6a Memo

PORT OF SEATTLE 
MEMORANDUM 

COMMISSION AGENDA                      Item No.         6a 
Date of Meeting      October 12, 2010 
DATE:      September 17, 2010 
TO:         Tay Yoshitani, Chief Executive Officer 
FROM:     Elizabeth Leavitt, Director, Aviation Planning and Environmental Programs 
Paul Agid, Manager, Aviation Environmental Programs 
Susan Ridgley, Port of Seattle Senior Legal Counsel 
SUBJECT: Agreement Regarding Groundwater Monitoring Costs at Seattle-Tacoma
International Airport, a multi-party agreement between the Port of Seattle, Delta Air Lines, Inc.,
and (collectively) the Rent-A-Car companies 
AMOUNT OF THIS REQUEST: $33,864, previously authorized on November 30, 2009 
SOURCE OF FUNDS: Airport Development Fund 

ACTION REQUESTED: 
(1) Commission determination that a competitive solicitation process is not appropriate or cost
effective for the contract with SLR International Corporation for environmental consulting
associated with the Agreement Regarding Groundwater Monitoring Costs at Seattle-Tacoma
International Airport (Agreement), a multi-party agreement between the Port of Seattle, Delta
Air Lines, Inc., and, collectively, the Rent-A-Car companies, and is therefore exempt from the
competitive requirements of RCW 53.19.020(5); and (2) authorization for the Chief Executive
Officer to execute (a) the Agreement between the Port of Seattle; Delta Air Lines, Inc.
(successor by merger to Northwest Airlines Inc., hereafter "Delta"); and Avis Budget Car Rental
LLC ("Avis"), Hertz Corporation ("Hertz") and Vanguard Car Rental USA LLC ("Vanguard"),
collectively known as the Rent-A-Car companies ("RACs"), for performance of groundwater
monitoring associated with past operations of the parties at Seattle-Tacoma International Airport 
("Airport"), consistent with the Model Toxics Control Act Agreed Order Groundwater Study for
the Airport (Agreed Order Groundwater Study) and (b) a contract with SLR International
Corporation, as one of five parties, for environmental consulting services for groundwater
monitoring consistent with the Agreement, for an estimated cost of $132,800 (of which the Port's
allocated share is $33,864, or 25.5%).

