commission/agenda archive and videos/agendas/2020/012320 regular agenda


Los Angeles Board of Harbor Commissioners 
Harbor Administration Building
425 S. Palos Verdes Street
San Pedro, California 90731


REGULAR MEETING AGENDA

 

THURSDAY, JANUARY 23, 2020 AT 9:00 A.M.

Board of Harbor Commissioners
President Jaime L. Lee
Vice President Edward R. Renwick
Commissioner Diane L. Middleton
Commissioner Lucia Moreno-Linares
Commissioner Anthony Pirozzi, Jr.​

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 – An opportunity for a Neighborhood Council to present a Resolution or Motion filed with the Los Angeles Harbor Department to be presented to the Board as it relates to any agenda item being considered or under the purview of the Harbor Department.

 

E. Reports of the Commissioners

 

 

F. Board Committee Reports

 

 

G. Approval of the Minutes

 

 

H. Presentation

 

1. Litter Management & Abatement

 

I. Level I Coastal Development Permit

The Executive Director has approved one Level I CDP:

 

CDP No. 20-02 Port of Los Angeles – Demolition of Three (3) Buildings Located at Berth 44 

 

J. Special Order of the Day - Level II Appealable Coastal Development Permit

Public Hearing

 

1(a) ISSUANCE OF AN APPEALABLE LEVEL II COASTAL DEVELOPMENT PERMIT (NO. 20-01) TO THE SAN PEDRO PUBLIC MARKET LLC FOR PHASE 1 OF THE SAN PEDRO PUBLIC MARKET DEVELOPMENT PROJECT

 

Pursuant to the California Coastal Act of 1976, as amended and the Port of Los Angeles’ certified Port Master Plan, notice is hereby given to all interested persons and organizations that the Los Angeles Board of Harbor Commissioners will hold a public hearing to receive public comments prior to considering the following for a Coastal Development Permit.

 

Planning & Strategy

1(b) RESOLUTION NO.____________ - ISSUANCE OF AN APPEALABLE LEVEL II COASTAL DEVELOPMENT PERMIT (NO. 20-01) TO THE SAN PEDRO PUBLIC MARKET LLC FOR PHASE 1 OF THE SAN PEDRO PUBLIC MARKET DEVELOPMENT PROJECT

Transmittal 1
Transmittal 2
Transmittal 3

Summary: Staff requests approval to issue an appealable Level II Coastal Development Permit (CDP) No. 20-01 to the San Pedro Public Market LLC (SPPM) for Phase 1 of the San Pedro Public Market project. The proposed Phase 1 development would include 100,000 square feet of restaurant, 40,000 square feet of retail, and 30,000 square feet of maritime-related office uses. Two existing deck areas that previously supported restaurant buildings would be repurposed for a dining deck and public deck. The existing floating docks for boats would also remain. The SPPM estimates the project cost will be $150 million for phases 1 and 2, all of which is the responsibility of the SPPM. Separately, the Port is currently proceeding with the San Pedro Waterfront Ports O’ Call Promenade and Town Square projects that are adjacent to the San Pedro Public Market project as outlined in CDP No. 17-10. The Port of Los Angeles awarded the Phase 1 portion of the San Pedro Waterfront Ports O’ Call Promenade and Town Square projects to the Griffith Company (CDP No 17-10) for a cost of $36.3 million, of which $1.3 million is grant funded.

 

Recommendation: Board to resolve to (1) hold a public hearing for the proposed Coastal Development Permit No. 20-01, an appealable Level II permit; (2) find that the Director of Environmental Management has determined that the proposed action has been previously evaluated pursuant to the California Environmental Quality Act (CEQA) in accordance with Article II, Section 2(i) of the Los Angeles City CEQA Guidelines; (3) find that the proposed project conforms with the Port of Los Angeles certified Port Master Plan (PMP); (4) upon closure of the public hearing, resolve to approve the issuance of CDP No. 20-01, consistent with the project description listed on APP No. 160323-040, and with Special Condition No. 1 for the assumption of risk, waiver of liability, and indemnification related to sea level rise, and direct the Director of Planning and Strategy to execute and issue said permit on behalf of and as the designee of the Executive Director; and (5) Adopt Resolution No.__________.

