PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      4e 
ACTION ITEM 
Date of Meeting    February 24, 2015 
DATE:    February 17, 2015 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Peter Garlock, Chief Information Officer 
SUBJECT:  Human Capital Management (HCM) System Upgrade (CIP #C800745) 
Amount of This Request:       $1,500,000   Source of          76.5% Airport
Funds:         Development Fund;
Est. Total Project Cost:         $1,500,000 
18.3% General Fund;
5.2% General Fund
Real Estate 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to (1) authorize Port staff to
proceed with the HCM System Upgrade project and (2) authorize the procurement of required
hardware, software, and vendor services for a total project cost not to exceed $1,500,000. 
SYNOPSIS 
The Port of Seattle uses the Oracle/Peoplesoft version 9.0 HCM system, last updated in July
2009, to track and manage all human resource, benefits, and payroll functions. Oracle support for
this version will end in June 2015. While required tax updates will be available for additional
cost after support ends, critical patches, security alerts, regulatory updates and technical support
will no longer be available without an upgrade. 
This project will upgrade the Peoplesoft HCM system to ensure availability and security of this
critical system to Human Resources and Payroll.  Information Communication Technology
(ICT), Human Resources & Development (HRD), and Accounting & Financial Reporting (AFR)
resources will be utilized to complete the project. Total project costs are estimated to be
$1,500,000. This project was included in the 2015  2019 capital budget and plan of finance.
Recurring software license and maintenance costs are budgeted within the ICT Department
operating budget. Vendor Services will be procured using a current Indefinite Delivery Indefinite
Quantity (IDIQ) contract for Peoplesoft services. 
BACKGROUND 
The Port of Seattle HCM system includes Payroll, Human Resources, Benefits Administration,
and Time and Labor modules. The centrally deployed system is used primarily by our Human
Resource and Payroll staff but Time and Labor and benefit enrollment self service capability is

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
February 17, 2015 
Page 2 of 4 
used Port wide for time entry, time administration, and annual benefits open enrollment. The
system also includes several self-service applications deployed Port wide allowing Port
employees to request a W-2 reissue, view their paycheck, compensation history, benefits and
paid leave information online, and update their W-4, address, phone number, and emergency
contact information. 
PROJECT JUSTIFICATION AND DETAILS 
The upgrade of the Peoplesoft HCM system from 9.0 to 9.2 will ensure the availability and
security of a system critical to Port operations. 
Project Objectives 
Complete the upgrade within the planned timeframe to minimize the risk from reduced
support 
Ensure the availability and security of a system critical to Port operations. 
Scope of Work 
Upgrade of the Peoplesoft HCM system from version 9.0 to 9.2 
Schedule 
Commission Approval                                February 2015 
Procurement Complete                                  March 2015 
Upgrade Complete                                  December 2015 
FINANCIAL IMPLICATIONS 
Budget/Authorization Summary              Capital     Expense   Total Project 
Original Budget                      $1,500,000          $0    $1,500,000 
Previous Authorizations                       $0          $0          $0 
Current request for authorization            $1,500,000          $0    $1,500,000 
Total Authorizations, including this request     $1,500,000          $0    $1,500,000 
Remaining budget to be authorized               $0          $0          $0 
Total Estimated Project Cost              $1,500,000          $0    $1,500,000 
Project Cost Breakdown                     This Request       Total Project 
Vendor Services                            $995,000          $995,000 
Port of Seattle Labor                            $505,000           $505,000 
State & Local Taxes (estimated)                        $0               $0 
Total                                      $1,500,000         $1,500,000

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
February 17, 2015 
Page 3 of 4 
Budget Status and Source of Funds 
This project was included in the 2015-2019 capital budget and plan of finance as a $1,500,000
business plan prospective project within CIP #C800745, Human Capital Management System
Upgrade. The source of funds is 76.5% Airport Development Fund, 18.3%General Fund, and 
5.2% General Fund Real Estate. 
Financial Analysis and Summary 
CIP Category             Renewal/Enhancement 
Project Type              Technology 
Risk adjusted discount rate     N/A 
Key risk factors             N/A 
Project cost for analysis        $1,500,000 
Business Unit (BU)          Corporate 
Effect on business performance  N/A 
IRR/NPV             N/A 
CPE Impact             N/A 
Lifecycle Cost and Savings 
Software license and maintenance fees are currently budgeted in the ICT operating budget. Total
costs to maintain the system including estimated license and maintenance fees, as well as Port
recurring labor costs are not expected to change with this project. 
STRATEGIES AND OBJECTIVES 
This project supports the Century Agenda strategy to advance this region as a leading tourism
destination and business getaway, by ensuring the availability of systems that support important
programs that are critical to Port of Seattle operations. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Delay the upgrade: Critical patches, security alerts, and technical support will
not be available after June 2015 and required tax updates will not be available without additional
cost.  This is not the recommended alternative. 
Alternative 2)  Procure a new HCM system: Significant additional time and cost is estimated
for the analysis, procurement, implementation, and integration of an alternative product. This is
not the recommended alternative. 
Alternative 3)  Upgrade of our Peoplesoft HCM system: This alternative will ensure we
continue to receive critical updates and technical support for this critical system. This is the
recommended alternative.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
February 17, 2015 
Page 4 of 4 
ATTACHMENTS TO THIS REQUEST 
None 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None