427-2002 RDA Reso
RESOLUTION NO. 421-2002
A RESOLUTION OF THE CHAIRMAN AND THE MEMBERS OF THE
MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING THE
RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECT
COMMITTEE, AND APPROPRIATING $1,750,000 IN AVAILABLE 1998B
CITY CENTER TAX INCREMENT REVENUES TO FUND THE
ESTIMATED SHORTFALL IN DEVELOPMENT BUDGET FOR THE
EXPANSION AND RENOVATION OF THE COLONY THEATER, AN
ELIGIBLE PROJECT PURSUANT TO THE CITY CENTER mSTORIC
CONVENTION VILLAGE REDEVELOPMENT AND REVITALIZATION
AREA PLAN, DATED FEBRUARY 12, 1993, AND AS AMENDED ON
MAY 29,2002.
WHEREAS, on October 6, 1999, the Mayor and City Commission adopted Resolution No. 99-
23348, authorizing the City to execute a Professional Services Agreement with the State of
Florida, Department of Management Services (DMS) for construction management of the
Colony Theater; and
WHEREAS, on March 6,2000, DMS authorized R.J. Heisenbottle (Architect) to proceed with
programming and conceptual/advanced schematic design phases for the expansion and
renovation of the Colony Theater; and
WHEREAS, on December 15,2000, the Architect presented two options involving a new design
scheme; and
WHEREAS, according to the Architect, the design could not undergo further value engineering
without adversely impacting the scope and purpose ofthe project; and
WHEREAS, the Administration concured with this assessment and recommended proceeding
with the first of the two options (Option "A"), involving the addition of 7,950 square feet to the
Colony Theater, for a total estimated cost of $4,315,000; and
WHEREAS, On May 14, 2001, the Administration went before the City's Finance and Citywide
Project Committee,which voted in favor of appropriating $1,415,000 in available 1998B Tax
Increment Bond Funds for the Colony Theater Project; and
WHEREAS, subsequent to the Committee's recommendation, the Miami Beach Redevelopment
Agency (RDA) appropriated the funding on June 27, 2001; and
WHEREAS, the additional funding was necessary in order to begin bridging an estimated
$2,415,000 shortfall between the original concept budget and the actual preliminary cost
estimate, based on the design drawings and programmatic requirements; and
WHEREAS, the funding appropriation from the RDA was subsequently used to leverage
additional grant funding from the State of Florida, Division of Cultural Affairs, in the amount of
$500,000, and from the National Park Service, Save America's Treasures Program in the amount
of $700,000; and
WHEREAS, since the appropriation of funding by the RDA, the design team, headed by the
Architect, has been working to finalize the construction drawings and project specifications; and
WHEREAS, the plans have had to undergo significant modifications, to address a variety of
design, code-related and programmatic issues, mandated by certain regulatory entities, including
but not limited to, the City's Historic Preservation and Design Review Boards, the Building and
Fire Departments, Accessibility, the State Historic Preservation Officer, the Florida Building
Commission, and Miami-Dade County's Board of Rules and Appeals; and
WHEREAS, the cost of implementing these modifications, many of which were unforeseen,
has driven the overall cost of the Project up significantly; and
WHEREAS, the total projected cost of the Project currently stands at $6,363,778, reflecting a
$2,049,000 increase over the established "Owner's Budget" of $4,315,000, as provided for in
the Management Agreement between the City of Miami Beach and DMS, dated October 6, 1999,
and amended on June 27,2001; and
WHEREAS,. approximately $1,644,000 of the aforementioned increase is directly attributable
to addressing regulatory mandates as described above; and
WHEREAS, the increase also reflects approximately $334,000 in requested enhancements that
are necessary to make the project whole, including rigging, lighting, new seating, acoustical
fabric panels and railings in the auditorium; and
WHEREAS, the difference between the current available funding for the Project and the total
projected increase in costs is equal to $1,750,000, and :
WHEREAS, on June 28, 2002, the Administration went before the City's Finance and Citywide
Project Committee to request said amount for the Project; and
WHEREAS, the Committee voted in favor of appropriating $1,750,000 towards the Project.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRMAN AND
MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, that the Chairman
and Members of the Miami Beach Redevelopment Agency herein adopt the recommendation of
the City's Finance and Citywide Projects Committee, and appropriate $1,750,000 from available
City Center 1998B Tax Increment Revenue Bond proceeds to fund the estimated shortfall in the
development budget for the expansion and renovation of the Colony Theater, an eligible project
pursuant to the City Center Historic Convention Village Redevelopment and Revitalization Area
Plan, dated February 12,1993, and as amended on May 29,2002.
