COMMISSION 
AGENDA MEMORANDUM                        Item No.          8b 
ACTION ITEM                            Date of Meeting      January 7, 2020 
DATE:     December 2, 2019 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Kenneth R. Lyles, Director, Maritime Operations and Security 
Mark Longridge, Capital Project Manager, Seaport Project Management 
SUBJECT:  Authorization for design and permitting of the redevelopment of Terminal 91
Berths 6 & 8 (CIP #C102475) 
Amount of this request:                      $4,000,000 
Total estimated project cost:      $35 million-$40 million 
ACTION REQUESTED 
Request commission authorization for the Executive Director to complete design and permitting
of approximately 830 linear feet of concrete pier apron structure at Terminal 91 including
(1) execute a consultant contract to prepare design and construction bid documents and (2) use
port staff for project management, design support, permitting, and enabling construction
activities, all of which in an amount not to exceed $4,000,000 of a total preliminary estimated
project cost between $35 million and $40 million. 
EXECUTIVE SUMMARY 
This project will redevelop the vessel berths and adjoining apron areas of Berths 6 and 8 along
the northeast side of Pier 90 at Terminal 91 to help ensure the long-term viability of the port as
the home to the North Pacific fishing fleet.
Planned redevelopment would include demolition of approximately 62,250 square feet of
condemned existing timber apron and 830 linear feet of seawall (northerly portion of Berth 6 and
entire Berth 8), removal and relocation of existing gangway, floats and boathouses, removal or
relocation of small office structures, and reconstruction of a concrete apron structure at 600
pounds per square foot along the current alignment.  The project assumes no increase in
overwater coverage nor will berth dredging be required to accommodate existing vessel classes.
JUSTIFICATION 
The redevelopment of Berths 6 and 8 supports the following Maritime Division goals toward
achieving Century Agenda objectives: 


Template revised January 10, 2019.

COMMISSION AGENDA  Action Item No. 8b                                  Page 2 of 6 
Meeting Date: January 7, 2020 
1.       Continue to grow the economic value of the fishing and maritime cluster including the
number of local jobs and business revenue. 
2.       Prioritize uses that support the commercial fishing industry, with a focus on anchoring the
North Pacific fishing fleet in Seattle. 
3.       Supports the Port's strategy to "be the greenest and most energy-efficient port in North
America" by replacing existing creosote piling with cement and recycled steel materials. 
4.       Supports anticipated growth in cruise ship operations. 
DETAILS 
Berths 6 and 8 are the last remaining original timber pier at Terminal 91 and are at the end of
their service life. Approximately 30% of the apron is condemned, and the remaining sections are 
posted with severe load limits. Originally built in the 1910s, this section of Pier 90 was most
recently  rehabilitated  in  1985,  and  little  has  been  done  to  the  structure  since  then.
Redevelopment of Berths 6 and 8 is critical to ensuring the long-term viability of the port as the
home to the North Pacific fishing fleet.
The fleet has been modernizing and will continue to do so. New builds are larger than the vessels
they are replacing.  This means vessels that may have previously been able to moor at
Fishermen's Terminal are now too long or draw too much water toremain and are looking to
moor at Terminal 91. Fishing companies are also growing. As an example, both the Ocean Peace
and O'Hara companies have each added additional vessels to their fleets in the past three years. 
Critical to the fleet's success while in port is access to laydown areas, heavy lift capability pier
side, and ample apron space to perform offloads, backloads, and repair work. This project will
replace approximately 62,250 square feet of condemned existing timber pier structure and 830
linear feet of seawall, providing pier apron capable of supporting the fleet's activities and needs. 
Several times during the shoulder seasons the space at Terminal 91 proves inadequate to
accommodate the needs of the North Pacific fleet. Cruise activity at T-91 is also growing in both
number and size of vessels, further increasing the demand on Terminal 91 berth space.  This
project will alleviate some of the shoulder season pressure by providing space for three 250-footplus
catcher processors. 
As noted in the 2017 Fishing Vessel Moorage Analysis for the Port by S2 Strategy, "fishing and
seafood processing sector of the maritime industry as a whole has by far the largest revenue
impact to the state of any maritime sector. And is at least equal in job production to the other
sectors." Recommendations included providing an additional three to four 200-400 foot berths
by 2020 and to plan for berths to accommodate another ten to twelve boats 175-400 feet over
the next decade. 
Scope of Work 
The current authorization is for port staff time and consultant contract work to complete the
design, permitting, and project management up to the advertisement of the construction work.

Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. 8b                                  Page 3 of 6 
Meeting Date: January 7, 2020 
The work to be designed includes the demolition of the existing pier structure, access bridge, and
fencing; the relocation of the current port police, construction, and operations office structures
and boat house and floats during construction; demolition of the existing A-310 building; and
construction of a pier structure, fender system, and associated utilities to service fishing vessels
and other customers. 
Dredging is not expected to be required to accommodate the current vessel demand; however, 
future dredging could be achieved if necessary or desired under a separate project, covered by
C800431 -- Dredge P90 East. 
Diversity in Contracting 
The project team will coordinate with the Diversity in Contracting Department to determine
appropriate WMBE aspirational goals for this project.
Sustainability/Community Outreach 
This project will replace the existing creosote timber pier with a more environmentally
responsible concrete apron.  It is expected that most of the existing creosote timber will be
removed, and port staff will look for all opportunities to include recycled and environmentally
responsible materials in the design.
Port staff will also work with terminal users and community groups during the design to mitigate
operational and neighborhood impacts of the construction and keep them apprised of the project
plans. The first briefing to the Neighbors Advisory Committee (NAC) is planned for Q1 2020. 
Schedule 
Schedule assumptions below reflect current expected durations for design and permitting;
however, many of these durations are highly variable and controlled by local, state, and federal
agencies, which adds schedule risk to the project. The assumptions below are conservative but
reasonable. All  in-water work associated with the work must be completed within the fish
window from August 1 to February 15 of each construction season. This presents another
constraint to the project that will need to be closely monitored.
The current schedule milestones are as follows: 
Activity 
Commission design authorization               2020 Quarter 1 
Design start                                       2020 Quarter 3 
Commission construction authorization          2022 Quarter 2 
Construction start                                2022 Quarter 3 
In-use date                                       2023 Quarter 3 

Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. 8b                                  Page 4 of 6 
Meeting Date: January 7, 2020 
Current cost estimate reflects assumptions that the pier will be constructed in a conventional
manner similar to past facilities and has used typical sections from these past designs to inform
the estimate.
One significant unknown in this work is the potential impact of updated building codes being
implemented by the Seattle Department of Construction and Inspections (SDCI) planned for June 
2020. The change to the 2018 International Building Code will add structural requirements for
sites susceptible to liquefaction (most of our waterfront sites), along with new criteria for
tsunami-resistant design. These new criteria include increased complexity of geotechnical
seismic analysis and additional design criteria for foundations, which may increase the size or
amount of foundation structure as well as associated costs. 
These requirements are new for both the Port and SDCI, which means there will be uncertainty
in how they will be implemented and permitted. Design development allowance has been added
to the current planning level estimate; however, the actual impact of these changes will not be
known until further in design. 
Cost Breakdown                                     This Request           Total Project 
Design, Permitting, Project & Construction                $4,000,000             $5,000,000 
Management 
Construction (Direct Costs, Including WSST)                        $0            $35,000,000 
Total                                                         $4,000,000             $40,000,000 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1  Maintain the status quo. Continue to enable limited operations of the berths for
workboat moorage and keep the load restrictions and condemnation of dock sections in place. 
Cost Implications: This alternative carries significant uncertainty and risk and accordingly much
variability in cost potential.  Maintenance costs for the berth are not currently high but would
expand greatly if a deck failure occurred, for example. 
Pros: 
(1) Lower initial capital cost. 
Cons: 
(1) Significant risk to the structure if kept in use. Deterioration will continue. 
(2) Current berth space demand from the Pacific fishing fleet not met. 
(3) Revenue for these berths would remain minimal. 
This is not the recommended alternative. 



Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. 8b                                  Page 5 of 6 
Meeting Date: January 7, 2020 
Alternative 2  Replace the current berth with an alternative type structure (floating dock, offset
dolphins for example), providing linear moorage without direct apron access by trucks, forklifts, 
or other heavy equipment. 
Cost Implications: This alternative would cost less than full redevelopment but has many
potential options. A reasonable assumption for the floating dock option might be $15 million-
$20 million or approximately half the cost of the full pier reconstruction, depending on the
amenities provided and capacity of the dock. 
Pros: 
(1)   Lower capital cost. 
(2)   Returns the berth to service with equivalent linear berth space. 
Cons: 
(1)   Would not provide direct apron access or laydown space to fishing and industrial
customers, both key requirement for their operations. 
This is not the recommended alternative. 
Alternative 3  Replace the deteriorated timber apron with a concrete apron structure. 
Cost Implications: Total project cost $35 million-$40 million (initial planning level estimate) 
Pros: 
(1)    Brings the berth back to full operation, replacing the deteriorated creosote pilings
and apron. 
(2)    Provides much needed berth and staging space for the North Pacific fishing fleet. 
Cons: 
(1)    Higher initial capital cost. 
This is the recommended alternative. 
FINANCIAL IMPLICATIONS 
Cost Estimate/Authorization Summary               Capital        Expense           Total 
COST ESTIMATE 
Original estimate                                $35,000,000               $0     $35,000,000 
Previous changes  net                                   $0               $0               $0 
Current change                                 $5,000,000              $0      $5,000,000 
Revised estimate                               $40,000,000              $0     $40,000,000 
AUTHORIZATION 
Previous authorizations                             $75,000               $0         $75,000 
Current request for authorization                $4,000,000               $0      $4,000,000 
Total authorizations, including this request       $4,075,000               $0      $4,075,000 
Remaining amount to be authorized           $35,925,000             $0    $35,925,000 

Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. 8b                                  Page 6 of 6 
Meeting Date: January 7, 2020 
Annual Budget Status and Source of Funds 
This project is part of the 2020 to 2024 CIP under C102475 Terminal 91 Berth 6 & 8
Redevelopment with a total project cost of $35,100,000. 
Funding for this project will provided by the tax levy. 
Financial Analysis and Summary 
Project cost for analysis              $40,000,000 
The current estimate range for the work at the beginning
of design is $35-40M. For financial analysis purposes the
higher figure has been assumed to be conservative. 
Business Unit (BU)                  Elliot Bay Fishing and Commercial Operations 
Effect on business performance     The redevelopment of berths 6 & 8 is expected to
(NOI after depreciation)             increase moorage revenue by 5% annually, at the facility, 
over the next 30 years. Annual revenues are expected to
increase $600,000 in the first full year of operations in
2023. 
Annual depreciation expense is estimated to increase by
approximately $1.3 million based on an expected useful
life of 30 years. 
IRR/NPV (if relevant)                NPV is ($16,500,000) using a discount rate of 7.1%; 
MIRR is 3.99%; 
Payback in 22 years. 
CPE Impact                       N/A 

ATTACHMENTS TO THIS REQUEST 
(1)   Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None 





Template revised June 27, 2019 (Diversity in Contracting).