The Regular Meeting meeting scheduled for 2024-05-14 at Pier 69

Transcript

The Regular Meeting meeting scheduled for 2024-05-14 at Pier 69

Good morning
This is Commission President Hamdi Mohammed convening the regular meeting of May 14, 2024
The time is now 10:30 a.m
We're meeting in person today at the Port of Seattle Headquarter building, commission chambers and virtually via Microsoft TeaMS Present with me today are commissioners choir, Felleman and Hasegawa, who are currently gathered in the executive session room awaiting the opening of the public meeting
We'll now recess into the executive session to discuss two items regarding litigation, potential litigation or legal risk per RCW 4200 3100 ten section one I
The session is expected to last for about 60 minutes
We'll reconvene into public session at at 12:00 p.m
Thank you all
We are in recess
Thank you
Good afternoon, everyone
This is Commission President Hamdi Mohammed reconvening the regular meeting of May 14, 2024
The time is now 12:04 p.m
We're meeting today in person at the Port of Seattle Headquarter building, commission chamber, and virtually via Microsoft
Team Clerk Hart please call the role for the commissioners in attendance today
Thank you
Beginning with Commissioner Cho present
Thank you, Commissioner
Commissioner Felleman present
Thank you
Commissioner Hasegawa present
Thank you
And Commissioner Mohamed present
Thank you
We do have a quorum established
Thank you so much
A few housekeeping items before we begin today
For everyone in the meeting room, please turn your cell phones to silent
For anyone participating on Microsoft Team, please mute your speakers when not actively speaking or presenting
Please keep your cameras off unless you are a member of the commission or the executive director participating virtually or you are a member of the staff in a presentation mode and actively addressing the commission
Members of the public addressing the commission during public comment please turn on your cameras when your name is called to speak and then you'll turn them back off again at the conclusion of your remarks
For anyone at the dais, please turn off the speakers on the computers and silence your devices
Please also remember to address your request to be acknowledged, to speak through the chair, and wait to speak until you have been recognized
You'll turn your microphones on and off as needed
All of the items noted here will ensure a smoother meeting
Thank you all all the votes today will be taken by a roll call method so it is clear for anyone participating, virtually how votes are casted
Commissioners will say aye or nay when their names are called
We're meeting here today on the ancestral lands and waters of the Coast Salish, people with whom we share a commitment to steward these natural resources for generations to come
This meeting is digitally being recorded and may be viewed or heard at any time on the port's website and may be rebroadcasted by King County Television
Now please stand and join me for the pledge of Allegiance
I pledge of Allegiance to the flag of the United States of America and to the Republic for which it stands, one nation under God, indivisible, with liberty and justice for all
Thank you all
The first item of business today is the approval of the agenda
As a reminder, if a commissioner wishes to make a general comment for or against an item on the consent agenda, it is not necessary to pull the item
It's not necessary to pull the item from the consent agenda
Rather, a commissioner may offer supporting or opposing comments later in this meeting once we get to the part of the agenda, that part of the agenda
These comments are in order once the motion to approve the consent agenda has been made, however, it is appropriate at this time if a commissioner wants to ask questions of staff or wishes to have a dialogue on a consent agenda item to request the item be pulled for a separate discussion
Are there any items to be pulled from the consent agenda or any motions to rearrange the order of the day hearing? None
Commissioners, the question is now on the approval of the agenda
Is there a motion to approve the agenda as presented? So moved
Seconded
Wonderful
The motion has been made and seconded
Is there any objections to approval of the agenda as presented? Hearing none
The agenda is approved as presented
Moving us along, there is no special orders scheduled for today, so we'll move forward
The next item on our agenda is the executive director's report
Executive Director Metruck, you have the floor
Good afternoon, commissioners
I'd like to begin my remarks by thanking deputy Executive Director Karen Goon for leading in my place at last commission meeting while I was away in business travel
Thanks, Karen, and all the staff that filled in while I was away
I'd also like to note that last week was public service recognition week
I believe that public service is a calling, so it's right for public employers like the Port of Seattle to take time to reach out, to thank and recognize those that work in public service
I'd like to also express my gratitude to everyone in our workforce that participated in the events for public service Recognition Week last week, especially our human resources team for taking the lead on organizing the various celebratory events throughout the port
The many different locations that we have throughout the port, visiting with staff at various work locations and seeing what they do day in and day out is truly a highlight of my job and I appreciated them spending time with me
And I do encourage all staff who have something to share to invite the executive leadership team, including myself, to their work site to see what everyone's working on
I'd also like to
I'd also like to wish everyone this month a happy Asian American Native Hawaiian and Pacific Islander month
During May, we take time to honor, recognize and celebrate the innumerable contributions, vibrant cultures and rich heritage of Asian Americans, Native Hawaiian and Pacific Islander communities
I look forward to the reading of the proclamation honoring these contributions at our next commission meeting
Commissioners in the last few weeks, port employees were recognized by external organizations for their stewardship of financial and environmental resources
Last month, the Government Finance Officers association provided the Port of Seattle with its Distinguished Budget Presentation award for the 2024 budget document
To achieve the award, the budget document must meet nationally recognized best practices related to its effectiveness as a policy document, a financial plan, an operations guide, and a communications device
If this award seems familiar, it's because this represents the 17th consecutive year the team has received this award
While it may feel it has become routine, on the contrary, it takes a lot of work and it demonstrates the port's ongoing commitment to the high standards of fiscal stewardship and excellence in financial management
In other good news, our accounting and financial reporting team also achieved an ultra clean audit outcome with no audit findings or recommendations from the external auditors for all of their 2023 audits
This outcome affirms and validates the excellence of our accounting and financial reporting team and help make the port a highly effective public agency
Also last month, the Seattle 2030 district District awarded the port their Leadership Vision Award for our sustainable evaluation framework
The Sustainable Evaluation Framework is a comprehensive approach to building sustainability into our capital projects authorized by the commission in 2020
SEF projects come from 2020 alone, have avoided almost 600 tons of annual CO2 emissions, as well as benefiting other environmental areas and people centered features
This is a portwide program and win to share the pride of the award and to thank the broader team, the award will be visiting kind of like the Stanley cup, if you know how that moves around from place to place, will move to various staff meetings with a number of different groups, including maritime and aviation, project management, planning, engineering, aviation finance and others
Congratulations to everyone who was involved for this recognition and for the commission, especially Commissioner Felleman for your leadership on sustainability in the sustainable environmental framework Evaluation framework
Commissioners later this week, I'll be signing a memorandum of understanding with the Minority Business Development Agency, a bureau of the United States Department of Commerce, to foster the growth and global competitiveness of minority business enterprises
We will host the signing ceremony at our headquarters building this Thursday
I want to acknowledge me and rice diversity and contracting director Dave McFadden, our managing director for economic development, and Commissioner Sam Cho for bringing this partnership to fruition
Moving to today's commission meeting, I'd like to highlight just a couple iteMS Item 8d on our consent agenda today is a contract related to the operation and management of the ramp Tower at Seattle Tacoma international airport
SEA is the 11th busiest airport in the United States, serving over 50 million passengers annually
However, as you know, we're not even in the top 20 airports when it comes to our actual footprint
On slightly under 4 sq
Mi, we have an intricate and highly compacted layout of taxi lanes, aprons and terminals
This can lead to congestion and inefficiencies in aircraft movement on the ground if not properly managed
The ramp control tower operated by the port is an important asset that provides advisory instructions for aircraft moving to and from these areas
The ramp control tower improves safety efficiency and reduces greenhouse gas emissions by eliminating gridlock and facilitating aircraft movements
Item eight g on our consent agenda is related to waterfront signage
The city of Seattle and Friends of Waterfront park are putting the finishing touches on the new waterfront new waterfront park
Combined with the Elliott Bay Connections project, this creates 59 acres of new park in Seattle
Our goal is to ensure that visitors and residents see the working waterfront and port facilities as part of that experience along our waterfront
Item eight k on our consent agenda agenda is related to the 2025 art program CIP at the airport
You'll receive a request for maritime art acquisition at our next commission meeting
We have two significant aviation items coming forward today as new business and presentations and staff reports
Item ten, C 15 is the design and construction authorization for the s concourse, which is critical for investment to extend the useful life of a key facility for international gateway
Our team worked hard to phase this work in a way that minimizes operational disruptions and preserves customer service
Item eleven A is the Sea Stakeholder Advisory Roundtable 2023 annual report, which highlights the collaboration between the airport and nearport community leaders to tackle the issues of most relevance to Seattle Tacoma international airports, neighboring cities
We see very real outcomes as a result of this partnership, including successful advocacy to include start priorities in the five year Federal Aviation Administration reauthorization, which was passed by the United States Senate last Thursday and is going before the US House today
Finally, I want to offer my support for an order
The commission is considering removing requirements for college degrees for jobs unless legally required, this order recognizes the value of experience for those competing for positions here at the Port of Seattle
I appreciate the many conversations I've had, not just about this order, but about the value of education
I'm proud of the many ways the port supports education, including our tuition reimbursement program
I hope we continue to have an open dialogue about removing barriers and supporting our employees in pursuit of education and careers as well
Commissioners, this concludes my remarks
Thank you
Thank you, executive director Metruck, for that update
We are now at the committee reports
I will kick it over to Erika Chung, our strategic strategic advisor
Erika, you have the floor
Good afternoon, commission president Mohammed and commissioners and executive director Metruck
I have three committee reports for you today
On April 23, commission president Mohammed and vice president Hasegawa convened the airport workforce Conditions ad hoc committee
First, the committee heard initial feedback from our consultant imagine institute regarding childcare needs
We learned that 70% of airport workers reside in extreme childcare access deserts
92% of the jobs posted on airport jobs require work outside of the 06:00 a.m
To 06:00 p.m., timeframe and that majority of employer respondents report challenges hiring retaining employees due to childcare challenges
Their final recommendation to the commission is on July 9, commissioners also received a legal update on the health care for airport workers question
Commissioners directed a survey of airport workers asking about their healthcare needs in as efficient a timeframe as possible
Finally, commissioners heard an update on our third party code of conduct efforts
This effort will launch in June
On April 30, the Equity and Workforce Development Committee was convened by commissioners Hasegawa and Calkins
There was one item for briefing and discussion, an update and finding on the South King County International public market study
This item is also scheduled for a presentation later at today's commission meeting
On May 8, commissioners Cho and Felleman convened the sustainability, environment and climate committee
There were two items on the agenda for briefing and discussions
First was the airline realignment
Under the sustainability evaluation framework, staff evaluated 34 sustainability strategies compared to port baseline standards to reduce carbon emission and energy use, as well as evaluating equity and access to improve daily work environment of employees
Commissioner Felleman asked for visibility on how we meet code compared to how we exceed code and for added detail on various alternatives assessed
Staff also share that the Port of Seattle received a leadership Vision award specifically for the sustainable Evaluation Framework policy
The second item was the Maritime Climate and Air Action Plan 2023 implementation update
The MCAP adopted was adopted in 2021 is the port's implementation plan for the Northwest port's clean air strategy and charts a course for the Port of Seattle to achieve its maritime related climate and air goals
Commissioner learned that in 2023, staff made progress on 34 of 43 MCAP strategies and were very complimentary of this year's accomplishments, which include ongoing efforts to increase the efficiency of buildings, vehicles, and vessels and use renewable fuels and clean energy sources
This concludes my report
Thank you
Thank you, Erika, for that update
Are there any questions for Erica Chung hearing? None
Thank you again
Moving us along
We are now at the public comment section of the agenda
The Port of Seattle Commission welcomes public comment as an important part of the public process
Comments are received and considered by the commission in its deliberations
Before we take public comment, let's review our rules for in person and virtual public comment
Clark Hart Please play the recording
The Port of Seattle Commission welcomes you to our meeting today
As noted, public comment is an important part of the public process, and the Port of Seattle Commission thanks you for joining us
Before proceeding, we will overview the rules
I apologize, we've really been having problems with this recording
The Port of Seattle Commission welcomes you to our meeting today
As noted, public comment is an important part of the public process, and the Port of Seattle Commission thanks you for joining us
Before proceeding, we will overview the rules governing public comment for your general information, each speaker will have two minutes to speak unless otherwise revised by the presiding officer for the purposes of meeting efficiency, and the speaker shall keep their remarks within the allotted time, provided a timer will appear on the screen and a buzzer will sound at the end of the speaker's comment period
The commission accepts comments on items appearing on its agenda and items related to the conduct of port business
Presiding officer will ask speakers to limit their comments to these topics
This rule applies to both introductory and concluding remarks
Disruptions of commissioned public meetings are prohibited
General disruptions include, but are not limited to, the speaking before being recognized by the presiding officer holding or placing banners and signs in the meeting room in a way that endangers others or obstructs the flow of people or view of others at the meeting intentionally disrupting, disturbing, or otherwise impeding attendance or participation at a meeting refusing to follow the direction of the presiding officer or security personnel attempting to use the comment time for purposeful delay without conveying a discernible message using the comment period to assist in the campaign for election of any person to any office or for the promotion of or opposition to any ballot proposition, except when addressing action being taken by the commission on a ballot proposition appearing on its agenda directing public comments to the audience engaging in abusive or harassing behavior, including, but not limited to, derogatory remarks based on age, race, color, national origin, ancestry, religion, disability, pregnancy, sex, gender, sexual orientation, transgender status, marital status, or any other category protected by law, the use of obscene or profane language and gestures, assaults or other threatening behavior, and sexual misconduct or sexual harassment for safety purposes, individuals are asked not to physically approach commissioners or staff at the meeting table during the meeting
Individuals may provide written public comment before or after the meeting, and in addition, speakers may offer written materials to the commissioned clerk for distribution during their testimony to the commission
A detailed list of the public comment rules is available through the commission clerk
If a meeting is disrupted by an individual in attendance in the meeting room or by an individual providing public comment in person or virtually, the port will impose progressive consequences that may result in exclusion from future meetings
Written materials provided to the clerk will be included in today's meeting record
The clerk has a list of those prepared to speak
When your name is called, please come to the testimony table or unmute yourself
If joining virtually, repeat your name for the record and state your topic related to an item on the agenda or related to the conduct of port business
For those joining virtually when you have concluded your remarks, please turn off your camera and mute your microphone
Our public comment period will now commence
Thank you again for joining us today
Thank you for playing the recording clerk
Hart
Please call the first speaker one
Thank you
Let me go ahead and get our timer up
There we go
And our first speaker today is Alex Zimmerman
When you're ready, Alex, please restate your name for the record and your agenda item or topic related to the conduct of port business, please
Thank you, Alex
I'll start the timer at that time
I'm lucky as I remember my name is working
I will start it after you introduce yourself again and your topic? Alex
Yeah
Hi
Hi
Hi
Hi
Hi
Hi
Hi
My name Alex Zimmerman
And your topic? Alex
Oh, but this not will be
I'll start it after you give us your topic
Okay, no problem
I want to make sure you have your full two minutes
Absolutely no problem
My topic, public testimony procedure
Thank you
Yeah, my name Alex Zimmerman
Yeah, I remember my name
This little bit surprised me
Yeah
Now I'm talking about public testimony procedure
This idiotic two pages
You know what this means? Come in Seattle in 2015 only for one man, Alex Zimmerman
They have all newspaper talk about this is Alex Zimmerman rules
So what has happened for ten years? All this Democrat mafia, you know what is mean? Junta star
Use these rules who by definition harassment, impeachment, pure crime
They violate all constitution, whole court decision, all of it without exception
Who care about this
When we have a city who controlled by minority
For example, here is the most arid percentage minority
But Seattle have only 30 percentage minority
So that's very interesting for me
These very low class people so not surprise me
So these primitive low class people make these stupid rules
And how these people can operate with big corporation with $1 billion
I never see like this before in my life
Yeah, it's very strange to me
It's very strange
Seattle is a city of idiot
And I'm talking about this a most important year every day
My opinion right now straight
This year is a critical year
What's happened right now in this year, all in America state, Washington, in Seattle, it will be for another 2025 years
Or America will become big, make America great again
All America will be disappearing
Everybody knows this
All professional, I think
And I'm professional, too
Maybe small, but professional
So when we doing this right now, we don't clean what has happened
This dirty, chan controlling, but damn nazi fascist junta for last 40 years
We will be disappear like a
Like a smoke
Stand up America as go bring America back
Thank you very much
Bye bye
Alex
Dinner
Clark Hart, please call the next speaker
Thank you
Our next speaker is joining us virtually, and that is Kyle Moore
And he is our last signup that we have today
Kyle, please go ahead and restate your name for the record and your agenda item or your topic related to the conduct of port business, please
And then I'll start the timer
Yeah, this is Kyle Moore
I'm the new interim city manager for city of Sea-Tac, and I'm speaking about the start annual report
Thank you
All right, I would want to thank you, port commission president Mohammed and port commissioners
My name is Kyle Moore
I'm the newly appointed interim city manager for City of Sea-Tac
City of Sea-Tac has served on sea stakeholder Advisory Roundtable, also known as Start, since its very beginning, because residents of Sea-Tac understand firsthand what living next to an airport can be like, both the positives and negatives
I also want to thank managing director Lance Little and port staff for all their hard work in getting this program off the ground and for keeping it moving in the right direction
Start gives residents of Sea-Tac a seat at the table to come up with practical solutions
So I'm here to express my appreciation of what's been accomplished to date
I also look forward to continued collaboration and successes in 2024 and beyond
I want to particularly call out the work of starts two working groups, the Aviation Noise Working group and the federal policy Working group
Several aviation noise working group initiatives have made a real impact in reducing late night noise and potential
The Runway use plan and the late night noise limitation program have changed how airlines utilize sea, both in terms of when they fly and what aircraft they use
The federal policy Working group, for which I'm a member, has a shared legislative agenda, and it's been a great collaboration
Last year I had the pleasure of flying to DC with my now Mayor Mohamed Eagal, council members Peter Kwan and port commission president Mohammed, along with other city start members and elected officials for the DC fly in to advocate for the FAA Reauthorization Act
I want to say that we were very successful in our talks to the congressional delegation, and I want to thank everyone involved for that work
