Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
8d
ACTION ITEM
Date of Meeting
January 24, 2023
DATE: January 06, 2023
TO: Stephen P. Metruck, Executive Director
FROM: Dan Berry, AV Facilities and Infrastructure Engineer
Keri Stephens, Director Aviation Facilities and Capital Programs
SUBJECT: Legacy Baggage System Upper-Level Control Upgrade C801351
Amount of this request:
$1,139,360.00
Total estimated project cost:
$1,139,360.00
ACTION REQUESTED
Request Commission authorization for the Executive Director to proceed with the purchase and
installation of software and hardware upgrades for A Concourse, D Concourse, and North
Satellite Legacy Baggage System (C60 and C88) upper-level controls at Seattle-Tacoma
International Airport. This single authorization is for $1,139,360.00.
EXECUTIVE SUMMARY
The upper-level controls for the C60 and C88 Baggage Handling System (BHS) were installed
with several projects beginning with the South Terminal Expansion Project in 2001 and have
been upgraded through the years, most recently in 2014. The control system is used to manage
and direct the distribution of passenger baggage through the airport, as well as generate
reports, alarms, and interface with airlines and Transportation Security Administration (TSA)
screening systems. Recent failures have caused extended loss of baggage sortation, leading to
significant impacts to the operations of the Port of Seattle, our airline partners, and the
passengers. The failures have resulted in BHS delays, delayed flights, lost baggage, and strained
resources for the Port and airlines. The reliability of the systems has been impacted by
necessary changes to support capital projects in construction. The existing upper-level control
system software possesses components that are no longer supported and present a significant
risk of failure, and security vulnerabilities in software that interacts with TSA Screening systems.
Port staff recommends procuring and installing the upper-level controls system with a resilient
software and hardware upgrade to mitigate security risk and controls failures. The delivery of
this request will improve stability, security, and extend the useful life of the upper-level
controls of C60 and C88 baggage systems.
COMMISSION AGENDA – Action Item No. 8d Page 2 of 6
Meeting Date: January 24, 2023
Template revised June 27, 2019 (Diversity in Contracting).
This upgrade will support the Century Agenda Goals to position the Puget Sound region as a
premier international logistics hub and advance this region as a leading tourism destination and
business gateway. Unfortunately, the severity of the issues being faced were not identified in
time for the 2023 budget approvals and funding was not requested. Due to the high risk of
probability and severity of impact to operations and security, performing the upgrades now will
ensure the Port of Seattle’s BHS resilience and the ability to operate these systems effectively
and securely.
JUSTIFICATION
The upgrade provides a timely response to existing baggage security concerns, ensures the
needed resilience for airport baggage operations, and extends the useful life of the upper-level
baggage control system.
The C60 and C88 BHS upper-level upgrade will significantly improve the reliability of the system,
resulting in a more robust infrastructure that airlines can rely on and decrease operational
impacts. It also creates a more secure operating environment, reducing existing vulnerabilities
using modern and supported software in a system that is robust to keep the airport operating
securely and efficiently. The upgrade extends the useful life of the C60 and C88 BHS upper-
level control system and allows the Port of Seattle the time to appropriately plan for the future
of the BHS control systems without the pressure of imminent failure.
Brock Solutions has a current Sole Source agreement in place to allow them to move forward
quickly on the necessary work.
This project will help support the following Century Agenda Goals:
(1) Position the Puget Sound region as a premier international logistics hub.
(2) Advance this region as a leading tourism destination and business gateway.
Diversity in Contracting
This upgrade is required to be completed by our vendor, Brock Solutions, through their existing
sole source agreement.
DETAILS
The upper-level controls for the C60 and C88 BHS is used to manage and control the
distribution of baggage for airline partners through the facility, as well as generate reports,
alarms, and interface with airline and TSA screening systems. Recent failures in these systems
have led to the loss of sortation capabilities for several hours at a time. This causes significant
impacts to the operations of the Port of Seattle and our airline partners, ultimately resulting in
missed baggage, delayed flights, and strained resources. The failures have occurred more
frequently as time goes on.
COMMISSION AGENDA – Action Item No. 8d Page 3 of 6
Meeting Date: January 24, 2023
Template revised June 27, 2019 (Diversity in Contracting).
Through investigation and analysis, the causes of BHS failures stem from multiple sources. The
stability of the systems has been impacted by necessary changes to support capital projects in
construction. The system is reliant on several pieces of software that are no longer actively
supported by their vendors and now present a significant risk of failure, as well as security
concerns of potential exploitable vulnerabilities in software that interacts with TSA Screening
systems. Current Information and Communication Technology (ICT) guidance strongly advises
against using unsupported software, and the critical nature of these systems is a risk multiplier.
Due to the future actions of ongoing capital projects, the substantial majority of the controls
systems impacted in this upgrade will be replaced within the next three years. Upon completion
of the ongoing capital projects there will still be critical components of the targeted upper-level
control infrastructure in place and the existing risks remain if upgrades are not completed. The
proposed upgrade is required to alleviate the dependency on unsupported software, to
improve stability and security of the upper-level controls, and to extend the useful life for the
current system as well as the portion that will remain beyond completion of the capital
projects. It is not believed that the system in its current state can survive through the
remainder of the capital projects without producing significant harmful failures and operational
complications.
