20120605 Late CorrespondenceTO:
FROM:
DATE:
SUBJECT:
HONORABLE MAYOR &CITY COUNCIL MEMBERS
CITY CLERK
JUNE 5,2012
ADDITIONS/REVISIONS AND AMENDMENTS TO
AGENDA**
Attached are revisions/additions and/or amendments to the agenda material presented
for tonight's meeting:
Item No.
o
6
Description of Material
Supplemental Late Correspondence from Senior Administrative
Analyst Fox
Emails from:Councilwoman Brooks;Tina Harris;Lynn Swank;Mike
Kemmerer;Lynn Scollo
Respectfully submitted,
&&Cj;;~
Carla Morreale
**PLEASE NOTE:Materials attached after the color page(s)were submitted
through Monday,June 4,2012**.
W:\AGENDA\2012 Additions Revisions to agendaS.20120605 additions revisions to agenda.doc
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
CITY MANAGER'S OFFICE
HONORABLE MAYOR AND CITY COUNCIL MEMBERS
KIT FOX,AICP,SENIOR ADMINISTRATIVE ANALYST
JUNE 5,2012
LATE CORRESPONDENCE REGARDING THE RANCHO LPG
BUTANE STORAGE FACILITY (BORDER ISSUES STATUS
REPORT -AGENDA ITEM 'D')
D •
Rancho LPG Butane Storage Facility,Los Angeles (San Pedro)
Late last week,Staff received the attached e-mails from Janet Gunter regarding the
upcoming Board of Harbor Commissioners (BHC)meeting as it relates to a rail permit for
the Rancho LPG butane storage facility in San Pedro.The rail permit in question covers a
very short segment of the existing rail spur line adjacent to the Rancho LPG facility where it
crosses Westmont Drive.A request for the BHC to revoke this permit is on the agenda for
the BHC meeting this Thursday.The BHC agenda and Staff report were published on the
Port of Los Angeles'website yesterday.
Last fall,the City of Los Angeles'Port Community Advisory Committee (PCAC)adopted a
resolution recommending that the BHC revoke the permit for the rail spur line serving the
Rancho LPG facility;perform risk assessments of the Rancho LPG facility and all
hazardous commodities transported through the Port of Los Angeles;and establish a
working group to examine the risks associated with the Rancho LPG facility.As described
in the attached Staff report,Port Staff recommends denying the PCAC recommendation,
generally on the grounds that:
•Revoking the permit for the rail line would not prevent its continued use by Rancho
LPG,but would deprive the Port of insurance coverage,indemnification and lease
revenue related to the rail spur;and,
•The Port does not have jurisdiction over the operations of the Rancho LPG site
because it is located outside of the Port Master Plan Area and the Coastal Zone.
The Staff report does suggest that the BHC has the authority to ask an agency with direct
jurisdiction over the Rancho LPG facility to undertake the studies requested by PCAC.As
noted in tonight's Border Issues Status Report,Los Angeles 15th District City Councilman
Joe Buscaino recently made a proposal to (and received support from)the Public Safety
Committee of the Los Angeles City Council to conduct a special meeting on the risks and
safety of liquid bulk storage facilities in the harbor area (which would include the Rancho
LPG facility).
Page 1 of 34
Page 2
Earlier today,Staff was copied on an e-mail exchange (see attachments)between Janet
Gunter and Port of Los Angeles Executive Director Geraldine Knatz regarding the
acceptance of public comments on this topic at the upcoming BHC meeting.Ms.Knatz has
clarified that PCAC and Rancho LPG will each be allotted ten (10)minutes to address the
BHC,with all other public speakers limited to the customary three (3)minutes each.The
BHC meeting will begin at 8:30 AM on Thursday,June 7,2012,at the Port of Los Angeles
Administration Building,425 S.Palos Verdes St.,San Pedro,CA 90731.
Staffwill provide an update in this matter as a part of the next regular Border Issues Status
Report on August 7,2012.
Attachments
•E-mails from Janet Gunter (received 5/29/12 &5/30/12)
•BHC Staff report for Rancho LPG rail permit revocation request (dated 5/31/12)
•E-mail exchange between Janet Gunter and Geraldine Knatz (dated 6/5/12)
M:\Border Issues\Staff Reports\20120605_CC_LateCorrespondence,doc
Page 2 of 34
Sent:
To:
Cc:
From:
Sent:
To:
Page 1 ofl
Kit Fox
From:Janet Gunter [arriane5@aol.com]
Tuesday,May 29,201210:25 PM
knatz@portla.org
MrEnvirlaw@sbcglobal.net;jody.james@sbcglobal.net;det310@juno.com;connie@rutter.us;
konnica@ca.rr.com;dan.weikel@latimes.com;djgoldstein@cbs.com;pauLh_rosenberg@hotmail.com;
Ipryor@usc.edu;carl.southwell@gmail.com;brian.campbell@rpv.com;brlan.hembacher@doj.ca.gov;
sally.magnani@doj.ca.gov
Subject:REQUEST TO PRESENT 12 MINUTE VIDEO ON RANCHO LPG AT POLA HARBOR COMMISSION
617/12 MEETING
Hello Geraldine-
On behalf of the San Pedro Peninsula Homeowners United,I am sUbmitting a request to playa 12
minute video relating to the Rancho LPG facility.This presentation responds directly to the agenda item
to be heard that day on the Port Community Advisory Committee's Motion to revoke the "month to month
revocable rail permit"being granted to Rancho LPG to service their operations.Please let us know asap
if we may be gr.anted this opportunity.We believe that it is of extreme importance.
Thank you,
Janet Gunter
Page 1 ofl
Kit Fox
Janet Gunter [arriane5@aol.com]
Wednesday,May 30,201211 :26 AM
marciesmiller@sbcglobal.net;deartoni@yahoo.com;roamerbill@yahoo.com;liz@smbaykeeper.org;
fbmjet@aol.com;bonbon@earthlink.net;rueski1 @cox.n~t;Kit Fox;pauLh_rosenberg@hotmail.com
Subject:PCAC Motion before the POLA Harbor Commission on June 7th 8:30 AM
It will be very important to have speakers to testify before the Harbor Commission next Thursday.Please
let me know how many of you may be available to put in 3 minutes.The Motion before the Harbor
Commissioners for approval is the Port Community Advisory Committee's directive to revoke the month to
month renewable rail permit to Rancho until a risk assessment is provided that estimates the level of risk
exposure to the community and establishes that the insurance carried by the Rancho/Plains operators is
enough to cover potential damages from an event at the site.This is very important stuff.Please come
to testify.
Thanks,
Janet
Page 3 of 34
THE PORT
OF LOS ANctELES
Executive Director's
Report to the
Board of Harbor Commissioners
DATE:MAY 31,2012
FROM:PLANNING &ECONOMIC DEVELOPMENT
SUBJECT:RESOLUTION NO.•STAFF RESPONSE TO THE PORT OF
LOS ANGELES COMMUNITY ADVISORY COMMITTEE
RECOMMENDATION NO.110 REGARDING RANCHO LPG
HOLDINGS,LLC FACILITY
SUMMARY:
Port of Los Angeles Community Advisory Committee (PCAC)Recommendation No.110
requests that the City of Los Angeles Harbor Department (Harbor Department)revoke
Revocable Permit No.10-05 (the rail line permit that connects the North Gaffey Street
terminal to the interstate railroad system);perform a risk assessment of the Rancho
LPG Holdings,LLC (Rancho)facility and all hazardous commodities transported
through the Port of Los Angeles (Port)and nearby communities via pipelines,railroad
tank cars,and tank trucks;and that the Board of Harbor Commissioners (Board)
establish a working group to assist in examining the risks associated with the Rancho
facility.Staff recommends denying PCAC Recommendation No.110.
RECOMMENDATION:
It is recommended that the Board of Harbor Commissioners:
1.Consider and deny the Port of Los Angeles Community Advisory Committee
Recommendation No.110 for the reasons stated in this board letter;and
2.Adopt the foregoing as Resolution No..
DISCUSSION:
Background -Rancho Facility:In 1973,Petrolane developed a liquefied petroleum gas
(LPG)storage facility on private land on North Gaffey Street in San Pedro (Transmittal
1).The facility was assessed in an Environmental Impact Report (EIR)certified in 1973
by the City of Los Angeles as the lead agency.The facility has been used to store
butane and propane and includes two 12.5 million gallon refrigerated tanks.
Additionally,the facility includes five 60,000 gallon horizontal storage tanks.The Harbor
Department does not own or have operational control over the LPG storage facility.
While located on privately owned property,the storage facility is subjected to regulation
by several local,state and federal regulatory and enforcement agencies,inclUding,but
not limited to the U.S.Department of Homeland Security,U.S.Department of
Page 4 of 34
DATE:MAY 31,2012 PAGE 2 OF 6
SUBJECT:STAFF RESPONSE TO PCAC RECOMMENDATION NO.110
Transportation,U.S.Environmental Protection Agency,U.S.Department of
Occupational Health and Safety,California Environmental Protection Agency,California
Emergency Management Agency,California Department of Toxic Substances Control,
Los Angeles City and County Fire Departments,City of Los Angeles Bureau of
Sanitation Industrial Waste Management Division and City of Los Angeles Department
of City Planning.
Pipeline Permit and Berthing Rights:The storage facility was connected to the Port by
means of a 16-inch pipeline to Berth 120 in the West Basin where vessels were loaded
with butane for export.In March 2004,the Board concurred with PCAC motion No.17,
which recommended that the transfer of LPG products at Berth 120 cease,and that the
pipeline permit not be renewed.In July 2004,the berthing rights for AmeriGas,which
acquired Petrolane,were terminated,and in October 2010,the pipeline permit was
terminated.
Rail Spur Permit:In addition to the pipeline permit and berthing rights,the Harbor
Department also approved a permit for a railroad spur track to serve the storage facility.
In 1974,the Harbor Department entered into Revocable Permit (RP)No.1212 with
Petrolane (the first occupant of the current Rancho facility)for construction,operation,
and maintenance of an industrial railroad spur track.The spur track was necessary to
connect the Petrolane facility to the existing spur track that ran along Gaffey Street.
This spur track that ran along Gaffey Street pre-existed the development of the
Petrolane facility and served other customers in the area.Records indicate that in order
to allow Petrolane access to the rail system a spur track had to be constructed over land
the Harbor Department had previously purchased from the Watson Land Company in
1970.At that time the remainder of that spur track that ran along Gaffey Street was
owned by Southern Pacific Railroad (SPR).
In 1994,through the purchase with the Port of Long Beach acting by and through its
Board of Harbor Commissioners,of rail track in connection with the Alameda Corridor
project,the Harbor Department gained an ownership interest in the railroad spur track
that was once owned by SPR and runs parallel to Gaffey Street up to the point covered
by RP No.1212.Therefore,after the Alameda Corridor transaction,the Harbor
Department had interest in the entirety of the railroad spur track that parallels Gaffey
Street which serves the Rancho facility.Rancho continues to utilize the railroad spur
track to move tank cars to and from the facility.Rail service is proVided by Pacific
Harbor Line (PHL),the operating railroad that provides rail switching services to
customers within and adjacent to the Ports of Los Angeles and Long Beach.
In 2011,the Harbor Department entered into RP No.10-05 with Rancho LPG Holdings,
LLC (Rancho)(Transmittal 2).RP No.10-05 is a successor RP to RP No.1212.The
Harbor Department is authorized to terminate RP No.10-05 upon thirty (30)days'notice
pursuant to paragraph 3 of the RP,which states:
Page 5 of 34
DATE:MAY 31,2012 PAGE30F6
SUBJECT:STAFF RESPONSE TO PCAC RECOMMENDATION NO.110
'The Revocable Permit shall be month-to-month,commencing upon the date of
execution by Executive Director and shall thereafter be revocable at any time by
Tenant or by Executive Director,upon giving of at least thirty (30)days'written
notice to the other party stating the date upon which this Permit shall terminate.
The right of the Executive Director to revoke this Permit is and shall remain
unconditional.Neither City,nor any board,officer or employee thereof,shall be
liable in any matter to Tenant because of such revocation."(RP No.10-05)
PCAC Recommendation No.110 -PCAC Recommendation No.110 (Transmittal 3)
requests the Board direct staff to (1)revoke Revocable Permit (RP)No.10-05,(2)
perform a '''Risk Management Plan"of the Rancho facility,including the transport of
product to and from the facility by pipeline,rail tank car and truck,and perform a risk
analysis of products transported to and through the Port and nearby communities by
pipeline,rail tank car and truck,and (3)that the Board establish a working group to
examine the risks of the Rancho facility.
(1)As stated above,the Harbor Department does have the right to revoke Permit
No.10-05 in accordance with the terms of the contract.Termination would not
have the effect of terminating rail service to the Rancho facility,however,
because rail service to the Rancho facility would continue under a permit
between the Harbor Department and Pacific Harbor Line (PHL)(Permit No.
1989).RP No.10-05 is the rail spur permit that connects the Rancho facility to
the interstate railroad system served by PHL as a common carrier.Permit No.
1989,approved by the Board in 1997,grants PHL operational and maintenance
responsibilities of the rail facilities in the Port,including the switching of railcars in
and around the Port.This Permit gives PHL,the ability to operate as a federally
recognized common carrier on the spur track along Gaffey Street that serves the
Rancho facility.This includes the section of track that is also the subject of RP
No.10-05.Therefore,RP No.10-05 between the Harbor Department and
Rancho is not required for PHL to serve the facility and termination of the permit
would not result in any discontinuation of rail service to the Rancho facility.
Moreover,termination of RP No.10-05 would result in the loss of (1)$1 million in
comprehensive general liability and property damage insurance provided by
Rancho,(2)indemnification of the Harbor Department from any claims resulting
from Rancho's operations on the RP No.10-05 premises,and (3)the loss of
$14,244 in compensation per year generated from the RP.Further,should the
Board seek to eliminate the spur track from Permit No.1989 with PHL,approval
would be required from the Surface Transportation Board (STB).If this were to
be initiated,it is anticipated that Rancho would vigorously contest the proposed
action.STB discontinuance/abandonment proceedings largely involve questions
of a line's economic viability.Based on staff's current understanding,there is still
economic viability in the use of the line to serve the Rancho facility.Accordingly
it is unlikely that the STB would allow discontinuance or abandonment of the line.
Page 6 of 34
DATE:MAY 31,2012 PAGE40F6
SUBJECT:STAFF RESPONSE TO PCAC RECOMMENDATION NO.110
Therefore,staff recommends that this element of PCAC Recommendation No.
110 be denied.
(2)PCAC Recommendation No.110 also requests the Harbor Department to
develop a "Risk Management Plan"for the Rancho facility assessing the
transport of product to and from the facility by pipeline,rail tank car,and tank
trucks.The motion also requested a risk analysis of the transport of products to
and through the Port and nearby communities via pipelines,rail tank cars,and
tank trucks.In November 1983,the California Coastal Commission certified Port
Master Plan Amendment No.3,relating to the establishment of a Risk
Management Plan (RMP)for the Port.The purpose of the RMP is to manage
and direct proposed developments in the Port to protect against and minimize the
risks of significant adverse impacts due to potential hazards associated with
liquid bulk terminals in the Port.The policies of the Harbor Department's RMP
require those Port terminals handling hazardous liquid bulk cargoes be identified,
those locations in and adjacent to the Port that contain high density working,
visitor or residential populations be identified,and those areas that could be
placed at risk should an incident occur at a Port liquid bulk terminal be identified.
Once these are identified,the goal of the RMP is to minimize or eliminate those
areas where a high density population is within an area placed at risk from an
incident at a liquid bulk facility in the Port.
Since the RMP is an amendment to the Port Master Plan,which governs those
Port properties within the coastal zone,its application is limited to those same
Port properties within the coastal zone.The current Rancho facility on North
Gaffey Street is neither on Port property nor is it within the coastal zone.
Therefore,as the Rancho facility is outside of the Harbor District and coastal
zone,application of the RMP criteria is beyond the jurisdiction of the Harbor
Department.Additionally,the intent of the Harbor Department's RMP is to
assess the potential risks of the storage and transfer of hazardous commodities
occurring at liquid bulk terminals in the Port.Risk assessments of commodities
either on board a vessel,inside a tank truck or rail tank car or in a pipeline
transiting through the Port is not mandated to be addressed in the Port's RMP.
Therefore,staff recommends denial of this element of PCAC Recommendation
No.110.
(3)The motion further requests that the Board establish a working group to examine
the risks associated with the operation of the Rancho facility and the transport of
products by rail and truck to the facility.The working group should include
representatives of the Los Angeles Fire Department,U.S.Geological Survey,
U.S.Environmental Protection Agency,research communities,local
organizations and PCAC.As stated above,as the Rancho facility is located
outside of the Harbor Department's jurisdiction on privately held property,
Page 7 of 34
DATE:MAY 31,2012 PAGE 50F 6
SUBJECT:STAFF RESPONSE TO PCAC RECOMMENDATION NO.110
establishing and organizing a working group to assess operations at the Rancho
facility would be beyond the Harbor Department's scope of authority.Therefore,
staff recommends denial of this element,as well as the entirety of PCAC
Recommendation No.110.However,Harbor Department staff could request that
another agency establish such a working group.
