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2004-25463 ResoRESOLUTION NO. 2004-25463 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A GUARANTEED MAXIMUM PRICE CONTRACT WITH RIC-MAN INTERNATIONAL, INC., AS THE LOWEST AND BEST BIDDER PURSUANT TO INVITATION TO BID NO. 22-02103, FOR DESIGN BUILD SERVICES TO DESIGN AND CONSTRUCT THE WASHINGTON AVENUE IMPROVEMENTS - PHASES 2, 4, AND 5 (THE PROJECT), IN AN AMOUNT NOT TO EXCEED $12,104,429; AND APPROPRIATING $2,168,274.08 FROM CITY CENTER REDEVELOPMENT AREA TAX INCREMENT FUNDS; $686,211.17 FROM SOUTH POINTE REDEVELOPMENT AREA TAX INCREMENT FUNDS; $1,141,570.62 FROM STORMWATER REVENUE BONDS- SERIES 2000; $37,246.29 FROM WATER & SEWER BONDS - SERIES 2000 INTEREST; AND $179,985.15 FROM PARKING ENTERPRISE FUNDS, TO BE USED FOR THE CONSTRUCTION COSTS, PROJECT CONTINGENCY RELATING TO OWNER REQUESTED CHANGES, AND ClP OFFICE PROJECT MANAGEMENT FEES. WHEREAS, the City has been pursuing the improvement of Washington Avenue in recognition of its status as one of the City's significant pedestrian and vehicular thoroughfares; and WHEREAS, a Master Plan consisting of five phases of improvements was previously developed and partially implemented; and WHEREAS, Phases 1 (sidewalk, roadway, and drainage improvements, and the planting of coconut trees from 6th to 11th Streets) and 3 (reconstruction of the medians and the installation of shade trees, landscaping, irrigation, and pavers from 6th to 16th Streets) have been completed; and WHEREAS, planning for the remaining Phases 2, 4, and 5 have been underway for some time; and WHEREAS, the scope consists of the following: Phase 2 - curb, gutter and sidewalk replacement, drainage and paving improvements, new street lighting and the planting of coconut trees from 11th to 16th Streets; Phase 4 - roadway and drainage improvements and new street lighting from 6th to 11th Streets; and Phase 5 - curb, gutter and sidewalk replacement, roadway and drainage improvements, street lighting, planting of coconut trees and median landscaping from 5th to 6th Streets, and median landscaping from 16th Street to Lincoln Road; and WHEREAS, the City determined that a design-build approach (one project consultant team with both design and construction expertise and qualifications prepares construction documents and constructs the project) would be the best method for expediting the completion of these remaining phases of the Project; and WHEREAS, a Design Criteria Package (DCP), required by State Statute in a design / build process, for the Project was prepared by the City's right-of-way Improvements Program Manager, Hazen & Sawyer, and includes conceptual construction drawings and technical specifications for the civil, electrical, and landscaping disciplines; and WHEREAS, the City has obtained a number of required project permits from the Miami-Dade Department of Health for water main construction; the Miami-Dade Department of Environmental Resources Management for storm water collection and disposal; and the State of Florida Department of Transportation for construction within the State right-of-way; and WHEREAS, 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 Street; revision / modifications at the intersection of Washington Avenue and Espa~ola Way to incorporate "bump-outs"; landscaping plan revisions to the Washington Avenue median between 5th and 6th Streets and between 16th Street and Lincoln Road; and plan revisions to accommodate the City's construction sequence restrictions; and WHEREAS, for the Washington Avenue Improvement Project, the Design Build Firm (DBF) will be responsible for the design, construction and construction management of Phases 2, 4, and 5; and WHEREAS, Invitation to Bid No. 22-02/03 (the Bid) was issued on April 23, 2003, and a pre-proposal conference was held on May 8, 2003 to provide information to firms submitting a response; and WHEREAS, the City received responses to the Bid on September 16, 2003, and a Selection / Evaluation Committee reviewed the qualifications of the respondents and ranked the three top firms; and WHEREAS, the City Commission authorized the Administration, on October 15, 2003, to initiate negotiations with the DBF of Ric-Man International, Inc. (RMI) since the submitted price by RMI was approximately 26% over the City's available funding to perform the Project; and WHEREAS, several meetings were subsequently held between representatives from the City and RMI to review the