COMMISSION 
AGENDA MEMORANDUM                        Item No.          7c 
BRIEFING ITEM                             Date of Meeting       March 24, 2020 
DATE:     February 27, 2020 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Dave McFadden, Managing Director, Economic Development Division 
Mian Rice, Director Diversity in Contracting 
SUBJECT:  Diversity in Contracting Annual Report 

EXECUTIVE SUMMARY 
The Diversity in Contracting Annual Report to the Commission provides the Port's
division/department 2019 WMBE results, 2020 future department/division WMBE goals, and
affirmative efforts to assure equality of contracting opportunities.
2019 was the first full year of Diversity in Contracting program operations. Port divisions and
departments established 2019 WMBE utilization goals for the first time and implemented a
number of initiatives to increase WMBE utilization.
The Port of Seattle established a 12.4 percent Women/Minority Business Enterprise utilization
goal for 2019.  This goal did not include construction projects where utilization goals are
established on a project by project basis. The Port's 2019 WMBE utilization of 15.29 percent
surpassed the annual goal as a result of strong utilization of WMBEs on construction projects
(16.27%). 
Staff have met the Port's five-year goal of 15 percent in the first year of program implementation.
While it is good news to make substantial progress on WMBE utilization, staff is recommending
maintaining the 15% goal for another year and to focus on eliminating specific disparities in
utilization for certain ethnic groups and women.
BACKGROUND AND GOALS 
On January 9, 2018, Port Commissioners adopted a new Diversity in Contracting policy directive
with a supporting Resolution 3737, that drives equity in Port contracting.  The policy was
developed over the years of 2016/2017, using 2016 as the baseline for what was eventually
passed. 
The purpose of this policy directive is to provide the maximum practicable opportunity for
increased participation by minority and women owned and controlled businesses in Port

Template revised April 12, 2018.

COMMISSION AGENDA  Briefing Item No. 7c                                  Page 2 of 5 
Meeting Date: March 24, 2020 
contracting for public works, consulting services, supplies, material, equipment, and other
services to create the opportunity to leverage Port spend to increase WMBE utilization. 
As part of the Diversity in Contracting policy directive, the Port Commission established utilization
goals for both the amount of contracting dollars paid to WMBE firms as well as the number of
WMBE firms under contract to the Port using 2016 baseline utilization results: 

5 year goals: 
1)  Triple the number of WMBE firms that contract with the Port, and 
2)  Increase to 15% the percentage of dollars spent on WMBE contracts 
This policy also directs the establishment of: 
Executive level accountability that drives performance across the Port
Port-wide goal setting and reporting processes, requiring Divisions/Departments to
establish Annual WMBE Plans that set aspirational goals and performance targets 
Clear lines of responsibility and accountability for implementation with designated WMBE
liaisons for each division 
Enhanced compliance and tracking of key performance objectives and incorporation of
WMBE goals into the Port's Long Range Plan 
Categories of contracts where inclusion plans and other tools will be used 
Implementation and monitoring procedures to ensure prompt payment and change order
processes 
Expanded technical assistance for WMBE firms, coordination with external partners, and
support for internal training to Port staff 
2019 RESULTS 
Since the formal establishment of the Diversity in Contracting (DC) policy directive in 2018, 2019
was the first full operational year  of establishing affirmative efforts in improving WMBE
utilization on port contracts by setting WMBE aspirational goals and the implementation of
inclusion plans. 
Per the DC policy directive, every division/department sets WMBE aspirational goals prior to the
beginning of the year, the 2019 total percent was 12.40%. The table below illustrates by division
the 2019 WMBE results for non-construction procurements which includes P-Card spend. The
final results showed a total WMBE achievement of 12.82%:
2019 Non-Construction Utilization 
Division                                 2019        Total      Port  WMBE        WMBE
Goal %     Spend          Spend        % 
Aviation (AV)                          12%         $109,725,824   $16,254,611  14.81% 

Template revised September 22, 2016.

COMMISSION AGENDA  Briefing Item No. 7c                                  Page 3 of 5 
Meeting Date: March 24, 2020 
Corporate                           12%        $68,771,669    $6,939,519   10.09% 
Economic  Development  Division  12%       $4,760,455     $629,961     13.23% 
(EDD) 
Maritime Division (MD)               20%        $13,203,528    $2,000,530   15.15% 
North West Seaport Alliance (NWSA)   --           $9,393,289     $691,029     7.36% 
P-Card Unclassified                    --           $2,982,650      $250,265     8.39% 
Total                                    12.40%      $208,837,415   $26,765,915  12.82% 
The Port of Seattle's Annual Divisional Goals are established on "Non-Construction" spend in the Outside Service
budgets 

