COMMISSION AGENDA MEMORANDUM Item No. ACTION ITEM Date of Meeting DATE: May 16, 2025 TO: Stephen P. Metruck, Executive Director FROM: Daniel Alter, AVM Fleet Manager Andrew Depolo, Police Commander 8i August 12, 2025 SUBJECT: Procurement Authorization for 2025 Police Fleet Purchases Amount of this request: Total estimated project cost: $3,030,000 $3,030,000 ACTION REQUESTED The Port Police and Aviation Maintenance Fleet Team requests Commission authorization for the Executive Director for budget authorization, and to execute contract(s) for the acquisition of approximately twenty-nine (29) police vehicles and the equipment required to in-service the vehicles, at an estimated cost of $3,030,000. This authorization will support the procurement of vehicles previously approved in the capital budget. The new vehicles will meet operational needs, support increased staffing levels, align with advancing technology standards, enhance safety features, and contribute to the objectives outlined in both the Sustainable Fleet Plan and the Century Agenda. EXECUTIVE SUMMARY The Port Police and Aviation Maintenance teams are requesting Commission authorization for the Executive Director to execute contract(s) for the acquisition of twenty-nine (29) fleet vehicles. This procurement will replace sixteen (16) aging police vehicles and expand the fleet with an additional thirteen (13) vehicles. The acquisition will be conducted under Capital Improvement Project (CIP) C802007. JUSTIFICATION The Port of Seattle's Aviation Maintenance team manages a fleet of approximately 100 Police Fleet assets. This authorization will allow the Port to replace aging assets that have reached the end of their service life and acquire additional vehicles to support the growing number of fulltime employees (FTEs) in the Police Department, including units assigned to the newly established Homeland Security Unit (HSU). Template revised January 10, 2019. COMMISSION AGENDA - Action Item No. 8i Meeting Date: August 12, 2025 Page 2 of 5 In alignment with the Fleet Sustainability Plan, this request includes the purchase of four (4) electric vehicles (EVs) and twenty-one (22) hybrid vehicles for the Police fleet. The EVs will enable the department to begin assessing the feasibility of electric vehicle integration, focusing on operational areas where current technology can be effectively utilized. The addition of hybrid vehicles will help significantly reduce fuel consumption, particularly for patrol and K9 units, which experience extended idle times due to the need to power onboard equipment and maintain climate control for K9 officers. Diversity in Contracting There is a 5% aspirational goal for WMBE utilization for the procurement contract. DETAILS The Fleet equipment being replaced is aged and with many units beyond a normal police service life. This request authorizes the procurement of equipment and vehicle that have already been approved in the budget request. This request is for mostly small capital funded items but does included authorization for up to two large capital items. Schedule Commission authorization In-use date Q3 2025 Q4 2025 through Q4 2026 ALTERNATIVES AND IMPLICATIONS CONSIDERED Alternative 1 - Authorize the budget and acquisition of 13 vehicles to expand the Police fleet in support of growing FTEs and the newly established HSU unit. Cost Implications: $1,665,310 spend on capital equipment. Pros: (1) (2) (3) (4) (5) Provides critical fleet support for new staff and the HSU unit, enabling operational readiness as staffing levels increase. Allows the Port to phase in additional vehicles over time, reducing the upfront financial burden while still addressing growth. Opportunity to include up to ten hybrid vehicles within the 13-vehicle acquisition. Lower capital outlay preserves financial flexibility for other high-priority initiatives or unforeseen needs. Helps alleviate overuse of current assets, which can reduce maintenance costs and avoid operational disruptions. Cons: (1) Does not address the replacement of 16 aging vehicles, which may lead to increased maintenance costs and decreased fleet reliability. