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RESOLUTION NO. 2005-26021
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA APPROVING
AMENDMENT NOS. 12A AND 13B, RESPECTIVELY, TO
THE AGREEMENT WITH CAMP, DRESSER AND MCKEE
(CDM), DATED OCTOBER 5, 2005, TO PROVIDE
ADDITIONAL ENGINEERING SERVICES FOR UPGRADING
WATER AND SEWER PUMPING STATIONS; SAID
AMENDMENTS PROVIDING FOR CONSTRUCTION
ADMINISTRATION, SHOP DRAWING REVIEW AND FIELD
OVERSIGHT SERVICES FOR THE WATER AND WASTE
WATER PUMP STATIONS UPGRADES (13B), AND THE 20"
WATER MAIN & BOOSTER TERMINAL ISLAND STATION
(12A) PROJECTS, IN THE TOTAL AMOUNT OF $278,882.
WHEREAS, on July 8, 1992, the Mayor and City Commission adopted Resolution
No. 92-20540, authorizing the Mayor and City Clerk to execute an Agreement with the firm
of Camp, Dresser and McKee, Inc. (COM), to provide architectural and engineering
services for 1) the upgrade of the sewer and water pumping stations, and 2) to design a
new Water Booster Pump Station, to be located south of the MacArthur Causeway (the
Agreement); and
WHEREAS, the Agreement provided for the work to be performed in three Phases:
1- Preliminary Design; 2 - Final Design; and 3 - Services during Construction; and
WHEREAS, with regard to the pump station upgrades project, in February 1999,
Resolution No. 99-23061 awarded a $17,692,568.00 contract to Felix Equities, Inc. (FEI),
pursuant to Bid No.99-97/98 for the Water and Waste Water Pump Station Upgrades in the
City of Miami Beach (the Project); and
WHEREAS, on June 7, 2002, the City Administration sent FEI a Notice of Default
due to the lack of progress in the Project, and provided FEI ten (10) days to correct the
lack of progress issues; and
WHEREAS, upon FEI's failure to properly remedy its lack of progress, the City
Administration certified FEI in default on June 18, 2002; and
WHEREAS, due to many issues with the performance of FElon the Project, on July
10, 2002, and pursuant to Article 8.8 of the City's contract with FEI, the Administration
recommended that the City Commission remove the prosecution of work from FEI and
authorized the City Manager, or his designee, to prosecute the remainder of the work; and
WHEREAS, the City Commission approved this action, through Resolution No.
2002-24924; and
WHEREAS, on June 10, 2003, the deadline for bids pursuant to a modified bid
process for a replacement contractor on the Project, bids were received by the City's
Procurement Division; and
WHEREAS, only one contractor was deemed qualified and responsive, and the City
determined that it would be in the City's best interest to proceed with Widell, Inc. to
complete the Project; and
WHEREAS, additional services for CDM to perform construction administration and
field oversight services are needed for the completion of the Project; and
WHEREAS, Resolution No. 2004-25465 also stated that the amount for professional
services awarded to CDM for the Project at that time was only an estimate since the City
had not yet initiated negotiations regarding the final scope of services and corresponding
fees, and $500,000 was awarded to CDM for initial services; and
WHEREAS, the City approved additional monies for CDM in Resolution No. 2004-
25627 for "Shop Drawing, Samples and Miscellaneous Issues" (Task 2.0) and the
"Resident Project Representative" (Task 3.0), in the total amount of $424,640; and
WHEREAS, the total fee for all professional services mentioned above was
negotiated with an upper limit amount of $924,640; and
WHEREAS, in 2000, the City formally re-packaged the Water Booster Pump-Station
work into a new stand alone project, with the inclusion of approximately 2,600 linear feet of
20-inch water main from the Booster Station to the mainland, and east to Alton Road; and
WHEREAS, from 2000 to 2003, the Water Booster Pump Station Project was in
design and addressed several modifications, adjustments to the relocation of the building,
and re-submittals to the Design Review Board (DRB); and
WHEREAS, on February 4, 2004, Resolution No. 2004-25481 awarded a
construction contract to Widell, Inc., for the construction of the MacArthur Causeway 20-
inch Water Main and Terminal Island Water Booster Pump Station, in the amount of
$2,602,500, and also approved the execution of Amendment No. 12, in the amount of
$287,507, to the Agreement; and
WHEREAS, Pump Station No.1, located at 11th Street and Jefferson Avenue, has
been substantially completed and the new pumps are functional which allowed the lifting of
a moratorium imposed by DERM at that Pump Station and made it possible for new
businesses to connect into the system; and
WHEREAS, Widell Inc. has completed most of the exterior structures and advanced
in the restoration of several stations; and
WHEREAS, due to the complications from site conditions, the additional work that
Widell Inc. has done in order to accommodate the existing owner-furnished materials and
equipment left over by the previous contractor; owner-requested change orders; and the
normal weather delays, the project times had to be extended in order to successfully
complete the Water and Waste Water Pump Station Upgrades and the new 20-inch Water
Main and Terminal Island Water Booster Pump Station; and
WHEREAS, in dealing with owner-furnished materials and equipment, the Water
and Waste Water Pump Station Upgrades have used a considerable amount of
contingency funds; and
WHEREAS, the additional work to complete the Water and Waste Water Pump
Station Upgrades and the new 20-inch Water Main and Terminal Island Water Booster
Pump Station requires a time extension of seven months to the Widell Inc. contracts, as
well as additional professional services from COM; which will be funded from previously
allocated contingency funds; and
WHEREAS, the additional funds are required as follows: Amendment 13B, in the
amount of $252,840 for Water and Waste Water Pump Stations Upgrades and
Amendment 12A, in the amount of $26,042, for the MacArthur Causeway 20" Water Main
and Terminal Island Booster Pump Station.
