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Harbor Commission

Regular Agenda - July 14, 2022

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Los Angeles Board of Harbor Commissioners 
Harbor Administration Building
425 S. Palos Verdes Street
San Pedro, California 90731
 
REGULAR MEETING AGENDA
THURSDAY, JULY 14, 2022 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.        Comment from the Public on Non-Agenda Items
 
 
D.        Report from the Neighborhood Council Representatives – An opportunity for Neighborhood Council representatives to provide remarks on Neighborhood Council Resolutions or Community Impact Statements filed with the City Clerk which relate to any agenda item listed or being considered on this agenda for the Board of Harbor Commissioners.
 
 
E.        Reports of the Commissioners
 
 
F.         Board Committee Reports
 
            None
 
G.        Approval of the Minutes
  • Special Meeting of June 8, 2022
  • Regular Meeting of June 23, 2022
 
H.        Presentation
 
               None
 
I.          Level I Coastal Development Permit
           
          The Executive Director has issued two (2) Level I CDP’s:
 
 
         
 
 
J.         Board Reports of the Executive Director
 
Consent Items (1 – 8)
 
Port Police
 
 
 
Summary: Staff requests Board of Harbor Commission (Board) approval of a Memorandum of Agreement (MOA) between the City of Los Angeles Harbor Department (Harbor Department) and the Los Angeles Police Department (LAPD) to clearly define each party’s roles concerning the use of information captured by the Automated License Plate Reader (ALPR) cameras located within the overlapping jurisdiction.  The sharing of ALPR data furthers collaboration between the Los Angeles Port Police (Port Police) and the LAPD in enabling broader search coverage across jurisdictional lines. The intent of the MOA is to memorialize the understanding between the Harbor Department and the LAPD regarding the terms of this agreement, along with each party’s specific roles. The term of the proposed MOA shall commence upon execution by all parties and continue for three years.  Approval of the proposed MOA will not result in additional expenses being incurred by the Harbor Department.
 
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 Memorandum of Agreement between the Harbor Department and the Los Angeles Police Department; (3) Authorize the Executive Director to execute and the Board Secretary to attest to the Memorandum of Agreement for and on behalf of the Board; and (4) Adopt Resolution No. ______________.
 
 
 
 
Construction
 
 
 
Summary: Staff requests approval of the Caltrans Cooperative Agreement No. 07-5257(Agreement) between the City of Los Angeles Harbor Department (Harbor Department) and the State of California Department of Transportation (Caltrans) during construction of the SR-47/Vincent Thomas Bridge and Front Street/Harbor Boulevard Interchange Reconfiguration Project (Project). This Agreement, if approved by the Board of Harbor Commissioners, defines the respective roles and responsibilities of each agency during the construction phase of the Project.  The Agreement will terminate after construction is completed and a Closure Statement is signed by all parties.  The estimated cost to construct the Project is $70,000,000.
 
Recommendation: Board resolve to (1) Find that the Director of Environmental Management has determined 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; (2) Approve the Caltrans Cooperative Agreement No. 07-5257  between the City of Los Angeles Harbor Department and the State of California Department of Transportation; (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. ______________.
 
 
 
 
 
 
 
 
Environmental Management
 
 
 
Summary: Staff requests approval of a proposed Agreement with Intertek Testing Services N.A. Inc. (Intertek) of Cortland, New York, to provide International Organization of Standardization (ISO) 14001 certification audits of the City of Los Angeles Harbor Department (Harbor Department) Environmental Management System (EMS). The EMS was implemented at the Harbor Department Construction and Maintenance (C&M) Division in January 2004. In 2007, the EMS was certified to meet ISO 14001, the internationally recognized standard for environmental management systems. The EMS has provided a structured approach to improve environmental performance as well as operational efficiencies in day-to-day operations. In accordance with the ISO 14001 EMS standard, a recertification audit by an independent auditor is required every three years to maintain ISO 14001 certification, along with annual surveillance audits. The EMS was recertified in 2010, 2013, 2016 and, 2019. A 2022 recertification audit is now due. The proposed Agreement will provide the Harbor Department with audit, certification and surveillance services for the EMS in compliance with ISO 14001. The proposed Agreement would be for a term of three years and a not-to-exceed amount of $30,000. Payment of expenses incurred under the Agreement would be 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 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 Agreement with Intertek Testing Services N.A. Inc., substantially as to form for a term of three years and a total amount not-to-exceed $30,000; (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. ______________.
 
