6a memo

PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      6a 
ACTION ITEM 
Date of Meeting    September 30, 2014 
DATE:    September 22, 2014 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:   Michael Ehl, Director, Aviation Operations 
SUBJECT:  Centralized International Support Services for the Federal Inspection Services area
at Seattle-Tacoma International Airport 
Amount of This Request:        $8,700,000   Source of Funds:  Airport Development
Fund 
Est. State and Local               N/A 
Taxes: 
Est. Contract Value:     $8,700,000 (5 years) 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to execute a contract for
Centralized International Support Services in the Federal Inspection Services (FIS) facility at the
Seattle-Tacoma International Airport for up to five years for an estimated amount of $8,700,000. 
SYNOPSIS 
To accommodate the increasing number of international flights within the constrained physical
space of the 41-year-old FIS, the international airlines have requested that the Port establish a
unified contract to provide centralized passenger and baggage services as described within this
request. These services include baggage handling; crowd control and queue management; 
holding passengers; assisting with language translation, documents, and automated systems; and
providing access control to a restricted area in the South Satellite known as the non-sterile
corridor. Many of these functions today are provided by individual service companies; some
under contract to the airlines while others are performed directly or are overseen by airline or
Port employees. This request for centralized international support services will consolidate the
majority of these activities under a single contract managed by Port staff, providing for increased
passenger satisfaction, more efficient operation, and greater accountability on the part of the
service provider. The 2015 operating expense is estimated at $1,613,000 for this service, based
upon wage rates specified in Resolution No. 3694. 
BACKGROUND 
The Airport's existing and aging international arrivals facility is located in the South Satellite. It
was originally designed to accommodate no more than two simultaneous widebody aircraft

Template revised May 30, 2013.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
September 22, 2014 
Page 2 of 4 
arrivals. Today, up to 11 flights are arriving during the noon peak period while international air
service into the Airport continues to grow in both passenger volume and the number of routes
served. The Airport currently experiences three specific peaks: morning, noon and evening, 
though the noon peak continues to be the largest. 
In 2012, the Port held passengers from 101 flights, either on board the arriving aircraft or in the
international corridor after disembarking because of limited capacity. In 2013, 376 flights were
held. To date in 2014, over 400 flights have been held and the trend continues. This caused
delays ranging from 5 to 67 minutes before passengers were allowed to enter the FIS passport
control area. Holding passengers on-board an inbound aircraft can cause a delay to the departing
flight, which is unacceptably expensive to airlines and results in a series of chain reactions for
passengers and aircraft. In all cases, holding passengers causes a significant inconvenience for
travelers anxious to disembark after a flight that may have been 10, 12 or even 14 hours in
duration. Port staff expect that hold-in-corridor times will continue to increase due to new daily
services from Delta Air Lines and increased service of other carriers. 
The new International Arrivals Facility (IAF) is targeted for completion in late 2018 and the
Airport continues to make minor improvements to the existing FIS facility. However, these
improvements will not eliminate the need for the requested contract services in the existing FIS. 
PROJECT JUSTIFICATION AND DETAILS 
Centralized international support services are needed for public safety, efficiency of airline and
Customs and Border Protection (CBP) operations, as well as passenger convenience and
experience at Sea-Tac. The airlines have requested that the Port assume management of these
services under a unified contract. 
The Airport's Manager of International Operations currently oversees emergency contracts for
these operations with support from one supervisor (International Operations Supervisor). At the
airlines' request, this proposal extends the Port's existing managerial oversight to include the
contractual and financial oversight that previously rested with the airlines. This will make the
service provider contractually accountable to the Port for performance and staffing levels.  The
request also provides staffing to support new programs to improve processing such as automated
passport control (APC) and mobile passport control (MPC). 
Scope of Work 
The scope of work for this contract includes passenger services and baggage services. 
Passenger Services include customer service, foreign language interpretation, crowd control,
queue management, holding flights and passengers, access control and assisting passengers with
CBP documents and new automated passport control technologies. This service significantly
increases  the processing rate through passport control and reduces costly hold-on-board
situations by providing the necessary staff to accommodate waiting passengers inside the
terminal rather than on board the aircraft. In addition, the newer automated technologies, like
APC kiosks, require staff to assist passengers with using these technologies. The n umber of staff

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
September 22, 2014 
Page 3 of 4 
required for this assistance is lower than the number of CBP officers it would require to process
the same number of passengers yet keeps throughput rates high and extends use of APC kiosks
from U.S. and Canadian citizens alone to the wider constituency of foreign passport holders not
requiring visas. Without these services, passengers would experience slower processing through
the FIS, increased danger and liability with overcrowding in passport control and the Customs
baggage claim, increased confusion, and an increase in hold-on-boards with a corresponding 
increase in departures delays. 
Baggage Services include repositioning baggage at FIS carousels to maximize capacity, assisting
passengers with placing baggage on the recheck belts, recirculating the baggage carts, and
manually handling baggage too large to fit through the conveyor belt systems. These controls
are needed to keep baggage moving into and out of the FIS facility. Without these services the
delivery of baggage to claim devices would not be coordinated with the arrival of passengers to
claim the baggage. The result would be jammed claim devices and dangerous crowding in the
Customs hall. Experience has shown that without assistance from service personnel, passengers
arriving from overseas destinations are confused about where to recheck their bags for their
connecting flights  and frequently place them  on the conveyor belts serving  terminating
passengers and vice versa.  Without staff assistance, passengers attempt to carry multiple,
oversized bags onto the Satellite Transit System (STS) train, slowing down the boarding process
and causing dangerous conditions on escalators at the main terminal train station. 
FINANCIAL IMPLICATIONS 
Budget Status and Source of Funds 
The proposed 2015 operating budget includes $1,612,512 for this service. This represents an
increase of approximately $680,000 over the costs included in the 2014 operating budget. The
increase is caused by a combination of scope additions and costs increases due to Resolution
No. 3694. The cost of future contract payments will be included annually as specific line items
in the Aviation Operations expense budget. The funding source is the Airport Development
Fund. The total impact of this contract on 2015 CPE is approximately $0.08. The impact on the
FIS rate is approximately $1.00. 
STRATEGIES AND OBJECTIVES 
This request supports the Port's Century Agenda objective to advance the region as a leading
tourism destination and business gateway. Specifically, providing these services for arriving
international passengers, supports making Seattle-Tacoma International Airport the West Coast
"Gateway of Choice" for international travel and supports the goal to double the number of
international flights and destinations. 
This request also supports the Aviation Division's strategic objective to accommodate growth in
international operations until the new IAF is completed.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
September 22, 2014 
Page 4 of 4 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Do nothing. The Port extends the existing contracts that were not competitively
bid, are costly, do not provide all needed services, and are not adequate for future growth. This
option does not provide the economy of combining multiple services under a single supplier and
would be more expensive and would not provide flexibility for seasonal adjustments in labor
requirements. This is not the recommended alternative. 
Alternative 2)  The Port cancels existing contracts in favor of the airlines establishing a
consortium to manage the contracts. The airlines have previously dissolved consortiums and are
unwilling to assume these services. The lack of services would result in a complete degradation
of operations in the FIS, extensive passenger and airline delays, and a major loss of passenger
experience. This is not the recommended alternative. 
Alternative 3)  The Port assumes provision of baggage handling and passenger services
through a unified contract with a single service provider. This option provides for competitive
bidding, potentially lower rates, improved services, and the flexibility to expand with future
growth. This is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
None. 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None.

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