COMMISSION 
AGENDA MEMORANDUM                        Item No.          6c 
ACTION ITEM                            Date of Meeting     February 26, 2019 
DATE:     February 15, 2019 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Dan Thomas, Chief Financial Officer 
SUBJECT:  Port Budget Software System Replacement (CIP #C801015) 
Amount of this request:                 $600,000 
Total estimated project cost:            $600,000 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to (1) proceed with the Port
Budget Software System Replacement project; (2) procure hardware, software and vendor
implementation services; and (3) use Port staff for implementation, for a total project cost not
to exceed $600,000. A 10-year contract for the service fee is estimated at $2,200,000. 
EXECUTIVE SUMMARY 
This purpose of this authorization request is to procure and implement a new, Portwide
Budgeting, Forecasting, and Planning system. 
The Port procured our current budget software over ten years ago to support the annual
budgeting process. Over this time, the product has been sold twice to other vendors. While the
current vendor continues to provide technical conformance for current users through system
upgrades, they are no longer enhancing their system with features to meet modern
requirements. Market leaders, however, provide easier to use and maintain  offerings
architected for more efficient and faster processing. They will supplement the budgeting
process  with  forecasting,  modeling,  collaboration  analytics  and  performance-reporting
capabilities. A new comprehensive system will enable Port financial staff to be more effective
and efficient in their work. 
This project is scheduled to be completed in 2020 in time for the 2021 budget process. 
Information & Communications Technology (ICT), Finance & Budget (F&B), Central Procurement
Office (CPO), Accounting & Financial Reporting (AFR), Human Resources (HR) and budget
system users from across the Port organization will be involved in this project. Total capital
costs for this project are estimated at $600,000. Software-as-a-service subscription fees are
estimated at $220,000 annually. These recurring license costs will be budgeted within the 
Central Services operating budget. 

Template revised April 12, 2018.

COMMISSION AGENDA  Action Item No. 6c                                   Page 2 of 4 
Meeting Date: February 26, 2019 

JUSTIFICATION 
This project includes several important benefits. 
(1) One integrated and comprehensive Budgeting, Forecasting and Planning System will
provide staff a single system with modeling and analysis tools and features such as the
ability to review previous scenarios and use common assumptions. 
(2) Rather than use multiple separate disconnected Excel models, F&B staff will use one
integrated  technology  tool.  Financial  models  developed  within  the  controlled
environment will be interconnected and will automatically update when key inputs
change. The expected result is more reliable forecasting. 
(3) The enhanced functionality provided in the new comprehensive solution will allow
Finance staff to respond more quickly to evolving business needs. 
(4) Current technology will ensure availability of a critical Portwide system. 
DETAILS 
Scope of Work 
(1)   Procure,  configure  and  implement  a  comprehensive  Budgeting,  Forecasting  and
Planning System. A 10-year contract will be pursued but the Port will have the ability
to exit early if warranted. 
(2)   Integrate budgeting system with PeopleSoft Financials and PeopleSoft Human Capital
Management. 
Schedule 
Commission Authorization                     2019 Quarter 1 
Procurement Completion                      2019 Quarter 3 
Implementation                              2020 Quarter 2 
Cost Breakdown                                      This Request           Total Project 
Vendor Services                                           $286,000               $286,000 
Port of Seattle Labor                                          $314,000                $314,000 
Total                                                            $600,000                $600,000 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1  Delay the new Budgeting, Forecasting and Planning System. 
Cost Implications: $0 
Pros: 
(1) Capital funds are available for other projects. 

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

COMMISSION AGENDA  Action Item No. 6c                                   Page 3 of 4 
Meeting Date: February 26, 2019 
Cons: 
(1) The  current  system  is  at  risk  of  failure  due  to  incompatibility  with  technology
advancements (i.e., web browsers, Microsoft tools). 
(2) Requires more employees to perform manual budget analysis; 
(3) Provides no required improvements in forecasting and analytical modeling tools. 
This is not the recommended alternative. 
Alternative 2  Upgrade current system for Technical Conformance. 
Cost Implications: $300,000 
Pros: 
(1) System will continue to be compatible with current technology (i.e., web browsers,
Microsoft tools) for a few more years. 
Cons: 
(1) Continue to require more employees to perform manual budget analysis; 
(2) Provides no required improvements in forecasting and analytical modeling tools. 
This is not the recommended alternative. 
Alternative 3  Purchase and implement a Budgeting, Forecasting and Planning solution. 
Cost Implications: $600,000 
Pros: 
(1) Meets Finance & Budget (F&B) team's business requirements for a comprehensive
budgeting, forecasting and planning solution. 
(2) Enables staff to be more effective and efficient, eliminating much of the manual Excelbased
analyses currently done outside the budgeting system. 
(3) Provides system tools to advance the Port's F&B department to a higher performing
one. 
Cons: 
(1) F&B staff will need to dedicate significant time to learning and configuring new system
over several months to take full advantage of powerful new functionality. 
(2) Requires process changes that will impact many Port staff as forecasting and budget
analyses are performed in new system. 
This is the recommended alternative. 
FINANCIAL IMPLICATIONS 
Cost Estimate/Authorization Summary               Capital        Expense           Total 
COST ESTIMATE 
Original estimate                                   $600,000               $0        $600,000 

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

COMMISSION AGENDA  Action Item No. 6c                                   Page 4 of 4 
Meeting Date: February 26, 2019 
AUTHORIZATION 
Previous authorizations                                   $0               $0               $0 
Current request for authorization                  $600,000               $0        $600,000 
Total authorizations, including this request         $600,000               $0        $600,000 
Remaining amount to be authorized                    $0             $0             $0 
Annual Budget Status and Source of Funds 
This project was included in the 2019-2023 capital budget and plan of finance under committed
CIP #C801015 in the amount of $600,000. 
Financial Analysis and Summary 
Project cost for analysis              $600,000 
Business Unit (BU)                  Corporate 
Effect on business performance     NA 
(NOI after depreciation) 
IRR/NPV (if relevant)                NA 
CPE Impact                        $0.01 
Future Revenues and Expenses (Total cost of ownership) 
10-year software-as-a-service subscription costs estimated at $2,200,000 will be budgeted in
the Central Services Division operating budget beginning in 2020. 

ATTACHMENTS TO THIS REQUEST 
None 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None 






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