2018-30660 Resolution RESOLUTION NO. 2018-30660
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE
RECOMMENDATION OF THE FINANCE AND CITYWIDE
PROJECTS COMMITTEE AT ITS NOVEMBER 30, 2018
MEETING, TO NEGOTIATE AND ENTER INTO A
CHANGE ORDER(CHANGE ORDER NO. 2) WITH SHORELINE
FOUNDATION, INC., WITH THE CITY'S COST FOR SAME NOT
TO EXCEED THE AMOUNT OF $529,570, FOR THE
RELOCATION OF SEGMENTS OF THE INDIAN CREEK
SEAWALL, WHICH RELOCATION WILL AID THE CITY IN
RESOLVING U.S. ARMY CORPS OF ENGINEERS (USAGE),
FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION
(DEP), SOUTH FLORIDA WATER MANAGEMENT (SFWMD),
AND MIAMI-DADE COUNTY DEPARTMENT OF
ENVIRONMENTAL RESOURCE MANAGEMENT (DERM)
REGULATORY CONCERNS.
WHEREAS, the Indian Creek Seawall Project (Project) started in 2016 in an effort to
protect the existing corridor against frequent flooding and sea level rise;
WHEREAS, the contract was awarded to Shoreline Foundation, Inc. (Shoreline), and the
Project scope extended from 25th Street to 41st Street along Indian Creek Drive and a portion
of Collins Avenue; and
WHEREAS, during the first year of the Project, construction of the seawall only took
place within City owned street ends or previously deeded properties; and
WHEREAS, thereafter, as the Project progressed, the City was able to extend its
construction into additional properties via quit claim deeds or easements; and
WHEREAS, Change Order No. 1 was issued to extend the seawall to these additional
areas, so there would be a continuous seawall to provide uniform protection from extreme tides
and storm surge with the co-benefit that the upland area could be transformed into a greenway;
and
WHEREAS, on December 18, 2017, problems related to the Project construction were
identified and the City met in the field with the United States Army Corps of Engineers (USACE),
Florida Department of Environmental Protection (FDEP), South Florida Water Management
District (SFWMD), the Miami-Dade County Department of Environmental Resources
Management (DERM), [jointly the "Regulatory Agencies'] and regarding the construction of the
Project; and
WHEREAS, the Regulatory Agencies identified deficiencies that include lack of Federal
authorization for construction north of 27th Street; and construction of the seawall westerly of
where permitted, within the State's submerged lands in the vicinity of 29th Street, 30th Street to
31st Street, and 37th Street to 38th Street; and
WHEREAS, the City immediately issued a stop work order to Shoreline and assigned a
new City Project Manager to oversee the Project; and
WHEREAS, since December 2017, there have been numerous meetings with the
Regulatory Agencies, both in the office and in the field, where the issues related to seawall
construction have been reviewed in great detail and the areas of concern distilled to the three
main areas: (1) the vicinity of 29th Street; (2) 30th Street to 31st Street; and (3) 37th Street to
38th Street; and
WHEREAS, the underlying permits for the Project shall require modification to allow for
removal of the problematic seawalls that encroach more than 18 inches onto submerged lands,
and re-construction of the seawall in appropriate locations, without said encroachment; and
WHEREAS, the resulting consensus of the Regulatory Agencies is to require the seawall
in the three above referenced locations to be removed and relocated, consisting of a total of 650
feet of seawall; and
WHEREAS, in addition to the above plan, the Florida Division of State Lands will require
mitigation for the encroachment onto the submerged lands; and
WHEREAS, the City and the Regulatory Agencies are working on a mitigation plan,
which may include the City donating similar submerged lands to the State, and other possible
options of habitat restoration, or water quality improvements; and
WHEREAS, the total seawall length along Indian Creek, between 25th Street and 41st
Street, is approximately 4,700 linear feet; and
WHEREAS, Shoreline has constructed approximately 2,600 linear feet of the 4,700
linear feet, and 650 feet of the new seawall is to be removed and reinstalled as identified above;
and
WHEREAS, the total cost of the 2,600 linear feet of seawall is contracted for $3.7
million; and
WHEREAS, the total cost for relocating the 650 linear feet of seawall required by the
