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07-17-2008 City Commission Susan Gottlieb, Mayor A~e City of ~ventura ~. -~. City Manager Eric M. Soroka, lCMA-CM Zev Auerbach Bob Diamond Billy Joel T eri Holzberg Michael Stern Luz Urbaez Weinberg City Clerk Teresa M. Soroka, MMC City Attol7lev Weiss Serota Helfman Pastoriza Cole & Boniske AGENDA JULY 17,20089 AM Aventura Government Center 19200 West Country Club Drive A ventura, Florida 33180 1. CALL TO ORDER/ROLL CALL 2. OVERVIEW AND REVIEW OF PROPOSED BUDGET A. GENERAL FUND . REVENUES . GENERAL GOVERNMENT DEPARTMENTS (CITY COMMISSION, OFFICE OF THE CITY MANAGER, LEGAL, CITY CLERK, FINANCE, & INFORMATION TECHNOLOGY) . PUBLIC SAFETY DEPARTMENT . COMMUNITY DEVELOPMENT DEPARTMENT . COMMUNITY SERVICES DEPARTMENT . ARTS & CULTURAL CENTER DEPARTMENT . NON-DEPARTMENT AL . CAPITAL OUTLAY B. MOTION TO ADOPT RESOLUTION TO EST ABLISH TENTATIVE MILLAGE RATE: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF A VENTURA, FLORIDA, ESTABLISHING A PROPOSED MILLAGE RATE FOR THE 2008/09 FISCAL YEAR; PROVIDING FOR THE DATE, TIME AND PLACE OF THE July 17, 2008 ('JwnnriJaion Meeting PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE RATE AND TENT A TIVE BUDGET; AND PROVIDING FOR AN EFFECTIVE DATE. C. POLICE EDUCATION FUND D. TRANSPORTATION AND STREET MAINTENANCE FUND E. POLICE CAPIT AL OUTLAY IMP ACT FEE FUND F. PARK DEVELOPMENT FUND G. 911 FUND H. DEBT SERVICE FUNDS I. CAPITAL CONSTRUCTION FUNDS J. POLICE OFF -DUTY SERVICES FUND K. STORMW A TER UTILITY FUND 3. RESOLUTIONS - PUBLIC HEARING: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF A VENTURA, FLORIDA, AUTHORIZING THE CITY MANAGER TO EXECUTE THE ATTACHED STANDARD FORM OF AGREEMENT BETWEEN OWNER (CITY OF A VENTURA) AND SUFFOLK CONSTRUCTION COMPANY, INC. FOR THE CONSTRUCTION OF THE ARTS & CULTURAL CENTER PROJECT; ESTABLISHING THE GUARANTEED MAXIMUM PRICE FOR PHASE I; ESTABLISHING THE PRE-CONSTRUCTION AND CONSTRUCTION MANAGEMENT FEE; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. 4. ADJOURNMENT This meeting is open to the public. In accordance with the Americans with Disabilities Act of 1990, all persons who are disabled and who need special accommodations to participate in this meeting because of that disability should contact the Office of the City Clerk, 305-466-8901, not later than two days prior to such proceeding. One or more members of the City of Aventura Advisory Boards may be in attendance. Anyone wishing to appeal any decision made by the Aventura City Commission with respect to any matter considered at such meeting or hearing will need a record of the proceedings and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. Agenda items may be viewed at the Office of the City Clerk, City of Aventura Government Center, 19200 W. Country Club Drive, Aventura, Florida, 33180. Anyone wishing to obtain a copy of any agenda item should contact the City Clerk at 305-466- 8901. 2 OPERATING AND CAPITAL BUDGET FISCAL YEAR 2008/09 CITY OF A VENTURA CITY COMMISSION Mayor Susan Gottlieb Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Michael Stern Commissioner Luz Urbaez Weinberg CITY MANAGER Eric M. Soroka, ICMA - CM DEPARTMENT DIRECTORS Weiss Serota Helfman Pastoriza Cole & Boniske, P.A., City Attorney Robert M. Sherman, Community Services Teresa M. Soroka, MMC, City Clerk Joanne Carr, Planning Director Mariano Fernandez, Building Director/Official Karen J. Lanke, Information Technology Director Steven Steinberg, Police Chief Julie Aim, Principal Charter School Brian K. Raducci, Finance Director CITY OF AVENTURA OPERATING AND CAPITAL BUDGET FISCAL YEAR 2008/09 TABLE OF CONTENTS TOPIC City Manager's Budget Message Organization Chart/ Mission Statement Distinguished Budget Presentation Award PAGE NO. I-XIV XV XVI INTRODUCTION Overview Budget Procedures and Process Financial Polices Financing Programs and Debt Administration Cash Management Risk Management Demographics Budget Preparation Calendar Property Tax Information Comparison of Number of Employees 1-1 1-2 1-6 1-9 1-11 1-11 1-11 1-12 1-13 1-14 1-17 SUMMARY OF ALL FUNDS Comparative Personnel Summary Fund Balance Analysis 2-1 2-3 2-4 GENERAL FUND Summary of Budget Revenue Estimates Expenditures: City Commission Office of the City Manager Legal Department City Clerk's Office Finance Department Information Technology Department Public Safety Department Community Development Department Community Services Department Arts & Cultural Center Department Non-Departmental Capital Outlay 2-5 2-6 2-9 2-16 2-20 2-26 2-29 2-35 2-41 2-48 2-56 2-62 2-70 2-74 2-78 POLICE EDUCA TlON FUND 2-83 TRANSPORTA TlON AND STREET MAINTENANCE FUND 2-86 POLICE CAPITAL OUTLAY IMPACT FEE FUND 2-90 PARK DEVELOPMENT FUND 2-94 911 FUND 2-98 DEBT SERVICE FUNDS 2-102 CAPITAL CONSTRUCTION FUNDS 2-112 STORMW A TER UTILITY FUND 2-119 POLICE OFFDUTY SERVICES FUND 2-123 SUMMARY OF CAPITAL IMPROVEMENT PROGRAM 3-1 2008-2013 Highlights 3-2 Purpose of the Capital Improvement Program 3-3 Legal Authority 3-4 Development of CIP 3-4 Preparing the Capital Budget 3-6 Summary of Recommended Projects 3-7 Summary of Financing Plan Model 3-10 Proposed Beautification and Park Facilities Improvements 3-11 Proposed Transportation, Drainage and Infrastructure Improvements 3-12 Proposed Public Buildings and Facilities Improvements 3-13 Proposed Capital Equipment Purchase and Replacement 3-14 Proposed Information/Communications Technology 3-15 APPENDIX 4-1 Oovemm~n( (:c.ntcr 19200 West Country Club Dri\.'t Awnrura. Rorida 13180 Cf4 C;Paan City of A ventura Office of the City Manager The Honorable Mayor and City Commission City of Aventura Aventura, Florida 33180 RE: 2008/09 Budget Message Members of the City Commission: In accordance with Article IV, Section 4.05 of the Charter of the City of Aventura, I hereby submit the proposed Operating and Capital Budget for all funds for the fiscal year beginning October 1, 2008, for your review and consideration. The budget document emphasizes a professional and conservative fiscal approach and represents the single most important report presented to the City Commission. It is primarily intended to establish an action, operational, and financial plan for the delivery of City services. As the City responds to recent property tax reform measures and the economic downturn every effort was made to maintain our quality municipal services, in particular public safety services, free shuttle bus service, park availability hours and our signature beautification efforts. Fiscal measures implemented over the past year placed the City in a better position than most to weather the revenue reductions and the current economic climate. This document serves as an aid to the residents in providing a better understanding of the City's operating and fiscal programs. This government promotes and supports a high quality of life for its citizens, businesses and visitors. Budqet Format This single budget document, which includes all City Funds and service programs, has been prepared to provide the public with a comprehensive overview of all City services and financial framework. A separate budget document for the Charter School is adopted by the City in May of each year. The budget is a performance based plan that links goals and objectives with the financial resources necessary to achieve them. In order to ensure that goals and objectives established in the budget planning process are translated into results, the resources allocation process is tied to performance. The budget document contains performance/workload indicators to facilitate this process. Every effort was made to provide a budget document that can be fully reviewed and justified to the City Commission and residents. The preparation of the budget document marks a continued commitment to a planned and professional process of developing a budget that will address both current and future issues facing the City in light of the recent tax reform and economic downturn. It also demonstrates the City's commitment to providing adequate service levels and the necessary justification to support all expenditure requests. Propertv Tax Reform On January 29, 2008, Florida voters passed Amendment One, which provides additional tax relief benefits to property owners throughout the state. The following benefits are effective for the 2008/09 fiscal year: . An Additional $25,000 Homestead Exemption . A $25,000 Tangible Personal Property Exemption . Portability, which allows homeowners to transfer all or part of their "Save Our Homes" Assessment Difference to a new home. The fourth benefit, a 10% cap on increases in the annual assessment of non- homesteaded properties will go into effect next year. The net effect on the City's taxable value from Amendment One was a reduction of $250 million or 2.6% as compared to last year. Sianificant Factors Affectina Budaet Preparation Over the past year the Country, as well as the South Florida area has experienced an economic downturn that has resulted in lower home values, rising fuel costs, a national credit crunch, an increase in the jobless rate and revenue shortfalls at all levels of government In addition to a $247 million reduction in the City's taxable value caused by Amendment One, the sagging housing market resulted in another $477 million reduction in taxable value. Taxable value increases from new construction in the amount of $555 million assisted in offsetting the loss in property values. However, the overall reduction of $170 million or $279,000 in tax revenue resulted in the City experiencing its first loss of taxable value in our 12 years of incorporation. It is important to note that for next year's budget cycle the taxable values are expected to decrease again due the continuing decline in the housing market The City has experienced in 40% reduction in building permits as compared to the same period of time in the previous year. Due to privatizing and outsourcing many City services over the years, completing $110 million in capital projects since 1996 and maintaining prudent reserve funds, the City has stabilized costs and is in a better position than most to weather the revenue reductions caused by Amendment One and the economic slowdown. Last year's comprehensive reevaluation of service levels and budget line items which resulted in operating cost reductions also played in a key role in creating the foundation and financial sustainability for the City to respond to lower revenues as we prepared this year's budget In response to these uncertain economic times, a goal was established to limit the overall budget increase to 2% and General Fund operating costs to 5% while II maintaining the current service levels and programs. The budget would not include any expansion or additional areas of service except for the start-up costs associated with the Arts & Cultural Center. The budget process produced a total budget .8% less than the previous year and operating costs were limited to a 4.5% increase as compared to the previous year. Capital Outlay costs decreased by 11.7% due to the completion of major capital projects in prior years. Funding for the Arts & Cultural Center project in the amount of $6,700,000 is included in the budget A majority of the design and construction budget is funded from County GOB funds. A proposed "Naming Rights Agreement" will provide funding to offset the majority of the operating costs when the facility opens in early 2010. Although the City has experienced a low crime rate, in order to remain proactive in providing a safe community, a new Crime Suppression Unit comprised of manpower from within the existing Divisions of the Police Department will be established to concentrate on crimes of violence and/or felonies. The total number of employees contained in the budget decreased for the first time in the City's history. The total number of full-time employees decreased from 176 to 174. Each year the administration evaluates the organizational structure, service levels and workforce requirements. This year this process resulted in the elimination of three positions, which were directly related to the economic downturn,( ie., Building permits and special events). The budget contains one new position associated with start-up costs of the Arts & Cultural Center Due to the uncertainly associated with possible revenue reductions next year, it is imperative that the City continue to follow the policy that unless it is included in the budget or it is self supporting, new programs or projects should not be considered during the year. We need to continue to remain prudent and conservative in our financial management of the City. The City's residents deserve quality municipal services provided in a productive and efficient manner at the lowest possible cost They also deserve proper justification when a budget is proposed. I believe the budget contained within does all of this. Even in the light of the economic downturn, this budget continues important services and programs designed to preserve the community's quality of life. 2008/09 Budaet Priorities/Goals The following represents the pre-established priorities and goals that provided a framework for the preparation of the 2008/09 Budget Plan. In many areas, the budget contains resources to address and accomplish the pre-established priorities and goals. III v' In response to decreased property tax revenues, limit overall budget increase to 2% and operating costs to 5% while maintaining current service levels and programs. v' Create a new Crime Suppression Unit from within the ranks of the Police Department to proactively concentrate on crimes of violence and/or felonies within the City. v' Add 10 additional classrooms at the Charter School for the 2009/10 school year to address state class size requirements. v' Begin construction on new Arts & Cultural Center scheduled to be open in early 2010 and create Arts & Cultural Center Department to oversee the operations. v' Continue to improve traffic safety and management by improving high risk intersections and integrating red-light violation cameras at key intersections throughout the City. v' Continue to adopt "Go Green" initiatives in order to save energy, conserve precious natural resources and reduce our impact on climate change. These initiatives over time will also reduce our annual operating cost and impacts on the environment. v' Replace shuttle buses with more environmentally friendly vehicles utilizing alternate fuel sources. v' Provide funding to maintain landscaped areas and continue to provide a high quality maintenance program. v' Implement and fund the Capital Improvement Program to address the City's infrastructure needs. Summarv of All Budaetarv Funds The total proposed budget for 2008/09, including all funds, capital outlay and debt service, is $54,802,354. This is $426,468 or .8% less as compared to the prior year. The decrease is attributed to completing major capital projects and reducing operating costs associated with building inspections. Operating expenditures total $26,013,792, while Capital Outlay expenditures total $26,067,058 and Debt Service expenditures total $2,721,504. FUND General Police Education Transportation Police Impact Fee Park Development E911 Debt Service Capital Construction Fund Stormwater Utility Police Offduty Services Fund Summary By Amount PROPOSED AMOUNT $46,625,121 4,300 1,646,000 1,000 321,000 213,000 2,721,504 6,700,000 841 ,458 330,000 IV % OF BUDGET 78.5% .1% 2.8% .0% 0.5% 0.4% 4.6% 11.3% 1.4% .6% Fund Summary By Percentage General 78.5% Police Education 0.1% Transportation 2.8% Park Development 0.5% OebtService 4.6% Capital Construction 11.3% StormwaterUtility 1.4% PoliceOffdutv Services 0.60;;' Expenditures by category are as follows: Cateqorv Summary CATEGORY Personal Services Contractual Services Other Charges & Services Commodities Other Operating Expenses Capital Outlay Debt Service TOTALS PROPOSED AMOUNT $16,650,394 4,518,200 3,949,888 675,200 220,110 26,067,058 2,721,504 $ 54,802,354 % OF BUDGET 30.4% 8.2% 7.2% 1.2% .4% 47.6% 5.0% 100.0% Category Summary By Percentage Personal Services 30.40k OebtService 5.0% Contractual Services 8.2% Other Charges & Services 7.2% Commodities 1.2% Other Operating Expenses 0.4% Capital Outlay 44.2% v The following chart shows a comparison of each department's budget for the past two years. Total costs decreased by 0.8% due to the completion of major capital projects and operating cost reductions. Departmental Budaet Comparison Increase (Decrease) 1,039 43,115 City Commission Office of the City Manager Legal City Clerk Finance Information Technology Police Comm. Development Community Services Arts & Cultural Center Non-Departmental Subtotals Capital Outlay CIP Reserve Debt Service Totals 2007/08 115,404 845,152 280,000 259,965 820,279 719,712 12,842,093 1 ,643,469 5,608,250 1,758,185 24,892,509 10,503,489 17,114,545 2,718,279 55,228,822 2008/09 116,443 888,267 280,000 266,946 808,647 771,282 13,848,923 1,445,741 5,745,182 97,361 1,745,000 26,013,792 9,276,800 16,790,258 2,721,504 54,802,354 GENERAL FUND 6,981 (11,632) 51,570 1,006,830 (197,728) 136,932 97,361 (13,185) 1,121,283 (1,226,689) (324,287) 3,225 (426,468) % ChanQe 0.9% 5.1% 0.0% 2.7% -1.4% 7.2% 7.8% -12.0% 2.4% 100.0% -0.7% 4.5% -11.7% -1.9% 0.1% -0.8% The General Fund is used to account for resources and expenditures that are available for the City's general operations of city government functions. Revenues The revenues, available for allocation in the 2008/09 fiscal year General Fund Budget, including inter-fund transfers, are anticipated to be $46,625,121. This is an increase of $1,048,706 or 2.3% as compared to last year. Locallv Levied Taxes - The City's assessed value as reported by the Property Appraisal Department is $9,439,807,532. This amount is 1.7% less than last year. The City experienced a 7.5% reduction in the taxable assessed property values due to the impact of Amendment One and the decline in the housing market However a 5.8% increase attributed to new construction resulted in a smaller decrease in the overall taxable values. The ad valorem millage levy for fiscal year 2008/09 is recommended to be 1.7261, which is the same rate adopted last year. This amount is .1013 less than the roll back rate which will provide most homesteaded property with a tax reduction. This will generate $15,479,349 compared to last year's amount of $15,758,236. This represents the thirteenth year without an increase. The budget includes $2,191,840 VI from FPL franchise fees based on the Interlocal Agreement with the County. Anticipated franchise fees, utility taxes and unified communications tax make up the remainder of this category and are based on growth in the number of residential and commercial establishments located in the City. Licenses and Permits - The amount for this revenue category is projected to be $1,600,000. Business Tax Receipts and building permits are the major sources of revenue. This is a decrease of $360,000 as compared to the prior fiscal year which IS reflective of the declining construction market. Interqovernmental Revenues - Total revenues for this category are projected to increase by $4,500 as compared to the amount budgeted for 2007/08. Charqes For Services - Revenues relating to charges for services are anticipated to be $9,000 less than the prior year's budget. The cancellation of a private school's use of a police officer resulted in a decrease of $60,000, which was offset by increased revenue from Summer Recreation based on higher enrollment. Fines and Forfeitures - Total revenues projected for 2008/09 are $339,000. Revenues from county court fines and code violations are included in this category. Miscellaneous Revenues - Projected revenues are anticipated to be $255,000 higher than the amount budgeted for the prior fiscal year based on projected interest earnings. Fund Balance - This represents a designated amount of funds accumulated in reserves. The amount utilized from the fund balance is $14,701 ,066. Non-Revenues - This represents transfers from the Charter School and E911 Funds to the General Fund. Revenues by Source Misc. Revenues 1.9\\ Fund Balance 30.5\\ IntergovemmentalRevenues 5.0\\ Fines & Forfeitures 0.7\\ Charges For Services 2.3\\ Licenses & Permits 3.4\\ UtilitvTaxes 13.5% Ad Valorem Taxes 34.3% VII Expenditures The estimated 2008/09 General Fund expenditures contained within this budget total $46,625,12 and are balanced with the projected revenues. Total expenditures are $1,048,706 or 2.3% more than the 2007/08 fiscal year amount. The operating expenditures have increased by $1,070,171 or 4.7% as compared to the prior year. CATEGORY SUMMARY Increase Category 2007/08 2008/09 (Decrease) % ChanQe Personal Services 15,288,416 16,320,394 1,031,978 6.8% Contractual Services 3,084,297 3,009,000 (75,297) -2.4% Other Charges/Svcs 3,664,238 3,836,888 172,650 4.7% Commodities 631,450 675,200 43,750 6.9% Other Operating Expenses 307,720 204,810 (102,910) -33.4% Total Operating Expenses 22,976,121 24,046,292 1,070,171 4.7% Capital Outlay 20,373,709 18,321,800 (2,051,909) -10.1% Transfer To Funds 2,226,585 4,257,029 2,030,444 91.2% Total Expenditures 45,576,415 46,625,121 1,048,706 2.3% Personal Services Personal Services expenditures for non-unionized employees have been budgeted to reflect a 3% cost of living adjustment and a performance/merit increase amount that averages 3% per employee. The Collective Bargaining Agreement for PBA members expires at the end of this fiscal year and is currently being re-negotiated. The total number of full-time employees is 174 compared to 176 in 2007/8 fiscal year. The total number of part-time employees remains at 11. Each year the administration evaluates the organizational structure, service levels and workforce requirements. This year this process produced a reduction of three full-time positions as follows: . A vacant Accountant position was eliminated by combining duties with existing positions. . A vacant Recreation/Cultural Activities Programmer position was eliminated and duties were combined with the Community Recreation Center Assistant Manager position. . Due to the downturn in the construction activity a Permit Clerk position was eliminated. The per capita number of employees is significantly lower than adjacent municipalities. This is due to the City's emphasis on privatizing major functions of City services for greater productivity. Personal Services expenditures increased by 6.8%. Which includes a 5% increase in health insurance costs and 15% for increased pension costs. Position additions are as follows: . Arts & Cultura/ Center- Added an Arts & Cultural Center Director position that would be funded beginning in January 2009 to assist with the facility's startup operation requirements. VIII Operatina Expenses The expenditures for contractual services are budgeted at $3,009,000 or 6.5% of the General Fund budget This is $75,297 less than the prior year. This can be attributed to reductions in building plan review and inspection services due to the decline in new development based on current economic conditions. Expenditures for other charges and services are budgeted at $3,836,888, which represents 8.2% of the total budget This category increased by $172,650 largely due to maintenance contracts for equipment and software and leased vehicle for the new Crime Suppression Unit Expenditures for commodities are budgeted at $675,200, which represents 1.5% of the total budget Total costs associated with other operating expenses are budgeted at $204,810 which represents A% of the total budget This category decreased by $102,910 largely due to the elimination of non-reoccurring hurricane costs. Capital Outlav This budget incorporates General Fund projects included in the first year of the City's five year Capital Improvement Program (CIP) for 2008 - 2013. The CIP defines a long term plan of proposed capital expenditures to address infrastructure needs and the maintenance of a desirable high quality of life. A total of $1 ,821 ,800 has been budgeted in the General Fund for Capital Outlay projects along with a $16,500,000 reserve to fund future projects. M' G IF d .t I tl .t f II alor enera un caPI a ou av I ems are as o ows: . Police Vehicles . Radio Purchase & Replacement 324,000 216,000 . Computer Equipment . Equipment 328,500 155,800 . E911 Equipment . Beautification Projects 90,000 13,000 . Community Center Improvements . Transportation Intersection Improve. 5,500 689,000 Transfer to Funds Transfers to the debt service funds to pay principal and interest payments associated with the long-term financing of bonds and loans is $2,257,029 which is an increase of $30,444 as compared to the prior year. A transfer of $2,000,000 to the Arts & Cultural Center Construction Fund is included to assist with funding requirements. Expansion of Services The budget includes funds to expand City provided services as follows: . Arts & Cultural Center startup costs - Added Arts & Cultural Center Director position to be hired in January 2009 to assist with the startup operations and the opening of the facility for January 2010. The additional cost of $98,008 was offset by the elimination of 3 vacant positions due to the economic downturn. . Police Department - Create a new Crime Suppression Unit from within the ranks of the Police Department to proactively concentrate on crimes of violence and/or felonies within the City. Additional cost for equipment -$36,000. IX SUMMARY OF EXPENDITURES BY DEPARTMENT GENERAL FUND Increase 2007/08 2008/09 (Decrease) % ChanQe GENERAL GOVERNMENT City Commission 115,404 116,443 1,039 0.9% Office of the City Manager 845,152 888,267 43,115 5.1% Legal 280,000 280,000 0.0% City Clerk 259,965 266,946 6,981 2.7% Finance 820,279 808,647 (11,632) -1.4% Information Technology 719,712 771,282 51,570 7.2% Total Gen. Gov't 3,040,512 3,131,584 91,072 3.0% PUBLIC SAFETY Police 12,372,192 13,395,623 1,023,431 8.3% Com m. Developm ent 1,643,469 1,445,741 (197,728) -12.0% Total Public Safety 14,015,661 14,841,364 825,703 5.9% COMMUNITY SERVICES Total Community Services 4,161,763 4,230,982 69,219 1.7% Arts & Cultural Center 97,361 97,361 100.0% 4,161,763 4,328,343 166,580 4.0% OTHER NON-DEPARTMENTAL Non-Departmental 1,758,185 1,745,000 (13,185) -0.7% Tranfers to Funds 2,226,585 4,257,029 2,030,444 91.2% Capital Outlay 20,373,709 18,321,800 (2,051,909) -10.1% Total other Non-Dept. 24,358,479 24,323,829 (34,650) -0.1% TOTAL 45,576,415 46,625,121 1,048,706 2.3% Legal 0.6% Police 28.7% Information Technology 1.7% Community Development 3.1% Community Services 9.1% Finance 1.7% Office of the City Manager 1.9% Arts & Cultural Center 0.2% Non.[lepartmental 3.7% City Commission 0.2% x Police Education Fund This Fund is used to account for revenues and expenditures associated with the two dollars ($2.00) the City receives from each paid traffic citation, which, by state statute, must be used to further the education of the City's Police Officers. A total of $4,300 is anticipated in revenue for 2008/09. The amount budgeted for expenditures will be used for various state-approved training programs throughout the year. Transportation and Street Maintenance Fund This fund was established to account for restricted revenues and expenditures which by State Statute and County Transit System Surtax Ordinance are designated for transportation enhancements, street maintenance and construction costs. Revenues are projected to be $1,668,000 for 2008/09. The County Transit System Surtax is estimated to generate $961,000. The funds will be used to provide enhanced transit system services, maintenance and fund road resurfacing projects (NE 183rd Street & NE 190th Street). Operating expenditures for maintenance are budgeted at $710,000. Police Capital Outlav Impact Fee Fund This fund was created to account for impact fees derived from new developments and restricted by ordinance for Police capital improvements. This fund provides a funding source to assist the City in providing police services required by the growth in the City. The proposed Police Capital Outlay Impact Fee Fund for 2008/09 is $1,000, due to the decline in new development based on current economic conditions. Park Development Fund This fund is used to account for revenues and expenditures specifically earmarked for capital improvements to the City's park system. The fund accounts for impact fees derived from new developments and grant funds restricted by ordinance for Park capital improvement projects. The proposed Park Development Fund for 2008/09 is $321,000. This amount will fund Country Club Drive Tennis Improvements and $250,000 will be transferred to the Arts & cultural Center Construction Fund to assist in funding that project Due to the decline in new development based on current economic conditions only a small amount of revenue is anticipated. 911 Fund This fund is used to account for revenues and expenditures specifically earmarked for the City's emergency 911 system in accordance with Florida Statute 365.172. The funds may be used to provide emergency dispatch systems, training, communication, maintenance and repairs and related capital outlay purchases. The fund offsets a portion of the emergency 911 operational costs. The anticipated revenues for 2008/09 are $213,000. Funds will be used to pay costs associated with the 911 system and transfer an amount to the General Fund to offset communication officer costs. XI Debt Service Funds These funds were established to account for revenues transferred from the General Fund and debt service payment expenditures associated with the long-term financing of the following bonds and loans: FMLC 1999 Debt Service Fund - Established for the purchase of Founders Park, the permanent Government Center site and construction of the Government Center. The proposed budget for 2008/09 is $1 ,363,557. 2000 Loan Debt Service Fund - Established for the construction of the Community Recreation Center and the acquisition of Waterways Park. The proposed budget for 2007/08 is $511 ,390. 2002 Loan Debt Service Fund - Established for the acquisition of the property for the Charter School and to partially fund the Community Recreation Center. The proposed budget for 2007/08 is $402,082. FIFC Loan Debt Service Fund - Established for the construction and equipment of the Charter Elementary School. The proposed budget for 2007/08 is $444,475. The total budget for all Debt Service Funds is $2,721,504, which is $3,225 more than last fiscal year. Capital Construction Funds These funds were established to account for the acquisition and/or construction of major capital projects funded by bond or loan proceeds and transfer from other governmental funds. This year a new fund was created for the Arts & Cultural Center project. A budget of $6,700,000 was developed based on proceeds from the County GOB program ($4,100,000), proceeds from land sale ($350,000) and transfers from the General and Park Development Funds ($2,000,000) Stormwater Utilitv Fund This fund is used to account for revenues and expenditures specifically earmarked for the construction and maintenance of the City's stormwater drainage system. The maintenance costs total $413,200. Capital improvements to the drainage system are budgeted in the amount of $200,000. A reserve account to assist in funding future projects was established in the amount of $228,258. Revenues are projected to be $841,458 for 2008/09. It is recommended that the current rate of $2.50/ERU be maintained. Police Offdutv Services Fund This Fund was established to account for revenues and expenditures associated with services provided by offduty Police Officers in private customer details to the various businesses and condominium associations. The proposed Police Services Fund for 2008/09 is anticipated to be $330,000. XII Summarv I am pleased to submit the detailed budget contained herein for fiscal year 2008/09. The budget reaffirms the City Commission's commitment to maintain our quality services at their current levels in light of the property tax revenue reductions and the economic downturn. Over the years, this City has maintained the lowest tax rate in the County. Our residents have enjoyed property tax relief during that time without the necessity of state imposed legislation or voter mandates. This budget document and its related policies represent our continued commitment to excellence and to our residents. Some of the major points emphasized, in the proposed budget, are as follows: . For the thirteenth year, no property tax increase. By adopting last year's millage rate, which is less than the roll back rate, most residents with a homestead exemption will see a reduction in their City's taxes. . Total expenditures in all funds are only 2.3% more than last year and the workforce was reduced by 2 positions. . The operating cost increases were held to 4.7% without reducing current service levels. . Funds construction of Aventura Arts & Cultural Center which will be utilized to host a variety of performing arts and cultural programming for all age groups. . Includes funds to construct traffic flow intersection improvements along Biscayne Boulevard, NE 199th street and resurface Williams Island Road and NE 190th Street at a cost of $1,174,000. . Create a new Crime Suppression Unit from within the ranks of the Police Department to proactively concentrate on crimes of violence and/or felonies within the City. . Provides for $9,276,800 worth of capital improvements. The City's infrastructure needs are addressed through a broad mix of capital Improvement projects, which will enhance the City's quality of life, and its attractiveness. . Continues to implement technology enhancements that develop our "Electronic Government" to allow the public to interact more easily and conveniently with the City and to automate City operations. . Continues contracting most maintenance functions, engineering, plan review and inspection services to the private sector. . Funds police equipment needs from laptop computers to new police vehicles in the amount of $1,204,300. XIII . Includes $200,000 to upgrade the drainage system along NE 191 th Street and NE 29th Avenue. . Continue to adopt "Go Green" initiatives in order to save energy, conserve precious natural resources and reduce our impact on climate change. The preparation and formulation of this document could not have been accomplished without the assistance and dedicated efforts of all Department Directors and the Finance Director. All questions relating to the budget should be referred to my attention. A Commission meeting will be held on July 17, 2008 to review in detail the proposed budget document. Respectfully -submitted, ~d Eric M. Soroka City Manager XIV G~ GOVERNMENT FINANCE OFFICERS ASSOCIATION Distinguished Budget Presen tation Award "K'."',"'.llIU CityofA\'ClIlura Flurida FQnh, 1';,,,1 Yoar lle~i,,";,,~ Octnh\'," 1,1007 ~_'_'C2- ~/"""-- ~,.~... ,,~,.o;.... , X~ 1-1 ~ , LL ~ $'~ eel"~ .& &~ INTRODUCTION Overview Location and Size Avenlura, one of Miami-Dade's newest communities, was incorporated in 1995 and is a young, vibrant, full-service municipality w~h a diverse demographic base and is recognized internationally as a premier location in which 10 live, shop and play. Avenlura is 3.2 square miles located onlhe Intracoastal Walefl/lJay in northeast Miami- Dade County and is conveniently located between Miami and Fort lauderdale, just easlofl-95. The northern boundary of the City is the Miami-Dade/Sroward County line, the western is the FEC Railroad, the eastern is the Intracoastalwatell/lJay and the southern boundary is NE 176th Street. ......~...,,' 'j ~ Aventura is an upscale condo community w~h some of South Florida's best-known large-scale condominium projects and apartment buildings. Restaurants, movie theaters and the Aventura Mall are conveniently located nearby and downtown Fort Lauderdale and Miami are just 20 minutes away. City Facts . Location: 12 miles north of Miami 12 miles south of Fort Lauderdale 1 mile west of the A1lantic Ocean Zip Codes:33130, 33160 Police Force: 79 Sworn Officers and 40 Civilians Major Economic Drivers: Retail, medical . Number of Businesses: 2,733 . . . Government Structure The fonn of govemment used in the City of Aventura, pursuant to its Charter, is a Commission-Manager fonn of government. Under this form of government the C~y Commission is the legislative branch of the government and the City Manager is the executive branch of the govemment. The City Commission enacts Ordinances, the laws of the C~y, adopts Resolutions authorizing actions on behalf of the City, reviews plans for development, and establishes the policies by which the City is governed. The C~y Manager is the Chief Executive Officer of the City, overseeing the day-to-day operations, administering the City's service providers, preparing long range plans, and implementing the policies established by the C~y Commission. The City Commission hires the C~y Allorney, City Clerk and City Manager who then hires all subordinate employees. '-2 The City Commission is comprised of seven members, including the Mayor and six Commissioners. The Mayor is the ceremonial leader of the City, the presiding officer at Commission Meetings and is a voting member of the Commission, with his/her vote having no more or less weight than that of any other member of the Commission. While the leading political figure of the City, the Mayor does not bear the responsibility nor has the authority of directing the day-to-day municipal activities. The Mayor executes all Ordinances, Resolutions and issues Proclamations on behalf of the City, and represents the City to other public and private entities. The position of Mayor is considered to be "part-time", and not an employee of the City. The Mayor is elected at large to a four-year term, and may reside in any area of the City. City Commissioners each have the same authority and ability to bring, discuss and vote on matters before the Commission. The position of Commissioner is considered to be "part-time" and not an employee of the City. For election purposes, the City is divided by the William Lehman Causeway into two areas. The City Charter requires that two (2) Commissioners reside in the northern area, and two (2) Commissioners reside in the southern area, and two (2) Commissioners and the Mayor shall be elected without regard to residence in any particular area. The City Commission is committed to providing quality municipal services at the lowest possible cost. The City's operating departments include the Office of the City Manager, City Clerk's Office, Legal, Community Development, Community Services, Finance, Information Technology, Charter School and Public Safety. Always progressing... Since the City's incorporation millions of dollars have been spent on infrastructure improvements including streets, sidewalks, lighting, park development, beautification projects, drainage, pedestrian and safety improvements. Some of these improvements include: . A state-of-the-art Government Center provides a one-stop-shop for its residents and houses all governmental operations, including Commission Chambers, Police Station and administrative offices. . A $4 million Community/Recreation Center situated on 2.8 acres of land in a park like setting on the waterfront. This 25,000 square foot facility includes a gym, meeting rooms, computer lab, exercise and aerobic facilities. . The first municipal-run charter school in Miami-Dade County. In order to address the growing number of families with school age children, the City Commission chose to take an aggressive approach to meet its changing demographics. Doors opened to the Aventura City of Excellence School in the fall of 2003 which is adjacent to the new Community Recreation Center. The 62,000 square foot state-of-the-art school serves 900 Aventura schoolchildren from kindergarten to 8th grade. Privatization of Services The following services are contracted to private contractors or vendors via performance contracts: . Building Plans Review & Inspections . Road, ROW, Park & Median Maintenance 1-3 . Engineering Services . City Attorney and Legal Services . Recreation Programming & Special Events . Community Center Operations . Solid Waste . Bus Service . Charter School Teachers and Educational program . Planning Services Incorporation Accomplishments .:. Highly Visible Police Department, Low Crime Rate - 79 Sworn Officers .:. Strong and Growing Economic Base .:. Lowest Tax Rate - No Increase for the Past 12 Budgets .:. New Parks and Recreational Opportunities for All Age Groups .:. Citywide Shuttle Bus Service - Ridership Continues to Expand .:. Road and Safety Improvements - Traffic Lights, Sidewalks .:. New Land Development Regulations -Control Over Zoning .:. Citywide Beautification Program- Bus Shelters & Benches .:. High Landscape and Roadway Maintenance Standards .:. Reduced Costs to Citizens - City's Assumption of roads, landscaping and bus service. .:. "A" rated Charter School .:. Community Recreation Center .:. Government Center Long Term Goals & Objectives On November 7, 1995, the citizens of Aventura overwhelmingly voted to approve the City's Charter and officially incorporate as Miami-Dade County's 28th municipality. Incorporation afforded residents the opportunity to improve the quality of government services they receive and take control of the City's destiny. Since incorporation, a great deal of progress has been made to accomplish the goals of incorporation with the creation of our own police force, new and expanded parks and recreation opportunities and citywide beautification projects. Aventura is governed by a commission-manager form of government, combining the political leadership of its elected officials with the executive experience of its City Manager. This structure is vastly different from that of other local governments, emulating the private sector by privatizing services and emphasizing customer service based on the following principles: . Prompt response to citizen requests. . One-stop service for permits and business licenses. . Commitment to public involvement. . Utilization of "Electronic Government" to provide service and information. . Commitment to hiring only the most highly motivated qualified and employees. . Limiting the number of employees by privatizing or contracting with the private sector for many services. . A professional, businesslike manner at all times. . An emphasis on quality not quantity. . A high quality of life for citizens, businesses and visitors. . A safe and secure environment to live and work. 1-4 . Low taxes. . Establishing a small number of operating departments that work closely with the community. ,. . 1-5 Budget Procedures and Process Budget System The City of Aventura uses the Budgeting by Objectives Process in the formulation of its budget. Departmental Budgets include a Recap page that contains the Department Description and Personnel Allocation Summary and Organization Chart. Each department also includes an Objectives page and a Budgetary Account Summary. The Objectives page presents a review of the department objectives and performance/workload indicators. The Budgetary Account Summary provides expenditure detail and a comparison of current and previous years expenditures. The Budgetary Process is intended to be very valuable in communicating with the Commission and citizens of the City. Budget Process The City's fiscal year shall be~in on October 1 st and end on September 30 h of each year as mandated by Florida statutes. When the certified taxable real estate and tangible property values for the City is received from the Miami-Dade County Property Appraiser on July 151 of each year, the City Manager then submits to the City Commission the Proposed Operating and Capital Budget for the coming year no later than July 10lh of each fiscal year. The preliminary millage rate is based on the certified taxable value. The appropriations contained in the proposed recommendation shall not exceed the funds derived from taxation and other revenue sources. The City's Budget process began in April with a staff meeting between the City Manager and Department Directors to review budget philosophy and develop overall goals and objectives. The entire budget process encompasses approximately five (5) months of the fiscal year. During this period, meetings were held with Department Directors, the City Commission and the public to insure representative input. The budget calendar that follows details the actions taken during the budget process. Budget Adoption The budget is approved via Ordinance at two public meetings scheduled for September conducted by the City Commission. The adopted budget is integrated into the accounting software system effective October 1 st. Budget Control/Monitoring Funds appropriated in the Budget may be expended by and with the approval of the City Manager in accordance with the provisions of the City Charter and applicable law. Funds of the City shall be expended in accordance with the appropriations provided in the Budget and shall constitute an appropriation of the amounts specified therein. Supplemental appropriations or the reduction of appropriations, if any, shall be made in accordance with Section 4.07 of the City Charter. The Budget establishes a limitation on expenditures by department total. Said limitation requires that the total sum allocated to each department for operating and capital expenses may not be increased or decreased without specific authorization by a duly- enacted Resolution/Ordinance affecting such amendment or transfer. Therefore, the City Manager may authorize transfers from one individual line item account to another, so long as the line item accounts are within the same department and fund. 1-6 The "Personnel Allocation Summary" enumerates all authorized budgeted positions. However, the City Manager may amend said authorized budgeted positions in order to address the operating needs of the department so long as sufficient budgeted funds are available. The budget is monitored on a monthly basis to track variances between actual and budgeted amounts. Significant variances are investigated and monitored for corrective action. Quarterly review meetings are held with the Finance Director and City Manager. Encumbrances do not constitute expenditures or liabilities in the current year, but instead are defined as commitments related to unperformed contracts for goods or services, which are only reported in governmental funds. Budget Amendment Upon the passage and adoption of the budget for the City of Aventura, if the City Manager determines that the department total will exceed its original appropriation, the City Manager is authorized to prepare such Resolutions/Ordinances for consideration by the City Commission as may be necessary and proper to modify any line item from the Budget. The Budget Amendment Process will differ as to form depending on whether or not the original budget appropriation is exceeded as follows: . Any change or amendment to the budget that will increase the original total appropriated amount can only be accomplished with the preparation of an Ordinance requiring two (2) public hearings and approval by the City Commission. . Any change or amendment to the budget which transfers monies within a fund but does not increase the total appropriated amount can be accomplished with the preparation of a Resolution. This does not require a public hearing, however, approval by the City Commission is still necessary. Basis Of Accounting Basis of Accounting refers to the time period when revenues and expenditures are recognized in the accounts and reported on the financial statements. Basis of accounting relates to the timing of the measurements made, regardless of the measurement focus applied. The accrual basis of accounting is followed for the proprietary fund types. The modified accrual basis of accounting is followed in the governmental fund types and the expendable trust funds type. Under the modified accrual basis of accounting, revenues are recorded when susceptible to accrual, that is, when they are both measurable and available. Available means collectible within the current period or soon enough thereafter to pay current liabilities. Expenditures are generally recognized under the modified accrual accounting when the related fund liability is incurred. Exceptions to the general rule are principal and interest on general long-term debt which is recognized when due. The City applies all applicable GASB pronouncements as well as the following pronouncements issued on or before November 30, 1989, unless those pronouncements conflict with or contradict GASB pronouncements: Financial Accounting Standards Board (FASB) statements and interpretations, Accounting Principles Board (APB) opinions and Accounting Research Bulletins (ARBs). 1-7 During June 1999, the Government Accounting Standards Board (GAS B) issued Statement No. 34. This statement established new accounting and financial reporting standards for state and local governments. The City implemented the new financial reporting requirements of GASB 34. Fund Structure The accounts of the City are organized and operated on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with the finance- related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. The following governmental funds have annual appropriated budgets: Government Fund Types The General Fund is the City's primary operating fund. It accounts for all financial resources of the City, except those required to be accounted for in another fund. Resources are derived primarily from taxes, franchise and utility taxes, charges for services, and intergovernmental revenues. Expenditures are incurred to provide general government, public safety, community development and community services. Special Revenue Funds account for revenue sources that are legally restricted to expenditures of specific purposes (excluding pension trusts and major capital projects). Included in the budget are the following special revenue funds: . Police Education (110) . Transportation & Street Maintenance (120) . Police Capital Outlay Impact Fee (140) . Park Development (170) . 911 (180) The Debt Service Funds account for the servicing of general long-term and are comprised of the following debit service funds: . FMLC 1999 Debt Service (230) . 2000 Loan Debt Service (240) . 2002 Loan Debt Service (250) . FIFC Loan Debt Service (290) The Capital Construction Funds accounts for the acquisition and/or construction of major capital projects funded by bond or loan proceeds and transfer from other governmental funds. Included in the budget is the following Capital Projects Fund: . Arts & Cultural Center Construction (391) Proprietary Funds The Enterprise Fund is used to account for operations that are financed and operated in a manner similar to a commercial enterprise, where the intent of the governing body is that the costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges, or where the governing body has decided that periodic determination of the revenue earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability or other purposes. Included in the budget is the following Enterprise Fund: . Stormwater Utility (410) 1-8 Funds Excluded from Adopted Budget The City owns and operates a Charter School which is accounted for in a separate Special Revenue fund. The School operates on a fiscal year basis ending June 30th Since the fund was created under a Charter from the School Board it is adopted separately by the City Commission in June. Financial Policies The City's financial policies, compiled below, set forth the basic framework for the overall fiscal management of the City. Operating independently of changing circumstances and conditions, these policies assist the decision-making process of the City Manager and City Commission. These policies provide guidelines for evaluating both current activities and proposals for future programs. Most of the policies represent long-standing principles; traditions and practices that have guided the City in the past and have helped maintain financial stability over the last 10 years. They are reviewed annually as a decision making tool and to ensure their continued relevance in an ever-changing environment. Operating Budget Policies 1. The City will maintain at a minimum, an accessible cash reserve equivalent to eight weeks of operating costs. 2. No new or expanded services shall be implemented without a corresponding revenue source or the implementation of trade-offs of expenses or revenues at the same time. This applies to personnel, equipment and any other peripheral expenses associated with the service. 3. The City shall continue to support a scheduled level of maintenance and replacement of its infrastructure. 4 The City shall support capital expenditures that reduce future operating costs. Capital Budget Policies 1. Annually, the City will prepare a five-year capital improvement program (CIP) analyzing all anticipated capital expenditures and identifying associated funding sources. Future capital expenditures necessitated by changes in population, changes in development, growth, redevelopment or changes in economic base will be calculated and included in the Capital update process. 2. The City will perform all capital improvements in accordance with an adopted capital improvement program. The City will maintain its physical assets at a level adequate to protect the City's capital investment and minimize future maintenance and replacement costs. The budget will provide for the adequate maintenance and the orderly replacement of the capital equipment from current revenues wherever possible. 3. The City will provide sufficient funds to replace and upgrade equipment as well as to take advantage of new technology thereby ensuring that employees have safe and efficient tools to provide their service. It reflects a commitment to further automation and use of available technology to improve productivity in the City's work force. The objective for upgrading and replacing equipment includes: (1) normal replacement as equipment completes its useful life, (2) upgrades to new technology, and (3) additional equipment necessary to service the needs of the Charter School. 