4b memo

PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.       4b 
ACTION ITEM             Date of Meeting    May 13, 2014 

DATE:    April 15, 2014 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:    James Schone, Director, Aviation Business Development 
James Jennings, Manager, Aviation Properties 
Jude Barrett, Lease Admin Supervisor 
SUBJECT:  United Services Organization Northwest Lease Amendment No. 1 at the Airport 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to amend the previously
authorized lease agreement for the United Services Organization Northwest (USO) to increase
the leased area  from 7,000 to 7,592 square feet  as shown  on Exhibit A  and  provide a
reimbursement not to exceed $12,000 for increased costs associated with creating an exit
hallway as part of the tenant improvement project. 
SYNOPSIS 
During the USO design process, it became clear that code requirements would require extending
a fire-rated exit hallway into the previously planned USO leased footprint. This requirement was
validated as part of an exit study the Port completed in November 2013.  With the exiting and
egress clearly identified as a Port responsibility in the new lease, staff is requesting to add a
tenant improvement allowance not to exceed $12,000 to address these requirements that the
tenant did not expect. In addition, staff identified some additional space on the second floor that,
due to the presence of vertical mechanical-equipment routings, had little utility other than to the
USO (where it works ideally as a television room). Staff is further requesting to amend the lease
premises to add this additional area as reflected on Exhibit A.
BACKGROUND 
The USO center has been open at the Seattle-Tacoma International Airport since 1968 and
currently serves 10,000 service members, families, reservists and retired military a month.
Continuing 45 years of service, the USO center provides 24/7 travel assistance and access to all 
the comforts of home: hot meals, snacks, a TV lounge in which to rest and relax, a shower, and
free Internet access to service members of all branches of the military and their families.  With
proximity to several military installations (Joint Base Lewis-McChord, Puget Sound Naval 
Shipyards, Bangor Submarine Base, Everett Naval Station, and Whidbey Island Naval Air

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
April 15, 2014 
Page 2 of 2 

Station), the Airport is a vital corridor for service members traveling to other duty stations 
around the world. 
Commission approved a new lease for the USO on June 25, 2013. This lease allowed for the
USO to begin design, construction, and relocation of their facility onto the secondfloor of the 
original 1949 Main Terminal Building at the Airport. As the USO was designing their tenant
improvement project, the Port was also designing a supporting project to provide access and
infrastructure to the USO premises. During this parallel design process, it was determined that
additional accommodations were going to be required for exiting and egress because of the
unique configuration of the facility and code constraints associated with the original 1949 Main
Terminal Building. This amendment makes lease adjustments to accommodate those code
driven changes and replaces and reimburses the USO for the space and money consumed to
construct the Port's responsibilities as part of their tenant improvement project. 
FINANCIAL IMPLICATIONS 
Payment of the $12,000 tenant reimbursement to the USO will be made upon completion of their
tenant improvement construction, which is anticipated to be in the third quarter of 2014. 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1)  Do nothing - the proposed space would not be modified and would decrease the
ability for the USO to meet their full program requirements. This would also put an undue
financial burden on the USO to pay for an exit hallway that the lease designates as a Port
responsibility. 
Alternative 2)  Authorize an amendment of the lease with the USO. This alternative will allow
for replacement space for the egress hallway and reimburse the USO for code-driven changes
they are accommodating within their tenant improvement project. This is the recommended 
alternative. 
ATTACHMENTS TO THIS REQUEST 
Exhibit A  Revised lease line 
Exhibit B  Lease Amendment No 1 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
June 25, 2013  The Commission authorized the USO Northwest Lease.

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