5a Memo

PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA                   Item No.         5a 
Date of Meeting    November 30, 2010 
DATE:      November 4, 2010 
TO:         Tay Yoshitani, Chief Executive Officer 
FROM:     Ralph Graves, Managing Director, Capital Development Division 
SUBJECT:   Change Order No. 001 for the STIA Central Mechanical Plant Ethernet Controls
Upgrade - Contract SW-0316484 
AMOUNT OF THIS REQUEST: $0.00             SOURCE OF FUNDS: N/A 
ACTION REQUESTED:
Request authorization for the Chief Executive Officer to execute Change Order No. 001 for the
STIA Central Mechanical Plant Ethernet Controls Upgrade Contract, for a no cost time extension
of 365 calendar days to complete the Ethernet Upgrade of the Central Mechanical Plant. 
SYNOPSIS:
The STIA Central Mechanical Plant Ethernet Controls Upgrade Contract is a communications
upgrade project to link the Central Plant Controls system with the Cooling Towers, Parking
Garage, North and South Main Terminal mechanical penthouses, North and South Basement
level mechanical rooms and the North utility tunnel. The Siemens Direct Digital Controls
system modification was granted a "Sole Source" waiver, and notification was sent to
Commission on January 4, 2010. The basis for the waiver was that "the only source for the
service or product is proprietary in nature." The programming changes and system
modifications to the Siemens Direct Digital Controls proprietary system requires factory certified
technical expertise, with access to the system source codes. Siemens Service Technicians are the
only factory trained technicians certified to provide service and support to this Siemens
equipment. 
Due to unfamiliarity of the contractor with the Port's requirements for processing such items as a
full job safety plan, the contractor did not complete and submit the safety plan in time to
prosecute the physical site work. A change order is required to extend the completion date for
the project so it can be completed next year when the communications traffic is at a relative lull.
Work has not started on the physical portions of the project. There are no additional costs
associated with this time extension. The contractor has agreed to postpone this work until next
year at no additional cost.

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
November 4, 2010 
Page 2 of 3 
The Commission was not required to approve the original contract for this work because it was
under $300,000. However, in accordance with Resolution No. 3605, the Commission must
approve this Change Order because the time extension exceeds sixty days.
BACKGROUND:
This contract called for completion within 90 days of award. The contractor has worked on
many successful projects at the Airport as a subcontractor; however, this was their first contract
as a prime contractor. Therefore, an entire new Safety Plan needed to be created and was not
completed until September 2010 leaving an inadequate number of days to complete the physical
work. 
To remedy this situation, staff recommends a Change Order to extend the contract. It is
necessary to increase the contract completion time by 365 days in order to allow the contractor to
fit the work into their work backlog and to allow the work to occur at times when air traffic is at 
a relative low and the weather is moderate enough to allow outages of the air conditioning
systems.
Should the Port not proceed with this change order, Port staff has concluded that the risk of
system failure or faulty responses to the control system is high. Port staff feels the price
negotiated for the work compares favorably on the Engineer's Estimate. 
FINANCIAL ANALYSIS: 
The change order is no-cost. No additional project funds are being requested as a result of this
change order. 
CONTRACT INFORMATION:   The following information relates to the contract and
award: 
Contract award date:                                            June 10, 2010 
Original period of performance:          June 10, 2010  September 10, 2010 
Previous contract extensions:                                           0 Days 
Contract extension this change order:                                365 Days 
Current Contract Completion Date:                      September 10, 2010 
This request, Change Order No. 001 Completion Date:    September 10, 2011 
Original contract amount:                                       $133,950.00 
Previous Change Orders Executed:                                    $0.00 
Current contract amount                                  $133,950.00 
This request, Change Order No. 001                               $0.00 
Revised contract amount:                                  $133,950.00

COMMISSION AGENDA 
Tay Yoshitani, Chief Executive Officer 
November 4, 2010 
Page 3 of 3 
ALTERNATIVES CONSIDERED AND THEIR IMPLICATIONS: 
Alternative 1: Do nothing. Re-issue a contract to the same sole source proprietary provider.
This alternative would take added time. Re-issue would increase Port processing costs and risks
more time to prevent failure or faulty responses of the controls system as well as those potential
additional repair costs. In addition, it would require creation of a new safety plan when an
acceptable plan has already been reviewed, negotiated and approved by Port staff. This is not the
recommended alternative. 
Alternative 2: Extend the contract completion date at no additional cost to the Port. This will
ensure that the project proceeds to meet its intended goal. This is the recommended alternative.
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST: 
Sole Source Contract Notification with Siemens Building Technologies for HVAC Automated
Direct Digital Control System Technical Support Services (copy attached)

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