Item Coversheet

OLD BUSINESS  3.

COMMITTEE MEMORANDUM

TO: Neighborhood/Community Affairs Committee Members


FROM:
Jimmy L. Morales, City Manager


DATE: July 23, 2019


SUBJECT:DISCUSSION REGARDING UNDERGROUNDING FOR UPPER NORTH BAY ROAD.

HISTORY:

At the Neighborhoods/Community Affairs Committee (NCAC) meeting on January 28, 2019, the Committee reviewed and discussed the results of a tabulation from petition mailings in the North Bay Road and Alton Road neighborhood, which resulted in 60.74% of the final votes in favor of creating a taxing district. Based on these results, the Committee made a motion to proceed with the next steps for creating a district and obtaining the binding estimates necessary for the undergrounding of the existing overhead utilities.

Following this motion, City staff met with representatives of the Upper North Bay Road Neighborhood Association to discuss the boundary limits. The association provided the City a proposed underground boundary map with 173 properties that would participate in the undergrounding process.

City staff forwarded FPL the proposed underground boundary map and requested a "ballpark" non- binding cost estimate for the work. On April 24, 2019, FPL provided the City the results of the estimate and this information has been shared with the neighborhood association to review.

In order for FPL to proceed with a detailed and "binding" estimate for the conversion project, FPL will require a non-refundable engineering deposit of $11,729.00 prior to beginning the estimating process, as set forth in the Florida Administrative Code 25-6.115.

Should the neighborhood decide to proceed with the work contained in the estimate, the amount of this deposit would be applied toward the estimate amount owed to FPL for the conversion. The "binding" estimate is valid for 180 days from the date the "binding" estimate is provided.

Historically, the neighborhood requesting the undergrounding conversion have been responsible for paying these and all fees associated with the undergrounding.

CURRENT UPDATE

A Finance and Citywide Projects Committee (FCWPC) referral was added to the June 5, 2019 City Commission agenda by Commissioner Aleman, to discuss initial funding for undergrounding of utilities in the City of Miami Beach.

Commissioner Aleman's initiative would consist of creating a funding source in the City's budget to cover the initial undergrounding estimate. Each estimate costs approximately $12,000. Funds would be utilized in a once per neighborhood, and on a first come, first serve basis. Should the neighborhood decide to proceed with its undergrounding, the neighborhood would be responsible for reimbursing the City back as part of the undergrounding process via a district assessment. However, should the neighborhood decide not to proceed with its undergrounding, the City will not seek reimbursement and cover these costs.

At its June 28 meeting, the FCWPC members made a favorable motion to fund initial utility undergrounding fees from General Fund Contingencies, to grant the City Manager authority to approve funding up to $100,000 per year, and to bring it to the full Commission for approval.

 

This FCWPC recommendation is scheduled to be heard at the July 17, 2019 City Commission meeting, with expected favorable approval.



CONCLUSION:

The following is presented to the members of the NCAC for discussion.