ENVIRONMENTAL ASSESSMENT:
The proposed action is denial of a PCAC recommendation requesting that the Harbor
Department revoke Permit No.10-05 with Rancho,perform a risk assessment of the
Rancho facility and all hazardous commodities transported through the Port and nearby
communities and that the Board .establish a working group to assist in examining the
risks associated with hazardous commodity transport operations.As an activity
involving rejection and disapproval of a project,the Director of Environmental
Management has determined the proposed action is exempt from the California
Environmental Quality Act (CEQA)in accordance with Article II,Section 20)of the Los
Angeles City CEQA Guidelines.
ECONOMIC BENEFITS:
This Board action will have no employment impact.
FINANCIAL IMPACT:
If Revocable Permit No.10-05 is terminated,the Harbor Department will lose $14,244 in
compensation per year.
Page 8 of 34
DATE:MAY 31,2012 PAGE60F6
SUBJECT:STAFF RESPONSE TO PCAC RECOMMENDATION NO.110
CITY ATTORNEY:
The City Attorney's Office finds that the Harbor Department has contractual authority to
terminate RP No.10-05 pursuant to paragraph 3 of RP No.10-05.Termination of RP
No.10-05 would result in a loss of insurance,indemnification,and rents to the Harbor
Department that are provided under RP No.10-05.Moreover,termination of RP No.
10-05 would not terminate rail service to Rancho as such service would continue to be
provided by PHL pursuant to the San Pedro Bay Harbor Rail Operating Permit (Permit
No.1989).The City Attorney's Office has reviewed and analyzed the relevant legal
authorities and has found that the Harbor Department is not authorized to abandon or
discontinue the railroad spur track that is the subject of RP No.10-05.Abandonment or
discontinuance of the railroad spur track that serves Rancho requires the approval of
the STB,which has exclusive jurisdiction over such matters.
TRANSMITTALS:
1.Rancho Facility Site Map
2.RP No.10-05
3.PCAC Recommendation No.110
FIS APproval:~(initiaIS)
CA Approval:11 ·(initials)
.~~.p~DAVID L.MATHEWSON
Director of Planning .&Economic Development
GER DINE KNATZ,Ph.D.
Exec live Director
Author:J.Ruddell
Page 9 of 34
THRYN McDERMOTT
eputy Executive Director
NATransmittal No.1 ~2:'500
o
a
Rancho Facilit
Harbor Department LI"
1,OOFO t Planning and Economic Development .~ee -Map Produced 05/2012 rm'~£E~El
Page 10 of 34
CITY OF LOS ANGELES HARBOR DEPARTMENT
Port of Los Angeles
REVOCABLE PERMIT
No.1b-05
The Garteral Manager of the Mathor Department (hereinafter called "E:xeclifive Directoi")ofthe City of L6s Angeles
(hereinafterC<llled "Clly")HEH!;,BY 'GRANTS PERMISSJON TO~NCHO LPG HOLDINGS,LLG,a DelaWare limited
partnershfp,607~lh Avenue S.W:,Suite MOO,.Calgary,AI!;)erta,Canadia T2P OA7 (hereina'fter called "Tenant")to occupy
and use certain lands,wi,llers andleT fi,lcillties within'th~Harbor'Qistrict owned or under the qontrol ¢f City acting throUgh its
Board of Harbor Commissioners (hereina·ftercalled"BoBrd"),subject to the foflowing terms and cOJ'lditions:
1.Premises.The premisessulillec.Uo this Agreemlilnt (hereinafter called "premises"),is designated as
Parcel No.1,and is deline,ate:d'lal1d more aC;CufatelYdes~rib!3d on the'preliminary Har,oQr Engineering Qr-awing No.5-4327.
A fif.lal drawing shall besubsti:tuted for Harbor Engineering Drawing N,l).5-4,327 VJnen prepared by lhe ,Chief Harbor
Engineer,Engineering Division,of the Harbor o'epartment.and shall be marked Exhibit "A-1,"A copy of ·said drawing,is
attached hereto as EXhibit"A."Sy mutualagreetnenl ofE:xe.cutive Djrectorand Tenant,land and water not exceeding ten
percent (10%.)of the areagraoted or 20,O.QUsq\Jare feet,whlchev.er is greater,may be permanently added to or deleted
from the premises graoted herell'!without further approval 0'(the S¢)ard :suoleet to the.fO,Hawing 'cond.iUans;(1)so.iong as,,·
SUGh ohange in area is not temporary Within the meaning:of Tariff ftem 103'5.(or itssucressor),the cOJTtpensaUc)O set forth in
:5eotlon 4 shall beincrease'(j or decreased pro rata:toteflectany such additi\1n or daletfon;(2)if the chang,e involves the
:addition or deletion of any improvement,the adjustment '(0 the compensa'Il00Shali also take hilo account this change in the
-sal1J;e manner in Which the compensation was origlrtaUycalcUlaled,;(3')if permanent changes.in area are made ,on more tban
oneo¢caskm,lhe 'cumuiattlie riet 'b!Jange In :area may not exceed tenperceot (to%)ar 20,000 square feet,wlilcltever is
gteater;6.f the originally d~;signated area,ant!(4)the changE!in area shalf not result in the annLia"comp.eJisatlo'n changing
by more th,gf')One Hundred Tho\Jsai:ld Dollars ~$10Q,000).The E:xecu!lve Director is ·authorized toel/ecute ame'ndrneht(S}to
tl:1is P~rmit to ¢ffe<:it tfi.e foregqing ,adj.ustments to an~a and ccimp¢nsaUon witfioutf\irther elction Of the Board.
2,Purpose.The premises shf;lll De .used for the purpose 'Of operation i;lnd mairiteft':lOce of existing lndustrij:ll
rail spur tracks and (lot for .any other purpose without theptio.rwritlen consent of Executive .Director,
3.Effeotive and Termination pates.This Rev;oc<lble Permit shall be mon,lh-to-month,commencJ.ngupon the
date o·f execution by Execl:Jlive [jlrect<:lr and shall thereafter be revocable at any time.by Tenant or by Exec.utive Director,
upon the giVing of at least thirty (30)days'written nolice to the .other party staling the date upon which this Permilshall
terminate.The right of Executive Dlre'ctor'to revoke Ihis Permit is :andshall remain unconditional.Neither City,nor any
board,officer or employeethere'of,shall be liablain any manner to Tenant because of such revocation.
4,Compe'nsaUon,
(a)Amount.EaCh month,inadvance,Tenan't shall pay to Board the sum of One Thousand One
Hundred Eighty-seven Dollars ($1,187.00),as rental for the use of the,premises,Use of the premises for purposes
npt expressly permitted herein.whether l3Pprovec!ift writiTlg by E,xecutive Director or not,may result in additional
charges,ihClIJding char,g.es required l;5y PM of LQs Angeles Ta6ff NO..4,as amended or sJJperseded.Tenant
j:lgrees to pay suc.h additional Char9/ils,Exe,cutive Direefo(rili:lychtl'l"Ige t'heamOll.nt 9f rental required herein upon
giving cat I.east thirty (30)di:lYS:writte/i f10tice to Tenant.
(b)Definquency Charge.Rental p'ayments Which h.ave not been paid within ten (10)days of the
due date ("grace period")shall besUbjeot 10 a service charge of one-thirtieth (1130)of two percent (2%)of the
invoice amount remainin,g unpaid each,day.The serviCe charge shall accrue from the .first day after the original
due date and shall b,e imposed even if all or a portion of any sum on dep.osit as a guarantee against delinquent
rent Is applied to the amount due,For the administrative convenienClilof both City and Tenant,City will not apply
Tenant',s deposit,Which is described below,to unpaid rent until Tenant's occupancy is terminated or a notice to
terminate the occupancy has been provided.The City has the unqualified righi,ul'on thirty (30)days'prior notice
to Tenant,to .chang.e the level of the delinquency service charge prOVided the rate shall not exceed the maximum
permitted by law.
(c)Deposits,Prior tb the isSvance oflhis Permft,Tenant shall deposit with the Harbor Department
the sum of Two Thousand and Five Hundred Dolli:lrs ($2,500.00)as a guarantee to cover delinquent rent and its
other obligations under this Permit If the reni is thereafter changed,Tenant s'hall modify its deposit as necessary
to assure that Tenant at all limes has'on deposit a Slim equal to two months of the current rental payments.lIall
or any part of said deposit is used.to pay any reni due and unpaid or t6 meet other Tenant obligations,inclUding,
but not limiled to.maintenance expenSes,Tenant shall then immediately reimburse said deposit so that at all times
during the life of this Permit .s.aid del'ositshall be maintained.Failure to maintain the full amount of said ,deposit
shall subject this Permit to forfeiture.In the sale discretion of the Executive Director,Tenant may post other foms
of security but only if in a form acceptable to the Cfty Attorney..If for any reason City has not initially required a
deposil from Tenant,City may at any lime and for any reaSOn require a deposit in an amount the Executive
Transmittal NO.2
II
Page 11 of 34
!.U iLL.,tk 6 ....t.a ",£..&Z J.tl,,,,&£X..,J£.&Ml&t¥.KMtMY&J<il&.&JX.AltL@UJ4LJAMUJJL,,QJt4d
Page 2
Revocable Permit No.10-05
Director determines necessary to secure performance of the Permit.Tenant agrees to post such deposit with City
within ten (10)days of written request from City and agrees that its failure to do so constitutes a material breach of
this Permit.No interest is payable by City on deposits if the deposits are subsequently refunded.
(d)No Right of Set-Off.Notwithstanding any other provision of this Permit,Tenant's obligation to
pay all rent payable hereunder shall be absolute and unconditional and shall not be affected by any circumstance,
including,without limitation,any set-off,counterclaim,recoupment,defense or other right which Tenant may have
against City.
(e)Deposits for Disputed Paymenls.Tenant recognizes that disputes may arise over monies due
the City in accordance with this Permit.Tenant and City shall make a good faith effort to resolve any disputes as
expeditiously as possible.Tenant agrees,upon receiving a billing from City which it disputes,to deposit with the
City the disputed amount in the form of cash,certificate of deposit in the City's name or other security acceptable
to City within thirty (30)days of the date of billing.City shall hold the deposit pending the resolution of the dispute.
If th~dispute is resolved in the City's favor,City shall retain the money and all interest eamed on it.If the dispute
is resolved in favor of Tenant,said deposit shall be returned to Tenant with all accumulated interest.Tenant
understands that its failure to provide a deposit acceptable to City within thirty (30)days shall be considered a
material default of this Permit and City shalt be entitled to cancel this Permit upon seven (7)days'written notice.If
Tenant is required under this Revocable Permit to pay City any sums in accordance with City'S tariff,Tenant's
failure to provide a deposit shall require Tenant to make all payments in accordance with Item 265 of the Tariff and
Tenant shall be removed from the Credit List authorized by Item 260 of the Tariff or as amended or superseded.If
the billing for anyone disputed amount exceeds One Hundred Thousand Dollars ($100,000),Tenant shall be
required to deposit One Hundred Thousand Dollars ($100,000)with City;if City prevails in the dispute and the
amount due City exceeds One Hundred Thousand Dollars ($100,000),Tenant shall pay the difference due within
fifteen (15)days with interest at the rate set forth in Section 4(b)from the date of City's initial billing to Tenant.
(I)Records and Accounts.All books,accounts and other records showing the affairs of Tenant
with respect to its business transacted at,upon or over the premises shall be maintained locally.and shall be
subject to examination,audit and transcription by Executive Director or any person designated by her;and In the
event it becomes necessary to make such examination,audit or transcription at any place other than within fifty
(50)miles of the premises,then all costs and expenses necessary,or incident to such examination,audit or
transcription shall be paid by Tenant.These records shall be retained during the term of this Permit so that the
records for the four (4)most recent years are available.After this Permit terminates,Tenant shall maintain the
records for the four (4)most recent years for at least two (2)years.Upon request in writing by Executive Director
or his or her designated representative,Tenant shall furnish a statement of the exac.t location of all records and the
name and telephone number of the custodian of these records.The statement shall be submitted within fifteen
(15)days of the request and shall contain such detail and cover such period of time as may be specified in any
such request.From time to time Executive Director or designee shall audit Tenants'records and accounts.
Information to be provided by Tenant will include,but not be limited to,general ledgers,charts of accounts,
.subledgers inclUding cash receipts journals,cash disbursement journals,and all original receipts and documents
which support the information provided to City.
(g)Promotion of Los Angeles Harbor Facilities.Tenant shall in good faith and with all reasonable
diligence use its best efforts by suitable advertising and other means to promote the use of the premises granted
by this Permit.
(h)Supervision of Business Practices.The nature and manner of conducting any and all business
activities on the premises shall be SUbject to reasonable regulation by Board.In the event such business is not
conducted in a reasonable manner as determined by Board,it may direct that corrective action be taken by Tenant
or its sublessees to remedy such practices and upon failure to comply therewith within thirty (30)days of Tenant
receiving such written notice,Board may declare this Permit terminated.
Pursuant to the provisions of the Los Angeles City Charter and of the tide and submerged land grant,
Tenant and its sublessees shall use the premises in such a manner so that there shall be no discrimination made.
authorized or permitted in the rates,tolls.or charges or in the facilities provided for any use or service in
connection therewith.
Tenant shall also conduct its business and cause the businesses of its sublessees upon the premises (if
any have been expressly authorized by City in writing)to be conducted in a first-class manner.Tenant shall
furnish and maintain a standard of service at least equal to that of the better class of similar businesses prOViding
similar services and facilities in the City of Los Angeles and adjacent communities during the entire term of this
Permit.
Board reserves the right to have access to and inspect the schedule of rates and prices for services and
facilities performed or provided upon the premises.In the event that after Tenant has been advised and given a
Page 12 of 34
Page 3
Revocable Permit No.10-05
reasonable opportunity ttl confer with Board and to JUStify any rate or price challenged by it as unreasonable or
noncompens.atory,and Board has determined such rate or price to be unreasonable or inappropriate.for the
services rendered or the facilities provided,sU.ch rates or prices shall be modified by Tenant as directed by Board.
5.Restoration Bond,Tenant shall provide aeash deposit.certificate of deposit in the name of the City;
surety bond,irrevocable leUer of crE!.dit or other fom Qf seoutJty In the name of the City and acceptable to the Executive
Director and City Atti:lrney In lhearnouJ'lt of ($)payable to the City of
Los Angeles,to guarantee.upo .y rmination,revocation or forfeiture of .'Permit,the restoratiqn of premises and the
remov.al of works,structure .improvements by Tenant as re ..'p this Permit Said deposit,or other form of
security bond,shall be .cceptable.to .and subject to thl'fl:'the City Attorney.No inter payable by
City on.de.posits.if t i are SUbsequently refunded,If E~i;v,.Ir~cttlr become.s aware of fa ..lead him or
her to bel/eye t,.'.lal condition of Tenant has sufr.\~anged such that Tenar:lt ma t Ie to meet its
restoratlon~',Executive Dire~tor may inc '.stQration bond,or depo:sit r ..,'.nt,and where no
restoration bo)Q'or deposit is initially required,execut'may reqUire such a bond 0."p:'.If any property of any
kind is on the premises at the rtilque$'t or with the lsslon of Tenant,its officers;,employees,sUblessees,
Hcensees or invitees,In'cIUdin'g vessets,machinery or equipment,and such propert•..any channel or water area
(hereafter ··sunken property")and Tenant fails to removesuchrsroperty Within ten ('1 O)~ys of a request by City.to do so,
Executive Director may require arestoratlon depositor bond in thearnount of the reasonable cost of remllwal ,as determined
by Harbor Engineer,If Executive Director in his or her sol.e discretion determines sunken property is a safety hazard and so
notifies Tenant,failure to remove the property may result in termination of this permit upon three (3)dayi'notice,
6.Rights-of-Wav,This Permit shall at all times be subject to SUch rights.of.wayoverfhe land embraced
therein for such sewers,pipelines,conduits,llnd for such telephone,telegraph,light,heat or power lines as may from tIme to
time be determined byBoard;and shall also be .subJect to rights-ot-way (or streetsllndother highways and for railroads and
other means oJ transportation IlS shall have been duly established,or IlS'shllllbe reserved herein:and shall·also.be subject
to rights-ot-way as Board requires to;drill an.d eXplore hew or maintain existing oil,gas or mineral wells.This :Permit sh'all at
all times be sUbject to all prior exceptions,reservations.grants,easements.leaseS or licenses of any kind Whatsoever as the
same ·appear of record in the Offlceof the R:eCorder of Los AngelesCounJ.y,California,or in the official records cif City or any
ot its various d.epartments.
