COMMISSION 
AGENDA MEMORANDUM                        Item No.          8b 
ACTION ITEM                                 Date of Meeting      March 23, 2021 
DATE:     February 22, 2021 
TO:        Stephen P. Metruck, Executive Director 
FROM:    James Truhan, Sr. Real Estate Manager 
Rod Jackson, Capital Project Manager 
Melinda Miller, Director, Portfolio and Asset Management 
SUBJECT:  Central Waterfront Elevator Modernization Project Construction Additional Funding
Request (CIP # C801016) 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to approve additional funding in
the amount of $1,360,000 for design, permitting, and construction phases of the Central
Waterfront Elevator Modernization project and to direct staff to award the contract to continue
the project. 
Amount of This Request                         $1,360,000 
Previously Authorized                            $1,808,000 
Revised Estimated Project Cost                    $3,168,000 
EXECUTIVE SUMMARY 
The Lenora and Bell Street elevators are critical waterfront infrastructure, providing access for
thousands of visitors and residents annually from the Central Waterfront to the Market and
Seattle's downtown. Both elevators are over 20 years old with critical operating components
now at the end of their programmed service lives.  In addition, the supporting architectural
elements of both elevators, consisting of towers, bridges, walkways and stairways require
refurbishment via selective refinishing, repair and replacement.
This funding request will allow design, permitting and construction phases to begin this Building
Engineered System project. The target date for completion is Q4/2021 with closeout scheduled
for Q2/2022. 
Timely award of this work will allow the completion of the work to align with the City of Seattle
Lenora Street Pedestrian Bridge opening and prevent a second closing of the waterfront access
at Lenora.

Template revised January 10, 2019.

COMMISSION AGENDA  Action Item No. 8b                                  Page 2 of 8 
Meeting Date: March 23, 2021 
Funding Request Detail 
Additional Hard Costs                                $945,000.00 
Additional Taxes                                     $124,000.00 
Additional Contingency                              $166,000.00 
Additional Soft Costs                                  $125,000.00 
Total   $1,360,000.00 
Bid Process Summary 
Only one bid was received, after which two rounds of technical and cost inquiry were conducted,
with the intent of validating bidder assumptions regarding scope, cost, and proposed means and
methods. 
Based on this and the final scoring of the proposal, the evaluation team found the bid to be
responsive and recommends proceeding with award.
A timely award of this work will align with the City of Seattle Lenora Street Pedestrian Bridge
opening and prevent a second closing of the waterfront access at Lenora. 
Port of Seattle           Bidder A
Estimate             Proposal 
Date Prepared        10/27/20            12/8/20 
Estimated Cost       $1,410,000*         $2,271,639* 
* omits contingency and taxes 
Cost Drivers 
1.  Lack of Competition 
Only one bid was received, despite measures to encourage broad participation.
2.  Limited Availability of Specialized Expertise 
Commercial elevator work is a narrowly-populated construction discipline, limited to a
handful of qualified local national vendors with local representation. 
A.  Perceived Schedule Risk 
The Port's requirement to complete the project during the Waterfront Seattle Lenora
closure window compels bidders to account for this in their pricing. 
3.  Bidder Recommended Scope 
The sole bidder recommended additional work ($236K) be performed that was not
included in the Port's estimate. 
4.  Miscalculated project costs 
The project team undervalued the project costs and interpreted anticipated taxes and
soft costs incorrectly. 

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

COMMISSION AGENDA  Action Item No. 8b                                  Page 3 of 8 
Meeting Date: March 23, 2021 
JUSTIFICATION 
This project is driven by the following imperatives: 
A.  Minimize Risk of Failure 
The two existing elevators are at the end of their service lives. Risks of extended service
outages are increasing due to the limited supply of OEM replacement parts. 
B.   Leverage Specialized Expertise 
Elevator upgrade work is a specialty market and local availability of experienced
contractors is limited  especially now. Further, public projects by elevator contractors
are perceived as more labor intensive and therefore less profitable.
C.   Meet Contemporary User Experience Expectations 
The existing cab design, now over 20 years old, is past due to be refreshed to meet
current expectations for look, feel, and function.
D.  Achieve a Lower Cost of Ownership 
Replace existing equipment with non-proprietary components that can be maintained
by any qualified elevator maintenance company. 
E.   Align with Complementary Projects 
With the Lenora elevator off-line through 2022 due to the City of Seattle Waterfront
Construction project, this an opportune time to complete this work. 
Strategic Objectives 
The project supports all four of the following Century Agenda objectives: 
A.  Position the Puget Sound region as a premier international logistics hub. 
B.   Advance this region as a leading tourism destination and business gateway. 
C.   Use the Port's influence as an institution to promote women and minority business
enterprise (WMBE) growth, small business growth, and workforce development. 
D.  Be the greenest, and most energy-efficient port in North America. 
Urgency 
The proposed project is needed now to ensure continued availability, reliability, eliminate
slip/trip hazards, and improve customer experience and will upgrade the elevators' electrical,
structural system, stair treads, HVAC and control systems, including new cabs' interiors at Lenora. 
The work will also coincide with the City of Seattle Waterfront Construction which is currently
underway and is expected to complete in late 2021 or early 2022 with plans to tie into the Lenora
Street pedestrian overpass. 
The City's work includes tying in the Lenora bridge (leading the elevator tower) with nearby
upland walkways. Completing this project during the Waterfront Seattle closure period will avoid
separate elevator closures later. 

