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HomeMy WebLinkAboutItem #40 - Discussion ItemKI CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM 31 To Honorable Mayor and DATE AUGc 1 9� F`LE Members of the City Commission J SUBJECT Scattered Site Housing - Model City Phase III Increase in Contract FROM REFERENCES i j CeENCLOSURES s io C i t ag er RECOMMENDATION It is respectfully recommended that the City Commission adopt the attached Resolution authorizing increase in the contract between Robinson Construction, Inc. and the City of Miami for Scattered Site Housing Homeownership Development Program - Model City Phase III, not to exceed $34,000; and further ratifying the City Manager's written finding that the increase resulted from emergency circumstances. BACKGROUND The Department of Public Works, in an effort to serve all residents of the City of Miami, has determined that it is now appropriate and in order for the City Commission to ratify the City Manager's decision to increase a contract dated February 27, 1990, between the City and Robinson Construction, Inc, for construction of Scattered Site Housing Homeownership Development Program -- Model City Phase III B--3240--C, in the amount not to exceed $34,000 for necessary extra work, and to ratify the City Manager's emergency finding that allowed the extra work to continue on all three projects. The City Commission awarded a contract to Robinson Construction, Inc, for the construction of Scattered Site Housing Homeownership Development Program -- Model City Phase III, Project No. 321034 in the amount of $85,500, on October 12, 1989. Generally, the project consisted of the construction of two, three --bedroom, two -- bathroom, single --family residences on City owned scattered housing sites. As the construction progressed, some unexpected conditions developed for the small -firm contractor which affected the construction costs. These conditions are outlined below: 3 .1,' Se 0S511) nJ r 1. The scattered site locations had unforeseen security , problems which in many instances required the contractor to replace and redo phases of the work due to vandalism and theft. 2. The locations required sidewalk and curb and gutter replacement work that was not anticipated by the contractor. 3. Window specifications were revised to satisfy building code requirements which resulted in extra costs for the houses. 4. Site clearing and haul --off of illegally dumped debris were required for some of the locations. 5. Building material costs escalated and increased for the contractor since being awarded the contracts. 6. Electric service to the houses had to be revised from that originally shown on the architect's plans. The above items caused delays in the scheduled completion of the houses. The City was allocated specific surtax mortgage financing for the prospective home buyers. Work on the subject houses was underway, and in several cases, prospective buyers were identified when the contractor requested additional monies to complete the houses. Further delays in construction would impact the prospective buyers and place the City at risk of having Dade County's Documentary Surtax Advisory Board rescinding mortgage funds. It was decided that the most cost effective and expeditious manner to address all of the above problems was to allow Robinson Construction, Inc. to proceed with the extra work and complete the construction of the houses as soon as possible. Funds are available for the aforesaid contract increase from monies already appropriated to the project in the City's Capital Improvement Appropriate Ordinance No. 10642, Project No. 321034. 93- 549.1 CITY OF' •MiAMI, FLORIDA INTER -OFFICE MEMORANDUM -, Cesar H. Odio oATE: December 9, 1991 FILE B-324C City Manager . i SUaJECT: Scattered Site Housing - w Model City Pnase III Contractor Failing To Complet r4oM V REFERENCES : Houses As Planned La' Prieto-Portar, Ph.D., P.E. Di r et f o r of P u b l i c W o r K 5 ENCLOSiJRE3 Robinson Construction, Inc. was awarded two contracts to construct six (6) houses with four mouses and two houses respectively per contract. The worK began on the contracts in 1990 with a planned slow down due to lacK of potential buyers. Prospective buyers were subsequently identified and completion schedules adjusted witm the contractor for second quarter in 1991 completion. The