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2010-27298 ResoRESOLUTION NO.~' 2010-27298 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE REALLOCATION OF UNEXPENDED CAPITAL RENEWAL AND REPLACEMENT FUNDS APPROPRIATED FOR SPECIFIC PROJECTS AT THE 777 BUILDING, IN FISCAL YEAR 2005-06, ACCOUNT NO. 125-6350-069358, IN THE AMOUNT OF $5,205, AND FISCAL YEAR 2008-2009, ACCOUNT NO. 125-6342- 000350, IN THE AMOUNT OF $144,681, FOR A TOTAL REALLOCATED AMOUNT OF $149,886; THE ALLOCATION OF FUNDS IN THE AMOUNT OF $23,488, FROM CAPITAL RENEWAL AND REPLACEMENT CONTINGENCY, ACCOUNT NO. 125-6396-000356; THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $224,000, FROM GULF BREEZE BOND FUND - OTHER, ACCOUNT NO. 351-2194-069358; THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $54,000, FROM REALLOCATED FUNDS - OTHER CAPITAL PROJECTS, ACCOUNT NO. 351-2194-069358; AND THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $29,256, FROM FIRE DEPARTMENT GENERAL FUND -RENOVATIONS, ACCOUNT NO. 011- 1210-000676; FOR A COMBINED TOTAL OF $480,630; TO FUND THE RENOVATION OF THE SECOND FLOOR AND A PORTION OF THE FOURTH FLOOR OF THE 777 BUILDING. WHEREAS, the Fire Department's Administration and Prevention offices .occupy approximately 8,300 square feet of leased space at 1680 Meridian Avenue; and WHEREAS, the Fire Department's Administration and Prevention offices will be relocated to the City-owned 777 Building, located at 1701 Meridian Avenue; and WHEREAS, before the Fire Department's Administration and Prevention offices can be accommodated in the second floor and a portion of the fourth floor of the 777 Building, modifications and improvements will be required, via the initiation of a new project; and WHEREAS, projected renovation costs, excluding $4,000 in moving expenses, are projected at $480,630; and WHEREAS, in order to fund the 777 Building renovations, staff recommends that funds be transferred from the unexpended balances of two previously approved Capital Renewal and Replacement projects at the 777 Building, totaling $149,886; and WHEREAS, staff further recommends that funding, in the amount of $23,488, be allocated from Capital Renewal and Replacement Contingency; and WHEREAS, staff further recommends that funding, in the amount of $224,000 be allocated from Gulf Breeze Bond Fund -Other; and WHEREAS, staff further recommends that previously appropriated funds, in the amount of $54,000, be allocated from Fund 351 Reallocated Funds - Other Capital Projects; and WHEREAS, staff further recommends that funding, in the amount of $29,256, be allocated from Fire Dept. General Fund -Renovations. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission adopt a resolution, authorizing the reallocation of unexpended Capital Renewal and' Replacement funds appropriated for specific projects at the 777 Building in Fiscal Year 2005-06, Account No. 125- 6350-069358, in the amount of $5,205, and Fiscal Year 2008-2009, Account No. 125-6342- 000350, in the amount of $144,681, for a total reallocated amount of $149,886; the allocation of funds in the amount of $23,488, from Capital Renewal and Replacement'. Contingency, Account No. 125-6396-000356; the allocation of funds, in the amount of $224,000, from Gulf Breeze Bond Fund -Other, Account No. 369-2284-069358; the allocation of previously appropriated funds, in the amount of $54,000, from Reallocated Funds -Other Capital, Projects, Account No. 351-2194-069358; and the allocation of funds, in the amount of $29,256; from Fire Department General Fund -Renovation funds, Account No. 011-1210-000676; fo'r a combined total of $480,630; to fund the renovation of the second floor and a portion of the! fourth floor of the 777 Building. PASSED AND ADOPTED THIS j~ DAY OF ~~ ~ • 20'10. I ATTEST: t~ C~ i Robert Parcher, City Clerk Matti Herrera Bower, Mayor ;OVED AS TO LANGUAGE ts< i ~ ~ ~~ City me~~ at T:\AGENDA\2010\January 13\Consent\777 Bldg. 2nd & 4th Floor Renov. - RESO 2010-01-13.docx COMMISSION ITEM SUMMARY Condensed Title: A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, authorizing the reallocation of unexpended Capital Renewal and Replacement funds appropriated for specific projects at the 777 Building, in Fiscal Year 2005-06, Account No. 125-6350-069358, in the amount of $5,205, and Fiscal Year 2008-2009, Account No. 125-6342-000350, in the amount of $144,681, for a total reallocated amount of $149,886; the allocation of funds in the amount of $23,488, from