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2007-26576 ResoRESOLUTION NO. 2007-26576 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROPRIATING FUNDS, IN THE AMOUNT OF $95,500, FROM THE 2% RESORT TAX FUND 160; SAID APPROPRIATION TO FUND THE INSTALLATION OF PERMANENT EXTERNAL UTILITY CONNECTIONS ADJACENT TO THE 21sT STREET BEACHFRONT RESTROOMS, TO BE USED ON AN AS NEEDED BASIS FOR SPECIAL EVENTS; AND SAID APPROPRIATION TO FURTHER FUND THE ASSOCIATED CHANGE ORDER TO TRAN CONSTRUCTION INC. PURSUANT TO RESOLUTION NO. 2004-25741 FOR WATER AND SEWER INSTALLATIONS, IN THE AMOUNT OF $10,500; AND SAID APPROPRIATION TO ALSO FUND THE WORK TO BE COMPLETED BY ONE OF THE CITY'S JOB ORDER CONTRACTING PROGRAM (JOC) CONTRACTORS, FOR ELECTRICAL INSTALLATIONS, IN THE AMOUNT OF $85,000. WHEREAS, on November 10, 2004, the City Commission adopted Resolution No. 2004-25741, authorizing the City to enter into aDesign-Build Agreement with Tran Construction, Inc. to construct the beachfront restrooms and concession facilities located east of Collins Avenue at 21st Street (Agreement); and WHEREAS, current and projected use of the site for special events and the desire to limit noise and other environmental impacts resulting from special events prompted the Tourism and Cultural Development Department (TCD) to consider options to improve access and use of the site; and WHEREAS, TCD approached the Capital Improvements Projects Department (CIP) with a request to research the feasibility of adding external utility (water, sewer, and electrical) connections, east of the coral rock wall, that could be metered and used on an as needed basis for special events; and WHEREAS, Tran Construction was requested to submit an estimate for a change order to the scope of work in its Agreement, to include water, sewer and electrical connections, east of the coral rock wall, adjacent to the 21St Street restroom, which was estimated at $4,500 for design, and $6,000 for the water and sewer installations; and WHEREAS, the electrical portion of the work will be carried out by one of the City's JOC contractors, and the current estimate is $ 85,000; and WHEREAS, the estimate exceeds the current construction contingency and, therefore, additional funding is required, in the amount of $95,500; and WHEREAS, based on current and anticipated usages, the City expects to offset its investment within two to three years. 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 appropriate funds, in the amount of $95,500, from the 2% Resort Tax Fund 160; said appropriation to fund the installation of permanent external utility connections adjacent to the 21St Street beachfront restrooms, to be used on an as needed basis for special events; and said appropriation to further fund the associated change order to Tran Construction Inc. pursuant to Resolution No. 2004-25741 for water and sewer installations, in the amount of $10,500; and said appropriation to also fund the work to be completed by one of the City's Job Order Contracting program contractors, for electrical installations, in the amount of $85,000. PASSED and ADOPTED this 11th da-- ~` Tnly ~nn~ ATTEST: U ~~~ CITY CLERK Robert Parcher T:\AGENDA\2007\ju11107\Consent\21st Street Restroom Addl Scope_reso 2 .doc APPROVED AS TO FORM & LANGUAGE t~ FOR ~(ECUTION 30 liavia liermer COMMISSION ITEM SUMMARY f`nnrlnncnrl Ti4~P' A Resolution appropriating funds, in the amount of $95,500, from the 2% Resort Tax Fund 160, said appropriation to fund the installation of permanent external utility connections adjacent to the 215` Street beachfront restrooms; and said appropriation to further fund the associated change order to Tran Construction Inc. for water and sewer installations, in the amount of $10,500 ;and also to fund the work to be completed by one of the City's Job Order Contracting Program (JOC) Contractors, for electrical installations, in the amount of $85,000. Key Intended outcome 5upportea: Im rove availabilit and accessibilit of major events. Supporting Data (Surveys, Environmental Scan, etc.): In the 2007 Community Satisfaction Survey, "more cultural and recreational activities" were listed by residents as a change that would make Miami Beach a better place to live, work, play or visit. Residents also identified as a key driver the city's job in handling major events (66% said very good/good), as well as the tourism industry's contributions to quality of life (78% strongly agree/agree). In addition, 28% of