PHA Commission Considers $6 Million for Electrical Energy and TWIC Escort Parking

Also, MOU With Galveston Bay Foundation to Restore Habitat in Burnett Bay


HOUSTON, Oct. 24, 2008 (GLOBE NEWSWIRE) -- The Port Commission of The Port of Houston Authority (PHA) will consider a total of about $6 million in awards, including payment for additional electrical energy costs ($5.5 million) to Direct Energy, L.P., and establishment of a parking facility and expanded parking for visitors without TWICs ($535,950), as well as a Memorandum of Understanding with Galveston Bay Foundation to restore habitat in Burnett Bay, on Tuesday, Oct. 28, beginning at 9 a.m. in the board room of the PHA Executive Building, 111 East Loop North (Exit 29 off Loop 610) in Houston. Chairman Jim Edmonds will preside over the meeting with Commissioner Steve Phelps, Commissioner Jim Fonteno, Commissioner Kase Lawal, Commissioner Jimmy Burke, Commissioner Janiece Longoria and Commissioner Elyse Lanier.

GENERAL MATTERS

(Agenda G14) The port commission is being asked to authorize an amendment to the port authority's electrical energy contract with Direct Energy, L.P. of $5.5 million. The port commission previously awarded a 36-month fixed price ($0.0877/kwhr) electric energy contract to Direct Energy, L.P. for $11.250 million for electric energy usage at all facilities, with a contract end date of September 30, 2009. However, additional increased business activities and electric dredging activities have contributed to increased electric energy usage over the original contract amount. Direct Energy has now offered to sell additional electric energy to the PHA at the original fixed price through the current contract end date, which staff recommends as reasonable, given current retail electric energy market pricing conditions.

(Agenda I5) Commissioners are being asked to approve execution of a Memorandum of Understanding and issuing a marine construction permit with the Galveston Bay Foundation for habitat restoration in Burnett Bay, northeast of San Jacinto State Park. Galveston Bay Foundation has applied for a Port Authority Marine Construction Permit for habitat restoration in Burnett Bay in the National Lynch Survey, A-44. A MOU is expected to be executed to record the mutual interests of both parties to preserve, protect and enhance Burnett Bay, and accompanies the no-fee permit. The PHA began a formal partnership with the Galveston Bay Foundation three years ago which involves financial support, as well as volunteer hours for events like Marsh Mania, a community-based marsh restoration event that brings volunteers to the shore of Galveston Bay to plant marsh grass.

TWIC MATTERS

(Agenda G2) Commissioners are being asked to authorize awarding a construction contract to Jerdon Enterprise, L.P. for Transportation Worker Identification Credential (TWIC) escort and ILA 25A parking lots at Turning Basin Terminal, for $535,950. The implementation of TWIC regulations makes it necessary to establish a parking facility for visitors without TWICs who need access to the North Turning Basin restricted area, and to expand the existing ILA parking lot at 25A. The TWIC, a key component in keeping U.S. ports safe and secure, aims to safeguard that individuals who pose a threat do not gain unescorted access to secure areas of the nation's maritime transportation system.

HOUSTON SHIP CHANNEL MATTERS

(Agenda G17) Commissioners are being asked to authorize amending a contract with TCB and Gahagan & Bryant Associates for engineering, design and construction management services in connection with the Houston Ship Channel for an additional $450,000. As the local sponsor for the Houston-Galveston Navigation channels and branch channels, the PHA has been deeply involved with all facets of the project with the U.S. Army Corps of Engineers (USACE) and will continue to be involved in its future phases. To support the USACE, the PHA provides engineering and design services, construction inspection/construction management services, beneficial use site design, surveying and geotechnical services for the project when necessary to facilitate its success. A new professional engineering services contract is scheduled for award before the current contract expires on February 3, 2009. However, Hurricane Ike caused significant damages to PHA disposal areas and beneficial use sites in Galveston Bay. To restore these sites, additional work outside of the original budget must be performed to assess all site damage, perform surveying and further assist in the planning, design, review and accelerated execution of repairs. The additional tasks performed will reduce the available budget for existing requirements and obligations through the remainder of this contract, leading staff to recommend this action.

This news release is not a substitute for the official PHA agenda. To view the complete agenda, please visit: http://portofhouston.com/publicrelations/meetings.html

The Port of Houston Authority owns and operates the public facilities located along the Port of Houston, the 25-mile-long complex of diversified public and private facilities designed for handling general cargo, containers, grain and other dry bulk materials, project and heavy lift cargo, and other types of cargo. Each year, more than 7,700 vessels call at the port, which ranks first in the U.S. in foreign waterborne tonnage and second in overall total tonnage. The port authority plays a vital role in ensuring navigational safety along the Houston Ship Channel, which has been instrumental in Houston's development as a center of international trade. The Barbours Cut Container Terminal and Central Maintenance Facility are the first of any U.S. port facilities to develop and implement an innovative Environmental Management System that meets the rigorous standards of ISO 14001. PHA is the first port authority in the world to receive ISO 28000:2007 certification for Port Police and the perimeter security operations at both the Barbours Cut and Bayport Terminals. Additionally, the port is an approved delivery point for Coffee "C" futures contracts traded on the New York Board of Trade's Coffee, Sugar & Cocoa Exchange. For more information, please visit www.portofhouston.com

To access the port's web site photo gallery, please visit http://www.portofhouston.com/publicrelations/publicrelations.html and click the link for PHA Photo Gallery.

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