COMMISSION 
AGENDA MEMORANDUM                        Item No.          3d 
ACTION ITEM                            Date of Meeting        July 23, 2019 
DATE:     July 23, 2019 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Kathy Bahnick, Manager Environmental Programs 
Jon Sloan, Senior Environmental Program Manager 
Ticson Mach, Capital Project Manager 
SUBJECT:  Terminal 117 Habitat Restoration and Duwamish Shoreline Access Project 
Procurement of General Contractor/Construction Manager (GC/CM) 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to advertise and execute a
contract with General Contractor/Construction Manager (GC/CM) "Heavy Civil," to assist with
completion of design and permitting work associated with the Terminal 117 Habitat Restoration
and Duwamish Shoreline Access Project (the "Project"). No funding is requested as part of this
authorization since the work is covered under an existing design and permitting authorization
approved June 7, 2011. 
EXECUTIVE SUMMARY 
The primary purpose of the Project is to rehabilitate ecological functions and restore priority
habitat for Chinook salmon and other imperiled species in the Lower Duwamish Waterway. The
constructed Project will create upland habitat and aquatic areas with a combined total of
approximately 13.5 acres and approximately 2,050 linear feet of shoreline (from Lower
Duwamish River Mile 4.1 to 4.5). The Project will create mitigation credits, including for use in
natural resource damage (NRD) settlements associated with the Lower Duwamish Waterway,
Harbor Island, East Waterway, West Waterway, and Lockheed West Superfund sites, which can
be used by the Port or sold to generate revenue for future restoration efforts. 
A component of the Project will also provide high-quality public shoreline access in the South
Park neighborhood, an environmental justice community. Public shoreline access features will
include a viewpoint pier, trails, seating, interpretive signage, bike racks, and public art. These
features have been designed in close coordination with the surrounding community and the
community is very excited about the Project. The public access component of the Project also
fulfills the requirements of prior TIGER grant funding and City of Seattle public shoreline access
requirements associated with the Master Use Permit for Terminal 46. 


Template revised January 10, 2019.

COMMISSION AGENDA  Action Item No. _3d_                                Page 2 of 5 
Meeting Date: July 23, 2019 
The Port will negotiate a maximum allowable construction cost (MACC) with the GC/CM by
April 2020. The MACC determination, if acceptable to the Port, will be used to support a
request for construction funding approval from the Commission in April 2020,  after all
necessary regulatory and legal requirements have been met. Construction would then
commence in in June 2020. 
Construction of the Project is contingent on approval and finalization of a credits banking
agreement, currently anticipated in Fall 2019. Construction funding will be requested from
Commission once a banking agreement is reached and an acceptable MACC determination is
received. 
JUSTIFICATION 
In  2009,  the  Commission  adopted  the  Lower  Duwamish  River  Habitat  Restoration  Plan
(LDRHRP).  The purpose of the Plan was to identify objectives and opportunities for habitat
restoration on Port-owned properties along the river while supporting water dependent and
water-related business uses. The T-117 site was identified as Site 23 in the LDRHRP. Site 25
was added to the Project with Commission approval in 2011. 
In addition to regulating Superfund cleanups, CERCLA creates liability for damages to natural
resources caused by "releases of hazardous substances" into the environment. EPA administers
the remediation of Superfund sites, but is not responsible to bring NRD liability claims.  That
task falls to the Natural Resource Trustees (Trustees), who are designated federal, state and
tribal government entities that have management responsibility for fish and wildlife and other
resources that may have been damaged by releases of hazardous substances at a cleanup site.
Potentially responsible parties generally reach settlement agreements with the Trustees by
making a cash payment, restoring habitat through a Trustee-approved project, or buying
"habitat credits" froma third party "bank" with an accredited restoration project. Although
Trustee approval is still pending, the number of settlement "credits" available from the Project
has been determined by the Trustees and it has been submitted for approval as a habitat
credits bank. 
No funding is requested as part of this authorization since the preconstruction contract is
funded under the existing design and permitting authorization approved in June 2011. Funding
authorization for construction work will be requested after a banking agreement is executed
and an acceptable MACC determination is received. 
Diversity in Contracting 
The project team is working with the Diversity in Contracting Department  and Central
Procurement Office to include the WMBE aspiration goal into the solicitation and will include an
inclusion plan in the selection process.

