2014-0401 Special City Commission Meeting

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Summary Minutes:Special City Commission Meeting April I,2014 Sunny Isles Beach,Florida Calvin Giordano and met with them regularly and it got done relatively on time. Obviously having somebody over it is important. Did we budget for this? Assistant City Manager Evans said yes we did. Commissioner Levin said the Scope of Services she received says the cost could go up if the GMP increases over 5%,and they have a right to raise the amount we have to give them,but it won't go down? Assistant City Manager Evans introduced Patrick Delatour of Weitz Construction. Patrick Delatour said Project Management Services are a time related consultant service,and it is assumed that the project will take its contract duration in order to complete, and that was customary in change orders is up to about 5% in minor scope increases and those would be incorporated into the original contract duration. If there is a significant change to the scope of the project then it is likely that the contract duration will be extended and regardless of the cost of those changes which may be very high, the time related portion of the Project Management Services would likely be extended as well. But it is tied to the time duration of the project. It is also assumed that conversely if there are no 5%variations in the scope in terms of deductions that nothing will happen that will decrease it from taking its contract duration with the contractor. He said they would be happy to revisit the reimbursement of their services if some traumatic change in scope happened to the project that caused it to be half of the time. City Manager Russo said for the record that we have absolutely no intention of increasing the scope of this project. Commissioner Levin noted that the Scope of Services also includes Code Compliance, she guesses that they won't be doing that because we will. Mr. Delatour said it is customary that the Building Department of the City would be engaged in the inspections for Code Compliance as is customary with any other project. We are not providing substitute services for your Building Department. Our services are to supplement your staff in Project Management Services and not Building Inspection Services. City Manager Russo said they will see that it is built according to the plans which are in conformance with the Building Code which our inspectors will be verifying officially. Commissioner Levin asked what these provisions with regard to the amounts not being subject to audit, is that the hourly rate or just the overall? We don't have the ability to come in and contest the amount that you are billing? Mr. Delatour said it is meant to say that the rate is to be a negotiated amount. We are providing similar services with other jurisdictions and what we have found is on a much larger project that they are doing with Broward County the process that was involved in negotiating the rate and then auditing the rate was very burdensome and it actually implements a layer of additional costs for accounting compliance. What we are saying in our proposal is the intent is to negotiate a rate up front for the Project Management Services and that the rate is a stipulated amount. Commissioner Levin said okay but we can still contest the number of hours you are billing us, and Mr. Delatour said yes,our billing in fact is based on hours that are submitted but it is the rate and the additional layer of accounting, auditing compliance that we are trying to alleviate by negotiating a stipulated amount for the service itself. The hours will be verified with every invoice that they submit. Commissioner Levin asked if he is intending on having an office at the premises because she knows that this contract does not include that. Mr. Delatour said we are not and our 4