Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No. 10b
ACTION ITEM Date of Meeting October 28, 2025
DATE: October 17, 2025
TO: Stephen P. Metruck, Executive Director
FROM: Eileen Francisco, Director Aviation Project Management
Sabin Mudaliar, Acting Director Airport Operations
Keri Stephens, Director Aviation Facility and Capital Program
SUBJECT: 2026 Airfield Projects and SCE Spot 99 Utility Scope Construction Authorization
(CIP# C801379 and C801203)
2026-2030 Airfield Program
(CIP# C801379)
SCE Program
(CIP# C801203)
Amount of this request: $64,400,000
$8,640,000
Total estimated project cost: $400,000,000
$2.5B
ACTION REQUESTED
Request Commission authorization for the Executive Director to (1) advertise and execute two
construction contracts for 2026 Airfield Projects and limited utility installation scope in S
Concourse Evolution (SCE) Program located in the S Concourse Taxilane between the Southwest
Corner of the S Concourse and the Cargo 7 hardstand area (Spot 99); and (2) authorize use of
Port crews for abatement work.
The total amount of this authorization request is $73,040,000
EXECUTIVE SUMMARY
These two construction contracts are comprised of two interdependent Capital Improvement
Projects (CIPs). Construction Contract #1 encompasses federally funded pavement and utility
infrastructure scope while Construction Contract #2 consists of all other airfield project work in
2026 and SCE utility installation scope in Spot 99 area. Due to overlapping design functionality,
interdependent operational impacts, and shared 2026 schedule milestones, the Spot 99 utility
scope as part of the SCE Program was designed and phased to be delivered concurrently with the
Airfield Program scopes for purposes of Airfield safety, efficiency, and minimization of
operational impacts. The details of the authorization for individual CIPs are shown below.
COMMISSION AGENDA – Action Item No. 10b Page 2 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
CIP Name/#
Amount of
this Request
Amount Authorized to
Date, incl. this Request
Total Estimated
Project Cost
2026-2030 Airfield Program
C801379
$64,400,000
$135,400,000 $400,000,000
S Concourse Evolution
Program C801203
$8,640,000 $261,390,000 $2.5B
Total Authorization of this
Request
$73,040,000
JUSTIFICATION
The 2026 Airfield scope is part of the 2026-2030 Airfield Program, which is a continuation of a
programmatic approach for airfield infrastructure renewal and replacement, as well as projects
needed to keep the airfield within regulatory compliance. The overarching goal of the Program
is to provide safe and efficient conditions for aircraft operations at SEA and meet FAA and other
regulatory requirements.
The Spot 99 Utility scope is the first construction component of the SCE program. The electrical
power supply pathway from the Airport’s South Main Substation to the S Concourse is critical
infrastructure for the SCE building as both normal power and emergency power will be fed from
the new feeders to be installed in the future. This work is needed to provide the required power
per electrical code to support the future buildout of S Concourse and replace the decades old
electrical feeders. Operational impacts and phasing are a major cost driver to the SCE Program
and moving this work forward will reduce impacts at spot 99, which is a critical taxiway for aircraft
operations at A, B, and S Concourses. Future work will connect this duct bank to the S concourse
and the main electrical substation.
Diversity in Contracting
The project staff, in coordination with the Diversity in Contracting Department, have set goals for
both contracts. However, Airfield Contract #1 is federally funded work and due to the most recent
Federal adjustments to their Disadvantaged Business Enterprises (DBE) program, this goal will be
TBD. Contract #2 is not federally funded and as such will include a range of 14% Woman and
Minority Business Enterprise (WMBE) aspirational goal. These goals are based upon the projects’
scopes of work, and baseline availability of certified DBE and WMBE businesses to perform the
work under the two separate contracts.
DETAILS
2026 Airfield Contract #1 encompasses federally funded scope with Entitlement Funding of
approximately $15M anticipated. Both construction projects will interface with other projects
and airline operations. Continual coordination with Airport Operations, Airlines, and related
Tenants will ensure the least possible operational impact during construction.
COMMISSION AGENDA – Action Item No. 10b Page 3 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
Scope of Work
The 2026 Airfield scope includes replacement of distressed pavement at RW 16C/34C, connecting
taxiways, TW B, N Concourse taxilane, Cargo areas and vehicle service road; replacement of aging
and failing airfield utilities located within the Runway Safety Area (RSA) for RW16C/34C;
replacement of failing non-standard flush fire hydrant access hatches; replacement of aging
electrical circuits with low megger readings and installation of LED lighting fixtures and signs for
RW 16C/34C, connecting taxiways and TW N and TW Z located between RW16R/34L and TW T;
removal of turf edge dams along RW16C/34C, connecting taxiways and access roads; mitigation
of ponding spots and installation of anti-perching devices within RW 16C/34C RSA.
The Spot 99 utility work includes two electrical duct banks that run parallel to each other across
Spot 99. The Normal Power Electrical duct bank is required to provide new electrical
infrastructure to S Concourse as the existing feeders are over 40 years old. Additionally, to meet
current code requirements, a new emergency power duct bank will be built in parallel with the
normal power to support two new generators that will be installed on the south end of the
airport. This is the first portion of the duct bank installation and will be needed for any future
work at S Concourse.