PASSED and ADOPTED this 10th day of July, 2002.
ATTEST:
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F:\CMGR\AGENDA\2002\RDA\Colonyres.doe
(Resolution NO. 427-2002)
COLONY THEATER STATUS REPORT
June 1, 2002 .
BACKGROUND/PROJECT mSTORY
In early 1999, Miami-Dade County Cultural Affairs Dept engaged the Zeidler Roberts
Partnership, Inc., to develop conceptual plans and cost estimates for the expansion and
renovation of Colony Theater. The Plan failed to address many important elements and
contained a preliminary cost estimate of $1.5 Million to undertake the proj ect.
In September 1999, the City is awarded $720,000 Miami-Dade County Cultural Affairs
Grant.
On July 21, 1999, the City Commission authorizes Administration to apply to S.O.F.,
Div. Of Cultural Affairs for $500,000 Cultural Facilities Grant. City pledges $1,000,000
in (2-for-1) matching funds, from the following sources:
Miami-Dade County Cultural Affairs Grant $720,000
City ADA Imp funds $ 60,000
Loan from Cultural Affairs Council $220,000
On October 6, 1999, the Mayor and City Commission adopted Resolution No. 99-23348,
authorizing the City to execute a Professional Services Agreement with the State of
Florida, Department of Management Services (DMS) for construction management of the
Colony Theater.
Note: DMS Program provides construction-management-at-risk and provides
municipalities with project management services from the onset of a project, throughout
the design phase, bidding process (resulting on a guaranteed maximum price), and
culminating with construction oversight and coordination.
On March 6, 2000, DMS authorized R.J. Heisenbottle (Architect), to proceed with
programming and conceptual/advanced schematic design phases for the expansion and
renovation of the Colony Theater.
~ Design had to address programmatic requirements, Historic Preservation scope and
ADA and other code-related deficiencies.
Design Development was subject of an extensive programming phase with input received
from operator and users of the Colony Theater, City's Historic Preservation Officer,
Property Management and the Planning and Zoning Department.
In September 2000, the Architect presented three alternative design concepts to address
expansion of backstage areas, ADA requirements and other identified improvements. The
alternatives involved expanding the Colony into and over the alley on the south side of the
building, expanding below grade (basement), or expanding to the east by incorporating a
portion ofthe adjacent privately owned property.
Given the extent of the improvements/enhancements identified during this process, the
Architect exhausted attempts to design the Colony Theater's renovation within the
parameters of the existing footprint of the building. Because the Colony Theater has never
been substantially altered from its use as a cinema, achieving a fly-space was considered a
vital element to become a true performance theater. The only way to accomplish this was
to provide an "addition" to the structure. At the very least, plans called for demolition of
the back of the house, which is riddled with asbestos and other code and fire violations,
and to build a vertical addition, accommodating fly-space, technical storage and dressing
rooms.
On December 15,2000, the Architect presented a new scheme, calling for the removal of
the rear 45 feet of existing building, construction of a new stage house, small second and
third floor service areas behind the stage, a fourth floor "Backstage" area, elevator, stairs,
and the addition of a new vestibule and exterior access ramp to provide ADA access to the
stage. The historic preservation scope involves removing the existing marquee and
storefront on Lincoln Road to its original historic appearance and modifying the interior
lobby, office and concession area to be more consistent with the building's original
design. The Architect presented an A and B option for this scheme, involving different
size additions to the facility. Option "A" involved the addition of 7,950 square feet at a
hard construction cost estimate of approximately $3.6 Million. Option "B" comprised a
9,520 square foot addition, for a total constructionlhard cost of $4.5 Million. According to
the Architect, the design could not undergo further value engineering without adversely
impacting the scope and purpose of the project. The Administration concurred with this
assessment and recommended proceeding with Option "B". According to DMS, the total
estimated cost of the project, inclusive of soft costs, would be approximately $4,315,000,
significantly exceeding the available budget.
