HomeMy WebLinkAbout2005-25824 Reso
RESOLUTION NO. 2005-25824
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, WAIVING, BY 5/7THS VOTE,
FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH
WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND
AUTHORIZING THE CITY MANAGER, THROUGH HIS DESIGNEE,
WHO SHALL BE THE CITY'S PROPERTY MANAGEMENT DIRECTOR,
A LICENSED GENERAL CONTRACTOR, TO SELECT, NEGOTIATE,
AND AWARD ALL CONTRACTS, AGREEMENTS, PURCHASE
ORDERS, AND CHANGE ORDERS FOR THE PURCHASE OF ALL
NECESSARY GOODS AND SERVICES (CONSTRUCTION AND
PROFESSIONAL) RELATIVE TO THE RICHMOND HOTEL
BEACHWALK EXTENSION PROJECT; PROVIDING THAT ALL
DOCUMENTS BE REVIEWED BY THE APPROPRIATE MEMBERS OF
THE ADMINISTRATION AND CITY ATTORNEY'S OFFICE, AND SHALL
CONTAIN THOSE MINIMUM TERMS AND CONDITIONS AS SET
FORTH IN THIS RESOLUTION; AND FURTHER AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE ANY AND ALL
AGREEMENTS RELATIVE TO THE AFORESTATED PROJECT.
WHEREAS, the Richmond Hotel section was included as part of the original
Beachwalk funding that was approved by Resolution #2002-25068 that awarded RL
Saum, in the amount of $3,269,000, pursuant to Bid No. 70-01/02, for the construction
of the Beachwalk Bicycle/Pedestrian Trail Project from 21st Street to Lummus Park, and
appropriating $3,704,000 from Redevelopment Agency Series 96B Tax Increment Bond
Fund No. 365, to provide the required construction, project administration, and
contingency funding for the Beachwalk Project; and
WHEREAS, during the time when the Florida Department of Environmental
Protection issued a proposed order to authorize and approve the City's application for
the Beachwalk Project permit, the Wallace Corporation, owner of the Richmond Hotel,
opposed; and
WHEREAS, during the dispute of the Wallace Corporation, the project design
was amended so that the Beachwalk Project did not cross the Richmond Hotel property,
but stopped to the south and resumed to the north of the property; and
WHEREAS, the Florida Department of Environmental Protection has since
rejected the Wallace petition and a Notice to Proceed was issued on October 4, 2004.
for the completion of the portion of the Beachwalk Project behind the Richmond Hotel;
and
WHEREAS, the architectural/engineered plans have been completed and are
pending approval by the City's Building Department for required building permits; and
WHEREAS, it is the Administration's intent to secure the construction work
relative to the aforestated project utilizing the City's Property Management Director, who
is a licensed General Contractor; and
WHEREAS, The Property Management Director, acting as General Contractor
above, may require the need for the acquisition of goods and services which may
exceed the $25,000 threshold correctly within the City Manager's discretion; and
WHEREAS, pursuant to Section 2-367(e) of the City Code entitled Rejection of
bids; negotiation; waiver of competitive bidding, the City Commission, upon written
recommendation of the City Manager, may by resolution adopt by a five-sevenths vote
of the City Commission a waiver of competitive bidding when the City Commission finds
such waiver to be in the best interest of the City; and
WHEREAS, in order to diligently prosecute the required work to timely complete
the aforestated vital public project, the Administration would recommend that the Mayor
and City Commission waive, by 5/7ths vote, the formal competitive bidding
requirements, relative to enabling the Administration, with its Property Management
Director acting as General Contractor, to procure the required goods and services to
complete the Project, on an expedited basis; and
WHEREAS, notwithstanding the Mayor and City Commission's waiver herein of
the competitive bidding requirement, the Property Management Director, utilizing the
resources of the Procurement Division, would institute an "expedited" bidding process to
ensure the integrity of the process and, while not formal competitive bidding, a process
that would still act to procure for the City the highest quality of goods and services at the
least expense to the City, and endeavor to obtain as full and open competition, within
that expedited framework, as possible; and
WHEREAS, additionally, the Administration would recommend that the Mayor
and City Commission waive formal competitive bidding subject to the terms and
conditions set forth below.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA as follows:
1. The Mayor and City Commission herein waive, by 5/7ths vote, the formal
competitive bidding requirements, finding such waiver to be in the best
interest of the City, relative to the City's (with its Property Management
Director acting as General Contractor) completion of the work on the following
public project: the Richmond Hotel Beachwalk Extension Project.
