The Regular meeting scheduled for 2019-09-24 at Sea-Tac Airport

Transcript

The Regular meeting scheduled for 2019-09-24 at Sea-Tac Airport

All right
Good afternoon
This is a commission president, Stephanie Bowman, reconvening the regular meeting of September 24th, 2019
The time is 12 0 8
We're meeting at the conference center at SeaTac International Airport
President, with me today are commissioners Corkin, Spelman and Steinberg
Commissioner Gregoire is excused
This meeting is being digitally recorded and may be heard or viewed at any time on the port's Web site and may be rebroadcast by King County Television
Please join me in standing for the Pledge of Allegiance
I two to the flag of the United States
To the republic for which it stands, one nation under God, indivisible
Really? Thank you
So commissioners were now in the order of the approval of the agenda
Are there any motions to add or rearrange the orders of the day, a request to remove any of the items from the consent calendar? No
OK, great
So
Oh, Amy, scripting agenda is approved
All right
MR Metruck executive directors are quite good afternoon, commissioners
I have through announcements the share and in some discussion about today's commission meeting
Seattle, Seattle Tacoma Airport was recognized for its carbon reduction efforts, achieving the airport carbon accreditation level three for the fourth year in a row
Airport carbon accreditation is a global carbon management program that independently assesses and recognize airports efforts to manage and reduce their CO2 emissions
Level 3 The certification that was achieved requires that their airport to demonstrate continued reductions in airport owned emissions and partnerships and programs to reduce ground transportation and aircraft emissions
Correct
Congratulations to our staff for their dedication to this work
Commissioners, we are also fortunate to have except exceptional employees working throughout the Port of Seattle, especially in our Port of Seattle Police Department
One of our members of the police force, Commander Geoff Selig, has been awarded the John Coleman Award of Excellence from the National Tactical ARM of Officers Association
This is the highest honor given by the association presented to the person who contributes the most to further the goals of law enforcement
Tactical community is awarded to only one individual in the country, and that's commander
So Commander Selig has worked in law enforcement since 1996 and has instructed hundreds of officers in his role as SWAT instructor, as well as hundreds of patrol officers attending our regional active shooter program
We appreciate Commander Selig's Selig's dedication and tireless devotion to the tactical law enforcement profession
The exceptional work is a positive reflection upon the Port of Seattle and Police Department
We're glad that his wife could join us here today
This recognition
As Chief Covey, did you want to add anything to that? And congratulations, it's just a remarkable honor
All right
Good work that's been done literally over decades
Get recognized on a national level, as a director pointed out, won the award a year and some years
It doesn't even get given
I think Jeff is indicative of the quality of the men and women you have at the police department
So thank you, director
Thank you, commissioners
Thank you
Congratulations
I just want to say that I think our executive sort of understated it
It's not just a positive reflection
It's an extraordinary accomplishment
Thank you so much
All right
Thank you
Thanks, commissioners
I have a couple of more
One more announcement
Last Friday, we dedicated two new electric vehicle fast chargers at the airports
Cell phone locked the port, contributed the design, construction and installation of the electrical infrastructure for the project
The State Department of Transportation contributed funding as part of its five chord or a project to install fast charging stations in six communities
These fast chargers can charge most electric vehicles up to 80 percent capacity and less than 30 minutes
These charters are perfect for our SO lot due to the very short term stay of users they are at
And regarding today's commission meeting, I just have a couple comments about these
There are several items that I'd like to highlight
A moment ago I mentioned an environmental achievement bar aviation staff
Not to be outdone, our maritime environmental staff has their own achievement to bring forward
Item 7 recognizes achieving the second Salmon Save CERT certification for the port for the port's maritime parks and public access sites
You'll hear more about this during our meeting
There are multiple items on our agenda today which will relate to enhancing the traveler experience at SeaTac Airport and to help businesses which operate at the airport
Item 60 is a request to proceed with the next phase of restroom upgrades
Item eight A is to approve expansion of a project enabling plant projects, enabling planes to get in and out the gates faster, benefiting travelers and airlines
A B is a contract to continue management of two lounges used primarily by international travelers and airlines in item eight d a suite of contracts where events and entertainment in our terminals that enhance the traveling experience and also benefit businesses operating at the terminal
Item nine is the Central Services Polarity Budget briefing
This kicks off our 2020 process and I'll have more to say about this when I introduce that briefing
And as a final remarks, Commissioner, I'd like to to recognize and really to say regarding our START program here at the airport
As you know, we appreciate the concerns expressed by local communities about programs, projects and operations at the airport
Most recently, the action on preliminary funding for certain proposed sustainable airport master plan projects
In response, we have committed to increasing communication and awareness to airport communities regarding port topics or commission actions that could be of interest that remain committed
And we remain committed to working with airport communities to identify or expand expand off areas of mutual interest
One such engagement is the SeaTac Stakeholder Advisory Roundtable START convened by aviation managing director Lance Little
The unprecedented engagement through staff has led to successful new initiatives such as the Late Night Noise Limitation Program, which began in July, a commitment to which to adjusting 34 hour runways glide slope
Working with the FAA to reduce the use of a third runway at night
Initiating a ground noise analysis and requesting airlines to upgrade or replace older, louder equipment or air on aircraft
Finding common ground on challenging issues is not easy
Only through collaboration can we find workable solutions
That is the purpose of start to create a dialogue that can lead to productive and impactful changes
We hope that the Cities Bureau in Des Moines in federal way will join us in that work
We welcome a conversation about how we can form and further partnerships to develop positive outcomes for all
With all parties held to the same standards and that spirit will be contacting the cities to explore a constructive way forward in our work together
And that concludes my remarks
Commissioners
Great
Thank you
Where you are now, the time for public comments so any written material can be given to our clerk for inclusion in the meeting record if you wish to speak
There we go
Please sign in and identify the item specific item that you are wishing to address
The comments from will be limited to three minutes per person
We've got several folks signed up today
We're going to start with Greece Stiller followed by Jon Feeney and Jordan Louie
Yes, please come on up
And you're welcome
I know that you're several of your speaking on the same item
You're welcome to come together, if you like
Welcome
Thank you
Commissioners, his colleagues and the Port of Seattle community
So I'm Grace Diller
I'm a recipient or I should say the Weed Warriors Nature Stewards program is a recipient of the ACE Grant Fund
And I'd like to share what we've accomplished
And I'm going to be reading a statement and also have brought pictures from some of our projects
So I'd like to start by saying thank you for the opportunity to share what the ACE Fund means to small environmental non-profits like the Weed Warriors Nature Stewards program
So we are a small nonprofit
We have no paid staff where we operate with volunteers
We have a great volunteer force and partner with a lot of other environmental non-profits
We've received two Grant 2 project grants that enabled us to deliver an ongoing native plant restoration program in billions
Matheson Park with residents and students of the Highline School District
Last year on our project, we focused on planting trees for carbon sequestration and habitat restoration
We held classes at the Buren Community Center
One class, which I'd like to highlight was how to assess your carbon footprint and how to of how to effectively use your yard or your nearby park as a mitigating opportunity for the fossil fuel, your fossil fuel carbon output
Then we offered the opportunity to plant trees and other native plants in the Bay Area in parks to offset your carbon footprint
All the trees are not equal
We found some trees actually sequester more carbon than others
Surprisingly, other classes that we offered were ideas on how residents can plant native plants and establish rain gardens and support wildlife and helped mitigate stormwater pollution in Puget Sound
This year we focused on native plants that provide habitat for our local and migratory birds, butterflies and bees
That was the name of this program for this project
We partnered with the National Wildlife Federation and other Habitat Stewards Group to deliver this project
We established a pollinator garden in Matheson Park and we worked with adults and kids to build birdhouses for our native birds
In urban settings and suburban settings, dead trees are taken down
They're called snags
They're often dangerous
But this is the habitat that's needed for the birds
They actually the dead trees provide the holes in the cavities that they need for nesting
So the bird houses that we built and put up in different places provided the needed nesting for our local birds
We reached out to our youth in the Latino community
Is that my time? That is your time
But if you can wrap it up, Grace
Thank you so much
Yes, thank you
And I would like to thank the Carpenters, the Regional Carpenters Union, who donated their time to build the birdhouses and to thank the port
This is an often awesome opportunity that small non-profits don't normally have and to increase the opportunity for other small nonprofits
You might consider lifting the match, making it 1 to 1 instead of 1 to 3
We had no problem with that
But going forward for a greater community support base, you might consider that
And thank you so much
Thank you
And thank you for your work
So next up, John Feeney and then Jordan Louis
I'm with New Start Community Garden in Berrien, and we're in our second round of funding, New Start Community Garden is on the campus of New Start High School and we support, first of all, support the students
It's an alternative high school
These kids don't have the opportunity to learn things that a lot of us maybe have learned from our our our parents or grandparents are our neighbors
And so as they as they grow up and come into the adult world, they don't they don't know things
And I'll just say that one boy was asked to pick some pickles or excuse me, asked to pick some cucumbers
And he said, well, these are too small
And they said, no, no, these are being picked for cook for pickles
And
And he said, you mean you mean pickles come from cucumbers? I mean, it's just he said, why didn't anybody tell me? And the teacher said that he kept going on all day long about that, that nobody had ever told him that that's where they came from
I had another lady who in the community garden who told me that she'd lived in the neighborhood for 16 years
But in the six weeks she'd had a garden, she had met more neighbors
So
So as far as developing community, you can you can have meetings
But if you have some central reason or core or things that people can share
It just has has more meeting
And it will and it will continue
As far as the three to one grant, we we don't have a problem with that
We it it it actually kind of helps us in a way because we have Boy Scout groups that need a place they need to project
We have church groups
We have community service people that that need to put in their time
So they will come to the garden and and do the work
Every time you meet somebody, you get more information
You learn about other opportunities
What people have done to two in their gardens, how they how they've promoted the growth and helped the environment
And so
We we just appreciate that this has worked for us the way you have it
But
We're not going to be selfish there if you have if you had a little bit better ratio of money to effort
You're just going to bring more people in
There'll be more work in scrutinizing who you want to give the money to
But but that's that's part of it
That's part of it
That's that's part of the the whole thing
It's not just one
One area that you want to promote
So thank you
Great
Thank you
Jordan then followed by he and Couey and then Kelly Stephan
Hello
Thank you
My name is Jordan Louis, and I'm speaking to you on behalf of the YMCA of Greater Seattle
The YMCA received ten thousand dollars in the spring cycle of the ACE grant to support engaging our Taiji scholars at nearby Taiji High School
So these scholars are now 10th
Eleven and we just welcomed an incoming class of ninth grade cohort to our group
So there's about 90 students, all of color
And this program is a replication of what we've done at Garfield High School, which has one hundred percent graduation rate and 100 percent college acceptance rate
So we know that these students are ready for engaging in a meaningful manner
And we were pleased to accept the ACE grant to integrate environmental education into what these students are overlaid with extreme mentorship and acceleration into their academic careers
So we started with a summer learning program partnering with New Roots Farm, a organization of people of color based in Beacon Hill, to connect with these students and teach them a little bit about farming, the role we play as individuals in the environment and the history and oppression of black farmers
We culminated that month with a lesson on invasive and native plants and then a nature scavenger hunt and campus cleanup
We're working toward education every other month that's meaningful to the students, including tours of the airport and its sustainable practices, since most of the students live within a five mile radius of SeaTac
And we're grateful for the opportunity to engage these young people
And as far as an administration of the grant, we certainly love the match
It is difficult to administer, but I understand the necessity of the program
So there's a lot of staff time involved in creating specialized application and backup materials
Otherwise, the reimbursement process is fairly straightforward and easy to complete
Andy has been wonderful to work with and we look forward to applying in the next cycle
All right
Thank you
Appreciate that
And Kelly and then Linda Farnsworth
Good afternoon, everybody
My name is here and Cue and I am the executive director of Partner Employment
It's a local organization just right out of the SeaTac Airport here
So we received the ACE funding
I think the last cycle and oh, my goodness, we did a lot
So our project, we we were trying to engage the different cultural communities around the SeaTac Airport to kind of teach them about some of the environmental justice
And we incorporated some teachings into our ESL curriculum, our ESL class
And so we incorporate some of that teaching and spent about one day a week in our ESL classroom teaching about environmental justice
And we did that for about a quarter or two
Teaching them about, you know, the environment, for example, talking to them about different places that, you know, in at least Washington state, that, for example, the mountains that the parks, you know, these are places that they're not really familiar with, but we're trying to teach them some of these resources that are available
Other things such as, you know, recycling, composting, you know, what are those what what are those things? And so we're we're just putting those in there into what you sell class
I think one of the
Thing, you know, part unemployment, we are a workforce development work
But a lot of the work that we do is community engagement
So working really with ethnic communities and culturally different cultural communities to engage them in, you know, meeting with the poor, with the commissioner and, you know, who are they coming for a tour? And so we did a tour of the SeaTac Airport
We had the chance to bring three different communities together, to come to the SeaTac Airport, to do a tour, a full bus of them
We also met with Lance, the director here, giving us a more insight on what are the things that are happening at the SeaTac Airport
I mean, the fact that they are living so close here
All they know is that you go there to fly out somewhere else
But there are so many opportunities here at the SeaTac Airport that they just don't know about
And so I think one of the major thing that we achieved with that E funding was really how we were able to connect and engage the refugee community around here
To learn more were, you know, what the SeaTac Airport is all about, where the Port of Seattle in general
So we did some also clean up events a couple of times it in a location where it's very densely populated
You know, a lot of small shops, ethnic shops where there were around
And so we took people and recruited local business owners and residents
Our clients came out
And so we went around the block to to to clean, to pick up trash
And what this really taught our community was that that stewardship
Right
You want to be able to make sure where you go to and your neighborhood looks looks good, particularly with making sure that it looks clean and that trashes are out
And so just to close, I know ACE is a great funding source
To get small organizations like ours in there is great impact to it
Obviously, I you know, that's my observation of it
Just echoing again, back with the matching, it does create some difficulties
So if we can change that
Great
Thank you so much, Kelly
And then Linda Farnsworth and then Amanda Leon
Welcome
Hi, my name is Kelly, stepping on with Environmental Science Center
I just want to thank you for the support that we've received for our program
We fund funds are helped funds, our Beach Heroes program and this beach year program is a much needed program here in Highline School District in the cities of Beary and SeaTac to Moines
A lot of these students don't have a lot of access to the outside
And so this grant allows us to reduce those barriers of cost of program as well as transportation
So we provide bus funding for the students to come out
Beach Heroes is a two part program
We first go into the classroom, teach about the beach, teach about stewardship, introduced that concept to the students, and then they come out to see her speech in for a two hour field study where they are working, exploring, learning about the seawall, learning about the animals, and most of all, learning how to be better stewards of the environment
All the students we served 83 Highline classes this past spring with our grant, so it's over
Nineteen hundred students came out
They learned about the beach
They picked up trash
We actually picked up over 20 pounds of trash this past spring from Sea Hurst
So we got the students involved to get them excited
And then we sent home information to continue those conversations at home so they can then bring their parents back
One of the things we notice is many of these students, even though they're within walking distance or a short distance from the park, this is their first time there
So we really do want to encourage them to to to get outside and to bring their families back and enjoy this wonderful environment that we have
Another thing that we are able to do with this program is we have a we call it a junior naturalist program
So we train our local high school students to work with our paid naturalists
And so that then at the high school, students are trained in how to teach the students and work with them
And it provides a wonderful way for them to give back to the community
This program has been going on for many years
And it is it's neat to see so many of this
Some of the high school students actually participated when they were younger
So it's the chance for them to give back to the students and the young kids that we worked with just absolutely love it
When the high school students are out there teaching them
So thank you for the support of this band
We really appreciate it and allows us to bring this program to students who need it
Thank you, appreciate that
Linda Farnsworth
And then Amanda and following Amanda, David Goebel
Good afternoon
Good afternoon
Commissioners and good afternoon, everybody
This is really exciting to hear about all these grants that have been put out into the community to serve all of the current generation and next generation
My name is Linda Farnsworth and I am with the PTA
I'm a PTA mom up in Berrien
And I would like to share with you about Americans with Disabilities Act
Playground equipment
So this project that I worked on was born in 2016
Gregory Heights Elementary Schools, existing playground equipment was in disrepair and students were getting hurt on the broken pieces of equipment
They were breaking arms and legs and twisting ankles
So it was a concern
So as somebody involved in the PTA, I said, well, what can we do? You got a bunch of free volunteers here willing to do some fund raisers and that kind of thing
So we realized that the structure was built when there were 450 students at the school
But in 2016, there were around 700
So we made a couple of friends of mine and myself
We decided to go ahead and start researching
How much would it cost to repair the existing structure after getting a committee together and talking with students, talking with families, talking with the para educators who stood outside at recess time with the kiddos
Unlike the parents who were doing other things at the time, we asked what what would be great to have here? And through quite a bit of discussion, we realized that we didn't have anything inclusive kiddos with limited mobility, whether they were in a wheelchair, had a walker or had a hard time
There was nothing for them
So we decided to start our journey of raising funds to have wheelchair accessible playground equipment
We went to the Port of Seattle and applied for the grant and we were approved
And I would like to share today in my last couple of little bit of time here
I have an award here for Andy Gregory
It is
We received a generous ten thousand dollar ace grant from the Port of Seattle
This grant was probably the single greatest factor in ensuring our success due to deadlines and the possibility of losing the grant if we couldn't stay on track
Thank you to Andy and the Port of Seattle for your support
Making our AIDS accessible equipment a reality for all of our students, not just our students with mobility issues, but with
But all students are able to use this amazing equipment
So thank you so much for your support
Perfect
Thank you
All right
Amanda
David
And then Jesse Harris
And that's all I have
So if there's anybody else, this would be the time to sign up
Welcome
Hi there
And then Mandalay on the city of Normandy Park
Thanks for inviting us today to speak about the East grants
Amanda
Could you get a little closer to them? Sure
I'm kind of short
They don't come to you
So thank you for inviting us to speak about the east grants today
The city of Normally Park has not directly benefited from the ACE grants in the past, but we have participated with other organizations that have
For instance, Storm Fest was a Highline school district
Sixth grade, an outdoor environmental education day that took place in 2018
Two events in 2018
And students from the Highline School District participated
All sixth graders
Twelve hundred students in two days
And I helped out with that
The city of Normandy Park would love to participate in a grant funding that I think that you guys are working on in the future
I run a bunch of environmental education programs that are a multigenerational, multi lingual, all sorts of walks of life
Join us
We have a Nature Trails Park Urban Forestry Restoration Management Program that volunteers help with
We have a Marine View Park Restoration Volunteer program that volunteers for that meet every first Saturday of the month
And we work on removing invasive sand, planting trees and making forest health important in Marine Park
Over the years, the past 10 years, we've worked on Walker Preserve, removing Ivey and replanting
And that's twenty nine acres of ivy that we've removed over the years, and that's with just volunteer effort
So a lot of our environmental initiatives and normally park were pretty small
We recruit from the whole area, but we're able to do it
And so we're excited that you're continuing with the ACE program and we're excited to hear about future programs that you might have
Thank you
Great
Thank you so much for being here
All right, David
Jaycee
And that'll do it for public testimony
I think deep pockets, I mean, just one second thing
I just wanted to mention, too, that we had a written public comment from Des Moines Memorial Drive Preservation Association
World War One Living Wrote of Remembrance, written by Rose Clark, also about the the s community funds
And so, Rose, I know you couldn't attend today, but thank you so much for getting this on the record as well
Hi, David
Hi
I'm David Goebel, president of National Unfair Skies to 5 1 3 C dedicated to restoring the pre NexGen National Viral Fashion Island
I'm here to speak on
Some of you might suspect the installation of noise monitors under the new ultra focused next gen flight paths are announced over Crash Island
They're known as Hawks and Mariner
The residents of Ashton Island presented a petition to the Port of Seattle last year at Pier 69 for monitors, and I've been continuously pushing them since, most recently, another national resident
At the height of the Kennedy debate also made a noise at the Port of Seattle Commission
A few guys is on record to spend 750 thousand dollars of the five million s King County fund this calendar year
And noise monitors are really small fraction of that
I believe summer months ago you determine exactly how much they would be, approximately how much it would be
And it's completely aligned to the goals of that fund as well, which is collecting data on the impacts of aviation noise
And this and the Port of Seattle also has the opportunity to be pioneers by installing noise monitors under one of these new next gen PBX performance based navigation
Newly focused flight paths with PBR on flight tracks, which used to be randomly dispersed in a diffuse swath of miles wide, are now focused on a G.P.S
and razor sharp track
One hundred yards wide, approximately on fashion
There was also the extra bonus of lowering flight tracks thousands of feet at the same time in an attempt to make that U-turn in Elliott Bay
Instead of the trombone pattern, though, of course, as you all know, they still do the trombone pattern that completely failed
If this is approved by the last week of October, you can get extra credit by announcing it at this year's AAA American Associate Airline Executives Noise Conference, which is being held in Seattle this year, being held the last week of October
And that would well, I was at last year's noise conference and ask specifically if anyone, any airport had yet installed noise monitors
Under these next gen PBS, because they've been very controversial all over the country and have spawned lots of conflict and other substantial probleMS And as of last year, none none of the panelists on the noise monitor panel knew about any
So you could really be pioneers and announce it in Atlanta speaking and several other popular speaking
It would be great publicity for the part
Thank you
Thank you, David and J.C.