The city of Sea-Tac, at the start of the year, appointed two community representatives to start, Julie Lee and Roger Katic, and both have attended Start's in person planning meeting last month, where we all took part in a brainstorming session on agenda items for future meetings and an airfield air cargo tour
So thank you for all of your work on this issue, and I want to thank everyone for at the port for their work with start Clark
That concludes our signups for today, is that correct? Yes, and just a thanks to Kyle for aye
public comment
Yes, we don't have anybody else signed up if you'd like to call for the room or
Perfect virtually
Is there anyone else present on the team's call or present in the room today who did not sign up but wishes to address the commission? If so, please state your name and the topic related to port conduct that you would wish to speak about for the record hearing
None at this time
I'll ask clerk Hart to please give us a synopsis of written comments that we have received
Thank you, Madam Commission president
Good afternoon, members of the commission
Madam Commission president, we have received 25 written comments submitted for the meeting today
These have been previously distributed to you and will become a part of the meeting record
All are related to the request for the port to reduce the number of crew sailings until there is no water error and climate pollution for the port to lobby the Washington state legislature to expand the mission of Washington ports to include stewardship, to support the proposed US Clean Shipping act, to reject false solutions to approach discussions, goals, studies, et cetera, related to the cruise sector in an honest and unbiased way, and to work in collaboration to support regional solutions that could reduce harm immediately
And these letters are coming from Jim Birthnall, Sarah Bliss, Paul Brown, Beth Brenton, Chris Covert Bolts, Gregory Denton, Kevin Gallagher, Derek Glentville
Sorry
I apologize
Bree Glenclid, Mary Hanson, Jared Hill, Eugen Schiaenie Johnson, Sophia Keller, Leo Kooswicks, and Breck Libakue
Continuing with Jason Lee, Lori Lecky, Beth McKelvey, Jean Myers, Audrey Olshevsky, Donald Parda, Charles Raymond, Veronica Refin, and Angela Zalbin
And that concludes the written comments received today
Thank you, clerk Hart
Hearing no further public comment
We will now move forward to the consent agenda
Items on the consent agenda are considered routine and will be adopted by one motion
Items removed from the consent agenda will be considered separately after adoption of the remaining consent agenda
Items at this time, the chair will entertain a motion to approve the consent consent agenda
Items covering eight a, eight b, eight c
Are there any comments for items that are on the consent agenda? I will take the motion first
So I move that we approve approve items eight a through k on the consent agenda
Is there a second? 2nd commissioners, are there any comments on any of these items at this time? Yes
Thank you
Thank you, Madam President
There's one item, eight j, on the agenda that the court supported back in 2019
This innovative approach to address the longstanding need in the maritime workforce by the creation of the maritime high school
And since it has such a high profile in our organization, I just thought real quickly to highlight some of the things that are in the memo
And this item that we just approved includes two years of funding, which is technically the last two years that we originally supported for a million dollar authorization for the
For the program, to get the first cohort of students through the program
But, you know, that's what we said in 2019
The memo documents there were currently 121 students enrolled, with 53% of them identified as white
However, none of them as identified as native American, which the reason I highlight that is because I saw Jake Beattie while I was in DC, and he told me specifically that he'd like to expand the outreach to First Nation tribal leaders here, and that I'm hoping that the board can help with that effort as well as one of the things I think that all of the workforce programs that we've ever dealt with want to do is create better mechanisms to track, you know, these folks, we train these folks, and then what's the connection to the
To the community, to the
To the industry? And I know that that's part of what Jake is going to be looking for as well in the maritime high school success of actually, you know, putting these cohorts into the workforce
So I just wanted to bring that to folks attention
And I hope the poor can help with the outreach to tribes, maybe even this summer
Thank you, Commissioner Felleman, for those comments
And I see that our director of equities in the room, director Bookda, are nodding plenty of times during your comments, so I'm sure that's duly noted
Thanks for those comments
Commissioners, please say aye or nay when your name is called for the approval of the agenda
Clerk Hart
Thank you
Beginning with Commissioner Cho, who's joining us virtually
Aye
Thank you, Commissioner Felleman
Aye
Thank you, Commissioner Hasegawa
Aye
Thank you, Commissioner Mohammed
Aye
Thank you
Four ayes, zero news for this item
Very good
The motion passes, moving us along
We have three new business items today
Clerk Hart, please read the first item into the record
Then Executive Director Metruck will introduce the item
Thank you
This is agenda Item Ten A, introduction of resolution number 3823, a resolution amending the policy directive for salaries and benefits for employees not covered by a collective bargaining agreement established by resolution number 3820 and providing an effective date for all amendments of June 1, 2024
Commissioners, every year you approve the salary ranges and grades for port employees
This year, we're asking something different
We're asking you to approve job titles, salary ranges and pay grades that reflect the work underway to improve the ports compensation program
As you'll hear in this presentation, the board is updating a program that is more than 20 years old to be more simple, more transparent, and more equitable
This is a multiphase project
Approving the new job titles, salary ranges and pay ranges is a key element
We will continue implementing this program over the course of 2024
So presenters this afternoon are Katie Girard, senior director of Human Resources, Kasia Reichstein, director of Total Rewards Human Resources, and Chris Beck, manager, Total rewards and human resources
So I'll turn it over to Katie to kick us off
Thank you
Thank you, Executive Director Metruck
And hello
Good afternoon, commissioners
Really excited to be with you today
This has been a long project and this is a major milestone that we're reaching today by introducing the changes to the salary and benefits resolution
Next slide, please
All right, so we're going to do a quick overview of the compensation project and what we've been working on for the last three years
We'll also talk about the background on the salary and benefits process and your role in that, and then we'll go through the recommended updates and changes that we're introducing to you today
Next slide, please
All right, so this is a slide that really talks about the things that we've improved, but I wanted to give you a little bit of background on why we needed to address them
It's been just over five years that I joined the port, and coming into this organization, there were definitely some things that caught my attention
There was lots of feedback from employees about different programs administered by the HR department, and compensation was one that I heard a lot about
We definitely had issues with our salary increases
There had previously been larger salary increases through the pay for performance system, and there was a real need to address the changes in CPI throughout the region
We also had lots of inconsistencies around our job descriptions and different authors would do different things at different times
And it wasn't, you know, well managed in terms of the variety of types of work that we have here at the port
And so we wanted to bring some consistency to that process
We also used a point factor system, which is very confusing for non compensation professionals and really did not help us in the way of making sure we were educating our managers and our employees about our compensation program
We also had rather large pay bands, so someone performing the same work could make substantially different amounts of pay for the same work being performed
We also previously aligned our market reference point to the midpoint of our salary ranges and felt like that was not something to make us as competitive as we could be in the organization
So throughout my time here at the port, we engaged an outside vendor, a local WMBE firm, compensation connections, to help us really look at our compensation program over variety of areas
We held several focus groups
We really did a kind of a landscape scan to see what was going on in the market
We put together multiple design teams, we had sounding boards, we had training for managers at different points throughout this project, and we have already implemented some exciting things
So back in 2023, we did establish the COLA and the Cola plus program program, and we've been operating under that for the last two years
We did simplify the job description and asked all of our managers to rewrite the job descriptions for all of our non represented staff
That is no small feat
Over 800 job descriptions were written
New matrixes were developed to help people build their careers here at the port to really show a pathway forward throughout our organization, we also expanded our market pricing tools and made it a much more robust and nimble system so that we have good information about the market for the jobs that we perform
And what we're bringing to you today is that new pay structure where we've really looked at what is best for our organization
Making them a little bit more narrow, but also further apart
So there's more growth from one range to the next
And so we're really excited
We also did, one other change that I want to make note is that we did make a separate salary structure for our executive positions
And so that is a new element that we're introducing this year
So we will now have two salary structures that we're asking you to approve
And underlying all of this, we also went through that comprehensive equity assessment throughout the organization and the women of color assessment, and that provided a lot of good information and what some additional concerns were regarding our pay program
And so we have established a new pay equity philosophy, and we are in the final stages of finalizing a methodology that will bring more consistency to the program that we offer here at the port
Next slide, please
So this has been a multi year project
We have definitely put in a lot of blood, sweat and tears into this work
We are definitely really focused on those principles of equity, simplicity and transparency
And we've really done a top down, across the board review
So all the training, all the communications, the processes, the practices, we now have much better information about the data that's contained in our job descriptions
And so I think we're really well positioned to have a really robust, competitive pay structure going forward with that
It comes with emotions
Right
Pay is personal
And while there are some that will see some good changes that are perceived as positive, there's also some that are also really challenged with some of these changes
We're doing our best to really educate everyone as to the why of the changes that we're bringing forward
But we do just want to acknowledge that this is definitely a big cultural change for our organization that comes with an emotional response
Next slide, please
All right, so this is the new structure
So we previously had a structure that had 36 grades
We're moving to a structure that has 20
I got the question of why start with 50? We really just wanted to show a difference from what we've had before and where we're starting anew with this new structure
So we'll start at a grade 50 and go up to 70
And you'll see here that we've also made a reference to the market reference point, which is now at the 25th percentile instead of the midpoint
So it gets people to market sooner in the grade and gives them much more space above market in the new salary grades
Next slide, please
And then this is the
We use the same design principles for the executive grade structure
It really does make in terms of design and there is some overlap, but it's not an exact continuation of the previous one that you just saw
There is some overlap, but just wanted to do something separate to recognize executive compensation here at the port
Next slide, please
All right, and as I explained in our briefing, this is we have changed the approach to a phased approach
So today we're asking for the adoption or introducing the new salary structure along with some technical corrections and some of the other areas related to definitions and just some wordsmithing for clarity and a few other minor changes
And then we will be moving forward with our pay equity methodology
There's some additional work that needs to be done and so that we are aiming towards q three for an implementation of that pay equity methodology that will result in some, some, but not all employees receiving an increase at that time
We are currently in the process of re reviewing people's work experience to really determine where they should be in that pay range
And those new processes and guidelines for promotions, temporary assignment and new higher offers will also be completed at that time
Just as a reminder, we are looking at both experience and performance as the factors that could differentiate why someone makes something different for performing the same work
All right, and I'm going to turn it over to our total rewards director, Kesha Reichstein
Thank you, Katie
Good afternoon, commissioners
So, in addition to providing the background of the comp project, we're here to request introduction of resolution 3823, the 2024 Salary and benefits resolution that will update the port salary and benefits policy directive
The salary and benefits directive specifies the pay and benefits programs for non represented employees at the port
Per RCW 530-8170 it is required that the Port Commission authorizes revisions to the bay and benefits programs that are part of the port's overall total rewards package for non represented employees
This year's changes in include the introduction of the two graded salary structure and additional language updates resulting from the compensation project and other definition updates
Next slide, please
The pay ranges at the port reflect the minimum and maximum amount that the port pays to employees whose jobs are assigned to a specific range
The 2024 graded salary range structures reflect what the external market is paying for similar work
As Katie described, we are introducing two graded salary range structures, a 20 grade structure for the majority of non represented jobs and a second seven grade structure for executive leadership positions
Each port job was assigned to a pay range through a job assessment process
Job assessment is a common practice to use the essential responsibility and qualifications of a port job to determine a competitive salary using external market pricing reference tools employees are placed on the new graded salary structure based on their job grades, their jobs grade assignment
So there is no pay change for employees associated with the introduction of this new graded salary structure unless the employee's current pay is less than the new minimum minimum of their assigned pay grade and those employees will receive an increase to their base pay up to the minimum of the new pay range
We're also recommending updating language to align with the job assessment process, which is a change from the previous job evaluation method
Next slide, please
In addition, we're also recommending other language updates that support changes coming from the compensation project
We recommend updating the description for initial pay rates to align to our pay equity methodology
The description for initial pay rates will read as pay rates for newly hired employees will be within the pay ranges set forth in the graded salary range structure and newly hired employees placement within the pay range will be based on related experience they bring to the port
In addition, previously, the chief of police, the fire chief, deputy chief of police and assistant fire chief positions were excluded from the job evaluation methodology
Pay ranges for those positions were determined through the same process we're introducing as job assessment, so the exclusion from this process is no longer needed in the resolution
Next slide we are recommending a change to the definition of at will
Currently, there is a legacy provision for employees hired prior to January 1, 2014 that we recommend be removed so that the AT will designation can be extended to all executive leadership positions
We are recommending a change to the seasonal employment employee definition to be a term of six months or less changed from less than a full year, and that aligns us to regulations like the Affordable Care act and other internal policies and business practices
And lastly, we are recommending updates to the definitions of port, paid family and medical leaves to align with the state's definitions
Medical leave is for an employee's serious medical condition
Family leave is to care for a family member
The port administers the paid leave plans and these definition updates do not result in a substantive change to the plans
So next slide please
The cost of the salary and benefit policy directive that we are recommending includes increasing 42 employees base pay to the minimum of their new pay grade on the 2020 2024 graded salary range structure
We expect this cost to be approximately $191,000 per annum
Next slide
So this is the presentation and recommendations we have for you today
Katie and I are happy to answer any questions
Commissioners, are there any questions for the presenters today? Commissioner Felleman, thank you for this heroic undertaking and I'm sure it's not without a lot of heartburn
So I just think it's really important that the one thing I learned when you briefed me on this, that to make clear that nobody's salary goes down
So this is
Everybody hear that nobody's salary goes down, right? That is correct
Thank you for stressing that
And then
But where the challenges, like, sort of like the glass ceiling can be aye
a little sooner or things like this, that the grade that you're in, you may not be able to exceed
Yeah
I mean, you know, we do
We set a value for every job that's performed at the port
And so when you aye
the maximum of that grade, that is the maximum
Our current practice is to do lump sum payments beyond that, but there are no additional adjustments to base
There is one exception
Like, every year, we will look at the cost of labor and make an adjustment to the pay grades
In the past, it's been from 0% adjustment up to 4% adjustment
So as we do that over the year, there will be possibility for people to get some changes to their base
But it really just depends on what's happening in the market and what we adjust our grades by each year
All right
And one other thing is that the at will definition, that's just to define for
It's for ELT members, or is that beyond ELT members? We do have an additional position beyond the executive team, but there's one executive team member that was hired prior to that being introduced into the resolution
And so we are making that change at this time
But so this will only apply to ELT members other than this one individual, or the salary structure will only apply to ELT members? Correct
All right
Thank you very much
You're welcome
Thank you, Commissioner Felleman, for those questions
Commissioner Hasegawa
Thank you
So, couple questions on slide eleven
I didn't realize that current ELT positions were not at will or exempt
Yeah, it's a legacy thing
It was introduced in 2014
So there is one
One person who was hired before that into executive position that will be changing
And they'll become an exempt employee at that point in time? Yes
They'll become an at will employee at that time
Okay
Yes
And then for on slide five, going through the chart, can you just verify that this is based upon FTEs and not part time positions? Yeah
This is a reflex
Full time salaries? Yes
Can you go to slide eight for me, please? The resolution
And what it does, does the resolution exclude education from being an allowable consideration, or does it just allow for other areas to also lend themselves for consideration
We just, we defined our pay equity philosophy with the factors being expanded and then performance once you're at the port
Okay
Yeah
And is there actual verbiage of the resolution before us to consider? Yeah
That should be part of your document set that has the full resolution
It's quite lengthy
There are all sorts of things defined in it
And what we've highlighted today are the changes
Okay
And then when are we anticipating this to come before us? It will next be before you for a vote on May 28
On May 28, correct
Okay
Thank you
Thank you
Commissioner Hasegawa
Just pausing to make sure that Commissioner Cho doesn't have a virtual hand up
Okay
MR Metruck has some comments
I just wanted to follow up on Commissioner Felleman's question about the lump suMS I just wanted to clarify, actually, that takes place today under the existing structure
Do you want to talk about that for a second, Katie? Just saying
So that's not a new development
That's, it does exist already today in the existing structure
Yeah
So today if you reach the maximum of your pay grade and let's say we apply a cola or a pay for performance increase, they would get that as a lump sum payment as opposed to a change to their base pay
So they're still getting more pay every year that they're at the max
It's just administered in a different way
It's in a lump sum payment rather than spread out throughout the year
And that's current practice today
Yeah
Great
I just have a couple of questions myself
Could you speak just a little bit to how employees were able to weigh in on this process, what opportunities they've had to provide comments and the considerations for that? Sure
So we have had active opportunities for people to participate
When we originally were started, we did surveys and focus groups to get input on what employees were wanting to see in their compensation program
Program
We have subsequently held several executive director town halls, HR broadcasts
We did develop a comp chat series where people could come and get their questions asked
We have a robust website on our compass site that has a variety of information available, faqs
We have an employee feedback email box that people submit their questions and then those are addressed and posted on compassion
All of our live events are posted as well, so people can see what our responses are to the questions that have been submitted by employees
Great
That's really helpful
And additionally, this is not going to impact represented employees, obviously
Correct
This is just for non represented
Right
Great
And then I just quickly wanted to hear how potentially this can impact our budget overall, in the next three to five to ten years
Is that something you all assessed? Yes
So until we get the review done of work experience, I can't give you what the actual dollar will be, but we do expect to increase our payroll costs over time
There are individuals that will be due pay equity adjustments, and we've shared those
Just bringing people to minimum, that's something we've done every year as we adjust the
The pay grades
Sometimes there are some employees that their current salary is below the minimum
So that's done every year when we have that situation
