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HomeMy WebLinkAboutCRA-R-04-0010 COVER MEMOCRA Board of Directors Meeting September 20, 2004 SOUTHEAST OVERTOWN/PARK WEST AND OMNI COMMUNITY REDEVELOPMENT AGENCIES INTER -OFFICE MEMORANDUM Chairman Arthur E. Teele, Jr. and Members of the CRA Board Date: File: 04-01013 Subject: Resolution Authorizing Increase in Grand Promenade Interim Renovation Project Funding From: Frank K. Rollason References: Executive Director Enclosures: RECOMMENDATION: It is recommended that the Board of Directors of the Southeast Overtown/Park West Community Redevelopment Agency ("SEOPW/CRA") approve the attached Resolution authorizing an increase in funding for the construction element of Phase 3 (North Miami Avenue to NW 1st Avenue) of the Grand Promenade Interim Renovation Project in the amount of $200,000 to Magnum Construction Corporation (MCM Corp.). JUSTIFICATION: On July 15, 2003, the SEOPW Board of Directors approved Resolution No. 03-62 (copy attached) which appropriated $500,000 for the construction of all three phases of the Grand Promenade Project by Magnum Construction Corporation (MCM Corp). Since that time MCM has been working as our Construction Manager at Risk with TY Lin international/HJ Ross, our Engineering Consultant/Project Manager for this project (under SEOPW Resolution No. 03-55 - copy attached) to develop the engineering plans and drawings and to establish the Guaranteed Maximum Price (GMP) for the project. Although, the original estimate provided by HJ Ross was $500,000 both time passing since the original estimate was approved by the Board and the increase in construction materials have caused the final price to increase by $145,328.84. The balance of the $200,000 increase ( $54,671.16) is being added to the project as an additional "reserve" and will not be utilized unless items not anticipated or covered by the CM -at -Risk contract are encountered. All such use of contingency, including the reserve outside the contracted price, shall require the expressed approval of the Executive Director by written Change Order. Since this project is funded by CDBG, this requested increase has been discussed and approved by Community Development Director Barbara Rodriguez and will come from CDBG funds already appropriated for CRA capital projects. FUNDING: $200,000 from Community Development Block Grant Capital Improvement Account No. 799126.452502.6.930 FKR/eh c: Barbara Rodriguez, Director, Department of Community Development