Commissioner Robin M. Kramer, and Commissioner Douglas P. Krause.

Transcription

1 BOARD OF HARBOR COMMISSIONERS President Cindy Miscikowski Vice President David Arian Commissioner Robin M. Kramer Commissioner Douglas P. Krause Commissioner Sung Won Sohn Start Time: 8:40 a.m. Present: Absent: President Cindy Miscikowski, Vice President David Arian, Commissioner Robin M. Kramer, and Commissioner Douglas P. Krause. Commissioner Sung Won Sohn. PRESIDENT CINDY MISCIKOWSKI PRESIDED A. OPENING STATEMENT - AN OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO ADDRESS THIS BOARD PERSONS IN THE AUDIENCE MAY ADDRESS THIS BOARD IN CONNECTION WITH ANY AGENDA ITEM OR DURING THE PUBLIC COMMENT PERIOD. AS PROVIDED BY THE BROWN ACT, THE BOARD HAS LIMITED EACH INDIVIDUAL S SPEAKING TIME TO THREE MINUTES. ANYONE DESIRING TO SPEAK DURING THE PUBLIC COMMENT PERIOD IS REQUESTED TO COMPLETE A SPEAKER CARD AND SUBMIT IT TO THE COMMISSION SECRETARY, VIA THE SERGEANT AT ARMS, PRIOR TO THE START OF THE MEETING. Commission actions, except actions which are subject to appeal or review by the Council pursuant to other provisions of the Charter, ordinance or other applicable law, are not final until the expiration of the next five meeting days of the City Council during which the Council has convened in regular session. If the Council asserts jurisdiction during this five meeting day period the Council has 21 calendar days thereafter in which to act on the matter. Page 1 of 18

2 B. COMMENTS FROM THE PUBLIC ON NON-AGENDA ITEMS President Cindy Miscikowski called on comments from the public. The following persons commented: Ms. Janet Gunter, San Pedro Peninsula Homeowners United Ms. Jody James, San Pedro Peninsula Homeowners United C. EXECUTIVE DIRECTOR REMARKS Deputy Executive Director Michael Christensen announced the upcoming events at the Port. He announced that on October 29, 2011, the Port will sponsor the Happy Harbor Halloween at both the Wilmington Waterfront Park and L.A. Waterfront in San Pedro. There will be two Southern California International Gateway (SCIG) Draft EIR public hearings scheduled for November 10, 2011, at the Silverado Community Center and November 16, 2011, at the Senior Center in Wilmington. Both meetings will begin at 6pm. He mentioned that on November 17, 2011, the next Sampson Way Community Workshop will be at the POLA High School cafeteria at 6pm. He also announced that ENR (Engineering News Record), a national publication, awarded the Wilmington Waterfront Park as California s 2011 Best Landscape/Parkscape Urban Development Project and thanked everyone involved in making this project a success. D. REPORTS OF THE COMMISSIONERS Vice President Arian reported that he and Chris Canon represented the Port and along with the Port of Long Beach received an award on the California Air Action Plan Program from the Southern California Air Quality Research Body. Vice President Arian also reported he had a meeting with the Mayor s Office and Samuel Unger from the Water Board to clarify current issues. Page 2 of 18

3 D. (Continued) Vice President Arian met with Michelle Grubbs of Pacific Merchant Shipping Association over the weekend. President Miscikowski reported that she had a meeting with John McLaurin and Michelle Grubbs of PMSA, representatives of the terminal operators at the Port. President Miscikowski participated in the Los Angeles Chamber of Commerce Retreat. President Miscikowski also mentioned she was contacted by Billy Greer, a representative of the Southern California Leadership Network. E. BOARD COMMITTEE REPORTS There were no Committee reports. F. BOARD REPORTS OF THE EXECUTIVE DIRECTOR CONSENT ITEMS (1-9) Commission Office 1. Re: RESOLUTION NO TO ESTABLISH A BOARD COMMITTEE ON PORT EFFICIENCY Recommendation: Board resolve to approve establishment of committee on Port efficiency. RECOMMENDATION APPROVED AND RESOLUTION NO ADOPTED Page 3 of 18