7..Premises Satisfactory to Ten.ilnttReguired Modifications.Tenant has inspected the premises and agrees
thatthey are suitable for the uS.e$permitted herein,No officer or empJoyee of City has made any representatior:l orwarranty
with respe¢tto Ihe premises,exqept as described in writing \lITO attached hereto asa'n addendum,and in entering into thi.s
Revoci3ble Permit,Tenant agrees it relies only on Ihe provision'$of the Permit.Any mElditlcation,improvement,or addition
to the premises and any equipment in\S:lallation or remGVl;l1 required by-tl:te Fire Department,Department of Building and
Sa.fety,South Coast Air Quality Maflag(;l(;lTent District,Regional WalerQuality Control Board;Ll.S.Coast (3.uard,
Environmental Protection Agen;cy,or any other agency in connection with Tenant's operations,·shall be constructed,
installed,or removed at Tenanl's sole exp·ense.Tenant sh:all obtllin a Harbor Engineer's General Permit before making any
modifications to the premises.
8.Use ot Premises.Tenant agrees not to use the premises in .any manner,even if th.e use is tor the
purposes enumerated herein,that will cause cancellation at any insurance policy covering any such premises or adjacent
premises prOVided Tenant may in City'S dis:eretion remain .if it pays the increase in City's insurance costs caused by its
operations.No offensive or refuse matler,or any substanceconstitulingany unnecessary,unreasonable or unlawful fire
hazard,or material detrimental to the public health,shall ever be permitted by Tenant to be or remain,and Tenant shall
prevent any such material or matter from being or accumullHing upon sa,id premises.Tenant furlheragrees not to keep on
the premises or permit to be kept,used,or sold thereon,anything prohibited by any policy of fire insurance covering the
premises or any structure erected thereon.
9..Repair and Maintenance.The repair and maintenance obligations of the parties are as follows (if
Tenant's premises do not include wharves.maintenance prOVisions related to wharves shall not apply):
(a)Maintenance Performed by City at City's Expense (Except as Noted).Except as proVided in
subsections 9(c),9(d),9(g)and 9(h).City will maintain at its expense the roots and exteriors of all buildings owned
by City and the structural integrity of whart structures (if any)and buildings owned by City.The "Wharf structure"(if
any)for purposes of this subsection means the beams.girders,SUbsurface support slabs,bulkheads and
prestressed concrete or wood piling,jOists,pile caps and limber decking (except as noted below),and any and·all
mooring dolphins.The wharf structure does not include the paving,the surface condition ot timber decking or the
tendering system.City will maintain and repair at its expense all fire protection sprinkler systems,fire hydrant
systems,standpipe systems,fire alarm systems,and other fire protective or extinguishing systems or appliances
(port<:lble fire extinguishers and hoses excluded)whioh have been or may be installed in buildings or structures
City owns on the premises.City shllll also perform at its expense all electrical substation and switchgear
preventive maintenance.
Page 13 of 34
Page 4
Revocable Permit No,10-05
.(0)M~liileh8hoePerfotmed hMeibUli Tenant's EXpt!nse,SUbject to the prQvisions of subsections
9(c}..9,(0),9(g)ar)d 9(h),City shall maintain ane repair at Tenant's e:xpense,the Wharf fender syslem for wharves
owneq by City.(in accoroance witheity's wharf damage procedures,a copy lilf Which wmpe praviqed to Tenant
UPQnits req UElst),refrigerated receptacle outlets,ba,*f1ow devices .and p.Olaple water systems Clod heating and air
Qondltloning systems,so lon9as CU~forces are avaUC!ble.If,however.Temrnt fails to pay City in ac;cordance wIth
City's wharfdamager;>rocedtlre {which contains depreciation criteria favqrable to Tenant),then (l:ity reserves the
right to .co.'lIeot the Mlual (lOst of repair based onac1ual dePreci,a1io,n fact'(lrs:as established by Cityincour!.
('tI).~inlena;nceP@rformedbv Tenant at Its Expense.Tenant shall be responsible for performing
and,p.aylNg faraB maintenance and r,epaltS not expressly covered oatrove.Tenant shall be responsible at its
expense for inspe¢tlffg :cmdassutrng that all ne~satYpoitable fire'scx1fn!iJuishers are preSeritdfl.theprenilses and
.mi:lirib:l'jhedltialil)perabl~~oMition.NdtWIthstat.ldjl'lg $I~:Elctl()hS(~)~fid (,b)abOVe,ali 'illOdffieat'ionsor repairs to
tlle,~I~~tl'!~I,P.fy'm:bIn:9.Qrmechii1'lic'il1~ir(em~r~\lltlhs'ft(:lm "bailouts"frenant~feq~s~'repairs,requested on
~e~~~:rt~~h hQlj~~~l1.r!ilt~'th5.t1)7;~..*t5 MQn<tW~Pi'!l:lijY Qt,sQ(}1i ,othei'ijm~a$'~iW ~pp~a$[ts tn~lttellance
fot.~e W$~hEl'tjf:&.)ai'ei;ltTel1lil'l~~exp.ense.Teiilanlsnall'.al~l;t be re~o~rtsl~eal1fs 'exp\ih¢e for'hispe\Sting the
prertJl$~~!J<l 'f{'l\;pitig t/ie-PfMli$es.[irlQludms"bUto()t lim'~tP'\ltlesurfate'of 11iTlbe('~~¢ki!i9r ~11 paVing,
ian!'l$€;api)1gf,ir:fiQall.qf'l$~tl;lrrs,fencing"si9i'!:l1!Qe,.a(\d$lriP\~9 (if any}am!:relalT\prng]and ~twoi'ft$;s!ir4ctures ·a'nq
iJ'i'\prQ,\I,ement.stf.\e~~,wf1e~her apartil.f tbe p'temlses Of p',a~c!b¥reoant,.In ·"$lAf~,~~tilni~Aital)'arrd siSh~ly
¢PtldiliWJ;;A;lj roalntetlanc,e Perfprm~by T~nt j;hall~s$l;Jr§i'thept~li'1i$~scite'l'trcllntliilned In ~.fll'$t-Iillas$
QP~ratirtll'oo.nditi.ori <;Ina IflconfclrInan,1':ie wIth all applicabJe feGlilraJ,state;regiOnal.munftllpatarid other laws .and
(e~1J,ali,ons.The app~arance,$arety and Qperatlonalcapability ·.of toe premises sJJall.be maintained to the
satJ'sfE(c..liPn of ,the'Exec,utj'ye Qir~~tor.Tl,~nant shall make aJi effel1s ne~ssary ito irnml;lQiateJ¥discovElr and guard
against any .cfuJ~ts in all surfaces ·of lfmber decking,paying,.puiJdings,structures and improvements,on the
pl1ifmises will1oQ,lrequestfrom City.Tenant shall also oompletely mElinlalnat its expense :i!!J buildings,structures,
impr.ovements,flrnbecdeCkh'lg surfaces and paving it erects.owns.orinl1talls.AU modlficatiqos and repairs which
Tenanl ma~es to,City-owned or Tenant-ownedbuHdings,str\Jctvr1js,improvernElOts.timber decking and paving
require a Harbor Department Engine-ering permit.Sample permits are avaiiable'1.Jpon request from the Harbor
Engineer.Tenant agrees to strictly comply with all the terms and conditions of the Harbor EngIneer'S permit.
Tenan'tshalf maintain in rts offices at the premises at all times th'e Harbor Engineer'S permit allowing the work
performed and proof that the work has been performed in accordance with all terms and conditions of the permit.
Modffications aild rep'llirs shall be made Ina first~c1assmannerusing materials of a kInd and quality comparable to
thl:i Items beirigrep.iaced (jn.klnd t.eplaliementshall be utilized ,fmalerialstill manUfactured).Tenanlis obligated at
ilsexpe'nse to lake bolh such preventive and remedial mainterianceactions a.sare neeessary tOas$l,lre that
premises are al all l.imesst;lfe a:hd suitabie fOru$'e <regardle~$gf Whelhertenant is itsetf actively using all ,of the
premises:.Tenant :sl'Taii provide,nOQeEl to the Direc\or of POrt Construct,ion afld Mcii'litenance and H13tp()(Ei1giM·eer
five 1m work days before anY'pl;lving wprk is performed;prov.ideq.hOweVer"tenant Shall immediately repair any
conditibli Greating.a risk of hartT:'10 any user of the premises.All materials used and quafllyof workmansHip shall
be satisfactory to tM Harbor Engineer.
(q)Tenant's;Responsibility for Damag.e,Notwithstanding the foregoing,if damage to the wharf
,structure or any other building,structure,improvement or surface ai'ea is caused by the acts or fallure to.act of
Tella'flt,itS officers,agents,employees or Us invitees,(fncl\.!ding.but 1'101 limited to,cust<lmers of Tenant and
contrllolQrS retained by Tenant to perform work on the premises --hereaftercollectlvely "invitees'),Tenant .shall be .
.respensibfefor all costs,direc.!or Indlrect,associated With repairing the damage 'and the City shall have the option
of requiring Tenant to m.ake the repairs or itselfmakihg the rep.airs,I'f City makes the repairs,lenantagrees to
reimbur,ge City for the City's cost of repair.All damage shall bepresullied to be the respoiislbilityof Tenant and
Tenant agrees to be responsible fot such damage unless Tenant can demonstrate,to Ihe satlsfa~tienof City that
,someone other than its officefS,agents.employees.orinvitee.s caused 'the damag'e.Tenant agrees to reimburse
City for the cost of repair to City's wharf for any damage to the Wharf resullingfrom a collision between a vessel
and the Wharf While Clocking ot undocking unless Tenantdemonstrcitas that slichdamage Was caused bY the sole
active negligence of City or demonstrates that such damage was causee by an invitee of some other Tenant'to
whieh the premises are also assigned.The sufficien.cy of proof presented by Tenant 10 City shall be determined by
City in its sole judgment.Tenant's obligations as a vessel owner or operator pursuant to Cily's Tar[ff Item 305 (or
its successor)or pursuant te any pilotage contract TenarH rtIi'1Y have with City are not ~Itered by the provisions of
Ihrsspbsection.
(e)City's Option to Perform Work at Tenanl's Expense,If Tenant falls to repair,maintain and keep
the premises and improvements as above required,Executive Director may give thirty (30)days'written notice to
Tenanllocorrect such default,except that no notice shall be required Where',in the,opinion of Executive Dfrector,
the 'failure creates a hazard '10 persons or property.If Tenant fails to cure suCh default within the time spe'cifie(l in
such notice.or if Executive Director d.eterminesthat a hazard to persons,or property exists due to such failure,
Eke.cutiVe Director malY,but is Mt required to,enter upon the premises and cause such repair or maintenance to
be made,and the costs thereof,incl\Jding labor,materials;equipment and overhead .cost,to be charged against
Tenarit.Such charges shall be due and payable with the next rent payment During all such limes,the duty shall
be on Tenant to assure the premises C)re safe and Tenant shall erect barrIcades and warning signs to assure
Page 14 of 34
LIM MIUlUW.t ..i .....l@'.'U !n II 1.\\l1\:d .\•..1 M#4M!lmSJAU&J .JtAM
Page 5
Revocable Pennit No.10-05
workers and the public are protected from any unsafe condition.None of City's remedies described above shall
preclude City from terminating this Pennit if City is not satisfied with Tenant's compliance with the maintenance
provisions of this Permit.
(I)Inspection of Premises and Tenant Repairs.Tenant shall be responsible for inspecting the
premises (inclUding all surfaces of limber decking,paving,structures,buildings and improvements)and at all times
maintaining the premises in a safe condition.Executive Director and/or his or her representatives shall have the
right to enter upon the premises and improvements constructed by Tenant at all reasonable times for the purpose
of detenninlng compliance with the tenns and conditions of this Permit or for any other purpose incidental to the
rights of City.This right of inspection imposes no obligation upon City to make inspections nor liability for failure to
make such inspections.By reserving the right of inspection,City assumes no responsibility or liability for loss or
damages to the property otTenant or property under the control otTenant,whether caused by fire,water or other
causes.City assumes no responsibility for any shortages of cargo handled by Tenant.If City requests drawings
and/or specifications showing the location and nature of repairs to be made or previously made by Tenant
(incllllding by its invitees),Tenant agrees to provide to City the material requested in writing within ten (10)days of
request by City.
(g)City's Access to Maintain and Repair Premises.If City deems it necessary to maintain or repair
the premises,Tenant shall cooperate fully with City to assure that the work can be performed timely and during
City's nonnal working hours.If City is required to perform any work outside its normal working hours,even work
which would otherwise be at City's expense,the entire cost of such work shall be at Tenant's expense.
(h)Maintenance/Repair Obligations'Dependent on Indemnityllnsurance Provisions.City's
agreement to perform certain repairs and to pay for certain repairs is expr~ssly conditioned on the indemnity and
Insurance provisions of this Permit remaining in force and effect.If Tenant fails to comply with the indemnity and
insurance provisions or if these provisions are ever deemed not applicable,then Tenant shall be obligated to
perform and pay for all maintenance and repairs to the premises without exception at its own expense.Tenant
shall perform such maintenance and repairs only after it has secured the Harbor Engineer's General Permit.Such
work shall be deemed completed only when all terms of the permit have been satisfied.If City inspects any work
performed by Tenant and finds it unsatisfactory,Tenant shall be obligated to correct the work to City's satisfaction
at Tenant's expense.
(i)Definition of City's Actual Costs.Whenever this Section requires Tenant to reimburse City for
the City's cost of maintenance.the City's cost of maintenance is agreed to inclUde all direct and indirect costs
which City incurs whether with its own forces or with any independent contractor.These costs include salary and
all other costs City incurs from its employees ("salary burden"),all material and equipment costs and general
overhead costs.
(j)Exhibit Listing More Common Maintenance Items.Attached as Exhibit "B"is a detailed
description of items which is intended to describe the more common maintenance work which may be necessary at
the premises.Not all ilems listed will be present at all premises within the Port.Costs and responsibilities shall be
apportioned as set forth in this Exhibit except as may otherwise be required by the provisions above.
10.Defaults.Upon the neglect,failure or refusal of Tenant to comply with any of the terms or conditions of
this Permit within the time stated in the written demand of Executive Director,the Executive Director may declare this Permit
forfeited,and may forthwith enter upon said premises,using all reasonable force so to do,and exclude Tenant from further
use of said premises and all improvements thereon.Upon such forfeiture,Tenant shall immediately surrender all rights in
and to the premises and all improvements.Upon any such forfeiture,any and all buildings,structures and improvements of
any character whatsoever,erected,installed or made by Tenant under,through,or because of,or pursuant to the terms of
this Permit,or any prior permit,shall immediately ipso facto either become the property of City free and clear of any claim of
any kind or nature of Tenant or its successors in interest without compensation to Tenant or become removable by
Executive Director at the sole expense of Tenant.at the option of Executive Director.In the event this Permit is forfeited as
set forth above,Executive Director may enforce all of City's rights and remedies under this Permit.In addition to any other
remedy available to City,City shall be-entitled to recover from Tenant rent as it becomes due pursuant to the terms of this
Permit and,in addition thereto,the damage that City may recover includes the worth at the time of the award of the amount
by which the unpaid rent for the balance of the term of this Permit exceeds the amount of such rental loss for the same
period that Tenant proves could have been reasonably avoided.Any default in Tenant's obligations to make payments to
City under the terms of any berth assignment,lease.permit or other agreement,when such default involves the sum of Five
Hundred Dollars ($500.00)or more,shall constitute a material default on the part of Tenant with respect to this Pennit.At
any time Tenant has defaulted on payments due under other agreements with City,City may give Tenant a default notice
and this Permit may be forfeited if the default in rental payments of such other agreements,including,but not limited to,
berth assignments,leases and permits,is not cured within the time stated in said notice.
11.Effect of Nonuse.Tenant shall commence using the premises for the purposes permitted herein within
thirty (30)days from the effective date hereof.If Tenant shall fail thereafter to use the premises or any substantial portion
Page 15 of 34
Page 6
Revocable Permit No.10-05
thereof for a period of thirty (30)consecutive days,this Permit shall cease and terminate and be forfeited unless Tenant,
prior to the expiration of any such period of thirty (30)consecutive days,notifies Executive Director in writing that such
nonuse is temporary and obtains the written consent of Executive Director to such nonuse.
12.Restoration and Hazardous Materials Management.Upon the termination of this Permit other than by
forfeiture,Tenant shall quit and surrender possession of the premises to City and shall,without cost to City,remove any and
all works,structures and other improvements located thereon,except works,structures or other improvements owned by
City,and restore the premises to the same or as good condition,ordinary wear and tear excepted,as the same were in at
the time of the first occupancy thereof by Tenant or its assignors,if any,under this or any prior permit or lease.·Ordinary
wear and tear"does not permit Tenant to damage paving or to contaminate the premises with any material handled at the
premises.Executive Director may,at his or her option,accept all or a portion of the works,structures,or other
improvements on behalf of City In lieu of all or a portion of the removal or restoration required herein.Tenant shall leave the
premises free from contamination of hazardous substance or hazardous waste including hazardous liquid bulk prodUcts and
petroleum products (hereinafter sometimes collectively referred to as "hazardous materials·)as defined below.Tenant shall
leave the surface of the ground in a level,graded condition with no excavations,holes,hollows,hills or humps.
