Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
8h
ACTION ITEM
Date of Meeting
July 23, 2024
DATE : July 15, 2024
TO: Stephen P. Metruck, Executive Director
FROM: Laurel Dunphy, Director, Airport Operations
Eileen Francisco, Director, Aviation Project Management Group
SUBJECT: 3
rd
Floor Ground Transportation Booth Enhancements (CIP #C801128)
Amount of this request:
$619,000
Total estimated project cost:
$3,800,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to take all steps necessary to
complete the 3
rd
Floor Ground Transportation Booth Enhancements project at Seattle-Tacoma
International Airport (SEA). This request is in the amount of $619,000 for a total authorization
amount of $3,800,000.
EXECUTIVE SUMMARY
This project will renovate and expand the existing ground transportation booth (the GT booth)
located on the 3
rd
Floor of the Main Garage at SEA. The GT booth functions as an administrative
center for the orderly permitting and control of all commercial ground transportation activity at
SEA. The existing facility was constructed over twenty years ago when SEA activity levels were
much lower and is now a confined and inefficient space. The cost increase is due to greater
than anticipated design costs. Measures were taken during the design phase to reduce costs,
however, additional authorization is required to complete the project.
JUSTIFICATION
This project reinvests in facilities essential to ground transportation operations at SEA
supporting the Century Agenda Goal to advance this region as a leading tourism destination
and business gateway by meeting the region’s air transportation needs by delivering vital
facilities and infrastructure in a sustainable and cost-effective manner.
Diversity in Contracting
The design of this project utilized an existing indefinite delivery indefinite quantity (IDIQ)
contract that has a Women and Minority-Owned Business Enterprise (WMBE) commitment of
COMMISSION AGENDA – Action Item No. 8h Page 2 of 5
Meeting Date: July 23, 2024
Template revised June 27, 2019 (Diversity in Contracting).
fifteen percent. The project team in coordination with the Diversity in Contracting department
established an additional WMBE aspirational goal of 14 percent for the construction phase of
this effort.
DETAILS
The project costs have increased since the project was originally authorized. The cost increases
are associated with greater than anticipated design costs. Historically, for projects in the $2M
to $4M range, Aviation Division project design costs are 12%-18% of construction costs.
Recognizing that while this is a relatively small project, it has a wide range of design disciplines
needed, the Project Management team estimated the design costs at 45% of construction
costs. However, due to the complexity of phasing required to keep the facility operating while
the new facility was built, the design fee proved to be beyond the estimate. The design fee was
determined to be fair and reasonable and based upon the work performed it is in-line with
other design costs. For this type of project design costs typically range from $15,000 to $20,000
per plan sheet. For this project the design costs are estimated at $15,395 per plan sheet.
Several measures were taken during design to reduce overall project costs, including the
elimination of a design milestone, and with the HVAC system and exterior finish selections.
Ultimately the effort could not offset the increases and additional authorization is still required
to complete the project.
Scope of Work
The scope of this project includes:
(1) Expansion of administration space to support up to eight staff per shift.
(2) Addition of a staff breakroom and restroom.
(3) Upgrade of customer restroom facilities meeting accessibility requirements.
(4) Upgrade and expansion of existing infrastructure systems, including HVAC, to support
functions.
(5) Technology enhancements include improved cell phone coverage and Wi-Fi.
Schedule
Activity
Construction start
2024 Quarter 3
In-use date
2025 Quarter 3
Cost Breakdown
This Request
Total Project
Design
$619,000
$1,663,000
Construction
$0
$2,137,000
Total
$619,000
$3,800,000
COMMISSION AGENDA – Action Item No. 8h Page 3 of 5
Meeting Date: July 23, 2024
Template revised June 27, 2019 (Diversity in Contracting).
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Do not proceed with the improvements.
Cost Implications: $920,000 (current cost of design that would be expensed if the project does
not proceed.)
Pros:
(1) No further investment required by the Port.
Cons:
(1) Staff support space would remain confined and inefficient.
(2) Does not provide technology enhancements.
(3) Does not upgrade customer restrooms to meet accessibility requirements.
(4) Poor HVAC performance continues to negatively affect workplace conditions.
