HomeMy WebLinkAboutR-80-0856RESOLUTION NO. 8 0— 8 5 6
A RESOLUTION AUTIIORIZING THE CITY MANAGER TO
INCREASE THE: SCOPE OF THE TURNKEY CONTRACT
FOR THE CONVENTION CENTEIR PARKING GARAGE: BFTWEEN
THE CITY OF MIAMI AND MIAMI ASSOCIATES, INC. IN
THE AMOUNT OF $4,800,000, SUB.1EC'1' 1'O THE 'PERMS
LU Cj)
AND C0NI)IT1ON1') SET FORTH IN ATTACHED LEITTERS
FROM 1)A1)1: SA\'I NGS AND LOAN ANI) MIAMI CENTER
.�
ASSOCIATES, INC. WITH 'I'llE REQUIREMENT "THAT SATD
FUNDS P,F. PROV I.1)I:1) BY PADIF, SAV INGS AND LOAN AND
r
1)EI'0SITED lti'I'1'H THE PAN APIEhICAN BANK IN ACCORDANCE
"I
WITH Till: AI)PLICABLE. "rRus*r INUI:N'1'l`RI: I'ROVISTON;
FURTHER AUTIIOR I IN'(; '1'llE' SUL'STTTITTION OF A DESIGN
PLAN FOR THE: CONVENTION CENTER GARAGE: BY I . ii. PEI,
ARCHTTECT, I OR THE1'REVTOC'SL1' APPROVED DESIGN PLAN
OF FERF:NDINO/GRAFTON/SPILLIS/CANDELA.
^9
WHEREAS, the City of Miami has a Turnkey Contract with Miami
Center Associates, Inc. to building a parking garage of at least
1,450 spaces for a cost not to exceed $15,000,000; and
WHEREAS, Dade Savings and Loan has a Lease Agreement with the
City to develop the air rights over the City's parking garage; and
WHEREAS, Dade Savings and Loan has proposed that the City's
garage will not accommodate its proposed tower without extensive
design changes; ,and
WHEREAS, Dade Savings and Loan has submitted a design for the
garage to the City which will accommodate its proposed World Trade
Center Tower; and
WHEREAS, Dade Savings and Loan has agreed that all costs in
excess of $15,000,000 will be the resRp.nsLbilit-y-,•of.,D"A Savings
and Loan; and rr
ITEM IrJ.
WHEREAS, Miami Center Associates, Inc, has agreed that the
existing contract will be increased in scope but that the basic
provisions remain tine same;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The City Manager is hereby authorized to issue a
change order to the Turnkey Contract for the Convention Center Park-
ing Garage with Miami Center Associates, Inc., subject to the terms
and conditions as set forth in the attached letters from Dade Savings
and Loan and Miami Center Associates, Inc., with the cost �fo-�f said/��
CITY VllIMISJIVN
I
MEETING OF �
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$4,800,000, with the requirement that said funds be provided by Dade
Savings and Loan and deposited with the Pan American Bank in accord-
ance with the applicable Trust Indenture provision.
Section 2. The substitution of a design plan for the Convention
Center Parking Garage by 1. M. Pei, Architect, for the previously
approved design plan of Ferendino/Grafton/Spillis/Candela, is
hereby approved.
PASSED AND ADOPTED this 26 day of November , 1980.
ATTEST:
VLP Ci: ONGIE
LEIRK
PREPARED AND APPOVE'D BY:
IF I
- /I - v! _Q
TERRY V. PI. tCY
ASS ISTAINT C TY ATTORNE
APP`RV17f�D AS TO FORI'A� CORRECTNESS:
i (}
GEORG,4 F. KNOY, JR.
CITY 4 TTORNEY
-2r
MAURICE A. FERRE
M A Y 0 R
8a-856
Doc.rr
'c
.�.,
and Loan Association
Mr. Richard Fosmoen
City Manager
City of Miami
3500 Pan American Drive
Miami, Florida
r-.
Re: City of Miami/University of Miami James L.