Cjc various welcome
Good afternoon
So as I'm sure somebody who's been briefed in the Empire
The Des Moines and Buren Airport Committees got together last week and vented
Much spleen about the SAM and you know, as is typical for our support communities
There was not a tremendous amount of agreement on what to do
Meaning what it would take to get them back to the start table
I will suggest an even way that I am about 100 percent sure everyone would find it pretty fabulous
The port should undertake an audit of the port package system that you had in place starting about 1998
It is really tough for me, and I know it's thrilling for you to be good to have me come here and all the time talk about stuff that happened 20 years ago
But, you know, because your minds are on the newest contracts for bathrooms or labor or what have you
But those
That period when the majority of the pork packages were installed had really terrible oversight with just thousands of these not being done properly
It's just a fact
One reason the cities run away from it other than they also being part time employees and not wanting, you know, you've got to focus on today is that they dropped the ball in terms of oversight as well
They just said, hey, you know, they're doing a federal program
It's probably just
Bang on and they literally did not inspect hundreds and hundreds of these construction jobs
And I'm happy to show you all the paperwork that proves that
The thing going forward is that you're going to have to provide this mitigation for more homes at some point
And the public needs to feel like, okay, the new system is going to be better than the old one
Right now you're doing 10, 20 a year
OK
That doesn't stress the system
But when you actually start to have to do many more of these, what assurance does the public have that your system won't fall down as it did before? And how will you ensure that the cities do their job of watching the watchmen? Thank you very much
I think, MR Polman, very quickly
I just want to reflect on all the good stuff we heard about the AIDS Fund
And, you know, originally I was really, I think John Creighton that championed the idea that in response to the air, the flight safety corridor work, we had to cut a lot of trees
And so we were really thinking initially about in restoring the environment
And what I was really delighted to see was how much of a community restoration effort had spent as well
The fact that all these folks are bringing together around noble causes like the environment
But the additional benefits, I think are fantastic
And also here, Andy's recognized him for being really part of that
And I had the pleasure of being at a briefing with he and Cuse effort
And the folks that she brought together were very excited and through multiple different ethnic backgrounds
And I found it to be really rewarding to see this fund being put to such a broad and community supported event
So thank you for sharing that with us
Great
Thank you
Michelle Carlson
And I would add, if we had all these amazing groups doing amazing work coming up and thanking us and next time just come up and say, you're welcome, we're doing great work in the community
And you guys helped a little bit
But truly, thank you for all the amazing work that you're doing
Exactly
And I'll make one come in
J.C., I just wanted to say that if you're listening ear, you have been heard on the noise mitigation and the staff has been directed to get a a full
Give us a full briefing on noise mitigation efforts around the airport
And we're expecting that within the next month
All right
With that, we're going to move on to the Union of Consent calendar
All items on the consent calendar are considered routine and will be adopted by one motion iteMS We don't have any items removed from the consent calendars
So with that, I will call for a motion to approve the consent calendar covering item six A through six E so moved right through second there spent second move moved in second in all those in favour please indicate by saying I I
All those opposed nay i's have it
Thank you
Now we're going to move on to two special orders of business, and then I'm going to turn the gavel over to my colleague, MR Feldman, and step out for a moment
Item seven is the Salmon Safe recertification presentation to merit the maritime division
Commissioners
The port maritime parks have been made salmon safe since 2008
We're Pleased report that the port has met the salmon safe requirements for parks and public access sites for the recent 2013 2018 certification cycle certification cycle
We are excited to begin the next five year certification cycle and have already identified new initiatives involving project design, landscape guidance, facility best practices in habitats and stormwater projects
Presenters are Jane Dowell and Ellen's SDR s Art Sonja
And you guys don't look like Sandy Calgary
But I see it's noted that you are speaking in her stead
Yeah, this is Jane Doe belongs to a money manager
So I'm I'm I'm here with Ellen
Thank you so much
Executive director in commission
Today, we were celebrating the court's accomplishment of continuing salmon safe certification for our maritime parks and public access areas
Some of the staff who supported the effort are also attending this meeting
If you wouldn't mind standing up
There's more than that
So it represents our maritime, environmental and planning staff
Our habitat staff who couldn't come because they're on a boat and on marine maintenance staff are all involved in making sure that we stay salmon safe certified for the maritime
Both the maritime and aviation divisions of the port have committed to and fulfilled two different salmon safe certifications
The port parks were the first in Washington state to be certified in 2008, and the SeaTac Airport was the first U.S
airport to achieve certification in 2016
Ellen Suthers, Salmon Safe Puget Sound manager and a friend of mine predating my my position at the port is going to tell you the significance of this accomplishment
Thank you all
It's great to be here and we're really excited to continue our work with the port salmon's safe, just so you know, as a market driven conservation program focused on the biological needs of salmon
We offer a science based third party peer reviewed system for land management
Our primary focus is on stormwater, but we also address water conservation, biodiversity, integrated pest management and the overall ecological functions of sites
We were founded by Pacific Rivers Foundation
The program started in 2003 to reward farmers and vineyard owners
And from there, we've grown to a suite of standards, including standards for infrastructure
And we also have professional accreditation prograMS Besides the work with Port of Seattle, we has also certified some notable sites, including the University of Washington campus, 14 projects with Vulcan, the Facebook campuses both in Seattle and now over in Redmond, the Expedia and Google campuses
And we are now working at the Microsoft campus as well
So the port is in very good company in terms of innovators and leaders in our region
I've had the good fortune of being involved with the Port of Seattle from the very beginning back in 2008 when Jane and I were working in the private sector
Our firm actually sponsor the Ports Education and training program with salmon safe
That was when the park system first decided to seek certification
There was a five year renewal assessment in 2013 and again this year on the first day of spring
One of my observations over the years is how dedicated the parks, the ports parks team is to organic landscaping and in fire
Environmentally friendly management of the land
They demonstrate a passion and commitment that I've not seen with many other organizations
And that's true
I've been to hundreds of organizations over the years to sites
And the port's team is really incredible in their stewardship
And I know that Scott Vesey isn't here, but Scott was at all three assessments from your landscape maintenance team and he's remarkable
So it's really gratifying and motivating to be at a site with them and to hear about their work ideas, their readiness to explore new methods of maintenance and technologies
The same can be said for habitat, stormwater and maintenance teaMS The use of oyster shells for stormwater treatment, testing, floating wetlands and the dual mesh habitat restoration projects that multiple river locations and the use of rain gardens splash boxes at elevated highway all point to the commitment and invention of these teaMS Of course, the parks work is not our only partnership with the port in 2016
As Jane mentioned, we certified SeaTac Airport, which was the first
Airport in the US to become salmon safe certified the airport team was just as impressive when it comes to their commitment to protecting Puget Sound and providing healthy habitat for salmon to thrive
Just a few of the things that the maritime team achieved or how they achieved this accomplishment of recertification by meeting the goals of the last cycle and committing to efforts over the next five years include ensuring that all new development and redevelopment projects meet the salmon safe design standards, updating habitat restoration and stormwater treatment opportunity analysis of sites complete at least one more habitat restoration project conduct water use trends analysis for irrigation at each park
Update the maritime maintenance landscape management guidelines to be consistent with salmon safe standards and coordinate with other landowners to evaluate restoration opportunities on Elliott Bay
So today I'm proud to join Jane and all of you to present you with your plaque for your renewed commitment to salmon friendly parks
I will mention each plaque is unique
It's made by an artist and it is actually made from recycled highway signs
So there is a transportation link to the plaque itself
I see that Stephanie had to step out and do it when we can all stand up together
Lobby group and or to prevent injury
Whereas Cedar Rapids is not a bone
Well, I think we'll be right back
Okay
All right
I know that picture of Courtney on the website
Oh, yeah
Courtney was very involved with the airport
It's lamps here
Give it to him
No, he's not
Let's just hold it a minute
I don't believe Lance is here today
The question for Ellen
Ellen, may I ask you a question in the meantime? Thanks so much
And it's great to see you
Great to see you
I'm curious about the term market driven conservation
Does that mean that there's an economic component that drives the efforts? What did you mean by that? Market driven? Well, market driven, meaning that Salmon Safe provides public awareness around the stewardship of its clients
But, yes, there's also a market awareness as well in terms of revenue generation
One of the good examples would be our work with golf courses
All of the assessments are done with a golf course expert, expert, designer
And so, for instance, with the golf courses, we do our best to keep all of the course in play without removing any areas that might generally incur revenue for the golf courses
So we do look at the triple bottom line on the certifications for five years
So from the standpoint of fiscal planning, we plan these changes with you
It's not an immediate requirement to meet all the conditions, but it's a hierarchy of conditions
That's based on a fiscal plan
Oh, good
That's a good explanation
I appreciate that
If I could ask one more question
I am also interested in it's remarkable that our airport has received this recognition for these efforts
I don't know if there are any others in the country that have cane field was just awarded its plaque last week and why we are not in the U.S., British Columbia
So given that, it could really set an example because airports obviously had a pretty big environmental footprint
This is an accomplishment of pure of ensuring cleaner water for as much as one billion bathtubs full per year, if I got that right
Correct
Of stormwater runoff at SeaTac Airport
That's an awful lot of water
And using bio filtration, other eco service approaches, which I'm sure are integrated into this makes all the sense in the world versus putting this in to a piped engineered system that we know our region is already overwhelmed by
Wonderful work there
And I'm really pleased
Thank you
Thank you, Peter
Yeah, I was
And we also have a treatment system, right? We are
We are at the storm water treatment facility on the airport, right? Correct
And we have to do that
Traditional capture for foam throwing all that
This is supplemental, which is phenomenal
And I think we're proud of
I was just thought of
I thought when regarding to Commissioner Steinberg's question about the market based, I would think that the golf course or other certified facilities would use this as a marketing thing as a instead of not impacting their business, it actually would be used to advance their business
Is that
Did you say that or am I misunderstand? Yes
Most most of the organizations we work with are promoting their salmon safe rating standard in a variety of ways
And I think probably one of the ways that is that sets us apart and that it's also most important to the people in this audience is we also certify farms and vineyards and so beyond working in a salmon safe place or becoming a salmon safe, accredited practice
You can actually bring that food home to your families and be part of the solution
So we have an entry point into the program for just about anybody
Thanks so much
Thank you
All right
So
Cut the net
We want to keep them here until Commissioner Roman gets back
Or can we just ask you to come back up so we can get the photo when not with the full quorum is here? So we'll move on to the next item on the agenda, which is the Airport Community Ecology Fund briefing
Commissioner, this briefing will update you on the response to what we heard so much about in the public comment period, which this was authorized by the commission in November 2016
It's designed to serve three near port communities which are impacted by the port's flight court or safety program or move into the presenters are which are Andy Gregory and Allie Yates, Lockhart, senior project manager for Green Cities for Terra
There we go
Thank you
Executive Director Metric and thank you, Port Commission, for having us here today
As you heard, I'm Andy Gregory
I'm the program manager for environmental engagement here at the airport
And with me today is Ali Yates Lockhart, who's the senior project manager for the Green Cities Program for Tara
And I guess I'd just like to start off by thanking all of our grant recipients that are here today for coming in and providing that public testimony
It's really as much as we're going to be up here and trying to paint a picture of what we've done here
It's really hearing from you guys
There's there's no other way to hear about the impact that these grants are having
So
So the East Fund was created by the commission in 2016 to support projects and programs that improve ecological and environmental attributes in nearby airport communities
In developing the program, the fund was bifurcated into a small matching grants program and a contract with Fortier to create Green City partnerships with in SeaTac and Des Moines
The small matching grants program operates on a semi annual funding cycle and supports community groups to make improvements to parks and public lands for terrorist green city partnerships
Provide long term urban forest management plans to each of the three cities and support on the ground activities, including invasive species removal and volunteer tree plantings
Additionally, the fund supports the replanting of historic Ellen trees along the Moyne Memorial Drive
And so I'd like to introduce Ali and she's going to talk a little bit more about four terrorist Green City Partnerships program
Good afternoon, Commissioner
Thanks for having me here
For Tara is a non-profit that is a sustainability organization
One of our our programs is the Green City Partnerships
It is a regional initiative with 15 entities currently participating
We have 14 cities, a Green county, Snohomish County
We serve almost two million residents in our region
And and we're a partnership of nonprofits like some of the grant recipients
You've heard from cities ourselves for Tara
And now, of course, support in funding these projects is joining three partnerships
And this network meets quarterly for information and for presentations
And we are stewarding over 13000 acres of land together and use me all green cities start with a partner partnership process
And so that is true in the three cities
The variance you talking to Moines? So for Tara, we have already completed collecting the baseline data, including collecting feedback from over 300 community members in four languages and completing a land cover and land use analysis for each city, as well as a force at Parkland Health Assessment
Our plans are nearing completion and are in the design and graphics phase
We just submitted a plan to the city of Syrian City Council last night for their input and policy directives and the implementation phase is also underway
So I'll share with you some of those exciting outcomes
And we continue to monitor in depth and adapt these
This partnership and these these plans kind of as as we work with these cities
And I'm going to draw your attention to these three maps, land cover analysis were completed for all three of our cities and from these kind of we can pull out information about canopy cover that's that brilliant green color as well as impervious surfaces and more
And these maps were created to highlight where canopy exists in cities or and also where it's concentrated
And through this process, we found that 30 percent of the ground, the land is covered with trees
Tree canopy, Nigerian Des Moines has a canopy cover of 29 percent and SeaTac has a canopy cover of 25 percent
And the plans we analyze this data and this can be cover for each city
And we created graphics and maps that reflected this
Each of these plans end up being about one hundred and twenty pages of information, implementation strategies and just baseline data about where a city's urban forest is and how healthy it is
So for the purposes of this presentation, I just wanted to highlight one city
So we're looking today at variance information
So as you heard, there is a canopy cover of 30 percent and Buren
It's a very strong number
It reflects Seattle's goal, for example
That's their goal for canopy cover
And it really taught speaks about the awareness and benefits of canopy cover that already existed and vision from the city and the residents who live there
But, you know, this number wasn't known before the port's funding
This wasn't known by the cities
It wasn't data that the cities had
And so the other thing that we were able to do is really dive in and kind of extract
Okay
All right
We've got a 30 percent canopy cover
Can we improve that number? And so the first thing we wanted to look at are where are the trees in Varian? Where is, you know
Where do we retain? Can be cover
Where can we increase canopy cover? And so the graph that you're looking at, if you look at the left hand side, the bar says tree canopy, that is, you know, current tree canopy and Varian
And it looks like in those two with the colors you're seeing are tan and green and those are residential areas and parks
So we knew that if we want to retain variance 30 percent canopy, we need to focus programs on retaining canopy and parks and residential areas
But then when you're looking at increasing canopy cover, which the city actually spoke up last night, they're interested in increasing their canopy cover
We want to look at residential areas because they have the majority of shrub land, grassland and bare soil
So now we know that that projects should focus on those areas and that we should retain trees and parks and on residential areas and we should look to increase canopy cover in residential areas
And also, I should say, institutional areas, which means schools, hospitals, community spaces like that
The other thing that the port asked us to do and the environmental engagement team asked us to do was look at canopy in relation to equity
So we have lots of cool maps
These are just two of them
But this is can we cover in relation to public housing and canopy cover in relation to schools
And the map on the right shows that seven of Syrian schools have a canopy cover of 10 to 20 percent across the city
Can it be cover for schools within a quarter mile as only twenty two point five percent? So it's less than the average of the city
So we know that that that should be one of their implementation strategies is to increase can't be cover in and around schools
And thanks to the ports funding, we actually have already received a grant of three hundred thousand dollars from the U.S
Forest Service to do this work with Highline School District
And just want to acknowledge that obviously there are other organizations, we Warriors and Environmental Science Center who are also doing this work
So hopefully we can clearly create a collaborative collective effort to do that
The other thing we looked at and this is kind of the core of our program is forested park land, right, because we know that we want to retain canopy in the city
So the question is this the trees that do exist, especially on public land, or we can make an impact because, you know, these cities own this land
What is the health of those of those acres? And so collectively, these cities have seven hundred and thirty eight acres of forest at parkland in period
There are three hundred and twenty six acres
Again, I'm going back to that city
But we did the same analysis for all the cities and the Matrix shown shows you that
So the up down the y axis shows you that there is we rated low canopy to high canopy cover within a park
We also on the right hand side or the x axis, you know, left, right
We low rated, low invasive weed covered, high invasive weed cover
Basically that dark, beautiful green
That's the best, most healthy forest
And Varian has 24 acres of forest that are like that
And these are part of current restoration efforts
And they're in some of those beautiful iconic parks like Salmon Creek Ravine and see her spark
They also have nine acres sorry, four point nine acres that are slipping into the potentiality of of no longer being forest
Within 20 years, these places could no longer exist as forest because of invasive pressures
We already see low Kennedy cover
And so those are places to really dig in and get involved
And that's what this data hopes to do, is help the cities to make implementation strategies that make sense, that work
And it's kind of neat to say, but a lot of the
The restoration that's happened is in those dark green areas
So it's showing that it is possible to turn these areas around and continue to maintain tree canopy in our cities
So our implementation has been shaped by these findings, by the community feedback that we received from you
Like you said, over well over 300 people
And so, too, really to implement these programs, we have a two prong approach
We are going to do increasing canopy on private land
So this funding allows us to do tree distribution events in each city to have community tree walks and tree plantings, to also maintain canopy cover restoration prograMS We have a forest steward program and we are also, of course, hosting Green Cities Green City Days, which we love to have you all attend
And kind of to wrap it up
I wanted to share a story about a park and really about a person killing was a mom and a neighbor who was scared to bring her kids to this kiddie city park in Des Moines
There closest park
It had been marked closed on Google, had a little playground that was still being maintained
But the natural area, the staff just literally didn't have the resources to do this work
They she heard about the port funding and she called us at Port Arthur and she called the city of Des Moines and she said, all right, I'm ready
Let's turn this park around
And so far, we've had four work parties
We posted an over 100 volunteers in this space
We've removed seven truckloads of garbage and 700 pounds of invasive plants
And we are soon to plant many, many
We probably have at least 200 plants that we're gonna be planting, including trees back into this park
And we have it marked open on Google
People are using it
We have a church group involved
And this is all thanks to the E! Funding
So thank you
Can I ask really quickly, what are the invasive species and what would prevent you when you replant the natives? What prevents the invasive from coming back? That's a great question
So we do know
That's right
To govern restoration ecologist So there is like science
Thought about this
First of all, I think that it takes committed effort
I mean, these these plans, these partnerships are intended to be 20 years
Obviously, the funding is not for that
This is the seed funding
Right
But the city is taking on an initiative at 20 years
So first off, it does take long term investment
But I know you know, Grace's work with this
We'd worriers know
I think the commitment there is is continuous removal, but also mulching can do a lot
I know it sounds kind of wild, like really just mulch, but doing mulching can can do a lot
There are times in a in an area with like that really goes the nines, those really tough areas
We might actually employ a skilled field crew that might use herbicides or other measures to really make sure that weeds do not come back
It kind of depends on what you're fighting in the area
Surprisingly, BlackBerry, which is one that we all maybe I assume a lot of us know about, it doesn't likes shade
So one of the things that's planting trees, especially conifers that year around shade, that's kind of a turning point
It can really flip that ecosystem back to a place that doesn't harbor invasive
So it kind of depends on, you know, on the weed that you're talking about
But some of these strategies are are really simple and they can be employed by volunteers and they don't have to take you know, this is management cost from the city
Isn't Ivy one of your big nemesis as well? Absolutely, because they they climb the trees and then also we actually kill the tree and that's why it's fun to yank on it
Absolutely
Yes
Yeah
English Ivy is the bane of my existence
Yes
It also harbors rats in other things
So it's just you know, it's just kind of gross
GROSS reality
Absolutely
I'm really grateful for the work that presented here, the work under this grant funding process
And it just it shows the real benefit and multiple benefits, community volunteerism, ecological restoration, aesthetics as well
And I've done some work with Green Turtle Partnership volunteering in the past to remove those invasive species
Blackberries
I love Blackberries for a short time
Yeah, the year
But I can tell you Blackberries and Ivy English Ivy are it's a lot of hard work to get those out and get them out in a thorough way with the root structures and all
And I learned some skills during that
So maybe I'll have to jump back
Yeah, absolutely
Volunteer
There are ways, effective ways to get root them out
But it is very hard work
Yeah, I seem to recall Tom Robbins first book referred to blackbirds as like the northwest top predator
Something something of that sort
It was
But, you know, just to get to the planning exercise, you know that expression, you don't know what you got till it's gone
Well, now we know what we got
So I think that's great
And targeting the restoration is a phenomenal guidance to that
And one of the things that because you've done all these other communities as well
The connectivity between these and migratory corridors and things like that, to have, you know, the fact that, you know, the schools and underrepresented areas
I mean, that's like immediately good things
I'm just wondering, because you have this broader context
Are you looking at
You know, a lineal protections? Yeah, I think it's an interesting idea
I mean, one thing we're just think I really mean, this time we
Because of the funding for the first time for Terra has taken on look in looking at a scope that's much larger
We're looking at urban canopy
We have never done that work before
I was just telling Andy, because of Syrian city council and Syrian staff being interested as well, and hopefully they'll be leaders for others in the cities getting all this information
I was talking to him last night about policy
So I think our next steps are also like, how do we help cities with tree ordinances? How do we help cities kind of find those best management practices and apply them hopefully regionally? Like I said, we have that Green Cities network
We had, I think, 11 cities represented represented at our last meeting and so on those kind of workshop problems like this
So looking at, you know, how we make those connections and how we create regional change, but then also how does this model apply to other cities throughout the nation? I think that's a really great question
And so we know that there are many fantastic urban forestry stewardship programs throughout the nation
I will say
But then, you know, this committee minutes, it's similar to that salmon
Say if you're sitting there making a commitment
Right, that they are going to put this initiative, you know, into their planning for 20 years
That's kind of the long amount of time
So I agree with you
I think there's some some real cultural and structural changes that we could see as this network grows
That's great
And I just wanted to remind my colleagues that the commission supported a very small budget authorization last year
And there's another one this year to expand the work that is represented here for the entire port properties, not just at SeaTac
And this
This is important groundwork that will be
We can build upon
We have various parks and other areas of public and port operated areas that include untold numbers of trees, mature, maybe some significant, maybe some heritage trees
But the effort is to to map our tree canopy for our entire port footprint, if you will
And then to work to develop stronger port tree preservation and practice management policies and practices
So so that we recognize and the value of art, our trees and our tree cover its ecological value, its aesthetic value and its value in terms of climate protection
What's with the idea that we can strengthen our commitment there and be a leader in this area of of tree preservation and stewardship and management of what we have and maybe even begin to to look at the offsetting value and expand on the carbon offsets that are available for pretty little
You know, when you think about it, to plant a tree as a carbon offset is is an easy thing that everybody can participate in
So, again, thanks
Just one more thing
So you mentioned there was a three hundred thousand dollar grant you got from Foreign Service
Yes
OK
So I'd just like to hear a moment about that
But to so the I've been just concerned previously about
You heard from the other speakers about the three to one match
Sounds like right there you've it hit the ball out of the park
But the
To great start there
So I'm just waiting with the for terror portion of the screen
Also subject to the to the match
Were you having to do this? You weren't
