ITEM NO:       7a_Supp_1___ 
DATE OF MEETING: Sept 27, 2016 
Corporate 
2017 Budget Briefing 
September 27, 2016

2017 is a Growth Year 
Corporate departments are primary supporters of Port
business units 
Port is expanding its reach to create jobs through
growth: 
Outreaching/connecting across the state with cities and counties 
Meeting with businesses (current and new) to spur development 
Interfacing with affinity groups to 
create career growth opportunities 
Generating more public outreach and 
awareness of its efforts in community 
support, tourism, etc. 

Corporate departments support growth across the Port. 
2

2017 is a Growth Year
Capital Spending ($ millions)
$700                          661
603
$600
490
$500
$400
Airport is growing:              $300
$200   156    165    173
$100
44% growth, 7.6% CAGR, since 2012       $0
2014   2015  2016 Fcst  2017   2018   2019
Entering phase of significant capital development 
Maritime is growing 
Expect 9.2% growth in cruise for 2017 
Growing capital asset renewal phase 
Economic Development is poised for growth 
Des Moines Creek Business Park being expanded 
Preparing Lora Lake site for development 
Real estate strategy will spin off growth 

Corporate supports growth of Port business divisions 
3

2017 Key Initiatives/Budget Drivers 
Develop and strengthen Centers of Expertise to leverage capabilities Port wide 
Staff additions and contractor support for Business Intelligence, Security & Preparedness,
and Finance & Budget 
Expand and enhance public outreach to increase awareness of Port's contribution to
regional economic and workforce development 
Public Affairs staff additions and restructuring in 2016, additional funding for advertising
and consulting support in 2017 
Expand high school internship program to increase opportunities for local students 
Human Resources budgeting for 82 high school interns and new internship program
manager 
These interns, combined with planned Port wide college interns and Economic Development
Division's private sector high school career exploration program, will result in approximately
150 interns next year 
Support major division projects and growth initiatives 
Additional Capital Development staff and major expense work supporting Airport
capital development program 
Environmental and Sustainability contracted support for completion of Sustainable
Airport Master Plan (SAMP) 
Police Department expanded staffing to help manage airport drives 

Corporate budget driven by Port wide initiatives and objectives. 
4

Corporate Budget Overview 
With organizational restructuring over the past two years,
Corporate functions have evolved and now include 27
departments: 
Traditional support functions (Accounting, HR, Public Affairs, etc.) 
Police 
Capital Development: formerly a separate division, most costs charged
to capital but also includes major expense projects undertaken on
behalf of operating divisions 
New Centers of Expertise (COEs): 
Business Intelligence 
Finance & Budget 
Security and Preparedness 
Environmental and Sustainability 
Corporate expenses are allocated to the three operating divisions and to
the Northwest Seaport Alliance per service agreements. 

Corporate includes a large and varied set of functions.

2017 Budget Development Approach 
Adjusted 2016 baseline budget created 
Remove one-time/non-recurring items 
Add transfers from other divisions 
Add annualized amounts for recurring staff and other costs added in
2016 
Add incremental pay and benefit costs for adjusted baseline
FTEs 
Review line-item new budget requests from individual
departments, add costs for approved items 

Baseline budget adjusted prior to new additions. 
6

2017 Corporate Budget Summary 
Description (in $000s)                   Amount   %    Notes
2016 Budget                      123,951
Less: One-Time Items                  (4,306)   -3.5% See details in Appendix 1
Add: Budget Transfers from Operating Divisions   429   0.3% See details in Appendix 2
Add: Baseline Increase                  2,260    1.8% See details in Appendix 3
Adjusted Baseline Budget                122,333   -1.3%

2016 Baseline Budget                  122,333
Baseline Increase                     2,334    1.9% 3.5% Average pay for performance increase
Budget Additions                    3,656   3.0% See details on next slide
Sub-Total                         128,323   4.9%
Increase in Capital Development          10,997   9.0% See details in Appendix 4
Increase in Environment & Sustainability      2,513    2.1% SAMP environ. review and advanced plannning
2017 Preliminary Budget                141,833   15.9%

