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Item C1 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: 8/20/2014 Division: County Administrator Bulk Item: Yes Department: Airports Staff Contact Person/Phone#: Don DeGraw, 289-6302 AGENDA ITEM WORDING: Approval of the U.S. Customs and Border Protection Memorandum Of Agreement for a User Fee Airport Program at The Florida Keys Marathon Airport. ....................................................... ITEM BACKGROUND: Under the provisions of Section 236 of the Trade and Tariff Act of 1984 (P.L. 98-573), as amended (19 U.S.C. 58b), the Commissioner of Customs and Border Protection is authorized to make inspectional services available at airports, seaports, and other facilities and to charge a fee for such services. The purpose of this agreement is to designate the following location and its defined adjoining facilities as eligible for such services under the conditions set forth herein. Monroe County, Marathon Airport, 9400 Overseas Hwy#200, Marathon, FL 33050. .......... PREVIOUS RELEVANT BOCC ACTION: On June 16, 2010, the BOCC approved the process of making a formal request to the U.S. Customs &Border Protection Agency (CB ) to establish a User-Fee customs facility at the Marathon Airport. On September 21, 2011, the BOCC approved the preliminary design for customs review and a feasibility cost study. On September 21, 2012 the BOCC approved the County to proceed with a RFP for formal design/construction bids and the approval for an $80,000 amendment to the MBI/K2m contract to prepare a RFP for construction of the CBP facility at the Marathon Airport. On November 20, 2012 the BOCC approved a contract with MBI/K2M to prepare the final design and RFP for construction. On July 16, 2014 the BOCC approved award of bid and to enter into a contract with Pedro Falcon Electrical Contractors, Inc. for the construction of a U.S. Customs and Border Protection terminal at the Marathon Airport. .......... CONTRACT/AGREEMENT CHANGES: N/A --—------- STAFF RECOMMENDATION: Approval. TOTAL COST: $140,874 1" year& $123,438 succeeding-yrs. INDIRECT COST: $8,837.38 (I.T.service) BUDGETED: Yes DIFFERENTIAL OF LOCAL PREFERENCE: NA COST TO COUNTY: None SOURCE OF FUNDS: FBO Operational Fund COST TO AIRPORT: None COST TO PFC: None REVENUE PRODUCING: Yes X No AMOUNT PER YEAR: Based on FBO contract terms APPROVED BY: County Attorney B/Purc5asmg Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM# MONROE COUNTY BOARD OF COUNTY COMMISSIONERS .......... .......... ............ ------- CONTRACT SUMMARY Contract# Contract with: U.S. Customs and Border Protection Effective Date: TB�DbyCBP Expiration Date: Until terminated Contract Purpose/Description: To desiginate the Florida Keys Marathon Airport as eligible for inspectional services by U.S. Customs and Border Protection, under the User Fee Airport Program. Contract Manager: Don De raw # 63012 Airports- Stop # 5 (name) (Ext.) (Department/Stop) I.for BOCC meeting on: 8/20/2014 Agenda Deadline: 8/5/2014 meeting .............................................................. ...........................................................................................................................................................................---------...........................-.--------------- ................ ------------- CONTRACT COSTS Total Dollar Value of Contract: $140,874 (1 s'year only) Current Year Portion: N/A Budgeted? Yes Account Codes: To be established Grant: N/A Airport Match: N/A ADDITIONAL COSTS, Estimated Ongoing Costs:$123,438 (annually) For: $8�,837.38 Annual I,T. service costs (not included in dollar value above) leg.maintenance, utilities,janitorial,salaries,etc.) . .......... -------------- ----------- ------------------- ......................................................... ------- ............................................... CONTRACT REVIEW Changes Date In Needed Reviewer Date Out Yes No k. Airports Director .......... ......... Risk Management or &Mana',�emenlk VVJ" - 'I Id,9/ 1 --.1 J ILI O.M.B./Purchasina .00-1 f r 0 '22 tA r 95 4et.—.. County Attorney .................... Comments: . .. ... ....... ----- -- -------------------- ---------------------------- ------------------------------------------ ................. ................ ........................................... U. S. CUSTOMS AND BORDER PROTECTION MEMORANDUM OF AGREEMENT USER FEE AIRPORT PROGRAM Under the provisions of Section 236 of the Trade and Tariff Act of 1984 (P.L. 98-573), as amended(19 U.S.C. 58b),the Commissioner of Customs and Border Protection is authorized to make inspectional services available at airports, seaports, and other facilities, and to charge a fee for such services. The purpose of this agreement is to designate the following location and its defined adjoining facilities as eligible for such services under the conditions set forth herein. Airport Name: Monroe Countv, Marathon Airport Location: 9400 Overseas Hwy#200 Marathon, Florida 33050 The above-named airport shall be considered to be the"person" using Customs and Border Protection