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2003-25123 ResoRESOLUTION NO. 2003-25123 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, DECLARING ITS INTENT TO SPEND $1,611,555 FROM THE PROCEEDS OF THE TRANSPORTATION TAX (ALSO KNOWN AS THE MIAMI-DADE COUNTY HALF PENNY SALES TAX) FOR THE WASHINGTON AVENUE STREETSCAPE PROJECT, PHASES 2, 4 AND 5; AND APPROPRIATING $1,611,555 FROM THE GENERAL FUND TO BE REIMBURSED BY THE PROCEEDS OF THE TRANSPORTATION TAX (ALSO KNOWN AS THE MIAMI-DADE COUNTY HALF PENNY SALES TAX) FOR THE WASHINGTON AVENUE STREETSCAPE PROJECT, PHASES 2, 4 AND 5. WHEREAS, on July 3, 1996, the City Commission authorized an agreement with Savino & Miller Design Studios (Consultant) for the preparation of a Master Plan for the Washington Avenue right-of-way; and WHEREAS, the Master Plan recommended a phased implementation schedule as follows: Phase I (6thto 11thStreet) — bump -out removals Phase II (11th to 16th Street) — street/sidewalk improvements Phase III (6th to 16th Street) — median improvements Phase IV (6th to 11th Street) — street/sidewalk improvements Phase V (5th to 6th Street) — street/sidewalk/median improvements; and WHEREAS, the work associated with Phases I and III has been completed; and WHEREAS, on December 15, 1999, the City Commission authorized Amendment No. 5 to the Consultant's contract to provide Architectural/Engineering services for the preparation of construction contract documents, permitting, bidding, and construction phase services for Phases II, IV, & V of the Washington Avenue project; and WHEREAS, the Amendment also added basic level stormwater improvements as well as provisions for designing landscaping improvements to the median along Washington Avenue between 16th Street and Lincoln Road not previously funded; and WHEREAS, in February 2001, the Consultant identified its construction documents to be approximately 95% complete; and WHEREAS, Hazen and Sawyer, PC, the Program Manager for the project, performed two constructability reviews, and requested the project team to adapt to the City's revised front-end contract documents and master Division 1 technical specifications; and WHEREAS, the Consultant requested additional services in the amount of $154,532 to incorporate the City's requests; and WHEREAS, the City negotiated in good faith with the project team and reached an impasse with respect to the scope of services to be provided and the level of compensation requested; and WHEREAS, the City and the Consultant mutually decided to terminate the A/E agreement for convenience, which would allow the City to proceed with the project as a "Design -Build" project; and WHEREAS, the Design/Build firm, Construction and 10% contingency costs for the Stormwater, Water and Streetscape improvements planned for the project area are estimated to be $8,509,100; and WHEREAS, at this time, the available funding for the streetscape enhancements included in the project is inadequate, with an estimated shortfall of $1,611,555; and WHEREAS, the designed improvements are to include landscaping and irrigation, pedestrian level lighting, road resurfacing, sidewalk improvements, and curb and gutter improvements; and WHEREAS, on January 8, 2003, the City Commission referred the issue of funding for the Washington Avenue Streetscape project to the Finance and Citywide Projects Committee; and WHEREAS, at its January 15, 2003 meeting, the Finance and Citywide Projects Committee recommended that the additional funding for the streetscape enhancements be funded by the General Fund to be reimbursed by the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) when they become available; and WHEREAS, it was the intent of the Committee that the Administration pay for the construction costs with other funding sources in the project prior to spending the General Fund monies. WHEREAS, a portion (20%) of Miami -Dade County's proceeds from the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) will be distributed to the municipalities on a pro rata basis based on population; and WHEREAS, effective in the Spring of 2003, the Transportation Tax will be an annual funding source eligible for use on the following types of projects: • public transportation operation and maintenance projects, • roadway and right-of-way maintenance projects and equipment, • roadway and right-of-way drainage projects, • street lighting, traffic signs, traffic engineering, traffic signalization, and pavement markings, • bridge maintenance and operation, or • debt services and current expenditures for transportation capital projects; and WHEREAS, it should be noted that Miami -Dade County has to establish an oversight committee to approve the use of the Transportation Tax prior to its expenditure; and WHEREAS, this committee will have the authority to also monitor, audit and investigate the use of the funds; and WHEREAS, under the guidelines of the Transportation Tax program, the City will be required to submit a 5 -year transportation plan for approval by the oversight committee. WHEREAS, the Washington Avenue Streetscape project is a unique project for immediate funding by the proceeds of this tax, as it is a major regional roadway construction project that is eligible for the funding and will be ready for construction within the next few months; and WHEREAS, the City will undertake a larger planning approach, similar to a Master Plan, for making recommendations for projects to be funded by future funds received in each year moving forward; and WHEREAS, the Administration recommends the Mayor and City Commission declare its intent to spend $1,611,555 from the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) for the Washington Avenue Streetscape Project, Phases 2, 4 and 5 and appropriate $1,611,555 from the General Fund to be reimbursed by the proceeds of the Transportation Tax. 