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tv   [untitled]    December 16, 2011 10:30am-11:00am PST

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francisco port commission and valero refining company- california, granting valero refining exclusive authority to operate its side as a foreign trade zones subzone for a term of five years with three mutual options to extend for five years each. >> is there any public comment on the consent calendar items? any questions or comments? all in favor? resolutions 1173 and 1174 have been approved. >> thank you. 9a, request adoption of california environmental quality act findings and a mitigation monitoring and reporting program in connection with the authorization of construction contracts and associated approvals to implement the pier 27 james r. herman cruise terminal and ne were plaza located on the embarcadero at lombard street.
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request approval of a third amended memorandum of understanding with the san francisco from the public works to increase funding from the existing amount to a total amount not to exceed $7,778,267, which amounts to an increase of $3,894,603 for phase 1 project construction administration services and other services and to extend the term from march 30, 2012, to april 1, 2013. request approval to amend the architectural and engineering contract with the joint venture of kaplan, mclaughlin, diaz architects to include services for phase one of construction administration to increase the amount not to exceed $8,880,292, which consists of an increase of $777,389, and authorize the
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contingency funds of $285,000, approximately 3.2%, for the unforeseen design and related services and to extend the term from march 30, 2012, to april 1, 2013. request approval with turner construction company to increase the contract amount from $9,989,251 to an amount not to exceed $41,480,748, which consists of an increase of $31,491,497, and to staff to increase the contract amount by $3,927,676, approximately 9.5%, through a contract modification or a change order, if needed for unanticipated contingencies to
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fund the phase 1 project construction trade subcontractor packages, including shed demolition, and the design and build shoreside power relocation. >> so moved. >> directors? >> happy holidays, commissioners. i am deputy director maritime at the port of san francisco. i thought that was going to work, but i guess it does not. that is okay. there we go. this is a great day for the history of the port of san francisco, and it is great that it is in these chambers. what amy just read into the record are a lot of words and a lot of numbers, but what is before you today for your consideration are a series of items this passage will secure the port's rich maritime legacy
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and begins a new chapter for san francisco as a port city. the pier 27 cruise terminal is one of the largest maritime infrastructure programs that the port has ever undertaken. for nearly three decades, the port has look for ways to develop a new passenger terminal the fitting a city like san francisco. passenger ships are getting bigger, and our current facilities are being taxed by today's passenger volumes. while past efforts were earnest, circumstances dictated that the past plans for cruise terminal developments never came to fruition. court staff, understanding the economic benefits -- port staff knew of another strategy would be needed if we were going to be successful. it is estimated that the industry brings in annually
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about $40 million of economic benefits to the region. the average contribution economically to the region is about $1 million. it also directly benefits our other maritime industries, such as longshore, a hug and tell, our pilots, and ship suppliers. the cruise industry is also vital to the ship repair sector, where with the 2008 dry dock expansion, san francisco is now capable of repairing the largest cruise ships that flow. this coming january 7, the clerical spirit will be dry docking for a two-week repair job, generating thousands of man hours of work for a local trades union. in 2007, understanding the importance of this industry, the mayor formed a cruise terminal advisory panel to look at the need for a new terminal, and recommended to the port that
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they develop a single bird primary cruise terminal to meet all the industry standards. these recommendations were accepted by the port commission, who in turn directed staff to implement this initiative. the port entered into an mou to implement the project here in november 2009, the commission authorize staff to execute a design contract in association with cruise terminal design consultant. we commenced our efforts, mind you, well after the possibility of hosting the america's cup was known, but the america's cup provided a tremendous opportunity to kick off a new
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cruise terminal plan, the creative thinking, we have crafted together an innovative plan that allows the port with your approval today to commence demolition of pier 27. in 2013, the facilities will be used by america's cup and serve as america's cup village for the races. after the races are finished, the second phase of the project will take place, with your approval. the facility will begin serving as the james r. herman cruise terminal. it would be shortsighted to cause this just a cruise terminal, but -- to call this justice chris terminal. a major part of the second phase of the project is the completion of the northeast were flaws of that will provide a 2.5-acre open space at the western end of pier 27.
