REGULAR MEETING OF THE BOARD OF PORT COD.IMISSIONERS OF THE CITY OF OAKLAND The meeting was held on Wednesday, January 6, 1971, at the hour of 2:00 p.m. in the office of the Board, Room 376, 66 Jack London Square, President Tripp presiding, due written notice having been given members of the Board. Commissioners present: Berkley, Connolly, Gainor, Mortensen, Soda, Walters and President Tripp - 7 Commissioners absent: None Also present at the meeting were the Executive Diretor; Deputy Executive Director; Port Attorney; Assistant Port Attorney; Chief Engineer; Assistant Chief Engineer; Senior Engineer Keith Quan; Director of Aviation; Manager, Properties Department; Port Field Re- presentative; Public Relations Director; and Secretary of the Board. Visitors attending the meeting included Mr. Charles Velson, Vice President, Mr. Gary J. Torre, Attorney, both representing Seatrain Terminals of California; and Mrs. R. D. Israel, representing the Oakland League of Women Voters. Minutes of the regular meeting of the Board, held on Decem- ber 2, 1970, the adjourned regular meeting of December 9, 1970, the regular meeting of December 16, 1970, and the adjourned regular meeting of December 23, 1970, were approved as written and ordered filed. Outgoing President, William Walters, presented incoming President, Peter Tripp, with a gavel and wished him well in his term of office commencing January 1, 1971. President Tripp then presented President Walters with his gavel of office which had been mounted as a wall plaque, together with a desk set, and congratulated him on a very successful 1970 year under his administration. At the hour of 2:15 p.m., President Tripp called for the scheduled public hearing on the application of the City of Oakland for a permit to fill water area, extract submerged mate- rial, place new pilings and perform other work at First Street and Lake Merritt Channel, at which time the written report of the Executive Director was considered, recommending approval of the application as Phase I of the Lake Merritt Channel Estuary Park project. No one appeared at the meeting in opposition to the application, and Resolution No. 20157 was passed, granting permit to City of Oakland to perform dredging and filling in the North Arm of the Estuary. Also in connection with this project, a building permit application from the City of Oakland for the Lake Merritt Channel Estuary Park, was the subject of a memo to the Board from Senior Engineer Keith Quan, which covers the con- struction of the restroom facilities and a trellis arbor at an estimated cost of $64,000, which application was approved on passage of Resolution No. 20158. Compensation of Special Counsel, was the subject of a letter to the Board from the Port Attorney, recommending that the monthly retainer fee for Mr. Cecil A. Beasley, Jr., the Ports Special Counsel in Washington, D.C., be increased from $750 to $1,000 effective February 1, 1971, which recommendation was approved on passage of Resolution No. 20159. President Tripp called for the final reading of the three ordinances concerning the acquisition by the Port of the Seatrain Terminals of California, Inc. property in the Middle Harbor Terminal and the termination of the present franchise with Seatrain. At Commissioner Sodas request, the Executive Director explained briefly the transaction with Seatrain and the Commissioners indicated they had no further questions on the matter. Port Ordi- nance Nos. 1680, 1681 and 1682 were then given final reading by -2- unanimous vote of the Board. Mr. Charles Velson, representing Seatrain, and President Tripp then signed the documents authorized by the three ordinances. Application of Trans World Airlines to Civil Aeronautics Board for Order Authorizing Discussions, was the subject of a let- ter to the Board from the; Port Attorney advising that the joint discussions, if approved by the CAB, would be with other United States domestic scheduled air carriers and involve possible agreements aimed at effecting joint restraint upon passenger capacity in markets with- in the continental United States. The Board was advised that this subject is closely related to CAB Docket No. 22525, which was previously reported to the Board. He informed the Board that this matter would be closely watched by his office, as well as by Mr. Beasleys office in Washington, D.C. Proposed merger of American Airlines and Western Airlines, was the subject of a letter to the Board from the Port Attorney. As both American Airlines and Western Airlines presently serve the Oak- land Airport, it was suggested that these proceedings also be closely watched as to the effect of the merger, if approved, upon future service at Oakland. It was the Executive Directors oral recommenda- tion to the Board that at this time the Port take no position for or against the merger, and upon joint recommendation of the Executive Director and the Port Attorney, Resolution No. 20160 was passed ratifying the petition previously