Agenda - October 20, 2011
AGENDA OF THE SPECIAL MEETING OF THE
LOS ANGELES BOARD OF HARBOR COMMISSIONERS
THURSDAY, OCTOBER 20 , 2011 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 Kramer
Commissioner Douglas P. Krause
Commissioner Dr. 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. BOARD REPORTS OF THE EXECUTIVE DIRECTOR
CONSENT ITEMS (1-9)
Commission Office
1. Re: RESOLUTION NO. ____________ - TO ESTABLISH A BOARD COMMITTEE ON PORT EFFICIENCY
Busines and Trade Development
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 NEC Logistics America, Inc. (NEC) to activate their site within FTZ 202, Site 4E, located at 18615 Ferris Place, Rancho Dominguez, CA. 90220. Site 4E is a campus of three buildings: 18831 South Ferris Place, 18735 South Ferris Place and 18615 Ferris Place. This site is approximately 10 miles north from the Port of Los Angeles (Port). NEC will be operating their 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 NEC Logistics America, Inc.; (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. _________.
Transmittal 2
SUMMARY: In February 2009, the City of Los Angeles Harbor Department (Harbor Department) entered into Agreement No. 08-2722 with Eagle Global Logistics (Eagle) to oversee Foreign-Trade Zone (FTZ) 202, Site 9C. Eagle has officially changed their name to CEVAFreight LLC (CEVA). Any change made to an original operating agreement between the Harbor Department and operators requires an amendment to the agreement. The proposed First Amendment (Amendment) will approve the name change. The term of the agreement is five years with three, five-year renewal options. Except as amended, 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 First Amendment to Agreement No. 08-2722 between the City of Los Angeles and Eagle Global Logistics; (2) direct the Board Secretary to transmit the proposed First Amendment 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 First Amendment to FTZ Operating Agreement No. 08-2722; and (4) adopt Resolution No. _________.
4. Re: RESOLUTION NO. ____________ - APPROVAL OF FOREIGN-TRADE ZONE GENERAL PURPOSE OPERATING AGREEMENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND CALIFORNIA CARTAGE COMPANY LLC, FTZ 202, SITE 28
Transmittal 1
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 activate a third site in FTZ 202, Site 28, located at 20903 South Maciel Ave, Carson, CA. 90810. This third site is approximately nine miles north from the Port of Los Angeles (Port). California Cartage will be operating their warehouses under FTZ procedures. The Operating Agreement (Agreement) will provide a term of five years with three, five-year renewal options. There is no cost to the Harbor Department if approved.
Recommendation: Board resolve to (1) approve the proposed FTZ Operating Agreement between the City of Los Angeles and California Cartage Company 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. _________.
Environmental
Transmittal 4
SUMMARY: The Clean Air Action Plan (CAAP) Technology Advancement Program (TAP) Advisory Committee (AC) has reviewed and recommended partial funding for California Air Resources Board (CARB) verification of emissions reductions from the Johnson Matthey, Inc. (Johnson Matthey) Tier IV Diesel Particulate Filter (DPF) Switcher Locomotive Demonstration Project (Project). The Project is designed to reach Tier IV emissions standards for an 85% reduction of particulate matter (PM) with additional carbon monoxide and hydrocarbon reductions. The total cost of verification is $304,778. The recommended TAP funding amount is $150,000, which will be shared equally by the City of Los Angeles Harbor Department (Harbor Department) and the Port of Long Beach (POLB), in the amount of $75,000 each. The remaining balance of $154,778 will be covered by Johnson Matthey (Malvern, Pennsylvania).
Recommendation: Board resolve to (1) approve the Technology Advancement Program Grant Agreement with Johnson Matthey, Inc. for a not-to-exceed amount of $150,000; (2) approve the Supplemental Cost Share Agreement between the Harbor Department and the POLB for the reimbursement of $75,000 from the POLB to the Harbor Department as established by the Clean Air Action Plan Master Cost Share Agreement No. 2546; (3) authorize the Executive Director to execute and the Board Secretary to attest to said Agreement with Johnson Matthey, Inc.; (4) authorize the Executive Director to execute and the Board Secretary to attest to said Supplemental Cost Share Agreement between the Harbor Department and Long Beach; and (5) adopt Resolution No. _________.
