April 18, 2024
SPECIAL MEETING NOTICE
TIME CHANGE
SUBJECT: LOS ANGELES BOARD OF HARBOR COMMISSIONERS
SPECIAL MEETING – THURSDAY, APRIL 25, 2024
The Los Angeles Board of Harbor Commissioners shall convene for a Special Meeting at 8:30am on Thursday, April 25, 2024. The new meeting time supersedes the previously scheduled time at 10:00am.
AMKlesges
AMBER M. KLESGES
Board Secretary
Los Angeles Board of Harbor Commissioners
Harbor Administration Building
425 S. Palos Verdes Street
San Pedro, California 90731
Harbor Administration Building
425 S. Palos Verdes Street
San Pedro, California 90731
SPECIAL MEETING AGENDA
THURSDAY, APRIL 25, 2024 AT 8:30 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
B. Approval of the Minutes
• Special Meeting of April 11, 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
None
H. Presentation
• Continuation of Budget Presentation
I. Level I Coastal Development Permit
None
J. Board Reports of the Executive Director
Consent Items (1 – 3)
Port Pilots
Summary: Staff requests approval of an agreement between the City of Los Angeles Harbor Department and Trelleborg Marine Systems Denmark A/S. Under the proposed agreement, Trelleborg will lease navigation equipment, license software, and provide support for a portable piloting unit system used by Port Pilots. The proposed Agreement is a successor agreement to Agreement No. 21-3553-A that expired on January 24, 2024. The proposed Agreement has a three-year term, with an effective date retroactive to January 25, 2024, to maintain continuity of services. The proposed compensation amount is $114,270. The Harbor Department will be financially responsible for 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) approve the proposed Agreement between the City of Los Angeles Harbor Department and Trelleborg Marine Systems A/S; (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. ___________.
Construction & Maintenance
Summary: Staff requests approval of Change No. 1 to Purchase Order No. 39939-23 with Johnson Controls Fire Protection LP of Westminster, Massachusetts for fire alarm and fire suppression system maintenance. The proposed change will increase the second renewal period’s expenditure authority amount by $1,100,000 from $3,130,000 currently to $4,230,000, as proposed. The requested increase is necessary to complete current and planned capital and maintenance projects. The City of Los Angeles Harbor Department (Harbor Department) will continue to be financially responsible for the payment of expenses incurred under the Contract.
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 2(2) and 3(4) of the Los Angeles City CEQA Guidelines; (2) approve Change No. 1 to Purchase Order No. 39939-23 with Johnson Controls Fire - Protection LP to increase the annual expenditure authority from $3,130,000 to $4,230,000 for the current contract period, which is in its second renewal option; (3) authorize the Executive Director to execute and the Board Secretary to attest to Change No. 1 to Purchase Order No. 39939-23 for and on behalf of the Board; and (4) adopt Resolution No. ___________.
Construction & Maintenance
Summary: Staff requests approval of Contract No. 40035 with Grating Pacific, Inc. This one-time Purchase Order will provide for the purchase of welded bar grating materials in the amount of $520,321. The City of Los Angeles Harbor Department will be financially responsible for the payment of expenses incurred under the proposed Contract.
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 2(2) of the Los Angeles City CEQA Guidelines; (2) find that in accordance with Los Angeles City Charter Section 1022, work under the subject contract can be performed more feasibly by independent contractors than by City employees; (3) approve Contract No. 40035 with Grating Pacific, Inc. for the purchase of grating materials in the amount of $520,321; (4) authorize the Executive Director to execute and the Board Secretary to attest to Contract No. 40035 for and on behalf of the Board; and (5) adopt Resolution No. ___________.
Regular Item No. 4
Accounting
Summary: Staff requests approval of the write-off of uncollectible receivables in accordance with US Generally Accepted Accounting Principles. The total amount of the proposed write-off is $5,852,838.21 which consists of 88 items in various permits and lease agreements. These receivables are deemed uncollectible due to settlement agreements with tenants, business closure and/or bankruptcy, or statute of limitation. It is recommended for best practices to periodically review aged delinquent receivables and perform write-offs of uncollectible receivables to ensure that accounts receivable and related allowance balances are properly managed and recorded.
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 write-off of $5,852,838.21 in unpaid rent, dockage, accommodation work order, utilities, and penalty charges to be written-off from the accounts noted within Transmittal 1, in accordance with the Harbor Department’s financial policies; and (3) 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 LEGAL COUNSEL – INITIATE LITIGATION
(Subdivision (d)(4) of Government Code Section 54956.9) (1 case)
Initiation of litigation pursuant to subdivision (d)(4) of Section 54956.9: (one case)
6. CONFERENCE WITH LEGAL COUNSEL – SIGNIFICANT EXPOSURE TO 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)
7. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Fenix Marine Services, Ltd., Permit 733:
Property: 614 Terminal Way, San Pedro, CA
City Negotiator: Marisa Katnich
Tenant Negotiator: Steven Trombley
Negotiating Parties: City and Fenix Marine Services, Ltd.
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 Trapac, LLC, Permit 881:
Property: 630 West Harry Bridges Boulevard, Wilmington, CA
City Negotiator: Marisa Katnich
Tenant Negotiator: Ron Triemstra
Negotiating Parties: City and Trapac, 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 Kinder Morgan Tank Storage Terminals LLC, Permit 708:
Property: Berth 118, Wilmington, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Daniel Sanborn
Negotiating Parties: City and Kinder Morgan Tank Storage Terminals 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 Ultramar Inc. (Valero), Permit 306:
Property: Berth 164, Wilmington, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Hanna Rochelle
Negotiating Parties: City and Ultramar Inc. (Valero)
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 Shore Terminals LLC (NuStar Energy), Permits 712 and 713:
Property: Berth 163, Wilmington, CA
City Negotiator: Michael Galvin
Tenant Negotiator: K.C. Purgason
Negotiating Parties: City and Shore Terminals LLC (NuStar Energy)
Under Negotiation: Price and Terms
12. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Shell Oil Company, Permit 916
Property: Berth 168, Wilmington, CA
City Negotiator: Michael Galvin
Tenant Negotiator: David P. Bergeron, Jr.
Negotiating Parties: City and Shell Oil Company
Under Negotiation: Price and Terms
13. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Phillips 66 Company, Revocable Permit 92-24:
Property: Berth 148, Wilmington, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Tracey R. Brown
Negotiating Parties: City and Phillips 66 Company
Under Negotiation: Price and Terms
14. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to PBF Energy Western Region LLC, Permit 936:
Property: 799 S. Seaside Avenue, Terminal Island, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Teri Shinde
Negotiating Parties: City and PBF Energy Western Region LLC
Under Negotiation: Price and Terms
15. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to J & D Seafood, Inc., Permit 920:
Property: 2198 Signal Place, San Pedro, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Paul Ciaramitaro
Negotiating Parties: City and J & D Seafood, Inc.
Under Negotiation: Price and Terms
16 CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to J DeLuca Fish Company, Inc., Permit 917:
Property: 2190 Signal Place, San Pedro, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Chris DeLuca
Negotiating Parties: City and J DeLuca Fish Company, Inc.
Under Negotiation: Price and Terms
17. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Provide instructions to its real estate negotiators with respect to Standard Fisheries Corporation, Permit 919:
Property: 2196 Signal Place, San Pedro, CA
City Negotiator: Michael Galvin
Tenant Negotiator: Erik Rosini
Negotiating Parties: City and Standard Fisheries Corporation
Under Negotiation: Price and Terms
L. Adjournment