The Regular Meeting meeting scheduled for 2023-08-08 at Pier 69

Transcript

The Regular Meeting meeting scheduled for 2023-08-08 at Pier 69

ALL RIGHT? THIS IS COMMISSION PRESIDENT SAM CHO CONVENING THE REGULAR MEETING OF AUGUST 8, 2023
THE TIME IS 10:30 A.M.
WE ARE MEETING IN PERSON TODAY AT THE PORT OF SEATTLE HEADQUARTERS BUILDING
COMMISSIONER CHAMBERS AND VIRTUALLY VIA MICROSOFT TEAMS PRESENT WITH ME TODAY ARE COMMISSIONERS FELLEMAN, HASEGAWA AND MOHAMMED, WHO ARE CURRENTLY GATHERED IN THE EXECUTIVE SESSION ROOM AWAITING THE OPENING OF THE PUBLIC MEETING
COMMISSIONER CALKINS IS ABSENT AND EXCUSED FROM THIS MEETING
COMMISSIONER MOHAMMED IS RECUSED FROM PARTICIPATING IN A PORTION OF THE SESSION TODAY
WE'LL NOW RECESS INTO EXECUTIVE SESSION TO DISCUSS ONE ITEM REGARDING LITIGATION AND OR POTENTIAL LITIGATION OR LEGAL RISK, PER RCW 42.30.110, SUB ONE, SUB I FOR APPROXIMATELY 30 MINUTES AND SEPARATELY
ONE ITEM REGARDING LITIGATION AND OR LEGAL RISK, PER RCW 42.30.110, SUB ONE, SUB I, AND PERFORMANCE OF A PUBLIC EMPLOYEE PER RCW 42.30, POINT ELEVEN, SUB ONE, SUB G, FOR APPROXIMATELY 20 MINUTES AND WE'LL RECONVENE INTO PUBLIC SESSION AT NOON SHARP
THANK YOU VERY MUCH
THANK YOU
WE ARE NOW IN RECESS
GOOD AFTERNOON
THIS IS COMMISSION PRESIDENT SAM CHO RECONVENING THE REGULAR MEETING OF AUGUST 8th 2023
THE TIME IS 12:08 P.M.
APOLOGIZE FOR BEING A LITTLE LATE TODAY
WE'RE MEETING IN PERSON TODAY AT THE PORT OF SEATTLE HEADQUARTERS BUILDING
COMMISSION CHAMBERS
DEPUTY CLERK PAYNE WILL CALL THE ROLL OF COMMISSIONERS IN ATTENDANCE TODAY
THANK YOU
FIRST COMMISSIONER CHO
PRESENT
COMMISSIONER FELLEMAN
PRESENT
COMMISSIONER HASEGAWA
PRESENT
AND COMMISSIONER MOHAMMED
PRESENT
YOU DO HAVE A QUORUM
EXCELLENT
THANK YOU SO MUCH
A FEW HOUSEKEEPING ITEMS BEFORE WE BEGIN
FOR EVERYONE IN THE ROOM TODAY, PLEASE TURN YOUR CELL PHONES TO SILENT
FOR ANYONE PARTICIPATING ON MICROSOFT TEAMS, PLEASE MUTE YOUR SPEAKERS
WHEN NOT ACTIVELY SPEAKING OR PRESENTING, PLEASE KEEP YOUR CAMERAS OFF UNLESS YOU'RE A MEMBER OF THE COMMISSION OR EXECUTIVE DIRECTOR PARTICIPANT VIRTUALLY, OR YOU ARE A MEMBER OF THE STAFF
IN A PRESENTATION, YOU ARE ACTIVELY ADDRESSING THE COMMISSION
MEMBERS OF THE PUBLIC, ADDRESSING THE COMMISSIONER DURING THE PUBLIC COMMENT MAY TURN ON THEIR RULES WHEN THEIR NAME IS CALLED TO SPEAK AND WILL TURN THEM BACK OFF AGAIN AT THE CONCLUSION OF THEIR REMARKS
FOR ANYONE AT THE DAIS HERE TODAY, PLEASE TURN OFF THE SPEAKERS ON ANY COMPUTERS AND SILENCE YOUR DEVICES
PLEASE ALSO REMEMBER TO ADDRESS YOUR REQUEST TO BE RECOGNIZED, TO SPEAK THROUGH THE CHAIR, AND TO WAIT TO SPEAK UNTIL YOU HAVE BEEN RECOGNIZED
YOU'LL TURN ON YOUR MICROPHONES ON AND OFF AS NEEDED
ALL THE ITEMS NOTED HERE WILL ENSURE A SMOOTHER MEETING, SO I THANK YOU IN ADVANCE
ALL VOTES TODAY WILL BE TAKEN BY ROLL CALL METHODS SO THAT IT'S CLEAR FOR ANYONE PARTICIPATING VIRTUALLY HOW VOTES ARE CAST
COMMISSIONERS WILL SAY AYE OR NAY WHEN THEIR NAME IS CALLED
WE ARE MEETING ON THE ANCESTRAL LANDS AND WATERS OF THE COAST SALISH PEOPLE WITH WHOM WE SHARE A COMMITMENT TO STEWARD THESE NATURAL RESOURCES FOR FUTURE GENERATIONS
THIS MEETING IS BEING DIGITALLY RECORDED AND MAY BE VIEWED OR HEARD AT ANY TIME ON THE PORT'S WEBSITE AND MAY BE REBROADCASTED BY KING COUNTY TELEVISION
PLEASE JOIN ME NOW AND STAND FOR THE PLEDGE OF ALLEGIANCE
[Reciting the Pledge of Allegience] FIRST ITEM OF BUSINESS DAY IS APPROVAL OF THE AGENDA
AS A REMINDER, IF A COMMISSIONER WISHES TO COMMENT FOR AGAINST AN ITEM ON THE CONSENT AGENDA, IT IS NOT NECESSARY TO PULL THE ITEM
RATHER, A COMMISSIONER MAY OFFER SUPPORTING OR OPPOSING COMMENTS ONCE THE MOTION TO APPROVE THE CONSENT AGENDAS ON THE FLOOR AND BEFORE THE VOTE IS TAKEN
HOWEVER, IF A COMMISSIONER WANTS TO ASK QUESTIONS OF STAFF OR WISHES TO HAVE A DIALOGUE ON A CONSENT AGENDA ITEM, IT IS APPROPRIATE TO REQUEST THE ITEM TO BE PULLED FOR SEPARATE DISCUSSION
ARE THERE ANY ITEMS TO BE PULLED FROM THE CONSENT AGENDA OR MOTIONS TO REARRANGE THE ORDERS OF THE DAY? YES, COMMISSIONER FELLEMAN? I'D LIKE TO JUST ASK A QUESTION ABOUT ITEM EIGHT E
OKAY, SO WE WILL TABLE THAT ONE
ACTUALLY, WE WILL GO AHEAD AND VOTE ON IT AND THEN YOU CAN ASK YOUR QUESTION AFTERWARDS
YES, I THINK ITEM EIGHT E SHOULD BE PULLED BEFORE THE VOTE
THE DISCUSSION SHOULD HAPPEN BEFORE THE VOTE
SO CLERK, I THINK WE CAN IF WE'RE JUST ASKING QUESTIONS, DO WE NEED TO PULL IT? OH, YOU'RE ASKING QUESTIONS, NOT JUST MAKING COMMENTS
RIGHT
I'D SUPPORT COMMISSIONER
OKAY
MOHAMMED'S REQUEST TO PULL IT INSTEAD OF JUST ASKING A QUESTION
IF THAT'S WHAT YOU PREFER
OKAY
AND THEN, COMMISSIONER HASEGAWA, DO YOU HAVE QUESTIONS OR JUST COMMENTS REGARDING EIGHT C? OH, A QUESTION
OKAY, SO THEN WE HAVE A MOTION TO MOVE EIGHT C AND EIGHT E
IS THERE A FIRST AND A SECOND? SO MOVED
SECOND
GREAT
SO THE MOTION ON THE BOARD IS TO AMEND THE CONSENT AGENDA TO REMOVE EIGHT C AND EIGHT E AND VOTE ON A, B AND D
DO I HAVE A FIRST AND A SECOND? SO MOVED SECOND
I GUESS WE'LL TAKE A ROLL CALL VOTE
OKAY
COMMISSIONER FELLEMAN? AYE
COMMISSIONER HASAGAWA? AYE
COMMISSIONER MOHAMED? AYE
AND COMMISSIONER CHO? AYE
WE HAVE FOUR AYES AND ZERO NAYS
GREAT
SO WE HAVE JUST APPROVED EIGHT A, EIGHT B AND 8D ON THE CONSENT AGENDA
WE WILL NOW GO TO EIGHT C AND TURN IT OVER TO STEVE METRUCK AND COMMISSIONER TOSHIKO HASEGAWA FOR QUESTIONS
BUT FIRST, STEVE, GO AHEAD AND INTRODUCE THE ITEM REAL QUICK
SORRY, SHE'S GOING QUICKLY
SO, ITEM EIGHT C
EIGHT C
YES
LITERALLY, THIS IS THE MONTHLY LOCATION OF PRIOR EXECUTIVE DIRECTOR DELEGATION ACTIONS
I GUESS THIS IS A NON REPORT FOR THIS MONTH
I GUESS BASICALLY IT'S SUPPOSED TO BUY THE TRANSPARENCY FOR THE DELEGATION OF RESPONSIBILITY AND AUTHORITY THAT ARE DELEGATED TO ME UNDER THE AVIATION TO DO THAT
AND THERE WERE NO APPROVALS THAT I APPROVED FOR THIS MONTH OF JULY
RIGHT
MY ONLY QUESTION ON IT WAS, DOES IT NEED TO BE ON CONSENT IF THERE'S NOTHING'S IN THE NEGATIVE REPORT? IT'S A NEGATIVE REPORT
I TAKE THAT, COMMISSIONER, AND WE'LL TAKE A LOOK AT THAT
IF THERE'S NOTHING, THEN WHAT ARE YOU VOTING ON? THEY'RE NOT VOTING
I THINK WE SHOULD REMOVE IT
THEN IT'S REMOVED, SO NO IMPLICATIONS FOR US
IS THAT CORRECT? CORRECT
YES, I THINK IS IT OKAY? YES, YOU CAN DO I TRIED ASKING BEFORE THE MEETING AND NOBODY HAD
I'M SORRY ABOUT THAT, COMMISSIONER
NO, I THINK THAT'S CLARIFIED
ALL RIGHT, THANK YOU
ALL RIGHT, GREAT
AND THEN WE'LL MOVE ON TO EIGHT EIGHT E
ALL RIGHT
ITEM EIGHT E FOR CRUISE
STEVE, IF YOU WANT TO QUICKLY GIVE US A SYNOPSIS AND THEN WE'LL LET COMMISSIONER FELLEMAN ASK US QUESTIONS
SURE
I'LL READ INTO THE RECORD FIRST, COMMISSIONER JOE AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO EXECUTE A CONTRACT FOR TWO NEW CRUISE PASSENGER SECONDARY GATEWAYS FOR THE SMITH COVE CRUISE TERMINAL AT PIER 91 IN THE AMOUNT OF $8,700,000 OF A TOTAL ESTIMATED PROJECT COST OF $9 MILLION
COMMISSIONERS, OUR EXISTING CRUISE SHIP CRUISE PASSENGER GANGWAYS AT TERMINAL 91 ARE NEAR THE END OF THEIR USEFUL LIFE
PROCURING TWO NEW GANGWAYS WILL IMPROVE SAFETY, ACCESSIBILITY, AND CRUISE PASSENGER VESSEL EMBARKMENT AND DISEMBARKMENT EXPERIENCE
IT'LL ALSO PROVIDE US WITH THE ABILITY TO CONTINUE OPERATIONS IN THE CASE OF THE GANGWAY GOING OUT OF SERVICE AND TO ANSWER QUESTIONS, WE HAVE MARIE ELLINGSON, I DON'T KNOW IF SHE'S ON VIRTUALLY AND TIM LATTER, THE CAPITAL PROJECT MANAGER, AND MARIE SO ARE YOU THERE, TIM? I SEE YOU, TIM
AND I SEE MARIE
VERY GOOD
EXCELLENT
COMMISSIONER FELLEMAN, GO AHEAD AND ASK YOUR WELL, ACTUALLY, COMMISSIONER MOHAMMED WANTED THIS ITEM PULLED
SO DO YOU WANT TO GO FIRST? I JUST HAD A QUESTION ABOUT SO REALLY MOSTLY ABOUT THE ACCOUNTING FOR IT, BUT I GUESS I'M DRAWING MY ATTENTION DOWN HERE
FIRST OF ALL, DOES 66 HAVE TWO GATEWAYS GANGWAYS? YES, IT DOES
OKAY
AND IT SEEMS TO ME, CERTAINLY WITH THE LARGER SHIPS, IT ONLY MAKES SENSE AND YOU SAY THAT THIS PROVIDES INCREASED, ACTUALLY, FLEXIBILITY FOR THE SHORE POWER, WHICH IS A SEPARATE ITEM FOR BEING ABLE TO ACCESS SHIPS OF DIFFERENT SIZES AND STUFF
WHAT MY QUESTION HAD TO DO WITH WAS THAT IT SAYS THIS PROJECT WILL BE FUNDED BY THE GENERAL FUND, WHEREAS THE ITEM WITH THE SHORE POWER, WHICH I KIND OF THOUGHT THESE WOULD BE PRESENTED TOGETHER, SAYS IT'S FROM THE CRUISE BUDGET
AND THIS IS JUST SOMETHING I BRING UP ALL THE TIME IN THAT JUST CRUISES ARE BRIGHTEST LIGHT IN THE MARITIME BUDGET, BUT THOSE THINGS THAT ARE ASSOCIATED WITH OPERATIONS VERSUS CAPITAL ARE KEPT APART
SO WHEN I KEEP ON ASKING IT, WHAT IS THE NET PROFITABILITY OF CRUISE AT THE END OF THE YEAR? THESE SORT OF INVESTMENTS ARE NOT PART OF THAT CALCULATION
IT'S A LUCRATIVE REVENUE GENERATOR, BUT IT COSTS MONEY TO MAKE MONEY
AND SO I JUST THINK THAT THE NET RESULT SHOULD BE PRESENTED AS THE NATURE OF THE CRUISE
NOW, CLEARLY, WE HAVE LEASE OBLIGATIONS TO MAINTAIN OUR BIRTHS VENDORING AND THINGS LIKE THAT IS PART OF THAT INCREASING THE CAPACITY TO HANDLE ADDITIONAL GANGWAYS
THIS, TO ME, WOULD BE SEEN AS, WHILE IMPORTANT, POTENTIALLY SOMETHING WE WOULD SHARE WITH THE CRUISE OPERATOR
AND IF WE'RE JUST GOING TO ABSORB IT, THEN I JUST AM TALKING ABOUT HOW IT WOULD BE ACCOUNTED FOR
IS THERE A QUESTION, COMMISSIONER, I UNDERSTAND THAT KELLY ZUPAN JUST CAME TO THE CHAMBERS THERE, AND I THINK HE WAS GOING TO ADDRESS THIS QUESTION
YES, THANK YOU
YEAH
KELLY, DO YOU WANT TO JOIN US? WELL, LET ME JUST SAY IN GENERAL, COMMISSIONER, THAT AS WE LOOK AT HERE, YOUR QUESTION IS MORE ABOUT HOW DO YOU ACCOUNT FOR IT TO REFLECT ON IT? AND I THINK KELLY CAN TALK ABOUT THAT AS WE ROLL THEM IN
I MEAN, WE DON'T HAVE SEPARATE FUNDS TO PAY FOR SEPARATE ITEMS, BUT I'LL LET KELLY ADDRESS THAT
YES, COMMISSIONER, WE TYPICALLY ACCOUNT FOR IT IN THE DEPRECIATION LINE, AND WE LOOK AT THAT WHEN WE GO THROUGH THE BUDGET WITH YOU
WE LOOK AT THAT OVERALL AS WELL
WE DON'T LOOK AT IT AS MUCH ON THE YEAR TO DATE NUMBERS BECAUSE ESPECIALLY WITH CRUISE, BECAUSE THE REVENUE IS VERY CYCLICAL
IT HITS MOSTLY IN JULY AND AUGUST
BUT WE DO HAVE THAT IN BUDGET NUMBERS, AND WE LOOK AT IT THAT WAY, AND IT STILL CLEARS PROFIT, EVEN INCLUDING THE DEPRECIATION COST
BUT OBVIOUSLY, THERE'S A BIG CHUNK OF IT
I DON'T HAVE THAT NUMBER RIGHT OFFHAND, BUT WE DO HAVE THAT
AND WHEN WE GO THROUGH THE BUDGET PRESENTATION WITH YOU IN OCTOBER, WE WILL DISPLAY IT AS THE OVERALL FOR ALL THE BUSINESS LINES
WE WILL DISPLAY THAT OVERALL PROFITABILITY FOR YOU AS WELL
I GUESS THAT WAS MY QUESTION, HOW IT'S BROKEN DOWN BY BUSINESS LINE? BECAUSE WE DO THINGS LIKE WE INCREASE THE WATER MAIN, WE DO OTHER THINGS TO ACCOMMODATE THIS BURGEONING BUSINESS
I'M JUST SAYING, AT THE END OF THE DAY, FOR THAT GIVEN YEAR, THERE'S REVENUE AND THERE'S EXPENSE, AND I RARELY SEE THIS REPRESENTED AS THE NET PROFITABILITY OF CREWS
YES
SO IF IT'S AMORTIZED, DEPRECIATE, WHATEVER, IF IT'S A $9 MILLION PROJECT OVER A 20 YEAR PERIOD OF TIME, WE CAN KNOCK OFF, WHATEVER, 450,000, WHATEVER IT IS PER YEAR AS AN EXPENSE TOWARDS THE NET REVENUE
YEAH, I DON'T UNDERSTAND THE QUESTION OF WHEN YOU WANT US TO SHOW THIS? WE DO DO IT
LIKE I SAID, EVERY YEAR DURING THE BUDGET SEASON, WE TALK ABOUT, YEAH, LET ME JUMP IN THE COMMISSIONER
WE CAN ACTUALLY DO THAT KIND OF ROLL UP FOR TOP
WHAT I HEAR YOU IS NOT JUST ON THIS ONE, BUT IN GENERAL
RIGHT
OF ALL THOSE THINGS FOR EACH BUSINESS LINE, IT'S CHARACTERIZED DIFFERENTLY FOR THE SHORE POWER
AND SO IT SAYS SPECIFICALLY FOR SHORE POWER, CRUISE LINE BUSINESS
AND SO AT THE END OF THE YEAR, WE SAID, OH, WE HAD AN ADDITIONAL $4 MILLION OR SOMETHING FROM CRUISE TO GO INTO WORKFORCE DEVELOPMENT, WHICH IS A GOOD THING
BUT TO BE ABLE TO SAY THAT CAME FROM CRUISE
THAT MEANS THAT WE UNDERSTAND WHAT THE EXPENSES, OTHER EXPENSES FROM CRUISE WERE, TO KNOW WHAT THE DELTA WAS THAT WE BECAUSE TO ME, WE SHOULD BE REINVESTING CRUISE INTO CRUISE FIRST
RIGHT? SO THOSE EXPENSES SHOULD BE COVERING THOSE REVENUES SHOULD BE COVERING THE MAINTENANCE AND OPERATION OF CRUISE
ANYTHING LEFT OVER FROM THAT, IT'S LIKE A GENERAL FUND KIND OF A QUESTION
AND THAT'S A GENERAL WELL, I THINK GOING BACK TO THAT ONE SPECIFIC CASE I THINK WE WERE LOOKING AT DURING THE ACTUAL BUDGET WE WERE EXECUTING THAT PROBABLY WOULDN'T RETURN TO THAT ALL THE TIME, BUT I THINK THAT WAS A SPECIFIC CASE
BUT I HEAR YOUR QUESTION ABOUT THAT REFLECTING REALLY IT'S THE CASH FLOW OF WHAT IT COMES OUT TO AND HOW THE EXPENSES AGAINST THOSE INDIVIDUAL THINGS
SO WE CAN COVER THAT IN THE BUDGET BRIEFING WHEN WE GO FORWARD
GREAT
THANK YOU VERY MUCH
THANKS, KAI
I APPRECIATE YOU COMING UP, ANSWERING THOSE QUESTIONS
I WENT A LITTLE OUT OF ORDER HERE
WE'RE ACTUALLY GOING TO VOTE ON THE CONSENT AGENDA LATER IN THE AGENDA RIGHT NOW, WHERE THE QUESTION IS APPROVAL OF THE AGENDA, IS THERE A MOTION TO APPROVE THE AGENDA AS AMENDED? SO MOVED
GREAT
SECOND
I THOUGHT WE DID
YEAH, I THOUGHT SO TOO
THE MOTION HAS BEEN MADE AND SECONDED
IS THERE ANY OBJECTION TO THE APPROVAL OF THE AGENDA AS AMENDED HEARING? NONE
THE AGENDA IS APPROVED AS AMENDED
WE HAVE NO SPECIAL ORDERS FOR TODAY
SO THEN WE'LL MOVE ON TO THE EXECUTIVE DIRECTOR'S
PORT EXECUTIVE DIRECTOR METRUCK
NO ADDITIONAL QUESTIONS, BUT WE'RE GOING TO GO BACK TO IT
YEAH, CONSENT IS AFTER PUBLIC COMMENT, SO WE'LL COME BACK TO CONSENT AGENDA AFTERWARDS
SORRY, THAT'S MY FAULT
COMMISSIONER, GOOD AFTERNOON
I HOPE EVERYONE HAD A GREAT WEEKEND AND THAT YOU WERE ABLE TO ENJOY AT LEAST SOME OF THE SEAFAIR AND SEATTLE FLEET WEEK LAST WEEK
IF YOU JUST GIVE ME A MOMENT OF PRIVILEGE
I JUST WANT TO REFLECT BECAUSE ACTUALLY THIS AUGUST 4, LAST FRIDAY WAS MEANINGFUL FOR ME BECAUSE IT WAS 45 YEARS AGO ON LAST FRIDAY, WHERE I WAS ON A VESSEL DOCKED AT PIER 70 45 YEARS AGO LAST FRIDAY ON AUGUST 4
SO I WAS FIVE YEARS OLD, AND I DON'T KNOW HOW THEY GOT ME IN THE COAST GUARD THEN, BUT ANYWAY BUT IT WAS JUST LOOKING BACK THERE, BUT IT JUST CAME FULL CIRCLE FOR ME LAST FRIDAY
LOOKING AT THAT WHEN WE HAD THE ARCHIVE OF WHERE SHIPS WERE DOCKED AT THAT TIME AND REFLECTING BACK ON THAT TIME ONLY 45 YEARS AGO AND COMING FULL CIRCLE HERE, AS I'VE SAID BEFORE, AN HONOR TO BE HERE AT THE PORT OF SEATTLE TO DO THAT
THANKS FOR THAT
JUST A MOMENT OF REFLECTION ON THAT AND LAST WEEK'S CELEBRATION, IT ALSO REMIND ME OF FLEET WEEK AND THE SEAFAIR CELEBRATION INCLUDED A NUMBER OF PORT RELATED HIGHLIGHTS HERE AT THE PORT, THE PARADE OF NAVAL AND COAST GUARD VESSELS FROM THE US
AND CANADA WAS ENJOYED BY HUNDREDS FROM PIER 62 VIEWPOINT AND INCLUDED A US
COAST GUARD SEARCH AND RESCUE DEMONSTRATION FEATURING A WATER HELICOPTER WATER RESCUE, WHICH I'M SURE WAS MUCH BETTER THAN THE BLUE ANGELS
SO LET ME JUST SAY THAT AND THEN A NATURALIZATION CEREMONY FOR 21 CITIZENSHIP CANDIDATES AT PIER 66, WHERE COMMISSIONER CHO PROVIDED SOME INSPIRATIONAL WORDS ALONG WITH REAR ADMIRAL FOSSE, THE NEWLY INSTALLED COAST GUARD DISTRICT 13 COMMANDER AND THEN COMMISSIONER CALKINS ALSO JOINED THE STUDENTS FROM AVIATION HIGH SCHOOL AND THE BLUE ANGELS AT BOEING FIELD
ALSO LAST WEEK, AND FOR THE FIRST TIME, THE FLEET GATHERED AT TERMINAL 46 TO WELCOME THE GENERAL PUBLIC
IN FACT, NEARLY 4600 COMMUNITY MEMBERS HAD THE OPPORTUNITY TO MEET SAILORS, TOUR THE VESSELS AND ALSO SEE EXHIBITS, INCLUDING THE ILWU, I BELIEVE HAD AN EXHIBIT THERE ALONG ON 46, ALONG WITH OTHER PROGRAMS AND MY SPECIAL THANKS TO THE NORTHWEST SEAPORT ALLIANCE FOR THEIR COLLABORATION ON THIS EFFORT AND TO EVERYONE ON OUR TEAM THAT WORKED TO MAKE THESE EVENTS HAPPEN
AND AS MANY OF YOU KNOW, COMMISSIONER SEATTLE IS ALSO IN THE MIDST OF HOSTING THE ASIA PACIFIC ECONOMIC COOPERATION SENIOR OFFICIALS AND MINISTERIAL MEETINGS
APEC IS A REGIONAL ECONOMIC FORUM ESTABLISHED IN 1989 TO LEVERAGE THE GROWING INTERDEPENDENCE OF THE ASIA PACIFIC REGION
APEC'S 21 MEMBER ECONOMIES, INCLUDING THE UNITED STATES, AIM TO CREATE GREATER PROSPERITY FOR THE PEOPLE OF THE REGION BY PROMOTING BALANCED, INCLUSIVE, SUSTAINABLE, INNOVATIVE AND SECURE GROWTH, AS WELL AS BY ACCELERATING REGIONAL ECONOMIC INTEGRATION AS THE TRANS PACIFIC GATEWAY FOR PEOPLE AND GOODS
THE PORT OF SEATTLE IS PARTICULARLY ATTUNED TO THE IMPORTANCE OF THESE RELATIONSHIPS
AND SO WE ARE EXCITED TO BE PLAYING A MAJOR ROLE IN HOSTING THIS YEAR'S MEETINGS
FROM FACILITATING INTERNATIONAL RIVALS AT SEA FOR VISITING FOREIGN DIGNITARIES, TO SPEAKING ON PANELS, TO HOSTING MAJOR RECEPTION AND EVENTS AT PIER 69, WE ARE DEEPLY ENGAGED IN BOTH THE CONTENT AND THE LOGISTICS OF MAKING THE MINISTERIALS A SUCCESS
AND A HUGE THANK YOU TO KAREN ZOG BLACK FOR HER TIRELESS WORK IN COORDINATING THESE ACTIVITIES AT SEA, THE COMINGS AND GOINGS AND ACTUALLY THE EVENTS THEMSELVES ON OUR BEHALF TO THE HUGE TEAM OF PORT EMPLOYEES AND PARTNERS WHO ARE SUPPORTING HER IN THESE EFFORTS
FINALLY, I WANT TO MENTION THAT I WAS PLEASED TO JOIN COMMISSIONER CHO, COMMISSIONER CALKINS AND AVIATION MANAGING DIRECTOR LANCE LITTLE LAST WEEK AT THE BOARD OF DIRECTORS MEETING FOR ALASKA AIR GROUP, THE PARENT COMPANY OF ALASKA AIRLINES AND HORIZON AIRLINES
WE'VE HAD AN OPPORTUNITY TO MEET WITH THE BOARD IN THE PAST, WHICH IS AN IMPORTANT OPPORTUNITY FOR COLLABORATION AND COORDINATION WITH SEATTLE'S HOMETOWN AIRLINE
THIS YEAR'S MEETING WAS PARTICULARLY TIMELY GIVEN THAT THE ALASKA BOARD HAS IDENTIFIED SEA MODERNIZATION AS ONE OF THEIR MOST IMPORTANT STRATEGIC CORPORATE PRIORITIES
WE ARE ALREADY COLLABORATING WITH THEM ON MAJOR CAPITAL PROJECTS LIKE THE NORTH MAINE TERMINAL MODERNIZATION PROJECT, ALSO KNOWN AS THE SEA GATEWAY, AND WE HAVE MANY SHARED PRIORITIES ON TOPICS LIKE SUSTAINABILITY, SAFETY, ANTI HUMAN TRAFFICKING, AND WORKFORCE DEVELOPMENT
COMMISSIONER CHO AND CALKINS ALSO HAD THE CHANCE TO HIGHLIGHT SOME OF THE MAJOR NON AVIATION ACTIVITIES GOING ON AT THE PORT
OVERALL, IT WAS A VERY PRODUCTIVE CONVERSATION ON TOPICS BIG AND SMALL, AND IT WAS EXCITING TO HEAR ABOUT ALASKA'S PRIORITIES
I LOOK FORWARD TO ONGOING CONVERSATIONS WITH ALL OF OUR TENANTS AND PARTNERS ABOUT CONTINUING TO IMPROVE OUR FACILITIES AND THE CUSTOMER EXPERIENCE AT SEA
MOVING TO TODAY'S COMMISSIONER MEETING, I'D LIKE TO HIGHLIGHT A FEW ITEMS ON THE CONSENT AGENDA IS AN ACTION THAT WILL MAXIMIZE THE FLEXIBILITY OF AIRLINE GATES, AIRPLANE GATES TO ACCOMMODATE INCREASED AIR TRAVEL DEMAND IN ANTICIPATED GATE OUTAGES CAUSED BY OTHER MAJOR CONSTRUCTION PROJECTS
WE'RE ALSO ASKING FOR APPROVAL FOR THE PURCHASE OF NEW CRUISE GANGWAYS, WHICH ARE ESSENTIAL TO OUR OPERATIONAL CONTINUITY AND FLEXIBILITY
ON OUR ACTION AGENDA TODAY, WE HAVE SEVERAL ACTIONS RELATED TO MARITIME, INCLUDING ADDITIONAL ACTIONS TO INCREASE THE USE OF SHORE POWER FOR CREWS AT TERMINAL 91, THE REDEVELOPMENT OF COMMERCIAL FISHING FACILITIES AT PIERS SIX AND EIGHT AT TERMINAL 91, AND CONSTRUCTION OF OUR MARITIME INNOVATION CENTER
WE'LL CLOSE OUR MEETING WITH THE SECOND QUARTER 2023 FINANCIAL PERFORMANCE BRIEFING, WHICH I KNOW THAT ALL OF YOU ARE LOOKING FORWARD TO
COMMISSIONERS, THIS CONCLUDES MY REMARKS
OKAY, THANK YOU VERY MUCH
I ALSO WANT TO GIVE A SHOUT OUT TO KAREN ZOGBLACK FOR ALL THE GREAT WORK SHE'S DOING FOR APEC
IT'S NOT AN EASY LIFT
ALL RIGHT, SO I UNDERSTAND THAT THERE ARE NO COMMITTEE REPORTS TODAY, SO WE WILL GO AHEAD AND MOVE ON IN THE AGENDA
WE ARE NOW AT THE PUBLIC COMMENT SECTION OF OUR AGENDA
THE PORT COMMISSION WELCOMES PUBLIC COMMENT AS AN IMPORTANT PART OF THE PUBLIC PROCESS
COMMENTS ARE RECEIVED AND CONSIDERED BY COMMISSION IN ITS DELIBERATIONS
BEFORE WE TAKE PUBLIC COMMENT, LET'S REVIEW OUR RULES FOR IN PERSON AND VIRTUAL PUBLIC COMMENT
DEPUTY CLERK PAYNE, PLEASE PLAY THE RECORDED RULES
YOU MAY NEED TO RESHARE WITH SOUND
BARRY CRUISE
YOU HAVE TO READ IT WELL
THE PORT OF SEATTLE COMMISSION WELCOMES YOU TO OUR MEETING TODAY
AS NOTED, PUBLIC COMMENT IS AN IMPORTANT PART OF THE PUBLIC PROCESS, AND THE PORT OF SEATTLE COMMISSION THANKS YOU FOR JOINING US
THE COMMISSION ACCEPTS IN PERSON, VIRTUAL AND WRITTEN PUBLIC COMMENT REGARDING MATTERS RELATED TO THE CONDUCT OF COURT BUSINESS
BEFORE WE PROCEED, HERE ARE THE COMMISSION'S PUBLIC COMMENT RULES OF PROCEDURE
FOR YOUR INFORMATION, EACH COMMENTER WILL HAVE TWO MINUTES TO SPEAK AND SHOULD STAY WITHIN THE ALLOTTED TIME
A TIMER WILL APPEAR ON THE SCREEN AND A BUZZER WILL SOUND AT THE END OF THE TWO MINUTE PERIOD
FOR EACH SPEAKER, THE COMMISSIONER RESERVES THE RIGHT TO RECEIVE COMMENTS SPECIFICALLY RELATED TO THE CONDUCT OF PORT BUSINESS
IF COMMENTS ARE NOT RELATED TO THE CONDUCT OF PORT BUSINESS, THE PRESIDING OFFICER WILL STOP THE SPEAKER AND ASK THAT COMMENTS BE KEPT TO MATTERS RELATED TO THE CONDUCT OF PORT BUSINESS
THIS RULE APPLIES TO BOTH INTRODUCTORY AND CONCLUDING REMARKS
ALL REMARKS SHOULD BE ADDRESSED TO THE COMMISSION AS A BODY AND NOT TO INDIVIDUAL COMMISSIONERS
DISRUPTIONS OF COMMISSION PUBLIC MEETINGS ARE PROHIBITED
DISRUPTIONS INCLUDE, BUT ARE NOT LIMITED TO THE FOLLOWING REFUSAL OF A SPEAKER TO LIMIT REMARKS TO TOPICS RELATED TO THE CONDUCT OF PORT BUSINESS THREATS AND ABUSIVE OR HARASSING BEHAVIOR AND LANGUAGE OBSCENE LANGUAGE AND GESTURES
REFUSAL OF A SPEAKER TO COMPLY WITH THE ALLOTTED TIME SET FOR THE INDIVIDUAL SPEAKER'S PUBLIC COMMENT LEAVING THE PODIUM OR TESTIMONY TABLE TO PHYSICALLY APPROACH COMMISSIONERS OR STAFF DURING ONE'S PUBLIC COMMENT PROVIDED SPEAKERS MAY AUTHOR WRITTEN MATERIALS TO THE COMMISSION CLERK AND ANY BEHAVIOR THAT DISRUPTS, DISTURBS, OR OTHERWISE IMPEDES THE MEETING
ANY DISRUPTION WILL RESULT IN A SPEAKER'S MICROPHONE BEING IMMEDIATELY SHUT OFF BY THE PRESIDING OFFICER AND A WARNING OR LOSS OF SPEAKING PRIVILEGES OR REMOVAL FROM THE MEETING ROOM MAY OCCUR AS PROVIDED IN THE COMMISSION'S BYLAWS WRITTEN MATERIALS PROVIDED TO THE CLERK WILL BE INCLUDED IN TODAY'S MEETING RECORD
THE CLERK HAS A LIST OF THOSE PREPARED TO SPEAK
WE ARE TAKING COMMENTS FROM ANYONE WHO HAS SIGNED UP TO SPEAK VIRTUALLY, AS WELL AS FROM ANYONE WHO HAS JOINED US TODAY HERE IN THE MEETING ROOM WHEN YOUR NAME IS CALLED
IF YOU ARE JOINING VIRTUALLY, PLEASE UNMUTE YOURSELF
THEN PLEASE REPEAT YOUR NAME FOR THE RECORD AND STATE YOUR TOPIC RELATED TO THE CONDUCT OF FORT BUSINESS
YOU MAY TURN ON YOUR CAMERA AT THIS TIME
THE TWO MINUTE TIMER WILL THEN BEGIN
IF YOU'RE ON THE TEAM'S MEETING AND AT THE SAME TIME STREAMING THE MEETING ON THE WEBSITE, PLEASE MUTED THE WEBSITE STREAM TO AVOID FEEDBACK
WHEN YOU HAVE CONCLUDED YOUR REMARKS, YOU MAY AGAIN TURN OFF YOUR CAMERA AND MUTED YOUR SPEAKER
IF YOU ARE SPEAKING FROM THE MEETING ROOM, PLEASE COME TO THE TESTIMONY TABLE, REPEAT YOUR NAME FOR THE RECORD, AND STATE YOUR TOPIC RELATED TO THE CONDUCT OF PORT BUSINESS
OUR PUBLIC COMMENT PERIOD WILL NOW COMMENCE
THANK YOU AGAIN FOR JOINING US TODAY
ALL RIGHT
THANK YOU, MS CLERK HART
A REMINDER THAT EVEN WHEN SHE'S NOT HERE, SHE'S ALWAYS WITH US
WE WILL START WITH OUR FIRST IN PERSON
I'M GOING TO DO MY USUAL ROTATING BETWEEN IN PERSON AND VIRTUAL COMMENTS
OUR FIRST IN PERSON IS ALEX ZIMMERMAN
THANK YOU
PLEASE STATE YOUR NAME AND THE TOPIC RELATED TO POOR CONDUCT AND THEN WE'LL START THE CLOCK
YES, THANK YOU VERY MUCH
YEAH
MY NAME ALEX ZIMMERMAN
WE'LL START AFTER YOU SAY YOUR NAME AND STATE YOUR TOPIC
AND I LIVE IN BELLY FOR 25 YEARS
I COME TODAY FOR A PARTICULAR REASON, BECAUSE I SAID CHURCH DISCRIMINATE ME AND HATE ME BECAUSE I AM A JEW AND HE SUPPORT IRANIAN MUSLIM COUNTRY THAT IN BELLEVUE
WHAT IS MY COMPETITOR
SO THIS IS EXACTLY WHAT HAS HAPPENED, AND I WILL BE COMPLAINING ABOUT THIS TO POLICE
ALEX, THIS IS GOING TO BE YOUR FIRST WARNING
YOU'RE NOT ALLOWED TO MAKE REFERENCES TO POLITICAL CAMPAIGNS OR ACTIVITIES RELATED TO YOUR CAMPAIGN
AND I WILL BE COMPLAINING TO POLICE
NOW, THIS IS EXACTLY WHAT IS EVEN DELIVERING TO YOU BECAUSE IT'S TOO MUCH
WHAT IS DEMOCRAT MAFIA DOING WITH SOMEBODY WHO GO AGAINST HER KINDLY? THAT YOU UNDERSTAND WHY I'M TALKING
YOU CAN CUT ME OR YOU DON'T CUT
THERE'S NOTHING CHANGED
I WILL COMPLAIN ABOUT YOU CRYING CRIME
ANTI SEMITISM
ALEX, YOU'RE NOT ALLOWED TO MAKE DIRECT COMMENTS TO COMMISSIONERS
PLEASE REFER TO THE BODY OF THE COMMISSION AND NOT INDIVIDUAL COMMISSIONERS
THAT'S YOUR SECOND WARNING
THIS A HATE CRIME
I WILL COMPLAIN TO POLICE NOW AND I DOING THIS BEFORE TOO MANY DEMOCRAT MAFIA
YEAH
DON'T THINKING ABOUT THIS
I GO TO POLICE NOW AND THIS HATE CRIME IS A FELONY RIGHT NOW
IT'S EXACTLY WHAT WILL BE HAPPENING
YEAH
BYE MY FRIEND
THANK YOU
MOVING ON IN PUBLIC COMMENT
WE'RE GOING TO GO VIRTUAL REBECCA LAVELLE, ARE YOU WITH US? I THINK SHE'S VIRTUAL REBECCA
OKAY, WE'LL MOVE ON TO THE NEXT VIRTUAL COMMENTATOR AND COME BACK TO REBECCA ABIGAIL BELGNAP
ABIGAIL, CAN YOU HEAR ME? AYE.THERE
YES, CAN YOU HEAR ME? OKAY, THERE YOU GO
YEP
AYE.ABIGAIL
GO AHEAD AND RESTATE YOUR FULL NAME AND THE TOPIC RELATED TO POOR BUSINESS AND WE'LL START THE CLOCK
YES, MY NAME IS ABIGAIL BELNAP AND TOPIC TODAY I'M JUST COMMENTING ON BEHALF OF COPPERWORKS DISTILLING COMPANY LOCATED ON THE WATERFRONT
I AM THE MARKETING MANAGER FOR THIS COMPANY AND THIS IS JUST A COMMENT IN SUPPORT OF THE CRUISE INDUSTRY HERE IN SEATTLE
AS I MENTIONED, WE'RE ON THE WATERFRONT
WE'RE RIGHT ACROSS FROM MINERS LANDING
WE GET A LOT OF TRAFFIC IN SUMMERTIME
THIS IS OUR PEAK SEASON AND WE GET A MAJOR WHO ARE SO WE'RE VERY HAPPY TO SEE ALL THE TRAFFIC THAT THE CRUISES BRING TO THE WATERFRONT AND TO A SMALL BUSINESS LIKE OURS
WE HAVE NOT EXACTLY STRUCTURED SOME BUSINESS DECISIONS AROUND IT, BUT IT HAS INFLUENCED OUR THINKING AND HOW WE CAN BEST ACCOMMODATE THAT TRAFFIC TO OUR TASTING ROOM
IN A FEW DIFFERENT DAYS
WE'VE NOTICED THESE FOLKS COMING IN EARLY FROM THE CRUISES AND THEY'RE WAITING OUTSIDE OUR DOOR BEFORE WE ARE OFFICIALLY OPEN SO THAT THEY CAN COME IN AND ENJOY TASTING WITH US
SO WE HAD THOUGHT ABOUT ADJUSTING OUR BUSINESS HOURS TO ACCOMMODATE THAT