Schedule
Activity
Construction Contract # Contract #1
Contract #2
Construction start 2026 Quarter 2
2026 Quarter 1
In-use date 2026 Quarter 4
2026 Quarter 4
Cost Breakdown This Request
Total Project
2026-2030 Airfield Program (C801379)
Design $0
$71,000,000
Construction $64,400,000
329,000,000
Total $64,400,000
$400,000,000
S Concourse Evolution Program (C801203)
Design $0
$400,000,000
Construction $8,640,000
$2,100,000,000
Total $8,640,000
$2,500,000,000
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Proceed only with federally funded 2026 Contract #1 Airfield work including the
replacement of distressed pavement, aging and failing airfield utilities, non-standard flush fire
hydrant access hatches, electrical circuits, lighting fixtures and signs; removal of turf edge dams;
mitigation of ponding spots and installation of anti-perching devices at RW 16C/34C, connecting
taxiways, infield areas and vehicle service road. Do not proceed with the scope in 2026 Contract
COMMISSION AGENDA – Action Item No. 10b Page 4 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
#2 including replacement of distressed pavement at TW B, N Concourse taxilane and Cargo areas,
and installation of power and communication utility in Spot 99 area.
Cost Implications: $59.16M in Capital Cost for 2026 Contract #1.
Pros:
(1) Reduced capital spending in 2026.
(2) Less construction impacts to airport operations in 2026.
(3) Grant funded renewal and replacement work will proceed.
(4) Less complexity for budget tracking during construction.
(5) In alignment with FAA’s 5-year ACIP and receive grants.
(6) Environmental benefits for LED lighting, signs and in-field work.
Cons:
(1) Safety risks associated with failing airfield pavement and supporting infrastructure
included in 2026 Contract #2 are not addressed.
(2) Increased cost in the future due to escalation.
(3) Operational impacts from emergency repair/replacement.
This is not the recommended alternative.
Alternative 2 – Deliver each Work Project in separate construction contracts.
Cost Implications: $77.80M in Capital Cost
Pros:
(1) Less complexity for budget tracking during construction.
(2) Provides safe and efficient conditions for aircraft operations and meet Federal Aviation
Regulations and other regulatory requirements.
(3) Programmatic replacement of aged and distressed pavements and related
infrastructures.
(4) In alignment with FAA’s 5-year ACIP and receive grants.
(5) Reduces maintenance costs by investing in renewal of critical assets.
(6) Environmental benefits for LED lighting, signs and in-field work.
Cons:
(1) Reduce efficiencies due to multiple contracts and separate jurisdictional coordination
such as with the FAA.
(2) Additional labor costs for contractor on-boarding and mobilizations, multiple-project
ramp up and close out.
(3) Increase coordination required between overlapping projects.
(4) Increase construction safety risk due to the interdependent operational impacts.
(5) Additional and recurring impacts to airfield operations until all efforts are completed.
(6) Large capital costs in 2026-2030.
(7) Operational impacts during construction.
COMMISSION AGENDA – Action Item No. 10b Page 5 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
This is not the recommended alternative.
Alternative 3 – Move forward with full scope proposed for 2026
Cost Implications: 73.04M
Pros:
(1) Provides safe and efficient conditions for aircraft operations and meet Federal
Aviation Regulations and other regulatory requirements.
(2) Programmatic replacement of aged and distressed pavements and related
infrastructures.
(3) In alignment with FAA’s 5-year ACIP and receive grants.
(4) Reduces safety risks, minimizes operational impacts and increases efficiencies as
coordination and construction is managed as combined construction contracts.
(5) Reduces maintenance costs by investing in renewal of critical assets.
(6) Environmental benefits for LED lighting, signs and in-field work.
Cons:
(1) Large capital costs in 2026-2030.
(2) Operational impacts during construction.
(3) Increase coordination required between overlapping projects.
(4) Increase construction safety risk due to the interdependent operational impacts.
(5) Additional and recurring impacts to airfield operations until all efforts are completed.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
2026
-2030 Airfield Program (C801379) Cost Estimate/Authorization Summary
COST ESTIMATE Capital
Expense
Total
Original estimate $390,000,000
$10,000,000
$400,000,000
AUTHORIZATION
Previous authorizations 70,298,000
1,000,000
71,298,000
Current request for authorization 64,000,000
400,000
64,400,000
Total authorizations, including this request 134,298,000
1,400,000
135,698,000
Remaining amount to be authorized $255,702,000
$8,600,000
$264,302,000
COMMISSION AGENDA – Action Item No. 10b Page 6 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
S Concourse Evolution Program
(C801203)
Cost Estimate
/Authorization Summary
COST ESTIMATE Capital
Expense
Total
Original estimate $1B
$0
$1B
Previous changes – net $870M
$0
$870M
Revised estimate $2.5B
$0
$2.5B
AUTHORIZATION
Previous authorizations $252,750,000
$0
$252,750,000
Current request for authorization $8,640,000
$0
$8,640,000
Total authorizations, including this request
$261,390,000
$0
$261,390,000
Remaining amount to be authorized $2,238,610,000
TBD
$2,238,610,000
Annual Budget Status and Source of Funds
2026-2030 Airfield Program (C801379)
2026-2030 Airfield program was not in the 2025-2029 capital budget and plan of finance. The
capital budget of $390,000,000 was transferred from the Aeronautical Allowance CIP C800753
resulting in no net change to the Airport capital budget. This project C801379 replaced an existing
project C801302- Airfield Infrastructure and Security which was in the 2024 Plan of Finance with
a budget amount of $199,500,000. The budget for C801302- Airfield Infrastructure and Security
was returned to the Aeronautical Allowance CIP C800753.
