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2003-25380 Reso RESOLUTION NO. 2003-25380 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH RIC-MAN INTERNATIONAL, INC., AS THE LOWEST AND BEST BIDDER PURSUANT TO INVITATION TO BID (ITB) NO. 22-02/03, FOR DESIGN/BUILD SERVICES FOR WASHINGTON AVENUE IMPROVEMENTS PHASES 2, 4 AND 5; AND SHOULD THE ADMINISTRATION NOT BE ABLE TO NEGOTIATE AN AGREEMENT WITH RIC-MAN INTERNATIONAL, INC., AUTHORIZING THE ADMINISTRATION TO REJECT ALL REMAINING BIDS. WHEREAS, Invitation to Bid No. 22-02/03 for Design/Build Services for Washington Avenue Improvements Phases 2, 4, and 5 (the "Bid") was issued on April 23, 2003 with an opening date of September 16, 2003; and WHEREAS, a Design Criteria Package (DCP) was prepared by the City's Project Manager, Hazen & Sawyer, which includes conceptual construction drawings and technical specifications for the civil, electrical, and landscaping disciplines; and WHEREAS, the successful bidder/design build firm (DBF) will be responsible for the design, construction and construction management ofthe water main distribution, sanitary sewer collection, storm water collection/disposal, irrigation, electrical, curb/gutter, sidewalk, road reconstruction and asphalt milling/resurfacing of the Washington Avenue Improvements; and WHEREAS, five (5) proposals were received by the City in response to the Bid, from the following firms: . Burkhardt Construction, Inc. . Central Florida Equipment . Danella Construction Corp. . MCM Engineers and General Contractors . Ric-Man International, Inc.; and WHEREAS, an Evaluation Committee was appointed by the City Manager consisting of the following individuals: . Fred Beckmann, Committee Chair, Director, Public Works Department . Brad Judd, Director, Property Management Division . Ronnie Singer, CIP Office, Community Information Manager . Alex Rolandelli, CIP Office, Senior Capital Projects Coordinator . Carla Dixon, CIP Office, Capital Projects Coordinator . Richard Finvarb, City of Miami Beach Resident/Property Owner . Charles O. Canneiio, Hazen and Sawyer, Deputy Program Manager and Design Criteria Professional (non-voting member); and WHEREAS, the Committee based its recommendations upon a qualitative (evaluation criteria) and quantitative (price) criteria. A maximum of 100 points could be assigned to any Bidder, with a maximum of 60 points for the qualitative criteria and 40 points for the quantitative criteria; and WHEREAS, the Committee convened on September 26, 2002 and evaluated proposals, listened to presentations, and provided a question and answers session to all the firms, and afterwards ranked the firms as follows: . First: Burkhardt Construction, Inc. . Second: Ric-man International Inc. . Third: Central Florida Equipment . Fourth: MCM Engineers and General Contractors . Fifth: Danella Construction Corp. ; and WHEREAS, on the quantitative portion of the selection process the Committee agreed to only open the price proposals for the top three ranked firms pursuant to the process enumerated in the Bid; and WHEREAS, the ranking of the first, second and third place firms were determined by adding the qualitative score to the quantitative score for each company; the final ranking determined by the Committee is as follows: . First: Ric-Man International . Second: Central Florida Equipment . Third: Burkhardt Construction, Inc.; and WHEREAS, the City Manager has reviewed the Evaluation Committee's recommendation, and herein recommends that the Mayor and City Commission enter into negotiations with Ric-Man International, Inc., the lowest and best bidder; and should the Administration not be able to negotiate an agreement with Ric-Man International, Inc., authorizing the Administration to reject all remaining bids; and NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission herein accept the recommendation of the City Manager and authorize the Administration to enter into negotiations with Ric-Man International, Inc. as the lowest and best bidder pursuant to Invitation to Bid (ITB) No. 22-02/03, for Design/Build Services for Washington Avenue Improvements Phases 2, 4 and 5; and should the Administration not be able to negotiate an agreement with Ric-Man International, Inc., authorizing the Administration to reject all remaining bids. PASSED and ADOPTED this 15th day, of ,2003. A~f~ CITY CLERK APPROVED /ttS 10 fORM & lANGUAGE & FOR EXECUTION T:\AGENDA \2003Iocl1503lregular\WashingtonAveneueReso,doc CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY ~ "'iiiiIiIF" Condensed Title: A Resolution of the Mayor and City Commission to Accept the City Manager's Recommendation and Authorize the Administration to enter into Negotiations with Ric-Man International, Inc., lowest and best Bidder; Pursuant to Bid 22-02/03 for Desian-Build Services for Washinaton Avenue Imorovements Phases 2, 4 and 5. Issue: Shall the City Commission