EXECUTIVE DIRECTOR’S REPORT
TO THE
PORT OF PORTLAND COMMISSION
FOR MARCH 2016
SAFETY REPORT
Port of Portland safety performance for February 2016 showed continued signs of improvement
in both frequency and severity, compared to Calendar Year 2015 for the same period.
Monthly Report of Injury Incidents
Aviation
There were two incidents reported, one recordable, one non-recordable:
• An employee was cutting zip ties with a razor knife. The knife slipped, cutting the
employee on the inner calf of the left leg.
• An employee was attempting to take a combative suspect into custody when the suspect
suddenly pulled away. The employee lost their grip and fell to the floor, resulting in a
strain to the chest.
Navigation
There was one non-recordable incident:
• An employee was attempting to open a storage container. The door was stuck, due to a
mechanical issue. In the process of opening the door, the employee suffered a strain to
the low back.
2
AVIATION REPORT
Expanded service at PDX that was announced in the past month:
Start Date Airline Destination Frequency Notes
Late June
2016
Icelandair Reykjavik
Increased to
4/week
Extending the season at 2/week from
mid-Sept. through Jan. 2016
3
Month/Month % change FYTD % change
February July-February
Passengers
12.2% 8.8%
Concessions Revenue
13.8% 10.8%
Rental Car Revenue
22.4% 4.3%
Parking Revenue
7.3% 7.9%
Passengers
Since 2016 is a leap year, the extra day in February equates to about 3.5 percent growth.
For February, passengers grew at a rate of 12.2 percent on an increase in seat capacity of 17.8
percent. The load factor dropped 4.1 points to 80.4.
Concessions Revenue
Combined terminal concessions operations reported a 13.8 percent, or $115,000, rent increase
on the month, against a 12.2 percent passenger increase. Net plus rent performances from
new and transitioning operators of $106,000 were the primary factors that impacted this
performance.
Rental Car Revenue
Rental car operations reported a 22.4 percent, or $265,000, rent increase on the month
compared to last year, against a passenger increase of 12.2 percent.
Parking Revenue by Lot
Parking revenue continues to experience strong growth. The lower growth rate in the long-term
garage is due to changes in how garage parking is managed. Long-term customers who arrive
mid-week when long-term is full are parking in the short-term garage or economy lot.
Parking transactions are up 10.6 percent in February 2016 over February 2015, and up 9.1
percent year-to-date.
Product Revenue Variance YTD Variance
Short-Term $1,322,828 17% 14%
Long-Term $1,610,812 -5% 1%
Economy $1,603,444 13% 10%
Valet $107,260 26% 28%
Total $4,654,943 7% 8%
4
Environmental
The Port hosted a meeting to explore the logistics, costs and funding associated with delivery of
Sustainable Aviation Fuels (SAF) – renewable biofuels – to airlines at Portland International
Airport (PDX), in an effort to lower our carbon footprint. Alaska Airlines joined the conversation
with the SAF suppliers, which is a partnership between SkyNRG (Amsterdam) and The Carbon
War Room (TCWR), founded by Richard Branson of Virgin Airlines. Alaska Air Group has a
goal of using SAF at one of its airports by 2020, and has asked the Port to partner with them to
explore the possibilities at PDX. SkyNRG and TCWR have a joint goal of accelerating the use
of SAF worldwide and are seeking an airport partner in North America. The initial planning goal
would be to replace one to three percent of aviation fuel with SAF per year, within two years.
No commitments have been made at this time.
CAPITAL GRANTS
Portland International Airport (PDX)
Staff submitted a reimbursement request to the Transportation Security Administration for the Law
Enforcement Officer program in the amount of $12,400 (Agreement No. HSTS0213HSLR118).
Staff submitted a reimbursement request to the Federal Bureau of Investigation for the Joint
Terrorism Task Force program in the amount of $3,956 (Agreement No. 03-026).
Hillsboro Airport (HIO)
Staff submitted a reimbursement request to the Federal Aviation Administration for the Airport
Improvement Program – HIO 12L/30R project in the amount of $1,000 (Agreement No. 03-41-
0025-023).