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 declare its intent to spend $1,611,555 from the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) for the Washington Avenue Streetscape Project, Phases 2, 4 and 5 and appropriate $1,611,555 from the General Fund to be reimbursed by the proceeds of the Transportation Tax for the Washington Avenue Streetscape Project, Phases 2, 4 and 5. PASSED AND ADOPTED this 5th ATTEST: CITY CLERK 71 day of Februar,Y2003. AYO R APPROVED AS TO FORM & LANGUAGE & FCLITION 44-7 Attom V Date CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY Condensed Title: A Resolution Declaring The City of Miami Beach's Intent To Spend $1,611,555 From The Proceeds Of The Transportation Tax (Also Known As The Miami -Dade County Half Penny Sales Tax) For The Washington Avenue Streetscape Project, Phases 2, 4 And 5; And Appropriating $1,611,555 From Undesignated Fund Balance To Be Reimbursed By The Proceeds Of The Transportation Tax. Issue: Should the City Commission declare its intent to spend $1,611,555 from the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) for the Washington Avenue Streetscape Project, Phases 2,4 and 5, and appropriate $1,611,555 from Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax? Item Summary/Recommendation: On July 3, 1996, the City Commission authorized an agreement with Savino & Miller Design Studios (Savino & Miller) for the preparation of a Master Plan for the Washington Avenue right-of-way. Improvements still to be made include: Phase II (11th to 16th Street), Phase IV (6th to 11th Street), and Phase V (5th to 6th Street). On December 15, 1999, the City Commission authorized Savino & Miller's to provide A/E services for the preparation of construction contract documents, permitting, bidding, and construction phase services for Phases ll, IV, & V. In February 2001, Savino & Miller identified its construction documents to be approximately 95% complete. They were requested to adapt to the City's revised front-end contract documents and master Division 1 technical specifications. Savino & Miller requested additional services to incorporate the City's requests in the amount of $154,532. The City negotiated in good faith with the project team and reached an impasse with respect to the scope of services to be provided and the level of compensation requested. The City and Savino & Miller mutually decided to terminate the A/E agreement for convenience, which will allow the City to proceed with the project as a "Design -Build" project. At this time, the available funding for the streetscape enhancements included in the project is inadequate, with an estimated shortfall of $1,611,555. The designed improvements are to include landscaping and irrigation, pedestrian level lighting, road resurfacing, sidewalk improvements, and curb and gutter improvements. At its January 15, 2003 meeting, the Finance and Citywide Projects Committee recommended that the additional funding for the streetscape enhancements be funded by the Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) when they become available. It was the intent of the Committee that the Administration pay for the construction costs with other funding sources in the project prior to spending the Undesignated Fund Balance monies. It should be noted that Miami -Dade County has to establish an oversight committee to approve the use of the Transportation Tax (also known as the Miami - Dade County Half Penny Sales Tax) prior to its expenditure and monitor the use of the funds. Advisory Board Recommendation: On January 15, 2003, the Finance and Citywide Projects Committee recommended the appropriation of $1,611,555 from Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax. Financial Information: s e of f Amount F s: i 1 $1,611,555 l Finance Dept. I Total $1,611,555 City Clerk's Office Legislative Tracking: Kristin L. McKew, Capital Projects Administrator Account Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax Approved i n -Offs: % `\ partment Director Assis City Ma or City Manager T:\AGE A\2003\feb0503\regular\Washin n e Appropriation Cover.doc/ AGENDA ITEM / DATE CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 www.ci.miami-beachftus enl_ COMMISSION MEMORANDUM To: Mayor David Dermer and Date: February 5, 2003 Members of the City Commission From: Jorge M. Gonzalez City Manager u Subject: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, DECLARING ITS INTENT TO SPEND $1,611,555 FROM THE PROCEEDS OF THE TRANSPORTATION TAX (ALSO KNOWN AS THE MIAMI-DADE COUNTY HALF PENNY SALES TAX) FOR THE WASHINGTON AVENUE STREETSCAPE PROJECT, PHASES 2, 4 AND 5; AND APPROPRIATING $1,611,555 FROM UNDESIGNATED FUND BALANCE TO BE REIMBURSED BY THE PROCEEDS OF THE TRANSPORTATION TAX (ALSO KNOWN AS THE MIAMI-DADE COUNTY HALF PENNY SALES TAX) FOR THE WASHINGTON AVENUE STREETSCAPE PROJECT, PHASES 2,4 AND 5. ADMINSTRATION RECOMMENDATION Adopt the Resolution. FUNDING Funding in the amount of $1,611,555 is available from the Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) when they become available. ANALYSIS On July 3, 1996, the City Commission authorized an agreement with Savino & Miller Design Studios (Savino & Miller) for the preparation of a Master Plan for the Washington Avenue right-of-way. The Master Plan recommended a phased implementation schedule as follows: Phase I (6th to 111h Street) — bump -out removals Phase II (11th to 16th Street) — street/sidewalk improvements Phase III (6th to 16th Street) — median improvements Phase IV (6th to 11th Street) — street/sidewalk improvements Phase V (5th to 6th Street) — street/sidewalk/median improvements The work associated with Phases I and III has been completed. City Commission Memorandum February 5, 2003 Washington Avenue Appropriation Page 2 of 3 On December 15, 1999, the City Commission authorized Amendment No. 5 to Savino & Miller's