2017 Preliminary Budget                141,833
2016 Budget                      123,951
Increase from 2016 Budget              17,883   14.4%
Corporate adding resources to support the Port's strategic goals and initiatives. 
7

2017 Budget Addition Requests 
(excludes Capital Development and Environmental & Sustainability) 
Department/Description (in $000's)                       Amount
Human Resources
High School interns                                   665
Behavior based safety training                            75
Employee Engagement survey                         50
2017 Leadership Conference                           49
Public Affairs
Additional advertising                                  250
Public outreach consulting support                        105
Increased travel                                     100
Finance & Budget
Consulting support for Corporate budgeting initiative             300
Consulting support for airline lease negotiations (SLOA)           100
Internal Audit
Port ICT systems risk assessment and audit plan                200
Contracted services for construction program audits            180
Security and Preparedness
Contractor support for Port risk assessments and plans           100
Endpoint IT security solution                              55
Port wide emergency supplies                           45
Executive
Gateway Airport Council membership                     63
Other                                          63
Subtotal                                       2,400
New FTEs (see details on next slide)                           1,256
Total                                         3,656
The 2017 new budget additions support the Port's strategic goals and initiatives. 
8

Proposed New FTEs 
No. Dept              Description                                        FTEs
1 Human Resources      High School Internship Program Manager                       1.0 
2 Labor Relations       Labor Relations Manager                                1.0 
3 Police            Converting 8 Part-time Traffic Support Specialists to Full-time            4.0 
4 Business Intelligence    New Customer Research Field Worker FTE                       1.0 
5 Business Intelligence    New Business Intelligence Analyst II FTE                        1.0 
6 ICT              Two New Software Developers                             2.0 
7 ICT              New ICT Project Manager                                1.0 
8 Aviation F&B        New Grant Analyst                                   1.0 
9 Seaport F&B         New FTE for Cost Recovery Activities                          1.0 
10 Security & Preparedness  New Security Analyst/ Engineer                             1.0 
11 Security & Preparedness  New Adminintrative Assistant                              1.0 
12 Security & Preparedness  New Emergency Training & Exercise Program Manager                1.0 
13 Capital Development    New Senior Construction Inspector to support the BHS Project Delivery Team   1.0 
14 Capital Development    Resident Engineer I                                   1.0 
15 Capital Development    Construction Coordinators                               2.0 
16 Capital Development    Construction Coordinator                                1.0 
17 Executive Office       Part-time Executive Assistant                              0.5 
TOTAL                                                     21.5 

New FTEs additions support the Port's strategic goals & initiatives and division needs. 
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2017 Corporate FTEs Summary 
Description                  FTEs  Notes
2016 Budget                818.6
Changes in 2016:
Mid-Year Approvals           9.0  See details in Appendix 3
Eliminated                 -2.0  Labor Relation Director and Int'l Biz Protocol Liaison
Transfer                   6.3  OSR and Airport Community Partnership to PA
2016 Baseline                831.9
2017 Budget Changes:
Eliminated                 -1.3
Proposed New FTEs*         21.5  See details in the previous slide
Net Change               20.2
Proposed FTEs for 2017          852.1

* Does not include the proposed 82 High School interns in HR.

