PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      6a 
ACTION ITEM 
Date of Meeting      May 6, 2014 
DATE:    April 29, 2014 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:   Mike Burke, Director Seaport Leasing & Asset Management 
Mark Longridge, Project Manager, Capital Development Division 
SUBJECT:  Terminal 115 Stormwater Improvements (CIP #C800689) 
Amount of This Request:         $473,000   Source of Funds:       General Fund 
Est. Total Project Cost:           $548,000 
ACTION REQUESTED 
Request authorization for the Chief Executive Officer to design, advertise, and construct
stormwater modifications and upgrades at Terminal 115 in the amount of $473,000 for a project
total of $548,000 and use Port crews in the performance of the work.
SYNOPSIS 
This project is to separate stormwater originating from the Port leased area and the Common Use
Area on Terminal 115 from the area exclusively used by Northland Services. The goal of the
project is to intercept the stormwater collected from the Port areas and the Common Use Area
and route it to an alternative existing conveyance system located in the northwestern corner of
the Terminal 115 property to reduce the volume of water to the Northland services treatment
system currently under design. 
The project schedule driven by Northland Services requires that the stormwater separation be
completed by September 30, 2014. In order to meet this deadline this request is for both the
design and construction funding of this work. Port Construction Services will perform this
project using a combination of small works contracts and Port crews. 
BACKGROUND 
Stormwater discharges from the Northland premises are covered under Washington State
Department of Ecology (Ecology) Industrial Stormwater General Permit (ISGP) number
WAR000471. Northland reached the Level 3 corrective action stage for the ISGP in 2011.
Ecology has required Northland to install and have operational a permanent treatment system
that is designed with the goal of achieving benchmarks by September 30, 2014. Northland is
completing the installation of stormwater conveyance infrastructure to meet requirements of

Template revised May 30, 2013.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
April 29, 2014 
Page 2 of 5 
Industrial Stormwater General Permit and Ecology Administrative Order. The costs for these
improvements are estimated to be $5,000,000. 
The Port has approximately 3 acres up gradient of the Northland leasehold. Of this 3-acre area,
approximately 1.5 acres contribute stormwater volume to Northland's 70 acre stormwater
system. Northland has requested the Port contribute upwards of $1,500,000 for its stormwater
volume. This adjacent Port area does not fall under the ISGP held by Northland, and is used for a
different tenant and different operations. 
The Port is taking the necessary steps to isolate the stormwater system from the Northland
system prior to the action date set by Ecology on Northland of September 30, 2014. Stormwater
volume coming from outside Northland's leasehold would increase the capital and maintenance
costs of Northland's system. Isolation of stormwater systems will eliminate this additional cost. 
Under the Port's Phase I permit, all Port property is required to have best management practices
implemented on site. The property up gradient of the Northland property has a Stormwater
Pollution Prevention Plan (SWPPP) and is implementing the best management practices required
by City Stormwater Code. Because Northland is under the ISGP, their site is required to have an
ISGP SWPPP and associated best management practices.
PROJECT JUSTIFICATION AND DETAILS 
Project Objectives 
Complete full design of the stormwater conveyance system. 
Construct the necessary catch basin and piping runs, and install all equipment and
associated utilities. 
Scope of Work 
Several options were considered in the preliminary design and planning. Staff has considered
both gravity and pumped or force main systems and has selected to proceed with the following
option for several reasons. 
The stormwater work would consist of constructing a force main conveyance system parallel to
the existing conveyance systems including the replacement of two catch basins, installation of a
submersible pump, and construction of approximately 900 linear feet of piping. The new catch
basins will be placed at the existing location and rim elevation to maintain current drainage
patterns. The force main can be constructed of either ductile iron piping or HDPE piping.
This option has the greatest amount of flexibility since the force main can change grade and
alignment to avoid obstructions. It also disrupts a smaller area than any of the possible gravity
options, and the disrupted area is further from the rail spurs. The main drawback to this option is
the additional maintenance associated with a pump system. The capital costs for this system are
anticipated to be less than the gravity options, but there will be additional costs and labor

