ITEM NO. 7a Supp Revised 7/10/12 
DATE OF 
MEETING: July10, 2012 
Port of Seattle 
2013 Budget Process
Briefing 
July 10, 2012

Agenda 
2013 Budget Process Overview 
2013 Budget Calendar 
Total Rewards 


2

2013 Budget Process Overview 
Assess business environment and industry conditions 
Develop key assumptions, drivers and targets 
Issue budget calendar and guidelines 
Update business plans, incorporating Century Agenda 
Prepare operating and capital budgets 
Develop funding plans 
Review and approve budgets 
File Statutory Budget 
3

2013 Budget Calendar 
August 
Commission briefing on Q2 performance on 8/7 
Commission briefing on budget assumptions on 8/7 
Approve Century Agenda on 8/14 
Commission workshops on division business and capital
plans on 8/14 
Formal budget entries on 8/20 

4

2013 Budget Calendar - Con't. 
September 
Prepare preliminary operating & capital budgets 
Internal budget reviews by each department & division 
Executive preliminary budget reviews (9/19  9/21) 


5

2013 Budget Calendar - Con't 
October 
Commission capital budgets briefing on 10/2 
Commission operating budget briefing on 10/9 
Commission Draft Plan of Finance briefing on 10/23 
Preliminary budget document available to the Commission
on 10/23 
Release 2013 Preliminary Budget to the public on 10/25 

6

2013 Budget Calendar - Con't. 
November 
First reading of budget resolution(s) on 11/6 
Second reading of budget resolution(s) on 11/27 
December 
File statutory budget by 12/5 
Release the 2013 Final Budget and Draft Plan of Finance
to the public by 12/14 
7

Payroll Assumptions 
Preliminary assumptions will be developed in
late summer, refinements may occur during
budget development in the fall 
Includes merit pay adjustments, health benefit
costs, retirement contributions, wage rates, etc. 
Will be consistent with Total Rewards
Philosophy 

8

Total Rewards 
Total Rewards Philosophy specifies the ideal
relationship between the Port's pay and benefits
programs and the market 
Survey data is necessary to assess the market 
Market comparisons, as well as the Port's
financial situation inform the direction and
budget for pay and benefits on an annual basis

Total Rewards  Con't 
Total Rewards Philosophy includes two sets of
principles 
All principles guide management of Total Rewards as
well as decisions about the plans and programs that
comprise Total Rewards at the port 
Overarching Principles 
Apply to the entire Total Rewards Package 
Core Principles 
Guide each of the Total Rewards Categories

Total Rewards  Con't 
Overarching Principles include 
Purpose, Values, Strategy : reflect the Port's mission,
values, business strategies and nurture our culture 
Sustainability: design and manage programs in a
fiscally responsibly way that is sustainable overtime 


11

Total Rewards  Con't 
Core Principles include 
Pay at market average 
Pay increases should be market competitive 
Overall benefits package slightly better than average 
Health care benefits between the 50th and 75th 
percentile 
Employees should share in the cost of their health
care 

12

Total Rewards  Con't 
Next Steps 
Communicate Total Rewards 
Complete and summarize Gap Analysis 
Develop Health Care Strategy to establish future
direction of health plans 
Incorporate Gap Analysis and Health Care Strategy
into work plans 

13

Port of Seattle 
2013 Budget Process
Briefing 
July 10, 2012