Planning and Economic Development
Transmittal 3
SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) entered into Agreement No. E6532 with Innovative Partners, Inc. of Westfield, New Jersey on November 6, 2009, for Jeff Milanette of Innovative Partners, Inc. to become the Executive Director of Port Tech Los Angeles (PortTechLA). On October 26, 2010, the Los Angeles Board of Harbor Commissioners (Board) approved the First Amendment to Agreement No. E6532 to extend the length of the agreement by 12 months. The proposed Second Amendment to Agreement No. E6532 would extend the length of the current 24-month agreement, which expires on November 5, 2011, by an additional 12 months. The effective date will be November 6, 2011, and the new expiration date will be November 5, 2012. The proposed Second Amendment would also increase the total contract amount from $300,000 to $450,000 and amend Exhibit A to include performance metrics for the Executive Director of PortTechLA. Since the proposed amendment would extend the term of the agreement for an additional one year and the contract would be increased by an additional $150,000, Board approval is required.
Recommendation: Board resolve to (1) approve the Second Amendment to Agreement No. E6532 to extend the contract term by 12 months, for a total term of 36 months, increase the contract amount by $150,000 from $300,000 to $450,000, and amend Exhibit A of Agreement No. E6532 to include performance metrics for the Executive Director of PortTechLA; (2) authorize the Executive Director and Board Secretary to execute and attest to the Second Amendment for and on behalf of the Board; and (3) adopt Resolution No. ___________.
Port Police
Transmittal 2
SUMMARY: In December 2009, the City of Los Angeles Harbor Department (Harbor Department) entered into an Agreement with Science Applications International Corporation (SAIC), San Diego, California, to assist with software and hardware maintenance and repair for Closed Circuit Television (CCTV), access control and networking systems for specific projects/locations within the Port of Los Angeles (Port). The Agreement was for a one-year term with two one-year renewal options, the first one-year renewal option was exercised in November 2010.m The proposed First Amendment will add tasks to the scope of work to allow security integration of the Los Angeles Port Police Headquarters (PPHQ), and any other as-needed sites in the Port. It is cost effective and efficient to use this existing resource as SAIC is intimately familiar with the Harbor Department’s existing security system having worked on the access control system for the Harbor Administration Building. Additionally, under the current Agreement, SAIC provides repair and maintenance services for existing systems. The current Agreement is fully funded for this fiscal year (FY), resulting in no additional funds being required for the additional tasks. The new tasks are 100% reimbursable under the FY 2008 California State Prop 1B Port Security Grant Program.
Recommendation: Board resolve to (1) approve the First Amendment to Agreement No. 09-2816 between the City of Los Angeles and Science Applications International Corporation, adding Tasks 10 and 11 to Exhibit A; (2) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement No. 09-2816 for and on behalf of the Board; and (3) adopt Resolution No. __________.
Real Estate
Transmittals
SUMMARY: On June 16, 2011, the Board of Harbor Commissioners (Board) approved temporary and permanent Orders to amend Port of Los Angeles (POLA) Tariff No. 4 (Tariff), Items 520 and 550-033, exempting the assessment of wharfage charges on qualifying Transferred Merchandise for the one-year period of July 1, 2011 through June 30, 2012 (Board Order Nos. 11-7081 and 11-7082, respectively). However, compensation terms of Permit No. 827 do not allow APM Terminals Pacific, Ltd. (APMT) to participate in such an exemption unless the permit is amended. The proposed change contains language that allows the Transferred Merchandise wharfage exemptions to apply to Permit No. 827 under any future Tariff amendments for such exemptions upon written notice from the Executive Director at his or her sole discretion.
