96-21877 RESO
RESOLUTION NO.
96-21877
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, APPROPRIATING $1,262,835,
ITEMIZED AS FOLLOWS: CONSTRUCTION (CHANGE ORDERS)
$169,409; SALES TAX, $125,000; DEBT SERVICE, $881,441; AND,
OTHER DEVELOPMENT RELATED COSTS, $86,985; INTO WORK
ORDER 2109, BALLET VALET GARAGE, WITH FUNDING TO BE
PROVIDED FROM INTEREST EARNINGS IN THE GULF BREEZE
LOAN POOL (FUND 367).
WHEREAS, the City has continued to move forward with the construction of the Ballet Valet
multi-level parking garage in the Art Deco District; and
WHEREAS, the garage construction is proceeding on schedule, and is estimated to be
completed by March 1, 1996; and
WHEREAS, based upon expenditure projections to complete the garage, current
appropriations are insufficient to cover costs; and
WHEREAS, the appropriations of the funds requested will allow the City to pay the anticipate
costs; and
WHEREAS; such funds are available from interest earnings in the Gulf Breeze Loan Pool.
NOW, THEREFORE, BE IT DUL Y RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, that the Mayor and City Commission hereby
increases the appropriation to Work Order 2109 by $1,262,835, with funding to be provided from
the Gulf Breeze Loan Pool (Fund 367).
PASSED and ADOPTED this 24th day of January, 1996.
Attest:
Ro~+ PaA~
City Clerk
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CITY OF
MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
COMMISSION MEMORANDUM NO. ~t, -q ~
FROM:
Mayor Seymour Gelber and
Members of the City Commission
. "J
Jose GarCia-pedrosa'~- %.....
City Manager
DATE: January 24, 1996
TO:
SUBJECT:
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH FLORIDA, APPROPRIATING $1,262,835, ITEMIZED AS FOLLOWS:
CONSTRUCTION (CHANGE ORDERS) - $169,409; SALES TAX - $125,000; DEBT
SERVICE - $881,441; AND, OTHER - DEVELOPMENT RELATED COSTS - $86,985; INTO
WORK ORDER 2109 - BALLET VALET GARAGE, WITH FUNDING TO BE PROVIDED
FROM INTEREST EARNINGS IN THE GULF BREEZE LOAN POOL (FUND 367)
RECOMMENDA TION
Adopt the attached Resolution.
BACKGROUND
In March, 1994, the City Commission authorized the Administration to finalize negotiations with
Ballet Valet to build a 648 space parking garage at 7th Street and Collins Avenue.
On July 28, 1994, the City Commission appropriated $10,000,000 by via Resolution 94-21264 to
fund the acquisition ofland and construction of Ballet Valet public/private parking garage project in
the 700 block of Collins Avenue. The $10,000,000 consisted ofland acquisition costs of$3.2 million
and construction costs of$6.8 million.
To date, all components of the prefabricated structure are already assembled, and work on the
interior is proceeding on schedule.
AG~~~~~ 'L ~
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DATE.
Ballet Valet
January 24, 1996
Page - 2-
Subsequent to this request, three prior appropriations totaling $545,177 have been approved. They
are as follows: Change Order Number 1 (pedestrian elevator) for $280,471; Change Order Number
3 (fire suppression system) for $193,820; and Change Order Number 9 (drainage wells) for $70,866.
These appropriations were approved on April 5, July 12, and December 6, 1995, respectively.
Change Order Number 2 (Structural Inspector) was never presented for approval. Adding these
change orders totaling $545,177 to the original $10,000,000 appropriation equals $10,545,177. A
comparison of actual expenditures (as of 12/31/95) to budget is shown below:
Category
Construction
Land Acquisition!
Debt Service2
Other - Development
Related Costs
Structural Inspectoy3
Legal! Appraisal Fees
ADA Compliance
Environmental
TOTALS
Original
Budget
$6,800,000
3,200,000
Amended
Budget
$7,345,177
3,200,000
Actual as
of 12/31/95
$4,827,961
3,044,461
566,536
$10000000 $10.545.177
56,055
194,573
1,600
70
$8.691.256
Available
Balance
$2,517,216
155,539
(566,536)
(56,055)
(194,573)
(1,600)
(70)
$1 853.921
As shown above, $10,545,177 has been appropriated and $8,691,256 expended from inception of
the project. The current available balance is $1,853,921. The available balance/savings of$155,539
from Land Acquisition will be used to offset Other - Development Related Costs (i.e. Structural
Inspector, ADA Compliance, Environmental Approval, and a portion ofLegal!Appraisal Fees)
II Ballet Valet Land Acquisition
Selling Price
Air Space
50% Cost Environmental Study
Fees Dues From Seller
Credit - Net Savings in Construction
Title Insurance
50% Documentary Stamps
50% Surtax
Total
$2,842,544
275,000
1,300
(2,185)
(100,000)
11,435
9,353
7.Ol4
$3044461
21 Interest during construction has been capitalized and will be deducted from the project
budget appropriation as amended.
31 The Structural Inspector was engaged in January, 1995. An agenda item on this matter will
be submitted under separate cover at a future Commission meeting. It is anticipated that
total expenses for this component will be $90,000. This was originally shown as Change
Order Number 2 and subsequently voided.
Ballet Valet
January 24, 1996
Page-3-
ANALYSIS AND PROJECTIONS
Having summarized the historical appropriations and expenses from inception, we must now take
these actuals and factor in projections to determine the amount of additional funding that will be
required to complete the project. A breakdown of remaining project costs which will occur during
FY 1996 supporting an additional appropriation, are shown below:
Carry Forward Balance
$ 1.853.921
Projected Expenses
Construction
Sales Tax 4
Debt Service5
Other - Development
Related Costs
Structural Inspector
Total
Projected Over-Expenditure
$ 2,642,905
125,000
314,905
33.945
$3.116.755
$(1 262835)
4/ Estimated amount for State sales tax for future expenditures on materials.
5/ Estimate of Capitalized Interest during construction.
The projected costs which are expected during Fiscal Year 1996 total $3,116,755, whereas
$1,853,921 is shown as the carry forward balance. Based of these projections, it is anticipated that
an over-expenditure of $1,262,835 will occur. It must be noted that although the expenditures,
detailed above, are projected to occur during FY 1996, this appropriation is required for the major
categories for which allocations was never made, as detailed below:
Construction
Change Orders
Sales Tax
Debt Service
Other - Development
Related Costs
Structural Inspector
Legal/Appraisal
Total
$ 169,409
125,000
881,441
$33,945
53.040
86.985
$1.262835
CONCLUSION
Since State Statutes prohibit ovc"-expenditure of budgets, the Administration is requesting an
increased appropriation of $1,262,835 to provide for these costs. Interest earnings from the Gulf
Breeze Loan Pool (Fund 367) have been identified as the source of funds. In order to complete the
project, the Administration recommends that the Mayor and City Commission appropriate the
additional funds required from the Gulf Breeze Loan Fund into Work Order 2109.
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