Title:
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Approve agreements for the Central Florida Commuter Rail Commission (CFCRC) and authorize Seminole County’s CFCRC Representative to vote and make changes as necessary for CFCRC execution. (Lorie Bailey Brown, CFO/Resource Management Director)
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Division:
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Resource Management - Business Office
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Authorized By:
Lorie Bailey Brown, CFO/Resource Management Director
Contact/Phone Number:
Brijesh Patel/407-665-7244
Background:
The Local Government Partners (Orange, Osceola, Seminole, Volusia counties and the City of Orlando) executed an Interlocal Governance Agreement creating the CFCRC for management and provision of operating funds for the Central Florida Commuter Rail Transit System (a.k.a. “SunRail”). Florida Department of Transportation (FDOT) and the CFCRC entered an Interlocal Operating Agreement providing for transition of the financial and operating obligations to the CFCRC at the end of the FDOT funding period. The CFCRC, FDOT and the Local Government Partners entered into an Operations Phasing Agreement in March of 2024 for the phased transfer of SunRail funding and operating obligations from FDOT to the CFCRC and Local Government Partners and requires FDOT to transition financial responsibility to the CFCRC on or about December 31, 2024 and operations and maintenance to the CFCRC following an Interim Operation Period.
To provide sufficient time for seamless transition and procurement of various contracts in compliance with Interlocal Agreements and Operating Phasing Agreement, the Locally Funded Agreement (LFA) was drafted for FDOT to continue providing management services in connection with operation and maintenance. The term of the LFA is through December 31, 2025, and can be extended by the CFCRC for an additional year with written notice 120 days prior to the current expiration. The LFA establishes quarterly payments of the CFCRC approved budget for the period of January 1, 2025 through December 31, 2025 to FDOT to begin January 1, 2025. FDOT will notify the CFCRC if actual costs exceed the quarterly deposit amounts, and if the costs are less than the quarterly payments, the excess will be applied to any cost overruns of prior periods or held in escrow for future overruns. An Escrow agreement between Florida Department of Financial Services, FDOT and the CFCRC will be executed to establish the escrow account and terms.
To facilitate financial operations, the CFCRC requires banking services. A Banking Services Agreement has been prepared between the CFCRC and JPMorgan Chase Bank, N.A. (Chase) to receive similar services as the LYNX procurement for Banking and Financial Related Services, ultimately awarded to Chase. The initial purpose of the CFCRC bank account will be to aggregate the funding from the Local Government Partners and remit payments to FDOT. In short, the Banking Services Agreement memorializes the utilization of a “piggyback” procurement between the CFCRC and Chase, previously approved by the CFCRC.
Finally, the CFCRC will need to obtain accounting software, such as QuickBooks, to provide a system of accounting for the transactions. The structure for payment of the software is in-process.
Requested Action:
Staff requests the Board approve and authorize the CFCRC Representative to make changes to the Locally Funded Agreement, Escrow Agreement and Piggyback Banking Services Agreement, as necessary, for CFCRC execution and to obtain an accounting system for the CFCRC.