HomeMy WebLinkAboutMinutes Port Of Corpus Christi Authority Of Nueces County, Tx - 05/21/2019 OFFICIAL MINUTES OF PORT COMMISSION MEETING
May 21, 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
Tuesday, May 21, 2019 at 9:00 a.m., for the regular monthly meeting of the Port
Commission.
Present: Mr. Charles Zahn
Mr. Wayne Squires
Mr. Richard Valls
Mr. Richard L. Bowers
Mr. David P. Engel
Mr. Wes Hoskins
Ms. Catherine Hilliard
Present: Mr. Sean Strawbridge
Mr. Clark Robertson
Mr. Kent Britton
Mr. Omar Garcia
Ms. Lynn Angerstein
Ms. Rosie Collin
Mr. Russell Cordo
Mr. David Krams
Ms. Donna James Spruce
Ms. Audre Debler
Chief Eric Giannamore
Mr. Bennie Benavides
Mr. Bland Chamberlain
Mr. Javier Davila
Ms. Sherry DuBois
Ms. Adrianna Escamilla
Mr. Matt Garcia
Mr. Dan Koesema
Ms. Ebony Lotts
Ms. Tana Neighbors
Ms. Tara Perry
Ms. Sharon Richardson
Ms. Leslie Ruta
Mr. Jeff Starks
Ms. Martha Valderrama
Others Present: Mr. Leo J. Welder, Jr.
Mr. Dane Bruun
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Others Present: Mr. Xavier Valverde, Sr.
G&H Towing
Mr. Joe Guzman
STMFTF
Mr. Larry Perryman
Bay Houston Towing
Mr. Foster Edwards
San Patricio EDC
Mr. Tom Yardley
City of Portland
Mr. John Green
City of Portland
Mr. David Cowart
Laniea &Assoc.
Mr. Roger TeNapel
FHR
Ms. Joann Ehmann
IOP
Mr. Keith Smith
Gulf Compress
Mr. William Goldston
ALEC
Mr. Jeff Coyrn
LJA
Mr. John Kenny
J.M. Davidson, Inc.
Mr. Jon Warren
Grace Point Church Portland
Mr. Joelle Francois
AECOM
Mr. Daniel Korus
Del Mar College
Ms. Jaylin Steinman
Del Mar College
Mr. Ray Mandriqal De Pancho Villa
Coffee Club
1. Meeting called to order
2. Safety briefing presented
3. Pledge of Allegiance recited
4. Invocation given
5. Conflict of Interest Affidavits: None were received.
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6. Minutes
6a. Action: On motion made by Mr. Valls and seconded by Mr. Squires, the
Commission approved the minutes of the April 16 and May 2, 2019 Commission
meetings in the form presented to the meeting.
7. Public Comment: Comments were received by Dan Korus of Del Mar College
and Ray Madrigal de Pancho Villa.
8. Committee Reports
8a. Audit Committee Report: Mr. Squires reported on the committee's
activities since the last regular Commission meeting.
8b. Long-Range Planning Committee: Mr. Valls reported on the committee's
activities since the last regular Commission meeting.
8c. Security Committee: Mr. Hoskins reported on the committee's activities
since the last regular Commission meeting.
8d. Office Building Committee: Mr. Bowers reported on the committee's
activities since the last regular Commission meeting.
9. Presentations
9a. The Commission received a presentation from Port Industries of Corpus
Christi.
9b. The Commission received a presentation from the Corpus Christi Regional
Economic Development Corporation.
9c. The Commission received a presentation from San Patricio County
Economic Development Corporation.
9d. A Resolution of Appreciation was read and presented to John LaRue on
behalf of the San Patricio County Economic Development Corporation.
Action: On motion made by Mr. Bowers and seconded by Mr. Squires the
Commission accepted the Resolution and directed that it be made part of the
minutes of this meeting. Accordingly, the text of the Resolution is attached to the
minutes of this meeting as Attachment One.