13.Hazardous Materials.Tenant may not handle,use,store,transport,transfer,receive or disp<:lse of,or
allow to remain on the premises (hereinafter collectively referred to as "handle")any substance ·classified as a hazardous
material under any federal,state,local law or ordinance (hereinafter sometimes collectively referred to in.this Permit as
"law")in such quantities as would require the reporting of such activity to any person or agency having jurisdiction thereof
without first receiving written permission of City.If Tenant has handled material on the premises classified by law as
hazardous [Tenant's attention is partiCUlarly called to the Resource Conservation and Recovery Act of 1967 ("RCRA"),42
U.S.C.Sec.6901 et seq.;the Comprehensive Environmental Response,Compensation and Liability Act of 1980
("CERCLA"),as amended by the Superfund Amendments and Reauthorization Act of 1986 ("SARA"),42 U.S.C.Sec.9601,
et seq.;the Clean Water Act,33 U.S.C,Sec.1251 et seq,;the Clean Air Act.42 U.S.C.Sec.7901 et seq.;Callfornia Health
&Safety Code Sec.25300 et seq.and Sec.25100 et seq.;California Water Code Sec.13000 et seq.;Califomia
Administrative Code,Title 22,Division 4,Chapter 30,Article 4;Title 49 CFR 172.101;Tille 40 CFR Part 302 and any
amendments to these provisions or successor provisions)and such material has contaminated or threatens to contaminate
the premises or adjacent premises (including structures,harbor waters,soil or groundwater),Tenant,to the extent obligated
by law and to the extent necessary to satisfy City,shall at its own expense perform soil and groundwater tests to determine
the extent of such contamination,and shall immediately remediate from the premises any such material.If in the
determination of the Executive Director such hazardous material cannot be remediated on site to the satisfaction of City,
Tenant shall remove and properly dispose of all contaminated soil,material or groundwater and replace such soil or material
with clean soil or material suitable to City.
If during Tenant's occupancy hazardous materials are discovered on the premises or such materials
have migrated to or threaten to contaminate adjacent premises (including structures,harbor waters,soil or groundwater),
Tenant shall immediately notify the City,and Tenant,at its sole expense,shall perform such soil and groundwater testing as
required by law and as City deems necessary and take immediate sleps to remediate the premises 10 the satisfaction of
City.
If Tenant disposes of any soil,material or groundwater contaminated with hazardous material,Tenant
shall provide City copies of all records,including a copy of each uniform hazardous waste manifest indicating the quantity
and type of material being disposed of,the method of transportation of the material to the disposal site and the location of
the disposal site.The name of the City of Los Angeles shall not appear on any manifest document as a generator of such
material.
Any tests required of Tenant by this Section shall be performed by a State of California Department of
Health Services certified testing laboratory satisfactory to City.By signing this Permit,Tenant hereby irrevocably directs any
such laboratory to provide City,upon written request from City,copies of all of its reports,test resulls,and data gathered.
As used in this Permit,the term "Tenant"includes agents,employees,contractors,subcontractors,and/or invitees of the
Tenant.
14.Rent During Restoration.Tenant understands and agrees it is responsible for complete restoration of the
premises,including the clean up of any hazardous material contamination on or arising from the premises before the
expiration or earlier termination of this Permit.If,for any reason,such restoration is not completed before such expiration,
then Tenant is obligated to pay City compensation during such restoration as determined by the then fair market value of the
land and the Harbor Department's then established rate of return;however,the new rent shall not be less than provided in
Section 4.Tenant also agrees to provide City a surety bond to assure removal of hazardous material from the premises if
at any time City demands such bond.Tenant's breach of any of the provisions of this Section shall entitle City to forfeit this
Permit.
15.Site Restoration Plan.Upon request of Executive Director,Tenant shall provide City a site
characterization stUdy and site restoration plan in a form acceptable to City and at Tenant's expense as directed by City,
Page 16 of 34
Page 7
Revocable Permit No.10-05
The study and planstlall demonstrate to Clty'ssa.tisfacttQn that the premises have not beencontamina.ted or that,jf
contamination exists,Tenal1t will remove it to the satisfaction of City.
16.Tanks.Within thirty (30)days·from the commencement ofthe term of this Permit,Tenant,at its expense,
shall submit to City aTi inventory of Ellf storage tanks I~fed on the premises indicating.the number of tanks,type
(atmospheric.etc,),contents;.capacity"past historical use,location and the ,date each tank was last tested for stTlJctura'l
ihtegrity and leak~.Tlirl<;lnt shall aleso,at its so,e e*pt;l1lsfi,when required by liilWor When {,leemedliecessary by the.
EXlilcutiV!:l Direq!or or /:lis .ar her dlilstgi'le.e;Jest ClI.1 stQrag/il tatik¢IQc$te~0:1.1 the premises for struotural integrityClnd leaks,
Upon wfittelJ flill'!\,Iest)Te.O.ai'lt:sha.1I m.ak;e?lvaiJa~le:to City thlil re\Sult!i'of 1iJ,1I.s11QIi ~est$.T:e~ing required herei!).shal.1 be :to the
sa.tisfa~ljQ()-qf Clly Clnd in COl'lfpfmmee with ~ppncati!Je (eaeral,·stal.a qr IOCClI Ii!.ws,n.Jtes,regtllations Qf ordinCjnces as ·th~e
provisions presently:e~ist,or a.s lh'ey may 'be aroenc:ied or enacted.If during Tenanl"li!:~ypanQY pf the premises a tank or
the pipeline,s.servicinl;j a l<lnkcontainin:g fl'BzardoU'$materiala{ediscovered to b,e Ie-c;lkmg,Tern;lnl;shaflimmeQiCll.e)y notify
the Glty :and.takeallsJeps ne:~,S;SiHY;to:repalr theta'nk and/or pipelines '<Ind cle<;lO .t:lP ih$'con.t<;lmirnited 'Cln:;!a to the
satisfactIOn !!lfOity ahd iflaccofl;l:an~e.with ,aUappliCa~le taw..
,17.'.U~e,for Tide1?nd PUj:f}0;S'es.,Th.iS'permit is sUbjed!to the limitations,clilndilions,.re~trlcitlon~and
reservCltlons of the Tidelands Act,Stat&.1919;Ch ..fr51,as amende'd andlCllr reenaoted,and the Charter Qf Clt,y relating to
such lands;ittchJdlngpal1iciJlarly Arti'cle VI.Tenant agrees to u.sa the premise,s onlY Itl:s·uch manner as will be consisient
thereWith,
16.Federal Maritirtle,gomn1iss[cl'Q.Tenant :shall net I.ls:e tM premises or furnish any facilities or services
thereonfo.ror inccmnec't)6nwith l;l¢Qmqi~n Garrier !l>y wat\!l(~s thalterm is dentled in the Shippirtg Adt cif 1916artd 1984,as
~m~rtoE!¢,unless ari!iJ .\Jnl1lthis.Permll has b~eri submitte~HQthe Federal MariUme'CoromlSI/Jon apd h'ii!S beGome effective or
d.eter-milled nQt(Qbes.libj~Gt tq saiJ;!Acts.,
19..Improvements.Ten~mt shall not Co.nlltru.cl p,n or :aH~r tl]e premi8~&,inclueing a change:in the grade,
witho.ul first s.,lJbmilting to Harbor Engineer a ;co.mpl.e.te s.et oJ drawing$,plans and sPe'Qlficati!i'ns onhe:prqpos.edconstructiqn
or a.lteration ,and obtaining his appr6\':<1J in a written Harbor Engineer's General Permit.Harbor EI1Q1ineer shall have the right
to re:je.ctarord:er changes in said :drawings,p.lliJ,nS and spe:clfiC<;lHal1s.Tenant,at its own expense,,shall obtain all permits
riecessary for sUChconstructiqn.Allco~tructiQn by Tenant ptJrsuant to this Permit shall beat Tenant's 8eleexpense.
Tenant shall keep the premises free ,and olear of liens for labor and material·s andshClIl hold City harmless from any
responsibility in respect thereto..
20.Oonstruction.Tenanl shaH give written i'lotice to Harb'Or Engineer,.in advance,of the date il will
commence anyconstrueiion.Immediately upon the completion:of the construction.Tenant shall notify Harbor Engineer of
the daleo(suct1 cornpl.etion and shall,w.ithin thirty (30Y days after such completion,file With Harbbr Engineer,in a .form
acceptable to Harbor Engineer,a set of "CIS bu1ft'plCln$'for Sl;lch COnstruction.
21.Indemnity,As PMiaicOl1SideraliQi'l for CitY;;Sgrantof the premises \0 Tenant,Te.nant a.greeS t!>at all
times relieve,indemnify.,protect and save harmless p:ity arid any and .all of its boardS,officer$;agents and employees from
any and a.1l clairn~and dern:~nds.a:Cti(ms.prpGoeedings,Jos~es,liens,costs and JUQgments,of any kind and nature
whatsoever,inclUQjng !,!xpenses inCuffedii'l.\:!efl')nCling ~9ajnstlegi3Ii:l.ctions,for death of or injury to perSons or dClm:age to
prCllperty inclUding property owneQ by or urlder the care and custo¢y of CitYi and fW civil fines andpana:lne~,tnat mClY arise
from o.r be causeddireclly or indirecHy by:
(a)Any .dangerous,ha~ardous,unsafe or defective condition,of,in or on thE:!premises,of any
na.ture whatsoever,which may exist by re.asonoI any act.omission,neglect.or any use or occupatic>o Cllf the
premises by Tenant,its office'rs,Clgents,employees,subtessees.Ifcenseesor invitees;
(b)Any operation conducted upon or any use Of occupation of the premisE:!s by Tenant,its officers.
agents.employees,s'ublessees,licensees or invite.es under or pursuClnt to the provisions of this Permit or
otherwise;
(c)Any act.omission or negligence Of Tenant.its officers.Clgents,emplbyees,sublessees,
licensees or invitees,re'gardless of whethera./i'yact.omission or negligence of City,.its officers,ag.enls or
employees contributed thereto;
(d)Any faHuJe·of Tenilnt.its officers,l;lgents or employe.es 10 comply with any of the terms or
conditions of this PermitoranY;:lpplicable federal,state,regional,or municipal law,ordinance,rule or regulation;or
(e)The condiUons,operaUons,uses,occupations,acts,omiss·ions or negligence reJerred to in
subdivisions (a), (b),(c)ClOd (d)above,existing or conducted upon or arising from the use or occupation by Tenant
or its invitees of any other premises wiihin the Harbor District.as defined in the Charter of City.
Page 17 of 34
Page 8
Revocable Permit No.10-05
Tenant also agrees to indemnitY City and pay for all damage or loss suffered by City and the Harbor Department,including,
but not limited to,damage to or loss of property,to the extent not insured by City,and loss of City revenue from any source,
caused by or arising out of the conditions,operations,uses,occupations,acts,omissions or negligence referred to in
sUbdivisions (a),(b),(c),(d)and (e)above.The term "persons"as used herein shall include,but not be limited to,officers
and employees of Tenant.Tenant acknowledges that the City has set the compensation payable under this Permit in
consideration of the indemnity and insurance obligations which Tenant assumes by this Permit.
Tenant shall also indemnify,defend and hold City harmless from any and all claims,judgments.
damages,penalties,fines,costs,liabilities or losses (inclUding,without limitation,diminution of value of the premises,
damages for loss or restriction on use of rentable or useable space or of any amenity of the premises,damages arising from
any adverse impact on marketing of space,and sums paid in settlement of claims,attorneys'fees,consultant fees and
expert fees)which arise during·or after the Permit term as a result of contamination of the premises by hazardous materials
for which Tenant is otherwise responsible for under the terms of this Permit.This indemnification of City by Tenant includes,
without limitation,costs incurred 1n connection with any investigation of site conditions or any clean-up,remedial,removal or
restoration work required by any federal,state or local governmental agency because of hazardous material present in the
soil or groundwater on or under the premises.The foregoing indemnity shall survive the expiration or earlier termination of
this Permit.
22.Insurance.Tenant shall procure and maintain at its expense and keep In force at all times during the
term of this Permit broad form comprehensive general liability and property damage insurance including automobile and
contractual liability assumed coverages written by an insurance company authorized to do business in the State of Califomia
rated VII,A-or better in Best's Insurance Guide (or an alternate guide acceptable to City if a Best's Rating is not available)
with Tenant's normal limits of liability but not less than One Million Dollars ($1,000,000)combined single limit for injury,
death or property damage arising out of each accident or occurrence unless Executive Director allows or requires a different
limit of liability.If the submitted policy contains an aggregate limit,this limit must be satisfactory to Executive Director or his
or her designee.Said limits shall be without deduction,provided that Executive Director or his or her designee may permit a
deductible amount in those cases where,in his or her judgment, such a deductible is justified.The insurance provided shall
contain a severability of interest clause assuring that damage to City property or injury to City personnel are covered by the
insurance.In all cases,regardless of any deductible,said insurance shall contain a defense of suits provision which
assures the carrier will defend the City if any suit arises related to Tenant's occupation of the premises or such suit is within
the scope of Tenant's indemnity allegation as set forth in Section 21.If Tenant operates watercraft or incurs other marine
liability exposures or operates vehicles as part of its business in the Port,liability coverage for such watercraft or vehicles
must be provided as above.The submitted policy shall contain endorsements sUbstanlially as follows:
(a)"Notwithstanding any inconsistent statement in the policy to which this endorsement is
attached,or any endorsement or certificate now or hereafter attached hereto,it i~agreed that the City of Los
Angeles.its Board of Harbor Commissioners,their officers,agents and employees,are additional insureds
hereunder,and that coverage is provided for all operations,uses,occupations,acts and activities of the insured
under its revocable permit issued by the City,and under any amendments,modifications,extensions or renewals
thereof regardless of whether such operations,uses,occupations,acts and activities occur on the premises or
elsewhere within the Harbor District,and regardless of whether liability is attributable to the named insured or a
combination of the named insured and the additional insured.It is understood that the additional insured will not
be responsible for the payment of premium under the policy;
(b)"The policy to Which this endorsement is attached shall not be cancelled or reduced in coverage
until after the Executive Director and the City Attorney of City have each been given thirty (30)days'prior written
notice by certified mail addressed to P.O.Box 151,San Pedro,California 90733-0151;
(c)"The coverage provided by the policy to which this endorsement is attached is primary
coverage and any other insurance carried by City is excess of this insurance and shall not contribute with it;
(d)"If one of the named insureds incurs liability to any other of the named insureds.this policy shall
prOVide protection for each named insured against whom claim is or may be made,including claims by other
named insureds,in the same manner as if separate policies had been issued to each named insured.Nothing
contained herein shall operate to increase the company's limit of liability;and
(e)"Notice of occurrences or claims under the policy shall be made to [This information is to be
supplied by the Tenant's insurance carrier when submitting the Endorsement to the Harbor Department.The
information to be supplied is the name,address and phone number of the person representing the carrier to be
notified at lhe time of any accident)"
The Executive Director and City Attorney shall have the discretion to modify the insurance requirements as they deem
appropriate if the circumstances warrant a modification.
Page 18 of 34
Page 9
Revocable Permit No.10-05
23.Fire Legal Liability Insurance.Tenant shall also secure and mCiintain,either by an endorsement thereto
or by a separate policy,fire legal liability insurance covering legal liability of Tenant for damage or destruction to the works,
structures and improvements owned by City.This policy shall be in an amount sufficient to cover the replacement value of
the City structure occupied by Tenant but need not exceed the value of the deductible in the City's fire insurance policy
provided.that upon thirty (30)days'prior written notice to Tenant,said minimum limits of liability shall be subject to
adjustment by Executive Director to conform with the deductible amount of the fire insurance policy maintained by Board.
Currently this deductible is Two Hundred Fifty Thousand Dollars ($250,000).So long as City's insurance policy permits City
to waive any cause of action it and the City's insurance carrier would otherwise have for a fire caused by Tenant,City
agrees to such waiver provided Tenant provides the insurance required by this Section.City should not be named as an
additional insured in Tenant's fire legal policy.
24.Duplicate Insurance Policies.Tenant shall furnish two (2)signed copies of each policy or certificate
required herein for approval by the Risk Manager of City.
25.Modifications to Insurance.Executive Director,based upon advice of independent insurance consultants
of City,may increase or decrease the amounts and types of insurance coverage required herein by this Permit by giving
sixty (60)days'written notice to Tenant.
26.Assignments/Subleases.No assignment,sublease,transfer.gift,hypothecation or grant of control,or
other encumbrance of this Permit,or any interest therein or any right or privilege thereunder,whether voluntary or by
operation of law,shall be valid for any purpose.For purposes of this subsection.the term "by operation of law"includes:
(a)The placement of all or substantially ail of Tenant's assets in the hands of a receiver or trustee;
(b)An assignment by Tenant for the benefit of creditors.
27.Transfer of Stock.If Tenant is a corporation and more than ten percent (10%)of the outstanding shares
of capital stock of Tenant is traded during any calendar year after filing its application for this Permit,Tenant shall notify
Executive Director in writing within ten (10)days after the transfer date;provided,however,that this provision shall have no
application in the event the stock of Tenant is listed on either the American Stock Exchange,the New York Stock Exchange,
or the NYSE Area Options.If more than twenty-five percent (25%)of the Tenant's stock is transferred,regardless of
whether Tenant is a pUblicly or privately held entity,such transfer shall be deemed an assignment within the meaning of the
preceding paragraph.Any such transfer shall void this Permit.Such a transfer is agreed to be a breach of this Permit which
shall entitle City to evict Tenant on at least seven (7)days'notice.