WE HAD PLANNED TO DO THIS ANYWAYS BECAUSE WE'VE NEEDED TO BEEF UP STAFFING FOR A WHILE
BUT WE HAVE ADDED ANOTHER FULL TIME POSITION TO OUR TASTING ROOM ON THE WATERFRONT TO HELP WITH THAT AS WELL
AND IT'S REALLY WONDERFUL
WE SEE FOLKS ALL OVER THE COUNTRY THANKS TO THE CRUISE INDUSTRY BRINGING IN WATERFRONTS
AND THESE ARE FOLKS THAT NORMALLY WE WOULD NEVER HAVE A CHANCE TO MEET AND HAVE NOT REALLY INTERACTED WITH OUR BUSINESS AND OUR BRAND BEFOREHAND
SO APPRECIATE THAT HELPFUL PUSH FOR OUR SMALL BUSINESS
THANK YOU
THANK YOU SO MUCH, ABIGAIL
MOVING BACK IN PERSON, WE HAVE HAROLD EUGLES
HELLO, MY NAME IS HAROLD EUGLES
I'M PRESIDENT OF ILW LOCAL 19 HERE IN THE PORT OF SEATTLE
WE REPRESENT THE WORKERS THAT WORK ON THE CRUISE SHIPS AND THE CONTAINER SHIPS, GRAIN SHIPS, EVERYTHING HERE
I WANT TO THANK EXECUTIVE DIRECTOR METRUCK AND THE COMMISSIONERS ALLOWING ME TO SPEAK, SPEAKING ON BEHALF OF THE SUPPORT FOR THE CRUISE INDUSTRY
IT HAS BEEN A VERY GOOD JOB FOR OUR MEMBERSHIP
WE APPRECIATE THE CHANCE TO WORK TOGETHER WITH THE DIFFERENT VENDORS AND THAT'S WHY WE'RE KIND OF EXCITED ABOUT THIS NEW COLD IRON THAT'S GOING TO COME IN PLACE
WATTS ELECTRIC
WE LOOK FORWARD TO WORKING WITH THEM
HOPEFULLY WE'LL BE ABLE TO GET 100% COMPLIANCE OF PLUGGING IN EVERY SHIP
WE'VE HAD A HISTORY OVER THE LAST 1012 YEARS OF BEING ABLE TO PLUG IN AND HOPEFULLY WE CAN MAKE THAT 100% ALONG WITH WHAT'S GOING ON WITH THE SEAPORT ALLIANCE
WE GREATLY APPRECIATE THAT
ALSO ON THE SECOND GANGWAY, WE KNOW IT'S VITAL TO HAVE THAT BECAUSE AS THESE SHIPS GET BIGGER AND BIGGER, SOMETIMES WE'RE MOVING OFF OF 5000 PASSENGERS ON AND OFF A VESSEL AND THEY TURN THESE SHIPS OVER WITHIN ONE SHIFT
AND I KNOW IT'S VERY IMPORTANT
66 HAS BEEN DOING THE TWO GANGWAY OPERATION AND SO WE LOOK FORWARD TO THAT
AND WE ALSO APPLAUD THE CRUISE SHIP INDUSTRY AND THE PORT DIRECTIVE TO TRY TO BRING IN GREEN INITIATIVES
I THINK IT'S VERY IMPORTANT BECAUSE WE'RE NOT ONLY IMPORTANT TO HAVE JOBS, WE HAVE TO TAKE CARE OF THE PUGET SOUND AND ALASKA, AND WE GOT TO SPEAK UP FOR THE OTHER PEOPLE WHO DON'T HAVE A CHANCE TO
AND SO WE WANT TO REPRESENT EVERYBODY AND JUST WANT TO SAY THANKS AGAIN
WE SUPPORT THE CRUISE INDUSTRY, WE SUPPORT THE GREEN INITIATIVE AND WE SPECIALLY SUPPORT THAT WE WORK TOGETHER, THE ILW, THE PORT COMMISSIONS AND ALL THE VENDORS AND MAKE SURE THIS HAPPENS
THANK YOU VERY MUCH
EXCELLENT
THANK YOU SO MUCH, HAROLD, FOR THOSE COMMENTS AND THE COMMENTARY
WE'RE MOVING BACK VIRTUALLY TO JOSHUA BERGER
JOSHUA, YOU WITH US? GOOD AFTERNOON
YOU CAN HEAR ME? OKAY, CAN HEAR YOU
GREAT
PLEASE STATE YOUR NAME AND YOUR TOPIC
GO AHEAD
YEAH, JOSHUA BERGER, YOUR ENTHUSIASTIC SUPPORT OF THE FULL AUTHORIZATION RENOVATION OF THE SEATTLE SHIP SUPPLY BUILDING
I AM THE PRESIDENT CEO OF WASHINGTON MARITIME BLUE
WE ARE THE NONPROFIT ORGANIZATION, INNOVATION CLUSTER ORGANIZATION INTENDING TO BE THE PRIME TENANT AND OPERATOR OF THE PROPOSED MARITIME INNOVATION CENTER
IT'S BEEN QUITE A JOURNEY TO GET TO THIS POINT
SINCE 2016, WE'VE JOINED FORCES TO ENVISION, DESIGN AND IMPLEMENT THE ORGANIZATION PROGRAMMING AND ECOSYSTEM TO BECOME A GLOBAL LEADER IN MARITIME, OCEANS AND FISHERIES INNOVATION FOR A SUSTAINABLE AND EQUITABLE BLUE ECONOMY
IN THE LAST FOUR YEARS, WE'VE DELIVERED A NATIONALLY AND NOW GLOBALLY RENOWNED ACCELERATOR PROGRAM
WE'VE RUN THE FIRST EVER INTERNATIONAL ACCELERATOR, ATTRACTING THE BEST OF THE BEST ACROSS THE GLOBE TO SEATTLE
AND WE'RE ABOUT TO LAUNCH THE NEW SEATTLE MARITIME BLUE INCUBATOR
WE DO ALL THIS NOW AT THE BLUE HUB, CURRENTLY LOCATED IN THE SECOND FLOOR OF THE FISHERMAN'S CENTER BUILDING OVERLOOKING THE TERMINAL
WE LEAD 6000 SQFT
WHERE WE OPERATE A
COLLABORATIVE WORKSPACE WITH SUBTENANTS HOST EVENTS, RUN PROGRAMMING FOR STARTUPS STUDENTS, MEMBERS, AND PARTNERS, AS WELL AS HOST HIGH LEVEL GOVERNMENT OFFICIALS AND BUSINESS DELEGATIONS FROM AROUND THE WORLD, AND GENERALLY FOSTER COLLABORATION IN ALL THINGS MARITIME, OCEANS AND FISHERIES
WE'RE NOW READY TO SCALE THIS WORK INTO THE NEW MARITIME INNOVATION CENTER AND FULLY LEVERAGE ITS 20,000 ACHIEVE
OUR SHARED MISSION
WE'VE WORKED CLOSELY WITH PORT STAFF THROUGH THE DESIGN PROCESS
WE'VE ENGAGED ARCHITECTS ON DESIGN AND PLANNING THE TENANT IMPROVEMENTS ON TOP OF THE CORN SHELL AND ARE CURRENTLY NEGOTIATING LEASE FOR LONG TERM TENANCY AND OPERATIONS IN THIS NEW LIVING BUILDING RESTORATION, A FIRST OF ITS KIND IN THE WORLD
WE'RE GOING TO BE ABLE TO TELL THE REMARKABLE STORY OF THE LEGACY INDUSTRIAL SECTOR, ITS HISTORY, ALONGSIDE THE STORY OF INNOVATION, RESILIENCE, AND INCLUSION
IT WILL BE A BEAUTIFUL AND ATTRACTIVE AND MULTIPLE SENSES OF THE WORD AND A BEACON FOR THE NATURAL EVOLUTION OF OUR WORK ON NEAR AND FOR THE WATER
SO I KINDLY ASK FOR A FULL VOTE OF AUTHORIZATION OF FUNDS, AND I'M THRILLED TO TAKE THIS NEXT STEP TOGETHER
REALLY, THANK YOU ALL FOR YOUR LEADERSHIP, YOUR INVESTMENT AND COMMITMENT TO THIS REGION'S CONTINUED GROWTH AS THE CENTER OF EXCELLENCE FOR INNOVATION, SUSTAINABILITY, AND EQUITY IN THE BLUE ECONOMY
GREAT
THANK YOU, JOSHUA
NEXT IN PERSON IS GOING TO BE GERARD WURTZ
GOOD TO SEE YOU
IF YOU COULD SAY YOUR NAME AND YOUR TOPIC
GOOD AFTERNOON
MY NAME IS GERARD WURTZ AND THE SUBJECT IS ECONOMIC IMPACT OF THE CRUISE BUSINESS ALONG THE WATERFRONT
IS YOUR MIC ON? I BELIEVE SO
IS IT ON? NO, NO, I'M ASKING IF HE HAS YOU CAN'T HEAR ME? NO, I HAVEN'T TOUCHED THIS AT ALL
THERE WE GO
BOB DONAGHAN WAS NOT ABLE TO BE HERE PERSONALLY TODAY, AND SO HE ASKED ME TO COME
HE'S LEFT A LETTER THAT I'LL LEAVE WITH THE COMMISSION CLERK FOR EACH OF YOU, AND IT REALLY GOES TO THE HEART OF WHAT SORT OF BENEFIT THE CRUISE INDUSTRY IS PROVIDING FOR SEATTLE BUSINESSES ALONG THE WATERFRONT
THE SEATTLE HISTORIC WATERFRONT ASSOCIATION CONSISTS PRIMARILY OF THE BUSINESSES BETWEEN COLEMAN DOCK AND PIER 70
AND I KNOW THOSE BUSINESSES, JUST AS I KNOW MANY OF YOU DO, AND THEY'RE OVERWHELMINGLY LOCAL
THERE'S A LOT OF FAMILY BUSINESSES
AND THE MESSAGE TODAY THAT WE HEARD ALSO FROM ABIGAIL IS THE IMPORTANCE OF THE CRUISE BUSINESS FOR THESE LOCAL MERCHANTS
MORE THAN HALF OF THE BUSINESS OF THESE COMPANIES COMES IN DURING THE SUMMER
YOU CAN TALK TO A LOT OF THE MANAGERS IN THE RESTAURANTS AND THE HOTELS, AND THEY CAN PRACTICALLY TELL YOU HOW MANY SHIPS ARE IN PORT JUST BASED ON HOW MANY PEOPLE ARE HERE
AND TO ECHO SOMETHING THAT ABIGAIL SAID EARLIER, THE CRUISE VISITORS TO SEATTLE BRING SO MUCH TO OUR COMMUNITY
THEY'RE HERE MAYBE VISITING FAMILY OR FRIENDS WHO LIVE HERE
MAYBE IT'S THE FIRST TIME THEY'RE IN THE CITY AND THEY HAVE THE OPPORTUNITY TO BECOME AMBASSADORS FOR US
SO WE REALLY WANT TO PUT OUR FIRST, BEST FOOT FORWARD ON THE WATERFRONT
AND THE CRUISE SHIP VISITORS, WHICH WERE ABSENT DURING THE PANDEMIC, IT'S GREAT TO HAVE THEM BACK
THERE ARE SOME NUMBERS IN THE LETTER, BUT WE HOPE TO REACH 2019 LEVELS AGAIN IN TERMS OF NUMBER OF VISITORS ALONG THE WATERFRONT, APPROXIMATELY 6 MILLION
SO THANK YOU
WE THANK YOU FOR YOUR SERVICE AND FOR YOUR WORK TO BRING THESE PEOPLE TO SEATTLE, AND WE SUPPORT THE CONTINUATION IN A GREEN AND SUSTAINABLE WAY
THANK YOU VERY MUCH
THANK YOU VERY MUCH
ALL RIGHT, AND THEN AMY SALLIN IS NEXT
AMY
HEY, AMY, CAN YOU STATE YOUR FULL NAME AND YOUR TOPIC AND THEN WE'LL START THE CLOCK FOR YOU? YES, I AM AMY SALON, DIRECTOR OF THE BURIEN CENTER FOR ENTREPRENEURSHIP AT THE UNIVERSITY OF WASHINGTON
AND I AM SPEAKING IN SUPPORT OF THE MARITIME INNOVATION CENTER PROJECT
I BELIEVE THE CENTER WILL PROVIDE THE OPPORTUNITY FOR THE MARITIME INDUSTRY AND PROGRAMS SUCH AS THE MARITIME BLUE INNOVATION ACCELERATOR, AS JOSHUA MENTIONED, TO REALLY LEVERAGE THE ENTREPRENEURIAL AND BUSINESS COMMUNITIES AROUND THE PACIFIC NORTHWEST
IN PARTICULAR, IT CAN BE A BASE WHERE ANYONE ENGAGED WITH THE SPACE CAN LEVERAGE COLLABORATIONS WITH THE UNIVERSITY OF WASHINGTON, WHICH IS A KEY PARTNER IN TRANSLATIONAL INNOVATION ACTIVITIES
FOR EXAMPLE, THE FOSTER SCHOOL OF BUSINESS AND THE BURIEN CENTER FOR ENTREPRENEURSHIP
COLLEGES OF ENGINEERING AND THE ENVIRONMENT, FISHERY SCIENCE, COMPUTER SCIENCE, CLEAN ENERGY INSTITUTE, COMMOTION, WHICH IS UW'S TECHNOLOGY LICENSING OFFICE, EARTH LAB, JUST TO NAME A FEW
WITH CONTINUED COLLABORATION BETWEEN THE PORT AND THE UW, THE MARITIME INNOVATION CENTER CAN PROVIDE ESSENTIAL RESOURCES TO CONTINUE ALL OF THIS ENTREPRENEURIAL EDUCATION
MENTORING, NETWORKING FOR NEW BUSINESS, DEVELOPING IN THE MARITIME TECHNOLOGY SECTOR, COWORKING AND A MAKER SPACE FOR MARITIME PROFESSIONALS TO COLLABORATE WITH STUDENT AND FACULTY INNOVATORS
SO, AS I STATED IN MY LETTER OF SUPPORT THAT YOU HAVE, I STRONGLY BELIEVE THIS FACILITY WILL BECOME A KEY DRIVER TO SPUR NEW TECHNOLOGIES IN THE MARITIME INDUSTRY AND OUR REGION
THANK YOU
THANK YOU SO MUCH
AND THEN WE HAVE ONE LAST SPEAKER
WE'LL CIRCLE BACK
REBECCA FROM GSP IS ON THE LINE, AND I SEE SHE'S RIGHT THERE
IF YOU COULD STATE YOUR NAME AND THE TOPIC, AND THEN WE'LL GIVE YOU TWO MINUTES
YES, THANK YOU SO MUCH
GOOD AFTERNOON
REBECCA LOVELL, THE CHIEF OPERATING OFFICER OF GREATER SEATTLE PARTNERS
WE ARE A NONPROFIT, PUBLIC AND PRIVATE PARTNERSHIP DEDICATED TO ECONOMIC DEVELOPMENT AND TO A DYNAMIC AND RESILIENT ECONOMY
AND I AM HERE TODAY AGAIN, LIKE AMY AND JOSH BEFORE ME, TO ENTHUSIASTICALLY OFFER SUPPORT ON BEHALF OF GSP FOR THE FULL AUTHORIZATION OF FUNDS TO SUPPORT THE MARITIME INNOVATION CENTER
JUST A FEW COMMENTS ON WHY THIS IS SUCH A MEANINGFUL INVESTMENT FOR OUR REGION AND OUR WORKFORCE
THE CONVERGENCE OF MARITIME FISHERIES, GREEN ECONOMY AND TECHNOLOGY IS LIKE NONE OTHER AROUND THE WORLD
AND HAVING PERSONALLY LED INCUBATORS AND ACCELERATORS FOR THE LAST 15 YEARS, I CAN ATTEST THAT THERE IS NOTHING LIKE THE MAGIC OF IN PERSON COLLABORATION WHEN IT COMES TO INSPIRING THE NEXT GENERATION OF OUR WORKFORCE AND ENSURING THAT INNOVATION CONTINUES TO THRIVE AND FLOURISH HERE IN OUR REGION
EVERYTHING FROM THE ACCELERATOR ITSELF, WHICH JOSH HAS ABLY LED AND SUPPORTED FOR A NUMBER OF YEARS, TO CO WORKING SPACE
AS AMY MENTIONED, THERE IS SOMETHING TRULY SERENDIPITOUS THAT HAPPENS WHEN YOU HAVE PEOPLE WORKING TOGETHER AND ENGINEERING SERENDIPITY IN A PHYSICAL SPACE LIKE THIS IS A REALLY SMART INVESTMENT FOR ALL OF US AS A REGION
EVERYTHING ABOUT THIS INVESTMENT SPEAKS TO OUR VALUES OF INCLUSIVE WORKFORCE DEVELOPMENT, OF A SUSTAINABLE ECONOMY, EVERYTHING FROM THE BUILDING ITSELF TO THE INNOVATIONS THAT CAN HAPPEN WITHIN
WE CAN'T BE MORE ENTHUSIASTIC ABOUT VOICING OUR SUPPORT AND URGE THIS BODY TO VOTE FOR A FULL AUTHORIZATION OF FUNDS
THANK YOU FOR THE OPPORTUNITY
THANK YOU VERY MUCH
THANK YOU VERY MUCH
I BELIEVE THAT CONCLUDES ALL OF OUR PUBLIC COMMENTS
CLERK COULD YOU PLEASE SUMMARIZE ANY COMMENTS THAT MAY HAVE BEEN SUBMITTED OR WRITTEN TO US AS WELL AS SUMMARY? DO YOU WANT TO CALL IF THERE'S ANYONE ELSE ON THE LINE OR IN THE ROOM? SURE
IS THERE ANYONE ELSE ON THE LINE WHO WISHES TO SPEAK OR IN THE ROOM WHO WISHES TO SPEAK? ALL RIGHT
SEEING NONE
CLERK GO AHEAD
THANK YOU
GOOD AFTERNOON, MR COMMISSION PRESIDENT
MEMBERS OF THE COMMISSION
EXECUTIVE DIRECTOR METRUCK
WE HAVE RECEIVED 54 WRITTEN COMMENTS PRIOR TO OUR MEETING TODAY
THESE HAVE BEEN DISTRIBUTED TO YOU IN ADVANCE OF THE MEETING AND BECOME A PART OF THE MEETING RECORD
OF THE PUBLIC RECORD
43 SUBMISSIONS TODAY COME FROM CITIZENS WHO WRITE TO ASK THE PORT COMMISSIONER TO CAP THE NUMBER OF 2024 SEASON SAILINGS AND PASSENGERS AT OUR BELOW 2019 LEVELS, REDUCING THESE NUMBERS EVERY YEAR UNTIL THE INDUSTRY NO LONGER POLLUTES THE OCEANS AND AIR AND NO LONGER EMITS CLIMATE CHANGING GREENHOUSE GAS EMISSIONS
THE NAMES OF THE CITIZENS ARE LISTED ON EACH OF THE WRITTEN COMMENTS AND WILL ALSO BE ADDED TO THE MEETING MINUTES NOEMI MAXWELL, ALLISON OSTERER, TARIQ FAYED, JULIA BUCK, JIM BERNTHAL, JACQUELINE CASEY AND SANDY HUNT
ALL RIGHT
TO THANK COMMISSIONER AND PORT STAFF FOR THEIR RECENT ACTIONS TO PROTECT NORTH SEATAC PARK, REQUESTS ADEQUATE TIME FOR PUBLIC COMMENT ON ORDER 2023 TEN
THE FORD IS FINALIZED IN THE FALL AND CALLS ATTENTION TO RECENT SEATTLE TIMES REPORTING OF THE RAPID LOSS OF TREES TO DEVELOPMENT IN THE SEATTLE AREA
BARBARA MCMICHAEL WRITES TO THANK THE PORT COMMISSION ON THE CREATION OF ORDER 2023 TEN, BUT IS CONCERNED OVER THE ENVIRONMENTAL IMPACTS OF THE AIRPORT ON HER COMMUNITY AND THE PRESERVATION OF ALL FORESTED LANDS THAT REMAIN
IRIS ANTMAN WRITES REGARDING THE HARMS OF CRUISING AND THE CLIMATE CRISIS
SHE ALSO ASKS FOR CLARIFICATION ON THE PUBLIC COMMENT PROCESS AND INPUT PLAN FOR ORDER 2023 TEN
RAMSAY COOKMAN WRITES IN SUPPORT OF THE PRESERVATION OF NORTH SEATAC PARK AND CONCERNS OVER THE AMOUNT OF DEVELOPMENT AND SHRIEKING GREEN SPACE IN THEIR AREA
AMY SALIN HAS SUBMITTED A LETTER OF SUPPORT FOR THE PORT OF SEATTLE'S MARITIME INNOVATION CENTER PROJECT THAT ALSO SUPPORTS HER SPOKEN TESTIMONY
THANK YOU
GREAT
THANK YOU SO MUCH FOR THAT SYNOPSIS
YES
COMMISSIONER HASEGAWA, CAN YOU PLEASE REPEAT THE NAME OF THE PERSON WHO WROTE IN REQUESTING FOR CLARIFICATION ON THE PROCESS FOR THE INPUT ON THE TREE ORDER? YES
THERE ARE SEVERAL NOE
B MAXWELL, ALLISON OSTER, TARIQ FAYED, JULIA BUCK, JIM BERNTHAL, JACQUELINE CASEY, SANDY HUNTS AND IRIS ADMIN
THANK YOU
ALL RIGHT
THANK YOU SO MUCH
HEARING NO FURTHER PUBLIC TESTIMONY, WE'LL MOVE ON TO THE CONSENT AGENDA
WE'LL GO BACK
ITEMS ON THE CONSENT AGENDA ARE CONSIDERED ROUTINE AND WILL BE ADOPTED BY ONE MOTION
ITEMS REMOVED FROM THE CONSENT AGENDA WILL BE CONSIDERED SEPARATELY IMMEDIATELY AFTER THE ADOPTION OF THE REMAINING CONSENT AGENDA ITEMS AT THIS TIME, THE CHAIR WILL ENTERTAIN A MOTION TO APPROVE THE CONSENT AGENDA ITEMS COVERING ITEMS EIGHT A, EIGHT B AND 8D
SO MOVED
SECOND
GREAT
THE MOTION WAS MADE AND SECONDED
COMMISSIONERS, PLEASE SAY AYE OR NAY WHEN YOUR NAME IS CALLED FOR AN APPROVAL OF THE CONSENT AGENDA
THANK YOU
COMMISSIONER FELLEMAN
AYE
COMMISSIONER HASEGAWA
AYE
COMMISSIONER MOHAMMED? AYE
AND COMMISSIONER CHO
AYE
THERE ARE FOUR AYES AND ZERO NAYS FOR THIS ITEM
GREAT
THE MOTION PASSES
WE WILL NOW GO BACK TO ITEM EIGHT E ON THE CONSENT AGENDA
I APOLOGIZE
COMMISSIONER MOHAMMED, PLEASE
THE FLOOR IS YOURS FOR QUESTIONS
YEAH
THANK YOU FOR THE TIME
I JUST WANTED SOMEONE TO BE ABLE TO ANSWER FOR THE BENEFIT OF THE PUBLIC IF SOMEONE COULD EXPLAIN JUST THE URGENCY OF THIS INVESTMENT AND IF THERE ARE ANY PUBLIC SURETY CONCERNS AT THIS TIME
I KNOW THAT THE GANGWAY IS AT ITS SERVICE LIFETIME
ARE THERE ANY DAMAGES TO IT AT THIS MOMENT? ARE THERE ANY SAFETY CONCERNS? THANK YOU, COMMISSIONER
THERE ARE NO CURRENT DAMAGES OR SAFETY CONCERNS
WHERE WE WOULD BENEFIT BY INCREASED SAFETY IS TO MAKE SURE THAT WE'RE OFFERING GANGWAYS THAT MATCH THE CAPACITIES ON THE SHIPS SO THAT WE'RE NOT TRYING TO FIT TOO MANY PEOPLE THROUGH ANY ONE PARTICULAR GANGWAY
ALSO, THE CURRENT SECONDARY GANGWAY ON THE EAST SIDE IS NOT ADA COMPLIANT, SO THIS WOULD GIVE US A BACKUP OPTION THAT IS ADA COMPLIANT
AND WE DON'T CURRENTLY HAVE A SECONDARY GANGWAY ON THE WEST SIDE, SO THAT GIVES US THAT OCCUPANCY AS WELL
GREAT
THAT CONCLUDES MY QUESTION
THAT'S SUFFICIENT
EXCELLENT
COMMISSIONER HASEGAWA
SO THE ORIGINAL AMOUNT OF THIS PROJECT WAS SUPPOSED TO BE $300,000 AND IT'S JUMPED UP TO 9 MILLION
CORRECT
WOULD YOU LIKE ME TO RESPOND TO THAT, MURRAY? THAT WOULD BE GREAT
THANKS, TIM
OKAY
COMMISSIONER, GOOD AFTERNOON
I'M TIM LEONARD, PROJECT MANAGER FOR THIS WITH WATERFRONT PROJECT MANAGEMENT
WE ACTUALLY HAVE AN INITIAL $300,000 BUDGET THAT WAS AUTHORIZED THROUGH THE CRUISE BUSINESS GROUP, ESSENTIALLY TO ENABLE US TO START MOVING FORWARD ON THE NECESSARY ACTIONS OR ACTIVITIES ON THIS PROJECT
SUCH AS WE PROCURED THE SERVICES OF A TECHNICAL CONSULTANT WHO HAS BEEN WORKING WITH PORT STAFF AS WELL AS CRUISE TERMINALS OF AMERICA AND SSA
AND WE'RE IN THE PROCESS RIGHT NOW OF DETERMINING THE BEST OPTION FOR THE SECONDARY GANGWAYS AS WELL AS THE REQUIREMENTS THAT NEED TO BE INCLUDED IN THE REQUEST FOR A PROPOSAL THAT WE'LL BE ADVERTISING ALONG WITH OUR CONTRACTS
PROCUREMENT OFFICE
OKAY, THANK YOU
HOPEFULLY THAT ANSWERS YOUR QUESTION
THANK YOU
AND SO WE CURRENTLY HAVE THE WEST GATEWAY AND THE EAST GATEWAY, AND THE EAST GATEWAY HAS A SECONDARY GATEWAY WHICH IS AT THE END OF SERVICE LIFE
CORRECT
SO THIS REQUEST IS LOOKING FOR FIRST AND FOREMOST TO BE ABLE TO MAKE IMPROVEMENTS OR TO FULLY REPLACE THE EXISTING SECONDARY EAST GANGWAY
CORRECT
AND THAT'S A MAINTENANCE, THAT'S A MAINTENANCE LEVEL REQUEST
WE ARE LOOKING TO PROCURE TWO NEW SECONDARY GANGWAYS WHICH WILL REPLACE THE EXISTING SINGLE SECONDARY GANGWAY
AND THIS WILL ENABLE US TO, IN ADDITION TO THE PRIMARY GANGWAYS WHICH ARE NOT INVOLVED HERE, THEY'RE IN OPERATION, WE'RE GOING TO HAVE A NEW SECONDARY GANGWAY AT THE EAST BERTH AND THEN THIS WILL ENABLE US TO HAVE A SECONDARY GANGWAY AT THE WEST BERTH AS WELL
SO ESSENTIALLY TWO NEW SECONDARY GANGWAYS TO REPLACE AN EXISTING SINGLE SECONDARY GANGWAY
OKAY, SO IT'S NOT JUST, I MEAN REPLACING I'M LOOKING AT THE ALTERNATIVES THAT YOU PRESENTED TO US
ALTERNATIVE ONE, DO NOTHING
ALTERNATIVE TWO, DO SOMETHING
BUT LATER, ALTERNATIVE THREE, PROCURE TWO, NEW CRUISE PASSENGER SECONDARY GATEWAYS
AND I'M WONDERING WHAT THE THOUGHT WAS OR THE PROCESS WAS BEHIND POTENTIALLY AN ALTERNATIVE FOUR WHERE YOU ACT ON REPLACING THE DILAPIDATED OR END OF LIFE SECONDARY EAST GANGWAY AND THEN IMMEDIATELY AND THEN AT A LATER DATE, ADD THE ADDITIONAL CAPACITY AT THE WEST GANGWAY
WHAT'S THE TIME URGENCY ASSOCIATED WITH DOING BOTH NOW? SO ACTUALLY, AS I UNDERSTAND IT, THERE WERE TWO SECONDARY GANGWAYS AT ONE POINT IN OPERATION
ONE IS NO LONGER IN SERVICE DUE TO MAINTENANCE ISSUES
AND ACTUALLY THE EXISTING SECONDARY GANGWAY AT THE EAST BERTH IS COMPRISED OF PARTS FROM THAT GANGWAY AS WELL AS OTHERS AFFECTED HAS BEEN ASSEMBLED BASED ON PARTS FROM MULTIPLE GANGWAYS
SO THE NEED IS REALLY TWO SECONDARY GANGWAYS
THIS HAS EXISTED AND IT NEEDS TO BE ADDRESSED AT BOTH BIRTHS
SO TO JUST REPLACE THE EXISTING EAST BERTH SECONDARY GANGWAY WOULD ONLY ADDRESS A PART OF THE PROBLEM
IT'S REALLY THE NEED IS FOR A SECONDARY GANGWAY IN ADDITION TO A PRIMARY GANGWAY AT BOTH BIRTHS
I STILL FEEL LIKE I DON'T HAVE CLARITY ON WHAT I UNDERSTAND NEEDING TO ACCOMMODATE CAPACITY BECAUSE DEMAND HAS BEEN AT AN ALL TIME HIGH, BUT ARE THERE SAFETY ISSUES ASSOCIATED WITH NEEDING ADDITIONAL WITH MEETING CAPACITY NEEDS? AND THEN WHAT ARE THE IMPLICATIONS FOR THE WORKFORCE CONDITIONS ASSOCIATED WITH THAT AS WELL? SO THE SAFETY ASPECT WOULD BE FROM THE STANDPOINT OF MEETING OR BEING COMPLIANT WITH ADA REQUIREMENTS
AS HAS BEEN STATED, THE TREND IN THE CRUISE INDUSTRY, AS YOU'RE WELL AWARE, I'M SURE, IS THAT THE VESSELS ARE GETTING LARGER
SO THE NEED FOR A GREATER VERTICAL RANGE AS WELL AS HORIZONTAL RANGE TO MEET TO CONNECT WITH THE NECESSARY OR THE ACTUAL SHIPS THAT ARE BIRTHING AT THE TWO BIRTHS IS INCREASING
SO RIGHT NOW THAT SECONDARY BERTH THAT'S IN OPERATION OR I'M SORRY, SECONDARY GANGWAY ON THE EAST BERTH THAT'S IN OPERATION IS NOT ADA COMPLIANT
SO IF THE PRIMARY GANGWAY WERE TO GO DOWN AND WE ARE UTILIZING THE SECONDARY GANGWAY AS A BACKUP AND EMERGENCY BACKUP, WE'RE LIMITED IN MEETING ADA COMPLIANCE
SO WE'RE LOOKING TO ACHIEVE FULL ADA COMPLIANCE BETWEEN THE PRIMARY AND THE SECONDARY GANGWAYS, AS WELL AS MEET THE GROWING CAPACITY NEEDS AND THE MOBILITY NEEDS
THE SECONDARY GANGWAY THAT'S CURRENTLY IN PLACE NEEDS TO BE ASSEMBLED AND DISASSEMBLED WHEN IT'S UTILIZED
AND THE MOBILITY OF THE FOOTPRINT IS TAKING UP ON THE APRON AND THE ABILITY TO MOVE THAT AROUND ON THE APRON TO ACCOMMODATE OTHER NEEDS IN CONJUNCTION WITH OPERATIONS IS VERY LIMITED
SO I GUESS YOU COULD SAY FROM A SAFETY STANDPOINT ALSO IN PROVIDING THE MOST EFFICIENT OPERATIONS ON THE APRON IS ANOTHER THING THAT WE'RE LOOKING TO ACHIEVE AS PART OF THESE NEW GANGWAYS THAT WE'RE LOOKING TO PROCURE
AND THEN IN OUR BRIEFING HERE, IT SAYS THAT ADDING A SECONDARY GANGWAY ON THE WEST SIDE WOULD CREATE ADDITIONAL FLEXIBILITY FOR SHORE POWER CONNECTIONS
HOW DOES THAT WORK? CORRECT
SO AS WILL BE PRESENTED AS PART OF THAT ACTION ITEM, THE NEW SHORE POWER EQUIPMENT IS MORE MOBILE
THESE NEW GANGWAYS WILL BE MORE MOBILE IN ORDER TO WORK IN CONJUNCTION WITH THAT NEW SHORE POWER AGREEMENT OR EQUIPMENT AS FAR AS THE OPERATIONS ON THE APRON
SO AGAIN, THE EXISTING GANGWAY, THE SECONDARY GANGWAY I HAVE IS STATIONARY AND IT'S BASICALLY LOCKED INTO PLACE
SO YOUR ABILITY TO FLEXIBILITY IN CONJUNCTION WITH THE VARYING SIZE VESSELS THAT ARE BIRTHED AT THE CRUISE TERMINAL IS LIMITED CURRENTLY
SO THE NEW GANGLIES WILL BE MORE MOBILE IN CONJUNCTION WITH THAT NEW SHORE POWER EQUIPMENT
COMMISSIONER VAUGHN
SO TO BE CLEAR, THIS IS FOR EMBARKATION AND DISEMBARKATION
CORRECT
JUST IN TERMS OF GETTING PEOPLE ON AND OFF THE VESSEL QUICKLY, I THINK THAT'S AN IMPORTANT FEATURE
ADA IS OBVIOUSLY VERY IMPORTANT FEATURE, BUT IN AN EMERGENCY, TO GET PEOPLE OFF THE VESSEL, IF THERE'S ANY PROBLEM ON BOARD IN A SPEEDY FASHION, IT SEEMS LIKE TO ME THERE'S CLEARLY VALUE IN DOING THIS
I THINK ONE OF THE QUESTIONS I JUST HAD IS IN TERMS OF YOU WANT TO HAVE THIS OPERATIONAL BY 2025
SO ARE CONSTRUCTION GOING TO OCCUR DURING THE 2024 SEASON OR YOU CAN TRY TO ACCOMMODATE ALL THAT IN THE OFFSEASON? THAT'S CORRECT
SO WE'RE LOOKING TO HAVE THE NEW GANGWAYS IN PLACE FOR SERVICE AT THE START OF THE 2025 CRUISE SEASON
THESE GANGWAYS WILL BE ASSEMBLED OVER WELL BY A MANUFACTURER
THE PRIMARY GANGWAYS RIGHT NOW ARE OVERSEAS
WE MAY HAVE A VENDOR, DEPENDING ON THE PROCUREMENT
THE RESPONSES TO THE REQUEST FOR PROPOSAL, WE MAY HAVE ONE WITHIN THE US
THAT REMAINS TO BE SEEN
BUT THE POINT BEING IS THAT WE'RE LOOKING TO EXECUTE A CONTRACT WITH A VENDOR TO MANUFACTURE AND DELIVER THE GANGWAYS, AND THEN THEY'LL BE ASSEMBLED AND COMMISSIONED AT T 91
SO THE CONSTRUCTION REALLY TAKES PLACE OFF SITE, BUT WE'RE LOOKING TO HAVE THEM IN PLACE BY THE START OF THE 2025 CRUISE SEASON, IDEALLY
SO YOU DON'T ANTICIPATE ANY IMPACT ON THE OPERATIONS IN 2025 OTHER THAN ACHIEVE OR IN 2024, OTHER THAN ACHIEVING THE BENEFITS IN 2025
CORRECT
AND JUST LAST THING
SO DID THE PREVIOUS GANGWAYS LIVE UP TO THEIR DURATION? DID YOU GET WHAT YOU EXPECTED TO GET OUT OF THEM? DID THEY SURVIVE THE LIFESPAN YOU EXPECTED THEM TO? THE PIER
SECONDARY GANGWAYS
YEAH
DID THEY GET THEIR USEFUL LIFE? I BELIEVE SO
AND MARIA, YOU'RE MORE FAMILIAR WITH THE HISTORY? SURE
YEAH
THEY BASICALLY WERE PARTS OF OTHER GANGWAYS
FRANKENSTEIN, IF YOU WILL
SO, LIKE, THE CURRENT SECONDARY GANGWAY ON THE NEXT SLIDE IS ACTUALLY PIECES OF DIFFERENT GANGWAYS, INCLUDING TERMINAL 30
I THINK WE GOT GOOD LIFE OUT OF PIECES OF THEM, FOR SURE
AND WE DIDN'T USE THAT IN OUR ADVERTISING FRANKEN TERMINAL
ALL RIGHT, MOVING ON
ALL RIGHT, SORRY
CAN I GET A MOTION ON EIGHT E, PLEASE? SO MOVED
SECOND
GREAT
CAN WE ROLL CALL A VOTE FOR EIGHT E, PLEASE? YES
FIRST
YOU HAVE COMMISSIONER FELLEMAN? AYE
COMMISSIONER HASEGAWA AYE
COMMISSIONER MOHAMED AYE
AND COMMISSIONER CHO? AYE
FOUR AYES AND ZERO NAYS FOR THIS ITEM
EXCELLENT
THANK YOU
THE MOTION PASSES
MOVING ON TO THE AGENDA, WE HAVE FIVE NEW BUSINESS ITEMS TODAY
DEPUTY CLERK PAYNE, PLEASE READ THE ITEM INTO THE RECORD
AND THEN EXECUTIVE DIRECTOR MERCHANT WILL THEN INTRODUCE THE ITEM
THANK YOU
BEGINNING WITH ITEM TEN B, COMMERCIAL AVIATION COORDINATING COMMISSION BRIEFING COMMISSIONERS THE COMMERCIAL AVIATION COORDINATING COMMISSIONER, THE CACC WAS CREATED BY THE STATE LEGISLATURE IN 2019, HAS BEEN TASKED WITH RECOMMENDING A SINGLE PREFERRED LOCATION FOR A NEW COMMERCIAL SERVICE AIRPORT BY JUNE 15, 2023
THE PORT OF SEATTLE SERVED ON THE I DON'T KNOW IF WE'RE CALLING IT SEACREST, I'M SURE I DON'T KNOW
CAC SERVED ON THE CAC IN A TECHNICAL ADVISORY COMMITTEE
IN 2023, THE STATE LEGISLATURE VOTED TO SHIFT THE CAC TO A NEW COMMERCIAL AVIATION WORKGROUP
HOWEVER, THE CAC'S FINAL REPORT TO THE STATE LEGISLATURE CONTAINS VALUABLE INFORMATION ABOUT THE FUTURE OF REGIONAL AIRPORT CAPACITY THAT HAS SIGNIFICANT BEARING ON OUR PLANS AT SEATTLE TACOMA INTERNATIONAL AIRPORT AS WE DEVELOP OUR OWN INFRASTRUCTURE
TODAY'S PRESENTATION WILL SUMMARIZE THE HISTORY, PROCESS, FINDINGS AND NEXT STEP FROM THE CAC'S FINAL REPORT
AND OUR PRESENTERS ARE RF GAUSS, AVIATION CHIEF OPERATING OFFICER, AND WARREN HENDRICKSON, CHAIR, COMMERCIAL AVIATION COORDINATING COMMISSION, THE CAC
SO I'LL TURN IT OVER TO RF FIRST
THANK YOU, COMMISSIONER AND EXECUTIVE DIRECTOR
AS STATED
AND FOR THE RECORD, I'M ARIF GAUSS, CHIEF OPERATING OFFICER AT SEATAC AIRPORT
AND I'M PLEASED TO BE HERE TODAY TO INTRODUCE TODAY'S TOPIC, THE COMMERCIAL AVIATION COORDINATING COMMISSION AND AS JUST STATED, AFFECTIONATELY KNOWN AS CAC
AND THAT'S HOW I'LL REFER IT TO IT FOR THE REST OF MY COMMENTS
AND OUR SPEAKER CAC CHAIR, WARREN HENDRICKSON
I HAD A PLEASURE TO PERSONALLY SERVE ON THE CAC, AND I WANT TO START BY PUBLICLY THANKING WARREN FOR AYE
STEADY, THOUGHTFUL, AND DEDICATED LEADERSHIP ON AYE
VERY CHALLENGING AND CONTROVERSIAL PROCESS
AS YOU PROBABLY SAW IN THE NEWS OVER THE PAST YEAR, THIS HAS OFTEN FELT LIKE A THANKLESS JOB, AND THERE WAS SIGNIFICANT COMMUNITY RESISTANCE TO SOME OF CAC'S FINDINGS
WE WERE VERY FORTUNATE TO HAVE SOMEONE OF WARREN'S BACKGROUND ON THE CAC, TO NAME A FEW OF AYE
ACCOMPLISHMENTS
HE WAS AN INSTRUCTOR PILOT IN THE US AIR FORCE, A COMMERCIAL AIR TRANSPORT PILOT, AND STARTING FROM THE SMALLEST TO THE LARGEST RATED ON THE 737, THE 757, THE 767, THE SEVEN SEVEN SEVEN, AND THE ICONIC SEVEN FOUR SEVEN
HE WAS ALSO THE FLEET MANAGER FOR THE BOEING SEVEN FOUR SEVEN EXECUTIVE DIRECTOR FOR WAMA, WHICH IS A WASHINGTON AIRPORTS MANAGEMENT ASSOCIATION AND HAS HAD ROLES AT TWO WASHINGTON PORTS, BREMERTON AND OLYMPIA, CURRENTLY SERVING AS ACTING DIRECTOR OF OPERATIONS FOR OLYMPIA REGIONAL AIRPORT
