resolution
(Temporary Allocation of Slips)

WHEREAS, in its last Board meeting the MYHMC Board approved a resolution that requested the City to undertake temporary safety repairs to the West Pier and, possibly, to the North Pier. The objectives, as stated more particularly in that Resolution, include shifting boats to the West Pier and possibly the North Pier, getting leases and insurance in place for those assigned slips, closing off and vacating the East Pier and, if not the subject of temporary repairs, closing off and vacating the North Pier.

WHEREAS, it is necessary to (1) establish a fair and transparent formula and process for allocating the available slips, (2) establish appropriate rents, (3) develop appropriate lease language and insurance requirements and (4) address the appropriate means of enforcing Board decisions as to boats being moved from slips. This Resolution addresses the first of those issues and sets a timetable for addressing the rest.

WHEREAS, the Board can set the rules for slip allocation and approve steps that are taken in furtherance of that process. But, it will be necessary for the Board to have a more limited group of people make recommendations on specifics, create the necessary forms, create the required database, manage the actual process of notification, assemble and sort applications and work through the allocation formula in order to apply it to the applications received. Accordingly, it is appropriate for the Board to establish a temporary working group to perform those tasks. It should bear the title “Slip Allocation Working Group.” It should be made up of five members, two appointed by the President of the MYHMC Board, two appointed by the President of the Slip Tenants’ Association and one appointed by the President of the Boathouse Owners’ Association. The scope of authority of the Slip Allocation Working group is limited to making recommendations to the MYHMC Board or its President, as set forth more particularly in this Resolution. Its members shall be appointed by October 20, 2008. They shall elect their Chairman. They shall conduct and give notice of meetings in the same manner as the MYHMC Board. They shall keep minutes of their meetings and deliver them in a timely fashion to the MYHMC Board President so that he can have them promptly posted on the MYHMC website. The Slip Allocation Working Group shall continue in existence until the earlier of (1) a date when the MYHMC Board determines to conclude its existence or (2) March 31, 2009. It is the specific intent of this Board that this slip allocation process shall be open, fair, transparent and free of favoritism. To that end, if any member of the Slip Allocation Working Group is contacted by any person who addresses in any fashion, however subtle, that a slip should be allocated to any individual or group of individuals, that communication shall be promptly reported to the Chairman of the Slip Allocation Working Group and the President of the MYHMC Board, included in the next minutes of the Slip Allocation Working Group and published on the MYHMC website as part of those minutes. All such contacts should be discouraged and, if that does not work, reported in that fashion.

WHEREAS, the slip allocation criteria to be recommended by the Slip Allocation Working Group on or before October 27, 2008 (see timetable below) shall include the following concepts: (1) the following order of priorities (i) former slip leaseholders (leased slips at the time of Katrina) and had accounts receivable balance of no greater than $50.00 due at the time of Katrina and who has a boat in the harbor as of October 13, 2008, (ii) on the waiting list for a slip at the time of Katrina and who has a boat in the harbor as of October 13, 2008, (iii) those who have a boat in the harbor as of October 13, 2008 but who do not fit into any of the other three priority categories listed here and (iv) former slip leaseholders who had an outstanding accounts receivable balance due at the time of Katrina at or greater than $50, who have a boat in the harbor as of October 13, 2008 and who have paid all amounts due, including any required penalties and interest on or before December 5, 2008 (any issues with respect to what is owed and whether it has been paid by the December 5, 2008 deadline shall be determined by the Treasurer of the MYHMC Board); (2) the applications break up the slip requests into the slip sizes that will be available; (3) the priorities stated here be applied first as to the largest slips and then to the next largest slips and so on; (4) all applications be accompanied by a $350 cashier’s check made payable to the New Orleans Municipal Yacht Harbor Corporation, an amount to be applied to a first rent payment or returned, depending upon whether a slip is allocated; (5) a tie breaker provision if more than one applicant meets the priority criteria and there are insufficient slips for all of them; (6) criteria shall be included as to the required condition of any boat, it being the intent of the Board that the limited number of slips available shall be solely for boats in active use, in good operating condition, free of significant defects and free of need for significant repairs or refitting; and (7) such other provisions as may be appropriate and necessary.

WHEREAS, the intended timetable for slip allocation and occupancy is dependant in some measure on when and on which piers the temporary safety work is done by the City. The date when such work will be concluded is not known at this time. But, in order to get this process moving forward in an orderly fashion the following timetable is what is contemplated here: (1) October 20, 2008 – the Slip Allocation Working Group is constituted; (2) October 27, 2008 - forms and an allocation process, consistent with this Resolution, are provided by the Slip Allocation Working Group to the President of the MYHMC Board and are approved, with any modifications consistent with the intent of this Resolution he deems appropriate; (3) October 28, 2008 – the notice process concerning applications is commenced; (4) November 1, 2008 through December 5, 2008 – applications and application deposits must be received; (5) December 8, 2008 – applicant information is posted on the MYHMC website; (6) December 13, 2008 – in a public meeting, duly noticed, the Slip Allocation Working Group will hear such public comments, suggestions and requests as may be made and then work through the applications, apply the priority formula and prepare its recommended list of slip allocations to the MYHMC Board, which said recommendations will be promptly published on the MYHMC website; (7) January 12, 2009 – MYHMC in its regular monthly meeting will include those recommendations on its Agenda, allow for public comment and suggestions and then vote on slip allocations. It is intended that the MYHMC Board will address the issues of rates, lease terms, insurance requirements and dealing with moving boats, together with any other issues as may be necessary, during its regular monthly meetings in November and December, 2008 and January 2009. It is intended that the leasing process shall commence immediately after January 12, 2009 and conclude within 30 days, thus allowing for the placement of boats in the leased slips by mid February, 2009.

NOW, THEREFORE, it is resolved that:

· The Slip Allocation Working Group is established as set forth above.

· The Slip Allocation Working Group shall make recommendations, consistent with this Resolution, to the President of the MYHMC Board on or before October 27, 2008. The President of the MYHMC Board is hereby authorized by this Board to approve such recommendations, with such modifications consistent with this Resolution as he deems appropriate, without further approval of this Board, but followed by prompt posting of such on the MYHMC website.

· The Slip Allocation Working Group, in consultation with the President of the MYHMC Board as necessary, shall proceed with the steps outlined in this Resolution directed toward the final recommendations on slip allocation that will be due to this Board prior to its January 12, 2009 meeting. The Slip Allocation Working Group shall pay particularly careful attention to the posting of notice of its meetings, holding only public meetings, prompt posting of information on the MYHMC website and such other steps as shall insure transparency in its deliberations and actions.

· All application deposit checks shall be promptly delivered to the MYHMC Treasurer care of Tiffanie Roppolo, LaPorte Sehrt Romig Hand, 110 Veterans Memorial Boulevard, Suite 200, Metairie, LA 70005, accompanied by an inventory of the checks on a document signed by the person delivering the checks.

January 13, 2008