PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA 
Item No.        6d 
Date of Meeting    October 13, 2009 
DATE:     September 18, 2009 
TO:       Tay Yoshitani, Chief Executive Officer 
FROM:    Stephanie Jones Stebbins, Senior Manager, Seaport Environmental Programs 
Roy Kuroiwa, Environmental Program Manager 
SUBJECT:   Authorization to spend up to $700k on source control planning and studies at
Terminal 108 (project authorization); and authorization to execute a professional
service contract to perform source control actions at Terminal 108 
Amount of This Request: $400,000 - $700,000           Source of Funds: Tax Levy 
ACTION REQUESTED: 
Request Port Commission authorization to: 1) spend $700,000 on Source Control Project at
Seaport"s Terminal 108 Site, and 2) execute a Category III professional services contract for
consultant services and support for the Source Control Project at T108 Site ranging from
approximately $400,000 to $700,000. 
SYNOPSIS 
The Port"s Terminal 108 (T-108)is located on the eastern shoreline of the Lower Duwamish
Waterway (LDW) approximately between river mile (RM) 0.5 and RM 0.7, as measured from the
southern tip of Harbor Island. Terminal 106 West (T-106W) is located adjacent to T-108. The
same tenant as T-108 occupies T-106W and consequently, the tenant-occupied portion of T-106 is
included in this project. For purposes of this Source Control Project, T-108 and the tenant-occupied 
portion of T-106W are together referred to as the T-108 Site. 
The Port is preparing Source Control Strategy Plans (SCSPs) for the T-108 Site in association with
the Washington State Department of Ecology (Ecology) as part of the Source Control Program for
the LDW Superfund site. The Port is currently developing two SCSPs, one each for T-108 West
and T-108 East parcels. The plans consist of several steps, as follows: (1) identify and assess
potential recontamination sources and pathways; (2) determine the most appropriate and effective
source control methods and strategies; (3) design and implement the source control measures; and
(4) establish long-term monitoring procedures to assess the performance of the strategy. Source
Control can cover a broad range of activities, up to and including actual clean up and removal of
contaminated materials. 
The requested procurement is to provide the professional services to assist Port staff in strategy
development, design and document implementation of the Ecology approved T-108 West and East
Parcel SCSPs.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 18, 2009 
Page 2 of 4 

We are reviewing the contract scope of work with the Office of Social Responsibility (OSR) to
identify small business subcontracting availability for these contracts.   Small business
subcontracting goals will be established and stated in the request for qualifications (RFQ). 
BACKGROUND 
Historic site owners, tenants, and operators at T-108 have contributed to existing contamination that
remains in the upland and bank soil, and has been confirmed through past and recent sampling and
analysis efforts. Large portions of the site have been backfilled and graded using native and nonnative
materials from both documented and undocumented sources (e.g., Duwamish River dredge
spoils). These historic fill and waste materials remain on the site, beneath paved and unpaved
portions of the site. 
The LDW Source Control Program, under Ecology"s lead, is designed to identify and manage
current and future potential sources of contamination to LDW sediments, in coordination with the
LDW Superfund cleanup activities. The ultimate focus of Ecology"s source control strategy is to
prevent recontamination of sediments to levels that exceed the Washington State Sediment
Management Standards (SMS) and to meet the ultimate goals for LDW sediment cleanup. 
The Port is supporting the goals of the LDW Source Control Program by developing Source
Control Strategy Plans (SCSP) and implementing source control practices at Port-owned properties,
including those either operated by the Port or leased to various tenants. To meet Ecology"s intended
outcome for this Source Control Program, the Port is developing SCSPs for the entire T-108 parcel
and part of T-106West, which together are called the T-108 Site. In order to develop an
understanding of the physical and environmental background conditions of the Terminal, the Port
has already prepared an Environmental Conditions Report (ECR), which will help inform source
control strategy planning at the T-108 Site. 
The Port is proposing to perform these source control activities at T-108 under the Department of
Ecology"s Voluntary Clean Up program (ratherthan under an remedial investigation feasibility
study (RI/FS) and Cleanup Agreed Order, or similar mandate). While the project is formally an
independent action, Ecology has provided guidance and direction to the Port in the design of the
project"s scope, and will continue to do so throughout the project. We will seek Ecology"s approval
and endorsement at each step of the process. 
PROJECT SCOPE OF WORK AND SCHEDULE 
The Ecology approved project scope includes: 
Implementing Ecology-endorsed SCSPs and Data Gaps and Design Assessment activities to
support the continued development of the strategy plans 
Developing, negotiating, and selecting of Source Control alternatives and strategy, and
selection with Ecology"s endorsement 
Implementing the SCSPs, including design and permitting, up to bid and award of any
source control construction efforts

