The Special meeting scheduled for 2021-08-10 at Remote

Transcript

The Special meeting scheduled for 2021-08-10 at Remote

GOOD MORNING
THIS IS COMMISSION PRESIDENT FRED FELLEMAN
CONVENING THE SPECIAL REMOTE MEETING TODAY VIA TEAMS TO COMPLY WITH SENATE CONCURRENT RESOLUTION 8402 AND IN ACCORDANCE WITH GOVERNOR INSLEE'S PROCLAMATION RESOLUTION
I'M SORRY
PROCLAMATION 2028 PRESENT WITH ME TODAY OUR COMMISSIONERS BOWMAN, CALKINS, CHO AND STEINBRUECK, WHO ARE CURRENTLY GATHERED AT THE EXECUTIVE SESSION LINE AWAITING THE OPENING OF THE MEETING
THAT'S THE PUBLIC MEETING
WE'LL IMMEDIATELY RECESS INTO EXECUTIVE SESSION TO DISCUSS TWO ITEMS REGARDING LITIGATION OR POTENTIAL LITIGATION OR LEGAL RISK PER RCW 30.110.1 (i) AND ONE ITEM FOR THE PERFORMANCE OF A PUBLIC EMPLOYEE PER RCW 42.30,110.1 (g) APPROXIMATELY 90 MINUTES AND WE'LL RECONVENE INTO A PUBLIC SESSION AT NOON
WE'LL NOW GO OVER TO EXECUTIVE SESSION
THANK YOU
COMMISSION PRESIDENT
I JUST WANT TO NOTE FOR THE RECORD THAT WE DO HAVE A QUORUM OVER ON THE EXECUTIVE SESSION LINE WITH COMMISSIONERS BOWMAN, CALKINS, CHOW AND STEINBRUECK AND ATTENDANCE AND THAT THIS IS THE MEETING FOR AUGUST 10 TH 2021
AND WE WILL SEE YOU OVER ON THE EXECUTIVE SESSION LINE
THANK YOU VERY MUCH
GOOD AFTERNOON
THIS IS COMMISSION PRESIDENT FRED FELLEMAN
RECONVENING THE SPECIAL MEETING OF AUGUST 10 TH 2021
THE TIME NOW IS 12:02
WE'RE MEETING REMOTELY TODAY VIA TEAMS TO COMPLY WITH SENATE CONCURRENT RESOLUTION 8402 AND THEN ACCORDANCE WITH GOVERNOR INSLEE'S PROCLAMATION 2028 PRESENT WITH ME TODAY OUR COMMISSIONERS CALKINS, CHO AND STEINBRUECK
COMMISSIONER BOWMAN WILL BE JOINING US SHORTLY
I'LL ASK THE CLERK TO DO ROLL CALL OF ALL COMMISSIONERS TO ENSURE EVERYONE IS ONLINE
CLERK HART, PLEASE
THANK YOU
WELL, WE USUALLY START WITH COMMISSIONER BOWMAN
WE'LL COME BACK AND WE'LL CATCH HER ANOTHER TIME WHEN SHE JOINS THE CALL
SO, COMMISSIONER CALKINS, COMMISSIONER CALKINS FOR THE ROLL IT STAR SIX TO UNMUTE
IF YOU'RE ON THE TELEPHONE
I'M HERE CLERK HART
THANK YOU, COMMISSIONER CHO PRESIDENT
THANK YOU
COMMISSIONERS STEINBRUECK, YOU'RE MUTED, SIR
I THINK YOU MUTED ME
IT'S ENTIRELY POSSIBLE, BUT I CAN'T UNMUTE YOU
THANK YOU
AND COMMISSIONER FELLEMANT
PRESENT
THANK YOU
WE DO HAVE A QUORUM
VERY GOOD
TODAY'S MEETING IS STRUCTURED FOR OUR VIRTUAL FORMAT
WE'VE MADE SPECIAL ARRANGEMENTS TO PROVIDE FOR REMOTE PARTICIPATION FOR ALL OF OUR STAFF AND COMMISSIONERS
LATER, WE'LL TAKE PUBLIC COMMENT FROM PEOPLE WHO ARE PARTICIPATING BY TEAMS AND WHO HAVE SIGNED UP TO SPEAK
ALL VOTES TODAY WILL BE TAKEN BY A ROLL CALL METHOD
SINCE ALL COMMISSIONERS ARE PARTICIPATING REMOTELY, THAT MEANS FOR EACH VOTE, CLERK WILL CALL EACH COMMISSIONERS, NAME COMMISSIONERS ALONG THE TEAM'S CALL
WE'LL MAKE SURE THEY'RE UNMUTED AND ANSWER YAY OR NAY TO BE EQUITABLE WILL ASK ALL COMMISSIONERS TO SPEAK IN TURN AND WAIT TO BE RECOGNIZED BEFORE SPEAKING AS MUCH AS POSSIBLE
WE'RE MEETING ON THE ANCESTRAL LANDS AND WATERS OF THE C0-SALISH PEOPLE WITH WHOM WE SHARE A COMMITMENT TO STEWARD THESE NATURAL RESOURCES FOR FUTURE GENERATIONS
THIS MEETING IS BEING DIGITALLY RECORDED, MAY BE VIEWED OR HEARD AT ANY TIME ON THE PORT WEBSITE, AND MAY BE REBROADCAST BY KING COUNTY TELEVISION
PLEASE STAND OR JOIN ME FOR THE PLEDGE OF THE ALLEGIANCE
NO, JUST A SECOND FOR ME
THE FLAG SLIDE IS NOT WANTING TO COME UP VERY READILY
GIVE ME JUST A MOMENT
I WILL LET YOU KNOW WHEN I HAVE THAT DISPLAYED
OKAY, THAT'S A PROBLEM
HANG ON A SECOND FOR ME
THAT'S NOT COMING UP
WE CAN DO IT WITHOUT THE FLAG
I THINK WE MIGHT HAVE TO TODAY
ALL RIGHT
I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS
ONE NATION UNDER GOD INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL
THE FIRST ITEM ON BUSINESS AGENDA TODAY IS THE APPROVAL OF THE AGENDA
COMMISSIONERS, PLEASE UNMUTE YOURSELVES
I'M GOING TO ASK EACH COMMISSIONER IF YOU HAVE ANY MOTIONS TO REARRANGE THE ORDERS OF THE DAY
AND IF YOU DO, I'LL ASK FOR A SECOND
PLEASE RESPOND WHEN THE CLERK CALLS YOUR NAME
IF YOU HAVE NO CHANGES, JUST SAY NONE
CLERK HART, PLEASE CALL THE ROLL FOR ANY CHANGES TO THE AGENDA
THANK YOU
BEGINNING WITH COMMISSIONER CALKINS
NO CHANGES FOR ME
THANK YOU, COMMISSIONER CHO
NONE
THANK YOU, COMMISSIONER STEINBRUECK
NO CHANGES
THANK YOU, COMMISSIONER FELLEMAN
YEAH
I'D LIKE TO MAKE A MOTION TO REORDER THE AGENDA, TO TAKE PRESENTATIONS AND STAFF REPORTS SECTION OF THE AGENDA PRIOR TO THE NEW BUSINESS ITEMS THE REASON FOR THIS IS THAT WE HAVE A SIGNIFICANT BUDGET BRIEF DISCUSSION, AND IT'S LEFT TO THE END OF THE AGENDA CURRENTLY
AND GIVEN THE IMPORTANCE OF THAT DISCUSSION AND IT'S A LONG MEETING, I WAS HOPING THAT WE CAN HAVE THAT FIRST AND THEN END ON A GOOD NOTE WITH IN REGARDS TO THE SOUND INSULATION PROGRAM, RATHER THAN BEING TIRED AT THE END OF THE DAY
SO DO I HAVE A SECOND? SECOND
VERY GOOD, THEN
SO IF THERE'S NO FURTHER DISCUSSION ON THE MOTION TO REORDER THE AGENDA CLERK HART, PLEASE CALL THE ROLL FOR THE VOTE ON THE MOTION
THANK YOU
BEGINNING WITH COMMISSIONER CALKINS
AYE
THANK YOU, COMMISSIONER CHO
AYE THANK YOU, COMMISSIONER STEINBRUECK
YES
THANK YOU, COMMISSIONER FELLEMAN
YES, THANK YOU
YOU HAVE FOUR YESSES AND ZERO NOS FOR THIS ITEM, AND THEN THE MOTION PASSES
COMMISSIONERS, NOW, THE QUESTION IS ON AN APPROVAL OF THE AGENDA AS AMENDED, PLEASE SAY YES OR NO WHEN YOUR NAME IS COLD
CLERK HART, ONCE AGAIN, THANK YOU
BEGINNING WITH COMMISSIONER CALKINS, CAN YOU SAY AGAIN? YES
THIS IS FOR APPROVAL OF THE AGENDA AS AMENDED
RIGHT
THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, COMMISSIONERS STEINBRUECK
YES
THANK YOU, COMMISSIONER
ELEMENT, YES
THANK YOU
I HAVE FOUR YESSES AND ZERO NOS FOR THIS ITEM
VERY GOOD
SO THE NEXT ITEM ON THE AGENDA IS THE EXECUTIVE REPORT
AND AS ALWAYS, I HAVE A FEW THINGS I'D LIKE TO SAY PRIOR TO THAT
MR COMMISSION PRESIDENT, BEFORE YOU GET INTO THAT, LET ME JUST NOTE FOR THE RECORD THAT THE AGENDA AS AMENDED IS APPROVED
AS ALWAYS, I THOUGHT VERY GOOD
I'M SORRY
SO I WOULD LIKE TO TAKE A MOMENT HERE TO RECOGNIZE THE RELEASE OF THE IPCC REPORT AND JUST QUICKLY SUMMARIZE SOME OF THE FINDINGS AND ITS IMPLICATIONS TO THE PORT
LAST DECADE, GLOBAL TEMPERATURES WERE THE HOTTEST ON EARTH IN OVER 125,000 YEARS, CO2 LEVELS IN 2019 THAT WERE HIGHEST SINCE 2,000,000 YEARS AGO
HUMANS ARE RESPONSIBLE FOR ALL PAST HUNDRED YEARS OF CLIMATE, SO TWO INCREASES THE HEAT WAVE OF EVERY 14 YEARS
WHAT USED TO BE EVERY 50 YEARS IS NOW HERE 14 YEARS WITH JUST 129 DEATHS LAST SUMMER FROM THE HEAT, AND THEN THE BLOB OFF THE COAST IS TO BE MORE FREQUENT, WITH SOMEWHAT ENCOURAGING THAT OCEAN ACIDIFICATION AND SURFACE TEMPERATURES COULD BE REDUCED WITH SEQUESTRATION, BUT THAT SEA LEVEL RISE WILL PERSIST FOR CENTURIES DUE TO THE MELTING GLACIERS AND EXPANDING SEAS, AS WE ALSO SAW TODAY'S PAPER THAT THE QUINAULT TRIBE WAS VISITED BY INTERIOR SECRETARY DEB HOLLAND DUE TO THE FACT THAT THEY'RE MOVING THEIR RESERVATION UPLAND DUE TO ITS INUNDATION BY SEA LEVEL RISE
AND CLEARLY, THIS HAS IMPLICATIONS TO THE PORT INFRASTRUCTURE AND THE NEED TO WORK WITH OTHERS ON PROJECTS THAT INVOLVED SEQUESTRATION FROM THE PLANTING OF MARINE AND TERRESTRIAL VEGETATION
OKAY
AND OBVIOUSLY, OUR FIRE SEASONS ARE GETTING LONGER AND MORE DESTRUCTIVE, AND THIS WEEK WE WILL HAVE A REVISIT OF THAT
[crosstalk 00:09:22] THAT'S ERIC COULD YOU PLEASE BE YOURSELF? I HAVE IT
ALL RIGHT
SO, AGAIN, FOR THE PORT, I'D LIKE TO RECOGNIZE THE LEADERSHIP OF BOTH COMMISSIONERS STEINBRUECK AND BOWMAN FOR INCLUDING THE WORD CLIMATE IN THE ENS COMMITTEE'S NAME THAT WILL BE ON TODAY'S DISCUSSION
WHEN I INTRODUCED THAT MOTION UPON MY SECOND COMMISSION MEETING IN 2017, I'VE ASKED TO HAVE AN ANNUAL ACCOUNTING OF THE PORT GREENHOUSE GAS EMISSIONS AND TO TO BE ABLE TO SEE HOW WE'RE MEETING OUR GOALS
THE COMMISSION HAS YET TO RECEIVE SUCH A PRESENTATION, AND I WAS HOPING TO HAVE ONE THIS YEAR BEFORE OUR BUDGET DISCUSSIONS SO THAT WE CAN SPEAK TO THE NEEDS TO CONTINUE TO ELEVATE OUR EFFORTS
AND THERE HAVE BEEN MANY
BUT AT THE SAME TIME, WE HAVE BEEN ON A GROWTH CURVE AND THAT THESE ACTIONS NEED TO BE LOOKED AT IN THE CONTEXT OF WHEN WE BUILD BUILDINGS AT THE AIRPORT
IF WE CAN DO A BILLION DOLLARS A YEAR OF EXPENDITURES AT THE AIRPORT, SO TOO CAN WE CONTINUE TO MAKE EFFORTS TO REDUCE OUR GREENHOUSE GAS FOOTPRINT LIKE WE DID WITH THE RNG CONTRACT? SO MOVING FORWARD HERE, I JUST LIKE TO POINT OUT THAT THERE'S ALSO ACTIVITIES WHILE WE MOVE FORWARD WITH THINGS THAT WE WANTED TO
WE HAVE TO MAKE SURE THE THINGS THAT WE HAVE DONE ARE ACTUALLY BEING COMPLIED WITH
AND I'M VERY DISTRESSED TO LEARN THAT FOR THE 13 YEARS OR SO THAT WE'VE HAD PRE CONDITIONED AIR APPLIED TO THE AIRPORT THAT IN FACT, DURING THE SUMMER, THIS IS RARELY TAKEN ADVANTAGE OF, IN PART BECAUSE IT'S NOT ADEQUATE TO COOL THE PLANES
AS I WAS JUST TOLD BY A PILOT THIS WEEKEND AND THAT WE REALLY NEED TO START MAKING TRUE COMMITMENTS TO OUR INSTITUTION OF HAVING SUSTAINABLE AVIATION FUELS AT THE AIRPORT
AND THAT THE WORK THAT WE'VE BEEN DOING ON THE SLOW MLU JUST REALLY ISN'T MOVING THAT BIRD
THAT BALL FAR ENOUGH DOWN THE FIELD
I'M HOPING THAT THE MSW STUDY WITH KING COUNTY WILL YIELD REAL RESULTS, AND I'M CALLING ON THE AIRLINES TO JOIN US IN THAT EFFORT IN LIEU OF THE PROGRESS WE'RE MAKING WITH REGARDS TO THE MLU AGREEMENT
HAVING SAID ALL THAT, OBVIOUSLY, THINGS ARE GETTING MORE AND MORE URGENT, AND I NOW LEAVE IT TO THE EXECUTIVE TO DEAL WITH THE BROADER ISSUES THAT ARE GOING ON IN THE DAY
THANK YOU
EXECUTIVE METRUCK
SORRY, COMMISSIONER
NO, I'M SORRY
I WAS LOOKING FOR MY ELUSIVE MUTE BUTTON
COMMISSIONERS, GOOD AFTERNOON
THE COVID 19 PANDEMIC, PARTICULARLY THE DELTA VARIANT, CONTINUES TO IMPACT US LOCALLY, NATIONALLY AND INTERNATIONALLY
THE STATE OF WASHINGTON, AS WELL AS KING COUNTY, HAS SEEN A TREMENDOUS SURGE AND COVID 19 CASES
IN FACT, IN JUST A FEW WEEKS, BOTH THE STATE AND KING COUNTY HAVE REACHED THE DESIGNATED HIGH COMMUNITY TRANSMISSION LEVEL IS DEFINED BY THE CENTERS FOR DISEASE CONTROL AND PREVENTION
THE PORT HAS ALSO SEEN AN UPTICK OF EMPLOYEES, CONTRACTORS AND TENANTS TESTING POSITIVE FOR THE VIRUS FOR THE MONTH OF AUGUST, WITH SEVEN CONFIRMED COVID 19 CASES
SIX OF THE SEVEN ARE ASSOCIATED WITH CONSTRUCTION PROJECTS, AND ONE OUT OF SEVEN REPRESENTS RETAIL AND DINING AT SEATTLE TACOMA INTERNATIONAL AIRPORT
THE PORT IS CLOSELY MONITORING 20 AND ONE EMPLOYEES PLACED ON QUARANTINE OR AN ISOLATION, WITH NINE FORD EMPLOYEES TESTING POSITIVE FOR THE VIRUS SINCE AUGUST 1ST ON AUGUST 4TH
FOLLOWING CDC RECOMMENDATIONS, THE PORT REESTABLISHED A FACE COVERING MASKING POLICY FOR INDOOR, PUBLIC AND PRIVATE AREAS AT ALL PORT FACILITIES
WE KNOW THAT THE LAYERING OF MEASURES MASKING VACCINATIONS AND STAYING HOME WHEN AN INDIVIDUAL IS EXPERIENCING SYMPTOMS WILL GREATLY PREVENT AND REDUCE EXPOSURES IN VIRUS SPREAD IN THE WORKPLACE
IN OTHER DEVELOPMENTS
ON MONDAY, GOVERNOR INSLEE, ACCOMPANIED BY KING COUNTY EXECUTIVE CONSTANTINE AND SEATTLE MAYOR DURKIN ANNOUNCED THE VACCINE MANDATE FOR ALLSTATE EMPLOYEES AND ALL PRIVATE SECTOR HEALTH CARE WORKERS AND THOSE IN LONGTERM CARE SETTINGS
THE PORT OF SEATTLE IS FULLY COMMITTED TO MAINTAINING A SAFE WORK ENVIRONMENT FOR ITS EMPLOYEES, CUSTOMERS, TENANTS AND PASSENGERS ACROSS ALL ITS FACILITIES
ALTHOUGH WE'RE NOT MANDATING VACCINATIONS FOR PORT EMPLOYEES AT THIS TIME, WE ARE EXAMINING THE IMPLEMENTATION AT ALL THOSE AS EXAMINING ALL OF THOSE AND THEN CONSIDERING OTHER DEVELOPMENTS AS WELL
WE STRONGLY ENCOURAGE EVERYONE WHO IS ABLE TO BE VACCINATED
TURNING YOUR ATTENTION TO CRUISE THE PAST WEEKEND, A NORWEGIAN ENCORE EMBARKED FROM PIER 66, MAKING THE SEVENTH HOME PORT, MAKING IT THE SEVENTH HOME PORT VESSEL TO BEGIN REVENUE PASSENGER OPERATIONS THUS FAR
PROTOCOLS PREVENT THE SPREAD OF THE VIRUS IN RESPONSE TO CONTAIN THE VIRUS IF IT IS DETECTED
PUT IN PLACE BY POLO CALS AGENCIES, THE PORT IN CRUISE LINES ARE WORKING
THE MEASURES INCLUDE REPORTING PUBLIC HEALTH AUTHORITIES ON POSITIVE TESTS, RECEIVE CONTACT TRACING AND ISOLATION QUARANTINE PROCEDURES
PORT THE VESSELS
IN RESPONSE TO THE DELTA VARIANT, CRUISE LINES ARE UPDATING THEIR PROCEDURES
WITH ALL CRUISE LINES NOW REQUIRING A NEGATIVE COVID TEST FOR PASSENGERS REGARDLESS OF VACCINATION STATUS
WE ARE WORKING WITH CRUISE LINES TO ACCOMMODATE OPERATIONAL CHANGES NECESSARY FOR THAT CHANGE TO OCCUR
TURNING YOUR ATTENTION TO THE AIRPORT, I'M PLEASED TO ANNOUNCE A NEW CAMPAIGN IN DEPTH HIGHLIGHTING QUALITY JOBS WE HAVE AT SEA
AT SEA AIRPORT BUSINESS AND AIRLINES ARE RAPIDLY ADJUSTING TO THE ACCELERATING NUMBER OF TRAVELERS, BUSINESSES AND SERVICE PROVIDERS, AND THEY'RE ALL WORKING HARD TO ACHIEVE APPROPRIATE LEVELS OF STAFFING TO SUPPORT THE INFLUX OF PASSENGER VOLUMES
OUR SEA JOBS CAMPAIGN WILL INCLUDE ADVERTISING AND EARNED MEDIA TO ENCOURAGE RESIDENTS OF NEAR AIRPORT COMMUNITIES TO PURSUE EMPLOYMENT OPPORTUNITIES AT SEA
THE CAMPAIGN WE USE SOCIAL MEDIA AS WELL AS BOTH HYPER LOCAL AND MULTICULTURAL PUBLICATIONS AND ADVERTISEMENTS ON KING COUNTY METRO BUSES
SEA IS AN EXCITING PLACE TO WORK
QUALITY JOBS ARE A KEY COMPONENT OF OUR ECOMO RECOVERY STRATEGY AND I'M PLEASED BY THE WORK OF OUR TEAMS TO PROMOTE THESE OPPORTUNITIES
ANOTHER KEY COMPONENT OF OUR ECOMO RECOVERY STRATEGY IS INCREASING CAREER PATHWAYS IN WORKFORCE DEVELOPMENT OPPORTUNITIES FOR THE COMMUNITIES THAT NEED THE MOST
LAST WEEKEND I JOINED COMMISSIONERS CALKINS AND STEINBRUECK AND MANY MEMBERS OF OUR STAFF FROM ACROSS THE ORGANIZATION AS WE OPENED THE NEWLY LEAST DUWAMISH RIVER COMMUNITY HUB LOCATED IN SOUTH PARK AS PART OF OUR COMMUNITY BENEFITS COMMITMENT
ESTABLISHED IN THE DUWAMISH VALLEY COMMUNITY EQUITY PROGRAM, THE SPACE WILL SERVE TO PROMOTE COMMUNITY PARTNERSHIPS, EVENTS, HEALTHY ENVIRONMENTS AND ECONOMIC DEVELOPMENT
IT WAS GREAT TO SEE IN THE PARKING LOT
THEY HAD A TRADE EVENT GOING ON AT THE TIME OF THE OPENING
WE RECOGNIZE THAT SOME NEAR PORT COMMUNITIES SUCH AS GEORGETOWN AT SOUTH PARK EXPERIENCE A HIGHER PROPORTION OF ENVIRONMENTAL IMPACTS AND LACK EQUITABLE ACCESS TO THE PORT BENEFITS TO THE REGION
THANKS TO YOUR LEADERSHIP IN ESTABLISHING THE DUWAMISH VALLEY COMMUNITY BENEFITS COMMITMENT IN 2019, WE ARE INCREASING OUR EQUITY AND OUTREACH EFFORTS IN THIS COMMUNITY, AND THE OPENING OF THE SPACE REFLECTS THIS COMMITMENT
IN OTHER NEWS, I'M PROUD TO REPORT THAT ASSISTANT DIRECTOR OF ENGINEERING JENISON HAS BEEN SELECTED TO JOIN THE BOARD OF GOVERNORS OF THE CONSTRUCTION MANAGER CERTIFICATION INSTITUTE
HER PARTICIPATION WILL GUIDANCE SHAPE THE NATIONAL REQUIREMENTS FOR CERTIFICATION AND CONSTRUCTION MANAGEMENT PROFESSION
WE'RE PLEASED THAT JANICE CAN SHARE HER KNOWLEDGE BROADLY TO BENEFIT THE FAST GROWING CONSTRUCTION INDUSTRY
SHE STARTS HER THREE YEAR TERM ON JANUARY 1ST 2022
CONGRATULATIONS, JANICE
COMMISSIONERS, IN NATIONAL NEWS IMPACTING THE PORT
THIS MORNING BY A VOTE OF 69 TO 30, THE UNITED STATES SENATE PASSED A BIPARTISAN 1 2,000,000,000,000 DOLLAR INFRASTRUCTURE BILL THAT INCLUDES 20,000,000,000 FOR AIRPORTS IN 17,000,000,000 FOR MARITIME INVESTMENTS
IF SIGNED INTO LAW, THE LEGISLATION WOULD RESULT IN HUNDREDS OF MILLIONS OF DOLLARS TO THE PORT OF SEATTLE TO SUPPORT OUR CAPITAL PROJECTS, AS WELL AS BILLIONS OF DOLLARS FOR OTHER INVESTMENTS THAT WE CARE ABOUT FROM RESEARCH ON HYDROGEN FUELS TO MONEY FOR VEHICLE ELECTRIFICATION INFRASTRUCTURE TO THE FUNDING FOR PUBLIC SCHOOL INDOOR AIR QUALITY IMPROVEMENTS
I WANT TO SPECIFICALLY THANK SENATOR MURRAY AND SENATOR CANTWELL FOR THEIR SUPPORT OF THESE HISTORIC INVESTMENTS
AND WE LOOK FORWARD TO WORKING WITH THE REST OF THE WASHINGTON CONGRESSIONAL DELEGATION WHEN ALSO REPRESENTATIVES CONSIDERS THE LEGISLATION LATER THIS FALL
ALSO THIS WEEK, THE SENATE WILL PASS A 3,500,000,000,000 DOLLAR BUDGET FRAMEWORK THAT BEGINS THE PROCESS OF CRAFTING LEGISLATION TO FUND GENERATIONAL INVESTMENTS IN HEALTH CARE, CHILD CARE, EDUCATION, CLIMATE, AND IMMIGRATION
A PARTICULAR INTEREST TO THE PORT IS THE POTENTIAL FOR SIGNIFICANT FUNDING AND INCENTIVES FOR SUSTAINABLE AVIATION FUELS, MARITIME ELECTRIFICATION, AND THE PORT SUSTAINABILITY PRIORITIES
AGAIN, WE'LL BE WORKING CLOSELY WITH OUR MEMBERS OF CONGRESS TO ADVOCATE FOR THESE IMPORTANT INVESTMENTS
WHILE THE PATH FORWARD FOR BOTH THE HARD INFRASTRUCTURE AND THE HUMAN INFRASTRUCTURE BILLS IS FULL OF UNCERTAINTY THAT LIKELY WON'T BE SETTLED UNTIL THE END OF THE YEAR, WE ARE HAPPY TO CELEBRATE THESE IMPORTANT MILESTONES
STAFF WILL CONTINUE TO UPDATE YOU AS NEW DEVELOPMENTS OCCUR
MOVING TO TODAY'S COMMISSION MEETING, I LIKE TO HIGHLIGHT A COUPLE ITEMS ON THE CONSENT AGENDA
WE HAVE SEVERAL ITEMS RELATED BUILDING CONTROLS, LOADING UPGRADES, AND DIGITAL CONTROL SYSTEMS ALTHOUGH THESE ARE ROUTINE AUTHORIZATIONS WHERE WE ARE ENHANCING EXISTING INFRASTRUCTURE AND PLANNING FOR THE FUTURE, I WANT TO CALL THESE ITEMS OUT FOR THEIR GAINS STEADY AND GRADUAL
THAT WILL MAKE AN ENERGY EFFICIENCIES AS GOOD EXAMPLES OF STEWARDSHIP, WHICH IS A KEY PORT VALUE UNDER NEW BUSINESS
WE HAVE A BRIEFING AND AUTHORIZATION ON SOUND INSULATION
THIS BRIEFING WILL SHARE OUR PROGRESS IN ACCELERATING THIS IMPORTANT PROGRAM
THE SUBSEQUENT ACTION WILL AUTHORIZE THE APARTMENT PROGRAM, WHICH IS THE LARGEST COMPONENT OF THE NO EAST PROGRAM, AND IT'S ALSO CRITICAL FOR MOVING FORWARD
I HAVE MORE TO SAY ABOUT THIS ITEM DURING ITS INTRODUCTION
FOR THE STAFF BRIEFING TODAY WE'LL LOOK AT OUR SECOND QUARTER FINANCIAL PERFORMANCE
ALTHOUGH THE PANDEMIC CONTINUES TO UPEND DAILY LIFE AND INTRODUCE UNCERTAINTY INTO OUR WORLD, GOOD BUDGETING AND COST MANAGEMENT HAS SET US UP TO CONTINUE TO DO WELL IN 2021
THIS IS A BRIEFING
YOU'LL LEARN MORE ABOUT OUR PERFORMANCE AND THE KEYS TO OUR FINANCIAL RESULTS
AND WITH THAT COMMISSIONERS, THAT CONCLUDES MY REPORT
THANK YOU, EXECUTIVE METRUCK, AND THANK YOU FOR REMINDING US ABOUT THE GREAT PASSAGE OF THE INFRASTRUCTURE BILL AND ALL THE GOOD THINGS WE'RE ENCOURAGED BY AND THAT WE WROTE ABOUT IN THE OP ED TO THE SEATTLE TIMES
ALL THE MORE REASON WE NEED TO MONITOR OUR GREENHOUSE GAS EMISSION REDUCTIONS TO MAKE THE CASE FOR WHY WE NEED THAT
NORMALLY, AT THIS TIME WE WOULD HEAR A REPORT ON OUR COMMITTEE AGENDA, BUT WE DID NOT HAVE ANY COMMITTEE MEETINGS SINCE OUR LAST BUSINESS MEETING, SO THERE'S NOTHING TO REPORT THERE
BUT NOW THE COMMISSION WILL ACCEPT GENERAL PUBLIC COMMENT FROM THOSE WHO SIGNED UP TO SPEAK ON ITEMS RELATED TO THE PORT
WRITTEN MATERIALS PROVIDED TO THE CLERK WILL BE INCLUDED IN TODAY'S MEETING AT RECORD
THE CLERK HAS A LIST OF THOSE PREPARED TO SPEAK AS THE CLERK CALLS YOUR NAME
WE'LL OPEN THE LINE AND COMMENTERS WILL HAVE TO UNMUTE THEMSELVES
THEN PLEASE REPEAT YOUR NAME FOR THE RECORD
AND IF YOU'RE ON THE TEAM'S MEETING AND ARE ALSO STREAMING THE MEETING, PLEASE MUTE THE VIDEO STREAM TO AVOID FEEDBACK
PLEASE NOTE THAT THERE MAY BE A SHORT TIME LAG ON THE VIDEO STREAM
COMMENT TIME WILL BE LIMITED TO TWO MINUTES PER PERSON
AND CLERK HART, PLEASE DO US THE HONOR OF CALLING THE FIRST PERSON
THANK YOU
OUR FIRST SPEAKER TODAY IS JC HARRIS
GOOD AFTERNOON, COMMISSIONERS
SO, YEAH, THIS IS ONE OF THOSE THINGS WHERE I ALWAYS WILL SOUND SOMEWHAT UNGRATEFUL
BUT FIRST OF ALL, I WANT TO THANK YOU FOR MOVING AHEAD WITH THE ACCELERATED SOUND INSULATION PROGRAM
THIS IS A MATTER OF EQUITY FOR ME BECAUSE YOU ARE GOING TO BE FINALLY PROVIDING RELIEF TO APARTMENT DWELLERS IN DES MOINES HUNDREDS OF THEM
AND, YOU KNOW, THEY HAVE BEEN WAITING A LONG TIME AND WELL DONE
IT WOULD BE GREAT IF YOU COULD WHILE YOU NOW HAVE THE INFRASTRUCTURE SET UP, START THINKING ABOUT PROVIDING UPDATES
I WENT BACK AND I LOOKED AGAIN AT LAST FEBRUARY'S MEETING AND I WAS STRUCK BY HOW WELL DONE
THE QUESTIONS WERE JUST FANTASTIC BY THE COMMISSIONERS
AND YOU COVERED ALL OF THE VARIOUS OBSTACLES TO PROVIDING UPDATES
AND IT SEEMS LIKE NOW WOULD BE A TIME WHERE YOU COULD AT LEAST PUT SOME MONEY ON THE TABLE TOWARDS THAT
I ENCOURAGE YOU TO GO BACK ALL TO GO BACK AND LISTEN TO THAT MEETING
IT'S REALLY EXTRAORDINARY
AND I WILL KEEP NAGGING YOU ABOUT IT
BUT IN THE REMAINING TIME, YES, I THINK THE PORT CAN DO A LOT MORE ON REDUCING GREENHOUSE GASES FROM THE AIRLINES
AND I LOOK FORWARD TO SPEAKING TO EACH OF YOU ABOUT THAT IN THE NEAR FUTURE
THANKS AGAIN FOR PROVIDING RELIEF TO OUR APARTMENT DWELLERS
THANK YOU, JC
I MADE SURE WE NOTIFIED YOU OF THIS ITEM ON THE AGENDA
SO THANK YOU FOR TAKING THE TIME TO TESTIFY
THANK YOU
CLERK HART, CAN WE HAVE THE NEXT SPEAKER? YES
