4c

PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      4c 
ACTION ITEM 
Date of Meeting    October 28, 2014 
DATE:    October 21, 2014 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Lindsay Pulsifer, General Manager, Marine Maintenance 
Mark Lewis, Project Manager, Marine Maintenance 
SUBJECT:  T-91 W-50 Building Abatement & Demolition 
Amount of This Request:          $50,000   Source of Funds:  General Funds of the
Real Estate and
Est. Total Project Cost:          $1,088,000 
Seaport Divisions 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to approve the design
development and permitting to abate and demolish the W-50 Building in the amount of $50,000
with a total estimated project cost of $1,088,000. 
SYNOPSIS 
The W-50 Building is a 19,800 square foot building located next to Terminal 91. This building
shares a parking lot with Marine Maintenance's NorthOperations area and is located just north
of the Magnolia Bridge. The building has deteriorated to the point where it can no longer be
occupied, has become a safety hazard and is beyond repair. Furthermore, the building contains
large amounts of asbestos and smaller quantities of lead, mercury and Polychlorinated Biphenyls
(PCB's). 
Staff recommends demolition of the building. Funding will come from expense dollars and is
expected to be completed in the 2015 calendar year. In accordance with Port Policy AC-9a
Environmental Remediation Liability (ERL), a portion of the funding, ($151,465) will come
from the ERL 2015 Budget. The remainder ($ 936,535) will come out of the 2015 Maintenance
Expense Budget. 
BACKGROUND 
The W-50 Building was built in 1947 and purchased by the Port in 1976. This is the last
building remaining of the former naval supply warehouses at Terminal 91. The building has had
no major remodels or upgrades. 
Northwest Harvest vacated the building approximately six years ago. Since then, the building has
remained vacant other than a small portion that was periodically leased for net repair and storage 

