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HomeMy WebLinkAboutR-88-02094 40 J-88-215 2/23/88 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO REDUCE THE RETAINAGE IN THE CONTRACT BETWEEN THE CITY OF MIAMI AND PNM CORPORATION FOR THE CONSTRUCTION OF BAYFRONT PARK REDEVELOPMENT PHASE II FROM 10% TO 7.5%. WHEREAS, there exists a contract dated January 24, 1986, between the City of Miami and PNM Corporation, in the amount of $7,601,528, for the construction of Bayfront Park Redevelopment Phase II; and WHEREAS, the retainage currently being held by the City contains payment for work funded by Florida Recreation Development Assistance Program (FRDAP), Land and Water Conservation Fund (LWCF), and U.S. Department of Housing and Urban Development (UDAG) grants used to partially fund the project; and WHEREAS, reimbursement of the monies retained cannot be obtained by the City from the granting agency until payment of the retainage is made to the contractor; and WHEREAS, the City is desirous of obtaining reimbursement from the granting agency immediately to avoid the possibility of losing the grants; and WHEREAS, the Director of the Department of Public Works agrees that the reduction of the 10% retainage to 7.5% will not adversely affect the control and ultimate completion of the project and recommends the reduction; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: ;;1TY COMMISSION I MEETING OF 1 MAR 10 19888 R'S."MI0N No. 88- - R `. MARKS, op off* 4 ,Q, Section 1. The City Manager is hereby authorized to reduce the retainage in the contract between the City of Miami, Florida, and PNM Corporation for the construction of Bayfront Park Redevelopment Phase II from 10% to 7.5%. PASSED AND ADOPTED THIS loth day of March , 1988. PREPARED AND APPROVED BY: ,eO4,e �;7 I-- . &S44L CHIEF DEPUTY CITY ATTORNEY / 1 UAKUIA DIREC ROOF FINANCE DEPARTMENT DIR 0 PLANNING DEPARTMENT ATO FORM AND CORRECTNESS: TOR Y MANAGEMENT AND BU ET DEPARTMENT W2W SS209: N 0% 1 .y City OF MIAMI, FLOIRIOA INTEROFFICE MEMORANDUM TO Honorable Mayor and DATE MAR - 1 Igoe "LE B-3205-E Members of the City Commission SUSJECr Resolution to Reduce Retai nage Bayfront Park Redevelopment Phase II FROM REFERENCES Cesar H. Odi City Manager ENCLOSURES Resolution RECOMMENDATION: It is respectfully recommended that the City Commission adopt a Resolution authorizing the City Manager to reduce the retainage in the contract between the City of Miami and PNM Corporation from 10% to 7.5%. BAC ROUND: The Director of Public Works agrees that the reduction of retainage on this project will not affect the control and ultimate completion of the project and therefore recommends the reduction in retainage. The City of Miami is currently holding a 10% retainage on payments to the contractor on the Bayfront Park Phase II project, in accordance with the terms of the contract. Included in this 10% retainage is payment for work that is funded by Florida Recreation Development Assistance Program (FROAP), Land and Water Conservation Fund (LWCF), and U.S. Department of Housing and Urban Development (UDAG) grants. In order for the City to receive reimbursement for work funded by the grants, from the granting agencies, payment must first be made by the contractor. Normally, the City would wait until all work is completed on the project and then seek reimbursement from the granting agency, but in this case the time limit for reimbursement for the grants is nearly expired and a timely application for reimbursement is required.