PORT OF SEATTLE 
MEMORANDUM 

COMMISSION AGENDA             Item No.      6b 
Date of Meeting     June 22, 2010 
DATE:    June 4, 2010 
TO:      Tay Yoshitani, Chief Executive Officer 
FROM:    Wayne Grotheer, Director, Aviation Project Management Group 
David Soike, Director, Aviation Facilities and Capital Program 
SUBJECT: Renewal and Replacement of 42 Escalators and 2 New Escalators project at
Seattle-Tacoma International Airport (CIP # C800237). 
Amount of This Request: $-0-            Source of Funds: Airport Development Fund 
& Future Bonds
ACTION REQUESTED: 
Request Port Commission authorization for the Chief Executive Officer to issue a Request for
Proposals (RFP) for the Renewal/Replacement of forty-two (42) Escalators and 2 New
Escalators project (CIP # C800237) at Seattle-Tacoma International Airport (Airport).
SYNOPSIS: 
This memorandum requests approval to issue a request for proposals using the design-build
contracting method, in accordance with RCW 30.10.280 and 300  330, to replace 42 existing
escalators in the Main Terminal, Concourse B, and the South Satellite, and install two new
escalators in the South Satellite. The Commission tabled the request to authorize issuance of the
RFP on May 4, 2010. The Commission did authorize on April 13, 2010, the advertisement of a
Request for Qualifications (RFQ) under the design-build contracting procedure and to apply a
Project Labor Agreement (PLA). On July 22, 2008, t he Commission authorized $3,183,000 for
design. An additional request for authorization is required for award of the contract. If the
Commission votes to authorize the award request, the total budget would equal $55 million. 
BACKGROUND: 
The escalators included in this project have been in daily use since their installation in the early
1970's and have reached the end of their useful service life. Several of the escalators have failed
over the past few years causing passenger disruptions and requiring costly emergency repairs. In
an effort to lessen the impact of further failures, a significantly higher level of repairs and
maintenance has also been necessary, resulting in continuing impacts on the traveling public and
increased maintenance expenses.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
June 4, 2010 
Page 2 of 6 
This project will be executed using the "Design-Build" contracting method in accordance with
RCW 39.10.280 and 300-330. The project was approved by the legislatively-mandated Capital
Projects Advisory Review Board, Project Review Committee on February 2, 2010, to use the
design-build method. This contracting method promotes competition and innovation necessary
to address the complex construction methodologies and scheduling issues in this project, in order
to minimize disruptions to the traveling public and airport operations while maximizing schedule
performance. This approach allows the Port to evaluate and select the design-builder based on
technical qualifications/approach and price, using a specifically defined set of evaluation criteria.
The award will be based upon the highest scored proposal but not necessarily the lowest price, as
determined by the Port. 
Under the design-build method, the Port publicly advertised an RFQ. This was done on May 21,
2010. Following the RFQ process, the Port will issue a n RFP. No more than five respondents
will be selected to submit a RFP. The proposers will prepare and submit their proposed technical
approach, escalator product, and price. The successful proposer will perform the design,
manufacturing and installation in accordance with the RFP requirements. As required by RCW 
39.10.330, honorarium payments will be provided to all selected finalists submitting best and
final proposals that are not awarded the contract. 
As provided by Resolution No. 3605, after the best proposal is selected, Commission
authorization will be requested for the final design and construction funding, and award of the
design-build contract. 
PROJECT DESCRIPTION/SCOPE OF WORK: 
Project Statement: 
This project will replace 42 existing escalators that have reached the end of their useful life, and
include the installation of 2 new escalators at the South Satellite by December 2013 for 
$55,000,000. The design life of the new escalators is 25  30 years. 
Project Objectives: 
Remove and replace the 42 existing escalators in an accelerated manner with the least
amount of disruption to Airport operations as possible. 
Install 2 new escalators in the South Satellite to improve operational performance and
reliability, and address future passenger growth. 
Include heavy-duty escalator components for improved reliability and overall longevity. 
Increase the energy efficiency of the escalators. 
Scope of Work: 
Remove and replace 42 existing escalators at the Airport with new heavy-duty escalators in the
same locations and configurations, and add 2 new escalators at the South Satellite. The new
escalators in the South Satellite will be installed adjacent to the existing escalators traveling from

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
June 4, 2010 
Page 3 of 6 
the transit station level, up to the mezzanine level, and continuing up to the concourse level. The
escalators will meet all current escalator code requirements. 
STRATEGIC OBJECTIVES: 
Ensure Airport and Seaport Vitality 
The project provides enhanced reliability and performance for critical vertical transportation in 
significant areas of the Airport, which facilitates use of the Airport by the traveling public. 
Exhibit Environmental Stewardship through Our Actions 
This project is consistent with the Port's goal of improving the long term sustainability of its
facilities and operations. This project supports and encourages Airport environmental initiatives. 
This project has a generally positive effect on the environment to the extent that the new
escalators will have more efficient drive motors and features that adjust the power demand and
speed of the escalators based on load and usage. 
FINANCIAL IMPLICATIONS: 
Budget/Authorization Summary 
Original Budget                        $55,000,000 
Budget Increase                              $0 
Revised Budget                       $55,000,000 
Previous Authorizations                    $3,183,000 
Current request for authorization                     $0 
Total Authorizations, including this request        $3,183,000 
Remaining budget to be authorized            $51,817,000 

