8a Presentation On Demand Transportation

Item No.          8a_supp 
Meeting Date: May 28, 2019 

Sea-Tac Airport On-Demand Contract Alternatives 
Port of Seattle Commission Briefing 
May 28, 2019 


1

Presentation Outline 
Schedule 
Guiding Principles and GTAP 
Policy Evaluation of Alternatives Matrix 
Outreach and Feedback 
Recommendation 
Next Steps 


Outline 
2

Schedule 
September 25, 2018: Commission briefing on ground transportation framework and GTAP study
(COMPLETED) 
October 2, 2018: Aviation Committee briefing regarding on-demand options (COMPLETED) 
October 25, 2018: Stakeholder outreach sessions at Sea-Tac Airport (COMPLETED) 
December 2018: Commission 2-2-1's regarding on-demand service options (COMPLETED) 
February 15 and 28, 2019: 2nd stakeholder outreach sessions at Sea-Tac Airport
(COMPLETED) 
February and March 2019: Follow-up Commission 2-2-1's (COMPLETED) 
March 26, 2019: Commission authorization for execution of curb management contract after
competitive procurement (COMPLETED) 
May 28, 2019: Public Commission briefing and motion regarding on-demand service options 
September 30, 2019: ESFH contract expires 

Coordinated schedule to move forward with multiple initiatives 
3

Ground Transportation Framework 
Guiding Principles 
Goals            Strategies and Tactics 
SAMP        e.g. roadway relocation, 
Reduce            50% scope 3                          Widen Arrivals Approach 
environmental        reduction 
impact 
15 minutes tower          GTAP         e.g. first/last mile, access
Reduce roadway      to curb                                fees, express bus 
congestion 
30% private vehicle
Support customer                            Operational      e.g. rematch, TNCs on
pick-up/drop-off 
choice                                                             Arrivals, garage utilization 
Social Equity 
Social equity 
Financial                   Contracts        e.g. e-KPIs, driver income,
Generate revenue     sustainability             Taxi, TNC,       guaranteed min. wait time 
for sustainable                                     other GT 
airport 
Port policies provide guidance in all categories                     4  4

Policy Evaluation Matrix 
Customer         Environmental       Living Wage         Revenue              Key:
Experience/Choice         Effects           Jobs/Equity         Generation             = Positive 
Impact 
Alternative 1
= Neutral / 
Open System                                                                          Unknown 
Alternative 2a                                                                                     = Negative 
Capped  Exclusive                                                                              Impact 
Metered or Flat Rate 
Alternative 2b 
Capped- Exclusive
Metered and Flat Rate 
Alternative 3 
Capped- Hybrid 

Overall performance, but further refinement of options is needed 
5

Further Refinement: Stakeholder Outreach Sessions 
Outreach conducted in support of earlier GT work in 2015 and
2017 
Three facilitated presentations held October 25, 2018 
Three additional facilitated sessions on February 15 (two) and
February 28, 2019 
Representation included multiple owner-operators, drivers,
TNCs, dispatch companies, Teamsters representatives 

Stakeholder feedback from October 25, February 15 and 28 
6

Further Refinement: Outreach Feedback 
Job Security: 
Port issues permits directly to current owners/operators 
Lottery system for any openings that occur 
Living Wages: 
Limit per-trip fees to cost recovery, including curb management 
Weekly fees paid directly to the Port 
Manage fleet size every 2 years or less based on customer
demand 

Feedback summary 
7

Further Refinement: Outreach Feedback - continued 
Driver Voice: 
Port establishes Labor Harmony Agreement 
Worker-led non-profit organization of drivers: 
o Establishes process for adjudication of disputes 
o Process for input in day-to-day operations 
o Facilitates driver training and education 
Environmental input: 
Port incentivizes electric vehicles through 1) low cost
loans, 2) lower fees, 3) permit extensions for electric
vehicle owners 

Feedback summary 
8

Recommendation - Initiate Two-year Pilot Program 10/1/19 
Retain current fleet of 405 vehicles 
Port directly issues non-transferable permits to every
vehicle/owner combination 
Two-year pilot term (through 9/30/2021) 
Allow owners to associate with any dispatch company and any
driver 
Set a per-trip fee of $6/pick-up based on Port's costs 
Port contracts separately with curb management company 
Quarterly engagement with owners and drivers 
Contract recommendation 
9

Next Steps 
May  June 2019: 
Finalize operation details, technology and owner permit for new services 
Initiate agreement renewal discussions with TNCs 
Initiate procurement for curbside management services, with costs paid by Port 
July  September 2019: 
Curb management provider selection and negotiation 
Transition period for new on-demand service 
Negotiate TNC agreement provisions 
September 30, 2019: Current agreement with ESFH expires 
October 1, 2019: New on-demand service commences 
December 2019: New TNC agreement in place 
Steps to transition in late 2019 
10

Alternative 1 - Open System 
Key Features 
Airport issues access permits to all licensed providers 
Similar to Boston, San Francisco, Houston, Portland, Minneapolis and others 
Pros 
Access is provided without a pre-determined supply restriction 
Cons 
Results in inconsistent customer service 
Increased congestion 
Increased greenhouse gas emissions 
Potentially lower average driver take-home income 
Difficult to enforce 
Open taxi system allows for more access, but at the cost of other policy priorities 
11

Alternative 2a - Capped/Metered or Flat Rate Contract 
Key Features 
Port's former contracts with STITA and Yellow followed this model (with metered operator) 
Single type of provider (meter) and 1-3 different companies (Port has had one provider) 
Airports with this system include Denver, Dulles, Phoenix and others 
Pros 
Improved customer service and Port's ability to impose requirements 
Potentially higher driver income for owners/operators in fleet 
Ability to adjust fleet to customer demand 
Competitive and transparent process 
Cons 
No on-demand access for other operators 
Competitive process and capped system creates winners and losers 
Allows for more Port control, but limits access to one type and one (or more) company 
12

Alternative 2b  Capped/Metered and Flat Rate Contract 
Key Features 
Two types of providers (metered and flat rate) and typically 1-3 different companies 
Similar to closed systems in Denver, Dulles, and Phoenix
Pros 
Airport maintains ability to impose requirements and standards 
Potentially higher driver income for owners/operators in fleet 
Ability to adjust fleet to customer demand 
Competitive and transparent selection process 
Cons 
Potential increase in customer confusion with two separate types of providers 
Competitive process and capped system creates winners and losers 
Allows for more Port control, has both types of providers 
13

Alternative 3  Capped Hybrid Contract 
Key Features 
Similar to capped contract with managed fleet size, but owners are allowed to affiliate with
any taxi association 
Airport hires independent 3rd party to manage fleet and curb operations 
Unique model - no other known airports utilize this model 
Pros 
Owners can choose their preferred taxi association 
Potentially higher driver income for owners/operators in fleet 
Ability to adjust fleet to customer demand 
Cons 
3rd party management expense may affect Port income 
Airport's ability to enforce requirements is reduced due to multiple taxi associations
participating in fleet 
Owners are allowed to freely associate, but Airport loses some control 
14

Limitations of Translatable Documents

PDF files are created with text and images are placed at an exact position on a page of a fixed size.
Web pages are fluid in nature, and the exact positioning of PDF text creates presentation problems.
PDFs that are full page graphics, or scanned pages are generally unable to be made accessible, In these cases, viewing whatever plain text could be extracted is the only alternative.