Resolution 2020-31434 RESOLUTION NO. 2020-31434
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE LAND USE AND
SUSTAINABILITY COMMITTEE'S RECOMMENDATION AND DIRECTING
STAFF TO PROCEED WITH OPTION 2,AS SET FORTH IN THIS RESOLUTION,
FOR THE COMPLETION OF THE ROADWAY CONSTRUCTION OF THE
VENETIAN ISLANDS BID PACKAGE 13C, RIGHT-OF-WAY NEIGHBORHOOD
IMPROVEMENT PROJECT.
WHEREAS, on September 9, 2009, pursuant to Request for Qualifications (RFQ) No. 42-
08/09, the Mayor and City Commission adopted Resolution No. 2009-27161, approving and
authorizing the Mayor and City Clerk to execute a Professional Services Agreement with
Schwebke-Shiskin &Associates, Inc. (SS&A); and
WHEREAS, SS&A was tasked to provide professional services for the design, bid, award,
field inspection, and construction administration of the Venetian Island Bid Package 13c, Right-
Of-Way Neighborhood Improvement Project(Project); and
WHEREAS, on March 13th, 2013, pursuant to Invitation to Bid (ITB) No. 49-11/12,
for the Right-of-Way Infrastructure Improvement Program —Venetian Islands Bid Package
13C, the City Commission adopted Resolution No. 2013-28163, recommending the award
of a construction contract to Lanzo Construction Co. Florida, (Lanzo) in the amount of
$11,373,491 including contingency; and
WHEREAS, the scope of work included, site preparation, earthwork, demolition, storm
drainage, roadway paving, sidewalks, concrete valley gutters, watermain installation and street
lighting on the islands of San Marino, Di Lido and Rivo Alto; and
WHEREAS,the Notice to Proceed (NTP2)for construction was issued November 4, 2013;
and
WHEREAS, between February 2014 and January 2016, the City's Storm Water
Management Master Plan was revised, following the recommendations of the Mayor's Blue-
Ribbon Panel on Flooding and Sea Level Rise and of the Flooding Mitigation Committee; and
WHEREAS, an enhanced stormwater system criteria was implemented in the Project, and
revisions to the design were made by SS&A that included an upgraded stormwater system with
no road raising consideration due to the advanced construction stage of the project; and
WHEREAS, the revised design included installation of six new stormwater pump stations
within existing easements in the three islands and the installation of the pumps at these proposed
locations, was heavily opposed by the residents and required several months of research and
negotiations to achieve approval; and
WHEREAS, consequently, various change orders were issued to Lanzo's contract,
incorporating an upgraded stormwater system with upsize pipes and six new stormwater
pump stations with all related equipment and structures, as well as other unforeseen
conditions; and
WHEREAS, the contractor encountered unsuitable materials (muck) during excavation
activities, an unforeseen condition, and the project team determined that the appropriate
mitigation was to implement a revised road restoration detail, by using a mixture of the existing
and new subgrade materials to be used as a subgrade and installing Geosynthetic Grid
(GEOGRID) between the limerock base and the subgrade; and
WHEREAS, this decision was made in consideration of the load capacity restrictions
of the Venetian Causeway bridges, implemented in 2014 by Miami-Dade County and FDOT,
which affected the allowable weight loads the trucks could haul for subgrade and base
materials, reducing the truck load capacity by 40%, making removal and import of large
amounts of materials impractical; and
WHEREAS, all drainage, watermain, sewer and lighting work has been completed,
including all six (6) stormwater pump stations and the restoration of the easements, and the
remaining contractual scope of work includes the placement of the final lift of asphalt; and
WHEREAS, the total construction contract amount to date, including added scope and
all other changes is $28,671,330; and
WHEREAS, installation of the first lift of asphalt began in San Marino Island on May
20, 2015 and within the first month of installation, cracks became evident and following the
installation of the first lift of asphalt on the other two islands, similar cracks developed in
varying degrees; and
WHEREAS, Lanzo was notified of the pavement failures and they attempted to correct
the issue by applying a crack filler designed for asphalt repairs and Lanzo also applied a
micro-resurfacing layer on some areas in San Marino Island; and
WHEREAS, the project did not include raising of the roads and the final road
elevations range from 1.06' to 4.86' NAVD in San Marino Island, from 1.86' to 6.16' NAVD in
DiLido Island and from 2.06' to 3.46' NAVD in Rivo Alto Island; and
WHEREAS, during construction of the roadway system, the project's Resident Project
Representative (RPR), SS&A, issued Lanzo more than sixty (60) notices of non-compliance,
where more than fifteen of the notices related to improper mixing of subgrade materials,
placement of asphalt during wet conditions, and improper handling of backfill material; and
WHEREAS, SS&A and the City did not accept Lanzo's attempted asphalt repairs, as
they did not address the cause of the premature asphalt cracking and in order to determine
the underlying cause, and following SS&A's recommendations, the City tasked the project's
