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HomeMy WebLinkAboutBermello Ajamil & Partners, Inc.#10 ... . . . . . . . . . . . . . . . . . . . . . . . . I It t t t . . ~ I iIJ I I I ,p"" - ba August 22, 2007 Bermello Ajamil & Partners. Inc. . I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Architecture Engineering Planning Interior Design Landscape Architecture Bermello Ajamil & Partners. Inc. August 21 , 2007 Ms. Jane A Hines, CMC City Clerk City Clerk's Office Sunny Isles Beach Government Center 18070 Collins Avenue Sunny Isles Beach, FL 33160 RE: Response to Professional General Engineering Consultants RFQ # 07 -07 -01 Dear Ms. Hines: In response to the needs of the City of Sunny Isles Beach, Bermello Ajamil and Partners, Inc. (B&A) has assembled an exceptionally experienced team of licensed engineers, planners and landscape architects that we believe have unparalleled local knowledge and experience in completing projects in the areas delineated in your public announcement. Our proposed team has been crafted to offer the City of Sunny Isles Beach the breadth of experience that is essential in being able to deliver the following services: . Design of Water/Sewer . Park Design and Improvements Improvements . Opinion of Probable Construction . Design of Roadway Improvements Cost . Sea Wall Design . Preparation of Bid Documents . Feasibility Studies . Construction Contract . Public Outreach Administration The proposed B & A team organizational chart in Section 5, page 14 of this RFQ Response represents a streamlined structure that carefully addresses the key areas and potential needs identified by the City. We propose Mr. William Brant, P.E. as Principal-in-Charge during the duration of our assignment. As a former Director of the Miami-Dade Water and Sewer Department he was in charge of a multi-billion dollar department and shouldered the responsibility of ensuring that the department's assets were constantly maintained in good operating condition and expanded as necessary. During his public service, he engaged the services of and was the project manager for numerous continuing services contracts identical to the one being considered by the City. Thus he fully understands the City's needs and expectations for the delivery of quality services on a timely basis. B & A is fully committed to serve the City in an exemplary manner. 260 I South Bayshore Drive. 10th Floor. Miami. Florida. 33133 . USA. Main 305 859 2050. Fax 305 860 3778 www.bermelloajamil.com . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . I. . . . . . . . . . . . . . . . . ba Architecture Engineering Planning Interior Design Landscape Architecture Bermello Ajamil & Partners, Inc. We are proposing Mr. Leonardo Rodriguez, P.E. as Project Manager for this assignment. Mr. Rodriguez is the firm's Senior Civil Engineer with over 15 years of engineering experience in the planning and design of municipal roadway and drainage improvement as well as water and sewer utility infrastructure improvement projects. Mr. Rodriguez's previous work includes but is not limited to project management of the reconstruction/resurfacing of four miles of City of Miami roads. drainage/water quality improvements for NW 22nd Avenue in the City of Opa-Locka and utility infrastructure improvements for the Homestead Air Reserve Base Phase-I improvements. The following are the key members of the B&A Team that will support Mr. Rodriguez in providing the City of Sunny Isles Beach with responsive, quality and cost effective service to meet the budgetary and scheduling demands of any project assigned: . Ed Palacio. P.E. (Roadway Engineering) . Frank Tejidor. P.E. (Sea Wall and Structural Design) . Randy Hollingworth (Landscape Architecture and Planning) . Gus Quesada. P.E. (Construction Engineering and Inspection) . Tere Garcia (Public Outreach and Participation) Our Team is crafted to provide the City with planning, design. permitting. bidding, construction contract administration and project closeout services for the type of projects listed above. B&A has worked closely with numerous cities and agencies including the City of Aventura. Dade County Public Schools. the City of Homestead and the City of Sunny Isles Beach. We have provided services to several of these entities on a continual basis and have maintained a professional honest working relationship with these clients on all projects assigned. With our previous experience and our range of expertise on numerous related contracts B&A offers a truly "best in class" team for this contract. We look forward to working with the City of Sunny Isles Beach on this exciting contract. If you require further information. please feel free to contact me at (786) 470-3880 or via email at IrodriOlJez@bern-:eliooia:Tiil.co:n. Sincerely Bermello Ajamil & Partners. inc. ~~ ~/J ---? //'~ '. ,/""" ~...>b' '-Leonardo Rodriguez, P.E. Project Manager 260 I South Bayshore Drive. 10th Floor. Miami. Florida. 33133 . USA. Main 305 859 2050. Fax 305 860 3778 www.bermelloajamil.com . . . . . . . . . . . . . . . . . i. . . . i. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba SermeUo Ajamil & Partners, Inc. ~- Bermello Ajamil & Partners. Inc. (B&A) is an internationally recognized multi disciplinary AlE firm providing complete planning, design and construction services in the disciplines of architecture, engineering, planning, interior design and landscape architecture. We specialize in transportation, commercial, residential. municipal. healthcare, education, aviation, ports, and maritime projects. Founded in 1939, B&A is a Florida Corporation (incorporated under its current name in 1992), organized in Miami, Florida with offices in Miami-Dade, Broward. Palm Beach and Orange Counties as well as in New York City. By maintaining a professional staff of over 250 talented individuals, B&A is able to provide all the services needed in-house to take a project from concept to completion and deliver an extraordinary level of service throughout the process. Under the leadership of Luis Ajamil. P.E., and Willy A. Bermello, AlA, AICP, B&A is a leading AlE firm recognized throughout the nation and world for outstanding design and exceptional performance in project management. Our partners and staff offer a depth and breadth of expertise based on years of experience, talent and innovation. Applying state-of-the-art technologies to enhance both design and project management, B&A is completely automated for design, cost estimating. scheduling, specification and documentation. The strength of B&A lies in our ability to blend human and technological resources, multilingual capabilities, and a vital network of professional alliances to deliver comprehensive planning and design solutions for all out clients. B&A is recognized for uniquely applying technology to design, including simulations and computer animation. B&A is a service-oriented company. From project inception through completion, the Principal-in-Charge and Project Manager guide each project. assuring accountability and continuity in communication, management. and design. We work together with our clients to set realistic goals and plan efficient. flexible work programs to meet project needs. 3 www.bermelloajamil.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamil & Partners. Inc. Locations 2601 South Bayshore Drive 10th Floor Miami, FL 33133 Tel: 305.859.2050 Fax: 305.859.9638 One East Broward Blvd. Suite 800 Fort Lauderdale, FL 33301 Tel: 954.467.1113 Fax: 954.467.1116 301 East Robinson Street Suite 580A Orlando, FL 32801 Tel: 407.210.6620 Fax: 407.650.0455 532 Broadway 7th Floor New York City, NY 10012 Tel: 212.334.2050 Fax: 212.334.4601 P.O. Box 502536 Design House Building Unit 307 Sheikh Zayed Road Dubai UAE Tel: 011.971.4.369.4570 Fax: 011 .971 .4.369.7827 4 www.bermelloajamil.com . . . . . . . . . . . . . . . . . I: . . . . . . . ,. I . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamil & Partners. Inc. Willy A. Bermello. Chairman of the Board 2601 S. Bayshore Drive, lOth Floor Miami, FL 33133 Luis Ajamil. President & CEO 2601 S. Bayshore Drive, lOth Floor Miami. FL 33133 Raimundo A. Fernandez, Sr. Vice President & Secretary 2601 S. Bayshore Drive, lOth Floor Miami. FL 33133 Bernard N. Horovitz, Vice President & Vice Secretary 2601 S. Bayshore Drive, 10th Floor Miami. FL 33133 Diana P. Garcia, Vice President & CFO 2601 S. Bayshore Drive, lOth Floor Miami.FL 33133 Teresita G. Garcia, Vice President 2601 S. Bayshore Drive, 10th Floor Miami. FL 33133 Gustavo R. Quesada, Sr. Project Engineer MIC/MIA Interchange 3845 NW 25th Street Miami. FL 33142 Scott A. Bakos, Project Manager & Partner 1 East Broward Blvd., Suite 800 Ft. Lauderdale, FL 33301 Scott Bradford Lagueux, Vice President Managing Principal of Dubai Maritime City Bermello Ajamil Middle East Z-LLC Design House Building #307 Sheikh Zayed Road Dubai. UAE Shareholders 5 www.bermelloajamil.com . . . '. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamll & Partners. Inc. WHYTHE B&ATEAM The right staff and complement of technology is critical to providing strong cost effective consulting services; sound design philosophy, a savvy permitting approach and proven construction administration capabilities will ultimately determine if a project is a success from a budgetary and scheduling perspective. DESIGN PHILOSOPHY Our design philosophy is founded on the premise that projects that are welcomed by the public, technically and environmentally sound, affordable and completed on-time and on-budget require thorough understanding of the Client's needs and goals and methodical planning with respect to existing conditions, permitting, budgetary constraints, scheduling and Public Outreach. Understanding the Client's Need and Goals - The best methodology that we can implement to understand the needs of our Client is to listen. We believe that our best source of information is our Client. Therefore. we must partner with them if the project is to be a success. Together with our Client. we will develop realistic goals and expectations with respect to design, scheduling and available construction budget. Existing Conditions - We develop solid technical design based on a thorough understanding of the existing site conditions through the review of the following: Topographic and cadastral data, geotechnical reports, as-built plans. existing reports, utility markups and public sentiment. The review of all the available data provides an understanding of the project area limitations. utility conflicts and drainage conditions that must be considered in the design