Harbor Commission

ORDER OF BUSINESS

Convene in Memory of Cindy Ultreras Gurrola

Summary: Staff requests the approval of a First Amendment (First Amendment) to Foreign-Trade Zone (FTZ) Operating Agreement No. 13-3180 between the City of Los Angeles Harbor Department (Harbor Department) and Evolution Enterprises Holdings, Inc. (Evolution) to continue operating its warehouse within FTZ 202, Site 35, located at 16518 Valley Blvd., La Puente, CA 91744. The Harbor Department, as the FTZ grantee, establishes General Purpose Operating Agreements with FTZ site operators to oversee their FTZ operations. Evolution’s current FTZ Operating Agreement No. 13-3180 will expire on March 31, 2019. The term of the agreement is five-years with three, five-year renewal options. Evolution requests to continue operating its warehouse as an FTZ warehouse. The Harbor Department needs to execute the First Amendment to extend the Agreement, as required by the FTZ Board. Site 35 consists of 15,356 square feet of warehouse and office space on 0.35 acres located approximately 30 miles from the Port of Los Angeles. Evolution has been operating its warehouse under FTZ procedures as a multi-usage site. This proposed First Amendment will not require funding by the Harbor Department. If the proposed amendment is approved, the Harbor Department will receive $7,750 annually from Evolution (per FTZ Tariff No. 2).
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f), of the Los Angeles City CEQA Guidelines; (2) approve the proposed First Amendment to Foreign-Trade Zone Operating Agreement No. 13-3180 between the City of Los Angeles Harbor Department and Evolution Enterprises Holding, Inc.; (3) direct the Board Secretary to transmit the proposed First Amendment to Foreign-Trade Zone Operating Agreement No. 13-3180 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; (4) authorize the Executive Director to execute and the Board Secretary to attest to the proposed First Amendment to Foreign-Trade Zone Operating Agreement No. 13-3180; and (5) adopt Resolution No.____________.

Summary: Staff requests that the Board of Harbor Commissioners (Board) approve the proposed Agreement between the City of Los Angeles Harbor Department (Harbor Department) and Leidos, Inc. (Leidos) a corporation of Delaware, to provide air quality monitoring services for the Port of Los Angeles’ (Port) four air quality monitoring stations located throughout San Pedro and Wilmington.  The proposed Agreement is for a five-year contract term for a not-to-exceed amount of $3,309,494.  The Harbor Department is financially responsible for the costs associated with the proposed Agreement.
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II, Section 2(f) of the Los Angeles City CEQA Guidelines; (2) approve the proposed Agreement with Leidos, Inc. for a term of five years for the total not-to-exceed amount of $3,309,494; (3) direct the Board Secretary to transmit said 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(a) of the Los Angeles Administrative Code; (4) authorize the Executive Director and the Board Secretary to execute and attest to said Agreement for and on behalf of the Board; and (5) adopt Resolution No.____________.

Summary: Staff requests approval of Contract No. 39868 with Vigilant Solutions, LLC, Livermore, California (VIGILANT) for the purchase of a fixed automated license plate reader (ALPR) system including hardware, software, installation and provisioning the solutions at multiple locations in and around the Harbor District. The total contract amount is $531,476.52 including applicable tax, standard installation, provisioning, extended warranty and technical documentation.  This contract is the financial responsibility of the Harbor Department.
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) under Article III Class 1(6) of the Los Angeles City CEQA Guidelines; (2) find that the proposed First Amendment qualifies for award on a sole source basis as a contract for the performance of professional, technical and special services of a temporary or occasional character for which competitive bidding is not practicable or advantageous, pursuant to Los Angeles City Charter, Section 371(e)(2) and Los Angeles Administrative Code Section 10.15(a)(2); (3) award and approve Contract No. 39868 to Vigilant Solutions, LLC for the purchase of a fixed ALPR system in the amount of $531,476.52; (4) authorize the Executive Director to execute and the Board Secretary to attest to Contract No. 39868 for and on behalf of the Board; and (5) adopt Resolution No.___________.

