Broward County Commission Regular Meeting
Director's Name: Joseph Morris
Department: Port Everglades Division: Business Development
Information
Requested Action
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MOTION TO ADOPT Resolution of the Board of County Commissioners of Broward County, Florida, granting a nonexclusive, unrestricted Port Everglades vessel bunkering services franchise to Shell NA LNG, LLC, for a one-year term; providing for franchise terms and conditions.
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Why Action is Necessary
Pursuant to Section 32.22 of the Broward County Administrative Code ("Administrative Code") and the applicable provisions of Chapter 94-429, Laws of Florida, Broward County (the “County”) must hold a public hearing prior to granting, renewing, placing on probation, suspending, or revoking a franchise.
What Action Accomplishes
Allows for the Broward County Board of County Commissioners’ consideration of the Resolution granting a nonexclusive, unrestricted Port Everglades vessel bunkering services franchise to Shell NA LNG, LLC, for a one-year term.
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☒County Commission
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Previous Action Taken
Request to Set Public Hearing was approved by the Board on September 17, 2024 (Item No. 20).
Summary Explanation/Background
THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Broward County Board of County Commissioners’ (“Board”) Value of “Building partnerships and working collaboratively with others to meet shared objectives,” and the Goal of “Ensuring economic opportunities and a sustainable economy, with an emphasis on Broward’s lower and middle class.”
Shell NA LNG, LLC (“Shell”) supplies liquefied natural gas (“LNG”) for marine use as vessel fuel. The company was legally formed under the laws of Delaware and has been registered to conduct business in Florida since February 20, 2017. Shell has over 50 years of experience handling, storing, and transporting LNG. Shell has applied for a new nonexclusive, unrestricted vessel bunkering services franchise.
Staff reviewed the vessel bunkering services franchise application against the enumerated criteria outlined in Chapter 32 of the Administrative Code. Staff's due diligence included, among other things: (a) corresponding with Shell’s representative to clarify franchise requirements and (b) reviewing Shell’s corporate status, resumes of executive staff, list of managerial personnel, business history/experience, litigation history, insurance certificate(s), financial documents and creditworthiness, discharge of previous financial obligations to the County, compliance with all franchise terms and conditions and established rules and regulations of the County, required licenses and certificates, company programs and policies, list of equipment to be used at Port Everglades. Staff also reviewed Shell's safety and environmental history and found no infractions.
By submitting the signed franchise application, Shell has agreed to comply with all franchise conditions outlined in Section 32.24 of the Administrative Code.
Based on the review of information provided in the franchise application, staff recommends granting the vessel bunkering services franchise. Per Section 32.20 of the Administrative Code, the County may grant vessel bunkering services franchises for up to five years. Past practice has been for staff to recommend granting first-time applicants for a nonexclusive vessel bunkering service franchise a one-year franchise. Consistent with past practice, staff recommends granting the franchise for a one-year term.
The Resolution to Publish Notice of Public Hearing and the signed franchise application documents were attached to the Request to Set Public Hearing Agenda Item that the Board approved on September 17, 2024 (Item No. 20).
Source of Additional Information
Jorge Hernández, Director, Business Development Division, Port Everglades Department, (954) 468-3501.
Paula Serpa, Franchise and Business Permit Manager, Business Development Division, Port Everglades Department, (954) 468-0185.
Fiscal Impact
Fiscal Impact/Cost Summary
Shell has paid the required application fee of $4,200 and the annual fee of $2,360, for a total of $6,560 for the proposed one-year term.