10. Open Agenda
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10a. Master Services Agreement with LJA Engineering and Service Order
No. 1 for engineering services in connection with the Hillcrests Demolition
and Site Clearing Proiect: Staff recommended approval of a Master Services
Agreement with LJA Engineering, Inc., and Service Order No. 1 in an amount not
to exceed $230,000 to provide drafting and engineering services for demolition
and site clearing in connection with the Hillcrest and Washington-Coles Voluntary
Neighborhood Acquisition and Relocation Program.
Action: On motion made by Mr. Bowers and seconded by Mr. Squires, the
Commission approved Staff's recommendation.
10b. Construction Contract with Camacho Demolition, LLC for demolition
and site cleaning services: Staff recommended that a contract be awarded to
Camacho Demolition, LLC in the amount of $309,202.20 for demolition and site
cleaning services of the Group 4 properties acquired under the Hillcrest and
Washington-Coles Voluntary Neighborhood Acquisition and Relocation Program.
Staff also recommended acceptance of Additive/Deductive Bid Item 1 (fill material)
at a unit price of$10 per cubic yard, with an allowance of$500.00 for fill material,
if needed, and a 5% percent contingency allowance ($15,485.11) for change
orders under the contract in accordance with PCCA's standard contingency
guidelines for general construction projects.
Action: On motion made by Mr. Bowers and seconded by Mr. Valls, the
Commission approved Staff's recommendation.
10c. Resolution to approve an Agreement with the Department of the Army
for DMPA1:
Action: On motion made by Mr. Bowers and seconded by Mr. Valls, the
Commission approved the following resolution:
RESOLUTION APPROVING A MEMORANDUM OF AGREEMENT BETWEEN
THE DEPARTMENT OF THE ARMY AND THE PORT OF CORPUS CHRISTI
AUTHORITY OF NUECES COUNTY, TEXAS
WHEREAS, a Memorandum of Agreement between the Department of the
Army (the "Government"), and the Port of Corpus Christi Authority of Nueces
County, Texas ("PCCA"), for Placement of Dredged Material into the Dredged
Material Placement Facility has been presented to PCCA's Port Commission for
approval; and
WHEREAS, Section 217(b) of the Water Resources Development Act of
1996 (33 U.S.C. 2326a(b)) authorizes the Secretary of the Army (the "Secretary")
to permit the use of dredged material placement facilities under the Secretary's
jurisdiction by Non-Federal Interests and to impose fees to recover capital,
operation, and maintenance costs associated with such use; and
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WHEREAS, PCCA wishes to place approximately 28,200 cubic yards of
dredge material into Dredge Material Placement Area 1 and Herbie A. Maurer
Dredge Material Placement Area for maintenance dredging activities in the Inner
Harbor; and
WHEREAS, PCCA is authorized by Section 60.152 of the Texas Water
Code, as amended, to enter into the Memorandum of Agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE PORT COMMISSION OF
THE PORT OF CORPUS CHRISTI AUTHORITY OF NUECES COUNTY, TEXAS,
THAT.
Section 1. The Port Commission hereby finds and determines that it is
necessary and advisable that PCCA enter into the Memorandum of Agreement in
substantially the form presented to this meeting.
Section 2. The Memorandum of Agreement, in substantially the form
presented to this meeting, is hereby approved, and the Chief Executive Officer is
hereby authorized and directed, for and on behalf of PCCA, to execute the
Memorandum of Agreement.
Section 3. The Chairman, the Vice Chairman, the Secretary, and the Chief
Executive Officer are each hereby severally authorized and directed to execute,
attest, seal and deliver any and all additional certificates, documents or other
papers and to do any and all things deemed necessary to carry out the intent and
purposes of this Resolution.
Section 4. This Resolution is hereby adopted by the Port Commission on
May 21, 2019.
10d. Construction Contract to J.M. Davidson LTD for Oil Dock 1 Shoreline
Repairs Proiect associated with Hurricane Harvey: Staff recommended that a
construction contract be awarded to J.M. Davidson, Ltd. in the amount of
$1,156,178.00 for the Oil Dock 1 Shoreline Repairs Project. Staff also
recommended acceptance of Additive Bid Item 1 (standby) at a unit price of$6,000
per day, with an allowance of $36,000 for standby charges if needed,and a 6%
contingency allowance ($69,370.68) for change orders under the contract in
accordance with the PCCA's standard contingency guidelines for marine and
rehabilitation projects.