So we don't have an overall estimate, but we do have money in the budget for what we expect to come our way
And it could be substantial
But we are, you know, until we get the work experience review done, we don't have the total dollar figure
We're in discussions right now with Dan Thomas and aye
team in terms of the 2025 budget planning to put some assumptions in there based on our best information available at this time
Thank you, director, for those answers
That concludes my comments
Are there any additional comments before we move forward? Thank you
Okay, so can you describe for me the difference between the use of the word evaluation versus the use of the word assessed and what that's hoped to
Sure
So, previously we used a tool called Job Mez, and we called it a job evaluation
Now we're really leading with market, and so we're no longer using that evaluation tool
So we wanted to signal that it's now different and it really is a market assessment to determine the value of each of the jobs here at the port
Okay, thank you
And then you talk about in section, at the draft resolution, section five 1d, it says, replacing the phrase required skill level, responsibility, and effort required in working conditions with essential responsibilities and minimum qualifications
Can you talk to me about the nuance of, for example, posting something and having a
A list of required versus desired qualifications? Sure
Again, those are changes to align with the new job description that we have in place
We have essential functions, we have minimum requirements, we have preferred requirements, and so on the job posting, we'll now say which of those things are required and which ones are desired
If it's required, it's something you have to have to be considered for the job
The desired are not deal breakers
Right
So you can still get in the door without meeting the desired qualifications
So a desired qualification, although it's not required, it could help you get the job, but you're not being compensated accordingly? Or is that actually addressed within the language of this resolution? Education with a distinct value in how we assign pay to new employees is not addressed
Okay
And I also just wanted to lend my appreciation to you all for this body of work
It's built off of lots of research and lots of engagement with folks to understand the facts of where people are barriers and a strategy to overcome those barriers to equal to fair pay
And I also think that as an employer, one of the business biggest risk to an institution would be turnover
And we would hate to lose talent because we can't complete compete as an employer
And I think it's so important that we take care of staff
I just think it's a really, really critical piece of what we do and are able to maintain functionality as an institution
Thank you for making us stronger
Thank you for making us more
Just wanted to echo what President Mohammed mentioned, that this is for represented non represented employees, though, through our sea workforce conditions committee, President Mohammed and I are taking a look at how we can address justice in access to benefits for non represented employees at the airport, including things like childcare, healthcare and or capacities for all
Thank you
Thank you
All right
Are there any additional comments at this time? Thank you, director, for the presentation
Executive director Metruck has a final comment
Thank you, commissioners
And I do want to add, I want to thank Katie and her team in HR, but also everyone throughout the board that participated in the process
I know this really matters
Katie kind of touched on it, but when you touch everybody non represented in the port on their pay, of course there's interest from all of those
But I think, you know, what we want to build for is all those elements, and I think Commissioner Hasegawa will aye
on those, which is we want to be more equitable in what we're doing
We want to be transparent and we want to be simplified so it's more easily understood
And really the example, Katie didn't use the example, but it's often the one that I like to use, which is we can look at two people doing the same level of work with the same experience and understand why they should be paid, paid the same and not paid differently throughout the port
And so that's really the outcomes that we're seeking, is those being equitable in that pay, in having a simple and understandable
Thank you, executive director Metruck hearing
No further questions for this item
Is there a motion and a second to approve item ten a for introduction of the resolution number 3823
So moved
Seconded
The motion has been made and seconded
Commissioners, are there any additional discussions or debate on this item hearing? None
Clerk Hart, please call the roll for the vote
Commissioners, please say I or nay when your name is called for the vote, beginning with Commissioner Cho
Aye
Thank you
Commissioner Felleman
Aye
Thank you
Commissioner Hasegawa
Aye
Thank you
Commissioner Mohammed
Aye
Thank you for ayes for the second item
Great
The motion is the motion to introduce resolution number 3823 has passed
The resolution will come back before the commission on May 28 for consideration of adoption
Thank you again for the presentation
Clerk Hart, please read the next item into the record
Commission strategic advisor Tyler will then introduce the item
Thank you
This is agenda item ten b, adoption of order number 20240 seven
An order shredding the paper ceiling, end quote
At the Port of Seattle by eliminating unnecessary post secondary degree requirements for port jobs
Good afternoon, commissioners
I am very excited to present this order, a change in our hiring practices that aligns the port with both local and national employment trends
Commission president Mohammed brought forth this order, commission order number 20240 seven to shred the paper ceiling by eliminating unnecessary post secondary degree requirements for most positions here at the Port of Seattle
The text of this order directs the executive director or a designated delegate to remove degree requirements for all port jobs unless such qualifications are legally necessary for performing the job's essential functions
You may be aware of the phenomenon called degree inflation, where over the last few decades, many jobs that did not previously require a four year college degree now do require a four year degree
Studies from institutions like the Harvard Business School have shown that this trend creates inefficiency in the labor market and restricts organizations from finding the best talent for their job openings
Implementing this order requires a clear framework
As I said previously, we will maintain degree requirements where they are a legal necessity for the role for all other positions
Hiring managers who believe a degree is necessary for success in the role may petition the executive director or the senior director of human resources for an exception
These changes will be integrated into our HRAT talent acquisition policy to ensure compliance and uniformity across the board
We would not be alone in making these changes, including the state of Washington's substitute House Bill 20 216
At least 16 other us states have adopted similar policies limiting degree requirements for most state government positions
By adopting order number 22,407, the commission president anticipates several outcomes
Increased access to port jobs for a broader and more diverse talent pool, enhanced operational efficiency by focusing on practical skills and experience and finally, strengthened community ties and support as we offer more opportunities to local residents, regardless of their educational background for the public
I'll go ahead and read the text of the order, which is as follows the Port commission hereby orders the executive director or a delegate to remove all requirements for a post secondary college or university degree for all jobs at the port, unless that degree is required by law for an employee to perform the essential functions of that position
Should a hiring manager have a non legal but significant rationale for narrowing their potential hiring pool for a given position by requiring a certain degree, they may petition the executive director and or senior director of human resources for the ability to do so
The actions above shall be incorporated into the ports
H hr eight talent acquisition policy
So, in conclusion, order number 20240 7 may represent a pivotal step in our port's commitment to inclusivity and efficiency
Thank you again for the opportunity to present
Thank you, Tyler, for introducing the item
Commissioners, is there any questions for this order? Commissioner Felleman, I just want to know how it relates to the presentation we just had on
Does it an emphasis on the scoring or, you know, how is this being folded in or has already been folded in? And thank you
I'll pass it over to our senior director of human resources
Yeah
Thank you, Commissioner
Katie Girard, senior director of human resources
Resources
It's actually perfect timing
As we were redoing all of our job descriptions
That was actually something we were very intentional about asking, why is the degree required? What degree is required? Because so many different institutions use so many different names for similar type bodies of study
So it really is good timing
The way that we captured our job description information from managers, we can actually very quickly assess how many jobs currently require a degree, and we've done that and we are in discussions with recommending changes to all of those managers
We will, of course, entertain the exception requests should we get them
We haven't
We're not quite there yet, but we do have ready access to all the jobs here at the port that require a degree
We were not in that position before last year, so that is actually really good timing to be able to do the assessment and make the changes where needed
Great
Thank you for that answer
Commissioner Hasegawa, any questions? Does this preclude the employer from listing education as a preferred qualification? We don't believe that it does
It's the requirement
So it opens the door for anyone who doesn't have the degree but still could have it identified as a preferred qualification in practice, how do you imagine this would make a difference if they're still listing a degree as a preferred qualification and it therefore gives them an edge in hiring? Yeah
So as we receive applicants, we screen for minimum qualifications
That's then who is considered for advancing into the next phase of the process
And so the recruiter consultation with the hiring manager makes those calls in terms of what's being brought forward by each of those candidates that meet the minimums first
So that's the first cutoff to get into the process and be able to continue
Certainly if they have 100 candidates, they might want to look at the preferred candidates first to see if there's a way to narrow it that way
It really all depends on the size of the pool that we have and what is being brought forward and what specifically a hiring manager is looking for
And do you think that that helps us compete with other places where it does, where folks having education or a certain level of education, which is a preferred qualification, that that could give them an edge in a different employment setting? I suppose that's possible
You know, it goes to the culture and what someone brings to the table
I've certainly been in government a long time and have seen people that were precluded from getting into a job that they probably would have been very successful in and vice versa
You know, someone who has the degree that maybe doesn't offer the experience that's really needed for the job at hand
So it really is individual, where we're always looking for the best candidate for each of our jobs
And is that if it was listed not as a required qualification but as preferred qualification, could it come up within the range of the salary position as like a tool for leverage, for negotiating pay? Or is negotiating pay even something that the port of Seattle will do anymore as a starting point? We're really trying to get negotiation out of our process because that's where inconsistencies occur
So having a formula that we are still working on finalizing, but having that focused on the experience you bring to the job at the level of what, what the scope and responsibility is for the job you're being hired is what we will be assessing to determine starting pay
And even though experience might be separate from education, experience is still going to be an objective measurement, as objective as possible
We ask people to tell us how their job is similar to the job that they're being hired for and then making that assessment
And the idea is that we're eliminating bias and hiring processes
Correct
Thank you
Thank you, director, for those answers
Any additional questions for staff at this point? Executive Director Metruck has a comment
Yeah, just, I think it kind of built building on your discussion, Commissioner Hasegawa, is that that level of experience in this opens up the door to widen, to broaden the pool
You talked about it perhaps being shrinking if you're applying for other jobs, it'll actually, in my view, will broaden that the pool so we will have more candidates to look at
And then my experience, similar to Director Gerard's, is that sometimes that experience really has a value into itself, and that's what we're looking at, similar experience or experience that leads to that
So I think it'll
I think this is a great step that will help us broaden that pool of applicants
Great
Thank you for those additional comments
Any further questions for staff? So hearing no further questions for this item
Is there a motion and a second to adopt this item? So moved
Second
Commissioners, is there any further discussion or debate on this item? I have some comments that I'd like to provide
Considering that I brought this order forward, I just would like to say that I think this action is really designed to open up opportunities to create more opportunities for folks who do have significant job experience, maybe technical degrees, certificates, and who want to be able to have an opportunity to work at a place like the port of Seattle
As someone who has multiple degrees from the University of Washington, it's important to note that I am not trying to remove consideration for degrees in hiring processes
Instead, I view this order as a way to broaden the pool of applicants who are considered for poor jobs in a matter that is transparent and equal
I see this as a legislation similar to the ban the box legislation that we've seen in Washington state, and also just want to underscore that this order aligns with the Washington State House Bill 20 216 that just recently passed
And also, there are 16 other states across the United States that have eliminated degree requirements for most state positions
And last year, I actually participated in a Harvard fellowship program, and this particular issue came up
It's in the language of the order as well, where Harvard Business School has found that these degreed inflation metrics that we see for many four year college degree requirements that previously was not required is creating a phenomenon that is making the US labor market more ineffective
And that is just the fact
And so I think this will not undermine degrees, but just create more opportunities for folks who, who may not be able to go to a four year institution or who have significant job experience, and a degree is not necessary for them to apply for a particular position
So I don't think anyone should feel threatened by this or feel like, oh, my God, my degree doesn't have value
It has a lot of values
Again, as someone who has multiple degrees from the University of Washington hopes to get a PhD someday
We think your degrees are very important
You should go after that
We support education
We're just saying that this is a way to create more opportunities for all
And so I'm looking forward to the vote today
With that said, Clark Hart, please call the roll for the vote
Commissioners, please say aye or nay when your name is called
Thank you
We'll begin with Commissioner Mohamed
Aye
Thank you, Commissioner Cho
Commissioner Felleman
Aye
Thank you, Commissioner Hasegawa
Aye
Thank you, Commissioner Cho
Is he still online? He is
And one more time, calling for Commissioner Cho
Hi
Sorry
I got disconnected
Sure
I'm sorry for the vote
I didn't hear you, commissioner
Aye
Thank you very much
Four ayes, zero nays for this item
Thank you
The motion has passed
Can I put a comment? Yes, Commissioner Felleman has a comment
It's muted
I just wanted to say nothing out loud
No
I wanted to thank Commissioner Muhammad for the leadership in taking this, and I think we should hold her multiple degrees against her, although it did help with the election, I'm sure
But no, thank you very much
And I'm glad it dovetailed so nicely with our other work on salaries
So appreciate that
Thank you
Thank you, Commissioner Felleman, for those comments
Clerk Hart, please read the next item into the record, and then executive director Metruck, you'll have the floor for the introduction
Thank you
This is agenda item ten c, authorization for the executive director to prepare design and construction bid packages for s concourse, facilitating projects, to procure long lead items, to utilize port cruise for design support, to execute an alternative delivery contract, and to increase the project authorization by $25 million for a total project authorization to date of $127,500,000
Commissioners, before I present the next item, which Lance and aye
team are all here to do this, but I would like to take a point of personal privilege to recognize the contributions of one of our employees, and that is Kazuei Ijuata
So, Kazue, you know, I want to recognize her and take this opportunity before this item
It's related to that, and I want to recognize her for developing international service at the airport
Kuzaway started her career at Seattle at Seattle Tacoma International Airport nearly 40 years ago when she was 15, and she has traveled every corner of the planet finding win win solutions that better connect with our community to the world and help airlines run successful businesses
She has played a critical role in defining today's Pacific Northwest economy, cultural diversity, and opportunities, not to mention those family connections as well, throughout the world
I just want to highlight a few of the statistics that show the growth in our region during her tenure
Back in 1989, our airport served almost 5 million passengers, and this year we will serve over 50 million passengers
In 1989, we had 15 airlines with international service and only eight with service to Asia or Europe
By the end of 2024, we'll have 53 services to 33 international destinations on 28 different airlines
Those numbers are amazing, and that's what we call the causeway effect causeway
Thank you for your service
What you've done has been an incredible representative of the region in the port
Executive director Metruck, would you like me to call causeway up for any comments? Sure
I think that we would welcome that just in case
Yeah
And I'd like to give an opportunity for commissioner Cho make any comments as well
Point of privilege
Well, thank you so very much
I am really humbled, and I feel truly grateful
And there are a few things in my life that I've done right
One is that nearly 40 years ago, I came to Seattle with only two suitcases and one way ticket and decided to live here
That was really the right thing to do
I was actually very cold, even
It was June because I only brought warm clothes, and I didn't have money to buy new clothes
I was freezing all the time
Second, I chose to work for the port of Seattle, and I think the best job is to work for the benefit of the community you love
And I was truly grateful that poor Seattle gave a chance to a girl from Tokyo with virtually no experience at the time
And finally, I think one of the best things I've done is to marry my husband, and he's here today
And it was really actually a package because I couldn't have done my job without aye
support all along
So it's been truly a great privilege for me
Thank you, everyone, for all your support
And I would truly cherish my memory of having walked here
Thank you, everyone
Thank you
Kazuya, you could stay
We have a couple of comments from commissioners
Feel free to stay seated
Point of personal privilege
Commissioner Hasegawa
Kazuhi san, I wanted to thank you for all of your years of service in japanese culture
We're born into a sense of debt, and we spend our whole lives trying to pay that debt back to the society that has given so much to us
And when I see somebody who came before me at the port of Seattle, who has done so much to make it what it is today, to step in only two years ago, and to be able to continue the legacy of service, I very much think of it as having inherited that legacy from all of you who have done that work for so long, and we will spend
We'll spend the rest
I'll spend the rest of my tenure trying to pay that forward
Thank you so much for your example
Thank you
Commissioner Hasegawa
Commissioner Felleman
Well, causeway, I've had a chance to watch you in action for some time now and even had to go to China for cutting the road ribbon on Xiamen airlines, which turned off again and on again
So we appreciate your tenacity
And the one thing I recall most about, I think the thing I've told you most over the years is while we've been having all these growing pains and trying to fit another wide body into the gate, if we could, I was always thinking that you should have paid administrative leave because you've been so successful
We just need to catch up to ourselves while you are out there continuing to encourage more folks to come our way
And I'm so appreciative that you have done such a phenomenal job and your legacy will go on for a very long time
What Commissioner Metruck does? Commissioner Metruck? Executive Metruck
I didn't mean to downgrade them
Executive Metruck was summarizing
What just happened since 1989 is extraordinary
So thank you so much for your service, and I hope you stay nearby
Thank you very much
Commissioner CHO
Yes, thank you so much
You know, I'd just like to echo the sentiments of my colleagues
Causeway
You and I have had the opportunity to travel together in recent years, most recently in Sydney
And I saw you in action talking to some potential new carriers for gateway
And quite frankly, it's no, no mystery why we've been successful when it comes to expanding our portfolio of offerings, when it comes to international travel
You're such a huge part of the reason why we continue to have both in our gateway, why we recovered beyond our pre pandemic service offerings
And, you know, we're in tremendous debt to the tremendous work that you've done
I think it goes underappreciated how much and how difficult it really is to accommodate international carriers
It's a completely different ballgame than domestic carriers, as you know and as many of my colleagues here know
And for us to work in such a constrained space where, quite frankly, for many years, we didn't have the IAF and we didn't have enough gates, it's truly remarkable what we've been able to accomplish
And so all that a huge credit to you and your team, all the work you've done over the years
You know, I hope to continue to build on your legacy and we hope to continue to see you around the board
So thank you so much and we wish you best
Thank you, commissioner
Yeah, I also just want to take a moment to echo those same sentiments I heard of your name and you and your work before I got to meet you in person
And so I truly believe that your legacy will live on throughout the port, whether you're here or not
And it was a pleasure being able to meet you at the opening of the indian consular general's reception and the opening of that office in Seattle at the time
