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Pacific L.A. Marine Terminal LLC
                               Crude Oil Terminal Draft Project
                                            -Environmental Review –


A Draft Supplemental Environmental Impact Statement/Subsequent Environmental Impact Report (SEIS/SEIR)
on the Pacific L.A. Marine Terminal LLC Crude Oil Terminal Project, prepared by the U.S. Army Corps of
Engineers (Corps) and Port of Los Angeles (Port), will be released for public review. The Draft SEIS/SEIR
provides information on the proposed project, alternatives to the project, anticipated environmental impacts of the
project and alternatives, and mitigation to reduce or eliminate impacts. Following the public process, the Corps
and Port will revise the Draft SEIS/SEIR and use it as a basis in drafting the Final SEIS/SEIR.

Subsequent/Supplemental Document: The development of a deep-draft marine oil terminal on Pier 400 is
consistent with the project that was originally envisioned and analyzed in the Deep Draft EIS/EIR and therefore is
not a major revision to the original project. The proposed Project is on land that was created as a result of the
environmental review and approvals that occurred during the original Deep Draft EIS/EIR process. However, the
LAHD is designating this document as a Subsequent EIR (and the USACE is considering it a Supplemental EIS)
because it represents not simply an updating of the Deep Draft EIS/EIR, but a full, project-specific EIR that tiers
from the Deep Draft EIS/EIR.



                                                  -Project Features-

The proposed Project would include construction and operation of a new marine terminal at Berth 408 on Pier 400
(Marine Terminal), new tank farm facilities with a total of 4.0 million barrels (bbl) of capacity, and pipelines
connecting the Marine Terminal and the tank farms to local refineries. The terminal would be operated by Pacific
Los Angeles Marine Terminal, LLC (PLAMT) under a 30-year lease from the Los Angeles Harbor Department
(LAHD). PLAMT is a wholly-owned subsidiary of Plains All American Pipeline, L.P. (Plains).


     •    Berth 408 Marine Terminal                                 •    Tank Farms and Pipes
          - Wharf Construction                                           - Terminal Island (TI) Tank Farm including
          - Terminal construction: Buildings and                            Fourteen 250,000-bbl tanks
             Pumps including two 250,000-bbl tanks                       - Motor Control Center, Tank Farm Operator
          - 30-year lease (2010-2040)                                       Office and Control Building
          - AMP facilities on wharf                                      - 42-inch diameter pipeline from the Marine
          - LEED Certified Admin. Building                                  Terminal to TI Tank Farm
                                                                         - Two 36-inch diameter pipelines would
                                                                            connect TI Tank Farm to the existing
                                                                            network of pipelines at Ferry Street
                                                                         - 36-inch diameter spur running from the
                                                                            existing network at Ferry Street into the
                                                                            ExxonMobil Southwest Terminal


         Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Proposed Project -




Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Proposed Project Objectives and Need-


OBJECTIVE: To construct a crude oil marine terminal capable of accommodating deep-draft VLCC tankers and
construct associated infrastructure capacity that would efficiently accommodate a portion of the forecasted increases
in demand for crude oil to be shipped to southern California by sea, while maximizing the use of deep-water
facilities created for the purpose by the Deep-Draft Navigation Improvements Project and integrating into the Port’s
overall utilization of available shoreline.



NEED: Consumer demand for transportation fuels exceeds the capacity of refineries to produce them, both
statewide and in southern California specifically. Crude production from California and Alaska (as well as the
rest of the U.S.) is decreasing. California crude production peaked in 1985 and has declined by 39 percent since
1986; Alaskan crude production peaked in 1988 and has declined 60 percent since that time. The decline in
domestic production has resulted in an increase in foreign imports, which arrive in the Los Angeles area after
being transported via tanker vessels.

California Assembly Bill 1007 directed the CEC, in partnership with CARB, to develop a State Alternative
Fuels Plan to increase the use of alternative fuels without adversely affecting air pollution, water pollution, and
public health. However, even with full implementation of the State Alternative Fuels Plan, CEC found that
“conventional petroleum fuels will be the main source of transportation energy for the foreseeable future….
California must address its petroleum infrastructure problems and act prudently to secure transportation fuels to
meet the needs of our growing population” (CEC 2007b). CEC stated further that “This should be viewed as a
strategy to allow time for the market and consumer behavior to adjust to alternative fuels and transportation
choices. During this transition, California must be innovative and aggressive in finding more ways to make
increased efficiency, greater renewable fuel use, and smart land use planning the most desirable consumer
options” (CEC 2007b).
FOREIGN SUPPLY: In 2005, about 45% of foreign crude oil imports to southern California came from the
Middle East (i.e., Saudi Arabia, Iraq, Yemen, Oman, and Kuwait), and another 46% came from Central and South
America. Middle East imports generally arrive in VLCC vessels because larger vessels are more cost effective
for longer voyages than smaller vessels. However, as no crude oil terminals in Southern California are capable
of accommodating a fully loaded VLCC due to wharf and water depth restrictions, fully loaded VLCCs must
currently offload crude oil onto smaller vessels to transfer to the receiving terminal, a process called lightering.

CURRENT CAPACITY: Currently five terminals close to Los Angeles are capable of receiving crude oil:
Berths 76-78, 84-87, and 121 in POLB, Berths 238-240 in Port, and an offshore mooring facility off the coast of
El Segundo in Santa Monica Bay. Outside of these facilities, the nearest U.S. terminals capable of receiving
crude oil tankers are at the Port of Hueneme (Ventura County) and the San Francisco Bay Area. However, the
Port of Hueneme can accommodate only barges, not tanker vessels, and is primarily designed to receive crude
oil from offshore platforms. The Bay Area petroleum import infrastructure is also at or near capacity, and the
maximum depth at berth available to tanker vessels is 50 feet (CEC 2005). Crude oil pipelines currently
transport California crude oil from the San Joaquin Valley to the Los Angeles Basin, but no pipelines transport
crude oil into California from neighboring states or from Mexico.