Action: On motion made by Mr. Valls and seconded by Mr. Hoskins, the
Commission approved Staff's recommendation.
10e. Purchase Order to CED-Columbia Electric for the purchase and
delivery of the Bulk Dock 1 Electrical E-House Proiect: Staff recommended
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approval of a Purchase Order in an amount not to exceed $700,000 to CED-
Colombia Electric for the purchase and delivery of the Bulk Dock 1 E-House
Project. Staff also recommended that the Director of Engineering Services be
granted a 4% contingency allowance ($28,000) in accordance with the PCCA's
standard contingency guidelines.
Action: On motion made by Mr. Engel and seconded by Mr. Valls the
Commission approved Staff's recommendation. Mr. Squires voted against the
motion.
10f. Amendment No. 2 to Service Order No. 1 with Mott MacDonald LLC in
connection with the Corpus Christi Ship Channel Project: On April 17, 2018,
the Commission approved Master Services Agreement No. 18-03 with Mott
MacDonald, LLC (Mott) and Service Order No. 1 in the amount of $175,000 to
initiate their services. On September 18, 2019, the Commission approved
Amendment No. 1 to Service Order No. 1 in the amount of $376,000 to allow the
continuation of Mott's work and included surveys to locate existing pipeline
infrastructure on the north and south sides of Avery Point and a geotechnical
investigation to support limited preliminary design services that would facilitate
relocation of the Avery Point pipelines by their owners.
Staff recommended approval of Amendment No. 2 to Service Order No. 1
in the form presented to the meeting. Staff advised the Commission that
Amendment No. 2 would (i) provide for a $400,000 increase in the compensation
payable to Mott to continue the coordination process with pipeline owners, the
Federal Government, and the PCCA on the removal or relocation of all the
pipelines, including Avery Point, to meet the Channel Improvement Project
contracting schedule; and (ii) add $197,218 to the original scope of Service Order
No. 1 to complete sub-bottom profiling surveys to verify the location of eleven
existing pipelines in the Lower, Upper, and Inner Harbor reaches as requested by
the Federal Government, for a total contract amendment not to exceed $597,218.
Action: On motion made by Mr. Valls and seconded by Mr. Engel, the
Commission approved Staff's recommendation. Mr. Zahn abstained from voting
on this item.
10g. First Quarter 2019 Investment Report., The Audit Committee
recommended approval of the First Quarter 2019 Investment Report.
Action: On motion made by Mr. Engel and seconded by Mr. Hoskins, the
Commission approved the First Quarter 2019 Investment Report, in the form
presented to the meeting.
10h. First Quarter 2019 Financial Report: The Audit Committee recommended
approval of the First Quarter 2019 Financial Report.
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Action: On motion made by Mr. Engel and seconded by Mr. Hoskins, the
Commission approved the First Quarter 2019 Financial Report, in the form
presented to the meeting.
11. Consent Agenda: Individual Commissioners requested that Consent
Agenda Items 11 i, 11j, and 11 o be considered separately. Then Mr. Valls moved
the approval of the remaining Consent Agenda Items by one vote (the "The
Consent Agenda Motion"), in accordance with the respective staff
recommendations and agreements furnished to the Commission at the meeting.
Mr. Squires seconded the motion and the motion passed without objection.
11a. By approval of the Consent Agenda Motion, the Commission approved the
Second Amendment of Lease Agreement with Refinery Terminal Fire Company for
the use of an additional 6.37 acres of land on the existing 4.81 acres for a total of
11.18 acres for future expansion of their training facilities located at 3920 Carbon
Plant Road, Corpus Christi, Nueces County, Texas.
11b. By approval of the Consent Agenda Motion, the Commission approved the
renewal of a Pipeline Easement with Flint Hills Resources Corpus Christi, LLC for
an existing 12-inch crude pipeline and a 16-inch crude pipeline each located near
the Viola Turning Basin, in Nueces County, Texas.
