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 the renewal of a nonexclusive, unrestricted Port Everglades vessel bunkering services franchise to JAX LNG, LLC, for a new five-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’ (“Board”) consideration of the Resolution granting the renewal of a nonexclusive, unrestricted Port Everglades vessel bunkering services franchise to JAX LNG, LLC, for a new five-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 February 11, 2025 (Item No. 10).
Summary Explanation/Background
THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Board’s 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.”
JAX LNG, LLC (“JAX”) has provided vessel bunkering services at Port Everglades since March 2024. On March 7, 2024 (Item No. 42), the Board granted a nonexclusive, unrestricted vessel bunkering franchise to JAX for a one-year term, from March 7, 2024, through March 6, 2025. JAX was established in 2014 with the aim of supplying liquified natural gas (“LNG”) to customers in Florida and Puerto Rico. The company was legally formed under the laws of the state of Delaware and is currently in good standing and of legal existence since January 9, 2015. Moreover, it is registered to conduct business in Florida, as of January 20, 2015. JAX has applied for the renewal of a new nonexclusive, unrestricted vessel bunkering services franchise.
JAX provides bunkering services for ships that use liquified natural gas as fuel. Its current operations are in Jacksonville, Port Canaveral, and Port Everglades, where it uses a specially designed barge for LNG transfers. With the continued scheduled arrival of cruise ships at Port Everglades that use LNG as fuel and the arrival of similar cargo ships this year, JAX has applied for renewal of its franchise to continue providing the service.
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 JAX’s representative to clarify franchise requirements and (b) reviewing JAX’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; and (c) ensuring that JAX has promoted and developed growth in the business activities, projects, or facilities of Port Everglades. Staff also reviewed JAX's safety and environmental history and found no infractions.
By submitting the signed franchise application, JAX 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 renewal application, staff recommends renewing 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. Consistent with past practice, staff recommends granting the franchise for a five-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 (Item No. 10) that the Board approved on February 11, 2025.
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
JAX has paid the required annual fee of $2,360 and will pay an additional $9,940 in annual franchise fees over the franchise term, for a total of $11,800.