4 Business and Trade Development 2. Re: RESOLUTION NO APPROVAL OF FOREIGN-TRADE ZONE GENERAL PURPOSE OPERATING AGREEMENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND NEC LOGISTICS AMERICA, INC., FTZ 202, SITE 4E SUMMARY: The City of Los Angeles Harbor Department (Harbor Department), as the Foreign Trade Zone (FTZ) grantee, establishes General Purpose Operating Agreements with FTZ operators to oversee their FTZ operations. The Harbor Department received a request from NEC Logistics America, Inc. (NEC) to activate their site within FTZ 202, Site 4E, located at Ferris Place, Rancho Dominguez, CA Site 4E is a campus of three buildings: South Ferris Place, South Ferris Place and Ferris Place. This site is approximately 10 miles north from the Port of Los Angeles (Port). NEC will be operating their warehouses under FTZ procedures. The Operating Agreement (Agreement) will provide a term of five years with three, five-year renewal options. Recommendation: Board resolve to (1) approve the proposed FTZ Operating Agreement between the City of Los Angeles and NEC Logistics America, Inc.; (2) direct the Board Secretary to transmit the proposed 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; (3) upon approval by the City Council, authorize the Executive Director to execute and the Board Secretary to attest to the proposed FTZ Operating Agreement; and (4) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Page 4 of 18

5 3. Re: RESOLUTION NO APPROVAL OF FIRST AMENDMENT FOR FOREIGN-TRADE ZONE GENERAL PURPOSE OPERATING AGREEMENT NO BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND EAGLE GLOBAL LOGISTICS, SITE 9C SUMMARY: In February 2009, the City of Los Angeles Harbor Department (Harbor Department) entered into Agreement No with Eagle Global Logistics (Eagle) to oversee Foreign-Trade Zone (FTZ) 202, Site 9C. Eagle has officially changed their name to CEVA Freight LLC (CEVA). Any change made to an original operating agreement between the Harbor Department and operators requires an amendment to the agreement. The proposed First Amendment (Amendment) will approve the name change. The term of the agreement is five years with three, five-year renewal options. Except as amended, all remaining Terms and conditions of Agreement No shall remain in full force and effect. Recommendation: Board resolve to (1) approve the proposed First Amendment to Agreement No between the City of Los Angeles and Eagle Global Logistics; (2) direct the Board Secretary to transmit the proposed First Amendment 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; (3) upon approval by the City Council, authorize the Executive Director to execute and the Board Secretary to attest to the proposed First Amendment to FTZ Operating Agreement No ; and (4) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Ayes: President Cindy Miscikowski, Vice President David Arian, and Page 5 of 18

6 4. Re: RESOLUTION NO APPROVAL OF FOREIGN-TRADE ZONE GENERAL PURPOSE OPERATING AGREEMENT BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND CALIFORNIA CARTAGE COMPANY LLC, FTZ 202, SITE 28 SUMMARY: The City of Los Angeles Harbor Department (Harbor Department), as the Foreign Trade Zone (FTZ) grantee, establishes General Purpose Operating Agreements with FTZ operators to oversee their FTZ operations. The Harbor Department received a request from California Cartage Company LLC (California Cartage) to activate a third site in FTZ 202, Site 28, located at South Maciel Ave, Carson, CA This third site is approximately nine miles north from the Port of Los Angeles (Port). California Cartage will be operating their warehouses under FTZ procedures. The Operating Agreement (Agreement) will provide a term of five years with three, five-year renewal options. There is no cost to the Harbor Department if approved. Recommendation: Board resolve to (1) approve the proposed FTZ Operating Agreement between the City of Los Angeles and California Cartage Company LLC; (2) direct the Board Secretary to transmit the proposed 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; (3) upon approval by the City Council, authorize the Executive Director to execute and the Board Secretary to attest to the proposed FTZ Operating Agreement; and (4) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Page 6 of 18

