Template revised September 22, 2016. COMMISSION AGENDA MEMORANDUM Item No. 7a BRIEFING ITEM Date of Meeting January 17, 2017 DATE: December 16, 2016 TO: Ted Fick , Chief Executive Officer FROM: Pearse Edwards, Government Relations Director Ryan McFarland, Federal Government Relations Manager Eric Schinfeld, Sr. Manager, Federal & International Government Relations SUBJECT: Draft 2017 Federal Legislative Agenda EXECUTIVE SUMMARY As we look ahead to the 115th United States Congress and the inauguration of a new administration, Port of Seattle government relations staff has worked with Commissioners, executive team members , and internal subject matter experts to develop an agenda to guide advocacy efforts on th e Port’s maritime, aviation , and international trade priorities . The following Draft 2017 Federal Legislative Agenda consists of two categories: p riority agenda items and a list of other important issue s that government relations staff proposes to support or monitor in the coming year. This list does not encompass the entirety of the P ort’s interests, and additional opportunities to engage at the federal level can be added as appropriate. DRAFT FEDERAL LEGISLATIVE AGENDA Priority Agenda Items Aviation • Sufficient Federal Funding: Advocate for a long -term FAA Reauthorization bill that strengthens our region’s airport system by allowing us to invest in today’s needs and the future; specifically, support robust Airport Improvement Program (AIP) funding necessary to enable Sea -Tac to provide service in a cost competitive manner. • Federal Funding Flexibility: Provide leadership on the effort to modernize the Passenger Facility Charge (PFC) user fee – raising the federal cap from $4.50 and giving the Port o f Seattle Commission the ability to set their own levels based on locally determined needs. • Efficient and Safe Airport Operations: Work closely with the federal government and key members of Congress to alleviate passenger wait times by: o Supporting TSA efforts to authorize additional canine teams, and hire and train new Transportation Security Officers (TSOs), as well as working with them to implement innovative solutions to address surge capacity. o Supporting implementation of TSA efforts to expand PreChec k, as well as to identify additional solutions that maximize security and efficiency . COMMISSION AGENDA – Briefing Item No. 7a Page 2 of 4 Meeting Date: January 17, 2017 Template revised September 22, 2016. • Regulatory Compliance: Increase FAA notification to the Port and the community related to flight path changes; ensure the federal government and key members of Congress are properly engaged related to flight corridor safety and the appropriate use of aviation funds for both airport and community noise mitigation investments. Maritime • Harbor Maintenance Tax Reform: Continue efforts to reform the HMT to ensure United Stat es tax policy does not disadvantage United States ports and maritime cargo and to provide greater equity for HMT donor ports through expanded use of Harbor Maintenance Trust Fund revenues. • Donor Port and Rebate Funding: Support a $50 million appropriation in FY17 and FY18 spending bills for the “donor port” and rebate program authorized under Section 2106 of the 2014 Water Resources Reform and Development Act to compensate for the current structure and impacts of the Harbor Maintenance Tax. • Fishing Fleet Modernization: Advocate for reforms to NOAA’s Fisheries Finance Program that would remove prohibitions on loans and loan guarantees for the construction and reconstruction of fishing vessels; support other policies and programs that improve access to financing in order to facilitate modernization of the North Pacific fleet. • Seattle Harbor Deepening: Support an appropriation of $500,000 for the final year of the feasibility study on deepening the federal channels serving T -18, T -30, and T -5; on completion o f the study and Chief’s Report, advocate for authorization and funding for design and construction. • National Freight Policy and Funding: Continue to engage with key partners at the national level to implement and fund a national multimodal freight strateg y and related grant programs that recognize the significance of U.S. West Coast ports; work with members of the Washington State Congressional Delegation and others to secure additional federal funding for key Port freight mobility priorities , including for Terminal 5 modernization. • Safe and Efficient Cargo Screening: Work with the federal government and key members of Congress for expedited deployment by Customs and Border Patrol (CBP) of radiation portal monitors capable of scanning containers in a more efficient manner for marine