 
 
 
 
 
 
Waterfront & Commercial Real Estate
 
 
Summary: Staff requests approval of the continuation of Revocable Permit (RP) No. 98-17 with Nick Guglielmo for property located at Harbor Blvd. and 22nd Street, San Pedro, pursuant to the City of Los Angeles Harbor Department (Harbor Department) practice for five-year review by the Board of Harbor Commissioners for continuation or modification of RPs. Nick Guglielmo currently pays rent of ­­approximately $2.54 per square foot of unimproved land annually, $526.00 monthly ($6,312.00 per year)to the Harbor Department. Effective July 1, 2022, rent will increase to $729.32 per month, and effective January 1, 2023, monthly rent will increase to $932.63, or $4.50 per square foot ($11,191.56 annually).  On July 1, 2023 and each July 1 thereafter, annual rent will increase by the change in Consumer Price Index (CPI). Approval of the proposed action will entitle the tenant to continue business operations on a month-to-month basis under the existing RP, which will be updated with a new RP consistent with the 2011 Board  approved RP template.
 
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(14) of the Los Angeles City CEQA Guidelines; (2) Approve the continuation of Revocable Permit No. 98-17 with Nick Guglielmo; and (3) Adopt Resolution No. ______________.
 
 
 
 
Waterfront & Commercial Real Estate
 
 
 
Summary: Staff requests approval of the proposed Industrial Temporary Entry and Use Permit No. 1863 (TEUP 1863) with Kinder Morgan Tank Storage Terminals LLC (Kinder Morgan) for 16 groundwater monitoring wells and 8 injection wells located at or near Berth 120. The wells were installed on or about November 2015, as required by the litigation settlement agreement in City of Los Angeles v. Kinder Morgan Liquids Terminals LLC et al. and the First Amendment to Permit No. 708 between the City of Los Angeles Harbor Department (Harbor Department) and Kinder Morgan.  The First Amendment provided terms for return of the remediated property to the Harbor Department and stated the tenant would be provided access to monitoring wells on the vacated landed parcel with no rental charge. However, no separate entitlement was issued for the monitoring wells after the remediated land was returned to the Harbor Department. The proposed TEUP 1863 will entitle Kinder Morgan to install, operate, and maintain 16 groundwater monitoring wells and 8 injection wells at the site.  No annual compensation will be imposed on TEUP 1863 consistent with the First Amendment to Permit No. 708.
 
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(14) and Class 3(4) of the Los Angeles City CEQA Guidelines; (2) Approve Temporary Entry and Use Permit No. 1863 with Kinder Morgan Tank Storage Terminals LLC; (3) Authorize the Executive Director to execute and the Board Secretary to attest to Temporary Entry and Use Permit No. 1863; and (4) Adopt Resolution No. ______________.
 
 
 
 
Cargo & Industrial Real Estate
 
 
 
Summary: Staff requests approval of the Second Amended and Restated Quitclaim Deed (Second Amendment) between the United States of America, through the Secretary of Transportation, as delegated to the Maritime Administration (MARAD) and the City of Los Angeles Harbor Department (Harbor Department). This action concerns former U.S. Navy (Navy) property referred to as Site 6A which is located north of the intersection of North Seaside Avenue and Navy Way on Terminal Island and a portion of the Navy Mole. MARAD transferred the property to the Harbor Department in October 2000 under a no-cost, port-related, public benefit conveyance. The proposed Second Amendment will allow MARAD, on behalf of the Navy, to reserve an easement at Site 6A for two existing fuel pipelines.
 
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(14) of the Los Angeles City CEQA Guidelines; (2) Approve the Second Amended and Restated Port Facility Property Instrument of Disposal Quitclaim Deed, Indenture, and Environmental Restriction among the United States of America, through the Secretary of Transportation, as delegated to the Maritime Administration, and the City of Los Angeles Harbor Department; (3) Authorize the Executive Director to execute, and the Board Secretary to attest to, the Second Amended and Restated Port Facility Property Instrument of Disposal Quitclaim Deed, Indenture, and Environmental Restriction; and (4) Adopt Resolution No. ______________.
 
