PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA              Item No.      5d 
ACTION ITEM             Date of Meeting    August 6, 2013 

DATE:    July 29, 2013 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:   Mike Ehl, Director, Airport Operations 
Wayne Grotheer, Director, Aviation Project Management Group 
SUBJECT:  Cargo 2-West Hardstand Expansion at Seattle-Tacoma International Airport:
FAA Agreement for Antenna Relocation (CIP #C800247) 

Amount of This Request:      $300,000    Source of Funds:    Airport Development 
Fund 
Est. Total Project Cost:      $12,430,000 
Est. State and Local Taxes:        N/A    Est. Jobs Created:   TBD 

ACTION REQUESTED 
Request Commission authorization (1) for the Chief Executive Officer to execute a contract with
the Federal Aviation Administration (FAA) for relocation of the Airport Surface Detection
Equipment Model X Remote Unit Number 7 (ASDE-X RU No. 7) antenna as part of the Cargo 2
West Hardstand Expansion project at Seattle-Tacoma International Airport, at a cost not to
exceed $600,000 and (2) for an additional $300,000 in expense funds. 
SYNOPSIS 
The relocation of the FAA's ASDE-X RU No. 7 antenna is required for construction of the
Cargo 2 Hardstand Expansion project. This project directly supports the Century Agenda
objective of tripling air cargo volume over the next 25 years. It will provide additional apron
space for two 747-8 freighters to be loaded simultaneously at Cargo 2 West. The current
configuration requires two parking positions for one 747-8F to be loaded/unloaded. 
The Commission authorized the execution of a contract with the FAA to relocate the antenna for
an amount not to exceed $300,000 on December 4, 2012. T he $300,000 authorization was based
on a high-level estimate from the FAA. Port staff indicated that staff would return to the
Commission to seek additional budget authorization should the estimate of total cost for the
relocation of the antenna exceed $300,000. 
The FAA has since performed preliminary engineering and developed a more detailed scope for
the relocation  and has  determined that providing communication to the antenna is more

Template revised May 30, 2013.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
July 29, 2013 
Page 2 of 6 
challenging than initially anticipated and that the new antenna needs to be operational before the
old antenna can be deactivated. Although the estimate is not yet complete, the FAA now
indicates that the relocation cost will be in the $500,000 range.  A $600,000 total is being
requested to ensure there is adequate budget to proceed. 
The capital portion of the project was included in the 2013-2017 capital budget and plan of
finance. The cost of the antenna relocation was not included in the 2013 operating expense
budget; however, this unplanned cost will be absorbed in the existing 2013 budget. 
BACKGROUND 
The existing Cargo 2 hardstand is too short to accommodate straight-in parking for certain types
of cargo loading operations. The current nose-load parking position line has to be angled, and
the 747-8F line must be configured east to west across two hardstands.  This results in an
inefficient use of the ramp by taking up two parking positions for a single operation and reducing
overall capacity. 
All existing hardstands have limited space in front of parked aircraft to allow for cargo/ground
service equipment (GSE) staging. Consequently, cargo and GSE end up staged on either side of
the aircraft, impinging on adjacent hardstands. 
The Cargo 2 project will provide additional concrete apron space to enlarge the western cargo
hardstand toward the north, which will provide enough room for two simultaneous straight-in
wide-body freighter nose-load operations by aircraft, including the 747-8F. The larger ramp area
will allow the taxilane to be moved to the north and provide better maneuverability and increased
operational room for users of both Cargo 2 and Cargo 3 ramps.
ProLogis has a ground lease in the Cargo 2 area and owns two buildings there, one of which will
require demolition. The lease requires a one-year notice prior to termination and compensation
for the unamortized value of the buildings.  The notice of lease termination was given to
ProLogis on October 3, 2012. The building that is to be demolished is occupied by a tenant,
Cargo Airport Services, which will be relocated prior to construction. The FAA ASDE-X RU
No. 7 antenna is located on top of the building and will require relocation prior to building
demolition.
The ASDE-X RU No. 7 antenna is one of nine similar antennas on the airfield. These antennas
are vital during night and low visibility conditions (such as fog) to ensure that pilots and the air
traffic control tower operators know the exact location of aircraft and vehicles as they move
across the airfield movement areas and as other aircraft take off or land. The entire set of ASDEX
antennas comprises a valuable safety system for the Airport.
In order to keep the combined Cargo 2, 5, and 6 projects on schedule for a 2014 completion,
authorization of additional funds are necessary so the Port can enter into an agreement with the
FAA and complete the relocation of the antenna in advance of the Port's construction at Cargo 2.
Once the final cost estimate for design, construction, and installation of the antenna in a new

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
July 29, 2013 
Page 3 of 6 
location is established, the Port will modify the agreement with the FAA and transfer additional
funds to the FAA so the remaining work can be performed.
REQUEST JUSTIFICATION 
The relocation of this antenna is the critical element and pre-requisite for the remainder of the
project to begin. The relocation cannot move forward until we have a signed agreement and
adequate funding approved. The FAA's preliminary engineering has developed amore detailed
scope resulting in a higher estimate than initially anticipated. Additional funding approval is
needed before agreement can be executed with the FAA. 
Request Objectives: 
Funding approval in order to move forward with a Reimbursable Agreement between the
Port of Seattle and the FAA 
Meeting schedule deadlines to provide Cargo 2 Hardstand completion to project sponsors 
Scope of Work: 
Final agreement between FAA and Port of Seattle 
Relocation of ASDE-X RU7 Antenna 
Demolition of cargo building 
Construction of Cargo 2 hardstand expansion 

