DECEMBER 15, 2016
Vice President David Arian
Commissioner Patricia Castellanos
Commissioner Anthony Pirozzi, Jr.
Commissioner Edward R. Renwick
ORDER OF BUSINESS
OPEN SESSION
A. Roll Call
B. Executive Director Remarks
C. Comments from the Public on Non-Agenda Items
D. Report from the Neighborhood Council Representatives
E. Reports of the Commissioners
F. Board Committee Reports
G. Approval of the Minutes
Special Joint Ports Meeting of November 17, 2016
Special Meeting of December 1, 2016
H. Presentation
Waterfront Commercial Leasing Guidelines
I. Level I Coastal Development Permit Report
J. Board Reports of the Executive Director
Consent Items (1 - 3)
Waterfront & Commercial Real Estate
1. RESOLUTION NO.____________ - APPROVE FOURTH AMENDMENT TO PERMIT NO. 724 WITH LOS ANGELES YACHT CLUB
Transmittal 1
Transmittal 2
Transmittal 3
Summary: Staff requests approval of the Fourth Amendment to Permit No. 724 (Permit) between Los Angeles Yacht Club (LAYC) and the City of Los Angeles Harbor Department (Harbor Department) for the operation and maintenance of structures and facilities for a yacht club and small vessel dry storage area located in San Pedro. The Permit has a 30-year term that commenced on March 4, 1993 and will expire on March 3, 2023. The proposed amendment revises the premises, requires that all future rent be subject to annual Consumer Price Index (CPI) increases, incorporates updated permit assignment language into the agreement, and extends the term of the existing Permit by an additional 20 years.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article III Class 1(14) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Fourth Amendment to Permit No. 724 with Los Angeles Yacht Club; (3) direct the Board Secretary to transmit the Fourth Amendment to Permit No. 724 to City Council for approval pursuant to Charter Section 606 of the City Charter; (4) authorize the Executive Director to execute and the Board Secretary to attest to the Fourth Amendment to Permit No. 724 upon approval by City Council; and (5) adopt Resolution No.____________.
Environmental Management
2. RESOLUTION NO.____________ - GRANT ACCEPTANCE AND APPROVAL OF A COOPERATIVE AGREEMENT WITH THE UNITED STATES ENVIRONMENTAL PROTECTION AGENCY AND SUBRECIPIENT AGREEMENTS WITH APM TERMINALS PACIFIC LLC AND TRAPAC, LLC PURSUANT TO THE 2016 DIESEL EMISSIONS REDUCTION ACT FUNDING OPPORTUNITY
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Transmittal 5
Transmittal 6
Summary: Staff requests the Board of Harbor Commissioners (Board) accept and approve a Cooperative Agreement with the U.S. Environmental Protection Agency (EPA), and approve two Subrecipient Agreements with APM Terminals Pacific LLC (APM Terminals) and TraPac, LLC (TraPac) to replace and upgrade 18 pieces of equipment on Port of Los Angeles (Port) terminals. On April 22, 2016, the City of Los Angeles Harbor Department (Harbor Department) submitted an application for funding a Port Terminal Equipment Project (Project) requesting $3,106,314 to replace and/or repower 31 pieces of equipment under the U.S. EPA Diesel Emissions Reduction Act (DERA) Fiscal Year (FY) 2016 grant solicitation. On June 8, 2016, the U.S. EPA offered the Harbor Department a partial grant award in the amount of $800,000 which could only fund a portion of the original Project. The grant award will be utilized to replace 16 yard tractors at APM Terminals and upgrade two heavy lift cargo handling equipment at TraPac with Tier 4 equipment, the cleanest commercially available cargo handling equipment. The total project cost is $3,014,000 which will be cost shared by the U.S. EPA for $800,000, APM Terminals for $2,040,000 and TraPac for $174,000. The Harbor Department's financial responsibility is limited to staff time to manage the grant which is expected to be minimal.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) and Article III Class 1(32) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) accept and approve the Cooperative Agreement between the City of Los Angeles Harbor Department and the U.S. Environmental Protection Agency for grant funding of $800,000; (3) accept and approve Modification No. 1 to the Cooperative Agreement between the City of Los Angeles Harbor Department and the U.S. Environmental Protection Agency to reflect the modified total project cost of $3,014,000; (4) accept and approve Modification No. 2 to the Cooperative Agreement between the City of Los Angeles Harbor Department and the U.S. Environmental Protection Agency to reflect the updated EPA general terms and conditions, and clarification to Section N of the Programmatic Conditions, Voluntary Cost-Share or Overmatch; (5) authorize and direct the Executive Director to execute, and the Board Secretary to attest to said Cooperative Agreement, Modification No. 1, and Modification No. 2, for and on behalf of the Board; (6) approve the Subrecipient Agreement between the City of Los Angeles Harbor Department and APM Terminals Pacific LLC in the amount of $680,000 to replace 16 yard tractors; (7) approve the Subrecipient Agreement between the City of Los Angeles Harbor Department and TraPac, LLC in the amount of $116,000 to repower two heavy cargo handling equipment; (8) authorize the Executive Director to execute, and the Board Secretary to attest to said Subrecipient Agreements for and on behalf of the Board; and (9) adopt Resolution No.____________.
