January 20, 2023
SPECIAL MEETING NOTICE - TIME CHANGE ONLY
SUBJECT: LOS ANGELES BOARD OF HARBOR COMMISSIONERS
SPECIAL MEETING – THURSDAY, JANUARY 26, 2023
The Los Angeles Board of Harbor Commissioners are scheduled for a Special Meeting on Thursday, January 26, 2023 at 8:30am.
This meeting is in lieu of their previously scheduled Regular Meeting at 9:00am on the same date and will be held at the following location.
Port of Los Angeles Administration Building
Board Hearing Room, Second Floor
425 S. Palos Verdes Street
San Pedro, CA 90731
Pursuant to City of Los Angeles Ordinance No. 187219, “proof of a COVID-19 vaccination for individuals 12 years of age or older is required to enter an indoor portion of a City facility. Alternatively, visitors may show proof of a negative PCR or antigen COVID-19 test conducted within 72 hours before entry.”
Please refer to the posted agenda at www.portoflosangeles.org for further details, including helpful guidelines on “OPPORTUNITIES FOR THE PUBLIC TO ATTEND THE MEETING AND PROVIDE PUBLIC COMMENTS”.
AMKlesges
AMBER M. KLESGES
Board Secretary
SPECIAL MEETING AGENDA
THURSDAY, JANUARY 26, 2023 AT 8:30 AM
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
A. Roll Call
B. 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 Revocable Permit 1006 with Marine Sheet Metal Works:
Property: 813 South Seaside Avenue, Terminal Island
City Negotiator: Marisa Katnich
Tenant Negotiator: Jason Matthews
Negotiating Parties: City and Marine Sheet Metal Works
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 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
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)
C. Executive Director Remarks
D. Comment from the Public on Non-Agenda Items
E. 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.
F. Reports of the Commissioners
G. Board Committee Reports
None
H. Approval of the Minutes
- Regular Meeting of January 12, 2023
I. Presentation
None
J. Level I Coastal Development Permit
The Executive Director has issued one (1) Level I CDP:
K. Board Reports of the Executive Director
Consent Items (1 – 4)
Office of the City Attorney
Summary: The Office of the City Attorney (Office) requests approval of an Agreement between the City of Los Angeles Harbor Department (Harbor Department) and Everett Dorey LLP (Everett) for legal services related to liability litigation defense counsel. The proposed Agreement is for a term of three years and maximum compensation of $350,000. The Harbor Department is financially responsible for payment of expenses incurred under 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) find in accordance with Charter Section 1022 that the scope of work of the proposed Agreement can be more economically and feasibly provided by an independent contractor than by City employees; (3) approve a Legal Services Agreement with Everett Dorey LLP in the amount of $350,000 for a three-year term; (4) authorize the Executive Director and Board Secretary to execute and attest to the Agreement; and (5) adopt Resolution No.____________.
Waterfront & Commercial Real Estate
Summary: Staff requests approval of the proposed Order resetting compensation under Permit No. 930 (P930) with The Jankovich Company, LLC (Jankovich), a Washington limited liability company, for the five-year period of November 6, 2022 to November 5, 2027. P930 has a 20-year term that commenced on November 6, 2017, with two consecutive five-year options to extend the term. Compensation is to be reset every five years, with an annual Consumer Price Index (CPI) adjustment. P930 grants Jankovich the use of 2.72 acres of land, subsurface, and submerged land, along with 10,966 square feet of office space in San Pedro for the operation of a marine fueling terminal at Berth 73A and Berth 73B. Jankovich has agreed to new compensation effective November 6, 2022. Effective November 6, 2022, approval of the proposed compensation reset will increase annual rent by $141,359 or 45 percent from $315,219 previously to $456,578 ($38,048 per month) as proposed. Thereafter, rent will be increased annually by the change in the CPI, subject to a floor of 0 percent.
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 Order resetting compensation under Permit No. 930 with The Jankovich Company, LLC; (3) authorize the Board Secretary to attest to the Order resetting compensation under Permit No. 930; and (4) adopt Resolution No.____________ and Order No.____________.
Media Relations & Strategic Communications
Summary: Staff requests approval of two (2) separate three-year agreements with Faye Business Systems Group, Inc. (Faye), a software solutions and optimization partner, and SilverTech, Inc. (SilverTech), a digital experience agency, to provide as-needed website design, development, and support services for Port of Los Angeles-hosted websites. The Port has utilized outside contractors for managed web hosting services since the late 1990s. Spending will not exceed $690,000, in aggregate, on a pooled basis across the two proposed Agreements. The Harbor Department is financially responsible for payment of expenses incurred under the proposed Agreements.
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, the services required can be performed more feasibly by an outside contractor than by City employees; (3) approve the three-year agreement with Faye Business Systems Group, Inc. for a pooled amount not-to-exceed $690,000; (4) approve the three-year agreement with SilverTech, Inc. for a pooled amount not-to-exceed $690,000; (5) authorize the Executive Director to execute and the Board Secretary to attest to the said agreements; and (6) adopt Resolution No.___________.