It wasn't indeed
You wanna speak about that? Yeah
So the four term contract was a was a competitive contract or was up? Yeah, it was
It was a public contract
So we were not required to meet the three to one match that says that said we've already raised
So because of the funding three or fifty thousand dollars have
And so there was another fifty thousand dollar grant that we're working on
I I want it
I want to announce it for the city
But I'm working with the city to it looks sounds like we've gotten approval
So for a project based restoration
So I think that, you know, we see the value of this as an investment and we're seeing cities like return as the I can answer that a little bit more about the Highland School District Department, Department of Natural Resources for Tara and others are participating on a grant that was awarded by the U.S
Forest Service
And it's to create it's kind of to formalize the curriculum
There is some curriculum in Highland School District, but to really work on enhancing canopy on school grounds and then also encouraging restoration and adoption of local parks that are walkable
So there isn't a need for field trips and that kind of thing
Buses and stuff like that from school sites
And so that's kind of and we just got we just got it
That's all I really can tell you about it
But it's really exciting because I just really feel like, you know, this this is a huge match for it and a huge source of funding
Just having this information, this data and some of the equity data that we pulled was the reason why this grant was so successful
So
Well, I guess hoping the accounting for this, we're not just talking about amount of tree cover, the fact that it's leveraging this other money
No, there's all this goodwill
I think that's really an important accomplishment
Thank you so much for all that work
Ok
Well, thank you, Ali
So I'd like to talk just briefly here about the small matching grants program
Obviously, we've heard some great stories from grant recipients
I want to just kind of overview where we are and where we're going with this program
So since the fall of 2017, two hundred forty thousand dollars has been distributed to 20 organizations for 28 unique projects under our small matching grants program
But the inclusion of the required three to one match
This represents a total community value to date of nine hundred and sixty thousand dollars
So
And some some organizations hit that 3 to 1 match out of the park beyond the requirement
So that number is probably over a million dollars
So earlier this month, we received seven eligible applications for this fall's cycle, which should bring the total funding commitments to about three hundred thousand dollars by year's end
Currently, the fund is being expended at a rate of about one hundred thousand dollars a year
And at this rate, we should expect two and a half more years until the five hundred and fifty thousand dollars is fully committed
So a couple quick graphs here to represent this
The the distribution of awards across the three cities has been fairly even
We see seven and beer in eight in Des Moines, seven in SeaTac and sixth in two or more cities
And then you can see that the percentage of the funding was also fairly evenly distributed, about a quarter for each city and about a quarter for all cities together
And I just wanted to emphasize that the port has really made an effort to advertise the program across all the three cities and that each funding cycle we do drop in information sessions in each city
So I'm going to kind of breeze over this part because a lot of these projects you guys have heard about already through public comment, but on the left there you have a picture of the Highline Botanical Garden
The ports funded two projects
They are already on the right
Are some members of partner in employment doing one of their street cleanup events? On the left, you've got the Bureau in Environmental Science Center, Beach Heroes Project and then Weed War, Weed Warriors doing treat tree and plant distribution event for the Make Bureau, an awesome project
And then on the left there is the key tech labs did a project called Farm Bot and this combines STEM education with healthy food awareness and a bunch of youth created a robot that could attend a community garden that was a really cool project
And then on the right we've got the Friends of Saltwater State Park who have done two projects with our so far to do a combination of invasive species removal, as well as working with Washington scuba license and divers to do near shore marine ecology surveys
So I want to spend a couple minutes talking about some of the challenges
And you've heard, I think, comments about the three to one match from a lot of folks
But while the program has been a success by many measures, staff has identified three challenges to distributing the funding within the three year time period anticipated at the program's inception
First, the Washington state statute requiring organizations to demonstrate a three dollar match for every dollar of pork funds
This favors larger organizations with bigger budgets and is present prevented many small community organizations from participating
We've also heard anecdotally through our grant reporting that folks are asking for less money because they're concerned that they won't be able to meet that match
So maybe they've got a project that has ten thousand dollars worth of need, but they're only asking for three or four thousand dollars
Second, the application process can be burdensome for these small organizations
And while staff have worked to streamline the process, cultural language and bureaucratic barriers still exist
Third, the traditional ecological messaging of the grant promotional materials excludes many groups which experience the environment differently
This includes immigrant and refugee communities looking to define a sense of place for their communities in their new home
So few recommended solutions from staff moving forward
First, we have it on the state legislative agenda this year to work on removing or reducing this 3 to 1 match requirement
So we're beginning to do the legwork on that
Next, we're going to work with the Office of Equity, Diversity and Inclusion to conduct an equity assessment and evaluation of the program and work to redevelop the application process in collaboration with community members
And then finally, we would like to really utilize the results of that equity evaluation to co create culturally relevant messaging to better connect with diverse communities in their ideas of welcoming and sense of place
And so in closing, I just want to emphasize what a positive impact that this small matching grants and Green City Partnerships program have had for the near poor communities
You've heard from several folks here today
But on behalf of several folks who were unable to come in today to disperse and participate, as well as staff working on this project, I just want to thank you all for your continued support
Great
Thank you
Just a quick question on the recommended solutions
Are we doing
Is there any consideration for communities that are impacted by the airport but might not be near airport communities? Sure, that's a that's a good question
So the this program has been set up to serve beer in SeaTac in Des Moines
Right
You know, I think that in the development of the we've heard
Amanda was here from the city of Normandy Park today talking about her interest in seeing the program expanded
We also, I think, have an opportunity through the South King County Fund to leverage a similar statute that we have here to develop environmental programs in more broadly
And so I think that we're looking at that on the staff level for recommendations beyond this funding limit to see how we could extend this this further
And I'm sure, you know, the reason I'm bringing this up is that yet again, Beacon Hill is not included in either the South King County Fund or the East Fund
And so there's communities in Vachon Island wouldn't be either
And so I'd love to see a staff recommendation that takes into consideration communities that are impacted by airport so that we can think about a little bit more holistically
Ok
Thank you
Thank you, MR President
I don't know
We finalize the jurisdiction for the South King County Fund yet
Right
So don't count yourself out yet
Or she lives there
But I just I really appreciate them
The only other thing was we have a sort of a separate allocation for the Moyne Memorial Drive
Right
Wasn't there? So that demo and Memorial Drive funding is specifically called out in the for terror contract and so for terror
It's been working really closely with roads, Clark and her her group to identify some opportunities to get some elm trees replanted
Ali, do you want to talk briefly about that portion? Yeah
So
Thank you
We've been working with the Preservation Association really closely and have developed, which, you know, they are really excited about a map for them so that if you were a homeowner along the drive, you can actually look and see if your property has plentiful area
We also have the same thing for businesses, for entities like the port
You can look up your parcels and see if you have you know, if there are impervious surfaces there, if there are if there is space for a tree
So I've done some calculations and analysis and we've also been working with them on some programming and some, you know, getting trees in the ground initiatives, including just outreach and education around the drive
And and heard a lot from cities as well that, you know, what they would like to have is a bunch of residents really excited about this incredible memorial and kind of reminded of that
So we worked with the Nature Conservancy, have done we haven't they haven't published yet
We've done some outreach pieces with them that they're going to publish about the drive and just how significant it is to have this living memorial that there is a know Treme related memorial and talking county
So hopefully that will as well encourage this kind of grass roots support for the initiative and encourage cities to try to implement projects as well
So kind of a combo effort kind of moving up the ladder and down the ladder
So my understanding is for multiple wars
And then I was wondering, is it just for it's just for World War One
I mean, that is that is the intention of the preservation association
Well, it was one one tree planted every 80 feet for the fourteen hundred Washington state residents that died in World War 1
Yes
Thank you
I stand corrected
I was also just thinking there was some
Poetic justice with I thought there is like a veteran corps that that does dirt work and they just seem to be particularly appropriate if they were engaged in this
Absolutely
Ok
Thank you very much
I understand we were going to do a photo op that I missed
I appeal
I apologize
So let's do that quickly and then move on
We've got a lot on the agenda still today
Interesting
I'm certain about this
Why does
Yes
Yeah
All right, as
Give a man a fish
All right
We're going to move on to action item, so it looks like the first one is item A? Amy Yes
Item A is authorization for the executive director to advertise and execute a major works construction contract for installation of advanced visual docking guidance systems for gates on current concourses B, C, D and the S satellite at the Seattle Tacoma International Airport
This authorization request is for twenty four million six hundred and fifty four thousand dollars
Commissioners, this project enables digital docking of aircraft at the gate, which proves safety and helps planes get in and out of gates faster and reduces taxiway congestion
Presenters are Robert could kill us and Chris Coulter
There you go
OK
I thought Dan would be on
Thank you
MR Metruck
MR Metruck
And good afternoon, commissioners
I am Rob to kill us air fro airfield operations manager
And next to me is Chris Colter Airfield program lead for the project management group
SeaTac is now the eighth fastest growing airport by aircraft operations in the world
We also number 23 in the world for total aircraft operations and number 28 in the world for passenger throughput
As you're aware, SeaTac was not built for these levels of operations
So anything we can do to eke out a little bit more efficiency is money well spent
This project provides that efficiency and by design, this project also provides enhanced safety benefits and additional operational data
So safe talk is essentially an aircraft safety and guidance system
But just as a reminder before we go into this project's benefits is that the Northstar Project is installing safe dock on the North satellite and the International Arrivals Facility Project
The IAF is installing safe dock on the concourse a gates
This project completes installing safe dock at the remainder of the terminal gates on concourse B, C, D and S satellite
Solving for unmet flights is their primary efficiency benefit of the system
An unmet flight is when an aircraft taxis to a gate and the gate is available, but aircraft cannot enter the gate area because the ground staff are not there to meet the aircraft and guide it into the gate
That airplane then blocks a taxi lane, which has a domino effect of aircraft operational impacts down the road
Safe Doc will also provide gay utilization information that we don't know we haven't had before
We will have actual gay in and gay out times as well as jet bridge usage information
Now, you may recall that the commission recently authorized a safety area management system project
The safe dock data will feed into the sea surface area management system, providing a more complete holistic look at airfield operations
This data will be actual data, for instance, where we have three games in a row
We can look at the aircraft, turn times on those three gates and where you have to the gates might have a say, a 45 minute turn time and one has a 60 minutes or time
We can focus on that one gate to try to reduce the turn time, an increased gate efficiency
And again, efficiency is so extremely important as we continue to grow at SeaTac
The CFD docks system has a laser scanner that will scan the ramp prior to enduring aircraft docking to ensure that there isn't any equipment parked in the wrong location
There are unfortunately too many examples of aircraft pulling into the gate area and striking striking equipment that is parked within the aircraft safety antelope
For example, just earlier this month, a Boeing 737 was pulling into the gate and struck a fuel truck that was parked in the wrong location
Other examples include a 737 striking a fuel cart and a 747 striking a catering truck
I'd like to point out that no one was hurt in these incidents, nor were there any fuel spills
We can see how it could have been substantially worse
The safe dock system isn't unique to SeaTac
The commission memo provides an update on additional SeaTac initiatives are taking place in North America
Since your last commission presentation
But it doesn't include the hundreds of existing units at Dallas, Miami, San Francisco, Chicago and Atlanta
So this is what a safe dock system looks like
The image on the left is a unit hanging outside the north satellite and one of the gates there
The image on the right hand image of the center screen there is the ground display that that ramp information display that shows to the ground operators the information they need for turning the aircraft quickly
So you have the flight number, the aircraft I.D
number, the destination airport, in this case, Philadelphia
The current time and a countdown clock to push back this way
The ground crew knows
Twenty nine minutes left
We need to get hopping to get this plane off on time
Above the display is the laser scanner and the video camera from for monitoring
Ramp operations
In summary, the scope is to install safe dock units and all go all gates on concourse B, C, D S satellite as well as connecting them to the central database
We're looking for an end state second quarter 2021
With a total budget of 28 million two hundred eighteen thousand two hundred and fifty dollars
And this at work is a video that shows
The system in use is an older unit, older style unit, but it still gives you an idea of how the system works as it's looking for 7, 6, 7, 200, which is what this aircraft is
If a different aircraft type started coming in, it would halt the gate
The docking procedure right there
But a guy aircraft in
And then once it captures the aircraft, starts doing a countdown on how many feet are left before they need to stop to get the chemical bar at the bottom
Tells the pilot to move to the right or left with the arrows
And then the bar gets shorter and the bottom as the aircraft is getting closer to the end
Then it starts counting down with the actual feet remaining before has to stop
Was pretty, pretty foolproof really from a pilot's perspective
I need this for my garage
Well, wouldn't it be great for a tennis ball? And that's it
We're happy to entertain any questions
Commissioner Collins, you know the question
No, I just think the question in terms of airline support
So it looks like there is strong airline support for this
Oh, yeah
Delta came to us coincidentally at the same time, a handful of international carriers came to us all saying, hey, we want this is great
And then were there any it wasn't clear from the memo any increases in the from the original estimates in terms of construction
There's been a no increase since the original scope was defined
Originally, there was only going to be three units and then it became 78
So after the airlines came out, we wanted everywhere
So I think after this, the safe back everywhere, the verdict came out
There was there was there's been no cost increase to
Since then
Great
Questions
All right
So then looking for a motion for approval of item eight, a move
Excellent
And it's been moving seconded to all those in favour, please indicate by saying I
I always oppose any
I have it
Thank you
And is your voice to clarify the funds that this comes from, though? As always, I just keep on forgetting those revenue lines
But did he say that? I mean in the memo? I did
I did not say where the funds were coming from
But if you believe it is in the memo
Just I just thought for the public when we do that, especially for airport related expenditures, you asked if the airlines are on board
Reason why that's relevant, because I believe this one is coming from revenue bonds as revenue bonds
At least that's what the memo is
And I will add to your question, is there any Steve or Dan, I thought I saw Dan here is anybody that wants to speak to why it's revenue bonds in particular? The airlines wanted it and we went from three to 78
That is an impressive
Thank you, Commissioner
I don't have the memo in front of me, it sounds like it is identified as revenue bonds
As you know, that's a major funding source for the airport
We just actually issued revenue bonds this summer
So probably a combination of existing bond proceeds and I suspect it will be finished before the next bond issue
But it's a typical funding source
Sure
Yeah
And knows the source of those revenues
It's not just a general tax base
Absolutely
Past airport is
It's a diamond hawk
And the fees
Yeah
And that is the something that I think there is a lot of misunderstanding about that these airport costs are not comforting, supported through any property taxes or other that is asked outside of everybody around the airport
Right
Airport revenue
All right
Sounds good
Thank you for that clarification
All right
Item B, item AP is authorization for the executive director to execute a management services contract for up to 10 years, a five year contract based with options to extend for an additional five years to operate the ports
Common use premium lounges at Seattle Tacoma International Airport
The estimated contract cost to the port is 60 million dollars over the 10 year contract term, which includes the management fee, incentive management fee and operating expenses
Commissioners, this contract is for the management of the two common use lounges, which are primarily used primarily by international travelers
The service is very popular with our international airlines and travelers
Presenters are James Jennings in Denise Stratum
Here we go
Good afternoon
Executive Director Metric
President Bowman and Commissioners
My name is James Jennings
I am the interim director in the new department established by Lance Little, the Aviation Properties, Airline Affairs and Air Service Development Team
So excited to be here
With me today is Denise Brogdon
She's one of our senior property managers and she happens to manage our two club at SCA premium lounges at SeaTac
So as indicated, we have two common use lounges at SeaTac, one on Concourse A and one actually at the South
Satellite is a little graphic there that represent their geographical location
In essence, the company's lounges are really important to our international flag carriers
As you can imagine, not every international airline can have their own exclusive lounges
We currently have 17 carriers using our two shared lounges, so space just does not facilitate that
A premium lounge is really important to the success of an international carrier specifically to help attract to maintain the highest yield first and business class passenger
And then having the two lounges at SeaTac also is very critical, a critical tool and asset for Air Service Development team to continue their success in attracting additional air service to SeaTac Airport
And more emergent trend actually has been our ability to attract the domestic traveler
So we're really in this business to serve our international traveler
But in the long international peak time, we've been opening up the lounges to the domestic travelers and have seen some some great success
In fact, we've had some sizable revenue increases to the tune of four point two million dollars of net operating income in 2018, which is really quite phenomenal
Based on the history that this revenue source a number of years ago didn't even exist
So the port, one of the ways that we've really maximized this new revenue source is we've taken an innovative approach to the management structure, which is really relevant to why we're here today
Specifically, we're if not the only one of the few airports nationwide that have basically taken a hands on approach
And we've hired a management contractor essentially to run our companies lounges for us
Typically, an airport would just do a concession type of agreement with a developer who would invest in run the shared lounge
And so we've taken more of a hands on approach for various reasons to have some control and it's really paid off for us financially
One thing to note, although this new revenue stream is sizable, we've not yet had the need to make significant capital investments to to net this new revenue source
So that will be forthcoming where essentially have built this business on the leftovers from previous airline lounges
So there will be a need in the future to invest, to maintain and expand this
This new revenue source
But it's definitely been a great success
And we're preparing for both the IMF changes forthcoming and new service that we hope to be coming in the future
MR Felmy, I just hope we're not in competition with the Alaska and Delta Lounges
We're working within the world of public assets, right? Good
Good question
Absolutely
No doubt that the carriers have their own airline lounges and successful prograMS They, too, are busting at the seaMS So essentially, again, our our primary purpose is to serve the international flag carriers
And in really the domestic piece is really, really we've accommodated some of the passengers that the Alaska is and deltas of the world that no longer are able to access their lounges through kind of third party credit card services like Priority Pass and other prograMS So we've essentially taken those folks in who have been kind of not had the availability and access to those lounges over the last number of years
So that Denise is going to talk a little bit more about the specific contract
I just had a question about a demand for these premium while lounge opportunities SeaTac
And given that the two locations are far south, how is the rest of the airport and the other terminals and concourse that serve? Good
Great question
So, again, the the two lounges that we have today are really in place to serve our international flight carriers
And so that's why our satellite has historically been the staple
We added concourse a a number of years ago and we're working towards preparing for some future plans with the conversion of IAF to more international gates
So the domestic growth, we currently don't have a shared lounge on the north end
And again, depending on the airline, some of those carriers do on occasion, depending on their demand and capacity to open their lounges up to kind of walk up passengers or those credit card companies
There may be opportunities in the future as we expand and build additional space that we could possibly have an additional land
But that's not anything that we're prepared to talk about today
Okay
You're always looking for them, right? You're looking for spaces that could be used
Absolutely
It's it's part of our long term strategy
The reality is, as you can imagine, we don't have a lot of available space today
And so but we are in in our expansion plans that will be forthcoming
We'll be talking about some of those potential opportunities in the future
And just a quick question in terms of future capital investments
What do you anticipate and where is that included? Would it be, Steve, in the five years, the IP or what's the timeframe and scope? Yeah
So we actually have a project right now, scope to expand the existing club at SCA on Concourse A
There's a fourteen hundred square foot undeveloped portion that's just adjacent that we hope to convert into lounge space, expanding that footprint to a little over 6000 square feet
So that's kind of our short term plan
We have some longer term investments that really we're not in a position to talk about today, but that's kind of the again, in preparation for IVF and those additional gates on Concourse A, that's something that at least is in the shorter term five year capital plan
So there's nothing in the five years CIPA right now besides that
Fourteen hundred square foot expansion
Correct
All right, Denise, you want to talk about the contract a little bit? I just want to reiterate it and underscore what James just mentioned in terms of demand from these third party membership prograMS So the Nash internationals are in our lounge is typically between 10 a.m
and 1 p.m
and our lounge is currently are open from 5:00 a.m
till midnight and they are full
This is a national phenomenon
The traveling public wants lounge space
United Airlines plans to open for new united clubs this year and begin construction on two more
Alaska opened, as you know, the third lounge on the north satellite, and they're spending 50 million over the next few years to refresh and expand their lounges, including new ones in New York and San Francisco
And Delta Air Lines in our airport just recently closed its spa business in order to provide more seating for their traveling public
Their traveling members
And they're also planning five new lounges and expanding 18 others this year and next
So the demand is there
We're surprised by it
And it's now directing some of our focus and future planning for additional lounge space at SeaTac
So descriptive here
Here's a snapshot of just the year 2015 through 2018
You can see the numbers of passengers that have used our lounges is pretty significant
Of the five hundred and seven D six thousand five hundred two, three hundred and forty four thousand two twenty nine were from these third party membership prograMS The NY that we've achieved through this period of time has been pretty significant and has enabled us to fund other initiatives in the airport that the public is looking to see
And also, just as a way to underscore our future, look to lounge demand, in August this year there were forty two thousand seven hundred ninety two guests visits versus our forecasted thirty five thousand eight hundred sixty five
They Gates Lounge hosted twenty seven thousand guests and in one day on August 30th, they hosted fourteen hundred
Yes
And the Escapes Lounge in August hosted fifteen thousand guests
And the other a stack thing is in Q1 19
We turned away
There were 74000 lounge visits and we turned away three hundred and seven people in the second quarter
We had over 2000 turnout ways
So just important to clarify
So some of those turn ways were because we were protecting those seats for those international flag carriers again, which is why we're in the business
But some of those turned ways were just allows us to fall
So the point there is the demand is actually greater than the facilities we have available today
And so we are working on some longer term strategies to help potentially meet some of that demand in the future
Can you tell me more about the third party sales programs and beyond? Sure
And do we see? I mean, it really accounts for the vast majority of the growth over the last five years
It does
That probe
Those programs include programs like Priority Pass, Diner's Club
There are a lot of credit card benefits now that are being extended to these lounges in airports
So collectively, they make up this third party program
What is our revenue look like from how do we get paid on those? So we get paid
Well, we get paid are our international airlines
Pay us three hundred dollars per flight and they or the or 30 dollars per passenger, whichever is greater
So that's the the primary international source
Other than that, we get thirty two dollars per passenger for the third party memberships
And
Yeah
Every time somebody comes in and shows us the Diners Club thing that allows them access
We build Diners Club 32
Yes
Okay
So if
I'm just thinking about it as we consider this
Are there? Additional partnerships that we forego because we're thinking through other options for revenue growth
We invest heavily
Returning way opportunities for other partnerships because we're at max capacity at this point
Oh, today
Well, so
So right now, again, the management company that we use
They basically have some existing contracts with you know, they work on our marketing plan and targeting those credit card companies
And then they're essentially pretty broad nationwide, you know, programs and more come, you know, as we go right now
We're not we don't have an exclusivity to any particular credit card or affiliation
Right now, it's fairly open
But no doubt our capacity constraints limit our ability to capitalize on the revenue
I think the reality is the demand for increased air traffic in the the gate lobbies and in crowded airports really is just driving
You know, the normal passenger who historically may not have had access to a premium lounge through their airline to say, hey, you know, I want to get away and I want to have a quiet seat now
I want to get, you know, some business done or, you know, get a beverage or some some some quick food
And so the really that it's just a growing market, I think, nationwide that we're just well positioned to capitalize on today and then into the future
