THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Board's Value of "[E]nsuring economic opportunities for all people and businesses in Broward" and the Goal to "[I]ncrease the economic strength and impact of revenue-generating County enterprises balancing economic, environmental, and community needs."
The Broward County Board of County Commissioners (Board) is the Grantee of Foreign-Trade Zone (FTZ) No. 25 as authorized by the Foreign-Trade Zones Board (FTZB). The FTZB designates the boundaries where FTZ activity may take place under Broward County’s FTZ Grant of Authority. The current general-purpose boundaries of FTZ No. 25 encompass approximately 388 acres, of which 169 acres are in active FTZ use.
Broward County, as Grantee of FTZ No. 25, is seeking a Minor Boundary Modification to designate a new non-contiguous zone site (1.09-acres) consisting of two buildings located within the Copans Business Center, at 2530 and 2570 Powerline Road, in Pompano Beach for use by Enolgas USA, Inc., and other potential users, to receive FTZ benefits (See Exhibit 1).
Enolgas is the U.S. branch for Enolgas Bonomi, an Italian company that produces a complete range of brass, stainless steel and carbon steel valves for commercial and industrial use, as well as for use in the residential sector. Enolgas has been operating in Broward County since 2008, serving the North American market for their products. Enolgas leases 0.13 acres consisting of 5,730 square feet of existing secured office/warehouse storage area located in the Copans Business Center, at 2530 North Powerline Road, Pompano Beach, Florida, and is seeking to use the location as a non-contiguous FTZ site in Broward County's FTZ No. 25. FTZ designation for the property must first be obtained by the FTZB for their plans to move forward. The proposed area would not only accommodate the immediate needs of Enolgas, but would make additional space available for other potential FTZ users in the future.
Whenever a need for FTZ benefits requires a change to the current boundaries, the Grantee may request that the FTZB modify the designated boundaries of the FTZ to accommodate the need for the property. When the need is immediate, a Minor Boundary Modification can be quickly approved by the FTZB. Since there is an immediate need for FTZ benefits by Enolgas at 2530 North Powerline Road, Pompano Beach, the Grantee is seeking FTZ designation for the site through an Application for Minor Boundary Modification (Exhibit 2). U. S. Customs and Border Protection (CBP) will provide a signed concurrence letter after the Board approves the County's letter to the FTZB; a draft of that letter is attached (Exhibit 3).
The FTZB’s approval will make it possible for Enolgas and other potential FTZ Users to receive and ship more cargo through the Port’s facilities while creating jobs and investments in local buildings and equipment. Since this expanded FTZ activity will take place outside of the on-port FTZ in Port Everglades, the non-contiguous FTZ use(s) will be authorized under an FTZ User Agreement(s) that will generate revenue in the form of FTZ User Fees as provided for in the current FTZ Tariff. |