NO PROJECT: Without the Project, it is assumed that a portion of the increased demand for imports of crude
oil in southern California would be accommodated at existing liquid bulk terminals in the Port and the Port of
Long Beach. Increased lightering could take place in coastal waters, would create increased air quality, risk of
upset, water quality, and marine transportation impacts. Additional imports of crude oil may come in by truck, rail,
or barge (no pipelines transport crude oil into California, neither from neighboring states nor from Mexico), and
additional refined products may come in by vessel, barge, truck, or rail.




       Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Proposed Project -


                             -Proposed Project and Alternatives Comparison-

                                                                                 No Federal          Reduced
                                               CEQA                              Action/No           Project
                                              Baseline     Proposed Project       Project           Alternative
                                                2004             2040               2040               2040
      Marine Terminal Acreage                     0             5 acres               0               5 acres
      Total Tank Farm Acreage                     0           47.7 acres              0             47.7 acres
      Tanker Calls at Berth 408                   0          201 per year        267per year       132 per year
      Average Crude Oil Throughput                0          677,000 bpd         252,000 bpd       450,000 bpd
      Barge Calls at Berth 408                    0               12                  0                  8
      Crude Oil Storage Tanks                     0               16                  0                 16
      Crude Oil Tank Capacity                     0         4.0 million bbl           0           4.0 million bbl
      Employees                                   0               54                  12                61




                                          -Proposed Project Impacts-
Unavoidable Significant Impacts                               Impacts that are Less than Significant after
                                                              Mitigation
  •    Air Quality and Meteorology (Construction,
       GHG, Criteria Pollutants)                                  •    Utilities and Public Services
  •    Biological Resources (CA Least Terns and                   •    Transportation
       Marine Resources)                                          •    Groundwater and Soils
  •    Geology (Seismic)
  •    Noise (Construction)                                   Less than Significant Impacts
  •    Water Quality (Discharges)                                • Aesthetics
  •    Recreation (Possible spills)                              • Cultural Resources
  •    Hazards(Possible spills)                                  • Land Use
                                                                 • Marine Vessel Transportation
                                                                 • Population and Housing




                                              -Project Mitigations-

  Project mitigation includes aggressive measures to reduced air emissions such as AMP and low sulfur
  fuel (0.2% in main engines, auxiliary engines, and boilers. Measures to reduce greenhouse gas emissions
  include solar panels, LEED certified terminal buildings, and regular energy audits. A complete list of
  mitigation measures can be found on the next page.



       Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
•   Air  Quality: Construction                             o   MM BIO-1.2c: Oil Spill Containment
    o   MM AQ-1: Ridesharing or Shuttle Service            o   MM BIO-1.2d: Security Lighting
    o   MM AQ-2 Staging Areas and Parking Lots             o   MM BIO-1.2e: Operations Personnel Environmental
    o   MM AQ-3: Construction Equipment Standards              Training
    o   MM AQ-4: Electricity Use Clean Harborcraft Used    o   MM BIO-1.2f: Vessel Speed Reduction
        During Construction
    o MM AQ-5: Best Management Practices
                                                          • Geology
    o MM AQ-6: Additional Fugitive Dust Controls            o MM GEO-1: Emergency Response Planning
    o MM AQ-7: VSRP for Cargo Ships
    o MM AQ-8: Low-Sulfur Fuel for Construction
                                                          • Transportation
        Delivery Vessels
                                                            o MM TRANS-1: Outbound Construction Worker
    o MM AQ-9: Engine Standards for Harbor Craft Used
                                                               Routing
        in Construction
    o MM AQ-10: Fleet Modernization for Construction        o MM 4F-1: Encouraging Carpooling
        Equipment                                           o MM 4F-2: Efficient Use of Truck Trips
    o MM AQ-11: General Mitigation Measure                  o MM 4F-4: Ridesharing, Parking Management, Auto
    o MM AQ-12: Special Precautions near Sensitive             Use/Truck Movement Restrictions
        Sites.                                              o MM 4F-5: Literature on VMT Reduction and
•   Air Quality Operation                                      Rideshare.
    o MM AQ-13: Vessel Speed Reduction Program
    o MM AQ-14: Low-Sulfur Fuel Ship Auxiliary
                                                          • Groundwater
        Engine, Main Engine and Boiler Fuel Improvement
                                                            o MM GW-1: Site Characterization and Remediation
        Program (0.2%)
                                                            o MM GW-2: Soil, Slurry, and Groundwater
    o MM AQ-15: Alternative Maritime Power
                                                               Characterization
    o MM AQ-16: Slide Valves
    o MM AQ-17: Parking Configuration                       o MM GW-3: Contamination Contingency Plan
    o MM AQ-18: New Vessel Builds                           o MM GW-4: Aquifer Cross-Contamination
    o MM AQ-19: General Mitigation Measure                     Prevention
    o MM AQ-20 Periodic Review of New Technology            o MM GW-5: Frac-Out Prevention
        and Regulations
    o MM AQ-24: Throughput Tracking                       • Noise
    o MM AQ-25: LEED Certification                          o MM 4H-1: Use of Proper Construction Equipment
    o MM AQ-26: Compact Fluorescent Light Bulbs                 MM 4H-2: Reduce Use of Portable Generators
    o MM AQ-27: Energy Audit                                o MM 4H-3: Coordinate Responses to Noise
    o MM AQ-28: Solar Panels                                    Complaints
    o MM AQ-29: Recycling                                   o MM NOISE-1: Selection of Contractor For Pile
    o MM AQ-30: Tree Planting                                   Driving With Consideration of Noise Reduction
                                                            o MM NOISE-2: Restricted Hours for Pile Driving
•   Biology                                                 o MM NOISE-3: Temporary
    o MM BIO-1.1a: Least Tern Monitoring
    o MM BIO-1.1b: Stone Column Installation
                                                          • Hazards
        Monitoring
                                                             o MM 4I-2: Clean Coastal Waters Cooperative
    o MM BIO-1.1c: Construction Schedule
                                                             o MM RISK-2.1a: Double Hulled Vessels
    o MM BIO-1.1d: Construction Contractor
                                                             o MM RISK-2.1b: Quick Release Couplings
        Environmental Training
    o MM BIO-1.1e: Perches
                                                          • Utilities and Public Services
    o MM BIO-1.1f: Lighting                                   o MM PS-1: Recycling of construction materials
    o MM BIO-1.1g: Vegetation Clearing                        o MM PS-2: Using materials with recycling content
    o MM BIO-1.1h: Protection of Special Status Species       o MM PS-3: AB 939 Compliance
        Nesting Birds
    o MM BIO-1.1i: Protection of California Least Tern    • Water Quality
        Nesting                                              o MM 4B-7: Increase Local Staffing of Department
    o MM BIO-1.1j: Noise Buffer                                  of Fish and Game Oil Spill Response Personnel
    o MM BIO-1.2a: Structure Perches                         o MM WQ-1.2: Cleanup of Floating Materials
    o MM BIO-1.2b: Predator Control                              Retained by Containment Boom
-Criteria Pollutants: Significant and Unavoidable-
                                                  Community Concerns