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
October 21, 2014 
Page 2 of 5 
and for limited use by Marine Maintenance to support north-end operations. 
The building's roof has been leaking for the past fourteen years. To prevent the roof from
collapsing, a portion of the roof was removed in 2013. 
With no tenants and no projected use for this building, investments have not been made to
sustain the deteriorating structure. 
In April 2013, Argus Pacific provided a Regulated Building Materials Assessment Report for the
building. The report indicates the entire exterior of the building is covered with cement asbestos
board (CAB) panels. Piping throughout the building is wrapped in asbestos containing insulation. 
Vinyl floor tiles, electrical panels and roofing materials also contain detectable amounts of
asbestos. Additionally, lead, mercury and PCB's have been detected  in various locations
throughout the Building. Argus Pacific also produced draft abatement design drawings based on
the findings of the referenced assessment. 
PROJECT JUSTIFICATION AND DETAILS 
Building W-50, located just outside Terminal 91, is deteriorated beyond the point of economic
repair, is laden with regulated materials and is an environmental and safety liability. The building
cannot be brought to a level of acceptable safety without a significant expenditure of money. The
building would require a new roof, new siding, electrical and plumbing to be brought up to
current codes. If left as-is, with sections of the roof removed and without any upgrades or
maintenance, the building will continue to deteriorate and could eventually be condemned and /
or collapse. 
The Port of Seattle Capital Projects Estimator estimated the cost to repair the existing building
with seismic/structural issues and existing conditions at $4,105,000 and the estimated cost to tear
down the building and build a new shell building at $3,434,000. 
This project includes regulated materials abatement and demolition of the W-50 Building to the
ground level. The Port of Seattle Engineering Group will develop the demolition design
specifications. Port Construction Services (PCS) will issue a service directive to Argus Pacific
to develop regulated materials abatement specifications and finalize the regulated materials
abatement drawings drafted in 2013. The service directive will be issued under an existing IDIQ
contract (P-00316909). Work will be performed by a major works construction contractor. Per
Port Policy AC-9a, Port Construction Services (PCS) will manage the regulated materials
abatement work. PCS will also provide a regulated materials consultant to monitor abatement
work and document regulatory compliance. Monitoring services will be provided via a service
directive issued under an existing IDIQ contract. Port Engineering, Construction Services will
manage the Demolition Contractor, and Marine Maintenance Project Management will manage
the overall project. Seaport Environmental will assist in procuring necessary local permits.
Project Objectives 
Complete building demolition by September 2015.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
October 21, 2014 
Page 3 of 5 
Monitor abatement in accordance with Environmental Remediation Liability Policy
AC-9a guidelines and account for all abatement costs according to GASB No. 49. 
Scope of Work 
Remove all regulated materials in accordance with environmental regulations and best practices.
Demolish the W-50 building to the ground level. Dispose of all materials in appropriate manner. 
Security lighting and fencing will be installed after the Building is demolished using an existing
small works contract. 
Schedule 
Commission Memo / Authorization                   October 2014 
Complete Design Development                      January 2015 
Commission Full-Funding Final Authorization             February 2015 
Contract Advertised                               April 2015 
Contract Awarded                              May 2015 
Project Start Date                                   June 2015 
Project Completion                               August 2015 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary               ERL     Expense   Total Project 
Current request for authorization                  $0       $50,000       $50,000 
Total Authorizations, including this request           $0          $0          $0 
Remaining budget to be authorized           $151,465     $886,535    $1,038,000 
Total Estimated Project Cost               $151,465     $936,535    $1,088,000 
Project Cost Breakdown                     This Request       Total Project 
Construction                                     $0          $696,000 
Construction Contingency                                     $136,000 
Construction Management                      $17,000          $58,000 
Design                                    $33,000           $33,000 
Project Management                             $0          $56,000
Permitting                                      $0           $32,000 
State & Local Taxes (estimated)                        $0           $77,000 
Total                                        $50,000         $1,088,000 
Budget Status and Source of Funds 
The cost of this project has been included in the 2015 Operating Budget in the amount of
$1,127,000 for spending related to the T-91 W-50 Building Abatement & Demolition project.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
October 21, 2014 
Page 4 of 5 
As an expense for the Marine Maintenance service group that will be allocated to the Real Estate
and Seaport Divisions through Divisional Allocations, the source of funds for this project will be
the General Funds of the Real Estate and Seaport Divisions. 
Financial Analysis and Summary 
CIP Category             Not applicable 
Project Type              Expense 
Risk adjusted discount rate     N/A 
Key risk factors                No Responsive Bidders 
Actual costs exceed current estimates 
Project cost for analysis        $1,088,000 
Business Unit (BU)          Marine Maintenance Service Group 
Effect on business performance  This project will be recorded as an expense in Marine
Maintenance and will ultimately be allocated to the Real
Estate and Seaport Operating Divisions as a Divisional
Allocation.
Based on current 2015 Budget allocation percentages, this
project will increase Real Estate and Seaport Division
expenses by approximately $660K and $428K,
respectively, and will reduce Net Operating Income by
corresponding amounts. 
IRR/NPV             NPV is the present value of the project cost. 
STRATEGIES AND OBJECTIVES 
Removal of Regulated Materials and Demolition of the W-50 Building reclaims usable parking
lot space at the Marine Maintenance North End Office. Completion of the project will limit Port
liability. 
TRIPLE BOTTOM LINE 
Environmental Responsibility 
This Project aligns with Port Policy AC-9a (Environmental Remediation Liability) by removing
and properly disposing of Regulated Materials. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Do not demolish the W-50 Building. The building will continue to deteriorate
and could eventually be condemned or may collapse. This is not the recommended alternative. 
Alternative 2)  Completely renovate the property. As there is no projected use for this type of
structure and the project is cost prohibitive this is not the recommended alternative.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
October 21, 2014 
Page 5 of 5 
Alternative 3)  Abate all regulated materials and demolish the W-50 Building. This is the
recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
Aerial Photo of Building W-50 and North End Maintenance Office. 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None

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