COMMISSION 
AGENDA MEMORANDUM                        Item No.          10d 
ACTION ITEM                            Date of Meeting      August 10, 2021 
DATE:     August 3, 2021 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Arlyn Purcell, Director Aviation Environment and Sustainability 
Stan Shepherd, Senior Manager Airport Noise Programs 
Wayne Grotheer, Director Aviation Project Management 
SUBJECT:  Apartment  Sound  Insulation  Program  Planning  and  Design  Authorization 
(CIP #C200096) 
Amount of this request:              $34,386,000 
Total estimated project cost:        $133,515,000 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to plan, design, and prepare
construction documents for the Apartment Sound Insulation Program (CIP #C200096) located
within the current noise remedy boundary near the Seattle-Tacoma International Airport
(Airport) in an amount not to exceed $34,386,000 of a total apartment program cost of
$133,515,000. 
EXECUTIVE SUMMARY 
The Sound Insulation Program exists to help reduce community noise impacts caused by aircraft
utilizing the Airport. As part of its long-term commitment to communities surrounding the
Airport, the Port offers sound insulation for eligible properties within the current Federal Aviation
Administration (FAA) Airport Noise Compatibility (Part 150) noise remedy boundary. This work
typically includes installation of new Sound Transmission Class (STC) rated windows, doors, and
storm doors, as well as supplemental ventilation to meet the FAA standard of a 45 decibel (dB)
Day-Night Average Sound Level (DNL) interior noise that can be achievable with at least a 5 dB
reduction. 
This request will allow the Port to commence with acoustic testing, regulated materials testing,
title search, avigation easement and subordination document support, language services, other
necessary program planning, and preparation of design and construction documents for all 18
apartment complexes (903 units).  The preferred alternative accelerates the program by
approximately 9-years when compared to the historical method of administering the sound
insulation program. 


Template revised January 10, 2019.

COMMISSION AGENDA  Action Item No. _10d__                              Page 2 of 7 
Meeting Date: August 10, 2021 
This request does not include work associated with condominium buildings, places of worship,
single-family homes, and south Approach Transition Zone (ATZ) voluntary residential acquisition.
Staff will return to Commission to request authorization(s) associated with these items and
subsequent construction authorization(s) at a later date. 
JUSTIFICATION 
Resolution No. 3683 was adopted by the Commission on October 22, 2013, and included all
recommendations from the Part 150 Study, including sound insulation for eligible structures
within the Noise Remedy Boundary. This authorization will help to meet the requirements of
Resolution No. 3683 to conduct an ongoing Sound Insulation Program (SIP). 
In February 2020, the Commission passed Motion 2020-04 to accelerate this work with the goal
of completing work on these programs by the end of 2026. Moving forward with the apartment
sound insulation is critical to compliance with the Motion. 
Diversity in Contracting 
Since the project will be partially funded with FAA Airport Improvement Program (AIP) grants,
the Port will follow the United States Department of Transportation's Disadvantaged Business
Enterprise (DBE) program requirements. A DBE goal of 2.87% has been established for this project
and the DBE Plan will be administered in accordance with 49 CFR Part 26 by the Diversity in
Contracting Department. The DBE goal was calculated from the number of federally certified
DBE firms which perform the scope(s) of work as identified for the project.
DETAILS 
Staff estimate 18 apartment complexes (with 903 units) are potentially eligible to participate in
the program. The Port has retained a consultant to evaluate, confirm, and document eligibility of 
apartment complexes based on Port and FAA criteria and owner  participation. The preconstruction
design and testing will define the scope of this program and will be used to develop
cost estimates prior to construction. 
Under state law, (R.C.W. 53.54.030), any owner who participates in the Program is required to
provide the Port with an Avigation Easement in return for the Port paying the cost of the
improvements.  A  Subordination  Agreement  or  Consent is required  in  order  to  convey
the Avigation Easement if there is a mortgage, deed of trust, or other lien on the property.

