COMMISSION 
AGENDA MEMORANDUM                Item No.       6a 
ACTION ITEM                   Date of Meeting    October 25, 2016 
DATE:    October 18, 2016 
TO:     Ted Fick, Chief Executive Officer 
FROM:   Ralph Graves, Senior Director, Capital Development 
David Freiboth, Senior Director, Labor Relations 
Aaron Pritchard, Issues and Policy Manager, Commission 
SUBJECT:  Second Reading of Resolution No. 3725, a Construction Labor Relations Policy
Directive proposed by the Project  and Procurement Committee to set policy governing
employment on projects constructed on Port property. 
Amount of this request:                $0 
Total estimated project cost:             $0 
ACTION REQUESTED 
Request Second Reading and final passage of Resolution No. 3725, a Construction Labor
Relations Policy Directive governing employment on projects constructed on Port property.
EXECUTIVE SUMMARY 
The purposes of the proposed Policy Directive are to expand access to construction jobs; ensure
fair treatment of workers; promote labor harmony and uninterrupted work progress; and
improve safety at construction sites. Existing construction labor relations policy applies
principally to contracts administered by the Port. The proposed Resolution clarifies policy and
extends to cover all construction taking place on Port property. 
JUSTIFICATION 
The Port of Seattle Commission and the CEO together develop Policy Directives as stated under
Section 1(A)(2) of the General Delegation of Authority, which Policy Directives, under section
(B)(1)(2) and (3), are intended to provide guidance, inform operations, and deliver standards
that support the effective use of internal audit functions to verify compliance. 
Port  of Seattle facilities support regional transportation, job creation and economic
development. Labor harmony is essential to ensure uninterrupted delivery of critically needed
facilities. State prevailing wage standards help ensure equitable pay for construction workers.
Apprenticeship utilization requirements, along with aspirational hiring goals for women and
minorities, promote access to construction jobs. Project labor agreements (PLAs), and related

Template revised September 22, 2016.

COMMISSION AGENDA  Action Item No. _6a___                    Page 2 of 3 
Meeting Date: October 25, 2016 
community workforce agreements (CWAs), provide means to align the interests of public
owners such as the Port with those of construction labor unions.
In 1999 the Port entered into a broad PLA with regional construction unions that governed
employment on many of the construction contracts for airport terminal expansion, construction
of the Third Runway and creation of the Smith Cove Cruise Terminal. In 2009 the Port clarified
criteria for determining when a PLA would be required and began negotiating and
administering PLAs with in-house staff. In the past five years, 26 of 120 Port major construction
contracts have been covered by PLAs. This 22% of contracts has encompassed 78% of dollars
and 52% of jobs during the period. While PLAs provide the benefits described above, the Port is
aware that PLAs may adversely affect small businesses that are less likely to employ union
labor. 
Construction at Port properties may be funded and administered by the Port, administered by
tenants with Port financial support or administered and funded by tenants. The proposed
resolution affirms criteria for determining when the Port will enter into PLAs on projects the
Port administers, requires prevailing wages to be paid on construction contracts funded entirely
or in part by the Port and directs similar criteria and procedures on construction contracts
administered by tenants. 
DETAILS 
PLA DECISION CRITERIA 
(1) The assumption will be in favor of employing a PLA when projected construction labor
costs are $5 million or greater 
(2) Project needs for labor continuity and stability, including analysis of labor needs by
trade 
(3) Project complexity, including cost and duration 
(4) Value of having uniform working conditions 
(5) Potential impact of PLA on small business opportunities 
(6) Past labor disputes or issues indicating risk of delay 
(7) Potential PLA impact on project cost 
(8) Project presents specific safety concerns to the public 
(9) Value of an established PLA grievance process to resolve labor-management or
jurisdictional disputes 
(10) Other considerations (identify) 
LABOR POLICY PROPOSAL FOR 3 TYPES OF CONSTRUCTION CONTRACTS 
(1) Port Contracts 
(a) Largely continues per recent practice, with decisions made case by case 
(b) Add presumption of using PLA for contracts with labor value exceeding $5M 
(c) Continue apprenticeship goals and consider locality hiring 

Template revised September 22, 2016.

COMMISSION AGENDA  Action Item No. _6a___                    Page 3 of 3 
Meeting Date: October 25, 2016 

(2) Port Reimbursed 
(a) Encourage employing PLA per Port practice 
(b) Require paying and reporting prevailing wages 
(c) Establish hiring goals for apprenticeship and locality as part of a regional program 
(3) Tenant Funded 
(a) Encourage employing PLA per Port practice 
(b) Require paying and reporting wages prevailing wages 
(c) Establish hiring goals for apprenticeship and locality as part of a regional program 
(d) If a lease solicitation or negotiation featuring the above requirements fails, then
staff will use a modified set of construction labor provisions in the scoring of
proposals. 
ATTACHMENTS TO THIS REQUEST 
(1) Draft Resolution No. 3725 
(2) Draft Resolution No. 3725  Redline version 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
(1) March 8, 2016  Staff Briefing 
(2) September 27, 2016  First Reading of Resolution 3725 










Template revised September 22, 2016.