The Regular Meeting meeting scheduled for 2023-11-14 at Pier 69

Transcript

The Regular Meeting meeting scheduled for 2023-11-14 at Pier 69

YOU
THIS IS COMMISSION PRESIDENT SAM CHO CONVENING THE REGULAR MEETING OF NOVEMBER 14, 2023
THE TIME IS NINE
EXCUSE ME
TWELVE 09:00 P.M
WE'RE MEETING IN PERSON DAY AT THE PORT OF SEATTLE HEADQUARTERS BUILDING, COMMISSION CHAMBERS, AND VIRTUALLY VIA MICROSOFT TEAMS CLERK HART, PLEASE CALL THE ROLL OF ALL COMMISSIONERS IN ATTENDANCE
THANK YOU
BEGINNING WITH COMMISSIONER CALKINS HERE
THANK YOU
COMMISSIONER CHO
PRESENT
THANK YOU
COMMISSIONER FELLEMAN
PRESENT
THANK YOU
COMMISSIONER HASEGAWA
PRESENT
THANK YOU
AND COMMISSIONER MOHAMMED
PRESENT
THANK YOU
WE DO HAVE A FULL COMMISSION HERE TODAY
EXCELLENT
A FEW HOUSEKEEPING ITEMS BEFORE WE BEGIN
FOR EVERYONE IN THE MEETING ROOM, PLEASE TURN YOUR CELL PHONE 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 ARE A MEMBER OF THE COMMISSION OR EXECUTIVE DIRECTOR PARTICIPATING VIRTUALLY, OR YOU ARE A MEMBER OF STAFF IN A PRESENTATION AND ARE ACTIVELY ADDRESSING THE COMMISSION
MEMBERS OF THE PUBLIC ADDRESSING THE COMMISSION DURING PUBLIC COMMENT MAY TURN ON THEIR CAMERAS WHEN THEIR NAME IS CALLED TO SPEAK AND WILL TURN THEM BACK OFF AGAIN AT THE CONCLUSION OF THEIR REMARKS
FOR ANYONE HERE AT THE DAIS, PLEASE TURN OFF THE SPEAKERS ON ANY OF YOUR COMPUTERS OR IN SILENCE YOUR DEVICES
PLEASE ALSO REMEMBER TO ADDRESS YOUR QUESTIONS, TO BE RECOGNIZED, TO SPEAK THROUGH THE CHAIR, AND TO WAIT TO SPEAK UNTIL YOU'VE BEEN RECOGNIZED
YOU'LL TURN 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 THE ROLL CALL METHOD SO IT'S CLEAR FOR ANYONE PARTICIPATING, VIRTUALLY HOW THE VOTES ARE CAST
COMMISSIONERS WILL SAY I OR NAYS 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 REBROADCAST BY KING COUNTY TELEVISION
PLEASE NOW STAND AND JOIN ME IN THE PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE AVIATION UNDER GOD, INDIVISIBLE
ALL RIGHT, FIRST ITEM OF BUSINESS TODAY IS THE APPROVAL OF THE AGENDA
AS A REMINDER TO MY FELLOW COMMISSIONERS, IF A COMMISSIONER WISHES TO COMMENT FOR OR AGAINST AN ITEM ON THE CONSENT AGENDA, IT IS NOT NECESSARY TO PULL THE ITEM FROM THE CONSENT AGENDA
YOU CAN INSTEAD OFFER SUPPORTING OR OPPOSING COMMENTS LATER IN THIS MEETING
ONCE WE GET TO THE CONSENT AGENDA PORTION OF THE AGENDA, PLEASE WAIT UNTIL THE MOTION TO APPROVE THE CONSENT AGENDA IS ON THE FLOOR
FOR THESE COMMENTS IF ANY
HOWEVER, IT IS APPROPRIATE AT THIS TIME IF A COMMISSIONER WANTS TO ASK QUESTIONS OF STAFF OR WISHES TO HAVE A DIALOGUE ON A CONSENT AGENDA ITEM TO REQUEST THE ITEM TO BE PULLED FOR SEPARATE DISCUSSION
ARE THERE ANY ITEMS TO BE PULLED FROM THE CONSENT AGENDA OR ANY MOTIONS TO REARRANGE THE ORDERS OF THE DAY? SEEING NONE, COMMISSIONER, THE QUESTION IS NOW ON THE APPROVAL OF THE AGENDA
IS THERE A MOTION TO APPROVE THE AGENDA AS PRESENTED? SO MOVED
SECOND GREAT
THE MOTION HAS BEEN MADE AND SECONDED
ARE THERE ANY OBJECTIONS TO THE APPROVAL AGENDA AS PRESENTED? ALL RIGHT, HEARING NONE
THE AGENDA IS APPROVED AS PRESENTED
THANK YOU
WE HAVE NO SPECIAL ORDER SCHEDULED FOR TODAY, SO WE'LL MOVE ON NEXT ON THE AGENDA, WHICH IS OUR EXECUTIVE DIRECTOR'S REPORT
EXECUTIVE DIRECTOR METRUCK, YOU HAVE THE FLOOR
GOOD AFTERNOON COMMISSIONERS
I'D LIKE TO BEGIN MY REMARKS BY WISHING EVERYONE A BELATED VETERANS DAY DEWALI IN NATIVE AMERICAN HERITAGE MONTH
AS PART OF OUR EFFORT TO BECOME A MODEL FOR DIVERSITY, EQUITY AND INCLUSION, IT'S IMPORTANT TO ACKNOWLEDGE THESE HOLIDAYS AND EVENTS TO BUILD A CULTURE OF BELONGING HERE AT THE PORT
LOOKING AHEAD TO LATER THIS WEEK, WE HAVE THE TRANSGENDER GENDER DAY OF REMEMBRANCE EVENT HOSTED BY OUR TRANSGENDER INCLUSIVITY WORKGROUP THIS THURSDAY
MUCH OF OUR PROGRESS IN EQUITY OVER THE LAST FEW YEARS CAN BE ATTRIBUTED TO THE LEADERSHIP OF OUR SENIOR DIRECTOR OF THE OFFICE OF EQUITY DIVERSITY INCLUSION, BOOKDA GHEISAR
AND SPEAKING OF LEARN, WE WERE THRILLED TO LEARN THAT BOOKDA RECEIVED THE GIRL SCOUTS OF WESTERN WASHINGTON LEADER OF DISTINCTION AWARD FOR HER SUCCESS IN ADVOCATING FOR SYSTEMIC CHANGE ROOTED IN RACIAL EQUITY AND SOCIAL JUSTICE
COMMISSIONER MOHAMMED WAS AT THE EVENT, I UNDERSTAND, A FEW WEEKS AGO TO PRESENT THE AWARD AND MANY PORT COLLEAGUES JOINED IN THE CELEBRATION
CONGRATULATIONS TO BOOKDA FOR BEING RECOGNIZED FOR HER ROLE AS A LEADER, CHANGEMAKER AND A MENTOR, A WELL DESERVED HONOR
IN LESS POSITIVE NEWS, I WANT TO ASSURE COMMISSIONERS THAT WE ARE CLOSELY TRACKING THE FEDERAL FUNDING DISCUSSIONS IN WASHINGTON, DC THIS WEEK
WITHOUT AN EXTENSION, THE FEDERAL GOVERNMENT WILL SHUT DOWN, OR PERHAPS PART OF IT WILL SHUT DOWN ON FRIDAY AND AS BEFORE, WE'RE MAKING CONTINGENCY PLANS IN THAT UNFORTUNATE POSSIBILITY
I WANT TO ASSURE THE TRAVELING PUBLIC, HOWEVER, THAT THE SEATTLE TACOMA INTERNATIONAL AIRPORT WILL REMAIN FULLY OPEN
IF SUCH A SITUATION DOES OCCUR, OUR FEDERAL PARTNERS AT TSA AND CBP WILL CONTINUE TO WORK, ALTHOUGH WITHOUT PAY, AND SO WE DO NOT ANTICIPATE SIGNIFICANT IMPACTS
AS ALWAYS, WE DO ENCOURAGE EVERYONE TO GET TO THE AIRPORT EARLY AND TO CHECK YOUR AIRLINE FOR UPDATES
I KNOW THAT COMMISSIONERS AND PORT EXECUTIVE LEADERSHIP HAVE BEEN RECEIVING NUMEROUS COMMUNICATIONS FROM PORT EMPLOYEES ABOUT THE ONGOING CONFLICT IN ISRAEL AND PALESTINE
THIS IS A DIFFICULT TIME FOR MANY OF US AND IT IS INCREDIBLY HARD TO PROCESS WHAT HAS HAPPENED AND CONTINUES TO HAPPEN
AS EXECUTIVE DIRECTOR, I WANT TO REITERATE THAT ONE OF MY TOP CONCERNS IS FOR THE SAFETY AND WELL BEING OF OUR EMPLOYEES
ACTS OF ANTISEMITISM AND ISLAMOPHOBIA WILL NOT BE TOLERATED IN ANY WAY AND WE'RE DOING EVERYTHING WE CAN TO MAKE SURE THAT OUR WORKPLACE IS SECURE, RESPECTFUL AND ALIGNED WITH OUR RAISED VALUES
THESE ARE STRESSFUL AND IMPACTFUL TIMES AND I WANT TO ENCOURAGE ALL OF OUR EMPLOYEES TO TAKE CARE OF THEMSELVES AND TO LOOK OUT FOR OTHERS THAT MAY BE STRUGGLING
I URGE EMPLOYEES TO TAKE ADVANTAGE OF THEIR BENEFITS, INCLUDING OUR EMPLOYEE ASSISTANCE PROGRAM
I LOOK FORWARD TO WORKING WITH YOU COMMISSIONER CHO ENSURE THAT THIS MESSAGE IS CLEARLY RECEIVED BY EVERYONE AT THE PORT
MOVING TO TODAY'S COMMISSION MEETING I'D LIKE TO HIGHLIGHT A FEW ITEMS THE MARQUEE ITEM FOR TODAY'S COMMISSION MEETING WILL BE THE INTRODUCTION OF THE 2024 BUDGET AND PROPOSED TAX LEVY
I WILL HAVE MORE IN DEPTH COMMENTS DURING THE FORMAL INTRODUCTION OF THIS ITEM, BUT I WANT TO START TODAY BY EXPRESSING MY DEEPEST APPRECIATION FOR ALL THE STAFF WHO SPENT COUNTLESS HOURS OVER THE LAST SIX MONTHS DOING ANALYSIS, CRUNCHING NUMBERS, CREATING PRESENTATIONS, UPDATING MATERIALS AND RESPONDING TO COMMISSIONER FEEDBACK, ALL TO HELP TO GET US TO TODAY'S FORMAL INTRODUCTION OF THE BUDGET
DESPITE GLOBAL UNCERTAINTY AND SIGNIFICANT PRESSURES ON COSTS, I AM PROUD THAT THIS BUDGET REFLECTS MAJOR INVESTMENTS IN OUR CORE PRIORITIES, FROM INFRASTRUCTURE AND DEVELOPMENT TO COMMUNITY SUPPORT TO SUPPORTING THE COMMUNITY TO ENVIRONMENTAL SUSTAINABILITY
EQUALLY IMPORTANT ARE THE INVESTMENTS THAT WE PROPOSE TO MAKE IN OUR PORT WORKFORCE, WHO ARE TRULY OUR GREATEST ASSET
I LOOK FORWARD TO HEARING YOUR FEEDBACK ON OUR PROPOSED BUDGET ON OUR CONSENT AGENDA
THERE ARE A NUMBER OF ITEMS THAT DEMONSTRATE OUR CONTINUED COMMITMENT TO MAINTAINING SAFE AND SECURE OPERATIONS AND BEING A GOOD STEWARD OF OUR CRITICAL ASSETS AND RESOURCES
ITEM 8D IS AN ACTION RELATED TO IMPROVING SECURITY THROUGH OUR PERIMETER ACCESS GATE ENHANCEMENTS AND DETECTION SYSTEM, WHILE ITEM EIGHT K IS AN ACTION RELATED TO UPGRADING THE MARITIME INDUSTRIAL CENTER OFFICE BUILDING INFRASTRUCTURE AT FISHERMAN'S TERMINAL
FINALLY, IN TWO VERY IMPORTANT ORDERS, YOU WILL HEAR A BRIEFING ON THE STATUS OF OUR AIRPORT DINING AND RETAIL MASTER PLAN, THE STEPS WE'RE TAKING TO IMPROVE OUR CONCESSIONAIRE RFP PROCESS, AND IMPORTANT DISCUSSION OF BARRIERS TO SMALL BUSINESSES THAT ARE COMMITTED TO ADDRESSING THAT WE'RE COMMITTED TO ADDRESSING
I WANT TO THANK THE GREAT WORK OF SO MANY EMPLOYEES WHO WILL HELP MAKE US THINK THROUGH THIS POLICY CHANGES AND PROCESS IMPROVEMENTS TO MOVE US CLOSER TO OUR DIVERSITY AND CONTRACTING GOALS, AND I LOOK FORWARD TO ROBUST DISCUSSION OF THAT ITEM WITH YOU COMMISSIONERS
THIS CONCLUDES MY REMARKS
THANK YOU VERY MUCH FOR THAT REPORT OUT
WE ARE NOW MOVING ON TO COMMITTEE REPORTS
ERICA CHUNG, THE COMMISSION'S STRATEGIC ADVISOR, WILL PROVIDE THE REPORT
GOOD AFTERNOON, PRESIDENT CHO, COMMISSIONERS AND EXECUTIVE DIRECTOR, METRUCK I HAVE ONE COMMITTEE REPORT FOR YOU TODAY
ON NOVEMBER 14, COMMISSIONERS HASEGAWA FELLEMAN CONVENED THE SUSTAINABILITY, ENVIRONMENTAL AND CLIMATE COMMITTEE WHERE THEY WERE BRIEFED ON TWO TOPICS
FIRST IS THE AI WASTE PILOT PROJECT
STAFF HOPES TO INSTALL SIX AI ENABLED WEST WASTE SORTING STATION WITH FOUR AT FOOD COURSE AT THE SEA TERMINALS BEFORE THANKSGIVING FOR THE HEAVY TRAVEL SEASON
THEIR INTERACTIVE AI RECOGNIZES WASTE AND CAN EDUCATE CUSTOMERS ON PROPER WASTE SORTING
THE PROJECT IS BEING IMPLEMENTED TO SUPPORT OPERATIONAL EFFICIENCIES AND TO HELP REDUCE WASTE
THE SECOND IS THE SEA LAND STEWARDSHIP PLAN AND SEA TREE REPLACEMENT STANDARDS, WHERE STAFF SHARE THAT THE PLAN AND STANDARDS WERE DEVELOPED IN ACCORDANCE WITH THE ENVIRONMENTAL LAND STEWARDSHIP PRINCIPLES THAT WAS APPROVED BY THE COMMISSION ON JULY 11, 2023
THAT IS COMPREHENSIVE, INTEGRATES CAPITAL PROGRAMS, APPLIES AN EQUITY LENS, BUILDS ON COMMUNITY PARTNERSHIP, AND TAKES A HOLISTIC ECOLOGICAL APPROACH
STAFF SHARED LAND STEWARDSHIP PLAN OBJECTIVES AND MANAGEMENT APPROACH TREE REPLACEMENT STANDARDS RECOMMEND A FOUR TO ONE REPLACEMENT RATIO USING A HOLISTIC ECOLOGICAL APPROACH WHERE PLANTING NEW TREES, PROTECTING EXISTING TREES FROM INVASIVE THREATS, AND CONVERTING INVASIVE AREAS TO NATIVE VEGETATION CAN ALL BE COUNTED AS CREDIT TOWARDS REPLACEMENT
THIS APPROACH IS CONSISTENT WITH THE INTENT TO CONDUCT LARGE SCALE REPLACEMENT ACTIONS IN THE AIRPORT'S ECOLOGICAL AREAS, WHICH REQUIRE HOLISTIC MANAGEMENT TO ENSURE REPLACEMENT ACTIONS ARE SUCCESSFUL OVER THE LONG TERM
THIS CONCLUDES MY REPORT
THANK YOU
EXCELLENT
ARE THERE ANY QUESTIONS FOR ERICA OR EXECUTIVE DIRECTOR METRUCK? ALL RIGHT, SEEING NOW NONE, WE ARE NOW ONTO 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 THE COMMISSIONER IN ALL ITS DELIBERATIONS
BEFORE WE TAKE PUBLIC COMMENT, LET'S REVIEW OUR RULES FOR IN PERSON AND VIRTUAL PUBLIC COMMENT
CLERK HART, PLEASE PLAY THE RECORDED RULES
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 COMMISSIONER THANKS YOU FOR JOINING US
THE COMMISSION ACCEPTS IN PERSON, VIRTUAL, AND WRITTEN PUBLIC COMMENT REGARDING MATTERS RELATED TO THE CONDUCT OF PORT 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 COMMISSION 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 COMMISSIONER
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 THE 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 PORT 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 MUTE THE WEBSITE STREAM TO AVOID FEEDBACK
WHEN YOU HAVE CONCLUDED YOUR REMARKS, YOU MAY AGAIN TURN OFF YOUR CAMERA AND MUTE 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, OUR FIRST SPEAKER IS ALEX ZIMMERMAN
THANK YOU
HELLO
MY NAME ALEX ZIMMERMAN, AND I LIVE IN BELLEVUE FOR 35 YEARS
YEAH, IT'LL START WHEN YOU'RE DONE INTRODUCING YOURSELF
COULD YOU PLEASE STATE YOUR TOPIC RELATED TO POOR BUSINESS? I DON'T UNDERSTAND HOW I CAN TALK ABOUT A TOPIC WHEN YOU DON'T HAVE TIME AND NOBODY LISTENED TO THIS
ALEX, PLEASE RESTATE YOUR TOPIC
OKAY, THANK YOU VERY MUCH
YEAH
TOPIC IS IMPEACHMENT OF COMMISSIONER CHO
I TALKED ABOUT THIS MANY TIMES BEFORE
RIGHT NOW, MORE INFORMATION COME
WHAT IS ABSOLUTELY CRITICAL
THIS IS EXACTLY WHAT IS I WANT DELIVERY TIME RIGHT NOW
VERY GOOD
COUPLE POINTS
DIFFERENT POINT
NUMBER ONE, YOU ALWAYS INTERRUPT ME BECAUSE I'M JEW
YOU SUPPORT IRANIAN MUSLIM BY DEFINITION
EVERYBODY WHO SUPPORT IRANIAN MUSLIM, WE WAR RIGHT NOW WITH IRAN
AMERICAN AND JEWISH PEOPLE WAR WITH IRAN RIGHT NOW
I MEAN, ISRAEL IN USA
SO IF YOU SUPPORT US ENEMY IN ALL COUNTRY IN THIS PLANET, YOU'RE SUPPOSED TO BE QUALIFIED LIKE A CRIMINAL
YOU'RE SUPPOSED TO BE GOING JAIL OR YOU POST TO BE EXECUTED IS LAW
WHAT EXISTS IN ALL COUNTRIES IN THIS PLANET
IT'S NUMBER ONE
NUMBER TWO, ELECTION
WHAT IS YOU IN RIGHT NOW IS ABSOLUTELY NOT LEGAL
I WILL EXPLAIN TO YOU DETAIL BY POINT
FIRST, YOU GO TO ELECTION ALONE, BY DEFINITION, IS ABSOLUTELY NOT
ALEX
ELECTIONS ARE NOT PERTINENT TO PORT
SO IF YOU COULD PLEASE GO AND TALK ABOUT PORT RELATED BUSINESS RIGHT NOW
DON'T INTERRUPT ME, PLEASE
SO HE TALK ABOUT WINNING FIRST
IT'S VERY IMPORTANT 200,000 PEOPLE KNOW VOTE FOR AYE
IS PEOPLE WHO INVOLVED IN VOTING PROCESS
SO IT CANNOT BE 100 PERCENTAGE
WHAT IS SHOW AND INFORMATION ABOUT
SO HE WIN 100 PERCENTAGE
THAT'S NUMBER ONE
WHEN WE GO TO TOTAL PEOPLE WHO IN KING COUNTRY, FOR EXAMPLE, YOU KNOW WHAT THIS MEANS, WHO CAN HAVE BOTH
HE'S ONLY HALF 15 PERCENTAGE
IT'S ABSOLUTELY CRITICAL
AND HE POST TO BE RECOGNIZED AND THE PORT TO BE DOING SOMETHING ABOUT THIS BECAUSE BY DEFINITION IS A FRAUD AT A FEDERAL CRIME
HE CANNOT WIN BY 100 PERCENTAGE
THANK YOU VERY MUCH
STOP INTERRUPT ME
I SEE YOU IN COURT
THANK YOU, ALEX
AND ALEX, IT'S PRESIDENT SHOW TO YOU
OUR NEXT SPEAKER IS GOING TO BE KATHY KENNEDY
SHE'S ONLINE
KATHY, CAN YOU HEAR ME? I SURE CAN
THANK YOU
AND THANK YOU VERY MUCH FOR HAVING ME
I AM GOING TO BE TALKING TODAY IN SUPPORT OF THE ACCESSIBILITY EFFORTS THAT THE PORT HAS UNDERTAKEN
I WANTED TO LET YOU KNOW THAT THERE HAVE BEEN SUCH SIGNIFICANT IMPROVEMENTS IN REMOVING BARRIERS FOR ALL TRAVELERS WITH DISABILITIES
AND THE AIRPORT HAS REALLY WORKED VERY DILIGENTLY WITH THE DISABILITY COMMUNITY TO ENSURE THAT THEY'RE LEARNING WHAT'S MOST EFFECTIVE, WHAT'S NEEDED, AND WHAT THEY REALLY WANT
AND DONE THIS BY DOING REALLY EXTENSIVE OUTREACH WITH MANY OF THE COMMUNITY GROUPS
IT REALLY ALL STARTS WITH RECOGNIZING THAT ACCESSIBILITY NEEDS TO BE UNIVERSAL FOR ALL PEOPLE, ALL AGES AND ALL NEEDS
IT RECOGNIZES THE DIFFERENCE BETWEEN EQUITY AND EQUALITY, AND IT CERTAINLY WORKS TO LEVEL THAT PLAYING FIELD
I WANTED TO ALSO SPEAK A LITTLE BIT ABOUT WHAT THE PORT HAS DONE FOR THOSE GROUPS WITH NON APPARENT DISABILITIES AND CERTAINLY OUR OLDER TRAVELERS, WHICH IS A GROWING CONCERN AS THE POPULATION OF THE DEMOGRAPHIC, INCLUDING OUR SENIORS, ARE TRAVELING MORE AND MORE AND USING THE AIRPORT FACILITIES
THE SUNFLOWER LANYARD PROGRAM, WHICH IS EXTREMELY POPULAR IN EUROPE, IS A VOLUNTARY PROGRAM, ALSO A NONVERBAL WAY TO COMMUNICATE THAT SOMEONE HAS A NON APPARENT DISABILITY
THE SEA VISITOR PASS PROGRAM AS ANOTHER JUST EXCELLENT PROGRAM, THE FORT OFFERS PASSES BETWEEN THE HOURS OF EIGHT AND TEN, SEVEN DAYS A WEEK
IT ALLOWS FAMILY AND FRIENDS TO SIT WITH A PERSON WHO MAY BECOME CONFUSED, EVEN IF THAT ASSISTANT OR FAMILY MEMBER IS NOT TRAVELING
THERE'S A BRAND NEW SENSORY ROOM DESIGNED SPECIFICALLY FOR THE NEURODIVERSE COMMUNITY AS A PLACE TO HELP EASE TRAVEL IN THE HECTIC AIRPORT ENVIRONMENT
AND I ALSO WANT TO MENTION THAT THIS IS ABOVE AND BEYOND WHAT ANY REGULATION WOULD REQUIRE
THANK YOU, KATHY
THANK YOU SO MUCH
THANK YOU
OUR NEXT SPEAKER IS RENEE GOOD AFTERNOON
MY NAME IS RENEE LAMOGE REEVE AND I'M HERE TO SPEAK ABOUT THE CRUISE INDUSTRY
I SERVE AS VICE PRESIDENT OF GOVERNMENT AND COMMUNITY RELATIONS FOR CRUISE LINES INTERNATIONAL ASSOCIATION, OR CLIA, AND I OVERSEE OUR WORK IN THE GREATER PACIFIC NORTHWEST REGION, WHICH INCLUDES, OBVIOUSLY, SEATTLE, ALASKA, VICTORIA, VANCOUVER AND CALIFORNIA
AS YOU KNOW, CLEA IS THE LARGEST MEMBER BASED TRADE ASSOCIATION
WE REPRESENT 95% OF THE OCEAN GOING CAPACITY, WHICH IS OVER 50 CRUISE LINES, OVER 250 SHIPS, AND WE TRANSPORT 30 MILLION CRUISE PASSENGERS EACH YEAR TO WORLDWIDE DESTINATIONS LIKE SEATTLE
IT'S A PLEASURE TO BE WITH YOU AGAIN TODAY
I WANT TO START BY THANKING THE PORT COMMISSIONERS AND THE PORT STAFF FOR YOUR CONTINUED SUPPORT OF THE INDUSTRY HERE IN SEATTLE
WE VALUE OUR LONG STANDING PARTNERSHIP, ESPECIALLY WHEN IT COMES TO OUR SHARED COMMITMENT TO ENVIRONMENTAL STEWARDSHIP AND INNOVATION
AS COMMISSIONER CALKINS SHARED A FEW WEEKS AGO AT OUR SEASON WRAP UP EVENT, THE 2023 CRUISE SEASON WAS A RECORD BREAKING YEAR, BRINGING 1.7 MILLION CRUISE VISITORS TO SEATTLE AND CONTRIBUTING OVER 900 MILLION TO THE ECONOMY
WITH THIS LEVEL OF ACTIVITY, THE CRUISE INDUSTRY CONTINUES TO FIND EVERY WAY POSSIBLE TO MAKE OUR OPERATIONS MORE SUSTAINABLE AND MITIGATE OUR IMPACTS ON THE ENVIRONMENT
TO BE CLEAR, CRUISE SHIPS DO NOT DISCHARGE ANY WASTEWATER IN THE PUGET SOUND
120 CLIA MEMBER SHIPS WORLDWIDE ARE CURRENTLY EQUIPPED TO CONNECT TO SHORESIDE ELECTRICITY, AND BETWEEN NOW AND 2028, 88% OF OUR GLOBAL FLEET WILL BE PLUG IN READY ON SEPTEMBER 6 OF THIS YEAR
I SHARED WITH YOU VIA EMAIL, A PRESS RELEASE AND A LINK TO CLEA'S GLOBAL CRUISE INDUSTRY ENVIRONMENTAL TECHNOLOGIES AND PRACTICES REPORT
WE RECENTLY EXPANDED ON THIS DATA IN OUR CHARTING THE FUTURE OF SUSTAINABLE TRAVEL PAPER, WHICH WE WILL SHARE WITH YOU AS WELL
THIS SHOWS SIGNIFICANT ADVANCEMENTS IN THE CRUISE INDUSTRY'S EFFORTS TO PURSUE NET ZERO CARBON CRUISING BY 2050
THE PORT OF SEATTLE HAS BEEN A LEADER IN SHORE POWER CAPABILITY AS THE FIRST PORT IN THE CONTIGUOUS UNITED STATES TO OFFER SHORE POWER PLUGIN AT PIER 91
OH
WE'RE PROUD TO BE YOUR PARTNER AND YOUR COLLABORATOR
THANK YOU
THANKS, RENEE
ALL RIGHT, NEXT IS LAUREN VAN HORN ONLINE
LAUREN, CAN YOU HEAR ME? YES
OH, SORRY
IT'S LAUREL
I'M SORRY
EXCUSE ME
I MISREAD YOUR NAME
LAUREL? YEAH, I'M LAUREL VAN HORN
I'M SPEAKING ON THE TOPIC OF ACCESSIBILITY AT THE PORT OF SEATTLE
SO THANK YOU FOR THIS OPPORTUNITY
I'M THE DIRECTOR OF PROGRAMS AT OPEN DOORS ORGANIZATION, WHICH IS A DISABILITY NONPROFIT BASED IN ROSEMONT, ILLINOIS
I'M ALSO A PROUD MEMBER OF THE SEATTLE INTERNATIONAL AIRPORT ACCESSIBILITY ADVISORY COMMITTEE, HAVING RECENTLY REPLACED OUR EXECUTIVE DIRECTOR, ERIC LIPP, ON WHOSE BEHALF I'M SPEAKING TODAY AT OPEN DOORS ORGANIZATION
WE HAVE WORKED CLOSELY WITH THE PORT OF SEATTLE FOR MANY YEARS TO HELP THE AIRPORT BECOME ONE OF THE MOST ACCESSIBLE IN THE NATION, AND INDEED, IN THE WORLD
WE HOPE THAT THE COMMISSION WILL VOTE IN FAVOR OF MAKING ACCESSIBILITY AN ONGOING COMMITMENT AND AN INTEGRAL PART OF THE PORT OF SEATTLE BRAND
CONGRATULATIONS TO EVERYONE AT THE PORT, LEADERSHIP AND STAFF WHO HAVE SUPPORTED ALL THE IMPROVEMENTS TO ACCESSIBILITY THUS FAR
AND KATHY KENNEDY, OF COURSE, JUST MENTIONED A NUMBER OF THOSE WHICH ARE IMPORTANT AT OPEN DOORS ORGANIZATION
WE PLEDGE OUR CONTINUED SUPPORT OF YOUR IMPORTANT WORK AND LOOK FORWARD TO HELPING YOU ACHIEVE AN EVEN GREATER LEVEL OF INCLUSION AND ACCESS SO THAT ALL TRAVELERS, WHATEVER THEIR AGE, SIZE, OR ABILITY, CAN ENJOY A TRULY BARRIER FREE AND EQUITABLE EXPERIENCE IN YOUR FACILITIES
SO THANK YOU VERY MUCH AGAIN
THANK YOU VERY MUCH, LAUREL
AND LAST BUT CERTAINLY NOT LEAST, PUBLIC COMMENTATOR HAROLD EUGLES
HELLO, MY NAME IS HAROLD DOUGLAS
I'M CURRENT PRESIDENT OF ILW LOCAL 19
I WANT TO THANK CHIEF EXECUTIVE DIRECTOR OF METRUCK AND COMMISSIONER
ALLOW ME TO SPEAK, AND I'M GOING TO BE SPEAKING ABOUT THE CRUISE SHIP INDUSTRY
WE JUST AS YOU HEARD FROM THE PREVIOUS SPEAKER, WE HAD A VERY SUCCESSFUL CRUISE SEASON
WE WANT TO THANK THE PORT FOR THEIR FORESIGHT AND PUSHING FOR COLD IRONING FOR NEXT YEAR AND INCREASING THE NUMBER OF RAMPS AVAILABLE SO THAT WE CAN AYE
THE 100% COLD IRONING BY 2030
IT'S A GOAL THAT I THINK WE CAN ACHIEVE, HOPEFULLY EVEN SOONER
THE BIG THING THAT I'D LIKE TO ALSO STRESS IS THE IMPORTANCE OF THE AMOUNT OF JOBS THAT THIS DIRECT JOBS THAT ILW MEMBERS RECEIVE OFF THIS ONE OF THE LARGEST VESSELS THIS YEAR, CALLING UP PIER 91, WE HAD 169 MEMBERS DISPATCHED TO WORK ON THAT SHIP ON ONE VESSEL AT PIER 91
GENERALLY DURING THE WEEKENDS, THEY HAVE TWO SHIPS AT A TIME
