Port of LA

3. RESOLUTION NO. ____________ - APPROVAL OF THE FOURTH\nAMENDMENT TO GRANT AGREEMENT NO.17-3532 (CEC NO. ARV-16-026)\nWITH THE CALIFORNIA ENERGY COMMISSION FOR THE EVERPORT\nADVANCED CARGO HANDLING DEMONSTRATION PROJECT\nSummary: Staff requests approval of the proposed Fourth Amendment to California\nEnergy Commission (CEC) Grant Agreement No. 17-3532 (Agreement) for the Port of\nLos Angeles’ Everport Advanced Cargo Handling Demonstration Project (Project). The\nproposed Fourth Amendment will modify the project schedule and extend the term of the\nAgreement until October 31, 2023. The update to the project schedule and extension to\nthe term of the Agreement are due to COVID-19 and supply chain-related delays in the\nproject timeline. Additionally, the proposed Fourth Amendment will add special terms and\nconditions related to completion of tasks outlined in the scope of work, submission of final\nreport, deadline for grant reimbursement, and payment of liquidated damages if schedule\nrequirements are not met. All other terms and conditions of the Agreement will remain the\nsame. The City of Los Angeles Harbor Department (Harbor Department) has fulfilled its\ncost share responsibility under the grant by completing the electrical infrastructure\ndevelopment at Berths 226-236 in March 2022. Approval of the proposed Amendment\nwould obligate the Harbor Department to pay $452,400 in liquidated damages in the event\nthat the scope of work is not completed by October 31, 2023. The CEC has asked for the\nliquidated damages provision because they are agreeing to a schedule extension that will\nresult in a project completion date that is after the CEC’s final funding disbursement\ndeadline.\nRecommendation: Board resolve to (1) find that the Director of Environmental\nManagement has determined that the proposed action is administratively and\ncategorically exempt from the requirements of the California Environmental Quality Act\n(CEQA) under Article II Section 2(f) and Article III Class 6(2) of the Los Angeles City\nCEQA Guidelines; (2) approve the proposed Fourth Amendment to Agreement No. 17-\n3532 between the City of Los Angeles Harbor Department and the California Energy\nCommission for the Port of Los Angeles’ Everport Advanced Cargo Handling\nDemonstration Project; (3); authorize the Executive Director to execute and the Board\nSecretary to attest to said amendment for and on behalf of the Board; and (4) adopt\nResolution No.____________.\nEnvironmental Management