R7E - Adopt 8th Capital Budget Amendment

Resolutions - R7 E

COMMISSION MEMORANDUM

2:11 p.m. Public Hearing

RECOMMENDATION

The Administration recommends that the City Commission adopt the attached Resolution.

BACKGROUND/HISTORY

Planning for capital improvements is an ongoing process; as needs change within the City of Miami Beach (the “City”), capital programs and priorities must be adjusted accordingly. The Capital Improvement Plan (“CIP”) serves as the primary policy and planning tool for systematically identifying, prioritizing, and assigning funds to critical City capital improvement projects.

The City's CIP and Capital Budget development process begins in the winter when all departments are asked to prepare updates and requests on their department’s ongoing and new proposed capital projects. Individual departments prepare submittals identifying potential funding sources and requesting commitment of funds for their respective projects.

The CIP is updated annually and submitted to the City Commission for adoption. The Fiscal Years (“FY”) 2025 – 2029 CIP and FY 2025 Capital Budget was adopted on September 25, 2024 by Resolution No. 2024-33297.

The First Amendment to the FY 2025 Capital Budget was adopted on October 30, 2024 by Resolution No. 2024-33348.

The Second Amendment to the FY 2025 Capital Budget was adopted on December 11, 2024 by Resolution No. 2024-33442.

The Third Amendment to the FY 2025 Capital Budget was adopted on February 3, 2025 by Resolution No. 2025-33504.

The Fourth Amendment to the FY 2025 Capital Budget was adopted on February 26, 2025 by Resolution No. 2025-33551.

The Fifth Amendment to the FY 2025 Capital Budget was adopted on March 19, 2025 by Resolution No. 2025-33587.

The Sixth Amendment to the FY 2025 Capital Budget was adopted on May 21, 2025 by Resolution No. 2025-33683.

The Seventh Amendment to the FY 2025 Capital Budget was adopted on June 25, 2025 by Resolution No. 2025-33788.

ANALYSIS

EIGHTH AMENDMENT TO THE FY 2025 CAPITAL BUDGET

The proposed Eighth Amendment to the FY 2025 Capital Budget reflects an overall increase of $781,393.00 and a re-alignment of $60,000.00 for the following capital project(s):

1. City Hall Ground Floor Fitness Center (New Project): At the October 30, 2024 City Commission meeting, the Mayor and City Commission adopted Resolution No. 2024- 33342, authorizing the designation of a small space within a City-owned facility for the use of City employees as an in-house fitness area. The scope of this proposed project is to facilitate the conversion of the ground floor staff lounge in City Hall into an employee fitness center to promote a healthy lifestyle. The improvements include gym equipment/accessories, electrical upgrades, HVAC improvements, finish replacements, and new access control installation.

Funding for this proposed project in the amount of $60,000.00 would come from Capital Pay-As-You-Go funds (Fund 302) previously appropriated to the Fire Station #1 – Fire Alarm System project (#66926), which is anticipated to be completed with savings.

Prior Appropriations

$0.00

July 23, 2025 Budget Amendment

60,000.00

Proposed Total Appropriations

$60,000.00

2. GO#19: Soundscape Park Storage (26619-29919): The original scope of the GO Bond project provides for the enhancement of this arts and culture facility with upgraded WALLCAST technology, equipment, a permanent restroom, and a storage facility.

During the installation of drainage structures and lines, as per the approved and permitted plans, the contractor/subcontractor encountered Florida Power and Light (“FPL”) conduits encased in concrete. These conduits, which run north to south, could not be moved and were directly in line with the planned drainage installation. Following the engineer’s site visit and instructions, it was determined that the originally specified structures would no longer be suitable for this application. As a result, new structures need to be purchased to fit the available work area. Further, due to the existing conditions, additional excavation and restoration work is necessary to install the new structures at a greater distance from the FPL lines.

Funding for this proposed amendment, in the amount of $70,150.00, would come from accrued interest income available in the General Obligation Bonds (“GOB”) for Parks Fund (Fund 391).