IT'S AN AVERAGE AROUND 282 MEMBERS THAT ARE DISPATCHED TO WORK THOSE
AND THEN ALONG WITH PIER 66, EXAMPLE OF THE NORWEGIAN BLISS, WE HAVE 138 MEMBERS WORKING ON THAT SHIP
SO YOU CAN SEE THAT WE VARY SOMETIMES ALL THE WAY, ALMOST UP TO 450 JOBS ON THOSE VESSELS
AND TALKING WITH THE CRUISE INDUSTRY, IT LOOKS LIKE WE'RE GOING TO HAVE BIGGER VESSELS, MORE MANPOWER, AND AS YOU ALL KNOW, THE WAGES THAT IT BRINGS IN IS TREMENDOUS
AND THEN ALL THE OTHER JOBS, AS FAR AS FROM THE TUGBOAT OPERATORS TO THE SHIP HANDLERS TO THE PEOPLE WHO SUPPLY IT, IS VERY IMPORTANT TO OUR REGION
SO AGAIN, I APPLAUD THAT WE PUSH THE CRUISE INDUSTRY TO BE A GREEN INDUSTRY, AND I THINK THEY RESPOND VERY WELL
COLD IRONING IS ONE OF THEM
DISCHARGING WASTEWATER AND ALSO BEING GOOD CITIZENS UP IN ALASKA, WE THINK THAT'S VERY IMPORTANT AND WE WANT TO MAKE SURE THAT THEY REMAIN SO
THANK YOU FOR YOUR TIME
HAVE A NICE DAY
THANK YOU, ERROL
ALL RIGHT, THAT CONCLUDES OUR SIGNUPS FOR TODAY
IS THERE ANYONE ELSE PRESENT OR ON THE TEAM'S CALL OR PRESENT IN THE ROOM TODAY WHO DIDN'T SIGN UP BUT WISHES TO SPEAK AND ADDRESS THE COMMISSION? IF SO, PLEASE STATE AND SPELL YOUR NAME AND STATE THE TOPIC RELATED TO THE CONDUCT REPORT BUSINESS YOU WISH TO SPEAK OUT ABOUT FOR THE RECORD
ALL RIGHT, IN THAT CASE, AT THIS TIME, I'LL ASK THE CLERK TO PLEASE GIVE A SYNOPSIS OF THE WRITTEN COMMENTS RECEIVED
THANK YOU, MR COMMISSIONER, PRESIDENT, MEMBERS OF THE COMMISSION, EXECUTIVE DIRECTOR METRUCK WE'VE RECEIVED THREE WRITTEN COMMENTS FOR TODAY'S MEETING
THESE HAVE BEEN PREVIOUSLY DISTRIBUTED TO YOU AND WILL BECOME A PART OF THE PUBLIC RECORD
KIM BRIAN'S RIGHTS AND SUPPORTIVE AGENDA ITEM TEN D THE SEA ACCESSIBILITY ORDERS STATING THAT THE WORK THAT SEA HAS BEEN DOING TO BECOME THE MOST ACCESSIBLE AND INCLUSIVE AIRPORT HAS MADE A POSITIVE IMPACT IN THE COMMUNITY AND HAS HELPED TO MAKE PEOPLE FEEL MORE COMFORTABLE TRAVELING THROUGH SEATTLE
RYAN FOX, MEMBER OF THE ACCESSIBILITY ADVISORY COMMITTEE FOR SEA, ALSO WRITES IN SUPPORT OF AGENDA ITEM TEN D AND ALSO IN SUPPORT OF THE SEA ACCESS PROGRAM, NOTING HOW TRAVEL CAN IMPACT PEOPLE IN DIFFERENT WAYS WHEN THEY HAVE DISABILITIES, RYAN STATES THE IMPORTANCE OF PROVIDING A SPACE THAT WORKS FOR A WIDE VARIETY OF TRAVELERS TO MAKE THEIR WAY THROUGH THE AIRPORT EFFICIENTLY AND IN COMFORT
AND THEN CONCLUDING WITH GEORGE ABBOTT, PRESIDENT AND CEO OF THE LIGHTHOUSE FOR THE BLIND AND MEMBER OF THE ACCESSIBILITY ADVISORY COUNCIL, WHO WRITES AS WELL TO SUPPORT AGENDA ITEM TEN D, NOTING THE THOUGHTFUL EFFORTS OF THE PORT AND SEA STAFF TO EMBRACE EQUITY AND INCLUSION OF VISITORS AND RESIDENTS WITH DISABILITIES WHO USE THE AIRPORT AND ALL PORT FACILITIES
AND THAT CONCLUDES OUR WRITTEN COMMENTS TODAY
EXCELLENT
THANK YOU VERY MUCH
HEARING NO FURTHER PUBLIC TESTIMONY, WE'LL NOW MOVE ON TO THE CONSENT AGENDA
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 ADOPTION OF THE REMAINING CONSENT AGENDA
ITEMS AT THIS TIME, THE CHAIR WILL ENTERTAIN A MOTION TO APPROVE THE CONSENT AGENDA
ITEMS RECOVERING ITEMS EIGHT A, EIGHT B, EIGHT C
IS THERE A MOTION SO MOVED? SECOND
EXCELLENT
COMMISSIONER, WE HAVE A MOTION AND A SECOND
PLEASE SAY IRON A WHEN YOUR NAME IS CALLED FOR THE APPROVAL OF THE CONSENT AGENDA, BEGINNING WITH COMMISSIONER CALKINS
AYE
THANK YOU
COMMISSIONER FELLEMAN
AYE
THANK YOU
COMMISSIONER HASEGAWA
AYE
THANK YOU
COMMISSIONER MOHAMED
AYE
THANK YOU
AND COMMISSIONER CHO
AYE
THANK YOU
FIVE AYES, ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
THANK YOU VERY MUCH
MOVING ON IN THE AGENDA, WE HAVE FOUR NEW ITEMS OF BUSINESS TODAY
NEW BUSINESS ITEMS TODAY
CLERK HART, PLEASE READ THE FIRST ITEM INTO THE RECORD, AND THEN EXECUTIVE DIRECTOR METRUCK WILL THEN INTRODUCE THE ITEM
THANK YOU
OUR FIRST ITEM IS ACTUALLY TEN A AND TEN B CONSOLIDATED FOR ONE PUBLIC HEARING, AND I WILL READ THAT INTO THE RECORD
TEN A
PUBLIC HEARING AND INTRODUCTION OF RESOLUTION NUMBER THREE 8114, A
RESOLUTION ADOPTING THE FINAL BUDGET OF THE PORT OF SEATTLE FOR THE YEAR 2024
MAKING, DETERMINING, AND DECIDING THE AMOUNT OF TAXES TO BE LEVIED UPON THE CURRENT ASSESSMENT ROLE, PROVIDING PAYMENT OF BOND REDEMPTIONS AND INTEREST COST OF FUTURE CAPITAL IMPROVEMENTS AND ACQUISITIONS, AND FOR SUCH GENERAL PURPOSES ALLOWED BY LAW, WHICH THE PORT DEEMS NECESSARY, AND DIRECTING THE KING COUNTY COUNCIL AS TO THE SPECIFIC SUMS TO BE LEVIED ON ALL OF THE ASSESSED PROPERTIES OF THE PORT OF SEATTLE DISTRICT IN THE YEAR 2024 AND TEN B
ALSO, PUBLIC HEARING, INTRODUCTION OF RESOLUTION NUMBER 3815
A RESOLUTION SPECIFYING THE DOLLAR AND PERCENTAGE CHANGE IN THE REGULAR PROPERTY LEVY FROM THE PREVIOUS YEAR PER RCW 84 55 120, PROVIDING FOR A 4.8% INCREASE OF THE LEVY FROM EIGHTY TWO MILLION, SIX HUNDRED AND FIFTY SEVEN THOUSAND, THREE HUNDRED AND SIXTY SEVEN DOLLARS TO EIGHTY SIX MILLION, SIX HUNDRED AND SIXTY FOUR THOUSAND, FIVE HUNDRED AND EIGHTY DOLLARS
COMMISSIONERS, AS YOU KNOW, TODAY'S PRESENTATION IS THE CULMINATION OF OUR SIX MONTHS OF HARD WORK BY YOU AND OUR STAFF ACROSS THE PORT
I'D LIKE TO BEGIN MY INTRODUCTION OF TODAY'S BUDGET BY HIGHLIGHTING OUR FINANCIAL PERFORMANCE FOR THE FIRST THREE QUARTERS OF 2023
PASSENGER VOLUME AT SEA CONTINUES TO REBOUND AND IS TRENDING HIGHER THAN 2022, AND WE EXPECT TO COME VERY CLOSE TO PRE PANDEMIC VOLUMES BY THE END OF THE YEAR
ON THE MARITIME SIDE, AS YOU'VE HEARD TODAY IN THE PUBLIC TESTIMONY, THE 2023 CRUISE SEASON BROKE RECORDS WITH 291 SAILINGS AND WELL OVER 1.7 MILLION REVENUE PASSENGERS
AIRPORT NON AERONAUTICAL REVENUES ARE ANTICIPATED TO EXCEED THE BUDGET DUE TO HIGHER REVENUES IN MOST LINES OF BUSINESS, CRUISE FISHING, COMMERCIAL MARINAS AND MARITIME PORTFOLIO MANAGEMENT ARE EXPECTED TO EXCEED REVENUE TARGETS AS WELL
HOWEVER, CONFERENCE CENTER VOLUME IS ESTIMATED TO BE DOWN BY 28% DUE TO EVENTS AND CONFERENCE CANCELLATIONS THIS YEAR
WHILE OUR OVERALL PERFORMANCE IS STRONG, WE ARE IN AN ERA DEFINED BY ECONOMIC PARADOX AND GEOPOLITICAL UNCERTAINTY
WITHIN THIS CONTEXT OF GLOBAL AND LOCAL CHANGES, IT IS MORE IMPORTANT THAN EVER THAT WE MAKE INVESTMENTS TO BUILD A PORT OF THE FUTURE
STRONG DEMAND DEMONSTRATES THEIR ENDURED NEED FOR THE PORT SERVICES
FORECASTS INDICATE THAT 2024 SHOULD BE THE STRONGEST YEAR EVER IN THE HISTORY OF THE AIRPORT AND CRUISE PASSENGER VOLUMES
IN FACT, THE PORT PROJECTS $1 BILLION IN REVENUES FOR THE FIRST TIME EVER IN 2024
DESPITE THIS FAVORABLE OUTLOOK FOR THE PORT, ECONOMIC FACTORS OUTSIDE OF OUR CONTROL, ESPECIALLY PERSISTENT INFLATION AND GLOBAL TENSIONS, POSE RISKS TO OUR PROJECTIONS IN OUR PLANS
IN RESPONSE, THE PORT IS TAKING A STRATEGIC APPROACH
WE INVEST BOLDLY WHERE WE CAN MAKE THE GREATEST IMPACT TODAY WHILE ENSURING THAT WE HAVE THE FINANCIAL RESOURCES FOR OUR LONGER TERM NEEDS
WE CONTINUE OUR GLOBAL LEADING EFFORTS ON SUSTAINABILITY AND EQUITY IN A WAY THAT SUPPORTS THE COMMUNITY AND THE ENVIRONMENT, WHILE MAKING OUR BUSINESS LINES MORE COMPETITIVE AND RESILIENT
WE ARE ALSO SUPPORTING OUR WORKFORCE TO ENSURE THE RECRUITMENT AND RETENTION OF THE PEOPLE WE NEED TO OPERATE OUR GATEWAYS SUCCESSFULLY
THE 2024 BUDGET MAKES SIGNIFICANT INVESTMENTS IN COST OF LIVING AND PAY FOR PERFORMANCE INCREASES, WITH A PLACEHOLDER OF APPROXIMATELY 7% ON AVERAGE FOR NONREPRESENTED EMPLOYEES
AND WE'RE ALSO PLANNING TO FULLY IMPLEMENT OUR COMPENSATION PROJECT TO ENSURE THAT EVERYONE AT THE PORT IS BEING PAID APPROPRIATELY FOR THEIR ROLE AND EXPERIENCE
OUR BUDGET STRATEGY HAS BEEN DRIVEN IN PART BY OUR CAPITAL IMPROVEMENT PLAN, WHICH WE BRIEFED YOU ON LATER THIS YEAR
WE'RE PROPOSING THE LARGEST FIVE YEAR CAPITAL PLAN IN OUR HISTORY, INTENDING TO SPEND 5.6 BILLION ACROSS OUR AVIATION, MARITIME AND ECONOMIC DEVELOPMENT FACILITIES AND INVEST 210.4 MILLION WITH THE NORTHWEST SEAPORT ALLIANCE TO ENSURE THAT OUR GATEWAYS MEET THE OPERATIONAL AND SUSTAINABILITY DEMANDS FOR TODAY AND INTO THE FUTURE
AS PART OF OUR PRESENTATION, WE WILL GO OVER CHANGES SINCE OUR LAST BRIEFING, HAVE A SUMMARY OF THE PROPOSED OPERATING BUDGET IN THE CAPITAL PLAN, PRESENT KEY BUDGET DRIVERS, SOURCES AND USES OF FUNDS OUR PROPOSED TAX LEVY FOR 2024, A 4.8% INCREASE FOR 6.7 MILLION AND WE WILL FINISH WITH A SUMMARY OF OUR BUDGETING AND EQUITY INITIATIVE
FINALLY, I WANT TO MAKE SURE TO SHARE MY GRATITUDE FOR EVERYONE WHO HAS WORKED SO HARD SO LONG TO BRING US TO TODAY'S BUDGET INTRODUCTION
COMMISSIONER, YOU HAVE GIVEN HOURS AND HOURS OF YOUR TIME DURING RETREATS, BRIEFINGS AND INDIVIDUAL MEETINGS TO SHARE YOUR PRIORITIES INPUT AND PROBING QUESTIONS ABOUT HOW WE STRATEGICALLY INVEST IN OUR MISSION AND VISION
THE PORT'S FINANCE STAFF WORKED FOR MONTHS WITH EACH DEPARTMENT AND DIVISION AT A GRANULAR LEVEL TO UNDERSTAND EVERY NEW REQUEST FOR AN FTE OR PROGRAM AND BALANCE IT AGAINST AVAILABLE RESOURCES AND OTHER NEEDS
SO HERE WE ARE
SO WITHOUT FURTHER ADO, I'D LIKE TO TURN OVER TO CHIEF FINANCIAL OFFICER DAN THOMAS, ALONG WITH MICHAEL TONG, DIRECTOR OF CORPORATE BUDGET HEIDI POPCHAK, DIRECTOR OF AVIATION FINANCE AND BUDGET, AND BOOKDA GHEISAR, SENIOR DIRECTOR OF OFFICE EQUITY, DIVERSITY AND INCLUSION
SO WITH THAT, DAN, I'LL TURN IT OVER TO AYE
TO BEGIN, AND THEN WE'LL LOOK FORWARD TO ANSWERING ANY QUESTIONS THAT YOU MAY HAVE
THANK YOU
THANK YOU, STEVE
AND GOOD AFTERNOON
COMMISSIONER
IF WE COULD MOVE TO THE FIRST
NEXT SLIDE, PLEASE
THIS IS JUST AN OVERVIEW OF THE ITEMS WE'RE GOING TO COVER TODAY
AGAIN, YOU'VE SEEN MUCH OF THIS IN THE PAST, SO WE ARE GOING TO FLY AT A FAIRLY HIGH LEVEL
NEXT SLIDE, PLEASE
SO AS STEVE MENTIONED, WE HAVE STARTED THIS PROCESS ABOUT SIX MONTHS AGO IN THE EARLY SUMMER
SO LOTS OF BRIEFINGS AND DISCUSSIONS, INCLUDING SEVERAL COMMISSION RETREATS
WE PROVIDED DETAILED PRESENTATIONS OF THE DIVISION BUDGETS IN OCTOBER AS WELL AS THE CENTRAL SERVICES BUDGET IN LATE SEPTEMBER
AND THEN WE DISCUSSED THE TAX LEVY AND PLAN OF FINANCE IN LATE OCTOBER
SO THAT'S WHEN YOU RECEIVE SOME PRETTY DETAILED BRIEFINGS
SO TODAY WE'RE REALLY GOING TO FOCUS JUST ON SOME OF THE CHANGES THAT HAVE OCCURRED SINCE YOU LAST REVIEWED THE BUDGETS IN THE INTEREST OF TIME
AND ALSO THERE ARE PLENTY OF ADDITIONAL MATERIALS IN THE APPENDIX IF YOU WANT MORE DETAILS
NEXT SLIDE, PLEASE
SO I'M GOING TO TURN IT OVER TO HEIDI POPPACHUK, WHO'S OUR AVIATION FINANCE AND BUDGET DIRECTOR, TO TALK ABOUT SOME OF THE CHANGES THAT OCCURRED WITHIN THE AVIATION DIVISION SINCE YOU LAST REVIEWED THEIR BUDGET
HEIDI? THANK YOU, DAN
AND GOOD AFTERNOON, PRESIDENT CHO AND COMMISSIONERS AND EXECUTIVE METRUCK AND PORT STAFF
SO AS DAN ALLUDED TO BACK IN OCTOBER, THE AVIATION DIVISION, WE MENTIONED THAT WE WERE GOING TO LOOK AT SOME OF OUR EXPENSES IN THE PRELIMINARY BUDGET AND PARTNER WITH OUR PORT OF SEATTLE ACCOUNTING, FINANCIAL AND REPORTING GROUP TO ASSESS WHETHER SOME OF THOSE COSTS COULD BE CAPITALIZED
AND THAT HAD THE COMMITMENT THAT WE'LL COME BACK TO THE COMMISSION TODAY TO REPORT BACK ON THAT WORK
AND AS A RESULT, AS YOU CAN SEE THERE, OUR TOTAL REVENUES DECREASED BY $7.6 MILLION, WITH A SUBSTANTIVE AMOUNT ASSOCIATED WITH OUR AERONAUTICAL REVENUES, AND THAT DECREASED BY A NET OF $7.4 MILLION
SO WHEN WE DID THE WORK WITH OUR ACCOUNTING, FINANCIAL AND REPORTING GROUP, WE HAD A TOTAL AMOUNT OF $11.4 MILLION THAT COULD BE RECLASSIFIED FOR CAPITALIZATION AND THE AERONAUTICAL REVENUE PORTION THAT WAS ACCOUNTED FOR IN THAT $11.4 MILLION
ALSO THE SECOND BULLET THERE, IT WAS PARTIALLY OFFSET BY THE AERONAUTICAL SHARE OF $5 MILLION ADDED OF BUDGET CONTINGENCY FOR ONM EXPENSES
AND I'LL TALK MORE ABOUT THAT ON THE NEXT SLIDE
BUT I DEFINITELY WANT TO GET TO THE NON AERONAUTICAL REVENUE DECREASE AS WELL
SO THE NEXT PART WITH OUR NON AERONAUTICAL REVENUE DECREASE IS WE HAD SOME REDUCTIONS IN OUR GROUND TRANSPORTATION COST RECOVERY AS WELL AS REDUCTIONS IN OUR UTILITY COST RECOVERY DUE TO LOWER ALLOCATED COSTS AND THEN A MODEST INCREASE IN OUR NON AERONAUTICAL SPACE RENT DUE TO HIGHER TERMINAL LEASE RATES
NEXT SLIDE, PLEASE
SO NOW MOVING ON TO THE AVIATION OPERATING EXPENSES
SO THERE IS A CORRESPONDING ADJUSTMENT TO THAT CAPITALIZATION RECLASSIFICATION THAT I MENTIONED MOMENTS AGO
SO THE TOTAL OPERATING EXPENSES DECREASED BY 6.3 MILLION
AND SO WITH THAT 11.4 MILLION REDUCTION THAT'S ASSOCIATED WITH CAPITALIZATION, WE OVERALL SAW A REDUCTION IN OUR OPERATING EXPENSES, WHICH IS GOOD NEWS
AND THAT ALSO INCLUDES, AS I MENTIONED MOMENTS AGO, THAT WE HAD $5 MILLION OF OPERATING EXPENSES ADDED TO THE BUDGET
AND THESE ARE ONE TIME REQUESTS THAT WERE INITIALLY SUBMITTED AS WE WENT THROUGH THE BUDGET PROCESS UP TO OCTOBER AND RECOGNIZED THAT WE HAD SOME REALLY GOOD REQUESTS, BUT WE COULDN'T APPROVE ALL THE BUDGET REQUESTS
AND THEN WE WENT BACK TO WORK ON THIS CAPITALIZATION TOPIC AND FOUND THAT WE HAD THE $11.4 MILLION THAT WAS ELIGIBLE
AND SO WE WANTED TO APPROVE SOME OF THOSE BUDGET REQUESTS THAT WEREN'T APPROVED EARLIER
BUT RECOGNIZING THERE ARE ONE TIME REQUESTS THAT WILL ASSIST THE AVIATION DIVISION TO ADVANCE IN ITS NUMEROUS STRATEGIC FOCUS AREAS
AND SO WE'VE INCLUDED IN THE APPENDIX A POTENTIAL LISTING OF BUDGET REQUESTS THAT WE WOULD LIKE TO UTILIZE
THE $5 MILLION BUDGET CONTINGENCY ON THE NEXT PIECE IS THAT WE ESSENTIALLY TRUED UP THE PAYROLL EXPENSES RELATED TO A LABOR GROUP RELATING TO THE CPI THAT WAS PUBLISHED VERSUS THE ASSUMPTION THAT WE HAD IN THE BUDGET PROCESS
SO THAT EQUATED TO $72,000
AND THEN WE HAVE SOME SMALL ADJUSTMENTS ASSOCIATED WITH BNO TAX AND CREDIT CARD FEES
SO OVERALL, IT'S A GOOD NEWS STORY
ALSO, TO MOVING FORWARD IN OUR PROCESS OF CLASSIFYING CAPITAL COSTS, WE ARE GOING TO CONTINUE TO WORK VERY CLOSELY WITH OUR ACCOUNTING, FINANCIAL AND REPORTING GROUP AS CAPITAL PROJECT SCOPE GETS FURTHER DEFINED, AND SO WE CAN CONTINUE TO ENSURE THOSE COSTS ARE IN THE CORRECT FUND
SO WITH THAT, THAT CONCLUDES MY REMARKS ON THE TWO SLIDES, AND I'LL PASS IT BACK TO YOU, DAN
THANK YOU
THANK YOU, HEIDI
SO LOOKING AT THE NON AVIATION SIDE VERY FEW CHANGES SINCE WE LAST DISCUSSED WITH YOU
THE ONE HIGHLIGHTED HERE IS JUST A VERY MINOR AMOUNT OF SALARY WITHIN PCS THAT WAS RECLASSIFIED FROM CAPITAL TO OPERATING EXPENSE $33,000
HOWEVER, THERE WERE TWO NEW ITEMS THAT WERE ADDED TO THE BUDGET AND APPROVED THIS WEEK THAT HAVE NOT YET MADE IT INTO THIS SLIDE AND WILL BE REFLECTED IN THE FINAL NUMBERS WHEN WE BRING THEM BACK TO YOU NEXT TUESDAY
SO JUST TO HIGHLIGHT THESE, WE DID ADD $50,000 OF CONSULTING SERVICES TO THE OEDI PUGET RELATED TO HUMAN TRAFFICKING AND THE LANGUAGE ACCESS INITIATIVE
SO THAT'S A NEW ITEM THAT JUST GOT ADDED
AND THEN WE ALSO DECIDED, AND STEVE AND OTHERS ON THE ELT HAVE DECIDED TO ADD $300,000 FOR NEXT YEAR TO COMPLETE THE ECONOMIC IMPACT STUDY UPDATE
IT'S BEEN A NUMBER OF YEARS SINCE WE'VE CONDUCTED THAT AND I THINK THERE'S A STRONG FEELING THAT IT'S TIME TO REFRESH THOSE NUMBERS AND POSSIBLY EVEN LOOK AT LOOKING AT AN EQUITY LENS AS WE DO THAT WORK
SO THAT'S AN ADDITIONAL 300,000 THAT WAS NOT INCLUDED IN THIS PRESENTATION, BUT WILL BE IN THE NUMBERS WE REVIEW WITH YOU NEXT WEEK
NEXT SLIDE, PLEASE
SO LOOKING AT THE OVERALL BUDGET HIGHLIGHTS, STEVE COVERED SOME OF THIS IN AYE
OPENING REMARKS
SO JUST TO HIGHLIGHT AGAIN THAT OUR OPERATING REVENUES HAVE INCREASED 7.3% TO JUST A LITTLE OVER $1 BILLION
THAT DOES REFLECT A NEW RECORD
FIRST TIME PORT OPERATING REVENUES HAVE EXCEEDED $1 BILLION
SO THAT IS A SIGNIFICANT MILESTONE
OPERATING EXPENSES UP 7.6% TO $617,000,000 AND THEN NOI BEFORE DEPRECIATION IS UP 6.8% TO $406,000,000
SO JUST A SNAPSHOT OF THE OPERATING BUDGET NEXT SLIDE
LOOKING AT SOME OF THE DRIVERS, I'M NOT GOING TO WALK THROUGH THIS IN DETAIL
STEVE DID MENTION A NUMBER OF THESE ON THE PAYROLL SIDE
FOR NON REPRESENTED STAFF, WE'RE LOOKING AT AN OVERALL 7% THAT WAS BUDGETED FOR NEXT YEAR, BROKEN OUT AS ABOUT A 5% COST OF LIVING INCREASE, AS WELL AS 2% AVERAGE PAY FOR PERFORMANCE
EACH REPRESENTATIVE GROUP HAVE BUDGET ASSUMPTIONS RELATED TO WAGE INCREASES BASED ON THEIR INDIVIDUAL CONTRACTS
ON FTES, ON STAFF FULL TIME EQUIVALENTS, WE ADDED 16.7 POSITIONS THIS YEAR, SO THEY ROLL OVER INTO NEXT YEAR AND ARE THEN ANNUALIZED FOR THE FULL YEAR
AND THEN AS PART OF THE BUDGET REVIEW PROCESS THIS YEAR, A TOTAL OF 60 ADDITIONAL FDES WERE ADDED FOR 2024 TO SUPPORT THE VARIOUS OBJECTIVES AND PLANNING FACTORS
AND OVERALL, WE'RE LOOKING AT A 5% VACANCY FACTOR THAT WE PUT IN THE BUDGET
I WON'T GO THROUGH ALL THE OTHER DRIVERS
I THINK WE DISCUSSED THESE IN DETAIL WITH YOU WHEN EACH OF THE DIVISIONS PRESENTED THEIR BUDGETS, BUT A NUMBER OF DIFFERENT DRIVERS ARE LEADING TO INCREASED COSTS FOR NEXT YEAR
NEXT SLIDE, PLEASE
WE WANTED TO HIGHLIGHT COMMUNITY PROGRAMS WE DO THIS EVERY YEAR
WE'RE AT JUST A LITTLE UNDER $20 MILLION INVESTED IN A VARIETY IN 17 PROGRAMS THAT, AS YOU CAN SEE, SUPPORT THINGS LIKE EQUITABLE ECONOMIC OPPORTUNITIES THROUGHOUT THE REGION, HEALTHY COMMUNITIES AND THE ENVIRONMENT
WE JUST HIGHLIGHT A NUMBER OF THEM HERE
YOU'RE VERY FAMILIAR WITH OUR COMMUNITY PROGRAMS WE HAVE A FEW MORE SLIDES AFTER THIS
SO THIS IS JUST AS A REMINDER OF ALL THE GREAT WORK THAT'S GOING ON IN THE COMMUNITY, SUPPORTED BY THE COMMISSION AND OUR RESOURCES
NEXT SLIDE, PLEASE
THIS TAKES A LOOK AT THAT $19 MILLION OF COMMUNITY PROGRAMS AND IT JUST BREAKS IT OUT INTO THE LARGE BUCKETS OR CATEGORIES OF SPENDING
AS YOU CAN SEE, THE LARGEST THREE ARE IN THE EQUITY DIVERSITY INCLUSION CATEGORY AS WELL AS ECONOMIC DEVELOPMENT AND THEN WORKFORCE DEVELOPMENT
THAT'S WHERE THE LARGEST PROPORTION OF OUR DOLLARS ARE BEING SPENT
THERE'S A LOT MORE DETAIL REGARDING THESE PROGRAMS INCLUDED IN THE APPENDIX
AND AGAIN ON THE RIGHT, JUST HIGHLIGHTS AND DOLLAR AMOUNTS ASSOCIATED WITH THE MAJOR PROGRAMS AND AGAIN, I BELIEVE THE COMMISSIONER IS QUITE FAMILIAR WITH THESE
NEXT SLIDE, PLEASE
THIS JUST TAKES A DIFFERENT LOOK AT THE COMMUNITY PROGRAMS AND SUMMARIZES THOSE THAT ARE FUNDED BY THE TAX LEVY
SO SOME, BUT NOT ALL OF THE PROGRAMS ARE FUNDED BY THE TAX LEVY
ABOUT $12 MILLION ARE FUNDED BY THE LEVY
AND THIS TABLE AND SLIDE AND GRAPH JUST HIGHLIGHT THOSE THAT ARE FUNDED BY THE TAX LEVY
SO PUTTING THOSE TAX DOLLARS TO WORK TO SUPPORT THE COMMUNITY
NEXT SLIDE, PLEASE
STEVE ALSO REFERENCED THE CAPITAL IMPROVEMENT PROGRAM
THIS TABLE SUMMARIZES THAT BOTH FOR THE 2024 BUDGET AS WELL AS THE FIVE YEAR LOOK
AS YOU CAN SEE, AS STEVE MENTIONED, IN 2024 WE'RE PLANNING TO SPEND $842,000,000 AND OVER THE NEXT FIVE YEARS, ABOUT $5.6 BILLION
PROBABLY THE LARGEST FIVE YEAR CAPITAL PLAN IN THE HISTORY OF THE PORT
THIS DOES EXCLUDE THE NORTHWEST SEAPORT ALLIANCE CONTRIBUTION THAT THE PORT WILL BE MAKING TOWARDS THAT PROGRAM
STEVE DID MENTION TO THAT IN 2024, WE'LL BE FUNDING $72 MILLION TOWARDS THE SEAPORT ALLIANCE CAPITAL PROGRAM AND $210,000,000 OVER THE NEXT FIVE YEARS TO SUPPORT ACTIVITIES RELATED TO THE SEAPORT ALLIANCE
AND WITH THAT, I'LL TURN IT OVER TO MICHAEL TONG
THANK YOU, DAN
GOOD AFTERNOON, COMMISSIONERS, AND ACCEPT DIRECTOR METRUCK
NEXT SLIDE, PLEASE
SO HERE'S THE SOURCES OF FUND FOR 2024
WE EXPECT ABOUT 2 BILLION SOURCES
FUNDS SOMEWHAT LIKE CASH
YOU CAN THINK OF IT THAT WAY
SO ABOUT HALF OF THAT, A LITTLE BIT OVER 48% OF THE FUND CAME FROM THE OPERATING REVENUES AND THEN EXPECT ABOUT 30% FROM THE PROCEED FOR THE BOND SALES
AND THEN THE REMAINING, YOU CAN SEE THE DETAIL
I WON'T GO INTO THE DETAIL, BUT THE OTHER ITEM I DO WANT TO POINT OUT IS THE TEST LEVY
IT MAKE UP ABOUT 4.3% OF THE EXPECTED TOTAL SOURCES OF FUND FOR 2024
NEXT SLIDE PLEASE
IN TERMS OF THE EXPENDITURE SIDE USERS FUND, WE ALSO EXPECT ABOUT 2 BILLION AND THEN THE BIGGEST PORTION OBVIOUSLY GO TO THE CAPITAL SPENDING A LITTLE BIT OVER 41% AND THEN THE OPERATING EXPENSES WILL TAKE UP ABOUT 30% AND THEN YOU CAN SEE THE REST