OUR NEXT SPEAKER IS JORDAN VAMOS
GOOD AFTERNOON, COMMISSIONERS
MY NAME IS JORDAN VAN VEST
OVER THE LAST TWO WEEKS, THE DIXIE FIRE HAS BECOME THE SECOND LARGEST IN CALIFORNIA HISTORY
WILDFIRE PLUMES COVER MUCH OF THE WEST, WITH SUMMER CAMPS FOR KIDS CLOSED DUE TO AIR QUALITY
SMOKE IS NOW OUR FIFTH SEASON
WHEAT YIELDS AND EASTERN WASHINGTON ARE AT ONE OF THEIR LOWEST LEVELS EVER, AS OUR RESERVOIRS ON THE COLORADO RIVER, SOUTHERN EUROPE IS CURRENTLY ENDURING RECORD HEAT, WITH AT LEAST EIGHT DEAD FROM WILDFIRE
ON THURSDAY, THE JOURNAL NATURE PUBLISHED A STUDY CONCLUDING THAT THE GULF STREAM CURRENT, A MAJOR CLIMATE TIPPING POINT, IS ON THE VERGE SHUTTING DOWN WITH UNIMAGINABLE CONSEQUENCES
3,000,000,000 PEOPLE IN SOUTH ASIA FACE INCREASING WATER SHORTAGES DUE TO RAPIDLY MELTING GLACIERS ON THE TIBETAN PLATEAU, AND ON MONDAY, THE IPCC ISSUED THEIR MOST DIRE WARNING YET OUR MODERN CAPITALIST SOCIETY, WHICH PRIVILEGES THE WEALTHY AND FOCUSES ON SHORT TERM HAPPINESS WHILE IGNORING THE SURVIVAL NEEDS OF BILLIONS OF PEOPLE
AND THE ECOLOGICAL WEB OF WHICH WE ARE ALL APART IS DISINTEGRATING
THE LONGER WE DENY THAT, THE DEEPER OUR WORLD DRIFTS TOWARDS DISASTER AND UNPRECEDENTED SOCIAL VIOLENCE, OUR ECONOMIC SYSTEM IS ANTIQUATED
WE NEED NOT ONLY A GREEN NEW DEAL, BUT A NEW VISION AND MISSION WHICH PRIORITIZES THE WELLBEING OF ALL LIFE INSTEAD OF THE NARROWS INTERESTS OF A FEW
INSTEAD OF MEASURING THE SUCCESS OF THE PORT IN TERMS OF PASSENGERS BOARDING FOSSIL FUEL GUZZLING, CARBON EMITTING PLANES AND CRUISE SHIPS, WHAT IF INSTEAD YOU MEASURE THE IMPACT OF PORT BUSINESS IN TERMS OF GROSS NATIONAL HAPPINESS? COMMISSIONER FELLEMAN RECENTLY STATED, THERE IS AN INSATIABLE APPETITE FOR A CRUISE
WE THE PORT DIDN'T CREATE IT
IT EXISTS
BUT THE PUBLIC RECORD CLEARLY DEMONSTRATES THAT THE PORT HAS A LONG HISTORY OF PROMOTING CRUISING AND FLYING
INSTEAD OF BUILDING NEW PARKING LOTS, PLEASE FULLY EMBRACE THE SCIENCE
EMBRACE THE WISDOM OF INDIGENOUS LEADERS WORKING TO PROTECT THE EARTH
RETHINK YOUR BUSINESS MODEL SO THAT WE CAN TRANSITION AS RAPIDLY AS POSSIBLE TO A CRUISE FREE SALISH SEA
THANK YOU
THANK YOU, JORDAN
CLERK HART, PLEASE NEXT SPEAKER, YES
OUR NEXT SPEAKER IS PATTY MACKEY
GOOD AFTERNOON
I'M PATTY MACKY
I'M THE PRESIDENT AND CEO OF KETCHIKAN VISITORS BUREAU, LOCATED IN KETCHIKAN, ALASKA
I'M HERE IN RECOGNITION OF THE TIES THAT EXIST BETWEEN MY COMMUNITY AND THE GREATER PUGET SOUND AREA, OUR COMMON INTERESTS IN MARITIME ECONOMIES SUCH AS SHIPPING AND COMMERCIAL FISHING, AND MORE TO THE POINT TOURISM
AS MANY OF YOU ARE AWARE, KETCHIKAN IS THE SOUTHERNMOST COMMUNITY IN ALASKA
WE'RE JUST 90 MINUTES BY AIR FROM SEATAC
EACH YEAR, THOUSANDS OF VISITORS ARRIVED FROM YOUR AIRPORT TO VACATION, FISH AND CONDUCT BUSINESS IN AND AROUND KETCHIKAN
AND WE HAVE BEEN THE SECOND LARGEST CRUISE SHIP PORT IN ALASKA, HOSTING OVER A MILLION VISITORS EACH SUMMER
THE PANDEMIC IMPACT ON OUR LOCAL TOURISM ECONOMY WAS DEVASTATING, AND WE ARE GRATEFUL THAT THE PORT OF SEATTLE IS OPEN FOR BUSINESS
THE OPPORTUNITY FOR OUR LOCALLY OWNED AND OPERATED BUSINESSES TO BEGIN THE TASK OF RECLAIMING THEIR LIVES IS NOT ONLY IMPORTANT ECONOMICALLY BUT ALSO PSYCHOLOGICALLY
IT'S BEEN GRATIFYING TO SEE OUR ELECTED OFFICIALS, SENATOR SULLIVAN, SENATOR MURKOWSKI AND SENATOR CANTWELL WORK TO SECURE THE PVSA WAIVER THAT HAS ALLOWED THE CRUISE INDUSTRY TO RETURN TO ALASKAN WATERS
PRE COVID TOURISM WAS ESTIMATED TO BRING IN OVER 250,000,000 DOLLARS A YEAR TO THE KETCHIKAN ECONOMY, 76,000,000 IN PAYROLL AND PROVIDED 700 JOBS
I KNOW I DON'T NEED TO REITERATE THE LOSSES WE EXPERIENCED BECAUSE YOU FELT THEM AS WELL
THE PORT OF SEATTLE IS TRULY A GATEWAY THAT THE PACIFIC NORTHWEST AND BEYOND
THE DECISIONS YOU MAKE IMPACT COMMUNITIES LIKE MINE AND MANY OTHERS IN THE REGION
I WANT TO AGAIN SAY THANK YOU FOR THE COOPERATION WE'VE ENJOYED WITH THE PORT EMPLOYEES AND LEADERSHIP LIKE AND EXPRESS MY SINCERE HOPE THAT WE CAN ALL LOOK FORWARD TO THE RETURN OF HEALTHY ECONOMIES THROUGHOUT OUR REGION
THANK YOU
THANK YOU, PATTY
THE NEXT SPEAKER, OUR NEXT SPEAKER IS IRIS ANTMAN
CAN YOU HEAR? WE CAN
IRA, GOOD AFTERNOON
MY NAME IS IRIS ANTMAN
YOU MAY RECOGNIZE MY NAME AS I'VE BEEN TESTIFYING PERIODICALLY SINCE JANUARY OF 2020, INITIALLY TO A POST T 46 AND CURRENTLY TO VOICE OPPOSITION TO THE CRUISING INDUSTRY AS A WHOLE
I UNDERSTAND THE CRUISE INDUSTRY IS A BIG MONEY MAKER FOR THE PORT AND HELPFUL TO SMALL BUSINESSES AND PROVIDING JOBS, AND THIS IS IMPORTANT
ECONOMIC EXPANSION IS ONE OF THE PORT MISSIONS, BUT THE OTHER MISSION IS ENVIRONMENTAL STEWARDSHIP
I'M SURE YOU'VE ALL SEEN AND READ AT LEAST THE HIGHLIGHTS OF THE SIXTH REPORT FROM THE UN IPCC
IT'S DEVASTATING AND THE ACCURACY OF THIS BODY OF WORK IS UNDENIABLE BY LOOKING AT THE FIRST REPORT PUBLISHED IN 1990, WHICH STATED THAT IF BUSINESS AS USUAL CONTINUES, GLOBAL TEMPERATURES WILL RISE ABOUT ONE DEGREE CELSIUS BY 2025
SO BUSINESS AS USUAL HAS CONTINUED AND THE TEMPERATURE HAS RISEN ABOUT 1.1 DEGREE CELSIUS AND IT'S ONLY 2021
ALSO UNDISPUTED IN THE REPORT IS THAT THE CLIMATE CRISIS IS HUMAN CAUSED, THE MAIN CAUSE OF WHICH IS THE BURNING OF FOSSIL FUELS
SO HOW CAN THE PORT CONTINUE TO PROMOTE A NON ESSENTIAL LEISURE ACTIVITY TO BE ENJOYED BY THE FEW AT THE EXPENSE OF THE MANY? THE IRONY OF DESTROYING ALASKA'S BEAUTY BY CRUISING TO SEE IT CANNOT BE LOST ON YOU
BY THURSDAY AND FRIDAY OF THIS WEEK, IT WILL BE CLOSE TO 100 DEGREES IN SEATTLE
CRUISE SHIPS HAVE AN OVERSIZED CONTRIBUTION TO GLOBAL WARMING
PRESIDENT SETTLEMENTS COMMENTS ON THE IPCC REPORT AND WHAT STEPS SUPPORT MIGHT TAKE TO HELP MITIGATE THE PORT CLIMATE IMPACTS WITHOUT SERIOUSLY LOOKING AT THE HARM OF CRUISING IGNORES THE ELEPHANT IN THE ROOM AND AS FAR AS I CAN UNDERSTAND, REPRESENTS AN ATTITUDE OF CYNICAL HYPOCRISY
PLEASE, IT'S TIME TO END NON ESSENTIAL LEISURE CRUISING
BE COURAGEOUS, BE CREATIVE, BRAINSTORM OTHER ECONOMIC VENTURES, ONE THAT MINIMIZE AND END THE BURNING OF FOSSIL FUELS
THANK YOU
THANK YOU VERY MUCH, IRIS
NEXT SPEAK? YES
OUR NEXT SPEAKER IS MARCY HEAVER
THANK YOU
THIS IS MARCY HEAVER FROM FRIENDS OF THE ARCS
AND I'M TESTIFYING TODAY IN SUPPORT OF AN EXHAUST GAS SCRUBBER WASTEWATER DISCHARGE BAN FOR CRUISE SHIPS IN PUGET SOUND
A SCRUBBER WASTEWATER DISCHARGE BAN HAS BEEN PROPOSED AS AN AMENDMENT TO THE CRUISE MLU
IT WAS PROPOSED AT THE END OF 2020 AND NO DECISION HAS YET BEEN MADE ON THE AMENDMENT
TO DATE, CRUISE SEASON HAS NOW RESTARTED
AS WE ARE ALL AWARE, IN THE NORTHWEST, DESPITE THE RESURGENCE OF COVID, 19 CRUISE SHIPS ARE SITTING AT THE DOCK HERE IN ELLIOTT BAY AND THEY'RE COMING IN OUT OF PUGET SOUND
THEY ARE USING THEIR SCRUBBERS AND LIKELY DUMPING THEIR TOXIC, ACIDIC WASTEWATER INTO PUGET SOUND WATERS
AS WE SPEAK, WE ALL KNOW HOW ENDANGERED ART WORKERS ARE
THE CRUISE INDUSTRY DUMPING ITS SCRUBBER WASTEWATER INTO PUGET SOUND IS THEY'RE EXACERBATING THE THREATS TO THIS ICONIC SPECIES
OUR ORCAS ARE STRESSED AND HUNGRY, AND THE CRUISE INDUSTRY IS ONLY MAKING MATTERS WORSE WITH THEIR SCRUBBER DISCHARGES
THE SIGNIFICANT MAJORITY OF SCRUBBERS USED BY THE CRUISE INDUSTRY ARE OPEN LOOP EMIT ACIDIC WASTEWATER THAT IS WARMER THAN AMBIENT SEAWATER AND CONTAINS HEAVY METALS, PAHS, SUSPENDED PARTICULATE MATTER AND NITRATES, ALL OF WHICH ARE VERY HARMFUL TO THE MARINE ENVIRONMENT AND THE MARINE CREATURES THAT INHABIT
WE APPRECIATE THAT THE PORT OF SEATTLE HAS BANNED THE DISCHARGE OF SCRUBBER WASTEWATER WHILE ANY CRUISE SHIP IS DOCKED AS OF JANUARY 1ST, AND WE'RE VERY SUPPORTIVE OF THE IMPLEMENTATION OF A BAN ON THE DISCHARGE OF EXHAUST GAS, RUBBER WASTEWATER FROM ALL SCRUBBER TYPES AND INTO ALL OF PUGET SOUND
THE CRUISE INDUSTRY CAN DO THIS
THEY HAVE USED CLEANER FUEL FOR YEARS IN CALIFORNIA WATERS WHERE SCRUBBERS ARE NOT ALLOWED
PLEASE INSIST THAT CRUISE INDUSTRY ACCEPT THE PROPOSED AMENDMENTS TO THE MLU AND STOP DUMPING SCRUBBER WASTEWATER IN PUGET SOUND
OVER THE YEARS, THE CRUISE COMPANIES HAVE POLLUTED OUR AIR, OUR WATER AND OUR CLIMATE
THEY HAVE REPEATEDLY MADE CHOICES THAT PUT THE HEALTH OF THE PLANET AND OUR SOUND AT RISK
PLEASE IMPLEMENT THE PROPOSED AMENDMENTS TO THE CRUISE MLU FOR THE SAKE OF OUR ENDANGERED ORCAS ARE SOUND AND OUR MARINE ENVIRONMENT
THANK YOU
THANK YOU, MARCY
NEXT SPEAKER, PLEASE
OUR NEXT SPEAKER IS KATIE MCKENNA
OKAY
HI
I'M HERE
GOOD AFTERNOON, COMMISSIONERS
MY NAME IS KENNY MCKENNA
I'M 32 YEARS OLD, I'M A LONG TIME SEATTLE RESIDENT AND I'M WITH SEATTLE CRUISE CONTROL TO SPEAK ABOUT MY DESIRE TO SEE A CRUISE FREE SALISH SEA
WE UNDERSTAND THAT THE PORT'S MISSION IS TO PROVIDE ECONOMIC GROWTH TO OUR REGION WHILE ALSO PROMOTING ENVIRONMENTAL SUSTAINABILITY, AND WE REALLY APPRECIATE SOME OF THE EFFORTS YOU'VE MADE SO FAR
HOWEVER, WHAT WE DON'T UNDERSTAND IS HOW THE PORT, THE COMPANIES WHO OWN THE CRUISE SHIPS AND THE CRUISERS THEMSELVES CAN LOOK THE OTHER WAY FROM THE DIRE SITUATION WE'RE FACING IN THE CLIMATE CRISIS
WE CANNOT WAIT ANOTHER DAY TO START MAKING THE CHANGES NECESSARY TO REVERSE CLIMATE CHANGE
THE EFFECTS OF CLIMATE CHANGE ARE ALREADY HERE, AND I'M EXTREMELY CONCERNED ABOUT THE LIVELIHOODS OF FUTURE GENERATIONS
WHAT KIND OF SITUATION ARE WE BRINGING THEM INTO? WHAT IS IT GOING TO LOOK LIKE FOR ME TO LIVE IN SEATTLE WHEN I'M 50 OR 60 YEARS OLD? ONE WAY THAT WE CAN START TO COMBAT IT TODAY IS THROUGH FINDING MORE SUSTAINABLE WAYS TO SUPPORT JOBS AND LOCAL BUSINESSES
AND BY DOING SO, BEING AN EXAMPLE TO OTHER PORTS AROUND THE WORLD, CRUISING CREATES AN ENORMOUS AMOUNT OF HARMFUL POLLUTION FROM THE NOISE POLLUTION IMPACTING OUR BEAUTIFUL WHALE POPULATIONS TO LARGE AMOUNTS OF GREENHOUSE GAS EMISSIONS TO TALK LIKE EMISSIONS A PARTICULATE MATTER THAT IMPACT HUMAN HEALTH AND CAUSE CANCER
AND ADDITIONALLY, OUR COUNTRY IS SEEING A SURGE IN COVID 19 CASES, AND THE PANDEMIC IS STILL FAR FROM OVER
WE KNOW WHAT HAPPENED AT THE BEGINNING OF THE PANDEMIC THAT CRUISE SHIPS ARE BREEDING GROUNDS FOR THE VIRUS
THE PORT CAN CONTINUE TO IGNORE THE REALITIES OF CLIMATE CHANGE AT THE EXPENSE OF ALL OUR LIVES IN OUR HOME PLANET THAT SUPPORTS ALL LIFE
OR IT CAN BEGIN THE WORK OF CHANGING HOW AND WHY IT DOES BUSINESS REALLY IMPLORE YOU TO PLEASE TAKE THIS SERIOUSLY AND THINK ABOUT THE RESPONSIBILITY THAT YOU HAVE AS COMMISSIONERS
THANK YOU
THANK YOU VERY MUCH, KATIE
FOR CARD, OUR NEXT SPEAKER
YES
OUR NEXT SPEAKER IS CAROLYN BROTHERTON
CAN YOU HEAR ME? WE CAN
OKAY
HI
MY NAME IS DR CAROLYN BROTHERTON
I'M A FORMER CHEMIST
I'M A CONCERNED CITIZEN LIVING AND SEATAC FLIGHT PATH
THANK YOU FOR THE CHANCE TO SPEAK
AS WE STRUGGLE WITH THE DELTA VARIANT AND FACE A DEADLY HEAT WAVE THIS SUMMER, WE KNOW THAT THE GLOBAL PANDEMIC AND CLIMATE COLLAPSE ARE ON OUR DOORSTEP
I URGE YOU ALL TO THINK LONG TERM FOR OUR ECONOMY AND OUR HELP
WE NEED LEADERS LIKE YOU TO LEAD
EXPANDING THE PRESENCE OF CRUISE SHIPS IN SEATTLE IS THE WRONG MOVE
ECONOMIC IN TERMS OF JOBS AND LOCAL SPENDING FROM CRUISE SHIPS AND THEIR PASSENGERS IS HIGHLY OVERSTATED
PASSENGERS SPEND MORE ON THEIR SHIPS WHERE THEY CAN FIND DISCOUNT MEALS AND DRINKS AND SHOPPING TRADITIONAL TOURISTS TO PEOPLE WHO ACTUALLY LIVE HERE
SPEND MORE HERE
PLUS, WHEN IT COMES TO JOB, WHAT KIND OF JOB AND AT WHAT COST? CRUISE SHIPS ARE NOTORIOUS FOR SKIRTING LABOR AND ENVIRONMENTAL LAWS TO AVOID PAYING TAXES IN CONTRIBUTING TO OUR SOCIETY
AND, YOU KNOW, THIS YEAR THEY'VE BEEN HOT BEDS WITH THE PANDEMIC AND WE'VE ALL READ THE GROSS ABUSE OF THEIR WORKERS DURING THE PANDEMIC
IT'S BEEN REALLY AWFUL TO READ
SO EVEN THOUGH IT'S HARD, WE MUST THINK LONG TERM
IT'S SOMETHING WE'RE BAD AT AS HUMANS
BUT WE'VE HEARD TODAY ABOUT THE IPCC REPORT AND HOW DIRE THE SITUATION IS
CLIMATE CHANGE IS THE GREATEST THREAT TO OUR ECONOMY IN THE LONG TERM
IF WE NEED GROWTH AND JOBS, THE PORT
YOU THINK ABOUT HOW TO ACHIEVE THAT THROUGH SUSTAINABILITY AND PROJECTS TO AID THE CLIMATE
THERE ARE MANY WAYS TO DO THIS THAT WE CAN STIMULATE THE ECONOMY AND HOPE WITH CONTENT TO CHANGE
AT THE SAME TIME, I URGE YOU TO NOT ACCEPT BAD BARGAINS FOR THE SAKE OF SHORT TERM GROWTH
I URGE YOU TO NOT EXPAND CRUISE OPERATIONS AND TO ALSO NOT BUILD OVER A GREEN SPACE FOR A PARKING LOT IN SEATTLE NORTH SEATAC NEIGHBORHOOD
YOU SHOULD MAKE CHOICES NOW TO BE ON THE RIGHT SIDE OF HISTORY
WE NEED LEADERS LIKE YOU TO DO THIS
DON'T TRADE SHORT TERM GROWTH FOR LONG TERM SURVIVAL
INSTEAD, BE CREATIVE AND PRIORITIZE SUSTAINABILITY
WE'VE HEARD REALLY GREAT ARGUMENTS TODAY, AND I URGE YOU TO TAKE THIS INTO ACCOUNT
THANK YOU
THANK YOU, DR BROTHERTON
DO WE HAVE A NEXT SPEAKER, PLEASE? YES
OUR NEXT SPEAKER IS STACEY OAKS
STACEY, IF YOU'RE CALLING IN VIA THE TELEPHONE AT STAR SIX TO UNMUTE
HI, CAN YOU HEAR ME? WE CAN
GREAT
THANK YOU
YEAH
MY NAME IS STACEY OAKS, AND I'M SPEAKING TO YOU TODAY AS AN ADVOCATE FOR TACOMA RESIDENTS AND FOR THE PUYALLUP TRIBE, WHOSE ANCESTRAL TIDE FLATS WERE ONCE A THRIVING ESTUARY FULL OF LIFE AND SUSTENANCE
BUT IS TODAY CALLED THE PORT OF TACOMA FULL OF TOXIC, SUPER FUN SITES, POLLUTING FOSSIL FUEL IN FACILITIES AND WATER THAT MOST PEOPLE WOULD AVOID SWIMMING IN OR EATING SEAFOOD FROM
IF YOU CAN FIND ANY, THERE'S A VOTE COMING UP IN LATE SUMMER AND DISCUSSION IS HAPPENING NOW AT TACOMA CITY COUNCIL THAT WILL DETERMINE IF THE CURRENT FOSSIL FUEL OPERATIONS ON THE PORT WILL CONTINUE TO BE ALLOWED TO EXPAND OR IF A DANGEROUS LOOPHOLE WILL FINALLY BE CLOSED
AFTER FOUR YEARS OF PUBLIC OUTCRY, THESE FOSSIL FUEL OPERATIONS POSE AN IMMEDIATE SAFETY THREAT TO NEARBY COMMUNITY AND IMPOSE DAILY HEALTH IMPACTS FROM REFINING AND REFRIGERATION EMISSIONS, AS WELL AS FROM THE DIESEL EMISSIONS OF TRUCKS USED FOR TRANSPORT
THIS AREA IS HOME TO SOME OF THE WORST AIR QUALITY IN THE COUNTRY
ON TOP OF ALL OF THESE INJUSTICES, WHICH SHOULD BE ENOUGH ON THEIR OWN TO SPUR THE EFFORT OF A COMMENT WE FACE IMPENDING CLIMATE COLLAPSE, AND MONDAY'S IPCC REPORT CLEARLY CALLS OUT OUR FOSSIL FILL USE AS PIVOT
REGARDLESS OF OUR JOBS OR SOCIAL STATUS, EVERY SINGLE ONE OF US CAN AND SHOULD BE USING OUR VOICE AS INDIVIDUALS TO SAY ENOUGH IS ENOUGH
STOP EXPANDING THESE TOXIC INDUSTRIES
STOP TREATING THE TIDE FLATS
THE COMMUNITIES OF TACOMA, THE PUYALLUP TRIBE LIKE THEY ARE DISPOSABLE
STOP TREATING THIS AREA LIKE A SACRIFICE FILM
STOP EXPANDING THE ACTIVITIES THAT ARE DIGGING OUR CHILDREN'S GRAVES
AS PORT DECISION MAKERS AND NORTHWEST SEAPORT ALLIANCE MEMBERS, YOUR VOICE, THE PERSONAL CAPACITY CARRIES WEIGHT AND INFLUENCE
IT'S TIME TO USE IT TO URGE MAYOR WOODARD AND THE TACOMA CITY COUNCIL TO PASS NON INTERIM REGULATIONS FOR THE TIDE FLATS THAT ARE AS STRONG AS POSSIBLE WITHOUT AMENDMENTS THAT UNDERMINE HEALTH EQUITY AND CLIMATE PROGRESS
THANK YOU
THANK YOU
STACY
CLERK HART
YES
HANG ON A SECOND FOR ME
LET ME GET MY TIMER RESET HERE
SO OUR NEXT SPEAKER IS PEGGY PRINCE
YOU HEAR? WE CAN
PEGGY
YES
HELLO
MY NAME IS PEGGY PRINCE
STEEP EMMISSIONS CUTS
THAT'S WHAT THE UN CLIMATE PANEL IS CALLING FOR
YOU CAN HATE THEIR CALL CURTAIL THROUGH SHIP TRAFFIC AT THE END OF THE CURRENT SEASON
YOU KNOW, THE CRUISE SHIPS IN IT FOUR TIMES AS MUCH GREENHOUSE GAS POLLUTION PER PASSENGER IS AIR TRAVEL
AND THAT'S IN ADDITION TO THE FLIGHTS MOST PASSENGERS TAKE IN AND OUT OF SEA TECH, IT'S TIME TO STOP PROMOTING AND PERMITTING THIS FOSSIL FUEL INTENSIVE BUSINESS
THINK OF CRUISE SHIPS AS SEA MONSTERS
ACTUALLY, THEY'RE MUCH WORSE
THEY'RE POLLUTING THE AIR AND WATER, EXPLOITING THEIR WORKERS AND AVOIDING US TAX AND LABOR LAWS
EVEN THE PAINT ON THEIR HULLS, DESIGNED TO REPEL BARNACLES AND WEEDS SHEDS HEAVY METALS INTO THE OCEAN, POISONING MARINE LIFE
YOU CAN MAKE THESE MONSTERS DISAPPEAR
MAKE THE SEATTLE LAST CRUISE SEASON
OH, AND PLEASE, DON'T PUT THAT PARKING LOT IN NORTH SEATAC PARK
THANK YOU
THANK YOU
PEGGY, DO WE HAVE ANOTHER SPEAKER CLERK HART? YEAH
OUR NEXT SPEAKER IS KENDRA ELRICK
HELLO
CAN YOU HEAR ME? WE CAN
OKAY
GREAT
HI
MY NAME IS KENDRA ELRICH
I AM THE SHIPPING CAMPAIGNS DIRECTOR WITH THE ORGANIZATION STANDS DOT EARTH
WE'RE BASED UP HERE IN BELLINGHAM, WASHINGTON
I'M HERE TODAY TO SPEAK IN SUPPORT OF THE EXHAUST GAS CLEANING SYSTEM SCRUBBER BAN
THIS IS A CRITICAL PART OF ENSURING THE ECOSYSTEM HEALTH OF PUGET SOUND
AS MERCY KEEPER NOTED WITH FRIENDS OF THE EARTH, OUR SOUTHERN RESIDENT KILLER WHALES ARE CRITICALLY ENDANGERED AND THE CONTAMINANTS THE ENDOCRINE DISRUPTING CHEMICALS, THE TOXIC HEAVY METALS, THE ACIDIC WASTEWATER THAT IS BEING DISCHARGED ON A CONTINUAL BASIS FROM EXHAUST GAS CLEANING SYSTEMS IS FURTHER ENDANGERING THEIR HEALTH AND THE HEALTH OF THE SALMON THAT THEY RELY ON
IN ADDITION TO THAT, IT POSES A SIGNIFICANT RISK TO PUBLIC HEALTH
WE HAVE HERE IN SEATTLE
ACCORDING TO AN ANALYSIS BY THE INTERNATIONAL COUNCIL ON CLAIM TRANSPORTATION, DOUBLE THE GLOBAL AVERAGE IN TERMS OF EXCESS MORTALITY RELATED TO EXPOSURE TO SHIP EXHAUST
THAT IS A STAGGERING FIGURE, AND IT IS SOMETHING THAT THE USE OF SCRUBBERS CONTRIBUTES TO
ANALYSIS HAVE SHOWN THAT CRUISE SHIPS RELEASED THREE TIMES THE AMOUNT OF BLACK CARBON AS CARGO SHIP COUNTERPARTS
THE USE OF SCRUBBERS ALSO INCREASES THE AMOUNT OF PARTICULATE MATTER THAT THESE SHIPS ARE EMITTING
SO I URGE YOU TO TAKE ACTION NOW TO PASS THE MEMORANDUM OF UNDERSTANDING AMENDMENT THAT'S BEEN PROPOSED
CRUISE SHIPS ARE HERE NOW
ACCORDING TO RECENT ANALYSIS, THE MOST IMPACTED PORTS, NINE OF THE 10 MOST IMPACTED PORTS BY SCRUBBER DISCHARGES ARE AS A RESULT OF CRUISE SHIPS AND CRUISE SHIP DISCHARGES
SO THIS IS A CRITICALLY IMPORTANT STEP, AND I URGE YOU TO TAKE ACTION NOW AND PASS THE AMENDMENT
THANK YOU
THANK YOU
KENDRA
CLERK HART, YES? OUR FINAL SPEAKER SIGNED UP TO SPEAK TODAY AS NEIL ANDERSON
HI
HI, NEIL
WE CAN HEAR YOU
OKAY
THANKS
SO FIRST, I WANTED TO START BY THANKING YOU FOR STARTING THE MEETING BY TALKING ABOUT THE FINDINGS OF YESTERDAY'S IPCC REPORT
AS A REPORT SAYS WE ESSENTIALLY RUN OUT OF TIME TO STAY BELOW 1.5 DEGREES, WHICH IS A DANGEROUS THRESHOLD WHERE WE START CROSSING TIPPING POINTS THAT WE WON'T BE ABLE TO RECOVER FROM
AS A RESULT, THIS VERSION OF THE REPORT OFFERED A NEW RECOMMENDATION SAYING THAT BECAUSE WE'VE WAITED TOO LONG TO START ACTING, WE NOW NEED TO URGENTLY REDUCE SHORT LIVED GREENHOUSE GASES IN ORDER TO BUY MORE TIME
THIS IS SO IMPORTANT THAT THE REPORT DEVOTES AN ENTIRE CHAPTER TO EXPLAINING HOW CRITICAL IT IS AND WHICH GASES WE NEED TO FOCUS ON
ONE OF THE MOST IMPORTANT OF THE USERS, BLACK CARBON, WHICH IS OVER 1,000 TIMES AS POWERFUL AS CARBON DIOXIDE
AND IT'S EVEN WORSE IN THE ARCTIC BECAUSE IT LANDS ON ICE AND CHANGES THE ALBEDO, CAUSING THE MELTING TO ACCELERATE, ACCORDING TO A REPORT BY THE INTERNATIONAL COUNCIL ON CLEAN TRANSPORTATION
CRUISE SHIP SUBMIT AN AVERAGE OF 10 TONS OF BLACK CARBON PER SHIP THREE TIMES AS MUCH AS THE AVERAGE CONTAINER SHIP
AND OF COURSE, CRUISE SHIPS LEAVING FROM SEATTLE WILL SPEND A LOT OF THEIR TIME ALONGSIDE GLACIERS, WHICH IS THE WORST POSSIBLE PLACE THEY COULD BE
WE'RE IN THE GLOBAL EMERGENCY AND RACING AGAINST TIME TO SOLVE A VERY DIFFICULT PROBLEM, THOUGH
COMING UP ON THE ENERGY STORAGE SOLUTIONS TO INTEGRATE RENEWABLES AND THE GRID WILL BE HARD
FINDING NEW BUILDING MATERIALS THAT DON'T USE CARBON BASED FEEDSTOCK WILL BE HARD GENERATING PROCESS HEAT FOR INDUSTRIAL MANUFACTURING WILL BE HARD
BUT YOU KNOW, IT WOULDN'T BE HARD STOPPING CARBON EMISSIONS FROM CRUISE SHIPS
UNLIKE BASIC ELECTRICITY AND REFRIGERATION, THIS IS A LUXURY THAT WE CAN DO WITHOUT
AND AT A TIME WHEN WE'RE FACING AN EXISTENTIAL CRISIS THAT WILL CAUSE IMMENSE SUFFERING WITHIN OUR LIFETIME AND EVEN MORE DURING OUR CHILDREN IS CRIMINALLY IRRESPONSIBLE TO WELCOME CLIMATE WRECKING CRUISE SHIPS BACK TO SEATTLE JUST BECAUSE WE HOPE THEIR PASSENGERS WILL SEND SOME OF THEIR MONEY IN OUR LOCAL SHOPS AND THEIR WAY THROUGH
THE HEAD OF THE UN HAS CALLED THIS CODE RED FOR HUMANITY AND IT'S WITHIN YOUR POWER TO TAKE A MEANINGFUL STEP AND JUST IN THE IMPACT, PLEASE DO THE RIGHT THING AND LET THE CRUISE INDUSTRY KNOW THAT OUR PORT WON'T BE COMPLETED AND WORSENING THE CRISIS
THANK YOU
THANK YOU VERY MUCH, NEAL
AND THAT CONCLUDES THE PUBLIC COMMENTS
UNLESS THERE IS ANY LAST MINUTE SIGNUPS AND CLERK HART, COULD YOU SUMMARIZE ANY WRITTEN COMMENTS? WE HAVE? CERTAINLY
I JUST WANT TO CALL FOR ANYONE WHO HASN'T SIGNED UP IF THEY WOULD LIKE TO SPEAK
IF THERE'S ANYONE ON THE LINE
OKAY
THANK YOU
THEN WE'LL GO AHEAD AND MOVE TO SUMMARIZING THE WRITTEN COMMENTS
LET ME GO AHEAD AND TAKE DOWN THE TIMER HERE