contractor continued to fall further behind and did not snow sufficient progress. In August 1991 three mouses were deleted from Robinson Construction's contract and awarded informally, on an emergency basis, to anotner contractor. Robinson presently is unable to complete two houses next to each other at 1741 A/B N.W. 55 Street along with a third house at 5845 N.W. 12 Avenue witnout an increase in contract. Tne Department of Development b Housing Conservation has secured financing for the prospective buyers for the three homes. There exist an emergency need to complete the houses to avoid losing the financing available for the prospective buyers. The financing is available through December 31, 1991. Public WorKs request your authorization to taKe the following steps to ensure that the nouses are completed by the required deadline: 1. 2. Manage the remaining worK by directing the contractor's scheduling of trade worK (e.g. all materials and labor) and controlling further authorization of payments for materials and subcontract worK. Establish procedure with City Finance Department, Accounts Payable and Housing Department, to issue co -payment cheeKs to Robinson Construction and suppliers and subcontractors. - 1 - 3 Cesar H. Odio City Manager December 9, 1991 Page 02 3. Proceed with above items 1 and 2 to finish the houses by increasing the contracts by $40,000 as detailed below: PROJECT DESCRIPTION CONTRACT SCATTERED SITE HOUSING AMOUNT INCREASE +% INCREASE Model City Pnase II Job B-3240-B (1 mouse) $42,800 $20,000 +46.7% Model City Phase III Job 8-3240-E (2 mouses) $85,500 ftOs,00d +23.4% Totals $138,300 $40,000 +31.2% Final construction cost for the one (1) home to be constructed under the Model City Phase II (8-3240-8) with the $20,000 increase in contract is estimated at $62,800. Moreover, the final construction cost for the two (2) hopes to be constructed under the Model City Phase III (8-3240-C) with the $20,000 Increase in contract is estimated at $105,500 or $52,750 per unit. The price for eacn of the 3-bedroom 2-batn unit is $59,900. Base on the selling price of $59,900 per unit, the City will still be able to recoup the additional $40,000 which is required to complete the construction of the three (3) new single family planned under Model City Phase II and III. Development and Housing has advised Public Works that the additional $40,000 is available to increase the contracts as detailed above. APPROVED: CITY MANAGER JHJ:au cc: Carlos E. Garcia, Finance Department Herbert J. Bailey, Development 8 Housing Conservation Dept. Jeffrey 8. Hepburn, Development & Housing Conservation Dept. ', 93 • .. � V: 1'wA t V4i AI�u I�ItatEIET� Q� T�� C4MMISSIQ R. Y. I. CITY OF..MIAMI, FIR PSM1'. 4L DATE_ INTER -OFFICE MEMORANDUM Cesar H. Odio LATE March 10, 1992 C'LE B-324C- City Manager SUaJECT Scattered Site Housing - Model City Phase III / Increase In Contract REFERENCES Waldemar E. Lee Acting Director of Public Works ENCLOSURES Public Works has been directing the construction of two (2) houses under construction by Robinson Construction. Inc. The houses are located at 1741 A & B N.W. 55 Street. The contractor has had many problems completing the houses primarily due to lack of financing and mismanagement. The prospective buyers for these two houses have been waiting for some time to close on the houses. They have been granted extensions by the City and Citibank Savings on consummation of the purchase of the houses because of the construction delays which has created problems for the home buyers. Through efforts of Public Works the houses presently have plumbing and electrical Building and Zoning Department final inspections. The air conditioning units will be set this week and the Certificate of Occupancy is expected to follow. Back in December, 1991, Public Works received your approval to direct and manage the contractor in a detailed task approval -for -payment manner. That has been done with dual party checks issued for work on the houses. The contract was increased by $20,000 to a total of $105,500 (2 houses). The final cost of the houses will increase another $14,000. This brings the total construction cost to $119,500, and $59,750 per house. The Department of Development and Housing Conservation has worked very closely with Public Works on the situation of Robinson Construction difficulty in