Template revised April 12, 2018.
COMMISSION
AGENDA MEMORANDUM
Item No.
10b
ACTION ITEM
Date of Meeting
November 19, 2024
DATE: November 1, 2024
TO: Stephen P. Metruck, Executive Director
FROM: Kyra Lise, Interim Managing Director, Economic Development Division
Annie Tran, Program Manager, Economic Development Division
Matt Szymanowicz, Senior Environmental Management Specialist, Maritime
Environment and Sustainability
SUBJECT: Maritime Blue ContractCommission Exemption
Amount of this request:
$360,000
Total estimated project cost:
$360,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute a partnership
agreement with Maritime Blue, a non-profit agency, to advance economic efforts by contracting
for the continuation of a Maritime Blue Ventures program, including an accelerator and incubator
program at Fishermen’s Terminal and facilitating the Blue Wind Collaborative to activate the
region’s developing Floating Offshore Wind (OSW) supply chain.
The contract would be for two years at the rate of $180,000 annually, totaling a budget request
of $360,000. Staff is also requesting the commission determine a competitive process is not
appropriate or cost effective and exempt this contract from a competitive process consistent
with RCW 53.19.020(5).
EXECUTIVE SUMMARY
Over the past five years the Port of Seattle has partnered with Maritime Blue (MB) to advance
several maritime innovation initiatives. Past partnerships and contracts with MB established a
successful Maritime Blue Ventures accelerator and incubator program, addressed capital access
issues facing the maritime industry, and further established its nonprofit organization and Board
of Directors. MB also managed the Youth Maritime Collaborative and the Quiet Sound initiative
through separate agreements with the Port of Seattle.
Based on the success of these programs, the Port wishes to further advance economic recovery
by working with MB in several key areas.
COMMISSION AGENDA Action Item No. 10b Page 2 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
Funding requested to support the following programs the next two years:
Support the Maritime Blue Ventures program including a successful incubator and
newly formed accelerator program for startups and more established businesses.
Facilitate Blue Wind Collaborative to support strategic development and activation of
the region’s developing Floating Offshore Wind (OSW) supply chain.
Investing in this partnership supports several of the Port’s Century Agenda objectives:
Strategy #4 - To be the greenest and most energy efficient Port in North America
Strategy #3 - Increase workforce training, job, and business opportunities for local
communities in maritime trade travel and logistics and;
Strategy #1 - Position the Puget Sound’s region as premier international logistics hub.
BACKGROUND
Washington Maritime Blue is a 501(c)(3) nonprofit organization and strategic alliance that
propels the Pacific Northwest as a global innovation hub for the Blue Economy and ocean-based
climate solutions.
In September 2023 Maritime Blue worked closely with the Port to establish a new maritime
incubator program based out of Fishermen’s Terminal in addition to its marquee Accelerator.
The Seattle Maritime Blue Incubator supported a total of eight emerging maritime companies in
its first year, which has been a big success.
Since 2020, MB has now supported nearly 70 startups across all its programs. Participating
companies have made tangible progress with their ventures and have generated interest from
financial investors, research institutions, established maritime companies, government agencies,
and media outlets.
Maritime Blue has taken significant steps over the past two years towards organizational
sustainability by diversifying revenue and increasing operational capacity. The organization has
secured significant new funding from federal, state and philanthropic sources. MB recently
secured $1.25M Build to Scale grant from the United States Economic Development
Administration and has continued to diversify its funding, including increased support through
state provisos, corporate engagement, and philanthropic grants. Maritime Blue now has 16
employees, and its Budget for FY 2024-2025 is $6.2 Million.
JUSTIFICATION
The Port of Seattle has a longstanding and productive relationship with Maritime Blue. Together,
we have successfully launched maritime business accelerator and incubator programs, started
the Quiet Sound initiative, and collectively advanced the Maritime Innovation Center project.
Our partnership with Maritime Blue has been effective and we want to continue building this
COMMISSION AGENDA Action Item No. 10b Page 3 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
partnership through collective work that propels innovation and collaboration for the Blue
Economy in Washington state. Our collective efforts with Maritime Blue connects to various
Century Agenda priorities including, Strategy 1: Position Puget Sound region as the premier
international logistics hub; Strategy 3: Increase Workforce training, job and business
opportunities for local communities in maritime trade. Strategy 4: Port to be the Greenest and
most energy efficient Port in North America.
