Regular Agenda - FEBRUARY 04, 2016
AGENDA OF THE REGULAR BOARD MEETING OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, FEBRUARY 04, 2016 AT 8:30 A.M.
PORT OF LOS ANGELES ADMINSTRATION BUILDING
425 S. PALOS VERDES STREET
SAN PEDRO, CA 90731
BOARD OF HARBOR COMMISSIONERS
Board of Harbor Commissioners
President, Ambassador Vilma S. Martinez
Vice President David Arian
Commissioner Patricia Castellanos
Commissioner Anthony Pirozzi, Jr.
Commissioner Edward R. Renwick
A. Opening Statement
Persons in the audience may address this Board in connection with any Agenda Item or during the Public Comment Period (Section D).
ORDER OF BUSINESS
OPEN SESSION
B. Roll Call
C. Executive Director Remarks
D. Comments from the Public on Non-Agenda Items
E. Reports of the Commissioners
F. Board Committee Reports
G. Approval of the Minutes
Special Meeting of January 22, 2016
H. Presentation
I. Board Reports of the Executive Director
Consent Items (1 - 6)
Contracts and Purchasing
1. RESOLUTION NO.____________ - PROPOSED SALE OF SHIP TO SHORE CRANES 209-11, 209-12, 209-13, 209-18, AND 209-19 AND ALL CRANE SPARE PARTS
Transmittal 1
Transmittal 2
Summary: The City of Los Angeles Harbor Department (Harbor Department) Contracts and Purchasing Division (CPD) is requesting that the Board of Harbor Commissioners approve the sale of ship to shore cranes 209-11, 209-12, 209-13, 209-18, and 209-19 as well as the spare parts for those cranes as part of the City of Los Angeles salvage process through a public auction. These cranes have not been used for at least the last six years and are no longer necessary for current loading and unloading operations. The Executive Director recommends the sale of the cranes and their spare parts.
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with Article II Section 2(f) of the Los Angeles City CEQA Guidelines; (2) find and determine that ship to shore cranes 209-11, 209-12, 209-13, 209-18, and 209-19 and all crane spare parts are no longer necessary or suitable for use by the Harbor Department; (3) find and determine that a public auction of ship to shore cranes 209-11, 209-12, 209-13, 209-18, and 209-19 and all crane spare parts is in the best interest of the Harbor Department because it is most likely to result in multiple competitive bids; (4) authorize the Executive Director or his designee to effectuate the public sale of ship to shore cranes 209-11, 209-12, 209-13, 209-18, and 209-19 and all crane spare parts pursuant to the Los Angeles Administrative Code Sections 7.70 and 7.71; and (5) adopt Resolution No.____________.
Information Technology
2. RESOLUTION NO.____________ - FIRST AMENDMENT TO AGREEMENT NO. 15-3328 FOR COMPANY NAME CHANGE FROM KLEIN SYSTEMS GROUP LTD. TO SAAB TECHNOLOGIES LTD.
Transmittal 1
Summary: The City of Los Angeles Harbor Department (Harbor Department) is requesting approval of the First Amendment to Agreement No. 15-3328 (Agreement) to change the vendor name from Klein Systems Group Ltd. (Klein) to Saab Technologies Ltd.The requested First Amendment is solely administrative to reflect the vendor's name change due to Klein being acquired by Saab AB. All other terms and conditions of the Agreement remain unchanged. Agreement No. 15-3328, which the Board approved at its May 21, 2015 meeting and the City Council approved at its August 12, 2015 meeting, is for software licenses, maintenance, and professional technical support services for the Harbor Department’s Billing and Port Pilot Systems. The Harbor Department will continue to be responsible for expenses under this Agreement.
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines; (2) approve the First Amendment to Agreement No. 15-3328 to reflect the company's name change to Saab Technologies Ltd.; (3) direct the Board Secretary to transmit the First Amendment to Agreement No. 15-3328 to the Los Angeles City Council for approval pursuant to Section 373 of the Charter of the City of Los Angeles and Section 10.5 of the Los Angeles Administrative Code; (4) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement No. 15-3328, upon approval by the City Council; and (5) adopt Resolution No.____________.
