Los Angeles Board of Harbor Commissioners
Harbor Administration Building
425 S. Palos Verdes Street
San Pedro, California 90731
San Pedro, California 90731
REGULAR MEETING AGENDA
THURSDAY, FEBRUARY 8, 2024 AT 10:00 AM
Board of Harbor Commissioners
Lucille Roybal-Allard, President
Diane L. Middleton, Vice President
Michael Muñoz
Edward R. Renwick
I. Lee Williams
ORDER OF BUSINESS
OPEN SESSION
A. Roll Call
- Convene in Memory – John Ochs
B. Approval of the Minutes
- Regular Meeting of January 11, 2024
- Regular Meeting of January 25, 2024
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
- Audit Committee Meeting of January 25, 2024
H. Presentation
I. Level I Coastal Development Permit
None
J. Board Reports of the Executive Director
Consent Items (1- 4)
Cargo & Industrial Real Estate
Summary: Staff requests approval of an Order and Second Amendment concerning the first of two five-year options to extend Permit No. 905 (Permit 905) with Fisherman’s Pride Processors, Inc, dba Neptune Foods, (Neptune) for the five-year period of March 27, 2024, through March 26, 2029. The Order and Amendment are subject to payment of the $105,026.13 option fee. Under Permit 905, Neptune operates a seafood processing facility on Terminal Island for a term of ten years with two, five-year options to renew, for a total potential aggregate term of 20 years. The current monthly rent is $88,671.69.
Recommendation: Board resolve to (1) find that the Director of Environmental Management has determined that the proposed action has been previously evaluated pursuant to the requirements of the California Environmental Quality Act (CEQA) under Article II Section 2(i) of the Los Angeles City CEQA Guidelines; (2) approve the Second Amendment to Permit No. 905; (3) approve the Order extending the term of Permit No. 905 for five additional years with Fisherman’s Pride Processors, Inc, dba Neptune Foods; (4) direct the Board Secretary to transmit the Second Amendment and the Order to Permit No. 905 to the City Council for approval pursuant to Section 606 of the City Charter; (5) authorize the Board Secretary to attest to the Order approving the extension of Permit No. 905; and (6) adopt Resolution No. ____________ and Order No. ____________.
Cargo & Industrial Real Estate
Summary: Staff requests approval of the updated Executive Director-level Joint Revocable Permits (JRPs) and Master Joint Revocable Permits (MJRPs) templates and approval of an increase to the annual compensation amount for authority delegated to the Executive Director to execute such JRPs and MJRPs from $50,000 to $150,000. JRPs and MJRPs are month-to-month real estate entitlements granted by the City of Los Angeles Harbor Department (Harbor Department) and the Port of Long Beach (POLB), as joint owners of rail properties located along the former Southern Pacific Railroad and Union Pacific Railroad right-of-way in Los Angeles County. Currently, the Executive Director can execute JRPs and MJRPs for jointly owned property using the Board approved templates, with compensation amounts up to $50,000 per year. The recommended action would increase the delegated authority to the Executive Director to $150,000, which is consistent with the Executive Director’s approval authority under the Los Angeles City Charter and Administrative Code.
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 delegation of authority to the Executive Director to execute Joint Revocable Permits and Master Joint Revocable Permits where a permit fee is charged, up to $150,000 per year, and the permits do not materially deviate from the approved templates unless the deviations provide for more stringent or restrictive tenant obligations than those provided in the templates; and (3) adopt Resolution No. ___________ approving the Joint Revocable Permit and Master Joint Revocable Permit templates.
Environmental Management
Summary: Staff requests approval of the proposed Third Amendment (Amendment) to Subrecipient Agreement No. 19-3685 with the National Renewable Energy Laboratory (NREL) to complete data analysis for the grant-funded zero-emissions “Shore to Store” Project (Project). In this Project, largely funded by the California Air Resources Board (CARB), the City of Los Angeles Harbor Department (Harbor Department) partnered 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 electric trucks and off-road battery electric zero-emissions vehicles, including the necessary fueling infrastructure. This proposed Amendment to Subrecipient Agreement No. 19-3685 with NREL is a no-cost twelve-month term extension to February 27, 2025 to finalize and provide results of data analysis for the completed technology demonstrations. All other terms and conditions will remain unchanged. Approval of the proposed Amendment will have no financial impact on the Harbor Department as this is a no-cost term extension through February 27, 2025.
