THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
On June 16, 1994 (Item No. 16), the Port Everglades Authority, predecessor in interest to the Broward County Board of County Commissioners (Board), approved a Pipeline Easement Agreement (Agreement) with Coastal Fuels Marketing, Inc. for the construction of underground fuel pipelines throughout the Northport and Midport areas of Port Everglades to deliver fuel to ships at berth (see Exhibit 1). In 2006, Coastal Fuels Marketing, Inc. merged with an affiliated company, TransMontaigne Product Services LLC, and the Agreement was subsequently assigned to TransMontaigne Terminals L.L.C. Paragraph 2 of that Agreement requires the County to pay the cost of any pipeline relocations directed by the County.
On June 6, 2017 (Item No. 61), the Board approved an Agreement Between Broward County and Royal Caribbean Cruises Ltd. (RCL) for Construction Agency Services for Cruise Passenger Terminal 25 Improvements at Port Everglades. The renovations of Terminal 25 at Berths 24 and 25 creates a conflict with existing underground fuel pipelines within the recognized pipeline right-of-way. In order to proceed with the renovations of the cruise terminal, approximately 1000 feet of fuel pipelines in the project area need to be relocated to allow for the planned construction to occur. TransMontaigne Terminals L.L.C. will be relocating the pipelines outside the limits of construction (see Exhibit 2). Upon approval by the Board and pursuant to Paragraph 2 of the Agreement, the County will reimburse TransMontaigne Terminals L.L.C. for the cost of relocation of the pipelines in a not-to-exceed amount of $690,000, subject to obtaining a minimum of three cost estimates and prior approval from the Port Everglades Chief Executive/Port Director. This approach is consistent with the last fuel pipeline relocation within Port Everglades directed by the County in an area west of Cruise Terminal 4, approved by the Board on November 27, 2001 (Item No. 38).
Exhibit 1 of the Agreement will be amended after construction is complete to reflect the final pipeline route. During construction, it is sometimes necessary to deviate from the proposed route due to conditions and conflicts encountered in the field. Therefore, staff requests the Port Everglades Chief Executive/Port Director be granted the authority to approve an amendment to Exhibit 1 of the Pipeline Easement Agreement based on the final "as-built" drawings.
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