Recommendation: Board resolve to (1) approve the Fifth Amendment to Permit No. 827 with APM Terminals Pacific Ltd., implementing the provisions of Tariff No. 4, Items 520 and 550-033, as amended and approved by the Board on June 16, 2011 and City Council on August 17, 2011; (2) direct the Board Secretary to transmit the amendment to 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 Resolution No. ____________.
Transmittals
SUMMARY: On June 16, 2011, the Board of Harbor Commissioners (Board) approved temporary and permanent Orders to amend Port of Los Angeles (POLA) Tariff No. 4 (Tariff), Items 520 and 550-033, exempting the assessment of wharfage charges on qualifying Transferred Merchandise for the one-year period of July 1, 2011 through June 30, 2012 (Board Order Nos. 11-7081 and 11-7082, respectively). However, compensation terms of Permit No. 733 does not allow Eagle Marine Services, Ltd. (Eagle Marine) to participate in such an exemption unless the permit is amended. The proposed change contains language that allows the Transferred Merchandise wharfage exemptions to apply to Permit No. 733 under any future Tariff amendments for such exemptions upon written notice from the Executive Director at his or her sole discretion.
Recommendation: Board resolve to (1) approve the Sixth Amendment to Permit No. 733 with Eagle Marine Services, Ltd., implementing the provisions of Tariff No. 4, Items 520 and 550-033, as amended and approved by the Board on June 16, 2011 and City Council on August 17, 2011; (2) direct the Board Secretary to transmit the amendment to 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 Sixth Amendment upon approval by City Council; and (4) adopt Resolution No. ____________.
REGULAR ITEMS (10 - 13)
Engineering
10. Re: RESOLUTION NO. ____________ - BASELINE BUDGET FOR THE 120 W “C” STREET PORT POLICE KENNEL
Transmittal 2
SUMMARY: Staff requests baseline budget approval for a new kennel for the care and housing of Los Angeles Port Police (Port Police) dogs used for explosive and drug detection. The Port Police Canine Unit is a vital component that enhances the City of Los Angeles Harbor Department’s (Harbor Department) capability to prevent or detect an event or action that would threaten the security of the Port of Los Angeles (Port) or the flow of cargo. Costs are eligible for reimbursement under Transportation Security Administration (TSA) Port Security Grant Program (PSGP) Round 8 grant and State of California Proposition 1B grant. The estimated cost of a proposed kennel is $860,000 and is scheduled for completion in May 2012. Staff is providing a general program overview and is recommending that the Board of Harbor Commissioners (Board) approve the baseline budget for a new kennel. This approval relates only to budget allocation and does not constitute project approval or authorization for commencement of any construction activity on any specific project proposal. Construction cannot commence until all California Environmental Quality Act (CEQA) requirements are completed.
Recommendation: Board resolve to (1) approve the 120 W “C” Street Port Police Kennel baseline budget; and (2) adopt Resolution No. __________.
Environmental
Transmittal 1
SUMMARY: In December 2009, the Board of Harbor Commissioners (Board) approved and allocated China Shipping Community Aesthetic Mitigation funding for the complete restoration of the Gaffey Street Pool, historically known as the “Hey Rookie” Swimming Pool (Project). Funding for this Project was requested by the Fort MacArthur Museum Association (FMMA) because it is located on the northeastern slope of the Fort MacArthur (Fort) Upper Reservation historic district. The property is owned by the Department of Recreation and Parks (RAP), so the oversight and management of the Project will be conducted by RAP. RAP will be responsible for the ongoing maintenance, staffing, and management of the pool once it is built. Staff recommends that the Board approve the Memorandum of Understanding (MOU) between the City of Los Angeles Harbor Department (Harbor Department) and RAP to facilitate the funding for this Project in a not-to-exceed amount of $6,966,012 for a term of five years.