Knight International Center Parking Garage
Dear Mr. Fosmoen:
This letter is in response to your letter addressed to Ronald
Lipton, President of Dade Savings and Loan Association dated
November 13, 1980.
In that letter you indicated that you had been informed by your
developer, Miami Center Associates, Inc. that Dade's revised
plans as prepared by I.M. Pei can be accommodated by the developer
and that the increased cost will not exceed $4,800,000.00.
Dade should like, at this time, to inform you that we have agreed
with the developer for Dade's revised plans, as defined in that
letter between Dade and Miami Center Associates, Inc. of even date
a copy of which is attached hereto, to be used as the plans for the
garage with a total cost not to exceed $19,800,000.00. Since the
City is obligated to pay the cost of $15,000,000.00, by this letter
Dade obligates itself to pay any costs above the said $15,000,000.00
riot to exceed $4,800,000.00 subject to and conditioned upon the
following:
1. Both Dade and the City are relieved from any of the
time requirements set forth in Section 510 of the
Lease Agreement dated July 1, 1980.
2. The City acknowledges that approximately 12,000
square feet of space within the ,�1rage structure
will not be used for parking and will be a part of
the leasehold premises available,for use by Dade
under the terms of the Lease referred to in Paragraph
1 hereinabove. All those spaces located within the
garage and either identified as mechanical spaces,
-t � i � t• f=
Man Office • 101 East Fla ler Street • M�emr, • _ • 9 rcodp 33131 T 4hone Dade County (3051 579 2000 Broward County 587 2064
80-8r)6
VI
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DADE SAVINGS AND LOAN ASSOCIAT►vA
Mr. Richard Fosmoen(continued)
Page Two
elevator pits or similar areas used exclusively or
primarily for servicing the tower to be built above
the garage shall also be considered a part of the
demised premises under the Lease referred to in
Paragraph 1 hereinabove.
3. For purposes of identification, the -plans prepared
by I.M. Pei, as approved by the City at its Com-
mission meeting dated November 26, 1980, shall be
treated as the documents upon which said mechanical
spaces, elevator pits and the 12,000 square feet shall
be identified.
4. The City will enter into such documentation as may
be required in the future to amend the said Lease
Agreement in accordance with this understanding.
For the information of the City, we should like to inform you
that in arriving at a cost of $19,800,000.00 for the construction
of the parking garage in accordance with the revised plans as
prepared by I.M. Pei, we have calculated a fee to the Miami
Center Associates,Inc. of $1,150,000.00. You should also be
informed that Dade has a separate agreement with Miami Center
Associates, Inc., wherein all costs above the contract amount
are borne by Miami Center Associates, Inc.
If any of the above is not clearly understood by you, or if
modifications are, in your judgment, deemed appropriate, would
you please contact the undersigned immediately.
Very cordially yours,
DADE SAVINGS AND LOAN ASSOCIATION
By
MSH/js
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O
;J
LLit NGFR
FSLIC
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Da�,
SM
awand Loan ri
November 26, 1980
Miami Center Associates, Inc.
12th Floor
150 Southeast 2nd Avenue
Miami, Florida, 33131
M
Re: City of Miami/University of Miami James L.
Knight International Center Parking Garage
Gentlemen:
Pursuant to our prior discussions, the Turnkey contract between
Miami Center Associates, Inc. (hereinafter referred to as "MCA
Inc.") and the City of Miami is in the process of being modified
in accordance with the attached letter which we understand you
have forwarded to the City Manager, City of Miami. In consider-
ation of your willingness to accept the modified plans as pre-
pared by I.11,1. Pei and to have the George Hyman Construction
Company build the building in question, we are willing to agree
as follows:
1. You and the City will modify the Turnkey Agreement
so that the contract amount contained therein is raised
from $15,000,000.00 to $19,800,000.00. The City is
still responsible for paying you the first $15,000,000.00
of that price. MCA Inc. is, by this letter, agreeing to
be responsible for any costs that may be incurred above
the said $19,800,000.00 unless such additive cost is
the result of appropriately executed change orders.