Summary: Staff requests approval of a first amendment (First Amendment) to Agreement No. 18-3580 with ICF Incorporated, LLC (ICF).  The proposed First Amendment replaces Exhibit B with Exhibit B-1 to effectuate a technical change in the Compensation Exhibit that will: (1) direct ICF to follow the City of Los Angeles travel policy for travel cost reimbursements under this agreement; and (2) add clarifying language for specific indirect General & Administrative (G&A) cost rates and charges that ICF included in the proposed costs amount in Exhibit B.   The proposed language does not change the scope, term period, or compensation amounts in the current agreement.
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City CEQA Guidelines; (2) 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; (3) approve the proposed First Amendment to Agreement No. 18-3580 with ICF Incorporated, LLC for the additional language to Compensation Exhibit by replacing Compensation Exhibit B with Compensation Exhibit B-1 of the Agreement; (4) authorize the Executive Director to execute and the Board Secretary to attest to the proposed First Amendment to Agreement No. 18-3580 with ICF; and (5) adopt Resolution No.____________.

Summary: Staff requests adoption of a resolution that would require the Harbor Department to adhere to City of Los Angeles (City) Ordinance No. 185356, which amended Ordinance No. 171004 (the Service Contractor Worker Retention Ordinance). In 1999, the Board of Harbor Commissioners (Board) adopted Resolution No. 5771 where it agreed to adopt City of Los Angeles Ordinance No. 171004, the Service Contractor Worker Retention Ordinance, as a policy of the Harbor Department.   On December 5, 2017, the Los Angeles City Council adopted Ordinance No. 185356, which amended the Service Contractor Worker Retention Ordinance.  The proposed resolution adopts Ordinance No. 185356 as a policy of the Harbor Department to ensure that the Harbor Department follows the most current provisions of the Service Contractor Worker Retention Ordinance as its policy.
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(m) of the Los Angeles City CEQA Guidelines; (2) approve the proposed resolution whereby the Harbor Department would adopt City of Los Angeles Ordinance No. 185356 as a policy of the Harbor Department; (3) authorize the Board Secretary to  certify the adoption of the Resolution; and (4) adopt Resolution No.___________.

 
Executive Office

Summary: Staff requests approval of: (1) a Permit with California Transload Services, LLC (CTS) to allow use and occupancy of 85.50 acres of land located at 2401 E. Pacific Coast Highway, Wilmington, CA (Premises) for 180 days, with the ultimate purpose of allowing CTS to undertake an orderly wind-down of operations, and to vacate and surrender possession of the Premises; and (2) a “Settlement Agreement and General Release by and between California Transload Services, LLC and the City of Los Angeles” (Settlement Agreement) to resolve specified pending disputes that arose in and after August of 2018.  These two documents together effectuate the arrangement under which CTS will exit from the Port of Los Angeles, and, for that reason, are being presented together as part of one recommendation and one proposed resolution. The proposed Permit allows use and occupancy for 180 days, and requires CTS to perform various duties to vacate and surrender the Premises, which are intended to return them to the City of Los Angeles Harbor Department (Harbor Department) in an operable condition, free of personal property and encumbrances that could hinder subsequent use.  In return for performance of those duties and compliance with the Settlement Agreement, CTS will pay no rent during the 180-day term, subject to $14,899.24 per day of liquidated damages for every day performance of their vacate and surrender obligations extend beyond the termination date. Under the Settlement Agreement, CTS and the City of Los Angeles, acting by and through the Board of Harbor Commissioners, will release all prior claims against one another, with the City’s release extending to CTS affiliates, subject to certain carve-outs specified in the agreement.  CTS will indemnify the City should any such CTS affiliates sue the City on any released claims.  The Settlement Agreement requires CTS to disburse approximately $1.34 million to workers who will lose employment as a result of CTS’ vacation and surrender of the Premises.
 
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively and categorically exempt from the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(f) and Article III Class 1(14) of the Los Angeles City CEQA Guidelines; (2) find that the compensation provisions of the proposed Permit are in the best interest of the Harbor Department in view of:  (a) the strong need to facilitate CTS’ expeditious and orderly exit from the Premises in a manner that causes the least amount of disturbance possible to users of Harbor Department facilities that rely on CTS’ services and the other stakeholders invested in CTS’ operations; (b) the value of CTS’performance of the required vacate and surrender obligations; (c) the value of the consideration the City will receive under the settlement agreement; and (d) the $14,899.24/day liquidated damages requirement should CTS’ performance of vacate and surrender obligations extend beyond the 180-day term; (3) approve the proposed Permit with California Transload Services, LLC; (4) approve the Settlement Agreement; (5) authorize the Executive Director to execute and the Board Secretary to attest to the Permit and Settlement Agreement; and (6) adopt Resolution No.____________.

1.         CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
             (Subdivision (d)(1) of Government Code Section 54956.9)
 
            City of Los Angeles v. Colonial Yacht Anchorage, Inc., Los Angeles Superior Court Case No. BC559960
 
            2.         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)
 
            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)