TO STATE THE OBVIOUS, THE WORK OF THE CAC IS LINKED TO THE FUTURE OF OUR AIRPORT SEATAC
WE KNOW THAT WE CANNOT ACCOMMODATE ALL FUTURE PROJECTED PASSENGER DEMAND THROUGH OUR FACILITY, AND THAT IS WHY THE PORT COMMISSION SEVERAL YEARS AGO FORMALLY ENDORSED THE STATE PROCESS FOR IDENTIFYING ADDITIONAL REGIONAL AIRPORT CAPACITY
WHILE WE ARE DOING OUR BEST TO BUILD OUT SEA INVESTING, CURRENTLY 4.6 BILLION, THAT WAS APPROVED BY THE COMMISSION ON AN ANNUAL BASIS AS WE GO THROUGH THE FINANCIAL APPROVAL PROCESS FOR CONDUCTING TO IMPROVE OUR INFRASTRUCTURE AND CONDUCTING AN ENVIRONMENTAL REVIEW FOR FUTURE ENHANCEMENTS
HOWEVER, WE DO RELY ON THE STATE AND OTHERS TO FIGURE OUT HOW TO ADDRESS THE FUTURE OF OUR REGION'S TRANSPORTATION SYSTEM, WHETHER IT BE EXPANSION OF EXISTING REGIONAL AIRPORTS OR A BRAND NEW AIRPORT IN WASHINGTON STATE, OR HIGH SPEED RAIL, URBAN AIR MOBILITY, OR A COMBINATION OF ALL OF THEM
THE STATE LEGISLATORS SUNSET THE CAC THIS YEAR, BUT THEIR FINDINGS ARE STILL IMPORTANT TO HEAR AS WE THINK ABOUT OUR OWN FUTURE PLANS AND OUR ENGAGEMENT WITH OTHER REGIONAL STAKEHOLDERS
AND SO I LOOK FORWARD TO HEARING WARREN'S REMARKS, AND I KNOW HE WILL BE PLEASED TO ANSWER ANY QUESTIONS THAT YOU HAVE ABOUT THE CAC'S PROCESS FINDINGS AND SUGGESTED NEXT STEPS
SO WITH THAT, LET ME TURN THINGS OVER TO WARREN TO GO THROUGH AYE
SLIDES
THANK YOU
THANK YOU
GOOD AFTERNOON, COMMISSIONER
GOOD AFTERNOON, EXECUTIVE DIRECTOR, METRUCK AND ERIC, THANK YOU FOR THAT KIND INTRODUCTION
THERE'S A LOT OF WORDS TO EXPLAIN THAT APPARENTLY I CAN'T HOLD A JOB OVER THE LENGTH OF MY CAREER, SO I'VE HAD A GREAT NUMBER OF AVIATION ADVENTURES, AND I'M THRILLED TO BE HERE
MY ROLE WITH THE PORT OF OLYMPIA AND SERVING BOTH AS AIRPORT SENIOR MANAGER AND ACTING DIRECTOR OF OPERATIONS HAS NO CONNECTION AT ALL TO THE CAC, TO THE COMMERCIAL AVIATION COORDINATING COMMISSION
I CAME TO THE CAC AS A COMMISSION MEMBER, NON VOTING MEMBER, AS A RESULT OF MY ROLE AND APPOINTED DELEGATE AS THE WASHINGTON STATE AVIATION ALLIANCE REPRESENTATIVE TO THE CAC
THAT IS AN ORGANIZATION OF ALL THE GENERAL AVIATION ORGANIZATIONS IN THE STATE DEDICATED TO LEGISLATIVE ADVOCACY ON BEHALF OF GENERAL AVIATION
SO THAT'S HOW I CAME TO JOIN THE CAC FROM THERE, IT HAS BEEN A VERY INTERESTING, CHALLENGING, REWARDING PROCESS OVER THE PAST FOUR YEARS
I WILL SAY THAT IF ANYBODY THOUGHT THIS WOULD BE A GREAT WAY TO GET YOUR 15 MINUTES OF FAME, I WOULD NOT RECOMMEND IT
IN ANY CASE, LET ME TELL YOU A LITTLE BIT OF THE STORY ABOUT WHERE WE'VE BEEN, WHERE WE ARE, AND WHERE WE NEED TO GO FROM THE POSITION OF COMMERCIAL AVIATION CAPACITY IN THE FUTURE
NEXT SLIDE, PLEASE
SO, OUR BACKGROUND, WE'VE BEEN AT THIS FOR OVER FOUR YEARS, IDENTIFIED BY THE STATE LEGISLATURE AND CREATED AT THAT TIME IN 2019
WE STOOD UP, WE THOUGHT IT WAS GOING TO BE A TWO YEAR EFFORT, AND IT WAS EXTENDED TO TWICE THAT DURATION AS A RESULT OF THE PANDEMIC
THAT TURNED OUT TO BE A BLESSING AND A CURSE ALL AT THE SAME TIME
BUT IT ALSO PROVIDED US ADDITIONAL TIME TO GO AHEAD AND DELIBERATE AND MAKE SOME RECOMMENDATIONS
THE GOAL, AS WAS AMENDED OVER TIME, AS A RESULT OF THE PANDEMIC, WAS TO IDENTIFY A SINGLE PREFERRED LOCATION FOR A NEW COMMERCIAL AVIATION FACILITY, WHETHER THAT BE A NEW AIRPORT OR USING AN EXISTING AIRPORT BY JUNE 15 OF THIS YEAR
THE MEMBERSHIP WAS COMPRISED OF 27 TOTAL MEMBERS, 15 VOTING AND TWELVE NON VOTING
IT WOULD BE THE 15 VOTING MEMBERS BY A 60% MAJORITY
THAT WOULD THEN MAKE THE FINAL RECOMMENDATION IN EACH PLACE
BUT WE TOOK THE ROLE AS COMMISSION MEMBERS THAT EVERYBODY HAD AN EQUAL SEAT AT THE TABLE AND EVERYONE WAS A PARTICIPANT AT EQUAL LEVEL
ONLY WHEN WE CAME TO ACTUAL VOTES DID WE ACTUALLY MAKE A DETERMINATION BETWEEN VOTING AND NON VOTING
IN TERMS OF ROLE, I WILL HAVE TO SAY IT WAS INCREDIBLE TO HAVE A SEAT AT THE TABLE WITH THIS GROUP OF 27
THEY WERE THE RIGHT PEOPLE FOR THE RIGHT TASK
CRITICAL THINKERS, STATEWIDE REPRESENTATIVES, INDUSTRY, GOVERNMENT, AIRPORT AVIATION, STRONG THINKERS, COMMUNITY ADVOCATES AND WAZDAI AVIATION DID AN ABSOLUTELY SUPERLATIVE ROLE WITH MINIMAL RESOURCES IN PROVIDING ADMINISTRATIVE SUPPORT
NEXT SLIDE, PLEASE
SO THE PROCESS WAS TO PROVIDE RECOMMENDATIONS TO SOLVE THE SHORTAGE OF CAPACITY, NOT IN TERMS OF JUST COMMERCIAL AIR PASSENGER SERVICE, BUT ALSO AIR CARGO AND GENERAL AVIATION
THERE WERE THREE PHASE DEADLINES JANUARY 22, OCTOBER 22, AND THEN JUNE OF THIS YEAR
THE FUNDING MADE AVAILABLE TO THE CAC WAS LIMITED TO PUBLIC OUTREACH AND ADMINISTRATIVE PURPOSES ONLY
THAT'S AN IMPORTANT POINT
WE HAD NO SPECIFIC FUNDING FOR RESEARCH AND ANALYSIS, AND THAT WAS A SIGNIFICANT CONSTRAINT PLACED UPON THE COMMISSION'S WORK THAT WE HAD TO BE CREATIVE TO WORK AROUND
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THE RECOMMENDATIONS ALSO INCLUDED A COUPLE OF RESTRICTIONS THAT WERE PLACED BY THE ORIGINAL LEGISLATION ON THE CAC'S WORK
FIRST, RECOMMENDATIONS COULD NOT INCLUDE THOSE LOCATED IN A COUNTY WITH A POPULATION OF 2 MILLION OR MORE
THERE'S ONLY ONE COUNTY IN THE STATE WITH A POPULATION THAT HIGH
THAT WOULD BE KING COUNTY
OPTIONS ALSO FOR A NEW COMMERCIAL AVIATION FACILITY COULD NOT INCLUDE SIDING ON A FACILITY OF A MILITARY INSTALLATION THAT WOULD EITHER BE INCOMPATIBLE OR AFFECT ITS ABILITY TO CARRY OUT ITS MISSION REQUIREMENTS
NEXT SLIDE
ESSENTIALLY, THAT MEANT WE COULD NOT TOUCH KING COUNTY, WE COULD NOT TOUCH JBLM
INITIALLY, THERE WAS CONVERSATION ABOUT IS THERE A ROLE THAT JBLM COULD PLAY BY COMMISSION MEMBERS IN TERMS OF A JOINT USE CIVIL MILITARY FIELD? THERE ARE EXAMPLES OF THAT ELSEWHERE IN THE COUNTRY
CHARLESTON, SOUTH CAROLINA, PROBABLY THE MOST NOTABLE EXAMPLE
THERE ARE OTHERS
BUT THE END RESULT WAS WE QUICKLY REALIZED THAT WE COULD NOT EVEN VENTURE INTO THAT CONVERSATION BASED UPON THE WAY THE LEGISLATION WAS WRITTEN
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WE HAVE NOT EMBARKED ON THIS JOURNEY JUST RECENTLY
THERE'S A LONG HISTORY GOING BACK TO 1992
THE FLIGHT PLAN STUDY CAME OUT WITH THREE RECOMMENDATIONS
THE FIRST RECOMMENDATION WAS BUILD A THIRD RUNWAY AT SEATAC
CHECK, WE'VE DONE THAT
THE SECOND RECOMMENDATION WAS TO INITIATE COMMERCIAL SERVICE AT PAINT FIELD
CHECK, WE'VE DONE THAT
AND THE THIRD RECOMMENDATION WAS TO CONSTRUCT A NEW AIRPORT IN SOUTH PUGET SOUND
AND HERE WE ARE 31 YEARS LATER AND WE ARE STILL AT THE TABLE DISCUSSING THE NEED TO ADDRESS AVIATION CAPACITY
MORE RECENTLY, THE FAA BEGAN TO REALIZE AND EXECUTIVE DIRECTOR METRUCK JUST TALKED EVEN JUST PREVIOUSLY, ABOUT ATTENDING ALASKA AIR GROUP'S BOARD MEETING WHERE CAPACITY NORTH TERMINAL EXPANSION
CERTAINLY THIS WAS AN ISSUE
THE FAA SAW THE IMPACT OF SEATAC AND ITS ABILITY TO HANDLE COMMERCIAL AVIATION TRAFFIC MOVING FORWARD OVER THE NEXT SEVERAL DECADES AND REALIZED THAT WE NEED TO FIGURE OUT WHEN THIS CAPACITY IS GOING TO AYE
THE WALL AND WHAT WE CAN DO ABOUT IT
SO THEY COMMISSIONED THE PUGET SOUND REGIONAL COUNCIL PSRC
THAT COMPLETED, UNDER FAA FUNDING AS THE LEAD AGENCY, THE REGIONAL AVIATION BASELINE STUDY
IT WAS COMPLETED TWO YEARS AGO
AND ULTIMATELY, AND AS YOU ARE PROBABLY VERY WELL AWARE, PSRC KNOWS FORECASTING
WHEN YOU GO BACK AND LOOK 30 YEARS AGO AT WHAT PSRC PREDICTED FOR TODAY, THEY ARE SPOT ON
THEY PREDICTED A 27 MILLION PASSENGER GAP, 800,000 METRUCK TONS OF CARGO, BASICALLY TWICE WHAT EXISTS TODAY, AND ALSO, IF WE DID NOT ADDRESS THE NEEDS, A $31 BILLION ANNUAL ECONOMIC IMPACT LOSS AND A LOSS OF 209,000 JOBS
NEXT SLIDE
THIS WORK OF THE PSRC AND THE REGIONAL BASELINE STUDY WAS ALSO CONFIRMED BY A CONSULTANT NAMED KIMLEY HORN, WHO IS WORKING RIGHT NOW ON AN AVIATION SYSTEM PLAN FOR WSDOT AVIATION
AND THEY CONFIRMED ALL OF THOSE NUMBERS WERE IN FACT TRUE
THEY TWEAKED THEM A LITTLE FURTHER
YOU CAN SEE HERE THE IMPACT OF GROWTH
WE INITIALLY THOUGHT THAT SEATAC AND PAIN FIELD COMBINED WOULD REACH CAPACITY ABOUT 2027 TO 2028
YOU CAN SEE THE IMPACT OF THE PANDEMIC ON THOSE NUMBERS
AND ESSENTIALLY WE CROSSED THE
BLUE HORIZONTAL LINE
NOW IN APPROXIMATELY 2032, AT THAT POINT IN TIME, WITH ALL OF THE CAPACITY IMPROVEMENTS PLANNED FOR BOTH PAIN FIELD AND SEATAC, WE WILL REACH THE LIMITS AND THEN FROM THAT POINT ON, DEMAND WILL EXCEED SUPPLY
ALTHOUGH SOME DEMAND WILL GO TO OTHER AIRPORTS AROUND THE STATE OR WILL BYPASS WASHINGTON STATE COMPLETELY, WE STILL NEED 27 MILLION PASSENGERS AND 800,000 TONS OF CARGO TO MEET THE NEED NEXT SLIDE
SO AT THE END OF PHASE ONE IN JANUARY 2022, WE STARTED OFF WITH A LIST OF ALL THE EXISTING AIRPORTS, ONE IN EASTERN WASHINGTON, 17 AROUND PUGET SOUND
AND WE TOOK A LOOK AND SAID, CAN WE TAKE ADVANTAGE OF WHAT THESE AIRPORTS HAVE TO OFFER TODAY, INTRODUCE OR EXPAND COMMERCIAL SERVICE AT EACH OR MANY OF THOSE AIRPORTS, AND WILL THAT SOLVE THE PROBLEM? AND THE ANSWER WE CAME TO IN THAT FIRST YEAR AS A COMMISSION WAS NO
NO AIRPORT EXISTING RIGHT NOW AROUND PUGET SOUND CAN EXPAND TO THE POINT NECESSARY TO REACH THE TARGET OF 27 MILLION PASSENGERS
IT WOULD TAKE FIVE OR SIX COMMERCIAL AIRPORTS AROUND PUGET SOUND IN ADDITION TO SEATAC AND PAYNE FIELD, EACH ONE PROVIDING APPROXIMATELY FOUR TO 6 MILLION PASSENGERS EACH, TO GO AHEAD AND BEGIN TO ADDRESS THE CAPACITY NEEDS
THE INDUSTRY, AS WE HAD MEMBERS OF THE CAC AT THE TABLE, WOULD NOT SUPPORT SPREADING THEIR ASSETS, THEIR EMPLOYEES, THEIR EQUIPMENT THAT THINLY
THINK OF THE BAY AREA WHERE YOU HAVE SAN FRANCISCO, OAKLAND AND SAN JOSE
YOU HAVE THREE AIRPORTS IN A TRIANGULAR ARRANGEMENT TO MEET THE CAPACITY OF THE ENTIRE AREA
HERE AGAIN REFERRING BACK TO THE 1992 STUDY, PAIN FIELD, SEATAC AND A SOUTH PUGET SOUND AIRPORT LINED MORE IN A STRAIGHT LINE THAN IN A TRIANGLE
BUT IT WOULD BE THREE COMMERCIAL AIRPORTS WOULD PROVIDE THEM THE NEEDED CAPACITY OVER TIME
AND THAT'S WHERE WE WERE LEFT AFTER THAT FIRST YEAR
WE CAN'T DO IT WITH EXISTING AIRPORTS
WE NEED A GREENFIELD SITE AND A GREENFIELD SITE
IT'S VERY IMPORTANT TO UNDERSTAND WHAT THAT MEANS
IT DOESN'T MEAN AN UNDEVELOPED RURAL AREA
THIS IS NOT A CASE WHERE IN DENVER, COLORADO THEY COULD GO OUT AND BUY 52 SQ MI OF ADAMS COUNTY AND ONLY AFFECT ELEVEN LANDOWNERS
THAT'S NOT THE CASE IN PUGET SOUND
SO BY GREENFIELD SITE WE MEAN SIMPLY A LOCATION WHERE AN AIRPORT DOES NOT CURRENTLY EXIST
AND WE KNOW AND IDENTIFY THAT, YES, THESE SITES WILL IN FACT BE HOME FOR BUSINESSES, RURAL COMMUNITIES, RESIDENTS, CHURCHES, SCHOOLS, AND IT WILL HAVE AN IMPACT
THERE IS NO QUESTION THAT IT WILL
BUT GREENFIELD SITE WAS SPECIFICALLY THAT IT IS NOT AN EXISTING AIRPORT
THE CAC WAS NOT FUNDED FOR THE TECHNICAL ANALYSIS TO GO THERE
AND THAT'S WHERE WSDOT AVIATION AND AGAIN, I HAVE TO GIVE IN PARTICULAR CREDIT TO SENIOR AVIATION PLANNER AT THE TIME, ROB HODGMAN FOR COMING UP WITH THE CONCEPT ON HOW DO WE GET THE RESEARCH AND ANALYSIS THAT WE NEED TO GO AHEAD AND IDENTIFY THAT GIVEN WE WEREN'T FUNDED FOR THAT PURPOSE BY THE LEGISLATURE
SO EVERY FIVE TO SEVEN YEARS, THE STATE DOES AN AVIATION SYSTEM PLAN
THIS IS FUNDED BY THE FAA, AND BASICALLY IT'S A CLEAN SHEET DESIGN WHERE IT'S LIKE, WHERE ARE WE? WHAT DO WE HAVE IN THE STATE FOR AVIATION? WHAT DO WE NEED BASED UPON THE FORECAST, AND HOW DO WE GET THERE? SO IT WAS TIME TO REPLENISH THAT EXISTING AVIATION SYSTEM PLAN
AND SO THEY HIRED KIMLEY HORN AS THE COLTONS TO DO IT, AND THE FAA BACKED IT WITH FUNDING
AND WE FRONT LOADED WITH FAA APPROVAL TO GO AHEAD AND STUDY GREENFIELD SITES UP AND DOWN PUGET SOUND THAT WOULD HELP THEN FUND AND FEED THE DATA THAT THE CAC NEEDED TREMENDOUSLY CREATIVE WITHOUT SPENDING A DIME OF CAC MONEY OR LEGISLATURE APPROPRIATION TO PROVIDE US THE ANALYSIS THAT WE NEEDED
NEXT SLIDE
SO THE AVIATION SYSTEM PLAN MUST BE NOTED, WAS NOT BOUND BY THE SAME LEGISLATIVE RESTRICTIONS ON KING COUNTY AND MILITARY INSTALLATIONS THAT THE CAC WAS
THEY COULD LOOK ANYWHERE
THEY HAD NO RESTRICTIONS, AND THEY DID
AND ULTIMATELY, THEY LOOKED AT TEN POTENTIAL GREENFIELD SITES IN SIX COUNTIES
AND THE REASON WHY KING COUNTY SOUTHEAST, IN THE MIDDLE OF THE PACK THERE, HAS A DOUBLE ASTERISK IS BECAUSE, AGAIN, THE AVIATION SYSTEM PLAN COULD CONSIDER KING COUNTY, THE CAC COULD NOT
SO ALTHOUGH THE INFORMATION WAS AVAILABLE TO US, THERE WAS NO ACTION THAT COULD BE TAKEN BY THE CAC ON THAT TYPE OF A GREENFIELD SITE
NEXT SLIDE
THERE WERE EIGHT MAJOR FACTORS THAT WERE CONSIDERED AT A VERY HIGH, VERY STRATEGIC LEVEL
FAR MORE DETAIL GOES, AND THERE'S A LITTLE BIT OF THE CHECKING OF THE EGG
DO YOU DO WORK TO FIGURE OUT WHERE COULD WE PUT A NEW AIRPORT ON A GREENFIELD SITE, OR DO YOU PUT A PLACE ON THE GROUND TO SAY, WELL, LET'S INVESTIGATE THAT, AND THERE'S NO RIGHT OR WRONG APPROACH
ULTIMATELY, WE CREATED TEN GREENFIELD SITES AND SAID, WHAT ARE THE FACTORS IN EACH OF THESE MAJOR AGE STRATEGIC AREAS? AND I REALLY WANT TO CALL ATTENTION TO THE BOTTOM LINE THAT YOU SEE THERE
THAT IS THE CAPACITY THAT COULD BE REACHED OR ACHIEVED BY EACH OF THOSE GREENFIELD SITES
AND ANYTHING SHY OF 20 MILLION PASSERS A YEAR DOES NOT PUT A SIGNIFICANT DENT IN WHAT WE REALLY NEED 30, 40 YEARS DOWN THE ROAD
SO THIS INFORMATION THEN CAME TO THE CAC
WE HAD TO MAKE A DECISION
IT'S ALSO NOTABLE THAT OF ALL OF THE TEN GREENFIELD SITES, THE ONLY ONE WITHOUT A RED METRUCK IS IN FACT, KING COUNTY SOUTHEAST, ONLY GREEN AND YELLOW
BUT AGAIN, WE COULD NOT GO THERE
SO IT WAS DISCOUNTED
BUT NOTICE THE CAPACITY POTENTIAL
IT WAS PROVIDED BASED UPON THE AREAS THAT COULD BE SERVED
THE COMMISSION THEN TOOK A LOOK AT THE TWO SNOHOMISH COUNTY SITES, BUT REALIZED THAT THAT WOULD CONFLICT DIRECTLY WITH PAYNE FIELD
SO KNOWING THAT PAIN FIELD AND SNOHOMISH COUNTY WOULD HAVE THEIR OWN CAPACITY NEEDS IN THE FUTURE, KING COUNTY THEN WAS OFF THE TABLE FOR CONSIDERATION
THAT LEFT THE TWO PIERCE COUNTY SITES AS BEING THE ONE THAT COULD PROVIDE THE GREATEST DENT IN CAPACITY
THE COMMISSION WAS UNSATISFIED, HOWEVER, IN JUST LOOKING AT JUST PIERCE COUNTY ALONE AND WANTED TO KNOW WHAT ELSE NEEDED TO BE CONSIDERED
SO THE NEXT MOST VIABLE SITE IN SOUTH PUGET SOUND WAS THE THURSTON COUNTY CENTRAL SITE, RECOGNIZING THAT IT WOULD ONLY PROVIDE SHY OF 8 MILLION PASTORS PER YEAR
BUT THE END RESULT WOULD BE AT LEAST IT WOULD BE HELPFUL, BUT WE NEEDED TO LOOK AT IT
NEXT SLIDE, PLEASE
SO COME THIS PAST OCTOBER, WE HAD TO LOOK AT EXACTLY WHERE THESE SITES ARE
SO THESE ARE THE TWO PIERCE COUNTY SITES HERE
ONE IS SOUTH OF GRAHAM ON THE LEFT
THE ONE ON THE RIGHT IS SOUTH OF JBLM
DOES NOT OVERLAP JBLM PROPERTY
NEXT SLIDE, PLEASE
THE THURSTON COUNTY CENTRAL SITE IS SOUTH OF THE LACEY URBAN GROWTH AREA, DOES OVERLIE A PORTION OF JBLM
THE THURSTON COUNTY SOUTH SITE, A LITTLE FURTHER TO THE SOUTHWEST, WAS NOT CONSIDERED
SO THOSE WERE THE THREE GREENFIELD SITES THAT HAD THE ATTENTION OF THE COMMISSION
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I WAS CURIOUS ABOUT EXACTLY HOW MUCH OF AN OVERLAP THERE WAS
JBLM
SO THIS IS MY DRAWING, AND ANY INACCURACIES ARE MINE, BUT THAT IS A SIX MILE DIAMETER CIRCLE THAT DUPLICATES THE THURSTON COUNTY CENTRAL SITE ON TOP OF THE THURSTON COUNTY COMPREHENSIVE LAND USE PLAN
AND YOU CAN SEE WHERE IT TOUCHES THE LACEY URBAN GROWTH AREA TO THE NORTH
AND ABOUT ONE THIRD OF THE BOTTOM PART OF THAT CIRCLE DOES, IN FACT, DIRECTLY OVERLIE JBLM
SO THAT WOULD MEAN THAT THAT PORTION OF THAT CIRCLE COULD NOT BE CONSIDERED BY THE CAC, BUT A PORTION OF IT COULD, AND THAT'S WHY IT REMAINED IN CONSIDERATION
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SO THE END RESULT WAS WITH THE DATA THAT CAME TO US LAST OCTOBER
THE VOTING MEMBERS OF THE COMMISSION MADE TWO RECOMMENDATIONS IN OUR PHASE TWO RECOMMENDATION
THE FIRST ONE WAS TO ADD CAPACITY TO PAYNE FIELD ACCORDING TO ITS AIRPORT MASTER PLAN
AND I BELIEVE, COMMISSIONER, YOU'RE FAMILIAR THAT AN AIRPORT MASTER PLAN IS SOMETHING THAT IS REQUIRED BY THE FAA TO SPONSOR AND CREATE FUTURE DEVELOPMENT
IT HAS AN OUTLOOK FOR TEN YEARS OR A NEAR TERM FORECAST FOR TEN YEARS, AND AN OUTLOOK OUT TO 20
SO ADD CAPACITY TO PAIN FIELD AS IT COULD, ACCORDING TO ITS OWN MASTER PLAN, BUT THEN CONTINUE TO DEVELOP A GREENFIELD SITE, A 3100 ACRE, TWO RUNWAY CONFIGURATION AT ONE OF THREE POTENTIAL GREENFIELD SITES IN PIER OR THURSTON COUNTIES, AND THEN TAKE A LITTLE BIT DEEPER DIVE IN TERMS OF AIRSPACE, STRUCTURE, INFRASTRUCTURE, ROADS, AND TO SEE WHAT WE COULD DO
NEXT SLIDE
THIS IS WHERE IT GOT INTERESTING
SO THIS PAST OCTOBER, UP UNTIL THEN, WAS THE PUBLIC, WERE LOCAL GOVERNMENTS AWARE OF THE CAC? PROBABLY IN GENERAL TERMS BUT AS IS NO SURPRISE, ONCE YOU PUT THREE SIX MILE CIRCLES ON THE GROUND, YOU GET EVERYONE'S ATTENTION
AND THE CAC DID
NOT A SINGLE LOCAL GOVERNMENT, WHETHER THAT BE CITY, COUNTY, OR PORT, NOR ANY OF FOUR SOVEREIGN TRIBAL NATIONS, WAS WILLING TO SUPPORT THE THURSTON AND PIER COUNTY GREENFIELD SITE
AIRPORT LOCATIONS? NONE
NONE
UNIVERSALLY WIDESPREAD PUBLIC OPPOSITION ADMITTEDLY KNOWING TRANSPORTATION AND INFRASTRUCTURE LIMITATIONS
THEY WERE NOT ON THE I FIVE QUARTER
THEY HAD NO DIRECT ROAD SUPPORT THAT WAS VIABLE, NO REAL MAJOR INFRASTRUCTURE IN TERMS OF WASTEWATER, ELECTRICAL GENERATION, POWER, STORMWATER CAPABILITY
AND THEN YOU ADD ON TOP OF THAT THE ENVIRONMENTAL CONCERNS, THE PIER COUNTY SITES, AND THE THURSTON COUNTY SITE
ALL THREE DIRECTLY AFFECT THE NISQUALI RIVER WATERSHED, SACRED GROUNDS TO THE NISQUALI INDIAN TRIBE
THE THURSTON COUNTY SITE ALSO SITS ON TOP OF THE THURSTON COUNTY AQUIFER SO YOU ADD ALL OF THAT AND YOU REALIZE THAT THIS IS A TOUGH SELL
AND REALIZING THAT WITH THE ABILITY NOT TO GO TO KING COUNTY, NOT TO AFFECT JBLM TAKING A LOOK AT THESE, WE LITERALLY, AS A COMMISSIONER, RAN INTO A BRICK WALL
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THERE WAS, HOWEVER, SOME GOOD NEWS
THE CITY OF YAKIMA SAW THE EFFORTS OF THE CAC
THEY WERE AWARE OF IT
THEY SAW THE NEEDS FOR CAPACITY, AND THEY VOTED AS A FORMAL COUNCIL AND MAYOR POLLED
THE CITY GOT A 75% TO 80% POSITIVE RETURN RATE AND SAID, WE'LL TAKE IT
COME HERE
WHICH IS INCREDIBLE
WE HAD ONE GOVERNMENT IN THE STATE OF WASHINGTON THAT SAID, WE WANT IT, BRING IT, AND WE'LL FIGURE IT OUT
AS IS NO SURPRISE, WHEN YOU LOOK AT THE NUMBER OF PASSENGERS AND THE LOCATION OF YAKIMA, WHEN YOU BREAK DOWN THE NUMBERS, IT MEANT THAT GREAT, WE COULD GO TO YAKIMA
THEY WOULD BUILD THE AIRPORT
NOW WE HAD TO FIGURE OUT A WAY OF GETTING 55,000 PASSENGERS A DAY FROM PUGET SOUND TO YAKIMA
HOW WOULD WE DO THAT? AS AN EXAMPLE, RAIL
WELL, POSSIBLY THE HIGHEST, MOST DENSE QUARTER FOR RAIL IN THE COUNTRY IS THE ACALA TRAIN BY AMTRAK FROM BOSTON TO NEW YORK TO PHILADELPHIA TO WASHINGTON TO DC
IN THE THREE YEARS PRIOR TO THE PANDEMIC, ITS AVERAGE DAILY CAPACITY WAS 9700
WE'RE TALKING 55,000 PEOPLE A DAY TO AND FROM YAKIMA FROM ALL CORNERS OF THE STATE
HOW DO WE DO THAT? THERE WERE THREE CONSISTENT RESPONSES FROM THE PUBLIC BUILD TO MEET CAPACITY IN AN ENVIRONMENTALLY SUSTAINABLE WAY
ABSOLUTELY
WHEN THE COMMISSION STARTED ITS WORK, WE HAD FOUR FUNDAMENTAL PRINCIPLES WHEN WE FIRST MET AND SAID, THIS IS HOW WE'RE GOING TO DO OUR JOB
THE FIRST ONE IS ECONOMIC FEASIBILITY AND TWO, PUBLIC BENEFIT
THIRD WAS ENVIRONMENTAL SUSTAINABILITY, AND THE FOURTH WAS SOCIAL JUSTICE
AND I WILL HAVE TO SAY THE COMMISSION, IN EVERY DELIBERATION, EVERY COMMENT, EVERY DISCUSSION, ADHERED TO THOSE PRINCIPLES ON A DAILY BASIS
THAT WAS ONE OF THE MORE REWARDING PARTS OF THE WORK THAT WE DID
THE PUBLIC ALSO SAID EXPAND EXISTING AIRPORTS, WHILE THE COMMISSIONER HAD ALREADY BEEN DOWN THAT ROAD AND REALIZED THAT WE GET WHY PEOPLE WOULD SAY THAT
BUT WE CAME TO THE CONCLUSION THAT THAT WAS NOT ACHIEVABLE AND MAXIMIZE TRAVEL BY RAIL
THERE CERTAINLY IS A ROLE FOR HIGH SPEED RAIL TO PLAY, BUT THAT WAS NOT WITHIN THE PURVIEW THAT WAS GIVEN TO THE COMMISSION, NOR DID WE HAVE THE AUTHORITY TO INVESTIGATE IT
BUT IT WAS A GOOD PUBLIC FEEDBACK
ADMITTEDLY, THERE'S NO QUESTION THAT HIGH SPEED RAIL AND WE'VE SEEN THIS IN EUROPE WHERE DESTINATIONS OF A CERTAIN DISTANCE NOW ARE OBLIGATED TO GO BY RAIL RATHER THAN BY AIR
SO THERE IS THAT CAPABILITY IF YOU BUILD THE SYSTEM, BUT WHAT THE EXPENSE? AND IF YOU BUILD IT, WILL THEY COME? THE CAPACITY OF THE ACILLA TRAIN AND AMTRAK IS NO QUESTION HIGHER THAN 9700 A DAY
BUT THE TICKETS ARE NOT AFFORDABLE, AND PEOPLE WILL DRIVE RATHER THAN TAKE RAIL
SO AT WHAT POINT DOES THAT BREAK EVEN? SOMETHING TO BE CONSIDERED IN THE FUTURE, BUT CERTAINLY WHEN WE'RE TALKING ABOUT A MAJOR AIRPORT THAT WILL SERVE THE DOMESTIC US
NOT INTERNATIONAL, FOR THIS NEW CAPACITY IS AT SOME POINT IN TIME, AIR DOES BECOME FAR MORE EFFICIENT THAN RAIL
AND SO EXACTLY WHERE THAT LINE IS, HOW THAT GETS ADDRESSED, BUT CERTAINLY SOMETHING A DATA BLOCK, A CHECKMARK FOR FUTURE STUDY
AND LASTLY, THE PUBLIC OUTREACH CHALLENGE FROM THE DAY THAT WE STARTED BUSINESS WAS AVIATION CREATED A DISTRIBUTION AND A WEBSITE FOR THE CAC
AND WE HAD AT THE END, 920 PEOPLE HAD SIGNED UP FOR DIRECT DISTRIBUTION RIGHT FROM THE SOURCE ON EVERYTHING THAT WE DID WITHIN THREE WEEKS OF PUTTING THE GREENFIELD SITES ON THE GROUND, FACEBOOK GROUP STARTED UP THAT IN THREE WEEKS, HAD 4200 MEMBERS
HOW DO WE COMPETE AND GET THE WORD TO PEOPLE IN A SOCIAL MEDIA ENVIRONMENT EFFECTIVELY? AND THAT WAS DEFINITELY A CHALLENGE
I'LL COME BACK TO THAT IN A FEW SLIDES
NEXT SLIDE, PLEASE
ONE OF THE THINGS THAT WE NEED TO BE AWARE OF IS THAT NO ACTION DOES NOT MEAN NO IMPLICATIONS
AND I KNOW I'M NOT TELLING YOU ANYTHING THAT YOU DON'T ALREADY KNOW, COMMISSIONER
CERTAINLY SEATAC WILL AYE
ITS CAPACITY
WHAT WILL BE THE IMPACT OF THAT? MOSTLY IT'S GOING TO BE LOSS OF SERVICE
AND WHEN YOU THINK ABOUT THAT, HOW DOES THAT PLAY OUT? WELL, WHEN YOU HAVE LIMITED NUMBER OF SLOTS AND ARRIVALS AND DEPARTURES AT SEATAC, THE AIRLINES ARE GOING TO BE FORCED TO USE BIGGER AIRPLANES
THAT MEANS THE USE OF SMALLER AIRCRAFT TO THINNER ROUTES AND LOWER GAUGE EQUIPMENT TO OTHER DESTINATIONS THAT DON'T HAVE THE TRAFFIC WILL BE LOST
SO YOU NEED THE BIG JETS AND PEOPLE THAT WANT TO GO SOMEWHERE, WHETHER IT BE THE EAST COAST OR TO ORLANDO OR FLORIDA OR ANY NUMBER OF CITIES AROUND THE COUNTRY, THEY'LL HAVE TO CONNECT
THEY'LL HAVE TO GO THROUGH SALT LAKE OR LA OR ATLANTA OR DALLAS OR CHICAGO OR MINNEAPOLIS
THAT'S WHAT THEY'LL HAVE TO DO
BECAUSE YOU CAN'T AFFORD A LARGER NUMBER OF SMALLER AIRPLANES TO THINNER ROUTES WHEN YOU HAVE THE CAPACITY AND DEMAND THEY'LL HAVE TO GO SOMEWHERE ELSE
AND THAT MEANS MORE CONNECTIONS AND LOSS OF NONSTOP SERVICE
NEEDLESS TO SAY, HIGHER PRICES, AIRFIELD RESTRICTIONS, SLOT BIDDING AMONG THE AIRLINES, YOU NAME IT
INCREASED PRESSURE THEN ALSO ON SMALL COMMERCIAL SERVICE AIRPORTS
IT MIGHT PRICE A NORMAL FAMILY OUT OF THE MARKET, WHERE THEY MIGHT HAVE TO GO TO PORTLAND OR TO TRI CITIES OR TO SPOKANE TO TAKE THEIR FAMILY ON VACATION
NEXT SLIDE, PLEASE
HERE'S THE PUBLIC ENGAGEMENT METRICS
COULD WE HAVE DONE A BETTER JOB? ABSOLUTELY
I AM CONVINCED
HOWEVER, WE DID THE BEST WE COULD WITH THE BUDGET THAT WE HAD AND THE CONSULTANT TEAM THAT WE HAD, AND THESE BULLETS OVER THESE TWO SLIDES
TELL THE NUMBERS, AND THEY'RE AVAILABLE IN YOUR PACKET
YOU CAN COME BACK TO THEM, BUT TENS OF THOUSANDS OF INTERACTIONS WITH THE PUBLIC
I PERSONALLY HOSTED THE FIVE VIRTUAL DROP IN SESSIONS
IT WAS LIKE, ASK ANY QUESTION, ANYTIME, ANY BOUNDARIES, AND WE HAD OVER 400 PEOPLE IN THOSE FIVE SESSIONS
I ONLY WISH THAT WE HAD MORE TIME TO ANSWER EVERYBODY'S QUESTIONS, BUT ALL WE COULD DO WAS DO THE BEST WE CAN
I WILL GIVE THE PUBLIC CREDIT
THEY WERE RESPECTFUL
THEY WERE KIND
THEY WERE DEMANDING, BUT THEY WANTED STRAIGHT ANSWERS AND STRAIGHT TALK AND RIGHTLY SO
SO THAT WAS DIFFICULT, CHALLENGING, BUT IT WAS AN ABSOLUTE PLEASURE TO ENGAGE AND TO TRY TO TELL THE STORY SO THAT WE WERE ALL ON THE SAME PAGE GOING FORWARD
NEXT SLIDE, PLEASE
MORE METRICS THAT WE HAVE RIGHT HERE SO YOU CAN SEE THE NUMBERS THAT WE'VE DONE HERE
OKAY, NEXT SLIDE
SO, ON TOP OF ALL THIS, GIVEN THE PUBLIC FEEDBACK, ERIC ALREADY SPOKE TO A LITTLE BIT ABOUT THE ENGROSSED SUBSTITUTE HOUSE BILL 1791
THE LEGISLATURE REALIZED WE MAY NEED TO RESET THIS AND TAKE OUT THE CAC AND THEN REPLACE IT WITH ANOTHER GROUP
SO THAT WAS THE INTENTION, TO GO AHEAD AND DO THAT, REPEAL THE STATUTE
SO AS A RESULT, THE CAC, WE HAD TO TAKE A SEATAC BACK BECAUSE, WELL, WE SEE WHAT THE LEGISLATIVE INTENT WAS
WE SHOULDN'T HAVE A MEETING AND MAKE A RECOMMENDATION WHEN WE MAY BE ABOLISHED, AND WE DIDN'T KNOW WHAT THE GOVERNOR WOULD DO
SO NEXT SLIDE
THE BILL PASSED
UNFORTUNATELY, THE GOVERNOR DECIDED TO VETO MOST OF THE BILL FOUR SIGNIFICANT SECTIONS
BASICALLY, ONE OF THE KEY ONES WAS THAT HE VETOED THE SECTION THAT WOULD HAVE ABOLISHED THE CAT, AND THAT MEANT THAT WE WERE BACK IN BUSINESS, AND WE STILL HAD A STATUTORY REQUIREMENT TO GO AHEAD AND MAKE A RECOMMENDATION
NEXT SLIDE, PLEASE
SO WE JOINED THAT MEETING IN JUNE 9, SIX NAYS BEFORE THE DEADLINE
AND ULTIMATELY, WE HAD TO FIGURE OUT HOW WE WERE GOING TO ADDRESS WHAT WE HAD LEARNED AND WHAT WE WERE GOING TO DO
AND GIVEN THE TIME AVAILABLE, WE CREATED A SURVEY TO GO AHEAD AND HOPEFULLY POINT THE COMMISSION IN THE RIGHT DIRECTION
I WILL GO THROUGH THESE NEXT FEW SLIDES VERY QUICKLY, BECAUSE, AGAIN, THEY'RE IN YOUR PACKET AND LET'S TAKE THEM ONE AT A TIME FOR THE HIGH LEVEL OVERVIEW OF THE RESULTS THAT CAME FROM THE COMMISSION
NEXT SLIDE, PLEASE
SO CAN WE USE AN EXISTING AIRPORT? DO WE NEED A GREENFIELD SITE? CLEARLY GREENFIELD SITE, THE COMMISSION WAS UNANIMOUS ABOUT THAT, IN FACT, FOR THE LAST TWO TO THREE YEARS OF OUR OPERATION
NEXT SLIDE, PLEASE
SHOULD WE GO TO PAINE FIELD OR A GREENFIELD SITE? WE NEED A GREENFIELD SITE
PAINE FIELD WILL HELP, BUT IT'S NOT THE ANSWER
NEXT SLIDE
