Broward County Commission Regular Meeting


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AI-26674 35.       
Meeting Date: 05/08/2018  
Director's Name: Steven Cernak
Department: Port Everglades Division: Business Administration

Information
Requested Action
MOTION TO ADOPT Resolution No. 2018-222 of the Board of County Commissioners of Broward County, Florida, granting a nonexclusive franchise to Seaport Hub Agencies, Inc., for a one-year term to provide steamship agent services at Port Everglades, from May 8, 2018, through May 7, 2019; providing for franchise terms and conditions; and providing for severability and an effective date.

ACTION:  (T-4:04 PM)  Approved.  (Refer to minutes for full discussion.

VOTE:  9-0.
Why Action is Necessary
Public hearing is required pursuant to Chapter 94-429, Laws of Florida, and Section 32.22a of the Broward County Administrative Code. Franchises are granted pursuant to Chapter 32 of the Broward County Administrative Code.
What Action Accomplishes
It allows franchisee to provide steamship agent services at Port Everglades.
Is this Action Goal Related
Previous Action Taken
Request to set Public Hearing was approved by the Broward County Board of County Commissioners (Board) on April 24, 2018 (Item No. 12).
Summary Explanation/Background
THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.

This action supports the Board of County Commissioners' 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."

Seaport Hub Agencies, Inc., (Seaport Hub) was founded in 1998 in Puerto La Cruz, Venezuela, to provide steamship agent services to tankers of crude oil, liquefied petroleum gas, petcoke, sulfur, asphalt, urea and a wide variety of dry bulk products. Seaport Hub registered to conduct business in the State of Florida on August 2, 2005. Today, Seaport Hub operates eighteen offices, with 130 employees in Venezuela, Bahamas, Curaçao and the United States. In the United States, Seaport Hub has been in operation in Miami (12 years), Houston (three years), and New Orleans (two years). Seaport Hub has submitted an application for a new, nonexclusive steamship agent franchise at Port Everglades. Seaport Hub intends to expand their steamship agent services to represent ships calling at Port Everglades.

Port staff has reviewed the steamship agent franchise application against the enumerated criteria set forth in Chapter 32 of the Broward County Administrative Code. Staff's due diligence included corresponding with Seaport Hub's representative to clarify franchise requirements, and reviewing Seaport Hub's corporate status, resumes of executive staff and list of managerial personnel, business history/experience, litigation history, insurance, financial documents and creditworthiness, required licenses, company programs and policies, statement of intended activities, and ability to attract and retain new business and to promote and develop growth in the business activities at Port Everglades. In addition, Seaport Hub's safety and environmental history was reviewed, and no violations were found.

Based on the information provided in the application and staff's review, staff has determined that Seaport Hub meets the criteria for the granting of a new steamship agent franchise. Steamship agent franchises may be granted for any period of time up to five years. Past practice has been for staff to recommend the granting of a new steamship agent franchise for an initial term of one year. Accordingly, staff is recommending that the steamship agent franchise be granted for an initial one-year term. Complete application and supporting documents are on file in the Port Everglades Business Administration Division.

To allow for a more efficient franchise approval process, the Resolution granting a franchise (see Exhibit 1) has been modified to incorporate the franchise terms and conditions previously included in the franchise agreement, thus eliminating the need for a separate franchise agreement.  Seaport Hub has, through the submission of the signed franchise application, agreed to comply with all franchise conditions set forth in Section 32.24 of the Broward County Administrative Code and in the Resolution.  Once the Resolution is approved by the Board, the Port will, pursuant to Section 32.27 of the Broward County Administrative Code, issue a franchise certificate setting forth the terms and conditions of the franchise.
Source of Additional Information
Jorge Hernández, Enterprise Director of Administration, (954) 468-3501
Ángela Osorno Belleme, Franchise Manager, Business Administration Division, (954) 468-0112

Fiscal Impact
Fiscal Impact/Cost Summary:
Seaport Hub has paid the required application fee of $4,000 and annual fee of $2,250, for a total of $6,250 for the proposed one-year term.
Attachments
Exhibit 1 - Resolution
Exhibit 2 - Application


    

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