PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      6b 
ACTION ITEM 
Date of Meeting    February 25, 2014 
DATE:    February 18, 2014 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:   Nick Milos, Manager, Corporate Facilities 
Rod Jackson, Capital Construction Project Manager 
SUBJECT:  Pier 69 Built-Up Roof Project Construction (CIP #C880314) 
Amount of This Request:   $2,973,000   Source of Funds:   General Fund (Seaport), Tax
Levy (Real Estate), and
Est. Total Project Cost:     $3,418,000 
Airport Development Fund 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to advertise for construction
bids, execute construction contracts, and fund the construction phase to complete the Pier 69
Built-Up Roof Project for a total estimated project cost of $3,418,000. 
SYNOPSIS 
Approval of this authorization request will move the Pier 69 Built-Up Roof Project into its
construction phase. The roof at Pier 69 consists of three different roofing systems: built-up,
metal, and membrane. The built-up and metal systems cover approximately the same area: 
32,394 each. The built -up section has been developing an increasing number of blisters; water
ponding has increased; and several minor leaks have occurred in the past few years. A 2008
condition assessment indicated the built-up system was near the end of its serviceable life, and an
additional assessment in 2012 concluded it was beyond its useful life. Design for replacement of
the built-up system is complete, and the project is ready to move into the construction phase. 
This project is included in the 2014 budget and plan of finance. 
BACKGROUND 
The Pier 69 building is the corporate headquarters for the Port of Seattle. In addition, the
building has several tenants including Clipper Navigation, Inc., Arctic Storm Management
Group, the U.S. Coast Guard, and Concourse Concessions. The building underwent a major
renovation in the early 1990s and is in good condition. The roof is approximately 22 years old.
The built-up section is in poor condition, while the metal and membrane roof systems have
performed quite well and have had no leaks. 
A roofing consultant was retained in 2008 to evaluate the condition of the roofing systems. The
condition assessment provided approximations for the remaining service life and maintenance

Template revised May 30, 2013.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 18, 2014 
Page 2 of 5 
suggestions for both systems. The suggested maintenance was performed and an ongoing
maintenance program is in place. A 2012 assessment concluded that the built-up section should
be replaced within two years. 
PROJECT JUSTIFICATION AND DETAILS 
The built-up roof system is at the end of the design service life. Replacing the system now will
prevent leaks, potential damage to other building systems,  and disruption of operations.
Installation of a fall protection system will allow maintenance workers to perform work in a safe
manner in compliance with Department of Labor and Industries requirements. 
Project Objectives 
Install a new roofing system on a Port-owned asset 
Preserve the structural integrity of the building structure 
Complete the project on time and within budget 
Incorporate environmentally sustainable practices during construction where practical 
Minimize disruptions to facility operations and occupants 
Scope of Work 
Remove existing asphalt roofing, cover-board, and insulation 
Remove existing base flashings and install parapet cladding 
Install a new built-up roofing system to replace the existing system 
Install additional roof insulation and tapered insulation in compliance with current
building codes and requirements, bringing insulation values to a minimum of R-38 
Install a fluid membrane on the walkway in the saw-tooth valleys 
Clean exposed concrete beams and install stainless steel flashings 
Repair coating delamination on several sections of the metal roof 
Repair several skylights 
Include environmentally sustainable components and construction methods such as
increased insulation value, reflective cap sheets, and specification of a longer lasting roof
system. 
Install new fall protection system.
Schedule 
The anticipated schedule for the project will include construction during the summer of 2014.
The following table contains the major schedule elements. 
Start           Finish 
Commission Authorization for Construction         February 2014    February 2014 
Advertise and Award                      February 2014       April 2014 
Construction                                May 2014     October 2014 
Closeout                                October 2014      March 2015