Dade Savings and Loan Association (hereinafter referred
to as "Dade") will pay the difference between the sum
the City of :Miami is obligated to pay, $15,000,000.00,
and the contract amount of the Turnkey Agreement as
modified by Commission action of November 26, 1980,
$19,800,000.00, or the sum of $4,800,000.00. If, however,
the actual costs plus your fee is'less than the
$19,800,000.00, then Dade's obligation is reduced to
such lesser amount. Dade is also -responsible for such
change orders which are appropriately executed and
authorized by Dade and Dade will accompany such change
orders wit"-h the appropriate cash deposit of a sum equal
to the cost of such changes. If the total cost of the
project does not dxceed $19,800,000.00 including the
Main Office • 101 East Flagler Street • M!aml. Flonda 33131 • Telephone Dade County (3051 579 2000 BroAFd County 587 2064
s0-850;
Pk ell -
WE SAVINGS AND LOAN ASSOCIATION
Miami Center Associates, Inc.(continued)
November 26, 1980
Page Two
developer's fee as set forth hereinafter, then
Dade agrees that MCA Inc. shall be entitled to a
fee for its services as Turnkey developer, said
fee to be in the sum of $1,150,000.00 and payable
to MCA Inc. on a schedule agreeable to the City.
a
2. MCA Inc. and Dade agree that it would be desirable
that MCA Inc. participate in the development of thIF e
space above the garage presently leased to Dade
under the Air Rights Lease between Dade and the
City of Miami. Dade is willing to allow MCA Inc.
and Sefrius Inc. to participate in the said develop—
ment providing that a suitable agreement can be
reached between the parties. '.Said agreement will
obligate MCA Inc. and/or Sefrius Inc. if they elect
to participate in the tower development to provide
their pro rata share of the financial obligations
thereof in such a manner as shall be specifically
set forth in the agreement to be drawn between the
parties. Said agreement shall also provide that
in the event of a default in performance by either
MCA Inc. or Sefrius Inc. that the entire interest
in the development of the tower space shall revert
to Dade. The parties to this letter agreement shall
use their best efforts to reach a binding agreement
on the item which is the subject matter of this para—
graph but the failure to reach an agreement shall
eliminate any rights of either MCA Inc. or Sefrius
Inc., their assignees or designees, to participate
in the development of the tower in the air rights
space.
3. MCA Inc. as Turnkey contractor is under an obligation
to complete the parki.ng garage in accordance with
certain time schedules as set forth in said Turnkev
Agreement with the City. This letter in no way changes
that obligation. Miami Center Associates, Ltd., the
developer of the Hyatt Hotel, has a permanent mortgage
commitment from 'Massachusetts Mdtual Insurance Company.
If, as a result of a delay in completing the said
parking garage, Miami Center Associates, Ltd. is re—
quired to pay a higher interest to its construction
lender then it would have paid had the garage been
finished in a timely fashion, then such interest
I
DADE SAVINGS AND LOAN ASSOCIATIO.
Miami Center Associates Inc.(continued)
November 26, 1980
Page Three
differential (the difference between what Miami
Center Associates Ltd. would have paid to Massa—
chusetts Mutual Insurance Company and what Miami
Center Associates, Ltd. did in fact have to pay
to their construction lender) or if any further
fee is paid to either or both lenders in order to
extend either the construction loan or permanent '
commitment, then such fee or interest differential
or a combination thereof, shall be a project cost
insofar as that term is used in arriving at the
total cost of the project as that cost relates to
the said $19,800,000.00. The additional interest
cost or fee as herein defined shall not be paid
out of the said $19,800,000.00 unless at the
completion of the contract, the actual costs and
fee total less than $19,800,000.00, then an amount
up to that difference may, at the option of MCA
Inc., be utilized to pay all or part of the said
interest differential or fees as defined herein.
4. The definition of cost as it is used in this letter
is as per Exhibit "A" attached hereto.
S. The scope of the work as agreed upon between the
parties hereto is as set forth in those documents
collectively attached as Exhibit "B" hereto.