Office of the City Attorney
3. RESOLUTION NO.____________ - APPROVE FIRST AMENDMENT TO AGREEMENT NO. 3109 BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND BROWN & WINTERS
Transmittal 1
Summary: The Office of the City Attorney requests that the Board of Harbor Commissioners extend Agreement No. 3109 with the law firm of Brown & Winters for three years. The current three-year agreement expires on February 28, 2016. The extension will allow Brown & Winters to continue to assist the City Attorney with efforts to recover environmental investigation and cleanup expenses from historic insurance policies. The Amendment extends the term only and does not alter the contingent fee payment schedule. The Harbor Department remains financially responsible for payment of ancillary litigation costs and expenses not to exceed $35,000 per year, under the Agreement.
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II, Section 2(f), of the Los Angeles City CEQA Guidelines; (2) approve the First Amendment to Agreement No. 3109 with Brown & Winters, extending the term to a total of six years from March 1, 2013 through February 28, 2019; (3) authorize and direct the Board Secretary to forward the First Amendment to the Los Angeles City Council for its approval pursuant to Section 373 of the Los Angeles City Charter; (4) authorize the Executive Director and Board Secretary to execute and attest to the said First Amendment for and on behalf of the Board of Harbor Commissioners; and (5) adopt Resolution No.____________.
Cargo and Industrial Real Estate
4. ORDER NO.____________ - APPROVE THE RESET OF COMPENSATION UNDER PERMIT NO. 891 WITH DEL MAR SEAFOODS, INC.
Transmittal 1
Transmittal 2
Summary: The City of Los Angeles Harbor Department (Harbor Department) staff recommends to the Board of Harbor Commissioners approval of the Order resetting compensation under Permit No. 891 (P891) with Del Mar Seafoods, Inc. (Del Mar). Based upon the requirements of P891, the Harbor Department will exercise the option to extend P891 by five years. This extension is at the sole discretion of the Harbor Department. As a result, it is necessary to reset compensation for the five-year period of June 7, 2016 to June 6, 2021. Under the compensation reset Order, the current monthly rent of $2,560 will be adjusted to $5,271 effective June 7, 2016. Thereafter, the initial base rent will be subject to an annual eight percent increase in order to attain market rent, plus an annual Consumer Price Index (CPI) escalator throughout the five-year term.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Order resetting compensation under Permit No. 891 with Del Mar Seafoods, Inc.; (3) authorize the Board Secretary to attest to the Order; and (4) adopt Order No.____________.
Cargo and Industrial Real Estate
5. RESOLUTION NO.____________ - PROPOSED SEVENTH AMENDMENT TO PERMIT NO. 827 WITH APM TERMINALS PACIFIC, LLC FOR CREDIT TO OFFSET COSTS RELATED TO THE CMA CGM BENJAMIN FRANKLIN
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Summary: Staff requests the Board of Harbor Commissioners (Board) approve the proposed Seventh Amendment to Permit No. 827 with APM Terminals Pacific, LLC (APMT) to provide a one-time credit to APMT in the amount of $241,837 to be applied towards rent due and payable for the month immediately following the month in which the amendment becomes effective. Following discussions among principals of APMT, CMA CGM and the City of Los Angeles Harbor Department (Harbor Department) and subsequent execution of a Letter of Intent between those entities on November 1, 2015 (LOI), CMA-CGM committed the Ultra Large Container Vessel (ULCV) CMA CGM Benjamin Franklin (Benjamin Franklin) to call at APMT's premises at Pier 400. The LOI obligated APMT to pay CMA CGM, the vessel's owner, an incentive which totaled approximately $483,675. APMT has requested the Harbor Department's assistance to share this cost by paying half ($241,837).
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Seventh Amendment to Permit No. 827 with APM Terminals Pacific, LLC; (3) direct the Board Secretary to transmit the Seventh Amendment to the City Council for approval pursuant to Charter Section 606 of the City Charter; (4) authorize the Executive Director to execute and the Board Secretary to attest to the Seventh Amendment upon approval by City Council; and (5) adopt Resolution No.____________.