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
April 29, 2014 
Page 3 of 5 
associated with operations and maintenance of the system. However, the proposed design has 
the lowest total cost of ownership including all expected costs. 
PCS crews will perform this work with some work performed by small works contractors, which
provides excellent opportunities for small business utilization. Using Port crews and existing
contracts to perform this work will allow us to start work immediately, complete this work in a
timely manner to meet the deadline of September 30, and provide the greatest flexibility in
coordinating with our tenant to maintain their operation of the active rail spurs adjacent to the
project area. 
Schedule 
The proposed project schedule is as follows: 
Preliminary Design & Planning                  March-May 2014 
Commission Authorization for Design and Construction   May 2014 
Design (Under Existing IDIQ)                   May 2014 
Construction                               August-September 2014 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary              Capital     Expense   Total Project 
Original Budget                            $0          $0          $0 
Previous Authorizations                   $75,000          $0      $75,000 
Current request for authorization              $473,000          $0      $473,000 
Total Authorizations, including this request      $548,000          $0      $548,000 
Remaining budget to be authorized               $0          $0          $0 
Total Estimated Project Cost               $548,000          $0     $548,000 
Project Cost Breakdown                     This Request       Total Project 
Construction                                $308,000          $308,000 
Construction Management                      $47,000          $47,000 
Design                                    $57,000          $117,000 
Project Management                          $22,000          $37,000
Permitting                                   $10,000           $10,000 
State & Local Taxes (estimated)                    $29,000           $29,000 
Total                                       $473,000           $548,000 
Budget Status and Source of Funds 
This project was not anticipated in the capital budget and 2014 Draft Plan of Finance because the
need to intercept stormwater from this area was not known at the time. The $548,000 required to
fund this project is available under CIP C800002 Contingency Renewal & Replace.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
April 29, 2014 
Page 4 of 5 
This project will be funded by the General Fund. 
Financial Analysis and Summary 
CIP Category             Renewal/Enhancement 
Project Type              Infrastructure Upgrade 
Risk adjusted discount rate     N/A 
Key risk factors              Project Costs could exceed current estimates. 
Pump maintenance costs could exceed current
estimates. 
Project cost for analysis        $548,000 
Business Unit (BU)          Seaport Industrial Properties 
Effect on business performance  This project preserves annual revenues of $78K generated
by the Port's tenant that is located on the 3 acres up
gradient of Northland. 
Incremental savings of $952K is created by pursuing this
$548K project in lieu of contributing $1.5 million to
participate in Northland's stormwater solution. 
Annually, this project will increase depreciation by $11K
(based on a 50-year depreciable life) and will reduce Net 
Operating Income by a corresponding amount. Every 10th 
year after installation, incremental maintenance expense is
estimated to increase $15K and Net Operating Income
will decrease by a corresponding amount. 
IRR/NPV             Net present value calculation reflects savings created by
investing $548K in this project in lieu of contributing $1.5
million to the Northland project as well as increased
maintenance expenses. 
NPV   IRR
(in $000's)   (% )
$913     NA

Lifecycle Cost and Savings 
In considering the alternative designs, the lifecycle cost analysis of the pump system was
considered versus gravity system. Even conservatively assuming full pump replacement every 5
years, the pump system has a favorable net present value over the gravity flow system.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
April 29, 2014 
Page 5 of 5 
STRATEGIES & OBJECTIVES 
This work supports the Port's Century Agenda objective to be the greenest and most energy
efficient port in North America by meeting or exceeding agency requirements for storm water
leaving Port-owned or operated facilities. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Do nothing. Continue to operate the system in its current state. This alternative
would negatively impact the tenant by increasing the volume of water they
would include in their treatment system. This is not the recommended
alternative. 
Alternative 2) - Contribute $1,500,000 to tenant system. This is more expensive and maintains
the Port contributing to the tenant system and being exposed to further
improvement costs in the future. This also may require the Port to take the lead
on construction as a public works. This is not the recommended alternative. 
Alternative 3)  Design and construct a gravity flow system. Due to very flat grades and
minimal fall in the existing system, this alternative would result in replacement
of much more of the existing system and significantly higher initial capital
costs. This is not the recommended alternative. 
Alternative 4)  Design and construct a force main pumped system utilizing as much of the
existing infrastructure as possible, minimizing tenant site impacts, along with
construction costs and risks. In addition, the Port will monitor the tenant
operations to ensure they are continuing to do best management practices at the
site. This is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
Aerial Photo 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None.