 

 

K. Board Reports of the Executive Director

 

Consent Items (2 - 6)

 

Environmental Management

2. RESOLUTION NO.____________ - APPROVAL OF A PROPOSED REIMBURSEMENT AGREEMENT AMONG THE CITY OF LOS ANGELES HARBOR DEPARTMENT, SHORE TERMINALS, LLC AND ULTRAMAR, INC.

Transmittal 1

Summary: Staff requests approval of a proposed Reimbursement Agreement (Agreement) with Shore Terminals, LLC (Shore Terminals), a wholly-owned subsidiary of permit applicant NuStar Energy L.P. (NuStar), and Ultramar, Inc. (Ultramar), a wholly owned subsidiary of permit applicant Valero Energy Corporation (Valero), to reimburse the City of Los Angeles Harbor Department (Harbor Department) one hundred percent of all City staff, consultant(s), and outside counsel costs for the preparation, review and legal defense (if necessary) of an environmental assessment to build a new wharf at the Port of Los Angeles, Berths 163 and 164. The environmental assessment will be prepared to evaluate the applicants’ joint project proposal to construct the new wharf as required by the California State Lands Commission (CSLC) under the Marine Oil Terminal Engineering and Maintenance Standards (MOTEMS) program (proposed Project). The proposed Agreement is for a term of three years with an estimated amount of $750,000. Ultramar, as the primary responsible party for making timely payments to the Harbor Department, may seek payment from Shore Terminals. The Harbor Department’s Real Estate Division will negotiate new 30-year permits to allow NuStar and Valero to amortize the cost of the wharf construction.

 

Recommendation: Board to resolve to (1) find that the Director of Environmental Management has determined that the proposed action is administratively exempt from the California Environmental Quality Act (CEQA) in accordance with Article II Section 2(f) of the Los Angeles City CEQA Guidelines; (2) approve the proposed Reimbursement Agreement with Shore Terminals, LLC and Ultramar, Inc. to reimburse the City of Los Angeles Harbor Department for costs related to the environmental assessment associated with the Berths 163 and 164 Marine Oil Terminal Engineering and Maintenance Standards Project for a contract term of three years and for an estimated amount of $750,000; (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.__________.

 

Cargo & Industrial Real Estate

3. RESOLUTION NO.____________ - ORDER RESETTING COMPENSATION UNDER PERMIT NO. 908 WITH TESORO LOGISTICS OPERATIONS LLC.

Transmittal 1

Transmittal 2

 

Summary: Staff requests approval of an Order resetting compensation under Permit No. 908 with Tesoro Logistics Operations, LLC (Tesoro Logistics) for the five-year period of February 2, 2020 through February 1, 2025. Under Permit No. 908, Tesoro Logistics occupies 16,909 square feet of subsurface land for a term of 20 years, expiring on February 1, 2035, for the operation and maintenance of three pipelines that transport petroleum products. The current annual rent for Permit No. 908 is $27,285.75. Under the proposed Order compensation reset effective February 2, 2020, the annual rent will be $35,508.90, subject to annual increases based on the Consumer Price Index (CPI-U).

 

Recommendation: Board to 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 Order resetting compensation for Permit No. 908 with Tesoro Logistics Operations, LLC; (3) Authorize the Board Secretary to attest to the Order resetting compensation under Permit No. 908; and (4) Adopt Resolution No.__________ and Order No.__________.

 

Cargo & Industrial Real Estate

4. RESOLUTION NO.____________ - ORDER RESETTING COMPENSATION UNDER PERMIT NO. 909 WITH TESORO SOCAL PIPELINE COMPANY

Transmittal 1

Transmittal 2

Summary: Staff requests approval of an Order resetting compensation under Permit No. 909 with Tesoro SoCal Pipeline Company (Tesoro SoCal) for the five-year period of February 2, 2020 through February 1, 2025. Under Permit No. 909, Tesoro SoCal occupies 23,701 square feet of subsurface land for a term of 20 years, expiring February 1, 2035, for the operation and maintenance of pipelines that transport petroleum products. The current annual rent for Permit No. 909 is $38,245.88. Under the proposed Order compensation reset effective February 2, 2020, the annual rent will be $49,772.10, subject to annual increases based on the Consumer Price Index (CPI-U).

 

Recommendation: Board to 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 Order resetting compensation to Permit No. 909 with Tesoro SoCal Pipeline Company; (3) authorize the Board Secretary to attest to the Order resetting compensation under Permit No. 909; and (4) Adopt Resolution No.__________ and Order No.__________.