scope of work and of services to be provided; and WHEREAS, the base bid of the Project generally consists of the design, permitting and construction of the following improvements: water main distribution; sanitary sewer collection; storm water collection / disposal; street lighting; electrical, curb / gutter; sidewalk; and asphalt milling / resurfacing of the Washington Avenue corridor, from 5th Street to 16th Street; and WHEREAS, the total base bid of the Project is $11,900,025, consisting of $11,800,000 for Base Bid; $100,000 for Permit Allowance; and $25 as consideration of Indemnification; and WHEREAS, the Bid also requested bidders to provide pdces for Alternate Bid Items; and WHEREAS, the Administration recommends awarding the alternate bid items #7: Washington Avenue & 16th Street storm water pump station planning, design and permitting, in the amount of $134,554, to resolve the flooding experienced in the area during rainfall events, and #8: Lincoln Road median, from Washington Avenue to Collins Avenue, for the planning, design and permitting in the amount of $69,850; and WHEREAS, award of the Bid to RMI, in the amount of $12,104,429, will yield an agreement with a qualified contractor for the Project with a guaranteed maximum price; and WHEREAS, the Total Award Price is $12,104,429, consisting of: $11,900,025 for Total Base Bid, $134,554 for the Storm Water Pump Station at 16th Street; and $69,850 for the Lincoln Road median; and WHEREAS, in addition, $605,221.45 is requested to be appropriated for Project Contingency relating to Owner-Requested Changes, and $419,418.46 for ClP Office Project Management Fees; and WHEREAS, construction of the Project will be implemented over a period of eighteen (18) months, with an initial construction start date projected to be 150 days from the issuance of a Notice to Proceed from the City; and WHEREAS, the contract imposes substantial restriction on the Contractor that are designed to preserve access to businesses during the construction period and to limit to the extent possible detrimental impacts to proximate businesses as well; and WHEREAS, although RMI's bid exceeds the City's estimate by 26%, staff does not believe that there is a likelihood of receiving a significantly better price if bids are rejected and the Project is re-bid; and WHEREAS, the time required to re-bid the Project is estimated to be a minimum of six months; combined with the required engineering work that is needed to construct the Project and the stated desire by the businesses within the corridor to have the construction project span only one "season", a re-bidding of the Project would delay the Project by a minimum of 1 year; and WHEREAS, as the Project planning and design began in the early to mid- nineties, with a then anticipated construction completion date prior to 2000, the Administration's recommendation is to proceed with the Project's lowest and best bidder, Ric-Man International, Inc.. 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 approve and authorize the Mayor and the City Clerk to execute a Guaranteed Maximum Price Contract with RIC-MAN International, Inc., as the lowest and best bidder pursuant to Invitation to Bid No. 22-02/03, for Design-Build Services to design and construct the Washington Avenue Improvements- Phases 2, 4 and 5 (the Project), in the amount not-to-exceed $12,104,429; and appropriate $2,168,274.08 from the City Center Redevelopment Area Tax Increment Fund; $686,211.17 from South Pointe Redevelopment Area Tax Increment Fund; $1,141,570.62 from Storm Water Revenue Bonds - Series 2000. $37,246.29 from Water & Sewer Bond- Series 2000 Interest; and $179,985.15 from Parking Enterprise Funds to be used for Project construction costs, Contingency relating to Owner-Requested Changes, and ClP Office Project Management Fees. PASSED and ADOPTED this 14thday of January, 2004. ATTEST: CITY CLERK APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION Date Condensed Title: CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY A Resolution authorizing the Mayor and City Clerk to execute a Guaranteed Maximum Price Contract with RIC-MAN Intemational, Inc. for Design-Build Services to design and construct the Washington Avenue Improvements- Phases 2, 4, and 5 in the amount not-to-exceed $12,104,429; and appropriating $2,168,274.08 from the City Center TIF; $686,211.1 7 from South Pointe TIF; $1,141,570.62 from Storm Water Revenue Bonds - Series 2000. $37,246.29 