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Agreements & Contracts: Halifax, Gulfport, Los Angeles, Tampa

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A sister port agreement between Shenzhen and Halifax was signed October 14 in the Chinese port city by Huang Min, director general of the Transport Commission of the Shenzhen Municipality and Geoffrey Machum, Q.C., chair of the Halifax Port Authority. The Mississippi State Port Authority and Island View Casino Resort on October 17 signed a long-term lease that provides for an expansion of the resort’s hotel operations in Gulfport. The Port of Los Angeles Small Business Enterprise (SBE) Program awarded $97.6 million in contracts to small businesses during the 2012-2013 fiscal year. AIDA Cruises will homeport two vessels in Tampa, AIDAvita in 2014-2015 and AIDAmar in 2015-2016 cruise season.

Halifax/Shenzhen Sister Port Agreement 

A sister port agreement between Shenzhen and Halifax was signed October 14 in the Chinese port city by Huang Min, director general of the Transport Commission of the Shenzhen Municipality and Geoffrey Machum, Q.C., chair of the Halifax Port Authority.

The Shenzhen port and its four terminal operators – Yantian, Chiwan, Shekou and Dachan Bay – constitute the world’s fourth busiest container handler, with volume in 2012 of nearly 23 million TEUs. It is the main container hub for Guangdong province and the Pearl River economic zone.

Asia accounted for 48 percent of the 3.5 million metric tons of containerized cargo handled at the Port of Halifax in 2012. China is Halifax’s No. 1 trading partner.

The objectives of the agreement are to develop and expand two-way trade between the two ports and to deepen understanding and build relations between the two regions of Canada and China. The Shenzen Port Authority has similar agreements with the ports of Antwerp, Zeebrugge, Hamburg and Virginia, among others.

"We are honored to become associated with the vibrant future of the Port of Shenzhen and the growth of trade between the People’s Republic of China and Canada," said Mr. Machum. "This agreement furthers the Halifax Port Authority’s growth strategy in the development of both Asian and European trade as Canada’s Atlantic Gateway."

Gulfport: Port Authority, Island View Casino/Resort Ink Long-Term Lease 

The Mississippi State Port Authority and Island View Casino Resort on October 17 signed a long-term lease that provides for an expansion of the resort’s hotel operations in Gulfport.

The 10-year lease agreement contains multiple options to renew, creating a lease for up to 50 years, and affirms Island View’s commitment to invest no less than $30 million to renovate the hotel property. The Island View plans a $50 million investment to transform that property into a 400-room hotel and convention center.

"The commission has secured an agreement that not only benefits the port, but the tourism industry and the Gulfport community as well," said Port Authority Executive Director and CEO Jonathan Daniels. "We’re pleased that our partnership with the Island View will continue for many years."

Los Angeles Small Business Enterprise Program Reports Continued Strong Participation

The Port of Los Angeles Small Business Enterprise (SBE) Program awarded $97.6 million in contracts to small businesses during the 2012-2013 fiscal year of the $405.9 million that was awarded in construction and professional service contracts by the port during the period.  

The SBE Program was created in 2007 to provide additional opportunities for small businesses to participate in professional service and construction contracts. Of the $1.3 billion in total contracts awarded over the last six fiscal years, $431.5 million, or 32 percent of the total dollars, has gone to small business enterprises.

Of the $97.6 million awarded in FY 2012-2013, $30.8 million went to minority-owned small businesses and $21.6 million to businesses owned by women. While other Los Angeles city departments mandate that a contract awardee show a "good faith effort" to include small, minority or women-owned businesses, the port makes it a requirement that contract awardees include SBE participation. 

Annually, the port sets an overall goal of 25 percent SBE participation, of which 5 percent is designated for Very Small Business Enterprises (VSBEs), a stipulation added in 2010. VSBEs are firms with three-year average gross revenues of less than $3.5 million. The port establishes SBE/VSBE requirements for each contract that it awards, except in the case of some federally funded contracts that do not allow mandatory SBE requirements. 

"The port's SBE program has enabled boutique information technology organizations like ours to competitively bid as prime vendors, which in turn has allowed us to partner with other local minority businesses to successfully deliver projects for the port," said Sanjeev Sehgal, vice president of operations at Trinus Corporation. "The port's SBE program has opened doors for small businesses like ours and enabled us to grow."

The port further expanded its SBE program to accept Disabled-Veteran Business Enterprise (DVBE) certifications in 2011, awarding two contracts to DVBEs that year in the amount of $154,000. In FY 2012-2013, the port awarded five contracts for a total of $7,704,267 to DVBEs, and hopes to continue growing the program in the coming years.

Tampa to Homeport AIDA Cruises in 2014 and 2015 Seasons

AIDA Cruises will home port two of its ships in TampaAIDAvita in 2014-2015 season and AIDAmar in 2015-2016 cruise season. AIDA, a Carnival Corporation brand company, is headquartered in Rostock, Germany, and caters to a largely German-speaking clientele.

As part of AIDA’s’ new Caribbean butterfly route, AIDAvita will begin sailing the first of four Western Caribbean cruises from Tampa in December 2014. The following season, in 2015, AIDAmar will sail seven cruises out of Tampa. AIDA Cruises’ entry into the Tampa market means that the Port of Tampa will now home port ships from five cruise lines.

AIDAvita, the second ship in the AIDA fleet, was launched in 2002, and has a 1,266-passenger capacity and crew size of 384.  Launched in 2012, AIDAmar, a Sphinx Class ship, has a 2,194-passenger capacity and 609 crew.

"AIDA Cruises’ announcement to come to Tampa is a milestone for us, not only at the port, but for all of our tourism and economic development partners in the region," said Paul Anderson, TPA president and CEO. "We are thrilled to welcome AIDA to Tampa Bay, and we know this will be the beginning of a long and rewarding relationship with this fine cruise line that has recognized our strong and distinct market and has decided to be a part of the growth we are experiencing in the region.
  
AIDA Cruises AIDAvita (left) will sail four cruises from Tampa in late 2014; AIDAmar (right) will then sail
from Tampa with seven cruises the following season in 2015.
Photos/AIDA Cruises
 

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