SO GOOD AFTERNOON, MR COMMISSION PRESIDENT, MR EXECUTIVE DIRECTOR AND MEMBERS OF THE COMMISSION
WE HAVE RECEIVED FIVE WRITTEN COMMENTS SUBMITTED FOR TODAY'S MEETING TO MEETING
THESE INVOLVE AN EMAIL TO YOU IN ADVANCE OF THE MEETING AND WILL BECOME A PART OF THE PUBLIC RECORD
ANY CORRESPONDENCE RECEIVED DURING THIS MEETING WILL BE DISTRIBUTED TO YOU POST MEETING AND WILL ALSO BE INCLUDED AS PART OF THE MEETING RECORD
OUR FIRST COMMENT COMES FROM ERNEST THOMPSON OF NORMANDY PARK CITY COUNCIL
HE WRITES TO SAY THAT IT WOULD BE GOOD TO SEE THE LANDSCAPE MASTER PLAN, DOCUMENT WHAT PERCENTAGES OF PLANTS ARE TRUE NATIVE PLANT SPECIES, AND RECOMMENDS THE WASHINGTON NATIVE PLANT SOCIETIES LIST AS AN AUTHORITY
ALEXA A SUBMITTED WRITTEN COMMENTS AS A REGISTERED NURSE AND SPOKE REGARDING HER HEALTH AND ENVIRONMENTAL CONCERNS RELATED TO THE RETURN OF CRUISE SHIPS TO THE PORT
SHE STATES THAT THE PORT MUST PUT A HALT TO THE RETURN OF CRUISING IN SEATTLE AND STOP ANY PLANS FOR PORT EXPANSION FOR THE BENEFIT OF OUR CLIMATE, ENVIRONMENT AND CITIZENS
LAURA GIBBINS SPEAKS TO THE STUDY OF 46 US AIRPORTS AND SURROUNDING SCHOOLS, INCLUDING FIVE BEACON HILL SCHOOLS
FOUND AIRPORT NOISE WAS ASSOCIATED WITH LOWER READING AND MATH SCORES
SHE REFERENCES ANOTHER REPORT RELATED TO HEALTH EFFECTS CAUSED BY NOISE EXPOSURE AND REFERENCES A SUMMARY FROM THE KING COUNTY DEPARTMENT OF HEALTH REGARDING THE IMPACT OF NOISE POLLUTION FOR CARDIOVASCULAR DISEASE, SLEEP DISTURBANCES AND SCHOOL PERFORMANCE
SEAN HUTCHENS WRITES TO ASK THE COMMISSION TO DISCUSS AND SHARE PLANS FOR CREATING MULTI STORY PARKING AND SHIFTING SEA AND THE COMMUNITY AWAY FROM GROUND LEVEL SURFACE ONLY PARKING LOTS
AND FINALLY, JORDAN VAN BOST SUBMITTED WRITTEN COMMENTS AND SUPPORT OF HIS SPOKEN COMMENTS TODAY, AND THAT INCLUDES THE WRITTEN TESTIMONY THAT WE RECEIVED FOR THIS MEETING
THANK YOU VERY MUCH
CLERK HART, HEARING NO FURTHER PUBLIC TEST MONEY
WE NOW MOVE TO THE CONSENT AGENDA
THE CONSENT AGENDA ARE CONSIDERED ROUTINE AND WILL BE ADOPTED BY ONE MOTION
ITEMS REMOVED FROM THE CONSENT AGENDA WILL BE CONSIDERED SEPARATELY IMMEDIATELY AFTER ADOPTION OF THE REMAINING CONSENT AGENDA ITEMS WE'VE HEARD OF NO ITEMS TO BE PULLED TODAY
AT THIS TIME, THE SHARE WILL ENTERTAIN A MOTION TO APPROVE THE CONSENT AGENDA COVERING ITEMS EIGHT A THROUGH EIGHT K
SO MOVED
IS THERE A SECOND? SECOND
THE MOTIONS BEEN MOVED AND SECONDED, COMMISSIONERS, PLEASE SAY YES OR NO WHEN YOUR NAME IS CALLED BEGINNING WITH COMMISSIONER BOWMAN
AYE
THANK YOU, COMMISSIONER CALKIN
AYE
THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, .COMMISSIONER STEINBRUECK YES
THANK YOU, COMMISSIONER FELLEMAN, HI
THANK YOU
THERE ARE FIVE YESSES AND ZERO NOS FOR THIS ITEM
THEN THE MOTION PASSES
OKAY
WE ARE NOW MOVING ON TO ITEM 11 PRESENTATIONS AND STAFF REPORTS
THIS IS THE ITEM WE MOVED AT THE BEGINNING OF THE MEETING
CLERK HART, PLEASE READ THE FIRST ITEM INTO THE RECORD
EXECUTIVE DIRECTOR WILL THEN INTRODUCE THE ITEM
THANK YOU
THIS IS AGENDA ITEM 11 A, THE QUARTER 2 2021 FINANCIAL PERFORMANCE BRIEFING, COMMISSIONERS, THE PORT SECOND QUARTER PERFORMANCE STILL SHOWS THE EFFECTS OF COVID 19 PANDEMIC UPON OUR BUSINESSES
ALTHOUGH AIRPORT PASSENGER VOLUMES ARE REBOUNDING, IT IS STILL LOWER THAN 2019 LEVELS OVERALL
PRUDENT, BUDGETING AND CAREFUL COST MANAGEMENT HAS POSITIONED AS WELL, BUT THERE'S STILL MUCH UNCERTAINTY DUE THE EMERGENT DUE TO THE EMERGING COVID 19 VARIANTS
WE'LL CONTINUE TO CLOSELY MONITOR THE SITUATION AND CHANGING BUSINESS CONDITIONS
TODAY'S PRESENTATION WILL INCLUDE A PRESENTATION ON THE FINANCIAL PERFORMANCE FROM EACH DIVISION
THE PRESENTERS ARE DAN THOMAS, CHIEF FINANCIAL OFFICER
ORGAN ANDERSON, DIRECTOR, AVIATION FINANCE AND BUDGET
KELLY ZUPON, DIRECTOR, MARITIME FINANCE
AND MICHAEL TONG, DIRECTOR, CORPORATE BUDGET FINANCE
SO I'LL TURN IT OVER TO DAN
DAN, THANK YOU, STEVE
GOOD AFTERNOON, COMMISSIONERS
CAN WE GET THE PRESENTATION UP ON THE SCREEN, PLEASE? I THINK YOU GO TO THE FIRST SLIDE
SO JUST BY WAY OF A QUICK OVERVIEW, STEVE MADE A FEW OF THESE POINTS
AGAIN, THE ACTIONS WE'VE TAKEN OVER THE PAST TWO YEARS HAVE WELL POSITIONED US AS WE'RE GOING INTO 2021
AND ALSO AS WE'RE PREPARING FOR 2022 DUE TO OUR CAREFUL COST MANAGEMENT AT THE AIRPORT, THERE ARE SOME BRIGHT SIGNS
OUR PASSENGER FORECAST ACTUALLY HAS BEEN UPDATED AND IMPROVED SINCE THE BUDGET
AND AS YOU WILL KNOW, SEVERAL ROUNDS OF FEDERAL RELIEF FUNDS HAVE DONE A LOT TO HELP SHOW UP
THE AVIATION DIVISION FINANCIAL POSITION HAS ENABLED US TO PROVIDE A RATE RELIEF TO OUR AIRLINE AND OTHER TENANTS AND ALSO ENABLED US TO SHOW UP OUR FUND BALANCES
AND WE'RE VERY PLEASED TO SEE THE RESTART OF THE CRUISE SEASON
WE ARE EXPECTING 83 SAILINGS THIS SEASON
CURRENTLY, WE'RE FORECASTING THAT THOSE WILL BE ABOUT 50% OCCUPANCY, BUT WE WILL BE MONITORING THAT TO SEE WHAT THOSE TRENDS ARE
WE'RE HOPING OVER TIME WE MIGHT SEE INCREASED OCCUPANCY COMPARED TO THE CURRENT FORECAST
AT THIS POINT, LOOKING TO YEAR END, WE ARE FORECASTING THAT OUR EXPENSES AND REVENUES WILL BE CLOSELY ALIGNED WITH THE BUDGET
AVIATION IS EXPERIENCING SOME COST PRESSURE, YOU'LL HEAR A LITTLE BIT MORE, LARGELY DUE TO THE SNOW EVENT THAT THEY EXPERIENCED EARLY IN THE YEAR, HAS DRIVEN UP SOME OF THE EXPENSES, BUT THEY'RE WORKING TO MANAGE THAT
AND AGAIN, AS STEVE MENTIONED, WE'RE STILL FACING A FAIR AMOUNT OF UNCERTAINTY DUE TO THE COVID VARIANCE
SO WE RECOGNIZE THAT IT'S A VERY DYNAMIC ENVIRONMENT AND WILL BE POSITIONED TO MAKE CHANGES IF NEEDED
HOPEFULLY WE WON'T
AND THEN FINALLY, AS YOU KNOW, THE COMMISSION HAS STEPPED UP AND HAS DONE A LOT TO SUPPORT INVESTMENTS THAT ARE IN THAT RED ECONOMIC RECOVERY
SO WITH THAT, I'LL THROW IT OVER TO GORDON
I WALK THROUGH THE AVIATION SECTION
I THANK YOU, DAN
LET'S GO INTO THE NEXT SLIDE, PLEASE
LIKE TO START WITH AN OVERVIEW OF HOW OUR PASSENGER ACTIVITY IS COMPARING TO 2019 ON A MONTH BY MONTH BASIS
AND AS YOU CAN SEE THROUGH THE FIRST HALF OF THE YEAR, THE RECOVERY HAS BEEN PROGRESSING VERY SMOOTHLY, AND BY THE END OF THE YEAR, WE ANTICIPATE BEING DOWN 26% COMPARED TO 2019
IT WAS IN MID JULY THAT WE UPDATED OUR FORECAST WE PREVIOUSLY HAD BEEN TAKING
WE WERE GOING TO BE CLOSER TO THE DOWN
SO IF WE ACHIEVE THIS AND WE ACKNOWLEDGE THERE'S STILL QUITE A BIT OF RISK, THE DELTA AREAS, WHICH STEVE DISCUSSED AT THE OUTSET OF THE MEETING, IS CERTAINLY A CONCERN
BUT IF WE ACHIEVE THIS, WE WOULD REALIZE 90% GROWTH COMPARED TO 2020 AND AS I SAID EARLIER, BE DOWN 26% COMPARED TO 2019
NEXT SLIDE, PLEASE
AS I DISCUSSED AT THE FIRST QUARTER BRIEFING, THE FEDERAL RELIEF PROGRAMS HAVE MADE A CRITICAL DIFFERENCE TO THE AIRPORT IN 2021 AS THEY DID IN 2020
AND WHEN WE PUT TOGETHER THE BUDGET, WE WERE ONLY AWARE OF THE CARE PROGRAM THE FIRST ONE
AND SINCE THAT TIME WE'VE HAD TWO ADDITIONAL FEDERAL RELIEF PROGRAMS, THE CRRSAA AND THE ARPA
SO WE NOW HAVE A LOT MORE FLEXIBILITY TO ADDRESS FINANCIAL ISSUES THAN WE DID AT THE OUTSET OF THE YEAR
BUT JUST AS A REMINDER TO EVERYONE, WHEN WE USE FEDERAL RELIEF GRANTS TO PAY AERONAUTICAL COSTS, WE DON'T INCLUDE THOSE COSTS IN THE RATE BASE
AND SO OUR REVENUES, WHICH ARE LARGELY DRIVEN BY COST RECOVERY GO DOWN
SO THE VERY FIRST LINE ITEM, WHICH SHOWS A BIG NEGATIVE VARIANCE FOR AERONAUTICAL REVENUES
THAT'S ACTUALLY GOOD NEWS BECAUSE WE'RE PASSING ON SOME OF THE BENEFITS OF THE FEDERAL RELIEF GRANTS TO THE AIRLINES THROUGH LOWER COSTS
AND AS THE BULLET POINT ON THE RIGHT DOWN NEAR THE BOTTOM SHOWS, BECAUSE OF THIS, WE ACTUALLY IMPLEMENTED A MID YEAR RATE REDUCTION FOR THE AIRLINES
WE REDUCED RATES BEGINNING JULY ONE AS A WAY OF MANAGING THE YEAR END SETTLEMENT
ON THE NON AERONAUTICAL SIDE, WE'RE ACTUALLY DOING SLIGHTLY BETTER THAN BUDGET, IN SPITE OF THE NEGATIVE NUMBER HERE
AND AGAIN, THAT HAS TO DO WITH THE FACT THAT THE SECOND AND THIRD FEDERAL RELIEF PROGRAMS INCLUDED DOLLARS THAT WERE DESIGNATED FOR CONCESSIONNAIRES
AND SO WE USED THE GRANT MONEY TO RELIEVE THE TENANTS OF PAYING SOME OF THEIR RENTS
AND SO THAT'S WHY WE RECOGNIZED THAT PIECE AS NON OPERATING REVENUE
DOWN BELOW, YOU CAN SEE THE 26.7 MILLION IN THE FORECAST COLUMN, BUT CONSEQUENTLY, THE NON AIRLINE REVENUES THAT WE COLLECT FROM OUR TENANTS IS LOWER
BUT OVERALL, THIS IS STILL A GOOD SITUATION
AND YOU COMBINE THE TWO, AND WE HAVE A POSITIVE NOY IN SPITE OF THE FACT THAT, AS DAN INDICATED, WE ARE FORECASTING TO BE SLIGHTLY OVER BUDGET
ON THE COST SIDE, THE BOTTOM HALF OF THE SLIDE SHOWS SOME OF OUR KEY INDICATORS, AND MOST NOTABLY, THE AIRLINE COST PER EMPLOYMENT OR CPE, BECAUSE OF THE FEDERAL GRANTS
AND THE INCREASED PASSENGERS IS DOWN SIGNIFICANTLY COMPARED TO BUDGET AND OUR DEBT SERVICE COVERAGE BECAUSE WE'RE USING A LOT OF THE FEDERAL GRANTS TO PAY THE DEBT SERVICE, THAT IS ALSO MUCH STRONGER THAN WE HAD ANTICIPATED AT THE BUDGET TIME
AND FINALLY, THE GRANTS AND WE'RE APPLYING THEM IS ALLOWING US TO BUILD UP OUR CASH BALANCE, WHICH WAS ONE OF OUR KEY GOALS FOR 2021
AND CAPITAL SPENDING IS RUNNING RIGHT ABOUT TO BE THE FORECASTED SPENDING IS AT 93% OF THE BUDGET
SO THAT'S DOING EXTREMELY WELL
LET'S GO TO THE NEXT SLIDE, PLEASE
ALL RIGHT
THIS LOOKS AT OUR COSTS ON A YEAR TO DATE BASIS, AND WE ARE FAVORABLE THROUGH THE FIRST HALF OF THE YEAR
BUT IT'S THE FORECAST WE'RE KEEPING OUR EYE ON, AND THAT'S WHERE WE ANTICIPATE SOME CHALLENGES
BUT YOU CAN SEE HERE THROUGH MID YEAR, MOST OF OUR SAVINGS ARE THE OUTSIDE SERVICES, AND THAT'S WHERE WE HAVE THE GREATEST ABILITY TO CATCH UP
AND THAT'S WHAT TYPICALLY HAPPENS
AND THAT'S WHY OUR FORECAST IS INDICATING THAT WE WILL BE OVER BUDGET
SO LET'S MOVE ON TO THE NEXT SLIDE, PLEASE
IT IS DAN HAD INDICATED WE ARE EXPECTING TO BE SLIGHTLY OVER BUDGET, AND YOU CAN SEE THE BREAKOUT BY SOME OF THE KEY AREAS
WE'RE GOING TO BE PRETTY MUCH RIGHT ON FOR PAYROLL OUTSIDE SERVICES WE EXPECT TO BE ABOVE, AND THAT'S REALLY WHAT'S DRIVING IT
THERE'S AN AWFUL LOT OF DIFFERENT THINGS GOING ON
BUT DAN INDICATED THE SNOW EVENT, WHICH COSTS A LITTLE OVER 2,000,000 DOLLARS IN THE FIRST QUARTER
IN EFFECT, WE'RE STILL TRYING TO CATCH UP ON THAT ONE
AND THE FINAL BULLET POINT THERE
WE HAVE BEEN LOOKING TO HAVE SOME FTES THAT WERE FROZEN APPROVED THIS YEAR
THE COST OF THOSE ARE NOT IN THE BUDGET
IN MOST CASES, THEY'RE ADDRESSING KEY INITIATIVES THAT WE WILL BE WANTING TO MOVE FORWARD ON IN OUR 2022 BUDGET
AND SO WE'RE LOOKING TO HAVE THESE POSITIONS HIRED NEAR THE END OF THIS YEAR TO FACILITATE THAT
SO THE COST FOR 2021 IS RELATIVELY MINOR, BUT WE'RE ATTEMPTING TO ABSORB THOSE AS WELL
AND THAT'S SOMETHING WE WILL BE TRACKING FOR THE REMAINDER OF THE YEAR
NEXT SLIDE, PLEASE
NEXT SLIDE, PLEASE
OKAY
LOOKING AT THE AERONAUTICAL REVENUES AND THE APPLICATION OF GRANTS, AS I INDICATED BEFORE, AS COST RECOVERY
WHAT WE'RE DOING BY WHEN WE PAY THE DEBT SERVICE, THE DEBT SERVICE AND THE RIGHT BASE GOES DOWN
SO YOU SEE, THE BLACK BOX ON THE RIGHT IS MUCH SMALLER THAN ON THE LEFT
AND THE SAME THING WITH ONM, WE'RE APPLYING SOME OF THE GRANT MONEY TO ONM COST, AND THAT IS REDUCING THE OVERALL COST THAT WE RECOVER FROM THE AIRLINES
NEXT SLIDE, PLEASE
ALL RIGHT
THE PURPOSE OF THIS SLIDE IS JUST TO SHOW THE DISTRIBUTION BY COST CENTER BY MAJOR COST CENTER
SO WE'RE APPLYING GRANTS ACROSS THE MOVEMENT AREA, THE APRON AREA, THE TERMINAL, AND THE FEDERAL INSPECTION SERVICES AREA, WHICH IS FOR INTERNATIONAL ARRIVALS
NEXT SLIDE, AS I INDICATED BEFORE, THE NON AERONAUTICAL REVENUES, WE JUST HAVE TO REMIND OURSELVES THAT THE STATED REVENUES ARE LOWER THAN THE OTHERWISE WOULD BE BECAUSE OF THE FEDERAL RELIEF GRANT
SO AS I INDICATED, WE'RE ACTUALLY FORECASTING TO BE AT 193,000,000
IF YOU COMBINE THE TWO, EVEN THOUGH THE REPORTED AMOUNT IS 166,000,000, THE DETAIL SLIDES THAT WE GO INTO NEXT WILL BE FOCUSED ON THE 193,000,000 SO WE CAN SHOW A TRUE REPRESENTATION OF HOW THE BUSINESSES ARE DOING
THAT'S FINE
PLEASE
MR COMMISSION PRESIDENT
MR ANDERSON, BEFORE YOU GO ON, WE DO HAVE COMMISSIONER BOWMAN WITH HER HAND UP
YES, PLEASE GO AHEAD
I'M SORRY, COMMISSIONER PRESIDENT, YOU'RE MUTED
I'M SORRY
I WAS WRESTLING PAPERS
COMMISSIONER BOWMAN, SORRY I MISSED YOU
PLEASE ASK YOUR QUESTION
THANK YOU
THANK YOU
MORGAN, COULD YOU REMIND US FOR THE TENANT RELIEF, GO BACK TO THE PREVIOUS SLIDE? SORRY, COMMISSIONER ACCIDENTALLY MUTED YOU
THAT'S OKAY
I'LL TRY AGAIN
THANK YOU
COULD YOU REMIND US WHAT THE TOTAL AMOUNT OF RELIEF WAS GIVEN TO THE CONCESSIONNAIRES? SO THE TOTAL AMOUNT WILL INCLUDE IT HASN'T ALL BEEN GIVEN
SO WE'VE GOT 5.3 MILLION FROM THE CRRSAA A PACKAGE AND 21.5 OR THE ARPU, SO THAT WILL TURN OUT TO BE 26.8 MILLION IN TOTAL
AND IT'S SOME OF THE WORK IS STILL BEING DONE IN THE PORT
GRANTS WERE SO LATE IN COMING, AND I UNDERSTAND THAT WILL ACTUALLY HAPPEN IN OCTOBER
OKAY
I'M SORRY
LET ME ASK A QUESTION IN A DIFFERENT WAY
I APOLOGIZE
NOW
I CAN READ THAT AND ADD THAT MONEY UP
WHAT IS THE TOTAL AMOUNT THAT IS DUE TO THE PORT FROM CONCESSIONAIRES? WE GAVE THEM RENT REALLY DEFERRED RIGHT ON THE FERRY
SO THE AMOUNT OF RENT RELIEF THAT IS OUTSTANDING
YOU'RE RIGHT
I DID INCLUDE A SLIDE ON THAT IN THE FIRST QUARTER, AND I DON'T HAVE IT HERE
I HAVE TO FOLLOW UP AND GIVE THAT TO YOU
FOR THE MOST PART, IT'S NOT BEING PRESENTED BECAUSE IT'S ACTUALLY GOING REALLY WELL
WE DON'T HAVE ANY CONCERNS AT THIS POINT WITH THE COLLECTIONS
OTHERS ARE PRETTY MINOR ONES
AND SOME OF THE CONCESSION AREAS WERE ON A MULTI YEAR REPAYMENT PLAN AND THE REPAYMENTS ARE OCCURRING
SO DIDN'T PRESENT IT THIS TIME BECAUSE IT DIDN'T SEEM TO BE A BIG ISSUE TO HIGHLIGHT
BUT I CAN CERTAINLY UPDATE THAT AND SEND IT TO YOU
THANKS
I'D APPRECIATE IT
I GUESS WHERE I'M GOING WITH THIS IS THAT IF WE ARE PROVIDING 26,000,000 DOLLARS IN RELIEF, WHICH ESSENTIALLY JUST IS MONEY THAT THE PORT IS GOING TO GET FOR RENT THAT WE HAVEN'T GOTTEN YET, WE'RE KEEPING OUR OWN MONEY, BUT THEN WE'RE ALSO KEEPING 75,000,000 DOLLARS IN RESERVE
SO I WANT TO UNDERSTAND HOW MUCH MORE IS OUTSTANDING FROM THE CONCESSIONAIRE, WHAT'S THE DELTA BETWEEN THAT
SO THANK YOU FOR PROVIDING THAT LATER
OKAY
THAT MAKES SENSE
I THINK SO
JUST TO BE CLEAR, THOUGH, THIS 26,000,000 IS DESIGNATED AS PART OF RELIEF PACKAGES TO ONLY GO TO CONCESSIONNAIRES
AND THAT'S DIFFERENT FROM THE OTHER GRANT MONEY, WHICH REALLY COMES TO THE AIRPORT
AND WE GET TO CHOOSE HOW WE USE IT
WE HAVE NO CHOICES ABOUT THIS MONEY
ONCE WE COME UP WITH A PROGRAM FOR HOW IT GETS ALLOCATED BY TENANT, THEN THAT AS LONG AS THE TENANTS FULFILL THE ELIGIBILITY REQUIREMENTS, THEY WILL GET THEIR SHARE THE REST OF THE FEDERAL RELIEF
WE GET TO CHOOSE HOW WE USE IT BETWEEN DEBT SERVICE, ONM
AND WE ALSO GET TO CHOOSE WHEN WE USE IT, WHICH IS HOW MUCH HOW MUCH WE USE THIS YEAR VERSUS FOR FUTURE YEARS
THAT'S HELPFUL
NO, I'M WELL AWARE OF THAT
THANK YOU
BUT MY QUESTION WAS ABOUT THE 75,000,000 IN RESERVE, AND SO I JUST WANT TO UNDERSTAND WHAT THE DELTA IS REMAINING FOR THE DEFERRED RENTS FROM THE TENANTS
BUT AGAIN, YOU CAN GET ME THAT OFFLINE
THANK YOU
OKAY
NEXT SLIDE, PLEASE
SO
WELL, LET'S GO BACK ONE, PLEASE
SORRY
SO THIS SHOWS THE NON AERONAUTICAL BUSINESSES
AND AS I SAID BEFORE, OVERALL, WE'RE ANTICIPATING TO BE SLIGHTLY ABOVE FORECAST, AND MOST OF THAT IS DUE TO THE INCREASED PASSENGER LEVELS
BUT INSIDE THAT IF WE LOOK AT THE BUSINESS UNITS, THERE'S SOME DIFFERENT THINGS GOING ON
AND WHAT WE SEE FROM THE GREEN LINE, WHICH IS THE FORECAST COMPARED TO THE BLUE LINE, WHICH IS THE BUDGET
PUBLIC PARKING IS AGAIN DOING ONE OF OUR RELATIVELY STRONGER PERFORMANCE, AND THAT JUST REFLECTS THE CHOICE OF PASSENGERS RIGHT NOW TO DRIVE
IF WHO ARE DRIVING TO THE AIRPORT, THEY WOULD RATHER PARK AND CHOOSE OTHER MODES
RENTAL CARS IS ALSO ABOVE BUDGET, BUT IT'S REALLY DUE TO A PHENOMENON OF A SHORTAGE OF AUTOMOBILES AND THEREFORE MUCH HIGHER PRICING FROM THE RENTAL CARS AS OPPOSED TO HIGHERS ACTIVITY
BUT WE'RE BENEFITING BECAUSE WE GET A PERCENTAGE OF THEIR RENT AND THEIR RENT IS QUITE A BIT HIGHER
THE OTHER AREAS ARE ACTUALLY POINTING IN THE OTHER DIRECTION
GROUND TRANSPORTATION HAS NOT RECOVERED THE LEVELS THAT WE HAD EXPECTED
TAXIS, TNCS THEY'RE ALL A LITTLE BIT DOWN
DINING AND RETAIL IS STILL COMING IN LOWER THAN EXPECTED
AND AS YOU PROBABLY READ IN THE PAPER EARLIER THIS WEEK, THERE HAVE BEEN STAFFING SHORTAGES AND THAT HAS CHALLENGED MANY OF THE CONCESSIONAIRES
SO IN TERMS OF BRINGING THEIR BUSINESS BACK AND IN THE OTHER CATEGORY, WE'RE SEEING THAT THE INFLIGHT MEALS AND OUR OWN LOUNGES JUST ARE BEING IMPACTED BY THE LOWER INTERNATIONAL TRAFFIC IN PARTICULAR
NEXT SLIDE, PLEASE
AND THIS IS JUST A LOT OF NUMBERS HERE, BUT THE KEY IS WE'RE USING THE GRANT MONIES IN WAYS WHICH IS REALLY HELPING OUR DEBT SERVICE COVERAGE
AND THAT'S WHY WE'RE GOING TO BE WELL WELL ABOVE WHERE WE NEED TO BE
I'LL SHOW IN A SUBSEQUENT SLIDE THAT WE WILL HAVE SOME FLEXIBILITY TO MAKE SOME DECISIONS STILL TO MOVE SOME GRANT MONEY AROUND ONE WAY OR THE OTHER
IF WE FIND OURSELVES, IF THINGS TAKE A TURN FOR THE WORSE, WE COULD CONCEIVABLY EXCEL SOME OF THE GRANT MONEY BACK INTO 2021
IF WE HAVE A STRONG FINISH TO THE YEAR, WE COULD ACTUALLY MOVE SOME OF THAT MONEY INTO 2022 TO GIVE US SOME FLEXIBILITY TO MANAGE AIRLINE RATES NEXT YEAR
LET'S GO TO THE NEXT SLIDE, PLEASE
ALRIGHT, LOOKING AT OUR CAPITAL SPENDING, AS I SAID EARLIER, WE'RE PROJECTING TO BE ABOUT 93% OF BUDGET WHICH BY HISTORICAL STANDANDS WOULD BE EXCELLENT
WE'VE BROKEN OUT SOME OF THE BIG BLOCKS OF SPENDING AND YOU CAN SEE THE NORTH SATELLITE IS ACTUALLY EXPECTED TO BE DOWN
MY UNDERSTANDING IS THAT THIS LIKELY DOES REPRESENT SOME SAVINGS ON THE IDF
THIS IS PURELY A TIMING DIFFERENCE
THIS DOES NOT REPRESENT SAVINGS AND THE BAGGAGE OPTIMIZATION OR CHECK BAG HERE
THIS REFLECTS SOME ACCELERATION OF SOME SCOPE ON A LONG TERM PROJECT, SO THAT'S REALLY A TIMING ISSUE THERE AND EVERYTHING ELSE IS REASONABLY CLOSE
SO OTHER THAN THE NORTH SATELLITE, MIA AND BAGGAGE OPTIMIZATION, YOU COULD SAY WE'RE PRETTY MUCH IN LINE HERE
NEXT SLIDE, PLEASE
ALRIGHT, SO THIS IS A LOT OF BUSY NUMBERS HERE
APOLOGIZE, BUT WANTED TO GIVE YOU A VIEW OF THE FEDERAL RELIEF THAT WE USED LAST YEAR AND WHAT WE'RE PLANNING TO USE THIS YEAR AND THEN THE 75,000,000 THAT WE'RE RESERVING FOR NEXT YEAR AND HOW THAT LOOKS
AND YOU CAN SEE THAT THE CONCESSIONS PIECE GOING TO COMMISSIONER BOWMAN QUESTION
WE DO FULLY EXPECT TO USE THAT THIS YEAR
THE TIMING OF IT HAS BEEN SLIGHTLY DELAYED, BUT WE STILL THINK WE CAN ACCOMPLISH THAT THIS YEAR
BUT THE 75,000,000 WOULD BE WHAT'S LEFT OF THE ARPA MONEY THAT WE WOULD BE WITHHOLDING TO NEXT YEAR ON THE RIGHT
YOU CAN JUST SEE HOW WE'RE DEPLOYING THE GRANT MONEY BY COST CENTER AND THE CONCESSIONS PIECE DOWN AT THE BOTTOM IS THAT PORTION OF THOSE GRANTS THAT ARE A LITTLE DIFFERENT AND THEY'RE SPECIFICALLY DESIGNATED FOR THE CONCESSIONNAIRES
NEXT SLIDE PLEASE
AND I TALKED EARLIER ABOUT THE IMPORTANCE OF BUILDING OUR CASH BALANCE OR AIRPORT DEVELOPMENT FUND, ADF
AND WE'RE ACTUALLY ONE OF OUR LOW POINTS OF THE YEAR RIGHT ABOUT NOW
AND AS WE START CLAIMING MORE OF THE GRANT MONEY AND WE SEE A STRONGER FINISH TO THE YEAR WITH MORE NON A NAUTICAL REVENUES AND AIRLINE REVENUES WILL BE BUILDING OUR CASH BALANCE BACK UP
AND WE EXPECT TO FINISH THE YEAR WELL ABOVE THE 12 MONTH ON TARGET, WHICH WOULD HAVE BEEN ABOUT 340,000,000 DOLLARS
SO WE APPEAR TO BE IN GOOD SHAPE HERE
NEXT SLIDE PLEASE
AND FINALLY, JUST A QUICK OVERVIEW OF THE 2021 BOND ISSUE THAT CLOSED ON JUNE 30 TH
IT WAS BOTH THE REFUNDING AS WELL AS A NEW MONEY ISSUE, AND IT WENT WELL
WE REALIZED SOME NET PRESENT VALUE SAVINGS AND WE REALIZED SOME PRETTY LOW INTEREST RATES OVERALL A REALLY IMPORTANT SUCCESS FOR THE PORT AS A WHOLE
NEXT SLIDE PLEASE
NOW I'LL TURN IT OVER TO KELLY
GREAT
THANKS, MORGAN
GOOD AFTERNOON
COMMISSIONERS AND EXECUTIVE DIRECTOR METRUCK
I WILL NOW WALK YOU THROUGH THE SEAPORT OPERATING DIVISIONS, MANAGING DIRECTORS STEPHANIE JONES STEBBANS AND DAVE MCFADDEN WITH US AS WELL AND MAY INTERJECT ALONG THE WAY
THIS SLIDE IS A ROLL UP OF THE ENTIRE SEAPORT
THE KEY TAKEAWAY HERE IS THAT WE ARE FORECASTING OPERATING INCOME TO END THE YEAR JUST OVER 2,000,000 DOLLARS FAVORABLE TO BUDGET
CRUISE AND GREEN REVENUE ARE LOOKING TO BE FAVORABLE TO BUDGET, WITH CONFERENCE AND EVENTS IN OUR REVENUE APPEARING TO TAKE A LITTLE LONGER RECOVERING FROM THE PANDEMIC YEAR TO DATE
REVENUES ARE PRIMARILY IMPACTED BY TIMING OF CRUISE REVENUES, WHICH WILL GO OVER IN THE COMING SLOTS
THE NEXT SLIDE PLEASE
NEXT SLIDE AS WELL
THANKS
