Broward County Commission Regular Meeting
Director's Name: Joseph Morris
Department: Port Everglades Division: Director’s Office
Information
Requested Action
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A. MOTION TO AUTHORIZE Port Everglades Chief Executive/Port Director to execute a Memorandum of Agreement and related documents between Broward County and U.S. Customs and Border Protection (“CBP”), subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to providing replacement equipment for the performance of CBP operations at the Federal Inspection Services (“FIS”) facility at Cruise Terminal 2, with an estimated initial equipment cost not to exceed $342,788, and estimated recurring annual operation and maintenance costs of $10,980, with additional upgrades to systems and equipment as may be required on a schedule determined by CBP.
ACTION: (T-10:23 AM) Approved.
VOTE: 8-0. Commissioner Davis was inaudible during the vote.
B. MOTION TO AUTHORIZE Port Everglades Chief Executive/Port Director to execute a Memorandum of Agreement and related documents between Broward County and U.S. Customs and Border Protection (“CBP”), subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to providing replacement equipment for the performance of CBP operations at the Federal Inspection Services (“FIS”) facility at Cruise Terminal 18, with an estimated initial equipment cost not to exceed $331,971, and estimated recurring annual operation and maintenance costs of $5,540, with additional upgrades to systems and equipment as may be required on a schedule determined by CBP.
ACTION: (T-10:23 AM) Approved.
VOTE: 8-0. Commissioner Davis was inaudible during the vote.
C. MOTION TO AUTHORIZE Port Everglades Chief Executive/Port Director to execute a Memorandum of Agreement and related documents between Broward County and U.S. Customs and Border Protection (“CBP”), subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to providing replacement equipment for the performance of CBP operations at the Federal Inspection Services (“FIS”) facility at Cruise Terminal 19, with an estimated initial equipment cost not to exceed $277,666, and estimated recurring annual operation and maintenance costs of $5,540, with additional upgrades to systems and equipment as may be required on a schedule determined by CBP.
ACTION: (T-10:23 AM) Approved.
VOTE: 8-0. Commissioner Davis was inaudible during the vote.
D. MOTION TO AUTHORIZE Port Everglades Chief Executive/Port Director to execute a Memorandum of Agreement and related documents between Broward County and U.S. Customs and Border Protection (“CBP”), subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to providing replacement equipment for the performance of CBP operations at the Federal Inspection Services (“FIS”) facility at Cruise Terminal 21, with an estimated initial equipment cost not to exceed $275,798, and estimated recurring annual operation and maintenance costs of $5,540, with additional upgrades to systems and equipment as may be required on a schedule determined by CBP.
ACTION: (T-10:23 AM) Approved.
VOTE: 8-0. Commissioner Davis was inaudible during the vote.
E. MOTION TO AUTHORIZE Port Everglades Chief Executive/Port Director to execute a Memorandum of Agreement and related documents between Broward County and U.S. Customs and Border Protection (“CBP”), subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to providing replacement equipment for the performance of CBP operations at the Federal Inspection Services (“FIS”) facility at Cruise Terminal 26, with an estimated initial equipment cost not to exceed $518,712, and estimated recurring annual operation and maintenance costs of $13,890, with additional upgrades to systems and equipment as may be required on a schedule determined by CBP.
ACTION: (T-10:23 AM) Approved.
VOTE: 8-0. Commissioner Davis was inaudible during the vote.
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Why Action is Necessary
Broward County Board of County Commissioners approval is required to authorize the Port Everglades Chief Executive/Port Director to execute the Memoranda of Agreement and related documents that commit County funds.
What Action Accomplishes
Provides authority to the Port Everglades Chief Executive/Port Director to execute Memoranda of Agreement and related documents between Broward County and CBP, subject to review and approval for legal sufficiency by the Office of the County Attorney, to reimburse CBP for costs related to upgrading information technology equipment required for the performance of CBP federal inspection services at Cruise Terminals 2, 18, 19, 21, and 26, and for recurring operating costs related to CBP systems and equipment.