2. The City Manager, through his designee, who shall be the City's Property
Management Director, is authorized to select, negotiate, and award all
contracts, agreements, purchase orders, and change orders for the purchase
of all necessary goods and services (construction and professional) relative to
the Project.
3. All documents referenced herein shall be reviewed by the appropriate
members of the Administration and City Attorney's Office prior to execution
and shall contain, at a minimum, the following terms and conditions:
a) Time of completion of the work in question.
'. .
" .
b) Fees, costs, and other charges to the City. All fees and costs negotiated
should be competitive with fees and charges for similar work in the South
Florida area.
c) Appropriate provisions addressing insurance requirements (naming the
City as an additional insured), indemnification and hold harmless in favor
of the City, and payment and performance bonds.
d) All scope of services and/or work required shall be prepared in conjunction
with and reviewed by the Administration.
4. All contracts, agreements, purchase orders, and change orders over $25,000
shall be executed by the Mayor and City Clerk, and shall be ratified by the
Mayor and City Commission at its next available meeting.
5. The total amounts of contracts, agreements, purchase orders, and change
orders to be executed pursuant to the approvals set forth herein shall not
exceed the appropriated amount for the Project, as same is set forth in this
Resolution, without the prior approval of the Mayor and City Commission.
6. Notwithstanding the waiver of competitive bidding herein, the Property
Management Director, utilizing the City's Procurement Division, shall use his
best efforts through an "expedited" bidding process to assure that the highest
quality of goods and services at the least expense to the City is obtained, and
endeavor to obtain as full and open competition, as in said process, as
possible.
PASSED AND ADOPTED THIS 23rd day of
, 200:5.
Attest:
tJtw~ ltM-~
CITY CLERK
APPROVED AS TO
fORM & LANGUAGE
& FOR EXECUTION
J~~~, ~~or
CITY OF MIAMl BEACH
COMMISSION I~EM SUMMARY
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Condensed Title:
A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, waiving by 5/7ths vote,
the formal competitive bidding requirements, finding such waiver to be in the best interest of the City, and
authorizing the City Manager's designee, who shall be the Property Management Director, a licensed
general contractor, to select, negotiate, and award all contracts, agreements, purchase orders, and change
orders for the purchase of all necessary goods and services relative to the Richmond Hotel Beachwalk
Extension Proiect.
Issue:
Shall the City authorize the Property Management Director to select, negotiate, and award all contracts,
(construction and professional), relative to the Richmond Hotel Beachwalk Extension Project?
Item Summary/Recommendation:
During the time when the Florida Department of Environmental Protection issued a proposed order to
authorize and approve the City's application for the Beachwalk permit, the Wallace Corporation, owner of
the Richmond Hotel, opposed. As a result, the project design was amended so that the Beachwalk did not
cross the Richmond Hotel property, but stopped to the south and resumed to the north of the property. The
Florida Department of Environmental Protection has since rejected the Wallace petition and issued a
Notice to Proceed on October 4, 2004.
In order to expedite the completion of the Beachwalk project, the Administration recommends that the
Mayor and City Commission adopt the Resolution allowing the Property Management Director to serve as
the General Contractor of record and further authorize the Property Management Director to select,
negotiate, and award all contracts, agreements, purchase orders, and change orders for the purchase of all
necessary goods and services (construction and professional) relative to the completion of the Richmond
Hotel Beachwalk Extension Proiect. The total oroiect cost is estimated to be $30,000.
Advisory Board Recommendation:
I n/a
Financial Information:
Source of Amount Account Approved
Funds: 1
D 2
3
4
Finance Dept. Total
Cit Clerk's Office Le islative Trackin
Brad Judd/Bob Halfhill
Si n-Offs:
Department Director
JMG
FH
AGENDA ITEM C 7/l.1
DATE ~~J.3-o.r
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miami-beach.fl.us
To:
From:
Subject:
COMMISSION MEMORANDUM NO.