from Water and Sewer Bond - Series 2000 Interest; and $179,985.15 from Parking Enterprise Funds to be used for Project construction costs, Contingency relating to Owner-Requested Changes, and CIP Office ProJect Management Fees. Issue: The City has been pursuing the improvement of Washington Avenue in recognition of its status as one of the City's significant pedestrian and vehicular thoroughfares. A Master Plan consisting of five phases of improvements was previously developed and partially implemented. Phases I (sidewalk, roadway, and drainage improvements, and the planting of coconut trees from 6th to 11th Streets) and 3 (reconstruction of the medians and the installation of shade trees, landscaping, irrigation, and pavers from 6th to 16th Streets) have been completed. Planning for the remaining phases 2, 4, and 5 have been underway for some time. The scope consists of the following: Phase 2 - curb, gutter and sidewalk replacement, drainage and paving improvements, new street lighting and the planting of coconut trees from 11th to 16th Streets; Phase 4 - roadway and drainage improvements and new street lighting from 6th to 11th Streets; Phase 5 - curb, gutter and sidewalk replacement, roadway and drainage improvements, str,eet lighting, planting of coconut trees and median landscaping from 5th to 6th Streets, and median landscaping from 16u' Street to Lincoln Road. The City determined that a design-build approach would be the best method for expediting the completion of these remaining phases of the project. A Design Criteria Package (DCP), required by State Statute in a design / build process, was prepared by the City's ROW Improvements Program Manager, Hazen & Sawyer, and includes conceptual construction drawings and technical specifications. The City has obtained a number of required project permits. The Design Build Firm (DBF) will be responsible for the design, construction, and construction management of phases 2, 4, and 5. In addition, a new median on Lincoln Road, from Washington Avenue to James Avenue, has been identified in the DCP to obtain a price to plan, design, and permit. Once the appropriate permit(s) have been obtained, the City will negotiate a change order to implement the improvements as anticipated at both locations. However, funding for these prospective change orders is not included in this pricing. Invitation to Bid No. 22-02/03 was issued on April 23, 2003. The City Commission authorized the Administration on October 15, 2003 to initiate negotiations with the DBF of Ric-Man International, Inc. (RMI) since the submitted price by RMI was approximately 26% over the City's available funding to perform the project. The scope of services associated with the base bid provides for the design, permitting, and construction of the referenced improvements. The Total Award Price is $12,104,429 consisting of: $11,800,000 for Base Bid, $100,000 for Permit Allowance, $25 for Consideration of Indemnification, $134,554 for the Storm Water Pump Station at 16th Street, and $69,850 for the Lincoln Road median. In addition $605,221.45 is appropriated for Project Contingency relating to Owner-Requested Changes and $419,418.46 for ClP Office Project Management Fees. The Total Estimated Project Cost is $13,129,068.91. While the contractor was unwilling to reduce the price in negotiations, it was agreed that the contract would be a guaranteed maximum price. This 3rovision has significant value for the proJect. Item Summary/Recommendation: IThe Administration recommends approval of the resolution. Advisory Board Recommendation: NA =inancial Information: iiiiiiiii!iiiiiiiiiiiiiiiii!i!iiii!iiii!ii~iii!i!i!ili $2,168,274.08 CityCenterTIF : iiiiiiiiiiiiiiiiiiiiiiiiiii!ii!iiiiiiiii~ililili!i $686,211.17 South PointeTIF ' i !ii!ii!iiiii!i!ii!ii!!!!iiiiiiiiiiii!!~iiiiilill $1,141,570.62 StormWater Bonds-Series2000 $37,246.29 Water&SewerBonds-Series20001nterest i:i:!:i~i:i:i:i?:ii~i!~i:!~ii~i:!~!:i:i~:iiiiiiiiiSiiiiii! $179,985.15 Parking Enterprise Funds Finance Dept. !!ilili!i!ilil.i!