                                                         -Throughput-
                                CEQA                                  Proposed              Proposed               Proposed
                               Baseline     Proposed Project           Project               Project                Project
             Element            (2004)          (2010)1                (2015)                (2025)                 (2040)
Marine Terminal Acreage            0              5 acres               5 acres               5 acres               5 acres
Total Tank Farm Acreage            0            47.7 acres            47.7 acres            47.7 acres             47.7 acres
Tanker Calls                       0           129 per year          147 per year          201 per year         201 per year
Average Crude Oil
                                   0           350,000 bpd           500,000 bpd           677,000 bpd          677,000 bpd
Throughput
Barge Calls                        0                 6                     8                     12                   12
Crude Oil Storage Tanks            0                16                    16                     16                   16
Crude Oil Tank Capacity            0         4.0 million bbl        4.0 million bbl       4.0 million bbl      4.0 million bbl
                                                            2
Employees                          0            523 peak                  48                     54                   54
1 The proposed Project is projected to begin operation in 2010
2 The peak number shown represents peak employment during the construction phase (taking into account that operations would start in
  2010 while construction is ongoing




                                    Criteria Pollutant Emissions: Peak Daily
                 9000
                                                                                      Baseline
                 8000
                                                                                      Thresholds

                 7000                                                                 Proposed Project No Mitigation *
                                                                                      Mitigated Project 2010
                 6000                                                                 Mitigated Project 2015
                                                                                      Mitigated Project 2025
                 5000
       lbs/day




                                                                                      Mitigated Project 2040

                 4000
                                                                Baseline emissions are zero for this Project.
                                                                As shown, except for PM10 emissions in
                 3000
                                                                2040, NOx, SOx, PM10, and PM2.5
                 2000                                           emissions exceed thresholds for all years for
                                                                the Project with and without mitigation.
                 1000

                    0
                              NOX                        SOX                      PM10                      PM25

•   The proposed Project peak emissions without mitigation would not change over time. Emissions are assumed to begin in 2010 and
    continue until 2040.

          Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Health Risk Assessment (HRA): Less than Significant after Mitigation-
                   Cancer, Chronic (non-cancer) and Acute (non-cancer)
                                  Community Concerns


                                       Cancer Risk Isopleths

      Proposed Project (No Mitigation)                 Proposed Project (Mitigated) (2004-2073)




                                      Proposed Project Health Risk

                                                  Proposed                                Significance
  Health Impact          Receptor Type                            Mitigated Project
                                                   Project                                Thresholds
                          Residential          12 in a million     5.3 in a million
                       Occupational Area       9.7 in a million    4.8 in a million
   Cancer Risk                                                                           10 in a million
                       Sensitive Receptor      12 in a million     5.3 in a million
                            Student            6.9 in a million    2.4 in a million
                          Residential               0.017               0.0095
   Non-Cancer          Occupational Area            0.073               0.044
  Chronic Hazard                                                                                1
      Index            Sensitive Receptor           0.017               0.0095
                            Student                 0.012               0.0064
                          Residential                0.04               0.019
 Non-Cancer Acute      Occupational Area            0.043               0.026
                                                                                                1
   Hazard Index        Sensitive Receptor            0.04               0.019
                            Student                 0.028               0.013




  Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Hazardous Materials: Significant and Unavoidable for Potential Spills-
              -Terrorism and Security: Less than Significant-
                                                            Community Concerns

The below figure shows the Risk Matrix of Crude Oil Tanker Spills in the Port. As shown, there is a significant
            risk for single-hulled vessels. This project will be restricted to double-hulled vessels.
                                                                     Probability




                                                                                         >100 <10,000
                                                Extraordinary




                                                                                                               >1 and <100
                                                >1,000,000




                                                                   <1,000,000




                                                                                                                             (>1/year)
                                                                                                                             Frequent
                                                                                         Unlikely
                                                                   >10,000




                                                                                                               Likely
                                                                   years
                                                years




                                                                                         years




                                                                                                               years
                                                                   Rare
                            Disastrous        Double-Hull         Single-Hull
       Consequences




                          (>357,142 bbl)     Large Oil Spill     Large Oil Spill
                             Severe
                      (2,380–357,142 bbls)
                              Major                              Moderate Oil
                         (238–2,380 bbl)                        Spill (all designs)
                             Minor                                                     Double-Hull       Single-Hull
                          (10-238 bbl)                                                Small Oil Spill   Small Oil Spill
                           Negligible
                           (<10 bbls)

        Notes: Incidents that fall in the shaded area of the risk matrix would be classified as significant.


                                         Oil spills would be reduced by the following measures:

   •   Double-Hulled Vessels: Crude oil deliveries will be restricted to double-hulled vessels.
   •   Pipeline Leak Detection System: For all pipelines systems. The system would automatically alert
       the operator if a leak occurs so that appropriate actions can be taken to minimize the spill volume
       and duration.
   •   Quick-Release Couplings: Loading arms will be equipped with USCG-approved quick-release
       couplings.
   •   Fire-Fighting System: Each tank farm would be protected by a firewater loop line and equipped
       with a foam storage tank and proportioning skid. The crude oil tanks would be equipped with a
       foam ring and foam chambers.
   •   Oil Booms: Oil booms will be stored at the south entrance of the Pier 300 Shallow Water Habitat or
       at the causeway gap bridge at the south entrance to the Pier 300 Shallow Water Habitat, or deployed
       at these locations in accordance with the approved oil spill response plan.
                                                                     Security
 The likelihood of a successful terrorist attack is considered fairly low. However, potential impacts related to
 terrorism risk would be considered significant given the environmental and public safety consequences
 associated with a successful terrorist attack. Because oil does not explode, the main environmental issue
 associated with a potential attack would be oil spills. A variety of programs are in place at the Port to reduce
 potential terrorist threats. The Berth 408 operators would be required to participate in these programs, thus
 further minimizing the risk associated with terrorism.