ONE THING I DO WANT TO MENTION IS THAT WHEN YOU LOOK AT THE SOURCES OF FUND AND USERS OF FUND, ABOUT 2 BILLION AND ACTUALLY YOU CAN SEE THE USERS IS A LITTLE BIT MORE THAN THE SOURCES OF FUND
WE DO HAVE AN EXPECTED BALANCE OF ABOUT 1.7 BILLION AT THE END OF THE YEAR
SO WE STILL WILL HAVE PRETTY GOOD CASH BALANCE AT THE BEGINNING AND EXPECT AT THE END OF THE YEAR FOR 2024 AS WELL
NEXT SLIDE PLEASE
AND SO ELIZABETH MORRISON AND SCOTT BERTRAM, SORRY BEEFED YOU ON THE JOB PLAN, FINANCE AND TAX LEVY IN THE LAST COMMISSION MEETING
SO I WILL BE REALLY BEEFED TO HIGHLIGHT A FEW KEY POINTS HERE
AGAIN, THE TAX LEVY AMOUNTS APPROVED ANNUALLY BY US BODY OF THE COMMISSIONER AND THEN THE LEVY CAN BE LEVERAGED BY ISRAEL GEOBORN
SO THAT'S REALLY USEFUL TOOL FOR US TO USE THE TAX LEVY TO LEVERAGE THAT
AND THEN CURRENTLY THE PORT USE THE TEST LEVY FOR GEOBORNE DEBT SERVICES, ENVIRONMENTALS, IMMEDIATION, REGIONAL TRANSPORTATION AND ALSO INVEST IN THE MARITIME INFRASTRUCTURE
AND ALSO SOME OF THE COMPANY PROGRAM THAT DAN PILOTED A LITTLE EARLIER
YOU CAN APPROVE THE TESLA FEE AMOUNT UP TO MAXIMUM AMOUNT, WHICH IS ABOUT 115,000,000 IN 2024
AND STOP PROPOSING 86.7 MILLION FOR 2024
NEXT SLIDE PLEASE
AND HERE'S THE KIND OF HIGHLIGHT OF THE OVERALL IMPACT
AGAIN, THE INCREASE WILL BE 4.8% TO 86.7 MILLION FOR 2024
FOR A MEDIUM HOUSEHOLD, WE EXPECT TO PAY ABOUT $90 PIER MEDIUM HOUSEHOLD IN 2024
AND THEN OVERALL THE POST LEVY IS ONLY ABOUT 1.2% OF THE TOTAL PROPERTY TAX LEFT IN KING COUNTY IN THIS YEAR
WE DON'T HAVE THE 2024 NUMBER YET, BUT FOR THIS YEAR, THE ESTIMATES OF 1.2 MILLION FOR THE PORTFOLIO PORTION
NEXT SLIDE PLEASE
AND THEN HERE'S THE FOUR HISTORICAL KIND OF INFORMATION
PROVIDE YOU A LITTLE BIT MORE PERSPECTIVE IF YOU LOOK AT THE LIGHT BULL BAR
WE LOWERED THE TAX THE LAFFY IN 2010 AND KEPT IT THAT WAY FOR ABOUT SIX YEARS AND THEN LOWERED IT AGAIN IN 2016 FOR ABOUT AND KEPT IT THE SAME WEIGHT, ABOUT SAME AMOUNT FOR THREE YEARS AND THEN GRADUALLY INCREASED THAT STARTING FROM 2019
AND PART OF THAT IS BECAUSE WE HAVE LOST OF THE SUPPORT THAT I MENTIONED A LITTLE BIT EARLIER FOR THE COMPLETE PROGRAM
AROUND THAT PERIOD WE INCREASED QUITE A LOT OF THOSE COMMITTEE PROGRAMS SO YOU CAN SEE THE TREND AND OBVIOUSLY FOR OTHER USE THAT I MENTIONED EARLIER AS WELL
AND THEN IN TERMS OF THE DARK BOARD LINE THERE YOU CAN SEE ACTUALLY FOR THE MOST PART IT'S BEEN GOING DOWN AND THEN ESPECIALLY COMPARED TO THE HIGH IN 2012 OR 2011 2012
SO BEEN GOING TRENDING DOWN PARTLY BECAUSE OF THE ASSESSED VALUE OF THE PROPERTY IN THE COUNTY, BEEN GOING UP IN GENERAL
WITH THAT, I'LL TURN IT OVER TO NEXT SLIDE, PLEASE
THANK YOU, MICHAEL
OH, HERE, SORRY, ONE LAST SLIDE
I DO WANT TO APOLOGIZE
THE ADOPTION OF BUDGET IS NOT TODAY, IT'S NEXT TUESDAY
BUT OUR PLAN IS TO FILE THE STATUTORY BUDGET WITH THE COUNTY BY THE END OF THIS MONTH ON NOVEMBER 30, AND THEN WE'LL FINALIZE THE FINAL BUDGET DOCUMENT AND PUBLISH IT ON THE POP WEBSITE BY DECEMBER EIGTH WITH THAT TURNOVER TO BOOK
THANK YOU
DO I NEED TO TURN THIS ON? IT IS
GOOD AFTERNOON COMMISSIONERS
BOOKDA GHEISAR, SENIOR DIRECTOR OF OFFICE OF EQUITY, DIVERSITY AND INCLUSION
I'M HERE TO PRESENT THE EQUITY SPENDING PORTION OF THE BUDGET THAT YOU'VE JUST HEARD
YOU'LL BE REALLY FAMILIAR WITH ALL OF THESE SLIDES AND THE AMOUNTS BECAUSE WE'VE ALREADY PRESENTED THEM TO YOU
BUT IT'S AMAZING NOW THAT WE'RE MOVING FORWARD WITH A COMMITMENT TO EVERY TIME WE TALK ABOUT OUR BUDGET, WE ALSO TALK ABOUT OUR EQUITY SPENDING WITHIN OUR BUDGET AND THIS WORK JUST AS AN INTRODUCTION, JUST SO YOU KNOW, HAS ALREADY RECEIVED A LOT OF ATTENTION
AND JUST THIS MORNING I RECEIVED AN EMAIL FROM AIRPORT COOPERATIVE RESEARCH PROGRAM, WHICH IS A PROGRAM ESTABLISHED BY THE FAA, THAT THEY WILL BE DOING A CASE STUDY OF THE ESAP TOOL THAT WE'VE COME UP WITH AND SHARING IT AS A BEST PRACTICE OF HOW TO INCORPORATE EQUITY PRINCIPLES IN DECISION MAKING IN AIRPORTS WITH ALL OTHER AIRPORTS NATIONALLY
SO THANK YOU, COMMISSIONER MOHAMMED, FOR YOUR VISION FOR THIS WORK
THANK YOU EXECUTIVE DIRECTOR METRUCK, FOR YOUR LEADERSHIP AND ALL COMMISSIONERS FOR YOUR SUPPORT OF THIS NEXT SLIDE, PLEASE
SO WE STARTED THIS WORK IN 2023 WITH YOUR DIRECTION TO LOOK BACK FOR THE LAST FOUR YEARS TO IDENTIFY OUR EQUITY SPENDING
AND BECAUSE WE WERE LOOKING BACK FOR FOUR YEARS, WE WANTED TO REALLY HAVE A WAY TO LOOK AT DOLLARS THAT WERE EASILY IDENTIFIABLE AND MEASURABLE AND ALSO DEFENSIBLE
SO THERE ARE WAYS THAT I CAN SEE OUR DEFINITION AND OUR CRITERIA GROWING IN THE COMING YEARS
BUT WE STARTED WITH THESE THREE DEFINITIONS OF DOLLARS THAT WERE DIRECTLY INVESTED IN COMMUNITIES, DOLLARS THAT WE INVEST IN BUSINESSES AND INDIVIDUALS TO ENHANCE OUR OWN EQUITY WORK INTERNALLY OR EXTERNALLY, AND ALSO THE STAFF WHOSE WORK ARE PRIMARILY EQUITY FOCUSED
THIS IS THE AREA WHERE I THINK WE CAN REALLY GROW THE NUMBERS IN THE COMING YEARS BECAUSE MORE AND MORE PORT STAFF ARE SPENDING TIME DOING EQUITY PROJECTS
BUT AGAIN, BECAUSE THIS WAS LOOKING AT THE LAST FOUR YEARS, WE LOOKED AT STAFF WHO IN THE OFFICE OF EQUITY, WORKFORCE DEVELOPMENT AND DIVERSITY IN CONTRACTING GROW AGAIN
NEXT SLIDE, PLEASE
SO AS THE SECOND FILTER, IF THE DOLLARS MET ONE OF THE DEFINITIONS ON THE FIRST SLIDE, THEN IT HAD TO MEET ONE OF THESE CRITERIAS
THESE SIX CRITERIAS ARE WAYS THAT WE ARE ACTUALLY REPORTING OUT OUR SPENDING
THEY HAVE TO BE ADVANCING DIVERSITY, REMOVING SYSTEMIC BARRIERS
PROGRAMS THAT ARE AGAIN INVESTED DIRECTLY IN COMMUNITIES HAS A DEMONSTRABLE IMPACT IN QUALITY OF LIFE FOR BIPOC COMMUNITIES, INTENTIONALLY DESIGNED TO HAVE AN IMPACT IN BIPOC COMMUNITIES AND ACHIEVES OUR ENVIRONMENTAL JUSTICE GOALS
SO ONE OR MORE OF THESE CRITERIA IS WHAT WE LOOKED TO BE ABLE TO CODE THE SPENDING SO THAT WE COULD REPORT OUT
NEXT SLIDE, PLEASE
SO THIS IS THE WAY THAT WE ARE SEEING OUR EQUITY SPENDING GROWING OVER THE LAST FIVE YEARS
WE CONDUCTED THIS STUDY IN 2023, SO WE LOOKED BACK AT THE FOUR YEARS BEFORE AND NOW MOVING FORWARD, EVERY YEAR WE'LL BE MEASURING OUR EQUITY SPENDING AND ADDING TO THESE NUMBERS
AND THIS DASHBOARD IS ACTUALLY ALREADY AVAILABLE ON OUR WEBSITE AND HAS BEEN SHARED THROUGH PRESS RELEASES AND AVAILABLE FOR EVERYONE TO BE ABLE TO VIEW
NEXT SLIDE, PLEASE
AS A REMINDER, YOUR DIRECTION WAS FOR US TO LOOK AT EQUITY SPENDING ONLY IN OUR OPERATING EXPENSES
SO NONE OF THESE EXPENSES INCLUDES OUR CAPITAL SPENDING
ONE MORE ACTUALLY IMPORTANT INFORMATION IS THAT OUR WMBE SPENDING IS NOT INCLUDED IN THIS
THE REASON FOR THAT IS BECAUSE THOSE NUMBERS ARE ALREADY BEING REPORTED OUT TO YOU AND AVAILABLE
WE DIDN'T WANT TO DOUBLE COUNT THOSE NUMBERS
SO THE DOLLARS THAT YOU SEE HERE ARE TO ADVANCE OUR CAPACITY TO SUPPORT WMBE'S BUT ACTUALLY NOT OUR WMBE SPENDING
THIS IS OUR CRITERIA AND OUR SPENDING
AND AGAIN, THIS DASHBOARD IS AVAILABLE ON OUR WEBSITE AND WE'LL BE EVERY YEAR TRACKING THIS
YOU'LL SEE HOW OUR COMMUNITY INVESTMENTS ARE GROWING OR ADVANCING DIVERSITY
I WANT TO NOTE THAT REMOVING SYSTEMIC BARRIERS, I THINK THAT'S CERTAINLY REALLY INTERESTING TO SEE THAT NUMBER GROWING PRETTY DRAMATICALLY FROM IN THE LAST FEW YEARS
AND THAT'S BECAUSE SOME OF THE EXAMPLES OF WHAT IS IN THAT CATEGORY IS OUR POLICING ASSESSMENT, OUR DIVERSITY AND CONTRACTING STAFF, OUR EDI STAFF AND ALL OF OUR ACCESSIBILITY PROGRAM THAT YOU'LL BE BRIEFED ABOUT TODAY
SO THERE'S A LOT OF DOLLARS THAT ARE INSIDE THAT CRITERIA THAT IS ACTUALLY WE HAVE SEEN GROW A LOT OVER THE LAST FEW YEARS
NEXT SLIDE, PLEASE
THIS IS SPECIFICALLY THE AMOUNT OF TAX LEVY THAT IS COMMITTED TOWARDS OUR EQUITY SPENDING
YOU CAN SEE THAT IN 2000 AND 22,021 WE SUPPORTED A NUMBER OF PROGRAMS THAT WERE AIMED AT ADDRESSING UNEMPLOYMENT ISSUES THAT WAS DIRECTLY CAUSED BY COVID, AND THOSE NUMBERS REALLY SAW A JUMP IN OUR TAX LEVY SPENDING IN THOSE TWO YEARS
SO AGAIN, WE'LL CONTINUE TO TRACK THIS AND REPORT OUT SO THAT WE SPECIFICALLY KNOW HOW MUCH OF OUR TAX LEVY IS DEFINED AS EQUITY SPENDING
AND NEXT SLIDE IS THAT
I THINK THAT MIGHT BE THE LAST SLIDE, YES
THANK YOU AGAIN FOR THIS COMMITMENT
I'M REALLY EXCITED TO CONTINUE DOING THIS WORK AND TO BE SHARING THIS INFORMATION NATIONALLY WITH ALL OTHER GOVERNMENTS
SO THANK YOU
WE'RE HAPPY TO ANSWER ANY QUESTIONS
EXCELLENT
THANK YOU, DAN BOOKDA AND HEIDI AND MICHAEL HAMDI
I HOPE THE PORT IS NOT PAYING FOR YOUR PRIVATE JET FLIGHT RIGHT NOW
ANY QUESTIONS FROM COMMISSIONER AND STAFF ON THIS ITEM? AND THEN WE'LL OPEN UP THE PUBLIC HEARING
COMMISSIONER HASEGAWA, ACCESSIBILITY THANK YOU SO MUCH FOR THAT WONDERFUL PRESENTATION
WE'VE HEARD MOST OF THIS BEFORE, SO JUST A COUPLE OF FOLLOW UP QUESTIONS
I'M REALLY EXCITED ABOUT THE UPDATE
$50,000 MIGHT SOUND LIKE A DROP IN THE BUCKET, BUT A LITTLE BIT CAN GO A LONG WAY
AND I'M REALLY PLEASED TO HEAR THAT $50,000 HAS BEEN DEDICATED FOR LANGUAGE ACCESS
CAN YOU TALK ABOUT THAT INVESTMENT? AND WAS IT A STUDY? AND I HAVE REQUESTED MONEY FOR LANGUAGE ACCESS IN THE BUDGET THAT ORIGINALLY WAS NOT INCORPORATED AS AN OUTCOME OF THE STUDY THAT WE'VE ALREADY DONE
AN ASSESSMENT THAT WE'VE ALREADY DONE SO THAT WE COULD ACTUALLY PAY FOR THE TOP SPOKEN LANGUAGES FOR SOME OF OUR RESOURCES
SO ANY INSIGHT YOU CAN PROVIDE AROUND THAT WOULD BE REALLY HELPFUL
YEAH
SO YOUR QUESTION IS HOW WE PLAN TO SPEND THAT 50,000
SO WE ARE CURRENTLY CONDUCTING AN ASSESSMENT ORGANIZATION WIDE, AND THE LANGUAGE ACCESS MOTION THAT WE PASSED THIS YEAR DIRECTS OUR OFFICE TO COME BACK TO YOU IN FEBRUARY OF NEXT YEAR WITH THE FINDINGS OF THAT ASSESSMENT
A COUPLE OF DEPARTMENTS, SPECIFICALLY EXTERNAL RELATIONS, THEY DID SOME SCANNING OF THEIR LANGUAGE SERVICES SPENDING AND THEY ALREADY INCREASED THEIR SPENDING FOR 2024
BUT OUR PLAN IS TO BEGIN TO DEVELOP A MANUAL THAT COULD BE USED FOR ALL PORT STAFF TO UNDERSTAND HOW TO GET INTERPRETERS, HOW TO DO TRANSLATIONS, WHAT ARE THE LANGUAGES, WHAT ARE THE VITAL DOCUMENTS? SO OUR OFFICE REALLY PLANS TO USE CONSULTANT TO DO THAT WORK AS QUICKLY AS POSSIBLE
VERY GOOD
OKAY
THANK YOU FOR THAT CLARIFICATION
THAT'S AN EXCITING PIECE OF WHERE THE RUBBER MEETS THE ROAD
AND THEN MY LAST QUESTION IS, IN THE LAST PRESENTATION, I HAD ASKED IF IT WOULD MENTION THAT I CONSIDER US AS ONE OF THE PRIMARY AUDIENCES FOR THIS BUDGET DOCUMENT THAT YOU PRESENT TO US AND HOW IMPORTANT IT IS FOR US AS COMMISSIONERS WHO REPRESENT COMMUNITY MEMBERS WITH PRIORITIES TO BE ABLE TO SEE HOW OUR ASKS ARE REPRESENTED
WILL ONE OF THOSE NEW SECTIONS THAT ARE NOT YET REPRESENTED INTO THIS INCLUDE A COMMISSIONER ASK SECTION? I BELIEVE OUR PLAN RIGHT AT THIS POINT IS TO PUT SOME MORE INFORMATION IN THE FINAL BUDGET DOCUMENT
SO THE DOCUMENT YOU HAVE NOW THAT WAS RELEASED A FEW WEEKS AGO IS OUR PRELIMINARY DOCUMENT, AND ONCE WE FINALIZE THE BUDGET, WE WILL UPDATE ALL THE NUMBERS FOR ALL THE CHANGES, AND THE PLAN IS TO PUT IN SOME INFORMATION THERE THAT DOES REFLECT THE COMMISSIONER ASKS
THANK YOU VERY MUCH
PERHAPS MORE IN A NARRATIVE FORM, COMMISSIONER, AS WE LOOK AT IT, BUT IT WILL TELL WE'RE LOOKING FOR THAT INCLUSION IN THERE
ALL RIGHT, WHOEVER'S ONLINE NEEDS TO MUTE BECAUSE WE CAN HEAR THE FEEDBACK FROM THE COMMISSION MEETING
COMMISSIONER FELLEMAN, THANK YOU VERY MUCH FOR THAT HIGH LEVEL SUMMARY OF WHAT IS A VERY DETAILED DOCUMENT AND ALL THE WORK YOU'VE DONE TO MAKE THAT POSSIBLE
ONE OF THE WAYS IN WHICH WE CAN SHARE WITH THE PUBLIC ABOUT WHAT'S IN THERE IS THE BUDGET AND BRIEF
AND I KNOW WE'VE WORKED VERY HARD TOGETHER OVER THE YEARS TO GET IT BRIEF
AND I'M JUST WONDERING, IS OUR DRAFT BUDGET AND BURIEN OUT ON THE STREETS FOR THE PUBLIC'S DISTILLATION? YES, IT HAS BEEN PUBLISHED ON OUR WEBSITE
I BELIEVE THAT'S TRUE
I SAW SOMETHING TO THAT EFFECT
AND AGAIN, JUST KUDOS TO ALL THE FOLKS WHO WORKED ON IT, FROM THE PUBLIC AFFAIRS STAFF TO FINANCE STAFF
I KNOW COMMISSIONERS HAD SOME INPUT, EXECUTIVE TEAM
SO I THINK THAT IT'S A QUALITY PRODUCT BASED ON ALL THAT INPUT
I THINK THOSE ARE REALLY VALUABLE, ALTHOUGH I'VE MISSED THIS ONE
AND PERHAPS WE CAN MAKE SURE THAT EVERY PUBLIC COMMISSIONER GET IT, MAYBE AS A SEPARATE FILE SO IT DOESN'T GET LOST IN THE SAUCE
THE ONLY OTHER SPECIFIC COMMENT I HAVE WAS WHEN YOU LOOK AT THE RELATIVE SPENDING ON ENVIRONMENTAL PROGRAMMING, THAT IT IS REMARKABLY SMALL COMPARED TO THE OTHER PROGRAMS, AND GIVEN THE PRIORITIES WE PUT ON SUSTAINABILITY, AND CERTAINLY TOUT IT, I'M JUST WONDERING IF YOU CAN GO BACK TO THAT SLIDE AND MAYBE HELP ME UNDERSTAND WHAT'S MAYBE NOT INCLUDED PROGRAM SLIDE
NO, THE MORE EQUITY CRITERIA
BACK FURTHER
BEFORE YOUR PRESENTATION, THERE WAS, I'M SORRY
IT MAY BE THE COMMUNITY PROGRAM SLIDES
I THINK IT WAS IN THE CLERK HART
BUT I THINK THAT WAS NOT JUST LIMITED TO IT WAS ENVIRONMENT RELATIVE TO ALL THE PROGRAMS, NOT JUST THE COMMUNITY PROGRAMS YOU'RE TALKING ABOUT SLIDE
IT WAS EARLIER ON
I TRIED NOT TO INTERRUPT
THE ONLY PIE CHART WAS ON SLIDE TEN
THIS IS IT HERE
I'M PRETTY SURE THERE'S ANOTHER ONE
I THINK IT WAS WITH GREEN
THERE WE GO
THIS IS JUST THOSE THAT ARE FUNDED BY THE LEVY
I GOT IT RIGHT
SO FORTY K OF THAT IS FROM THE LEVEE
I WOULD SAY THIS IS JUST A SUBSET OF ALL THE PORT ENVIRONMENTAL PROGRAMS AND I DON'T KNOW IF ANYONE FROM ENVIRONMENTAL IS HERE, BUT THERE'S A LOT OF OTHER THINGS THAT ARE DOING THAT ARE BEING FUNDED BY THE OPERATING DIVISIONS THAT ARE ENVIRONMENTALLY RELATED
SANDY KILROY'S WHOLE TEAM, ALL THE WORK THAT THEY'RE DOING, SOME OF THAT IS CAPTURED HERE
BUT THEY HAVE A LOT OF OTHER PROGRAMS LIKE THE GREEN CORRIDOR AS AN EXAMPLE, IS NOT REFLECTED HERE
RIGHT
WELL, THE ONLY OTHER THING WE'RE GOING TO HAVE THAT COME UP RIGHT AFTER THIS IS THE DISCUSSION OF OUR ENVIRONMENTAL LIABILITIES, WHICH IS AN ENORMOUS NUMBER
AND WE ARE SPECIFICALLY CALLING FOR IT TO COME OUT OF THE LEVY
SO HOW IS THAT KIND OF REFLECTED THERE? BECAUSE THIS IS OUR OPERATING EXPENSE
SO WE REALLY FOCUS ON THE OPERATING BUDGET IN THESE CONVERSATIONS
THE ENVIRONMENTAL MITIGATION, THE REMEDIATION LIABILITY IS TECHNICALLY A NON OPERATING EXPENSE
SO IT DOESN'T GET THE SAME VISIBILITY IN THESE PRESENTATIONS
BUT YOU'RE RIGHT, IT'S A BIG COMPONENT
IT'S MORE LIKE CAPITAL
IT'S MORE OF A DEEPER DIVE
IT'S NOT CAPITAL
I APPRECIATE THAT DISTINCTION
IT WOULD BE KIND OF GOOD JUST TO SEE MAYBE ANOTHER PIE CHART
BUY CAPITAL
YEAH, WE COULD PROVIDE MORE INFORMATION LIKE THAT
IT'S TECHNICALLY A NON OPERATING EXPENSE
SO IT'S A LITTLE BIT OF A UNIQUE CATEGORY, BUT WE CAN CERTAINLY BREAK THAT OUT
IT'S NOT SHARED BY ANY OTHER PROGRAMS THAT WOULD BE JUST A STANDALONE TYPE BREAKOUT
WELL, IT'S A DIFFERENT SECTION OF OUR BUDGET
IT'S A NON OPERATING PIECE
WE DO HAVE A SLIDE IN THE APPENDIX, I'M NOT SURE WHICH
AND IF I MAY ALSO I DO WANT TO POINT OUT FOR THE OPERATING EXPENSES AGAIN, THE 40,000 THERE IS JUST FUNDED THE PORTION FUNDED BY TAX LEVY
THE OVERALL OPERATING EXPENSES FOR THE ENVIRONMENTAL STARSHIP IS 20.1 MILLION FOR 2024
SO THE OVERALL IS MUCH BIGGER
AND THEN ON TOP THAT WE ALSO HAVE THE LONG OPERATING EXPENSES THAT SUPPORT IT
AND JUST FOR REFERENCE OF THE NON OPERATING, THE ENVIRONMENTAL REMEDIATION LIABILITY EXPENDITURES PLAN FOR NEXT YEAR ABOUT $10.4 MILLION
AND YOU'RE GOING TO HEAR MORE ABOUT THAT
WE'RE GOING TO TALK ABOUT SETTING ASIDE $30 MILLION
I JUST REALIZED THAT'S JUST FOR 2024
YEAH
I JUST APPRECIATE THAT THIS IS JUST A SMALL SLICE
YOU'RE RIGHT
AND I JUST THOUGHT THE LEVY WAS COVERING THIS ENVIRONMENTAL LIABILITY, AND IT DOES
SO I APOLOGIZE
PERHAPS IN FUTURE PRESENTATIONS WE'LL MAYBE SPOTLIGHT THAT COMPONENT, BECAUSE I THINK IT'S ONE OF THE GREAT THINGS
IMPORTANT THING
NOBODY WOULD AMORTIZE THE KIND OF EXPENSES WE INCUR TO GET POLLUTION OUT OF THE ENVIRONMENT
AND SO WHEN YOU THINK ABOUT WHERE YOUR TAX DOLLARS GO, THIS IS A HUGE BENEFIT THE PORT BRINGS
VERY GOOD POINT
AND WE WILL FACTOR THAT IN THE FUTURE PRESENTATION
YES, JUST THAT, COMMISSIONER, I TAKE COMMISSIONER FELLEMAN'S POINT ON THAT, IS THAT PERHAPS, AND I'M NOT SURE, I GOT TO LOOK TO SEE HOW WE REFLECT THAT, THE ROLL UP OF ALL THOSE DIFFERENT ENVIRONMENTAL PROGRAMS AND THAT'S WHAT I HEAR YOU DESCRIBING, HOW THAT COULD TELL A BIGGER, DIFFERENT STORY
I MEAN, THAT'S ALWAYS THE THING WITH THE BUDGET OF HOW YOU SLICE IT AND ASSEMBLE IT
RIGHT
I HEAR WHAT YOU'RE SAYING ABOUT THAT
EVERYBODY SAYS IN ENVIRONMENT, THE BUDGET REFLECTS YOUR PRIORITIES, AND THAT LOOKS KIND OF DIFFERENT
LOWER PRIORITY
RIGHT
IF YOU LOOK AT THAT
I KNOW THAT I'M TRYING TO SEE AS A COMMUNICATION DOCUMENT
I SAW SANDY HAD HER HAND UP, BUT MAYBE THAT WAS ALREADY COVERED
YEAH, I THINK DAN ANSWERED IT
WHAT WAS PRESENTED DOES NOT REFLECT OUR TOTAL ENVIRONMENTAL INVESTMENTS
IT WAS REALLY JUST A CROSS CUT OF THE COMMUNITY AND OEDI OVERLAY
SO WE'D BE HAPPY TO SHOW THE TOTAL ENVIRONMENTAL EXPENSES TO YOU
THANKS
GREAT
ALL RIGHT
WELL, IF THERE ARE NO FURTHER QUESTIONS FROM COMMISSIONERS AT THIS TIME, I'LL GO AHEAD AND OPEN THE PUBLIC HEARING ON RESOLUTIONS NUMBER 3814 AND 3815
EACH SPEAKER HAS TWO MINUTES TO ADDRESS THE COMMISSION
CLERK HART, DO WE HAVE ANYONE SIGNED UP TO GIVE TESTIMONY ON THIS ITEM? WHO'S STILL HERE? MR COMMISSION PRESIDENT? WE DID HAVE ONE PERSON SIGN UP, HOWEVER, I BELIEVE THEY'VE EXITED THE ROOM, IF YOU WANT TO CALL THEIR NAME, JUST IN CASE THEY ARE IN EARSHOT OR JOINED US VIRTUALLY
SURE
ALEX ZIMMERMAN
NOPE
ALL RIGHT
YOU'RE LOST
ALL RIGHT
HAVING NO ADDITIONAL SPEAKERS, I'LL GO AHEAD AND CLOSE THIS PUBLIC HEARING AND MOVE DISCUSSION TO THE COMMISSION
IS THERE A MOTION TO INTRODUCE RESOLUTIONS NUMBER THREE ONE FOUR AND THREE ONE FIVE SECOND? THE MOTION WAS MADE AND SECONDED
COMMISSIONER, ARE THERE ANY ADDITIONAL QUESTIONS AT THIS TIME? GREAT
SEEING NO FURTHER DISCUSSION, CLERK HART, PLEASE CALL THE ROLL FOR THE VOTE
COMMISSIONERS, PLEASE SAY I OR NAME WHEN YOUR NAME IS
AND LET ME JUST CLARIFY FOR THE RECORD THIS IS FIRST READING AND WE WILL BE PASSING THE BUDGET OFFICIALLY ON THE NEXT TUESDAY OR NEXT TUESDAY MEETING
THAT'S CORRECT
CORRECT
YEAH
FOR THE VOTE ON INTRODUCTION OF THESE TWO RESOLUTIONS, BEGINNING WITH COMMISSIONER CALKINS
AYE
THANK YOU
COMMISSIONER FELLEMAN
AYE
THANK YOU
COMMISSIONER HASEGAWA
AYE
THANK YOU
COMMISSIONER MOHAMMED
AYE
THANK YOU
AND COMMISSIONER CHO
AYE
THANK YOU
FIVE AYES, ZERO AND NAYS FOR THIS ITEM
EXCELLENT
MOTION TO INTRODUCE RESOLUTION NUMBER 3814 AND 3815 PASSES
THIS ITEM WILL BE BACK AGAIN BEFORE COMMISSION FOR FULL CONSIDERATION AND PASSAGE ON NOVEMBER 21
ALL RIGHT, CLERK HART, PLEASE READ THE NEXT ITEM INTO THE RECORD AND SPECIAL ADVISOR VIEW NGUYEN WILL THEN INTRODUCE IT
THANK YOU
THIS IS AGENDA ITEM TEN C, ORDER NUMBER 2020 315, AN ORDER OF THE PORT OF SEATTLE COMMISSION TO ESTABLISH AN ENVIRONMENTAL LEGACY FUND WITHIN THE PORT PUGET AND PLAN OF FINANCE
GOOD AFTERNOON, COMMISSIONERS
FOR THE RECORD, MY NAME IS V
NGUYEN, COMMISSION OFFICE STRATEGIC ADVISOR
I'M HERE WITH TYLER EMSKY, ALSO OF THE COMMISSION OFFICE, AND DAN THOMAS, CHIEF FINANCIAL OFFICER HERE AT THE PORT
WE'RE HERE TODAY TO BRIEF YOU ON THIS ITEM OF NEW BUSINESS, THE ENVIRONMENTAL LEGACY FUND ORDER
I'D LIKE TO START WITH GROUNDSETTING ON THIS ITEM
THANK YOU
THE PORT CENTURY AGENDA
GOALS FOUR AND SIX DETAIL OUR VISION TO BE THE GREENEST AND MOST ENERGY EFFICIENT PORT IN NORTH AMERICA, AS WELL AS BEING A HIGHLY EFFECTIVE PUBLIC AGENCY TO ADVANCE OUR GOAL OF BEING THE GREENEST PORT IN NORTH AMERICA
WE HAVE OBJECTIVES TO REDUCE POLLUTANTS RELATED TO PORT OPERATIONS OR OPERATIONS OF OUR TENANTS, PAST AND PRESENT
WE ALSO HAVE OBJECTIVES TO WORK TO RESTORE THOSE HABITATS TO ACHIEVE OUR GOAL OF BEING A HIGHLY EFFECTIVE PUBLIC AGENCY
FINANCIAL STEWARDSHIP IS A VALUE THAT WILL ENABLE US TO AYE
OTHER OBJECTIVES, SUCH AS PARTNERING AND ENGAGING WITH EXTERNAL STAKEHOLDERS TO BUILD HEALTHY, SAFE, AND EQUITABLE COMMUNITIES
NEXT SLIDE, PLEASE
THE ENVIRONMENTAL LEGACY FUND ORDER BEFORE YOU TODAY SETS OUT TO ADVANCE THESE GOALS AND OBJECTIVES SET IN THE CENTURY AGENDA
