PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      4g 
ACTION ITEM 
Date of Meeting    September 13, 2016 
DATE:    September 6, 2016 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Michael Ehl, Director, Airport Operations 
Wayne Grotheer, Director, Aviation Project Management Group 
SUBJECT:  2017 Fuel System Modifications (CIP #C800692) 
Amount of This Request:     $9,800,000      Source of  Airport Development Fund 
Funds: 
Est. Total Project Cost:      $14,480,000 
ACTION REQUESTED 
Request Commission authorization for (1) the Chief Executive Officer to design and prepare
construction documents, advertise, and execute a construction contract to construct fuel system
modifications in support of gate operations at Seattle-Tacoma International Airport in an amount
not to exceed $9,800,000; (2) use of Port crews in support of the project and for removal of
regulated materials; (3) increase of the project scope for additional fuel system modifications; (4)
execution of a contract for long-lead items such as fuel pits and surge suppressors; and (5)
approval to use a project labor agreement (PLA) for the project. 
SYNOPSIS 
This 2017 Fuel Systems Modifications project will add fuel pits to support aircraft gate
operations and remote aircraft parking for hardstand operations. The use of the hydrant fueling
system to fuel aircraft, rather than fueling by truck, improves safety, reduces air pollutant
emissions, and improves efficiency by reducing fueling time. 
The total value of this authorization request is $9,800,000 of an estimated total program cost of
$14,480,000. This project, with a budget of $4,680,000, was approved by the airlines through a
majority-in-interest (MII) vote in early 2016. The additional scope and cost will require another
MII vote. Port staff briefed the airlines at the Airline Airport Affairs Committee (AAAC) 
meeting in August and their response was supportive of the additional fuel pits. This project will
not raise the airport's cost per enplaned passenger because an airline consortium has agreed to
pay capital and operating costs in order to benefit their aircraft fueling operation. 
Port staff recommends entering into a PLA for the project to ensure labor force continuity and
stability and facilitate the timely and efficient completion of the construction project. 

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 2 of 7 
BACKGROUND 
The Commission previously authorized a 2016 project to construct fuel system modifications in 
support of aircraft gate operations. Four fuel pits were originally planned to be constructed but
five additional pits were identified as being needed during the design and included in the
authorization. The 2016 project is currently under contract. 
The need for additional fuel system modifications to support aircraft gate operations and address
capacity constraints has continued. This project will add fuel pits where needed in 2017. Ten 
fuel pits have been identified for installation by this project. In order to construct the fuel pits
when they will be needed in early 2017, the project will use expedited means of delivery and
employ measures that will avoid potential delays. Port staff plans to use a pre-advertisement 
meeting and short advertisement period, potential advertisement using the 90 percent design
documents, and self-procurement of long-lead items such as the fuel pits and surge suppressor,
so that construction may begin early.
Five fuel pits have been identified as needed for the reconfiguration of Gates B3 through B9 at
Concourse B. These four gates will be modified to create six gates for narrow body aircraft that
will still accommodate wide body aircraft. The reconfiguration will include two new gate doors,
five new passenger loading bridges and associated components, preconditioned air and 400 Hz
electrical power for the new gates, and fuel pits. Port Legal has reviewed relevant agreements
with the airlines, and the hydrant fuel lessee Seatac Fuels, LLC,  and determined that
modifications to the fuel system must be managed by the Port. Port staff will be requesting
Commission authorization for the other work associated with the reconfiguration at a subsequent
meeting and for a Tenant Reimbursement Agreement (TRA)with Delta Air Lines, Inc., for the 
work they will perform for the reconfiguration at Gates B3 through B9. The authorization
requested for the fuel pits is in advance of the other work to facilitate procurement of long-lead
items and provide the opportunity for the installation of the fuel pits to occur early and in
coordination with the other work. Port staff will coordinate with the airlines so that potential
impacts can be avoided or minimized. Should the Tenant Reimbursement Agreement with Delta
Air Lines, Inc. for the reconfiguration of Gates B3 through B9 not be approved by Commission
at a subsequent meeting, the five fuel pits needed to support that reconfiguration will be deleted
from the scope of this project. 
