Regular Agenda - September 19, 2013
*REVISED AGENDA OF THE REGULAR MEETING OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, SEPTEMBER 19, 2013 AT 8:30 A.M.
PORT OF LOS ANGELES ADMINSTRATION BUILDING
425 S. PALOS VERDES STREET
BOARD ROOM, 2nd FLOOR
SAN PEDRO, CA 90731
BOARD OF HARBOR COMMISSIONERS
President Cindy Miscikowski
Vice President David Arian
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
F. APPROVAL OF MINUTES
G. PRESENTATIONS
Port Police Audit Update
*Status on the Angelena II Retrofit – John Holmes
H. BOARD REPORTS OF THE EXECUTIVE DIRECTOR
CONSENT ITEMS (1- 6)
Business & Trade Development
Transmittal 1
Transmittal 2
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 CLPF-Redlands Business Center, L.P. (CLPF) to execute a Developer Agreement for FTZ 202. CLPF is a real estate investment firm whose principal address is located in Dallas, Texas. CLPF is seeking an agreement with the Harbor Department for FTZ 202, Site 22, located in Redlands, California. Site 22 is located approximately 80 miles northeast of the Port of Los Angeles. Site 22 consists of two parcels of undeveloped land to include a recent acquisition of a 33-acre parcel from McShane Properties. As such, CLPF has invested in the land acquisition of Site 22 to help develop and attract potential FTZ operators to the site. The proposed FTZ Developer Agreement (Agreement) will provide a term of five years with three, five-year renewal options.
Recommendation: Board resolve to (1) approve the proposed Foreign-Trade Zone Developer Agreement between the City of Los Angeles Harbor Department and CLPF-Redlands Business Center, L.P.; (2) direct the Board Secretary to transmit the proposed Foreign-Trade Zone Developer 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 Foreign-Trade Zone Developer Agreement; and (4) 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 CEVA Freight LLC (CEVA), Site 30, located in Torrance, California, to exercise their first renewal option to extend the term of their FTZ Operating Agreement No. 08-2722 (Agreement No. 08-2722) at FTZ 202, Site 30. CEVA is headquartered in Houston, Texas, an international freight forwarder, founded in 1984 to provide international logistics services. First Amendment was a name change from Eagle Global Logistics to CEVA Freight LLC. The original term of the agreement is five years with three, five-year renewal options. The original agreement commenced February 1, 2009, and is set to expire on January 31, 2014. Any change made to an original operating agreement, including existing renewal options, requires an amendment to the agreement. Upon approval, the proposed Second Amendment (Amendment) will extend Agreement No. 08-2722 for five years through to January 31, 2019. Also, as part of the changes, all updated City of Los Angeles contractual provisions will be incorporated into Agreement No. 08-2722. All remaining terms and conditions of Agreement No. 08-2722 shall remain in full force and effect.
Recommendation: Board resolve to (1) approve the proposed Second Amendment to Foreign-Trade Zone Operating Agreement No. 08-2722 between the City of Los Angeles Harbor Department and CEVA Freight LLC; (2) direct the Board Secretary to transmit the proposed Second Amendment to Foreign-Trade Zone Operating Agreement No. 08-2722 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 Operating Agreement No. 08-2722; and (4) adopt Resolution No.____________.
Executive Office
Transmittal 1
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) proposes to enter into a one-year Sponsorship Agreement (Agreement) with San Pedro Bay Technologies Development Center, Corp. (PortTechLA), San Pedro, CA in the amount of $150,000 for sponsorship of their business incubator and commercialization center for maritime related technologies. PortTechLA identifies and recruits emerging companies with advanced technologies that will enable the Port of Los Angeles (Port) and the maritime and goods movement industries to address environmental, energy, transportation and security challenges; mentors these emerging companies; and creates employment opportunities in the region by helping these companies to commercialize these advanced technologies.
Recommendation: Board resolve to (1) find that, in accordance with City Charter Section 1022, the scope of work of the proposed Agreement is temporary and occasional in nature and is best completed by a contractor on an interim basis; (2) find that the proposed sponsorship is consistent with the criteria of the Board-approved Sponsorship/Hosting Policy; (3) approve the Agreement with San Pedro Bay Technologies Development Center, Corp. (PortTechLA) to provide funding for a total not-to-exceed amount of $150,000 for a period of one year; and (4) adopt Resolution No.____________.
Information Technology
Transmittal 1
Transmittal 2
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) is requesting approval to the First Amendment to Agreement 10-2903 with Microsoft Corporation (Microsoft) for support and consulting services for the Microsoft products used by the Harbor Department. These services are required to maintain and optimize the Harbor Department’s computing environment, which relies on Microsoft technology for its on-going operations. The amount of this amendment will add $1,000,000 to Agreement 10-2903, bringing the not to exceed Amount to $1,497,969. The term of Agreement 10-2903 is also being extended by three years bringing the total term to six years. Without the approval of this First Amendment, Agreement 10-2903 will expire on October 26, 2013.The Agreement with Microsoft is a sole-source agreement as Microsoft software and products can only be serviced by Microsoft. Microsoft is based in Redmond, Washington, with offices in Los Angeles and other Southern California cities.
Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022, the work under the subject Agreement can be performed more feasibly by independent contractors than by City employees; (2) approve the First Amendment to Agreement 10-2903 with Microsoft Corporation for a not to exceed amount of $1,497,969 and a term of six years; (3) direct the Board Secretary to transmit the First Amendment to the City Council for approval pursuant to Charter Section 606; (4) authorize the Executive Director or designee to execute the First Amendment to Agreement 10-2903 and authorize the Board Secretary to attest to said amendment; and (5) adopt Resolution No.____________.
Office of the City Attorney
5. Re: RESOLUTION NO. ____________ - FIRST AMENDMENT TO AGREEMENT NO. 3132 BETWEEN THE CITY OF LOS ANGELES AND DOCUMENT TECHNOLOGIES LLC
Transmittal 1
SUMMARY: The Office of the City Attorney requests approval of a First Amendment (First Amendment) to Agreement for Professional Services No. 3132 (Agreement No. 3132) between the City of Los Angeles Harbor Department (Harbor Department) and Document Technologies LLC dba DTI, increasing the Agreement authority by $137,280 to an amount not to exceed $207,280 for electronic discovery and document services. Funding for the proposed First Amendment has not been budgeted in the Fiscal Year (FY) 2013-14 Operating Budget, however there are funds available within the Harbor Department City Attorney's Office Account No. 54410, Division No. 0120 and Program No. 000. A total of $137,280 can be committed for the proposed First Amendment.
Recommendation: Board resolve to (1) approve the First Amendment to Agreement No. 3132 between the City of Los Angeles and Document Technologies LLC increasing the Agreement authority by $137,280 to an amount not to exceed $207,280; (2) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement No. 3132; and (3) adopt Resolution No.____________.
Planning & Economic Development
Transmittal 1
Transmittal 2
Transmittal 3
SUMMARY: Pioneer Green Wind Assets, LLC (Pioneer) is proposing to install a wind monitoring device on the west end of the Middle Breakwater which was constructed and is owned by the United States Army Corps of Engineers (USACE) but falls within the jurisdiction of the City of Los Angeles Harbor Department (Harbor Department) for compliance with the California Coastal Act. The device will remain in place for two years for the purpose of assessing the potential for wind energy production on the breakwater. Staff is recommending the Los Angeles Board of Harbor Commissioners (Board) approve Coastal Development Permit (CDP) No. 13-11, a Level I, non-appealable permit for the instrument located on the west end of the Middle Breakwater.
Recommendation: Board resolve to (1) find that the proposed project conforms 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. 13-11, consistent with the project description listed on Application for Discretionary Project No. 130607-091; and (3) adopt Resolution No.____________.
REGULAR ITEMS (7- 9)
Goods Movement
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
SUMMARY: In August 2011, the Board of Harbor Commissioners (Board) approved permanent Order No. 11-7086 amending the Port of Los Angeles (POLA) Tariff No. 4, Section 21, Item No. 2105, postponing the Infrastructure Cargo Fee (ICF) collection until January 1, 2014, at an amount to be determined by September 30, 2013. The ICF structure entails the use of fees collected on all loaded containers in both the POLA and the Port of Long Beach (POLB) to fund the design and construction phases of all ICF program projects. The ICF is now recommended to be repealed for reasons included in this report. The POLB staff is expected to make the same recommendation to their respective board in October.
Recommendation: Board resolve to (1) approve the amendment to the Port of Los Angeles, Tariff No. 4, repealing Section 21, Infrastructure Fee. This amendment shall be subject to California Association of Port Authorities (CAPA) review and approval, and authorize the Executive Director to present the tariff amendment to CAPA to secure CAPA approval or proceed to take independent action in accordance with CAPA procedure; (2) adopt Temporary Order No._________ and Permanent Order No. _________ to amend the Port of Los Angeles Tariff No. 4, to repeal Section 21, Infrastructure Cargo Fee; (3) authorize the Board Secretary to certify to the adoption of the Temporary Order by the Board of Harbor Commissioners and post the amended Port of Los Angeles Tariff No. 4 in the Legal Notices section of the Port of Los Angeles website; (4) direct the Board Secretary to transmit to the City Council for approval the Permanent Order and proposed Ordinance approving and authorizing the amendment to Port of Los Angeles Tariff No. 4 pursuant to City Charter 653(a); and (5) authorize the Board Secretary to execute the Permanent Board Order and Ordinance amending Port of Los Angeles Tariff No. 4, and upon publication, transmit the Order and Ordinance to the Chief Wharfinger for implementation of the tariff change and posting the amended Port of Los Angeles Tariff No. 4 to the Port of Los Angeles website as regulated by the Federal Maritime Commission.