THE PORT, ALONG WITH OTHER POTENTIAL RESPONSIBLE PARTIES, PARTICIPATES IN THE CLEANUP OF CONTAMINATION FROM HISTORIC PRACTICES AND OPERATIONS
THE PORT ANTICIPATES SPENDING AROUND 100 MILLION ON CLEANUP PROJECTS IN THE COMING YEARS
THIS ORDER CREATES A FINANCIAL PLANNING TOOL FOR ENVIRONMENTAL CLEANUP SO THAT WE MAY BUILD UP RESOURCES IN A PREDICTABLE WAY
ALL RIGHT, NEXT SLIDE, PLEASE
OKAY, SO WE JUST WENT THROUGH A GLOBAL CRISIS THAT SHOWED THE INCREDIBLE VALUE OF HAVING STRONG FINANCIAL RESERVES
THE PORT MAINTAINED ITS ECONOMIC ACTIVITY DURING THE PANDEMIC BECAUSE WE WERE PREPARED
WE WANT TO BRING THAT APPROACH TO THE ENVIRONMENTAL CLEANUP PLANNING
ESTABLISHING THE ENVIRONMENTAL LEGACY FUND WILL ALLOW US TO RAISE REVENUE FOR THESE CLEANUPS OVER TIME THROUGH THE PORT PROPERTY TAX LEVY INSTEAD OF TRYING TO COLLECT ALL THE MONEY IN A SHORT PERIOD THROUGH HIGH LEVY INCREASES
SETTING ASIDE FUNDS FOR CLEANUP ALSO GIVES THE PORT INCREASED FLEXIBILITY TO CONTINUE WORK ON OTHER IMPORTANT TAX LEVY FUNDED PROJECTS LIKE MARITIME CAPITAL IMPROVEMENT AND ECONOMIC DEVELOPMENT PROGRAMS THIS IS A PRUDENT PLANNING APPROACH
WE WILL START THE FUND WITH 30 MILLION IN PROPERTY TAX LEVY PREVIOUSLY COLLECTED BY THE PORT
NEXT SLIDE, PLEASE
OKAY, SO NOW WE'RE GOING TO GO AHEAD AND READ THROUGH THE TEXT OF THE ORDER AND READ THAT INTO THE RECORD
THE PORT COMMISSION HEREBY DIRECTS THE EXECUTIVE DIRECTOR TO CREATE A DEDICATED ENVIRONMENTAL LEGACY FUND WITH THE FOLLOWING PROPERTIES
THE ENVIRONMENTAL LEGACY FUND SHALL BE ESTABLISHED WITHIN THE PORT'S OVERALL FINANCIAL STRUCTURE
FUNDS WITHIN THIS ACCOUNT SHALL ONLY BE USED FOR THE PURPOSES OUTLINED BELOW
ASSETS IN THE FUND SHALL BE USED EXCLUSIVELY FOR COSTS RELATED TO ENVIRONMENTAL CLEANUP OF CONTAMINATION FROM HISTORICAL INDUSTRIAL OPERATIONS ON PROPERTIES ACQUIRED BY THE PORT AND OR PRIOR PORT OR PORT TENANT OPERATIONS
ELIGIBLE ACTIVITIES SHALL INCLUDE ENVIRONMENTAL INVESTIGATIONS, TESTING, ANALYSIS, DESIGN, CLEANUP AND MONITORING FOR ACTIVE SITES, AS WELL AS INITIATION OF SIMILAR ACTIVITIES FOR NEW SITES
THIS FUND WILL ONLY INCLUDE DEPOSITS OF PORT PROPERTY TAX LEVY FUNDS
ADDITIONAL FUNDS USED TOWARD THE PORT'S ENVIRONMENTAL CLEANUP EFFORTS, INCLUDING, BUT NOT LIMITED TO, THE PORT'S GENERAL FUND
CONTRIBUTIONS FROM THIRD PARTIES OR LEGAL SETTLEMENTS WITH THOSE PARTIES
INSURANCE RECOVERIES AND WASHINGTON STATE DEPARTMENT OF ECOLOGY GRANTS WILL BE MANAGED SEPARATELY, BUT IN COORDINATION WITH EXPENDITURES FROM THE NEW ENVIRONMENTAL LEGACY FUND
FOUR THE EXECUTIVE DIRECTOR SHALL RECOMMEND A DEPOSIT OF 30 MILLION IN PROPERTY TAX LEVY REVENUES INTO THE FUND TO CEDE THE CREATION OF THIS ACCOUNT AND FIVE IN SUBSEQUENT YEARS
THE EXECUTIVE DIRECTOR SHALL MAKE AN ANNUAL RECOMMENDATION THROUGH THE BUDGET PROCESS ABOUT DESIGNATION, ABOUT DESIGNATING ADDITIONAL INCREMENTS OF PROPERTY TAX LEVY DOLLARS TO BE DEPOSITED INTO THE FUND
WITH THAT, WE ARE THANKFUL FOR DAN THOMAS TO JOIN US FOR ANY QUESTIONS YOU MAY HAVE ABOUT THIS ORDER AND TURN THIS BACK OVER TO COMMISSIONER PRESIDENT CHO EXCELLENT
THANK YOU SO MUCH BOTH TO V AND TYLER FOR THAT EXCELLENT PRESENTATION AND YOUR TERRIFIC WORK ON THIS
I'M GLAD BOTH OF YOU WERE ABLE TO PRESENT TO US ON THIS
ANY QUESTIONS FROM COMMISSIONERS OF STAFF AND OR DAN THOMAS REGARDING THE ENVIRONMENTAL LEGACY FUND? COMMISSIONER CALKINS, MINE IS JUST TO SAY THANK YOU FOR A LOT OF WORK ON WHAT, YOU KNOW, SORT OF GESTATED BACK SIX MONTHS AGO AT THE OUTSET OF OUR PUGET PROCESS IS SORT OF AN IDEA FOR FISCAL RESPONSIBILITY AND ENSURING THAT THERE WOULD BE NO FINANCIAL IMPEDIMENT TO OUR ABILITY TO FULFILL OUR RESPONSIBILITIES
AND I KNOW YOUR TEAM WAS KIND OF LEAD ON THAT
I KNOW LEGAL HAD A LOT TO SAY ABOUT HOW WE CRAFTED IT TO MAKE SURE THAT WE WERE GOOD STEWARDS OF PUBLIC RESOURCES AND ALSO JUST FROM WHAT WAS KIND OF A VERY RAW DRAFT IDEA TO WHAT I THINK IS A VERY SOLID EXAMPLE THAT HONESTLY OTHER PUBLIC AGENCIES SHOULD FOLLOW AS WE MOVE FORWARD
THANK YOU, COMMISSIONER CALKINS
ANYONE ELSE? COMMISSIONER HASEGAWA, THANK YOU
SO I'M WONDERING, TO CLARIFY, WE WILL MAKE AN INITIAL $30 MILLION DEPOSIT INTO THIS ACCOUNT TO ESTABLISH THE FUND, AND THEN HOW FREQUENTLY WILL SUBSEQUENT DEPOSITS BE MADE? OUR PLAN, COMMISSIONER, IS TO ACTUALLY BRING THIS TO THE COMMISSION EVERY YEAR AS PART OF OUR PLAN OF FINANCE AND TAX LEVY DISCUSSION
SO AS STAFF ANALYZES OUR FORECASTED NEEDS AND RESOURCES, THEY WILL TRY TO IDENTIFY IF THERE ARE SOME ADDITIONAL FUNDS THAT CAN BE DEPOSITED, AND IT WOULD BE A RECOMMENDATION TO THE PORT COMMISSION AS PART OF THAT PROCESS IN THE FALL
DOES THIS FUND PRECLUDE CONTRIBUTIONS FROM ANY OTHER SOURCES BESIDES THE TAX LEVY? OUR RECOMMENDATION IS TO KEEP IT LIMITED TO THE TAX LEVY BECAUSE THAT IS THE PRIMARY SOURCE OF FUNDS THAT WE USE FOR ENVIRONMENTAL MITIGATION AND REMEDIATION LIABILITIES
THE TAX LEVY DOES HAVE SOME ADDITIONAL RESTRICTIONS ON IT THAT OTHER FUNDS DON'T, AND OUR PREFERENCE IS TO KEEP THOSE OTHER FUNDS UNRESTRICTED FOR OTHER PURPOSES
VERY GOOD
THANK YOU
THANK YOU, COMMISSIONER
ANY OTHER QUESTIONS FOR THE COMMISSIONER? COMMISSIONER FOR COMMISSIONER FOR DAN, GO AHEAD
THANK YOU
I HAVE TWO QUESTIONS
ONE IS THE SORT OF FOLLOWING UP ON COMMISSIONER HASEGAWA'S QUESTION
IT STRIKES ME THAT THE FUNDS COLLECTED FROM EITHER INSURANCE RECOVERIES, FROM CLEANUPS THAT WE'VE INCURRED, OR LEGAL SETTLEMENTS THAT ARE SPECIFIC TO THE PROJECT AT HAND, THAT THOSE FUNDS, CLEANUPS SHOULD PAY FOR CLEANUP
RIGHT
SO IF WE'RE GOING TO GET A REFUND, SHALL WE SAY, ON EXPENDITURES THAT INCURRED ASSOCIATED WITH THAT, SHOULDN'T THOSE MONIES BE PRIORITIZED TO BE PUT BACK IN RATHER THAN THE LEVY? WELL, OUR PRACTICE HAS BEEN TO PUT THOSE RECOVERIES BACK INTO THE GENERAL FUND AGAIN, BECAUSE THAT IS A TOTALLY UNRESTRICTED SOURCE OF FUNDING THAT IT COULD BE USED FOR ANY PURPOSES
AND THE USES THAT POTENTIALLY SURFACED BACK DURING THE PANDEMIC WAS WHEN WE WERE EXPERIENCING SIGNIFICANTLY REDUCED REVENUES
IN A PINCH, WE MIGHT HAVE HAD TO USE SOME OF THOSE FUNDS TO PAY DEBT SERVICE, AS AN EXAMPLE, REVENUE BOND DEBT SERVICE
WE CAN'T USE THE TAX LEVY FOR THAT
SO OUR PREFERENCE IS NOT TO COMMINGLE THOSE FUNDS BECAUSE THEN WE WOULDN'T BE ABLE TO ACCESS THEM FOR EMERGENCY PURPOSES
IT DOESN'T SAY WE CAN'T USE THEM FOR ENVIRONMENTAL CLEANUP ACTIVITIES, BUT FOR THIS FUND, OUR PREFERENCE IS TO JUST PUT TAX LEVY DOLLARS IN AND NOT COMMINGLE THEM WITH THOSE OTHER DOLLARS
BUT IT'S TAX LEVY FUNDS THAT WERE USED TO INITIATE THE CLEANUP AND THEN TO DO RECOVERY IN SOME CASES
SOME OF THESE GO BACK A LONG TIME, SO IT DEPENDS ON THE TIME PERIOD
BUT MORE RECENTLY, YOU'RE CORRECT, BUT SOME MAY HAVE PRECLUDED THE TIME WHEN WE WERE USING TAX LEVY FUNDS FOR CLEANUPS
SO ACTUALLY, MY POINT IS, I THINK, NOT TO COMMINGLE THE FUNDS IS THE POINT YOU'RE MAKING
AND I'M SUGGESTING THAT FUNDS THAT WERE USED TO INITIATE CLEANUP SHOULD BE USED TO PUT IT IN THE PIGGY BANK
AND SO THAT, I THINK IS MORE TO YOUR POINT ABOUT NOT COMMINGLING
BUT THE FLEXIBILITY IS ONE THING
IT SEEMS TO ME THAT THE AMOUNT THAT YOU WOULD PUT IN IN ANY GIVEN YEAR, YOUR GOAL IS 30 MILLION OR WHATEVER, BUT IT DOESN'T MEAN YOU HAVE TO
BUT I CERTAINLY WOULDN'T WANT TO PRECLUDE IT
I MEAN, I GUESS IT'S NOT PRECLUDED IN THE, IT SAYS THAT ARE LIMITED BUT NOT LIMITED TO THE PORT'S GENERAL FUND CONTRIBUTION TO THIRD PARTIES, LEGAL SETTLEMENTS OR OTHER PARTIES
SO THE ADDITIONAL FUNDS USED TOWARDS THE PORT'S ENVIRONMENTAL CLEANUPS INCLUDE, BUT ARE NOT LIMITED TO
SO THIS WOULD BE ALLOWED FOR
BUT YOUR PREFERENCES FOR THE LEVY, RIGHT? YEAH
AND AGAIN, THAT CAN BE PART OF THE ANNUAL RECOMMENDATION THAT WE MAKE TO THE COMMISSION WE'RE RECOMMENDING WE PUT THESE DOLLARS IN, BUT NOT BECAUSE SOME YEARS WE'LL HAVE LIKE A WINDFALL, SOME YEARS WE'LL HAVE A GREAT SETTLEMENT
AND IT JUST SEEMS TO ME IF WE CAN NOT BURDEN THE TAX LEVY AND DO OTHER SOCIETAL GOOD DEEDS WITH THE FLEXIBILITY OF THE LEVY RATHER THAN IT JUST BEING THE BUFFER
ANYWAY, THAT'S WHAT I WOULD LIKE TO SEE THAT CONVERSATION
AND THEN FINALLY, I DON'T UNDERSTAND
I GUESS IT'S LIKE THE LAST SENTENCE
HOW IS IT THAT SETTING ASIDE THIS MONEY NOW, WHICH IS I SUPPORT, PROVIDES MORE ABILITY TO CONTINUE PURSUING OTHER IMPORTANT TAX LEVY FUNDED PROJECTS? IT SEEMS TO ME YOU ARE SETTING ASIDE THIS MONEY AND THEREFORE HAVING LESS FLEXIBILITY
I'M NOT SURE ABOUT THAT PARTICULAR FEATURE
CAN I TAKE A SHOT AT THAT? YEAH, SURE
I THINK IT'S SOMETHING WE TALKED ABOUT QUITE A BIT, WHICH IS BECAUSE THE LEVY ON ANY GIVEN YEAR IS A TAKE IT OR LEAVE IT KIND OF THING, WE CAN'T RETROACTIVELY GO BACK AND GRAB THOSE FUNDS
ONE CAN IMAGINE A SCENARIO WHEN A LIABILITY BILL COMES DUE IN WHICH WE NEED TO TAP INTO THE LEVY THAT YEAR, BUT FOR THE FACT THAT WE'VE SAVED THESE FUNDS THAT WE CAN USE IN LIEU OF USING LEVY FUNDS IN THAT GIVEN YEAR FOR THE ENVIRONMENTAL REMEDIATION SO IT PROVIDES US WITH FLEXIBILITY IN FUTURE YEARS TO DETERMINE WHETHER WE'RE GOING TO USE LEVY FUNDS OR THIS ENVIRONMENTAL LEGACY FUND TO PAY THE BILLS THAT ARE DUE IN THAT MOMENT
RIGHT
WHAT I WOULD SAY IS THAT IT PROVIDES US PREDICTABILITY AND IT DOESN'T CREATE LUMPINESS IN OUR SPENDING OF THE TAX LEVY BECAUSE WE'RE BANKING MONEY
IF ONE YEAR WE NEED TO SPEND $50 MILLION, THAT WOULD BE $50 MILLION TAKEN AWAY FROM WHAT WE NORMALLY WOULD TAKE ON AN ANNUAL BASIS
BUT BECAUSE WE'RE BANKING IT GRADUALLY, WE DON'T HAVE TO TAKE AWAY FROM AN ANNUAL TAX LEVY FUNDING
DOES THAT MAKE SENSE? I THINK YOUR POINT ABOUT PREDICTABILITY IS THE PUNCHLINE
SO THAT WAY YOU CAN BUDGET FOR NOT HAVING THAT MONEY BECAUSE IT'S A LESSER AMOUNT THAT YOU ULTIMATELY HAVE TO SPEND ON LEVY, EXCEPT FOR IN THE FUTURE, YOU THEN MIGHT HAVE SOME UNEXPECTED LARGER EXPENSE
SO IT IS HEDGING THE FUTURE, BUT IN THE MEANTIME, YOU CAN BUDGET ON $30 MILLION LESS PER YEAR
AND SO I THINK THE PREDICTABILITY VALUE IS REALLY HOW YOU CAN BUDGET AROUND THAT, WHICH IS, I JUST DON'T THINK THAT IS REFLECTED AS CLEARLY AS IT MIGHT BE
IS THAT THE ACTUAL STATEMENT? IT'S, I THINK, JUST A STATEMENT IN SUPPORT OF THE ORDER SO IT DOESN'T CHANGE THE ORDER AT ALL
AND MY PREVIOUS STATEMENT THAT IT DOESN'T PRECLUDE US FROM USING SETTLEMENT MONIES
SO I FULLY SUPPORT THIS
GREAT
THANK YOU SO MUCH
ANY OTHER COMMISSIONER
MOHAMED, I ALSO WANT TO SAY THANK YOU FOR THE PROACTIVE THINKING AROUND THIS
MAYBE THIS QUESTION IS FOR PETE RAMOS FOR THE BENEFIT OF THE PUBLIC
SINCE WE'RE TALKING ABOUT TAX LEVY DOLLARS AND PUTTING THESE DOLLARS ASIDE, THE ENVIRONMENTAL LIABILITY CASES, HOW DOES THAT COME TO THE PUBLIC? WHEN DOES THE PUBLIC GET DAYLIGHTED ON THAT? CONSIDERING THE DOLLARS THAT WE ARE USING ARE PUBLIC DOLLARS AND THOSE CASES ARE ENVIRONMENTAL LIABILITY CASES THAT THE PUBLIC WOULD BE INTERESTED IN
YEAH
THERE IS A WHOLE WORLD OF LITIGATION AND NEGOTIATION THAT GOES ON BEHIND THE SCENES FOR THESE LEGALLY MANDATED CLEANUP PROCESSES, AND THERE'S MANY POTENTIAL CONTRIBUTORS TO IT
AND OVER TIME, OFTEN THEY NEGOTIATE A RESOLUTION WHERE THEY ALLOCATE COSTS
AND ULTIMATELY THE EPA MAY ISSUE A CONSENT ORDER OR THE WASHINGTON STATE DEPARTMENT OF ECOLOGY MAY ISSUE A CLEANUP ORDER, AND THAT OUTLINES FOR THE PUBLIC WHO'S DOING THE CLEANUP, AND THAT WILL COME IN FRONT OF THE COMMISSION FOR US TO BE ABLE TO TAKE A VOTE ON IT BEFORE THOSE DOLLARS ARE USED FOR ANY OF THOSE ENVIRONMENTAL LIABILITY CLEANUPS
THAT IS A GOOD QUESTION
I'M NOT SURE HOW YOU VOTE BUDGET WISE FOR EACH OF THOSE CLEANUPS
I'M NOT SURE HOW THAT SHOWS UP IN THE BUDGET? WELL, I THINK NEXT WEEK, ACTUALLY, THERE'S GOING TO BE AN ACTION ITEM ON AUTHORIZING THE EXPENDITURES FOR 2024 ON THE ENVIRONMENTAL CLEANUPS
I THINK THE SPECIFIC PROJECTS ARE OFTEN KEPT CONFIDENTIAL BECAUSE OFTENTIMES THEY'RE STILL NEGOTIATING WITH ERPS AND OTHER
RIGHT
THE ENVIRONMENTAL REMEDIATION LIABILITY FUND YOU'LL VOTE ON NEXT WEEK
AND IT'S A WHOLE PICTURE OF THE AMOUNT OF FUNDING FOR THE YEAR, BUT NOT SAYING WE'RE DOING THIS AMOUNT FOR X CLEANUP SITE
SO ONCE THE NEGOTIATIONS ARE COMPLETED AND A SETTLEMENT HAS BEEN REACHED, WE CAN ASSUME THAT IT WILL COME IN FRONT OF THE COMMISSIONER
SO THE PUBLIC COULD ALSO HEAR
THAT'S A GOOD QUESTION
I SEE SANDY KILROY'S ON
MAYBE SHE HAS SOME INSIGHT ONTO WILL JUST
HELLO
SANDY KILROY, SENIOR DIRECTOR, ENVIRONMENT SUSTAINABILITY
SO YES, ON AN ANNUAL BASIS, THE COMMISSION APPROVES THE ENVIRONMENTAL REMEDIATION LIABILITIES FUND
THEN AS MENTIONED, AS WE ENTER INTO ANY AGREED ORDER WHICH DICTATES OUR RESPONSIBILITY TO WORK ON A PROJECT, THE COMMISSIONER APPROVES THOSE
AND THEN IF WE CONTRACT OUT AND CONSULT FOR WORK ON THESE PROJECTS, AS WE OFTEN DO, THOSE BUDGETS COME IN FRONT OF COMMISSION FOR PROCUREMENT
SO THOSE ARE KIND OF THE THREE TOUCH POINTS THAT COMMISSIONER APPROVES OUR ACTIVITIES FOR THE CLEANUP WORK
WONDERFUL
THANK YOU
WE'RE ALWAYS TRYING TO BE GOOD STEWARDS OF PUBLIC DOLLARS, AND ESPECIALLY WHEN IT COMES TO THE TAX LEVY DOLLARS IN PARTICULAR, SO THAT TRANSPARENCY AND ACCOUNTABILITY IS IMPORTANT IN THIS PROCESS
THANK YOU ALL FOR BRINGING THIS FORWARD
THANK YOU
YEAH
COMMISSIONER FELLEMAN, I'D LIKE TO SEEK A LITTLE BIT MORE CLARITY AND FOLLOWING UP WITH MY PREVIOUS QUESTION
SO AT EVENTUAL TIME, WE HAVE TO APPROVE SPENDING WHATEVER LIABILITY WE HAVE SO THAT'S TRANSPARENT
AND THEN WE GET RECOVERIES OF FUNDS THROUGH INSURANCE AND OTHER THINGS LIKE THAT
I DON'T KNOW
WE DON'T HAVE TO VOTE ON RECEIVING MONEY
RIGHT
SO AT THE END OF THE YEAR, I'M JUST WONDERING WHAT IS OUR NET EXPENDITURE ON CLEANUPS? AND THEN WE CAN MAKE THE DECISION, HOW MUCH OF THAT MONEY DO YOU WANT TO PUT IN THE KITTY FOR THE ENVIRONMENTAL FUND OR NOT? SO WE CAN SEE SOME YEARS WE COULD BE FLUSH FROM A RECOVERY AND SOME YEARS WE WON'T
SO THE CHOICE ABOUT WHETHER TO PUT IT, TAKE IT FROM THE LEVY OR NOT WOULD BE BEST APPROVED IF WE KNEW WHAT OUR COSTS AND RECOVERIES WERE FOR ANY GIVEN YEAR
SO WE CAN CERTAINLY PROVIDE MORE TRANSPARENCY AROUND THAT AS PART OF THAT BUDGET CONVERSATION, WE CAN BRING THAT INFORMATION FORWARD AS WELL
YEAH
AND I WAS GOING TO SAY I THINK IT IS POSSIBLE TO HAVE A ROLL UP LIKE THAT THERE IS A LOT OF LEGAL RISK ASPECTS AND LITIGATION ASPECTS
AND SO THAT'S WHY WE ALSO BRIEF YOU, AN EXECUTIVE SESSION ABOUT THE ONGOING LIABILITIES AND DISPUTES THAT WE HAVE
AND THAT'S NOT AS TRANSPARENT
BUT I THINK WHAT YOU'RE SAYING IS A WAY TO MAKE IT MORE TRANSPARENT BUT STILL PROTECTING KIND OF AS A ROLL UP
AND THEN, OF COURSE, IN THE NEXT YEAR, THERE WILL STILL BE EXPOSURES THAT WE'LL HAVE TO DEAL WITH
BUT AT THE CONCLUSION OF THIS YEAR, HOW MUCH MONEY WE PUT IN THE ENVIRONMENTAL FUND AND FROM WHICH FUND SEEMS TO BE THAT WOULD BE BECAUSE ACTUALLY, IN TERMS OF STEWARDS OF THE PUBLIC FUND, WE GET SOME GOOD RECOVERIES
RIGHT
AND I THINK WE SHOULD TOUT THOSE THINGS
BUT THANK YOU FOR ALL THE WORK
SARAH, YOUR HAND IS UP
SARAH
HI, SARAH J
DIRECTOR OF MARITIME ENVIRONMENT AND SUSTAINABILITY
AND FOR THE COMMISSION'S BENEFIT, I MIGHT PROVIDE THE EXAMPLE OF T 91, WHERE I BELIEVE THIS YEAR, THROUGH A NUMBER OF DIFFERENT ACTIONS THAT HAVE BEEN BEFORE YOU
YOU'VE SEEN COMMISSIONERS, YOU'VE SEEN SETTLEMENTS THAT WE'VE ACCEPTED
AND SO YOU'VE GOT TO SEE WHEN WE SETTLED WITH PARTIES WHAT THOSE DOLLARS AMOUNTS WERE
YOU'VE ALSO SEEN US COME TO YOU FOR REQUESTS FOR CONTRACTING, TO DO STUDIES AND FEASIBILITY FOR CLEANUP FOR THE 91 AREA
SO IN THOSE WAYS, YOU START TO SEE, AND THE PUBLIC DOES AS WELL, WHAT WE'RE ENDEAVORING TO TAKE ON AT A SPECIFIC CLEANUP SITE
JUST THOUGHT I'D BRING TO LIGHT THAT AS AN EXAMPLE
THANKS, SARAH
ALL RIGHT, WELL, I'LL JUST MAKE SOME FINAL COMMENTS HERE BEFORE WE GO ON TO EXECUTIVE DIRECTOR METRUCK, BUT I ALSO WANT TO ECHO THE SENTIMENTS OF THE COMMISSIONERS
THANK YOU SO MUCH FOR ALL THE GREAT WORK TO BOTH V AND TYLER, BUT ALSO TO DAN AND, OF COURSE, ELIZABETH MORRISON, WHO I FEEL LIKE IS A TOTAL WIZARD AT THIS KIND OF STUFF
AND THE FACT THAT WE WERE ABLE TO CONJURE UP $30 MILLION THROUGH REFINANCING OUR BONDS WAS JUST BRILLIANT AND WAS VERY PLEASED TO BE ABLE TO DO THAT
ONE THING I WANT TO EMPHASIZE AND MAKE CLEAR FOR THE RECORD IS THAT DEPORTED OF SEATTLE IS ALREADY A LEADER IN CLEANUP
LET'S NOT MAKE ANY MISTAKES ABOUT IT
AND I THINK IT'S IMPORTANT FOR US TO ACKNOWLEDGE THAT THIS WORK IS ALREADY BEING DONE
RIGHT, THE CLEANUP THAT WE'RE DOING ALONG THE DUWAMISH, THE EAST WATERWAY, ET CETERA
AND THE OTHER THING THAT I WANT TO EMPHASIZE IS THAT THE ESTABLISHMENT OF THIS FUND DOES NOT PRECLUDE ANY OF THAT WORK THAT'S ALREADY BEING DONE
IT DOESN'T MEAN THAT IT CHANGES ANYTHING THAT WE'RE DOING
THE PRESENT
BUT WE ALSO KNOW THAT AS LONG AS THE PORT OF SEATTLE, AS AN ENTITY, CONTINUES TO EXIST, THAT OUR ACTIVITY WILL CONTINUE TO IMPACT THE COMMUNITIES AROUND US
AND I THINK THIS YEAR, DURING MY PRESIDENCY, I'VE REALLY EMPHASIZED THE IDEA OF BUILDING THE PORT OF THE FUTURE
RIGHT
AND A BIG PART OF BUILDING A PORT OF THE FUTURE IS MAKING SURE THAT WE ARE PLANNING TODAY FOR THE CLEANUPS OF TOMORROW, WHICH IS WHY I'M SO PROUD TO BE ABLE TO INTRODUCE THIS AND ESTABLISH THIS FUND
I WANT TO THANK COMMISSIONER CALKINS FOR BEING THE BRAINCHILD BEHIND IT
YOU'RE RIGHT
IT WAS REALLY JUST A PASSING THOUGHT INITIALLY
BUT OBVIOUSLY, YOU AND I HAD SOME REALLY GREAT CONVERSATIONS AND HOW WE CAN MAKE THIS A REALITY
AND I REALLY DO THINK WE ARE ESTABLISHING THIS FUND FOR THE FUTURE, FOR FUTURE GENERATIONS, FOR YOUR FUTURE KIDS, HOPEFULLY MY FUTURE KIDS THAT I DON'T HAVE YET
BUT I THINK THAT 10, 20, 30 YEARS DOWN THE LINE, WHEN WE'RE ALL RETIRED FROM THE PORT OF SEATTLE, WE'LL LOOK TOWARDS THIS ENVIRONMENTAL LEGACY FUND AND FIND IT AS ONE OF THE MOST MEANINGFUL AND CONSEQUENTIAL THINGS THAT WE WERE ABLE TO DO
BECAUSE, AS I LIKE TO SAY, WE WERE SKATING TO WHERE THE PUCK IS GOING
AND THIS IS EXACTLY IN THE SPIRIT OF MY PRESIDENCY THIS YEAR
AND I'M REALLY, REALLY GRATEFUL THAT EVERYONE WAS ON BOARD FOR THIS
SO THANK YOU ALL
THANK YOU, COMMISSIONER CALKINS, FOR BEING A SECOND ON IT
AND WITH THAT, I WILL KICK IT OVER TO EXECUTIVE DIRECTOR METRUCK FOR ANY COMMENTS OR THOUGHTS
THANKS, COMMISSIONER
I WANT TO THANK COMMISSIONER CHO, COMMISSIONER CALKINS, AND ALL THE COMMISSIONERS FOR THEIR SUPPORT OF THIS OR BRINGING THIS INITIATIVE FORWARD AND DOING THIS
AND I WANT TO SHARE MY SUPPORT FOR THE ORDER AS WELL
LIKE YOU'VE ALREADY SAID, FISCAL RESPONSIBILITY IN THAT PLANNING IS CORE TO HOW WE APPROACH OUR MAJOR COSTS, WHETHER IT'S A LARGE CAPITAL PROJECT OR ENVIRONMENTAL CLEANUP PROJECTS
AND A LOT OF THOSE, OF COURSE, ARE LEGACY PROJECTS BY THEMSELVES, BECAUSE WE'VE INHERITED THAT POLLUTION
WE DIDN'T CREATE THAT POLLUTION, AND THAT POLLUTION WAS THERE WHEN WE INHERITED THOSE PROPERTIES
AND WE HAVE MANY FINANCIAL TOOLS THAT MAKE IT ABLE TO MEET OUR OBLIGATIONS
BUT IT DOES SEND A STRONG MESSAGE OF COMMITMENT THAT WE'RE MAKING THIS UPFRONT INVESTMENT OF $30 MILLION TOWARDS OUR KNOWN COSTS
I LOOK FORWARD TO THAT ANNUAL CONVERSATION THAT WE WERE JUST DISCUSSING ABOUT WHAT ADDITIONAL DEPOSITS MAKE SENSE EACH YEAR BASED ON THE NEEDED EXPENDITURES AND AVAILABLE FUNDS AT THAT TIME, ALL OF WHICH WE WERE JUST DISCUSSING
I WANT TO MAKE SURE TO GIVE SPECIAL THANKS, AS PRESIDENT CHO HAS ALREADY DONE, TO OUR AMAZING FINANCE TEAM, INCLUDING DAN THOMAS, ELIZABETH MORRISON, AND SCOTT BERTRAM, AND FOR THEIR THOUGHTFUL, STRATEGIC APPROACH TO MANAGING OUR EXPENDITURES AND MATCHING THEM WITH THE RIGHT REVENUE SOURCES
I ALSO WANT TO THANK OUR LEGAL TEAM, ESPECIALLY ELIZABETH BLACK, FOR THEIR INCREDIBLE WORK AT COST RECOVERY
THAT'S ALREADY BEEN MENTIONED AS WELL, AND FROM OTHER RESPONSIBLE PARTIES, AND OF COURSE, THE MARITIME AND ENVIRONMENTAL TEAMS, FOR EVERYTHING THEY DO ON THESE PROJECTS TO BRING THEM TO FRUITION
THIS IS TRULY A TEAM EFFORT THAT WE CAN ALL BE PROUD OF
AND THANK YOU, COMMISSIONER, FOR YOUR LEADERSHIP IN CREATING THIS FUND AND LOOK FORWARD TO ITS CONSIDERATION AND PASSAGE