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 2 of 7 
SYNOPSIS: 
In 2008 the Airport completed a groundwater contamination study under a Model Toxics Control
Act Agreed Order. The purpose of the study was to determine by computer modeling the
potential environmental impact beyond the Airport property of groundwater contamination
caused by historical Airport and Airport tenant operations. The study results concluded that
contaminated groundwater was not likely to migrate beyond the Airport property, and that no
significant impacts were likely. 
At the completion of the modeling study, the Port agreed to perform groundwater monitoring to
confirm the model predictions, in particular, with respect to specified locations of known or
potential historical contaminant releases. The parties responsible for the specified releases are
Delta, Avis, Hertz, Vanguard, and the Port (as a property owner/operator, and as successor to a
bankrupt former tenant). 
Port staff negotiated a cost-sharing agreement with Delta and the RACs to perform the requisite
environmental monitoring. The parties agreed to allocate costs to Delta (37.6%), the RACs
(36.9%), and the Port (25.5%). The total cost of the project as currently scoped is estimated to
be $132,800. The Port's allocated share is $33,864. 
Under the Agreement, the parties would, as a group, contract with a consultant to perform the
monitoring. The Agreement incorporates the work plan and estimate prepared by SLR
International Corp. Delta, responsible for the largest share of project costs, identified SLR
International Corp. as the consultant best able to complete required monitoring at the most
reasonable cost. Delta's selection was based on the airline's past experience with the
consultant's work and cost effectiveness, and has been approved by the RAC participants. Port
procurement procedures were not followed. 
Commission approval of SLR International Corp is part of our request today. As Port
procurement procedures were not followed, staff at the same time requests that Commission
make a determination that a competitive solicitation process is not appropriate or cost effective in
accordance with RCW 53.19.020 (5). The Port Commission has authority to exempt certain
contracts from competitive procurement processes and has done so when circumstances justify.
The multi-party arrangement for this clean-up, the low participation percentage of the Port's
share, and Delta's acceptance of the responsibility for, and additional costs of, project
management and contract administration are reasons for the Commission to favorably consider
this request and determine that an exemption is appropriate or cost effective. 
The requested Commission action would (1) exempt from competition the consultant selection
process incorporated in the Agreement, consistent with RCW 53.19.020(5), and (2) authorize the
Chief Executive Officer to execute (a) the Agreement and (b) the consulting contract, as one of
five parties to the Agreement.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 3 of 7 
The Port's 25.5% allocated share of the total value of the contract is $33,864. Expenditure of
this amount was previously approved by the Commission in its 2010 Port Environmental
Reserve spending authorization on November 30, 2009. 
BACKGROUND: 
Agreed Order Groundwater Study: 
In May 1999, the Port and the Washington Department of Ecology (DOE) executed a Model
Toxics Control Act Agreed Order that required the Port to conduct a study of groundwater 
conditions in the uppermost regional aquifer in the vicinity of the Airport. In several locations
below the Airport, groundwater in the uppermost regional aquifer had become contaminated as a
result of historical Airport operations. The purpose of the Agreed Order Groundwater Study was
to determine if groundwater impacted by known Airport sources of contamination, or
undiscovered Airport sources of contamination, could move outside the Airport's boundaries and
impact surface water bodies, wetlands, or drinking water supply wells in the nearby
communities. All known and suspected Airport contaminated sites (27) were evaluated for their
potential to impact groundwater in the uppermost regional aquifer. Ten known and potential
contaminated sites identified as sources that had impacted, or could impact, that aquifer were
used in the groundwater flow and contaminant migration modeling analyses. The analyses
assumed worst-case contamination concentrations for each site. 
The study has been completed. The results of the study indicate that, over a simulated 30-year
period, contamination in the aquifer generated from Airport sites will not migrate beyond the
Airport boundary, and will not impact local drinking water resources, creeks, wetlands or other
potential receptors. DOE accepted the study findings and designated the Port's obligations under
the Agreed Order complete. DOE requested that the Port, outside the requirements of the
Agreed Order, conduct long term groundwater monitoring to confirm the results of the models
used in the study. The Port agreed to implement the monitoring plan on a voluntary basis. 
Cost-Sharing Agreement: 
The Agreement is a cost-sharing contract between the Port and Airport tenants, Delta and the
RACs, drawn to assure payment for the post-Agreed Order Groundwater Study monitoring
program by the parties responsible for the contamination conditions being monitored. The
Agreement incorporates a consultant proposal for conducting the monitoring program, with an
estimated cost of $132,800. By executing the Agreement, the Port accepts an allocated cost share
of 25.5%, representing its dual position as property owner/operator and successor for a bankrupt
former tenant, Pan American Airlines. The remaining allocations are to Delta (37.6%); Avis
(18.4%); Hertz (9.2%); and Vanguard (9.2%). The total cost of the project as currently scoped is
estimated to be $132,800. The Port's allocated share is $33,864. If the actual costs exceed this
estimate, the parties would have to amend the Agreement and agree in writing to any contribution
increase. Staff recommends Port execution of the Agreement.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 4 of 7 