(5) The project costs to date would need to be expensed.
This is not the recommended alternative.
Alternative 2 – Minor remodel of existing facility (no expansion), relocate some administration
functions.
Cost Implications: $1,500,000
Pros:
(1) Reduced investment by the Port.
Cons:
(1) Administration functions would not be co-located with operational functions.
(2) Remaining support space would remain inefficient.
(3) Does not provide equitable facilities for staff.
(4) Does not provide technology enhancements.
(5) Does not upgrade customer restrooms to meet accessibility requirements.
This is not the recommended alternative.
Alternative 3 – Expand existing facility.
Cost Implications: $3,800,000
Pros:
(1) Administration space is expanded, and equitable facilities provided for staff.
(2) Administration functions remain co-located with operational functions.
(3) Provides technology enhancements.
(4) Upgrades customer restrooms to meet accessibility requirements.
Cons:
(1) Requires greater investment by the Port.
This is the recommended alternative.
COMMISSION AGENDA – Action Item No. 8h Page 4 of 5
Meeting Date: July 23, 2024
Template revised June 27, 2019 (Diversity in Contracting).
FINANCIAL IMPLICATIONS
Cost Estimate/Authorization Summary
Capital
Expense
Total
COST ESTIMATE
Original estimate
$2,800,000
$0
$2,800,000
Previous changes
$231,000
$150,000
$381,000
Current change
$619,000
$0
$619,000
Revised estimate
$3,650,000
$150,000
$3,800,000
AUTHORIZATION
Previous authorizations
$3,031,000
$150,000
$3,181,000
Current request for authorization
$619,000
$0
$619,000
Total authorizations, including this request
$3,650,000
$150,000
$3,800,000
Remaining amount to be authorized
$0
$0
$0
Annual Budget Status and Source of Funds
This project (CIP #C801128) was included in the 2024-2028 capital budget and plan of finance
with a budget of $3,031,000. A budget increase of $619,000 was transferred from the Non-
Aeronautical Allowance (CIP #C800754) for a total revised capital budget of $3,650,000
resulting in a zero net change to the Aviation capital budget. The funding sources will be the
Airport Development Fund (ADF) and revenue bonds.
Financial Analysis and Summary
Project cost for analysis
$3,650,000
Business Unit (BU)
Ground Transportation
Effect on business performance
(NOI after depreciation)
NOI after depreciation will decrease.
IRR/NPV (if relevant)
Costs would be recovered through the Ground
Transportation trip fees. Incremental $0.04 per trip fee.
CPE Impact
N/A
Future Revenues and Expenses (Total cost of ownership)
As a result of this project, Aviation Maintenance anticipates moderate impacts resulting in
increased annual operating and maintenance costs for mechanical systems, custodial services,
and electronic systems.
ADDITIONAL BACKGROUND
The existing GT booth was constructed in 2001 and is located on the 3
rd
Floor of the Main
Garage as part of the Ground Transportation Center servicing courtesy vehicles, taxis, pre-
arranged limos and transportation network companies like Uber and Lyft. Port staff (GT
COMMISSION AGENDA – Action Item No. 8h Page 5 of 5
Meeting Date: July 23, 2024
Template revised June 27, 2019 (Diversity in Contracting).
controllers) currently work within this facility supporting the administration and management
of ground transportation permits and providing customer service to SEA passengers. The initial
construction did not include a few basic amenities for staff (e.g., break area, lockers), and with
the growth in SEA activity the facility is now very confined and has an inefficient layout for
current operational needs. The existing HVAC system is inefficient, impacting workspace
conditions and needs to be upgraded. The existing facility is approximately 1,000 square feet in
size, and the new expanded facility will be approximately 1,800 square feet. Once completed
the new facility will maximize staff productivity and provide a high level of service to SEA
passengers and ground transportation providers.
The project will be phased during construction to maintain SEA operations. A portion of the
facility will be constructed first, then Port staff will be relocated into the new facility, prior to
the demolition of the existing facility. The two existing customer restrooms will also be
maintained until the new restrooms are completed.
ATTACHMENTS TO THIS REQUEST
(1) Presentation
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
May 23, 2023 – The Commission authorized design and construction of the project.