WHICH GREENFIELD SITE DO YOU PREFER? RECOGNIZING THE FEEDBACK, THE COMMUNITY, THE LACK OF GOVERNMENT SUPPORT, THE END RESULT WAS WE NEED A GREENFIELD SITE
WE DON'T KNOW WHERE IT IS
NEXT SLIDE
SHOULD YAKIMA BE SELECTED? I MEAN, THEY RAISED THEIR HAND
THE ANSWER WAS NO
THAT WE RECOGNIZE THE CHALLENGES OF GETTING THE PEOPLE THERE, BUT WE DO APPRECIATE THEIR PARTICIPATION
NEXT SLIDE
DO YOU BELIEVE IT IS POSSIBLE TO HAVE A NEW PRIMARY COMMERCIAL FACILITY COMPLETE BY 2040 SPLIT? IT TAKES FOREVER TO BUILD AN AIRPORT
TAKES FOREVER TO BUILD AN AIRPORT
DENVER FROM 83 TO OPEN TO 90 512 YEARS
AND THAT WAS A GOOD START
WE DON'T HAVE THAT HERE YET
NEXT SLIDE
AND THEN WHAT OTHER IMPORTANT ITEMS NEED TO BE CONSIDERED? IDENTIFY AN AIRPORT SPONSOR AS YOU ARE
THE PORT OF SEATTLE IS THE SPONSOR FOR PORT OF SEATAC INTERNATIONAL AIRPORT
THAT MEANS THE AIRPORT OWNER
SO WE HAVE TO FIND FUNDING, WE HAVE TO WRITE A MASTER PLAN, WE HAVE TO FIND THE INFRASTRUCTURE
WE NEED INDUSTRY COMMITMENTS THAT THEY'RE GOING TO OPERATE FROM
THE NEXT SLIDE
NEXT SLIDE, PLEASE
WOULD YOU PREFER A NO ACTION ALTERNATIVE? NO, BECAUSE THEN WE WOULD FOREVER THROTTLE THE ECONOMIC IMPACT OF WASHINGTON STATE LOCALLY AND NATIONALLY
NEXT SLIDE, PLEASE
HAS THE ABILITY TO MAKE RECOMMENDATIONS IN KING COUNTY BEEN A HINDRANCE OR INABILITY RATHER? AND YES, IT WAS
NEXT SLIDE
EVEN MORE SO BY ONE ADDITIONAL VOTE
EVEN NOT BEING ABLE TO TALK TO JBLM WAS ALSO A HINDRANCE
SO BOTH WERE LIMITATIONS
NEXT SLIDE
SO ULTIMATELY NEXT SLIDE
WHAT WERE WE TO DO? WE NEEDED TO CONSIDER ALL OF THIS, THE FEEDBACK, THE LACK OF LOCAL GOVERNMENT SUPPORT, LACK OF INDIAN SOVEREIGN NATION SUPPORT, THE LEGISLATIVE INTENT
THE GOVERNOR'S VETO COMMENT SAID YOU GUYS NEED TO GO AHEAD AND WORK ON EXISTING AIRPORTS, WAS PART OF AYE
VETO MESSAGE
THE SURVEY RESPONSES? OUR STATUTORY RESPONSIBILITY IS WE WERE TOLD THAT WE BY LAW HAVE TO MAKE A RECOMMENDATION
NEXT SLIDE, PLEASE
SO THE END RESULT WAS WE LOOKED AT WHAT WE NEEDED TO DO, WHAT THE LEGISLATURE ASKED US TO DO
NEXT SLIDE
AND ULTIMATELY WHAT THE COMMISSION ELECTED TO DO IS WE DON'T HAVE ENOUGH DATA OR SUPPORT OR FUNDING TO REALLY SAY ONE LOCATION ON THE GROUND
STATE LEGISLATURE
HERE IS OUR SURVEY RESULTS AND WE PRESENTED THAT AS A BODY OF KNOWLEDGE TO THE LEGISLATURE TO SAY HERE IS WHERE WE'VE BEEN AND WHAT WE NEED TO GO FORWARD AND BRIEFLY, I'LL FINISH UP WITH
NEXT SLIDE
SO THE NEXT STEPS
HERE'S WHERE WE ARE
THE CACA OFFICIALLY SUNSETED AND I WAS PUT OUT OF THE CHAIR JOB
YAY FOR ME
EFFECTIVE JUNE 30
THE COG LEGALLY ESTABLISHED ON JULY 23
RECRUITING OF THE MEMBERS WILL BE ON A SCHEDULE TO BE DETERMINED
GOVERNOR INSLEE HAS INDICATED HE WILL APPOINT THIS NEW BODY
I WILL OFFER THE NEW WORK GROUP WITH A TRANSITION
BUT THESE NEXT FEW QUESTIONS ARE REALLY THE KEY OF AND WHAT I WANT TO LEAVE WITH YOU TODAY
NEXT SLIDE
THE NEXT STEPS FOR ALL OF US WHO WILL LEAD THIS EFFORT
WE HAVE AN INTERSTATE HIGHWAY SYSTEM BECAUSE OF PRESIDENT EISENHOWER
WE PUT A MAN ON THE MOON IN EIGHT YEARS BECAUSE OF PRESIDENT KENNEDY
DENVER AIRPORT WAS BUILT IN TWELVE YEARS BECAUSE OF GOVERNOR RAY ROMER AND MAYOR FREDERICO PENA
AT THE TIME, GOVERNOR ROEMER WAS QUOTED AS SAYING THIS DECISION ON THE AIRPORT WILL BE THE MOST IMPORTANT ECONOMIC DECISION THIS STATE WILL MAKE IN 20 YEARS
I WOULD SAY IN RETROSPECT, PROBABLY THE MOST IMPORTANT DECISION IN 50 YEARS
WHEN YOU LOOK AT WHAT DENVER IS TODAY, 215 DESTINATIONS FROM DENVER, FOURTH LARGEST AIRPORT IN THE COUNTRY
BUT WHAT DOES THAT MEAN NOW GOING FORWARD FOR THE REST OF US? NEXT SLIDE
WE'VE GOT TO EXPAND THE TEAM AND WE HAVE TO ASK OURSELVES SOME HARD QUESTIONS
DO WE AGREE WE HAVE A PROBLEM? IS COMMERCIAL AVIATION CAPACITY LIMITATIONS A PROBLEM FOR US, FOR THIS STATE, FOR THIS ECONOMY? IF WE DON'T AGREE, THEN WE'RE DONE AND WE CAN'T MOVE FORWARD
BUT WE HAVE TO AGREE AS A GROUP OF ALL GOVERNMENTS, FEDERAL, STATE AND LOCAL PORTS, SOVEREIGN NATIONS, THE PUBLIC, THE COMMUNITIES
NEXT SLIDE
IF WE AGREE THERE IS A PROBLEM, IS IT WORTH SOLVING? IT'S GOING TO COST, THERE WILL BE IMPACTS, NO QUESTION
IF WE CAN'T AGREE IT'S WORTH SOLVING, THEN WE TAKE THE NO ACTION ALTERNATIVE
BUT IF WE AGREE IT'S WORTH SOLVING
NEXT SLIDE
HOW DO WE SOLVE IT? AND THIS IS A BIG FACTOR BECAUSE WHAT THE LEGISLATURE ASKED THE CAC TO DO WAS DEFINE WHERE WE NEED TO FIND NOT ONLY WHERE, BUT HOW
WHAT WILL IT LOOK LIKE? WHAT EMERGING TECHNOLOGIES COME INTO PLAY? HOW CAN WE BUILD THE PORT OF THE FUTURE? TO SOME EXTENT, WE SHOULD CONSIDER THIS AN OPPORTUNITY THAT THIS IS NOT SEATAC 2.0 OR PAINE FIELD 2.3
THIS IS A NEW AIRPORT WITH A NEW OPPORTUNITY TO GO AHEAD AND PROTECT AND GROW THE ECONOMIC DEMOGRAPHICS OF THE ENTIRE STATE AND THE REGION
WE HAVE A BIG PART TO PLAY
WE ARE ONE OF THE TOP TEN AVIATION DESTINATIONS IN THE COUNTRY
AND HOW DO WE PROTECT THAT CAPACITY GOING FORWARD? AND LASTLY, NEXT SLIDE
IF NOT, IF WE'RE NOT WILLING TO TACKLE THOSE QUESTIONS, ARE WE WILLING TO ACCEPT THE CONSEQUENCES OF NO ACTION? AND WITH THAT, I THANK YOU FOR YOUR TIME
IF THERE'S ANY QUESTIONS I COULD ANSWER FOR YOU, IT WOULD BE MY PLEASURE
THANK YOU SO MUCH FOR THAT THOROUGH BRIEFING
AND THIS, FOR MY COLLEAGUES, IS AN INFORMATIONAL ONLY ITEM
SO THERE WILL BE NO ACTION ASSOCIATED WITH THE ITEM TODAY, BUT I WILL OPEN IT UP TO COMMENTS AND QUESTIONS FOR COMMISSIONER AT THIS TIME
PLEASE LET ME KNOW IF YOU WOULD LIKE TO ASK A QUESTION, MAKE A COMMENT
YEAH
COMMISSIONER FELLEMAN, THANK YOU SO MUCH FOR THAT BIT OF HISTORY AND CONGRATULATIONS ON YOUR RETIREMENT
WE SHOULD ALL BE SO LUCKY
BUT THE THING THAT'S ALWAYS TROUBLED ME IS, IN ADDITION TO THE NEED FOR GENERAL AVIATION AND AIR CARGO, OF COURSE THE AIRLINES ALWAYS TALK ABOUT THE NEED FOR CONNECTING FLIGHTS
AND SO YOUR POINT ABOUT HAVING THE THREE AIRPORTS IN CALIFORNIA AND HAVING SOME PROXIMITY, THAT'S ALWAYS SOME HELP
BUT THE IDEA THAT BACK IN 1992, THAT THE RECOGNITION OF THE NEED FOR AN AIRPORT TO THE SOUTH, THIS IS CLEARLY WHERE OUR POPULATION GROWTH IN THE LARGE PART IS COMING
IT'S WHERE LIGHT RAIL IS GOING
IT JUST SEEMS TO BE I THINK ONE OF THE GREAT CHALLENGES OF SEATAC IS OUR KIND OF INABILITY TO GET PEOPLE THERE AND BACK IN A MASS TRANSIT KIND OF A WAY
SO THAT CAPACITY IS IMPROVING TO THE SOUTH
AND THE NEED FOR AIR CARGO AND HAVING SCATTERED SMALL AIRPORTS AROUND THE AREA DOES NOT REALLY ADDRESS THE NEED FOR THE CONSOLIDATION OF AIR CARGO
BUT GOING TO THE SOUTH, AGAIN, YOU HAVE SOME POTENTIAL FOR EQUIDISTANCE TO THE KENT VALLEY DISTRIBUTION CENTER SO THAT IF YOU HAVE SOMETHING TO THE SOUTH AND YOU HAVE SOMETHING AT SEATAC, YOU CAN AT LEAST CONSOLIDATE AND REDISTRIBUTE AS NEEDED
WHICH THEN BRINGS ME TO THE FACT THAT YOU HAD THE LUXURY OF THIS FAA AVIATION SYSTEM PLAN THAT SORT OF TOOK OFF THE BOUNDS OF THE LEGISLATIVE RESTRICTIONS
AND YOU NOTED THAT NORTH CAROLINA IN CHARLESTON HAS THIS JOINT USE WITH A MILITARY BASE
AND I'M JUST WONDERING TO THE DEGREE I UNDERSTAND THERE'S LIKE A DOZEN PLACES THAT HAVE AIR NATIONAL GUARDS SHARING SPACE WITH COMMERCIAL AVIATION AND SOMETHING LIKE A HALF DOZEN MILITARY BASES THAT SHARE THAT CAPACITY
BUT NORTH CAROLINA I KNOW SPECIFICALLY ABOUT
BUT I'M JUST WONDERING, DID THE AIR SAFETY PLAN GET INTO ANY DETAIL IN TERMS OF OPERATIONALLY HOW YOU THINK THAT HAPPENED? BECAUSE IT STRIKES ME THAT PROBABLY LONG AFTER I'M GONE, THAT'S THE ONLY PLACE THAT MAKES SENSE TO ME, BUT OBVIOUSLY THE MILITARY FEELS OTHERWISE
I'M JUST WONDERING TO THE DEGREE THAT DID YOU HAVE A CHANCE TO DIVE INTO NORTH CAROLINA? ONLY FROM MY MILITARY BACKGROUND AND MY COMMERCIAL AVIATION BACKGROUND WAS I AWARE OF THESE JOINT USE AIRPORTS
I HAD 24 YEARS OF MILITARY SERVICE AND I OPERATED FROM IN MY YEARS WITH THE ARIZONA AIR NATIONAL GUARD, OPERATE FROM A JOINT USE FIELD
IT'S DOABLE, IT'S CAPABLE
THE CAC COULD NOT GO THERE BECAUSE OF THE LEGISLATIVE RESTRICTION
AND JBLM, WHEN WE DREW THE CIRCLES ON THE MAP, THEY DID MAKE A PUBLIC STATEMENT THROUGH THEIR PUBLIC SPOKESPERSON, AND WE DID HAVE A REPRESENTATIVE JBLM ON THE COMMISSION AS A NON VOTING MEMBER
AND THEY SAID, ANYTHING YOU DO WILL IMPACT THE MISSION
AND THEN THAT TOOK IT OFF THE TABLE
IF WE'RE SERIOUS ABOUT THIS GOING FORWARD, ALL YOU HAVE TO DO IS LOOK GOOGLE
THIS IS MY OWN PERSONAL OPINION NOW, BUT AS AN AVIATION REPRESENTATIVE THAT IS INVOLVED IN THIS PROCESS, IF YOU DO A GOOGLE OR SEARCH OF PUGET SOUND, WHERE IS THE LAND WHERE YOU DON'T FORCE BUSINESSES AND COMMUNITIES TO MOVE? IT'S A JBLM
AND WE NEED TO FIND A WAY, FEDERALLY STATE, LOCAL LEADERSHIP, OF BRINGING JBLM TO THE TABLE ON HOW CAN WE MEET YOUR NEEDS AND RESTRICTIONS WHILE STILL MEETING THE NEEDS OF PUGET SOUND IN A LARGE VIEW
DOES THE BASE HAVE TO BE WHERE THE POPULATION IS? NO
THE C 17S OPERATE FROM GRANT COUNTY INTERNATIONAL AIRPORT
THE ARMY TRAINS AT YAKIMA RESERVATION
COULD THERE BE SOME MEANS BY WHICH THIS TRANSITION PLAN TO EASTERN WASHINGTON? BUT WHERE DOES THE AVIATION CAPACITY HAVE TO BE? IT HAS TO BE WHERE THE PEOPLE ARE, AND THAT IS THE TIEBREAKER
AND SOMEHOW WE NEED TO BRIDGE THAT GAP
IN MY OWN MIND GOING FORWARD, TO HAVE THAT CONVERSATION, TO GO AHEAD AND FIND OUT HOW DO WE MEET EVERYBODY'S NEEDS? WHEN I GAVE A PRESENTATION LIKE THIS TO PIERCE COUNTY, ONE OF THE COUNCIL MEMBERS CAME UP TO ME AFTERWARDS AND SAID, WELL, RECOGNIZING THAT THE MCCORD RUNWAY MAY NOT WORK BECAUSE IT'S TOO CONSTRAINED, DOESN'T PROVIDE THE TRUE RUNWAY CONFIGURATION
BUT IF YOU BUILT NEW RUNWAYS FURTHER SOUTH INTO FORT LEWIS, COULDN'T THEY BE SHARED BY THE CTA 17S? ABSOLUTELY
ALL IT TAKES IS A LITTLE BIT OF EFFORT
THE PORT OF TACOMA, THE PIERCE COUNTY, WILL FIGHT TOOTH AND NAIL TO HAVE ANY IMPACT AT ALL ON JBLM
AND THEY HAVE TOLD ME DIRECTLY, I UNDERSTAND THAT
BUT ULTIMATELY, IF WE'RE THINKING 30, 40, 50 YEARS DOWN THE ROAD, THE ECONOMIC IMPACT OF A SEATAC TYPE OF AIRPORT WITH THAT CAPACITY FAR EXCEEDS THE ECONOMIC IMPACT OF JBLM
SO YES, WILL THERE BE CHURN? WILL THERE BE IMPACT? BUT IN TERMS OF WHERE IS THE LAND, WHERE IS THE NEED, WHERE IS THE POPULATION GROWTH? TO ME, I THINK THERE'S A DOOR THERE THAT NEEDS TO BE OPENED, BUT IT'S GOING TO TAKE A LOT OF PEOPLE AT THE TABLE TO GO AHEAD AND MEET EVERYBODY'S NEEDS GOING FORWARD
IT'S A DIFFICULT CHALLENGE
I LOVE THE FACT THAT SOMEBODY WHO HAS SO MUCH MORE EXPERIENCE THAN ME COMES TO THE SAME CONCLUSIONS
BUT THE OTHER COMPONENT IS THAT THESE COMMUNITIES ARE ALREADY EXPOSED TO HEAVY AVIATION NOISE
SO THAT THERE IS ALSO, WHEN YOU TALK ABOUT GREENFIELD, THIS ISN'T GREENFIELD IN THAT SENSE
YOU HAVE THAT COMMUNITY EXPOSURE
YOU ALSO HAVE THE IDEA THAT YOU WOULD HAVE RESIDENTS RATHER THAN JUST TRANSIENT COMMUNITIES IN THE MILITARY
BUT PORT OF TACOMA, AS A SEAPORT ALLIANCE MEMBER, IT'S A STRATEGIC PORT
IT'S IMPORTANT TO HAVE THAT RELATIONSHIP WITH THE MILITARY, AND THE MILITARY NEEDS
TO BE THERE
IT JUST SEEMS TO ME THAT WE'VE JUST BEEN TOLD A PRIORITY, YOU CAN'T LOOK
AND IT JUST STRIKES ME THAT'S WHY I WAS WONDERING WHETHER BEING ABLE TO TAKE A DEEPER DIVE TO SEE ARE THERE ANY WAYS IN WHICH THESE THINGS COULD BE ACCOMMODATED
MOSES LAKE HAS THE LONGEST AIRFIELD, RIGHT? HOW MUCH LONGER DOES IT TAKE TO GET THERE? KNOW? SO ANYWAY, BUT THANK YOU FOR THAT CANDID RESPONSE
COMMISSIONER MOHAMED WELL, FIRST OF ALL, I JUST WANTED TO SAY THANK YOU FOR THE BRIEFING
THIS WAS VERY INFORMATIVE
AND I'VE SAID THIS BEFORE, DISAPPOINTING
AT THE SAME TIME, ONE OF THE QUESTIONS THAT I HAD WAS AROUND TO PREVENT THE RESTART OF THE COMMISSION
TO ME, IT SEEMED LIKE MAYBE MIDWAY SOME OF WHAT THE OUTCOME WAS OF THE COMMISSION AND THE DIRECTION THAT THINGS WERE GOING IN, AND ESPECIALLY THE RESPONSE COULD HAVE BEEN PREDICTED FROM THE PUBLIC AND THE COMMUNITY
AND SO WERE THERE ANY CONSIDERATION MIDWAY TO PAUSE? I FEEL VERY DISAPPOINTED THAT THIS WHOLE THING IS GOING TO GO BACK TO THE DRAWING BOARD, AND I'M CURIOUS IF THERE'S ANYTHING THAT YOU CAN SHARE AROUND THAT
WE CONSIDERED THAT, ESPECIALLY GIVEN I MEAN, WHEN WE GOT INTO THE PANDEMIC AND IT WAS LIKE TEAMS AND ZOOM AND HOW DO WE DO ONLINE AND HOW DO WE ENGAGE THE PUBLIC IN A MEANINGFUL WAY, IT WAS CHALLENGING, AND THERE'S NO QUESTION THERE WERE LESSONS LEARNED, AND WE WONDERED WHETHER OR NOT A PAUSE WOULD BE APPROPRIATE
WE HAD FOUR NON VOTING LEGISLATIVE MEMBERS ON THE COMMISSION AS WELL
AND THE QUESTION WAS, SHOULD WE GO BACK AND EXTEND THE TIMETABLE EVEN FURTHER? BUT MOSTLY IT WAS LIKE, LET'S CONTINUE THIS PROCESS AND THEN SEE WHERE WE CAN GET TO FIGURE OUT WHAT'S GOING ON
BUT CERTAINLY THE PUBLIC FEEDBACK, EVEN WITHIN THE LEGISLATURE, THIS BILL PASSED UNANIMOUSLY IN BOTH HOUSES, BOTH SIDES OF THE AISLE, AND THEN THE NEW BOARD GROUP DID NOT
I MEAN, SO CLEARLY THE MESSAGE WAS BEING RECEIVED BY THE LEGISLATURES IN TERMS OF THE COMMUNITIES THAT THEY REPRESENTED
WHAT NEEDS TO HAPPEN GOING FORWARD IS WE DON'T NECESSARILY HAVE TO START OVER
BUT CERTAINLY EVERYTHING THAT WE'VE DONE THIS PAST FOUR YEARS BECOMES NOW PART OF THE BODY OF KNOWLEDGE AND WE SHARE THAT TO THE NEXT GROUP
MY CANDID CONCERN ABOUT THE WORK GROUP IS THEIR ONLY REQUIREMENT IS TO MAKE AN ANNUAL REPORT TO THE LEGISLATURE
THEY DON'T HAVE IT DELIVERABLE, THEY DON'T HAVE A SPECIFIC MANDATE, THEY DON'T HAVE THE AUTHORITY TO MAKE ANY DECISIONS
THEY HAVE THE ABILITY AND THE TASK TO GO AHEAD AND CONTINUE TO STUDY AND MAKE A REPORT
AND THE OPEN ENDED QUESTION IS, DOES THAT MOVE THE BALL FORWARD TO MEET THE NEEDS THAT WE KNOW ARE COMING DOWN THE ROAD? WE IN THE PLANNING BUSINESS AND IN THE PORT BUSINESS ARE IN THE ROLE OF PREDICTING THE FUTURE, PREPARING OUR COMMUNITIES FOR THE FUTURE THAT WE KNOW IS COMING
THE QUESTION IS, HOW DO WE DO THAT AND HAVE TOTAL SUPPORT AND BUY IN
THAT'S REALLY HELPFUL AND OUGHT TO BE SOMETHING THAT THEY CONSIDER IN THE FUTURE HAVING MORE THAN JUST AN ANNUAL REPORT BEING THEIR RESPONSIBILITY
MY OTHER QUESTION IS HOW MUCH TIME MAYBE WAS SPENT ON DISCUSSING THE PUBLIC SURETY CONCERNS AT SEATAC AIRPORT WITH THE CAPACITY INCREASING AND JUST KNOWING THAT THERE'S CLEARLY A CONSEQUENCE FOR A NO ACTION AND THAT THERE IS A CLEAR CONNECTION TO PUBLIC SAFETY IN CONNECTION TO THAT THAT WE NEED TO TAKE ACTION BECAUSE AT SOME POINT IT'S GOING TO BE A PUBLIC SAFETY CONCERN
WAS THAT A PART OF YOU GUYS' DISCUSSIONS? A BIG PART OF IT
AND THEN MY LAST QUESTION IS AROUND STRATEGIES, TALKING ABOUT MITIGATION STRATEGIES FOR COMMUNITIES NEAR THESE AIRPORTS
I THINK A BIG REASON WHY THE PUBLIC PUSHED BACK AND A LOT OF COMMUNITIES PUSHED BACK IS BECAUSE PEOPLE DON'T UNDERSTAND SORT OF THE SUPPORT THAT THEY WILL RECEIVE ESPECIALLY FOR THOSE WHO WILL LIVE ADJACENT TO AN AIRPORT
AND SO IF YOU CAN MAYBE SPEAK TO THAT A LITTLE BIT THAT'D BE HELPFUL
ABSOLUTELY
YOU'RE ABSOLUTELY RIGHT
THE SAFETY AND SOCIAL ENVIRONMENTAL CONCERNS WERE UPFRONT AND PERSONAL TO EVERY MEMBER OF THE COMMISSION
WE HAD ABOUT FOUR OR FIVE INFORMATIONAL SESSIONS DEVOTED TO HAVING ENVIRONMENTAL SOCIAL JUSTICE EXPERTS COME AND SPEAK TO US
WE HAD THE BENEFITS OF THE STUDY OF PARTICULATES AND THE WORK THAT WAS DONE HERE WITH REGARD TO TRANSPORTATION INFRASTRUCTURE IMPACTS ON COMMUNITIES
THE PARTICULATES THAT WERE COMING FROM EXHAUST THE IMPACT OF SUSTAINABLE FUELS THAT WERE BEING INTRODUCED HERE
BUT THE TROUBLE IS, AS YOU WELL KNOW IS WE COULD GO 100% SUSTAINABLE FUEL FROM SEATAC INTERNATIONAL AIRPORT BUT THAT MEANS ALL THE OTHER AIRPLANES COMING FROM EVERYWHERE ELSE IN THE WORLD ARE NOT BURNING THAT SUSTAINABLE FUEL
SO THERE'S STILL GOING TO BE THAT IMPACT AND THE QUESTION IS HOW DO WE MOVE THAT FORWARD? SENATOR KAREN KAISER AND REPRESENTATIVE TINA ORVILLE
SENATOR KAREN KAISER WAS THE SPONSORING MEMBER OF THE STATE HOUSE THAT BROUGHT THE CAC TO FRUITION BECAUSE OF THE IMPACT KNOWING ON THE COMMUNITIES
AND THAT'S WHY BOTH SENATOR KAISER AND REPRESENTATIVE ORVILLE HAD SEATS ON THE COMMISSION AS NON VOTING MEMBERS SO THEY COULD THEN SPEAK DIRECTLY TO THE IMPACT ON THE COMMUNITIES FROM BOTH AN ENVIRONMENTAL AND SAFETY ASPECT AS WELL AS A TRANSPORTATION ASPECT THAT WAS KEY TO OUR UNDERSTANDING
AND THEN WE HAD THE BENEFIT OF THE STUDIES THAT CAME TO US AS WELL
SO THAT WAS IMPORTANT
WITH REGARD TO THE SECOND QUESTION GOING FORWARD IN TERMS OF THE COMMUNITIES GOING FORWARD IS WE RECOGNIZE THAT THIS HAS TO BE EMERGING TECHNOLOGY
WE HAVE TO USE ELECTRIC AVIATION
THERE ARE ALREADY AIRCRAFT FLYING THAT ARE COMMERCIALLY SIZED, RELATIVELY SMALL RANGE, LIMITED BUT THAT COULD ENTER INTO COMMERCIAL SERVICE
ONCE SUPERVISED OR CERTIFIED THEY ARE ALREADY IN TESTING AND FLYING
SO IT'S NOT A PIPE DREAM
SOME PEOPLE BELIEVE IT IS BUT IT'S NOT AS FAR AWAY AS I THINK WE THINK
AND WE NEED TO EMBRACE AND FUND AND SUPPORT THOSE EFFORTS BECAUSE THAT WILL MITIGATE THE PARTICULATES, THAT WILL MITIGATE THE FUEL ISSUES, THAT WILL MITIGATE THE EMISSIONS AND WILL PROVIDE A BETTER CAPABILITY WITH QUIETER OPERATIONS
SO YES TO BOTH OF YOUR QUESTIONS, SPOT ON EXACTLY WHERE WE NEED TO GO, BUT CERTAINLY A PART OF OUR CONVERSATION
YEAH, I REALLY APPRECIATE THE TIME AND JUST WANT TO SAY THAT I THINK EMBRACING AND FUNDING THESE INNOVATIVE IDEAS AND ALSO I THINK THERE'S AN OPPORTUNITY FOR THE STATE AND OUR LEGISLATORS TO UNDERSTAND THAT WHEN YOU HAVE AN AIRPORT AND THE COMMUNITIES NEAR IT, IT'S A BENEFIT TO THE ENTIRE REGION
AND BY PROVIDING SUPPORT TO THEM AND SHOWING THAT THROUGH FUNDING AND HEARING THEM OUT BETTER, I DO THINK THEN PEOPLE IN THE REST OF THE STATE WILL BE MORE WELCOMING OF AN AIRPORT
SO I SAY DO RIGHT BY SEATAC AND THE COMMUNITIES ADJACENT TO OUR AIRPORT EVEN MORE
AND I THINK MORE COMMUNITIES WILL WELCOME A SECOND AIRPORT AND WE'RE READY FOR IT
IT'S OVERDUE
AND THANK YOU FOR YOUR TIME AND YOUR SERVICE
THANK YOU, COMMISSIONER
I WILL SAY THAT OUR SOCIAL JUSTICE GUIDING PRINCIPLE THAT WE ADOPTED OUR FIRST YEAR AT OUR FIRST MEETING, FIRST TWO MEETINGS, WAS NO ONE SHOULD BENEFIT AT THE EXPENSE OF ANY OTHER SEGMENT OF OUR COMMUNITY
THAT HAS TO BE PART OF THE PROCESS GOING FORWARD
IF YOU CAN DO THAT, THEN YOU WILL GET BY IT
WELL, I JUST WANTED TO OPEN BY THANKING YOU FOR YOUR LEADERSHIP ON THIS COMMISSION AND I HEARD YOU IN YOUR OPENING COMMENTS WHEN YOU SAID IT OFTENTIMES FEELS LIKE A THANKLESS JOB
AND WE UNDERSTAND THE CHALLENGES IN NAVIGATING COMMUNITY CONCERNS, BALANCING THAT IMPACT WITH BENEFIT AND OPPORTUNITY
AND IT TRULY IS A BALANCING ACT
AND I LOVE WHAT YOU SAID ABOUT MAKING SURE THAT OPPORTUNITY FOR PUBLIC ENGAGEMENT WAS THERE
YOUR LEADERSHIP IN PERSONALLY FACILITATING PUBLIC COMMENT AND FIELDING QUESTIONS AND CONCERNS WITH OVER 400 PEOPLE, BUT THAT YOU REFERRED TO THAT AS A PIECE OF THE JOY OF THE WORK
THANK YOU
IF IT IS LINKED LIST, THEN LET ME THANK YOU PERSONALLY FOR THAT LEADERSHIP
COMMISSIONER FELLEMAN ASKED MY QUESTIONS ABOUT FUTURE CONSIDERATIONS OF JBLM
I WON'T ASK YOU TO REPEAT YOUR ANSWER
AND I DID ALSO HEAR YOU ABOUT ALTERNATIVES
RIGHT
AND THAT NONE OF THIS EXISTS WITHIN A SILO
NO ACTION DOES NOT MEAN NO IMPACT
I DO THINK THAT THERE ARE CONTINUED OPPORTUNITIES FOR LEADERSHIP BY THE PORT OF SEATTLE
AND JUST SO THAT YOU KNOW, WE ARE HAVING ONGOING CONVERSATIONS ABOUT HOW WE CAN CONTINUE TO INFLUENCE THE STATE LEGISLATURE FOR A CONTINUED CONVERSATION NOT JUST ABOUT THE DEVELOPMENT OF A NEW GREENFIELD SPACE, BUT ALSO ABOUT THE ESTABLISHMENT OF A HIGH SPEED GROUND ALTERNATIVE, SOMETHING THAT WOULD GIVE PEOPLE, BOTH WITHIN TIME AND ECONOMIC BALANCE, A FEASIBLE ALTERNATIVE TO TRAVEL TO AVIATION
BUT I ALSO JUST WANTED TO REITERATE, IF YOU'RE THE CAC, I THINK THE NEXT ONE IS THE COG
THAT'S WHAT WE STARTED TO DO WITH IT
I REALLY APPRECIATE YOUR OPTIMISM AND YOUR FRAMEWORK THAT IT'S TRULY AN OPPORTUNITY ABOUT THE HOW AND I MEAN, COMMISSIONER AT, PRESIDENT SHELBY, THE FIRST TO TELL YOU WE'VE BEEN RECOGNIZED AS THE BEST AIRPORT IN NORTH AMERICA FOR TWO YEARS IN A ROW NOW COME FOR OUR TITLE, RIGHT? THINK OF SOMETHING NEW AND A MORE SUSTAINABLE WAY FOR, AS YOU PUT IT, SIR, THE AIRPORT OF THE FUTURE AND HOW WE CAN BUILD THAT TO MEET THE NEEDS OF OUR REGION
BUT THAT ULTIMATELY, NO MATTER HOW THE COG IS STOOD UP, EMPOWERED, RESOURCED WHO'S APPOINTED TO IT, IT IS GOING TO REQUIRE POLITICAL LEADERSHIP AT THE EXECUTIVE LEVEL
AND SO THAT'S THE OTHER THING THAT WE NEED TO BALANCE AS WE HEAR YOUR CALL FOR INFLUENCE AT THE FEDERAL LEVEL IN CONGRESS TO MAYBE OPEN UP SOME OPPORTUNITIES SO THAT JBLM CAN BE A MORE ACTIVE PART OF THE CONVERSATION
THE CONSIDERATION, THE TIME URGENCY THAT WE'RE SEEING AROUND ALL OF THIS
WE SHOULD HAVE GOTTEN STARTED TEN YEARS AGO IF WE WERE TRULY GOING TO MEET THE NEEDS OF WHAT OUR PROJECTED GROWTH AND DEMAND WAS GOING TO BE AND THAT WE, AFTER TWELVE TREMENDOUS YEARS, WILL BE WELCOMING A NEW GOVERNOR AND THAT THERE IS A PRESIDENTIAL ELECTION UPON US
AND SO THESE ARE CONVERSATIONS, THERE IS POLITICAL UNCERTAINTY AND THOSE ARE ALL THINGS THAT WE'RE JUST GOING TO HAVE TO CONTINUE TO NAVIGATE AND LEAN INTO TOGETHER AND EVERYBODY'S GOING TO HAVE TO LEAN INTO THOSE CONVERSATIONS
BUT THAT AWARENESS ASPECT AND THE CONTINUED OPPORTUNITY FOR LEADERSHIP BY THE PORT OF SEATTLE TO TALK ABOUT THE URGENCY OF THESE NEEDS, THAT WE CANNOT MEET THE NEEDS OF THIS REGION
AND WE ARE DOING EVERYTHING THAT WE CAN TO KEEP UP WITH THE CURRENT RATE OF DEMAND, TO SAY NOTHING OF WHAT'S TO COME
SO YOU HAVE US IN PARTNERSHIP
THANK YOU SO VERY MUCH FOR THE THOUGHTFUL PRESENTATION AND THANK YOU SO MUCH FOR ALL YOUR WORK TO DATE
THANK YOU, SIR
THANK YOU
COMMISSIONER HASEGAWA, I HAD A FEW QUESTIONS FOR YOU AS WELL
THAT SLIDE YOU HAD WITH ESSENTIAL FACTORS, THAT WAS COLOR CODED GREEN, WHITE, GREEN, I THINK IT WAS RED AND YELLOW
WE REFER TO IT AS OUR CHICLET CHART
WERE YOUR CHICLETS WEIGHTED? YES, THEY WERE
SO HOW WERE THEY WEIGHTED? EACH ONE OF THOSE AND ALL OF THIS INFORMATION IS AVAILABLE AND CAN WE GO BACK TO THAT SLIDE, PLEASE? SURE CAN
IT WOULD HAVE BEEN SLIDE
THERE YOU GO
SO EACH ONE OF THOSE FACTORS, GREEN, YELLOW OR RED, WERE A DEFINED METRUCK WITHIN THAT STRATEGIC AREA, WHETHER IT BE TERRAIN, PROPERTY ACQUISITION, OR THE ENTIRE LIST THERE
AND SO THE QUESTION WAS, WE DEFINED A METRUCK BASED UPON THOSE THREE COLOR CODES AND THEN THE QUESTION WAS AS THE AVIATION PLAN WITH ITS RESEARCH ANALYST TEAM THEN WOULD GO INTO EACH OF THOSE SITES AND SAY WHERE AMONG IN THAT METRUCK DID THE CRITERIA BE REACHED
AND THERE WAS A LOT OF DETAIL INVOLVED IN EACH OF THOSE TO GO THROUGH
BUT IN TERMS OF EACH ONE OF THOSE HAD ITS OWN SPECIFIC SET OF METRICS THAT ULTIMATELY DETERMINED WHAT ITS COLOR CODING WOULD BE
SO I JUST WANT TO MAKE SURE I'M UNDERSTANDING YOU CORRECTLY
THE ESSENTIAL FACTORS COLUMN WITH THE TERRAIN IMPACT, PROPERTY ACQUISITION, ENVIRONMENTAL JUSTICE, THOSE HAD WHAT YOU'RE CALLING CRITERIA
CRITERIA
EACH ONE OF THEM, EACH ONE OF THOSE CATEGORIES HAD THREE SEPARATE CRITERIA
THAT TO BE GREEN, YOU HAD TO REACH THIS LEVEL
TO BE YELLOW, YOU FELL WITHIN THIS RANGE
TO BE RED, YOU FELL BELOW A CERTAIN BENCHMARK
I UNDERSTAND THAT, BUT I GUESS WHAT I'M ASKING IS, WERE THEY WEIGHTED RELATIVE TO EACH OTHER? OH, NO, THEY WERE NOT
AND WHY WAS EIGHT STANDALONE THANK YOU FOR THAT
YES, THERE WERE EIGHT STANDALONE FACTORS THAT THEY WERE NOT PRIORITIZED AMONG THEM
OKAY
SO FOR INSTANCE, POPULATION SERVED WAS NOT WEIGHTED GREATER THAN, FOR INSTANCE, TERRAIN IMPACT
THEY WERE LOOKED AT SEPARATELY
THEY WERE LOOKED AT SEPARATELY
THAT'S CORRECT
OKAY
AND THEN I THINK ONE COMMENT I'LL MAKE, I THINK THAT'S IMPORTANT
FIRST OF ALL, I THINK IT IS IMPORTANT TO WEIGHT THESE
RIGHT
THESE ARE NOT FACTORS INDEPENDENT OF EACH OTHER
THAT'S CORRECT
RIGHT
THIS IS PART OF A HOLISTIC ANALYSIS
AND TO NOT WEIGH ONE THING THAT MIGHT BE MORE IMPORTANT IN ANALYSIS THAN THE OTHER, I THINK IS A HUGE MISS
AND I THINK PERHAPS IF YOU DID WEIGHT THIS, THE ULTIMATE WHAT IS GREEN OR WHAT WAS YELLOW OR WHAT WAS RED MIGHT HAVE CHANGED A LITTLE BIT
RIGHT
AND SO I DON'T KNOW THAT FOR A FACT
BUT FOR INSTANCE, IF ENVIRONMENTAL JUSTICE WAS HIGHER UP OR WEIGHTED MORE, THAT COULD HAVE SKEWED SOME OF THESE SITES IN ONE WAY OR ANOTHER OR COST PROPERTY ACQUISITION, CERTAIN AREAS ARE MORE EXPENSIVE THAN OTHERS TO ACQUIRE PROPERTY IN
AND HOW MUCH OF THAT IS WEIGHTED RELATIVE TO ENVIRONMENTAL JUSTICE? RIGHT
AND SO I'M JUST THROWING THAT OUT THERE
I UNDERSTAND THAT THIS IS SUNSETTING, SO OBVIOUSLY THERE'S NOTHING WE CAN DO AT THIS POINT, BUT IT'S JUST ON THE RECORD, SOMETHING THAT WE SHOULD I'M A DATA GUY, CLEARLY, AND SOMETHING THAT WE SHOULD TAKE INTO ACCOUNT FOR FUTURE STUDIES
I THINK IT'S REALLY, REALLY IMPORTANT
AND I DON'T KNOW IF YOU WANT TO COMMENT OR AGREE, BUT I THINK THAT WAS MY INITIAL REACTION WHEN I SAW THIS
I THINK THOSE POINTS ARE VERY WELL TAKEN BECAUSE, FOR EXAMPLE, A WETLAND IMPACT OR A FLOODPLAIN IMPACT ON ONE SIDE, YOU CAN LOOK AT THAT AND GO, THE SCIENCE AND TECHNOLOGY MAY ALLOW US TO FIND WAYS TO MITIGATE THAT
IT'S JUST A MATTER OF COST
AUBREE CORRECT
BUT ENVIRONMENTAL JUSTICE, WAIT A SECOND
NOW WE'RE TALKING PEOPLE, WE'RE TALKING ENVIRONMENT, WE'RE TALKING LONG TERM PROTECTION OF THE EARTH
AND NOW THAT HAS A WHOLE DIFFERENT LEVEL
BUT THAT GETS DOWN TO THE SITE ANALYSIS
AND AGAIN, THE FUNDING THAT WAS AVAILABLE, THE AMOUNT OF TIME THAT WE HAD AVAILABLE, AND THE ABILITY FOR THE TEAM TO PROVIDE US WITHIN THE TIME FRAMES THAT WE HAD BY STATUTE WERE THAT WE WILL DO WHAT WE CAN
RECOGNIZING THAT THIS IS ONLY SCRATCHING THE SURFACE
THIS DIDN'T EVEN LOOK AT AIRSPACE, FOR EXAMPLE
RIGHT
THAT WAS MY NEXT QUESTION, ACTUALLY
ISSUES WITH REGARD TO AIRSPACE IN TERMS OF WHAT THAT WAS ULTIMATELY WHAT IT CAME DOWN TO TO THE COMMISSION IS RECOGNIZING THAT THE OVERALL VALUE OF THIS CERTAINLY HAS A POLITICAL OVERTONE IN TERMS OF OUR COMMUNITIES
THE SOCIAL ENVIRONMENTAL PIECE ESPECIALLY, IT WAS WHERE CAN WE MEET THE CAPACITY? BECAUSE THAT'S WHAT WE WERE CHARGED TO DO, MEET THE CAPACITY
