Title
Recommendation to Authorize the City Manager to Negotiate and Execute an Agreement in an Amount not to Exceed $290,000 with Power Engineering to Demolish the Todd Shipyard Crane Located at Pier 5, near 2900 Main Street, on the Alameda Gateway Property. (Community Development 216)
Body
To: Honorable Mayor and Members of the City Council
From: John A. Russo, City Manager
Re: Authorize the City Manager to Negotiate and Execute an Agreement in an Amount not to Exceed $290,000 with Power Engineering to Demolish the Todd Shipyard Crane Located at Pier 5, near 2900 Main Street, on the Alameda Gateway Property
BACKGROUND
In 2007, the California Legislature passed Senate Bill (SB) 976 creating the San Francisco Bay Area Water Emergency Transportation Authority (WETA). SB 976 required WETA to consolidate the City of Vallejo and the City of Alameda ferry services under WETA administration and operating control. The legislation as amended (2008, SB 1093) requires that WETA, no later than July 1, 2009, adopt a ferry Transition Plan detailing how WETA will administer, operate, and fund the three ferry services, Vallejo BayLink, Alameda/Oakland Ferry Service (AOFS) and Alameda Harbor Bay Ferry (AHBF), during the initial five-year post-transfer period. The legislation also requires WETA and the cities to reach an agreement on the terms and conditions for the transfer and lease of any City assets, including boats and ferry terminals, prior to the transfer. Disposing of the Todd Shipyard Crane (Crane) is a condition of the transfer agreement. Exhibit 1 is a photograph of the Crane.
DISCUSSION
In October 2010, the City and WETA staff reached an agreement on the terms for the transfer of the City's ferry services to WETA. The agreement includes the following terms:
1. WETA will purchase the Main Street terminal float from the Alameda Reuse and Redevelopment Authority (ARRA) for $90,000. Monies previously received from this transaction will now be transferred from escrow back to the Base Reuse budget; and
2. Disposition of the Crane located adjacent to the Main Street Ferry Terminal shall be the responsibility of the City.
In 1998 the State Historic Preservation Office deemed the Crane a contributing element of the Historic Todd Shipyard District. Since the Crane is historic and part of an historic district, the Historical Advisory Board (HAB) is required to approve its removal. In July 2012, the HAB certified the Final Environmental Impact Report (FEIR) and adopted a Certificate of Approval to demolish the Crane. As part of the FEIR, certain mitigation measures were taken:
1. Photo-documentation of the Crane by a qualified historic consultant.
a. Photos were used to produce a photographic archive booklet which was distributed to several historical agencies: the State Historic Preservation Office, UC Berkeley's Bancroft Library, Oakland Public Library, the National Maritime Museum in San Francisco, Alameda Public Library, Alameda Historic Museum, the California Historical Society and the Port of Oakland.
2. 90-day notice published in the San Francisco Chronicle for the removal and reuse of the Crane.
In January 2013, a Request for Proposals was issued to relocate, preserve or reuse the Crane. No viable proposals were submitted. The demolition of the Crane is necessary due to the overall poor and degrading condition of the Crane. Therefore, in January 2014, a Request of Qualifications was issued to demolish and remove the Crane. Three qualified proposals were submitted from Power Engineering, The Dutra Group and Mansion Construction. Of the three qualified contractors, Power Engineering and The Dutra Group submitted bids, and Mansion Construction declined to participate further. Of the two qualified bids received, Power Engineering's was chosen based on the company's proximity to the site, availability and price. The total project cost is not to exceed $290,000.
FINANCIAL IMPACT
The funds for this project are budgeted in the Tidelands Fund 216 to maintain, upgrade and improve the hundreds of acres of Tidelands property in the City, for which Alameda is the trustee.
WETA will release the $90,000 for terminal float which will be deposited in the Base Reuse Department lease revenue fund. Expenditures from this fund are limited to uses permitted under the LIFOC and the Economic Development Conveyance Memorandum of Agreement with the United States Navy.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The City's Ferry Service is consistent with the General Plan Transportation Element Guiding Policy 4.3.f. and the Transportation and Land Use Initiative of the Local Action Plan for Climate Protection.
ENVIRONMENTAL REVIEW
The removal of the Crane is a significant impact to the Todd Shipyard Historic District that cannot be mitigated to less than a significant level. Certain mitigations described above, to document the existence and historic importance of the Crane will reduce, but not eliminate the significant impact. An Environmental Impact Report (State Clearinghouse No. 2012012049) analyzing the impacts of this project was certified by the City in 2012.
RECOMMENDATION
Authorize the City Manager to negotiate and execute an agreement in an amount not to exceed $290,000 with Power Engineering to demolish the Todd Shipyard Crane located at Pier 5, near 2900 Main Street, on the Alameda Gateway Property.
Respectfully submitted,
Debbie Potter, Community Development Director
By,
Nanette Mocanu, Acting Assistant Community Development Director
Financial Impact section reviewed,
Juelle-Ann Boyer, Acting Finance Director
Exhibit:
1. Photograph of Todd Shipyard Crane