MOTION TO APPROVE Second Amendment to the Lease Agreement between Broward County and the South Florida Wildlife Center, Inc., FKA The Society for the Prevention of Cruelty to Animals of Broward County, Inc., for a 4.11-acre parcel of land located at 3200 S.W. 4th Avenue, Fort Lauderdale, Florida; and authorize the Mayor and Clerk to execute same. This is the second of two Public Hearings. The first Public Hearing was held on May 21, 2019 (Item No. 45). (Continued from June 4, 2019 - Item No. 57)
(Per the Tuesday Morning Memorandum, this item was heard at the same time as other Public Hearing items.)
ACTION: (T-11:32 AM) Approved with Yellow-Sheeted Additional Material, dated June 11, 2019, submitted at the request of Port Everglades. County Attorney Andrew J. Meyers advised the Board that the Lease that the Board is considering, expressly includes the distribution of Lessors rights to relocate Lessee. (Refer to minutes for full discussion.)
VOTE: 9-0. Vice-Mayor Holness voted in the affirmative telephonically.
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THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
On October 9, 1970, the Port Everglades Authority, predecessor in interest to Broward County, and The Society for the Prevention of Cruelty to Animals of Broward County, Inc. (SPCA), a nonprofit organization under Section 501(c)(3) of the US Internal Revenue Code, entered into a 25-year lease for the operation of a wildlife hospital and rehabilitation center on five acres of Port-owned land located at 3200 S.W. 4th Avenue, Fort Lauderdale, Florida (see Exhibit 3). This land is located outside the Port Everglades Jurisdictional Area, approximately 1.5 miles from the Port. The most recent lease agreement was approved by the Broward County Board of County Commissioners (Board) on July 11, 2000 (Item No. PH-2), for 4.11 acres and a 20-year term. On June 23, 2009 (Item No. PH-1), the Board approved the First Amendment to the Lease Agreement, which included an extension of the term by 20 years, to September 29, 2040, contingent upon the construction of a new wildlife hospital and other improvements on the leased parcel. On December 27, 2010, the SPCA changed its name to South Florida Wildlife Center, Inc. ("SFWC").
On October 4, 2016, the SFWC presented Broward County with a proposal to build a new wildlife hospital at Plantation Heritage Park instead of on the subject Port property. On November 1, 2016 (Item No. 33), the Board directed County staff to work with SFWC on its proposed relocation. After many months of discussions and evaluation of various options, SFWC advised County staff that the Plantation Heritage Park site would not meet their needs. On September 11, 2018, the SFWC presented to Port staff its plan to develop new facilities on the existing leased property, and requested an amendment to the lease agreement to provide additional time for completion of construction of the new wildlife hospital and to provide for a longer lease term to amortize the cost of the improvements. SFWC estimates the cost of the project at $8,000,000.
Port staff and SFWC met in negotiations on November 30, 2018, and January 3, 2019. The primary elements of the proposed Amendment are as follows:
- Provides for an automatic extension of the term to September 30, 2054, upon completion of construction of the new wildlife hospital and other improvements, providing 30 years after the estimated completion of construction to amortize the cost of the improvements.
- Adds the following development milestones to the lease: submit 90% completed design and construction documents, and a construction schedule within one year of the date that the amendment is completely executed by both parties; start construction within one year of completing design and construction documents; and obtain a final certificate of occupancy within five years of the date that the amendment is completely executed by both parties.
- SFWC remains responsible for all costs associated with the design, permitting, construction, and maintenance of all improvements on the leasehold.
- Deletes a provision allowing the County to use an appraisal of the land to set fair market value rental fees for the period of the original lease extension beginning in 2020, taking into consideration SFWC's nonprofit status and the services it provides to Broward County.
- Continues the lease at the current nominal annual rent of $200 per year, and adds temporary rent increases if a milestone is not met within the specified periods of time for each milestone. Section 32.6.c of the Broward County Administrative Code allows for the rent to be reduced or waived when the use of property is limited to governmental, charitable, humanitarian, or other purposes and such use serves a public purpose which lawfully could be discharged by the County.
- Adds provisions allowing the County to consider terminating the agreement if any milestone is not met within a year of its due date, with 180 days written notice.
- Updates insurance requirements and adds language concerning SFWC's requirement to repair or re-build if leasehold improvements are damaged or destroyed at any time except for the last five years of the term.
- Replaces audit provision with language consistent with other similar agreements.
- Provides the SFWC the option to terminate the lease for convenience, with 180 days written notice.
According to information provided by SFWC, the organization has been protecting regional wildlife through rescue, rehabilitation, research, and ongoing community education efforts for over 48 years. Over 40 skilled team members, including licensed veterinarians, wildlife rehabilitators and veterinary assistants, plus hundreds of volunteers, carry on the mission to rescue and rehabilitate more than 12,000 wild animals every year, making SFWC the nation’s highest volume wildlife hospital. Annual call volume exceeds 50,000. SFWC is an affiliate of the Humane Society of the United States.
The Amendment has been reviewed by the Port Everglades Risk Manager and approved as to form by the Office of the County Attorney.
The Resolution and Notice to Publish from the Request to Set Public Hearing agenda item approved by the Board on May 7, 2019 (Item No. 22) are attached as Exhibit 4 and Exhibit 5.
Additional Material will be forthcoming.
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