HomeMy WebLinkAboutReso 2008-1209 RESOLUTION NO. 2008- 1'4)01
A RESOLUTION OF THE CITY COMMISSION OF THE CITY
OF SUNNY ISLES BEACH, FLORIDA, APPROVING AN
AGREEMENT WITH FLORIDA POWER AND LIGHT (FPL)
PHASE I OF THE UNDERGROUNDING OF ELECTRICAL
LINES PROJECT FROM 185TH STREET TO THE CITY'S
NORTH BOUNDARY LINE, IN THE AMOUNT OF THREE
HUNDRED TWENTY-FIVE THOUSAND SIX HUNDRED
FORTY-NINE DOLLARS (S325,649.00), ATTACHED HERETO
AS EXHIBIT "A"; AUTHORIZING THE CITY MANAGER TO
DO ALL THINGS NECESSARY TO EFFECTUATE THE
TERMS OF THE AGREEMENT; PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS, the City of Sunny Isles Beach wishes to convert the entire distribution
overhead electrical lines to underground in the City; and
•
WHEREAS, the City of Sunny Isles Beach has negotiated with Florida Power and Light
(FPL) to provide undergrounding of the electrical lines for Phase I of the Project, from 185th
Street to the City's North Boundary Line; and
WHEREAS, Florida Power and Light has submitted a proposal for Phase I of the
Distribution Overhead to Underground Conversion Project, in the amount of Three Hundred
Twenty-Five Thousand Six Hundred Forty-Nine Dollars ($325,649.00), attached hereto as
Exhibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS:
Section 1. Approval of Agreement. The Agreement with Florida Power and Light (FPL), for
Phase I of the undergrounding project from 185th Street to the City's North boundary Line, in the
amount of Three Hundred Twenty-Five Thousand Six Hundred Forty-Five Dollars
($325,649.00), attached hereto as Exhibit "A," be, and the same, is hereby approved.
Section 2. Authorization of Mayor. The Mayor is hereby authorized to execute said
Agreement.
Section 3. Authorization of City Manager. The City Manager is hereby authorized to do all
things necessary to effectuate this Resolution.
Section 4. Effective Date. This Resolution will become effective upon adoption.
PASSED AND ADOPTED this 17th day of January 2008.
Orman S. Edelcu ; Mayor
R2008-FPL Agmt Undergrounding Phase I Page I oft
<•ATTEST:'
r-
\JaneA. Hines,CMC, City Clerk
/Z
APPROVED AS TO FORM AND
LEGAL S . CIENCY
a,
cir H. s 0 amity•ttomey
Moved by: l�rwxuJiv pn
Seconded by:Vjco rnAk.?Rp 714{L.
Vote: 5-0
Mayor Edelcup ✓fYes) (No)
Vice Mayor Thaler ✓✓(Yes) (No)
Commissioner Brezin ✓(Yes) (No)
Commissioner Goodman V Yes) (No)
Commissioner Scholl V(Yes) (No)
R2008-FPL Agmt Undergrounding Phase I Page 2 of 2
Florida Power& Light Company, 700 Universe Blv.,Juno Beach, FL 33408-8248
FPL
December 7, 2007
Mr. Jorge Vera
Assistant City Manager
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, FL 33160
Re: City of Sunny Isles Beach— Overhead to Underground Conversion Project
Phase 1 - Collins Ave. Si Terracina Ave.
\VR#2842355
Dear Mr. Vera:
FPL welcomes the opportunity to assist you in determining if underground service is right for your
area. As per your request, we have completed a binding cost estimate for the Collins Ave. &
Terracina Ave. —Phase I project. The binding estimate amount, known as the Contribution In Aid of
Construction (CIAC), required for convening the area to underground is $348,329.00. This amount is
based on the enclosed design. In addition, the cost estimate includes a more than $274,000
adjustment credit for both FPL's new Government Adjustment Factor (G.A.F.) waiver and as
required in the CIAC formula, tariff Section 12.1, credit for an equivalent overhead system designed
at the current hardened (i.e. extreme wind) standard. Further the cost assumes the following:
• Rapid trench construction (e.g. no temporary or permanent patching of the roadway, or
replacement of traffic loops)
• All work will be performed during the daylight hours
• Maintenance of Traffic (MOT) — Standard MOT - $75,060.00 allocation. Because MOT
requirements are not in FPL's control, any MOT costs exceeding that presented above. FPL
would require the City to reimburse FPL for any additional MOT costs beyond the standard
charges that FPL reasonably and necessarily incurs to respond to directions from the City or
any other body having authority over the traffic and/or public safety on roads within the
City.