 The following measures would reduce environmental impacts due to terrorism:

       Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
Terminal Security Measures

The Berth 408 terminal will be required to submit a Facility Security Assessment (FSA) and a Facility
Security Plan (FSP) to the Coast Guard Captain of the Port for review and approval. The Berth 408 FSP
would need to include the following:
  •   Designating a Facility Security Officer (FSO) with a general knowledge of current security threats and
      patterns, risk assessment methodology, and with the responsibility for implementing and periodically
      updating the FSP and Assessment and performing an annual audit for the life of the Project
  •   Conducting an FSA to identify site vulnerabilities, possible security threats, consequences of an attack,
      and facility protective measures;
  •   Developing an FSP based on the FSA with procedures for responding to transportation security incidents;
      notifying and coordinating with local, state, and federal authorities, preventing unauthorized access;
      implementing measures and equipment to prevent or deter dangerous substances and devices; and
      conducting training and evacuation;
  •   Implementing scalable security measures to provide increasing levels of security at increasing Maritime
      Security (MARSEC) levels for facility access control, restricted areas, cargo handling, vessel stores and
      bunkers, and monitoring;
  •   Conducting security exercises at least once each calendar year and drills at least every 3 months; and
  •   Mandatory reporting of all security breaches and incidents.


                                          Vessel Security Measures
All vessels 300 gross tons or larger that are flagged by IMO signatory nations adhere to the ISPS Code
standards. These requirements include:
  •   Ships must develop security plans that address monitoring and controlling access; monitoring the
      activities of people, cargo, and stores; and ensuring the security and availability of communications;
  •   Ships must have a Ship Security Officer (SSO);
  •   Ships must be provided with a ship security alert system. These systems transmit ship-to-shore security
      alerts to a competent authority designated by the Flag State Administration, which may communicate the
      company name, identify the ship, establish its location, and indicate that the ship’s security is under threat
      or has been compromised. For the west coast, this signal is received by the Coast Guard Pacific Area
      Command Center in Alameda, California;
  •   International port facilities that ships visit must have a security plan, including focused security for areas
      having direct contact with ships;
  •   Ships may have certain equipment onboard to help maintain or enhance the physical security of the ship
      including:
      o Monitoring and controlling access;
      o Monitoring the activities of people and cargo;
      o Ensuring the security and availability of communications; and,
      o Completing a Declaration of Security signed by the FSO and SSO, which ensures that areas of
        security overlapping between the ship and facility are adequately addressed.
Vessels flagged by nations which are not IMO signatory are subject to special USCG vessel security boarding
prior to entering port.
-Land Use and Traffic: Less than Significant-
                                           Community Concerns

There are no truck or rail trips as a result of the proposed Project. All oil will travel only by pipeline.

                                                   Land Use
The Project would be located within the Port Master Plan’s planning Areas 5, 7, and 9. Residences and other
sensitive uses located in San Pedro and Wilmington would be at least 0.5 mile from the nearest pipeline
construction site, and over 1 mile from a tank farm site or the Marine Terminal Although a portion of the
proposed 24-inch pipeline would be constructed along the northernmost boundary of the POLA, across Alameda
Street from Wilmington residences, this pipeline would be placed underground and would be located on POLA
property. No portion of the pipelines would be routed through a residential community.


             Pipelines
               only




      Tanks and
       Pipeline




      Wharf,
     Tanks and
      Pipeline

                                                       Traffic

     Because the oil will only leave the facility landside by pipeline (i.e. no truck or rail trips), there will
     be no traffic impacts. The Draft SEIS/SEIR analyzes construction and employee travel which are
     both less than significant.



   Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
-Aesthetics: Less than Significant-
                                       Community Concerns

                           Project Features not within Critical Public Views:
                                       • Tank Farm 2
                                       • Pipelines
                                       • Construction Staging areas

                           Project Features within Critical Public Views:
                                       • Tank Farm 1
                                       • Marine Tankers
                                       • Barges



                        Views from Cabrillo Beach Pre and Post Project




Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
The Corps and the Port will use the contents of the DEIS/EIR in deciding whether to approve a
project or project alternative. The steps in the process and opportunities for public input are
identified below:

Step 1 - Notice of Intent/Preparation (NOI/NOP)
This NOI/NOP was published for public review in June 2004. Comments received on the NOP/NOI were used
in the preparation of the DEIS/EIR.

Step 2 - Draft EIS/EIR (DEIS/EIR)
The Draft EIS/EIR will be released for a 60-day review period beginning on May 28th with close of comments
on July 29, 2008.

Availability: The Draft EIS/EIR is available for review at the following locations:

Los Angeles Public Library, Central Branch                    Los Angeles Public Library, Wilmington Branch
630 West 5th Street                                           1300 North Avalon Blvd.
Los Angeles CA 90071                                          Wilmington, CA 90744

Los Angeles Public Library, San Pedro Branch                  Port of Los Angeles Administration Building
921 South Gaffey Street                                       425 South Palos Verdes Street
San Pedro, CA 90731                                           San Pedro, CA 90731

The DEIS/EIR is available on line at www.portoflosangeles.org. A limited number of printed copies of the
DEIS/EIR are also available at the Port’s Environmental Management Division offices to purchase. The
DEIS/EIR is also available on CD for no charge.

Public Meeting: There will be a public meeting to receive oral and written comments on June 26, 2008 at 6:00
p.m. in the Board Hearing Room. This meeting is to be conducted in English with simultaneous English/Spanish
translation services provided.