Consultant Selection: 
SLR International Corp was selected by Delta to perform the required groundwater monitoring
based on Delta's past experience with the consultant's performance of environmental
management activities at airports in the Pacific Northwest, including Seattle-Tacoma
International Airport. The selection was deemed acceptable by the RACs and Port staff based on
a review of the consultant's proposal and cost estimate, which have been incorporated into the
cost-sharing Agreement. The selection was approved by the RAC participants, and Port approval
of SLR International Corp is part of our request today. 
The proposed contract is subject to Chapter 53.19 RCW, which requires "open competition for
all personal service contracts entered into by port districts unless specifically exempted under
this Chapter [53.19]." Port Legal and Central Procurement Office have determined that state law
requires the Port to competitively procure these services in accordance with RCW 53.19.020
because the Port will fund a portion of the contract. Based on our review of statutory
obligations, open competition means allowing any interested firm an opportunity to compete for
the work by issuing a solicitation and including an advertisement and/or posting the opportunity
on the internet if the value of the contract is over $200,000. These requirements are incorporated
in Port of Seattle CPO-1, Procedures for Personal and Professional Services. The Agreement 
consultant selection process did not conform to these requirements. 
RCW 53.19.020 lists five exemptions from competitive solicitation. The fifth exemption is for
"[o]ther contracts or classes or groups of contracts exempted from the competitive solicitation
process by the commission when it has been determined that a competitive solicitation process is
not appropriate or cost-effective." RCW 53.19.020(5). For the following reasons, cancelling the
current selection by Delta and mandating a new process is not appropriate or cost effective: 
1. The subject consulting contract would be executed by the five parties to the Agreement 
(the Port and four private entities). Delta is responsible for 37.6% of the project costs, while the
POS contributes 25.5%, Avis contributes 18.4%, and each of the remaining participants
contributes less than 10% of the costs. Delta has also accepted the responsibility for project
management and contract administration. Under t he Agreement, therefore, Delta takes on the
major share of financial responsibility, while the Port and other participants are minor
contributors, with limited exposure. In that role, Delta's consultant selection was based on the
airline's past experience with the consultant's successful performance and cost effectiveness. 
2. All parties have reviewed the technical proposal and estimated costs; the proposal was
found to be fully responsive to project requirements, and the cost estimate was found to be fair
and reasonable. 
3. A new procurement managed by POS would add significant delay to proceeding with
the work.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 5 of 7 
4. The non-Port parties to the Agreement may not agree to undergo additional
procurement process, and could refuse participation in the monitoring program. Were that to
occur, it is probable that the Port would have to outlay 100% of the monitoring costs and then
determine whether to pursue the other parties in litigation for cost recovery. This course of
action would not only delay the monitoring program, but would also impose increased financial
burdens and risks on the Port.
FINANCIAL IMPLICATIONS: 
Cost Estimate 
The estimated total project expenditure is $132,800. The Port's allocated share of the project
cost is $33,864, which will be paid to Delta according to the terms of the Agreement. 
Source of Funds
A liability for the expenditures required under this Agreement was previously accrued as
Environmental Reserves and charged to expense in prior years. The Agreed Order Groundwater
Study monitoring program was included within the Commission's 2010 Environmental Reserve
spending authorization, approved on November 30, 2009. The source of the funds is the Airport
Development Fund. 
COMMUNITY / CUSTOMER / ORGANIZATION IMPACTS: 
Assessment of environmental contamination conditions, elimination of unacceptable levels of
environmental risk caused by the presence of contaminants in soil and groundwater, and
communication with the Public about such risks, are not only required by state and federal law,
they are the hallmarks of responsible environmental stewardship. 
Completion of the Agreed Order Groundwater Study post-modeling monitoring will complete
the Port's assessment of the potential that groundwater contamination conditions at the Airport
could impact the community that surrounds the Airport, satisfying the Port's commitment to the
surrounding residential and business communities and the customers we serve.
BUSINESS PLAN OBJECTIVES: 
Performance of groundwater monitoring will complete an agreement between the Port and DOE.
The data generated will confirm the results of the Agreed Order Groundwater Study,
demonstrating that groundwater contamination will not migrate beyond the airport boundary, and
will not impact local drinking water resources, creeks, wetlands or other potential water bodies. 
The product of these efforts, as well as the attendant compliance with regulatory mandates,
management of Port liabilities, and resulting support of the local community, aligns with the
goals and objectives of the Aviation Division Business Plan.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 6 of 7 