 

Port Police

5. RESOLUTION NO.____________ - AWARD OF CONTRACT NO. 39894 FOR THE PURCHASE OF TWO HAZMATID ELITE HANDHELD CHEMICAL IDENTIFIERS

Transmittal 1

Transmittal 2

Transmittal 3
 

Summary: Staff requests approval of Contract No. 39894 with FarrWest Environmental Supply, Inc. (FarrWest), Schertz, Texas for the purchase of two Smith’s Detection HazMatID Elite (HazMatID) handheld chemical identifiers to replace the discontinued and unserviceable units currently being used by the Port Police Hazmat Unit.

 

Recommendation: Board to 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) award and approve Contract No. 39894 to FarrWest Environmental Supply, Inc. for the purchase of two HazMatID Elite handheld chemical identifiers in the amount of $179,141 inclusive of all applicable taxes and fees; (3)authorize the Executive Director to execute and the Board Secretary to attest to Contract No. 39894 for and on behalf of the Board; and (4) Adopt Resolution No.__________.

Executive Office

6. RESOLUTION NO.____________ - APPROVAL OF HARBOR COMMUNITY BENEFIT FOUNDATION 2020 OPERATING BUDGET

Transmittal 1

Transmittal 2

Summary: Staff requests approval of the Harbor Community Benefit Foundation’s (HCBF) proposed 2020 Operating Budget of $313,795 for the 2020 calendar year and transfer funding in the amount of $222,966 from the Port Community Mitigation Trust Fund (PCMTF). The HCBF is a non-profit organization that receives funding from the PCMTF established by the City of Los Angeles Harbor Department (Harbor Department) and provides grant administration for the PCMTF, subject to Board approval of budget, grants and PCMTF fund transfers in accordance with the TraPac Memorandum of Understanding (TraPac MOU) and Operating Agreement of the TraPac MOU (Operating Agreement). On November 8, 2019, HCBF’s Board of Directors approved the proposed operating budget for the 2020 calendar year and is requesting Board approval and transfer of funds from the PCMTF. In accordance with the TraPac MOU and Operating Agreement, HCBF has provided the required financial reports and program documentation in support of its budget request. Upon approval by the Board, the Harbor Department will authorize JP Morgan Private Bank (JPMPB) to transfer a lump sum amount of $222,966 from the PCMTF to HCBF. The $222,966 will be supplemented by HCBF’s projected 2019 surplus of $90,829 from previously disbursed funds, for a total requested 2020 Operating Budget of $313,795. Upon transfer of funds from the PCMTF, HCBF will be financially responsible for its operating budget. Additionally, HCBF will provide the Board prior notice of any reallocation of authorized funds that exceed 10% of the total annual budget. The Harbor Department has completed all funding obligations into the PCMTF under the TraPac MOU, which expired in 2013. The proposed $222,966 transfer will be made from funds which the Harbor Department previously deposited into the PCMTF.

 

Recommendation: Board to 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 Harbor Community Benefit Foundation calendar year 2020 Operating Budget of a not-to-exceed amount of $313,795, with the condition that the Harbor Community Benefit Foundation provides the Board of Harbor Commissioners prior notice of any reallocation within the Harbor Community Benefit Foundation budget that exceeds 10% of the total annual budget; (3) approve the Harbor Community Benefit Foundation’s retention of the $90,829 surplus from the 2019 Operating Budget for the purpose of funding the current request for application in its 2020 Operating Budget; (4) authorize the Executive Director or designee to execute a joint letter with the Harbor Community Benefit Foundation to approve the distribution of funds in one lump sum payment of $222,966 from JP Morgan Private Bank to the Harbor Community Benefit Foundation subject to the same notice of reallocation condition set forth in Recommendation 2; and (5) Adopt Resolution No.__________.

