Port Everglades news

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It’s official: Everglades, Carnival in ‘landmark’ agreement

Tuesday, 06 April 2010 11:40

[source: http://www.cruise-community.com/index.php?option=com_content&view=category&id=910%3Afeaturedstories&layout=blog&Itemid=69&limitstart=1]

 

Carnival Corp. & plc inked one of its largest passenger terminal use agreements today, committing 25.5m passenger moves from Port Everglades over the next 15 years in a deal that will produce nearly half a billion dollars in revenue for the port. Broward County Mayor Ken Keechl called it a ‘landmark agreement that will give back to the people of South Florida repeatedly over the next 15 years.’

 

The accord, which takes effect Oct. 1 and comes with a five-year option, was approved this morning by Broward County Commissioners. It follows another major long-term agreement reached with Royal Caribbean Cruises Ltd. in December 2007 and, like that deal, employs a port user charge in lieu of various service tariffs.

 

The Carnival agreement calls for an average of 1.7m passengers embarking and disembarking annually from ships of brands including Princess Cruises, Holland America Line, Carnival Cruise Lines, P&O Cruises, Cunard Line and the Yachts of Seabourn, which already sail to and from the port.

 

In return, Port Everglades is committed to making significant improvements to four cruise terminals estimated at a total cost of $34m. The Broward County Commission also approved amending an agreement with Bermello Ajamil & Partners by $3.57m for expedited design services. Other action begins the process to select a construction manager to complete the improvements.

 

‘We are delighted to continue our long-standing partnership with Port Everglades and Broward County,’ said Carnival Corp. & plc vice chairman and coo Howard Frank. ‘Our multiple cruise brands that utilize Port Everglades greatly value the convenience and consumer appeal of basing ships there.’ He added that Carnival looks forward to the planned terminal improvements.

 

Port Everglades director Phil Allen estimated 621 new construction jobs will be created in the next three years for the facility upgrades discussed with Carnival. ‘We strive to be the best cruise port in the world, not just the largest,’ he said.

 

The new agreement is expected to have an average annual economic impact of more than 6,000 local jobs with related personal income of $293.6m over the 15-year period. According to a study by maritime research company Martin Associates, the homeporting of Carnival ships is also expected to generate $21.7m in state and local taxes annually.