And your passion for the work really comes through
And again, I just want to say thank you for your public service, and it's great to see how much director little lights up to see you being celebrated in this moment
And so that really does speak volumes to your leadership and the work that you've done here at the port of Seattle
Again, thank you for your public service
Thank you, commissioner, and thank you everyone
And it's been really a great honor for me
Thank you
Thank you again
Executive director Metruck
Thanks
We'll segue now, but I, and I know that director Little will have an opportunity to say some things about Causeway
I don't know if you want to say anything now
Yes, I would definitely
Thank you
I heard about Causeway before I met her as well, but I've had the display pleasure of actually working with her and to see her genius at work
We have had to go to different locations to convince airlines to come here versus going to other cities
It's a very competitive thing
They're trying to make a decision, should they go to Vancouver, LA, San Francisco? And Causeway is so brilliant in preparing myself and some of the other team members when you go to these air service development trip, because it's a different culture, it's a different behavior, it's different everywhere
It's different in Asia, different in the Middle east, different in North America, etcetera
And she is so prepared, she's so good at what she does, and you're in her presence and you're in awe and you're just seeing this genius at work
And I'm going to miss her more than anyone is because I'm the biggest beneficiary
As I said in the quarterly review earlier, I have on my performance plan every year, air service development goals
I've never missed one of them ever
In fact, the complaint I get from the operations and the planning and development team is that, hey, tell Causeway to slow down
We don't have enough gates for all these airlines coming in
So I've been, like, the biggest beneficiary and causeway
We're gonna miss you so much
It was a pleasure working with you
I've had the pleasure of meeting your host husband as well
Just a fantastic individual, and we're just really, really going to miss you here
But thank you for everything that you have done
Your legacy will live on here at the port forever
Thank you
Thank you, commissioners
And that's a great segue, because we're going to be asking you today to invest in facilities that support international travel
Was that a trick? Causeway is going to help you guys get the yes votes, huh? Yes
Yes
Commissioners
The south satellite on the s concourse was constructed in 1971 and serves millions of passengers each year
In October 2022, you provided initial authorization to reimagine this outdated facility through addressing critical code requirements and enhancements to to the passenger experience by repurposing of the existing federal Inspection service area, concourse level renovations, and expanded penthouse level
Our team is back before you today, led by managing director of aviation Lance Liddell, to request authorization for facilitating projects to ensure minimal gate outages and passenger impacts during construction
So the presenters are director Little John Freeman, capital project manager Chris Colder, Campbell, program leader, and Kerry Stevens, director of aviation facilities and Campbell prograMS So with that, I'll turn it over to management director Lance
Thank you, executive director Metruck
Good afternoon again, commissioners
Before handing over to Chris and John, I'd like to just say a few words about the significance of this project
As you have heard me say on many occasions, we have these long term goals to become a five star rated airport, to be in the top 25 airport worldwide, and to have level of service, optimum sustainability, go greenest airport goals, et cetera, et cetera
So this is one of the many projects that I've shown many times in the puzzles that were putting together
Other projects included the international arrival facility, the North Concourse Central Terminal, which are all completed
And, of course, we're doing the north main terminal with Alaska Airlines, the widens, arrivals, and many other project restrooms, etcetera
However, the difference with this project is that it will be more than, like, the most expensive, the most disruptive, the most complicated project in the history of the airport
That's how important it is
And one of the reasons, of course, there are many reasons
One of them is that we have such small footprint
We are one of the most densely, if not the most densely operated airport in the United States
And it makes everything that we're doing that much more complicated
The ideal situation would be to just shut down the entire concourse
Rebuild it or shut down half of it? Rebuild it
Alas, we do not have that luxury because we have to keep operations going
We have to keep airlines operations going, especially international operations, and that makes it that much more complicated
Now, when the facility is completed, it will have all these wonderful amenities to meet the needs of our traveling public, which John and Chris will talk about
However, the important thing to remember is first and foremost, this is a safety and a compliance code upgrade project
That's very important to remember
It's a safety project
Seismic upgrades, code upgrades, etcetera
Very, very important to remember
So without any further ado, I'll hand over to Chris
John Freeman, capital program leader, overall responsible for the SCE project
Next slide, please
So with this, the project is part of the upgrade sea program
So working very closely with external relations and just across the airport as a whole, make sure we're getting, getting word out as the project starts progressing along through design just on the impacts that are going to occur when they're going to start seeing those gate outages, see construction, be able to start getting out some sketches and drawings so that individuals that are going to be traveling through the airport have an idea what they're going to be seeing here in the next couple of years
We're also going to be doing some big media tour things, just prepping everyone as we get ready to start all of that
Next slide, please
So as both executive director Metruck and Lance said with this, it really is a 50 plus year old building now, and we want to give it another 50 year life
That primary objective is the structural component, both gravity and seismic upgrades throughout the entire building
We also need to upgrade the utilities to the building
There's currently only a single water source that enters the building
Not very viable if we have some sort of issue with it
Need to provide the redundancy, also need to, you know, get smoke control, updated h vac systems that are more energy efficient meeting the current codes, get all that accomplished as that primary objective, secondary is really just enhance the passenger experience
This is a 50 year old building
There's still some of the old ceiling tile out there that has, you know, some of the cigarette smoke stain in it and stuff like that in some of the spaces allowed
So lots of stuff going on with that
Commissioner Cho, do you have a question? Okay, so lots of ADR opportunities throughout it
Right now, we only have four restaurants available for passengers
We'll likely see upwards of ten plus when we're completed with it
Also, you know, new sensory room, mother suites, options like that very similar to what's at the new normal north concourse
We'll also put on the S concourse, providing more opportunities there
One big difference from this project as compared to the N concourse, as we are not going to be adding any gates and it does not increase overall capacity of the airport
We are space constrained just to meet the FAA requirements of the existing building
So we're not going to add any gates
And that's a big piece we want everyone to know
Also, so far we've already selected a designer, a contractor, project management controls, and a commissioning agent
And we started the 30% design with the contractor
We are going with an alternative delivery of a general contractor construction manager, which is a lessons learned
This is the same methodology that we used on the North Star north satellite project
We had a lot of success with that working hand in hand with the contractor early on
There's a little bit of difference in that with a design build, the designer is contracted directly to the contractor
We're going with the GCCM
They're contracted directly to the port
So it gives us a lot more flexibility and control over the design, while also having that contractor there looking at constructability, providing pricing at each phase of the design as we move forward
Additionally, under the project management and controls piece of the project, we have a airline specific project manager
It was very slow, similar to the airline technical representative that the airport uses today
To really coordinate with all those international and domestic airlines that use this facility
We felt it would be very beneficial to ensure that the airlines are being updated, have all the information they need at any one time
And as I said, we're starting the 30% design going to be completed with that towards the end of this year for base building
And with that, I'm going to turn it over to Chris
We can really start talking about why we're here here today with the facilitating projects and what we're getting ready to do
Yeah
Thanks, John
Next slide, please
So, during our initial commission authorization, when we were here before you, we communicated that we'd be back to talk about the operational impacts and how we'd address those
So really, that's what I want to dive into right now
John referenced the north satellite project and how successful that was
So when we started this project, we took a similar initial approach to phasing, and we're going to do it first the north half, then the south half
But immediately what we saw is what that would do to the operational impact
Thanks to Causeway and all of her international traffic that she's brought us, what that actually does to the s concourse is, has a cascading effect throughout the airports when you start to take out gates there
So, looking at this, we realized our regular approach wouldn't work
If we took a kind of standard approach here, we'd have 50 to 70 gates, 50 to 70 flights that would be uncertain, served during our busiest summer days
So that doesn't mean 50 to 70 flights without a gate
That means 50 to 70 flights, period, don't have a place to even park at our airport if we proceeded in a normal way
And so it was clear we needed a suite of solutions
So if you go to the next slide, this is just a sampling of some of the alternatives we looked at, as Lance alluded to, were an extremely space constrained airport
So we really had to take a no stones unturned approach as we looked around the airport for places to park aircraft and then be able to move people out to those aircraft
One of the things we looked at in our approach was a variety of competing factors that included how well some of these other facilitating type projects would impact cost and schedule, overall customer experience, how well they met the airline's needs, and then the compatibility with the airport's own planning objectives
One of the things we ended up doing was we put a team together, and that team consisted of an airline technical representative
It consisted of people from our operations team, customer experience, security, and other stakeholders
And then we use those factors to evaluate these different facilitating alternatives
Next slide
So what we came up with was a menu approach
It includes both revising our phasing concept and then some facilitating projects that are going to help us solve the issue for our flights
John is going to talk about the phasing approach here in a bit
But one of the things he did working with our design and management team was to come up with a multiphase approach which accomplishes all of our seismic and structural upgrades while limiting gate closures during any period in the project
So really, it's that phasing revision of the phasing that's the real heavy lifter that helps lower the overall impact that the project has to our gates
The other part of the equation is some of the facilitating projects, and this includes a short term hold room facility that replaces some of the hold rooms eliminated during the actual construction
We also have a variety of aircraft pasture operations that are going to need to shift out to different places around the ramp
And then finally, we are converting an existing busing gate back to a contact gate served by a loading bridge on the deconcourse
So John alluded to this, but these facilitating projects, they directly offset the gate and hold room capacity, lost it as concourse during construction
These are short term improvements and they do not increase the number of gates or increase capacity at sea
They are just there to mitigate the construction
At this point, I'm going to pivot back to John
He's going to talk about some of the schedule and cost impacts that go along with this
Thank you, Chris
Next slide, please
So with this, the rephase of the base building, as Chris said, really was the biggest piece of that 50 to 70 flights
We're seeing that reduce down to ten to 15 flights per day
By going to the rephase, we worked with the designer and contractor on this
The designer was able to come up with the three kind of schematics you see at the bottom of the quadrant, north, south and west link
The idea behind that was just come up with options that they felt did not have a fatal flaw to do the phasing, but also be able to design the building so that we could complete the work safely and work through it from that
We then then turn that over to the contractor, did the same assessment for them, look at the three options, final fatal flaw
If not, come up with an overall pricing estimate that you could with it
And they were able to complete all this within about a three week time period
It was a very heavy lift that we requested of them, but they all aye
the ground run and worked really hard to come up with the options for us and prove that we could go to a multi phase approach as compared to the two phase that we're initially starting with with and be able to do so safely for the passengers
With that, though, it's about two to three years of additional construction time that we feel like going to the multi phase
From two phase, there is some additional cost and we have to do a lot of the repetitive of the mobilization and demobilization of some of the workers that increase some of the cost to it
And we'll work the interior piece of the work separate of the exterior piece
Once we get more into the design and actually know which option we're going to go with, it looks like right now we're leaning more towards kind of the north south approach
It seems to work the best on the initial structural design work that's going on, but we'll continue to evaluate as we move forward through this 30% design next slide
So with that, the overall increase to the budget, the rephase is the largest amount, about $300 million
Direct construction on that would be about 250 million
The other 50 million would cover the design and just overall costs for project management and staff for that additional two to three years of time, bring it up to about $300 million in total
And that is ensuring that we have no more than three widebody gates out of service at any one time throughout the entire life of the project
The remaining pieces at Cargo 367 and the D six PLB conversion is about 175, $79 million combined between all of them
And then as part of this, we are going to need to buy additional buses to get passengers to and from the hold room at cargo seven
We also need to get staff shuttles so that the airlines can get their employees out there ahead of time so that they're ready to receive those passengers at the aircraft
We're also going to need some additional AVI ramps so that passengers can get from ramp level to the aircraft, and that overall ground support equipment in these different operating areas
So the overall increase that we're seeing for the program is $500 million, which is bringing our overall project budget range to between 1.9 and $2.2 billion overall
Next slide, please
So the request today is to prepare those design and construction bid packages for the facilitating projects
Also, authorization to procure long lead items, the loading bridges for the D six work
We're seeing anywhere from an eight to ten month lead time on those right now
We also want to be able to use port crews as necessary for design support, opening ceilings, get into some of the areas that we need to do the work, execute an alternative delivery contract for the delivery method of the hold room out at cargo seven, and then increase the authorization to $25 million for an overall authorization at this point in time of $127.5 million
And pending that next slide, please
Any questions? Does that conclude your presentation? Yes, it does
Oh, wonderful
Thank you for this detailed presentation
I will now open it up for questions from my colleagues
Commissioners, are there any questions at this time? Commissioner Felleman, I told you causeway was no good
We laid this bill on your feet
No
Anyway, thank you so much
It's an enormous undertaking, and it also begs the question in terms of to do this in one reading is a little bit of a large bite
So tell me, from a time perspective, you guys seem to be off and running, and that's not a bad thing, don't get me wrong
But I'm just wondering, we don't have a full commission here, enormous amount of investment
To the degree that we make this a first reading, how much does this affect your schedule? So right now, it would impact our schedule slightly if it was to wait two weeks for it
Anything beyond that, we would really start impacting the design starts, which impacts the overall gate closures of the base building
Which we're scheduling right now is right after World cup in 2026
It's still a fairly compressed timeframe for us to be able to get all of these facilitating projects completed in time to support those closures of gates
But I would say two weeks would not make a break as per se
Okay, and you're not suggesting this is done by World cup? This is, you hope to have some gates operational by World cup? Is that the goal? All of our facilitating
Our goal is to have all the facilitating work done by World cup
But we would not close any of the actual gates at S concourse, those wide body gates, until after World cup is complete
So that's why we're pushing hard on the facilitating work now, so that we can meet that timeline
Even starting after World cup, we're still looking at late 2033 to early 2034
With the multi phase approach for schedule and big piece of to that is escalation, we'll just continue to eat into project budget over that time
My major interest was like when we see this kind of infrastructure investment, that the ground support equipment, that we're going to have the infrastructure in place for electrification, even though power is
I think we're over allocated
Everywhere we look, everybody wants to plug in, but it doesn't mean we shouldn't have the ability to do so if we come up with new generation
So is all of these
Are all of these gates going to be equipped being able to run electric tugs? And do we have space for all that? And we making space for it
So we are actually lucky that the south end of the airport has some additional capacity
We will have to put in base infrastructure to make it work
And we are evaluating options when it comes to the electrical co buses and everything moving forward
But the gates themselves will have the functionality to put the tugs out there for electrical tugs and everything
We're working as part of the building itself to provide that
We'll also provide the potable water cabinets for the aircraft at that point in time, and any of the other necessary pieces and components in and around cargo seven and then the gate d six would be very similar to every other gate that we have now
Has all of the attachments on there
Of the 400 hz pc air, everything's connected to the building
Thank you for that, commissioner
Can I like to add to Commissioner Felleman's question
What you're authorizing today is 25 million, which is in addition to
They'll bring the total authorization to 120
We'll come back in first quarter 2025 for the construction moving forward
I just want to clarify what the item before the commissioners today is
Well, that's important to acknowledge
I think I just had one other thought
So I understand we're going to be doing, like more hard stands, right
That's the way we're going to get around this
Correct
And so I think I was saying when I was being briefed on this, most people don't know the term hard stand, but it's not a very positive connotation associated
So think about the scenic stand
So the bus ride
It will be a scenic amenity that we will be adding to your airport experience rather than putting you on the tarmac
Wasn't that what you were thinking? Oh, planes, trains, and automobiles, commissioner
Give them a little bit of everything for their flight
Anyway, I forever grateful for you guys to be able to think about phasing of something this complicated
And to your point, if indeed it was just a
I'm looking at 2.2 billion, I think I should have all my commissioners with me when we do that
But if this current ask is just of that 25 million, I am open to the conversation here
Thank you for that, Commissioner Hasegawa
And then I'll go to Commissioner Cho, who I see your hand is up virtually, I think
Thank you, President Mohammed
I think for me, the question that I have is for a total project that will cost over $2 billion, how is this not a part of the sustainable airport master plan? How is it not involved under that purview? We have our director of environmental here to help answer that
Thank you
Hello
Sarah Cox, director of aviation environment sustainability
As John and Chris noted, this is Sarah's mic on
Yeah
This is a safety project, a seismic project, and is not adding any capacity to the facility
One of the primary purposes of SAM is to increase capacity both in the terminal and in gates
And so that is kind of a differentiator between the scope and SAM versus these renewal and replacement
Excuse me
In upgrade sea project suite
I would like to note, though, in the SAM environmental review, the accumulative impacts from this project are included in SAMP
If that doesn't get wrong, can explain cumulative impacts of this project
So for the, either the air quality, transportation, the related impacts from this project and upgrade SCP projects are included in all the data analysis in SAMP and will be presented in the draft NEPA EA anticipated to be released in Q four of this year
So this
Can you talk about the known or measured impacts on something like air pollution associated with this project? Well, this project isn't increasing any of the capacity, so it would be, it's the construction impacts that would be accounted for in the SAMP environmental review data analysis
Okay
Thank you
That's very helpful
Thank you, Commissioner Cho
Yeah, thanks, team
I appreciate the briefing
Could you please tell us what potential streams of federal funding or grant funding you've identified that this qualified for and they may see in the future between now and 2033? Yeah
So right now we have 200, about $226 million, and the bipartisan infrastructure law grant funding
It's 545 plus million dollar grants
We've already initiated the first grant at about $30 million dollars
We're waterfalling the next one, the remaining 15 million into the next grant that we plan on asking for later this year
So overall, about $226 million total
