Cities Index.
052422-NB-41sr&att

Long Beach City Council
May 24, 2022

Document
052422-NB-41sr&att
Meeting
May 24, 2022
Body
Long Beach City Council
Original file
5.0 MB
Text extracted from the city's file for reading and search. Open the original on longbeach.legistar.com. That file is the official record.

E Colorado St
Orlena Ave
E Eliot St
Marine
Stadium
Park
Alamitos Bay
Colorado
Lagoon
Alamitos
Heights
Park
Relocated baseball
field with backstop
and dugouts
New pedestrian open
channel overlook with
interpretive signage
kiosks and benches
High tide line
New portion of E
Colorado St roadway,
utilities, and bridge
New bike lane
New trail
connection to
Colorado Lagoon
Park
New portion of E Eliot
St roadway, utilities,
and bridge
Existing trail connects
to Eliot St sidewalk
New swale along
pedestrian path
New raised
crosswalk
New pedestrian path with three
open channel overlooks, signage
kiosks, and benches
New
intertidal
habitat
New
intertidal
habitatNew Tidal Channel
Regraded Marina Vista Park
with flexible open space
New pathway
New picnicking area
Project limits boundary
Potential location for
outdoor fitness station
Remove existing
restroom
DRAFT
Publish Date: 03/12/21
Filepath: C:\Users\CWee\OneDrive - ANCHOR QEA\Documents\Colorado Lagoon\Renderings\Site Plan.indd Colorado Lagoon Open Channel Phase 2A
City of Long Beach
Site Plan Rendering

ATTACHMENT A
Site Plan - Photo Location
DRAFT
Publish Date: 10/26/20
Filepath: C:\Users\CWee\OneDrive - ANCHOR QEA\Documents\Colorado Lagoon\Renderings\Ground Level Renderings.indd Colorado Lagoon Open Channel Phase 2A
City of Long Beach
Colorado Street Pedestrian Pathway Entry
Proposed Design Rendering

ATTACHMENT B
1 01390112.docx A16-01268
1st AMD to MOU BETWEEN HARBOR & PUBLIC WORKS [05/10/22] COLORADO LAGOON PHASE 2A [DRA/arh] 1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

OFFICE OF THE CITY ATTORNEY
CHARLES PARKIN, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802

FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING

BY AND BETWEEN

THE PUBLIC WORKS DEPARTMENT AND

THE HARBOR DEPARTMENT

THIS FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING
(“First Amendment") is made by and between the City of Long Beach Public Works Department ("Public Works") and the City of Long Beach Harbor Department acting by and through its Board of Harbor Commissioners ("Harbor") with regard to restoration of the Colorado Lagoon and the resulting generation of mitigation credits therefrom.

1. Recitals.

This First Amendment is made with reference to the following facts and objectives:

1.1 On September 9, 2019, Public Works and Harbor entered into a Memorandum of Understanding regarding restoration and enhancement of the Colorado Lagoon including reconnecting the Colorado Lagoon Wetlands located in the eastern part of the City of Long Beach, California to Alamitos Bay and the Pacific Ocean to improve the aquatic resources and ha bitat functions (the “Project”), and the generation of mitigation credits resulting therefrom (Harbor Department Document No. HD-9095) (the “MOU”).

1.2 The MOU provided that Harbor would fund, subject to a cap and offset by Public Works’ receipt of any grant funding awards, the work conducted by Public Works in connection with the Project , and in exchange, Harbor would receive the mitigation credits for the purpose of compensatory mitigation for future development within the Long Beach Harbor District.

1.3 At the time of execution of the MOU, the Project was in the conceptual stages. Since that time, Public Works has been faced with increased design and regulatory costs, as well as increased construction costs for the Project

ATTACHMENT C

2 01390112.docx A16-01268
1st AMD to MOU BETWEEN HARBOR & PUBLIC WORKS [05/10/22] COLORADO LAGOON PHASE 2A [DRA/arh] 1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

OFFICE OF THE CITY ATTORNEY
CHARLES PARKIN, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802

totaling $8.7 million above the previous Project budget.

1.4 Public Works and Harbor have examined and discussed the increased Project budget, and now wish to amend the MOU to increase the amount of the Purchase Price (as defined in the MOU) by $5.7 million , and Public Works reaffirms its commitment to secure grant funding for the Project to offset the Purchase Price as provided in Paragraph 2.6 of the MOU.

