Regular Agenda - August 20, 2015
REGULAR AGENDA OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, AUGUST 20, 2015 AT 8:30 A.M.
PORT OF LOS ANGELES ADMINISTRATION 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
Alameda Corridor Transportation Authority (ACTA) Committee Meeting of August 13, 2015
F. APPROVAL OF THE MINUTES
Regular Meeting of August 6, 2015
G. PRESENTATION
Port of Los Angeles Social Media Program
H. ELECTION OF OFFICERS
PURSUANT TO SECTION 503(A) OF THE CHARTER OF THE CITY OF LOS ANGELES, WHICH PROVIDES THAT THE ELECTION OF THE PRESIDENT AND VICE PRESIDENT SHALL BE HELD EACH YEAR, THE BOARD OF HARBOR COMMISSIONERS SHALL HOLD ITS ELECTION TODAY TO ELECT THE FOLLOWING OFFICERS TO SERVE FOR THE ENSUING TERM:
PRESIDENT:
VICE PRESIDENT:
I. BOARD REPORTS OF THE EXECUTIVE DIRECTOR
Consent Items (1 - 7)
Cargo Marketing
1. Re: RESOLUTION NO. ____________ - APPROVAL OF SECOND AMENDMENT TO FOREIGN-TRADE ZONE DEVELOPER AGREEMENT NO. 2401 BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND 11850 RIVERSIDE LLC FTZ 202, SITE 20
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department), as the Foreign-Trade Zone (FTZ) grantee, establishes Developer Agreements with FTZ site owners to oversee their FTZ developments. The Harbor Department received a request from 11850 Riverside LLC (Riverside) to execute its second renewal option to extend the term of FTZ Developer Agreement 2401 (Agreement) at FTZ 202, Site 20, located in Mira Loma, California. Riverside is a real estate investment firm whose principal address is located in Newport Beach, California. The original term of the Agreement is five years with three, five-year renewal options. The First Amendment was approved to extend the original Agreement to October 31, 2015. Any changes made to the original developer agreement, including existing renewal options, require an amendment to the agreement. Upon approval, the proposed Second Amendment (Amendment) will extend the Agreement for five years through October 31, 2020. Also, as part of the changes, all updated City of Los Angeles contractual provisions will be incorporated into Agreement. All remaining terms and conditions of the Agreement shall remain in full force and effect.
Recommendation: Board resolve to (1) approve the proposed Second Amendment to Foreign-Trade Zone Developer Agreement No. 2401 between the City of Los Angeles Harbor Department and 11850 Riverside LLC to extend the Agreement for five years; (2) direct the Board Secretary to transmit the proposed Second Amendment to Foreign-Trade Zone Developer Agreement No. 2401 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 Second Amendment to Foreign-Trade Zone Developer Agreement No. 2401; and (4) adopt Resolution No.____________.
Community Relations
Transmittal 1
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) is proposing to enter into an agreement with Harbor Breeze Corp, to provide boat tours for both our as-needed boat tours and for our student/youth boat tour program. The agreement is a one year agreement with a total not to exceed amount of $250,000.
Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022, the services required can be performed more feasibly by an outside contractor rather than by City employees; (2) find that the work is of a specialized and temporary nature which can be performed more feasibly by an outside contractor; (3) authorize the Executive Director to execute and the Board Secretary to attest to the agreement with Harbor Breeze Corp. for one year and a not-to-exceed amount of $250,000 for the term of the agreement; and (40 adopt Resolution No.____________.
Construction & Maintenance
3. Re: RESOLUTION NO. ____________ - AWARD OF CONTRACT NO. 39756 TO A-Z TECH ELEVATOR COMPANY FOR MODERNIZING ELEVATOR NOS. 4 AND 6 AT BERTH 93
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: The Los Angeles Harbor Department (Harbor Department) Construction and Maintenance Division (C&M) requests approval of Contract No. 39756 with A-Z Tech Elevator Company of Commerce, CA for the replacement of World Cruise Center Berth 93 Elevator Nos. 4 and 6 in the amount of $321,818. The existing elevators have not been overhauled since they were installed in 1962. This project is part of the approved deferred maintenance program planned and funded in the Fiscal Year (FY) 2015-16 capital budget. This contract is the financial responsibility of the Harbor Department.
Recommendation: Board resolve to (1) find that in accordance with Los Angeles City Charter Section 1022, work under the subject contract can be performed more feasibly by independent contractors than by City employees; (2) approve Contract No. 39756 with A-Z Tech Elevator Company in the amount of $321,818 and authorize said expenditures; (3) authorize the Executive Director to execute Contract No. 39756 and the Board Secretary to attest to; and (4) adopt Resolution No.____________.