Executive Office
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Transmittal 5
Transmittal 6
SUMMARY: Permit No. 881 (Permit) with TraPac, Inc. (TraPac) was approved by the Board of Harbor Commissioners (Board) on August 13, 2009 for a 30-year term. The Permit authorizes TraPac to undertake cargo handling operations at Berths 136-147 and requires the City of Los Angeles Harbor Department (Harbor Department) to redevelop the wharf and backland area of the terminal. The Harbor Department requests approval of a Second Amendment to Permit No. 881. This proposed Second Amendment modifies the scope of terminal redevelopment as requested by TraPac to incorporate terminal automation into the design and construction and addresses minor corrections, clarifications, and technical changes to the overall scope of the redevelopment project. In support of the Second Amendment, the Harbor Department also requests that the Board approve a revised baseline budget. On April 19, 2012, the Board approved the baseline budget of $364,495,525 for the TraPac Terminal Program (Program). Staff is requesting the Board to approve the revised budget at $510,412,338, an increase of 40.0%, or $145,916,813. The spending on the TraPac Terminal Program through the end of Fiscal Year (FY) 12/13 stands at $154,263,637. Development of the TraPac Terminal Program has proceeded on an expedited basis in recognition of the strategic importance of these terminal improvements in meeting the competitive challenges facing the Port of Los Angeles. The Program is currently on schedule for delivery in the first quarter of 2018.
Recommendation: Board resolve to (1) Consider the Addendum to the Certified Environmental Impact Report prepared for the Berths 136-147 [TraPac] Container Terminal Project; (2) find that, in accordance with the provisions of the California Environmental Quality Act Guidelines Section 15164, the proposed Second Amendment to Permit No. 881 will not result in any new significant environmental effects or any substantially more severe effects than previously analyzed in the certified Environmental Impact Report; (3) approve, in substantial form, the Second Amendment to Permit No. 881 with TraPac, Inc.; (4) direct the Board Secretary to transmit the Second Amendment to the Permit to the City Council for approval pursuant to Sections 606 and 654(a)(1) of the City Charter; (5) authorize the Executive Director to execute and the Board Secretary to attest to the Second Amendment upon approval by City Council; (6) ratify all previous Executive Director and Board actions undertaken in connection with the improvements Permit No. 881 obligates the City to construct and deliver (including, but not limited to, appropriations and expenditures of funds, contract solicitation and award, and grant funding), so that such actions shall be deemed to have been made pursuant to Permit No. 881 as amended by this Second Amendment; (7) approve the revised budget of $510,412,338 for the ten projects comprising the TraPac Terminal Program; and (8) adopt Resolution No. __________.
Engineering
Transmittal 1
SUMMARY: In February 2012, the California Transportation Commission (CTC) approved programming of $12.705 million of State Proposition 1B Trade Corridors Improvement Fund (TCIF) program funds for the construction phase of the TCIF No. 87.1 Port of Los Angeles (Port) Cargo Transportation Improvement-Emission Reduction Program - Phase 1 (TraPac Terminal-Automated Component). On December 6, 2012, CTC approved the financial allocation of $12.705 million for TCIF No. 87.1. Additionally, the CTC requires the City of Los Angeles Harbor Department (Harbor Department) to fully execute an Allocation Agreement (Agreement) for which the Harbor Department will seek reimbursement in the amount of $12.705 million. CTC has submitted five copies to the Harbor Department, the TCIF Agreement Cargo Transportation Improvements - Emission Reduction Program - Phase 1 (TCIF No. 87.1) Agreement No. 75A0386 for signatures, as part of the reimbursement grant funding allocation process.
Recommendation: Board resolve to (1) approve the Trade Corridors Improvement Fund Agreement Cargo Transportation Improvements - Emission Reduction Program - Phase 1 (TCIF No. 87.1) Agreement No. 75A0386; (2) authorize the Executive Director to sign and execute, and the Board Secretary to attest to, Agreement No. 75A0386 for and on behalf of the Board; and (3) adopt Resolution No.____________.
I. CLOSED SESSION
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
California Cartage Company, Inc., et al. v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143333
City of Long Beach v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143356
Coalition for a Safe Environment, et al. v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143458
East Yard Communities for Environmental Justice, et al. v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143454
Fast Lane Transportation, Inc. v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143332
Long Beach Unified School District v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143448
South Coast Air Quality Management District v. City of Los Angeles, et al., Los Angeles Superior Court Case No. BS143381
2. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
(Subdivision (d)(2) of Government Code Section 54956.9
Complaint filed with U.S. Department of Transportation under Title VI of the Civil Rights Act of 1964 and 49 Code of Federal Regulations Part 21
Claimants: Natural Resources Defense Council, Elena Rodriguez, Evelyn Deloris Knight, East Yard Communities for Environmental Justice, the Coalition for Clean Air, Century Villages at Cabrillo
Agency Claimed Against: City of Los Angeles, Board of Harbor Commissioners
3. 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).
4. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Permit 881granted to TraPac, Inc.:
Property: Berths 136-147, Port of Los Angeles
City Negotiator: Mike Christensen
Tenant Negotiator: Frank Pisano
Negotiating Parties: City and TraPac, Inc.
Under Negotiation: Price and Terms