Marine
Staff submitted a reimbursement request to the Oregon Department of Transportation (ODOT)
for the ConnectOregon III – Terminal 6 (T-6) Crane Upgrades project in the amount of $7,068
(Agreement No. 26915).
Staff submitted a reimbursement request to ODOT for the ConnectOregon IV – T-6 Wharf
Optimization project in the amount of $18,828 (Agreement No. 28695).
Staff submitted a reimbursement request to ODOT for the ConnectOregon V – T-6 Crane Drive
Electronics project in the amount of $7,764 (Agreement No. 30128).
5
MARINE & INDUSTRIAL DEVELOPMENT REPORT
The figures in the table below show change relative to the prior year.
February 2016 Fiscal Year-to-Date
Total Tonnage
1.3% -32.3%
Containers (TEU)
-92.6% -97.3%
Import Full Containers
-100.0% -100.0%
Export Full Containers
-84.8% -92.8%
Breakbulk
–––– -60.1%
Autos
-9.4% 11.8%
Mineral Bulk
-11.9% -22.0%
Grain
47.7% -23.8%
6
PROJECT COMPLETION REPORT
The following construction contracts, previously awarded by the Commission, have been
completed:
Automated Vehicle Identification System – PDX
Approved by Port Commission
May 14, 2014
Contract Award Amount
$3,360,308.00
Authorized Contract Amendments
$548,524.92
Final Contract Amount*
$3,908,832.92
*The original Automated Vehicle Identification (AVI) System contract was exceeded by 10
percent due primarily to scope changes associated with revising the AVI system architecture,
including dividing the ground transportation and parking functions into separate software
packages, increasing the number of system credentials and miscellaneous field changes. This
contract was a design/build contract with the contractor Transcore and most of the changes
were not exposed until the contractor was able to perform the detailed design.
Concourses C & D Skylight Rehabilitation – PDX
Approved by Port Commission
June 11, 2014
Contract Award Amount
$555,551.00
Authorized Contract Amendments
$27,724.28
Final Contract Amount
$583,275.28
Concourse C Skylight Rehabilitation – PDX
Approved by Port Commission
May 13, 2015
Contract Award Amount
$548,000.00
Authorized Contract Amendments
$58,455.95
Final Contract Amount*
$606,455.95
*The original Concourse C Skylight Rehabilitation contract was exceeded by 10 percent due
primarily to scope changes from unknown deficiencies from a prior installation that were
uncovered when roofing was removed as part of this project. In addition, for efficiency reasons,
some scope from contract “Concourses C & D Skylight Rehabilitation” was transferred over into
this contract.
7
REAL ESTATE TRANSACTIONS EXECUTED PURSUANT TO DELEGATED AUTHORITY
Host International, Inc. dba Starbucks – Food & Beverage Concession Lease
Location: PDX
Term: January 13, 2016 to June 30, 2026
Use: Ten-year lease for a specialty coffee concession.
PacifiCorp – Utility Easement
Location: PDX
Term: Effective February 12, 2016
Use: PacifiCorp is granted an easement over, under, upon and across a portion of Port
property for the purpose of installing electrical distribution lines and transformers.
American Cruise Lines Inc. – Dockage Agreement
Location: Terminal 4
Term: February 26, 2016 to March 26, 2016
Use: Berth space at Terminal 4 for passenger vessel for one month.
EAN Holdings, LLC dba Enterprise Rent-A-Car – Permit for Parking
Location: PDX
Term: January 6, 2016 to January 19, 2016
Use: This permit gives access to Port property for the purpose of vehicle overflow
parking.
Skanska USA Building, Inc. – Permit & Right of Entry
Location: PDX
Term: January 4, 2016 to June 1, 2018
Use: This permit allows access to Port property in order to facilitate a construction
project.
USA-DOC-NOAA – Permit and Right of Entry
Location: Government Island
Term: February 1, 2016 to June 30, 2016
Use: This permit grants access to Port property for the purpose of conducting a radio
telemetry study to collect data on the movement and survival of salmon and the
predatory activities of sea lions in the Columbia River.