Environmental Management and Goods Movement
3. RESOLUTION NO.____________ - APPROVAL OF 1) A GRANT AGREEMENT WITH THE CALIFORNIA ENERGY COMMISSION FOR THE FREIGHT TRANSPORTATION PROJECTS AT CALIFORNIA SEAPORTS, 2) A SUB-RECIPIENT AGREEMENT WITH EVERPORT TERMINAL SERVICES, 3) A SUB-RECIPIENT AGREEMENT WITH PRODUCTIVITY APEX, INC. AND 4) A FUNDING AGREEMENT WITH THE LOS ANGELES COUNTY METROPOLITAN TRANSPORTATION AUTHORITY
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Transmittal 5
Transmittal 6
Transmittal 7
Transmittal 8
Summary: Staff requests that the Board of Harbor Commissioners (Board) accept and approve the California Energy Commission (CEC) Grant Agreement in the amount of $5,833,000 to fund the Advanced Yard Tractor Deployment and Eco-FRATIS Drayage Truck Efficiency Project (Project),approve Funding Agreement with the Los Angeles County Metropolitan Transportation Authority (METRO), approve a Sub-Recipient Agreement (in the amount of $4,863,000) with Everport Terminal Services (Everport) for the Yard Tractor component, approve a Sub-Recipient Agreement with Productivity Apex, Inc. (PAI) (in the amount of $1,210,000) for the Eco-FRATIS component. The CEC awarded the City of Los Angeles Harbor Department (Harbor Department) a grant in the amount of $5,833,000 to fund the Project. The first component of the CEC grant is for the Advanced Yard Tractor Deployment (Yard Tractor component) that will fund the purchase and demonstration of five zero emission yard tractors and 20 liquefied natural gas (near-zero-emission) yard tractors, in the amount of $4,863,000. All 25 yard tractors will be deployed at the Port of Los Angeles (Port) Everport container terminal. The second component of the CEC grant is for the Eco-FRATIS Drayage Truck Efficiency Project (Eco-FRATIS component), in the amount of $970,000. This component will fund Intelligent Transportation Systems (ITS) technology for drayage trucks, which improves mobility and reduces emissions. METRO is also contributing $240,000 for the Eco-FRATIS component. The Harbor Department's financial responsibility is limited to staff time to manage the grant which is expected to be minimal.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with Article III, Class 6 of the Los Angeles City CEQA Guidelines; (2) accept and approve the Grant Agreement between the City of Los Angeles Harbor Department and the California Energy Commission, in the amount of $5,833,000, for the Advanced Yard Tractor Deployment and Eco-FRATIS Drayage Truck Efficiency Project, including the replacement pages in Transmittal 3; (3) authorize the Executive Director to execute and the Board Secretary to attest to said Grant Agreement with the California Energy Commission for and on behalf of the Board; (4) approve the Sub-Recipient Agreement between the City of Los Angeles Harbor Department and Everport Terminal Services to implement the Advanced Yard Tractor Deployment, in the amount not-to-exceed of $4,863,000 and a term of three years; (5) authorize the Executive Director to execute and the Board Secretary to attest to said Sub-Recipient Agreement with Everport Terminal Services for and on behalf of the Board; (6) approve the Sub-Recipient Agreement with Productivity Apex, Inc. to develop, integrate, and manage the Eco-FRATIS Truck Drayage Efficiency Project, in the amount of $1,210,000 and a term of three years; (7) authorize the Executive Director to execute and the Board Secretary to attest to said Sub-Recipient Agreement with Productivity Apex, Inc. for and on behalf of the Board; (8) approve the Funding Agreement with the Los Angeles County Metropolitan Transportation Authority to develop and integrate the Eco-FRATIS Truck Drayage Efficiency Project, in the amount of $240,000 and a term of three years; (9) authorize the Executive Director to execute and the Board Secretary to attest to said Funding Agreement with the Los Angeles County Metropolitan Transportation Authority for and on behalf of the Board; (10) approve the budgetary transfer of $5,093,000 from the Unappropriated Balance to the “State Pass Through Non-Operating Expenses Account 89097 in Center 6000 and Program 000 for the grant funding associated with this CEC request; (11) direct the Board Secretary to transmit the Resolution to the Mayor for approval pursuant to Section 343(b) of the City Charter; (12) direct the Board Secretary to notify the City Clerk of such transfer pursuant to Section 343(d) of the City Charter at the time such transfer is made; and (13) adopt Resolution No.____________.
