Oakland port receives nine responses for terminal lease
The Port of Oakland's has received responses from nine private firms, including ocean carriers, financial institutions and terminal operators, seeking to operate and improve a major cargo facility at the port.
The area up for bid encompasses 4,500 feet of berth and 150 acres of container storage area at berths 20 through 24. The proposed contract would take effect Jan. 1, 2010, and would also offer the option of the private firm to add another 1,100 feet of adjacent wharfage at berths 25 to 26 once the current leaseholder's contract expires in 2013.
Port officials with this facility are also trying lengthen the typical lease duration. In the past, the port has opted for 10 to 15-year contracts with tenants while the proposed lease is looking to set a 30-year term.
The Request for Qualifications for the facility is part of the port's effort to increase the number of public-private partnerships at the port. The effort is a response to the port's financial situation, including a reforecasting of projected revenues, a nearly $19 million budget deficit, and plans to cut more than 10 percent of the port staff. The winning bidder will be required to provide certain improvements to the facility, including environmental upgrades to reduce port-generated pollution.
According to port officials, after reviewing the nine submissions port staff will narrow the list of companies to a shortlist and then issue a Request For Proposal to those firms.