I'm just a quick question and he's helped me out here and tell me there's another way that I should be doing my math
If we are if I'm subtracting or dividing, I should say the A.I
by the number of passengers to kind of get to a how much are we getting per passenger? Would that be a good way to do some seeing that it looks like in 2015 we are getting about sixteen dollars and 66 cents per passenger
Fast forward to 2018
That's down to fourteen dollars and 73 cents
Is that
I have not done that gas prices per passenger basis
But there's a couple of pieces there, right? Yes
At what cost of service? Both labor and then food and beverage
You know, as we try and improve the level of service, because, again, passenger expectations have increased, we've been trying to increase in meet some of those passenger expectations
So that has eroded some of our our A.I
And then again, as we have looked to try and reach out to some of those other walk up or credit card affiliations, they're not necessarily paying the premium
You know that we would, you know, if somebody just walked in off the street without an affiliation
So there has been some negotiation
All right
And the reason I ask is just that there's no expense listed on this chart
So that's why it's not
I see
That was it
But I would hope that we would that number would continue go up rather than down
Yeah
Rep for NY
Yeah
That information is contained in the commission memo
Yeah
But just this
I just want to call it that again
There's just no expense
So it just Commission Coppins I think you a question yet
Give us just a quick understanding of what the base management fee and the incentive management fee and how those are triggered
So at the initiation of our last contract, the prevailing proposals are proposed, a monthly base management fee
It was fifteen thousand eight hundred fifty dollars per month and then they receive a percentage of gross sales based on their performance as an incentive management fee
And those two combined are our represent our operating expense in addition to the labor, food and beverage
So the operating expense is our expense and they just layer on
And what happened between 18 and 19 to 4 that we've gone from one 86 per year then to seven 17
I guess this is 18 to 19
So what changed in the base management fee or is that just about from is that in total to 19? Oh, God, it's okay
Yeah
So in the upcoming one
Are we sticking with that same monthly fee? Well, you know, we are
We're going to solicit proposals
And, you know, frankly, five years ago, this business wasn't what it is today
And the management firm that is currently in place was conservative in their management fee
We do expect that number to be higher this next go around
And we've anticipated that in our calculation, the cost of the contract
So
So to your point, you know, we actually expect the whoever the the accepted Rick's selected provider, the costs that we're getting today, we feel are very conservative in that the next round, now that this business has really begun to evolve and grow and we see that there's revenue to be made
We expect that the next round of bids for us not to probably make as much as we have in this first set
Are we allowing for bidders to present in different ways of receiving so that we might not be a base fee? Might all be based on saying that profit
Yes
Yeah
I think for a comparison point, our standpoint, again, just to compare them across the board
There's a standard proposal based management fee and then a percentage and then they can alternatively propose an alternate method
But that way we at least have a basis to compare the proposals and then we can look at that alternate and see how that would financially pay off for the portrait that would be included in the selection process
No questions? No
Ok
Thank you very much
So I would call for a motion for adoption of Item 8 B
It's been moved and seconded
All right
All those in favour please indicate by saying I I
All those opposed nay eyes have it
Thank you very much
Thank you
Amy Item ADC is authorization for the executive director to approve the action to execute a contract for natural gas supply to the Seattle Tacoma International Airport for facility heating and for compressed natural gas leak fuel
Commissioners
As you know, we are currently in the selection process for renewable natural gas
Our energy contract, which is one of the key one of the key strategies for the port in pursuing to meet its century agenda carbon reduction goals because the port has initiated a procurement process in pursuit of this renewable fuel
We cannot discuss any details related to the procurement at that procurement at this time
The current natural gas supply contract is due to expire October 30, first 2019, and a new contract must be issued to maintain uninterrupted natural gas supply to the airport
Once the RNC contracts is signed, it signed
In the coming months, there will be a standard arrangement between the two gas contracts to replace fossil gas volumes with Orrin G
I just put that out in front because I wanted to connect those two issues that were before that
The presenters today to talk about the natural gas contract is Mike Tasker and Keith Warner
Good afternoon, commissioners and MR Metruck
Thank you for that great introduction
I think I'm done
Just kidding
Keith is I'd like to ask for this
Keith, when I tell you this manager, he's responsible for management of the utility contracts for the poor or the aviation division
So why are we here, as MR Metruck already mentioned, during the procurement of renewable natural gas? We discovered some items that needed to be addressed
One was something required to ensure the successful delivery of renewable natural gas
Another was for continued operations of the airport, and the last one is for successful management of our natural gas utility
And with that, I'll turn over to Keith to address specific issues with the contract
About now, okay
I think we've covered many of these items on the situation, talking about the integration with the natural gas contract
Just a reminder, this is the gas supply both for our heating loads within the airport, which is both winter time heating as well as sanitation needs and then also the fuel for the CNG fleet
And as was noted, the current contract expires at the end of October
We are seeking authorization to go forward with a natural gas contract
Again, this will provide full integration and alignment with the eventual natural gas
It's renewable natural gas supplier
This is going to be a full requirements contract, just as we have today with our current supplier
So it is not only the commodity of natural gas, but it is the daily nominations, forecasting and integration on the pipeline, which is the transportation piece we are seeking a two year contract with to one year options
The total price for this is not to exceed five million dollars and we do pursue this through a competitive process
And so that's a fairly short and sweet
We're ready to address any questions
MR Steinberg
Yeah
I've since there's been recent increased attention to the use of natural gas and its environmental implications
This is distinguished from that product too, in that it's a renewable source
Is that correct? And would be exclusively the RNC or would it be a blend or would it be eventual conversion or what are we using currently? Or if you were, we're currently using natural gas for our supply for boilers and our bus fleet
The future is going to include the renewable natural gas as part of this procurement
But the curve going I've got to be cautious on with procurement rules is the future renewable natural gas supply
We'll also be able to fuel our boilers and our transportation fleet
The volume of that is something that we'll be discussing in the next block
I'm just trying to understand better what is and what isn't
And also, maybe you could provide us with a definition and criteria for the renewable source or this natural gas energy form
This is okay then
Okay
I wasn't clear about that
So yes, let's start that one over again
Okay
No, it's this is important for the public to understand
This is a procurement for our natural gas contract, not renewable natural gas
Renewable natural gas
We will bring to commission at a future date for that procurement
So the question would be, why did we not marry their renewable contract with this one? Part of it was timing, and part of it is the fact this contract is ending October 30 first
The other part is a contractual methodology with a supply and a potential swap arrangement
It's getting the renewable natural gas to the actual source or not the source, but to the delivery point
So with that, we have contractual arrangements to do some swaps, so we make sure we get all the environmental attributes for that source
So part was timing that we intended to marry the two requirements up
But during that procurement, we discovered some of these issues had to be addressed that Keith is already mentioned
And I think a really helpful point that you guys helped explain to me in an earlier briefing is that these are not mutually exclusive contracts
One sort of builds upon the other
And so if you could describe a little bit how signing this contract will actually enable the later arms contract if that comes to fruition
I think that would be helpful to understand why it's important
Any idea? I'm trying to be cautious with procurement sensitivities, but it's partially dealing with a swap arrangement
We have to do this
We have to supply a natural gas in our future
Procurement will allow us to do a contractual swap or they will cover this
And we will we will have all the attributes associated with renewable natural gas to meet our demand
We had a graph I don't have the graph here that talks about how we have a supply that we need to meet here at this point and we inject renewable natural gas
If you look at it from a electricity perspective, it's like bringing solar and wind energy and energy into a grid with renewable natural gas or natural gas supply is effectively a grid in rejecting renewable natural gas
And there's natural gas in the grid as well
We have to have a contract for both to allow those to swap
So this doesn't preclude our ability to take on an orange contract later should the opportunity arise
Not prejudging any procurement process right now, but it's an it's a necessary step in order to be able to do that later and make sure we keep operating in the interim
Gentlemen
I appreciate that the necessary aspect of this
The only thing in the executive summary that I have a little bit of heartburn about is that is that it present presumes that that we would be only being able to meet 65 percent of our demand with our energy
I think ultimately that depends on the contract, depends on how much we're willing to pay
So, I mean, this is maybe a recommendation that may come to us in the future
But as a background statement, it is unto itself, not a fat
You're right with that
That's true
The question that I would have, I think that's a great point
Moment and the question I would have is what opportunities do you see us? So this would essentially be in theory for up to six year no
Eight
And my ending that right up to six years to tell you 1 1 just 2 and 1 1 4 years, four years over years
Yeah
I was one year two and two and one one
Are we
Do you see an opportunity accelerate in terms of the renewable again
Not presupposing anything that would be great to see us try and transition to renewable as soon as possible
And with that comeback, could this contract come before the commission, Steve, rather than just the starfish you mean
And I'm assuming that it would
So we get through the first two year contract before the next one year is let
It would come before the commission for authorization
Could could we have Stephanie's on the subject? I think so
Wait a minute
Joy is deep in the weeds and that she understands all this
I was thinking you were talking about subsequent to option year
Where the question is get on
Yeah, I'm just fine with option years
Yeah
So to clarify this
This fossil delivery contract is for the services to bring the fuel and we would work with them once we have a renewable natural gas supply in place to then swap those volumes
So it is public knowledge that when we put the RFP for the renewable natural gas on the streets, that was for a long, long term 10 year contract
And so it is still our intention
That is what is on the streets, that is public knowledge, that it is our intention to have a long term contract for the renewable natural gas supply, for the fossil delivery, the fossil supply, whatever volumes we direct them to, to basically swap and deliver
Here is what is the volume that we would tell them to
And that service would now be for two years plus one year, one year extension
But the RNC volumes per our intention in the RFP that is public is 10 years
So we would match that up and sorry, Stephanie, mine climate protection program manager
I forgot to mention that at the beginning, but to the point, the volume of one versus the other is flexible, correct? It's as a futures
So we're not locked in, say, where we have the option to right this
Right
5 percent was based on some projections that we think we might
But that is a that's more like a minimum
We could we could theoretically supply the entire volume that
But the question about whether we do that is, is for a future commission item
Right, this is really just get us to the whole balance
We have the demand and then this will just enable both sides of that equation and then we'll as we go forward
We will balance those with the with a bias towards the renewable natural gas
Exactly
This has a simple, significant implication of us meeting our greenhouse gas goal
So that will be a decision into the future
And this is a very significant thing that had that RFP out on the street
It's very exciting and then happy for me to support this as a necessary step towards that end
Exactly
OK
We're just going to move it
Great
So I think it's been moved
Item eight, see? Is there a second circuit? I got great
It's been moved in second
All those in favor of adoption of item eight
See? Please indicate by saying I I
All those opposed
Nay
I have it
Thank you very much
I guess we tried to make that more simple
We maybe we complicate it
Did I say that is the question? I mean, it's clearly this is a big public issue these days
And so it's important for that clarification
We appreciate it
Thank you
All right
Item eight D is authorization for the executive director to execute multiple contracts for one marketing and advertising, two in terminal entertainment, three music program for mobile ordering and delivery software applications along with the Associated Hardware
Five, quality assurance customer service
And all in support of the airport dining and retail program
And six concessionaire ad hoc expenditures
The value for all five contracts will not exceed an estimated 10 million dollars over five years, with the funding to come from the airport dining and retail tenant marketing fund, plus the port's contribution of one million one hundred forty two thousand five hundred dollars to the music program commissioners
These contracts enable us to provide services which enhance the traveler experience at SeaTac, improve customer service, and provide employment and business growth opportunities
To present, this is Don Hunter
Good afternoon, Commissioner, President, Moment Commission and Executive Director Metric
My name is Don Hunter
I'm the senior manager for the Airport Dining and retail program here at SeaTac Airport
And I'm very excited to be in front of you today to really talk to you about all the wonderful work that the ADR tenants have been doing inside the terminal to increase the passenger experience through the tenant marketing fun
Fun itself supports a variety of activities
The marketing fund supports a variety of activities that enhance the customer experience in the airport, and not too many people know that these are all supported through the tenant marketing fund
As you can see, there are a variety of different items that we're asking for authorization for today
Before I move on, I wanted to just highlight casting a reg who manages all my staff
She manages the tenant marketing fund on behalf of the tenants and she has for a while now
And before we get it, the procurement, I wanted to give a brief overview of the tenant marketing fund and how it works and where the funds come from so that everyone can understand the tenant marketing fund is funded solely by the airport dining and retail tenants
With exception to our small business key US tenants
But all tenants are marketed through the program, even though the small businesses don't put in
The funds are generated through a provision in the concessions agreement where each tenant contributes point 5 percent of their gross sales capped at thirty thousand dollars per unit
The funds are managed through the port by the ADR staff and their approval for the fund expenditures come through the Tenant Marketing Committee
The committee is comprised of representatives from each one of our concession tenants and they meet quarterly and they provide the eight hour staff with direction on how they want the funds spent in the fund
So the first line item that we're talking about is marketing and advertising, I'm sure that you have gone through the airport and you've seen the E shop and more branding for the tenants throughout the terminals
So our thought is that as soon as the branding effort for the airport is solidified, our branding will be complementary to that and bring that more Pacific Northwest sense of place that we're looking for inside the airport
The tenant marketing fund also pays for all of the tenant marketing and advertising at the airport
That includes print ads and radio ads and all of the marketing and advertising
The question is, do we how much do we market outside the airport? Because obviously we've all seen the eat shop and more
While you're in the airport
But what about when you're outside the airport? So outside of the airport, we are in the Delta magazine
We're in the Alaska magazine, we're in the Weather magazine
We have ads that we have on
You went to the microphone
Thank you
I've also heard it on the radio arts as well
Yeah, yeah, I've heard it just read
I think I've heard radio, but that's it
Yeah, I think are radio
We've looked at billboard, but so far it's not unheard
Hello
So we are advertised in various areas outside the airport, mainly print ads, cruise ship magazines, radio
So we're we we're pretty permanent
And in addition of that, we have with all of our new local small businesses onboard, they're pretty savvy on how they want to be marketed
And so you will see a very intentional advertising campaign coming up
And we have to admit, in the past, as we our department is transitioning, we weren't doing that great of a job casting
It was holding on to the ship, but really focusing on how we want to market
And now this group is very intentional on what they want and how they want to see themselves marketed outside of the airport
How did these marketing efforts enter or integrate with our social media efforts? I know that at this point most organizations have pretty significant advertising budget through social media
And I know the port staff has done an excellent job developing the SeaTac Airport social media channels
Yes, I suspect there is also a demographic difference
You know, if you're trying to reach a certain segment, you might advertise on NPR radio, but another segment is probably more likely to hear about us through Instagram or Snapchat
So we are doing a variety of things
We are not here, but we want to just give a great shout out to Kate Hudson and to Abby Lambert, who work in our public relations
We are on Facebook live
We are we're doing Instagram live, which some of some of the things we're doing I didn't even know existed until my daughter told me I was dated
But they are really working with us and I really want to call them out to really make sure that the tenants are being marketed through our social media avenues as well as working with us to put on different events throughout the year
But are any of the funds being used to buy advertising on social media? Because that's all earned media as far as I can tell
So not currently we have in the past, but not currently
Again, the marketing advisory committee, they decided not to use that money yet until we rebrand
We're more in sync with the port's branding
So more to come and we will in the future go back to that
OK, great
Thank you
Thank you
Yes
Dina, in addition, you can say in addition to all of the marketing and advertising the fund pays for in terminal and cultural events that we have throughout the terminal, casino has done a great job with our end of year holiday party that we get a lot of feedback from our passengers and port staff
So every year when you run, you're out there and you see the big holiday party that lasts for about nine days, nine days
That's paid solely through the tenant marketing fund, even though the handouts and the giveaways that we give to kids
If you notice, you'll see the USO out there wrapping people's gifts because they had to unwrap it
Yes
When it comes to TSA, the tenants of the tent marketing fund pay for the tape and all the wrapping and all of those items that go into that
So that is solely for the tenant marketing fund
And then last year, the ADR tenants recognize the need for more cultural events in the terminal and to reflect more of a Pacific Northwest sense of place
So with that and through the ADR group, we partnered at that time with Luis Navarro from the Office of Social Responsibility, it's now the Office of Diversity, Equality and Inclusion
And a lot of our employee resource groups, a sponsor, we did our first lunar new year in the airport and we had dragon dancers that went from North Satellite, South satellite and all the way out throughout the concourses
And that was the first time that we've had that event here
That was the tent marketing fund
We also partnered with Latinos with needles, and we had our first annual Day of the Dead celebration
Thank you so much, MR Steinberg
And comments were coming
We had such a great time
And we also want to special thanks to SSP America who gave us that fabulous food, but that was funded with our partnership for the Tenant Marketing Fund
We also partnered with the Native American IRG to introduce the first Native American tenant in the airport with our Native American celebration
So there is a definitely that through the partnership with the Tenant Marketing Fund, using those funds to be able to support cultural events throughout the year
The other area that everyone loves and it is a crown jewel, I think of our program is a music program and it is co-sponsored with the Port Tami Cake and actually manages the music program from the very inception of it
And the program has won numerous awards
And we're actually used we get a lot of calls from other airports who want to use us as the model to bring music into their airport
So it's a very successful program
And as you can see in our requests, we asked for an increase in Port Cole sponsorship
The increase is because the old amount that we had had a limited scope
It was only for a certain amount of places and it was a very limited scope
And that has grown over time
And that's right
Now we're asking for those additional eighty thousand dollar fund to cover this contract year because we are using the music program and a lot more places than we were before
Also, the increased budget will advance our opportunity, increased diversity in genres, diversity in musicians
We really want to take the success of this program and build upon it and do more innovative things with the music program
We also have are going to have dedicated stage points, nor satellite concourse a central terminal
And the hope is to have these dedicated spaces throughout the terminals with where the air with the artists can shine and we have better acoustics instead of we're kind of shifting them around right now because of construction
And we are currently looking I know there was a request by Commissioner Beaumont for some pre security music and I've been working with airport operations to try to figure that out
The other item is the mobile ordering application
This came as an innovation to increase the passenger experience
But in addition, as we know, we had forty nine point eight million passengers last year in 2018, and we just do not have the food and beverage capacity to handle all of those passengers
And you will see a lot of people just walking off because they're frustrated with the long lines and what we want to do in order to capture those those people and to maintain and increase our non aeronautical revenues as we're gonna have
We want to put out an RFP for mobile ordering app
Why? Under the tenant marketing fund, because the tenants have agreed to pay for all of the equipment and auxiliary costs for having this mobile ordering app
We want to have it embedded inside of our C tech app so that when you go to see sexy tech app, it's one place
It's not multiple applications and a lot of these there's three or four major people who do it for concessions across the country
So we're looking at it in two phases
1 implementing the mobile order actually application in the phase 2, ultimately having delivery to the gate where the passengers can just go to their gate and order and then have it delivered to the gate
Can I point out that my colleagues all rolled their eyes at me when I suggested this last year
So I'm so glad we're doing this
I did not rule
I love this
Don, I wanted to ask you
Sure
I also think so
I'm sort of operating under the premise that
The greater the saturation we have amongst airport users also being app users, the better for us because it's a we use it for
I mean, we could use it for emergency notification
You can use it to find your car, you can use it to find a place to refill your water bottle
There is a whole host of reasons why it's helps us for them to have it and to use it
And I know that a lot of significant retailers have that
I have a couple of let's call them Fortune 100 restaurant apps on my phone that are very good about using notifications selectively to get me to utilize their services at low capacity, at low utilization rates for them
In other words, is there a way that we can use this mobile ordering app in conjunction with our SeaTac app to to say
Here's an incentive to download the app
You know, it's a it's a free
Burrito, you know, or, you know, something like that to get them to sign up for the app or to download the app in the first place in conjunction with our ADR tenants
All of those possibilities are there
We just want
We're just so excited to be at the point we can get it
But everything
I mean, all of the things that we want or we could potentially have is all possible with with any company that we choose
We would just have to give them the parameters
But I'm sure that the tenants definitely want to be at a place where people can order and they they are not walking off from their business
They're actually being able to order and receive food from them
That was definitely incentives would be a big part of that
The only other question I had is, is it possible to have this pre security? So, folks, look
That's really what I was talking about when I brought it up last year was because you folks are waiting in the line to go through TSA
Is there the ability for them to do mobile ordering before security? Because we've got a few concessionaires outside of security
Yes
Yeah
So will they be included in this? They will be
Everyone will be included in this
So all of the tenants that so are look, why we're going for an RFP is our intent is not to just do a sample section at some airports
You can't order from every tenant
The tenants have all agreed that they will be part of this platform
So pre security and post security
Great
Filming following on Commissioner Bowman's comment, it seems like when you're standing in the TSA line, it's great place to have some hope
You know, signs that say, take this moment, download the app and order your meal right before, you know, before you walk in
It's like a great moment to get some time on your hands
With regards to the music program, you know
It's great and I enjoy being able to walk by it
But you don't typically get to sit there and maybe hear a whole song
But I was thinking that, you know, like the bridges, instead of hearing some commissioner yakking at you with a suit on
You know, it seems to me that hearing the music that seems to me to be and I really like the fact that we have local musicians on the on the bridges, it just seems to me
And if you want to hear more, you know, it just it does strike me as like if somebody is gonna be performing to be able to have a little bit more contact time with the visitor would be one of the places
And the acoustics are pretty good
And I'd get to hear myself
It's for years
I don't believe I'm really what I'm going to record it for you because I hear it everywhere here every day
So I'm going to record it for you
But there's multiple opportunities then
Like we said, the initial ask for the music program was very limited
And so now that we want to expand that based on your approval today, there's more opportunities to look at that
But one of the other key things we need to recognize is in addition to what we pay the musicians, they also make money and tips and selling
And so we want to make sure we put them in the best possible location for people to hear them
And so we've been working with airport operations to really look at some pre security locations to find that out
The next item is a quality assurance mystery shopper
Oh, yes, good
This will be in conjunction with our customer service department
Lance has really Lance Little, our airport director, has really impressed upon us that he wants that great guest experience from curb to airplane
And so part of this is us looking with working with the tenants, working with a our customer service department
We first made them all of our key tenants have to take customer service training
So as part of this, as being able to hire a company to go back in and say, are we really following through on this training, increasing the passenger experience, highlighting what they're doing well and then working with them with the things that they're not doing so well
So this is very important
It's important to the tenants
So they definitely wanted that quality assurance component to it
But it would be in tandem with the quality assurance program that is being put in place by our customer service department
And last but not least, are ad hoc expenditures
On here we talked about photography first and middles for, you know, a HCI, eggs and a Mac
Those are the main concession conferences where we want awards
But addition to that, its new photographer Web sites for advertising in our print ads and food photography is very specialized
So we want to make sure that we get the right people in there to take our pictures
When the central terminal was opening, we had a lot of pipe and drape, as you saw, as we were getting everything ready to protect the traveling public from our mess behind