AND THEN AGAIN, GOING FORWARD, I THINK YOUR COMMENTS, COMMISSIONER, ARE EXACTLY WHAT NEEDS TO BE CONSIDERED AS THE BODY OF POLITICS GOES FORWARD
GREAT
I APPRECIATE THAT
ACTUALLY, MY SECOND QUESTION WAS REGARDING JBLM
AND WHEN WE ELIMINATED JBLM, YOU SAID IT WAS BECAUSE OF GEOGRAPHIC OVERLAP
BUT I WAS GOING TO ASK YOU IF THAT'S PHYSICAL GEOGRAPHY ON THE GROUND OR AIRSPACE OVERLAP AS WELL
JBLM IN THEIR PUBLIC STATEMENT SAID BOTH EVEN SIGHTING NEAR JBLM WOULD BE AN ISSUE BECAUSE THE AMOUNT OF HELICOPTER TRAFFIC THAT TAKES PLACE TO AND FROM THEIR FACILITIES, THAT OVERFLY LOCAL COMMUNITIES
BECAUSE I'VE OFTEN HEARD THE ARGUMENT THAT THE REASON BOEING FIELD CAN EXPAND TO COMMERCIAL IS BECAUSE IT'S THE SAME AIRSPACE AS SEATAC
AND SO I DON'T KNOW IF THAT'S THE CASE
THAT IS DEFINITELY TRUE
BOEING FIELD RIGHT NOW OPERATES UNDER THE UMBRELLA OF WHAT'S CALLED CLASS BRAVO AIRSPACE FOR SEATAC
AND SO THERE ARE DEFINITE IMPACTS FOR BOEING FIELD NOT BEING ABLE TO EXPAND EVEN TODAY UNDER INSTRUMENT FLIGHT CONDITIONS
DEPARTURES AND ARRIVALS AT BOEING FIELD ARE IMPACTED BASED UPON THE NATURE OF THE TRAFFIC AT SEATAC, EVEN TO SOME EXTENT AS FAR NORTH AS PAINE FIELD IS PAINE FIELD
ALSO THEIR AIRSPACE IS IMPACTED BY WHITBY ISLAND NAVAL AIRSPACE AND AS WELL AS BOEING FIELD OPERATIONS
THAT'S GREAT INSIGHTS
AND THEN LASTLY, I JUST WANT TO MAKE A POINT HERE, AND I THINK WHAT YOU SAID EARLIER ABOUT AVIATION NEEDING TO BE WHERE THE PEOPLE ARE, I REALLY HAVE A PROBLEM WITH THAT
AND I WANT TO CHALLENGE THAT POINT BECAUSE I FEEL LIKE THERE ARE COUNTLESS EXAMPLES AROUND THE WORLD WHERE THE AIRPORT ISN'T NEAR A HIGH POPULATION DENSE AREA
RIGHT? LONDON, HONG KONG, SEOUL, SOUTH KOREA
YOU TAKE A 45 MINUTES TO AN HOUR TRAIN INTO THE CITY
AND I KNOW THAT YOU MADE A REFERENCE TO THE ACELA TRAIN
I'VE TAKEN THE ACELA MANY TIMES FROM DC
TO NEW YORK
AND LET ME JUST TELL YOU, THAT IS NOT A STANDARD YOU SHOULD BE ASPIRING TO
IT IS NOT A GREAT SERVICE
IT IS NOT FAST
IT'S KIND OF SAD ACTUALLY, HOW SLOW THAT TRAIN IS
AND WE KNOW THAT STATES LIKE CALIFORNIA ARE BUILDING TRAINS BETWEEN LA AND SAN FRANCISCO
I LIKE TO THINK BIG PICTURE AND THINK, WHY CAN'T WE CONNECT SPOKANE TO SEATTLE AND HAVE YAKIMA IN BETWEEN? RIGHT
AND HAVE THAT 45 MINUTES TRAIN BETWEEN SEATTLE AND YAKIMA AND YAKIMA TO SPOKANE
THAT'S FAR SHORT OF OUR DISTANCE THAN LA
TO SAN FRANCISCO OR EVEN SAN FRANCISCO TO THE CENTRAL VALLEY
AND SO, YOU KNOW, I APPRECIATED THIS PRESENTATION BECAUSE IT ACTUALLY HIGHLIGHTED SOME OF THE, NO OFFENSE, THE CRUTCH OF WHAT YOU WERE AUTHORIZED TO DO
YOU WERE NOT ALLOWED TO CONSIDER KING COUNTY JBLM WAS OFF THE TABLE
AND I FEEL LIKE YOU WERE KIND OF SET UP FOR FAILURE, KIND OF, IN A SENSE
YEAH
NO RESEARCH BUDGET TO THE REAL DUE DILIGENCE
AND SO I WOULD HOPE THAT GOING FORWARD, WHETHER WE CALL IT THE COG OR WHATEVER, THAT WE PUT SOME REAL RESOURCES BEHIND THIS AND INTENTIONALITY, THAT THIS ISN'T SOME KNOW THING THAT WE'RE DOING TO APPEASE A BUNCH OF POLITICIANS WHO ARE PISSED OFF ABOUT AIRPLANE NOISE IN OUR NEIGHBORHOOD
RIGHT
I DON'T KNOW WHY YAKIMA WAS ELIMINATED AND NOT JUST SUGGESTED WITH AN ASTERISK NEXT TO IT
I NOTICED THAT THE RECOMMENDATION SUGGESTED WE SHOULD DO THIS PROVIDED THAT WE EXPAND PAIN FIELD AND SEATAC
WELL, THAT'S AN ASTERISK IN MY VIEW
RIGHT
SO I DON'T UNDERSTAND WHY THE COMMITTEE DECIDED TO ELIMINATE YAKIMA ALTOGETHER AND NOT PROVIDE A QUALIFIED CONCLUSION THAT SAYS YAKIMA WOULD BE GREAT IF X, Y, AND Z
RIGHT
AND LASTLY, AND I'LL GET OFF MY SOAPBOX TO YOUR POINT, THERE'S A TREMENDOUS AMOUNT OF EMERGING TECHNOLOGY HAPPENING
I JUST HAD A MEETING A COUPLE OF DAYS AGO OF A TECH ENTREPRENEUR WHO WANTED TO DO VERTICAL TAKEOFFS FROM THE DOWNTOWN SEATTLE AREA TO THE AIRPORT
RIGHT
A LOT OF AVIATION IS DOING SOME AMAZING STUFF UP NORTH
AND SO I DO FEEL LIKE THIS IS A ONCE IN A GENERATION OPPORTUNITY
AND I'D BE REMISS IF I DIDN'T JUST MENTION THAT THERE ARE TRILLIONS OF DOLLARS IN THE FEDERAL GOVERNMENT FOR INFRASTRUCTURE PROJECTS RIGHT NOW THAT NEED TO GET OUT THE DOOR IN THE NEXT FIVE YEARS
THIS IS A GOLDEN OPPORTUNITY FOR US, IF YOU REALLY LOOK AT IT FROM A 10,000 FOOT LEVEL PERSPECTIVE
AND THIS POLITICAL BS, QUITE FRANKLY, IS REALLY GETTING IN THE WAY OF, I THINK ABOUT SOUND TRANSIT AND LIGHT RAIL
AND IF WE HAD BUILT THAT 30 YEARS AGO, IF WE DIDN'T POLITICIZE IT AND WE JUST MADE THE RIGHT DECISION, WE WOULDN'T BE WHERE WE ARE TODAY
RIGHT
AND SO I REALLY AM HOPING THAT WE CAN GET TO A POINT WHERE WE CAN MAKE SMART, DATA DRIVEN DECISIONS THAT REALLY LOOK TOWARDS THE FUTURE AND WE CAN REALLY SHY AWAY FROM ALL THIS POLITICAL GESTURING AND PERFORMATIVE PERFORMANCE
AND THIS IS NOT ASSESSMENT OF YOU OR YOUR WORK
I GOT THE SENTIMENTS OF MY COLLEAGUES
I WANT TO THANK YOU SO MUCH FOR ALL THE TREMENDOUS WORK THAT YOU'VE DONE AND CONGRATULATE YOU ON FINALLY YOUR RETIREMENT
BUT I HOPE THAT THERE ARE SOME STRONG LESSONS LEARNED FROM THIS EXPERIENCE THAT WILL CARRY OVER TO THE NEXT EXPERIENCE
AND SO WITH THAT, I WILL CLOSE THIS SECTION OF THE AGENDA THANK YOU SO MUCH AGAIN FOR COMING IN AND PROVIDING THAT BRIEFING
THANK YOU
THANK YOU, DIRECTOR METRUCK
APPRECIATE THAT
THANK YOU VERY MUCH
ABSOLUTELY
DEBBIE
CLERK PLAIN
IF WE CAN GO ON TO THE NEXT ITEM AND EXECUTIVE DIRECTOR METRUCK WILL INTRODUCE THE ITEM
THANK YOU
THIS IS ITEM TEN C AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO ENTER A CONTRACT FOR THE PROCUREMENT OF A PROPRIETARY SHORE POWER SYSTEM CONSISTING OF TWO MOBILE CABLE POSITIONING DEVICES FOR PIER 91 AND THE AMOUNT REQUESTED OF $2,500,000 OF A TOTAL ESTIMATED PROJECT COST OF $2,750,000
COMMISSIONERS ACQUIRING THESE MOBILE CABLE POSITIONING DEVICES WILL INCREASE THE ABILITY OF CRUISE SHIPS AT TERMINAL 91 TO PLUG IN TO SHORE TO PLUG INTO SHORE POWER CAPABLE DUE TO VARYING SHIP CONFIGURATIONS
THERE ARE CURRENTLY INSTANCES WHERE THE SHIPS CANNOT ACCESS SHORE POWER DUE TO SIMPLY TO THE LOCATION AND THE POSITIONING OF THE VESSELS
AND THIS ACTION WILL SUPPORT OUR EFFORTS TO BE THE GREENEST PORT IN NORTH AMERICA AND OUR WORK TO ENSURING THAT EVERY CRUISE SHIP AT OUR PORT UTILIZES SHORE POWER NO LATER THAN THE YEAR 2030, IF NOT SOONER
I HAVE TO SAY, AS I KNOW WE'VE ADDRESSED SOME OF THESE ISSUES ALREADY
AND HERE PRESENTING TODAY IS LINDA SPRINGMAN, DIRECTOR OF CRUISE OPERATIONS, AND KELLY PURNELL, CAPITAL PROJECT MANAGER
THANK YOU
THANKS, EXECUTIVE DIRECTOR METRUCK
THANKS, EXECUTIVE DIRECTOR METRUCK
AND GOOD AFTERNOON, COMMISSIONER
GO AHEAD TO THE NEXT SLIDE
GO TO THE NEXT ONE
SORRY
I'M HERE TODAY TO REQUEST AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO ENTER INTO CONTRACT FOR THE PROCUREMENT OF TWO CABLE POSITIONING DEVICES AS A RETROFIT TO OUR EXISTING EQUIPMENT AT TERMINAL 91
TODAY, WE ARE ASKING FOR AUTHORIZATION OF $2.5 MILLION FOR PURCHASE AND INSTALLATION OF THIS EQUIPMENT
NEXT SLIDE, PLEASE
AS YOU KNOW, WE CURRENTLY HAVE TWO SHORE POWER CONNECTIONS AT TERMINAL 91
WHEN THEY WERE FIRST INSTALLED HERE IN SEATTLE AT TERMINAL 30, THEY WERE THE SECOND AND THIRD SHORE POWER CONNECTIONS IN THE WORLD
WHEN TERMINAL 91 CRUISE TERMINAL WAS COMPLETED, THE EQUIPMENT WAS RELOCATED TO THIS NEW LOCATION 15 YEARS AGO
SINCE THAT TIME, SHORE POWER DEVELOPMENT HAS CONTINUED TO EVOLVE
AS YOU ALSO KNOW, WE ARE IN THE MIDDLE OF A PROJECT AT PIER 66 TO INSTALL SHORE POWER
AND THAT EQUIPMENT WILL COME WITH THIS FLEXIBILITY PROVIDED BY CABLE POSITIONING DEVICES ALLOWING FOR APPROXIMATELY 40FT OF AVIATION FROM EITHER SIDE OF THE FIXED INSTALLATION TO ACCOMMODATE THE POSITIONING OF SHORE PIER CONNECTIONS ON BOARD SHIPS
UNFORTUNATELY, GIVEN THE AVIATION OF SHIP SIZES AND DESIGN, THERE IS NO STANDARD FOR LOCATION OF THIS EQUIPMENT ON BOARD SHIPS WITH THE GOAL OF MINIMIZING OPERATIONAL CHALLENGES TO DAILY SHIP TURN OPERATIONS
ADDING THIS FLEXIBILITY TO THE EQUIPMENT AT TERMINAL 91 MINIMIZES GANGWAY MOVES AND REDUCES OTHER OPERATIONAL ISSUES THAT MIGHT NEED ADJUSTING RELATED TO EFFICIENT SHIP TURNAROUNDS, INCLUDING LUGGAGE, LOAD AND OFFLOAD AND PROVISIONING, WITH THE GOAL OF PROVIDING THE BEST OPTIMIZATION OF OUR ASSETS AND THEIR LIFESPAN AND ACCELERATING EMISSIONS REDUCTIONS BY ELIMINATING BARRIERS
NEXT SLIDE
IN 2022 OF THE SHIPS EQUIPPED WITH SHORE POWER 83% CONNECTION RATE WAS ACHIEVED
THIS RESULTED IN 2022 OF AVOIDING 2000 TONS OF GREENHOUSE GAS EMISSIONS AND ANECDOTALLY THROUGH JUNE OF THIS YEAR, WE HAD ALREADY ACHIEVED 40 SHORE POWER CONNECTIONS AND WE'RE WAITING FOR THE JULY NUMBERS
NEXT SLIDE
THIS EFFORT ALIGNS WITH THE PORT CENTURY AGENDA GOALS TO RESPONSIBLY INVEST IN ECONOMIC GROWTH OF THE REGION, BEING THE GREENEST AND MOST ENERGY EFFICIENT PORT IN NORTH AMERICA AND BEING A HIGHLY EFFECTIVE PUBLIC AGENCY
NEXT SLIDE
AND I WILL NOW TURN IT OVER TO KELLY PERNELL, THE PROJECT MANAGER FOR THIS EFFORT
IS THIS WORKING? OKAY, GREAT
GOOD AFTERNOON
COMMISSIONERS EXECUTIVE DIRECTOR
WE WILL BE PROCURING TWO MOBILE CABLE POSITIONING DEVICES, OR CPDS, TO MODIFY THE EXISTING SHORE POWER CONNECTION SYSTEMS ON PIER 91 EAST AND WEST BERTHS
THE CPDS ARE BUILT ON A MOBILE EMISSION FREE PLATFORM WITH AN EXTENDABLE BOOM THAT HAS A MULTIDIRECTIONAL PIVOT
THE CPDS HAVE THE CAPABILITY TO MOVE THE LARGE SHORE POWER CABLES UP AND DOWN THE PIER AS THEY ARE NOT FIXED TO A SINGLE POINT OF CONNECTION
CURRENTLY, THE SHORE POWER CABLES RUN TO STATIC CONNECTION POINTS ON THE PIERS ON A FIXED JIB CRANE
THE PIER 91 WEST JIB CRANE IS SHOWN IN THIS IMAGE
YOU CAN SEE THAT IT'S QUITE FIXED
AS YOU CAN SEE, IT HAS LIMITED MANEUVERABILITY AND LIMITED REACH
DUE TO THE CONSTRAINTS OF THE EXISTING SHORE POWER CONNECTION SYSTEM
NOT ALL SHORE POWER CAPABLE SHIPS CAN PLUG IN AS LINDA DISCUSSED PREVIOUSLY
NEXT SLIDE, PLEASE
FOR OUR PROCUREMENT OF THE TWO CPDS, WE HAVE OBTAINED A COMPETITION WAIVER TO ENTER A CONTRACT WITH WATTS MARINE
IN THIS IMAGE ON THE SLIDE IS AN EXAMPLE OF THE MOBILE CABLE POSITIONING DEVICES THAT WATTS MARINES BUILT IN COMPARISON TO THE FIXED JIB CRANE SHOWN ON THE PREVIOUS SLIDE
THE DEVICE ALLOWS MAXIMUM FLEXIBILITY THROUGH MANEUVERABILITY ALONG THE PIER AS WELL AS THE EXTENDABLE BOOM THAT CAN MOVE IN MULTIPLE DIRECTIONS
TO EXTEND THE SHORE POWER CABLES FOR PLUGIN TO THE SHIFTS, THE EXISTING SHORE POWER CABLE WILL BE REMOVED FROM THE EXISTING JIB CRANE
THE JIB CRANES WILL BE COMMISSIONER AND THE CABLES WILL BE RELOCATED ONTO THE MOBILE CPDS
THE PROCUREMENT PACKAGE WILL INCLUDE DESIGN AND ENGINEERING, DELIVERY, INSTALLATION AND COMMISSIONING OF THE CPDS, ALONG WITH SOME MINOR ELECTRICAL MODIFICATIONS
MOTTS MARINE WILL THEN ALSO BE CONTRACTED TO OPERATE THE SYSTEM ONCE INSTALLED
NEXT SLIDE
OUR GOAL FOR THE SCHEDULE FOR THIS PROJECT IS TO START OUR PROCUREMENT IN QUARTER THREE OF THIS YEAR
SO SHORTLY AFTER AUTHORIZATION TO PROCEED, DELIVERY AND INSTALLATION OF THE MOBILE CPDS IS ANTICIPATED IN QUARTER TWO OF 2024 AND IN USE FOR THE 2024 CRUISE SEASON
THE INTENT IS TO AVOID ANY IMPACTS TO THE CRUISE OPERATIONS FOR 2024
NEXT SLIDE, PLEASE
WE HAVE ESTIMATED OUR PROJECT COST TO BE $2.75 MILLION
OUR ESTIMATE FOR THE PROCUREMENT PACKAGE OF THAT AMOUNT, AS DESCRIBED PREVIOUSLY, IS 2.5 MILLION, WITH 250,000 IN OUR SOFT COSTS
NEXT SLIDE
THAT IS THE CONCLUSION OF OUR PRESENTATION
EXCELLENT THANK YOU SO MUCH
ANY QUESTIONS FROM COMMISSIONERS BEFORE WE VOTE? OF COURSE
ALL RIGHT
SO I SEE THIS IS BEING PAID FOR BY THE TAX LEVY WHEREAS THE OTHER ONE WAS BASED ON GENERAL REVENUE, GENERAL FUND
I MEAN, IT'S ALL THE SAME POT OF MONEY, BUT THE FACT IT'S DISTINGUISHED AS TAX LEVY MONEY, IS THERE A RATIONALE FOR THAT? THAT'S ON PAGE SIX OF THE MEMO
SORRY, I WAS GOING TO POINT OUT I THINK DAN HAS AYE
HAND UP
DAN
ARE YOU RESPONDING TO COMMISSIONER FELLEMAN? YES, I AM
OKAY
THANK YOU, COMMISSIONER
YES, COMMISSIONER, THE MEMO DOES SAY THAT'S TAX LEVY FUNDED
HOWEVER, THAT WAS SUPPOSED TO HAVE BEEN CHANGED
SO I APOLOGIZE
THAT SHOULD BE GENERAL FUND CONSISTENT WITH THE PIER 66 SHORE POWER PROJECT
APOLOGIZE FOR THE MISTAKE
VERY GOOD
THANK YOU FOR THAT CLARIFICATION
I DID HAVE ANOTHER QUESTION WAS ABOUT THE HOW MANY MORE SHIPS THAN YOU SAY RIGHT NOW WE'RE GETTING 69 OF 83 HAVE CONNECTED TO THE SHORE POWER AT THIS 83% RATE
RIGHT
SO IS THAT OF ALL THE SHORE POWER CAPABLE VESSELS OR IS THAT JUST TOTALLY ALL THE VESSELS THAT CALLED ON THE PORT? 83% COULD DO IT
I'M JUST WONDERING HOW MANY MORE SHIPS DO WE GET IF WE HAVE THIS CAPABILITY? IT'S A COMBINATION OF FACTORS
SO THE 69 IS OF THE SHORE POWER CAPABLE SHIPS
THERE ARE ABOUT JUST UNDER 200 CALLS AT TERMINAL 91 AND THEY ARE NOT ALL SHORE POWER CAPABLE RIGHT NOW
WHAT THIS DOES IS IT'S GOING TO FIRST OF ALL, THE TWO OF THE SHIPS THAT ARE THERE RIGHT NOW WE HAVE TO MOVE THE GANGWAYS FOR THEM TO BE ACCOMMODATED
AND SO WE'RE HOPING TO STOP MOVING GANGWAYS
WE TALKED ABOUT GANGWAYS EARLIER TODAY
AND THEN NEXT YEAR WE HAVE A COUPLE OF DIFFERENT SHIPS COMING IN AND WE WANT TO BE ABLE TO ACCOMMODATE THEM
SO ANY SHIP THAT IS SHORE POWER CAPABLE THIS YEAR THAT IS TRYING TO PLUG IN, WE ARE ACCOMMODATING VIA THE GANGWAY MOVE
AND SO THAT WILL BE THE CASE
SO ANY SHIP THAT WILL BE SHORE POWER CAPABLE WILL BE ABLE TO BE PLUGGED IN
WITH THE ADVENT OF MOVABLE GANGWAYS AND MOVABLE SHORE POWER YEAH
BOTH ARE INTERRELATED WITH THE GANGWAY PROCUREMENT AND THIS SHORE POWER
SO THEN I QUESTION WHY IS IT THAT WE HAVE A 2025 GOAL TO REQUIRE SHORE POWER CAPABLE SHIPS TO ADD TERMINAL 91? I MEAN, IF YOU'RE SHORE POWER CAPABLE AND WE CAN PROVIDE THE POWER, WHY ISN'T IT JUST A REQUIREMENT THAT YOU'LL USE IT GIVEN THE FACT THEY'RE GOING TO SAVE MONEY ON FUEL ANYWAY? SOME OF THE SHIPS DON'T HAVE SHORE POWER RIGHT NOW
SO YOU'RE TALKING ABOUT THEY'RE PLANNING TO DEPLOY SHORE POWER CAPABLE SHIPS HERE
RIGHT NOW THE REQUIREMENT WE HAVE IS BY 2030 ALL SHIPS WILL BE SHORE POWER CAPABLE
AND WE'RE HAVING VERY PRODUCTIVE DISCUSSIONS ABOUT ACCELERATING THAT RIGHT NOW
NO, BUT I'M SAYING BY 2025 WE SAY IF YOU ARE CAPABLE TO PLUG IN, YOU
WILL PLUG IN? YES
WHY ISN'T THAT CURRENTLY, OR AT LEAST NEXT YEAR, WHEN EVERYBODY WHO CAN PLUG IN CAN PLUG IN? WE DO SAY THAT NOW, IF YOUR SHIP IS SHORE POWER CAPABLE, YOU WILL PLUG IN
ALL RIGHT, SO IT JUST SAYS IN THE PAGE TWO OF THE MEMO THAT THAT WON'T BE CALLED FOR TILL 2025
I THOUGHT THAT WAS THE CASE, TOO
DON'T GET ME WRONG, THAT WAS ALWAYS MY UNDERSTANDING
SO I WAS A LITTLE DUMBFOUNDED WHEN I SAW THIS TO BE THE CASE, BECAUSE IT DOESN'T REQUIRE YOU TO BE SHORE POWER CAPABLE
BUT IF YOU ARE, AND NOW THE PROBLEM IS NO LONGER OURS TO GET YOU THE CABLE, WHY ISN'T THAT JUST A YOU ARE CORRECT
GOOD CATCH ON THAT
IF YOUR SHIP IS SHORE POWER CAPABLE, WE EXPECT YOU TO PLUG IN NOW, AND BY 2030, WE EXPECT SHIPS TO PLUG IN
SO THAT'S LIKE IN THE TARIFFS OR WHATEVER? YEAH, THAT IS IN THE TARIFF, THE 2030 DATE
SO COOL
I CAUGHT TWO MISTAKES SO FAR
RIGHT? LET ME SEE IF I CAN KEEP GOING
NO, I THINK THAT COVERS IT
THE ONLY QUESTION LIKE THE OTHER ONE, ONE CAN SEE THIS IS SORT OF LIKE A CRANE
LIKE THE ANALOGY FOR SEAPORT ALLIANCE, RIGHT? THE TENANT PAYS FOR THE CRANE, OR THE GANGWAY COULD BE SEEN AS THE CRANE FOR THE HUMANS
BUT WE ABSORB THESE COSTS
WE ARE BUYING THE EQUIPMENT
WHEN THE SHIPS ARRIVE AND PLUG IN, THEY COVER THE COSTS OF ACTUALLY HIRING THE STAFF TO DO THE PLUGGING IN AND PAYING THE ELECTRICITY
AND DID WE WORK THIS OUT WITH ILW IN TERMS OF WHO'S DOING THE WORK AT THIS POINT? WE HAVE NOT HAD THAT DISCUSSION ABOUT THESE EXTENSIONS, BUT THEY ARE CURRENTLY DOING THAT AT TERMINAL 91 WITH THE FIXED GEN
ALL RIGHT, THANK YOU
ANY OTHER QUESTIONS? ALL RIGHT, CAN I GET A MOTION AND A SECOND FOR THIS ITEM? SO MOVED
SECOND
ALL RIGHT, DEPUTY CORP PAYNE, PLEASE CALL THE ROLL FOR THE VOTE
THANK YOU
COMMISSIONER FELLEMAN
AYE
COMMISSIONER HASAGAWA? AYE
COMMISSIONER MOHAMED AYE, AND COMMISSIONER CHO AYE HAS FOUR AYES AND ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
ALL RIGHT, DEPUTY CLERK, PLEASE READ THE NEXT ITEM INTO THE RECORD AND EXECUTIVE DIRECTOR WILL INTRODUCE IT
THIS IS ITEM TEN D AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO ADVERTISE THE WARD AND EXECUTE A MAJOR WORTH CONSTRUCTION CONTRACT TO COMPLETE THE REDEVELOPMENT OF THE TERMINAL 91, VERSE SIX AND EIGHT, TO UTILIZE A PROJECT LABOR AGREEMENT AND TO ENTER INTO AGREEMENTS IN SUPPORT OF COMPLETION OF THE WORK, INCLUDING TRIBAL AGREEMENTS FOR TERMINAL 91, BURST, SIX INNATE REDEVELOPMENT AND ADDITIONAL STORMWATER TREATMENT CONSTRUCTION FUNDING IN THE AMOUNT OF $71,825,000 AND A TOTAL ESTIMATED PROJECT COST OF $76 MILLION
COMMISSIONERS, THIS PROJECT WILL REDEVELOP THE BURST AND ADJOINING APRON AREAS ALONG THE NORTHEAST SIDE OF TERMINAL 91
THIS NEW INFRASTRUCTURE WILL HELP ENSURE THE LONG TERM VIABILITY OF THE PORT AS THE HOME TO THE NORTH PACIFIC FISHING FLEET IN ADDITION, THIS PROJECT WILL ALSO REMOVE OVER 2000 CREOSOTE PILES FROM THE WATERWAY
OUR PRESENTERS THIS AFTERNOON ARE KELLY GOODWIN, SENIOR MANAGER, MARITIME OPERATIONS, AND MARK LONGRIDGE, CAPITAL PROJECT MANAGER
SO I THINK, KELLY, TURN IT OVER TO YOU FIRST
YES, GREAT
THANK YOU
GOOD AFTERNOON, COMMISSIONERS
AND THANK YOU, EXECUTIVE DIRECTOR METRUCK
WE'RE HERE TO REQUEST NEXT SLIDE, PLEASE
HERE TO REQUEST CONSTRUCTION AUTHORIZATION FOR JUST UNDER $72 MILLION FOR THE REDEVELOPMENT OF BURST SIX AND EIGHT AT TERMINAL 91
NEXT SLIDE, PLEASE
I'M GOING TO TOUCH ON THE PURPOSE AND NEED FOR THIS PROJECT, AND THEN MARK WILL SHARE A LITTLE MORE DETAIL ABOUT THE PROJECT ITSELF
TERMINAL 91 IS LOCATED AT THE NORTH END OF LA BAY
BURST SIX AND EIGHT RESIDE IN THE NORTHEAST CORNER OF PIER 90
THE GREEN BOX AREA ON THIS SLIDE SHOWS THE PROJECT LOCATION, APPROXIMATELY 65,000 BURST SPACE
THESE BURSTS ARE THE LAST TWO BURSTS REQUIRING REDEVELOPMENT FROM LOAD RESTRICTED CREOSOTE SOAKED TIMBER TO MODERN STRONG PRESTRESSED CONCRETE AT THIS TERMINAL, THIS PROJECT IS CRUCIAL TO ANCHORING THE COMMERCIAL FISHING AND SUPPORTING BUSINESSES IN THIS REGION
THE THING I LOVE ABOUT TERMINAL 91 IS HOW UNIQUE THIS PROPERTY IS IN THE PORT'S PORTFOLIO
IT'S ONE OF, IF NOT THE FIRST, PROPERTY PURCHASED BY THE PORT AROUND 1911, AND TODAY IT SERVES A MULTITUDE OF USES VITAL TO OUR HARBOR AND OUR REGION
I THINK OF IT AS A PORT WITHIN A PORT
DUE TO THE SHEER SIZE OF THE PROPERTY, APPROXIMATELY 200 ACRES, AS WELL AS THE NUMBER OF USES TAKING PLACE HERE
NO OTHER PROPERTY CAN BOAST THAT IT SERVES AS HOME TO THE NORTH PACIFIC KETCHUP PROCESSOR FLEET AND ACCOMMODATES TWO CRUISE SHIP BERTHS AT OVER 1200 LINEAL FEET EACH, AND WHEN NOT FULL WITH THESE VESSELS, ACCOMMODATES RESEARCH VESSELS, SHIPS OF STATE TUGS, BARGES, OTHER MARITIME USERS, AND HAS FISH PROCESSING COLD STORAGE FACILITIES ON SITE AS WELL
NEXT SLIDE, PLEASE
THIS SLIDE SHOWS TERMINAL 91 IN FULL SWAY
HERE YOU CAN SEE JUST HOW CONGESTED AND BUSY THE PORT APRONS ARE WHEN THE FLEET IS ALONGSIDE
OUR PROJECT AREA IS LOCATED AT THE TOP RIGHT CORNER OF THIS SLIDE, JUST SOUTH OF THE MAGNOLIA BRIDGE, AND THE FISHING FLEET THAT CALLS TERMINAL 91 HOME
FISHES ONE OF THE BEST MANAGED FISHERIES IN THE WORLD, WITH THE SMALLEST CARBON FOOTPRINT OF ALMOST ANY PROTEIN
THE WILD ALASKA POLLOCK FISHERY IS CERTIFIED BY BOTH THE RESPONSIBLE FISHERIES MANAGEMENT AND THE MARINE STEWARDSHIP COUNCIL PROGRAMS, BOTH OF WHICH ARE RECOGNIZED BY THE GLOBAL SUSTAINABLE SEAFOOD INITIATIVE
WHEN THE FLEET IS IMPORT, THEY RELY ON WIDE, STRONG, PURE APRONS TO OFFLOAD FROZEN FISH, FISH MEAL, ROW AND FISH OIL
THIS INFRASTRUCTURE IS ALSO VITAL TO THE NETWORK OF MARITIME SERVICES REQUIRING ACCESS TO THESE SHIPS TO PERFORM REPAIRS, UPGRADES AND MAINTENANCE
EACH OF THE COMMERCIAL FISHING VESSELS THAT MOOR AT 91 EMPLOY 50 TO 150 CREW MEMBERS, AND THESE ARE US
FLAGGED VESSELS
THE PORT'S MOST RECENT ECONOMIC IMPACT STUDY IDENTIFIED THAT IN 2017, COMMERCIAL FISHING CONTRIBUTED 11,300 JOBS TO OUR STATE AND 1.4 BILLION IN BUSINESS OUTPUT
ADDITIONALLY, THE 2017 FISHING VESSEL MORTGAGE ANALYSIS FROM S TWO STRATEGY NOTED, QUOTE, FISHING AND SEAFOOD PROCESSING SECTOR OF MARITIME INDUSTRY AS A WHOLE HAS BY FAR THE LARGEST REVENUE IMPACT TO THE STATE OF ANY MARITIME SECTOR AND IS AT LEAST EQUAL IN JOB PRODUCTION TO THE OTHER SECTORS
UNQUOTE, THE VENDORS AND SERVICE PROVIDERS SERVING THESE SHIPS ARE LOCAL AND PROVIDE FAMILY WAGE MARITIME INDUSTRIAL JOBS IN OUR REGION
FOR EXAMPLE, MORE THAN 20 WELDERS AND REFRIGERATION CRAFTSPEOPLE RECENTLY SPENT THREE MONTHS UPGRADING THE REFRIGERATION SYSTEM ON BOARD THE VESSEL EXCELLENCE
AND YOU CAN SEE HER AT THE BOTTOM RIGHT OF THIS SLIDE, AND THAT'S NOT UNIQUE TO THAT VESSEL
THAT SORT OF ACTIVITY IS TAKING PLACE ON EACH OF THESE VESSELS WHEN THEY'RE IN PORT
AND IMPORTANT TO NOTE, TOO, IS THE COMMERCIAL FISHING INDUSTRY CONTINUED TO BE STABLE AND WORKING THROUGHOUT THE COVID PANDEMIC
NEXT SLIDE, PLEASE
THIS IS JUST A SNAPSHOT OF OUR DAILY BERTH PLAN WHEN THE FLEET'S IN PORT
AND YOU CAN SEE THAT THE ONLY OPEN UNDERUTILIZED SPACE IS IN THE LOCATION OF OUR PROJECT IN THE LOWER RIGHT CORNER
NEXT SLIDE, PLEASE
SO THIS FLEET IS MODERNIZING, AND OUR CUSTOMERS ARE INVESTING MILLIONS OF DOLLARS TO BUILD BRAND NEW VESSELS AND OR MODERNIZE EXISTING VESSELS
THE BOTTOM LEFT PICTURE OF THIS SLIDE SHOWS A NEW BUILD OR RELATIVELY NEW BUILD, AMERICA'S FINEST
AND SHE'S RECEIVING FINISHING TOUCHES AT DAKOTA CREEK SHIPYARD IN ANACORDES, WHERE SHE WAS BUILT
AND JUST TODAY, THIS MORNING, THE 328 FOOT, BRAND NEW ARCTIC FJORD PULLED INTO TERMINAL 91, AND SHE'S REPLACING THE OLDER 275 FOOT VESSEL
WHEN WE CAME TO YOU FOR DESIGN AUTHORIZATION, THE NEW ARCTIC FJORD WAS JUST A RENDERING AS SEEN AT THE TOP RIGHT OF THIS SLIDE
AND NOW SHE'S A REALITY SITTING ALONGSIDE OUR PIER
THE NEW BUILDS ARE LARGER THAN THE VESSELS THEY'RE REPLACING, AND THIS MEANS THAT VESSELS THAT PREVIOUSLY MAY HAVE BEEN ABLE TO MOW AT FISHERMAN'S TERMINAL OR THE MIC ARE NOW TOO LONG AND ARE LOOKING TO MOOR AT TERMINAL 91
FISHING COMPANIES ARE ALSO GROWING
FOR EXAMPLE, BOTH OCEAN PEACE AND O'HARA COMPANIES HAVE ADDED ADDITIONAL VESSELS TO THEIR FLEET IN THE LAST FIVE YEARS AND WANT TO BE AT TERMINAL 91
RESTORING EXISTING LOAD LIMITED AND PARTIALLY CONDEMNED MORTGAGE FACILITIES TO THEIR FULL CAPACITY IS THE FIRST STEP IN MEETING THESE NEEDS
DEMAND FOR MORTGAGE CONTINUES TO GROW, AND THIS PROJECT RESPONDS TO THAT DEMAND
REDEVELOPMENT OF BURST SIX AND EIGHT IS CRITICAL TO ENSURING THE LONG TERM VIABILITY OF THE PORT AS THE HOME TO THE NORTH PACIFIC FISHING FLEET
SO I'D NOW LIKE TO TURN IT OVER TO CAPITAL PROJECT MANAGER MARK LONGRIDGE, AND HE'LL DISCUSS THE DETAILS OF THE PROJECT
THANKS, KELLY
NEXT SLIDE, PLEASE
SO, AS KELLY MENTIONED, I'M MARK LONGRIDGE
I'M A CAPITAL PROJECT MANAGER HERE IN THE WATERFRONT PROJECT MANAGEMENT GROUP
I'D LIKE TO TELL YOU A LITTLE BIT ABOUT OUR PLANNED PROJECT WORK
BUT FIRST, PAINT A BETTER PICTURE OF THE CURRENT FACILITY AND ITS CONDITION
SO THE BERTH SIX AND EIGHT AREA OF PIER 90, AS KELLY MENTIONED, IS THE OLDEST REMAINING SECTION OF THE ORIGINAL PIER AND ITS CREOSOTE TIMBER PILE CONSTRUCTION
IT WAS ORIGINALLY BUILT AS ONE OF THE FIRST PORT FACILITIES AND HAD BEEN UPDATED OVER THE DECADES, BOTH IN THE 40S, SUBSTANTIALLY WHEN THE NAVY TOOK OVER THE FACILITY AND MOST RECENTLY IN ABOUT 1985
PIER STRUCTURE HAS SOME SIGNIFICANT DETERIORATION AND MOST OF THE FACILITY IS SIGNIFICANTLY LOAD RESTRICTION RESTRICTED WITH THE BALANCE BEING CONDEMNED
WHILE WE USE THE BIRTHS AS LABOR FACILITIES, OCCASIONALLY THEY ARE NOT AVAILABLE AS FULL BERTHS FOR OUR CUSTOMERS TO OFFLOAD AND SERVICE THEIR VESSELS
NEXT SLIDE, PLEASE
HAVING A CLOSER LOOK UNDER THE DECK, WE CAN SEE SOME OF THE DETERIORATION OF THE FACILITY AND THE TIGHT SPACING NECESSARY FOR THE OLDER STYLE OF CREOSOTE TIMBER PILE SUPPORTED PIER ON THE RIGHT HERE
EACH OF OUR NEW PRECAST PILES WILL BE SUBSTANTIALLY STRONGER THAN THE EXISTING TIMBER PILES AND SO WILL ALLOW A MUCH WIDER SPACING OF THE PILES AND THE PIER VENTS UNDERNEATH THE PIER
THIS MEANS WHILE WE WILL BE REMOVING OVER 2200 CREOSOTE PILES, THE NEW STRONGER PIER WILL ONLY NEED ABOUT 240 PILES TO SUPPORT IT
WHILE NOT THE PRIMARY GOAL OF THE WORK, THE REMOVAL OF THESE DETERIORATED CONCRETE SORRY, DETERIORATED CREOSOTE PILES FROM THE WATER COLUMN WILL BE A SIGNIFICANT ENVIRONMENTAL BENEFIT FROM OUR WORK AS WELL
NEXT SLIDE
HERE WE CAN SEE A CROSS SECTION OF THE PROPOSED PIER, INCLUDING THOSE PRECAST PILES AND DECK PANELS THAT I MENTIONED
OUR WORK WILL ALSO RESHAPE THE SLOPE ALONG THE BERTH AND REPLACE THE EXISTING ROCK WITH A THICK LAYER OF PROTECTIVE RIP WRAP AND A LAYER OF FISH ROCK TO IMPROVE BOTH ITS STABILITY AND THE HABITAT OF THE BERTH
WHILE THIS PROJECT DOES NOT INCLUDE ANY SIGNIFICANT BERTH DEEPENING, WE ARE DREDGING SOME AREAS TO REINFORCE THE TOE OF THE SLOPE
AS YOU CAN SEE HERE, THE YELLOW CROSS SECTION
ALL OF THESE LOAD BEARING PILES THAT WE'RE GOING TO USE IN THE NEW FACILITY WILL NEED TO BE IMPACT DRIVEN AND PROOFED WITHIN OUR PERMIT WINDOW
AND WE HAVE BEEN AND WILL KEEP WORKING WITH OUR NEIGHBORS, INCLUDING THE QUEEN ANNE AND MAGNOLIA NEIGHBORHOOD ADVISORY COUNCIL, OR NAC, TO KEEP THEM UP TO DATE ON THE PROJECT AND MINIMIZE ANY POTENTIAL IMPACTS FROM THE CONSTRUCTION, INCLUDING CONSTRUCTION NOISE
IN OUR DESIGN EFFORT FOR THE PIER, WE DISCOVERED THAT TO MEET THE CURRENT SEISMIC CODE, OUR WORK NEEDED TO EXTEND BEHIND THE SEA WALL ON THE LEFT OF THIS SLIDE AND INCLUDE SIGNIFICANT GROUND IMPROVEMENTS TO STIFFEN UP THE SOIL IN THAT AREA ALSO
NEXT SLIDE
THIS EXPANDED OUR SCOPE OF THE PROJECT TO INCLUDE REPLACEMENT OF A COLLECTION OF MOBILE BUILDINGS ON AND BEHIND THE APRON, INCLUDING BOTH TENANT AND PORT OPERATION SPACES, AND THAT PROVIDED SOME MORE SUSTAINABILITY OPPORTUNITIES IN COMPLETING OUR WORK AS WELL