Written Comments: Written comments on the Draft EIS/EIR can be provided at the Public Meeting or sent
any time prior to July 29, 2008 to both of the addresses below:

U.S. Army Corps of Engineers, Los Angeles District            Los Angeles, California 90053-2325
Regulatory Division                                           Dr. Ralph G. Appy
c/o Spencer D. MacNeil D.Env.                                 Port of Los Angeles
ATTN: CESPL-RG-2004-00917-SDM                                 425 South Palos Verdes Street
P.O. Box 532711                                               San Pedro, CA 90731

Comments can also be sent electronically to: ceqacomments@portla.org


Step 3 - Final EIS/EIR (FEIR/EIS)
A FEIS/EIR will be prepared following receipt of oral and written public comments received. The FEIS/EIR
will include responses to all of the comments received on the DEIS/EIR and will include any changes required
to the DEIR/EIS as a result of public comment. Staff anticipates this will occur in the fall of 2008.

Step 4 - Approval Action(s)
Following completion of the FEIS/EIR, a public hearing(s) will be held by the Port where the Board of Harbor
Commissioners will deliberate on whether to certify the FEIR and whether or not to approve a project or project
alternative. Comments from the public will be taken by the Board at that hearing. Port staff anticipate this
hearing will be held in the fall of 2008. The Corps is expected to prepare a Record of Decision within 60 days of
publication of FEIS.