7 Environmental Management 5. Re: RESOLUTION NO TECHNOLOGY ADVANCEMENT PROGRAM GRANT AGREEMENT FOR THE JOHNSON MATTHEY, INC. DIESEL PARTICULATE FILTER SWITCHER LOCOMOTIVE DEMONSTRATION PROJECT AND COSTSHARE AGREEMENT WITH THE PORT OF LONG BEACH SUMMARY: The Clean Air Action Plan (CAAP) Technology Advancement Program (TAP) Advisory Committee (AC) has reviewed and recommended partial funding for California Air Resources Board (CARB) verification of emissions reductions from the Johnson Matthey, Inc. (Johnson Matthey) Tier IV Diesel Particulate Filter (DPF) Switcher Locomotive Demonstration Project (Project). The Project is designed to reach Tier IV emissions standards for an 85% reduction of particulate matter (PM) with additional carbon monoxide and hydrocarbon reductions. The total cost of verification is $304,778. The recommended TAP funding amount is $150,000, which will be shared equally by the City of Los Angeles Harbor Department (Harbor Department) and the Port of Long Beach (POLB), in the amount of $75,000 each. The remaining balance of $154,778 will be covered by Johnson Matthey (Malvern, Pennsylvania). Recommendation: Board resolve to (1) approve the Technology Advancement Program Grant Agreement with Johnson Matthey, Inc. for a not-to-exceed amount of $150,000; (2) approve the Supplemental Cost Share Agreement between the Harbor Department and the POLB for the reimbursement of $75,000 from the POLB to the Harbor Department as established by the Clean Air Action Plan Master Cost Share Agreement No. 2546; (3) authorize the Executive Director to execute and the Board Secretary to attest to said Agreement with Johnson Matthey, Inc.; (4) authorize the Executive Director to execute and the Board Secretary to attest to said Supplemental Cost Share Agreement between the Harbor Department and Long Beach; and (5) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NOS AND APPROVED AND ITS EXECUTION AUTHORIZED Page 7 of 18

8 Planning and Economic Development 6. Re: RESOLUTION NO PROPOSED SECOND AMENDMENT TO AGREEMENT NO. E6532 BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND INNOVATIVE PARTNERS, INC. SUMMARY: The City of Los Angeles Harbor Department (Harbor Department) entered into Agreement No. E6532 with Innovative Partners, Inc. of Westfield, New Jersey on November 6, 2009, for Jeff Milanette of Innovative Partners, Inc. to become the Executive Director of Port Tech Los Angeles (PortTechLA). On October 26, 2010, the Los Angeles Board of Harbor Commissioners (Board) approved the First Amendment to Agreement No. E6532 to extend the length of the agreement by 12 months. The proposed Second Amendment to Agreement No. E6532 would extend the length of the current 24-month agreement, which expires on November 5, 2011, by an additional 12 months. The effective date will be November 6, 2011, and the new expiration date will be November 5, The proposed Second Amendment would also increase the total contract amount from $300,000 to $450,000 and amend Exhibit A to include performance metrics for the Executive Director of PortTechLA. Since the proposed amendment would extend the term of the agreement for an additional one year and the contract would be increased by an additional $150,000, Board approval is required. Recommendation: Board resolve to (1) approve the Second Amendment to Agreement No. E6532 to extend the contract term by 12 months, for a total term of 36 months, increase the contract amount by $150,000 from $300,000 to $450,000, and amend Exhibit A of Agreement No. E6532 to include performance metrics for the Executive Director of PortTechLA; (2) authorize the Executive Director and Board Secretary to execute and attest to the Second Amendment for and on behalf of the Board; and (3) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Page 8 of 18

9 Port Police 7. Re: RESOLUTION NO FIRST AMENDMENT TO AGREEMENT NO BETWEEN THE CITY OF LOS ANGELES HARBOR DEPARTMENT AND SCIENCE APPLICATIONS INTERNATIONAL CORPORATION SUMMARY: In December 2009, the City of Los Angeles Harbor Department (Harbor Department) entered into an Agreement with Science Applications International Corporation (SAIC), San Diego, California, to assist with software and hardware maintenance and repair for Closed Circuit Television (CCTV), access control and networking systems for specific projects/locations within the Port of Los Angeles (Port). The Agreement was for a one-year term with two oneyear renewal options, the first one-year renewal option was exercised in November The proposed First Amendment will add tasks to the scope of work to allow security integration of the Los Angeles Port Police Headquarters (PPHQ), and any other as-needed sites in the Port. It is cost effective and efficient to use this existing resource as SAIC is intimately familiar with the Harbor Department s existing security system having worked on the access control system for the Harbor Administration Building. Additionally, under the current Agreement, SAIC provides repair and maintenance services for existing systems. The current Agreement is fully funded for this fiscal year (FY), resulting in no additional funds being required for the additional tasks. The new tasks are 100% reimbursable under the FY 2008 California State Prop 1B Port Security Grant Program. Recommendation: Board resolve to (1) approve the First Amendment to Agreement No between the City of Los Angeles and Science Applications International Corporation, adding Tasks 10 and 11 to Exhibit A; (2) authorize the Executive Director to execute and the Board Secretary to attest to the First Amendment to Agreement No for and on behalf of the Board; and (3) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO A APPROVED AND ITS EXECUTION AUTHORIZED Page 9 of 18