Cargo Marketing
Summary: Staff requests approval of a Foreign-Trade Zone (FTZ) Operating Agreement between the City of Los Angeles Harbor Department (Harbor Department) and Port Logistics Group, LLC (PLG), to operate its facility within FTZ No. 202, Site 42, located at 501 S. Cheryl Lane, City of Industry, CA 91789. The 20.57 acre property includes a warehouse and office space, approximately 50 miles north of the Port of Los Angeles. In January 2022, Ryder Systems, Inc., acquired Port Logistics Group, Inc. and changed the legal entity to an LLC. Port Logistics Group, Inc., worked under Operating Agreement 17-3487. With this new ownership and name change, it is recommended a new Operating Agreement be executed. The proposed Agreement is for a term of five years with three, five-year renewal options. If the proposed Agreement is approved, the Harbor Department will receive $7,750 annually from PLG (per FTZ Tariff No. 2).
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the 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 Foreign-Trade Zone Operating Agreement between the City of Los Angeles Harbor Department and Ports Logistics Group, LLC; (3) direct the Board Secretary to transmit the proposed Foreign-Trade Zone Operating 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; (4) authorize the Executive Director to execute and the Board Secretary to attest to the proposed Foreign-Trade Zone Operating Agreement; and (5) adopt Resolution No.____________.
Regular Items (5 & 6)
Environmental Management
Summary: Staff requests approval of the proposed Agreements (Agreements) with APEX Companies, LLC (Apex), Burns & McDonnell Engineering Company, Inc. (B&M), Leighton Consulting, Inc. (Leighton), Ninyo & Moore Geotechnical and Environmental Sciences Consultants (N&M), Pacific Edge Engineering, Inc. (Pacific Edge), Parsons Environment & Infrastructure Group, Inc. (Parsons), Tetra Tech, Inc. (Tetra Tech), and TRC Solutions, Inc. (TRC) to provide the City of Los Angeles Harbor Department (Harbor Department) with as-needed site assessment and environmental restoration services. This action will authorize eight proposed Agreements, each for a three-year term, with a combined not-to-exceed amount of $21,000,000. The Harbor Department is financially responsible for payment of services rendered under the proposed Agreements.
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) find that in accordance with the City Charter Section 1022, work under the subject Agreements can be performed more feasibly by independent consultants rather than by City employees; (3) approve the proposed Agreements for a term of three-years each, with a combined contract total of $21,000,000 as follows: a. Tetra Tech, Inc. (Pasadena, CA) for $4,000,000; b. APEX Companies, LLC (Signal Hill, CA) for $4,000,000; c. Leighton Consulting, Inc. (Irvine, CA) for $3,000,000; d. Pacific Edge Engineering, Inc. (Mission Viejo, CA) for $3,000,000; e. Burns & McDonnell Engineering Company, Inc. (Brea, CA) for $2,500,000; f. Parsons Environment & Infrastructure Group, Inc. (Pasadena, CA) for $1,500,000; g. Ninyo & Moore Geotechnical & Environmental Science Consultants (Los Angeles, CA) for $1,500,000; and h. TRC Solutions, Inc. (Irvine, CA) for $1,500,000; (4) authorize the Executive Director to execute and the Board Secretary to attest to said Agreements, for and on behalf of the Board; and (5) adopt Resolution No.___________.
Environmental Management
Summary: Staff requests approval of the proposed Second Amendment to Subrecipient Agreement No. 19-3685 with the National Renewable Energy Laboratory (NREL) to perform data collection, analysis, and reporting for the grant funded, zero emissions “Shore to Store” Project (Project). In this Project, the Harbor Department is partnering with Kenworth Truck Company (Kenworth), the Port of Hueneme (POH), NREL, and Shell Oil Products, US (Shell) to develop and demonstrate on-road hydrogen fuel cell and off-road battery electric zero emissions vehicles, including the necessary fueling infrastructure. The Project was approved by the Board of Harbor Commissioners (Board) on March 7, 2019, along with acceptance of the grant award from the California Air Resources Board (CARB), and approval of Grant Agreement No. 19-3969 in the amount of $41,122,260 to implement the Project. The Board approved the First Amendment to Grant Agreement No. 19-3969 on April 1, 2021, to extend the project term. In October, 2021, the Board approved the First Amendment to Subrecipient Agreement No. 19-3685 with NREL to align with the amended Grant Agreement. This proposed Second Amendment to Subrecipient Agreement No. 19-3685 with NREL incorporates updates to the project schedule and milestones to account for the impacts of the COVID-19 pandemic on the project timeline and provides additional funding to cover the extended time. All other terms and conditions will remain unchanged. If the proposed Amendment is approved, the Harbor Department will be financially responsible for the payment of $148,000 in additional funding to NREL to complete data collection, analysis and reporting related to the project.
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 6(2) of the Los Angeles City CEQA Guidelines; (2) approve the Second Amendment to Agreement No. 19-3685 between the City of Los Angeles Harbor Department and National Renewable Energy Laboratory to extend the term, add funds, and update the schedule and project milestones for the Shore to Store Demonstration Project; (3) authorize the Executive Director to execute and the Board Secretary to attest to said Second Amendment with the National Renewable Energy Laboratory for and on behalf of the Board; and (4) adopt Resolution No.____________.
L. Adjournment