28.Signs.Tenant shall not erect or display,or permit to be erected or displayed,on the premises any signs
or advertising matter of any kind without first obtaining the written consent of Executive Director.Tenant shall post,erect
and maintain on the premises such signs as Executive Director may direct.
29.Termination fQr Mis[~presentations.This Permit is granted pursuant to an application filed by Tenant
with Board.If the application or any of the attachments thereto contain any misstatement of fact which,in the judgment of
Executive Director.affected his or her decision to grant said Permit,Executive Director may terminate this Permit.
Termination pursuant to this Section shall not be termination by forfeiture.
30.Laws and Directives.Tenant shall comply with all applicable laws,ordinances and regUlations.In
addition,Tenant shall comply immediately with any and all directives issued by Executive Director or his or her authorized
representative under authority of any such law,ordinance or regUlation.This Permit shall be construed in accordance with
California law.
31.Possessory Interest.THIS PERMIT MAY CREATE A POSSESSORY INTEREST BY TENANT WHICH
MAY BE SUBJECT TO PROPERTY TAXATION.TENANT SHALL PAY ALL SUCH TAXES SO ASSESSED,AND ALL
OTHER ASSESSMENTS OF WHATEVER CHARACTER LEVIED UPON ANY INTEREST CREATED BY THIS PERMIT.
TENANT SHALL ALSO PAY ALL LICENSE AND PERMIT FEES REQUIRED FOR THE CONDUCT OF ITS OPERATIONS.
32..\)tiIity Charges.Unless otherwise provided for herein,Tenant shall pay all charges for services furnished
to the premises or used in connection with ils occupancy,including,but not limited to,heat,gas,power,telephone,water,
light and janitorial services,and pay all deposits,connection fees.charges and meter rentals required by the supplier of any
such service,including City.
33.Termination by Court.If any court having jurisdiction in the matter renders a final decision which
prevents the performance by City of any of its obligations under this Permit,then either party hereto may terminate this
Permit by written notice,and all rights and obligations hereunder (With the exception of any undischarged rights and
obligations)shall thereupon terminate.
Page 19 of 34
Page 10
Revocable Permit No.10-05
34.Conflict of Interest.It is understood and agreed that the parties to this Permit have read and are aware of
the provisions of Section 1090 et seq.and Section 87100 et seq.of the Government Code relating to conflict of interest of
public officers and employees,as well as the Conflict of Interest Code of the Harbor Department.All parties hereto agree
that they are unaware of any financial or economic interest of any public officer or employee of City relating to this Permit.
Notwithstanding any other provision of this Permit,it is further understood and agreed that if such a financial interest does
exist at the inception of this Permit,City may immediately terminate this Permit by giving written notice thereof.Termination
pursuant to this Section shall not be termination by forfeiture.
35.Service of Notice.In all cases where written notice including the service of legal pleadings is to be given
under this Permit,service shall be deemed sufficient if said notice is deposited in the United States mail,postage prepaid or
delivered to the Permit premises.When so given,such notice shall be effective from the date of mailing.Unless changed
by notice in writing from the respective parties,notice to City shall be addressed to Executive Director,Los Angeles Harbor
Department,P.O.Box 151,San Pedro,California 90733-0151,and notice to Tenant shall be addressed to it at the address
stated in the preamble or al such address designated by Tenant in writing.Nothing herein contained shall preclUde or
render inope~ative service of such notice in the manner provided by law.All notice periods under this Permit refer to
calendar days unless otherwise specifically stated.
..36.No Waivers.No waiver by either party at any time of any terms or conditions of this Permit shall be a
waiver !'It any subsequent time of the same or any other term or condition.The acceptance of late rent by Board shall not be
deemed a waiver of any other breach by Tenant of any term or condition of this Permit other than the failure of Tenant to
timely make the particular rent payment so accepted.
37.Immediate Access to Repair/Maintain Premises.Tenant is aware that the City Department of Water &
Power or Harbor Department maintenaoce personnel may need to service or repair facilities on the premises.If such repair
is necessary,Tenant agrees to relocate,at its expense,all of its cargo.equipment or personal property to provide
Department of Water &Power or Harbor Department personnel adequate access.Tenant agrees to complete such
relocation Within six (6)hours of receiving notice from City.Tenant agrees neither Department of Water &Power nor City
shall be responsible for any los!i Tenant may suffer as a result of such maintenance or repair.
38.Time of the Essence.Time is of the essence in this Permit.
39.Nondiscrimination and Affirmative Action Provisions.Tenant agrees not to discriminate in its employment
practices against any employee or applicant for employment because of employee's or applicant's race,religion,ancestry,
national origin,sex,sexual orientation,age,disability,marital status,domestic partner status or medical condition.All
subcontracts awarded under or pursuant to this Permit shall contain this provision.
The applicable provisioflS of Section 10.8 et seq.of the Los Angeles Administrative Code are set forth in
the attached Exhibit "C"and are incorporated herein by this reference.
40.Minority,Women and Other Busine_~§Enterprise (MBENVBE/OBE)Outreach Program.It is the policy of
the City to provide minority business enterprises (MBEs),women's business enterprises (WBEs),and all other business
enterprises (OBEs)an equal opportunity to participate in the performance of all City contracts in all areas where such
contracts afford such participation opportunities.The Tenant or Consultant shall assist the City in implementing this policy
and shall use its best efforts .to afford the opportunity for MBEs,WBEs,and OBEs to achieve participation in subcontracts
where such participation opportunities present themselves and attempt to ensure that all available business enterprises,
including MBEs,WBEs,and OBEs,have an equal opportunity to compete for and participate in any such participation
opportunity which might be presented under this Permit.
41.Wilmington Truck Route.It is recognized by both parties that Tenant does not directly control the trucks
serving the terminal.However,Tenant will make its best effort to notify truck drivers,truck brokers and trucking companies,
that trucks serving the terminal must confine their route to the designated Wilmington Truck Route of Alameda Street and
Harry Bridges Boulevard;Figueroa Street from Harry Bridges Boulevard to "C"Street;and Anaheim Street east of Alameda
Street.A copy of the Wilmington Truck Route is attached hereto and marked Exhibit "D,"which may be modified from time
to time al the sole discretion of the Executive Director with written notice to Tenant.
42.Paragraph Headings.Paragraph headings used in the Permit are merely descriptive and not intended to
alter the terms and conditions of the paragraphs.
43.Prior Permits.This Revocable Permit shall supersede Revocable Permit No.1212.From and after the
effective date of this Revocable Permit,said permit shall have no further force or effect except to the extent either party has
accrued any rights or obligations under said permit.
44,Business Tax Registration Certificate.The City of Los Angeles Office .of Finance requires the
implementation and enforcement of Los Angeles Municipal Code Section 21.09 et seq.This section provides that every
person,other than a municipal employee,who engages in business within the City of Los Angeles,is required to obtain the
Page 20 of 34
Page 11
Revocable Permit No.10-05
necessary Business Tax Registration Certificate and pay business taxes.The City Controller has.determined that this Code
Section applies to consulting firms that are doing work for the Los Angeles Harbor Department.
45.Addltions.there.is attached to this Permit an addendum,consisting of numbered Sections 47·52,
incluslve,the provisions of which are made a part of this Permit as though set forth herein in full.
46.Deletions.Section five (B)is deleted and is AOttO be 'considered as constituting a part of this Permit,and
it Is so marked.
~:?/)ilDATED:~~.'.
(SEAL)
CITY OF LOS ANOELES.
HARBOR DEPAHTMENT.
APPROVED:
BOARD OF HARBOR COMMISSIONERS
Secretary
The.undersigned Tenant hereby accepts the foregoing Permital'1d agrees to abide and .be bound by and to
observeea.ch and every of the terms and conditions there.of,including those set forth in the addendum,if any,and excluding
those,marked as being deleted.
DATED:_?1_~4".._1'_'+-1~h_
(SEAL).
TypelPrint Name and Title
.CL-."~~Attest.Ail"Eltiiil5T,'~~
Assistant Secretary
TypelPrint Name and Title
APPROVED AS TO FORM
~C-A~R""'M"""E""'N-A,....""'T""'R""'U~T~'"·+'''''IC~H'-~~ch,~~<£ney
HMM:aw
6/17/10
Page 21 of 34
IRMa fT I)I.Oil 4.:1 U.k .k4I C.."W .Li iU :.11.!!iI!lIlItntlll.iIII!llli
ADDENDUM TO REVOCABLE PERMIT NO.10-05
47.Service Contractor Worker Retention Policy and living Wage Policy
Requirements.The Board of Harbor Commissioners of the City of los Angeles adopted
Resolution No.5771 on January 3,1999,agreeing to adopt the provisions of los
Angeles City Ordinance No.171004 relating to Service Contractor Worker Retention
(SCWR),Section 10.36 et seq.of the los Angeles Administrative Code,as the policy of
the Harbor Department.Further,Charter Section 378 requires compliance with the
City's living Wage requirements as set forth by ordinance,Section 10.37 et seq.of the
los Angeles Administrative Code.Tenant shall comply with the policy wherever
applicable.Violation of this provision,where applicable,shall entitle the City to
terminate·this Permit and otherwise pursue legal remedies that may be available.
48.Wage and Earnings Assignment Orders/Notices of Assignments.The
Tenant is obligated to fully comply with all applicable state and federal employment
reporting requirements for the Tenant and/or its employees.
The Tenant shall certify that the principal owner(s)are in compliance with any
Wage and Earnings Assignment Orders and Notices of Assignments applicable to them
personally.The Tenant will fully comply with all lawfUlly served Wage and Earnings
Assignment Orders and Notices of Assignments in accordance with California Family
Code §§5230 et seq.The Tenant will maintain such compliance throughout the term of
this Permit.
49.Equal Benefits Policy.The Board of Harbor Commissioners of the City of
los Angeles adopted Resolution No.6328 on January 12,2005,agreeing to adopt the
provisions of los Angeles City Ordinance No.172,908,as amended,relating to Equal
Benefits,Section 10.8.2.1 et seq.of the los Angeles Administrative Code,as a policy of
the Harbor Department.Tenant shall comply with the policy wherever applicable.
Violation of the policy shall entitle the City to terminate any agreement with Tenant and
pursue any and all other legal remedies that may be available.See Exhibit "E."
50.State Tidelands Grants.This Permit is entered into in furtherance of and
as a benefit to the State Tidelands Grant and the trust created thereby.Therefore,this
Permit is at all times subject to the limitations,conditions,restrictions and reservations
contained in and prescribed by the Act of the legislature 'of the State of California
entitled "An Act Granting to the City of los Angeles the Tidelands and SUbmerged
lands of the State Within the Boundaries of Said City,"approved June 3,1929,(Stats.
1929,Ch.651),as amended,and provisions of Article VI of the Charter of the City of
los Angeles relating to such lands.Tenant agrees that any interpretation of this Permit
and the terms contained herein must be consistent with such limitations,conditions,
restrictions and reservations.
Page 22 of 34
51.Workers'Compensation.Tenant shall secure the payment of
compensation to employees injured while performing work or labor necessary for and
incidental to performance under this Permit in accordance with Section 3700 of the
Labor Code of the State of California.Tenant shall file with the City one of the following:
1)a certificate of consent to self-insure issued by the Director of Industrial Relations,
State of California;2)a certificate of Workers'Compensation insurance issued by an
admitted carrier;or 3)an exact copy or duplicate thereof of the policy certified by the
Director or the insurer.Such documents shall be filed prior to delivery of premises.
Where Tenant has employees who are covered by the United States Longshore and
Harbor Workers'Compensation Act,Tenant shall furnish proof of such coverage to the
City.It is suggested that Tenant consult its insurance agent to determine whether its
proposed construction methods wlll render its employees sUbject to coverage under the
Act.All.Workers'Compensation insurance submitted to City shall include an
endorsement providing that any carrier paying benefits agrees to waive any right of
subrogation it may have against the City.
52.Railroad Protective Liability Insurance
The Contractor shall also provide a policy of Railroad Protective Liability
Insurance in which Pacific Harbor Line (PHL)acting for itself and its railroad users are
named insureds and the City of Los Angles,its boards,officers,agents and employees
are included as additional insureds with Contractor.The minimum limits of Railroad
Protective Liability Insurance shall be the limits normally carried by the Contractor but
not less than Two Million Dollars ($2,000,000)combined single limit for property
damage and bodily injury including death.If the submitted policies contain aggregate
limits the Contractor shall provide evidence of insurance protection for such limits so
that the required coverage is not diminished in the event that the aggregate limits
become exhausted.Said limit shall be without deduction,provided that the Executive
Director or designee may permit a deductible amount when it is justified by the financial
capacity of Contractor.Any deductible amount permitted by the Executive Director shall
be paid solely by Contractor.
Contractor's comprehensive general liability coverage shall also have the railroad
exclusion deleted.
Page 23 of 34
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MARINE TERMINAL MAINTENANCE PROVISIONS
FOR ALL lEASE AGREEMENTS
I.Structural Maintenance &Repair Performed by City at City's Expense'Within lease Area
1.Roofs
2.Exteriors of structures,including exterior painting
3.Wharf structure (as defined)
4.Wharf bulkheads
5.Rock slopes
6.Maintenance dredging
7.Replacement of deteriorated electrical conduit and pipeline system
8,High and low voltage systems,including SWitchgear and crane power trench
9.Fire protection sprinkler systems,fire hydrant systems,standpipe systems,fire alarm systems
II.Maintenance &Repair Performed by City at Tenant's Expense Within lease Area
1.Fender system repair (Wharf damage procedurel
2.Refrigerated receptacle outlet (reefer)maintenance
3,Backnow devices and potable water systems
4.HVAC servicing and repair
III.Operational Maintenance &Repair to be Performed by the Tenant.Port Will Perform if Forces Available by
Accommodation Work Order Within leased Area at Tenant's Expense.Tenant,However,Remains Responsible for
~ciency of All Work,
This portion of the Exhibit describes the maintenance and repair of items commonly found on terminal premises granted
to Tenants.Not all items listed below may be present on all terminal premises.This list is only illustrative of the items
which Tenant must maintain.
1.All landscaping,inclUding irrigation systems
2.Daily janitorial service'"
3.Relamping of terminal Wharf and backland light standards·'
4.Interior painting
5.Elevator and escalator maintenance"
6,Clarifier maintenance &servicing'"
7.All toxic waste removal·"
8.Storm drain inlet maintenance and cleaning
9.Cleaning clogged drains,including toileUurinal stoppages
10,Pneumatic tube system maintenance'·
11.Emergency generator unit maintenance"
12.Mooring capstans
13.Mechanical ramps and loading dock boards
14.Passenger gantries",baggage systems",conveyor systems"
15.Replacement of all light bulbs
16 Traffic and backland area striping (requires permit &approval by Harbor Engineer)
17.Weigh scales"
18.Wheel stop maintenance
19.Fence and gate maintenance
20.Rolling and sliding door maintenance
21.Window,door glass replacement
22.Carpet,tile,and vinyl floor replacements
23.All mechanical,electrical,hydraulic and air equipment and devices used by Tenant to maintain Tenant-owned
machinery and equipment
24.Gate house equipment,including gate arms and mechanical/electrical equipment therein
25.Recharging and servicing of fire extinguishers
26.Surface paving,wharf and backland (as defined in Permit)
27.All underground and above ground tanks,pipelines and appurtenances unless the Permit specifically otherwise
provides
To be maintained at Tenant's expense.if damaged by Tenant
To be maintained to Port's standards and subject to periodic audits and inspection by the Port of los Angeles
At no time does Port provide or perform
IV..City May,But is Not Obligated to,Maintain or Repair Items Tenant Fails to Maintain or Repair at
Tenant's...f""x"'o""e"'n-"s""e"--_
EXHIBIT B
Page 25 of 34
AFFIRMATIVE ACTION PROGRAM PROVISIONS
5',ec.10.8.4 Affirmative Action Program Provisions.
Every non~construction contract with or on behalf of the City of Los Angeles for which the
consideration is $100,000 or more ande'Very constructi'on contract with or on behalf of the
City of Los Angeles for which "the consideration is $5,000 orrnore shall contain the
following provisions Which sha;1l be,designated as the AFFIRMATIVE ACTION PROGRAM
prqvislonsofsuch contract
A.During the performance of City contract;the coNtractor certifies and represents that
the contractor and each subcontractor hereunder-will adhere toanaffirmatiVe;lacti'on
pro;grarn to en~ure that in :itsemploYmeht practices,persons are employed and
employees are treated eqUally and with'Out J~gard to or bElCaUse of race,religion,
anc~s:try,nattor}E;ll origin,SeX,sexual orlentatJoA,ag~,cU$a'blHty,marItal statu$,
do:mes:ucp'artnerstatus,or mediG'slc.ondition.
1.Thl'S provi.srcmapp:lles to work or :servfces performed'OT materials
manufactured orasse:mlbled iiI)the UnTied $tates.
2.Nothing in this S'ectiQI')shall require OT prohibit the establIshment of new
classifications of employees in any given crClft,work or service cate.gory.
