Q2. Would barges loaded or unloaded at SBMT meet the maritime requirement? A2. Yes.

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1 Reactivation of the South Brooklyn Marine Terminal RFP # 6167 Questions & Answers Friday, February 26, 2016 Q1. Does cargo shipped by rail that uses the NYNJR-operated carfloat satisfy the RFP s maritime requirement? A1. That alone is not sufficient to satisfy the maritime requirement. Q2. Would barges loaded or unloaded at SBMT meet the maritime requirement? A2. Yes. Q3. Will any reduction of truck traffic from using rail be considered? A3. Yes, that will be considered in evaluating respondents proposals in terms of the Development Goals, but it alone will not satisfy the maritime requirement of the overall project. Q4. Where can Respondents obtain the 2015 inspection report and the CAD files that are referenced in the RFP? A4. The 2015 inspection report and the CAD files are in the Site Information File. It is available for $100. You must sign a waiver to receive the Site Information File. Q5. What is the depth of the water at the piers? A5. The authorized depth at the 39 th Street Pier is 33ft + 2ft below mean low water. There are soundings available in the Site Information File from February Q6. Are there any limitations on commodities? Is breakbulk acceptable? A6. Acceptable and prohibited uses are described in the RFP. Q7. Are recycled materials acceptable? A7. The prohibited uses are listed in RFP. 1

2 Q8. How much additional volume can the SBMT Rail Facilities handle? A8. Available track lengths at SBMT are stated in the RFP. Specifics of rail operations on site, and thus associated operating capacities, must be arranged between Respondents and NYCEDC s rail operator, New York New Jersey Rail, LLC. Q9. Are there any dockage and wharfage fees payable to the Port Authority of New York and New Jersey? Is the property subject to the PA Tariff? A9. SBMT is owned by the City of New York and leased to NYCEDC. It is not a Port Authority facility, and no additional fees are due to the Port Authority. NYCEDC will evaluate Respondents proposed dockage and wharfage to be paid to NYCEDC as part of their fee proposal, as described in the RFP. Q10. Are there any guidelines or other similar projects that we can look to for guidance on structuring fees? A10. The Port Authority Tariff is often used as a reference for berthing-related fees. Possible other types of fee considerations are suggested in the RFP. Q11. At one time SBMT was part of the City s DockNYC program, is that still in effect? A11. Yes, in the short term they are managing the berth-side operations at the facility Q12. Will the DockNYC operators be park of the negotiations with RFP respondents? A12. NYCEDC will negotiate directly with Respondents. Q13. Can a Respondent propose reconfiguring the piers? A13. Allowable modifications to the Project Site and structures are described in the RFP. Q14. On the 39 th Street Pier, the RFP says the north berth has a piles supporting relieving platform along the outer edge approximately 31 ft wide. Can you clarify? A14.Drawings illustrating the design of the 39 th Street Pier, including the relieving platform construction, are included in the Site Information File. 2

3 Q15. Can you describe the ship bollards that are mentioned in the RFP? A15. There is a description of the bollards in the Site Information File. Q16. Can you describe SBMT s rail connectivity? A16. Westbound, NYNJR provides connections to Conrail and thereby to both CSX and NS, via the Cross Harbor carfloat system. Additionally, NYNJR interchanges with NYA, which interchanges with CSX at its Fresh Pond yard in Queens. CSX hauls up the east side of the Hudson and crosses the River at Selkirk. Q17. Does the carfloat go to Greenville? A17. The carfloat goes to Greenville Yard, Jersey City, NJ. NYNJR interchanges with Conrail at Greenville Yard. Q18. The RFP states there is only one RR entity to deal with on-site, correct? A18. That is correct in so far as NYNJR operates rail on the site and would be responsible for all spotting, sorting, delivering and picking-up. For long-haul, rail service rates are typically originated by the Class I railroads. Q19. Who owns the track? A19. The track is owned by the City of New York and is operated by NYNJR under an operating agreement. Q20. Are there representatives from the local councilmember s office or that district here today? A20. The attendance sheet is published online. The RFP describes NYCEDC s work with the Sunset Park Task Force in establishing the RFP s Development Goals. Q21. Are the Development Goals ranked? A21. The RFP does not include any weights for the development Goals. Q22. Is it possible to propose for less than the full site? A22. Yes. 3

