Regular Agenda - August 21, 2014
REGULAR AGENDA OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, AUGUST 21, 2014 AT 8:30 A.M.
PORT OF LOS ANGELES ADMINSTRATION BUILDING
425 S. PALOS VERDES STREET
SAN PEDRO, CA 90731
BOARD OF HARBOR COMMISSIONERS
Ambassador Vilma S. Martinez, President
Vice President David Arian
Commissioner Patricia Castellanos
Commissioner Anthony Pirozzi, Jr.
Commissioner Edward R. Renwick
A. OPENING STATEMENT - AN OPPORTUNITY FOR MEMBERS OF
THE PUBLIC TO ADDRESS THIS BOARD
B. COMMENTS FROM THE PUBLIC ON NON-AGENDA ITEMS
C. EXECUTIVE DIRECTOR REMARKS
D. REPORTS OF THE COMMISSIONERS
E. BOARD COMMITTEE REPORTS
F. APPROVAL OF THE MINUTES
July 24, 2014 Regular Meeting
G. PRESENTATION
1. Employment Survey Results - Michael Keenan, Planning & Economic Development
2. 2013 Inventory of Air Emissions - Teresa Pisano, Environmental Management
H. SPECIAL ORDER OF THE DAY
Level I Coastal Development Permit Report
Transmittal 1
Transmittal 2
Transmittal 3
In accordance with the approved Port of Los Angeles Master Plan (PMP), the Executive Director is designated with the authority to approve or deny applications for Level I Coastal Development Permits (CDPs), but these CDPs only become effective when the permits are reported in writing to the Board of Harbor Commissioners (Board). No Board action is required. Additionally, the PMP provides that a Level I CDP that is being reported to the Board can be stayed if any two Board members so request. In this case, the CDP would be agendized for the next regular Board meeting and would require Board action to be approved or denied. All Level I CDPs have completed an environmental review in accordance with the requirements of the California Environmental Quality Act (CEQA).
The Executive Director has approved two Level I CDPs:
CDP No. 14-14 Los Angeles Harbor Department - Demolition of Former Commissary Building
CDP No. 14-15 Phillips 66 - Pipeline Removal and Abandonment
I. BOARD REPORTS OF THE EXECUTIVE DIRECTOR
CONSENT ITEMS (1 - 4)
Office of the City Attorney
1. Re: RESOLUTION NO. ____________ - APPROVE FIRST AMENDMENT TO AGREEMENT E-6727 BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND CROWELL & MORING, LLC
Transmittals
SUMMARY: The Office of the City Attorney requests approval of a First Amendment to Executive Director Agreement No. E-6727 with Crowell & Moring, LLC, extending the one-year term of the Agreement by two more years. The extension is necessary due to postponement of the trial in City of Los Angeles v. National Union Fire Insurance Co. of Pittsburgh, PA (U.S. District Court Case No. 12-cv-07662). No additional funds are requested.
Recommendation: Board resolve to (1) approve the First Amendment to Agreement No. E-6727 with Crowell & Moring, LLC, extending the one-year term to a total of three years; (2) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement E-6727; and (3) adopt Resolution No.____________.
2. Re: RESOLUTION NO. ____________ - APPROVE FIRST AMENDMENT TO AGREEMENT E-6723 BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND THE STANZLER LAW GROUP
Transmittals
SUMMARY: The Office of the City Attorney requests approval of a First Amendment to Executive Director Agreement No. E-6723 with The Stanzler Law Group, extending the one-year term of the Agreement by two more years. The extension is necessary due to postponement of the trial in City of Los Angeles v. National Union Fire Insurance Co. of Pittsburgh, PA (U.S. District Court Case No. 12-cv-07662). No additional funds are requested.
Recommendation: Board resolve to (1) approve the First Amendment to Agreement No. E-6723 with The Stanzler Law Group, extending the one-year term to a total of three years; (2) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement E-6723; and (3) adopt Resolution No.____________.
Port Police
3. Re: RESOLUTION NO. ____________ - APPROVAL OF AGREEMENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND JOHANNES GREWE K-9 SCHOOL FOR LAW ENFORCEMENT FOR TRAINING AND CERTIFICATION OF PORT POLICE CANINES AND HANDLERS
Transmittal 1
Transmittal 2
SUMMARY: The proposed Agreement is for Johannes Grewe K-9 School for Law Enforcement (Johannes Grewe), Keene, California, to provide professional services maintaining the patrol and narcotics/explosives detection skills of Port Police canines (K-9s) and their handlers through monthly training and certification. Included in the scope of work under this Agreement would be assisting in the selection and procurement of suitable future K-9s to meet the demands of Port Police patrol and narcotics/explosives detection. This action will authorize a one-year contract term with two, one-year renewal options for an amount not to exceed $175,500. Funding in the amount of $45,500 is available in the Port Police Fiscal Year (FY) 2014-2015 operating budget, and funding for future fiscal years will be requested as part of the City of Los Angeles Harbor Department’s (Harbor Department) annual budget process.
Recommendation: Board resolve to (1) approve the proposed Agreement between the City of Los Angeles Harbor Department and Johannes Grewe to provide K-9 training services for a term of one year with two additional one-year renewal options for a total not to exceed $175,500; (2) find that in accordance with Los Angeles Charter Section 1022, work under the subject Agreement can be performed more feasibly by an independent contractor than by City employees; (3) authorize the Executive Director to execute and the Board Secretary to attest to the Agreement for and on behalf of the Board; (4) authorize the Executive Director to approve the two additional, one-year renewal options on behalf of the Board, subject to budget approval for future year funding; and (5) adopt Resolution No.____________.