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

COMMISSION AGENDA  Action Item No. 8b                                  Page 4 of 8 
Meeting Date: March 23, 2021 
Diversity in Contracting 
Project staff along with the Diversity in Contracting Department have established a Woman and
Minority Business Enterprise (WMBE) aspirational goal of 4% for this project, proposer "A"
committed to a 6% goal for the project. 
DETAILS 
Project Goal 
Ensure the continued availability, safety and appearance of the existing Bell and Lenora Street
elevators. 
Project Objectives 
A.  Protect Existing Assets 
Ensure that the existing elevators, related infrastructure and supporting structure are
maintained. 
B.   Reduce Unplanned Maintenance Costs 
Mitigate costs related to elevator operational breakdowns, repainting, re-glazing, etc. 
C.   Mitigate Impacts to Existing Business Operations 
Coordinate the work with the current Lenora Street bridge closure related to the
ongoing Seattle Waterfront project. 
D.  Employ Sustainable Means and Methods 
Incorporate environmentally sustainable practices during construction, where practical. 
Scope of Work 
The scope of work for this project includes the following key elements: 
1.   Install new cab interiors at the Lenora elevator- the existing cab interior at the Bell Street
elevator will be refinished and deep-cleaned. 
2.   Install new doors, flooring, ceiling, lighting and ventilation components at both elevators.
3.   Install new controls, HVAC, machine room equipment and car operating components. 
4.   Update the cabs at both elevators to support current accessibility standards and to be
vandal resistant. 
5.   Include all new necessary components for Firefighter's operation to comply with life
safety code requirements. 
6.   Comply with current ASME (American Society of Mechanical Engineers) A.17.1, 2010 ADA,
Seattle Building Code, Seattle Energy Code, State of Washington elevator safety code
requirements, as well as Port of Seattle standards. 
7.   Recondition retained equipment to ensure reliable operation. 
8.   Replace the Lenora elevator tower stair treads, tower glazing and lighting which will
include rust removal and painting. 

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

COMMISSION AGENDA  Action Item No. 8b                                  Page 5 of 8 
Meeting Date: March 23, 2021 
Procurement Approach 
The project was procured as a Building Engineered Systems Contract (RCW 39.04.290). 
This allowed the Port to utilize a competitive bidding process where proposers are required to
provide final specifications and a proposal price for the design, fabrication, and installation of
system components. System design and specifications under this approach are reviewed and
approved by the Port. 
This procurement strategy was chosen because proven turn-key solutions are available, and
because elevator equipment represents a large percentage of the project cost. 
Further, this provides opportunities for increased quality, efficiency, and risk reduction for the
Port. 
Schedule 
Previous Commission Design & Construction                               August 11,2020 
authorization 
Previous Advertisement                                     September 2020 thru Q1 2021 
Award                                                             March 23, 2021 
Design start by the awarded team                                                June 2021 
Construction start                                                             September 2021 
In-use date                                                                   Q1 thru Q2 2022 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1  Cancel the project. 
Capital Cost:  None.
Pros:  Defers capital spend at a challenging time for Port budgets. 
Cons: 
1.  Increasing outages of longer duration as equipment fails and parts become harder to source. 
2.  Higher costs for the same scope over time - Repairs and maintenance would still have to be
performed in separate projects at increased cost (due to inefficient approach). 
3.  Forfeits opportunity to coordinate construction down-time with ongoing Waterfront Seattle
work. 
4.  $225,000 in sunk costs will be expensed. 
5.  Century Agenda environmental goals would be not be advanced with this project. 
This is not the recommended alternative. 