 
 
Cargo & Industrial Real Estate
 
 
 
Summary: Staff requests approval of an Assignment and Assumption (Assignment) as well as a First Amendment (First Amendment) to MJRP No. 09-18 (MJRP).  Under the proposed Assignment, the MJRP will be conveyed from Plains West Coast Terminals LLC (Plains) to Zenith Energy West Coast Terminals LLC (Zenith).  Under the First Amendment, the following changes will be made: (1) monthly compensation will be adjusted, (2) the security deposit will be increased, (3) the index used as the basis for permit fee increases will be revised, (4) a corporate guaranty will be added to the MJRP, and (5) contact information for MJRP notification requirements will be updated. Currently, the Port of Los Angeles (“Harbor Department”) receives rent of $114.64 per month under MJRP No. 09-18 (MJRP).  Under the proposed First Amendment, monthly rent will increase by $248.44, or 217 percent, to $363.08 per month, or $4,356.96 per year with annual increases based upon the consumer price index (CPI) beginning in Year 2.  In addition, the Harbor Department will also receive 50 percent of a $3,000 ($1,500) assignment processing fee to be paid by Zenith. The proposed Assignment and First Amendment require approval from the Harbor Department and the Port of Long Beach (“POLB”, collectively “Ports”).  The Assignment and First Amendment is expected to be considered by POLB at its Board of Harbor Commissioners meeting in August 2022.
 
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 Section 15301 of the State CEQA Guidelines; (2) Approve Assignment and Assumption and First Amendment to Master Joint Revocable Permit No. 09-18 among Zenith Energy West Coast Terminals LLC and the City of Los Angeles Harbor Department and Port of Long Beach, as joint owners; (3) Authorize the Executive Director to execute and the Board Secretary to attest to Assignment and Assumption and First Amendment to Master Joint Revocable Permit No. 09-18; and (4) Adopt Resolution No. ______________.
 
Executive Office
 
 
 
Summary: Staff requests approval of a third Temporary Order to amend Port of Los Angeles (Port) Tariff No. 4, (Tariff No. 4) amending Section Twenty-Five, “Container Excess Dwell Fee”.  A Container Excess Dwell Fee will be assessed to the ocean common carriers (OCCs) for each discharged container transported under their bill of lading that dwells on a Port terminal beyond a prescribed period depending on the modality of the container. The assessment and collection of this fee shall commence upon notice provided by the Executive Director at a public meeting of the Board. Both the Port, and the Port of Long Beach independently pursued initiatives to implement fee structures. Initiatives were developed in coordination with the Biden-Harris Supply Chain Disruptions Task Force, U.S. Department of Transportation and multiple supply chain stakeholders. Under this proposed Tariff No. 4 amendment, the Port will continue to have the authority to assess a fee for container excess dwell time, payable by OCCs responsible for discharging the specific containers. For containers scheduled to move by truck (local) and by rail (intermodal), OCCs would be charged for every container dwelling nine days or more following vessel discharge of $100 per container, increasing in $100 increments per container per day of excess dwell time beyond the prescribed period. The amount of fees to be generated under the proposed Amendment is currently unknown given the reduction in dwell times observed since the original Temporary Order was initially approved in October 2021. The goal of this initiative is to continue the reduction in dwell time on both intermodal and local containers stored within a Port terminal. The first Temporary Order expired on April 29, 2022, and the second Temporary Order is set to expire on July 28, 2022; therefore, a third Temporary Order is required to continue consideration of the dwell fee.
 
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(31) of the Los Angeles City CEQA Guidelines; (2) Adopt Temporary Order No._______   to amend Port of Los Angeles Tariff No. 4 adding Section Twenty-Five, “Container Excess Dwell Fee”; (3) Authorize the Board Secretary to certify the adoption of a 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 (4) Adopt Resolution No. ______________.
 