~0taiii!ii!i $4,213,287.31 City Clerk's Office Legislative Tracking' I M. Alexandra Rolandelli n-Offs: AGENDA ITEM DATE CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 ~' ~ www.miamibeachfl.gov To: From: Subject: COMMISSION MEMORANDUM Mayor David Dermer and Date: January 14, 2004 Members of the City Commission Jorge M. Gonzalez ~ City Manager A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A GUARANTEED MAXIMUM PRICE CONTRACT WITH RIC-MAN INTERNATIONAL, INC., AS LOWEST AND BEST BIDDER PURSUANT TO INVITATION TO BID NO. 22-02/03, FOR DESIGN BUILD SERVICES TO DESIGN AND CONSTRUCT THE WASHINGTON AVENUE IMPROVEMENTS - PHASES 2, 4, AND $ (THE PROJECT), IN AN AMOUNT NOT TO EXCEED $12,104,429; AND APPROPRIATING $2,168,274.08 FROM CITY CENTER REDEVELOPMENT AREA TAX INCREMENT FUNDS; $686,211.17 FROM SOUTH POINTE REDEVELOPMENT AREA TAX INCREMENT FUNDS; $1,141,570.62 FROM STORMWATER REVENUE BONDS - SERIES 2000; $37,246.29 FROM WATER AND SEWER BOND - SERIES 2000 INTEREST; AND $179,985.15 FROM PARKING ENTERPRISE FUNDS, TO BE USED FOR THE CONSTRUCTION COSTS, PROJECT CONTINGENCY RELATING TO OWNER REQUESTED CHANGES, AND ClP OFFICE PROJECT MANAGEMENT FEES. ADMINISTRATION RECOMMENDATION Adopt the Resolution. FUNDING The construction contract is valued at $12,104,429.00. An additional $605,221.45 is needed for a project contingency, and an additional $419,418.46 is needed for CIP Office project management fees. The total amount of funding needed for the construction of the project, the project contingency, and the project management fees is $13,129,068.91. Following is a breakdown of the funding currently available in the project budget for the above costs, and the funding to be appropriated through this agenda item, to completely fund the project. City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 2 of 9 Funding Source City Center RDA South Pointe RDA Stormwater Bonds-Series 2000 Water & Sewer Bonds-Series 2000 Fund 301 Resort Tax Transit Tax Water & Sewer Bonds - Series 2000 Interest Parking Enterprise Funds Totals Amount Total Per Already Amount to be Funding Appropriated Appropriated Source $218,133.80 $2,168,274.08 $2,386,407.88 $629,991.00 $686,211.17 $1,316,202.17 $4,135,685.49 $1,141,570.62 $5,277,256.11 $1,704,497.91 - $1,704,497.91 $332,031.00 - $332,031.00 $283,887.40 - $283,887.40 $1,611,555.00 - $1,611,555.00 - $37,246.29 $37,246.29 : $179,985.15 $179,985.15 $8,915,781.60 $4,213,287.31 $13,129,068.91 With regard to the stormwater funding, it is important to note that funds in the amount of $4,135,685.49 have been appropriated and are available for use from the Stormwater Revenue Bonds - Series 2000. Additional stormwater funds totaling approximately $2.4 million have been allocated to the West Avenue Neighborhood Right-of-Way Infrastructure Improvement project. This project is currently approximately $4.5 million short in funding for stormwater improvements, and no stormwater improvements can be constructed until additional funding is found. The Administration recommends reallocating $1,141,570.62 of the stormwater funding that has been allocated to the West Avenue Neighborhood project to the Washington Avenue project to complete fund the stormwater improvements included in the Washington Avenue project. This will leave the West Avenue project approximately $5.6 million short in funding for stormwater improvements. ANALYSIS The City has been pursuing the improvement of Washington Avenue in recognition of its status as one of the City's significant pedestrian and vehicular thoroughfares. A Master Plan consisting of five phases of improvements was previously developed and partially implemented. The phases are as follows: Phase 1- The area from 6th to 11th Streets which consisted of sidewalk, roadway and drainage improvements, and the planting of coconut trees. This construction was completed several years ago. Phase 2 - The area from 11th to 16th Streets which includes curb, gutter and sidewalk replacement, drainage and paving improvements, new street lighting and the planting of coconut trees. Phase 3- The area from 6th to 16th Streets which consisted of the reconstruction of the medians and the installation of shade trees, landscaping, irrigation, and pavers. This work was completed. City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 3 of 9 Phase 4 - The area from 6th to 11th Streets which includes roadway and drainage improvements, and new street lighting. Phase 5 - The area from 5th to 6th Streets which includes curb, gutter and sidewalk replacement, roadway and drainage improvements, street lighting, planting of coconut trees and median landscaping. Planning for the remaining phases 2, 4 and 5 has been underway for some time. The City 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 NE 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. 