If the above terms and conditions are satisfactory to you, we
would appreciate your executing the enclosed copy of this letter
in the appropriate area. You will note we have also asked that
Miami Center Associates, Ltd. execute as well. When executed,
will you please return it to us directly.
Very cordially yours,
DADE SAVINGS AND LOAN ASSOCIATION
By
«S (i '�'� C)T 1 /
FC)L L U} V`�' ,
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EXHIBIT "A"
• COSTS TO BE F'E II`1SU�:SE�J
8.1 The term Cost of• the t4ork sVia ll mean cn str.iF
F-
necessarily incurred in the proper performance of the Worm and
paid by the Contractor. Such costs shall be at rates not
hioher than the standard paid in the locality of the Work t--:
except with prior consent of the CA-mer, and shall include thC1 l,�'• �'
items-- set forth below in this -Artzt^tc'.`•
8.1 . 1 Wages paid for labor in the direct emo lour
of the Contractor in the performance of the Mork under
applicable collective bargaining a reements•. or under a salary
or, wage schedule .agreed upon by the uwn,?r and Contractor- and
including sucrr vjeif:are or of-f er if any. as may be
payable with respect thereto.
8.1 .2 S71:)r ies of Contractor's Personnel. wh?n
stationed at thr� fielcl of-ficer in whatever capt3city employed.
Personnel, en2.3'aed. 'at shop- or on the road. In expeditin„, the
producti:?n or tranaportation of matorial•s or egjip1Tont, Sh'-111
be considered as stationed at the field 0ff11:e and tFteir
salaries paid for th.3t portion of t_1-i�ir time spi?nt on th,iS
lJark. Con+r ir_tor' Fnr-5ann.31. lnc1.uJewj.-thcut limiting
goner ;1ity of s..nn,-! projects; in_,n i,J �r. su►,� rintendon ts an11 _
assistant enaineers artcl assist ant elllin?-?rs
clerks. Job accou-,.tDnta. t3.nl,_I(t?ep,?rs. watcrrr'S-,TI, ,;ecr?tirv.. CQ=t
e=timitor_.. e*r-, at th field office.
8.1.E Cost of contrihu+_:ons. assesSm►'n't.C.- Or
taxes for SLICrt i tc=1n "as Uri cc1mpIoymon-t c o m P e n at ion and social
110 1
`C.'
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security. insot:3r as such cost is based an waaes, saInriesr rir
other renumer3tion paid to employees of the Contractor And
included in the Cost of the Wark under Subparagraphs P.1.1 4nd •
8.1.2.
S.1.4 The proportion. of reasonable
transportation, traveling and hotel expenses of the Contractor
or of his officers or employees incurred in discharge of duties
3
connected with the Work. '
S.1.5 Cost of all materials. supplies and
_ equipment incorporated in the Workp including costs b;
transportation thereof.
_ S.1.E, Payments made by the Contractor to
Subcontractors for Work performed pursuant to subcontracts
under this Anr-2ement.
S.1.7 Costp including transportation and.
maintenancey of- all materials, Supplies. equipment, tE-T-11Or:3ry
facilities .and hand tools not own-�d by tie worl,mrn. which a -%
consumed in the per- ormance of- tfio Wcrk, and cost less s.al :,aoe
value on such items used but not consumed which retiiai.n tho
property of The Can -tractor.
S.l.S, Rental charges of all necessary m.:ichi.rie-y
and equipn:-nY, exclusive of h::ind tools. used at the sits' of th,7
1 .
according to established policy ofthe Contractor?
including welfare and other benefit,.
3
including losses an3 explenses caused by fault or neglect
of anv suLcon,.r3ctor and./or material suppler.
0
1
Work. whothr r rente from the, Cantr actor or c, ch?rs. inc Wdi.ng
• installation, minor repairs and rep l•acern��nts. dismant1ino
removal, tran;pnrt-ation and del ivery costs thereofa+ rental.
charges consistent with those pr► vjiling in the area.