On March 16, 2001, the City was awarded a National Park Service-Save America's
Treasures Grant, in the amount of $835,000, of which $700,000 was appropriated for the
Colony Theater project.
Total available funding sources at the time comprised the following:
County Cultural Arts Grant/P ACT:
ADA Improvements (Bond Fund 351)
Florida Dept of State Cultural Facilities Grant:
Cultural Arts Council Loan
Nat'l Park Service - Save America's
Treasures Grant:
Total:
Est. Shortfall:
$ 775,000 - Revised amt
$ 60,000 - City Match
$ 500,000 (Matching Req)
$ 165,000 - City Match Rev amt
$ 700.000
$2,200,000
($2,415,000)
On May 14, 2001, the Administration went before the City's Finance and Citywide
Project Committee to request additional funding for the Project, in the amount $1,415,000
from the RDA. The Committee voted in favor of recommending the appropriation.
Based on the Committee's recommendation, the RDA appropriated the funds on June 27,
2001.
On June 27, 2001, pursuant to the Agreement with DMS, due to the increase in the
Project Budget, the City and the RDA authorized a $61,436 increase to DMS's fees, for a
total of $111,336.
July 10,2001, Design Development Plans receive formal approval by Design Review and
Historic Preservation Boards. Design Drawings proceed with anticipated completion by
March, 2002.
In August, 2001, the City applied for a second Cultural Facilities Grant in the amount of
$500,000 from the S.O.F. Div. Of Cultural Affairs. The City identified the additional
appropriation from RDA and a National Parks Service Grant, as matching funds
requirements. S.O.F. Funds from second application were appropriated by the State in
May, surviving a near veto the Governor. A third application in the amount of $500,000 is
expected to be submitted in July, 2002., which is intended to bridge the projected
shortfall.
In October, 2001, following a bidding and selection process administered by DMS, a
Contract was awarded to McCartney Construction, for the construction management phase
of the Project. The Construction Manager has been working on developing a Guaranteed
Maximum Price (GMP) Contract, which is expected was delivered on May 31, 2002
CURRENT ACTIVITIES AND PROJECT STATUS
In January 2002, Florida Power and Light mandated the placement of an 18 sq.ft.
transformer vault within the confines of the Colony Theater property, to handle the
facility's anticipated electrical load. Since there is virtually no room inside the Colony to
place the vault, the Architect presented a proposal to pad mount the vault in the public-
right-of way, just north of the 9 ft easement area, on the west side of the Colony. The
proposal, required the approval of the City's Historic Preservation and Design Review
staff and is currently pending an easement from the City to proceed. The easement was
contingent upon certain plans and specifications to be provided by FP&L, which were
only recently received.
On February, 8,2002, Design Drawings undergo preliminary review by building trade,
accessibility/ADA and fire inspectors, which triggered the need to apply for certain
regulatory waivers due to hardships encountered in dealing with certain code-related
issues, including flood elevation, wind-load criteria and accessibility issues. Note: many
of these issues arose as a result of the Florida Building Code's 50% Rule.
~ Flood Plain elevation - portions of the finish floor in the Colony fall as much as
2.75 feet below the required Flood Elevation of 8 feet. The floor varies from 5.25
feet to 8.67 feet. Due to lack of sufficient access below the building and lack of as-
built drawings, it is not possible to flood proof the bottom of the existing structure,
nor evaluate its structural resistance to the hydraulic pressures. Installing a
hydrostatic slab as required, would result in the demolition of historically
significant interior portions of the building, including but not limited to, terrazzo
floors, walls, etc. As such an application was submitted for a variance to the
City's Flood Plain Variance Board, which heard the case on April 5, 2002. The
variance was approved.
