. _6f_ Page 4 of 6
Meeting Date: October 13, 2020
Template revised June 27, 2019 (Diversity in Contracting).
Activity
EX-2 Small Project Start-up Authorization
2019 Quarter 4
Design start
2019 Quarter 4
Commission construction authorization
2020 Quarter 4
Construction start
2020 Quarter 4
In-use date
2020 Quarter 4
Cost Breakdown
This Request
Total Project
Design
$0
$35,000
Construction
$165,000
$415,000
Total
$165,000
$450,000
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Complete HIM Dock-E Power Improvements in 2020 and defer the power
pedestal replacement until 2022-2023 when the HIM Dock-E Float & North Pier Improvements is
executed. This is not a recommended alternative.
Pros:
1. Reduced risk of damage to new pedestals during construction.
Cons:
1. Delay in correction of safety concerns.
2. Impact to Port tenants in need of 3-phase 480V power for existing vessels.
3. Additional cost to purchase temporary breakers and power feeds to provide for existing
power supply.
4. Ramifications of unavoided diesel and carbon emissions caused by use of onboard diesel
generators while moored.
5. Additional complexities applied to HIM Dock-E Float & North Pier Improvements Project
due to added scope.
Alternative 2 – Defer all work and combine work with HIM Dock-E Float & North Pier
Improvements. This is not a recommended alternative.
Pros:
1. Combined capital work with potential cost savings.
Cons:
1. Deferral of safety corrections
2. Impact to Port tenants on Dock-E in need of 3-phase 480V power.
3. Potential lay-off of Port crafts during COVID-19 slowdown.
4. Two years of cost escalations = additional 6-8% of labor costs.
5. Storage of purchased equipment; potential damage to purchased equipment.
COMMISSION AGENDA – Action Item No. _6f_ Page 5 of 6
Meeting Date: October 13, 2020
Template revised June 27, 2019 (Diversity in Contracting).
6. Ramifications of unavoided carbon emissions caused by use of onboard diesel generators
while moored.
7. Additional complexities applied to HIM Dock-E Float & North Pier Improvements due to
added scope.
8. Potential added impact to neighboring business and Port tenants caused by excavation in
parking lot areas.
Alternative 3 - Execute HIM Dock-E Power Improvements as a single project for completion in
2020. This is the recommended alternative.
Pros:
1. Benefit to existing tenants providing adequate shore power needs.
2. Correct safety concerns in a timely manner.
3. Reduced impact to tenants and neighboring business by performing work during a time
when office attendance is low.
4. Reduced usage of onboard diesel generators resulting in reduced diesel and carbon
emissions.
Cons:
1. Increase to capital plan during a time of budgetary constraints.
FINANCIAL IMPLICATIONS
Cost Estimate/Authorization Summary
Capital
Expense
Total
COST ESTIMATE
Original estimate
$285,000
$0
$285,000
Previous changes – net
$0
$0
$0
Current change
$165,000
$0
$165,000
Revised estimate
$450,000
$0
$450,000
AUTHORIZATION
Previous authorizations
$285,000
$0
$285,000
Current request for authorization
$165,000
$0
$165,000
Total authorizations, including this request
$450,000
$0
$450,000
Remaining amount to be authorized
$0
$0
$0
COMMISSION AGENDA – Action Item No. _6f_ Page 6 of 6
Meeting Date: October 13, 2020
Template revised June 27, 2019 (Diversity in Contracting).
Annual Budget Status and Source of Funds
Funding for this project was included in the approved 2020 Capital Plan under C801003 (2019
MD Small Capital Program) and C801088 (2020 MD Small Capital Program) as described above.
This project will be funded by the General Fund.
Financial Analysis and Summary
Project cost for analysis
$450,000
Business Unit (BU)
Recreational Marinas & Commercial Operations
Effect on business performance
(NOI after depreciation)
This project will increase annual depreciation expense by
approximately $37,500.
IRR/NPV (if relevant)
N/A
CPE Impact
N/A
ATTACHMENTS TO THIS REQUEST
(1) Presentation slides
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
No previous authorizations by Commission.