OUR PLANS INCLUDE REPLACING THE SIX EXISTING BUILDINGS ON SITE NOW WITH TWO CONSOLIDATED ONES FOR TENANT AND PORT STAFF RESPECTIVELY
WE PLAN TO INCLUDE SOLAR PV PANEL ARRAYS ON THE PORT OCCUPIED BUILDING THAT ARE SIZED TO COVER THE ANNUAL ELECTRIC NEEDS OF THAT BUILDING
WE HAVE ALSO INCLUDED AN INNOVATIVE SANITARY SEWER CONNECTION SYSTEM FOR VESSELS USING THE BERTH AND HAVE BEEN WORKING WITH OUR FLEET MANAGERS TO INCLUDE EXTRA ELECTRIC VEHICLE CHARGING SPACES TO SUPPORT THEIR EFFORTS AS WELL
WORKING WITH THE STORMWATER STAFF, WE IDENTIFIED AN ADDITIONAL 100,000 TERMINAL AREA OUTSIDE OF OUR AFFECTED PROJECT AREA THAT WE CAN PROVIDE TREATMENT FOR BY ADDING ADDITIONAL VAULTS UNDER OUR CONTRACT WORK, AND SO WE'RE TAKING ADVANTAGE OF THAT OPPORTUNITY ALSO
AND AS I MENTIONED, THE REMOVAL OF THE DETERIORATED CREOSOTE DOCK PROVIDES THE LARGEST ENVIRONMENTAL BENEFIT OF OUR WORK BY FAR
NEXT SLIDE
LOOKING AT OUR PROJECT SCHEDULE, WE'RE CURRENTLY PUTTING THE FINISHING TOUCHES ON OUR DESIGN READY TO BID PACKAGE AND WAITING FOR FINAL FEDERAL AND CITY PERMITS BEFORE ADVERTISING THE CONTRACT
OUR HOPE IS TO ADVERTISE AS SOON AS POSSIBLE AND EXECUTE THE CONTRACT TOWARDS THE END OF THIS YEAR
THIS WILL HELP OUR SELECTED CONTRACTOR PROCURE THE LONG LEAD ITEMS THAT THEY NEED, SUCH AS PRECAST AND ELECTRICAL COMPONENTS, TO BE READY TO START THE WORK, AND IN PARTICULAR, BE READY FOR THE INWATER WORK WINDOW OPENING IN AUGUST OF 2024, WHICH YOU CAN SEE ON THIS SCHEDULE
OUR CONSTRUCTION SCHEDULE IS AGGRESSIVE TO GET THE FACILITY COMPLETED AND ONLINE AS SOON AS POSSIBLE, AND THE CURRENT SCHEDULE HAS THE WORK COMPLETING IN THE THIRD QUARTER OF 2025
NEXT SLIDE, PLEASE
AS YOU KNOW, NO CAPITAL PROJECT IS WITHOUT RISK AS THIS CONE OF UNCERTAINTY THAT YOU'RE FAMILIAR WITH SHOWS
WHILE WE CONTINUE TO GET MORE CERTAINTY IN THE WORK AS WE PROGRESS TO THE RIGHT, THERE IS STILL SIGNIFICANT AMOUNT OF UNCERTAINTY TO OUR WORK
WE CONTINUE TO SEE A VOLATILE CONSTRUCTION MARKET, ESCALATING PRICES AND LONG LEAD ITEMS FOR CRITICAL PROJECT ELEMENTS
NEXT SLIDE
IN LIGHT OF THIS, IN OUR DESIGN EFFORT, WE PERFORMED A COMPREHENSIVE RISK ANALYSIS OF THE PROJECT AT SEVERAL STAGES IN THE DESIGN TO IDENTIFY, QUANTIFY AND POTENTIALLY MITIGATE PROJECT RISKS AS MUCH AS POSSIBLE
AS YOU CAN SEE IN THIS TABLE THOUGH, THERE ARE STILL RISKS WE'RE FACING AND WE WILL CONTINUE TO MONITOR AND MITIGATE THESE
NEXT SLIDE
SO, AS KELLY MENTIONED IN HER REMARKS, WE'RE COMING TO YOU TODAY FOR THE FULL CONSTRUCTION AUTHORIZATION OF JUST UNDER $72 MILLION TO ADVERTISE, AWARD AND COMPLETE THIS WORK UNDER A PROJECT TOTAL OF $76 MILLION
WITH YOUR APPROVAL TODAY, WE'LL BE ABLE TO COMPLETE OUR DESIGN AND PERMITTING EFFORTS, ADVERTISE THE WORK, AND COMPLETE THE WORK TO MODERNIZE THE LAST REMAINING PIECE OF ONE OF OUR KEY INDUSTRIAL TERMINALS
NEXT SLIDE
AND WITH THAT, WE'D BE HAPPY TO TAKE ANY QUESTIONS YOU MIGHT HAVE
GREAT
ANY QUESTIONS FOR STAFF? THANK YOU FOR THE PRESENTATION
YEAH, COMMISSIONER MOHAMED
WELL, FIRST OF ALL, I JUST WANT TO SAY THANK YOU FOR THE PRESENTATION
WE ARE PROUD OF THE HISTORY OF TERMINAL 91 AND OUR FISHING FLEET
AND SO I REALLY DO APPRECIATE THE IMPORTANT WORK THAT YOU ALL ARE DOING
I DO HAVE TWO QUESTIONS
ONE IS, IS ANY OF THE PORT PORTION OF THE FUNDING THAT IS BEING ASKED WILL BE CONSIDERED FOR ANY SORT OF GRANT FUNDING? IS ANY OF THIS PROJECT ELIGIBLE FOR THAT? AND IF SO, COULD YOU SHARE A BREAKDOWN OF THAT? SEE, DIRECTOR LYLES CAME ON, BUT I WAS GOING TO RESPOND
WE ARE LOOKING AT GRANT OPPORTUNITIES, IF THEY'RE AVAILABLE THROUGH OUR EXTERNAL RELATIONS AND GOVERNMENT RELATIONS STAFF
AND IF ANYTHING IS AVAILABLE, WE'LL CERTAINLY WORK TO TAKE ADVANTAGE OF THAT
OKAY
AND THEN MY OTHER QUESTION IS, COULD YOU ELABORATE JUST A LITTLE BIT ON THE REASONS BEHIND THE INCREASE IN THE TOTAL PROJECT ESTIMATE? HOW MUCH OF THAT IS SUPPLY CHAIN ISSUES? COULD SOMEONE SHARE JUST A LITTLE MORE INFORMATION ON THAT? ABSOLUTELY
SO AT A PLANNING LEVEL ESTIMATE, WHEN WE CAME FOR DESIGN, THE PROJECT WAS SIGNIFICANTLY LOWER COST
THAT'S PART OF THAT CONE OF UNCERTAINTY
THE MAJOR CHANGES THAT WE'VE SEEN ARE SOME EXPANSION OF SCOPE
LIKE I SAID, TO MEET THE CURRENT SEISMIC CODE, WE HAD TO EXPAND THE PROJECT BEYOND JUST THE PURE REPLACEMENT AND INCLUDE SOME DEEP SOIL MIXING AND SOIL STABILIZATION BEHIND THE PIER, WHICH THEN MEANS WE NEED TO MOVE THE BUILDINGS OUT OF THE WAY TO BE ABLE TO DO THAT
SO WE'RE GETTING MORE SCOPE THAN WE ORIGINALLY PLANNED
WE WILL GET REFRESHED FACILITIES FOR THE PORT AND FOR TENANT OPERATORS AND USERS OF THE FACILITY
SO WE HAVE A LITTLE BIT MORE SCOPE
BUT WE'VE ALSO SEEN HISTORIC ESCALATION AND SOME REALLY BIG CHANGES SINCE WE CAME TO YOU, I THINK, IN 2019 FOR THE INITIAL ONE
AND SO THAT'S INCORPORATED IN THERE
IN OUR CURRENT ESTIMATE, WE DO HAVE A SIGNIFICANT AMOUNT OF CONTINGENCY
WE'VE ESCALATED THESE COSTS
WE SEE THAT VOLATILITY IN THE MARKET, BUT WE'RE TRYING TO GET THE BEST COST THAT WE CAN, AND THAT'S WHY WE SEE THE HIGHER PRICE
HOW DOES THAT INFORMATION COME BACK TO THE PUBLIC WHEN SOME OF THAT IS SORTED OUT? I'M NOT SURE I UNDERSTAND YOUR QUESTION
JUST WITH THE ESTIMATED COST, I GUESS THEY'LL COME BACK TO COMMISSION FOR APPROVAL, RIGHT? CORRECT
THIS IS THE FUNDING FOR THE ENTIRE SO WE'VE CARRIED THIS PROJECT AT A TOTAL OF $70 MILLION IN THE LAST TWO ANNUAL BUDGETS, AND IT'S NOW AT $76 MILLION WOULD BE THE PROJECT TOTAL FOR THIS COST
THE DETAILS OF OUR ESTIMATE, WE WANT TO MAKE SURE THAT WE CAN CERTAINLY SHARE THOSE WITH YOU
WE WANT TO BE CAREFUL TO NOT SHOW OUR CARDS FOR POTENTIAL BIDDERS TOO, AND SPOIL THAT SURPRISE
THAT MAKES SENSE
THANK YOU FOR THOSE ANSWERS
ALL RIGHT, HEARING NO FURTHER
GO AHEAD, FRED
COMMISSIONER FRED TO YOU
SO I THANK YOU SO MUCH
IT'S AN ENORMOUS SUM OF MONEY THAT WE NEED TO SPEND TO PRESERVE OUR ASSETS IF WE'RE GOING TO BE A PORT
SO I'M FULLY IN SUPPORT OF THE IDEA
THE FACT THAT WE'RE GETTING RID OF CREOSOTE, ALL THAT GOOD STUFF, MORE STORMWATER THAN WE NEED
THANK YOU
IT'S ALL GOOD
SO WHY DO WE LET IT GO SO LONG? WELL, HOW ARE YOU IN A SITUATION WHERE WE HAVE A CONDEMNED DOCK? SO I CAN ONLY SPEAK TO THAT ANECDOTALLY AND STARTING THIS PROJECT? ONE OF THE TASKS I TRIED TO DO WAS TO FIND OUT HOW LONG THIS HAD BEEN LOAD RESTRICTED OR CONDEMNED
I SAID THE LAST MAJOR WORK WE SAW WAS IN 1985
I COULDN'T FIND ANYONE AT THE PORT WHO'D WORKED HERE LONG ENOUGH TO BE ABLE TO GIVE ME THAT ANSWER
SO IT HAS BEEN IN THIS CONDITION FOR SOME TIME
IT'S BEEN AN ITEM ON THE CAPITAL PLAN AND I THINK UNDER CONSIDERATION FOR A LONG TIME
BUT THIS IS THE FIRST TIME THAT WE'VE HAD TO GET THE BACKING TO BE ABLE TO COMPLETE THE DESIGN AND DO COMPLETE THE WORK
I DON'T KNOW IF THAT IS A CLEAR ENOUGH ANSWER
NO, THANK YOU FOR GETTING TO IT
IT'S AN IMPORTANT ASSET
YEAH
AND I KNOW ALSO IN OUR PLANNING PROCESS OVER THE YEARS, I HAPPEN TO BE TALKING TO SOME OF THE PLANNERS ON THIS, IS THAT THEY LOOKED AT COMPARISONS LIKE INVESTMENT RETURN ON INVESTMENT IN THIS VERSUS THINGS LIKE ACQUIRING OTHER PROPERTIES
SO, I MEAN, THERE WAS A TIME WHEN WE WERE ASSESSING IS IT WORTH THE REINVESTMENT HERE? VERSUS OTHER USES OF THE FUNDS
I'M SURE THE DILAPIDATION OCCURRED WELL BEFORE YOUR TENURE BEEN IT'S OBVIOUSLY BEEN UNATTENDED TO FOR SOME TIME
COMMISSIONER? YES, I'M SORRY, I HAD MY HAND RAISED
KENNY LYLES DIRECTOR OF OPERATIONS AND SECURITY I WOULD LIKE TO HIGHLIGHT THAT MARK LONGRIDGE, OUR PROJECT CAPITAL PROJECT MANAGER, WAS THE PROJECT MANAGER OVER THE SOUTHWEST PORTION OF PIER 91
SO IT'S NOT A CASE OF OVERALL NEGLECT
WE HAVE BEEN UPGRADING THE INFRASTRUCTURE
WE ALSO RECENTLY UPGRADED THE NORTHWEST PIER FENDER SYSTEM
SO WE ARE INCREMENTALLY ADDRESSING SOME OF THESE END OF LIFE PORTIONS OF THE DOCK
AND MARK, YOU COULD PROBABLY ADD TO THAT IF YOU WOULD LIKE, BUT I WANTED TO MAKE SURE THAT WE DIDN'T INCLUDE THAT AS WELL
SO THANK YOU VERY MUCH
THANK YOU FOR THAT CLARIFICATION
AND I'M A FAN OF INFRASTRUCTURE
I WANT YOU TO SPEND THE MONEY
THIS IS WHAT WE'RE HERE FOR
AND I DIDN'T MEAN TO POINT FINGERS THERE, BUT ONE OF THE THINGS YOU ALSO ARE DOING IS DOING A PUMP OUT, RIGHT? YOU'RE TALKING ABOUT PUTTING A PUMP OUT ON THE SYSTEM AND IT'S FALSE
STILL NOT GOING TO BE A PUMP OUT
IT'S A CONNECTION
SO WE'RE NOT QUITE SURE HOW IT'S GOING TO WORK YET
SORRY, IT'S NOT A PUMP OUT, IT'S ACTUALLY A CONNECTION TO THE SEWER SYSTEM
CORRECT
AND BETTER YET, AND WILL FOSS STILL BE A TENANT TO THE SOUTH, I MEAN, TO THE NORTH? I SAW THAT IN THAT DESIGN
IT SAID TUGS
THAT'S TO BE DETERMINED
WE STILL NEED TO SEE HOW WE'LL ACCOMMODATE EVERYBODY AND HAVE THE HIGHEST USE FOR THOSE BURSTS
I SEE
WELL, I DIDN'T REALLY CARE WHETHER IT WAS FOSTER OR NOT, BUT I KNOW THAT WE'RE LOOKING TO HAVE PLACES FOR TUGS TO PUMP OUT
AND TO THE DEGREE THAT THIS BERTH WOULD BE ABLE TO BE ACCESSED BY VESSELS IN NEED OF THAT SERVICE, WHICH ARE MOSTLY TUGS, I WAS JUST WONDERING WHETHER OR TO MY QUESTION IS COULD WE POSITION A PUMP OUT, FOR LACK OF A BETTER WORD, AT A PLACE THAT WOULD BE MULTIPLY ACCESSIBLE? I'M JUST WONDERING IF WE'RE THINKING ABOUT THAT BECAUSE WE DO KNOW THE MARINE TRADE FOLKS ARE ASKING US TO LOOK FOR CAPACITY TO DO THAT
AND I JUST DON'T KNOW IF THAT'S KIND OF PART OF YOUR SCOPE OF THINKING
IT'S DEFINITELY ON OUR MIND AS WE LOOK AT OUR ASSETS AND WORKING WITH OUR PLANNING TEAM TO SEE WHERE WE CAN MEET THE NEEDS OF OUR MARITIME USERS
HOW IT WILL WORK WITH THIS FACILITY, WE'RE NOT QUITE SURE YET
CERTAINLY IT WON'T BE A CONSISTENT ACCESS WITH THE FISHING VESSELS BLOCKING ACCESS AT CERTAIN PARTS OF THE YEAR, BUT WHEN THE FISHING FLEETS OUT, WE'LL SEE HOW THESE WORK AND IF WE CAN MAKE THEM WORK FOR THAT
AND I WOULD ALSO ENCOURAGE US OR DISCOURAGE US FOR DEFINING THE WAY IN WHICH THE PILES ARE GOING TO BE DRIVEN THAT WE NEED PILES TO BE PUT IN
WE HAVE RUN INTO SOME CHALLENGES AT THE SEAPORT ALLIANCE
SPECIFYING WE SHOULD BE CALLING FOR WHAT NEEDS TO BE DONE
HOW IT'S DONE SEEMS TO BE SHOULD BE THE RESPONSIBILITY OF THE CONTRACTOR FROM A LIABILITY PERSPECTIVE
I JUST SUGGEST THAT WE DEFINE THE NEED AND SOMEBODY ELSE DOES THE HOW
YEAH, THERE IS SOME FLEXIBILITY WITHIN THE CONTRACT, BUT TO GET OUR CONSTRUCTION PERMIT, WE DO HAVE TO PROVIDE THE STRUCTURAL CALCULATIONS THAT SHOW THE CAPACITY OF THOSE PILES AND FOR THE GEOTECHNICAL CONDITIONS THAT WE HAVE SO WE CAN'T PERFORM AT SPEC
IT TOO MUCH
BUT WE DO PROVIDE THERE IS THAT FLEXIBILITY WITHIN THE CONTRACTS
AND FINALLY, YOU'RE PUTTING SOLAR ON THE ROOFS
THIS IS LIKE THE FOURTH PROJECT I'VE SEEN, LIKE THIS YEAR THAT WE'RE SOLARIZING
THERE'S BEEN A LONG TIME SINCE WE'VE BEEN DESCRIBING SOLAR
IT'S NOT COST EFFECTIVE BECAUSE WE HAVE A LOW CARBON ELECTRICAL GRID ALREADY
WHAT'S THE NET BENEFIT OF DOING THAT? I'M DELIGHTED
I'VE ALWAYS SAID THAT BY REDUCING THE DEMAND ON THE GRID, OBVIOUSLY, YOU JUST SAW IN THE PAPER WITH THE MELT OF THIS GADGET, WE'RE GOING TO BE BUYING POWER FROM CALIFORNIA
I THINK THE MORE WE TAKE RESPONSIBILITY FOR GENERATING OUR OWN ELECTRICITY, I SALUTE YOU FOR TAKING THAT INITIATIVE
AND THANK YOU
ALL RIGHT, HEARING NO FURTHER QUESTIONS FOR THIS ITEM
IS THERE A MOTION IN A SECOND? STILL MOVED
SECOND
ALL RIGHT
THE MOTION WAS MADE AND SECONDED
DEPUTY CLERK, PLEASE CALL THE ROLL FOR THE VOTE
THANK YOU
COMMISSIONER FELLEMAN
AYE
COMMISSIONER HASEGAWA
AYE
COMMISSIONER MOHAMED AYE
AND COMMISSIONER CHO AYE
THERE ARE FOUR AYES AND ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
THANK YOU VERY MUCH, COMMISSIONER, CAN I MAKE ONE COMMENT HERE AS YOU FINISH UP, I JUST WANT TO SAY THAT KELLY, YOU SAW THE ONE SLIDE THERE THAT SHOWED THE POSITIONING OF THE VESSELS THERE
I JUST WANT TO CALL KELLY GOODWIN AND HER TEAM ABOUT THAT IS A THING
WE JUST KIND OF WENT OVER THAT REALLY QUICKLY
THAT'S SOMETHING THEY DO CONTINUOUSLY TO FIND AS MORE AND MORE DEMANDS FOR LARGER TO LARGER SHIPS
THAT THAT IS SOMETHING THAT THE TEAM DOES AN EXCELLENT JOB ON AND DON'T GET A CHANCE TO ALWAYS TALK ABOUT THAT HERE
SO I JUST WANT TO GIVE THEM A SHOUT OUT
GREAT
THANK YOU
THANK YOU FOR THAT
ALL RIGHT, DEPUTY CLERK PAYNE, PLEASE READ THE NEXT ITEM INTO THE RECORD AND EXECUTIVE DIRECTOR WILL THEN INTRODUCE THEM
THANK YOU
THIS IS ITEM TEN E AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO INCREASE THE CONTRACT VALUE FOR THE EXISTING SERVICE
CONTRACTS FOR CUSTODIAL SERVICES AT SEATTLE TACOMA INTERNATIONAL AIRPORT BY $54,300,000 FOR A NEW CUMULATIVE VALUE OF $149,300,000
TO AUTHORIZE THE EXECUTIVE DIRECTORS TO RECOMPETE AND EXECUTE UP TO TWO FIVE YEAR CUSTODIAL SERVICE CONTRACTS TO ADD WASTE REMOVAL SERVICES FOR THE AIRPORT DINING AND RETAIL TENANTS, AND TO ADD THE COMMISSIONER PUBLIC HEALTH AND SAFETY INITIATIVE SURFACE COMPLEMENTARY HYGIENE PRODUCTS AT SEATTLE TACOMA INTERNATIONAL AIRPORT
COMMISSIONERS
IN 2023, SEATTLE TACOMA INTERNATIONAL AIRPORT WAS GIVEN THE AWARD
THE CLEANEST AIRPORT IN THE UNITED STATES BY SKYTRACKS SEA WAS ONLY THE SECOND, ONLY SECOND ONLY TO VANCOUVER IN NORTH AMERICA
IN THIS REGARD, THIS HONOR IS LARGELY DUE TO THE AVIATION MAINTENANCE TEAM AND THE SERVICE CONTRACTS WE HAVE FOR CUSTODIAL SERVICES
THE AUTHORIZATION WILL INCREASE THE VALUE OF THE EXISTING CONTRACT TO REFLECT ACTUAL COSTS, ADD A NEW SERVICE TO MEET TENANT NEEDS, AND ADD CAPACITY TO PROVIDE COMPLEMENTARY HYGIENE PRODUCTS TO TRAVELERS AND STAFF AT THE AIRPORT
THE PRESENTERS ARE THIS AFTERNOON MIKE TASKER DIRECTOR, AVIATION MAINTENANCE
AND GINA KIM, SENIOR MANAGER, AVIATION MAINTENANCE, CUSTODIAL SERVICES
SO I'LL BEGIN WITH YOU, MIKE
THANK YOU
GOOD AFTERNOON, COMMISSIONER AND EXECUTIVE DIRECTOR METRUCK
I'M MIKE TASKER, DIRECTOR OF AVIATION MAINTENANCE
AS WAS SAID, I'M HERE WITH GINA KIM, SENIOR MANAGER OF AVIATION SERVICE CONTRACT MANAGEMENT
WE'RE HERE TODAY TO REQUEST AUTHORIZATION FOR CUSTODIAL SERVICES AT THE AIRPORT
NEXT SLIDE
AS WAS MENTIONED IN THE OVERVIEW, THERE ARE MULTIPLE ELEMENTS TO THE ACTION REQUESTED AND WE'LL GO THROUGH THEM SEPARATELY
NEXT SLIDE
THE FIRST ELEMENT OF THE REQUEST IS TO INCREASE THE AUTHORIZATION FOR ADDITIONAL FUNDING
WE PREVIOUSLY CAME TO COMMISSION IN MARCH OF 2020 AND ASKED FOR 95 MILLION IN AUTHORITY FOR CUSTODIAL SERVICES IN UP TO FOUR ZONES TO GET US THROUGH 2026
THIS WAS BEFORE SENDING THE PROPOSALS OUT FOR BID
WHEN THE PROPOSALS CAME BACK AT NEARLY 135,000,000, WE KNEW WE'D RETURN TO COMMISSION FOR ADDITIONAL AUTHORIZATION
THIS REQUEST IS FOR AN ADDITIONAL 54.3 MILLION, WITH A NEW TOTAL OF 149.3 MILLION
THIS TAKES THE ORIGINAL SHORTFALL INTO ACCOUNT AND ADDS FOR INFLATION AND NEW ELEMENTS OF THIS REQUEST
NEXT SLIDE AFTER BRINGING UP THE ZONE CONCEPT ON THE PREVIOUS SLIDE, IT MAY BE GOOD TO PROVIDE A BRIEF HISTORY ON THE ZONE CONCEPT
PRIOR TO 2017, THE AIRPORT WAS SERVICED BY ONE CUSTODIAL SERVICE PROVIDER
THE ZONE CONCEPT WAS PRESENTED TO ENHANCE CUSTOMER SERVICE, BOOST COMPETITION BETWEEN CONTRACTORS, INCREASE WMBE PARTICIPATION, LEVERAGE LABOR HARMONY, AND CREATE JOBS WITH LIVING WAGES
THE NUMBER OF CONTRACTED WORKERS IN 2017 WAS 165, AND TODAY IT'S ALMOST DOUBLE AT 320
THERE ARE CURRENTLY FIVE ZONES
IAF WAS THE ZONE FIVE YOU SEE THERE IN PURPLE THAT WAS AFTER ADDED IN 2020
ZONE ONE IS THE SOUTH SIDE OF THE SECURE SIDE OF THE AIRPORT
ZONE TWO IS THE NORTH SIDE OF THE SECURE SIDE OF THE AIRPORT TO INCLUDE CENTRAL TERMINAL
ZONE THREE IS THE NON SECURE PART OF THE TERMINAL, AND ZONE FOUR IS THE NON PUBLIC FACING PARTS OF THE AIRPORT AND AIRPORT PROPERTIES TO INCLUDE AIRPORT OPERATION BUILDING
SLIDE THE SECOND ELEMENT IS TO RECOMPETE UP TO TWO CUSTODIAL SERVICE CONTRACTS
ONE ZONE MUST BE RECOMPETED AS A STUN, AND THE OTHER ZONE IS AT THE END OF ITS BASE TERM AND COULD BE RECOMPETED
THESE CONTRACTS ARE PERFORMANCE BASED
SLIDE WE USE SEVERAL ELEMENTS TO EVALUATE PERFORMANCE
WE EVALUATE RESPONSE TIMES AND COMPLETION OF WORK
WE LEVERAGE MAXIMO FOR TRACKING THE DATA
PORT STAFF PERFORMS VIOCHI AUDITS, WHICH IS A REVIEW OF THE SPACES AND EVALUATE THEIR CLEANLINESS
TRAINING IS PERFORMED WITH THE STAFF TO TRY TO HAVE CONSISTENCY IN EVALUATION, AND THERE IS AN INCENTIVE FOR THE CONTRACTS IF THEY SCORE GREATER THAN 80%, THERE IS INCENTIVES FOR HIGH LEVELS OF PERFORMANCE
SLIDE CUSTOMERS CAN ALSO GENERATE SERVICE REQUESTS AT THE RESTROOM VIA OPTICO, WHICH IS LEVERAGING TECHNOLOGY, WHICH IS A QR CODE AT THE RESTROOM ENTRANCE, OR USE A CSAY APP, WHICH IS A TEXT OR QR CODE THAT IS PROVIDED ON THE RESTROOM MIRRORS
OPTICAL CAN ALSO PROVIDE TIME FROM WHEN THE LAST CLEANING AND SERVICING OF THE RESTROOM WAS ACCOMPLISHED
ACI OR AIRPORTS COUNCIL INTERNATIONAL ALSO PERFORMS INSPECTIONS FOR THE AIRPORT SERVICE QUALITY QUARTERLY RESTROOMS PLAY A BIG ROLE IN THE AIRPORT SERVICE QUALITY AND AS WAS MENTIONED, WE ARE PROUD TO HAVE BEEN SELECTED THE BEST AIRPORT IN NORTH AMERICAN 2022 AND 2023, CLEANEST AIRPORT IN 2022 AND WE'RE SECOND IN 2023
SLIDE THE THIRD ELEMENT OF THIS REQUEST HAS A LOT OF INTEREST FROM HERE I BELIEVE IN THE COMMISSION
THIS THIRD ELEMENT IS THE REQUEST TO IMPLEMENT THE COMMISSION PUBLIC HEALTH AND SAFETY INITIATIVE
THIS WILL PROVIDE HYGIENE PRODUCTS IN THE PUBLIC RESTROOMS AT THE AIRPORT IN 2024 AND GOING FORWARD
NEXT SLIDE PLEASE
PLEASE
THE FOURTH AND LAST ELEMENT OF THIS REQUEST IS TO PROVIDE CONTRACTING AUTHORITY FOR AIRPORT DINING AND RETAIL WASTE REMOVAL
THIS IS JUST A REQUEST FOR CONTRACTING AUTHORITY AS THE COST WILL BE REIMBURSED BY THE TENANTS
THE INTENT HERE IS TO MITIGATE WASTE CONTAMINATION, FOD, INCREASE ENVIRONMENTAL STEWARDSHIP EFFICIENCY AND CUSTOMER EXPERIENCE
SOMETIMES
THEY SAY PICTURES WORTH 1000 WORDS
IF YOU LOOK AT THE PICTURES ON THE SLIDE, THIS IS WHAT WE CAN MANAGE OR DEAL WITH FREQUENTLY AT THE AIRPORT
AND WE BELIEVE WE CAN ADDRESS THAT BY HAVING A CONTRACTED SERVICE SLIDE
AND WITH THAT QUESTIONS? IT ANY QUESTIONS? SUCH A LITTLE STALE
ANY QUESTIONS? COMMISSIONER, HOW'S IT GOING? I'M BESIDE MYSELF ABOUT THIS REQUEST
I DID NOT KNOW THAT SEATAC AIRPORT WAS RECOGNIZED AS THE CLEANEST AIRPORT 2022 AND THE SECOND CLEANEST IN 2023
HYGIENE AND MAKING SURE THAT WE'RE PROMOTING PUBLIC HEALTH IS A CORE COMPONENT OF WHAT WE DO TO MAXIMIZE THE CUSTOMER EXPERIENCE, BUT ALSO MAKE SURE THAT WE HAVE OPTIMAL WORKFORCE CONDITIONS FOR OUR THOUSANDS OF EMPLOYEES AT SEA
WE ARE MORE THAN TRIPLING WELL, NOT MORE THAN WE'RE ALMOST TRIPLING THE CONTRACT OR THE INVESTMENT THAT WE'RE MAKING INTO HYGIENE AT SEATAC AIRPORT, INCLUDING NEW CONTRACTS, AS WELL AS AN ABILITY TO IMPLEMENT THE COMMISSION INITIATIVE TO MAKE AVAILABLE PERIOD PRODUCTS TO THE PUBLIC AND TO THE WORKERS FOR VERY, I THINK, SOCIALLY SPEAKING, A HUGE STEP FORWARD
AND WHAT WE'RE ABLE TO DO TODAY COLLECTIVELY AT THE PORT OF SEATTLE
AND IT'S BEEN A LONG TIME COMING FOR YEARS
THANK YOU SO MUCH TO THE PORT OF SEATTLE STAFF AND THANK YOU SO MUCH TO MY COLLEAGUES UPON THE COMMISSION FOR PROVIDING THE GUIDANCE AND THE SUPPORT IN ORDER TO BRING US TO WHERE WE ARE TODAY
I WHOLEHEARTEDLY LOOK FORWARD TO SUPPORTING THIS
GREAT
THANK YOU
COMMISSIONER, HOW'S IT GOING? ANY OTHER QUESTIONS? REAL QUICKLY, I HAD HEARD THAT THERE WAS A BUDGET SHORTFALL FOR 2023
AND IS THAT COVERED IN THIS? YEAH, WE CAN GET THROUGH 2023 AND GET TO EARLY 2024 OUT OF THE AUTHORIZATION
WE HAVE BUDGET
IT'S THE AUTHORITY THAT WE'RE GOING TO RUN OUT OF EARLY NEXT YEAR IF THIS ISN'T APPROVED
OKAY, SO THE CURRENT CONTRACTORS THAT WE HAVE ON FOR CUSTODIAL SERVICES WILL AT THE VERY LEAST SEE OUT THE REST OF THE REMAINDER OF THE YEAR
YES
AND THAT'S NOT NECESSARILY IMPACTED BY THIS
AND SO IN 2024, YOU MAY OR MAY NOT REBID THOSE CUSTODIAL CONTRACTS OR CHOOSE TO EXECUTE ON THE ONE YEAR
IS IT THE ONE YEAR OPTIONS OR WHAT? WE HAVE ONE YEAR OPTIONS
SO THERE'S A BASE CONTRACT OF TWO YEARS
SO ONE CONTRACT NEEDS TO BE REBID ZONE THREE AND THE OTHER ONE IS UP FOR THE BASE BID IS OVER
AND THEN WE CAN EVALUATE THE PERFORMANCE AND HAVE THE ABILITY TO RECOMPETE
IT DOESN'T MEAN WE WILL, BUT WE'D LIKE AN OPPORTUNITY WITH THE AUTHORIZATION TO RECOMPETE
OKAY
AND ZONE THREE IS DIFFERENT FROM THE NEW ZONE THREE, OR ARE THOSE THE SAME? ZONE THREE IS THE SAME ONE THERE
IT'S UP FOR COMPETITION
OH, I SEE, I SEE
BECAUSE I WAS LOOKING AT THIS AND THERE WAS TWO ZOOM GROUPS
GOT IT
OKAY
ALL RIGHT
SEEING NO FURTHER QUESTIONS
IS THERE A MOTION? IN A SECOND
SO MOVED
EXCELLENT
GREAT
CLERK, PLEASE CALL THE ROLL
THANK YOU
COMMISSIONER FELLEMAN? AYE
COMMISSIONER HASAGAWA AYE
COMMISSIONER MOHAMMED AYE
AND COMMISSIONER CHO? AYE
THAT'S FOUR AYES AND ZERO NAYS FOR THIS ITEM
THANK YOU
THE MOTION PASSES
THANKS, KIM
APPRECIATE IT
ALL RIGHT, MOVING ON TO THE AGENDA, CLERK PAYNE, PLEASE GO AHEAD AND READ THE NEXT ITEM INTO THE RECORD, AND EXECUTIVE DIRECTOR WILL INTRODUCE IT
THANK YOU
THIS IS ITEM TEN
F AUTHORIZATION FOR THE EXECUTIVE DIRECTOR TO ADVERTISE, AWARD AND EXECUTE A MAJOR WORKS CONSTRUCTION CONTRACT UTILIZING A PROJECT LABOR AGREEMENT TO ENABLE CONSTRUCTION OF A PACKAGE OF IMPROVEMENTS TO THE FISHERMAN'S TERMINAL, INCLUDING THE RENOVATION
OF A SHIP SUPPLY BUILDING INTO THE MARITIME INNOVATION CENTER AND A SET OF PUBLIC SPACE IMPROVEMENTS TO FISHERMAN'S TERMINAL FOR A TOTAL AMOUNT REQUESTED OF $27,415,415 AND A TOTAL PROJECT AUTHORIZATION OF $32,600,000
COMMISSIONER, I'M PLEASED TO INTRODUCE THIS ITEM AUTHORIZING THE CONSTRUCTION OF THE MARITIME INNOVATION CENTER AND OTHER IMPROVEMENTS TO FISHERMAN'S TERMINAL TODAY
THE INVESTMENT IN THE MARITIME INNOVATION CENTER IS AN EXAMPLE OF OUR PORTWIDE COMMITMENT TO INNOVATION AND ENTREPRENEURSHIP
WITH THE MARITIME INNOVATION CENTER, OR THE MIC, WE TAKE THE OLDEST BUILDING AT FISHERMAN'S TERMINAL AND MAKE IT NEW WITH A CUTTING EDGE DESIGN THAT FULLY REVEALS THE 100 YEAR OLD BEAMS INSIDE, AS WELL AS THE LIVING BUILDING STANDARD SUSTAINABILITY IMPROVEMENTS
THIS PROJECT TAKES A HUMBLE AND INDUSTRIAL BUILDING AND REMAKES IT FOR A NEW ERA
THIS INVESTMENT IS AN EMBODIMENT OF OUR POSITIVE AND FUTURE FOCUSED OUTLOOK ON THE MARITIME INDUSTRIES
IT TAKES THOSE PAST OUR LEGACY PROGRAMS IT TAKES THEM INTO THE FUTURE IN DRIVING INTO THE NEWER BLUE ECONOMY
THIS AUTHORIZATION ALSO INCLUDES A PACKAGE OF PUBLIC SPACE IMPROVEMENTS, WHICH INCLUDE ART SIGNAGE, WAYFINDING LANDSCAPING, AND NEW INTERPRETIVE SIGNAGE AT FISHERMAN'S TERMINAL
THE PRESENTERS ARE THIS AFTERNOON DAVE MCFADDEN, MANAGING DIRECTOR, ECONOMIC DEVELOPMENT DIVISION CAROL LISE, DIRECTOR OF REAL ESTATE DEVELOPMENT AND ECONOMIC DEVELOPMENT AND KELLY PURNELL, CAPITAL PROJECT MANAGER FOR WATERFRONT
AND SO WITH THAT, I'LL TURN OVER DAVE MCVAD
THANK YOU
GOOD AFTERNOON, COMMISSIONER
AND EXECUTIVE DIRECTOR METRUCK
WE'RE PLEASED TO BE HERE TODAY
I'M NOT SURE WITH THIS PROJECT THAT WE'RE AT THE TOP OF THE MOUNTAIN, BUT I THINK WE CAN CERTAINLY SEE THE SUMMIT, AND THAT IS EXCITING
LET'S GO TO THE NEXT SLIDE, PLEASE
WE'RE SEEKING YOUR AUTHORIZATION TO REBUILD THE HISTORIC SHIP SUPPLY BUILDING AND TRANSFORM IT INTO A STATE OF THE ART MODERN MARITIME INNOVATION CENTER
WE'RE ALSO SEEKING AUTHORIZATION TO DEVELOP WAYFINDING SIGNAGE AND INTERPRETIVE DISPLAYS THAT WILL COMPLEMENT OUR RENOVATIONS AT FISHERMAN'S TERMINAL AND HELP TELL THE STORY BEHIND THIS LIVING LEGACY
THIS FACILITY WILL BE A SPARK THAT IGNITES THE INNOVATION WITHIN THE MARITIME INDUSTRY
AND THIS SPARK WILL GROW INTO A FIRE THAT HELPS SUSTAIN THIS VITAL INDUSTRY INTO THE FUTURE
THE ROI ON THIS FACILITY CANNOT BE MEASURED IN RENT ALONE
THE MARITIME INNOVATION CENTER IS MORE THAN A BUILDING
IT'S THE HEART OF A NEW NETWORK SUPPORTING MARITIME ENTREPRENEURS
THIS FACILITY, OVER TIME, WILL HELP HUNDREDS OF ENTREPRENEURS AND IDEAS MOVE FORWARD THAT HELP SUSTAIN THE PORT AND OUR MARITIME INDUSTRY
IT WILL ALSO ADVANCE WORKFORCE DEVELOPMENT, ACTING AS A CENTER OF DISCOVERY FOR KIDS CURIOUS ABOUT CAREERS IN THE MARITIME INDUSTRY
LET'S GO TO THE NEXT SLIDE
NEXT SLIDE
OUR JOURNEY REALLY ON THIS PROJECT, AS JOSHUA MENTIONED, BEGAN SEVEN YEARS AGO AS WE WERE FINALIZING A NEW STRATEGIC PLAN AT FISHERMAN'S TERMINAL
AS THIS PLAN WAS GETTING FINALIZED, WE ENVISIONED CREATING A MARITIME INCUBATOR AT FISHERMAN'S TERMINAL
WE THEN SAW AN OPPORTUNITY TO REDEVELOP THE SHIP SUPPLY BUILDING INTO THIS FACILITY
THE SEED WAS PLANTED AT THIS POINT, BUT WE HAVE HAD TO DO TREMENDOUS WORK TO BRING THIS PROJECT TO FRUITION
OVER THE PAST SEVEN YEARS, WE'VE COMPLETED FEASIBILITY STUDIES, WRITTEN BUSINESS PLANS, ENGAGED COUNTLESS MARITIME AND COMMUNITY STAKEHOLDERS, BUILT A RELATIONSHIP WITH MARITIME BLUE, SPAWNED A NEW MARITIME ACCELERATOR PROGRAM, AND DONE TREMENDOUS DESIGN WORK TO MAKE THIS FACILITY UNIQUELY SUSTAINABLE
LET'S GO TO THE NEXT SLIDE
WE WERE FURTHER SPURRED TO ACTION WHEN ONE OF OUR STUDIES SHOWED THAT THERE WERE OVER 60 INCUBATOR AND ACCELERATOR PROGRAMS IN THE SEATTLE REGION, BUT NONE OF THEM WERE FOCUSED ON MARITIME
DURING THIS TIME, WE DISCOVERED A COUPLE BRIGHT LOCAL MARITIME ENTREPRENEURS THAT HAD FLOWN HALFWAY AROUND THE WORLD TO ATTEND THE PORT OF ROTTERDAM'S ACCELERATOR PROGRAM
ONE OF THOSE FIRMS INDICATED THAT THEY HAD STARTED IN A SEATTLE ACCELERATOR, BUT GOT DISCOURAGED WHEN PROGRAM DIRECTORS TOLD THEM TO SHIFT THEIR FOCUS FROM MARITIME TO HEALTHCARE
NOW, YEARS LATER, WE'VE SHOWN THAT IF WE BUILD THIS FACILITY, THAT WILL INDEED ATTRACT THE ENTREPRENEURS AND EXPERTS ALIKE THAT CAN DRIVE SUCCESS WITHIN THE MARITIME INDUSTRY
THIS IS A HUGE STRIDE
IT'S AN EXCITING DAY, AND AGAIN, I WANT TO THANK YOU
AS THE PORT COMMISSIONER, WE'VE APPRECIATED YOUR SUPPORT BUT ALSO YOUR QUESTIONS AND DRIVE TO DIG DEEPER ON THIS PROJECT, BUT ALSO WANT TO COMMEND PORT STAFF, MARITIME BLUE AND NUMEROUS STAKEHOLDERS FOR GETTING US TO THIS POINT
AND AT THIS POINT, WHAT I'D LIKE TO DO IS TURN IT OVER TO MY ASSOCIATES, KIRA LEESE AND KELLY PURNELL, WHO WILL GO OVER KEY PROJECT DETAILS