Working very closely with the contractor and designer for identifying all the buy american components and all the pieces and parts we need to do to ensure that we meet all of the grant requirements
We're also looking at an overall project wide waiver to ensure that we are able to get all of that dollar, all the amount of funding
And we're also working very closely with finance and budget
Robert Giacopetti and myself meet monthly and coordinate through the team for any potential additional grants that are out there
We did apply last year for some ATP grants
We were not selected, but we're going to continue to apply this year for it and then wait and see what the next set of grants looks like as released from the federal government
So 226 million right now, but continuing to
To pursue any that we can into the future
That 226 million has not been factored into any of the cost of things that we're voting on, right? Correct
Yeah
That is not accounted in the 1.9 to 2.2 billion yet, Commissioner Felleman
So I don't want to belabor the Sam question, but I don't understand how you can account for impacts
I mean, I understand there's no new gates, but
So if it's not in Sam, why do you have to account for the impacts? I mean, this account for the impacts to do construction of a new job like you would do anything
But why does account in Sam if it's not part of Sam? That is part of the environmental review process to identify projects that are occurring outside of the master plan process and to include them in your data analysis and because this project will be occurring in the timeframe of the SAMP projects
The construction elements associated with that are included
So does that mean if the environmental review process doesn't come back favorably, that this project then is at a pause because this project undergoes its own environmental review process, both which is expected to be completed when believe we're starting it
The end of this month, early June is when we'll be going out for the CEBA environmental review
So assuming if that results in it being unfavorable, does that pause the project? And we've already made the investments and have gotten federal grants
So the project, we would identify if there's additional mitigation actions that would need to be conducted based on the outcome of the environmental review
So to extend the project and lead to additional investment as a opposed to it actually pausing
And it might not even that
It might be just how we design something
It would maybe be designed differently than it currently is proposed
Thank you for those additional answers
Any further questions? Now we got me going, and it's your fault
So
All right
SAMP isn't approved yet
Correct
So
And this project has obviously got legs
So, you know, so the environmental review of this project, clearly there's mitigations you can do for a project
You know, I guess the reality is if Sam isn't approved, it doesn't jeopardize this project
This project has its own material mitigation
It's just that this additional burden would not be added to SAMP
If, you know, if that helps SAMP collapse on its own way, then it would have to count towards that
But whether or not SAMP goes forward doesn't affect this
Correct
But this could affect SAMP going forward, conceivably
Although this would not be the biggest burden that SAMP has to face, but it is some weight on the environmental impact
I'm hearing that it's a standalone
It's a standalone and
But it's being accounted for
The construction impacts are being accounted for
I'm not suggesting this is the straw that breaks the camel's back, but the point is Sam's approval has no impact on this
But this has some amount of impact on Sam due to the fact that the construction impacts need to be considered
If this project were not to go forward, it would just remove an input into the SAMP data analysis
That's the inverse of what I'm saying
Yeah
All right
Thank you, commissioner
Has it gotten though this approval, as requested, is not a piecewise a step of approving Sam, correct? Correct
Okay
Thank you
Totally completely isolated
Thank you for answering those questions, and I know we're asking them on the fly, so I appreciate you being patient with us and answering those questions thoroughly
I did have a question for the project team
I know that you mentioned adding some funding for buses and supportive service personnel guidance
Could you maybe just speak to
And maybe this is further into the project, but just even signages, considering that this is a big construction project, let's say a train is down
How much investment are you guys making in things like signages and personnel guidance that can help customers move through the airport smoothly? Yeah
So we have wayfinding built into all of the projects that need the use of a bus, which is all of them
So we have the wayfinding cost is built into all those so that we can put additional signage throughout the airport
And we're working very closely with customer experience, operations and everything on where we can best put that signage to ensure that everyone understands how to get through the bus, especially, you know, the cargo seven hold room
It's going to be busing from the terminal to that in a continuous busing loop
So three buses running constantly, shuttling passengers to and from that area
So there'll be a lot more signage there
We're looking at likely using the a 2021 as the best option right now
And with that, we'll have some additional signage budget is built into that
Overall, $179 million cost that we have
And can you compare that maybe to, like, other projects that
That we've seen at the airport? Is it like that double, triple? I would say overall, it's fairly comparative
It's just the stand that we need to
For the base building itself, we have a significantly larger amount going to the multi phase, and that's just because as gates are closed in different patterns throughout, it'll be more complex for passengers to get through
We'll also have the temporary walls and everything similar to the gateway project going on on the north side of the terminal now
So we do have additional cost built in there
That's probably, if not double, triple of what other projects would have for wayfinding, because it's not just, you know, the end state
We are looking at throughout the construction process with everything, what's needed to have that highest customer experience overall that we can
How do you guys measure the success of that, of just the wayfinding? Like, is it just
Do you guys survey customers? I think for commissioners, that's probably one of the areas that we hear about the Mohs
Yeah
So customer experience does do so surveys all the time
Looking through the different areas and asking those questions during construction, and that's something we're working very diligently with them
External relations also does go out and try to do everything ahead of time, releasing videos, you know, different articles in the news to explain to everyone what the next big changes are going to be
So our goal is to, you know, that early and constant communication with the public through every means of it as our overall goal
Thank you for that
All right, commissioners, are there any further questions for this item before we move forward? Thank you all for the presentation hearing
No further questions for this item
Is there a motion and a second to approve item ten c? All moved? Commissioner Joe moved it, and I heard Commissioner Felleman seconded
Commissioners, are there any additional discussions or debates on this item hearing? None
Clerk Hart, please call the roll for the vote
Commissioners, please say aye or nay when your name is called
Thank you
Beginning with Commissioner Cho
Aye
Thank you
Commissioner Felleman
Aye
Thank you
Commissioner Hasegawa
Aye
Thank you
Commissioner Mohammed
Aye
Thank you
Four ayes for this item
Thank you
The motion has passed
Thank you all for the presentation
Again, commissioners and executive director Metruck, the time right now is 01:58 p.m.
I will be going
We'll be going on to recess for about five minutes, and I believe that Commissioner Cho will be dropping from the call at this time
And so we will be back at 02:05 thank you all
Thank you
We are in recess
Good afternoon
This is commission President Hamdi Mohammed reconvening our regular meeting of maybe 14, 2024
The time is now 02:07
We are returning from our recess, moving us along to the next part of our agenda, which is presentation and staff reports
Clark Hart, please read the next item into the record and then executive director Metruck will introduce the item
Thank you
This is agenda Item Eleven A, the Sea Stakeholder Advisory Roundtable 2023 Annual Report Commissioners, I'm pleased to introduce the annual report on the Sea Stakeholder Advisory Roundtable
Start, which was initiated and led by aviation managing director Lance Little
Start continues to play an essential role to enhance cooperation between the port and the Highline forum
Member cities of Sea-Tac, Burien and Des Moines, Normandy Park, Tukwilla and Federal Way, Alaska and Delta Airlines also serve on start and on the FAA, and the FAA provides agency expertise
Over the last year, start has fully focused on implementing tangible solutions that address aircraft noise and emissions issues
Today's presentation will cover some of the accomplishments in 2023 and offer some community perspectives
The presenters this afternoon are managing director of aviation Lance Little and, well, another title I see here, Lance is Stark chair, I guess, Eric Schinfeld, senior manager of federal and international government relations, and Marco Milanese, senior program manager of community engagement
With that, I'll turn it over to Lance
Thank you, executive director Metruck and good afternoon again, commissioners really appreciate this opportunity to update the Port of C Seattle Commission on the SEA stakeholder Advisory Roundtable
As executive director, Metruck said, I'm joined by Eric Schinfeld and Marco Melanies
Next slide, please
So I want to begin today's presentation with a quick overview of Start, including its purpose and structure
Then I will highlight the successful efforts, programs and initiatives that the aviation noise working group on the federal policy, the working group achieved in 2023 and also in 2024
I will then be joined by Eric and Marco, who will assist in answering any questions that you may have
Next slide
So we are very aware of the confines and the constraints that the airport have within the community
The Port of Seattle is committed to building open relationship with the community and the local cities that foster trust, accountability and collaboration
One of the challenges we had prior to 2018 was would see community members would come to the commission meeting, advice their concerns about noise and other impacts that the airport had on the community
But nothing would happen
It would just be this cycle over and over and over again that we had to do something about it and we were looking at a solution
What is it that we do about it? At the same time, one of the city came up with this very idea
The FAA also came up with this idea
So it was kind of like the perfect Storm, a good storm, and we all got together and that was the creation of Start in 2018
So next slide, please
So working in close collaboration with the leadership from the six cities, Steve mentioned the Highland, four member cities of Sea-Tac Bureau in Des Moines, Normandy Park, Tukwilla and Federal Way
The Port of Seattle and its partners developed Star to enhance cooperation between the port and the airport communities
Star provides the Port of Seattle with a dedicated forum for discussing and tackling airport and aviation concerns from Highline for members, cities and their residents
Next slide so each city designates three members to serve and start, who are joined by representatives from Alaska Airlines and Delta Airlines and port staff
The Federal Aviation Administration or the FAA provides agency expertise
As the airport managing director, I serve as a chair and I dedicate the necessary staff, consultant support and technical expertise to assist start with this work
Meetings are held every other month
They were facilitated in the beginning in 2023 by Brian Scott and now by Andres Matteo, both with uncommon bridges
In 2021, Start steering committee was established to provide support, guidance and strategic direction for the roundtable
The stern committee is also responsible for determining start membership or any changes to how star operations, the port, the six cities and the two airlines are all represented on the stern committee
Now I know it's been an issue that has been brought to commission's attention
Previously
I want to assure commissioners that start steering committee has considered requests by other communities to join start each time the steering committee members discussed and have decided to retain the current membership size
Start also created two working group to empower start members to work on identified priorities between the start meetings
That's the aviation noise working group and the federal policy working group starts major accomplishments are primarily the result of the efforts initiated by these two working groups
Next slide, please
In 2023, starts aviation noise working group, with a mission to prioritize and explore potential near term actions to reduce and prevent aviation noise, continued to focus its effort on the aviation near term noise action agenda
This included reviewing and refining work associated with several of the agendas initiative and exploring new potential initiatives to include within the agenda
Next slide now, before diving into 2023, let me quickly recap the work in Green Group's previous accomplishment
You heard interim city manager Kyle Moore mention some of them
So launched in 2019, the late Night Noise Limitation program is a voluntary effort to reduce late night noise by incentivizing air carriers to fly at less noise sensitive hours or transition to quieter aircraft
The program includes regular reporting each quarter to start air carriers and other external audiences on all airline noise exceedances above established noise threshold in the late night hours
In early 2021, the program achieved its first success with EVA Air, switching to the quieter 787 during the late night hours
In 2023, the program witnessed a second success with FedEx Express, which had been the late night air carrier with the most noise accidents is post EVA Airways
In 2023, FedEx Express began incorporating into their fleet the quieter 767 in place of the older and much noisier MD Eleven
So leadership from the port and the Highline Forum cities sent a congratulatory letter to FedEx Express encouraging the carrier to continue forward with their fleet renewal efforts
The other is the informal Runway use plan minimizes use of a third Runway during the late night hours, and late night operations on this Runway have dropped dramatically since implementation of the plan in late 2019
Prior to the Runway use plan, the third Runway averaged twelve to 13 operations during the late night hours in 2023, the average was less than two operations operations per night
That's a significant impact there, and on 240 of the 365 late nights in 2023, there were zero operations on the third Runway, which means two thirds of the time no operations on the third Runway
Upon the working group's urging, the port provides up to date access, accessible and detailed information on the noise complaints and comments submitted by the public online
Monthly report begun began in 2020 and report outs are provided at all working group meetings
Finally, reverse thrust is used by pilots to decelerate aircraft upon landing
It is also an identified source of ground noise at SEA
In coordination with the FAA, the air carriers and the members of the working group, updated language discouraging the use of reverse thrust beyond what is necessary was strengthened in early 2023 and followed by a summer air carrier awareness campaign
Next slide, please
So, turning to 2023, the working group continued to explore initiatives and programs that could potentially provide aviation noise release relief to the Highland Forum member cities
In May 2023, the working group drafted language promoting continuous tax takeoffs, also known as rolling takeoffs
Continuous taxi to takeoffs have less of a noise footprint than traditional takeoffs and require aircraft to power up after coming to a complete stop
In coordination with the FAA, the air carriers and the members of the working group, new voluntary SEA language promoting continuous taxi to take off was enacted and followed by a summer air carrier awareness campaign to encourage greater use by pilots
Single engine taxing is an established practice at SEA and though it has a modest effect on reducing noise, it does have a measurable effect on reducing aircraft emission over dual engine taxi
Language promoting this use is currently in development and, when complete, will be shared with the working group for consideration and implementation
Finally, near the end of 2023, the working group began to make its transition to serving as the sea
Part 150 Noise Studies Technical Review committee a part 150 noise study is required by the FAA to update aircraft airport noise noise programs, establish eligibility for FAA grant funds, and assesses the noise compatibility of SEA with the surrounding communities
A part 150 study also evaluates current and possible new efforts to lessen the effects of aircraft noise on the surrounding communities
Airports typically stand up a technical review committee during a part 150 study and task it with providing technical input and guidance throughout the life of the study
The working group will play that role officially beginning in June and continue its engagement with the study over the next several years
Next slide please
So Start's federal policy working group is focused on changing federal policies and regulations that can give the FAA, the port and the communities more tools, resources and flexibilities to address address aircraft noise and emission concerns
You have heard us say we're so constrained in terms of what we can do to assist the communities, and so the focus of the policy, the policy working group, is to make changes at this level
Over the last few years, we have been focused on doing so through implementation of a shared port city's federal policy priorities agenda
As far as we know, SEA is one of the only airports in the country that has collaborated with its surrounding jurisdiction on a shared federal advocacy agenda
Now, what makes this joint effort particularly powerful is that it allows us to bring focused ask to our congressional delegation, which makes it easier for our federal elected officials to prioritize their engagement on these issues
Next slide please at the beginning of last year, the port and the airport city sent a joint letter to the Washington congressional delegation highlighting seven key aircraft noise and emission policy priorities for proposed inclusion in the 2023 FAA Reauthorization act
We knew that the FAA Reauthorization act represented the best near term opportunity to pass these priorities into law, particularly because of how well positioned our congressional delegation is in terms of crafting this legislation
In support of these priorities, we conducted the first ever joint port cities, DC flying at the end of April
Approximately 20 elected officials and port and staff from the port and the airport cities traveled to the other Washington to advocate directly for these policies, and I'm pleased to share that we were very successful in these efforts
Four of our seven priorities made it into the final version of the FAA bill
Yay
You can see these wins on the screen
Legislation that provides the port with increased flexibility related to North Sea Tech park also was also included as well, so successful success on various different angles
In addition to the tangible impact that these policies will have, we also want to celebrate how this demonstration administration of solidarity and collaboration proved that working together is the best way to address community concerns about aircraft noise and emission
The federal policy Working group also engaged in several other activities, including submitting a ten page joint letter to the FAA in response to their noise policy review, which is looking at alternatives to the current 65 DNL noise Metruck
Next slide please please
So we have spent most of 2024 to date pushing for final passage of the FAA legislation, and I am pleased to share that the United States Senate passed the bill on Friday
We expect the House to follow suit tomorrow, and so this effort will be completed by the end of the week
Unfortunately, we were unable to get the secondary noise insulation policy into the final bill, but we hope to attach it to other legislation later in the year
Still, it is a huge win for all of us
So congratulations
In addition to our ongoing federal work, we are launching a major new effort
The federal policy Working group will transition to the state and federal policy working group and we will look to replicate our DC successes in Olympia
By the end of the year, we plan to have a list of shared port cities priorities to share with the governor and the state legislature, and then we will plan to organize an Olympia day modeled after the DC flying
I look forward to engaging commissioners in that effort as we move forward and report back on the trip after it happens
Next slide, please
So, commissioners, I want to say thank you and executive director Metruck for providing me me with this opportunity to present today
In addition, I really want to thank, say thank everyone who played a key role in 2023 that made what I just summarized possible
I'd like to particularly call out the community and the city members who represent their cities and their fellow residents interest to start
They serve start because of their deep commitment to public service and because they genuinely want to tackle issues facing the city
I also want to thank the airlines, the Delta Airlines, Alaska Airlines for participating
And of course, we come down hard all the time on the FAA, but all these successes that we have had, we would not be successful without the participation of the FAA
I also like to really thank some of the unsung heroes
Marco right here
Eric Clear, not sure if Claire is here
Sarah Cox, Tom, all these folks that have really, throughout the year, made this successful commissioner, I've been asked on many occasions what's the most difficult part of my job, and apart from some security stuff that I can't talk about, the most difficult part of my job is to try to continue to grow the airport, to keep us with the tremendous growth that's taking place in the region and at the same time mitigate the impacts on the community
That's the most difficult part of my job, and that's why start is so important to me, the airport, the port and the community, because it really addresses in a practical way and come up with practical solutions
And I'm really glad that we're not only seeing success on the noise working group side, but even now on the policy working group side, which is probably the more difficult or challenging component
Just want to say thank you for having me here today and allowing me to present the report and thanks to everyone for a very successful year
During start, if there are any questions, Mark and Eric will be able to answer all of them
Thank you for the presentation
I'll open it up for questions
Commissioner Hasegawa, thank you so much
For that presentation, my first question is, is who is our commission representative upon start? So we do have one
Yeah, we do
We do not have any elected officials on start
And that's intentional
That's intentional
Can you talk about that, please? Join the DC fly in, though
Yes
Yes, they did join the DC fly, and Marco might want to elaborate a little bit more