4. The City will use the following criterion to evaluate the relative merit of each capital project. Capital expenditures will foster goals of: a. Projects specifically included in an approved replacement schedule. b. Projects that reduce the cost of operations. 1-9 c. Projects that significantly improve safety and reduce risk exposure. 5. The classification of items as capital or operating will be determined by two criteria - cost and frequency. Generally, a capital project has a "useful life" of more than one year and a value of $2,500 or more, or for office equipment $500 or more. 6. The City will coordinate development of the capital improvement program with the development of the operating budget. Future operating costs associated with new capital improvements will be projected and included in the operating forecasts. 7. The first year of the five-year capital improvement program will be used as the basis for formal fiscal year appropriations during the annual budget process. 8. The City will maintain all of its assets at a level adequate to protect the City's capital investment and to minimize future maintenance and replacement costs. 9. The City will identify the estimated cost of capital projects and prepare a funding projection that considers revenues and operating costs to be included in the Capital Improvement Program document that is submitted to the City Commission for approval. 10. The City will determine the most appropriate financing method for all new projects. 11. If appropriate, the City will attempt to maintain a mixed policy of pay-as-you-go and borrowing against future revenues for financing capital projects. 12. The City will maintain maintenance schedules relating sidewalk and drainage improvements. 13. The City will address and prioritize infrastructure needs on the basis of protecting the health, safety and welfare of the community. 14. A CIP preparation calendar shall be established and adhered to. ongoing to road, system 15. Capital projects will conform to the City's Comprehensive Plan. 16. Long-term borrowing will not be used to fund current operations or normal maintenance. 17. The City will strive to maintain an unreserved General Fund balance at a level not less than 7.5% of the annual General Fund revenue. 18. If new project appropriation needs are identified at an interim period during the fiscal year, the funding sources will be identified and mid-year budget amendments will be utilized to provide formal budgetary authority. In addition budget amendments may be utilized to increase appropriations for specific capital projects. Revenue Policies 1. The City will attempt to maintain a diversified and stable revenue system as a shelter from short-run fluctuations in any single revenue source. 2. The City will attempt to obtain new revenue sources as a way of ensuring a balanced budget. 3. The City will review fees/charges annually and will design or modify revenue systems to include provisions that automatically allow charges to grow at a rate that keeps pace with the cost of providing the service. Cash Management/Investment Policies 1. The City will deposit all funds received by 2:00 PM the next day. 2. Investment of City funds will emphasize preservation of principle; the objective will be to match or exceed the yield of the State Board of Administration. 3. The City will collect aggressively, including any amounts owed. revenues past due Reserve Policies 1. The City will maintain a fund balance of at least $5,000,000. 1-10 Accounting, Auditing, and Financial Reporting Policies 1. An independent audit will be performed annually. 2. The City will produce annual financial reports in accordance with Generally Accepted Accounting Principles (GAAP) as outlined by the Governmental Accounting Standards Board (GASB). Financing Programs and Debt Administration The City currently has three outstanding long-term debt issues. At September 30, 2006, the principal balance outstanding totaled $35,260,000. The Florida Municipal Loan Council loan is secured solely by a covenant to budget and appropriate the required debt service payments each year. The loan is structured the same as a serial bond issue with principal payments on April 1 st and interest payments on April 1 st and October 1 st of each year with the final maturity on April 1, 2029. Debt service requirements average approximately $1.35 million per year over the thirty-year life of the bonds. Interest rates range from 3.2% to 5.125% depending on maturity date. The Series 2000 Revenue Bonds are bank qualified debt, secured solely by a covenant to budget and appropriate the required debt service each year. This loan is structured the same as a serial bond issue with annual principal payments due on October 1 st of each year and semi-annual interest payments on April 1 st and October 1 st. Debt service requirements average approximately $510,000 per year over the twenty year life of the obligation. The interest rate is 5.04%. The Series 2002 Revenue Bonds were financed through the Florida Intergovernmental Finance Commission. The loan is secured solely by the covenant to budget and appropriate the required debt service payments each year. This loan is structured the same as a serial bond issue with principal payments due August 1 st and interest payments due on February 1 st and August 1 st of each year. Interest rates range from 2.5% to 5.0% during the 30 year term of the financing. Debt Service requirements are approximately $840,000 per year. Cash Management All funds, other than restricted cash held by fiscal agents resulting from borrowing transactions, are centrally managed through the use of a pooled cash account. During the year, all funds in the pooled cash accounts were held in an interest bearing checking account collateralized through the State Treasury Public Depository program or with the Florida State Board of Administration (SBA) investment pool. The checking account and SBA investment pool are fully insured and immediately available and considered as cash and cash equivalents. With the exclusion of accounts held by fiscal agents, the total portfolio ranged from $10 to $12 million. Risk Management The City is insured with the Florida Municipal Insurance Trust for liability, property and workers compensation coverage. The liability limit under the policy is $5,000,000. 1-11 Date of Incorporation Form of City Government Area City of Aventura, Florida Demographics and Miscellaneous Statistics November 7,1995 Commission - Manager 3.2 Square Miles Population per State Estimate * 30,000 Ethnic Distribution **: White (Non-Hispanic) Hispanic 73.1% 20.7% African American Other 1.7% 4.5% Age Distribution **: Under 20 20-34 35-54 55-64 65+ 11.0% 18.2% 23.5% 12.0% 35.3% Average Household Size **: Average Household size Average Family size 1.79 2.45 Housing Occupancy **: Total housing units Owner occupied housing units Renter occupied housing units Seasonal, recreational and vacant housing units 20,020 10,044 3,956 6,020 Full Time Employees Public Facilities Located within Corporate Limits: Public Parks Open Space Recreation (acres) Public Libraries (Operated by Miami Dade County) 176 Public Tennis Center 2 Public Recreation Centers 1 5 30.5 *** Public Schools Charter Schools Police Stations o 1 1 1 Fire Stations (Operated by Miami Dade County) 2 * State of Florida, Bureau of Economic & Business Research. Population is as of April 1 , 2006. **U.S. Census Bureau, Profile of General Demographic Characteristics: 2000 for Aventura, Florida ***City of Aventura comprehensive plan 1-12 2008/09 BUDGET PREPARATION CALENDAR DATE RESPONSIBILITY ACTION REQUIRED April 8 City Manager All Department Directors Staff meeting is held to review budget philosophy and develop overall goals, objectives and performance indicators. April 21 City Manager Staff meeting is held to distribute Budget Preparation Manual. Forms will include budget figures for previous fiscal years along with actuals for six months of current year. April 21 to May 12 All Department Directors City Manager Finance Department Completed budget estimates are submitted to City Manager. Revenue estimates are prepared. May 15 to June 2 Finance Department City Manager Completion of non General Fund budgets to include totals of all revenues and expenditures submitted to City Manager. June 2 to June 30 City Manager Conducts departmental budget review meetings, balances budget and prints budget document. July 10 City Manager City Manager's recommended budget document and message are submitted to City Commission. July 17 City Commission City Manager Budget Review Meeting, adopt tentative ad valorem rate to transmit to County for notification purposes. September 4* City Commission First reading on budget and ad valorem tax rate ordinances. September 18* City Commission Second reading on budget, ad valorem tax rate ordinance, and Public Hearing. September 21 City Clerk Tax rate ordinance delivered to Property Appraiser. October 1 All Departments New budget becomes effective. *Dates subject to change based on School Board and Miami-Dade Commission meeting dates 1-13 Property Tax Information City Of Aventura, Florida Assessed Value Of Taxable Property Last Ten Fiscal Years Fiscal Year Tax Total Taxable Ended Roll Real Personal Assessed September 30, Year Property ($) Property ($) Value ($) 1998 1997 2,664,701,818 107,083,192 2,771,785,010 1999 1998 2,971,907,364 123,652,444 3,095,559,808 2000 1999 3,238,050,389 142,847,663 3,380,898,052 2001 2000 3,349,591,933 160,779,980 3,510,371,913 2002 2001 3,752,226,238 162,055,639 3,914,281,877 2003 2002 4,007,501,399 160,384,595 4,167,885,994 2004 2003 4,569,228,195 161,725,854 4,730,954,049 2005 2004 5,378,718,735 178,342,801 5,557,061,536 2006 2005 6,429,074,284 187,347,215 6,616,421,499 2007 2006 7,959,202,193 201,721,611 8,160,923,804 2008 2007 9,382,636,445 227,245,274 9,609,881,719 1-14 Tax Rate Comparison The City of Aventura has the lowest tax rate in Miami-Dade County. The following table compares the 2007/08 fiscal year adopted tax rates of the cities located in Miami-Dade County: City ~VENTURA I PINECREST UMSA BAL HARBOUR PALMETTO BAY SUNNY ISLES DORAL CUTLER BAY MIAMI LAKES KEY BISCAYNE SWEETWATER BAY HARBOR ISLAND VIRGINIA GARDENS SURFSIDE NORTH BAY VILLAGE HIALEAH GARDENS MIAMI GARDENS HOMESTEAD CORAL GABLES MEDLEY SOUTH MIAMI HIALEAH WEST MIAMI NORTH MIAMI MIAMI BEACH EL PORTAL MIAMI SPRINGS NORTH MIAMI BEACH FLORIDA CITY MIAMI SHORES ISLANDIA OPA LOCKA BISCAYNE PARK INDIAN CREEK MIAMI GOLDEN BEACH Millage 1.7261 1.9500 2.0416 2.2874 2.3736 2.3979 2.4470 2.4470 2.4795 2.6990 3.2786 3.6565 4.0816 4.2500 4.4724 4.9000 5.1488 5.1585 5.4780 5.7513 5.8810 6.5400 6.7376 6.9318 6.9333 7.0312 7.3579 7.4794 7.7500 7.8164 7.9671 8.0084 8.3400 8.3790 8.4209 8.5000 1-15 Where Your Tax Dollars Go I Based on 2007/08 Tax Rates Inland Navigation Dist 0.2% School Board 43.5% City of Aventura 9.5% So. Florida Water Man. 2.9% Everglades Project 0.6% Miami Dade 43.3% Components of Property Tax bill for 2007 -08 Miami- Dade County Miami-Dade County School Board South Florida Water Management District Florida Inland Navigation District Everglades Project City of Aventura Total Millage Rate 7.9198 7.9480 0.5347 0.0345 0.0894 1.7261 18.2525 1-16 Comparison of Number of Employees 200 140 .~. !l4i! ~ . [60 l' 5 t!tm..m . 18~ 1i1.l] 180 160 16 100 0.00 .0110110110110 o IfZIoIIIoIII 120 80 60 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 I -+-Citywide 0 Police I 99/00 00101 01102 02103 03104 04/05 05106 06107 07108 08109 City Commission 7 7 7 7 7 7 7 7 7 7 Office of the City Manager 5 5 5 5 5 5 5 5 5 5 Legal 0 0 0 0 0 0 0 0 0 0 City Clerk's Office 2 2 2 2 2 2 2 2 2 2 Finance 8 9 10 10 12 11 12 8 8 7 Information Technology 0 0 0 0 0 0 0 5 5 5 Public Safety 92 95 102 108 108 110 115 120 119 119 Community Development 11 12 12 12 11 11 10 10 10 9 Arts & Cultural Center 0 0 0 0 0 0 0 0 0 1 Charter School* 0 0 0 0 0 2 2 3 3 3 Community Services 17 17 17 16 16 16 17 21 31 30 Total 142 147 155 160 163 164 170 181 190 187 * Included in Charter School Fund Budget Document 1-17 2-1 ;) 'J' ~ $' eel"~.& &~ SUMMARY OF ALL FUNDS CITY OF AVENTURA I sliiiiiilliA"R'Y-dF ACC FUNDS I 2008/09 OPERATING & CAPITAL OUTLAY REVENUE PROJECTIONS APPROVED HALF YEAR OTY MANAGER FUND ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. FUND 2005/06 2006/07 2007108 2007108 2008/09 001 General Fund $ 47,736,183 $ 53,932,661 $ 45,576,415 $ 34,286,385 $ 46,625,121 110 Police Education Fund 13,713 8,490 8,901 7,420 4,300 120 Transportation Fund 2,062,289 1,674,659 3,933,552 1,049,623 1,646,000 140 Police Capital Outlay Impact Fee Fund 303,096 39,314 147,534 83,662 1,000 170 Park Development Fund 1,476,453 99,868 1,905,417 1,922,209 321,000 180 911 Fund - - 182,000 52,608 213,000 230-290 Debt Service Funds 2,724,147 2,820,764 2,718,279 1,384,979 2,721,504 320-390 Capital Projects Funds 4,553,624 104,073 1,823,597 1,740,630 6,700,000 410 Stormwater utility Fund 1,852,486 1,473,272 880,712 348,018 841,458 620 Police Off Duty Services Fund 360,375 336,286 330,000 129,575 330,000 CSufitotal":._ 61,082,366 -----20,489~387 ----17,506,407 ~ 1....005, 1 09 ----19,403~383 J Interfund Eliminations (2,897,800) (2,228,497) (2,277,585) (1,120,900) (4,601,029) I Total Revenue $ 58,184,566 $ 58,260,890 $ 55,228,822 $ 39,884,209 $ 54,802,3541 EXPENDITURES DEPT.I APPROVED HALF YEAR OTY MANAGER DIV. ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. DEP ARTM ENT 2005/06 2006/07 2007108 2007108 2008/09 Operating Expenditures: 0101 City Commission $ 105,362 $ 115,163 $ 115,404 $ 54,488 $ 116,443 0501 Office of the City Manager 761,486 803,178 845,152 392,787 888,267 0601 Legal 313,521 199,886 280,000 72,016 280,000 0801 City Clerk's Office 253,664 274,179 259,965 106,121 266,946 1001 Finance 1,234,251 835,080 820,279 419,479 808,647 1201 Information Technology - 624,195 719,712 375,026 771,282 2001 Public Safety 11,221,153 11,842,597 12,842,093 5,982,750 13,848,923 4001 Community Development 2,537,385 2,506,709 1,643,469 1,080,448 1,445,741 5001 Community Services 5,565,929 5,819,964 5,608,250 2,515,454 5,745,182 7001 Arts & Cultural Center - - - - 97,361 9001 Non-Departmental 2,978,900 1,913,606 1,758,185 797,717 1,745,000 rsubfOfar~ 24,971,651 24,934,557 24,892,509 11,796,286 26,013,792 I Capita/Outlay: 8001 City Commission - - - - - 8005 Office of the City Manager 7,126 2,726 4,000 2,495 4,000 8006 Legal - - - - - 8008 City Clerk's Office - 7,044 3,000 - 3,000 8010 Finance 51,613 35,635 26,080 1,123 3,000 8012 Information Technology - 119,417 157,583 11,741 136,000 8020 Public Safety 802,231 1,450,453 1,136,400 469,830 849,500 8040 Community Development 11,875 7,196 9,600 981 48,300 8050 Community Services 3,693,554 7,400,202 9,011,300 3,507,610 1,533,000 8069 Charter School 46,043 397,136 155,526 - - 8070 Arts & Cultural Center - - - - 6,700,000 8090 Non-Departmental 217,015 47,334 - - - 8090 OP Reserve - - 17,114,545 - 16,790,258 L~total 4,829,457 9,467,143 27,618,034 3,993,780 26,067,058 I Non - Depa rtmenta I: 9001 Transfer to Funds - - - - - 9001 Debt Service 2,710,209 2,711,989 2,718,279 1,186,897 2,721,504 r-SnDt~t~1 2,710,209 2,711,989 2,718,279 1,186,897 2,721,504. I Total EXRenditures $ 32,511,317 $ 37,113,689 $ 55,228,822 $ 16,976,963 $ 54,802,3541 2-2 CITY OF AVENTURA I SUMMARY OF ALL FUNDS I 2008/09 OPERATING & CAPITAL OUTLAY DEPT.I APPROVED HALF YEAR aTY MANAGER DlV. ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. DEP ARTM ENT 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 13,261,706 $ 14,220,010 $ 15,618,416 $ 7,215,142 $ 16,650,394 3000/3999 Contractual Services 5,611,930 5,481,288 4,525,784 2,410,038 4,518,200 4000/4999 Other Charges/Svcs 3,783,201 4,229,358 3,790,238 1,817,298 3,949,888 5000/5399 Commodities 518,566 520,576 631,450 278,963 675,200 5400/5999 Other Operating Expenses 1,796,248 483,325 326,621 74,845 220,110 I Subtotal 24,971,651 24,934,557 24,892,509 11,796,286 26,013,7921 6000/6999 Capital Outlay 4,829,457 9,467,143 27,618,034 3,993,780 26,067,058 7000/7999 Debt Service 2,710,209 2,711,989 2,718,279 1,186,897 2,721,504 8000/8999 Transfer to Funds - - - - - I Total Expenditures $ 32,511,317 $ 37,113,689 $ 55,228,822 $ 16,976,963 $ 54,802,354 . COMPARATIVE PERSONNEL SUMMARY 2005/06 2006/07 2007/08 2008/09 City Commission 7 7 7 7 Office of the City Manager 5 5 5 5 Legal - - - - City Clerk's Office 2 2 2 2 Finance 12 8 8 7 Information Technology - 5 5 5 Public Safety 115 120 119 119 Community Development 10 10 10 9 Charter Schoor 2 3 3 3 Arts & Cultural Center - - - 1 Community Services 11 12 17 16 rTota, Full Time Employees 164 172 176 1741 Total Part Time Emp.!2y:ees 6 9 14 14 * Included in Charter School Fund Budget Document 2-3 CITY OF AVENTURA FUND BALANCE ANALYSIS DEPT.I APPROVED HALF YEAR OTY MANAGER DlV. ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. DEP ARTM ENT 2005/06 2006/07 2007/08 2007/08 2008/09 GENERAL FUND (001) Beginning Balance/Carryover $ 12,649,983 $ 16,003,834 $ 13,994,179 $ 13,994,179 $ 14,701,066 Revenues/Sources 35,086,200 37,928,827 31,582,236 20,292,206 31,924,055 Expenditures/Uses (30,008,735) (31,106,530) (29,029,298) (13,267,306) (30,125,121) r Ending Fund Balance $ 17,727,448 $ 22,826,131 $ 16,547,117 $ 21,019,079 $ 16,500,000 1 SPEOAL REVENUE FUNDS: POLICE EDUCATION FUND(110) Beginning Balance/Carryover $ 8,000 $ - $ 4,601 $ 4,601 $ - Revenues/Sources 5,713 8,490 4,300 2,819 4,300 Expenditures/Uses (10,449) (9,326) (8,901) (2,541) (4,300) r Ending Fund Balance $ 3,264 $ (836) $ - $ 4,879 $ -I STREET MAINTENANCE FUND(120) Beginning Ba.lance/Carryover $ 492,181 $ - $ 413,552 $ 413,552 $ - Revenues/Sources 1,570,108 1,674,659 3,520,000 636,071 1,646,000 Expenditures/Uses (1,600,512) (1,676,583) (3,933,552) (1,038,342) (1,646,000) I Ending Fund Balance $ 461,777 $ (1,924) $ - $ 11,281 $ -I POLICE CAPITAL OUTLAY IMPACT FEE FUND (140) Beginning Ba.lance/Carryover $ 209,190 $ - $ 82,534 $ 82,534 $ - Revenues/Sources 93,906 39,314 65,000 1,128 1,000 Expenditures/Uses (140,832) (118,534) (147,534) (57,175) (1,000) I' Ending Fund Balance $ 162,264 $ (79,220) $ - $ 26,487 $ -I PARK DEVELOPMENT FUND(170) Beginning Balance/Carryover $ 1,080,778 $ - $ 1,895,417 $ 1,895,417 $ 320,000 Revenues/Sources 395,675 99,868 10,000 26,792 1,000 Expenditures/Uses (106,353) (177,837) (1,905,417) (1,079,438) (321,000) r Ending Fund Balance $ 1,370,100 $ (77,969) $ - $ 842,771 $ -I DEBT SERVICE FUNDS (230-290) Beginning Balance/Carryover $ 28,538 $ - $ 22,494 $ 22,494 $ - Revenues/Sources 2,695,609 2,820,764 2,695,785 1,362,485 2,721,504 Expenditures/Uses (2,710,209) (2,711,989) (2,718,279) (1,186,897) (2,721,504) rEnding Fund Balance $ 13,938 $ 108,775 $ - $ 198,082 $ -I CAPITAL PROJECT FUNDS (320-391) Beginning Balance/Carryover $ 4,382,425 $ - $ 1,723,526 $ 1,723,526 $ - Revenues/Sources 171,199 104,073 100,071 17,104 6,700,000 Expenditures/Uses (82,413) (2,679,648) (1,823,597) (1,061,824 ) (6,700,000) r Ending Fund Balance $ 4,471,211 $ (2,575,575) $ - $ 678,806 $ -I STORMWATER UTILITY FUND(410) Beginning Ba.lance/Carryover $ 618,830 $ - $ 38,907 $ - $ - Revenues/Sources 1,233,656 1,473,272 841,805 348,018 841,458 Expenditures/Uses (360,712) (557,635) (880,712) (263,471 ) (841,458) rEnding Fund Balance $ 1,491,774 $ 915,637 $ - $ 84,547 $ -I POLICE OFF DUTY SERVICES FUND (620) Beginning Balance/Carryover $ - $ - $ - $ - $ - Revenues/Sources 360,375 336,286 330,000 129,575 330,000 Expenditures/Uses (338,160) (304,104) (330,000) (124,134) (330,000) r-- Ending Fund Balance $ 22,215 $ 32,182 $ - $ 5,441 $ -I 2-4 GENERAL FUND 2-5 CITY OF AVENTURA I GENERAL FUND - 001 I SUMMARY OF BUDGET 2008/09 OPERATING & CAPITAL OUTLAY I FUND DESCRIPTION I The General Fund is used to account for resources and expenditures that are available for the City's general operations. REVENUE PROJECTIONS APPROVED HALF YEAR CITY MANAGER ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL CATEGORY 2005106 2006/07 2007/08 2007/08 2008/09 Current Revenues $ 34,214,312 $ 37,891,327 $ 31,501,236 $ 20,277,206 $ 31,800,055 Transfers 871,888 37,500 81,000 15,000 124,000 Carryover 12,649,983 16,003,834 13,994,179 13,994,179 14,701,066 r--;rotalRevenues $ 47,736,183 $ 53,932,661 $ 45,576,415 $ 34,286,385 $ 46,625,1211 EXPENDITURES DEPT.I APPROVED HALF YEAR CITY MANAGER DIV. ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. DEPARTMENT 2005/06 2006/07 2007/08 2007/08 2008/09 Operating Expenditures: 0101 City Commission $ 105,362 $ 115,163 $ 115,404 $ 54,488 $ 116,443 0501 Office ofthe City Manager 761,486 803,178 845,152 392,787 888,267 0601 Legal 313,521 199,886 280,000 72,016 280,000 0801 City Clerk's Office 253,664 274,179 259,965 106,121 266,946 1001 Finance 1,234,251 835,080 820,279 419,479 808,647 1201 Information Technology - 624,195 719,712 375,026 771,282 2001 Public Safety 10,872,544 11,529,167 12,372,192 5,839,340 13,395,623 4001 Community Development 2,537,385 2,506,709 1,643,469 1,080,448 1,445,741 5001 Community Services 5,223,758 4,598,889 4,161,763 1,900,392 4,230,982 7001 Arts & Cultural Center - - - - 97,361 9001 Non-Departmental 2,978,900 1,913,606 1,758,185 797,717 1,745,000 r-suiiiotal 24,280,871 23,400,052 22,976,121 11,037,814 24,046,2921 Capital Outlay 8005 Office ofthe City Manager 7,126 2,726 4,000 2,495 4,000 8006 Legal - - - - - 8008 City Clerk's Office - 7,044 3,000 - 3,000 8010 Finance 51,613 35,635 26,080 1,123 3,000 8012 Information Technology - 119,417 157,583 11,741 136,000 8020 Public Safety 661,399 1,331,919 996,100 412,655 849,500 8040 Community Development 11,875 7,196 9,600 981 48,300 8050 Community Services 2,515,270 3,529,574 2,630,229 679,597 778,000 8070 Arts & Cultural Center - - - - - 8090 Non-Departmental 263,058 444,470 - - - 8090 CIP Reserve - - 16,547,117 - 16,500,000 L~~ 3,510,?41 5,4 77,~81----l.0,373, 709 1~O~,~92 18,321,80DJ Transfer to Funds 2,217,523 2,228,497 2,226,585 1,120,900 4,257,029 r:ru6iOiar~ 2,217,523 2,228,497 2,226,585 1,120,900 4,257,029 ~ I Total $ 30,008,735 $ 31,106,530 $ 45,576,415 $ 13,267,306 $ 46,625,1211 2-6 CITY OF AVENTURA I GEN~L..f.!,lt!D - 001 CATEGORY SUMMARY 2008/09 REVENUE PROJECTIONS APPROVED HALF YEAR CITY MANAGER OBJ ECT ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL CODE CATEGORY 2005106 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally Levied Taxes $ 23,463,664 $ 27,632,296 $ 25,301,236 $ 16,362,360 $ 25,597,055 320000/329999 Licenses & Permits 3,281,107 3,231,384 1,960,000 1,251,131 1,600,000 330000/339999 Intergovernmental Revenues 4,917,380 3,947,873 2,303,500 1,280,073 2,308,000 340000/349999 Charges for Services 1,176,119 1,353,442 1,090,000 644,318 1,081,000 350000/359999 Fines & Forfeitures 261,615 404,617 226,500 148,630 339,000 360000/369999 Miscellaneous Revenues 1,114,427 1,321,715 620,000 590,694 875,000 380000/389999 Transfer from Funds 871,888 37,500 81,000 15,000 124,000 399900/399999 Fund Balance 12,649,983 16,003,834 13,994,179 13,994,179 14,701,066 I Total Available General Fund $ 47,736,183 $ 53,932,661 $ 45,576,415 $ 34,286,385 $ 46,625,121 EXPENDITURES APPROVED HALF YEAR CITY MANAGER OBJ ECT ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL CODE CATEGORY 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services 12,923,546 13,915,906 15,288,416 7,091,008 16,320,394 3000/3999 Contractual Services 5,468,859 4,463,315 3,084,297 1,794,976 3,009,000 4000/4999 Other Charges & Services 3,783,201 4,229,358 3,664,238 1,802,578 3,836,888 5000/5399 Commodities 518,566 520,576 631,450 278,963 675,200 5400/5499 Other Operating Expenses 1,586,699 270,897 307,720 70,289 204,810 .Totalop.eratingSlp.enses 24,~,871 23,~,O52 22,~,121 11,~,814 24,~,~ 6000/6999 Capital Outlay 3,510,341 5,477,981 20,373,709 1,108,592 18,321,800 8000/8999 Transfer to Funds 2,217,523 2,228,497 2,226,585 1,120,900 4,257,029 I Total expenditures $ 30,008,735 $ 31,106,530 $ 45,576,415 $ 13,267,306 $ 46,625,121 2-7 CITY OF AVENTURA I G~ERA[ Fi:iijD - 001 I FUND BALANCE ANALYSIS 2008/09 APPROVEO HALF YEAR CITY MANAGER ACTUAL ACTUAL BUOGET ACTUAL PROPOSAL CATEGORY 2005106 2006/07 2007/08 2007/08 2008/09 Beginning Fund Balance $ 12,649,983 $ 16,003,834 $ 13,994,179 $ 13,994,179 $ 14,701,066 Revenues/Sources: Locallv Levied Taxes Property Taxes $ 14,089,387 $ 17,127,913 $ 15,765,236 $ 13,695,207 15,504,349 Franchise Fees 3,359,260 4,234,574 3,409,000 198,891 3,791,706 Utility Taxes 3,943,249 4,016,484 4,015,000 1,695,500 4,003,000 Unified Comm. Tax 2,071,768 2,253,325 2,112,000 772,762 2,298,000 r--S'ribml 23,463,664 27,632,296 25,301,236 16,362,360 25,597,0551 Licenses & Permits 3,281,107 3,231,384 1,960,000 1,251,131 1,600,000 Intergovernmental Rev. 4,917,380 3,947,873 2,303,500 1,280,073 2,308,000 Charges for Services 1,176,119 1,353,442 1,090,000 644,318 1,081,000 Fines & Forfeitures 261,615 404,617 226,500 148,630 339,000 Miscellaneous 1,114,427 1,321,715 620,000 590,694 875,000 Interfund Transfers In 871,888 37,500 81,000 15,000 124,000 r--s~Mi~i~1 11,622,536 10,296,531 6,281,000 3,929,846 6,327,000 I I Total Revenues/Sources $ 35,086,200 $ 37,928,827 $ 31,582,236 $ 20,292,206 $ 31,924,0551 ExpenditureslUses: Qperatinq Expenditures 0101 City Commission $ 105,362 $ 115,163 $ 115,404 $ 54,488 $ 116,443 0501 Office of the City Manager 761,486 803,178 845,152 392,787 888,267 0601 Legal 313,521 199,886 280,000 72,016 280,000 0801 City Clerk's Office 253,664 274,179 259,965 106,121 266,946 1001 Finance 1,234,251 835,080 820,279 419,479 808,647 1201 Information Technology - 624,195 719,712 375,026 771,282 2001 Public Safety 10,872,544 11,529,167 12,372,192 5,839,340 13,395,623 4001 Community Development 2,537,385 2,506,709 1,643,469 1,080,448 1,445,741 5001 Community Services 5,223,758 4,598,889 4,161,763 1,900,392 4,230,982 7001 Arts & Cultural Center - - - - 97,361 9001 Non-Departmental 2,978,900 1,913,606 1,758,185 797,717 1,745,000 ~p.erating Exp.enditures 24,280,871 23,400,052 22,976,121 11,037,814 24,046,2921 -- Capital Outlay Expenditures 3,510,341 5,477,981 3,826,592 1,108,592 1,821,800 Interfund Transfers Out 2,217,523 2,228,497 2,226,585 1,120,900 4,257,029 I Total ExpenditureslUses 30,008,735 31,106,530 29,029,298 13,267,306 30,125,1211 Ending Fund Balance Designated for I Cap-itallmp-rovements 17,727,448 22,826,131 16,547,117 21,019,079 16,500,0001 2-8 2-9 ~ '~rl' ~ eP el"~ .& &~ REVENUE ESTIMATES CITY OF AVENTURA I GENERAL FUND - 001 I - - - - REVENUE PROJECTIONS 2008/09 OBJ ECT APPROVED HALF YEAR aTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Locally levied Taxes 3111000 Ad Valorem Taxes-Current $ 14,023,960 $ 16,997,222 $ 15,758,236 $ 13,526,385 $ 15,479,349 3112000 Ad Valorem Taxes-Delinquent 65,427 130,691 7,000 168,822 25,000 3131000 Franchise Fee-Electric 2,906,200 3,760,394 2,956,000 - 3,306,706 3134000 Franchise Fee-Gas 28,973 54,717 28,000 18,369 50,000 3137100 Franchise Fee-Sanitation 398,324 400,141 400,000 165,475 410,000 3138000 Franchise Fee-Towing 25,763 19,322 25,000 15,047 25,000 3141000 Utility Tax-Electric 3,319,820 3,363,499 3,380,000 1,483,669 3,418,000 3143000 Utility Tax-Water 588,860 609,024 600,000 193,988 550,000 3144000 Utility Tax-Gas 34,569 43,961 35,000 17,843 35,000 3149000 Unified Comm unications Tax 2,071,768 2,253,325 2,112,000 772,762 2,298,000 r::= .~ 23,463,664 27,632,296 25,301,236 16,362,360 25,597,055 , SulJtotal Licenses & Perm its 3211000 City Business Tax 639,621 706,637 650,000 129,045 715,000 3219500 Suspense - 280 - 38 - 3221000 Building Perm its 2,309,000 1,983,328 1,100,000 854,138 800,000 3221500 Radon/Code Com p Adm n. Fee 3,148 1,606 - 158 - 3222000 Certificate of Occupancy 283,031 415,428 175,000 174,583 50,000 3291000 Engineering Perm its 46,307 124,105 35,000 93,169 35,000 C---....... 3,281,107 3,231,384 1,960,000 1,251,131 1,600,000 , SulJtotal Interqovernmental Revenues 3312100 Bulletproof Vests 17,540 10,401 - 10,875 - 3312275 SCBA Grant - 50,000 - - - 3312550 Byrne Gra nt 24,876 12,872 - 2,230 - 3312910 FEMA 1,489,956 158,587 - 62,461 - 3342007 Bait Vehicle Proj Grant 10,000 - - - - 3342008 HIDTAGrant - 7,976 - - - 3342117 Electronic LEO Prints - 10,000 - - - 3343902 Lehman Causeway 952,551 - - - - 3343903 M iam i Gardens Drive Conn - - - 371,864 - 3344901 Maintenance Agreement Paymer 8,677 8,677 8,500 2,170 - 3351200 State Revenue Sharing 439,361 334,115 452,000 166,174 390,000 3351500 Alcoholic Beverage License 14,783 19,373 13,000 74 19,000 3351800 Half Cent Sales Tax 1,892,173 1,894,418 1,800,000 648,145 1,854,000 3354930 Fuel Tax Refund 12,987 13,256 - 2,873 - 3372105 Community Policing 22,057 5,262 - - - 3374000 County- Miami Gardens Drive Ext. - 1,363,936 - - - 3377501 MPO Transit Study - 14,254 - - 3382000 County Business Tax 32,419 44,746 30,000 13,207 45,000 ~Su5total 4,917,380 3,947,873 2,303,500 1,280,073 2,308,000 I 2-10 Charaes For Services 3413000 Certificate of Use Fees 5,985 3,710 5,000 2,240 5,000 3419000 Election Filing Fees 200 100 3419500 Lien Search Fees 58,903 52,358 60,000 17,050 25,000 3421300 Police Services Agreement 551,176 544,375 501,000 207,659 441,000 3425000 Development Review Fees 95,185 25,000 92,997 25,000 3471000 ReclCultural Events 46,067 40,545 60,000 54,597 60,000 3472000 Parks & Recreation Fees 48,629 73,159 82,000 62,476 85,000 3472500 Community Center Fees 189,158 178,781 160,000 106,564 170,000 3474000 Founders Day 38,523 47,950 45,000 42,679 45,000 3475000 Summer Recreation 237,478 317,279 150,000 58,056 225,000 3499000 Other Charges For Service 2,000 r-Sub"iOtal 1,176,119 1,353,442 1,090,000 644,318 1,081,000 I Fines & Forfeitures 3511000 County Court Fines 257,965 398,717 225,000 137,033 274,000 3541000 Code Violation Fines 3,650 5,900 1,500 11,597 65,000 I Subtotal 261,615 404,617 226,500 148,630 339,000 I Misc. Reve nues 3611000 Interest Earnings 788,049 1,230,834 550,000 448,105 800,000 3644200 Sale of Assets 42,090 5,000 3644910 Lost/Abandoned Property 2,359 20 3661000 Developer Contributions/Streets 214,278 121,095 3691000 Cobra Billings 8,653 10,418 3,405 3699000 Misc. Reve nues 101,088 38,353 70,000 18,089 70,000 I Subtotal 1,114,427 1,321,715 620,000 590,694 875,000 I Non-Revenue 3811012 Transfer from Transportation Fur 629,535 3811018 Transfer from 911 Fund 51,000 94,000 3811019 Transfer from Charter School Op 30,000 37,500 30,000 15,000 30,000 3811041 Transfer from Stormwater Fund 212,353 3999000 Carryover 12,649,983 16,003,834 13,994,179 13,994,179 14,701,066 r .Sulltotal 13,521,871 16,041,334 14,075,179 14,009,179 14,825,0661 ~Toral Availal:ile GenerarFun, $ 47,736,183 $ 53,932,661 $ 45,576,415 $ 34,286,385 $ 46,625,1211 2-11 REVENUE PROJECTION RATIONALE LOCALLY LEVIED TAXES 3111000 Ad Valorem Taxes Current - Ad Valorem or property taxes are authorized by Chapter 166, Florida Statutes. The Florida Constitution limits local governments to a maximum of 10 mills of Ad Valorem taxation. The amount of revenue is based on the tax rate multiplied by the assessed value of the City which is provided by the County Property Appraisal Department. The amount is then budgeted at 95% of it's gross value to allow for prompt payment discounts and other adjustments in accordance with Florida Statutes. The City's assessed value as reported by the Property Appraisal Department is $9,439,807,532. This amount is 1.7% lower than last year. The City experienced a 7.5% reduction in the taxable assessed property values due to the impact of Amendment One and the decline in the housing market. However, a 5.8% increase attributed to new construction resulted in a smaller decrease in the overall taxable values. The ad valorem millage levy for fiscal year 2008/09 is recommended to be 1.7261, which is the same rate adopted last year. This will generate $15,479,349 compared to last year's amount of $15,758,236. This represents the thirteenth year without an increase. City Tax Rate History: 1995/96 to 2006/07 -2.2270 2007/08 - 1.7261 3112000 Ad Valorem Taxes Delinquent - This revenue source is derived by those taxpayers who do not pay their taxes by March 31 of any given year. On average the total revenue received in this category is minimal when compared to the total Ad Valorem taxes collected. 3131000 Franchise Fee-Electric - A city may charge electric companies for the use of its rights-of-way per Florida Statutes 166.021 and 337.401. Miami-Dade County currently has an agreement with FPL covering the area now incorporated as Aventura, as well as the current unincorporated areas of the County. The County Commission, via an interlocal agreement, has agreed to share these revenues with Aventura. The amount projected is based on an assumed growth rate of 2.0% of the actual amount received fo r 2006/07. 3134000 Franchise Fee-Gas - A city may charge gas companies for the use of its rights-of -way per Florida Statutes 166.021 and 337.401. It is standard practice to enact a 6% fee on gross revenues. The amount projected is based on historical collections. 3137100 Franchise Fee-Sanitation - The City issues solid waste franchises to the private sector for all areas of the City. In addition a fee of 10% was adopted for the private companies to utilize the City's rights-of-way. The amount projected is based on historical collections and includes a growth factor. 2-12 3138000 Franchise Fee- Towinq - The City awarded a franchise agreement for towing services within our corporate limits during the 2006/07 fiscal year. The amount is based on that agreement. 3141000 Utilitv Tax-Electric - Section 166.231 (1 )(A), Florida Statutes, authorizes a city to collect Public Service or Utility Taxes. Miami-Dade County previously established by Ordinance utility taxes for unincorporated areas in the amount of 10% on electricity. The City enacted Ordinance 96-03 which mirrored the County's utility tax levies. The projection is based on historical actual collections for the past three years plus a growth rate of 2.0%. 3143000 Utilitv Tax-Water - Section 166.231 (1) (A), Florida Statutes, authorizes a City to collect Public Service or Utility Taxes. Miami-Dade County previously established by Ordinance utility taxes for unincorporated areas in the amount of 10% on water. The City enacted Ordinance 96-03 which mirrored the County's utility tax levies. The projection is based on historical collections for the past three fiscal years plus a reduction due to water restrictions imposed by the State. 3144000 Utilitv Tax-Gas - Section 166.231 (1) (A), Florida Statutes, authorizes a City to collect Public Service or Utility Taxes. Miami-Dade County previously established by Ordinance utility taxes for unincorporated areas in the amount of 10% on gas and oil. The City enacted Ordinance 96-03 which mirrored the County's utility tax levies. The projection is based on actual collections for the past two fiscal years plus a growth rate. 3149000 Unified Communications Tax - Effective October 1, 2001, the Unified Communications Tax replaced municipal utility taxes and franchise fees on all telecommunication, cable and other communication services. The projection is based on actual collections for the past fiscal year plus a growth rate. LICENSES AND PERMITS 3211000 Citv Business Tax - Pursuant to Chapter 205, Florida Statutes, the City has adopted an ordinance imposing a business tax for the privilege of engaging in or managing any business, profession or occupation within the City. The amount budgeted is based on actual collections in the 2007/08 fiscal year plus a 10% increase as authorized by Ordinance adopted in June 2008. 3221000 Buildinq Permits - Permits must be issued to any individual or business who performs construction work within the corporate limits of the City. These permits are issued for construction, such as plumbing, electrical, structural, mechanical, etc. The fees are set by City Ordinance. The projection includes a decrease compared with the 2007/08 levels. 3291000 Enqineerinq Permits - This fee is representative of the costs associated with regulatory review of the installation of utilities, paving, drainage and right-of-way 2-13 renovation/excavation by the City staff. The amount budgeted is based on actual collections in the 2007/08 fiscal year and expectations for next year. INTERGOVERNMENTAL REVENUES 3344901 Maintenance Aqreement Pavment - Funds provided by FOOT to maintain Medians and Rights of Way along Biscayne Boulevard. 3351200 State Revenue Sharinq - Revenues received in this category represent base cigarette tax and 8th cent motor fuel tax which are levied by the State. The portion which comes from cigarette tax of approximately 63% of the total is deposited to the General Fund. The remainder is deposited to the Transportation and Street Maintenance Fund. The amount budgeted is based on actual collections in the current fiscal year. 3351500 Alcoholic Beveraqe Licenses -Various alcoholic beverage license taxes are levied on manufacturers, distributors, vendors, and sales agents of alcoholic beverages in the State. The tax is collected by the State and distributed back to the City. The City's share is approximately 38% of the proceeds of the tax collected within the City. 3351800 Half Cent Sales Tax - This revenue source represents one half of the revenue generated by the additional 1 % sales tax which is distributed to counties and cities based on a per capita formula. The amount budgeted is based on actual collections for the past two fiscal years and a growth rate. 3382000 Countv Business Tax - All businesses in the City must have pay a County Business Tax in addition to the City's Business Tax to operate a business within the County's corporate limits. A portion of the County's revenues are remitted to the City. CHARGES FOR SERVICES 3421300 Police Services Aqreement - This amount represents the amount to be paid by Aventura Mall for an increased level of services. The amount represents the cost of the City providing additional officers pursuant to agreement. 3425000 Development Review Fees -These are fees charged to developers for costs associated with the interdepartmental review of new development proposals such as site plans and plats. 3471000 Recreation/Cultural Events - This is the amount paid by City residents to participate in various trips and events sponsored by the City. The revenues are offset by an expenditure account in the Community Services Department. 3472000 Parks & Recreation Fees - This includes non-resident fees for entering the park and user fees associated with the various programs at Founders Park. 2-14 3472500 Communitv Center Fees - This represents membership fees and user fees charged for the various programs provided at the Community Recreation Center. 3475000 Summer Recreation - This represents fees charged for participants in the City's Summer recreation Program. 3499000 Other Charqes for Services - Charges for services not otherwise classified. FINES & FORFEITURES 3511000 Countv Court Fines - The City receives a portion of the revenues resulting from traffic enforcement activities within its corporate limits. The projection is based on actual revenues for the period. 3541000 Code Violation Fines - Revenues in this category are generated when the owner of property within the corporate limits of the City violates a City code. Projection is based on historical revenues and estimates for implementing the Traffic Safety Camera Program. MISC. REVENUES 3611000 Interest Earninqs - Investment practices are maintained to allow for 100% of available funds to be invested at all times. Determining factors in forecasting revenue for this line item are the anticipated interest rate and pooled dollars available for investment. 3699000 Miscellaneous Revenues - Any other revenues not otherwise classified. NON - REVENUE 3999000 Carrvover -This amount is derived by a comparison of all of the anticipated revenues for the current period to all of the anticipated expenditures for the current period. The excess of revenues over expenditures represents the carryover amount. 3811018 Transfer from 911 Fund - This represents reimbursement to the General Fund to cover operating expenses relating to the 911 system. 3811019 Transfer from Charter School Fund - This represents reimbursement to the General Fund to cover administrative expenses. 2-15 2-16 CITY COMMISSION CITY OF AVENTURA I CITY COMMISSION I 2008/09 I DEPARTMENT DESCRIPTION I The City Commission is the community's legislative body which acts as the decision- making entity that establishes policies and ordinances to meet the needs of the community on a proactive basis. The City Commission is committed to providing the best possible professional government and the delivery of quality service levels that reflect community priorities and maintain the quality of life for all residents. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 1000/2999 Personal Services $ 61,938 $ 62,124 $ 59,428 $ 31,070 $ 59,405 3000/3999 Contractual Services - - - - - 4000/4999 other Charges & Services 32,434 33,112 33,726 16,831 34,738 5000/5399 Commodities 3,245 2,015 3,450 679 3,500 5400/5499 other O~g Expenses 7,745 17,912 18,800 5,908 18,800 I Total Operating Expenses $ 105,362 $ 115,163 $ 115,404 $ 54,488 $ 116,443 I PERSONNEL ALLOCATION SUMMARY Position No. Position Title 2005106 2006107 2007108 2008109 0301 Mayor 1 1 1 1 0401 Com missioner 1 1 1 1 0402 Com missioner 1 1 1 1 0403 Com missioner 1 1 1 1 0404 Com missioner 1 1 1 1 0405 Com missioner 1 1 1 1 0406 Com missioner 1 1 1 1 Total 7 7 7 7 2-17 CITY OF AVENTURA CITY COMMISSION 2008/09 BUDGETARY ACCOUNT SUMMARY 001~101-511 OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1210 Commission Salaries $ 55,000 $ 55,017 $ 55,000 $ 27,500 $ 55,000 2101 RCA 6,603 6,683 4,208 3,376 4,208 2401 Workers' Compensation 335 424 220 194 197 I Subtotal 61,938 62,124 59,428 31,070 59,405 I OTHER CHARGES & SERVICES 4030 Legislative Expenses 32,434 33,112 33,726 16,831 34,738 rSubtotal 32,434 33,112 33,726 16,831 34,738 I COMMODITIES 5101 Office Supplies 25 416 250 244 300 5290 Other Operating supplies 3,220 1,599 3,200 435 3,200 I Suotorn-- -.. 3,245 2,015 3,450 679 3,500 I OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 3,667 7,785 7,800 4,410 7,800 5420 Conferences & Seminars 4,078 10,127 11,000 1,498 11,000 I Subtotal 7,745 17,912 18,800 5,908 18,800 I I Total City Commission $ 105,362 $ 115,163 $ 115,404 $ 54,488 $ 116,4431 2-18 CITY COMMISSION BUDGET JUSTIFICATIONS 4030 Leqislative Expense - This account represents the $4,963 established per Commissioner to offset expenses incurred in the performance of their official duties. 5410 Subscriptions & Memberships - The following memberships are included for funding: Florida League of Cities National League of Cities Miscellaneous Seminars 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in local government. Florida League of Cities National League of Cities Miscellaneous Seminars 2-19 2-20 ~ '~r1' ~ $' ei9 .& &~ OFFICE OF THE CITY MANAGER CITY OF AVENTURA I OFFICE OF THE CITY MANAGER I 2008/09 I DEPARTMENT DESCRIPTION I Maintain a City government structure that represents the needs of the community and provides quality services in an efficient, businesslike and professional manner. Responsible for the overall management of all functions and activities of the City's operations, preparation of annual budget and 5 year CIP document and ensures the proper implementation of policies and ordinances adopted by the City Commission. Provides recommendations and solutions to community concerns. Utilizes customer service focus process to respond to citizen requests. Coordinates personnel function for City operations. OBJECT APPROVED HALF YEAR aTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 588,359 $ 641,177 $ 679,652 $ 302,713 $ 717,967 3000/3999 Contractual Services 48,745 53,275 51,000 27,460 53,000 4000/4999 Other Charges & Services 104,067 95,488 95,700 59,449 98,500 5000/5399 Commodities 3,331 5,038 5,500 1,689 5,500 5400/5499 Other Operating Expenses 16,984 8,200 13,300 1,476 13,300 I Total o~erating ex~enses $ 761,486 $ 803,178 $ 845,152 $ 392,787 $ 888,2671 I PERSONNEL ALLOCATION SUMMARY I Position No. Position Title 2005/06 2006/07 2007/08 2008/09 0101 City Manager 1 1 1 1 0201 Secretary to City Manager 1 1 1 1 0701 Assistant to City Manager 1 - - - 0701 Assistant to City Manager/Personnel Officer - 1 1 1 0801 Receptionistllnform. Clerk 1 1 1 1 0601 Capital Projects Manager 1 1 1 1 Total 5 5 5 5 2-21 Office of the City Manager Organization Chart I C;tyM~ j 1- - Assistant to City City Manager's Capital Projects Manager/Personnel Secretary Manager Officer . . I Receptionist! I~ Information Clerk I 2-22 CITY OF AVENTURA I OFFICE OF THE CITY MANAGER I 2008/09 I OBJECTIVES I 1. Provide completed reports and recommendations on a timely basis upon which the City Commission can make policy decisions. 2. Prepare and submit budget to the City Commission by July 10th of each year. 3. Oversee customer service functions by all Departments to ensure timely response or resolution of citizen requests. 4. Coordinate, control and monitor the activities of all City Departments and operations. 5. Interact with community organizations and associations to increase public awareness of City's various programs, facilities and services. 6. Update five year Capital Improvement Program document and submit to the City Commission by May of each year. 7. Effectively administer the budget priorities and goals established by the City Commission. 8. Perform the functions of Director of Emergency Management to provide for an effective emergency response capability for all City operations. 9. Coordinate and oversee the City's Charter School operations. 10. Oversee and coordinate capital projects. 11. Issue newsletters and annual report to the public. 12. Supervise capital budget projects and the implementation of services. 13. Maintain effective personnel system to allow for timely recruitment and hiring of employees. I PERFORMANCE WORKLOAD INDICATORS I ACTUAL ACTUAL PROJECTED ESTIMATE 2005/06 2006/07 2007/08 2008/09 Citizen Requests & Inquires 88 76 100 100 Commission Requests 28 32 30 30 Community Meetings Attended 31 24 25 25 Agenda Back up Items Prepared 119 102 115 115 No. of Newsletters & Reports Issued 5 5 5 5 Annual Budget & CIP Prepared 2 2 2 2 School Budget 1 1 1 1 Quarterly Progress Reports 4 4 4 4 Capital Projects Oversight 21 20 17 17 Capital Projects Completed 21 20 17 17 City Manager Briefing Reports 12 12 12 12 Number of New Hires 6 5 4 4 2-23 CITY OF AVENTURA OFFICE OF THE CITY MANAGER 2008/09 BUDGETARY ACCOUNT SUMMARY 001-0501-512 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1201 Em ployee Salaries $ 425,646 $ 459,786 $ 480,116 $ 210,086 $ 506,518 1401 Overtime 210 72 - - - 2101 RCA 24,960 26,664 31,215 12,825 38,749 2201 Pension 66,850 70,786 75,496 33,967 85,887 2301 Health, Life & Disability 58,409 75,458 85,119 42,349 80,800 2401 Workers' Compensation 12,284 8,411 7,706 3,486 6,013 C.- 588,359 641,177 679,652 302,713 717,9671 SulJtotal CONTRACTUAL SERVICES 3140 Background-New Employees 100 - - - - 3170 Lobbyist Services 48,085 50,000 50,000 25,040 50,000 3180 Medical Exams-New Employ~ 560 3,275 1,000 2,420 3,000 I Subtotal 48,745 53,275 51,000 27,460 53,000 I OTHER CHARGES & SERVICES 4001 Travel & Per Diem 4,356 932 4,000 546 4,000 4040 Administrative Expenses 239 306 600 - 600 4041 Car Allowance 8,400 8,400 8,400 4,200 11,400 4101 Comm unication Services 2,705 2,325 2,500 814 2,500 4701 Printing & Binding 1,662 5,912 2,200 3,391 3,000 4710 Printing\Newsletter 35,124 44,690 53,000 38,189 53,000 4815 Web Page Maintenance 5,285 5,280 - - - 4910 Advertising 46,296 27,643 25,000 12,309 24,000 C.- 104,067 95,488 95,700 59,449 98,500 1 SulJtotal COMMODIllES 5101 Office Supplies 2,401 2,982 4,000 1,488 4,000 5120 Computer Operating Supplies 644 1,720 1,000 - 1,000 5290 Other Operating~pplies 286 336 500 201 500 I 5 ubtota I 3,331 5,038 5,500 1,689 5,500 I OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 13,352 5,247 6,800 1,011 6,800 5420 Conferences & Seminars 3,445 2,597 3,000 465 3,000 5450 Training 99 245 2,500 - 2,500 5901 Contingency 88 111 1,000 - 1,000 rsur;tOtai 16,984 8,200 13,300 1,476 13,300 I I Total City Manager $ 761,486 $ 803,178 $ 845,152 $ 392,787 $ 888,2671 2-24 OFFICE OF THE CITY MANAGER BUDGET JUSTIFICATIONS 3170 Lobbvist Services - Costs associated with retaining a professional lobbyist to foster the City's position at the state and county level. 4710 Printinq/Newsletter - Represents the cost of printing various documents, informational newsletters and annual report to the residents. 5410 Subscriptions & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. Florida City & County Manager's Association International City Management Association American Planning Association Government Finance Officers Association International Personnel Manager Association Florida Personnel Managers Association American Society of Public Administration Society for Human Resource Management Miscellaneous subscriptions 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in the field of City Management, local government and personnel. Florida City & County Manager's Association International City Management Association Florida League of Cities Miscellaneous Management Seminars IPMA or other Personnel Related Florida Public Personnel Association 2-25 2-26 ~ , LL ~ $'~ eq~ .& &~ LEGAL CITY OF AVENTURA I LEGAL I 2008/09 I DEPARTMENT DESCRIPTION I To provide legal support and advice to the City Commission, City Manager, Department Directors and advisory boards on all legal issues affecting the City. OBJ ECT APPROVED HALF YEAR aTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services 313,521 199,471 275,000 72,016 275,000 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5499 Other Operating Expenses - 415 5,000 - 5,000 I Total Operating Expenses $ 313,521 $ 199,886 $ 280,000 $ 72,016 $ 280,000 I I OBJECTIVES I 1. Ensure that the various rules, laws and requirements of state, local and federal governments are understood and followed by the City. 2. Review and preparation of contracts, ordinances and resolutions. 3. Represent the City in litigation matters. 4. Provide legal support services to the City Commission, staff and City Boards. I PERFORMANCE WORKLOAD INDICATORS I 1. Positive compliance with all rules and regulations. 2. Number of documents prepared. 3. Litigation is avoided or concluded to the City's satisfaction. 4. Number of meetings attended. 2-27 CITY OF AVENTURA LEGAL 2008/09 BUDGETARY ACCOUNT SUMMARY 001-0601-514 OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CONTRACTUAL SERVICES 3120 Prof. Services - Legal $ 310,027 $ 199,409 $ 275,000 $ 72,016 $ 275,000 3301 Court Costs & Fees 3,494 62 - - - I Subtotal 313,521 199,471 275,000 72,016 275,000 I OTHER OPERATING EXPENSES 5901 Contingency - 415 5,000 - 5,000 rsur;totai - 415 5,000 - 5,0001 I Total Legal $ 313,521 $ 199,886 $ 280,000 $ 72,016 $ 280,000 I BUDGET JUSTIFICATIONS 3120 Professional Services Leqal - Represents the estimated cost of maintaining the contracted City Attorney arrangement with the firm of Weiss Serota Helfman Pastoriza Cole & Boniske, other special counsel and Leibowitz & Associates, PA to perform legal services required by the City Commission and City Manager. The amount includes an increase in the hourly rate from $190 to $197, which represents a 3.5% increase. 2-28 2-29 CITY CLERK'S OFFICE CITY OF AVENTURA I CITY CLERK'S OFFICE I 2008/09 I DEPARTMENT DESCRIPTION I To record and maintain an accurate record of the official actions of the City Commission and Advisory Boards. Serve as the local Elections Supervisor. Provide notice of all required meetings, effect legal advertising, and respond to public records requests. Implement and maintain records management program. Administer publication and supplement of City Code Book. Maintain custody of City Seal and all City records. Assist in preparation of agenda items, prepare and d istri bute agenda packages and recaps. Schedule Code Enforcement Hearings and provide administrative support to Special Master. Provide clerical support to the City Commission. Assist City Manager's Office with special projects. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 175,488 $ 183,331 $ 195,665 $ 81,474 $ 202,646 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services 73,155 85,245 57,400 21,641 57,400 5000/5399 Commodities 4,304 3,609 4,400 1,971 4,400 5400/5499 Other O~g~penses 717 1,994 2,500 1,035 2,500 I Total Operating Expenses $ 253,664 $ 274,179 $ 259,965 $ 106,121 $ 266,946 I I PERSONNEL-ALLdcATIONrSUM MARY I Position No. Position Title 2005/06 2006/07 2007/08 2008/09 0501 City Clerk 1 1 1 1 9601 Adm in. Asst to City Clerk - 1 1 1 3101 Clerk Typist/Imaging Tech. 1 - - - Total 2 2 2 2 2-30 City Clerk's Office Organization Chart 1- City~ Admin. Asst to City Clerk 2-31 CITY OF AVENTURA I CITY CLERK'S OFFICE I 2008/09 I OBJECTIVES I 1. To maintain accurate minutes of the proceedings of the City Commission, Advisory Boards and other Committees of the City. 2. To publish and post public notices as required by law. 3. To maintain custody of City records and promulgate procedures for the orderly management, maintenance, retention, imaging and destruction of said records. 4. To provide clerical support to City Commissioners, including mail, correspondence, travel and conference registration, preparation of proclamations and certificates. 5. To administer the publication, maintenance and distribution of the Code Book and supplements. 6. To conduct municipal elections in accordance with City, County and State laws. 7. To establish and coordinate the City's records management program in compliance with state law. 8. To effect legal advertising to fulfill statutory requirements of local and state law. 9. To prepare and provide for distribution of agenda packages to Commission, staff, citizens and provide for placement of same on the City's website and prepare and distribute recaps of Commission meetings. 10. To schedule Code Enforcement Hearings and provide clerical support to Special Master. 