3.The contractor ,shall posta copy of Paragraph A hereof in conspicuous
places at its pJaceof business available to employ;ees and applicants for
employment.
B.The contractor will,in al.lsolicitations or advert/a.ements for employees placed by or
on behalf of the contn3'ctor,state that all qU'alified appl1cants will receive
consideration for employment wilhotd re.gard to their race,religion,ancestry,
national origin,sex,sexual orientation,ag:e,disability,m.arital status,domestic
partner status,or medical condftion.
G.As part of the City's supplieJ registration process,andior at the request of the
awarding authority or the Offtee of Contract CompHa FlO.e,the contractor shall certify
on an electronic or hard copy form to be supplied,that the contractor has not
discriminated in the performance of City contracts against any employee or
applicant for employment on the basis or because of race,religion,ancestry,
national origin,sex,sexual orientation,age,disability,marital status.domestic
partner status,or medical condition.
D.The contractor shall permit access to arid may be required to provide certified
copies of all of its rec:ords pertaining to employment and to its employment practices
by the awarding authority or the Offioe of Contract Compliance,for the purpose of
investigation to ascertain compliance with the Affirmative Action Program provisions
of City contracts,and on their or either of their request to provide evidence that it
has or will comply therewith.
1
EXHIBIT C
AFFIRMATIVE ACTION PROGRAM PROVISIONS
E.The failure of any contractor to comply with the Affirmative Action Program
provisions of City contracts may be deemed to be a material breach of contract.
Such failure shall only be established upon a finding to that effect by the awarding
authority,on the basis of its own investigation or that of the Board of Public Works,
Office of Contract Compliance.No such finding shall be made except upon a full
and fair hearing after notice and an opportunity to be heard has been given to the
contractor.
F.Upon a finding duly made that the contractor has breached the Affirmative Action
Program provisions of a City contract,the contract may be forthwith cancelled,
terminated or suspended,in whole or in part,by the awarding authority,and all
monies due or to become due hereunder may be forwarded to and retained by the
City of Los Angeles.In addition thereto,such breach may be the basis for a
determination by the awarding authority or the Board of Public Works that the said
contractor is an irresponsible bidder or proposer pursuant to the provisions of
Section 371 of the Los Angeles City Charter.In the event of such determination,
such contractor shall be disqualified from being awarded a contract with the City of
Los Angeles for a period of two years,or until he or she shall establish and carry out
a program in conformance with the provisions hereof.
G.In the event of a finding by the Fair Employment and Housing Commission of the
State of California,or the Board of Public Works of the City of Los Angeles,or any
court of competent jurisdiction,that the contractor has been guilty of a willful
violation of the California Fair Employment and Housing Act,or the Affirmative
Action Program provisions of a City contract,there may be deducted from the
amount payable to the contractor by the City of Los Angeles under the contract,a
penalty of TEN DOLLARS ($10.00)for each person for each calendar day on which
such person was discriminated against in violation of the provisions of a City
contract.
H.Notwithstanding any other provisions of a City contract,the City of Los Angeles
shall have any and all other remedies at law or in equity for any breach hereof.
I.The Public Works Board of Commissioners shall promulgate rules and regulations
through the Office of Contract Compliance and provide to the awarding authorities
electronic and hard copy forms for the implementation of the Affirmative Action
Program provisions of City contracts,and rules and regulations and forms shall,so
far as practicable,be similar to those adopted in applicable Federal Executive
Orders.No other rules,regulations or forms may be used by an awarding authority
of the City to accomplish this contract comptiance program.
J.Nothing contained in City contracts shall be construed in any manner so as to
require or permit any act which is prohibited by law.
K.The Contractor shall submit an Affirmative Action Plan which shall meet the
requirements of this chapter at the time it submits its bid or proposal or at the time it
2
Page 27 of 34
AFFIRMATIVE::AcnONPROGRAM PROVISIONS
registers to do bus,iness with the City.The plan shall be sUbject to approval by the
Office of Contract Compliance prior to award of the contraot.The awarding
authority may also require contractors and suppliers to take part in a pre-
re,gistration.pre-bid,pre-proposal,or pre-award c.onference in order to develop,
improve or implement a qualifying A'ffirmative Action Plan,Affirmative Action
Programs developed pursu.ant to this ~ectiQn shall be effective fora period of twelve
months from the date of approval by the Office Qf Contract Compliance.Incase of
priQr submission of a plan,the contractor may submit documentation that it has an
Affifmative Action Plan approved by the Office of Contrad Comr:>liance within the
~reV:lous twelve months.If the afD:prova I Is 30 daysC>J less,from :expiration,the
contra€tormust submit a new Plan to :the Office of Contract CompHa.noe and th:at
Plan 'l'nust be approved before the.contract is atwarded.
1;Every contract of $5,000 or mQre which may prQvldeconstrucHon,demolition,
renov~tjon,cqn:servation ,or major maintenance of any kind shall in addition
comply with the requjrem~nts of Section 10.13 of the Los Angeles
Admrnistrative Code.
2.A contractor may establish and adopt as its own Affirmative Action Plan,by
affixing his or her signature thereto,an Affirmative Action Plan prepared and
furnished by the Office of Contract Compliance,or ft may prep,are and submit
its own Plan for approval.
L.The Office of Contract Compliance shaH annually supply theawardlng authorities of
the City with a list of contractors and suppliers who have developed Affirmative
Action Programs.For each contractor and supplier the Offioe of Contract
Compliance shall state the date the aPproVal expire's.Tne Office of Contract
Gomplianceshall not withdraw its approval for any Affirmative Action Planar
change the Affirmative Action Plan after the date of contract award for the entire
contract term without the mutual agreement of the awarding authority and the
oontractor.
M.The Affirmative Action Plan required to be submitted here,under and the pre-
registration,pre-bid,pre-proposal or pre-award conference which may be required
by the Board of Public Works,Office of Contract Compliance or the awarding
authority shall,without limitation as to the subject or nature of employment activity,
be concerned with such employment practices as:
1.Apprenticeship where approved programs are functioning,and other on-lhe-
job training for non-apprenticeable occupations;
2.Classroom preparation for the job when not apprenticeable;
3.Pre-apprenticeship education and preparation;
3
Page 28 of 34
ez,;~$'UJh..t t !.jilli$J aif ntlJ!il,tJiIi:irililjg;ummwt _jiJ $I U.l
AFFIRMATIVE ACTION PROGRAM PROVISIONS
4.Upgrading training and opportunities;
5.Encouraging the use of contractors,subcontractors and suppliers of all racial
and ethnic groups,provided,however,that any contract sUbject to this
ordinance shall require the contractor,subcontractor or supplier to provide
not less than the prevailing wage,working conditions and practices generally
observed in private industries in the contractor's,subcontractor's or supplier's
geographical area for such work;
6.The entry of qualified women,minority and all other journeymen into the
industry;and .
7..The provision of needed supplies or job conditions to permit persons with
disabilities to be employed,and minimize the impact of any disability.
N.Any adjustments which may be made in the contractor's or supplier's workforce to
achieve the requirements of the City's Affirmative Action Contract Compliance
Program in purchasing and construction shall be accomplished by either an
increase in the size of the workforce or replacement of those employees who leave
the workforce by reason of resignation,retirement or death and not by termination,
layoff,demotion or change in grade.
O.Affirmative Action Agreements resulting from the proposed Affirmative Action Plan
or the pre-registration,pre-bid,pre-proposal or pre-award conferences shall not be
confidential and may be pUblicized by the contractor at his or her discretion.
Approved Affirmative Action Agreements become the property of the City and may
be used at the discretion of the City in its Contract Compliance Affirmative Action
Program.
P.This ordinance shall not confer upon the City of Los Angeles or any Agency,Board
or Commission thereof any power not otherwise provided by law to determine the
legality of any existing collective bargaining agreement and shall have application
only to discriminatory employment practices by contractors or suppliers engaged in
the performance of City contracts.
Q.All contractors SUbject to the provisions of this section shall include a like provision
in all subcontracts awarded for work to be performed under the contract with the
City and shall impose the same obligations,including but not limited to Wing and
reporting obligations,on the subcontractors as are applicable to the contractor.
Failure of the contractor to comply with this requirement or to obtain the compliance
of its subcontractors with all such obligations shall SUbject the contractor to the
imposition of any and all sanctions allowed by law,inclUding but not limited to
termination of the contractor's contract with the City.
4
Page 29 of 34
(d)Other Options for Compliance.Provided that the Contractor does
not discriminate in the provision of Benefits,a Contractor may also comply with
the Equal Benefits Ordinance in the following ways:
(1)A Contractor may provide an employee with the Cash Equivalent
only if the DAA determines that either:
a.The Contractor has made a reasonable,yet unsuccessful effort to
provide Equal Benefits;or
b.Under the circumstances,it would be unreasonable to require the
Contractor to provide Benefits to the Domestic Partner (or spouse,if applicable).
.(2)Allow each employee to designate a legally domiciled member of
the employee's household as being eligible for spousal equivalent Benefits.
~
(3)Provide Benefits neither to employees'spouses nor to employees'
Domestic Partners.
(e)Applicability.
(1)Unless otherwise exempt,a Contractor is subject to and shall
comply with all applicable provisions of the Equal Benefits Ordinance.
(2)The requirements of the Equal Benefits Ordinance shall apply to a
Contractor's operations as follows:
a..A Contractor's operations located within the City limits,regardless
of whether there are employees at those locations performing work on the
Contract.
b.A Contractor's operations on real property located outside of the
City limits if the property is owned by the City or the City has a right to occupy the
property,and if the Contractor's presence at or on that property is connected to a
Contract with the City.
c.The Contractor's employees located elsewhere in the United States
but outside of the City limits if those employees are performing work on the City
Contract.
(3)The requirements of the Equal Benefits Ordinance do not apply to
collective bargaining agreements ("CBA")in effect prior to January 1,2000.The
Contractor must agree to propose to its union that the requirements of the Equal
Benefits Ordinance be incorporated into its CSA upon amendment,extension,or
other modification of a CBA occurring after January 1,2000.
2
Page 30 of 34
(f)Mandatory Contract Provisions Pertaining to Equal Benefits.
Unless otherwise exempted,every Contract shall contain languag.e that obligates
the Contractor to comply with the applicable provisions of the Equal Benefits
Ordinance.The language shall include provisions for the following:
(1)During the performance of the Contract,the Contractor certifies and
represents that the Contractor will comply with the Equal Benefits Ordinance.
(2)The failure of the Contractor to comply with the Equal Benefits
Ordinance will be deemed to bea material brooch of the Contract by the
Awarding Authority.
(3)If the Contractor faUs to comply with the Equal Benefits Ordinance
the Awarding Authority may'cancel,terminate or suspend the Contract,in whole
Of in part,and all monies due or to become due under the Contract may be
retained by the City.The City fllay al$o pursue any and all other remedies at law
or in equityfof any breach.
(4)FaiLure to comply with the Equal Benefits Ordinance may be used
as evidence against the Contractor in actions taken pursuant to the provisions of
Los Angeles Administrative Code Section 1DAD,et seq.,Contractor
Responsibility Ordinance.
(5)If the OM determines that a Contractor has set IJp or used its
Contracting entity for the purpose ofevading the intentofthe Equal Benefits
Ordinance',the Awarding Authority may terminate the Contract on behalf of the
City.ViolaHon of this provis.ion may be useq as evidence against the Contractor
in actions taken pursuant to the provisions of Los Angeles Administrative Code
Section 10.40,et seq.,Contractor Responsibility Ordinance.
3
Page 31 of 34
MINUTES OF THE REGULAR MEETING OF THE
PORT OF LOS ANGELES COMMUNITY ADVISORY COMMITTEE
TUESDAY,NOVEMBER 15,2011,5:30PM -8:00PM
WILMINGTON SENIOR CITIZEN CENTER
1371 EUBANK STREET
WILMINGTON,CA 90744
H.ACTION ITEM:
October 18,2011,the PCAC approved the amended recommendation
below,which was moved by Pat Nave,second by June Burlingame Smith,
and carried with 12 Ayes,4 Nays and 4 Abstentions.
RECOMMENDATION:
Whereas,the PCAC has previously urged the City and the Port to
relocate the Amerigas/Rancho Liquid Propane Gas (LPG)facility in San
Pedro;and
Whereas,the facility is served by rail tank cars,truck tank cars and
pipeline,and stores and distributes liquid propane,butane and other
commodities;and
Whereas,substantial numbers of people in the Harbor area are
concerned about the risk of hazard due to the facility's aging infrastructure,
possibility of earthquake or natural disaster due to its location in an
identified seismically active area and adjacent tsunami zone,and a
potential target for terrorism in a Port city acknowledged as a likely target
site;and
Whereas,the facility has from time to time changed it business
operations,and there is concern by many people that there has been
inadequate environmental and risk analyses of those changes;and
Whereas,over time,the Los Angeles Harbor Department has become
increasingly involved in the operations conducted at the facility,such as by
assisting in the transport of product by rail through the Port across Port
rail lines,including a portion of the rail line spur accommodating the rail
transportation of the commodities pursuant to Revocable Permit No.10-05
dated February 2011,which appears to allow reasonable inquiry into the
rail movements on the parcel subject to the permit;and
Whereas,rail tank cars containing unknown products from other
manufacturers and sources other than the Rancho Facility also traverse
and are stored on tracks owned by the Port and the railroads;and
Whereas,truck tank vehicles containing unknown products from
sources other than the Rancho Facility also travel through our
1
Transmittal No.3 Page 32 of 34
MINUTES OF THE REGULAR MEETING OF THE
PORT OF LOS ANGELES COMMUNITY ADVISORY COMMITTEE
TUESDAY,NOVEMBER 15,2011,5:30PM -8:00PM
WILMINGTON SENIOR CITIZEN CENTER
1371 EUBANK STREET
WILMINGTON,CA 90744
communities,and because they do not originate from Port terminals,are
not subject to,for example,the Wilmington truck route plan;and
Whereas,among the data that is available and should be provided to
the Port and the community about the rail tank cars and truck tank vehicles
is information such as routing,quantity,storage elsewhere in the Port
while awaiting further transport,product identification criteria,fire
department and hazmat notification procedures,etc.
NOW THERFORE,be it resolved that the PCAC recommends that the
Board of Harbor Commissioners (BHC)direct the Port of LA to revoke
Permit No.10-05 and work with the community and Rancho to perform a
Risk Management Plan for the API Storage Tanks,ASME Pressure vessels
and rail cars at the facility in accordance with 40CFR68 as well as the
transport of product to and from the facility by pipeline,by rail tank car and
by truck tank vehicles;and
BE IT RESOLVED,that the PCAC recommends that the BHC direct staff
to work with the community and affected tenants and others to perform a
risk analysis of transport of products to and through the Port and nearby
communities by pipeline,by rail tank car and by truck tank vehicles;and
BE IT RESOLVED,that the BHC establish a working group of persons
to assist in examining the risks associated with the operation of the facility
and transport of products by rail and truck,including representatives of the
Los Angeles Fire Department,United States Geological Service,EPA,
university research community,local organizations and the PCAC.
PCAC ACTION:
The Committee approved the Recommendation with 12 Ayes,3 Nays and 3
Abstentions.
2
Page 33 of 34
From:
Sent:
To:
Cc:
Page 1 of1
Kit Fox
Knatz,Geraldine [knatz@portla.org]
Tuesday,June OS,2012 8:25 AM
'Janet Gunter';Huerta,Julie
MrEnvirlaw@sbcglobal.net;noelweiss@ca.rr.com;jody.james@sbcglobal.net;det310@juno.com;
connie@rutter.us;konnica@ca.rr.com;tom@politeo.net;amartinez@nrdc.org;mlinperrella@nrdc.org;
dwgkaw@hotmail.com;Igornla@cox.net;dan.welkel@latimes.com;
Donna.Littlejohn@DailyBreeze.com;pauLh_rosenberg@hotmail.com;djgoldstein@cbs.com;
overbid2002@yahoo.com;jnmarquez@prodigy.net;alicia@cbecal.org;billgallegos@cbecal.org;
Iiz@smbaykeeper.org;burling102@aol.com;laura.richardsonmc@mail.house.gov;
marisol.espinoza@lacity.org;vzavala@kcet.org;chateau4us@att.net;claudia.r.mcculloch@gmail.com;
Kit Fox;brlan.campbell@rpv.com;lonna@cope-preparedness.org
Subject:RE:Limit on Public testimony for Rancho Liquid Petroleum Gas Rail Revocation Motion issue on Port
Agenda June 7
We are giving 10 minutes to PCAC and 10 minutes to Rancho to start the discussion.Other speakers
have 3 minutes.