10 Real Estate 8. Re: RESOLUTION NO PROPOSED FIFTH AMENDMENT TO PERMIT NO. 827 WITH APM TERMINALS PACIFIC, LTD. - TRANSFERRED MERCHANDISE - WHARFAGE SUMMARY: On June 16, 2011, the Board of Harbor Commissioners (Board) approved temporary and permanent Orders to amend Port of Los Angeles (POLA) Tariff No. 4 (Tariff), Items 520 and , exempting the assessment of wharfage charges on qualifying Transferred Merchandise for the one-year period of July 1, 2011 through June 30, 2012 (Board Order Nos and , respectively). However, compensation terms of Permit No. 827 do not allow APM Terminals Pacific, Ltd. (APMT) to participate in such an exemption unless the permit is amended. The proposed change contains language that allows the Transferred Merchandise wharfage exemptions to apply to Permit No. 827 under any future Tariff amendments for such exemptions upon written notice from the Executive Director at his or her sole discretion. Recommendation: Board resolve to (1) approve the Fifth Amendment to Permit No. 827 with APM Terminals Pacific Ltd., implementing the provisions of Tariff No. 4, Items 520 and , as amended and approved by the Board on June 16, 2011 and City Council on August 17, 2011; (2) direct the Board Secretary to transmit the amendment to City Council for approval, pursuant to Section 606 of the City Charter; (3) authorize the Executive Director to execute and the Board Secretary to attest to the Fifth Amendment upon approval by City Council; and (4) adopt Resolution No RECOMMENDATION APPROVED AND RESOLUTION NO ADOPTED Page 10 of 18

11 9. Re: RESOLUTION NO PROPOSED SIXTH AMENDMENT TO PERMIT NO. 733 WITH EAGLE MARINE SERVICES, LTD. - TRANSFERRED MERCHANDISE - WHARFAGE SUMMARY: On June 16, 2011, the Board of Harbor Commissioners (Board) approved temporary and permanent Orders to amend Port of Los Angeles (POLA) Tariff No. 4 (Tariff), Items 520 and , exempting the assessment of wharfage charges on qualifying Transferred Merchandise for the one-year period of July 1, 2011 through June 30, 2012 (Board Order Nos and , respectively). However, compensation terms of Permit No. 733 does not allow Eagle Marine Services, Ltd. (Eagle Marine) to participate in such an exemption unless the permit is amended. The proposed change contains language that allows the Transferred Merchandise wharfage exemptions to apply to Permit No. 733 under any future Tariff amendments for such exemptions upon written notice from the Executive Director at his or her sole discretion. Recommendation: Board resolve to (1) approve the Sixth Amendment to Permit No. 733 with Eagle Marine Services, Ltd., implementing the provisions of Tariff No. 4, Items 520 and , as amended and approved by the Board on June 16, 2011 and City Council on August 17, 2011; (2) direct the Board Secretary to transmit the amendment to City Council for approval, pursuant to Section 606 of the City Charter; (3) authorize the Executive Director to execute and the Board Secretary to attest to the Sixth Amendment upon approval by City Council; and (4) adopt Resolution No RECOMMENDATION APPROVED AND RESOLUTION NO ADOPTED Page 11 of 18

12 REGULAR ITEMS (10-13) Engineering 10. Re: RESOLUTION NO BASELINE BUDGET FOR THE 120 W "C" STREET PORT POLICE KENNEL SUMMARY: Staff requests baseline budget approval for a new kennel for the care and housing of Los Angeles Port Police (Port Police) dogs used for explosive and drug detection. The Port Police Canine Unit is a vital component that enhances the City of Los Angeles Harbor Department s (Harbor Department) capability to prevent or detect an event or action that would threaten the security of the Port of Los Angeles (Port) or the flow of cargo. Costs are eligible for reimbursement under Transportation Security Administration (TSA) Port Security Grant Program (PSGP) Round 8 grant and State of California Proposition 1B grant. The estimated cost of a proposed kennel is $860,000 and is scheduled for completion in May Staff is providing a general program overview and is recommending that the Board of Harbor Commissioners (Board) approve the baseline budget for a new kennel. This approval relates only to budget allocation and does not constitute project approval or authorization for commencement of any construction activity on any specific project proposal. Construction cannot commence until all California Environmental Quality Act (CEQA) requirements are completed. Recommendation: Board resolve to (1) approve the 120 W "C" Street Port Police Kennel baseline budget; and (2) adopt Resolution No RECOMMENDATION APPROVED AND RESOLUTION NO ADOPTED Motion by Vice President David Arian, seconded by Commissioner Douglas P. Krause and carried with the following vote: Director of Engineering Tony Gioiello provided a power point presentation on Item No. 10. Page 12 of 18

