AGENDA MEMORANDUM                Item No.       4b 
ACTION ITEM                   Date of Meeting     August 8, 2017 
DATE:    August 2, 2017 
TO:     Dave Soike, Interim Executive Director 
FROM:   Kenneth R. Lyles, Director, Fishing and Commercial Operations 
Mark Longridge, Capital Project Manager, Seaport Project Management 
SUBJECT:  Authorization for construction of fender system improvements at 
Terminal 91 Berths G & H (CIP # C800675) 
Amount of this request:          $3,742,000 
Total estimated project cost:       $4,100,000 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to advertise and award a major
public works contract for replacement of 420 feet of fender system at Terminal 91 Berths G and
H in an amount not to exceed $3,742,000 for a total estimated project cost of $4,100,000.
EXECUTIVE SUMMARY 
This project will remove and replace the current timber fender system of berths G & H on the
south end of Terminal 91. Replacing the fender system with a stronger, more environmentally
friendly steel system will allow the berth to continue to service a variety of vessel types and
sizes, extending utilization of the pier for another 30 plus years and fostering tenant retention
and related employment. 
The berths at the southernmost end of Terminal 91 are used primarily for fishing vessels, but
also service research vessels, tugs and barges. The current fender system was installed in 1999
and has been repaired several times since then. It is now reaching the end of its service life.
Several piles are deteriorated or broken and the loading capacity of the system is becoming
significantly compromised. 
JUSTIFICATION 
This project supports the Port's strategies to "Position the Puget Sound region as a premier
international logistics hub" and "Be the greenest, and most energy efficient port in North
America," in the following categories: 
Economic Development 
Replacing the fender system at the subject Terminal so that the Terminal can remain in
service for berthing. 

Template revised September 22, 2016.

COMMISSION AGENDA  Action Item No. 4b                       Page 2 of 6 
Meeting Date: August 8, 2017 
Developing and maintaining community support by retaining longstanding tenants in
our harbor, with the related employment and the necessary purchasing of goods and
services to service, maintain, repair and upgrade the vessel while at port. 
Environmental Responsibility 
Improving water quality by removing deteriorated treated timber piles from the marine
environment. 
Installing a durable coated steel system, providing the greatest economic benefit at the
least environmental impact. 
Community Benefits 
Conducting community outreach - The permit process requires notification of and
coordination with neighboring communities, agencies of interest and appropriate
environmental groups. Comment is expected and welcomed. 
Engaging with tribal partners - Additionally, the waters near Terminal 91 are treaty
reserved "usual and accustomed" fishing areas. The Muckleshoot and Suquamish Tribes
will be consulted during the permitting process. 
Small Business 
The project team will coordinate with the Office of Social Responsibility to determine
where opportunities exist for small business participation as direct contracts or through
subcontract opportunities. 
DETAILS 
Throughout the last several years and at many of our facilities, the Port has been replacing
aging treated timber systems, as they reach the end of their life, and replacing them with
coated steel systems that are longer lasting, more environmentally friendly and stronger than
the timber systems they replace. 
The current fender pile system at these berths consists of approximately 47 ammoniacal copper
zinc arsenate (ACZA) treated piles, chocks and walers, in a conventional arrangement typical of
timber fender systems. While environmentally superior to traditional creosote piles used in the
past, these piles do not have a relatively long service life under harsh conditions. Several of the
piles currently are broken, rotted or have significant section loss around the waterline. 
The south end of Pier 91 presents additional challenges as it is one of the highest fetch
locations (having the longest direct wind and resulting wave exposure) throughout Elliott Bay.
As a result of these conditions, we have seen accelerated wear of the current timber system
due to chafing and abrasion of the pile faces. Providing a stronger wear face of high density
polyethylene (HDPE or similar) will also be a design priority to ensure a long life for the new
system. 

Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 4b                       Page 3 of 6 
Meeting Date: August 8, 2017 
Scope of Work 
Overall project scope includes the replacement of 420 linear feet of old and deteriorated fender
pile system, along with the remaining bullrail and brow at the south end of Pier 91, with a new
galvanized steel fender system to facilitate vessel and barge moorage for existing lease tenants
and transitory barge and ship traffic. The fender system will consist of approximately 47 steel
piles placed by vibratory driving methods, topped by an upper steel waler and fender rubber
sections to tie the fender system to the pier. 
The contract documents for this work will allow for construction of the project from either the
land or water side of the pier to maximize the number of eligible bidders.
The construction contract activities include: 
(1)   Removal of the existing timber fender system 
(2)   Installation of the new steel piles 
(3)   Assembly of the upper fender sections to tie the new piles to the pier 
All pile driving work for this project will use vibratory methods and will conform with the
requirements of the Port's existing programmatic permit for pile replacement. 
Schedule 
All in-water work for the installation of the new piles must be completed within the permitted
fish window, between August 15, 2017 and February 15, 2018, while above water work may be
completed after this time (upper bullrail work etc.). This construction window falls during some
of the busiest time for these berths, when fishing vessels are in port for refitting and
maintenance, and it is expected that operational constraints may further tighten the time the
job site is available for construction. The project team will work closely with operations staff to
minimize any impacts to both the construction and operations schedules. 
Activity 
Commission design authorization          April 2016 
Design start                          May 2016 
Commission construction authorization       August 2017 
Construction start                      October 2017 
In-use date                          March 2018 
Cost Breakdown                         This Request       Total Project 
Construction                               $3,150,000         $3,150,000 
Construction Management                    $130,000         $185,000 
Design                                      $45,000          $185,000 
Project Management                        $35,000         $170,000 


Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 4b                       Page 4 of 6 
Meeting Date: August 8, 2017 
Permitting                                  $32,000           $60,000 
State & Local Taxes (estimated)                    $350,000          $350,000 
Total                                     $3,742,000         $4,100,000 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1  Continue to use the system in its current condition and maintain as needed,
including broken pile replacements.
Cost Implications: Potential ad hoc pile replacements estimated at $20,000-50,000 each,
approximately 8-10 need immediate attention to keep the berth functional. Subsequent
replacement costs would be as shown in alternatives below, but adjusted upwards for inflation. 
Pros: 
(1) No capital funding required and leaves capital funds available for other projects. 
Cons: 
(1) Increased maintenance and emergency repair response costs over time. The risk of
significant or catastrophic failure increases over time with the further breakdown of the
fender piles. Failure of the fender system could lead to structural damage to the pier
that it protects, leaving it out of service until fully repaired. This type of repair would be
significantly more costly and lengthy than fender replacement and could not be
completed using the programmatic permit. 
This is not the recommended alternative. 
Alternative 2  Replace current system with an ACZA treated timber fender system similar to
the current system.
Cost Implications: $2,800,000 (total project) 
Pros: 
(1) This is the lower initial capital investment. While design, contract and construction
management and installation costs are similar, some savings would be realized in
material costs. This alternative provides immediate protection of port assets. 
Cons: 
(1) Significantly shorter lifespan (~50%) than the steel alternatives, will need replacement
again in 15-20 years, especially in this heavy weather location. Use of treated timber
piles strongly discouraged under current permitting guidelines for the programmatic
permit, and could be not allowed entirely. ACZA treated piles not as environmentally
benign as steel pile alternatives. 
This alternative would require a redesign effort, delaying the project completion date. 
This is not the recommended alternative. 


Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 4b                       Page 5 of 6 
Meeting Date: August 8, 2017 
Alternative 3  Replace current system with a galvanized steel fender system.
Cost Implications: $4,100,000 (total project) 
Pros: 
(1) Longer expected asset life and improved life cycle cost than other material alternatives 
(system is designed for a minimum 30 year life) 
(2) This is the most durable and environmentally friendly option which provides immediate
protection of Port assets. 
Cons: 
(1) More expensive than timber alternative in initial capital outlay 
This is the recommended alternative. 
FINANCIAL IMPLICATIONS 
Cost Estimate/Authorization Summary          Capital      Expense        Total 
COST ESTIMATE 
Original estimate                      $2,469,000          $0    $2,469,000 
Current change                      $1,631,000          0    $1,631,000 
Revised estimate                     $4,100,000           0    $4,100,000 
AUTHORIZATION 
Previous authorizations                   $358,000           0      $358,000 
Current request for authorization            3,742,000           0     3,742,000 
Total authorizations, including this request      4,100,000           0     4,100,000 
Remaining amount to be authorized        $3,742,000         $0    $3,742,000 
Annual Budget Status and Source of Funds 
This project was included in the 2017 Plan of Finance under CIP #C800675 P91 South End
Fender in the amount of $2,469,000.  The remaining $1,631,000 will be covered by CIP
#C800002 Maritime Contingency Renewal & Replacement. 
This project will be funded by the tax levy. 
Financial Analysis and Summary 
Project cost for analysis         $4,100,000 
Business Unit (BU)            Fishing and Commercial Operations 
Effect on business performance   This project will support/maintain current moorage
(NOI after depreciation)         revenue at T91. Incremental depreciation expense from
this project is estimated at $136,667/year, based on a 30
year asset life. NOI after Depreciation will decrease by
the associated depreciation from this project. 

Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 4b                       Page 6 of 6 
Meeting Date: August 8, 2017 
IRR/NPV (if relevant)           NPV is present value of project cost. 
CPE Impact                N/A 
Future Revenues and Expenses (Total cost of ownership) 
While a treated timber system would have a lower initial capital cost, it also has a significantly
shorter service life (15-20 years, vs. 30-50 years for a steel system). Conservatively, this results
in the timber option having a significantly higher lifecycle cost as it would need to be replaced
twice as often. 
Similarly the cost savings of keeping the current system operational would likely present no
long-term savings even with discounting the risk of a potential catastrophic failure; the system
will still be in need of replacement in a few years and require capital outlay at that time.
Balancing the deferral of these costs against the likely need for more costly repairs due to
vessel damage is not recommended. 
ATTACHMENTS TO THIS REQUEST 
(1)   Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
April 26, 2016    The Commission authorized  design and permitting  of 420 feet of
replacement fender system at Terminal 91 in the amount of $308,000. 









Template revised September 22, 2016; format updates October 19, 2016.