BOARD OF PORT COMMISSIONERS
REGULAR MEETING
WEDNESDAY – July 25, 2007
MINUTES
I. CALL TO ORDER
8:00 A.M. - Secretary Larry R. Aikins, presiding
Commissioners Present: John J. Castle and Ralph A. Garcia, Jr.
Commissioners Absent: Vice Chairman Richard A. Dodge, Chairman Lewis D. Miller
Staff Present: Executive Director Michael J. Giari; Special Counsel to Port, Francois X. Sorba; Director of Finance & Administration, Cynthia D. Hampton; Manager of Economic Development, Steven Wright; Manager of Operations, Donald K. Snaman; Assistant Manager of Operations, Eric Napralla; Executive Assistant, Rita F. Artist
Commissioner Castle led the Pledge of Allegiance.
II. APPROVAL OF MINUTES
Due to a lack of quorum of Commissioners present at the June 27, 2007 meeting, Secretary Aikins deferred approval of the minutes for that meeting to the next Port Commission meeting.
III. CLAIMS
A Motion to Approve Claims was made by Commissioner Garcia and it was seconded by Commissioner Castle. The motion passed by a unanimous voice vote of all Commissioners present. Commissioners Dodge and Miller were absent.
IV. ORDINANCE
A. ORDINANCE OF THE BOARD OF PORT COMMISSIONERS OF THE CITY OF REDWOOD CITY APPROVING AND AUTHORIZING EXECUTION OF LEASE AGREEMENT WITH HANSON AGGREGATES – 2nd Reading – Public Hearing Continued from June 13, 2007
Click here to view the staff agenda sheet and documents for this item
Executive Director Giari explained that this Ordinance was introduced at the Port Commission meeting of May 23, 2007. At that meeting, the Commissioners requested the lease be changed to require Hanson to provide a Performance Bond for the removal of improvements and the remediation of soil/ground water contamination when the lease expires or is terminated. That change has been made and according to the new provisions in the lease documents Hanson will provide a performance bond in the amount of $400,000, which will expire one year after the expiration of the lease. Giari further explained the conditions of the Faithful Performance Bond, Exhibit C, attached to the lease agreement in today’s documents for this agenda item.
Another change to the lease agreement that was made since its introduction allows Hanson a 30-day period after approval of the lease by the Port Commission to obtain and provide proof of pollution liability insurance coverage. The effective date of the lease was changed from May 1, 2007 to July 1, 2007.
There have been no public comments on the Ordinance since the Public Hearing was opened. The Public Hearing was opened and has remained open since the June 13, 2007 Port Commission meeting. The Ordinance was published in the newspaper on July 19, 2007.
Commissioner Aikins asked for comments from the audience. No comments were made and a Motion to Close the Public Hearing was made by Commissioner Castle. It was seconded by Commissioner Garcia. The motion passed by a unanimous roll call vote of all Commissioners present. Commissioners Dodge and Miller were absent.
Commissioner Castle asked who the obligee is under the Faithful Performance Bond. Special Counsel to Port, Francois X. Sorba, explained that we have not been provided as yet with the name of the insurer. Upon receipt of the name, we will check to make sure that they are admitted in California, etc. Castle then asked if the provisions called for an A-rating for a California company. Sorba stated that there is a requirement that they have a financial rating of A-:V or better.
Castle questioned that if there should be any pollution prior to the issuance of an insurance policy, how would the Port recover damages from Hanson? Sorba explained that the Port would check the policies that Hanson had in effect at that time. Castle also asked if the Port’s insurance carrier had given staff any directions on these coverages or bonds. Cynthia Hampton said that, to the best of her knowledge, they had not been consulted.
Commissioner Aikins inquired about the likelihood that Hanson could get pollution liability insurance without the environmental assessment. Sorba said the insurance company might want to do their own investigation before placing the insurance. Aikins commented that the environmental assessment called for is a Phase 1 and asked if that was adequate. Giari explained that the Port and Hanson will make that determination when they see the document. If the Port determines that the information in the environmental assessment is not sufficient, there is a provision in the agreement for a further study to be done, the cost of which would be split between the Port and Hanson.