13 Environmental Management 11. Re: RESOLUTION NO CHINA SHIPPING PORT COMMUNITY AESTHETIC MITIGATION PROJECT - MEMORANDUM OF UNDERSTANDING WITH THE DEPARTMENT OF RECREATION AND PARKS FOR THE RENOVATION OF THE GAFFEY STREET POOL (HISTORICALLY KNOWN AS THE "HEY ROOKIE" SWIMMING POOL) SUMMARY: In December 2009, the Board of Harbor Commissioners (Board) approved and allocated China Shipping Community Aesthetic Mitigation funding for the complete restoration of the Gaffey Street Pool, historically known as the "Hey Rookie" Swimming Pool (Project). Funding for this Project was requested by the Fort MacArthur Museum Association (FMMA) because it is located on the northeastern slope of the Fort MacArthur (Fort) Upper Reservation historic district. The property is owned by the Department of Recreation and Parks (RAP), so the oversight and management of the Project will be conducted by RAP. RAP will be responsible for the ongoing maintenance, staffing, and management of the pool once it is built. Staff recommends that the Board approve the Memorandum of Understanding (MOU) between the City of Los Angeles Harbor Department (Harbor Department) and RAP to facilitate the funding for this Project in a not-toexceed amount of $6,966,012 for a term of five years. Recommendation: Board resolve to (1) approve the five-year Memorandum of Understanding with the Department of Recreation and Parks, substantially as to form, in an amount not-to-exceed $6,966,012 for the restoration of the Gaffey Street Pool; (2) authorize the Executive Director to execute and the Board Secretary to attest to said Memorandum of Understanding for and on behalf of the Board; (3) instruct the Board Secretary to transmit the Board Report and Memorandum of Understanding to the Department of Recreation and Parks Board for approval at which time the Department of Recreation and Parks will forward to City Council for approval; and (4) adopt Resolution No RECOMMENDATION APPROVED AND RESOLUTION NO ADOPTED Motion by Vice President David Arian, seconded by Commissioner Douglas P. Krause and carried with the following vote: Environmental Specialist Teresa Pisano provided a power point presentation on Item No. 11. Page 13 of 18

14 12. Re: RESOLUTION NO APPROVAL OF PERSONAL SERVICES AGREEMENT WITH STARCREST CONSULTING GROUP, LLC. FOR PORT-WIDE EMISSIONS INVENTORY SERVICE SUMMARY: The Environmental Management Division (EMD) recommends approval of an agreement with Starcrest Consulting Group, LLC. (Starcrest) located in Albuquerque, New Mexico, to provide emission inventory services for the preparation of annual port-wide emissions inventories (Agreement). This Agreement supports the City of Los Angeles Harbor Department (Harbor Department) in preparing the annual port-wide emissions inventory which is used as a metric to track achievement of the San Pedro Bay Standards, to evaluate the effectiveness of emission reduction measures identified in the San Pedro Bay Ports Clean Air Action Plan (CAAP) and to identify opportunities for new and enhanced measures. This Agreement is for a term of three years and for a total contract amount of $1,095,000. Recommendation: Board resolve to (1) find that in accordance with the City Charter Section 1022, work under the subject Agreement can be performed more feasibly by independent consultants rather than by City employees; (2) approve the Agreement with Starcrest Consulting Group, LLC for a term of three years, with a contract total of $1,095,000; (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 RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Director of Environmental Chris Cannon presented on Item No Commissioner Robin M. Kramer arrived at 9:46 a.m Page 14 of 18