THANK YOU
EXCELLENT
THANK YOU
HEARING NO FURTHER QUESTIONS FOR THIS ITEM
IS THERE A MOTION? AND A SECOND
SO MOVED
SECOND
ALL RIGHT
THE MOTION WAS MADE AND SECONDED
CLERK HART, PLEASE CALL THE ROLL FOR THE VOTE
THANK YOU
BEGINNING WITH COMMISSIONER CHO
AYE
THANK YOU
COMMISSIONER CALKINS
AYE
THANK YOU
COMMISSIONER FELLEMAN
AYE
THANK YOU
COMMISSIONER HASEGAWA
AYE
THANK YOU
AND COMMISSIONER MOHAMMED
AYE
THANK YOU
FIVE AYES, ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
CONGRATULATIONS, EVERYONE
THANK YOU VERY MUCH
ALL RIGHT, MOVING ON IN THE AGENDA FOR OUR LAST ITEM OF THE DAY ON NEW BUSINESS
CLERK HART, PLEASE INTRODUCE THE ITEM AND THEN IT'LL BE INTRODUCED
THANK YOU
THIS IS AGENDA ITEM TEN D, SEA ACCESS PROGRAM 2023
UPDATE AND ORDER 2020 314, AN ORDER OF THE PORT OF SEATTLE COMMISSION TO AFFIRM THE PORT OF SEATTLE'S LONG STANDING COMMITMENT TO DEVELOPING SEATTLE TACOMA INTERNATIONAL AIRPORT AS ONE OF THE MOST ACCESSIBLE AIRPORTS IN THE NATION AND CONSIDER ACCESSIBILITY AS A PRIORITY IN AVIATION DIVISION STRATEGY, FACILITY DESIGN, CONSTRUCTION AND OPERATIONS
COMMISSIONERS, OUR EVOLVING UNDERSTANDING OF WHAT ACCESSIBILITY MEANS HAS INSPIRED US TO GO ABOVE AND BEYOND TO ACCOMMODATE THE VARIOUS NEEDS OF OUR TRAVELERS AND VISITORS, FROM PHYSICAL CHALLENGES LIKE HEARING AND SIGHT TO LESS VISIBLE ISSUES RELATED TO NEURODIVERSITY
THE OPEN DOORS ORGANIZATION ASSESSMENTS OF SEA'S ACCESSIBILITY WAS COMPLETED IN MARCH 2018 AND IT LISTS 108 RECOMMENDATIONS TO IMPROVE ACCESSIBILITY AT THE PORT
SINCE THAT ASSESSMENT, WE HAVE MADE SIGNIFICANT PROGRESS AND HAVE COMPLETED MANY OF THE RECOMMENDATIONS
THIS BRIEFING WILL OUTLINE OUR PROGRESS AND COMMITMENT TO ADVANCING THE RECOMMENDATIONS, AS WELL AS PROVIDING NEXT STEPS TO MAKING SEA THE MOST ACCESSIBLE AIRPORT IN THE COUNTRY
IN ADDITION, YOU'LL ALSO HEAR AN ORDER REAFFIRMING OUR EFFORTS ON THIS FRONT
AND SO THE PRESENTERS ARE PETE MILLS, COMMISSION STRATEGIC ADVISOR CHELSEA RODRIGUEZ, AIRPORT VOLUNTEER AND ACCESS PROGRAM MANAGER, AND HEATHER KARCH, ARCHITECTURE MANAGER, AVIATION FACILITIES AND INFRASTRUCTURE
SO I BEGIN WITH YOU, PETE
YES
GOOD AFTERNOON
THIS IS PETE MILLS, STRATEGIC ADVISOR TO THE COMMISSION OFFICE AND STAFF TO COMMISSIONER MOHAMMED, EXECUTIVE METRUCK PRESIDENT CHO AND COMMISSIONERS
THIS PRESENTATION WILL BEGIN WITH THE ANNUAL ACCESSIBILITY BRIEFING BY HEATHER KARCH, WHO'S THE ARCHITECTURE MANAGER AT SEA, AND CHELSEA RODRIGUEZ, WHO IS THE AIRPORT VOLUNTEER AND ACCESS PROGRAM MANAGER
FOLLOWING THEIR BRIEFING, I WILL RETURN TO INTRODUCE ORDER 2020 314 FOR YOUR CONSIDERATION
THIS ORDER AFFIRMS THE PORT'S COMMITMENT TO BE ONE OF THE MOST ACCESSIBLE AIRPORTS IN THE NATION
BUT FIRST, I'LL PASS IT OFF TO HEATHER FOR THE BRIEFING
SORRY, ROOKIE MISTAKE
THANK YOU PETE
EXECUTIVE DIRECTOR, METRUCK AND COMMISSIONERS MY NAME IS HEATHER KARCH AND I AM THE FACILITIES AND INFRASTRUCTURE ARCHITECTURE MANAGER AS MENTIONED AND CURRENT ADA COORDINATOR
AND WITH ME TODAY IS CHELSEA RODRIGUEZ, THE AIRPORT VOLUNTEERS AND CUSTOMER ACCESSIBILITY MANAGER
NEXT SLIDE PLEASE
THIS AFTERNOON WE ARE GOING TO PROVIDE AN UPDATE ON THE EFFORTS OF OUR INTERDISCIPLINARY ACCESSIBILITY PROGRAM
TRAVEL NUMBERS HAVE BEEN REBOUNDING TOWARDS PRE COVID LEVELS AND WE ARE IN THE MIDST OF EXTENSIVE CONSTRUCTION, SO OUR FOCUS ON ACCESSIBILITY IS ESPECIALLY IMPORTANT AS THE AIRPORT BECOMES MORE CHALLENGING TO NAVIGATE AND OUR AGING POPULATION CONTINUES TO TRAVEL
TODAY, WE WILL PROVIDE A QUICK OVERVIEW OF OUR GUIDING PRINCIPLES ALONG WITH UPDATES ON OUR THREE AREAS OF FOCUS, FACILITIES, CUSTOMER SERVICE AND ENGAGEMENT, AND DISCUSS NEXT STEPS FOR 2024
NEXT SLIDE PLEASE
IT IS IMPORTANT TO REITERATE OUR GUIDING PRINCIPLES TO ENSURE THAT OUR ACTIONS ALIGN WITH THESE GOALS
WE CONTINUE TO STRIVE TO BE THE MOST ACCESSIBLE AIRPORT IN THE UNITED STATES BY EXCEEDING CODE DRIVEN ACCESSIBILITY REQUIREMENTS AND HAVE A PROVEN TRACK RECORD OF BEING AN INNOVATIVE LEADER WITHIN THE AVIATION INDUSTRY
WE CONTINUE TO EDUCATE OURSELVES TO ENSURE THAT WE ARE FORWARD LOOKING IN ALL OF OUR ACTIONS
THESE EFFORTS ALIGN WITH OUR SEA BRAND PROMISE OF AN ELEVATED TRAVEL EXPERIENCE FOR ALL
OUR ACCESSIBILITY PROGRAM IS ORGANIZED AROUND THREE AREAS OF FOCUS, FACILITIES, CUSTOMER SERVICE AND ENGAGEMENT
WHILE CHELSEA AND I ARE PRESENTING TODAY, OUR SUCCESS DEPENDS ON THE WORK OF MANY
INTERDEPARTMENTAL COLLABORATION IS CRITICAL TO ENSURING WE MEET THE FULL RANGE OF OUR PASSENGER NEEDS, BUT JUST AS IMPORTANT IS THE SUPPORT OF OUR COMMUNITY STAKEHOLDERS
IT IS WORTH NOTING THAT PAST COMMUNITY FEEDBACK WAS INSTRUMENTAL IN GUIDING OUR LEADERSHIP'S COMMITMENT TO BEING THE MOST ACCESSIBLE AIRPORT AND ALIGNS WITH THE ADDITIONAL SUPPORT WE ARE REQUESTING TODAY
NEXT SLIDE PLEASE WE WILL START WITH THE REVIEW OF FACILITY UPDATES
NEXT SLIDE PLEASE
SEA HAS A VERY ACTIVE CAPITAL PROGRAM AND IT CONTINUES TO GROW WITH UPGRADE SEA
DURING THIS TIME, WE HAVE THE OPPORTUNITY TO INTEGRATE ACCESSIBILITY RELATED FEATURES AND AMENITIES INTO NEW CONSTRUCTION AND RENOVATIONS
IN THE PAST YEAR, SEA OPENED A MULTI USER, ALL GENDER RESTROOM THAT PROVIDES ADDITIONAL CONVENIENCE FOR PASSENGERS WITH DISABILITIES, ADDED A NEW SERVICE ANIMAL RELIEF AREA OUTSIDE OF GML HALL, AND ADDITIONAL BABY CHANGING TABLES TO INTERNATIONAL ARRIVAL FACILITY
SOME UPDATES ARE AT A SMALLER SCALE, SUCH AS ADDING CANE RAILS TO WATER FOUNTAINS THAT ALLOW US TO UPDATE PARTS OF OUR OLDER FACILITY TO MEET CURRENT STANDARDS
UNTIL THOSE AREAS ARE INCLUDED IN LARGER SCALE REMODELS IN THE NEXT FEW YEARS
AS RESTROOM RENOVATIONS, SEA CONCOURSE EXPANSION AND SEA GATEWAY PROJECTS ARE CONSTRUCTED, WE WILL BE INCREASING THE NUMBER OF SARAS, THE SERVICE TO ANIMAL RELIEF AREAS, SENSORY ROOMS, NURSING ROOMS AND ADULT CHANGING TABLES
NEXT SLIDE PLEASE ONE OF OUR LARGEST ACCESSIBILITY RELATED UPDATES IS THE IMPROVED CURBSIDE THAT HAS BEEN IN PROGRESS FOR MULTIPLE YEARS
THE UPPER OR DEPARTURES DRIVE NOW HAS 17 PASSENGER LOADING ZONES COMPARED TO THE HANDFUL THAT PREVIOUSLY EXISTED
THESE LOADING ZONES ARE SPACED NO MORE THAN 100FT APART AND WERE PURPOSELY LOCATED ADJACENT TO ENTRY POINTS FOR THE CONVENIENCE OF PASSENGERS WITH LIMITED MOBILITY
THE LOWER OR ARRIVALS DRIVE IS DESIGNED WITH ZERO CURB WHICH ALIGNS WITH UNIVERSAL DESIGN PRINCIPLES
SEA GATEWAY WILL BE UPDATING THE RAMPS BETWEEN THE BAGGAGE CLAIM LEVEL AND LOWER CURBSIDE WITH RAMPS THAT ARE LESS STEEP AND LANDINGS AT THE DOORS
THE DESIGN INCLUDES AN UPDATED ENTRY PORTAL AND SIGNAGE TO CREATE MORE INTUITIVE WAYFINDING INTO THE BUILDING
AS YOU SEE ON THE SLIDE, SIGNAGE IS A CRITICAL BRIDGE BETWEEN OUR OPERATIONAL NEEDS AND CUSTOMER SERVICE EXPECTATIONS THAT INFORMS THE PASSENGER JOURNEY
IT IS EVEN MORE IMPORTANT AS WE CONTINUE TO GROW WITH UPGRADE SEA AND DEAL WITH THE IMPACTS OF CONSTRUCTION
THE SIGNAGE TEAM PROVIDES IN HOUSE DESIGN AND INSTALLATION RESOURCES FOR BOTH STATIC AND DIGITAL SIGNAGE AND CONTINUES TO FIND INNOVATIVE SOLUTIONS TO ADDRESS OUR ACCESSIBILITY NEEDS HERE AT SEA
ONE EXAMPLE RELATES TO ADULT CHANGING TABLES
THERE ISN'T AN INDUSTRY STANDARD YET FOR THE SYMBOLOGY FOR THIS TYPE OF EQUIPMENT AND OUR TEAM PROVIDED A CUSTOM DESIGN SOLUTION SIMILAR TO WHAT WAS DONE FOR THE SENSORY ROOM
THE TEAM HELPED IMPROVE DIGITAL PARKING GUIDANCE SIGNAGE TO DIRECT PASSENGERS TO ACCESSIBLE PARKING STALLS AND THEY RESPOND QUICKLY TO CHANGES DURING CONSTRUCTION TO PROVIDE TEMPORARY WAYFINDING SOLUTIONS WHILE PUSHING TOWARDS A MORE DIGITALLY INTEGRATED SOLUTION FOR THE FUTURE
NEXT SLIDE PLEASE
CHELSEA WILL NOW SHARE CUSTOMER SERVICE UPDATES
GREAT
THANK YOU HEATHER MY NAME IS CHELSEA RODRIGUEZ AND I AM SEA'S AIRPORT VOLUNTEERS AND CUSTOMER ACCESSIBILITY MANAGER AND I'M HAPPY TO BE HERE TO SHARE MORE ACCESSIBILITY PROGRAM UPDATES
AS NOTED EARLIER, THE SECOND PILLAR IN OUR ACCESSIBILITY PROGRAM IS CUSTOMER SERVICE
WE RECOGNIZE THAT THE PASSENGER JOURNEY HAS MANY STEPS AND WE MUST FOCUS ON PROGRAMS AND AMENITIES THROUGHOUT THAT JOURNEY AS WELL AS INVEST IN OUR FRONTLINE STAFF
RECENT PROGRAM AND AMENITY HIGHLIGHTS THAT BENEFIT TRAVELERS WITH DISABILITIES AND SUPPORT OUR BRAND PROMISE INCLUDE WE CREATED AN ACCESSIBILITY BROCHURE WHICH DETAILS ACCESSIBILITY RESOURCES FOR TRAVELERS
WE FOUND THAT NOT ALL TRAVELERS WANT TO DOWNLOAD AN APP, SO HAVING A PHYSICAL RESOURCE CAN BE INCREDIBLY BENEFICIAL
WE ALSO HAVE A BRAILLE VERSION WITH A TACTILE MAP
THE BROCHURE HAS BEEN WELL RECEIVED BY TRAVELERS AND BY STAFF ALIKE
ANOTHER HIGHLIGHT IS OUR EMBRACE OF THE SUNFLOWER LANYARD PROGRAM, WHICH IS A RESOURCE FOR TRAVELERS WITH NONVISIBLE DISABILITIES WHERE THEY CAN CHOOSE TO OPTIONALLY WEAR A LANYARD
THAT'S COMPLIMENTARY, AND IT LETS OUR FRONTLINE STAFF KNOW THAT THE WEARER MAY NEED ADDITIONAL SUPPORT OR PATIENCE OR FLEXIBILITY
IT IS A GROWING INITIATIVE AT A NUMBER OF AIRPORTS, BOTH NATIONALLY AND ACROSS THE GLOBE
AT SEA, WE HAVE EXPANDED WHERE LANYARDS ARE RECOGNIZED AS WELL AS FINE TUNED THE DISTRIBUTION MODEL, WHERE TRAVELERS NOW RECEIVE MORE OF A POLISHED PACKAGE
WE CALL IT A SUNFLOWER LANYARD KIT, WHICH BETTER INFORMS ON THE BREADTH OF RESOURCES THAT WE HAVE FOR TRAVELERS WITH DISABILITIES
AND THEN A FINAL HIGHLIGHT TO NOTE IS OUR INVESTMENT IN OUR AIRPORT VOLUNTEER AND SEA PUPS PROGRAM, AND THE SEA PUPS ARE OUR ANIMAL THERAPY TEAMS WHO FOCUS ON RELIEVING STRESS AND ANXIETY FOR OUR TRAVELERS
ALONG WITH OUR GENERAL VOLUNTEERS
THE SEA PUPS HELP ALL TRAVELERS, BUT WE HAVE FOUND THAT TRAVELERS WITH DISABILITIES, FOR EXAMPLE ANXIETY OR PTSD, HAVE ESPECIALLY APPRECIATED OUR FURRY VOLUNTEERS
NEXT SLIDE, PLEASE
AS PREVIOUSLY NOTED, WE RECOGNIZE THAT THE TRAVEL JOURNEY HAS MANY STEPS
FOR MANY, THAT JOURNEY BEGINS PRIOR TO STEPPING INSIDE THE AIRPORT
THE WEBSITE IS A VERY IMPORTANT PRETRAVEL RESOURCE THAT CAN HELP TRAVELERS PREPARE FOR AN UPCOMING TRIP
OUR FRIENDS IN EXTERNAL RELATIONS HAVE SYSTEMATICALLY TAKEN STEPS TO ENSURE THAT THE WEBSITE IS UPDATED AND ADHERES TO DIGITAL ACCESSIBILITY STANDARDS
THIS WORK IS ONGOING AND WITHIN THE AIRPORT TERMINAL ITSELF
THE CUSTOMER SERVICE TEAM IS CLOSE TO LAUNCHING A NEW INITIATIVE CALLED CUSTOMER CARE CONNECT, AND THIS IS WHERE, USING A QR CODE, TRAVELERS CAN CONNECT WITH A LIVE CUSTOMER CARE AGENT VIA THEIR PHONE
SIMILAR TO FACETIME, THERE'S ALSO A TEXTING FEATURE THAT WOULD BE BENEFICIAL TO DEAF TRAVELERS AND TO BETTER INFORM THE DISABILITY COMMUNITY AND COMMUNITY AT LARGE
AGAIN, OUR FRIENDS IN EXTERNAL RELATIONS HAVE MADE ACCESSIBILITY A FOCUS
HIGHLIGHTS OF THEIR WORK TO BETTER INFORM INCLUDE ACCESSIBILITY FOCUSED BLOGS, A CHECKING IN VIDEO WITH ASL CAPTIONING AND PAID ADVERTISING ON LOCAL TELEVISION AND ON SOCIAL MEDIA
AND THE IMAGE ON THIS SLIDE IS AN EXAMPLE OF ONE OF THE SOCIAL MEDIA ADS
AND THIS IS ALL TO BETTER INFORM ON THE BREADTH OF SEA'S ACCESSIBILITY RESOURCES
NEXT SLIDE, PLEASE
INVESTING IN OUR PROGRAMS, AMENITIES AND COMMUNICATION IS IMPORTANT, AND SO IS INVESTING IN OUR FRONTLINE EMPLOYEES AND VOLUNTEERS WHO PROVIDE CRITICAL CUSTOMER SERVICE
THIS YEAR, WE HAVE FOCUSED ON PARTNERING WITH DISABILITY EXPERTS
EXAMPLES INCLUDE DEAF FRIENDLY CUSTOMER SERVICE WORKSHOPS LED BY DEAF OWNED BUSINESS DEAF FRIENDLY CONSULTING
ANOTHER WORKSHOP TITLED SUPPORT STRATEGIES FOR PEOPLE WITH DEVELOPMENTAL DISABILITIES, WHICH WAS LED BY ARK OF KING COUNTY, A LOCAL NONPROFIT, ACTUALLY A NATIONAL NONPROFIT, BUT THE LOCAL CHAPTER IS LEADING THAT WORKSHOP, AND BOTH OF THESE WORKSHOPS ARE LED BY TRAINERS WITH DISABILITIES THEMSELVES, AND THEY PROVIDE ACTIONABLE STEPS FOR STAFF TO THEN APPLY ON THE FLOOR WITH TRAVELERS
WE'RE ALSO UPDATING OUR EXCELLENT CUSTOMER SERVICE FOR TRAVELERS WITH DISABILITIES ELEARNING, WHICH IS AVAILABLE TO THE ENTIRE AIRPORT BADGE HOLDER COMMUNITY
FINALLY, TAKING A HOLISTIC PERSPECTIVE, WE RECOGNIZE THAT JUST AS WE NEED TO FOCUS ON TRAINING TO OUR FRONTLINE STAFF, WE ALSO NEED TO ENSURE THAT EXCELLENT CUSTOMER SERVICE IS RECOGNIZED
OUR HIGH FIVE CUSTOMER SERVICE RECOGNITION PROGRAM IS THIS VEHICLE
THESE IN PERSON CELEBRATION EVENTS HAVE CONSISTENTLY HIGHLIGHTED STAFF WHO ALREADY PROVIDE EXCELLENT CUSTOMER SERVICE TO TRAVELERS WITH DISABILITIES AND IN TURN, DESERVE RECOGNITION
NOW NEXT SLIDE PLEASE, AND I WILL PASS IT BACK TO HEATHER WHO WILL SHARE MORE ABOUT OUR THIRD PILLAR ENGAGEMENT
THANK YOU CHELSEA
AS WE PREVIOUSLY MENTIONED, OUR ACCESSIBILITY PROGRAM IS ORGANIZED AROUND THREE AREAS OF FOCUS AND WHILE ALL ARE IMPORTANT, ENGAGEMENT IS WHERE THEORY MEETS REALITY
NEXT SLIDE ENGAGEMENT IS HOW WE LEARN FIRSTHAND FROM PEOPLE LIVING WITH DISABILITIES HOW OUR DECISIONS CAN IMPACT THEIR TRAVEL EXPERIENCE
WE SUPPORT THE IDEA OF NOTHING ABOUT US WITHOUT US AND REFLECT THAT WITH OUR SEA ACCESSIBILITY ADVISORY COMMITTEE AND ADDITIONAL ONE ON ONE OUTREACH
THE COMMITTEE MEETS QUARTERLY WITH ADDITIONAL MEETINGS AS NEEDED, AND CONTINUES TO BE A VALUABLE OPPORTUNITY FOR ENGAGEMENT WITH COMMUNITY STAKEHOLDERS
FOR EXAMPLE, LAST SUMMER WE CONDUCTED FACILITY AUDITS OF CONCOURSES A-B-C-D MAIN TERMINAL, BAGGAGE CLAIM, AND LEVELS THREE AND FOUR OF THE PARKING GARAGE
WHILE OUR QUARTERLY MEETINGS ARE VIRTUAL, THE AUDIT WAS IN PERSON AND WE PHYSICALLY MOVED THROUGH THE SPACE TO OBSERVE CONDITIONS
THE FEEDBACK FROM THE AUDIT DIRECTLY LED TO CHANGES BEING IMPLEMENTED IN THE FACILITY AND IN OUR DESIGN STANDARDS
WHILE OUR COMMITTEE MEMBERS COMMIT TO A SPECIFIC TERM LIMIT, THEIR IMPACT CAN BE FELT FOR MULTIPLE YEARS WHILE THE TERM LIMIT PROVIDES OPPORTUNITIES FOR NEW VOICES TO BE HEARD AS WE RECOGNIZE A NEED FOR A WIDE RANGE OF VOICES THAT REPRESENT THE DISABILITY COMMUNITY
AS I MENTIONED BEFORE, OUR SUCCESS IS BUILT ON THE COLLABORATION WITH OTHERS AND I WANT TO TAKE A MOMENT TO RECOGNIZE OUR PAST AND PRESENT COMMITTEE MEMBERS FOR THE TIME AND WISDOM THEY HAVE SHARED AND THE VALUE THEY BRING TO OUR ORGANIZATION, SPECIFICALLY CINDY LAWS AND ERIC LIPP, WHO HAVE PLAYED KEY ROLES IN OUR DEVELOPMENT OVER MANY YEARS
LOOKING FORWARD, I'M HAPPY TO NOTE THAT THE PORT OF SEATTLE IS A COSPONSOR OF THE UNIVERSAL ACCESS AND AVIATION CONFERENCE IN SEPTEMBER OF 2024
THIS CONFERENCE IS ORGANIZED BY OPENDOORS ORGANIZATION AND IS AN OPPORTUNITY TO MEET AND LEARN FROM ACCESSIBILITY ADVOCATES AND DISABILITY GROUPS FROM AROUND THE WORLD
WE ARE EXCITED TO BE A PART OF THIS EVENT
NEXT SLIDE PLEASE
IN ADDITION TO ENGAGING WITH DISABILITY STAKEHOLDERS, WE HAVE BEEN FORTUNATE TO REPRESENT SEA THROUGH PARTICIPATION IN PANELS AND PRESENTATION AT MULTIPLE NATIONAL AND INTERNATIONAL AVIATION INDUSTRY EVENTS, INCLUDING THE FAA NATIONAL CIVIL RIGHTS TRAINING CONFERENCE, AIRPORT MARKETING AND COMMUNICATIONS CONFERENCE, PASSENGER TERMINAL EXPO, AIRPORT CUSTOMER SERVICE EXPERIENCE SYMPOSIUM AND IATA WORLD PASSENGER SYMPOSIUM
WE ARE FORTUNATE TO ALSO BE INVITED TO PARTICIPATE IN INDUSTRY WORKING GROUPS, INCLUDING TSA WORKING GROUP AND UPCOMING ACR PANEL REVIEWS
NOW CHELSEA WILL CONCLUDE AND SHARE NEXT STEPS
GREAT
THANK YOU, HEATHER
AS WE LOOK TOWARDS 2024, WE KNOW THE WORK CONTINUES
NEXT SLIDE, PLEASE
AND ONE SUCH EXCITING DEVELOPMENT IS THE LAUNCH OF SEA ACCESS, WHICH IS THE NEW NAME FOR SEA'S ACCESSIBILITY PROGRAM TO BETTER INFORM ON THE BREADTH OF OUR ACCESSIBILITY AMENITIES AND RESOURCES
WE HAVE WORKED THIS PAST YEAR TO DEVELOP THIS PROGRAM NAME AND THE LOGO THAT YOU SEE HERE
WE WANT TO ACKNOWLEDGE OUR ACCESSIBILITY ADVISORY COMMITTEE AS THEY HAVE BEEN INVOLVED EVERY STEP OF THE WAY TO ENSURE THAT THE PROGRAM NAME AND LOGO WILL RESONATE WITH THE DISABILITY COMMUNITY IN THE COMING MONTHS AND BEYOND
IN PARTNERSHIP WITH EXTERNAL RELATIONS, WE WILL INCREASE OUR FOCUS ON OUTREACH AND ENGAGEMENT TO WIDELY PROMOTE SEA ACCESS
OUR AIM IS TO BUILD UPON THE IMPORTANT WORK THAT HAS ALREADY OCCURRED TO BETTER INFORM TRAVELERS WITH DISABILITIES WITH THE ULTIMATE GOAL OF SUPPORTING OUR BRAND PROMISE OF AN ELEVATED TRAVEL EXPERIENCE FOR ALL
NEXT SLIDE, PLEASE
NOW I WILL OPEN IT UP TO QUESTIONS, AND AFTER THE QUESTIONS, PETE WILL INTRODUCE THE ACCESSIBILITY ORDER, WHICH WE FEEL FURTHER REINFORCES SEA'S ACCESSIBILITY COMMITMENT AND WILL AID OUR WORK
THANK YOU
EXCELLENT
THANK YOU SO MUCH FOR THOSE PRESENTATION
FOR THE PRESENTATION, CHELSEA, AND HOW THERE ARE ANY QUESTIONS
YEAH, COMMISSIONER FELLEMAN, THANK YOU FOR THAT
AND IT'S A REALLY GREAT THING TO BE ABLE TO BE A NATIONAL LEADER IN THIS EFFORT
SO I WAS JUST WONDERING, IS THERE A NUMBER OF HOW MANY PEOPLE ARE ON THIS ACCESSIBILITY COMMITTEE? I BELIEVE AT THE MOMENT IT'S 20
YEAH, I WOULD NEED TO CONFIRM, BUT IT'S AROUND IN THE EARLY 20 RANGE
AND ARE THEIR MEETINGS OPEN TO THE PUBLIC? AS OF NOW THEY'RE NOT
WE DO THEM QUARTERLY AND IT'S BEEN VIRTUAL
AND IS THERE A CHARTER ON THE TERM LIMITS? THERE IS, BUT THERE IS NO WAY FOR THE PUBLIC TO MONITOR IT? TO MONITOR
YEAH
TO BE ABLE TO OBSERVE THE DELIBERATIONS OF THE GROUP
PRESENTLY WE HAVEN'T DONE IT THAT WAY
YEAH
WE'VE HAD QUARTERLY MEETINGS THAT TYPICALLY HAVE BEEN VIRTUAL AND THEY'VE JUST BEEN FOR THE PEOPLE ON THE COMMITTEE
YOU SAID YOU'RE GOING TO DO MORE WORK IN PUBLIC OUTREACH
PERHAPS THAT'S AN OPPORTUNITY TO DO MORE, TO SHARE WITH THE BROADER COMMUNITY
NOT JUST NECESSARILY THE TARGET AUDIENCE, OF COURSE, WOULD BE THE DISABILITY COMMUNITY, BUT OBVIOUSLY WE HAVE FOLKS IN THE COMMUNITY THAT ARE VERY MUCH INTERESTED IN ADVANCING THE CAUSE
I WOULD LIKE TO HEAR HOW YOU MIGHT HELP ADDRESS THOSE INTERESTS
THANKS
WHAT WE'VE ESTABLISHED SO FAR, THIS COMMITTEE HAS HAD MULTIPLE ITERATIONS
I'VE BEEN WITH THE PORT FOR SEVEN YEARS, BUT I KNOW THE COMMITTEE HAS EXISTED PRIOR TO THAT
AND IT WAS DURING COVID THAT WE RESTARTED THE COMMITTEE AND WE ACTUALLY DID OUTREACH TO MULTIPLE OTHER AIRPORTS THAT HAD COMMITTEES TO DO RESEARCH INTO PRECEDENTS OF WHAT WERE BEST PRACTICES AND LESSONS LEARNED
DIFFERENT AIRPORTS HAVE DIFFERENT STRATEGIES FOR THE TIME LIMITS, DURATION, HOW OPEN THEY ARE
SO WE CHOSE TO GO WITH AN INVITED ONLY METHOD
BUT I THINK THAT'S SOMETHING WE CAN REEVALUATE IF OPENING UP ACCESS TO THE MEETINGS IS SOMETHING THAT THE COMMISSION FEELS IS IMPORTANT
OUTSIDE OF OUR QUARTERLY COMMITTEE MEETINGS, WE DO HAVE ONE ON ONE OUTREACH WITH ADDITIONAL DISABILITY GROUPS, WHETHER IT'S SELF LED OR JUST THE OUT OF PEOPLE APPROACHING US
WE JUST MET WITH MIAMI'S AIRPORT THIS WEEK, ACTUALLY
THEY REACHED OUT TO US TO GET SOME LESSONS LEARNED ON THINGS THEY CAN DO TO IMPROVE OR ASKING FOR GUIDANCE
WE'VE HAD A LOT OF OUTREACH JUST TO INDIVIDUAL GROUPS
WHEN WE HEAR SOMETHING NEW THAT WE WANT TO LEARN FROM THEM, OR IF THEY REACH OUT ASKING TO TALK TO US, I THINK WE HAVE A LOT OF OPTIONS AND WHAT WE'VE DONE TO DATE HAS JUST BEEN BASED ON THE RESEARCH AND WHAT WE FEEL COMFORTABLE KNOW
THIS TEAM, IT IS INTERDEPARTMENTAL IN THE SENSE THAT WE RELY
CHELSEA AND I LEAD THE EFFORT, AND MY FUTURE ADA COORDINATOR WILL REPLACE THAT ROLE FOR ME
BUT REALLY, RIGHT NOW IT'S A TEAM OF TWO
WE WORK WITH OTHER DEPARTMENTS TO IMPLEMENT ALL THESE INITIATIVES, SO IT'S ALSO WHAT WE CAN HANDLE IN TERMS OF BEING SUCCESSFUL IN THAT ROLE
DO YOU HAVE ANYTHING TO ADD, CHELSEA? NO, IT'S A SUGGESTION THAT WE CAN LOOK INTO EXPLORING
IT'S A BIG GROUP LIKE THAT
IT'S OBVIOUSLY HARD TO MANAGE, AND I APPRECIATE THAT
I SEE THE ANALOGY WITH THE PSRC GROWTH MANAGEMENT BOARD
IT'S A CAST OF DOZENS, BUT IT DOES PROVIDE AN OPPORTUNITY FOR PUBLIC COMMENT AND OBSERVATION
AND SO THERE'S BROAD INTEREST IN GROWTH MANAGEMENT AS THERE IS BROAD INTEREST IN ADR RELATED, I MEAN, ACCESS ISSUES
SO I URGE YOU TO THINK ABOUT WAYS IN WHICH, ESPECIALLY IF YOU'RE DOING IT REMOTELY, IT SEEMS LIKE IT MAKES IT MORE ACCESSIBLE, SO TO SPEAK
GREAT
THANK YOU
THANK YOU
COMMISSIONER HASEGAWA
YEAH, I GUESS I'M WONDERING WHY THERE'S NO DOLLAR AMOUNT ASSOCIATED WITH THE ASK