Regular Items (4 - 10)
Waterfront & Commercial Real Estate
4. RESOLUTION NO.____________ - APPROVAL OF ANNUAL BUDGETS COVERING FISCAL YEARS 2014/2015, 2015/2016 AND 2016/2017 FOR WESTREC MARINA MANAGEMENT, INC. UNDER AGREEMENT NO. 13-3125
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Summary: Staff requests approval of the annual budgets for the fiscal years covering the periods of 2014/2015, 2015/2016 and 2016/2017 under Agreement No. 13-3125 between Westrec Marina Management, Inc. (Westrec) and the City of Los Angeles Harbor Department (Harbor Department). Agreement 13-3125 provides for the operation, management, and maintenance of the Cabrillo Way Marina (CWM) and its structures/facilities located in San Pedro on behalf of the Harbor Department. Agreement No. 13-3125 has a five-year term (July 1, 2013 through June 30, 2018), with two five-year option periods to extend the term. Exhibit B of Agreement No. 13-3125 requires the Operator (Westrec), with input from the Harbor Department, to prepare an annual budget for operation of the marina for approval by the Harbor Department. The first proposed annual budget for fiscal year 2013/2014 was approved at the Agreement's inception and was provided as an estimate of the proposed revenues and expenses.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Westrec Marina Management, Inc. annual budget for fiscal years 2014/2015, 2015/2016, and 2016/2017 under Agreement No. 13-3125; and (3) adopt Resolution No.____________.
Construction
5. RESOLUTION NO.____________ - PROPOSED AMENDMENT TO LOS ANGELES ADMINISTRATIVE CODE SECTION 10.5(a) TO INCREASE BOARD AUTHORITY TO ENTER INTO CONTRACTS UP TO FIVE YEARS FOR FISCAL IMPROVEMENT RELATED PROJECTS
Transmittal 1
Transmittal 2
Summary: Staff requests that the Board of Harbor Commissioners (Board) approve the proposed Amendment to the City of Los Angeles (City) Administrative Code Section 10.5(a) to increase Board authority to enter into certain types of construction, design or construction management contracts up to five years without council approval. The City Administrative Code Section 10.5(a) establishes a limitation on the power of City boards, officers and employees, including the Board, to make contracts. It limits the ability of such City agents to make contracts to a maximum term of three years without City Council approval. However, Section 10.5(a)3 exempts certain capital improvement-related personal service contracts of the Board of Public Works from the limitation, unless they are for a period that exceeds five years. Due to recent project delivery schedules associated with environmental, regulatory, permitting, coordination, and negotiations with third parties associated with projects, the City of Los Angeles Harbor Department (Harbor Department) desires the same ability retained by the Board of Public Works to enter into design consultant, project or construction management services, or other personal services contracts and construction contracts directly related to Harbor Department capital improvement projects for up to five years without the necessity of first obtaining City Council approval.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) in accordance with Article II, Section 2(f) of the Los Angeles City CEQA Guidelines; (2) authorize and direct the Board Secretary to forward the Proposed Ordinance requesting an amendment to Los Angeles Administrative Code Section 10.5(a) to the City Council for consideration; and (3) adopt Resolution No.____________.