Real Estate
4. Re: RESOLUTION NO. ____________ - AGREEMENT BY AND AMONG THE CITY OF LOS ANGELES HARBOR DEPARTMENT, THE CITY OF LONG BEACH HARBOR DEPARTMENT, AND CAL PACIFIC LAND SERVICES, INC. FOR PROPERTY MANAGEMENT SERVICES FOR JOINTLY-OWNED RAILROAD PROPERTIES
Transmittals
SUMMARY: On February 8, 2013, the City of Los Angeles Harbor Department (Harbor Department) released a Request for Proposals (RFP) to select a consultant to manage the properties that are jointly owned by the Harbor Department and the City of Long Beach Harbor Department (collectively, the Ports). Cal Pacific Land Services, Inc. (Cal Pacific) was selected as the best qualified of the five proposers that responded to the RFP to replace an existing Agreement with Paragon Partners, Ltd. (Paragon) to manage the jointly owned railroad properties. The existing Agreement with Paragon became effective December 11, 2002 and expires December 10, 2017. Staff is proposing to enter into a five-year Agreement with Cal Pacific for the management and administration of property contracts (utility license agreements, leases and easements) and management and maintenance of all jointly-owned properties not under the responsibility of operating railroads or Alameda Corridor Transportation Authority (ACTA) contracts. The Agreement contains two, five-year options to renew. The renewal options, at the discretion of the Ports, will be based on annual operational performance evaluations, as well as monthly and annual monitoring of submitted financial reports and documentation. The cost of the Agreement will be split equally between the Ports.
Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022; it is more feasible for an outside contractor to perform with this work than City employee; (2) approve the Agreement by and among the City of Los Angeles Harbor Department, the City of Long Beach Harbor Department, and Cal Pacific Land Services, Inc. for management and administration of the jointly-owned railroad properties; (3) authorize and Direct the Board Secretary to transmit the Agreement to the City Council for approval pursuant to City Charter Section 373; (4) authorize the Executive Director to execute and the Board Secretary to attest to the Agreement upon approval of the City Council; and (5) adopt Resolution No.____________.
REGULAR ITEMS (5 & 6)
Real Estate
5. Re: ORDER NO. ____________ - FIFTH AMENDMENT TO PERMIT NO. 888 WITH EVERPORT TERMINAL SERVICES INC. - CHANGE IN TWENTY-FOOT EQUIVALENT UNIT RATE SCALE
Transmittals
SUMMARY: Evergreen Line (Evergreen) and COSCO have started a new jointly operated container service using 13,000 Twenty-Foot Equivalent Unit (TEU) size vessels. The Evergreen terminal at the Port of Los Angeles (Port), leased by Everport Terminals Services, Inc. (Everport) cannot physically handle such vessels due to their size. To ensure the additional container volumes resulting from these larger vessels remain at the Port, staff recommends amending Permit No. 888, revising the existing TEU per acre rate schedule and adding applicable conditions. The first vessel deployed in the new joint service between Evergreen and COSCO called at APM Terminals on June 11, 2014. The proposed action would result in increased container volumes at the Port while minimizing revenue impacts to the City of Los Angeles Harbor Department (Harbor Department).
Recommendation: Board resolve to (1) approve the Fifth Amendment to Permit No. 888 with Everport Terminals Services, Inc.; (2) direct the Board Secretary to transmit the Fifth Amendment to the City Council for approval pursuant to Section 606 of the City Charter; (3) authorize the Executive Director to execute and the Board Secretary to attest to the Fifth Amendment upon approval by City Council; and (4) adopt Order No.____________.
6. Re: ORDER NO. ____________ - RESETTING COMPENSATION UNDER PERMIT NO. 529 WITH INTERMODAL CONTAINER TRANSFER FACILITY JOINT POWERS AUTHORITY
Transmittals
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) leases a 6,403,320 square foot site (147 acres) to the Intermodal Container Transfer Facility (ICTF) Joint Powers Authority (JPA); which in turn subleases the site to the Southern Pacific Transportation Company, now part of the Union Pacific Railroad Company (UPRC). Permit No. 529 (Permit), a 50-year ground lease, commenced in September 1984. The Minimum Annual Guaranteed (MAG) rental rates are reset to market every five years. It is necessary to reset the MAG for the five-year period of December 1, 2011 through November 30, 2016. Compensation is based upon a MAG and container charge. The container charge for a particular compensation period is determined after establishing the MAG. Once the MAG is in place, it is divided by the average annual container throughput from the last three years of the prior compensation period. The most recent reset covered the period of December 1, 2006 through November 30, 2011. The MAG rental rate was $7,500,000, reflecting a Board of Harbor Commissioners (Board) approved nine percent rate of return (ROR) for that reset period, with the container movement charge against the MAG set at $11.82. UPRC has shown a decline in container movement in the last three years versus the MAG, and the container charge will be adjusted as required by the Permit.
Recommendation: Board resolve to (1) adopt the Order resetting compensation for Intermodal Container Transfer Facility Joint Powers Authority for the period of December 1, 2011 through November 30, 2016; (2) authorize the Board Secretary to attest to the Order resetting compensation; and (3) adopt Order No.____________.
J. CLOSED SESSION
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
Walter Sanchez v. City of Los Angeles, United States District Court Case No. CV 14-5378
2. 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
Tenant Negotiators: Eric Johnson, Brian Saenger
Negotiating Parties: City and LA Waterfront Alliance
Under Negotiation: Price and Terms
3. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Permit No. 827 granted to APM Terminals, Ltd.:
Property: Pier 400, Terminal Island
City Negotiator: Jack Hedge and Sumita Thappa
Tenant Negotiator: John Ochs
Negotiating Parties: City and APM Terminals, Ltd.
Under Negotiation: Price and Terms
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.