AMENDED AGREEMENT
BETWEEN
THE PORT OF SEATTLE
AND
THE DEPARTMENT OF THE ARMY


THIS AGREEMENTis entered into this (2 '4'       J a]?
day of       2,006 by and
between the DEPARTMENT OF THE ARMY (hereinafter the " rmy"), represented by
the U.S. Army Corps of Engineers (Corps), Seattle District Engineer and the PORT OF
SEATTLE, represented by its Director of Seaport Finance and Asset Management,
(hereinafter the "Port").

WITNESSETH, THAT:

WHEREAS, Section 214 of the Water Resources Development Act of 2000, Public Law
No. 106-541 ("WRDA Section 214"), as amended, provides as follows:

(a) IN GENERAL -- The Secretary (of the Army),after public notice, may
accept and expend funds contributed by nonFederal public entities to expedite
the evaluation of permits under the jurisdiction of the Department of the Army

(b) EFFECT ON PERMITTING. -- In carrying out this section, the Secretary
shall ensure that the use of funds accepted under subsection (a) will not impact
impartial decisionmaking with respect to permits, either substantively or
procedurally.
(c) Duration of Authority.--The authority provided under this section shall .be in
effect from October 1, 2000, through December 31, 2006.

WHEREAS, Public Law 108~137, was signed into law on December 1, 2003, extending
the sunset clause for Section 214 of the WRDA 2000 to
September 30, 2005' and
WHEREAS, Public Law 109209, was signed into law on Mmch 24, 2006, extending the
sunset clause for Section 214 of the WRDA 2000 to December 31,2006; and

WHEREAS, the Secretary of the Army has delegated the responsibility of carrying out
this section to the Chief of Engineers and his delegated representatives; and

WHEREAS, the Chief of Engineers, by memorandum dated July 17,2001, has
authorized the Corps' District and Division Engineers to accept and expend funds
contributed by non-federal public entities subject to certain limitations including
the
publishing of public notices; and

WHEREAS, the Seattle District issued an initial Public Notice dated May 15, 2006,
regarding its intent to accept and expend funds contributed by non-Federal public
entities; and

WHEREAS the Seattle District Engineer has determined that expenditure of funds
received frOm the Port will be in compliance with the Act, and a public notice dated
June, 29, 2006, regarding the District Engineer's decision hasbeen issued; and
WHEREAS, the Port is a non-Federal public entity.

NOW, THEREFORE,

ARTICLE I  PURPOSE AND AUTHORITY

Pursuant to Section 214 of WRDA (Pub.L 106-541) ("Section 214"), as
amended, this Agreement is entered into by and between the Army and the Port
(collectively referred to as "the parties") for the purpose of establishing a mutual
framework governing the respective responsibilities of the parties for the acceptance and
expenditure of funds contributed by the Port to expedite the evaluation of permits under
'
the jurisdiction of the Army.

ARTICLE II  SCOPE

A The Port will provide to Seattle District at the beginning of each fiscal year
beginning October 1, 2006, an amount, to be agreed upon by the Port and the Seattle
District to expedite the evaluation of various Port permits under the jurisdiction of the
Seattle District. All funds transfers under this Agreement will be between the Seattle
District and the Port. It is understood that the use of funds accepted hereunder will not
impact impartial decisionmaking with respect to permits, either substantively or
procedurally. The Army Corps of Engineers' regulatory program is funded as a
congressionally appropriated line item in the annual Federal budget.- Additional funds
received from non-Federal public entities will be used to expedite the evaluation of. 2
permits.

.13. The Seattle District will establish a separate account to track receipt. and
expenditure of the funds associated with its review of the Port permits. Seattle District
regulatory employees will charge their time against the account when they do work to
expedite resolution of any Port permit request.

C. Funds contributed by the Port hereunder will mainly be expended on the
salaries and overhead of Corps Regulatory Project Managers performing expedited,
processing activities for the Port. Such activities will include, but not be. limited to, the
following: application intake review, drawings correction, jurisdictional determinations,

site visits, public notice preparation,preparation of correspondence, conduct of the
public interest review, preparation of draft permit decision documents, and meetings
with the Port. Funds will also be expended for the administration and tracking of the
funds contributed under Section 214. Funds will notbe expended for review of Project
Managers' work by'supervisors or other persons or elements of the Seattle District in the
decisionmaking chain of command Enforcement or compliance activities will not be
paid for from the funds contributed by the Port hereunder, nor will such funds be used
for paying the costs ofpublichearings and distribution of public notices