Regulatory Agencies will cost approximately $1 million; and
WHEREAS, the City and Shoreline have discussed the construction and cost issues
relating to the Project and the parties are seeking a change order, to cover the cost of removing
and re-constructing the 650 linear feet, which cost would be borne by both parties; and
WHEREAS, the Administration is recommending approval of Change Order No. 2, which
would include the removal and reconstruction/relocation of the 650 linear feet of seawall, in the
three locations identified above, with the City's total maximum cost not to exceed $529,570; and
WHEREAS, at its November 30, 2018 meeting, the Finance and Citywide Projects
Committee accepted the request for a Change Order for the relocation of the segments of the
Indian Creek seawall to resolve the regulatory issues, with the City's cost not to exceed amount
of$529,570.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, the Mayor and City Commission
accepting the recommendation of the Finance and Citywide Projects Committee (FCWPC) from
its November 30, 2018 meeting, to negotiate, and enter into Change Order No. 2 with Shoreline
Foundation, Inc., with the City's cost for same not to exceed amount of $529,570, for the
relocation of segments of the Indian Creek Seawall, which relocation will aid the City in
resolving U.S. Army Corps of Engineers (USACE), Florida Department of Environmental
Protection (DEP), South Florida Water Management, and Miami-Dade County Department Of
Environmental Resource Management regulatory concerns.
PASSED and ADOPTED this 7a- day of December, 2018.
ATTEST:
an e
till Ira'
Raf el E. nado, Cit Clerk
APPROVED AS TO
FORM& LANGUAGE
&F E ELUTION
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City Attorney Date
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Resolutions-R7 T
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: December 12, 2018
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE
PROJECTS COMMITTEE AT ITS NOVEMBER 30, 2018 MEETING, TO NEGOTIATE AND
ENTER INTO A CHANGE ORDER (CHANGE ORDER NO. 2) WITH SHORELINE FOUNDATION,
INC., WITH THE CITY'S COST FOR SAME NOT TO EXCEED THE AMOUNT OF $529,570, FOR
THE RELOCATION OF SEGMENTS OF THE INDIAN CREEK SEAWALL, WHICH RELOCATION
WILL AID THE CITY IN RESOLVING U.S. ARMY CORPS OF ENGINEERS (USAGE), FLORIDA
DEPARTMENT OF ENVIRONMENTAL PROTECTION (DEP), SOUTH FLORIDA WATER
MANAGEMENT (SFWMD), AND MIAMI-DADE COUNTY DEPARTMENT OF ENVIRONMENTAL
RESOURCE MANAGEMENT(DERM) REGULATORY CONCERNS.
RECOMMENDATION
The Adrdnistration recommends approving the Resolution.
ANALYSIS
The Indian Creek Seawall Project(Project)started in 2016 in an effort to protect the existing corridor against frequent flooding
and sea level rise.The contract was awarded to Shoreline Foundation, Inc. (Shoreline), and the Project scope extended from
25th Street to 41st Street along Indian Creek Drive and a portion of Collins Avenue. During the first year of the Project,
construction of the seawall only took place within City owned street ends or previously deeded properties.
Thereafter,as the Project progressed,the City was able to extend its construction into additional properties via quit claim deeds
or easements. Change Order No. 1 was issued to extend seawall to these additional areas, so there would be a continuous
seawall to provide uniform protection from extreme tides and storm surge with the co-benefit that the upland area could be
transformed into a greenway.
On December 18,2017,problems related to the Project construction were identified and the City met in the field with the United
States Army Corps of Engineers (USAGE), Florida Department of Environmental Protection (FDEP), South Florida Water
Management District (SFWMD), the Mian-Dade County Department of Environmental Resources Management (DERM),
[jointly the"Regulatory Agencies")regarding the construction of the Project.
The Regulatory Agencies identified deficiencies that include lack of Federal authorization for construction north of 27th Street;
construction of the seawall westerly of where permitted, within the State's submerged lands in the vicinity of 29th Street, 30th
Street to 31st Street,and 37th Street to 38th Street.The City immediately issued a stop work order to the contractor,Shoreline,
and assigned a new City Project Manager to oversee the construction.