Proposed 2.4% increase in FTEs compared to 2016 Baseline. 
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2017 Major Expense Projects Budgeted by
Capital Development 
No. Major Expense Projects (in $000's)        Amount
1  FlightCorridor Safety Program            3,322
2  Terminal Security Enhancements          4,272
3  Concessions Tenant Support            4,018
4  Air Terminal Tenant Expense Work          630
5  Landside-RCF Tenant Expense Work         250
TOTAL                      12,491


The budget increase in Capital Development is driven by some key expense projects. 
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Corporate 
2017 Capital Budget 
September 27, 2016

Corporate Capital Budget Overview 

2017-2021 
Five Year Capital Plan*        2017    2018    2019    2020    2021    Totals 
Commission Authorized Projects       658       -       -       -       -     658 
Projects Pending Authorization        3,000    3,000    2,500       -       -     8,500 
Pending Future Authorization            -   1,500    2,000    5,000    5,000    13,500 
Small Capital                     4,090    4,416    4,082    4,100    4,192    20,880 
Totals                           7,748    8,916    8,582    9,100    9,192     43,538 
*Excludes ICT Projects Budgeted in Divisions and 
and ICT Portions of PMG Led Projects 

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Corporate Capital Budget 
Commission Authorized/Underway 

2017-2021 
Five Year Capital Plan                 2017   2018   2019   2020   2021   Totals 
Commission Authorized Projects 
Maximo Enhancements & Upgrades      U    178    -     -     -     -   178 
Data Center Ops./Business Continuity     N     480     -      -      -      -   480 
Totals                                   658      -      -      -      -    658 
N = New System or Function U = System Upgrades or Replacements 


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Corporate Capital Budget 
Pending Authorization 
2017-2021 
Five Year Capital Plan*            2017   2018   2019   2020   2021   Totals 
Projects Pending Authorization 
Project Cost Management System      U   900     -     -     -     -     900 
POS Website Redevelopment        U   600     -      -     -     -     600 
PeopleSoft Financial Upgrade         U     -   3,000   2,500      -      -    5,500 
Supplier Database System           N    700      -     -     -     -     700 
Firewall Replacement              U    800      -     -     -     -     800 
Totals                              3,000   3,000   2,500      -      -    8,500 
*Excludes ICT Projects Budgeted in Divisions 
N = New System or Function U = System Upgrades or Replacements 

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Corporate Capital Budget 
Small Capital and 
Future Authorization: ICT Allowance 
2017-2021 
Small Capital                  2017    2018    2019    2020    2021     Totals 
Technology Infrastructure          1,500   1,500   1,500   1,500   1,500     7,500 
Technology Business Applications     1,000   1,000   1,000   1,000   1,000     5,000 
Enterprise GIS Small Capital          250     250     250     250     250     1,250 
Corporate Small Capital            200    200    200    200    200     1,000 
Corporate Fleet Replacement        275    472    349    388    590     2,074 
CDD Small Capital                340    140     108     72    172      832 
CDD Fleet Replacement           525    854    675    690    480     3,224 
Total Small Capital                 4,090   4,416   4,082   4,100   4,192    20,880 
Future Authorization: ICT Allowance 
ICT Allowance                    -   1,500   2,000   5,000   5,000    13,500 
Combined Totals                4,090   5,916   6,082   9,100   9,192    34,380 

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2017 Corporate Budget 
Appendix 
September 27, 2016

Appendix 1: One-Time Items in 2016 
Item Org  Item Description                        Amount Notes
Public Affairs
1 1420 Focus Group Research                   40,000
Human Resources
1 1850 ePerformance Training                   16,390
2 1850 Talent Management Consulting Services           50,000
TOTAL                          66,390
Internal Audit
Hosting the Association of Airport Internal Auditors
1 2280                                50,000
(AAIA) conference
2 2280 ICT Performance Audit                   20,000
3 2280 ACL Software Licensing                   15,000
TOTAL                          85,000
Office of Strategic Initiatives
4 9200 Consultant - Purchasing Transformation         4,000,000
5 9200 LEAN/Efficiency Review (CPO)               65,000
6 9200 Procurement Information System Consultant         50,000
TOTAL                        4,115,000