S.1.'? Cost of premiinums for all bonds and
insurance which the Contractor is required by the Cot1+r.4,4dt
Documents to purchase and maintain.
8. 1. 10 Sales. use or similar takes . rel..nt_ed to
the Work and for which the Contractor is liable, imposed by an,/
go%,ornmental authority.
8.1.11 Permit fees. royalties. damages for
infringement of patents and costs of defending suits therefor?
and deposits lost far causes othjzr than the Contractor 's
2
nee igtnce. .
8.1.12 Losses and expensesr not compensated by
insurance or cih r•wise. SUStair-ed by the Contracti-Dr
connection wi-th the W 0 r pro,,�ided they have resulted frain
causes Oth►_'r tharl th,� fclt or n9 l.CC? 01 the COrltrJt trr, v��i:h►
losses shi_yi i iric iuC,e settlements mad: with the wr itten consent
and approv•a1. of- the ► ,4n.'r. NO 5UCh 10S:.r?= and expen--:eS Shj311.
be included ill t h o Cos c of- the Work for the p u r p n ; e of
deI:ernl:.rilrl_J trie Contrac' Ur s F*-e If how,2-.'er+ such a I
recon,:tr► ction and the Ccin'Cr_3ctor is pI aced in choir".e
thr-r.:of. he stiall be paid for his services a- Fee pror"-)rtion_lte
to that st,-_AT?d in Paragraph ,.1. _
-------------------
arisIti,i ►3►1t of th•? r•'>ponsici lltles of thce—Archi.+ cts
iwhich► Coats S h 3 1 b:- u p c n owner ar.d Architects, as the 'case
m_ ., u%_ . :I
1
-s..m,..c ten-- ..?�i[ i„•y. ..�,.... �r.r. , ,. ,�,. _ _ __ sw.,.,,.-_,........_.......�.�_
8.1..E Minor e -,mars such a te3.?gr.=,ris 1on'l
• distance call:. telephone service _lt the site, pxprVs)s.11.1 . and
similar petty cash item, in connection with the Wor' I.'
2.1.14 Comet of removal of all dobris.
S.1.la Costs incurred clue to an emergOnCy
affecting the safety of persons and property.
8.1.1t. Othter costs incurred in the performance
of the Work if and to the extent approved in afjvance in writing
by the Owner. _
8.1.17 Nothing in article SJ shall. be construed
as superseding or limiting provisions of the Rider relating to
use of proceeds recovered under applicable Builder's Risk or
other insurance coverage or which may brr reimbursable to
Contractor under Risk oi- Los-s provi ,ion
5.1..1 General Superintendents. Construction
Executives, Expediters and Supervising Accountants. whale p-l. rt
time? services are requlrend for the Word:. shall be cons J. der r4,1 as
stationed at the fic-lo office anti their salaries paid for such
part of th_ir time as may be devoted to the Work.
2.1.19 When the prep-_.r.atiori or .an71.ysj.s of
schedules. m,tc!ri.a1 lists. sharp dr.--jw4na. worP.ing det_�i.l.s,
periodic cn. stu.ies and similar servic-s necessary to de4inf.•?
tho work. an 1 canTroj its coast and progros—. a r o perform-7d by
employees Inc-4v�:.d - r• i.n the Con rectos main a re(iul_irly
estab! isrif--d V.r.-ini_h of+-icei. tho ot-- empl.oyp:es dir,r-ct1;.
engaged i) such shall be charged for.'•suct-, part of- theJ.r
tim.= as may Le +��_vOTr_ 1 to the work. to_ieth-r with an a1.1owance
-4-
�
. equal to fifty perc .t of such salaries �o cover office
.
' expenses incident thereto.
S.l.2D Whenever the Contract Documents St--Ite
-
that the Contractor shall perFarm any work or incur any
expense' it shall be understood to mean in the absence o;
specific lan3uage to the contrary in thi's Agreement, that the
cost thereof shall be included in the Cost of the Work paya�le
by the Owner.
.'