This project involves upgrading multiple Brock Solutions upper-level control systems in the BHS
including Sort Allocation Controllers (SAC), Data Historian Server (DHS), Manual Encode Console
(MEC), the SmartSuite Web Client (MIS), and Programmable Logic Controllers (PLCs) that
communicate to within the overall BHS network. Total project costs are estimated to be
$1,139,360.00. All recuring hardware and software license and maintenance costs will be
budgeted within the Aviation Maintenance department’s operating budget.
Scope of Work
The Scope of work per system is as follows:
(1) Documentation - Functional Specification and Manual Updates or replacements as
required.
(2) Refresh of existing Manual Encode Console (MEC) software - Utilizes existing
equipment.
(3) Refresh of existing Baggage Status Displays (BSD) software - New Contecs Provided.
(4) PLC Programming - Added Communications to Brock Upper-Level Controls System to
match latest standard SmartSort messaging format.
(5) Integration of Flight Information Departure System (FIDS) to the SmartSort system -
Connection to the existing FIDS feed.
(6) Development, testing and Implementation of Upgraded Upper-Level Controls System.
(7) Factory Acceptance Test (remote FAT w/ attendance by Port Staff).
(8) Commissioning.
(9) Training - 40 Hours for span of project.
(10) On Site Standby (post go-live support) - 10 Days per SmartSort system.
COMMISSION AGENDA – Action Item No. 8d Page 4 of 6
Meeting Date: January 24, 2023
Template revised June 27, 2019 (Diversity in Contracting).
Schedule
Activity
Commission authorization
Procurement complete
Implementation start
In-use date
Cost Breakdown
This Request
Total Project
Engineering
$782,520
FIDS integration
$21,600
Hardware and Software
$100,000
Travel and Expenses
$85,240
Contingency
$150,000
Total
$1,139,360
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Three alternatives are considered in detail below summarizing the key cost implications and
potential advantages and disadvantages of each. Option 3 maintains integrity and resilience for
the BHS controls while integrating into a larger airport-wide BHS control strategy and
infrastructure vision plan.
Alternative 1 – Airport-wide replacement of the entire control system with a vendor selected
through the competitive procurement process.
Cost Implications: Projections more than $20M have been discussed with the Project
Management Team
Pros:
(1) Airport-wide replacement would replace the entire controls asset for the BHS.
(2) Standardizes the multiple existing upper and lower-level controls into a single controls
system.
(3) Risk of massive failure of BHS controls minimized.
(4) Security risks are mitigated.
Cons:
(1) Airport-wide replacement costs are high.
(2) Schedule of implementation is significantly longer resulting in additional time risk of
reliance upon the existing compromised system.
(3) Replacement would interfere and replace work being completed by other ongoing
capital projects.
(4) Option does not fit into BHS vision plan.
This is not the recommended alternative.
COMMISSION AGENDA – Action Item No. 8d Page 5 of 6
Meeting Date: January 24, 2023
Template revised June 27, 2019 (Diversity in Contracting).
Alternative 2 – Full recontrol of C60 and C88 control system with a vendor selected through the
competitive procurement process.
Cost Implications: Projections more than $10M have been discussed with the Project
Management Team
Pros:
(1) Replacement would replace the entire controls asset for the C60 and C88 BHS.
(2) Risk of massive failure of BHS controls minimized.
(3) Security risks are mitigated.
Cons:
(1) Schedule of implementation is significantly longer resulting in additional time risk of
reliance upon the existing compromised system.
(2) Replacement would interfere and replace work being completed by other ongoing
capital projects.
(3) Option does not fit into BHS vision plan.
This is not the recommended alternative.
Alternative 3 – Use the existing vendor Brock Solutions to upgrade the system.
Cost Implications: $1,139,360.00
Pros:
(1) Provides a timely response to existing security concerns.
(2) Ensures the needed resilience for airport baggage operations.
(3) Extends the useful life of the system.
Cons:
(1) Solution is not airport-wide and long term.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
Cost Estimate/Authorization Summary
Capital
Expense
Total
COST ESTIMATE
Original estimate
$1,139,360
0
$1,139,360
AUTHORIZATION
Previous authorizations
0
0
0
Current request for authorization
$1,139,360
0
$1,139,360
Total authorizations, including this request
$1,139,360
0
$1,139,360
Remaining amount to be authorized
$0
$0
$0
COMMISSION AGENDA – Action Item No. 8d Page 6 of 6
Meeting Date: January 24, 2023
Template revised June 27, 2019 (Diversity in Contracting).
Annual Budget Status and Source of Funds
This project C801351 was not included in the 2023-2027 capital budget and plan of finance. The
capital budget was transferred from the Aeronautical Allowance CIP C800753 resulting in the
no net change to the Airport capital budget. The funding source would be the airport
development fund.
Financial Analysis and Summary
Project cost for analysis
$1,139,360
Business Unit (BU)
Baggage
Effect on business performance
(NOI after depreciation)
NOI after depreciation will increase due to inclusion of
capital (and operating) costs in airline rate base.
IRR/NPV (if relevant)
N/A
CPE Impact
$0.05 in 2023
Future Revenues and Expenses (Total cost of ownership)
There will be no changes to annual maintenance costs resulting from this upgrade. All
maintenance will be covered by the existing maintenance agreement with Brock Solutions.
ATTACHMENTS TO THIS REQUEST
(1) Presentation slides
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
None.