Approve the Manager's recommendation. Item SummarY/Recommendation: Design Build Firm (DB F) will be responsible for the design, construction and construction management of the water main distribution, sanitary sewer collection, storm water collection / disposal, irrigation, electrical, curb / gutter, sidewalk, road reconstruction and asphalt milling / resurfacing of the Washington Avenue Improvements (the Project). The Project limits consist of the Washington Avenue corridor from 5th to Lincoln Road. A Design Criteria Package (DCP) was prepared by the City's Project Manager, Hazen & Sawyer, which includes conceptual construction drawings and technical specifications for the civil, electrical, and landscaping disciplines, An Evaluation Committee (the 'Committee") appointed by the City Manager met on September 26th, 2003. The Committee based its recommendations upon a qualitative (evaluation criteria) and quantitative (price) criteria. A maximum of 100 points could be assigned to any Bidder, with a maximum of, respectively, 60 points for the qualitative criteria and 40 points for the quantitative criteria. The Committee reviewed the materials submitted by each respondent, heard presentations from each firm, and then ranked all firms. Immediately after ranking all firms the Committee agreed to open the top 3 firm's price proposals and the Procurement Director proceeded in doing so. The following is the final tally of all points for the top 3 firms and the ranking of those firms. Burkhardt 56 Qualitative: Central Florida 43.66 Ric-Man 53.50 Quantitative: 10.92 39.40 83.06 (2) 40.00 93.50 (1 ) TOTALS: 66.92 (3) Advisory Board Recommendation: I Financial Information: Source of Amount Account Approved Funds: 1 D 2 3 4 Finance Deol. Total islative Trackin GL T~ City Manager JMG T:\AGE A120031oct1503lregular\washaveawardsum.doc AGENDA ITEM DATE R7C ttJ-/S --o!> CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 www.miamibeachfl.gov COMMISSION MEMORANDUM From: Mayor David Dermer and Members of the City Commission Jorge M. Gonzalez ~ ~ City Manager ~- 0 A RESOLUTION F THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH RIC-MAN INTERNATIONAL, INC., LOWEST AND BEST BIDDER; PURSUANT TO INVITATION TO BID (ITB) NO. 22-02/03, FOR DESIGN/BUILD SERVICES FOR WASHINGTON AVENUE IMPROVEMENTS PHASES 2, 4 AND 5; AND SHOULD THE ADMINISTRATION NOT BE ABLE TO NEGOTIATE AN AGREEMENT WITH RIC-MAN INTERNATIONAL, INC., AUTHORIZING THE ADMINISTRATION TO REJECT ALL REMAINING BIDS. Date: October 15, 2003 To: Subject: ADMINISTRATIVE RECOMMENDATION Adopt the Resolution. ANALYSIS The City has been pursuing the improvement of Washington Avenue in recognition of its status as one the City's most important pedestrian and vehicular thoroughfares. A Master Plan consistin~ of five phases of improvements was developed; Phase 1, covering the area from 11 th to 5 Streets and consisting of sidewalk replacement, roadway and drainage improvements, and the planting of coconut trees was completed several years ago. Phase 3, consisting of the reconstruction of the median from 6th to 16th Streets to include shade trees, irrigation, and landscaping, was also completed. Planning for remaining phases 2, 4, and 5 has been underway for some time. The City has determined that a design-build approach would be the best method for expediting the completion of these remaining phases of the project. The City's typical process begins with the City hiring an AlE firm to plan and design a project and then a construction firm to build the project. Under the design-build approach, one project consultant team with both design and construction expertise and qualifications prepares construction documents and constructs the project. For the Washington Avenue Improvement Project, the Design Build Firm (DBF) will be responsible for the design, construction and construction management of the water main distribution, sanitary sewer collection, storm water collection / disposal, irrigation, electrical, curb / gutter, sidewalk, road reconstruction and asphalt milling / resurfacing of the Washington Avenue Improvements (the Project). The Project limits consist of the Washington Avenue corridor from 5th Street to Lincoln Road. Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 2 of 8 A Design Criteria Package (DCP), required by State Statute in a design/build process, for the Project was prepared by the City's ROW Improvements Program Manager, Hazen & Sawyer. The DCP includes conceptual construction drawings and technical specifications for the civil, electrical, and landscaping disciplines. The City has obtained a number of required project permits from the Miami-Dade Department of Health for water main construction, from the Miami-Dade Department of Environmental Resources Management for storm water treatment, and from the State of Florida Department of Transportation for construction on state right-of-way. Remaining construction design tasks include the revision / incorporation of the City's master Division 1 technical specifications; sanitary sewer gravity collector replacement at 6th and 8th Streets; revision / modifications to the existing conditions along the project limits, curb / sidewalk modifications at the intersection of Washington Avenue and Espanola Way to incorporate "bump-outs"; landscaping plan revisions to the Washington Avenue median between 5th and 6th Streets; and plan revisions to accommodate the City's construction sequence restrictions. Invitation to Bid No. 22-02/03 (the "bid") was issued on April 23, 2003 with an opening date of September 16, 2003. A pre-proposal conference to provide information to firms considering submitting a response was held on May 8, 2003. This Bid was issued simultaneously on DemandStar by Onvia and Bid Net. DemandStar issued bid notices to 846 prospective proposers, resulting in 63 proposers requesting Bid packages. BidNet issued notices to 15 prospective proposers, resulting in 13 proposers requesting bid packages. These two efforts resulted in the receipt of five (5) proposals, by firms, in response to the Bid proposal (in alphabetical order): . Burkhardt Construction, Inc. . Central Florida Equipment . Danella Construction Corp. . MCM Engineers and General Contractors . Ric-Man International, Inc. The City Managervia Letter to Commission (LTC) No. 208-2003, appointed an Evaluation Committee ("the Committee") consisting of the following individuals: . Fred Beckmann, Committee Chair, Public Works Department Director . Brad Judd, Property Management Division Director . Ronnie Singer, CIP Office, Community Information Manager . Alex Rolandelli, CIP Office, Senior Capital Projects Coordinator . Carla Dixon, CIP Office, Capital Projects Coordinator . Richard Finvarb, City of Miami Beach Property Owner . Charles O. Carreno, Hazen and Sawyer, Deputy Program Manager and Design Criteria Professional (non-voting member) On September 26, 2003, the Committee convened and was provided with the project overview and background information by Mr. Charles O. Carreno, Deputy Program Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 3 of 8 Manager and Design Criteria Professional. Additionally, the Committee was provided with references secured by the Procurement staff for each individual firm. They discussed the following Bid evaluation criteria and the corresponding weights. The Committee based its recommendations upon a qualitative (evaluation criteria) and quantitative (price) criteria. A maximum of 100 points could be assigned to any Bidder, with a maximum of 60 points for the qualitative criteria and 40 points for the quantitative criteria. The Qualitative criteria and weights which were used to evaluate and rank the respondents were: . Qualifications . Availability . Past Work . References 25 Points 5 Points 20 Points 10 Points All five firms provided presentations followed by question and answer sessions. During deliberations, the Committee members discussed their individual scores and ranking ofthe five firms and arrived at the following Committee ranking: Burkhardt Central Florida Danella MCM Enaineers Ric-Man Fred Beckmann 53 (1) 36 (3) 23 (5) 31 (4) 51 (2) Brad Judd 51 (2) 49 (3) 39 (5) 45 (4) 57 (1) Ronnie Singer 60 (1) 48 (3) 30 (5) 40 (4) 55 (2) Alex Rolandelli 58 (1) 46 (3) 32 (5) 43 (4) 51 (2) Carla Dixon 54 (2) 53 (3) 41 (5) 49 (4) 56 (1) Richard Finvarb 60 (1) 30 (3) 25 (4) 25 (4) 51 (2) RANKINGS (1 ) (3) (5) (4) (2) QUALITATIVE EVALUATION SCORING AND RANKING RESULTS: . First: Burkhardt Construction, Inc. 336=56 (Points) . Second: Ric-Man International Inc. 321=53.5 (Points) . Third: Central Florida Equipment 262=43.66 (Points) . Fourth: MCM Engineers and General Contractors 233=38.83 (Points) . Fifth: Danella Construction Corp. 190=31.66 (Points) On the Quantitative portion of the selection process the Committee agreed to only open the price proposals for the top three ranked firms pursuant to the process enumerated in the Bid. Immediately after the Qualitative portion of the process was completed, the Procurement Director publicly opened the sealed Price Proposals for Burkhardt Construction, Inc., Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 4 of 8 Central Florida Equipment and Ric-Man International Inc., the top three ranked firms. The Committee then ranked the 3 firms according to the bid amount. As stated in the bid documents, only the Bidder with the lowest bid price would receive the full 40 point total. The remaining ranked bidders would be allotted a point total based upon a methodology to be determined by the Evaluation Committee. The Evaluation Committee decided to rank NO.2 and NO.3 bidders in the following manner: (1) Ric-Man is the lowest bidder at $13,300,000 and received the full 40 points (100% = 40 points). Remaining points would be assigned according