Project Cost Breakdown              This Request    Total Project 
Construction costs                            $0      $41,384,000 
Port furnished equipment                        $0            $0 
Sales tax                                     $0       $3,819,000 
Outside professional services                      $0       $1,344,000 
Art Program                              $0       $233,000 
Aviation PMG and other soft costs                  $0       $6,020,000

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
June 4, 2010 
Page 4 of 6 
Program Reserve                           $0      $2,200,000 
Total                                        $0      $55,000,000 
Given the nature of the design-build process being used for the escalator project, the accelerated
schedule, and the difficulty of integrating artwork into the specification criteria for the escalator
units, the Port will establish a separate work project for the art. The Art Oversight Committee
will be defining and executing an art plan for this project. 
Source of Funds 
This project (CIP # C800237) was included in the 2010-14 capital budget and plan of finance as
a committed project with a budget of $55.0 million. The funding source will be the Airport
Development Fund and future revenue bonds. A new revenue bond issue is in process with a
scheduled completion date in August, 2010. 
Financial Analysis 
CIP Category 
Renewal/Enhancement 
Project Type              Infrastructure Upgrade 
Risk adjusted Discount rate     N/A 
Key risk factors             N/A 
Project cost for analysis        $55,000,000 
Business Unit (BU)          Terminal 
Effect on business performance  Increase NOI after depreciation 
IRR/NPV             N/A 
CPE Impact             CPE will increase incrementally through 2013 at
which point approximately $.22 will have added to
CPE; however, this project was already included in
the business plan forecast so there is no change. 
ECONOMIC IMPACTS: 
The Airport will provide a higher level of service to the traveling public, while reducing
escalator repair costs an estimated $250,000 annually. 
ENVIRONMENTAL SUSTAINABILITY/COMMUNITY BENEFITS: 
The new escalators will be 20% more energy efficient than the existing escalators.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
June 4, 2010 
Page 5 of 6 
TRIPLE BOTTOM LINE SUMMARY: 
This project will reduce the overall maintenance costs by reducing the high costs of emergency
repairs. This effort reduces the Airport's exposure to liability by replacing the escalators that are
beyond their useful life. Ensuring that the Airport's vertical transportation system is safe and
reliable promotes efficient Airport operations that benefit the traveling public, while improved
energy efficiency benefits the environment. 
PROJECT SCHEDULE: 
Advertise Request for Qualifications               May 2010 
Issue Request for Proposals                    July 2010 
Request for Commission Authorization to Award       January 2011 
Installation Complete                       December 2013 
ALTERNATIVES CONSIDERED/RECOMMENDED ACTION: 
Alternative 1: Proceed with the Renew/Replace 42 Escalators and 2 New Escalators project
using the "Design-Build" contracting method. This approach renews and upgrades the aging
escalators at the Airport, improving passenger flow through the reduction of service outages.
This contracting method provides the opportunity for competitive delivery schedules and design
solutions, and effective pricing by proposers. This method will shorten the overall schedule and
decrease the risk associated with the traditional design-bid-build approach. This is the
recommended alternative. 
Alternative 2: Continue the repair and maintenance of the existing escalators. This is a reactive
approach that disrupts passenger flows throughout the facility and is not cost effective. This is
not the recommended alternative. 
Alternative 3: Proceed with the Renew/Replace 42 Escalators and 2 New Escalators project
using the "Design-Bid-Build" contracting method. This approach renews and upgrades the aging
escalators at the Airport; however, the traditional Design-Bid-Build contracting method does not 
adequately allow for innovation and competition by prospective manufacturers and/or general
contractor. This method would base the selection on price only versus best overall approach that
considers technical approach and price, lengthen the overall schedule, and put the Port at greater
risk for design changes, schedule delays, and change orders. This is not the recommended
alternative.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
June 4, 2010 
Page 6 of 6 
PREVIOUS COMMISSION ACTION: 
On May 4, 2010, the Commission tabled a request to issue an RFP pending further information
concerning the need for revenue bond financing for this project. 
On April 13, 2010, the Commission authorized the advertisement of the RFQ under the Design-
Build contracting procedure, and the application of a PLA. The project scope was changed to
include a second new escalator in the South Satellite. 
On September 22, 2009, the Commission was briefed on the Airport's "Facility Functionality
and Readiness", which included a discussion of the escalators and elevators. 
On July 22, 2008, the Commission authorized $3,183,000 to prepare the performance
specifications and preliminary design for the Renew/Replace 42 Escalators and 1 New Escalator
project at Seattle-Tacoma International Airport.