Recently, staff conducted market research and confirmed Maritime Blue to be the only Maritime
cluster organization with the capability and focused support network to implement this
partnership with the Port. At this time, no other maritime nonprofit organization or public
agency has the staff expertise, breadth of advisory members, or focus that will allow us to work
in partnership to pilot a virtual maritime business accelerator program and incubator program at
Fisherman’s terminal, advance key elements of Washington State’s Strategy for a Blue Economy,
and convene key leaders strategic development to activate Washington’s role in West Coast
floating offshore wind supply chain efforts. Maritime Blue provides unique skills and knowledge
required by this agreement, such as knowledge of maritime investment and finance markets,
which complements and augments that which the Port possesses. Because of Maritime Blue’s
unique expertise, skills and knowledge, a competitive process is not appropriate or cost effective,
and a competitive exemption is appropriate in accordance with RCW 53.19.020(5).
Maritime Blue Ventures
As part of this, Maritime Blue is the sole organization who manages and implements the Maritime
Blue Ventures Accelerator and Incubator programs in the Seattle region. Maritime Blue is
uniquely positioned to serve the Seattle-based maritime accelerators and incubators dedicated
to early-stage entrepreneurs in the ocean, maritime, and fisheries sectorssectors critical to the
Port of Seattle’s strategic interests.
Additionally, Maritime Blue is the only organization in the region dedicated to supporting startup
programs within a Pacific Northwest innovation cluster focused on the Blue Economy. With the
Port of Seattle as an active member, Blue Ventures is driving innovation for the Blue Economy,
and Maritime Blue is uniquely positioned to offer tailored support, forge direct industry
connections, and create opportunities for sustainable technology integration that align
seamlessly with the Port’s objectives for regional growth and environmental impact.
Blue Wind Collaborative for Offshore Wind
The newest venture to be added to the productive partnership between Maritime Blue and the
Port of Seattle is the development of the Blue Wind Collaborative. In this critical landscape,
Maritime Blue stands alone in leading the strategic development and activation of Washington’s
role in the West Coast and floating offshore wind supply chain. Maritime Blue launched the Blue
Wind initiative in 2023 and is uniquely positioned to provide a collaborative, community-focused
approach that no other organization can offer. With the unwavering support of the Governor’s
COMMISSION AGENDA Action Item No. 10b Page 4 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
office and the WA State Legislature, Maritime Blue’s work includes a formal leadership
committee, an active working group, and directed funding from diverse partners, making
Maritime Blue the exclusive leader in driving this transformative effort forward.
The offshore wind (OSW) market is rapidly growing across the globe as nations and regions
increase their renewable energy targets to combat climate change. In the US, the Biden-Harris
administration has set a goal of 30GW of OSW deployed in US waters by 2030 and a goal of 15GW
of floating OSW by 2035. This target, paired with goals in both California and Oregon of 2-5GW
and 3GW of OSW by 2030, respectively, is signaling the coming of OSW power to the West Coast.
As the development of these projects progress, the Bureau for Ocean Energy Management
(BOEM) has begun setting targets for investment in the regional supply chain, workforce
development, and community benefit through bidder credits.
There will be significant economic opportunities that come with OSW development along the
West Coast. Blue Wind will:
Promote development of a broader West Coast and Floating OSW Supply Chain Strategy
and enhance WA’s ability to effectively engage in West Coast-wide convenings around
West Coast OSW supply chain.
Promote data-driven, targeted, and results-oriented projects that lead to active
participation by Washington-based and other entities in the West Coast and Floating OSW
supply chain.
Hold the highest level of respect for treaty rights and coordinate actions with Washington
State tribes.
Meaningfully engage diverse labor unions that represent workers throughout the West
Coast and Floating OSW supply and value chains.
Leverage relationships with public, private, and non-profit sector partners to ensure cost-
effective and coordinated utilization of resources.
Employ “best available science” in decision-making and support data collection to fill gaps
as necessary.
Reflect equity, diversity, and inclusion in hiring, contracting, participation, and
implementation.
