Commission Meeting Portal

Special Meeting on Aug 15, 2017 9:00am

Minutes for the Port Of Seattle Commission meeting, held on Aug 15, 2017 9:00am

        P.O. Box 1209 
                                            Seattle, Washington 98111 
                                              www.portseattle.org 
                                               206.787.3000 
                            APPROVED MINUTES 
                      COMMISSION SPECIAL MEETING AUGUST 15, 2017 
           The Port of Seattle Commission met in a special meeting Tuesday, August 15, 2017, in the
              International  Auditorium  at  Seattle-Tacoma  International  Airport,  Seattle,  Washington.
            Commissioners Bowman, Creighton, Felleman, and Gregoire were present. Commissioner Albro
             was present after 9:40 a.m. Commissioners Gregoire and Creighton were excused after 10:22 a.m. 
              to attend to other Port business. 
                1.   CALL TO ORDER 
           The meeting was called to order at 9:01 a.m. by Commission Vice President Courtney Gregoire,
               who led the flag salute. 
                2.   EXECUTIVE SESSION pursuant to RCW 42.30.110 
          No executive session was convened at this point in the meeting; however, the Commission
              recessed into executive session later in the meeting as noted below. 
                3.   SPECIAL ORDERS OF BUSINESS 
              3a.  August 15, 2017, Executive Director Report. 
             Dave Soike, Interim Executive Director, previewed several items on the day's agenda, summarized
              some of the highlights of the high school internship program, in its final week, and announced that
             concerns regarding ground transportation are being considered and will be the subject of a public
              briefing in September. 
              A recording of this part of the meeting has been made available online. 
             Without objection, the Commission proceeded to 
                5.   PUBLIC TESTIMONY 
              Public comment was received from the following individual(s): 
                    Chris Craig, Economic Development Specialist, City of Burien, regarding the Economic
                   Development Partnership Program. 
                 Yarden Weidenfeld, Mayor's Senior Policy Advisor, City of Federal Way, regarding the
                   Economic Development Partnership Program. 
                    Julie Underwood, City Manager, City of Mercer  Island, regarding the Economic
                   Development Partnership Program. 

                         Digital recordings of the meeting proceedings and meeting materials are available online  www.portseattle.org.

          PORT COMMISSION MEETING MINUTES                    Page 2 of 7 
           TUESDAY, AUGUST 15, 2017 
                    Karen Gruen, Vice President of Airport Affairs, Alaska Airlines, in support of the IAF and
                    NSAT project authorizations. 
                    Jimmy Masoero, General Manager of Airport Affairs, Delta Air Lines, in support of the
                    IAF and NSAT project authorizations. 
                    Tad Doviak, Des Moines resident, in opposition to the IAF and NSAT project
                      authorizations. 
                    Ralph B. Ibarra, President, Diverse America Network, regarding the IAF and NSAT
                     project authorizations. Mr. Ibarra submitted written materials, which are included here as
                     minutes Exhibit A and are available for public review. 
              A recording of this part of the meeting has been made available online. 
             The Commission returned to consideration of  
              3b.  Authorization for the Executive Director to execute a memorandum of understanding
                for $15 million with the City of Seattle to launch the Safe and Swift Corridor Program to
                support projects and other efforts to improve transportation flow and safety along key
                 freight transportation corridors. 
             Request document(s) included a Commission agenda memorandum, presentation slides, and draft
             agreement. 
              Presenter(s): Lindsay Wolpa, Manager, Regional Government Relations, Public Affairs, and Kate
              Joncas, City of Seattle Deputy Mayor. 
             The Commissioners received a single presentation on agenda items 3b and 3c. 
             This agreement is for funding to enhance safety and freight mobility in the South Spokane Street,
            East Marginal Way, and 15th Avenue West/Elliott Avenue West/Mercer Street corridors. Projects
             will include enhancements to Spokane Street, grade separation at Lander Street, improvements to
             bike lanes on East Marginal Way, and transportation and infrastructure improvements related to
             Terminal 91 uplands redevelopment. 
             The motion for approval of agenda item 3b carried by the following vote: 
             In favor: Bowman, Creighton, Felleman, Gregoire (4) 
             Absent for the vote: Albro 
              A recording of this part of the meeting has been made available online. 
              3c.  Authorization for the Executive Director to amend the memorandum of agreement
                related to the Lander Street Grade Separation Project between the Port of Seattle and
                City of Seattle executed on August 31, 2016. 
            Request document(s) included a Commission agenda memorandum, draft agreement, and 2016
             agreement. 
             Presenter(s): Lindsay Wolpa Manager, Regional Government Relations, Public Affairs. 

                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.

