Item No. 10b_supp
Meeting Date: December 14, 2021
North Main Terminal Redevelopment
(NMTR) Program

Jeffrey Moken                                        Alan Olson
Interim Director, Aviation Business and Properties        Capital Project Manager IV
Seattle-Tacoma International Airport                     Aviation Project Management Group

Requested Action
Request Commission authorization for the Executive
Director to fund $149.5 million for construction of the
Phase 1 Enabling Work of the North Main Terminal
Redevelopment Program at Seattle-Tacoma International
Airport, and to execute a third Tenant Reimbursement
Agreement with Alaska Airlines, Inc. (Alaska) to complete
the Phase 1 construction work.

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Program Background
Alaska and the Port have been working
together on the planning of the North
Main Terminal Redevelopment Program
(NMTR) scope for a couple of years
Alaska will design and construct the
NMTR Project through a multi-phased
Tenant Reimbursement Agreement
(TRA)
The Port anticipates designing and
constructing similar improvements in
the remaining areas of the Ticketing
Level in the coming years

Phase 1 Area of Work Overview




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NMTR Program Drivers
Needed renewal and replacement (1980s era)
o Infrastructure systems
o Architectural finishes
Capacity enhancements
o Security checkpoint expansion and reconfiguration
o Promenade buildout for relocated ticketing and office space
Safety enhancements
o Code upgrades (ADA)
o Safety enhancements (smoke control)
Customer service enhancements
o Open and airy
o Technology enhancements
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High-Level Scope Summary by Phase
Phase 1
Will build out key enabling scope, largely comprised of converting
the undeveloped Bridge/Promenade Level into usable space for
Alaska and other Port tenants.
Phase 2
Will reconfigure the Mezzanine, Ticketing and Baggage Claim Levels
at the north end of the Main Terminal to complete code
enhancements and significantly improve passenger processing and
security screening capacity.

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High-Level Phase 1 Scope Objectives
This division of the scope is advantageous because it:
Provides a clear 'offramp' decision point at the end of Phase 1 in the event
either the Port or Alaska decides not to continue with the Phase 2.
Limited elements of Phase 2 work, primarily related to code compliance and the
baggage handling and smoke control systems, are also scheduled to take place in Phase
1 to mitigate future operational impacts and control overall project costs.
Provides fully functional, value-added leasable space, including new check-in
and bag drop locations for Alaska on the Promenade if the decision is made
not to proceed with the Phase 2 scope of work.

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Proposed Bridge/Promenade Check-In and Bag Drop




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Proposed Future Bridge/Promenade Check-In & Self Bag Drop




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Proposed Baggage Claim Ceiling Treatment




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Proposed Baggage Claim Ceiling Treatment




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Proposed Baggage Claim Ceiling Treatment




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Proposed Exterior View of Bridge/Promenade




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Phase 1 Construction Key Points
Construct previously undeveloped Bridge/Promenade Level space to
include:
o Creating additional Alaska passenger check-in and bag drop, together with:
New connections to the existing baggage handling system
Associated modifications and new finishes to the Baggage Claim ceilings
o Building out new spaces to accommodate tenants displaced during Phase 2 work
o Upgrading existing and providing new building systems to meet code requirements
o Developing mechanical, smoke control, fire suppression and architectural solutions
that will be applied throughout the rest of the facility by the Main Terminal
Improvements Program, which is currently in the Project Definition phase

Tenant Reimbursement Agreement (TRA) Plan
TRA #                    Scope                       Value       Execution
#1   Project Definition Document & 30% Design   $10 million      11/05/21
#2   Post 30% full program design               $21.5 million     12/31/20
#3   Phase 1 construction                      $149.5 million    Q1 2022
#4   Phase 2 construction                      $TBD          Q2/Q3 2022

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Cost Breakdown

Cost Breakdown                 Previous Requests       This Request         Total to Date 
Complete PDD and 30% Design         $9,000,000                $0          $9,000,000 
Design  Phases 1 and 2                $16,900,000                 $0          $16,900,000 
Phase 1 Construction Cost                       $0      $140,500,000         $140,500,000 
Alaska Soft Cost                          $3,300,000         $5,200,000            $8,500,000 
Port Soft Cost                             $2,300,000         $3,800,000            $6,100,000 
Total                                     $31,500,000      $149,500,000         $181,000,000 


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Cone of Certainty

$520 million
W e are here
$400 million

$320 million

High Level Schedule




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Program Risks and Mitigation
RISK                     DESCRIPTION                                   MITIGATION PLAN
Conflicts with other      Main Terminal Improvement Program,          Comprehensive construction phasing/impact
major projects           Terminal Security Enhancements, Main          mitigation plans are being updated at weekly
Terminal Low Voltage Upgrades and the         team meetings.
Baggage Optimization Program are all taking    Representatives from neighboring projects are
place in Zones 6 & 7 during the same general    design reviewers and included in regular progress
timeframe. NMTR will have to closely           update meetings.
coordinate with and possibly take on scope
from one or more of these projects.
Lack of architectural      The architectural elements and finishes         An Architectural Visioning working group of NMTR
continuity with the rest  selected for NMTR do not harmonize with the   staff, key Port stakeholders and members of the
of the Main Terminal     rest of the Main Terminal and/or may be too    Main Terminal Improvements team meet weekly
costly to implement in follow on projects.        to review changes as the design progresses.
Port leadership is responsible for reviewing and
approving/rejecting these changes.

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Questions


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