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County Administrator's Report 9. 4.

BCC Regular Meeting

Discussion

Meeting Date:	06/02/2016
Issue: Payment of Administrative Costs for the OLFx/OLF8 Land Exchange
From:	Amy Lovoy
Department:	Asst County Administrator
CAO Approval:

RECOMMENDATION:

Recommendation Concerning Payment of Administrative Costs to the Naval Facilities Engineering Command - Amy Lovoy, Assistant County Administrator

That the Board take the following action:

A. Allocate $430,732 from the existing $5,000,000 set aside from the OLFx project for payment to Naval Facilities Engineering Command (NAVFAC) for administrative costs associated with the proposed land swap for the OLFx project;

B. Authorize payment of 50% of the above-noted allocation, in the amount of $215,366, to NAVFAC for the administrative costs; and

C. Authorize the County Administrator to make future payments to NAVFAC upon receipt of invoice and appropriate documentation up to the maximum authorized budget of $430,732.

[Funding Source: Local Option Sales Tax Fund (352), Cost Center 110273, Project 16PF3518]

BACKGROUND:

Section 2833(c) of Public Law 114-92 requires Escambia County to reimburse the Navy to plan, negotiate and execute all of the activities related to the proposed land swap agreement. Specifically, it states that the "Secretary of the Navy shall require the County to cover costs to be incurred by the Secretary, or to reimburse the Secretary for such costs incurred by the Secretary, to carry out the land exchange under this section, including survey costs, costs for environmental documentation, other administrative costs related to the land exchange, and all costs associated with relocation of activities and facilities from Navy Outlying Landing Field Site 8."

NAVFAC has estimated the administrative costs associated with the proposed land swap to be $430,732. Although they have only expended $84,486.96 through May 14, 2016, they are requesting 50% of the total estimated cost to be paid to allow their agency to reprogram the funds prior to the end of their fiscal year. They are also asking that the remaining funds be paid to them upon receipt of invoice soon after the commencement of the next fiscal year.

BUDGETARY IMPACT:

On November 5, 2015 the Board approved Resolution 2015-149 which directed up to $13,000,000 into the LOST Economic Development Trust Fund for the OLFx/OLF8 land exchange and for the $5,000,000 Navy Federal Credit Union incentive. Since that time, the Board has funded $5,000,000 of the $13,000,000 commitment. The payment for the administrative costs will come from this set aside; however it will reduce the amount available for the overall project and expedite the need for additional allocations to be made to fulfill the $13,000,000 obligation.

LEGAL CONSIDERATIONS/SIGN-OFF:

N/A

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

N/A

Attachments
Email Request from NAVFAC
50% Request from NAVFAC
NAVFAC Project Expenditures