-- E3.1.21 Reference to fault or:, negligence of
� '
Contractor as used herein pertains solely to the Contractor /s
fault or negligence in performance of Work under this Contractv
and is in no manner related or to be construed as relating to
�
an" alleged fault or negligence o� Contractor under any other
Contract with the City on thIs Project.
'
8.1.2-2 Costs of providing Contractor's emplo�ee
_ parking as deemed necessary by the Contractor.
'
B.l.2-� Salaries or other ccnpensation of Turnkey
-
'
- [)eveloPrnent`s employees at the princiFal _ �^/�field.
_
ral operating exrens�es of Turnkey
Development pri,ncipal and/or field off ice.
. 8.l.2S Salaries of the construc-tion moT-.ager's -
�
-- empluyecs wh�n sta-Lior,e,j ar tno principal - field
office, emees enoao --d on the roa'/ in expedj�inq thp
productIon or transperta�iaon o-F de--i[ins, rnaterialand�or
-�v equiproenFar purPc, % i?s of this Ar!roh-~nt, construc+iur-
e xecuLives, escimntorsciling, and pur'h�sing engineprs,
evped/to's an4 super'/isin� accountants, whosp part servjce� er'` -
�or, th.? Work. stall be paid for such part of thoir
�
'
i'
� .
' ^^
. -
. .
_
time as may be devoted to the Work. When the Preparation or
analysis of schedule material lists; shoo drawings, Worming
details? periodic Cost studies and similar services necessary
to supervise the Pro.i'ect. the salaries of employee's directly
enghgod in such duties shall be charged for such part of their
time as may be devoted to they Project. ..
S.1.20 Turnkey Development's cost for all.
employee benefits and taxes for such items as unymplo m}n+
compensation and social security. insofar as such cost is based
on wages, salaries, or other renumeraticn paid to employeeo of
the Turnkey Development.
8.1.27 Costs of all m7te'rialsy supplies and
equipment required for the performance of Turnkey Development
servicesr as defined in the Turnkey Agreement! including costs
of transportation and storage thereof.
8.1.2S The proportion of reasonable,
transportation. traveling! moving and hotel expense: of thn,
officers or emoloy ez of Turnkey De alopment, incurred in
discharge of duties connacta : with thq Pro Qct.
2.1.20 Coots incurred by the construction
Trl_i'lager for permit fees, licen e y test°+. royaltie dafila'_io•.'
for infrin' ewQnt of paton:, and costs of defending suit,
th reior'f and dopeslts lost for causes otharthan e-
Development s rig= li enoe or as a result of any action on its
part. -.
8.100 Losses. expne es or dafaAQs to the extent
Not cUmPansated by insurance or otherwise (inc luting settlement
1.
' L
ws-
. 8p-85b
l
made with thca wi :ten approval of the C., ty!. inci.�rr:?d by
Turnkey, Development in the perform:�ance of this AIrerment.
S.1.31 The cost of- corrective u-jor!< undertaken by
Turnkey Development.
8.1.3,8 Costs incurred by Turnkey Development for
emegency mea-_urc•s taken to insure safety of persons and
property.
8.1..33 Costs incurred by Turnkey QevelortTfian-i: for
legal services resulting from prosecution',af ,the Project
including negotiation of contracts and agreements including
this agreement.
8.1. )4 Costs incurred by the construction
manager for data processing services as required.
S.1.3)1• Cost o the premiums for all insurance
which Turnkey Development procures.
8'.1.3• Hales. use. -cross receipts or similar
taxes -related to t•hzEFro iect imposed by any 9ov: rnmenta1.
author i ty .
S. 1.37 Such ot.her mincer and misrF,? 1.aniea:C-,
expenses as m.-iy be incurred by Turnkey Dev•-1opment f=or such
_ i :vms as loT^.•l dist3nr e teij-tf - c alJs\ tr1e=rJmr. _xpr o-_�n_a,?
telephoriD ;er•; icce an 1 simil:Ir panty cash items in connoc:+ion
wit! - t11e Fro ici:.
L.1..=':" A11 third par —/ p�)ymc-,nts rel.atin;a tc) tho
Project.
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