Since December 2017, there have been numerous meetings with the Regulatory Agencies, both in the office and in the field,
where the issues related to seawall construction have been reviewed in great detail and the areas of concern distilled to the
three nein areas:(1)the vicinity of 29th Street,(2)30th Street to 31st Street,and(3)37th Street to 38th Street.
The underlying permits for the Project shall require modification to allow for removal of the problematic seawalls that encroach
more than 18 inches onto submerged lands, and re-construction of the seawall in appropriate locations, without said
encroachment.Resulting consensus of the Regulatory Agencies is to require the seawall in the three above referenced locations
to be removed and relocated,consisting of a total of 650 feet of seawall.
In addition to the above plan,the Florida Division of State Lands will require rrtigation for the encroachment onto the submerged
lands.The City and the Regulatory Agencies are working on a rritigation plan, which may include the City donating similar
submerged lands to the State,and other possible options of habitat restoration,or water quality improvements.
The total seawall length along Indian Creek, between 25th Street and 41st Street, is approximately 4,700 linear feet.Shoreline
has constructed approximately 2,600 linear feet of the 4,700 linear feet, and 650 feet of the new seawall is to be removed and
reinstalled as identified above.The total cost of the 2,600 linear feet of seawall is contracted for$3.7 Trillion.
The total cost for relocating the 650 linear feet of seawall required by the Regulatory Agencies will cost approximately$1 million.
The City and Shoreline have discussed the construction and cost issues relating to the Project and the parties are seeking a
change order to cover the cost of removing and re-constructing the 650 linear feet,which cost would be borne by both parties.
The Administration is recommending approval of Change Order No. 2, which would include the removal and
reconstruction/relocation of the 650 linear feet of seawall. in the three locations identified above.with the City's total maximum
cost not to exceed$529,570.
At its November 30, 2018 meeting, the Finance and Citywide Projects Committee accepted the request for a Change Order for
the relocation of the segments of the Indian Creek seawall to resolve the regulatory issues,with the City's cost for same not to
exceed the amount of$529,570
CONCLUSION
The Administration recommends approving the Resolution.
Amount 1 $529,570 Account 1 389-0810-069357-29-410-564-00-00-00-
21220
7 aaislative Tracking
Public Works
ATTACHMENTSi
Description
d Final Reso
o Shoreline Settlement Proposal
Carpenter, Eric
From: Tony Royo <tony@shorelinefoundation.com>
Sent: Monday, October 15, 2018 9:29 AM
To: Carpenter, Eric
Cc: Coley, Roy;Soto, Luis
Subject RE:Indian Creek
Follow Up Flag: Follow up
Flag Status: Completed
Eric, we will agree to following;See below
Respectfully,
James"Tony"Royo
President
SF,=
SHORELINE FOUNDATION,INC.
2781 S.W. 56 Avenue
Pembroke Park,Florida 33023-4166
Ph: (954) 985-0460
Fax: (954) 985-0462
www.shorelincfoundation.corn
From: Carpenter, Eric [mailto:EricCaroenter(amiamibeachfl.Qov]
Sent:Thursday, October 11, 2018 7:08 PM
To: Tony Royo'
Cc: Coley, Roy; Soto, Luis
Subject: RE: Indian Creek
Tony,
I am conceptually ok with this proposal if we agree to 5%retainage Agreed. Just to be transparent, I have only identified
$2.5 Million for additional seawalls on Indian Creek at this time. I do not think that takes us all the way to 41' Street so I
cannot commit to that end point but I am willing to continue north from 32"°Street toward 41st Street as long as
funding is available. I am optimistic that additional money will become available but it is not there today. My
agreement is contingent upon the agreed upon change order amount and terms we have discussed that cap the City's
expense for relocation of 650 feet of seawall at$477,505. This amount was for 560 LF please add$76,741 to increase to
650 LE. New total of change order would be$554,245 As we have discussed all of this is subject to Commission
approval. I hope that we can agree on this to be able to move forward with the permitting and resolution of this matter.
