COMMISSION 
AGENDA MEMORANDUM                        Item No.          8k 
ACTION ITEM                            Date of Meeting     November 14, 2023 

DATE:     October 16, 2023 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Kelly Purnell, Capital Project Manager 
Jennifer Maietta, Director, Real Estate Asset Management 
Kenneth Lyles, Director of Maritime Operations and Security 
SUBJECT:  Maritime Industrial Center Electric Equipment Procurement (C801241) 
Amount of this request:               $1,810,000 
Total estimated project cost:          $8,590,000 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to approve additional funding in
the amount of $1,810,000 for the procurement of long-lead major electrical equipment for the
Maritime Industrial Center Electrical Infrastructure Replacement project. 
EXECUTIVE SUMMARY 
This project will replace the electrical infrastructure at the Maritime Industrial Center (MIC). The
site, located just west of Fishermen’s Terminal, currently has a tenant mix of storage, warehouse,
maintenance and repair shops, boatyard and marine services, and fishing vessel support
operations. A large majority of the electrical infrastructure that serves the tenants is
approximately 25 years old. Though electrical systems generally last 20 to 30 years, their
proximity to water has caused it to deteriorate at an expedited rate. An arc flash study and
condition assessment were performed on the property in 2020 and determined that several
pieces of equipment need replacement for safety reasons as they are not compliant with National
Electrical Code (NEC) standards and are too dangerous to service properly. 
The replacement of the infrastructure is critical to maintaining reliable and resilient electrical
service to the MIC facilities, ensure that the Port meets its tenant obligations, and continues to
leverage the economic opportunities that result in well managed and maintained assets. To not
further delay this essential work, early purchasing of large electrical equipment is necessary due
to extensive long-lead times for procuring the equipment. 
In October 2022 the Port Commission authorized staff to proceed with the design and permitting
phase of the project, and to proceed on long lead material procurement in March 2023. Staff bid 

Template revised January 10, 2019.

             COMMISSION AGENDA – Action Item No. 8k                                   Page 2 of 6 
Meeting Date: November 14, 2023 
the long-lead electrical equipment in August 2023. Three bids were received in response to the
procurement advertisement. Acceptance of any bid would exceed the previously authorized total
procurement budget of $1,800,000. The lowest bid received of $3,610,000 (including sales tax) 
which is $1,810,000 over the Engineer’s Estimate of $1,800,000. This overage can be chiefly
attributed to the current market conditions and very high demand for low and medium voltage
electric equipment. 
The additional funds requested in this action will be used to cover the difference of the bid 
amount including Washington state sales tax. 
The recommendation is to accept the low bid of Access Electric Supply, Inc. Their bid has been
reviewed and confirmed that they are the lowest and responsible bidder. 
JUSTIFICATION 
This project supports the following Century Agenda and Maritime Division strategic goals: 
Century Agenda: 
1.  Responsibly Invest in the Economic Growth of the Region and All Its Communities. 
2.  Be a Highly Effective Public Agency. 
Maritime Division: 
1.  Asset Management 
2.  Sustainability 
The project will include necessary upgrades to the electrical system by replacing current
equipment that is dangerous to work on and at risk of failure. This investment will increase the
asset value of the MIC by ensuring that the site facilities are functioning well and efficiently,
removing dangerous water intrusion into electrical areas, and increasing the reliability of power
to the Port’s tenants. Additionally, the upgraded electrical equipment will provide the flexibility
to utilize electrical capacity for future sustainable EV charging capabilities and potential
additional shore power that is not currently possible with the existing equipment. 
Purchasing the equipment in advance of construction contracting will mitigate risks to the project
schedule due to long-lead times in electrical equipment procurement times, currently estimated
between 72 and 85 weeks. 
Diversity in Contracting 
WMBE aspirational goals have not been established for purchasing of the electrical equipment.
The procurement of the equipment from available suppliers will be very prescriptive and based
on technical credentials and performance. WMBE goals will be established for the larger general
construction contract that will be solicited when the project is ready to be constructed. 
DETAILS 
Maritime Industrial Center – 2700 Commodore Way, Seattle, WA 98199 

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

             COMMISSION AGENDA – Action Item No. 8k                                   Page 3 of 6 
Meeting Date: November 14, 2023 
The project scope consists of demolishing existing switchboards and structural concrete pads;
decommissioning conduits and wire; and replacing all with new structural infrastructure,
conduits, wires, switchboards, and associated equipment. The switchboards will be upsized from
existing capacity of between 400 and 600 amps to 2000 amps for the smaller switchboards and
from 2500 Amps to 4000 Amps for the main switchboard for future capacity needs (e.g., EV
chargers, shore power). This project will not increase the electrical load at the site at this time. 
To maintain the project schedule, the critical path equipment procurement timeline is
paramount. After an evaluation of the three bids, the technical review team has concluded that
the lowest bidder is responsible and responsive. 
Scope of Work 
The following electrical equipment will be replaced: 
1.  Switchboard 4SP and 2SPN (service entry to site) 
2.  Switchboard 4W and 2W (wharf) 
3.  Switchboard 4P and 2P (NE side of Building A-1) 
4.  Switchboard EY4 (east side of Building A-1) 
5.  Switchboard SEY4 (lighting connection for east lot) 
6.  Switchboards EY4 and SEY4 will be consolidated with 4P and 2P in one location that has
better access. Additionally, this will eliminate a stormwater intrusion point at EY4. 
Site work: 
1.  Provide new conduits and conductors from Seattle City Light to new MIC main distribution
switchgear. 
2.  Provide new conduits and conductors from new MIC main distribution switchgear to: 
a.  New electrical switchboard at Mooring Pier 
b.  New electrical switchboard at Wharf 
3.  Provide new electrical vaults. 
The following equipment will be purchased in advance per this authorization: 
1.  New main electrical distribution 
A.  Main switchgear, switchboards including main circuit breakers and feeder circuit
breakers, transformer. 
2.  New electrical distribution at mooring pier 
A.  Switchboards including main circuit breaker and feeder circuit breakers,
transformer. 
3.  New electrical distribution at wharf 
A.  Switchboards including main circuit breakers and feeder circuit breakers,
transformer. 