Scope of Work 
The consultant will provide good faith regulated materials surveys, planning, language services, 
project documentation, acoustic testing, FAA AIP grant funding documentation, design and
construction documents, and any ancillary scope elements necessary to complete the design(s).
Typical design to include: 

Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. _10d__                              Page 3 of 7 
Meeting Date: August 10, 2021 

(1)      STC rated solid core doors 
(2)      STC rated windows 
(3)      Storm doors 
(4)      Positive exterior air ventilation 
(5)      Other associated work as determined to be necessary by the architect to reduce noise or
to meet code 
(6)      Regulated materials abatement as necessary to facilitate these installations 
Schedule 
This is a multi-phased design and construction program. Design and construction will proceed
concurrently throughout the duration of the program (2021-2026). The first design package will
commence Q4  2021 and will be followed by subsequent design packages until completion. Staff
is planning to return to Commission in Q1-2022 for construction authorization associated with
the first design package and will continue requesting construction authorization for design
packages throughout the duration of the program. The schedule below shows design beginning
in 2021 and sound insulation of all participating eligible apartment complexes completed by the
end of 2026, per the Port Commission Motion. 
Activity 
Design start, first package                         2021 Quarter 4 
Commission construction authorization          2022 Quarter 1 
Construction start, first package                  2022 Quarter 3 
Completion, all eligible complexes                2026 Quarter 4 
Cost Breakdown                                     This Request           Total Project 
Design & Program Management                      $34,386,000          $34,461,000 
Construction                                                      $0            $99,054,000 
Total                                                        $34,386,000           $133,515,000 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
The two other alternatives being considered would require significantly longer schedules and/or 
be costlier. Based on the direction provided by the Commission on February 25, 2020 to 
accelerate all active and planned Sound Insulation Programs, there are at present no other
feasible options other than to proceed with the recommended alternative for this scope of work
as described. 



Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. _10d__                              Page 4 of 7 
Meeting Date: August 10, 2021 

Alternative 1  Initiate noise remediation of Apartment Complexes at a pace to align with
available FAA Airport Improvement (AIP) grant funding. 
Cost Implications: $171,000,000 
Pros: 
(1)   Program funded with FAA AIP grants (estimate $10m per year) 
Cons: 
(1)   Not implementing the noise remediation apartment program at an accelerated pace
could reduce the Port's credibility in the community and would not honor the Port's
commitment to the Part 150 study and Commission Resolution 3683 
(2)   Would not meet the intent of Commission Motion 2020-04 to accelerate the airport's
noise mitigation programs prior to 2027. Deferred completion of the program would
then be ~2031 
(3)   Total project cost will increase due to escalation of costs over the 10-year period 
(4)   Timing and funding amounts cannot be adequately planned since the FAA cannot
guarantee AIP funding beyond one-year 
This is not the recommended alternative. 
Alternative 2    Defer the program 2-years to allow for COVID economic recovery with
accelerated project duration 
Cost Implications: $144,000,000 
Pros: 
(1)   No Port expenditures until 2023 
Cons: 
(1)   Costs would be more expensive in the long term 
(2)   Delaying the noise remediation program could reduce the Port's credibility in the
community by not honoring the Port commitments in a timely manner 
(3)   Would not meet the intent of Commission Motion 2020-04 to accelerate the airport's
noise mitigation programs prior to 2027 
This is not the recommended alternative. 
Alternative 3  Authorize Sound Insulation Program to plan, design and prepare construction
documents for the Apartment Sound Insulation Program (CIP #C200096) 
Cost Implications: $133,515,000 
Pros: 
(1)   Meets commitment to noise remediation in the community per Commission Resolution
3683 

Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. _10d__                              Page 5 of 7 
Meeting Date: August 10, 2021 
(2)   Maintains the program schedule to meet the intent of Commission Motion 2020-04 to
accelerate the airport's noise mitigation programs prior to 2027 
(3)   Acoustic testing will identify which apartment complexes within the noise remedy
boundary are eligible for sound insulation 
(4)   Allows staff to begin design of all the apartment projects.
(5)   Provides a direct community benefit to reduce aircraft noise impacts in  apartment
complexes. 
Cons: 
(1)   The Port assumes the financial risk for this work if FAA AIP grant funding cannot be
secured 
This is the recommended alternative 
FINANCIAL IMPLICATIONS 
The capital cost of the project is estimated at $133,515,000. The funding plan projects $69 million
of AIP grants from 2022-2029. Therefore, the Rate Base Cost is estimated at $64,515,000. The
Rate Base Impact reflects a 25-year debt service term. Debt service would be charged as landing
fee when each apartment complex construction is substantially completed, and grants are
received. 
To manage the uncertainty of grant availability and ultimately fund the balance of costs not
grant-funded, the Port has developed the following plan:
The Port would use commercial paper (CP) as an interim funding source until the
availability of grants is known. 
CP interest and fees would be included in the Airline Rate (Landing Fee). 
Port staff would work with the FAA to assure noise projects meet all federal procurement
guidelines and AIP eligibility, should funding become available. 
The Port would continue to apply for grants to fund retroactive spending. Plan assumes
grants funding stops at 2029. However, the Port would continue to seek reimbursements
past the financial model timeline. 
If the FAA grant funding plan falls short of total eligible costs, Finance & Budget (F&B) will
evaluate the potential for retroactive reimbursement. When retroactive reimbursement
is unlikely, F&B will issue Airport Revenue Bonds to reimburse the projects funded by
commercial paper. Then, debt service would be charged through Airline Rate (Landing
Fee). 
Passenger Facility Charge has insufficient capacity for the next 5-10 years without shifting
from other projects, such as North Satellite (NSAT) or International Arrivals Facility (IAF). 
Grant submittal timeline 2021-2029. 


Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. _10d__                              Page 6 of 7 
Meeting Date: August 10, 2021 
Risks and uncertainties include: 
1)  Estimated costs could differ: 
a)  Lack historical estimate data 
b)  Property owners choose not to participate 
c)  Properties not qualified after acoustic testing 
d)  Change in noise contour with updated future Part 150 
2)  Grant availability 
There are project risks and uncertainties in the Port's funding plan; however, the focus is
designed to allow the Port to minimize the airline rate base impacts. Lower costs or reduced
scope (due to ineligibility or owner reluctance to participate), combined with anticipated grants
would further reduce the rate base impacts. 
Cost Estimate/Authorization Summary              Capital        Expense           Total 
COST ESTIMATE 
Original estimate                              $133,515,000               $0   $133,515,000 
Total Estimated                               $133,515,000               $0   $133,515,000 
AUTHORIZATION 
Previous authorizations                             $75,000               $0         $75,000 
Current request for authorization               $34,386,000               $0     $34,386,000 
Total authorizations, including this request      $34,461,000               $0     $34,461,000 
Remaining amount to be authorized           $99,054,000              $0    $99,054,000 
Annual Budget Status and Source of Funds 
This project, CIP C200096, was included in the 2021-2025 capital budget and plan of finance with
a budget of $133,515,000. The funding sources would be AIP grants, commercial paper and
revenue bonds. This project has been submitted as a Majority in Interest (MII) project to the
airlines and the ballot is due on August 3, 2021.
Financial Analysis and Summary 
Project cost for analysis              $133,515,000 
Business Unit (BU)                  Airfield Movement Area 
Effect on business performance     NOI after depreciation will increase due to inclusion of
(NOI after depreciation)             capital (and operating) costs in airline rate base. 
IRR/NPV (if relevant)                N/A 
CPE Impact                       $.22 in 2027 


Template revised June 27, 2019 (Diversity in Contracting).

COMMISSION AGENDA  Action Item No. _10d__                              Page 7 of 7 
Meeting Date: August 10, 2021 
Future Revenues and Expenses (Total cost of ownership) 
Once the project is complete and the avigation easement is permanently recorded on the parcel,
there will be no further revenues or expenses incurred.

ATTACHMENTS TO THIS REQUEST 
(1) Presentation slides 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
December 15, 2020  Commission briefing on sound insulation programs, acceleration and
staff recommendations 
December 15, 2020  The Commission authorized consultant services IDIQ contract to
provide sound insulation program development support  for single-family homes,
apartments, and places of worship 
February 25, 2020  Commission briefing on sound insulation programs, acceleration, and
staff recommendations. Motion 2020-04 of the Port of Seattle Commission directing the
acceleration of the sound insulation program at the Airport 
July 10, 2018  The Commission authorized contracting for Sound Insulation Architect and
Project Oversight Consulting for Condominiums 
October 11, 2016  The Commission authorized contracting for Sound Insulation Architect
and Project Oversight Consulting Services and Job Order Contracting (JOC) for Single-
Family Homes 
October 22, 2013  Second Reading and Final Passage of Resolution No. 3683 concluding the
Federal Aviation Regulation (FAR) Part 150 Noise and Land Use Compatibility Study
Update for Seattle-Tacoma International Airport. 
October 8, 2013  First Reading of Resolution No. 3683 concluding the Federal Aviation
Regulation (FAR) Part 150 Noise and Land Use Compatibility Study Update for Seattle-
Tacoma International Airport. 
April 23, 2013  The Commission authorized contracting for Sound Insulation Consulting
Services and Job Order Contracting (JOC) for Single-Family Homes. 



Template revised June 27, 2019 (Diversity in Contracting).