NOW WE'LL DISCUSS THE MARITIME DIVISION
MARITIME OPERATING INCOME IS FORECAST ABOUT 2.6 MILLION DOLLARS FAVORABLE TO BUDGET WITH POTENTIAL UPSIDE AS WE SEE INCREASES IN RECREATIONAL BOATING DEMAND
SO I THINK AND ALSO WE'RE SEEING SOME INCREASED NUMBERS AND CRUISE PASSENGERS AS WELL
WE'VE RECENTLY COMMENCED THE CRUISE SEASON WITH 83 CALLS GET SCHEDULED, GENERATING REVENUES EXPECTED HIGHER THAN BUDGET
THE GRAIN TERMINAL CONTINUES TO OVER PERFORM, AND WE'VE COMPLETED AND MADE STRONG PROGRESS IN SEVERAL PROJECTS, INCLUDING SIPA REVIEW PROCESS AT PIER 66, SHORT POWER, THE TERMINAL 46 STORMWATER TREATMENT AND DOCK REHAB CONSTRUCTION
TERMINAL 30 BULKHEAD STABILIZATION
AND WE'RE GETTING CLOSE TO COMPLETION AT THE TERMINAL 117 RESTORATION WITH PLANNING, IRRIGATION, OBSERVATION PLATFORM AND GRIP WALL
NEXT SLIDE PLEASE
WITH THE RESTART OF CRUISE
WE WANTED TO SHOW YOU WHAT WE ARE FORECASTING AND HOW IT COMPARES TO OUR LAST FULL YEAR
YOU CAN SEE WE ARE PHASING SAILINGS IN OVER FOUR MONTHS WITH OCTOBER HAVING TWICE AS MANY AS SCHEDULED IN 2019
WE ORIGINALLY ESTIMATED ABOUT 50% OCCUPANCY, WHICH YOU SEE HERE IN THE 2021 ESTIMATED PASSENGERS, BUT ABOUT A DAY OR TWO AGO WE GOT THE ACTUAL ACTIVITY FOR THE FIRST SEVERAL SAILINGS, AND IT'S LOOKING CLOSER TO THAT 60 TO 70% MARK
NEXT SLIDE, PLEASE
HERE WE SHOW THAT YEAR TO EIGHT FINANCIALS
AS MENTIONED PREVIOUSLY, THE REVENUE VARIANCE TO BUDGET IS DRIVEN BY REVENUE RECOGNITION OF THE NCL LEASE
BASICALLY, WE BUDGET REVENUE TO OCCUR MONTH EVENLY ACROSS THE MONTH, BUT IT ACTUALLY OCCURS TYPICALLY IN THE THIRD QUARTER WHEN WE INVOICE THE CUSTOMER
ALSO, WE BUDGETED PASSENGER REVENUE BASED ON HISTORIC FACING
BUT AS YOU SAW IN THE PREVIOUS SLIDE, MOST OF THAT REVENUE IS GOING TO COME IN IN THE SECOND HALF, BUT WE ARE EXPECTING A HIGHER YEAR OVER YEAR REVENUE AND NOI IS FAVORABLE DUE TO INCREASED GRAIN VOLUMES
A COUPLE ITEMS TO NOTE ON THE FAVORABLE EXPENSE VARIANCE
FIRST, WE CHANGE THE ALLOCATION METHODOLOGY AND MAINTENANCE, WHICH MOVES SOME COSTS FROM MARITIME TO ECONOMIC DEVELOPMENT
AND SECOND, WE ARE READING UTILITY METERS FOR THE FIRST TIME IN ABOUT A YEAR, SO THERE WILL BE SOME VARIANCES IN QUARTER THREE
AS WE TRUE UP WHAT WE ARE ESTIMATES, CAPITAL SPENDING IS PICKING UP AND EXPECTED TO END THE YEAR AT ABOUT 83% OF BUDGET
MORGAN, CAN I HAVE A QUESTION FOR YOU? SO DID ANY OF THE CRUISE LINES CLAIM, YOU KNOW, INABILITY TO PAY OR, YOU KNOW, FORCE MAJEURE? IN 2021 THEY ARE PAYING BY PASSENGERS
AND OF COURSE, THERE IS A LEASE PAYMENT FOR NCL WHICH WILL ALSO BE DUE
SO THE WE HAVE IN TERMS OF PASSENGER ANNUAL GUARANTEES, THOSE WILL NOT BE MET, SO OUR PASSENGER ANNUAL GUARANTEES WILL NOT BE MET ISSUE
IS THERE ANY PENALTIES ASSOCIATED WITH THAT? I BELIEVE THAT IS ACTUALLY FOR MEASURE, BUT I WILL FOLLOW UP WITH YOU, COMMISSIONER
OKAY
I KNOW WE ALWAYS HAVE THAT ISSUE WITH THE CONTAINER VESSELS THAT, YOU KNOW, THERE IS A PENALTY, BUT WHEN THERE'S A REAL PROBLEM, THEN THERE'S A QUESTION ABOUT HOW MUCH OF THE PENALTY YOU CAN GET BACK
BUT WE USUALLY COLLECT SOMETHING AS WE HAVE COLLECTED OUR LEASE PAYMENTS, COMMISSIONER, AND WE ARE COLLECTING OUR PASSENGER FEES
EXCELLENT
THANK YOU
NEXT SLIDE, PLEASE
OKAY
HERE
YOU SEE THE STORM WATER UTILITY THAT IS TRACKING FAVORABLE TO BUDGET
YOU WILL BE BRIEF NEXT MONTH ABOUT THE RATE STRUCTURE AND SOME OTHER ITEMS AS WELL, SO I MAY DEFER THAT
ANY QUESTIONS TO THAT TEAM? MAYBE NEXT MONTH? THE NEXT SLIDE, PLEASE
HERE IS A HIGH LEVEL SUMMARY OF THE PORT ALLIANCE YEAR TO DATE PERFORMANCE
CARGO VOLUMES ARE UP SIGNIFICANTLY FROM THE FIRST HALF OF 2020
HOWEVER, THIS INCREASED REVENUE IS OFFSET BY THE RESTRUCTURING OF THE APL AGREEMENT OPERATING EXPENSES, YEAR TO DATE OR BELOW BUDGET
THERE IS SOME TIMING VARIANCE, SO WE EXPECT THAT GAP TO CLOSE IN THE SECOND HALF A LITTLE BIT
NEXT SLIDE, PLEASE
THIS REFLECTS THE FULLY BURDEN IMPACT OF THE JOINT VENTURE WITH THE NORTHWEST SEA PORT ALLIANCE
YOU SEE, JUST OVER 1.1 MILLION OF FAVORABLE DISTRIBUTABLE INCOME IS OFFSET BY 620,000 DOLLARS ENVIRONMENTAL RESERVE TIED TO CONTAMINATION DISCOVERED DURING THE TERMINAL FIVE CRANE RAIL WORK
NEXT SLIDE, PLEASE
NOW WE'LL MOVE ON TO THIS
OKAY
SURE
I JUST WANTED TO TAKE A LOOK AT IN TERMS OF ALL THE MARITIME DIVISIONS, THE JOINT VENTURE
THIS IS THE HIGHEST SOURCE OF REVENUE, ISN'T IT? YES, IT'S THE HIGHEST SOURCE
THE WAY IT COMES ACROSS IS WE ACTUALLY GET THE NET INCOME SHOWS UP
AS YOU LOOK AT THIS SLIDE, YOU SEE JOINT VENTURE REVENUE
THAT'S ACTUALLY OUR SPLIT OF THE YEAR TO DATE
NET INCOME MINUS
THERE'S A COUPLE OF ADDITIONAL ENTRIES IN THERE, BUT IT'S THE CASH DISTRIBUTION THAT WE GET FROM THEM
YES, IT'S FROM OPERATING INCOME STANDPOINT, DEFINITELY THE HIGHEST OF ALL THE GROUPS
SO I'M JUST THINKING, LIKE, WE JUST DECIDE AN OPERATING AGREEMENT WITH THE ALLIANCE WITH REGARDS TO THE CBP BUILDING, AND THERE ARE OTHER OPPORTUNITIES POTENTIALLY, LIKE FOR ADD TO OWN OR OPERATE IS A WAREHOUSE, A NEAR DC WAREHOUSE FOR USE BY THE ALLIANCE
SO I'M JUST WANTING JUST FROM AN ACCOUNTING PERSPECTIVE
SO THE THE ALLIANCE WILL BENEFIT FROM THE REVENUE, WHICH WILL GET HALF OF, BUT THE EXPENSE OF THAT WILL SHOW UP IS JUST THE PORT OF SEATTLE, BUT IT WON'T SHOW UP ON THE IT WON'T SHOW UP AS A PART OF THE JOINT VENTURE
NO, WE TYPICALLY WILL CHARGE IF IT'S PART OF
SO YOU'VE GOT TWO DIFFERENT SETUPS
YOU HAVE ANYTHING THAT THE ALLIANCE GETS AND SPLIT 50 50 WITH US
ANY ASSOCIATED COSTS WE WILL TYPICALLY CHARGE TO THE ALLIANCE AS WELL
NOW, THERE ARE SOME OF THE COSTS THAT YOU SEE BELOW ON THIS SLIDE, THE EXPENSES DOWN BELOW
THESE ARE THESE ARE COSTS ASSOCIATED WITH BOTH, SOME AT THE PLACE WE'RE LEASING AT TERMINAL 46, BUT ALSO A LOT OF ENVIRONMENTAL COSTS THAT AREN'T ELIGIBLE TO CHARGE TO THE ALLIANCE PER OUR CHARTER, BUT THEY ARE COSTS ASSOCIATED WITH THOSE PROPERTIES IN THERE AS WELL
AN EXAMPLE WOULD BE COSTS ASSOCIATED WITH SOME OF THE TRAINING ON THE CRANES THAT WE PURCHASED AS WELL
OKAY
I JUST DON'T WANT TO PLUG THIS
SO THESE ARE ALL HOME PORT EXPENSES THAT WE INCUR THAT WE DON'T SHARE, AND THAT'S ALWAYS A TUG OF WAR
WHAT'S HOME PORT OR WHAT'S NOT? BUT THESE ARE STRAIGHT UP HOME PORT EXPENSES
SO WHAT I'M THINKING OF IS A PROPERTY THAT GENERATES REVENUE, BUT IT'S JUST A PORT OF SEATTLE ASSET, BUT IT'S GENERATING REVENUE TOWARDS ALLIANCE OPERATIONS
SO, I MEAN, SO WE WOULD SO WE WOULD BE LEASING THE PROPERTY OR SOMETHING, LIKE TO THE ALLIANCE, OR I'M JUST WONDERING, HOW WOULD THAT SHOW UP IF WE WERE TO WOULD IT JUST BE LIKE THE EDD DIVISION ISSUES, OR IS THERE A WAY TO ACTUALLY REFLECT ANY OFF SITE INVESTMENTS THAT WE MAKE THAT DIRECTLY BENEFIT ALLIANCE OPERATIONS? INSIGHT ON THAT, JUST IN TERMS OF BECAUSE I WANT TO MAKE IT CLEAR THAT THERE'S GREAT WAYS IN WHICH THE PORT CAN BENEFIT DIRECTLY FROM THE ALLIANCE, BUT SEPARATE FROM THE ALLIANCE
WELL, I THINK WE'RE IN A BIT OF UNCHARTED WATERS
I WOULD SPECULATE IF WE BOUGHT A PIECE OF PROPERTY AND IT WAS FOR THE ALLIANCES USE, WE PROBABLY LICENSE IT OR LEASE IT IN SOME WAY TO THEM, AND THAT WOULD THEN WASH THROUGH
BUT IT WOULD BE A HOME IMPORTANT RESPONSIBILITY, IN MY VIEW, TO PURCHASE OR REQUIRE CONTROL THE PROPERTY, BUT WE WOULDN'T JUST PUT IT INTO THE MIX FOR THE ALLIANCE WITH NO CONSIDERATION IS MY POINT
I WAS TRYING TO SEE HOW IT WOULD SHOW UP ON THE SPREADSHEET
IT WOULD BE REVENUE THAT WE WOULD GARNER FROM THE ALLIANCE
THAT WOULD BE, I DON'T KNOW
THAT WOULD THEN BE SPLIT WITH THE TACOMA IF WE BOUGHT THE PROPERTY
ANYWAY, IT'S A LITTLE THEORETICAL AND MAYBE UNCHARTED PROPERTY, BUT WE JUST HAD THAT CONVERSATION IN THE RETREAT WHERE IT SEEMS LIKE SINCE WE HAVE THE HOME PORT REAL ESTATE IN OUR BACKYARD, WE SHOULD BE EXPLORING OPPORTUNITIES LIKE THIS
I JUST WANT TO KNOW IF THIS IS AS LUCRATIVE PATH FORWARD IS
IT JUST APPEARS TO ME AND DAN, DID YOU HAVE SOMETHING TO WEIGH IN ON HERE? YEAH, I WAS JUST GOING TO ADD COMMISSIONER, I THINK IS DAVE ALLUDED TO SOME OF THIS IS UNCHARTED WATERS
I THINK IT'S GOING TO DEPEND ON THE SPECIFIC TYPE OF A TRANSACTION, WHETHER IT WAS THE PURCHASE OF A NEW PROPERTY VERSUS LEASING OF AN EXISTING PROPERTY
I THINK THE DEFAULT ON AN EXISTING PROPERTY, THE REVENUE WOULD PROBABLY GO TO THAT BUSINESS UNIT, FOR EXAMPLE, IF IT'S COMMERCIAL REAL ESTATE, IT WOULD PROBABLY GO TO THE PORTFOLIO MANAGEMENT
SO I DON'T THINK WE HAVE ALL THE ANSWERS TO THESE BECAUSE THIS IS KIND OF NEW AND DIFFERENT
SO WE'LL PROBABLY HAVE TO LOOK AT EACH OF THESE TYPES OF TRANSACTIONS AS THEY COME ALONG AND TRY TO FIGURE OUT THE BEST ACCOUNTING TREATMENT
YEAH, WELL, I GUESS I WOULD JUST LIKE TO LOOK TO YOU GUYS TO SEE WHAT IS THE BEST WAY FOR US TO STRUCTURE IT FOR OUR BENEFIT AND TELL US HOW THAT MIGHT BE ABLE TO BE DONE IN A WAY THAT WE CAN HAVE THAT JOINT BENEFIT, BUT LEVERAGING OUR RESOURCES ANYWAY
OKAY
THANK YOU
THANKS, MR FELLEMAN NOW WE'LL MOVE ON TO THE ECONOMIC DEVELOPMENT VISION
EXCELLENT REVENUES ARE FORECASTED ABOUT 1.3 MILLION BELOW BUDGET AT THE CONFERENCE AND EVENT CENTER IN BELL STREET GARAGE
ON A GOOD NOTE, WE DID GET ENOUGH TRAFFIC FOR THE FIRST MONTH OF CONCESSION REVENUE OR BASICALLY VARIABLE REVENUE AT THE GARAGE, AND WE'RE HOPING TO SEE THAT TREND CONTINUE THROUGH THE BACK HALF OF THE YEAR
ON THE OPERATING EXPENSE SIDE, WE ANTICIPATE SAVINGS AND VARIABLE CONFERENCE CENTER EXPENSES AND DEFERRING ABOUT 300,000 DOLLARS OF WASHINGTON TOURISM ALLIANCE SPEND TO EARLY 2022
MAINTENANCE IS EXPECTED TO BE UNFAVORABLE DUE TO THE ALLOCATION THAT I MENTIONED EARLIER, AND SEVERAL HIGHLIGHTS FOR THE QUARTER INCLUDE EXECUTION OF THE TERMINAL 106 GROUND LEADS CONTINUED PROGRESS ON RENT DEFERRAL PROGRAM WITH SIX ADDITIONAL TENANTS PAID OFF, LEAVING 13 LEFT IN THE PROGRAM
AND ALSO THERE WAS SIGNIFICANT GROWTH AND PROPORTIONS OF BOTH WMBE AND SMALL BUSINESS SPEND IN THE QUARTER
NEXT SLIDE PLEASE
HERE WE CAN SEE YEAR TO DATE, NET INCOME IS ABOUT 380,000 UNFAVORABLE THE BUDGET AND 269,000 LOWER THAN 2020
MOST OF THIS IS DRIVEN BY COVID 19 IMPACTS OF THE CONFERENCE CENTERS AND BELL STREET GARAGE
CAPITAL SPEND IS FORECASTED AT 71% OF BUDGET WITH MUCH OF THAT VARIANCE DUE TO THE EXPENSE PORTION OF THE BELL HARBOR MODERNIZATION PROJECT ADDED TO THE BUDGET
YET IT WAS ACTUALLY APPLIED AS AN EXPENSE AT THE END OF 2020 AND THAT CONCLUDES THE SEAPORT SIDE, IF ANY QUESTIONS OTHERWISE
BYE
I'LL HAND IT UP TO MICHAEL
THANK YOU, KELLY
GOOD AFTERNOON
NEXT SLIDE PLEASE
FOR CENTRAL SERVICES, WE ARE FORECASTING A 1,900,000 FAVORABLE BUDGET VARIANCE ON OPERATING REVENUES DUE TO UNBUDGETED FOR FEATURES REVENUE FROM THE POLICE DEPARTMENT
ON THE EXPENSE SIDE, EVEN THOUGH WE EXPECT MOST CENTRAL SERVICES DEPARTMENTS WILL COME IN BELOW BUDGET THIS YEAR, WE ARE FORECASTING A 1,200,000 UNFAVORABLE BUDGET VARIANCE MAINLY DUE TO THREE REASONS
FIRST, WE ADD A BUDGETED 2,000,000 TO THE EM4 CARS UP TO YOUR APPROVAL OF THE ADDITIONAL OPPORTUNITY OF INITIATIVE SPENDING IN MAY
THE SECOND BUSINESS THAT STILL TO SOME OF THE BUDGETED OUTSIDE LEGAL EXPENSES
AND THE THIRD REASON IS THAT WE HAVE LOWER CHARGES TO CAPITAL PROJECTS THAN BUDGETED IN BOTH ENGINEERING AND PCS
SO ON THE RIGHT HAND SIDE IS A SEVERAL BUSINESS HIGHLIGHT
YOU CAN FIND MORE IN THE WRITTEN REPORT IN YOUR PACKAGE
I WILL TALK ABOUT THE 2,000,000 OPPORTUNITY YOU IN THE SHIP, SOME OF YOU AND THE PORT LEADERS JOIN WASHINGTON STATE LEADERS IN THE CLIMATE BILL SIGNING, WHICH INCLUDE GREENFIELD STANDARD
IT'S ALSO WORTH TO NOTE THAT THE PORT PARTICIPATED IN THE CONSTRUCTION TRADE OUTREACH EVENTS TO ENCOURAGE MORE PARTICIPATION OF WOMEN AND PEOPLE OF COLOR IN CONSTRUCTIONS APPRENTICESHIP PROGRAMS NEXT SLIDE PLEASE
THE YEAR TO THE FINANCIAL NUMBERS ARE QUITE GOOD FOR CENTRAL SERVICES COMPARED TO THE BUDGET, TOTAL OPERATING REVENUES ARE 1.9 MILLION HIGHER THAN THE BUDGET AND 355,000 HIGHER THAN THE SAME PERIOD LAST YEAR
TOTAL OPERATING EXPENSES OF 3.1 MILLION FAVORABLE TO THE BUDGET AND 385,000 LESS THAN LAST YEAR
THE 3,100,000 FAVOR BUDGET VARIANCE IN TOTAL OPERATING EXPENSES IS DUE TO DELAY IN CONSCIOUS SPENDING AND HIRING
THE FAVORABLE BUDGET AREAS IS POSSIBLY OFFSET BY SOME UNBUDGETED OUTSIDE LEGAL SERVICES AND LOWER CHARGE TO CAPITAL PROJECTS
NEXT SLIDE PLEASE
SO THESE ARE THE ESSENTIAL SERVICE NUMBERS
NOW LET'S MOVE TO PORT WIDE FINANCIAL
NEXT SLIDE PLEASE
FOR THE FIRST HALF THE YEAR, TOTAL OPTING REVENUES, 46,000,000 UNFAVORABLE TO THE BUDGET AND 10 10,000,000 LOWER THAN 2020 TOTAL OPERATING EXPENSES, 30,000,000 FAVORABLE TO THE BUDGET AND 2,000,000 LOWER THAN 2020 DUE TO LOWER PAYROLL COSTS
AS A REMINDER, WE HAVE FROZEN AND ELIMINATED A TOTAL 167 FT IN THE 2021 BUDGET
SO THE SIGNIFICANT BUDGET SAVING THERE
ALSO THAT THIS QUESTION WERE SPENDING IS ALSO LOWER THAN LAST YEAR DUE TO ALL THE BUDGET REDUCTION EFFORT THAT WE PUT INTO THE 2021 BUDGET LAST YEAR
NET OPERATING INCOME BE 40 [inaudible 01:26:58] 33,000,000 UNFAVORABLE TO THE BUDGET AND 8,300,000 LOWER THAN LAST YEAR
NEXT SLIDE, PLEASE
SO FOR THE FULL YEAR BEFORE COSTING THE TOTAL OPERATING REVENUES TO BE 170,000,000 UNFAVORABLE TO THE BUDGET, BUT 62,000,000 HIGHER THAN LAST YEAR
AGAIN, IT'S IMPORTANT TO NOTE THAT THE FEDERAL WE LIVE HELP OFFSET 107,000,000 OF OUR NAUTICAL REVENUE FOR 2021
AS BORGAN POINTED OUT ONLY EARLIER ON THE EXPRESSES SIDE, WE ARE FORECASTING 1,900,000 UNFAVORABLE VARIANCE TO THE BUDGET AND THEN ALSO 16,000,000 HIGHER THAN LAST YEAR
IT'S IMPORTANT TO NOTE THAT THE PORT ALSO GET 17.2 MILLION STATE PENSION CREDIT LAST YEAR
SO IF WE ADJUST FOR THE 17.2 PENSION STATE PENSION CREDIT, THE OPERATING EXPENSES FORECAST WOULD HAVE BEEN 600,000 LOWER THAN LAST YEAR
NEXT SLIDE, PLEASE
LAST BUT NOT LEAST IS THE PORTWIDE CAPITAL SPENDING SUMMARY
THE TOTAL CAPITAL SPENDING WAS 212,000,000 FOR THE FIRST HALF OF THE YEAR
FOR THE FULL YEAR, WE EXPECT TO SPEND A TOTAL OF OVER 495,000,000, WHICH IS 92% OF THE BUDGET THIS YEAR
THAT CONCLUDE OUR PRESENTATION
I LIKE TO NOTE THAT THERE ARE MORE SLIDES IN APPENDIX AND THAT WILL PROVIDE MORE INFORMATION TO YOU
AND ALSO YOU CAN FIND MORE INFORMATION FROM THE WRITTEN REPORT IN YOUR PACKAGE
SO WITH THAT, WE'LL BE HAPPY TO ANSWER ANY FURTHER QUESTIONS THAT YOU MIGHT HAVE
THANK YOU
YOU'RE ON MUTE
MR COMMISSION PRESIDENT
APOLOGIES
AND LET ME KNOW WHEN YOU WANT ME TO CALL ROLL REQUEST, PLEASE
COULD YOU? THE VERY FULL PRESENTATION
QUITE SUCCINCT FOR HOW MUCH INFORMATION YOU PROVIDED
SO THANK YOU VERY MUCH
SO CLERK HART, CAN YOU JUST GO AROUND THE ROOM ONCE WILL BE BEGINNING WITH COMMISSIONER BOWMAN FOR QUESTIONS
NO QUESTIONS AT THE MOMENT
THANK YOU
THANK YOU, COMMISSIONER CALKINS
NONE FOR ME EITHER
THANK YOU, COMMISSIONER CHO
I'M GOOD TOO
THANKS, MICHAEL
MR STEINBRUECK, LET ME OPEN HER UP THERE
YEAH, THIS IS REALLY MORE A CRYSTAL BALL QUESTION THAT I DON'T EXPECT ANYBODY TO HAVE A REAL ANSWER FOR
THERE IS A HISTORY OF CYCLICAL NATIONAL RECESSIONS
LAST YEAR WAS AN ANOMALY
OBVIOUSLY IT WAS AN INDUCED RECESSION PERIOD, IF YOU WILL
AND THE ECONOMY SEEMS TO BE CLIMBING OUT OF IT IN MANY AREAS, BUT NOT AT ALL
WHAT DO OUR ECONOMIC FORECASTERS SEE IN THE FUTURE? AS FAR AS THE POTENTIAL RETURN TO A RECESSIONARY CYCLE, IT CAN'T ALL BE ROSY FOREVER
OKAY, WELL, I CAN PERHAPS TAKE A STAB WITH THAT
OBVIOUSLY NO CRYSTAL BALL IS PERFECT
AT LEAST FROM WHAT I CAN SEE RIGHT NOW, NO ONE IS PROJECTING AN IMMINENT RECESSION
I THINK WE'RE STILL EXPECTED TO REMAIN IN RECOVERY
OBVIOUSLY, A LOT HAS
TYPICALLY RECESSIONS ARE CAUSED BY EITHER SOME SIGNIFICANT EXTERNAL SHOCKS LIKE OIL PRICES OR IMBALANCES THAT BUILD UP WITHIN THE ECONOMY, HIGH INTEREST RATES AND THE FED'S ACTIONS TO RATHER HIGH INFLATION AND THE FEDERAL RESERVE ACTIONS TO REDUCE INFLATION BY RAISING INTEREST RATES
SOMETIMES THEY OVERREACH RAISE INTEREST RATES TOO HIGH, AND THAT CAN TRIGGER RECESSION
SO THERE'S MULTIPLE FACTORS
SO I THINK IT'S FAIR TO SAY THERE WILL BE A RECESSION IN THE FUTURE
THE QUESTION IS WHEN
BUT AS FAR AS I CAN SEE, I DON'T BELIEVE ANYONE IS FORECASTING ONE IN THE NEAR TERM, ABSENT SOME SIGNIFICANT SHOCK, THERE'S NO REAL INDICATION OF ANY COMING RECESSION IN THE TREND LINE
IS IT THE OPPOSITE? ARE WE STILL LIKE IN THIS ROBUST RECOVERY? I KNOW CERTAINLY DEMAND IS WAY UP FOR CONSUMER GOODS AND OTHER THINGS
BUT WHAT ABOUT THE IMPACT OF INFLATION WHICH SEEMS TO BE RISING NOW? WELL, AND CLEARLY THAT'S A CONCERN, AND THE RECENT INFLATION NUMBERS HAVE BEEN EXTREMELY HIGH
THERE IS ALSO SOME CONSENSUS WITHIN ECONOMISTS THAT SPIKE IS SOMEWHAT TEMPORARY DRIVEN BY SUPPLY IMBALANCES AS WE'VE GONE INTO THE RECOVERY SHORTAGES, THE MOST RECENT NUMBERS, THE CPI INFLATION, A LARGE CHUNK OF THAT WAS ACTUALLY USED CAR PRICES MADE UP A LARGE PORTION OF THAT RECENT SPIKE IN THE CPI
SO I THINK MOST ECONOMISTS EXPECT THAT CPI WILL MODERATE SOMEWHAT
IT WON'T STAY QUITE AS HIGH AS IT'S BEEN LATELY, BUT THEY PROBABLY WILL REMAIN SOMEWHAT ELEVATED COMPARED TO THE RECENT PAST
OKAY
THANK YOU, DAN
THANK YOU, COMMISSIONER STEINBRUECK, MOVING TO COMMISSIONER FELLEMAN QUESTION
DAN, YOU ARE SO BOLD TO SUGGEST THAT THERE MIGHT BE A RECESSION IN THE FUTURE, A MISTAKE THAT WAS A REAL TOUGH FORECAST THERE
SO THANK YOU FOR YOUR INSIGHTS ON THAT
I JUST WANT TO JUST REITERATE MY DESIRE FOR US TO LOOK A LITTLE STRATEGICALLY ABOUT HOW THE PORT CAN REALLY LEVERAGE OUR POSITION WITH REGARDS TO OUR OPERATIONS IN THE CONTAINER BUSINESS
AND IT JUST SEEMS LIKE WITH T-5 COMING ONLINE AND THE DEMAND BEING HIGHER THAN EVER RIGHT NOW, IT JUST SEEMS LIKE THERE'S A HUGE POTENTIAL TO LEVERAGE OUR REAL ESTATE POSITION WITH THAT OF THE DEMANDS FOR PLACES TO PUT CANS
AND SO ANYWAY, THAT'S THE PRIMARY DESIRE US TO SEE IF WE CAN COME UP WITH SOME STRATEGIC PLAN IN THAT REGARD
HAVING SAID THAT, I BELIEVE WE HAVE GOTTEN THROUGH THE LARGEST PRESENTATION OF THE DAY AND WE CAN MOVE FORWARD
UNLESS IS ANYTHING YOU'D LIKE TO CONCLUDE WITH EXECUTIVE METRUCK? NO, I THINK I APPRECIATE THOSE QUESTIONS
AND LOOKING FORWARD, OF COURSE, WE HAVE NO PERFECT CRYSTAL BALL
BUT DAN OUTLINED, YOU KNOW, AT LEAST WE SEE THE DEMAND INCREASING, BUT WE DON'T KNOW THERE'S UNCERTAINTY RELATED TO THE IMPACT AND OTHER MEASURES THAT WERE IN PLACE WITH THE COVID
AND THEN ARE THOSE GOING COMING BACK WITH THE DELTA VARIANT AND OTHER RESPONSES? SO STILL WE SEE THOSE THE DEMAND IS DEFINITELY THERE
THE QUESTION IS, WILL THERE BE OTHER MEASURES THAT IMPACT THOSE GOING FORWARD? ANYWAY, THANKS FOR THOSE QUESTIONS
AND THANKS FOR THE PRESENTATION FROM THE STAFF ON THAT
THANK YOU
ALL RIGHT
SO NOW MOVING ON IN THE AGENDA, WE HAVE FOUR NEW BUSINESS ITEMS TODAY
CLERK HART, PLEASE READ THE NEXT ITEM INTO THE RECORD AND THEN WE'LL HEAR FROM EXECUTIVE METRUCK TO INTRODUCE THEM
THANK YOU, MR COMMISSION PRESIDENT
THIS IS AGENDA ITEM 10
A INTRODUCTION OF RESOLUTION NUMBER 3-7-9-1 AMENDING RESOLUTION NUMBER 3-7-7-0, WHICH ADOPTED THE CHARTERS OF THE COMMISSION STANDING COMMITTEES BY FURTHER AMENDING THE ENERGY AND SUSTAINABILITY COMMITTEE CHARTER TO CHANGE THE NAME OF THE COMMITTEE TO THE SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE COMMISSIONERS
RENAMING THE ENERGY AND SUSTAINABILITY COMMITTEE TO THE SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE MORE ACCURATELY REFLECTS THE COMMITTEE SCOPE OF WORK AND WHERE OUR PRIORITIES LIES IN ORGANIZATION
COMMISSION SPECIALIST ERICA CHUNG WILL BRIEFLY DISCUSS THE RECOMMENDATION OF THE COMMITTEE
OKAY
THANK YOU
EXECUTIVE DIRECTOR METRUCK
GOOD AFTERNOON, PRESIDENT FELLEMAN
AND COMMISSIONERS
MY NAME IS ERICA CHUNG, COMMISSION SPECIALIST FOR THE COMMISSION OFFICE
THE RESOLUTION BEFORE YOU IS BROUGHT TO YOU AT THE RECOMMENDATION OF THE ENERGY AND SUSTAINABILITY COMMITTEE, WHICH MET ON JULY 20TH 2021
THE COMMITTEE IS RECOMMENDING CHANGED THE NAME TO SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE COMMITTEE TO MORE FULLY REFLECT THE BREADTH OF THE WORK UNDER THE PURVIEW OF THE COMMITTEE
MEMBERS OF THE COMMITTEE ARE ALSO PRESENT TODAY AND CAN SPEAK FURTHER TO THE RECOMMENDATION
THANK YOU
AND THAT CONCLUDES MY PRESENTATION
THANK YOU
I WOULD EITHER COMMISSIONER STEINBRUECK OR BOWMAN OR BOTH LIKE TO SAY SOMETHING? SURE
WOULD I HAVE A FEW REMARKS TO SHARE WITH COMMISSIONERS AND MEMBERS OF THE PUBLIC WATCHING ON A FIRST SAY, AS PRESIDENT FELLEMAN MENTIONED IN HIS OPENING REMARKS REFERENCING YESTERDAY'S UNITED NATIONS IN YOUR GOVERNMENTAL PANEL ON CLIMATE CHANGE, WHICH RELEASED A REPORT IN CLIMATE CHANGE, A CODE RED FOR HUMANITY
