PLACEMENT: Consent
TITLE:
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APPROVAL OF A LEASE WITH THE UNITED STATES OF AMERICA THROUGH U.S. CUSTOMS AND BORDER PROTECTION (“US CUSTOMS”) FOR USE OF THE US CUSTOMS BUILDING AND ADJACENT PARKING AT THE MARTIN COUNTY AIRPORT/WITHAM FIELD
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EXECUTIVE SUMMARY:
executive summary
This is a request for consideration of Lease No. HSBP-7118-L-IN0419 for the US Customs building and associated parking rights at the Martin County Airport.
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DEPARTMENT: Public Works
PREPARED BY: Name: Carla Segura
Title: Real Property Manager
REQUESTED BY: Sam Carver, Airport Manager
PRESET:
PROCEDURES: None
BACKGROUND/RELATED STRATEGIC GOAL:
Lease drafted by: The United States of America
Parties to the Lease: Martin County - Lessor
The United States of America (Government) - Lessee
Purpose of the Lease: Provide US Customs use of the US Customs Building and adjacent parking areas
New/Renewal/Modified: New
Duration: 1 year base term with 19 one-year-renewal options
Benefits to County: County will receive substantial user fees from international travelers arriving in Martin County by air and sea, and County’s residents will have the convenience of going through US Customs at the Martin County Airport/Witham Field.
Cost to County: None with the exception of normal maintenance of the US Customs Building that are covered by the user fees.
The U.S. Customs Building at Martin County Airport/Witham Field is the first intermodal clearance facility, that is, both air and sea, in Florida. The US Customs Building consists of 3,201 square feet of general aviation facility space located at 2001 SE Airport Road along with 16 adjacent parking spaces including 2 handicap spaces. The Lease also allows US Customs to install telecommunications equipment on the roof of the building. The Lease is for a one-year term with 19 one-year-renewal options with the last one ending in 2039.
County will receive substantial user fees from international travelers arriving in Martin County by air and sea, and County’s residents will have the convenience of going through US Customs at the Martin County Airport/Witham Field instead of travelling to US Customs facilities at Fort Pierce or West Palm Beach. The user fees will cover the County’s cost of maintaining the US Customs Building. The estimated annual maintenance cost is $195,000.00, and in the first three months alone, the County collected approximately $119,863.00 in user fees. The Government will pay no rent for this Lease.
This project began in September of 2010 during the Airport Master Planning process with the Martin County Board of County Commissioners. Construction commenced in August 2017 and was completed in October 2018; the US Customs Building went operational on February 11, 2019. The total project cost approximately $2,000,000.00. Construction was funded through an 80/20 grant partnership with the Florida Department of Transportation (”FDOT”) Aviation Division wherein the County covered 20% or approximately $400,000.000 of the project per the Grant award and with proceeds from the Airport Enterprise Fund.
ISSUES:
None
LEGAL SUFFICIENCY REVIEW:
This item has been reviewed for legal sufficiency to determine if it is consistent with applicable law, has identified and addressed legal risks, and has developed strategies for legal defensibility.
RECOMMENDED ACTION:
RECOMMENDATION
Move that the Board approve the Lease with the United States of America and its US Customs and authorize the Chairman to execute any and all documents necessary to complete this transaction.
ALTERNATIVE RECOMMENDATIONS
Pull this item from the Consent Agenda and direct staff.
FISCAL IMPACT:
RECOMMENDATION
None
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ALTERNATIVE RECOMMENDATIONS
None
DOCUMENT(S) REQUIRING ACTION:
☐Budget Transfer / Amendment ☐ Chair Letter ☒Contract / Agreement
☐Grant / Application ☐Notice ☐Ordinance ☐Resolution
☐Other:
This document may be reproduced upon request in an alternative format by contacting the County ADA Coordinator (772) 320-3131, the County Administration Office (772) 288-5400, Florida Relay 711, or by completing our accessibility feedback form at www.martin.fl.us/accessibility-feedback <http://www.martin.fl.us/accessibility-feedback>.