to a percentage amount that would indicate how far off was the bid amount from the lowest bidder. (a) The No. 2 bidder Central Florida Equipment had a bid price of $13,477,245 which is 101.5%, which would equal 1.5 difference in price from the NO.1 bid price. (b) The NO.3 bidder Burkhardt Construction had a bid of $22,971,560 which was 172.70%, which would equal 72.70 difference in price from the NO.1 bid price. (2) The amount differentials for NO.2 and NO.3 bidder were then deducted from the 100% which gave us an amount of 98.5% for the No.2 bidder and 27.3% for the No. 3 bidder. (3) These two amounts were then multiplied by 40 which provided the sum of the points accessed for Bidder No.2, Central Florida with 39.40 points and Bidder No. 3, Burkhardt Construction with 10.92 points. The following is the breakdown and the points assessed for each bid: Ric-Man International Central Florida Equipment Burkhardt Construction, Inc., $13,300,000.00 $13,477,245.00 $22,971,560.00 40 Points 39.40 Points 10.92 Points The points were added to the Qualitative portion and the total points were then tallied as follows: Burkhardt Central Florida Ric-Man Qualitative: 56 43.66 53.50 Quantitative: 10.92 39.40 40.00 TOTALS: 66.92 83.06 93.50 RANKING: (3) (2) (1 ) Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 5 of 8 As indicated, the top-ranked firm was Ric-Man. The following is a summary of Ric-Man's proposed project team, personnel, sample projects, and references as provide in their bid. RECOMMENDED PROJECT TEAM QUALIFICATIONS AND EXPERIENCE SUMMARY Ric-Man International, Inc. Ric-Man International, Inc. is a general contractor that specializes in roadway and underground construction. They have accumulated approximately 20 years of experience working on various projects in South Florida. Founded in the Pompano Beach area in 1983, Ric-Man International, Inc. employs 90 people. The staff includes experienced graduate engineers and building construction managers with local design-build experience. Each project is staffed with an experienced project manager with a proven history of performance for the company. PBS&J Post, Buckley, Schuh, and Jernigan, Inc. is Ric-Man's proposed engineering and design sub-consultant. PBS&J is ranked by Engineering News-Record among the nation's 5th largest design firms and is ranked 15th in the transportation category. The company was founded in the Miami area in 1960 and since has established presence throughout Florida. Having 25 Florida offices and encompassing 1,200 qualified professional personnel PBS&J brings strong resources that can be utilized to provide a successful design-build project for the City of Miami Beach. TEAM PERSONNEL (Summary): David Mancini: Mr. Mancini will provide oversight management for the Washington Avenue Project. Mr. Mancini is the President of Ric-Man International, Inc. and has more than 27 years of experience in streetscape and underground utility projects. Ronald Bell: As Project Manager, Mr. Bell will provide day-to-day management of the project. He will also serve as the primary point of contact with the City personnel. Mr. Bell is the Director or Operations for Ric-Man International, Inc. He is a certified General Contractor with more than 30 years of experience and expertise in estimating, scheduling, project supervision, cost analysis, and damage evaluation. Remo Lafrate: Remo Lafrate will serve as the designated underground utility superintendent. Currently, Mr. Lafrate coordinates and supervises construction operations for Ric-Man's sanitary sewer, water mains, storm sewers, and pump stations, among other things. Mr. Lafrate's experience encompasses more than 38 years. Patricia Carney, P.E. (PBS&J): is the designated design manager. She will provide hands-on direction to the design group for this design-build project. Ms. Carney has more than 13 years experience in the design and management of major water, wastewater, and storm sewer facility projects. Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 6 of 8 SAMPLE PROJECTS: Hagan Ranch Road Utility and Storm Sewer Installation. This undertaking was a $12.8 million roadway construction project involving widening of Hagen Ranch Road from west Atlantic Avenue to Boyton Beach Boulevard to a four lane road. This work also includes replacement and improvement of various utilities such as water mains, force mains, and storm sewers. CCNIP Washington Park Bid Package No.5 Watermain Replacement and Stormwater Sewer. This project was a $8.9 million dollar neighborhood improvement project consisting of replacement of all existing water main, storm drainage, and roadway infrastructure. Additionally, the project included beautification of right-of-way areas such as sidewalk, curb and gutter, and landscaping. NIP North Andrews Gardens Storm Drainage, Water, Sewer, Paving Improvements. This project was a $5.8 million dollar neighborhood