of the project. Permitting - An understanding of the regulatory permitting requirements and the limitations that these requirements pose on the design of the project will be clearly identified prior to engaging in the design of the project. We will identify and understand these requirements and build into the project the necessary components to avoid cost over runs and construction delays associated with regulatory permitting. Budgetary Constraints - Early on in the project we meet with our Client and obtain an understanding of the available construction budget. The design of the project must be constantly evaluated against this factor at the critical development stages. The budget is evaluated using preliminary cost estimates and constructability reviews. Scheduling - We develop flexible schedules based on realistic goals, task identification and task interrelationships. We confirm that each task fits within the overall project and target dates. We also provide for contingencies within the work plan. Public Outreach - If required we can assist our Client in developing public awareness programs that are tailored made for a specific project. Our public awareness 6 www.bermelloajamil.com I. '. I. i. . . . . . . . . . . I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamil & Partners, Inc. WHYTHE B&ATEAM programs are geared to promote public buy-in to roadway and utility improvements projects through activities such as forums. open houses, community meetings. quarterly news letters, websites and public hearings. We have a seasoned staff that has directed community awareness programs such as the one for the Miami- Dade Water and Sewer Department Pump Station Improvement Program and the Miami-Dade Expressway Authority public information plans and strategic community awareness campaigns. PERMITTING Early identification of the agencies having jurisdiction on a project and a clear understanding of their standards, specifications, permit requirements and time frames associated with processing and review of the plans and permit applications is vital to the success of any project from a scheduling and budgeting perspective. Our Team has unparalleled experience with the following regulatory agencies: Miami-Dade Water and Sewer Department (MDWASD) · Miami-Dade Department of Environmental Resources Management (DERM) State of Florida Department of Health (HRS) · Miami-Dade County Fire Department · Florida Department of Transportation (FOOT) · South Florida Water Management District (SFWMD) · Florida Department of Environmental Protection (DEP) US Army Corp of Engineers (COE) PERMIT MANAGEMENT PROCESS Each project has its own design complexities & specific permitting issues however; the following streamlined permitting management approach has been successfully implemented by B&A: Assign a Permit Coordinator and Tracking Software - First, the project manager assigns a permit coordinator (an engineer not a plans processor) to coordinate the permitting through the regulatory agencies. We utilize Microsoft Outlook to track when the permit applications are submitted and to provide reminders of when a courtesy call should be made to stay abreast of the review process. The project manager will meet with the permit coordinator every two weeks to discuss the progress, successes and difficulties. Schedule Pre-Submittal Meeting - Second. the project manager will coordinate a pre-submittal meeting with each of the agencies having jurisdiction on the project. This meeting serves as a presentation of the project to the reviewers, and an opportunity to discuss the technical aspect of the project so that when the project is received by the agencies there is already an understanding of the design approach. The meeting also serves to establish a personal rapport between the reviewer and the permit coordinator. In many cases, this personal rapport can lead to issues being resolved via telephone conversations minimizing RFls and leading to a quick review turn around. 7 www.bermelloajamil.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamil & Partners. Inc. WHYTHE B&ATEAM Multi-Pronged Permit Approach - Third, we implement a multi-pronged permitting strategy where paving, grading and drainage permits are processed in parallel with respect to the water and sewer improvement permits and environmental permits. This approach allows us to rapidly move the plans through agencies resulting in an abridged permitting phase. When required, we can assign staff to meet with the regulators and assist them with the permit review. In some cases this is necessary due to the large permitting back logs that exist at the agencies. Verify Modifications Requested by Agencies - Every modification to the plans requested by a permitting agency is carefully considered by the Project Manager for necessity, conflicts with other applicable codes as well as compliance with Department standards and specifications prior to being incorporated onto the plans. Documentation - All meetings and telephone conversations will be documented with minutes and distributed to all concerned. We believe that this is a critical necessity because of the high turnover rate experienced by the regulatory agencies. To maintain continuity from one reviewer to another, avoid delays and prevent being forced to implement additional revisions not required by the previous reviewer proper documentation is critical. CONSTRUCTION ADMINISTRATION Successful project construction administration is defined by how well contractor request for information (RFI) are processed and addressed as well as managing the close-out of the project. MANAGING REVIEW OF CONTRACTOR'S SUBMITTALS The main concept behind managing request for information (RFI) is the time it takes for the Engineer to reply to the Contractor and to properly address the concerns on the first go-around without creating further confusion. The very nature of an RFI is related to the Contractor's limited time to properly evaluate a set of construction documents prior to beginning construction and most of the time these can be answered by the Engineer with very little effort; however, utility conflicts, design errors, and other field related conflicts can delay a project's progress if not taken care of immediately. RFls are an integral part of a construction project and if properly managed are an excellent tool to track and document project issues. As a result the following are key points that we take into consideration prior to beginning a construction project: The Construction Manager - The manager will define the success and failure of a project's communication tract. Our Construction Manager possesses the necessary management skills to communicate with all the members of the project as well as a practical background on projects with similar scopes of work. Our construction Manager's experience and project maturity will guarantee that the issues will be addressed in the most direct and effective manner. 8 www.bermelloajamil.com I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Sermello Ajamil & Partners. Inc. WHY THE B&ATEAM Chain of Communication - The communication chain must be established with the Contractor, Architect. Engineers and the Owner prior to beginning the project. This will prevent an issue from sitting around waiting for the right person to address it. Our Construction Manager will be responsible for establishing the "direct contact" chain which identifies who will address the specific disciplines. The chain will be kept small to properly assign responsibility to the entities involved in the operations. Lowest Level Resolution - We will employ lowest level resolution whenever possible. It entails addressing issues at the field level and documenting an as-built condition or providing a series of design alternatives to the engineer of record before generating the RFI. The Construction Manager will take charge of the issue and provide direction to the Contractor. Close the Loop - All RFls will be signed and dated by the Construction Manager. If an item is not closed out. the Contractor may represent the Owner's inability to address issues in a timely manner and contribute support to global delay claims during the close of the project. Our Construction Manager will protect our Client from such claims. MANAGING CLOSE-OUT OF CONSTRUCTION CONTRACTS Every item that arises on a project should be processed through resolution in order to avoid delays or lingering issues at the end of the project. Therefore, our Construction Manager will begin managing the close-out portion of a project on day one and will keep it at the top of the agenda throughout the project. The following issues are always carefully considered by our Construction Managers: Permit Close-Out Requirements - Our Construction Manager will monitor items that require certification submittals prior to the end date of the project. The Manager will review these items on a periodic basis, prepare reports and reconcile outstanding issues. Agency Acceptance - Agencies require specific close-out procedures in order to take over signalized intersections, potable water and sewage facilities, street lighting etc. Our Construction Manager will ensure that all agencies involved are coordinated and any that the necessary paper work required to convey the project components to the appropriate agency is prepared on time. As-Built Plans and Records - Accurate records will be maintained throughout the life of the project. Our QA/QC reviews will begin addressing the project at the 30%, 60% and 90% completion of the project. These reviews are designed to assist the Construction Manager in maintaining control of the project's final audit package. We believe that our Team brings the right staff with the necessary level of project maturity along with a sound design philosophy, a savvy permitting approach and proven construction administration capabilities that will deliver project that are welcomed by the public, cost effective and environmentally friendly. 9 www.bermelloajamil.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY CONTENTS: REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS CONSOLIDATED FINANCIAL STATEMENTS: Consolidated Balance Sheets 2 Consolidated Statements of Operations 3 Consolidated Statements of Changes in Stockholders' Equity 4 Consolidated Statements of Cash Flows 5-6 Notes to Consolidated Financial Statements 7 - 20 . . : \IORRISON. BRO\VN. !\RGIZ & F/\RR/\. LLP . ~mf]J!(il/tJJg[lL};PrljJiJ]1Jtf9~ee'rJl~t!lrrw,f(Jr1;~ I . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . REPORT OF ISDEPESDE.YT CERTIFIED PUBLIC..tCCOUNT.INTS To the Board of Directors and Stockholders I3crmcllo, :\jamil & Partners, Inc. and Subsidiary We have audited the accompanying consolidated balance sheets of l3I.:rme1l0, Ajamil & PartIH.Ts, Inc. and Subsidiary (collectively, the "Company") as of December 31, 2006 and :W05, and the related consolidated statements or operations, changes in stockholders' equity. and cash 110ws for the years then ended. These consolidah:d linanciaJ statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in aCl.:Ordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain rL'asonable assurance about whethL'r the consolidated financial statements arc free of material misstatement. :\n audit includes examining. on a test basis. c\'i,knce supporting the amounts and disclosures in the consolidated financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management. as well as e\'aluating the ovcrall financial statement presentation. We bclic\'e that our audits pro\'ide a reasonable basis for our opinion. In our opinion, the consolidated financial statements n:lcrred to abovc present fairly, in all matcrial respects, the financial position of Bcrm<:llo, J\jamil 8:. Partners, Inc. and Subsidiary as of December] 1, 2006 and 2005. and the results of their operations and their cash 110\\'S for the years then ended in conformity with accounting principles generally accepted in the United States of AmL'rica. /1 ~'//:./f>rJ / tJJ/'.~ / Ay;~ f~ ~ L (,/ \liami, Florida June 28, 2007 ~ .\ ,'~r.;: ~ j\ . !lUll Itli,k~1I Hay 11rI"', II"~ 11<'01" \liallli.I'llIlida 3.Q31 Tel: ;O:;-.;73-5:;IHl Fa,: '1I.';.373-IHI:;h .'lll Lhl Las lJlas III \'(1.. 50' 111101 Ft Lllllkrdak. FI..rida 3."."01 Tel' \)54.7()().\)I)()() I:a...: '15.1-760-447(, 1113 SI'IlI''l' SII,.,'t. Suit,' 502 Illluldl'l'. ( '111111 adll S0302 '1',,1: .,().l. 'S I _')50 Fa\: .'1l.;.3S I 25:; I 151 SOlllhh;dl I.alll'. Suit,. J ,I:; \Iaitland. Florida .12751 T~I: 407.(,(,O-(,llSO F.I\: .HI7.(,(,'j-t,079 . . . BERMELLO, AJAMIL & PARTNERS, INC. . . AND SUBSIDIARY . . CONSOLIDA TED BALANCE SHEETS . DECEMBER 31, . . ASSETS 2006 2005 . . CURRENT ASSETS . Cash and cash equivalents $ 341,536 $ 56,232 . Contract receivables, net 13,404,481 12,808,326 . Other receivables 269,985 3,000 . Costs and estimated earnings in excess . of billings on uncompleted contracts 1,072,436 429,755 Due from stockholders 60,000 60,000 . Other current assets 143.658 263.891 . . TOTAL CURRENT ASSETS 15,292,096 13,621,204 . PROPERTY AND EQUIPMENT, net 1,737,279 1,245,083 . . DUE FROM RELATED PARTIES 1,347,331 2,754,466 . OTHER ASSETS 81.133 122.959 . . TOTAL ASSETS S 18.457.839 $ 17.743.712 . . LIABILITIES AND STOCKHOLDERS' EQUITY . CURRENT LIABILITIES . Current maturities of obligations under capital leases $ $ 37,401 . Current portion of long-term debt 129,547 7,661 . Line of credit 999,951 . Short-term debt 65,267 . Accounts payable and accrued expenses 7,844,94 I 7,166,6]2 . Billings in excess of costs and estimated . earnings on uncompleted contracts 1,443,000 2,997,433 . Provision for losses on contracts 220.000 220.000 . TOTAL CURRENT LIABILITIES 9,702,755 11,429,058 . . LONG- TERM DEBT, less current portion 146,034 7,130 . LONG-TERM LINE OF CREDIT 749,951 . . DUE TO RELATED PARTIES 255.741 255.741 . TOTAL LIABILITIES 10,854,481 11,691,929 . . COMMITMENTS AND CONTINGENCIES (NOTE 9) . . STOCKHOLDERS' EQUITY 7.603.358 6.051.783 . TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 18.457.839 S 17.743.712 . . The accompanying notes are an integral part of these consolidated financial statements. . . -2- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 3 t, 2006 2005 REVENUES EARNED $ 39,221,956 COST OF REVENUES EARNED 23.147.913 GROSS PROFIT ) 6.074.043 INDIRECT COSTS Labor General and administrative expenses 4,457,163 8.329.566 TOTAL INDIRECT COSTS 12.786.729 INCOME FROM OPERATIONS 3.287.3 14 OTHER INCOME (EXPENSE) Gain on sale of securities available for sale Other income Interest expense 36,915 105,848 (55.935) TOTAL OTHER INCOME 86.828 INCOME FROM OPERATIONS BEFORE BONUS EXPENSE 3,374,142 BONUS EXPENSE 1.060.477 INCOME FROM OPERATIONS BEFORE INCOME TAXES 2,3 I 3,665 PROVISION FOR INCOME TAXES 162,188 INCOME FROM OPERATIONS BEFORE (GAIN) LOSS A TIRIBUT ABLE TO MINORITY INTEREST 2,151,477 NET (GAIN) LOSS A TIRIBUT ABLE TO MINORITY INTEREST (1.140.146) NET INCOME $ 1.011.331 The accompanying notes are an integral part of these consolidated financial statements. -3- $ 34,536,458 22.478.096 12.058.362 3,399,834 6.676.078 10.075.912 1.982.450 127,412 (107.970) 19.442 2,001,892 838.497 1,163,395 1,163,395 292.793 $ 1.456.188 . . . . . . . . . . . . . . . . . . . .' fii. - .:J5 .~ .~ .~> ~o: .~< -- .~e ...J r'J -CQ .~~ .::; Q .<z ~< .3 .:j , .5 .~ .= . . . . . . . . . . . . . . . . . . . >- !- 5 CI UJ ~{/) a 0::0 UlN Cl Cl ...J Z ~ < ~\O UO 00 !-N C/J 2:1""'1 {/) e3 Ul CD o z ~ < Ul :I:u ut.lJ u..O o 0 {/) Ul !- Cl Z Z t.lJUJ :::E II) LrJ 0:: !- < < LrJ !->o C/JUl o :I: ~r- < 0:: o 0 :iLL. o II) z o U -0 -0 '" III r:: c .~ .~ C::UJ -0 C!o-o a o. ~ ..:./. o.t:: l,,) 0 0 o ..c ciS::5 cu<.... 0.2",0 E~~~~ c ~..o" 6...c:E~ u6:CI')::I.c: :z <:> I=:: ~ 00 ".: \o'l \o'l r- ... t"\ :G t"\ ...., ...., r- .... .,; .... 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'u ~ c .9 .e. il .0 " .. 5 ~ u .5 "0 2 u U III .S * u tl u o S M ..,: ,.. ~ <:> N ..,: ,.. ..... u :is III .. 'g c .51 ... '5 ... .0 .. OIl .S u ~ tl .s 2: ~ ~ 0::- ~ ..... ~ u :is .. > 'u u e c .2 is. .t: ~ .&> " OIl C o ~ ~ Q U .... ..... .... .... "2' .... ..... .... OIl :~ :; u u OIl ... o tl ... OIl C o "0 .~ ti :i e ~ tl u s~ -c "0 'C .~ -5 ... u er; c .. ~~ o u ~:g ~:; u > 0:: ... r- r- ..... ." ... , ~ J J J , ~ J J 1 >l> .... c ., .... "'l - o. :g <:> ..... ...: .... u E S .5 U z '" c .9 '5 ~ v; o .8 S u ~ ;; 8 Ii .. co vi - c u E u - ~ - en -; '0 C Q C t:: " III "CiS ~ o CIl c o t) III en III -5 <..., o 1:: ~ 0.. -; ... tlll III - .5 c Q e ~ en U (5 C tlll C '>. c ~ 0.. s:: o t) CJ Q U .c I- . "1' I :. . . BERMELLO, AJAMIL & PARTNERS, INC. . . AND SUBSIDIARY . . CONSOLJDA TED STATEMENTS OF CASH FLOWS . FOR THE YEARS ENDED DECEMBER 31, . . 2006 2005 . CASH FLOWS FROM OPERATING ACTIVITIES: . Net income $ 1.011.331 $ 1.456.188 . Adjustments to reconcile net income to net . cash provided by operating activities: . Depreciation and amortization 439,897 342,111 . Gain (loss) attributable to minority interest 1,140,146 (292,793) . Gain on sale of securities available for sale (36,195) . Gain on disposal of assets (2,414) ,. Accrued interest on subscription notes receivable 6,764 (2,876) '. Deferred income taxes 162,188 Change in operating assets and liabilities: . Contract receivables, net (596,155) (3,259,889) . Other receivables (266,985) ( 1,300) . Costs and estimated earnings . in excess of billings on uncompleted contracts (642,681) 166,029 . Other current and long-term assets 232,695 (98,409) . Accounts payable and accrued expenses 516,14 1 1,241,766 . Billings in excess of costs and estimated earnings . on uncompleted contracts ( 1.554.433) 1.668.103 . TOTAL ADJUSTMENTS (598.618) (239.672) . NET CASH PROVIDED BY OPERATING ACTIVITIES 412.713 1.216.5]6 . . CASH FLOWS FROM INVESTING ACTIVITIES: . Repayments from advances to related parties, net ] ,407,135 664,883 . Disposal of property and equipment 65,198 . Purchase of property and equipment (932.093) (984.488) . NET CASH PROVIDED BY (USED IN) INVESTING . . ACTIVITIES 475.042 (254.407) . CASH FLOWS FROM FINANCING ACTIVITIES: . Repayments of line of credit (250,000) (1,255,000) . Net proceeds from long-term and short-term debt and . obligations under capital leases 288,656 292,180 . Distributions (666,926) . (Repurchase of) issuance of common stock ( 195,800) 8 Collections on subscription receivable 221.619 56.935 . . NET CASH USED IN FINANCING ACTIVITIES (602.451) (905.877) . NET INCREASE IN CASH AND CASH EQUIVALENTS 285,304 56,232 . . CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR 56.232 . CASH AND CASH EQUIVALENTS - END OF YEAR S 341.536 S 56.232 . . The accompanying notes are an integral part of these consolidated financial statements. . -5- . . I. I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I. i. ~. . . . . . BERM:ELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF CASH FLOWS - (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2006 2005 SUPPLEMENTAL DISCLOSURES OF CASH FLOW IN FORMA TION: Cash paid during the year for interest $ 55.935 SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES: Property and equipment acquired through a capital lease s The accompanying notes are an integral part ofthese consolidated financial statements. -6- $ 107.970 $ 92.610 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31. 2006 AND 2005 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Preselltatioll alld COIIsolidatioll The consolidated financial statements include the accounts of Bermello. Ajamil & Partners, Inc. ("BAP") incorporated in the State of Florida and its subsidiary. Bermello, Ajamil, and Partners - Architects and Engineers, Inc. ("SAP AE"). an affiliated foreign professional corporation incorporated in the State of Florida. authorized to conduct business in New York (collectively, the "Company"). All significant intercompany balances and transactions have been eliminated in consolidation. Busilless The Company provides services such as architectural. civil and environmental engineering, landscape. planning and interior design. These various services are performed under fixed- price contracts, fixed-price contracts modified by incentive and performance provisions, time and materials contracts. percentage of cost of construction contracts and cost plus fee contracts. The length of the Companfs contracts varies but is typically greater than one year. Revelllle and Cost Recogllitioll Revenues from fixed-price and modified fixed-price contracts are recognized on the percentage-or-completion method. Accordingly, income from the fixed-price contracts is measured by the percentage that costs incurred to date bear to estimated total costs after giving effect to estimated costs to complete. Fees for percentage of cost of construction contracts are based on a percentage of final construction costs and revenues are recognized on the percentage-of-completion method. Revenues from cost plus fee contracts are recognized on the basis of costs incurred during the period plus the fee earned. Revenues from time and materials contracts are recognized as the work is perfonned. Individual contracts that are closely related and are in effect