Environmental Management
4. Re: RESOLUTION NO. ____________ - APPROVAL OF AWARD OF CONTRACT NO. 39757 WITH PSC INDUSTRIAL OUTSOURCING, LP FOR THE TRANSPORT AND DISPOSAL OF SOIL FOR THE FRONT STREET BEAUTIFICATION PROJECT
Transmittal 1
Transmittal 2
SUMMARY: The Environmental Management Division (EMD) requests approval of Contract No. 39757 with PSC Industrial Outsourcing, LP (PSCIO) for $155,400 with a contingency of $23,310 for a total contract amount of $178,710. The contract is for the transport and off-site disposal (T&D) of up to 1,050 tons of Toxic Substances Control Act (TSCA)-regulated waste (soil and/or concrete) for the Front Street Beautification Project (Project) over a six-month period. The remediation of the Project is required prior to the development of the site into a community walkway, with landscaped park space. The Project site is located in the backlands of Berth 95, at the northeast corner of Front Street and Pacific Avenue. PSCIO was the lowest, most responsive, and responsible bidder. The Harbor Department is financially responsible for the cost of this remediation activity.
Recommendation: Board resolve to (1) find that, in accordance with City Charter Section 1022, work under the subject contract can be performed more feasibly by an independent contractor rather than by City employees; (2) approve Contract No. 39757 with PSC Industrial Outsourcing, LP for a total not-to-exceed amount of $178,710 and a six-month contract term; (3) authorize the Executive Director to execute and Board Secretary to attest to said Contract, for and on behalf of the Board; and (4) adopt Resolution No.____________.
Information Technology
5. Re: RESOLUTION NO. ____________ - AGREEMENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND ORACLE AMERICA, INC. FOR SOFTWARE LICENSES, MAINTENANCE AND SERVICES
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) is requesting approval to enter into an agreement with Oracle America, Inc. (Oracle), headquartered in Redwood City, California to purchase software licenses, maintenance, and services for the Harbor Department systems utilizing Oracle products. The proposed Agreement is needed to continue to use the existing Oracle-based systems, including Enterprise Resource Planning (ERP) for finance and procurement, HDtime for payroll, Primavera for construction project management, and Crystal Ball for financial forecasting and modeling. The initial term of the proposed Agreement is for five years with five one-year renewal options, for a total of ten years, at a not-to-exceed amount of $6,000,000. The proposed Agreement is based on the competitive process performed by the County of Los Angeles (County) for its agreement number US-GMA-270549. Oracle software licenses, maintenance and services are the financial responsibility of the Harbor Department.
Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022, it is more feasible for outside contractors to perform this work than City employees; (2) approve the agreement with Oracle America, Inc. at an amount not to exceed $6,000,000 for an initial term of five years with five one-year renewal options for a total ten-year term; (3) authorize the Executive Director to execute and the Board Secretary to attest to the proposed Agreement, upon approval by the City Council; and (4) adopt Resolution No.____________.
Planning & Strategy
6. Re: RESOLUTION NO. ____________ - AWARD OF CONTRACT NO. 39755 TO IHS GLOBAL, INC. FOR MARITIME TRADE DATA
Tranmsittal 1
SUMMARY: The Planning and Strategy Division requests approval to award Contract No. 39755 to IHS Global, Inc. (IHS), located in East Engelwood, CO. Under this contract, IHS will provide the City of Los Angeles Harbor Department (Harbor Department) with monthly international maritime trade data. The Marketing & Customer Relations Bureau uses this data for market analysis and trade intelligence. The Harbor Department will pay $165,000 for one year of data, with an option to renew next year at a price of $171,600 for a total contract amount not-to-exceed $336,600.
Recommendation: Board resolve to (1) waive any and all informalities in the bid response submitted by IHS Global, Inc. and find that entering into this contract is in the best interest of the City; (2) approve Contract No. 39755 with IHS Global, Inc., the lowest responsive and responsible bidder, for a one-year term at a not-to-exceed amount of $165,000 and one one-year renewal option of $171,600 for a total contract amount not-to-exceed $336,600; (3) authorize the Executive Director to execute and Board Secretary to attest to Contract No. 39755 for and on behalf of the Board; (4) authorize the Executive Director to exercise the second-year renewal option if the Executive Director determines it is in the best interest of the Harbor Department to do so; and (5) adopt Resolution No.____________.
Waterfront & Commercial Real Estate
7. Re: ORDER NO. ____________ - SUBLEASE BY CATALINA CHANNEL EXPRESS, INC. UNDER PERMIT NO. 897 WITH AVALON FREIGHT SERVICES, LLC
Transmittal 1
Transmittal 2
SUMMARY: The proposed Board of Harbor Commissioners Order will allow a one-time sublease of over 20 percent of the permit premises of Catalina Channel Express, Inc. (Catalina Express) to Avalon Freight Services, LLC (AFS). Additionally, the Board Order requests the Board of Harbor Commissioners' (Board) consent to the sublease to AFS for the freight facility servicing Catalina Island.
Recommendation: Board resolve to (1) approve a one-time sublease of over 20 percent of the premises under Permit No. 897 of Catalina Channel Express, Inc.; (2) direct the Board Secretary to transmit the Order to the City Council for approval pursuant to Charter Section 606 of the City Charter; (3) upon approval of the City Council, consent to the sublease to Avalon Freight Services, LLC; (4) authorize the Executive Director to execute and the Board Secretary to attest to the Order upon approval by City Council. And (5) adopt Order No.____________.