11. To fulfill information and public records requests within 72 hours. I PERFORMANCE WORKLOAD INDICATORS I I ACTUAL ACTUAL PROJECTED ESTIMATED I 2005/06 2006/07 2007/08 2008/09 No. of Sets of Minutes Prepared 44 35 45 40 No. of Public Notices Prepared 61 39 50 45 No. of Legal Advertisements Published 24 30 40 35 No. of Ordinances Drafted 7 5 6 6 No. of Resolutions Drafted 36 17 25 25 No. of Lien Requests Responded To 1326 1029 1000 1000 No. of Welcome Letters Prepared 373 302 500 500 No. of Agenda Packages Prepared/Distributed 33 34 30 40 No. of Agenda Recaps Prepared/Distributed 14 12 11 11 No. of Code Enforcement Hearings Scheduled 1 0 3 3 2-32 CITY OF AVENTURA CITY CLERK'S OFFICE 2008/09 BUDGETARY ACCOUNT SUMMARY 001-0801-519 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007/08 2008/09 PERSONAL SERVICES 1201 Em ployee Salaries $ 135,536 $ 140,648 $ 148,318 $ 60,967 $ 153,118 1401 Overtime 478 530 300 218 300 2101 RCA 9,735 10,308 11,346 3,949 11,714 2201 Pe ns ion 16,732 17,709 20,765 8,535 21,437 2301 Health, Life & Disability 12,220 13,452 14,343 7,531 15,528 2401 Worke:rs' Compensation 787 684 593 274 550 I Subtotal 175,488 183,331 195,665 81,474 202,646 I OTHER CHARGES & SERVICES 4001 Travel & Per Diem - 860 3,500 258 3,500 4041 Car Allowance 3,000 3,000 2,400 1,500 2,400 4101 Telephone 288 385 500 152 500 4701 Printing & Binding 120 1,381 3,000 162 3,000 4730 Records Retention 325 495 10,000 668 10,000 4740 Ordinance Codification 4,861 2,256 3,000 525 3,000 4911 Legal Advertising 37,811 38,4 71 35,000 17,116 35,000 4915 Election Expenses 26,750 38,397 - 1,260 - I Subtotal 73,155 85,245 57,400 21,641 57,400 I COMMODITIES 5101 Office Supplies 3,278 3,078 3,000 1,231 3,000 5120 Computer Operating Supplies 989 471 600 95 600 5290 Other Operating Supplies 37 60 800 645 800 I Subtotal 4,304 3,609 4,400 1,971 4,400 I OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 586 1,144 1,300 475 1,300 5420 Conferences & Seminars 131 850 1,200 560 1,200 rSuDtOlal 717 1,994 2,500 1,035 2,500 I I Total City Clerk $ 253,664 $ 274,179 $ 259,965 $ 106,121 $ 266,9461 2-33 CITY CLERK'S OFFICE BUDGET JUSTIFICATIONS 4001 Travel & Per Diem - Provides for attendance at the International Institute of Municipal Clerks Conferences, Florida Association of City Clerks Conference and Training Institute, Florida League of Cities Conferences. 4730 Records Retention - Costs associated with imaging of records to maintain records management program. 4740 Ordinance Codification - Costs associated with the official codification of City Ordinances. 4911 Leqal Advertisinq - Costs incurred to satisfy legal requirements of State Statutes, County and City Code. 5410 Subscription & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. Florida Association of City Clerks International Institute of Municipal Clerks Miami-Dade County Municipal Clerks Association Newspapers 2-34 2-35 ~ , L~ ~ $'~ eel"~ .& &~ FINANCE CITY OF AVENTURA I FINANCE I 2008/09 I DEPARTMENT DESCRIPTION I To provide overall financial and support services to the organization which includes accounting, cash management, purchasing, risk management, financial planning and budgetary control. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 974,077 $ 727,066 $ 715,329 $ 365,468 $ 686,547 3000/3999 Contractual Services 90,137 59,594 59,000 40,090 75,000 4000/4999 Other Charges & Services 136,818 29,834 31,150 4,952 27,800 5000/5399 Commodities 19,651 7,191 5,800 3,102 9,300 5400/5499 Other O~g Expenses: 13,568 11,395 9,000 5,867 10,000 I Total Operating Expenses $ 1,234,251 $ 835,080 $ 820,279 $ 419,479 $ 808,647 PERSONNEL ALLOCATION SUMMARY Position No. Position Title 2005/06 2006/07 2007/08 2008/09 1001 Finance Director 1 1 1 1 3001 Executive Assistant/Risk Mgm. Coordinator 1 1 1 1 1201 -1203 Accountant 2 2 3 2 1301 Purchasing Agent 1 1 1 1 8701 Network Adm inistrator 11* 1 - - - 1402 Network Adm inistrator 1* 1 - - - 1502 Controller 1 1 1 1 3601 Custom e r Se rvice Re p. II 1 1 1 1 8801 PayrolllAccts Pay Coord 1 1 - - 8001 Webm aster/Comm unications Specialist* 1 - - - 7001 Information Systems Manager* 1 - - - Total 12 8 8 7 * - Transferred to Information Technology Department 2-36 Finance Department Organization Chart Risk Management Finance Director 1 Executive Assistant/Risk Manager Coordinator I Controller 1 Accounting I Purchasing I L 2ACCO~ Purchasing Agent I Customer Service Representative II 2-37 CITY OF AVENTURA I FINANCE I 2008/09 I OBJECTIVES I 1. Invest idle funds in accordance with the City's Investment Policy 100% of the time. 2. Issue Comprehensive Annual Financial Report (CAFR) by March 31 of each year. 3. Obtain Government Finance Officers Association's Certificate of Achievement for Excellence in Financial Reporting for CAFR each year. 4. Produce/distribute quarterly financial monitoring reports within 30 days of quarter-end. 5. Annually review adequacy of purchasing procedures. 6. Issue purchase orders within two (2) business days of approval. 7. Process all invoices within ten (10) business days of approval. 8. Process bi-weekly payroll/related reports in a timely and accurate manner. 9. Annually review adequacy of insurance coverage. I PERFORMANCE WORKLOAD INDICATORS I ACTUAL ACTUAL PROJECTED ESTIMATE 2005/06 2006/07 2007/08 2008/09 % of idle funds invested in accordance with policy 100% 100% 100% 100% Number of CAFRs issued prior to 3/31 1 1 1 1 Number of GFOA Certificate of Achievements 1 1 1 1 Number of quarterly reports produced timely N/A N/A 4 4 Annually review purchasing procedures 1 1 1 1 % of purchase orders issued within 2 days 97% 97% 98% 98% % of invoices processed within 10 days 98% 99% 98% 98% Number of bi-weekly payroll processed timely 26 26 26 26 Annually review adequacy of insurance coverage 1 1 1 1 2-38 CITY OF AVENTURA FINANCE 2008/09 BUDGETARY ACCOUNT SUMMARY 001-1001-513 OBJECT APPROVED HALF YEAR aTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1201 Em ployee Sa la ries $ 708,337 $ 541,008 $ 502,541 $ 264,622 $ 486,527 1401 Overtime 244 - 300 - 300 2101 RCA 50,364 34,829 38,444 16,199 37,219 2201 Pension 101,129 74,803 70,356 37,047 68,114 2301 Health, Life & Disability 109,101 73,016 98,678 46,436 92,640 2401 Workers' Compensation 4,600 2,585 2,010 1,164 1,747 2501 Unemploym~nt 302 825 3,000 - - rsubtotal 974,077 727,066 715,329 365,468 686,547 I CONTRACTUAL SERVICES 3130 Computer Programmer 40,141 - - - - 3190 Prof. Services 2,796 10,026 5,000 6,090 13,000 3201 Prof. Services - Auditor 47,200 49,568 54,000 34,000 62,000 C.~ 90,137 59,594 59,000 40,090 75,000 I Suototal OTHER CHARGES & SERVICES 4001 Travel & Per Diem 9,796 5,603 8,850 316 8,850 4041 Car Allowance 7,800 6,400 4,800 500 - 4101 Comm unication Services 6,483 510 500 619 1,200 4610 R&M - Vehicles - - - - 750 4650 R&M- Office Equipment 88,084 - 500 125 500 4701 Printing & Binding 8,662 5,615 6,000 1,369 5,000 4910 Advertising 15,993 11,212 10,000 2,023 11,000 4990 Other Current Charges - 494 500 - 500 C.~ 136,818 29,834 31,150 4,952 27,800 I Sul5total COMMODITIES 5101 Office Supplies 8,560 4,994 5,000 2,349 5,000 5120 Computer Operating Supplies 10,120 2,143 500 382 500 5220 Gas & Oil - - - - 3,500 5290 Other Operating Supplies 971 54 300 371 300 I--Subto~ - 19,651 7,191 5,800 3,102 9,300 I OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 4,335 5,935 3,500 893 3,500 5420 Conferences & Sem inars 5,974 2,329 3,000 270 4,000 5450 Training 3,095 2,130 2,000 183 2,000 5901 Contingency 164 1,001 500 4,521 500 ~tOiai 13,568 11,395 9,000 5,867 10,000 I I Total Finance $ 1,234,251 $ 835,080 $ 820,279 $ 419,479 $ 808,6471 2-39 FINANCE BUDGET JUSTIFICATIONS 2501 Unemplovment - Represents reimbursement to the state for unemployment compensation claims for all Departments. 3190 Professional Services - Includes the cost of hiring an actuary to begin work on an actuarial evaluation required by GASB for Other Post Employment Benefits which must be included in the CAFR beginning with the 2008/09 fiscal year. 3201 Professional Services - Auditor - Represents the estimated cost of an audit firm performing the City's year-end financial audit. The audit fee also includes the cost of any Single audits pertaining to State and Federal grants plus any additional services required by changes in GASB or auditing standards. 4001 Travel & Per Diem - Costs of employees attending conference and seminars in order to stay current in their field. Government Finance Officers Association Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Florida Government Purchasing Association Miscellaneous Seminars 4101 Communication Services - Includes telephone services for department personnel. 4650 R & M Office Equipment - Includes maintenance and support of equipment other than computers. 4910 Advertisinq - Includes the advertising costs for all bids and RFP notices. 5410 Subscriptions & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. Government Finance Officers Association Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Florida Government Purchasing Association 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in the field of local government finance, accounting, purchasing and risk management functions. Government Finance Officers Association Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Florida Government Purchasing Association Miscellaneous Seminars 2-40 2-41 INFORMATION TECHNOLOGY CITY OF AVENTURA I INFORMATION TECHNOLOGY I 2008/09 I DEPARTMENT DESCRIPTION I This department provides a secure computing environment that allows for efficient processing of City-related business. Information Technology uses the City's website, AVTV and radio station to deliver accurate and consistent information to the City's customers. OBJECT/ APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ 469,641 $ 523,565 $ 273,832 $ 556,922 3000/3999 Contractual Services - 10,000 13,000 - 13,000 4000/4999 Other Charges & Services - 117,741 148,062 92,544 165,750 5000/5399 Commodities - 19,331 20,800 4,826 21,800 5400/5499 Other O~g~p~nses - 7,482 14,285 3,824 13,810 I Total Operating Expenses $ - $ 624,195 $ 719,712 $ 375,026 $ 771,2821 I PERSONNEL ALLOCATION SUMMARY I Position No. Position Title 2005/06 2006/07 2007/08 2008/09 9201 Information Technology Director - 1 1 1 8701 Network Adm inistrator II - 1 1 1 1402 Network Adm inistrator I - 1 1 1 8001 Webmaster/Communications Specialist - 1 1 1 9701 Support Specialist - 1 1 1 Total - 5 5 5 2-42 Information Technology Organization Chart Information Technology Director ,.... {2)Network Administrator - {l)Webmasterl Communications Specialist . (1) Support Specialist 2-43 CITY OF AVENTURA I INFORMATION TECHNOLOGY I 2008/09 I OBJECTIVES I 1. Provide a secure computer network for applications, sharing of common files, email, etc. 2. Provide a central computer system that serves the information management needs of all departments. 3. Provide help desk services for all City staff. 4. Develop a 3 - 4 year replacement cycle for computing equipment. 5. Expand egovernment applications and services. 6. Address departmental and customer requests to enhance the information on the City's website. 7. Enhance the City's intra net to provide timely information to the City's staff. 8. Deliver a consistent message to the City's customers by coordinating communications. 9. Improve AVTV and the City's Information Radio Station WPZQ420 1650AM by keeping information accurate and current and by varying programming. 10. Coordinate the creation and distribution of the City's newsletters and annual report. 11. Provide training on computer applications and computer related topics. I PERFORMANCE WORKLOAD INDICATORS I ACTUAL ACTUAL PROJECTED ESTIMATED 2005/06 2006/07 2007/08 2008/09 % of time computer network is operational 99 99 99 99 % of time www.cityofaventura.com is available 99 99 99 99 Number of workstations supported 190 190 220 225 Number of servers supported 20 22 25 25 Number of help desk support cases 2,208 3,176 3,300 3,500 Number of newsletters and annual reports coordinated 1 4 4 5 Number of training sessions held 2 2 4 4 2-44 CITY OF AVENTURA INFORMATION TECHNOLOGY 2008/09 BUDGETARY ACCOUNT SUMMARY 001-1201-513 OBJ ECTI APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007/08 2008/09 PERSONAL SERVICES 1201 Employee Salaries $ - $ 337,961 $ 367,795 $ 192,544 $ 398,613 2101 RCA - 25,390 28,136 13,682 30,494 2201 Pe ns ion - 47,843 51,491 26,956 55,806 2301 Health, L~e & Disability - 56,806 74,672 39,794 70,578 2401 Workers' Compensation - 1,641 1,471 856 1,431 C.~ - 469,641 523,565 273,832 556,922 Suototal CONTRACTUALSER~CES 3130 Computer Programmer - 10,000 10,000 - 10,000 3190 Prof. Services - - 3,000 - 3,000 I Subtotal - 10,000 13,000 - 13,000 OTHER CHARGES & SERVICES 4001 Travel & Per Diem - 2,302 6,000 1,937 6,000 4041 Car Allowance - 4,400 4,800 2,400 6,000 4101 Communication Services - 6,714 9,220 2,003 8,500 4650 R&M- Office Equipment - 100,779 120,692 83,887 137,000 4701 Printing & Binding - 546 500 127 500 4851 Web Page Maintenance - 3,000 6,600 2,190 7,500 4990 Other Current Charges - - 250 - 250 rSuotot'al - 117,741 148,062 92,544 165,750 COMMODITIES 5101 Office Supplies - 1,700 2,500 1,466 3,000 5120 Computer Operating Supplies - 17,631 18,000 3,360 18,500 5290 Other operating supplies - - 300 - 300 I SubtoTa:i"""'" - - 19,331 20,800 4,826 21,800 OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships - 2,652 2,910 561 2,460 5420 Conferences & Seminars - 830 3,375 473 3,350 5450 Training - 4,000 8,000 2,790 8,000 5901 Contingency - - - - - ~tOtai - 7,482 14,285 3,824 13,810 I Total Information Technology $ - $ 624,195 $ 719,712 $ 375,026 $ 771,282 2-45 INFORMATION TECHNOLOGY BUDGET JUSTIFICATIONS 3130 Computer Proqrammer - Represents costs of modifications to existing computer programs to enhance capabilities. 3190 Other Professional Services - Includes the cost of services to enhance the cable TV channel programming and the radio station. 4001 Travel & Per Diem - Costs of employees attending conference and seminars in order to stay current in their field. Florida Government Information Systems Association NAGW National Association of Government Webmasters Certified Public Technology Manager Certification Association Florida Government Communicators Association Other conferences, training and seminars 4101 Communication Services - Includes telephone and wireless data access for department personnel. 4650 R & M Office Equipment - Includes maintenance and support of the IBM AS 400 and software and equipment purchased from HTE as well as other major hardware maintenance paid directly to IBM or other vendors. Includes of Cisco Networking equipment, security software and application maintenance. 4815 Web Paqe Maintenance - Costs associated with maintaining and updating the City's Web Page including placement of agenda package on Web. 5120 Computer Operatinq Supplies - Includes the cost of minor supplies and software to maintain existing systems and to upgrade to most current versions of software and operating systems. Upgrades for other than Police Operating System Upgrades Minor hardware upgrades Application licenses 5410 Subscriptions & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. Florida Local Government Information Systems Association National Association of Government Webmasters Florida Government Communicators Association Translation tool subscription for the website Technical resource subscriptions Digital subscription to photo library 2-46 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in the field of local government information technology, communications and personnel as follows: Florida Local Government Information Systems Association Conference National Association of Government Webmaster Conference City-County Communications & Marketing Association Conference Florida Government Communicators Association Conference Computer related courses for certification and seminars 5450 Traininq - Ongoing training for all personnel in the department including classes towards certification. Certification classes Training and seminars (3) at $2,200 1,400 2-47 2-48 PUBLIC SAFETY CITY OF AVENTURA I POLICE I 2008/09 I DEPARTMENT DESCRIPTION I To provide a professional, full service, community oriented Police Department. Respond to all calls for service in a timely and professional manner. Ensure that all crimes are thoroughly investigated and those who are arrested are successfully prosecuted. Interact with the community and create partnerships that enhance law enforcement, crime prevention and quality of life issues. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 9,716,276 $ 10,265,004 $ 11,089,192 $ 5,178,218 $ 11,983,123 3000/3999 Contractual Services 67,155 83,136 42,000 19,110 43,000 4000/4999 Other Charges & Services 607,491 685,102 662,000 379,108 755,500 5000/5399 Commodities 439,537 425,758 534,000 240,435 566,000 5400/5499 Other Operating Expenses 42,085 70,167 45,000 22,469 48,000 I Total Operating Expenses $ 10,872,544 $ 11,529,167 $ 12,372,192 $ 5,839,340 $ 13,395,623 I I PERSONNELALLO"CATION'SUM MARY I Position No. Position Title 2005/06 2006/07 2007/08 2008/09 0901 Police Chief 1 1 1 1 3002 Executive Assistant 1 1 1 1 2501 Deputy Chief of Police 1 - - - 2201-2203 Captains 3 3 3 3 1701-1703 Lieutenants 1 3 3 3 2601 Commander 1 1 1 1 2301-2312 Sergeant 10 11 11 11 2001-2059 Police Officers 58 56 56 56 2901-2902 Crime Scene Tech 2 2 2 2 2801-2807 Police Service Aides 9 8 8 8 2101-2105 Detectives 5 5 5 5 6201 Crime Prey Coordinator 1 1 1 1 6301 Records Supervisor 1 1 1 1 6901-6902 Records Clerk 3 3 3 3 3701 Crime Analyst 1 1 1 1 1601 911 Manager - 1 1 1 3501 Dispatch Supervisor 1 - - - 2701-2715 Comm unication Officer 10 15 15 15 3401-3403 Adm inistrative Asst. I 4 4 2 - 8501-8502 Adm inistrative Asst. II - - 2 2 8601-8602 Adm inistrative Asst. III 2 8401 Asst. Aeet Manager - 1 1 1 6401 Victim Advocate 1 1 - - 7501 Reet Manager/Quartermaster 1 1 1 1 Total 115 120 119 119 2-49 CITY OF AVENTURA I POLICE I 2008/09 I OBJECTIVES I 1. Conduct staff inspections and prepare for re-accreditation mock inspection to be held in August 2008. Review Procedural Directives, place documentation of compliance to file and keep current all required reports and inspections. 2. Work to improve radio system coverage within the city; re-band radio system to true 800 Mhz frequencies for improved performance and coverage. 3. Continue to maintain model E911 Center; improve method to transfer medically related emergency calls for service to Miami-Dade County Fire Rescue. 4. Enhance manner and method of tracking personal issues and records through the addition of computer software programs. 5. Hire necessary personnel and staff all positions to maintain service levels and provide a greater ability to combat crime and respond to calls for service. 6. Continue participating in Homeland Security planning, training and intelligence. 7. Maintain a partnership with the community through Crime Prevention and Community Policing. 8. Work with residents, businesses, organizations and associations to solve problems. 9. Participate in community programs and community involvement activities. 10. Conduct community presentations with an emphasis on safety for children and senior citizens. 11. Conduct customer service surveys of residents, businesses and victims of crimes. 12. Enhance police coverage and services at the Aventura mall through re-negotiation of the current contact between the City and the mall. 13. Create a new Crime Suppression Unit from within the ranks of the Police Department to proactively concentrate on crimes of violence and/or felonies within the City. I PERFORMANCE WORKLOAD INDICATORS I ACTUAL ACTUAL PROJECTED ESTIMATE 2005/06 2006/07 2007/08 2008/09 Man-hours Assigned to traffic flow Issues 12,480 12,480 12,480 14,560 Progress Toward National Re- accreditation 25% 50% 100% 100% Personnel Hired 5 10 10 0 Progress Toward E911 Center 50% 75% 100% 100% Manhours Assigned to Community Policing 8,320 8,320 8320 1 0,400 Progress Toward Emergency Management Programs 100% 100% 100% 100% Community Programs 41 25 27 30 Community Presentations 30 40 56 50 2-51 Community Involvement Activities 20 36 32 35 Manhours Assigned to School Resources 4,160 4160 4160 4160 Calls for Service 34,297 33,707 35,392 37,162 Arrests 1,775 1,759 1,847 1,847 Accidents 1,789 2,169 2,169 2,169 Traffic Citations 12,165 17,644 17,644 17,644 Parking Citations Issued 4,292 4,359 4,359 4,359 Part 1 Crimes Reported 1,829 2,165 2,165 2,165 Customer Service Surveys 1,000 1,000 1,000 1,000 2-52 CITY OF AVENTURA PUBLIC SAFETY 2008/09 BUDGETARY ACCOUNT SUMMARY 001-2001-521 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008/09 PERSONAL SERVICES 1201 Employee Salaries $ 5,952,078 $ 6,390,464 $ 7,013,353 $ 3,139,766 $ 7,531,793 1390 Court Time 54,497 50,561 50,000 16,502 40,000 1401 Overtime 604,470 480,117 400,000 338,594 475,000 1410 Holiday Pay 118,700 133,742 150,000 97,226 150,000 1501 Police Incentive Pay 59,545 59,670 56,993 31,300 60,720 2101 RCA 484,239 530,271 591,731 265,352 594,023 2201 Pension 1,041,974 1,188,642 1,168,897 531,618 1,316,569 2301 Health, Life & Disability 984,553 1,111,754 1,257,665 623,744 1,403,236 2401 Workers' Com pensation 416,220 319,783 400,553 134,116 411,782 I Subtotal 9,716,276 10,265,004 11,089,192 5,178,218 11,983,1231 CONTRACTUAL SERVICES 3180 Medical Exams 2,205 6,368 8,000 4,083 8,000 3192 Prof. Services 64,950 76,768 34,000 15,027 35,000 ISubtotal 67,155 83,136 42,000 19,110 43,000 I OTHER CHARGES & SERVICES 4001 Travel & Per Diem 18,456 28,022 15,000 6,610 17,000 4040 Administrative Expenses 18,801 21,517 13,000 8,321 13,000 4042 Recruiting & Hiring Expense 3,403 4,456 3,000 700 3,000 4043 CALEAAccreditation 20,303 6,076 15,000 2,304 16,500 4050 Investigative Expense 7,135 8,361 10,000 6,592 11,000 4101 Communication Services 107,752 110,046 90,000 37,829 95,000 4201 Postage 5,919 4,854 4,000 2,327 4,000 4420 Leased Equipment 92,095 74,130 78,000 28,706 108,000 4440 Copy Machine Costs - 904 4,000 1,180 4,000 4610 R&M- Vehicles 123,316 159,032 140,000 69,709 165,000 4645 R&M- Equipment 105,443 145,983 170,000 100,811 195,000 4650 R&M- Office Equipment 99,672 112,275 115,000 111,891 119,000 4701 Printing & Binding 5,196 9,446 5,000 2,128 5,000 rsus-total 607,491 685,102 662,000 379,108 755,5001 COMMODITIES 5101 Office Supplies 29,467 22,307 18,000 7,591 18,000 5115 Byrne Grant Match 5,149 1,761 - 1,559 - 5120 Computer Operating Supplies 12,116 5,301 8,000 3,562 10,000 5220 Gas & Oil 269,621 256,267 320,000 152,572 325,000 5240 Uniforms 28,798 31,974 35,000 26,136 40,000 5245 Uniform Allowance 51,384 53,385 50,000 28,261 50,000 5266 Photography 1,862 536 3,000 267 3,000 5270 Ammunition 9,362 12,578 20,000 6,920 40,000 5290 Operating Supplies 31,778 41,649 80,000 13,567 80,000 rSli6total 439,537 425,758 534,000 240,435 566,0001 OTHER OPERATING EXPENSES 5410 Subscriptions & Mem berships 6,010 6,149 6,000 2,992 6,000 5430 Educational Assistance 1,594 1,545 7,000 350 5,000 5450 Training 31,092 62,248 30,000 19,127 35,000 5901 Contingency 1,240 225 2,000 - 2,000 5904 Hurrica ne 2,149 - - - - C.~ 42,085 70,167 45,000 22,469 48,000 , SulJtotai I Total Public Safety $ 10,872,544 $ 11,529,167 $ 12,372,192 $ 5,839,340 $ 13,395,6231 2-53 PUBLIC SAFETY BUDGET JUSTIFICATIONS 1390 Court Time - This line item is used to fund overtime and standby court time. 1401 Overtime - This request reflects anticipated expenditures based on activity and manpower requirements over and above normal hours in a work week. The expenditures from this account fund anticipated and unanticipated events such as major criminal investigations, natural and manmade disasters, holiday details, homeland security and various dignitary details. 1410 Holidav Pav - This request reflects estimated costs with funding holiday pay for shift employees. 1501 Police Incentive Pav - This is mandated by the State for rewarding sworn personnel who have obtained additional education. 3180 Medical Exams - All police officers are required to have a physical exam prior to employment. 3192 Professional Services - Costs associated with outsourcing the administration of off duty details for the department and document imaging. 4042 Recruitinq & Hirinq Expenses - Funds have been allocated to assist the Department with recruitment of personnel and pay for psychological screening. 4043 CALEA Accreditation - Costs associated with the Department becoming nationally accredited with the Commission Accreditation of Law Enforcement Agencies. 4050 Investiqative Expenses - Costs associated with the Detective Bureau to complete complex criminal investigations. 4101 Communication Services - Costs for pagers, mobile phones, cellular lines for data transmission, automated vehicle locator, computer system communications and other communication devices. 4420 Leased Equipment - Covers costs for leased equipment, vehicles and motorcycles. 4610 R&M Vehicles - Covers costs associated with the repair and maintenance of department vehicles. Costs include preventative maintenance, damage repair and replacement of worn and/or broken parts not covered under warranty. 4645 R&M Equipment - Funds allocated to this account will be used for repair and maintenance of Police Department radios, Reverse R911 system, computers, DDSI, Dictaphone, Looking Glass mapping system and other equipment. 2-54 4650 R&M Office Equipment - This account covers the cost of the HTE/SCA software maintenance and upgrades. It also covers the maintenance on the IBM printer. 4701 Printinq - This account covers the cost of printing of materials for the police department used in official police or city business. Items in this account include business cards, domestic violence pamphlets and letterhead. 5240 Uniforms - This account is used for the initial issuance of all uniforms and accessories worn by both police and civilian personnel of the Police Department. 5245 Uniform Allowance - Each employee required to wear a uniform receives $300.00 for uniform maintenance and cleaning. This account is paid out 50% in October and 50% in April each fiscal year. 5266 Photoqraphv - Funds from this account are used to purchase film or related supplies and film developing for crime scene or other department related photos. 5270 Ammunition - Funds from this account pay for duty and training ammo for police officer use. 5290 Operatinq Supplies - Funds from this account are used for the purchase of supplies and items needed for the daily operation of the police department. 5410 Subscriptions & Memberships - Costs associated with this line item are subscriptions to professional journals, training materials used to update employees on changing laws and procedures within their activity, and membership in professional and regional law enforcement organizations. International Association of Chiefs Florida Police Chiefs Association Dade Chiefs of Police Association FBI National Academy Associates 5420 Conferences & Seminars - Funding for this purpose is essential to keep informed of changing laws and updates in the field of law enforcement. 5450 Traininq - Costs associated with this account are related to maintain state standards and having a highly trained, professional police force. 2-55 2-56 ~ ~.!' '" e~ .; &~eIIP COMMUNITY DEVELOPMENT CITY OF AVENTURA I COMMUNITY DEVELOPMENT I 2008/09 I DEPARTMENT DESCRIPTION I This Department is composed of two divisions: The Planning and Zoning division is responsible for the City's planning, zoning, development review and economic development functions. The Building Division is responsible for building permitting and inspections, code and ordinance enforcement and the issuance of Local Business Tax Receipts. This Department strives to provide efficient and professional "one-stop" customer service at a centralized location. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 591,727 $ 618,162 $ 669,869 $ 315,107 $ 669,941 3000/3999 Contractual Services 1,846,489 1,760,655 850,000 737,559 650,000 4000/4999 Other Charges & Services 79,123 106,782 92,700 17,127 92,700 5000/5399 Commodities 15,099 15,404 19,000 7,653 21,700 5400/5499 Other O~g~penses 4,947 5,706 11,900 3,002 11,400 I Total O~erating Ex~enses $ 2,537,385 $ 2,506,709 $ 1,643,469 $ 1,080,448 $ 1,445,7411 ._- I PERSONNEL-ALLOCATION'SUMMARY I Position No. Position Title 2005/06 2006/07 2007/08 2008/09 4001 Planning Director 1 1 1 1 8901 Code Com pliance Officer II/Zoning Review 1 1 1 1 4101 Code Com pliance Officer 1 1 1 1 4401 Senior Planner 1 - - - 9001 Executive Assistant/Planning Technician 1 1 1 1 4201 Building Director/Official(P/T) 1 1 1 1 3202-3204 Customer Service Rep I 3 4 3 2 3601 Customer Service Rep II 1 1 2 2 Total 10 10 10 9 2-57 Community Development Department Organization Chart Building Division Planning Division Building Director/Official Planning Director ] I - Inspections& Executive Permitting Assistall'll r-- Planning Contractual Building Review Technician - and Inspection Services Planning Contractual Planner 2 Custom er Service Rep II f-- - 1 Custom er Service Rep I Code Code Compliance Enforcemen Officer II f--- Code Compliance Officer I Customer Service L-- Rep / Compl/lnspect Local Business Tax Receipts 2-58 CITY OF AVENTURA I COMMUNITY DEVELOPMENT I 2008/09 I OBJECTIVES I 1. Continue to provide customer-focused technical assistance to the community 2. Provide staff support for land development and variance applications and requests 3. Provide staff support for the Building Division to receive and process building permit and contractors' license applications 4. Provide staff support to ensure efficient issuance and maximize collection of Local Business Tax Receipts 5. Provide staff support to ensure compliance with City Code by residential and commercial development 6. Maintain privatized building inspection and review 7. Maintain an up-to-date listing of existing businesses in the City 8. Provide building inspections within 24 hours of the request 9. Complete non-complex building plan review within 10 days 10. Provide all building, planning, zoning and local business tax receipt applications on the City's website for download 11. Continue to provide inspection services on the City's website 12. Provide H.T.E. modules for credit card base for payment in person and by internet 13. Prepare and implement Education Element and Water Supply Facilities Element as part of the City's Comprehensive Plan in accordance with State statute 14. Update procedural manual for all divisions of the department ACTUAL ACTUAL PROJECTED ESTIMATE 2005/06 2006/07 2007/08 2008/09 No. of Local Business Tax Receipts Issued 3,306 2,978 3,500 3,500 No. of Code Notice of Violations Issued 170 199 350 300 No. of Special Master Hearings 0 0 5 25 No. of Building Permits Issued 3,258 4,588 3,500 3,200 No. of Building Inspections Performed 10,128 13,891 11,000 9,000 No. of Land Development Petitions Processed 15 19 12 10 No. of Variance Requests Processed 3 3 3 3 No. of Site Plans Reviewed 11 7 8 8 % of Inspections Performed 24 Hrs. of Request 91 93 95 95 % of all Plan Review Conducted Within 10 Days 80 91 90 95 2-59 CITY OF AVENTURA COMMUNITY DEVELOPMENT 2008/09 BUDGETARY ACCOUNT SUMMARY 001-4001-524 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1201 Em ployee Salaries $ 418,736 $ 433,581 $ 470,049 $ 219,257 $ 470,691 1401 Overtime 1,414 2,616 1,500 342 500 2101 RCA 31,946 33,191 35,959 16,537 36,008 2201 Pension 49,870 53,267 58,309 26,390 58,346 2301 Health, Life & Disability 70,455 82,683 92,764 47,015 92,648 2401 Workers' Com pens at ion 19,306 12,824 11,288 5,566 11,747 C--~..,- 591,727 618,162 669,869 315,107 669,941 , SulJtotal CONTRACTUAL SERVICES 3101 Building Inspection Services 1,753,855 1,636,895 780,000 703,502 580,000 3190 Prof. Services 92,634 123,760 70,000 34,057 70,000 rs'Ulitotal 1,846,489 1,760,655 850,000 737,559 650,000 1 OTHER CHARGES & SERVICES 4001 Travel & Per Diem 2,557 3,437 4,000 2,433 4,000 4041 Car Allowance 3,000 4,650 4,800 2,400 6,000 4101 Communication Services 2,686 2,044 3,200 646 2,000 4420 Lease Equipment 1,981 2,136 1,700 643 1,700 4610 R&M - Vehicles 2,500 2,517 3,000 1,512 3,000 4645 R&M - Equipment 1,103 515 1,000 - 1,000 4701 Printing 21,492 21,766 15,000 8,901 15,000 4730 Records Retention 43,804 69,717 60,000 592 60,000 rSu~total 79,123 106,782 92,700 17,127 92,700 1 COMMODITIES 5101 Office Supplies 7,304 7,087 7,500 3,090 7,500 5120 Com puter Operating Supplies 1,772 817 2,500 353 2,500 5220 Gas & Oil 5,406 7,494 6,000 3,640 7,200 5240 Uniforms 110 - 500 - 500 5245 Uniform Allowance - - - - 1,500 5290 Other Operating Supplies 507 6 2,500 570 2,500 rSubtotal- - 15,099 15,404 19,000 7,653 21,700 , OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 1,646 2,126 3,500 350 3,500 5420 Conferences & Seminars 2,059 2,660 3,400 1,533 3,400 5450 Training 819 920 4,000 1,119 4,000 5901 Contingency 423 - 1,000 - 500 rSubtotai 4,947 5,706 11,900 3,002 11,400 I 1 Total Community Development $ 2,537,385 $ 2,506,709 $ 1,643,469 $ 1,080,448 $ 1,445,7411 2-60 COMMUNITY DEVELOPMENT BUDGET JUSTIFICATIONS 3101 Buildinq Inspection Services - Estimated costs associated with private firm to perform building inspection services. 3190 Professional Services - Costs associated with utilizing professional planning consulting services and a temporary file clerk is also included to prepare files for scanning. 4420 Lease Equipment - This budget item is included to cover costs associated with leasing a copier. 4730 Records Retention - Estimated costs for imaging building permit records. 5240 Uniforms - This includes uniform maintenance and work shoes for the Code Compliance Officers. 5410 Subscriptions & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. American Planning Association Florida Planning Association American Institute of Certified Planners Florida Association of Code Enforcement Building Officials Association Miscellaneous subscriptions Florida Association of Business Tax Officials 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in the field of planning, economic development and code enforcement. 2-61 2-62 ~ '#' ~ ~ eel'~ 01 &%t COMMUNITY SERVICES CITY OF AVENTURA I COMMUNITY SERVICES I 2008/09 I DEPARTMENT DESCRIPTION I This department is responsible for the maintenance of roads, public areas and facilities, beautification projects, community recreation and cultural activities, special events programming, implementation of mass transit programs and park development. The department is organized to provide a wide scope of public works operations, transportation services, cultural and recreation programs and special events on a quality basis. OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 815,681 $ 949,401 $ 1,355,716 $ 543,126 $ 1,357,482 3000/3999 Contractual Services 3,016,400 2,212,004 1,739,297 867,541 1,833,000 4000/4999 Other Charges & Services 1,358,834 1,395,432 997,500 463,909 977,500 5000/5399 Commodities 25,304 30,587 28,500 14,231 32,500 5400/5499 Other O~g..~'pens~s 7,539 11,465 40,750 11,585 30,500 I Total Operating Expenses $ 5,223,758 $ 4,598,889 $ 4,161,763 $ 1,900,392 $ 4,230,9821 I PERSONNEL ALLOCATION SUMMARY I Position Nc Position Title 2005/06 2006/07 2007/08 2008/09 5001 Director of Community Services 1 1 1 1 3004 Executive Assistant 1 1 1 1 5101 Public Works Operations Manager 1 1 1 1 5201 Parks and Recreation Services Supt. 1 1 1 1 5901 Recreation/Cultural Activities Programmer 1 1 1 - 5401 Maintenance Worker 1 1 1 1 5301 Engineer Tech/CAD Operator 1 1 1 1 5601 Park Supervisor 1 1 1 1 5701-5714 Park Attendant (P/T) 6 9 14 14 5801-5803 Park Attendant (FIT) 1 2 3 3 7701 Facilities Manager 1 1 1 1 7201 Security Guard/Info Officer 1 1 1 1 1011 Parks and Recreation Activities Manager - - 1 1 1021 Community Rec Center Manager - - 1 1 Community Rec Center Asst. Manager - - 1 - 1041 Community Rec Center Supervisor - - 1 1 1051 eRe Assistant Manager/Special Events Coordinator - - - 1 Total Full Time 11 12 17 16 Total Part time 6 9 14 14 2-63 Community Services Department Organization Chart Director Parks and Recreation Cultural Programs of Special Events Founders Park Community Veterans Park Public Works Services Waterways Park GI S/MappinglPermitti ng Volunteer Corps Beautifi cation/Landscaping Transportation Services Community Buildings & Facilities Executive Community! Recreation Center Fleet Management Assistant I I I I I Public Works Contractual Contractual Parks & Contractual Operations Consulting Landscape Recreation Shuttle Bus Manager Engineer Architect Services Supt. Operator I I Landscape Facilities Community Rec Parks & Rec. Park Supervisor Eng. Tech/CADD Manager Operator Contractor Center Manager Activities Mgr. I I Contractual I Ass't eRC Street Maintenance Maintenance Contractual Mgr/Special Park Attendant Contractual Worker I Facility Events FIT (3) Park Maintenance Coordinator Maintenance Contractual Fleet CRC Supervisor Maintenance Security/Info HVAC Attendants Park Attendant Contractual Officer Mech/Janitorial PIT (11) Athl eti cs Life Safety PT(3) Contractual I I Electrical Maintenance Contractual Building Trades Tennis Pro Total: 16 Full-time Employees 14 Part-time Employees 2-64 CITY OF AVENTURA I COMMUNITY SERVICES I 2008/09 I OBJECTIVES I 1. Provide accurate and quick responses to resident complaints and concerns. 2. Work with Community Services Advisory Board to provide quality programs and services. 3. Implement approved operating and CIP Budget. 4. Continue Tree City USA Status. 5. Conform to NPDES stormwater standards. 6. Expand ridership and improve customer service on City-wide shuttle bus service. 7. Expand Community Recreation Center membership base. 8. Institute social responsibility element into all recreation programs and events. 9. Expand recycling program to City facilities, parks and CRC. I PERFORMANCE WORKLOAD INDICATORS I ACTUAL ACTUAL PROJECTED ESTIMATE 2005/06 2006/07 2007/08 2008/09 Resident complaints & concerns cleared 60 72 72 84 Advisory Board Meetings attended 12 12 12 12 CIP projects completed 6 4 4 4 Tree City re-certification 1 1 1 1 Stormwater basins/systems cleaned for compliance 45 45 45 45 Shuttle bus ridership 146,506 165,000 170,000 180,000 Number of CRC memberships 1,900 2,100 4,200 4,500 Number of participants involved 500 Number of receptacles stationed at parks and CRC 25 2-65 CITY OF AVENTURA COMMUNITY SERVICES 2008/09 BUDGETARY ACCOUNT SUMMARY 001-5001-539 OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1201 Employee Salaries $ 563,266 $ 666,491 $ 940,531 $ 380,121 $ 974,150 1401 Dve rtim e 10,920 9,810 8,000 2,591 8,000 2101 RCA 42,046 50,366 72,853 27,153 74,522 2201 Pension 70,579 84,482 114,760 48,748 118,535 2301 Health, Life & Disability 91,881 105,025 180,354 69,752 156,038 2401 Workers' Compensation 36,989 33,227 39,218 14,761 26,237 rSubtotal 815,681 949,401 1,355,716 543,126 1,357,482 I CONTRACTUAL SERVICES 3110 Prof. Services - Engineering 149,131 180,492 - - - 3112 Prof. Services - Comm unity Center 165,651 194,716 - - - 3113 Prof. Services - Comm. Cen.lnst. 93,580 84,070 70,000 53,572 75,000 18000 Prof. Services - Landscape Arch. 33,574 28,672 20,000 7,280 18,000 3450 lands/Tree Maim. Svcs - Streets 1,700,820 1,186,031 973,797 435,509 1,015,000 3451 Sea utificationlS ignage 104,218 71,349 50,000 17,123 65,000 3452 lands/Tree Maim. Svcs - Parks 130,000 130,633 302,500 69,585 315,000 3455 Transportation Services 477,815 326,872 323,000 284,472 345,000 3460 Street M a inte na nee/Ora inag.:....- 161,611 9,169 - - - rSu5total 3,016,400 2,212,004 1,739,297 867,541 1,833,000 I OTHER CHARGES & SERVICES 4001 Travel & Per Diem 2,501 548 2,500 701 2,500 4101 Communication Services 8,268 6,498 12,000 4,684 12,000 4301 Utilities - Electric 44,229 76,748 60,000 29,595 62,500 4311 Utilities - Street Lighting 192,993 214,382 185,000 74,953 185,000 4320 Utilities - Water 346,044 281,845 275,000 90,546 235,000 4420 Lease 7,336 7,427 7,000 631 2,000 4610 R&M - Vehicles 7,581 3,187 2,500 1,136 2,500 4620 R&M - Buildings 97,798 73,510 70,000 25,981 75,000 4645 R&M - Equipment - - - - 10,000 4672 R&M - Parks 30,150 46,003 70,000 20,051 70,000 4691 R&M - Streets 72,343 87,888 10,000 1,560 12,500 4701 Printing & Binding 18,069 28,984 22,500 5,326 22,500 4850 Special Events 65,285 96,241 46,000 19,680 46,000 4851 Cultural/Recreation Programs 119,806 127,281 100,000 69,892 105,000 4852 Founders Day Activities 172,299 134,689 60,000 50,068 60,000 4854 Summer Recreation 174,132 210,201 75,000 69,105 75,000 I Subtotal 1,358,834 1,395,432 997,500 463,909 977,500 I COMMODITIES 5101 Office Supplies 5,052 4,076 5,000 2,851 6,000 5120 Com puter Operating Supplies 4,977 4,938 5,000 3,625 7,000 5220 Gas & Oil 6,492 7,002 6,000 3,552 8,000 5240 Uniform s 6,559 6,711 8,000 4,103 8,000 5290 Other Operating Supplies 2,224 7,860 4,500 100 3,500 C ..~'-- 25,304 30,587 28,500 14,231 32,500 I SulJtotal 2-66 OTHER OPERATING EXPENSES 5410 Subscriptions & Memberships 1,567 2,076 2,250 938 2,500 5420 Conferences & Seminars 2,377 971 3,000 (202) 3,000 5450 Training 3,132 7,077 9,500 5,207 10,000 5901 Continge:ncy 463 1,341 26,000 5,642 15,000 I SubtOtai 7,539 11,465 40,750 11,585 30,500 I Total Community Services $ 5,223,758 $ 4,598,889 $ 4,161,763 $ 1,900,392 $ 4,230,982 2-67 COMMUNITY SERVICES BUDGET JUSTIFICATIONS 3150 Professional Services Landscape Architect - Provides funding for professional landscape architect consulting services to assist the Department with landscaping projects; inspections; coordination with landscape contractor; and other projects as assigned. 3450 Landscape Services - Provides for costs associated with contracting tree, landscape, irrigation and flower maintenance services for all public right-of-ways and medians. 3451 Beautification/Siqnaqe - Establishes funding for banners, one banner changeout per year, and replacement signs. Funding request includes replacement flags, signage, banners and associated hardware and costs associated with the FEC Lease. 3452 Landscape/Tree Maintenance Services - Parks - Provides funding for contracting maintenance services for Founders Park, Waterways and Veterans Park. Services include: grounds maintenance; tree maintenance; athletic field maintenance. 3455 Transportation Services - Funding level includes providing five mini-bus public transit routes six days per week on a contractual basis, including the printing costs for rout schedules. Transit system links the residential areas to community, retail, and medical establishments, as well as Miami-Dade and Broward Countyroutes. 4311 Utilities Street Liqhtinq - Provides funding for services associated with street lighting in various areas of the City. 4320 Utilities Water - Provides funding for purchasing water for irrigating the medians, swales and right of ways in the City. 4620 R&M Buildinqs - Provides for funding the necessary building maintenance services to the Community Recreation Center the two small buildings at Founders Park, and the Waterways Park Building for the following services: air conditioning maintenance contract; pest control; fire alarm system monitoring and maintenance; roof inspections; plumbing and electrical repairs; janitorial services for the CRC; security system monitoring and maintenance and annual gymnasium floor maintenance. 4672 R&M Parks - Provides funding for repair and maintenance of park amenities and equipment. 4691 R & M Streets - Provides funding for services utilized in the maintenance of streets, sidewalks and drainage. 2-68 4850 Special Events - This figure represents funding for events related to community wide, annual events to enhance civic pride and improve the quality of life for the residents: Halloween Harvest, Veterans Day, Arbor Day and July 4th fireworks. 4851 Cultural & Recreation Proqrams - Provide for costs associated with senior recreation programming for trips to local venues, performing arts and classical music. This line item also funds recreation programs and youth athletics. All costs are offset by registration fees. 4852 Founders Dav Activities - Provides for funding for activities, games and entertainment for Founders Day activities from 12 noon - 5 PM. 5410 Subscriptions & Memberships - Provides for funding memberships in the American Public Works Association and the Florida and National Recreation and Parks Association for staff. 5420 Conferences & Seminars - Provides for funding for attending the following conferences: American Public Works Association, Florida Recreation and Parks Association, National Recreation and Parks Association, Nation Youth Sports Coaches Association, customer service training, and local seminars. 2-69 ARTS & CUL TURAL CENTER 2-70 CITY OF AVENTURA I ARTS AND CULTURAL CENTER I 2008/09 I DEPARTMENT DESCRIPTION I This department is responsible for the operations and programming of the new Arts and Cultural Center scheduled to open in January 2010. OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008109 1000/2999 Personal Services $ - $ - $ - $ - $ 86,361 3000/3999 Contractual Services - - - - 5,000 4000/4999 other Charges & Services - - - - 4,000 5000/5399 Com modities - - - - 500 5400/5499 other O~g Expenses - - - - 1,500 I Total Operating Expenses $ - $ - $ - $ - $ 97,361 I I PERSONNEL ALLOCATION SUMMARY I Position Nt Position Title 2005/06 2006/07 2007/08 2008109 Arts & Cultural Center Director - - - 1 Total Full Time - - - 1 2-71 CITY OF AVENTURA I ARTS-&-COCTURALCENTER I 2008/09 BUDGETARY ACCOUNT SUMMARY 001-7001-575 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 PERSONAL SERVICES 1201 Employee Salaries $ - $ - $ - $ - $ 60,000 1401 Overtime - - - - - 2101 RCA - - - - 4,590 2201 Pension - - - - 8,400 2301 Health, Life & Disability - - - - 13,156 2401 Workers' Com pensation - - - - 215 I Subtotal - - - - 86,3611 CONTRACTUAL SERVICES 3190 Prof. Services - - - - 5,000 rSu~total - - - - 5,0001 OTHER CHARGES & SERVICES 4001 Travel & Per Diem - - - - 2,000 4101 Communication Services - - - - 2,000 4301 Utilities - - - - - 4620 R&M - Buildings - - - - - 4645 R&M - Equipment - - - - - I Subtotal - - - - 4,000. COMMODIllES 5101 Office Supplies - - - - 500 5290 Other Operating Supplies - - - - - rSubTorn- - - - - - 5001 OTHER OPERATING EXPENSES 5410 Subscriptions & Mem berships - - - - 500 5420 Conferences & Seminars - - - - 1,000 I Subtotal - - - - 1,500. I Total Arts & Cultural Center $ - $ - $ - $ - $ 97,3611 2-72 ARTS AND CULTURAL CENTER BUDGET JUSTIFICATIONS 3190 Professional Services - Costs associated with utilizing professional consulting services to assist with startup operations and planning. 5410 Subscriptions & Memberships - This line item is used to fund memberships with professional organizations and subscriptions. 5420 Conferences & Seminars - Funding for this purpose is essential in order to keep informed of changing and new developments in operating a cultural arts facility. 2-73 2-74 ~ , ~~ ~ $'~ eq~ 01 &~ NON DEPARTMENTAL CITY OF AVENTURA I NON-DEPARTMENTAL-TRANSFERS I 2008/09 BUDGETARY ACCOUNT SUMMARY I 001-9001-581 I OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 TRANSFERS 9123 Transfer to Debt Service Fund -1999 $ 1,329,523 $ 1,346,410 $ 1,346,409 $ 678,750 $ 1,363,557 9124 Transfer to Debt Service Fund - 2000 487,000 483,239 483,250 241,150 491,390 9125 Transfer to Debt Service Fund - 2002 401,000 398,848 396,926 201,000 402,082 9170 Transfer to Cultural Center Con. Fund - - - - 2,000,000 I Total Non-DeRartmental- Transfers $ 2,217,523 $ 2,228,497 $ 2,226,585 $ 1,120,900 $ 4,257,029 I NON-DEPARTMENTAL TRANSFERS BUDGET JUSTIFICATIONS 9123 Transfer to Debt Service Fund - Represents debt service amounts required to fund the Florida Municipal Loan Council Loan for the Government Center. 9124 Transfer to 2000 Loan Debt Service Fund - Transfer to 2000 Loan Debt Service Fund for required interest and principal on that Loan. 9125 Transfer to 2002 Loan Debt Service Fund - Transfer to 2002 Loan Debt Service Fund for required interest and principal on that Loan. 9129 Transfer to Arts & Cultural Construction Fund - Transfer to Arts & Cultural Construction Fund to assist in project funding. 2-75 CITY OF AVENTURA I NON-DEPARTMENTAL I 2008/09 BUDGETARY ACCOUNT SUMMARY I 001:S"c50"1:590 I OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CONTRACTUAL SERVICES 3156 Performing Arts Center Study $ 19,358 $ 17,837 $ - $ - $ - 3410 Prof. Services -Janitorial 67,054 67,343 55,000 31,200 62,000 I Subtotal 86,412 85,180 55,000 31,200 62,000 I OTHER CHARGES & SERVICES 4101 Comm unication Services 98,453 97,519 106,000 55,302 115,000 4201 Postage 22,510 25,172 26,000 8,956 22,000 4301 Utilities 276,912 313,059 240,000 117,811 270,000 4320 Water 31,668 - - - - 4440 Copy Machine Costs 13,045 10,342 20,000 5,812 15,000 4501 Insurance 839,532 1,129,971 1,050,000 511,605 1,075,000 4620 R&M - Government Center 109,159 104,399 102,000 47,531 124,000 4650 R&M - Office Eq~pm ent - 160 2,000 - 2,000 I Subtotal 1,391,279 1,680,622 1,546,000 747,017 1,623,000 I COMMODITIES 5290 Other Operating~pplies 8,095 11,643 10,000 4,377 10,000 I Subtotal 8,095 11,643 10,000 4,377 10,000 I OTHER OPERATING EXPENSES 5901 Contingency 29,451 41,055 50,000 3,246 50,000 5904 Hurricane/Storm Ex p 1,463,663 95,106 97,185 11,877 - I Subtotal 1,493,114 136,161 147,185 15,123 50,000 I I Total Non-De~artmental $ 2,978,900 $ 1,913,606 $ 1,758,185 $ 797,717 $ 1,745,000 I 2-76 NON-DEPARTMENTAL BUDGET JUSTIFICATIONS 3410 Janitorial Services - Costs for Government Center. 4101 Communication Services - Costs associated with telephone service, internet access, web pages, and other communication type services for Government Center. Includes Intertel maintenance and Wireless data service. 4301 Utilities - Costs associated with electricity, water, sewer and refuse service for the Government Center. 4501 Insurance - Liability and property insurance coverage for all City owned or leased facilities and equipment and all employees and officers. 4620 R & M Government Center - Costs of maintaining service contracts for mechanical systems within the Government Center. 4650 R & M Office Equipment - Costs of maintaining service contracts on all office equipment located at the Government Center. 2-77 2-78 ~ , ~~ ~ $'~ eq~ 01 &~ CAPITAL OUTLAY CITY OF AVENTURA I CAPITAL OUTLAY I 2008/09 PROJECT APPROPRIATION I 001~OXX I OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Citv Manaqer's Office - 05-512 6402 Computer Equipment<$5,000 $ 7,126 $ 2,726 $ 4,000 $ 2,495 $ 4,000 r-subiOiai" - 7,126 2,726 4,000 2,495 4,000 I Citv Clerk - 08-519 6402 Computer Equipment<$5,000 - 7,044 3,000 - 3,000 r-subiOiai" - - 7,044 3,000 - 3,000 I Finance -10-513 6401 Computer Equipment>$5,000 48,455 33,369 - - - 6402 Computer Equipment<$5,000 - - 6,080 550 3,000 6410 Equipment 3,158 2,266 20,000 573 - rsubtotal 51,613 35,635 26,080 1,123 3,000 I Information Technolo~JV. -12-513 6401 Computer Equipment>$5,000 - 119,417 157,583 11,741 115,000 6402 Computer Equipment<$5,000 - - - - 6,000 6410 Equipment>$5,000 - - - - 15,000 rSubtotal - 119,417 157,583 11,741 136,000 I Public Safetv - 20- 521 6303 Safety Improvements - - - 1,150 - 6402 Computer Equipment<$5,000 27,474 284,112 206,859 36,708 138,000 6404 Dade Chiefs Byrne Grant 67,190 (43) - - - 6405 E911 Equipment 83,190 215,322 66,524 6,185 90,000 6407 Radio Purchase & Replace. 162,648 366,571 354,449 40,142 216,000 6410 Equipment>$5,000 - - - - 70,000 6411 Equipment<$5,000 - - - - 11,500 6412 SCBA Grant - 50,000 - - - 6417 Electronic LEO Prints - 10,000 - - - 6450 Vehicles 320,897 405,957 368,268 328,470 324,000 I Subtotal 661,399 1,331,919 996,100 412,655 849,500 I Community Development -40-524 6401 Computer Equipment>$5,000 - - - - 44,000 6402 Computer Equipment<$5,000 7,474 7,196 8,000 - 3,500 6411 Equipment<$5,000 4,401 - 1,600 981 800 6450 Vehicles - - - - - I Subtotal 11,875 7,196 9,600 981 48,300 I 2-79 Com m unitv Services - 50-539/541/572 6402 Computer Equipment<$5,000 32,128 4,748 44,715 16,042 12,000 6410 Equipment>$5,000 2,033 - 63,000 5,134 58,500 6450 Vehicles - - - - - 6301 Beautification Projects 297,380 123,304 701,688 16,668 13,000 6305 Road Resurfacing - - - - - 6307 Lighting Improvements 40,470 17,150 - - - 6341 Transportation System Impro 500,514 2,690,858 58,966 36,920 689,000 6352 Hurricane Landscape Reston 1,306,168 99,031 - - - 6205 Community Center 23,502 24,414 5,500 5,190 5,500 6231 NE 31 Avenue Park Developm - - - 64,039 - 6310 Aventura Founders Park 261,424 567,462 6,360 - - 6313 Country Club Drive Tennis CoI - - - - - 6316 Holiday Lighting - Govt Center 49,400 - - - - 6322 Waterways Park Improvemer 2,251 2,607 1,750,000 535,604 - I Subtotal 2,515,270 3,529,574 2,630,229 679,597 778,000 1 Charter School- 69-569 6307 Charter School Addition 46,043 397,136 - - - I Subtotal 46,043 397,136 - - -I Cultural & Arts Center -70-575 6401 Computer Equipment - - - - - Di~- - - - - -I Subtotal Non-Departmental- 90-590 6208 BuildinglEquipment 217,015 47,334 - - - 6999 Capital Reserve - - 16,547,117 - 16,500,000 ,Subtotal 217,015 47,334 16,547,117 - 16,500,000 I I Total Cae~al $ 3,510,341 $ 5,477,981 $ 20,373,709 $ 1,108,592 $ 18,321,800 I 2-80 CAPITAL PROJECT DESCRIPTIONS OFFICE OF THE CITY MANAGER 6402 Computer Equipment <$5.000 - This project consists of upgrading and replacing computer equipment. CITY CLERK 6402 Computer Equipment <$5.000 - This project consists of upgrading and replacing computer equipment. FINANCE 6402 Computer Equipment <$5.000 - This project consists of upgrading computer equipment in the Finance Department in the amount of $3,000. INFORMA nON TECHNOLOGY 6401 Computer Equipment >$5.000 - This project consists of expanding and upgrading the City's general information systems, which is used by all City Departments. 6402 Computer Equipment <$5.000 - This project consists of upgrading computer equipment. 6410 Equipment - This project consists of a supplemental air-conditioning unit for the server room. PUBLIC SAFETY 6402 Computer Equipment <$5.000 - This project consists of purchasing computer equipment and software that utilizes the latest technology for the Police Department. The primary system consisting of CAD dispatch, records management and mobile laptop computer capabilities will requires expansion during the year to accommodate growth and required upgrades. Upgrades Replace 15 Mobile Laptops Replace Server 3 Toughbooks (K-9) 30,000 45,000 5,000 12,000 15 Desktop Computers Vehicle Modems 20 Vehicle Printers 20,000 6,000 20,000 6407 Radio Equipment - This project consists of purchasing 10 handheld and 10 mobile radios, conversion to digital and upgrades to the 800 MHz system and E911 system to accommodate the communication needs of the Police Department. 