HomeMy WebLinkAboutR-03-0036J-02-1049
12/04/02
RESOLUTION NO. 0 3 " 0 3 6
A RESOLUTION OF THE MIAMI CITY COMMISSION
ESTABLISHING AND AUTHORIZING CERTAIN
ALLOWABLE LAND ACQUISITION AND ADMINISTRATIVE
CHARGES FOR CAPITAL IMPROVEMENT PROJECTS
("CIP") OF THE CITY; FURTHER AUTHORIZING THE
CITY MANAGER TO NEGOTIATE INTERLOCAL
AGREEMENTS TO ENABLE CIP PROGRAM PERSONNEL TO
PERFORM DESIGN AND CONSTRUCTION MANAGEMENT
SERVICES FOR THE DOWNTOWN DEVELOPMENT
AUTHORITY, MIAMI SPORTS AND EXHIBITION
AUTHORITY, VIRGINIA KEY BEACH PARK TRUST,
COMMUNITY REDEVELOPMENT AGENCY AND THE MODEL
CITY HOMEOWNERSHIP TRUST.
BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA:
Section 1. The following allowable administrative
charges to defray the City's personnel costs incurred by the
City in having the Capital improvement Projects ("CIP")
employees perform services relative to Capital Improvement
Programs are established:
(a) Land Acquisition: actual cost not to exceed 40 of
the land costs in Project Appropriation.
CITY COM MS—SION
zfm OF
JAN 0 9 2001
(i
(b) Design and Construction Management: actual cost
not to exceed 100 of Project Appropriation.
(c) Design and Construction Management PLUS
Architect/ Engineer Services: actual cost not to
exceed 15% of Project Appropriation (in lieu
of (b)) .
Section 2. Subject to the limitations set forth in this
Resolution the City Manager or CIP Director may vary but not
increase these stated percentages without the approval of the
City Commission.
Section 3. The City Manager is authorized!/ to negotiate
interlocal agreements, in a form acceptable to the City
Attorney, between the City and the Downtown Development
Authority, Miami Sports and Exhibition Authority, Virginia Key
Beach Park Trust, Community Redevelopment Agency and/or the
Model City Homeownership Trust, which authorizes the terms and
conditions for the CIP Department to loan its Design and
Construction Management Services under the provisions set forth
in Section 1, to these named public agencies.
1� The herein authorization is further subject to compliance with all
requirements that may be imposed by the City Attorney, including
but not limited to those prescribed by applicable City Charter and
Code provisions.
Page 2 of 3
03- 036
Section 4. This Resolution shall become effective
immediately upon its adoption and signature by the Mayor.l
PASSED AND ADOPTED this 9th day of January ,2003.
MANUEL A. DIAZ, MA
ATTEST:
PRISCILLA A.'THOMPSON
CITY CLERK _
APPROVED AS#400 CORRECTNESS: 461
FRO VILARELLO
TTORNEY
W6761:RSR:dd
�! If the Mayor does not sign this Resolution, it shall become effective
at the end of ten calendar days from the date it was passed and
adopted. If the Mayor vetoes this Resolution, it shall become
effective immediately upon override of the veto by the City Commission.
Page 3 of 3
03- 036
CITY OF MIAMI, FLORIDA 16
INTER -OFFICE MEMORANDUM
TO : The Honorable Mayor and Members DATE : 2 6 2DO2 FILE
of the City Commission DEClJ
SUBJECT : Resolution — Identifying
Soft Cost for Projects
FROM : os enez REFERENCES:
City Mana
ENCLOSURES:
Backeround
With the advent of the new Department of Capital Improvements, it is necessary to establish
policies, procedures, guidelines and requirements in order to implement a successful long-term
Capital Improvement Program. One of the initial steps of a project is the creation of both a
project scope and a project budget. As a part of the creation of a project budget it is necessary to
develop a conceptual cost estimate utilizing both soft costs (which are typically design related), as
well as hard costs (which are typically construction related). In order to create an accurate picture
of a conceptual estimate, administrative fees are an integral part of the project budget. Industry
standards have defined administrative fees as: follows: a) For Projects which simply involve land
acquisition, a 4% fee of the overall construction cost is recommended. b) For projects that
involve design management and construction management of an overall project, it is
recommended that 10% of the overall construction cost be utilized. c) For projects that involve
in-house design as well as construction management it is recommend that 15% of the overall
construction cost be utilized.
By implementing these industry standard guidelines for administrative fees, the City assures itself
that not only are their administrative fees covered for their long term Capital Improvement
Projects, but also assures that those administrative fees do not reach an excessive level.
Additionally, by building in these administrative fees into each an every project, an accurate
picture is created with regards to the total cost of a project. The guidelines as described above are
fundamental for the creation of a project's conceptual cost estimate and should be utilized for
each an every project in which the City's Department of Capital Improvements manages, as it
relates to design and construction.
Recommendation
We respectfully request that the resolution as set forth on the attached be presented before the
City Commission at its January 9, 2003, commission meeting. As stated above, the resolution
simply sets forth guidelines establishing administrative fees for each capital improvement project
that has a design and construction component. We respectfully request that these administrative
fees be incorporated in all capital improvement projects in which the new Department of Capital
Improvements manages, including those projects that it manages for other agencies. It is
anticipated that these guidelines and standards will be the first of several that come before the
City Commission in order for it to successfully and accurately budget for, and implement a long
term capital improvement program.
FISCAL IMPACT:
There is no fiscal impact associated with this change.
CAG P/gds
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