THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Broward County Board of County Commissioners' ("Board") Value of "Ensuring economic opportunities for Broward's diverse population and businesses" and the Goal to "Increase the economic strength and impact of revenue-generating County enterprises balancing economic, environmental, and community needs."
TransMontaigne Terminals L.L.C. (TransMontaigne) and its predecessor companies have operated underground pipelines, including a pipeline system for ship fueling, on Port property over the past eighty years subject to a series of agreements with Port Everglades that provide a right-of-way for the installation, maintenance, and operation of bulk petroleum pipelines. On June 2, 2009 (Item No. 68), the Board approved a ten-year License Agreement between Broward County and TransMontaigne Product Services Inc. providing for the installation of a bunker (ship fueling) pit and its associated pipelines at Berth 4 in the Northport area of Port Everglades. On March 1, 2016 (Item No. 6), the Board approved a Consent to Assignment and Transfer of Interest in the License Agreement from TransMontaigne Product Services LLC (successor by corporate reformation to TransMontaigne Product Service, Inc.) to TransMontaigne Terminals L.L.C.
While no additional revenue will be directly generated by this license agreement, the Port generates revenues from dockage, wharfage and other fees applicable to the bunker fuels as they are received into the Port. Approval of the new, non-exclusive License Agreement would replace the agreement expiring on June 1, 2019, and would extend the relationship for another ten years, consistent with license agreements with other petroleum terminal operators to provide rights-of-way for pipelines between the berths and the petroleum distribution terminals.
The License Agreement has been reviewed by the Port Everglades Risk Manager and approved as to form by the Office of the County Attorney. The agreement is pending final execution by TransMontaigne, and signature pages will be noted in the Monday Night Memo, prior to the Commission meeting. |