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA - Action Item No. 8i Meeting Date: August 12, 2025 Page 3 of 5 (2) May not fully meet the demands associated with increased staffing levels, potentially leading to operational inefficiencies or vehicle sharing. (3) With fewer vehicles acquired, the potential environmental benefits from fleet electrification and fuel efficiency are reduced. (4) Delaying full acquisition may result in higher future costs due to inflation, supply chain constraints, or vehicle price increases. (5) Fewer vehicles may result in uneven distribution of task-appropriate or specialized equipment across units. This is not the recommended alternative. Alternative 2 - Authorize the budget and acquisition of 16 police vehicles to replace assets that have reached the end of their useful life. Cost Implications: $1,364,690 spend on capital equipment replacement. Pros: (1) (2) (3) (4) (5) Replaces aging vehicles with newer, more reliable assets, reducing maintenance costs and improving fleet performance. Enhances safety and efficiency by upgrading to vehicles with modern technologies and improved fuel economy. Supports continuity of operations by ensuring mission-critical vehicles are dependable and properly equipped. Advances sustainability goals through the opportunity to replace outdated vehicles with up to twelve hybrid and four EV models. Avoids escalating repair costs and downtime often associated with end-of-life fleet assets. Cons: (1) Does not expand the fleet to meet growing staffing levels or provide support for the newly established HSU unit. (2) Limits the Port's ability to respond to increased operational demand, potentially impacting service levels. (3) Missed opportunity to evaluate EV integration in new operational areas, as focus remains on replacement only. (4) May require short-term vehicle sharing or leasing to fill gaps created by new positions without fleet expansion. (5) Does not fully align with strategic growth goals, as it focuses solely on asset replacement rather than future capacity needs. This is not the recommended alternative. Alternative 3 - Authorize the acquisition of 29 police vehicles to replace 16 assets that have reached the end of their useful life and procure 13 additional vehicles to support increased FTEs and the newly created HSU unit. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA - Action Item No. 8i Meeting Date: August 12, 2025 Page 4 of 5 Cost Implications: $3.030 M spent on capital equipment replacement and additions. Pros: (1) Replaces older, less fuel-efficient vehicles with alternative fuel options, such as hybrids and EVs, while ensuring they meet the operational needs of staff whenever feasible. (2) Supports the gradual adoption of EVs, enabling the Police Department to assess their operational effectiveness and identify optimal use cases within the fleet. (3) New vehicles and equipment feature advanced safety technologies and environmentally sustainable attributes, enhancing the overall experience for stakeholders and supporting environmental stewardship. (4) Reduces downtime and minimizes maintenance and repair costs by acquiring newer, more reliable vehicles and equipment. (5) Ensures fleet assets are specifically tailored to meet the operational requirements of various units, enhancing performance and efficiency. Cons: (1) The initial acquisition costs associated with acquiring new fleet assets. (2) The addition of new assets will trigger a subsequent wave of vehicle replacements as older units reach the end of their service life. This is the recommended alternative. FINANCIAL IMPLICATIONS Cost Estimate/Authorization Summary Capital Expense Total COST ESTIMATE Original estimate $3,030,000 $0 $3,030,000 AUTHORIZATION Previous authorizations Current request for authorization Total authorizations, including this request Remaining amount to be authorized $0 $3,030,000 $3,030,000 $0 $0 0 0 $0 $0 $3,030,000 $3,030,000 $0 Annual Budget Status and Source of Funds This project (originally #C801414, later assigned to C802007) was included in the 2025-2029 capital budget and plan of finance with expected funding split between the Airport Development Fund and the General Fund. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA - Action Item No. 8i Meeting Date: August 12, 2025 Financial Analysis and Summary Project cost for analysis Business Unit (BU) Page 5 of 5 $3,030,000 Police allocate 80% to airport and 20% to Seaport businesses Effect on business performance NOI will be positively affected by a reduction in (NOI after depreciation) maintenance and fuel cost related to replacement vehicles and by cash amortization payments by the airlines for a portion of the cost; NOI will be negatively affected by the costs associated with additional vehicles and by depreciation. IRR/NPV (if relevant) N/A CPE Impact $0.01 in 2026 ATTACHMENTS TO THIS REQUEST (1) Presentation PREVIOUS COMMISSION ACTIONS OR BRIEFINGS None Template revised June 27, 2019 (Diversity in Contracting).