6450 Vehicles - This project consists of purchasing police vehicles to accommodate the vehicle replacement program in the Police Department. Replace 12 Patrol Vehicles. COMMUNITY DEVELOPMENT 6401 Computer Equipment >$5.000 - This project consists of upgrading and replacing computer equipment. 2-81 6402 Computer Equipment < $5.000 - This project consists of purchasing a credit card system and server and upgrades to the Business Tax License program. 6410 Equipment <$5,000 - This project consists of purchasing a vertical plan file. COMMUNITY SERVICES 6402 Computer Equipment < $5.000 - This project consists of upgrading and replacing computer equipment. 6410 Equipment >$5.000 - This project consists of purchasing 1 utility vehicle, 1 pickup truck and a treadmill and elliptical machine. 6301 Beautification Proiects - This program consists of replacing benches and trash cans. 6205 Communitv Center Improvements - This project consists of providing equipment, computers and improvements at the Community Recreation Center. 12 Tables and Storage Carts $4,500 6 Card Tables 1,000 6341 Transportation Svstem Improvements - This project includes improvements to the City's transportation and traffic system. The major components of this project is the implementation of the recommendations from the Traffic Advisory Board and staff. 2008/09 NE 19151 Street/Biscayne Boulevard - Re-stripe the westbound approach to provide triple westbound left turns and one (1) exclusive right-turn lane. This will require additional right-of-way on the north side of the street. Remove the first center median and modify the signal timing to improve turning movements. $507,000 NE 1991h Street/West Country Club Drive - Add right turning lane. $182,000 2-82 2-83 .;) 'J' ~ ~ @"li' .{ &~ POLICE EDUCA TION FUND CITY OF AVENTURA I POLICE EDUCATION FUND 110 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This Fund is used to account for revenues and expenditures associated with the two dollars ($2.00) the City receives from each paid traffic citation, which, by State Statute, must be used to further the education of the City's Police Officers. REVENUE PROJ ECllONS OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Perm its - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures 5,478 8,442 4,300 2,767 4,300 360000/369999 Miscellaneous Revenues 235 48 - 52 - 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance 8,000 - 4,601 4,601 - I Total Available $ 13,713 $ 8,490 $ 8,901 $ 7,420 $ 4,300 I EXPENDITURES OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses 10,449 9,326 8,901 2,541 4,300 I Total ORe rating EXRenses 10,449 9,326 8,901 2,541 4,300 I 6000/6999 Capital Outlay - - - - - r Total ExRenditures $ 10,449 $ 9,326 $ 8,901 $ 2,541 $ 4,300 I 2-84 CITY OF AVENTURA I P"(jCICE~ED(JC;O;Trdlif FUND-f1 0 I 2008/09 REVENUE PROJ ECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Fines & Forfeitures 3511000 Fines $ 5,478 $ 8,442 $ 4,300 $ 2,767 $ 4,300 r-Su~total 5,478 8,442 4,300 2,767 4,3001 Miscellaneous Revenues 3611000 Interest 235 48 - 52 - r-Su~total 235 48 - 52 -I Fund Balance 3999000 Carryover 8,000 - 4,601 4,601 - O:u~total 8,000 - 4,601 4,601 -I I Total Revenues $ 13,713 $ 8,490 $ 8,901 $ 7,420 $ 4,300 I EXPENDITURES 2001-521 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 OTHER OPERATING EXPENSES Public Safety 5450 Training $ 10,449 $ 9,326 $ 8,901 $ 2,541 $ 4,300 ~I Ex~enditures $ 10,449 $ 9,326 $ 8,901 $ 2,541 $ 4,300 I REVENUE PROJECTION RATIONALE 351395 Fine Assessed for Local Police Education - Two dollars ($2.00) is received from each paid traffic citation issued within the City's corporate limits, which, by law, must be used to further the education of the City's Police Officers. 2-85 2-86 TRANSPORTA TION AND STREET MAINTENANCE FUND CITY OF AVENTURA I TRANSPORTATION AND STREET MAINTENANCE FUND 120 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for restricted revenues and expenditures which by State Statute and County Transit System Surtax Ordinance are designated for transportation enhancements, street maintenance and construction costs. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues 1,563,773 1,665,741 1,610,000 592,896 1,636,000 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 6,335 8,918 1,910,000 43,175 10,000 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance 492,181 - 413,552 413,552 - I Total Available $ 2,062,289 $ 1,674,659 $ 3,933,552 $ 1,049,623 $ 1,646,000 I EXPENDITURES OBJECT APPROVED HALF YEAR OTYMANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services 143,071 1,017,973 1,046,487 372,491 1,101,000 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - r---TotaIOp-erating~p'enses 143,071 1,017,973 1,046,487 372,491 1,101,000 I 6000/6999 Capital Outlay 827,906 658,610 2,887,065 665,851 545,000 9000/9999 Transfers 629,535 - - - - I Total Expenditures $ 1,600,512 $ 1,676,583 $ 3,933,552 $ 1,038,342 $ 1,646,000 I 2-87 CITY OF AVENTURA I TRANsPORT A TION-AND~Sr.REsr'MAI NTENANcEFUND-i20 I 2008/09 REVENUE PROJ ECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Interaovernmental Revenues 3351200 State Revenue Sharing $ 170,781 $ 158,677 $ 175,000 $ 68,204 $ 180,000 3353001 Local Option Cap.lmpr. Gas Tax 125,823 159,868 130,000 52,313 135,000 3353010 Local Option Gas Tax 339,749 332,160 350,000 135,707 360,000 3383801 County Transit System Surtax 927,420 1,015,036 955,000 336,672 961,000 C .. .---",- 1 ,563,773 1,665,741 1,610,000 592,896 1,636,000 , Subtotal Miscellaneous Revenues 3611000 Interest 6,335 8,918 10,000 2,175 10,000 3644200 Sale of Assets - - 1,150,000 - - 3661000 Developer Contributions/Streets - - 750,000 41,000 - ~total 6,335 8,918 1,910,000 43,175 10,000. Fund Balance 3999000 Carryover 492,181 - 413,552 413,552 - O'"u~total 492,18) - 413,552 4,13,552 -. I Total Revenues $ 2,062,289 $ 1,674,659 $ 3,933,552 $ 1,049,623 $ 1,646,000 . EXPENDITURES 5001-541 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CONTRACTUAL SERVICES Comm unity Services - 50-541 3450 Landscape/Tree MaintlStreets $ - $ 652,040 $ 680,487 $ 370,603 $ 710,000 3455 Enhanced Transit Services 143,071 365,933 366,000 1,888 391,000 rSu~total 143,071 1,017,973 1,046,487 372,491 1,101,0001 CAPITAL OUTLAY Comm unity Services - 50-541 6305 Road Resurfacing 396,780 469,229 260,000 18,575 485,000 6307 Street Lighting 1m provo 315,323 38,331 - 141,968 - 6341 Transportation System 1m provo 115,803 151,050 2,387,000 505,308 - 6999 Capital Reserve - - 240,065 - 60,000 rSu~total 827,906 658,610 2,887,065 665,851 545,0001 TRANSFERS - 90-901 9101 Transfer to General Fund 629,535 - - - - r-'Sulitotal 629,535 - - - -. I Total ExRenditures $ 1,600,512 $ 1,676,583 $ 3,933,552 $ 1,038,342 $ 1,646,000 . 2-88 REVENUE PROJECTION RATIONALE 3351200 State Revenue Sharinq - Revenue received in this category represents a portion of the total State Revenue Sharing Funds. Their source is the motor fuel tax and is restricted to road construction and maintenance. Based on information from the State, it is anticipated that $180,000 will be received in the upcoming fiscal year. 3353001/3010 Local Option Gas Tax - The County has adopted two phases of the local option gas tax. The first phase is six cents per gallon on fuel and is collected by the State's Department of Revenue and remitted monthly based on a formula which provides a weight of 75% to population and 25% to center line mileage in each city. These funds must be used for transportation related expenditures. The second phase must be used for transportation expenditures needed to meet the requirements of the capital improvements elements of an adopted comprehensive plan. 3383801 Countv Transit Svstem Surtax - County voters approved a 1/2 percent sales tax increase for transportation needs that went into effect January 2003. As provided by County Ordinance the cities receive 20% of the proceeds based upon population. Based on information provided by the County it is anticipated that $961,000 will be received for the fiscal year. EXPENDITURE JUSTIFICATIONS 3450 Landscape Services - Provides for costs associated with contracting tree, landscape, irrigation and flower maintenance services for all public right-of-ways, and medians. 3455 Enhanced Transit Services - Funds will be used to fund required 20% of County Transit System Surtax for enhanced public bus transportation system beyond levels set in the 2001/02 budget and to fund the expanded transit service routes. 6305 Road Resurfacinq -This project consists of resurfacing Williams Island Road and NE 190th Street as part of the City's ongoing maintenance program. 2-89 ;l> , .~ ?,; JJ!'1i' e<l"~ _I &%' POLICE CAPITAL OUTLAY IMPACT FEE FUND 2-90 CITY OF AVENTURA I POLICE CAPITAL OUTLAY IMPACT FEE FUND 140 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was created to account for impact fees derived from new developments and restricted by Ordinance for Police capital improvements. This fund provides a funding source to assist the City in providing police services required by the growth in the City REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Perm its - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 93,906 39,314 65,000 1,128 1,000 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance 209,190 - 82,534 82,534 - I Total Available $ 303,096 $ 39,314 $ 147,534 $ 83,662 $ 1,000 I EXPENDITURES OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Ex pens:es - - - - - rTotal Op-erating~p'enses - - - - -I 6000/6999 Capnal Outlay 140,832 118,534 147,534 57,175 1,000 r Total Ex~enditures $ 140,832 $ 118,534 $ 147,534 $ 57,175 $ 1,000 I 2-91 CITY OF AVENTURA I POLICE CAPITAL OUTLAY IMPACT FEE FUND 140 2008/09 REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Miscellaneous Revenues 3611000 Interest $ 8,936 $ 4,788 $ - $ 1,128 $ - 3632200 Police Impact Fees 84,970 34,526 65,000 - 1,000 ,Su~total 93,906 39,314 65,000 1,128 1,000 Fund Balance 3999000 Carryover 209,190 - 82,534 82,534 - Q.ulJtotal 2Qg,190 - 82,534 82,534 - I Total Revenues $ 303,096 $ 39,314 $ 147,534 $ 83,662 $ 1,000 EXPENDITURES 2001-521 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CAPITAL OUTLAY Public Safety 6410 Equipment $ 140,832 $ 118,534 $ 140,300 $ 57,175 $ - r Suiitotai 140,832 118,534 140,300 57,175 - CAPITAL OUTLAY Non-Deoartmental- 590 6999 Capital Reserve - - 7,234 - 1,000 ISubtotal - - 7,234 - 1 , P.22.. I Total EXRenditures $ 140,832 $ 118,534 $ 147,534 $ 57,175 $ 1,000 2-92 REVENUE PROJECTION RATIONALE 3632000 Police Impact Fees - Represents fees collected from new development to pay for additional police and capital equipment costs caused by the impact of the development on services and the community. 2-93 2-94 PARK DEVELOPMENT FUND CITY OF AVENTURA I PARK DEVELOPMENT FUND 170 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund is used to account for revenues and expenditures specifically earmarked for capital improvements to the City's park system. The fund will account for impact fees derived from new developments and restricted by Ordinance for Park capital improvement projects. REVENUE PROJECTIONS OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 395,675 99,868 10,000 26,792 1,000 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance 1,080,778 - 1,895,417 1,895,417 320,000 I Total Available $ 1,476,453 $ 99,868 $ 1,905,417 $ 1,922,209 $ 321,000 EXPENDITURES OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - rTotal Op-erating.2p-enses - - - - - 6000/6999 Capital Outlay 106,353 177,837 1,905,417 1,079,438 71,000 9000/9999 Transfers - - - - 250,000 I Total EXRenditures $ 106,353 $ 177,837 $ 1,905,417 $ 1,079,438 $ 321,000 2-95 CITY OF AVENTURA I PARK'"DEVELOPME~TTFO~D170 I 2008/09 REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Miscellaneous Revenues 3611000 Interest $ 82,209 $ 94,054 $ - $ 26,792 $ - 3632700 Recreation 1m pact Fees 313,466 5,814 10,000 - 1,000 rSutitotal 395,675 99,868 10,000 26,792 1,0001 Fund Balance 3999000 Ca rryove r 1,080,778 - 1,895,417 1,895,417 320,000 o-utitotal 1,080,7,7,8 - 1,895,4.,17 1,895,4.11 320,000.1 I Total Revenues $ 1,476,453 $ 99,868 $ 1,905,417 $ 1,922,209 $ 321,000 . EXPENDITURES 5001-572 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CAPITAL OUTLAY Comm unity Services 6203 Waterways Park Improv. $ 106,353 $ 177,837 $ 1,000,000 $ 1,043,147 $ - 6204 Waterways Dog Park Improv. - - 378,000 35,507 - 6206 Veterans Park Modifications - - 258,000 - - 6313 Country Club Dr. Tennis Court - - 70,000 784 70,000 rSutJtOtaI 106,353 177,837 1,706,000 1,079,438 70,000, CAPITAL OUTLAY Non-Deoartmental- 572 6999 Capital Reserve - - 199,417 - 1,000 ISubtotal - - 199,417 - 1,0001 TRANSFERS - 90-701 Non-Deoartmental- 590 7001 Transfer to Arts Center Con Fun - - - 250,000 L..Sutitotal - - - - 250,000.1 I Total Expenditures $ 106,353 $ 177,837 $ 1,905,417 $ 1,079,438 $ 321,000 . 2-96 REVENUE PROJECTION RATIONALE 3632700 Recreation Impact Fees - This represents the amount anticipated from park impact fees required from new residential development in the City. CAPITAL PROJECT DESCRIPTION COMMUNITY SERVICES 6313 Countrv Club Drive Tennis Court Improvements - The improvements include tennis court renovations, windscreens, fencing, water fountain, shade awnings and trash facilities. 9129 Transfer to Arts & Cultural Construction Fund - Transfer to Arts & Cultural Construction Fund to assist in project funding. 2-97 2-98 ~ ,l <'; $' e~ 01 &%~ 911 FUND CITY OF AVENTURA I 911 FUND 180 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund is used to account for revenues and expenditures specifically earmarked for the City's emergency 911 system in accordance with Florida Statutes 365.172. The funds may be used to provide emergency dispatch systems, training, communication, maintenance and repairs and related capital outlay purchases. The fund offsets a portion of the emergency 911 operations. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - 182,000 52,608 213,000 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues - - - - - 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance - - - - - I Total Available $ - $ - $ 182,000 $ 52,608 $ 213,000 . EXPENDITURES OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - 126,000 14,720 113,000 5000/5399 Commodities - - - - - 5400/5999 Other Operating Ex penses - - 5,000 2,015 6,000 rTotalOreratingEXRenses - - 131,000 16,735 119,0001 6000/6999 Capital Outlay - - - - - 9000/9999 Transfers - - 51,000 - 94,000 I Total ExRenditures $ - $ - $ 182,000 $ 16,735 $ 213,000 . 2-99 CITY OF AVENTURA I 911 FUND 180 I 2008/09 REVENUE PROJ ECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Interaovernmental Revenues 3379110 911 Fees - Wire Line $ - $ - $ 182,000 $ 46,564 $ 140,000 3379111 911 Fees - Wireless - - - 6,044 73,000 I Subtotal - - 182,000 52,608 213,000 I Miscellaneous Revenues 3611000 Interest on Investments $ - $ - $ - $ - $ - I Subtotal - - - - -I Fund Balance 3999000 Carryover $ - $ - $ - $ - $ - o..ulJ1<>1al - - - - -I I Total Revenues $ - $ - $ 182,000 $ 52,608 $ 213,000 I EXPENDITURES 2001-521 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 OPERATING OTHER CHARGES & SERVICES 4001 Travel & Per Diem $ - $ - $ 3,000 $ 2,795 $ 5,000 4101 Comm unications - - 108,000 1,494 50,000 4645 R&M - Equipment - - 15,000 10,431 58,000 I Subtotal - - 126,000 14,720 113,000 I OTHER OPERATING EXPENSES 5450 Training - - 5,000 2,015 6,000 rs'Ubtotal - - 5,000 2,015 6,0001 TRANSFERS - 90-901 9101 Transfer to General Fund - - 51,000 - 94,000 or---- SulJ1g!al - - 51,000 - 94,000J I Total Expenditures $ - $ - $ 182,000 $ 16,735 $ 213,000 I 2-100 REVENUE PROJECTION RATIONALE 3379110/111 911 Fees - This represents the amount anticipated for 911 fees collected by the State in accordance with Florida Statues 365.172. EXPENDITURE JUSTIFICATIONS 4101 Communication Services - Costs paid to Bellsouth for selective routing of 911 calls and associated fees. 4645 R&M Equipment - Funds allocated to this account will be used for repair and maintenance of 911 equipment. 5450 Traininq - Costs associated with this account are related to maintain state standards and having a highly trained dispatch function. 9101 Transfer to General Fund - Funds offset a portion of the emergency 911 Communication Officers costs. 2-101 DEBT SERVICE FUNDS 2-102 CITY OF AVENTURA I DEBT SERVICE FUND RECAP I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I These funds are established to account for revenues and/or transfers pledged for debt service payments on long term financing. REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008/09 310000/319999 Locally Levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 35,501 37,267 25,200 19,585 20,000 380000/389999 Transfer/Debt Proceeds 2,660,108 2,783,497 2,670,585 1,342,900 2,701,504 399900/399999 Fund Balance 28,538 - 22,494 22,494 - I Total Available $ 2,724,147 $ 2,820,764 $ 2,718,279 $ 1,384,979 $ 2,721,5041 EXPENDITURES OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - rTOiaI OperatingEXpenses - - - - -I 6000/6999 Capital Outlay - - - - - 7000/7999 Debt Service 2,710,209 2,711,989 2,718,279 1,186,897 2,721,504 9000/9999 Transfers - - - - - I Total Expenditures $ 2,710,209 $ 2,711,989 $ 2,718,279 $ 1,186,897 $ 2,721,5041 2-103 CITY OF AVENTURA I F M L C 1999 DEBT SERVICE FUND 230 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for debt service payment expenditures associated with the long term financing for the purchase of properties utilized for public parks and the permanent Government Center and the construction of the Government Center. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TEOORY RECAP 2005/06 2006/07 2007108 2007108 2008/09 310000/319999 Locally Levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 5,426 6,000 - 3,247 - 380000/389999 Transfer/Debt Proceeds 1,329,523 1,346,410 1,346,409 678,750 1,363,557 399900/399999 Fund Balance 28,477 - 16,741 16,741 - I Total Available $ 1,363,426 $ 1,352,410 $ 1,363,150 $ 698,738 $ 1,363,5571 EXPENDITURES OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TEOORY RECAP 2005/06 2006/07 2007108 2007108 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 other Operating Expenses - - - - - rTOtaI OperatingEXpenses - - - - -j 6000/6999 Capital Outlay - - - - - 7000/7999 Debt Service 1,350,365 1,355,759 1,363,150 916,547 1,363,557 9000/9999 Transfers - - - - - I Total ExRenditures $ 1,350,365 $ 1,355,759 $ 1,363,150 $ 916,547 $ 1,363,5571 2-104 CITY OF AVENTURA I F M L C 1999 DEBT SERVICE FUND 230 I 2008/09 REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008109 Miscellaneous Revenues 3611000 Interest $ 5,426 $ 6,000 $ - $ 3,247 $ - I SulJtotal 5,426 6,000 - 3,247 -I Transfer/Debt Proceeds 3811001 Transfer from General Fund 1,329,523 1,346,410 1,346,409 678,750 1,363,557 3842000 Bond Proceeds - - - - - r-~ 1,329,523 1,346,410 1,346,409 678,750 1,363,557 , SulJtotal Fund Balance 3999000 Carryover 28,477 - 16,741 16,741 - CSubtotal 28,477 - 16,741 16,741 -I I Total Revenues $ 1,363,426 $ 1,352,410 $ 1,363,150 $ 698,738 $ 1,363,557 . EXPENDITURES 9001-590 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008109 DEBT SERVICE Non-Departmental - 590 7130 Principal $ 440,000 $ 460,000 $ 475,000 $ 475,000 $ 495,000 7230 Interest 895,350 877,498 868,150 434,075 848,557 7330 other Debt Service Costs 15,015 18,261 20,000 7,472 20,000 I Total Expenditures $ 1,350,365 $ 1,355,759 $ 1,363,150 $ 916,547 $ 1,363,557 . REVENUE PROJECTION RATIONALE 3811001 Transfer From General Fund - Amount transferred from the General Fund to fund debt service costs. BUDGET JUSTIFICATIONS 7130 Principal - Principal payment due 4/1/2009 on the Florida Municipal Loan Council Loan which financed the construction of the Government Center as well as refund the line of credit which paid the costs of acquiring the Park and Government Center site. 7230 Interest - Interest payments due on the loan which will be payable on 4/1/2009 and 10/1/2009. 7330 Other Debt Service Costs - Fees payable to the Florida Municipal Loan Council for acting as the paying agent and arbitrage calculation costs. 2-105 CITY OF AVENTURA I 2000 LOAN DEBT SERVICE FUND 240 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for debt service payment expenditures associated with the 2000 Loan which was used for the Community Recreation Center and the acquisition and construction of Waterways Park. REVENUE PROJECTIONS OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006107 2007108 2007108 2008109 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 25,170 25,130 25,200 12,810 20,000 380000/389999 Transfer/Debt Proceeds 487,000 483,239 483,250 241,150 491,390 399900/399999 Fund Balance - - 818 818 - I Total Available $ 512,170 $ 508,369 $ 509,268 $ 254,778 $ 511,390 EXPENDITURES OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006107 2007108 2007108 2008109 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 other Operating Expenses - - - - - I Total ORerating~Renses - - - - - 6000/6999 Capital Outlay - - - - - 7000/7999 Debt Service 512,956 511,112 509,268 - 511,390 9000/9999 Transfers - - - - - I Total Expenditures $ 512,956 $ 511,112 $ 509,268 $ - $ 511,390 2-106 CITY OF AVENTURA I 2000 LOAN DEBT SERVICE FUND 240 I 2008/09 REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TEOORY RECAP 2005106 2006/07 2007108 2007108 2008109 Miscellaneous Revenues 3611000 Interest $ 25,170 $ 25,130 $ 25,200 $ 12,810 $ 20,000 r:-~ 25,170 25,130 25,200 12,810 20,000 I Subtotal Transfer/Debt Proceeds 3811001 Transfer from General Fund 487,000 483,239 483,250 241,150 491,390 3842000 Bond Proceeds - - - - - I Subtotal 487,000 483,239 483,250 241,150 491,390 1 Fund Balance 3999000 Carryover - - 818 818 - CSubtotal - - 818 818 -I I Total Revenues $ 512,170 $ 508,369 $ 509,268 $ 254,778 $ 511,390 I EXPENDITURES 9001-590 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TB30RY RECAP 2005106 2006/07 2007108 2007108 2008109 DEBT SERVICE Non-Departmental - 590 7130 Principal $ 235,000 $ 245,000 $ 255,000 $ - $ 270,000 7230 Interest 277,956 266,112 254,268 - 241,390 7330 other Debt Service Costs - - - - - I Total Expenditures $ 512,956 $ 511,112 $ 509,268 $ - $ 511,390 I REVENUE PROJECTION RATIONALE 3811001 Transfer From General Fund - Amount transferred from the General Fund to fund debt service costs. BUDGET JUSTIFICATIONS 7130 Principal - Principal payment due 10/1/2009 on Bank Qualified Loan which financed the Community Recreation Center and the acquisition and construction of Waterways Park. 7230 Interest - Interest payments due on the loan which will be payable on 4/1/2009 and 10/1/2009. 2-107 CITY OF AVENTURA I 2002 LOAN DEBT SERVICE FUND 250 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for debt service payment expenditures associated with the 2002 Loan which was used to acquire property for the Charter School and partially fund the Community Recreation Center. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008/09 310000/319999 Locally Levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 1,783 2,053 - 369 - 380000/389999 Transfer/Debt Proceeds 401,000 398,848 396,926 201,000 402,082 399900/399999 Fund Balance - - 4,935 4,935 - I Total Available $ 402,783 $ 400,901 $ 401,861 $ 206,304 $ 402,0821 EXPENDITURES OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006/07 2007108 2007108 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - ITotai O~eratingEx~enses - - - - -I 6000/6999 Capital Outlay - - - - - 7000/7999 Debt Service 400,097 401,118 401,861 127,755 402,082 9000/9999 Transfers - - - - - I Total ExRenditures $ 400,097 $ 401,118 $ 401,861 $ 127,755 $ 402,0821 2-108 CITY OF AVENTURA I 2002 LOAN DEBT SERVICE FUND 250 I 2008/09 REVENUE PROJ ECllONS OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 Miscellaneous Revenues 3611000 Interest $ 1,783 $ 2,053 $ - $ 369 $ - I SulJtotal 1,783 2,053 - 369 -I Transfer/Debt Proceeds 3811001 Transfer from General Fund 401,000 398,848 396,926 201,000 402,082 3842000 Bond Proceeds - - - - - r-- .~ 401,000 398,848 396,926 201,000 402,082' SulJtotal Fund Balance 3999000 Carryover - - 4,935 4,935 - C[utitotal - - 4,935 4,935 -I I Total Revenues $ 402,783 $ 400,901 $ 401,861 $ 206,304 $ 402,082 . EXPENDITURES 9001-590 OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 DEBT SERVICE Non-Departmental - 590 7130 Principal $ 137,054 $ 141,766 $ 144,130 $ - $ 148,855 7230 Interest 257,916 254,480 250,731 125,319 246,227 7330 Other Debt Service Costs 5,127 4,872 7,000 2,436 7,000 I Total ExRenditures $ 400,097 $ 401,118 $ 401,861 $ 127,755 $ 402,082 . REVENUE PROJECTION RATIONALE 3811001 Transfer From General Fund - Amount transferred from the General Fund to fund debt service costs. BUDGET JUSTIFICATIONS 7130 Principal - Principal payment due 8/1/2009 on the Loan which financed the acquisition of the charter school site and the balance of Community/Recreation Center. 7230 Interest - Interest payments due on the loan which will be payable on 2/1/2009 and 8/1/2009. 2-109 CITY OF AVENTURA I FIFC LOAN DEBT SERVICE FUND 290 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for debt service payment expenditures associated with the Florida Intergovernmental Finance Commission Loan which was used to fund the construction and equipment for of the Aventura Charter Elementary School. REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR OTYMANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008109 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 3,122 4,084 - 3,159 - 380000/389999 Transfer/Debt Proceeds 442,585 555,000 444,000 222,000 444,475 399900/399999 Fund Balance 61 - - - - I Total Available $ 445,768 $ 559,084 $ 444,000 $ 225,159 $ 444,4751 EXPENDITURES OBJECT APPROVED HALF YEAR OTYMANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEOORY RECAP 2005/06 2006/07 2007108 2007108 2008109 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - ITotaI OReratingEx~enses - - - - -I 6000/6999 Capital Outlay - - - - - 7000/7999 Debt Service 446,791 444,000 444,000 142,595 444,475 9000/9999 Transfers - - - - - I Total Expenditures $ 446,791 $ 444,000 $ 444,000 $ 142,595 $ 444,4751 2-110 CITY OF AVENTURA I FI FC-[OAI'J 'DEBJ'}"~ER"ICE~Fi:jj(jD-2"90 I 2008/09 REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TEOORY RECAP 2005106 2006/07 2007108 2007108 2008109 Miscellaneous Revenues 3611000 Interest $ 3,122 $ 4,084 $ - $ 3,159 $ - r -.Subtotal 3,122 4,084 - 3,159 -I Transfer/Debt Proceeds 3811001 Transfer from General Fund - - - - - 3811901 Transfer from Charter School Fund 442,585 555,000 444,000 222,000 444,475 3842000 Bond Proceeds - - - - - ,Subtotal 442,585 555,000 444,000 222,000 444,4751 Fund Balance 3999000 Carryover 61 - - - - o,.btotal 61 - - - -I I Total Revenues $ 445,768 $ 559,084 $ 444,000 $ 225,159 $ 444,4751 EXPENDITURES 9001-590 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CA TB30RY RECAP 2005106 2006/07 2007108 2007108 2008109 DEBT SERVICE Non-Departmental - 590 7130 Principal $ 152,946 $ 158,234 $ 160,872 $ - $ 166,146 7230 Interest 288,170 284,208 279,856 139,876 274,829 7330 other Debt Service Costs 5,675 1,558 3,272 2,719 3,500 I Total Expenditures $ 446,791 $ 444,000 $ 444,000 $ 142,595 $ 444,4751 REVENUE PROJECTION RATIONALE 3811901 Transfer From Charter School Fund - Transfer of funds for lease payment from Charter School Fund for elementary school to fund debt service costs for construction of school. BUDGET JUSTIFICATIONS 7130 Principal - Principal payment due 8/1/2008 on the Loan which financed the acquisition of the charter school site and the balance of Community/Recreation Center. 7230 Interest - Interest payments due on the loan which will be payable on 2/1/2008 and 8/1/2008. 2-111 2-112 ~ , L" <<;; tV-~ el'~ .1 &~ CAPITAL CONSTRUCTION FUNDS CITY OF AVENTURA I CAPITAL CONSTRUCTION FUNDS RECAP I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I These funds were established to account for bond and loan proceeds and expenditures associated with various projects which were financed through long-term borrowing. REVENUE PROJ ECTIONS OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008109 310000/319999 Locally Levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 171,199 104,073 100,071 17,104 350,000 380000/389999 Transfer/Debt Proceeds - - - - 5,650,000 399900/399999 Fund Balanc e 4,382,425 - 1,723,526 1,723,526 - I Total Available $ 4,553,624 $ 104,073 $ 1,823,597 $ 1,740,630 $ 6,000,000 . EXPENDITURES OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008109 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - I TotalOReratinga,Renses - - - - -I 6000/6999 Capital Outlay 82,413 2,679,648 1,823,597 1,061,824 6,000,000 7000/7999 Debt Service - - - - - 9000/9999 Transfers - - - - - I Total Expenditures $ 82,413 $ 2,679,648 $ 1,823,597 $ 1,061,824 $ 6,000,000 I 2-113 CITY OF AVENTURA I 2000 LOAN CONSTRUCTION FUND 340 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for loan proceeds and expenditures associated with the bank loan issued in 2000 for construction of the Community Recreation Center and the acquisition and construction of Waterways Park. REVENUE PROJ ECllONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 171,042 103,885 100,071 17,044 - 380000/389999 Transfer/Debt Proceeds - - - - - 399900/399999 Fund Balance 4,382,425 - 1,568,000 1,568,000 - I Total Available $ 4,553,467 $ 103,885 $ 1,668,071 $ 1,585,044 $ - EXPENDITURES OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - rTotal Op-eratingExRenses - - - - - 6000/6999 Capital Outlay 82,413 2,679,648 1,668,071 1,061,824 - 7000/7999 De bt Sa rvice - - - - - 9000/9999 Transfers - - - - - I Total Expenditures $ 82,413 $ 2,679,648 $ 1,668,071 $ 1,061,824 $ - 2-114 CITY OF AVENTURA I 2002 LOAN CONSTRUCTION FUND 350 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for loan proceeds and expenditures associated with the 2002 financing issued for the acquisition of the Elementary School site and to partially fund the construction of Community Recreation Center. REVENUE PROJECTIONS OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 157 188 - 60 - 380000/389999 TransferlDebt Proceeds - - - - - 399900/399999 Fund Balance - - 3,966 3,966 - I Total Available $ 157 $ 188 $ 3,966 $ 4,026 $ - EXPENDITURES OBJ ECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - rTotai OReratingEXRenses - - - - - 6000/6999 Capital Outlay - - 3,966 - - 7000/7999 De bt Se rvice - - - - - 9000/9999 Transfers - - - - - I Total Ex~enditures $ - $ - $ 3,966 $ - $ - 2-115 CITY OF AVENTURA I FIFC LOAN CONSTRUCTION FUND 390 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for loan proceeds and expenditures associated with the Florida Intergovernmental Finance Commission Loan which was used to fund the construction and equipment for of the Aventura Charter Elementary School. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues - - - - - 380000/389999 Transfer/Debt Proceeds - - - - - 399900/399999 Fund Balance - - 151,560 151,560 - I Total Available $ - $ - $ 151,560 $ 151,560 $ -I EXPENDITURES OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007108 2007108 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - IToiarO~eratingEX~enses - - - - -I 6000/6999 Capital Outlay - - 151,560 - - 7000/7999 Debt Service - - - - - 9000/9999 Transfers - - - - - I Total Expenditures $ - $ - $ 151,560 $ - $ -I 2-116 CITY OF AVENTURA I CAPITAL CONSTRUCTION FUND - ARTS & CULTURAL CENTER CONSTRUCTION 391 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund was established to account for revenues and expenditures used to fund the construction and equipment for the Arts & Cultural Center. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services - - - - - 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues - - - - 350,000 380000/389999 Transfer/Debt Proceeds - - - - 6,350,000 399900/399999 Fund Balance - - - - - I Total Available $ - $ - $ - $ - $ 6,700,000 I EXPENDITURES OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expens:es - - - - - rTotal Op'erating~Renses - - - - -I 6000/6999 Capnal Outlay - - - - 6,700,000 7000/7999 Debt Service - - - - - 9000/9999 Transfers - - - - - I Total Expenditures $ - $ - $ - $ - $ 6,700,000 I 2-117 CITY OF AVENTURA I CAPIT)>;C-C"dr>JSTROCTrdlifFITND - ARTS-&-COCTURA[ CEjijTER-C"dNSTR'UCTl"dIiJ"3"9~ I 2008/09 REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Miscellaneous Revenues 3611000 Interest $ - $ - $ - $ - $ - 3644300 land Sale Proceeds - - - - 350,000 C-~ - - - - 350,000 1 SulJtotai Transfer/Debt Proceeds 3811001 Transfer from General Fund - - - - 2,000,000 3819117 Transfer form Park Dev. Fund - - - - 250,000 3842000 County Bond Proceeds - - - - 4,100,000 rstibtotal - - - - 6,350,000 1 Fund Balance 3999000 ,Carryover - - - - - r~Ubtotal - - - - -I Total Revenues $ - $ - $ - $ - $ 6,700,000 I EXPENDITURES 7001 OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 CAPITAL OUTLAY Arts Center 70-575 6308 Arts & Cultural Ctr. Constructior - - - - 6,700,000 6401 Computer Equipment - - - - - 6410 Equipment - - - - - 6999 Capital Reserve - - - - - r Total Expenditures $ - $ - $ - $ - $ 6,700,000 I 2-118 2-119 ~ , ~~ ~ $'~ eq~ 01 &~ STORMWA TER UTILITY FUND CITY OF AVENTURA I STORMWATER UTILITY FUND 410 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This fund is used to account for revenues and expenditures specifically earmarked for the construction and maintenance of the City's stormwater drainage system. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Perm its - - - - - 330000/339999 Intergovernmental Revenues 415,000 423,528 - - - 340000/349999 Charges for Services 815,454 889,178 841,805 339,906 841,458 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues 3,202 160,566 - 8,112 - 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance 618,830 - 38,907 - - I Total Available $ 1,852,486 $ 1,473,272 $ 880,712 $ 348,018 $ 841,458' EXPENDITURES OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ - $ - $ - $ - $ - 3000/3999 Contractual Services - - 395,000 242,571 408,200 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses 199,100 203,102 5,000 - 5,000 rTotal.Op'erating~p'enses 199,100 203,102 400,000 242,571 413,200 I 6000/6999 Capital Outlay 161,612 354,533 480,712 20,900 428,258 9000/9999 Transfers 50,742 - - - - I Total Exp.enditures $ 411,454 $ 557,635 $ 880,712 $ 263,471 $ 841,458' 2-120 CITY OF AVENTURA I STORMWATER UTILITY FUND 410 2008/09 REVENUE PROJ ECTIONS OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Interaovernmental Revenues 3343605 State Grant $ 415,000 $ 423,528 $ - $ - $ - r- Subtotal 415,000 423,528 - - - Charaes for Services 3439110 Storm water Utility Fees 815,454 889,178 841,805 339,906 841,458 r-Sulitotal- 815,454 889,178 841,805 339,906 841,458 Miscellaneous Revenues 3611000 Interest 3,202 3,335 - 8,112 - 3661010 NE 188 St. Development - 157,231 - - - I 5 ubtota I 3,202 160,566 - 8,112 - Fund Balance 3999000 Carryover 618,830 - 38,907 - - r-subtotal 618,830 - 38,907 - - I T ota I Reve nues $ 1,852,486 $ 1,473,272 $ 880,712 $ 348,018 $ 841,458 CITY OF AVENTURA I STORMW A TER""UTiL'iTVYimD-4'1 0 2008/09 EXPENDITURES 5001 OBJECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 Operating CONTRACTUAL SERVICES Comm unity Services - 538 3110 Prof. Services - Engineering $ - $ - $ 65,000 $ 12,240 $ 65,000 3450 lands Maim. - Streets - - 150,000 87,494 156,000 3460 Street Maint./Drainage - - 180,000 142,837 187,200 rs'Utitotai - - 395,000 242,571 408,200 OTHER OPERATING EXPENSES 5290 Other Operating Supplies - - 5,000 - 5,000 5915 Depreciation 199,100 203,102 - - - r SUiiiOfa-1 199,100 203,102 5,000 - 5,000 CAPITAL OUTLAY Comm unity Services - 538 6306 Drainage Improvements 161,612 354,533 360,000 20,900 200,000 6316 213 St. Stormwater Collection - - - - - C~~ 161,612 354,533 360,000 20,900 200,000 Sulitotal CAPITAL OUTLAY Non-Deoartmental- 590 6999 Capital Reserve - - 120,712 - 228,258 rSubtotal - - 120,712 - 228,258 rTotal 360,712 557,635 880,712 263,471 841,458 2-121 REVENUE PROJECTION RATIONALE 3439110 Stormwater Utilitv Fees - It is proposed to maintain the Stormwater fee at $2.50/ERU to fund the required drainage improvements. The revenue amount is based on 29,217 ERUs at 96%. CAPITAL PROJECT DESCRIPTION COMMUNITY SERVICES 6306 Drainaqe Improvements - The following projects are scheduled for the 2008/09 fiscal year: NE 191 Street/ NE 29th Avenue Improvements Maintenance improvements 2-122 2-123 POLICE OFFDUTY SERVICES FUND CITY OF AVENTURA I POLICE OFFDUTY SERVICES FUND 620 I CATEGORY SUMMARY 2008/09 I FUND DESCRIPTION I This Fund was established to account for revenues and expenditures associated with services provided by off duty Police Officers in private customer details to the various businesses and condominium associations. REVENUE PROJECTIONS OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 310000/319999 Locally levied Taxes $ - $ - $ - $ - $ - 320000/329999 Licenses & Permits - - - - - 330000/339999 Intergovernmental Revenues - - - - - 340000/349999 Charges for Services 360,375 336,286 330,000 129,575 330,000 350000/359999 Fines & Forfeitures - - - - - 360000/369999 Miscellaneous Revenues - - - - - 380000/389999 Transfer from Funds - - - - - 399900/399999 Fund Balance - - - - - I Total Available $ 360,375 $ 336,286 $ 330,000 $ 129,575 $ 330,000 I EXPENDITURES OBJECT APPROVED HALF YEAR OTY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005/06 2006/07 2007/08 2007/08 2008/09 1000/2999 Personal Services $ 338,160 $ 304,104 $ 330,000 $ 124,134 $ 330,000 3000/3999 Contractual Services - - - - - 4000/4999 Other Charges & Services - - - - - 5000/5399 Commodities - - - - - 5400/5999 Other Operating Expenses - - - - - C--- 338,160 304,104 330,000 124,134 330,000 I Total Op'erating~p'enses 6000/6999 Capital Outlay - - - - - r Total Expenditures $ 338,160 $ 304,104 $ 330,000 $ 124,134 $ 330,000 I 2-124 CITY OF AVENTURA I POLICE OFFDUTY SERVICES FUND 620 I 2008/09 REVENUE PROJ ECTIONS OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 Charaes for Services 3421100 Police Detail Billing $ 360,375 $ 336,286 $ 330,000 $ 129,575 $ 330,000 I Total Revenues $ 360,375 $ 336,286 $ 330,000 $ 129,575 $ 330,000 I EXPENDITURES 5001-521 OBJ ECT APPROVED HALF YEAR CITY MANAGER CODE ACTUAL ACTUAL BUDGET ACTUAL PROPOSAL NO. CATEGORY RECAP 2005106 2006107 2007108 2007108 2008109 PERSONAL SERVICES Public Safety 1420 Extra Duty Detail $ 295,551 $ 304,104 $ 290,000 $ 124,134 $ 290,000 2101 ACA 22,609 - 20,000 - 20,000 2401 Workers' Compensation 20,000 - 20,000 - 20,000 I Total Expenditures $ 338,160 $ 304,104 $ 330,000 $ 124,134 $ 330,000 I REVENUE RATIONALE 3421100 Police Detail Sillinq - Estimated amount of revenue generated by off-duty details in the City's business and residential communities. 2-125 3-1 ~ ,'!J' ~ JJ!l ecl'li' '1 &~ SUMMARY OF CAPITAL IMPROVEMENT PROGRAM CAPITAL IMPROVEMENT PROGRAM 2008 - 2013 HIGHLIGHTS . Includes the construction of an Arts and Cultural Center that could be utilized to host a variety of performing arts and cultural programming for all age groups. This project will be constructed adjacent to the Community Recreation Center. . Road maintenance projects that total $2,645,000 to resurface asphalt and enhance safety are included for Williams Island Road, NE 190th Street, Hospital District, NE 29th Avenue, NE 34th Avenue NE 18ih Street, NE 185th Street, NE188th street and the northern portion of Country Club Drive. . Ten new classrooms will be constructed for the 2009/10 school year at the Charter School to meet the State class size amendment requirements . Utilizes a stormwater utility program to maintain drainage systems throughout the City. A total of $1,000,000 has been earmarked during the five-year period. . Continues the implementation of Biscayne Boulevard intersection improvements for NE 183rd Street and NE 1915t Street as well as the addition of a right-hand turn lane at Country Club Drive and NE199th Street at a cost of $1,189,000. . Provides the necessary equipment to continue to provide high quality and effective police services. . Continues the implementation of technology improvements and management information systems to enhance the productivity and efficiency of City operations. Ensures that the tools of production, vehicles, equipment and technology, are available for City operations. 3-2 PURPOSE OF THE CAPITAL IMPROVEMENT PROGRAM The purpose of the CIP is to establish a long term plan of proposed capital expenditures, the means and methods of financing, and a schedule of priorities for implementation. In order to determine the impact on the City's operating budget, debt service and the general trend of future expenditures, the City Commission will be provided with the advantage of a CIP document as a point of reference and estimated long-term budget plan. In accordance with the State's Growth Management Act, the City is required to undergo this process in order to meet the needs of its Comprehensive Plan. The CIP is an official statement of public policy regarding long-range capital development within the City. A capital improvement is defined as a capital expenditure of $5,000 or more, resulting in the acquisition, improvement or addition to fixed assets in the form of land, buildings or improvements, more or less permanent in character, and durable equipment with a life expectancy of more than one (1) year. In addition, equipment that has a value of $5,000 or less is also included in this document for budgetary purposes. The CIP lists proposed capital projects to be undertaken, the year in which they will be started, the amount expected to be expended in each year and the method of financing these projects. Based on the CIP, a department's capital outlay portion of the annual Operating Budget will be formulated for that particular year. The CIP document also communicates to the citizens, businesses and interested parties the City's capital priorities and plan for implementing projects. The five-year CIP is updated annually to add new projects in the fifth year, to re- evaluate the program and project priorities in light of unanticipated needs, and to revise recommendations to take account of new requirements and new sources of funding. Capital Improvement programming thus becomes a continuing part of the City's budgeting and management procedures. The annual capital programming process provides the following benefits: 1. The CIP is a tool for implementing the City's Comprehensive Plan. 2. The CIP process provides a mechanism for coordinating among projects with respect to function, location, and timing. 3. The yearly evaluation of project priorities ensures that the most crucial projects are developed first. 4. The CIP process facilitates long-range financial planning by matching estimated revenue against capital needs, establishing capital expenditures and identifying the need for municipal borrowing and indebtedness within 3-3 a sound long-range fiscal framework. The sound fiscal policy that results from this process will have a positive impact on the City's bond rating. 5. The impact of capital projects on the City's operating budget can be projected. 6. The CIP serves as a source of information about the City's development and capital expenditures plan for the public, City operating departments and the City Commission. LEGAL AUTHORITY A capital programming process to support the comprehensive plan is required by the Local Government Comprehensive Planning and Land Development Regulations, incorporated as Chapter 163, Florida Statues. DEVELOPMENT OF THE CAPITAL IMPROVEMENT PROGRAM The City's capital programming process began in December when operating departments were required to prepare requests for all proposed capital projects anticipated during the period of 2008 - 2013. A CIP Preparation Manual and related forms were distributed to all departments for this purpose. In February, departmental prioritized project requests were submitted to the City Manager's Office. Department Directors were asked to justify projects in terms of benefits derived, necessity to health, safety and welfare of the City, enhancement to City plans and policies, need of residents and funding. Projects were prioritized on the basis of Urgency, Necessity, Desirability and Deferability. The City Manager reviewed departmental requests and conducted individual meetings with Department Directors. The departmental requests were prioritized and the five- year schedule of projects was compiled into document form by the City Manager. The methods of financing and revenue sources were then prepared by the Finance Director and City Manager and were incorporated into the CIP document. At this point, the proposed CIP is submitted to the City Commission and public for review. In order to facilitate public involvement, public hearings and community meetings will be held to unveil and review the CIP document prior to the adoption of a Resolution approving the CIP in principle. 3-4 CAPITAL IMPROVEMENT PROGRAM POLICIES 1. Annually, the City will prepare a five-year capital improvement program analyzing all anticipated capital expenditures and identifying associated funding sources. Future capital expenditures necessitated by changes in population, changes in development, growth, redevelopment or changes in economic base will be calculated and included in the Capital update process. 2. The City will perform all capital improvements in accordance with an adopted CIP. 3. The classification of items as capital or operating will be determined by two criteria - cost and frequency. Generally, a capital project has a "useful life" of more than one (1) year and a value of $5,000 or more. In addition, equipment that has a value of $5,000 or less is also included in the document for budgetary purposes. 4. The City will coordinate development of the capital improvement budget with the development of the operating budget. Future operating costs associated with new capital improvements will be projected and included in the operating forecasts. 5. The first year of the five-year capital improvement program will be used as the basis for formal fiscal year appropriations during the annual budget process. 6. The City will maintain all of its assets at a level adequate to protect the City's capital investment and to minimize future maintenance and replacement costs. 7. The City will identify the estimated cost of capital projects and prepare a funding projection that considers revenues and operating costs to be included in the Capital Improvement Program document that is submitted to the City Commission for approval. 8. The City will determine the most appropriate financing method for all new projects. 9. If appropriate, the City will attempt to maintain a mixed policy of pay-as-you-go and borrowing against future revenues for financing capital projects. 10 The City will maintain ongoing maintenance schedules relating to road, sidewalk and drainage system improvements. 11. The City will address and prioritize infrastructure needs on the basis of protecting the health, safety and welfare of the community. 12. A CIP preparation calendar shall be established and adhered to. 13. Capital projects will conform to the City's Comprehensive Plan. 14. Long-term borrowing will not be used to fund current operations or normal maintenance. 15. The City will strive to maintain an unreserved General Fund Fund Balance at a level not less than 7.5% of the annual General Fund revenue. 16. If new project appropriation needs are identified at an interim period during the fiscal year, the funding sources will be identified and mid-year budget 3-5 amendments will be utilized to provide formal budgetary authority. In addition budget amendments may be utilized to increase appropriations for specific capital projects. PREPARING THE CAPITAL BUDGET The most important year of the schedule of projects is the first year. It is called the Capital Budget and is adopted separately from the five-year program as part of the annual budget review process. Based on the CIP, each department's capital outlay portion will be formulated for that particular year. Each year the CIP will be revised and another year will be added to complete the cycle. Capital Improvement Programming thus becomes a continuing part of the City's budget and management process. The Capital Budget is distinct from the Operating Budget. The Capital Budget authorizes capital expenditures, while the Operating Budget authorizes the expenditure of funds for employee salaries, supplies and materials. Through the City's amendment process, changes can be made to the adopted Capital Budget during the fiscal year. A request for amendment is generated by an operating department based on an urgent need for new capital project or for additional funding for a previously approved project. The request is reviewed by the Finance Director and City Manager and, if approved by the City Manager, a budget amendment is presented to the City Commission. LOCATING A SPECIFIC CAPITAL PROJECT The Capital Improvement Program is divided into five (5) program areas as follows: Beautification and Parks (BP) Transportation, Drainage and Infrastructure Improvements (TDI) Public Buildings and Facilities (PBF) Information/Communication Technology (lCT) Capital Equipment Purchase & Replacement (CE) Each project in the Capital Improvement Program has a unique project number. This project number appears at the beginning of the individual project descriptions and the Summary by Year tables. The first digit refers to functional category priority number assigned by the City Manager. The final digits outline the individual department requesting the project. For example, project TDI-1-CS is Transportation, Drainage and Infrastructure Improvements project number one which was requested by the Community Services Department. 3-6 SUMMARY OF RECOMMENDED PROJECTS The proposed 2008 - 2013 CIP includes 28 projects in five (5) functional categories with a total value of $18,793,742. The following represents the percentage of total funding that each functional category has been allocated: Beautification & Parks Facilities (3%), Transportation, Drainage and Infrastructure Improvements (29%), Capital Equipment Purchase and Replacement (15%), Information/Communication Technology (16%) and Public Buildings and Facilities Improvements (40%). SUMMARY OF MAJOR PROGRAMS The following table presents a summarized breakdown of the costs of the various projects recommended for funding categorized by major function for each of the five (5) years covered by the CIP. Table 1 Capital I mprovement Program 2008/09 - 2012/13 Summary By Function Program 2008109 2009/10 2010/11 2011/12 2012/13 TOTAL 8eautification&Parks Facilities I 83,000 I 13,500 I 445,600 I 66,500 I 15,250 I 623,850 Transportation, Cfainage & 1,374,000 1,015,000 000,000 695,000 950,000 4,834,000 Infrastructure Public Buildings & Facilities 6,905,500 700,000 0 0 0 7,605,500 Information/Communication 724,500 709,220 482,800 469,669 529,304 2,915,701 Technology Capital Equipment 479,800 664,260 647,900 520,371 502,300 2,814,691 Totals I 9,566,800 I 3,101,900 I 2,376,368 I 1,751,740 I 1,966,854 I 18,793,742 Capital Equipment 15% Beautification & Parl<sFacilities 3% Transportation Drainage & Infrastructure 29% Inlonnation Technology 16% Public Buildings 40% 3-7 SUMMARY OF PROPOSED APPROPRIATIONS BY FUNDING SOURCE The following table reflects the distribution of all proposed projects to the funding source or mechanism, which is appropriate for funding the projects for each of the five (5) years of the program. Table 2 Capital Improvement Program 2008/09 - 2012/13 SummaryByFundingSource Funding Source 2008109 2009/10 201CW11 2011/12 2012/13 TOTAL General 3,021,000 1,913,900 1,470,368 959,240 948,854 8,314,242 StormwaterUtility 200,000 200,000 200,000 200,000 200,000 1,000,000 Parks Development 70,000 250,000 320,000 Charter School 1,690,000 123,000 106,000 97,500 98,000 2,114,500 County GOB Proceeds 4,100,000 0 4,100,000 Transportation Fund 485,000 615,000 600,000 495,000 750,000 2,945,000 $ 9,566,000 $ 3,101,900 $ 2,376,368 $ 1,751,740 $ 1,996,854 $ 18,793,742 The proposed funding plan involves a commitment to "pay as you go" annual appropriations established in yearly budgets and does not include additional long term debt. Funding Source Summary General 47% Stormwater Utility SD.parks Development 2% Charter School 11% Transportation 17% County GOB Proceeds 24% 3-8 SUMMARY OF PROJECTS BY LOCATION AND YEAR The following outlines the major projects by location and the year they are proposed to be funded: Location Founders Park Improvements Arts & Cultural Center Charter School Classrooms Country Club Drive Tennis Court NE 191 Street Traffic Improvements NE 190th street Improvements Hospital District Williams Island Road NE 34th Avenue NE 29th Avenue N E 187th Street NE 185th StreetlNE 31th Avenue NE 188th Street2011/12 Country Club Drive Community Center Improvements Table 3 Capital Improvement Program 2008/09-2012/13 Summary By Location Beautification Transportation Drainage Park Facilities Improvements Improvements Improve Improve Improve 2010-2011 2008-2010 2008109 2008109 2008/09 2008-2010 2008/09 2009/10 2008-2010 2010/11 2010/11 2010/11 2011/12 2011/12 2012/13 2008/09 2008109 3-9 SUMMARY OF FINANCING PLAN MODEL Detailed funding plans for individual funds of the City are enclosed herein in the following sections. The following represents an overview of the major points of the recommended funding plan: 1. Utilize "pay - as - you - go" financing through annual appropriations to fund the total five year amount of $18,793,742. No additional debt is recommended. 