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HomeMy WebLinkAbout2005-25825 Reso RESOLUTION NO. 2005-25825 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 STRUCTURAL FLOOR REPLACEMENT OF FIRE STATION #1 AND FIRE STATION #3 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 concrete floors in Fire Station #1 and Fire Station #3 have cracked and deteriorated from the heavy equipment that is parked inside the facilities, the need for a structural evaluation was required; and WHEREAS, BEA International, Inc. was hired from the City's rotational architectural/engineering agreement to provide for a structural evaluation of the floor of the two Fire Stations; and WHEREAS, the structural evaluation revealed the existing floors of the Fire Stations had inadequate drainage systems that had lead to voids under the concrete slabs and that the concrete slabs were not designed to support the weight of the large fire trucks that are currently used by the Fire Depc;lrtment; and WHEREAS, BEA International, Inc. was directed to prepare all required calculations and construction documents to provide for a proper drainage system and the structural concrete slabs required to support modern fire trucks and equipment for the two Fire Stations; and WHEREAS, the architectural/engineered plans will be completed in March and will be reviewed and approved 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, accordingly, the Administration, through 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, as a result of the time needed to complete the formal bid processes (Le. 90-120 days), each time that the Property Management Director has a need to augment its existing resources for goods and services in excess of $25,000, the project will be placed on hold or delayed significantly; 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, the Property Management Director, as General Contractor, will be taking on the responsibility of completion of the structural floor replacements of Fire Station #1 and Fire Station #3 Project; 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 serving as the General Contractor) in the completion of the work on the following public project: The structural floor replacements of Fire Station #1 and Fire Station #3 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 ,2001. Attest: ~r fAAck CITY CLERK MAYOR APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION ~,,~Jk Z1~O)- CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY lQ - 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 structural floor replacements in Fire Station #1 and Fire Station #3. Issue: Shall the City authorize the Property Management Director, to select, negotiate, and award all contracts, (construction and professional) relative to the structural floor replacements of Fire Station #1 and Fire Station #3? Item Summary/Recommendation: The concrete floors in Fire Station #1 and Fire Station #3 have cracked and deteriorated from the heavy equipment that is parked inside the facilities. BEA International, Inc. was hired from the City's rotational architectural/engineering agreement to provide for a structural evaluation of the floors. The structural evaluation revealed the existing floors of the Fire Stations had inadequate drainage systems that had led to voids under the concrete slabs and that the concrete slabs were not designed to support the weight of the large fire trucks that are currently used by the Fire Department. BEA International, Inc. was directed to prepare all required calculations and construction documents to provide for a proper drainage system and the structural concrete slabs required to support modern fire trucks and equipment for the two Fire Stations. The construction documents are scheduled to be complete in March. The estimated project cost for both Fire Stations is $120,000. In order to expedite the completion of the structural floor replacements in Fire Station #1 and Fire Station #3, 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 structural floor replacements in Fire Station #1 and Fire Station #3 Project. This project execution approach has been used successfully before in projects such as the Byron Carlyle Theater Renovations and the Lincoln Road Lighting and Fountains Enhancements. The Administration recommends aooroval. Advisory Board Recommendation: In/a Financial Information: Source of Funds: D Finance Dept. 120,000 AGENDA ITEM DATE C7(} rJ..;. 3-rh CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 www.ci.miami-beach.f1.us To: From: Subject: COMMISSION MEMORANDUM NO. Mayor David Dermer and Members of the City Commission Date: February 23, 2005 Jorge M. Gonzalez ~ City Manager 0 U 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 (CONSTRUCTION AND PROFESSIONAL) RELATIVE TO THE STRUCTURAL FLOOR REPLACEMENTS OF FIRE STATION #1 AND FIRE STATION #3 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 AFORESTATED PROJECTS. ADMINISTRATION RECOMMENDATION Adopt the Resolution. ANALYSIS The work specified consists of all labor, machinery, tools, means of transportation, supplies, equipment, materials, and services necessary for the construction work on the structural floor replacement of Fire Station #1 and Fire Station #3. The work under this Project includes, but is not limited to: 1) demolition of the existing floors; 2) grading; 3) installation of drainage systems; (4) reinforcing steel; 5) installation of new concrete structural floors; and 5) all other work indicated on the contract documents. The estimated project cost for both Fire Stations is $120,000. 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 Division 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. 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. 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 Special Needs. Under routine contractual agreements, the General contractor provides a workflow schedule that is inflexible in accommodating unforeseencircumstances 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 needs, without the need for change orders or extra costs for the project. . Proven Track Record Property Management has provided General Contracting services for the City on many past projects. These include the construction ofthe 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 ofthe 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 of these projects was completed on or below the estimated budget for the projects. Recommendation: That the Mayor and City Commission adopt the Resolution. This project execution approach has been used successfully before in projects such as the Byron Carlyle Theater Renovations and the Lincoln Road Lighting and Fountains Enhancements.