Port Pilots
6. RESOLUTION NO.____________ - APPROVING TEMPORARY ORDER AMENDING PORT OF LOS ANGELES TARIFF NO. 4, SECTION THREE, ITEM NO. 330 - "CHARGES FOR PILOTAGE"
Transmittal 1
Transmittal 2
Transmittal 3
Summary: Staff requests the Board of Harbor Commissioners (Board) approve the City of Los Angeles Harbor Department (Harbor) to temporarily amend the Port of Los Angeles Tariff No. 4 (Tariff), Section Three, Item No. 330 - Charges for Pilotage. The Harbor Department provides piloting service that is available to all vessels calling at the Port of Los Angeles (Port). Per the Tariff, a sum of fees is assessed against all vessels subject to the payment of pilotage. Tariff Item No. 330 regarding Charges for Pilotage (Pilotage) is based on a vessel's tonnage and length over all plus surcharge per move. The proposed amendment will affect the Pilotage calculation such that the Gross Registered Ton (GRT) rate would increase to $0.0063, the Surcharge per Move would increase to $105, and the Overall Length (LOA) fee and all other fee schedules related to Pilotage would be increased approximately 25 percent, effective January 1, 2017. This proposed adjustment supports the ongoing phased cost recovery effort to balance the Los Angeles Port Pilot budget.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article III, Class 1(31) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Amendment to Port of Los Angeles Tariff No. 4 revising Section Three Pilotage, Item No. 330 (b), (d), (e), (f), and (g), subject to the California Association of Port Authorities’ review and approval, and authorize the Executive Director to work with California Association of Port Authorities to secure this approval or proceed to take independent action in accordance with California Association of Port Authorities procedure; (3) adopt Temporary Order No.___________ to amend Section 3 Pilotage, Item No. 330 (b), (d), (e), (f), and (g) in the Port of Los Angeles Tariff No. 4; (4) authorize the Board Secretary to certify to the adoption of the Temporary Order by the Board of Harbor Commissioners and cause the same to be published once in a newspaper printed and published in the City of Los Angeles, to take effect prior to adoption by Ordinance for a period not-to-exceed 90 days pursuant to City Charter Section 653(b); and (5) adopt Resolution No.____________.
Port Pilots
7. RESOLUTION NO.____________ - APPROVING PERMANENT ORDER AMENDING PORT OF LOS ANGELES TARIFF NO. 4, SECTION THREE, ITEM NO. 330 - "CHARGES FOR PILOTAGE"
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Summary: Staff requests the Board of Harbor Commissioners (Board) approve the City of Los Angeles Harbor Department (Harbor) to permanently amend the Port of Los Angeles Tariff No. 4 (Tariff), Section Three, Item No. 330 - Charges for Pilotage. The Harbor Department provides piloting service that is available to all vessels calling at the Port of Los Angeles (Port). Per the Tariff, a sum of fees is assessed against all vessels subject to the payment of pilotage. Tariff Item No. 330 regarding Charges for Pilotage (Pilotage) is based on a vessel’s tonnage and length over all plus surcharge per move. The proposed amendment will affect the Pilotage calculation such that the Gross Registered Ton (GRT) rate would increase to $0.0063, the Surcharge per Move would increase to $105, and the Overall Length (LOA) fee and all other fee schedules related to Pilotage would be increased approximately 25 percent, effective January 1, 2017. This proposed adjustment supports the ongoing phased cost recovery effort to balance the Los Angeles Port Pilot budget.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article III, Class 1(31) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the Amendment to Port of Los Angeles Tariff No. 4 revising Section Three Pilotage, Item No. 330 (b), (d), (e), (f), and (g), subject to the California Association of Port Authorities’ review and approval, and authorize the Executive Director to work with California Association of Port Authorities to secure this approval or proceed to take independent action in accordance with California Association of Port Authorities procedure; (3) adopt Permanent Order No.___________ to amend Section 3 Pilotage, Item No. 330 (b), (d), (e), (f), and (g) in the Port of Los Angeles Tariff No. 4; (4) direct the Board Secretary to transmit to the City Council for approval of the Permanent Order and the Ordinance approving and authorizing the amendments to the Port of Los Angeles Tariff No. 4 pursuant to City Charter 653(a); (5) authorize the Board Secretary to execute the Permanent Order and Ordinance amending Tariff No. 4 as stated above, and upon its publication, transmit the Orders and Ordinance to the Chief Wharfinger for implementation and posting to the Port of Los Angeles website; and (6) adopt Resolution No.____________.
