December 15, 2016 
Fund for the Future 
This plan (formerly called Growth Plan of Finance) outlines how the Port will: intelligently use its real
estate, capital assets, and financial capabilities to drive sustainable growth; champion environmental
stewardship; and drive livability, equity, and opportunity by creating 42,000 middle class jobs. Fund for
the Future initiatives will be implemented in 2018 after the Commission fine tunes the plan based on a
comprehensive stakeholder outreach initiative. 
By making transformative, large-scale investments in support of urban manufacturing, aviation and
maritime industries, the Port of Seattle can significantly improve economic and employment
opportunities and help build livable communities. We will build on the Port's current environmental,
economic and workforce initiatives at a time when businesses need expanded port services to compete
and grow, when communities need partners committed to improving livability, and when the path
towards a globally competitive future depends on visionary investments in economic diversity.
The Port stands uniquely positioned to take on this work. Its distinctive statutory powers, its economic
development mission, and its combination of real estate and capital assets make the Port the right
leader for investing deeply in urban manufacturing, aviation and maritime industries.
This is the right time to make these investments for the public good. Sharp increases in demand means
that businesses cannot wait for expanded port services. At the same time, sharp growth around the
region has created a challenging environment for urban manufacturing, aviation and maritime
industries. Industries feel insecure about their ability to sustain operations and stay in King County.
Uneven economic growth is creating new jobs at the extremes of the income spectrum, and severely
reducing opportunities for lower wage workers to advance into the middle class. 
The large-scale urban manufacturing, aviation and maritime investments will create tangible economic
and community returns. Strategic use of our assets and financial capabilities will support existing
businesses, innovators and entrepreneurs in key industry clusters and ultimately help local employers
create 42,000 middle class jobs. 
We will continue to support livable communities by pursuing the most ambitious environmental and
sustainability initiatives. We will build on the Port's leadership by providing more public access to
habitats, restoring and creating new habitat, reducing energy use and protecting water quality.
Public Communication on Fund for the Future 
We will introduce the vision and initiatives contained in the Fund for the Future through a wide range of
communications vehicles. As we develop the initiatives we would closely integrate with third party
groups and issue stakeholders. We will invite stakeholders to participate in our communications
program, and integrate with our community engagement team to ensure an open community dialogue. 
1.  Port-sponsored launch event. We recommend bringing together the key public, private and
advocacy stakeholders who will directly benefit from the Fund for the Future to be briefed on
the Port's vision and to begin collaborating on possible opportunities.
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2.  Ongoing commissioner engagements: We would build a Fund for the Future mini-presentation
that could be folded into other "about the Port" speaking events.
3.  CEO engagements: Similarly we would include Fund for the Future mini-presentation into the
existing CEO presentations on the Port of Seattle priorities and actions.
4.  Advertising: We recommend using digital advertising to express these priorities and the Port's
vision for large-scale investment.
5.  Media outreach: We recommend 1:1 conversations with leading civic and business reporters, as
well as editorial groups, to both express the opportunity and potential risk of not making these
investments. 
Our communications plan will develop as we solicit input from the Commission and executive office.
Our plan will also develop as we add details around funding alternatives.
Key Messages: 
Large-scale investments in support of urban manufacturing, aviation and maritime industries
can significantly improve economic opportunities while helping build livable communities. 
The Port stands uniquely positioned to take on this work.
Failing to act could result in less diverse and less resilient economy, as well as fewer
opportunities for workers.
We will help build livable communities by pursuing more ambitious environmental and
sustainability initiatives. 
The large-scale urban manufacturing, aviation and maritime investments will lead to measurable
economic, employment and quality of life returns for all communities.
Next Steps: Finalizing the Funding Plan 
Per Commission input staff is working to evaluate alternative funding mechanisms to support plan 
implementation: 
Evaluating Port assets that may not be strategic and could be sold or leased to generate revenue
that support Fund for the Future projects; 
Exploring the use of public private partnerships and other creative funding mechanisms that
would leverage the Port's own capital; and 
Investigating different ways to phase Fund for the Future projects over time to reduce reliance
on the Port tax levy. 
Finance is in the process of hiring a financial consultant to evaluate creative funding mechanisms for
both the real estate development and fishing fleet recapitalization initiatives within the Fund for the
Future. We expect this analysis will be completed by April 2017.
Staff is also working to update job creation numbers within the plan. Some job estimates are based on
older Martin studies that may not accurately reflect current economies. As a result we are in
conversations with Martin about updating the Port's economic impact study. 



