Item No:   7b_Supp
Date:    September 7 , 2010

Capital Improvement Projects
Second Quarter Report 2010
Commission Briefing

1

Capital Improvement Projects
Overall Status of Projects
83 Total Projects in report
47 Projects that are within or ahead of target schedule and budget
33 Projects that have either target schedule or budget off
3 Projects that have both schedule and budget off




2

Capital Development Division
Aviation Projects
Capital Improvement Projects
Second Quarter Report 2010

3

Aviation Project Overall Status
26 projects are within target budget and schedule
21 projects are either over budget or have delayed schedule





4

Aviation Quarterly Variance
Update includes 47 projects
41 of the projects have no reportable variances for this quarter
4 projects with favorable variances
(budget and/or schedule)
2 projects with reportable variances
(projected late completion and/or forecast overruns)



5

Projects with Favorable Variances
Trash Handling & Recycling System
Under Budget  The project is anticipating a savings of approximately $200,000
after closeout. Savings were due to pre-purchase of equipment, bids coming in
under estimate, and project efficiencies.
RMU/Kiosk Concession Program
Under Budget  The project is anticipating a savings of approximately $700,000
after closeout. Savings were due to the elimination of sites based on the
projected use of terminal space.
Concessions Flooring
Under Budget  The project will be returning savings once the contract closeout
is complete. Despite unforeseen conditions and schedule delays the team found
ways to manage the successful cost savings.

6

Projects with Favorable Variances (cont.)
Runway 16L/34R Reconstruction
Under Budget  The project is anticipating a savings of approximately
$6,600,000 after closeout.





7

Projects with Reportable Variances
Concessions Unit Readiness Program
Schedule delay - The construction phase has been restructured and resequenced
, with the intent to maximize the timing for new Concessions
opportunities. The project was put on hold until the prioritization decisions were
made by the Port's Business Development group.
Burien Commercial Property Acquisition
Schedule delay  Properties are purchased as Commission authorization is
received. The program is now expected to be complete in 2011. The last parcel
to be acquired is tied to the North East Redevelopment Area (NERA) project
which is a joint effort with the city of Burien. They will not be ready to vacate the
street until next year.

8

Construction Contract Growth that Exceeds 10%
2nd Floor HVAC                         14.47%
Change orders were negotiated and issued covering scope and schedule to
redesign the supports for the ductwork; address the changed site conditions
for the return air duct; and add temporary HVAC to the Host offices.




9

Capital Development Division
Seaport Projects
Capital Improvement Projects
Second Quarter Report 2010

10

Seaport Project Overall Status
11 Projects are within or ahead of target budget and schedule
5 Projects have either target schedule or budget off
2 Project have both target schedule and budget off




11

Seaport Quarterly Variance
Update includes 18 projects
16 of these projects have no reportable variances
2 projects have reportable schedule variances




12

Projects with Reportable Schedule Variance
T-10 Interim Redevelopment
Schedule variance  Additional time required for the permits has moved the
construction schedule into the next in-water period, an estimated delay of nine
months.
T-91 Road Pavement and Guard Shack
The project design was delayed one quarter in order to coordinate design efforts
with the adjacent T-91 Water main project to optimize the design and
construction efforts on both projects.


13

Construction Contract Growth that Exceeds 10%
T-115 Dock Reconstruction        17.4%
Encountered unforeseen underwater obstructions during the pile installation and dredging
activities.






14

Capital Development Division
Real Estate Projects
Capital Improvement Projects
Second Quarter Report 2010

15

Real Estate Project Overall Status
6 Projects are within or ahead of target budget and schedule
1 Project has either target schedule or budget off
1 Project has both target schedule and budget off




16

Real Estate Quarterly Variance

Update includes 8 projects
7 projects have no reportable variance
1 project has a reportable variance on both schedule and budget




17

Project with Both Budget and Schedule Variance
T102 HVAC Renewal/Replacement
Additional permit requirements added costs and delayed the project completion
until the fall of 2010.





18

Construction Contract Growth that Exceeds 10%
No Real Estate projects exceed 10% in construction change orders






19

Project Status
Total CIPs Managed by CDD
100%
90%
80%
Project Distribution per Quarter                70%
60%
50%
40%
30%
20%
10%
0%
2Q09 Report       3Q09 Report       4Q09 Report       1Q10 Report       2Q10 Report
Both Schedule and Budget off        2               2               2               2               3
Either Budget or Schedule off        37               34               30               27               27
On Schedule/On Budget          33             34             37             39             43

20

Corporate Division Projects
Information and Communications Technology
Capital Projects
Second Quarter Report 2010

2121

Corporate Overall Status
4 projects are within budget and schedule
2 projects are on-hold
4 projects are behind schedule but within budget





2222

ICT Quarterly Variance
Update includes 10 projects
8 projects have no reportable variances for this quarter
2 projects have a reportable variance for this quarter





23

Projects with Reportable Schedule Variances
Business Continuity
Insufficient power in the airport data center required unplanned
infrastructure upgrades for the new High Capacity Realtime Storage Device.
The new device is estimated to be online in October 2010 and final project
completion is estimated in April 2011, a 6 month delay from the original
schedule.
Internet Redesign
In 2nd quarter 2010 an RFP was advertised for an implementation vendor to
assist with the design and development of the new Port of Seattle website.
Unfortunately, there were limited responses and the Central Procurement
Office is in the process of re-advertising the procurement request. This will
delay the estimated completion until June 2011.

24

Construction Contract Growth that Exceeds 10%
No ICT projects exceed 10% in construction change orders






25