~ WIND LOAD - All the new construction elements of the Project will comply with
the Florida Building Code. However the existing/historic elements may not
comply with all of the technical requirements of the Code. There is no practical
way to reinforce the existing structural systems without complete demolition and
reconstruction of the systems themselves, including floor slabs, floor joists, beams,
interior piles and exterior wall panels. Due to recent changes in the Florida
Building Code, it is not certain whether the County's Board of Rules and Appeals
(BORA) or the City's Building Official has jurisdiction in these matters. The
Project was set to go before BORA for a waiver on April 25, 2002, however due to
recent (March 2002) changes to the South Florida Building Code, jurisdiction over
waiving certain technical codes for historic buildings, including but not limited to,
the alteration, repair and restoration thereof, has been shifted from the County's
Board of Rules and Appeals (BORA), to the local Building Official's lap. As such,
the waiver application was instead reviewed by the City's Building Official and
Structural Plans Examiner., The Building Official has asked the Structural
Engineer to come back once it has performed the necessary work and has reviewed
the alternatives with the City's Historic Preservation Officer to determine the
impacts to the project.
~ Accessibility - The existing slope in the entry foyer and that in the mam
Auditorium, preclude the ability to ramp them in such a manner to meet
accessibility requirements. There is also an issue with the design of the ticket
booth, which precludes providing an adequate turning radius within the structure.
Enlarging it to meet accessibility requirements would adversely impact its historic
characteristics and reduce adjacent circulation space needed to comply with NFP A
egress requirements. Waivers for these two items are pending before the State
Historic Preservation Officer. Additionally, since vertical accessibility is not
possible to all levels of the facility, a waiver is also being sought from the Florida
Building Commission.
On March 26, 2002, McCartney Construction presented the design development cost
estimates, which exceeds the available construction budget by $577,140. Most
significant line item differences from budget submitted in March 2001 are Concrete
work, Life safety/fire sprinkler systems, HV AC, Equipment and Finishes. Actual
anticipated. Additional cost overruns not contemplated in the estimate, include certain
HP required interior finishes, including but not limited to, the creation of a free-standing
ticket booth in the entrance lobby. These additional features could cost up to $200,000.
The Administration is currently working with the Architect to identify value engineering
options to reduce this exposure.
In the meantime, The Construction Manager is continuing to working on developing a
Guaranteed Maximum Price (GMP) Contract, which is expected by the first week in
May, 2002.
100 % Construction drawings were delivered to the City for permitting during the week
of April 29, 2002 and are currently going through the plan review process.
On May 31, 2002, Staff met with the Design Team, McCartney Construction
(Contractor) and the State of Florida's Department of Management Services (DMS), to
review the 100% construction drawing cost estimates. The total projected cost of the
Project currently stands at $5,959,279 or $1,645,000 over budget. (In actuality, the
Project is only over budget by $1,445,000, since a $300,000 "Owner's Contingency" was
built in to the requested appropriation from the RDA). This overage does not include an
additional estimated $405,000 in requested enhancements that are necessary to make the
project whole, including rigging, lighting, new seating, acoustical fabric panels and
railings in the auditorium. Factoring in the Owner's Contingency and the cost of the
enhancements, the project would be approximately $1,749,000 over budget.
On June 28, 2002, the Administration's request for funding was presented before the
City's Finance and Citywide Project Committee (Committee) for consideration. The
Committee voted in favor of appropriating $1,750,000 towards the Project.
Pursuant to the Committee's recommendation and subject to the approval of the RDA
Board, the Project is expected to proceed on schedule, with groundbreaking scheduled for
mid-July, 2002. The first phase of the Project involves the demolition of the stage house.
The Project is anticipated to take 14 months to complete. Notice has already been
provided to the Concert Association and the last day of programming is July 14,2002.
Construction bidding is currently underway and ground-breaking, beginning with the
demolition of the stage house, is scheduled to occur in the second week of July, 2002.
Construction is expected to take approximately 14 months to complete.