 

Regular Item (7 & 8)

 

Environmental Management

7. RESOLUTION NO.____________ - ADOPTION OF A FINAL INITIAL STUDY/MITIGATED NEGATIVE DECLARATION FOR THE AVALON BOULEVARD AND FRIES STREET SEGMENTS CLOSURE PROJECT (LOS ANGELES HARBOR DEPARTMENT APPLICATION FOR PORT PROJECT NO. 120809-510; SCH NO. 2014041019)

Transmittal 1

Transmittal 2

Summary: Staff requests approval of the adoption of the Final Initial Study/Mitigated Negative Declaration (IS/MND) for the proposed Avalon Boulevard and Fries Street Segments Closure Project (Project), along with the comments and responses to comments; make specific findings regarding the environmental impacts of the proposed Project and mitigation measures to reduce or avoid such impacts; adopt a Mitigation Monitoring and Reporting Program; and approve the proposed Project described in the Final IS/MND.The proposed Project involves the permanent physical closure of segments of Avalon Boulevard and Fries Avenue by installing street modifications that include cul-de-sacs or curbs and gutters, and fencing and signage. The primary goal of the proposed Project is to respond to improvements in rail operational efficiency and reduce rail traffic congestion along the West Basin Branch mainline track serving the West Basin Terminal area at the Port of Los Angeles (Port). These rail operational changes would improve the efficiency of service to TraPac, Yang Ming, and China Shipping container terminals, and other Port rail customers and reduce congestion by allowing simultaneous moves of unit container trains destined for the Yang Ming and TraPac container terminals. The proposed Project would also comply with the California Public Utilities Commission (CPUC) General Order 135 rule, which limits road-crossing blockages due to stopped or switching train cars to 10 minutes. The proposed Project is the financial responsibility of the City of Los Angeles Harbor Department (Harbor Department)
 

Recommendation: Board to resolve to (1) find that, based on the information contained in this report and the Final Initial Study/Mitigated Negative Declaration (IS/MND) for the Avalon and Fries Street Segments Closure Project, and with incorporation of mitigation measures contained in the IS/MND, that the project would not have a significant effect on the environment pursuant to Public Resources Code § 21080 and the State California Environmental Quality Act Guidelines § 15070; (2) adopt, pursuant to State California Environmental Quality Act (CEQA) Guidelines § 15074, the Final Initial Study/Mitigated Negative Declaration for the Avalon and Fries Street Segments Closure Project which (a) has been completed in compliance with CEQA, the State CEQA Guidelines, and the Los Angeles City CEQA Guidelines; (b) was presented to the Board for review and was reviewed and considered by the Board prior to approving the Project; and (c) reflects the independent judgment and analysis of the City of Los Angeles Harbor Department as the CEQA Lead Agency; (3) find that all information added to the Final Initial Study/Mitigated Negative Declaration after the public review period, but before adoption, merely clarifies, amplifies, or makes insignificant modifications, and that recirculation is not necessary; (4) adopt the Mitigation Monitoring and Reporting Program contained in the Final Initial Study/Mitigated Negative Declaration as required by Public Resources Code Section 21081.6 and State California Environmental Quality Act Guidelines § 15074. The Mitigation Monitoring and Reporting Program is designed to ensure compliance with the mitigation measures adopted to mitigate or avoid significant effects on the environment, and identifies the responsibilities of the City of Los Angeles Harbor Department as lead agency and other applicable entities, to monitor and verify project compliance with those mitigation measures and conditions of project approval; (5) approve the Avalon and Fries Street Segments Closure Project, in consideration of the Final Initial Study/Mitigated Negative Declaration, together with the comment letters received and the response to comments; (6) authorize the Environmental Management Division to file the Notice of Determination for the subject project with the Los Angeles City and County Clerks; and (7) Adopt Resolution No.____________.

 

Executive Office

8. RESOLUTION NO.____________ - TRANSFER OF FUNDS TO THE BUREAU OF ENGINEERING, DEPARTMENT OF PUBLIC WORKS, FOR THE ANAHEIM STREET WIDENING FROM FARRAGUT TO DOMINGUEZ CHANNEL PROJECT

Transmittal 1

Summary: Staff requests approval of an authorization to transfer $5,000,000 to the Bureau of Engineering (BOE) for the purpose of widening Anaheim Street. This project will upgrade a 0.32-mile section of Anaheim Street from Farragut Avenue to the Dominguez Channel in compliance with Major Highway Standards, widen Anaheim Street from 78 to 84 feet, and increase lanes from four to six. This roadway segment is used by heavy duty trucks carrying port cargo and is designated on the City of Los Angeles Overweight Container Corridor route as well as a Designated Truck Route (DTR) in Port permits. The City of Los Angeles Harbor Department (Harbor Department) will be financially responsible for funding this $5,000,000 transfer to the BOE, to reimburse BOE for the Harbor Department’s share of project services rendered for the street widening project, pursuant to Los Angeles City Charter Section 656(b)(5).