15 Information Technology and Port Police 13. Re: RESOLUTION NO GRANT OBLIGATION REQUEST AND AGREEMENT APPROVAL WITH MOTOROLA, INC. TO PURCHASE AND IMPLEMENT A TACTICAL RADIO SYSTEM SUMMARY: The Information Technology (IT) and Port Police Divisions are requesting approval to enter into an agreement with Motorola, Inc. (Motorola) to implement a new Tactical Radio System. The proposed Tactical Radio System will be used by the City of Los Angeles Harbor Department (Harbor Department) Port Police Division (Port Police) sworn staff for law enforcement public safety tactical radio communications. It will replace a fifteen-year old Port Police radio system that no longer meets the Port Police s needs, and is not in compliance with the Association of Public-Safety Communications Officials International, Inc. (APCO) P25 standards required by the State of California and the U.S. Department of Homeland Security. The proposed agreement is for three years at an amount not-to-exceed $4,870,000. This entire amount qualifies for reimbursement from federal and state grants. However, the Harbor Department anticipates being reimbursed for only $3,600,000 based on the amount of work it expects to complete before the grants expire. The estimated total cost of the Tactical Radio System project is $5,562,212, which includes the proposed agreement, other external costs and internal labor costs. Motorola was selected through a Request for Proposal (RFP) process conducted by the Harbor Department. Motorola is based in Schaumburg, Illinois, with local offices in Los Angeles, California. Motorola will share a minimum of 2.5% of the agreement amount, or $121,750, with Small Business Enterprise (SBE) vendors. Recommendation: Board resolve to (1) find that in accordance with the Los Angeles City Charter Section 1022, the work can be performed more feasibly by independent contractors than by City employees; (2) approve in substantial form the agreement with Motorola, Inc. to develop the Tactical Radio System for a term of three years at an amount not-to-exceed $4,870,000; (3) authorize the Executive Director or designee to execute and the Board Secretary to attest to said agreement; and (4) adopt Resolution No RECOMMENDATION APPROVED; RESOLUTION NO ADOPTED; AND AGREEMENT NO APPROVED AND ITS EXECUTION AUTHORIZED Page 15 of 18

16 13. (Continued) MINUTES OF THE REGULAR MEETING OF THE Ayes: Noes: President Cindy Miscikowski, Vice President David Arian, Commissioner Robin M. Kramer, and Commissioner Douglas P. Krause. ( 4 ) None. Director of Information Technology Lance Kaneshiro provided a power point presentation on Item No. 13. G. CLOSED SESSION 10:30 A.M. 11:46 A.M. 1. CONFERENCE WITH LEGAL COUNSEL EXISTING LITIGATION (Subdivision (a) of Government Code Section ) American Trucking Associations, Inc. v. City of Los Angeles, et al., United States District Court Case No CAS, and United States Court of Appeals for the Ninth Circuit Case No CONFERENCE WITH LEGAL COUNSEL ANTICIPATED LITIGATION (Subdivision (c) of Government Code Section ) Consideration whether to initiate litigation against the United States of America through the Navy for failure to pay compensation due under Permit No CONFERENCE WITH LEGAL COUNSEL ANTICIPATED LITIGATION (Subdivision (b) of Government Code Section ) Significant exposure to litigation pursuant to subdivision (b) of Section regarding subject matter of EPA order on ACTA property. Page 16 of 18

17 G. CLOSED SESSION (Continued) 4. LIABILITY CLAIMS (Subdivision (a) of Government Code Section ) Claimant: Crimson Pipeline, L.P. Agency Claimed Against: City of Los Angeles Claim No.: CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Government Code Section ) Provide instructions to its real estate negotiators with respect to Pacific Battleship Group: Property: Berth 87 G. CLOSED SESSION (Continued) City Negotiator: Tenant Negotiator: Negotiating Parties: Under Negotiation: Kathryn McDermott Robert Kent City and Pacific Battleship Group Price and Terms REPORT OF THE GENERAL COUNSEL General Counsel Thomas Russell reported that during the Closed Session, the Board considered items on the Closed Session agenda but took no reportable action. Page 17 of 18

18 THERE BEING NO FURTHER BUSINESS, AT APPROXIMATELY 12:00 P.M., PRESIDENT CINDY MISCIKOWSKI ADJOURNED THE THURSDAY, OCTOBER 20, 2011, REGULAR MEETING OF THE LOS ANGELES BOARD OF HARBOR COMMISSIONERS. President Secretary Approved by the Board of Harbor Commissioners at its Meeting held March 1, Page 18 of 18