For the last few years, the Florida Department of Transportation (‘FDOT’) has been working on the design and programming for the construction improvements along Alton Road/SR 907, from Michigan Avenue to Ed Sullivan Street/43^rd Street ("Project").

FDOT has reached 60% design completion with construction anticipated to begin in February 2025.  The Project will include elevating the road, drainage improvements, the installation of storm water pump stations, intersection improvements, bicycle lanes, sidewalk and curb ramps, pedestrian ramps, signage, pavement markings, lighting, signalization, and landscaping.

On February 24, 2017, the City and FDOT executed a Utility Design Agreement (“Agreement”) to design the relocation of the existing water mains impacted by the proposed Project, in the amount $290,756.85.  

Since the execution of the Agreement, FDOT has made significant changes in the design of the roadway improvements.  In addition, the City determined that the sewer system along the Project limits is old and substandard, and decided to replace it as part of the FDOT Project.  Therefore, due to the significant changes to the roadway improvements and the replacement of the existing sewer system, an additional design fee is required.

After weeks of extensive negotiations between City staff and FDOT's design consultant, the parties have reached a fair and reasonable scope and fee for the additional effort, in the amount of $404,808.41; for a total design fee of $695,565.26 ($290,756.85 + $404,808.41).  This amount is needed in order to complete the design of the City-owned utilities contained within the Project limits as described in detail in the scope of work, a copy of which is attached to the City Commission Memorandum as exhibit 2.

A separate but similar Resolution is being presented to the City Commission to include the additional design fees for the segment along Alton Road, between 43^rd Street to 63^rd Street.

If approved by the City Commission, the City will deposit the additional design fee to FDOT and FDOT will issue a supplemental agreement to their consultant that is performing the utility design. As determined through discussions with FDOT staff, an amendment to the existing agreement is not required as a result of this additional work and fee.

FDOT requires that in the event that additional work is required to complete the utility design, the City has to make an additional deposit of funding in the amount necessary for FDOT to issue a supplemental agreement to their Consultant for the additional work.

The additional work to complete the design of the City-Owned utility includes 1) the redesign of the water system due to major changes in the roadway design and 2) the additional scope to design the replacement of the sewer system as described in detail in the scope of work, a copy of which is attached hereto as exhibit 2.

The existing agreement stipulates that the engineering consultant designing the Project for FDOT will be responsible for the design of the City-owned utilities, including relocation and upgrades to be constructed as part of the Project. The design fees shall be funded by the City of Miami Beach. The FDOT Consultant shall be responsible for the design of all utility work, including location (vertically and horizontally), protection, relocation, installation, adjustment, or removal of utilities owned by the City of Miami Beach that are affected by the Project.

The Administration recommends that the Mayor and City Commission approve the allocation of additional design fees in the amount of $404,808.41 to the existing Agreement with FDOT to complete the design of the relocation and upgrades of the City-owned utilities along Alton Road, from Michigan Avenue to 43rd Street as part of the reconstruction of the FDOT Alton Road Project.