Loading...
2016-29587 Reso L. RESOLUTION NO. 2016-29587 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PERTAINING TO THE RANKING OF PROPOSALS WITH RESPECT TO PHASE II OF THE RFP SELECTION PROCESS, PURSUANT TO REQUEST FOR PROPOSAL (RFP) NO. 2016-009-ME, SEEKING PROPOSALS FROM PARTIES INTERESTED IN PARTNERING WITH THE CITY TO DEVELOP PUBLIC PARKING GARAGES WITHIN THE CITY OF MIAMI BEACH; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE TWO (2) PROPOSERS: WASHINGTON PROPERTIES, LLC / RF 930 WASHINGTON, LLC AND TERRANOVA CORPORATION; WITH ANY FINAL NEGOTIATED AGREEMENT(S) SUBJECT TO PRIOR APPROVAL OF THE MAYOR AND CITY COMMISSION. WHEREAS, Request for Proposals No. 2016-009-ME (the "REP") was issued on October 14, 2015, with an opening date of January 19, 2016; and WHEREAS, a voluntary pre-proposal meeting was held on November 3, 2015; and WHEREAS, the City received a total of two (2) proposals; and WHEREAS, on February 10, 2016, the City Manager, via Letter to Commission (LTC) No. 062-2016, appointed an Evaluation Committee (the "Committee"), consisting of the following individuals: • Max Sklar, Director, Tourism, Cultural and Economic Development Department, City of Miami Beach; • Rogelio Madan, Principal Planner, Planning Department, City of Miami Beach; • David Martinez, Director, Capital Improvement Projects Department, City of Miami Beach; • Julie Santamaria, RBC Capital Markets; • Saul Frances, Director, Parking Department, City of Miami Beach; and The following individuals were appointed as alternates: • Maria Cerna, Division Director, Capital Improvement Projects Department, City of Miami Beach; • Mark Milisits, Asset Manager, Cultural and Economic Development Department, City of Miami Beach; • Monica Beltran, Assistant Director, Parking Department, City of Miami Beach; and WHEREAS, the Committee convened on February 17, 2016 to consider the proposals received; Mr. Max Sklar, Mr. Tomas Mooney, and Ms. Carmen Sanchez were unable to participate as committee members; therefore Mr. Mark Milisits and Mr. Rogelio Madan served as members; and WHEREAS, the Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government Sunshine Law, general information on the scope of services, references, and a presentation from each proposer; and WHEREAS, the Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFP; and WHEREAS, the Committee's ranking was as follows: Washington Properties, LLC / RF 930 Washington, LLC, which proposed a mixed use project at 900-930 Washington Avenue; and Terranova Corporation, which proposed a garage project at 830-836 West 42nd Street; and WHEREAS, on March 9, 2016, the City Commission approved Resolution No. 2016- 29322, authorizing the shortlist of the two (2) responsive proposers; Washington Properties, LLC and RF 930 Washington, LLC, and Terranova Corporation, to proceed to Phase II of the RFP evaluation process; and WHEREAS, on March 18, 2016, the City initiated Phase II of the evaluation process via Addendum No.4 of the RFP and held a voluntary pre-proposal meeting on March 28, 2016 with both proposers; and WHEREAS, on June 3, 2016, the City received the proposals for Phase II; and WHEREAS, it was determined that it would be in the best interest of the project to maintain the same Committee that evaluated the proposers during Phase I; and WHEREAS, the Evaluation Committee convened on August 17, 2016, and August 26, 2016 to consider the proposals received, with Mr. Saul Francis was unable to attend; and WHEREAS, the Committee's ranking was as follows: Washington Properties, LLC / RF 930 Washington, LLC; and Terranova Corporation; and WHEREAS, after reviewing all the submissions and the results of the evaluation process, the City Manager recommends that the Mayor and City Commission authorize the Administration to enter into negotiations with both proposers Washington Properties, LLC and RF 930 Washington, LLC, and Terranova Corporation. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation of the City Manager pertaining to ranking of proposals with respect to Phase II of the RFP selection process pursuant to Request for Proposal (RFP) No. 2016-009- ME to seek Proposals From Parties Interested in Partnering with the City of Miami Beach, I Florida, to Develop Public Parking Garages within The City; and authorize the Administration to enter into negotiations with both proposers, Washington Properties, LLC and RF 930 Washington, LLC and Terranova Corporation, with any final negotiated agreement(s) subject to prior approval of the Mayor and City Commission. r _ PASSED AND ADOPTED this t 7 day of Se pttmiee 2016 B F,q ''n. , ,/� ATTEST: �� ��i� �� , : ': %% i o QRA1E) APPROVED AS TO ...:. - 1, 6.) l., 1 -40( \ FORM&LANGUAGE Ra"ael E. Granado, ity Jerk �i�' . '�,� &FOR EXECUTION T:\A es Resolution pt 29b 16.doc urement\R-*,,*1609 P:u.,.',. • P3\-4T9 Development of Public Harking g '0 Sir,I-� TO 44*- n Ur(7.mB 3 Cia► ► p, Date Resolutions - R7 J MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: September 27, 2016 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER PERTAINING TO THE RANKING OF PROPOSALS WITH RESPECT TO PHASE II OF THE RFP SELECTION PROCESS, PURSUANT TO REQUEST FOR PROPOSAL (RFP) NO. 2016-009-ME, SEEKING PROPOSALS FROM PARTIES INTERESTED IN PARTNERING WITH THE CITY TO DEVELOP PUBLIC PARKING GARAGES WITHIN THE CITY OF MIAMI BEACH, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE TWO (2) PROPOSERS: WASHINGTON PROPERTIES, LLC / RF 930 WASHINGTON, LLC AND TERRANOVA CORPORATION; WITH ANY FINAL NEGOTIATED AGREEMENT(S) SUBJECT TO PRIOR APPROVAL OF THE MAYOR AND CITY COMMISSION. RECOMMENDATION Adopt the Resolution. ANALYSIS At the April 29, 2015 City Commission meeting, following the Washington Avenue Blue Ribbon Panel presentation and recommendations, the Mayor and City Commission directed the Administration to prepare an RFP seeking proposals from parties interested in partnering with the City to develop parking garages along the Washington Avenue corridor to address parking concerns. With the completion of the Walker Parking Study, several other areas were identified throughout the City as high priority locations also in need of municipal parking garages. The areas identified in the Walker Parking Study were included in this RFP. Through this RFP, the City sought proposals for public/private partnerships to develop public parking garages City-wide (each proposed site, a proposed "Project") to address the shortage of parking City-wide, with an emphasis on the "High Demand" and as identified more fully in the Walker Parking Consultant Demand Analysis. Accordingly, the City issued this RFP to seek teams with proven experience in the development of similar facilities or projects, and the financial and professional qualifications to deliver high-quality, economically feasible project(s). RFP PROCESS Page 516 of 692 On October 14, 2015, the City Commission approved the issuance of Request for Proposals (RFP) No. 2016-009-ME to seek proposals from parties interested in partnering with the City of Miami Beach, Florida, to develop public parking garages within the City. On October 20, 2015, the RFP was issued, with an opening date of January 19, 2016. A pre-proposal conference to provide information to the proposers submitting a response was held on November 3, 2015. The RFP provides for a two-step, phased evaluation process. The Phase I selection process, which is the reason for this item, relates to the qualifications and experience of the proposing team; the number of public parking spaces generated by the project; and if the project is within the high demand areas, as identified by the Walker Parking Study. Only those Proposers short- listed during Phase I will be authorized to proceed to Phase I I of the RFP selection process. The City received proposals in response to the RFP from the following two (2)firms: • Terranova Corporation. • Washington Properties, LLC and RF 930 Washington, LLC. On February 10, 2016, the City Manager appointed the Evaluation Committee via LTC # 062- 2016. The Evaluation Committee (the "Committee") consisted of the following individuals: • Max Sklar, Director, Tourism, Cultural and Economic Development Department, City of Miami Beach • Rogelio Madan, Principal Planner, Planning Department, City of Miami Beach • David Martinez, Director, Capital Improvement Projects Department, City of Miami Beach • Julie Santamaria, RBC Capital Markets • Saul Frances, Director, Parking Department, City of Miami Beach The following individuals were appointed as alternates: • Maria Cerna, Division Director, Capital Improvement Projects Department, City of Miami Beach • Mark Milisits, Asset Manager, Cultural and Economic Development Department, City of Miami Beach • Monica Beltran,Assistant Director, Parking Department, City of Miami Beach The Committee convened on February 17, 2016 to consider proposals received. Mr. Max Sklar, Mr. Thomas Mooney, and Ms. Carmen Sanchez were unable to participate as committee members; therefore Mr. Mark Milisits and Mr. Rogelio Madan served as a member. The Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government Sunshine Law. The Committee was also provided general information on the scope of services, references, and with a presentation of each proposer. The Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFP. The evaluation process resulted in the ranking of proposers as indicated below. The evaluation committee expressed its sentiment that both proposals should be moved to Phase II. On March 18, 2016, the City initiated Phase I I of the evaluation process via Addendum No.4 of the RFP and held a voluntary pre-proposal meeting on March 28, 2016 with both proposers. On June 3, 2016, the City received the proposals for Phase II. It was determined that it would be in the best interest of the project to maintain the same Committee from Phase I of the RFP selection process. The Committee convened on August Page 517 of 692 17, 2016 and August 26, 2016 to consider the proposals received. Mr. Saul Francis was unable to attend. The Committee's ranking was as follows: Washington Properties, LLC / RF 930 Washington, LLC; and Terranova Corporation. MANAGER'S DUE DILIGENCE & RECOMMENDATION After reviewing all the qualifications of each firm and having considered the Evaluation Committee's comments and rankings, I am recommending that, for Phase II of the evaluation process, the Mayor and the City Commission authorize the Administration to enter into negotiations with both proposers Washington Properties, LLC and RF 930 Washington, LLC and Terranova. Washington Properties, LLC and RF 930 Washington, LLC Washington Properties, LLC and RF 930 Washington, LLC (the "Developer"), proposed a joint development of Municipal Parking Lot No. P12, containing 24 parking spaces at 900 Washington Avenue, and the adjacent property, located at 930 Washington Avenue, currently a bank with a drive-thru teller facility and small parking lot. The Developer proposes a 145 room hotel that would serve as liner building to a 247 space parking garage. Of the 247 spaces, 145 are proposed to be "City"-owned public parking spaces, increasing parking availability by 121 spaces. The balance, 102 spaces, are required parking for retail and hotel accessory use. The proposed project is consistent with the recommendations from the Washington Avenue Masterplan by providing new development in the form of a hotel as well as increased parking availability to the corridor. The following are issues that will need to be addressed during negotiations: Issues: The Developer must provide a parking plan to address parking demand generated by the hotel component of the project, specifically, guest and employee parking. Of course, the concern is potential utilization of the 145 City public parking spaces proposed by the project that would negate any enhanced parking availability. The Developer committed to providing a parking plan to address this issue. The Developer committed to addressing issues related to access and traffic queuing to the parking garage ingress/egress proposed on Pennsylvania Avenue. This issue would need to be addressed during the negotiation phase. Finally, the Evaluation Committee raised a concern with the cost of construction and cost per space in this proposal, of approximately $56,254 per space, and recommended the Administration negotiate with the Proposer to bring the cost down. Terranova Corporation Terranova Corporation (the "Developer"), proposed a joint development of Municipal Parking Lot No. P62, consisting of 34 parking spaces at the southeast corner of West 42nd Street and Jefferson Avenue, and