11 c. By approval of the Consent Agenda Motion, the Commission approved an
Easement and Right of Way Agreement with AEP Texas, Inc. for electric service to
GCCM Holdings LLC, a 4.3-acre facility located in the North Bank Open Storage
Yard, Nueces County, Texas.
11 d. By approval of the Consent Agenda Motion, the Commission approved an
18-month Lease Agreement with Corpus Christi Polymers, LLC for an 8-acre
laydown yard located west of the Corpus Christi Polymers, LLC plant site and
south of the Nueces River Rail Yard, Nueces County, Texas.
11 e. By approval of the Consent Agenda Motion, the Commission approved an
18-month Lease Agreement with Corpus Christi Polymers, LLC for the West
Transfer Facility containing 30,000 SF of warehouse space located at the
intersection of Port Avenue and Stroman Road, Nueces County, Texas.
11f. By approval of the Consent Agenda Motion, the Commission approved a
one-year Lease Agreement with Gulf Stream Marine Inc., for a 1-acre site located
in the southwest corner of the North Side Open Storage Yard, Nueces County,
Texas.
11g. By approval of the Consent Agenda Motion, the Commission approved the
First Amendment to the Amended and Restated Pipeline Easement Agreement
with NuStar Logistics, L.P. to add one 12-inch pipeline connecting NuStar Oil Dock
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15 and NuStar Oil Dock 16, located on the north side of the Corpus Christi Turning
Basin, Nueces County, Texas.
11 h. By approval of the Consent Agenda Motion, the Commission approved an
increase in the contingency in the amount of $19,000 and a Change Order with
Hamman Excavating, Inc. in the amount of $19,000 for the Ortiz Center South
Parking Lot Improvements Project to bore and tap a waterline under Harbor Drive
for irrigation.
11L Staff recommended approval of Amendment No. 1 to Service Order No. 6
in the amount of $89,428 with HDR Engineering, Inc., under Master Services
Agreement No. 18-04, for additional engineering design scope associated with
PCCA Oil Dock 14 upgrades to Suezmax Capacity Project. After discussion, on
motion made by Mr. Valls and seconded by Mr. Squires, the Commission approved
Staff's recommendation.
11j. Staff recommended approval of a Change Order, in the form presented to
the meeting, in the amount of $167,040.48 with Derrick Construction Inc. for
removal of 18 steel piles impacted by embedded timber pile clusters attached to
the steel piles that were not included in the original scope of work associated with
the Harbor Island Demolition of Existing Docks Project. Staff also recommended
approval of a $50,000 increase in the contingency allowance for this contract
should it be needed to complete the project. After discussion, on motion made by
Mr. Valls and seconded by Mr. Engel, the Commission approved Staff's
recommendation.
11 k. By approval of the Consent Agenda Motion, the Commission approved a
Change Order in the amount of $204,754 with Bartlett Cocke Beecroft JV for
additional design services, pre-construction services and construction services
associated with the new Port office facility.
111. By approval of the Consent Agenda Motion, the Commission approved a
Service Order in the amount of $103,020 with CH2M Hill Engineers, Inc., under
Master Services Agreement No. 18-08, to perform underwater pre and post
dredging inspections of Cargo Docks 8, 10, 14 and 15, Oil Docks 1, 3, 4, 7 and 11,
and Bulk Dock 3.
11m. By approval of the Consent Agenda Motion, the Commission approved
Amendment No. 1 to Consulting Services Contract for additional services in the
amount of $12,000 with Tricord Consulting, LLC to continue environmental
services for the Air Permit Amendment Application for the Bulk Terminal.
11 n. By approval of the Consent Agenda Motion, the Commission authorized
Staff to issue a Request for Proposal for Temporary Employment Services.
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110. Staff recommended approval of an Interlocal Agreement in the amount of
$88,300 with the Harte Research Institute for Gulf of Mexico Studies at TAMUCC
to perform hydrodynamic modeling of the impacts of ship channel improvement
projects on storm surge, tidal flows, and salinity in Corpus Christi Bay. After
discussion, on motion made by Mr. Valls and seconded by Mr. Squires, the
Commission approved Staff's recommendation.