NOW, THEREFORE BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby approve and authorize the Mayor and City Clerk to execute
Amendment Nos. 12A and 13B, respectively, to the Agreement with Camp, Dresser and
Mckee (COM), dated October 5, 2005, to provide additional engineering services for
upgrading water and sewer pumping stations; said Amendments providing for construction
administration, shop drawing review and field oversight services for the Water and Waste
Water Pump Stations Upgrades (13b), and the 20" Water Main & Booster Terminal Island
Station (12A) Projects, in the total amount of $278,882.
PASSED AND ADOPTED this 19th
A~t p()N~
C Y CLERK.. . Robert Parcher
David Dermer
T:\AGENDA\2005\Oct1905\Regular\PS ads Reso - CDM.doc
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
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CITY OF MIAMI BEACH
COMMISSION ITEM SUMMARY
m
Condensed Title:
A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida approving an Amendment to the
Agreement with Camp, Dresser and McKee (COM) to provide additional engineering services for Upgrading Water and
Sewer Pumping Stations due to the extension of the construction phase; said Amendment providing for Construction
Administration, shop drawing review and field oversight services for the Water and Waste Water Pump Stations Upgrades
and the Terminal Island Booster Pump Station and 20" Water Main projects, in the amount of $278,882.
Issue:
I Shall the Commission approve an Amendment to the agreement with COM, for additional services?
Item Summary/Recommendation:
On July 8, 1992, Resolution 92-20540, authorized an Agreement with CDM to provide AlE services for the upgrade of the sewer
and water pumping stations, and to design a new Water Booster Pump Station, to be located south of the MacArthur Causeway.
On February 1999, Resolution 99-23061 awarded a $17,692,568.00 contract to Felix Equities, Inc. (FEI) pursuant to Bid NO.99-
97/98 for the Water and Waste Water Pump Station Upgrades (WWWPSU) in the City of Miami Beach. On June 7, 2002, the
City Administration sent FEI a Notice of Default due to the lack of progress in the project.
Due to the continued deterioration of the pump stations, the City Administration decided to secure a replacement contractor. On
June 10, 2003, pursuant to Invitation to Bid No. 10-02/03, the initial bid by Widell, Inc. (Widell) was in the amount of
$20,970,000. The City entered into very detailed negotiations with Widell and agreed upon a final cost of $17,352,615 to
complete the project; the contract was approved in Resolution 2004-25465, dated January 14, 2004 awarding $924,640 to CDM
for AlE and construction administration services for the WWWPSU..
On February 4,2004 Resolution 2004-25481 awarded construction contract for this Booster Station to Widell in the amount of
$2,602,500; authorized Amendment No. 12, in the amount of $287,507, to the Agreement between the City of Miami Beach and
COM, Inc, dated July 21 , 1992, to now provide AlE and Construction Administration Services for the Project; and affirmed of the
Development Regulations applicable to the site.