2. Adjusts property tax revenues based on recently enacted tax reform proposals by the State Legislature. RECAP OF AVAJLABLE RESOURCES vs PROPOSED APPROPRIATIONS GENERAL FUND CAPITAL IMPROVEMENT PROGRAM 2008109 2009/10 2010/11 2011/12 2012/13 TOTAL PROJECTED AVAILABLE RESOURCES $31,016,967 $31,416,600 $32,214,112 $32,982,735 $33,771,311 PROJECTED OPERATING EXPENDITURES 24,070,123 25,942,099 27,974,963 30,160,212 32,305,923 DEBT SERVICE REQUIREMENTS 2,258,000 2,258,000 2,258,000 2,258,000 2,258,000 SUBTOTAL - EXPENDITURES 26,328,123 28,200,099 30,232,963 32,418,212 34,563,923 BALANCE 4,688,844 3,216,501 1,981,149 564,522 (792,611) LessCIP APPROPRIATIONS 3,021,800 1,913,980 1,470,368 959,240 948,854 BALANCE 1,667,044 1,302,521 510,781 (394,718) (1,741,465) Total Balance Over 5 Year Plan 1,344,163 3-10 PROPOSED BEAUTIFICATION AND PARK FACILITIES IMPROVEMENTS PROJECTS SCHEDULED FOR 2008/09 - 20012/13 SUMMARY BY YEAR OP # Project Title Dept. # 2008/09 2009/10 2010/11 2011/12 2011/12 Total BP1 Founders Park Impro\ements cs $ 431,600 $ 52,000 $ 483,600 BP2 Country Club Tennis Court Improve. cs 70,000 70,000 BP3 Cityvvide Beautification Improvements cs 13,000 13,500 14,000 14,500 15,250 70,250 Totals $ 83,000 $ 13,500 $ 445,600 $ 66,500 $ 15,250 $ 623,850 TABLE 2 PROPOSED BEAUTIFICATION AND PARK FACILITIES IMPROVEMENTS PROJECTS SCHEDULED FOR 2008109 - 20012/13 FUN DING PLAN Impact General OP # Project Title Dept. # Total Fees Fund BP1 Founders Park Impro\ements cs 483,600 483,600 BP2 Country Club Tennis Court Improve. cs 70,000 70,000 BP3 Cityvvide Beautification Improvements cs 70,250 70,250 Totals 623,850 $ 70,000 $ 553,850 3-11 TABLE 1 PROPOSED TRANSPORTATION, DRAINAGE AND INFRASTRUCTURE IMPROVEMENTS PROJECTS SCHEDULED FOR 2008100- 2012/13 SUMMARY BY YEAR CIP # Project Title Dept. # 2008/09 2009/10 2010/11 2011/12 2012/13 Total TOI1 Stonnwater Drainage Improvement CS $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 1,000,000 Transportation System & Traffic TOI2 Improvements CS 689,000 500,000 1,189,000 TOI3 Road Resurfacing Program CS 485,000 315,000 600,000 495,000 750,000 2,645,000 Totals $ 1,374,000 $ 1,015,000 $ 800,000 $ 695,000 $ 950,000 $ 4,834,000 TABLE 2 PROPOSED TRANSPORTATION, DRAINAGE AND INFRASTRUCTURE IMPROVEMENTS PROJECTS SCHEDULED FOR 2008100- 2012/13 FUNDING PLAN Stonnwater Utility General Transportation CIP # Project Title Dept. # Total Fund Fund Fund T[]1 Stonnwater Drainage Improvement CS $ 1,000,000 $ 1,000,000 Transportation System & Traffic TOI3 Improvements CS 1,189,000 889,000 300,000 T[]4 Road Resurfacing Program CS 2,645,000 2,645,000 Totals $ 4,834,000 $ 1,000,000 $ 889,000 $ 2,945,000 3-12 TABLE 1 PROPOSED PUBLIC BUILDING AND FACILITIES IMPROVEMENTS PROJECTS SCHEDULED FOR 2008/09 - 20012/13 SUMMARY BY YEAR CIP # Project Title Dept. # 2008109 2009/10 2010/11 2011/12 2012/12 Total PBF1 PBF2 PBF2 Arts & Cultural Center CM Charter School Classroom Additions CM Community Center ImprO\ements CS $ $ 5,300,000 $ 700,000 1,600,000 5,500 $ 6,000,000 $ 1,600,000 5,500 Totals $ 6,905,500 $ 700,000 $ $ $ $ 7,605,500 TABLE 2 PROPOSED PUBLIC BUILDING AND FACILITIES IMPROVEMENTS PROJECTS SCHEDULED FOR 2008/09 - 20012/13 FUNDING PLAN Charter County Bond land Sale General Impact Fees CIP # Project Title Dept. # Total School Proceeds Proceeds Fund Dev. Ded. PBF1 Arts & Cultural Center CM $ 6,000,000 $ 4,100,000 $ 350,000 $ 1,300,000 $ 250,000 PBF2 Charter School Classroom Additions CM 1,600,000 1,600,000 PBF2 Community Center ImprO\ements CS 5,500 5,500 Totals $ 7,605,500 $ 1,600,000 $ 4,100,000 $ 350,000 $ 1,305,500 $ 250,000 3-13 TABLE 1 PROPOSED CAPITAL EQUIPMENT PURCHASE AND REPLACEMENT PROJECTS SCHEDULED FOR 2008/09 - 2012/13 SUMMARY BY YEAR CIP # Project Title Depl 2008/09 2009/10 2010/11 2011/12 2012/13 Total CE1 Vehicle Purchase & Replacements PO 324,000 476,460 448,000 400,000 379,100 2,027,560 CE2 Equipment Purchase and Replacement>5000 PO 70,000 91,000 115,710 60,471 63,000 400,181 CE3 Equipment Purchase and Replacement<5000 PO 11,500 18,800 28,400 22,200 31,300 112,200 CE4 Equipment Purchase and Replacement>5000 CS 58,500 57,000 55,000 15,000 28,000 213,500 CE5 Equipment Purchase and Replacement>5000 CD 21,000 22,700 43,700 CE4 Equipment Purchase and Replacement<5000 CD 800 850 900 2,550 CE5 Equipment Purchase and Replacement>5000 IT 15,000 15,000 Totals $ 479,800 $ 664,260 $ 647,960 $ 520,371 $ 502,300 $ 2,814,691 TABLE 2 PROPOSED CAPITAL EQUIPMENT PURCHASE AND REPLACEMENT PROJECTS SCHEDULED FOR 2008/09 - 2012/13 FUNDING PLAN General CIP # Project Title Depl Total Fund CE1 Vehicle Purchase & Replacements PO 2,027,560 2,027,560 CE2 Equipment Purchase and Replacement>5000 PO 400,181 400,181 CE3 Equipment Purchase and Replacement<5000 PO 112,200 112,200 CE4 Equipment Purchase and Replacement>5000 CS 213,500 213,500 CE5 Equipment Purchase and Replacement>5000 CD 43,700 43,700 CE4 Equipment Purchase and Replacement<5000 CD 2,550 2,550 CE5 Equipment Purchase and Replacement>5000 IT 15,000 15,000 Totals 2,814,691 2,814,691 3-14 TABLE 1 PROPOSED COMMUNICATIONS AND COMPUTERS EQUIPMENT PROJECTS SCHEDULED FOR 2008/09 - 2012/13 SUMMARY BY YEAR CIP # Project Title Dept. # 2008/09 2009/10 2010/11 2011/12 2012/13 Total ICT1 Police Computers Systems<$5000 PO 138,000 174,400 146,000 127,000 140,500 725,900 ICTI Central Computer System>$5000 IT 115,000 270,000 90,000 90,000 105,000 670,000 ICD Radios and E911 System PO 306,000 99,720 106,508 113,369 155,304 780,901 ICT4 Computer Equipment<$5000 ACES 90,000 78,000 96,000 87,500 78,000 429,500 ICTS Computer Equipment>$5000 ACES 45,000 10,000 10,000 20,000 85,000 ICTS Computer Equipment<$5000 IT 6,000 6,000 6,000 6,000 6,000 30,000 ICT? Computer Equipment<$5000 FSS 3,000 6,000 3,000 2,000 3,000 17,000 ICTS Computer Equipment<$5000 CM 4,000 2,000 4,000 2,000 12,000 ICT9 Computer Equipment<$5000 CS 12,000 11,000 20,800 27,000 11,000 81,800 ICT10 Computer Equipment<$5000 CD 3,500 8,100 4,500 3,000 8,500 27,600 ICT11 Computer Equipment>$5000 CD 44,000 6,000 50,000 ICT12 Computer Equipment CC 3,000 3,000 6,000 Totals $ 724,500 $ 709,220 $ 482,808 $ 469,869 $ 529,304 $ 2,915,701 TABLE 2 PROPOSED COMMUNICATIONS AND COMPUTERS EQUIPMENT PROJECTS SCHEDULED FOR 2008/09 - 2012/13 FUNDING PLAN Charter General School CI P # Project Title Dept. # Total Fund Fund ICT1 Police Computers Systems<$5000 PO 725,900 725,900 ICTI Central Computer System>$5000 IT 670,000 670,000 ICD Radios and E911 System PO 780,901 780,901 ICT4 Computer Equipment<$5000 ACES 429,500 429,500 ICTS Computer Equipment>$5000 ACES 85,000 85,000 ICTS Computer Equipment<$5000 IT 30,000 30,000 ICT? Computer Equipment<$5000 FSS 17,000 17,000 ICTS Computer Equipment<$5000 CM 12,000 12,000 ICT9 Computer Equipment<$5000 CS 81,800 81,800 ICT10 Computer Equipment<$5000 CD 27,600 27,600 ICT11 Computer Equipment>$5000 CD 50,000 50,000 ICT12 Computer Equipment CC 6,000 6,000 $ 2,915,701 $ 2,401,201 $ 514,500 Totals 3-15 4-1 GLOSSARY Account A term used to identify an individual asset, liability, expenditure control, revenue control, encuma-ance control or fund balance. Accounting System The total structure of records and procedures which discover, record, classify, summarize and report information on the financial position and results of operations of a government or any of its funds, fund types, balanced account groups or organizational components. Accrual Recognizes the financial effect of transactions or events wren they occur, regardless of the timing of related cash flows. Ad Valorem Taxes Taxes levied on all real am certain personal p-operty, tangible and intangible, according to the property's a ssesse d val ua ti on. Amortization The reduction of debt through regular peyments of principel and interest sufficient to reti re the debt instrument at a p-edetermined date known as maturity. Appropriation An authorization granted by a legislative body to make expenditures and to incur obligations for specific purposes. An appropriation is limited in amount to the time it may l:e expended. Assessed Valuation A val uation set upon real estate or other property by the County Assessor and the State as a basis for levying taxes. Assets Cash, receivables or capital assets listed within the balance sheet. Balance Sheet Basic financial statement that descril:es the basis of accounting used in its preparation and presentation of a specified date in the entity's assets, liabilities and tre remai ning fund balance or fund equity. Balanced Budget A budget is balanced when current expenditures are equal to receipts. Bond A written promise, generally under seal, to pey a specified sum of money, called the face value, at a fixed time in the future, called the date of maturity and carrying interest at a fixed rate, usually peyable periodically. Note: The difference between a note and a bJnd is that the latter usually runs for a longer period of ti me and requires greater legal formality. Bonded Debt That portion of imebtedress represented by outstanding bJnds. Budget A plan of financial or:eration embJdying an estimate of proposed expenditures for a given period and the proposed means of financing them. Used without any modifier, the term usually indicates a financial plan for as ngle fiocal year. Budget Calendar A schedule of key dates that the City util izes to pre pe re, adopt and administer the budget. Budget Message A gereral discussion of the proposed budget as presented in writing by the budget-making authority to the legislative bJdy. Budgetary Control The control or management of a government or enterprise in accordance with an approved bJdget for the purpose of keeping expenditures within the limitations of available appropriations and available revenues. Represents the level of control at which expenditures may not exceed budget. Arry revisions 4-2 that alter the total expenditures of a department must be approved by the City Commission. Capital Budget A plan of proposed capital outlays and the means of financing them for the current fiscal period. Capital Construction Fund A fund established to account for oond proceeds and expenditures associated with the purchase of properties to be to be utilized for public parks, cultural center and the permanent Government Center and Police Station. Capital Improvement Program (CIP) A plan for capital expenditures to be incurred each year over a fixed period of years to meet capital needs arising from the long-term work program or otherwise. It sets forth each project or other contemplated expenditure in which the government is to have a part am specifies the full resources estimated to be available to finance the p-ojected expenditures. Capital Outlays Non-recurring expenditures of an infrequent or unusual nature which may result in the acquisition/addition 10 the City's fixed capital assets or infrastructure. Capital Project Fund A fund established to account for the acquisition and construction of major capital facilities other than those financed by proprietary and trust funds. Carryove r An existing fum balance that is projected to be available for use in the City's annual budgeted expe nd itures. Chart of Accounts The classification system used bf the City to organize the accounting for various funds. Contingency An appropriation of funds avai lable to cover unforeseen events that occur during the fiscal year These funds, if not used, lapse at year-em. This is not the same as fund talance. Current Assets Assets that one can reasonably expect to convert into cash, sell or consume through operations within one (1) year. Current Liabilities Obligation whose liquidation is expected to require the use of existing resources classified as current assets or the creation of other current liabilities. Debt Service The payment of principal and interest on borrowed funds such as oonds. Debt Service Fund A fum established to finance and account for the accumulation of resources for am the payment of, general long-term debt principal and interest. Also called a SINKING FUND. Debt Service Requirements The amounts of revenue which must be provided for a debt service fund so that all principal and interest payments can be made in full and on schedule. Depreciation (1) Expiration in service life of fixed assets, otrer than wasting assets, attributable to wear and tear through use and lapse of time, obsolescence, inadequacy, or other physical of functional cause. (2) The portion of the cost of a fixed asset charged as an expense during a particular period Note: The cost of a fixed asset is prorated over the estimated service life of such asset and each period is charged with part of such cost so that ultimately the enti re cost of the asset is charged off as an expense. In governmental accounting depreciation may be recorded in proprietary funds and trust funds where expenses, net income and/or capital maintenance are measured. Designated Funds that have been identified for a specific purpose. This differs from reserved funds, in that there is m legal requirementforfunds that have been designated. 4-3 Designated Fund Balance A fund balance that is not used in the City's plans for annual budgetary expenditures which has been segregated by Commission authorization for a specific purpose. Encumbrances Ol)igations in the form of purchase orders, contracts or salary commitments which are chargeable to an appropriation and for which a part of the approp-iation is reserved They cease to be encumbrances when paid or when the actualliabi Iity is set up. Enterprise Fund A fund established to finance and account for operations (1) that are finarced and operated in a manner similar to p-ivate business enterprises where tre intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general pul)ic on a continuing basis be financed or recovered primarily through user charges; or (2) where the governing lxldy has decided that periodic determination of revenues earned, expens=s i rcurred and/or net income is appropriate for capital mai ntenance, publ ic policy, management control, accountability or other purposes. Examples of enterprise funds are those for utilities, swimming pools, airports, and solid waste services. Expenditures If the accounts are kept on the accrual basis this term designates total charges incurred, wrether paid or unpaid, including expenses, provision for reti re me nt of debt not reported as a Iiabi Iity of the fund from which retired and capital outlays. l!they are kept on the cash basis, the term covers only actual disbursements for trese purposes. Note: Encumbrances are not considered expenditures. Expenses Charges incurred, whether paid or unpaid, for operation, maintenance and interest and other charges which are presumed to benefit the current fiscal period. Note: Legal provisions sometimes make it necessary to treat as expenses charges whose benefits extend over future periods. For example, purchase of materials and supplies which may be used over a pericxJ of more than one (1) year and payments for i nsu ra nce which may be used over a peri od of more than one (1) year and payments for insurance which is to be in force for a longer period than one (1) year frequently must be charged in their entirety to the appropriation of the year in which they are incurred and classified as expenses of that year even though their benefit extends to other periods. Fiscal Period Any period at the end of which a governmental unit determines its financial condition and the results of its operations and closes its books. Note: It is usually a year, though rot necessarily a calendar year Fiscal Year A twelve-month period of time to which the annual budget applies and at the end of whic h the City determines its finarcial position and results of operations. The City's fiscal year begins October 1 and ends September 30. Fixed Assets Land, buildings, machinery, furniture, or other equipment that have a useful life of more than one (1) year that cost more than $5,000. Franchise Fee Charges to service providers for exclusive/non- exclusive rights to operate within municipal lxlundaries. Examples include electric, gas, sanitation and tavving. Fund An independent fiscal and accounting entity with a self-balancing set of accounts recording cash and/or other resources, together with all related liabilities, obligations, reserves and equities which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions or limitations. Fund Accounts All accounts necessary to set forth the financial operations and financial condition of a fund Fund Balance The excess of a fund's assets over its liabilities and reserves. 4-4 General Fund The fund that is available for any legal authorized purpose and which is therefore used to account for all revenues and all activities except those required to be accounted for in another fund: Note: The General Fund is used to finance the ordinary operations of a governmental unit. Goal A statement of broad direction, purpose or intent based on the needs of the community. A goal is general am timeless; that is, it is rot concerned with a specific achievement in a given period Grant A contribution by one (1) governmental unit to another. The contribution is usually made to aid in the support of a specified function (e.g., education), but is sometimes also made for general purposes. Income This term is used in accounting for governmental enterprises and represents the excess ofthe revenues earned over the expenses incurred in carrying on particular phases of an enterprise's activities. A3 indicated elsewhere, the excess of the total revenues over the total expenses of the utility for a particular accounting period is called "net income." Infrastructure Public domain fixed assets including roads, bridges, curbs, gutters, sidewalks, drainage systems, lighting systems and other items that have value only to the City. Interest Income Revenue generated through the investment of fund balances. Interfund Transfers Administrative fees charged to other City fums for the provision of administration and other City services. Intergovernmental Revenue Revenue received from or through the Federal, state or County government, including State Revenue Sharing, Alcoholic Beverage Tax, Sales Tax am Gasol ine Taxes. Internal Service Fund A fund established to finance and account for services and commodities furnished by a designated department or agency to other departments or agencies within a single governmental unit or to other governmental units. Amounts expended by the fund are restored thereto, either from operating earni rgs or by transfers from other funds, so that the original fum's capital is kept intact. I nvento ry A detailed list showing quantities, descri ptions, property values, units of measure and unit prices. Note: The term is often confined to consumable suppies but may also cover fixed assets. Liabilities Debts or obligations owed by one (1) entity to another entity payable in money, goods or services. Mill A taxation unit equal to one dollar of tax obligation for every $1 ,000 of assessed property value. Millage The total tax obligation per $1,000 of assessed property val L.e. Mission Statement The statement that identifies the particular purpose and function of a department Net Current Assets Excess value of securities, cash, receivables and other assets over the liabilities of the fund Non-Departmental Activities, revenues and expemitures that are not assigned to a department. 4-5 Objective Somethi ng to be accomplished in specific, well-defined am measurable terms and that is achievable within a specific time frame. Operating Budget A budget for general revenues and expenditures such as salaries, utilities and suppl ies. Ordinance A formal legislative enactment by the governing ooard ofa municipality. Performance Budget A budget wherein expenditures are based primarily up:ln measurable performance of activities and work programs. Performance Measures Data collected to determine how effective and/or efficient a program is in achieving its objectives. Police Education Fund A special revenue fund used to account for revenues pursuant to Florida Statute 943.25 which allows municipalities to collect two (2) dollars from each traffic citation for the purpose of criminal justice education am training for police officers. Police Offduty Services Fund A special revenue fund used to account for revenues am expenditures associated with services provided by off duty police officers in private customer details to the various businesses and condominium associations. Property Tax A tax levied on the assessed value of real and personal property. This tax is also known as ad valorem tax. Reserves The City's current year budgeted funds that are not planned to te expended These reserves may "carryover" into the avai lable fund balance of subsequent years. Retai ned Earni ngs The ret value and accumulated annual financial resources of the City's Enterprise Fund. This balance also reflects the un depreciated values (or "book value") of the Fund's fixed assets such as automobiles, equipment and buildings. Revenues Increases in governmental fund type net current assets from other than expenditure refunds and residual equity transfers. Rolled-Back Rate The operating millage rate required to raise the same ad valorem tax revenues as were levied in a prior year, exclusive of new construction, additions to structures, deletions and property added (e.g., annexations). Sales Tax Tax imp:lsed on the purchase of goods and services. Special Revenue Fund A fund used to account for the proceeds of specific revenue sources that are legally restricted to expenditure for specified purposes. Taxable Value The assessed value less homestead and other exemptions, if appl icable. Taxes Compulsory charges levied by a government for the purp:lse of financing services performed for the common tenefi!. This term does not include specific charges made against particular persons or property for current or permanent tenefits such as special assessme nts. Transportation and Street Maintenance Fund A special revenue fund to account for restricted revenues and expenditures which by Florida Statutes are designated for street maintenance and construction costs. 4-6 Truth in Millage The Florida Truth in Millage Act ("TRIM") serves to formalize the property tax levyi ng process by requiring a specific method of tax rate calculation form of notice, public hearing requirements and advertisement specifications prior to the adop:ion of a budget tax rate. The effect of TRIM is to inform taxpayers that their property taxes are changing (up or down), the cause (a change in the assessed value of their property and/or an increase in the proposed sperding level) and how the proposed new tax rate compares to the rate that would generate the same property tax dollars as the current year (the "rolled-back" rate). U nappro priated Not obligated for specific purposes. Undesignated) (See U ndes ignated Without a specific purpose. (See Unappropriated) Unencumbered The portion of an allotment not yet expended or encumbered. Us eful Life The period of time that a fixed asset is expected to operate. This can refer to a budgeted period of time for an equipment class or the actual amount of time for a particular item. User Charges or Fees The payment of a fee for direct receipt of public service bytre party benefiting from the service. utility Service Tax Taxes levied on consumer consumption of utility services provided in the City. The tax is levied as a percentage of gross receipts 4-7 .;) Tee e~ (J~ & 4-8 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM FROM: Eric M. Soroka, ICMA-CM, Ci TO: City Commission DATE: July 9, 2008 SUBJECT: Resolution Establishing Proposed Millage Rate 2008/09 Fiscal Year July 17, 2008 City Commission Meeting Agenda Item ~ RECOMMENDATION It is recommended that the City Commission adopt a millage rate of 1.7261 for fiscal year 2008/09. This rate includes no increase and in fact will result in tax savings to most residents who have a homestead exemption. This will generate $15,479,349 based on an assessed value of $9,439,807,532. This is $279,000 less than the previous year. Based on the publicity surrounding Amendment One and the expectations of our property tax payers, the decision was made to hold our millage rate to the previous year. BACKGROUND Attached hereto is a Resolution that establishes the proposed millage rate for the 2008/09 fiscal year and public hearing dates. State statutes require the City to establish a tentative millage rate and the first public hearing date that will be transmitted to the County Property Appraisal Department. The County Property Appraisal Department issues a notice to all property owners in the City. The notice includes the proposed tax rates and public hearing dates for all government agencies imposing ad valorem taxes. The City Commission could adopt a tax rate anywhere between 1.7261 and 1.8274 without having to advertise a "Notice of Proposed Tax Increase". This is based on the 7.5% reduction in the City's assessed property values. The roll back rate of 1.8274 would generate $908,440 in additional revenue. A detail discussion of the requirements for setting the millage rate is contained in the memorandum attached hereto from our Finance Director. Memo to City Commission Page 2 If you have any questions, please feel free to contact me. EMS/act Attachment ceo 1622-08 RESOLUTION NO. 2008-_ A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, ESTABLISHING A PROPOSED MILLAGE RATE FOR THE 2008/2009 FISCAL YEAR; PROVIDING FOR THE DATE, TIME AND PLACE OF THE PUBLIC HEARING TO CONSIDER THE PROPOSED MILLAGE RATE AND TENTATIVE BUDGET; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Chapter 200, Florida Statutes, Determination of Millage, sets forth the procedures that must be followed in establishing a millage rate and adopting an annual budget; and WHEREAS, the Miami Dade County Property Appraisal Department has certified the taxable value of property within the City of Aventura, as required by Chapter 200, Section 200.065(1) and Chapter 193, Section 193.023, Florida Statutes; and WHEREAS, pursuant to Chapter 200, Section 200.065(2)(b), the City of Aventura is required to establish its proposed millage rate and the date, time and place that the public hearing will be held to consider the proposed millage rate and tentative budget. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Resolution No. 2008- Page 2 Section 1. The following is hereby established as the proposed millage rate for the 2008/2009 fiscal year: 1.7261 per $1,000.00 of taxable assessed value. Section 2. September 8, 2008 is hereby established as the date for a public hearing on the tentative budget and proposed millage rate, to be held at 6 p.m., at the Aventura Government Center, 19200 West Country Club Drive, Aventura, Florida. Section 3. The City Clerk be and is hereby authorized and directed to place all necessary advertisements in accordance with Chapter 200, Florida Statutes, the Truth in Millage (TRIM) Bill. Section 4. This Resolution shall become effective immediately upon its adoption. The foregoing resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Zev Auerbach Mayor Susan Gottlieb Resolution No. 2008- Page 3 PASSED AND ADOPTED this 1yth day of July, 2008. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY CITY ATTORNEY CITY OF AVENTURA FINANCE SUPPORT SERVICES DEPARTMENT TO: Eric M. Soroka, City Manager, Ie FROM: #' Brian K. Raducci, Finance Suppo DATE: July 9,2008 SUBJECT: Certification of Taxable Value/Dates for Public Hearings Property Tax Reform Measures in Place As you are aware, on January 29, 2008, Florida voters passed Amendment One, which will provide additional tax relief benefits to property owners throughout the state. As a result, the following benefits are in effect for FY 2008/09: ./ An Additional $25,000 Homestead Exemption. Properties with a Homestead Exemption will be automatically upgraded to the new $50,000 benefit. (The extra $25,000 homestead Exemption does not apply to taxes levied by the School Board). ./ A $25,000 Tangible Personal Property Exemption on business equipment such as computers, office furniture and fixtures. ./ Portability, which allows homeowners to transfer all or part of their "Save Our Homes" Assessment Difference to a new home. Qualified applicants are now able to transfer (or port) this Save Our Homes benefit up to $500,000, whether they are buying a more or less expensive home. ./ A 10% cap on increases in the annual assessment of non-homesteaded properties will QO into effect next year (FY 2009/10) and will not apply to taxes levied by the School Board. DR-420 Certification of Taxable Value and Millage Rates On July 1, 2008, we received the 2008 Certification of Taxable Value - DR-420 (the "form" included as Exhibit I) from the Miami-Dade County Department of Property Appraisal. 1 Upon its review, I was concerned by the $9,439,807,532 taxable value that was reported to us (line 4 of the form). This value was considerably lower than the taxable value which was provided to us by the Property Appraisal Office on June 1 of $9,738,000,000. The difference of $298,192,468 is a decrease of 3.06%. On July 2, you sent a letter to the Property Appraiser asking him to provide a written explanation for the drastic change between the June 1 and July 1 taxable values and the 2007 and 2008 final gross taxable value. As of the date that this memorandum was prepared, we have yet to receive a response to your letter. The DR-420 includes a breakdown of the change in taxable value into two (2) segments. The first segment is the $554,745,572 increase in taxable value due to new construction (line 5 of the form). The second segment is the change which is due to a decrease in taxable value on existing property as a result of the national recession and local sagging housing market. This decrease of $521,557,663 (-5.54%) is computed by . subtracting the $9,406,619,623 (line 7) from the $8,885,061,960 (line 6) of the form. The purpose of the form is for a taxing authority to calculate its "rolled-back rate." Section 200.065 (1) of the Florida Statutes, defines the rolled-back rate as that millage rate "which, exclusive of new construction, additions to structures, deletions, increases in the value of improvements that have undergone a substantial rehabilitation....., will provide the same ad valorem tax revenue for each taxing authority as was levied during the prior year... ... The City's rolled-back rate for 2008 (FY 2008/09) is 1.8274 (line 17) of the form. This rolled-back rate, unlike previous years is actually higher than the City's current millage rate of 1.7261. This anomaly is due to the decrease in the taxable values resulting from a national recession as well as a steep drop in the South Florida housing market. DR-420MMP Maximum Millage Levy Calculation Preliminary Disclosure In addition to the DR-420 the City must prepare the DR-420MMP (Exhibit II) to determine what other millage rates the City could adopt and by what level of Commission approval. Listed below you find the scenarios applicable to the City: A.) Majority Vote (4 of 7 Commissioners) - a millage rate of 1.8518 mills (line 24 of the DR-420 MM-P) could be adopted B.) Two-thirds Vote (5 of 7 Commissioners) - a millage rate of 2.0935 mills (line 25 of the DR-420 MM-P) could be adopted C.) Unanimous Vote (7 of 7 Commissioner) - a millage rate of 10.0000 mills could be adopted D.) Referendum - N/A as not enough time remains to implement The City Commission could adopt a rate anywhere between 1.7261 and 1.8274 without having to advertise a "Notice of Proposed Tax Increase." 2 Based on the publicity surrounding the need for property tax reform and the expectations of our property taxpayers, the decision was made to hold our proposed millage rate to 1.7261 mills. This rate has been utilized in preparing our FY 2008/09 Budget and requires only a majority vote of the City Commission to adopt. After a 5% reduction to cover early payment discounts of up to 4%, plus 1 % for uncollectibility, the proposed millage rate will generate the $15,479,349 of ad valorem taxes reflected on page 2-10 of the budget document. You will note that this amount is $278,887 less than the $15,758,236 budgeted last year based on the same rate of 1.7261 mills. For comparative purposes, if the City were to adopt the roll-back rate of 1.8274 it would generate $16,387,789 in ad valorem taxes for a difference of $908,440 ($16,387,789 - $15,479,349). Dates for Public Hearings Since we received the certification on July 1, state law requires us to hold two (2) public hearings between September 3rd and October 8th, The Count~ Commission's first and second public hearings are scheduled for September 4t and September 18th respectively and the School Board's second public hearing is scheduled for September 10th. Our public hearing meeting dates cannot conflict with either the County Commission or School Board public hearing meeting dates. In addition, Labor Day is September 1St, our regular Commission meeting is September 9th and Rosh Hashanah begins at Sundown on September 29th. Therefore, the most logical dates for our hearings are: First public hearing Second public hearing 6:00 P.M., Monday, September 8th 6:00 P.M., Wednesday, September 24th Since we need to include the date of the first meeting on the Certification of Taxable Value, we need to have a commitment from the Mayor and Commission by no later than the July 1yth budget review meeting. The information contained in the preceding paragraphs is based on my review of the Florida Department of Revenue 2008 TRIM Compliance Workbook, and has been reviewed by the Department of Revenue to ensure statutory compliance. Please let me know if you any questions or comments pertaining to this memorandum. 3 E)('1T181r / " DEPARTMENT OF REVENUE City: TA: Levy: CERTIFICATION OF TAXABLE VALUE OR-420 R. 06/08 Rule 12DER08-18 Florida Administrative Code Effective 06/08 FOR OOR USE ONLY Year County 2008 MIAMI-DADE Principal Authority Taxing Authority CITY OF AVENTURA CITY OF AVENTURA SECTION I: COMPLETED BY PROPERTY APPRAISER 1, Current year taxable value of real property for operating purposes $ 9,230,689,167 (1 ) 2. Current year taxable value of personal property for operating purposes $ 206,747,958 (2) 3. Current year taxable value of centrally assessed property for operating purposes $ 2,370,407 (3) 4. Current year gross taxable value for operating purposes (Line 1 plus Line 2 plus Line 3) $ 9,439,807,532 (4) Current year net new taxable value (Add new construction, additions, rehabilitative improvements 5, increasing assessed value by at least 100%, annexations, and tangible personal property value in $ 554,745,572 (5) excess of 115% of the previous year's value, Subtract deletions.) 6. Current year adjusted taxable value (Line 4 minus Line 5) $ 8,885,061,960 (6) 7. Prior year FINAL gross taxable value (From prior year applicable Form DR-403 series) $ 9,406,619,623 (7) 8. Enter number of tax increment value worksheets (DR-420TlF) attached (If none, enter 0) 0 (8) Does the taxing authority levy a voted debt service millage or a millage voted for 2 years or less I 9. under s, 9(b), Article VII, State Constitution? (If yes, complete and attach form DR-420 VMA, Voted Yes 0 tNO~ (9) Millage Addendum ,) I I 10, Information for maximum millage calculation: Current year gross taxable value for operating $ 9,686,310,142 (10) purposes without the impact of Amendment 1, Property Appraiser Certification w I certify the taxable values shown above are correct to the best of my knowledge, 0:: w J: Signature of Property Appraiser Date z Cl in July 1, 2008 SECTION II: COMPLETED BY TAXING AUTHORITY If this portion of the form is not completed in FULL your authority will be denied TRIM certification and possibly lose its millage levy privilege for the tax year. If any line is inapplicable, enter N/A or -0-. 11, Prior year operating millage levy $ 1.7261 per $1 ,000 (11 ) 12. Prior year ad valorem proceeds (Line 7 multiplied by Line 11) $ 16,236,766 (12) 13. Amount, if any, paid or applied in prior year as a consequence of an obligation measured by a $ 0 (13) dedicated increment value (Sum of either Line 6c or Line 7a for all DR-420TIF forms) 14. Adjusted prior year ad valorem proceeds (Line 12 minus Line 13) $ 16,236,766 (14) 15, Dedicated increment value, if any (Sum of either line 6b or Line 7e for all DR-420TIF forms) $ 0 (15) 16. Adjusted current year taxable value (Line 6 minus Line 15) $ 8,885,061,960 (16) 17. Current year rolled-back rate (Line 14 divided by Line 16, multiplied by 1,000) $ 1.8274 per $1,000 (17) CONTINUED ON PAGE 2 SECTION II: COMPLETED BY TAXING AUTHORITY - CONTINUED FROM PAGE 1 18. Current year proposed operating millage rate $ 1.7261 per $1,000 (18) 19, Total taxes to be levied at proposed millage rate (Line 18 $ 16,294,052 (19) multiplied by Line 4, divided by 1,000) 20, Check TYPE of principal authority (check one) D County D Independent Special District I Da' MU!l~P~ty=-:.J D Water Management District (20) 21, Check applicable taxing authority (check one) I ~ Principal AuthorityJ D Dependent Special District D MSTU D Water Management District Basin (21) I I 22, Is millage levied in more than one county? (check one) DYes 118:1 No I (22) I DEPENDENT SPECIAL DISTRICTS AND MSTUs: STOP HERE - SIGN AND SUBMIT Enter the total adjusted prior year ad valorem proceeds of the principal authority, all dependent 23. special districts, and MSTUs levying a millage, (The sum of Line 14 $ 16,236,766 (23) from all DR-420 forms) 24. Current year aggregate rolled-back rate (Line 23 $ 1.8274 per $1 ,000 (24) divided by Line 16, multiplied by 1,000) 25, Current year aggregate rolled-back taxes (Line 4 $ 17,250,304 (25) multiplied by Line 24, divided by 1,000) Enter total of all operating ad valorem taxes proposed to be levied by the principal taxing authority, 26, all dependent districts, and MSTUs, if any, (Total of Line 19 $ 16,294,052 (26) from all DR-420 forms) 27, Current year proposed aggregate millage rate (Line 26 $ 1.7261 per $1 ,000 (27) divided by Line 4, multiplied by 1,000) 28, Current year proposed rate as a percent change of rolled-back rate (Line 27 -5.54 % (28) divided by Line 24, minus 1, multiplied by'100) Date Time Place First public budget hearing September 8, 2008 6:00 P,M. 19200 W. Country Club Drive, Aventura, FL 33180 OR-420 R. 06/08 Page 2 Taxing Authority Certification I certify the millages and rates are correct to the best of my knowledge. The millages comply with the provisions of Section 200,185 and 200.071 or 200,081, F,S, Signature of Chief Administrative Officer Date W 0::: July 18, 2008 W Title Physical Address J: Z C) City Manaqer 19200 W. Country Club Drive en Mailing Address Name of Contact pe"rson 19200 W, Country Club Drive Brian K. Raducci City, State, Zip Phone # Fax# Aventura, FL 33180 (305) 466-8920 (305) 466-8939 SEE INSTRUCTIONS ON PAGE 3 €>CIhi3 rr II P'I DEPARTMENT OF REVENUE MAXIMUM MILLAGE LEVY CALCULATION PRELIMINARY DISCLOSURE DR-420MM-P N. 06/08 Rule 12DER08-18 Florida Administrative Code Effective06J08 For municipal governments, counties, and special districts Year County 2008 MIAMI-DADE Principal Authority Taxing Authority CITY OF AVENTURA CITY OF AVENTURA 1. Is your taxing authority a municipality or independent special district that has I levied ad valorem taxes for less than 5 years? Yes 0 INO~ (1 ) If Yes, STOP HERE. Sign on page 2 and submit. You are not subject to a millage limit in FY2008-09. 2, Current vear qross taxable value from Form DR-420, Line 4 $ 9,439,807,532 (2) 3. Current year rolled-back rate from Form DR-420, Line 17 $ 1.8274 per $1,000 (3) Does prior year millaoe exceed maiority-vote rate? 4, Is your taxing authority a municipality or independent special district that had Yes 0 INO~ levied ad valorem taxes for less than 5 years in 2007 and was not subject to a (4) millage limit in FY2007-2008? If yes, go to line 16, If no, continue to line 5, 5, In 2007, was your taxing authority part of a group of a principal authority and its Yes 0 INO fi'l dependent special districts and MSTUs which levied taxes within the majority vote (5) rate, but had at least one member adopt a higher rate? If yes, go to line 16, If no, continue to line 6. 6, Prior year operatinQ millaQe levv from Form DR-420, Line 11 $ 1 .7261 per $1 ,000 (6) 7, Prior vear rolled-back rate from 2007 Form DR-420, Line 15 $ 1.8968 per $1,000 (7) 8, Prior year percentage of rolled-back rate allowed to be levied by a majority vote from 2007 Form DR-420 e, Line 5; Form DR-420 M, Line 6; or Form DR-420 I, 91 % (8) Line 6 Prior year maximum millage with a majority vote (Line 7 multiplied by the $ 1.7261 per $1,000 (9) 9, IpercentaQe in Line 8) (Example: 5,3927 x 95% = 5,1231) Recalculate rolled-back rate based on prior year maiority-vote millaae rate 10. Prior vear final cross taxable value from Form DR-420, Line 7 $ (10) 11, Prior year ad valorem proceeds with majority vote (multiply Line 9 by Line 10 and $ (11 ) divide bv 1,000) 12, Amount, if any, paid or applied in prior year because of an obligation measured by $ (12) a dedicated increment value from Form DR-420, Line 13 Adjusted prior year ad valorem proceeds with majority vote (Line $ (13) 13, 11 minus Line 12) 14, Adiusted current year taxable value from Form DR-420, Line 16 $ (14) Adjusted current year rolled-back rate (Line 13 $ per $1,000 (15) 15, divided by Line 14, multiplied by 1,000) Calculate maximum millaae levy for 2008 16. Rolled-back rate to be used for maximum millage levy calculation (Enter $ 1.8274 per $1,000 (16) Line 15 if calculated, or Line 3 if Line 15 is not calculated) 17. Adjustment for growth in per capita Florida personal income 1.0415 (17) 18, Rolled-back rate adjusted for change in per capita Florida personal income $ 1.9032 per $1,000 (18) (Line 16 multiplied by Line 17) 19, Estimated current year gross taxable value for operating purposes without the $ 9,686,310,142 (19) impact of Amendment 1 from Form DR-420, Line 10 20, Current year adjustments to taxable value from Form DR-420 $ 554,745,572 (20) (Line 5, DR-420 plus Line 15, Form DR-420) IF LINE 91S EQUAL TO OR GREATER THAN LINE 6, GO TO LINE 16.IF NOT, CONTINUE TO LINE 10. CONTINUED ON PAGE 2 21. Estimated current year adjusted taxable value without Amendment 1 impacts $ 9,131,564,570 (21) (Line 19 minus Line 20), 22, Adjusted current year taxable value from Form DR-420, Line 16 $ 8,885,061,960 (22) 23, Percentage adjustment to majority vote rolled-back rate for impact of Amendment 97.30 (23) 1 (Line 22 divided bv Line 21, multiplied bv 100) % 24. Majority vote maximum millage rate allowed (Line 18 multiplied by the percentage on $ 1.8518 per $1,000 (24) Line 23. Example: 4.6718 x 93,12% = 4,3504) 25, Two-thirds vote maximum millage rate allowed (multiply Line 18 by 1.10) $ 2.0935 per $1,000 (25) 26, Current year proposed millage rate: must equal rate entered on Form DR-420, $ 1.7261 per$1,000 (26) Line 18 27. Current year proposed taxes (multiply Line 26 by Line 2, divided by 1,000) $ 16,294,052 (27) 28, Minimum vote reQuired to levy proposed millaqe: (Check one) (28) lEI a, Majoriw. vote of the governing body: Enter millage rate from Line 24 on Line 29. ---- D b, Two-thirds vote of governing body: Enter millage rate from Line 26 on Line 29. D c. Unanimous vote of the governing body or 3/4 vote if nine members or more: Enter millage rate from Line 26 on Line 29, D d, Referendum: Enter millage rate from Line 26 on Line 29, 29, The selection on Line 28 allows a maximum millage rate of: 1.8518 (Enter rate indicated by choice on Line 28) $ per $1,000 (29) 30. Total taxes levied at the maximum millage rate: $ 17,480,636 (30) Line 29 multiplied bv Line 2 divided bv 1 000) DEPENDENT SPECIAL DISTRICTS AND MSTUs: STOP HERE - SIGN AND SUBMIT Total Current Year Taxes levied 31. Enter the current year proposed taxes of all dependent special districts & MSTUs levying a millage (The sum of all Lines 27 from each district's Form DR-420 MM- $ (31) P) 32. Total current year proposed taxes (Line 27 plus Line 31) $ 16,294,052 (32) Total Maximum Taxes 33, Enter the taxes at the maximum millage of all dependent special districts & MSTUs levying a millage (The sum of all Lines 30 from each district's Form DR- $ 0 (33) 420 MM-P) 34, Total taxes at maximum millage (Line 30 plus line 33) $ 17,480,636 (34) Total Maximum Versus Total Taxes levied 35. Are total current year proposed taxes on Line 32 equal to or less than total taxes Yes~ I at proposed maximum millage on Line 34? (Check one) INOD (35) DR-420 MM-P N, 06/08 Page 2 Complete and submit this Form DR-420MM-P, Maximum Millage levy Calculation - Preliminary Disclosure, to your count ro e a raiser with Form DR-420, Certification of Com liance. Taxin Authority Certification I certify the millages and rates are correct to the best of my knowledge. The millages comply with the provisions of Section 200.185 and 200.071 or 200.081, F.S. Signature of Chief Administrative Officer Date w 0::: w :I: Z C> en July 18, 2008 Title Physical Address 19200 W. Count Club Drive Mailing Address Name of Contact Person 19200 W. Count Club Drive City, State, Zip Brian K. Raducci Phone # Fax # Aventura, FL 33180 305 466-8920 SEE INSTRUCTIONS ON PAGE 3 305 466-8939 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM TO: City Commission FROM: Eric M. Soroka, City Manager, ICMA-CM, DATE: July 10, 2008 SUBJECT: Resolution Authorizing Execution of Agreement for Construction Management Services with Suffolk Construction Company, Inc. - Arts & Cultural Center Project July 17, 2008 City Commission Meeting Item 3 RECOMMENDATION It is recommended that the City Commission adopt the attached Resolution, which authorizes the execution of the Agreement for Construction Management Services (CMS) with a Guaranteed Maximum Price (GMP) for Phase I relative to the Arts & Cultural Center project with Suffolk Construction Company, Inc. Phase I includes only demolition, site clearing, temporary fencing and utility relocation. The GMP for Phase I has been established at $201,587 including a CMS fee of $9,599 and a $6,457 contingency amount. The Agreement also establishes the construction management fee percentage based on the GMP for the total project and compensation for the pre- construction phase. The GMP for Phase II which includes the construction of the Arts & Cultural Center facility will be developed at a later date. The two phases will allow for expediting the project. BACKGROUND As previously authorized, the City Administration has been negotiating the CMS fee with Suffolk Construction Company, Inc. for the Arts & Cultural Center project. The construction management fee percentage based on the GMP is 5.0% and compensation for the pre-construction phase is $30,000. Based on an estimated construction cost of $5,900,000, the total fee would be $330,000. The fee is very competitive when compared with similar projects in the City and other jurisdictions. In the event the project is completed at a cost less the established GMP, the City would receive any amounts unspent in the established Contingency plus the first $50,000 in Page 2 savings and for any amount above that figure it would be split City - 70% and Construction Manager -30%. Phase I activities will be completed in forty five days from the date of issuance of notice to proceed. As indicated above, the GMP for Phase II will be developed once the Architect provides the construction documents. This will require City Commission approval in the form of an amendment to the Agreement. The City Attorney, Architect and staff have reviewed the attached standard AlA Agreement between Owner and Contractor. Should you have any questions, please feel free to contact me. EMS RESOLUTION NO. 2008- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AUTHORIZING THE CITY MANAGER TO EXECUTE THE ATTACHED STANDARD FORM OF AGREEMENT BETWEEN OWNER (CITY OF AVENTURA) AND SUFFOLK CONSTRUCTION COMPANY, INC. FOR THE CONSTRUCTION OF THE ARTS & CULTURAL CENTER PROJECT; ESTABLISHING THE GUARANTEED MAXIMUM PRICE FOR PHASE I; ESTABLISHING THE PRE-CONSTRUCTION AND CONSTRUCTION MANAGEMENT FEE; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Aventura, in accordance with applicable State law, has requested proposals from firms for services relative to Construction Management with Guaranteed Maximum Price; and WHEREAS, the City Commission adopted Resolution No. 2008-22 which selected the firm of Suffolk Construction Company, Inc. to perform Construction Management Services with a Guaranteed Maximum Price relating to the Arts & Cultural Center Project; and WHEREAS, the City Manager has negotiated an Agreement for Construction Management Services and the establishment of the Guaranteed Maximum Price for Phase I; and WHEREAS, the City Commission, upon review, wishes to authorize the City Manager to execute an Agreement for Construction Management Services and establish the Guaranteed Maximum Price for Phase I with Suffolk Construction Company, Inc. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF A VENTURA, FLORIDA, THAT: Resolution No. 2008-_ Page 2 Section 1. The City Commission hereby authorizes the City Manager to execute the attached Standard Form of Agreement, subject to approval as to legal form and sufficiency by the City Attorney, between Owner (City of Aventura) and Construction Manager (Suffolk Construction Company, Inc.) for the construction of the Arts & Cultural Center Project, which establishes the pre-construction and construction management fee. Section 2. The Guaranteed Maximum Price for Phase 1 as outlined in the attached document, is hereby approved. Section 3. The City Manager is hereby authorized to do all things necessary to carry out the aims of this Resolution. Section 4. This Resolution shall become effective immediately upon its adoption. The foregoing resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Zev Auerbach Mayor Susan Gottlieb Resolution No. 2008- Page 3 PASSED AND ADOPTED this 1 yth day of July, 2008. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY '-::~ AlA Dacu ment A 111" - 1997 Standard Form of Agreement Between Owner and Contractor where the basis for payment is the COST OF THE WORK PLUS A FEE with a negotiated Guaranteed Maximum Price AGREEMENT made as of the ] 7 day of JULY Eight (In words, indicate day, month and year) in the year Two Thousand BETWEEN the Owner: (Name. address and other information) City of Aventura 19200 West Country Club Drive A ventura, F]orida 33] 80 and the Contractor: (Name. address and other information) Suffolk Construction Company, Inc. 5]5 North F]ag]er Drive, Suite 500 West Palm Beach, Florida 3340] The Project is: (Name and location) A ventura Arts and Cultural Center - Phase] Pre-Construction Services, Demolition and Clear & Grub The Architect is: (Name. address and other information) PGAL 3]6 Sunset Drive, Suite B Ft. Lauderda]e, Florida 33301 The Owner and Contractor agree as follows. (Paragraph deleted) This agreement includes PreConstruction Sevices, Demolition and Clear & Grub as set forth in Attachment "A", In addition, this agreement serves as a template for all project terms. The Guaranteed Maximum Price (GMP) will be incorporated via a GMP Amendment (Phase 2 of this agreement). The GMP Amendment will include all Exhibits referenced herein. ADDITIONS AND DELETIONS: The author of this document has added information needed for its completion, The author may also have revised the text of the original AlA standard form, An Additions and Deletions Report that notes added information as well as revisions to the standard form text is available from the author and should be reviewed. A vertical line in the left margin of this document indicates where the author has added necessary information and where the author has added to or deleted from the original AlA text. This document has important legal consequences. Consultation with an attorney is encouraged with respect to its completion or modification. This document is not intended for use in competitive bidding. AlA Document A20 1-1997, General Conditions of the Contract for Construction, is adopted in this document by reference, Do not use with other general conditions unless this document is modified. This document has been approved and endorsed by the Associated General Contractors of America, In it. 1 AlA Document Alll ™ -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved, WARNING: This AlA" Document is protected by U,S. Copyright Law and International Treaties, Unauthorized reproduction or distribution of this AlA" Document, or any portion of it. may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No,1000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1347133922) ARTICLE 1 THE CONTRACT DOCUMENTS The Contract Documents consist of this Agreement, Conditions of the Contract (General, Supplementary and other Conditions), Contractor's Qualifications and Assumptions Drawings, Specifications, Addenda issued prior to execution of this Agreement, other documents listed in this Agreement and Modifications issued after execution of this Agreement; these form the Contract, and are as fully a part of the Contract as if attached to this Agreement or repeated herein. The Contract represents the entire and integrated agreement between the parties hereto and supersedes prior negotiations, representations or agreements, either written or oral. An enumeration of the Contract Documents, other than Modifications, appears in Article ] 5. If anything in the other Contract Documents is inconsistent with this Agreement, this Agreement shall govern. ARTICLE 2 THE WORK OF THIS CONTRACT The Contractor shall fully execute the Work described in the Contract Documents, except to the extent specifically indicated in the Contract Documents to be the responsibility of others. ARTICLE 3 RELATIONSHIP OF THE PARTIES The Contractor accepts the relationship of trust and confidence established by this Agreement and covenants with the Owner to cooperate with the Architect and exercise the Contractor's skill and judgment in furthering the interests of the Owner; to furnish efficient business administration and supervision; to furnish at all times an adequate supply of workers and materials; and to perform the Work in an expeditious and economical manner consistent with the Owner's interests. The Owner agrees to furnish and approve, in a timely manner, information required by the Contractor and to make payments to the Contractor in accordance with the requirements of the Contract Documents. ARTICLE 4 DATE OF COMMENCEMENT AND SUBSTANTIAL COMPLETION ~ 4.1 The date of commencement of the Work shall be the date of this Agreement unless a different date is stated below or provision is made for the date to be fixed in a notice to proceed issued by the Owner. (Insert the date of commencement, if it differs from the date of this Agreement or, if applicable, state that the date will be fixed in a notice to proceed.) Date of Commencement shall be fixed in a Notice to Proceed, which shall be issued after the issuance of all permits necessary for construction or as delineated in the GMP Amendment. If, prior to commencement of the Work, the Owner requires time to file mortgages, mechanic's liens and other security interests, the Owner's time requirement shall be as follows: ~ 4.2 The Contract Time shall be measured from the date of commencement. ~ 4.3 The Contractor shall achieve Substantial Completion of the entire Work for Phase I not later than 45 days from the date of commencement, or as follows: (Insert number of calendar days. Alternatively, a calendar date may be used when coordinated with the date of commencement. Unless stated elsewhere in the Contract Documents, insert any requirements for earlier Substantial Completion of certain portions of the Work.) To be determined upon the issuance of the GMP Amendment. Portion of Work To be determined at the time of the Notice of Commencement of construction. Substantial Completion date To be determined at the time of the Notice of Commencement of construction. , subject to adjustments of this Contract Time as provided in the Contract Documents. (Insert provisions, if any, for liquidated damages relating to failure to complete on time, or for bonus payments for early completion of the Work.) In the event that Contractor shall fail, without excuse, to achieve Substantial Completion of the Work (or any separate phase thereof) by the date(s) set forth herein, Contractor shall be liable AlA Document A111TM -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 2 Init. to Owner for liquidated damages in the amount of $ 1,000.00 per day for each day after the Substantial Completion Date until Contractor shall achieve Substantial Completion per day for each day prior to the Substantial Completion date. The parties acknowledge that the damages which might be suffered by Owner as a result of delayed completion of the Work are difficult to ascertain and that these liquidated damages represent a reasonable approximation of such damages. Owner further agrees that recovery of such liquidated damages shall be Owner's sole and exclusive remedy for Contractor's unexcused delay in achieving Substantial Completion. ARTICLE 5 BASIS FOR PAYMENT ~ 5.1 CONTRACT SUM ~ 5.1.1 The Owner shall pay the Contractor the Contract Sum in current funds for the Contractor's performance of the Contract. The Contract Sum is the Cost of the Work as defined in Article 7 plus the Contractor's Fee. ~ 5.1.2 The Contractor's Fee is: (State a lump sum, percentage of Cost of the Work or other provision for determining the Contractor's Fee, and describe the method of adjustment of the Contractor's Feefor changes in the Work.) Five Percent (5%) of the cost of the work, inclusive of Division ]-]6, Genera] Conditions, Insurances, Bonds and Costs of Staff with Labor Burden.. This amount will be determined at the time of the GMP and will not be adjusted in the event of savings. The amount will be a lump sum, ~ 5.2 GUARANTEED MAXIMUM PRICE ~ 5.2.1 The sum of the Cost of the Work and the Contractor's Fee is guaranteed by the Contractor not to exceed ($ Two hundred Thirty-one thousand five hundred eighty-seven dollars $ 23] ~87-:'Om ), subject to additions and deductions by Change Order as provided in the Contract Documents. Such maximum sum is referred to in the Contract Documents as the Guaranteed Maximum Price. Costs which would cause the Guaranteed Maximum Price to be exceeded shall be paid by the Contractor without reimbursement by the Owner. (Insert specific provisions if the Contractor is to participate in any savings.) Any Contingency funds remaining will revert 100% to the Owner. In the event that the actual Cost of the Work, plus Contractor's Fee, is less than the GMP, then Contractor and Owner agree that any such savings up to $50,000.00 below the GMP shall be shared in the following percentages: 100% to Owner and 0 % to Contractor. The Contractor and Owner further agree that any such savings in excess of $50,000.00 below the GMP shall be shared in the following percentages: 70% to Owner and 30 % to Contractor. Such savings shall be recognized by Change Order at Substantial Completion of the Work, and approved for payment on the succeeding Application for Payment. ~ 5.2.2 The Guaranteed Maximum Price is based on the following alternates, if any, which are described in the Contract Documents and are hereby accepted by the Owner: (State the numbers or other identification of accepted alternates. If decisions on other alternates are to be made by the Owner subsequent to the execution of this Agreement, attach a schedule of such other alternates showing the amount for each and the date when the amount expires.) ~ 5,2,3 Unit prices, if any, are as follows: Description nla Units n/a Price ($ 0.00) n/a ~ 5.2.4 Allowances, if any, are as follows (Identify and state the amounts of any allowances, and state whether they include labor, materials, or both.) Allowance nla Amount ($ 0.00) n/a Included items n/a AlA Document A111 ™ -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA~ Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA~ Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No,1000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 3 Init. 95.2.5 Assumptions, if any, on which the Guaranteed Maximum Price is based are as follows: See Contractor's Qualifications and Assumptions, attached as Exhibit "C". 9 5.2.6 To the extent that the Drawings and Specifications are anticipated to require further development by the Architect, the Contractor has provided in the Guaranteed Maximum Price for such further development consistent with the Contract Documents and reasonably inferable therefrom. Such further development does not include such things as changes in scope, systems, kinds and quality of materials, finishes or equipment, all of which, if required, shall be incorporated by Change Order. ARTICLE 6 CHANGES IN THE WORK 96.1 Adjustments to the Guaranteed Maximum Price on account of changes in the Work may be determined by any of the methods listed in Section 7.3.3 of AlA Document A201-1997. 96.2 In calculating adjustments to subcontracts (except those awarded with the Owner's prior consent on the basis of cost plus a fee), the terms "cost" and "fee" as used in Section 7.3.3.3 of AlA Document A201-1997 and the terms "costs" and "a reasonable allowance for overhead and profit" as used in Section 7.3.6 of AIA Document A201-1997 shall have the meanings assigned to them in AlA Document A201-1997 and shall not be modified by Articles 5, 7 and 8 of this Agreement. Adjustments to subcontracts awarded with the Owner's prior consent on the basis of cost plus a fee shall be calculated in accordance with the terms of those subcontracts. 96.3 In calculating adjustments to the Guaranteed Maximum Price, the terms "cost" and "costs" as used in the above-referenced provisions of AlA Document A201-1997 shall mean the Cost of the Work as defined in Article 7 of this Agreement and the terms "fee" and "a reasonable allowance for overhead and profit" shall mean the Contractor's Fee as defined in Section 5.1.2 of this Agreement. 9 6.4 If no specific provision is made in Section 5.1 for adjustment of the Contractor's Fee in the case of changes in the Work, or if the extent of such changes is such, in the aggregate, that application of the adjustment provisions of Section 5.1 will cause substantial inequity to the Owner or Contractor, the Contractor's Fee shall be equitably adjusted on the basis of the Fee established for the original Work, and the Guaranteed Maximum Price shall be adjusted accordingly. ARTICLE 7 COSTS TO BE REIMBURSED 97.1 COST OF THE WORK The term Cost of the Work shall mean costs necessarily incurred by the Contractor in the proper performance of the Work. Such costs shall be at rates not higher than the standard paid at the place of the Project except with prior consent of the Owner. The Cost of the Work shall include only the items set forth in this Article 7. 9 7.2 LABOR COSTS 97.2.1 Wages of construction workers directly employed by the Contractor to perform the construction of the Work at the site or, with the Owner's approval, at off-site workshops. 97.2.2 Wages or salaries of the Contractor's supervisory and administrative personnel when stationed at the site with the Owner's approval. See Article 14.6.1. (If it is intended that the wages or salaries of certain personnel stationed at the Contractor's principal or other offices shall be included in the Cost of the Work, identify in Article 14 the personnel to be included and whether for all or only part of their time, and the rates at which their time will be charged to the Work.) 9 7.2.3 Wages and salaries of the Contractor's supervisory or administrati ve personnel engaged, at factories, workshops or on the road, in expediting the production or transportation of materials or equipment required for the Work, but only for that portion of their time required for the Work. 97.2.4 Costs paid or incurred by the Contractor for taxes, insurance, contributions, assessments and benefits required by law or collective bargaining agreements and, for personnel not covered by such agreements, customary benefits such as , medical and health benefits, and pensions, at an agreed rate of 1.58 times direct salary costs for AlA Document A111TM -1997, Copyright @ 1920,1925,1951,1958,1961,1963,1967,1974,1978,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No. 1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 4 Init. Contractor's personnel assigned to the Project, provided such costs are based on wages and salaries included in the Cost of the Work under Sections 7.2.1 through 7.2.3. Cost associated with sick leave, holidays and vacations and project bonuses are cost of the work and not included in the 1.58 burden rate noted above. Cost associated with General Liability insurance shall be reimbursed at a rate of 1 % of the entire contract value. ~ 7.3 SUBCONTRACT COSTS ~ 7.3.1 Payments made by the Contractor to Subcontractors in accordance with the requirements of the subcontracts. ~ 7.4 COSTS OF MATERIALS AND EQUIPMENT INCORPORATED IN THE COMPLETED CONSTRUCTION ~ 7.4.1 Costs, including transportation and storage, of materials and equipment incorporated or to be incorporated in the completed construction. ~ 7.4.2 Costs of materials described in the preceding Section 7.4.1 in excess of those actually installed to allow for reasonable waste and spoilage. Unused excess materials, if any, shall become the Owner's property at the completion of the Work or, at the Owner's option, shall be sold by the Contractor. Any amounts realized from such sales shall be credited to the Owner as a deduction from the Cost of the Work. ~ 7.5 COSTS OF OTHER MATERIALS AND EQUIPMENT, TEMPORARY FACILITIES AND RELATED ITEMS ~ 7.5.1 Costs, including transportation and storage, installation, maintenance, dismantling and removal of materials, supplies, temporary facilities, machinery, equipment, and hand tools not customarily owned by construction workers, that are provided by the Contractor at the site and fully consumed in the performance of the Work; and cost (less salvage value) of such items if not fully consumed, whether sold to others or retained by the Contractor. Cost for items previously used by the Contractor shall mean fair market value. ~ 7.5.2 Rental charges for temporary facilities, machinery, equipment, and hand tools not customarily owned by construction workers that are provided by the Contractor at the site, whether rented from the Contractor or others, and costs of transportation, installation, minor repairs and replacements, dismantling and removal thereof. Rates and quantities of equipment rented shall be subject to the Owner's prior approval. ~ 7.5.3 Costs of removal of debris from the site. ~ 7.5.4 Costs of document reproductions, facsimile transmissions and long-distance telephone calls, postage and parcel delivery charges, telephone service at the site and reasonable petty cash expenses of the site office. ~ 7.5.5 That portion of the reasonable expenses of the Contractor's personnel incurred while traveling in discharge of duties connected with the Work, inclusive of car allowances and corporate gas cards for project personnel. ~ 7.5.6 Costs of materials and equipment suitably stored off the site at a mutually acceptable location, if approved in advance by the Owner. ~ 7.6 MISCELLANEOUS COSTS ~ 7.6.1 That portion of insurance and bond premiums that can be directly attributed to this Contract: ~ 7.6.2 Sales, use or similar taxes imposed by a governmental authority that are related to the Work. ~ 7.6.3 Fees and assessments for the building permit and for other permits, licenses and inspections for which the Contractor is required by the Contract Documents to pay. ~ 7.6.4 Fees of laboratories for tests required by the Contract Documents, except those related to defective or nonconforming Work for which reimbursement is excluded by Section 13.5.3 of AlA Document A201-1997 or other provisions of the Contract Documents, and which do not fall within the scope of Section 7.7.3. Init. AlA Document A111TM -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved, WARNING: This AlA" Document is protected by U.S, Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 5 ~ 7.6.5 Royalties and license fees paid for the use of a particular design, process or product required by the Contract Documents; the cost of defending suits or claims for infringement of patent rights arising from such requirement of the Contract Documents; and payments made in accordance with legal judgments against the Contractor resulting from such suits or claims and payments of settlements made with the Owner's consent. However, such costs of legal defenses, judgments and settlements shall not be included in the calculation of the Contractor's Fee or subject to the Guaranteed Maximum Price. If such royalties, fees and costs are excluded by the last sentence of Section 3.17.1 of AlA Document A20 1-1997 or other provisions of the Contract Documents, then they shall not be included in the Cost of the Work. ~ 7.6.6 Data processing costs related to the Work. ~ 7.6.7 Deposits lost for causes other than the Contractor's negligence or failure to fulfill a specific responsibility to the Owner as set forth in the Contract Documents. ~ 7.6.8 Legal, mediation and arbitration costs, including attorneys' fees, other than those arising from disputes between the Owner and Contractor, reasonably incurred by the Contractor in the performance of the Work and with the Owner's prior written approval; which approval shall not be unreasonably withheld. ~ 7.6.9 Expenses incurred in accordance with the Contractor's standard personnel policy for relocation and temporary living allowances of personnel required for the Work, if approved by the Owner. ~ 7.7 OTHER COSTS AND EMERGENCIES ~ 7.7.1 Other costs incurred in the performance of the Work if and to the extent approved in advance in writing by the Owner. ~ 7.7.2 Costs due to emergencies incurred in taking action to prevent threatened damage, injury or loss in case of an emergency affecting the safety of persons and property, as provided in Section 10.6 of AlA Document A20l-1997. ~ 7.7.3 Costs ofrepairing or correcting damaged or nonconforming Work executed by the Contractor, Subcontractors or suppliers, provided that such damaged or nonconforming Work was not caused by negligence or failure to fulfill a specific responsibility of the Contractor and only to the extent that the cost of repair or correction is not recoverable by the Contractor from insurance, sureties, Subcontractors or suppliers. 7.7.4 Contractor's Assianment of Cost Cateaories is attached as Exhibit "0". In the event of anv conflict between the orovisions of Exhibit "0" and Articles 7 or 8. the orovisions of Exhibit "0" shall aovern ARTICLE 8 COSTS NOT TO BE REIMBURSED ~ 8.1 The Cost of the Work shall not include: ~ 8.1.1 Salaries and other compensation of the Contractor's personnel stationed at the Contractor's principal office or offices other than the site office, except as specifically provided in Sections 7.2.2 and 7.2.3 or as may be provided in Article 14. ~ 8.1.2 Expenses of the Contractor's principal office and offices other than the site office. ~ 8.1.3 Overhead and general expenses, except as may be expressly included in Article 7. ~ 8.1.4 The Contractor's capital expenses, including interest on the Contractor's capital employed for the Work. ~ 8.1.5 Rental costs of machinery and equipment, except as specifically provided in Section 7.5.2. ~ 8.1.6 Except as provided in Section 7.7.3 of this Agreement, costs due to the negligence or failure to fulfill a specific responsibility of the Contractor, Subcontractors and suppliers or anyone directly or indirectly employed by any of them or for whose acts any of them may be liable. ~ 8.1.7 Any cost not specifically and expressly described in Article 7. AlA Document A111TM -1997, Copyright @ 1920,1925,1951,1958,1961,1963,1967,1974,1978,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAI/!) Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlAI/!) Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order NO,l 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1347133922) 6 Init. ~ 8.1.8 Costs, other than costs included in Change Orders approved by the Owner, that would cause the Guaranteed Maximum Price to be exceeded. 8.1.9 Contractor's Assianment of Cost Cateaories is attached as Exhibit "0". In the event of any conflict between the orovisions of Article 7 or 8 and Exhibit "d. the orovisions of Exhibit "0" shall aovern. ARTICLE 9 DISCOUNTS, REBATES AND REFUNDS ~ 9.1 Cash discounts obtained on payments made by the Contractor shall accrue to the Owner if (I) before making the payment, the Contractor included them in an Application for Payment and received payment therefor from the Owner, or (2) the Owner has deposited funds with the Contractor with which to make payments; otherwise, cash discounts shall accrue to the Contractor. Trade discounts, rebates, refunds and amounts received from sales of surplus materials and equipment shall accrue to the Owner, and the Contractor shall make provisions so that they can be secured. ~ 9.2 Amounts that accrue to the Owner in accordance with the provisions of Section 9.1 shall be credited to the Owner as a deduction from the Cost of the Work. ARTICLE 10 SUBCONTRACTS AND OTHER AGREEMENTS ~ 10.1 Those portions of the Work that the Contractor does not customarily perform with the Contractor's own personnel shall be performed under subcontracts or by other appropriate agreements with the Contractor. The Owner may designate specific persons or entities from whom the Contractor shall obtain bids. The Contractor shall obtain bids from Subcontractors and from suppliers of materials or equipment fabricated especially for the Work and shall deliver such bids to the Architect. The Owner shall then determine, with the advice of the Contractor and the Architect, which bids will be accepted. The Contractor shall not be required to contract with anyone to whom the Contractor has reasonable objection. ~ 10.2 If a specific bidder among those whose bids are delivered by the Contractor to the Architect (I) is recommended to the Owner by the Contractor; (2) is qualified to perform that portion of the Work; and (3) has submitted a bid that conforms to the requirements of the Contract Documents without reservations or exceptions, but the Owner requires that another bid be accepted, then the Contractor may require that a Change Order be issued to adjust the Guaranteed Maximum Price by the difference between the bid of the person or entity recommended to the Owner by the Contractor and the amount of the subcontract or other agreement actually signed with the person or entity designated by the Owner. ~ 10.3 Subcontracts or other agreements shall conform to the applicable payment provisions of this Agreement, and shall not be awarded on the basis of cost plus a fee without the prior consent of the Owner. ARTICLE 11 ACCOUNTING RECORDS The Contractor shall keep full and detailed accounts and exercise such controls as may be necessary for proper financial management under this Contract, and the accounting and control systems shall be satisfactory to the Owner. The Owner and the Owner's accountants shall be afforded access to, and shall be permitted to audit and copy, the Contractor's records, books, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to this Contract, and the Contractor shall preserve these for a period of three years after final payment, or for such longer period as may be required by law. ARTICLE 12 PAYMENTS ~ 12.1 PROGRESS PAYMENTS ~ 12.1.1 Based upon Applications for Payment submitted to the Architect by the Contractor and Certificates for Payment issued by the Architect, the Owner shall make progress payments on account of the Contract Sum to the Contractor as provided below and elsewhere in the Contract Documents. ~ 12.1.2 The period covered by each Application for Payment shall be one calendar month ending on the last day of the month, or as follows: AlA Document A111 TM -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAe Document is protected by U.S. Copyright Law and International Treaties, Unauthorized reproduction or distribution of this AlAe Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 0711 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 7 Init. ~ 12.1.3 Provided that an Application for Payment is received by the Architect not later than the last day of a month, the Owner shall make payment to the Contractor not later than the last day of the next month. If an Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than thirty (30 ) days after the Architect receives the Application for Payment. Preconstruction Services Fee -50% to be paid at execution of this Contract and remaining 50% at GMP proposal and acceptance. (Paragraphs deleted) ~ 12.1.5 Each Application for Payment shall be based on the most recent schedule of values submitted by the Contractor in accordance with the Contract Documents. The schedule of values shall allocate the entire Guaranteed Maximum Price among the various portions of the Work, except that the Contractor's Fee shall be shown as a single separate item. The schedule of values shall be prepared in such form and supported by such data to substantiate its accuracy as the Architect may require. This schedule, unless objected to by the Architect, shall be used as a basis for reviewing the Contractor's Applications for Payment. ~ 12.1.6 Applications for Payment shall show the percentage of completion of each portion of the Work as of the end of the period covered by the Application for Payment. The percentage of completion shall be the lesser of (I) the percentage of that portion of the Work which has actually been completed; or (2) the percentage obtained by dividing (a) the expense that has actually been incurred by the Contractor on account of that portion of the Work for which the Contractor has made or intends to make actual payment prior to the next Application for Payment by (b) the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values. ~ 12.1.7 Subject to other provisions of the Contract Documents, the amount of each progress payment shall be computed as follows: .1 take that portion of the Guaranteed Maximum Price properly allocable to completed Work as determined by multiplying the percentage of completion of each portion of the Work by the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values. Pending final determination of cost to the Owner of changes in the Work, amounts not in dispute shall be included as provided in Section 7,3.8 of AlA Document A201-1997; .2 add that portion of the Guaranteed Maximum Price properly allocable to materials and equipment delivered and suitably stored at the site for subsequent incorporation in the Work, or if approved in advance by the Owner, suitably stored off the site at a location agreed upon in writing; .3 add the Contractor's Fee, less retainage of Ten ( 10% ).The Contractor's Fee shall be computed upon the Cost of the Work described in the two preceding Clauses at the rate stated in Section 5.1.2 or, if the Contractor's Fee is stated as a fixed sum in that Subparagraph, shall be an amount that bears the same ratio to that fixed-sum fee as the Cost of the Work in the two preceding Clauses bears to a reasonable estimate of the probable Cost of the Work upon its completion; .4 subtract the aggregate of previous payments made by the Owner; .5 subtract the shortfall, if any, indicated by the Contractor in the documentation required by Section 12.1.4 to substantiate prior Applications for Payment, or resulting from errors subsequently discovered by the Owner's accountants in such documentation; and .6 subtract amounts, if any, for which the Architect has withheld or nullified a Certificate for Payment as provided in Section 9.5 of AlA Document A201-1997. ~ 12.1.8 ,payments Contractor on account of the work of to Subcontractors shall be subject to retainage of Ten ( 10% 12.1.8.1 No retainage shall be withheld from Contractor's General Conditions Costs including labor, insurance, taxes, bond costs, direct materials purchases, and fee. AlA Document A111 ™ -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No. 1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 8 Init. ~ 12.1.9 In taking action on the Contractor's Applications for Payment, the Architect shall be entitled to rely on the accuracy and completeness of the information furnished by the Contractor and shall not be deemed to represent that the Architect has made a detailed examination, audit or arithmetic verification of the documentation submitted in accordance with Section 12.1.4 or other supporting data; that the Architect has made exhaustive or continuous on- site inspections or that the Architect has made examinations to ascertain how or for what purposes the Contractor has used amounts previously paid on account of the Contract. Such examinations, audits and verifications, if required by the Owner, will be performed by the Owner's accountants acting in the sole interest of the Owner. 12 1.10 At Fiftv Precent 150%) Comoletion. Owner shall Day to Contractor a 50% Retainaae reduction and withhold Retainaae of Five Percent 15%) of GMP. throuah Substantial Comoletion. At Substantial Comoletion. Owner shall Day to Contractor One Hundred Percent of GMP. less One Hundred Fiftv 1150%) oercent of the estimated cost for comoletion of ounchlist and any defective work 12.1.11 General Conditions cost are a lump sum within the GMP and shall be billed as a percentage of the work completed or on a straight-line monthly bass for the duration of the project schedule. This will be determined upon the GMP negotiations and final issuances of schedule of values. ~ 12.2 FINAL PAYMENT ~ 12.2.1 Final payment, constituting the entire unpaid balance of the Contract Sum, shall be made by the Owner to the Contractor when: .1 the Contractor has fully performed the Contract except for the Contractor's responsibility to correct Work as provided in Section 12.2.2 of AlA Document A201-1997, and to satisfy other requirements, if any, which extend beyond final payment; and .2 a final Certificate for Payment has been issued by the Architect. .3 Issuance of a Final Certificate of Occupancy form the Building Department. ~ 12.2.2 The Owner's final payment to the Contractor shall be made no later than 30 days after the issuance of the Architect's final Certificate for Payment, : ~ 12.2.3 The Owner's accountants will review and report in writing on the Contractor's final accounting within 30 days after delivery of the final accounting to the Architect by the Contractor. Contractor's normal detailed job cost reports shall be sufficient to satisfy the requirements of a final accounting. In the event that Owner's accountants do not complete their review of Contractor's final accounting within 30 days after it is submitted, it shall be deemed accurate as submitted, and final payment shall be made thereon, subject to Owner's right to request reimbursement for any overcharges subsequently discovered. Based upon such Cost of the Work as the Owner's accountants report to be substantiated by the Contractor's final accounting, and provided the other conditions of Section 12.2.1 have been met, the Architect will, within seven days after receipt of the written report of the Owner's accountants, either issue to the Owner a final Certificate for Payment with a copy to the Contractor, or notify the Contractor and Owner in writing of the Architect's reasons for withholding a certificate as provided in Section 9.5.1 of the AlA Document A201-1997. The time periods stated in this Section 12.2.3 supersede those stated in Section 9.4.1 of the AlA Document A20 1-1997. ~ 12.2.4 If the Owner's accountants report the Cost of the Work as substantiated by the Contractor's final accounting to be less than claimed by the Contractor, the Contractor shall be entitled to demand arbitration of the disputed amount without a further decision of the Architect. Such demand for arbitration shall be made by the Contractor within 30 days after the Contractor's receipt of a copy of the Architect's final Certificate for Payment; failure to demand arbitration within this 30-day period shall result in the substantiated amount reported by the Owner's accountants becoming binding on the Contractor. Pending a final resolution by arbitration, the Owner shall pay the Contractor the amount certified in the Architect's final Certificate for Payment. AlA Document A111TM -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA<J> Document is protected by U.S, Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA<J> Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No,1000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 9 In it. ~ 12.2.5 If, subsequent to final payment and at the Owner's request, the Contractor incurs costs described in Article 7 and not excluded by Article 8 to correct defective or nonconforming Work, the Owner shall reimburse the Contractor such costs and the Contractor's Fee applicable thereto on the same basis as if such costs had been incurred prior to final payment, but not in excess of the Guaranteed Maximum Price. If the Contractor has participated in savings as provided in Section 5.2, the amount of such savings shall be recalculated and appropriate credit given to the Owner in determining the net amount to be paid by the Owner to the Contractor. ARTICLE 13 TERMINATION OR SUSPENSION ~ 13.1 The Contract may be terminated by the Contractor, or by the Owner for convenience, as provided in Article 14 of AlA Document A201-1997, However, the amount to be paid to the Contractor under Section 14.1.3 of AlA Document A201-1997 shall not exceed the amount the Contractor would be entitled to receive under Section 13.2 below, except that the Contractor's Fee shall be calculated as if the Work had been fully completed by the Contractor, including a reasonable estimate of the Cost of the Work for Work not actually completed. ~ 13.2 The Contract may be terminated by the Owner for cause as provided in Article 14 of AlA Document A201- 1997. The amount, if any, to be paid to the Contractor under Section 14.2.4 of AlA Document A201-1997 shall not cause the Guaranteed Maximum Price to be exceeded, nor shall it exceed an amount calculated as follows: ~ 13.2.1 Take the Cost of the Work incurred by the Contractor to the date of termination; ~ 13.2.2 Add the Contractor's Fee computed upon the Cost of the Work to the date of termination at the rate stated in Section 5.1.2 or, if the Contractor's Fee is stated as a fixed sum in that Section, an amount that bears the same ratio to that fixed-sum Fee as the Cost of the Work at the time of termination bears to a reasonable estimate of the probable Cost of the Work upon its completion; and ~ 13.2.3 Subtract the aggregate of previous payments made by the Owner. ~ 13.3 The Owner shall also pay the Contractor fair compensation, either by purchase or rental at the election of the Owner, for any equipment owned by the Contractor that the Owner elects to retain and that is not otherwise included in the Cost of the Work under Section 13.2.1. To the extent that the Owner elects to take legal assignment of subcontracts and purchase orders (including rental agreements), the Contractor shall, as a condition of receiving the payments referred to in this Article 13, execute and deliver all such papers and take all such steps, including the legal assignment of such subcontracts and other contractual rights of the Contractor, as the Owner may require for the purpose of fully vesting in the Owner the rights and benefits of the Contractor under such subcontracts or purchase orders. ~ 13.4 The Work may be suspended by the Owner as provided in Article 14 of AlA Document A201-1997; in such case, the Guaranteed Maximum Price and Contract Time shall be increased as provided in Section 14.3.2 of AlA Document A201-1997 except that the term "profit" shall be understood to mean the Contractor's Fee as described in Sections 5.1.2 and Section 6.4 of this Agreement. ARTICLE 14 MISCELLANEOUS PROVISIONS ~ 14.1 Where reference is made in this Agreement to a provision AlA Document A201-1997 or another Contract Document, the reference refers to that provision as amended or supplemented by other provisions of the Contract Documents. ~ 14.2 Payments due and unpaid under the Contract shall bear interest from the date payment is due at the rate stated below, or in the absence thereof, at the legal rate prevailing from time to time at the place where the Project is located. (Insert rate of interest agreed upon, if any.) Prime rate plus 2%. (Usury laws and requirements under the Federal Truth in Lending Act, similar state and local consumer credit laws and other regulations at the Owner's and Contractor's principal places ofbusiness, the location of the Project and elsewhere may affect the validity of this provision. Legal advice should be obtained with respect to deletions or modifications, and also regarding requirements such as written disclosures or waivers.) AlA Document Alll™ -1997. Copyright @ 1920,1925,1951,1958,1961,1963,1967,1974,1978,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order NO,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1347133922) 10 Init. ~ 14.3 The Owner's representative is: (Name, address and other information.) Eric M. Soroka, City Manager 19200 West Country Club Drive Office of the City Manager A ventura, FL 33180 ~ 14.4 The Contractor's representative is: (Name, address and other information.) Kurt S. Langford, Project Executive 515 N. Flagler Drive - 5th Floor West Palm Beach, FL 33401 ~ 14.5 Neither the Owner's nor the Contractor's representative shall be changed without ten days' written notice to the other party, ~ 14.6 Other provisions: 14.6.1 The general conditions cost include ( on a basis prorated to reflect time committed to this project only) Project Executive, Project Management personnel, and scheduling personnel. Safety Director and General Superintendent are billed on a allocation basis based on the number of projects actively under construction during each month. This allocation is subject to monthly fluctuations and is subject to the 1.58% labor burden noted under Article #7, ARTICLE 15 ENUMERATION OF CONTRACT DOCUMENTS ~ 15.1 The Contract Documents, except for Modifications issued after execution of this Agreement, are enumerated as follows: ~ 15.1.1 The Agreement is this executed 1997 edition of the Standard Form of Agreement Between Owner and Contractor, AlA Document AI11-1997. ~ 15.1.2 The General Conditions are the 1997 edition of the General Conditions of the Contract for Construction, AlA Document A201-1997. ~ 15.1.3 The Supplementary and other Conditions of the Contract are those contained in the Project Manual dated , and are as follows: Document Title Pages ~ 15.1.4 The Specifications are those contained in the Project Manual dated as in Section 15.1.3, and are as follows: (Either list the Specifications here or refer to an exhibit attached to this Agreement.) Title of Specifications exhibit: See List of Specifications, attached as Exhibit "8". To be provided at the time of the GMP. (Table deleted) ~ 15.1.5 The Drawings are as follows, and are dated unless a different date is shown below: (Either list the Drawings here or refer to an exhibit attached to this Agreement.) Title of Drawings exhibit: See List of Drawings, attached as Exhibit "A". To be provided at the time of the GMP. (Table deleted) In it. AlA Document A111™ -1997. Copyright @ 1920,1925,1951,1958,1961,1963,1967,1974,1978,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA"" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order No. 1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1347133922) 11 ~ 15.1.6 The Addenda, if any, are as follows: Number Date Pages Portions of Addenda relating to bidding requirements are not part of the Contract Documents unless the bidding requirements are also enumerated in this Article 15. ~ 15.1.7 Other Documents, if any, forming part of the Contract Documents are as follows: (List here any additional documents, such as a list of alternates that are intended to form part of the Contract Documents. AlA Document A20I-I997 provides that bidding requirements such as advertisement or invitation to bid, Instructions to Bidders, sample forms and the Contractor's bid are not part of the Contract Documents unless enumerated in this Agreement. They should be listed here only ifintended to be part of the Contract Documents.) See Contractor's Qualifications and Assumptions, attached as Exhibit "C" See Contractor's Assignment of Cost Categories, attached as Exhibit "0", ARTICLE 16 INSURANCE AND BONDS (List required limits of liability for insurance and bonds. AlA Document A20I-I997 gives other specific requirements for insurance and bonds.) Type of insurance In accordance with the project RFQ requirements, Limit of liability ($ 0.00) In accordance with the project RFQ requirements. This Agreement is entered into as of the day and year first written above and is executed in at least three original copies, of which one is to be delivered to the Contractor, one to the Architect for use in the administration of the Contract, and the remainder to the Owner. OWNER (Signature) CONTRACTOR (Signature) Eric M. Soroka, City Manager (Printed name and title) Rex B. Kirby - President and General Manager (Printed name and title) Attachments and Exhibits listed for reference: Attachment A - Phase 1 Conceptual Budget Future pending GMP Amendment Exhibit A - List of Drawings Exhibit B - List of Specifications Exhibit C - Contractor's Qualifications and Assumptions Exhibit D - Contractor's Assianment of Cost Cateaories In it. AlA Document A111TM -1997. Copyright @ 1920, 1925, 1951, 1958, 1961, 1963, 1967, 1974, 1978, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:52:54 on 07/10/2008 under Order NO,l 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1347133922) 12 SUFFOLK July 2, 2008 AVENTURA ARTS & CULTURAL CENTER CONCEPTUAL BUDGET AVENTURA, FLORIDA ATTACHMENT A First Floor Mezzanine Gross Building Area 14,185 879 15,064 Conceptual Est. Description 07/02/08 Cost/GSF 02060 - Buildina Demolition $38,839 $2.58 02200 - Site Work & Utilities $85,307 $5.66 16000 - Electrical $5,000 $0.33 ISUBTOTAL DIRECT COSTS $129,1461 $8.571 General Conditions 37,974 $2.52 Labor Burden 13,910 $0.92 Insurances 2,400 $0.16 Performance & Payment Bond 2,100 $0.14 Builder's Risk & Insurance & Deductibles Bv Owner Buildina Permit Bv Owner Contingencv 6,457 $0.43 Sales Tax Savings N/A $12.741 $0.641 $1.991 $15.371 ICONSTRUCTION COSTS WITHOUT CM FEE $191,9871 Iconstruction Manager Fee $9,5991 lpreconstruction Services $30,0001 ITOTAL CONSTRUCTION COSTS $231,5871 SUFFOLK July 2,2008 Page 2 ,,~~AIA Document A20fM -1997 General Conditions of the Contract for Construction for the following PROJECT: (Name and location or address): A ventura Arts & Cultural Center TABLE OF ARTICLES ADDITIONS AND DELETIONS: The author of this document has added information needed for its completion. The author may also have revised the text of the original AlA standard form, An Additions and Deletions Report that notes added information as well as revisions to the standard form text is available from the author and should be reviewed, A vertical line in the left margin of this document indicates where the author has added necessary information and where the author has added to or deleted from the original AlA text. This document has important legal consequences. Consultation with an attorney is encouraged with respect to its completion or modification, THE OWNER: (Name and address): City of A ventura 19200 West Country Club Drive A ventura, Florida 33180 THE ARCHITECT: (Name and address): POAL 316 Sunset Drive, Suite B Ft. Lauderdale, Florida 33301 GENERAL PROVISIONS This document has been approved and endorsed by The Associated General Contractors of America 2 OWNER 3 CONTRACTOR 4 ADMINISTRATION OF THE CONTRACT 5 SUBCONTRACTORS 6 CONSTRUCTION BY OWNER OR BY SEPARATE CONTRACTORS 7 CHANGES IN THE WORK 8 TIME 9 PAYMENTS AND COMPLETION 10 PROTECTION OF PERSONS AND PROPERTY 11 INSURANCE AND BONDS 12 UNCOVERING AND CORRECTION OF WORK 13 MISCELLANEOUS PROVISIONS 14 TERMINATION OR SUSPENSION OF THE CONTRACT In it. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA/S) Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 1 reproduction or distribution of this AIA/S) Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) INDEX (Numbers and Topics in Bold are Section Headings) Acceptance of Nonconforming Work 9.6.6,9.9.3, 12.3 Acceptance of Work 9.6.6,9,8.2,9.9.3,9.10.1,9.10.3,12.3 Access to Work 3.16, 6.2.1, 12.1 Accident Prevention 4.2.3,10 Acts and Omissions 3.2,3.3.2,3.12.8,3.18,4.2.3,4.3.8,4.4.1,8.3,1, 9.5.1,10.2.5,13.4.2,13.7,14.1 Addenda 1.1.1,3.11 Additional Costs, Claims for 4,3.4,4.3.5,4.3.6,6.1.1,10.3 Additional Inspections and Testing 9.8.3,12.2.1,13.5 Additional Time, Claims for 4.3.4,4.3.7,8.3.2 ADMINISTRA TION OF THE CONTRACT 3.1.3,4,9.4,9.5 Advertisement or Invitation to Bid 1.1.1 Aesthetic Effect 4.2.13,4.5.1 Allowances 3.8 All-risk Insurance 11.4.1.1 Applications for Payment 4.2.5,7.3.8,9.2,9.3,9.4,9.5.1,9.6.3,9.7.1,9.8.5, 9.10,11.1.3,14.2.4,14.4.3 Approvals 2.4, 3.1.3, 3.5, 3.10.2, 3.12,4.2.7,9.3.2, 13.4.2, 13.5 Arbitration 4.3.3,4.4,4.5.1,4.5.2,4.6, 8.3.1,9.7.1, 11.4.9, 1 ] .4.10 Architect 4.1 Architect, Definition of 4.1.] Architect, Extent of Authority 2.4,3.12.7,4.2,4.3.6,4.4,5.2,6.3,7.1.2,7.3.6,7.4, 9.2,9.3.],9.4,9,5,9.8.3,9.10.], 9.10.3,12.1,12.2.1, 13.5.],13.5.2,14.2.2,14.2.4 Architect, Limitations of Authority and Responsibility 2.1.1,3.3.3,3.]2.4,3.12.8,3.]2.10,4.1.2,4.2.1, 4.2.2, 4.2.3, 4.2.6, 4.2.7, 4.2.10, 4.2.12, 4.2.13, 4.4, 5.2.], 7.4, 9.4.2, 9.6.4, 9.6.6 Architect's Additional Services and Expenses 2.4,11.4.1.1, ]2.2.1, 13.5.2, 13.5.3, ]4.2.4 Architect's Administration of the Contract 3.] .3,4.2,4.3.4,4.4,9.4,9.5 Architect's Approvals 2.4, 3.1.3, 3.5.1, 3.10.2, 4.2.7 Architect's Authority to Reject Work 3.5.1,4.2.6,12.1.2,12.2.1 Architect's Copyright 1.6 Architect's Decisions 4.2.6,4.2.7,4.2.11,4.2.12,4.2.13,4.3.4,4.4.1,4.4.5, 4.4.6,4.5,6.3,7.3.6,7.3,8,8.1.3,8.3.1,9.2,9.4, 9.5.1,9.8.4,9.9.1,13.5.2, ]4.2.2, 14.2.4 Architect's Inspections 4.2.2,4.2.9,4.3.4,9.4.2,9.8.3,9.9.2,9.10.1, 13.5 Architect's Instructions 3.2.3,3.3.1,4.2.6,4.2.7,4.2.8,7.4.1,12.], ]3.5.2 Architect's Interpretations 4.2.11,4.2.12,4.3,6 Architect's Project Representative 4.2.10 Architect's Relationship with Contractor 1.1.2,1.6,3.1.3,3.2.],3,2.2,3.2.3,3.3.1,3.4.2,3.5.1, 3.7.3, 3.10, 3.11, 3. ]2, 3,16, 3.18, 4.1.2, 4.1.3, 4.2, 4.3.4,4.4.],4.4.7,5.2,6.2.2,7,8.3.1,9.2,9.3,9.4, 9.5,9,7,9.8,9.9,10.2.6,10.3,11.3,11.4.7,12, ]3.4.2, 13.5 Architect's Re]ationship with Subcontractors 1.1.2,4.2.3,4.2.4,4.2.6,9.6.3,9,6.4, 11.4.7 Architect's Representations 9.4.2,9.5.1,9.10.1 Architect's Site Visits 4.2.2,4.2.5,4.2.9,4.3.4,9.4.2,9.5.1,9.9.2,9.10.1, 13.5 Asbestos 10.3.1 Attorneys' Fees 3.18.1,9.10.2, 10.3.3 A ward of Separate Contracts 6.1.1 , 6.1.2 A ward of Subcontracts and Other Contracts for Portions of the Work 5.2 Basic Definitions 1.1 Bidding Requirements 1.1.1,1.1.7,5.2.1,11.5.1 Boiler and Machinery Insurance 11.4.2 Bonds, Lien 9.]0.2 Bonds, Performance, and Payment 7.3.6.4,9.6.7,9.10.3, 11.4.9, ] 1.5 Bui]ding Permit 3.7.1 Capitalization 1.3 Certificate of Substantia] Completion Init. 2 AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved, WARNING: This AlA"' Document is protected by U.S. Copyright Law and International Treaties, Unauthorized reproduction or distribution of this AlA"' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) 9.8.3,9.8.4,9.8.5 Certificates for Payment 4.2.5,4.2.9,9.3.3,9.4,9.5,9.6.1,9.6.6,9.7.1,9.10.1, 9.10.3,13.7,14.1.1.3,14.2.4 Certificates of Inspection, Testing or Approval 13.5.4 Certificates of Insurance 9.10.2, 11.1,3 Change Orders 1.1.1,2.4.1,3.4.2,3.8.2.3,3.11.1,3.12.8,4.2.8,4.3.4, 4.3.9,5.2.3,7.1,7.2,7.3,8.3.1,9.3.1.1,9.10.3, 11.4.1.2, 11.4.4, 11.4.9, 12.1.2 Change Orders, Definition of 7.2.1 CHANGES IN THE WORK 3.11,4.2.8,7,8.3.1,9.3.1.1,11.4.9 Claim, Definition of 4.3.1 Claims and Disputes 3.2.3,4.3,4.4,4.5,4,6,6.1.1,6.3, 7.3.8, 9,3.3, 9.10.4, 10.3.3 Claims and Timely Assertion of Claims 4.6.5 Claims for Additional Cost 3,2.3,4.3.4,4.3.5,4.3.6,6.1.1,7.3.8, 10.3.2 Claims for Additional Time 3.2.3, 4.3.4, 4.3.7, 6.1.1, 8.3.2, 10.3.2 Claims for Concealed or Unknown Conditions 4.3.4 Claims for Damages 3.2.3,3.18,4.3.10,6.1.1,8.3.3,9.5.1,9.6.7,10.3.3, 11.1.1,11.4.5,11.4.7,14,1.3,14.2.4 Claims Subject to Arbitration 4.4.1,4.5.1,4.6.1 Cleaning Up 3.15, 6.3 Commencement of Statutory Limitation Period 13.7 Commencement of the Work, Conditions Relating to 2.2.1,3.2.1,3.4.1,3.7.1,3.10.1,3.12.6,4.3.5,5.2.1, 5.2.3,6.2.2, 8.1.2, 8.2.2, 8.3.1, 11.1, 11.4.1, 11.4.6, 11.5.1 Commencement of the Work, Definition of 8.1.2 Communications Facilitating Contract Administration 3.9.1,4.2.4 Completion, Conditions Relating to 1.6.1,3.4.1, 3.11,3.15,4.2.2,4.2.9, 8.2, 9.4.2, 9.8, 9.9.1,9.10,12.2,13.7,14.1.2 COMPLETION, PAYMENTS AND 9 Completion, Substantial 4.2.9,8.1.1,8.1.3,8.2.3,9.4.2,9.8,9.9.1,9.10.3, 9.10.4.2,12.2,13.7 Compliance with Laws 1.6.1, 3.2.2, 3.6, 3.7, 3.12.10, 3.13,4.1.1,4.4.8,4.6.4, 4.6.6,9.6.4,10.2.2, ILl, 11.4, 13.1, 13.4, 13.5.1, 13.5,2,13.6,14.1.1,14.2.1.3 Concealed or Unknown Conditions 4.3.4, 8.3.1, 10.3 Conditions of the Contract 1.1.1, 1.1.7, 6.1.1, 6.1.4 Consent, Written 1.6,3.4.2,3.12.8,3.14.2,4.1.2,4.3.4,4.6.4,9.3.2, 9,8.5,9.9.1,9.10.2,9.10.3,11.4.1, 13.2,13.4.2 CONSTRUCTION BY OWNER OR BY SEP ARA TE CONTRACTORS 1.1.4, 6 Construction Change Directive, Definition of 7,3.1 Construction Change Directives 1.1.1, 3.12.8,4.2.8,4.3.9, 7.1, 7.3, 9.3.1.1 Construction Schedules, Contractor's 1.4.1.2,3.10,3.12.1,3.12.2,4.3.7.2,6.1.3 Contingent Assignment of Subcontracts 5.4, 14.2.2.2 Continuing Contract Performance 4.3.3 Contract, Definition of 1.1.2 CONTRACT, TERMINATION OR SUSPENSION OF THE 5.4.1.1,11.4.9,14 Contract Administration 3.1.3,4,9.4,9.5 Contract Award and Execution, Conditions Relating to 3.7.1,3.10,5.2,6.1,11.1.3,11.4.6,11.5.1 Contract Documents, The 1.1, 1.2 Contract Documents, Copies Furnished and Use of 1.6, 2.2,5, 5.3 Contract Documents, Definition of 1.1.1 Contract Sum 3.8,4.3.4,4.3.5,4.4.5,5.2.3, 7.2, 7.3, 7.4, 9.1, 9.4.2, 9.5.1.4,9.6.7,9.7,10.3.2,11.4.1, 14.2.4,14.3.2 Contract Sum, Definition of 9.1 Contract Time 4.3.4,4.3.7,4.4.5,5.2.3,7.2.1.3,7.3,7.4,8.1.1,8.2, 8.3.1,9.5.1,9.7,10.3.2,12.1.1, 14.3.2 Contract Time, Definition of 8.1.1 CONTRACTOR 3 Contractor, Definition of 3.1, 6.1.2 Contractor's Construction Schedules 1.4.1.2,3.10,3.12.1,3.12.2,4.3.7.2,6.1.3 Contractor's Employees In it. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects, All rights reserved. WARNING: This AIA<Ji Document is protected by U.S, Copyright Law and International Treaties. Unauthorized 3 reproduction or distribution of this AIA<Ji Document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) 3.3.2, 3.4.3, 3.8.1, 3.9, 3.18.2, 4.2.3, 4.2.6, 10.2, 10.3, 11.1.1,11.4.7,14.1,14.2.1.1, Contractor's Liability Insurance 11.1 Contractor's Relationship with Separate Contractors and Owner's Forces 3.12.5,3.14.2,4.2.4,6,11.4.7,12.1.2,12.2.4 Contractor's Relationship with Subcontractors 1.2.2,3.3.2,3.18.1,3.18.2,5,9.6.2,9.6.7,9.10.2, 11.4.1.2, 11.4.7, 11.4.8 Contractor's Relationship with the Architect 1.1.2,1.6,3.1.3,3.2.1,3.2.2,3.2.3,3.3.1,3.4.2,3.5.1, 3.7.3,3.10,3.11,3.12,3.16,3.18, 4.1.2,4.1.3,4.2, 4.3.4,4.4.1,4.4.7,5.2,6.2.2,7,8.3,1,9.2,9.3,9.4, 9.5,9.7,9.8,9.9, 10.2.6, 10.3, 11.3, 11.4.7, 12, 13.4.2, 13.5 Contractor's Representations 1.5.2,3.5.1,3.12.6,6.2.2,8.2.1,9.3.3,9.8.2 Contractor's Responsibility for Those Performing the Work 3.3.2,3.18,4.2.3,4.3.8,5.3.1,6.1.3,6.2,6,3,9.5.1, 10 Contractor's Review of Contract Documents 1.5.2,3.2,3.7.3 Contractor's Right to Stop the Work 9.7 Contractor's Right to Terminate the Contract 4.3.10,14.1 Contractor's Submittals 3.10,3.11,3.12,4.2.7,5.2.1,5.2.3,7.3.6,9.2,9.3, 9.8.2,9.8.3,9.9.1,9.10.2,9.10.3, 11.1.3,11.5.2 Contractor's Superintendent 3.9, 10.2.6 Contractor's Supervision and Construction Procedures 1.2.2,3.3,3.4,3.12.10,4.2.2,4.2.7,4.3.3,6.1.3, 6.2.4,7.1.3,7.3.4,7.3.6,8.2,10,12,14 Contractual Liability Insurance 11.1.1.8, 11.2, 11.3 Coordination and Correlation 1.2, 1.5.2,3.3.1,3.10, 3.12.6, 6.1.3, 6.2.1 Copies Furnished of Drawings and Specifications 1.6,2.2.5, 3.11 Copyrights 1.6,3.17 Correction of Work 2.3,2.4,3.7.4,4.2.1,9.4.2,9.8.2,9.8.3,9.9.1,12.1.2, 12,2,13.7.1.3 Correlation and Intent of the Contract Documents 1.2 Cost, Definition of 7.3.6 Costs 2.4,3.2.3,3.7.4,3.8.2,3.15.2,4.3,5.4.2,6.1.1,6.2.3, 7.3.3.3,7.3.6,7.3.7,7.3.8,9.10.2, 10.3.2, 10.5, 11.3, 11.4,12.1,12.2.1,12.2.4,13.5,14 Cutting and Patching 6.2.5, 3.14 Damage to Construction of Owner or Separate Contractors 3.14.2, 6.2.4, 9.2.1.5, 10.2.1.2, 10.2.5, 10.6, 11.1, 11.4, 12.2.4 Damage to the Work 3.14.2,9.9,1, 10.2.1.2, 10.2.5, 10.6, 11.4, 12.2.4 Damages, Claims for 3.2.3,3.18,4.3.10,6.1.1,8.3.3,9.5.1,9,6.7,10.3.3, 11.1.1,11.4.5,11.4.7,14.1.3,14.2.4 Damages for Delay 6.1.1,8.3.3,9.5.1.6,9.7,10.3.2 Date of Commencement of the Work, Definition of 8.1.2 Date of Substantial Completion, Definition of 8.1.3 Day, Definition of 8.1.4 Decisions of the Architect 4.2.6, 4.2.7, 4.2.11, 4.2.12, 4.2.13, 4.3.4, 4.4.1, 4.4.5, 4.4.6,4.5,6.3,7.3.6,7.3.8,8.1.3,8.3.1,9.2,9.4, 9.5.1,9.8.4,9.9.1,13.5.2,14.2.2,14.2.4 Decisions to Withhold Certification 9.4.1,9.5,9.7,14.1.1.3 Defective or Nonconforming Work, Acceptance, Rejection and Correction of 2.3,2.4,3.5.1,4.2.6,6.2.5,9.5.1,9.5.2,9.6.6,9.8.2, 9.9.3,9.10.4,12.2.1,13.7.1.3 Defective Work, Definition of 3.5.1 Definitions 1.1,2.1.1,3.1,3.5.1,3.12.1,3.12.2,3.12,3,4.1.1, 4.3.1,5.1,6.1.2,7.2.1,7.3.1,7.3.6,8.1, 9.1,9.8.1 Delays and Extensions of Time 3.2.3,4.3.1,4.3.4,4.3.7,4.4.5,5.2.3,7.2.1,7.3.1, 7.4.1,8.3,9.5.1,9.7.1,10.3.2, 10.6.1,14.3.2 Disputes 4.1.4, 4,3, 4.4, 4.5, 4.6, 6.3, 7.3.8 Documents and Samples at the Site 3.11 Drawings, Definition of 1.1.5 Drawings and Specifications, Use and Ownership of 1.1.1, 1.3, 2.2.5, 3.11, 5.3 Effecti ve Date of Insurance 8.2.2, 11.1.2 Emergencies 4.3.5, 10.6, 14.1.1.2 Employees, Contractor's 3.3.2, 3.4.3, 3.8.1, 3.9, 3.18.2,4.2.3,4.2.6, 10.2, 10.3, 11.1.1,11.4.7,14.1,14.2.1.1 Equipment, Labor, Materials and 1.1.3,1.1.6,3.4,3.5.1,3,8.2,3.8.3,3.12,3.13,3.15.1, 4.2.6,4.2.7,5.2.1,6.2.1,7.3.6, 9.3.2,9.3,3,9.5.1.3, 9.10.2,10.2.1,10.2.4,14.2.1.2 Execution and Progress of the Work Init. 4 AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties, Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) 1.1.3, 1.2.1, 1.2.2, 2.2.3,2.2.5,3.1,3.3,3.4,3.5,3.7, 3.10,3.12,3.14,4.2.2,4.2.3,4.3.3,6.2.2,7.1.3,7.3.4, 8.2,9.5,9.9.1,10.2,10.3,12.2,14.2,14.3 Extensions of Time 3.2.3,4.3.1,4.3.4,4.3.7,4.4.5,5.2.3, 7.2.1, 7.3, 7.4.1, 9.5.1,9.7.1,10.3.2,10.6.1,14.3.2 Failure of Payment 4.3.6,9.5.1.3,9.7,9.10.2,14.1.1.3,14.2.1.2,13.6 Faulty Work (See Defective or Nonconforming Work) Final Completion and Final Payment 4.2.1,4.2.9,4.3.2,9.8.2,9.10, 11.1.2, 11.1.3, 11.4.1, 11.4.5, 12.3.1, 13.7, 14.2.4, 14.4.3 Financial Arrangements, Owner's 2.2.1,13.2.2,14.1.1.5 Fire and Extended Coverage Insurance 11.4 GENERAL PROVISIONS 1 Governing Law 13.1 Guarantees (See Warranty) Hazardous Materials 10.2.4, 10.3, 10.5 Identification of Contract Documents 1.5.1 Identification of Subcontractors and Suppliers 5.2.1 Indemnification 3.17,3.18,9.10.2,10.3.3,10.5,11.4.1.2,11.4.7 Information and Services Required of the Owner 2.1.2,2.2,3.2.1,3.12.4,3.12.10,4.2.7,4.3.3, 6.1.3, 6.1.4,6.2.5,9.3.2,9.6.1,9.6.4,9.9.2,9.10.3,10.3.3, 11.2,11.4,13.5.1,13.5.2,14.1.1.4,14.1.4 Injury or Damage to Person or Property 4.3.8, 10.2, 10.6 Inspections 3.1.3,3,3.3,3.7.1,4.2.2,4.2.6,4.2.9,9.4.2,9.8.2, 9.8.3,9.9.2,9.10.1,12.2.1,13.5 Instructions to Bidders 1.1.1 Instructions to the Contractor 3.2.3,3.3.1,3.8.1,4.2.8,5.2.1,7,12,8.2.2,13.5.2 Insurance 3.18.1,6.1.1,7.3.6,8.2.1,9.3.2,9.8.4,9.9.1,9.10.2, 9.10.5,11 Insurance, Boiler and Machinery 11.4.2 Insurance, Contractor's Liability 11.1 Insurance, Effective Date of 8.2.2,11.1.2 Insurance, Loss of Use 11.4.3 Insurance, Owner's Liability 11.2 Insurance, Project Management Protective Liability 11.3 Insurance, Property 10.2.5, 11.4 Insurance, Stored Materials 9.3.2, 11.4.1.4 INSURANCE AND BONDS 11 Insurance Companies, Consent to Partial Occupancy 9.9.1,11.4.1.5 Insurance Companies, Settlement with 11.4.1 0 Intent of the Contract Documents 1.2.1, 4.2.7, 4.2.12, 4.2.13, 7.4 Interest 13.6 Interpretation 1.2.3, 1.4, 4.1.1, 4.3.1, 5.1, 6.1.2, 8.1.4 Interpretations, Written 4.2.11,4.2.12,4.3.6 Joinder and Consolidation of Claims Required 4.6.4 Judgment on Final A ward 4.6.6 Labor and Materials, Equipment 1.1.3,1.1.6,3.4,3.5.1,3.8.2,3.8.3,3.12,3.13,3.15.1, 42.6,4.2.7,5.2.1, 6.2.1, 7.3,6, 9.3.2,9.3,3,9.5.1.3, 9.10.2,10.2.1,10.2.4,14.2.1.2 Labor Disputes 8.3.1 Laws and Regulations 1.6,3.2.2,3.6,3.7,3.12.10,3.13,4,1.1,4.4.8,4.6, 9.6.4,9.9.1,10.2.2,11.1,11.4,13.1, 13.4,13.5.1, 13.5.2, 13.6, 14 Liens 2.1.2,4.4.8, 8.2.2, 9.3.3, 9.10 Limitation on Consolidation or Joinder 4.6.4 Limitations, Statutes of 4.6.3, 12.2.6, 13.7 Limitations of Liability 2.3,3.2.1,3.5.1,3.7.3,3.12.8,3.12.10,3.17,3.18, 4.2.6,4.2.7,4.2.12,6.2.2,9.4.2,9.6.4, 9.6.7,9.10.4, 10.3.3, 10.2.5, 11.1.2, 11.2.1, 11.4.7, 12.2.5, 13.4.2 Limitations of Time 2.1.2,2.2, 2.4, 3.2.1,3.7.3,3.10, 3.11, 3.12.5, 3.15.1, 4.2.7,4.3,4.4,4.5,4.6,5.2,5.3, 5.4,6.2.4,7.3,7.4, 8.2,9.2,9.3.1,9.3.3,9.4.1,9.5,9.6,9.7,9.8,9.9, 9.10,11.1.3,11.4.1.5,11.4.6,11.4.10,12.2,13.5, 13.7, 14 Loss of Use Insurance 11.4.3 Material Suppliers 1.6,3.12.1,4.2.4,4.2.6,5.2.1,9.3,9.4.2,9.6,9.10.5 Materials, Hazardous 10.2.4, 10.3, 10.5 Init. AlA Document A201lM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA<'> Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 5 reproduction or distribution of this AIA<'> Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) Materials, Labor, Equipment and 1.1.3,1.1.6,1.6.1,3.4,3.5.1,3.8.2,3.8.23,3.12,3.13, 3.15.1,4,2.6,4.2.7,5.2.1,6.2.1, 7.3.6,9.3.2,9.3.3, 9.5.1.3,9.10.2, 10.2.1, 10.2.4,14.2.1.2 Means, Methods, Techniques, Sequences and Procedures of Construction 3.3.1,3.12.10,4.2.2,4.2.7,9.4.2 Mechanic's Lien 4.4.8 Mediation 4.4.1,4.4.5,4.4.6,4.4.8,4.5,4.6.1,4.6.2,8.3.1,10.5 Minor Changes in the Work 1.1.1,3.12.8,4.2.8,4.3.6,7.1,7.4 MISCELLANEOUS PROVISIONS 13 Modifications, Definition of 1.1.1 Modifications to the Contract 1.1.1,1.1.2,3.7.3,3.11,4.1.2,4.2.1,5.2.3,7,8.3.1, 9.7,10.3.2,11.4.1 Mutual Responsibility 6.2 Nonconforming Work, Acceptance of 9.6.6,9.9.3, 12.3 Nonconforming Work, Rejection and Correction of 2.3, 2.4, 3.5.1, 4.2.6, 6.2.5, 9.5.1, 9.8.2, 9.9.3, 9.10.4, 12.2.1,13.7.1.3 Notice 2.2.1,2.3,2.4,3.2.3,3.3.1,3.7.2,3.7.4,3.12.9,4.3, 4.4.8,4.6.5,5.2.1,8.2.2,9.7,9.10,10.2.2,11.1.3, 11.4.6, 12.2.2, 12.2.4, 13.3, 13.5.1, 13.5.2, 14.1, 14.2 Notice, Written 2.3,2.4, 3.3.1,3.9, 3.12.9, 3.12.1 0,4.3,4.4.8,4.6.5, 5.2.1, 8.2.2,9.7,9.10, 10.2.2, 10.3, 11.1.3, 11.4.6, 12.2.2, 12.2.4, 13.3, 14 Notice of Testing and Inspections 13.5.1, 13.5.2 Notice to Proceed 8.2.2 Notices, Permits, Fees and 2.2.2,3.7,3.13,7.3.6.4, 10.2.2 Observations, Contractor's 1.5.2,3.2,3.7.3,4.3.4 Occupancy 2.2.2,9.6.6,9.8, 11.4.1.5 Orders, Written 1.1.1,2.3,3.9,4.3.6,7,8.2.2,11.4.9,12.1,12.2, 13.5.2, 14.3.1 OWNER 2 Owner, Definition of 2.1 Owner, Information and Services Required of the 2.1.2,2.2,3.2.1,3.12.4,3.12.10,4.2.7,4.3.3,6.1.3, 6.1.4,6.2.5,9.3.2,9.6.1,9.6.4,9.9.2,9.10.3,10.3.3, 11.2,11.4,13.5.1,13.5.2,14.1.1.4,14.1.4 Owner's Authority 1.6,2.1.1,2.3,2.4,3.4,2,3.8.1,3.12.10,3.14.2,4.1.2, 4.1.3,4.2.4,4.2.9,4.3.6,4.4.7, 5.2.1,5.2.4,5.4.1, 6.1,6.3,7.2.1,7.3.1,8.2.2,8.3.1,9.3.1,9.3.2,9.5.1, 9.9.1,9.10.2,10.3.2,11.1.3,11.3.1,11.4.3,11.4.10, 12.2.2, 12.3.1, 13.2.2, 14.3, 14.4 Owner's Financial Capability 2.2.1,13.2.2,14.1.1.5 Owner's Liability Insurance 11.2 Owner's Loss of Use Insurance 11.4.3 Owner's Relationship with Subcontractors 1.1.2,5.2,5.3,5.4,9.6.4,9.10.2, 14.2.2 Owner's Right to Carry Out the Work 2.4,12.2.4.14.2.2.2 Owner's Right to Clean Up 6.3 Owner's Right to Perform Construction and to A ward Separate Contracts 6.1 Owner's Right to Stop the Work 2.3 Owner's Right to Suspend the Work 14.3 Owner's Right to Terminate the Contract 14.2 Ownership and Use of Drawings, Specifications and Other Instruments of Service 1.1.1,1.6,2.2.5,3.2.1,3.11.1,3.17.1,4,2.12,5.3 Partial Occupancy or Use 9.6.6,9.9, 11.4.1.5 Patching, Cutting and 3.14,6.2.5 Patents 3.17 Payment, Applications for 4.2.5,7.3.8,9.2,9.3,9.4,9.5.1,9.6.3,9.7.1,9.8.5, 9.10.1,9.10.3,9.10.5, 11.1.3, 14.2.4, 14.4.3 Payment, Certificates for 4.2.5,4.2.9,9.3.3,9.4,9.5,9.6.1,9.6.6,9.7.1,9.10.1, 9.10.3,13.7,14.1.1.3,14.2.4 Payment, Failure of 4.3.6,9.5.1.3,9.7,9.10.2,14.1.1.3,14.2.1.2,13.6 Payment, Final 4.2.1,4.2.9,4.3,2,9.8.2,9.10, 11.1.2, 11.1.3, 11.4.1, 11.4.5,12.3.1,13.7,14.2.4,14.4.3 Payment Bond, Performance Bond and 7.3.6.4, 9.6.7, 9.1O.