Owners Budget for Colony Theatre
Project: Colony Theatre
1040 Lincoln Road, Miami Beach
Owner's Included In
Desciption Projected Contractor's
Budaet Budaet
Construction Budaet 3,356,167 3,356,167
Proarammina 3,500
Architect-Enoineer Basic Service 313,690
Authorization # 1 - Measured Drawino 3,000
Authorization # 2 - Estimatino 3,000
Authorization # 3 - Schematic Desion & Construction Estimate 7,840
Authorization # 4 - Cost Estimates 3,000
Authorization # 5 - TSG Desoin Solutions 16,765
Authorization # 6 - Measured Drawinos 8,000
Authorization # 7 - Landscaoe DesKIn 4,000
Authorization # 8 - Cost Estimates for DD & CD 8,500
Authorization # 9 - Threshold Insoection Services 7,500
Authorization # 10 - Artec Acoustic Consultants 67,045
Authorization # 11 - Structural UDorades for 25% Rule 10,000
Authorization # 12 - Interior Desion/Color and Material Selection 7,500
Authorization # 13 - Obtain ADDrovals From COMB 12,500
Indemnification 10
Miscellaneous Ads & Reoroduction Costs Allowances 2,500
Soil Borina Allowance 8,000 8,000
Testino of Concrete Allowance 20,000 20,000
Test & Balance Allowance 15,000 15,000
Connection Fee Allowance 25,000
Asbestos Survey Allowance 5,000
FF&E Allowance 100,000
Communication Fee Allowance 75,000 75,000
Insoection Fees Allowance 22,000 22,000
Fire marshal Fees Allowance 7,500
Allowance For Other Items 91,358
DMS Fee 111,336
TOTAL $4,314,711 $3,496.167
Total Construction budget from 100% CD drawings $5,090,735
Asbestos removal (ADD) $50,000
Enhancements necessary to complete project $404,499
Budget deficit ($2,049,067)
Add-ons to project $2,049,067
Total project cost $6,363,778
Cost Estimate for Colony Theatre
Project: Colony Theatre Plans Date: 04/12/02
1040 Lincoln Road, Miami Beach Date: 05130/02
Submitted bv: McCartnev Construction Comoanv
Division Work Classification Original Design 100% Difference Difference
No. Budoet DeveloDment CD Orig. vs 100% DD vs 100%
0100 General Reauirements 334,272 349,238 397,438 /63,166) /48,200'
0200 Demolition & Sitework 177,847 126,000 162,800 15,047 /36,800'
0300 Concrete Work 336,604 510,500 465,500 /128,896\ 45,000
0400 Masonry Work 124,777 128,800 90,000 34,777 38,800
0500 Melals 102,763 91,900 134,900 /32,137' /43,000
0600 Wood & Plastics 53,498 38,698 115,198 /61,700' /76,500
0700 Moisture & Thermal Control 83,069 105,100 112,100 /29,031 ' /7,000\
0800 Doors, Windows & Glass 69,611 66,500 127,975 /58,364' /61,475\
0900 Finishes 334,901 369,424 467,824 /132,923' 198,400'
1000 Specialties 118,678 140,312 209,516 /90,838 /69,204'
1100 Ecuioment 460,374 806,300 701,078 /240,704 105,222
1200 Furnishincs / see owners budcetl 0 0 0
1300 Special Construction 60,898 95,700 111,300 150,4021 115,600'
1400 Convevina Svstems 64,634 120,440 151,000 /86,366' /30,560
1500 HV AC Work 159,798 448,380 536,000 /376,202' /87,620
1520 Plumbina 106,864 88,900 129,514 /22,650' /40,614'
1600 Electric Work 202,504 282,600 470,700 /268,196' /188,100
TB Ticket Booth 100,000 (100,000) (100,000)
Estimated Base Cost 2,791,092 3,768,792 4,482,843 (1,691,751) (714,051)
General Contractor Fee 264,779 212,030 297,531 /32,752' /85,501 \
Continaeney 235,707 200,000 250,000 /14,293' 150,000'
General Contractor Bond 46,136 47,530 60,364 /14,228 /12,834'
Budaet difference /31 313,493 0
Tolal Above $3,651,207 $4,228,352 $5,090,738 (1,439,531) (862,386)