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 collection and disposal, and from the State of Florida Department of Transportation for construction within the 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 Street; revision / modifications at the intersection of Washington Avenue and Espa~ola Way to incorporate "bump-outs"; landscaping plan revisions to the Washington Avenue median between 5th and 6th Streets and between 16th Street and Lincoln Road; and plan revisions to accommodate the City's construction sequence restrictions. For the Washington Avenue Improvement Project, the Design Build Firm (DBF) will be responsible for the design, construction and construction management of the above noted improvements for Phases 2, 4 and 5 of the Washington Avenue Master Plan. Invitation to Bid (ITB) No. 22-02/03 was issued on April 23, 2003. A pre-proposal conference was held on May 8, 2003 to provide information to firms interested in submitting a response. The City received responses to its Invitation to Bid No. 22-02/03 on September 16, 2003. A Selection / Evaluation Committee reviewed the qualifications of the respondents and ranked the three top firms. The City Commission authorized the Administration on October 15, 2003 to initiate negotiations with the DBF of Ric-Man International, Inc. (RMI) since the submitted price by RMI was approximately 26% over the City's available funding to perform the project. Several meetings were subsequently held between representatives from the City of Miami Beach and RMI to review the scope of work. A summary of meetings held and topics discussed is provided below: City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 4 of 9 Date Meeting Topic October 15, 2003 October 20, 2003 October 27, 2003 October 30, 2003 November 4, 2003 November 6, 2003 November 10, 2003 November 12, 2003 November 18, 2003 November 19, 2003 November 20, 2003 December 2, 2003 December 23, 2003 City Commission Authorization to initiate negotiations Scoping / Negotiation Session Scoping / Negotiation Session Scoping / Negotiation Session Internal City meeting to discuss scope of work Meeting w. City Manager to discuss status Scoping / Negotiation Session Meeting w. M-DDERM to review drainage permit status / requirements Internal City meeting to discuss scope reductions / scope additions Internal City meeting to discuss HPB requirements Internal City meeting to discuss scope of work Scoping / Negotiation Session Scoping / Negotiation Session In general, the primary focus of the negotiations focused upon the scope of services to be provided by RMI. The base bid of the project generally consists of the design, permitting and construction of the following improvements: · water main distribution · sanitary sewer collection · storm water collection / disposal · street lighting · electrical · curb/gutter · sidewalk · asp, halt milling / resurfacing of the Washington Avenue corridor from 5th Street to 16u' Street. The scope of services associated with the base bid provides for the design, permitting and construction of the referenced improvements. The total base bid of the project is $11,900,025 as presented below: City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 5 of 9 Item Amount RMI Base Bid Permit Allowance Consideration for Indemnification $11,800,000 100,000 25 Total Base Bid $11,900,025 It is important to note that the base bid also includes the necessary effort to plan, design and permit signature landscape improvements within the medians between 5th and 6th Streets and between 16th Street and Lincoln Road, the latter of which was not originally included in the Master Plan for the project. The base bid does not include the cost to construct the proposed improvements. The DBF will obtain an Order from the Historic Preservation Board for the signature median improvements. Once the Order has been obtained, the City will negotiate a change order for the implementation of the signature landscape median improvements with the DBF. Approximately $125,000 in signature median improvements is anticipated at both locations. Therefore, a change order in the approximate amount of $250,000 is anticipated at this time if the designed landscape improvements are to be implemented. However, funding for these prospective change orders is not included in this pricing. An additional appropriation to construct this work will be presented to the City Commission for approval once a final, recommended, solution and price is formalized. The ITB also