R7G-Execute Change Order 2 Venetian Islands Bid Package 13C ProjectIIEIVI SUIVIIVIAKY
Condensed Title:
A Resolution Of The Mayor And City The City Of Miami Beach, Florida, Approving And Authorizing The City
Manager To Execute Change Order No. 2 To The Construction Contract Between The City Of Miami Beach, Florida, And Lanzo
Construction Co., Florida, For The Construction Of The City Of Miami Beach Right-Of-Way lnfrastructure lmprovement Program,
Venetian lslands Bid Package 13c (Project), Dated March 13,2013 (The Contract); The Change Order Includes: '1) Construction
Work Associated With A Redesigned Stormwater Conveyance System That Will Meet The New Stormwater Criteria ln The Not-
To-Exceed Amount Of $4,090,094 Plus Time Extension Of 422 Calendar Days Required To Complete This Work Within San
Marino, Dilido And Rivo Alto lslands ; And 2) lncreasing The Owner's Contingency ln The Amount Of $409,009; The Resulting
Amount Of '103 wiil To The Construction Contract; With ted F
Data (Surveys, Environmental Scan, etc.): The 2014 Customer Satisfaction Survey indicated that over 77o/o of
residents rated recently completed capital improvement proiects as "excellent" or "qood".
lssue:
On March 13'",2013, the Commission approved Resolution No.2013-28163, recommending the award of a construction contract
to Lanzo Construction Co. Florida, (Lanzo). On February 12,2014, the City Commission approved Resolution 2014-2849'1,
recommending Change Order No. 1 to the construction contract with Lanzo Construction Co. Florida, for the purchase and
installation of automatic meter readers
As recommended by the Mayor's Blue Ribbon Panel on Flooding and Sea Level Rise and the Flooding Mitigation Committee, on
February 12,2014 the City Commission approved to amend the City's Storm Water Management Master Plan by modifying the
design criteria for the tailwater elevation and adopted an elevation of 2.7 ft-NAVD for all tidal boundary conditions. The Public
Works Department (PWD) requested that staff implement the enhanced stormwater system criteria including increasing from 6-
inch to 7.S-inch, S-day, z4-hout rain event.
On March 5,2014, the City Commission adopted Resolution No.2014-28528 approving Amendment No. 3 for the re-design and
permitting phase services associated with the enhanced stormwater system criteria. SS&A completed their design, and submitted
it to Miami-Dade County Department of Regulatory and Economic Resources (RER), Environmental Resources Management for
approval. On July 22, 2014, RER issued approval for the revised design. On August 5, 2014, the revised design was submitted
to PWD and concurrently, change order negotiations were taking place with Lanzo Construction.
The City retained AECOM to assist in the implementation of a citywide comprehensive flood management plan and to review
stormwater improvement plans prepared by City's Consultants. On October 13, 2014 a follow up meeting took place in the City
Engineer's office and additional design modifications were identified and added to the scope. Based on the comments issued by
the City Engineer, SS&A had to revise stormwater drainage plans to meet the new criteria implemented by the City Engineer.
On November 19, 2014, the City Commission adopted Resolution No. 2014-28821 approving Amendment No. 4 to SS&A
Agreement to implement additional enhanced stormwater drainage design modifications to existing design and incorporate
AECOM's review comments issued on October 10,2014 plus other comments issued on October 13,2014 by the City Engineer.
On February 18, 2015, SS&A responded to additional comments issued by AECOM and finalized the enhanced stormwater
drainage design modifications and on February 23,2015, submitted the 100% documents to PWD for final review.
Once the design was completed, the Capital lmprovement Projects Office (ClP) contacted the twelve ('12) property owners that
reside adjacent to the six (6) easements where the stormwater pump stations were proposed to be located. The purpose of the
meeting was to discuss the stormwater pump station design and the process of constructing the improvements within the
easement. The meetings with residents took place from February to March 2015. The residents expressed great concern on the
visual impacts from the proposed structures and equipment components associated with the pump station installations.As a result,
on April 1,2015, a meeting was held with concerned residents, their legal counsel, and staff from ClP, PWD, the City Attorney's
Office and the City Manager's Office. lt was determined that the City would explore alternatives attempting to minimize the visual
impact of the stormwater pump stations and related components.
ln order to maintain the project on track, and to minimize impacts on the overall schedule, this change order will capture all
stormwater drainage conveyance components that can be installed Wthout affecting the exploration of possible alternatives
related to the installation of pump stations. The work related to the pump stations is not included in the scope of this change order.
