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HomeMy WebLinkAboutMemo - Manager's Approval(Fry OF s1I.a4II, FLORIDA 1`'1'ER-OFFICE MMI MORANDtMI TO: Daniel J. Alfonso DATE: November 16, 2016 City Manager SUBJECT: Emergency Purchase of New HVAC System at Manuel Artime Theater FROM: Daniel Rotenberg REFERENCES N/A Director Department of Real Estate & Asset Management ENCLOSURES: Proposal Please allow this memorandum to serve as a request for approval of the emergency purchase of a new HVAC system at Manuel Artime Theater (the "Theater") in the amount of $473,250. The Theater is a City - owned and operated asset, located in District 3 at 900 Southwest 11 Street, Miami, Florida 33130. The Theater is, regularly, rented for the performing arts, community events, after -school programs, and liturgical gatherings, Accordingly, it is a revenue -generating asset for the City. The Theater was originally built in the late 1950's. The current HVAC system was installed at that time. The City acquired the facility in 1975. Presently, the HVAC system is old and antiquated. Approximately, 550,000 was spent on maintenance and repair issues in fiscal year 2015-2016 alone. Furthermore, the HVAC system's cooling tower is located adjacent to an apartment building, and the noise has been a nuisance to the residents for some time. 0n November 10, 2016, the residents met with Commissioner Carollo to advise him of their extreme displeasure with said noise. In response, the commissioner shut down the theater, until the HVAC system could be addressed. With the Theater closed, the City stands to lose revenue, as well as the good will of those whose have booked performances which would have to be cancelled. To mitigate the aforementioned, the City has installed temporary, portable air conditioning, at a cost of 58,000 per month. While performances may continue, this remedy is not a Tong -term solution, due to the high cost to rent such equipment. Consequently, DREAM is requesting the emergency purchase of a new HVAC system to allay the following: 1) lost revenue from cancelled performances; 2) excess expenses from renting portable air conditioning units; 3) high repair and maintenance expenses of the current system; and, 4) diminished good will from the Theater's neighbors, due to excess noise from components of the current HVAC system. Your signature, below, affirms your decision to declare the purchase of a new HVAC system for the Manuel Artime Theater an "emergency." APPROVE Daniel J. Alforrs i%'kDate: ger cc: Alberto Parjus, Assistant City Manager Annie Perez, CPPO, Director of Procurement 1 of 1