Since the re-start of the project, CDM has been providing excellent construction administration and Widell has been able to
substantially advance construction progress. Pump Station No.1, located at 11 th Street and Jefferson Avenue, has been
substantially completed and the new pumps are functional. This allowed the lifting of a moratorium imposed by DERM at that
pump station and made it possible for new businesses to connect into the system, Nevertheless, due to the complications from
the site conditions, the additional work that the contractor has done in order to accommodate existing owner-furnished materials
and equipment left over by the previous contractor, owner-requested change orders, and the normal weather delays, the project
time had to be extended in order to successfully complete the project. The overall project is expected to be completed by the first
quarter of 2006, restoring the pumping system of the City. However, this additional work requires adding seven months to the
Widell contract, which will be covered by previously allocated contingency funds, as well as additional services for CDM:
$252,840 for the Pump Station Upgrades project and $26,042 for the Terminal Island Booster Pump Station and 20" Water Main
Project. Funds for these services are available from respective project contingencies. These additional services include Resident
Inspection Services and General Services. General Services include the Construction Administration of the project as well as the
review process for Shop Drawings and Request for Information and the evaluation and recommendation for Change Order
Requests, Request for Proposals, Work Order Directives and Permitting Assistance.
In dealing with owner-furnished materials and equipment, the project has used a considerable amount of contingency funds.
Should these funds be exhausted and a need for additional funding exists, the Administration will seek additional funding. The
Administration recommends approval of this Amendment.
Advisory Board Recommendation:
I N/A
Financial Information:
Source of
Funds:
Finance Dept.
From previous appropriations.
TH
005\Oct1905\Regular\PS CDM ads s
AGENDA ITEM
C7C-
!~-If~
DATE
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.miamibeachfl.gov
To:
From:
COMMISSION MEMORANDUM
Mayor David Dermer and
Members of the City Commission
Jorge M. Gonzalez \~
City Manager (fv 0
Date: October 19, 2005
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA APPROVING AN AMENDMENT TO THE
AGREEMENT WITH CAMP, DRESSER AND MCKEE {CDM}, TO PROVIDE
ADDITIONAL ENGINEERING SERVICES FOR UPGRADING WATER AND
SEWER PUMPING STATIONS, DUE TO THE EXTENSION OF THE
CONSTRUCTION PHASE; SAID AMENDMENT PROVIDING FOR
CONSTRUCTION ADMINISTRATION, SHOP DRAWING REVIEW AND
FIELD OVERSIGHT SERVICES FOR THE WATER AND WASTE WATER
PUMP STATIONS UPGRADES, AND FOR THE 20" WATER MAIN &
BOOSTER TERMINAL ISLAND STATION PROJECTS, IN THE AMOUNT
OF $278,882.
ADMINISTRATION RECOMMENDATION
Subject:
Adopt the Resolution.
FUNDING
Funding is available from the respective project's contingencies for these services.
ANAL YSIS
On July 8, 1992, the Mayor and City Commission adopted Resolution 92-20540,
authorizing the Mayor and City Clerk to execute an Agreement with the firm of Camp,
Dresser and McKee, Inc. (CDM), to provide architectural and engineering services for 1)
the upgrade of the sewer and water pumping stations, and 2) to design a new Water
Booster Pump Station, to be located south of the MacArthur Causeway. The Agreement
provided for the work to be performed in three Phases: 1- Preliminary Design, 2 - Final
Design, and 3 - Services during Construction.
Pump Station Uparades
On February 1999, Resolution 99-23061 awarded a $17,692,568.00 contract to Felix
Equities, Inc. (FEI) pursuant to Bid No.99-97/98 for the Water and Waste Water Pump
Station Upgrades in the City of Miami Beach.
On May 21,2001, FEI submitted a Request for Equitable Adjustment (REA) to the City's
consulting engineer Camp Dresser & McKee, Inc. (CDM) for approximately $1.7 million,
City Commission Memorandum
October 19, 2005
Water and Wastewater Pump Station Upgrades CDM Additional Services extended time
Page 2 of 4
representing increased costs the Contractor attributed to delays associated with the
project. Repeated City requests for FEI to submit specific documentation to support the
REA were not provided in sufficient detail to allow a thorough analysis by CDM or City staff.
Without this information, the City could not evaluate the Contractor's REA.
On June 7, 2002, the City Administration sent FEI a Notice of Default due to the lack of
progress in the project and provided FEI 10 days to correct the lack of progress issues.
Upon FEI's failure to properly remedy its lack of progress, the City Administration certified
FEI in default on June 18, 2002. Subsequently, on July 10, 2002, and pursuant to Article
8.8 of the City's contract with FEI, the Administration recommended that the City
Commission remove the prosecution of work from the hands of FEI and authorize the City
Manager, or designee, to prosecute the remainder of the work. The City Commission
approved this request on that date through Resolution 2002-24924.
On July 9, 2002, the day before the City Commission action noted above, Linc Net, the
parent company of FEI, filed for bankruptcy and an automatic stay was placed on the FEI
contract. This action precluded the City from implementing any action regarding FEI and
FEI's contract without Bankruptcy Court approval. Subsequent demands and settlement
discussions continued throughout the balance of 2002 and into 2003. Negotiations on this
matter continued between the City and USF&G in order to obtain a resolution on their
obligations under the performance bond.