The scope of work, for this change order, will include; stormwater drainage structures with all associated pipes and drainage
inlets, concrete valley gutter, roadway reconstruction, first and second lift of asphalt and driveway aprons.
Based on the supporting documentation presented by Lanzo, the project Engineer of Record (EOR) / Schwebke-Shiskin &
Associates, lnc. has found the proposal acceptable and is recommending approval of the change order and a project time
extension of 422 calendar days to complete the work associated with stormwater conveyance work (Attachment B).
The Administration recommends of the Resolution.
Source of
Funds: $D 429-2127-069357 Stormwater LOC Reso No. 2009-27076
Financial lmpact Summary: N/A
Financial Information:
AGENDA ITETIMIAMIBEACHsaa6 Si6-l f658
r9r5.20r5
City of Miomi Beoch, l700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov
COMMISSION MEMORANDUM
TO: Mayor Philip Levine and Members of
FROM: Jimmy L. Morales, City Manager
DATE: May 6, 2015
SUBJECT: A RESOLUTION OF THE MAYOH AND CITY COMMISSION OF THE
CIry OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING
THE CIry MANAGER TO EXECUTE CHANGE ORDER NO. 2 TO THE
CONSTRUCTION CONTRACT BETWEEN THE CITY OF MIAMI
BEACH, FLORIDA, AND LANZO CONSTRUCTION GO., FLORIDA,
FOR THE CONSTRUCTION OF THE CITY OF MIAMI BEACH RIGHT.
OF.WAY INFRASTRUCTURE IMPROVEMENT PROGRAM,
VENETIAN TSLANDS BtD PACKAGE 13C (PROJECT), DATED
MARCH 13,2013 (THE GONTRACT); THE CHANGE ORDER
INGLUDES: 1) CONSTRUCTION WORK ASSOCIATED WITH A
REDESIGNED STORMWATER CONVEYANCE SYSTEM THAT WILL
MEET THE NEW STORMWATER CRITERIA IN THE NOT.TO.
EXCEED AMOUNT OF $4,090,094 PLUS TIME EXTENSION OF 422
CALENDAR DAYS REQUIRED TO COMPLETE THIS WORK WITHIN
SAN MARINO, DILIDO AND RIVO ALTO ISLANDS ; AND 2l
INCREASING THE OWNER'S CONTINGENCY IN THE AMOUNT OF
$409,009; THE RESULTING AMOUNT OF $4,499,103 WILL BE
ADDED TO THE CONSTRUCTION CONTRAGT; WITH PREVIOUSLY
APPROPRIATED FUNDING.
ADM! N ISTRATION RECOMM ENDATION
Adopt the Resolution.
KEY INTENDED OUTCOME
Build and maintain priority infrastructure with full accountability.
FUNDING
$4,499,103 429-2127-069357 Stormwater LOC Reso No. 2009-27076
City
659
Change Order No.2toLanzo Construction Co., forVenetian lslands prolect - Memorandum
May 6, 201 5
Page 2 of 4
BACKGROUND
Pursuant to Invitation to Bid (lTB) No. 49-11112, for the Right-of-Way lnfrastructure
lmprovement Program -Venetian lslands Bid Package 13C, on March 13th,2013, the
Commission approved Resolution No. 2013-28163, recommending the award of a
construction contract to Lanzo Construction Co. Florida, (Lanzo) in the amount of
$9,699,509 base bid plus $640,028 for selected alternates (sanitary sewer lining and
road reconstruction) and a project contingency in the amount of $1,033,954;tor a total
construction cost of $1 1 ,373,491.
On February 12, 2014, the City Commission approved Resolution 2014-28491,
recommending Change Order No. 1 to the construction contract with Lanzo Construction
Co. Florida, for the purchase and installation of automatic meter readers in the amount
of $195,532, plus contingency in the amount of $19,553, for a total of $215,085.
As recommended by the Mayor's Blue Ribbon Panel on Flooding and Sea Level Rise
and the Flooding Mitigation Committee, on February 12, 2014 the City Commission
approved to amend the City's Storm Water Management Master Plan by modifying the
design criteria for the tailwater elevation and adopted an elevation of 2.7 ft-NAVD for all
tidal boundary conditions. The Public Works Department (PWD) requested that staff
implement the enhanced stormwater system criteria including increasing from 6-inch to
7.S-inch, S-day, 24-hour rain event. The new criteria required the Engineer of Record,
Schwebke-Shiskin & Associates (SS&A) to revise the design included in the contract
documents for this project.
On March 5, 2014, the City Commission adopted Resolution No. 201 4-28528 approving
Amendment No. 3 for the re-design and permitting phase services associated with the
enhanced stormwater system criteria.
