Digital recordings of the meeting proceedings and meeting materials are available online – www.portseattle.org. 






APPROVED MINUTES 
COMMISSION SPECIAL JOINT MEETING MARCH 10, 2015 
The  Port  of  Seattle  Commission  met  in  a special joint meeting with  the  Port  of  Tacoma 
Commission Tuesday, March  10, 2015, in  the  International  Auditorium  at  Seattle-Tacoma 
International  Airport,  Seattle, Washington. Port  of  Seattle Commissioners Albro,  Bowman,  Bryant, 
Creighton,  and  Gregoire  were  present. Port  of  Tacoma  Commissioners  Johnson,  Marzano,  and 
Meyer were also present.  

CALL TO ORDER 
The  meeting  was  called  to  order  at 8:42  a.m. by Port  of  Seattle Commission Co-President 
Stephanie Bowman. 

PLEDGE OF ALLEGIANCE 

PUBLIC COMMENT 

An opportunity for public comment was provided, but no testimony was offered at this time. 

ASSET VALUATION 

Erin Galeno, Chief Financial and Administrative Officer, Port of Tacoma, described the valuation of 
assets of both ports that are being considered for inclusion in the Seaport Alliance. The valuation is 
being performed  by John  Martin  Associates  in  partnership  with  The  PFM  Group  and  KPFF 
Engineering. The  scope  of  work  includes  review  of  valuation  work  done  in  2014  by  Mercator 
International, determination of the validity of the draft valuation model and assumptions, refinement 
of  the  analysis  based  on  projected  cash  flow,  determination of  each  port’s  contribution  to  the 
Alliance  considering  the  desire  for  an  even  split of  assets,  and  preparation  of  a  final  report  and 
findings. 

The  valuation  methodology  was  described.  Use  of  future  cash  flows  with  application  of  a  net 
present  value  calculation  is  intended  to  equalize  the  value  of  varying  facilities  and  business 
portfolios  between  the  two  ports. Key  valuation  assumptions  were  provided. Commissioners 
discussed the appropriate valuation of assets that may be vacant and not producing cash flow but 
have a high market value. It was noted that inequities can be balanced and resolved with guidance 
from the consultant.  

P.O. Box 1209 
Seattle, Washington  98111 
www.portseattle.org 
206.787.3000

PORT COMMISSION JOINT PUBLIC MEETING MINUTES Page 2 of 2 
TUESDAY, MARCH 10, 2015 

Minutes of the special joint public meeting of March 10, 2015, proposed for approval on October 13, 2015. 
BUSINESS RECOVERY – CARGO MOVEMENT UPDATE 

Since  resolution  of  the  labor  dispute  between  the  International  Longshore  and  Warehouse  Union 
and  the  Pacific  Maritime  Association,  it  was  reported  there  have  been  significant  increases  in 
gateway activity. The status of impacts to rail and drayage operations were summarized. 

TRANS-PACIFIC MARITIME CONFERENCE REPORT 

There  was  a  report  on  the  Trans-Pacific  Maritime  Conference  held  March  1-4 in  Long  Beach, 
California.  The  need  to  win  back  trust  with  customers, support  expressed  for the  Seaport  Alliance 
formation, an emphasis on increased productivity and labor negotiation reform, and the potential to 
temporarily relax some regulatory efforts, such as emissions of drayage trucks, were discussed. 

LEGISLATIVE UPDATE 

The progress of state legislation to create a statutory entity of Port Development Authority in order 
to  facilitate  the  Alliance  of  the  ports  of  Tacoma  and  Seattle  was  reported.  Legislation  has  passed 
the  House  with  some  modification  and  is  in  committee  in  the  Senate.  A  statewide  transportation 
infrastructure funding package has passed in the Senate and is under consideration in the House. 
The completion of SR-509 and SR-167 remain important areas of legislative focus.  

COMMISSIONER COMMENT  

Commissioners  commented  on messages  coming  out  of  the  Trans-Pacific  Maritime  Conference, 
including  potential  permanent  damage  to  West  Coast  ports  as  a  result  of  the ILWU/PMA labor 
dispute. A focus on automation and increased efficiency is a theme, and there is a desire to pursue 
these  in  a  way  that  will  satisfy  labor  concerns.  Marketing  efforts  aimed  at  restoring  the  reputation 
and attractiveness of the two ports following the cargo disruption were encouraged. 

ADJOURNMENT 
There was no further business, and the meeting adjourned at 9:36 a.m. 

Tom Albro 
Secretary 
Minutes approved: October 13, 2015.