geotechnical firm, Universal Engineering (Universal), with performing geotechnical testing on
the roadway of all three Islands; and
WHEREAS, test results common to all three islands, as provided by Universal,
indicated that some areas of the roadway have less than the required overall limerock base
and stabilized subgrade thickness; and
WHEREAS, additionally, results in some areas showed the migration of silt into the
limerock base, thereby reducing the pavement assembly strength; and
WHEREAS, at the City's direction, SS&A analyzed Universal's geotechnical data and
was directed to submit a roadway design with a design life of 20 years and SS&A determined
that additional testing was required and hired the professional services of a third-party
geotechnical consultant, NV5; and
WHEREAS, NV5 conducted the additional testing and prepared a report that included
alternatives ranging from full-depth section replacement, to partial replacement and/or
reworking of the existing materials and as a result, SS&A proposed a roadway remediation
design which incorporates several assemblies varying from total road reconstruction to simply
placing an asphalt overlay; and
WHEREAS, upon review of all tests reports and recommendations, City staff has identified
four options to proceed with the completion of the project:
Option No.1
Proceed with SS&A's proposed restoration,which includes full-depth section replacement
in some areas, partial replacement and/or reworking of the existing materials, in other areas, and
provides a pavement design life of 20 years. This option is highly invasive and causes
considerable impact to the residents. In addition, it does not address sea level rise impacts to the
road base, requiring reconstruction to address the road raising, prior to the end of the design life
of the road. Estimated cost is nearly $3 Million. The work could be completed in 6 months;
Option No. 2
Milling the existing 1-inch lift of asphalt, scarifying the base rock, rework the base rock
where needed and placement of 2 or more inches of new asphalt matching the proposed elevation
on the original plans. The three islands would be added to the City's Road Elevation Strategy
and Neighborhood Project Prioritization program, for a future roadway improvement project. This
option is less invasive than option No.1 and provides a uniform restoration process to the
pavement of all three islands. This option will add an estimated pavement life of several years.
Estimated cost $2,4 Million. The work could be completed within 4 months;
Option No. 2B
Milling the existing 1-inch lift of asphalt on sections of the roadway and overlaying with 2
inches of new asphalt the entire roadway matching the proposed elevation on the original plans.
The three islands would be added to the City's Road Elevation Strategy and Neighborhood Project
Prioritization program, for a future roadway improvement project. This option is the least invasive
and less impactful to the residents providing an estimated pavement life of several years.
Estimated cost$1 Million. The work could be completed within 3 months;
Option No. 3
Proceed with full reconstruction of the roadway, raising the roads to the current or new
criteria. This could entail re-design of the stormwater system to meet the determined criteria, in
addition to the road raising and harmonization efforts, ultimately resulting in a lengthy construction
process and costs in excess of$10 million; and
WHERAS, the data obtained indicates that the roadway failure is attributable to the
construction deficiencies, and among other things, exacerbated by the interaction of the high
ground water table with the roadway assembly; and
WHEREAS, the City is currently withholding $1,361,429 in retainage and approximately
$1,355,000 remaining in the contract for work not performed, for a total of approximately
$2,716,900, and the retainage is the portion of the contract price intentionally withheld until the
work is substantially complete to assure the contractor will satisfy its obligations and complete a
construction project; and
WHEREAS, City staff has met with and presented the options to representatives from the
Venetian Islands Homeowner's Association (VIHA), and VIHA agreed with staff that Option 2 is
reasonable in addressing some of their concerns; and
WHEREAS,on September 22, 2020, City staff presented the three options detailed above
for the completion of the Project to the Land Use and Sustainability Committee (LUSC); and
WHEREAS,the different options were discussed, and the Venetian Islands Homeowner's
Association, represented by their president, expressed their support for Option 2; and
WHEREAS, the LUSC asked staff to bring a Resolution to the full City Commission in
support of Option 2, with the direction to encourage the City Administration to start working on
finalizing the plan and begin work as soon as possible; and
WHEREAS, the Administration recommends that the City Commission approve the
Resolution.
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
hereby accept the Land Use and Sustainability Committee's recommendation and direct City
Administration to proceed with Option 2, as set forth in this Resolution, for the completion of the
roadway construction of the Venetian Islands Bid Package 13C, Right-of-Way Neighborhood
Improvement Project.