Engineering
8. RESOLUTION NO.____________ - APPROVAL OF THE 2017 ALAMEDA CORRIDOR OPERATIONS AND MAINTENANCE BUDGET
Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Summary: Staff requests the Board of Harbor Commissioners adopt a Resolution approving the Alameda Corridor Operations and Maintenance Budget of $10,882,432 for calendar year 2017. The source of funds for this budget will be from the two railroads operating on the Alameda Corridor and from the Alameda Corridor Transportation Authority (ACTA) Reserve Account.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II, Section 2(f) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) approve the 2017 Special Capital expenses in the amount of $1,244,898 that will be charged to the Capital Maintenance Reserve Account and included in the 2017 Maintenance of Way (MOW) Budget; (3) approve the 2017 Alameda Corridor MOW Budget in the amount of $6,315,329 plus an additional $200,000 contingency for estimated costs for routine maintenance of the ACTA facilities as deemed necessary by Port’s and Railroad’s staff; (4) approve the overall 2017 Alameda Corridor Operations and Maintenance (O&M) Budget of $10,882,432 containing both the MOW Budget and other estimated annual O&M expenses; (5) direct the Executive Director to transmit this Resolution to ACTA for further action pursuant to the Amended and Restated Alameda Corridor Use and Operating Agreement; and (6) adopt Resolution No.____________.
Commission Office
Recommendation: Board resolve to adopt subject Resolution No.____________.
Environmental Management
10. RESOLUTION NO.____________ - MEMORANDUM OF INTENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND THE CALIFORNIA STATE LANDS COMMISSION RELATING TO THE BOLSA CHICA LOWLANDS RESTORATION PROJECT
Transmittal 1
Summary: Staff requests the Board of Harbor Commissioners (Board) authorize the Executive Director to execute a Memorandum of Intent (MOI) between the City of Los Angeles Harbor Department (Harbor Department) and the California State Lands Commission (Commission) to memorialize the intent and commitment to pursue establishing an agreement whereby the Harbor Department would contribute $2,500,000 to the Bolsa Chica Lowlands Restoration Project (Project) over a 10 year period to allow for the continued adaptive management of the ecological system in exchange for mitigation credits resulting from these activities in exchange for this contribution.
Recommendation: Board resolve to (1) find that the proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines as determined by the Director of Environmental Management; (2) authorize the Executive Director to execute the Memorandum of Intent, substantially in the form attached as Exhibit A, between the City of Los Angeles Harbor Department and the California State Lands Commission; and (3) adopt Resolution No.____________.
CLOSED SESSION
K. Closed Session Items
1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
Fast Lane Transportation, Inc. v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0300, including intervention by City of Carson
Consolidated with:
California Cartage Company, Inc., et al. v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0311
City of Long Beach v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0312
Coalition for a Safe Environment, et al. v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0308
East Yard Communities for Environmental Justice, et al. v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0309
Long Beach Unified School District v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0310
South Coast Air Quality Management District v. City of Los Angeles, et al.,
Contra Costa Superior Court Case No. CIVMSN14-0313
2. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
City of Los Angeles v. BAE Systems San Diego Ship Repair, Inc.,
United States District Court Case No. CV 13-8810 CBM (AGRx)
3. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
City of Los Angeles v. Certain Underwriters at Lloyd's, London and Other London Market Insurers, et al., Los Angeles Superior Court Case No. BC588876
4. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Government Code Section 54956.9
Natural Resources Defense Council, Inc., San Pedro and Peninsula
Homeowners' Coalition, San Pedro Peninsula Homeowners United, Inc.,
and Coalition for Clean Air, Inc. v. City of Los Angeles, et al.,
Los Angeles Superior Court Case No. BS 070017
5. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
(Subdivision (d)(2) of Government Code Section 54956.9)
Receipt of Claim pursuant to Government Claims Act (one claim)
Claimant: California United Terminal Inc.
Agency claimed against: City of Los Angeles
6. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Permit 904 with AltaSea at the Port of Los Angeles:
Property: City Dock 1, San Pedro, California
City Negotiator: Michael Galvin
Tenant Negotiator: Jenny Krusoe
Negotiating Parties: City and AltaSea at the Port of Los Angeles
Under Negotiation: Price and Terms
7. 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:
one case.
L. Adjournment