Capital Renewal and Replacement Contingency, Account No.125-6396-000356; the allocation of funds, in the amount of $224,000, from Gulf Breeze Bond Fund -Other, Account No. 369-2284- 069358; the allocation of funds, in the amount of $54,000, from Reallocated Funds -Other Capital Projects, Account No. 351-2194-069358; and the allocation of funds, in the amount of $29,256, from Fire Department General Fund -Renovation funds, Account No.011-1210-000676; for a combined total of $480,630; to fund the renovation of the second floor and a portion of the fourth floor of the 777 Building. Ke Intended Outcome Su orted: To Ensure Well-Desi ned Quali Ca ital Projects. Issue: Shall the Commission Ado t the Resolution? Item Summa /Recommendation: The Fire Department's Administration and Prevention offices occupy approximately 8,300 square feet of space at 1680 Meridian Avenue. The existing lease at this location, scheduled to terminate on January 31, 2010, was approved by the City Commission in order to vacate the historic fire station building which housed Fire Administration and Fire Prevention. At that time, there was no vacant City-owned property available and comparable market rent was approved to be paid in order to house the Fire Department's Administration and Prevention offices in a privately owned building. AShort-Term Lease Agreement between the City and the landlord was approved at the December 9, 2009 meeting of the City Commission. Until the permanent fire station building is completely renovated, the Fire Department's Administration and Prevention offices will be relocated to the City-owned 777 Building. Before the offices can be accommodated in the second floor and a portion of the fourth floor of the 777 Building, modifications and improvements will be required. The minimum modifications necessaryto accommodate Fire Department staff at the 777 Building include limited demolition to install air conditioning ductwork, as well the demolition of the air handler room in the second floor. It also includes, remodeling of restrooms in the second floor to comply with ADA requirements, painting, carpeting, IT communications rewiring, and electronic card readers. Projected renovation costs, excluding $4,000 in moving expenses, are projected at $480,630. In order to fund the 777 Building renovations, staff recommends that: 1) funds be transferred from the unexpended balances of two previously approved Capital Renewal and Replacement projects at the 777 Building, totaling $149,886; 2) funding in the amount of $23,488 be allocated from Capital Renewal and Replacement Contingency; funding, in the amount of $224,000, be allocated from Gulf Breeze Bond Fund -Other; 4) funding in the amount of $54,000 be allocated from Fund 351 Reallocated Funds - Other Capital Projects; and 5) funding in the amount of $29,256 be allocated from Fire Dept. General Fund -Renovations. THE ADMINISTRATION RECOMMENDS ADOPTING THE RESOLUTION. Advisory Board Recommendation: Financial Information: Source of Amount Account Funds: 1 $5,205 125-6350-069358 2 $144,681 125-6342-000350 3 $23,488 125-6396-000356 4 $224,000 369-2284-069358 5 $54,000 351-2194-069358 6 $29,256 011-1210-000676 OBPI Total $480,630 Financial Impact Summary: City Clerk's Office Legislative Tracking: _ _ ~ Viviana Alemany, Ext. 2968 Sign-Offs: De artmen i to Assistant Ci ana er Cit M r COC JGG JMG I :W(itNUA\2010\January 13\777 Bldg. 2nd & 4th Floor Renov. - SUMM 2010-01-13.docx m MIAMIBEACH AGENDA ITEM C 7E DATE ~-~ m MIAMIBEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachN.gov COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and Members of the City Commission FROM: Jorge M. Gonzalez, City Manager DATE: January 13, 2010 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE REALLOCATION OF UNEXPENDED CAPITAL RENEWAL AND REPLACEMENT FUNDS APPROPRIATED FOR SPECIFIC PROJECTS AT THE 777 BUILDING, IN FISCAL YEAR 2005-06, ACCOUNT NO. 125-6350-069358, IN THE AMOUNT OF $5,205, AND FISCAL YEAR 2008-2009, ACCOUNT N0.125-6342-000350, IN THE AMOUNT OF $144,681, FOR A TOTAL REALLOCATED AMOUNT OF $149,886; THE ALLOCATION OF FUNDS IN THE AMOUNT OF $23,488, FROM CAPITAL RENEWAL AND REPLACEMENT CONTINGENCY, ACCOUNT NO. 125-6396-000356; THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $224,000, FROM GULF BREEZE BOND FUND -OTHER, ACCOUNT NO. 369-2284-069358; THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $54,000, FROM REALLOCATED FUNDS -OTHER CAPITAL PROJECTS, ACCOUNT NO. 