That came through the tent marketing from the tables and chairs on the stage for the Native American event that came through the tenant marketing fund
We use that when we're not able to get the port equipment and we want to put on event that comes to the tenant marketing fund, the purchase of promotional iteMS I talked about the wrapping paper and the gifts
They go off for Christmas for Lunar New Year's
We had a cute little red bag with the gold coins in them
So we purchase different items throughout the year
Maintenance of our digital directory
And I want to thank Frank Aranda from our facilities and infrastructure because he really works with Casino to make sure that those are updated in a timely manner
And then there are different events that come up during the year that the Tennessee hey, this is great
For instance, the National Cheeseburger Day, you know, and we work with our public relations folks and we highlight the cheeseburgers in the terminal or national beer or wine day
We are very proud that we represent the state of Washington with local beers and wines
And we want to highlight these things
So we use funds for that throughout the year
And then our biggest event that's coming
I went to Atlanta Airport and they had it there
So I'm like, why can't we have it here? That's a taste of the region
And so on October 19th, we're gonna highlight all of our tenants and they will be putting on a taste of a regional event
We'll have celebrity chef cook offs
We'll have all sorts of things going on
And one of the things we're very proud of is that the tenants we've partnered a lot with the fire department
And so this will all of the proceeds from this will go to a burn local burn foundation
So we do a lot of events with them throughout the year
Don, it sounds like a wonderful idea
We'd love to get this on the commission calendar and have more visibility to it
I think it's first for any of us have heard of it
I think that we'll do so
With that said, to continue all of this wonderful work
We need your authorization for the executive director to be able to procure contracts on behalf of the tenants
If you have any additional questions, I'm prepared to take them
I think we've run through them
So with that, a call for a motion for adoption of Item 8 D
So that's good
Amy, you can just figure that one out
Okay
Thank you so much
It's been moved in second
All those in favour please indicate by saying I I
All those opposed nay i's have it
Great
Thank you so much
Thank you so much work
This is exciting
And it'll be fun to hear about the about the chefs
And also, I think the mobile app is something the public surely gonna be interested in
So it's gonna be fun to advertise commissioners
Another idea, another idea we're throwing about the music program was to create a Spotify list of performances at the airport
So that would be an actual list that you could do, of course
As I said, maybe we want to produce a C.D
I was told that's old thinking
We don't do that anymore
Ok
Item nine is the twenty twenty Central Services preliminary budget briefing
Commissioners, this briefing kicks off a series of presentations on our proposed 2020 budget
Before our presentations were setting the stage and now we're going to move into those
And I'd like to share my approach in assembling this budget and provide you with a preview of the full report budget
So we'll actually we'll see that kind of like an early preview of that bottom line up front on some of the numbers
But those have to be finalized, but it's kind of like an overview first
To do that, the proposed 2020 budget is a strategic strategic budget that is fiscally responsible and responsive to the region's needs through increased resources for safety and service, healthy habitats in communities and better equity across the way that we work here at the port
There's also a disciplined budget that achieves the port's fundamental mission of investing for the future
This budget will help the port increase our revenue, carefully, manage the money that we are entrusted with by the public, and expand investments in our assets of regional and state wide significance
In October, we'll begin presenting our division operating in capital budgets
That briefing on our capital budgets will include our five year capital investment plan and how we have advanced that plan from last year, updating it as we're going into the future today
Next, you'll receive a briefing on central services after I'd give my overview, which includes resources that that make our port more responsive to the regional need, including priorities such as expanding equity and sustainability in the ports work
This budget offer also reflects growth in key departments like human resources, contracting and engineering, changes that are essential to carrying out the business of the port and delivering capital projects with greater speed and efficiency
So I will start off first and then I'm going to turn it over to Dan to Dan Thomas to go into the central services
So much so that we go down, you'll drive it from there
Yeah
So I was already talking about this
I just want to set the stage here for our overall budget
Just to let you know that we would look at allocating resources according to advancing the port's mission strategies and key objectives
And we have vertical alignment next previous slide than the previous slide
Yeah, right
Right there
Thank you
These are derived from the long term century agenda in our 2020 port goals
Next, please
That just shows
These were my draft goals that we developed early on because we wanted to make sure as we built our budgets that we had our port wide goals for 2020 that were in line vertically aligned with our long term, long term plans and with our century agenda
So rather, I'm not going to run through these, but this is just to show you that we do have vertical alignment and that as we build our budgets, we're building within the lines accomplishing these goals for 2020
Next slide, please
This also was recaps my budget guidance that I provided that we were taking a zero based approach that were in line analyzing spending trends to reduce underspending and developing realistic spending plans
So then we simply were not adding to our budget, but wouldn't said you were looking at starting from the programs, from reviewing the programs, looking to say that each program is valuable unto itself
We also undertook what you'll see in reflecting here, which is a new concept which is FTD unfilled for more than a year, require real approval and that I'm going to talk about other FTE that so that they couldn't just have him on the books
The problem is sometimes FTE sit there for years and years
You have money for them
It could be years and years, probably at least one year is probably the longest one without action taken on them
So we asked if they're out there
They've been not filled for a year
Is the work getting done? What's the reason? If it's not getting done, then to reassess whether an FTA is still needed, could I get to ask for a report back? At some point on a number of FTD that fit this category? Sure
That exists today
And twenty one year more
We did
We had
I don't have it with me in the slides, but we did do that
And we we have that
That number wasn't as high
But let me talk I'll talk up more about FTD here in a second
But
But we'll get that information to you
Commissioner
So also, new request should be accompanied by looking at savings opportunities from existing budgets
That is, look for your savings within your additions budget before you want to be placed up across the operating divisions
And then lastly, we add, we looked at
There's also money that's unspent in a given year because if you have unfilled FTD, you know, for over 2000 employees, sometimes for various reasons
Those billets or those positions are unfilled during the year
So they're actually if you figure out how long those are empty, their savings
And so we're actually well, this year, for the first time, we'll be playing a factor we don't know within a given year, but we're reducing the budget by little bit, knowing that you'll be filling positions throughout the throughout the port
And that will actually allow us to take the money out of the budget for those it's recognition that that exists, that we have an unfilled capacity, that we're constantly filling that
But there is there is a monetary thing that you can't spend that money
So anyways, we're applying that for the first time this year
Next slide, please
And this is kind of a bottom line up front, but I just want to show this
I'm not we're not going to dig into this to look at this right now, but you'll see it through about the presentations of where we are and the FTC process
I just want to show this that we went through at the beginning of the whole process for the budget, the request for two hundred and thirty point eight five FTE ease and that through that process we eliminated some FTD, but we also approved other ones
So the net gain that we'll be looking at in total and then we'll be talking about these as we go through, especially on the we're talking today about the central services, but there will be discussion about the FTD total on that
But we have done this a rigorous process to review of when you when you're requesting an increase for an FTE
What is the reason for that increase? And that's what we presented as we present the different the different budgets to you
Next slide, please
So there is just some budget highlights as we look forward to 2020
The whole the whole budget, we're projecting higher revenues for 2020, operating revenues up 17 1/2 percent, operating expenses up three point nine percent, we anticipate, which would give us an operating net, operating income up 14 percent and in just four increase as we talk about these just 5 percent above our adjusted 2019 baseline
I just have a question that I kind of go through this every year when we do this
I think sometimes that when we do this all in that obviously we're going to get the aviation budget
Usually we do that first more
We separate out aviation
Aviation will
Yes
After the central right
The first one you'll see right after central
But I just wonder sometimes when we wrap it all in this way that it doesn't necessarily give the full picture because the public sometimes we have to remind them that revenues raised at the airport
Yes, it's the airport
And yet this would maybe give a different impression of the overall health of the organization
I mean, the health organization is good, but we don't have money
A great surplus in maritime and EDT, for example
That's great, Commissioner, because I have some slides at the end that we actually showed that difference because you're right, when you put them all together and roll it up
It tells a different future story because of the because of aviation
And when you look at the number of hires, right, there's forty nine pilots in aviation, right and right when we write a percentage wise and then we'll explain as we look at that, whether we're adding an increased capability or resulting because of the growth and those will be discussed when we present the budgets for aviation
So this is just like the overall looking at it, but in kind of frame some of those questions as we go forward
So can I just understand that the request so you have new FTD requested for Marathon was eight point seventy five
You prove a point five
Then you eliminate three
So
So these are
And so the net gain
Right
We need it
So we
So you took three out that were already there and then added
Another one
So not the same people now? No
And that's what it is
Some decisions
Six
Some positions are eliminated
Then you're adding other positions
But we want to be transparent about that, about what we were doing
Great
So
And then this just the takeaway on this
This is again, this is a I would say, as Dan would say, this is a work in progress because we still don't have this does not reflect
We don't have the numbers from the Sea Port Alliance
That's correct
And we don't have the final numbers on some of the operating divisions
So
So this is just where we are now that I'm looking at as I'm looking at balancing the whole equation going forward
But it just to focus on I already talked about this is the numbers behind the other summary that you saw
You know, the budget change of the growth beings, seven point nine percent
But I'll talk about this
When you look at just to reflect on the budget change
Commissioner Bowman, to go back to your you know, to your
The thing that you the issue you brought up between aviation and opera
You know what our operating revenue is and what our operating expenses
You can see some negatives there as opposed to all of Rome
So but I'm not going to dive into this now
This is simply to show the numbers behind the summary that I said about that, about the growth
Though, as you quickly
We don't
Dan, it would be great to get from you in moving forward
The 2018 budgeted is the first column and then 2018 actual
For all of us, we're moving through all the division budgets
Moving forward, I'd love to be able to see the comparison between budget 18 actual
Sure, we've got a great things
Next slide, please
And this is good
And this is my life
Much better we're doing
I think there's just FTD
So this just goes into more
Again, just the math behind the numbers that we talked about before the FTC that showed our total are told no for our proposed numbers for FTC it would be for employees would be two thousand three hundred sixty nine point for three employees
So and it just shows that that will reflect when we look at it, when you roll them all up at the end
So next, please
And then this is just the show that we are tracking
You're gonna get a detailed dive on this
This does not include the thing I want to point out on these numbers
This shows for that five year plan that includes aviation
Usually we see them separate
But this one shows our capital investment plan based on based on last year
And in that, we're going to update this
This is not include Sam projects because they have not been approved
So they're not included in this
In this as we look forward
But our SO rate without the SAM projects are our total budget for that five year twenty twenty twenty four five year period will be three billion dollars to do it
So next, please
So this shows, Commissioner Bowman, kind of your point
If we just look at this, this is the steady growth in net operating income since 2015
So it shows where we are
And then that growth going forward
But then if we look at the next slide that shows aviation and aviation is the overwhelming factor that contributes to that upward growth
Now, that just shows the growth of the airport and within Greece
Growth comes increased the increased revenues as well cost and in our revenues
But your revenues are going up and much
This is what the shows you put
But then when you look at maritime, maritime and EDTA, it kind of looks like this
Now, this is not a bad thing
It just shows that we have and we have different prograMS Actually, we are making
We often outperform because this is budgeted
We often outperform what we're budgeted as far as cost in our revenues are usually a little bit higher than that
So this shows that
But also we're making investments that includes investments, the RFP coming through for 1 or 6, which will be a large income increasing for us
The cruise opportunity at 46 has the promise to increase maritime revenues
And so our investments that we're working within both economic development and maritime should increase our performances
If you remember and you'll hear when specifically on maritime and EDT we look at here are our plans for increasing revenue going forward
So but this is something that is concerning when you look at our performance compared to overall to tonight, aviation can turn on aviation
MR Steinberg Feldman, thank you
Under the net operating income for non aviation, you're projecting somewhat of a dive between 2019 and 2020
What what is behind that? Well, we'll see
One of the things is it actually is the costs for paying for the cruise ship terminal before the cruise ship terminal comes on
That's the that's part of that is a piece of it
Some increased expenses that I thought that would be capital losses
That's where the a payment to the alliance for the use of the 20 9 0 0 0 0 4 6
Yeah
That's an operating expense
It would include five
Not yet
Now, that's all capital at this point
And yeah, that would come through the alliance, but and those revenues, again, as per the note here that are not haven't been updated yet on the alliance revenue, but Terminal 5 right now, as is capital
There is some expense to it
But what we have
So but all that would be captured under the alliance
So the question about we're paying we're paying the alliance rent
Yeah
So that that's what I'm doing
Yeah
Sally's property that kicks in next year in January
Ok
And with that, I'm going to turn over to Dan to cover the central service
Got it
Thank you, MR Steinberger
So you saw you shake your
We will get
Like I said, we will
But we'll have more discussion about the non aviation budgets as we move forward again
I just wanted to have an overall view of this moving into the budget discussions
So moving to central services, the central services actually comprise twenty for two dozen different departments, departments that are providing support services to the enterprise
We categorize them into two buckets
Core services which reflect more the traditional administrative kind of support functions
And then what we call missed other services, things like police and engineering and environmental sustainability, which tend to have a little bit different cost drivers behind those kind of departments
I would add Steve reorganized the former capital development division
So the seaport and aviation project management groups have now moved back to the divisions
So what we have now in Central Services is just the engineering and port construction services departments in this group
Again, just to echo some of Steve's comments about some of the key drivers, again, that the budget has been driven by responding to the business and community needs of different stakeholders, building internal organizational capability through innovation and developing greater efficiencies and effectiveness
Of course, environmental sustainability, a key port priority and an also improving customer service to all users of port facilities
So those were really taken into account in developing the South Central Services Budget this year
Just a little bit about business contacts, and I think you've seen a lot a lot of these kinds of graphs really just reflecting the growth of the organization experiencing both in the capital plan
Again, this does not include any future SAM projects, just the growth in operating revenues, FTD and in placements and all of these various lead drive corporate costs, whether it's through a jar capital delivery, contracting police
So again, just to provide a little bit of context of the trends that we're facing into the future growth in those areas
So I'll turn it over to Michael to talk a little bit about our budget development process this year
Thank you and good afternoon
Commissioners and external thought imagine except the daughter metric item briefly mentioned the budget plus a skylight that we had for 2020
And we did in fact go into very Vickers process to look at the colorful art
For the past five years, the spending trend, as far as you know, didn't need for the actual need for the coming years
And we identified by one over one point five million, saving an offset from the baseline budgets of this week
And then also we moved eight point three point eight excuse me, three point eight billion of it, one time item and non occurring item
And again, you can see that detail in the appendix on slide forty seven to fifty
And then we also asked Ben Nelson really earlier because the budget transferred ought to be art VHS for those pages as well as a couple other B art charts, budget transfer including to a TIF engineering department transfer to aviation maintenance earlier this year
We also add that they analyze the market for the be occurring empty turns up and meet mostly
Yep, although our this year we have about 20 at T to that
Well put it earlier in the year as well as some of the puzzle yet that you know for some of the new FTE in the 2019 budget that we know for some department of some FTB budget for the past nine months or so, we know mostly stuff on April 1st
So we analyzed those as well as some cost increase increases, the contractual increase and some some other areas
And then we also add that the incremental average pay increase and benefit costs
That total is about three point nine million to the baseline
And then as except Doctor mentioned, DP area we be view of the US audit department to provide a justification for the new budget requires this and we spend lots of time for the full week to be viewed as a new budget request item, item by item
So FY total up almost 15 million total request been reported
A point four million of that
That's about 57 percent
But I should also note that some of them might be more light on going to some extent, but some outside the services item, for example, for example, some of that the inclusion check is in the baseline
We we took that out and we view it, have some discussion and B2C so that even with that as dealing with it, the fifty seven percent
Question here on the budget request as part of that
Have you received budget some medals that include savings opportunities, as you have stated as part of your direction? I think that's part of the justification
New budgets, justification, better especially
And we are very department to identify somebody and have you because you've only listed an increase budget requests
But yeah, I think I've just identified about one point five million dollars of savings and reductions
Okay
I think it's good the report where you identified savings as well
Why does this lie actually? So was it the and and, you know, particularly initiated by the slide 35
Okay
Are you human on 17? I was one point five million in savings identified
Okay
You see
What's represented when the operating divisions present? Well, we do have that information, actually, we have
Yeah
Summary in the appendix on slide 35, we have a detailed list of the savings that were identified and where they identified at the division level or by the executive and the executive review or these were identified within the division level, dissented
And then we took these as part
And then we of course, we didn't approve all their requests going forward
So it was a collaborative process on this and trying to see how the two compare what we challenge them
That was my guidance
You couldn't just come forward with increases
You had to come forward with savings this way
Yeah
And that's what I was getting
Were you looking for more specifically? So I would like to go into a budget detail, I would like to just provide a key budget highlight here
Be as I mentioned, you know, we received sixty point five new FTB passes and be approved thirty five FTE
But we also eliminate to percent empty years
So the net is 333 are empty, which is three point eight percent of poverty adjusted 2019 baseline budget
And then we're also reported in and out that I mentioned in the previous slide, the total proposed budget increases eleven point one million or eight point one percent compared to that 2019 adjusted baseline
And we'll go into a little bit more detail later in in a few minutes
And then finally, we also for the 2020 post budget, we included a two point six million payroll expense offset that except to to metric medicinally B areas
So you can see that 3 percent vacancy where you translate to a two point six million people reduction there
And so here's a overview of the central surface budget
If I may, I would like to direct your attention to their last two columns
Are budget changes for the core central service services are to increase its eight point five million or a little bit over 10 percent
And I mean that you can buy for five different factors
I would go to a little bit of a bit of that
So we at a top twenty two point five, you empty in the Co-op Core Support Services Group and including three from the aviation finance and budget and the maritime finance and budget
So it's those are greatly supporting the opening division
And then we're also adding resources for some community program
And NTSB Gottlieb earlier on the sub King County Fund this year in 2019 budget, we have tempting 550000
There was budget into my mentor group, my mentor at substantive equip
And for next year we increased it
Bye bye
Bye
Seven fifty to one point five million
To be fair that we didn't we have not as a policy made that decision
That's why I just want to be really is everybody paying attention to this when so we have not made the decision to not spend the King County Fund this year
But
That's a staff recommendation
But that's not right
You said England, France and violate
So
So that's part of the increase because last year it's not in the, you know, go up to the core core central service area here, that that's part of the reason you see the amount and momentum suspected as a production of 3 engine 37
That's part that we wonder maybe isn't there
And then the third reason is also, you know, I was at that
You know, we also added some resources put to publish barely in committee program and then some of the the key 46 support programs there
So for total, more than half million
And the third reason is we also added a new some additional resources for the new office of the Equity Trustee and cushion
So does Peterson can increase as well
And then the other areas also some of the contractual increase are in the software licensing in the Eyes I.T
department as sort of network maintenance costs and some of the PCV fare
So you're seeing some, you know, increase nicely, I think, to department there
And finally, you know, those that the eight point five million in quarter 3 to 1 6 are the 3 percent vacancy officer numbers there
So I just want to point that out
And therefore, for the police department, you can see us very moderate, two point two percent increase state at the two new police officer for next year
But they also are committed to do some overtime by 450000
That's why, you know, that's in there
So pretty moderate increase in the capital development
That includes the engineering and construction services
You know, two point three million increase
And mainly because more supportive capital projects
No
And somewhat also some of the other six new FTE
But that will, you know, reduce soon became the audit of the onsite consultant course
So overall, you know, that's double help
You know, if those increase are new, FTD are increased, though, obviously the number is even higher than this one
So, yeah
So that's for I
So I'm going to put a little bit of a finer point on some of these these next two slides actually show all of the different departments and the year over year budget increases
We're going to talk a little bit more in detail on some of the highlights related ones that Michael referenced
One thing I wanted to call attention to was internal audit about midway down through their internal audit budget has actually decreased slightly
And that's because they are building capability for I.T
audits internally
So they're relying less on outside consultants for I.T
audits
The internal audit budget was recently reviewed by the audit committee, I believe endorsed
But I will turn turn to Commissioner Steinberg and Calkins just to reinforce and I think recommend the approval of the internal audit budget
Yeah
So if I can just get a point on that
Just on sometimes we pay for consulting services and then we do make
Need to make that analysis, is it cheaper to bring it in house? And that's a continuous process and you'll see that a few times
I think that, Dan, is that there's actually savings as we bring a capacity of that capability in-house
That's correct
This has been the development of the audit committee for some time, and there is also the benefit for security purposes
Having that capacity all in-house, so
Right
I think it's got the multiple benefits
Yeah
Yeah
They're building some good capacity
And again, as Mike referenced, the vacancy factor that's included at the very bottom in the contingency account, that's where you put that 3 percent or two point six million dollars as the vacancy factor
And then here, I guess I would just point out again, an environmental sustainability that looks like costs are actually going down
We actually have added significant resource in that area, but there were a lot of onetime items that were budgeted for 20, 19 that come off so that it's being absorbed to some extent by that
And by the way, requests for two additional staff
Yeah
And they're all going to tick through those
And just also we're going to fly fairly high
We're going to highlight some of the major changes here or additions, full details are included in the appendix
So we have every new every new budget item in the appendix and some of the other transfers and they're all that detail
It's in the appendix if you want to more detail, we can jumped at the some of those lies as well
So just to tick through some of the department level highlights and we have many of the folks here in the audience in case there are detailed questions that we can't answer
So external relations, two and a half new FTE is part of that
One of those is for aviation graphic design
We only currently have one graphic design airport wide and these at the airport are growing significantly for things like, you know, the Britain new brand initiative, signage, way finding and so forth
So they really believe they need an additional resource
This it's effectively telling our story, which is
Yeah, which is pretty important
And then the environmental engagement program manager, this relates again to the ACE Fund
That's a limited duration position
But as you know, that work now is going to continue and actually expand quite significantly with the New South King County's fund with sunk the South King County fund, which is another 10 million dollars that has to be administered
So that position was turned into a permanent position
There is an internal support, the regional transit transportation initiatives and then significant additional resources for the longest Valley Environmental Justice Initiative, as well as significant outreach related to our T 46 crews opportunity
And they've also added some consulting resources for creative marketing for various port initiatives
Question Was there an additional hire for eastside outreach that was added this year? Right
So in addition to the South King County, right? Yes
I was a position page 57 of Cary
Yeah, that was that this year
And then also there is an embrace
I didn't call him out there, but some additional resources to support that position, whether it's through memberships and travel and things like that to support that position
Seventy five thousand
Yeah
Mm hmm
This is something that I know Commissioner Bowman has been very much supportive of
Yeah
And I'm delighted to see happen
Human Resources, Steve mentioned earlier growth in H.R.