YOU THINK THAT THERE'D BE SOMETHING ASSOCIATED WITH PROGRAM MANAGEMENT OR SUPPORTING THE COMMITTEE OR IMPLEMENTATION? WHY NO FUNDING REQUEST? COMMISSIONER, I CAN STEP IN
THERE'S TWO ITEMS, AND ONE IS AN ACTION ITEM
THIS IS JUST A BRIEFING ABOUT THE ACTIVITIES OF THE, AND IT'S AN ANNUAL BRIEFING THAT HEATHER PROVIDES AND CHELSEA, THE ORDER WILL BE FOLLOWING AND IT ALSO DOES NOT HAVE A DOLLAR FIGURE ATTACHED TO IT, BUT IT IS JUST MORE OF A POLICY STATEMENT
OKAY, AND THEN HOW ACCESSIBLE ARE THESE ACCESSIBILITY PROGRAMS? I'M THINKING ABOUT THE CUSTOMER EXPERIENCE RIBBON
SO SOMEBODY WHO IS DIFFERENTLY ABLED SHOWS UP AND I'M LOOKING AT YOUR EXAMPLES OF THE SUNFLOWER PROGRAM OR THE SEA PUPS
THE SEA PUPS, DO THEY HAVE TO ARRANGE FOR THAT AHEAD OF TIME? DO THEY SHOW UP ON SITE AND REALIZE IT'S A SERVICE TO THEM? I MEAN, ANECDOTALLY, I'VE NEVER, PERHAPS BECAUSE I DON'T HAVE AN EYE FOR IT, BUT KNOW NEVER SEEN SOME OF KNOW
WELL, I THINK THAT'S A BIG REASON WHY WE ARE GOING TO BE LAUNCHING THE SEA ACCESS INITIATIVE AS FAR AS BRANDING THE PROGRAM SO WE CAN BETTER COMMUNICATE ON THE INITIATIVES AND RESOURCES THAT WE HAVE
AND AS FAR AS THE SEA PUPS GOES, THAT IS SOMETHING THAT WE'RE INVESTING IN MORE
PART OF MY ROLE IS OUR VOLUNTEER PROGRAM AND SO WE'RE VERY EAGER TO GROW THE SEA PUPS PROGRAM SO WE CAN ENSURE THAT THERE IS SOME CONSISTENCY TO WHEN THE DOGS ARE AVAILABLE
BUT WE HAVE BRANDED MATERIALS THAT WE DIDN'T HAVE A YEAR AGO AND EVEN A NAME
THEY DIDN'T HAVE A PROGRAM NAME
NOW IT'S THE SEA PUPS, WHICH EVERYONE SEEMS TO LOVE
AND WE HAVE BANNERS AND WE HAVE TRADING CARDS AND WE HAVE BEAUTIFUL MATS
SO IT IS MORE VISIBLE TO THE PUBLIC
AND PRESENTLY A BIG WAY WE PROMOTE IS THROUGH OUR WEBSITE AND THROUGH THE BROCHURE THAT I MENTIONED AS WELL, AND THEN THROUGH WORKING WITH EXTERNAL RELATIONS
AND CERTAINLY MORE WORK CAN BE DONE TO ENSURE THAT WE'RE GETTING THE WORD OUT TO THE COMMUNITY
AND AS FAR AS THE SUNFLOWER LANYARDS, THOSE ARE ACCESSIBLE AT OUR INFORMATION DESKS
AND THEN IF AN INFORMATION DESK IS UNSTAFFED, FOR WHATEVER REASON, WE'VE ALSO PARTNERED WITH THE STAFF THAT MANAGE OUR CHECKPOINTS, SO THEY'RE AVAILABLE THERE AS WELL
OKAY, JUST TO GO BACK, I UNDERSTAND THERE'S TWO PIECES, THERE'S A PROGRAM AND THERE'S AN ORDER, BUT I'M JUST REALLY SURPRISED THAT WE'RE ACTING ON A PROGRAM WITHOUT FUNDING IT
I STILL DON'T UNDERSTAND FULLY WHY THAT'S HAPPENED, WHY THERE'S NO FUNDING ASSOCIATED WITH IT
SOMEBODY HELPED ME MAKE THIS MAKE SENSE AGAIN
THERE'S TWO BUDGETS, ONE'S CAPITAL AND ONE'S OPERATIONAL
AND THE OPERATIONS BUDGETS FUNDS MUCH OF THEIR PROGRAMS WITH HEATHER BEING THE ARCHITECT
THE CAPITAL BUDGETS DICTATE SOME OF THE SPENDING THAT SHE DOES
SO THOSE ARE THE PRIMARY CATEGORIES THAT ARE DEVOTED TOWARDS THESE AREAS
PERHAPS HEATHER HAS MORE I CAN ADD TO THAT EXECUTIVE DIRECTOR METRUCK, IF I CAN JUST ANSWER
I BELIEVE IT'S FUNDED THROUGH THE BUDGET BECAUSE THE PROGRAM IS FUNDED THROUGH THE BUDGET REQUEST
THERE YOU HAVE IT
THAT'S WHERE THE FUNDING IS
SO YOU DON'T NEED US TO TAKE ADDITIONAL
DON'T NEED A SEPARATE ACTION ON THE BUDGET FOR THAT
UNLESS THERE WAS SOMETHING THAT GROWS UP TO THEN APPROVAL, IT'S FUNDED THROUGH THE BUDGET, AND THEN IT COMES UP IF THERE WAS AN ACTION THAT ROLLS TO THE LEVEL FOR THE COMMISSION
COMMISSIONER, ANY OTHER QUESTIONS? OH, COMMISSIONER? YEAH, WELL, TO ADD TO THAT A LITTLE BIT, I THINK THE GOAL OF TODAY WAS JUST TO BRING THIS AS A COMMISSION ORDER TO SET POLICY, BECAUSE THERE HASN'T BEEN AN ACCESSIBILITY POLICY FROM THE COMMISSIONER OFFICE
AND SETTING THIS POLICY WILL ACTUALLY HELP THIS TEAM WHEN THEY'RE GOING AFTER FEDERAL GRANTS, STATE GRANTS, AND ARE LOOKING FOR ADDITIONAL DOLLARS
SO IT SHOWS A FULL COMMITMENT FROM THE COMMISSIONER THAT WE SUPPORT ACCESSIBILITY
AND I JUST WANT TO SAY THANK YOU TO CHELSEA AND HEATHER AND THE ENTIRE PORT STAFF THAT'S BEEN WORKING ON THIS
ALSO, DIRECTOR LANCE LITTLE
I KNOW HE'S A HUGE SUPPORTER OF THIS BODY OF WORK, AND IT'S GREAT THAT WE'RE ABLE TO MOVE THIS FORWARD FROM THE COMMISSION SIDE AND CONTINUE TO SUPPORT THE GREAT WORK THAT YOU ALL ARE DOING
I ALSO HAD AN OPPORTUNITY TO MEET WITH THE MEMBERS OF THE PORT DISABILITY ADVISORY COMMITTEE, AND THEY'RE A GREAT GROUP
AND ONE OF THE TAKEAWAYS FOR ME WAS ONE THEY'RE FRAMING AROUND NOTHING ABOUT US WITHOUT US
THEY TRULY BELIEVE THAT AND ARE PUSHING THAT ON THROUGH THE WORK THAT'S HAPPENING AT THE PORT
AND ALSO ONE OF THE THINGS THAT I WANTED TO SUSS OUT AS WE WERE BRINGING THIS COMMISSION ORDER IS, WHAT MORE COULD THE PORT OF SEATTLE BE DOING? AND IT WAS VERY CLEAR THAT THEY WERE ALL SAYING THAT WE ARE A NATIONAL LEADER, YOU ALL ARE A NATIONAL LEADER, AND THE WORK THAT IS HAPPENING AT THE PORT AND THAT THEY FEEL LIKE THEY OFTEN USE US AS AN EXAMPLE WHEN THEY'RE TALKING TO OTHER AIRPORTS
AND SO THAT'S EXCELLENT WORK
I LOOK FORWARD TO THE ORDER BEING INTRODUCED, AND ALSO WE'RE MAKING INVESTMENTS ON THE LANGUAGE ACCESS SIDE
SO AS WE'RE DOING THESE TALKING ABOUT SIGNAGES, HOW DO YOU INCORPORATE THAT FOR SOMEONE WHO IS DISABLED AND MAYBE ENGLISH IS NOT THEIR FIRST LANGUAGE, WHAT DOES THAT RELATIONSHIP LOOK LIKE, AND HOW DO WE ALSO PROMOTE THAT? SO I LOOK FORWARD TO THE GOOD WORK THAT YOU ALL ARE DOING AND WILL CONTINUE TO DO
THANK YOU, COMMISSIONER MOHAMMED
ANY OTHERS? OKAY, PETE, I THINK IT'S YOUR TURN
THANK YOU, COMMISSIONERS
AND HEATHER AND CHELSEA
AGAIN, THIS IS PETE MILLS, STRATEGIC ADVISOR FOR THE COMMISSION
I WOULD LIKE TO INTRODUCE ORDER 2020 314, AFFIRMING THE PORT'S LONG STANDING COMMITMENT TO BE ONE OF THE BEST WHEN MOST ACCESSIBLE AIRPORTS IN THE NATION
THE TEXT OF THE ORDER IS AS FOLLOWS
THE COMMISSION AFFIRMS PORT OF SEATTLE'S ONGOING COMMITMENT TO CONSTRUCT AND OPERATE SEATAC INTERNATIONAL AIRPORT SEA AS ONE OF THE MOST ACCESSIBLE AIRPORTS IN THE NATION AND THAT FACILITY MEET OR EXCEED DESIGNS AND CONSIDERATIONS OUTLINED IN THE AMERICAN DISABILITY ACT
THE PORT HEREBY DIRECTS THE EXECUTIVE DIRECTOR EXPAND AYE
INTERPRETATION OF THE PORT OF SEATTLE CENTURY AGENDA
GOALS AND OBJECTIVES, INCLUDING, BUT NOT LIMITED TO GOAL FIVE, BECOME A MODEL OF EQUITY, DIVERSITY AND INCLUSION AND GOAL TWO, ADVANCE THIS REGION AS A LEADING TOURISM DESTINATION AND BUSINESS GATEWAY
TO REFLECT THIS FORMAL COMMITMENT TO PROVIDE PRIORITIZED ACCESSIBILITY CONSIDERATIONS IN AREAS INCLUDING SEA FACILITY DESIGN, OPERATIONS AND ONGOING COMMUNITY ENGAGEMENT, INCLUDING IN THIS COMMITMENT IS TO ENSURE ACCESSIBILITY OF OUR CONFERENCES, EVENTS AND SPONSORED EVENTS BY UTILIZING REMOTELY AVAILABLE DIGITAL CONFERENCE OR MEETING OPTIONS WHEN AVAILABLE
AS YOU'VE HEARD FROM HEATHER AND CHELSEA, THE PORT HAS A LONG HISTORY OF INCORPORATING ACCESSIBILITY IMPROVEMENTS INTO OUR FACILITIES AND OPERATIONS, FROM IMPLEMENTATIONS IMPLEMENTING REQUIREMENTS OF THE AMERICANS DISABILITIES ACTS OF 1990 TO THE OPEN DOORS REPORT THAT COMMISSIONER MENTIONED IN 2018 TO THE LANGUAGE ACCESS ORDER THAT COMMISSIONER MOHAMED INTRODUCED THIS PAST SPRING AND COMMISSION PASSED
AND AS YOU'VE HEARD FROM HEATHER AND CHELSEA, WE CONTINUE TO IMPROVE ON OUR ACCESSIBILITY WORK
THIS ORDER WAS DISCUSSED AT THE COMMISSION'S AVIATION COMMITTEE, AND JUST LAST MONTH, AS YOU HEARD, COMMISSIONER MOHAMED MET WITH THE PORT'S DISABILITY ADVISORY COMMITTEE TO HEAR THEIR PERSPECTIVE
THE INTENT OF THE ORDER IS TO MAKE OFFICIAL POLICY THAT MANY HAVE ASSUMED IS ALREADY LONG STANDING POLICY
THANK YOU VERY MUCH
THIS CONCLUDES MY INTRODUCTION OF THE ORDER
THEN THE THREE OF US WILL BE AVAILABLE FOR ANY ADDITIONAL QUESTIONS SHOULD THERE BE ANY
GREAT
THANK YOU, PETE
ANY QUESTIONS FOR STAFF AT THIS TIME? WE'LL START WITH COMMISSIONER MOHAMED
NO QUESTIONS
JUST AGAIN, THANK YOU SO MUCH FOR THE WORK THAT YOU ALL ARE DOING
EXCELLENT
COMMISSIONER
NO
ALL RIGHT
STRAIGHTFORWARD
THANK YOU SO MUCH FOR THIS GREAT WORK
WE REALLY APPRECIATE IT
AND WITH THAT, I WILL OPEN AND ENTERTAIN THE MOTION IN A SECOND
SO MOVED
SECOND
ALL RIGHT, THE MOTION WAS MADE AND SECONDED
CLERK HART, PLEASE CALL THE ROLL FOR THE VOTE
THANK YOU FOR ADOPTION OF ORDER NUMBER 2020 314, BEGINNING WITH COMMISSIONER MOHAMED
AYE
THANK YOU
COMMISSIONER CALKINS
AYE
THANK YOU
COMMISSIONER FELLEMAN
AYE
THANK YOU
COMMISSIONER HASEGAWA
AYE
THANK YOU
AND COMMISSIONER CHO
AYE
THANK YOU
FIVE AYES, ZERO NAYS FOR THIS ITEM
EXCELLENT
THE MOTION PASSES
CONGRATULATIONS AND THANK YOU, COMMISSIONER MOHAMMED, FOR YOUR WORK ON THIS ACCESSIBILITY ORDER
ALL RIGHT, THANK YOU
THANK YOU ALL
MOVING ON TO ITEM ELEVEN, PRESENTATIONS AND STAFF REPORTS
CLERK CARTER, PLEASE READ THE NEXT ITEM INTO THE RECORD AND EXECUTIVE DIRECTOR METRUCK WILL THEN INTRODUCE IT
PRETTY SURE THIS IS THE SHORTEST READING ALL DAY
ELEVEN A ADR PROGRAM BRIEFING TWELVE COMMISSIONERS OUR AIRPORT DINING AND RETAIL PROGRAM, OTHERWISE KNOWN AS ADR, IS NOT ONLY A KEY DRIVER OF NON AERONAUTICAL REVENUE AT OUR AIRPORT, BUT IS ALSO THE FIRST AND LAST IMPRESSION WE GET TO MAKE ON OUR CUSTOMERS TRAVELING THROUGH OUR GATEWAY AT SEA
THE ATTENTION TO CUSTOMER SERVICE AND THE QUALITY OF OFFERINGS PROVIDED THROUGH THIS PROGRAM ARE CRITICAL TO ELEVATING THE CUSTOMER EXPERIENCE
THE ADR MASTER PLANNING EFFORT THAT THE STAFF HAS RECENTLY COMPLETED REFLECTS OUR COMMITMENT TO CREATING A PACIFIC NORTHWEST SENSE OF PLACE AT SEA AND HOLDS TRUE TO OUR VALUES OF EQUITY AND INCLUSION, AS WELL AS OUR FOCUS ON PROVIDING OPPORTUNITIES FOR SMALL AND DIVERSE BUSINESSES
THIS PRESENTATION WILL PROVIDE INSIGHT INTO WHAT IS NEXT FOR OUR ADR PROGRAM, AS WELL AS KEY CHANGES WE HAVE ALREADY MADE TO IMPROVE THE APPLICATION EXPERIENCE FOR THOSE BUSINESSES
AND AT THE END OF THE PRESENTATION, I'LL PROVIDE MY RECOMMENDATION FOR POLICY CHANGES THAT BRING US CLOSER TO OUR GOALS
BEFORE I TURN IT OVER TO STAFF FOR THE PRESENTATION, I'D LIKE TO ACKNOWLEDGE THE INCREDIBLE WORK OF OUR DIVERSITY AND CONTRACTING TEAM, LED BY ME AND RICE, TO INCREASE OPPORTUNITIES FOR SMALL BUSINESSES IN 2020
THE COMMISSION ADOPTED ORDER 20 2019, WHICH DIRECTED THE STUDY ON BARRIERS FACING BIPOC AND WMBE BUSINESSES AT THE PORT
THE DIVERSITY AND CONTRACTING TEAM PROCURED THE SERVICES OF AN OUTSIDE FIRM TO CONDUCT THIS STUDY
THE STUDY WAS RELEASED IN 2023 AND IDENTIFIED NINE GENERAL BARRIERS
HOWEVER, UPON RELEASE OF THE STUDY, CRITICAL FEEDBACK WAS RECEIVED REGARDING HOW VARIOUS PERSPECTIVES WERE REPRESENTED, PARTICULARLY ADR TENANTS
THE RECOMMENDATION THAT I'LL MAKE TOWARDS THE END, AT THE END OF THE PRESENTATION TODAY REFLECTS ADDITIONAL OUTREACH CONDUCTED BY PORT STAFF TO CAPTURE THE VOICES AND PERSPECTIVE OF ADDITIONAL SMALL BUSINESSES, TENANTS AND APPLICANTS
MUCH OF THE CREDIT FOR THE SUCCESS OF OUR ADR PROGRAM GOES TO OUR NEXT TWO PRESENTERS TODAY, AND THAT IS JEFF WOLFE, DIRECTOR OF AVIATION COMMERCIAL MANAGEMENT, AND KALIA MOORE, SENIOR MANAGER OF ADR AT THE AIRPORT
SO WITH THAT, I'LL TURN IT OVER TO JEFF WOLF
JEFF, GREAT
THANK YOU VERY MUCH
GOOD AFTERNOON, COMMISSIONER, PRESIDENT JOE COMMISSIONERS EXECUTIVE DIRECTOR METRUCK AS WAS MENTIONED
I'M JEFF WOLF, DIRECTOR OF AVIATION COMMERCIAL MANAGEMENT
I'M JOINED TODAY BY OUR SENIOR MANAGER OF AIRPORT DINING AND RETAIL, OR AS REFERENCED, ADR, AS WE CALL IT, KALIA MOORE, WHO WILL BE TALKING TO US AND GIVING US THE MAJORITY OF THIS BRIEFING TODAY
I ALSO WANT TO ACKNOWLEDGE OUR ADR TEAM
WE HAVE ACTUALLY A MEMBER HERE AS WELL, SCOTT VAN HORN IN THE AUDIENCE AND OTHERS THAT ARE JOINING ON THE CALL, HOPEFULLY
I JUST WANT TO SAY THANK YOU TO ALL THE HARD WORK THAT GOES INTO THIS PROGRAM
IT'S VERY COMPLEX
AS YOU KNOW, WE HAVE MANY RELATIONSHIPS AT THE AIRPORT WITH BUSINESS PARTNERS, AND IT TAKES A LOT OF OVERSIGHT
SO I REALLY WANT TO SAY THANK YOU TO THE ADR TEAM
THERE'S GOING TO BE TWO MAIN COMPONENTS TO THIS BRIEFING TODAY, AS EXECUTIVE DIRECTOR METRUCK TOUCHED ON
THE FIRST IS WHAT WE CALL THE MASTER PLANNING PROCESS
WE REALLY LOOK BACK TO 2014 AS KIND OF THE START OF THAT MASTER PLANNING
IT'S REALLY WHEN WE HAD A REDEVELOPMENT PROGRAM IN PLACE, AND IT INCORPORATES THE VARIOUS LEASE GROUPS THAT WE'VE HAD SINCE THEN
SO WE'LL TOUCH ON THOSE AND THE PROCESSES WE WENT THROUGH, BUT ALSO ALMOST MORE IMPORTANTLY, IS THE LEARNINGS THAT WE HAD FROM THOSE LEASE GROUPS TO HELP INFORM US FOR THE SECOND MAIN COMPONENT OF THIS BRIEFING, WHICH IS SPECIFICALLY RELATED TO THE CONCOURSE SEA EXPANSION PROJECT, WHICH IS EXTREMELY EXCITING
BUT WE WANT TO GET IT RIGHT BECAUSE IT'S ONE OF THE LAST MAIN OPPORTUNITIES THAT WE HAVE FOR NEW SPACE AT THE AIRPORT FOR A LITTLE WHILE UNTIL WE HAVE FUTURE OPPORTUNITIES COME ONLINE
SO, AS I MENTIONED, WE'RE VERY EXCITED FOR THIS PROJECT
YOU MAY RECALL THAT BACK ON SEPTEMBER 26, YOU AUTHORIZED THE FINAL CONSTRUCTION COST OF $399,000,000 FOR THE PROJECT
AND SO WE EXPECT TO BE BACK IN FRONT OF YOU, DEPENDING ON THIS DISCUSSION TODAY
OUR INTENTION IS TO BE BACK IN FRONT OF YOU IN ABOUT A MONTH, ON DECEMBER TWELVETH, FOR AUTHORIZATION TO MOVE FORWARD WITH THE RFP, TO ACTUALLY PROCEED WITH THE DINING AND RETAIL COMPONENTS OF THE CONCOURSE SEA EXPANSION
ON A PERSONAL NOTE, I'VE BEEN WITH THE AIRPORT FOR JUST ABOUT 20 YEARS, AND THERE'S BEEN SOME EXTREMELY EXCITING PROJECTS THAT WE'VE HAD
WE HAVE OUR CONCOURSE AA EXPANSION, YOU KNOW, OUR CENTRAL TERMINAL PROJECT, MORE RECENTLY, JUST IN 2021, THE NORTH CONCOURSE ALL PROVIDED SOME JUST FANTASTIC NEW DINING AND RETAIL OPPORTUNITIES FOR OUR PASSENGERS
BUT IN MY TIME, I THINK I HAVE TO SAY THAT THIS CONCOURSE SEA EXPANSION IS PROBABLY THE MOST EXCITING
WE LOOK AT THE LAYOUT OF THE NEW BUILDING, WE LOOK AT THE AMENITIES THAT ARE GOING TO BE PART OF IT, AND I JUST THINK IT'S AN INCREDIBLE OPPORTUNITY THAT WE HAVE IN FRONT OF US
SO I WANT TO THANK YOU FOR YOUR SUPPORT FOR THE PROJECT
AND I ALSO AM EXCITED FOR PROCEEDING WITH OUR RFP PROCESS AS WELL
AS YOU KNOW, SEA IS A SKYTRACK'S FOUR STAR RATED AIRPORT, AND WE'RE VERY PROUD OF THAT
WE SHOULD ALL BE VERY PROUD OF THAT
BUT IT DOESN'T STOP THERE
WE WANT TO MOVE TO A FIVE STAR AND CONCOURSE SEA
EXPANSION IS ONE OF THOSE PROJECTS THAT I BELIEVE, AND I THINK AVIATION STAFF IN GENERAL BELIEVES IT CAN HELP GET US THERE
SO AS PART OF THIS BRIEFING, AGAIN, YOU'LL BE HEARING ABOUT THE LEARNINGS THAT WE'VE HAD OVER THE PAST LEASE GROUPS
THERE'S BEEN A VARIETY OF INPUTS THAT WE'VE HAD, INCLUDING TENANT FEEDBACK DIRECTLY, LEAN PROCESS IMPROVEMENT THAT WE WENT THROUGH, LEARNINGS OBVIOUSLY FROM PREVIOUS LEASE GROUPS AND RFPS
AND THEN, AS WAS MENTIONED IN THE INTRODUCTION MORE RECENTLY, THE BARRIERS TO ENTRY STUDY, WHICH HELPED INFORM US OF WHERE CAN WE IMPROVE TO MAKE THIS PROCESS BETTER, ESPECIALLY ON THE SMALL BUSINESS SIDE
SO ON THAT, WHAT WE'RE LOOKING TO DISCUSS TODAY IS WHAT CAN WE DO IN TERMS OF THE STRUCTURE OF THE RFP TO ENSURE THAT WE'RE ENCOURAGING SMALL BUSINESS PARTICIPATION
YOU'LL HEAR SOME OPTIONS FOR YOUR CONSIDERATION TODAY, ESPECIALLY IN LIGHT OF WHAT WE'VE SEEN WITH THE MOST RECENT LEASE GROUPS, LEASE GROUPS FOUR AND FIVE, WE'VE SEEN A PRETTY SUBSTANTIAL DROP IN PARTICIPATION AND INTEREST BY SMALL BUSINESS
SO WE WANT TO DO WHAT WE CAN TO TRY TO MAKE SURE THAT WE GET THAT INTEREST WITH THIS JUST INCREDIBLE OPPORTUNITY THAT WE HAVE IN FRONT OF US
AND FINALLY, AS I MENTIONED, WE'LL BE BACK IN FRONT OF YOU IN ABOUT A MONTH, ASSUMING ALL GOES WELL TODAY, SEEKING AUTHORIZATION FOR PROCEEDING WITH THE RFP AND THEN BLESS YOU
AND THEN FUTURE CONTRACT SIGNINGS AS WELL
SO WITH THAT, I WANT TO SAY THANK YOU VERY MUCH FOR THE OPPORTUNITY TO BE HERE TODAY
I WANT TO SAY THANK YOU AGAIN TO THE ADR STAFF AND I WILL HAND IT OVER TO KALIA
THANK YOU, JEFF
ONCE AGAIN, MY NAME IS KALIA MOORE
I'M SENIOR MANAGER OF AIRPORT DINING AND RETAIL
GOOD AFTERNOON, COMMISSIONERS, AND WE WILL JUMP RIGHT ON IN
NEXT SLIDE, PLEASE
SO I WILL START WITH AN ADR MASTER PLAN UPDATE
NEXT SLIDE
OVERALL, THE ADR MASTER PLANNING EFFORT IS COMPLETE
THE ADR MASTER PLANNING EFFORT BEGAN IN 2014 IN WHICH WE PROCURED A CONSULTANT TO HELP US IDENTIFY THE DEFICIENCIES IN THE OVERALL PROGRAM AND TO HELP US FURTHER OUR EFFORTS IN ACHIEVING THE GOAL OF BECOMING A FIVE STAR RATED AIRPORT
THIS EFFORT INCLUDED REVIEWING THE CATEGORIES WITHIN EACH CONCOURSE AND ADJUSTING THE CONCEPT CATEGORIES WITHIN EACH CONCOURSE FOR A BETTER MIX OF OFFERINGS THROUGHOUT THE AIRPORT
THIS RESULTED IN LOCATION SWAPPING OF CATEGORIES IN WHICH SPACES ALLOCATED FOR FOOD AND BEVERAGE CHANGED TO RETAIL AND RETAIL SPACES CHANGED TO FOOD AND BEVERAGE
NEXT SLIDE, PLEASE
THE MAP THAT YOU SEE BEFORE YOU SHOWS THE IMPLEMENTATION OF OUR MASTER PLANNING EFFORT, AND IT CAN BE SEEN IN THE CATEGORY COLORS THROUGHOUT THE BLUE REPRESENTING FOOD AND BEVERAGE, GREEN, CONVENIENCE, RETAIL RED SPECIALTY RETAIL AND YELLOW AND PASSENGER SERVICES
ORANGE REPRESENTS THE CURRENT DUTY FREE OPERATIONS
HOWEVER, OUR DUTY FREE IS CURRENTLY OUT FOR BID AND THE LOCATIONS THAT ARE REPRESENTED ON THE MAP DETAILED AS CONCOURSE A DUTY FREE AND SECTIONS WITHIN THE CONCOURSE IN THE SOUTH CONCOURSE ARE THE NEW DUTY FREE LOCATIONS
THE AREAS THAT ARE STILL PART OF THE MASTER PLANNING EFFORT THAT ARE GOING TO BE GOING OUT FOR RFP ARE THE CONCOURSE SEA EXPANSION AND THE SOUTH CONCOURSE EVOLUTION PROJECT
NEXT SLIDE PLEASE
THE IMPLEMENTATION OF THE MASTER PLANNING EFFORT HAS TAKEN PLACE SO FAR THROUGH LEASE GROUPS TWO THROUGH FIVE, IN WHICH WE STILL HAVE A REMAINING OF EIGHT LOCATIONS TO COMPLETE AND THEY ARE IN VARIOUS STAGES OF DESIGN AND CONSTRUCTION
THE REMAINDER OF THE MASTER PLANNING IMPLEMENTATION WILL TAKE PLACE WITH THE RELEASES
AS OF CURRENTLY, THE DUTY FREE THAT'S OUT FOR BID
THE CONCOURSE SEA EXPANSION AND THE SOUTH CONCOURSE EVOLUTION PROJECT THE NEXT PHASE OF MASTER PLANNING WILL TAKE PLACE WITH THE SAMP PROJECT
NEXT SLIDE PLEASE
PRIOR TO SAMP, THE CONCOURSE SEA EXPANSION IS THE LAST OPPORTUNITY FOR NEW SPACE WITHIN THE AIRPORT OUTSIDE OF THE SOUTH CONCOURSE EVOLUTION'S RETAIL OFFERINGS
ALL FUTURE RFPS BETWEEN SAMP AND THE SOUTH CONCOURSE RETAIL OFFERINGS WILL BE NATURALLY EXPIRED LOCATIONS THAT ARE CURRENTLY ESTABLISHED WITHIN THE PROGRAM
NEXT SLIDE PLEASE
NOW I'LL JUMP INTO THE CONCOURSE C EXPANSION RFP NEXT SLIDE PLEASE
THE TIMING OF THE RELEASE FOR THE CONCOURSE C EXPANSION IS ALIGNED WITH THE TIMING OF THE COMPLETION OF THE CONCOURSE SEA EXPANSION AS PRESENTED TO COMMISSION BACK ON SEPTEMBER 26 BY THE PROJECT TEAM
OVER THE LAST TWO YEARS, WE'VE CONSTRUCTED A FEW MEZZANINE LEVEL CONCEPTS WITHIN THE ADR PROGRAM AND HAVE LEARNED THAT THE INFRASTRUCTURE FOR MEZZANINE CONCESSIONS NEED TO HAVE ESTABLISHED INFRASTRUCTURE PRIOR TO CONCOURSE LEVEL CONCESSIONS BEING BUILT
THEREFORE, THE RFP RELEASE MUST TAKE PLACE IN ENOUGH TIME TO ENSURE THAT THE CONSTRUCTION SCHEDULES CAN BE STAGGERED FOR MEZZANINE CONCEPTS TO BEGIN CONSTRUCTION IN ADVANCE OF THE CONCOURSE LEVEL SPACES
THE DESIGN AND CONSTRUCTION TIMELINES IN APPROXIMATELY TWO YEARS FOR ADR SPACES AND AS YOU'VE SEEN IN THE PREVIOUSLY PRESENTED FLY THROUGH OF THE CONCOURSE C EXPANSION, THE PASSENGER FACING EXPERIENCES FOR THE MOST PART, ARE ALL THE ADR PROGRAM
SO TO ENSURE THAT WE MEET THAT WORLD CUP DEADLINE, WE HAVE TO RELEASE THE RFP BY Q ONE OF 2024
NEXT SLIDE PLEASE
NOW TO THE CONCOURSE CRFP DETAILS AS PART OF OUR CONCOURSE CRFP, WE PLAN TO RELEASE A TOTAL OF 13 SPACES
SEVEN WILL BE FOOD AND BEVERAGE LOCATIONS AND THREE WILL BE RETAIL LOCATIONS, ALL LOCATED WITHIN THE CONCOURSE C EXPANSION
WE HAVE ONE FOOD AND BEVERAGE LOCATION THAT WILL BE LOCATED PRE SECURITY IN THE TICKETING AREA
WE HAVE TWO LOCATIONS THAT ARE RETAIL IN THE CONCOURSE AREA SURROUNDING CONCOURSE C
OF THOSE LOCATIONS, THERE ARE TWO LOCATIONS, ONE FOOD AND BEVERAGE AND ONE RETAIL, THAT WE INTEND TO ALLOCATE FOR SMALL BUSINESS PARTICIPATION ONLY
NEXT SLIDE PLEASE
THERE WILL BE A TOTAL OF TWO PACKAGES THAT ARE MULTI UNIT AVAILABLE IN THIS RFP