Due to the continued deterioration of the pump stations, the City Administration decided in
late 2002 that it was not in the City's interest to continue to wait for the conclusion of the
FEI/Surety issues noted above before continuing the project. Therefore, the Administration
decided to complete the previously approved informal bid process to secure a replacement
contractor.
On June 10, 2003, the deadline for bids pursuant to Invitation to Bid No. 10-02/03, bid
proposals were received at the Procurement Department. The initial bid by Widell, Inc.
was in the amount of $20,970,000; and after detailed negotiations; CIP staff and CDM, as
well as personnel from Widell, agreed upon a final contract amount of $17,352,615 to
complete the project. The contract was approved by Resolution 2004-25465, dated
January 14, 2004.
Resolution 2004-25465 stated that the amount for professional services awarded to CDM
at that time was only an estimate since the City had not yet initiated negotiations regarding
the final scope of services and corresponding fees. At that time, $500,000 was awarded to
CDM for initial services.
The City approved additional moneys for CDM in Resolution 2004-25627 for "Shop
Drawing, Samples and Miscellaneous Issues" (Task 2.0) and the "Resident Project
Representative" (Task 3.0) in the amount of $424,640. All other services had been
contemplated in the initial services approved in Resolution 2004-25465. The total fee for
these professional services was negotiated with an upper limit amount of $924,640
(original $500,000 plus this additional $424,640).
City Commission Memorandum
October 19, 2005
Water and Wastewater Pump Station Upgrades CDM Additional Services extended time
Page 3 of 4
Booster Pump Station
In 2000, the City formally re-packaged the Water Booster Pump-Station work into a new
stand alone project, with the inclusion of approximately 2,600 linear feet of 20-inch water
main from the Booster Station to the mainland, and east to Alton Road. From 2000 to
2003, the project was in design and addressed several modifications, adjustments to the
relocation of the building and re-submittals to the Design Review Board (DRB).
On February 4, 2004, Resolution 2004-25481 awarded the construction contract to Widell,
Inc., for the construction of the MacArthur Causeway 20-inch Water Main and Terminal
Island Water Booster Pump Station, in the amount of $2,602,500; and approved the
execution of Amendment No. 12, in the amount of $287,507, to the Agreement between
the City of Miami Beach and Camp Dresser McKee, Inc. dated July 21, 1992, to provide
architectural, engineering and construction administration services and affirmed the
Development Regulations applicable to the site.
Additional Services
CDM has been providing excellent construction administration and Widell has been able to
substantially advance construction progress. Pump Station No.1, located at 11 th Street and
Jefferson Avenue has been substantially completed and the new pumps are functional.
This allowed the lifting of a moratorium imposed by DERM at that pump station and made it
possible for new businesses to connect into the system. Widell, assisted by CDM, has
completed most of the exterior structures and advanced in the restoration of several
stations. Pump Station No.28 is expected to be substantially completed in October 2005.
Nevertheless, due to the complications from site conditions, the additional work that the
contractor has done in order to accommodate the existing owner-furnished materials and
equipment left over by the previous contractor; owner-requested change orders, and the
normal weather delays, the project times had to be extended in order to successfully
complete the projects.
In dealing with owner-furnished materials and equipment, the projects have used a
considerable amount of contingency funds. Should these funds be exhausted and a need
for additional funding exists, the Administration will seek additional funding.
These two projects are expected to be completed by the first quarter of 2006, restoring the
pumping system of the City. However, this additional work requires adding seven months to
the Widell contracts, which will be covered by previously allocated contingency funds, as
well as additional professional services from CDM. These additional services include
Resident Inspection Services and General Services. General Services include the
Construction Administration of the project as well as the review process for Shop Drawings
and Request for Information and the evaluation and recommendation for Change Order
Requests, Request for Proposals, Work Order Directives and Permitting Assistance.
City Commission Memorandum
October 19, 2005
Water and Wastewater Pump Station Upgrades CDM Additional Services extended time
Page 4 of 4
The additional funds are required as follows:
. $252,840 for Water and Waste Water Pump Stations Upgrades
. $26,042 for the MacArthur Causeway 20" Water Main and Terminal Island Booster
Pump Station.
CONCLUSION
At this time, the physical and operating conditions of some of the pump stations are in
emergency status and Widell has successfully completed work at several of the pumping
stations. Awarding these additional services to CDM of $278,882 for construction
administration, shop drawing review, permitting assistance and field observation services,
will allow the constru'ction administration services to ensure the best performance of the
contractor.
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