This is really as we looking at expanded needs as the organization has grown additional 150 years supporting management training, reinstituting some mid-level manager training programs, including a pilot that would be focused on the engineering and capital development functions, which haven't had that management focus before, additional resource and FTE for talent acquisition to assist with recruiting
Also, employee relations as the needs of supporting employees has grown, they have an added staff and many, many years and then also additional resources for commuter benefit program and also to review the port's compensation program to see if there are potential changes warranted in that approach and program this more
The question for Steve
So on H.R., no, we've had this conversation before, but it seems like we've had some for a variety of reasons, openings for quite a long time
It seems to take a while to get people hired
So I'd love to understand as we get a little deeper into this budget, how this allocation of resources will allow us to have the outcome of getting hires done faster
Great
I can do that
We should
That's absolutely what this is about
And I don't know
Right now on Katie, if you'd like to address that and I know we have great staff, but I just know there's some key positions like real estate and email to government that have been open
We can talk about those specifically
But but just on the
Just real quickly
Just real quickly on
It's just we want to get
I mean, they're just key positions and I I've just heard it writ large that we seem to be slow on the hiring
I just don't even know
I don't know why
Sure
I think there's a lot of Katie Jihad, senior director of human resources
Lots of challenging environmental factors in terms of just the tight labor market and being able to attract people to the port of Seattle
We're certainly stepping up our outreach efforts, trying to leverage outside recruitment firms where it's appropriate, where we know there's gonna be a difficult market
We're also in the process of enhancing our tools
And so the tools we're going to be looking at, bringing in a new applicant, a recruitment system, to be able to look at data more critically, be able to see where our bottlenecks are and be able to make some efficiencies where we can do things like online screening, being able to do some of that screening by having people do an assessment of their skills and answering questions to help weed down those that are most eligible for the positions that we have
So lots of strategies in place to to address those things
Commissioner, also related to that, you know, we are also collaborating with some of our fellow governmental organizations in the area
I just had one last week to discuss our challenges and the government in recruiting
When you have a red hot market, as Katie's pointed out, it's hard in some areas, especially I.T
in some other areas for us to compete for engineers
So we're we're looking at all of the strategies to overcome those, although those gaps in those positions
But we're so much more interesting in King County or city of Seattle
So, yes, we are
We you know, we offer great benefits, but we do because it gives me some of the other things that when I look at our our job evaluation and compensation system, it's time to do a refresh on that
And so that's one of the other budget items that we got that we've requested to make sure that we're competitive and we've got the things that are gonna make us an attractive employer
Okay
Thank you
And moving on ICC for new FTD, one for desktop support
We're realizing that we're behind in terms of the ratio of desk top support specialists to computers and laptops, so they need to boost some resources there to keep up with the demand
Software development, FTE
And we do a lot of in-house development, both developing project systems on our own
But also you can purchase systems require a lot of integration and testing
So we're needing to keep up their systems training
We're introducing a lot of new tools
Office 365 and some of those collaboration tools, a position that would help support that, but also more importantly, conduct training
Because if we can't really use these tools, we're not really leveraging their capabilities
So that's what that would focus on, additional resources for a new software licenses
You know, as the port grows, we acquire new systeMS Part of the issue is that the model, the cost model for I.T
systems is changing, whereas in the past, oftentimes the initial implementation, the license would be capitalized
We're moving now to our world where at world where it's hosted systems, software as a service
Those now are fully expense
And I.T
is the department that mostly houses most of these contracts
And we are adding some new systems that will be absorbed into their budget
And finally, P.S
on laptop refresh, we shoot for a four year refresh cycle, is that correct? And this was one that was actually cut back many years ago during after the recession as a way to spend money
So we're just finding we're not able to really keep up with the demand to keep that those refresh cycles up to date
So some more money to make sure we can we can do that
Central procurement office
This was really exclusively to support the growth primarily in the capital program, but other need for contracting purchasing goods and services and also one of the positions will be focused on overseeing their lean program because they are doing a lot of work to try to improve their processes so we can speed speed delivery and also support the capital program execution office
I just recall that we were looking trying to look at purchasing of environmental products that were trying to do something more centralized that each of the divisions previously were like buying their own paper and things like that with have we made any progress on regarding? Those larger acquisitions that have like paper
I don't think anyone's here to respond to that
While some paper, especially like the pink paper
We too have been managed services under one contract, basically so far managed by CBO
We could take that action and get back to you on that
Yeah, it's cost savings to
Have you looked it up like that? Yep
Yep
Office of Equity, Diversity, Inclusion
You've heard that talked about earlier today
We're standing up an entire new function here
Look, I think this is in the audience if you have questions
Three new to ease added to support that function
One is a data research and analysis position, because measurement and data analysis is going to be pretty critical to managing that program as we could get it up and running
Communications is pretty important
And then also a position that actually would be embedded in aviation to to start the cultural transfer transformation and providing the tools and work product that they will need to help pursue that transformation
And then also additional resources to support their new strategic plan, including some consulting support, more money for community outreach
We're viewing this as a down payment
This is a new function
I think expectation is over time there will be some additional staff additions
But Steve, and particularly one of the kind of start small, get the program up and running and then add resources as we get the better definition as to where the needs are and commissioners
I think this is a little bit cart before the horse because you haven't presented our plan and we haven't seen the complete plan, which Buda is working on
But we have the budget
The budget waits for no one
So we had to put elements in here to move forward
So
And then engineering also Steve, references early really for new have to ease exclusively supporting the capital program in a variety of areas
And also more costs are being shifted from expense to expense from capital, particularly the way they budget their their capital overhead
They've made some refinements to that so that shifting some costs from capital to expense, but no increase in cost in general
Similarly, poor construction services to to have to ease ones for supporting project delivery
A management position
And they also lost an administrative position
A number of years ago that they tried to do without
But they're finding they really can't do that
So they're adding back an administrative support position
And they also are experiencing some additional shift of costs to expense from from capital finance and budget aviation different be to new have to ease
One, supporting the capital workflow processes as well as grant programs and another FTE that is really designed to better leverage the data systems, both financial and operational
They rely a lot on to do analytics and try to do better predictive modeling
So that's that's seen as sort of best practice in finance organizations these days
And then one new FTE in maritime finance and budget to support marine maintenance, where we see some real opportunities using the maximum system to get better information, to improve some processes there, to allow us to hopefully manage costs better within mate marine maintenance
And then finally, environmental, four and a half new FTD, each of the finance of each of the airport and maritime environmental groups have an FTE now devoted to the sustainable project framework
So implementation of that additional noise program coordinator in the aviation side and then on maritime safety focused on worker recovery
I think there's an intern in there somewhere
So on an entire program for the orca
I think they do other things, but yeah
We'll be a democracy reason
I know we're about to have our meeting next month, which I thought we were going to sort of define our level, but that's a great place
All
Yeah, I'm just wondering if I could just jump in for a second
Like whereas the commission offices budget built in
That's it's here
And then there's some there's some additions that are highlighted in the appendix
I can I can
It's actually I think that sustainable fuels consulting I believe was one of the items that was out there was I think 25000 in the commission budget
Another 25000 there in
And external relations
So fifty thousand dollars budgeted for sustainable, sustainable aviation fuels
That was an add to the commission's budget
Ok, we're going to talk about
I'm just wondering where it was developed
You know, with the
Believe your staff help
All right
Right
That's good
That's good
But it'll be nice
We should have, like, I don't know, a discussion about
I saw Mike married here
Mike
Yeah
Well, you know, obviously, this is a
A work in progress
Right
I don't believe that there are no more staff additions in the commission knows this year, but some outside, outside services
You mentioned interns
Can somebody talk to me about the intern budget? Is that H.R
Kim? Link, it's pretty consistent with what's been budget this year
Do you have an additional information? I'm really thinking, yes
I think the overall numbers are consistent
I can I I'm Kim Deborah Knight from Human Resources, the director of talent acquisition vinter program comes under my function, so I don't believe we've asked for any new FTD to support the internship program
We did hire about 150 interns total last year throughout the port
That includes the high school interns, the college and the graduate level interns
So we did meet our budget target and we planned to achieve that goal again next year as well
The question for Steve is are you planning the same number for NEC for 2020 of insurance? Yes
Okay
You know, we'll talk
It has been but it has been growing significantly over a short period of time
Actually, our goal last year was actually one hundred and twenty interns and we've hired about one hundred and fifty this year
So great
Amber Ann Wilson has done an excellent job of enhancing the program, creating some efficiencies, spreading to interns throughout the year
So this year, we are looking at about, I think about 24 interns in aviation maintenance in the fall, in the fall in our aviation means program, as well as our maritime program and some more of the year round opportunities
Yes
And then also we're concentrating on the experience, right
Just not enriching in written rich explorer enriching
Yeah
I would never like to talk a bit about some you know, we focus on some tribal outreach as well
Absolutely
I believe that there is a career fair happening in October that we're reaching that we're we're going out to
We've also worked with the Dome, Mish Valley Youth
We actually we have an intern that was here in the high school and we're asking that intern to be an ambassador for us
So we are trying to do more outreach with the tribes
Definitely
Thank you
So that's a could transition to the
Not only the entire but of our empty
So here's a summary
We start with the 2019 budget up of nine hundred forty point three FTE
And so we have a few changes during this year
As I mentioned earlier, we start over
Libby over 20 year pitfall, again, you can see all the detail in the appendix and then we eliminate a couple of the at T year due to the capital development, the order earlier this year and then the 84 transfer, including 62 for the aviation PMG and 20 for the C pop EMG and two for my engineering department to the aviation maintenance
Those of flight although total 84 transfer over from Central Services
And then we also, you know, don't only to go into detail limited a couple of position that you one is a limit situation and then one budget transfers for the from the marine maritime momento to the stomach to utility and then the proposed 30 find you empty
So that gives us a net of 30 to 50, including the one transfer
So it has to be different from the 33 that you cited earlier that did not include the one empty transfer
So overall, overall, we're proposing nine hundred and six point five, five FTE for 2020
And so here's the tent
A lock it will you a tent for the past 10 year
They teach when compared to their overall total operating
Happy news
As you can see, I should probably mention that the pool line is the empty and then the green bar
It's for the poor PopTech operating revenues
And so you can see the the both of the revenues, you know, is more than going much faster than the empty
We look at the past tenure when the empty annual compounded growth way is 2.5 percent compared to the revenue growth of five point six percent
So, you know, the the the revenue is more than double the vehicle for this 10 year period
I'm not saying I was going to say didn't go ahead
I was just going to add a while of the tenure
Growth rate has been two and a half percent
As you can see more recently, that that is accelerating somewhat
And really, I think that does reflect the growth in the organization
But it's something
It's a trend we want to monitor
And I think it's interesting to see that
I mean, based on this, I mean, I wouldn't
It's just interesting
It's one measurement to see, because I think as I look at this and I look at those different investments, it depends where you're putting those after years
And are you are you adding to your revenues or adding to the efficiency effectiveness of your organization? So we're moving to the capital budget
We'll invite Crystal Sadler up here to walk you through the corporate or the central services capital, which is primarily ICC projects, but also some small projects and fleet acquisitions
Good afternoon, commissioners
Krista Sadler, Information and Communication Technologies
So on this first one, these are
This is just the overall one
And actually, I managed to skip to the next slide, which really gets into more detail here
So these are mission authorized corporate or Central Services, CIPA that we're working on right now and won't finish before the end of the year
I'm just going to highlight a couple of that
We're going to finish in the first half of 2020
The radio system is going well
Radios are deployed and they're installed in vehicles
And we're completing the requirements for the core system upgrade
The other one I was going to highlight was the budget forecasting system
We have selected that system and procured it and plan to have that implemented implemented for the 2021 budget cycle
So this is a fairly long list
Some of these we will have authorized before the end of the year, in fact today you just authorized server virtualization upgrade in a couple more of them will come before the end of the year
But I'll just talk about a couple of the larger ones
The post office Wi-Fi upgrade
We're going to evaluate all of the poor office locations and upgrade a lot of equipment
There is some of this equipment is 15 years old
We're looking for new features, improved security and performance
I mean, that's the big one as well as just set us up for the new technology that's that's coming
And the other one I wanted to talk about is the phone system upgrade
Also aging
We installed that over 10 years ago
We can't get a lot of parts anymore
So with that, we're looking for new features and improved security as well
The third one I want to talk about on this list is the community communication display
Not as much money, but as this came from interest that we got from you and from executives for digital signage in different public locations
And so and I think you've mentioned Pier 66 or 291 or Fisherman's Terminal
So this is just a budget amount that we can work with external relations on to say where's the best place to put some of that digital signage in and then those communication tools
The last slide that I'm going to talk with
Unlike the other slides that were all information technology, these are not all of them, but I can talk to a couple of them
So the very first one, technology infrastructure
That's where we really fund a lot of critical infrastructure and security improvements such as PCI and see just segmentation
We do infrastructure upgrades and the data storage capacity, all that really exciting stuff
And then on the business application side, this is really driven by port operations from all of the different divisions
It includes things like HCM and financials, license licenses, public safety upgrades, and then continuous improvement to some key systems such as the public Web site and contractor data systeMS So that's what we use those those funds for
Could you talk a little bit about both the corporate and this TDD fleet replacement? Yeah, these essentially are you know, we have vehicle pools both at the airport and they're 69 and so over time those vehicles reached their end of their useful life and they really do track the maintenance needs and they make determination
We have a fleet management oversight committee that helps make assessments about when various vehicles need to be replaced as opposed to continued to maintain them
The police also has survived quite a few vehicles
So this is just a forecasted estimate of when we're going to need to replace various vehicles as part of the port's fleet in the port, the corporate fleet in particular
Right
But we've got I mean, there the big budget items, CDE as well
That's right
Which is part of corporate
And we're also going to be looking at they're going to be introducing some new software tool that we say
So they're part of corp
I mean, they're two different iteMS Corporate fleet replacement and CBD fleet replacement
My reading them
Yeah
CBB would be basically engineering groups
And I mean, they're all really part of corporate corporate
But there's that
There's the pier sixty nine motor pool, which is primarily reflected in the in the corporate fleet replacement and then the engineering pool as the CBD fleet replacement
Mr is it
So do we have a goal for MPG hybrid fleet electric here
Is there
And there's actually a whole new sustainable fleet management program being developed, which we've been briefed on
And I am assuming at some point that will come forward to the commission because they really are looking at meeting the greenhouse gas goals of the commission has met before this acquisition
I mean, we should know what we're buying
Absolutely
And then that is part of it
And moving to different technologies
But I think that's informing these purchases
I think that your concern is, are we informed by that? And I think I think we are whether we can talk to the fleet manager and get a report on that
But yeah, I mean, I just don't know that we have to put port policy and we have the cabs
Right
Forty five mpg
Right
I don't know whether we have a specific goal to meet and somebody to track
And I don't know
We only went from environmental zero to wants to because they've been really lead spearheading this effort
And yeah, we are
Mary, our great and broad area with with our new fleet manager that we took on
Last year
Good afternoon, ELIZABETH LEVITT, SENIOR DIRECTOR, ENGINEERING, ENVIRONMENT, SUSTAINABILITY so we do have a Green Fleet plan that we will bringing to you soon
Our general goal is to really pair the right vehicle with the right duty that is expected to perform and do so in the greenest way possible
So we look forward to sharing it with you
And we've really had some really great collaboration with fleet managers this year that is really up our game considerably
And I think you'll be happy with what you see
But more on that later
There's just no, no
We'll use the we'll use the
The plan to implement the numbers
Correct
And this still may be a work in progress
I believe this may continue to be refined because that work is still ongoing
And they're also looking at rationalization so that we're looking at actual vehicle utilization and we're looking at whether we can actually do with fewer vehicles in the fleet overall, which would be a great thing, is to save some money that way
I did want to call your attention to the very bottom line CHP reserves, you may recall it back in November
Commission passed a motion directing staff to develop some new updates on financial policies and particularly create a policy related to reserves and contingencies
You received a memo a number of weeks ago on some recommendations around that will be before you presenting that in public session on October 8th
The particular numbers that were put in here actually pre-date we
These were early before we had to put this
We had to publish this for conversion purposes
These numbers may get modified based on a review of that policy
That hasn't really been done yet
For this particular corporate CHP
But if we make changes, we will call them to your attention
But just because we'll be time with this, I think it's on the 8th
Yes, I know the answer is scheduled
And so I just encourage my colleagues to take a good look at that memo, because it's the question that we had last year, do we have a reserve upon a reserve in addition of exactly, you know, reserves within the budget and contingencies? And it's really important
And we were using the terminology wasn't the same
That tweet was different
Exactly
So now we standardize those between
So not only will you'll see the briefing on the 8th, also you'll you'll see it when you're reviewing the capital plans
You'll see it in that
You'll see how we're implementing it
And our thought processes around it
We'll share that with you, as I'm sure the memo went out
Well, it's a month two or three weeks ago
Yeah
Yeah
So if we can stop this recent, it just it's at the top of their services email list
Thank you
Again, just a summary
I think you've heard this special leave
This is the priority of supporting the ports priorities, environmental and community, stakeholder needs and innovation within the organization
So
If he had any other questions would be happening
Well, I'd like to see on that summary list the intentional effort to do toward
Budget, how shall I say? I'm thinking lean, but actually just being prudent about, you know, the what's the right term for that? Budget
Budget discipline or realize
I'm thinking like that
Other thing that is something
I see it reflected in various areas here and I think it's something that to tout and share as part of
You know what we take seriously the poor
So and I think mine is like a guidance early in the year to that was that they were entrusted
You know, my my message to everyone is we are entrusted, you know, with with very precious public funds to execute in the most effective way we can
So we have to do our budgeting the best that we can to be the most effective delivery of the most efficiently and effectively the delivery of those services and our capital prograMS Thank you
Well, I just remind everybody, we're doing adopting the 2020 budget
About a week and a half early this year
And so that means that normally we would do it the Tuesday before Thanksgiving, but we're going to do it two weeks before so everybody doesn't have to work up until the Tuesday before Thanksgiving
You're welcome
But that means that we're going to all have to take a good look at the budget a little earlier than we normally do
Right
There's a lot coming and we know
But that's good if I look back
I was just reviewing our our capital investment or a big review last year took place on November 7th
So we are starting a lot, lot earlier on the whole process
And just a reminder, again, you'll be getting the preliminary budget document on October 22nd
Three weeks ahead of first reading, as is our policy or practice
It's great
Thank you
Just to reiterate that, I just spoke with Commissioner Bowman that the commission office budget is a draft document
Everything's a draft, right? But I mean, it just hasn't been circulated yet
OK, thank you
Thank you
I just want to ask, do we want to take a quick five minute break? We have three more
I'm sure we're in
Take a five minute break
Thank you
Good afternoon, this commission president, Stephanie Bowman, reconvening the regular meeting of September 24th to order the time is three thirty eight
We're moving on to
I think we've got a couple of briefing
So neither item nine B
Item nine P is the twenty nineteen Port of Seattle
Affirmative Action Commissioners staff will present the results of tracking our employment demographic demographics against the bill below the qualified women and minorities in our region
And this is just one measures we look at equity issues is just one measure that we do on our assessment of that in the present disaster
Cynthia Alvarez and Sanders male
Good afternoon
Executive Director Metric
Commissioners, my name is Cynthia Alvarez
OK, no worries
My name is Cynthia Alvarez, senior manager of Employee Relations
I'm here today with Sanders Mayo, senior employee relations consultant
And we're here today to brief you on the 20 19 affirmative action plan
As a federal contractor, the port creates an annual affirmative action plan
We do so to ensure that the number of women and minorities in each of our EEO job groups is consistent with the availability of qualified women and minorities within the mine or excuse me, within the areas from which we typically recruit and hire
And that includes King Peers and Homage Kids App and Thurston counties
I forgot to move forward with
Our affirmative action plan also highlights our commitment to recruit, hire and retain a diverse workforce
We see this in the work of talent acquisition, the outreach that they do to increase the diversity of our applicant pools
We also see this commitment in our talent development programs such as the internal internship program, Mentoring Everyone, Everyone, Mentors or meme program
Tuition reimbursement program
And we also see it in front line leadership, linked leadership
Our Vets Fellowship program and our employee resource groups
It's like our six previous plans are 20 19 affirmative action plan has no underrepresentation of women or minorities in any of our 15 EEO job groups
Think that down just a little bit by what you mean by that
No underrepresentation
Well, to determine that and we are going to handle this blame availability and utilization in a moment
But the the test, the statistical test that we use is the exact binomial test to determine the statistical significance if there is a statistical significance between the actual number or utilization
The numbers of women and minorities in our job groups against availability
And I'll explain availability in a moment
OK, so
So we have no under representations
And as a result, we did not have to set any placement goals as part of our plan or 2019 affirmative action plan
Another key result this year is that my colleagues and I in H.R
completed a NATO compensation analysis looking at our 2018 pay data
Our analysis found no disparities, no salary disparities due to race or gender
Our analysis did inform a decision by our H.R
senior director, Katie Gerard and Tammy Woodard
Our Total Rewards director to engage a consultant in 2020 to begin to begin a comprehensive review of our compensation program
So going back to availability and trying to figure out what is it that we look at when we actually determine whether or not we have an underrepresentation of women or minorities in any of our job groups, we first look at we first review availability and utilization because that's the lens we look through
We look at our data availability is an estimate of the number of qualified women and minorities we'd expect to see in any job group
It's expressed as a percentage of the number of qualified women and minorities within our recruitment area from which we typically recruit and hire
And again, that's King Pierce Snohomish Kids App and Thurston Counties
We also look at the number of promotable, trainable, transferable women and minorities within our port workforce
So once we identify availability, we use that as the benchmark, which we then compare utilization
The actual number of women and minorities in the EEO job rate
All right, so so your qualifying it, buy this as this estimate of what is actually out there
So if you just look at the demographic of the poor, even though it could be biased if it says it's controlled for by what is potentially out there
Yes
Right
And then we do a disparity study in a semi regular basis that I thought
Showed some level of not this level of equity that you're representing, but yes, what we're using are the federal guidelines from the Department of Labor, specifically of CCP, the Office of Federal Contracting Compliance PrograMS We use the most recent census data in this case 2010, and we calculate again that availability externally in our recruitment areas and we add our internal availability or utilization
What what do we look like already in terms of women and minorities within each of our EEO jobs? But just a quick point
I think to measure Bowman's point the correct me if I'm wrong, but the disparity study looks at contracting only
That's only with contract, right
And this is our employees
Correct
OK
There is this effort
Thank you for that clarification
All right
So
We look so within utilization analysis go that way
Yes, that's it
With with the utilization analysis tells us whether or not the number of women and minorities in our job groups are within a range of what we would reasonably expect to see a given that benchmark again, availability
And that, again, is what we look at, what we use is the exact binomial test to determine if there's a statistical significance if there is
Then we would set a placement goal that does not
A placement goal is compliance
Do we meet the standards identified by the Department of Labor? And yes, we do
Those would be different than what our diversity or equity goals might be
Let's see
So, again, our utilization analysis shows we have no underrepresentation
And again, we do not have
We did not have to set any placement goals in this plan
Just a quick question there about that
That analysis doesn't include the senior management positions
Yes
So as a category or is it by division? Do you look at the number of placements in senior management positions? Yes, we do
And we'll see here in this table
We have all of our EEO job groups spread out
So we're able to see availability and utilization across all of our 15 EEO job groups
The officials, administrators job group is our top level of leadership here at the park
And it's broken up into three specific job groups
Good thing you don't include commissioners
You're not included
So this table here again shows availability and utilization
We've highlighted in blue those EEO job groups where we have successfully increased the number of women and minorities since our 2018 affirmative action plan
Highlighted red are EEO job routes, where we see the gap between availability and the actual number of women of women or minorities is five or more
These are jobs where we want to increase the targeted, focused recruitment of women and minorities with the goal to decrease or even eliminate that gap
You may note that four of the seven EEO job moves highlighted show an increase in women and minorities in blue
Yet the difference between availability and utilization is red
This reflects both the success in hiring more women and minorities and the necessity for us to remain diligent in our efforts to decrease and, yes, eliminate those gaps between utilization and analysis and availability
So those is a pretty good story in the Times about the increasing diversity of South King County and and you were using a 2010 census data
So one would suggest that this would be a
A minimum estimate, right, or an underestimate, if anything
Yeah, or how we're complying
Yes, it is
We are looking forward to the new census and to have fresh data to conduct these analysis
Right, right
So, I mean, if anything, we should be aiming high, right? Correct
So looking at our 20 19 results against 2018, we see we've increased the number of women and minorities in several of our EEO job groups
These successes are especially noteworthy because the officials, administrators protected services and service maintenance, EEO job groups are ones we traditionally and consistently seek to improve the representation of women and minorities
Now I'll turn it over to Sanders to review our workforce demographics against neighboring parts
So last year during
Last year during this presentation, the commission requested comparables, wanted to see how the Port of Seattle compared to other ports in the northwest region
Unfortunately, we weren't able to find any ports that were the same size as us
As you can see, that the largest port in terms of size is the port of Portland with 740 employees
But when we compare those demographics across the board, we'll see that when it comes to gender, we are comparable to how the other agencies, other ports are performing when it comes to gender
We'll go to the next one
But then when we look at to how diverse the ports are, when compared to ethnicity, we see that again in this situation
While they're not as large, but the Port of Seattle is much more diverse
When comparing ethnicity
Now, again, this only takes him in, can indicate consideration the demographics, not availability or any other factors
This is just comparing the workforces
You know, give it back to Sylvia
OK
Isn't the Port of Vancouver closer to our size than Port of Portland? It's being watched
Oh, it's a whitewash
Vancouver, Wash
Never mind
Yeah
We stayed within the within the country
All right
So looking forward, we remain committed to the critical work by our colleagues in talent acquisition to engage in targeted recruitment of qualified women and minorities to join the Port of Seattle
We also recognize the importance of talent development for all port employees in order to help prepare them for the next step in their career at the Port of Seattle
As we engage in the work of employee relations across the organization, Sanders and I remain committed to the consistent and fair application of all H.R
policies and functions for all poor employees
And finally, we look forward to collaborating and partnering with book that Geithner and equity, diversity and inclusion to make equity and diversity an essential and consistent part of our operations and our workplace culture, culture
Thank you
Jeff Steinberg, I just I just think this is very commendable work and I especially appreciate the transparency that you've shown here with regard to these important areas of our workforce and the manner in which we are able to track progress and representation
And in each of these areas
So if what they say is that what gets measured matters
So I think you've done very well in this effort in terms of identifying where we have work to do and where we're making progress
That's really good
I think it's commendable
Thank you
And I just echo that that I hope that I know that
Kim, you mentioned hopefully this will be part of our budget item
It may not budget item work plan for 2020 is really a big focus on a more diverse workforce and recruiting that
So we're looking forward to that
And I mean, it's good to know that we don't have that we're doing okay, but we can certainly do better when we're compared to King County and the city of Seattle
But that said, our workforce is much different than theirs
They don't do this sort of worked at the ports do so
Commissioner Kelly, to that point, I don't know why we wouldn't look at other states
You know that this is looking at the demographic of L.A., Long Beach or, you know, New York, New Jersey
And then doing that analysis within that context is its port like work
That's our challenge in terms of getting folks the diversity of folks interested in this type of work
That's our that's our bar
That's why we probably lagged behind King County and Seattle
And the other piece, though, is looking at what's available quality, infill availability of minorities and women in different geographical regions and then factoring that in in the analysis
Right
Controlling for that
Correct
But don't you think that other big port cities
We should be able to potentially do that with those data not of available
I think it was that idea to review that data
Absolutely