The Years Project, LLC – Permit and Right of Entry for Photography and Filming
Location: PDX
Term: February 12, 2016
Use: Permit for filming on February 12, 2016 from 3:00 p.m. to 4:00 p.m. in various
areas of the airport.
8
Level 3 Communications, LLC – Permit and Right of Entry
Location: PDX
Term: February 16, 2016 to March 31, 2016
Use: Allows access to Port property for the purpose of bringing telecommunications
services to Port property on NE Airport Way and Frontage Road.
EAN Holdings, LLC dba Enterprise Rent-A-Car – Permit & Right of Entry
Location: PDX
Term: Effective February 18, 2016
Use: This permit allows Enterprise to have access to a parking area for temporary
overflow parking of rental cars.
Portland Timbers – Second Amendment to Corporate Parking Agreement
Location: PDX
Term: January 1, 2016 to December 31, 2016
Use: This amendment extends the term of the agreement, clarifies the permitted uses
and fees and modifies the address for payment of fees.
Beaches PDX, Inc. – Vehicle Display Information for Permit and Right-of-Entry
Location: PDX
Term: Effective May 14, 2010
Use: As required by a Permit and Right of Entry between Beaches, PDX and the Port,
Beaches is submitting for Port signature a vehicle display information form for
display of motor vehicles within Beaches Restaurant at the Airport.
Avis Budget Car Rental, LLC – Second Amendment to Ground Lease for Excess Parking
Location: PDX
Term: Effective March 1, 2016
Use: This amendment deletes the area from the lease referred to as the Term
Premises.
Avis Budget Car Rental, LLC – First Amendment to Facility Lease
Location: PDX
Term: Effective February 3, 2016
Use: This amendment extends the term and deletes the language regarding options to
extend.
Budget Rent A Car System, Inc. – Third Amendment to Rental Car Limited Service Kiosk Lease
Location: PDX
Term: Effective February 3, 2016
Use: This amendment extends the term and deletes the language regarding options to
extend.
9
Avis Budget Car Rental, LLC – Second Amendment to Rental Car Concession Lease and
Operating Agreement
Location: PDX
Term: Effective February 3, 2016
Use: This amendment extends the term and clarifies environmental responsibilities of
Concessionaire.
Larry T. Yip & Oi Sim Yip – Permanent Waiver and Release of First Opportunity to Purchase
Real Property and Repurchase Right Relating to Construction Obligations and of Owner
Notification Requirement to Dahlin Fernandez, et al
Location: Mocks Landing
Term: Effective February 18, 2016
Use: Permanent waiver Re: 6421 N. Cutter Circle.
Triangle Aviation RDD, LLC – Third Amendment to Ground Lease and Development Agreement
Location: PDX
Term: Effective February 9, 2016
Use: This amendment provides for reimbursement of eligible water line construction
expenses to the Port.
Wilma TV – Permit and Right of Entry for Photography and Filming
Location: PDX
Term: Effective February 24, 2016
Use: Permit for filming on February 24, 2016 at Portland International Airport.
Todd Investment Company dba Dollar Rent-A-Car – Permit and Right of Entry
Location: PDX
Term: Effective March 1, 2016
Use: This permit allows Dollar to have access to a parking area for temporary overflow
parking of rental cars.
Fulwell 73 Limited – Permit and Right of Entry for Photography and Filming
Location: PDX
Term: Effective February 22, 2016
Use: Permit for filming on February 22, 2016 at Portland International Airport.
Foot Traffic LLC – Permit and Right of Entry
Location: PDX
Term: Effective March 25, 2016
Use: Allows access to Port property for the purpose of parking for an event.
10
Bangkok Xpress LLC dba Bangkok Xpress II LLC – First Amendment to Food Cart Permit
Location: PDX
Term: Effective March 1, 2016
Use: This amendment reduces percentage rent and eliminates payment for storage.