351-2194-069358; AND THE ALLOCATION OF FUNDS, IN THE AMOUNT OF $29,256, FROM FIRE DEPARTMENT GENERAL FUND - RENOVATIONS, ACCOUNT NO. 011-1210-000676; FOR A COMBINED TOTAL OF $480,630; TO FUND THE RENOVATION OF THE SECOND FLOOR AND A PORTION OF THE FOURTH FLOOR OF THE 777 BUILDING. ADMINISTRATION RECOMMENDATION Adopt the Resolution. BACKGROUND The Fire Department's Administration and Prevention offices occupy approximately 8,300 square feet of space at 1680 Meridian Avenue. The existing lease at this location, scheduled to terminate on January 31, 2010, was approved by the City Commission in 2006 in order to vacate the historic fire station building which housed Fire Administration and Fire Prevention. At that time, there was no vacant City-owned property available and comparable market rent was approved to be paid in order to house the Fire Department's Administration and Prevention offices in a privately owned building. AShort-Term Lease Agreement between the City and the landlord (Meridian Center LLC) was approved at the December 9, 2009, meeting of the City Commission and is effective February 1, 2010, through May 31, 2010. If approved and if necessary, the proposed terms may be extended monthly for an additional four months, through September 30, 2010. Until the permanent fire station building has been completely renovated, which is not projected to be completed for at least another two years, the Fire Department's Administration and Prevention offices will be relocated to the City-owned 777 Building, located at 1701 Meridian Avenue. Before the Fire Department's Administration and Prevention offices can be accommodated in the second Commission Memorandum - 777 Building Renovations January 13, 2010 Page 2 of 3 floor and a portion of the fourth floor of the 777 Building, modifications and improvements will be required, via the initiation of a new project. The proposed renovations to accommodate the Fire Department's needs address permanent basic improvements that would have been necessary to accommodate any subsequent tenants. 777 BUILDING RENOVATIONS The minimum modifications necessary to accommodate Fire Department staff at the 777 include demolition of ceilings in the second and a portion of the fourth floor, to install air conditioning ductwork, as well the demolition of the air handler room in the second floor. It also includes, remodeling of restrooms in the second floor to comply with ADA requirements, painting, carpeting, IT communications rewiring, and electronic card readers. Floor plan modifications and lobby renovations are not included. Projected renovation costs, excluding $4,000 in moving expenses, are as follows: Item 2nd Floor 4th Floor Total .Engr__&_Permit_Fees $12 000 ___ .$5,000 $17 000 _Demolition ..............................................._$21,71.0..... .............-._.-._.~..-.~.-._. -_$12,000 $33 710 ...._Ceilin_9-..........~......-__......_.._.__ ............................_...._........._.._.... _.....~......................................................_$20.000...... ............._.._._.__.._........_..._...__$1-2,000._. .................-___._....................._$32,.000..... . _Carpet....._ ..............__..........~..._.__.-...._.....___------- ----..............................._................._$26,000..... .............._....._..............................__~20,000_... ...........- ----........................__$46,.000..... Paint ........................._...................-$6,000 $6,000 $12 000 Electrical _...... _._.-._-....~ ................-...._..................._$6.,000..... ...-...........................~..............................-$3,000... .._.._-._............_..__.___.._..._$9,000..-. HVAC ............._........__..._......._.._..._____-------- -.....-_..........................._............._$_135,098..... ..._............-..__................_.._......~....$41,462.. .....~...__.__....__........-.... $176,560... Restrooms _ _ .$45,000 Excluded _ $45 000 .Card .Readers _ _ __ $1.0,000 $7 500 $17 500 IT Communications $9,707 $2,049 $11,756 Subtotal: $291,515 $109,011 $400,526 _ ..............................................................Contin~ency~.... .........._....._.._......_.........-..-..............._$29.~.1..51....... ....................................................$.1..0., 901...... ........._.