2. Paragraph 2.2 of the MOU is amended in its entirety as follows:
“2.2 Subject to paragraph 2.3 below, Harbor agrees to pay to Public Works for expenses (i) reasonably incurred for the Project and (ii) approved by Public Works and Harbor (the “Approved Costs”); provided, however, that the Approved Costs payable by Harbor shall not exceed a total of t hirty-two million dollars ($32,000,000, the “Purchase Price”) inclusive of the Loan. Subject to this $32,000,000 cap, and upon receipt and approval by Harbor’s Director of Environmental Planning or his designee of invoices approved, Harbor shall pay such invoices; provided, however, tha t Project expenses shall first be credited towards repayment of the Loan. Following satisfaction of the Loan, Public Works shall submit Project expenses to Harbor once per calendar quarter, or whenever unpaid Project expenses exceed two million dollars ($2,000,000).”

3. Paragraph 2.3 of the MOU is amended in its entirety as follows:
“2.3 Public Works, as manager of the Project, assumes
responsibility for the cost of completion of the Project and the risk of mitigation underperformance and therefore agrees t o deliver all Project Mitigation Credits, regardless of how many are actually generated, to Harbor.

Should the number of credits actually conveyed to Harbor be less than 19.7, the Purchase Price shall be adjusted by $1,624,365.48 per credit.”

4. Paragraph 2.8 of the MOU is hereby deleted.
///
///

3 01390112.docx A16-01268
1st AMD to MOU BETWEEN HARBOR & PUBLIC WORKS [05/10/22] COLORADO LAGOON PHASE 2A [DRA/arh] 1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

OFFICE OF THE CITY ATTORNEY
CHARLES PARKIN, City Attorney
411 W. Ocean Boulevard, 9th Floor
Long Beach, CA 90802

5. Except as expressly provided in this First Amendment, the terms and conditions of the MOU shall remain unchanged and in full force and effect.

CITY OF LONG BEACH, a municipal
corporation

______________________, 2022 By: _________________________________ Tom Modica
City Manager

PUBLIC WORKS DEPARTMENT

______________________, 2022 By: _________________________________ Director of Public Works Department

PUBLIC WORKS

The foregoing document is hereby approved as to form.

CHARLES PARKIN, City Attorney

______________________, 2022 By: _________________________________ Gary Anderson, Assistant City Attorney

CITY OF LONG BEACH, a municipal
corporation, acting by and through its
Board of Harbor Commissioners

______________________, 2022 By: _________________________________ Mario Cordero
Executive Director
Long Beach Harbor Department

HARBOR

The foregoing document is hereby approved as to form.

CHARLES PARKIN, City Attorney

______________________, 2022 By: _________________________________ David R. Albers, Deputy

Port of Long Beach
Legislation Text
Long Beach Civic Center
Bob Foster Civic Chamber
411 West Ocean Boulevard
Long Beach, CA 90802
File #: HD-22-232, Version: 1
DATE: 5/23/2022
TO: Board of Harbor Commissioners
FROM: Matthew Arms, Director of Environmental Planning
SUBJECT: Approve First Amendment to Memorandum of Understanding with the City of Long Beach to Purchase Colorado Lagoon Mitigation Credits

EXECUTIVE SUMMARY
The Port of Long Beach (Port) is empowered by the State Tidelands Grant to foster the orderly and necessary development of the Port, including the development of new land in the Harbor District. The development of new land results in the permanent loss of marine fish and wildlife habitat and other aquatic functions that requires compensation/mitigation through the creation or restoration of equivalent habitat. Given that adequate areas for mitigation are not present within the Harbor District, the Port participates in off-site restoration projects to provide the necessary mitigation credits to construct new port land. On September 9, 2019 the Port and City of Long Beach Public Works (Public Works) entered into a Memorandum of Understanding (MOU) to restore Colorado Lagoon generating mitigation credits. The MOU provided the Port would fund the project in the amount of $26.3 million dollars in exchange for the 19.7 mitigation credits generated by the project. Since execution of the MOU, the project has faced increased costs totaling $8.7 million dollars. Port staff have reviewed the increased costs and are recommending the Port contribute an additional $5.7 million to the project with the intent that any grant dollars received by Public Works be used to offset the Port’s additional contribution.