requested bidders to provide prices for alternate bid items. The alternate bid items recommended for award are as follows: Bid Item 7: Washington Avenue & 16~ Street storm water pump station plannin(~, desiqn and permittin_cl The area along 16th Street and Washington Avenue experiences flooding during rainfall events. The base bid for the project does not address storm water collection and disposal facilities north of 16th Street. Properties along the Washington Avenue and 16th Street corridors are impacted due to storm water runoff ponding. A price was requested from all bidders to evaluate the area in question and provide a design to alleviate the flooding situation in the area of Washington Avenue and 16th Street. The price submitted by RMI for alternate bid item was $134,554, and includes the necessary effort to plan, design and permit the proposed improvements. Once the appropriate permit(s) have been obtained by the RMI, the City can elect to implement the improvements with RMI after a change order has been successfully negotiated. Bid Item 8: Lincoln Road median planning, design and permitting An alternate bid item to obtain a price to plan, design and permit a median along Lincoln Road from Washington Avenue to Collins Avenue was identified in the DCP. This scope of work was not originally included in the Master Plan. RMI submitted a price of $69,850 for this work. Once the appropriate permit(s) have been obtained by RMI, the City can elect to City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 6 of 9 implement the improvements with RMI after a change order has been successfully negotiated. The Administration recommends awarding the following alternate bid items: Item Amount Total Base Bid Bid Item 7: Washington Avenue & 16~ Street storm water pump station planning, design and permitting Bid Item 8: Lincoln Road median planning, design and permitting $11,9OO,O25 134,554 69,850 Total Award Price $12,104,429 Future Work Activity Assignment It has been discussed that future work activities may be assigned to RMI during the implementation of the Project. These activities include underground utility relocation to support future construction of Baylink and additional storm water collection facilities to complement the proposed storm water collections system within the future Bid Package 10A: Flamingo- Lummus South Streetscape and 10B: Lummus Streetscape projects. Sanitary sewer laterals and sanitary sewer collectors between 5th and 6th Streets and between Espa~ola Way and Lincoln Road need to be relocated so that future Baylink construction does not interfere with the existing utilities. The Flamingo - Lummus projects propose to remove existing concrete box culverts and install large diameter storm water conveyance piping throughout the Flamingo - Lummus neighborhood. It is appropriate to address these additional work activities during the implementation of the Washington Avenue Improvements Project so that the future projects are coordinated and disruptions to the community are minimized. If the City and RMI are able to arrive at mutually agreeable Costs to implement these future projects and these costs exceed the available appropriated project contingency, then the Administration will place these items on an appropriate future Commission Meeting agenda for consideration and supplemental appropriation. Agreement Format / Schedule Although RMI has not agreed to alter its pricing from that submitted in its formal Bid, in recent negotiations, RMI has indicated that it is amenable to enter into a Guaranteed Maximum Price Agreement with the City of Miami Beach. Award of the bid to RMI in the amount of $12,104,429 will yield an agreement with a qualified contractor for the Washington Avenue Improvements Phases 2, 4 and 5 project with a guaranteed price. Construction of the project will be implemented over a period of eighteen (18) months with an initial construction start date projected to be 150 days from the issuance of a Notice to Proceed from the City. The construction initiation date is also dependent upon the receipt of a Historical Preservation Board Order, State of Florida Department of Environmental City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 7 of 9 Protection Well Construction permit, Miami-Dade Department of Environmental Resources Management permit and Department of Health water main construction permit. RMI is of the opinion that these permits can be obtained within