Five fuel pits are also needed to support hardstand operations at Hardstand 7. Due to the gate
capacity constraints the airlines are encountering at the Airport, hardstand operations will be a
reality for the foreseeable future.  In anticipation of this, Commission has approved several
projects to prepare the airport for these operations. Passenger processing equipment and ADA-
compliant vertical circulation was recently installed at gate S1a, providing access for both
domestic and international passengers. Passenger hold room space, processing equipment and
vertical circulation has been designed and is scheduled to be constructed by May 2017 at Gate
D6. Ramp level hold space, passenger processing equipment as well as a covered walkway has
been designed and is scheduled to be constructed on Concourse B by May 2017.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 3 of 7 
One of the areas that hardstand arrivals and departures will utilize is Hardstand 7. In particular,
wide-body international aircraft will frequently park at Hardstand 7 for remote hardstand loading
and unloading. Wide-body international aircraft regularly require 30,000-40,000 gallons of fuel
prior to departure. As each of the airport's largest fuel trucks holds 10,000 gallons, this means
that each wide-body flight requires up to 4 trips of a fuel tanker from the south side of the airport
to the fueling station or fuel rack located north of the North Satellite, transiting some of the
congested portions of the airport. Fuel hydrant installation will decrease the volume of tanker
traffic as well as expedite fuel uplift by providing a continuous fueling operation for each fuel
uplift.  The additional time required to  fuel from multiple tankers would likely increase
scheduled turn times or require departure delays to complete fueling. Another concern is that
current fueling operators don't maintain a sufficient quantity of large fuel tankers to provide
tanker fueling at Hardstand 7 for the current forecast demand. Therefore, five fuel pits have been
identified as needed at Hardstand 7 for remote parking and use by fuel trucks. These fuel pits,
located at the south end of the airport, will reduce the distance and travel time that would
otherwise occur from fueling trucks at the fuel rack located north of the North Satellite. The
availability of the fuel pits at Hardstand 7 is especially important as multiple gate outages occur
due to major construction projects, which will also temporarily reduce the number of available
fuel pits at various gate locations. 
Current airline growth is pushing gate operations to its capacity requiring revision of aircraft
parking layouts to improve flexibility and maximizing the range of aircraft types accommodated
at individual gates. To avoid interference with other vehicles servicing the aircraft, the desired
distance from the fuel pit to the aircraft is not more than 25 feet. Revised gate layouts require
modification of the existing fuel system by adding new fuel hydrants to continue hydrant fueling
of aircraft. 
Port Construction Services (PCS) may be utilized to support regulated material management
(RMM) of potential asbestos items encountered during construction. 
The use of a Project Labor Agreement (PLA) is recommended for the fuel pits contract to avoid
potential delays to the installation and operational impacts, but the project is on an expedited
timeline. If a PLA can be negotiated in time for scheduled contract advertisement, then one will
be employed. If not, then the project will proceed without a PLA. 
PROJECT JUSTIFICATION AND DETAILS 
This project is necessary to meet the Aviation Division's goals of ensuring safe and secure
operations, avoiding increased air pollutant emissions from fuel trucks, and anticipating and
meeting the needs of airlines in support of activity growth. The Port of Seattle and airlines made
a decision in the past to install a hydrant fueling system and discontinue truck fueling whenever
possible in order to improve safety and reduce emissions on the airfield. Hydrant fueling also
reduces the fueling time and traffic on the ramp area.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 4 of 7 
Project Objectives 
Project objectives are as follows: 
Installation of fuel system modifications to improve gate and hardstand operations and to
mitigate impacts from the temporary reduction of fuel pits that will occur during major
construction projects 

Scope of Work 
This scope of work is associated with fuel system modifications to support aircraft gate
operations. The work includes installation of approximately 10 new fuel pits including 5 fuel pits 
at Concourse B and 5 fuel pits at Hardstand 7 to accommodate aircraft parking and improve gate
flexibility. 
Schedule 
Commission Authorization                             September   2016 
Execute Construction Contract                             1st Quarter   2017 
Construction Completion                               4th Quarter   2017 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary              Capital     Expense   Total Project 
Original budget                       $1,100,000          $0    $1,100,000 
Previous budget increase                 $3,580,000          $0    $3,580,000 
Current budget increase                  $9,800,000          $0    $9,800,000 
Revised budget                     $14,480,000          $0   $14,480,000 
Previous authorizations                  $4,680,000          $0    $4,680,000 
Current request for authorization            $9,800,000          $0    $9,800,000 
Total authorizations, including this request     $14,480,000          $0    $14,480,000 
Remaining budget to be authorized               $0          $0          $0 
Total estimated project cost              $14,480,000          $0    $14,480,000 
Project Cost Breakdown                     This Request       Total Project 
Construction                               $8,630,000        $12,502,000 
Design                                   $424,000          $895,000 
State & Local Taxes (estimated)                   $746,000         $1,083,000 
Total                                      $9,800,000         $14,480,000 
Budget Status and Source of Funds 
The 2017 capital budget included $4,000,000 for fuel pits in CIP C800772. These funds will be
transferred to this project, C800692. A budget increase of $5,800,000 will be needed in addition
to the transfer of funds.  The budget increase will be transferred from the Aeronautical

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 5 of 7 
Allowance CIP (C800753) resulting in no net change to the Airport's capital program. The
funding sources will be the Airport Development Fund.