Page
Cost Estimate for Colony Theatre
Project: Colony Theatre Plans Date: 04/12/02
1040 Lincoln Road, Miami Beach Date: 05/30/02
Submitted bY: McCartnev Construction ComnRnV
I
Additional work necessarv to comDlete Droiect
A1 Additional rillllina 80,000
A2 Additional slace liahtina 63,000
A3 Railinas at Auditorium 19,008
A4 Sealinc 122,400
AS Acoustical fabric oanels 50,000
General Reauirements, Fee, Bond A1 - AS 40,128
Continllency A 1 - AS 29,963 404,499 I
Total Construction Budllet $S,49S,237
1. Original budget includes J. A. Condon estimate plus preservation budget.
2. See attached breakdown of owners budget from Exhibit C.
3. Additional items included in owners budget not included in Condon budget
Page 2
CITY OF MIAMI BEACH. Owner
Colony Theater
DMS - Project Manager I Reisenebottle - Arcbitect I McCartney Construction - Contractor
Draw Reqnest Month: May JO...zooz
......... 'l1oIs
- I -
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Com,
397,438.00
162.800.00
465.500.00
9O,lXXUID
134,900.00
115,198.00
112,100.00
127.975.00
467,824.00
209.516.00
701,078.00
111.300.00
151,000.00
536,000.00
129.514.00
470,100.00
100,000.00
4,482.843.00
279,716.64
250,000.00
fiO,364.00
5,072,923.64
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0300 Concrecc Work
0400 """"Wod<
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0700 Moisture" 'Ibennal Control
0800 Doon, WiDdows " Gass
0900 Finishes
1000 Spocial'"
1100 Equipment
1200 Fumishin&s
1300 Special Consttuttion
1400 eoovey;n,_
uoo HVAC Work
1520 Plumbing
1600 ElCClric Work
Ticket Booch
...... ..........
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CllY OF MIAMI BEACH
REDEVELOPI\IENT AGENCY ITEM SUMMARY
~
Condensed Title:
A Resolution of the Chairman and Members of the Miami Beach Redevelopment Agency, appropriating
$1,750,000 in available 1998B City Center Tax Increment Revenues to fund the estimated shortfall in
deyelo ment bud et for the ex ansion and renovation of the Colon Theater.
Issue:
The total projected cost of the Colony Project currently stands at $6,363,778, reflecting a $2,049,000
increase over the established "Owner's Budgef' of $4,315,000, as established in the Management
Agreement between the City of Miami Beach and DMS, dated October 6, 1999, and amended on June 27,
2001. Approximately 80%. or $1,644,000 of the increase is directly attributable to addressing design, code-
related and programmatic issues, mandated by certain regulatory entities, including but not limited to, the
City's Historic Preservation and Design Review Boards, the Building and Fire Departments, Accessibility, the
State Historic Preservation Officer, the Florida Building Commission, and Miami-Dade County's Board of
Rules and Appeals. The increase also reflects approximately $334,000 in requested enhancements that are
necessary to make the project whole, including rigging, lighting, new seating, acoustical fabric panels and
railings in the auditorium. The Administration recommends funding the total projected shortfall, in the amount
of $1,750,000, with available Tax Increment Revenue Bond funds. The amount requested, reflects the
difference between current ayailable funding in the amount of $4,615,000 and the total projected cost of the
Proiect.
Item Summa IRecommendation:
On June 28, 2002, the Administration's request for funding was presented before the City's Finance and
Citywide Project Committee for consideration. The Committee voted in favor of appropriating $1,750,000
towards the Pro'ect. As such, the Administration recommends roceedin with the a ro riation b the RDA.
Advisory Board Recommendation:
I N/A
Flnanciallnfonnatlon:
Amount to be expended:
Source of
Funds:
AGENDA ITEM
DATE
SC-
7-/0-0;;-
MIAMI BEACH REDEVELOPMENT AGENCY
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miami-beach.f1.us
REDEVELOPMENT AGENCY MEMORANDUM
From:
Chairman David Dermer and Date: July 10, 2002
Members of the Miami Beach Redeyelopment Agency
Jorge M. Gonzalez \. 1 ~
Executiye Director U (J-'v 0
A RESOLUTION OF THE CHAIRMAN AND THE MEMBERS OF THE
MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING THE
RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECT
COMMITTEE AND APPROPRIATING $1,750,000 IN AVAILABLE 1998B
CITY CENTER TAX INCREMENT REVENUES TO FUND THE ESTIMATED
SHORTFALL IN DEVELOPMENT BUDGET FOR THE EXPANSION AND
RENOVATION OF THE COLONY THEATER, AN ELIGIBLE PROJECT
PURSUANT TO THE CITY CENTER HISTORIC CONVENTION VILLAGE
REDEVELOPMENT AND REVITALIZATION AREA PLAN, DATED
FEBRUARY 12,1993, AND AS AMENDED ON MAY 29,2002.