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

COMMISSION AGENDA  Action Item No. 8b                                  Page 6 of 8 
Meeting Date: March 23, 2021 
Alternative 2  Cancel, Rescope and Rebid. 
Reconfigure scope to limit capital spend by addressing critical operating components, separate
from architectural scope, which would be completed separately. 
Cost Implications:      (Net additional costs for same scope) 
Pros: 
1.  Reduces near-term capital expenditure at a challenging time for Port budgets. 
2.  Mitigates risk of elevator outages over the mid-/long-term. 
3.  Potential for increased bid competition, if market interest can be generated. 
4.  Advances the Century Agenda environmental goals. 
Cons: 
1.  Delays  award/construction  to  allow  for  rescoping  and  procurement  -  Opportunity  to
coordinate construction down-time with ongoing Waterfront Seattle work would be
forfeited. 
2.  Higher costs for the same scope over time - Repairs and maintenance would still have to be
performed in separate projects at increased cost (due to inefficient approach). 
This is not the recommended alternative. 
Alternative 3  Omit Bidder-Recommended Scope. 
The following scope items were submitted by the bidder as recommended additional work items,
as the result of their due diligence. These were not included in the Port's cost estimate. 
Bell Street Elevator:           New Window Surface Film                         $25,000 
Lenora Street Elevator:       Full replacement of glazing units                $176,000 
Lenora Street Elevator:       Sand Blasting Coating Walkways                  $35,000 
TOTAL          $236,000 
Cost Implications: ($2,932,000) 
Pros: 
1.   Reduces near-term capital expenditure at a challenging time for Port budgets. 
2.   Allows project to proceed as originally scoped. 
Cons: 
Forfeits a more comprehensive renovation of existing glazing and walking surfaces. 
This is not the recommended alternative. 
Alternative 4  Add requested funds of $1,360,000 for the Upgrade both Lenora and Bell Street
elevators, Lenora street stair tower and controls with new technologies including recommended
scope additions as stated in Alternative 3. 

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

COMMISSION AGENDA  Action Item No. 8b                                  Page 7 of 8 
Meeting Date: March 23, 2021 
Cost Implications: $3.168M 
Pros: 
(1)    Advances Century Agenda goals. 
(2)    Building Engineering Systems delivery process allows the Port to combine design and
construction into one contract and the selection of a contractor with the best
combination of qualifications and cost. 
(3)    New asphalt curb removes potential exposure of having hydraulic oil from the elevator
system below the water table. 
(4)    Increased energy efficiency. 
(5)    Modernizing a hydraulic elevator will increase energy efficiency as the new equipment
will use the same power characteristics and horsepower. 
Cons: 
(1)    Construction period is the longest of all alternatives. 
(2)    Longer delivery schedule adjusted to fit in construction window provided by the City
of Seattle. 
(3)    Highest upfront expenditure for constructing both elevators cost going forward. 
This is the recommended alternative. 
Alternative Systems Evaluation
Staff reviewed the replacement of both elevators with an MRL (Machine Room Less) system and
found that such a system could increase energy efficiency, lower horsepower requirements while
using regenerative drives, remove potential exposure of having hydraulic oil from the elevator
system below the water table. However, the cost would be 30% more than the current proposed
project and would exceed the construction time available within the City of Seattle waterfront
schedule. 
FINANCIAL IMPLICATIONS 
Cost Estimate/Authorization Summary 
ESTIMATE HISTORY                Capital        Expense         Total 
Original estimate                  $1,808,000          $0          $1,808,000 
Current request                  $1,360,000          $0          $1,360,000 
Revised estimate                 $3,168,000          $0          $3,168,000 
AUTHORIZATION HISTORY            Capital        Expense         Total 
Previous authorizations              $1,808,000          $0          $1,808,000 
Current request                  $1,360,000          $0          $1,360,000 
Total authorizations                $3,168,000          $0          $3,168,000 
including this request 
Remaining amount to be authorized            $0              $0              $0 

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

COMMISSION AGENDA  Action Item No. 8b                                  Page 8 of 8 
Meeting Date: March 23, 2021 
Annual Budget Status and Source of Funds 
This project has been included in the 2021 Plan of Finance under C801016 Central Waterfront
Elevator Modernizations (Lenora and Bell Street Elevators) at an estimated total project cost of
$1,808,000. The updated current total project estimate is $3,168,000. The additional estimated
cost of $1,360,000 will be funded by C800216 EDD Reserve. 
This project is funded by the General Fund. 
Financial Analysis and Summary 
Project cost for analysis              $3,168,000 
Business Unit (BU)                  Portfolio Management 
Effect on business performance    Depreciation will increase by $105,600 per year, based
(NOI after depreciation)             on an estimated useful life of 30 years. 
IRR/NPV (if relevant)                No incremental revenue. The NPV is the present value of
the project cost. 
CPE Impact                       N/A 
SUSTAINABLE EVALUATION FRAMEWORK 
The Lenora and Bell Street Elevator modernization project is Tier 1 under the Sustainable
Evaluation Framework. Environmental considerations include energy (elevator lighting and
controls), materials, contractor selection, and waste diversion.
An assessment was conducted for the elevators to recommend upgrades. No additional upgrade
projects are being considered within the project vicinity that could be combined with this project.
We will look at equity/public opportunities and integration with the feel of the City project
(interpretive signage, etc.). All new cab fixtures will be ADA-compliant and designed with raised
Braille characters that contain descriptions to help individuals find their desired destinations
more easily. 
ATTACHMENTS TO THIS REQUEST 
(1)   Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
August 11, 2020  The Commission authorized and approved Design and Construction
funding of $1,808,000 for the project. 



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