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Overview

  • 1. Pacific L.A. Marine Terminal LLC Crude Oil Terminal Draft Project -Environmental Review – A Draft Supplemental Environmental Impact Statement/Subsequent Environmental Impact Report (SEIS/SEIR) on the Pacific L.A. Marine Terminal LLC Crude Oil Terminal Project, prepared by the U.S. Army Corps of Engineers (Corps) and Port of Los Angeles (Port), will be released for public review. The Draft SEIS/SEIR provides information on the proposed project, alternatives to the project, anticipated environmental impacts of the project and alternatives, and mitigation to reduce or eliminate impacts. Following the public process, the Corps and Port will revise the Draft SEIS/SEIR and use it as a basis in drafting the Final SEIS/SEIR. Subsequent/Supplemental Document: The development of a deep-draft marine oil terminal on Pier 400 is consistent with the project that was originally envisioned and analyzed in the Deep Draft EIS/EIR and therefore is not a major revision to the original project. The proposed Project is on land that was created as a result of the environmental review and approvals that occurred during the original Deep Draft EIS/EIR process. However, the LAHD is designating this document as a Subsequent EIR (and the USACE is considering it a Supplemental EIS) because it represents not simply an updating of the Deep Draft EIS/EIR, but a full, project-specific EIR that tiers from the Deep Draft EIS/EIR. -Project Features- The proposed Project would include construction and operation of a new marine terminal at Berth 408 on Pier 400 (Marine Terminal), new tank farm facilities with a total of 4.0 million barrels (bbl) of capacity, and pipelines connecting the Marine Terminal and the tank farms to local refineries. The terminal would be operated by Pacific Los Angeles Marine Terminal, LLC (PLAMT) under a 30-year lease from the Los Angeles Harbor Department (LAHD). PLAMT is a wholly-owned subsidiary of Plains All American Pipeline, L.P. (Plains). • Berth 408 Marine Terminal • Tank Farms and Pipes - Wharf Construction - Terminal Island (TI) Tank Farm including - Terminal construction: Buildings and Fourteen 250,000-bbl tanks Pumps including two 250,000-bbl tanks - Motor Control Center, Tank Farm Operator - 30-year lease (2010-2040) Office and Control Building - AMP facilities on wharf - 42-inch diameter pipeline from the Marine - LEED Certified Admin. Building Terminal to TI Tank Farm - Two 36-inch diameter pipelines would connect TI Tank Farm to the existing network of pipelines at Ferry Street - 36-inch diameter spur running from the existing network at Ferry Street into the ExxonMobil Southwest Terminal Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 2. -Proposed Project - Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 3. -Proposed Project Objectives and Need- OBJECTIVE: To construct a crude oil marine terminal capable of accommodating deep-draft VLCC tankers and construct associated infrastructure capacity that would efficiently accommodate a portion of the forecasted increases in demand for crude oil to be shipped to southern California by sea, while maximizing the use of deep-water facilities created for the purpose by the Deep-Draft Navigation Improvements Project and integrating into the Port’s overall utilization of available shoreline. NEED: Consumer demand for transportation fuels exceeds the capacity of refineries to produce them, both statewide and in southern California specifically. Crude production from California and Alaska (as well as the rest of the U.S.) is decreasing. California crude production peaked in 1985 and has declined by 39 percent since 1986; Alaskan crude production peaked in 1988 and has declined 60 percent since that time. The decline in domestic production has resulted in an increase in foreign imports, which arrive in the Los Angeles area after being transported via tanker vessels. California Assembly Bill 1007 directed the CEC, in partnership with CARB, to develop a State Alternative Fuels Plan to increase the use of alternative fuels without adversely affecting air pollution, water pollution, and public health. However, even with full implementation of the State Alternative Fuels Plan, CEC found that “conventional petroleum fuels will be the main source of transportation energy for the foreseeable future…. California must address its petroleum infrastructure problems and act prudently to secure transportation fuels to meet the needs of our growing population” (CEC 2007b). CEC stated further that “This should be viewed as a strategy to allow time for the market and consumer behavior to adjust to alternative fuels and transportation choices. During this transition, California must be innovative and aggressive in finding more ways to make increased efficiency, greater renewable fuel use, and smart land use planning the most desirable consumer options” (CEC 2007b).
  • 4. FOREIGN SUPPLY: In 2005, about 45% of foreign crude oil imports to southern California came from the Middle East (i.e., Saudi Arabia, Iraq, Yemen, Oman, and Kuwait), and another 46% came from Central and South America. Middle East imports generally arrive in VLCC vessels because larger vessels are more cost effective for longer voyages than smaller vessels. However, as no crude oil terminals in Southern California are capable of accommodating a fully loaded VLCC due to wharf and water depth restrictions, fully loaded VLCCs must currently offload crude oil onto smaller vessels to transfer to the receiving terminal, a process called lightering. CURRENT CAPACITY: Currently five terminals close to Los Angeles are capable of receiving crude oil: Berths 76-78, 84-87, and 121 in POLB, Berths 238-240 in Port, and an offshore mooring facility off the coast of El Segundo in Santa Monica Bay. Outside of these facilities, the nearest U.S. terminals capable of receiving crude oil tankers are at the Port of Hueneme (Ventura County) and the San Francisco Bay Area. However, the Port of Hueneme can accommodate only barges, not tanker vessels, and is primarily designed to receive crude oil from offshore platforms. The Bay Area petroleum import infrastructure is also at or near capacity, and the maximum depth at berth available to tanker vessels is 50 feet (CEC 2005). Crude oil pipelines currently transport California crude oil from the San Joaquin Valley to the Los Angeles Basin, but no pipelines transport crude oil into California from neighboring states or from Mexico. NO PROJECT: Without the Project, it is assumed that a portion of the increased demand for imports of crude oil in southern California would be accommodated at existing liquid bulk terminals in the Port and the Port of Long Beach. Increased lightering could take place in coastal waters, would create increased air quality, risk of upset, water quality, and marine transportation impacts. Additional imports of crude oil may come in by truck, rail, or barge (no pipelines transport crude oil into California, neither from neighboring states nor from Mexico), and additional refined products may come in by vessel, barge, truck, or rail. Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 5. -Proposed Project - -Proposed Project and Alternatives Comparison- No Federal Reduced CEQA Action/No Project Baseline Proposed Project Project Alternative 2004 2040 2040 2040 Marine Terminal Acreage 0 5 acres 0 5 acres Total Tank Farm Acreage 0 47.7 acres 0 47.7 acres Tanker Calls at Berth 408 0 201 per year 267per year 132 per year Average Crude Oil Throughput 0 677,000 bpd 252,000 bpd 450,000 bpd Barge Calls at Berth 408 0 12 0 8 Crude Oil Storage Tanks 0 16 0 16 Crude Oil Tank Capacity 0 4.0 million bbl 0 4.0 million bbl Employees 0 54 12 61 -Proposed Project Impacts- Unavoidable Significant Impacts Impacts that are Less than Significant after Mitigation • Air Quality and Meteorology (Construction, GHG, Criteria Pollutants) • Utilities and Public Services • Biological Resources (CA Least Terns and • Transportation Marine Resources) • Groundwater and Soils • Geology (Seismic) • Noise (Construction) Less than Significant Impacts • Water Quality (Discharges) • Aesthetics • Recreation (Possible spills) • Cultural Resources • Hazards(Possible spills) • Land Use • Marine Vessel Transportation • Population and Housing -Project Mitigations- Project mitigation includes aggressive measures to reduced air emissions such as AMP and low sulfur fuel (0.2% in main engines, auxiliary engines, and boilers. Measures to reduce greenhouse gas emissions include solar panels, LEED certified terminal buildings, and regular energy audits. A complete list of mitigation measures can be found on the next page. Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 6. Air Quality: Construction o MM BIO-1.2c: Oil Spill Containment o MM AQ-1: Ridesharing or Shuttle Service o MM BIO-1.2d: Security Lighting o MM AQ-2 Staging Areas and Parking Lots o MM BIO-1.2e: Operations Personnel Environmental o MM AQ-3: Construction Equipment Standards Training o MM AQ-4: Electricity Use Clean Harborcraft Used o MM BIO-1.2f: Vessel Speed Reduction During Construction o MM AQ-5: Best Management Practices • Geology o MM AQ-6: Additional Fugitive Dust Controls o MM GEO-1: Emergency Response Planning o MM AQ-7: VSRP for Cargo Ships o MM AQ-8: Low-Sulfur Fuel for Construction • Transportation Delivery Vessels o MM TRANS-1: Outbound Construction Worker o MM AQ-9: Engine Standards for Harbor Craft Used Routing in Construction o MM AQ-10: Fleet Modernization for Construction o MM 4F-1: Encouraging Carpooling Equipment o MM 4F-2: Efficient Use of Truck Trips o MM AQ-11: General Mitigation Measure o MM 4F-4: Ridesharing, Parking Management, Auto o MM AQ-12: Special Precautions near Sensitive Use/Truck Movement Restrictions Sites. o MM 4F-5: Literature on VMT Reduction and • Air Quality Operation Rideshare. o MM AQ-13: Vessel Speed Reduction Program o MM AQ-14: Low-Sulfur Fuel Ship Auxiliary • Groundwater Engine, Main Engine and Boiler Fuel Improvement o MM GW-1: Site Characterization and Remediation Program (0.2%) o MM GW-2: Soil, Slurry, and Groundwater o MM AQ-15: Alternative Maritime Power Characterization o MM AQ-16: Slide Valves o MM AQ-17: Parking Configuration o MM GW-3: Contamination Contingency Plan o MM AQ-18: New Vessel Builds o MM GW-4: Aquifer Cross-Contamination o MM AQ-19: General Mitigation Measure Prevention o MM AQ-20 Periodic Review of New Technology o MM GW-5: Frac-Out Prevention and Regulations o MM AQ-24: Throughput Tracking • Noise o MM AQ-25: LEED Certification o MM 4H-1: Use of Proper Construction Equipment o MM AQ-26: Compact Fluorescent Light Bulbs MM 4H-2: Reduce Use of Portable Generators o MM AQ-27: Energy Audit o MM 4H-3: Coordinate Responses to Noise o MM AQ-28: Solar Panels Complaints o MM AQ-29: Recycling o MM NOISE-1: Selection of Contractor For Pile o MM AQ-30: Tree Planting Driving With Consideration of Noise Reduction o MM NOISE-2: Restricted Hours for Pile Driving • Biology o MM NOISE-3: Temporary o MM BIO-1.1a: Least Tern Monitoring o MM BIO-1.1b: Stone Column Installation • Hazards Monitoring o MM 4I-2: Clean Coastal Waters Cooperative o MM BIO-1.1c: Construction Schedule o MM RISK-2.1a: Double Hulled Vessels o MM BIO-1.1d: Construction Contractor o MM RISK-2.1b: Quick Release Couplings Environmental Training o MM BIO-1.1e: Perches • Utilities and Public Services o MM BIO-1.1f: Lighting o MM PS-1: Recycling of construction materials o MM BIO-1.1g: Vegetation Clearing o MM PS-2: Using materials with recycling content o MM BIO-1.1h: Protection of Special Status Species o MM PS-3: AB 939 Compliance Nesting Birds o MM BIO-1.1i: Protection of California Least Tern • Water Quality Nesting o MM 4B-7: Increase Local Staffing of Department o MM BIO-1.1j: Noise Buffer of Fish and Game Oil Spill Response Personnel o MM BIO-1.2a: Structure Perches o MM WQ-1.2: Cleanup of Floating Materials o MM BIO-1.2b: Predator Control Retained by Containment Boom
  • 7. -Criteria Pollutants: Significant and Unavoidable- Community Concerns -Throughput- CEQA Proposed Proposed Proposed Baseline Proposed Project Project Project Project Element (2004) (2010)1 (2015) (2025) (2040) Marine Terminal Acreage 0 5 acres 5 acres 5 acres 5 acres Total Tank Farm Acreage 0 47.7 acres 47.7 acres 47.7 acres 47.7 acres Tanker Calls 0 129 per year 147 per year 201 per year 201 per year Average Crude Oil 0 350,000 bpd 500,000 bpd 677,000 bpd 677,000 bpd Throughput Barge Calls 0 6 8 12 12 Crude Oil Storage Tanks 0 16 16 16 16 Crude Oil Tank Capacity 0 4.0 million bbl 4.0 million bbl 4.0 million bbl 4.0 million bbl 2 Employees 0 523 peak 48 54 54 1 The proposed Project is projected to begin operation in 2010 2 The peak number shown represents peak employment during the construction phase (taking into account that operations would start in 2010 while construction is ongoing Criteria Pollutant Emissions: Peak Daily 9000 Baseline 8000 Thresholds 7000 Proposed Project No Mitigation * Mitigated Project 2010 6000 Mitigated Project 2015 Mitigated Project 2025 5000 lbs/day Mitigated Project 2040 4000 Baseline emissions are zero for this Project. As shown, except for PM10 emissions in 3000 2040, NOx, SOx, PM10, and PM2.5 2000 emissions exceed thresholds for all years for the Project with and without mitigation. 1000 0 NOX SOX PM10 PM25 • The proposed Project peak emissions without mitigation would not change over time. Emissions are assumed to begin in 2010 and continue until 2040. Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 8. -Health Risk Assessment (HRA): Less than Significant after Mitigation- Cancer, Chronic (non-cancer) and Acute (non-cancer) Community Concerns Cancer Risk Isopleths Proposed Project (No Mitigation) Proposed Project (Mitigated) (2004-2073) Proposed Project Health Risk Proposed Significance Health Impact Receptor Type Mitigated Project Project Thresholds Residential 12 in a million 5.3 in a million Occupational Area 9.7 in a million 4.8 in a million Cancer Risk 10 in a million Sensitive Receptor 12 in a million 5.3 in a million Student 6.9 in a million 2.4 in a million Residential 0.017 0.0095 Non-Cancer Occupational Area 0.073 0.044 Chronic Hazard 1 Index Sensitive Receptor 0.017 0.0095 Student 0.012 0.0064 Residential 0.04 0.019 Non-Cancer Acute Occupational Area 0.043 0.026 1 Hazard Index Sensitive Receptor 0.04 0.019 Student 0.028 0.013 Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 9. -Hazardous Materials: Significant and Unavoidable for Potential Spills- -Terrorism and Security: Less than Significant- Community Concerns The below figure shows the Risk Matrix of Crude Oil Tanker Spills in the Port. As shown, there is a significant risk for single-hulled vessels. This project will be restricted to double-hulled vessels. Probability >100 <10,000 Extraordinary >1 and <100 >1,000,000 <1,000,000 (>1/year) Frequent Unlikely >10,000 Likely years years years years Rare Disastrous Double-Hull Single-Hull Consequences (>357,142 bbl) Large Oil Spill Large Oil Spill Severe (2,380–357,142 bbls) Major Moderate Oil (238–2,380 bbl) Spill (all designs) Minor Double-Hull Single-Hull (10-238 bbl) Small Oil Spill Small Oil Spill Negligible (<10 bbls) Notes: Incidents that fall in the shaded area of the risk matrix would be classified as significant. Oil spills would be reduced by the following measures: • Double-Hulled Vessels: Crude oil deliveries will be restricted to double-hulled vessels. • Pipeline Leak Detection System: For all pipelines systems. The system would automatically alert the operator if a leak occurs so that appropriate actions can be taken to minimize the spill volume and duration. • Quick-Release Couplings: Loading arms will be equipped with USCG-approved quick-release couplings. • Fire-Fighting System: Each tank farm would be protected by a firewater loop line and equipped with a foam storage tank and proportioning skid. The crude oil tanks would be equipped with a foam ring and foam chambers. • Oil Booms: Oil booms will be stored at the south entrance of the Pier 300 Shallow Water Habitat or at the causeway gap bridge at the south entrance to the Pier 300 Shallow Water Habitat, or deployed at these locations in accordance with the approved oil spill response plan. Security The likelihood