Port DC staff sets WMBE aspirational goals on construction projects. These aspirational goals are
set on a project by project bases. The table below illustrates the WMBE results per division for
2019, with a total utilization rate of 16.27%:
*2019 Construction 
Division                                 2019 Goal  Total      Port  WMBE        WMBE
%          Spend          Spend        % 
Aviation (AV)                               -       $507,412,826   $85,184,435  16.79% 
Corporate                               -       $1,425,810     $191,197     13.41% 
Economic  Development  Division      -      $1,796,244     $294,099     16.37% 
(EDD) 
Maritime Division (MD)                    -       $5,279,170      $544,224     10.31% 
North West Seaport Alliance (NWSA)       -       $26,622,362                  $764,764     2.87% 
P-Card Unclassified 
Total                                                 $542,536,412   $86,978,718  16.27% 
*WMBE Aspirational Goals for Construction are set project-by-project 

The table below shows the final portwide WMBE attainment for 2019 per division/department,
with a combined WMBE total (construction and non-construction) of 15.29%.  The table also
includes the number (297) of WMBE businesses utilized. Both results are compared to the port's
2016 baseline results of 5.3% and 118 WMBE businesses utilized.

2019 Total Port                       2016
(Non-Construction & Construction  Baseline
Combined)                          Results 
Division                                               Total      Port  WMBE Spend   WMBE % 
Spend 
Aviation (AV)                                       $617,138,650   $101,431,466  16.44% 
Corporate                                       $70,197,479    $7,164,365     10.21% 

Template revised September 22, 2016.

COMMISSION AGENDA  Briefing Item No. 7c                                  Page 4 of 5 
Meeting Date: March 24, 2020 
Economic  Development  Division            $6,556,699     $963,058      14.69% 
(EDD) 
Maritime Division (MD)                           $18,482,698    $2,556,859    13.83% 
North West Seaport Alliance (NWSA)              $36,015,651    $1,491,250    4.14% 
P-Card Unclassified                                                     $2,982,650                  $250,265                  8.39% 
Total (Percent)                         5.3%        $751,373,827   $114,857,264  15.29% 
Total  Number  of  WMBE  Firms  118                -                -         297 
Utilized 

2020 DIVISION/DEPARTMENT GOALS 
The table below provides the 2020 WMBE aspirational percent goals per division/department
with a combined total goal of 14.40% utilization for non-construction procurements on outside
services. In comparison, 2019 total goal was 12.40%. The 2020 WMBE aspirational goal is a +2%
increase from 2019.
2020 WMBE Goals by Division  Non-Construction* 
Division                   2019 WMBE Goal   2020     WMBE  2020 WMBE  Total
Goal              Projected     Outside
Spend        Services
Spend 
Aviation Division (AV)     12%                 15%                $8,759,147    $58,394,317 

Corporate               12.1%              13.4%             $4,017,322    $29,994,358 
Economic             12%              13.3%           $531,366     $4,020,603 
Development  Division
(EDD) 
Maritime Division (MD)   20%                15%               $834,647      $5,564,318 

Total                      12.40%              14.40%            $14,157,483   $97,973,596 
The Port of Seattle's Annual Divisional Goals are established on "Non-Construction" spend in the Outside Service
budgets 



Template revised September 22, 2016.

COMMISSION AGENDA  Briefing Item No. 7c                                  Page 5 of 5 
Meeting Date: March 24, 2020 
RECOMMENDATIONS 
Although the Port accomplished its portwide goal of 15% prior to its stated 5-year plan within the
Diversity in Contracting policy directive, staff recommends that we maintain this goal until the
conclusion of the 5-year goal which ends in 2023.
Maintaining this goal for additional time will allow staff to continue to focus on the portwide
overall goal yet become targeted in increasing WMBE participation by ethnicity.

ATTACHMENTS TO THIS BRIEFING 
(1)   Presentation slides 
(2)   2020 Diversity in Contracting Plan 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
March 26, 2019  Diversity in Contracting Annual Report 
June 12, 2018  Commission briefing on Diversity in Contracting program development 
January 8, 2018  Diversity in Contracting 2nd reading policy & passage of resolution 3737 
December 19, 2017  Diversity in Contracting Policy Review 
December 12, 2017 - Women and Minority Business Enterprise Policy Review  Resolution
3737 (first reading) 
December 5, 2017 - Women and Minority Business Enterprise Policy Review 
November 28, 2017 Women and Minority Business Enterprise Policy Review 
October 24, 2017 - Women and Minority Business Enterprise Policy Review 
July 12, 2017  Commission Budget Priorities, Building Economic Opportunity in 
Underserved Communities 
March 28, 2017  Small Business Development Update 
March 22, 2016  Small Business Utilization briefing 
December 14, 2014  Disparity Study briefing 
August 19, 2014  Small Business Utilization briefing 
January 26, 2010  Adoption of Resolution No. 3618 concerning small business utilization 





Template revised September 22, 2016.