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Port of Los Angeles and California State Lands Commission Develop Memorandum of Understanding to Reach Accord on Port-Funded Projects

Posted on: Wednesday, 13 July 2005, 21:00 CDT

The Port of Los Angeles Board and California State Lands Commission have signed a Memorandum of Understanding (MOU) that establishes guidelines for the Port to follow in order to move forward two San Pedro-based projects currently underway.

The MOU was pursued to resolve outstanding issues that had arisen between the Port and State Lands Commission regarding the proposed "Welcome Park" community mitigation project, as well as a proposed plan to lease a portion of a Port-owned building to the operating foundation of a proposed Port of Los Angeles High School, a state-funded charter school that features maritime studies as part of its curriculum.

"The resolution of this issue is a victory for the residents of Los Angeles in general and of San Pedro in particular," said City Attorney Rocky Delgadillo. "The skilled attorneys in my office worked out an agreement that settles a long simmering dispute and allows the Welcome Park and charter high school, two valuable projects, to proceed."

"We're very pleased that the State Lands Commission has worked with us, made a commendable effort to understand why we value these two initiatives, and has allowed the Port to enter into an MOU that establishes a framework for how we can move these projects forward within the guidelines of the Tidelands Trust," said Commission Vice President Elwood Lui. "Moving forward, we have also agreed to resolving any disputes between the Port and State Lands through prompt and proactive negotiations -- and I believe that speaks volumes to the willingness of both parties to work together now and in the future."

The MOU allows the Port to follow through with the purchase of three properties that the Port identified as part of a "Welcome Park" site proposed at the terminus of the Harbor Freeway (I-110) in San Pedro. The location would serve as a gateway stop for visitors traveling into the San Pedro and Port area.

The Port was in the process of acquiring several land parcels concurrent to discussions with the State Lands Commission over the appropriateness of the project, which is located approximately a mile west of Port boundaries. The Port will move forward with securing three property parcels earmarked for the project, with the goal of exchanging the entire site with similar property owned by the City and closer to (or within) the boundaries of the Port within the next two years. If such an exchange can't be reached, the Port agrees to sell the properties at a rate equal or greater than the original purchase price.

In terms of the proposed Port of Los Angeles High School, the State Lands Commission is permitting the Port to move forward with the rehabilitation of a building adjacent to the Harbor Department headquarters that is earmarked for Port and school occupancy.

While the project is still pending completion of an Environmental Impact Report and lease approval with the charter school foundation, the State Lands Commission has agreed to let the Port perform certain necessary building enhancements required to meet California State building standards for learning institutions, provided that the school reimburse the Port for any and all physical enhancements.

Furthermore, under the terms of the MOU, the State Lands Commission is permitting the Port to enter into a five-year agreement with the charter school and allowing the initial years rental payments to be reduced and subsequently recovered in the later years of the permit.

As agreed in the MOU, the Los Angeles Board of Harbor Commissioners, on behalf of Port staff, has consented to not approve funding for any community projects for the next four months, including those funded through the China Shipping Stipulated Judgment that have not been previously approved by the State Lands Commission. This stipulation does not apply to valid CEQA mitigation for Port projects.

The Port of Los Angeles is America's premier port. As the leading container port in the nation and a critical hub in the international supply chain, the Port generates thousands of stable jobs and billions of dollars in annual wages and tax revenues. The Port of Los Angeles also places a high priority on responsible growth initiatives combined with high security, environmental stewardship and community outreach. The Port of Los Angeles is a proprietary, self-supported department of the City of Los Angeles. The Port of Los Angeles. . .Anchoring a bright future.


Source: Business Wire

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