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

COMMISSION AGENDA  Action Item No. _3d_                                Page 3 of 5 
Meeting Date: July 23, 2019 
DETAILS 
Scope of Work 
The scope consists of: 
(1)   Advertise to procure GC/CM "Heavy Civil" Contractor 
(2)   Complete design and permitting with assistance of GC/CM 
(3)   Negotiate project MACC for construction funding authorization 
Schedule 
Commission Authorization for GC/CM Procurement         July 2019 
Advertise and Award                                      July -January 2020 
Finalize Design/Complete Negotiation of MACC              January-April 2020 
Commission Authorization for Construction Funding         April 2020 
Authorize GC/CM to initiate construction                    May 2020 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1:   Do not proceed with GC/CM procurement until a habitat banking agreement
for the Project is executed and signed by all parties. 
Cost Implications: Delay of construction of the Project could result in significant cost increases
associated with construction cost escalation, sheet-pile wall removal (which would be required
by EPA if the Project is not constructed), and risks to meet TIGER grant requirements.  This
would result in at least a $1 million increase in project costs and risk of having to return some 
portion of the TIGER grant. 
Pros: 
(1)   Provides certainty that bank credits will be recognized before moving forward. 
Cons: 
(1)   Due to in-water construction constraints, if the Project is not ready to proceed in May
2020, the next potential construction date would not be until May 2021. Further delay
in the Project means further delay in restoring much-needed Chinook habitat in the
Lower Duwamish and delivering an important South Park community project 
(2)   Removal of the existing sheet-pile wall could be required by EPA, and re-installation
would be necessary at a later date for construction shoring to complete the Project,
costing approximately $1 million. 
(3)   TIGER grant funding is at risk if the Project is not completed. 
(4)   Construction costs escalate with time at +/-5% annually. 
This is not the recommended alternative. 


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

COMMISSION AGENDA  Action Item No. _3d_                                Page 4 of 5 
Meeting Date: July 23, 2019 
Alternative 2:  Move forward with a two-phase GC/CM contract without an executed banking
agreement. 
Cost Implications: Funding has already been authorized for tasks to complete design and
permitting for the Project; with this contract, approximately $300,000 in Phase 1 GC/CM will be
spent.  Construction  funding  will  subsequently  be  requested  if  the  GC/CM  presents  an
acceptable MACC and a banking agreement is finalized. 
Pros: 
(1)   Project permitting will be completed and the Project will be shovel-ready. 
(2)   Avoids construction cost escalation associated with delay to the extent possible. 
(3)   Avoids removing and reinstalling the temporary sheetpile wall. 
(4)   Maintains compliance with TIGER grant. 
(5)   Meets community expectations. 
(6) Furthers Port's commitment to Orca Task Force recommendations. 
(7)   Continues progress on Century Agenda goal to create 40 additional acres of habitat in
the Green-Duwamish watershed. 
Cons: 
(1)   Final construction of Project and credits banking mechanism remains uncertain until
banking agreement is finalized, which will likely not occur until after GC/CM
procurement (but prior to construction funding authorization). 
(2)   Moving forward with a GC/CM contract which is predicated on execution of a future
banking agreement entails some risk.  Deciding not to move forward with the
construction phase once the GC/CM has assisted with design and cost estimation, is
not desirable to the contractor and could create conflict.
This is the recommended alternative. 
BUDGET STATUS AND SOURCE OF FUNDS 
The funding for GC/CM procurement is covered under the existing design and permitting
authorization  for  the  project  approved  in  June  2011.   The  project  is  associated  with
Environmental Remediation Liability (ERL) funding. 
Financial Analysis and Summary 
Project cost for analysis              NA 
Business Unit (BU)                  Maritime 
Effect on business performance     N/A 
(NOI after depreciation) 
IRR/NPV (if relevant)                N/A 
CPE Impact                        N/A 


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

COMMISSION AGENDA  Action Item No. _3d_                                Page 5 of 5 
Meeting Date: July 23, 2019 
ATTACHMENTS TO THIS REQUEST 
(1)   Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
March 26, 2013: Commission authorization for the Chief Executive Officer to: 1) purchase
southern portion of the South Park Marina float structure to accommodate habitat
restoration in the estimated amount of $194,000; and 2) complete permitting, and design
for a public access viewpoint pier at Site 23 for an estimated cost of $458,000 
June 07, 2011: Commission authorization for the Chief Executive Officer to: 1) Complete
permitting and design of an expanded fish and wildlife habitat restoration project at
Terminal 117 (T-117) for an estimated cost of approximately $3,021,000; and 2) execute a
contract for outside professional services to complete the permitting and design of the
habitat restoration project at T-117. 
July 7, 2009: Commission adopted the Lower Duwamish River Habitat Restoration Plan, an
inventory of Port of Seattle Properties. 
October 27, 2008: Commission approved entering into a Settlement Agreement with the
Malarkey Parties, the Duwamish Parties, the City of Seattle and King County regarding T-117
Site and Lower Duwamish Site Cleanup Costs, and Natural Resource Damage Liability. 
May 13, 2008: Commission approved entering into a MOA with the Elliott Bay Trustee
Council for crediting habitat restoration projects in and near the LDW relating to future
settlement of natural resource damages claims; for execution of a professional services
agreement for environmental review and application of permit authorizations; and to
prepare plans and specifications for design and permitting of a fish and wildlife habitat
restoration project at T-117 under the MOA, for a total authorized expenditure of $210,000. 






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