This binding cost estimate is valid for 180 days and a response must be received within that
timeframe. Should you agree to move forward with the project, please sign and return the enclosed
documents. Once we receive the acceptance package (e.g. partially executed documents), we will
commence the construction process (i.e. initiate bid requests and material purchasing). Any deposits
that you have already paid will be applied towards the CIAC and you must pay the remaining
difference of 5325,649.00 before we begin construction. However, if you choose to cancel your
request or not respond in time, your engineering deposit will not be returned and the estimate will be
withdrawn.
an FPL Group company
Page 2
This estimate only includes the charges to be paid to FPL. There are additional costs which are the
customer's responsibility and should also be considered. These potential costs include:
• Site restoration (sod, landscaping, pavement, sidewalks, etc).
• Rearrangement of customer electric service entrances (requires electrician) from overhead to
underground. Also, additional customer expense if local inspecting authorities require
customer wiring to be brought up to current codes.
• Trenching/backfilling for service laterals.
• Removal and burial of other utilities(e.e. telecom, CATV, etc.).
• Any project scope changes that modify the enclosed drawings.
• Acquiring, describing, securing and recording of easements for underground facilities.
We look forward to working with you as this project progresses. If you have any questions, please
contact me at 561-694-4029.
Sincerely. ‘64
John C. Lehr, Jr.
Project Specialist - Distribution
FPL
Attachments
an FM.Group company
Overhead to Underground Conversion - Customer Cost Sheet
Project: City of Suny Isles Beach-Phase 1 Date Estimate Provided to Customer: Dec.12,2007
Underground Cost
New UG Installation(+) $542,608 Cost for FPL to install new underground facilities
Equivalent OH Installation (-) ($157,925) Cost to install an overhead system at current hardening standards
Existing Overhead Cost
OH Removal Cost&Make ready(+ 567,538 Cost for FPL to remove existing overhead facilities
Existing OH Value(+) 512,218 Net Book Value of existing OH facilities to be removed
Salvage Value(-) SO Credit for re-usable items
Subtotal' 5464;439: Total customer contribution as specified in Tariff 12.2.3
•
GAF • .,(5116;1101
CIAC' c1•-$348j329
Engineering Deposit(-) ($22,680) Engineering deposit previously collected
Customer work performed SO Customer labor for the conduit&concrete products installation
Net Due FPL' "$325,649 Total customer contribution owed
Cost Breakdowns for Customer Contributions
Direct Engineering,
Total LaborNehicle Material Supervision,and
Support
New UG Facilities(+) $542,608 $208,761 $241,846 $92,001
Credit for equivalent OH(-) (Si57,925) ($92,006) ($46,113) ($19,806)
OH Removal Cost&Make ready(+ 567,538 $54,796 $2,491 510,251
Total - $452,221 $171,551 $198,224 - 582,446.
Net Book Value(+) $12,218
Salvage Value(-) S0
Subtotal* $464,,439
GAF _ ($116,110),
CIAC' $348,329
Engineering Deposit(-) ($22,680) Engineering deposit previously collected
Customer work performed SO Customer labor for the conduit&concrete products installation
Net Due FPL' , 5325,649 sr�ert
.a:'a.s'S ` 1str N'eY- ire:1:-°.^ .._`i.- °'4T -iLrsag ra astir
Major Material Breakdown
Quantity Item
15,861 Primary UG Cable(feet)
Install 8 UG Switch Cabinet(each)
11 UG Transformer(each)
3 Splice box for UG feeder(each)
6,276 OH Primary Conductor(feet)
Remove 21 Poles(each)
15 OH Transformer(each)
0 Primary UG Cable(feet)
Estimate includes$75,060 for Maintenance of Traffic
Fifth Revised Sheet No.9.725
FLORIDA POWER& LIGHT COMPANY Cancels Fourth Revised Sheet No.9.725
UNDERGROUND FACILITIES CONVERSION AGREEMENT—
GOVERNMENTAL ADJUSTMENT FACTOR WAIVER
This Agreement, which is available to customers that sign the Agreement on or before October 30, 2008, is made and
entered into this I-4" day of Ietc>axr, 20!,,by and between CITY OF SUNNY ISLES BEACH ("Local Government
Applicant"), a Florida municipal corporation or county with an address of 18070 Collins Avenue, Sunny Isles Beach,
Florida 33160 and FLORIDA POWER & LIGHT COMPANY ("FPL"), a Florida corporation with an address of P.O. Box
14000, 700 Universe Boulevard,Juno Beach, FL 33408-0429.
