HomeMy WebLinkAboutMinutes Port Of Corpus Christi Authority Of Nueces County, Tx - 03/28/2019 OFFICIAL MINUTES OF PORT COMMISSION MEETING
March 28, 2019
The Port Commissioners of the Port of Corpus Christi Authority convened at the
Solomon P. Ortiz International Center, 402 Harbor Drive, Corpus Christi, Texas, on
Thursday, March 28, 2019 at 1:00 p.m., for the special called meeting of the Port
Commission.
Present: Mr. Charles Zahn
Mr. Richard Valls
Mr. Richard L. Bowers
Mr. Wayne Squires
Ms. Catherine Hilliard
Absent: Mr. David P. Engel
Mr. Wes Hoskins
Present: Mr. Sean Strawbridge
Mr. Dennis DeVries
Mr. Omar Garcia
Mr. Jarl Pedersen
Mr. Clark Robertson
Mr. Kent Britton
Ms. Rosie Collin
Mr. Sam Esquivel
Mr. Tyler Fuhrken
Ms. Sarah Garza
Chief Eric Giannamore
Mr. David Krams
Mr. Tom Mylett
Mr. Jeff Pollack
Ms. Lynn Angerstein
Mr. Bland Chamberlain
Ms. Sherry DuBois
Mr. Bennie Benavides
Ms. Tana Neighbors
Others Present: Mr. Leo J. Welder, Jr.
Mr. Dane Bruun
Others Present: Mr. & Mrs. John Thompson
Mr. Charles Stovall
Mr. Scott Holt
Mr. Mark Grosse
Ms. Kimberly Smith
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Ms. Carol Loeb
Mr. Charles Plunkett
Ms. Jo Krueber
Ms. Lorna Reilly
Ms. Luke Dailey
Mr. John Morris
Ms. Cameron Pratt
Mr. Ric Pratt
Mr. Dwight Burdick
Ms. Cathy Fulton
Mr. Marty Vera
Ms. Priscilla Vera
Mr. Michael Amos
Ms. Sylvia Compos
Mr. William Shannon
Port Aransas Residents
Mr. Rod Pullen
Howard Energy
Mr. Kevin Gibson
Mr. Tim McCallum
Mr. Jonathon Thielemann
Signet Maritime
Mr. Joelle Francois
AECOM
Capt. Kevin Monaco
Capt. Bobby Grumbles
Capt. Rick Casas
Capt. Stephen Conway
Capt. Mike Kershaw
Aransas/CC Pilots Assn.
Mr. Ferris Hussain
The Carlyle Group
Mr. Jerry Ashcroft
Lone Star Ports
1. Meeting called to order.
2. Safety briefing presented.
3. Pledge of Allegiance recited.
4. Invocation given.
5. Conflict of Interest Affidavits: None were submitted.
6. Open Session Agenda:
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6a. Lease Agreement with Lone Star Ports, LLC: Staff recommended
approval of a Lease Agreement for up to 50 years with Lone Star Ports, LLC (a
joint venture involving The Carlyle Group and Berry Lone Star Ports, LLC) for land
on Harbor Island related to marine terminal and associated facilities. After staff's
presentation, Mr. Bowers moved the adoption of the following Resolution and Mr.
