PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      4b 
ACTION ITEM 
Date of Meeting      May 26, 2015 
DATE:    May 18, 2015 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Dave Soike, Director, Aviation Facilities and Capital Programs 
Wayne Grotheer, Director, Aviation Project Management Group 
SUBJECT:  Central Terminal HVAC Upgrade project (CIP #C800722) 
Amount of This Request:        $1,114,000   Source of Funds:   Airport Development
Fund and Future
Est. Total Project Cost:          $6,612,000 
Bonds 
Est. State and Local Taxes:        $420,000 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to proceed with design and
construction documents for the Central Terminal HVAC Upgrade project at Seattle-Tacoma
International Airport for an amount not to exceed $1,114,000 of a total estimated project cost of
$6,612,000. 
SYNOPSIS 
This project will install two new air handling units (AHUs) on the roof above the North and
South mezzanine levels of the central terminal. The AHUs would provide heating, ventilation
and air conditioning (HVAC) infrastructure systems to support the development of the
mezzanine spaces for use by the traveling public. Fast growing passenger volumes necessitate
development of the mezzanines for passenger services. The central terminal mezzanine spaces
are interior spaces that can be used for expansion and do not require weather protection.
However, they do require added HVAC in order to be developed for passenger services. Future
separate authorization will be sought in the third quarter of this year to lease mezzanine spaces
for restaurant use serving passengers. These HVAC improvements will not be impacted by
future development recommended as part of the Sustainable Airport Master Plan (SAMP). 
BACKGROUND 
The CTE project, completed in 2005, included mezzanine spaces above the concourse level
restaurants. These mezzanines were intended to be developed when passenger demand supported
their use. A portion of the North mezzanine level is already in use as a prep-kitchen and service
area for Anthony's restaurant. The demand analysis completed as part of the Airport Dining and
Retail master plan forecasts increased passenger demand for food service that cannot be met
without development of these spaces. The existing central terminal AHUs are already operating

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
May 18, 2015 
Page 2 of 6 
at peak capacity, and cannot support the mezzanines. Other nearby spaces developed for the
USO, a Starbucks venue, and the US Bank branch similarly needed to create their own HVAC.
This project will provide HVAC for the mezzanines by installing two new AHU's mounted on
the roof, and each within its own weather-tight enclosure. The addition of these AHU's will
coincidentally improve the emergency smoke evacuation control systems within the central
terminal. These new  AHUs will be designed  to offset the additional heat generated by
passengers, employees and new equipment in these mezzanine spaces. 
PROJECT JUSTIFICATION AND DETAILS 
As part of an overall evaluation of the facility for the expansion of the dining and retail program,
the Port conducted a detailed analysis of the existing HVAC and smoke control systems. A
recent analysis confirmed that the existing central terminal HVAC AHUs and smoke control are
at maximum capacity and could not adequately support any development of the central terminal 
mezzanine spaces. As a result, staff requests this authorization to support development of the
central terminal mezzanines. 
Project Objectives 
Provide needed HVAC capacity and smoke  control in order to develop central terminal 
mezzanine level space to meet passenger demand for additional seating space and food service.
The capacity will be added within a defined schedule and budget.
Scope of Work 
Complete design and installation of two new AHUs. Design will be completed by consultant
resources within an existing Service Agreement. 
Schedule 
Start Design                                     2nd quarter 2015 
Complete Design                               2nd quarter 2016 
Commission Authorization for Construction               3rd quarter 2016 
Advertise for Construction                           4th quarter 2016 
Substantial Construction Complete                     4th quarter 2017 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary              Capital     Expense   Total Project 
Original Budget                      $6,589,000      $23,000    $6,612,000 
Previous Authorizations                   $25,000          $0      $25,000 
Current request for authorization            $1,089,000          $0    $1,089,000 
Total Authorizations, including this request     $1,114,000          $0    $1,114,000 
Remaining budget to be authorized         $5,475,000      $23,000    $5,498,000 
Total Estimated Project Cost              $6,589,000      $23,000    $6,612,000

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
May 18, 2015 
Page 3 of 6 

Project Cost Breakdown                     This Request       Total Project 
Design Phase                             $1,114,000        $1,114,000
Construction                                     $0         $5,078,000 
Sales Tax                                      $0          $420,000 
Total                                      $1,114,000         $6,612,000 
Budget Status and Source of Funds 
This project, C800722, was not included in the 2015-2019 capital budget and plan of finance. It
was identified as one of the projects on the "delay approval" list when the budget was presented
in October of 2014. The need for this project to support the development of the mezzanine space
became apparent in late 2014. The budget for this project will be transferred from the
Aeronautical Allowance CIP (C800404), resulting in no net change to the airport's capital
budget. The source of funding is the Airport Development Fund and future revenue bonds. The
Port anticipates issuing revenue bonds in 2015 to fund a number of projects. 
Financial Analysis and Summary 
CIP Category             Renewal/Enhancement 
Project Type              Infrastructure Upgrade 
Risk adjusted discount rate     N/A 
Key risk factors             N/A 
Project cost for analysis        $6,612,000 
Business Unit (BU)          Terminal Building 
Effect on business performance  NOI after depreciation will increase 
IRR/NPV             N/A 
CPE Impact             $.02 in 2018 
Lifecycle Cost and Savings 
The major assets this project will install are the two air handling systems and the associated
electrical and mechanical devices. The air handling equipment will be housed in weather-tight
roof top enclosures to lengthen equipment life spans. These assets will have useful life spans of
25-30 years. 
STRATEGIES AND OBJECTIVES 
This project supports the Port's Century Agenda goal to "advance the region as a leading tourism
destination and business gateway" by providing an extraordinary customer experience at the
Airport. The project also supports the Aviation Division's strategic goal to operate a world-class
international airport and increase non-aeronautical revenue. This project will allow for the full
development of vacant space in the central terminal and assure that the new spaces have proper
HVAC and smoke control. These infrastructure systems are critical to the comfort and safety of