services, as the to is applied in Section 236 of P.L. 98-573. In accordance with the requirements of Section 236(c) of the law, a determination has been made that the volume of business anticipated at the airport, and defined adjoining facilities, is insufficient to justify the availability of unreimbursable inspectional services. CUSTOMS AND BORDER PROTECTION OFFICE LOCATION DEFINED For purposes of determining reimbursable travel costs, identify the physical address of the proposed Customs and Border Protection office, if different from the location named above. Same as above CUSTOMS AND BORDER PROTECTION LOCATIONS DEFINED Specify below any other locations(other than the airport itself) at which Customs and Border Protection services would be expected: (i.e., define all adjoining or adjacent facilities, such as Foreign Trade Zones). None GEOGRAPHIC BOUNDARIES OF SERVICE DEFINED Service may only be provided at the mutually agreed upon location listed below. A plat highlighting the service boundaries may also be attached. Marathon Airport, User Fee Facility 06/29/14 FACILITY STANDARDS Airports requesting Customs and Border Protection services must meet and maintain Customs and Border Protection facility standards. Facilities that fail to maintain Customs and Border Protection facility standards will be subject to a 120-day notice terminating this agreement. If applicable, an Agriculture Compliance Agreement must also be maintained. CUSTOMS AND BORDER PROTECTION RESPONSIBILITIES The Customs and Border Protection Bureau has determined that one full-time officer will be required at this airport. Regular Customs and Border Protection services will be provided as specified below. Any service provided outside these hours may be subject to overtime and/or premium pay. The full cost of overtime service and/or premium pay will be paid by the airport and at the rates prescribed by Section 267 of Title 19,United States Code, as amended, In the event U.S. Customs and Border Protection has to provide a Customs and Border Protection Officer(s)to replace the regularly assigned officer(s) during the established shift by a temporary replacement due to sick leave, annual leave, transfer, travel, and/or training,then the facility agrees to bear any and all costs and expenses associated with such replacement including but not limited to transportation, relocation and/or per them costs for personnel brought from other locations. The work schedule that has been agreed to is as follows: Weekly Work Schedule: Weds thru Sun 40 Hours Hours of Service from 9 a.m. until 5:30 p.m. (30 min unpaid lunch) In the absence of required inspectional services, Customs and Border Protection may assign other duties to the officer at another location. EMERGENCY ADJUSTMENT TO LEVEL OF SERVICE During circumstances that may arise, Customs and Border Protection reserves the right to adjust the level of service provided to address high alert security situations. Permission to land may be denied if sufficient personnel are not available. Billing adjustments will be made to reflect adjustments to the level of service. AIRPORT RESPONSIBILITIES Base Fee The airport agrees to pay the Customs and Border Protection Bureau for the full-year cost of each officer. The base fee for each full-time officer is$140,874 for the first year and S123,438 for succeeding years.This amount is subject to change. All base salary changes will reflect the costs of services being provided, which includes all salary and benefit costs, and all administrative overhead costs. M29/14 2 The airport agrees to pay all cost-of-living allowances, if applicable. Fees will be increased for all adjustments and changes in the rate of pay and allowances mandated by legislative and regulatory requirements. Additional Fees The airport agrees to reimburse all travel, transportation,relocation, and per them costs incurred by Customs and Border Protection in performing regular inspectional duties or for personnel to be brought to the airport from other locations for internal control verifications, special enforcement activities, training, etc., as may be necessary. If authorized by law, relocation costs may be incurred by the facility authority upon termination of the MOA by either party. The airport agrees to reimburse all ADP costs, including equipment purchase, installation, connectivity, maintenance and the cost of upgrading and replacing equipment on a schedule determined by Customs and Border Protection. Payment of Fees All of the above-mentioned expenses will be determined in accordance with generally accepted accounting principles and standards. The annual fee will be billed in quarterly installments. The initial payment is due 15 days prior to the service date of this agreement. Any cost-of-living allowance, travel, per diem, transportation,relocation, and any other variable expense will be collected after it is incurred, and will be invoiced as an adjustment to the next quarterly installment. If any amounts due Customs and Border Protection under the terms of this agreement are not paid within 90 days of billing, the