part of a single project with an overall profit margin are combined for price recognition purposes. so that revenues and profits are earned and reported unifonnly over the perfonnance of the combined contracts. Contract costs include all direct material and labor costs incurred. Indirect costs include indirect labor, supplies. rented equipment, repairs and a)) other general and administrative costs. Provisions for estimated losses on uncompleted contracts are recorded in the period in which such Josses arc determined. Changes in job performance, job conditions, estimated profitability and final contract settlements may result in revisions to costs and income and are recognized in the period in which the revisions are determined. An amount equal to contract costs attributable to claims is included in revenues when realization is probable and the amount can be reasonably estimated. -7- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I. . . . . . . . . . NOTE 1. Revenlle and Cost Recognition (continlled) BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) The asset "costs and estimated earnings in excess of billings on uncompleted contracts" represents revenues recognized in excess of amounts billed. The liability "billings in excess of costs and estimated earnings on uncompleted contracts" represents billings in excess of revenues recognized. Cas" a"d Cas" Eqllivalents For purpose of the consolidated statements of cash flows, the Company considers all highly liquid instruments purchased with a maturity of three months or less to be cash equivalents. The Company places its cash with quality financial institutions. Such balances may temporarily exceed at a given day the insured limits of the Federal Deposit lnsurance Corporation due to the volume of daily cash activity. The Company has not experienced any losses in such accounts. Property and Equipment Property and equipment arc carried at cost, less accumulated depreciation and amortization. Depreciation is determined using the straight-line method over the estimated useful lives of the assets. Amortization of leasehold improvements is determined using the straight-line method over the lesser of the term of the lease or the life of the asset. Depreciation and amortization is included in general and administrative expenses in the consolidated statements of operations. Estimated useful lives of property and equipment are as follows: Asset Computer and transponation equipment Furniture and equipment Leasehold improvements Equipment held under capital leases Life 3 - 5 years 5 - 7 years Shaner of useful life or lease teml 5 - 7 years Maintenance and repairs arc charged to expense as incurred; improvements and betterments are capitalized. When items are retired or are otherwise disposed of, the related costs and accumulated depreciation and amortization are removed from the accounts and any resulting gains or losses are credited or charged to income. -8- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE J. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Impaimleltt of Loltg-Lived Assets The Company's long-lived assets, such as property and equipment, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impainnent charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of would be separately presented in the consolidated balance sheets and reported at the lower of the carrying amount or fair value less costs to sell, and would no longer be depreciated. The assets and liabilities of a disposed group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheets. I"come Taxes The Company, with the consent of its stockholders, has elected Subchapter "S" corporate status. In lieu of corporate income taxes, the individual stockholders of the Company are taxed on their proportionate share of the Company's taxable income. Therefore, no federal income taxes are imposed in the Company. Due to its operations in New York, the Company is subject to state income taxes. During the years ended December 31, 2006 and 2005, the Company had income of approximately $1,302,000 and a net loss of $293,000, respectively, related to its New York operations, As of December 31, 2006 there was a provision recorded of approximately $162,000 and no provision as of December 31, 2005. Use of Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses. Actual results could differ from those estimates, Significant estimates are used for, but not limited to, the allowance for doubtful accounts and the application of the percentage of completion method. -9- . . . . . . . . . ,. '. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE J. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Consolidation of Variable IIlterest Entities In December 2003, the Financial Accounting Standards Board ("F ASB") issued F ASB Interpretation No. ("FIN") 46R, "Consolidation of Variable Interest Entities". FIN 46R revises the original FIN 46R that was issued in January 2003. FIN 46R provides guidance in detennining when variable interest entities should be consolidated in the consolidated financial statements of the primary beneficiary. Private companies with an interest in a variable interest entity that is subject to the provisions of FIN 46R created on or before December 3], 2003, must implement the consolidation provisions within FIN 46R no later than the beginning of the first annual period beginning after December] 5, 2004. BAP implemented FIN 46R as of January 1,2005. As a result of the implementation of FIN 46R, BAP consolidated BAPAE with BAP, the primary beneficiary. BAPAE is an entity fonned to perfonn similar services as BAP in the state of New York. FIN 46R requires the consolidating enterprise (BAP) to initially measure the assets, liabilities. and non- controlling interests of the variable interest entity (VIE) at the VIE's carrying amounts. In this context, the carrying amounts refer to the amounts at which the assets, liabilities, and non-controlling interests would have been carried in the consolidated financial statements if this Interpretation had been effective when the enterprise first met the conditions to be the primary beneficiary. Management adopted this statement effective January]. 2005. As of December 31. 2006 and 2005, BAP had net income of $] ,0] ] ,331 and $ 1,456.188, respectively, excluding the income (loss) of BAPAE of $1,140,146 and $(292,793), respectively. COllcentrations of Credit Risk Two customers accounted for approximately 21 % and 15% of total revenue for the years ended December 31, 2006 and 2005, respectively. Most of the Company's business activity is with customers located within its primary market area, which generally includes Miami and the surrounding area in Miami-Dade County, Florida. This market area does not depend heavily on any particular industry nor are the Company's customers concentrated in any particular market segment. Two customers accounted for approximately 23% and 14% of net contract receivables as of December 31. 2006 and 2005, respectively. The Company conducts ongoing credit evaluations of its customers and maintains an allowance for doubtful accounts. The Company does not require collateral and has historically not experienced significant losses on contract receivables. Such credit risk is considered by management to be limited due to the Company's broad customer base and its customers' financial resources. -10- I: . . I. I. . I. i. . . . . . . . I: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE J. SUMiWARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Recent Accounting Pronouncements In May 2005, the FASB issued Statement of Financial Accounting Standards ("SFAS") No. 154, Accounting Changes and Error Corrections, a replacement of Accounting Principles Board Opinion No. 20 and SF AS No.3. SF AS No. 154 requires that a voluntary change in accounting principle be applied retrospectively with all prior period financial statements presented on the new accounting principle, unless it is impracticable to do so. SF AS No. 154 also provides that (1) a change in method of depreciating or amortizing a long-lived nonfinancial asset be accounted for as a change in estimate (prospectively) that was effected by a change in accounting principle, and (2) correction of errors in previously issued financial statements should be tenned a "restatement." The new standard is effective for accounting changes and correction of errors made in fiscal years beginning after December 15,2005. The adoption of SF AS No. 154 did not have a significant effect on the Company's consolidated financial statements. In September 2006, the FASB issued SFAS No. 157, Fair Value Measurements. This Statement defines fair value, establishes a framework for measuring fair value in accordance with generally accepted accounting principles, and expands disclosures about fair value measurements. This Statement applies under other accounting pronouncements that require or penn it fair value measurements, the Board having previously concluded in those accounting pronouncements that fair value is the relevant measurement attribute. Accordingly, this Statement does not require any new fair value measurements. However, for some entities, the application of this Statement will change current practice. The Statement shall be effective for financial statements issued for fiscal years beginning after November 15, 2007. Management believes the adoption of this Statement will not have a significant impact in the Company's consolidated financial statements. In February 2007, FASB issued SFAS No. 159, The Fai,. Value Optionfor Financial Assets and Financial Liabilities. The fair value option established by this Statement pennits all entities to choose to measure eligible items at fair value at specified election dates. A business entity shall report unrealized gains and losses on items for which the fair value option has been elected in earnings (or another perfonnance indicator if the business entity does not report earnings) at each subsequent reporting date. -11- I. . . . . . . . . . . . . . . . . . . I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Recent Accountillg Pronouncements (continued) The fair value option: 1. May be applied instrument by instrument, with a few exceptions, such as investments otherwise accounted for by the equity method. 2. Is irrevocable (unless a new election date occurs). 