I think maybe the bigger question is maybe this is something for a P.A
and a C.I
that we could take forward
And if we could show we're really we have these gaps, gender and ethnicity in different areas
And how can we writ large as a port community focus on recruiting more women and minorities to the industry? So I think it's probably more to national level, but I'm going to be going to the AARP National Convention next gen a couple of weeks in
Happy to help bring this up
I think that would be great
Right
You want to increase the availability? Yeah
And that stuff
So we have to do it for both sides
Recruit harder, but then increasing the availability from that side
All right
And what we've been finding is like the visibility
Right
The fact that these opportunities exist
And that might be a big part of our way to improve that
Yes, absolutely
And that's why we are very much linked and committed to the outreach efforts that with our talent acquisition team to focus the again, that focused outreach to seek out those those communities, women and people of color, to be to come to the party at
Of the questions I have is when we have attrition of employees who are in one of these classes, are we making an extra effort to ensure that we get statements from an exit interview? That kind of data point, I think would be helpful to understand it is
Is there anything about the culture we've created about, you know, things that we can change that would have changed? Change their mind would have been more likely we would retain them
Yes, we have
We have, of course, an off boarding process that we follow that does include exit interviews for those employees that request them
We do
And if it happens that we do have those things happen, we do gain valuable information to use to try to address any issues that they're leaving or to address issues in the moment so that they don't leave
Well, absolutely
And is that type of analysis included in any of these considerations or no severance? That's a separate thing
But it's not part of the affirmative action plan
It's definitely part of it in the sense that we
In order to retain women and people of color, I mean, because we can hire
But if we do not create that workplace culture that allows that sense of community safety purpose, where we're going to have people coming in and then leaving
So it is it is in that sense part of the plan that we want to make sure that we create that workplace culture that's welcoming, inviting and that is committed to equity, diversity and inclusion
So, yeah, I just I would just advocate Katie Girard, senior director of Human Resources, since I've joined the point part 10 months ago
I've certainly had people reach out to me who aren't leaving and have specific feedback about our organization
And so I've definitely taken that information into account
In addition to that, we're always looking at our engagement survey results and our what we can do to make this a more welcoming part
And so we're constantly looking at ways to do that
And we've got different strategies in place to make sure that we are providing the services and the programs that will hopefully retain all of our employees
And I think just to kind of editorialize a little
One of the things that I think we need to understand is that if a if a workforce has been predominantly white and male for a long, long time, then the default culture in a place will be the thing that is most comfortable to white males
And so therefore, if we are going to make a workplace that is comfortable and safe and inviting and that increases retention for people of color, white males need to understand that that default is no longer going to be the thing that's most comfortable for them
But that's in a hundred percent comfortable for everybody around them
And so there is a little bit of a push poll there
And a part of it is preparing the current workforce for changes that they may at first not be comfortable with
And so I hope we're thinking about that as well
We are actively engaged in that
I think book Dad and I are working really hard with the leadership team to make sure that we're doing that effectively and having all sorts of really tough conversations and to make sure that we are advancing in a really productive way to support exactly what you're suggesting there
And just an anecdote
I was there was an article that I think I may have shared with you, Katie, at one point, but that the study had come out about the the temperature that is results in the greatest productivity for staff
And the default had been something like 68 degrees, which happens to be scientifically the temperature at which men are most productive
But for women, it's in the upper 70s
And for the overall, if you have a perfectly balanced workplace, it's in the mid 70s
And so there is a obviously a historical predominance because men tend to be more productive when it's cooler to just set it at that cooler setting
And what men need to understand is they need to come in shirtsleeves instead of coats
You know, we also have the great benefit of our employee resource groups and our DNA council, which really helps inform leadership in terms of some of the issues that are present in our workplace
And so we have great vehicles to be able to have these conversations and and make positive change
So we're in a good position
Thank you, Katie
When did you have another question? OK
One more we have two more briefings
I think it does shows that we know for our greenhouse gas goals we should just stay with the male biased ratio because we like colder weather, right? No, no, no, no, no
In the summer
No, I blew my own show
OK, thank you very much
Bay, appreciate all your work
No
Item nine C is the Sustainable Project Framework Briefing and Recommendations
Commissioners, this briefing will provide you with findings and recommendations for advancing the port's environmental sustainability goals and objectives through projects in both maritime and aviation divisions
Presenters are, I see, Aaron Pritchard and Leslie Stanton in Paul Meyer
Good afternoon, commissioners
I'll just give a quick background about how we came here today
The policy out of commission in January 2016 unanimously chartered the Energy and Sustainability Committee, which was chartered to propose policy directives to guide the Puerto SALES greenhouse gas emissions reduction effort and to focus on energy efficiency and energy and alternative energy generation
One of the first policies proposed by the committee was to create more aggressive, short, medium and long term GHG reduction goals for the port
And we aligned our baseline with our other regional governments and the commission adopted these goals in April of 2017 to help meet these goals
New GHG reduction goals
The committee on December 19th, 2017 directed staff to develop a sustainability framework
The commission approved that and the sting and we came out with the Stability Project Framework, which is intended to advance energy and sustainability in issues at the port and to reduce greenhouse gas emissions
The price of the Sustainability Project Framework is also intended to increase transparency for the public and for port leadership regarding regarding GHG energy related decisions on port projects
We reviewed a draft policy of the draft of the policy this morning with the CNS committee and we'll be seeking comments and inputs from other commissioners and port wide over the next month
Most of the elements in the policy you will see are included in the presentation today from Leslie and Paul
An introduction of the policy is scheduled for November 12th, with adoption scheduled on December 10th, giving us time to get plenty of input
John? There we go
Leslie Stanton, sustainability manager for SeaTac Airport, and Paul Meyer, senior manager, Environment Maritime Environmental
So good afternoon
President Bowman, Commissioners and MR Metruck
We are presenting our initial findings and recommendations for the port's Sustainable Project Framework Initiative
Our presentation today will summarize the research and findings by staff and consultants, which led to the development of the port's specific sustainable design framework
We hope to briefly highlight the processes developed to incorporate sustainability during the pricing and design of capital projects and define the next steps to implement this new program
A recommendation from the Portland Environmental Sustainability Committee, as Aaron has already said, was to consider sustainability principles when decisions regarding energy use
The commission expanded that request to include all capital projects
The sustainable principle goals identified by the commission to be considered when making construction decisions are thoughtful and inclusive of sustainability principles such that development will meet the needs of the president without compromising the ability of future generations to meet their own needs
A secondary goal of the framework to develop documentation, including reports and measurements, to understand the value and the costs of sustainable development in order to make informed decisions
We had many findings that were only going to be able to just touch on a few of them
We initially formed a comparative analysis of different environmental rating systems used by ports throughout the United States and from the list of these commonly rating systems analyze their applicability to a wide range of port capital projects over the five year period
We looked approximately 500 ports are 500 projects to 550 projects, and we also reviewed King County and the City Seattle Sustainable Programs for approaches to their projects and to especially first some of their smaller projects
As you can spot questioner in your survey of the use of rating systems nationwide
Did you also survey those that have actually actually utilized a rating system versus those that don't? Well, yeah, I think we we you know, there's other documentation that we did
But, you know, the one of the first things we did is as we we looked at particularly at what ports do and which ones that they do use
And but we were concentrating at least on this slide of what ones make the most sense for us
And I think that's a slide in the back of your deck that shows that the number of different ports that we looked at and what certifications they were clearly using mostly focused on lead and which went what level of lead they were using
It was interesting, I think and I'm very enlightening to see who was pursuing what
I think for the lead certification, it is important that we adhere to that directive, that we want to be the greenest, most energy efficient port in North America
And to do that require some comparison
And we felt like LEED was there
It's it's got its issues
But I think it is very relevant to the kinds of projects that we do
And I will also say if other ports are using it for their large projects, we should be as well
I said I think you can
You know, just by glancing at this chart that you can see that through the comparative analysis that, you know, there's three programs with the highest applicability to port projects
Lead is particularly good for new buildings and vision, which is good for site development and infrastructure projects like runways, piers, wharves and salmon
Salmon safe is particularly useful in this particular area because they emphasize sites of elections and systems that could impact water quality in the interest of time
We can't report on other findings that went into the development
The ports plan for sustainable design
I think it was key that we at one of the efforts that we put on early was interviewing staff to, you know
And we found that there is strong support for sustainability in the century agenda goals
But they are very concerned about applying either a complex system
They're worried about the additional costs and the time needed add to analysis
And they want to make sure that they would have training to implement such a system
So I just before Leslie launches in, you know, these solutions that we're proposing maintains our flexibility
We hope delivers the sustainability outcomes, improves transparency of planning and builds on our existing knowledge and systeMS Leslie, thank you
I think that gives a good overview
Zero
That was great
Yeah
Just before I launch into that, we're gonna give you today is just the key take home messages of what we're recommending for this framework
We have a lot of extensive data and analysis that we did, which some of which was provided to the Energy and Sustainability Committee
But we're just focusing today on what's the take home message and why
I will just add that when we did the reviews of the other ports, we also looked at we did a deep dive on a couple of ports and what they were using for their construction design prograMS So we looked at SFO
We looked at Chicago
We also looked at the port of New York, New Jersey and as possible, so that King County and what I was struck by when I interviewed the folks that were implementing those programs and their sustainability people, they had strong support for the idea of sustainability
But applying it to every project became onerous and they were really uncertain as to what benefit they were getting
I was also a little surprised to see that for some of the organizations, they weren't tracking their long term greenhouse gas goals if they were getting reductions or their energy
And those are our top century agenda goals
So for us, the the work here was to say, what is it that this port is most interested in and how do we design a very efficient program that gets us the key sustainability areas that we're looking for in a way that staff can embrace and move ahead with
So we were very thoughtful in how we applied LEED
We didn't apply to everything
I'll get to the system in a minute, but essentially when we said what are the categories that we want to focus on, this is our top list here energy, air emissions, transportation and mobility
We just finished the ground transportation access plan
We have a new policy directive
We're implementing prograMS We want to be able to ask this of new big capital projects
What is your plan for helping employees get to and from this site? Is there anything that the project can do to help transportation, water, obviously potable and stormwater waste materials? We'll get to that in a minute
Habitat continuing to focus on that and also resiliency
It's not enough to be focusing on just reduce their greenhouse gas emissions
But we recognize that having new energy systems and ones that are resilient, we're also an important component from a number of commissioners as well
So it's just a quick question or comment maybe from my colleagues
Where's our scorecard? It is
Well, it's posted on our Web site
We do we do do updated every year
We've sent it to the commission
We do a six month environmental memo that supports it
And we have attached it to that at times
Would you like to see more of a briefing on
Well, I think I mean, I just sort of was expecting that as part of this
We might see this is where we are when we started this a few years ago
You know, it's annual
That was the purpose of the scorecard
Right
A very, very transparent about both our accomplishments and then our opportunities
And I've always been to the place where what are the really big things we can tackle like sustainable aviation fuels that are so much bigger than just some of the smaller projects which are wonderful
Now I take away from solar panels on buildings
But, you know, if we could make progress on sustainable aviation fuels, that is a game changer
I agree
And I think when you see the scorecard and when we start to implement these broader initiatives, you will see those reductions as they come on board
But I think the question is, are two, which of these projects would have a big impact on those emissions? Those key things
And then you would see that in the scorecard and we can also adjust it
I think part of the policy framework that we're talking about, the Aaron's been drafting includes some annual reporting back to the commission, into the organization to say here are the projects that we pursued more rigorously in terms of sustainable framework in construction
OK, thanks
Sure
You're following me
So, I mean, I think that's the reporting out part is the critical part, right
You set a goal in work to see how we've been doing over the years
And when we come confronted with a project that might be seen as a little heroic on a normal year may be seen as appropriate if we were slipping in our goals from previous year
But so I don't want to be at the end of the year and found that, you know, while we blew that one, you know, I would be kind of irritability get like a certain point in time while we still have projects to approve
How are we doing? So
So the way to integrate that scorecard sort of is interim steps makes a makes a lot of sense
And I just recall, like, you know, like in California, where they have where they're out of compliance, you know, they're up against well, they're not doing it out of the Netherlands that we're trying to do here
But, you know, there are really good plants
Oakland's plan and L.A
Long Beach has plans and there's quite a bit of a fleshed out strategy
And I'm just wondering, you know, you sort of compared these to ports in particular on there, you know, lead
And I'm just concerned that, you know, lead is not the metric leaders, but one
That's right
That's right
And we want to focus our resources that are limited as we've just gone through the budget
We want to be efficient and we want to work on things that matter
So, yeah, I think that's part of our ah ah ah tiered process that we'll be presenting
I can provide it in the next slide if you are ready, but not to quibble
But when it comes to buildings though, LEED is the predominant measure of achievement in many of these environmental categories
So we don't have anything else
So
Well, I'm just about operational
I mean, I think I would like to see sort of like like, you know, maybe how does the Port of L.A., Long Beach or Oakland just approach their overall sustainability goals? I'm sure LEED would be one of them, but it's not like we're only looking at how to build a building
That's right
And I think we have other initiatives, our greenhouse gas emission reduction strategy, things like, as we discussed earlier, renewable natural gas, renewable diesel, other strategies for reducing that and our car fleet that we're going to go by
Right
So let me just address this issue of of where we'll reapply lead and how would we look at sustainability through all of the pork projects
And as Paul alluded to, we screened
We took a list of our capital projects and started evaluating them to see, first of all, which ones would apply to which certifications
But also we looked at to see, well, if we could screen projects and figure out which ones we would have the most sustainability opportunity
We divided them into three different tiers
There are smaller projects that are routine
These are things like painting or replacing carpet or things that usually tend to be lower budgets, but don't have a lot of opportunity for huge sustainability gains
And that we think we can take care of through our standards
Then there's the next tier, which are kind of medium sized projects where we think we have some opportunity for significant sustainability benefit, but they don't really qualify for a large certification system like LEED and it might not be worth it to even apply it because the sustainability benefits are fairly directed
And then there's the large projects, things like IAF nor satellite, those large, big buildings that we know we want to pursue a full blown sustainability certification and LEED would be the one that we would do
And in addition, we would set some additional sustainability goals that are directed and focused on the century agenda and the categories that I described
So, for example, greenhouse gas, we would measure that in something like in our satellite or IAF
And we've set some project specific goals
So I'm just going to convert next into how this translates into procedures so that the commission can know what they can expect to see
How does this translate into creating more transparency for you? So after we hear the projects, which happens very early in the in the in the project design review process, this is when a project first comes on board
It's called an intake
Our staff would screen that when we did this initially about last spring to test and see how many projects
About 80 percent of our projects were Tier 1, but 20 percent were Tier 2 and a few a small percentage of those fell into Tier 3
Once you get into a tier two or Tier 3, we would work with the project teams and the sponsors to conduct what we're calling a spark and committee review, which is the Sustainable Project Assessment and Review Committee, or if you're going to add a spark
This would be bringing together subject matter experts and folks that are familiar with the projects to figure out what would be some sustainability options and strategies we could try
Those would be drafted into something called the sustainable design approach and that would be presented along with the request for design funds to the commission and you would get a chance to review that
Once the project moves forward and design, those sustainability approaches would be evaluated in a systematic way
We would do analysis on them
We would look at the sustainability benefits and we would look at the costs of implementing that
So that would come through in the design
And then when the project comes forward for construction approval, that is sustainable design strategy with that information would be presented
So a good example of this and sort of an example of a tier two would be something like the stage three mechanical H fact project that came in front of commission a couple of years ago
Some might remember that that was where it was
It wasn't big enough to do a lead certification on
It was just replacing some h vac systeMS But there was a very significant sustainability benefit by doing it that would normally have been ruled out because the return on investment was not positive
It was negative
That was an example where we showed the sustainability benefits
We showed the cost and the the commission ultimately decided to approve the project
So once the project goes into construction, those sustainability strategies would be implemented, tracked and evaluated at the end
And if this project is successful, it would receive some kind of recognition
What's your problem? So
I just didn't recall that this was really going to be limited to construction projects like so when we when we get a question about our energy or whether to buy a gas bus versus an electric bus
Or you know, or whether to install it just strikes me that these questions are especially for uses of fossil fuels, regardless of I just you know, I recall that, you know, we were set ambitious greenhouse gas reduction goals
The commission would be presented with options, a sort of whether a dollar per ton or whatever for big decisions, some of which might be construction
Yes, you're absolutely right
And I think that because of the cultural transformation that we're going to embark upon with the port teams, we want to focus on capital projects because that's real
It's actionable
There's a clear set of choices
I think as we start integrating this into the way we do business, you'll see elements of the framework that get applied to maybe it's an operational decision or, you know, some of the decisions you brought up
But you've got to start somewhere and you've got to get the whole organization running at the same speed before you can really expand from there
So our first focus will be on capital projects and we'll think more in the future about how we apply this
Well, I'm
You know, I would expect that when you're going to come to us with a thousand car purchase, that, you know, I don't expect one of the variables to be Teslas
But, you know, I would expect that we're going to have alternatives that we're talking about buying
Absolutely
Yeah
And so as long as you know and we can have like
But it wouldn't be like leader envision that would we would be applying and those decision processes, it would be limited opportunities for greenhouse gas reduction
I just want, you know, dollar per ton
And we could decide on that project whether we think spending twice as many dollars given the tunnel or something like that
Yeah
And I just expect those sort of analysis to come before us and I get lead might be one of them
But I think we make energy intensive decisions all the time
And I would just echo that
And I haven't had the opportunity to serve on the Environmental and Sustainability Committee yet, which I look forward to next year
But I would say I think some common metric is critical
Otherwise, because, I mean, well, all these different certifications, Sam and Safe and Leader are wonderful
At the end of the day, it's about reducing greenhouse gases
Right
I mean, that's right
What we're trying to do
So I would love to see I know that when we talked about this four and a half years ago, we formed this committee was a scorecard and B, being able to evaluate every single decision with, you know, exactly, as Commissioner Feldman said, what are the tradeoffs? And then we can make the decision about do we spend more to get that greenhouse gas reduction
And then I guess my role in I appreciate is that we have to start somewhere
But Steve, I'd really like us to look at again what are the really big things we can tackle, because a lot of them are outside of our control like sustainable aviation fuels
And yet that would be the single biggest thing that we could do if we could get the airlines on board and have the systems in place
So I want to and when you have a goal like that, it drives your allocation of resources
Right
So we can do a lot on our own, but that's going to be small potatoes compared to what we could do if we partner with others
So and just to get at that point, I think that is spot on
There are a lot of partnership opportunities not get to them in a minute
Yeah, I would say that there is an integration of cost of capital development and operations and a good example of it is the west side that we are looking at right now
So if we're thinking about building and samp as well, we're thinking about future buildings, thinking about these questions ahead of those projects coming forward is the right time to think about, well, what is the source of electricity and what is the source of heating that these new buildings are going to use? What is that? And asking that well beforehand
So when you say West, how do you mean the fire station? Yeah, the fire station
And know we don't ever think about that
Exactly
And that's why I think this would be a good that that is where you would see if we didn't ask these questions before building those structures and went ahead and just made assumptions that what we have now is going to be sufficient, we would have entirely missed the really important opportunity
And I'll just say, well, let me just finish what I'm going to get to the point about
What are the opportunities to reduce greenhouse gas emissions? And given this project and some new tools that we have, they're bigger than we thought
So just move on
So here is just an example really quickly for you
This is a sustainable design approach for one of the projects that we were piloting just trying out right now
These are the five categories that pertains to this particular project
We generated with a pilot spark committee what some example strategies that they might pursue, what would be the expected outcome
And once that project goes forward through design and they evaluate some opportunities here, we will know
Exactly and get at the metric that Commissioner Bowen was discussing, you know, dollars per tonne reduced and how much does it cost and what's the sustainability benefit for it and bringing that forward in a transparent way
So
Sorry, this I didn't realize you've stepped away
Okay, so just to get at this new tool, we talked a lot about partnerships and this was an area that we discovered as we were working on this project
This idea of embodied carbon
So when we bring materials here and we build projects, those materials have a lifecycle associated with them
And they're represented here in this in this diagram where there's materials that are extracted, they're transported to a factory somewhere
This example is around concrete
The factory produces concrete
It creates a lot of emissions
When it does that, then those materials are transported to a construction site and there is greenhouse gas emitted
They're usually in the transportation
So when the building materials arrive, it's the embodied carbon that was produced prior to that material arriving here
But it's still associated with that material
So this has been an issue that's people have been thinking about for several decades now
But the University of Washington has partnered with scant SKA and their I.T
department
It was their architecture school partnering with their I.T
folks to come up with a tool that actually calculates this
So when a material or construct or concrete or building materials, those companies often develop what's called an environmental product declaration, and that's when they evaluate the carbon associated with their particular material
There are a lot of construction companies that have those EPD they're called, but they aren't necessarily used in the calculation
So the University of Washington has created this tool with this partnership to use that information
And you can actually put in your location and it will tell you a list of producers and the embodied carbon associated with that material
So we feel like this might be a really terrific way for us to actually send market signals for lower carbon materials
Microsoft trialled this on one of their buildings and when they went out for bid, they just said they wanted materials that were better than the industry average
And if they had two bidders, one got a 12 percent below the embodied carbon on the industry average
The other one got 30 percent below, which is a significant reduction
So I don't have specific numbers to share with you, but the numbers that we were looking at initially, there are some very significant carbon reductions that we can get by using this tool very strategically in our construction projects
All right
I think it's very interesting on that, too, that the the Northwest Concrete Association has asked to have a meeting with us next week
And I they are familiar with this and they're probably going to be talking to us about, you know what, you know, what products can they offer us? So there's already, you know, being the bit, you know, this is being visualized in the industry
And I think, you know, it will help us meet our overall goals by returning to the mundanity here
You know, this is going to cost this is going to you know, we're going to need people to track projects through development reporting to the commission, develop new sustainability ideas, performing carbon and energy calculations, and in general, being the point person for implementation
Of the process of the process, we're proposing two positions, one each and maritime and aviation to support the projects
We hope to keep costs down through the hearing system where we know where we're putting the amount of work and effort commensurate with the size of the project that we think and what we think we can get out of it
Finally, there was a concern and there is a concern about additional costs are going to encumber projects, encumber projects during the development of the alternatives
Although we have know great subject matter experts and new staff dedicated to the implementation who can shoulder much of the burden, additional preliminary design costs and data to support some things like lifecycle cost analysis may be required during feasibility and design
Planning systems will need to be developed to integrate this cost into project deliberately
Luckily, by utilizing this system of reviews, many common projects can achieve high sustainability standards with common approaches
But the fact is, is that we're anticipating that there will be some, you know, time and effort and money that needs to be spent during prior to even bringing it to you
Touch that
We can at least identify the alternatives
And these are gonna have to be rolled up into the project cost into design and funding
The schedule is, as we're hoping to revise the framework according to feedback that we're hearing from people and on staff as well as from the commission
We we want to finalize the guidance documents by the end of the year
We want to look at the different pilot projects
And as Aaron stated, we'd like to, you know, bring forward a policy statement as this affects our processes
Staff has been testing some of these concepts, but the implementation schedule still anticipates a first quarter rollout of procedures with the first year designated as kind of a learning year
And like I said, we anticipate the policy will be developed with commission and we look forward to implementing the framework in the coming year
Any questions? Sure
Well, I just wanted to urge that this not be driven solely by carbon emissions and climate protection objectives
That clearly is the dominant driver and the imperative
Nobody quibbles questions that
But there are other aspects of this that I think are or there are co benefits or benefits that go beyond just reducing our emissions and tracking that
And I would suggest a waste water quality
And when waste or two examples of that, as is resiliency and resiliency is more about protecting against the environment than protecting the environment
But it's it's it's related to those those same objectives
But it is to evaluate when we're more spending many millions of dollars to renew our capital of infrastructure and port is critical infrastructure to the region that we assess our ability to rebound
And in the under an event of extreme proportion, which you're seeing increasing lead these days, whether it be earthquake, wind, water, sea level rise, temperature change, etc., all of those things
But it's prudent to be anticipating that we're living in a changing environment and we need to have the ability to rebound and to resume operate operations, particularly at our critical facilities
I would also suggest that implicit in this is, I think, community resiliency at health that these goals support those areas as well
And I haven't heard much mentioned or any of those particular areas under under that criteria
And I really think this is a great direction that we're going here and has explained a lot for me in terms of questions I've had about how we're making decisions incrementally and that we have
That's at least draft framework for for analytical and methodical way of advancing
Are all of these goals
Thank you
Now, I would just piggyback on that and say in the briefing that we had for the NSC committee, we referred back to page three, side three on here
I think we can bring that at
Which was the original commission directive, and Commissioner Steinberg, I think some of the very issues that you raised are delineated there and should continue to be the guiding principles for you all
I had made mention of the wanting to make sure our policy reflects the environmental justice consideration
I appreciate your thoughts on resilience
And I think, you know, we talk a lot about GHG, but historically the port unfortunately has been a significant contributor of local air pollution impacts and there have been great strides in the last 20 years
But there's lots more work to be done on that area, too
I'll just comment on that
We we did do pilot projects as we were directed to and we did attempt to address the race and social justice issue because it was part of our directive
We did, but it was not here yet
And so we're working with Tracy Patterson, who was fabulous
But what ended up happening as we grappled with this issue, we didn't know enough about it to really feel competent
And it was pretty clear that there was a lot more conversation and program building that the port needed to do before we could really add value there
So I definitely think this is obviously very, very important to this
I would just ask that as our new programs roll out, that we become integrated with that and become part of that
I think the evolution of the Northwest Ports Clean Air Strategy is a great example of the way we were previously just doing like mass balance of different pollutants and this particular iteration
If this person feels better, we'll be looking at trajectories of where those pollutants go
So looking at community exposure, not just the volume of the pollutants
This is one of the clear ways that we can get to to that disproportionate impact
QUESTION But in light of the construction analysis, I mean, this might be a particularly good time to be focused on the construction issues given our incredibly ambitious V.I.P
So immediately before us gaining that expertise on how to look at this is a great place to focus it
Just like I said, you know, renewing a fleet or that's just, you know, too big an issue
Whether we buy electric or buy something fuel efficient, we really need to bring those independent of whether they're construction
So I just urge that we
It makes a lot of sense
I mean, so I think more than ever
And when we talk about a learning year, I mean, we also don't have the luxury of waiting too long because these decisions that, you know, Teen 91 Uplands or Fisherman's Terminal or, you know, how many more buildings that seat that, I mean, there's just an enormous process of in front of us that we have to start embedding this thinking A.S.A.P.