the adjacent property, located at 830 West 42nd Street, currently a private parking lot, consisting of 26 parking spaces, owned by and serving the Terranova office building. The Developer proposes a parking garage with 203 total spaces on three levels, providing 143 City spaces (an increase of 109 spaces) and 60 private spaces (an increase of Page 518 of 692 34 spaces). If ground floor retail were added to the project a minimum of 50 parking spaces would be lost reducing the total number of parking spaces to 153, compared to the 60 combined parking spaces in the existing City and private lots. Terranova requires 60 spaces, leaving 93 spaces for City parking, which is only a net increase of 59 spaces (93 spaces with garage minus 34 existing surface spaces = 59 spaces). If retail is desired by the City Commission construction costs need to be updated to accurately determine what the cost per space would be, but it would undoubtedly increase the cost per space, which is currently $33,912. Additionally, 42nd Street is not considered a prime retail location and staff has concerns with the viability of the retail space. The proposed project provides additional parking supply to a high parking demand corridor, particularly Monday to Friday, during traditional business hours. The following are issues that will need to be addressed during negotiations: Issues The Developer did not propose any ground floor retail on West 42nd Street, citing significant parking space loss likely resulting in a non-viable project, as well as concerns with establishing retail across from the Nautilus Middle School. The Developer committed to addressing issues related to the façade of the garage on West 42nd Street, should the ground floor retail requirement be waived. The Evaluation Committee expressed concerns with the proposal, which limits the Developer's contribution to the land value of its parking lot, and which requires the City to pay for the entire cost of construction, including the 40-60 dedicated spaces for Terranova. In addition, while the Developer stated at the Evaluation Committee meeting that it is open to discussions on the structure of the transaction, the Developer's proposed lease or easement structure may implicate ad valorem taxation issues for either the City or the Developer, or both, and the proposal regarding the dedicated parking spaces to the Developer at no cost likely implicate private use and other restrictions under the City's existing Parking Revenue Bonds. The Administration will clarify these issues at the outset of any negotiations to determine if further negotiations are in the parties'interests. CONCLUSION The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida hereby accept the recommendation of the City Manager pertaining to ranking of proposals with respect to Phase II of the RFP Process selection process pursuant to Request for Proposal (RFP) No. 2016-009-ME to seek Proposals From Parties Interested in Partnering with the City of Miami Beach, Florida, to Develop Public Parking Garages within The City; and authorizing the Administration to enter into negotiations with the two (2) proposers; Washington Properties, LLC and RFP 930 Washington, LLC and Terranova Corporation;with any final negotiated agreement(s)subject to prior approval of the Mayor and City Commission. LM/MT/S F/MS/AD KEY INTENDED OUTCOMES SUPPORTED Page 519 of 692 Ensure Comprehensive Mobility Addressing All Modes Throughout The City FINANCIAL INFORMATION The cost of the related services, determined upon successful negotiations, are subject to funds availability approved through the City's budgeting process. This project will not utilize grant funding. Legislative Tracking Parking /Tourism, Culture and Economic Development/ Procurement ATTACHMENTS: Description ❑ Attachment A-- Evaluation Committee Scoring and Ranking ❑ Resolution Page 520 of 692 Y N T CO CC W I- < N- 0 ch W J Q of a 0 N C C N 07 OS 0) N- co co C 7 ca 0) C Y N C m co ` u) ca = rn C Y T N C a7 N C N- N- ON) 0 0 N C N Y N T C co a o co co c v N- T) co 0 CL 2 = M V rn W a co z CO as n. w O fn J W - F- J = � O W tiaWa o a 9CLIZZ Q 01- Y 0 of 0 uJ >. R' `o dJ aatnva 0 0 u- re ce w oo C C n. W S C t r I— I— m cn co