THANK YOU, DAVE
AND THANK YOU, COMMISSIONERS
IT IS A REAL PLEASURE TO BE HERE WITH YOU AND PRESENT THIS PROJECT FOR YOUR APPROVAL
BEFORE I BEGIN, I, TOO, WANT TO ACKNOWLEDGE THAT BETWEEN MYSELF AND PROJECT MANAGER PERNELL, WE REPRESENT JUST TWO OF THE COUNTLESS HANDS AND HEARTS FROM ACROSS THE BOARD OVER THE LAST SEVEN YEARS THAT HAVE BEEN PART OF THE PROJECT TEAM TO DELIVER THIS SET OF PROJECTS
FIRST IN THE EFFORT TO DEVELOP A COMPREHENSIVE VISION AND PLAN FOR FISHERMEN'S TERMINAL AND THEN TAKING THE STEPS TO SET A DESIGN FRAMEWORK THAT HAS YIELDED THE PROJECTS
WE'RE HERE TODAY TO DISCUSS THE MARITIME INNOVATION CENTER PURPOSE BUILT FOR THE MARITIME INDUSTRY AND SHOWCASING OUR COMMITMENT TO THE FUTURE OF THE PEOPLE WHO MAKE UP FISHERMAN'S TERMINAL AND THE MARITIME INDUSTRY
SO LET ME GO OVER A FEW ELEMENTS OF DESIGN AND CONSTRUCTION OF THIS AMAZING PROJECT
NEXT SLIDE, PLEASE
THE SHIP SUPPLY BUILDING HAS BEEN AT THIS SPOT ON THE DOCKS OF FT FOR 105 YEARS
THE KEY PRINCIPLE OF OUR DESIGN APPROACH IS THAT THE FOOTPRINT AND ENVELOPE OF THIS BUILDING WILL REMAIN JUST WHERE IT'S BEEN FOR ALL OF THOSE 105 YEARS
THE BUILDING WILL BE COMPLETELY RENOVATED USING EXISTING BEAMS AND INCLUDING NEW GLASS EXTERIOR DOORS AND WINDOWS TO ENHANCE THE TRANSPARENCY, INCORPORATE NATURAL LIGHT AND FRESH AIR, ONE OF THE ELEMENTS THAT'S REQUIRED AS PART OF LIVING BUILDING CHALLENGE CERTIFICATION
WE ARE INCORPORATING AN EXCITING DESIGN GESTURE, THE 105 YEAR OLD WOOD BEAMS IN OUR FINAL DESIGN, WITH THE ADDITION OF STEEL BEAMS TO SUPPORT SEISMIC ENGINEERING REQUIREMENTS OF A CONTEMPORARY PROJECT
THE SIGNIFICANT CHALLENGES OF DESIGN ARE IN THE FOUNDATION SYSTEM, POOR SOIL CONDITIONS AND THE FACT THAT THE BUILDING IS SUPPORTED ON PILES WHICH THEMSELVES ARE FROM A CENTURY AGO AND THE FACT THAT IN ORDER TO REPLACE THE PILES, WE NEED TO BASICALLY PICK THE BUILDING UP AND PUT IT IN THE PARKING LOT NEXT TO IT WHILE WE FIX THE PILES
THAT JUST OUTLINES JUST ONE OF THE MANY CHALLENGES WE FACED IN A DESIGN ON THE EXISTING FOOTPRINT TO A CONTEMPORARY STANDARD
NEXT SLIDE, PLEASE
CONSTRUCTION WILL BE COMPLICATED AND A BIT LATER IN THIS PRESENTATION, KELLY WILL DISCUSS HOW WE'VE WORKED THROUGH AND PLANNED FOR SOME OF THOSE COMPLICATIONS
WE'VE ANTICIPATED AND MITIGATED THE RISKS
CONSTRUCTION WILL COMMENCE WITH ABATEMENT OF REGULATED MATERIALS IN THE EXISTING STRUCTURE AND SOME SELECTIVE DEMOLITION IN THE INTERIOR, TAKING CARE TO PROTECT THOSE TIMBER STRUCTURES WHICH WILL BE PRESERVED IN THE FINAL PRODUCT
THE FOUNDATION SYSTEM, NAMELY THE NEW STRUCTURAL PILE THAT THE BUILDING FOUNDATION WILL EVENTUALLY REST ON, WILL TAKE PARTICULAR CARE DURING THE CONSTRUCTION PERIOD, AFTER WHICH THE BUILDING WILL BE FULLY REHABILITATED, FIRST WITH OUR WORK ON CORE AND SHELL AND THEN FINALLY WITH TENANT IMPROVEMENTS TO SUPPORT MARITIME BLUE
IT INCLUDES NEW UTILITY SERVICE, NEW BUILDING PERIMETER AND PARKING
IT SOUNDS STRAIGHTFORWARD, BUT IT'S NOT
WE HAVE BEEN TALKING TO POTENTIAL GENERAL CONTRACTORS ABOUT THIS PROJECT AHEAD OF BUILDING TO CONFIRM OUR ASSUMPTIONS IN A PRE BID ENVIRONMENT
JUST ONE STEP WE ARE TAKING TO REDUCE RISK OVERALL
AND AGAIN, KELLY WILL TALK MORE ABOUT OUR RISK MANAGEMENT APPROACH WHEN SHE MAKES HER PUGET COMMENTS A BIT LATER
NEXT SLIDE, PLEASE
HAVE YOU'VE HEARD? THE SUSTAINABILITY APPROACH IN OUR DESIGN IS TO ACHIEVE LIVING BUILDING STANDARD CERTIFICATION IN THIS PROJECT, MANY OF YOU HAVE WORKED WITH LEAD AND OTHER CERTIFICATIONS THAT SET GREEN BUILDING STANDARDS
IN THE US
THE LIVING FUTURES INSTITUTE DEVELOPED LBC STANDARDS, WHICH SIGNIFICANTLY WORKS WITH BIOPHILIC DESIGN PRINCIPLES, OR THE PRACTICE OF RECONNECTING PEOPLE AND NATURE WITHIN THE BUILT ENVIRONMENT
BIOPHILIC DESIGN INVOLVES TRANSLATING ELEMENTS DERIVED FROM NATURE INTO DESIGN OUTCOMES AND ULTIMATELY IMPROVE THE HEALTH AND WELL BEING OF OCCUPANTS AND FOSTER A CONNECTION TO NATURE
NONETHELESS, THE PORT SUSTAINABLE EVALUATION FRAMEWORK SELECTED MARITIME INNOVATION CENTER AS A PILOT PROJECT FOR OUR SUSTAINABILITY POLICY, AND WE WORK CLOSELY WITH THE ENVIRONMENTAL TEAM TO LOOK AT OPTIONS TO BUILDING DESIGN IN LIGHT OF OUR DESIRE TO BE THE GREENEST PORT IN NORTH AMERICA
AS YOU SEE IN THIS GRAPHIC, WHICH MANY OF YOU HAVE SEEN MANY TIMES, THERE ARE MANY FACETS TO THIS CONSTRUCTION THAT ADVANCE OUR PRIORITIES AROUND SUSTAINABILITY
SOME THINGS MOST ARE FAMILIAR WITH PHOTOVOLTAIC PANELS, GROUND SOURCE, HEAT EXCHANGE, THE TREATMENT OF WASTEWATER ON SITE
IN ADDITION, THERE ARE RED LIST MATERIALS THAT WILL BE PROHIBITED IN CONSTRUCTION
THE PROJECT IS NET POSITIVE FOR ENERGY AND WITH OUR SALVAGE APPROACH, REDUCED CARBON EMISSIONS AND CARBON CAPTURE OVER THE LIFE OF THE OPERATING FACILITY
UNLIKE SOME OF THE MORE TECHNICAL PROVISAS IN THE LBC FRAMEWORK, LBC ALSO REQUIRES HEIGHTENED EQUITY COMMITMENTS FOR DESIGN AND ENGAGEMENT IN CONSTRUCTION AND IN TERMS OF THE WORKFORCE CONTRACTED FOR THIS PROJECT, AMONG MANY OTHER REQUIREMENTS
NEXT SLIDE, PLEASE
THE MARITIME INNOVATION CENTER AND THE SURROUNDING PUBLIC PROJECT ALSO INCLUDES ART
WORKING WITH THE ART TEAM, TOMMY GREGORY AND ANNABELLE GOEVIC, WHO SOLICITED ARTISTS TO WORK WITH THE PROJECT TEAM, WERE HAPPY TO BE WORKING WITH LOCAL ARTISTS SHOGO ODA AND TY JUVENILE
THESE SKETCHES ARE THE PRELIMINARY CONCEPTS THEY'VE PROVIDED WILL BE INCORPORATED AS PERMANENT FEATURES INTO THE FINAL DESIGN, WITH THE LIKELIHOOD THAT MR ODA'S GRAPHIC WILL BE INCORPORATED ONTO THE EXTERIOR OF NETSHED THREE, WHILE TY'S PIECE WILL BE ON THE MAKE ITSELF
NEXT SLIDE, PLEASE
IN ADDITION TO CONSTRUCTION OF THE MARITIME INNOVATION CENTER, WE HAVE THIS SET OF PUBLIC SPACE IMPROVEMENTS DESIGNED TO ENHANCE THE PUBLIC EXPERIENCE OF FISHERMEN'S TERMINAL AND PROVIDE SIGNIFICANT UPDATES TO WAYFINDING SIGNAGE, LANDSCAPING AND AN UPDATE AND OVERHAUL OF THE EXISTING INTERPRETIVE SIGNAGE PROGRAM AT FISHERMAN'S TERMINAL
NEXT SLIDE, PLEASE
THE SLIDE GIVES YOU JUST AN OVERVIEW OF WHERE THE SITE IMPROVEMENT PROJECT LOCATIONS ARE AT FT AND WE'LL BE, GENERALLY SPEAKING, AT THE SCALE OF A PEDESTRIAN ORIENTED SET OF IMPROVEMENTS WITH ENHANCED ADA COMPLIANCE AS WELL
NEXT SLIDE, PLEASE
AS PART OF OUR COMMITMENT TO EQUITY AND COMMUNITY ENGAGEMENT, WE ALSO TOOK THE OPPORTUNITY THIS PROJECT REPRESENTED TO UPDATE THE CONTENT OF INTERPRETIVE SIGNAGE AT FT TO COMPLEMENT THE NEW, MORE ENGAGING SIGNAGE DESIGN
LAST YEAR, WORKING WITH THE TEAM FROM OEDI AND EXTERNAL RELATIONS AND CONSULTING WITH HEADWATER PEOPLE TO ENSURE WE HAVE A STRONG AWARENESS OF THE NATIVE EXPERIENCE
IN OUR PLACE HERE, WE HIRED A PUBLIC HISTORIAN, SHARON BOSWELL, AND ENGAGED A PANEL OF FISHERS AND PROFESSIONALS FROM A NUMBER OF CULTURAL INSTITUTIONS TO ADVISE US ON THE PROJECT, INCLUDING THE NORDIC HERITAGE CENTER, MOHAI BURIEN MUSEUM
THAT ALL HELP SHARON TO DEVELOP NEW CONTEMPORARY CONTENT FOR THIS HISTORY RECOUNTED IN THESE PANELS
THE RESULT WILL BE A MORE COMPLETE AND COMPREHENSIVE APPRECIATION OF THE COMMUNITIES AND PEOPLE OF FT, AS WELL AS THE INDUSTRIES AND EXPERIENCE THAT HAVE MADE FISHERMEN'S TERMINAL CENTRAL TO THE HISTORY OF PUGET SOUND AND THE LIVELIHOOD OF FISHERS THROUGHOUT THE REGION FOR OVER 100 YEARS
NEXT SLIDE, PLEASE
THIS OUTLINE IS JUST ONE WAY THAT WE ARE LOOKING AT THE PAST IN THESE PANELS, HIGHLIGHTING BOTH HERITAGE AND ECOLOGY, INDUSTRY AND COMMUNITY HISTORY
EVEN LOOKING AT THINGS LIKE BOAT TYPES AND FISHING SPECIES THAT HAVE BEEN IMPORTANT AT FT
NOW I WANT TO TURN THE PRESENTATION OVER TO PROJECT MANAGER KELLY PURNELL, WHO WILL WALK YOU THROUGH OUR BUDGETS FOR THIS PROJECT AND SOME IMPORTANT RISK MITIGATION ASPECTS OF OUR FINANCIAL APPROACH
I DO WANT TO REMIND FOLKS THAT THE DEPARTMENT OF COMMERCE GAVE $5 MILLION TO THE CONSTRUCTION OF THIS PROJECT, SO THAT WILL ALSO BE PART OF THE PLANS FOR THE PROJECT
KELLY ALL RIGHT
I'M NOT SURE IF THIS ONE IS WORKING
I FEEL THAT ONE
THANK YOU
NEXT SLIDE, PLEASE
ALL RIGHT, AS YOU CAN SEE, OUR ESTIMATED TOTAL PROJECT COSTS FOR THE MARITIME INNOVATION CENTER ARE $29.4 MILLION
I PROVIDED A BREAKDOWN HERE FOR YOU TO LOOK AT
I WOULD ALSO LIKE TO SPEAK A LITTLE BIT MORE TO THE CONSTRUCTION MITIGATION COSTS THAT YOU SEE IN LINE TWO THERE
SO IF YOU GO TO THE NEXT SLIDE, PLEASE
I PROVIDED A BREAKDOWN OF THE CONTINGENCIES THAT WE HAVE ALLOCATED FOR THIS PROJECT
WE CALL THEM EXTRAORDINARY RISK MITIGATION COSTS BECAUSE THEY ARE SOMEWHAT ABOVE AND BEYOND WHAT WE WOULD USUALLY CARRY, AS KIRA DISCUSSED EARLIER ON SLIDE SEVEN FOR REFERENCE, WE HAVE SIGNIFICANT PROPOSED BUILDING IMPROVEMENTS FOR THE MARITIME INNOVATION CENTER, AS WELL AS CHALLENGES AS THE BUILDING IS OVER 100 YEARS OLD
WE HAVE ABATEMENT OF REGULATED MATERIALS, WHICH WE'VE DONE EXTENSIVE SURVEY OF THE BUILDING AND HAVE IDENTIFIED MOST OF THE REGULATED MATERIALS, BUT THERE IS A POSSIBILITY THAT WE'LL FIND MORE
CURRENTLY, WE HAVE POOR CONSTRUCTION SERVICES SCHEDULED TO ABATE MOST OF IT IN ADVANCE, SO WE SHOULD KNOW EARLY ON
AS KIRA MENTIONED AS WELL, THE TIMBER FRAMING IS ORIGINAL
IT'S OLD GROWTH WOOD THAT IS BOTH STRUCTURAL AS WELL AS PROVIDING RUSTIC AESTHETIC COMPONENTS TO THE BUILDING
THE TIMBER FRAMING WILL BE HEAVILY REINFORCED WITH MODERN STEEL FRAMING THAT WILL ENHANCE THE STRUCTURAL STABILITY OF THE BUILDING
THE TIMBER FRAMING WILL ALSO HELP TO PRESERVE THE ORIGINAL HISTORIC CHARACTER OF THE BUILDING, AND IT TIES TO THE LIVING BUILDING CHALLENGE IMPERATIVE TO REACH THE ORIGINAL MATERIALS
IT ALSO TIES DIRECTLY TO ONE OF OUR MOST IMPORTANT FEATURES OF THE PROJECT, WHICH IS THE NEW DEEP DRIVEN STEEL PILE FOUNDATION FOR THE BUILDING
THIS IS NECESSARY TO SEISMICALLY STABILIZE THE BUILDING DUE TO THE LIQUEFIABLE SOILS LOCATED AT THE SITE
IT ALSO CARRIES SOME OF THE LARGEST RISK IN THAT WE MUST MOVE THE BUILDING
I MENTIONED THESE SPECIFIC COMPONENTS OF THE PROJECT SCOPE BECAUSE A GREAT DEAL OF WORK HAS GONE INTO IDENTIFYING RISKS ASSOCIATED WITH RENOVATING THIS HISTORIC BUILDING
DURING THE PROJECT DESIGN PHASE, WE HELD TWO INTENSIVE RISK ANALYSIS WORKSHOPS
THESE ANALYSES AND SUBSEQUENT STATISTICAL MODELING HAVE ALLOWED US TO BETTER UNDERSTAND THAT THIS PARTICULAR PROJECT HAS SIGNIFICANT RISK WITH POTENTIALLY LARGE COST AND SCHEDULING PACKS
WE ALSO HELD MANY INDIVIDUAL CONTRACTING INFORMATION SESSIONS, AS KIRA MENTIONED, WHICH FURTHER HIGHLIGHTED KNOWN AND UNKNOWN CHALLENGES THAT WE NEEDED TO ADDRESS
SOME OF THESE RISKS ARE KNOWN, BUT UNABLE TO BE FULLY QUANTIFIED UNTIL CONSTRUCTION IS UNDERWAY
AS KIRA DISCUSSED EARLIER, AS IS THE CASE WITH MANY PORT WATERFRONT PROPERTIES, THE SOILS EFFICIENT TERMINAL ARE OF POOR QUALITY DUE TO OLD FILL ON TOP OF SIDELINES
WE HAVE DONE MANY ADVANCED STUDIES FOR THE FOUNDATION ANALYSIS, ENVIRONMENTAL CONSIDERATIONS, HAZARDOUS MATERIALS AND CONSTRUCTABILITY
THESE HAVE INFORMED HOW WE WILL ADDRESS OUR RISKS, BUT WE NEED TO KNOW THAT WE NEED TO BE PREPARED FOR THE UNKNOWN
ADDITIONALLY, THE PROJECT IS OPERATIONALLY CONSTRAINED BOTH IN OUR LACK OF PHYSICAL SPACE AND DAY TO DAY AND SEASONAL OPERATIONS FOR THE COMMERCIAL FISHING FLEET
THEREFORE, WE HAVE STRUCTURED OUR CONSTRUCTION BUDGET WITH ENHANCED CONTINGENCIES TO ACCOUNT FOR THE IMPACTFUL POTENTIAL ON RISK POTENTIAL ON THIS PROJECT
WE'RE CARRYING AN ADDITIONAL 10% ABOVE OUR TYPICAL AND OUR CONTINGENCY FUNDING
WE ARE CARRYING EXTRA FUNDING FOR HAZARDOUS MATERIAL REMOVAL ABOVE AND BEYOND THAT WHICH IS CURRENTLY IDENTIFIED IN CASE THEY ARE FOUND DURING THE DEMOLITION
WE ARE ALSO CARRYING FUNDS SET ASIDE SPECIFICALLY FOR THE CONTRACTOR TO USE FOR SITE VERIFICATION IN ADVANCE OF BEGINNING CONSTRUCTION TO ADDRESS ISSUES THAT MAY ARISE AFTER THEY HAVE DETERMINED THEIR BEST MEANS AND METHODS OF THE CONSTRUCTION
AND LASTLY, WE ARE CARRYING ADDITIONAL FUNDS FOR SITE SPECIFIC SECURITY
GIVEN THE HIGH LIKELIHOOD OF BREAK INS AND THEFTS AT THE CONSTRUCTION SITE, THIS WILL PROVIDE A PORT SECURITY GUARD DURING ALL NON CONSTRUCTION HOURS
NEXT SLIDE, PLEASE
HERE'S A CONTINUATION OF OUR PROJECT COST ESTIMATES SPECIFIC TO OUR PUBLIC SITE IMPROVEMENTS COMPONENT OF THE OVERALL PROJECT, INCLUDING THE PEDESTRIAN BIKE IMPROVEMENTS, INTERPRETIVE SIGNAGE, PUBLIC ART, AMONG OTHERS
OUR NEXT SLIDE
HERE'S OUR OVERALL SCHEDULE FOR THE PROJECT
CURRENTLY, OUR PROJECT HAS FINISHED OUR 100% DESIGN AND WE ARE PUTTING THE FINISHING TOUCHES ON OUR BID SET
PENDING THE ISSUANCE OF OUR CONSTRUCTION PERMIT, WHICH WE ANTICIPATE THIS MONTH, WE INTEND TO ADVERTISE THE PROJECT AT THE END OF AUGUST OR EARLY SEPTEMBER, WITH CONTRACT EXECUTION IN NOVEMBER
WE HAVE A LONG SUBMITTAL PERIOD, WHICH WE HAVE SET ASIDE TO BE USED FOR THE CONTRACTOR, BOTH THEIR SUBMITTALS AND FOR SITE VERIFICATION
THIS IS PART OF OUR RISK MITIGATION STRATEGY
CONSTRUCTION IS ANTICIPATED TO BEGIN IN MAY OF 2024, WITH SUBSTANTIAL COMPLETION IN QUARTER THREE OF 2025
THIS WILL BE FOLLOWED BY A TWELVE MONTH LIVING BUILDING CHALLENGE CERTIFICATION PERIOD AND THEN CLOSE OUT
NEXT SLIDE, OPEN UP THE QUESTIONS
ALL RIGHT, THANK YOU
QUESTIONS FROM COMMISSIONERS
ALL RIGHT, COMMISSIONER FRED, WELL, THANKS SO MUCH
WHAT AN EXCITING PROJECT, AND I'VE HAD THE PLEASURE OF SNOOPING AROUND INSIDE THE DUSTY BUILDING BACK WITH COMMISSIONER STEINBROOK IN THE DAY
AND WE LOVE THE BONES AND LOOKING FORWARD TO SEEING THEM COME BACK TO LIFE
IT'S REALLY A SPECTACULAR THING
AND THE MISSION OF THE BUILDING IS WHAT'S NOT TO LIKE? HAVING A CHANCE TO GO TO NORWAY A COUPLE OF TIMES AND SEEING THESE SORT OF INNOVATION CENTERS
THIS IS A GREAT THING
SO CLEARLY THE ROI ON SOMETHING LIKE THIS CANNOT BE MEASURED ON SOMETHING LIKE WHATEVER
IT'S $1,600 A SQUARE FOOT THAT'S GOING TO TAKE A LITTLE WHILE TO GET BACK
BUT YOU'RE ASSUMING IT'S SOMETHING LIKE 550,000 A YEAR WOULD BE GENERATED, APPROXIMATELY, IF THAT'S WHAT YOU'RE SHOOTING FOR
I'M NOT WORKING ON THE INCOME SIDE OF THAT YET
I DON'T BELIEVE WE HAVE ARRIVED AT A PRICE THROUGH ANY NEGOTIATIONS THAT WE HAVEN'T STARTED THAT
I SAW SOMETHING HERE
THERE IS MAYBE A NOTE IN THE MEMO BACK UNDER FINANCIAL RETURN THAT PEGS INCOME
I'M NOT SURE WE ACTUALLY PUT THAT IN THERE
I PULLED IT FROM SOMEPLACE
BUT WITH THIS PEDAL CERTIFICATION, I WOULD ASSUME THERE'S GOING TO BE SOME UNANTICIPATED ONM EFFORTS TO KEEP SOMETHING LIKE THIS INNOVATIVE
I REMEMBER WHEN THE BULLET CENTER OPENED UP ORIGINALLY, THE SANITATION SYSTEM WASN'T EXACTLY UP TO SPEC
I WAS THERE FOR THAT, BUT NOT SPECIFICALLY, BUT YEAH, SIGNIFICANTLY SMALLER PROJECT, SAME ARCHITECT, MILLER HALL, AND THE SERVICE THEY'VE PROVIDED IN GUIDING US THROUGH THE ELEMENTS OF THE LVC VERY IMPRESSED WITH THIS
SO THEY'RE ON OUR SIDE
I THINK THEY'RE HERE TODAY TO HELP WALK US THROUGH SOME OF THAT MANY FEATURES
THERE ARE FEATURES, MATERIAL TO THE PROJECT
THERE ARE ALSO THINGS LIKE WE NEED A COMMUNITY GARDEN ELEMENT THAT WE'VE GOT TO LOCATE
SO THERE'S A LOT OF UNUSUAL FEATURES IN LVC IN THERE
WELL, IT'S GREAT THAT WE HAVE THEM TO A LOT OF HAS GONE ON SINCE THAT BUILDING WAS BUILT, SO WE'LL HAVE A LOT OF LESSONS LEARNED FROM THAT PERIOD OF TIME
BUT THE LAST TIME WE WERE, AS A COMMISSION, FULLY BRIEFED ON THIS, I GUESS, WAS IN NOVEMBER 22, BASED ON THE BRIEFING MEMO HERE
SO I HAVE SEVERAL QUESTIONS TO ASK
IT'S NOT A REFLECTION OF MY LACK OF INTEREST IN THE PROJECT, BUT I DIDN'T HAVE A CHANCE TO
SOME OF THE GRAPHICS I'VE SEEN HERE ARE NEW TO ME
FIRST TIME SEEING THEM
IT'S AN EXCITING THING
I WOULD JUST DEFINITELY WANT TO ASK A LITTLE BIT MORE ABOUT
ONE OF THE THINGS THAT I KNOW THAT'S UNIQUE ABOUT THE BUILDING IS THAT IT'S WITHIN THE SHORELINE
AND YOU CAN'T BUILD THIS HEIGHT OF A BUILDING THIS CLOSE TO SHORE, BUT IT'S NOT EXACTLY A SHORELINE DEPENDENT USE
SO I'M JUST WONDERING, IT SEEMS TO ME THAT WE'RE GOING THROUGH SOME HEROIC EXPENSE TO BE ABLE TO PUT IT BACK WITHIN THE 200 FOOT ZONE
CORRECT
AND SO I ASSUME IT'S PROBABLY ALREADY LIKE 100 FOOT SETBACK, AT LEAST SOMETHING LIKE THAT
SO THE PRESERVATION OF THE FOOTPRINT WAS A KEY DESIGN ELEMENT OF THE PROJECT
I MENTIONED IT IN OUR COMMENTS, AND IT DOES PROTECT THE FULL BUILDING ENVELOPE, AS YOU SUGGEST
WE COULDN'T BUILD SUCH A BUILDING TODAY, EVEN WITH THE SETBACK
SO WE WORKED VERY HARD, VERY ASSIDUOUSLY, TO FIGURE OUT HOW TO MAKE THIS WORK IN THAT FOOTPRINT
AND REALLY THE BIGGEST CHALLENGE IS THOSE PILES UNDERNEATH THAT POOR SOIL CONDITION
SO MOST OF OUR DESIGN INGENUITY WENT INTO THE FOUNDATION SYSTEM, AND I THINK I MIGHT HAVE FORGOTTEN IF YOU HAD A SPECIFIC QUESTION I'M GOING TO SETTING THE BUILDING BACK 200FT
IT WOULDN'T WORK BECAUSE OF WE WOULD NOT NO LONGER KIND OF HAVE THE GROUND TO DO THAT IN
I THINK THE PROJECT WAS ANTICIPATED AS I THINK WE HAD A COUPLE OF CHOICES IN THE EARLY STRATEGIES
MAYBE JUST TAKE THE BUILDING DOWN, BUILD A NEW BUILDING IN ITS PLACE
BUT THE FRAMEWORK, LITERALLY, THAT ENVELOPE THAT BUILDING ENVELOPE SO CLOSE TO THE EDGE OF THE DOCK
THE SHIP SUPPLY BUILDING, ITS FORMER USE WAS A CHANCELLORY
THEY WERE SELLING MATERIALS TO THE FISHERS, SORT OF LIKE A DEPARTMENT STORE FOR FISHERS
AND WE WANTED THAT CONTINUITY OF THE PROJECT
SO IT REALLY WASN'T SERIOUSLY CONSIDERED TO MOVE IT BACK INTO THE BUT YOU'RE MOVING IT INTO A PARKING LOT AND BRINGING IT BACK TO THE SITE
AND SO I WAS JUST WONDERING, ISN'T IT SOMEWHAT LESS HEROIC TO GO BACK A COUPLE HUNDRED FEET RATHER THAN HAULING AN OLD RICKETY BUILDING ACROSSWAY? I JUST DON'T UNDERSTAND WHY NEEDING TO BE IN THE WATER, BECAUSE IF IT WASN'T IN THE FOOTPRINT IN THE SHORELINE, I'M JUST WONDERING, WOULDN'T THAT HAVE BEEN A BIG COST SAVINGS CONCEIVABLY? WE'VE LOOKED AT THE PERMIT FROM THE STANDPOINT OF THE SHORELINE PRESERVATION AND THE OPPORTUNITY TO PRESERVE THE BUILDING, SO WE DIDN'T SERIOUSLY CONSIDER MOVING IT BACK FOR A COST DIFFERENTIAL
ALL RIGHT, AGAIN, IT'S NOT LIKE WE ARE LAUNCHING A BOAT FROM IT
AGAIN, I HAVEN'T HAD A CHANCE TO REALLY DIG INTO THAT
I GUESS ONE OF THE QUESTIONS I KNOW THE SECURITY IS ALWAYS A CONCERN
YOU'RE TALKING ABOUT PAYING FOR A PERSON
I ASSUME WE'RE GOING TO PUT CAMERAS UP AND THINGS LIKE THIS
IS THAT PART OF THE YEAH, THAT'S PART OF THE STANDARD, IS TO HAVE CAMERAS, FENCING
THAT'S ALL PART OF IT
BUT THE BIGGER CONCERN THAT CONTINUED TO COME UP DURING OUR RISK MITIGATION CONVERSATIONS WAS THAT DURING THE OFF CONSTRUCTION HOURS, SO NIGHTTIMES WEEKENDS, WHENEVER OUR CONTRACTORS WEREN'T THERE, WE ONLY HAD A SINGLE SECURITY GUARD THAT PATROLS THREE PROPERTIES
AND SO WE HAD LARGE GAPS IN WHEN A SECURITY GUARD WOULD BE AVAILABLE AND POTENTIALLY WOULD NOT BE ABLE TO HAVE A RESPONSE IN TIME TO PREVENT ANY THEFT OR BREAK INS OR PROPERTY DAMAGE
SO ULTIMATELY, WHAT CAME OUT OF THOSE DISCUSSIONS WAS THAT WE NEEDED TO PROVIDE A PORT SECURITY GUARD, AND WE CAN DO IT
OKAY
IN ADDITION TO CAMERA GEAR AND ALL THAT OTHER FUN STUFF
ALL RIGHT, LAST QUESTION
AS A MEMBER OF THE ART BOARD, THIS HAS BEEN AN EVOLVING QUESTION ABOUT HOW WE HAVE THE MARITIME AND THE AVIATION PROGRAMS GOING TOGETHER
I KNOW IT'S A WORK IN PROGRESS, AND THIS THING HAS BEEN GOING ON FOR A WHILE
SO I JUST HAVE A COUPLE OF QUESTIONS ABOUT THIS
SO AT $32 MILLION FOR THE ESTIMATED PROJECT COST, AT A 1% FOR ART, WE HAVE $320,000
YOU SEE, I'M LIKE THAT
THE ACTUAL ART PIECE
IN FACT, I THINK IT'S FANTASTIC
THE NATIVE ARTIST IS ACTUALLY TULALIP RIGHT
SO IT'S NOT JUST A TRIBAL GUY
HE'S WASHINGTONIA
WE LOVE THIS
AND THE PIECE LOOKS BEAUTIFUL
AND I THINK IT WOULD LOOK REALLY GREAT ON THE BLADE OF A PROPELLER
BUT ANYWAY, OTHER THAN THAT, YOU LOOK AT THE SHAPE
BEAUTIFUL
BUT TELL ME OF THE 320, IS THAT ALL GOING INTO THE ART PROGRAM OR ARE WE CREATING SOME FUND? HOW IS THAT WORKING? YEAH, DO YOU WANT TO ANSWER THE BUDGET PART? YEAH, FOR THE BUDGET PART OF IT
SO ORIGINALLY, BECAUSE THE BUDGET HAS CHANGED, THE TWO CONTRACTS THAT WE CURRENTLY HAVE RIGHT NOW IS ACTUALLY ONLY FOR 147,000
AND THEN WE'VE GOT ANOTHER 50 THAT WE'VE ALLOCATED FOR SITE IMPROVEMENTS, ART
SO WE HAVE ADDITIONAL MONEY THAT WE CAN DO SOMETHING ELSE WITH, WHETHER IT'S GOING INTO A FUND OR FOR ADDITIONAL ART
YEAH, I THINK THE ONLY THING I'D ADD, WE COULD EITHER DO MORE ART RIGHT AT THE MINK, OR WE COULD DO IT ON OTHER AREA OF [inaudible] IF WE'D LIKE
IT'S JUST A QUESTION
SO 140 OF THE 320 WE KNOW WHAT WE'RE DOING WITH, PLUS THE 50 FOR THE ADDITIONAL SITE IMPROVEMENTS FOR ZIPPER
AND WE DON'T HAVE A COST ESTIMATE YET FOR THE INSTALLATION FULLY
RIGHT
WE'VE GOT THE CONCEPT DRAWINGS THAT THEY HAVE GOT THE CONCEPT DRAWINGS
BUT THE CONTRACT ITSELF IS 140
YES
SO THAT WOULD BE INCLUSIVE
AND THIS 50 MILLION, I WAS TOLD THERE'S SORT OF LIKE A DIFFERENT SUM
IS THIS LIKE SOMETHING THAT HAS TO BE SPENT THIS YEAR? IS THERE ANYTHING OR IS IT ALL FROM THE SAME 1% POT? I THINK THAT I UNDERSTAND
WELL, MAYBE DAVE SHOULD ANSWER THIS ONE
BUT YOU HAVE THE 1% THAT IS DERIVED FROM OUR CAPITAL PROJECT THAT'S AVAILABLE TO SPEND ON ART
WE PUT AN RFP OUT TO GET THE ARTS COMPONENT THAT WE DO
WE'VE GOT ANOTHER RFI OUT ON THE PUBLIC SPACE IMPROVEMENT ART
SO THERE WILL BE THAT TO COME ALONG
OKAY
I BELIEVE THE OPPORTUNITY EXISTS TO PUT THE REST OF THE BALANCE INTO THE ART POOL
WHAT IS THAT DIFFERENCE BETWEEN WHAT IS THE 50,000? YOU SAID PUBLIC SPACE
SO WE HAVE THE TWO ASPECTS OF THIS PROJECT
WE HAVE THE CONSTRUCTION OF THE MARITIME INNOVATION CENTER, ONE CAPITAL PROJECT
AND THEN WE HAVE THE PUBLIC SPACE IMPROVEMENTS, THE SIGNAGE AND LANDSCAPING AND SO FORTH THAT'S LARGE ENOUGH FOR A 1% FOR ART INVESTMENT AS WELL
SO THAT'S GOT A COMPLEMENT OF ART
SO THAT ART WOULD BE SEPARATE FROM THE ACTUAL SIGNAGE, BUT PART OF RELATED TO INTEGRATED INTO THE WALKWAYS AND THAT'S RIGHT
YOU'RE EXACTLY
FANTASTIC
LOOK FORWARD TO HAVING FAVORS AND THINGS LIKE THAT
LOOK FORWARD TO HAVING THE FURTHER CONVERSATION WITH THE ART BOARD AND ALL THAT AS THIS EVOLVES
VERY EXCITING PROJECT
LOOKING FORWARD TO SEEING IT BREAKING GROUND
THANK YOU
THANK YOU, COMMISSIONER
THANK YOU
ANY OTHER QUESTIONS FROM COMMISSIONER, I HAVE A REALLY QUICK QUESTION
DOES THIS PROJECT, I'M NOT TALKING ABOUT DURING CONSTRUCTION, BUT IN GENERAL AFFECT THE OPERABILITY AND
OR FUNCTIONALITY OF FISHERMAN'S TERMINAL? EXCEPTIONALLY GOOD QUESTION
SO WE HAVE TAKEN PAINS TO DEVELOP A COMMUNICATION STRATEGY WITH AN EXTERNAL CONSULTANT AND INVOLVING OUR ENTIRE OPERATING TEAM TO SOME EXTENT TO MAKE SURE THAT WE UNDERSTAND THE COMPLEMENT OF OPERATING NOT ONLY THE OPERATIONS OF FISHERMAN'S TERMINAL, BUT CONSTRUCTION PROJECTS AND SIGNIFICANTLY, EVENTS
WE HAVE THE HOMECOMING OF THE FLEET
WE'VE GOT THE FALL FESTIVAL
WE'VE GOT A NUMBER OF OTHER COMMUNITY EVENTS THAT WE DON'T WANT TO NOT DO
SO WE'VE GOT A COMPREHENSIVE COMMUNICATION STRATEGY, WORKING WITH THE EXTERNAL RELATIONS TEAM AND OUR OUTSIDE CONSULTANT TO MAKE SURE THAT EVERYBODY IS INFORMED OF THE SCHEDULES IF THERE'S DELAYS, EMERGENCIES AND SO FORTH, JUST REALLY TO PROTECT THE INTEGRITY OF THE OPERATING PARADIGM AT FISHERMAN'S TERMINAL DURING CONSTRUCTION
GREAT, AND I APPRECIATE THAT
AND I THINK YOU KNOW WHERE THAT QUESTION CAME FROM
I THINK THERE'S A LOT OF CONCERN FROM THOSE WHO WORK IN THE INDUSTRY OVER THIS PROJECT
THEY WORK WITHIN CONSTRAINT ENVIRONMENTS TO BEGIN WITH, AND THE PORT US TO MAKE A HUGE INVESTMENT IN A REAL ESTATE PROPERTY THAT'S NOT ARGUABLY BEING USED FOR FISHING OR COMMERCIAL FISHING ACTIVITIES IS A CONCERN TO THE COMMUNITY
SO I APPRECIATE THAT YOU HAVE THOUGHT OF THAT AND HAVE A COMMUNICATION STRATEGY IN PLAN WITH THAT
YEAH
SO THE OTHER DISCUSSION WAS ALWAYS ABOUT COMMUNITY GATHERING SPACE AND WHETHER OR NOT THIS BUILDING WOULD BE ABLE TO SERVE THE COMMUNITY AT THE FISHERMAN'S TERMINAL IN ADDITION TO THE INNOVATORS FROM AROUND THE WORLD
AND FROM WHAT I REMEMBER DAVEY TELLING ME, AND I THINK THIS IS A REALLY IMPORTANT PART OF THE STORY THAT YOU'RE ALSO LOOKING AT DEVELOPING THE YOU JUST BECAUSE I THINK THAT'S IMPORTANT FOR FOLKS TO HEAR AS WELL
I REALLY DON'T THINK THAT'S RELEVANT TO THIS PROJECT
IT'S DIRECTLY RELEVANT BECAUSE WE'RE TAKING AWAY POTENTIAL SPACE
THAT WOULD BE QUICK
DAVE, PLEASE
YEAH, SURE
THE MARITIME INNOVATION CENTER WILL BE AVAILABLE FOR MEETINGS THAT ARE FOCUSED ON THE INDUSTRY, MARITIME INDUSTRY, FISHING INDUSTRY
SO, YES, IT IS AVAILABLE
AND WHAT FRED'S REALLY ALLUDING TO IS ALSO AS WE DEVELOP MINK, WE ARE DOUBLING THE SIZE OF THE NORDBY CONFERENCE ROOM
SO WE'RE ACTUALLY PROVIDING MORE RESOURCES FOR FOLKS THAT WANT TO GET TOGETHER THAN WE'VE HAD EVEN BEFORE WE STARTED THE MINK
CAN I GET A MOTION AND A SECOND ON THIS ITEM, PLEASE? SECOND
ALL RIGHT, CLERK PAYNE, PLEASE GO AHEAD AND CALL THE ROLL
THANK YOU
COMMISSIONER FELLEMAN? AYE
COMMISSIONER HASAGAWA AYE
COMMISSIONER MOHAMMED AYE
AND COMMISSIONER CHO? AYE
THERE ARE FOUR AYES AND ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
THANK YOU VERY MUCH
ALL RIGHT, MOVING
THAT TAKE CARE OF ALL OUR NEW BUSINESS
MOVING ON TO ITEM ELEVEN PRESENTATIONS AND STAFF REPORTS
DEPUTY COOK PAYNE, PLEASE READ THE NEXT ITEM INTO THE RECORD AND EXECUTIVE DIRECTOR METRUCK WILL THEN INTRODUCE IT
THANK YOU
THIS IS ITEM ELEVEN A Q TWO
2023 FINANCIAL PERFORMANCE BRIEFING
COMMISSIONER, COMMISSIONERS, I'M HAPPY TO REPORT THAT THE 2023 FINANCIAL PERFORMANCE RESULTS FOR THE FIRST HALF OF THE YEAR WERE STRONG
SEA PASSENGERS VOLUMES CONTINUE TO REBOUND AND ARE EXPECTED TO BE 8.8% HIGHER THAN 2022 AND 3.4% LOWER THAN PRE PANDEMIC VOLUMES IN 2019
AIRPORT AERONAUTICAL REVENUES ARE PERFORMING BETTER THAN THE BUDGET
WE EXPECT ANOTHER ROBUST YEAR FOR OUR CRUISE BUSINESS, WITH A PROJECTED 287 SAILINGS AND A RECORD 1.4 MILLION REVENUE PASSENGERS
AS A REMINDER, EACH HOME PORTED VESSEL BRINGS IN OVER $4 MILLION TO LOCAL ECONOMY
WHILE OUR GRAIN TERMINAL AND CONFERENCE CENTER ARE PERFORMING BELOW BUDGET PROJECTIONS