SS&A completed their design, and submitted it to Miami-Dade County Department of
Regulatory and Economic Resources (RER), Environmental Resources Management for
approval. On July 22,2014, RER issued approval for the revised design. On August 5,
2014, the revised design was submitted to PWD and concurrently, change order
negotiations were taking place with Lanzo. Occurring on a parallel path with the change
order negotiation, the City's Public Works Department (PWD) was in the process of
completing their final review of the revised stormwater improvement plan when, the
Mayor's Blue Ribbon Panel on Sea Level Rise directed PWD to provide the revised
stormwater improvement design to AECOM for their review.
The City retained AECOM to assist in the implementation of a citywide comprehensive
flood management plan and to review stormwater improvement plans prepared by City's
Consultants. On October 10, 2014, AECOM reviewed and issued comments. On
October 13, 2014 a follow up meeting took place in the City Engineer's office and
additional design modifications were identified and added to the scope. Based on the
comments issued by the City Engineer, SS&A had to revise stormwater drainage plans
to meet the new criteria implemented by the City Engineer.
On November 19, 2014, the City Commission adopted Resolution No. 201 4-28821
approving Amendment No. 4 to SS&A Agreement to implement additional enhanced
stormwater drainage design modifications to existing design and incorporate AECOM's
FIT-Dr|ve\AGENDA\2015\May\ClP\Lanzo C.O\ITB 49-11-12 - Venetian lslands ROW - Memo - C.O. 2 - FINAL STEPHANTE .docx
660
Change Order No. 2 to Lanzo Construction Co., for Venetian lslands prolect - Memorandum
May 6, 201 5
Page 3 of 4
review comments issued on Octobet 10,2014 plus other comments issued on October
13,2014 by the City Engineer.
On February 18, 2015, SS&A responded to additional comments issued by AECOM and
finalized the enhanced stormwater drainage design modifications and on February 23,
2015, submitted the 100% documents to PWD for final review.
Once the design was completed, the Capital lmprovement Projects Office (ClP)
contacted the twelve (12) property owners that reside adjacent to the six (6) easements
where the stormwater pump stations were proposed to be located. The purpose of the
meeting was to discuss the stormwater pump station design and the process of
constructing the improvements within the easement. The meetings with residents took
place from February to March 2015. The residents expressed great concern on the
visual impacts from the proposed structures and equipment components associated with
the pump station installations.
As a result, on April 1, 2015, a meeting was held with concerned residents, their legal
counsel, and staff from ClP, PWD, the City Attorney's Office and the City Manager's
Office. lt was determined that the City would explore alternatives attempting to minimize
the visual impact of the stormwater pump stations and related components.
On April 15,2015, the City Commission adopted Resolution No.2015-28993 approving
Amendment No. 5 to SS&A Agreement for additional Construction Administration and
RPR services due to the increased construction schedule plus design modification
services required to minimize the impact of the proposed structures and components.
The design modifications will include conceptual design, meetings with City staff,
electrical and structural revisions and permit submittals.
ANALYSIS
ln order to maintain the project on track, and to minimize impacts on the overall
schedule, this change order will capture all stormwater drainage conveyance
components that can be installed without affecting the exploration of possible
alternatives related to the installation of pump stations. The work related to the pump
stations is not included in the scope of this change order. The scope of work, for this
change order, will include; stormwater drainage structures with all associated pipes and
drainage inlets, concrete valley gutter, roadway reconstruction, first and second lift of
asphalt and driveway aprons.
Lanzo has presented a change order proposal, (Attachment A) that address the
following:o Additional scope relating to stormwater drainage conveyance improvements
designed to comply with the City's new stormwater.. Exercising the provision of Article 38.1.1 of their contract with the City of Miami
Beach that allows for the adjustment of unit prices from the original contract
wherever the unit quantities are adjusted in excess of 20o/o of the original
amount.o Effects of recently imposed weight restrictions on the Venetian Causeway
bridges.
F:\T-Dr|ve\AGENDA\2015\May\ClP\Lanzo C.O\ITB 49-11-12 - Venetian lslands ROW - Memo - C.O. 2 - FINAL STEpHANIE .docx
661
Change Order No. 2 to Lanzo Construction Co., for Venetian lslands project - Memorandum
May 6,2015
Page 4 of 4
. lmplementing an alternative trench restoration detail, utilizing woven filter fabric
and the use of Geosynthetic (GEOGRID) under lime rock to reduce the quantity
of removal of unsuitable fill.