Schedule 
Commission Authorization to Terminate Lease and 100% Design     September   2012 
Lease Termination Notice                              October     2012 
Commission Authorization to Execute an Agreement with the FAA    December   2012 
Commission Authorization to Advertise                     August     2013 
Advertise                                       September   2013 
Building Acquisition                                  October     2013 
Tenant Relocation Complete                            December    2013 
FAA Antenna Relocation Complete                      April      2014 
Notice to Proceed                                    January     2014 
Construction Complete                              November   2014

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
July 29, 2013 
Page 4 of 6 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary             Capital      Expense   Total Project 
Original Budget                       $13,300,000      $300,000   $13,600,000 
Budget Decrease                     (1,470,000)          $0   (1,470,000) 
Revised Budget                      $11,830,000      $300,000   $12,130,000 
Previous Authorizations                  $2,410,000      $300,000    $2,710,000 
Current request for authorization                  $0      $300,000     $300,000 
Total Authorizations, including this request      $2,410,000      $600,000    $3,010,000 
Remaining budget to be authorized          $9,420,000          $0   $9,420,000 
Total Estimated Project Cost               $11,830,000      $600,000   $12,430,000 
Project Cost Breakdown                     This Request       Total Project 
Construction                                     $0         $7,600,000 
ASDE-X RU7 Relocation                    $300,000         $600,000 
Construction Management                         $0         $960,000 
Design                                       $0          $500,000 
Project Management                             $0         $450,000
Permitting                                      $0           $10,000 
Lease Buy-out                                 $0         $1,580,000 
State & Local Taxes (estimated)                        $0          $730,000 
Total                                           $0         $12,430,000 
Budget Status and Source of Funds 
Cargo 2West Hardstand Expansion (CIP #C800247) is included in the 2013-2017 capital
budget and plan of finance. Operating expenses will occur in 2013 and will be absorbed within
the Aviation Division approved operating budget.  The source of funds for this expense
component of the project will be the Airport Development Fund. The capital portions of the
project will be funded with the Airport Development Fund and future revenue bonds. Consistent
with the Port's plan of finance, the Airport anticipates issuing revenue bonds in 2014 to fund this
project and a number of others.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
July 29, 2013 
Page 5 of 6 
Financial Analysis and Summary 
CIP Category                   Revenue/Capacity Growth 
Project Type                    Business Expansion 
Risk adjusted Discount rate           N/A 
Key risk factors                    N/A 
Project cost for analysis               $12,430,000 
Business Unit (BU)                 Airfield 
Effect on business performance         NOI after depreciation will increase since
capital and operating costs will be recovered
through landing fees 
IRR/NPV                  N/A 
CPE Impact                  $0.06 in 2015; however, no change from
business plan forecast as this project was
included. 
The cost of moving the antenna will result in an
increase in CPE of approximately $.03 in 2013. 
The revenues as well as the operating and capital costs associated with the cargo business unit
are included in the airfield cost center. The net impact of the cargo business unit, including this
investment, reduces the landing fee charged to all airlines. 
STRATEGIES AND OBJECTIVES 
Relocation of the antenna supports a project that is consistent with and necessary for the
implementation of the Port's Century Agenda goals that call for tripling air cargo volume over
25 years. 
This project supports the Aviation Business Plan strategy to operate a world-class airport by
anticipating and meeting the needs of our tenants, passengers, and the region's economy by
expanding and modernizing existing on-airport cargo facilities. 
TRIPLE BOTTOM LINE SUMMARY 
Economic Development 
The antenna relocation facilitates a project to improve two hardstands in Cargo 2 area to
accommodate the increased size and frequency of wide-body cargo aircraft to increase the
Airport's ability to retain and attract key cargo customers, whowant to operate the larger and
more efficient newly available freighters.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
July 29, 2013 
Page 6 of 6 
Environmental Responsibility 
The Cargo 2 project supported by the antenna relocation will also reduce airfield carbon and
other gas emissions by providing electrical power as an alternative to fuel-powered generator
operations. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1 - Do Nothing: This alternative would not relocate the FAA ASDE-X RU
No. 7 antenna, which would prevent the demolition of the building at the Cargo 2 area
that must occur prior to the expansion of the hardstand.  This would not promote air
cargo growth and the associated economic development, and does not align with
Commission Century Agenda goals. This alternative is not recommended. 
Alternative 2  Enter into an agreement with the FAA for relocation of the ASDE-X RU
No 7 antenna and allow the Cargo 2-West Hardstand Expansion to occur.  This
alternative is consistent with the goals of the Century Agenda for promoting growth in
air cargo by alleviating capacity constraints, and is consistent with the Airport's
Comprehensive Development Plan (CDP). This is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
None. 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
December 4, 2012  the Port Commission authorized the Chief Executive Officer to
execute a contract with the FAA for relocation of the Airport Surface Detection
Equipment Model X Remote Unit Number 7 (ASDE-X RU No. 7) antenna at Seattle-
Tacoma International Airport, at a cost not to exceed $300,000. 
September 25, 2012  the Port Commission authorized the Chief Executive Officer to 1)
design and prepare construction documents for the demolition of a cargo building
(Building 2) and for the enlargement of the hardstand in the Cargo 2 West area in the
amount of $830,000 and 2) to terminate the lease containing two cargo buildings in the
Cargo 1 and Cargo 2 areas owned by ProLogis at Seattle-Tacoma International Airport
at a cost not to exceed $1,580,000.