SCOPE OF WORK: 
The scope of work to be performed under the Agreement includes well installation, well
rehabilitation, and annual sample collection, laboratory analysis, and data evaluation for a period
of five years. Should monitoring results fail to meet criteria established for the program,
additional monitoring is required. The Agreement acknowledges the potential that additional
monitoring could be necessary, but does not extend beyond the five year scope. 
PROJECT SCHEDULE: 
The monitoring program will commence on execution of the Agreement, and continue for five
years. We anticipate that the fifth monitoring event and final program report will be completed
in 2015. 
ALTERNATIVES CONSIDERED / RECOMMENDED ACTION: 
The following alternatives were considered for accomplishing the work described in the Scope of
Work: 
Alternative 1 
Do not execute the Agreement. If the Port chooses to not execute the Agreement, the primary
responsible parties would be unlikely to participate in the monitoring program. In that event, the
Port would become the sole payer of monitoring costs, and might become involved in future
legal action to recover costs from others, and the associated litigation costs and risks.
Alternative 2 
Execute the Agreement, but require a substitute consultant selection process. If the Port chooses
to amend the Agreement to require a substitute consultant selection process, it is possible that the
parties would refuse to participate, due to added process and delay costs, as well as added
commitment uncertainty. In that event the Port would, again, become the sole payer of
monitoring costs, and might become involved in future legal action to recover costs from others,
and the associated litigation costs and risks.
Alternative 3 
Execute the Agreement as currently negotiated and written. This alternative will result in
completion of the Port's monitoring obligation as agreed with the DOE, for an expenditure of
about one quarter of the total program cost. This is the recommended alternative.
PREVIOUS COMMISSION ACTION: 
The Agreed Order Groundwater Study has been included within the overall Port Environmental
Reserve program authorization since 1997, as follows:

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 17, 2010 
Page 7 of 7 
On February 25, 1997, the Commission authorized execution of a Model Toxics Control Act
Agreed Order to perform the STIA Groundwater Study; execution of a professional services
agreement to perform the Agreed Order Groundwater Study; and the expenditure of $1,100,000
for to implement the work. 
On July 10, 2001, the Commission approved the expenditure of $5,100,000 for nine Aviation
projects and six Seaport projects during 2001. 
On March 11, 2003, the Commission approved the project-wide authorization expenditure of
$4,999,000 for environmental cleanup action on Port properties and for potential environmental
liabilities during 2003. 
On March 23, 2004, the Commission approved the project-wide authorization expenditure of
$8,081,000, for environmental cleanup action on Port properties during 2004. 
On March 23, 2005, the Commission approved the project-wide authorization expenditure of
$8,102,222, for environmental cleanup action on Port properties during 2005. 
On December 13, 2005, the Commission approved the project-wide authorization expenditure of
$8,705,760 for environmental cleanup action on Port properties during 2006. 
On June 27, 2006, the Commission approved an increase in the 2006 project-wide authorization
for environmental cleanup action on Port properties, to $14,705,760. 
On December 12, 2006 the Commission approved the project-wide authorization expenditure of
$7,756,549 for environmental cleanup action on Port properties during 2007. 
On December 1, 2007 the Commission approved the project-wide authorization expenditure of
$11,833,000 for environmental cleanup action on Port properties during 2008.
On December 15, 2008 the Commission approved the authorization expenditure of $10,396,000
for environmental cleanup action on Port properties during 2009.
On November 30, 2009, the Commission approved the authorization expenditure of $13,141,000
for environmental cleanup action on Port properties during 2010.

Limitations of Translatable Documents

PDF files are created with text and images are placed at an exact position on a page of a fixed size.
Web pages are fluid in nature, and the exact positioning of PDF text creates presentation problems.
PDFs that are full page graphics, or scanned pages are generally unable to be made accessible, In these cases, viewing whatever plain text could be extracted is the only alternative.