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pursuant to the planning policies and objectives of the port and conservation development commission's plans, it is being designed to serve as a major waterfront park resource to support recreational enjoyment and expansive public views of the day. the ne war plaza -- the northeast wharf plaza, and we ought to come up with a better name for it. the third major benefit of the project is that the terminal, when not being used for cruise operations will provide a new waterfront event meeting space for our important visitor industry. our analysis and discussions with san francisco travel indicate that this meeting space has the potential to become a very popular special event of a new, able to generate real income for the port. the new cruise terminal is to be named in honor of james r.
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herman, former port commissioner. i'm sure he would be thrilled with the budget investment in maritime infrastructure in at least 50 years. jimmy was elected to serve as the ilwu international president, succeeding union founding father harry bridges. these are big shoes to fill, but fill them he did. his fierce commitment to the ordinary people did the work of the world is outspoken contempt for those who exploded them. his compassion for the underprivileged is absolute refusal to tolerate injustice with audience to anyone in range of his exceptionally persuasive voice. jimmy served as president of the
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ilw for 14 years and as a member of the san francisco port commission. i have to tell you, you have not lived unless you have stood at a podium and had jimmy staring down at you with those thick glasses, poised to ask a question. he was fiercely protective of the port's maritime mission. naming a terminal after him should be a constant reminder to our maritime routes. this is truly a momentous occasion for the port in the city. having personally worked on the last three or four crew some plans, i had a real sense of pride of bringing this for consideration. i want to thank our crews from the steering committee, our environment committee, our maritime commerce advisory committee, our cruise line partners, organized labor, and scores of people who were involved in bringing the project to you today. i also want to thank our internal team. it has been a difficult process
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, and we feel very excited about where we are right now. specifically, i'm going to forget somebody -- i feel like i am getting an oscar, but i cannot help myself. our expanding development team. john, who has been working on a cruise terminal project from the first day he came to the port. our design group, -- design g uru, dan. kim will come up and speak to you later. john has been instrumental but finding out how the ships are going to work. our real estate division are the unsung heroes of the project, generating revenue to help us pay for this beautiful infrastructure program. specifically, susan reynolds, all the property managers. of course, elaine forbes and the
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finance division who are printing money for this project. lastly, i wanted to thank the port's executive director for her vision, her understanding and appreciation of the port's role in the fabric of the city. she get a firm hand on the wheel even in stormy weather and with your vote today, we will bring this project in safely. with that, i'm going to introduce diane, who is going to talk about ceqa. after diane, kim will talk about how the construction is going to take place and when. >> good morning. i am with the waterfront planning unit within the planning and development division. i do not have any slides, unfortunately, but i do have to
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provide for you just a brief presentation on the environmental impacts report that was certified last night by the planning commission. on that basis, we have prepared in your pack it findings about the information in the ceqa documents. the purpose for you, as the decision makers for this project, is to summarize the information in the eir that is relevant to the project before you for approval. to identify what that project is, what its impact are on the environment, the mitigation measures that are required as part of the approval of this project, and a consideration of the alternatives that were
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analyzed, and explanation of the reasons for rejecting those alternatives in favor of the project that is before you today, and then a final statement of overriding consideration. there are some significant impact that were left over even after the mitigation measures that the commission left, to explain what the benefits of the project are that are the basis of that override. the project itself has come along a very long journey. there have been refinements along the way, even since the draft eir was published. thus, in the draft -- excuse me, in the comments and responses, there were some refinements made to the cruise terminal project such that we call it the cruise terminal project variants. specifically, the changes that
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were made were some design refinements in the northeast war was the design itself, and for the cruise terminal component of the project, we made some changes to the provisioning area so that a portion of that area that is adjacent to the end of the pier 29 shed would be left open for public access during non-cruise days. the original project had that and higher to close off. thus, we call it the project variant. you will find references to that in the ceqa project before you. there are a number of changes beyond those in terms of mitigation measures. there are a set of new, much more robust air quality mitigation measures, which i