GRAND TOTAL                  4,306,390

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Appendix 2: Budget Transfers 
Item Org  Item Description                            Amount  Notes
Managed Print Services
1  3000 Aviation to CPO                          281,186 
2  5000 Maritime to CPO                          51,714 
3  7000 EDD to CPO                            35,860 
Subtotal                               368,761
Public Affairs
1 1420 Airmail newsletter and postage                   36,000  Transfer from Noise Program
2 1420 Pacific Northwest Waterways Assoc. membership         13,365  Transfer from Maritime
3 1420 Washington State China Relations Council             10,000  Transfer from Maritime
4 1420 Seattle-Kobe Sister City Association                   30    Transfer from Maritime
Subtotal                                59,395
Human Resources
1 1850 Transfer Emergency Supplies from Pier 69 Facility           500
Subtotal                                  500

TOTAL BUDGET TRANSFERS               428,656 


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Appendix 3: Baseline Increase in 2016 
Item Org   Item Description                             Amount  Notes
Information & Communication Technology
1  1900  FOD (Foreign Object Debris) Detection System          309,000
2  1900  SeaTac Mobile App                         45,000
3  1900  Firewall Upgrade (web filter/threat analysis)             45,000
4  1900  Ops LAN Maintenance                        90,000
5  1900  Data Center Failover                         40,000
6  1900  Intergraph CAD (computer aided dispatch)             30,000
7  1900  Other Net Increases (multiple systems)               85,000
Subtotal                               644,000
Public Affairs
1  1420  Consultant Service for Middle-Class Jobs              175,000
New COEs
1  1510  Business Intelligence                         9,072  Training and other costs for 2 new positions
2  2610  Security & Preparedness                      17,815  New org - no budget in 2016
3  2710  Environment & Sustainability                    102,925  New org - no budget in 2016
Subtotal                               129,812
TOTAL NON-PAYROLL ADJUSTMENTS           948,812
Payroll Adjustments - Approved in 2016
1  1100  Chief Operating Officer
2  2710  Sr. Director, Environment & Sustainability
3  1510  Two Business Intelligence Analysts
4  1100  International Business Protocol Liaison (removed)
5  1400  International Business Protocol Liaison
6  1400  Communications Director
7  1400  Government Affairs Director
8  1510  Jobs Refresh for the new BI CoE
TOTAL PAYROLL ADJUSTMENTS             1,311,373 

GRAND TOTAL                      2,260,185 
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Appendix 4: Capital Development Budget 
Budget 
2015 Actual 2016 Budget 2017 Budget   Change 
FTE                                    259.6     250.8     255.8        5.0
Total Salaries & Benefits                      $ 31,072    $ 33,225   $ 34,146       $921
On-site consultants                         $ 6,341   $ 10,382   $ 19,528     $9,146
Small Works Constr Contracts                  $ 529    $ 2,056   $ 7,231     $5,175
Total Before Capital Charges (+ Int. Trfs)           $ 40,275    $ 49,043   $ 64,193     $15,150
Sal/Wage to Capital                       $ (16,258)   $ (16,712)   $ (16,352)      $360
Dept Exp Chg'd to Capital                       $ 12        0        0         0
Capital Projects OH                        $ (6,958)    $ (8,850)   $ (6,168)     $2,682
On-site consultants to Capital                  $ (6,148)    $ (8,943)   $ (16,138)    ($7,195)
Total Charges to Capital                     $ (29,352)   $ (34,505)   $ (38,658)    ($4,153)
Total Operating Expense                   $ 10,923   $ 14,538   $ 25,535    $10,997