No, the DC flying was definitely
They can't
Marco
Marco
Address it first and then I can
Marco Millennia is community engagement manager here at the airport
And one of the primary reasons is because we had the Highline form, which is already in place, and so we had a form for elected officials to talk to other elected officials
So this is something, in addition, where you had more of that community representation
So the understanding was the start group would report up to the Highline form, which would have port commission representation, elected representative, as well as representative from all the Highline forum cities as well
So we'd be the working group and the advisory group that reports up to the Highline forum
So elected representation is built into the structure of start
That's helpful
You know, start being called the Sea Stakeholder Advisory Group
And the marked accomplishments of the group, I think, shows exactly why we hear from so many folks that they want to be a part of that conversation
And, you know, we hear from folks from Beacon Hill who want membership at start, and we hear from folks at Vashon Island who want membership at start
And it's also important to note that they have, you know, unique challenges when it comes to airport impacts
And so I guess my question for you is, if you go to slide eight and you talk about the technical review committee, the last bullet there
Yes, the part 150
Oh, there it is
Sorry, my wires are in the way
So for the part 150 noise study that's underway, and it has a technical review committee, start as a whole, as a part of technical review committee, or are there other members on that? So we already have a aviation noise working group
So we thought in terms of making it easy for the process is we turned that aviation noise working group into the technical review committee
So there will be meetings that will be specific to the part 150 that will happen at the working group level, and there will be meetings when they revert back to being that aviation noise working group
Aviation is a subgroup from start
It is both the Aviation noise working group and the federal policy working group are subsets of start
Subsets of start, not subsets of Highline form that are adjacent to start
They are subsets of start
Okay
So it seems to me that the part 150 noise study will also take in consideration noise impacts outside of airport adjacent cities, though, correct? Yes
So can we talk about potential for membership for groups like Beacon Hill or Vashon island on the technical review committee? The technical review committee will be focused on a kind of a technical nature
And so we do plant plan, a robust and comprehensive outreach plan for our part 150 study
So there will be opportunities for us to go to Beacon Hill, Vashon and other places to get input and gather information from those communities
That's a pledge that we're going to have
But technical review committee with membership as a subset of starts seems like its function would be for like, civilian or community oversight of the process, to be able to advise, review, guide, provide feedback
Seeing as the stakeholders in part 150 are broader than just immediately airport adjacent cities, why are we not talking about, why are they being excluded from the opportunity to provide oversight or feedback? As a committee member, I think one aspect of it is when you talk about a technical review committee, it's very focused on that 65% around the airport and understanding where it is in relation to those communities, and that 65 DNL is really representative of those close in airport cities
And so to have a shoreline or Kirkland or somewhere that far out as part of it wouldn't be a ton of use to them
Beacon Hill isn't as quite far out as shoreline
But the issue is that they are excluded from opportunity based upon part 150 saying that 64 DNL is the standard in order to be included
And because we're assuming that they're not going to be included because they're not 64 DNL in a process to reassess their DNL level seems like it's not lending itself towards faith in the process itself when the idea of a review committee, as it seems to me, is that they could have faith, input, oversight in the process
So if we're talking about integrity in the process for the department study that will lend itself towards an outcome and DNL levels, why would we not include them as part of that process? So let's take that
Thanks for the insight and the guidance
We can take that back and certainly, and we'll come back to you on that, commissioner, thank you
I really appreciate that
I know you guys are going to come back with an answer for Commissioner Hasegawa, but isn't it just fair to say as part of this part 150 study, we're going to actually see the 65 DNL shrink? So the likelihood that it's going to go even outside to Beacon Hill or Vashon island, other places is very unlikely
I'll defer to the, even though, commissioner, we have quieter airplanes, we actually have more operations
I don't know if there's any guaranteed luxury
We spend thousands of dollars on a study that we already know predetermined outcomes
So I'm, I'm talking about integrity of the process itself so that we all have faith in, and the stakeholders who would see themselves as stakeholders who have historically been excluded from the process would see
So let us take that back for discussion and then we'll come back and report back to you, commission
And can you go to slide eleven, please? I did want to just congratulate members of StART, President Mohammad, members of staff who have put so much into how StART can be such a thoughtful advocacy group
I think that's incredibly important
And indeed, the proof is in the pudding with tremendous outcomes and wins via the FAA reauthorization bill, it made its way through Senate
And President Biden just last week did approve the one week extension so that the House might act on it
When I had the privilege of talking with the president of the United States last Friday, I thanked aye
and congratulated aye., and he said, so far so good
So I think that bodes very well for the act
Congratulations on that
And I definitely concur with the thought of expanding the work of the workgroup to include state policy as well, particularly given what I'm hearing, you voice director little about the crux of our challenge being how to manage growth to meet demand and the burden that that puts on us and knowing that that is an overburden, not just SEATAC, its sea as an airport, but also the adjacent community that has to bear that impact
So the state is going to have a lot to do with that particular, particularly as we're looking for them to be leaders in identifying another option for air travel
So thank you very much
Thank you, Commissioner Hasegawa, for those questions and comments
Commissioner Felleman, thank you very much
And the existential challenge of why I'm in office is for that very reason
It's absolutely the greatest challenge for we have to reduce impacts while growing
So thank you for agreeing to grapple with this challenge, and this is why we're in public service
And I really think that the Star committee has been fantastic, and your personal presence in that and the Highline forum gives some gravitas to the community members that are there that I think really shows that the board is serious about this participation
And I thank you for all that time, as well as all the other staff that support you
It's been a remarkable road
And to watch, just look at how few people are coming to our commission meetings to complain
They have a better place to vent
Right
So I think that really means that they're being heard, which is key to that thing
But they're not just being heard the likes of Schindfeld and else that we get to actually get it done, be responsive, not just tap people on the head
This is remarkable accomplishment, and I'm forever grateful, as the community is
And I just want to give one point that sort of segues into the next presentation
We know from forever that nighttime noise is a particularly impactful grading influence, and it also affects sleep, it affects health
It is like one of the places that I think are, of all the efforts that has some real focus and is very noticeable to the mitigation
And you showed with Eva Air and with FedEx that you've made these accomplishments there
I know when we get to the awards, maybe it's a more appropriate place, but, so who's next? Like, who's the next airline that we need to focus on? And I know for the awards program, we modified the awards
Like, we also have the ones that are, need to be most improved, and we never report on that, but I know that we are tracking that
And so I just ask that maybe, you know, given the weight the community puts on the evening flights, and I can never remember whether it's Air China or China Air, but, you know, we know this one flight that everybody has on their, on their phone, and, you know, if we need to go to headquarters, if we need to, you know, tell us that one flight alone, but there must be others
And so I just urge you to help us target those places where we can really make a difference
But you've obviously made a huge difference up to now
So thank you very much
Yeah
Thank you, commissioners
And we're still talking to said airline, hoping to make some progress one day
But just coming back to something you said earlier, it's really about collaboration
I think one of the key things, things that we owe our success to is having all the key stakeholders at the table
So we have the airlines, we have the port, and we have the cities at the table, and we, you know, when we're looking at some of these issues by ourselves, we're looking at, you know, the noise impact of, you know, takeoff and landing, etcetera
But when we sat with the cities, they're like, okay, there's ground noise as well that we weren't really focusing on
And so just having that conversation with the cities, hey, there's ground noise
Looking at reverse thrust and a whole bunch of other grown noise impacts and trying to mitigate this as well
So actually sitting down with the citizen, listening to some of the challenges they have as well, has made a big, big difference in terms of what we focus on
Any additional comments or questions? Well, I just want to echo the sentiments of my colleagues and start with thanking director Little and your entire team for the hard work that you all put in to set up start, make it work
And that partnership that you've built with the near airport cities, I've seen it in action
I was proud to be able to join start for the DC fly in and spend a lot of time with those cities and their representatives, the elected officials from those cities, and got to hear directly from them how well they believe that start is working for them and their representatives that sit on the start committee
And I also want to thank Eric Schinfeld for all of your hard work on the federal level to help push these policies forward
It's not a small task that you took on
You regularly keep all of us updated, including the start committee members
And being able to have forward of our items out of the seven is a huge victory, and it's one that I think near airport communities should be very proud of
We always talk about how the port is a special purpose government, and it really takes partnerships at all levels of government to make all of the things that we do work
And I think this is just one example of seeing that in action
Obviously, I'm disappointed that the sound installation not included, but I am hopeful that that will be included in later legislations that come about
I did want to just talk about Vashon
We hear a lot from the Vashon community and especially as elected officials elected by all of King county voters, including those who are in the Vashon community
Would you say director Little or I don't know who wants to comment on this, that the noise in that neighborhood now has increased over time compared to what it was before
What are the noise levels for Vashon? What do we think? I'll let Tom address that
The hot seat
I'm Tom Fagerstrom
I'm noise programs manager
I would say that noise levels on Vashon have increased as operations have increased over the years
So that much is true
And that's part of what we're going to be overall assessing for part
151 little point of clarification
We absolutely don't know that the contour or the boundary is going to shrink as a part of this part 150
That part 150 study showed, has it increased in the last study? Has the noise increased since the last study? Yeah
When the last part 150 study took place, did the 65 DNL mapping increased or did it shrink? It shrank
Because we were updating a boundary that had been in place since the 1980s, we were allowed to keep a very large boundary in place for a long period of time because of the third Runway project
So when the third Runway opened up, we began a new part 150 study
Right, the next year
And so the boundary did shrink because of aircraft being that have been introduced since the 1980s are dramatically quieter this time
The change will not be that dramatic at all
In fact, we've had increases in operations in the last decade
So we'll see what happens with that contour
But it will not be the dramatically smaller contour like the last time because we have
Because that previous contour was so old from the 1980s
Yeah
And my comment wasn't certain, but just if history tells us anything and knowing that planes are getting quieter, I think there is some fair assumptions to be made that it's not going to increase into Beacon Hill possibly
Sounds like Vashon island
So Tom, knowing that the noise levels have increased in the Vashon community, what is your office doing to engage that community specifically if they can't be included in the start committee or at that table? Is there a separate table that they're being engaged on issues of noise? Well, our office responds to all inquiries that require response from Vashon island and we've continued to provide information
We placed a noise monitor on the island at their request for over a year of temporary monitoring and went to their community to, to provide a report on that monitoring
And we will do so again at their request
Our temporary monitors are available for request in that sense
Again, can you just share a little bit? When you say you went to their community to report on that, what does that mean? We met with the Vashon Maury Island Community Council and had a full presentation on the 13 months of noise monitoring that we did on the island
And what did those results say and what was the outcome of that discussion? Well, the outcome was we reported the noise levels
It's hard to come to conclusions based on noise monitoring at one location
Often the ambient noise levels were higher than the aircraft noise levels at times because the aircraft are at a certain altitude of 6000ft or so, there weren't strong conclusions, but all of the data was provided and
Commissioner, can I just add, you know, we continue to believe that the
Introduce yourself
Oh, sorry, apologies
Eric Schindfeld, federal government relations for the port of Seattle
One of the best tables for the Vashon community is the table between them and the FAA
And we continue to push really, really hard for the FAA to meet directly with Vashon
Director Little has been incredibly direct with the FAA and strong worded in aye
conversations with them
And we continue to make what I would call incremental progress in getting them understand that they are going to need to put resources towards this
We obviously meet with them on a regular basis
Marco and I are going to meet with them again to talk a little bit more about some of the things going on
But if we can get them directly to meet with the FAA, that's really going to be where the conversation about where the airplanes fly and what to do about that will come from
So that continues to be our number one focus in addition to other forums that we can create for community members to come and give feedback
And I'm assuming we've shared the data with them, right? That the noise increase and the results that you're getting sharing that information with
We shared the data from the noise monitoring session with the FAA
With the FAA
They were free to review it
I don't know that, that it was shared with the FAA
We'll do that after
We can do that search
Yeah
Cause I think that's an important point
Right
If they maybe see the data, that would encourage them to consider meeting with the community and maybe taking some action
Yeah
Commissioner Hasegawa has a question
Does Beacon Hill have, like, a meeting with the FAA the same way that Vashon Island does? So the FAA only comes to start that has been there
Stated preference is that they will come to start
They have claimed that they do not have the resources to meet with other communities like Beacon Hill and Vashong
We highly encourage them to do so
And so, yes
To your point, not only do we want them to meet with Bajaung, we want them to meet with Beacon Hill
We want them to meet with lots of different communities outside the 65 DNL
And I think there are creative ways to do that
If they feel like they can't go one by one, maybe we'll create sort of a non 65 DNL noise forum where the FA could come one time and talk about some of the issues and impacts
So we continue to look at creative solutions there
But I did
I appreciate the clarification
It is not just us saying, go talk to Vashon, then you're off the hook and have a good rest of your life
It has to be all of these different communities that have concerns
Well, I guess I'll just reiterate, the interest is that it's not the 64 DNA advisory committee, it's the Sea stakeholder advisory committee, which is why folks want to have space at that table
What is the port of Seattle planning on in terms of engagement for other stakeholder groups outside of start around the part 150 study? And if that's beyond the scope of this subject, then that's fine, too
If I could just add, and Tom, if you got anything else to include
But we do have three community meetings planned for early June in surrounding airport communities to give folks an opportunity to come in and learn about the process, provide their input and feedback
And then after that, we are going to plan some targeted outreach to community groups beyond those close in communities to go talk to them about the part 150 process as well
And that is in design with our consultants right now
Okay, thank you
Commissioner Felleman has a question
Okay
So one thing we neglected to thank is our congressional delegation, who actually took these recommendations and ran with them
In fact, we have the chairperson of the commerce committee in, Senator Cantwell made a big difference having Adam Smith in the district and Rick Larson on committee
So we are very appreciative of your work, but super thankful for the folks that had the ears to hear us
So that's one thing
The question about Vashon, Beacon Hill, it's obviously been out there a long time
I worked very closely with the folks on vacant island to get us the first temporary monitoring unit
Their argument is very compelling in that it's a rural community and that, so the background noise, you say it's maybe a higher altitude, but they don't have a lot of other significant noises
So it's very noticeable
But also the change in flight
Flight path was significant
Right
So it goes straight down the spine in a very narrow way
So I think the change in exposure over a short period of time is very easily documented
Now, what I seem to recall with DNL analysis, though, I didn't think it was actually based on the frequency, not the frequency of the noise, but the frequency of the flights, and that it is the noise levels, not the persistence of the noise
So
Right
So I thought, I thought we're talking about, you know, an absolute measurement or a modeling of this measurement, but not, like, how long it's occurring
I mean, am I mistaken by this? I thought it's the difference between day and night
Yeah
Well, so the point is, after the third Runway came in, the DNL shrank, right? Well, there were a lot of factors, but I'm just saying the frequency was the issue
You know, if that was
Well, anyway, I'll let you answer
Frequency of overflights is baked into DNL, and a lot of folks would say maybe not enough
And that's why the FAA is doing their noise policy review, looking at the DNL standard and the number assigned to it
But it is weighted more heavily, as you know, at nighttime
Nighttime noise is weighted ten times greater than daytime noise as part of DNL
Have I answered your question? I'm not sure
So the frequently, the percentage of time that at night versus day, that waiting, but like, so, the overall number of flights right now, if the average plane is of this decibel ten years ago, and now it's of that decibel lower ten years later, but they're more frequent, even though they're quieter per plane, that will weigh against them
The quieter planes run more frequently, could potentially maintain the same DNL with fewer louder points
I think I know what you mean
The source of the noise is the most important
The noise level of the noise source is the most impactful and not how many more than how many
Yes
See, that to me is where the challenge lies
Right
And so, and that would be part of the 150 study, is to see whether that waiting changes
Part 150 is very strict
It's 65 DL is the standard
So then the number of flights, I mean, like I said, with the third Runway going in and the DNL shrinking, it seems contrary to the question of, well, more flights matter
Well, you said it's an old, as I say, there was a lot of reasons, and we, we spent most of the last part, 150, explaining that, trying to explain that, because it was a difficult concept, is that the original boundary was placed there when seven hundred twenty seven s and DC eight s and really loud aircraft were flying
It was based on a very large forecast out to the year 2000, which is unusual for a part 150
So it was big
And so we were allowed to keep that in place for many years because of the third Runway project
So, yes, there were a lot of moving
The airport was busier when we reassessed the noise in 2014, but aircraft were a lot quieter
So there was a lot of different factors in play there that caused that boundary to shrink despite the fact that the airport had more takeoffs and landings
Thank you
Okay, so just to conclude, I think you got a sense from my colleagues that there needs to be a role of Vashon and Beacon Hill
They have substantive expertise
Right
They're not just complaining neighbors
Right
We have folks that are part of a community impacted study that, you know, let's find a method for it
And I know, you know, if I was in the star committee and I wanted to keep the focus on my backyard, I can appreciate them wanting to close the door behind them
But we're a public agency and we're King county wide
And so at a certain point in time, either we create another committee or we break the doors open on this one
So let's find a way to make there a substantive role for them
Thank you
Thank you, Commissioner Felleman
And just to add to that, I mean, I think it would be helpful to, one, provide the data, the Vashon data, showing that there is an increase of noise and Vashon to the FAA
And then the other thing that I wanted to ask, Eric, is, have we brought this to the attention of our congressional delegation? Because I think they would, I would imagine FAA would listen to the delegation over us
Obviously, you might think that's true
Unfortunately, it's not
Representative Jayapal wrote a very clear letter to the FAA saying, you need to meet with Vashon
They did not
When Steve and Lance and I were in DC back in March, Representative Jayapal asked again about this, and she was disappointed to hear they have not been responsive
She is planning to elevate that request higher than the FAA
