Broward County Commission Regular Meeting


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AI-24994 2.       
Meeting Date: 08/22/2017  
Director's Name: Mark Gale
Department: Aviation Division: Business

Information
Requested Action
MOTION TO APPROVE Agreement of Lease between Broward County and The Carolina Group, Inc. to lease a 1.4 acre parcel at Broward County's Fort Lauderdale-Hollywood International Airport for a term of five years, with a commencement date of November 18, 2017, and terminating on May 31, 2022; and authorize Mayor and Clerk to execute same.

ACTION:  (T-10:19 AM)  Approved.
 
VOTE: 9-0.
Why Action is Necessary
Chapter 2, Section 2-40 (a) of the Broward County Code of Ordinances, requires that the Broward County Board of County Commissioners ("Board") authorize any commercial activities or occupation of any portion of the airport.
What Action Accomplishes
Allows The Carolina Group, Inc. to continue leasing its existing facility on the north side of Broward County's Fort Lauderdale-Hollywood International Airport ("FLL") as a part of Virginia-Carolina, a Joint Venture, and as the fuel farm operator to the fixed base operator ("FBO"), National Jets.
Is this Action Goal Related
Previous Action Taken
None.
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.

This action allows The Carolina Group to continue operating a fuel farm at FLL.  

On November 19, 1991 (Items No. 43A & B), the Board approved an Agreement of Lease between Broward County and The Carolina Group, Inc. for the lease of approximately 18.2 acre parcel on the north side of FLL and waived Section 39.3(b)(1) of the Broward County Administrative Code to provide for a lease term of more than 20 years.

On May 26, 1992 (Item 1A), the Board approved Amendment No. 1 to the Agreement of Lease between Broward County and The Carolina Group, Inc. bifurcating the original parcel under The Carolina Group agreement of lease into two separate parcels measuring 1.4 acres and 16.8 acres. Amendment 1 retained the 1.4 acre parcel under The Carolina Group agreement of lease, as subtenants to the Virginia-Carolina, a Joint Venture, and serves as the fuel farm for the FBO. Concurrently with Amendment No. 1, on May 26, 1992 (Item 1B), Broward County and Virginia-Carolina, a Joint Venture, entered into an Agreement of Lease for the remaining 16.8 acre parcel to develop the Federal Express facility and the FBO facility, dba National Jets.

The new Agreement of Lease (Exhibit 2) is for a five-year term, with a commencement date of November 18, 2017, and terminating on May 31, 2022, which is the same termination date for the Agreement of Lease between Broward County and the Virginia-Carolina, a Joint Venture.

The proposed Agreement of Lease has been reviewed and approved as to form by the Office of the County Attorney and the Risk Management Division.
Source of Additional Information
Mark E. Gale, A.A.E., CEO/Director of Aviation, 954-359-6199

Fiscal Impact
Fiscal Impact/Cost Summary:
The annual rental for the first year lease is $45,738. Annual rent will be adjusted throughout the term of the Agreement of Lease by the greater of 3% or the Consumer Price Index.
Attachments
Exhibit 1 - Agreement Summary
Exhibit 2 - Agreement of Lease


    

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