Also we will need to he paid the follow within 30 days;
• $138,783.54 for invoice 2914-RI dated 8/15/2018
• $403,794.18 of completed work as agreed
1
• $142,087.00 5% retainage
Total paid to shoreline now = $684,664.72
Respectfully,
Eric 1'.Carpenter,P.E.
Assistant City Manager
MIAMIBEACH
1700 Convention Center Drive,Miami Beach,FL 33139
Tel:305-673-7080 / www.miamibeachtRov
We are commMed to providing excellent public service and safety to all who live,work and play in our vibrant,tropical,histone community
From:Tony Royo [mailto:tonv(tshorelinefoundation.com7
Sent:Thursday, October 11, 2018 5:56 PM
To: Carpenter, Eric
Subject: FW: Indian Creek
Eric;
We have had numerous conversations with Luis regarding moving forward with payment for the Indian
Creek,as it relates to work completed. It appears that we are close to mutual agreement. Therefore,
please consider the following;
1. While we don't fully agree to the quantities depicted within the attached DRAFT payment
spread sheet generated by Luis,we will agree to accept payment in the amount of
$403,794.19 if the following are also agreed to by the COMB and come to fruition;
2. The COMB pays 5FI's invoice$139,783.54 for the piles and panels fabricated pursuant to the
directive given by Bruce.
3. The COMB releases all but 2.5%of retainage owed to SFI.
4. The COMB issues the Change Order to move the previously installed seawalls.
5. The COMB issues 5FI the PO for the remaining seawall work along Indian Creek to complete
the seawall up to 41"St.
Respectfully,
James "Tony"Royo
President
misaia
SHORELINE FOUNDATION, INC.
2781 S.W. 56 Avenue
Pembroke Park,Florida 33023-4166
Ph: (954) 985-0460
Fax: (954) 985-0462
www.chottlinefoundation.com
2
Carpenter, Eric
From: Tony Royo <tony@shorelinefoundationcom>
Sent: Friday, September 28, 2018 8:02 AM
To: Carpenter, Eric
Subject: FW:settlement Proposal
Attachments: SFI Indian Creek Seawall Realignment Proposal 9 11_2018.pdf '..
Eric,when can we begin the process to get our agreement to move forward, I think it would be advantageous to
everything ready so when the permits are ready we immediately go to work,thoughts?
Respectfully,
James "Tony"Royo
President
aiNat
SHORELINE FOUNDATION, INC.
2781 S.W. 56 Avenue
Pembroke Park,Florida 33023-4166
Ph: (954) 985-0460
Fax; (954) 985-0462
www.shotelinefoundation.com
From:Tony Royo [mailto:tonv(Ishorelinefoundation.coml
Sent: Sunday, September 23, 2018 1:21 PM
To: Carpenter, Eric <EricCamenteremiamibeachfl.gov> ( ricCar nteralmiamibeachfI.gov)
Cc: 'John McGee'; Charles Diveto; 'Mark Osburn'
Subject: settlement Proposal
Settlement Proposal
Eric, after consideration of the City's proposal, SFI does not believe we have any actual
responsibility for the cost to relocate the seawall, but in spirit of cooperation and in an effort
to put this issue behind all of us we would be willing to accept the following:
1) 1) As you know, there are several City jobs that have been completed and or invoices
the have not been paid. The City will pay SFI the following within 30 days:
• $27,192.28 for CPM-15-532 Maurice Gibb Park Seawall P.O. # 20171018
• $138,783.54 for invoice 2914-R1 dated 8/15/2018
• $ 333,377.24 pay request November 2017
• $ 101,588.40 pay request December 2017
• $284,174.00 Retainage earned through December 2017
Total $885,115.46
We have broken out the seawall work into 3 areas (see attached for a detailed breakdown of
costs and values)
2) SFI will relocate 100 L.F. of seawall in area 2 at its expense
3) SFI will locate 180L.F. of seawall in area 3 at its expense
4) Shoreline will waive all interest and attorney fees
Total value of SFI work and waiver is approximately $591,377.00 [$ 348,610.00 relocation
work plus add the value of the waiver of interest $110,000.00 and attorney's
fees/Administrative cost $ 132,767.00 to provide the biggest value possible.
