Item No.10d_supp
Meeting Date: November 17, 2026

Marine Stormwater Utility
2027 Rate Adoption
November 17, 2026
Sarah Ogier, Director, Maritime Environment & Sustainability
Jane Dewell, Senior Manager, Marine Stormwater Utility

Action Requested
• Request Commission authorization of
8.0% rate increase in 2027 to fund
Marine Stormwater Utility (Utility)
• Funding Criteria
- Maintain adequate budget to meet Port's Long-range
Plan and Utility Charter responsibilities 
- Continue investment to maintain and improve a high
functioning stormwater system to protect water
quality 
- Support a 6-month fund reserve consistent with Port
policy and best practices 
- Maintain predictable rate over a 5-year projection 
Utility Pipe Repair Work Adjacent to the MInC Project
2

2026 Accomplishments
• Guiding principles in Century Agenda
o Met system rehabilitation goal of 75% in 2025 versus 2035
o Continue to meet or exceed agency permit requirements for
stormwater leaving Port-owned or operated facilities
o Increased sweeping, inspections, spill response, and tenant
outreach

• Benchmarking of Utility rates and financial best practices
• Completed 1,400+ Marine Maintenance work orders
annually

Pipe repair work at
Terminal 46

o Regulatory requirements
o Proactive and data-driven asset management

• Managed Utility Capital Program

o Completed a full pipe replacement at Terminal 46
o Provided design guidance and review all maritime projects
with stormwater components

Ponding at Terminal
106 South Nevada St

3

Financial Goals & Objectives
Top Priorities:

• Sustain 75% rehabilitated system and
meet water quality objectives
• Maintain rates below City stormwater
utility rates
• Rebuild 6-month reserve fund balance by
2031
• Fund limited 5-year capital improvement
plan

Stormwater Improvements at the Maritime Industrial Center
4

Stormwater Utility Operating Budget
$ in 000's

2025 Actual

2026 Approved
Budget

2027 Proposed
Budget

Revenue

8,407

9,093

9,813

Expenses
SWU
Maintenance
Other

1,923
4,429
1,869

2,372
5,185
1,941

2,369
5,019
2,011

Total Expense

8,221

9,498

9,399

Capital Program

1,489

1,511

935

Total Expense &
Capital

9,710

11,009

10,334

Annual Revenue -
Total Budget

(1,303)

(1,916)

(521)

Fund Balance (end of
year)

2,717
65%

1,400
29%

1,256
28%

Notes:
• 2027 budget proposal based on
8.0% rate increase
• 2027 expense budget down 1%
from 2026
• The Utility has not fully funded
6-month reserves or capital for
last 3 years

5

2027-2031 Rate Scenarios
Rate
Increase

O&M Reserve

1 - Not
preferred

8.0%, 20272031

Will reach 79%
in 2031

Under this alternative there is insufficient revenue to cover
O&M cost increases and CIP through 2031. Six-month fund
balance not met by end of 2031. Not preferred.

2 - Not
preferred

9.0%, 20272031

Will reach 111%
in 2031

Meets O&M reserve and CIP goals with $4.89M 5-year capital
and $0.602M in additional funds in 2031. Not preferred due to
higher cost impacts on tenants and NWSA.

3 - Not
preferred

10.0%, 20272031

Will reach 144%
in 2031

Meets O&M reserve and CIP goals with $4.89M 5-year capital
and $2.393M in additional funds in 2031. Not preferred due to
higher cost impacts on tenants and NWSA.

4 - Preferred

8.0%, 2027
9.0%, 20282031

Will reach 101%
in 2031

Meets O&M reserve and CIP goals with $4.89M 5-year capital
and $0.045M in additional funds in 2031. Lower cost impact on
tenants and NWSA than other alternatives except alternative 1.

Alternative

Comments

Note: Target O&M reserve for 2031 is $5.467M

6

Current City & Port Rate Comparison
Port rate is 15-18% lower for industrial properties compared to City
City 2026*

Port 2026*

City Rate % Higher
than Port

$54.23-70.91

$55.34

-2 to 118.9%

$97.01

$85.57

13.4%

Medium (36 - 65% Impervious)

$129.37-152.60

$124.28

4.1 to 52.6%

Heavy (66 - 85% Impervious)

$192.45

$166.75

15.4%

Very Heavy (86 - 100% Impervious)

$232.15

$197.24

17.7%

Stormwater Rate Category
Undeveloped (0 - 15% Impervious)
Light (16 - 35% Impervious)

Note: In 2025, City of Seattle revised rate categories for 0-65% impervious surfaces, and categories no longer directly align with the Port's rate
categories. City categories for 66-100% impervious surfaces continue to be consistent with the Port's allowing for direct comparison of rates.
These two categories (Heavy and Very Heavy) also reflect most Port properties.

*Rates are shown as $ per 1,000 sq ft

7

Request Adoption
of 2026 Rate
Questions?

8