Agenda - February 16, 2012
AGENDA OF THE REGULAR MEETING OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, FEBRUARY 16, 2012 AT 8:30 A.M.
PORT OF LOS ANGELES ADMINISTRATION BUILDING
425 S. PALOS VERDES STREET
SAN PEDRO, CA 90731
BOARD OF HARBOR COMMISSIONERS
President Cindy Miscikowski
Vice President David Arian
Commissioner Robin M. Kramer
Commissioner Douglas P. Krause
Commissioner Sung Won Sohn
A. OPENING STATEMENT - AN OPPORTUNITY FOR MEMBERS OF
THE PUBLIC TO ADDRESS THIS BOARD
PERSONS IN THE AUDIENCE MAY ADDRESS THIS BOARD IN CONNECTION WITH ANY AGENDA ITEM OR DURING THE PUBLIC COMMENT PERIOD.
AS PROVIDED BY THE BROWN ACT, THE BOARD HAS LIMITED EACH INDIVIDUAL'S SPEAKING TIME TO THREE MINUTES. ANYONE DESIRING TO SPEAK DURING THE PUBLIC COMMENT PERIOD IS REQUESTED TO COMPLETE A SPEAKER CARD AND SUBMIT IT TO THE COMMISSION SECRETARY, VIA THE SERGEANT AT ARMS, PRIOR TO THE START OF THE MEETING.
B. COMMENTS FROM THE PUBLIC ON NON-AGENDA ITEMS
C. EXECUTIVE DIRECTOR REMARKS
D. REPORTS OF THE COMMISSIONERS
E. BOARD COMMITTEE REPORTS
Port Efficiency Committee, V.P. David Arian
Audit Committee, Commissioner Douglas Krause
Transmittal 1
F. BOARD REPORTS OF THE EXECUTIVE DIRECTOR
CONSENT ITEMS (1-6)
Business and Trade Development
Transmittal 1
Transmittal 2
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department), as the Foreign Trade Zone (FTZ) grantee, establishes General Purpose Operating Agreements with FTZ operators to oversee their FTZ operations. The Harbor Department received a request from California Cartage Company LLC (California Cartage) to exercise its final renewal option to extend its FTZ Operating Agreement No. 10-2848 at FTZ 202, Site 1A, located in Wilmington, California through April 30, 2013. The original term consisted of a one year agreement with two, one year renewal options. The original agreement commenced May 1, 2010, and expired on April 30, 2011. The first option extended the agreement until April 30, 2012. Upon approval, the final option will extend the agreement for one more year through April 30, 2013. FTZ 202, Site 1A includes approximately 600,000 square feet of warehouse and office space on an 84-acre parcel. California Cartage has continually operated a FTZ warehouse at this location since 1995. California Cartage will be operating their warehouses under FTZ procedures. There is no cost to the Harbor Department if approved.
Recommendation: Board resolve to (1) approve the proposed Second Extension to FTZ Operating Agreement No. 10-2848 between the City of Los Angeles and California Cartage; (2) authorize the Executive Director to execute and the Board Secretary to attest to the proposed Second Extension to FTZ Operating Agreement No. 10-2848; and (3) adopt Resolution No. ____________.
Transmittal 1
Transmittal 2
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department), as the Foreign Trade Zone (FTZ) grantee, establishes General Purpose Operating Agreements with FTZ operators to oversee their FTZ operations. The Harbor Department received a request from 3 Zone Logistics LLC (3 Zone) to activate its site within FTZ 202, Site 10D, located at 22411 South Bonita Street, Carson, CA. 90745. Site 10D is a building within 325.5 acres of FTZ 202 Site 10. This site is approximately 10 miles north from the Port of Los Angeles (Port). 3 Zone will be operating its warehouses under FTZ procedures. The Operating Agreement (Agreement) will provide a term of five years with three, five-year renewal options.
Recommendation: Board resolve to (1) approve the proposed FTZ Operating Agreement between the City of Los Angeles and 3 Zone Logistics LLC; (2) direct the Board Secretary to transmit the proposed Agreement 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; (3) upon approval by the City Council, authorize the Executive Director to execute and the Board Secretary to attest to the proposed FTZ Operating Agreement; and (4) adopt Resolution No. ____________.