ONE WILL BE A RETAIL PACKAGE AND ONE WILL BE A FOOD AND BEVERAGE PACKAGE
ALL OTHER UNITS WILL BE RELEASED AS SINGLE UNIT OPPORTUNITIES
A KEY COMPONENT OF THIS RFP IS THAT NO COMPANY, LARGE OR SMALL, CAN BE AWARDED MORE THAN THREE SPACES
THIS IS AN EFFORT TO ENSURE THAT OPPORTUNITIES ARE NOT CANNIBALIZED BY ANY ONE COMPANY AND IT ALSO PROVIDES MORE OPPORTUNITY FOR SMALL BUSINESSES TO PARTICIPATE
ANY COMPANY THAT BIDS ON MULTIPLE CONCEPTS IS REQUIRED TO PROVIDE THEIR PRIORITY OF AWARD IN THE RFP SUBMISSION AND CAN ONLY PROVIDE ONE CONCEPT PER SPACE, SO WE WILL NOT BE ALLOWING PEOPLE TO PROVIDE ALTERNATIVES FOR CONCEPTS OR BID MULTIPLE TIMES FOR THE SAME LOCATION
THERE ARE A FEW EXCEPTIONS OF SPACES THAT WILL NOT BE A PART OF THIS RFP PROCESS THAT ARE A PART OF THE CONCOURSE C EXPANSION, THE FIRST BEING THE SIX INTRODUCTORY KIOSKS THAT ARE BEING BUILT OUT AS PART OF THE EXPANSION
THOSE SIX LOCATIONS ARE PART OF OUR INTRODUCTORY KIOSK PROGRAM AND THEY ARE SHORT TERM LEASES AND THEY DON'T GO THROUGH THE RFP PROCESS, BUT A MUCH MORE ABBREVIATED PROCESS AND THE LAST IS SPACE CC 29, WHICH IS A REPLACEMENT SPACE FOR A TENANT THAT'S IMPACTED BY THE DUTY FREE EXPANSION AND THAT WAS APPROVED BY COMMISSION ON OCTOBER 24 NEXT SLIDE PLEASE THIS IS THE MAP OF THE CONCOURSE LEVEL
THE CONCOURSE LEVEL CONSISTS OF THREE DINING LOCATIONS AND THREE RETAIL LOCATIONS WITHIN THE CONCOURSE SEA EXPANSION
ADDITIONALLY, ON THIS LEVEL, YOU CAN ALSO SEE THAT THERE ARE TWO RETAIL LOCATIONS IN THE SURROUNDING AREAS NEXT TO CONCOURSE EXPANSION AND YOU CAN ALSO SEE THE PRE SECURITY DINING LOCATION
NEXT SLIDE PLEASE
ON THE MEZZANINE LEVEL, IT CONSISTS OF FOUR FOOD AND BEVERAGE LOCATIONS, INCLUDING TWO DEDICATED ANCILLARY SEATING LOCATIONS WHICH ARE ALLOCATED TO TWO OF THE LOCATIONS ON THE MEZZANINE
ALL REMAINING SEATING IS OPEN SEATING FOR ALL OTHER CONCEPTS
NEXT SLIDE PLEASE THE PROPOSED BUSINESS TERMS ARE TO EXPAND FROM THE CURRENT LEASE TERMS OF TEN YEARS TO TWELVE YEARS FOR FOOD AND BEVERAGE AND FROM EIGHT YEARS TO TEN FOR RETAIL
THIS IS A DIRECT RESPONSE TO THE ADR LIEN PROCESS IMPROVEMENT FINDINGS RELATED TO THE INCREASED COST TO DESIGN AND CONSTRUCTION AT THE AIRPORT, THE AMOUNT OF TIME NEEDED TO SEE A RETURN ON THE INVESTMENT, AND INCREASED OPERATIONAL AND COSTS ASSOCIATED WITH PORT INITIATIVES AND CITY REQUIREMENTS
STAFF HAS IDENTIFIED THAT THE PROPOSED TERMS ADDRESS THOSE FACTORS, AS WELL AS MAINTAIN AN APPROPRIATE AMOUNT OF TIME BETWEEN ACHIEVING A RETURN ON INVESTMENT FOR THE AWARDED TENANT, AS WELL AS OPENING UP OPPORTUNITIES FOR NEW BUSINESSES TO BID
NEXT SLIDE PLEASE AT THIS TIME, I'D LIKE TO SHIFT FOCUS TO SOME OF THE LESSONS LEARNED THAT WE HAVE HAD OVER THE COURSE OF THE IMPLEMENTATION OF OUR MASTER PLAN AS WELL AS VARIOUS FEEDBACK THAT HAS BEEN RECEIVED FROM THE ADR LIEN PROCESS IMPROVEMENT AND BARRIERS TO ENTRY STUDY AS WELL AS ACTIONS THAT HAVE BEEN TAKEN OR THAT ARE IN PROCESS AND A FEW CONSIDERATIONS REMAINING TO BE EXAMINED TO START
NEXT SLIDE PLEASE SOME OF THE FEEDBACK THAT HAS BEEN RECEIVED IS THAT AS PART OF OUR MASTER PLANNING EFFORT, WHEN CONCEPTS CATEGORIES WERE CHANGED FROM RETAIL TO FOOD AND BEVERAGE, THE ADR SPACES WERE NOT OUTFITTED APPROPRIATELY FOR THE ADJUSTMENTS
ADDITIONALLY, THE RFP PROCESS CAN BE VERY CONFUSING AND COSTLY FOR THOSE WHO ARE NEW TO DOING BUSINESS AT THE PORT OR INTERESTED TO ENTER INTO THE INDUSTRY
ADDITIONALLY, THERE ARE OTHER VARIOUS UNIQUE BARRIERS TO BOTH ENTRY AND BUSINESS GROWTH FOR SMALL BUSINESS THAT WE WILL CONTINUE TO IDENTIFY AND DISCUSS LATER IN THIS PRESENTATION
NEXT SLIDE PLEASE SOME OF THE ACTIONS THAT WE'VE TAKEN SO FAR ADR CONDUCTED A LEAN PROCESS IMPROVEMENT IN 2019 AND PRESENTED THE FINDINGS ON MARCH EIGHTH 2022
THE TEAM WILL BE COMING BACK TO COMMISSION IN Q ONE OF 2024 FOR PHASE ONE OF A SHELL AND CORE PROJECT IN WHICH THE PORT WILL BE TAKING ON DEMOLITION OF ALL ADR SPACES PRIOR TO TURNOVER TO TENANTS IT
THIS ADDRESSES THE FINDING FROM THE BARRIERS TO ENTRY STUDY AS WELL AS WELL REGARDING THE HIGH BUILDOUT COSTS AT THE AIRPORT AS THIS WORK WILL IN RESULT DECREASE IN CONSTRUCTION COSTS APPROXIMATELY TEN TO 15% TO INCOME TENANTS IN RESPONSE TO THE FEEDBACK PREVIOUSLY RECEIVED
MOVING FORWARD, ADR WILL BE REMOVING ALL BID BOND REQUIREMENTS FROM RFP SUBMITTALS WHICH WAS AN UPFRONT COST INITIALLY
WE'LL BE REMOVING CAPITAL INVESTMENT SCORING FROM RFPS AS THE COST OF BUILDOUT WILL CHANGE FROM TIME OF BID TO THE ACTUAL CONSTRUCTION DUE TO INFLATION AND HAVE REMOVED THE ABILITY FROM COMPANIES TO BID MAGS WHICH IS THE MINIMUM ANNUAL GUARANTEE AND HAVE INSTITUTED A MINIMUM PERCENTAGE RENT FOR ALL BIDDERS
THE REMOVAL OF MAD BIDDING REMOVES THE ABILITY FOR BUSINESSES TO BUY CONTRACTS OR EDGE OUT COMPETITORS SOLELY BASED ON A FINANCIAL OFFERING, WHICH IS AN ISSUE THAT HAS BEEN DISCUSSED CONSISTENTLY THROUGHOUT THE AVIATION INDUSTRY
NEXT SLIDE PLEASE ADDITIONAL FEEDBACK RECEIVED HAS IDENTIFIED THAT THE FOLLOWING ARE CONSIDERED BARRIERS TO BOTH SMALL BUSINESS ENTRY AND BUSINESS GROWTH IN THE PORT
THE CAPABILITY OF NEW SMALL BUSINESSES TO COMPETE AGAINST LARGER, MORE ESTABLISHED BUSINESSES FOR THE SAME SPACES WITHIN AN RFP
THERE WAS FEEDBACK THAT THE ADR RFP PROCESS CAN BE CONFUSING FOR THOSE WHO ARE NEW TO THE PROCESS AND MANDATORY LABOR PROCESSES AND POLICIES IMPACTED SMALL BUSINESS INTEREST IN DOING BUSINESS WITH THE PORT
NEXT SLIDE PLEASE
IN AN EFFORT TO MAKE THE RFP PROCESS MORE ACCESSIBLE, ADR WILL BE HOSTING FIRST TIME BIDDERS CLASSES IN Q ONE OF 2024
THESE CLASSES WILL BE OFFERED ON MULTIPLE OCCASIONS AND WILL GO SECTION BY SECTION OF THE RFP TO DEMYSTIFY THE RFP PROCESS
AS MENTIONED PREVIOUSLY, THERE IS AN INTENTION TO ALLOCATE TWO LOCATIONS, ONE FOOD AND BEVERAGE AND ONE RETAIL, AS PART OF THE CONCOURSE C EXPANSION FOR SMALL BUSINESS PARTICIPATION ONLY
WHILE SMALL BUSINESSES CAN COMPETE FOR ALL OPPORTUNITIES, THESE OPPORTUNITIES ARE A DIRECT RESPONSE TO THE IDENTIFIED BARRIER TO ENTRY
FOR THOSE PROSPECTIVE BUSINESS PARTNERS WHO HAVE YET TO GAIN ENTRY AND HAVE VOICED THEIR CONCERNS THAT THEY CAN'T COMPETE AGAINST LARGER, MORE ESTABLISHED FIRMS, THIS IS A FIRST TIME OFFERING FOR SMALL BUSINESSES WITHIN THE ADR PROGRAM
LASTLY, THE LABOR HARMONY REQUIREMENT WAS INTRODUCED AS PART OF THE RFP PROCESS IN LEASE GROUP FOUR, THE BARRIERS TO ENTRY STUDY IDENTIFIES
THIS IS ONE OF THE REASONS THAT SMALL BUSINESSES WITHIN THE COMMUNITY ARE NOT PARTICIPATING IN RFPS AND CURRENT TENANTS DID NOT CONTINUE TO BID WITH THE PORT AFTER ITS INCEPTION
THE LAST SLIDE ARE OPTIONS FOR CONSIDERATION TO ADJUST THE SMALL BUSINESS EXEMPTION FOR A LABOR HARMONY AGREEMENT
I'LL GO OVER THE OPTIONS AND THEN TURN IT OVER TO EXECUTIVE DIRECTOR METRUCK FOR FURTHER COMMENTS
NEXT SLIDE PLEASE
OPTION ONE IS TO MAINTAIN THE CURRENT SMALL BUSINESS EXEMPTION FOR LABOR ENGAGEMENT FOR BIDDERS WHO MEET THE FEDERAL STIPULATIONS AND HAVE 35 OR LESS EMPLOYEES
OPTION TWO IS TO CHANGE THE SMALL BUSINESS EXEMPTION FOR LABOR ENGAGEMENT REQUIREMENT FOR BIDDERS WHO MEET THE FEDERAL STIPULATIONS AS WELL AS HAVE THREE SPACES AT THE AIRPORT OR MORE
OPTION THREE IS TO CHANGE THE SMALL BUSINESS EXEMPTION FOR LABOR ENGAGEMENT REQUIREMENT FOR BIDDERS WHO MEET THE FEDERAL STIPULATIONS FOR SMALL BUSINESS AND WITH THAT, I'LL TURN IT BACK OVER TO ED METRUCK
THANK YOU, CLAIRE KALIA COMMISSIONERS AS KALIA SAID, THERE ARE MANY CHALLENGES THAT SMALL BUSINESSES FACE TO GAIN ACCESS TO ADR OPPORTUNITIES AS WELL AS IN GROWING ONCE THEY'VE ESTABLISHED A FOOTHOLD
AS I LOOK AT THE VARIOUS GOALS WE HAVE FOR JOBS AND EMPLOYMENT AT THE AIRPORT, IT IS MY BELIEF THAT REDUCING BARRIERS FOR SMALL BUSINESS IS A KEY PRIORITY BECAUSE IT NOT ONLY HELPS WITH OUR DIVERSITY AND CONTRACTING GOALS, BUT ALSO INTRODUCES UNIQUE NEW OFFERINGS TO OUR TRAVELERS
THERE WERE VARIOUS IDENTIFIED BARRIERS TO ENTRY FOR SMALL BUSINESSES AS PART OF THE BARRIERS TO ENTRY STUDY AND CLE HAS MENTIONED NUMEROUS ACTIONS THAT ARE UNDERWAY TO ADDRESS MANY OF THOSE AND FUTURE RFP AND ADR PROCESSES WITH REGARD TO THE REQUIREMENTS FOR LABOR HARMONY AGREEMENTS
WHILE MANDATORY LABOR HARMONY AGREEMENTS ARE NOT THE SOLE DRIVER OF SMALL BUSINESS ADR CHALLENGES, WE'VE HEARD LOUD AND CLEAR THAT THEY DO SERVE AS A BARRIER
THIS WAS REPORTED IN INITIAL STUDY, WHICH RECOMMENDED A SMALL BUSINESS EXEMPTION FOR TENANTS WHO HAMDI UP TO FIVE UNITS, AND IN THE REPORTED SUPPLEMENTAL IN THE SUPPLEMENTAL INTERVIEWS AND SURVEYS THAT PORT STAFF CONDUCTED MORE RECENTLY
INITIAL REVIEW OF THE DATA ALSO SUPPORTS THIS CONCLUSION, GIVEN THE SIGNIFICANT DECREASE IN SMALL BUSINESS APPLICANTS FOR ADR OPPORTUNITIES BETWEEN LEASE GROUPS THREE AND FOUR SINCE WE PUT THIS REQUIREMENT IN PLACE, THAT HAVING BEEN SAID, WE DEEPLY VALUE OUR RELATIONSHIP WITH LABOR AND RECOGNIZE THE VALUE THAT THEY PROVIDE TO EMPLOYEES OF LARGER CONCESSIONNAIRES IN TERMS OF ENSURING QUALITY JOBS AND WORKPLACES
AS KALIA SAID, THERE ARE THREE OPTIONS DEVELOPED BY STAFF WHICH WE HAVE CONSIDERED
MY RECOMMENDATION FOR THE COMMISSION TO CONSIDER IS OPTION TWO, WHICH WILL CHANGE THE SMALL BUSINESS EXEMPTION TO THREE UNITS INSTEAD OF FIVE RECOMMENDED BY THE BARRIER STUDY
THE PROPOSED NUMBER IS A COMPROMISE BETWEEN WHAT WAS ORIGINALLY RECOMMENDED AND WHAT IS EQUITABLE FOR SMALL BUSINESSES TO SECURE OPPORTUNITIES THROUGHOUT MULTIPLE CONCOURSES TO ALLOW FOR A BETTER BALANCE OF OPERATIONAL COSTS AND VALUE BASED ON VARYING PASSENGER DEMOGRAPHICS BY PROVIDING THE TENANT WITH ECONOMIES OF SCALE THROUGHOUT THE AIRPORT
OF THE 23 SMALL BUSINESSES CURRENTLY OPERATING AT SEA, INITIAL REVIEW OF THE DATA SUGGESTS THAT THREE WOULD NOT BE ELIGIBLE BASED ON THIS EXEMPTION AS THESE TENANTS ALREADY HAVE ECONOMIES OF SCALE WITHIN MULTIPLE TERMINALS WITHIN THE AIRPORT AND HAVE THREE OR MORE LOCATIONS, THE REMAINING 20 SMALL BUSINESS TENANTS WOULD BE ELIGIBLE FOR THIS EXEMPTION
THIS IS A RELATIVELY MODEST CHANGE, BUT ONE WITH POTENTIAL TO MAKE A LARGE DIFFERENCE FOR SOME OF OUR CONCESSIONNAIRES
AND SO I LOOK FORWARD FOR YOUR FEEDBACK ON THIS RECOMMENDATION
THANK YOU, JEFF
I DON'T KNOW IF JEFF, WOLF OR YOU HAD SOME CONCLUDING COMMENTS
YEAH, THANK YOU
WELL, WE JUST HAVE ONE MORE SLIDE TO GO THROUGH, SO IF WE WANT TO GO TO THE NEXT SLIDE, I'LL JUST COVER THIS LAST ONE
SO REALLY IT'S JUST NEXT STEPS
SO, AS I MENTIONED WITH THE INTRODUCTORY COMMENTS, OUR PLAN AT THIS POINT IS TO BE BACK IN FRONT OF YOU ON DECEMBER TWELVETH FOR THE ACTUAL AUTHORIZATION REQUEST TO MOVE FORWARD WITH THE RFP AND THEN ULTIMATELY CONTRACT SIGNING
AND THEN BASED ON RECEIVING THAT AUTHORIZATION, WE WOULD MOVE FORWARD WITH RELEASING THE RFP IN Q ONE OF NEXT YEAR
ALL OF THIS IS MOVING TOWARDS, OF COURSE, STAYING IN ALIGNMENT WITH THE PROJECT ITSELF, WHICH IS AT THIS POINT SCHEDULED TO OPEN IN ADVANCE OF THE 2026 WORLD CUP
SO Q TWO OF 2026
SO AGAIN, THAT'S WHY THIS SCHEDULE HERE, NEXT STEPS
SO THAT CONCLUDES THE COMMENTS THAT WE HAVE FOR THIS BRIEFING AT THIS POINT
AGAIN, WANT TO SAY THANK YOU TO YOU ALL
THANKS TO THE TEAM AND BE HAPPY TO TAKE ANY QUESTIONS
THANK YOU GUYS
ANY QUESTIONS FROM COMMISSIONERS? IF NOT
I HAVE SOME
COMMISSIONER MOHAMED WELL, FIRST OF ALL, I JUST WANT TO SAY THANK YOU FOR THE PRESENTATION
I KNOW WE'VE BEEN BRIEFED ON THIS
AS A MEMBER OF THE AVIATION COMMITTEE, I APPRECIATE THE RECOMMENDATIONS AND THE THOROUGHNESS AND THINKING BEHIND THOSE RECOMMENDATIONS THAT HAVE BEEN PROVIDED
I THINK THEY'RE IMPORTANT
NOW MORE THAN EVER, WE NEED TO ENSURE THAT WE ARE SUPPORTING OUR SMALL BUSINESSES AND LOOKING INTERNALLY TO MAKE CHANGE AND ALSO MAKING SOME CHANGES EXTERNALLY
SO I LOOK FORWARD TO ENGAGING MORE ON THIS AND LOOK FORWARD TO YOU GUYS BRINGING THIS BACK TO US FOR A COMMISSION VOTE
I DID HAVE A QUESTION AROUND THE FIRST TIME BIDDERS CLASS, SO SLIDE 18
I'VE HAD PEOPLE REACH OUT AND ARE REALLY EXCITED ABOUT THE CCON COURSE AND ARE INTERESTED IN DOING BUSINESS WITH THE PORT
WHEN WILL A CALENDAR BE PROVIDED FOR THAT? SO WE PLAN TO HAVE THE CLASSES A MONTH BEFORE THE RFP RELEASE SO THAT IT'S A LITTLE BIT FRESH FOR EVERYONE'S MIND
SO IT'LL BE RIGHT BEFORE WE GET READY TO RELEASE
IS THERE A PLACE WHERE WE AS COMMISSIONERS CAN SEND PEOPLE TO FOR THEM TO SIGN UP TO GET NEWS? IS IT JUST THE ADR BLOG? NO, THERE'S ACTUALLY A WEBSITE
THERE ACTUALLY IS AN EMAIL ADDRESS
SO IT'S THE ADRFP EMAIL ADDRESS AND WE CAN MAKE SURE TO SEND THAT TO CLERK HART AND PUT THAT IN THE NOTES FOR YOU DIRECTLY AS WELL
SO IF THEY SIGN UP FOR THAT, THEY'LL BE ABLE TO RECEIVE INFORMATION ABOUT THE CLASSES AS WELL? YES
OKAY
THEY'LL RECEIVE ALL UPDATES REGARDING ALL RFPS THAT WE HAVE AND RFIS
GREAT
WONDERFUL
YEAH
I LOOK FORWARD TO SITTING WITH THE RECOMMENDATIONS THAT YOU ALL PROVIDED AND HOPEFULLY COME TO A PLACE WHERE IT CAN SUPPORT OUR SMALL BUSINESSES AT THE AIRPORT
WE'VE BEEN ENGAGING THEM IN CONVERSATION AS WELL AND EXCITED TO SEE US MAKE A DECISION THAT ALLOWS THEM TO HAVE MORE OPPORTUNITY AND ALLOWS ENTREPRENEURS IN OUR REGION TO FEEL LIKE THAT THEY CAN COME TO THE PORT OF SEATTLE FOR OPPORTUNITIES
THAT CONCLUDES MY THOUGHTS AND COMMENTS
COMMISSIONER CALKINS, I'M REALLY GRATEFUL TO THE STAFF FOR ALL THE WORK YOU GUYS PUT IN ON THIS PARTICULAR TOPIC
A COUPLE OF POINTS I WANT TO MAKE
ONE IS HOW VALUABLE DATA ARE TO US MAKING A GOOD DECISION
AND WE ARE NOW LEANING ON YEARS OF DATA, BOTH ON LABOR AND EMPLOYMENT AT THE AIRPORT AND ALSO ON THE SUCCESS OF OUR CONTRACTORS AND SMALL BUSINESS PARTNERS AT THE AIRPORT
AND SO THE FORESIGHT OF PREVIOUS COMMISSIONS AND OUR LEADERSHIP HERE WITHIN STAFF TO REALLY UNDERSTAND THAT, BEFORE WE CAN FIGURE OUT A SOLUTION TO THIS, WE REALLY NEED TO UNDERSTAND AT A GRANULAR LEVEL WHAT'S GOING ON, BECAUSE QUITE HONESTLY, THERE ARE A LOT OF COUNTERINTUITIVE ELEMENTS OF THIS KIND OF WORK WHERE YOU THINK IF WE PURSUE THIS, IT'LL RESULT IN THE KIND OF OUTCOME WE WANT AND INSTEAD CAN MAKE THINGS WORSE OR JUST BE A DEAD END IN TERMS OF OUTCOMES
AND SO I FEEL LIKE IN THIS VERY HARD CONVERSATION IN WHICH WE ARE REALLY TRYING TO ELEVATE TWO VERY IMPORTANT VALUES FOR US, WHICH IS THE ABILITY OF SMALL BUSINESSES AND WMBE BUSINESSES TO SUCCEED IN A REALLY INCREDIBLE COMMERCIAL ENVIRONMENT, AND FOR THE WORKERS AT THE AIRPORT TO HAVE REALLY QUALITY JOBS, QUALITY CAREERS, I'M NOT CONTENT TO BELIEVE THAT IT'S A ZERO SUM GAME
I REALLY DO THINK THAT THERE IS A PATH FORWARD
IT'S HARD AND IT'S GOING TO TAKE, I THINK, SOME ITERATIONS
WE'RE NOT GOING TO GET 100% RIGHT ANY TIME, BUT I THINK THE WILLINGNESS OF STAFF TO CONTINUE TO DRILL DOWN, TO CONTINUE TO WORK WITH THE FOLKS WHO'VE COME FORWARD AS LEADERS FOR EACH ELEMENT OF THIS
AND ALSO REALLY, I THINK COMMISSION HAS BEEN REALLY ENGAGED ON THIS IN A POSITIVE WAY, COMING IN WITHOUT FOREGONE CONCLUSIONS, INSTEAD JUST SAYING HOW CAN WE BE SUPPORTIVE OF OUTCOMES THAT BENEFIT EVERYONE HERE AND THEN ULTIMATELY DOING IT IN SUCH A WAY THAT WE CAN JUST TAKE AS MUCH MONEY FROM TRAVELERS COMING THROUGH THE AIRPORT AND NOW I'M KIDDING
BUT GENUINELY, WE WANT PEOPLE TO THINK, I WANT TO GET TO THE AIRPORT EARLY BECAUSE IT'S MY FAVORITE PLACE TO SHOP OR IT'S MY FAVORITE PLACE TO GET A GREAT MEAL
AND THAT MEANS HAVING WORKERS WHO LOVE THEIR JOBS AND HAVING TENANTS WHO ARE THRILLED TO BE A PART OF OUR ECOSYSTEM
AND SO ULTIMATELY THAT'S, I THINK THE GOAL IS PEOPLE SHOWING UP 4 HOURS BEFORE THE FLIGHT BECAUSE SEATAC IS JUST SUCH A GREAT PLACE TO BE
SO OVER THE COURSE OF THE NEXT MONTH, I KNOW THAT WE'RE GOING TO CONTINUE TO HAVE CONVERSATIONS WITH STAKEHOLDERS
I GENUINELY LEARN EACH TIME, AND EVERY TIME I SIT DOWN, I COME AWAY FEELING LIKE THERE IS A SHARED DESIRE FROM EVERYONE I MEET WITH TO MAKE THINGS BETTER
AND SO I REALLY LOOK FORWARD TO THOSE MEETINGS
SO I KNOW I'VE GOT A COUPLE ON THE CALENDAR AND I THINK I WILL CONTINUE TO MEET INDIVIDUALLY WITH COMMISSIONER CHO JUST KIND OF HASH THROUGH SOME OF THE STUFF
BUT, YEAH, I THINK WE'RE GETTING TOWARD AN OUTCOME THAT'S A WIN WIN
SO THANK YOU ALL
ANYONE ELSE? COMMISSIONER HASEGAWA, I REALLY APPRECIATE THE THOUGHT AND THE TIME THAT STAFF HAS PUT INTO THIS AND MAKING SURE THAT COMMISSIONERS UNDERSTAND THE OPTIONS BEFORE KNOW THE TRUTH OF THE MATTER IS THAT WE'RE NOT MEETING OUR ADR GOALS RIGHT
AND SOMETHING HAS TO BE DONE IN ORDER TO MAKE SURE THAT WE'RE SUPPORTING ACDBE
WE KNOW THAT
I REALLY APPRECIATED DIRECTOR LITTLE COMING TO US DIRECTLY AND SAYING, LET'S START FROM A PLACE OF VALUES
RIGHT? WE HAVE GOALS
WHAT'S THE RIGHT THING TO DO WHEN WE'RE TRYING TO BALANCE BETWEEN VALUES AND RISK? AND SOME OF THE THINGS THAT HE LIFTED UP, AND I COULD NOT AGREE MORE, IS WE VALUE ANTIRACISM, WE VALUE EQUITY, AND WE COMMIT OURSELVES TO DISMANTLING INSTITUTIONAL RACISM TO ENSURE EQUITABLE OPPORTUNITIES FOR ALL PEOPLE
AND ONE OF THE THINGS THAT I BRING AS A COMMISSIONER, AND I KNOW THAT I SHARE THIS AS A CORE VALUE WITH ALL OF MY COLLEAGUES, IS THAT WE REALLY VALUE THE PEOPLE WHO ARE AT THE CENTER OF THESE DECISIONS
THAT'S THE WORKERS THEMSELVES, THE BUSINESS OWNERS THEMSELVES
AND PART OF WHAT WE'RE TRYING TO BALANCE HERE IS WHAT IS OUR GOAL IN TERMS OF ENSURING THAT WE ARE ALSO PROMOTING NOT ONLY BUSINESS OPPORTUNITIES, BUT QUALITY
SO THAT'S PART OF WHAT I ASK OF YOU
I JUST WANT TO REITERATE WHAT COMMISSIONER CALKINS SAID IS THAT THE DATA HAS BEEN ABSOLUTELY CRITICAL IN THIS PROCESS
AS A MEMBER OF THE EQUITY WORKFORCE DEVELOPMENT COMMITTEE, WE WERE ABLE TO UNDERSTAND THE FERRIES STUDY
WE IDENTIFIED AREAS WHERE WE COULD MAKE SOME OTHER IMPROVEMENTS, BUT THIS IS WHERE THE RUBBER MEETS THE ROAD
AND SO YOU'VE PRESENTED US WITH THREE OPTIONS
YOU MADE A RECOMMENDATION ON OPTION TWO THAT WOULD REDUCE US TO STIPULATIONS, WHO MEET FEDERAL STIPULATIONS AND HAVE THREE SPACES AT THE AIRPORT
CAN YOU TELL ME ABOUT THE NUMBER THREE, WHY THE NUMBER THREE IS SIGNIFICANT AND WHY WE'VE LANDED THERE AS OPPOSED TO THE FIVE THAT WAS RECOMMENDED IN THE PORT? ABSOLUTELY
SO THE NUMBER FIVE WAS, AS YOU MENTIONED, IT WAS A PART OF THE PORT
AND SO WHEN YOU HAVE ONE, ONE DOESN'T ALLOW YOU THE OPPORTUNITY TO BE ABLE TO TRULY FEEL THE VALUE OF BALANCING OUT THE EBBS AND FLOWS OF THE AIRPORT
AND SO TWO ALSO WOULDN'T NECESSARILY DO THAT
WHEN YOU FEEL THE EBBS AND FLOWS OF THE AIRPORT AND A REBOUND OF AN AIRPORT TERMINAL, WHEN YOU DEAL WITH AIRPORT AIRLINE REALIGNMENT AND THINGS OF THAT NATURE, IT'S NOT GOING TO BE THE SAME ON EVERY CONCOURSE
AND SO THREE DOES GIVE YOU THE BREADTH OF BEING ABLE TO BALANCE OUT OPERATIONAL COSTS
WE DO HAVE A VARIETY OF DIFFERENT INITIATIVES THAT WE PUSH, WHETHER IT BE PORT INITIATIVES, WE HAVE CITY MANDATES AND THINGS OF THAT NATURE
SO BEING ABLE TO FIND THAT BALANCE IN THE ECONOMIES OF SCALE REALLY NEEDS TO BE FELT OVER MULTIPLE SPACES TO DO THAT, AS WELL AS THE INCREASED COST
AS YOU KNOW, THE CITY OF SEATAC DOES IDENTIFY WHAT THE MINIMUM WAGE IS AT OUR AIRPORT
SPECIFICALLY, IT SPECIFICALLY SPEAKS TO TRANSPORTATION AND HOSPITALITY
HOSPITALITY DOES FALL WITHIN ADR SO WHILE THAT MAY NOT FALL FOR EVERY OTHER BRANCH, IT DOES FALL WITHIN ADR, ESPECIALLY FROM A FOOD AND BEVERAGE PERSPECTIVE
SO AT BARE MINIMUM, THEY CONTINUE TO HAVE THAT COME JANUARY 1, THEY WILL MOVE UP TO 1976, AN HOUR, WHICH IS THE HIGHEST IN THE STATE OF WASHINGTON AS FAR AS THE MINIMUM WAGE, AND QUITE HONESTLY, PROBABLY CLOSE TO THE HIGHEST IN THE COUNTRY
AND THEN SUBSEQUENTLY, THEY PAY HIGHER THAN THAT
AND SO TO BE ABLE TO BALANCE OUT ALL OF THOSE ADDITIONAL COSTS, WE DO FIND THAT THREE, AT THAT POINT, YOU ARE OPERATING AS A PRIME WITHIN AN AIRPORT
YOU DO HAVE MULTIPLE SPACES
YOU DO HAVE ECONOMIES OF SCALE WITHIN THE AIRPORT
FIVE IS A PRETTY HIGH AMOUNT OF SPACE
AND SO THAT WOULD GIVE YOU AN OPPORTUNITY TO HAVE COVERAGE IN A LOT OF LOCATIONS
A HEADCOUNT BALANCE IS NOT A REALISTIC BALANCE