5) The City of Miami Beach will issue a Change Order to SFI in the amount of$689,505.00
to relocate appx 220 L.F. of existing seawall in area 1 and 60 L.F. of existing seawall in
area 2.
Note: The city of Miami beach cost per L.F. is higher than SFI is due the fact area 1 has a cap
poured, therefore more demo is involved, and the material cannot be reused, along with the
cost of mobilization.
6) The City would likewise waive any attorney's fees or potential claims against SFI.
7) The City of Miami Beach will issue a notice to proceed and Purchase order to finish the
work on the balance of Shoreline's existing contract within 30 days and SFI will proceed
with any work that has all required permits and will complete the balance of the work as
soon as all of the permits for that work are completed.
If you agree we can proceed to prepare the necessary papers and approvals
Respectfully,
James"Tony"Royo
President
gamst
SHORELINE FOUNDATION,INC.
2781 S.W. 56 Avenue
Pembroke Park, Florida 33023-4166
Ph:(954)985-0460
Fax: (954)985-0462
wwwshorelinefoundation.com
2
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Seawall
h: c. 9lknal.2:,•4,°Lt { .: 1✓ :':.: 'eawa1114'heightBW'•los 210 IF $1,15700 $ 242,970.000
Allowance for Trench Safety EA $ 25.00 $ 25.00
_':
Dram' '9±rt_ .i...:- -14: .. _4 ' rr... `...i : : , �.rfai
i 'tr.:;. . ::'S`.17.:.'v :,.s?..; � . .:.5" dal:,./fir ',w''rt1t5
seawall UV height SW'plus 10 fl $1,157.00 $ 115700.00
_ Allowance for Trench Safet 1 0 $ 2500 $ 25.00
E. a. ".arf.. ::EFEf�rp.». 'i:^ip' : i ::'.;-:,ae�1:17'.?G..i
1111.1 Sectional Barges 1 Months $ 26.500.0 -
_ MOT 129th to 38th Street) 1 Months $ 4,500.0
- Demo Enisting Concrete Cap o IF $ 100.00
Remove and Reinstall 14"King Pile 11 Each $ 2,280.0
_ Remove and Reinstall 144 Batter Pile 11 Each $ 2,280.00
- Remove and Reinstall Seawall Panels 10 Each $ 1,520.00 -
_ Remove and Dls.ose 14"Batter Elan $ 1,190.00 -
- Su.ply and Install 14"Batter Pile 2 Each $ 1,810.0
- Vibration Monitoring 5 Day $ 750.00 $ 0750.0
- Pile Logs 5 Day $ 750.0 $ 3,750.00
MEM Concrete Testing 1 EA $ 150.00 $ 150.00
- IIMIIIIIIIIIIIIIIIIIIIIIIM
rilliraTeS
''' v l ____ 1!R' ^' 18Oi. v_c' 1�l__.0 >.i laeX�0.
Seawall l4'height 500 plus 180 LF $1,157.00 $ 208,260.0
Allowance for Trench Safet a0 $ 25.00J $ 25.0
tsc
r an .. L
— Sectional Barges 1 Months $ 2050.0 -
- MOT(29th to 38th Street) 1 Months $ 4,50.00
- Remove and Reinstall 14(King Pile 19 Each $ 2,280.00 -
- Remove and Reinstall 14"Batter Pile 19 Each $ 152000
Remove and Reinstall Seawall Panels 18 Each $ 15200 -
Vibration Monitoring 11 Day $ 750.00 $ 8,250.00
_ Pile Logs it Day $ 750.00 $ 8,25000
Concrete Testing 3 EA $ 150.00 $ 450.00
IS 111311111111=1.1
"lityli :atlial ? ,a.,i.':14.LUCIF 5. 41,4, iiritait . . "t%Viti:Mtaa.L.3i1113
giliaSIWORairifirMillniM
Total Value of Realignment $ 1,038,115.00
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