 
Regular Items (9 & 10)
 
Port Police
 
 
 
Summary: Staff recommends the approval of the proposed Agreement with Convergint Technologies LLC (Convergint), Anaheim, California, to provide professional services to assist the City of Los Angeles Harbor Department (Harbor Department) with the maintenance, repair, replacement, installation, and integration of equipment related to security systems. These systems include, but are not limited to, Closed Circuit Television (CCTV), access control, and networking. The scope of this Agreement also includes system upgrades (hardware and software) that may be needed in order to enhance performance or add to the system’s overall capabilities. Convergint was selected to provide these services based on responses to a competitive Request for Proposals (RFP) process has been providing the above listed services since June 18, 2013. Their current Agreement (No. 19-3669) expires on August 7, 2022.  The proposed Agreement will be for a period of one year and will include two, one-year renewal options, at an amount not to exceed $9,000,000. A portion of the Agreement will be funded through the Port Security Grant Program (PSGP). The Harbor Department is required to fund a twenty-five percent cost share. Funding for future years will be requested as part of the annual budget process, and additional grant funds will be sought through the annual PSGP application process. This Agreement 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 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(2) of the Los Angeles City CEQA Guidelines; (2) Find that in accordance with the City Charter Section 1022 that, although portions of the work under the subject Agreement can be performed by City employees, there is no staff available to assist; (3) Approve the proposed one-year Agreement, with two, one-year renewal options  with Convergint Technologies LLC; (4) Authorize the Executive Director to execute and the Board Secretary to attest to the Agreement; and (5) Adopt Resolution No. ______________.
 
 
 
 
Construction
 
 
 
Summary: Staff requests approval of an award of a contract (Contract) to Griffith Company (Griffith), for the 2021-2023 Site Improvements (Project).  The Project consists of nonexclusive on-call general maintenance and site improvements throughout the San Pedro, Wilmington, and Terminal Island districts.  The lowest responsive and responsible bidder is Griffith Company, located at 12200 Bloomfield Ave, Santa Fe Springs, California 90670.  The Contract amount of $26,922,445.00, plus a 10% contingency, is $29,614,689.50, and the Contract duration is 730 calendar days.  Payment of expenses incurred under the 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 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, work under the subject Contract can be performed more feasibly by an independent contractor rather than by City employees; (3) Award and approve, Specification No. 2818 for Item Nos. 1 through 121 of the Bid Proposal Line Items to Griffith for $26,922,445.00; that a 10% contingency not included in the original Contract amount be applied for a total authorization of $29,614,689.50 and authorize payment from the Harbor Department Construction Account.  The Contract time for performance of the work shall be 730 calendar days; (4) Authorize the Executive Director to execute and the Board Secretary to attest to this Contract for and on behalf of the Board; (5) Delegate and authorize the Executive Director to adjust the final bid quantities and accept the construction Contract upon its completion in accordance with City Charter Section 655 (g); and (6) Adopt Resolution No. ______________.
 
 
 
 
 
K.        Closed Session
 
   1.        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
 
 
2.         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.
             San Diego Superior Court Case No. 37-2021-00023385-CU-TT-CTL
 
 
  3.           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
 
 
4.         CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
              (Subdivision (d)(2) of Government Code Section 54956.9)
 
           Significant exposure to litigation pursuant to subdivision (d)(2) of Section 54956.9: (one case)
 
 
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 San Pedro Fish Market:
 
Property:                                 Berths 93C, D, E, San Pedro
City Negotiator:                       Eugene D. Seroka
Tenant Negotiator:                  Michael Ungaro
Negotiating Parties:                City and San Pedro Fish Market
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 Lease 915 with San Pedro Public Market LLC:
 
Property:                                 Berths 74-83, San Pedro
City Negotiator:                       Michael Galvin
Tenant Negotiator:                  Eric Johnson
Negotiating Parties:                City and San Pedro Public Market 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 919 with H.S. Seafoods, Inc.:
 
Property:                                 Berth 72, San Pedro
City Negotiator:                       Michael Galvin
Tenant Negotiator:                  Bo Wu
Negotiating Parties:                City and H.S. Seafoods, Inc.
Under Negotiation:                  Price and Terms
 
 
 
8.         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

July 14, 2022 - Meeting Materials

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