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Port of Seattle -- Fund for the Future 
This plan (formerly called the Growth Plan of Finance) outlines how the Port will strategically use its real
estate, capital assets and financial capabilities to create 42,000 middle class jobs, drive sustainable
growth and champion environmental stewardship. The Fund for the Future will be implemented in 2018
after the Commission fine tunes the plan based on a comprehensive stakeholder outreach initiative. 
To accomplish these objectives the Port will invest over $1.3 billion into key initiatives (not including
projects inside airport fence-line); some of these investments are already included in the Port's current
Capital Improvement Plan (CIP) and others are exciting new initiatives: 
Advance the Seaport Alliance by modernizing Terminals 4 and 5 and making other investments
that position the region for maritime cargo growth; 
Protect and shape the region's working waterfront by developing maritime properties (ex.
Shilshole, Fishermen's Terminal, Pier 66 Cruise Terminal); 
Drive real estate development activities that creates jobs and puts Port properties to highest
and best use; 
Enhance the natural environment, promote energy conservation, and sustainability; and 
Create and administer a $100 million fishing fleet development and leasing program. 
This memo highlights key projects along with their estimated costs and revenues generated. The Port
will implement this comprehensive investment plan over the next ten years. Supporting the Seaport
Alliance, developing Port real estate, helping rebuild the fishing fleet, and advancing environmental
sustainability projects will create 14,500 direct jobs. These quality jobs will in turn support work in other
sectors (e.g. multiplier effect). 
Potential Job Creation 
Fund for The
Current Plan     Future Jobs       Total 
Direct Jobs                                10,000          4,500       14,500 
Indirect Jobs                                19,000          8,787       27,787 
Total Jobs Created                          29,000         13,287       42,287 
Real estate acquisition and development activity will trigger air cargo growth, support the Maritime
industry, and provide affordable space for small manufacturers. Whether it's building a small business
incubator at Fishermen's Terminal or constructing air cargo warehouses near the airport, the Port's real
estate assets and financing muscle can be a powerful force to support key industry clusters and broader
regional economic vitality.
Over $100 million will be devoted to new environmental sustainability initiatives that reflect our 
commitment to become the greenest most energy efficient port in North America. Investments in the
following initiatives advance environmental stewardship and give our organization and region a
competitive advantage: 
Restore Duwamish habitat and improve public access; 
Develop renewable energy sources and promote energy conservation;
Protect Puget Sound water quality; and
Support regional air quality by providing shore power to cruise ships. 
The plan includes four major components  the current CIP includes the capital projects presented in the
2017 budget plus Terminal 5 redevelopment. The Fund for the Future adds to the current CIP (1) new
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environmental initiatives, (2) real estate investments and (3) support for fishing fleet recapitalization.
Each of the three new elements requires investment funding, but also generates income that can fund
future investments. In order to maximize the efficient use of Port funds and minimize future levy
increases, the three new elements are added to the current CIP incrementally based on each element's
ability to generate new revenues to support future investments. The table below summarizes the
results. 
2017-2026 Capital & Environmental Funding Plan
(Excluding Airport)
Current Plan +
Current Plan +  Environmental
Environmental   + Real Estate
Current Plan   Current Plan +   + Real Estate   Strategic Plan +
$ million                         (includes T5)    Environmental   Strategic Plan    Fishing Fleet
Existing CIP                                756            756           756           756
New Environmental Initiatives -      110     110     110
Real Estate Development Plan - -    356    356
Fishing Fleet Recapitalization - - -    100
TOTAL CIP                    756        866      1,221      1,321
Net Income                            154          186         275         289
Excess Operating Fund Balance                  149           149          149          149
Revenue Bonds                         139          169         315         358
Federal Grants                              10            10           10           10
G.O. Bonds                            84          141         252         293
Excess Tax Levy Fund Balance                  136           137          139          140
Tax Levy Cash Flow                       83           74          81          81
TOTAL FUNDING                756        866      1,221      1,321
Annual Tax Levy (millions)                      77            81           89             92
Annual Dollar Cost to Average Household (1)   $ 74   $ 78   $ 85   $ 88
(1) Based on the median home value of $450,000 per the King County Assessor for the 2017 assessment (includes both condos and single family).
Note: totals might not add due to rounding
The table above summarizes planned and proposed investments and the associated funding sources
over a 10 year period; the full plan funds $1.3 billion of investments. Funding will be provided by a
combination of general obligation (G.O.) bonds, revenue bonds, income from operations, operating fund
cash and tax levy cash.
The scenarios were developed based on maintaining the current CIP and revenues from existing
businesses and generating lease revenues from the Terminal 5 redevelopment (assumes a new tenant
leases half of the terminal at the Minimum Annual Guarantee rate). The scenario also maintains a
minimum operating fund balance of six months of expenses and based on using operating income
before relying on the tax levy. Because many of these initiatives generate income, not all of the
additional costs will require tax levy funding. 
Based on this funding plan, including the associated revenue generating assumptions, total non-airport
revenues will provide enough cash and revenue bond capacity to fund sixty percent (60%) of the entire 
$1.3 billion investments over the next 10 years. The remaining funding will come from a combination of
federal grants, G.O. bonds and tax levy cash, and will require an estimated annual tax levy of $92 million 
starting in 2018 (about $88 per year per household). Without the additional Fund for the Future 
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investments, the Current Capital Plan of $756 million would require an estimated levy amount of $77 
million through the period (about $74 per year per household). 
Although the fund for the future scenario requires an increase in the tax levy, the Port would still be
below its legally allowed maximum tax levy. Beginning in 2018, the Port could levy up to $101 million;
that amount grows to an estimated $120 million by 2026 and would provide an additional $330 million
of funding capacity from G.O. bonds and levy cash. The Commission can also consider using an
Industrial Development District (IDD) levy to generate additional capital if necessary. An IDD levy could
generate up to $1.3 billion of additional funding but has certain limitations regarding its use. 
Current Capital Investment Plan (Updated)  Non-Airport ($756 MM) 
The Port's Current CIP is based on the CIP presented during the 2017 budget and includes investments in
a range of Port wide initiatives plus the addition of redevelopment of Terminal 5. Together these
comprise the updated Current CIP of $756 million. Key projects are listed below. 