AND IT INDEED IS SO AS A PORT, INCREASING PORT ACTIVITIES WORLDWIDE IN THE TRANSPORTATION SECTOR PRIMARILY COME WITH AN ENVIRONMENTAL BURDEN THAT NEEDS TO BE MITIGATED THROUGH A MORE SUSTAINABLE AND EFFICIENT OPERATIONAL MODEL
WE ARE THE CONNECTING NODES OF GLOBAL TRADE AROUND THE WORLD, AND THE WORLD CANNOT MOVE TOWARD GREATER SUSTAINABILITY WITHOUT THE PORTS
THE TWO GO HAND IN HAND
SO AS WE HEAR AS WE DID TODAY FROM MANY MEMBERS OF THE PUBLIC AND ADVOCATES URGING GREATER EFFORTS BE MADE TOWARDS CLIMATE PROTECTION SPECIFIC TO REDUCING GREENHOUSE GASES, WE ARE REFLECTIVE ABOUT THAT ALL THE TIME, AND WE ARE FOREVER TRYING TO WORK HARDER AND TO DO BETTER
BUT IT'S NOT A SIMPLE SOLUTION OF JUST TRYING TO CURTAIL FLIGHTS AT SEATAC OR HALTING SHIPS COMING TO AND FROM PORTS OF ASIA AND OTHER FAR FETCHED COUNTRIES
THAT IS SIMPLY NOT A TENABLE ANSWER AT THIS TIME
THE PORT ACCOMMODATES THE DEMAND THAT THE PUBLIC PLACES ON TRANSPORTATION SYSTEMS AS THEY BUY MORE AND FLY MORE, AND YOU CAN'T SIMPLY FLICK THE SWITCH AND TURN THAT OFF
BUT WE CANNOT DO MUCH MORE AND ACCELERATE OUR EFFORTS
AND I KNOW THAT THERE IS GROWING INTEREST ON THE PORT OF POOR COMMISSIONERS TO DO JUST THAT
SO WITH THAT SAID, THE BEST RESPONSE IS TO MOVE AHEAD AND MOVE MORE QUICKLY, BUT WITH AN ABSOLUTE COMMITMENT TO MEETING OUR GOALS TO BE THE CLEANEST AND GREENEST PORT IN NORTH AMERICA
AND I THINK WE'RE WORKING HARDEST AT DOING JUST THAT
MUCH OF THIS WORK HAS BEGUN
WE CAME CLOSE TO ACHIEVING OUR GREENHOUSE GAS REDUCTION TARGETS, AND AS WE MOVE AHEAD AND ACHIEVE ONE MILESTONE, WE MAKE ANOTHER TO CONTINUE TO MOTIVATE OURSELVES
TO GO FURTHER
WE'VE MADE SIGNIFICANT INVESTMENTS IN CLEANER ENERGY, AND THIS IS NOT TOKEN, AND IT IS CERTAINLY NOT GREEN WASHING
WE ARE TRANSITIONING OUR INFRASTRUCTURE AND FACILITIES TO BE GREENER AND TO USE CLEAN ENERGIES
WE'VE PRESSURED OUR TENANTS AT THE AIRPORT AND SEAPORT TO DO THE SAME AND TO DO MORE
WE WILL USE OUR INFLUENCE WORLDWIDE IN THE ORGANIZATIONS INVOLVED IN AREAS OF CLIMATE PROTECTION IN PARTICULAR AND SHIPPING AND AVIATION
SO TODAY IT IS WITH MY PLEASURE THAT THE ENERGY AND SUSTAINABILITY COMMITTEE, WHICH HAS FUNCTIONED EXTREMELY WELL IN THE PRECEDING YEARS AND HAS KEPT A STEADY HAND ON A TILLER TOWARD BECOMING MORE SUSTAINABLE AND GREENER
WE RECOMMEND ALONG MY COLLEAGUE, PORT COMMISSIONER STEPHANIE BOWMAN, AND I, CO-CHAIR THAT THE COMMITTEE NAME CHANGED TO SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE TO BETTER DESCRIBE AS OUR EXECUTIVE DIRECTOR, SAID THE BROAD REACH OF EFFORTS THAT ARE BEING UNDERTAKEN ACROSS ALL DIVISIONS AT THE PORT
IT MAY SEEM LIKE JUST A NAME CHANGE, BUT IT IS BACKED BY VERY REAL INITIATIVES, AS I'VE MENTIONED, DIRECTED AT CLIMATE PROTECTION, GREENHOUSE GAS REDUCTION, SUSTAINABILITY AND ENVIRONMENTAL REMEDIATION
WE ARE INDEED IN A CODE RED CRISIS GLOBALLY, ACCORDING TO THE IPCC
SO ADDING CLIMATE GIVES ADDITIONAL EMPHASIS FOR WHAT WE ARE ALREADY COMMITTED TO DOING AND TO DO MORE AND TO BRING A GREATER SENSE OF URGENCY TO THOSE EFFORTS
WE CAN DO IT
WE'LL CONTINUE TO MOVE THE NEEDLE
I'M COMMITTED TO ADVANCING MEANINGFUL CHANGE, AS I KNOW MY COLLEAGUES ON THE COMMISSION AND STAFF ARE THE PORT OF SEATTLE, AND OUR STAFF ARE LEADING THE WAY IN MANY AREAS AND THERE IS MUCH MORE TO DO
SO WITH THAT, ENOUGH SAID, I'LL HEAD IT OFF TO COMMISSIONER BOWMAN
THANK YOU
I WILL BE VERY BRIEF
WE NEED TO DO MORE AND WE NEED TO DO IT SOONER IS COMMISSIONER STEINBRUECK SAID, THIS IS A COMMITTEE NAME CHANGE
I DON'T THINK WE NEED TO DISCUSS THAT TOO MUCH MORE, BUT I DO THINK WE NEED TO SEND THE MESSAGE I SENT HELP SEND THE MESSAGE THAT THIS COMMISSION IS ABSOLUTELY COMMITTED TO CARBON REDUCTION, CARBON SEQUESTRATION AND ENERGY EFFICIENCY THROUGHOUT EVERY SINGLE PORT OF SEATTLE OPERATION
AND I BELIEVE THAT OUR STAFF IS WITH US AND PERHAPS WE NEED TO BE PROVIDING MORE GUIDANCE WITH THAT, AND THIS COMMISSION INTENDS TO DO SO
SO I HOPE THAT OUR COLLEAGUES CAN SUPPORT THE SMALL CHANGE AND LET'S GET ON BOARD
THANK YOU
THANK YOU
COMMISSIONER STEINBRUECK AND BOWMAN, MR COMMISSION PRESIDENT, WOULD YOU LIKE ME TO CALL FOR OTHER QUESTIONS, PLEASE
THANK YOU
WE'LL GO TO COMMISSIONER CALKINS
NO, I'M SUPPORTIVE OF THE NAME CHANGE
I THINK IT'S A GOOD IDEA
I THINK WE NEED TO MAKE SURE THAT THE ACRONYM IS PRONOUNCED ORALLY TO THE WAY WE USE THAT ACCIDENT IN OTHER PLACES IN THE PORT
SO I WOULD ENCOURAGE US TO SAY SEAC BECAUSE THE AIRPORT IS SEA, BUT THAT'S A MINOR THING
THANKS FOR YOUR EFFORT ON THE COMMISSIONERS BOWMAN AND STEINBRUECK
THANK YOU
COMMISSIONER CALKINS MOVING TO COMMISSIONER CHO
YEAH
JUST A QUICK QUESTION FOR MY COLLEAGUES, I GUESS, WAS THE WAS THE POINT TO NARROW THE FOCUS OF THE COMMITTEE OR SPECIFY OR TO BROADEN IT? BECAUSE, IN MY VIEW, SUSTAINABILITY, ENVIRONMENT AND CLIMATE ARE KIND OF REDUNDANT
SO I'D LIKE SOME CLARITY IN TERMS OF AND WE'VE TAKEN OUT ENERGY
THE SUSTAINABILITY GOES WELL BEYOND CLIMATE PROTECTION
IT'S HOW WE LIVE, IT'S HOW WE USE MATERIALS, IT'S AVOIDING WASTE AND MANY OTHER THINGS
AND ENVIRONMENTAL REMEDIATION CERTAINLY SUPPORTS CLIMATE PROTECTION, TREE PLANNING, HABITAT RESTORATION, WATER QUALITY, ADDRESSING OCEAN ACIDIFICATION
I DON'T SEE IT AS REDUNDANT AT ALL
AND I SEE IT AS BEING MORE INCLUSIVE AND LESS NARROWLY DEFINED BY SIMPLY SUSTAINABILITY AND ENERGY
ENERGY
WHAT'S THAT? IT COULD BE ANY KIND OF ENERGY
MAYBE WE'RE LOOKING TO PRODUCE MORE FOSSIL FUELS, SOMEBODY MIGHT THINK, AND EXPANDING OUR ENERGY PORTFOLIO
SO FOR ME, IT NEEDED BETTER DEFINITION AND SPECIFICITY
BUT ALSO IT IS INDEED A RECOGNITION OF HOW BROADLY THE PORT EFFORTS ARE BEING DIRECTED IN ALL THESE AREAS
I HAVE TO SAY I HAD NO IDEA WHEN I FIRST CAME TO THE PORT, ALL THE EFFORTS THAT WERE UNDERWAY
AND I HAVE YET TO FIND ANOTHER PORT, EITHER IN NORTH AMERICA OR WORLDWIDE THAT IS WORKING HARDER THAN THE PORT OF SEATTLE WHEN IT COMES TO THESE CRITICALLY IMPORTANT ENVIRONMENTAL AND CLIMATE PROTECTION ISSUES
GREAT
THANKS FOR THE EXPLANATION
I'M VERY SUPPORTIVE OF THIS
THANK YOU
COMMISSIONER CHO
COMMISSIONER FELLEMAN, BACK TO YOU
THANK YOU
JUST AS A QUICK BIT OF HISTORY, I ARRIVED AT THE PORT GETTING ELECTED IN 2016 STARTED 2017 ON THE HEELS OF THE SHELL RIG
I WAS IMMEDIATELY PRESENTED WITH THE QUESTION BY STAFF
SO HOW MUCH OIL IS ACCEPTABLE? AND I SAID, WELL, THAT'S AN IMPOSSIBLE QUESTION
THAT'S EITHER TOO MUCH OR TOO LITTLE TO ANYBODY
AND I SAID, WHAT NEEDS TO HAPPEN
WHAT NEEDS TO HAPPEN IS THAT THE PORT NEEDS TO TAKE RESPONSIBILITY FOR ITS OWN EMISSIONS AND TEND TO ACCOUNT FOR THAT
AND SO REALLY, THE ISSUE THAT WAS THE FOCUS WAS HOW WE PRODUCE ENERGY OR USED ENERGY
AND SO WHILE CLIMATE AND ENERGY ARE DIRECTLY RELATED, THE POINT WASN'T POINTS TO BE ACCOUNTING FOR
AND OBVIOUSLY, THE MORE TRANSPARENT YOU ARE ABOUT IT, THE MORE SUBJECT YOU ARE ABLE TO MAKE DECISIONS THAT ARE SUSTAINABLE
AND SO THAT WAS THE POINT
I THINK THE POINT RIGHT NOW IS HOW IT IMPACTS THE CLIMATE AND THAT WE HAVE TO ALSO BUILD RESILIENCY TO RESPOND TO THE CLIMATE
SO I'M VERY MUCH IN SUPPORT OF THE BROADENING OF THAT MESSAGE
I JUST THINK IT WAS IMPORTANT TO UNDERSTAND WHY IT CAME ABOUT, BUT I DO HAVE BECAUSE IT STARTED IN 2017
I DO WANT TO HAVE A SMALL AMENDMENT TO THE MOTION, WHEREAS THE FIRST LINE WOULD BE, WHEREAS ON JANUARY SOMETHING I FORGOT THE EXACT DATE
2017, THE PORT OF SEATTLE COMMISSION ESTABLISHED THE ENERGY AND SUSTAINABILITY COMMISSION COMMITTEE
I MEAN, AND THEN WE JUMPED TO 2021 AND THEN GO ON FROM THERE
SO THAT WOULD BE MY FRIENDLY AMENDMENT
AND I WOULD MR COMMISSION PRESIDENT, LET'S GO AHEAD AND WELL, THANK YOU FOR THAT
FIRST AND FOREMOST, LET'S GO AHEAD AND WAIT TO GET THE AMENDMENT ON THE FLOOR UNTIL WE HAVE THE MAIN MOTION ON THE FLOOR
AND WE HAVE A MUCH CERTAINLY
AND WE HAVE A LITTLE BIT OF WORK TO DO BEFORE WE EVEN GET TO THAT
RIGHT
SO THIS IS GOING TO BE WE'RE GOING TO WAIVE OUR NORMAL POLICIES HERE BY HAVING TO WAITING THE SECOND READING SO THAT THE MOTION NEEDS TO BE THE EXACT LANGUAGE HERE
I WILL TRY TO GET STRAIGHT
LET'S FIRST MAKE SURE THAT THE MOTION IS MOVED
AND SECONDED, LET'S GO AHEAD AND GO TO THE TOP OF 22 AND SUSPEND THE RULES BEFORE WE GO THERE TO SUSPEND THE RULES
IS THAT THE FIRST MOTION? I'M SORRY
THE PROBLEM IS THAT I WENT FROM 21 TO 23
THAT'S MY PROBLEM
SO, COMMISSIONER, RESOLUTIONS ARE REQUIRED TWO READINGS PER OUR BYLAWS UNLESS THE COMMISSION SUSPENDS THE RULE AND CONSOLIDATES THE READING INTO ONE UNANIMOUS CONSENT
IS THERE A MOTION AND A SECOND TO SUSPEND THE RULES TO ALLOW TODAY FOR ONE READING PROVIDING FOR FINAL ACTION ON THE RESOLUTION TODAY
SO MOVED SECOND
OKAY
THE MOTION HAS BEEN MOVED AND SECONDED TO SUSPEND THE COMMISSION RULES REGARDING THE TWO READING REQUIREMENT, PROVIDING FOR THE POSSIBILITY THAT THE FINAL ACTION BE TAKEN ON THE RESOLUTION TODAY
CLERK HART, PLEASE TO CALL THE ROLL ON THE VOTE
COMMISSIONERS, PLEASE SAY YES OR NO WHEN YOUR NAME IS CALLED
THANK YOU, MR COMMISSIONER
PRESIDENT, THIS IS ON THE MOTION TO SUSPEND THE RULES BEGINNING WITH COMMISSIONER BOWMAN
AYE THANK YOU, COMMISSIONER CALKIN
AYE
THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, COMMISSIONERS
STEINBREUCK
YES
THANK YOU, COMMISSIONER FELLEMAN
AYE
THANK YOU
YOU HAVE FIVE YESSES AND ZERO NOS FOR THIS MOTION
SO THE MOTION PASSES
I WOULD LIKE TO THEN INTRODUCE I THINK AT THIS POINT WE INTRODUCE THE WE DO NEED A MAIN MOTION ON THE FLOOR AND I WILL MOVE THE MOTION STANDING ON THE SHOULDERS OF COMMISSIONER FELLEMAN AND OUR PREDECESSOR COLLEAGUES WHO HAD THE DEEP UNDERSTANDING AND NEED FOR ESTABLISHING A GREATER PRIORITY EFFORTS AROUND CLIMATE PROTECTION AND ENERGY AND SUSTAINABILITY AND THE ENVIRONMENT
I MOVE THE MOTION
SECOND
ALRIGHT
SO IS THERE ANY FURTHER DISCUSSION ON THE MOTION? I DO NOT SEE ANY HANDS RAISED
MR COMMISSION PRESIDENT
OKAY
AND YOU HAVE AN AMENDMENT THAT YOU WOULD LIKE TO OFFER? SURE
NOW WOULD BE THE TIME
THANK YOU
SO UNFORTUNATELY, I DON'T HAVE THE EXACT DATE OF THE MOTION
IT'S OPTION BY THE COMMISSION
BUT I WOULD JUST LIKE TO ADD THE FIRST SENTENCE TO THE RESOLUTION NUMBER 3791 TO SAY, WHEREAS ON JANUARY 2017 OF SOME DATE IN PARTICULAR, THE PORT OF SEATTLE COMMISSION ESTABLISHED THE ENERGY AND SUSTAINABILITY COMMITTEE
I UNDERSTAND, MR COMMISSION PRESIDENT, THAT YOU WOULD LIKE AWARE, AS COST ADDED FOR ESTABLISHMENT OF THE ORIGINAL COMMITTEE
THANK YOU, SIR
THAT IS THE AMENDMENT BEFORE US
DO I HAVE A THAT WAS THE SECOND THAT IT HAS BEEN MOVED IN SECOND AND FOR THE AMENDMENT
ALRIGHT, SO LET US HAVE A VOTE ON THE AMENDMENT, PLEASE
WE'LL CALL THE ROLL FOR THAT BEGINNING WITH COMMISSIONER BOWMAN ON THE MOTION TO AMEND
AYE
THANK YOU, COMMISSIONER CALKINS
AYE
THANK YOU, COMMISSIONER CHO, AYE
THANK YOU, COMMISSIONER
STEINBREUCK
YES
THANK YOU, COMMISSIONER FELLEMAN
AYE
ALRIGHT
THANK YOU
YOU HAVE FIVE YESSES AND ZERO NOS ON THE MOTION TO AMEND
THIS IS A PRIMARY AMENDMENT
OKAY, SO THE MOTION PASSES AND NOW WE NEED TO HAVE A MOTION ON THE MAIN MOTION AS AMENDED
THIS IS THE VOTE FOR THE MAIN MOTION AS AMENDED, SEEING NO FURTHER DISCUSSION, COULD YOU PLEASE CALL THE ROLL? THANK YOU
BEGINNING WITH COMMISSIONER BOWMAN
AYE
THANK YOU, COMMISSIONER CALKINS
AYE THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, COMMISSIONER STEINBREUCK
YES
THANK YOU, COMMISSIONER
FELLEMAN
AYE, THANK YOU
THAT MOTION PASSES FIVE YESSES ZERO NOS
THANK YOU VERY MUCH
WELL, WE DID RESERVE FULL 15 MINUTES FOR THAT DISCUSSION LONGER THAN WE EXPECTED
THANK YOU VERY MUCH FOR THAT, COMMISSIONERS
WE'RE MOVING ON TO ITEM 10 B
AND BEFORE WE DO, MR COMMISSION PRESIDENT, JUST TO NOTE THAT THE MAIN MOTION AS AMENDED IS ADOPTED
THANK YOU
I THOUGHT THAT'S WHAT I SAID, BUT GOOD
I KEEP ON FORGETTING TO DO THAT
MY APOLOGIES
ITEM CAN BE, PLEASE
THANK YOU
WE'LL GO AHEAD AND READ THAT INTO THE RECORD
ITEM 10 B IS AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO SIGN AN INTERLOCAL AGREEMENT WITH UNIVERSITY OF WASHINGTON? S GRANT PROGRAM FOR THE PORT TO HOST 1 12 MONTH HERSHMAN FELLOWSHIP POSITION
COMMISSIONERS WITH THIS AUTHORIZATION WILL BRING ON A SEA GRANT FELLOW TO PROVIDE CAPACITY FOR HABITAT RELATED WORK THAT WE WOULD OTHERWISE LACK STAFF TO ACCOMPLISH
SOME OF THIS WORK INCLUDES PARTICIPATING IN THE DESIGN, CONSTRUCTION AND MONITORING OF THE MITIGATION BANK PROJECTS IN SUPPORTING THE INNOVATION IN THE PORT HABITAT MITIGATION BANKING PROGRAM
THE SEA GRANT FELLOW WILL ALSO HAVE OPPORTUNITIES TO SUPPORT OTHER PROJECTS THAT WE ARE ENGAGED IN, INCLUDING HELP THROUGH THE PARTNERSHIP WITH THE PUGET SOUND RESTORATION FUND, THE DEPARTMENT OF NATURAL RESOURCES, ECOLOGY, UNIVERSITY OF WASHINGTON AND OTHERS
JOHN SLOAN, SENIOR MANAGER, ENVIRONMENTAL PROGRAMS, WILL PRESENT JOHN HI
THANK YOU
AND GOOD AFTERNOON
EXECUTIVE DIRECTOR, METRUCK AND COMMISSIONERS
WE COULD BRING UP THE PRESENTATION AND WE HAVE A COUPLE OF SLIDES
SO THIS REQUEST THAT YOU HEARD IS TO PROVIDE AUTHORITY TO EXECUTE AN INTERLOCAL AGREEMENT WITH UW THAT ALLOWS US TO ENGAGE WASHINGTON A GRANT FELLOW AGAIN THIS YEAR TO HELP SUPPORT OUR HABITAT AND STEWARDSHIP PROGRAM
SUPPORT A LITTLE ABOUT WASHINGTON SEA GRANT
IT WAS ESTABLISHED TO HELP UNDERSTAND AND ADDRESS CHALLENGES FACING WASHINGTON'S OCEANS AND COAST
SEA GRANT FUNDS, RESEARCH, FOSTERS EDUCATION, AND SUPPORT SEVERAL GRADUATE FELLOWSHIP PROGRAMS PERSON TO GRADUATE OR RECENTLY FINISHED GRADUATE STUDENTS WHO ARE ENGAGED IN OCEAN AND COASTAL POLICY ISSUES
NEXT SLIDE SO THE COST OF THIS FELLOWSHIP IS AROUND 40,000 DOLLARS, WHICH IS INCLUDED IN OUR 2021 EXPENSE BUDGET REQUEST
SO THERE'S NO ADDITIONAL FUNDING REQUESTED AT THIS TIME
THE FELLOW, IT'S IMPORTANT TO NOTE, WILL BE AN EMPLOYEE OF THE UNIVERSITY OF WASHINGTON THAT THEY ARE EMBEDDED IN OUR MARITIME ENVIRONMENT SUSTAINABILITY DEPARTMENT FOR A PERIOD OF 12 MONTHS
IT START IN SEPTEMBER AND FINISH THE FOLLOWING SEPTEMBER 2022
PRIMARILY, THE WORK THEY'LL UNDERTAKE WILL BENEFIT SEVERAL EXISTING PROJECTS AND INITIATIVES WITHIN OUR DEPARTMENT
NEXT SLIDE SO THE PRIMARY FOCUS THAT WE WOULD TASK THEM WITH WILL BE TO SUPPORT OUR HABITAT MITIGATION BANK, THE COMPLETION OF THE DUWAMISH RIVER PEOPLE PARK IN SPRING OF 2022, ALSO KNOWN AS TERMINAL ONE AND 17
WE'LL BE GETTING OUR FIRST ALLOTMENT OF MITIGATION CREDITS
THE HERSHMAN FELLOW WILL BE BROUGHT ON BOARD TO HELP THE HABITAT TEAM AND COMMERCIAL MARKETING STAFF TO DEVELOP A BUSINESS PLAN THAT WILL IDENTIFY STRATEGIES FOR IDENTIFYING WHO OUR CUSTOMERS ARE AND MARKETING THE CREDITS TO THEM
IN ADDITION, THE FELLOW WILL PROVIDE SUPPORT FOR OTHER IMPORTANT INITIATIVES, INCLUDING THE FLOATING WETLAND ISLANDS PROJECT THAT WE'VE HAD UNDERWAY WITH THE UNIVERSITY OF WASHINGTON FOR A COUPLE OF YEARS NOW, AS WELL AS OUR ALTERNATIVE BANK LINE STABILIZATION PROGRAM THAT'S GETTING UNDERWAY, HELPING SEA GRASS RESTORATION PROJECTS AND RESEARCH THAT WE'RE DOING AS WELL AS OUR OCEAN ACIDIFICATION ACTION PLAN RECOMMENDATIONS
AND WITH THAT, I'M HAPPY TO ANSWER ANY QUESTIONS ABOUT THE POSITION
THANK YOU, JOHN
I ASKED YOU TO DO THIS BECAUSE I THINK THIS IS JUST ONE OF THOSE THINGS THAT THE PORT DOES THAT MANY PEOPLE DON'T KNOW OF
AND WE ARE GREATLY APPRECIATIVE OF THE WORK THAT YOU DO AND WANT TO MAKE SURE THAT OUR COMMISSIONERS KNOW THE GREAT STUFF THAT WE SUPPORT THAT SOMETIMES GOES UNNOTICED
SO IF THERE'S A CLERK HART, IF YOU GO AROUND THE ROOM TO SEE IF THERE'S ANY FURTHER QUESTIONS, CERTAINLY BEGINNING WITH COMMISSIONER BY ONE, NO QUESTION
SOUNDS LIKE A GREAT PROGRAM
THANK YOU
THANK YOU, COMMISSIONER
COMMISSIONER CALKINS, NONE FOR ME EITHER
THANK YOU, COMMISSIONER CHO
SOUNDS GREAT
THANKS
NO QUESTIONS
THANK YOU
COMMISSIONER STEINBRUECK, FULLY SUPPORTIVE
THANK YOU
THANK YOU
COMMISSIONER FELLEMAN, I HAVE ONE QUESTION FOR YOU
MY UNDERSTANDING IS THAT I LOVE THE FACT THAT WE CAN TURN A HABITAT RESTORATION INTO AN ECONOMIC BENEFIT THROUGH BANKING
THERE'S SOMETHING PERFECTLY VERY PORT LIKE ABOUT THAT
IT'S A DOUBLE WIN
BUT MY UNDERSTANDING IS THAT WE DON'T GET A LOT OF CREDIT FOR THIS MARINE HABITAT RESTORATION
AND I WAS THINKING ABOUT BRINGING THIS AS A FEDERAL LEGISLATIVE PRIORITY FOR OUR 2022 SESSION, AND I WAS WONDERING IF YOU HAD ANY INSIGHT ON THAT TO SHARE WITH US? YEAH
THE MODEL THEY USE TO ESTABLISH CREDITS, IT'S REALLY FOCUSED ON THE ESTUARY
SO IT WORKS REALLY WELL IN THE DUWAMISH UPSTREAM OF HARBOR ISLAND
IT DOESN'T WORK QUITE AS WELL FOR SHALLOW SUBTIDAL AND DEEP SUBTIDAL ENVIRONMENTS
I KNOW
NOAA'S HAD SOME FOCUS ON THAT
AND THEY'RE WORKING TO IMPROVE THAT MODEL
AND WHEN WE GET TO BUILDING OUR T 25 PROJECT, WE'D LIKE TO SEE THE KELP THAT WE INTEND TO INSTALL
THEY'RE CREDITED A LITTLE MORE HIGHLY
THERE'S WORK TO THAT END RIGHT NOW, BUT ADDITIONAL SUPPORT FROM THE PORT TO PUSH THEM ALONG WOULD BE VERY WELCOME
THANK YOU VERY MUCH
SO, COMMISSIONERS BEFORE FOREWARNED, I WILL BRINGING THIS UP IN OUR LEGISLATIVE AGENDA DEVELOPMENT FOR NEXT YEAR
THANKS SO MUCH FOR THAT QUICK SUMMARY, JOHN
AND GOOD LUCK TO YOU AND CARRYING ON THIS GREAT WORK
CLERK HART, CAN YOU MOVE ON TO ITEM 10 C
WE NEED A MOTION AND A SECOND ON THE FLOOR
WHAT'S THAT? WE ARE ACTUALLY PRORATING MONEY FOR THIS
THANK YOU
DO WE HAVE A MOTION? SO MOVED SECOND, SECOND
THANK YOU SO MUCH
WE HAVE A MOTION AND A SECOND CLERK HART
PLEASE CALL THE ROLL
THANK YOU FOR THE VOTE, BEGINNING WITH COMMISSIONER BOWMAN
AYE
THANK YOU, COMMISSIONER CALKINS, BEFORE I VOTE, CAN I JUST ASK, IS THIS BECAUSE IT'S AN ILA OR BECAUSE THE QUANTITY IS NOT HIGH ENOUGH TO TRIGGER THE DELEGATION? BUT IS THAT THE REASONING AND THE VOTE, THE REASON BEHIND THE VOTE IS SO THAT YOU BECOME AWARE OF WHAT IS HAPPENING
IT IS COMPLETELY WITHIN THE JURISDICTION
IT WAS ORIGINAL ON CONSENT
YES
AND THEN I'LL JUST ADD THAT IT IS BECAUSE IT IS AN ILA
THAT IS THE REASON IT HAS TO CENSOR THE COMMISSION
YES
GOT IT
THANK YOU
CLICK I'M AN AYE
THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, COMMISSIONER STEINBRUECK, AYE
YES
THANK YOU, COMMISSIONER FELLEMAN
AYE,I BUT I WAS THE ONE THAT PULLED IT OUT OF CONSENT
CORRECT
THAT IS CORRECT, MR COMMISSION PRESIDENT
AND THE QUESTION WAS IF IT HAS TO BE ON THE AGENDA FOR COMMISSION APPROVAL IN GENERAL BECAUSE IT'S AN ILA, THE ANSWER IS YES
I SEE IT WHETHER IT WAS ON CONSENT OR NOT
CORRECT
AND THE PORT, THE DELEGATION OF AUTHORITY
THANK YOU FOR THAT
CLARIFICATION
SO WE HAVE UNANIMOUS SUPPORT
SO THE MOTION PASSES
THANK YOU
THANK YOU
WELL, THAT WAS FUN
LET'S SAY MOVING ON TO 10-C, PLEASE
MOVING ON TO 10-C
I'LL GO AHEAD AND READ THAT INTO THE RECORD
THIS IS THE SOUND INSTALLATION PROGRAM BRIEFING
COMMISSIONERS TODAY STAFF ARE HERE TO BRIEF YOU ON SOME EXCITING NEWS ABOUT THE PROGRESS AND FUTURE PLANS FOR OUR AIRPORT SOUND INSULATION PROGRAM
AT YOUR DIRECTION, THE AIRPORT STAFF HAS WORKED VERY HARD TO EXPAND ITS CAPABILITY TO ACCELERATE SOUND INSULATION OF SINGLE FAMILY HOMES, APARTMENTS OF CONDOMINIUMS STEVE ST LOUIS, WHO YOU MAY KNOW, LED THE SIGNIFICANT TASK OF MANAGING THE INTERNATIONAL RIVALS FACILITY PROJECT FOR THE PROJECT MANAGEMENT GROUP HAS BEEN HIRED AS THE SOUND INSULATION PROGRAM MANAGER
JULIE KINSEY, AN EXTERNAL HIRE WITH BACKGROUNDED, RESIDENTIAL CONSTRUCTION AND PROJECT MANAGEMENT, IS THE NOISE PROGRAM MANAGER FOR SOUND INSULATION
SHE WILL BE HEADING UP THE PROJECT COORDINATION AND OWNER OUTREACH AND ENGAGEMENT
BOTH ARE HERE TO FIRST BRIEF YOU ON THE PROGRESS AND FUTURE PLANS OF THE PROGRAM
AS A MAJOR FIRST STEP, THEY'LL BE SEEKING YOUR APPROVAL FOR FUNDING TO BEGIN NOISE TESTING, PLANNING AND DESIGNING FOR THE APARTMENT SOUND INSTALLATION PROJECTS
WITH THAT, I BELIEVE I'M HANDING IT OVER TO STEVEN
THANK YOU, THE EXECUTIVE DIRECTOR METRUCK AND GOOD AFTERNOON, COMMISSIONERS
I'M STEVEN ST LOUIS, SOUND INSTALLATION PROGRAM MANAGER FOR THE AVIATION PROJECT MANAGEMENT GROUP
OUR BRIEFING TODAY WILL PROVIDE AN OVERVIEW OF ACCELERATION ACCOMPLISHMENTS, STATUS UPDATE FOR ALL THE SEPARATE CAPITAL IMPROVEMENT PROGRAMS, PROGRAM FUNDING PLAN OVERVIEW, PROGRAM RISKS AND CHALLENGES, AND OUR NEXT STEPS
NEXT SLIDE
NEXT SLIDE
THANK YOU
THIS BRIEFING WILL DISCUSS MANY OF THE ACTIONS TAKEN TO ITS A COMMISSION MOTION
A TREMENDOUS AMOUNT OF WORK HAS BEEN TO ACCOMPLISH THIS YEAR
IN CONJUNCTION WITH FINANCE AND BUDGET
WE FINALIZE THE PLAN OF FINANCE, WHICH YOU'LL HEAR ABOUT LATER IN THE PRESENTATION
WE'VE EXECUTED THE CONSULTANT PROGRAM MANAGEMENT CONTRACT
THIS IS A CONSULTANT TEAM COMPRISED OF TECHNICAL EXPERTS EXPERIENCED IN DELIVERING SOUND INSTALLATION PROGRAMS ACROSS THE COUNTRY
WE'VE ADDED ADDITIONAL MANAGERS TO SUPPORT ACCELERATION PROGRAM, SUCH AS MYSELF AND MY COLLEAGUE JULIE KINSEY, WHO ARE BOTH PRESENTING TODAY