KEY POINTS
· The Port has been participating with the City of Long Beach on the restoration of Colorado Lagoon in anticipation of purchasing mitigation credits.
· In 2019, the Port and Public Works finalized an MOU for Public Works to restore the Lagoon, and convey to the Port the resulting mitigation credits for a not to exceed amount of $26.3 million. · Since execution of the original MOU, design plans have gone from conceptual to final design drawings and Public Works has received actual bids to construct the project. Despite significant efforts undertaken by Public Works to reduce costs, project costs now exceed the original budget by $8.7 million.
· Port staff have reviewed the increased costs and consulted with Public Works. Staff is recommending the Port contribute an additional $5.7 million to the project. · Public works is seeking additional grant funding for the project, and if received, the grant dollars will be used to offset the Port’s contribution.
· If approved by the Board, the First Amendment will be taken to the City Council for consideration. · This requested action supports multiple strategic goals and objectives. Goal 1: To develop and maintain state-of the art infrastructure that enhances productivity and efficiency in goods movement. Objective 2:

Identify and plan for future investment that needs to support operational efficiency, environmental and energy sustainability, and technology requirements. Goal 3: Improve the environment through sustainable practices and the reduction of environmental impacts from Port operations and development.

Objective 4: Leverage the Port’s role as a regional leader to promote sustainable and innovative Port of Long Beach Printed on 5/18/2022Page 1 of 3
powered by Legistar™
File #: HD-22-232, Version: 1
environmental practices that complement the economic, regulatory and quality of life needs of industry, government agencies and the public. Objective 5: Employ the principals of sustainable development at every stage of project development, including environmental review, design, construction and operation.

REQUESTED ACTION(S) ..Title
Approve First Amendment to a Memorandum of Understanding with the City of Long Beach Public Works department providing an additional $5.7 million in funding to purchase 19.7 mitigation credits from the Colorado Lagoon Restoration project for a total of $32 million.

The original purchase price of the 19.7 mitigation credits was $26.3 million. This amendment would provide an additional $5.7 million in funding for a total purchase price of $32 million. The funds are paid to the Public Works as reimbursement for actual cost incurred per the terms of the MOU. Funding for the project will be included in the Board approved annual budgets according to anticipated project spending.

DISCUSSION
The Port is obligated under federal and state law to compensate for unavoidable impacts to ecological habitat resulting from Port development through the application of mitigation credits. To that end, since 1986 the Port has participated in three restoration projects (Upper Newport Bay, Anaheim Bay, and Bolsa Chica) providing 541.2 credits to be used on Port projects. Of those credits, approximately 206 credits remain available in the Port’s Mitigation Bank.

For over 10 years, the Port has been working with the City and stakeholder organizations on the Colorado Lagoon Restoration Project. In 2005, the Colorado Lagoon Restoration Plan (Feasibility Study) was finalized, and since then restoration efforts have been ongoing. Phase 1, which focused on improving water quality in the lagoon was completed in August 2012, and the results are surpassing expectations.

The Open Channel (Phase 2) portion of the Colorado Lagoon Restoration Project aims to create an open tidal connection between Colorado Lagoon and Alamitos Bay through the construction of an open channel through Marina Vista Park. Currently the lagoon is connected to Alamitos Bay through a 933-foot long underground tidal culvert. The open channel restoration will result in approximately 19.7 mitigation credits.

At the time of execution of the MOU in 2019, the Project was in the conceptual stages. Since that time, Public Works has been faced with increased design and regulatory costs, as well as increased construction costs for the project totaling $8.7 million above the previous project budget. Port staff has examined and discussed the increased budget with Public Works, and now recommends to amend the MOU to increase the amount of the Purchase Price (as defined in the MOU) by $5.7 million, with Public Works reaffirming its commitment to seek grant funding for the Project to offset the Purchase Price as provided in Paragraph 2.6 of the MOU.

If approved by the Board, the Amendment will be taken to the City Council for consideration. If approved by the City Council, Port and Public Works, staff will update the estimated cash flow and continue with the reimbursement process consistent with the terms of the MOU.

Date Item Action Comments
7/08/2019 MOU Approve Request to enter into Memorandum of Understanding with City of Long Beach Public
Works for the Colorado Lagoon Project
Port of Long Beach Printed on 5/18/2022Page 2 of 3
powered by Legistar™
File #: HD-22-232, Version: 1
Date Item Action Comments
7/08/2019 MOU Approve Request to enter into Memorandum of Understanding with City of Long Beach Public
Works for the Colorado Lagoon Project
Attachment:

Attachment - First Amendment to Colorado Lagoon MOU
Port of Long Beach Printed on 5/18/2022Page 3 of 3
powered by Legistar™

← All documents from this meeting