Mayor David Dermer and
Members of the City Commission
Date: February 23, 2005
Jorge M. Gonzalez Jv~
City Manager . 0
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL
COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE
IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY
MANAGER'S DESIGNEE, WHO SHALL BE THE DIRECTOR OF PROPERTY
MANAGEMENT DIVISION, A LICENSED GENERAL CONTRACTOR, TO
SELECT, NEGOTIATE, AND AWARD ALL CONTRACTS, AGREEMENTS,
PURCHASE ORDERS, AND CHANGE ORDERS FOR THE PURCHASE OF
ALL NECESSARY GOODS AND SERVICES (CONSTRUCTION AND
PROFESSIONAL) RELATIVE TO THE RICHMOND HOTEL BEACHWALK
EXTENSION PROJECT, PROVIDING THAT ALL DOCUMENTS BE
REVIEWED BY THE APPROPRIATE MEMBERS OF THE ADMINISTRATION,
CITY ATTORNEY'S OFFICE, AND CONTAINS MINIMUM TERMS AND
CONDITIONS AS SET FORTH IN THIS RESOLUTION; AND FURTHER
AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE ANY AND ALL
AGREEMENTS RELATIVE TO THE AFOREST ATED PROJECTS.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
The work specified consists of all labor, machinery, tools, means of transportation, supplies,
equipment, materials, services necessary for the construction work on the Beachwalk
Bicycle/Pedestrian Trail Project Extension, located in Miami Beach, Florida east of Collins
Avenue along the Atlantic Ocean behind the Richmond Hotel at 1757 Collins Avenue. The work
under this Project includes, but is not limited to: 1) grading and filling of trail area; 2) installation
of new paverstone walkway and pilasters; 3) installation of new lighting system; 4) installation of
new landscaping and landscape irrigation system, and 5) all other work indicated on the
contract documents. Total cost of this project is estimated to be $30,000.
Section 2-366 of the City Code, entitled Contract Procedures, states that all supplies and
equipment, except as otherwise provided in this division, when the estimated cost thereof shall
exceed $25,000.00, shall be purchased by formal, written contract and/or purchase order from
the lowest and best responsible bidder, after due notice inviting proposals; however, the city
commission shall have authority to waive execution of formal contract in cases where it deems
it advisable to do so.
If the City's Property Management Director is approved as the General Contractor for this
project, at times there will be a need for the acquisition of goods and services that may exceed
the $25,000 bidding threshold. Therefore, as a result of the time needed to complete formal
bid processes (Le. 90-120 days) each time that Property Management Division has a need to
augment its existing resources for goods and services in excess of $25,000, this important
project will be placed on hold or delayed significantly. Pursuantto Section 2-367(e) ofthe City
Code entitled Rejection of bids; negotiation; waiver of competitive bidding, the City
Commission, upon written recommendation of the City Manager, may by resolution adopt by a
five-sevenths vote of the City Commission a waiver of competitive bidding when the City
Commission finds such waiver to be in the best interest of the City.
The following are reasons why the waiver of competitive bidding is in the best interest of the
City:
. Cost Reduction of Project Materials.
By utilizing in-house General Contractor services, the City will have the ability to purchase the
majority of building materials needed for the project, directly from the manufacturer. External
contractors would be required to purchase these materials from a supply house that would
increase the costs of the purchase of supplies by adding stocking charges, plus overhead and
profit on top of the manufacturer costs. This would provide a substantial saving to the City on
material purchases for the project.
. Savings of General Contractor and Subcontractor's Overhead and Profit.
In outsourced projects, general contractors add a typical range of 15-20% on top of project
cost for overhead expenses and profit. By using in-house services, this would be a direct cost
savings to the City for these items. Additionally, as electrical, plumbing, painting, and
carpentry could also be provided under in-house services, limited sub-contractors would be
required for the project. This would also provide savings to the City on overhead and profit
costs that would also be required to be paid to the subcontractors.
. Project Scheduling to Accommodate Merchants and Special Event Needs.
Under routine contractual agreements, the general contractor provides a workflow schedule
that is inflexible in accommodating unforeseen circumstances or required change of workflow
without the requirement of a project change order or additional costs. In-house contracting
would provide flexibility of schedules to work with unforeseen circumstances including special
events, and special needs of the adjacent properties without the need for change orders or
extra costs for the project.
. Proven Track Record
The Property Management Director has provided General Contracting services for the City on
many past projects. These include the construction of the Electrowave facility on Terminal
Island, the design and renovations of the Byron Carlyle Theater, The Lincoln Road Lighting
and Fountain Enhancement project, the Pinetree Park GO Bond project, the Fire Station #2
Maintenance Facility GO Bond project, the renovation of the VCA and 555 Buildings, ADA
compliance projects Citywide, and multiple major renovations to the City Hall, 21 Street
Community Center, and the Historic City Hall Buildings. Each ofthese projects was completed
on or below the estimated budget for the projects.
T:\AGENDA\2005\Feb2305\Regular\Richmond Beachwalk MEMO.doc