JUST LAST WEEK, WE RECEIVED A POSITIVE MAJORITY AND INTEREST VOTE FROM THE AIRLINES SUPPORTING THE APARTMENT PROGRAM
OUR TEAM IS NOW WELL POSITIONED TO CONTINUE AT AN ACCELERATED PACE, SETTING THE PROGRAM UP FOR SUCCESS
NEXT SLIDE, PLEASE
THIS TEAM WORKS OR HIGHLIGHTS HOW THE TEAM HAS GROWN EXPONENTIALLY SINCE THE ACCELERATION MOTION
WE BROUGHT OUR NEW MANAGERS AND CONTINUE TO EXPAND THE TEAM WITH INTERNAL RESOURCES
PRIOR TO ACCELERATION
THE SOUND INSTALLATION PROGRAM TEAM CONSISTED OF ONLY FOUR FULL TIME STAFF MEMBERS WORKING ON THE PROGRAM
THE PORT TEAM NOW CONSISTS OF MORE THAN 25 KEY TEAM MEMBERS FROM OVER FIVE DIFFERENT PORT GROUPS SUPPORTING THE PROGRAM
THERE ARE ALSO MANY OTHER PORT GROUPS THAT PROVIDE SUPPORT TO THE SOUND INSTALLATION PROGRAM ON A LIMITED BASIS, AND OUR TEAM HAS THEIR FULL SUPPORT AND CALLED UPON
JUST LAST MONTH, THE PORT EXECUTED THE CONSULTANT PROGRAM MANAGEMENT CONTRACT
THIS TEAM CONSISTS OF MORE THAN 150 TEAM MEMBERS WITH EXPERTISE IN SUPPORTING SOUND INSTALLATION PROGRAMS ACROSS THE COUNTRY
I ANTICIPATE OVER THE COURSE OF THE PROGRAM THAT WELL OVER 200 TEAM MEMBERS, NOT INCLUDING CONTRACTORS, WILL BE INVOLVED IN THE SOUND INSTALLATION PROGRAM
NEXT SLIDE, PLEASE
THE SOUND INSTALLATION BOUNDARY MAP HIGHLIGHTS THE 18 APARTMENT COMPLEXES CONSISTING OF 903 UNITS, TWO CONDOMINIUM COMPLEXES CONSISTING OF 88 UNITS, SEVEN PLACES OF WORSHIP IN 140 SINGLE FAMILY HOMES THAT ARE ALL POTENTIALLY ELIGIBLE TO PARTICIPATE IN THE SOUND INSTALLATION PROGRAM
WE WILL SPEAK TO THE PLANNED STATUS OF EACH OF THESE PROGRAMS AND NOW I'LL INTRODUCE THEM
TURN OVER TO MY COLLEAGUE JULIE KENSEY, WHO IS A NEWPORT HIRE
THE NOISE PROGRAM MANAGER SAYS SOUND INSULATION WITH AVIATION ENVIRONMENTAL JULIE
THANK YOU, STEVE
NEXT SLIDE, PLEASE
SO GOOD AFTERNOON
EXECUTIVE DIRECTOR METRUCK IMPORT COMMISSIONERS
I'LL BE SHARING WITH YOU OUR PROGRAM STATUS UPDATE TODAY
NEXT SLIDE, PLEASE
SO THE PORT HAS A STRONG HISTORY OF SUPPORT FOR SOUND INSULATION PROJECT SINCE ITS INCEPTION IN 1985
TO DATE, THE PORT HAS INVESTED APPROXIMATELY 300,000,000 DOLLARS IN SOUND INSULATION OF OVER 9 400 HOMES
THE PORT SPENT APPROXIMATELY 100,000,000 DOLLARS IN ACQUISITION AND RELOCATION OF OVER 1 400 HOMES AND FIVE MOBILE HOME PARKS THAT WERE MOST IMPACTED BY YOUR OPERATIONS
WE HAVE PARTNERED WITH EDUCATION PROVIDING 14,000,000 DOLLARS TO HIGHLINE COLLEGE TO SOUND INSULATE 14 BILLIONS
AND THE HIGHLINE SCHOOL DISTRICT IS PART OF A 15 SCHOOL, 100,000,000,000 DOLLAR JOINT INVESTMENT WITH THE FAA
TO DATE, WE HAVE COMPLETED NINE OF 15 SCHOOLS
AND NEXT, WE'D LIKE TO SHARE WITH YOU THE DETAILS OF THIS SOON TO BE COMPLETED TEST SCHOOL HIGHLINE HIGH SCHOOL NEXT SLIDE, PLEASE
FIRST, WE'D LIKE TO THANK COMMISSIONER BOWMAN FOR BEING AVAILABLE TO TOUR THIS EXCITING NEW SCHOOL, AND IT'S FAIR TO SAY THAT WE WERE ALL VERY IMPRESSED WITH THE FACILITY
THIS PROJECT WAS FUNDED THROUGH A HIGHLINE SCHOOL DISTRICT LEVY AS WELL AS PORT AND FAA SUPPORT
SOME OF THE KEY FEATURES OFFERS A PRODUCTION KITCHEN THAT WILL ACTUALLY SUPPORT FIVE OTHER SCHOOLS, HAS TWO THEATER SPACES, MULTIPLE INDUSTRIAL DESIGN SHOPS, STATEOFTHEART CHEMISTRY LAB AND A COLLABORATIVE WORKSPACE DESIGN
WITH THE PORT INVESTMENT, THE HIGHLINE SCHOOL DISTRICT WAS ABLE TO UTILIZE THE KAWNEER DESIGNED FOR EDUCATION SERIES
WINDOWS, A PRODUCTS SOUND TRANSMISSION CLASS, OR STC RATING INDICATES ITS ABILITY TO REDUCE SOUND INTO STRUCTURE
THE HIGHER THE NUMBER, THE GREATER THE SOUND ABSORPTION
AT AN STC OF 44, THERE IS LIMITED EXTERIOR NOISE TRANSFER EVEN AS AIRCRAFT LAND AND TAKE OFF
THE VENTILATION SYSTEM IS DESIGNED TO BE A CLOSED SYSTEM WITH EXTERNAL AIR
THE HIGHLINE SCHOOL DISTRICT YOU UTILIZES THE MERV 13 FILTERS NOW ON
MOST FILTERS WILL CAPTURE THE LARGER PART OF SUCH AS DUST OR POLLEN
A MERV 13 ACTUALLY WILL CAPTURE 85% OF THE FINE ONE TO 3 MICRON SIZED PARTICLES VERSUS A MERV 8, WHICH ONLY CAPTURES 20%
THIS WILL DRAMATICALLY IMPROVE THE INDOOR AIR QUALITY AT THE SCHOOL
NEXT SLIDE, PLEASE
AS PART OF OUR PROGRAM DESIGN, WE'VE WORKED EXTENSIVELY WITH THE OFFICE OF EQUITY, DIVERSITY AND INCLUSION, AND THEY WERE ABLE TO HELP HIGHLIGHT SOME OPPORTUNITIES FOR US
THE FIRST IS THE SOUND INSULATION PROGRAM WEBSITE
THERE'S VERY LIMITED TEXT AND IMAGERY TO INFORM ON THE NATURE OF OUR PROGRAM, AND THIS IMPACTS OUR ABILITY TO FULLY LEVERAGE THE WEBSITE AS AN INFORMATION HUB AND TO MAXIMIZE THE PORT GOOGLE TRANSLATE FUNCTIONALITY, WHICH WILL ACTUALLY CONVERT TEXT INTO AN AVAILABLE 109 LANGUAGES
SO WE HAVE PARTNERED WITH EXTERNAL RELATIONS AND WE ARE ACTIVELY ENGAGED IN MAKING THESE ENHANCEMENTS
WE'VE ALSO MODIFIED OUR OUTREACH EFFORTS THROUGH MORE FREQUENT COMMUNICATIONS AS WELL AS A VARIETY OF MESSENGERS, AND WE WILL BE USING A NUMBER OF DIFFERENT MODES FROM EDITORS AND POSTCARDS
WE WILL CONTINUE TO PARTNER WITH KING COUNTY PROGRAMS, THE OFFICE OF EQUITY, DIVERSITY AND INCLUSION, AS WELL AS EXTERNAL AFFAIRS THROUGHOUT THE PROGRAM
NEXT SLIDE PLEASE
SINGLE FAMILY HOMES HAVE BEEN A CONSTANT IN THE SOUND INSULATION PROGRAM SINCE 19 85
THE VOLUME OF WORK IS CONNECTED TO PARTICIPATION, AND THERE REMAINS 140 POTENTIALLY ELIGIBLE PROPERTIES WITHIN OUR NOISE BOUNDARY
NOW, BASED ON HISTORIC ESTIMATES, WE BELIEVE 80 WILL APPLY DURING OUR ACCELERATION PROJECT
DURING OUR JUNE OUTREACH CAMPAIGN, WE ACTUALLY HAD A RESPONSE RATE BOOSTED MOSTLY BY NEWER OWNERS, WHICH BRINGS OUR PARTICIPATION NOW TO 51 OUT OF THE 140
THE NUMBERS PROVIDED IN THIS UPDATE WILL CONTINUE TO GROW THROUGH OUR EXPANDED OUTREACH
IN 2021, WE WILL BE COMPLETING CONSTRUCTION ON AT LEAST 10 HOMES WITH 41 HOMES READY FOR ENGAGEMENT WITH OUR CONSULTING TEAM
IN Q FOUR
WE ESTIMATE CONSTRUCTION TO BE TO PACE OF 14 HOUSES OR MORE PER YEAR THAT IS DIRECTLY LINKED TO PARTICIPATION, SUBORDINATION AGREEMENTS AND COVID 19 WILL CONTINUE TO BE FACTORS FOR US, WHICH WE WILL MONITOR CLOSELY
NEXT SLIDE PLEASE
THE REMAIN TWO ACTIVE COMPLEXES AND CONSTRUCTION OF BILL ANCIEN IN THE CITY OF DES MOINES IS COMMENCING THIS MONTH
OUR HOT REAL ESTATE MARKET
WE HAVE ENCOUNTERED A NUMBER OF UNIT SALES IN THE COMPLEX
WHEN A UNIT SELLS, WE WANT TO ACTUALLY RESTART THE DOCUMENT PROCESS WITH THE NEW OWNER, AND SO THIS HAS DELAYED SOME OF OUR PROGRESS
WE WILL BE ADDING ADDITIONAL CONSTRUCTION SCHEDULES AS WE COMPLETE OWNER AGREEMENTS
NEXT SLIDE, PLEASE
WE HAVE BEGUN APARTMENT OWNER OUTREACH AND WE'VE DONE SO IN TWO PHASES
THE FIRST WAS A SMALLER GROUP TO TEST AND MEASURE THE MESSAGING
WE ACTUALLY HAD A FOUR OUT OF FIVE OF THOSE BUILDING OWNERS HAVE A LOCKED AND THIS IS IN ADDITION TO THE KING COUNTY HOUSING AUTHORITY PROPERTY THAT WE HAD ALREADY PARTNERED WITH
WE HAVE SINCE TRIGGERED THE SECOND PHASE AND PARTICIPATION IS ALSO STRONG AMONGST THIS GROUP
WHAT THIS WILL DO IS IT WILL ALLOW US TO ACOUSTICALLY TEST MORE PROPERTIES THIS YEAR THAN WAS THE ORIGINAL PROJECTION
STEVE WILL NOW BE REVIEWING WITH YOU THE OTHER ELEMENTS OF OUR APARTMENT PLAN
THANK YOU, JULIE
AS I PREVIOUSLY MENTIONED, WE RECENTLY EXECUTED THE PROGRAM MANAGEMENT CONSULTING CONTRACT, SO THAT WAS A PRETTY BIG STEP FORWARD WITH THE APARTMENT PROGRAM
THIS IS ONE EXAMPLE OF HOW THE TEAM HAS WORKED TOWARDS ACCELERATING THE PROGRAM
IN SEVEN MONTHS, WE WENT FROM BEING AUTHORIZED TO PROCURE THE PROGRAM MANAGEMENT CONSULTANT TO EXECUTE IN A CONTRACT
THIS PROCUREMENT PROCESS TYPICALLY TAKES US ABOUT NINE MONTHS TO COMPLETE
EXECUTION OF THIS CONTRACT WILL ALLOW THE TEAM TO NOW BEGIN ACOUSTIC TESTING
AS JULIE STATED IN Q FOUR, THIS YEAR, WITH TESTING CONTINUING QUARTERLY THROUGH 2022, DESIGN WILL BEGIN ONE
SUBORDINATION AGREEMENTS ARE RECEIVED AND WILL BE FOLLOWED BY CONSTRUCTION WITH COMPLETION OF ALL UNITS BY Q 4
2026
NEXT SLIDE PLEASE
THE APARTMENT PROPERTIES REPRESENT THE LARGEST PROGRAM WITHIN THE SOUND INSTALLATION PROGRAM, AND IT IS THE CRITICAL PATH OF THE ENTIRE PROGRAM
ACOUSTIC TESTING AND OUTREACH IS SCHEDULED TO BEGIN Q 4 2021 AND BE COMPLETED Q 4 2023
THE TEAM WILL BE CONDUCTING OUTREACH AND TESTING QUARTERLY FOR APARTMENT COMPLEXES THAT ARE PARTICIPATING IN THE PROGRAM
DESIGN AND PERMITTING IS SCHEDULED TO BEGIN Q 4 2021 AND WILL BE ONGOING THROUGHOUT THE PROGRAM COMPLETION NO LATER THAN Q 3 2025
I'D LIKE TO HIGHLIGHT THAT DESIGN AND PERMITTING WILL CONSIST OF SEVERAL SEPARATE DESIGN PACKAGES, MANY OF WHICH WILL BE COMPLETED CONCURRENTLY THROUGHOUT THE PROGRAM DURATION
CONSTRUCTION IS ANTICIPATED TO BEGIN Q 3 2022 AND WILL BE ONGOING THROUGHOUT THE PROGRAM COMPLETION NO LATER THAN Q 4 2026
AND JUST LIKE DESIGN AND PERMITTING, CONSTRUCTION WILL CONSIST OF SEVERAL MAJOR WORKS CONTRACTS BEING COMPLETED CONCURRENTLY THROUGHOUT THE DURATION OF THE PROGRAM
NEXT SLIDE, PLEASE
AND NOW I'LL TURN IT BACK OVER TO JULIE
THANK YOU, STEVE
NEXT, WE'RE GOING TO COVER TWO OTHER FUTURE PROJECTS THAT ARE PLANNED FOR IN 2022 AND 2023
THERE ARE SEVEN IDENTIFIED PLACES OF WORSHIP WITHIN OUR NOISE BOUNDARY
THESE TYPES OF PROJECTS REQUIRE A VERY DIFFERENT DESIGN AND CONSTRUCTION PLAN THAN RESIDENCE
THESE ARE VERY ACTIVE FACILITIES, SOME OF WHICH CONTAIN OPERATING SCHOOLS, A FOOD BANK, AND A MULTITUDE OF COMMUNITYBASED ACTIVITIES
ONE OF THE KEY ATTRIBUTES THAT WE LOOKED FOR IN OUR DESIGN FIRM WAS A DEEP KNOWLEDGE IN THIS SPACE
NEXT SLIDE, PLEASE
THERE ARE TWO SINGLE FAMILY HOMES AND ONE MULTI FAMILY BUILDING THAT ARE IN THIS THAT ARE ELIGIBLE FOR VOLUNTARY ACQUISITION
THE SOUTH ATZ PROGRAM DETAILS HAVE NOT YET BEEN DEFINED AND STAFF WILL BE WORKING ON THIS IN THE VERY NEAR FUTURE
NEXT SLIDE PLEASE
SO ALL SUBORDINATION HAVE ALWAYS BEEN A PART OF OUR PROCESS
THEY HAVE BECOME PROGRESSIVELY MORE CHALLENGING TO ACQUIRE
AFTER EXTENSIVE RESEARCH IN 2020, THE TEAM IDENTIFIED THE SPECIALIZED CONSULTING TYPE NEEDED TO FACILITATE THE PROCESS
WITH THEIR INDUSTRY CONTACTS, WE'RE SEEING AN IMPROVEMENT IN THE ACQUIRING OF SUBORDINATION AGREEMENTS IN AVERAGE OF FOUR MONTHS TO DATE
THEY HAVE SECURED 33 OF THE REQUIRED 47 SINGLE FAMILY HOME AND CONDO OWNER AGREEMENTS, AND THEIR WORK CONTINUES
NOW, THE 14 OUTSTANDING SUBORDINATION HIGHLIGHT THE TWO CHALLENGES THAT WE NOTE ON THE SLIDE
SEVEN OF THE REMAINING SUBORDINATION RELATE TO OWNERS THAT HAVE NOT YET SIGNED THE LENDER SPECIFIC THIRD PARTY AUTHORIZATION FORM THAT ACTUALLY ENABLES OUR CONSULTANT TO WORK ON THEIR BEHALF
THIS IS DOING PART TO OWNERSHIP CHANGES IN WHICH WE HAVE TO RESTART A PROCESS
THE OTHER HALF ARE INSTANCES IN WHICH LENDERS ARE FORWARD TO RESPOND
SOME ARE VERY UNFAMILIAR WITH THE PROGRAM AND HAVE MORE QUESTIONS
OTHER PROPERTIES ACTUALLY HAVE MULTIPLE LENDERS, AND SO IT DOES REQUIRE A LONGER PROCESS
WE WILL CONTINUE TO USE OUR LESSONS LEARNED AND FURTHER REFINE OUR PROCESS WITH OUR CONSULTING TEAM
SO NEXT, I WOULD LIKE TO TURN THE DISCUSSION OVER TO REGARDING FUNDING TO MY COUNTERPART ON WIN, THE SENIOR MANAGER OF AVIATION FINANCE AND BUDGETS
AND NEXT SLIDE, PLEASE
THANK YOU, JULIE
GOOD AFTERNOON, COMMISSIONERS AND EXECUTIVE DIRECTOR
I WILL BE PRESENTING THE FUNDING PLAN FOR THE NOISE PROGRAM
NEXT SLIDE PLEASE
THE PORTS PRIOR FUNDING PLAN FOR THE NOISE PROGRAM WAS BASED ON RESOLUTION 2683 WHICH WAS PASSED IN 2013 APPROVING THE PART 150
THE SINGLE FAMILY HOMES INSTALLATIONS SPANNING PACE WAS TIED TO THE AVAILABILITY OF LAND
NEXT SLIDE PLEASE WITH THE ACCELERATION MOTION PASSED BY COMMISSION IN 20
IN FEBRUARY 2020, THE FUNDING PLAN WAS UPDATED TO ACCOMMODATE THE MOTION
THE NOISE PROGRAM CONSISTS OF FIVE CAPITAL PROJECTS
IT WAS A TOTAL AMOUNT OF 201,000,000 DOLLARS WITH THE CORRESPONDING CASH FLOW
THE PROJECT CASH FLOW RESPECT FULL PARTICIPATION AND THAT THE PLAN WOULD BE UPDATED REGULARLY AS CONDITION CHANGE
THE FEDERAL AVIATION ADMINISTRATION AIRPORT IMPROVEMENT PROGRAM GRANTS FOR MOST MITIGATION PROJECTS AT SEATAC COMPETE NATIONWIDE WOULD SOUND IN SOUND MITIGATION PROJECTS AT OTHER AIRPORT
THE FAA DETERMINES ANNUALLY THE AVAILABILITY OF FUNDS DEPENDING UPON THE NUMBER OF APPLICATIONS FROM ALL AIRPORT NATIONWIDE
CONSEQUENTLY, PLANNING IS CHALLENGING BECAUSE THE EXACT AVAILABILITY OF FUNDS FOR THE DURATION OF THE SOUND INSULATION AND ACQUISITION PROGRAMS IS UNKNOWN
NOISE GRANTS TYPICALLY FUNDS APPROXIMATELY 80% OF ELIGIBLE COSTS, WITH THE REMAINING AMOUNT BEING FUNDED THROUGH REVENUE BONDS
THE AIRPORT WOULD BE REQUIRED TO FUND THE REMAINING 20% PLUS ANY INELIGIBLE COSTS
NEXT SLIDE PLEASE
THE FUNDING PLAN ASSUMES AN ANNUAL AMOUNT OF 10,000,000 OF PLANS, WHICH IS LIKELY SCENARIO FROM 2020 TO 2029
HOWEVER, THE PORT WOULD CONTINUE TO APPLY FOR GRANTS THEREAFTER
THE CURRENT FUNDING PLAN ASSUMES THE USE OF 7.1 MILLION FROM THE FAA REINVESTED FUND, 9.2 MILLION OF GRANTS THAT WE GOT RECEIVED AND 80,000,000 A TUTOR WANTS IN 15,000,000 OF REVENUE BONDS
THE DEBT SERVICE OF THE REVENUE BONDS WOULD BE CHARGED IN THE AIRLINE WEIGHT BASE AND IS PART OF THE LANDING FEE
NEXT SLIDE PLEASE
TO MANAGE THE UNCERTAINTY OF THE GRANT AVAILABILITY AND ULTIMATELY FUND THE BALANCE OF COSTS NOT GRANT FUNDED, THE PORT HAS DEVELOPED THE FOLLOWING PLAN, THE USE OF COMMERCIAL PAPER IS AN INTERIM FUNDING SOURCE UNTIL THE AVAILABILITY OF GRANTS IS KNOWN
CONTINUE TO APPLY FOR THE GRANTS TO FIND RETROACTIVE SPENDING ISSUE AIRPORT REVENUE BONDS WHEN RETROACTIVE REIMBURSEMENT IS UNLIKELY AND TFC HAS INSUFFICIENT CAPACITY FOR THE NEXT FIVE TO 10 YEARS WITHOUT SHIFTING FROM OTHER PROJECTS SUCH AS THE NORTH SATELLITE AND THE INTERNATIONAL ARRIVALS FACILITY PROJECTS AND THE USE OF TAX LEVY CAN BE A FUNDING SOURCE AVAILABLE
NEXT SLIDE PLEASE
THEY ARE PROJECT LISTS AND UNCERTAINTIES IN THE PORT FUNDING PLAN
HOWEVER, THE FOCUS IS DESIGNED TO ALLOW THE PORT TO MINIMIZE THE AIRLINE WEIGHT BASED IMPACT, LOWER COSTS OR REDO SCOPE DUE TO INELIGIBILITY OR OWN A RELUCTANT TO PARTICIPATE COMBINED WITH ANTICIPATED GRANTS WOULD FURTHER TO REDUCE THE WEIGHT BASED IMPACT WITH AIRLINES AT THIS TIME, I WOULD LIKE TO TURN IN ORDER TO SEE THANKS
NEXT SLIDE PLEASE
THIS SLIDE HERE REPRESENT SOME OF OUR PROJECT RISKS
TIMING TO IDENTIFY WHO IS PARTICIPATING IN THE PROGRAM IS ONE OF THE HIGHER RISKS OF THE PROGRAM
EARLY OUTREACH AND COORDINATION IS KEY TO GAIN EARLIER PARTICIPATION IN THE PROGRAM
ONCE THEY AGREE TO PARTICIPATE, WE CAN THEN INITIATE ACOUSTIC TESTING
ANOTHER TOP RISK TO THE PROGRAM IS THE ABILITY TO ATTAIN SUBORDINATION AGREEMENTS
THE PORT TEAM AND THE CONSULTANT TEAM SPECIALIZING IN THESE TYPES OF AGREEMENTS WILL BE HELPING OWNERS NAVIGATE THE PROCESS
WITHOUT AGREEMENTS IN PLACE, DESIGNS CANNOT PROCEED
NEXT SLIDE, PLEASE
PROGRAM NEXT STEPS
THE NEW CONSULTANT PROGRAM MANAGEMENT TEAM WILL BEGIN PLANNING, TESTING AND DESIGN
WE'LL BE CONTINUED WITH OWNER OUTREACH
AND AS SUBORDINATION AGREEMENTS FOR APARTMENT COMPLEXES ARE RECEIVED, DESIGNS WILL BEGIN
WE'LL CONTINUE ACCELERATING A SINGLE FAMILY HOMES PROGRAM
WE PLAN ON COMPLETING CONSTRUCTION ON THE VILLA AND CONDOMINIUM COMPLEX FOR ALL THE UNITS WITH AGREEMENTS IN PLACE
APARTMENT DESIGN AUTHORIZATION
MANY OF THE ITEMS PRESENTED RELATED TO THE APARTMENT PROGRAM ARE DEPENDENT ON DESIGN AUTHORIZATION, WHICH I'LL BE PRESENTING AND REQUESTING AS AN NEXT AGENDA ITEM TODAY
NEXT SLIDE, PLEASE
AND ANY QUESTIONS
CLERK HART, CAN YOU PLEASE CALL THE ROLL? OF COURSE, BEGINNING WITH COMMISSIONER BOWMAN FOR QUESTIONS? WELL, THANK YOU
YEAH, I HAVE SEVERAL QUESTIONS, AND I'M GOING TO START WITH LET ME SEE IF I UNDERSTAND THIS CORRECTLY WITH THIS ACCELERATED PROGRAM
ARE YOU SAYING THAT WE'RE GOING TO BE DOING 10 HOMES PER YEAR? DID I UNDERSTAND THAT CORRECTLY? I THINK I'LL HAVE JULIE ANSWER THAT QUESTION
NO, IT'S MORE THAN 10 HOMES PER YEAR
DO YOU WANT TO GO OVER THE THE ANNUAL PLAN AND WHAT'S THAT BASED ON? CERTAINLY
AND THANK YOU, COMMISSIONER POINTS FOR THAT QUESTION
SO WE CAN CLARIFY
SO FOR THIS YEAR, THE NUMBER OF HOMES THAT WE ARE ON PACE TO DO ARE JUST OVER 10
AND THAT REPRESENTS HOMEOWNERS THAT WERE ALREADY IN THE PIPELINE, THAT WE HAD AGREEMENTS NEXT YEAR
THAT NUMBER WILL BE MUCH LARGER
AND REALLY, WHAT WE'RE LOOKING AT IS THE NUANCE SPECIFICALLY WITH SINGLE FAMILY IS THE FACT THAT OUT OF, YOU KNOW, 9,400 THAT HAVE BEEN COMPLETED OVER THE LAST THREE DECADES, WE ARE DOWN TO A VERY SMALL GROUP OF 140 HOMES THAT PREDOMINANTLY HAVE NOT BEEN WILLING TO PARTICIPATE IN THE PROGRAM
AND SO THERE WILL BE INITIALLY BECAUSE OF OUR EARLY OUTREACH, A MUCH LARGER GROUP PROJECTED OVER THE NEXT COUPLE OF YEARS THROUGH THE BALANCE OF THE PROGRAM, JUST DEPENDING UPON PARTICIPATION, THAT'S REALLY WHAT'S GOING TO DRIVE THE NUMBER OF HOMES
SO THE FORTUNATE THING IS AS [inaudible 02:20:20] AS PART OF THE FUNDING PROGRAM, BECAUSE WE ARE NO LONGER LIMITED TO THAT DIRECT LINK WITH GRANT FUNDS, WE NO LONGER HAVE THAT AS A BARRIER
SO NOW IT'S REALLY IT'S TYING IT TO THE PARTICIPATION AND DOING EVERYTHING IN OUR POWER SUPPORT TO SPEED SOMEONE THROUGH THE PROCESS
OKAY, THAT'S MY FIRST
SO YOU SAID ABOUT 14 HOMES THIS YEAR AND YOU SAID GREATLY EXPANDED FOR NEXT YEAR
WHAT IS GREATLY EXPANDED MEAN? THAT'S ANOTHER GREAT QUESTION
SO CURRENTLY WHAT WE HAVE AGREEMENTS IN PLACE, AND ONCE WE HAVE THE CONSULTANT FULLY ON BOARD AND CAN BEGIN, WE ALREADY HAVE EIGHT HOMES
THEY'RE READY TO MOVE INTO CONSTRUCTION
SO WE ARE ALREADY NEAR THAT LEVEL
WE HAVE ANOTHER
AND THEY ARE PART OF THAT GROUP OF 41 THAT WE HAVE TESTING THAT WE HAVE DESIGNS AND DOCUMENTS FOR
SO IN TERMS OF WHAT THE ACTUAL NUMBER OF CONSTRUCTION WILL BE EACH YEAR, THAT'S VERY HARD TO PREDICT RIGHT HERE
JUST BECAUSE IT DOES BECOME IT'S A MATTER OF HOW DO THEY ACOUSTICALLY TEST, WHAT RATE DO THE CONSTRUCTION DID THE SUBORDINATION AGREEMENTS COME IN AND THEN WE MOVE THEM FORWARD INTO CONSTRUCTION? WHAT I JUST WOULD LIKE TO CONVEY IS WE ARE NOT GOING TO ATTEMPT TO HAVE ANY ARTIFICIAL LIMITS ON HOW MANY WE DO
OUR GOAL, WE ARE VERY LASER FOCUSED ON THE CRITICAL MISSION, WHICH IS TO MOVE HOMEOWNERS THROUGH THE PROCESS AS QUICKLY AS POSSIBLE SO THAT WE CAN PROVIDE THIS
WE OKAY, LET ME ASK YOU A QUESTION ANOTHER WAY
WHAT ARE THE 1, 2 OR THREE THINGS THAT WOULD SPEED UP THE PROCESS TO HAVE MORE RESIDENCES, PLACES OF WORSHIP AND SCHOOLS DONE MORE QUICKLY? WHAT IS STILL TO HOLD UP? I UNDERSTAND IN THE PAST, IT'S BEEN THIS COORDINATION AGREEMENTS, WHICH I PERSONALLY SPENT A LOT OF TIME ON
THEN IT WAS WE NEEDED A CONSULTANT
IT SOUNDS LIKE IT TOOK SEVEN MONTHS TO GET A CONTRACT FOR A CONSULTANT
THAT'S GREAT
WE'VE GOT SOMEBODY ON BOARD
WHAT ARE THE TOP THREE THINGS THAT COULD BE DONE IF THOSE WERE ACCOMPLISHED THAT COULD DRAMATICALLY ACCELERATE THIS PROGRAM
I'M NOT SURE WHO IS THE BEST PERSON TO ANSWER THAT, BUT IF YOU COULD REALLY LASER FOCUS ON A COUPLE OF THINGS THAT WOULD BE LIKE, GOD, WE COULD GET 30 HOMES DONE THIS YEAR INSTEAD OF JUST EIGHT, WHAT WOULD THAT BE? AND I'M SITTING OUTSIDE SO THAT FOLKS CAN HEAR ME ON THE FLIGHT PASS, THOUGH
BUT I WANT TO BE CLEAR, I'M ONLY ON BEACON HILL, SO I'M NOT DIRECTLY IMPACTED THE WAY OUR AIRPORT COMMUNITIES ARE
SO, AGAIN, REALLY, ONE CAN TRY AND HELP WITH THAT QUESTION
THAT WOULD BE GREAT
THANK YOU, SAM
YES, THIS IS STAN SHEPHERD
I'M THE MANAGER OF THE NOISE PROGRAMS AND WHAT WE REALLY DO IS WE BELIEVE AT THIS POINT, THE PROGRAM THAT WE'RE PUTTING TOGETHER WITH THE GREAT HELP OF JULIE AND STEVE, ARE REALLY AIMED AT MEETING THAT COMMISSION RESOLUTION THAT FINISHED THE PROGRAM BY THE END OF 2026
SO THAT'S REALLY THE ACCELERATION
WE'RE ON TRACK AND MEET THAT SO FAR
WE'VE PUT THE FUNDING PLAN TOGETHER TO GET THERE
WE'VE GOT THE STAFF TOGETHER
IT WAS REALLY A STAFFING ISSUE AND THE MANAGEMENT ISSUE TO GET THE PROJECT MOVING ALONG
WE'VE HIT ALL THOSE STEPS
WE'VE GOT SOME GREAT PEOPLE IN PLACE AT THIS POINT, AND WE'VE GOT THE FUNDING PLAN IN PLACE
WE'VE GOT WHAT WE YOU'RE GOING TO APPROVE NEXT TO THAT CONTRACT AUTHORIZATION TO MOVE THROUGH THE APARTMENT SOUND INSULATION PROGRAMS SO I THINK WE'RE MOVING IT'S PRETTY FAST SPEED AT THIS POINT TO GET IT IN PLACE, WE'VE ELIMINATED THAT KIND OF ISSUE WITH THE FUNDING
SO WE'RE MOVING ALONG PRETTY QUICKLY WITH THIS, BUT IT'S REALLY STAFFING FUNDING AND THE OVERSIGHT OF THE PROJECT TO MOVE IT FORWARD
SO BUT YOU'VE GOT THE STAFFING IN PLACE, YOU FEEL LIKE THE FUNDING IS NOT AN ISSUE MOVING FORWARD
CORRECT
OKAY
WE'RE AT A POINT WITH HANS GROUP THAT THEY HAVE A PLAN IN PLACE TO ACTUALLY UPFRONT THE COST OF THESE PROGRAMS IF WE CANNOT GET FAA GRANTS IN PLACE BEFORE THE CONSTRUCTION BEGINS