4 Q23. Does EDC prefer to lease to a single selected developer rather than multiple ones? A23. Please see the RFP. Q24. Who owns the air rights? Not on the piers, but on the rest of the property? A24. The City owns the land and lease to NYCEDC, and all such rights are governed by the Master Lease between the City and NYCEDC, which is available in the Site Information File. Respondents concerned about air rights must perform their own due diligence. Q25. What is the status of the add alternate? A25. As stated in the RFP, some, all, or none of the add alternate will be included in the final leased premises, at NYCEDC s sole discretion. Q26. Will the list of people signed up for these events be made public? A26. Yes Q27. Is it correct that there is no wait for ships coming into SBMT? A27. SBMT is situated along the Bay Ridge Channel, within the Port of New York and New Jersey, and, requiring approximately two hours of pilot time, is the closest marine terminal to the open ocean. Q28. Do respondents have to be in the maritime business, or is it okay if the respondent is a customer of the maritime business but does not operate in it directly? A28. Respondents business at SBMT must be maritime dependent, making use of SBMT s maritime location. Respondents that are not themselves in the maritime business but proposing to use other companies maritime services to operate at SBMT will be required to demonstrate that they have the necessary agreements, contracts, etc in place to take advantage of SBMT s maritime facilities. Q29. Is there a minimum threshold of maritime activity that satisfies maritime dependent? A29. Allowable uses and uses that will not be considered are described in the RFP. 4

5 Q30: Is there any way to extend the lease term past December 2054 (39 years)? A30: As described in the RFP, NYCEDC cannot execute a lease with a Selected Developer that extends beyond the term of NYCEDC s Master Lease with the City of New York, which expires December 31, Q31: Is it possible to build new buildings on the site? A31: Yes, as described in the RFP, subject to applicable permitting, any required environmental review, etc. Q32: Will the NYCEDC provide a list of all known bona fide labor organizations as defined by 29 U.S.C. 152(5) with interest in the subject property activities and or who operate in the surrounding area? A32: This must be part of Respondent s due diligence. Q33: Are there other governmental agencies or jurisdictions which have requirements that will have to be addressed before activities on the property can commence? A33: Approvals are described in the RFP, Section 5. Any necessary approvals will be specific to a Respondent s Proposal. Q34. Is there a plan for the collapsing pier 7? A34. That is outside scope of RFP. Q35. Are there any structural plans for the area on the west berth after the portion of the J-1 Shed was taken down in 2010? A35. As-builts of the West Berth are in the Site Information File Q36. Is there a concrete deck? A36. As-builts for the 39th Street Pier is in the Site Information File. Q37. What is the scope of work for the south berth? A37. Rehabilitation of the bulkhead along the length of the berth. 5

6 Q38. What is the status of the J1 Shed during construction? A38. We anticipate that the building will be unusable during the project to rehabilitate the South Berth and will be back in service once construction is complete. Q39. How many berths are operable today? A39. On the 39 th St Pier, the north and west berths are operable today. Q40. What is the water depth in the channel between the North Berth and the 35 th St. Pier? A40. A hydrographic survey from February 2015 is provided in the Site Information File. Q41. What is the timeline for completion of the South Berth construction and rehabilitation? A41. Construction is expected to commence in Completion date is anticipated to be months after start date. No firm construction schedule has yet been set. Q42. Is the J2 building part of the construction staging? A42. No. Q43. What is the electrical service at the J2 building? A43. Electrical as-builts are included in the Site Information File. Q44. Based on work City needs to complete, when do you anticipate commencing operations? A44. Operations on north and west berth can start today. Work on the south berth does not preclude use of the rest of the site. Q45. Is there a load analysis for the 35 thth street pier? A45. Included in the Site Information File Q46. What is the length of the piers? A46. Included in the Site Information File. 6

7 Q47. Will the site require TWIC security measures? A47. Maritime facilities typically need a US Coast Guard-approved Facility Security Plan(FSP), which describes the security regime for the site. This will typically include some restricted areas that require a TWIC to access. Development and maintenance of the FSP will be the responsibility of the Selected Developer.. Q48. Are there underground conditions surveys available? A48. A 2002 geotechnical survey and the 2006 Environmental Assessment Statement (EAS) are included in the Site Information File. Q49. Is the Tower Building part of the site? A49. Yes. Q50. What was the prior use of the Tower Building? A50. The Tower Building was last used as office space by the NYPD when the site was operating as an impound lot. Q51. What is the square footage of the Tower Building? Is there information on utilities in the Tower Building? A51. There is a description of the Tower Building in the RFP. Q52. Can the site be leased to multiple operators? A52. Yes. Q53. The site must be used strictly for maritime use? A53. Yes, as stated in the Master lease between the City of New York and NYCEDC. Q54. Is there a minimum tonnage that must come across the wharf to be considered maritime use? A54. There is no minimum tonnage. Q55. Is there currently a labor agreement at SBMT? A55. Historically these piers were worked by the International Longshoremen s Association. 7

