8f. Memo
Settlement Agreement
COMMISSION AGENDA MEMORANDUM Item No. ACTION ITEM Date of Meeting DATE : January 6, 2025 TO: Stephen P. Metruck, Executive Director FROM: Elizabeth Black, Deputy General Counsel 8f January 14, 2025 SUBJECT: Settlement Agreement Amount of this request: Total estimated project cost: N/A N/A ACTION REQUESTED Request Commission authorization for the Executive Director to execute a settlement agreement to recover over $3 million in costs associated with the Port's participation in the cleanup of the Lower Duwamish Waterway Superfund Site. EXECUTIVE SUMMARY Since 2001, the Port has incurred costs in support of the cleanup of contamination at the Lower Duwamish Waterway Superfund Site in coordination with the U.S. Environmental Protection Agency and the Washington State Department of Ecology. The Port agreed to this work and shared costs alongside the City of Seattle, King County, and The Boeing Company, understanding that the costs the Port spent would be reallocated at a later date and shared amongst all potentially responsible parties. In 2014, the Port entered into a confidential, non-binding mediation process alongside several dozen other potentially responsible parties to determine and allocate appropriate shares of costs for each party to pay. The parties agreed to share certain mediation costs as part of that process. As a result, the Port has negotiated a settlement agreement with approximately 40 parties (not including the City of Seattle, King County, or The Boeing Company) to recoup a portion of its past costs. Pursuant to the agreement, the settling parties will reimburse the Port a total of $3,445,375.45. In turn, the Port will reimburse four of those parties a total of $15,120.87, representing amounts that they paid in shared mediation costs which exceeded their allocated shares of cleanup costs. This matter was further discussed in privileged attorney-client communications. There are no attachments to this memo. Template revised January 10, 2019.
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