contract to provide Architectural/Engineering services for the preparation of construction contract documents, permitting, bidding, and construction phase services for Phases II, IV, & V of the Washington Avenue project. The amendment also added basic level stormwater improvements as well as provisions for designing landscaping improvements to the median along Washington Avenue between 16th Street and Lincoln Road not previously funded. In February 2001, Savino & Miller identified its construction documents to be approximately 95% complete. Hazen and Sawyer, PC, the Program Manager for the project, performed two constructability reviews, and requested the project team to adapt to the City's revised front-end contract documents and master Division 1 technical specifications. Savino & Miller requested additional services to incorporate the City's requests in the amount of $154,532. The City negotiated in good faith with the project team and reached an impasse with respect to the scope of services to be provided and the level of compensation requested. The City and Savino & Miller mutually decided to terminate the A/E agreement for convenience, which will allow the City to proceed with the project as a "Design -Build" project. Implementing this project with a Design -Build firm will provide the City with the assurances and construction sequencing restrictions required to construct this very important project. This alternative procurement method would engage a Contractor/Engineering firm to complete the remainder of the plans, incorporate additional improvements, identify and resolve any discrepancies, omissions, conflicts prior to construction initiation, develop a phased construction approach, provide a guaranteed maximum price (with an exception for unforeseen circumstances), and allow the completion of the project in a fashion that minimizes disruption to the business community and adjacent areas. The City Attorney's Office and the Procurement Division have been developing the requisite documentation for issuing Solicitation to Bid and Contract General Conditions. The City will issue a Solicitation for Bids for Design -Build firms to engage in the design and construction of the project once the appropriate documentation is complete. The Design/Build firm, Construction and 10% contingency costs for the Stormwater, Water and Streetscape improvements planned for the project area are estimated to be $8,509,100. At this time, the available funding for the streetscape enhancements included in the project is inadequate, with an estimated shortfall of $1,611,555. The designed improvements are to include landscaping and irrigation, pedestrian level lighting, road resurfacing, sidewalk improvements, and curb and gutter improvements. On January 8, 2003, the City Commission referred the issue of funding for the Washington Avenue Streetscape project to the Finance and Citywide Projects Committee. At its January 15, 2003 meeting, the Finance and Citywide Projects Committee recommended that the additional funding for the streetscape enhancements be funded by the General Fund to be reimbursed by the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) when they become available. It was the intent City Commission Memorandum February 5, 2003 Washington Avenue Appropriation Page 3 of 3 of the Committee that the Administration pay for the construction costs with other funding sources in the project prior to spending the General Fund monies. A portion (20%) of Miami -Dade County's proceeds from the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) will be distributed to the municipalities on a pro rata basis based on population. Effective in the Spring of 2003, the Transportation Tax will be an annual funding source eligible for use on the following types of projects: • public transportation operation and maintenance projects, • roadway and right-of-way maintenance projects and equipment, • roadway and right-of-way drainage projects, • street lighting, traffic signs, traffic engineering, traffic signalization, and pavement markings, • bridge maintenance and operation, or • debt services and current expenditures for transportation capital projects. It should be noted that Miami -Dade County has to establish an oversight committee to approve the use of the Transportation Tax prior to its expenditure. This committee will have the authority to also monitor, audit and investigate the use of the funds. Under the guidelines of the Transportation Tax program, the City will be required to submit a 5 -year transportation plan for approval by the oversight committee. It is estimated that the City of Miami Beach will receive approximately $2.5 million from this funding source on an annual basis. This year, collections commenced in January so only a pro -rata share will be received. Approximately $1.8 - $1.9 million is anticipated in FY 2003. Of this amount, $1,611,555 (64%) would be spent on Washington Avenue if the recommendation is approved. The Washington Avenue Streetscape project is a unique project for immediate funding by the proceeds of this tax, as it is a major regional roadway construction project that is eligible for the funding and will be ready for construction within the next few months. The City will undertake a larger planning approach, similar to a Master Plan, for making recommendations for projects to be funded by future funds received in each year moving forward. CONCLUSION Based on the aforementioned, the Administration recommends appropriating $1,611,555 from the Undesignated Fund Balance to be reimbursed by the proceeds of the Transportation Tax (also known as the Miami -Dade County Half Penny Sales Tax) when they become available for the Washington Avenue Streetscape Project, Phases 2, 4 And 5. JMG/RCM/PDW/TH/klm T:IAGENDA120031feb05031regular\Washington Avenue Appropriation Memo.doc