Financial Analysis and Summary 
CIP Category             New/Enhancement 
Project Type              Renewal/Replacement 
Risk adjusted discount rate     N/A 
Key risk factors             N/A 
Project cost for analysis        $14,480,000 
Business Unit (BU)          Apron Area Cost Center 
Effect on business performance  NOI after depreciation will increase 
IRR/NPV             N/A 
CPE Impact             There is no CPE impact as the capital costs will be
recovered directly from the airline fuel consortium. 
The fuel system at Seattle-Tacoma International Airport is leased to and operated by SEATAC
Fuel Facilities, LLC, and an airline consortium. The Port will negotiate an amendment to the
lease to add these new fuel pits to the lease as it has with other fuel pits added in the past. If
successful, the consortium would pay for the operating and maintenance costs of these new pits
and would pay additional rent to the Port equivalent to the annual amortization of the capital
costs. Thus, under such a lease amendment, there would be no impact to passenger airline CPE. 
Lifecycle Cost and Savings 
The fuel pits will be leased to and operated by SEATAC Fuel Facilities, LLC, an airline
consortium. 
STRATEGIES AND OBJECTIVES 
The 2017 Fuel System Modifications project supports the Century Agenda goal to advance this
region as a leading tourism destination and business gateway by meeting the region's air
transportation needs and encouraging the cost-effective expansion of domestic and international
passenger service. This project also supports the Aviation Division's strategic goals of operating
a world-class international airport, providing extraordinary customer service, and being a model
of environmental innovation for the region and industry. 
One of the Century Agenda goals is to use the Port's influence as an institution to promote small
business growth and workforce development. Although some of this work may be specialized,
Port staff will coordinate with Economic Development Division's Small Business Group to
identify potential opportunities within the scope of work for small business utilization.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 6 of 7 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1) Do not add hydrants, increase truck fueling over time as gate layouts are 
modified. 
Cost: $0 
Pros: 
Under this option there is no capital investment for the Airport 
Cons: 
The airlines and fuel service providers would need to purchase
additional fuel tanker trucks.
Aircraft turn times (time between landing, servicing and then
departing) would be impacted by slower fueling rates and impacts of
fuel tankers on other vehicles and equipment servicing aircraft.
Traffic on the ramp would increase, especially between the South
Satellite and the current fuel rack north of the North Satellite.
The airport would need to identify ramp storage areas (already in high
demand) for fuel trucks and maintenance facilities. These trucks also
have significant parking restrictions with respect to proximity to
buildings and aircraft when not in use, making location of them
exceedingly difficult within the Airport's relatively small site size. 
Increase in air emissions as a result of fuel trucks deliveries.
This is not the recommended alternative. 
Alternative 2) Install new fuel hydrant pits at gates and hardstand by a change order to the 2016
Fuel System Modification contract.
Cost: $9,450,000 
Pros:
Hydrant fueling increases safety on the airport ramp. 
Hydrant fueling is more efficient than other fueling methods. 
The cost of adding new fuel hydrant pits is fully recovered through the
fuel consortium lease.
Minimize air emissions by avoiding fuel truck deliveries. 
Likely quickest means to provide additional fuel pits. 
Cons: 
Would likely result in an audit finding of failure to comply with
competitive bidding requirements. 
This is not the recommended alternative.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
September 6, 2016 
Page 7 of 7 
Alternative 3) Install new fuel hydrant pits at gates and hardstand by a separate contract.
Cost: $9,800,000 
Pros:
Complies with competitive bidding requirements. 
Hydrant fueling increases safety on the airport ramp. 
Hydrant fueling is more efficient than other fueling methods. 
The cost of adding new fuel hydrant pits is fully recovered through the
fuel consortium lease.
Minimize air emissions by avoiding fuel truck deliveries. 
Cons: 
More coordination required than Alternative 2 
Some portions of the schedule are dependent upon contractor
responsiveness. 
This is the recommended alternative. 

ATTACHMENTS TO THIS REQUEST 
Vicinity Map 
PowerPoint slides showing vicinity map and layouts at Concourse B and Hardstand 7 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
April 12, 2016  The Commission authorized the award of a construction contract for
the 2016 Fuel System Modification, notwithstanding with the lowest responsible bidder
was exceeded the engineer's estimate by more than 10 percent. 
November 10, 2015  The Commission authorized construction funds to construct fuel
system modifications. Total estimated cost was $4,680,000. 
November 11, 2014  The Commission authorized the Chief Executive Officer to
design and prepare construction documents for the 2015 fuel system modifications in
the amount of $188,000. At that time, the total estimated project cost was $2,069,000.