Port Pilots
Transmittal 1
Transmittal 2
SUMMARY: The proposed Contract No. 12-39621 between the City of Los Angeles Harbor Department (Harbor Department) and L-3 Communications Klein Associates, Inc. (L-3 Klein), of Salem, New Hampshire, is for the installation of new radar sensors, as well as, the upgrade and integration of existing radar sensor sites. The upgraded system will add functionality, security, and capability throughout the Port of Los Angeles. The proposed Contract is for one year at an amount of $846,184. This proposed project is 95% grant reimbursable through the State of California Proposition 1B (Prop 1B), California Port and Maritime Security Grant Program for fiscal year 2008 in the amount of $200,000, and the U.S. Department of Homeland Security, Port Security Grant Program (PSGP), Round 8, in the amount of $600,000. The remaining 5% of the project cost (or $46,184) exceeded the grant funds allocation amount of $800,000; therefore, this amount will be absorbed by the Harbor Department. This additional amount of $46,184 resulted from a higher bid amount than anticipated when adding in California state sales tax at 8.75%.
Recommendation: Board resolve to (1) approve Contract No. 12-39621 between the City of Los Angeles, Harbor Department and L-3 Communications Klein Associates, Inc.; (2) authorize the Executive Director to execute and the Board Secretary to attest to the contract for a term of one-year at an amount of $846,184; and (3) adopt Resolution No.---- ____________.
Port Police
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: Staff requests approval of Contract No. 39623 to Maurer Marine of Costa Mesa, CA, for purchase of two rigid-hull inflatable vessels to train students at the Regional Maritime Law Enforcement Training Center (MLETC). These vessels will be used as "offender" boats during training exercises where officers learn the tactics of capturing and boarding fast, evasive vessels, and taking subjects into custody. The MLETC will offer State of California, Commission on Peace Officer Standards and Training (POST) and Federal Law Enforcement Training Center (FLETC) approved coursework to public safety personnel who operate in a port or maritime environment. The contract total for the two vessels is $323,092. Funds are available in the Capital Improvement Program (CIP) budget, and the vessels will be fully reimbursed under the United States Department of Homeland Security (DHS), Port Security Grant Program (PSPG), Round 8 and the State of California, 2008 Proposition 1B Grant Program (Prop 1B) California Port and Maritime Security Grant Program for Fiscal Year 2008. Vessel operation and maintenance costs are estimated at $10,000 per vessel annually or $20,000 total. As indicated in the Board of Harbor Commissioners' Information Memo of November 11, 2011, the procurement of these vessels will allow the training facility to become fully operational, at which time vessel maintenance and other operating costs will be funded by student tuition to meet the Harbor Department's strategic goal of full cost recovery for the facility.
Recommendation: Board resolve to (1) find that utilization of the bidder prequalification process would, in regards to this purchase, benefit the City of Los Angeles pursuant to Section 375 of the Los Angeles City Charter and Section 10.18 of the Los Angeles City Administrative Code; (2) award Contract No. 39623 between the City of Los Angeles Harbor Department and Maurer Marine for the purchase of two, fully-equipped, rigid-hull inflatable vessels in the amount of $323,092, including tax and delivery; (3) authorize the Executive Director to execute the Contract for an on behalf of the Board; and (4) adopt Resolution No. ____________.
Real Estate
Transmittal 1
SUMMARY: The proposed amendment is a request to approve an extension of time requested by the Alameda Corridor Transportation Authority (ACTA), as agent for the State of California Department of Transportation (Caltrans), from 365 days to 730 days on its Right of Entry (ROE) for the Schuyler Heim Bridge Replacement Project (Project). The original ROE Agreement was approved by the Board of Harbor Commissioners (Board) on July 20, 2010 for a period of 365 days to allow ACTA the required time to negotiate on Caltrans' behalf for the purchase of required City of Los Angeles Harbor Department (Harbor Department) property to be incorporated into this project. In order to qualify for federal funding, Caltrans was required to demonstrate that it had the rights to the majority of real property necessary to complete the Project. The extension provides ACTA with control over the property and the ability to continue the process of purchasing the property. Due to project delays, an additional 365 days is required by ACTA to accomplish this task.
Recommendation: Board resolve to (1) approve the proposed Amendment to the Right of Entry Agreement with the Alameda Corridor Transportation Authority; (2) authorize the Executive Director to execute and the Board Secretary to attest to the Amendment; and (3) adopt Resolution No. ____________.
Business Development
Transmittal 1
SUMMARY: In May 2011, the City of Los Angeles Harbor Department (Harbor Department) granted Permit No. 893 to the Pacific Maritime Association (PMA) for the purpose of constructing and operating an International Longshore and Warehouse Union (ILWU) Dispatch Hall on Harbor Department owned property located at Alameda Street and Anaheim Street in Wilmington. The Permit language calls for the PMA, at its sole cost and expense, to prepare the property for construction, which includes remediation of contaminated soil and/or groundwater encountered during construction of improvements. An environmental assessment of the site was conducted and certain soil and groundwater contamination was identified. The assessment was submitted to the Regional Water Quality Control Board (RWQCB) for review and discussion. As a result of this discussion, the RWQCB has indicated they will likely require remediation of all soil and groundwater contamination on the 8.77 acre site, not just the contamination encountered during construction. An issue has arisen between the PMA and the Harbor Department regarding responsibility for the cleanup required by the RWQCB. Therefore, the Harbor Department and the PMA propose to enter into a Settlement and Release Agreement Amending Permit No. 893 to resolve respective responsibilities for soil and groundwater contamination.