I think you'll find that first things like fisherman's terminal for things like Pier 66 Shore Power and even looking at the principles that the commissioners put together for Terminal 46
I mean, those embedded in in the plans for that, that will be carried either by lease and or by using this sustainable evaluation framework
You'll see
We will be able to report back significant reductions
Should we include shore power, for example? I mean, those those are those are reductions that will that will add that have environmental value that we'll be able to tell you it's cost in it
And you know, and, you know, in cost per ton
And and they're significant
You know, you're you're talking instead of a few hundred
You're talking thousands of tons per year
So I guess just in the memo, maybe the final thing and I would agree with Commissioner Steinberg, it's not the only thing
But, you know, my arrival here was a question is whether we accept any oil and gas related projects post shell
Now, where do you draw the line? And this this evolution towards looking at responsibility for our own emissions was really the alternative path for the organization to take
And so I really see that, you know, might my take on it was reduced GHG emissions and increased energy system
Resilience is the number one bullet in in the course of doing that
You do it in a way that protects public health, advance innovation, leverage partnerships, local economic development and social equity
I mean, so it really seems to be the
The driving goal
We are obviously not winning the climate battle here
So if we don't make that the driving force doing it in this way that has all these CO benefits and are clearly part of our decision thinking
That to me is like the emphasis
So I am and that it shouldn't just be limited to construction, but it's a place to start as one
That's kind of explicit in here for those future commissioners to know
Thank you
I know we need to move on here because we're gonna get out of here by 5 no matter what
But I just wanted to ask, since Commissioner Feldman and Calkins are that our Committee on Energy in Sustainability, if we could get again just a rehash of the scorecard
What the big goals are and in what big projects are helping achieve that
And I think, Paul, your point about Shaw power is a very good one
That was a very big investment that we're making at T Five unsure power
And that is going to go a long way
But it would just be helpful to see some of these steps, the big ones and the small ones
But again, you're not going to know how you're progressing unless you have a specific goal and you measure it all the time
And that's not a building
Yeah
That's not a building exactly into
Commissioner Steinberg, great point about water quality as well
Huge, huge concern in protecting Puget Sound and cleaning up Puget Sound
And so we just have so many different areas at the port that we touch on these things
And so I'd like to understand more writ large what we're doing
That would be very helpful
Commissioner, if I can just chime in here and some of the some of my bigger thoughts beyond I think that one of the things just don't total alignment
What I'm hearing here is that one of the things is that this is decision making and this is a great list
And actually this list grows beyond primarily sustainability
When you get into these things and I think there's other things in here that we need a framework that I see this growing into a framework for decision making that covers multiple things
And not just this
You know, we talk about advance race and social justice
That's much different than environmental justice
So this is a framework for making decisions
And I kind of view that in the second thing, the charge to making as we make every decision, you know, there's other factors in here, two elements of this that I take that work on as being part of this
This is an important part of that, but it's only part of that
The second partisan, this is also not stand alone from capital delivery
I have other ideas for setting process to improve capital delivery
Sustainability is an important part of that
You know, it's also like when you're designing something, you got it
You have to have these measures in there when you're designing it
How about employee safety? You know, how about how about the other factors are making doing it? Other factors delivering it in the most efficient way possible saving money in those sorts of things
So capital delivery, this will be baked in the part of that overall effort to deliver capital delivery in a in a better man or going forward
And then
But I think this one of making it a decision making that we do the equity, these are really equity issues, because I think as we look at the equity lines, this is part of that as well
But, you know, there's other things I'm on
Wages are going to that to, you know, quality jobs works into that
So that framework is decision making
And I take that work on to do that
And resiliency
Sure
Stanbroke, I have not forgotten that that is something that we're continuing to work on and we'll build into our plants as well
So that's it
Thank you
Thank you so much
Thank you for all your work
Appreciate it
All right
One final briefing
Last but not least
Thanks, Tommy
I think we should go
Item ninety is the Port Wide Arts and Cultural Program Policy Directive
Commissioners, this proposal would replace and expand upon the current art program, policy and guidelines that address addresses, funding, programming, public outreach, conservation and cultural programming
Presenters are Tommy Gregory and Pete Mills
Thank you, executive
Commissioners believe your time
Okay
Thank you, Commissioner
And the executive
My name is Pete Mills
I'm a commission specialist
And with me today is Tommy Gregory, the senior manager and curator at SeaTac Airport
Today, we're introducing the Art Program Policy Directive as a briefing
This takes advantages of opportunities that were identified by Commissioners Bowman and Steinberg as part of their role on the oversight committee
We've discussed this draft policy with commissioners, the executive executive leadership team, legal members of the community
We've even have a variety of letters of support that are coming in, including someone from representatives from Pratt Arts Center who is also an artist stoning to and galleries, the Microsoft's art collection and the Allied Arts Foundation
They're all very supportive of this policy
And as we move forward, I'd like to submit these to the the those letters to the official record
The item is scheduled to be introduced on November 12th for adoption on November 19th
And we hope to have plenty of time for questions to be answered between now and then
And there's plenty of time for input
But first, I'd like to talk about why this is important
The why is kind of the base behind everything that the commissioners felt this need have
Why did it have to happen? So, Art
All of these projects, all of these kind of tenants to this policy build upon some of the opportunities that we have in that art can provide
It's it's a vibrant, vibrant program is not just something to look at
It's more than just that
It connects people to place
It's a stimulator of the economy, particular local economy
It reflects our values
And if we do it well, future generations will see that we're good stewards of of public assets
A little bit on the history and where we came from in 1968
The Port of Seattle was among the first art programs at airports in the nation
Remarkably early visionary efforts of commissioners and community members
Back then, it progressed to to throughout the year 2000, where the port established a 1 percent for art acquisition policy
So that's 1 percent on capital projects
And that was so profoundly well received
This was early on
Tommy was mentioning that Houston copied our language verbatim
So not only were we early, we were a trailblazer that was copied by emulated by many others
We in response to the economic downturn in 2008, the commission decided to cut that 1 percent on capital construction in half
And then they also added some exclusions
Projects that were not included today at the airport
We, as you know, have 50 million customers
We have our program the size of many museuMS We have a staff of one who is Tommy and our intern, Irene, who just just had to go
So she she's an intern
So she was here but gives her best support for the program
The management, though, has been done in a remarkable way, both at the airport and at the seaport
And that's thanks to a few few people, particularly Nick Milo's Melinda Miller
Kasey Fritz
And then Colleen MC Poland, who retired earlier this year, was instrumental in working in in her combined inner capacity
So the next slide we talk about is
Let me let me say not quite that one
But there is a slide that demonstrates where we rank
Not this one in particular, but there is a slide that looks like this that I apologize
We'll make sure gets in the it's on our slide that it is OK
OK
Good
Which so
So the
Yeah
I apologize for the
We'll make sure that gets corrected for the record
But it's a chart that shows how we compare
Now this is the one percent for capital acquisition and these numbers here a little bit
Need a little bit of influence interpretation because many of these have exclusions
Many only apply to certain projects at airports
Many of them do not have exclusions and apply to all
Some of them have opportunities for operational expenses to be in those
But the ranking as it is, is we're we're on the on the bottom
We have not only the lowest percentage and we surveyed a good number of folks
They're both airports and local municipalities
We're in the bottom
But money is only a means to an end
And that's one thing that Commissioner Bowman and Steinberg were really clear about
It's like this has to be for a reason
You just can't be spending money here
Tommy is going to lead to too many of the opportunities that this provides
But at the it's certainly going to address some of these concerns
And for 11 years, we've had only half a percent
With the exclusions
And it's it's really had an impact on the collections that we have
So it is a question of Tommy
And then I think be great for Tommy to Bill to introduce himself because he's got a really interesting and impressive background
And so my question just so we can level set is, is part of the why? Because the Port of Seattle established this program back in 1968 and then really funded it in 2000
We have how many dollars, Tommy, in terms of asset art assets, really large at the
If you include the airport and maritime side, we have approximately 40 million dollars worth of visual arts assets
Forty million dollars
So a lot of the why behind increasing the funding is to do asset preservation of those assets that we already have
I mean, 40 million dollars is, as you alluded to, Pete, more than many museums particularly
Well, certainly in small museuMS So the number one thing is to be able to protect what we have and preserve
And that's
Just outstanding at giving us a good indication of the delay, the deferred maintenance
That's how I appreciate that
MR Bowman and one of my backgrounds is a thoroughly studied is conservation and restoration of art
And we being here in the short time I've been here just under a year, I've noticed we have an amazing collection, but we have because of the staffing situation over the last few years, we haven't really taken care of those assets
So it's my main objective right now is to conduct an asset plan for conservation and maintenance of our collection
Right
And what I'd like to do is just go over a little to the nuts and bolts of the policy as proposed and then hand it back to Tommy for more examples of how we we can move forward
So it expands the art program, which is primarily focused at the airport
We do have art assets throughout the port at Pier 69 in our parks
But what this does is it creates kind of an open port wide opportunity for the public to see are what we have and to understand it in a more comprehensive way and to allow access that in those ways the there's a threshold of three hundred thousand
Currently there's a threshold of two hundred thousand
We're increasing that to be consistent with what the projects that come for commission approval
The will also establish a non aviation art pool that will go along
The existing aviation are pools and those are pools to couple of things
They increase the clarity of how we spend money for the public
They can see immediately how much where it's coming from and where it's going
But it also adds increased flexibility on placement
So if it goes to a pool, it doesn't necessarily have to go one for one to the projects where the contributing projects like it is
He would explain the pool and start with the percentage
And then you know that because I think this is a really important part of that allowing, you know, you don't have to spend the money just because you have it
Right
Right
Bye bye
And then the cap and all that
I think that's an important part of the program that
So it does get technical pretty quickly at the airport
Projects have a budget
And then if there's an excess in that budget, then it goes to the aviation pool
That pool then can be used to supplement other projects in other areas
It can then also there's there's much more flexibility in that
But generally, currently the project funding, art funding is directed at the project itself and the art generally goes to that project
That that contributed this art pool is the aviation does have this, but this would expand the reliance of that pool so that the money then the professionals and the on the Art Oversight Committee could, with conjunction with members of the executive leadership team, could really identify where art is needed, where it may not be needed, where it needs to be supplemented
What can go there, what what the big picture is and what the problems are and what the opportunities are for that placement
Go ahead
Well
I wanted to ask if we could go back to the slide, the previous one
We're at one of the bullet lists exempting fishing cap capital projects
I'd like to hear a little more detail on that and what the explanation is there
So you got that salmon today so that I was just off the Valve Fishermen Festival Figuring Festival with 12000 people over the weekend
And, you know, it's a very popular place at Fisherman's Terminal
I don't so I don't understand the exception that's been proposed here
Start smelling
The exception was that was part of our our input that we got from the executive leadership team
And Maritime had a particular concern about fishing
It's as you know, it's a area that they're increasingly trying to make profitable for the port
And this would be an additional burden
That would be okay
So I'm just going to put a mark on that one, because I don't agree with that or we're going to end your capital projects out there
The Gateway project, the
So the ships supply
We're doing a master plan and it's a place that is visited by thousand
And there are many users and employees and fishermen, fisher people
It's a very high profile public area
I absolutely do not accept
I think there's a couple of misconceptions here
One is that there wouldn't be money available for fisherman's terminal art
Rather, there are a couple
And maybe, well, Stephanie could spin
It appears that way
So what? Which is why that pool is so important, even though we wouldn't collect from Project Grumps to don't lose it and obviously instead of rolling it out
I really don't
So it just I mean, if if I might if there is an exclusion at the airport, for instance, non publicly facing projects and this idea would be similar
So something like the gateway building in my mind as I understood it wouldn't be excluded but pile wrappings on
If I were here said are specifically supporting the fishing vessels, would you
Yeah
No, I I'm I don't have an issue with that
And that would be the same crew at the cruise terminal and you know, our other facilities
You know, that's that's not the intent of the point that was made here was, well, a fisherman's sermon was not profitable and therefore shouldn't shouldn't be included as amongst the capital projects
That to me is just a wrong headed thinking there, frankly
With all due respect, the way the exclusion that was actually proposed was would be the non public facing project
Well, that would be like Piers and Dock so that I want to make sure that in order not to single out any area of exclusion except for that type of like hidden infrastructure stuff, you know, sewage treatment and different things like that
But that make that a little bit clearer
We will
And I apologize
There are very specific exclusions related to fishing that are included in this and we'll make sure that those are highlighted
But it is because there are new exclusions we wanted that makes you aware that that there were fishing exclusions and you pointed that out
But Pete, to clarify, this does not exclude our putting our art at fishermen's turn
Correct
It just means we wouldn't be charging one percent on power apps
Absolutely correct
Got have to take that up later
Yeah
Happy to
And this is a benefit because there is time for this
Why we're doing the briefing
OK
Yeah
I just think that, you know, one of the things about fisherman's terminal that is distinction is that it's an open terminal, that it's a you can walk the docks
It's a place where, in fact, it's a place where we're actively trying to get more people to come to
Right
You know, in terms of it's one of those hidden gems fall festival being maybe one of the exceptions
So and again, this doesn't exempt it
And that's why I ask you to talk about the pool upfront
But I'm in acknowledgement of Peter's sensitivity
I just would like to support the idea that that is a good place
And I think the memorial there is beautifully played
Okay
Let's go on to the funding
Absolutely
So the funding for the loans
Yes
In the CFP, you can see where it goes, where it comes from with the majority, sixteen point five million coming from the airport
These are pre SAP dollars
So these are not including programs that are not already approved by commission
The
But this really allows us to this is just the capital funding, the 1 percent side of it
There's also operational expenses that will increase that will be identified by a a strategic plan
And what? Like to do is kind of pass the torch off to Tommy to talk more specifically about what what what we can do with this increase
Thank you, Pete
Focus and thank you for everybody's time
I appreciate it
Like Pete said, Tommy Gregory, I'm the senior manager and curator for the Port of Seattle at SeaTac Public Art
With the 1 percent
Well, let me jump back, because right now, one of the things I want to reiterate is the return to 1 percent is the way we'd prefer to call it
A return to it is we look at it as a great job creator
Right now, if we look at NASA and I F and I f, we're working with two artists which are working with local fabricators and creators and Norse that we're working with for continuing working with four artists who are also working with local fabricators and creators
So we look at this as a job creator
Within the once we do have the 1 percent
I do feel like it's extremely important to go back to what Commissioner Bowman was saying
It's hard to buy new things without taking care of the things we own
So that's my main objective
I want to jump to the next slide where we talk about being a steward of our public assets
And in this slide, this is Louise Nelson, which we purchased in 1972 for approximate twenty five thousand for exactly twenty five thousand dollars
And if I'm not mistaken, in 2008, we had an appraiser come out in value at seven hundred twenty five thousand
And then in 2016, that important Louise Nelson wall mounted piece appraised at one point five million
So we have very great cultural assets and we'd really should celebrate them and take care of them
That this slide here shows a weird little kind of magnified area where there was some mishandling of the work, where whoever installed it drilled directly through the art
Having me now taking care of the collection a little more thoroughly, I could promise you that will never happen again
And we will be able to remedy that little imperfection and bring it back to mint condition
Again, I think being great sports that requires us to have a professional conservation museum quality art handling and making the collection accessible by creating a port wide Web site that's could be viewed very user friendly to people that don't even have to have a ticket here
It just good on our app
Commissioner Corkin Yes, we do
We need to work on that for sure
So our next slide shows our community engagement efforts
This will allow the port to refresh its collection by doing temporary works as well as our commission based works
We want to refocus on neglected areas in the community
We want to increase local art exhibit opportunities
And the slide here shows you an example of that
This is our first ever exterior temporary land artwork and it's right on the hill near the sell lot
It was called Red Sand Project by artist Molly Gottesman
I want to jump ahead because I know for the sake of time
This immature is Dick Wise
This is a commission in 1991 and it is near the debates
So again, this is a piece that, believe it or not, I don't think it's been dusted in about 10 years
So our efforts go beyond just purchasing work
We're doing a full collection assessment and we're gonna take care of those from routine maintenance to massive conservation efforts which are ongoing
The 1 percent helps with that
But also having support from commission and executive leadership also really helps
So we appreciate your support
Thank you
Metropolitan
Is there anything in storage that you'd like to be able to get out and display that isn't currently displayed? If you take a short walk over to the stock building, you've seen that we've pretty much taking care of a lot of our old older works that have been kind of in dark storage for, I want to say, maybe 10 years or more
And there if you go into our storage now, there's maybe only a few pieces that have been kind of taken off the walls due to construction purposes
But we're I'm looking right now to find ways to bring them back into life
But I would add to that commercial
Collins It's a great point
There is a fantastic morale that I'm hoping that the Port of Seattle can purchase, if not straight out caches
Get it? It's over at the Pacific Medical Center building and it's a classic mural of longshoreman and it's about the length of this entire wall and at PAC Man and it's, you know, hidden in plain sight for four decades
And I would love that should be at the Port of Seattle
And so I think maybe to underscore, Tommy, some of your points, 1, that the 1 percent would bring us back to where we were
Number two, it would help us implement a port wide strategy is posted just at the airport, which I think is very important
It would help us maintain the assets that we have
And just as stewards of public resources, we really need to do that
This is a valuable collection and we absolutely need to be taking care of it
And third, I would add that I think it's just a wonderful way to engage with the public in ways that we haven't before
There's just a lot of interest in these collections and just a great way besides just walking through the airport and getting to your gate, a really unique way to engage
So
Oh, and the last thing I would add, I think in our committee meeting we talked about we're hoping that, Steve, that this Tommy's position would be more of a corporate position
One of the recommendations moving into that
So it's not just aviation that he has the ability to support the entire port
No
No
I think that there is a work or our strategic plan that Tommy is working on that would look ahead over how we would integrate these various goals and needs to better steward our art collection and to grow it and to make it more accessible
All those and to conserve it
All good things
I just want to point out something here about the cost aspect of it
And when you're looking at capital projects, 1 percent, our sales tax alone is 10 percent on capital projects
This is 1 percent
We're talking about the value we derive from the 1 percent or from a percent contribution is multiple, of course, and measured in different ways
But while a project may come and go this year, that year the the contribution is lasting
So it's a lifetime
It's it's it's generational
So I would I would ask it
We look at the benefits in terms of the longer term value that we would be achieving by restoring the 1 percent and enhancing our art program to where it should be as a leader amongst ports and airports nationwide
But just, you know, we may collect a bunch of money in five years, but then the next five years or the next 10, we're not going to have that coming yet
But the art will be there and the program will be in place that supports that public access to art so much in
So are you suggesting that your tax dollars are not going to a long term benefit? Not only that
I just wanted to point out that, you know, nobody would know that we have an asset like this
Right
And I think part of the challenge we have is such a constrained space and the way in which it's displayed
I mean, like, you know, I know the Native American masks are long a back wall that very few people would have any reason to go
And and so I just really see the
I appreciate the fact we have to conserve what we got, but I see this as a daunting task given our constrained space
How you can really get it in front of people, especially can the fact that number one job is get through the gate
And I actually think that I'm near the gates when people feel I'm there is when they can actually get their head up and look around anyway
That I see is one of your major challenges
Yeah
You know, putting a U V, not U V, I'm sorry
Putting fresh light on some pieces that have kind of been pushed into corners due to construction projects and maybe not been recited properly, that can refresh our collection dramatically
So that's a huge thing
You know, we could just get some fresh light and some of these new piece or some of the pieces that we still are that we currently have on view that'll refresher
And give us a look of what Norse that is is kind of doing know a lot of natural light and kind of highlighting the works and people
Art won't be confused
Are they Boston barricade walls or these are art assets? My goal is to make them evidently great public art assets
Maybe we should specialize on mobiles, mobiles
Look, there's a lot of Calder
Well, who just because it doesn't take a floor space and folders aren't that hard to clean
But if you look at the current Christies and Southerbys auction house prices, it doesn't look like sticker shock there
Maybe you have to go to 2 percent
Well, thank you
So look forward to our colleagues supporting some of these recommendations
And thanks
Well, I think we'll tweak it a little bit
Yeah
Be really clear about what we're funding and terrific
So we'll bring this back in November
Thank you all
Thank you much
All right
So I can't imagine there's anything else to talk about
It's been a long day
Do you have it live in Norway next? Yeah
Let's Norway next time and some
And then Commissioner Hawkins has is a maritime high school summit coming up? Yeah, well, so maybe we can bring those updates at our next meeting in two weeks
And I just have one quick thing, which is to say hearty congratulations to James Thompson, who as of yesterday was elected by the trustees of the Washington Public Ports Association to be the new executive director
He was an internal candidate really well, the executive executive selection committee
And so we're excited to work with James in the coming years
Well, thank you for your work on representing us
I know that was a lot of extra time
My pleasure
And if I could also thank our staff, especially Kim Demarest, who did a lot of work on that
That's right
Kim, thank you for that
Yeah
All right
With that, we are adjourned it 5 0 5.

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