PASSED and ADOPTED this iiiday of Ockber- , 2020.
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Dan Gelber, Mayor
ATTES .
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Rafael E. Granado, City Clerkr ` �"' 1 (O —1 Z
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MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: October 14, 2020
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, ACCEPTING THE LAND USE AND
SUSTAINABILITY COMMITTEE'S RECOMMENDATION AND DIRECTING
STAFF TO PROCEED WITH OPTION 2 FOR THE COMPLETION OF THE
ROADWAY CONSTRUCTION OF THE VENETIAN ISLANDS BID
PACKAGE 13C, RIGHT-OF-WAY NEIGHBORHOOD IMPROVEMENT
PROJECT.
RECOMMENDATION
The Administration recommends proceeding with Option 2.
BACKGROUND/HISTORY
On September 9, 2009, pursuant to Request for Qualifications (RFQ) No. 42-08/09,the Mayor
and City Commission adopted Resolution No. 2009-27161, approving and authorizing the
Mayor and City Clerk to execute a Professional Services Agreement with Schwebke-Shiskin &
Associates, Inc. (SS&A) to provide professional services for the design, bid, award, field
inspection, and construction administration of the Venetian Island Bid Package 13c, Right-Of-
Way Neighborhood Improvement Project.
On March 13th, 2013, pursuant to Invitation to Bid (ITB) No. 49-11/12, for the Right-of-Way
Infrastructure Improvement Program — Venetian Islands Bid Package 13C, the City
Commission adopted Resolution No. 2013-28163, recommending the award of a construction
contract to Lanzo Construction Co. Florida, (Lanzo) in the amount of $11,373,491 including
contingency. The scope of work included, site preparation, earthwork, demolition, storm
drainage, roadway paving, sidewalks, concrete valley gutters, watermain installation and street
lighting on the islands of San Marino, Di Lido and Rivo Alto.
Notice to Proceed (NTP2)for construction was issued effective November 4,2013.
Between February 2014 and January 2016, the City's Storm Water Management Master Plan
was revised, following the recommendations of the Mayor's Blue-Ribbon Panel on Flooding
and Sea Level Rise and of the Flooding Mitigation Committee. As such an enhanced
stormwater system criteria was implemented in the project, and revisions to the design were
made by SS&A. Revisions included an upgraded stormwater system with no road raising
Page 198 of 1576
consideration due to the advanced construction stage of the project. The revised design
included installation of six new stormwater pump stations within existing easements in the three
islands. The installation of the pumps at these proposed locations, was heavily opposed by the
residents and required several months of research and negotiations to achieve approval.
Consequently, various change orders were issued to Lanzo's contract, incorporating an
upgraded stormwater system with upsize pipes and six new stormwater pump stations with all
related equipment and structures, as well as other unforeseen conditions.
The contractor encountered unsuitable materials (muck) during excavation activities, an
unforeseen condition. The project team determined that the appropriate mitigation was to
implement a revised road restoration detail, by using a mixture of the existing and new subgrade
materials to be used as a subgrade and installing Geosynthetic Grid (GEOGRID) between the
limerock base and the subgrade. This decision was made in consideration of the load capacity
restrictions of the Venetian Causeway bridges, implemented in 2014 by Miami-Dade County
and FDOT, which affected the allowable weight loads the trucks could haul for subgrade and
base materials, reducing the truck load capacity by 40%, making removal and import of large
amounts of materials impractical.
Currently, all drainage, watermain, sewer and lighting work has been completed, including all six
(6) stormwater pump stations and the restoration of the easements. The remaining contractual
scope of work includes the placement of the final lift of asphalt. The total construction contract
amount to date, including added scope and all other changes is $28,671,330.
ANALYSIS
Installation of the first lift of asphalt began in San Marino Island on May 20, 2015. Within the first
month of installation, cracks became evident. Following the installation of the first lift of asphalt
on the other two islands, similar cracks developed in varying degrees. Lanzo was notified of the
pavement failures and they attempted to correct the issue by applying a crack filer designed for
asphalt repairs. They also applied a micro-resurfacing layer on some areas in San Marino
Island.
The project did not include raising of the roads. The final road elevations range from 1.06' to
4.86' NAVD in San Marino Island, from 1.86'to 6.16' NAVD in DiLido Island and from 2.06' to
3.46'NAVD in Rivo Alto Island.