The resulting costs are as follows:. Stormwater improvements $ 2,834,683. Bridge Weight Restriction Cost lmpact $ 1,200,461. Unit quantity greater lhan 20o/o $ S+.SSOSub-Total $ 4,090,094
. Contingency at 10% $ 409.009
Grand Total $ 4,499,103
Based on the supporting documentation presented by Lanzo, the project Engineer of
Record (EOR) / Schwebke-Shiskin & Associates, lnc. has found the proposal acceptable
and is recommending approval of the change order and a project time extension of 422
calendar days to complete the work associated with stormwater conveyance work
(Attachment B).
A subsequent change order to Lanzo will be presented to the Mayor and City
Commission once all the available options for proposed enhanced pump station design
have been explored and a consensus is achieved with the residents.
CONCLUS!ON
The Administration recommends approval of the Resolution.
ATTACHMENTS:
Attachment A - Lanzo Construction change order proposal
Attachment B - SS&A - Letter of recommendation
JLM\MT\DM
FIT_Drive\AGENDA\2015\May\ClP\Lanzo C.O\ITB 49-11-12 - Venetian lslands ROW - Memo - C.O. 2 - FINAL STEPHANTE .docx
662
ATTACHEMENT "A''
trt|LANZOl-U ! colsrnucnor coMPAr{Y
l,sri,4,,/tgstffi htuu,nn3duttu,sIttuMbffiil&s
April27,2015
Luis Leon, P.E.
Schwebke-Shiskin & Associates, Inc.
3240 Corporate Way
Miramar, Florida 33025
Re: Venetian Islands Bid Package 13C - ITB No. 49-1lll2 - Price for Drainage System
Redesign & Backup information
Dear Mr. Leon,
As requested, please find below the pricing breakdown for the Stormwater System Redesign,
provided to us on the plans dated February 2015, and which, as directed by your office, exclude
pump stations, grate boxes, water quality unit (WQ's) structures, piping between WQ's and
Pump Stations, 2-N Water Services & wet taps, Dissipater Boxes, Tide Flex Valves, Turf
Blocks, Restoration of Outfall R-/'W's, Core Drilling of existing sea walls, Manatee Grates, Plug
Existing Outfalls, ALL RCP Outfall Pipe, ALL 20" and24" DIP Pressure Pipe, and Associated
Bridge Loading Costs for these items.
' Stormwater Redesign improvements $ 2,834,683.00
' Bridge Weight Restriction Cost Impact $ 1,200,461.00
' Unit quantity greater than2}%o $ 54,950.00
Total Increase $ 4,090,094.00
Please, refer to the attached table for reference.
407 Lincoln Road Miami Beach FL 33139 Phone (954) 979-0802 Fax (786) 416-0368
www.lanzo.net
663
Page 2 of 2
A1l the prices here presented relate to the information currently available. Also, based on the
information presented, it is expected for the project duration not to exceed 12 months from the
date of Notice to Proceed, for construction of the re-designed collection system. As such, the
total project duration shall be 422 pays from last day of the original contract date
(21212015). Based on this duration, the Final Completion date of the project should be March 31,
2016.
If you have any questions, comments or concerns, please do not hesitate to contact us.
Sincerely,
Pablo C. Riafio
Project Manager
CC: MarkTomczyk, P.E., City of Miami Eeach CIP (via e-mail)
Roberto Rodriguez, City of Miami Beach CIP (via e-mail)
James C. Tello, Schwebke-Shiskin & Associates, lnc (via e-mail)
407 Lincoln Road Miami Beach FL 33139 Phone (954) 979-0802
www.lanzo.net
Fax (786) 416-0368
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Civil Engineers - Land Plannors . Surveyors
3240 Corporate Way " Miramar, Florida 33025
Phone: (954) 4A5-7010. Fax: (984) 4g8-92s8
April28,2015
Mr. David Martinez, P,8., Director of CIP
City of Miami Beach
Capital Irnprovernent Projects Office
1701 Meridian Avenue, Suite 300
Miami Beach, Ftorida 33139
Re: Venetian rsland Neighborkood 13 BID Package ,'c', - Drainage R.erlesign proposal
Analysis (Drainage Collection System Only)
Dear David,
As requested, lve have completed onr review of the Change Order proposal provided by Lanzo
Construction Company for a portion of the drainage improvements designed to comply with the City's
recetlt sea level rise criteria. The portion of the drainage improvements in Lanzo's proposal includes all
drainage construction upstream ofthe designed water quality units for each respective istand, Note that
the proposal includes firll roacl reconstruction of all roadways as mentionecl in more detail in this letter.