Prior Appropriations

$6,175,497.00

July 23, 2025 Budget Amendment

70,150.00

Proposed Total Appropriations

$6,245,647.00

3. North Bay Road and Lakeview Sewer Collection Upgrades (#20526): This project was identified in the City of Miami Beach's Water and Sewer Master Plan as a critical need. The existing water and sewer infrastructure within the bounds of the project is well past its useful life and does not meet current standards. The project aims to

improve the water and sewer system serving the La Gorce neighborhood. The scope of this project includes the installation of a new water distribution system, a new sanitary sewer system, and a new force main that will connect to a future sanitary lift station that will serve the La Gorce and Lake View neighborhoods. . Based on the project engineer’s final proposal, an additional $271,426.00 is needed for engineering/design services for the water and wastewater systems. Funding for this proposed amendment would come from fund balance that is set aside for capital renewal and replacement projects and is available for appropriation in the Water and Sewer Projects Funded from Operations Fund (Fund 425/418).

Prior Appropriations

$2,100,000.00

July 23, 2025 Budget Amendment

271,426.00

Proposed Total Appropriations

$2,371,426.00

4. Water Pump Station Improvements (28120): This project includes the design and construction of water pump stations within the system, addressing the critical need to rehabilitate the City’s water pump stations, including all related systems and components. The City currently operates six (6) water pump stations, 23 sewer pump stations, and 48 stormwater pump stations.

The City receives potable water from the mainland by means of four (4) transmission mains from Miami-Dade Water and Sewer Department system. One of these connections is a 36-inch diameter water main on the Julia Tuttle Causeway. Water from this interconnection is used to fill the two (2) 3-MG water tanks located at the Public Works Department complex on 25 th Street. At this location, booster pump station W-1 draws water from the tanks to feed the transmission and distribution system and provide storage for fire suppression purposes. The rehabilitation of Water Booster Pump Station 1 was identified as a critical need in the 2019 Water Master Plan. The plan recommended the complete rehabilitation of this pump station to ensure reliability moving forward, including upgrades to mechanical, electrical, and instrumentation equipment that has reached the end of its useful life. The pump station structure itself also requires structural rehabilitation.

Additionally, the City has been awarded a grant through the Rebuild Florida Critical Facility Hardening Program to implement hardening and storm-proofing measures for Water Booster Station W-1.

The Water Pump Station 25 th Street subproject is ready to commence the construction procurement process. However, based on the latest construction cost estimate received from the contractor, an additional $189,817.00 is needed for pump station W- 1’s rehabilitation and hardening. Funding for this proposed amendment would come from fund balance that is set aside for capital renewal and replacement projects and is available for appropriation in the Water and Sewer Projects Funded from Operations Fund (Fund 425/418).

Prior Appropriations

$9,430,247.00

July 23, 2025 Budget Amendment

189,817.00

Proposed Total Appropriations

$9,620,064.00

5. Kitty Campus Containers (New Project): At the June 4, 2025 Finance and Economic Resiliency Committee (FERC) meeting, the Administration, at the request of the sponsor, presented a cost estimate for the purchase of a new trailer to supplement the City’s Trap, Neuter, Vaccinate, Release (TNVR) program and the Kitty Campus. The

estimated cost of $1.0 million contemplated construction, permitting, foundation work, and other factors. The FERC discussed this and recommended the project to the Mayor and City Commission at a reduced amount based on the estimate that was presented by community stakeholders.

At the June 25, 2025 City Commission meeting, the Mayor and City Commission adopted Resolution No. 2025-33739, accepting the recommendation of the FERC to allocate funding, not to exceed $250,000.00, for the purchase of two (2) containers to supplement the City’s TNVR program and the Kitty Campus. The trailers would need to be equipped with electricity and air conditioning, multiple rooms with doors, a sink for cleaning with running water, and a bathroom with sewer access.

It is important to note that additional funding will be needed to execute this project, based on the Administration’s cost estimates.

Funding for this proposed amendment would come from funding that is available for appropriation in the Sanitation Enterprise Fund (Fund 435).

Prior Appropriations

$0.00

July 23, 2025 Budget Amendment

250,000.00

Proposed Total Appropriations

$250,000.00

FISCAL IMPACT STATEMENT

See the information included above.

Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)

If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/

FINANCIAL INFORMATION

See the information included above.

CONCLUSION

The City Administration recommends that the Mayor and City Commission adopt the Eighth Amendment to the Capital Budget for FY 2025 described herein and further detailed in Attachments A-C of the accompanying resolution.

EC/JDG/TOS

Applicable Area

Citywide

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

If so, specify the name of lobbyist(s) and principal(s):

Department

Management and Budget

Sponsor(s)

Co-sponsor(s)

Condensed Title

2:11 p.m. PH, Adopt 8th Amendment to the FY 2025 Capital Budget. OMB

Previous Action (For City Clerk Use Only)