To:
Subject:
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
On May 14, 2001, the Administration went before the City's Finance and Citywide Project
Committee to request additional funding for the Colony Theater Project, in the amount
$1 ,415,000 from the RDA. The Committee voted in favor of recommending the appropriation.
Subsequent to the Committee's recommendation, the RDA appropriated the funding on June
27, 2001. The additional funding was necessary in order to begin bridging an estimated
$2,415,000 shortfall between the original concept budget and the actual preliminary cost
estimate, based on the design drawings and programmatic requirements. The funding
appropriation from the RDA was subsequently used to leverage additional grant funding from
the State of Florida, Division of Cultural Affairs, in the amount of $500,000 and from the
National Park Service - Save America's Treasures Program in the amount of $700,000. A third
grant application to the State of Florida, for $500,000 will be submitted in July 2002. This last
piece was intended to close the funding gap as follows:
July 10, 2002
Redevelopment Agency Memorandum
Colony Theater Appropriation
Page 2 of 5
GRANT FUNDS:
County Cultural Arts Grant/PACT:
State of Fla. Cultural Facilities Grant (Ph I):
State of Fla .Cultural Facilities Grant (Ph II):
Nat'1 Park Service - Save America's
Treasures Grant:
Pending application: State of Fla. Cultural
Facilities Grant (Ph III):
Sub-total: Grant Funds:
City/RDA Funds:
ADA Improvements (Bond Fund 351)
Cultural Arts Council Loan
RDA TIF funds
Sub-total: City/RDA Funds:
Total Project Funding:
AMOUNT
$ 775,000
$ 500,000
$ 500,000
$ 700,000
PERCENT
OF TOTAL
$ 500,000
$2,975,000
64%
$ 60,000
$ 165,000
$1.415,000
$1,640,000
$4,615,000
36%
100%
Since the appropriation offunding by the RDA, the Design Team, headed by R.J. Heisenbottle
Architects, has been working to finalize the construction drawings and project specifications.
The 100% drawings were delivered to the City to begin the permitting review process on April
29, 2002. In order to get to this point however, the plans have had to undergo significant
modifications, to address a variety of design, code-related and programmatic issues,
mandated by certain regulatory entities, including but not limited to, the City's Historic
Preservation and Design Review Boards, the Building and Fire Departments, Accessibility, the
State Historic Preservation Officer, the Florida Building Commission, and Miami-Dade
County's Board of Rules and Appeals. The cost of implementing these modifications, many of
which were unforeseen, has driven the overall cost of the Project up significantly. A complete
chronology is included as part of this package, which describes in detail, the complex issues
which have had to be addressed throughout the design and permitting phase of this Project.
Analysis
On May 31,2002, staff met with the Design Team, McCartney Construction (Contractor) and
the State of Florida's Department of Management Services (DMS), to review the 100%
construction drawing cost estimates. The total projected cost of the Project currently stands at
$6,363,778, reflecting a $2,049,000 increase over the established "Owner's Budget" of
$4,315,000, as established in the Management Agreement between the City of Miami Beach
and DMS, dated October 6, 1999, and amended on June 27,2001. Approximately 80%, or
$1,644,000 of the increase is directly attributable to addressing regulatory mandates as
described above. The increase also reflects approximately $334,000 in requested
enhancements that are necessary to make the project whole, including rigging, lighting, new
July 10, 2002
Redevelopment Agency Memorandum
Colony Theater Appropriation
Page 3 of 5
seating, acoustical fabric panels and railings in the auditorium. It should be noted, that the
Project has been value engineered extensively, with most of the savings realized at the
expense of programmatic elements. A breakdown of the costs associated with these
increases has been prepared as follows:
Colony Theater
Detailed Budget Increase
(Rounded)
1. Building/Structural Requirements. $231,610
A. Reinforcement of the concrete structure to address reyisions in the Florida
Building Code.
