Broward County Commission Regular Meeting
Director's Name: Jonathan Daniels
Department: Port Everglades Division: Business Development
Information
Requested Action
title
MOTION TO ADOPT Resolution of the Board of County Commissioners of Broward County, Florida, granting renewal of a nonexclusive franchise to Cemex Construction Materials Florida, LLC, for a ten-year term to provide stevedore services at Port Everglades.
body
Why Action is Necessary
Pursuant to Section 32.22 of the Broward County Administrative Code ("Administrative Code"), Broward County (the "County") must hold a public hearing prior to granting, renewing, placing on probation, suspending, or revoking a franchise.
What Action Accomplishes
Grants the renewal of a nonexclusive franchise to Cemex Construction Materials Florida, LLC, for a ten-year term to provide stevedore services at Port Everglades.
Is this Action Goal Related
Yes
Previous Action Taken
The Broward County Board of County Commissioners approved the Request to Set Public Hearing on June 14, 2022 (Item No.18).
Summary Explanation/Background
THE PORT EVERGLADES DEPARTMENT RECOMMENDS APPROVAL.
This action supports the Broward County Board of County Commissioners' ("Board") 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."
Cemex Construction Materials Florida, LLC ("Cemex") and its predecessors have provided stevedore services at Port Everglades under a series of approved franchise agreements since 1991. On September 11, 2012 (Item No. 5-PH), the Board granted renewal of a nonexclusive franchise to Cemex to provide stevedore services at Port Everglades for a ten-year term, from September 16, 2012, through September 15, 2022. Cemex has applied for renewal of the franchise. Cemex has also applied for renewal of its cargo handler franchise, which is the subject of a separate agenda item.
Staff reviewed the stevedore franchise renewal application against the enumerated renewal criteria outlined in Chapter 32 of the Administrative Code. Staff's due diligence included, among other things: (a) corresponding with Cemex's representative to clarify franchise requirements; (b) reviewing Cemex'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, statement of activities and actions indicating that Cemex has maintained a favorable service performance record in Port Everglades during the term of its prior franchise agreements; and (c) ensuring that Cemex has promoted and developed growth in the business activities, projects, or facilities of Port Everglades. Staff also reviewed Cemex's safety and environmental history. In February 2022, the Florida Department of Environmental Protection ("FDEP") issued one citation for the improper storage of used batteries at Cemex's Brooksville, FL facility. Cemex corrected the infraction to the satisfaction of the FDEP, who did not assess any penalties.
Cemex has agreed to comply with all franchise conditions outlined in Section 32.24 of the Administrative Code by submitting the signed franchise application.
Based on the review of information provided in the franchise renewal application, staff recommends renewing the stevedore franchise. Per Section 32.16 of the Administrative Code, the County may grant stevedore franchises for up to ten years. Therefore, consistent with past practice, staff recommends renewing the franchise for a ten-year term.
The complete application and supporting documents are on file in the Port Everglades Business Development Division's office.
The Resolution to Publish Notice of Public Hearing and Notice of Public Hearing from the Request to Set Public Hearing agenda item approved by the Board on June 14, 2022 (Item No.18), are attached as Exhibit 3 and Exhibit 4.
Source of Additional Information
Jorge Hernández, Director, Business Development Division, Port Everglades Department, (954) 468-3501
Angela Osorno-Belleme, Franchises and Business Permit Manager, Business Development Division, Port Everglades Department, (954) 468-0112
Fiscal Impact
Fiscal Impact/Cost Summary
Cemex has paid the required annual fee of $4,200 and will pay an additional $37,800 in annual franchise fees over the term, for a total of $42,000.