ninety (90) to one hundred and fifty (150) calendar days from the Notice to Proceed date. Upon receipt of the required permits, construction will be initiated and will be completed within eighteen (18) calendar months. In considering whether to approve the award of this contract, it should be noted that this price was secured through an open, competitive bid with pricing ranging from Ric-Man International's pricing of $11,900,025 to upwards of $21 million with other bidders. Staff believes that given the significant sequencing restrictions and the difficulties that will be encountered in this highly urban corridor, that the Guaranteed Maximum Price contract is a significant benefit to the City. The contract imposes substantial restrictions on the Contractor that are designed to preserve access to businesses during the construction period and to limit, to the extent possible, detrimental impacts to these businesses as well. Additionally, based on the corridor's age, the Contractor's acceptance of responsibility for all unforeseen underground conditions is also a significant benefit, as unforeseen underground conditions is a primary source of project price increases for this construction type. The original bid contemplated the City being responsible for paying for change orders related to unforeseen underground conditions. Although RMI's bid exceeds the City's estimate by 26%, staff does not believe that there is a likelihood of receiving a significantly better price if bids are rejected and the project is re- bid. Additionally, the time required to re-bid the project is estimated to be a minimum of six months. Combined with the required engineering work that is needed to construct the project and the stated desire by the businesses within the corridor to have the construction project span only one "season", a re-bidding of the project would delay the project by a minimum of 1 year. As the project planning and design began in the eady to mid-1990s with a then anticipated construction completion date prior to 2000, our recommendation is to proceed with the project's lowest and best bidder. 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 Jennigan, Inc. (PBS&J) is Ric-Man's proposed engineered and design sub-consultant. PBS&J is ranked by Engineering News-Record among the nation's five largest design firms and is ranked 15t~ 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 City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 8 of 9 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 of 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. Patficia Camey, P.E. (PBS&J): Ms. Carney 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. Sample Projects Hagan Ranch Road Utility and Storm Sewer Installation. (Palm Beach County) This undertaking was a $12.8 million dollar roadway construction project involving widening of Hagen Ranch Road from West Atlantic Avenue to Boynton 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. (Broward County) This project was an $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. (Broward County) 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. City Commission Memorandum Washington Avenue Improvements Phases 2, 4 and 5 January 14, 2004 Page 9 of 9 References Additionally, the Procurement staff secured the following references for Ric-Man International, Inc. City of Deerfield Beach "Outstanding attention to quality" Larry R. Deetjan, 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 CONCLUSION: The Administration recommends that the Mayor and City Commission adopt the attached resolution which authorizes the Administration to execute an Agreement 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. JMG:PDW:RCM:TH T:~GENDA~2004~Jan1404\Regular~Washington Avenue\Washington Avenue Commision Memo.doc To: From: Subject: COMMISSION MEMORANDUM Mayor David Dermer and Members of the City Commission Date: January 14, 2004 Jorge M. Gonzalez City Manager SUPPLEMENTAL MATERIAL TO ITEM R:71 - AWARD OF CONTRACT TO RIC-MAN INTERNATIONAL FOR WASHINGTON AVENUE IMPROVEMENTS This material is provided to the Mayor and City Commission as additional information regarding the scope of work for the Washington Avenue Improvements. Restricted Work Sequence In order to mitigate the impact of construction to the community, the Washington Avenue Project documents include a "Restricted Work Sequence" that limits the extent of construction. Essentially, construction is limited