PORT OF SEATTLE 
MEMORANDUM 

COMMISSION AGENDA              Item No.      5b 
ACTION ITEM               Date of Meeting    April 3, 2012 
DATE:    March 27, 2012 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:    Lisa Hornfeck, Labor Relations Manager 
SUBJECT:  Collective  Bargaining Agreement  between the Port of Seattle and the
International Union of Operating Engineers, Local Union No. 286 , representing
Operating Engineers 

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 Union of
Operating Engineers, Local Union No. 286, representing Operating Engineers covering a period
from June 1, 2011, through May 31, 2014, and affecting 92 full-time equivalent (FTE) positions.
The total estimated additional cost to the Port for the duration of the three-year contract is
$494,860.56. 
SYNOPSIS: 
The estimated additional cost for wages and pension increases is $173,612 in the first year of the 
contract, $168,038 in the second year of the contract, and $153,300 in the third year of the
contract. The total estimated increased cost to the Port for wages and pension for the duration of
the three-year contract is $494,860.56. The year two and year three estimated increases are
estimated at 2.1%, identical to the actual increase in year one. Actual increases in year two and
year three will be based on the Consumer Price Index for the Seattle-Tacoma-Bremerton area. 
The agreement provides for employee cost sharing for future medical expenses and premiums. 
BACKGROUND: 
This memorandum covers 92 operating engineers in the Aviation Maintenance Division. This
work group maintains Sea-Tac Airport's conveyor baggage system, the mechanical utility
systems, the industrial wastewater treatment facility, and the loading bridges.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
March 27, 2012 
Page 2 of 4 

PROJECT JUSTIFICATION: 
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 
June 1, 2011 - May 31, 2014 
Wages 
Effective June 1, 2011, this collective bargaining agreement shall provide the following: 
Effective June 1, 2011:     The base wage rate shall be increased by the sum of 100% of the
percentage increase in the Consumer Price Index for Seattle-
Tacoma-Bremerton with a minimum increase of not less than 0%
nor more than 6%. The index used shall be the CPI-U covering the
period April 2010  April 2011. 
The percentage increase is 2.1%, to $ 35.89. 
Effective June 1, 2012     The base wage rate shall be increased by the sum of 100% of the
percentage increase in the Consumer Price Index for Seattle-
Tacoma-Bremerton with a minimum increase of not less than 0%
nor more than 6%. The index used shall be the CPI-U covering the
period April 2011  April 2012. 
Effective June 1, 2013      The base wage rate shall be increased by the sum of 100% of the
percentage increase in the Consumer Price Index for Seattle-
Tacoma-Bremerton with a minimum increase of not less than 0%
nor more than 6%. The index used shall be the CPI-U covering the
period April 2012  April 2013; or 
Either party may request a wage opener. 
Pension 
Effective June 1, 2011     The Port shall contribute $3.35, an increase of fifteen cents ($.15),
per compensable hour to Central Pension Fund. The cost of this
increase the first year of the contract is $26,832.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
March 27, 2012 
Page 3 of 4 
Other pension rates remain consistent with the prior agreement and
there is no increased cost to the Port. 
Health and Welfare 
The parties agree to share responsibility for future health care cost increases. This collective
bargaining agreement shall provide as follows: 
Future increases to the $1100 monthly contribution base rate shall be shared by the Port
and the employee in the following way: 
The employee will contribute 50% of any hourly increase up to 10% of the total
hourly base rate and the Port will contribute 50% of any hourly increase. 
Once employee contributions have reached 10% of the total hourly base rate,
future increases shall be split 10% paid by the employee and 90% paid by the
Port. 
Premiums 
Effective June 1, 2012:     Premium rate for operating maintenance engineers (operators in
the boiler room) increased $0.20, to $1.20 per hour, due to the
licensing requirements. There are 46 employees receiving this
premium at an estimated cost of $17,888. 
Other Changes 
Article 7.05  Modified the recall period in the event of a reduction in force 
Article 8.10  Language added to address the disciplinary process for Operators who fail
to keep their licenses current 
Article 9.03 Journeyman Trainee 
o  Entry level hourly rate reduced 10%, from 90% to 80% of journeyman hourly
base rate. Hourly rate increased to 95% of journeyman base rate after six months
if successfully working to become full journeyman. There is no increased cost to
the Port, and some expected modest savings for this change. 
Article 16 Funeral leave modified to include domestic partners and two extra days of
leave if the funeral is out of state 
Various language clarifications covering shift bidding, sharing of employee seniority
lists, layoff sequence, overtime call-in procedure, holiday schedules 
FINANCIAL IMPLICATIONS: 
The total estimated additional cost to the Port for the duration of the contract is $494,860.56 for
total wage and pension increases.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
March 27, 2012 
Page 4 of 4 
BUDGET STATUS AND SOURCE OF FUNDS: 
The increase in expense is included in the Aviation Maintenance department's 2012 operating
budget. It will be paid from the Airport Development Fund. 
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST: 
Collective Bargaining Agreement between the Port of Seattle and the International Association
of Machinists, Local Union No. 289 representing Parts Procurement Representatives. 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS: 
None.