RESOLUTION 89-19705 RESOLUTION NO. 89-19705
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AMENDING THE CAPITAL BUDGET FOR
THE "OLD" T.O.P.A. PROJECT, WORK ORDER 2927, PROVIDING
FOR AN INCREASED APPROPRIATION IN THE AMOUNT OF
$2,748,194 WITH FUNDING TO BE PROVIDED FROM THE
T.O.P.A BOND FUND.
WHEREAS, on July 25, 1984 the City Commission of the City of Miami Beach,
via Commission Memorandum 471-84, adopted a budget of $19,800,000 for the
renovation of T.O.P.A. ; and,
WHEREAS, the first architectural design was determined not to be feasible
nor within budget; and,
WHEREAS, it was necessary to terminate the service of Polshek and Partners
and re-award the contract; and,
WHEREAS, the City of Miami Beach has initiated legal proceedings against
Polshek and Partner and Turchin/CRS seeking recovery of damages; and,
WHEREAS, in order to ns r,e t e cQmpl.et i on of the project, on September 7,
1988, via Commission Memo turdhItya Wethe transfer of $18,870,000 from the
old Work Order into a new Work Order, and
WHEREAS, such appropriation should have been reflected as $16, 121 ,806 from
the existing appropriation and $2,748, 194 from remaining bond funds; and,
WHEREAS, to correct this error, it is now necessary to increask,4$
appropriation into Work Order 2927 by $2,748, 194 with funds from the TOP and
Balance.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, that the City Commission of the City of Miami Beach hereby
amends the T.O.P.A. Capital Budget, Work Order 2927, increasing the appropria-
tion by $2,748, 194 with such funds coming from the T.O. P.A. Bond Fund.
PASSED and ADOPTED, this 6th of September, 1989.
M. or
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Attest by:
te/AL-AP )3)
City Clerk
Legal Form Approved By:
#2Z.
City Attorney ,
Funding Ap.roved By:
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Off' '- of Management and Budget
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*i1NCORPi ORATED *s "V A CA TIONL A ND U. S. A. "
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OFFICE OF THE CITY MANAGER CITY HALL
ROB W.PARKINS 1700 CONVENTION CENTER DRIVE
CITY MANAGER TELEPHONE: 673-7010
COMMISSION MEMORANDUM NO. .419
DATE: September 6. 1989
TO: Mayor Alex . .•ud and 0
Members of he City Commi- ion
FROM: Rob W. Parki / ii,4_,01'''�
i,I
City Manager 3T1
SUBJECT: AMENDING THE CAPITAL BUDGET FOR THE "OLD" T.O.P.A. PROJECT, WORK
ORDER NO. 2927, PROVIDING FOR AN INCREASED APPROPRIATION IN THE
AMOUNT OF $2,748,194 TO BE FUNDED FROM THE T.O.P.A. BOND FUND.
BACKGROUND
On July 25, 1984, Work Order No. 2927 was established via Commission Memorandum
471-84 with an original appropriation of $19,800,000. A contract was entered into
with James Polshek and Partners for architectural services relating to the
rebuilding of the theatre.
The architectural plans and designs resulted in construction estimates far in
excess of the required scope and budget. This action resulted in a termination of
the contract with Polshek and Partners and the initiation of arbitration
proceedings to recover damages. By this time, approximately $2.8 million had been
spent on the project, primarily due to $2,298,283.30 paid to Polshek and Partners
and $284,783.56 to Turchin/CRS. Since then, $409,499.61 have been spent on legal
fees and arbitration costs with an estimated amount of $150,000 - $300,000 more
required to complete arbitration.
On September 7, 1988, the City Commission of the City of Miami Beach at the
request of the Administration, via Commission Memorandum No. 447-88, approved the
transfer of $18,870,000 from the "old" TOPA Work Order No. 2927 to the "new" TOPA
Work Order No. 2015 and so ensure that proper accounting for the current
construction and related costs would occur. This transfer was necessary and
proper since a considerable amount of funds had been spent and are now the subject
of litigation. Further, this transfer resulted in a remaining appropriation of
$930,000 in Work Order No. 2 9 2 7 to account for all incurred expenditure and
pending litigation costs.
Analysis of TOPA Work Orders indicate that establishment of Work Order No. 2015
should have been accomplished with a transfer of $16, 121,806 from Work Order No.
2927 and supplemented with an increased appropriation of $2,748, 194 from the
unappropriated funds balance for a total of $18,870,000. This method would have
ensured that sufficient fund remained in Work Order No 2927 to cover incurred
expenditures and estimated litigation costs.
Therefore to correct this situation, it is necessary to appropriate $2,748, 194
from the TOPA Bond Fund into the Work Order No. 2927 to cover incurred
expenditures and litigation costs.
ADMINISTRATION RECOMMENDATION
The Administration recommends that the City Commission adopt the attached
Resolution increasing the appropriation of Work Order 2927 by $2,748,194.
11
WFL:me
AGENDAC ......1 ___E `
ITEM, '
DATE `
ANALYSIS OF T.O.P.A. RENOVATION PROJECT
WORK ORDER NOS. 2927 & 2015
as of July 31, 1989
A. WORK ORDER 2927 - TOPA RENOVATION (OLD)
Current Actual + Projected +
Budget Adjustments Encumbrances Balance
FY 84 $19,800,000 $1,368,644 $18,431,356
85 1,203, 175 17,228,181
86 331,496 16,896,685
87 456,628 16,440,057
88 (18,870,000) 3,553,301 (5,983,244)
89 2,748, 194 (3,732,656) 197,606 300,000
90 c 300,000 0
Totals $3,678,194 $3,180,588 $497,606 $0
B. WORK ORDER 2015 - TOPA RENOVATION (NEW)
Current Actual + Projected +
Budget Adjustments Encumbrances Balance
FY 88 $18,870,000 $40 $18,869,960
89 8,415, 181 9,678,426 776,353
90 776,353 0
Totals $18,870,000 $8,415,221 $10,454,779 $0
Project
Totals $22,548,194 $11,595,809 $10,952,385 $0
C. EXPENDITURE DETAILS - WORK ORDER 2927
Description Amount Total
Professional Services
Polshek and Partners $2,298,283.30
Turchin/CRS 284 783.56
Meyer, Weiss, Rose, Arkin 6,902.00
Pittsburg Testing lab 7,120.00
Worth Engineering 3,422.10
John Boyer 1,350.00
Therrel Baisden 2,340.00
Zurwelle-Wittacher 5, 169.38 2,609,370.34
Printing & Postage
Best Blueprint & Supply $1,696.53
Circle Blue Print 35,721 .83
City of Miami Beach 63.81
Federal Express 1,179. 19
Marion Dudley Spec 6,390.00
Photo Arts 3,286.30
Xerox Corp 60.06 48,397.72
Professional Services - Arbitration
American Arbitration $15,550.00
David Swimmer PA 392,094.61
P. Ziel 1,855.00 409,499.61
Project Administration
Personnel Services $98,251 .92
Operating Expenses 15,068.64 113,320.56
$3,180,588.23
13
ORIGINAL
RESOLUTION NO. 89--19725
Amending the Capital Budget for the "Old"
T.O.P.A. Project, Work Order 2927, pro-
viding for an increased appropriation in
the amount of $2,748, 194 with funding to
be provided from the T.O.P.A. Bond Fund.