to two (2) areas of no more than three (3) blocks, on one (1) side of the street, separated by a minimum of two (2) blocks of either no construction or limited disruption construction that would leave the two (2) blocks passable to vehicular and pedestrian traffic. Within the proposed three (3) block work areas, the Contractor is expected to provide limited access through the work zone for necessary local traffic, deliveries of goods and services, and potentially bus service. Also within this work zone, the Contractor would be permitted to locate minimal storage, i.e., no more than that sufficient for approximately ten (10) days of work. The duration of construction within this work zone is expected to last between 100 and 140 calendar days. The Contractor is required to reach substantial completion for a block within each work zone before proceeding to the next block, thereby maintaining the three (3) block work zone throughout the duration of construction. Exhibits 1 and 2 illustrate the work zone and the progression through the project. Pedestrian Friendly Barrier and Temporary Waiting Areas The Contractor is required to provide a specific type of barrier that would promote clear delineation between the work zone and pedestrian access to each of the businesses along the corridor. These solid barriers, approximately 42" in height, are linked together and provide an attractive separation from the work zone. In addition, signs will be mounted to the barriers to promote different activities, or businesses, depending upon the City's discretion. Agenda Item Date Commission Memorandum Supplemental Material to Item R71 - Award of Contract to Ric-Man International for Washington Avenue Improvements January 14, 2004 Page 2 of 2 Additionally, since the sidewalk in many places will be reconstructed, it is anticipated that "waiting" areas will need to be provided in order to accommodate our nightlife and the visitors that come with it. The barriers are anticipated to be configured to direct pedestrians to these areas, to ensure continual passage on the sidewalk, and will have either temporary asphalt or wood platform to serve as the walking/standing surface. Exhibits 3 and 4 illustrate the barriers and the proposed "waiting areas". The location of the "waiting areas" will be determined with the blocks experiencing construction during the course of construction. Community Outreach and Site Cleanliness Due to the number of Miami Beach businesses that will be directly affected by this project, the Contractor is required to have a well developed Community Outreach Program. This program will include a professional contract with a company that is qualified to perform communication and public relations services. For the proposed contractor, this firm is anticipated to be Communikatz, which has extensive experience in Miami Beach having served in a similar capacity on the Collins Avenue project. The Contractor's liaison will be available 24 hours a day and will be working with merchants to make sure that their needs are met to the extent possible. This will include signage identifying businesses as open, and will also provide limited signage and guides to direct pedestrian and vehicular traffic to parking areas and to businesses. Additionally, the Contractor will have a well developed process to include impacted business needs addressed quickly and efficiently. The project also includes specific requirements for weekly cleaning of storefront windows by the Contractor, restrictions on the amount and type of materials that can be stored on- site, and requirements that the site be kept in a clean and orderly fashion throughout the project's duration. Project Renderin_~s In order to give a better overview for what the proposed improvements will look like, Exhibits 5 through 9 provide artist renderings prepared by the previous consultant on the project, Savino Miller Design Studios, and also photographs of previously completed phases. In addition to the above ground improvement of new sidewalks, street trees, and street lighting, the project will also include underground work related to stormwater and water line improvements. Attachmen~ JMG/RCM/-PH T:WGENDA~.004~Jan1404\Regular~Supplernental Materials- Washington Avenue Improvements.doc ~th ST 13th ST 12th ST Z 11th ST ]~'th ST ~h ST '~ 2'th ST ~th ST 16th ST "~ 5'th ST 11th ST loth ST '9~th ST ~th ST 14-~h ST 12~hST 8th ST 7~h ST ~h 5T 5th ~ 15-~h ST 11thST Dth ST Sth ST