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 18, 2009 
Page 3 of 4 

Providing support and services for regular Ecology reporting and Public Outreach, as
required by the plans 
This work is intended to begin in January 2010 and continue until 2012, when a construction
contract will be awarded as necessary. 
FINANCIAL IMPLICATIONS 
Cost Estimate 
The initial estimated cost for professional consulting and associated subcontract services will be
based on the final Ecology approved SCSPs for the West and East parcels. We anticipate the costs
of this phase of the project and the contract to be in the range of $400,000 to $700,000. 
Source of Funds 
All costs will be accounted for as environmental reserves and charged to expense in accordance
with Port Policy AC-9. The Port"s Tax Levy, which funds the cash funded by Environmental
Reserves, will  pay for this  environmental cleanup project. This site was included in the
Commission"s 2009 environmental reserve spending authorization, approved on December 15,
2008. Additional environmental reserve funds may be established as more site-specific information
is generated, in compliance with Port Policy AC-9, and will be reported to the Commission via
routine environmental reserve reports and spending authorization requests. 
This phase of the project will likely be followed by site improvement/construction activity that
would be funded and approved as a capital or an expense project, or a combination of the two. 
At this time, no supplementary outside sources, such as grant funding or cost-sharing agreements
with other Potentially Liable Parties (PLPs) have been established for this site. There are no known
PLPs for this Site, at this time. 
ENVIRONMENTAL SUSTAINABILITY/COMMUNITY BENEFITS 
State and federal laws require elimination of unacceptable levels of environmental risk caused by
the presence of contaminants in soil, groundwater and sediment. From the perspective of the
surrounding communities and the customers that we serve, the Port"s participation in source control
efforts is the hallmark of responsible environmental stewardship. The Port"s source control program
at the T-108 Site, as part of the LDW Source Control Program, will ensure that the sediments in the
waterway are not re-contaminated. 
ALTERNATIVES CONSIDERED/RECOMMENDED ACTION 
This authorization requires the recommendation and selection of two decisions: whether to proceed
with environmental assessment, planning, and "cleanup" work associated with T-108 as an
independent remedial action (project authorization); and whether to perform the project work using
in-house professional staff or outside contractors (contract authorization). These two authorizations
along with options to consider are provided below followed with a Recommended Action.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer 
September 18, 2009 
Page 4 of 4 

1.  Continue to perform the source control work under the Department of Ecology"s Voluntary
Cleanup Program. This will likely provide an expedited schedule; some flexibility in selecting
the remedy; and potentially lower capital and cleanup costs. We will receive a No Further
Action letter from Department of Ecology stating that the source control efforts comply with the
Model Toxics Control Act (state"s cleanup regulations), However, an independent action does
not provide a final, regulatory cleanup approval or closure (i.e., covenant or consent decree) and
limits options for cost recovery. For example, there is a $200,000 cap for MTCA grant funds
for Independent Actions. 
2.  Continue to perform the source control work, but request that the Department of Ecology
supervise it under an Agreed Order. This means schedules are negotiated with Ecology and
plans are subject to public review and Ecology approval. The additional process associated
with Agreed Orders can result in higher capital and cleanup costs. However, performing the
work under an Agreed Order does enable "allowable costs" for 50% MTCA grant match. Due
to the current budget crisis, we are only receiving about 10% reimbursement from MTCA
grants. 
3.  Do not perform or participate in any source control activities at T-108. This alternative will
probably result in Ecology enforcement action, which would incur legal costs and result in a
less cooperative cleanup process, as well as having negative public reaction. The likely result 
of the enforcement action would likely be requiring the Port to conduct a site assessment and
cleanup under an Ecology formal cleanup program (e.g., Agreed Order). 
4.  Perform the assessment, planning and cleanup using primarily Port staff and resources, without
outside professional consulting assistance. There are insufficient staff resources and expertise to
conduct this remediation without consultant support. 
5.  Conduct a competitive procedure to procure and contract with a qualified environmental
consultant to conduct the T-108 source control activities outlined in the Project Scope of Work
above. 
The recommended action alternative is: Move forward with both Alternative 1 and 5. Continue
to perform work under the Voluntary Cleanup Program with the Department of Ecology; and
conduct a competitive procedure to procure and contract with a qualified environmental consultant
to conduct the T-108 source control activities outlined in the Project Scope of Work above. 
If the Department of Ecology prefers to bring this under an Agreed Order, we will need to come
back to the Commission for further Authorization. 
PROCUREMENT SCHEDULE 
This authorization enables initiation of a Category III procurement process in the fourth 
quarter of 2009 and execution of a contract in December 2009 or January 2010.