 

Recommendation: Board to 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) authorize the transfer of $5,000,000 from the Misc. Other Non-Operating Expenses, Account 89090, Center No. 6000, Program No. 000 to the Department of Public Works, Bureau of Engineering Special Services Fund No. 682, Department No. 50 pursuant to Los Angeles City Charter Section 656(b)(5); (3) authorize the Executive Director to execute and the Board Secretary to forward this action to the Mayor and City Council for necessary actions pursuant to Los Angeles City Charter Section 342.; and (4) Adopt Resolution No.__________.

 

K. Closed Session

 

1. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

(Subdivision (d)(1) of Government Code Section 54956.9

 

Imad Ensheiwat v. American President Lines, Ltd., City of Los Angeles, et al., Los Angeles Superior Court Case No. BC698739

 

2. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

(Subdivision (d)(1) of Government Code Section 54956.9

 

Harbor Performance Enhancement Center, LLC v. City of Los Angeles,

Los Angeles Superior Court Case No. 19STCP02431

 

3. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

(Subdivision (d)(1) of Government Code Section 54956.9

 

Natural Resources Defense Council, et al. v. City of Los Angeles, et al.

Los Angeles Superior Court Case No. BS070017

 

4. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to Permit 999 with China Shipping Holding Company, Ltd.:

 

Property: Berths 100-103, San Pedro

 

City Negotiator: Michael DiBernardo

 

Tenant Negotiator: Paul Nazzaro

 

Negotiating Parties: City and China Shipping Holding Company, Ltd.

 

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 permit with Port Maintenance Group:

 

Property: 921 E. New Dock Street, Berth208, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Jack Rule

 

Negotiating Parties: City and Port Maintenance Group

 

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 a proposed permit with Pacific Crane Maintenance Company, LLC:

 

Property: 849 E. New Dock Street, Berth 208, Terminal Island

895 Reeves Avenue, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Joseph Gregorio, Jr.

 

Negotiating Parties: City and Pacific Crane Maintenance Company, LLC

 

Under Negotiation: Price and Terms

 

7. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to Permit 692 and a proposed revocable permit with Yusen Terminals, Inc.:

 

Property: 701 New Dock Street, Terminal Island

Berths 212-224, Terminal Island

Berths 206-209, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Hyun Jung

 

Negotiating Parties: City and Yusen Terminals, Inc.

 

Under Negotiation: Price and Terms

 

8. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to Permit 750 with SA Recycling, LLC:

 

Property: 901 E. New Dock Street, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Terry Adams

 

Negotiating Parties: City and SA Recycling, LLC

 

Under Negotiation: Price and Terms

 

 

9. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to a proposed revocable permit with Innovative Terminal Services, LLC:

 

Property: Berths 206-207, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Kent Phillips

 

Negotiating Parties: City and Innovative Terminal Services, LLC

 

Under Negotiation: Price and Terms

 

 

10. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to a proposed permit with Pacific Maritime Association:

 

Property: Berths 208-209, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: James McKenna

 

Negotiating Parties: City and Pacific Maritime Association

 

Under Negotiation: Price and Terms

 

11. CONFERENCE WITH REAL PROPERTY NEGOTIATORS

(Government Code Section 54956.8)

 

Provide instructions to its real estate negotiators with respect to a proposed revocable permit with Pasha Stevedoring Terminals:

 

Property: Berths 206-209, Terminal Island

 

City Negotiator: Marisa Katnich

 

Tenant Negotiator: Jay Bowden

 

Negotiating Parties: City and Pasha Stevedoring Terminals

 

Under Negotiation: Price and Terms

 

12. 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: (two cases)

 

13. 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

As a covered entity under Title II of the Americans with Disabilities Act, the City of Los Angeles does not discriminate on the basis of disability and, upon request, will provide reasonable accommodation to ensure equal access to its programs, services, and activities.

Sign language interpreters, assistive listening devices, and translation services may be provided.  To ensure availability, 72-hour advance notice is required. Contact the Commission office at (310) 732-3444.

Interpretes de señas, sistemas auditivos y servicios de traducciones están disponibles. Para asegurar disponibilidad, se requiere solicitarlos con 72 horas de anticipación. Para hacer la solicitud, llame a la oficina de la Comisión al (310) 732-3444.