agreement will be automatically terminated. In the event of termination, all costs incurred by Customs and Border Protection, which have not been reimbursed, will become immediately due and payable. Interest on unpaid fees will accrue based on current U.S. Treasury borrowing rates. The facility authority may file a protest under 19 U.S.C. §1514 for any charges it believes to be excessive or incorrectly included in the bill provided by U.S. Customs and Border Protection. Any protest must be filed within 180 days of receipt of the bill sent by U.S. Customs and Border Protection. If a protest is filed,the procedures set forth in 19 C.F.R. Part 174 must be followed. Facilities Airports requesting services must satisfy Customs and Border Protection facility standards before submission of this agreement, The standards are specified in the User Fee Airport Facilities Standards document and the Technical Standards for Customs Passenger Processing at Airports document. The Customs and Border Protection Field Office that oversees the User Fee Airport will inspect the facilities and verify whether the facility standards are met prior to submission of this agreement. Facilities that fail to maintain facility standards, after initial 06/29/14 3 approval, will be subject to a 120-day termination notice. Customs and Border Protection reserves the right to update the facilities standards as necessary. Secure space must be provided for the Customs and Border Protection officer to inspect baggage and store seized items. The space provided to and occupied by Customs and Border Protection personnel must remain under the control of the airport that is entering into this agreement. ADP Equipment Customs and Border Protection has specific requirements for software, computers, printers, file servers, data cabling, and connectivity to the Customs and Border Protection National Data Center. The Office of Information and Technology(OIT)will be responsible for ordering and installing a frame relay data connection from your facility to the Customs and Border Protection National Data Center. The Office of Information and Technology will develop the automated equipment configuration, determine the cost for this ADP equipment, and procure and install the ADP equipment based on the number of officers at this facility. The airport will be responsible for the procurement and installation of all data cabling components required for connectivity of the ADP equipment according to OIT provided specifications. The airport will be billed for the purchase of the ADP equipment, the one-time charges for the network installation, and the annual recurring costs for equipment maintenance and network connectivity. This ADP equipment and network will be covered under Customs and Border Protection maintenance agreements. Equipment problems and network outages must be reported to the Customs and Border Protection Help Desk by the Port Director or representative. Upgrades to the ADP equipment will be required on a schedule determined by Customs and Border Protection (every 3 years). The airport will retain ownership of this equipment. Third Party Charges If the facility seeks reimbursement by the individual users of the U.S, Customs and Border Protection services provided, for example air carriers, the facility agrees to set and periodically review its rates to ensure that they are in accord with the U.S. Customs and Border Protection services provided. SERVICE DATE Service will begin on a date determined by Customs and Border Protection. Billing will coincide with the actual start of service. 06'29/14 4 ANNUAL REVIEW OF AGREEMENT (MOA) This agreement is subject to annual review. Customs and Border Protection will conduct an annual review of this agreement to ensure that the requirements are being met. Customs and Border Protection will issue a termination notice if the annual review indicates that the terms and requirements of this agreement are not being met, TERMINATION OF AGREEMENT This agreement may be terminated by either party upon 120 days written notice. If any amounts due Customs and Border Protection under the terms of this agreement are not paid within 90 days of billing, the agreement will be automatically terminated. If national security, defense, safety or other interests are at risk, as determined by the Port Director, the agreement may be terminated immediately without prejudice to the filing of a new application. Notice of termination will be provided in writing setting forth the reasons for such action. Any immediate termination may be appealed in writing within 30 days to the Director, Field Operations where the facility is located. AUTHORIZATION (TWO COPIES WITH ORIGINAL SIGNATURES ARE REQUIRED) Agreement to these terms is attested by the signatures below. ............ ------- Name and Title, Port Authority Signature Date ......................................... ............................................... ---------------------------- Commissioner Date U. S. Customs and Border Protection "'OnNIEY �QE C0�4 P OVE FORM K -7 T' 11 --ft"i RNEY Dmc 06/29/14 5