And so I think we'll continue to see, focus on that as well
I do want to say that there's really two tracks to this
Right
One is, of course, what can we do within the existing policy, the part 150 based on the 65 DnL
But also, as Lance mentioned earlier, there is also the FAA noise policy review that we wrote our very detailed ten page letter, and we specifically called out the issues of Beacon Hill and Vashon in our letter, saying, as you reevaluate the 65 DNL, you need to be thinking about locations that are geographically higher, locations that have significant frequency under a next gen flight path
And so that is part of our feedback to the FAA we did, in the successful inclusion of the FAA bill, say now the FAA has to have some conclusions within one year of enactments around the 65 DNL change, and they have to have a stakeholder advisory committee that includes airport communities
So we really feel like, yes, we're in some ways hamstrung as part of the 150, but that doesn't mean on the federal policy level and federal engagement that we can't also continue to push and say this is not working
There are clearly concerns outside the 65 DNL and so what does the federal government want to do about that? And here's some ideas that we have
That's right
Thank you so much for doing that and for providing those additional answers
Again, I want to thank you all for the presentation
I don't know where Director Little wet, there you are
Overall, this is great work that you all are doing, and I know it's a difficult challenge that you're taking on
And I do echo the comments of Commissioner Felleman and big thank you to our federal delegation
They've worked really, really hard in partnering with the port of Seattle, hearing our comments, meeting with us, and helping pass the FAA reauthorization bill
And so we thank them
We done it in writing multiple letters saying thank you to them
And so we continue to say that
Thank you all for the presentation
If there's no additional comments, I will move us along
Thank you
Clerk Hart, please introduce the next item into the record and then executive director Metruck can introduce the item
Thank you
This is agenda item eleven B, the sustainable Century and fly quiet awards
Commissioners in this presentation, port staff are pleased to announce the winners of the port's 2023 Sustainable Century Awards for the aviation and maritime divisions
These awards recognize our customers, tenants, nonprofits and partners for outstanding accomplishments in the area of environment and sustainability
Award winners serve as role model models and demonstrate exceptional leadership in helping the port achieve our sustainability goals are set forth in the century agenda
The port will host an awards launch in May 30 honoring awardees and celebrating their accomplishments
All commissioners are invited to join the celebration
Similarly, we are pleased to recognize this year's winners of the port's Fly Quiet awards
This program celebrates airlines for their efforts to reduce the noise at sea
The annual fly quiet awards were were developed by Port staff and Assistant Advisory committee in 2005 to increase airline and pilot awareness of aircraft noise impacts on local communities
They are a key part of our multifaceted effort to reduce the impact of airport and aircraft operations on local residents
And so this afternoon we have Sandra Kilroy, senior director of environment sustainability
With us we have Jane Doel, manager, stormwater utility Jeremy Webb, environmental program manager and Paris Edwards, airport noise programs coordinator
So I think Sandy, turn it over to you to kick it off
Thank you
Thank you
Good afternoon, commissioners
Thank you
Executive Director Metruck I am honored to kick off this year's announcement of our sustainable Century and fly quiet award winners
This is my favorite commission presentation of every year we have been running this awards program since 2010, and it is really to highlight the individual contributions of businesses, other governments and organizations on how they contribute to our environment and sustainability goals
I think, you know that the port has positioned itself as a leader on sustainability, and we do that both by demonstrating our own commitment and actions and by setting the bar high and influencing others to do the same
To achieve our goals
We need partnerships
Commissioner Mohammed talked about this in the last item
You know, we need partnerships
We can't do it alone
And so these partnerships with businesses, nonprofit groups, with other governments is, is really critical for us
We all need to be working together and rowing in the same direction
So this awards program allows us to highlight these partners efforts
Next slide
I think I talked about most of that
And just to note that we will be doing both the sustainable Century awards and the fly quiet awards
And the this program is really managed and administered by the staff who will be presenting today and next slide
So we have ten organizations that are receiving the sustainable Century awards this year
These organizations demonstrate both the everyday operational changes that can be implemented to make a difference, as well as the vision and long term goals that are needed for sustainability
They truly serve as models, and I'm honored that we can recognize their efforts today
So just to quickly read them off, and then we'll get into more details, we have Alaska Airlines, Alaska Marine lines, concessions, international, condor Airlines, McDonald's, stormwatercontrols.com, quiet sound, Delta and Southwest
Those are our sustainable Century award winners
The fly Quiet award winners will be introduced later
So I do want to give my personal congratulations to all these winners, and I'm going to now pass the mic to the employees on my team who really do the heavy lifting of administering this awards program every year
And they'll present what each individual, individual organization has done to win this honor
Thank you, Jane Dool
Thanks, Sandy
Good afternoon, ed Metruck and commissioners
So, for the Maritime awards, I want to first point out our environmental performance award
Oh, next slide, please
Is recognizing Alaska Marine lines for significant energy and emissions reductions associated with transport refrigeration
Their achievements include reduced diesel fuel use and air emissions by 75% and increased use of local clean energy through high efficiency transport refrigeration units
In that picture there and timeshare electric panels, the energy reductions in 2023 amounted to over 1 million gallons of diesel, which equipment is equivalent to 11,000 Metruck tons of carbon dioxide? This level of greenhouse gas emissions, or reductions is equivalent to 2547 gas powered cars off the road or the energy use of 1396 homes annually
The next award winner on the maritime side next is the Muckleshoot tribe, their tribe's fish Commission, and they received the award for environmental innovation and for equity, diversity and inclusion
Their blast program, which stands for ballad lox Adult Sockeye transport program, has improved sockeye salmon survival in the Lake Washington and Ship Canal Migration corridor
Their achievements include initiating blast in 2021 and with repeats in 2022 and 2023, which resulted in a reduction of pre spawn mortality from 80% for salmon that are going through the natural transit through Lake Washington migration corridor, down to 1% for those salmon that are transported via blast and go to a hatchery in Issaquah, Washington
The salmon are cultural and subsistence element of the Muckleshoot tribe and other indigenous and minority populations in Washington, and efforts to preserve and enhance salmon runs are critical in addressing environmental sustainability, equity and justice goals in the state and region
Can I ask for a pause real quick? Commissioner Felleman has a quick question
I know about the flume project up in Fraser river where they push the salmon through
Oh, yeah
What is blast? What are they physically doing? They are taking them by truck
They take them from the Ballard locks and they take them up to the hatchery in Issaquah
So they are trucking salmon to get them around the lake Washington
What do they do with dams and stuff? Hope they're electric trucks
No, I'm just kidding
But yeah
So it's really a damn
It avoids having them having to swim through the lake Washington court or ship Canal Lake Washington, where the water quality and the temperatures are affecting their mortality
Yeah, I guess we're sure they do that because the water temperatures and the conditions are affecting their mortality, not the dams themselves
Correct
They're capturing them at the bower of locks because that's a convenient place to capture them
Yeah
And then they transfer them by truck
So they're bypassing having to swim through the urban waterway that it's represented by Lake Washington
But swimming through the locks themselves or through the fish passage, there is scale damages going through that
I know they have to paint the things to smooth that
It's a tiny little opening
It's a feeding day for the sea lions
Getting them out of there for any number of reasons helps with survival
Executive director Metruck I just want
And we're doing at the maritime industrial center, right? Is that where they're doing it? Are they loading there? They're loading at the Ballard locks
And they use
Yeah, they do have staging at Maritime Industrial center for their boats
And also they use Fisherman's terminal to help support their work
Thank you
The next award is next slide is for environmental education and outreach, and this is going to quiet sound for success in working across public and private sectors to institute an effective voluntary slowdown for large commercial vessels through Admiralty inlet between Whitbey island and the Olympic Peninsula, which helps reduce underwater noise
Their achievements include reducing underwater noise in Puget Sound, a problem recognized as a key impediment to the survival of southern resident killer whales, along with low availability of chinook salmon and poor water quality
Data show that 70% of vessel transits through the slowdown area decreased their speed, resulting in a 45% reduction in sound intensity during the season that the slowdown was instituted
The success of this program is due largely to the engagement plan and thoughtful integration into existing institutions that manage vessel traffic in Puget Sound
And our last maritime award next slide is recognizing small business stormwater controls for environmental innovation
Stormwater controls is inventor and distributor of a modular stormwater filtration product called retain drain
Their achievements include invention and manufacture of the retained drain in the Pacific Northwest, a system that uses coconut core filters, a renewable resource in a high quality metal frame to remove litter and other contaminants from stormwater before it enters the Salish Sea
Stormwater controls data show as much as 95% reduction of organic matter, solids and trash in stormwater after passing through retained rain
So that concludes the maritime side
I will pass to my colleague Jeremy good afternoon, commissioners executive director, Metruck Jeremy Webb, Aviation Environmental programs I'll be covering the aviation based awards for sustainable Century this year
First up, we'll go with our nomination based awards where folks submit their nominations based on their accomplishments and achievements
And first up today is Alaska Airlines
We'll be recognizing them in the environmental performance and innovation category for two things
Essentially, the first one is eliminating single use plastics and and creating an innovative carbon offset program
Back in 23, Alaska became the first us airline to replace onboard single use plastic cups with paper cups, eliminating nearly 55,000 cups annually
This is certainly in line and supports our waste reduction principles at the airport, and we certainly support Alaska for making this transition towards more sustainable packaging options
Secondly, they created a part partnership with choose, choose with three o's to allow passengers the opportunity to buy innovative carbon offsets and actually tailor their selection between SAF credits and natural climate based solutions
This is a particularly unique arrangement to really highlight the benefits of SAF within the aviation industry and the importance and what's really neat about this program is they actually promote promoted it by providing elite qualifying mileage up to 500 miles and I think a 5000 miles cap for every hundred dollars in SAF credits purchased
And through doing that, they sold over 500,000 gallons equivalent of SAF credits which is five times more than they expected to sell
And it reduced their emissions by roughly 4000 Metruck tons of carbon dioxide equivalent
So we're really excited for that
Next slide
Next up is Condor Airlines
Now, they're one of the smaller carriers at the airport and as you'll hear later on today, they don't qualify for our measurement based award for quiet fuel efficient aircraft
Those need to have at least 5000 operations
They have closer to 400
But nonetheless, they are an industry leader in terms of rapid transition towards fuel efficient and quiet aircraft
They announced their transition plans and through 23 and up into 2024 they'll replace all their entire medium, short and long haul fleet with modern, quiet and fuel efficient aircraft that produce 20% less carbon, 50% less noise and consume 20% less fuel
Specifically, at SEATAC airport between 2022 and 2023, they went from 0% use of these modern fuel efficient aircraft aircraft up to 81%, which is a significant achievement
And we find this a great opportunity to highlight this accomplishment for others to emulate
Next slide
Yeah
Shifting over, we have a concessionaire, McDonald's, operating within SEATAC Airport
They're being recognized with an award for environmental performance in their transition towards electrifying their restaurant at sea airport
So prior to this, they ran much of their heating and cooking equipment on natural gas
In this refurbishment, they replaced all of these products or all of these equipment items with electric options, eliminating 10,700 therms of natural gas, reducing emissions by 57 Metruck tons of carbon dioxide equivalent
And one of the big things that we found was really fascinating about this is they really instilled confidence in our airport dining and retail team that we could move towards a requirement within our concourse C expansion, which is coming up soon, that will basically require all the concessions operating there to use only electric cooking
So another opportunity to further reduce our dependence on natural gas
Next slide
Concessions International is our next award winner in the environmental performance and innovation category for achieving the first USGBC lead certifications for sea restaurants
So at Salty's at the Sea and Brewtop Social in 2023, they both achieved this certification
The key features cover energy efficiency, recycled content, toxics, free h vac systems, green cleaning and waste diversion
Some of their highlights include reducing their lighting power by nearly half, nearly three quarters of their equipment as Energy star rated items and then using other methods for environmental documentation, for building products and other details, including reducing 50% of their construction waste
And before we go to the next slide, we also have an honorable mention to mention this year
It's not included in the slides, but it should be in your memo details Uber once again is being recognized just as an honorable mention for their efforts to grow EV usage at the airport and expand EV access for drivers
Just a couple of key highlights for their achievements
They increased their use of EV's by about 180% over last year, and I believe 76% of all trips coming to and from the airport were completed either using a zero emission vehicle or a hybrid
They mentioned some other items too, and those are included in the memo as well
Next slide
So shifting over to our measurement based awards
So these are the awards we use to highlight some of the carriers we have at the airport for efforts to reduce emissions by either tying into our ground systems so they can plug in and turn off their emissions and stop burning fuel, or for flying more fuel efficient modern aircraft
The first award for the greatest use, use of airport ground power and preconditioned air systems goes to Southwest Airlines once again
Southwest continues to be one of the fastest, most consistent users of our ground power and preconditioned air systeMS For ground power, they connect 90% of the 94% of the time, stay connected 77% of the time and turn around within two minutes to get there when they make those connections on the preconditioned air side, 56% of operations connect
Nearly three quarters of them stay connected for three quarters of the time and the fastest time to connect is about seven minutes on average
So just another kudos to southwest for their quick use of our ground power and preconditioned air systeMS Next slide
This award goes to Delta Airlines for the highest percentage of fuel efficient aircraft
Last year in 2023, they used 40% of all their operations using highly fuel efficient and quiet aircraft
These are all the Airbus A 321, Neos and other Airbus aircraft, the modern versions, and this compares favorably to the next highest performer who achieved close to 28%
Again, this is a significant accomplishment for Delta, both in terms of reducing emissions but also in terms of reducing noise
Next slide and with that we will transition over to Paris Edwards and the Fly Quiet awards program
Thank you Jeremy and good afternoon
Commissioners and I will quickly go over Fly quiet awards and present the winters
And thank you executive director Metruck for the little introduction there
So fly quiet as you did here before, Fly Quiet was implemented in 2005 as part of the par 150 update that was completed in 2002
And really, Flight Quiet is developed by Port Seattle staff and advisory committee to really bring awareness to the airlines and as well as the pilots, as the impact of noise impacts in the communities
Fly Quiet then encourages airline compliance through flight procedures as well as aircraft noise levels
And then from there, we recognize two airlines that are winners, and then the third is given to the most improved
Next slide, please
So we'll start with Air Canada, which is really our top fly quiet scoring airline for 2023
And I just want to highlight, one of the bullet points here is that this is their second consecutive year of win the fly quiet award
Next slide, please
And then frontier airlines significantly lower takeoff noise in other domestic carriers and 2023
And another highlight here says bullet
This is their fifth fly quiet award
Next slide, please
And finally we have Delta Airlines is our most improved
So I want to highlight a couple of bullet points here that in 2023
I'm sorry
In 2022, 24% of Delta's operation included Airbus 200, 2321, neo 330 aircraft
These are all very efficient aircraft, quiet as well as fuel efficient
In 2023, this percentage increased to 40% of their total operations
And they are also a contributor to our Seattle stakeholder
Yep, you know, so
And with that, that is our winners
And I'll pass it back to Jeremy
Thanks, Paris
Just a parting nod
As mentioned earlier, we have an awards luncheon coming up on May 30 from twelve to 01:30 p.m
At the airport conference center
We look forward to celebrating with all of our awardees and executive leadership and distributing the awards to them
So that's in just over two weeks time at the airport conference center
And with that, we'll open it up to questions
Thank you
Thank you for the presentation and congratulations to all of the awardees
Commissioner Felleman, you have the floor
I guess I won
I just want to say thank you
This is a huge effort
I still don't know who all the judges are, but obviously it takes a lot of time to weed through all these folks
I have a common suspicion I know some of them, but the thing I did bring up was, well, first of all, the use of shore power and conditioned air
I mean, I thought we were going through some technical efforts to figure out how to really verify that
So verifying the fact that we're giving awards on it is interesting to me
I imagine it's kind of a bit of a technical challenge, but I'm really interested in the night flights
And so I saw in all the fly quiet awards that the compliance with night flights was not specifically a recognition of any of the awardees
So I know it's one of the things that made into the overall compliance to get a flight quiet award
But when you talk about the individuals, their nighttime compliance was not one of the highlights
Now, none of them are air cargo
I assume more of the flights are more of the evening flights are air cargo
But I may be mistaken
I need to know who's the next we need to lean on or encourage
I meant encourage
I would say that we do have a couple of cargo carriers that need to be encouraged, but we also do inform them through our late night noise limitation program, of their exceedances
I don't know if I want to say they are
I put you in a horrible spot
Right
Yeah
Sorry about that
Maybe
But, you know, the fact of the matter is we did raise the question about being able to acknowledge those who need to be the most improved
And so it's not your fault, you know, but the fact is that this was something that the commission asked to have included in the presentation
I tried to get them tonight, ask these questions
All right
So, I mean, it is something that we had Kyle Moore present on
It's something that we know the community tells us all the time, and nobody's being recognized for complying with it
It suggests to me that we need to put some emphasis on it
And maybe Sandy's going to bail you out of having to be asked such a pointed question
I thought she was walking out
I don't know
I would just say, we're happy to provide you with a list of those airlines
It is public information, so we certainly can do that
All right
Thank you very much
And I apologize
The Norwegian innovations of summit is occurring in the Nordic heritage museum, and the folks I was just with at Sweden are there, so I will have to excuse myself
Thank you very much for the awardees
Congratulations and thank you for all your work
You're going virtual
Right
And I will plug in and I will be monitoring from the car
So I don't
Yes, I don't lose
Quorum, please log on
Yes
Thank you
All right, let's hear it
Any additional questions or comments? Again, hats off to all the awardees and thank you all for the presentation and your hard work to present this information to us
Thank you for this time
Thank you
Clerk Hart, please read the next item into the record and then executive director Metruck will introduce the item
Thank you
This is agenda item eleven C, the international public Market final report
Commissioners, in March of last year, you provided authorization to enter into a memorandum of understanding with King county to move forward collaboratively with a feasibility study for the, the international public market concept that MoU resulted in this final report on current market conditions, market attributes, cost projections and feasibility of this idea
To present the results of this report this afternoon are Dave McFadden, managing director, Economic Development Division Annie Tran, economic development manager, Ashton Allison, economic development and economic recovery director for King County Executive Executive's office and Susan O
Cerfus, executive analyst, King County Executive's office
So with that, I believe, Dave, I'm going to turn over to you to kick us off
Yes
Good afternoon
Good afternoon
Commissioners executive Director, Metruck let's get the next slide going
Our international public market feasibility study was a project almost a year in the making, and it took a year to get done