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

             COMMISSION AGENDA – Action Item No. 8k                                   Page 4 of 6 
Meeting Date: November 14, 2023 
Schedule 
Activity 
Commission design authorization                                      October 11, 2022 
Design start                                                                October 21, 2022 
Commission authorization for major electrical equipment               March 28, 2023 
procurement 
Commission authorization for additional electrical equipment           2023 Quarter 4 
procurement funds 
Commission construction authorization                                2024 Quarter 3 
Construction Start                                                       2024 Quarter 4 
Cost Breakdown                                     This Request           Total Project 
Design                                                           $0               $850,000 
Electric Equipment Procurement                         $1,810,000            $3,610,000 
Construction                                                      0             $4,130,000 
Total                                                         $1,810,000              $8,590,000 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1 – Cancel bid and require electrical equipment to be procured by general contractor. 
Cost Implications: 
• Additional $3.1M overall project cost (due to additional escalation and GC markup on
equipment). 
• Total estimated project cost $12.3M. 
Pros: 
(1)   Transfers risk to the contractor. 
(2)   Advances Century Agenda goals and Maritime Division strategic goals. 
Cons: 
(1)   Very  high  probability  of  causing  project  delays  due  to  estimated  72–85  week 
procurement lead times for electrical equipment. 
(2)   Potential for longer equipment design duration due to Port quality control process. 
(3)   More expensive due to overheads applied to the equipment purchase. 
This is not the recommended alternative. 
Alternative 2 – Rebid the electrical equipment procurement 
Cost Implications: 
Cost may increase between $50k and $150k due to 4% escalation of overall project for twomonth
delay. Potential that rebidding could lower bids and negate escalation increase. 

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

             COMMISSION AGENDA – Action Item No. 8k                                   Page 5 of 6 
Meeting Date: November 14, 2023 
Pros: 
(1) Potential to negotiate faster delivery of equipment. 
Cons: 
(1)   Cost implications do not outweigh schedule impacts. Lead times have not been
improving. While possible to negotiate faster delivery, will be offset due to rebid
timeline. 
(2)   The equipment is already in a state of advanced disrepair due to the proximity to
maritime environments and areas of stormwater intrusion. Additional delays to project
are not optimal and increases risk of failure and need for temporary power. 
This is not the recommended alternative. 
Alternative 3 – Approve additional funds and proceed with awarding contract based on lowest
responsible and responsive bid. 
Cost Implications: 
Increase in procurement costs of $1.8M. No additional escalation and GC mark-up on electrical
equipment. 
Pros: 
(1)   Maintains critical path schedule by proceeding with procurement of long-lead electrical
equipment. 
(2)   Less expensive due to escalation and GC mark-up avoidance. 
(3)   Advances Century Agenda goals and Maritime Division strategic goals. 
Cons: 
(1)   Maintains Port risk if equipment is delayed or damaged during delivery. 
(2)   May require temporary storage of equipment if procurement times come down. 
(3)   Adds some complexity to timing GC construction contract procurement. 
This is the recommended alternative. 
FINANCIAL IMPLICATIONS 
Cost Estimate/Authorization Summary              Capital        Expense           Total 
COST ESTIMATE 
Original estimate                                 $1,500,000               $0      $1,500,000 
Current Change                                $1,810,000              $0     $1,810,000 
Revised estimate                             $8,590,000,00              $0      $8,590,000 
AUTHORIZATION 
Previous authorizations                          $2,650,000               $0      $2,650,000 
Current request for authorization                $1,810,000               $0      $1,810,000 
Total authorizations, including this request       $4,460,000               $0      $4,460,000 
Remaining amount to be authorized            $4,130,000             $0     $4,130,000 

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

             COMMISSION AGENDA – Action Item No. 8k                                   Page 6 of 6 
Meeting Date: November 14, 2023 
Annual Budget Status and Source of Funds 
This project was included in the 2023 Capital Plan under CIP C801241 Maritime Industrial Center
Electrical Infrastructure Replacement at an estimated total project cost of $6,413,000. The
additional cost of the project will be covered by the Maritime Management Reserve C800002. 
This project will be funded by the General Fund. 
Financial Analysis and Summary 
Project cost for analysis              $8,590,000 
Business Unit (BU)                  Maritime Portfolio Management 
Effect on business performance    This project will increase annual depreciation by
(NOI after depreciation)             approximately $287K.
IRR/NPV (if relevant)                NA 
CPE Impact                       NA 
Future Revenues and Expenses (Total cost of ownership) 
This project will provide for reliable and resilient electrical power to the MIC facilities for the next
25-30 years. This upgrade will provide protection of Port assets and extend their useful life,
provide for additional future electrical capacity to support Port sustainability goals, and increase
economic development potential. Maintaining existing assets will preserve the economic vitality
of our operations and serve the Port, tenants, and their customers well by providing a safe and
sustainable working environment. 
ADDITIONAL BACKGROUND 
None. 
ATTACHMENTS TO THIS REQUEST 
(1)   Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
October 11, 2022 – The Commission authorized design. 
March 28, 2023 – The Commission authorized procurement of the electrical equipment for
$1.8 million. 




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