COMMISSION
AGENDA MEMORANDUM
Item No.
ACTION ITEM
Date of Meeting
DATE:
December 23, 2024
TO:
Stephen P. Metruck, Executive Director
FROM:
Tin Nguyen, Director, Waterfront Project Management
Arthur Kim, Capital Project Manager
8d
January 28, 2025
SUBJECT: Major Construction Unit Price Contract for Dredging
Amount of this request:
Total Estimated Contract
Capacity:
$0
$12,000,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to advertise for bids and execute a
major construction unit price contract for future dredging projects for a total not-to-exceed
capacity of $12,000,000. No funding is associated with this request.
EXECUTIVE SUMMARY
This request is for the authorization to advertise a major construction unit price contract up to
$12,000,000 to perform the maintenance dredging projects at T-18, T-30, T-46, T-91, and the
West Waterway to their designed depths and allow deep-draft vessels to access and berth at
these terminals without hindrance.
JUSTIFICATION
Maintenance dredging is a vital part of the Port's asset management program. It ensures that
deep draft vessels calling at the Port can safely moor without delays at the West Waterway and
the berths of T-18, T-30, T-46, and T-91.
Unit price construction contracts allow for a more efficient and consistent procurement of a
contractor to perform similar work at multiple terminals. For each major construction contract,
it takes many months to prepare bid documents, advertise for bids, and execute the contract. A
unit price contract combines these efforts into a single procurement process and allows for
construction to start as early as December of 2025.
Template revised January 10, 2019.
COMMISSION AGENDA - Action Item No. 8d
Meeting Date: January 28, 2025
Page 2 of 3
Once the unit price contract is in place, executing a work authorization for each project should
take weeks and not months, making the Port more responsive to changing business needs.
Diversity in Contracting
The project team is working with the Diversity in Contracting Department to determine an
aspirational goal for WMBE participation on this construction contract.
DETAILS
Scope of Work
Utilizing the Major Construction Unit Price Contract will allow for the early procurement of a
contractor and enables construction to begin as early as Q4 of 2025. The following maintenance
dredging projects are planned for the coming years. Each project will go through separate
authorizations for design and construction.
(1)
(2)
(3)
(4)
(5)
The West Waterway High Spots Dredging to begin construction in Q4 of 2025 and target
completion in Q1 of 2026.
The T-18 Maintenance Dredging Project to begin construction in Q4 of 2025 and target
completion in Q1 of 2026.
The T-30 Maintenance Dredging Project to begin construction in Q4 of 2025 and target
completion in Q1 of 2027.
The T-46 Maintenance Dredging Project to begin construction in Q4 of 2026 and target
completion in Q1 of 2027.
The T-91 Maintenance Dredging Project to begin in construction of Q4 of 2027 and
target completion in Q1 of 2028.
Schedule
Activity
Commission authorization
Advertise
Execute Contract
Construction starts
2025 Quarter 1
2025 Quarter 1
2025 Quarter 3
2025 Quarter 4
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 - Do nothing.
Cost Implications: Expense funds will still be used in future years as separate projects.
Pros:
(1)
(2)
Retain Port resources for other priority projects and financial initiatives.
Defer temporary construction impacts at the Terminals.
Template revised June 27, 2019 (Diversity in Contracting).
COMMISSION AGENDA - Action Item No. 8d
Meeting Date: January 28, 2025
Cons:
(1)
(2)
Page 3 of 3
Dredging projects will be delayed a minimum of one year due to delays in construction
procurement.
Having separate procurements for each project will raise the overall costs.
This is not the recommended alternative.
Alternative 2 - Advertise a Major Construction Unit Price Contract for Dredging.
Cost Implications: No funding is associated with this request.
Pros:
(1)
(2)
Cons:
(1)
(2)
Begin construction as early as Q4 of 2025.
Addresses the highest priority high spots in the West Waterway as identified by the
Puget Sound Pilots.
Requires allocation of resources that could be used to fund other Port projects.
Temporary construction impacts to operations.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
No funding is associated with this request. Individual work authorizations will be paid for from
projects that will be authorized separately through established procedures. The total cost for the
contract will not exceed $12,000,000. No work is guaranteed to the contractor and the Port is
not obligated to pay the contractor until a work authorization is executed. After receiving
authorization for each project in accordance with established procedures, the actual work will be
defined, and the Port will issue individual work authorizations for each project.
ATTACHMENTS TO THIS REQUEST
(1)
Presentation slides
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
None
Template revised June 27, 2019 (Diversity in Contracting).