__._..............................._~40, 052..... Pro'ect Mn t. Fees: $29,151 $10,901 $40,052 Total: $349 817 $130,813 $480,630 PROJECT FUNDING In order to fund the 777 Building renovations outlined above, staff recommends that: 1) funds totaling $149,886 be transferred from the unexpended balances of two previously approved Capital Renewal and Replacement projects at the 777 Building; 2) funding in the amount of $23,488 be allocated from Capital Renewal and Replacement Contingency; 3) funding in the amount of $224,000 be allocated from Gulf Breeze Bond Fund -Other; 4) funding in the amount of $54,000 be allocated from Fund 351 Reallocated Funds - Other Capital Projects; and 5) funding in the amount of $29,256 be allocated from Fire Dept. General Fund -Renovations. The following table details the proposed funding: Commission Memorandum - 777 Building Renovations January 13, 2010 Page 3 of 3 Project Budget Code CR&R Balance Amount to Reallocate 777 Bldg. -Water & Sewer Pipe & Water Pump (FY 2005 - 2006) -Project Completed 777 Bldg. -Replace Fire Sprinklers (FY 2008 -09) 125-6350-069358 125-6342-000350 $5,205 $144,681 $5,205 $144,681 Total: $149,886 $149,886 Funding from CR&R Contingency (125-6396-000356): $23,488 Funding from Gulf Breeze Bond Fund -Other (369-2284-069358): $224,000 Funding from Reallocated Funds -Other Capital Projects (351-2194-069358): $54,000 Funding from Fire Dept. General Fund -Renovations (011-1210-000676): $29,256 Total: $480,630 The "Water & Sewer Pipe & Water Pump" project, previously approved in the Fiscal Year 2005-06 Capital Renewal and Replacement Budget, has been completed and the $5,205 unexpended balance reflected in the above table can be reallocated to the new 777 Building renovation project. The "Fire Sprinkler Replacement" project had been included in the Fiscal Year 2008-09 Capital Renewal and Replacement Budget as a result of a recommendation in a report by VFA, a consultant currently retained to evaluate various City building assets. The 777 Building does not have a fire sprinkler system. Current fire protection consists of a hose and standpipe system. These systems require an annual certification by a licensed contractor who must visually inspect the entire system prior to issuing the code required certification. On June 4, 2009, American Fire Sprinkler Systems Inc. inspected all standpipe, hoses and system components at the 777 Building and certified it to be operational. The Fire Protection Division of the City's Fire Department clarified that since the building is not ahigh-rise structure, it falls under Chapter 39, Existing Business Occupancy, of the Code and consequently is not required to be protected throughout by an automatic fire sprinkler system. Based on the above, the $144,681 unexpended balance reflected in the above table can be reallocated to the new 777 Building renovation project. The $54,000 needed to remodel the second floor restrooms will be allocated from previously appropriated funds earmarked for bringing Citywide facilities into ADA compliance. The amount represents the estimated remodeling cost plus corresponding contingency and project management fees. The installation of electronic card readers and IT communication upgrades do not qualify as Capital Renewal and Replacement expenses; consequently, Fire Department General Fund - Renovation funds will be utilized to cover the projected $29,256 expense. CONCLUSION It is recommended that a Resolution of the Mayor and City Commission of the City of Miami Beach, Florida be adopted, authorizing the reallocation of unexpended Capital Renewal and Replacement funds appropriated for specific projects at the 777 Building in Fiscal Year 2005-06, Account No. 125-6350-069358, in the amount of $5,205, and Fiscal Year 2008-2009, Account No. 125-6342- 000350, in the amount of $144,681, for a total reallocated amount of $149,886; the allocation of funds, in the amount of $23,488, from Capital Renewal and Replacement Contingency, Account No. 125-6396-000356; the allocation of funds, in the amount of $224,000, from Gulf Breeze Bond Fund -Other, Account No. 369-2284-069358; the allocation of funds, in the amount of $54,000, from Reallocated Funds -Other Capital Projects, Account No. 351-2194-069358; and the allocation of funds, in the amount of $29,256, from Fire Department General Fund -Renovation funds, Account No. 011-1210-000676; for a combined total of $480,630; to fund the renovation of the second floor and a portion of the fourth floor of the 777 Building. T:\AGENDA\2010Uanuary 13\777 Bldg. 2nd & 4th Floor Renov. -MEMO 2010-01-13.docx