Abundance Unlimited LLC dba PBJ’s Grilled – First Amendment to Food Cart Permit
Location: PDX
Term: Effective February 17, 2016
Use: This amendment changes the expiration date to February 15, 2016.
Mark and Teresa Lawwill – Aircraft Noise Easement and Noise Disclosure Statement
Location: PDX
Term: Effective February 10, 2016
Use: These documents need Port acknowledgment as required by the Airport Noise
Impact Zone, X-Overlay program.
Capers Café & Catering Co. – Lessor’s Agreement
Location: PDX
Term: Effective February 22, 2016
Use: The Port is required to sign this lessor’s agreement in order for Capers to receive
a loan from its bank.
Contracts Over $50,000 Pursuant to Delegated Authority
Monthly Report for March 2016 (February Activity)
Title
Requestor
Department
Vendor
Name
P.O. Amount
Obtain design services for the
Dredge Oregon Spud Keeper and
Pile project.
Engineering Project
Development
Glosten $81,642
Obtain wastewater operator services
for HQ Living Machine.
Administrative
Services
Puttman
Infrastructure,
Inc.
$84,000
Obtain consulting services to assist
with consolidation of employee
policies into a new guidebook.
Human Resources Shorett
Communications
LLC
$99,000
Purchase console furniture for the
PDX Communication Center
Remodel Project.
Engineering Project
Development
Watson Furniture
Group, Inc.
$110,944
Purchase replacement computer
hardware.
Information
Technology
Dell Marketing LP $129,100
Obtain permits for PDX Grease
Separation Project.
Engineering Project
Development
City of Portland $162,813
New Purchases
APPROVAL LIMITS (Administrative Policy 7.2.3)
All expenditures require management approval:
BUDGET Approval by Directors Up to $ 50,000
APPROVAL Approval by Chief Officers Up to $250,000
Approval by Executive Director & Deputy Executive Director Unlimited
Contracting authority is limited to the following:
CONTRACTING Chief Officers Up to $ 10,000
APPROVAL Buyers Up to $ 50,000
Manager of Contracts & Procurement Up to $ 250,000*
Executive Director & Deputy Executive Director Up to $ 500,000
*And any amount approved by Commission
Obtain permits for PDX Quick
Turnaround (QTA) Car Wash and
Fueling Facility Project.
Engineering Project
Development
City of Portland $331,599
Obtain construction services for the
PDX Central Utility Plant (CUP)
Chilled Water Capacity
Replacement Project.
Engineering Project
Development
Fox Engineering
Company
$468,412
Purchase six shuttle buses for use
at PDX.
Engineering Design
Services
Eldorado National
(California), Inc.
$2,606,352
Obtain Construction Manager
General Contractor services for the
PDX QTA Facility Project.
Engineering Project
Development
Hoffman
Construction
Company of
Oregon
$52,406,784
Title
Requestor
Department
Vendor
Name
Original
Amount
Previous
Changes to
Contract
Current Change
to Contract
New Contract
Total
Change orders Nos. 26-31 to obtain
additional construction services for
the PDX Taxiway E North
Rehabilitation Project.
Engineering Project
Development
K&E Excavating,
Inc.
$12,038,872 $91,109 $12,129,981
Amendment No. 3 to obtain
additional engineering services
related to the PDX CUP Emergency
Generator Programmable Logic
Controller Upgrade Project.
Engineering Project
Development
Mike Brendle LLC $15,000 $274,260 $93,405 $382,665
Administrative action to add funding
for 2016 usage of the City's
Computer Aided Dispatch System.
Information
Technology
City of Portland $96,248 $295,857 $98,975 $491,080
Administrative action to add funding
for continued customs inspections
services at Hillsboro Airport.
Airport Operations U.S. Customs
and Border
Protection
$140,874 $1,125,912 $123,438 $1,390,224
Change orders Nos. 1-31 for
construction services for the PDX
Grease Separation Project.
Engineering Project
Development
Payne
Construction, Inc.
$3,753,251 $372,570 $4,125,821
Change Orders and Amendments to Project-Specific Contracts
Contracts in this category are initially awarded with a specific work scope and an identified not-to-exceed project total.
