4e

PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      4e 
ACTION ITEM               Date of Meeting     June 9, 2015 
DATE:    June 1, 2015 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Robin Romeo, Director of Labor Relations 
Milton Ellis, Labor Relations Manager 
SUBJECT:  New collective bargaining agreement with  the International Association of
Machinists and Aerospace Workers, Local 289, representing Auto Machinists. 
Total Port Cost Increase for the Duration of the Agreement: $ 261,090. 
Source of Funds:   Aviation Maintenance and Marine Maintenance Department 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to execute a new collective
bargaining agreement (CBA) between the Port of Seattle and the International Association of
Machinists and Aerospace Workers, Local 289, covering the period from July 1, 2013, through
June 30, 2017, and affecting 31 positions, including Auto Machinists employees. 
SYNOPSIS 
Good faith bargaining between the International Association of Machinists and Aerospace
Workers, Local 289, and the Port of Seattle resulted in a fair collective bargaining agreement
consistent with the Port's priorities. This agreement is for four years covering the period from
July 1, 2013, through June 30, 2017. The estimated total additional cost for wages and benefit
increases is $261,088. The estimated additional cost per year of the contract is: year one,
$51,392; year two, $53,158; year three, $61,442; and year 4, $95,098.
For the first time, employees will pay a portion of the cost of their health insurance premium, as
well as a portion of the cost of the Port's contribution to their pension rehabilitation plan. Wages
in the first year of the agreement did not increase. Instead, employees will receive a lump sum.
For the remainder of the agreement employees will receive an annual cost of living adjustment
equal to the local consumer price index. Employees will now be required to participate in the 
Port's direct deposit program. 
Other employee benefits include an increase in the annual shoe allowance and the provision of
an additional week of vacation time for employees with eighteen or more years of service.

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
June 1, 2015 
Page 2 of 4 
Operational changes include establishing separate seniority lists by department, modifications to
the time requirements for grievances and overtime clarification for employees who work a ten
hour shift. 
BACKGROUND 
The International Association of Machinists and Aerospace Workers, Local 289, represents a
bargaining unit of 31 Auto Machinists. These employees work in Marine Maintenance, Aviation
Maintenance, and the Aviation Maintenance Bus Facility.  The previous agreement expired on
June 30, 2013. RCW Chapter 41.56 requires the Port of Seattle to collectively bargain wages,
hours and working conditions with the exclusive bargaining representative designated by the
employees. 
SCOPE OF THE AGREEMENT 
Term of the Agreement 
July 1, 2013, through June 30, 2017. 
Wages: 
Effective July 1, 2013, this Collective Bargaining Agreement shall provide the following: 
Effective July 1, 2013 :                Lump sum payment of $1,500 per employee 
Effective July 1, 2014:                Base wage rates shall be increased by the sum of 
one-hundred percent (100%) of the percentage 
increase in the Consumer Price Index for Seattle 
Tacoma, Bremerton, with a minimum increase of
not less than zero percent (0%) nor more than six
percent (6.0%) 
Effective July 1, 2015:                Base wage rates shall be increased by the sum of 
one-hundred percent (100%) of the percentage 
increase in the Consumer Price Index for Seattle 
Tacoma, Bremerton, with a minimum increase of
not less than zero percent (0%) nor more than six
percent (6.0%) 

Effective July 1, 2016:                Base wage rates shall be increased by the sum of 
one-hundred percent (100%) of the percentage

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
June 1, 2015 
Page 3 of 4 
increase in the Consumer Price Index for Seattle 
Tacoma, Bremerton, with a minimum increase of
not less than zero percent (0%) nor more than six
percent (6.0%) 
Health and Welfare 
Employees in the bargaining group are currently enrolled in the Machinist Health and Welfare
Trust.  The previous agreement did not provide for premium share for employees in the
bargaining group and the Port's monthly premium contribution was linked to the average of the
Port's family plans on the basis of a contract clause in the agreement. As part of this new
agreement, that clause has been eliminated and employees will now contribute an amount of
forty dollars ($40) per month toward their health and welfare monthly premium amount
commencing the third year of the agreement. This employee paid premium amount will increase
to fifty dollars ($50) per month commencing the fourth year of the agreement. The current
monthly premium rate for employees in the bargaining unit is $1,600.53. 
Pension 
The Western Metal Industry Pension Fund is under a Rehabilitation Plan. The Port contributes
$7.96 per compensated hour per employee to the plan. The rehabilitation schedule at the time of
the settlement increases the Port's contribution by 16% of the base hourly per compensated rate
($7.96) each year of the agreement on the basis of the Preferred Schedule selected by the parties.
Pursuant to the new agreement, employees will now contribute $50 per month toward the
rehabilitation plan commencing the third year of the agreement. 
Vacation 
Employees with more than eighteen (18) years of service will receive an additional week of
vacation. 
All employees will be able to cash out vacation provided they have a balance of two weeks
remaining. 
Vacation selection will now be done by seniority within department. 
Direct Deposit 
Employees will now be required to participate in the Port's direct deposit program. 

Shoe Allowance

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
June 1, 2015 
Page 4 of 4 
Employee annual footwear allowance increased from $80 to $120 a year. 
Other Changes 
Overtime  updated to account for employees on 4/10's work schedule. 
Grievance procedure  time in responding to grievances has been extended. 

FINANCIAL IMPLICATIONS 

Cost Impact $      Year 1      Year 2      Year 3   Year 4 
Pay            $47,740     $13,338     $51,061  $52,083 
Benefits          $ 3,652      $ 39,820     $ 10,380  $43,015 
Total            $ 51,392     $53,158     $ 61,442  $95,098 

The estimated total additional cost to the Port for the duration of the contract is $261,090. 
Budget Status and Source of Funds 
The increase in expense is included in the Marine Maintenance Department and Aviation
Maintenance Division 2015 budgets. 

PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None.

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