Port of LA

2. RESOLUTION NO. ____________ - APPROVE ORDER RESETTING COMPENSATION\nUNDER PERMIT NO. 306 WITH ULTRAMAR INC. (VALERO)\nSummary: Staff requests approval of the Order resetting compensation under Permit No. 306 with\nUltramar Inc., a wholly owned subsidiary of Valero Energy Corporation, (collectively referred to as\nValero), which is currently on month-to-month holdover status. The proposed compensation reset\nis for the five-year period commencing February 1, 2024, for the use of Berths 163-164 in\nWilmington, as a marine oil terminal. Under the proposed action, Valero’s minimum annual land\nrent will increase by $393,730, or 20.29 percent, from $1,940,351 to $2,334,081 effective February\n1, 2024. In addition to the annual minimum land rent, Valero will continue to be financially\nresponsible for payment of all tolls and charges pursuant to Port of Los Angeles Tariff No. 4. The\napplicable five-year compensation reset was due on February 1, 2024; consequently, Valero has\nagreed and will be assessed the compensation reset retroactively to February 1, 2024.\nRecommendation: Board to resolve (1) find that the Director of Environmental Management has\ndetermined that the proposed action is administratively exempt from the requirements of the\nCalifornia Environmental Quality Act (CEQA) under Article II Section 2(f) of the Los Angeles City\nCEQA Guidelines; (2) approve the Order resetting compensation under Permit No. 306 with\nUltramar Inc.; (3) authorize the Board Secretary to attest to the Order resetting compensation under\nPermit No. 306; and (4) adopt Resolution No. ____________ and Order No. ____________.\nWaterfront & Commercial Real Estate