WE WORKED WITH THE FAA TO MAKE SURE THAT IF WE DO THAT UPFRONT FUNDING AT A LATER DATE, THESE PROGRAMS WILL BE ELIGIBLE FOR GRANT REIMBURSEMENT
IF AN FAA FUNDING GRANT BECOMES AVAILABLE SOMETIME IN THE FUTURE, WE CAN GET PAID FOR WHAT WE'VE ALREADY DONE IN THE PAST
SO THAT HELPS US ALSO TO RECOVER THOSE COSTS THAT WOULD OTHERWISE JUST BE AT THE PORT EXPENSE
OKAY
AND THEN TWO MORE QUESTIONS
YOU HAD TALKED ABOUT THIS GOING INTO THE RATE BASE
HAVE WE EVER CONSIDERED AS PART OF THE SLOA AGREEMENTS TO REALLY ACCELERATE THE FUNDING FOR THIS PROGRAM USING SLOA? I HAVE TO TURN THAT BACK TO HAN HERE
YES
WE ARE GOING THROUGH THE AIRLINE NEGOTIATION, AND THAT CAN BE A TOPIC, AND I WILL BRING IT INTO THE PORT OF THE PLAN FOR THE AIRLINE NEGOTIATIONS
OKAY
I THINK I WOULD AT LEAST ONE LIKE TO SEE IT BE CONSIDERED
I KNOW THAT THE AIRLINES WILL PUSH BACK, BUT AT THE END OF THE DAY, IT IS THE PLANES THAT ARE CAUSING THE NOISE
IT'S NOT THE PORT OF SEATTLE
IT IS THE PLANES
SO THOSE ARE ALWAYS TOUGH NEGOTIATIONS, BUT I THINK THAT THEY SHOULD BE PAYING HELPING FUND THIS PROGRAM MOVING FORWARD, PARTICULARLY FOR THE EXPLORATION
YEAH
AND AS STEVE MENTIONED, WE JUST RECEIVED THE MII MAJORITY OF INTEREST FROM THE AIRLINE, AND IT WAS APPROVED FOR THE APARTMENT 13,000,000 FOR THE PROJECT
SO WE'RE REALLY HAPPY WE'RE COLLABORATING WITH THEM, AND WE'RE FILLING THEM IN
AND SO IT'S A COLLABORATION OF WORD
SO WE GOT THAT THROUGH WITH AIRLINES
OKAY
EXCELLENT
AND THEN JUST ONE LAST QUESTION ON ONE OF THE FINAL SLIDES, YOU HAD SOME CHANGES THE RISK TO THE PROGRAM, AND ONE WAS A CHANGE TO THE NOISE CONTOURS
COULD YOU TALK ABOUT WHY YOU SAW THAT AS A RISK? THIS IS STANDING AT ALL
I'LL GO AHEAD AND TALK TO THAT ONE
THE FAA APPROVES THE NOISE CONTOUR FOR THESE TYPE OF PROGRAMS WE'VE TALKED ABOUT IN THE PAST, AND IT'S ONLY ELIGIBILITY WITHIN THAT CONTOUR THAT THEY WILL FUND PROGRAMS SO OUR CONTOUR RIGHT NOW IS GETTING OLD
IT WAS DONE IN OUR LAST PART 150 STUDY
IT WAS ACTUALLY YOUR PROJECTED CONTOUR FOR THE YEAR 2018 WHEN WE DID THAT
SO WE'RE GOING TO BE LOOKING AT THOSE CONTOURS AGAIN COMING UP IN ANOTHER YEARS, WE WOULD PROBABLY GO INTO ANOTHER PART 150 STUDY STARTING AT THE END OF NEXT YEAR
AND WHEN THAT CONTOUR IS UPDATED, WE HAVE TO ACCEPT THE RESULTS OF IT
SO THAT COULD BE EITHER A LARGER CONTOUR OR A SMALLER CONTOUR
FROM THE INDICATIONS WE'VE TALKED WITH OUR CONSULTANTS RIGHT NOW, IT'S NOT GOING TO BE DRAMATIC, WE DON'T THINK
BUT THERE COULD BE SOME AREAS THAT CHANGE WITH IT
AND IF THOSE AREAS CHANGE, EITHER WE COULD BE MORE INCLUSIVE OR THINGS WOULD NO LONGER BE ELIGIBLE
SO THAT'S A RISK THAT WE'RE TAKING MOVING FORWARD
AND IT'S A RISK THAT IT IS JUST BASICALLY STATISTICS ON THE AIRPORT OPERATIONS THAT PUTS US INTO THAT
OKAY
THANK YOU
AND THEN FINAL FINAL QUESTION, I PROMISE, IN TERMS OF THE PORT PACKAGES, HOMES THAT HAD BEEN PREVIOUSLY INSULATED IN THOSE PACKAGES FAILED
COULD YOU GIVE US AN UPDATE ON WHERE WE ARE WITH THAT? YEAH
WE HAVEN'T MOVED THAT ONE INTO A PROJECT YET
AS YOU CAN SEE, WE'VE REALLY HAD A LOT OF WORK GOING ON WITH ALL OF THE OTHER THINGS WE PUT TOGETHER HERE WITH APARTMENTS AND CHURCHES AND ALL THE OTHER STUFF
SO WE HAVEN'T MOVED THAT INTO A PROJECT YET, AND IT STILL IS UNKNOWN WHERE THE FUNDING IS GOING TO COME FROM ON THAT
SO WHAT WE HAVE IS A PROJECT THAT IS UNFUNDED
WE KNOW THERE'S TWO DIFFERENT ELEMENTS TO THAT
THERE'S ONE THAT IS REALLY JUST FAILED WINDOWS
SO WE KNOW THINGS ARE BREAKING THE GETTING OLD
IT'S PART OF THE PROCESS
AND THEN THERE'S ANOTHER EFFORT BY THE FAA
I CALL IT THE 1993 EFFORTS
AND WITH THAT, THE FAA HAS INDICATED THAT ANY HOMES BUILT PRIOR TO SOUND INSULATED PRIOR TO 1993 MAY NOT HAVE BEEN DONE UNDER THEIR STANDARDS
SO THEY'RE ALLOWING SOME GRANT FUNDING FOR THOSE PROJECTS SPECIFICALLY DONE 1993 UNDER AN FAA GRANT
AND WHAT THEY'RE SAYING IS THAT WE WE WOULD GO BACK INTO THOSE HOMES, WE WOULD SOUND TEST THOSE HOMES
AND IT WOULD BE BASED ON THAT ELIGIBILITY WITHIN THE CONTOUR AND THE SOUND TESTING THAT WE COULD GO BACK IN AND DO SOME RETRO FITS WITH THOSE TYPE OF PROJECTS
THOSE COULD BE GRAND ELIGIBLE
THE OTHERS CANNOT
SO IF IT'S JUST A FAILED PACKAGE, WINDOW FRAMES ARE BREAKING OR WHATEVER IT IS, THOSE ARE NOT GRANT ELIGIBLE AT THIS POINT
SO WE'RE WORKING WITH OUR GOVERNMENT RELATIONS STAFF, ERIC SEINFELD, TO COME UP WITH SOME OPPORTUNITIES TO LOOK AT OTHER GRANT FUNDING KIND OF PROCESSES WITH THAT TO GET US GRANT FUNDING
ONE OF THOSE IS THROUGH THE FEDERAL BUDGET RECONCILIATION PROCESS, WHICH IS GOING TO HAPPEN AT THE FOLLOW THIS YEAR
SO HE'S GOING TO KEEP AN EYE ON THAT
HE'S ALSO LOOKING AT THE FAA REAUTHORIZATION BILL, WHICH IS GOING TO HAPPEN IN 2023
SO WE HAVE A COUPLE OF OPPORTUNITIES THERE TO INVESTIGATE HOW WE CAN GET SOME MORE GRANT FUNDING ELIGIBLE FOR THESE PROJECTS
OKAY
WELL, THEN THANK YOU
NO
AND THAT WAS ACTUALLY THAT ILLUMINATED A LOT
I THINK WE'VE GOTTEN QUESTIONS OVER THE LAST COUPLE OF YEARS ABOUT PORT PACKAGES AND WHY HASN'T MOVED FORWARD
AND IT SOUNDS LIKE THERE'S NO REAL PROGRAM TO MOVE IT FORWARD
AND IT'S LOOKING AT DIFFERENT SOURCES OF FEDERAL FUNDING WHERE WE MAY BE ELIGIBLE FOR THAT
BUT THE COMMISSION CAN MAKE A DECISION TO FIND FUNDING FOR THOSE PACKAGES THAT HAVE FAILED IN THE PAST
AND I FROM ALMOST SAY IT'S A PRIORITY FOR ME
I KNOW THAT WE ALL CARE VERY DEEPLY ABOUT THE FOLKS THAT LIVE DIRECTLY AROUND THE AIRPORT
AND I BELIEVE WE NEED TO DO MUCH MORE THAT'S EVERYTHING FROM PLANT MORE TREES TO KEEP THE NOISE DOWN AND CARBON SEQUESTRATION TO HELPING THE PEOPLE THAT LIVE AROUND THE MOST URBAN AIRPORT IN THE COUNTRY
AND SO IF WE NEED A COMMISSION MOTION THAT DIRECTS THE STAFF TO LOOK AT OTHER FUNDING SOURCES, INCLUDING THE TAX OR SLOA, SO THAT WE CAN GO BACK AND DO THE PORT PACKAGES
BUT I'M UNWILLING TO WAIT ANYMORE FOR FEDERAL FUNDING TO COME FORWARD TO HELP FIX A PROBLEM THAT'S BEEN OUT THERE FOR MORE THAN 20 YEARS
THANK YOU
THANK YOU, COMMISSIONER BOWMAN
MOVING THE COMMISSIONER CALKINS JUST COMMENT TO SAY I REALLY APPRECIATE THE WORK THAT OUR FEDERAL GOVERNMENT AFFAIRS TEAM HAS DONE TO COORDINATE EFFORTS WITH OUR CONGRESSIONAL DELEGATION ON ADDRESSING THAT VERY ISSUE, THAT THIS IS A NATIONWIDE PROBLEM, THAT AVIATION NOISE IMPACTS COMMUNITIES AROUND AIRPORTS ALL OVER THE COUNTRY
AND I'M PROUD OF THE PORT OF SEATTLE FOR LEADING ON INNOVATIVE PROGRAMS TO IDENTIFY THE PROBLEM AND ALSO LEADING ON ADVOCACY EFFORTS TO GET THE KIND OF FEDERAL LEVEL FUNDING WE NEED TO REALLY ADDRESS THEM
AND I'M APPRECIATIVE TO THE COMMUNITY ENGAGEMENT WE'VE GOTTEN THROUGH THINGS LIKE THE HIGHLINE FORUM AND AND MANAGING DIRECTOR LYTTLE'S IDEA TO CREATE START, WHERE WE GO STRAIGHT TO COMMUNITY MEMBERS AND ASK FOR HER AND WORK WITH THEM AND USING COMMUNITY DERIVED IDEAS TO ADDRESS SOME OF THESE PROBLEMS WITHIN THE LEGAL MEANS THAT WE HAVE A SUPPORT AND THEN ALSO TO GO AS A COLLECTIVE GROUP TO DC AND ADVOCATE FOR CHANGES SO THAT WE CAN DO MORE
SO CONGRATULATIONS TO OUR TEAM FOR IDENTIFYING THESE THINGS, AND ALSO FOR THANK YOU FOR TAKING WHAT WAS REALLY LED BY COMMISSIONER BOWMAN THE IDEA TO ACCELERATE THESE PACKAGES
AND COMING BACK TO US TODAY WITH A PLAN FOR HOW YOU CAN BE ABLE TO DO THAT AND RECOGNIZING THAT YOU'RE WORKING WITHIN BANKING AND LEGAL MORASS THAT IS VERY CHALLENGING TO NAVIGATE
BUT THANK YOU TO ALL OF YOU WHO ARE WORKING ON THIS
THANK YOU
COMMISSIONER CALKINS
MOVING TO COMMISSIONER CHO
YEAH
THANKS FOR THE PRESENTATION TO YOUR TEAM STAND AND EVERYONE ELSE
I WANT TO ASK A QUESTION ABOUT REVISITING THE SUN MITIGATION THAT WAS DONE 23 YEARS AGO
IF WE WERE TO DECIDE TO GO BACK AND FREE UP OR WE INSTALL THE MITIGATION PACKAGES BECAUSE THEY FAILED, WILL WE STILL REQUIRE OR NEED TO GET YOUR SUBORDINATION AGREEMENTS OR IS THAT JUST A REQUIREMENT FOR FAA REIMBURSEMENT? YEAH
THE SUBORDINATION AGREEMENTS DON'T HAVE ANYTHING REALLY TO DO WITH THE FA REIMBURSEMENT
IT'S STATE LAW THAT WE ACTUALLY HAVE TO OBTAIN A NAVIGATION EVENT
AND IN ORDER TO GET THAT NAVIGATION EVENT ON A PROPERTY THAT HAS A MORTGAGE, THEN WE REQUIRE THAT SUBORDINATION AGREEMENT
OKAY
SO IT STILL APPLY
IF THE PROPERTY FROM 30 YEARS AGO THAT GOT THE SUN MITIGATION NEEDS A FIX AND STILL HAS A MORTGAGE, WE WOULD STILL NEED TO GO AND GET THAT
MOST LIKELY, WE WOULD HAVE TO UPDATE THAT AVIATION SENT, WHICH WOULD REQUIRE US TO HAVE THAT SUBORDINATION AGREEMENT
OKAY
OKAY
I THINK THAT WAS MY ONLY POINT OF CLARIFICATION
I MEAN, I OBVIOUSLY AGREE WITH MY COLLEAGUE STEPHANIE THAT WE SHOULD DO IT
WE CAN TO ACCELERATE THIS EFFORT, AND I THINK WE'VE COME UP WITH SOME CREATIVE SOLUTIONS HERE
AND SO I LOOK FORWARD TO SEEING HOW MANY MORE YOU CAN GET IN THE NEXT FEW MONTHS
BUT I'M ALSO OPEN TO ADDITIONAL RECOMMENDATIONS FROM YOU AND YOUR STAFF ON HOW WE CAN ACCELERATE THIS
THANK YOU
I JUST WANT ONE POINT TO THE COMMISSIONER CHILD
THANK YOU VERY MUCH
I DO WANT TO POINT OUT
SO NOW THAT WE HAVE THIS CONSULTANT, EXPERT TEAM ON BOARD WHO'VE DONE THIS ALL ACROSS THE COUNTRY, OUR PLAN IS TO REALLY WORK WITH THEM AND IDENTIFY ANY POTENTIAL INNOVATIVE OPPORTUNITIES TO CONTINUE TO ACCELERATE THE PROGRAM
I JUST WANT TO POINT OUT OUR TEAMS ULTIMATE GOAL IS TO COMPLETE THE PROGRAM AS QUICKLY AS FEASIBLE AND WITH IN LINE WITH PORT PROCESSES AND PROCEDURES, BUT ALSO A HIGH LEVEL OF QUALITY
SO THAT'S MY ULTIMATE GOAL
I WANT TO DO IT AS QUICKLY AS POSSIBLE AND GET IT DONE AS QUICKLY AS POSSIBLE WITHIN LINES OF OPERATING HERE AT THE PORT
THANK YOU
THANK YOU, COMMISSIONER CHO
MOVING TO COMMISSIONER STEINBRUECK
THERE WE GO ON THE MIC
WE SHOULD HAVE THE MASTER CONTROLLER MANAGE THE TOGGLE SWITCH
I CAN'T UNMUTE YOU
I CAN ONLY MUTE YOU
OKAY
WELL, I GUESS YOU'RE NOT OMNIPOTENT
I JUST WANT TO EXPRESS MY APPRECIATION FOR THESE EFFORTS
IT'S BEEN, I WOULD SAY, SOMEWHAT LONG, AND HE PASSED THE ACCELERATION POLICY TO I THINK IT WAS TWO YEARS AGO
I WANT TO EXPRESS MY APPRECIATION FOR COMMISSIONER BOWMAN, IN PARTICULAR, FOR HER STRONG AND DETERMINED LEADERSHIP TO GET MORE DONE FASTER AND IN A BETTER WAY
IT'S BEEN CHALLENGING
IT'S COMPLICATED
IT'S NOT AN EASY TASK TO RETROFIT SOME 140 HOMES AND BUILDINGS AND OTHER FACILITIES, BUT IT IS ALL IMPORTANT
AND WE KNOW THAT IT'S ONE OF THE MOST IMPORTANT AND DIRECT THINGS WE CAN DO TO AMELIORATE NOISE IMPACT ON LOCAL COMMUNITIES WITHIN THE CONSTRAINTS, UNFORTUNATELY, THAT WE HAVE UNDER FAA REGULATIONS
BUT I THINK THIS IS A GREAT RENEWED EFFORT, AND WE JUST HAVE TO KEEP THAT EFFORT GOING STRONG AND EXPEDITIOUSLY
AND I HOPE WE CAN FIND OTHER WAYS, PERHAPS, OR THE SOUTH KING COUNTY COMMUNITY IMPACT FUND TO ADVANCE MORE ENVIRONMENTAL HELP, IF YOU WILL REMEDIATION SUPPORT AND COMBINE THAT WITH OPPORTUNITIES FOR LOCAL GREEN JOBS AT THE SAME TIME
THANK YOU VERY MUCH
THANK YOU, COMMISSIONER STEINBRUECK
COMMISSIONER BOWMAN
THANK YOU
I HAD TWO QUESTIONS
1 WAS INVOLVING THE FOLKS WHO ARE ACTUALLY DOING THE WORK
ARE WE MAKING SOME SORT OF INTERNSHIP EFFORTS ASSOCIATED WITH THIS CONSTRUCTION WORK? INTERNSHIPS WITH THE CONSTRUCTION WORK? SO ARE YOU ASKING ABOUT STAFFING FOR INTERNS WITHIN THE CONSTRUCTION MANAGEMENT PROJECT MANAGEMENT GROUP, OR ARE YOU ASKING ABOUT APPRENTICE TYPE POSITIONS WITH THE TRADES? YES
ANYTIME
THIS IS A BIG UNDERTAKING, I THINK, MOSTLY IN TERMS OF TRADES, PERSONALLY
BUT IF THIS DOES AN OPPORTUNITY TO REALLY GET YOUR HANDS INVOLVED WITH A LOT OF WORK
SO I'LL HAVE TO GET BACK TO YOU ON THAT QUESTION AND TAKE THAT BACK TO MY CONSTRUCTION MANAGEMENT TEAM AND TAKE A CLOSER LOOK AT THAT
BUT WE CAN CERTAINLY GET BACK TO YOU WITH THAT QUESTION
THANK YOU
AND WHEN WE THINK ABOUT THIS PROGRAM, IT'S CALLED INSULATION, BUT WE OFTEN THINK OF JUST WINDOWS
SO WHAT ARE SOME OF THE OTHER THINGS THAT WE DO TO REDUCE NOISE? JULIE, YOU WANT TO TAKE THAT ONE? YEAH
I'LL TAKE THAT
IT ALSO KIND OF SPEAKS TO WE TALKED QUITE A BIT ABOUT WITH HIGHLINE SCHOOL AND USING THE MERV 13 FILTERS
AND SO PART OF THE SOUND INSULATION PROJECT IS ALSO THE AIR VENTILATION
AND SO IN STRUCTURES THAT DON'T HAVE A FURNACE, WHICH IS PREDOMINANTLY CONDOS APARTMENTS, ONE OF THE ELEMENTS THAT WE DO IS WE WILL ACTUALLY CREATE AN EXTERNAL AIR INTAKE BECAUSE REALLY THE SOUND WE CAN PUT IN WINDOWS, BUT AS SOON AS YOU OPEN THEM, YOU SORT OF LET THE SOUND BACK IN
THE VENTILATION SYSTEMS IS ALSO A KEY ELEMENT OF IT
AND SO WHENEVER WE ARE PUTTING IN THE EXTERNAL AIR INTAKE, WE ARE USING THOSE SAME MERV 13 FILTERS SO THAT WE CAN ACHIEVE THE BEST INDOOR AIR QUALITY
WE'RE A LITTLE BIT MORE LIMITED IN TERMS OF SINGLE FAMILY HOMES BECAUSE WE DO USE EXISTING FURNACES FOR THE DISTRIBUTION
AND THOSE FURNACES HAVE KIND OF THEIR OWN MAXIMUM CAPACITY IN TERMS OF FILTRATION
AND SO THEN WE LINK TO THAT
THAT'S FASCINATING
I MEAN, I WOULD HAVE HAD NO IDEA THAT WHAT AN INCREDIBLY BENEFICIAL SECONDARY BENEFIT TO THE COMMUNITIES THAT LIVE THERE
I MEAN, I ALWAYS THOUGHT THAT THE FAA PROGRAM SHOULD HAVE WE CAN MITIGATE NOISE, BUT WE NEVER DO THINGS TO DIRECTLY MITIGATE AIR
BUT IN FACT, THE NOISE PROGRAM DOES MITIGATE AIR
SO I THINK THAT'S A GREAT TOFOR AND WOULD LOVE TO KNOW MORE
THE OTHER SIDE BENEFIT, I WOULD ASSUME, IS GOING TO HAVE OF GREENHOUSE GAS REDUCTION MEASURES
AND SO I'M JUST WONDERING WHETHER WE'VE TAKEN ANY ATTEMPT TO CALCULATE HOW MUCH THESE ARE VALUE IMPROVEMENTS GO TOWARDS ENERGY SAVINGS
YEAH
AND THANK YOU FOR THAT QUESTION
I WILL SAY I DON'T KNOW THAT WE'VE STUDIED THAT EXTENSIVELY, BUT AS WITH YOUR OTHER QUESTION, I THINK THAT'S A GOOD ONE FOR US TO TAKE BACK TO OUR BROADER TEAM TO BE ABLE TO IDENTIFY THOSE TYPES OF PIECES OF INFORMATION AS WELL
I JUST THINK THIS IS A GREAT UNDERTAKING
THANK YOU, COMMISSIONER BOWMAN, FOR CONTINUING TO PUSH FORWARD
BUT I MEAN, THIS IS A GREAT THING FROM THE ORGANIZATION
AGAIN, WE NEED TO TAKE MORE CREDIT FOR THE WORK THAT WE DO AND WHEN THEY'RE NOT THE PRIMARY PURPOSE
BUT THESE ARE OTHER GREAT, GREAT ACCOMPLISHMENTS THAT I I LOOK FORWARD TO
YOU TELLING US ABOUT ALL THE ADDITIONAL BENEFITS THAT YOU'RE GOING TO BRING TO THE NEIGHBORHOOD
SO I THANK YOU VERY MUCH
I GUESS WE NEED A MOTION NOW
NO, THERE IS NO ACTION ON THIS ITEM IS TO COMMISSION ME
YES, THAT IS FOR THE NEXT ACTION
SO YOU ARE CORRECT, BUT IT IS STILL COMING
ALRIGHT
SO ACTUALLY YES, UNLESS THERE'S ANY FURTHER QUESTIONS, WE WILL MOVE ON THEN TO I BELIEVE IT'S 10-D
THIS IS ITEM 10-D AND I'LL READ IT INTO THE RECORD
THIS IS FOR AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO PLAN, DESIGN AND PREPARE CONSTRUCTION DOCUMENTS FOR THE APARTMENT SOUND INSTALLATION PROGRAM LOCATED WITHIN THE CURRENT NOISE REMEDY BOUNDARY NEAR THE SEATTLE TACOMA INTERNATIONAL AIRPORT
IN THE AMOUNT NOT TO EXCEED 34,386,000 DOLLARS FOR A TOTAL APARTMENT PROGRAM COST OF 133,515,000 DOLLARS
SO MOVED SECOND
OKAY, LET'S GO AHEAD AND GET TO EXECUTIVE DIRECTOR METRUCK FIRST FOR HIS INTRO AND THEN WE WILL HEAR FROM STAFF BEFORE THE MAIN MOTION
COMMISSIONER, OF COURSE, THIS IS THE AGENDA ITEM DIRECTLY TIED TO THE BRIEFING YOU JUST RECEIVED
AND STEVE IS PREPARED TO PRESENT THE REQUEST TO AUTHORIZE DESIGN FOR THE ENTIRE AUDIENCE INSTALLATION APARTMENT PROGRAM
SO I DON'T KNOW IF YOU DESIRE THAT BRIEFING OR STEVE, WE CAN MR WELL, I MEAN, CAN YOU GIVE US A QUICK SYNOPTIC REVIEW? I MEAN, IT SEEMS LIKE YOU JUST GAVE US THE BEEF OF THE STORY
YEAH, I CAN GIVE IT A QUICK OVER YOU
I DON'T KNOW IF YOU WANT TO RUN THROUGH THE PRESENTATION
JUST THREE QUICK SLIDES JUST TO KIND OF GIVE YOU GUYS MORE OF AN OVERVIEW OF THE APARTMENT PROGRAM WHAT WE HAVE GOING ON
BUT THANK YOU
YEAH, SURE
SO THANKS, EXECUTIVE DIRECTOR METRUCK
AND AGAIN, GOOD AFTERNOON, COMMISSIONERS
NEXT SLIDE, PLEASE
SO IT'S FOR THE PROGRAM TODAY
I'M REQUESTING DESIGN AUTHORIZATION FOR THE 3,400,000 DOLLARS
THIS REQUEST WILL SUPPORT THE COMMISSION MOTION TO ACCELERATE ON INSTALLATION PROGRAM
AS I'VE ALREADY STATED, THIS IS THE LONGEST CRITICAL PATH OF THE PROGRAM WILL BE COMPLETING 18 APARTMENT COMPLEXES WITH 903 UNITS
THE AUTHORIZATION WILL ALSO ALLOW THE TEAM TO BEGIN AND COMPLETE ALL OF SIC TESTING, PLANNING, PROJECT DOCUMENTATION, THE SUBORDINATION AGREEMENT, SUPPORT AND COORDINATION NEEDED AND PREPARATION OF ALL DESIGN AND CONSTRUCTION DOCUMENTS ALONG WITH MANY OTHER SCOPE ELEMENTS NEEDED TO SUPPORT THE PROGRAM
STAFF WILL BE RETURNING TO COMMISSION Q 1 2022 FOR CONSTRUCTION AUTHORIZATION FOR THE FIRST DESIGN PACKAGE
AND I DID ALSO WANT TO HIGHLIGHT WE MENTIONED IT A COUPLE OF TIMES, BUT THE MII VOTE THE AIRLINE SUPPORTED WITH A PASSING BOAT LAST WEEK FOR 133,000,000 DOLLARS OF SUPPORTING THE PROGRAM
SO THAT WAS A BIG WIN THE MILESTONE
SO I TALKED TO THIS IN THE LAST PRESENTATION, ACOUSTIC TESTING AND OUTREACH SCHEDULE FOR Q 4 2021 TO BE COMPLETED IN Q 4 2023
AND THAT'S REALLY FOR THE TEAM TO FINISH UP AND CONDUCT ALL THE OUTREACH, ALL THE TESTING FOR THE APARTMENT COMPLEXES PARTICIPATING THE PROGRAM
AND THEN WE'LL MOVE ON TO THE DESIGN AND PERMITTING THOSE PACKAGES
I PLAN ON COMPLETING Q 3 20, 25, AND THAT WILL BE DESIGNED AND PERMITTING SEVERAL PACKAGES THROUGHOUT THE ENTIRE PROGRAM DURATION, ALONG WITH CONSTRUCTION ANTICIPATED TO BEGIN CONSTRUCTION Q 3 2022 THROUGHOUT PROGRAM COMPLETION NO LATER THAN Q 4 2026
AND AS I MENTIONED, I'M GOING TO DO EVERYTHING WE CAN TO ACCELERATE THAT DATE, JUST LIKE DESIGN AND PERMITTING
THE CONSTRUCTION IS GOING TO HAVE SEVERAL SEPARATE MAJOR WORK CONSTRUCTION PACKAGES THROUGHOUT THE PROJECT
AND WE'LL BE WORKING CLOSELY WITH OUR PROGRAM MANAGEMENT CONSULTANT TO IDENTIFY ANY POTENTIAL ACCELERATION OPPORTUNITIES AS WE CONTINUE TO GO OUT THROUGHOUT THE WHOLE PROGRAM
NEXT SLIDE, PLEASE
NEXT SLIDE, PLEASE
I MISSED THAT ONE
SORRY
AND THIS NOISE BOUNDARY MAP HIGHLIGHTS 18 APARTMENT COMPLEXES SHOWN IN RED
THESE ARE ALL THE POTENTIALLY ELIGIBLE APARTMENT COMPLEXES TO PARTICIPATE IN THE SOUND INSTALLATION PROGRAM
SO, ESSENTIALLY, IF ALL 18 APARTMENT COMPLEXES ARE ELIGIBLE AND PARTICIPATE IN THE PROGRAM, THIS WILL CERTAINLY REPRESENT A SIGNIFICANT UNDERTAKING FOR THE PROGRAM TODAY
I'M ASKING FOR YOUR SUPPORT AGAIN, ONE STEP CLOSER TO BEING ABLE TO PROVIDE SOUND INSTALLATION TO THE IMPACTED RESIDENTS WITHIN OUR SURROUNDING COMMUNITY
MY TEAM IS COMMITTED TO GETTING THIS DONE AS QUICKLY AND SAFELY AS POSSIBLE
SO, AS I'VE ALREADY HEARD, YOU'VE ALREADY SUPPORTED THE PROGRAM, SO I REALLY APPRECIATE THAT
FANTASTIC
CLERK HART, DO YOU WANT TO I SEE
COMMISSIONER STEINBRUECK, YOU HAVE A QUESTION? YEAH
I THINK WE'VE TALKED ABOUT THIS BEFORE, BUT IT STRIKES ME THAT PRIORITIZING THE APARTMENT BUILDINGS WHERE A LOT MORE PEOPLE LIVE AND IN CLOSER PROXIMITY OUGHT TO BE A CONSIDERATION
THERE'S ALSO ECONOMIES OF SCALE WITH REGARD TO THE LARGER BUILDINGS, I THINK, AND MORE WORK TO SET UP AND BREAK DOWN AND ALL OF THOSE THINGS
BUT IT JUST SEEMS TO ME MORE PEOPLE CAN BENEFIT FASTER IF WE PRIORITIZE THE 18 APARTMENT BUILDINGS
YES
JULIE MIGHT BE ABLE TO SPEAK A LITTLE BIT TO YOU HOW WE'RE PRIORITIZING TO WORK HERE
OKAY
THAT'S MY QUESTION
WE ARE ACTUALLY WORKING WITH THE OFFICE OF DIVERSITY AND EQUITY DIVERSITY AND INCLUSION ON CREATING A GIS MAP, AND THAT'S GOING TO DO SOME OVERLAYS WITH
WELL, I'LL LET JULIE EXPLAIN IT A LITTLE BIT
AND TO THAT POINT, THESE ARE RENTERS AS OPPOSED TO HOMEOWNERS
PROBABLY YOU CAN BE ALL THE APARTMENTS
AND SO THE LIKELIHOOD IS THAT THERE MAY BE MORE LOW INCOME HOMEOWNERS
I MEAN, RENTERS UNDER THE EQUITY INDEX MEASUREMENTS
THAT, AGAIN, OFFER ANOTHER REASON, IF YOU WILL, FOR PRIORITIZATION
ABSOLUTELY TRUE
YOU WANT TO GIVE A LITTLE OVERVIEW ON WHAT WE'RE PLANNING TO DO HERE? I CAN
AND WHAT I WOULD SHARE IS WE HAVE ACTUALLY BEEN WORKING WITH THE OFFICE OF EQUITY DIVERSITY INCLUSION WITH THE EQUITY INDEX THAT YOU SPOKE OF
WE SPECIFICALLY DIDN'T SPEAK TO IT IN OUR PRESENTATION BECAUSE WE KNOW THEY ARE COMING TO COMMISSION IN SEPTEMBER, AND SO WE CERTAINLY DON'T WANT TO STEP ON THEIR MESSAGE
IT IS A WONDERFUL TOOL
WE HAVE USED IT TO BE INCORPORATED IN OUR PROCESSES SO THAT WE ARE DESIGNING WITH EQUITY
YEAH
AND JUST TO FINISH ON THAT POINT, AS I SAID, BESIDES EQUITY AS A DRIVER HERE, IT'S THE POINT THAT I WAS TRYING TO MAKE IS THAT APARTMENT BUILDINGS OFFER ONE WAY TO ACCELERATE THE BENEFITS FOR MORE PEOPLE
BECAUSE OF THE SIMPLE FACT THAT THEY'RE HIGHER DENSITY
A SINGLE APARTMENT PROJECT MAY ENCOMPASS A FAIR NUMBER MORE PEOPLE THAN A SINGLE FAMILY RESIDENCE
AND IT'S NOT EITHER OR IT'S ABOUT HOW WE PRIORITIZE
THANK YOU, COMMISSIONER STEINBRUECK
I DO SEE COMMISSIONER BOWMAN HAND UP AS WELL
GREAT
THANK YOU