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
May 18, 2015 
Page 4 of 6 
travelers at the Airport. There is little likelihood that these improvements could be impacted by
future development recommended in the Sustainable Airport Master Plan (SAMP). 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1) - Maintaining Status Quo 
Pros: 
The need to invest in the existing HVAC systems could be deferred if the central terminal 
mezzanine spaces remain undeveloped for public use. 
Cons: 
Increasing passenger demand for food service in the central terminal cannot be met
without expansion into undeveloped space on the mezzanine levels. 
Existing HVAC systems cannot provide an acceptably comfortable environment if
mezzanine level space is developed for public use. 
The traveling public, airlines, tenants and employees may experience discomfort due to
the existing HVAC system's inability to heat and cool parts of the central terminal during
peak summer & winter weather. 
Alternative 2) - Upgrade/Replace the existing central terminal HVAC system in order to
meet the mezzanine demand. 
Pros: 
This alternative could satisfy the entire demand for HVAC in the central terminal. 
Cons: 
This would require closure during construction of the entire central terminal, including all
restaurants, the central security checkpoint, and adjacent facilities such as the new USO 
and all of the adjacent offices east of the central terminal during construction. 
Costs for this alternative for design and construction are roughly estimated to be in the
$20 million-$30 million range. The potential revenue losses and financial impacts to
operations would be very significant and have not been estimated. 
Alternative 3) - Co-locate a new rooftop AHU & weather-tight enclosure to serve the south
mezzanine and the proposed nearby Delta Club 
Pros: 
Alternative offers efficient use of resources in design and construction. 
Cons: 
The emergency smoke control requirements for the south mezzanine and Delta Club
differ significantly, and are located within separate fire zones, it would be difficult for the
HVAC and smoke control systems to work compatibly together.
Initial studies indicate ductwork routing complexities and high operational costs due to
increased ductwork length. 
Roof sections between the Delta Club area and the central are not adequately designed for
the equipment weight and would require extensive structural design and upgrade. 
This alternative does not satisfy the need for HVAC improvements on the North
Mezzanine.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
May 18, 2015 
Page 5 of 6 
Cost estimates for this alternative for design and construction are roughly estimated to be
in the $7 million-$8 million range. 
Alternative 4)  Design a separate central terminal mezzanine HVAC system and install the
two new roof top AHUs without weather-tight enclosures on either the north or south
roofs. 
Pros: 
This alternative offers lower first costs for design and construction. 
Cost estimates for this alternative for design and construction are roughly estimated to be
in the $4 million-$5 million range. 
Cons: 
Rooftop AHUs of this type have a shorter equipment life expectancy, as much as 10-15
years less life than AHUs inside weather-tight enclosures. 
These open-air systems have higher operational maintenance costs due to the equipment
not being protected from the elements. 
Due to the inferior quality of rooftop units reliability of the overall system will be lower
which can cause unplanned outages of HVAC services for several days and more
importantly loss of smoke control. 
Alternative 5)  Design a separate central terminal mezzanine HVAC system and install
two new roof top AHU's with weather-tight enclosures on north and south roofs.
Pros: 
This would provide adequate HVAC capacity for the planned expansion of the mezzanine
spaces. 
Allows the development of the mezzanine spaces to serve travelers as intended 
The traveling public, airlines, tenants and staff experience and expectations during peak
summer & winter weather will be met given these improvements to thecentral terminal 
infrastructure. 
This alternative provides the weather-tight protection for the AHUs ensuring the
equipment useful life of 25-30 years and follows the established Port of Seattle standards
for construction. 
The air handling units will be heavy industrial grade quality, providing very reliable
system, which require minimal maintenance and stable operation which is essential for
life safety system such as smoke control. 
Cons: 
Estimated cost to design and construct this project is $6,612,000. 
This is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
Exhibit A: Power Point Presentation

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
May 18, 2015 
Page 6 of 6 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
October 25, 2014  Authorization for Airport Dining and Retail Infrastructure
Modifications (CIP #C800638) 
June 25, 2013 -- Authorization for United Services Organization Northwest Lease and
Associated Second Floor Utilities Preparations (CIP #C800615) 
January 22, 2008 -- Authorization for the upgrade of the heating, ventilation, and air-
conditioning (HVAC) system to the north side of the second floor of the Main Terminal
Administration Building/CTE (CIP #C800249)