Item 6d Memo

PORT OF SEATTLE
MEMORANDUM 

COMMISSION AGENDA            Item No.     6d
Date of Meeting     January 13, 2009
DATE:   December 24, 2008
TO:     Tay Yoshitani, Chief Executive Officer
FROM:   Charlie Sheldon, Managing Director, Seaport
Dakota Chamberlain, Manager, Project Management, Seaport
SUBJECT: East Marginal Way Grade Separation Project Update
BACKGROUND
The East Marginal Way Grade Separation project proposal was initiated by the Port in the mid
1990s as a solution to anticipated delays to general traffic in the vicinity of East Marginal Way
and Duwamish Avenue south of Spokane Street. At this location, rail activities associated with
increases in containerized shipping, due to the Port's Terminal 5 and 18 expansions, are expected
to result in unacceptable delays for general and port truck traffic in the near future. The project
alleviates these delays by constructing a new overpass over the existing BNSF Railroad and
Union Pacific Railroad tracks at Duwamish Avenue. (See attached graphic.)
The project is an integral component of the Freight Action Strategy (FAST) Corridor, a
partnership of public and private organizations, including the Port of Seattle. The FAST
Partnership's mandate is to improve freight mobility and mitigate its impact on local
communities in the Everett to Tacoma corridor.
On April 11, 2006, the Commission provided project-wide authorization for all project-related
activities, and approved a total of $34,500,000 (including grants and contributions from FAST
Partners) in funds for the project. Since then, the project has substantially completed the
following activities: Permitting, right-of-way acquisition, design processes, advance construction
work, including demolition of existing buildings and utility relocations.
Since 2006, the construction world has seen major increases in costs. Rising real estate values
impacted project costs as did delays in utility relocation. Current estimates place the total cost of
the project at $50.7 million, compared to $33.5 million two years ago.
The project is about to meet its next major milestone - advertisement of the major construction
contract(s) related to the bridge structure. This briefing is to inform the Commission of the
current status of the project, to answer questions in preparation for a future request for
authorization to advertise and award major bid contracts, and to increase the amount authorized
for the project by $17.2 million to a total of $50.7 million.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer
January 9, 2009
Page 2 of 3

FUNDING 
Current Seaport thinking is to reallocate some funds from the committed CIP 800259, South T-
25 Container Yard and all funds from the public transportation project C100845, East Marginal /
Spokane Transportation Hub to cover the additional cost of the East Marginal Way Grade
Separation Project. Further, the Port has specifically applied for $16 million in federal stimulus
package dollars, which if received, would be applied directly to this project as funding for the
additional cost.














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