3. Is applied only to entire instruments and not to portions of instruments. SFAS No. 159 is effective as of the beginning of an entity's first fiscal year that begins after November IS, 2007. Management believes the adoption of this Statement will not have a significant impact on the Company's consolidated financial statements. NOTE 2. CONTRACT RECEIVABLES, NET Contract receivables, net, arc comprised of the following at December 31 : 2006 2005 Completed contracts $ 858,533 $ 1,666,192 Contracts in progress ] 3.34] .832 1 ] .938.993 14,200,365 13,605,]85 Less allowance for doubtful accounts 795.884 796.859 $ 13.404.481 $ 12.808.326 NOTE 3. COSTS AND ESTIMATED EARNINGS ON UNCOMPLETED CONTRACTS Infonnation with respect to uncompleted contracts is as follows at December 31: Less billings to date 2006 2005 $ 32,195,329 $ 26,073,856 2.225.308 2.173.965 34,420,637 28,247,821 34.791.201 30.815.499 $ (370.564) $ (2.567.678) Costs incurred on uncompleted contracts Estimated earnings on uncompleted contracts -12- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . NOTE 3. BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FlNANCIAL STATEMENTS DECEMBER 31 , 2006 AND 2005 COSTS AND ESTIMATED EARNINGS ON UNCOMPLETED CONTRACTS (CONTINUED) NOTE 4. RELATED PARTY TRANSACTIONS These amounts are included in the accompanying balance sheets under the following captions: 2006 2005 Costs and estimated earnings in excess of billings on uncompleted contracts Billings in excess of costs and estimated earnings on uncompleted contracts $ 1,072,436 $ 429,755 (1.443.000) (2.997.433) $ (370.564) $ (2.567.678) Estimated losses on uncompleted contracts have been accrued in the amount of $220,000 at December 31, 2006 and 2005. In July 1999, the Company entered into a loan agreement with its two principal stockholders to include all balances previously owed by these stockholders. The loan agreement bears interest at 7% and is payable by the stockholders through monthly payroll deductions of $5,000. The balance owed to the Company at December 31, 2006 and 2005 was $338,873 and $366,489, respectively. The current portion of this loan at December 31, 2006 and 2005 was $60,000 and has been reflected as due from stockholders in current assets in the accompanying consolidated balance sheets. During 2005, certain contract receivables from entities controlled by these stockholders were included in a promissory note receivable. The outstanding balance on these contracts amounted to $257,634 and $ I ,294,647 as of December 31, 2006 and 2005, respectively, and has been included in the caption due from related parties in the accompanying consolidated balance sheets. Unpaid principal balance docs not have a specific maturity date, but is expected to be collected in subsequent years. Due from related parties also includes salary advances which are deducted from the corresponding profit distributions received by the stockholders. Such advances do not bear interest and have no specific maturity dates. Salary advances amounted to $291,282 and $244,307 at December 31, 2006 and 2005, respectively. -13- I. . . . I. . . . . . . . . . . . I: '. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 4. RELATED PARTY TRANSACTIONS (CONTINUED) In addition, due from related parties includes expenses paid on behalf of a company owned by the two principal stockholders. Effective January I, 2004, the balance outstanding from the affiliated entity was assumed and included in a promissory note, bearing interest at a rate of 3.55% per annum, due from the two principal stockholders. At December 31, 2006 and 2005, the balance due from these stockholders was $351,832 and $735,968, respectively. Accrued interest receivable on the outstanding receivable balances as of December 31, 2006 and 2005 was $165,210 and $173,055, respectively, and have been included in the caption due from related parties in the accompanying consolidated balance sheets. During 2006, the Company granted a loan, in due from related parties, in the amount of $2,500 to Bennello, Ajamil International for operational costs. The loan does not bear interest and has no spccific maturity date. During 2001, a related party granted a loan to the Company. The balance owed by the Company amounted to $255,741 as of December 31,2006 and 2005, respectively. The loan is non-interest bearing and has no specific repayment terms. On January 2, 1992, the Company entcred into a promissory note payable with a related party. During 2003, the agreement was amended changing the maturity date from December 2011 to December 2006. Consequently, monthly payments increased approximately $1,600. As of December 31, 2006 and 2005, the balance owed on this note amounted to $0 and $2,587, respectively, and is reflected as long-tenn debt in the consolidated balance sheets of the accompanying financial statements (NOTE 7). Included in trade accounts payable in the accompanying consolidated balance sheets, at December 31, 2006 and 2005, are amounts due to an entity controlled by the two principal stockholders totaling $968,642 and $931,232, respectively, (NOTE 6). -14- I. '. . :. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 5. PROPERTY AND EQUIPMENT, NET Property and equipment, net, is summarized as follows as of December 31 : 2006 2005 Computer equipment $ 2,121 ,515 $ 1,527,822 Transportation equipment 87,376 48,769 Furniture and equipment 708,835 480,758 Leasehold improvements 563,399 491,683 Equipment held under capital leases 235.581 235.581 3,716,706 2,784,613 Less accumulated depreciation (including $183,102 and $125,464 on equipment held under capital leases as of December 31, 2006 and 2005, respectively) 1.979.427 ] .539.530 $ 1.737.279 S 1.245.083 Depreciation and amortization expense was $439,897 and $342,] 11 in 2006 and 2005, respectively. During 2006 and 2005, management reviewed and wrote off various assets, which were fully depreciated. The write off of these assets did not have a significant impact on the consolidated financial statements. NOTE 6. ACCOUNTS PA YABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses consist of the following at December 31 : 2006 2005 Amounts payable to consultants $ 4,794, ] 79 $ 4,043,872 Net deferred tax liabilities 162,188 Trade accounts payable (NOTE 4) 996,041 1,6] 1,295 Accrued payroll and payroll taxes 1,201,916 880,563 Other accrued expenses 690.617 630.882 $ 7.844.941 $ 7.166.612 -15- I. . . . '. . . . . . . . .. . '. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . NOTE 7. LONG-TERM DEBT AND LINE OF CREDIT BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 The Company maintains a line of credit (the "Line") with a bank, primarily to support working capital needs, with maximum borrowings of $5,000,000. The Line bears interest at the Wall Street Journal prime rate, 8.25% and 7.25% at December 31, 2006 and 2005, respectively. The Line is collateralized by substantially all assets of the Company and is guaranteed by the principal stockholders. This Line is renewed annually and expires on February 14, 2008 as of December 31, 2006. As of December 31, 2006 and 2005, the Company had borrowed $749,951 and $999,951, respectively. Management believes this Line will be renewed at the 'maturity date. At December 31, 2006, the Company was in compliance with all debt covenants stipulated in the Line. Long-term debt is summarized as follows at December 31 : 2006 2005 6% unsecured note payable to a related party; monthly payments of principal and interest of $1,600 through December 2006 (NOTE 4). $ Loan payable with a fixed interest rate of 6%, with a maturity date of June 15, 2009, collateralized by selected fixed assets. Unsecured loan payable, with a variable interest rate of 8.50% at December 31, 2006, with a maturity date of September 15, 2008. Various notes payable to a bank bearing interest at rates ranging from 4.75% to 7.75% at December 31, 2006 and 2005, collateralized by selected fixed assets and due at various dates through April 2008. $ 2,587 23,590 244,861 Less current portion of long-term debt 7.130 12.204 275,581 14,791 129.547 7.661 $ 146.034 $ 7 .130 -16- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 7. LONG-TERM DEBT AND LINE OF CREDIT (CONTINUED) The maturities of debt for each of the years subsequent to December 31, 2006 areas follows: 2007 $ 129,547 2008 141,031 2009 5.003 $ 275.581 NOTE 8. INCOME TAXES The Company, with the consent of its stockholders, has elected under the Internal Revenue Code to be an S Corporation for federal tax purposes. In lieu of corporation federal income taxes, the stockholders of an S Corporation are taxed on their proportionate share of the Company's federal taxable income. Therefore, no provision or liability for federal income taxes has been included in the financial statements. Consequently, all taxes reflected on the provision are related to the New York state and city income taxes. There was no provision for state taxes as of December 31, 2005. The provision for New York state and city income taxes is as follows as of December 31 : Deferred State 2006 $ 162.188 Deferred income taxes reflect the net lax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for tax purposes and operating loss canyforwards. The tax effects of significant items comprising the Company's net deferred tax liability as of December 31, 2006 are as follows: 2006 Liabilities: Depreciable property Accrual to cash method of accounting adjustment $ 10,487 151.701 Net deferred tax liability $ 162.188 -17- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOUDA TED FINANCIAL STATEMENTS DECEMBER 31 , 2006 AND 2005 NOTE 9. STOCKHOLDERS' EQUITY At various times, the Company has executed agreements to employees for the issuance of shares of common stock upon full payment of an agreed-upon purchase price. The agreed- upon purchase price balance is due in three equal annual installments bearing interest at 6% per annum. Amounts not collected in full are shown as a stock subscription receivable and a reduction of stockholders' equity. The Company issued 14,000 and 805 shares of common stock at $0.0 I par value during 2006 and 2005, respectively. The issue price for these shares amounted to $274,120 and $8 for 2006 and 2005, respectively. During 2006, the Company repurchased 10,0 I 0 shares of its common stock, par value $0.0 I, for $195,800. NOTE 10. COMMITMENTS AND CONTINGENCIES Operating Leases The Company leases two floors of office space under the terms of a renegotiated non- cancelable lease agreement which expires on February 28, 2009. The Company is required to make monthly rental payments of approximately $89,000, which are subject to increases based on the Consumer Price Index. Additionally, the Company has three office space leases in Dubai that expire on various dates during 2007. The Company is required to make monthly rental payments of approximately $19,000 for all three leases. The Company also has an office space lease in Orlando and Broward that expire on April 16, 2011 and May 31, 20 II, respectively. The Company is required to make monthly rental payments of approximately $4,000 for the Orlando lease and approximately $16,000 for the Broward lease. On November I, 2004, BAP AE entered into a lease agreement for office premises. The lease term is for five years and three months. Rental payments amount to $135,000 per annum. BAP is a guarantor of such payments. -18- . . . . . '. . .. . . . . . . . . . . . . I. i. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLlDA TED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 10. COMMITMENTS AND CONTINGENCIES (CONTINUED) Operating Leases (continued) In addition, the Company has operating lease agreements primarily involving automobiles and equipment. These leases are non-cancelable and expire at various dates through 2011. The minimum annual rent is subject to annual escalation based on changes in the Consumer Price Index. Future minimum rental payments due under these lease agreements for each of the years subsequent to December 31, 2006 are as follows: 2007 $ 1,780,627 2008 1,615,744 2009 611,992 2010 282,495 2011 106.356 Total $ 4.397.214 The Company subleased office space to one tenant evidenced by a lease agreement executed in April 1998. The sublease expired in 2001 and is currently being rented on a month-to-month basis. Rent expense under all operating leases charged to operations totaled approximately $1,830,000 and $1,593,000 at December 31, 2006 and 2005, respectively. Rent expense is net of sublease rental income of approximately $112,000 and $104,000 for 2006 and 2005, respectively. Stock"olders' Agreemellt The Company and its stockholders have entered into an agreement covering, among other things, the purchase of stock by the Company at a specified price in the event of the death of a stockholder. Profit S"aring Plan During 1994, the Company established a 401 (k) profit sharing plan (the "Plan") covering substantially all employees who have completed one year of service and have reached the age of twenty-one. The Plan allows eligible participants to defer a portion of their current compensation and have these amounts contributed to the Plan on their behalf. -19- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . BERMELLO, AJAMIL & PARTNERS, INC. AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2006 AND 2005 NOTE 10. COMMITMENTS AND CONTINGENCIES (CONTINUED) Profit Sharing Plan (continued) The Company may make discretionary contributions to the Plan, upon approval by the board of directors. Amounts contributed by employees are fully vested when contributed. Amounts contributed by the Company are vested at the end of the Plan year, if the employee has met the Plan's vesting requirements. The Company contributed $ 100,000 to the Plan in 2006 and 2005. Litigation The Company is exposed to various asserted and un asserted potential claims encountered in the normal course of business. In the opinion of management, the resolution of these matters will not have a material effect on the Company's financial position or results of operations. -20- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ba Bermello Ajamil & Partners, Inc. ~tate~t~loria cJCl e>c" ....., ~.'v.. a ,-,:"~.~);::;,i,~\f;;:; ',~{'~.' PJk,nro of. :f~ifr~ii"'\}E Itghu:rrs r s Inc. "-~~ .'7- _N,.,.,:.r.""'/N~ d...~"/.~~:-".",. ",/"..z ....<to ,..,#-" f"'F~'"'''''''''''''''''' k a; /,NU;", M_~ ., :.i;z..y-_,..................,;.c~"':~~ .JI;2.~~f...-' u",IIh- u;""'/~ .4lJ. ..w......,;.t.. ..~.,..hd..... AUDIt NO.: orC>Q lj4)li.J9 CERTlFICA TE OF AUTHORIZATION NUMBER: 6304 EXPIRATION: 28.FEB-09 OlSI'lAV AS M~ll.Y LA\\' ~,=2:-, ...;?: ~ 5T A TE OF FLORIDA DEPA.R'nlDU OF aUSl},'1:SS AND FROP'ESSIOKAL RECTJLATI0N BOARD OP L.M1:lSCAP! ARCR:'rE::TUJI.E SEOILa!51(l~GOU) _."t-.."I"':IIIo-~.LI=Rl1SE l\'1Hi LtQil.Q1U9lli9l.iQ.iH 'LOOOO020 The LA."lDSCAPE ARCHItECT BUSINES 8 Na'ln9d t:t.lov HAS REGISTERED Und.er the provhion. of Chapte-r 481 F!J. !xpiration da.te, llOV 30, 2007 ~fW:;~utH ~~~~O;! p~m~ulff 100 XIAIlI fL 33133 JZ6 BOSH SIMONE Y.A.RSTILLER GOVERNOR OIS?'..AY AS "<EQVlRED 9'( LAW SECRETARY .::.3051276 STATE OF flORIDA DEPArnmfr or Bt"SINESS AND PROFESSICKAI, RECUUT'IOK BOARD OF .uCKITBCTUR!: . IHTEUOR. DeSIGN SEQtJ..:t7CU900GU C'~'~I~.:rll:;. 11~~:~"LICL~SE NBR ! 01 20 7 1060 0680 ""0000<12 Th. ARCHITECT CORPORATION H...el h.low 13 CIR'1'IPIED =t~.~r:nP~~;~i~~: ~i, 9;~icr 481 lPS. ~I~EZLOBiy~iLD~ ~~~g8' IlI0 MIAKI PL 33133.5412 CKU.LII CaIST HOLLY BItNSON _.__Q9~~O~_"__.._ O1SP1.AYAS~O~.BV_J..A'.~.._.~.._~~.s_~C_~1~X...__.__.__. MIAMt.OAOE COUNTY TAX COLLECTOR '40 W. FLAGLE R ST. ,41h FLOOR MIAMI, FL 33 t 3.Q OCCUPATIONAL LICENSE TAX 2007 M1AMl-OAOe COUNTY. STATE OF FLORIDA EXPIRES SEPT. 30. 2007 MUST BE DISPLAVeO AT PLACE OF aUSINESS PURSUANT TO COUNTY cooe CHAPTER SA. Af:lT. 9 & 10 eu~Zts\lN~M~ Il.OCATlON 8ERHEllO AJAMIL 8 PARTNERS INC 2601 S BAVSHORE DR 33133 MIAMI RENEWAL LICENSE NO. 0675 STATE_ 41Z 1000 8ERHEllO AJAMIL & PARTNERS tHe See. Ty.,e 01 Bu",,,:...'5", A(CORP/PART,..ERSUI P/F IRH EMPlOVEE/S 1 00 NOT FOqWARrl BERMElLO AJAMIl & PARTNERS IHe WILLV A 8ERMElLO PRES 2601 S BAVSHORE DR 1000 MIAMI FL 33133 ....v..~... ...c;",~.g _..--...~cavo.<T'O"I". '-fn,.U-e-"OH. g~6~~6~8~~7 Florida Professional license State of Florida Department of State I certifv from the records of this office that BERMELLO. AJAMIL & PARTNERS, INC. is a corporation organized under the laws of the State of Florida. filed on February 28.1977. The document number of this corporation is 528526 I further certify that said corporation has paid all fees due this office through December 31, 2007, that its most recent annual report was filed on January 25,2007, and its status is acth-e. I further ccrtifv that said corporation has not filed Articles of Dissolution. - Giv..n undu n~. hand and th.. Gum S..al "I nllriJQ. at TtlOahtr<.u, th.. CIlf'i1tlL this th.. n~id'~ S,'e"'lary"/Stut,, To~""""'~""'""",fi"",.,""llIf!"roll""""""T",,,,,,,!Ir., Il). ondlbol\ foli",,' IlloT"lrudl"", <1>pl.yoi _,,'.~unhll.of'lt.'liIulh.hlml -. \ 00"," ....:... \:..1 ,,!e, ,." -'- t..., :i~'" P1. 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U ~E"'Oco..9loa3 E~.2.2 CIl-E <(~'5",~g>~.?:-E ~ 0) CIl Q) U :.;z .h 0 0 <K~~5~~~~ VJ W u :> a::: w V) Z ~ Vi w C I W a::: Q.. oCl ~ z :E :E <( a::: ~ o a::: Q.. Z w U z w ..... ..... w U x w u.i co ..c " o o ('oj N :s 0) ::> <( Q) o o Qj 0) o c o Z ti Q) o a: UJ a... N Q) ::> 0) 'C U o Q,: o U o c o Q) --' ~ i= U c o Q) E o z U Q) 0. >- I- ~~ o~ +- C ~ "P 2 ~ 2 C\~ .[ 8 .~ \ OJ Q) .2 Q) .!::. I- iti :s -0 c 0) Vi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . EDUCATION Bachelor of Science in Civil Engineering, University of Miami. 1987 Master of Science in Environ- mental Engineering, Florida International University, 1995 PROFESSIONAL REGISTRATION Registered Engineer Reg. No. 54858 ba Leonardo Rodriguez, PE Senior Civil Engineer Professional Design Experience Mr. Rodriguez has over 15 years of Civil Engineering experience of which approximately seven years have been as project manager. He has been the primary point of contact for public and private sector clients for projects ranging from Municipal utility improvements. roadway resurfacing and reconstruction. as well as County local and area wide drainage improvements. Mr. Rodriguez has spearheaded the Environmental Resource Permit (ERP) and Corp of Engineer Dredge and Fill permitting efforts on various projects ranging in size from 5 acres to 250 acres. He is intimately familiar with the South Broward Drainage District. the Broward County Health Department. the City of Miramar and the Miami-Dade Water and Sewer Department (MDWASDI. City of Miami Public Works Department standards and specifications. the Miami-Dade County Public Works Department, and the Miami-Dade County Department of Environmental Resources Management (DERM). Project Experience Haulover Beach Park Master Plan Improvements. Senior Civil Engineer responsible for the paving. grading and drainage and utility infrastructure improvement due diligence associated with this Mi- ami-Dade County Parks and Recreation Department beach side park in Miami-Dade County. A boundary and topographic survey as well as geotechnical testing was coordinated and utilized to evaluate the effectiveness of the existing water management and drainage system associated with open green recreational areas. parking designated areas, marinas abutting the Itracoastal Water Way and areas landward of the existing dune line along the beach. Also evaluated the service level of the existing water distribution and sanitary sewage collection and transmission system. A comprehensive facilities report was developed that identified deficiencies to existing systems and recommended improvements to the water management and drainage system, the water distribu- tion system and the sanitary sewage collection and transmission system. Schematic designs of the recommended improvements were developed Close coordination with the Florida Department of Environmental Protection (DEPl. and the Miami-Dade County Department of Environmental Re- sources Management (DERMI was maintained throughout the master plan process. Deering Estate Rehydration Project - Project Manager in charge of the modeling, analysis, develop- ment of construction plans and construction phase services associated with the Miami-Dade County Parks and Recreation Department Deering Estate site. A critical component of the Comprehensive Everglades Restoration Plan (CERPJ, this 40 acre project will serve to rehydrate a historical fresh water wetland slough that bisects the Deering Estate property. A hydrologic model was developed that calculated the storm water stages as a result of a combination of natural storm water input into the slough, input of fresh water into the slough via a pump drawing water from the C-100 spur canal and drainage through solution features. In addition. the model considered a control structure at the downstream end of the slough near the bay with a variable crest elevation. The model was used to simulate various combinations of water input conditions with various weir crest elevations to identify the optimum design condition. Construction plans for the weir were developed considering the extreme environmentally sensitive location of the site. All components of the weir control struc- ture were designed based on hand construction techniques with minimal mechanical construction equipment. An environmental resource permit (ERP) from the Florida Department of Environmental Protection (DEPl, a dredge and fill permit from the US Army Corp of Engineers and a Class I coastal construction permit from the Miami-Dade County Department of Environmental Resources Man- agement (DERM) was processed and obtained. South Broward Drainage District Comprehensive Facilities Report (SBDD) - Project Engineer respon- sible for analyzing the interconnected canal and lake system serving the entire SBDD. The Inter- connected Pond Routing (ICPR) software was utilized for the analysis to identify bottlenecks in the water management system and recommend improvements. A comprehensive facilities report was developed identifying deficiencies and recommending improvements. This report was developed to assist the SBDD in obtaining extensions to their Management of Surface and Storm Water (MSSWj Permit. 