Amendment No. 5 for services for
the PDX Terminal Balancing
Concourse E Ext. Project.
Engineering Project
Development
Hennebery Eddy
Architects, Inc.
$499,970 $7,365,400 $5,800,000 $13,665,370
Title
Requestor
Department
Vendor
Name
Original Task
Order Amount
Previous
Changes to Task
Order
Current Change
to Task Order
New Task
Order Total
Total Contract
Activity -
All Task Orders
Task order against contract No. 742
to obtain construction management
services.
Engineering Project
Development
Hatch Mott
Macdonald
Holdings, Inc.
$62,900 $62,900 $2,179,330
Task order against contract No. 706
for construction compliance
monitoring services at the Troutdale
Reynolds Industrial Park.
Engineering Project
Development
Hart Crowser,
Inc.
$67,558 $67,558 $1,357,290
Task order against contract No. 901
for vegetation management services
on Government Island.
Environmental Green Banks LLC $84,470 $84,470 $118,470
Task order against contract No. 867
to obtain support for various capital
projects.
Planning &
Development
DBC
Architecture, Inc.
$114,300 $114,300 $699,604
Task order against contract No. 835
to obtain testing services for the
Terminal Balancing and Concourse
E Extension Project.
Engineering Project
Development
Mayes Testing
Engineers, Inc.
$124,738 $124,738 $464,503
Task order against contract No. 742
to obtain inspection support for
various projects.
Engineering Project
Development
Hatch Mott
Macdonald
Holdings, Inc.
$157,200 $157,200 $2,179,330
Task order against contract No. 744
for construction management
services for various projects.
Engineering Project
Development
URS Corporation $175,542 $175,542 $1,542,730
Task order against contract No. 913
to obtain consulting services for the
PDX Maintenance Campus Master
Plan Update.
PDX Maintenance Mackenzie $176,057 $176,057 $214,317
New Task Orders and Changes to Task Orders Against Non-Project Specific Contracts
Items in this category are issued against contracts that were initially awarded with no specific work scope or product quantity identified (e.g., "requirements" or "on-call"
contracts). These contracts establish pricing or rates for products or work that may be needed over a stated term. Estimated quantities may be identified, but no
guarantee of actual contract compensation or work is made. Contract durations may be short-term or for multiple years with optional renewal/extension terms.
Task order against contract No. 745
to purchase 24 Common Use Self
Service kiosks for the PDX lobby.
Information
Technology
ARINC
Incorporated
$295,749 $295,749 $1,808,191
Amendment No. 9 to task order
against contract No. 300 for
janitorial services for PDX Food
Court areas in 2016.
Airport Properties Portland
Habilitation
Center, Inc.
$524,218 $4,171,547 $761,080 $5,456,845 $7,169,326
Port of Portland Operating & Financial Results
FY 2015-16 through February 29, 2016
General Fund
Marine
Annual
Adopted
Budget
Actual
Amounts
Variance
Adopted
Budget
VOLUMES
Autos (Units)
173,817 184,468 6.1% 267,000
Breakbulk (Short Tons)
60,517 124,891 106.4% 110,232
Containers (TEUs)
64,014 2,580 (96.0%) 94,000
Grain Bulk (Short Tons)
3,020,334 2,122,447 (29.7%) 4,409,247
Mineral Bulk (Short Tons)
3,423,555 2,780,811 (18.8%) 5,389,200
Industrial Development
Navigation
General Aviation
Current Year-to-Date
The General Fund includes Marine, Industrial Development, Navigation, General Aviation, Environmental, Financial &
Administrative Services, Executive, Public Affairs, Human Resources, Legal, and Project & Technical Services (IT, Engineering,
and the Project Portfolio Office).
Comments:
Operating revenues (including land sales) are tracking well against the budget for the month, but lag on a fiscal year-to-date
(YTD) basis primarily due to timing of land sales. The sale of TRIP lot 1 is expected to occur in the second half of the fiscal
year; lots 11 and 12 are now forecast to close in FY 16-17.
