PORT OF SEATTLE 
MEMORANDUM 
AUDIT COMMITTEE AGENDA 
Date of Meeting     January 11, 2011 
DATE:      December 22, 2010 
TO:       Tay Yoshitani, Chief Executive Officer 
FROM:     Dan Thomas, Chief Financial & Administrative Officer 
Rudy Caluza, Director, Accounting & Financial Reporting 
Lisa Lam, Senior Manager, Financial Reporting & Controls 
SUBJECT:   External Audit Services for the Financial Statement, Single Audit (federal
grant compliance) and Passenger Facility Charge Auditing Services for the
Port's 2011 Operating Period 
Amount of This Request: Not to exceed $3,000,000 
Source of Funds: AFR operating budget & Portwide non-opearating budget 
Estimated Workers Employed: 10 to 15 
ACTION REQUESTED: 
Request authorization for the Chief Executive Officer to execute a contract for external audit 
professional services. The contract will be up to a value of $3,000,000 for three years with
two one-year options. Service Directives will be issued on an annual basis ordering the
annual external audit. 
SYNOPSIS: 
Annual independent audits are required for the financial statements of the Port's Enterprise
Fund and the Warehousemen's Pension Trust Fund for purposes of obtaining an independent
auditors opinion as to the fairness in presentation of the financial results and position. 
Independent audits are also required for the Port's administration of federal grants and
Passenger Facility Charge (PFC) revenues in accordance with applicable regulations.
These audits have been covered under the existing external audit services contract with Moss
Adams, LLC, which is expiring in 2011 once the 2010 audit services are completed, between
April to June of 2011. 
As it has in the past, the Port intends to competitively select the external auditor. This memo
requests authorization to execute a contract for the Port's annual independent audits for 2011 
through 2015 operation periods. The RFP will incorporate the Port's small business goals to
encourage subcontracting opportunities for small business as part of the audit team.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
January 7, 2011 
Page 2 of 3 
SCOPE OF WORK: 
The annual external audit services will include the following deliverables: 
Independent Audit and Opinion - Financial Statements of the Port's Enterprise Fund 
Independent Audit and Opinion - Financial Statements of the Warehousemen's
Pension Trust Fund 
Independent Audit and Opinion  Net Revenue Available for Revenue Bond Debt
Service 
"Single Audit" and Report of Federal Grants Awarded 
Passenger Facility Charge (PFC) Program Audit and Report 
The Port anticipates advertising the procurement in February 2011 and executing the contract
in August 2011.
For each annual audit the audit service schedule is as follows:
Perform Interim Audit work                         September to November 
Perform Final Audit work                           February to April 
Issuance of Audit Reports                            May to June 

SOURCE OF FUNDS: 
The annual external audit fees are estimated not to exceed $600,000, for a total contract cost,
if both options are exercised, up to $3,000,000.
The fee for the 2011 audit services, which is conducted during latter 2011 and first half of
2012, is included in the Accounting & Financial Reporting (AFR) department's 2011
approved and will be included in the 2012 AFR proposed operating budgets, and in nonoperating
budget as appropriate. The funding sources are approximately 55% and 45%,
respectively. For audit services in 2012  2015, the funds will be in the Port's annual budget. 
STRATEGIC OBJECTIVES: 
Be a high performance organization: Being transparent and accountable of public
funds and timely reporting on Port's financial results and be in full compliance with
federal regulations.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
January 7, 2011 
Page 3 of 3 
TRIPLE BOTTOM LINE: 
The RFP for external audit services will incorporate the Port's "Small Business
Initiative" goals per guidance from the Office of Social Responsibility to allow
subcontracting with small businesses. 
PREVIOUS COMMISSION ACTION: 
None.