Rule Chapter 14-118 is being promulgated to implement and administer the Intermodal Logistics Center Infrastructure Support Program.

 

DEPARTMENT OF TRANSPORTATION

RULE NOS.:RULE TITLES:
14-118.001Purpose
14-118.002Definitions
14-118.003Project Eligibility and Funding
14-118.004Application and Award Procedures
PURPOSE AND EFFECT: Rule Chapter 14-118, F.A.C., is being promulgated to implement and administer the Intermodal Logistics Center Infrastructure Support Program.
SUBJECT AREA TO BE ADDRESSED: These rules address the Program’s procedures and eligibility requirements for funding roads, rail facilities, and other means for the conveyance or shipment of goods through a seaport.
RULEMAKING AUTHORITY: 311.101(8) FS.
LAW IMPLEMENTED: 311.101 FS.
IF REQUESTED IN WRITING AND NOT DEEMED UNNECESSARY BY THE AGENCY HEAD, A RULE DEVELOPMENT WORKSHOP WILL BE NOTICED IN THE NEXT AVAILABLE FLORIDA ADMINISTRATIVE REGISTER.
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE DEVELOPMENT AND A COPY OF THE PRELIMINARY DRAFT IS: Susan Schwartz, Assistant General Counsel, Florida Department of Transportation, Office of the General Counsel, 605 Suwannee Street, Mail Station 58, Tallahassee, Florida 32399-0458, [e-mail]

THE PRELIMINARY TEXT OF THE PROPOSED RULE DEVELOPMENT IS:

 

14-118.001 Purpose.

The purpose of the Intermodal Logistics Center Infrastructure Support Program is to provide funds for roads, rail facilities, or other means for the conveyance or shipment of goods through a seaport.   The law establishes extensive criteria for the purpose of project evaluation.   This rule chapter shall be liberally construed by the Department to effectuate the purposes of the statute.   It is the intent of the Department that these rules permit maximum flexibility within the limits of the statute, yet define procedures consistent with sound public fund management principles and consistent with the need to apprise potential applicants, fund recipients and the public of the Department’s policy governing administration of the Program. The amount of funds available from the State Transportation Trust Fund shall be up to $5M per fiscal year, and subject to annual appropriation.   Funding for the Program is based on the State Fiscal Year, from July 1 of each year through June 30th of the following year.

Rulemaking Authority 311.101 FS. Law Implemented 311.101 FS. History–New               .

 

14-118.002  Definitions.

(1)  “Applicant” means a public or private entity with the authority to approve the development of, or construct, an Intermodal Logistics Center.  

(2) “Department” means the Florida Department of Transportation.

(3) “Eligible seaport” means a seaport listed in Section 311.09, F.S.

(4)  “Eligible project” or “Project” means a transportation facility for the conveyance or shipment of goods, to or from an ILC, through one or more eligible seaports.

(5) “Intermodal Logistics Center” (ILC) means as defined in Section 311.101.

(6) “Program” means the Intermodal Logistics Center Infrastructure Support Program, as defined in Section 311.101, F.S.

Rulemaking Authority 311.101 FS. Law Implemented 311.101 FS. History–New               .

 

14-118.003  Project Eligibility and Funding .

(1)A project will not be considered eligible if business at the ILC is relocating from one Florida community to another, unless the applicant demonstrates to the Department and the Department of Economic Opportunity (DEO) that without relocation the business will move outside the state, or that the business has a compelling economic reason and the relocation will create additional jobs.

(2) The transportation project must be designed in a manner that provides the most efficient access route to the business site.   

(3)The amount of funds being requested for any project cannot exceed $3 million.

(4)Projects will be funded for design and construction phases. Funds spent on planning, preliminary engineering, and environmental permitting may be considered as part of the required local match to be contributed by the applicant or associated local partners to the total project cost.

(5)The Secretary of Transportation will determine which eligible projects receive funding support in accordance with the provisions of this rule chapter.  When the required documentation is provided in an application, the Department will consider the project for an award of Program funds.

(6)The Department is responsible for constructing any eligible projects consisting of improvements to state or federal highways. However, in cases where the applicant will be constructing the project, an appropriate local agreement, such as a Local Area Program or a Joint Participation Agreement will be executed by the Department and the applicant when the funds are awarded.

(7)  The Department will attempt to distribute all of the funds available in the current State of Florida fiscal year.   Funds not distributed in the current fiscal year will be distributed in a subsequent fiscal year.

(8)  Public or private entities awarded funds by this Program shall comply with the following provisions:

(a)  Chapter 287, Florida Statutes, Procurement of Personal Property and Services;

(b)  Chapter 119, Florida Statutes, Public Records; and

(c)  Chapter 3A-40, Florida Administrative Code, Rules of the Bureau of Auditing.  

Rulemaking Authority 311.101 FS. Law Implemented 311.101 FS. History–New               .

 

14-118.004 Application and Award Procedures.

(1)The Intermodal Logistics Center Infrastructure Support Program Application, DOT Form 725-085-01, Rev. 12/12, incorporate herein by reference, is an electronic application available on the Department’s website at www.dot.state.fl.us/seaport.  There are no deadlines for submitting applications.  The Department will accept an application as long as there are funds available within a given fiscal year.   Any unused funds will be requested to carryover to the subsequent fiscal year.

(2)  Applications shall include all information requested on the Intermodal Logistics Center Infrastructure Support Program Application. 

(3)Applications must address the following:

(a)  Eligible projects shall be consistent, to the maximum extent feasible, with local Metropolitan Planning Organization plans and local government comprehensive plans. 