8 Q56. When will respondents be notified of NYCEDC s final decision? A56. Please refer to the RFP for the project timeline and Proposal due date. The timeframe for making a final decision will depend on the number and types of proposals received. Q57. Are there tenants currently using the facility? A57. Yes. There are short-term permitees using the facility on 30-day occupancy permits. Q58. What is the current level of activity on the rail spur? A58. There is service approximately 1-2 days per week to the municipal recycling facility. The rail spur connects to the carfloat system, which floats barges holding rail cars across the harbor 1 to 2 times per day. Activity may change depending on the needs of the Selected Developer. Q60. Are both piers built on backfill? How much weight per square foot can you lay down? A60. Please refer to the RFP for descriptions of both piers. Additional information is provided in the Site Information File. Q61. How is SBMT connected to the national rail network? A61. Please refer to Q16. Q62. Is there an expedited process for building permits? A62. Any proposed building, whether on deck or in water, would be subject to the existing permitting processes. Q63. Do you have a preference for one type of port operation over another? A63. As stated in the RFP, NYCEDC will review all Proposals and may select one Proposal, or a combination of two or more Proposals, that, in its sole judgment, provides the greatest benefit to the City of New York, the local community, and the maritime industrial businesses in New York Harbor, using the selection criteria described in this RFP. Q64. Any information on the Add Alternate site? A64. Please refer to Q25. 8

9 Q65. What is the frontage on the 35 th street pier and are there mooring capabilities? A65. Information on the 35 th Street Pier can be found in the Conditions Survey and other documents in the Site Information File. Q66. Who do the current users do business with? A66. Current users are NYCEDC permitees. Q67. What is SBIDC? A67. SBIDC is the Industrial Business Solutions Provider for the Sunset Park IBZ. They administer programs on behalf of NYCEDC and the City to aid and further industrial businesses in Sunset Park IBZ. Q68. Will Department of Buildings (DOB) regulate cranes at SBMT? A68. DOB s website provides information on their crane permitting, which is typically focused on building construction. Please visit the DOB website for further information. Q69. Does SBMT need a Facility Security Plan? A69. Please refer to Q47. Q70. Is there the possibility that the Master Lease will be extended beyond 2054? A70. Please refer to Q30. Q71. Is the site located in a flood zone? A71. NYCEDC encourages Respondents to review the most current flood maps available from the Federal Emergency Relief Administration (FEMA). Substations 1 and 2 on the facility were built one foot above the 100-year flood limit as projected by FEMA at the time of construction. Q72. Can you provide details on the prohibited uses? A72. The stated restricted uses are listed in the RFP. Q73. Can any onsite facilities be leased on a temporary basis? A73. There is a short-term occupancy process, separate from this RFP process, which requires submitting an application to NYCEDC. More information can be found at nycedc.com/sbmt. 9

10 Q74. Are there labor requirements onsite? A74. Historically, these piers have been worked by the International Longshoremen s Association. Please refer to the RFP for information on labor harmony agreements. Q75. What is the rail clearance into the facility? A75. Respondents are strongly encouraged to contact any railroads to discuss any limits that might apply to proposed rail moves. At the time of posting this Q&A, NYNJR maintained 286,000 pound, Plate H clearance to the point of interchange with Conrail at Oak Island Yard in Newark, NJ, and NY&A maintained 286,000 pound, Plate F clearance to Fresh Pond, Jamaica, and LIC. A map of NY&A s clearance and weight limits may be found under Additional Maps on the NY&A website: Q76. Are Respondents able to propose use for just a portion of the site? A76. Please refer to Q22. Q77. How long has the site been vacant or unutilized for marine uses? A77. Since the City s prior tenant when bankrupt in 2014, there has been limited maritime use of the site. The prior tenant took possession of the site after many years of capital construction work provided by the City of New York took place. Q78. Is there power onsite? A78. Yes. Please refer to the RFP for voltage and substation locations. There are electrical drawing available in the Site Information File. Q79. If you don t get any viable responses, would there be a consideration of alternative uses. A79. The Master Lease requires a maritime dependent use on the site Q80. Is the power you describe solely for the site? A80. Yes. Q81. Is SBMT KV stations serviced by the ConEd station just to the north? A81. That is outside the scope of this RFP. 10

