Approves a Pipeline License Agreement, with a commencement date retroactive to December 1, 2013, to allow Florida Gas Transmission Company, LLC (FGTC), to access the gas line situated at the Fort Lauderdale-Hollywood International Airport (FLL) in order to install, maintain, operate, repair and replace the natural gas pipeline, as deemed necessary. |
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.
This action approves a Pipeline License Agreement, with a commencement date retroactive to December 1, 2013, to allow FGTC to access the gas line situated at FLL in order to install, maintain, operate, repair and replace the natural gas pipeline, as deemed necessary.
On October 17, 1967 (Item No. 4), the Board approved a License Agreement between the County and Florida Gas Transmission Company (Florida Gas), for the construction, maintenance, repair and operation of a natural gas pipeline at FLL which terminated on September 30, 1982. The pipeline, which terminates at Port Everglades, is located on the north side of FLL under I-595 and continues under I-95 west of FLL along Collins Road.
On February 15, 1983 (Item No. 3), the Board approved a License Renewal Agreement effective October 1, 1982, which extended the License Agreement with Florida Gas for the continued operation and maintenance of the pipeline through September 30, 1997.
On September 23, 1997 (Item No. 3A), the Board approved Amendment No. 1 which extended the License Agreement through October 31, 1997.
On October 28, 1997 (Item No. 45), the Board approved Amendment No. 2 which extended the License Agreement through November 30, 1997.
On November 25, 1997 (Item No. 3), the Board approved a new five year License Agreement between the County and Florida Gas for the continued operation and maintenance of the pipeline effective December 1, 1997, and terminating on November 30, 2002.
On November 21, 2002, the Director of Aviation approved a one year Short Term Lease Agreement with Florida Gas, effective December 1, 2002, while negotiations continued for a new five year License Agreement.
On October 14, 2003 (Item No. 4), the Board approved a five year License Agreement between the County and Florida Gas, for the continued operation and maintenance of the pipeline effective December 1, 2003, and terminating on November 30, 2008.
On November 13, 2008 (Item No. 2), the Board approved a Pipeline License Agreement between the County and Florida Gas for the continued operation and maintenance of the pipeline effective December 1, 2008, and terminating on November 30, 2013.
The proposed Pipeline License Agreement (License) between the County and FGTC, the successor to Florida Gas, will commence retroactive to December 1, 2013, and terminate on November 30, 2018. Broward County Aviation Department (BCAD) staff and FGTC were completing negotiations of the License in October, 2013, when it was discovered that the pipeline runs under tenant leaseholds at FLL. At that point, further negotiations were required in order to add additional language to the License to ensure that appropriate safeguards are in place to protect the leaseholds of existing tenants on the north side of FLL.
Since negotiations for a new License were continuing when the prior License ended on November 30, 2013, FGTC has paid the annual license fees for 2014. In addition, FGTC is current on all insurance requirements and security deposit requirements.
A provision in the County's standard form agreement provides that the parties agree that venue for litigation shall be in the state courts located in Broward County and that the parties waive their rights to a jury trial for any litigation under the agreement. This standard provision in the License has been revised by the Office of the County Attorney to address the pipeline company’s requirement that its access to federal court and to a jury trial be preserved.
The amount referenced in this agenda has been rounded to the nearest whole dollar. FGTC's payments will be based on the actual amount payable under this License. The Agreement Summary Sheet reflects the actual amount payable. |