Based on the most recent information provided to us in a proposal by Lanzo Constnrctioo Company clatecl
April27,2015 and in srnlmary of our review of the project costs:
Total Stornwater Redesign Improvements (Exctuding Pump Stations & outfalls) = $2,834,683.00
ATTACHMENT'8"
o'{srcciatuo, 0ro.
Princlpals
116rnando J. Navas, P.E.
Mark S. Johnson, P.S,M.
Of Council
Alfonso C. Tello, P.E., P.S.M.
Luls F, L6on, P.E,
Alborto A, Mora, P.E.
John C. T€llo, P.E.
Michael D, Gonzaloz, P,E,
Ronald A. Fritz, P.S.M.
Jose G. [{ornandez, P.9.M,
Mlchasl J. Alley, P.S.M,
Emlllo E. Llufrlo, P.S.M.
Bridge Weight Restriction Cost Impact =
Unit quantify increases/decreases greater than20Yo =
$ 1,200,46 1 ,00
$54,9s0.00
Qljg[19!-lcontract Amount. including change orders = _ $11.588.s75.13
Totai Project Cost=$ I 5,679,669,1 3
The change order proposal submitted by Lanzo Construction Company hTclLrderi a combination of Unit
Price and Lump Surn values for change order work.- Pursuant to Article 3 B.l.l of the colltract between the City of Miami Beach and l,anzo
Consil'trction Cornpany 0TB 49-1 l/12) we found that unit pdces from the original contract were
used wherever the unit qtrautities did not exceetl 20% of the origir:al amount. However due to
recently imposed weight restrictions on the Venetian Causeway,Lanzo Construction Cornpany
provided suppoftirrg docurnentation nsecl to detennine the adclitional cost of construction to
comply with the regulated bridge rveight rostriotions. Based on the documentation provided, the
weight reshictions on th€ Venetian Causeway require that the nunrber of trips needed to irnport
and expott materials to and fi'om the project be increased to transport the mentioned materials in
lighter loads. We find that the documentation provided clearly defines the impacts of the
bridge loading restrictions, holvever, please note that the change orcler proposal and supporting
669
Mr, David Martinea P,Fl.
April 28, 2015
Page2 ofT
documentation provided by Lanzo Construction Company was not independently verified by this
firm and that our fitm does not have infonnation available ou the pricing struohue and
comparison of Lanzo's truck capacities used iu the original contract. As such, for our review of
the supporting documentation, we could only assumo that the truck capacities used to bid the
project i,vere based on full tluck loads as shown in the supporting documentation.- Pursuant to Article 38.7 of the contract befws'en the City of Miarni Beach and Lanzo Construction
Company (ITB 49- 1 1112), wherc unit quantities increased or decreased more than 20% of the
conkacted quantities, we found that Lanzo Conshuctiorr Company adjusted unit prices based on
negotiated values. It is our opinion, to the best ofour knowledge, that the negotiated values of
these items are within an acceptable value..
- Pursuant to Article 38.1.2 of the confiact between the City of Miami Beach and Lanzo
Construction Conipany (ITB 49-11112), a change order for individual items proposed for
construction that were not included in the original bid documerts was provided. The proposal
provided by Lanzo Construction Company included a redesigned drainage collection system,
fumishing and installing FPL conduits and pullboxes for anticipated electrical systems, and
firrnishing and installing a geosynthetic grid below the proposed loadway limerock base. Based
on our review of the change order proposal for these items it is our understanding that a
component for overhead and profit is included and to the best of our lorowledge it is our opirrion
that tlre rmit prices for these items are within an acceptable value for the work proposed.
Our review consisted of au independent cost analysis while also taking into consideration the unique
circumstances regarding the bridge loading restrictions of the Venetian Causeway. Using these factors
rve detennined that the cost proposed by Lanzo Constructiou Company an acceptable value for the
proposed work.
It is oul understanding that the project duration is alticipated not to exceed 12 months from the date of
Notice to Proceed fot' construetion of the re-designed collection system. As such, it is our understanding
that the total project duration shall be 422 days from last day ofthe original contract date (21212015).
Based on this dr.rration, we find that the Final Cornpletion date of the project shall be March 31,2016.
As always, if you have any questions please contact me,
Respectfully submitted,
3"8*r[fi"-Slu,kn & o$u.aalolus., -finc.
&ok" tg E"-Sk fitn & o4ea,"aialzt, -flna.
k:\325342Wi-sm-di.ta\documents\outgoillg\dayid mfftinez - cmbcip03.doc
Assistant Vice President
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RESOLUTION TO BE SUBMITTED
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