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Current CIP 2017-2026 ($ million)
NWSA (POS share)
NWSA Approved CIP (includes Husky Terminal redevelopment) - 50%        159.2
Terminal 5 Modernization - 50%                              140.3
West Waterway deepening - 100%                           52.0
East Waterway deepening - 100%                             20.0
Port legacy projects - 100%                                     8.8 
TOTAL                                    380.3 
Maritime
Expansion of Pier-66 Cruise Facility                                13.0
Fishermen's Terminal Strategic Plan                               42.0
Fishermen's Terminal renewal and replacement and net sheds             36.3
Marina dock, pile repair, improvements and Shilshole restrooms and paving    26.5
P66 Faade, gangway and other cruise improvements                  26.0
Renewal and Replacement and small projects                      27.4
Contingency                                         87.0
TOTAL                                    258.1 
EDD & Corp
Technology Investments (non-Airport share)                        15.8
Tenant Improvements                                   3.0 
P69 Improvements                                    3.1
Terminal-102 roof & HVAC                                  4.0
Renewal and Replacement and small projects                      11.5
Bell Harbor Conference Center Interior Modernization                  7.0 
T-91 Uplands                                          50.0
Contingency                                         23.5
TOTAL                                    117.8 

TOTAL BASELINE CIP                                 756.3 

In addition, there are certain non-capital projects that are funded with the tax levy including legacy
environmental remediation (including a portion of the Duwamish habitat restoration listed below),
freight mobility including the Heavy Haul Corridor, workforce development and a portion of Highline
School noise insulation costs. 