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Previous Action Taken
None
Summary Explanation/Background
THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Broward County Board of County Commissioners’ (“Board”) Value of “Building partnership 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.”
On September 17, 2024 (Item No. 12), the Board authorized the Port Everglades Chief Executive/Port Director to execute Memoranda of Agreement (“MOAs”) and related documents between Broward County and U.S. Customs and Border Protection (“CBP”) to reimburse CBP for information technology (“IT”) costs for upgrading computer hardware and software supporting Federal Inspection Services (“FIS”) operations at Port Everglades Cruise Terminals 4 and 25 due to the existing equipment no longer being supported by Microsoft as of October 2025. At the time, CBP indicated that there would be no further cost liability for the other cruise terminals at Port Everglades because those terminals have IT equipment procured and owned by CBP.
Subsequent to that, on November 20, 2024, CBP notified Port Everglades staff that, due to a change in policy at CBP Headquarters, the County would also be financially responsible for the cost of similar FIS IT upgrades in Cruise Terminals 2, 18, 19, 21, and 26, and provided MOAs for each terminal (see Exhibits 1 through 5). Under the MOAs, the County is responsible for reimbursing CBP for the cost of equipping the facilities with the upgraded IT infrastructure required to operate the FIS in each terminal. The County is also responsible for reimbursing any additional IT connectivity costs, as well as for committing to reimburse CBP for IT costs associated with operating the facility and future equipment upgrades (with no not-to-exceed amount). The estimated initial cost for replacing the outdated IT infrastructure in the five terminals is $1,746,935, with estimated recurring annual operation and maintenance costs of $41,490. CBP indicated that there was a risk of FIS cruise passenger arrival processing being adversely affected in October 2025 if the MOUs are not completed and the IT equipment not upgraded.
The MOAs also provide that the County is required to fund future equipment upgrades required by CBP with 180 days’ notice. As noted in the MOAs, CBP expects this to occur every three to five years. There is no cap on costs. The Port will also be responsible for equipment maintenance costs; however, CBP does not anticipate significant maintenance expenses because the equipment will be covered by warranties.
The County has been working for many years through the American Association of Port Authorities (“AAPA”) to support Congressional legislation that would require CBP to pay such costs using their own funds rather than shifting the burden to local ports with FIS facilities. The Broward County Federal Legislative and Executive Program for the 118th Congress, approved by the Board on December 6, 2022 (Item No. 46), included support for policies requiring CBP to be responsible for fully funding staff, equipment, infrastructure, and technology for maritime and aviation operations. During the last Congress, the SPACE Act was introduced that would have addressed this issue, but no action was taken. County staff will be working through the Broward Congressional delegation and the AAPA and Florida Ports Council to support similar legislation this Congress.
Delegation of authority to the Port Everglades Chief Executive/Port Director to execute the MOAs is requested because there are several other CBP documents that will need to be executed, including cost sign off sheets, and delegation of the authority to the Port Everglades Chief Executive/Port Director will facilitate those efforts. The cost sign-off sheets are redacted from Exhibits 1 through 5 and will need to be signed by the Port Everglades Chief Executive/Port Director. The MOAs do not utilize the County standard terms because CBP requires that the MOAs utilize the CBP form.
Source of Additional Information
Glenn A. Wiltshire, Deputy Port Director, Port Everglades Department, (954) 468-3504
Fiscal Impact
Fiscal Impact/Cost Summary
The estimated cost for the reimbursement to CBP for the IT expenses under the MOAs is a combined total of $1,746,935 for the equipment purchase and installation in the five cruise terminals, with a recurring cost estimated at $41,490. Funds are available in the Port Everglades Capital Fund for the initial equipment costs under the MOAs, and funding for the recurring cost to reimburse CBP for data services and replacement equipment will be included in future Port IT Capital and/or Operating Fund budget requests.