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think of the most significant for this project and for the america's cup project as well, to reduce emissions substantially during the construction and to offset the downtime of the pier 27 shoreside power facility. we will be discussing it also in the america's cup context, but in particular, the navigation measure that calls for the implementation of new shoreside power facility will actually generate a net benefit to the regional air base, and that offsets the down time for our cruise ships that come during the time that the shoreside power is down and during the time of america's cup. that said, there are still some significant unavoidable environmental effects that are disclosed in the final eir,
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which are also included in the ceqa findings. they are cumulative traffic impact at five different intersections along the embarcadero to which the cruise terminal project would contribute. there are also project and cumulative transit impact on the f line for the additional number of passengers we expect to attract. there are cumulative noise impacts, so the mitigation measures that are in your packet now address those impacts to the extent feasible, but there are still some residual impact that are left over. the mitigation measures themselves are also packaged in mitigation monitoring and reporting program. that is the tabular document also included within your package. it specifically itemizes each of the mitigation measures as they were presented in the final eir
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and recites when they would be implemented and by what party. it is basically us and our contractors. finally, the final eir does look at two alternatives. studies them. the no-project alternative, which is required, and the other alternative was the renovation of the existing pier 27 shed. your findings include the reasons for rejecting those alternatives in favor of the project. we have resolution 75 before you for the approval of the ceqa findings that will be the basis for then being able to consider the subsequent resolutions for the project approval. if you have any questions, happy to answer them. i'm happy to introduce the project director to bring it to the construction details. thanks very much.
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>> good morning, commissioners. i am the port project director. i will put the nuts and bolts in to make sure we can get into phase one construction. it is with great appreciation of the waterfront stakeholders that staff request commission approval of the following three additional matters in addition to what diane just presented. the funding and schedule extensions for department of public works, funding and schedule extension for our design team, and funding increase for our phase one construction scope. the class, including the design of the phase two facilities, is estimated to be about $62 million and will be funded by a combination of the waterfront condominium sales proceeds, previously issued to our revenue bonds, future debt, the city contribution, and other sources
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as noted in memorandum. supports -- in addition to die and as a request, said the request is to fund and extend the term of the san francisco department of public works, which has been providing architectural mechanical engineering design as well as overall project management support services. " staff requests approval of the third amendment -- port staff requests approval of the third amendment to increase the funding from the existing amount of $3,883,664 to a total amount not to exceed $7,778,267 for phase one construction management service to extend the term until april 2013. our next request is to fund and extend the term of the agreement for design consultant team. the team is a joint venture of
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kaplan, mclaughlin, diaz architects. they are in the process of completing the second phase design, which should be done in march of next year. the goal for the design team under contract is 15%, but i'm pleased to announce the team has achieved a 44% lbe participation rate. staff request approval of a contract amendment with a design team to include services for phase one construction administration, to increase the amount of the contract from $8,110,903, to an amount not to exceed $8,888,292, and to extend the term to april 1, 2013. furthermore, authorize a contingency fund of $285,000 for any unforeseen design and related services. finally, staff request to increase the funding for the
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remaining scope of phase one construction for turner construction company or our construction merrill general contractor. for turner subcontractor trade packages, the local hire for dissipation has been set at 20%, with a goal of not less than 10% of project work hours to be performed by disadvantaged workers. the local business enterprise goal for this work is 17% of the total value of the contract, except for work funded by federal emergency management agency, also known as fema. we have a $10 million grant for the project with fema for security work. the work under this grant must be procured under federal guidelines, which are somewhat different from city guidelines. in any case, the scopes of work will have a disadvantaged business enterprise goal of 25%. staff requests approval of an
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amendment for the construction manager general contractor contract to increase the contract amount from $9,989,251 to $41,000,740, and to authorize staff to further increase the contract amount by 3,000,927 $676 for a contract modification or change or if needed for unanticipated contingencies. i would like to add that our bid for our steel for our project are due this afternoon, and we are anxious to see how they go. this concludes our presentation. i would be happy to answer any questions you may have. commissioner brandon: thank you. we have a motion and a second on the floor, so i will go into public comment. >> thank you. good morning, commissioners. good morning, president brandon.
