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PORT OF SEATTLE MEMORANDUM COMMISSION AGENDA Item No. 4f ACTION ITEM Date of Meeting August 9, 2016 DATE: August 1, 2016 TO: Ted Fick, Chief Executive Officer FROM: Michael Ehl, Director Aviation Operations SUBJECT: Operations and Maintenance Agreement with Sound Transit to Establish Responsibilities at the Airport Station and Extension to South 200th Street, Angle Lake Station Amount of This Request: $15,000 ACTION REQUESTED Request Commission authorization for the Chief Executive Officer to execute an Operations and Maintenance Agreement with Sound Transit to establish responsibilities at the Airport Station at Seattle-Tacoma International Airport and extension to South 200th Street, Angle Lake Station for a period of 5 years. SYNOPSIS The purpose of this agreement is to clarify operating and maintenance roles and financial responsibility between the Port of Seattle and Sound Transit for the Airport Station and the extension to the Angle Lake Station. Essentially, each agency will be responsible for its own assets. In addition, the Port will reimburse Sound Transit for the actual cost of providing electricity to the Port's pedestrian bridge connecting the airport parking garage to the light rail station. The projected cost is $3,000 per year, or $15,000 for the five year term of the agreement. BACKGROUND On April 11, 2006, the Commission approved the Second Reading and Final Passage of Resolution No. 3559, as Amended, to execute an Interlocal Agreement with Sound Transit to establish the real property, financial and construction arrangements for construction of the Airport Link Project at the Airport. Construction of Airport Link, including the Airport Station, was completed and began operation in December, 2009. Additional work is underway to extend the light rail line to South 200th Street with the new Angle Lake Station. The Angle Lake Station is scheduled to commence operations in late 2016. Operations and maintenance impacts of Sound Transit's Link Light Rail system constructed on or over Port of Seattle (Port) property have been identified and agreement has been reached on responsibilities and procedures. Essentially, the Port will be financially responsible for Template revised May 30, 2013. COMMISSION AGENDA Ted Fick, Chief Executive Officer August 1, 2016 Page 2 of 3 operations and maintenance of Port assets, and Sound Transit will be financially responsible for operations and maintenance of Sound Transit assets. A reimbursable utility cost is identified in the Operations and Maintenance Agreement. Sound Transit provides electrical service to the Airport's pedestrian bridge that connects the airport parking garage and the light rail station. Electricity expenses are reimbursed to Sound Transit at actual costs, estimated at $3,000 per year, and will have a minor effect on the annual operating budget. JUSTIFICATION AND DETAILS Agreement Objectives Execute an Operations and Maintenance Agreement between Sound Transit and the Port of Seattle that clarifies responsibilities for assets and operational coordination. Scope of Agreement Identify interface dependencies and collaborate to efficiently implement operations and maintenance. Document the negotiated agreement. Sound Transit has nearby electrical power to serve the Airport pedestrian bridge between the station and garage. The Airport will reimburse Sound Transit for the actual cost of that power. Term of the Agreement Sound Transit's Link Light Rail Angle Lake Station is expected to be operational no later than December 31, 2016. The Operations and Maintenance Agreement term is five (5) years. FINANCIAL IMPLICATIONS Airport assigned electrical service on the bridge is estimated at $3,000 per year. These costs will be included in the annual operating budget. STRATEGIES AND OBJECTIVES The Airport is leveraging its infrastructure investments in collaboration and partnership with Sound Transit to ensure long-term effective public access that is key to the Airport's and the region's future success. Light rail service provides a transportation mode that is an environmental benefit to the region. ALTERNATIVES AND IMPLICATIONS CONSIDERED Alternative 1 Status Quo Continue to operate without a signed agreement for future reimbursement or consideration for expansion to South 200th Street Cost Implications: $3,000 per year; $15,000 total 5-year term COMMISSION AGENDA Ted Fick, Chief Executive Officer August 1, 2016 Page 3 of 3 Pros: (1) None Cons: (1) Original agreement is no longer in force and does not support reimbursement of utilities (2) Original agreement does not cover Link Light Rail extension to be operational in 2016 (3) Original agreement includes landscaping maintenance which is no longer applicable This is not the recommended alternative. Alternative 2 Sign new agreement with reimbursement language and updated access language related to the extended rail system Cost Implications: $15,000 (Port of Seattle) over 5-year term Pros: (1) Clarifies Port of Seattle responsibility for electrical utilities (2) Updates communication protocol between agencies and identifies access locations (3) Efficient use of contracted services to support multi-agency effort Cons: (1) Low value reimbursement requires disproportionate administrative processing This is the recommended alternative. ATTACHMENTS TO THIS REQUEST Airport Station Operations and Maintenance Agreement PREVIOUS COMMISSION ACTIONS OR BRIEFINGS January 6, 2015 Port of Seattle Commission authorized the Chief Executive Officer to sign an extension to Operations and Maintenance Agreement. November 30, 2009 Port of Seattle Commission provided authorization for the Chief Executive Office to execute the Operations and Maintenance Agreement with Sound Transit. April 11, 2006 Port of Seattle Commission approved Second Reading and Final Passage of Resolution No. 3559, as amended, authorizing the Chief Executive Officer to execute an interlocal agreement with Sound Transit for the Airport Link Project.. January 24, 2006 Port of Seattle Commission approved First Reading of Resolution No. 3559 authorizing the Chief Executive Officer to execute an interlocal agreement with Sound Transit for the Airport Link Project.
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