Thursday, December 1, 2011

Port of Seattle Budget to Rise in 2012

The Port of Seattle Commission has formally approved a 2012 budget that includes increases in the amounts of both operating revenue and operating expenses.

The budget, approved by the commission at its Nov. 22 meeting, includes an operating expenses increase to $309.7 million, an 8.4 percent jump over the current year. It also includes an operating revenue rise to $518.1 billion, up 5.1 percent compared to 2011.

Operating revenue for the port’s real estate division is expected to grow by about two percent compared to 2011 budget levels, according to budget data, as third party and lease revenue rises slightly as the hospitality and real estate markets continue to recover.

CEO Tay Yoshitani said that in 2012 the port expects an increase in cruise passengers as well as a new lease at Terminal 106 to increase operating revenues 2.5 percent relative to 2011.

The addition of a Disney Cruise Line homeport ship is anticipated to increase passenger volumes by about 10 percent, he said.

Critical goals for 2012 listed by port include increasing the amount of cargo freight and number of passengers moving through the freight and passenger terminals, as well as developing a stewardship plan for key division assets, such as the SeaTac Airport, which the seaport operates.

The budget also allocates over $390 million for capital projects, including the Alaskan Way viaduct replacement project and South Park Bridge.