D. Funds may also be expended by other Corps elements (including but not
limited to Environmental. Resource Section, Engineering Division, PSDDA, etc.) or to
hire contractors to perform select duties, such as site visits, technical writing,- copying,
reviewing drafts of reference genera] biological assessments for use by the Port and
others, preparing regional general permits for use by the Port and others, Essential Fish
Habitat determinations, and other technical documents, including draft environmental
documents. All activities described in this, paragraph and paragraph C. above will be
performed in accordance with a management plan to be agreed upon by the parties.
- HI. IMPARTIAL DECISIONMAKING

A. Itis understood and agreed that in order to ensure that the funds will not
impact impartial decision making with respect to Port pemiit applications, thefollowing
procedures, mandated from Headquarters, U.S. Army Corps of Engineers, will apply to
all cases using additional funds provided by the Port as a participating non-Federal
public entity:

1. All final pelmit decisions for cases where these funds are used must be
reviewed at least by one level above the decisionmaker, unless the decisionmaker
is the District Engineer For example, if the decisionmaker1s the Chief
. Regulatory Branch,
then the reviewer would be the Chief, operations Division.

2. All final permit decisions'for cases where these funds are used will be made
available on the Seattle District Regulatory web page.

3. The Seattle District will not eliminate any procedures or decisions that would
otherwise be required for the type of project and permit application under
consideratibn.

4. The Seattle District shall comply with'all applicable laws and regulations.

5. Funds will only be expended to expedite the nal decision on the permit
application. Funds will not be expended for the review of the decisionmaker's
decision. If contracts are used to develop decision documents, such decision
documents must be drafts only and be reviewed and adopted by the Corps

regulatory program employees before the decision is made.

ARTICLE IV  COMMUNICATIONS

To provide for consistent and effective communication between'the Seattle
' District and the Port, each party shall appoint a Principal Representative to Serve as its
central point of contaCt on matters relating to this Agreement. The Port principal
representative is:

Wayne A. Grotheer
Director, Seaport Finance and Asset Management
Port of Seattle -
Post Office Box 1209 '
v                               Seattle, Washington 98111
(206) 728-3190
_
The principal representative for the Seattle District is:

Michelle Walker, Chief, Regulatory Branch
US. Army Corps of Engineers, Seattle District
PO. Box 3755
.
Seattle, Washington 98124-3755
(206) 764-6915

Any notice required by this Agreement shall be written and sent to the Principal
Representative by first~class mail of recognized overnight courier. Notices shall be _
deemed delivered (Den the third day after mailing when sent by'firstclass mail and the
post mark affixed by the United States Postal Service shall be conclusive evidence of the
date of mailing; or (ii) on the second business day after deposit with a recognized
overnight courier.

ARTICLE V - APPLICABLE LAWS

This Agreement and all documents and actions pursuant to it shall be governed _
by the applicable statutes, regulations, directives, and procedures of the United States
and Washington State.

ARTICLE VI - DISPUTE RESOLUTION

The parties agree that, in the event of a dispute between the parties regarding
implementation of this Agreement (excluding anyspecific permit application/decision),
the Port and the Seattle District shall use their best efforts to resolve that dispute in an
informal fashion through consultation and communication, or other forms of non-
binding alternative dispute resolution mutually acceptable to the parties.

ARTICLE VII - AMENDMENT, MODIFICATION AND TERMINATION

A. This Agreement may be medified or amended only by written, mutual
agreement of the parties. Either party may terminate this Agreement by providing
written notice to the Principal Representative of the other party at the listed address
above. Such termination shall be effective upon the sixtieth (60), calendar dayfollowing
such notice. In the event of termination, the Port shall continue to be responsible for all
costs incurred by the Seattle District under this Agreement prior to the effective date of
such termination.

B. This Agreement shall remain in force until Section 214 expires, the
Agreement is terminated pursuant to this Article, or until the funds have been expended
and not replenished following 60 days notice to the'Port, whichever occurs first.

C. Within sixty (60) days of termination, or the expiration of the Agreement, the
Seattle District shall conduct an accounting-to determine the actual costs of the work.
Within thirty (30) days of completion of this accountingthe Seattle District shall return
to the Port any funds advanced in excess of the actual costs. Funds may be provided to
the Port either by check or by electronic funds transfer.

ARTICLE VIII - EFFECTIVE DATE

This Agreement shall become effective when signed by both the Port of Seattle
and the Seattle District, US. Army Corps of Engineers.             V

IN WITNESS WHEREOF, the parties hereto have executed this Agreement.

DEPARTMENT OF THE ARMY:     PORT OF SEATTLE:

B '                  BY: A l
-
I  othee
,
A ing Distri t Engineer,        Director, Seaport Finance and
Seattle District,                      Asset Management
US. Army Corps of Engineers        Port of Seattle
DATE:_Z@_{___'__   DATE: f2 [5 [06