Project C801379 - 2026-2030 Airfield program anticipates approximately $54M in Federal
Aviation Administration (FAA) entitlement funds with the opportunity to receive additional
discretionary funds. The funding sources will be the Airport Development Fund, FAA grants, and
revenue bonds. This project is subject to the Port’s Very Large Project Process per Signatory Lease
Operating Agreement (SLOA) V.
S Concourse Evolution Program (C801203)
The S Concourse Evolution project, CIP C801203, was included in the 2025-2029 capital budget
and plan of finance with a budget of $1,870,000,000. The funding sources would be revenue
bonds, Airport Development Fund (ADF), the Bipartisan Infrastructure Law (BIL) grant funding
through the FAA-AIP program, other FAA Grants, and future Passenger Facility Charge.
COMMISSION AGENDA – Action Item No. 10b Page 7 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
Financial Analysis and Summary
2026-2030 Airfield Program (C801379)
Project cost for analysis $400,000,000
Business Unit (BU) Airfield movement and Airfield apron
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 Total project cost CPE of $1.05 in 2031; annual CPE of
$0.17
S Concourse Evolution Program (C801203)
Project cost for analysis $2,200,000,000
Business Unit (BU) Terminal Building
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) NPV (50 years) for non-aero is negative $130 million
CPE Impact $4.39 in 2036
Future Revenues and Expenses (Total cost of ownership)
2026-2030 Airfield Program (C801379)
This program will reduce the amount of time currently spent by the Port Maintenance team on
joint seal and pavement spall repairs. The new pavement will have a 40-year asset life and a
greatly reduced risk of loose gravel and rock Foreign Object Debris (“FOD”) that could be picked
up by vehicle tires or blown by jet engine exhaust and spread across the apron, taxiways and
runways.
The recircuiting scope will cause a decrease in annual operating & maintenance costs. This is
because the project will install more resilient LED lighting and signs, which is easier to maintain
as it has a longer life than the current incandescent lighting and signs. Furthermore, PVC conduit
will be installed, which makes cable pulling easier.
S Concourse Evolution Program (C801203)
The cost savings of keeping the current terminal operational would likely present no long-term
savings even with discounting the risk of a potential catastrophic failure; the terminal is still in
need of upgrades driven by code and safety. Balancing the deferral of these costs against the
structural, seismic, and operational needs of the terminal is not recommended.
ADDITIONAL BACKGROUND
(1) Presentation slides
COMMISSION AGENDA – Action Item No. 10b Page 8 of 8
Meeting Date: October 28, 2025
Template revised June 27, 2019 (Diversity in Contracting).
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
2026-2030 Airfield Program (CIP C801379)
September 24, 2024 - The Commission authorized for the Executive Director to (1) advertise
and execute a service agreement for design and engineering services for the airfield capital
improvement program with the combined value not to exceed $28,000,000; (2) authorize
design and preparation of construction documents for the 2026-2030 Airfield Program at the
Seattle-Tacoma International Airport (SEA); (3) procure long lead material items; (4) enter
into agreements with the Federal Aviation Administration (FAA) and/or other public agencies
for the evaluation of impacts, protection and/or relocation of utilities and performance of
flight checks; and (5) approve the use of a project labor agreement (PLA) for each year’s
construction contract. The use of a PLA will be subject to approval by the FAA for work
receiving federal funding. Total request for this action is $71,000,000. The total program cost
is estimated at $400,000,000.
S Concourse Evolution Program (C801203)
May 27, 2025 – The Commission approved an increase in funding to support the following:
completion of design; facilitating project construction at Gate D6, Cargo 3, and Cargo 6; and start
design for Gate A6 replacement.
May 13, 2025 – The Commission was briefed on S Concourse Evolution and informed of an
upcoming funding request to advance design, scope additions, and construction.
May 14, 2024 – The Commission authorized to Prepare design and construction bid packages for
S Concourse facilitating project, Procure long-lead items.
October 22, 2022 – The Commission authorized to procure a Designer, GC/CM, Project
Management/Controls Support, and Commissioning Agent for SCE.
September 27, 2022 - The Commission was briefed on S Concourse Evolution and project status.
April 13, 2021 – The Commission was briefed on SSAT Renovation Renewal PDD.