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i want to emphasize that i'm so happy that we are nearing the beginning of construction on the james r. herman cruise terminal. i was a member of the commerce advisory committee and a member of the cruise terminal advisory committee, and i have been waiting a long time. this is great. this will allow san francisco to showcase and interest to this wonderful city with this beautiful cruise terminal. staff has done a tremendous amount of work. this is the fourth time around for the cruise terminal. very hopeful that we can get it completed. thank you. commissioner brandon: thank you. >> good morning.
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i am with bay delta maritime, a tugboat company. i am speaking just to support the yes vote for the terminal. we have been a company here for about 30 years, supporting the rich maritime history that the day has, and i think the world class terminal will really represent the work itself well -- represent the port itself well. cruising is becoming more and more and avenue of tourism as it grows, and i think our city has always enjoyed a lot of revenue from tourism and a lot of respect around the world as people have come to visit our city. the terminal we have now does not reflect what is san francisco, to be honest. as people see and come through that gateway, and improve terminal, i think, would go a long way to facilitate that. for us, for a smaller company, we employ 30 people, roughly.
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all bay area citizens. more ships coming into the bay certainly helps us. that is really all i had to say. thanks. commissioner brandon: thank you. >> good morning. thank you for the opportunity to address this assembly. i am the business development director. our general manager would like to be here addressing you, but right now, he is hosting about 300 of our employees at our annual christmas party, along with his family. after this, i am going to sneak back to that. i also understand that with the current volume of ships that call on san francisco, that actually employs about 300 full- time people as well, not counting all the ancillary taurus -- tourists.
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i believe the new terminal will definitely bring more jobs, more ships, and more opportunity for us here in san francisco. so we wholeheartedly support the construction of the new terminal. as a business development manager, i am always in front of these cruise ship operators, touting the benefits of san francisco, and we have been investing in our yard peer through that investment, as peter said, we have the capability to lift some of the largest cruise ships that call on the west coast here. the carnival splendor, which caught on fire down in san diego earlier this year -- if we had not done those upgrades with the port, the ship could not have been repaired here on the west coast. with these upgrades, the rigid for 2012, we have three ships book. as peter said, the carnival will
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be coming next month. not for 14 days. only 411, but we still have 35,000 man hours to complete in that time. the splendor carries 3000 passengers. the current terminal cannot handle the -- that. the current terminal -- we are at a disadvantage to san diego. we are at a disadvantage to l.a. and seattle. we all know that more ships will bring more jobs, more dollars, and on behalf of bae, we support the crucible. excuse me while i head off to our party. -- we support the cruise terminal. excuse me while i had often our party. commissioner brandon: thank you. >> business director.
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the captain would be here today, but he is doing some reserve duty with the navy. i just want to take a few minutes to say how much we support this project. the san francisco pilots have been in existence here since 1850. i appreciated the comprehensive history that peter shared with us, how long this has been coming down the pike. i guess this is the last lap. let's put this through. it was nice to see the team that has been behind this. we want to abolish the hard work that monique and all the people have done. we support this -- we want to acknowledge the hard work that monique and all her people have done. >> good morning, commissioners. jim lazarus, san francisco chamber of commerce, related by marriage to one of your commissioners for full commissioners for full disclosure.


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