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 18, 2014 
Page 3 of 5 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary              Capital     Expense   Total Project 
Original Budget                            $0          $0          $0 
Previous Authorizations                  $445,000          $0      $445,000 
Current request for authorization            $2,973,000          $0    $2,973,000 
Total Authorizations, including this request     $3,418,000          $0    $3,418,000 
Remaining budget to be authorized               $0          $0          $0 
Total Estimated Project Cost              $3,418,000          $0    $3,418,000 
Project Cost Breakdown                  This Request       Total Project 
Construction                            $2,655,000         $2,657,000 
Construction Management                   $67,000         $213,000 
Design                                    $0         $200,000 
Project Management                          $0         $85,000
Permitting                                   $0           $12,000 
State & Local Taxes (estimated)                $251,000          $251,000 
Total                                  $2,973,000         $3,418,000 
Budget Status and Source of Funds 
The Pier 69 Built-up Roof Replacement project (CIP #C800314) was included in the 2014 Draft
Plan of Finance as a committed project in the amount of $2,012,000 including actual and
forecasted amounts expended in 2012 and 2013, respectively. The estimated additional
$1,406,000 needed to complete this project will be available due to timing delays in other
projects as well as budget amounts included in other contingency projects. 
Since Pier 69 is the corporate headquarters for the Port, the funding for the project is allocated
between the General Fund (Seaport), Tax Levy (Real Estate), and the Airport Development
Fund. 
Financial Analysis and Summary 
CIP Category          Renewal/Enhancement 
Project Type           Renewal & Replacement 
Risk adjusted discount rate  N/A 
Key risk factors          Project cost could vary from current estimate. 
Project cost for analysis     $3,418,000 
Business Unit (BU)        Aviation, Seaport, and Real Estate Divisions

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 18, 2014 
Page 4 of 5 
Effect on business        This asset replacement project will not generate any
performance           incremental revenue. 
Incremental depreciation expense from this project is
estimated at $113,933 per year, based on a 30-year asset life.
Net Operating Income will decrease by the associated
depreciation from this project. 
IRR/NPV           NPV is the present value of the project cost. 
Lifecycle Cost and Savings 
A lifecycle cost analysis was performed using the Whole Building Design Guide
(www.wbdg.org) and a design life ranging from 20-30 years. The analysis indicated that the best
return on investment is a roof with a 30-year service life. 
STRATEGIES AND OBJECTIVES 
The project is consistent with Century Agenda objectives to optimize infrastructure investment
and financial stewardship by preserving the life of a Port asset. I t supports economic growth and
vitality by preserving existing jobs and commerce. I t also advances the objective of becoming
the greenest and most energy-efficient North American port by reducing pollutants and
increasing energy efficiency. 
Economic Development 
Replacing the roof protects the asset and maintains the expected service life of the building with
minimal disruption to Port and tenant operations. The project allows Port and tenant operations
to function relatively uninterrupted thereby maintaining jobs, commerce, and revenues. 
Environmental Responsibility 
The following environmentally sustainable components and activities investigated during the
design phase will be incorporated into the new roof system. 
Increase Insulation Value: Existing insulation base level on the roof is R-21. This
project will increase the insulation value by R-17, bringing the value to a code-required
R-38. In addition, the project will add tapered insulation, which will increase the total
value to approximately R-50 at the high points, which will reduce energy costs.
Reflective Capsheets: The project will specify the utilization of reflective cap sheets that
are rated by the Cool Roof Rating Council or are Energy Star certified. This will reduce
energy costs.
Recycling Demolished Material: The bid documents will specify that the contractor
recycle the existing metal copings, viable gypsum roof board, and insulation. This will
divert valuable materials from landfills.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 18, 2014 
Page 5 of 5 
Stainless Steel: All roof copings will be passivated stainless steel instead of prefinished
galvanized steel to eliminate zinc leachate into the water via runoff. 
Community Benefits 
The project manager and Central Procurement Office will coordinate with the Office of Social
Responsibility  to determine opportunities for  small business participation in support of
Resolution No. 3618. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Wait to replace the roof until leaks increase or failure occurs. The risk of this
approach is that emergency repairs would likely cause significant disruption to Port and tenant
operations. Damage to insulation, roof support structure, and interior equipment and finishes 
could also occur,  further increasing the replacement cost.  This is not the recommended
alternative. 
Alternative 2)  Delay the replacement for one to two years to extend the existing service.
During this time, additional monitoring and spot repairs would be performed as needed.  The
risk of selecting this alternative is threefold: (1) increased costs for inspection and maintenance;
(2) potential damage to insulation and roof support structure; and (3) potential escalation of
construction costs that may exceed the savings gained by attempting to extend the service life of
the roof. In addition there is the risk that certain elements of the design may no longer be valid
due to potential changes in the building code and construction materials. This is not the
recommended alternative.
Alternative 3)   Total lifecycle costs were analyzed for roof systems with design lives ranging
from 20 to 30 years. The roof system with a 30-year design life has the lowest total cost of
ownership and is the recommended replacement roof system. Replacement of the roof now will
reduce the risk of a major roofing system failure, improve the energy efficiency of the roof, and
reduce the risk of emergency repair costs and disruption of operations.
This is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
PowerPoint presentation 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
On June 26, 2012, the Port Commission approved $404,000 for the design and
permitting phase of the Pier 69 Built-Up Roof Replacement project (CIP #800314) for a
total authorization of $445,000.