10 www.bermellaajamil.cam . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I. . . I. . Leonardo Rodriguez, PE Civil Engineer Matheson Hammocks Master Plan. Senior Civil Engineer responsible for the paving, grading and drainage and utility infrastructure improvement due diligence associated with this Miami-Dade County Parks and Recreation Department park abutting Biscayne Bay. A boundary and topograph- ic survey as well as geotechnical testing was coordinated and utilized to evaluate the effectiveness of the existing water management and drainage system associated with open green recreational areas, parking designated areas, marinas abutting the Itracoastal Water Way and areas landward of the existing dune line along the beach. Also evaluated the service level of the existing water dis- tribution and sanitary sewage collection and transmission system. A comprehensive facilities report was developed that identified deficiencies to existing systems and recommended improvements to the water management and drainage system, the water distribution system and the sanitary sewage collection and transmission system. Close coordination with the Florida Department of Envi- ronmental Protection (DEP), the Miami-Dade County Department of Environmental Resources Man- agement (DERM) was maintained throughout the master plan process. Jerry Curtis Park Improvements - Senior Civil Engineer in charge of the water management and drainage improvements for this City of Miami park abutting the Miami River. Boulder rip-rap shore- line stabilization was designed to protect the existing bank of the river abutting the park and a new pedestrian promenade along the river was designed. New site grading and drainage providing one inch of water quality with a control structure and exfiltration trench was designed along with a positive outfall pipe discharging to the river. Sustainable design was implemented through the use of swales. water quality treatment components and stabilization of the river bank. An environmen- tal resource permit (ERP) from the Florida Department of Environmental Protection (DEP), a dredge and fill permit from the US Army Corp of Engineers and a Class I coastal construction permit from the Miami-Dade County Department of Environmental Resources Management (DERM) was processed and obtained. City of Dania Comprehensive Drainage Plan - Prepared a comprehensive plan of the City's drain- age system. Utilized existing surveys to identity drainage basins, calculated the storage capacity of each basin. evaluated the storm water collection system within each basin. recommended im- provements for each basin and divided the improvements into small stand alone projects to assist the City in prioritizing the work based on the available funds. Also assisted the City in developing a special storm water drainage assessment to acquire additional revenues to implement storm water system improvements. Presented the results to the City Commission. (Project engineer) Margaret Pace Park Shoreline Stabilization - This project entailed the design of boulder rip-rap beach line stabilization for this City of Miami publiC park abutting Biscayne Bay. The work included coordination with the surveyors. the City of Miami CIP Department. the Florida Department of Envi- ronmental Protection (DEP), the US Army Corp of Engineers (COE) and the US Coast Guard. Design, permitting and construction phase service were provided. (Project Manager) CPHI Sanitary Pumping Station - Senior Civil Engineer. Design of a Miami-Dade Water and Sewer Department (MOW ASD) donation sanitary pumping station with emergency generator. The project required the design of a sanitary force main with a hot tap of reinforced concrete cylinder pipe force main. Bel Aire Drainage Improvements - Senior Civil Engineer. Designed the water quality and drainage improvements for approximately four miles of roadway for the Miami-Dade County Department En- vironmental Resources Management (DERM). Work entailed the design of an interconnected hybrid exfiltration trench - positive outfall system. Country Walk Drainage Improvements - Project Manager. Designed the water quality and drain- age improvements for approximately two miles of roadway for the Miami-Dade County Department Environmental Resources Management (DERM). The work entailed the design of an interconnected hybrid exfiltration trench - positive outfall system discharging to a County Canal. ba 11 www.bermelloojomil.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I. ,. . . Leonardo Rodriguez, PE Civil Engineer Meadow Wood Cedar Creek Drainage Improvements - Project Manager. Designed the water qual- ity and drainage improvements for approximately six miles of raodway for the Miami-Dade County Department Environmental Resources Management (DERM). The work entailed the design of an interconnected hybrid exfiltration trench - positive outfall system discharging to a County Canal through various control structures. Atlas Air Facility Drainage Analysis - Senior Civil Engineer. Prepared a peer review of the drainage system proposed for this facility. Analysis of the water management and drainage system focused on the potential impacts this project may have on Aviation Department adjacent properties. Homestead Air Reserve Base Phase Infrastructure Improvements - Senior Civil Engineer. Entailed the planning and modeling of a manifolded sanitary pumping station and force main system to serve the Military as well as future development of the Base. Two MDWSD donation sanitary pumping stations with emergency generators were designed along with force main and associated gravity sanitary sewer. City of Miami Pavement Rehabilitation - Project Manager. Full reconstruction and resurfacing of City roads. Drainage improvements were designed where needed. Design, permitting and construction phase services were provided. NW 22nd Water Quality Improvements - Project Manager. Analysis of the existing reinforced concrete pipe positive outfall system from Alibaba Avenue to the Comfort Canal in the City of Opa-Locka. Two diversion control structures divert storm water runoff from the existing system to the proposed exflltration trench providing the necessary water quality and divert runoff back to the existing system. Brownsville Middle School - Project Manager. Provided design. permitting and construction phase services for this Miami-Dade County Public School (MDCPS) design-build project. Entailed the coor- dination of right-of-way dedication, utility power pole relocation, drainage improvements, potable water and sanitary sewer improvements as well as pavement marking and signage associated with the addition of two buildings and parking facilities. Cutler Cay - Project Manager. Civil Engineering infrastructure improvements associated with a 250- acre land development located on coastal wetlands abutting Biscayne Bay. Water management and drainage system consists of a 30-acre lake and a hybrid exfiltration trench. Coordinated efforts of biologist and spearheaded permitting efforts. Bellagio - Project Manager. Prepared a civil engineering infrastructure due diligence analysis to determine the economic viability of 65-acre project. Prepared an opinion of probable construction cost for the off-site roadway improvements, the potable water and sanitary force main extensions along public right-of-way, onsite water distribution and sanitary sewage collection and transmission. Represented client at meetings. Fontainebleau East and West - Project Manager. Assisted client in the site plan approval process and various public hearings to develop a site plan for this 1 35-acre land development project on the site of a former golf course. Directed the water management study to size lakes and maximize the waterfront buildable area for the client. Also directed the design of the water distribution system and sanitary sewage collection. Blue Lagoon lake FiII- Project Manager. Coordinated all the work with developers and the architect to prepare a preliminary site plan for a high rise building within a nine acre fill pad. Directed the preparation of reclamation plans to fill nine acres of Blue Lagoon and processed the associated Environmental Resource Permit (ERP) through all associated agencies. ba 12 www.bermelloajamil.com . . . . . . . . . . . . . . . . . . . . . . . '. . !. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Leonardo Rodriguez, PE Civil Engineer University of Miami School of Business - Project Manager. Coordinated the design of the Civil Engineering infrastructure to support this new educational and student housing project. Directed the permitting effort through the City of Coral Gables. Miami-Dade Water and Sewer Department and the Miami-Dade County Department of Environmental Resources Management. Ouster Corporation Storage Facility - Project Manager. Directed the design of the water management and drainage system for 40-acre compost material storage facility. Designed reten- tion swales to service a 25-year storm event and obtained Environmental Resource Permit (ERP). Represented Ouster Corporation at public hearings and Environmental Quality Control Board hear- ings to obtain a variance. ba 13 www.bermelloajamil.