11 p. By approval of the Consent Agenda Motion, the Commission authorized
Staff to issue Request for Proposals for third-party environmental services related
to development of an Environmental Impact Statement for the Channel Deeping
Project.
11q. By approval of the Consent Agenda Motion, the Commission approved a
Purchase Order in the amount of $85,000 payable to Lone Star Ports, LLC for
Texas Commission on Environmental Quality (TCEQ) Air Permit Application fees
for the Harbor Island Terminal in accordance with the approved Lease Agreement.
11r. By approval of the Consent Agenda Motion, the Commission approved a
Pipeline Easement with Gray Oak Pipeline, LLC for one 30-inch crude pipeline
crossing the Port of Corpus Christi Authority's land located east of McCampbell
Road, San Patricio County, Texas
12. Chief Executive Officer's Report and Commissioners' Comments:
12a. The Chief Executive Officer submitted his report on upcoming community
events, PCCA events and activities of the following PCCA departments during the
preceding month: Commercial, External Affairs, Operations and Finance.
12b. Mr. Zahn asked for comments from the Commissioners.
13. Recess Open Session and Convene Executive Session: At 11:01 a.m. Mr.
Zahn announced the Commission would go into executive session pursuant to,
§551.071, §551.072, and §551.087, and of the Texas Government Code, to
deliberate agenda items 13a, 13b, 13c, 13d, 13e, 13f, 13g, and 13h which were
described in the agenda as follows:
13a. Receive legal advice from PCCA'S counsel in connection (1) The Port of
Corpus Christi, LP, and 361 Holdings, LLC v. PCCA in the 156th State District
Court, San Patricio County, regarding the Good Hope Disposal Materials
Placement Area and (2) Port of Corpus Christi Authority v The Port of Corpus
Christi, LP, in Nueces County Court at Law#4. (§551.071)
13b. Receive legal advice from PCCA's counsel regarding U.S. Army Corps of
Engineers permitting. (§551.071)
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13c. Receive legal advice from PCCA's counsel regarding whether the Ingleside
zoning ordinances apply to PCCA's Good Hope Dredge Material Placement Area.
(§551.071)
13d. Offering economic incentives to a business prospect to locate its business
in San Patricio County. (§551.087)
13e. Leasing PCCA real property in San Patricio County to a business prospect
and offering an economic incentive to the lessee to locate its business in San
Patricio County. (§551.072 and §551.087)
13f. Selling PCCA real property in San Patricio County. (§551.072)
13g. Receive legal advice from PCCA's counsel regarding the First Amendment
to the Chapter 380 Economic Development Incentive Agreement between the City
of Corpus Christi, Texas, voestalpine Texas LLC, and PCCA. (§551.071)
13h. Receive legal advice from PCCA's counsel regarding an Interlocal
Agreement between the Port of Corpus Christi Authority and the City of Corpus
Christi Regarding Development and Building Permitting. (§551.071)
14. At 1:58 p.m., the Chairman reconvened the meeting in Open Session to act
on the following agenda items.
14a. First Amendment to the Chapter 380 Economic Development Incentive
Agreement between the City of Corpus Christi, voestalpine Texas LLC, and
PCCA:
Action: On motion made by Mr. Bowers and seconded by Mr. Squires, the
Commission tabled this item.
14b. Interlocal Agreement between the PCCA and the City of Corpus Christi
regarding development and building permitting:
Action: On motion made by Mr. Squires and seconded by Mr. Valls the
Commission tabled this item.
14c. Gibbs & Bruns Revised Engagement Letter:
Action: On motion made by Mr. Engel and seconded by Mr. Valls, the
Commission agreed to the joint representation of PCCA and Sean Strawbridge by
Gibbs & Bruns, LLP, in (i) The Port of Corpus Christi, LP, and 361 Holdings, LLC v.
PCCA in the 156th State District Court, San Patricio County, regarding the Good
Hope Disposal Materials Placement Area, and (ii) PCCA v. The Port of Corpus
Christi, LP, in Nueces County Court at Law#4, regarding the tradename case and
the counterclaims made by The Port of Corpus Christi, LP, in connection therewith.
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15. Adjourn: On motion duly made and seconded, the meeting adjourned at 2:01
p.m.
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