of a successful terrorist attack is considered fairly low. However, potential impacts related to terrorism risk would be considered significant given the environmental and public safety consequences associated with a successful terrorist attack. Because oil does not explode, the main environmental issue associated with a potential attack would be oil spills. A variety of programs are in place at the Port to reduce potential terrorist threats. The Berth 408 operators would be required to participate in these programs, thus further minimizing the risk associated with terrorism. The following measures would reduce environmental impacts due to terrorism: Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 10. Terminal Security Measures The Berth 408 terminal will be required to submit a Facility Security Assessment (FSA) and a Facility Security Plan (FSP) to the Coast Guard Captain of the Port for review and approval. The Berth 408 FSP would need to include the following: • Designating a Facility Security Officer (FSO) with a general knowledge of current security threats and patterns, risk assessment methodology, and with the responsibility for implementing and periodically updating the FSP and Assessment and performing an annual audit for the life of the Project • Conducting an FSA to identify site vulnerabilities, possible security threats, consequences of an attack, and facility protective measures; • Developing an FSP based on the FSA with procedures for responding to transportation security incidents; notifying and coordinating with local, state, and federal authorities, preventing unauthorized access; implementing measures and equipment to prevent or deter dangerous substances and devices; and conducting training and evacuation; • Implementing scalable security measures to provide increasing levels of security at increasing Maritime Security (MARSEC) levels for facility access control, restricted areas, cargo handling, vessel stores and bunkers, and monitoring; • Conducting security exercises at least once each calendar year and drills at least every 3 months; and • Mandatory reporting of all security breaches and incidents. Vessel Security Measures All vessels 300 gross tons or larger that are flagged by IMO signatory nations adhere to the ISPS Code standards. These requirements include: • Ships must develop security plans that address monitoring and controlling access; monitoring the activities of people, cargo, and stores; and ensuring the security and availability of communications; • Ships must have a Ship Security Officer (SSO); • Ships must be provided with a ship security alert system. These systems transmit ship-to-shore security alerts to a competent authority designated by the Flag State Administration, which may communicate the company name, identify the ship, establish its location, and indicate that the ship’s security is under threat or has been compromised. For the west coast, this signal is received by the Coast Guard Pacific Area Command Center in Alameda, California; • International port facilities that ships visit must have a security plan, including focused security for areas having direct contact with ships; • Ships may have certain equipment onboard to help maintain or enhance the physical security of the ship including: o Monitoring and controlling access; o Monitoring the activities of people and cargo; o Ensuring the security and availability of communications; and, o Completing a Declaration of Security signed by the FSO and SSO, which ensures that areas of security overlapping between the ship and facility are adequately addressed. Vessels flagged by nations which are not IMO signatory are subject to special USCG vessel security boarding prior to entering port.
  • 11. -Land Use and Traffic: Less than Significant- Community Concerns There are no truck or rail trips as a result of the proposed Project. All oil will travel only by pipeline. Land Use The Project would be located within the Port Master Plan’s planning Areas 5, 7, and 9. Residences and other sensitive uses located in San Pedro and Wilmington would be at least 0.5 mile from the nearest pipeline construction site, and over 1 mile from a tank farm site or the Marine Terminal Although a portion of the proposed 24-inch pipeline would be constructed along the northernmost boundary of the POLA, across Alameda Street from Wilmington residences, this pipeline would be placed underground and would be located on POLA property. No portion of the pipelines would be routed through a residential community. Pipelines only Tanks and Pipeline Wharf, Tanks and Pipeline Traffic Because the oil will only leave the facility landside by pipeline (i.e. no truck or rail trips), there will be no traffic impacts. The Draft SEIS/SEIR analyzes construction and employee travel which are both less than significant. Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 12. -Aesthetics: Less than Significant- Community Concerns Project Features not within Critical Public Views: • Tank Farm 2 • Pipelines • Construction Staging areas Project Features within Critical Public Views: • Tank Farm 1 • Marine Tankers • Barges Views from Cabrillo Beach Pre and Post Project Draft Supplemental Environmental Impact Statement/Subsequent Draft Environmental Impact Report (SEIS/SEIR)
  • 13. The Corps and the Port will use the contents of the DEIS/EIR in deciding whether to approve a project or project alternative. The steps in the process and opportunities for public input are identified below: Step 1 - Notice of Intent/Preparation (NOI/NOP) This NOI/NOP was published for public review in June 2004. Comments received on the NOP/NOI were used in the preparation of the DEIS/EIR. Step 2 - Draft EIS/EIR (DEIS/EIR) The Draft EIS/EIR will be released for a 60-day review period beginning on May 28th with close of comments on July 29, 2008. Availability: The Draft EIS/EIR is available for review at the following locations: Los Angeles Public Library, Central Branch Los Angeles Public Library, Wilmington Branch 630 West 5th Street 1300 North Avalon Blvd. Los Angeles CA 90071 Wilmington, CA 90744 Los Angeles Public Library, San Pedro Branch Port of Los Angeles Administration Building 921 South Gaffey Street 425 South Palos Verdes Street San Pedro, CA 90731 San Pedro, CA 90731 The DEIS/EIR is available on line at www.portoflosangeles.org. A limited number of printed copies of the DEIS/EIR are also available at the Port’s Environmental Management Division offices to purchase. The DEIS/EIR is also available on CD for no charge. Public Meeting: There will be a public meeting to receive oral and written comments on June 26, 2008 at 6:00 p.m. in the Board Hearing Room. This meeting is to be conducted in English with simultaneous English/Spanish translation services provided. Written Comments: Written comments on the Draft EIS/EIR can be provided at the Public Meeting or sent any time prior to July 29, 2008 to both of the addresses below: U.S. Army Corps of Engineers, Los Angeles District Los Angeles, California 90053-2325 Regulatory Division Dr. Ralph G. Appy c/o Spencer D. MacNeil D.Env. Port of Los Angeles ATTN: CESPL-RG-2004-00917-SDM 425 South Palos Verdes Street P.O. Box 532711 San Pedro, CA 90731 Comments can also be sent electronically to: ceqacomments@portla.org Step 3 - Final EIS/EIR (FEIR/EIS) A FEIS/EIR will be prepared following receipt of oral and written public comments received. The FEIS/EIR will include responses to all of the comments received on the DEIS/EIR and will include any changes required to the DEIR/EIS as a result of public comment. Staff anticipates this will occur in the fall of 2008. Step 4 - Approval Action(s) Following completion of the FEIS/EIR, a public hearing(s) will be held by the Port where the Board of Harbor Commissioners will deliberate on whether to certify the FEIR and whether or not to approve a project or project alternative. Comments from the public will be taken by the Board at that hearing. Port staff anticipate this hearing will be held in the fall of 2008. The Corps is expected to prepare a Record of Decision within 60 days of publication of FEIS.