WHEREAS, the Local Government Applicant has requested that FPL convert certain overhead electric distribution facilities
located within the following boundaries(the"Conversion"): Along Collins Avenue south of N.E. 195 St.to N.E. 189 St.and Flo
Atlantic Blvd. from just N/O N.E. 189 St. to N.E. 185 St. (see attached drawings, WR # 2842355 ) (collectively, the "Existing
Overhead Facilities") to underground facilities, including transformers, switch cabinets and other appurtenant facilities installed
above ground as set forth in Attachment A hereof(collectively,the"Underground Facilities").
•
NOW THEREFORE, in consideration of the foregoing premises and the covenants and agreements set forth herein, and other
consideration the sufficiency of which is hereby acknowledged, the parties intending to be legally bound, hereby covenant and
agree as follows:
1. Governmental Adjustment Factor Waiver ("GAF Waiver") Eligibility Criteria. The Local Government Applicant
represents and warrants that it meets the following eligibility criteria for the Conversion:
a. In order for the Conversion to incorporate a sufficient amount of overhead facilities to provide electrical
continuity, the Conversion must include a minimum of approximately 3 pole line miles or approximately 200
detached dwelling units within contiguous or closely proximate geographic areas(the`Conversion Area"). The
Conversion may be completed in mutually agreed upon phases, with the project size minimums applying to the
aggregate project — provided that any necessary subsequent phase begins within a I year period from
completion of the prior phase and the minimums are met within,at most,3 phases;and
b. The Local Government Applicant must require all customers within the Conversion Area who currently have
overhead service directly from the Existing Overhead Facilities to convert their service entrances to
underground within 6 months of completion of the Underground Facilities installation or each phase thereof;
and
c. The Local Government Applicant must be willing and able to execute a right of way("ROW')agreement with
FPL if the Local Government Applicant requests that facilities be placed in the ROW;and
d. For any affected laterals,the complete lateral must be convened, including all stages of any multi-stage lateral;
and
e. There are no state or federal funds available to the Local Government Applicant to cover any portion of the cost
of the Conversion.
Special Circumstances. Conversions which do not meet the project size minimums described in section 1.a are
eligible for the GAF Waiver in the following special circumstances:
i. 100%of the Existing Overhead Facilities within the Local Government Applicant's corporate limits
are to be converted,but are less than the pole line mileage or dwelling unit minimums;or
ii. A single lateral that serves at least one Critical Infrastructure Facility as determined by the
appropriate local agency with the mutual agreement of FPL;or
iii. An island or peninsula where 100%of the Existing Overhead Facilities are to be convened;or
(Continued on Sheet No.9.726)
-
Issued by: S. E. Romig,Director,Rates and Tariffs
Effective: May 4,2007
Fifth Revised Sheet No. 9.726
FLORIDA POWER& LIGHT COMPANY Cancels Fourth Revised Sheet No.9.726
(Continued from Sheet No.9.725)
iv. When the aggregate size of the first 3 phases of a project would satisfy the minimum size criteria but,
for mutually-agreed engineering or logistical reasons, those phases are non-contiguous; provided that
(a) the next (4th)phase must be adjacent to one or more of the first 3 phases such that the combined
contiguous area meets the minimum size criteria, and (b) this 4th phase begins within I year from
completion of the 3rd phase.
2. Contribution-in-Aid-of-Construction (CIAC). The Local Government Applicant shall pay FPL a CIAC as
required by FPL's Electric Tariff and Section 25-6.115 of the Florida Administrative Code with the Otherwise
Applicable CIAC amount reduced by the GAF Waiver.
i. Otherwise Applicable CIAC S_464,439_
ii. GAF Waiver 5_116,110_
CIAC Due 5 348 329
In the event the actual cost of the Conversion exceeds the estimate, the Otherwise Applicable CIAC shall be
adjusted by the lesser of(a)the difference between the actual cost of the Conversion and the estimate, or(b) 10%
of the Otherwise Applicable CIAC identified above. The GAF Waiver shall also be adjusted accordingly and the
Local Government Applicant shall pay FPL the resulting difference in the amount of the CIAC Due.