          PORT COMMISSION MEETING MINUTES                    Page 3 of 7 
           TUESDAY, AUGUST 15, 2017 

             The Commissioners received a single presentation on agenda items 3b and 3c, as noted above. 
             The motion for approval of agenda item 3c carried by the following vote: 
             In favor: Albro, Bowman, Creighton, Felleman, Gregoire (4) 
             Absent for the vote: Albro 
              A recording of this part of the meeting has been made available online. 
                4.   UNANIMOUS CONSENT CALENDAR 
            [Clerk's Note: Items on the Unanimous ConsentCalendar are considered routine and are not
               individually discussed. Port Commissioners receive the request documents prior to the meeting
             and may remove items from the Consent Calendar for separate discussion and vote in accordance
             with Commission bylaws.] 
               4a.  Approval of the Claims and Obligations for the period July 1-July 31, 2017, including
               accounts payable check nos. 918477-918919 in the amount of $4,766,450.94; accounts
              payable ACH nos. 000999-001610 in the amount of $37,879,036.86; accounts payable
               wire transfer nos. 014700-014716 in the amount of $13,960,508.19; payroll check nos.
              186535-186958 in the amount of $390,719.12; and payroll ACH nos. 814435-818279 in 
                the amount of $9,018,276.43 for a fund total of $66,014,991.54. 
              4b.  Authorization for the Executive Director to execute Economic Development Partnership
                Program contracts with the Cities of Burien, Duvall, Mercer Island, Kent, Federal Way,
             and Maple Valley to implement local economic development initiatives for an amount
                not to exceed $235,785, as detailed below. 
            Request document(s) included a Commission agenda memorandum and report. 
             The motion for approval of consent items 4a and 4b carried by the following vote: 
             In favor: Albro, Bowman, Creighton, Felleman, Gregoire (5) 
              A recording of this part of the meeting has been made available online. 
                6.   DIVISION, CORPORATE, AND COMMISSION ACTION ITEMS 
               6a.  Second Reading and Final Passage of Resolution No. 3733, a Resolution of the Port
             Commission of the Port of Seattle amending Resolution No. 3611, as amended by
               Resolution Nos. 3672, 3673, 3689, and 3690, the Seattle Port Commission Bylaws,
                regarding titles and duties of officers and schedule of regular meetings. 
           Request document(s) included a Commission agenda memorandum, draft resolution, and redline
              document. A copy of the final draft of Resolution No. 3733 will be made available upon adoption. 
              Presenter(s): Mike Merritt, Commission Chief of Staff. 

                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.

          PORT COMMISSION MEETING MINUTES                    Page 4 of 7 
           TUESDAY, AUGUST 15, 2017 
             Previously, First Reading of Resolution No. 3733 was approved on May 23, 2017. 
              In addition to the changes to the role of the Commission Vice President contained in the resolution,
           comments were offered regarding the requirement in the current bylaws for four offsite meetings
              per year and a suggestion was made to start the public session an hour earlier in order to facilitate
               participation from the public during the typical lunch hour. 
          The motion for approval of Second Reading and Final Passage of Resolution No. 3733 
             (agenda item 6a) carried by the following vote: 
             In favor: Albro, Creighton, Felleman, Gregoire (4) 
            Absent for the vote: Bowman 
              A recording of this part of the meeting has been made available online. 
              6b.  Ratification of the following Commission Officers for 2017, effective immediately with
                the duties as described in adopted Resolution No. 3733, including the obligation of the
                Vice President to serve as President in 2018: Tom Albro, President; Courtney Gregoire,
               Vice President; Stephanie Bowman, Secretary; Fred Felleman, Assistant Secretary; and
               John Creighton, Commissioner at Large. 
            Request document(s) included a Commission agenda memorandum. 
              Presenter(s): Mike Merritt, Commission Chief of Staff. 
             The motion for approval of agenda item 6b carried by the following vote: 
             In favor: Albro, Creighton, Felleman, Gregoire (4) 
            Absent for the vote: Bowman 
              A recording of this part of the meeting has been made available online. 
               6c.  Authorization for the Executive Director to: (1) For the International Arrivals Facility
                 (IAF) project and related contracts: (a) Increase the IAF project authorization for the
               projected unfunded balance of $284 million, which includes a $105.6 million budget
                increase; (b) Extend the contract completion date to December 31, 2020; and (c)
              Execute with Clark Construction a Guaranteed Maximum Price (GMP) Amendment or
                multiple mini-GMPs, contract amendments, and change orders, as required, to
                complete the new International Arrivals Facility at Seattle-Tacoma International Airport
                 using the full project funding of $790 million, and; (2) For the North Satellite Renovation
           & North Satellite Transit Station Lobbies Project (NSAT) project and related contracts
                   (a) Increase the NSAT project authorization by $270,347,392 ($261,547,392 capital and
               $8,800,000 expense), which includes a $107.5 million budget increase; (b) Amend the
               contract with Hensel Phelps (HP) for $161,563,526 for a total contract value of
                $453,558,907; (c) Execute all change orders to the HP contract within authorized budget
             and project scope without returning for additional Commission authorization; (d) Use
               Port crews to support NSAT construction; and (e) Enter into a Tenant Reimbursement
             Agreement with Alaska Airlines (AS) for AS and the Port to reimburse each other, as

                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.