YTD operating expenses excluding depreciation are $22.7M under budget due to the delays in TRIP land sales and the
corresponding cost of property sold. Operating expenses excluding land sales are $8.9 million less than budget due to the
following:
• Container carrier incentive payments ($2.0M under budget);
• Position vacancies (personnel $2.2M under budget); and
• Timing of contracts, professional & consulting services expenses ($3.8M under budget).
$(20)
$(10)
$0
$10
$20
$30
$40
$50
$60
$70
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
$(10)
$(5)
$0
$5
$10
$15
$20
$25
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
Marine Volumes:
Autos – YTD auto volumes are 6% higher than forecast and 12% higher than last year due to Toyota imports and Ford
exports.
Breakbulk – YTD is 106% higher than forecast due to the timing of ship calls and an unexpected shipment of lead ingots.
However, compared to last year YTD breakbulk volume is only 1% higher.
Containers – TEUs are down almost 100% from the forecast and last year now that Westwood is the only carrier calling
Portland amid the labor issues at T-6.
Grain Bulk – YTD grain volumes are 30% less than forecast and 24% lower than last year. Demand is currently very low. In
addition, a strong dollar means buyers can purchase grain elsewhere at a lower relative price.
Mineral Bulk – Overall, volumes are down 19% from the forecast and 21% from last year due primarily to lower than
expected potash volumes. Portland Bulk was offline for the first two months of the fiscal year while their new shiploader was
installed.
YTD operating revenues excluding land sales are in line with the Adopted Budget. Land sale revenues are $15.2M under
budget due to timing of the sales of TRIP Lots 1, 11 and 12, which were all originally assumed to close before November
2015. The sale of TRIP lot 1 is now expected to occur in the second half of the fiscal year; lots 11 and 12 are not expected to
close until FY 16-17. YTD operating expenses excluding land sales are $1.7M under budget, with the largest variances listed
below:
• Contracts, professional & consulting services are $834K under budget due to the timing of Gresham Vista traffic study and
mitigation expenses ($250K), Hayden Island environmental expenses ($182K), expenses related to TRIP land sales ($100K),
and Government Island management fees ($50K).
• Personnel services are $255K under budget due to position vacancies.
• Interdepartmental charges are $434K under budget due to lower than anticipated services received from Marine and
Engineering.
$(5)
$0
$5
$10
$15
$20
$25
$30
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
YTD operating revenues are $219K higher than budgeted due to Dredge repower loan reimbursements from the Corps of
Engineers that were not assumed in the budget. YTD operating expenses before depreciation are $93K under budget. There
were some signficant materials and supplies purchases in the first quarter ($368K over budget YTD), but the timing of
various outside services expenses and lower fuel prices ($872K under budget YTD) help to partially offset these higher
expenses.
$(2)
$0
$2
$4
$6
$8
$10
$12
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
YTD operating revenues are in line with the Proposed Budget.
YTD operating expenses are over budget by $500K, primarily due to a $460K write-off for Troutdale's Runway 7-25 non-
capitalized costs as well as higher than budgeted water and sewer costs (over $80K).
$(4.0)
$(3.0)
$(2.0)
$(1.0)
$0.0
$1.0
$2.0
$3.0
$4.0
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
Marine Operating Results:
YTD operating revenues are $2.2M less than the Adopted Budget due to lower ICTSI maintenance services reimbursement
revenues; lower than anticipated potash tonnage at T-5; and lower than anticipated grain volumes. YTD operating expenses
are $5.8M under budget, with the largest variances listed below.
• Other expense is $2.0M under budget due to only $46K in actuals for the T-6 carrier incentive program (budget = $2M).
• Contracts, professional & consulting services are $1.3M under budget due to Berth 501 & 503 grading projects not
moving forward based on hydrographic survey results ($200K), T-2 and Berth 401 dredging project savings ($73K), lower
outside services expenses related to terminal development and marketing ($135K), and timing of master planning and
environmental expenses ($586K).
• Longshore labor expenses are $1.1M under budget due to lower than anticipated crane maintenance activity at T-6.