Recommendation: Board resolve to (1) approve the Settlement and Release Agreement Amending Permit No. 893 with Pacific Maritime Association; (2) direct the Board Secretary to transmit the agreement to City Council for approval pursuant to Section 607 of the City Charter; (3) authorize the Executive Director to execute and the Board Secretary to attest to the Settlement and Release Agreement upon approval by City Council; and (4) adopt Resolution No. ____________.
REGULAR ITEMS (7-9)
Public Relations
Transmittal 1
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) is hosting the 2013 International Association of Ports and Harbors (IAPH) World Ports Conference in May 2013. In order to control and partition the revenue and expenditures of the conference from the Harbor General Fund, the Harbor Department created a private non-profit corporation -- Promote L.A. Trade - IAPH 2013, an action approved by the Board of Harbor Commissioners (Board) on March 17, 2011. It is anticipated that 1,000 attendees comprised of registered participants and their accompanying guests will be attending the week-long conference which will feature plenary sessions, technical committee and working sessions, an exhibition hall, activities for the accompanying guests, and off-site events for both groups. Revenue will be generated through registrations, sponsorships and exhibitor fees. The anticipated cost for the entire conference is $2,000,000, with revenue generation to begin in mid-2012. It is anticipated that revenues generated will cover the conference expenses. Expenses for some components of the conference will be generated before any revenues are collected, in particular web design, accounting services and conference planning services. Initial funding for these services was included in the Public Relations Division fiscal year (FY) 2011/12 budget. To move forward with contracting for these services, and others in the future, the proposed Agreement will allow for seed funding to be transferred into a Promote L.A.Trade - IAPH 2013 account and provide the Harbor Department with oversight authority regarding the non-profit's use of those funds.
Recommendation: Board resolve to (1) approve the proposed funding Agreement between the Harbor Department and Promote L.A. Trade - IAPH 2013 for an amount not-to-exceed $350,000 for funding of initial expenses related to hosting the IAPH World Ports Conference in May 2013; (2) authorize the Executive Director to execute and Board Secretary to attest to said Agreement for and behalf of the Board; (3) adopt Resolution No. ____________.
Planning & Economic Development
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) is proposing to implement the Wilmington Marina Parkway Project (Parkway Project), a landscape improvement project along Anchorage and Shore Roads. Staff is recommending the Board of Harbor Commissioners (Board) to approve Coastal Development Permit (CDP) No. 12-02, a Level I, non-appealable permit for the proposed project.
Recommendation: Board resolve to (1) find that the proposed project is in conformity with the Port Master Plan and the California Coastal Act of 1976, as amended, and find that this project will have no significant adverse environmental impacts as provided in the California Environmental Quality Act; (2) authorize the Executive Director to approve the issuance of Coastal Development Permit No. 12-02, consistent with the project description contained in Application for Discretionary Project No. 110921-121; and (3) adopt Resolution No. ____________.
Office of the City Attorney
Transmittal 1
SUMMARY: The City of Los Angeles Office of the City Attorney is transmitting to the Board of Harbor Commissioners (Board) for consideration a Settlement Agreement and Mutual Release of Claims (Settlement Agreement) with Swift Transportation Company, Inc. (Swift), a Clean Truck Program Drayage Concessionaire. If approved, the Settlement Agreement resolves a dispute regarding the parties' performance under Swift's Concession and Incentive Addendum to the Concession.
Recommendation: Board resolve to (1) consider the Settlement Agreement and Mutual Release of Claims (Settlement Agreement) to be entered into with Swift Transportation Company, Inc., and, if approved; (2) authorize the Executive Director to execute and the Board Secretary to attest to the Settlement Agreement and Mutual Release of Claims; and (3) adopt the foregoing as Resolution No. ____________.
G. CLOSED SESSION
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (a) of Government Code Section 54956.9)
American Trucking Associations, Inc. v. City of Los Angeles, et al.,
United States District Court Case No. 08-04920-CAS, and United States
Court of Appeals for the Ninth Circuit Case No. 10-56465, and U.S.
Supreme Court Case No. 11-798
2. 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).
3. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
(Subdivision (c) of Government Code Section 54956.9)
Initiation of litigation pursuant to subdivision (c) of Section 54956.9:
three cases.