B. Provision of structural supports under the existing seating areas
C. A custom roll-down fire shutter is being required at the stage to separate the
Stage House from the Auditorium in case of fire.
2. Historical Elements $323,424
A. The Preservation Board has requested items that were not included in the
original budget. They include:
1. A cast aluminum and marble Ticket Booth.
2. Three pairs of custom made aluminum doors at the Lobby.
3. Custom plaster work above the aluminum doors.
4. Multi colored terrazzo at the Lobby.
5. Custom aluminum storefront doors at the Theatre entry
6. Custom aluminum grillwork at the proscenium arch.
7. Concealing HVAC ductwork in Auditorium
7. Custom plaster work at the proscenium arch and sides of the Theatre
3. Mechanical $535,620
A. The Building Department is requiring upgrading of the fire sprinkler system in the
existing Auditorium.
B. Enhancements have been made to the air conditioning system for sound control.
These enhancements are extremely costly but necessary upgrades.
C. A custom ADA-compliant elevator has been designed to staff's specifications for
accommodating a piano and a landing at the rear alley.
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July 10, 2002
Redevelopment Agency Memorandum
Colony Theater Appropriation
Page 4 of 5
4. Equipment $206,689
A. Required to accommodate the larger sets that the Theatre will be
attracting. These upgrades will only meet what staff feels are the basics
but the systems installed are expandable in the future.
5. Electrical $268,196
A. The item has increased due to the increase in theatrical lighting and
equipment. Also included is the ability to expand the systems noted
above.
6. Roofing $29,032
A. The roofing on the Auditorium is being replaced in lieu of repairing the
existing roof.
7. Asbestos Removal $50,000
A. The original budget only had consulting and inspection fees. This budget
amount is for actual removal.
8. Contingency $70,091
A. The contingency has been increased due to the additional scope of work.
Cost increases to date $1,714,662
Proposed Enhancements
Auditorium Upgrades (Requested Enhancements)
A. To complete the Theatre properly the architect strongly recommends the
following areas be upgraded.
1. Replace existing seating.
2. Replace existing railing.
3. Install acoustical fabric panels at side of Theatre.
4. Rigging & lighting enhancements
$334,408
Total Projected Cost Increase To Date:
$2,049,070
July 10, 2002
Redevelopment Agency Memorandum
Colony Theater Appropriation
Page 5 of 5
It should be noted that the Administration has met with the Concert Association to discuss
creative fund-raising approaches to address some of the requested enhancements, such as
upgrading the seating through an "adopt-a-seat" campaign. The current budget fell short of
addressing this important element, which has been estimated at approximately $123,000.
Nevertheless, since the enhancements are necessary to properly complete the Project, and
timing may be an issue to raise the necessary funding by other means, the Administration
recommends funding the total projected shortfall, in the amount of $1,750,000, with available
Tax Increment Revenue Bond funds. The amount requested, reflects the difference between
current available funding and the total projected cost of the project, including the requested
enhancements as follows:
Total Project Cost wI Enhancements:
Current Available Funding:
Difference:
$6,363,778
($4,615,000)
$1,748,778 (Rounded to $1,750,000)
On June 28, 2002, the Administration's request for funding was presented before the City's
Finance and Citywide Project Committee (Committee) for consideration. The Committee voted
in favor of appropriating $1,750,000 towards the Project. Pursuant to the Committee's
recommendation and subject to the approval of the RDA Board, the Project is expected to
proceed on schedule, with groundbreaking scheduled for mid-July, 2002. The first phase of
the Project involves the demolition of the stage house. The Project is anticipated to take 14
months to complete. Notice has already been provided to the Concert Association and the last
day of programming is July 14, 2002. Unless the additional funding is granted, the Project
cannot proceed.
JMG:kob
Attachments
T:\AGENDA\2002\JUL 1 002\REGULAR\colony-mem2.doc