• Personnel services are $722K under budget primarily due to vacant positions and lower than budgeted maintenance
overtime as a result of lower than anticipated maintenance services.
• Materials & supplies expenses are $492K under budget primarily due to lower than anticipated materials for T-6 cranes.
• Travel and management expenses are $213K under budget due to timing.
Port of Portland Operating & Financial Results
FY 2015-16 through February 29, 2016
Support Services
Portland International Airport
Total Passengers
PDX Airline Cost Center (ACC)
PDX Port Cost Center (PCC)
Support Services is comprised of Financial & Administrative Services, Executive, Public Affairs, Human Resources, Legal, and
Project & Technical Services. Costs for these areas are allocated to the operating areas.
YTD operating expenses excluding depreciation are almost $1.2M under budget, with the largest variances listed below:
• Personnel services are $1.2M under budget due to vacant positions.
• Contracts, professional & consulting services are $665K under budget, mosty due to timing of IT outside services
expenses.
• Travel and management expenses are $192K under budget due to timing.
• Other expenses are $177K under budget due to the timing of software expenses.
• Partially offsetting these lower expenses, interdepartmental transfers are $1.3M over budget due to lower than
anticipated services provided by Engineering and capitalized labor for both IT and Engineering.
YTD airline revenues are $2.7M higher than budget due to higher than expected landing activity (over $1.0M), common use
rentals (over $800K), and leased terminal space (over $200K). Retail, food and beverage revenues are $200K higher than
budget as a result of higher than expected passenger activity. Other non-airline revenues are $410K higher than budget as a
result of higher utility reimbursements (over $210K), as well as higher PDX GA landing activity (over $160K), and other
miscellaneous and concessions revenues (over $110K).
YTD ACC expenses are $1.9M below budget. Personnel services expense is $750K under budget due to police, maintenance,
and admin position vacancies. Materials and services are $1.0M under budget, primarily due to timing of outside services
related to the terminal (down $400K), custodial services (down $230K), deicing environmental costs (down $190K),
other
aviation environmental expenses (down $180K).
YTD parking revenues are $2.4M higher than budget due to higher passenger volume and higher than expected parking
activity. Rental car revenues are in line with the Adopted Budget. Other PCC revenues are $1.0M higher than budget as a
result of higher than expected in-flight meal concessions (over $220K), transportation network companies (e.g. Uber, Lyft;
over $200K), hotel revenues (over $170K), PIC revenues (over $130K), as well as other PDX GA and cargo revenues.
PCC expenses are $1.0M lower than budget. Personnel services expense is $360K under budget due to police, maintenance,
and admin position vacancies. Materials and services are $600K under budget, primarily due to timing of outside consulting
services related to facility studies and timing of environmental expenses related to undeveloped properties.
$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
$100
Revenues Expenses (excl
Deprec)
Debt Service &
Coverage
Surplus / (Deficit)
Millions
YTD Budget YTD Actuals
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
Parking
Revenues
Rental Cars
& Other
Rev
Expenses
(excl
Deprec)
Debt
Service &
Coverage
Revenue
Sharing
Income
Millions
YTD Budget YTD Actual
Passengers traveling through PDX are a key driver of revenues and expenses for the Airport. YTD, nearly 11.6 million total
passengers have utilized PDX, exceeding the prior year by 8.8% (and the budget by 4.0%). Current forecasts are for PDX to
reach a new record of 17.2 million passengers for the fiscal year. The higher passenger levels are a result of the continued
growing economy and new flights added by nearly all carriers serving PDX. As a result of the increased seat capacity and
strong demand for air travel, PDX passenger levels are increasing as carriers are adding flights.
1.0
1.2
1.4
1.6
1.8
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Millions
FY 14/15 Actual FY 15/16 Actual FY 15/16 Budget
$(30)
$(20)
$(10)
$0
$10
$20
$30
Op Revenue Op Exp Excl
Deprec
OIBD Deprec Op Inc / (Loss)
Millions
Curr Mo Budget Curr Mo Actual YTD Budget YTD Actual
