1 Subordinate Lien Revenue Bonds, Series 2009 Tax Equity and Fiscal Responsibility Act of 1982 ("TEFRA") Hearing Fabulich Business Center 11 A.M. June 18, 2009

2 Agenda Purpose Background Public Notice Subordinate Lien Revenue Bonds, 2008 Series B Bonds Public Hearing

3 Purpose Review projects funded by the Bond issue Receive and record public comments that will be provided to the Port of Tacoma Commission when the bonds are presented for approval –Expected presentation date of Thursday, July 2nd, Noon, Fabulich Business Center Room 104

4 Background The Federal Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) requires a public hearing for private activity bonds (AMT) Private activity bonds are bonds used to fund governmental facilities with “private activity” which include –Airport facilities used by private airlines –Docks and wharfs used by private shippers

5 Background The Port issued $133 million of AMT bonds in July 2008 to fund projects listed in the original TEFRA. All bond proceed has spent. The 2009 American Recovery and Reinvestment Act allows the (re-)issue of AMT bonds as NAMT bonds for private activity –Issuing NAMT bonds carry a lower interest rate than AMT bonds. –To qualify, the Port has extended the maturity of the original bonds.

6 Subordinate Lien 2009 Revenue Bonds Bonds expected to be re-issued July 2009 The maturity has extended from 2039 to 2044.

7 Public Notice Public notice provided in the Tacoma News Tribune on Monday, June 1. NOTICE OF PUBLIC HEARING Notice is hereby given that the Port Commission of the Port of Tacoma (the “Port”) will hold an open public hearing during a meeting on June 18, 2009 starting at 11 A.M. in the Fabulich Business Center, Room 104, 3600 Port of Tacoma Road, Tacoma, Washington to consider the issuance by the Port of its Bonds, Series 2008 in the estimated principal amount of $133,000,000 (the “Bonds”). The proceeds of the Bonds are expected to be used to provide funds for the following acquisitions of property to be used for expansion of Port facilities and for the following improvements to Port facilities:

8 Public Notice 1.Purchase of property at 1801 Alexander Ave, Tacoma WA Purchase of property at 1110 Alexander Ave, Tacoma WA Purchase of property, site development and construction at 1001 Alexander Ave, Tacoma WA Purchase of property at 3319 Lincoln Ave, Tacoma WA Purchase of property, site development and construction at 3401 Lincoln Ave, Tacoma WA Purchase of property at 1132 Thorne Road, Tacoma WA Purchase of property at East 11th & 2335 Ross Way, Tacoma WA Purchase of property at 2331 Ross Way, Tacoma WA Purchase of property, site development and construction at 3401 Taylor Way, Tacoma WA 98421

9 Public Notice 10.Purchase of property, site development and construction at 1202 Taylor Way, Tacoma WA Purchase of property, site development and construction at 3202 E 11th Street, Tacoma WA Site development and construction at 2901 and 3009 Taylor Way, Tacoma WA Site development and construction at 4215 SR 509, Tacoma WA Site development and construction at 3340 E 11th Street, Tacoma WA Site development and construction at 2340 Alexander Ave, Tacoma WA 98421

10 Public Notice 16.Site development and construction at 501 Alexander Ave, Tacoma WA Site development and construction and construction at 401 Alexander Ave, Tacoma WA Expansion of the Washington United Terminal at 1815 Port of Tacoma Road, Tacoma WA Site development and construction of the APM terminal at 1675 Lincoln Ave, Tacoma WA Site development and construction of the OCT terminal at 710 Port of Tacoma Road, Tacoma WA Site development and construction of the Husky terminal at 1101 Port of Tacoma Road, Tacoma WA 98421

11 Public Notice 22.Site development and construction of the Pierce County terminal at 4015 SR 509 North Frontage Road, Tacoma WA Site development and construction of Auto Warehousing at 2810 Marshall Ave, Tacoma WA Site development and construction at 401 Alexander Ave Pier 25, Tacoma WA Purchase property parcel 104 on Lincoln Ave, Tacoma WA 98421

12 Map of Items on the Subordinate Lien Series 2008(B) TEFRA List

13 Summary TEFRA hearing is being held to gather citizen input Comments from the hearing will be provided to the Commission Citizens will have the opportunity to comment again at the Commission meeting when the bonds are presented for approval.

14 Questions:

15 Public Hearing Please state your name and address Please limit your comments to five minutes