Recommendation: Board resolve to (1) approve the five-year Memorandum of Understanding with the Department of Recreation and Parks, substantially as to form, in an amount not-to-exceed $6,966,012 for the restoration of the Gaffey Street Pool; (2) authorize the Executive Director to execute and the Board Secretary to attest to said Memorandum of Understanding for and on behalf of the Board; (3) instruct the Board Secretary to transmit the Board Report and Memorandum of Understanding to the Department of Recreation and Parks Board for approval at which time the Department of Recreation and Parks will forward to City Council for approval; and (4) adopt Resolution No. ___________.
SUMMARY: The Environmental Management Division (EMD) recommends approval of an agreement with Starcrest Consulting Group, LLC. (Starcrest) located in Albuquerque, New Mexico, to provide emission inventory services for the preparation of annual port-wide emissions inventories (Agreement). This Agreement supports the City of Los Angeles Harbor Department (Harbor Department) in preparing the annual port-wide emissions inventory which is used as a metric to track achievement of the San Pedro Bay Standards, to evaluate the effectiveness of emission reduction measures identified in the San Pedro Bay Ports Clean Air Action Plan (CAAP) and to identify opportunities for new and enhanced measures. This Agreement is for a term of three years and for a total contract amount of $1,095,000.Â
Recommendation: Board resolve to (1) find that in accordance with the City Charter Section 1022, work under the subject Agreement can be performed more feasibly by independent consultants rather than by City employees; (2) approve the Agreement with Starcrest Consulting Group, LLC for a term of three years, with a contract total of $1,095,000; (3) authorize the Executive Director to execute and the Board Secretary to attest to said Agreement, for and on behalf of the Board; and (4) adopt Resolution No. __________.
Information Technology and Port Police
Transmittal 1
SUMMARY: The Information Technology (IT) and Port Police Divisions are requesting approval to enter into an agreement with Motorola, Inc. (Motorola) to implement a new Tactical Radio System. The proposed Tactical Radio System will be used by the City of Los Angeles Harbor Department (Harbor Department) Port Police Division (Port Police) sworn staff for law enforcement public safety tactical radio communications. It will replace a fifteen-year old Port Police radio system that no longer meets the Port Police’s needs, and is not in compliance with the Association of Public-Safety Communications Officials International, Inc. (APCO) P25 standards required by the State of California and the U.S. Department of Homeland Security.
The proposed agreement is for three years at an amount not-to-exceed $4,870,000. This entire amount qualifies for reimbursement from federal and state grants. However, the Harbor Department anticipates being reimbursed for only $3,600,000 based on the amount of work it expects to complete before the grants expire. The estimated total cost of the Tactical Radio System project is $5,562,212, which includes the proposed agreement, other external costs and internal labor costs. Motorola was selected through a Request for Proposal (RFP) process conducted by the Harbor Department. Motorola is based in Schaumburg, Illinois, with local offices in Los Angeles, California. Motorola will share a minimum of 2.5% of the agreement amount, or $121,750, with Small Business Enterprise (SBE) vendors.
Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022, the work can be performed more feasibly by independent contractors than by City employees; (2) approve in substantial form the agreement with Motorola, Inc. to develop the Tactical Radio System for a term of three years at an amount not-to-exceed $4,870,000; (3) authorize the Executive Director or designee to execute and the Board Secretary to attest to said agreement; and (4) adopt 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
2. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
(Subdivision (c) of Government Code Section 54956.9)
Consideration whether to initiate litigation against the United States of America through the Navy for failure to pay compensation due under Permit No. 513
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 regarding subject matter of EPA order on ACTA property.
G. CLOSED SESSION - (Continued)
4. LIABILITY CLAIMS
(Subdivision (a) of Government Code Section 54956.95)
Claimant:Â Crimson Pipeline, L.P.
Agency Claimed Against:Â City of Los Angeles
Claim No.:Â 2012-1216
5. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Pacific Battleship Group:
Property: Berth 87
City Negotiator: Kathryn McDermott
Tenant Negotiator: Robert Kent
Negotiating Parties: City and Pacific Battleship Group
Under Negotiation: Price and Terms