From:Janet Gunter [mallto:arriane5@aol.com]
sent:Monday,June 04,20129:19 PM
To:Knatz,Geraldine
Cc:MrEnvirlaw@sbcglobal.neti noelweiss@ca.rr.comi jody.james@sbcglobal.net;det310@juno.comi
connie@rutter.usi konnica@ca.rr.comi tom@politeo.neti amartlnez@nrdc.orgi mllnperrella@nrdc.org;
dwgkaw@hotmall.comi igornla@cox.neti dan.weikel@latlmes.comi Donna.L1ttlejohn@DailyBreeze.comi
pauLh_rosenberg@hotmail.com;djgoldstein@cbs.com;overbid2002@yahoo.com;
jnmarquez@prodigy.neti alicia@cbecal.orgi billgallegos@cbecal.org;Iiz@smbaykeeper.orgi
burlingl02@aol.comi 'aura.richardsonmc@mal'.house.govi marisol.espinoza@lacity.orgi
vzavala@kcet.orgi chateau4us@att.neti claudia.r.mcculloch@gmail.com;kitf@rpv.com;
brian.campbell@rpv.comi lonna@cope-preparedness.org
Subject:Limit on Public testimony for Rancho LiqUid Petroleum Gas Rail Revocation Motion Issue on Port
Agenda June 7
I've just been told that the public testimony for this agenda Item scheduled for this Thursday at 8:30 am
willI/mit pUblic testimony to 10 minutes pro and 10 minutes con.This item is of immense importance to
public safety In the communities of San Pedro,Rancho Palos Verdes and Wilmington.It seems that
this is extremely unfair to the public,especially in light of the LA City Controller's recent Study results
exposing the major deficit of any substantive Emergency &Disaster Preparedness in the City of LA .
Please either confirm or deny that this Is the situation.
Thank you.
Janet Gunter
----_.._--,..._-_._.,----.._._-_._--....._-----_.._._.-
------------------------Confidentiality Notice----------------------------------
This electronic message transmission contains information from the Port of Los Angeles,which may be
confidential.If you are not the intended recipient,be aware that any disclosure,copying,distribution or
use of the content of this information is prohibited.If you have received this communication in error,
please notify us 'Immediately bye-mail and delete the original message and any attachment without
reading or saving in any manner.
6/5/2012
Page 34 of 34
Page 1 of2
From:Councilwoman Susan Brooks [subrooks08@gmail.com]
Sent:Tuesday,June 05,201212:53 PM
To:anndshaw@gmail.com;blueeye@charter.net;dciminera@cox.net;janandjerald@cox.net;jfarber@hycinc.org;
jgruessing@norriscenter.com;jhamiltonlee@sbclinic.org;jhessick@pvldfriends.org;John.R.Williams@mssb.com;
laurie@shawlwomenshouse.org;mayna25@msn.com;nlmahr@verizon.net;renjon12@msn.com;rmiller675@aol.com;
tina@sbchc.com
Cc:Carolyn Lehr
Subject:RPV City Grants-Reality Check
Dear RPV Grant Recipients,
Thank you for your emails of concern.Knowing several of you personally,I have been
forwarded MPT Campbell's follow-up email to all of you regarding grant funding for 2012-
13.At our last Council Budget Workshop in May,the entire Council acknowledged this
was the second of a two year commitment,and agreed unanimously to give staff direction
to honor those grants,as is.
While the budget will not be officially voted on until June 19th,this was the Council's
direction and I have no reason to believe there will be any change.It is unfortunate if any
misrepresentation may have been created unnecessarily.
Attention:City Manager Lehr,please include this email in late correspondance for
tonight's meeting.
Best Regards,
Susan Brooks,Councilwoman
Rancho Palos Verdes,CA
From:Patricia McKinsey [mailto:P.Mckinsey@BCUrban.com]
Sent:Friday,June 01,2012 4:37 PM
To:tina@sbchc.com;anndshaw@gmail.com;blueeye@charter.net;dciminera@cox.net;janandjerald@cQ)
John.R.Williams@MSSB.com;laurie@shawlwomenshouse.org;mayna25@msn.com;nlmahr@verizon.net;r
Cc:b.camp@cox.net
Subject:Possible Elimination of promised grants from City of Rancho Palos Verdes this Tuesday June 5th
at City Council meeting
Importance:High
All,
The email to your organizations from RPV city staff this week,that while accurate,I believe
minimizes the real danger of the city council reducing or eliminating these important Grants that
were promised to your organizations for this next fiscal year.
I left your email addresses visible so that you can also correspond with each other.
Please consider having representation from your organization at our city council meeting this
6/5/2012
Page 2 of2
Tuesday night at 7 PM and fill out a speaker slip and explain why your cause is both important to residents ofRPV,
that these Grants were promised for two years and that you budgeted based on that two year promise.
Because of term limits,there are three new council persons that were not part ofthe budgeting process last year or of
the two year promises made to you.I will stand up for you but also need your help,attendance and support.
You can also email allofseniorcitystaffandallcouncilmemberswithyourinputat:cc(cv.rpv.com
Best regards,
Brian
Brian Campbell
Mayor Pro Tern
City of Rancho Palos Verdes,CA
424-255-8887 office
31 0-544-7400 office +text
888-855-9619 fax .
6/5/2012
From:Councilwoman Susan Brooks [mailto:subrooks08@gmail.com]
Sent:Tuesday,June 05,2012 4:22 PM
To:Carolyn Lehr;Carla Morreale
Subject:replies:RPV City Grants-Reality Check
...some replies.Susan Brooks
----------Forwarded message ----------
From:Tina Harris <tina@sbchc.com>
Date:Tue,Jun 5,2012 at 2:39 PM
Subject:RE:RPV City Grants-Reality Check
To:Councilwoman Susan Brooks <subrooks08@gmail.com>
Dear Councilwoman Brooks,
Thank you for your kind words of assurance that the South Bay Children's Health
Center's (SBCHC)grant of $10,000 and the other worthy non-profits'grants will be
honored.One hundred percent of the funding provided by the City of RPV to SBCHC is
used to provide mental health services to students attending one of the 3 PVPUSD high
schools.One hundred percent of the $10,000 is devoted to program and zero allotment
to administrative/overhead costs of running the program.
Tina Harris
Executive Director
SBCHC
South Bay Children's Health Center
410 Camino Real
Redondo Beach,CA 90277
Office:(310)316-1212
Fax:(310)316-4411
tharris@sbchc.com
www.sbchc.com
This email transmission may contain Protected Health Information (PHI)or other
information that is privileged and confidential.It is intended only for the use of the
authorized recipient of this information is prohibited from disclosing the information to
any other party.If you are not the intended recipient,please be aware that the copying,
dissemination,or distribution of this communication is strictly prohibited.
If you have received this transmission in error,please notify the sender immediately and
confidentially destroy information that was sent.
From:Councilwoman Susan Brooks [mailto:subrooks08@gmail.com]
Sent:Tuesday,June OS,2012 12:53 PM
To:anndshaw@gmail.com;blueeye@charter.net;dciminera@cox.net;
ja na ndjera Id@cox.net;jfa rber@hycinc.org;jg ruessi ng@norriscenter.com;
jhamiltonlee@sbclinic.org;jhessick@pvldfriends.org;
John.R.Williams@mssb.com;laurie@shawlwomenshouse.org;
mayna25@msn.com;nlmahr@verizon.net;renjon12@msn.com;
rmiller675@aol.com;tina@sbchc.com
Cc:Carolyn Lehr
Subjet;t:RPV City Grants-Reality Check
Dear RPV Grant Recipients,
Thank you for your em ails of concern.Knowing several of you personally,I have
been forwarded MPT Campbell's follow-up email to all of you regarding grant
funding for 2012-13.At our last Council Budget Workshop in May,the entire
Council acknowledged this was the second of a two year commitment,and agreed
unanimously to give staff direction to honor those grants,as is.
While the budget will not be officially voted on until June 19th,this was the
Council's direction and I have no reason to believe there will be any change.It is
unfortunate if any misrepresentation may have been created unnecessarily.
Attention:City Manager Lehr,please include this email in late correspondance for
tonight's meeting.
Best Regards,
Susan Brooks,Councilwoman
Rancho Palos Verdes,CA
From:Patricia McKinsey [mailto:P.Mckinsey@BCUrban.com]
Sent:Friday,June 01,20124:37 PM
To:tina@sbchc.com;anndshaw@gmail.com;blueeye@charter.net;dciminera@c
ox.net;janandjerald@cox.net;jfarber@hycinc.org;jgruessing@norriscenter.com;
jhamiltonlee@sbclinic.org;jhessick@pvldfriends.org;
John.R.Williams@MSSB.com;laurie@shawlwomenshouse.org;mayna25@msn.co
m;nlmahr@verizon.net;renjon12@msn.com;rmiller675@aol.com
Cc:b.camp@cox.net
Subject:Possible Elimination of promised grants from City of Rancho Palos
Verdes this Tuesday June 5th at City Council meeting
Importance:High
All,
The email to your organizations from RPV city staff this week,that while accurate,I
believe minimizes the real danger of the city council reducing or eliminating these
important Grants that were promised to your organizations for this next fiscal year.
I left your email addresses visible so that you can also correspond with each other.
Please consider having representation from your organization at our city council meeting
this Tuesday night at 7 PM and fill out a speaker slip and explain why your cause is both
important to residents of RPV,that these Grants were promised for two years and that
you budgeted based on that two year promise.
Because of term limits,there are three new council persons that were not part of the
budgeting process last year or of the two year promises made to you.I will stand up for
you but also need your help,attendance and support.
You can also email all of senior city staff and all council members with your input
at:cc@rpv.com
Best regards,
Brian
Brian Campbell
Mayor Pro T em
City of Rancho Palos Verdes,CA
424-255-8887 office
31 0-544-7400 office +text
888-855-9619 fax
From:
Sent:
To:
Cc:
Subject:
LYNN SWANK [Iynn.swank@cox.net]
Monday,June 04,2012 8:36 PM
cc@rpv.com
Carla Morreale
CC Meeting 6/5/12 -Budget/Non-Profits
Mayor and Council Members:
After reviewing the proposed budget I noted in both city council discussions and a Finance
Committee Review that contributions to non-profits were questioned as a proper expense for
this coming year.Of particular concern is the two-year funding awarded to Los Serenos de
Point Vicente for the development and implementation of the 4th grade program for students
in the Palos Verdes school system.
Last year the previous city council awarded these funds to Los Serenos recognizing that
children on our Peninsula should be given the opportunity to learn about history amidst
the wonderful setting that only Rancho Palos Verdes can provide.The docents have worked
closely with the PVUSD to ensure that the program is consistent with that of the school
and state curriculum.
Most of our residents support our schools and recognize the need to supplement the
education of our children.Rather than just giving the school district or the PEF cash,I
believe the council made a wise choice by giving these resources to Los Serenos,who have
a track record of accomplishing their goals and are long-time partners with the City of
Rancho Palos Verdes.
To deny funding for this program would seriously impact the contributions of the City and
docents and most importantly deny our children the benefits of learning in the setting of
Rancho Palos Verdes.
I urge you to leave the funding designated for Los Serenos and the school program
unchanged.
On a broader note,if withdrawing all funding from non-profits is the path that will be
taken in the future,I suggest that notification to all concerned be done immediately so
that these organizations can plan for this decrease in funds.If the council chooses to
fund only certain types of projects,then a staff/resident committee,comprised of those
who are familiar with the operation of non-profits,be appointed to set forth possible
funding criteria for the council to approve well in advance of the budget process.
Lynn Swank
RPV Resident
1
From:
Sent:
To:
Cc:
SUbject:
mkemmerer@sbchc.com
Tuesday,June 05,2012 11 :06 AM
cc@rpv.com;b.camp@cox.net
tina@sbchc.com
Please Consider Honoring Second Year of Community Grants
Dear City of Rancho Palos Verdes Council Members:
I am writing to strongly encourage the City of Rancho Palos Verdes to honor its commitment
for the second year of its community grants.
During the past year,counseling services have been provided to children who would not
have otherwise had access to counseling during a critical time of their lives.Working in
both Palos Verdes High schools during the pat year has allowed me to see the need for
students to have access to (emotional)counseling services in addition to academic
services that staff counselors provide.
Many of my clients have been high achieving students who reported to have no time outside
of school hours to "fit in"a counseling session.The academic pressure to succeed has
placed some at risk,but they make time during the school day to sit and work on emotional
issues that assist them in coping in the competitive academic environment.
I thank you for your time in reading my letter.I urge you to continue providing
community grants for counseling services to children in your community
Sincerely,
Mike Kemmerer
Marriage &Family Therapist
South Bay Children's Health Center
410 S.Camino Real
Redondo Beach,CA 90277
310-429-2362
1
From:
Sent:
To:
Subject:
Lynn Scollo [Iscollo@cox.net]
Tuesday,June 05,2012 12:53 PM
cc@rpv.com
Continued Funding
Dear City Council Members,please continue to support Los Serenos de Point Vincente by
continuing the funding of our programs.I enjoyed meeting everyone at our Open House.Lynn
Scollo 1st Vice President of Los Serenos de Point Vicente.
1
TO:
FROM:
DATE:
SUBJECT:
HONORABLE MAYOR &CITY COUNCIL MEMBERS
CITY CLERK
JUNE 4,2012
ADDITIONS/REVISIONS AND AMENDMENTS TO
AGENDA
Attached are revisions/additions and/or amendments to the agenda material received
through Monday afternoon for the Tuesday,June 5,2012 City Council meeting:
Item No.
D
5
6
7
Respectfully submitted,
Description of Material
Email from Eva Cicoria
Draft Minutes from the May 23,2012 Finance Advisory
Committee Meeting
Attachment B -Public Safety Enhancements for FY12-13;
Emails from:Mayor Pro Tem Campbell;Laura Lull;Tina
Harris
Draft Minutes from the May 23,2012 Finance Advisory
Committee Meeting
~~
Carla Morreale
W:\AGENDA\2012 Additions Revisions to agendaS20120605 additions revisions to agenda through Monday afternoon.doc
From:Kit Fox
Sent:Monday,June 04,20127:34 AM
To:Teresa Takaoka
Cc:Carla Morreale
Subject:FW:Border Issues Status Report
Late Correspondence on Item 0 (Border Issues)
Kit Fox,AICP
Senior Administrative Analyst
City Manaaer's OHice
City o£Rancho Palos Verdes
30940 Hawthome Blvd.
Rancho Palos Verdes,CA 90275
T:(310)544~5226
F:(310)544~5291
E:kit£@mv.com
From:cicoriae@aol.com [mailto:cicoriae@aol.com]
Sent:Sunday,June 03,2012 7:39 AM
To:Kit Fox
Subject:Border Issues Status Report
Hi Kit,
Glad to see the RPV comments submitted on the DEIR for Clearwater.Although I live quite far from the
planned tunneling,I had wondered whether anybody was looking out for the pUblic and paying attention to
this project's potential impacts.I was pleased to see some light shown on the potential tunneling impacts
related to the butane tanks on Gaffey as well as the outfall and slide issues at White Pt.lRoyal Palms.
Thank you!
Eva Cicoria
6/4/2012
From:Carolyn Lehr [clehr@rpv.com]
Sent:Monday,June 04,20122:13 PM
To:cc@rpv.com
SUbject:FW:FAC Minutes PDF for City Council
Importance:High
Attachments:20120523_FAC Minutes_Draft .pdf
Mr.Mayor and Council Members,
At the request of MPT Campbell,attached are DRAFT minutes from the May 23 rd FAC
meeting.There was no audio tape produced,but the draft minutes may be helpful as
background to the Council agenda items tomorrow on Reserve Policy and Five-Year
Model.
Carla,this should be considered late correspondence.
Thanks,
Carolyn
From:Kathryn Downs
Sent:Monday,June 04,2012 12:16 PM
To:Carolyn Lehr
Subject:FAC Minutes PDF for City Council
Importance:High
Please send the attached PDF file to the City Council for the FAC's draft minutes from the May 23 rd
meeting.
Thanks,
Kathryn Downs
Deputy Director of Finance &Information Technology
(310)544-5216
htt :llwww.alosverdes.com/r vI
6/4/2012
MINUTES
CITY OF RANCHO PALOS VERDES
FINANCE ADVISORY COMMITTEE
MAY 23,2012
Chair Wang called the meeting to order at approxim~~~ly 7:19 p.m.at the
Community Room,30940 Hawthorne Boulevard,for t@~Ft>1Jrpose of conducting
business pursuant to the Agenda.
Roll call was answered as follows:
d Information Technology
provafz e agenda reordered to hear the Draft
fore otti'l,~r business to allow time for other
meetin Member Stillo seconded the motion.
usly by acclimation.
t of Palos Verdes Estates,spoke on behalf of the
Mr.Grellmann indicated that his group was urging
ey out of the banks that are "too big to fail."
Also present were Deputy Director
Downs and Senior Administrative An
.PRESENT:de la Rosa (arrived ~t 7:30p.m.),Ho,Ja\'1J7tes,Santa rosa
(arrived at 7:22p.m.)t·,·~nlo,Wang
ABSENT:O'Brien (excused)
APPROVAL OF AGENDA
Member James m
Five-Year Fina
Committee Merrl
The modified agen
Chair Wang and Member James explained that Member James made some
modifications to the draft memorandum to the City Council originally prepared by
the Banking Services Subcommittee (Members Ho and Santarosa).Chair Wang
indicated that he had reviewed Member James'modifications.Member James
offered a few additional changes to the modified draft memorandum that was
included in the agenda packet.
The Committee discussed the memorandum,asked questions of Staff,and made
additional edits to the draft memorandum.