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Real Estate Development Financial Plan  $356 MM new investments 
Over the next ten years the Port of Seattle will advance real estate projects that support 13,000+ middle
class jobs within King County. The Port will lease or develop over 200+ acres of its property and
concurrently develop over a million square feet of light industrial space to support business growth in its
key clusters. We will use our statutory powers and real estate savvy to drive economic vitality
throughout King County.
The current CIP includes certain foundational real estate investments: 
$50 million for pre-development of the T91 uplands; 
$20 million for buildings 1&2 at Fishermen's Terminal (included in the FT Strategic Plan); and 
$18 million for targeted maritime property acquisitions. 
Total estimated capital costs for these additional real estate development projects are $356 million.
These investments include: 
$47 million on infrastructure (e.g., L shape = $7.7 million for utility work & improvements); 
$145 million on revenue generating developments (buildings and ground leases); and 
$193 million for property acquisition/other RE developments. 
These investments on existing Port properties are projected to generate $22 million of new non-airport 
revenue annually (NOI) when the plan is fully implemented by 2026. Additional revenues will be
calculated based on further Port property acquisitions to further increase the overall cash flow. 
The cost estimates do not include relocating T91 cruise operations. Staff recommends that the
Commission revisit the T91 Cruise terminal location periodically over the coming years as the existing
lease come closer to expiration. Our proposed development at T90 contemplates building a parking
garage to support cruise in 2021 but that can be revisited at any time.
Implementation Strategy 
2017  $16 MM Capital Requirement 
Initiate ready to go development projects and generate net operating income for EDD and AV. 
Pier T2 (City of Seattle) 6.5-acre ground lease 
Des Moines Creek Bus. Park (City of SeaTac) 28-acre ground lease
CEM (City of Seattle) 12-acre ground lease
NERA 2 & 3 ground lease 
Initial work on new 75k light industrial building at FT                $0.4 MM investment 
Acquisition of L-Shape                                 $9.1 MM investment 
Acquisition of 55-Acre site                                $6.5 MM investment 
2018  $3.6 MM Capital Requirement  
Initiate ready to go development projects and generate net operating income for EDD and AV. 
Des Moines Creek Bus. Park (City of Des Moines) 17-acre ground lease
Work on new 75k light industrial building at FT                   $2.1 MM investment 
Put options on high priority properties the Port may want to acquire     $1.5 MM investment 
2019  $36.2 MM Capital Requirement 
Initiate ready to go development projects and generate net operating income for EDD and AV. 
T91 ground lease 
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2019 cont. 
55-Acre (City of SeaTac) ground lease 
T91 light industrial construction                            $10.8 MM investment 
T106 demolition of existing structure                        $2.2 MM investment 
L-Shape infrastructure                                 $7.7 MM investment 
Work on new 75k light industrial building at FT                   $14 MM investment 
Put options on high priority properties the Port may want to acquire    $1.5 MM investment 
2020  $72.1 MM Capital Requirement 
Initiate ready to go development projects and generate net operating income for EDD and AV. 
T106 ground lease 
T91 light industrial ground lease and Build To Suit facility income 
Initial design and infrastructure for T90 parking structure             $9.9 MM investment 
T106 development of Incubator Space                      $0.5 MM investment 
Infrastructure cost and build 125k SF air cargo warehouse on L-Shape   $22.2 MM investment 
Consider acquisition of key SODO property                     $38 MM investment 
Put options on high priority properties the Port may want to acquire    $1.5 MM investment 
2021  $66.8 MM Capital Requirement 
Initiate ready to go development projects and generate net operating income for EDD and AV. 
T91 ground leases and BTS income 
L-Shape air cargo warehouse lease 
T90 parking structure                                $28.3 MM investment 
T91 light industrial construction                            $21.9 MM investment 
Build 125k SF air cargo warehouse on L-Shape                  $15.6 MM investment 
Invest in key property land purchase(s) for industrial development      $20 MM investment 
2022  $66.4 MM Capital Requirement 
T91 light industrial construction                            $2.4 MM investment 
Build 250k SF air cargo warehouse on L-Shape                  $44.4 MM investment 
Invest in key property land purchase(s) for industrial development      $20 MM investment 
2023  $26.9 MM Capital Requirement 
T91 light industrial construction                            $6.9 MM investment 
Invest in key property land purchase(s) for industrial development       $20 MM investment 
2024  $31.9 MM Capital Requirement 
T91 light industrial construction                            $6.9 MM investment 
Invest in key property land purchase(s) for industrial development       $25 MM investment 
2025  $35.6 MM Capital Requirement 
T91 light industrial construction                            $10.6 MM investment 
Invest in key property land purchase(s) for industrial development       $25 MM investment 