our residents said they wanted to see more live music/concerts in the City, with an additional 10% selecting art shows, and 6% selecting music/movies on the beach as categories of cultural activities they would like to see more of in the City. Issue: hall the Cit Commission a rove the Resolution? Item 5ummaryiKecommenaatwn: On November 10, 2004, the City Commission adopted Resolution No. 2004-25741 authorizing the City to enter into adesign-build agreement with Tran Construction to construct the beachfront restrooms and concession facilities located east of Collins Avenue at 21st Street. Subsequently, the Tourism and Cultural Development Department approached the Capital Improvements Projects Department with a request to research the feasibility of adding external utility (water, sewer, .and electrical) connections, east of the coral rock wall, that could be metered and used on an as needed basis for special events. Currently, any event using the site must bring temporary electrical and water service to the site. These uses, specifically the use of generators to power the site, create noise and require daily diesel fuel deliveries. The Collins Park Neighborhood Association has expressed a strong desire to continue to host special events compatible with the neighborhood, but also felt it was in its best interest to install these permanent connections in order to -imit the need for temporary service and the impacts associated with them. t the City's request, Tran Construction provided an estimate of $ 4,500 for design, and $6,000 for the water and ewer installations. The electrical portion of the work will be carried out by one of the City's JOC contractors; the urrent estimate is $ 85,000.The estimate exceeds the current construction contingency and, therefore, dditional funding is required in the amount of $95,500. Construction of the public restroom and concession 3cilities began November 2006 and is currently 80% complete. Construction of the restroom is in the final stage rith completion scheduled for August 2007. The original project budget totaled $458,075 and additional funding •om RDA was appropriated in October 2006, for a change order in the amount of $72,009, bringing the total roject budget to $530 084. Adviso Board Recommendation: /A Financial Information: ource of Amount Account Funds: 1 95,500 2% Resort Tax Fund 160 2 OBPI otal 95,500 financial Impact Summary: This investment will be offset by revenues generated from special events using this area. Art Basel Miami Beach already generates $15,000. They would also be charged for usage of the utility if it were installed. There are additional roductions scheduled to enerate $33,000 in revenue, lus utilit usa e. Ci Clerk's Office Le islative Trackin ax Sklar ext.6116 Si n-Offs: Department Director As i~ ant City Manag r City Manager AS JEC H HMF MG ..~ (T:WGENDA\2007\ju11107\Consent\21 st Street Re~t~om Addl Scope_summ ldoc) // ( J m MIAMIBEACH A~1=1~IaA I-rl~ ~7~- i~ArE x-11 m MIAMIBEACH City of Miomi Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor David Dermer and Members of the City Commission FROM: Jorge M. Gonzalez, City Manager ~ ~~ DATE: July 11, 2007 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROPRIATING FUNDS, IN THE AMOUNT OF $95,500, FROM THE 2% RESORT TAX FUND 160; SAID APPROPRIATION TO FUND THE INSTALLATION OF PERMANENT EXTERNAL UTILITY CONNECTIONS ADJACENT TO THE 21ST STREET BEACHFRONT RESTROOMS, TO BE USED ON AN AS NEEDED BASIS FOR SPECIAL EVENTS; AND SAID APPROPRIATION TO FURTHER FUND THE ASSOCIATED CHANGE ORDER TO TRAN CONSTRUCTION INC. PURSUANT TO RESOLUTION N0.2004-25741 FOR WATER AND SEWER INSTALLATIONS, IN THE AMOUNT OF $10,500; AND SAID APPROPRIATION TO ALSO FUND THE WORK TO BE COMPLETED BY ONE OF THE CITY'S JOB ORDER CONTRACTING PROGRAM (JOC) CONTRACTORS, FOR ELECTRICAL INSTALLATIONS, IN THE AMOUNT OF $85,000. ADMINISTRATION RECOMMENDATION: Adopt the Resolution. FUNDING Funds in the amount of $95,500.00 are available from the 2% Resort Tax Fund 160. ANALYSIS On November 10, 2004, the City Commission adopted Resolution No. 2004-25741 authorizing the City to enter into adesign-build agreement with Tran Construction to construct the beachfront restrooms and concession facilities located east of Collins Avenue at 21st Street. This was done pursuant to bid award No. 03-02/03, as approved by Resolution No. 2003-25196. Subsequent to the start of construction, the Tourism and Cultural Development Department (TCD) approached