Broward County Commission Regular Meeting
Director's Name: Mark Gale
Department: Aviation Division: Operations
Information
Requested Action
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MOTION TO APPROVE Third Amendment between Broward County and SP Plus Curbside Management Joint Venture for Ground Transportation Management Services at Broward County’s Fort Lauderdale-Hollywood International Airport to extend the term of the Agreement for one year, authorize the Director of Aviation to renew the Agreement for an additional one year optional term, increase the compensation to an estimated not-to-exceed amount of $5,147,697 for each extension term, increase the reimbursable costs to a maximum not-to-exceed amount of $7,348,831 for the term of the Agreement (including the initial term and the extension year(s) in the Third Amendment), and update certain terms and conditions in the Agreement; and authorize the Mayor and Clerk to execute same.
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Why Action is Necessary
Broward County Board of County Commissioners (“Board”) approval is required for the execution of the Third Amendment to the Agreement between Broward County (“County”) and SP Plus Curbside Management Joint Venture (“SP Plus”) for Ground Transportation Management Services at Broward County’s Fort Lauderdale-Hollywood International Airport (“FLL”) (“Agreement”).
What Action Accomplishes
Extends the Agreement between the County and SP Plus for one additional year through April 30, 2025, authorizes the Director of Aviation to renew for one additional year through April 30, 2026, increases the compensation for each extension term and reimbursable costs, and updates certain terms and conditions.
Goal Related Icon(s)
☐County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
None.
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.
This action extends the Agreement between the County and SP Plus for one additional year through April 30, 2025, authorizes the Director of Aviation to renew for one additional year through April 30, 2026, increases the compensation for each extension term and reimbursable costs, and updates certain terms and conditions to ensure continuity and consistency with the Broward County Aviation Department’s (“BCAD”) curbside management and enforcement program.
On March 5, 2019 (Item No. 2), the Board approved the Agreement with SP Plus for the management of the Ground Transportation Program at FLL for an initial five-year term. The term of the Agreement commenced on May 1, 2019, and expires on April 30, 2024.
On October 25, 2022 (Item No. 4), the Board authorized the Director of Aviation to negotiate, approve, and execute the First Amendment to the Agreement, and a corresponding sublease agreement to require SP Plus to vacate and surrender the FLL property occupied at that time (“Occupied Property”) and sublease a portion of County’s leased property at no extra cost to County. On December 7, 2022, the County and SP Plus entered into the First Amendment to the Agreement which, among other things, required SP Plus to vacate the Occupied Property and separately sublease a portion of the County’s leased property at no additional cost to the County.
On December 26, 2023, the County and SP Plus entered into the Second Amendment to the Agreement which, among other things, adjusted the amounts payable to SP Plus as a result of changes to the Broward County Living Wage Ordinance.
The proposed Third Amendment will extend the term of the Agreement for one year (May 1, 2024, through April 30, 2025), authorize the Director of Aviation to renew the Agreement for an additional one year optional term through April 30, 2026, while a procurement is underway for a new agreement, increase the compensation to an estimated not-to-exceed amount of $5,147,697 for each extension term, increase the reimbursable costs from $5,038,000 to a maximum not-to-exceed amount of $7,348,831 for the term of the Agreement (including the initial term and the extension year(s) in the Third Amendment), and update certain terms and conditions in the Agreement. Currently, the Agreement requires SP Plus to have staffing for certain locations at FLL. However, the proposed Third Amendment will require SP Plus to have staff at any other areas for ground transportation services and enforcement at FLL as designated by BCAD.
The rates in the Agreement are subject to change annually on May 1 of each contract year based on the Consumer Price Index (“CPI”). The change in the rates shall be limited to CPI or 3%. The Agreement allows for the parties to meet to negotiate in good faith an adjustment to the rates if the Living Wage Ordinance (“LWO”) is amended and the adjustments to the living wage or the health care benefit amount, as defined in the LWO, are in excess of the adjustments currently authorized in the LWO, and SP Plus is able to demonstrate to the County that the excess adjustment impacts its actual costs in providing services.
The proposed Third Amendment has been reviewed and approved by the Office of the County Attorney.
Source of Additional Information
Mark E. Gale, A.A.E. CEO/Director Aviation 954-359-6199.
Fiscal Impact
Fiscal Impact/Cost Summary
The estimated cost of the two (2) additional one-year terms and reimbursables is $12,606,225. This amount may be adjusted pursuant to Section 4.2 of the Agreement.