Squires seconded the motion:
RESOLUTION APPROVING A LEASE AGREEMENT BETWEEN
THE PORT OF CORPUS CHRISTI AUTHORITY, AS LANDLORD,
AND LONE STAR PORTS LLC, AS LESSEE, FOR 200 ACRES OF LAND
ON HARBOR ISLAND TO BE USED AS A CRUDE OIL EXPORT TERMINAL
WHEREAS, a lease agreement for up to fifty (50) years between the Port
of Corpus Christi Authority of Nueces County, Texas ("PCCA"), as lessor, and Lone
Star Ports, LLC ("Lone Star Ports"), as lessee (the "Lease Agreement'), has
been presented to PCCA's Port Commission ("Port Commission") for
consideration and approval at this meeting; and
WHEREAS, under the terms of the Lease Agreement, PCCA will lease 200
acres of its land on Harbor Island to Lone Star Ports (the "Leased Premises") for
the development of a crude oil export terminal thereon; and
WHEREAS, Sections 60.101, 60.120 and 62.107 of the Texas Water Code
authorize PCCA to make long-term leases of its land in connection with and for the
purpose of the industrial and business development of PCCA's property and
waterways and in aid of navigation related commerce in PCCA's ports and on its
waterways, and the operation and industrial and business development of ports
and waterways are a public purpose and a matter of public necessity; and
WHEREAS, the Port Commission, acting on behalf of PCCA, wishes to
lease the Leased Premises to Lone Star Ports on a long-term basis in connection
with the industrial and business development of PCCA's property and waterways
and for the purposes and in the manner more particularly described in the Lease
Agreement; and
WHEREAS, the Port Commission desires to adopt this Resolution to
evidence it approval of the Lease Agreement;
NOW, THEREFORE, BE IT RESOLVED BY THE PORT COMMISSION
THAT
Section 1. The findings and determinations contained in the recitals to this
Resolution are hereby found and determined to be true and correct, and the
findings, determinations and definitions contained in the recitals are incorporated
herein for all purposes.
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Section 2: The Port Commission hereby approves the Lease Agreement in
substantially the form presented to this meeting.
Section 3: PCCA's Chief Executive Officer is hereby authorized and
directed, for and on behalf of PCCA, to execute the Lease Agreement in
substantially the form presented to this meeting, with such changes therein as he
shall approve, his execution thereof to constitute conclusive evidence of such
approval.
Section 4. The Chief Executive Officer is hereby authorized and directed,
for and on behalf of PCCA, to approve, accept and execute, if necessary, the
Carlyle Guarantee described in Section 3.9(a) of the Lease Agreement, the
updated Exhibits described in Section 19.16 of the Lease Agreement, and any
other documents or agreement to be delivered to PCCA pursuant to the terms of
the Lease Agreement.
Section 5. The Chief Executive Officer is hereby authorized and directed,
for and on behalf of PCCA, to execute, attest, seal, and deliver any and all
additional certificates, documents, or other papers and to do any and all things he
deems necessary or prudent to carry out the intent and purposes of this Resolution
and the Lease Agreement.
Chairman Zahn called for Public Comments on this agenda item. The
following persons spoke in opposition to the Lease Agreement with Lone Star
Ports:
Mr. Charles Plunkett
Ms. Jo Krueber
Ms. Lorna Reilly
Ms. Carol Loeb
Ms. Luke Dailey
Mr. John Morris
Ms. Cameron Pratt
Mr. Ric Pratt
Mr. Barney Farley
Mr. Scott Holt
Mr. Dwight Burdick
Mr. Mark Grosse
Ms. Cathy Fulton
Ms. Kimberly Smith
Mr. Marty Vela
Ms. Ila Vera
Mr. Andrew Reichert
Mr. Michael Amos
Ms. Sylvia Compos
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Mr. Charlie Stovall
Mr. John Thompson
Mr. William Shannon
The following persons spoke in favor of the Lease Agreement:
Capt. Mike Kershaw
Capt. Kevin Monaco
Capt. Bobby Grumbles
Mr. Ferris Hussain
Mr. Jerry Ashcroft
Action: The members of the Commission present at the meeting
unanimously adopted the foregoing:
RESOLUTION APPROVING A LEASE AGREEMENT BETWEEN
THE PORT OF CORPUS CHRISTI AUTHORITY, AS LANDLORD,
AND LONE STAR PORTS LLC, AS LESSEE, FOR 200 ACRES OF LAND
ON HARBOR ISLAND TO BE USED AS A CRUDE OIL EXPORT TERMINAL
7. Executive Session: The Commission did not convene in Executive Session.
8 Open Session (continued):
8a. Amendments to Chief Executive Officers'employment contract:
Action: On motion made by Mr. Valls and seconded by Mr. Bowers, the
Commission tabled consideration of this item.
9. Adjourn: On motion duly made and seconded, the meeting adjourned at 2:16
p.m.
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