Regular Items (8 & 9)
Construction
8. Re: RESOLUTION NO. ____________ - AWARD AND APPROVAL OF CONSTRUCTION CONTRACT CONTRACTOR: METRO BUILDERS & ENGINEERS GROUP, LTD. BERTH 142 CRANE MAINTENANCE BUILDING SPECIFICATION NO. 2760A
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: This improvement is part of the TraPac container terminal development program. The Berth 142 Crane Maintenance Building project (Project) will provide a facility for the maintenance of automated shuttle carriers, the equipment operating within the automated backland development. The lowest responsive and responsible bidder is Metro Builders & Engineers Group, Ltd. located in Newport Beach, California. The contract amount, plus a 10% contingency, is $7,081,821.45. The contract duration is 575 calendar days. The Project is partially funded under Proposition 1B, State Trade Corridor Improvement Fund, a reimbursement grant through the State of California Department of Transportation, in the amount of $2,841,000.00. The Harbor Department is financially responsible for payment of expenses under the proposed contract.
Recommendation: Board resolve to (1) find that, in accordance with City Charter Section 1022, work under the subject contract can be performed more feasibly by an independent contractor rather than by City employees; (2) award and approve, Specification No. 2760A for Item Nos. 1 through 19 of the proposal schedule to Metro Builders & Engineers Group, Ltd., in the amount of $6,438,019.50; that a 10% contingency not included in the original contract amount be applied for a total authorization of $7,081,821.45; and authorize payment from the City of Los Angeles Harbor Department Construction Account. The contract time for performance of the work will be 575 calendar days from the Notice to Proceed; (3) authorize the Executive Director to execute and the Board Secretary to attest to this contract for and on behalf of the Board; (4) in accordance with City Charter Section 655 (g), delegate and authorize the Executive Director to adjust final bid quantities and accept the construction contract upon its completion; and (5) adopt Resolution No. ___________________.
Debt & Treasury
9. Re: RESOLUTION NO. ____________ - AUTHORIZING THE LOS ANGELES BOARD OF HARBOR COMMISSIONERS TO APPROVE PRINCIPAL FINANCING DOCUMENTS RELATING TO THE ISSUANCE OF THE CITY OF LOS ANGELES HARBOR DEPARTMENT 2015 REFUNDING REVENUE BONDS
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Transmittal 5
SUMMARY: Staff requests adoption of a Resolution authorizing approval of principal financing documents in relation to the issuance of 2015 Refunding Revenue Bonds that will refund (i.e. refinance) all of the City of Los Angeles Harbor Department's 2005 Series A and B Bonds (the "2005AB Bonds") with an outstanding balance of $43,930,000. These bonds will become redeemable and eligible for refunding on or after August 1, 2015, provided that the aggregate refunded bonds would result in a net present value savings of at least three percent (3%) of the outstanding balance. On July 13, 2015 the Board of Harbor Commissioners approved Resolution numbers 15-7830 and 15-7831 appointing the two investment banks of Siebert Brandford Shank as senior manager, and RBC Capital Markets as the co-manager to this transaction. On July 13, 2015 the Board of Harbor Commissioners also approved Resolution numbers 15-7832 and 15-7833 to authorize the refunding of 2005AB Bonds and redemption of 2005C-1 Bonds. The refunding of the 2005AB Bonds will result in interest savings on outstanding debt.
Recommendation: Board resolve to (1) approve the principal financing documents related to the 2015 Refunding Revenue Bonds, which include the Resolution, Indenture of Trust, Continuing Disclosure Certificate, Bond Purchase Agreement, and the Preliminary Official Statement; (2) this Resolution and approval of the financing documents shall be subject to the City Council oversight pursuant to Section 245 of the Charter; and (3) adopt Resolution No.____________.
J. CLOSED SESSION
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
Cheryl Morris v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BC552974
2. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
Crimson Pipeline Management, Inc., et al. v. Herzog Contracting Corp., City of Los Angeles, et al., United States District Court Case No. CV1203653 RSWL (RZx)
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: two cases.
4. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Revocable Permit 12-11 with The Jankovich Company:
Property: Berth 74, San Pedro, California
City Negotiator: Jeremy Karmelich
Tenant Negotiator: Tom Jankovich
Negotiating Parties: City and The Jankovich Company
Under Negotiation: Price and Terms
5. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to a proposed sale or lease:
Property: 1803-2091 John S. Gibson Blvd., San Pedro, California
City Negotiators: Jack Hedge, Paul Andre
Tenant Negotiators: Jimmy Eleopoulos & Gustavo Valdvia
Negotiating Parties: City and Jenna Development
Under Negotiation: Price and Terms
6. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to an amendment to the agreement with Crafted at the Port of Los Angeles:
Property: 112 E. 22nd Street, San Pedro, California
City Negotiator: Michael Galvin
Tenant Negotiators: Wayne Blank, Howard Robinson
Negotiating Parties: City and Crafted at the Port of Los Angeles
Under Negotiation: Price and Terms