Cargo and Industrial Real Estate
6. ORDER NO.____________ - FIRST AMENDMENT AND COMPENSATION RESET ORDER TO PERMIT NO. 853 WITH CITY OF LOS ANGELES, GENERAL SERVICES DEPARTMENT
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Summary: The City of Los Angeles Harbor Department (Harbor Department) staff requests the Board of Harbor Commissioners (Board) approve the First Amendment and Order resetting compensation under Permit No. 853 (P853) with the City of Los Angeles Department of General Services. P853, which was granted in 2011, used a land value of $18/square foot (s.f.) and annual Consumer Price Index (CPI) escalator. It is due for a five-year compensation readjustment effective June 9, 2016, through June 8, 2021. The proposed First Amendment will merge Revocable Permit No. 1157 (RP), Order Nos. 3084, 1493, and 391 (Orders), and additional premises into P853. The proposed compensation reset Order will adjust compensation to reflect the current fair market land value of $32/s.f., while obtaining a ten percent rate of return that will yield annual rent of $2,229,655. Annual CPI based escalation will continue.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article III Section 1(14) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the First Amendment to Permit No. 853 with the City of Los Angeles Department of General Services; (3) approve the compensation reset Order to Permit No. 853 with City of Los Angeles Department of General Services; (4) direct the Board Secretary to transmit the First Amendment for Permit 853 to the City Council for approval pursuant to Charter Section 606 of the City Charter; (5) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment upon Board approval contingent upon approval by City Council; (6) authorize the Board Secretary to attest to the Order resetting compensation to be paid by City of Los Angeles Board of Public Works pursuant to Section 4(f) of Permit No. 853; and (7) adopt Order No.____________.
CLOSED SESSION
J. Closed Session Items
1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to the proposed ground lease for Ports O'Call site:
Property: Berths 74-83, San Pedro, California
City Negotiator: Michael Galvin/Ed Robles
Tenant Negotiators: Eric Johnson, Brian Saenger
Negotiating Parties: City and LA Waterfront Alliance
Under Negotiation: Price and Terms
2. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Permit 999 with China Shipping (North America) Holding Co., Ltd.:
Property: Berths 100-102, San Pedro, California
City Negotiator: Jack Hedge
Tenant Negotiator: Paul Navarro
Negotiating Parties: City and China Shipping (North America) Holding Co., Ltd.
Under Negotiation: Price and Terms
3. CONFERENCE WITH LEGAL COUNSEL - INITIATE LITIGATION
(Subdivision (d)(4) of Government Code Section 54956.9)
Initiation of litigation pursuant to subdivision (d)(4) of Section 54956.9: one case.
4. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
(Subdivision (b) of Government Code Section 54956.9)
Significant exposure to litigation pursuant to subdivision (b) of Section 54956.9 (one case).
K. Adjournment
Commission actions, except actions which are subject to appeal or review by the Council pursuant to other provisions of the Charter, ordinance or other applicable law, are not final until the expiration of the next five meeting days of the City Council during which the Council has convened in regular session. If the Council asserts jurisdiction during this five meeting day period the Council has 21 calendar days thereafter in which to act on the matter.
Please note that this agenda is subject to revision in accordance with the Brown Act. In the event the agenda is revised prior to the meeting, Port staff will endeavor to post the revised agenda on the Port’s web site (http://www.portoflosangeles.org). Updated agendas also will be available in hard copy at the meeting. Live Board meetings can also be heard at: (213) 621-City (Metro), (818) 904-9450 (Valley), (310) 471-City (Westside) and (310) 547-City (Harbor).
As a covered entity under Title II of the Americans with Disabilities Act, the City of Los Angeles does not discriminate on the basis of disability and, upon request, will provide reasonable accommodation to ensure equal access to its programs, services, and activities.
Sign language interpreters, assistive listening devices, and translation services may be provided. To ensure availability, 72-hour advance notice is required. Contact the Commission office at (310) 732-3444.
Interpretes de señas, sistemas auditivos y servicios de traducciones están disponibles. Para asegurar disponibilidad, se requiere solicitarlos con 72 horas de anticipación. Para hacer la solicitud, llame a la oficina de la Comisión al (310) 732-3444.