*Note: The Port may also consider relocating the cruise terminal. We estimate that it would cost $250 million to move
cruise operations.

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Fishing Fleet Modernization Initiative  $100 MM New Investments 
The Port will facilitate fishing fleet modernization by building $100 million of fishing vessels
(approximately four vessels). The Port expects that the vessels will be built in Washington State and
that contracting to purchase multiple vessels will provide the builder with the economies of scale
necessary to invest in efficient production. The fishing vessels would be leased or "chartered" to the
fishing industry. The Port's participation would provide a critical mass of demand for local ship builders.
The Port would receive lease revenues from the fishing companies that charter the Port purchased
vessels. 
The Port will work with the fishing industry and other government partners to develop this innovative
program. 
The program will be activated in 2018. It will start generating revenue in 2020; revenues will grow as
each vessel is completed and chartered. The plan assumes revenues beginning at $2.5 million and 
growing to $7.2 million annually by 2026. 

Environment and Sustainability Initiatives  $120.5 MM New Investments,
including $109.5 MM of new initiatives) 
The Port plans to invest $35.5 million to enhance marine habitat and improve public access along the
Duwamish River of which $19.5 million is in addition to the Port's currently funded program. The Port
plans to go above and beyond regulatory requirements to create 22 acres of habitat in the
Green/Duwamish watershed. This would convert Port-controlled underutilized property to high value
habitat along with appropriately planned public access points and will generate revenues from the sale
of environmental credits. 
The Port will also invest $20 million in renewable energy and energy conservation measures. This will
include installing solar panels on rooftops and underutilized Port properties. Investments in lighting
upgrades, capture and transfer of waste heat, mechanical systems upgrades, and HVAC improvements
will also be made to increase energy efficiency across the Port.
Additional Port investments ($45 million) will be made to protect Puget Sound water quality.
Rehabilitating and upgrading the Maritime Port's Stormwater infrastructure at Shilshole Bay Marina,
Fisherman's Terminal, and Terminal 91 will improve the quality of runoff that leaves Port properties and
enters the Puget Sound. These investments will help the Port meet or exceed water quality standards. 
The Port will support local clean air by investing $20 million to install an LNG fueling facility allowing
cruise ships and other vessels to utilize clean fuel.



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Environmental Initiatives 2017-2026 ($ million)       TOTAL
Duwamish Habitat Restoration (1)                  35.5 
Solar farm at CEM                            6.0
install solar panels on Port facilities                     4.0
Energy Conservation investments                  10.0 
Stormwater infrastructure improvements             45.0 
LNG fuel facility for cruise                          20.0 
TOTAL                           120.5
(1) $11 million spending included Port's currently funded program

Note: It is difficult to quantify revenues (actual savings) from energy conservation investments. 
Therefore we assumed no savings for this analysis. Our previous experience with energy conservation
projects shows that they pay for themselves over time.
Other Initiatives 
As described earlier, additional funding capacity could be generated by increasing the tax levy to the
maximum allowable amount of $101 million in 2018 and levying the maximum in each year thereafter.
Under the maximum levy the Port could fund an additional $330 million in projects without employing
the $1.3 billion IDD levy. This could provide funding for additional NWSA projects, relocation of cruise
facilities or other initiatives. For example, in order to meet the goal of 6 million TEUs in ten years, the
region may need an estimated $300 million of rail and road improvements, although the specific timing
and funding responsibility is unknown at this time. These costs, as well as other NWSA or future Port
initiatives, are not included in the table above. 








