5a

PORT OF SEATTLE 
MEMORANDUM 

COMMISSION AGENDA              Item No.      5a 
ACTION ITEM               Date of Meeting   December 4, 2012 
DATE:    November 26, 2012 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:    Lisa Hornfeck, Labor Relations Manager 
SUBJECT:  Memorandum of Understanding between the Port of Seattle andthe Teamsters 
Local Union No. 117, representing Rental Car Facility Bus Drivers 
Total Estimated Cost to the Port:  $7,500 
Period of Agreement:         Effective through executed Collective Bargaining
Agreement 
Source of Funds:            Rental Car Facility Transit Operations Operating Budget 
ACTION REQUESTED: 
Request Commission authorization for the Chief Executive Officer to execute a Memorandum of
Understanding (MOU) between the Port of Seattle and the Teamsters Local Union No. 117,
representing Rental Car Facility Bus Drivers, relating to completion of probation, health care
coverage, and other benefits. The estimated total cost increase to the Port is $7,500. 
SYNOPSIS: 
Good faith bargaining between Teamsters Local Union No. 117 and the Port of Seattle resulted
in a fair probationary agreement consistent with the Port's priorities.  Upon completion of
probation, employees will receive a 2.5-percent hourly wage increase and will be required to pay
a portion of their health care premium, as required of other Port employees. 
BACKGROUND: 
The Public Employment Relations Commission certified this bargaining unit as represented by
Teamsters Local Union No. 117 on June 26, 2012. There are sixty-five (65) employees in the
bargaining unit, including fulltime, part-time and relief bus drivers. The parties are currently
negotiating the first collective bargaining agreement. 
All employees in the bargaining group have been hired within the last seven months, with 52
employees successfully completing a six month probationary period on October 6, 2012.
Although both parties are bargaining in good faith and committed to reaching an agreement as

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
November 26, 2012 
Page 2 of 3 
soon as practical, it is unclear when a final agreement will be ratified. The parties negotiated this
MOU to address issues triggered as employees' successfully complete probation including wage
increases and access to pension benefits. In addition, the MOU addresses issues triggered by the
approaching end of the fiscal year related to 2013 health care plan design changes, increases in
cost sharing levels and open enrollment for 2013 health care benefits. 
This is an interim agreement. Any changes or increases to wages and benefits will be taken into
consideration when negotiating a final agreement. 
PROJECT JUSTIFICATION: 
RCW Chapter 41.56 requires the Port of Seattle to collectively bargain wages, hours and
working conditions with the exclusive bargaining representative designated by the employees. 
When a union files a representation petition, the employer is legally required to maintain the
status quo and must not take unilateral action regarding wages, hours, and working conditions. In
addition to the "general status quo" obligation, state law requires employers to maintain the
"dynamic status quo." The "dynamic status quo" concept recognizes that, occasionally, the status
quo is not static and the employer needs to take action to follow through with changes set in
motion prior to the union filing a representation petition. 
SCOPE OF THE AGREEMENT: 
Term of the Agreement 
Retroactive to October 6, 2012,  through the execution of the first collective bargaining
agreement.
Wages 
Effective October 6, 2012, upon successful completion of probation, employees will
receive a 2.5% hourly wage increase. 
Benefits 
Full-time and part-time drivers eligible for health and welfare benefits shall participate in
the Port's open enrollment to choose from the Port provided health care plans for 2013. 
Employees shall be required to pay a portion of their health care premium, as required of
other employees. 
Employees may participate in the 457 deferred compensation program, but will be not
eligible for the 401(a) matching from the Port, unless and until this benefit is specifically
negotiated into the final collective bargaining agreement.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
November 26, 2012 
Page 3 of 3 
FINANCIAL IMPLICATIONS: 
The estimated total of annual wage cost increase to the Port through January 1, 2013, is $7,500.
BUDGET STATUS AND SOURCE OF FUNDS: 
The increase in expense is included in the Rental Car Facility Transit Operations 2012 operating
budget and will be included in future operating budgets. 
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST: 
Memorandum of Understanding. 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS: 
None.

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