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . QUALITY ASSURANCE/ QUALITY CONTROL Jorge Ferrer STRUCTURAL DESIGN CONSTRUCTION SERVICES Frank Tejidor, PE Gus Quesada. PE BID ADMINISTRATION CONTRACT MANAGEMENT CONSTRUCTION INSPECTION KEY PERSON William Brant. PE OF su 1 Leonardo Rodriguez, PE PROJECT Mj I Leonardo Roc Jorge Ferrer ~ Frankl ejdar. PE ENGINEE SERVIC Ed Palae ROADY IMPROVEI & Gus Quesada, PE SITE ENGIN WATERjS IMPROVEl Ed J. Palacio, PE & DRAINJ IMPROVEJ I Randy P. Hollingworth CONTRAC" & Monika Gamble. RLA SPECIAL PRC PERMITl Tere Garcia Organ~atlonalChart YEARS OF EXP. 35 AREAS OF EXPERTISE Extensive experience in program and construction management of complex municipal capital improve- ment programs including managing multidisciplinary teams. Experience in design and quality control of civil engineering projects. Has designed drainage well. exfiltration trench and positive outfall drainage systems. Has expertise in design and permitting of utility systems. as well as permitting of projects requiring ERP Permits. Experience in architecture. specifi- cally as Project Manager and Qual- ity Control Officer. His expertise in- cludes design of public spaces such as parks and municipal facilities. Experience in geotechnical and civil engineering. He has been involved in projects with the foundation underpinning of historic buildings and multi-story buildings. installation monitoring and in-situ testing of pressure injected tiebacks. design of belled drilled shafts over deep compressible material. instrumented pile load test. and construction monitoring and field testing of a multi-story slurry wall. Experience of construction administration and inspection services for muncipalities and FOOT. Also, extensive experience in construction management associated with bridge projects. Experience in planning and design of highway projects. Responsibilities include plan preparation. alignment geometry. cost estimates. and project coordination. 15 20 23 15 16 20 Experience as an Urban Designer. Has extensive experience in signage. landscape and architecture design. Experience involving landscape design projects ranging from large scale planning assignments through the development of construction documents. from the preliminary conceptual stages through the installation of the final design. Experience in fields of planning, governemental relations. public participation and feasibility analysis of projects. 25 25 . . . . . . . . . . . . . . . . . . . . . . . . . I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SWORN STATEMENT PVRSVANT TO SECTION 287.133(3)(a) FLORIDA STATUTES, ON PVBLIC ENTITY CRIMES THIS FORM rvlCST BE SIGNED AND SWORN TO IN THE PRESENCE OF A NOTARY PLBLIC OR OTHER OFFICIAL ALTHORIZED TO ADMINISTER OATHS. by for City of Sunny Isles Beach Leonardo Rodriguez, PE Bermello Ajamil & Partners, 2601 Bayshore Drive Miami, FL 33133 Inc. I. This sworn stmemenl is suhmitted to whose business address is 59-1722486 and (if applicable) its Federal Employer Identification Number (FEIN) is (IF the entity had no FEIN. include the Social Security l'umber of the indi\ idual signing this sworn statement: 2. ] understand that a "public entity crime" as defined in Paragraph 287.133(1 )(g). Florida Statutes, means a violation of any state or federal law by a person with respect to and directly related to the transaction of business with any public entity or with an agency or political subdivision of any other state or of the United States. including. but not limited to. any bid or contract for goods or services to be provided to any public entity or an agency or political subdivision of any other state or of the Lnited States and involving antitrust, fraud. theft, bribery. collusion. racketeering. conspiracy. or material misrepresentation. J. ] understand that "col1\icted" or "conviction" as defined in Paragraph 287.133(1)( b). Florida Statutes means a finding (\f guilt or a conviction of a public entity crime. with or without an adjudication of gui It, in any federal or state trial court of record relating to charges brought by indictment or information after July I. 1989. as a result of a jury verdict, nonjury trial. or entry of a plea of guilty or nolo contenders. 4. I understand that an "affil iate" as defined in Paragraph 287 .133( 1)( a). Florida Statutes, means: a. A predecess(\r or successor of a person convicted of a public entity crime: or b. An entity under the control of any natural person who is active in the management of the entity and who has been convicted of a public entity come. The term "affiliate" includes those officers. directors. executives. partners. shareholders. employees. members. and agents who are active in the management of an affiliate. The ownership by one person of shares constituting a controlling interest in another person. or a pooling of equipment or income among persons when not for fair market value under an arm's length agreement. shall be a prima facie case that one person controls another person. A person who kno\\ingly enters into a joint \enture \\ ith a person \\ ho has been convicted of a public entity crime in Florida during the preceding 36 months shall be considered an affiliate. 5. I understand that a "person" as defined in Paragraph 287.133(I)(e). Florida Statutes. means any natural person or entit~ organized under the laws of any state or of the United States \\ ith the legal power to enter into a binding contract and which bids or applies to bid on contracts for the provision of goods or services let b~ a public entity. or \\hich otherwise transacts or applies to transact business with a public entity. The term "person" includes those officers. directors. executi\ es. partners. shareholders. employees. members. and agents who are active in management of any entity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6. Based on information and bel ief. the statement which I have marked below is true in a relation to the entity submitting this sworn statement. (Please indicate which one (I) of the following three (3) statements is applicable.) ~ (1) Neither the entity submitting this sworn statement. nor any of its officers. directors. executives. partners. shareholders. employees. members. or agents who are active in the management of the entity. or any affiliate of the entity has been charged with and convicted of a public entity crime within the past 36 months. _(2) The entity submitting this s\\orn statement, or one or more of its officers. directors. executives. partners. shareholders. employees. members. or agents who are active in the management of the entity. or any affiliate of the entity has been charged with and convicted of a public entity crime within the past 36 months. _(3) The entity submitting this sworn statement. or one or more of its officers. directors. executives. partners, shareholders. employees. members. or agents \\ ho are active in the management of the entity. or agents who are active in management oflhe entity. or any affiliate of the entity has been charged with and convicted of a public entity crime within the past 36 months. However. there has been a subsequent proceeding before a Hearing Officers of the State of Florida, Division of Administrative Hearings and the Final Order by the Hearing Officer determined that it was not in the public interest to place the entity submitting this sworn statement on the convicted vendor list. (Attached is a C0Py of the final order.) I L'NDERSTAND THAT THE SCBMISSION OF THIS FORM TO THE CONTRACTING OFFICER FOR THE PUBLIC ENTITY IDENTIFIED IN PARAGRAPH I (ONE) ABOVE IS FOR THE PLBLIC ENTITY ONLY AND. THAT THIS FORM IS VALID THROL'GH DECEMBER 31 OF THE CALENDAR YEAR IN \VHICH IT IS FILED AND FOR THE PERIOD OF THE CONTRACT ENTERED INTO. WHICHEVER PERIOD IS LONGER. I ALSO UNDERSTAND THAT I AM REQl;IRED TO INFORM THE PCBLIC ENTITY PRIOR TO ENTERING INTO A CONTRACT IN EXCESS OF THE THRESHOLD AMOCNT PROVIDED IN SECTION 287.017. FLORIDA STATUTES FOR THE CATEGORY TWO OF ANY CHANGE IN THE INJ TION CO;;V~T I!-iED l!-i THIS FORM. ---- ~k ()~? Leonardo Rodriguez, PE SIGNA TCRE OF AF rANT (Printed or T~ ped Legal Name of Affiant) State of Florida County of Miami - Dade S\\orn to and subscribed before me this 21 day of August . Z007 b\' l1,tY VU'GLC EfiL~ lel Ii (/\ I . . c I' I _~!,-OX \({ (\. lc l \ r tC\ J Notary's Name Printed. Stamped 0r T~ ped Notary Sea I: :.-;.~i!:\~~~._ MARIA Q COLINA ;';A,,:-: MY COMMISSION 11 00628868 .~. 'P "'~~'o."~~" EXPIRES March 21 2010 (401 ~ fj98"~' 53 FloudaNolarvServ.cc com Personall~ Known: I i' or Produced Identification Identification Produced . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . NON-COLLUSIVE AFFIDA vIr State of Florida) Count) of Miami-Dade Leonardo Rodrig~ez, PE and sa~ s tl1m: being tirst dul\ sworn. deposes ( I ) He/she is the (Owner. Partner. Officer. Representati\e or Agent) of the Bidder that has submitted the attached Bid: (2) He.she is full~ informed respecting the preparation and contents of the mtached Bid and of all pertinent circumstances respecting such Bid: (3) Such Bid is genuine and is not a collusive or sham Bid: (4) Neither the said bidder nor any of its officers. pm1ners. owners, agents. representatives. employees or parties in interest, including this affiant, have in any way colluded, conspired. conni\'ed or agreed. directly or indirectly. with any other Bidder. firm. or person to submit a collusive 01" sham Bid in connection with the Work for which the attached Bid has been submitted: or to refrain from bidding in connection with such Work: or have in any manner. directly or indirectly. sought by agreement or collusion, or communication, or conference with any Bidder. firm. or person to fix the price or prices in the attached Bid or of any other Bidder. or to fix an) o\'erhead. profit, or cost elements of the Bid price or the Bid price of any other Bidder. or to secure through any collusion, conspiracy. connivance. or unlawful agreement any advantage against the City of Sum)) Isles Beach, Florida, or any person interested in the proposed Work: I." ) The price or prices quoted in the attached Bid are fair and proper and are not tainted b~ any collusion, conspiracy. connivance. or unlawful agreement on the part of the Bidder or any other of its agents. representatives. owners. emplo~ ees or parties in interest, including this A ffian!. /'/ ~ /? j.~ ~. . / -... ~~S I --- SIGNATCRE OF AFFIA. T Leonardo Rodrig~ez, PE (Printed or Typed Legal Name of Affiant) State of Florida Count) of Miami-Dade Sworn to and subscribed bef0l"e me this 21 \ '( nt' . ( 1 ..' ~ _ [~ U \.lUv . i\ j r .\. . \ ~ \1lr CI day of Auq~st . 2007 b~ ~Jllrlgu Cl .J ,II f r i 1 l'v. lA) lr LhL . 'iotar~ . s Name Printed, Stamped or T~ ped -- \iotar~ Seal: :~~i!-X~~: MARIA Q COLINA ~~.~/~ MY COMMISSION # DD628868 ..~t:'r..'?;"<t: EXPIRES March 21 2010 (407) 398.0' 53 F1ofldaNola'YServ'cecorn Personally Kno\\n: I V or Produced Identification Identification Produced