Commissioner Castle asked if it would not be advisable to start a Phase 2 environmental assessment now. Giari responded that with a Performance Bond, pollution liability insurance, and the knowledge that we have of the history of the site, the environmental assessment is not needed immediately. Giari explained that there is evidence of hydrocarbon contamination close to the Hanson Aggregate site. The oil company who was the source of the pollution is monitoring it and preparing a clean up plan to present to the County. Legally, Hanson is responsible for the clean up of any pollution or contamination caused by Hanson. They are not responsible to clean up other companies’ pollution.
A Motion to Adopt the Ordinance and Waive the Reading Thereof was made by Commissioner Castle. It was seconded by Commissioner Garcia. The motion passed by a unanimous roll call vote of all Commissioners present. Commissioners Dodge and Miller were absent.
V. RESOLUTION
A. RESOLUTION ACKNOWLEDGING CITY OF REDWOOD CITY PROCLAIMING JULY 16-22 PORT OF REDWOOD CITY WEEK AND APPROVAL THEREOF
Click here to view the documents for this item
Executive Director Giari commented that he and Commissioners Aikins and Garcia were at the City Council meeting on July 23rd, at which the Council approved a proclamation recognizing the Port’s 70th Anniversary and recognizing July 16-22 as Port of Redwood City Week. They also acknowledged the Port’s 70th Anniversary Waterfront Celebration that was held last weekend.
Commissioner Aikins commented that the Port staff, Duane Sandul, Rita Artist, and Margaret Astesano should be applauded for their efforts and contributions to the weekend festivities.
A Motion to Adopt was made by Commissioner Garcia. It was seconded by Commissioner Castle. The motion passed by a unanimous roll call vote of all Commissioners present. Commissioners Dodge and Miller were absent.
VI. PUBLIC COMMENT
Loriana Kastrop, 28 Meadow Lane, Redwood City, thanked the Port for the Anniversary Celebration, saying that she had attended it on Saturday. She visited booths set up by Port tenants, as well as taking tours of the S.S. Jeremiah O’Brien and the Virginia City railcars and said that she would like to see more of this type of activity in the future, such as an annual Port festival. Ms. Kastrop offered to help with such an event in the future.
Commissioner Garcia commented that some people had said they had not known the public lawn/access area was at the Port and suggested that benches and bar-b-ques be installed for public use. Giari said that the Port has a brochure that is available to the public about public access areas at the Port but that we need to continue to get the word out to people about what is available at the Port.
VII. MATTERS OF BOARD INTEREST
Commissioner Castle commented that this is his last meeting after serving as a Port Commissioner for 20-years and thanked the staff, saying that it has been a pleasure working with them. Castle said staff does a terrific job and deserves credit for the growth and prosperity of the Port. At this time, Commissioner Castle read from a prepared statement.
Click here to view Commissioner Castle's Statement
Secretary Larry Aikins, on behalf of the Port Commission, the staff, and the City of Redwood City, said that Jack Castle is owed a huge “Thank You” and debt of gratitude for so many years of public service.
VIII. EXECUTIVE DIRECTOR'S REPORT
Executive Director Giari agreed with all of the previous comments regarding the Port’s 70th Anniversary Festival. He expressed appreciation for all of the time and effort that staff put into the event, saying that it was very successful and reflected well on the Port.
IX. ADJOURNMENT
At 8:40 a.m. Secretary Aikins requested that the Commission adjourn to its next regularly scheduled Meeting of August 8, 2007
A Motion to Adjourn was made by Commissioner Garcia and it was seconded by Commissioner Castle. The motion passed by a unanimous voice vote of all Commissioners present. Commissioners Dodge and Miller were absent.
City of Redwood City | Tide Chart | Contact Us |