          PORT COMMISSION MEETING MINUTES                    Page 5 of 7 
           TUESDAY, AUGUST 15, 2017 
                appropriate,  for  AS-performed  or  Port-performed  design  and  constructed
               improvements that are part of the NSAT. [subsequently amended] 
           Request document(s) included a Commission agenda memorandum, IAF memorandum, NSAT
             memorandum, and presentation slides. A revised memo was submitted following the meeting and
              is included here as minutes Exhibit B. 
              Presenter(s): Lance Lyttle, Managing Director, Aviation; Ralph Graves, Senior Director, Capital
            Development; David Brush, IAF Program Leader; and George England, NorthSTAR Program
             Leader. 
               In lieu of a presentation, there was a question and answer period regarding the projects. The
             following information was conveyed: 
           To mitigate the greenhouse gas impact of skybridge windows, the team is looking for
                  products that mitigate climate-control related energy expenditures, and removing glazing
                  elsewhere. 
                Lessons learned regarding the progressive design build process include refinement of the
                   estimate process. 
             Future projects have been identified for incorporation of women and minoritiy business
                    enterprises. 
         AMENDMENT 
             Without objection, the action request was amended to remove reference to the total contract value
              of $453,558,907. 
             The action request now reads as follows: 
                   Authorization for the Executive Director to: (1) For the International Arrivals Facility
                  (IAF) project and related contracts: (a) Increase the IAF project authorization for the
                  projected unfunded balance of $284 million, which includes a $105.6 million budget 
                 increase; (b) Extend the contract completion date to December 31, 2020; and (c)
                Execute with Clark Construction a Guaranteed Maximum Price (GMP) Amendment or
                  multiple mini-GMPs, contract amendments, and change orders, as required, to
                complete the new International Arrivals Facility at Seattle-Tacoma International
                   Airport using the full project funding of $790 million, and; (2) For the North Satellite
                Renovation & North Satellite Transit Station Lobbies Project (NSAT) project and
                  related contracts (a) Increase the NSAT project authorization by $270,347,392
                 ($261,547,392 capital and $8,800,000 expense), which includes a $107.5 million
               budget increase; (b) Amend the contract with Hensel Phelps (HP) for $161,563,526;
                     (c) Execute all change orders to the HP contract within authorized budget and
                  project scope without returning for additional Commission authorization; (d) Use
                 Port crews to support NSAT construction; and (e) Enter into a Tenant
               Reimbursement Agreement with Alaska Airlines (AS) for AS and the Port to
                reimburse each other, as appropriate, for AS-performed or Port-performed design
                 and constructed improvements that are part of the NSAT. [as amended] 

                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.

          PORT COMMISSION MEETING MINUTES                    Page 6 of 7 
           TUESDAY, AUGUST 15, 2017 
             The motion for approval of agenda item 6c, as amended, carried by the following vote: 
             In favor: Albro, Bowman, Creighton, Felleman, Gregoire (5) 
              A recording of this part of the meeting has been made available online. 
             Commissioners Gregoire and Creighton were excused after 10:22 a.m. in order to attend to other
              Port business. 
                7.   STAFF BRIEFINGS 
               7a.  Sustainable Aviation Fuels Program Update. 
             Presentation document(s) included a Commission agenda memorandum, presentation slides, and
               report. 
              Presenter(s): Stephanie Meyn, Senior Environmental Program Manager, Aviation Environmental;
              Elizabeth Leavitt, Senior Director, Environment and Sustainability; and Borgan Anderson, Director,
             Aviation Finance and Budget. 
              Currently, only one facility commercially produces hydroprocessed lipid (HEFA) fuels, producing
               2 million gallons per year of jet fuel, and 38 million gallons of renewable diesel for road
              transportation. That facility is located in California. Other processes are in development and the
              state of the market will continue to improve. 
             Results of the recently conducted report on funding mechanisms for biofuels indicate that the best
              opportunities for airports to promote use of biofuels includes incentivizing or financing sustainable
               fuel infrastructure such as storage facilities. 
              A recording of this part of the meeting has been made available online. 
                8.   ADDITIONAL NEW BUSINESS 
              Additional public comment was received from the following individual(s): 
                 Heather McAuliffe, Seattle resident, regarding the closure of the Terminal 86 public fishing
                    pier. Ms. McAuliffe submitted written materials, which are included here as minutes
                    Exhibit C and are available for public review. 
                  Ali Sugule, Flat Rate for Hire, regarding the airport taxi contract. 
                 Leyla Garmela, Flat Rate for Hire, regarding the airport taxi contract. 
                 Dauud Hasan, Renton resident, regarding the airport taxi contract. 
                 Worku Belayneh, regarding the airport taxi contract. 
              A recording of this part of the meeting has been made available online. 


                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.

          PORT COMMISSION MEETING MINUTES                    Page 7 of 7 
           TUESDAY, AUGUST 15, 2017 
                9.   RECESSED AND ADJOURNED 
             The meeting was recessed at 11:15 a.m. to an executive session expected to begin at 12:30 p.m., 
             estimated to last 2 hours, to discuss one matter relating to qualifications for public employment.
             Following the executive session, which lasted approximately 2.5 hours, the Commission adjourned
              at 3:00 p.m. without returning to public session. 
            Stephanie Bowman 
             Secretary 
             Minutes approved: August 15, 2017. 














                  Minutes of August 15, 2017, submitted for review on December 4, 2017, and proposed for approval on December 5, 2017.