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HomeMy WebLinkAbout02142012 SAND REPLENISHMENTSand Replenishment Update ? Resort Beach ? SandbridgeBeach Information Brief To City Council February 14, 2012 1 Resort Beach Received federal FY 11 Appropriation of $6.8M • Already had FY 09 and 10 Appropriations of $2.2M • Total federal funds of $9M • City cost share of $4.8M • Previously appropriated and available • Honors 65% federal –35% City cost sharing formula • Total funds available $13.8M • Target contract was for 1.3 million cubic yards for Winter • 2011/2012 2 December 2011 Bid Results Industry working at full capacity with backlog • One bidder for contract, $10M over budget • $13M Engineer’s Estimate – $23M Bid – Industry capacity returns to normal in 2012 • Current contracts complete by June – Advertisements for next round not yet on street – 3 Plan Forward Beat the Street –Advertise first • June advertisement of revised contract – Award with delayed Notice to Proceed • Make clear in advertisement that work will not – commence until December 2012 Allow contractor to ‘calendar’ the work, best price – Avoid Tourism and Turtles • Execution of the project from December to April – Eliminates costly turtle avoidance measures (trawlers) – 4 SandbridgeBeach Last federal appropriation in FY 2009 • Ineligible for appropriations under current budget rules • 5 Project Cost Sharing History 1998 Initial replenishment -100% City Funded • 2003 Second cycle –65% federal, 35% City • 2007 Third cycle –approximately 20% federal, 80% City • 6 Opportunity Knocks Project in need now • With the lack of available federal • funds, enhancing our contribution is a natural Push consideration Federal policy interpreted to prevent • With delegation support, and support from • other communities in the same position, 33 U.S.C. 701h clarified policy in law and opened the door for considering “contributed funds” 7 Contributed Funds SSD and TIF revenues have exceeded expectations • TIF returns an average of $9M per year to General Fund • Currently $36.5M available for replenishment • Recommend consideration of $18.5M in Contributed Funds • $16.5M for construction – Up to $2M for administration, inspection and – contingencies 8 Delivery Strategy RISKS ? New Authorization Combine with Resort Project • ? Approval Process Maximize contract • ? Contracting Timeline ? Construction Window Economies of scale • ? Bid Proposals Advertise contract early • June 2012 • Award for delayed NTP • Dec 2012 • Industry currently backlogged • Avoid turtle restrictions • Minimize tourist season impacts • 9 Process Council Authorization –Today’s Resolution ? ? Corps seeks relief to combine projects without formal agreement or funds in hand -brokering Council’s authorization ? City executes agreement, federal process for signature begins ? Decision Date: June 15 Scenario Alpha: Corps gets relief to include Sandbridgewith ? Resort Contract If agreement is signed, open bids and award • If agreement has yet to be signed, delay bid, separate • contracts and proceed with Resort, start Sandbridgealone at earliest date Scenario Bravo: Corps does not get relief to combine projects ? in advance If agreement is signed, delay bid, add Sandbridge • If agreement is yet to be signed, proceed with Resort alone, • start Sandbridgealone at earliest date 10 Discussion 11