WHO DOES THE PERMITTING? IS IT KING COUNTY? AND CAN YOU IDENTIFY ANY EFFICIENCIES THAT COULD ACCELERATE THE PERMITTING PROCESS? THE PERMITTING WILL BE WITH THE LOCAL CITIES THE CITY OF DES MOINES AND BURIEN
OKAY, SEATAC
SO THEY'LL BE THE LOCAL PERMITTING AGENT
AND OUR CONSULTANT HAS SOME CONTACTS AND THEY'RE WELL VERSED AND PERMITTING WITHIN THESE CITIES
SO I ANTICIPATE PERMITTING GOING FAIRLY WELL FOR THESE TYPES OF PROJECTS
OKAY
BUT YOU'LL LET US KNOW IF THE STAFF WILL LET US KNOW IF YOU'VE IDENTIFIED ANY HICCUPS LOAD BLOCKS
IT'S TAKING A LITTLE BIT LONGER
IS THERE SOMETHING THAT WE CAN DO TO HELP ACCELERATE WITHIN THOSE CITIES? WE KNOW THAT A LOT OF THE CITIES HAVE A LOT OF STRAINS ON THEIR STAFF ALREADY
AND SO IF THERE'S ANYTHING THAT WE CAN DO, THERE'S A PROGRAM THROUGH THE ARMY CORPS OF ENGINEERS
MANY YEARS AGO, THE PORT TOOK ADVANTAGE OF PROVIDING STAFF TO BE ABLE TO GET CORE PERMITS THROUGH
I'M NOT SUGGESTING WE NECESSARILY DO THAT WITHIN THE CITY DES MOINES, FOR EXAMPLE
BUT IF YOU'VE IDENTIFIED ANYTHING WITHIN THE CITIES THAT WE COULD HELP ACCELERATE THIS, THAT WOULD BE GREAT TO KNOW
ABSOLUTELY, COMMISSIONER
WE WILL CERTAINLY KEEP YOU AWARE IF WE RUN INTO ANY SORT OF ROADBLOCKS WITHIN THE LOCAL GOVERNMENTS
AS OF RIGHT NOW, I KNOW WE HAVE A PRETTY GOOD WORKING RELATIONSHIP, JUST BASED ON SINGLE FAMILY HOMES AND SOME OF THE CONDO WORK THAT WE'VE DONE, BUT YES
ABSOLUTELY
ALRIGHT
THANK YOU
THANK YOU
COMMISSIONER BOWMAN
MR COMMISSION PRESIDENT
I DON'T SEE ANY OTHER HANDS RAISED FOR QUESTIONS
YOU'RE ON MUTE, SIR
I DIDN'T DO IT RIGHT
I'M GLAD YOU JUST FOCUS ON COMMISSIONER STEINBRUECK FOR THAT PURPOSE, BUT SORRY
I BELIEVE WE NEED A MOTION THEN TO CONCLUDE TODAY'S MEETING
I ALREADY MADE IT
FRED AND PETER
I CAN DO IT
AND WE ALREADY HAVE A SECOND
BRILLIANT
SO, HER CART, WOULD YOU PLEASE CALL THE ROLL? THANK YOU
THIS IS FOR THE VOTE ON THE ADOPTION OF ITEM 10 D, BEGINNING WITH COMMISSIONER BOWMAN
AYE
THANK YOU, COMMISSIONER CALKINS
AYE
THANK YOU, COMMISSIONER CHO
AYE
THANK YOU, COMMISSIONER STEINBRUECK
COMMISSIONER STEINBRUECK, YOU'RE MUTED, SIR
I DID NOT DO IT
HERE WE GO
I'M JUST TRYING TO DO MY PART
YES, OF COURSE
THANK YOU, COMMISSIONER FELLEMAN, AYE
THANK YOU
YOU HAVE FIVE YESSES AND ZERO NOS FOR THIS ITEM
THAT MEANS THE MOTION PASSES UNANIMOUSLY
THANK YOU SO MUCH
GOD SPEED, FAIR WINDS
LET'S SAY THIS IS THERE'S A ROUTE OF APPLAUSE OF GREAT WORK OF OUR STAFF
THANK YOU VERY MUCH, COMMISSIONER
ALRIGHT THEN
WELL, THAT DOES CONCLUDE TODAY'S BUSINESS ITEMS IF WE CAN GO THROUGH A COMMISSIONER EXECUTIVE METRUCK, DO YOU WANT TO MAKE ANY CONCLUDING COMMENTS ABOUT THAT PRESENTATION OR ANY ANNOUNCEMENTS THAT WE SHOULD BE AWARE OF? NO
COMMISSIONERS, THANKS FOR YOUR APPROVAL OF THAT AUTHORIZATION SO WE CAN GET GOING ON THAT
AND SHE SAID THE APARTMENT PROGRAM IS A BIG PART OF THAT EFFORT
BUT I HEAR YOUR FEEDBACK ON LOOKING FOR WAYS
ARE THERE ANY OTHER WAYS TO HAVE EFFICIENCIES IN THE PROGRAM? I HEAR THAT TOO
AND I WANT TO THANK COMMISSIONER BOWMAN FOR BRINGING THIS UP TOO
AND THERE'S SUPPORT AND ALL THE COMMISSIONERS SUPPORT IN THESE EFFORTS
EXCELLENT
CLERK HART, COULD YOU ASK THE COMMISSIONERS FOR ANY FINAL COMMENTS? FINAL COMMENTS THAN ANY REFERRALS TO COMMITTEES, COMMISSIONER BOWMAN NO FINAL COMMENTS
THANK YOU
THANK YOU, COMMISSIONER CALKINS, I DO HAVE A COMMENT AND POTENTIAL REFERRAL TO COMMITTEE
MONDAYS IPCC REPORT, I THINK, HAS US ALL REEVALUATING THE PACE AT WHICH WE'RE ATTEMPTING TO ADDRESS CLIMATE CHANGE AND OUR PUBLIC COMMENTS TODAY REFLECT OUR COMMUNITIES CONCERN WITH THE STATUS QUO
AND WE HAVE AS A PORT, BEEN INNOVATIVE IN CLIMATE ACTION WITH RESPECT TO OUR PEERS
BUT EVEN BEING AT THE FOREFRONT AMONGST PORTS ISN'T ENOUGH
AND SO AS WE LOOK AT NEAR THE PORT INTERSECTS WITH CLIMATE CHANGING ELEMENTS OF OUR ECONOMY
WE HAVE BOTH A RESPONSIBILITY AND AN OPPORTUNITY TO DO THINGS THAT OTHER AGENCIES CAN'T
AND I'M REMINDED OF OUR CLEAN TRUCK PROGRAM THAT WE WERE ABLE TO SUCCESSFULLY ROLL OUT FROM 2008 TO INITIALLY 2018 AND THEN IT WAS EXTENDED A YEAR TO 2019 TO FINALIZE
AND THE ELEMENTS OF THAT PROGRAM THAT I THINK WERE EFFECTIVE WERE A WILLINGNESS TO PROVIDE THE INDUSTRY IS INVOLVED WITH CLARITY ABOUT WHAT THE END GOAL WAS WITH A TIMELINE THAT WAS CHALLENGING, BUT ACHIEVABLE
AND TO BE CLEAR, WHEN IT WAS INITIALLY PASSED, THERE WERE MANY FOLKS SAYING IT WAS NOT ACHIEVABLE AND IT RESULTED IN DRAMATIC DECREASES IN LOCAL AIR POLLUTION AND GOOD GAINS IN GREENHOUSE GAS EMISSIONS REDUCTIONS AS WELL
SO WHEN WE LOOK AT THAT MODEL AND THINK ABOUT HOW WE MIGHT APPLY IT TO OTHER AREAS OF SIGNIFICANT CONCERN, I'M PARTICULARLY INTRIGUED TO LEARN HOW WE MIGHT USE A SIMILAR MODEL WITH THE CRUISE INDUSTRY TO SAY WHAT IS A REASONABLE TIMELINE BY WHICH WE COULD EXPECT TO SEE THE INTRODUCTION OF ZERO EMISSIONS CRUISE VESSELS AND EVENTUALLY THE THE PROHIBITION OF ANYTHING BUT ZERO EMISSIONS CRUISE VESSELS
AND THAT MAY STRIKE SOME AS BEING BLUE SKY DAYDREAMING
BUT AS WE'VE HEARD, WE DON'T HAVE A MOMENT TO LOSE
AND SO MY SUGGESTION IS THAT OUR NEWLY NAMED SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE PUT TOGETHER A REQUEST THAT WE SEND TO EXECUTIVE DIRECTOR METRUCK AND STAFF, OBVIOUSLY LED BY SANDRA KILROY AND OTHERS, TO COME BACK TO US WITH A TIMELINE
AND I THINK IT'S THE LEAST WE CAN DO TO BE RESPONSIVE TO THE INCREASING COURSE OF VOICES AROUND THIS ISSUE AND TO ADDRESS WHAT IS CLEARLY THE CRISIS FOR OUR TIMES
HOW ARE WE AS AN AGENCY GOING TO ADDRESS CLIMATE CHANGE? SO THAT'S MY PROPOSAL
I DON'T KNOW IF THAT REQUIRES A SECOND OR IF THE CO CHAIRS OF THE SEAC COMMITTEE CAN JUST TAKE THAT AS THEIR WORK PLAN IF THEY SO CHOOSE, BUT THAT WOULD BE MY REQUEST
I'LL JUST RESPOND
WELL, I THINK WE'LL NEED TO HAVE ADDITIONAL DISCUSSION HERE AND INCLUDE STAFF ON THIS, BUT I'M VERY INTERESTED IN SEEING WAYS WE CAN ACCELERATE OUR EFFORTS
I KNOW THERE ARE MAJOR CHALLENGES WITH REGARD TO INFRASTRUCTURE AT THE SEAPORT AND THE COST OF THAT, AND WE'RE IN IT TOGETHER WITH THE ALLIANCE
I HAVE NEVER BEEN COMFORTABLE WITH THE 2050 TARGET DATE FOR FULL CARBON NEUTRALITY AT THE SEAPORT
THE REALLY BIG CHALLENGE IS, IS BEYOND OUR OWN INFRASTRUCTURE, WHERE WE'RE MAKING GREAT STRIDES
IT'S WITH A SCOPE THREE EMISSIONS THAT BEYOND OUR DIRECT CONTROL, WHETHER IT BE AVIATION OR MARITIME
IT'S LIKE THE CITY OF SEATTLE CAN CONTROL THE AMOUNT OF DRIVING THAT PEOPLE DO, AND IT'S DRIVEN BY CONSUMERS AND CONSUMER DEMAND AND DEMAND FOR TRAVEL, AIR TRAVEL
BUT WE CAN ACCELERATE
I THINK WE CAN COMMIT TO TRANSITIONING BOTH OUR TRANSPORTATION FACILITIES AT THE PORT AS WELL AS OUR BUILDINGS, AS I HAVE SOUGHT TO DO WITH REGARD TO TRANSITIONING TO CLEAN ENERGY FOR ALL OF OUR PORT FACILITIES, AND THAT WORK IS UNDERWAY
SO LET'S HAVE FURTHER DISCUSSION, AND PERHAPS WE COULD INVITE COMMISSIONER CALKINS TO JOIN US AT MAYBE THE NEXT ENS COMMITTEE
I SEE
I'M SORRY
THE NEXT C COMMITTEE COMMITTEE
MR COMMISSIONER
PRESIDENT, I JUST WANTED TO GET SOME CLARITY
THERE IS COMMISSIONER CALKINS REQUESTING A FORMAL MOTION TO REFER TO COMMITTEE BECAUSE THAT IS A FORMAL MOTION
COMMISSIONER CALKINS, IT SOUNDS TO ME LIKE OKAY, RIGHT
COMMISSION
COMMISSIONER CALKINS, ARE YOU ASKING FOR? I KNOW WE'RE ALL SORT OF NEW TO THESE PROTOCOLS, AND THAT IS WHAT I'M REQUESTING
I'M SEEKING A SECOND TO TAKE THIS IDEA TO THE SUSTAINABILITY, ENVIRONMENT AND CLIMATE COMMITTEE FOR CONSIDERATION AS A POTENTIAL WAY FORWARD AND AND BEING ABLE TO USE THE RESOURCES OF OUR COMMITTEE STRUCTURE TO INVESTIGATE THIS FURTHER
NO COMMITMENT TO DO IT, BUT TO LEARN MORE TO SOLICIT STAFF INPUT
AND THEN IF THE COMMITTEE SO CHOOSES TO, THEN EITHER SEND IT TO EXECUTIVE DIRECTOR METRUCK FOR ACTION OR BACK TO THE FULL COMMISSION TRACTION
SO JUST FOR CLARITY, YOU ARE TALKING ABOUT A ZERO EMISSION CRUISE SHIP
PRECISELY
I'M TALKING ABOUT HOW DO WE LEAD THE WORLD AS A CRUISE TERMINAL IN ADVANCING SOME OF THESE ZERO EMMISSION FUELS TECHNOLOGIES THAT ARE BEING ADOPTED IN OTHER AREAS OF MARITIME, BUT SO FAR, WE'VE NOT SEEN A WHOLE LOT OF HEADWAY WITH CRUISE
WELL, I FIND THAT TO BE A LITTLE FANTASTIC
WELL, I APPRECIATE YOUR CONCERNS ABOUT IT, WHICH IS PRECISELY WHY IT OUGHT TO BE CONSIDERED IN COMMITTEE
THIS IS THE IDEA
I WOULD MOTION
I WOULD OFFER AN ALTERNATIVE MOTION REQUESTING COMMISSIONER CALKINS PRESENCE AT THE NEXT AVAILABLE SEAC COMMITTEE MEETING TO DISCUSS WAYS IN WHICH WE CAN ACCELERATE OUR EFFORTS TO GO TO ZERO IN THE MARITIME, INCLUDING CRUISE
WHAT DOES THAT REQUIRE? MOTION? I DON'T THINK IT DOES
BUT SINCE COMMISSIONER CALKINS SEEKING TO MAKE A MOTION FOR THAT PURPOSE, I THINK THERE'S A LOT OF COMPLEXITY, A DISCUSSION THAT NEEDS TO BE TAKEN UP
THE STAFF HAS TO BE CLEAR
I AM TRYING TO SHIELD STAFF FROM UNNECESSARY WORK
THAT IS THE POINT OF DOING IT IN THIS MANNER, RATHER THAN SIMPLY TELLING STEVE GO DO THIS
MY GOAL IS TO HAVE IT DONE IN COMMITTEE, AND THEN IF THERE IS MERIT TO IT, THEN IT GOES TO STEVE FOR CONSIDERATION AS A STAFF ACTION
BUT AT THIS POINT, I BELIEVE THAT I'M TRYING TO DO THE RIGHT THING HERE IN KEEPING IT WITHIN THE COMMISSION WORK BEFORE WE SEND IT TO STAFF SO THAT IT IS VETTED FOR FEASIBILITY AND ATTAINABILITY BEFORE WE SEND IT TO STAFF
THE STAFF THE MEETING
SO, SANDY, YOU TELL US SOMETHING, SANDY, WHAT DO YOU THINK? WELL, FIRST OF ALL, THANK YOU FOR RAISING THIS
AND CERTAINLY THE PORT COMMISSION AND ALL OF YOU HAVE SET A VERY STRONG VISION FOR THE PORT OF SEATTLE AND BEING A LEADER IN THIS WORK
SO WE CERTAINLY APPRECIATE THE CONTINUATION OF THAT
JUST A FEW THINGS
YOU DID ADOPT THE NORTHWEST PORTS CLEAN AIR STRATEGY THAT DID SET A ZERO EMISSION GOALS, INCLUDING FOR SCOPE THREE, WHICH WOULD INCLUDE SHIFTS
SO WE HAVE SOME CONSTRUCT UNDER WAY TO DO THAT
ADDITIONALLY, THERE ARE PORTS AND BUSINESSES GLOBALLY WHO ARE STARTING TO RESEARCH THE CONCEPT OF ZERO MISSION SHIPS
SO THAT IS HAPPENING
AND WE DO HAVE STAFF THAT HAVE STARTED TO CONNECT IN IN THE INTERNATIONAL VENUES THROUGH IAP AND THE GREEN PORT CONGRESS AND OTHER WAYS TO TRACK THIS
I WOULD ALSO SAY THAT EXECUTIVE DIRECTOR HAS BEEN A STRONG ADVOCATE OF US ENGAGING AT THE THE INTERNATIONAL LEVEL WITH THE INTERNATIONAL MARITIME ORGANIZATION ON HOW WE CAN HELP PUSH QUICKER LOOK INTO ALTERNATIVE FUELS AND HIGHER STANDARDS AND ALTERNATIVE SHIPS
SO I THINK YOU'LL SEE SOME OF THIS MOVING FORWARD AND KIND OF A GROWING FOCUS ON HOW WE AS A PORT CAN HELP WORK WITH OTHER PORTS TO MOVE OUR SCOPE THREE EMISSIONS
BUT HAPPY TO CERTAINLY WORK WITH THE COMMISSIONERS, WITH THE COMMITTEE AND WITH THE EXECUTIVE DIRECTOR METRUCK ON RESPONDING TO YOUR INTEREST TO MOVE FASTER
I'M SORRY, MR COMMISSION PRESIDENT, I DO SEE DIRECTOR JOHN STEVENS AND ALSO EXECUTIVE REGARDS TO THAT TRICK
I SAID EXECUTIVE METRUCK, PLEASE
THANKS, COMMISSIONERS, AND BRING THIS UP
OBVIOUSLY, THIS IS SOMETHING WE'VE BEEN DISCUSSING AND SANDY DID A NICE JOB OF KIND OF CAPTURING OUR THOUGHTS ABOUT THIS, BUT WE'LL BE GLAD TO DISCUSS THIS FURTHER AT THE SEAC COMMITTEE OF THAT WAY FORWARD AND PARTICULARLY WITH THE EFFORTS THAT WE HAVE UNDERWAY
BUT THE DECARBONIZATION OF THE MARITIME INDUSTRY FROM TRANSOCEANIC VESSELS TO LOCAL VESSELS TO FERRIES AND ALL OF THOSE, IT'S A VERY COMPLEX SYSTEM TO DO THAT
BUT WE LOOK FORWARD TO DISCUSSING WHAT IS THE ART OF THE POSSIBLE WITHIN THAT FRAMEWORK IN OUR CONTRIBUTION IN OUR INVOLVEMENT IN IT
STEPHANIE, I HADN'T RAISED MY HAND
I WAS JUST OBVIOUSLY KEENLY INTERESTED IN THIS AND CERTAINLY SHARE THE INTEREST IN IT AS I LOOK AT BUDGETING FOR NEXT YEAR OF ACTUALLY INCLUDED STAFF WORK TOWARDS THESE BOTH RESEARCH AND ADVOCACY EFFORTS
BUT OF COURSE WE KNOW IT IS
YOU KNOW, THERE'S A LONG ROAD MAP TO GET THERE, SO LOOK FORWARD TO TALKING ABOUT IT MORE AT THE SEAC COMMITTEE AND IT'S NOT SOMETHING STAFF HAS NOT BEEN THINKING ABOUT
ALRIGHT, AND I DO APPRECIATE THAT
AND MARITIME BLUE IS PARTICULARLY FOCUSED ON AND STEVE NOW SERVES ON MARITIME BLUE
THE DECARBONIZATION OF SHIPPING HAS BEEN A KEY FOCUS
I DO WANT TO NOTE THAT THE ENS COMMITTEE'S TITLE WAS A LOT EASIER TO SAY JUST BEFORE TODAY
IT'S JUST TWO ENS
THAT'S A LOT EASIER TO SAY THAN SEAC OR WHATEVER, BUT THAT'S JUST A POINT OF ORDER THERE
BUT THE OTHER ISSUE IS THAT THIS IS NICE TO ALWAYS LOOK DOWN THE ROAD, BUT WE HAD TWO TESTIMONIES TODAY ABOUT A VERY TANGIBLE ISSUE ASSOCIATED WITH CRUISE SHIPS
AND SO I WOULD LIKE US TO FOCUS ON WHAT'S IMMEDIATELY IN FRONT OF US AND NOT MISS THE OPPORTUNITY
AND THE QUESTION OF BURNING LOW SULFUR FUELS VERSUS SCRUBBING AND VERSUS WHAT WE DO WITH THE DOCK VERSUS WHAT WE DO THROUGHOUT WASHINGTON WATERS
WHAT IS THIS IS RIGHT BEFORE US
THIS IS COMPLETELY VIABLE TODAY, AND THIS HAS BEEN A SUBJECT THAT THE TWO FOLKS WHO TESTIFIED POINTED OUT THEY PARTICIPATED IN THE MLU PROCESS
IT'S ONCE EVERY THREE YEARS THE PUBLIC GETS TO PARTICIPATE IN THIS AND THERE HASN'T BEEN A RESOLUTION OF IT
I KNOW, STEPHANIE, YOU'VE BEEN VERY MUCH FOCUSED ON THIS, BUT I WOULD LIKE TO HAVE SOMETHING VERY TANGIBLE BEFORE US RESOLVED AND WE CONTINUE TO LOOK DOWN THE ROAD
OKAY
ALRIGHT
I DON'T KNOW
DO WE HAVE A SENSE, STEPHANIE, WHEN THE QUESTION OF WHAT THE CONCLUSION OF THE MLU PROCESS WILL BE, DO WE HAVE A TIME FRAME? SO THERE IS A PUBLIC MEETING SCHEDULED ON AUGUST 24 FOR THE CONCLUSION OF THIS ROUND OF THE MLU FOR CONCLUSION OF THIS ROUND OF THE MLU AS WELL
BUT I WOULD JUST REMIND COMMISSIONERS THAT AS WE HEARD FROM OUR COMMENT TOURS SINCE JUST PRIOR TO THIS CRUISE SEASON WAS WHEN WELL, THIS CRUISE SEASON WAS WHEN OUR BAN ON SCRUBBER DISCHARGE AND OUR BERTHS WENT INTO EFFECT
SO WE HAVE NOW HAD THAT NEW POLICY WE'VE SEEN ABOUT MAYBE 10 SHIPS GO THROUGH THAT NOW DURING PASSENGER OPERATION
SO WE ACTUALLY HAVE ADOPTED A NEW POLICY REGARDING SCRUBBER DISCHARGE OR EXHAUST GAS CLEANING SYSTEM DISCHARGE THAT WE ARE NOW OBSERVING HOW THAT WORKS
SO WE ACTUALLY HAVE MADE PROGRESS, AND THAT DID RESULT OUT OF THE MLU PROCESS A COUPLE YEARS AGO
THAT IS NOT HOW WE IMPLEMENTED IT, BUT THAT IS INDEED WHERE THE CONCEPT AND THINKING ABOUT IT DID INITIATE
I DO APPRECIATE THE FACT THAT YOU HAVE ALWAYS KEPT THE FOCUS ON THE CONTINUED IMPROVEMENT OF ART
AND I CONTINUE TO ASSERT THAT IF YOU'RE GOING TO TAKE A CRUISE, THE PORT OF SEATTLE IS THE BEST HOME PORT FOR DOING THAT, AND IT'S BECAUSE OF THE WORK AND COMMITMENT YOU CONTINUE TO SHOW
AT THE SAME TIME, I WAS WATCHING THE OVATION OF THE SEAS SITTING AN ANCHOR IN THE MIDDLE OF LEA, CLEARLY RUNNING ITS SCRUBBERS
AND WHETHER OR NOT, BECAUSE IT'S NOT AT THE DOCK, WHETHER OR NOT THEY'RE ALLOWED TO DO DISCHARGE, OBVIOUSLY, IT'S AT THEIR DISCRETION
SO IT'S REALLY ESPECIALLY WHEN WE HAVE SO MANY SHIPS ON THE HOOK RIGHT NOW, IT'S A GOOD ISSUE TO HAVE CLARIFIED
I DID NOT MEAN TO NEGATE THE FACT THAT WE CONTINUE TO DO WHAT WE DIRECTLY HAVE CONTROL OVER, BUT ECOLOGY AND THE PORT AND THE CRUISE LINES COMPRISE THE MLU GROUP
AND I JUST WOULD LIKE TO SEE THAT COME TO A CONCLUSION
AND NOW I KNOW AUGUST 24 TH IS THE DATE
SO THANK YOU FOR THAT, MR COMMISSION PRESIDENT
BEFORE WE CONTINUE, I JUST WANT TO REMIND THE COMMISSIONER CALKINS HAS A MISSION ON THE FLOOR, SO IT SOUNDS LIKE WE HAVE A PATH FORWARD
COMMISSIONERS STEINBRUECK AND BOWMAN WILL INCLUDE ON THE AGENDA AT AN UPCOMING SEAC MEETING, MY PROPOSED DISCUSSION POINT, AND I WILL ATTEND THAT MEETING, AND WE CAN DELVE INTO MORE DETAILS WITH SANDY AND HER TEAM, POTENTIALLY STEPHANIE JONES-STEBBENS, AS WELL, TO GET DEEPER INTO THIS
BUT I DO WANT US TO ACTIVELY BE THINKING NOT JUST ABOUT WHAT OUR GOALS FOR THE NEXT YEAR OR TWO YEARS, BUT ALSO OUR GOALS FOR THE NEXT 20 AND 30 YEARS TO ENSURE THAT WE'RE RESPONSIVE TO THESE CONCERNS
AND I DON'T THINK IT'S TO PIE IN THE SKY THINKING TO BE TALKING ABOUT WHAT WOULD THAT LOOK LIKE AND HOW DO WE GET THERE? AND THAT'S WHY I DIDN'T PROPOSE A DATE
I WANT EXPERTS TO COME BACK AND TELL US IF WE'RE ASPIRATIONAL WHAT WOULD THAT LOOK LIKE? IS THAT 15 YEARS FROM NOW, 30 YEARS FROM NOW? AND WHAT OBSTACLES HAVE WE CREATED THAT WE COULD GET OUT OF THE WAY OR WHAT SIGNALS CAN WE SEND TO THE CRUISE INDUSTRY, MUCH LIKE THE STATE OF CALIFORNIA DID WITH THE AUTO INDUSTRY, AS WE ARE THE CALIFORNIA OF CRUISE IN THE UNITED STATES
AND SO IF WE INSIST UPON SOMETHING AND PROVIDE THE TIMELINE, REASONABLE TIMELINE TO GET THERE, I THINK WE COULD HAVE THAT KIND OF INFLUENCE
OKAY
COMMISSIONS
I DID WANT TO NOTE THAT YOU SHOULD PROBABLY HAVE FOR THAT MEETING THE DETAILS ON THE HURTIGRUTEN NEW FLEET THAT THEY ARE RUNNING HYBRID CRUISE SHIPS AND ACTUALLY BURNING FISH OIL IN THEIR BIO PLANTS
SO I THINK THE BEST CRUISE SHIP YOU'LL PROBABLY FIND RIGHT NOW IS RUN BY HURTIGRUTEN
AND JUST A POINT OF CLARIFICATION, FLORIDA AND MIAMI ARE ARE THE GROUND ZERO FOR CRUISE IN THIS COUNTRY
BUT COMMISSIONER STEINBRUECK, ARE WE STILL I WOULD PREFER WE FOCUS ON ATTENTION ON NOT JUST CRUISE
I DON'T KNOW WHY WE'RE SINGLING CRUISE OUT WHEN OUR INTEREST IS IN LOOKING AT DECARBONIZATION AND SHIPPING AND THAT INCLUDES CRUISE
AND IT'S ABOUT, I THINK COMMISSIONER CALKINS INTERESTS, WHICH I SUPPORT I SHARE IS IN EMERGING NEW TECHNOLOGIES THAT COULD LEAD US DOWN IN THE DIRECTION OF TRANSITIONING TO CLEAN ENERGIES IN THE MARITIME AND IN AVIATION
WE'VE PUT TREMENDOUS RESOURCE INTO SAF, WHICH, AS WE KNOW, ISN'T THE END ALL OR THE ANSWER SOLELY
THERE ARE OTHER EMERGING TECHNOLOGIES
SO WHAT I WOULD ASK STAFF TO DO, AND I WOULD ALSO ASK MY CO CHAIR FOR INTEREST AND SUPPORT AND IDENTIFICATION OF EMERGING TECHNOLOGIES THAT COULD TRANSITION OUR INDUSTRIES, NOT JUST CRUISE, BUT SHIPS AND PLANES TO NEW CARBONLESS ENERGY
AND THERE ARE EMERGING TECHNOLOGIES
I DON'T KNOW VERY MUCH ABOUT THEM, BUT I DON'T SEE THE POINT IN JUST SINGLING OUT CRUISE HERE THROUGH THE COMMISSION PRESIDENT TO COMMISSIONER CALKINS
COMMISSIONER CALKINS, ARE YOU WITHDRAWING YOUR FORMAL MOTION AT THIS POINT BASED ON THIS CONVERSATION? YEAH, I WILL
AND COMMISSIONER STEINBRUECK, I'M LOOKING FORWARD TO THAT CONVERSATION IN COMMITTEE
THANK YOU
OKAY
COULD YOU CONTINUE? OH, SANDY, DO YOU STILL MEAN TO HAVE YOUR HEAD UP? YOU GOT TO UNMUTE IF YOU DO THE PORT OF CLARIFICATION ON COMMISSIONER STEINBRUECKS QUESTION, ONE OF THE REASONS WE FOCUS ON CRUISE HERE AT THE PORT OF SEATTLE COMMISSION MEETING IS BECAUSE FOR US, CRUISE IS THE LARGEST PART OF OUR SCOPE
THREE EMISSIONS FOR PORT OF SEATTLE
THE OTHER SHIPS PORT OF SEATTLE MARITIME
I SHOULD SAY THE OTHER SHIPS ARE UNDER THE MANAGEMENT OF THE SEAPORT ALLIANCE
OF COURSE, WE WORK VERY CLOSELY WITH THEM, AS YOU KNOW, AND THEY HAVE ADDITIONAL COMMITTEES THAT ARE TAKING UP THIS ISSUE
SO THE STAFF WORK VERY CLOSELY ON COLLABORATING
BUT THE CRUISE IS WHAT'S THE PORT OF SEATTLE? YEAH, I UNDERSTAND THAT
BUT I THINK THE LION SHARE IS PROBABLY NOT CRUISE
IT'S PROBABLY CONTAINER CARGO SHIPS
AND I DON'T WANT TO BELABOR THIS ANYMORE TODAY, BUT WE'LL FOLLOW UP ON THIS
THANKS
OKAY
I JUST GOT TO ADD TO IT, HER SHIP CRUISES FAR MORE ENERGY INTENT
THAT'S THE COMMITTEE
LET ME JUST FINISH THE STATEMENT
THE OTHER THING IS BECAUSE WE HAVE TARIFF AGREEMENTS AND BERTHING AGREEMENTS WITH CRUISE
STEPHANIE HAS BEEN ABLE TO ADVANCE OUR REQUIREMENTS WITH CRUISE IN WAYS THAT AS A LANDLORD PORT, THE PORT ALLIANCE HAS NOT BEEN ABLE TO DO
AND THEN THE ONLY OTHER CONSIDERATION WHAT REGARDING RYAN'S COMMENTS ABOUT PHASING IN THE TRUCK ISSUES, WE ALSO HAVE EQUITY CONSIDERATIONS THAT WE'RE GOING TO ASK BUSINESSES TO JUMP TO THE NEXT PHASE
WE DELAYED FOR A YEAR SO THAT THE TRUCKERS, WHO ARE SOME OF THE LEAST AFFLUENT PEOPLE IN THE PORT BUSINESS, WE'RE ABLE TO MEET THOSE REQUIREMENTS, SO WE ARE ALWAYS BALANCING THESE CONSIDERATIONS
CLERK HART, COULD YOU PLEASE COMPLETE GOING AROUND THE TABLE SO EVERYBODY CAN HAVE THEIR FINAL WORD? YES
MOVING TO COMMISSIONER CHO
I HAVE NOTHING MORE TO ADD
THANK YOU
THANK YOU, COMMISSIONER
COMMISSIONER STEINBRUECK, ANYTHING THERE? YES, I DO
REGARDING ANOTHER STAFF PROMOTION, I'M NOT SURE IF I HEARD DIRECTOR METRUCK MENTIONED THAT OUR VERY OWN DELMAS WHITTAKER, WHO HAS SERVED AS DIRECTOR OF FISHERMAN'S TERMINAL, HAS BEEN PROMOTED TO DIRECTORO OF THE MARINE MAINTENANCE DIVISION
I THINK THAT'S A PROMOTION, AND I JUST WANTED TO ACKNOWLEDGE THAT
AND CONGRATULATE DIRECTOR WHITAKER
YAY
THANK YOU
COMMISSIONERS STEINBRUECK, MOVING TO COMMISSIONER FELLEMAN FOR FINAL COMMENTS
I THINK I'VE SAID QUITE ENOUGH BY NOW, SO THANK YOU SO MUCH FOR ALL OF YOU JOINING US TODAY
AND IT WAS A VERY GOOD CONVERSATION TO END ON
AND LET US CALL THIS MEETING CLOSED AT 3 17
ENJOY THE SUN
THANK YOU ALL.

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