PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA             Item No.     5a 
Date of Meeting   February 28, 2012 

DATE:    February 17, 2012 
TO:     Tay Yoshitani, Chief Executive Officer 
FROM:    Nick Milos, Manager, Corporate Facilities 
Catherine Chu, Capital Construction Project Manager 
SUBJECT:  Pier 69 North Apron Corrosion Control 
(CIP #C800313) 
Amount of This Request:  $200,000             Source of Funds: Tax Levy 
Total Project Cost:      $3,966,000 
ACTION REQUESTED:
Request Commission authorization for the Chief Executive Officer to direct staff to develop
design documents, conduct environmental review, obtain permits, and prepare construction
documents for the Pier 69 North Apron Corrosion Control Project (CIP #C800313) for an
estimated cost of $200,000 bringing the total authorized cost of this project to $300,000. The
total project cost is estimated at $3,966,000. 
SYNOPSIS:
Pier 69 north apron was constructed in 1991, using approximately 300 corrosion resistant
galvanized steel piling and steel beams suitable for marine water conditions. Recent inspections
revealed that the galvanized coating has reached the end of its service life and oxidation of
varying degrees is clearly visible. If left alone, continued corrosion will distress the structure
resulting in costly structural repairs and replacement. This memo requests Commission approval
for $200,000 for design, permitting, and project management for a new comprehensive corrosion
control system. This system includes a cathodic protection system for the submerged portion of
the steel piling supporting the north apron of Pier 69, a pile-wrap system for the portion of the
steel piling in the inter-tidal zone, and an epoxy coating system for pile caps, steel beams, and
other structures above the water. The purpose of the project is asset preservation. Following
design, staff will return to the Commission to seek authorization for construction. This project is
in the 2012 Plan of Finance

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 17, 2012 
Page 2 of 5 
PROJECT JUSTIFICATION: 
The proposed corrosion control project would preserve the Port's asset at Pier 69. Without the
corrosion control project it is anticipated that the north apron steel structure will degrade over the
next few years. If unatte nded, the facility will be subject to increased risk of failure; resulting in
detrimental impact to operations and necessitate a costly replacement.
Project Objectives: 
Preserve the structural integrity of the steel structure 
Minimize disruptions to facility operations 
Complete project on time and within budget 
Protect the environment while performing the work 
PROJECT SCOPE OF WORK AND SCHEDULE: 
Scope of Work: 
Design a comprehensive corrosion control system for Pier 69 apron steel support system and
obtain all necessary local, state, and federal authorizations for construction. The corrosion
control system includes: 
A cathodic protection system for the submerged portions of the piling; 
A pile wrap system for the section of steel piling between inter-tidal elevations and the top of
piling; and 
A protective epoxy coating system for the pile caps, steel beams, and other steel structure
above the inter-tidal elevations.
Schedule: 
This will be a multi-year project and will be closely coordinated with the Pier 66 Apron Pile
Wrap project to maximize efficiency in design, construction, and future maintenance. 
Design and permitting efforts will begin immediately following Commission authorization. It is
anticipated that design will be completed by summer 2012, at which time staff will return to the
Commission to request final project authorization for construction.
FINANCIAL IMPLICATIONS: 
Budget/Authorization Summary 
Original Budget                                          $3,966,000 
Previous Authorizations                                       $100,000 
Current request for authorization                                   $200,000 
Total Authorizations, including this request                           $300,000

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 17, 2012 
Page 3 of 5 
Remaining budget to be authorized                             $3,666,000 
Total Estimated Project Cost                                  $3,966,000 
Project Cost Breakdown 
Construction                                             $3,154,000 
Construction Management                                  $158,000 
Design                                               $158,000 
Project Management                                      $82,000
Permitting                                                 $87,000 
State & Local Taxes (estimated)                                 $327,000 
Total                                                    $3,966,000 
Source of Funds 
This project was included in the 2012 Plan of Finance under the Real Estate CIP# C800313 in
the amount of $3,966,000. 
This project will be funded by the Tax Levy. 
Financial Analysis Summary: 
CIP Category  Renewal/Enhancement 
Project Type   Renewal & Replacement 
Risk adjusted N/A 
Discount rate 
Key risk      This project may not result in a design that adequately eliminates or
factors         reduces the corrosion identified during the inspection of the asset. 
Material costs prior to acquisition are subject to price fluctuations. 
The project schedule could be delayed due to project complexity. 
Environmental permitting may cause project delays and may result in
increased costs due to the need to avoid and minimize potential negative
water quality and sediment effects. 
Project cost   $3,966,000 
for analysis 
Business Unit  Real Estate  Pier 69 Facilities Management 
(BU)

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 17, 2012 
Page 4 of 5 
Effect on     This project will not generate any additional revenue. 
business
performance   Total depreciation expense from this project is estimated to be
$178,000/year, Depreciation was calculated based upon the useful lives of
the cathodic protection, pile wraps, and epoxy coating; estimated at 30 years,
20 years, and 15 years, respectively. The allocation of actual project costs to
specific assets will be finalized as assets are put in use, estimated to be at the
end of calendar year 2013.
Net Operating Income after Depreciation will decreased by the associated
depreciation expense from this project.
NOI (in $000's)        2012     2013     2014     2015     2016
NOI            $0     $0     $0     $0     $0
Depreciation          $0       $0      ($178)    ($178)    ($178)
NOI After Depreciation    $0       $0      ($178)    ($178)    ($178)
IRR/NPV    N/A 
ECONOMIC IMPACTS AND BUSINESS PLAN OBJECTIVES: 
Proceeding with this project is a proactive means of preserving the North Apron asset to ensure
unhindered operations for both the Port of Seattle and Pier 69 commercial tenants. 
STRATEGIC OBJECTIVES: 
This project supports the asset preservation objective. 
ENVIRONMENTAL SUSTAINABILITY AND COMMUNITY BENEFITS: 
Design and project implementation will include practices to avoid and minimize potential
negative environmental effects. The project will identify construction and maintenance methods,
materials, and practices for effective under-pier work while avoiding release of deleterious
materials to the environment and reducing the potential for adverse effects on aquatic area
natural resource values. Timely asset preservation extends the service life of existing
infrastructure, as an alternative for avoiding more environmentally disruptive and
resource/materials consumptive large scale structure replacement actions. Petrolatum tape piling
wrap materials are planned for protection and enclosure of existing steel piling, as an alternative
to liquid coating materials. 
TRIPLE BOTTOM LINE: 
Preserving existing assets defers high-impact and high cost asset replacement and therefore
reduces environmental impact and supports the economic vitality by reducing Port costs and

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
February 17, 2012 
Page 5 of 5 
generating construction jobs. The proposed construction methods will have minimal noise and
traffic impact to the surrounding community. 
ALTERNATIVES CONSIDERED AND THEIR IMPLICATIONS: 
Proceed with design and permitting for a comprehensive corrosion control project for Pier 69
North Apron. This is the recommended alternative.
Do nothing and continue to monitor the condition of the north apron. This alternative is not
recommended because recent inspections revealed that corrosion has already begun to occur.
Not installing the corrosion control system will lead to structural failure and the need for
more costly replacement. Replacement of the North Apron would cost in the tens of millions
of dollars and would have significant impact on operations and the environment. 
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST: 
Photos of pilings under the north apron of Pier 69 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS: 
None