During construction of the roadway system, the project's Resident Project Representative
(RPR), SS&A, issued Lanzo more than sixty (60) notices of non-compliance, where more than
fifteen of the notices related to improper mixing of subgrade materials, placement of asphalt
during wet conditions, and improper handling of backfill material.
SS&A and the City did not accept Lanzo's attempted asphalt repairs, as they did not address
the cause of the premature asphalt cracking. In order to determine the underlying cause, and
following SS&As recommendations, the City tasked the project's geotechnical firm, Universal
Engineering (Universal), with performing geotechnical testing on the roadway of all three
Islands.
Test results common to all three islands, as provided by Universal, indicated that some areas of
the roadway have less than the required overall limerock base and stabilized subgrade
Page 199 of 1576
thickness.Additionally, results in some areas showed the migration of silt into the limerock base,
thereby reducing,the pavement assembly strength.
At the City's direction, SS&A analyzed Universal's geotechnical data and was directed to submit
a roadway design with a design life of 20 years. SS&A determined that additional testing was
required and hired the professional services of a third-party geotechnical consultant, NV5. NV5
conducted the additional testing and prepared a report that included alternatives ranging from
full-depth section replacement, to partial replacement and/or reworking of the existing materials.
As a result, SS&A proposed a roadway remediation design which incorporates several
assemblies varying from total road reconstruction to simply placing an asphalt overlay.
Upon review of all tests reports and recommendations, city staff has identified four options to
proceed with the completion of the project:
Option No.1
Proceed with SS&A's proposed restoration, which includes full-depth section replacement in
some areas, partial replacement and/or reworking of the existing materials, in other areas, and
provides a pavement design life of 20 years. This option is highly invasive and causes
considerable impact to the residents. In addition, it does not address sea level rise impacts to
the road base, requiring reconstruction to address the road raising, prior to the end of the
design life of the road. Estimated cost is nearly $3 Million. The work could be completed in 6
months.
Option No. 2
Milling the existing 1-inch lift of asphalt, scarifying the base rock, rework the base rock where
needed and placement of 2 or more inches of new asphalt matching the proposed elevation on
the original plans. The three islands would be added to the City's Road Elevation Strategy and
Neighborhood Project Prioritization program, for a future roadway improvement project. This
option is less invasive than option No.1 and provides a uniform restoration process to the
pavement of all three islands. This option will add an estimated pavement life of several years.
Estimated cost$2,4 Million. The work could be completed within 4 months.
Option No. 2B
Milling the existing 1-inch lift of asphalt on sections of the roadway and overlaying with 2 inches
of new asphalt the entire roadway matching the proposed elevation on the original plans.The
three islands would be added to the City's Road Elevation Strategy and Neighborhood Project
Prioritization program, for a future roadway improvement project. This option is the least
invasive and less impactful to the residents providing an estimated pavement life of several
years. Estimated cost$1 Million. The work could be completed within 3 months.
Option No. 3
Proceed with full reconstruction of the roadway, raising the roads to the current or new criteria.
This could entail re-design of the stormwater system to meet the determined criteria, in addition
to the road raising and harmonization efforts, ultimately resulting in a lengthy construction
process and costs in excess of$10 million.
The data obtained indicates that the roadway failure is attributable to the construction
Page 200 of 1576
deficiencies, and among other things, exacerbated by the interaction of the high ground water
table with the roadway assembly.
The City is currently withholding $1,361,429 in retainage and approximately $1,355,000
remaining in the contract for work not performed, for a total of approximately $2,716,900.
Retainage is a portion of the contract price deliberately withheld until the work is substantially
complete to assure the contractor will satisfy its obligations and complete a construction project.
City staff has met with and presented the options to representatives from the Venetian Islands
Homeowner's Association (VI HA), who found option 2, as recommended by staff, reasonable
in addressing some of their concerns.
On September 22, 2020, city staff presented the options detailed above, for the completion of
the project, to the Land Use and Sustainability Committee (LUSC). The different options were
discussed, and the Venetian Islands Homeowner's Association, represented by their president,
expressed their support for option 2. The LUSC asked staff to bring a resolution to the full
Commission in support of option 2 with the direction to encourage city administration and the
City's Attorney's office to start working on finalizing the plan and begin work as soon as
possible.
CONCLUSION
The Administration recommends acceptance of the Land Use and Sustainability Committee
recommendation to proceed with the completion of the project by implementing option 2.
Applicable Area
South Beach
is this a"Residents Right Does this item utilize G.O.
to Know" item. pursuant to Bond Funds?
City Code Section 2-14?
Yes No
Legislative Tracking
Capital Improvement Projects
ATTACHMENTS:
Description
o Resolution
Page 201 of 1576