DATE: January 11, 2022
SUBJECT:
Title
RESOLUTION AUTHORIZING A SINGLE SOURCE PURCHASE AGREEMENT WITH KONECRANES FOR DISTRICT ACQUISITION OF TWO ALL-ELECTRIC MOBILE HARBOR CRANES WITH A PROCUREMENT COST NOT-TO-EXCEED $14,760,000 FOR USE AT TENTH AVENUE MARINE TERMINAL, SAN DIEGO, CA; FUNDS FOR THIS PROCUREMENT FOR THIS FISCAL YEAR ARE BUDGETED WITHIN THE ECONOMIC RECOVERY PROGRAM CAPITAL OUTLAY APPROPRIATED ITEM; ALL FUNDS REQUIRED FOR FUTURE FISCAL YEARS WILL BE BUDGETED IN THE ECONOMIC RECOVERY PROGRAM CAPITAL OUTLAY APPROPRIATED ITEM OF THE APPROPRIATE FISCAL YEAR, SUBJECT TO BOARD APPROVAL UPON ADOPTION OF EACH FISCAL YEAR'S BUDGET.
Body
EXECUTIVE SUMMARY:
The Tenth Avenue Marine Terminal (TAMT) is one of two marine cargo terminals within the District's Maritime portfolio. TAMT serves as an omni-cargo terminal, consisting of a 96-acre facility located in San Diego, California, and handles breakbulk, bulk, container, Roll-on/Roll-off (RoRo), and project cargos such as transformers for regional utilities, in addition to steel and engines used in local shipbuilding. Currently, the District utilizes an existing diesel-powered Gottwald HMK300E mobile harbor crane (diesel-powered crane) acquired in 2001 with a maximum lift capacity of 100 metric tons (MT) and 46 MT when operating at the maximum reach of 38-feet. Most of the heavy-lift cargoes destined for this region weigh more than 200 MT, and the District's current lifting capacity is insufficient to accommodate this cargo. The existing diesel-powered mobile harbor crane has also reached its operational life expectancy, has had three breakdowns in the last six months, and was identified for replacement in the District's Maritime Clean Air Strategy (MCAS). Purchasing the proposed fully electric mobile harbor cranes will position the District to compete for this niche market, further capitalizing on the space unlocked by the TIGER project and the growth forecasted in the TAMT Redevelopment Plan.
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