FAC Minutes
May 23,2012
Page 1 of 3
Member Santarosa recused himself from voting on the modified memorandum,
indicating that he is an officer of a commercial bank.
Member de la Rosa motioned for approval of the modified memorandum.
Member James seconded the motion.The modified memorandum was
approved unanimously by acclimation,with Member Santarosa abstaining.
CITY'S RESERVE POLICY
The Reserve Policy Subcommittee (Members Stillo and
draft memorandum to the Committee.
The Committee discussed the memorandum,ask~~
additional edits to the draft memorandum.
Memb.er de la Rosa motioned for app~~~al of the
Member James seconded the motiom'.The
approved unanimously by acclimation.
Rosa)submitted a
s of Staff,and made
tion of changes to the
May 15,2012 budget
the Model,and asked questions of
sed at 7:39pm to hear the Banking
~;~n items.The Committee resumed its
Iy after····:OOpm.
the following recommendation to City Council.
s that the City Council:
James offered b arking information for the cost of legal services
cquired frome CI of Laguna Hills,Dana Point,Hermosa Beach,
Altos,and basas.
DRAFT FIVE-YEAR FINANCIA
Deputy Director Downs provide
Model based on direction from C
meeting.
The Committee
Staff.The disc
Services and City's
discussion of the Mod
1.Adopt a balanced budget for FY12-13.
2.Consider a reduction in the budgeted amount for legal services,as the
FAC has compared the amount of legal services and operating expenses
for a number of benchmark cities and found that the City of RPV had the
highest percentage of its budget allocated to legal services.
3.Consider a percentage reduction in the budgeted grants to non-profit
organizations for FY12-13,and elimination of such grants in future years.
This recommendation is based on the positions of other South Bay cities
that it is inappropriate to use taxpayer funds for these purposes.
FAC Minutes
May 23,2012
Page 2 of 3
4.Review the entire budget (not just the Menu items addressed at the
budget workshop)when considering expenditure reductions.
Chair Wang and Member de la Rosa indicated that they would attend the City
Council's budget meeting on June 5th .
Member Stillo motioned to approve the recommendation,and Member de la
Rosa seconded the motion.The motion was approved unanimously by
acclimation.
APPROVAL OF DRAFT MINUTES FOR THE MEETI
25,2012
ONDUCTED APRIL
Member Stillo motioned for approval of th1\m:jhutes,6tl~~./Member James
seconded.The minutes were approved unan,irmr0(Jsly by acclil1i(.~ipn.
ADJOURNMENT
Chair Wang ordered the meeting adjourned
Willie Wang,Chair,F'tCJnlee,l:\d\,isclryIGollltT1litte~e
ATTEST:
Imately 9:52 pm.
FAC Minutes
May 23,2012
Page 3 of 3
PUBLIC SAFETY ENHANCEMENTS FOR FY12·13
Attachment B
At Budget Workshop No.2 held on May 15th ,the City Council increased the
City's allocation of one Traffic Enforcement Deputy by 30%and added a Bicycle
Patrol on Western Avenue and Palos Verdes Drive South to the draft FY12-13
budget.These two additions are expected to increase the Sheriff's patrol by 965
hours in the coming fiscal year.In addition,the Lomita Station's Volunteers on
Patrol and Mounted Posse will provide a total of 1,920 hours of no-cost patrol
time in the City and Station personnel will undertake the following no-cost service
enhancements throughout the fiscal year:
1.Deputies attendance at homeowners association and other community
meetings to answer resident questions about Sheriff services and crime
prevention;
2.Hosting a crime prevention seminar series at Hesse Park covering such
topics as household crime prevention,"hardening the target,preventing
identity theft and how to organize a neighborhood crime prevention "Night
Out"event).RPV TV could also produce a show around this seminar
series that could be shown on local cable television and downloaded from
the City's website;
3.Offering "mini"crime prevention seminars at HOAs and other community
group meetings;
4.Sheriff information booth at City events,such as Whale of a Day and the
Fourth of July Celebration;
5."Kid Print"children fingerprinting services in conjunction with other
community events;and,
6.Showcasing a piece of specialized equipment or vehicles at local youth
sporting events,such as Little League or AYSO,in order to engage the
public,and especially children,in conversations about crime prevention.
7.Door hanger program with crime prevention tips and "do no disturb"
stickers for HOAs and property management companies to distribute to
residents.
The draft FY12-13 budget includes $2,500 for printing and other incidental
expenses associated with the programs listed above.This line item was
identified as "Public Safety Outreach to Residents and Businesses"in the FY12-
13 Hybrid Zero-Based BUdgeting Menu presented to City Council on May 15th .
(P.
From:Brian Campbell [b.camp@cox.net]
Sent:Friday,June 01,20123:04 PM
To:cc@rpv.com
Subject:FW:City Grants
I believe that we should all have a copy of this informational email from finance.
Brian
-----Original Message -----
From:Matt Waters
To:'mayna25@msn.com';'rmiller675@aol.com';'jfarber@hycinc.org';'blueeye@charter.net';
'jhessick@pvldfriends.org';anndshaw@gmail.com ;'nlmahr@verizon.net';'dciminera@cox.net';
'Iaurie@shawlwomenshouse.org';'janandjerald@cox.net';'jhamiltonlee@sbclinic.org';
'susan@sbchc.com';'renjon12@msn.com';'jgruessing@norriscenter.com';
'john.r.williams@mssb.com';'kathy@pvpef.org';'salandmar@cox.net'
Cc:Carolynn Petru;Matt Waters
Sent:Tuesday,May 29,20122:54 PM
Subject:City Grants
To All Current RPV Grant Recipients:
As you know,City grant requests were last considered in June 2011 as part of the
current two-year budget cycle:Fiscal Year 11-12 and Fiscal Year 12-13.Following the
usual procedures,organizations that received funds in FY 11-12 did not need to
reapply or submit additional materials for FY 12-13.All FY 11-12 grant recipients
typically receive the same amount in the proposed FY 12-13 budget.The FY 12-13
budget is a proposed budget and is subject to City Council review and possible
modification.
The Rancho Palos Verdes City Council discussed the upcoming Fiscal Year 2012-
2013 budget at a May 15,2012 City Council meeting.As part of budgetary
deliberations,the Council discussed City Grant funding. Several Council Members
discussed lowering the budgeted amount from the proposed $60,000 total (the same
total as FY 11-12)to $20,000.Several Council Members stated that the Council
should honor the two-year commitment,given that grant recipients were anticipating
and presumably budgeting for the same grant amounts and because grant recipients
had not been notified of any impending changes in the funding amounts.At the
conclusion of the discussion,Council did not direct staff to reduce the grant budget for
FY 12-13.While the budget is not final until adopted,the general sentiment was to
keep the $60,000 grant budget amount and not make any changes to the individual
grant allotments in FY 12-13.Barring any further direction from Council,FY 11-12
grant recipients would receive the same amount in FY 12-13.
The City Council will next review the FY 12-13 budget on Tuesday,June 5 and is
scheduled to approve the budget on Tuesday,June 19.Both meetings convene at
7:00 pm at Hesse Park (29301 Hawthorne Boulevard,Rancho Palos Verdes).While
no additional materials or submissions are necessary,grant recipients are welcome to
attend either meeting.
Please feel free to contact me with any questions or concerns.
Sincerely,
6/4/2012
Matt Waters
Senior Administrative Analyst
City of Rancho Palos Verdes
Finance and Information Technology
30940 Hawthorne Blvd.
Rancho Palos Verdes,CA 90275
www.palosverdes.com/rpv
mattw@rpv:com -(310)544-5218 P-(310)544-5291 f
Ji Do you really need to print this e-mail?
This e-mail message contains information belonging to the City of Rancho Palos Verdes,which may be privileged,confidential and/or protected from disclosure.The
information is intended only for use of the individual or entity named,Unauthorized dissemination,distribution,or copying is strictly prohibited,If you received this
email in error,or are not an intended recipient,please notify the sender immediately.Thank you for your assistance and cooperation,
6/4/2012
....----_._---------------------------------------_._-------"---
From:Laura Lull [lIull@sbchc.com]
Sent:Monday,June 04,2012 11 :00 AM
To:cc@rpv.com
Subject:Grants from City of Rancho Palos Verdes,Please Honor Them!
Dear City of Rancho Palos Verdes Council Members:
I am writing to strongly encourage the City of Rancho Palos Verdes to honor its commitment for the
second year of its community grants.
The South Bay Children's Health Center received a grant for $10,000 each year for two years to provide
counseling services to students in RPV schools.The entire $10,000 is,each year,spent on the residents
of your city.The money is not spent on administrative costs,overhead costs,or other operating costs
that our agency incurs.It is spent solely on providing highly educated and trained mental health
counselors to your schools to assist your students who need these services the most.
Additionally,as I am sure you are aware,our budget for the year is planned well in advance,and we
budgeted the second $iO,OOO to cover our services to the children and youth of your city and hired staff
based upon your commitment to our organization.
Please do the right thing for the young people in your city and honor your commitment to us for
$10,000 to provide another year of important counseling services to the children that attend your
schools.
Best wishes,
Laura
Lavro Lull
Director of Development
SBCHC
South Bay Children's Health Center
410 S.Camino Real
Redondo Beach,CA 90277
310-316-1212
lIull@sbchc.com
Visit us at www.sbchc.com
6/4/2012
Carolyn Lehr
From:
Sent:
To:
Subject:
Hi Carolyn,
Tina Harris [tina@sbchc.com]
Monday,June 04,2012 3:45 PM
Carolyn Lehr
FW:Rancho del Mar Counseling Program
First,thank you so much for taking time to speak to me and easing my concerns regarding the
FY2012-2013 funding from the City of Rancho Palos Verdes for our high school counseling programs
at Peninsula H.S.,Palos Verdes H.S.and Rancho Del Mar H.S.It means so much to me to know
that the City of Rancho Palos Verdes plans to continue this vital funding.
I have enclosed a letter/email (seebelow)thatRoseMaryHumphreY.Principal at Rancho Del Mar
sent this afternoon regarding the services SBCHC provide to her students.
Tina Harris
Executive Director
SBCHC
South Bay Children's Health Center
410 Camino Real
Redondo Beach,CA 90277
Office:(310)316-1212
Fax:(310)316-4411
tharris@sbchc.com
www.sbchc.com
This email transmission may contain Protected Health Information (PHI)or other information that is
privileged and confidential.It is intended only for the use of the authorized recipient of this
information is prohibited from disclosing the information to any other party.If you are not the
intended recipient,please be aware that the copying,dissemination,or distribution of this
communication is strictly prohibited.
If you have received this transmission in error,please notify the sender immediately and
confidentially destroy information that was sent.
-----Original Message-----
From:Rosemary Humphrey [mailto:humphrey@pvpusd.k12.ca.us]
Sent:Monday,June 04,2012 3:03 PM
To:tina@sbchc.com
Subject:Rancho del Mar Counseling Program
Dear Tina,
I just wanted to tell you how much the counseling program provided by the South Bay Children's
Health Center means to the students at Rancho del Mar High School.
Every Monday,the therapist provided by SBCHC met with individual and small groups of students,
providing guidance on a range of topics from substance abuse to suicide and depression.Her
intervention enabled many students to deal with issues in an appropriate manner,and to concentrate
on the positive and complete school.
1 10.
In addition,the therapist provided,three 8-week sessions of a Peer Mediation Class on Monday
afternoons for small groups of students who stayed after school to participate.Not only did these
students gain tremendous benefit from the sessions,each also also received 5 elective credits for
completing the 8 week session,enabling them to complete the elective requirements for a high
school diploma.
The wonderful support for our high school students,provided by SBCHC,is truly exemplary.
Many Thanks,
Rosemary Humphrey,principal
Rancho del Mar High School
Palos Verdes Peninsula Unified District<br _moz_editor_bogus_node="TRUE"/>
2
From:Carolyn Lehr [clehr@rpv.com]
Sent:Monday,June 04,20122:13 PM
To:cc@rpv.com
Subject:FW:FAC Minutes PDF for City Council
Importance:High
Attachments:20120523_FAC Minutes_Draft .pdf
Mr.Mayor and Council Members,
At the request of MPT Campbell,attached are DRAFT minutes from the May 23 rd FAC
meeting.There was no audio tape produced,but the draft minutes may be helpful as
background to the Council agenda items tomorrow on Reserve Policy and Five-Year
Model.
Carla,this should be considered late correspondence.
Thanks,
Carolyn
----------"---,------
From:Kathryn Downs
Sent:Monday,June 04,2012 12:16 PM
To:Carolyn Lehr
Subject:FAC Minutes PDF for City Council
Importance:High
Please send the attached PDF file to the City Council for the FAC's draft minutes from the May 23 rd
meeting.
Thanks,
Kathryn Downs
Deputy Director of Finance &Information Technology
(310)544-5216
h :llwww.alosverdes.com/r vI
6/4/2012 7
MINUTES
CITY OF RANCHO PALOS VERDES
FINANCE ADVISORY COMMITTEE
MAY 23,2012
Chair Wang called the meeting to order at approxima~$ly 7:19 p.m.at the
Community Room,30940 Hawthorne Boulevard,for thej:>urpose of conducting
business pursuant to the Agenda.
Roll call was answered as follows:
PRESENT:de la Rosa (arrived at 7:30p.m.),Ho,Jaimes,Santarosa
(arrived at 7:22p.m.),,~i'IIo,Wang
ABSENT:O'Brien (excused)
Also present were Deputy Director of Finalf~and Information Technology
Downs and Senior Administrative Anait~.Mills.
APPROVAL OF AGENDA
Member James m .ed fd'r)~pprovalii~~fhe agenda reordered to hear the Draft
Five-Year Fina Model before other business to allow time for other
Committee Members to joi9i~~'rrneeting.·.·••Member Stillo seconded the motion.
The modified agendawa~~rp!p!rove~,"'il7lanimously by acclimation.
BANK
PUbll~ur~e.mments
Hans <3:~~'I'lmann,resid~l0lt of Palos Verdes Estates,spoke on behalf of the
Occupy PVorganizatiof'l.Mr.Grellmann indicated that his group was urging
everyone to pull their IT'iJ!)ney out of the banks that are "too big to fail."
Chair Wang and Member James explained that Member James made some
modifications to the draft memorandum to the City Council originally prepared by
the Banking Services Subcommittee (Members Ho and Santarosa).Chair Wang
indicated that he had reviewed Member James'modifications.Member James
offered a few additional changes to the modified draft memorandum that was
included in the agenda packet.
The Committee discussed the memorandum,asked questions of Staff,and made
additional edits to the draft memorandum.
FAC Minutes
May 23,2012
Page 1 of 3
Member Santarosa recused himself from voting on the modified memorandum,
indicating that he is an officer of a commercial bank.
Member de la Rosa motioned for approval of the modified memorandum.
Member James seconded the motion.The modified memorandum was
approved unanimously by acclimation,with Member Santa rosa abstaining.
CITY'S RESERVE POLICY
The Reserve Policy Subcommittee (Members Stillo and d~Ja Rosa)submitted a
draft memorandum to the Committee.
The Committee discussed the memorandum,ask~d~tlesli~ns of Staff,and made
additional edits to the draft memorandum.
Memqer de la Rosa motioned for app·p4"V'aI of the modified
Member James seconded the motion.The modified mem'
approved unanimously by acclimation.
s that the City Council:
DRAFT FIVE-YEAR FINANCIA
tion of changes to the
May 15,2012 budget
arking information for the cost of legal services
C of Laguna Hills,Dana Point,Hermosa Beach,
basas.
the following recommendation to City Council.
James offeF~g b
cquired from
Altos,and
The Committee (if;i$icussed t
Staff.The discUS'~~ir of th .
Services and City'si~~.
discussion of the Mode:
Deputy Director Downs
Model based on r1i ...:>",+il"\'"
meeting.
3 6/Y
1.Adopt a balanced budget for FY12-13.
2.Consider a reduction in the budgeted amount for legal services,as the
FAC has compared the amount of legal services and operating expenses
for a number of benchmark cities and found that the City of RPV had the
highest percentage of its budget allocated to legal services.
3.Consider a percentage reduction in the budgeted grants to non-profit
organizations for FY12-13,and elimination of such grants in future years.
This recommendation is based on the positions of other South Bay cities
that it is inappropriate to use taxpayer funds for these purposes.
FAC Minutes
May 23,2012
Page 2 of 3
4.Review the entire budget (not just the Menu items addressed at the
budget workshop)when considering expenditure reductions.
Chair Wang and Member de la Rosa indicated that they would attend the City
Council's budget meeting on June 5th .
Member Stillo motioned to approve the recommendation,and Member de la
Rosa seconded the motion.The motion was approved unanimously by
acclimation.
APPROVAL OF DRAFT MINUTES FOR THE MEETINDiCONDUCTED APRIL
25,2012
Member Stillo motioned for approval of th~utes,~rncj Member James
seconded.The minutes were approved unanil:~usly by acclim~~j.pn.
ADJOURNMENT
Chair Wang ordered the meeting adjourned
Willie Wang,Chair,F
ATTEST:
aPlillroximately 9:52 pm.
FAC Minutes
May 23,2012
Page 3 of 3