(b)  Preliminary engineering reports shall comply with the Project Development and Environmental Manual: Part I, Chapter 9, incorporated herein by reference, including exceptions that can be presented for consideration in an Application.   

(c)  Production of engineering plans, and the use of personnel/consultants shall conform to the relevant sections as set forth in Rule 14-75.003.

(d)  For right-of-way, if the acquisition and construction of the eligible project is the sole responsibility of the applicant, the applicant may utilize its own acquisition policies and procedures in accordance with applicable law.  Right-of-Way maps should conform to the requirements of Rule Chapter 61G-17, F.A.C., Board of Professional Surveyors and Mappers, pursuant to Section 472.027, F.S.

(f)Construction may be completed using appropriate local specifications as defined in the Application, subject to Department review and approval.  Appropriate standards will take into consideration similar transportation systems in the geographic area of the eligible project.  In the absence of local construction specifications acceptable to the Department, refer to the Standard Specification for Road and Bridge Construction and Standard Index in the Departments’s Plans Preparation and Design Manual.

(4)Project cost estimates for the eligible project must be current (within six months of the Application) and certified by the Department’s project cost estimating system, or a nationally recognized firm of consulting engineers, for  all eligible projects.  Contingency amounts must be included to help ensure that the eligible project can be fully funded and completed (i.e., a minimum of 10% contingency).

(5)Benefit estimates for the ILC must be current and certified (within six months of the Application) by a nationally recognized consulting firm (i.e., traffic and revenue consultant, Certified Public Accountant, or other consultant for the type of project).

(6)The applicant must present a business plan for the ILC and a finance plan that fully funds the ILC, or the phase of the ILC currently under construction, including all contingencies.  Documentation to verify funding sources will be required. 

(7)When an Application is submitted to the Department, the Application will be reviewed for eligibility and completeness.  If the Department initially finds the Application is not eligible or not complete, it will advise the applicant of any deficiencies.  If the Department finds the Application to be complete and the project meets the Program’s eligibility requirements, it will be forwarded to the DEO for review.  The DEO will provide comments to the Department on how the eligible project meets state economic goals and fits in to the overall goals of supporting the state’s ability to promote growth in global trade and logistics. 

(8)  Applications will be transmitted for review by local and district partners, including the DEO, and the appropriate Department modal, financial, and district staff will be asked to review and provide comments for all applications to the Manager, Seaport and Waterways Office.  The Manager, Seaport and Waterways Office will then provide recommendations to the Secretary for consideration and final approval. 

(9)Eligible project review and prioritization will include, but not be limited to, consideration of the criteria outlined below:

(a)The ILC and eligible project’s contribution to the achievement of state economic goals and policies, and the extent to which the ILC and eligible project contribute to increased state economic activity, including job creation, increased wages and revenues.

(b)The Return on Investment estimated for the ILC and the eligible project, as applicable, demonstrating what will be contributed to regional and/or statewide economic activity.

(c) The positive contribution of the ILC and eligible project to the state transportation system, and the ability of the eligible project to improve the cost effective and efficient movement of goods to and from an eligible seaport.    If the Application is submitted by a private entity, the Application must clearly explain the public benefit from the eligible project, such as how the project provides a benefit to the associated seaport(s), and how the regional and/or statewide transportation of goods is improved with the development of ILC and the project.

(d)Documentation of a 50 percent or more funding match for the eligible project, including what entity is providing the match and how the match will be provided (i.e. cash, donation of land, etc.).

(e)Documentation of current commitments from private sector businesses currently operating at, or that have executed a contract to locate operations at, the ILC.

(f)Documentation of current executed agreement(s) with eligible seaport(s) to convey or ship goods to and from the ILC through the eligible seaport, including an estimate of the percent of cargo expected to be handled at the ILC and conveyed from each appropriate seaport.

(g)Documentation, through the business and financial plans and legal agreements provided, of the investments made, or to be made, by the owner or developer of the existing or proposed ILC.

(h) Documentation from the appropriate local government(s) supporting the ILC and the eligible project, and of the ILC and the eligible project’s conformance with all appropriate local land use regulations and requirements.

(10)  The Department will evaluate eligible projects by prioritizing applications based on the following information:

(a)  Methodologies addressing financial feasibility, for example, by addressing inefficiencies in existing cargo transportation operations/transfers;

(b)  Capital budget of  all estimated structural materials and equipment, including costs for acquisition of land, site preparation, permits, buildings or building materials;

(c)  Financial commitments, i.e. venture capital funds, grants, loans;

(d)  State or regional economic benefits reflective of the project’s critical role as a driver of economic development in the region and addressing multimodal cargo issues;

(e)  Support of local community stakeholders, i.e. local government, chambers of commerce or Economic Development Offices;

(f)  Local and/or industry  financial commitments (local match);

(g)  Availability of on-site or nearby associated manufacturing facilities or value added providers;

(h)  Ability of the ILC to begin operations at an earlier date if the eligible project is approved, i.e. shovel-ready projects;

(i)  Efficiencies in the transfer of goods, including those where both road and rail are available to facilitate movement of goods, regionally and internationally;

(j)  Financial safeguards which include contingency plans with backup sources to complete the project should project funding become unavailable.

(11)  The Department will respond to applicants with a final decision on funding after the review of applications is completed, and the Secretary has made project selections.   After funding decisions are made, the Department will include the funded project in the work program as expeditiously as possible.

Rulemaking Authority 311.101 FS. Law Implemented 311.101 FS. History–New               .