container terminals utilizing straddle carriers; secure adequate CBP staffing levels to ensure efficient movement of cargo through the Puget Sound gateway. COMMISSION AGENDA – Briefing Item No. 7a Page 3 of 4 Meeting Date: January 17, 2017 Template revised September 22, 2016. Additional Priority Issues the Port of Seattle is Supporting, Engagin g on, or Monitoring: Support or Engage • REAL ID: Coordinate with federal agencies on advocacy efforts that support action to bring Washington state into compliance with new rules and regulations; align with Port efforts at the state level to ensure success of necessary action in Olympia. • Environmental and Clean Technology Funding and Regulation: Find opportunities to partner with the federal government and key members of Congress on efforts to improve the environmental impact of the Port’s maritime and aviation activities, including but not limited to funding for the P ort’s emissions reduction efforts and water quality programs as well as expansion of the P ort’s aviation biofuels program. • Capital Projects Funding & Regulatory Approval: Ensure that the federal government and key members of Congress are supportive of all aspects of in -progress (NorthStar, IAF, Baggage Optimization, South Satellite) and future (SAMP) capital projects to facilitate continued economic development in the Puget Sound region. Identify opportunities for continuous engagement at key decision points, as well as strong support for additional federal funding opportunities. • Trade Liberalization and Expansion Policy Advancement: Engage with local, state , and national partners to advocate for trade policies that open new markets and level playing fields for Washington employers and others who use the Port as their inte rnational gateway, while creating verifiable, measureable , and enforceable standards to protect workers and the environment. • Diesel Emissions Reductions and DERA: Support authorization and full funding for the EPA Diesel Emissions Reduction Act (DERA) pro gram, which provides funding for emissions reduction programs. • Comprehensive Tax Reform: Participate in relevant discussions with key members of Congress regarding overarching changes to current U .S . tax code as it relates to solutions that would create r evenue to fund infrastructure programs, reduce Port costs and address the competitive imbalances caused by the Harbor Maintenance Tax. • Economic and Workforce Development: Work with the federal government and key members of Congress to identify and secure additional federal funding for key priorities within the Port’s economic development, tourism development, and workforce development programs; support steps to increase and facilitation tourism into the United States such as expansion of preclearance and G lobal Entry as well as strengthening the Visa Waiver Program. • Hiram M. Chittenden Locks Funding: Support funding for continued federal operation and maintenance of the locks, as well as additional funding for priority repairs like the Stoney Gates valve replacement. COMMISSION AGENDA – Briefing Item No. 7a Page 4 of 4 Meeting Date: January 17, 2017 Template revised September 22, 2016. Monitor • Goods Movement User Fees: Support the concept of establishing a sustainable source for freight infrastructure and monitor individual user fee proposals to ensure that 1) fees should not hurt the competitiveness of the Northwest trade corridor relative to others in North America; 2) fees should be mode neutral; and 3) funds should be spent on improvements that benefit users who pay the fees and not diverted to other uses. • FAA Air Traffic Control System Governance: Monitor ongoing conversations related to the management and staffing of the U.S. air traffic control system to ensure increased predictability and efficiency. • Visa Reform: Follow efforts to enable targeted professionals and individuals to visit and work i n Washington state by reforming laws in a way that meets the needs of our economy and public safety. • Community Engagement: Respond to federal and local stakeholders where appropriate to address issues of concern related to noise impacts, environmental imp acts, and workforce enforcement issues for the Port and its customers, vendors , and contractors. • Local Government Partnerships: Play a supportive role on key federal priorities of our local partners that have a Port nexus, such as increasing federal funding for homelessness and housing affordability, securing federal transportation investments, and policies that improve the environment and quality of life for our region’s residents. ATTACHMENTS TO THIS BRIEFING (1) Presentation slides PREVIOUS COMMISSION ACTIONS OR BRIEFINGS None