OUR FISHING, COMMERCIAL AND RECREATIONAL MARINAS AND MARITIME PORTFOLIO ARE EXPECTED TO EXCEED REVENUE TARGETS THIS YEAR
OVERALL, WE EXPECT STRONG FINANCIAL PERFORMANCE RESULTS FOR THE YEAR, WHICH SETS US UP NICELY AS WE BUILD THE BUDGET TOWARDS 2024
WHILE OUR PERFORMANCE IS STRONG, I WANT TO REITERATE MY MESSAGE FROM PREVIOUS BUDGET DISCUSSIONS ABOUT THE NEED TO BE FISCALLY RESPONSIBLE OR FISCALLY STRATEGIC IN WHAT WE'RE DOING
ALTHOUGH WE HAVE BENEFITED GREATLY FROM A STRONG RECOVERY OF TRAVEL AND TOURISM OVER THE PAST SEVERAL YEARS, POST COVID, THERE'S SIGNIFICANT UNCERTAINTY ON THE HORIZON, PARTICULARLY RELATED TO PLANNING FOR COSTS RELATED TO ENVIRONMENTAL REMEDIATION AND, OF COURSE, INFLATION
SO PRESENTING THIS AFTERNOON, WE HAVE DAN THOMAS, CHIEF FINANCIAL OFFICER, AND ROBERT GIACOPETTI, AVIATION GRANTS PROGRAM MANAGER
SO WITH THAT, I TURN OVER TO YOU, DAN
THANK YOU, STEVE
AND GOOD AFTERNOON, COMMISSIONERS
WE ALSO HAVE MICHAEL THOMAS JOINING US AS WELL
I'M JUST GOING TO KICK OFF ALSO WITH JUST A FEW HIGHLIGHTS
STEVE MENTIONED A FEW OF THE OPERATING AND FINANCIAL HIGHLIGHTS FOR THE YEAR, BUT JUST WANTED TO NOTE ONE THING THAT'S ON THIS FIRST SLIDE IS AT THIS POINT, THROUGH SECOND QUARTER, OPERATING EXPENSES ARE NEARLY $16 MILLION BELOW BUDGET AND THROUGH SECOND QUARTER AND ARE EXPECTED TO BE $5 MILLION UNDER BUDGET BY YEAR END
WE'LL HIGHLIGHT SOME MORE OF THAT LATER IN THE PRESENTATION
AND ON THE REVENUE SIDE, THROUGH SECOND QUARTER, REVENUES ARE $8.3 MILLION OVER BUDGET AND BY YEAR END ARE FORECASTED TO BE $18 MILLION OVER BUDGET
SO AGAIN, WE'RE FORECASTING PRETTY STRONG PERFORMANCE FOR THE YEAR
AND IMPORTANTLY, ON THE CAPITAL SPENDING SIDE, WE ARE NOW FORECASTING FOR THE YEAR TO SPEND JUST OVER $500 MILLION
AND THAT REPRESENTS 93.5% OF THE BUDGET FOR THIS YEAR
AND THAT REALLY IS NOTEWORTHY BECAUSE OUR NORMAL COMPLETION RATE SPENDING RATE TENDS TO BE SOMETIMES IN THE 70% TO 80% RANGE
SO 93.5% IS REALLY, REALLY GOOD, AND WE'RE HOPING THAT CAN HOLD THROUGH THE END OF THE YEAR
YOU ALSO HAVE A FULL REPORT IN YOUR PACKET, THE MULTI PAGE DETAILED FINANCIAL REPORT, JUST TO MENTION THAT
AND WITH THAT, I'LL TURN OVER TO ROBERT TO HIGHLIGHT THE AIRPORT PERFORMANCE
THANK YOU, DAN
COMMISSIONERS, THANK YOU VERY MUCH
I'M HERE ON BEHALF OF HEIDI PAPICHUK TO PRESENT THE AVIATION DIVISION'S Q TWO FINANCIAL RESULTS
THIS MIGHT MOVE ALONG MORE SWIFTLY IF I JUST REMIND YOU REALLY QUICKLY OF OUR KEY PERFORMANCE, OUR GOALS, WHICH IS YEAR END CASH BALANCE, DEBT SERVICE COVERAGE, COMING IN ON OR SLIGHTLY UNDER BUDGET AND IMPROVING THE AIRPORT'S NOI
AND I'M HAPPY TO REPORT THAT WE ARE ON TARGET TO MEET ALL OF THOSE
NEXT SLIDE, PLEASE
OKAY, THIS CHART, I WANT YOU TO FOCUS ON THE RIGHT HERE, WHICH HAS THE PASSENGERS IN MILLIONS
AND WE'RE CALKINS OUR WAY BACK TO 2019 LEVELS
IF YOU LOOK AT THE BOTTOM ROW THERE, THE 2023 FORECAST IS 50 MILLION ANNUAL PASSENGERS, WHICH IS ONLY 3.4% LOWER THAN 2019
OUR SORT OF BASELINE
AND WE'RE OPTIMISTIC THAT BY 2024, WE'LL BE BACK
AS YOU KNOW, PASSENGER GROWTH IS KEY TO OUR NON AERO REVENUE, WHICH IS KEY TO OUR NOI
SO ON THE NEXT SLIDE, YOU WILL SEE RIGHT IN THE REVENUE SECTION, UNDER NON AERONAUTIC REVENUE, WE ARE BETTER THAN BUDGET BY $21 MILLION
SO WE'RE QUITE PLEASED ABOUT THAT
TAKE US TOWARDS OUR GOAL
AND IF YOU LOOK AT OUR NOI, YOU CAN SEE WE'RE $23 MILLION BETTER, AGAIN, THAN BUDGET
WITH REGARD TO ONM EXPENSES, WE'RE COMING IN SLIGHTLY UNDER BUDGET, WHICH IS GOOD NEWS
AND AS YOU KNOW, THE AERONAUTIC REVENUES ARE COST RECOVERY
SO THAT'S WHY THOSE ARE DOWN BELOW, WE HAVE OUR KEY MEASURES
NON ZERO NOS
WE JUST MENTIONED CPE
AGAIN, BETTER THAN BUDGET
AND DEBT SERVICE COVERAGE COMING IN BETTER THAN WE ANTICIPATED OR BUDGETED
NEXT SLIDE, PLEASE
IT SO ON OUR OPERATING EXPENSES
AGAIN, COMING IN UNDER BUDGET
YEAR TO DATE, 10.4 MILLION, PRIMARILY DRIVEN BY OUTSIDE SERVICES
ONE OF THE BIGGEST DRIVERS IS SOME DELAYS IN SOME EXPENSE PROJECTS, AIRLINE REALIGNMENT BEING THE MOST SIGNIFICANT
NEXT SLIDE
AND OUR FULL YEAR FORECAST IS THAT WE COME IN UNDER 1.8 MILLION
WE DON'T WANT TO COME IN TOO LOW
MIGHT MEAN THAT WE DIDN'T DO SOMETHING WE PROMISED
SO THIS IS OUR SWEET SPOT
OKAY, NEXT SLIDE
ON AERONAUTIC REVENUES, AGAIN, CORRELATES HIGHLY WITH OPERATING EXPENSES, WE EXPECT TO COME IN SLIGHTLY UNDER BUDGET
NEXT SLIDE
OKAY, I'M MOVING QUITE QUICKLY BECAUSE I'M SURE EVERYONE'S KIND OF TIRED
THE NON ERROR REVENUE GROWTH, YOU CAN SEE IT'S VERY STRONG
IT'S HIGHER THAN BUDGET
IT'S AT $12.68 PER EMPLOYMENT, WHICH IS ACTUALLY STRONGER THAN 2019
$10.40 PER EMPLOYMENT
SO WE'RE DOING REALLY STRONG
NEXT SLIDE
THIS BREAKS OUT THAT NON AERONAUTIC REVENUE A LITTLE BIT MORE GRANULARLY, WHERE YOU CAN SEE BY THE VARIOUS NOT COST CENTERS, BUT REVENUE CENTERS
PUBLIC PARKING IS OUR STRONGEST
WE'VE DISCUSSED BEFORE, PARKING RATE INCREASE IS PRIMARILY DRIVING THAT
NEXT SLIDE
ARE THERE ANY QUESTIONS ON THIS SLIDE? MOVE FORWARD
NEXT SLIDE, PLEASE
OKAY, HERE'S OUR FEDERAL RELIEF DOE SUMMARY
I'M SORRY, GRANT SUMMARY
AND SO THIS HASN'T CHANGED FROM THE LAST PRESENTATION
I THINK WE SHOULD MAKE THAT THE TECHNICAL TERM
YEAH, FEDERAL DOE
SORRY ABOUT THAT
LIKE THAT
I WAS THINKING, ALL RIGHT, SO DEBT SERVICE RATIO REFERENCED EARLIER ON, AGAIN, COMING IN BETTER THAN BUDGET
WHEN YOU TAKE DOWN THE NON AIRLINE REVENUE INCREASE COMING DOWN ALL THE WAY TO WHAT WE HAVE AVAILABLE FOR DEBT SERVICE, ALMOST 369,000,000
AND THEN WHAT OUR ACTUAL DEBT SERVICE IS 312,000,000
THAT LEAVES A COVER RATIO OF 2.4, WHICH MAKES THE INVESTMENT COMMUNITY QUITE HAPPY
SO WE ARE IN VERY GOOD FINANCIAL CONDITION
NEXT SLIDE AGAIN, REFERENCED UPFRONT REGARDING OUR CASH BALANCE BEING ONE OF OUR KEY GOALS, WE ARE LOOKING TO COME IN $11 MILLION OVER OUR TARGET
NEXT SLIDE, PLEASE
AND THE EXECUTIVE DIRECTOR HAD MENTIONED THAT WE'RE DOING REALLY WELL AND DAN ON OUR CAPITAL SPENDING
WE ARE WITHIN 94% OF BUDGET, SO WE ARE GETTING THINGS ACCOMPLISHED
AND THAT'S ALL I HAVE AVAILABLE FOR QUESTIONS AFTER THE PRESENTATION
YEAH, I THINK THERE'S A QUESTION AMONGST ALL COMMISSIONERS WHEN WE TALK ABOUT THE REVENUES
WHAT IS THE OTHERS CATEGORY? IT'S A PRETTY BIG CHUNK
I KNEW YOU WOULD
WHICH SLIDE ARE YOU ON? WELL, TEN
WE CAN START AT TEN
YEAH, I'M LOOKING AT THE BRIEFING MEMO, AND THAT DOESN'T OKAY
SLIDE TEN
NON ARROW
YEAH
SO THAT IS IN THAT BUCKET, YOU HAVE OUR FLIGHT KITCHEN, WHICH IS REALLY STRONG
WE HAVE OUR CLUBS AND LOUNGES
OH, I SEE
AND SOME COMMERCIAL PROPERTIES AS WELL
YEAH, THOSE ARE SOME OF THE BIGGEST BUCKETS
SO CONVERT ALSO ON THE SPENDING SIDE I THINK THIS IS WHERE YOU'RE GETTING IT
ON THE SPENDING SIDE, WHAT IS THE OTHERS CATEGORY ON THE SPENDING SIDE? ON SLIDE 14
SLIDE 14
LET ME SEE HERE
THIS IS THE CAPITAL SLIDE
YEAH
IF YOU COULD JUMP TO PAGE OR THOSE ARE ALL OUTLINED IN THE APPENDIX
YEAH, PAGE 49
49, YOU SAID? YEAH
WE LIST OUT ONLY THOSE MEGAPROJECTS TO ROLL OUT A ROLL UP OF ALL THE PROJECTS, WHICH IS LIKE, THERE'S OVER 100, RIGHT? YEAH
OH, I SEE
YEAH
OKAY, GREAT
ANY OTHER QUESTIONS ON AVIATION? IF NOT, WE'LL MOVE ON TO C FOUR
GREAT
THANK YOU
THANK YOU
GOOD AFTERNOON, COMMISSIONER
WE WILL NOW QUICKLY RUN THROUGH THE FIRST HALF FINANCIAL PERFORMANCE FOR THE SEAPORT AT A HIGH LEVEL, INCLUDING MARITIME AND ECONOMIC DEVELOPMENT DIVISIONS, ALONG WITH STORMWATER UTILITY AND OUR POSITION IN THE JOINT VENTURE WITH NORTHWEST SEAPORT ALLIANCE
WE WILL GO THROUGH NINE SLIDES, ANSWER ANY QUESTIONS YOU MAY HAVE
IF YOU WANT A DEEPER LOOK AT INDIVIDUAL BUSINESSES OR SERVICE GROUPS, THERE ARE A NUMBER OF DETAILED SLIDES IN THE APPENDIX AS WELL
NEXT SLIDE, PLEASE
THIS SLIDE OF KEY METRICS REALLY TELLS THE FIRST HALF OF THE STORY
AS EXECUTIVE DIRECTOR METRUCK MENTIONED, WE MAINTAIN EXCELLENT OCCUPANCY RATES IN CREWS AND AT OUR MARINAS, FISHING, AND COMMERCIAL TERMINALS
THESE WERE OFFSET BY SOME CHALLENGES PERTAINING TO LOWER CARGO VOLUMES AT THE SEAPORT ALLIANCE AND AT THE GRAIN TURMOIL
NEXT SLIDE, PLEASE
HERE IS A ROLL UP OF THE PORT DIVISIONS
OUR YEAR TO DATE NET OPERATING INCOME IS HIGHER THAN PUGET BY JUST UNDER $7 MILLION
BUT WE ARE ANTICIPATING FINISHING THE YEAR CLOSER TO 3 MILLION ABOVE BUDGET, AS WE OFTEN GET AN UPTICK IN SPENDING IN THE SECOND HALF OF THE YEAR
NEXT SLIDE, PLEASE
NOW WE WILL WALK THROUGH THE INDIVIDUAL DIVISIONS, STARTING WITH MARITIME
WE ARE PLANNING TO EXCEED OUR REVENUE BUDGET BY APPROXIMATELY $1.7 MILLION, WITH CRUISE OCCUPANCY OFFSET BY LOWER FIRST HALF DEMAND AND GRAIN VOLUMES FROM CHINA
THE FISHING AND RECREATIONAL MARINAS ARE PERFORMING WELL, PARTICULARLY TERMINAL 91, AS THEY HAVE ADDED SEVERAL EVENTS, INCLUDING THE RETURN OF THE ROW AUCTION, WHICH BROUGHT BUYERS FROM ASIA TO BID ON POLLOCK SKIINGS
WE EXPECT TO RAMP UP CAPITAL SPENDING IN THE SECOND HALF OF THE YEAR AS WE MOVE MORE PROJECTS INTO THE CONSTRUCTION STAGE
MANY WERE PRESENTED TODAY
ADDITIONALLY, WE SAW OVER 2100 CHUM COUNTED AS A RESULT OF THE HABITAT IMPROVEMENTS AT TERMINAL 117 OR THE DUWAMISH RIVER PEOPLE'S PARK
NEXT SLIDE, PLEASE
YEAR TO DATE NET OPERATING INCOME IS $3.7 MILLION FAVORABLE TO BUDGET AND 1.4 MILLION BETTER THAN 2022
THE REVENUES ARE UP 13% IN 2023 FROM A 4.2 MILLION INCREASE IN CREWS, WITH GROWTH IN OUR FISHING AND COMMERCIAL AND MARINAS REVENUE OFFSET BY REVENUE AND GRAIN VOLUMES
EXPENSES ARE UP FROM 2022 BY 9%, PRIMARILY FROM PAYROLL AND GENERAL INFLATION
AGAIN, CAPITAL SPENDING IS EXPECTED TO TICK UP IN THE SECOND HALF OF THE YEAR AS MORE PROJECTS MOVE TO CONSTRUCTION
NEXT SLIDE, PLEASE
STORMWATER UTILITY IS COMING IN AS PLANNED A BUDGET
THE MAINTENANCE, CENTRAL SERVICE AND CENTRAL SERVICES VARIANCES ARE A RESULT OF ABOUT $450,000 IN EXPENSES MISAPPLIED TO THE WRONG CATEGORY, ABSENT THAT, BOTH ARE RIGHT ON BUDGET
NEXT SLIDE, PLEASE
STOP ME IF I'M GOING TOO FAST
THIS IS A BREAKDOWN OF THE NORTHWEST SEAPORT ALLIANCE OPERATING RESULTS
REVENUES ARE BELOW BUDGET BY $3.8 MILLION, DRIVEN BY LOWER VOLUMES WITH EXPENSES LOWER THAN BUDGET
DUE TO TIMING OF MAINTENANCE PROJECTS AND VOLUME RELATED COST, THEY ARE FORECASTED TO END OF THE YEAR NEAR BUDGET
THESE YEAR TO DATE OPERATING INCOME NUMBERS NETTED TO $64.3 MILLION, COUPLED WITH $10.4 MILLION IN DEPRECIATION AMOUNT TO $53.8 MILLION
THE PORT GETS 50% OF THIS, ALONG WITH SOME NONOPERATING ITEMS SUCH AS GRANTS THAT FEED INTO $28.9 MILLION OF DISTRIBUTABLE INCOME
YOU WILL SEE ON THE NEXT SLIDE
NEXT SLIDE, PLEASE
THIS SLIDE SHOWS THE FINANCIAL STATEMENT FOR OUR NET STAKE IN THE JOINT VENTURE, WHICH INCLUDES THAT $28.9 MILLION OF DISTRIBUTABLE INCOME FROM THE NORTHWEST SEAPORT ALLIANCE, ALONG WITH SOME REVENUES AND EXPENSES BORNE BY THE PORT RELATED TO NORTHWEST SEAPORT ALLIANCE LICENSED PROPERTIES THAT ARE NOT INCLUDED FOR THE CHARTER
THE CONTOUR REVENUE IS MOSTLY RELATED TO THE PORTS LEASING ONE THIRD OF TERMINAL 46
OTHER REVENUES INCLUDE HIGHER TENANT REIMBURSEMENTS FOR MAINTENANCE WORK AND UNBUDGETED REVENUE FROM THE PACIFIC CRANE MAINTENANCE LEASE
ON THE PORTS PORTION OF TERMINAL 46, EXPENSES ARE TRACKING TO BUDGET, ABSENT THAT $426,000 T FIVE ENVIRONMENTAL EXPENSE
NEXT SLIDE, PLEASE
AND AGAIN, NEXT SLIDE
THE NEXT TWO SLIDES ARE ON THE ECONOMIC DEVELOPMENT DIVISION
HOLD ON, LET'S PAUSE THERE
ANY QUESTIONS ON THE SEAPORT STUFF RIGHT NOW? YEAH
COMMISSIONER FRED
COMMISSIONER FRED
SO THE STORMWATER UTILITY YOU SAID WAS PERFORMING AS EXPECTED, BUT IT'S DOWN
I MEAN, I NEVER KIND OF FUN THAT WE GET MONEY FROM STORMWATER, BUT SURETY
-78% FROM 2022
THAT'S WHAT WAS EXPECTED BACK TO THAT ONE
THAT'S PAGE 21 DOWN
I MEAN, REVENUE IS AT 1%
AND OUR EXPENSES AGAIN, I THINK I MENTIONED EARLIER, WE TYPICALLY PUGET AN UPTICK IN EXPENSES IN THE SECOND HALF OF THE YEAR
SO WE'RE STILL FORECASTING TO BUDGET ON THERE
OKAY, SO CHANGE FROM 2022 AFTER DEPRECIATION WAS A CHANGE OF -78% IS THAT WHAT THE LOWER RIGHT
HAND CORNER SAYS
YEAH, I MEAN, BUT THAT NUMBER IF YOU LOOK AT IT IN REAL DOLLARS, WE'RE TALKING LIKE $200,000 OVERALL
ALL RIGHT, WELL, ALL RIGHT
THAT'S WHAT THE OKAY
ALL RIGHT
THE QUESTION WAS I GUESS IT WENT BACK TO I GUESS IT WAS AN AVIATION QUESTION
SO I GUESS THIS FOUNDATIONAL THING I WAS TALKING ABOUT BEFORE WAS THAT WE HAVE ALL THE CAPITAL STUFF LUMPED TOGETHER, AND THEN WE HAVE THE DIFFERENT LINES OF BUSINESS REVENUES SEPARATELY REPORTED
RIGHT
SO WHEN IT COMES TO LOOKING AT CREWS, WE DON'T REALLY HAVE WHAT THAT NET IS
YEAH, I ACTUALLY DID POLL WITH THAT NET IS SO WHAT WE'RE PLANNING FOR THE YEAR TYPICALLY HERE'S WHAT OUR 23 WE'RE FORECASTING 2023 TO LOOK LIKE FOR CRUISE, WE'VE GOT $38 MILLION APPROXIMATELY WITH $16 MILLION IN EXPENSES
SO THEN WE WOULD THEN SAY NET OPERATING INCOME OF $22 MILLION, AND THEN WE HAVE SIX ADDITIONAL MILLION OF CAPITAL
SO IT REALLY BRINGS, IF YOU INCLUDE ALL OF OUR INVESTMENTS, IT WOULD BRING ABOUT $16 MILLION OF FUNDING TO THE PORT THAT CAN BE USED FOR OTHER ITEMS, AND IT KIND OF COMPENSATES FOR SOME OF OUR OTHER FISHING
I THINK THAT'S GREAT
IT DOES FLOAT OUR BOAT, SO TO SPEAK
AND I THINK IT'S IMPORTANT TO UNDERSTAND, THOUGH, THAT WHEN IT'S NOT ALL WRAPPED UP, IT IS COMPENSATING FOR OTHER THINGS, BUT THE NET FOR IT I THINK, IS JUST GOOD VISIBILITY
SO THANK YOU FOR THAT
SURE
AND WE DO SHOW A LOT OF THIS IN THE APPENDIX WITH THE NET OF DEPRECIATION AS WELL
SO I JUST DID TALK ABOUT IT SO MUCH IN THE DIVISIONAL PORTFOLIO
THANKS
GREAT
THANKS, KELLY
WE CAN MOVE ON TO ECON DOVE THERE'S
QUESTIONS? NOPE
OKAY
WAS THERE ANOTHER QUESTION? NO, THANKS
OKAY, SO THE NEXT FEW SLIDES ARE ON THE ECONOMIC DEVELOPMENT DIVISION
THEY ARE TRACKING THE BUDGET
WITH THE EXCEPTION OF SOME UNPLANNED QUARTER ONE CONFERENCE AND EVENT CENTER CANCELLATIONS, THE BELL STREET GARAGE IS RETURNING TO PRE PANDEMIC LEVELS
PIER 66 ELEVATORS ARE AT SUBSTANTIAL COMPLETION
WE ARE MOVING INTO THE CONSTRUCTION PHASE FOR THE MARITIME INNOVATION CENTER AND GETTING CLOSER TO CONSTRUCTION AT TERMINAL 91 UPLANDS
NEXT SLIDE, PLEASE
THE YEAR TO DATE OPERATING INCOME IS THREE QUARTERS OF A MILLION FAVORABLE TO BUDGET, AND ABOUT 1.2 MILLION HIGHER THAN 2022
DESPITE THE LOWER CONFERENCE CENTER VOLUMES THAN PLANNED, WE ARE STILL OVER $800,000 IN CONFERENCE REVENUE HIGHER THAN 2022
AND COUPLED WITH INCREASED PARKING VOLUMES ARE UP IN REVENUE 25%
YEAR OVER YEAR EXPENSES ARE UP 5% FROM 2022
WITH PAYROLL AND OTHER INFLATIONARY INCREASES OFFSET BY THE TOURISM RECOVERY INITIATIVE
WITH WASHINGTON TOURISM ALLIANCE COMPLETION IN APRIL OF LAST YEAR, WE ARE EXPECTED TO SPEND ABOUT 95% OF CAPITAL BUDGET AS WE RAMP UP TERMINAL 91 UPLANDS WORLD TRADE CENTER WEST ROOF REPLACEMENT AND 69 UNDER DOCK UTILITY WORK
AND THAT DOES IT FOR SEAPORT
ANY QUESTIONS? GREAT, GO AHEAD
FOR ECON
SO WHEN YOU TALK ABOUT CONFERENCE CENTER, DOES THAT INCLUDE WORLD TRADE CENTER? PROBABLY NOT, RIGHT? YES IT IS
IT'S MOSTLY THE BELL HARBOR AND THERE'S SOME BECAUSE DO YOU HAVE OFFHAND, YOU KNOW, OUR OCCUPANCY AT WORLD TRADE? THE BUILDING? YEAH
JUST BECAUSE PEOPLE TELL ME WHY AREN'T YOU DOING PUTTING INNOVATORS IN THAT SPACE IF WE HAVE ROOM THERE AS WELL? DO WE KNOW IF THAT'S LIKE DAVE'S LEFT? I GUESS, YEAH, MAYBE GET BACK TO YOU ON THAT ONE
IT'S A QUALITY SPACE, I JUST KNOW WE HAVEN'T BEEN ABLE TO RENT IT ALL
CORRECT AND I WOULD LIKE TO COME BACK AND ANSWER THAT QUESTION MORE ACCURATELY AND GIVE YOU SPECIFIC OCCUPANCY
I THINK THE STRUGGLE HAS BEEN WITH SOME OF THE WATERFRONT CONSTRUCTION PANDEMIC IMPACT ON OFFICE
IT'S BEEN A HARD SPACE TO FILL AND ALSO THE SPACES WE HAVE ARE LARGE, THEY'RE TYPICALLY IN THE LARGER BLOCK OF 4000
WILL CONSULT WITH JENNIFER TO DETERMINE GOING FORWARD WHETHER WE NEED TO ADDRESS OR CHANGE ANY OF THE SPACE CHARACTERISTICS IN THAT BUILDING
BUT I KNOW EFFORTS ARE STILL MADE THROUGH OUR BROKER AND THROUGH OUR STAFF TO TRY AND FILL THOSE SPACES
JUST SUCH A GREAT BUILDING
I JUST AM SURPRISED THAT IT'S HARD TO SELL
WELL, MAYBE WITH THE ELITE WAY TAKING CARE OF SOME OF THE TRAFFIC, WHO KNOWS, BUT IT SEEMS LIKE A BIT OF A DIME IN THE ROUGH
ALL RIGHT, COMMISSIONER, WE CAN REPORT BACK TO ALL THE COMMISSIONER
COMMISSIONER ON IT
ALL RIGHT
CENTRAL SERVICES
GOOD AFTERNOON, COMMISSIONER
AND EXCEPT THE DIRECTOR METRUCK IN THE NEXT FEW SLIDES I'M GOING TO WALK THROUGH THE CENTRAL SERVICES AS WELL AS THE PROVIDE NUMBERS FOR YOU
NEXT SLIDE PLEASE
SO HERE'S THE CENTRAL SERVICE NUMBER FOR THE YEAR
WE ARE EXPECTING 244,000 OPERATING REVENUES ABOVE BUDGET AND THAT'S MAINLY BECAUSE OF THE UNBUDGETED POLICE FOR FEATURES REVENUE
ON THE EXPENSES SIDE, MOST DEPARTMENT WILL COME IN BELOW BUDGET AND WE EXPECT ABOUT 3 MILLION BELOW BUDGET FOR THE YEAR
ON THE RIGHT HAND SIDE, A FEW BUSINESS HIGHLIGHT
YOU CAN ACTUALLY FIND MUCH MORE IN THE VTN REPORT IN YOUR PACKAGE
I AM HERE TO JUST WANT TO HIGHLIGHT A FEW FOR YOU
THE FIRST ONE IS WE HAVE HOSTED THE MULTICULTURE WATER FUND BOAT TOUR FOR ABOUT 250 COMMUNITY MEMBERS
AND SECOND ONE IS THAT WE ALSO HOSTED THE ANNUAL SOUTH KING COUNTY COMMUNITY IMPACT FUND ENVIRONMENT AND JOB SYMPOSIUM WITH ABOUT 150 ATTENDEES
LAST BUT NOT LEAST, THE PORT COMPLETED THE EQUITABLE SPENDING AND ACCOUNTABILITY PROJECT ESEP FRAMEWORK AND WE ARE USING IT AS A PILOT FOR THE 2024 BUDGET AND YOU WILL HEAR MORE IN THE NEXT FEW MONTHS WHEN WE WILL FINISH THE 2024 PROPOSED BUDGET AND WE'LL REPORT THOSE RESULT TO YOU
NEXT SLIDE PLEASE
THIS CHART SHOWS THE 2023 YEAR TO DATE CENTRAL SERVICES EXPENSES COMPARED TO THOSE IN THE PAST TWO YEARS AND TO THE BUDGET OVERALL
THE 2023 YEAR TO DATE OPERATING EXPENSES ARE 4.9 MILLION BELOW BUDGET AND DUE TO LOWER PAYROLL AND THE OUTSIDE SERVICES AND 12.2 MILLION HIGHER THAN LAST YEAR
ALSO MAINLY BECAUSE OF HIGHER PAYROLLS, WE HAVE THE NUMBER OF NEW FTE AND WITH THE PAY INCREASE THAT WE HAVE THIS YEAR AND ALSO MORE SPENDING ON THE OUTSIDE SERVICES
NEXT SLIDE PLEASE
SO, THIS CHART ON THE LEFT SOLD THE YEAR TO DATE BUDGET VARIANCE AND THE CHART ON THE RIGHT HAND SIDE, SO WHERE THOSE MAJOR VARIANTS CAME FROM
SO, WHILE THE FOUR PAYROLLS WERE 2.6 MILLION LOWER THAN THE BUDGET, YOU ARE SEEING A NUMBER OF BUDGET VARIANTS IN THOSE THREE MAJOR CATEGORY SALARIES, WAGES AND CHARGES TO CAPITAL
SO, ONE OF THE MOST NOTICEABLE BUDGET VARIANCE CAME FROM THE PAYROLL CHARGE TO CAPITAL
AS YOU CAN SEE FROM THE BLUE LINE THERE, IT'S ABOUT 18% BELOW BUDGET
THE OTHER ONE I WOULD LIKE TO HIGHLIGHT HERE IS THE OUTSIDE SERVICES WHICH IS 2.8 MILLION OR ABOUT 15% UNDER BUDGET
SO THOSE ARE THE TWO MAJOR CATEGORIES THAT WE ARE SEEING IN SINOPAN PERCENTAGE IN TERMS OF THE BUDGET VARIANCE PIER
SO THESE ARE THE CENTRAL SERVICE NUMBER
IF YOU DON'T HAVE ANY QUESTION, I WILL GO TO THE PORT Y NUMBERS, BUT I'LL PAUSE IT HERE
YEAH, COMMISSIONER FRED HAS A QUESTION
SO I KNOW WE ALWAYS ASK THESE STUPID QUESTIONS ABOUT CENTRAL SERVICE BECAUSE IT'S LIKE SOME ALLOCATION OF PIECES OF EVERYBODY GETS TUCKED IN HERE
WHEN I LOOK AT LEGISLATION, THE STAFF INCENTIVIZATION THE TWO TO ONE BILL MATCHES STRAIGHT UP PUBLIC AFFAIRS RELATED THINGS
SO WE'RE TAKING THESE ARE BUSINESS HIGHLIGHTS FOR ESSENTIAL
SO SOME PORTION OF PIERCE'S TIME OF OTHER FOLKS'TIME, IS THAT'S WHAT IT SEE, I KNEW THE ANSWER TO THE QUESTION, BUT IF YOU TOOK ALL OF THESE YOUR HIGHLIGHTS AND HOW MUCH IS ALL THAT REALLY? THOSE ARE THINGS THAT WE ARE VERY PROUD OF AND THINGS LIKE THAT
BUT IT'S PROBABLY A SMALL PIECE OF OVERALL THE BUDGET FOR CENTRAL SERVICES, ISN'T IT? THAT'S PROBABLY TRUE IN TERMS OF THE BUDGET AMOUNT, BUT THE BUSINESS HIGHLIGHT IS MORE ON THE IMPACT AND SOME OF THE OUTREACH THAT WE ENGAGE THE COMMUNITIES
BUT IF WE JUST LOOK AT OBVIOUSLY POLICE AND ENGINEERING AND CORE ESSENTIAL, THESE ARE THE BIG TICKET ITEMS, A LOT OF THESE ARE COMMISSIONER INITIATIVES AND IMPORTANT THINGS TO OUR COMMUNITIES AND THINGS LIKE THAT
BUT I JUST WOULD BE INTERESTED TO KNOW IN THE CONTEXT OF THE OVERALL CENTRAL SERVICES BUDGET, THIS SEEMS LIKE PROBABLY ROUNDING ERROR
THAT'S PROBABLY TRUE A BIG PART
WE HAVE SEVERAL LARGE DEPARTMENTS, AS YOU KNOW, THE POLICE IS THE BIGGEST ONE, BUT ALSO THE ICT, HR AND ACCOUNTING AND A NUMBER OF LARGE DEPARTMENTS THAT WE SUPPORTING FOR Y
YES, I THINK IN THE FUTURE
THANKS FOR THAT FEEDBACK
I THINK WE CAN LOOK AT WHAT ARE THE BIG BUDGET DRIVERS, THE BIG ONES? WE CAN REFLECT THOSE
AND ALSO I WOULD LIKE TO POINT OUT THAT IN THE VITAMIN REPORT, THAT'S A TABLE THAT LISTS ALL THOSE BY DEPARTMENTS AND THEIR BUDGET AMOUNT, ACTUAL SPENDING AMOUNT AND THE VARIANCES
THANK YOU
GREAT
ALL RIGHT, WE CAN MOVE ON THE PORTWIDE
OKAY, NEXT SLIDE
ONE MORE, PLEASE
SO HERE'S THE POWERWIDE NUMBERS BY MAJOR CATEGORY
THE BULL BAR IS THE NAUTICAL REVENUE AND THE GREEN BAR IS THE REVENUE AND THE LIGHT BULB IS THE LONG AIRPORT REVENUE
SO YOU CAN SEE THE THREE MAJOR COMPONENTS AND THEN WEBB IS JUST THE OPERATING EXPENSES AND BLUE LINES THE NET OPERATING INCOME
SO YOU CAN SEE FROM THE CHART HERE, BASICALLY WE HAVE A VERY STRONG RECOVERY FROM THE PANDEMIC IN THE LAST COUPLE OF YEARS
AND OUR YEAR TO DATE ACTUAL IS ALSO PERFORMED BETTER THAN THE BUDGET
SO OVERALL WE ARE 8.3 MILLION ABOVE BUDGET ON THE REVENUE SIDE AND THEN ALSO ON THE EXPENSES SIDE, 15.7 MILLION BELOW BUDGET AND THE NET OPERATING INCOME BEFORE DEPRECIATION WAS 24 MILLION ABOVE BUDGET
SO IT IS STRONG ITSELF OVERALL
NEXT SLIDE, PLEASE
SO, FOR THE FULL YEAR, WE ARE EXPECTING 18.3 MILLION ABOUT BUDGET AND MAINLY DUE TO HIGHER LONG AERONAUTICAL REVENUES AND CRUISE REVENUE AND POSSIBLY OFFSET BY THE LOWER AERONAUTICAL REVENUE AT THE AIRPORT AND ALSO THE GRAIN VOLUME REVENUE THERE
ON THE EXPENSES SIDE, WE ARE FORECASTING 5 MILLION BELOW BUDGET AND MEAN TO SOME VACANCIES AND LOWER UTILITIES AND THIRD PARTY MANAGEMENT COST
NET OPERATING INCOME BEFORE DEPRECIATION
DEPRECIATION IS FORECAST TO BE 23 MILLION ABOUT BUDGET AND 69 MILLION OR ABOUT 20% ABOVE THE 2022 LEVEL
SO IT'S PRETTY GOOD RESULT
NEXT SLIDE, PLEASE
LAST BUT NOT LEAST IS THE PORT Y CAPITAL SPENDING NUMBER
WE SPEND ABOUT 194,000,000 IN THE FIRST HALF OF THE YEAR AND WE EXPECT TO SPEND ABOUT 506,000,000 FOR THE YEAR
SO THESE ARE THE OVERALL PORT Y SUMMARY
AND THEN AGAIN, YOU CAN SEE THE DETAIL IN THE APPENDIX OR THIS LINE IN THE APPENDIX AS WELL AS THE WRITTEN REPORT IN YOUR PACKAGE
SO WITH THAT, HAPPY TO ANSWER ANY FURTHER QUESTIONS THAT YOU MAY HAVE
GREAT
ANY QUESTIONS FROM COMMISSIONERS? NO
ANY ADDITIONAL QUESTIONS? SO, JUST A QUICK QUESTION WITH REGARDS TO IT SEEMS LIKE A LOT OF THE SAVINGS THAT WE'RE EXHIBITING, ESPECIALLY ON THE AVIATION SIDE, IS DUE TO PROJECT DELAY
AND SO WHEN IT COMES TO YEAR OVER YEAR BUDGETING, DO WE JUST ROLL OVER OR DO WE I'M CURIOUS, FROM AN ACCOUNTING STANDPOINT, HOW DO WE ACCOUNT FOR THOSE SAVINGS? IT'S NOT REALLY A SAVINGS, REALLY
IT'S MORE OF A DELAY, RIGHT? YES
IF ON THE EXPENSE, OPERATING EXPENSE SIDE, THEN WE SPEND YEAR BY YEAR
IF IT'S ON TALKING ABOUT THE CAPITAL SPENDING, THEN SOME OF THEM HAVE SOME TRUE SAVING, BUT LOTS OF THEM, IF IT'S BECAUSE OF DELAY, THEN WE OBVIOUSLY HAVE TO FINISH THE PROJECT AND VOTE IT
SO WE WOULD OBVIOUSLY ACCOUNT FOR THAT IN NEXT YEAR'S BUDGET, RIGHT? WE WOULD REFLECT THAT
AND THAT'S WHY WE GO BACK TO LOOKING AT AND THIS IS WHY THE NUMBER THERE AND THE 95% EXECUTION OF THE CAPITAL BUDGET IS VERY IMPORTANT FOR US
IT GETS US CLOSER TO OUR BUDGETED SPENDING OF DOING THAT
BUT IT ALSO MEANS WE'RE DELIVERING THOSE KEY PROJECTS AS WELL WE HAVE IN OUR CAPITAL PLAN
AND YOU'RE RIGHT, MR PRESIDENT, THAT DELAYS KNOW IT COULD BE JUST SLIDING
THERE'S NOT SAVINGS THERE
IT'S JUST SLIDING WITHIN THAT OKAY
ALL RIGHT
THANK YOU SO MUCH, MICHAEL
THANK YOU
APPRECIATE IT
ALL RIGHT, THAT CONCLUDES OUR BUSINESS MEETING AGENDA FOR THE DAY
ARE THERE ANY CLOSING COMMENTS AT THIS TIME OR MOTIONS RELATING TO COMMITTEE REFERRALS FOR COMMISSIONER? COMMISSIONER HASEGAWA
THANK YOU
I KNOW IT'S GOING TO BE A BIT OF A RECESS BEFORE WE RECONVENE IN PUBLIC FORUM
AS A COMMISSION IN SEPTEMBER, I JUST WANTED TO INTRODUCE THE IDEA TO COMMISSIONERS, MEMBERS OF THE PUBLIC PORT STAFF, OF A POTENTIAL ORDER COMING FORWARD TO ESTABLISH AN AD HOC COMMITTEE THAT WILL ADDRESS SPECIFICALLY WORKFORCE CONDITIONS
THE PURPOSE FOR ME ESTABLISHING, SEEKING TO ESTABLISH THIS SORT OF AN AD HOC COMMITTEE IS TO BE ABLE TO ADVANCE IN A STREAMLINED FASHION SOME OF THE PRIORITY ITEMS THAT WE'VE BEEN WORKING ON ON AN AD HOC BASIS
THAT INCLUDES THE ISSUE OF CHILDCARE, WHICH IS AN EXPRESS PRIORITY BY MY COLLEAGUES UPON THE COMMISSION, AS WELL AS THE ONGOING CHALLENGE OF ADDRESSING THE NEEDS FOR HEALTH CARE FROM SOME OF OUR AIRPORT WORKERS AS WELL
AND SO THIS WOULD BE A FORUM WHERE WE'LL BE ABLE TO BE ABLE TO RECEIVE REGULAR AND DEPENDABLE UPDATES AS A COMMITTEE REPORTED OUT TO THE FULL COMMISSION ON A REGULAR BASIS AND BE ABLE TO PROVIDE INPUT AND GUIDANCE ON THESE WORKFORCE CONDITIONS ISSUES
EXCELLENT
THANK YOU SO MUCH FOR THAT
COMMISSIONER HASEGAWA
EXECUTIVE DIRECTOR METRUCK
ANY CLOSING COMMENTS? OH, YEAH, COMMISSIONER FELLEMAN
I JUST WANTED TO ACKNOWLEDGE THIS FANTASTIC EVENT WE WERE AT ON THE 30TH AT ALKAI WHEN THE MUCKLESHOOT PULLED OFF A REMARKABLE EVENT OF 100 PLUS CANOES FROM ALL OVER THE NORTHWEST REGION, LANDING IN INCREDIBLE TIMING AND FANFARE, INCREDIBLY ORGANIZED EVENT
AND IT WAS GREAT FOR THE PORT TO BE THERE IN FORCE AND SHOW OUR RESPECTS
EXCELLENT
THANK YOU FOR BEING THERE ON OUR BEHALF
EXECUTIVE DIRECTOR METRUCK
ANY CLOSING COMMENTS TODAY? THANKS, COMMISSIONER
I KNOW IT WAS A LONG MEETING, BUT I THINK ENDING ON JUST HOW WE'RE PERFORMING FINANCIALLY THROUGH THE HALF THE YEAR AS WE'VE GONE TO THE BUDGET SEASON IS A GREAT, AND I APPRECIATE YOUR TIME ON THAT
THANK YOU
EXCELLENT
WELL, HEARING NO FURTHER COMMENTS OR HAVING NO FURTHER BUSINESS, IF THERE IS NO OBJECTION, WE ARE ADJOURNED RIGHT BEFORE 4:00, 3:58
THANK YOU ALL
APPRECIATE IT
THANK YOU, EVERYONE
YOU OUR.

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