3. Applicant-Installed Facilities. The Local Government Applicant may, upon entering into an applicant-
installed facilities agreement satisfactory to FPL, construct and install all or a portion of the Underground
Facilities. Such work must meet FPL's construction standards and FPL will own and maintain the completed
facilities. The Local Government Applicant agrees to rectify any deficiencies, found by FPL, prior to the
connection of any customers to the Underground Facilities and the removal of the Existing Overhead Facilities.
4. Compliance with Tariff. The Local Government Applicant agrees to comply with and abide by the requirements,
terms,and conditions of FPL's Electric Tariff.
5. Timing of Conversion. Upon compliance by the Local Government Applicant with the requirements, terns, and
conditions of FPL's Electric Tariff, this Agreement and any other applicable agreements, FPL will proceed in a
timely manner with the Conversion in accordance with the construction drawings and specifications set forth in
Attachment A hereof.
6. Relocation. In the event that the Underground Facilities are part of, or are for the purposes of,relocation,then this
Agreement shall be an addendum to the relocation agreement between FPL and the Local Government Applicant.
In the event of any conflict between the relocation agreement and this Agreement or the Electric Tariff, this
Agreement and the Electric Tariff shall control.
7. Term. This Agreement shall remain in effect for as long as FPL or any successor or assign owns or operates the
Underground Facilities.
8. GAF Waiver Repayment. If the Local Government Applicant does not satisfy the relevant eligibility criteria,the
Local Government Applicant shall repay the GAF Waiver within 30 days of written notice from FPL of such
failure. Additionally, if at any point within 30 years of completion of the Underground Facilities installation, the
Local Government Applicant elects to have electric service within the Conversion Area supplied by a provider
other than FPL, the Local Government Applicant shall repay FPL a pro-rata share of the GAF Waiver. The pro-
rata share(which shall reflect partial years)shall be determined as follows:
GAF Waiver* [(30—years since the Underground Facilities completion date)/30)
(Continued on Sheet No. 9.727)
i
Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: April 4,2006
FLORIDA POWER&LIGHT COMPANY Original Sheet No.9.727
(Continued from Sheet No. 9.726)
9. Termination Prior to the Conversion Completion. Failure by the Local Government Applicant to comply with
any of the requirements,terms, or conditions of this Agreement or FPL's Electric Tariff shall result in termination of
this Agreement. The Local Government Applicant may terminate this Agreement at any time prior to the start of the
Conversion and the CIAC paid by the Local Government Applicant will be refunded to the Local Government
Applicant;provided however,that the refund of the CIAC shall be offset by any costs incurred by FPL in performing
under the Agreement up to the date of termination.
10. Assignment. The Local Government Applicant shall not assign this Agreement without the written consent of FPL.
11. Adoption and Recording. This Agreement shall be adopted by the Local Government Applicant and maintained in
the official records of the Local Government Applicant for the duration of the term of this Agreement. This
Agreement also shall be recorded in the Official Records of the County in which the Underground Facilities are
located, in the place and in the manner in which deeds are typically recorded.
12. Conflict between Terms of Franchise Agreement. In the event of a conflict between the terms of this Agreement
and any permit or franchise agreement entered into by Local Government Applicant and FPL, the terms of this
Agreement shall control.
IN WITNESS WHEREOF,FPL and the Local Government Applicant have executed this Agreement on the date first set
forth above.
CITY OF SUNNY ISLES BEACH FPL•Si• d / ' _ 4 . .
Signed (Pa4•2� °�pg
• Name OQT\11) S. F,b ,L ■AP Name ,&1rh&ri S . QR.tn?ries
t
Title .m pt Le OR. Title r. & '8N ,vP.d.41-, I
• Q
( -- Pstif .ST� � _- - .
Signed - A r\ plan n �/«j'
' •Title• .-' �.1TLe (L4,IR..0
\/ Approves as to Terms and Co t itions
) • geed (.. I, ,ems'
Name J�� ``'�40' EL . , e(C-/A�.
Title ►zyjliil 641 finery-ct
\ / Approved . i Fo S 5 a ii.•ciency T
X Signe.le:Si .=/III//
/// ��\Name L�aaa ... we • 4-
Title _ A 'testa 'Anal
Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: April 4,2006
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1 ...z ... , .
,...,....z 0.
... -
k=1,C z .• --' IIII ' till I ti ; ■ .
I ,57- 2 • d
g