AT AN AIRPORT LIKE THIS, FOR INSTANCE, WE HAVE A LOCATION, A VERY SMALL LOCATION, A SINGLE LOCATION, A WOMAN OWNED BUSINESS THAT OWNS A COFFEE SHOP AND HAS 36 EMPLOYEES
SO TO RUN A 24 HOURS COFFEE SHOP, SHE WOULD BE OBLIGATED TO BE ABLE TO HAVE A LABOR HARMONY AGREEMENT TO BID FOR ANOTHER SPACE HERE
SO FOR HER, THE OPPORTUNITY IS VERY STIFLING FOR HER TO BE ABLE TO MOVE TO THE NEXT STEP
BUT IF SHE WERE TO HAVE MULTIPLE LOCATIONS THROUGHOUT THE AIRPORT, IT DOES ALLOW HER THAT ECONOMIES OF SCALE BASED ON WHATEVER THAT PASSENGER DEMOGRAPHIC IS, SPECIFICALLY THROUGHOUT
AND SO THREE IS A BALANCE THAT FEELS RIGHT, AND THAT WE DO BELIEVE IS THE RIGHT AMOUNT THAT ALLOWS YOU TO COVER MULTIPLE DEMOGRAPHICS WITH PASSENGERS
OKAY
AND I APPRECIATE THAT ANSWER BECAUSE IT ANTICIPATED MY NEXT QUESTION, WHICH WAS OPTION TWO, AS COMPARED TO OPTION ONE, WHICH IS MAINTAINING STATUS QUO, WHERE YOUR EXEMPTION FOR LABOR ENGAGEMENT, FOR BIDDERS WHO MEET FEDERAL STIPULATIONS AND HAVE 35 OR LESS EMPLOYEES THAT HEADCOUNT THAT YOU'RE TALKING ABOUT
SO CAN YOU TALK TO ME ABOUT PROJECTIONS ABOUT JUST WORKFORCE? I MEAN, HAVE WE TAKEN THAT INTO CONSIDERATION? IF WE WERE TO GO WITH OPTION TWO, DOES THAT MEAN LESS JOBS? NOT NECESSARILY
I THINK WHAT YOU MIGHT FIND IS YOU FIND THAT SOME COMPANIES WILL MOVE TOWARDS INTEGRATING MORE TECHNOLOGY SO THAT THEY CAN OPERATE WITH LESS WORKFORCE
WE DON'T FIND THAT FROM A LOT OF SMALL BUSINESSES
THEY TEND TO MOVE TOWARDS MORE WORKFORCE BECAUSE THEY WANT TO HAVE BETTER CONTROL OF QUALITY AND THEY WANT TO BE ABLE TO HAVE MORE PEOPLE, QUALITY OF THE JOB OR QUALITY OF THE PRODUCT? QUALITY OF THE PRODUCT AND THE SERVICE
AND SO THEY HAVE A TENDENCY TO HIRE EVEN MORE STAFF TO BE ABLE TO ACCOMMODATE THAT
SO THEY HAVE LESS INTEGRATION OF TECHNOLOGY TO BE ABLE TO DO THAT
IS IT A FALSE DICHOTOMY TO SAY THAT WE'RE TALKING ABOUT CREATING POTENTIALLY MORE JOBS BUT ARE OF LESS QUALITY? NO, I WOULDN'T NECESSARILY SAY THAT
I THINK THE QUALITIES ARE STILL THERE
I THINK THE QUALITY IS STILL THERE
IT'S STILL A QUALITY JOB REGARDLESS
BUT I DO THINK THAT HEADCOUNT IS A VERY CHALLENGING THING WHEN IT COMES TO WHAT WORKS FOR ONE BUSINESS MAY NOT WORK FOR ANOTHER
YOU MAY HAVE NATIONAL BRANDS THAT DICTATE HOW MANY PEOPLE YOU NEED TO HAVE, AND THEY MAY HAVE DIFFERENT CALL OUTS SPECIFICALLY FOR CERTAIN TYPES OF THINGS THAT THEY WANT TO HAVE AS WELL AS THINGS THAT THEY WANT TO INTEGRATE
PROPRIETARY CONCEPTS, YOU CAN KIND OF DICTATE THAT SPECIFICALLY
BUT WHEN YOU REQUIRE A HEADCOUNT ONLY, IT DOES KIND OF STATE THAT YOU'RE TRYING TO WORK WITHIN THAT WINDOW SO YOU CAN AVOID THAT AS OPPOSED TO BEING ABLE TO JUST CONTINUE TO HIRE AS MANY PEOPLE AS POSSIBLE
WE'VE RECEIVED THE BARRIERS TO ENTRY STUDY IN A PRESENTATION IN PUBLIC FORUM BEFORE, SO I WON'T ASK QUESTIONS ABOUT THAT, ABOUT THE STAKEHOLDERING AND FOLKS WHO HAD VOICE IN THAT
BUT WHAT I AM WONDERING IS IF YOU COULD TALK A LITTLE BIT ABOUT STAKEHOLDERING IN RELATION TO THIS PROPOSAL AS FAR AS ENGAGEMENT OF ACDBE, OF LABOR STAKEHOLDERS, ANY STAKEHOLDERING THAT'S GONE ON AROUND THIS CONVERSATION
SO THE OUTREACH SPECIFIC TO THIS? WELL, OBVIOUSLY WE DID A SERIES, WE DID THE STUDY WITH THE STAKEHOLDERS, AND THEN WE ALSO DID ADDITIONAL INTERVIEWS WITH THE BUSINESSES ON THAT SIDE AS WELL
ON THAT SIDE
AND WE HAVE HAD CONVERSATIONS WITH LABOR
VERY GOOD
THANK YOU
ANY OTHER QUESTIONS OR COMMENTS, MR FELLEMAN? WELL, THANK YOU FOR TRYING TO BALANCE SOMETHING THAT HAS ALWAYS BEEN ONE OF THOSE CONFOUNDING ISSUES SINCE I'VE BEEN HERE ALL OF MY YEARS
IT SEEMS THE PENDULUM KEEPS ON SWINGING ONE WAY OR THE OTHER, AND YOU'VE TRIED TO FIND A MIDDLE GROUND HERE
AND BASED ON CONVERSATIONS I'VE HAD SO FAR, PEOPLE ARE STILL AT THE TABLE
SO IT SEEMS LIKE YOU ARE HONING IN, BUT IT ALWAYS TAKES THE DEVILS AND THE DETAILS
ALWAYS
ONE OF THE TWO THINGS THAT I WAS THINKING ABOUT WAS IN THE DATA PRESENTATION WERE THE SMALL BUSINESSES THAT WERE NOT PRIMES INCLUDED IN THE NUMBER OF ACBDES EMPLOYED AT THE AIRPORT THAT THEY WERE WORKING UNDER THE PRIMES
I KEEP ON FORGETTING WHAT THE TERM FOR THAT IS
MAYBE IT'S ME AND AYE
QUESTION
SO WHEN YOU'RE COUNTING ABOUT HOW MANY SMALL BUSINESSES ARE AT THE AIRPORT CURRENTLY, IF YOU'RE WORKING UNDER A PRIME, ARE YOU STILL COUNTED AS A SMALL BUSINESS? YOU MEAN AS FAR AS LIKE A JOINT VENTURE OR SOMETHING OF THAT NATURE
YES, JOINT VENTURE, AND THANK YOU
NO, YOU'RE NOT, BECAUSE YOU'RE NOT DIRECTLY LEASED
SO THE PRIME HOLDS THE MAJORITY OF THAT CONTRACT
SO YOU'RE NOT COUNTED AS A SMALL BUSINESS WHO HAS A DIRECT LEASE WITH THE PORT
WELL, THAT'S KIND OF AN INTERESTING QUESTION, THOUGH
THE CONCEPT, ALTHOUGH I DON'T KNOW THAT IT'S FULLY ACCOMPLISHED, IS OBVIOUSLY TO BE ABLE TO FLEDGE FROM BEING A JOINT VENTURE TO BEING A PRIME
BUT IN THE MEANTIME, YOU ARE REALLY WORKING AS A SMALL BUSINESS
YOU'RE OPERATING AS A SMALL BUSINESS
SO A JOINT VENTURE AGREEMENT DEPENDS ON HOW YOUR JOINT VENTURE IS STRUCTURED
SO A JOINT VENTURE IS STRUCTURED DIFFERENTLY FOR EACH COMPANY
YOU COULD BE A JOINT VENTURE WHOSE RESPONSIBILITY IS TO HANDLE HR OR TO HANDLE PURCHASING AND DO NOTHING FROM AN OPERATIONAL STANDPOINT
SO IT REALLY DEPENDS ON THE STRUCTURE OF THE JOINT VENTURE AGREEMENT, BUT IT DOESN'T NECESSARILY SPEAK TO YOU BEING IN THE OPERATING STRUCTURE OF THE CONTRACT ITSELF
SO THEY EACH DEPEND
BUT YES, WE DO HAVE NUMBERS SPECIFIC, AND WE CAN'T GET YOU DATA SPECIFICALLY TO THE JOINT VENTURE STRUCTURES
I WOULD AGREE, UNLESS YOU'RE DOING THE OPERATIONS, YOU REALLY SHOULDN'T BE COUNTED
BUT IT WOULD BE GOOD TO UNDERSTAND OF THE POPULATION OF ACDBE BUSINESSES, WHAT OF THEM ARE IN THE JOINT VENTURE
ABSOLUTELY
FOR THE OPERATIONAL SIDE, JUST SO WE UNDERSTAND, THE DATA ARE VERY IMPORTANT, BUT WE HAVE TO KNOW WHAT THE DATA REFLECT
ABSOLUTELY
THAT'D BE REALLY GOOD
AND LIKE I SAID, I GUESS THE ONLY OTHER QUESTION WAS IN TERMS OF THE NUMBER, THE MAGIC NUMBER
RIGHT
WHETHER IT'S 35 OR WHATEVER
I THINK THE CONCERN MIGHT BE NOT JUST THE BASE THRESHOLD, BUT THE MAXIMUM AT A CERTAIN POINT IN TIME
WHAT'S A SMALL BUSINESS
RIGHT
AND THIS EXEMPTION, DOES IT APPLY TO
IT'S THE FEDERAL DEFINITION
RIGHT
WHICH, PLEASE REMIND ME, IS HOW MANY
SO IT DEPENDS
SO FROM AN AIRPORT DINING AND RETAIL STANDPOINT, IT DOESN'T HAVE A HEADCOUNT
IT'S ABOUT GROSS ANNUAL SALES
SO IT WOULD JUST DEPEND ON WHERE A BUSINESS FALLS WHEN IT COMES TO YOUR LARGER BUSINESSES
THEY DON'T FALL IN THAT CATEGORY ALTOGETHER
SO THEY'RE FAR SURPASSED WHERE THEY COULD BE FROM A DOLLAR STANDPOINT
BUT THERE ARE THREE PARTICULAR THERE'S A LIMITED SERVICE RESTAURANT, THERE'S A FULL SERVICE RESTAURANT, THERE'S GIFTS AND NOVELTIES AND CONVENIENCE RETAIL KIND OF THINGS
AND SO THEY HAVE DIFFERENT THRESHOLDS, SPECIFIC
AND THOSE RANGE, FOR ALL OF THOSE, SOMEWHERE BETWEEN 10 MILLION TO $13 MILLION
AND I CAN GET YOU THE EXACT NUMBERS BACK
I CERTAINLY DON'T NEED THE EXACT NUMBERS, BUT SOME SORT OF SENSE FOR THE NON RETAIL, THE IDEA THAT HOW MUCH OF AN EQUIVALENCY CAN THERE BE BETWEEN GROSS REVENUE AND EMPLOYEES? IS THERE LIKE SOME BALLPARK THING WHERE YOU CAN ACTUALLY JUST USE THE DATA, YOU KNOW, EXIST? BECAUSE I JUST SEE THAT AS ANOTHER PLACE WHERE, WELL, A SMALL NUMBER OF THESE EXEMPTIONS, SHALL WE SAY, ARE ACCEPTABLE
BUT IF THEY'RE RELATIVELY BIG BUSINESSES, WE'RE GOING TO RUN INTO PROBABLY MORE PUSHBACK THAN IF THEY'RE A MODERATE SIZED BUSINESS
AND THEN ALSO JUST THAT FOUNDATIONAL DATA
I THINK ONE OF THE IMPORTANT PIECES OF DATA THAT DID BRING UP IS THAT THE REDUCTION IN APPLICATIONS TO APPLY FOR A SMALL BUSINESS, AN ADR FACILITY
SO THAT IS REALLY A REFLECTION OF THE FUTURE
BUT I MEAN, JUST TO CREATE AN ACCURATE BASELINE, I THINK IT WOULD BE HELPFUL TO KNOW THAT
JOINT VENTURE QUESTION
ABSOLUTELY
THANK YOU
ANYONE ELSE? KALIA, WHAT'S THE AVERAGE GROSS REVENUE OF ONE OF OUR ADR TENANTS, A FOOD AND BEVERAGE OR A RETAILER? FOOD AND BEVERAGE
I DON'T KNOW, OFF THE TOP OF MY HEAD, BUT I COULD
FOR A FULL SERVICE RESTAURANT, PROBABLY
YEAH, MAYBE SOMEWHERE AROUND THREE OR 4 MILLION
AND THE FEDERAL STIPULATION FOR A SMALL BUSINESS FOR FOOD AND BEVERAGE IS WHAT LIMITED SERVICE WOULD BE? SOMEWHERE AROUND 1010
SO, THEORETICALLY, AND I'M SURE YOU'VE DONE THIS MATH, BUT EVEN WITH THREE SPACES, YOU COULD EXCEED A $10 MILLION GROSS REVENUE
CORRECT? YOU COULD
IN WHICH CASE, THEY WOULD NOT BE EXEMPT FROM AN LHA AFTER THEY GOT TO THAT POINT
YEAH, THEY WOULDN'T
SO WE DO HAVE, AS DIRECTOR METRUCK MENTIONED, THERE ARE A FEW THAT WOULD NOT BE EXEMPT
AND DO WE KNOW WHO WOULD NOT BE EXEMPT? WE DO
OKAY
COULD YOU PLEASE PROVIDE THAT TO ME? ABSOLUTELY
SECONDLY, ONE THING THAT TO GOING BACK TO COMMISSIONER HASEGAWA'S QUESTIONS ABOUT ENGAGEMENT, I KNOW THAT COMMISSIONERS HAVE HAD CONVERSATIONS
COMMISSIONER CALKINS AND I MET WITH THE SMALL BUSINESS ADVISORY COUNCIL
I THINK THAT'S WHAT THEY CALL THEMSELVES
SBAAC
YES
TELL ME A LITTLE BIT ABOUT AT WHAT POINT THESE SMALL BUSINESSES NEED TO NEGOTIATE LHA IN THE PROCESS AFTER AWARD
THEY WOULD NEED TO ENGAGE WITH LABOR AND NEGOTIATE PRIOR TO CONTRACT NEGOTIATION
CONTRACT NEGOTIATION WITH US? YES, PRIOR TO CONTRACT NEGOTIATION
SO THEY DON'T HAVE TO NEGOTIATE AN LSA PRIOR TO APPLYING? NO, BUT IT'S PRIOR TO
SO ONCE WE HAVE AWARDED THEM BEFORE, WE CAN NEGOTIATE CONTRACT WITH THEM
SO I GUESS ONE OF THE THINGS THAT CAME UP WAS AT WHAT POINT IN THE PROCESS AN LHA NEEDS TO BE NEGOTIATED
THERE'S NO QUESTION ABOUT WHETHER OR NOT AN LHA NEEDS TO BE NEGOTIATED
BUT WHY ISN'T OUR POLICY SUCH THAT IT'S AFTER OUR CONTRACT NEGOTIATION
THAT IS THE CURRENT PROCESS
YEAH
YOU JUST TOLD ME THAT THEY NEGOTIATE BEFORE CONTRACTING
IF I CAN JUMP IN
SO YOU'RE ASKING, COULD WE DELAY IT? YES, IT'S CERTAINLY AN OPTION AS ANOTHER WAY TO ASSIST
THESE ARE WHAT WE'RE TRYING TO BALANCE IN TERMS OF WHAT'S THE RIGHT ACTION TO TAKE HERE
IT'S CERTAINLY, COMMISSIONER, ANOTHER FORM OF WHAT ROUTE DO WE WANT TO GO? IS IT JUST ON CRITERIA FOR HOW YOU'RE DEFINED AS A SMALL BUSINESS, OR IS IT AT WHAT POINT IN THE PROCESS? SO WE'RE COMPLETELY OPEN TO THAT AS WELL, BECAUSE I THINK ONE OF THE THINGS THAT I HEARD FROM SPEAKING WITH THESE SMALL BUSINESS OWNERS IS NOT THE FACT THAT THEY ARE AGAINST, IN PRINCIPLE, A LABOR HARMONY AGREEMENT
IT IS THE FACT THAT IT'S COSTLY, IT TAKES TIME
IT IS A BARRIER TO MORE APPLICANTS
RIGHT
AND SO IT WOULD BE HELPFUL IF WE GAVE OUR SMALL BUSINESS AWARDEES ABSOLUTE CERTAINTY ON THE TERMS AND CONDITIONS OF THEIR LEASE WITH THE PORT OF SEATTLE BEFORE THEY GO INTO THAT
I'M NOT SAYING WE SHOULD GET RID OF LHAS
I'M SAYING THAT WE SHOULD GIVE THEM ALL THE CERTAINTY IN THE WORLD THAT WE POSSIBLY CAN BEFORE THEY GO AND EXPEND ALL THIS MONEY ON AN LHA
BECAUSE LET'S SAY WE AWARD SOMETHING TO A SMALL BUSINESS OWNER, WE MAKE THEM NEGOTIATE AN LHA, WE GO INTO CONTRACTING WITH THE PORT, AND THEY DECIDE, YOU KNOW WHAT? I DON'T WANT TO DO THIS
THEN THEY'RE OUT ALL THE MONEY THEY JUST NEGOTIATED WITH THE LHA, CORRECT? THAT'S CORRECT
SO I WOULD LIKE US TO CONSIDER AT WHAT POINT IN THE PROCESS, AS FAR AS DOWN THE LINE IN THE PIPELINE AS WE CAN
I'M NOT SUGGESTING WE GET RID OF THE REQUIREMENT FOR LHAS, BUT I AM SUGGESTING THAT MAYBE WE SHOULD LOOK AT
AT WHAT POINT IN THE PROCESS WE REQUIRE THIS TO BE DONE
I'M OKAY POTENTIALLY WITH A 90 DAY WINDOW AFTER A CONTRACT IS SIGNED WITH THE PORT
RIGHT
I'M JUST THROWING THAT OUT THERE
I'M NOT SAYING THAT'S WHAT WE'RE GOING TO DO, BUT I THINK WE NEED TO GET CREATIVE AND REALLY MAKE SURE THAT WE REDUCE THE REAL BARRIERS
RIGHT
WHAT I HEARD AGAIN AT THE SBAAC WAS NOT THAT THEY'RE ALL AGAINST THE LHAS
IT IS THAT THE LHA BECOMES A DISINCENTIVE TO APPLY AND TO BECOME A TENANT BECAUSE THERE'S STILL UNCERTAINTY AROUND WHAT THEIR BUSINESS IS GOING TO LOOK LIKE
AT THE END OF THE DAY, A BUSINESS IS ABOUT MANAGING RISK
RIGHT
AND AT THE END OF THE DAY, IF YOU DON'T KNOW WHAT RISK YOU'RE WALKING INTO, YOU DON'T WANT TO TAKE ANY
RIGHT
AND SO THERE ARE PROBABLY MANY SMALL BUSINESS OWNERS WHO ARE IN A SITUATION WHERE THEY HAD TO NEGOTIATE AN LHA BEFORE THEY EVEN HAD A CONTRACT WITH THE PORT
THAT IS A FUNDAMENTAL PROBLEM IN THIS PROCESS
SO IF YOU COULD PLEASE COME BACK TO US IN THE NEXT MONTH WITH SOME POTENTIAL SOLUTIONS ON HOW TO ADDRESS THAT PROBLEM, I THINK IT WOULD GO A LONG WAY IN ADDRESSING THE ISSUES THAT SMALL BUSINESSES HAVE
IS THAT CLEAR? YES
OKAY, PERFECT
THANK YOU
ANY OTHER QUESTIONS OR COMMENTS? COMMISSIONER, CAN I ASK YOU A CLARIFYING QUESTION ABOUT THAT, WHICH IS IT'S NOT LIKE AN OR SO WHEN WE'RE TALKING ABOUT THE NUMBER OF UNITS, WHEN A LABOR HARMONY AGREEMENT DOES APPLY, THAT THAT'S WHAT YOU'RE TALKING ABOUT
THE PROCESS IN THAT CASE
BUT YOU WANT TO LOOK AT THAT
THESE ARE TWO SEPARATE ISSUES
I'M NOT REFERRING TO THE QUOTA
I'M REFERRING TO JUST AT WHAT POINT IN THE PROCESS WHEN IT ASSUMING
OKAY, LET ME JUST CLARIFY TO MAKE SURE THAT NO ONE'S CONFUSED
ASSUMING YOU NEED TO NEGOTIATE AN LHA, WHAT POINT IN THE PROCESS DO WE REQUIRE TO BE DONE? IS IT BEFORE CONTRACTING WITH THE PORT OF SEATTLE? IS IT AFTER WE'VE NEGOTIATED THE TERMS WITH THE PORT OF SEATTLE? ARE WE ALL ON THE SAME PAGE? OKAY
THANK YOU, COMMISSIONER MOHAMED
COMMISSIONER CHO
PRESIDENT CHO
YOU CAN CALL ME SAM
I HEARD YOU CORRECT SOMEONE TODAY
THE DATA AND ALSO THE REPORTING THAT WE HEARD FROM THE BARRIERS REPORT MAY POINT TO THE FACT THAT THE LHA, LIKE, WHEN IT'S INTRODUCED, IS A PROBLEM
BUT I FEEL LIKE WE'RE HEARING LOUD AND CLEAR, THOUGH, FROM THE SMALL BUSINESSES THAT THE REALLY SMALL BUSINESSES THAT MAYBE HAVEN'T AYE
THAT $10 MILLION THRESHOLD, THAT SIGNING OR NEGOTIATING AN LHA THAT DOESN'T HAVE A TEMPLATE OR THAT THEY HAVEN'T SEEN IS THE BIGGEST BARRIER FOR THEM
AM I UNDERSTANDING THAT CORRECTLY? THAT IS ALSO AN IDENTIFIED BARRIER? YES
AND TO ME, IT'S ONE OF THE BIGGEST
I THINK, AND I APOLOGIZE
I GOT THIS WRONG
I DIDN'T MEET WITH THEM WITH COMMISSIONER CALKINS
I MET WITH YOU
I'M SO SORRY
I'M STILL JET LAGGED
GIVE ME SOME GRACE
I JUST WANT TO MAKE SURE
NO, BUT I THINK YOU'RE ABSOLUTELY RIGHT
PART OF IT IS AT WHAT POINT DO WE NEGOTIATE THE SIGN, THE LHA, BUT ALSO THE OTHER PART IS WHAT'S IN
RIGHT
AND IS THERE A POTENTIAL TO STANDARDIZE IT SUCH THAT THE LEGAL FEES AND OR NEGOTIATIONS AREN'T AS ONEROUS
RIGHT
AND SO I AGREE WITH YOU
THAT WAS SOMETHING THAT WAS BROUGHT UP DURING OUR MEETING
THAT
I DON'T KNOW WHAT THE LEGALITY OF THAT IS, BUT IT IS SOMETHING THAT COULD REDUCE SOME OF THE FRICTION AS WELL
AGAIN, IT'S NOT ON PRINCIPLE THAT THEY'RE AGAINST IT
IT'S JUST THAT IT'S A HUGE BARRIER
WE'RE NOT ADOPTING ANY RECOMMENDATION, BUT I JUST WANT TO MAKE SURE THAT I'M HEARING WHERE THE BIGGEST BARRIER LIES FOR THOSE SMALL BUSINESSES, FOR US TO MAKE THE BEST DECISION IN THE FUTURE
YEAH
I THINK IT'S ALSO IMPORTANT TO REMIND FOLKS THAT WE HAVE NOTHING TO DO WITH THE CONTENTS OF THE LA
THAT IS BETWEEN THE TWO PARTIES TO THE CONTRACT
WE ARE NOT PARTY TO THE CONTRACT
I ALSO APPRECIATE AND HEARD IN CONVERSATIONS THAT LACK OF AWARENESS OF WHAT AN LHA WOULD LOOK LIKE FOR A FIRST TIME SMALL BUSINESS, COMPETING FOR ONE OF THESE BIDS COULD BE TOO HIGH A BARRIER TO OVERCOME
AND I THINK THERE'S A WILLINGNESS TO CONSIDER HOW THAT PARTICULAR PART OF IT COULD BE OVERCOME BY OUR PARTNERS IN THIS
SO I THINK WE SHOULD KEEP PUSHING ON THAT TO MAKE SURE THAT WHEREVER TRANSPARENCY IS POSSIBLE WITHOUT CREATING AN UNDUE BURDEN ON ONE SIDE OR THE OTHER, I WOULD ENCOURAGE THEM TO PURSUE THAT, AS IT MAKES IT EASIER FOR BOTH SIDES
AND THE ONLY FOLKS WHO WIN IN A SITUATION IN WHICH A LOT OF NEGOTIATION IS REQUIRED ARE THE ATTORNEYS WHO ARE PAID BY BOTH PARTIES TO DO THAT
AND SO IF WE CAN ENCOURAGE THEM TO KEEP THEIR PROCESS AS STREAMLINED AS POSSIBLE
AND AS YOU SAID, THE LATER IT IS IN THE PROCESS, THE FEWER THAT HAVE TO GO THROUGH IT UNNECESSARILY, I THINK THAT'S BETTER
DOES OUR LEGAL COUNSEL HAVE ANY COMMENTS OR QUESTIONS? I HAVE A LOT OF
YOU'RE ON THE EDGE OF YOUR SEAT HERE
NO, I'M JUST WORKING WITH A TEAM AND UNDERSTANDING THE OPTIONS YOU WANT TO LOOK AT
AND LABOR HARMONY AGREEMENTS ARE IMPORTANT FOR PREVENTING DISRUPTION AT THE AIRPORT, AND THERE'S CERTAIN TENANTS ABOUT THE APPROPRIATE WAY TO ENTER INTO THEM
SO WE'LL JUST BRING OUR ADVICE TO THE QUESTIONS AND COME BACK TO YOU
EXCELLENT
ANY FINAL THOUGHTS OR COMMENTS FROM THE TEAM? SORRY, WE'RE GRILLING YOU, BUT THIS IS IMPORTANT STUFF
YOU'RE OKAY
ALL RIGHT, GREAT
WELL, WITH THAT, THAT CONCLUDES OUR BUSINESS MEETING AGENDA FOR THE DAY
ANY CLOSING COMMENTS AT THIS TIME OR MOTIONS RELATING TO COMMITTEE REFERRALS FROM COMMISSIONERS? YEAH
COMMISSIONER FELLEMAN? WELL, I'D LIKE TO START BY THANKING THE RESIDENTS OF KING COUNTY FOR THEIR OVERWHELMING SUPPORT FROM MY REELECTION TO A THIRD TERM ON THE COMMISSION
AND AS A REPRESENTATIVE OF A BROAD CROSS SECTION OF THE COUNTY, AND ONE OF THE FEW OF JEWISH UPBRINGING TO HAVE SERVED ON THE COMMISSION, I FELT IT'S IMPERATIVE THAT I ADDRESS THE ATROCITIES THAT HAVE BEEN OCCURRING IN THE MIDEAST OVER THE PAST MONTH
THE COMMISSION WILL BE BRINGING FORWARD A FORMAL PROCLAMATION, I BELIEVE, NEXT WEEK'S MEETING, BUT I JUST FELT IT'S IMPORTANT THAT I SAY SOMETHING HERE
I WANT TO UNDERSCORE THE IMPORTANCE OF OUR COMMUNITIES STANDING IN SOLIDARITY AGAINST VIOLENCE TO INNOCENT PEOPLE, INCLUDING THE RASH OF RACIALLY CHARGED VIOLENCE TARGETING INNOCENT PEOPLE OF MUSLIM AND JEWISH FAITH
ACCORDING TO THE ANTIDEFAMATION LEAGUE THAT JUST PUBLISHED YESTERDAY, THERE'S BEEN A 316% INCREASE IN ANTISEMITIC ACTS NATIONALLY OVER THE PAST MONTH, WHICH IS ABOUT 200 A DAY
AND ACCORDING TO A RECENT REPORT BY THE CBC, CANADIAN BROADCASTING COMPANY, THERE'S BEEN A 1300% INCREASE IN ISLAMOPHOBIA IN CANADA OVER THE SAME PERIOD
LAST FRIDAY, THE CBC REPORTED THAT 60 INTERFAITH LEADERS SIGNED A LETTER CALLING FOR COMPASSION, PEACE AND AN END TO HATRED
AND TO QUOTE ONE SENTENCE FROM THAT LETTER, MANY ARE GRIEVING DEATH AND LOSS TOGETHER
WE WANT TO ACKNOWLEDGE THAT PAIN AND SUFFERING AS SOMETHING THAT TRANSCENDS RELIGION, RACE OR ETHNICITY
WE GRIEVE AS ONE HUMAN FAMILY
AND SO I'D LIKE TO UNDERSCORE THAT WE MUST NOT LET THE MOMENT OF SUCH CONFLICT TO CREATE AN EXCUSE TO LEGITIMIZE THE LATENT BIGOTRY THAT UNFORTUNATELY STILL INFILTRATES OUR COMMUNITIES
AND I GREATLY APPRECIATE CONVERSATIONS I'VE BEEN HAVING WITH COMMISSIONER MOHAMED, WHICH HAS REVEALED GREAT ALIGNMENT
AND I'D LIKE TO CONCLUDE BY REPEATING THE QUOTE FROM, AND I'LL GET THIS WRONG, IMAN TWAKAL
AS REPORTED IN THE CBC, HATE NEEDS TO BE COUNTERED WITH HUMANITY
THANK YOU
THANK YOU, COMMISSIONER FELLEMAN
ANY OTHER COMMISSIONER MOHAMMED
WELL, I WILL START FIRST BY CONGRATULATING BOTH COMMISSIONER FELLEMAN AND PRESIDENT CHO ON YOUR REELECTION
CONGRATULATIONS TO THE BOTH OF YOU
AND I ALSO ECHO THE SAME SENTIMENTS OF COMMISSIONER FELLEMAN AS A MUSLIM COMMISSIONER, A PERSON OF MUSLIM FAITH, AND COMMISSIONER FELLEMAN, BEING JEWISH, I THINK WE BOTH BRING VERY UNIQUE PERSPECTIVES
AND THE PORT IS A GATEWAY THAT WELCOMES PEOPLE FROM ALL OVER THE WORLD
AND WE ALWAYS SAY THAT WE STAND UNITED AGAINST HATE
AND WE ARE SEEING AN INCREASE OF ISLAMOPHOBIA AND ANTI SEMITISM LOCALLY AND GLOBALLY
AND IT'S HEARTBREAKING
AND I JUST WANT OUR JEWISH STAFF MEMBERS, OUR MUSLIM STAFF MEMBERS, OUR PALESTINIAN STAFF MEMBERS, OUR ISRAELI STAFF MEMBERS TO KNOW THAT YOU BELONG
WE SEE YOU
WE DO GRIEVE WITH YOU
WE DO GRIEVE AS A ONE HUMAN FAMILY, PERIOD
THAT'S A FACT
AND WE ALWAYS STAND UNITED AGAINST HATE, PERIOD
AND WE HOPE TO SEE AN END TO THE VIOLENCE
I'M SENDING YOU ALL LOTS OF LOVE
THANK YOU FOR THE TIME
THANK YOU, COMMISSIONER MOHAMED, ANY OTHERS? THANK YOU
EXECUTIVE DR METRUCK, ANY CLOSING COMMENTS? NO, MR PRESIDENT
THANKS FOR YOUR TIME TODAY
THANK YOU
HEARING NO FURTHER COMMENTS AND HAVING NO FURTHER BUSINESS
IF THERE IS NO OBJECTION, WE ARE ADJOURNED TODAY AT 3:10 ON THE DOT
THANK YOU.

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