the Capital Improvements Projects Department (CIP) with a request to research the feasibility of adding external utility (water, sewer, and electrical) connections, east of the coral rock wall, that could be metered and used on an as needed basis for special events. This request was brought about as a result of the current and projected use of the site for special events and the desire to limit noise and other environmental impacts resulting from special events. Additionally, considering the construction schedule of the 21St street restroom and concession facilities, TCD determined it was logical to take advantage of the fact that this project was already taking place and investigate whether or not it was feasible to add this to Tran's scope ~f work. Commission Memorandum - 21St Street Restroom July 11, 2007 Page 2 of 3 Currently, any event using the site must bring temporary electrical and water service to the site. These uses, specifically the use of generators to power the site, create noise and require daily diesel fuel deliveries. The Collins Park Neighborhood is undergoing a major transformation. Adjacent to the site the W Hotel is currently under construction, the Gansevoort Hotel (formerly the Roney Palace) is under renovation and the Days Inn (proposed site of the James Hotel) has announced a planned renovation and expansion. While the site is expected to continue to host special events like Art Basel Miami Beach, the Administration believes it is in the best interest of the neighboring community to minimize potential impacts from special events. In fact, the Collins Park Neighborhood Association has expressed a strong desire to continue to host special events compatible with the neighborhood, but also felt it was in its best interest to install these permanent connections in order to limit the need for temporary service and the impacts associated with them. Therefore, Tran Construction was requested to submit an estimate for a change order to the scope of work to include water, sewer and electrical connections east of the coral rock wall adjacent to the 21St Street restroom. These connections would be independently secured with secondary meters, controlled by the City, in order to provide service to event producers and charge for usage. The contractor provided an estimate of $4,500 for design, and $6,000 for the water and sewer installations. The electrical portion of the work will be carried out by one of the City's JOC contractors; the current estimate is $ 85,000. The estimate exceeds the current construction contingency and, therefore, additional funding is required in the amount of $95,500. It is important to note that this investment will be offset by revenues generated from special events using this area. As you know, Art Basel Miami Beach uses the space annually. They are already charged $15,000 for use of the area. They would also be charged for usage of the utility if it were installed. Additionally, the City has negotiated a lease with Spiegel LP who will be producing a live theatrical show with musical performances and concession services. Spiegel will generate $33,000 in revenue, plus utility usage. As such, the City expects it can offset its investment within two to three years. Construction of the public restroom and concession facilities began November 2006 and is currently 80% complete. Construction of the restroom is in the final stage with completion scheduled for August 2007. The original project budget totaled $458,075, broken down as follows: BATHROOM FACILITY: 21st STREET COST BREAKDOWN DESIGN $ 14,030 CONSTRUCTION COST $ 379,430 CONTINGENCY $ 37,943 AIPP $ 5,691 CIP FEE $ 20,981 TOTAL: $ 458,075 FUNDING SOURCE RDA $ 458,075 Commission Memorandum - 21 S` Street Restroom July 11, 2007 Page 3 of 3 Additional funding from RDA was appropriated in October 06, for a change order in the amount of $72,009, bringing the total project budget to $530,084. CONCLUSION Based on the above information, the Administration has determined that it is in the City's best interest to increase the amount of funding for the 21 S' Street Beachfront Restroom project, and recommends that the Mayor and City Commission approve appropriation of additional funds in the amount of $95,500.00 from the 2% Resort Tax Fund 160 for the construction of permanent external utility connections to be used on an as needed basis for special events. T:WGENDA\2007\ju11107\Consent\21st Street Restroom Addl Scope 2 .doc