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 Third Amendment to Subrecipient Agreement No. 19-3685 between the City of Los Angeles Harbor Department and the National Renewable Energy Laboratory to extend the term for the “Shore to Store” Demonstration Project to February 27, 2025, with no other revisions; (3) authorize the Executive Director to execute and the Board Secretary to attest to said amendment for and on behalf of the Board; and (4) adopt Resolution No.____________.
Office of the City Attorney
Summary: The Office of the City Attorney (Office) requests approval of a waiver (Waiver) of a potential conflict-of-interest of the law firm of Thompson Coburn LLP (Thompson) which will allow Thompson to represent L.A. Xpress, Inc. and its owner, Kenneth MacKenzie (collectively, “L.A. Xpress”) in Victor Estuardo Jovel v. City of Los Angeles, Case No. 22-STCV32605, while continuing the firm's assistance to our Office with legal services for the Harbor Department's Clean Air Action Plan (CAAP) and Federal Clean Air Act (FCAA) regulatory and litigation matters. Approval of the proposed waiver is not anticipated to have a financial impact on 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) formally waive any potential conflicts that might arise from Thompson Coburn LLP’s representation of L.A. Xpress Inc. in Victor Estuardo Jovel v. City of Los Angeles, Case No. 22-STCV32605, while continuing its representation of the Harbor Department in CAAP and FCAA regulatory and litigation matters; (3) authorize the City Attorney’s Office to execute a written conflict waiver; and (4) adopt Resolution No.____________.
Regular Item (5)
Cargo Marketing
Summary: Staff requests approval of a third Temporary Order to amend Port of Los Angeles Tariff No. 4 (Tariff No. 4), effective February 28, 2024, which would implement a 6.2 percent General Rate Increase (GRI), applicable to Tariff No. 4 rated tariff items, excluding rated tariff items that currently have a scheduled rate increase. This third Temporary Order is being proposed within the Board of Harbor Commissioners’ (Board) authority to adopt rates for up to 90 days. At the July 20, 2023 Board meeting, the Board approved Temporary and Permanent Orders amending various sections of Tariff No. 4 increasing rated tariff items with an effective date of September 1, 2023. Changes in the Tariff require City Council approval. The City Council has not calendared and approved the Permanent Order and Ordinance. The first Temporary Order expired on November 29, 2023, the second Temporary Order will expire on February 27, 2024; therefore, a third Temporary Order is being proposed to allow additional time for the Permanent Order to pass through the City Council approval process. This third Temporary Order, if approved, will expire in 90 days after the day it is published or upon execution of the Permanent Order by the City Council, whichever occurs first.
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 a third Temporary Order No. ___________ with an effective date of February 28, 2024, to amend Port of Los Angeles Tariff No. 4, increasing rates to Section Four “Dockage”, Items 450 & 480; Section Five “Wharfage”, Items 550-001 through 550-801; Section Nine “Container Cranes” Item 900; Section Eleven “Charges for Occupancy of Office Space, etc. In Transit Sheds and on Wharves and Wharf Premises”, Item 1100; Section Twelve “Water and Electricity”, Item 1200; Section Fifteen “Public Landings”, Items 1525 & 1530; Section Eighteen “General Rules and Regulations – Miscellaneous”, Item 1802; and Section Nineteen “Commercial Fishing Vessel”, Items 1910 & 1930; (3) authorize the Board Secretary to certify the adoption of a third 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 on March 1, 2024, for a period not-to-exceed 90 days pursuant to City Charter Section 653(b); and (4) 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: (two cases)
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 Los Angeles County Flood Control District:
Property: Berth 132, San Pedro
City Negotiator: Marisa Katnich
Tenant Negotiator: Dayna Rothman
Negotiating Parties: City and Los Angeles County Flood Control District
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 Permit 750 with SA Recycling:
Property: 901 New Dock St, San Pedro
City Negotiator: Marisa Katnich
Tenant Negotiator: Terry Adams
Negotiating Parties: City and SA Recycling
Under Negotiation: Price and Terms
L. Adjournment