improvement consisting of replacement of all existing water mains, sanitary sewers, storm drains, swales, roadways, and sidewalks. This work was completed throughout a residential area which required Ric-Man to maintain access to homes and streets at all times. REFERENCES: Additionally, the Procurement staff secured the following references for Ric-Man International, Inc. City of Deerfield Beach "Outstanding attention to quality!" Larry R. Deetjen, City Manager Broward County Office of Environmental Services "Very good public relations skills, the residents like them" Pat MacGregor, Project Manager Palm Beach County BOCC "Very good! Job went very well." Joe Tenecredi, Project Manager Arcadia Reese Macon & Associates, Inc. "Excellent performance and resources available to get the job done right." Thomas C. Jensen, Project Manager Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 7 of 8 Proiect BudQet and FundinQ Considerations As noted above, the lowest and best Bid for the project, which was received from Ric-Man International, was $13,300,000. The current construction funding for the project is approximately $9.5 million, which excludes a 5% contingency amount that has been set aside. Typically, a 10% contingency allowance is provided for, but the amount has been reduced to 5% for this project because the design build approach being used should minimize project changes. Based on a $9.5 million dollar construction budget and Ric- Man's total bid of $13.3 million, there is a project shortfall of approximately $3.8 million. There are a number of possible strategies for resolving the funding shortfall. First, the $13,300,000 bid includes a number of add alternate, or optional, items. The actual base bid is approximately $12 million dollars. It is possible that the some of the add alternate items may be determined to be unnecessary. Others may be eligible for South Pointe or City Center RDA funding. A critical component of the negotiation process will be the City's determination of the need for the add alternate items as well as possible funding sources for those determined to be required. Given Ric-Man's base bid of $12 million and project construction funding of $9.5 million, there remains a shortfall of approximately $2.5 million. It is possible that the base bid work within the RDA areas of the project was underestimated in the funding process and that the actual cost of these items in the estimate may be used to substantiate additional RDA funding. Beyond the referenced RDA funding, it is unlikely that other sources of additional project funding will be identified and/ or requested; this issue will be addressed during the negotiation process. Reducing the scope of proposed drainage improvements is another possible approach for reducing project cost to match available funding. However, this approach could result in the failure of the project to adequately and reasonably address the drainage problems on the street that have been the source for many years of very vocal and persistent complaints made by numerous affected property owners and merchants. In addition, stormwater funding can be used for both underground drainage work as well as above ground work that is related to drainage such as the regrading and repaving of the roadway to provide for better conveyance of water to inlets. If the stormwater funding was eliminated or substantially reduced, there would be a funding shortfall for above groundwork that would need to be resolved. A similar situation exists with most of the other funding sources for the project, including Water and Sewer Bond funds, City Center and South Pointe RDA funds, and Transit Tax funds. Restrictions on the use of these funds requ ire that any value engineering of the project undertaken be done very carefully in order to be effective. In any case, the goal of the negotiation effort will be to resolve the project budget issues in a manner that will allow the required improvements to be built utilizing existing funding and any additional funding that may be identified. Only through the negotiation process will the Administration be able to make specific determinations on funding and project elements. Commission Memo BID 22-02/03 - Design-Build Services for Washington Avenue Improvements Phases 2, 4 and 5 October 15, 2003 Page 8 of 8 CONCLUSION The Administration recommends that the Mayor and City Commission adopt the attached resolution which authorizes the Administration to enter into negotiations with Ric-Man International, Inc., lowest and best Bidder; pursuant to Invitation to Bid (ITB) No. 22-02/03, for Design/Build Services for Washington Avenue Improvements Phases 2, 4 and 5; and should the Administration not be able to negotiate and Agreement with Ric-Man International, Inc., Authorize the Administration to reject all remaining Bids. T:\AGENDA\2003\oct1503\regularlWashingtonAvenueFinaIMemo.doc