And we're pleased to share the results of this feasibility study with you today
You know, I appreciate our partnership with King county, with Ashton and Susanna
We did good work together
I also appreciate this advisory committee that we had that helped guide the project along the way
The goals were really to see if a market was feasible, whether a market would attract visitors and tourists near the SEATAC airport, provide a gathering space and support economic development
So what I'd like to do now is turn it over
Oh, I'll go to the next slide and I'll just talk to the timelines
I forgot myself for a moment
As you can see, we started last March, and really the first phase was something we did purely engagement, community outreach and analyze local market
And just in terms of, of will it support a market and Annie will cover that and then we'll turn it over to Susanna and Ashton
Take us home through the second phase, which really looked at the numbers, the models, the sites, the details around the feasibility of our specific ideas
And so with that, I would like to turn it over to my economic development manager, Annie Tran
Excellent
Thank you so much, Dave
This is perfect
And so, as Dave mentioned, the first phase was surrounded around community engagement, understanding the current market conditions
And this included significant community engagement, which was completed in many forms, as you can see here, in the forms of surveys, interviews with local stakeholders, in person engagement events, and facilitated in language discussions with number of partners in south King county
And in three short weeks, we're very proud of this
We were able to collect more than 900 response, survey responses from potential vendors and residents in King county
The survey was also made available in three different languages, and this helped, you know, provide intel into some of the understandings of just what the current market conditions are and what some of the needs are
Notably, more than 80% of survey respondents reported confirmed interest in having an international public market in either Sea-Tac or Tukwilla
And given the high response rate to our survey, it does closely mirror King County's racial and demographic makeup
And so it did produce a very statistically significant survey which made us feel confident in a lot of this outreach that was performed
As Dave mentioned, we did engage in an advisory committee made up of 20 members which President Muhammad was co chair of, including King county council member Dave up the Grove, which also included business owners, community based organizations, city economic development folks, as well as other electeds
And they were hugely instrumental in helping us share these engagement opportunities to make sure as many people were heard during this period
Next slide so as part of this survey, there was also a portion where folks can include their preferred site and location of this concept
And as you can see here, there was an option for write in suggestions
Tukwilla, Burien and Sea-Tac are among the top areas and I think also it's important to note that site features such as parking, safety and public transit access were also top priorities for this concept
While 60% of folks did cite that they would use a personal vehicle to get to this market, we thought that in terms of engaging tourism and local visitors, public transportation is also hugely important
Next slide, please
And from the survey response we heard from vendors, as mentioned, businesses and just the greater wider community
Some things that we heard was that there's a need for retail and production space in King county
This concept could provide varied retail spaces for folks as well as business support systems for them, and then just overall a wonderful community, community gathering space that folks can turn to in terms of tourism and local tourism
And I will hand it off to Ashton, who will present
Oh, next slide
Yep, Ashton will provide an understanding of just what we did in phase two
Thank you, Annie, and thank you commissioners for having us here today and executive director Metruck
As Dave mentioned, phase two was our concept and development models phase during which we defined market attributes and completed a site analysis and developed concept models, operational models and evaluated financial models
These activities yielded four concept models and a pro forma operating projections, which my colleague Susanna will talk about here in a few minutes
But first, I want to talk about the site evaluations portion of phase two
Next slide, please
So an important note here is the objective of the site evaluation exercise was not to identify a single site, nor to decide where the facility would be located following the study, but rather to answer two important questions which were are there compatible sites to support an international public market in the study area? And number two, which of the identified sites is most compatible with the concept models in development
So the matrix you see on the screen shows the top 13 sites of 31 submissions that were received by our consultant for consideration
Submissions could include vacant land, developable parcels or existing structures
So these sites were evaluated and ranked on a number of qualitative and quantitative critical criteria, some of which you see listed on the left hand side of your screen
And as you can see at the top, the best possible score was a 25 and the lowest possible score was a 75
You'll see that all three cities under consideration had sites with scores under 40 in the top five rankings, with Tukwilla holding the top two spots, followed by Sea-Tac and Burien
Again, just want to mention that this analysis was not meant to decide which site or sites would be developed after the study, but yet rather gave us more refined information to proceed onto the concept development stage to help inform sizing and design
Susanna, thank you
And next slide please
So before diving right into this model a, I'd like to give a bit of background across all four of the that you will be seeing
They are sort of combined programmatic, operational, architectural and financial models and to keep this moving quickly, I'll just share what they all have in common
Programmatically, they will have some amount of anchor food or retail space as well as pop up and flexible food and retail space
These will be supported by kitchen and cold dry storage spaces that would be shared amongst all the vendors
Each will have some form of event gathering or community space and as previously stated, there will be some expectation of sufficient transit, parking and safety considerations
The differences will be articulated as we review each model
And I would also like to note that you will see a wide range of costs across these models in terms of their upfront investment and development costs
There will also be very distinct financial sustainability and operating
So here we have Model A
This is a solo investment
It is distinguished by really one of these government entities leading it as a project having all of the features stated above, plus some additional office spaces for the operations of the building coming in at $53.7 million for 114 sqft
Next slide please
Model B has all of these spaces, as noted in Model A, that it is a partner with not only the full market program, but also some additional to be determined partner spaces, which are the orange floor plans on the lower left of the diagram
And certainly if there were to be a partner site partner would be determined through some process in the future and this would allow for significantly expanded usage of the site, also determined by the community engagement process where numerous community members indicated that in addition to a market, they would love to see it coupled with things such as childcare, retail, office, et cetera
Total development cost of model B $112 million for 181,000 sqft, so it is both higher cost and physically larger, with more options than model A
Next slide please
Model C is a very simplified architectural structure
It contains smaller amounts of all of the programming listed prior
It does not include office space and it is distinguished by a large, flexible, event gathering, pop up, et cetera, type of space
With the simplified structure and simplified programming and site features, it is a development cost of $44 million for 78,000 sqft
So it is physically smaller and has fewer retail activities going on within it, but the same ones that were proposed previously
Next slide, please
Model D is similar to Model C and that is somewhat the limited programming, although it does have all of the primary market features
But this would be taking place in some existing facility
So the floor plan diagram is a bit of a misnomer because this could potentially be in any shaped building large enough to accommodate the necessary program features
This existing model comes in at $28.5 million for 37,000 sqft, so it is projected to be significantly smaller in footprint than other models
Next slide, please
And so here we compare the models side by side and I'd like to direct the focus to the profit and loss breakeven budgets across the models
Is it all right to speak over the train? Okay, I wasn't sure if it would register for the online viewers
So the two models in this comparison that break even are actually the two highest cost models
Model A, the solo full market program, and the Model B, the partner market program market or model a, is projected to break even in year four
So there are several years up front of startup cost when then it hits break even
And how's potential profit after that? Model B is actually expected to break even all years, so right away and profit is possible at all years
So while carrying the highest price tag, it also has the greatest opportunity for financial sustainability
That said, it also requires quite intricate partnership to be determined future model C and Model D
The projections indicate that despite their lower upfront investment costs would require ongoing investment and would be dependent on higher utilization of the footprint to achieve its baseline stability
So I would like to emphasize that we do not currently sit with a preference for any one of these models in different scenarios
Each of them could be viable or could be the best option
More research and development would be required to make a recommendation, but there are distinct differences between these four and I'll now pass it back to Dave, I believe
Next slide, please
So given the number of sites and buildings identified in the feasibility stone, it's going to take us a while along with our stakeholders to determine which site and market option is most feasible
So you've got like three cities, you've got four different models, and you've got multitude of sites
So if you do the math, you know, you could have 60 different options that the cities might consider
What we also know is the cost of developing is beyond our individual capacity and I think also our partners
So this is going to take a team approach and a variety of funding sources to develop a marketplace
While we can help fund the project, we would probably most likely have to tie our support to a marketplace that supports and drives tourism per our state statutes
What I'd like to do is turn it back over to Ashton to talk about aye
conditions or financial context and finish up
Thank you
Thank you, Dave
Well, in contrast to the port, and perhaps complimentary, in this case, the county has flexibility to fund different types of projects that demonstrate public benefit
But in this case, our most flexible funding sources are currently constrained, as you may know
So we want to be certain that we are using the source that makes the most sense, or sources in this case, and those are complementary with the port
So we agreed from the beginning and signaled to the cities and advisory council that the city that is chosen or kind of self identifies to host the marketplace should be able to offer some type of financing support for the overall project
Next slide, please
So this is a breakdown of our high level next steps
So later this month, we, and next month, actually, we will be briefing each of these city councils on the study, as well as asking the cities to determine which site and market model works best for them
And from that point, the port and county will discuss options with those interested cities and kind of land on a single commitment from one cities, one city
I'm sorry
So that decision will obviously dictate the funding and support from the other partners, the port and county, obviously, and then we will move forward from there
I think that concludes our presentation, and we'll be happy to answer any questions you might have
Thank you so much for the presentation
Both Commissioner Hasegawa and I were saying that we've received this presentation recently, but still have questions that come up for us
First of all, I want to say thank you to our King county partners for joining us in this effort and also Director McFadden for taking this on
I think it was really just like a unique sort of idea when we initially decided that maybe we should study this and see what is possible
And I just really appreciate the thought that has went into this and making sure that this report was finalized
And I also really appreciated the advisory committee and co chairing
It was really helpful to just hear the public's opinions and thinking on what they wanted to see for their community
And you guys engaged the advisory committee throughout the whole time, which was just a beautiful process to witness
We're at the end of it, but I think the excitement's starts now to see who is going to be the city or the entity that puts their hand up and says, we want to take this on
And so I'm curious to see what happens next
I wanted to check in on the angle lake site
So that's the actual parking lot of where the sound, the light rail is, correct
I believe it's the parking lot across from the park itself
From the park itself, yeah
And I can
And I could provide a more detailed map from our consultants too, if that helps
So is that like across from
There's the light rail station, there's the actual park
So it's somewhere in between there? Yes, I believe it's from where the angle Lake park is
I believe it's across from that
The park itself
It's across the street from it
But I will have
Our consultants did a lot of this research and they have a more detailed, like, parcel layout of it
And we can report back to you on that if you'd like
Yeah, I would like that
And then just knowing, like, how did the city react to that? Like, how do these cities react to, you know, including them as potential site locations? Can I just
Go ahead, you start
Well, they were, the economic development team from Sea-Tac, Burien and Tukwilla were actively engaged in this process and actually provided our consultants and us guided tours of these sites
And so they had come up with these identified parcels as well as gleaning from the survey that was also produced and culminated along list of potential sites
So I hope that answers some of your questions about how the sites were identified and the level of engagement the city partners had
Yeah, thank you
That would be helpful
Commissioner has
All right, so this is really exciting to me
I mean, it tells me that there's
It definitely could happen, but we absolutely need a local champion
And, you know, start is
I'm sorry, not start
The JAC might be an appropriate place to also provide this presentation
Maybe the Highline forum or maybe just in one off conversation conversations with the cities or their representatives
But I want to echo and emphasize what President Mohammed mentioned about Angle Lake parking lot, I mean, I think about folks getting off of the light rail from the airport or from, you know, anywhere and just being able to walk right into this amazing market
I also get excited thinking about that as like a small business hub
And it for me dovetails with another presentation
We just received an equity workforce development committee around the prospect of having a brick and mortar childcare facility either at or nearby along the commute line for sea employees
That would be easy
And so I wonder about the potential space opportunities, opportunities there
And, you know, right off of light rail station would be ideal for that as well
So that's a separate conversation
But how exciting if it could be a related conversation, I think we want to know, and as a follow up to this, what are, what these cities are saying, specifically Tukwilla, Sea-Tac and Burien as particular potential sites for a market
And there's so much, there's so much already in the mix in conversation with Sea-Tac, in particular around economic development and shared opportunities
I really wonder what might be able to happen out of Jac
So, yeah, I'm staying tuned
Congratulations, including to President Mohammed, who had the vision for this, and all of you who have put in so many hours, because I think this could be just a really wonderful thing for community members to enjoy
Thank you, Commissioner Hasegawa
I did
McFadden
I wanted to ask, Director McFadden, the Maritime Innovation center
Yes
There's obviously like a clear nexus why we did that to our RCW and how it's written
I do wonder if there, for this international market, is there a nexus that could be made with tourism and the airport in particular, if the angle lake site ended up being the site that maybe the City of Sea-Tac went after
Do you see a partnership or am I now stepping into Pete Rommel? Well, I can answer the question the way I heard it answered
Okay
Which is the closer it is to the airport, the easier it is to make the argument that it will attract travelers and tourists
So the answer would be yes
If it's in that angle lake area or close proximate to the airport, I think we can make a case that if they build it, that there will be visitors and travelers from the airport that go there
Yeah
And I wonder, with some of the stamp projects that are happening, there are some opportunities for economic development that's included in that
I do wonder if there's some overlap in that, but kind of getting ahead of myself on that one
Yeah, I think this is exciting
I do look forward to us being, being able to engage the cities
Are you all going to do some sort of public information session? I have gotten, a lot of community members have reached out to me who are interested in, were interested in receiving the report and especially like the potential sites
And so I don't know if there going to be a virtual meeting or something that's going to happen
I think I'd like to work with external relations on those details we have posted
We've sent out and distributed the site to anybody that was on our advisory committee or a stakeholder that showed interest
We've got it on our website
Our first priority is to go brief the councils
As we mentioned, that's going to take June and July
After that, I think we're open to have an open house, whatever may make sense at that point in time
Yeah, yeah
And I think even just flagging when you guys are doing those presentations in those different cities, so if the public wants to attend one of those specifically, they're from that community, I think that would be a good idea
Yeah
Well, thank you again for the presentation
Oh, Commissioner Felleman, he actually did after all
Of course
Yeah
I stayed on listening and it was very interesting
I know that this was a near and dear project for President Muhammad, so I was very much interested in, sorry for having to do it in transit
And I arrived just in time for seeing Stephanie mine be part of the sustainable aviation committee
But I just wanted to offer up the Highland Forum as a great, I think as a great entity and, you know, a chair of that
And I think it's the right communities that would be interested in getting a full presentation
So if you wanted to do a repeat performance for the Highline forum, I would love to try to schedule it
Great
Thank you, Commissioner Felleman, for offering that
I agree
I think that would be a good place to catch all those elected officials at once
Great
Thank you again for the presentation
I want to thank King county again for being here and council member Dave up to Grove, who also champion this item as well
And so thank you all for the presentation
Thank you, moving us along
Well, this concludes our business meeting agenda for the day
Are there any closing comments at this time or motions related to committee referrals from commissioners? Commissioner Hasegawa, last Friday we had a visit from President Joe Biden through our gateway, and I had the honor of getting to greet aye
on the tarmac and watch Air Force one come in alongside Governor Inslee, executive Constantine and Mayor Harrell, and shake aye
hand, introduce myself and thank aye
for what he's doing with the FAA authorization bill
And, yeah, it was an amazing life experience
And thank you so much for the opportunity to do that
And, yeah, it made me really proud, really proud to be able to step into that, that role in that space
It was a responsibility and was a privilege
Thank you very much
And I also wanted to wish everybody a very happy Asian American Native Hawaiian Pacific Islander Heritage Month
There are so many stories from so many people from over 40 countries, I think 48 different countries across the world, across Asia and the Pacific
I think I look forward to participating in a number of panels that are happening over the lunch hour over the next two weeks
Thank you for happy, for coordinating some of those, and I look forward to participating
Thank you, Commissioner Hasegawa, for those comments
I also just wanted to quickly share, we've been hosting Budget 101 sessions in the public recently
We've held two of those in, one of them at table 100 and then the other one at El Centro Delight Raza, and we're holding our last budget 101 at Green River College on the 16th
That's this Thursday at 06:00 p.m
And I encourage the public to participate
It's a great way to understand how the port's budget works and also to learn about the South King County Impact fund
And so for anyone in the public who's interested in participating in that, I would encourage you to attend
That concludes my comments
Executive Director Metruck, do you have any closing comments for the day? No, President Muhammad, I don't
I see Commissioner Felleman just popped up on the screen here
I didn't know if he had something, but I do not have any additional comments
I thank for the commissioner's attention on the items and the action that we took today
I really appreciate that
And thanks for your feedback on those other issues that we presented today as well
Thank you
Thank you, Director Metruck
Commissioner Felleman, I just wanted to note that I meant to say during the awards, I would like very much, I've been interested in looking at our responsible traveler program and the ability to look at staff as well as programs that directly benefit the community surrounding the airport
And I'd like to see if we can explore queues, see what other flexibility it might provide for, for our responsible traveler program
So I appreciate Alaska being recognized for it, but it's exactly the kind of thing that I was hoping to explore and ask that we put some attention to that
But anyway, thank you again
I'm going to go catch Stephanie so I can sign off without ruining your quorum
Right
Thank you
So I just wanted to make a quick note for the record
Commissioner Ryan Calkins was absent today for today's meeting, but he was excused
And so I just want to make sure that we note that for the record
So hearing no further comments and having no further business, if there is no objections, we are adjourned
And the time is now
03:47 p.m
Thank you all.

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