building the houses. The Department of Development and Housing Conservation has advised Public Works that the additional funds are available for the increase. We hereby request your approval deeming this an EMERGENCY NEED to increase the contract an additional $1I*,) A00v APPROVED: CITY MANAGER DCB,au cc: --Carlos E. Garcia, Finance Department Herbert J. Bailey, Development & Housing Conservation Dept. Judy S. Carter, Chief Procurement Officer, GSA/S.W. Dept. Jeffery B. Hepburn, Development & Housing Conservation Dept. CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM I TO: Matty Hirai DATE July 19, 1993" FILE B--3240--C j City Clerk SUWECT SCATTERED SITE HOUSING --MODEL i CITY PHASE III Increase in Contract _ Request to Publish Notice for FROM �.� REFERENCES Public Hearing Waldemar E. Lee Director of Public Works ENCLOSURES I Please make arrangements to publish a Notice of Public Hearing for objections to a proposed increase in the contracts with Robinson Construction, Inc. for construction of Scattered Site Housing Homeownership Development Program --Model City Phase III for the Commission Meeting of September 9, 1993• DCB:au ee: City Clerk Tax & License Cost Analysis Contract B--3240--C Approved: r Aurelio Perez--Lugones �j Legislative Administrator a 3— 19. 1 CITY OF MIAMI, FLORIDA NOTICE TO THE PUBLIC j A public hearing will be held by the Commission of the City of Miami, Florida, on September 9„ 1993, at a.m. in the City Commission Chambers at City Hall, 3500 Pan American Drive, Miami, Florida, for the purpose of hearing any objections from any interested parties affected by an increase in the contract between Robinson Construction, Inc. and the City of Miami in an amount not to exceed $34,000 for necessary extra work at Scattered Site Housing Homeownership Development Program --Model City Phase III, B•-3240--C, Project No. 321024; and in ratifying the City Manager's finding that the aforesaid increases resulted from emergency circumstances. All interested persons are invited to appear and may be heard concerning these items. Should any person desire to appeal any decision of the City Commission with respect to any matter considered at this hearing, that person shall ensure that a verbatim record of the proceedings is made, including all testimony and evidence upon which any appeal may be based. (City Seal) Matty Hirai City Clerk Miami, Florida 93- 5.19.1 J-93-607 8/23/93 RESOLUTION NO. A RESOLUTION AUTHORIZING AN INCREASE, IN AN AMOUNT NOT TO EXCEED $34,000.00, IN THE CONTRACT BETWEEN THE CITY OF MIAMI, FLORIDA, AND ROBINSON CONSTRUCTION, INC., DATED FEBRUARY 27, 1990, FROM $85,000.00 TO $119,000.00, FOR THE SCATTERED SITE HOUSING HOMEOWNERSHIP DEVELOPMENT PROGRAM -MODEL CITY, PHASE III, B-3240-C, CAPITAL IMPROVEMENT PROJECT NO. 321034; AUTHORIZING SAID FUNDS TO BE PROVIDED FROM CAPITAL IMPROVEMENTS ORDINANCE NO. 10642 FUNDS ALREADY APPROPRIATED TO THE PROJECT; FURTHER RATIFYING THE CITY MANAGER'S WRITTEN FINDING, BY AN AFFIRMATIVE VOTE OF 4/5THS OF THE MEMBERS OF THE CITY COMMISSION, THAT THE HEREIN INCREASE RESULTED FROM EMERGENCY CIRCUMSTANCES. WHEREAS, there exists a contract dated February 27, 1990, between the City of Miami, Florida and Robinson Construction, Inc., for Scattered Site Housing Homeownership Development Program -Model City, Phase III, B-3240-C, Capital Improvement Project No. 321034; and WHEREAS, an increase, in an amount not to exceed $34,000.00, for the aforesaid contract is required to cover the cost of necessary extra work involving unforeseen theft, vandalism and other security problems; replacement of deteriorated sidewalk, curb and gutters not included in the original contract; revisions to window specifications to satisfy building code requirements; l/ 93- 549.1 increase to be provided from monies already appropriated to the project. Section 3. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this - day of 1993. ATTEST: MATTY HIRAI CITY CLERK CAPITAL PROJECT REVIEW: 1. EDUARDO RODRIGUEZ CAPITAL IMPROVEMENT MANAGER DEVELOPMENT AND HOUSING CONSERVATION REVIEW: 1-51 JEFFERY B. HEPBURN i ASSISTANT DIRECTOR PREPARED AND APPROVED BY: CARMEN L. LEON ASSISTANT CITY ATTORNEY CLL:esk:M3812 i XAVIER L. SUAREZ, MAYOR SUBMITTED BY: WALDEMAR E. LEE DIRECTOR OF PUBLIC WORKS APPROVED AS TO FORM AND CORRECTNESS: a��7 --v7 !- /r . Q N S, III CITY ATT Y 030'�� 93— 19. a