Capital Development budget is driven by divisions' capital and expense projects need. 
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Appendix 5: Corporate Budget by Dept. 
2015     2016     2016     2017   Budget Change  Budget to Forecast
(in $000's)                            Actual     Budget    Forecast     Budget     $ %       $ %
REVENUES
Total Revenues                    730      570      570      367     (203) -35.6%    (203) -35.6%
EXPENSES
Executive                         2,198     1,569     1,649     1,944      375  23.9%     295  17.9%
Commission                    1,270     1,635     1,537     1,543      (92)  -5.6%      6    0.4%
Legal                            3,501     3,219     3,419     3,288       69   2.1%     (131)  -3.8%
Public Affairs                          4,429      6,447      6,340      7,669      1,221   18.9%    1,329   21.0%
Human Resources                 6,720     7,634     7,077     9,035     1,402  18.4%   1,958  27.7%
Labor Relations                      1,191     1,126     1,130     1,313      187  16.6%     183  16.2%
Internal Audit                         1,280      1,620      1,603      1,970       350   21.6%     367   22.9%
Office of Strategic Initiatives               3,487      9,059      8,459      6,264     (2,795)       -30.8%    (2,195)       -25.9%
Police                            20,990     23,587     23,568     23,884       297   1.3%     316   1.3%
Contingency                       653         500         400         250        (250) -50.0%    (150) -37.5%
Finance
Accounting & Financial Reporting         6,780     7,570     7,134     7,763      194   2.6%     630   8.8%
Information & Comm. Technology       20,998    21,160    21,160    22,420     1,261   6.0%    1,261   6.0%
Finance & Budget                  4,805     4,933     4,813     5,906      973  19.7%    1,092  22.7%
Finance & Budget                 1,692     1,802     1,674     2,181      379  21.0%     506  30.2%
Aviation Finance & Budget            1,955     1,932     1,940     2,217      285  14.8%     277  14.3%
Maritime Finance & Budget           1,158     1,199     1,199     1,508      309  25.8%     309  25.8%
Business Intelligence -     917     1,077   1,458   542 59.1%   381 35.4%
Risk Services                       3,217      3,449      3,435      3,470        22   0.6%      35   1.0%
Subtotal                      35,799     38,027     37,619     41,018     2,991   7.9%    3,399   9.0%
Security & Preparedness
Security & Preparedness Admin - - -       464       464  0.0%    464  0.0%
ICT Information Security                889          894          894         1,041       147  16.4%     147   41.1%
Emergency Management             325        393        358        559        166  42.4%    201 125.2%
Maritime Security                    153          161          161 -        (161) -100.0%     (161) -100.0%
Subtotal                       1,367     1,448     1,413     2,065      617  42.6%     652  46.1%
TOTAL before CD and Environ.          82,884    95,871    94,214    100,243     4,372   4.6%    6,029   6.4%
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Appendix 5: Corporate Budget by Dept. 
2015     2016     2016     2017   Budget Change  Budget to Forecast
(in $000's)                            Actual     Budget    Forecast     Budget     $ %       $ %
EXPENSES
TOTAL before CD and Environ.          82,884    95,871    94,214    100,243     4,372   4.6%    6,029   6.4%
Capital Development
Engineering                      4,300     5,913     4,896     7,092     1,179  19.9%    2,196  44.8%
Port Construction Services             3,565      2,862      2,747      4,079     1,217  42.5%    1,332   48.5%
Aviation PMG                   1,610     4,543     4,664    13,005     8,462 186.2%    8,341  178.8%
Seaport PMG                  1,019      789        912        912        123  15.6%     -    0.0%
Capital Development Admin            428         430         430         447          17   4.0%      17   4.0%
Subtotal                      10,923     14,538     13,650     25,535    10,997       75.6%   11,885       87.1%
Environment & Sustainability
Environment & Sustainability Admin - -        50     523        523  0.0%    473   n/a
Aviation Environmental & Planning        7,148     10,064     7,713     12,425     2,361  23.5%    4,712  61.1%
Maritime Environmental & Planning       3,345     2,587     2,587     2,385      (202)  -7.8%     (202)  -7.8%
Noise Program                    677         891         821         723        (168) -18.8%     (98) -11.9%
Subtotal                      11,170     13,542     11,172     16,056     2,513  18.6%    4,884  43.7%
TOTAL                    104,952   123,951   119,035   141,833   17,883  14.4%  22,798  19.2%


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