Maritime Blue’s Blue Wind’s objectives include:
Seek to understand the economic, community, and workforce development opportunity
for our region through focused convenings/workshops
Identify and map WA’s supply and full value chain available to support floating offshore
wind along the West Coast of US
Facilitate a series of Community Benefits from Supply Chain participation discussions
through the triple-bottom line lens of OSW in a way that is: Equitable, Sustainable,
Profitable
COMMISSION AGENDA Action Item No. 10b Page 5 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
Support the development of a West Coast-wide Floating OSW supply chain and as
needed, provide a mechanism for WA’s engagement in this conversation
Blue Wind’s Leadership Committee will help Maritime Blue guide overall taskforce efforts. The
committee will include representation from industry, ports, tribes, labor union, nonprofits,
research institutions. Members of the committee will provide advice, input, or assistance in
advancing OSW supply chain opportunities in Washington state, which will inform the
development of a 2026 scope of work for the development of an OSW Joint Innovation Project
Collaborative. The Leadership Committee will also provide input on program priorities and
budget.
In 2024 Blue Wind established the Supply Chain Mapping Workgroup which meets monthly to
discuss opportunities for activating Washington’s role in the West Coast OSW supply chain. Blue
Wind is planning to convene future workgroups to discuss focus topics related to OSW including:
Community Outreach
Workforce Development
West Coast Collaboration
Ports & Final Assembly
Vessel Needs & Construction
Economic Cost Benefit Analysis
Port staff are active participants in the Supply Chain Mapping Workgroup and future workgroups
will be open to Port staff participation.
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1) Do not authorize agreement with Maritime Blue
Pros:
Reduces specific budget request by up to $180,000 a year, which could be used
for other initiatives
Provides Port budget relief to fund other more pressing priorities
Cons:
Momentum around WA Strategy for Maritime Blue implementation reduced.
Accelerator and incubator momentum likely lost or diminished.
Opportunity to build offshore wind supply chain strategy and networks
diminished.
Alternative 2 Authorize a $360,000 two-year agreement with Maritime Blue to implement
initiatives that advance Port priorities and Washington State’s strategy for a Blue Economy at a
cost not- to- exceed $360,000.
COMMISSION AGENDA Action Item No. 10b Page 6 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
Pros:
Investment in Maritime Blue advances economic recovery within the maritime
industry.
Advancing a maritime accelerator ramps up maritime entrepreneurial initiatives
that are instrumental to the success of the maritime innovation center, where
significant Port investments have been already made.
Port financial investments in Maritime Blue will be leveraged by other public and
private members and sponsors.
Cons:
More time evaluating accelerator options could be helpful.
Maritime venture financing programs are still nascent and need improvement.
There are other maritime accelerator programs available (outside Seattle).
This is the recommended alternative.
FINANCIAL IMPLICATIONS
Cost Estimate/Authorization Summary
Expense
Total
COST ESTIMATE
Original estimate
$360,000
$360,000
AUTHORIZATION
Previous authorizations
0
Current request for authorization
0
0
Total authorizations, including this request
0
0
Remaining amount to be authorized
$0
$0
Annual Budget Status and Source of Funds
Annual budget request is for $180,000. The source of funds is the King County tax levy.
ATTACHMENTS TO THIS REQUEST
(1) Presentation
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
July 11, 2023 Commission received a briefing regarding Maritime Blue’ annual goals and
impacts which included an overview of the Blue Wind Collaborative
August 9, 2022 Commission approved Maritime Blue Contract Renewal under a competitive
waiver process for $300,000
July 12, 2022 -- Commission received a briefing on Maritime Blue’s annual results
July 12, 2021 -- Commission received a briefing on Maritime Blue’s annual results
July 14, 2020 Commission received a briefing on Maritime Blue’s first-year results
July 23, 2019 The Commission authorized the Executive Director to sign Memorandum of
COMMISSION AGENDA Action Item No. 10b Page 7 of 7
Meeting Date: November 19, 2024
Template revised September 22, 2016; format updates October 19, 2016.
Understanding with non-profit Maritime Blue maritime cluster organization
May 14, 2019 The Commission authorized design for the Maritime Innovation
Center (Historic Ship Supply Building)
January 8, 2019 Commission received a briefing regarding Maritime Blue Plan and the
Maritime Innovation Center funding