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Total  1,390,985  147,959   43,294  44,770  1,627,008    (877,765)    (877,765)     (358,729)  (101,326)  (460,055)    289,188      Total   900,000  (260,019)  (427,591)  (131,179)  81,211                                             2026      7,285  3,335       155,722  29,509      195,851    (98,847) -  (98,847)     (37,794)  (18,120)  (55,913)     41,091      2026  92,000  (36,015)  (28,423)  (15,950)  11,611                                             2025  152,524  28,393   7,153  3,226  191,297    (96,060)    (96,060)    (37,156)  (18,056)  (55,213)    40,024      2025   92,000  (35,774)  (35,655)  (15,950)  4,621                                             2024  149,212               - - - - - - -             26,065  6,890  3,132  185,299    (93,360)    (93,360)    (35,117)   (17,009)  (52,127)     39,812      2024   92,000   (35,679)  (35,628)  (15,950)  4,743                                             2023  150,433  21,443  6,759  4,164  182,799    (90,745)    (90,745)    (34,509)  (16,942)  (51,452)    40,602      2023  92,000  (27,279)  (46,980)  (15,950)  1,792                                             2022  147,367  14,148   6,759  4,038  172,311    (88,209)    (88,209)    (39,546)  (16,645)  (56,191)    27,911      2022  92,000  (39,241)  (46,969)  (15,950)  (10,160)                                             2021  137,426  12,622  5,914   3,909  159,872    (85,754)    (85,754)    (34,917)  (10,868)  (45,785)    28,333      2021  92,000   (20,948)  (46,111)  (15,950)  8,991                                             2020  134,065  9,926   2,534   3,627  150,153     (83,372)    (83,372)    (34,071)  (3,686)  (37,758)    29,023      2020  92,000  (16,593)  (47,385)  (15,950)  12,072                                             2019  129,464  4,068    9,554  143,085    (80,767)    (80,767)    (33,736)    (33,736)    28,582      2019  92,000  (11,340)  (51,052)  (11,898)  17,710                                          -           -                2018  119,371  1,110    9,785  130,266    (81,188) - -   (81,188)    (34,911)              2018  92,000  (21,092)  (44,694)  (7,630)  18,583                14,167    (34,911)                         2017  115,400  675   - - (2) -  116,075              -       (358)
(79,463)    (79,463)    (36,970)                2017   72,000  (16,058) -  11,248                       (36,970)                   (44,694)
(1) Non-Airport Financial Summary   Entire Growth Plan of Finance   in 000's      Operating Income Resources:   Revenues - Current Plan   Growth Plan of Finance - Real Estate Development   Growth Plan of Finance - Fishing Fleet Recapitalization   Growth Plan of Finance - Environmental Initiatives   Total Revenues     Expenses - Current Plan   Expenses - Growth Plan of Finance   Total Expenses     Revenue Bond Debt Service (DS) - Current Plan   Revenue Bond DS - Growth Plan of Finance   Total Revenue Bond Debt Service     Operating cash flow available for capital investments        Tax Levy Resources:   Tax Levy Collected   Tax Levy Cash Uses - Non-Capital   GO Bond DS - Current Plan   GO Bond DS - Growth Plan of Finance   Levy Cash Flow Available for Capital Investments     (1) Funding analysis combines all Non-Airport businesses; Martime, EDD, NWSA (Port share), and allocated Corporate activity.  (2) Net of annual maintenance expense.
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