11 Q82. Who owns the 15 KV stations? A82. The City of New York owns the substations onsite. Q83. Would we be buying power from NYCEDC? A83. Under current operations, NYCEDC pays ConED for power consumed at SBMT, and users on site reimburse NYCEDC. Q84. What price range for square footage NYCEDC is looking for? A84. Please refer to the RFP for Fee Proposal guidelines. Q85. Will capital costs and improvement costs be deducted from the tenant s rent check? A85. Please refer to the Fee Proposal Section in the RFP. Q86: When was the last survey done at SBMT? A86: There is a CAD Survey in the Site Information File, but it should not be considered survey quality. Q87: Are there hydrographic surveys available? A87: Yes. Hydrographic surveys from February 2015 are in the Site Information File. Q88: Is the Add Alternate portion developed? A88: Conditions of the site, including the Add Alternate portion, are described in the RFP. A conditions report included in the Site Information File describes the bulkhead conditions throughout the facility. Q89: Does NYNJR have right of way access through the facility? A89: Please refer to Q18. Q90: Would a future tenant be responsible for the shifting of rail cars or would NYNJR be responsible? A90: Please refer to Q18. 11

12 Q91: Can you move your own rail cars on the facility? A91: NYNJR is the City s Operator for the rail facilities at SBMT, which are also used to provide service to customers outside of the Project Site. Q92: Are there 480 Volt distribution panels in the substations? A92: There are spare 480 Volt circuits in the substations. More information on the site s electrical system may be found in the Site Information File. Q93: Are there moorings on the 39 th street pier? A93:.Please refer to Q65. Q94: Are there moorings on the 35 th street pier? A94: No. Please refer to the RFP and the Site Information File for more information on the condition of the 35 th Street Pier. Q95: How soon after the award is made, can the successful bidder begin operations on the property? A95: The site is physically capable of handling certain maritime operations today. When a Selected Developer will be able to commence operation will depend on the proposal, the schedule for any work proposed, and other specific details of the Proposal. Q96: What is the amperage delivered to each building and/or respective transformer sizes? A96 As described in the RFP, the sheds currently have 480-Volt service. Q97: What is the fire safety infrastructure in-place in the sheds? Is it strictly fire sprinklers? A97: Each of the three sheds has a sprinkler system as described in the RFP. The condition of these systems will be as-is at the time of agreement execution, but may reflect improvements or repairs made prior at NYCEDC s sole discretion. Q98: What is the scope and cost of work being conducted at the J2 and N sheds? A98: The sheds as well as any other part of the Project Site will be delivered asis at the time of agreement execution. 12

13 Q99: Are the conditions being remedied in the J2 and N sheds are similar in nature to the existing conditions at the graffiti building and J1 shed? A99: The sheds as well as any other part of the Project Site will be delivered asis at the time of agreement execution. Q100: Is it possible to schedule a site inspection for a small team fire safety and electric specialists to better understand the state of the infrastructure? A100: Two Site Visits were scheduled as part of this RFP process. Q101: Can you berth a vessel at your port to unload cargo from the ship onto barges? A101: Yes. Q102: Will the planned EDC improvements to the wharf on the south side of the 39th St Pier support eventual deepening of the berths to feet? What will be the load capacity on the wharf apron? A102: Proposed final dredge depth in the design drawings for the south berth rehabilitation is 33 feet below Mean Low Water (MLW). A loading analysis of the west and north berths is included in the Site Information File. Q103: Can EDC provide information on any restrictions associated with vessel operations on the north side of the 35th St Pier related to the Municipal Recycling Facility s operations and rights? A103: There are no restrictions for approximately 200 feet north of the 35th street pier; certain limits may apply from approximately 200 feet north of the 35th street pier to the edge of the Municipal Recycling Facility s covered barge area. Note that the add alternate area may include adjacent lands under water. Q104: Is there a survey drawing showing utilities of on the property? A104: A CAD drawing that includes utilities is included in the Site Information File. It should not be considered survey quality, however. Q105: Is there a drawing showing the rail easements that are in effect on the drawings? A105: The Rail Facilities are depicted in the RFP and in documents included in the Site Information File. The rail easement is further described in the RFP. 13

14 Q106: Do you have any additional information regarding the condition of the Tower building, including the utilities? A106: Please see Q51. Q107: What is the current depth of the south side of the 39th St. Pier? A107: Please see Q87. Q108: What is the planned depth after renovations are completed, and are there currently permits in place to allow dredging at the 39th St. Pier? Are copies of that permit available? A108: Please see Section 2.3 of the RFP. Information on such permits may be found on New York State Department of Conservation s (NYSDEC s) website. Q109: Given the physical limitations on the water side of the property, will NYCEDC consider plans for non-container maritime operations at the site? A109: Please see Q63. Q110: Given the current annual property tax listed on the New York City Department of Finance s website, should Proposals estimate an increase in the assessed value, either by an increase in the estimated market value or by an increase in the percentage variance between estimated market value and the assessed value? A110: For the purposes of preparing a Proposal, Respondents should assume the assessed value will be based on the value of the proposed Project. Q111: Who is responsible for maintaining the Rail Facilities on the Project Site? A111: Please see Section 3.2 Tenant Responsibilities in the RFP. 14