filed by the Port Attorney for leave to intervene in proceedings before the Civil Aeronautics Board. Changes in Airport tenancies, North Airport, as recommended to the Board by memo from the Assistant Manager, Properties Depart- ment, were approved on motion of Commissioner Gainor, seconded and passed unanimously as follows: 1. POWER PAC, a Category A tenant , to vacate space presently occupied in Airport Building L-813 and to assume occupancy of a 10,000 sf section of Building L-812 at $.06 psf per month, plus an additional 10,000 sf of contiguous ramp area at $.015 psf per month for a total of $750, commencing January 1, 1971. -3- 2. CALIFORNIA AVIATION SERVICE, INC., a Category A tenant to be placed on a license and concession agreement to terminate at the start of the newly authorized long-term lease, for its currently occupied space in Buildings L-150 and L-210 (Hangars 1 and 2) and 9,800 sf of space in Building L-230, based on rates of $.055 psf for hangar space, $.06 psf for Building L-230 and $.12 psf for office area in Hangar 1, for a total rental of $3,128.57. 3. WESTERN AIRMOTIVE COMPANY INC., a Category A tenant, occupying Building L-704 (Hangar 7) to continue occupancy under a new license agreement, increasing charges to $.06 psf for hangar space, and $.015 psf for ramp area. The tenant also agrees to raze quon- set hut No. L-704 and rent, instead, the land involved for parking of new Piper aircraft and landscaping. The total rent will be $1,110.78 per month. 4. AEROSPACE SERVICES INC., which company is affiliated with Western Airmotive Company, Inc., and which occupies various areas at the Airport, to occupy space on a new license and concession agreement under rental rates of $.06 psf for buildings, $.01 psf for land area and $.015 psf for ramp area, for a new month- ly total of $2,888.98. Port Ordinance No. 1677, being an ordinance amending Port Ordinance No. 867, creating the position of Director of Airport Plan- ning and designating department heads in the Port Department, was given final reading and adopted by unanimous vote of the Board, following which, upon recommendation of the Executive Director, Resolution No. 20173 was passed, appointing Donald C. Flynn, to the position of Director of Airport Planning. Marine Terminal practices of the Port of Seattle - Possible Violation of Section 17, Shipping Act, 1916, Federal Maritime Commission Docket No. 70-50, was the subject of a letter to the Board from the Port Attorney, informing the Board that on December 16, 1970, the Federal Maritime Commission, upon its own motion, instituted an investigation and hearing in this matter, following which on December 21, 1970, with the concurrence of the Executive Director, the Port Attorney prepared and forwarded to the Commission for filing, a petition on behalf of the Port of Oakland for leave to intervene in these proceedings. It was recommended that this action be ratified by the Board, which recommendation was approved on passage of Resolution No. 20161. -4.. Building permit application, Matson Navigation Company, Seventh Street Marine Terminal, was the subject of a memo to the Board from Senior Engineer Keith Quan, recommending approval of the requested permit to construct interior petitions in Matsons office building No. C-512 at a cost of $8,500, which recommendation was approved on passage of Resolution No. 20168. Building permit application, Marine Terminals Corporation, Berth "H", Seventh Street Marine Terminal, was the subject of a memo to the Board from Senior Engineer Keith Quan, recommending approval of the permit for the construction of two concrete bases for the erection of two single-post derricks at an estimated cost of $4,000, which recommendation was approved , on passage of Resolution No. 20162. Plans and-specifications for-entrance sign, Seventh Street Marine Terminal, was the subject of a memo to the Board from the Assistant Chief Engineer, recommending approval of the plans and specifications and calling for bids to be received January 28, 1971, based on plans previously approved by the Board, which recommendation was approved on passage-of Resolution No. 20169. Personnel matters relating to various appointments, as re- commended to the Board by memo from the Employee Relations Officer, were approved on passage of Resolution No. 20163. Proposed Board policy, was the subject of a memo to the Board from the Executive Director, recommending clarification of the previously adopted Board policy on October 21, 1964, be broadened to reflect that whenever the Board grants a concession voluntarily, which is an additional benefit not required by a formal agreement, the Board would retain the right to withdraw such concession as it sees fit at any time, which recommendation was approved on motion of Commissioner , Mortensen, seconded and passed unanimously, with the understanding that the added clarification is not retroactive and that due notice will be given to the party involved prior to the revocation.