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RESOLUTION NO. 2013---- <br />A RESOLUTION OF THE CITY COUNCIL FINDING IN SUPPORT OF <br />THE NECESSITY OF PROMPT LOCAL, STATE, AND FEDERAL <br />ACTION TO BEST PRESERVE THE HEALTH, WELFARE, AND <br />SAFETY OF THE CITIZENS AND PROPERTY OWNERS OF THE <br />CITY OF RANCHO PALOS VERDES STEMMING FROM THE <br />OPERATIONS OF RANCHO LPG HOLDINGS, LTD. OF THE TWO <br />12.5 MILLION GALLON ABOVE-GROUND STORAGE TANKS IT <br />MAINTAINS AT ITS FACILITY ON 2110 GAFFEY STREET, SAN <br />PEDRO, CALIFORNIA <br />WHEREAS, there is currently maintained by Rancho LPG Holdings, Ltd. a <br />tank farm facility located at 2110 North Gaffey Street, in San Pedro, California on <br />which there exists two above-ground tanks which hold 12.5 Million gallons of butane <br />per tank (Total: 25 million gallons); and <br />WHEREAS, in October, 2011, the City of Rancho Palos Verdes had <br />requested Rancho LPG Holdings, Ltd. to provide it with a copy of its insurance <br />coverage demonstrating that Rancho LPG Holdings, Ltd. could financially respond to <br />any damages incurred to the citizens and property owners as a result of Rancho's <br />operations at the Gaffey Street facility; and <br />WHEREAS, representatives of Rancho LPG Holdings, Ltd. promised to <br />submit to the RPV City Attorney a copy of all insurance policies it possessed <br />reflective of the insurance coverage it had in force to support its operations at the <br />Gaffey Street facility, and most particularly, the coverage available for the benefit of <br />the citizens and property owners of the City of Rancho Palos Verdes should an <br />accident occur resulting in harm to property, or harm or death to individuals should <br />an explosion occur at the facility; and <br />WHEREAS, Rancho LPG Holdings, Ltd. later reneged on its promise by <br />way of a letter dated January 29, 2013; and <br />WHEREAS, Rancho LPG Holdings, Ltd. was cited by the EPA in March, <br />2013, for the following six violations: <br />1. Failing to include in the rail storage area of the site in its Risk <br />Management Plan; <br />2. Failing to adequately evaluate seismic impacts upon the facility's <br />emergency flare; <br />3. Failing to address the consequences of a loss of City water for fure <br />suppression during an earthquake; <br />4. Failing to timely conduct a timely internal inspection of Tank 1 (storing <br />12.5 Million gallons of butane); <br />5. Failing to develop an emergency response plan to protect t e <br />health, welfare, or safety; and <br />- 1 - <br />RECEIVED FROM COAD AT TH E <br />AND MADE A PART OF T ~ 1. f '1 . df>J.3_ <br />COUNCIL MEETING OF 0. <br />OFFICE OF THE CITY CLERK <br />CARLA MORREALE, CITY CLERK