~, 11.4.9,11.5 Payments, Progress 4.3.3,9.3,9.6,9.8,5,9.10.3,13.6,14.2.3 PA YMENTS AND COMPLETION 9 Payments to Subcontractors 5.4.2,9.5.1.3,9.6.2,9.6.3,9.6.4,9.6.7,11.4.8, 14.2.1.2 PCB 10.3.1 Init. 6 AlA Document A20FM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAe Document is protected by U.S. Copyright law and International Treaties. Unauthorized reproduction or distribution of this AlAe Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979 1 which expires on 3/3/2009, and is not for resale. - User Notes: (1818730087) Performance Bond and Payment Bond 7.3.6.4,9.6.7,9.10.3, 11.4.9, 11.5 Permits, Fees and Notices 2.2.2,3.7,3.13,7.3.6.4, 10.2.2 PERSONS AND PROPERTY, PROTECTION OF 10 Polychlorinated Biphenyl 10.3.1 Product Data, Definition of 3.12.2 Product Data and Samples, Shop Drawings 3.11,3.12,4.2.7 Progress and Completion 4.2.2,4.3.3,8.2,9.8,9.9,1, 14.1.4 Progress Payments 4.3.3,9.3,9.6,9.8.5,9.10.3, 13.6, 14.2.3 Project, Definition of the 1.1.4 Project Management Protective Liability Insurance 11.3 Project Manual, Definition of the 1.1.7 Project Manuals 2.2.5 Project Representatives 4.2.10 Property Insurance 10.2.5, 11.4 PROTECTION OF PERSONS AND PROPERTY 10 Regulations and Laws 1.6,3.2.2,3.6,3.7,3.12.10,3.13,4.1.1,4.4.8,4.6, 9.6.4,9.9.1,10.2.2,11.1,11.4,13.1,13.4,13.5.1, 13.5.2, 13.6, 14 Rejection of Work 3.5.1, 4.2.6, 12.2.1 Releases and Waivers of Liens 9.10.2 Representations 1.5.2, 3.5.1,3.12.6, 6.2.2, 8.2.1,9.3.3,9.4.2,9.5.1, 9.8.2,9.10.1 Representatives 2.1.1,3.1.1, 3.9,4.1.1,4.2.1,4.2.10,5.1.1,5.1.2, 13.2.1 Resolution of Claims and Disputes 4.4, 4.5, 4.6 Responsibility for Those Performing the Work 3.3.2,3.18,4.2.3,4.3.8,5.3.1,6.1.3,6.2,6.3,9.5.1, 10 Retainage 9.3.1,9.6.2,9.8.5,9.9.1,9.10.2,9.10.3 Review of Contract Documents and Field Conditions by Contractor 1.5.2,3.2,3.7.3,3.12.7,6.1.3 Review of Contractor's Submittals by Owner and Architect 3.10.1, 3.10,2, 3.11, 3.12,4.2,5.2, 6.1.3, 9.2, 9.8.2 Review of Shop Drawings, Product Data and Samples by Contractor 3.12 Rights and Remedies 1.1.2,2.3, 2.4, 3.5.1,3.15.2,4.2.6,4.3.4,4.5,4.6,5.3, 5.4,6.1,6.3,7.3.1,8.3,9.5.1,9.7, 10.2.5,10.3, 12.2.2, 12.2.4,13.4, 14 Royalties, Patents and Copyrights 3.17 Rules and Notices for Arbitration 4.6.2 Safety of Persons and Property 10.2, 10.6 Safety Precautions and Programs 3.3.1,4.2.2,4.2.7,5.3.1,10.1,10.2,10.6 Samples, Definition of 3.12.3 Samples, Shop Drawings, Product Data and 3.11,3.12,4.2,7 Samples at the Site, Documents and 3.11 Schedule of Values 9.2, 9.3.1 Schedules, 1.4.1.2,3.10, 3.Construction12.1, 3.12.2,4.3.7.2, 6.1.3 Separate Contracts and Contractors 1.1.4,3.12.5,3.14.2,4.2.4,4.2.7,4.6.4,6, 8.3.1, 11.4.7, 12.1.2,12.2.5 Shop Drawings, Definition of 3.12.1 Shop Drawings, Product Data and Samples 3.11,3.12,4.2.7 Site, Use of 3.13, 6.1.1, 6.2.1 Site Inspections 1.2.2, 3.2.1, 3.3.3, 3.7,1,4.2,4.3.4,9.4.2,9.10.1, 13.5 Site Visits, Architect's 4.2.2,4.2.9,4.3.4,9.4.2,9.5.1,9.9.2,9.10.1, 13.5 Special Inspections and Testing 4.2.6, 12.2.1, 13.5 Specifications, Definition of the 1.1.6 Specifications, The 1.1.1, 1.1.6, 1.1.7, 1.2.2, 1.6, 3.11, 3.12.10, 3.17 Statute of Limitations 4.6.3, 12.2.6, 13.7 Stopping the Work 2.3,4.3.6,9.7,10.3,14.1 Stored Materials 6.2.1,9.3.2,10.2.1.2,10.2.4,11.4.1.4 Subcontractor, Definition of 5.1.1 SUBCONTRACTORS Init. 7 AlA Document A201n. -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAe Document is protected by U,S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlAe Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) 5 Subcontractors, Work by 1.2.2,3.3.2,3.12.1,4.2.3,5.2.3,5,3,5.4,9.3.1.2, 9.6.7 Subcontractual Relations 5.3,5.4,9.3.1.2,9.6,9.10 10.2.1, 11.4.7, 11.4.8, 14.1, 14.2.1, 14.3.2 Submittals 1.6,3.10,3.11,3.]2,4.2.7,5.2.],5.2.3,7.3,6,9.2, 9.3,9.8,9.9.1,9.10.2,9.10.3, ] 1.1.3 Subrogation, Waivers of 6.1.1, ] ].4.5,11.4.7 Substantial Completion 4.2.9,8.1.1,8.1.3,8.2.3,9.4.2,9.8,9.9.1,9.10.3, 9.10.4.2, ]2.2, ]3.7 Substantia] Completion, Definition of 9.8.] Substitution of Subcontractors 5.2.3,5.2.4 Substitution of Architect 4.] .3 Substitutions of Materia]s 3.4.2,3.5.],7.3.7 Sub-subcontractor, Definition of 5.1.2 Subsurface Conditions 4.3.4 Successors and Assigns 13.2 Superintendent 3.9, 10.2.6 Supervision and Construction Procedures 1.2.2,3.3,3.4,3.12.10,4.2.2,4.2.7,4.3.3,6.1.3, 6.2.4,7.1.3,7.3.6,8.2,8.3,],9.4.2, 10, ]2,14 Surety 4.4.7,5.4.1.2,9.8.5,9.]0.2,9.10.3, ]4.2.2 Surety, Consent of 9.10.2, 9.1 0.3 Surveys 2.2.3 Suspension by the Owner for Convenience 14.4 Suspension of the Work 5.4.2, 14.3 Suspension or Termination of the Contract 4.3.6,5.4.1.1,11.4.9, ]4 Taxes 3.6,3.8.2.1,7.3.6.4 Termination by the Contractor 4.3.10,14.1 Termination by the Owner for Cause 4.3.]0,5.4.1.1,14.2 Termination of the Architect 4.1.3 Termination of the Contractor 14.2.2 TERMINA TION OR SUSPENSION OF THE CONTRACT 14 Tests and Inspections 3.] .3, 3.3.3,4.2.2,4.2.6,4.2.9,9.4.2,9.8.3,9.9.2, 9.10.1, 10.3.2, 11.4.1.1, ] 2.2.] ,13.5 TIME 8 Time, De]ays and Extensions of 3.2.3,4.3.1,4.3.4,4.3.7,4.4.5,5.2.3,7,2.1,7.3.], 7.4.],8.3,9.5.],9.7.],10.3.2, 10.6.], ]4.3.2 Time Limits 2.1.2,2.2,2.4,3.2.1,3.7.3,3.10,3.11,3.]2.5,3.]5.1, 4.2,4.3,4.4,4.5,4.6,5.2,5.3,5.4, 6.2.4, 7.3, 7.4, 8.2,9.2,9.3.1,9.3.3,9.4.1,9.5,9,6,9.7,9.8,9.9, 9.10, 11.1.3, ] 1.4.1.5, ] 1.4.6, ]].4.1 0, ] 2.2, ] 3.5, 13.7, ]4 Time Limits on Claims 4.3.2, 4.3.4, 4.3.8, 4.4, 4.5, 4.6 Tit]e to Work 9.3.2,9,3.3 UNCOVERING AND CORRECTION OF WORK 12 Uncovering of Work 12.1 Unforeseen Conditions 4.3.4,8.3.],10.3 Unit Prices 4.3,9,7.3.3.2 Use of Documents 1.1.1,1.6,2.2.5,3.12.6,5.3 Use of Site 3.13,6.1.1,6.2.1 Values, Schedule of 9.2,9.3.1 Waiver of Claims by the Architect 13.4.2 Waiver of Claims by the Contractor 4.3.10,9.10.5, ]1.4.7, ]3.4.2 Waiver of Claims by the Owner 4.3.10,9.9.3,9.10.3,9.10.4, ]1.4.3, ]1.4.5, ]1.4.7, ]2.2.2.], ]3.4.2, 14.2.4 Waiver of Consequential Damages 4.3.10,14.2.4 Waiver of Liens 9.10.2,9.10.4 Waivers of Subrogation 6.1.1, ] 1.4.5,11.4.7 Warranty 3.5,4.2.9,4.3.5.3,9.3.3,9.8.4,9.9.1,9.10.4,12.2.2, 13.7.1.3 Weather De]ays 4.3.7.2 Work, Definition of ].] .3 Written Consent Init. AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 8 reproduction or distribution of this AlA"" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 0711 0/2008 under Order No,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) 1.6,3.4.2,3.12.8,3.14.2,4.1.2,4.3.4,4.6.4,9.3.2, 9.8,5,9.9.1,9.10.2,9.10.3,11.4.1, 13.2,13.4.2 Written Interpretations 4.2.11,4.2.12,4.3.6 Written Notice 2.3,2.4,3.3.1,3.9,3.12.9,3.12.10,4.3,4.4.8,4.6.5, 5.2.1,8.2.2,9.7,9.10,10.2.2,10.3,11.1.3,11.4.6, 12.2.2, 12.2.4, 13.3, 14 Written Orders 1.1.1,2,3,3.9,4.3.6,7,8.2.2,11.4,9,12.1,12.2, 13,5.2,14.3.1 In it. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U,S. Copyright Law and International Treaties, Unauthorized 9 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) ARTICLE 1 GENERAL PROVISIONS 91.1 BASIC DEFINITIONS 91.1.1 THE CONTRACT DOCUMENTS The Contract Documents consist of the Agreement between Owner and Contractor (hereinafter the Agreement), Conditions of the Contract (General, Supplementary and other Conditions), Drawings, Specifications, Addenda issued prior to execution of the Contract, other documents listed in the Agreement and Modifications issued after execution of the Contract. A Modification is (1) a written amendment to the Contract signed by both parties, (2) a Change Order, (3) a Construction Change Directive or (4) a written order for a minor change in the Work issued by the Architect. Unless specifically enumerated in the Agreement, the Contract Documents do not include other documents such as bidding requirements (advertisement or invitation to bid, Instructions to Bidders, sample forms, the Contractor's bid or portions of Addenda relating to bidding requirements). 91.1.1.1 In the event of any conflict among the Contract documents, the Documents shall be construed according to the following priorities: Highest Priority: Change Orders Second Priority: Contractor's Qualifications and Assumptions, attached as Exhibit "c" Third Priority: Agreement Fourth Priority: Addenda with later date having greater priority Fifth Priority: General Conditions, as modified Sixth Priority: Drawings, with detailed drawings taking precedence over large scale Seventh Priority: Specifications 9 1.1.2 THE CONTRACT The Contract Documents form the Contract for Construction. The Contract represents the entire and integrated agreement between the parties hereto and supersedes prior negotiations, representations or agreements, either written or oral. The Contract may be amended or modified only by a Modification. The Contract Documents shall not be construed to create a contractual relationship of any kind (1) between the Architect and Contractor, (2) between the Owner and a Subcontractor or Sub-subcontractor, (3) between the Owner and Architect or (4) between any persons or entities other than the Owner and Contractor. The Architect shall, however, be entitled to performance and enforcement of obligations under the Contract intended to faci.\itate performance of the Architect's duties. 91.1.3 THE WORK The term "Work" means the construction and services required by the Contract Documents, whether completed or partially completed, and includes all other labor, materials, equipment and services provided or to be provided by the Contractor to fulfill the Contractor's obligations. The Work may constitute the whole or a part of the Project. "The Work shall also include the roughing for and installation of any or all equipment furnished by the Owner, where shown on the drawings or noted in the Specifications" 91.1.4 THE PROJECT The Project is the total construction of which the Work performed under the Contract Documents may be the whole or a part and which may include construction by the Owner or by separate contractors. 9 1.1.5 THE DRAWINGS The Drawings are the graphic and pictorial portions of the Contract Documents showing the design, location and dimensions of the Work, generally including plans, elevations, sections, details, schedules and diagrams. 91.1.6 THE SPECIFICATIONS The Specifications are that portion of the Contract Documents consisting of the written requirements for materials, equipment, systems, standards and workmanship for the Work, and performance of related services. 91.1.7 THE PROJECT MANUAL The Project Manual is a volume assembled for the Work which may include the bidding requirements, proposal requirements sample forms, Conditions of the Contract and Specifications. Init. AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the 10 maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979 1 which expires on 3/3/2009, and is not for resale. - User Notes: (1818730087) ~ 1.2 CORRELATION AND INTENT OF THE CONTRACT DOCUMENTS ~ 1.2.1 The intent of the Contract Documents is to include all items necessary for the proper execution and completion of the Work by the Contractor. The Contract Documents are complementary, and what is required by one shall be as binding as if required by all; performance by the Contractor shall be required only to the extent consistent with the Contract Documents and reasonably inferable from them as being necessary to produce the indicated results. 1.2.1.1 All Work mentioned or indicated in the Contract Documents shall be performed by the Contractor as part of this Agreement, unless it is specifically indicated in the Contract Documents that such Work is to be done by others. ~ 1.2.2 Organization of the Specifications into divisions, sections and articles, and arrangement of Drawings shall not control the Contractor in dividing the Work among Subcontractors or in establishing the extent of Work to be performed by any trade. ~ 1.2.3 Unless otherwise stated in the Contract Documents, words which have well-known technical or construction industry meanings are used in the Contract Documents in accordance with such recognized meanings. ~ 1.2.4 The words "Guaranteed Maximum Price" are substituted throughout A-201 for "Contract Sum" and any reference to cost to be borne by the Contractor (or work to be carried out at the Contractor's expense) shall be interpreted as stating that there should be no adjustment of the Guaranteed Maximum Price as a result of such costs, and the Contractor shall be entitled to reimbursement from the Owner on account of such cost only if and to the extent provided in the Agreement. ~ 1.2.5 All indications or notations which apply to one of a number of similar situations, materials or processes shall be deemed to apply to all such situations, materials or processes. ~ 1.2.6 All manufactured articles, materials, and equipment shall be applied, installed, connected, erected, used, cleaned and conditioned in accordance with the manufacturers written or printed directions and instructions unless otherwise indicated in the Contract Documents. ~ 1.3 CAPITALIZATION ~ 1.3.1 Terms capitalized in these General Conditions include those which are (I) specifically defined, (2) the titles of numbered articles or (3) the titles of other documents published by the American Institute of Architects. ~ 1.4 INTERPRETATION ~ 1.4.1 In the interest of brevity the Contract Documents frequently omit modifying words such as "all" and "any" and articles such as "the" and "an," but the fact that a modifier or an article is absent from one statement and appears in another is not intended to affect the interpretation of either statement. ~ 1.5 EXECUTION OF CONTRACT DOCUMENTS ~ 1.5.1 The Contract Documents shall be signed by the Owner and Contractor. If either the Owner or Contractor or both do not sign all the Contract Documents, the Architect shall identify such unsigned Documents upon. written request of either the Owner or the Contractor. ~ 1.5.2 Execution of the Contract by the Contractor is a representation that the Contractor has visited the site, become generally familiar with local conditions under which the Work is to be performed and correlated personal observations with requirements of the Contract Documents. ~ 1.6 OWNERSHIP AND USE OF DRAWINGS, SPECIFICATIONS AND OTHER INSTRUMENTS OF SERVICE ~ 1.6.1 The Drawings, Specifications and other documents, including those in electronic form, prepared by the Architect and the Architect's consultants are Instruments of Service through which the Work to be executed by the Contractor is described. The Contractor may retain one record set. Neither the Contractor nor any Subcontractor, Sub-subcontractor or material or equipment supplier shall own or claim a copyright in the Drawings, Specifications and other documents prepared by the Architect or the Architect's consultants, and unless otherwise indicated the Architect and the Architect's consultants shall be deemed the authors of them and will retain all common law, statutory and other reserved rights, in addition to the copyrights. The Drawings, Specifications and other documents AlA Document A20lTM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958, 1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U,S. Copyright Law and International Treaties, Unauthorized 11 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) Init. prepared by the Architect and the Architect's consultants, and copies thereof furnished to the Contractor, are for use solely with respect to this Project. They are not to be used by the Contractor or any Subcontractor, Sub- subcontractor or material or equipment supplier on other projects or for additions to this Project outside the scope of the Work without the specific written consent of the Owner, Architect and the Architect's consultants. The Contractor, Subcontractors, Sub-subcontractors and material or equipment suppliers are authorized to use and reproduce applicable portions of the Drawings, Specifications and other documents prepared by the Architect and the Architect's consultants appropriate to and for use in the execution of their Work under the Contract Documents. All copies made under this authorization shall bear the statutory copyright notice, if any, shown on the Drawings, Specifications and other documents prepared by the Architect and the Architect's consultants. Submittal or distribution to meet official regulatory requirements or for other purposes in connection with this Project is not to be construed as publication in derogation of the Architect's or Architect's consultants' copyrights or other reserved rights. ARTICLE 2 OWNER 9 2.1 GENERAL 9 2.1.1 The Owner is the person or entity identified as such in the Agreement and is referred to throughout the Contract Documents as if singular in number. The Owner shall designate in writing a representative who shall have express authority to bind the Owner with respect to all matters requiring the Owner's approval or authorization. Except as otherwise provided in Section 4.2.1, the Architect does not have such authority. The term "Owner" means the Owner or the Owner's authorized representative. (Paragraphs deleted) 9 2.2 INFORMATION AND SERVICES REQUIRED OF THE OWNER 9 2.2.1 The Owner shall, at the written request of the Contractor, prior to commencement of the Work and thereafter, furnish to the Contractor reasonable evidence that financial arrangements have been made to fulfill the Owner's obligations under the Contract. Furnishing of such evidence shall be a condition precedent to commencement or continuation of the Work. After such evidence has been furnished, the Owner shall not materially vary such financial arrangements without prior notice to the Contractor. 9 2.2.2 Except for permits and fees, including those required under Section 3.7.1, which are the responsibility of the Contractor under the Contract Documents, the Owner shall secure and pay for necessary approvals, easements, assessments and charges required for construction, use or occupancy of permanent structures or for permanent changes in existing facilities. 9 2.2.3 The Owner shall furnish surveys describing physical characteristics, legal limitations and utility locations for the site of the Project, and a legal description of the site, The Contractor shall be entitled to rely on the accuracy of information furnished by the Owner but shall exercise proper precautions relating to the safe performance of the Work. 9 2.2.4 Information or services required of the Owner by the Contract Documents shall be furnished by the Owner with reasonable promptness. Any other information or services relevant to the Contractor's performance of the Work under the Owner's control shall be furnished by the Owner after receipt from the Contractor of a written request for such information or services. 9 2.2.5 Unless otherwise provided in the Contract Documents, the Contractor will be furnished, free of charge, such copies of Drawings and Project Manuals as are reasonably necessary for the bidding and execution of the Work. 9 2.3 OWNER'S RIGHT TO STOP THE WORK 9 2.3.1 Ifthe Contractor fails to correct Work which is not in accordance with the requirements of the Contract Documents as required by Section 12.2 or persistently fails to carry out Work in accordance with the Contract Documents, the Owner may issue a written order to the Contractor to stop the Work, or any portion thereof, until the cause for such order has been eliminated; however, the right of the Owner to stop the Work shall not gi ve rise to a duty on the part of the Owner to exercise this right for the benefit of the Contractor or any other person or entity, except to the extent required by Section 6.1.3. AlA Document A201lM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 2 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the 1 maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) Init. ~ 2.4 OWNER'S RIGHT TO CARRY OUT THE WORK ~ 2.4.1 If the Contractor defaults or neglects to carry out the Work in accordance with the Contract Documents and fails within a seven-day period after receipt of written notice from the Owner to commence and continue correction of such default or neglect with diligence and promptness, the Owner may after such seven-day period give the Contractor a second written notice to correct such deficiencies within a three-day period. If the Contractor within such three-day period after receipt of such second notice fails to commence and continue to correct any deficiencies, the Owner may, without prejudice to other remedies the Owner may have, correct such deficiencies. In such case an appropriate Change Order or a Construction Change Directive shall be issued deducting from payments then or thereafter due the Contractor the reasonable cost of correcting such deficiencies, including Owner's expenses and compensation for the Architect's additional services made necessary by such default, neglect or failure. Such action by the Owner and amounts charged to the Contractor are both subject to prior approval of the Architect. If payments then or thereafter due the Contractor are not sufficient to cover such amounts, the Contractor shall pay the difference to the Owner. ARTICLE 3 CONTRACTOR ~ 3.1 GENERAL ~ 3.1.1 The Contractor is the person or entity identified as such in the Agreement and is referred to throughout the Contract Documents as if singular in number. The term "Contractor" means the Contractor or the Contractor's authorized representative. ~ 3.1.2 The Contractor shall perform the Work in accordance with the Contract Documents, and Contractors submittals approved pursuant to 3.12. ~ 3.1.3 The Contractor shall not be relieved of obligations to perform the Work in accordance with the Contract Documents either by activities or duties of the Architect in the Architect's administration of the Contract, or by tests, inspections or approvals required or performed by persons other than the Contractor. ~ 3.2 REVIEW OF CONTRACT DOCUMENTS AND FIELD CONDITIONS BY CONTRACTOR ~ 3.2.1 Since the Contract Documents are complementary, before starting each portion of the Work, the Contractor shall carefully study and compare the various Drawings and other Contract Documents relative to that portion of the Work, as well as the information furnished by the Owner pursuant to Section 2.2.3, shall take field measurements of any existing conditions related to that portion of the Work and shall observe any conditions at the site affecting it. These obligations are for the purpose of facilitating construction by the Contractor and are not for the purpose of discovering errors, omissions, or inconsistencies in the Contract Documents; however, any errors, inconsistencies or omissions discovered by the Contractor shall be reported promptly to the Architect as a request for information in such form as the Architect may require. ~ 3.2.2 Any design errors or omissions noted by the Contractor during this review shall be reported promptly to the Architect, but it is recognized that the Contractor's review is made in the Contractor's capacity as a contractor and not as a licensed design professional unless otherwise specifically provided in the Contract Documents. The Contractor is not required to ascertain that the Contract Documents are in accordance with applicable laws, statutes, ordinances, building codes, and rules and regulations, but any nonconformity discovered by or made known to the Contractor shall be reported promptly to the Architect. ~ 3.2.3 If the Contractor believes that additional cost or time is involved because of clarifications or instructions issued by the Architect in response to the Contractor's notices or requests for information pursuant to Sections 3.2.1 and 3.2.2, the Contractor shall make Claims as provided in Sections 4.3.6 and 4.3.7. If the Contractor fails to perform the obligations of Sections 3.2.1 and 3.2.2, the Contractor shall pay such costs and damages to the Owner as would have been avoided if the Contractor had performed such obligations. The Contractor shall not be liable to the Owner or Architect for damages resulting from errors, inconsistencies or omissions in the Contract Documents or for differences between field measurements or conditions and the Contract Documents unless the Contractor recognized such error, inconsistency, omission or difference and knowingly failed to report it to the Architect. ~ 3.2.4 The Contractor shall give the Architect timely notice of any additional information required to define the Work in greater detail. Init. AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"' Document is protected by U.S, Copyright Law and International Treaties, Unauthorized 13 reproduction or distribution of this AlA"' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) ~ 3.3 SUPERVISION AND CONSTRUCTION PROCEDURES ~ 3.3.1 The Contractor shall supervise and direct the Work, using the Contractor's best skill and attention. The Contractor shall be solely responsible for and have control over construction means, methods, techniques, sequences and procedures and for coordinating all portions of the Work under the Contract, unless the Contract Documents give other specific instructions concerning these matters. If the Contract Documents give specific instructions concerning construction means, methods, techniques, sequences or procedures, the Contractor shall evaluate the jobsite safety thereof and, except as stated below, shall be fully and solely responsible for the jobsite safety of such means, methods, techniques, sequences or procedures. If the Contractor determines that such means, methods, techniques, sequences or procedures may not be safe, the Contractor shall give timely written notice to the Owner and Architect and shall not proceed with that portion of the Work without further written instructions from the Architect. If the Contractor is then instructed to proceed with the required means, methods, techniques, sequences or procedures without acceptance of changes proposed by the Contractor, the Owner shall be solely responsible for any resulting loss or damage. ~ 3.3.2 The Contractor shall be responsible to the Owner for acts and omissions of the Contractor's employees, Subcontractors and their agents and employees, and other persons or entities performing portions of the Work for or on behalf of the Contractor or any of its Subcontractors. ~ 3.3.3 The Contractor shall be responsible for inspection of portions of Work already performed to determine that such portions are in proper condition to receive subsequent Work. ~ 3.4 LABOR AND MATERIALS ~ 3.4.1 Unless otherwise provided in the Contract Documents, the Contractor shall provide and pay for labor, materials, equipment, tools, construction equipment and machinery, water, heat, utilities, transportation, and other facilities and services necessary for proper execution and completion of the Work, whether temporary or permanent and whether or not incorporated or to be incorporated in the Work. ~ 3.4.2 The Contractor may make substitutions only with the consent of the Owner, after evaluation by the Architect and in accordance with a Change Order. ~ 3.4.3 The Contractor shall enforce strict discipline and good order among the Contractor's employees and other persons carrying out the Contract. The Contractor shall not permit employment of unfit persons or persons not skilled in tasks assigned to them. ~ 3.4.4 "The phrase "provide" as used herein shall mean the Contractor shall furnish and install the item or items, including all connections and orother required items for the intended purpose of the item being installed" ~ 3.4.5 The Architect, in his review of any or equal or substituted item submitted by the Contractor, will not review the suitability of the item to be provided by the Contractor, if in the Architect's & Owner's judgment the item submitted by the Contractor would be out of character or otherwise inconsistent with the design intent of the Architect's design. ~ 3.5 WARRANTY ~ 3.5.1 The Contractor warrants to the Owner and Architect that materials and equipment furnished under the Contract will be of good quality and new unless otherwise required or permitted by the Contract Documents, that the Work will be free from defects not inherent in the quality required or permitted, and that the Work will conform to the requirements of the Contract Documents. Work not conforming to these requirements, including substitutions not properly approved and authorized, may be considered defective. The Contractor's warranty excludes remedy for damage or defect caused by abuse, modifications not executed by the Contractor, improper or insufficient maintenance, improper operation, or normal wear and tear and normal usage. If required by the Architect, the Contractor shall furnish satisfactory evidence as to the kind and quality of materials and equipment. ~ 3.5.2 The warranty provided in this Paragraph 3.5 shall be in addition to and not in limitation of any other warranty required by the Contract Documents of otherwise prescribed by law. ~ 3.5.3 The Contractor shall procure and deliver to the Architect no later than the date of Final Completion, all special warranties required by the Contract Documents. Delivery by the Contractor shall constitute the AlA Document A20FM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"' Document is protected by U.S, Copyright Law and International Treaties. Unauthorized 14 reproduction or distribution of this AlA"' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) Init. Contractor's guarantee to the Owner that the warranty will be performed in accordance with its terms and conditions. ~ 3.6 TAXES ~ 3.6.1 The Contractor shall pay sales, consumer, use and similar taxes for the Work provided by the Contractor which are legally enacted when bids are received or negotiations concluded, whether or not yet effective or merely scheduled to go into effect. Direct Purchase Order (DPO) program to be formalized in the GMP negotiations and implemented via Change Order. ~ 3.7 PERMITS, FEES AND NOTICES ~ 3.7.1 Contractor shall secure and Owner shall pay for, the building permit and occupancy permit for each component of the Project, but Contractor shall not be responsible for any delay due to failure to obtain permits which is beyond Contractor's reasonable control. The Contractor shall secure and pay for all trade permits, and licenses necessary for proper execution and completion of the Work which are customarily secured after execution of the Contract and which are legally required when bids are received or negotiations concluded ~ 3.7.2 The Contractor shall comply with and give notices required by laws, ordinances, rules, regulations and lawful orders of public authorities applicable to performance of the Work. ~ 3.7.3 It is not the Contractor's responsibility to ascertain that the Contract Documents are in accordance with applicable laws, statutes, ordinances, building codes, and rules and regulations. However, if the Contractor observes that portions of the Contract Documents are at variance therewith, the Contractor shall promptly notify the Architect and Owner in writing, and necessary changes shall be accomplished by appropriate Modification. ~ 3.7.4 If the Contractor performs Work knowing it to be contrary to laws, statutes, ordinances, building codes, and rules and regulations without such notice to the Architect and Owner, the Contractor shall assume appropriate responsibility for such Work and shall bear the costs attributable to correction. ~ 3.8 ALLOWANCES ~ 3.8.1 The Contractor shall include in the Contract Sum all allowances stated in the Contract Documents. Items covered by allowances shall be supplied for such amounts and by such persons or entities as the Owner may direct, but the Contractor shall not be required to employ persons or entities to whom the Contractor has reasonable objection. ~ 3.8.2 Unless otherwise provided in the Contract Documents: .1 allowances shall cover the cost to the Contractor of materials and equipment delivered at the site and all required taxes, less applicable trade discounts; .2 Contractor's costs for unloading and handling at the site, labor, installation costs, overhead, profit and other expenses contemplated for stated allowance amounts shall be included in the allowances; .3 whenever costs are more than or less than allowances, the Contract Sum shall be adjusted accordingly by Change Order. The amount of the Change Order shall reflect (I) the difference between actual costs and the allowances under Section 3.8.2.1 and (2) changes in Contractor's costs under Section 3.8.2.2. ~ 3.8.3 Materials and equipment under an allowance shall be selected by the Owner in sufficient time to avoid delay in the Work. ~ 3.9 SUPERINTENDENT ~ 3.9.1 The Contractor shall employ a competent superintendent and necessary assistants who shall be in attendance at the Project site during performance of the Work. The superintendent shall represent the Contractor, and communications given to the superintendent shall be as binding as if given to the Contractor. Important communications shall be confirmed in writing to the Contractor's Project Manager. Other communications shall be similarly confirmed on written request in each case. ~ 3.9.2 The Contractor shall attend weekly job meetings with the Architect and such other persons as the Architect may from time to time require to be present. The Contractor shall be represented by either a Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S, Copyright Law and International Treaties, Unauthorized 15 reproduction or distribution of this AlA" Document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) principal, project manager, general superintendent or other authorized main office representative, as well as a representative of any Subcontractor or Sub-subcontractor if the representative's presence is requested by the Architect. Such representatives shall be empowered to make binding commitments on all matters to be discussed at such meetings, including costs, payments, change orders, time schedules and manpower. ~ 3.10 CONTRACTOR'S CONSTRUCTION SCHEDULES ~ 3.10.1 The Contractor, promptly after being awarded the Contract, shall prepare and submit for the Owner's and Architect's information a Contractor's construction schedule for the Work. The schedule shall not exceed time limits current under the Contract Documents, shall be revised at appropriate intervals as required by the conditions of the Work and Project, shall be related to the entire Project to the extent required by the Contract Documents, and shall provide for expeditious and practicable execution of the Work. ~ 3.10.2 The Contractor shall prepare and keep current, for the Architect's approval, a schedule of submittals which is coordinated with the Contractor's construction schedule and allows the Architect reasonable time to review submittals. ~ 3.10.3 The Contractor shall perform the Work in general accordance with the most recent schedules submitted to the Owner and Architect. ~ 3.10.4 Updated Submittal and Construction Schedules shall be submitted once per month. ~ 3.11 DOCUMENTS AND SAMPLES AT THE SITE ~ 3.11.1 The Contractor shall maintain at the site for the Owner one record copy of the Drawings, Specifications, Addenda, Change Orders and other Modifications, in good order and marked currently to record field changes and selections made during construction, and one record copy of approved Shop Drawings, Product Data, Samples and similar required submittals. These shall be available to the Architect and shall be delivered to the Architect for submittal to the Owner upon completion of the Work. ~ 3.12 SHOP DRAWINGS, PRODUCT DATA AND SAMPLES ~ 3.12.1 Shop Drawings are drawings, diagrams, schedules and other data specially prepared for the Work by the Contractor or a Subcontractor, Sub-subcontractor, manufacturer, supplier or distributor to illustrate some portion of the Work. ~ 3.12.2 Product Data are illustrations, standard schedules, performance charts, instructions, brochures, diagrams and other information furnished by the Contractor to illustrate materials or equipment for some portion of the Work. ~ 3.12.3 Samples are physical examples which illustrate materials, equipment or workmanship and establish standards by which the Work will be judged. ~ 3.12.4 Shop Drawings, Product Data, Samples and similar submittals are not Contract Documents. The purpose of their submittal is to demonstrate for those portions of the Work for which submittals are required by the Contract Documents the way by which the Contractor proposes to conform to the information given and the design concept expressed in the Contract Documents. Review by the Architect is subject to the limitations of Section 4.2.7. Informational submittals upon which the Architect is not expected to take responsive action may be so identified in the Contract Documents. Submittals which are not required by the Contract Documents may be returned by the Architect without action. ~ 3.12.5 The Contractor shall review for compliance with the Contract Documents, approve and submit to the Architect Shop Drawings, Product Data, Samples and similar submittals required by the Contract Documents with reasonable promptness and in such sequence as to cause no delay in the Work or in the activities of the Owner or of separate contractors. The Contractor shall review all submissions, including confirming material, quantities and dimensions, before transmitting the submission to the Architect. The Architect may reject any and all submissions that do not have the Contractor's review stamp. ~ 3.12.6 By approving and submitting Shop Drawings, Product Data, Samples and similar submittals, the Contractor represents that the Contractor has determined and verified materials, field measurements and field construction Init. AlA Document A20FM -1997. Copyright @ 1911,1915,1918,1925, 1937,1951,1958,1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 16 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,l 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) criteria related thereto, or will do so, and has checked and coordinated the information contained within such submittals with the requirements of the Work and of the Contract Documents. ~ 3.12.7 The Contractor shall perform no portion of the Work for which the Contract Documents require submittal and review of Shop Drawings, Product Data, Samples or similar submittals until the respective submittal has been approved by the Architect. ~ 3.12.8 The Work shall be in accordance with approved submittals except that the Contractor shall not be relieved of responsibility for deviations from requirements of the Contract Documents by the Architect's approval of Shop Drawings, Product Data, Samples or similar submittals unless the Contractor has specifically informed the Architect in writing of such deviation at the time of submittal and (I) the Architect has given written approval to the specific deviation as a minor change in the Work, or (2) a Change Order or Construction Change Directive has been issued authorizing the deviation. The Contractor shall not be relieved of responsibility for errors or omissions in Shop Drawings, Product Data, Samples or similar submittals by the Architect's approval thereof. ~ 3.12.9 The Contractor shall direct specific attention, in writing or on resubmitted Shop Drawings, Product Data, Samples or similar submittals, to revisions other than those requested by the Architect on previous submittals. In the absence of such written notice the Architect's approval of a resubmission shall not apply to such revisions. Unless such written notice has been given, the Architect's approval of a resubmitted shop drawing, product data, sample or similar submittal shall not constitute approval of any changes not requested on the prior submittal. ~ 3.12.10 The Contractor shall not be required to provide professional services which constitute the practice of architecture or engineering unless such services are specifically required by the Contract Documents for a portion of the Work or unless the Contractor needs to provide such services in order to carry out the Contractor's responsibilities for construction means, methods, techniques, sequences and procedures. The Contractor shall not be required to provide professional services in violation of applicable law. If professional design services or certifications by a design professional related to systems, materials or equipment are specifically required of the Contractor by the Contract Documents, the Owner and the Architect will specify all performance and design criteria that such services must satisfy. The Contractor shall cause such services or certifications to be provided by a properly licensed design professional, whose signature and seal shall appear on all drawings, calculations, specifications, certifications, Shop Drawings and oth~r submittals prepared by such professional. Shop Drawings and other submittals related to the Work designed or certified by such professional, if prepared by others, shall bear such professional's written approval when'submittedto the Architect. The Owner and the Architect shall be entitled to rely upon the adequacy, accuracy and completeness of the services, certifications or approvals performed by such design professionals, provided the Owner and Architect have specified to the Contractor all performance and design criteria that such services must satisfy. Pursuant to this Section 3.12.10, the Architect will review, approve or take other appropriate action on submittals only for the limited purpose of checking for conformance with information given and the design concept expressed in the Contract Documents. The Contractor shall not be responsible for the adequacy of the performance or design criteria required by the Contract Documents. ~ 3.13 USE OF SITE ~ 3.13.1 The Contractor shall confine operations at the site to areas permitted by law, ordinances, permits and the Contract Documents and shall not unreasonably encumber the site with materials or equipment. The right of possession of the premises and the improvements made thereon by the Contractor shall remain at all times in the Owner. The Contractor's right to entry and use thereof arises solely from the permission granted by the Owner under the Contract Documents. The Contractor shall confine the Contractor's apparatus, the storage of material and the operations of the Contractor's workmen to limits indicated by law, ordinances, the Contract Documents and permits and/or directions of the Architect and shall not unreasonably encumber the premises with the Contractor's materials. The Owner shall not be liable to the Contractor, the Subcontractors, their employees or anyone else with respect to the conditions of the premises, except only for a condition caused directly and solely by the negligence of the Owner. ~ 3.13.2 Any damage to any area of the site caused by the Contractor or any of the Contractor's sub-contractors, shall be corrected and returned to a condition satisfactory to the Owner. ~ 3.14 CUTTING AND PATCHING ~ 3.14.1 The Contractor shall be responsible for cutting, fitting or patching required to complete the Work or to make its parts fit together properly. In it. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects, All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 17 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) ~ 3.14.2 The Contractor shall not damage or endanger a portion of the Work or fully or partially completed construction of the Owner or separate contractors by cutting, patching or otherwise altering such construction, or by excavation. The Contractor shall not cut or otherwise alter such construction by the Owner or a separate contractor except with written consent of the Owner and of such separate contractor; such consent shall not be unreasonably withheld. The Contractor shall not unreasonably withhold from the Owner or a separate contractor the Contractor's consent to cutting or otherwise altering the Work. ~ 3.15 CLEANING UP ~ 3.15.1 The Contractor shall keep the premises and surrounding area free from accumulation of waste materials or rubbish caused by operations under the Contract. At completion of the Work, the Contractor shall remove from and about the Project waste materials, rubbish, the Contractor's tools, construction equipment, machinery and surplus materials. ~ 3.15.2 If the Contractor fails to clean up as provided in the Contract Documents, the Owner may do so and the cost thereof shall be charged to the Contractor. ~ 3.16 ACCESS TO WORK ~ 3.16.1 The Contractor shall provide the Owner and Architect access to the Work in preparation and progress wherever located. ~ 3.17 ROYALTIES, PATENTS AND COPYRIGHTS ~ 3.17.1 The Contractor shall pay all royalties and license fees. The Contractor shall defend suits or claims for infringement of copyrights and patent rights and shall hold the Owner and Architect harmless from loss on account thereof, but shall not be responsible for such defense or loss when a particular design, process or product of a particular manufacturer or manufacturers is required by the Contract Documents or where the copyright violations are contained in Drawings, Specifications or other documents prepared by the Owner or Architect. However, if the Coritractor has reason to believe that the required design, process or product is an infringement of a copyright ora patent, the Contractor shall be responsible for such loss unless such information is promptly furnished to the Architect. ~ 3.18 INDEMNIFICATION ~ 3.18.1 To the fullest extent permitted by law and to the extent claims, damages, losses or expenses are not covered by Project Management Protective Liability insurance purchased by the Contractor in accordance with Section!1.3, the Contractor shall indemnify and hold harmless the Owner, and agents and employees of any of them from and against claims, damages, losses and expenses, including but not limited to attorneys' fees, arising out of or resulting from performance of the Work, provided that such claim, damage, loss or expense is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible property (other than the Work itself), but only: to . the extent caused by the negligent acts or omissions of the Contractor, a Subcontractor, anyone directly or indirectly employed by them or anyone for whose acts they may be liable, regardless of whether or not such claim, damage, loss or expense is caused in part by a party indemnified hereunder. Such obligation shall not be construed to negate, abridge, or reduce other rights or obligations of indemnity which would otherwise exist as to a party or person described in this Section 3.18. Contractor provides an amount of indemnity of $1,000,000, consistent with F.S. Sec. 725.06 (effective July 2001) ~ 3.18.2 In claims against any person or entity indemnified under this Section 3.18 by an employee of the Contractor, a Subcontractor, anyone directly or indirectly employed by them or anyone for whose acts they may be liable, the indemnification obligation under Section 3.18.1 shall not be limited by a limitation on amount or type of damages, compensation or benefits payable by or for the Contractor or a Subcontractor under workers' compensation acts, disability benefit acts or other employee benefit acts. ARTICLE 4 ADMINISTRATION OF THE CONTRACT ~ 4.1 ARCHITECT ~ 4.1.1 The Architect is the person lawfully licensed to practice architecture or an entity lawfully practicing architecture identified as such in the Agreement and is referred to throughout the Contract Documents as if singular in number. The term "Architect" means the Architect or the Architect's authorized representative. Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925, 1937, 1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 18 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) ~ 4.1.2 Duties, responsibilities and limitations of authority of the Architect as set forth in the Contract Documents shall not be restricted, modified or extended without written consent of the Owner, Contractor and Architect. Consent shall not be unreasonably withheld. ~ 4.1.3 If the employment of the Architect is terminated, the Owner shall employ a new Architect against whom the Contractor has no reasonable objection and whose status under the Contract Documents shall be that of the former Architect. ~ 4.2 ARCHITECT'S ADMINISTRATION OF THE CONTRACT ~ 4.2.1 The Architect will provide administration of the Contract as described in the Contract Documents, and will be an Owner's representative (I) during construction, (2) until final payment is due and (3) with the Owner's concurrence, from time to time during the one-year period for correction of Work described in Section 12.2. The Architect will have authority to act on behalf of the Owner only to the extent provided in the Contract Documents, unless otherwise modified in writing in accordance with other provisions of the Contract. ~ 4.2.2 The Architect, as a representative of the Owner, will visit the site at intervals appropriate to the stage of the Contractor's operations (1) to become generally familiar with and to keep the Owner informed about the progress and quality of the portion of the Work completed, (2) to endeavor to guard the Owner against defects and deficiencies in the Work, and (3) to determine in general if the Work is being performed in a manner indicating that the Work, when fully completed, will be in accordance with the Contract Documents. However, the Architect will not be required to make exhaustive or continuous on-site inspections to check the quality or quantity of the Work. The Architect will neither have control over or charge of, nor be responsible for, the construction means, methods, techniques, sequences or procedures, or for the safety precautions and programs in connection with the Work, since these are solely the Contractor's rights and responsibilities under the Contract Documents, except as provided in Section 3.3.1. ~ 4.2.3 The Architect will not be responsible for the Contractor's failure to perform the Work in accordance with the requirements of the Contract Documents. The Architect will not have control over or charge of and will not be responsible for acts or omissions of the Contractor, Subcontractors, or their agents or employees, or any other persons or entities performing portions of the Work. ~ 4.2.4 Communications Facilitating Contract Administration. The Architect and Contractor shall endeavor to communicate with each other with copies to the Owner about matters arising out of or relating to the Contract. Communications by and with the Architect's consultants shall be through the Architect. Communications by and with Subcontractors and material suppliers shall be through the Contractor. Communications by and with separate contractors shall be through the Owner. ~ 4.2.5 Based on the Architect's evaluations of the Contractor's Applications for Payment, the Architect will review and certify the amounts due the Contractor and will issue Certificates for Payment in such amounts. ~ 4.2.6 The Architect will have authority to reject Work that does not conform to the Contract Documents. Whenever the Architect considers it necessary or advisable, the Architect will have authority to require inspection or testing of the Work in accordance with Sections 13.5.2 and 13.5.3, whether or not such Work is fabricated, installed or completed. However, neither this authority of the Architect nor a decision made in good faith either to exercise or not to exercise such authority shall give rise to a duty or responsibility of the Architect to the Contractor, Subcontractors, material and equipment suppliers, their agents or employees, or other persons or entities performing portions of the Work. ~ 4.2.7 The Architect will review and approve or take other appropriate action upon the Contractor's submittals such as Shop Drawings, Product Data and Samples, but only for the limited purpose of checking for conformance with information given and the design concept expressed in the Contract Documents. The Architect's action will be taken with such reasonable promptness as to cause no delay in the Work or in the activities of the Owner, Contractor or separate contractors, while allowing sufficient time in the Architect's professional judgment to permit adequate review, which shall generally mean no more than ten (10) days. Review of such submittals is not conducted for the purpose of determining the accuracy and completeness of other details such as dimensions and quantities, or for substantiating instructions for installation or performance of equipment or systems, all of which remain the responsibility of the Contractor as required by the Contract Documents. The Architect's review of the Contractor's In it. AlA Document A201TM-1997. Copyright @1911,1915,1918,1925,1937,1951,1958,1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 19 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) submittals shall not relieve the Contractor of the obligations under Sections 3.3, 3,5 and 3.12. The Architect's review shall not constitute approval of safety precautions or, unless otherwise specifically stated by the Architect, of any construction means, methods, techniques, sequences or procedures. The Architect's approval of a specific item shall not indicate approval of an assembly of which the item is a component. ~ 4.2.8 The Architect will prepare Change Orders and Construction Change Directives, and may authorize minor changes in the Work as provided in Section 7.4. ~ 4.2.9 The Architect will conduct inspections to determine the date or dates of Substantial Completion and the date of final completion, will receive and forward to the Owner, for the Owner's review and records, written warranties and related documents required by the Contract and assembled by the Contractor, and will issue a final Certificate for Payment upon compliance with the requirements of the Contract Documents. ~ 4.2.10 Ifthe Owner and Architect agree, the Architect will provide one or more project representatives to assist in carrying out the Architect's responsibilities at the site. The duties, responsibilities and limitations of authority of such project representatives shall be as set forth in an exhibit to be incorporated in the Contract Documents. ~ 4.2.11 The Architect will interpret and decide matters concerning performance under and requirements of, the Contract Documents on written request of either the Owner or Contractor. The Architect's response to such requests will be made in writing within any time limits agreed upon or otherwise with reasonable promptness. If no agreement is made concerning the time within which interpretations required of the Architect shall be furnished in compliance with this Section 4.2, then delay shall not be recognized on account of failure by the Architect to furnish such interpretations until 15 days after written request is made for them. ~ 4.2.12 Interpretations and decisions of the Architect will be consistent with the intent of and reasonably inferable from the Contract Documents and will be in writing or in the form of drawings. When making such interpretations and initial decisions, the Architect will endeavor to secure faithful performance by both Owner and Contractor, will not show partiality to either and will not be liable for results of interpretations or decisions so rendered in good faith. ~ 4.2.13 The Architect's decisions on matters relating to aesthetic effect will be final if consistent with the intent expressed in the Contract Documents. ~ 4.3 CLAIMS AND DISPUTES ~ 4.3.1 Definition. A Claim is a demand or assertion by one of the parties seeking, as a matter of right, adjustment or interpretation of Contract terms, payment of money, extension of time or other relief with respect to the terms of the Contract. The term "Claim" also includes other disputes and matters in question between the Owner and Contractor arising out of or relating to the Contract. Claims must be initiated by written notice. The responsibility to substantiate Claims shall rest with the party making the Claim. ~ 4.3.2 Time Limits on Claims. Claims by either party must be initiated within 21 days after occurrence of the event giving rise to such Claim or within 2 I days after the claimant first recognizes the condition giving rise to the Claim, whichever is later. Claims must be initiated by written notice to the Architect and the other party. ~ 4.3.3 Continuing Contract Performance. Pending final resolution of a Claim except as otherwise agreed in writing or as provided in Section 9.7.1 and Article 14, the Contractor shall proceed diligently with performance of the Contract and the Owner shall continue to make payments in accordance with the Contract Documents. 94.3.4 Claims for Concealed or Unknown Conditions. If conditions are encountered at the site which are (1) subsurface or otherwise concealed physical conditions which differ materially from those indicated in the Contract Documents or (2) unknown physical conditions of an unusual nature, which differ materially from those ordinarily found to exist and generally recognized as inherent in construction activities of the character provided for in the Contract Documents, then notice by the observing party shall be given to the other party promptly before conditions are disturbed and in no event later than 21 days after first observance of the conditions. The Architect will promptly investigate such conditions and, if they differ materially and cause an increase or decrease in the Contractor's cost of, or time required for, perfonnance of any part of the Work, will recommend an equitable adjustment in the Contract Sum or Contract Time, or both. If the Architect determines that the conditions at the site are not materially different from those indicated in the Contract Documents and that no change in the terms of the Contract is justified, In it. AlA Document A201'M -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 20 reproduction or distribution of this AlA"' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) the Architect shall so notify the Owner and Contractor in writing, stating the reasons. Claims by either party in opposition to such determination must be made within 21 days after the Architect has given notice of the decision. If the conditions encountered are materially different, the Contract Sum and Contract Time shall be equitably adjusted, but if the Owner and Contractor cannot agree on an adjustment in the Contract Sum or Contract Time, the adjustment shall be referred to the Architect for initial determination, subject to further proceedings pursuant to Section 4.4. ~ 4.3.5 Claims for Additional Cost. If the Contractor wishes to make Claim for an increase in the Contract Sum, written notice as provided herein shall be given before proceeding to execute the Work. Prior notice is not required for Claims relating to an emergency endangering life or property arising under Section 10.6. ~ 4.3.6 If the Contractor believes additional cost is involved for reasons including but not limited to (I) a written interpretation from the Architect, (2) an order by the Owner to stop the Work where the Contractor was not at fault, (3) a written order for a minor change in the Work issued by the Architect, (4) failure of payment by the Owner, (5) termination of the Contract by the Owner, (6) Owner's suspension or (7) other reasonable grounds, Claim shall be filed in accordance with this Section 4.3. ~ 4.3.7 Claims for Additional Time ~ 4.3.7.1 If the Contractor wishes to make Claim for an increase in the Contract Time, written notice as provided herein shall be given. The Contractor's Claim shall include an estimate of cost and of probable effect of delay on progress of the Work. In the case of a continuing delay only one Claim is necessary. ~ 4.3.7.2 If adverse weather conditions are the basis for a Claim for additional time, such Claim shall be documented by data substantiating that weather conditions were abnormal for the period of time, could not have been reasonably anticipated and had an adverse effect on the scheduled construction. ~ 4.3.8 Injury or Damage to Person or Property. If either party to the Contract suffers injury or damage to person or property because of an act or omission of the other party, or of others for whose acts such party is legally responsible, written notice of such injury or damage, whether or not insured, shall be given to the other party within a reasonable time not exceeding 21 days after discovery. The notice shall provide sufficient detail to enable the other party to investigate the matter. ~ 4.3.9 If unit prices are stated in the Contract Documents or subsequently agreed upon, and if quantities originally contemplated are materially changed in a proposed Change Order or Construction Change Directive so that application of such unit prices to quantities of Work proposed will cause substantial inequity to the Owner or Contractor, the applicable unit prices shall be equitably adjusted. ~ 4.3.10 Claims for Consequential Damages. The Contractor and Owner waive Claims against each other for consequential damages arising out of or relating to this Contract. This mutual waiver includes: .1 damages incurred by the Owner for rental expenses, for losses of use, income, profit, financing, business and reputation, and for loss of management or employee productivity or of the services of such persons; and .2 damages incurred by the Contractor for principal office expenses including the compensation of personnel stationed there, for losses of financing, business and reputation, and for loss of profit except anticipated profit arising directly from the Work. This mutual waiver is applicable, without limitation, to all consequential damages due to either party's termination in accordance with Article 14. Nothing contained in this Section 4.3.10 shall be deemed to preclude an award of liquidated direct damages, when applicable, in accordance with the requirements of the Contract Documents. ~ 4.4 RESOLUTION OF CLAIMS AND DISPUTES ~ 4.4.1 Decision of Architect. Claims, including those alleging an error or omission by the Architect but excluding those arising under Sections 10.3 through 10.5, shall be referred initially to the Architect for decision. An initial decision by the Architect shall be required as a condition precedent to mediation, arbitration or litigation of all Claims between the Contractor and Owner arising prior to the date final payment is due, unless 30 days have passed after the Claim has been referred to the Architect with no decision having been rendered by the Architect. The Architect will not decide disputes between the Contractor and persons or entities other than the Owner. Init. AlA Document A201 ™ -1997. Copyright @ 1911, 1915, 1918, 1925, 1937, 1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAe Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 21 reproduction or distribution of this AlA"' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) ~ 4.4.2 The Architect will review Claims and within ten days of the receipt of the Claim take one or more of the following actions: (1) request additional supporting data from the claimant or a response with supporting data from the other party, (2) reject the Claim in whole or in part, (3) approve the Claim, (4) suggest a compromise, or (5) advise the parties that the Architect is unable to resolve the Claim if the Architect lacks sufficient information to evaluate the merits of the Claim or if the Architect concludes that, in the Architect's sole discretion, it would be inappropriate for the Architect to resolve the Claim. ~ 4.4.3 In evaluating Claims, the Architect may, but shall not be obligated to, consult with or seek information from either party or from persons with special knowledge or expertise who may assist the Architect in rendering a decision. The Architect may request the Owner to authorize retention of such persons at the Owner's expense. ~ 4.4.4 If the Architect requests a party to provide a response to a Claim or to furnish additional supporting data, such party shall respond, within ten days after receipt of such request, and shall either provide a response on the requested supporting data, advise the Architect when the response or supporting data will be furnished or advise the Architect that no supporting data will be furnished. Upon receipt of the response or supporting data, if any, the Architect will either reject or approve the Claim in whole or in part. ~ 4.4.5 The Architect will approve or reject Claims by written decision, which shall state the reasons therefor and which shall notify the parties of any change in the Contract Sum or Contract Time or both. The approval or rejection of a Claim by the Architect shall be final and binding on the parties but subject to mediation and arbitration. ~ 4.4.6 . If the Architect renders a decision after arbitration proceedings have been initiated, such decision may be entered as evidence, but shall not supersede arbitration proceedings unless the decision is acceptable to all parties concerned. ~ 4.4.7 Upon receipt of a Claim against the Contractor or at any time thereafter, the Architect or the Owner may, but is not obligated to, notify the surety, if any, of the nature and amount of the Claim. If the Claim relates to a possibility of a Contractor's default, the Architect or the Owner may, but is not obligated to, notify the surety and request the surety's assistance in resolving the controversy. ~ 4.4.8 If a Claim relates to or is the subject of a mechanic's lien, the party asserting such Claim may proceed in accordance with applicable law to comply with the lien notice or filing deadlines prior to resolution of the Claim by the Architect, by mediation or by arbitration. ~ 4.5 MEDIATION ~ 4.5.1 Any Claim arising out of or related to the Contract, except Claims relating to aesthetic effect and except those waived as provided for in Sections 4.3.10, 9.10.4 and 9.10.5 shall, after initial decision by the Architect or 30 days after submission of the Claim to the Architect, be subject to mediation as a condition precedent to arbitration or the institution of legal or equitable proceedings by either party. ~ 4.5.1.2 Owner and Contractor agree that for all disputes arising out of or related to the interpretation of or compliance with the terms and conditions of this Agreement or the completion of the Project responsible persons selected by each party will meet together and use good faith to resolve the issue between them, within 15 days of the written request of either party. The holding of at least one such in person meeting (or the refusal of one party to attend such meeting, when requested) shall be a condition precedent to the initiation of any arbitration or litigation. ~ 4.5.2 The parties shall endeavor to resolve their Claims by mediation which, unless the parties mutually agree otherwise, shall be in accordance with the Construction Industry Mediation Rules of the American Arbitration Association currently in effect. Request for mediation shall be filed in writing with the other party to the Contract and with the American Arbitration Association. The request may be made concurrently with the filing of a demand for arbitration but, in such event, mediation shall proceed in advance of arbitration or legal or equitable proceedings, which shall be stayed pending mediation for a period of 60 days from the date of filing, unless stayed for a longer period by agreement of the parties or court order. In it. AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved, WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 22 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No.1 000345979 1 which expires on 3/3/2009, and is not for resale. - User Notes: (1818730087) ~ 4.5.3 The parties shall share the mediator's fee and any filing fees equally. The mediation shall be held in the place where the Project is located, unless another location is mutually agreed upon. Agreements reached in mediation shall be enforceable as settlement agreements in any court having jurisdiction thereof. ~ 4.6 ARBITRATION ~ 4.6.1 Any Claim arising out of or related to the Contract not exceeding One Hundred Thousand dollars no/cents ($100,000.00) in value, except Claims relating to aesthetic effect and except those waived as provided for in Sections 4,3.10,9.10.4 and 9.10.5, shall, after decision by the Architect or 30 days, be subject to arbitration. Prior to and as condition precedent to arbitration or litigation, the parties shall endeavor to resolve disputes by mediation in accordance with the provisions of Section 4.5. All claims with a value in excess of $100,000 (for single claim or aggregate of all claims) shall be decided in a court of competent jurisdiction in the County and State where the Project is located, trial by jury being expressly waived. ~ 4.6.2. ~ 4.6.3 A demand for arbitration or litigation shall be made within reasonable time after the Claim has arisen, and in no event shall it be made after the date when institution of legal or equitable proceedings based on such Claim would be barred by the applicable statute of limitations as determined pursuant to Section 13.7. ~ 4.6.4 ~ 4.6.5 Claims and Timely Assertion of Claims. The party filing a notice of demand for arbitration or litigation must assert in the demand or litigation all Claims then known to that party on which arbitration is permitted to be demanded. ~ 4.6.6 Judgment on Final Award. The award rendered by the arbitrator or arbitrators, if applicable, shall be final, and judgment may be entered upon it in accordance with applicable law in any court having jurisdiction thereof. ARTICLE 5 SUBCONTRACTORS ~ 5.1 DEFINITIONS ~ 5.1.1 A Subcontractor is a person or entity who has a direct contract with the Contractor to perform a portion of the Work at the site. The term "Subcontractor" is referred to throughout the Contract Documents as if singular in number and means a Subcontractor or an authorized representative of the Subcontractor. The term "Subcontractor" does not include a separate contractor or subcontractors of a separate contractor. ~ 5.1.2 A Sub-subcontractor is a person or entity who has a direct or indirect contract with a Subcontractor to perform a portion of the Work at the site. The term" Sub-subcontractor" is referred to throughout the Contract Documents as if singular in number and means a Sub-subcontractor or an authorized representative of the Sub- subcontractor. ~ 5.2 AWARD OF SUBCONTRACTS AND OTHER CONTRACTS FOR PORTIONS OF THE WORK ~ 5.2.1 Unless otherwise stated in the Contract Documents or the bidding requirements, the Contractor, as soon as practicable after Contractor and Owner agree upon GMP, shall furnish in writing to the Owner the names of persons or entities (including those who are to furnish materials or equipment fabricated to a special design) proposed for each principal portion of the Work. The Owner will promptly reply to the Contractor in writing stating whether or not the Owner, after due investigation, has reasonable objection to any such proposed person or entity. Failure of the Owner or Architect to reply promptly shall constitute notice of no reasonable objection. The Contractor is responsible to ensure that all Subcontractors are duly licensed and insured for permitting purposes as required by the City of Aventura Building Department. ~ 5.2.2 The Contractor shall not contract with a proposed person or entity to whom the Owner or Architect has made reasonable and timely objection. The Contractor shall not be required to contract with anyone to whom the Contractor has made reasonable objection. ~ 5.2.3 If the Owner or Architect has reasonable objection to a person or entity proposed by the Contractor, the Contractor shall propose another to whom the Owner or Architect has no reasonable objection. If the proposed but rejected Subcontractor was reasonably capable of performing the Work, the Contract Sum and Contract Time shall Init. AlA Document A20pM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties, Unauthorized 23 reproduction or distribution of this AlA'" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) be increased or decreased by the difference, if any, occasioned by such change, and an appropriate Change Order shall be issued before commencement of the substitute Subcontractor's Work. However, no increase in the Contract Sum or Contract Time shall be allowed for such change unless the Contractor has acted promptly and responsively in submitting names as required. ~ 5.2.4 The Contractor shall not change a Subcontractor, person or entity previously selected if the Owner or Architect makes reasonable objection to such substitute. ~ 5.3 SUBCONTRACTUAL RELATIONS ~ 5.3.1 By appropriate agreement, written where legally required for validity, the Contractor shall require each Subcontractor, to the extent of the Work to be performed by the Subcontractor, to be bound to the Contractor by terms of the Contract Documents, and to assume toward the Contractor all the obligations and responsibilities, including the responsibility for safety of the Subcontractor's Work, which the Contractor, by these Documents, assumes toward the Owner and Architect. Each subcontract agreement shall preserve and protect the rights of the Owner and Architect under the Contract Documents with respect to the Work to be performed by the Subcontractor so that subcontracting thereof will not prejudice such rights, and shall allow to the Subcontractor, unless specifically provided otherwise in the subcontract agreement, the benefit of all rights, remedies and redress against the Contractor that the Contractor, by the Contract Documents, has against the Owner. Where appropriate, the Contractor shall require each Subcontractor to enter into similar agreements with Sub-subcontractors. The Contractor shall make available to each proposed Subcontractor, prior to the execution of the subcontract agreement, copies of the Contract Documents to which the Subcontractor will be bound, and, upon written request of the Subcontractor, identify to the Subcontractor terms and conditions of the proposed subcontract agreement which may be at variance with the Contract Documents. Subcontractors will similarly make copies of applicable portions of such documents available to their respective proposed Sub-subcontractors. ~ 5.4 CONTINGENT ASSIGNMENT OF SUBCONTRACTS ~ 5.4.1 Each subcontract agreement for a portion of the Work is assigned by the Contractor to the Owner provided that: .1 assignment is effective only after termination of the Contract by the Owner for cause pursuant to Section 14.2 and only for those subcontract agreements which the Owner accepts by notifying the Subcontractor and Contractor in writing; and .2 assignment is subject to the prior rights of the surety, if any, obligated under bond relating to the Contract. ~ 5.4.2 Upon such assignment, if the Work has been suspended for more than 30 days, the Subcontractor's compensation shall be equitably adjusted for increases in cost resulting from the suspension. ARTICLE 6 CONSTRUCTION BY OWNER OR BY SEPARATE CONTRACTORS ~ 6.1 OWNER'S RIGHT TO PERFORM CONSTRUCTION AND TO AWARD SEPARATE CONTRACTS ~ 6.1.1 The Owner reserves the right to perform construction or operations related to the Project with the Owner's own forces, and to award separate contracts in connection with other portions of the Project or other construction or operations on the site under Conditions of the Contract identical or substantially similar to these including those portions related to insurance and waiver of subrogation. If the Contractor claims that delay or additional cost is involved because of such action by the Owner, the Contractor shall make such Claim as provided in Section 4.3. ~ 6.1.2 When separate contracts are awarded for different portions of the Project or other construction or operations on the site, the term "Contractor" in the Contract Documents in each case shall mean the Contractor who executes each separate Owner-Contractor Agreement. ~ 6.1.3 The Owner shall provide for coordination of the activities of the Owner's own forces and of each separate contractor with the Work of the Contractor, who shall cooperate with them. The Contractor shall participate with other separate contractors and the Owner in reviewing their construction schedules when directed to do so. The Contractor shall make any revisions to the construction schedule deemed necessary after a joint review and mutual agreement. The construction schedules shall then constitute the schedules to be used by the Contractor, separate contractors and the Owner until subsequently revised. Init. AlA Document A201 ™ -1997. Copyright @ 1911, 1915, 1918, 1925, 1937, 1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 24 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) ~ 6.1.4 Unless otherwise provided in the Contract Documents, when the Owner performs construction or operations related to the Project with the Owner's own forces, the Owner shall be deemed to be subject to the same obligations and to have the same rights which apply to the Contractor under the Conditions of the Contract, including, without excluding others, those stated in Article 3, this Article 6 and Articles 10, 11 and 12. ~ 6.1.5 Owner shall require its separate contractors to provide liability insurance in an amount not less than $1,000,000 naming Contractor as additional insured, provided that Contractor procures reciprocal certificate for the separate contractor. ~ 6.2 MUTUAL RESPONSIBILITY ~ 6.2.1 The Contractor shall afford the Owner and separate contractors reasonable opportunity for introduction and storage of their materials and equipment and performance of their activities, and shall connect and coordinate the Contractor's construction and operations with theirs as required by the Contract Documents. ~ 6.2.2 If part of the Contractor's Work depends for proper execution or results upon construction or operations by the Owner or a separate contractor, the Contractor shall, prior to proceeding with that portion of the Work, promptly report to the Architect apparent discrepancies or defects in such other construction that would render it unsuitable for such proper execution and results. Failure of the Contractor so to report shall constitute an acknowledgment that the Owner's or separate contractor's completed or partially completed construction is fit and proper to receive the Contractor's Work, except as to defects not then reasonably discoverable. ~ 6.2.3 The Owner shall be reimbursed by the Contractor for costs incurred by the Owner which are payable to a separate contractor because of delays, improperly timed activities or defective construction of the Contractor. The Owner shall be responsible to the Contractor for costs incurred by the Contractor because of delays, improperly timed activities, damage to the Work or defective construction of a separate contractor. ~ 6.2.4 The Contractor shall promptly remedy damage wrongfully caused by the Contractor to completed or partially completed construction or to property of the Owner or separate contractors as provided in Section 10.2.5. ~ 6.2.5 The Owner and each separate contractor shall have the same responsibilities for cutting and patching as are described for the Contractor in Section 3.14. ~ 6.3 OWNER'S RIGHT TO CLEAN UP ~ 6.3.1 If a dispute arises among the Contractor, separate contractors and the Owner as to the responsibility under their respective contracts for maintaining the premises and surrounding area free from waste materials and rubbish, the Owner may, upon three (3) days' written notice, clean up and the Architect will allocate the cost among those responsible, in writing. ARTICLE 7 CHANGES IN THE WORK F.1 GENERAL ~ 7.1.1 Changes in the Work may be accomplished after execution of the Contract, and without invalidating the Contract, by Change Order, Construction Change Directive or order for a minor change in the Work, subject to the limitations stated in this Article 7 and elsewhere in the Contract Documents. ~ 7.1.2 A Change Order shall be based upon agreement among the Owner, Contractor and Architect; a Construction Change Directive requires agreement by the Owner and Architect and mayor may not be agreed to by the Contractor; an order for a minor change in the Work may be issued by the Architect alone. ~ 7.1.2.1 For additive change orders, subcontractors shall be entitled to a markup of ten percent (10 %) for overhead and five Percent ( 5 %) for fee. For additive change orders, Contractor shall be entitled to fee of five _(5 %) of the total cost of work. Cost for additional bond premium and general liability insurance will be one and three fourth percent (1.75 %) of the cost of work. For deductive change orders, subcontractor and contractor shall not be required to credit Overhead or Fee. ~ 7.1.3 Changes in the Work shall be performed under applicable provisions of the Contract Documents, and the Contractor shall proceed promptly, unless otherwise provided in the Change Order, Construction Change Directive or order for a minor change in the Work. Init. AlA Document A201™ -1997. Copyright @ 1911.1915,1918,1925,1937,1951, 1958, 1961, 1963, 1966, 1970, 1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA* Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 25 reproduction or distribution of this AIA* Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AlA software at 14:59:43 on 0711 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) ~ 7.2 CHANGE ORDERS ~ 7.2.1 A Change Order is a written instrument prepared by the Architect and signed by the Owner, Contractor and Architect, stating their agreement upon all of the following: .1 change in the Work; .2 the amount of the adjustment, if any, in the Contract Sum; and .3 the extent of the adjustment, if any, in the Contract Time. ~ 7.2.2 Methods used in determining adjustments to the Contract Sum may include those listed in Section 7.3,3. ~ 7.3 CONSTRUCTION CHANGE DIRECTIVES ~ 7.3.1 A Construction Change Directive is a written order prepared by the Architect and signed by the Owner and Architect, directing a change in the Work prior to agreement on adjustment, if any, in the Contract Sum or Contract Time, or both. The Owner may by Construction Change Directive, without invalidating the Contract, order changes in the Work within the general scope of the Contract consisting of additions, deletions or other revisions, the Contract Sum and Contract Time being adjusted accordingly. ~ 7.3.2 A Construction Change Directi ve shall be used in the absence of total agreement on the terms of a Change Order. ~ 7.3.3 If the Construction Change Directive provides for an adjustment to the Contract Sum, the adjustment shall be based on one of the following methods: .1 mutual acceptance of a lump sum properly itemized and supported by sufficient substantiating data to permit evaluation; .2 unit prices stated in the Contract Documents or subsequently agreed upon; .3 cost to be determined in a manner agreed upon by the parties and a mutually acceptable fixed or percentage fee; or .4 as provided in Section 7.3.6. ~ 7.3.4 Upon receipt of a Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the Architect of the Contractor's agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Sum or Contract Time. ~ 7.3.5 A Construction Change Directive signed by the Contractor indicates the agreement of the Contractor therewith, including adjustment in Contract Sum and Contract Time or the method for determining them. Such agreement shall be effective immediately and shall be recorded as a Change Order. ~ 7.3.6 If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Sum, the method and the adjustment shall be determined by the Architect on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Sum, a reasonable allowance for overhead and profit. In such case, and also under Section 7.3.3.3, the Contractor shall keep and present, in such form as the Architect may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purposes of this Section 7.3.6 shall be limited to the following: .1 costs of labor, including social security, old age and unemployment insurance, fringe benefits required by agreement or custom, and workers' compensation insurance (shall be paid at an established rate of 58% of Contractor's direct labor costs); .2 costs of materials, supplies and equipment, including cost of transportation, whether incorporated or consumed; .3 rental costs of machinery and equipment, exclusive of hand tools, whether rented from the Contractor or others; .4 costs of premiums for all bonds and insurance (with liability insurance paid at an established rate of 1 % of the value of the change), permit fees, and sales, use or similar taxes related to the Work; and .5 additional costs of supervision and field office personnel directly attributable to the change. Init. AlA Document A20pM -1997. Copyright @ 1911,1915,1918,1925, 1937,1951,1958,1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright law and International Treaties, Unauthorized 26 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) ~ 7.3.7 The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Sum shall be actual net cost as confirmed by the Architect. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be figured on the basis of net increase, if any, with respect to that change. ~ 7.3.8 Pending final determination of the total cost of a Construction Change Directive to the Owner, amounts not in dispute for such changes in the Work shall be included in Applications for Payment accompanied by a Change Order indicating the parties' agreement with part or all of such costs. For any portion of such cost that remains in dispute, the Architect will make an interim determination for purposes of monthly certification for payment for those costs. That detennination of cost shall adjust the Contract Sum on the same basis as a Change Order, subject to the right of either party to disagree and assert a claim in accordance with Article 4. ~ 7.3.9 When the Owner and Contractor agree with the determination made by the Architect concerning the adjustments in the Contract Sum and Contract Time, or otherwise reach agreement upon the adjustments, such agreement shall be effective immediately and shall be recorded by preparation and execution of an appropriate Change Order. ~ 7.4 MINOR CHANGES IN THE WORK ~ 7.4.1 The Architect will have authority to order minor changes in the Work not involving adjustment in the Contract Sum or extension of the Contract Time and not inconsistent with the intent of the Contract Documents, Such changes shall be effected by written order and shall be binding on the Owner and Contractor. The Contractor shall carry out such written orders promptly. ARTICLE 8 TIME ~ 8.1 DEFINITIONS ~ 8.1.1 Unless otherwise provided, Contract Time is the period of time, including authorized adjustments, allotted in the Contract Documents for Substantial Completion of the Work. ~ 8.1.2 The date of commencement of the Work. shall be established by a Notice to Proceed and receipt of all permits required for construction. ~ 8.1.3 The date of Substantial Completion is the date certified by the Architect in accordance with Section 9.8. ~ 8.1.4 The term "day" as used in the Contract Documents shall mean calendar day unless otherwise specifically defined. ~ 8.2 PROGRESS AND COMPLETION ~ 8.2.1 Time limits stated in the Contract Documents are of the essence of the Contract. By executing the Agreement the Contractor confirms that the Contract Time is a reasonable period for performing the Work. ~ 8.2.2 The Contractor shall not knowingly, except by agreement or instruction of the Owner in writing, prematurely commence operations on the site or elsewhere prior to the effective date of insurance required by Article II to be furnished by the Contractor and Owner. The date of commencement of the Work shall not be changed by the effective date of such insurance. Unless the date of commencement is established by the Contract Documents or a notice to proceed given by the Owner, the Contractor shall notify the Owner in writing not less than five days or other agreed period before commencing the Work to permit the timely filing of mortgages, mechanic's liens and other security interests. ~ 8.2.3 The Contractor shall proceed expeditiously with adequate forces and shall achieve Substantial Completion within the Contract Time. ~ 8.3 DELAYS AND EXTENSIONS OF TIME ~ 8.3.1 If the Contractor is delayed at any time in the commencement or progress of the Work by an act or neglect of the Owner or Architect, or of an employee of either, or of a separate contractor employed by the Owner, or by changes ordered in the Work, or by labor disputes, fire, unusual delay in deliveries, unavoidable casualties or other causes beyond the Contractor's control, or by delay authorized by the Owner pending mediation and arbitration, or Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958, 1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAS Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 27 reproduction or distribution of this AlAS Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) by other causes which the Architect determines may justify delay, then the Contract Time shall be extended by Change Order for such reasonable time as the Architect may determine. ~ 8.3.2 Claims relating to time shall be made in accordance with applicable provisions of Section 4.3. ~ 8.3.3 This Section 8.3 does not preclude recovery of damages for delay by either party under other provisions of the Contract Documents. ARTICLE 9 PAYMENTS AND COMPLETION ~ 9.1 CONTRACT SUM ~ 9.1.1 The Contract Sum is stated in the Agreement and, including authorized adjustments, is the total amount payable by the Owner to the Contractor for performance of the Work under the Contract Documents. ~ 9.2 SCHEDULE OF VALUES ~ 9.2.1 Before the first Application for Payment, the Contractor shall submit to the Architect a schedule of values allocated to various portions of the Work, prepared in such form and supported by such data to substantiate its accuracy as the Architect may require. This schedule, unless objected to by the Architect, shall be used as a basis for reviewing the Contractor's Applications for Payment. The Contractor shall provide additional breakdown of the initial Schedule of Values prior to invoicing for work under each budget category. ~ 9.3 APPLICATIONS FOR PAYMENT ~ 9.3.1 At least ten days before the date established for each progress payment, the Contractor shall submit to the Architect an itemized Application for Payment for operations completed in accordance with the schedule of values. Such application shall be notarized, if required, and supported by such data substantiating the Contractor's right to payment as the Owner or Architect may require, such as copies of requisitions from Subcontractors and material suppliers, and reflecting retainage if provided for in the Contract Documents. ~ 9.3.1.1 As provided in Section 7.3.8, such applications may include requests for payment on account of changes in the Work which have been properly authorized by Construction Change Directives, or by interim determinations of the Architect, but not yet included in Change Orders. ~ 9.3.1.2 Such applications may not include requests for payment for portions of the Work for which the Contractor does not intend to pay to a Subcontractor or material supplier, unless such Work has been performed by others whom the Contractor intends to pay. ~ 9.3.2 Unless otherwise provided in the Contract Documents, payments shall be made on account of materials and equipment delivered and suitably stored at the site for subsequent incorporation in the Work. If approved in advance by the Owner, payment may similarly be made for materials and equipment suitably stored off the site at a location agreed upon in writing. Payment for materials and equipment stored on or off the site shall be conditioned upon compliance by the Contractor with procedures satisfactory to the Owner to establish the Owner's title to such materials and equipment or otherwise protect the Owner's interest, and shall include the costs of applicable insurance, storage and transportation to the site for such materials and equipment stored off the site. ~ 9.3.3 The Contractor warrants that title to all Work covered by an Application for Payment will pass to the Owner no later than the time of payment. The Contractor further warrants that upon submittal of an Application for Payment all Work for which Certificates for Payment have been previously issued and payments received from the Owner shall, to the best of the Contractor's knowledge, information and belief, be free and clear of liens, claims, security interests or encumbrances in favor of the Contractor, Subcontractors, material suppliers, or other persons or entities making a claim by reason of having provided labor, materials and equipment relating to the Work. ~ 9.3.4 Prior to payment on each Application for Payment, Contractor shall submit a waiver of lien from each Subcontractor and Supplier, as well as any other entity that sends a Notice to Owner that it is supplying labor, material or equipment to the Project, through the date of the last Application for Payment actually paid by Owner to Contractor. Init. AlA Document A201™ -1997, Copyright @ 1911,1915,1918, 1925, 1937, 1951, 1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the 28 maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 0711 0/2008 under Order No,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) ~ 9.4 CERTIFICATES FOR PAYMENT ~ 9.4.1 The Architect will, within seven days after receipt of the Contractor's Application for Payment, either issue to the Owner a Certificate for Payment, with a copy to the Contractor, for such amount as the Architect determines is properly due, or notify the Contractor and Owner in writing of the Architect's reasons for withholding certification in whole or in part as provided in Section 9.5.1. ~ 9.4.2 The issuance of a Certificate for Payment will constitute a representation by the Architect to the Owner, based on the Architect's evaluation of the Work and the data comprising the Application for Payment, that the Work has progressed to the point indicated and that, to the best of the Architect's knowledge, information and belief, the quality of the Work is in accordance with the Contract Documents. The foregoing representations are subject to an evaluation of the Work for conformance with the Contract Documents upon Substantial Completion, to results of subsequent tests and inspections, to correction of minor deviations from the Contract Documents prior to completion and to specific qualifications expressed by the Architect. The issuance of a Certificate for Payment will further constitute a representation that the Contractor is entitled to payment in the amount certified. However, the issuance of a Certificate for Payment will not be a representation that the Architect has (1) made exhaustive or continuous on- site inspections to check the quality or quantity of the Work, (2) reviewed construction means, methods, techniques, sequences or procedures, (3) reviewed copies of requisitions received from Subcontractors and material suppliers and other data requested by the Owner to substantiate the Contractor's right to payment, or (4) made examination to ascertain how or for what purpose the Contractor has used money previously paid on account of the Contract Sum. ~ 9.5 DECISIONS TO WITHHOLD CERTIFICATION ~ 9.5.1 The Architect may withhold a Certificate for Payment in whole or in part, to the extent reasonably necessary to protect the Owner, if in the Architect's opinion the representations to the Owner required by Section 9.4.2 cannot be made. If the Architect is unable to certify payment in the amount of the Application, the Architect will notify the Contractor and Owner as provided in Section 9.4.1. In the event Architect determines to make such revised Certificate for Payment, Architect shall also issue a written, itemized list of specific items for which it is withholding certification, the bases therefore and the specific dollar amounts withheld for each such item. All undisputed amounts shall be certified for payment by the Architect. If the Contractor and Architect cannot agree on a revised amount, the Architect will promptly issue a Certificate for Payment for the amount for which the Architect is able to make such representations to the Owner. The Architect may also withhold a Certificate for Payment or, because of subsequently discovered evidence, may nullify the whole or a part of a Certificate for Payment previously issued, to such extent as may be necessary in the Architect's opinion to protect the Owner from loss for which the Contractor is responsible, including loss resulting from acts and omissions described in Section 3.3.2, because of: .1 defective Work not remedied; .2 third party claims filed or reasonable evidence indicating probable filing of such claims unless security acceptable to the Owner is provided by the Contractor; .3 failure of the Contractor to make payments properly to Subcontractors or for labor, materials or equipment; .4 reasonable evidence that the Work cannot be completed for the unpaid balance of the Contract Sum; .5 damage to the Owner or another contractor; .6 reasonable evidence that the Work will not be completed within the Contract Time, and that the unpaid balance would not be adequate to cover actual or liquidated damages for the anticipated delay; or .7 persistent failure to carry out the Work in accordance with the Contract Documents. ~ 9.5.2 When the above reasons for withholding certification are removed, certification will be made for amounts previously withheld. ~ 9.6 PROGRESS PAYMENTS ~ 9.6.1 After the Architect has issued a Certificate for Payment, the Owner shall make payment in the manner and within the time provided in the Contract Documents, and shall so notify the Architect. ~ 9.6.2 The Contractor shall promptly pay each Subcontractor, upon receipt of payment from the Owner, out of the amount paid to the Contractor on account of such Subcontractor's portion of the Work, the amount to which said Subcontractor is entitled, pursuant to the terms reflecting percentages actually retained from payments to the AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925, 1937, 1951,1958,1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIAf/I) Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 29 reproduction or distribution of this AIAf/I) Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) Init. Contractor on account of such Subcontractor's portion of the Work. The Contractor shall, by appropriate agreement with each Subcontractor, require each Subcontractor to make payments to Sub-subcontractors in a similar manner. ~ 9.6.3 ~ 9.6.4 Neither the Owner nor Architect shall have an obligation to payor to see to the payment of money to a Subcontractor except as may otherwise be required by law. ~ 9.6.5 Payment to material suppliers shall be treated in a manner similar to that provided in Sections 9.6.2,9.6.3 and 9.6.4. ~ 9.6.6 A Certificate for Payment, a progress payment, or partial or entire use or occupancy of the Project by the Owner shall not constitute acceptance of Work not in accordance with the Contract Documents. ~ 9.6.7 Unless the Contractor provides the Owner with a payment bond in the full penal sum of the Contract Sum, payments received by the Contractor for Work properly performed by Subcontractors and suppliers shall be held by the Contractor for those Subcontractors or suppliers who performed Work or furnished materials, or both, under contract with the Contractor for which payment was made by the Owner. Nothing contained herein shall require money to be placed in a separate account and not commingled with money of the Contractor, shall create any fiduciary liability or tort liability on the part of the Contractor for breach of trust or shall entitle any person or entity to an award of puniti ve damages against the Contractor for breach of the requirements of this provision. ~ 9.7 FAILURE OF PAYMENT ~ 9.7.1 If the Architect does not issue a Certificate for Payment, through no fault of the Contractor, within seven days after receipt of the Contractor's Application for Payment, or if the Owner does not pay the Contractor within seven days after the date established in the Contract Documents the amount certified by the Architect or awarded by arbitration, then the Contractor may, upon seven additional days' written notice to the Owner and Architect, stop the Work until payment of the amount owing has been received. The Contract Time shall be extended appropriately and the Contract Sum shall be increased by the amount of the Contractor's reasonable costs of shut-down, delay and start-up, plus interest as provided for in the Contract Documents. ~ 9.8 SUBSTANTIAL COMPLETION ~ 9.8.1 Substantial Completion is the stage in the progress of the Work when the Work or designated portion thereof is sufficiently complete including a Temporary Certificate of Occupancy in accordance with the Contract Documents so that the Owner can occupy or utilize the Work for its intended use. To the extent issuance of a Temporary Certificate of Occupancy is withheld due to circumstances beyond contractor's control, contractor shall be deemed substantially complete with work if sufficiently complete. ~ 9.8.2 When the Contractor considers that the Work, or a portion thereof which the Owner agrees to accept separately, is substantially complete, the Contractor shall prepare and submit to the Architect a comprehensive list of items to be completed or corrected prior to final payment. Failure to include an item on such list does not alter the responsibility of the Contractor to complete all Work in accordance with the Contract Documents. ~ 9.8.3 Upon receipt of the Contractor's list, the Architect will make an inspection to determine whether the Work or designated portion thereof is substantially complete. If the Architect's inspection discloses any item, whether or not included on the Contractor's list, which is not sufficiently complete in accordance with the Contract Documents so that the Owner can occupy or utilize the Work or designated portion thereof for its intended use, the Contractor shall, before issuance of the Certificate of Substantial Completion, complete or correct such item upon notification by the Architect. In such case, the Contractor shall then submit a request for another inspection by the Architect to determine Substantial Completion. ~ 9.8.4 When the Work or designated portion thereof is substantially complete, the Architect will prepare a Certificate of Substantial Completion which shall establish the date of Substantial Completion, shall establish responsibilities of the Owner and Contractor for security, maintenance, heat, utilities, damage to the Work and insurance, and shall fix the time within which the Contractor shall finish all items on the list accompanying the Certificate. Warranties required by the Contract Documents shall commence on the date of Substantial Completion of the Work or designated portion thereof unless otherwise provided in the Certificate of Substantial Completion. Init. AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 30 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) ~ 9.8.5 The Certificate of Substantial Completion shall be submitted to the Owner and Contractor for their written acceptance of responsibilities assigned to them in such Certificate. Upon such acceptance and consent of surety, if any, the Owner shall make payment of retainage applying to such Work or designated portion thereof. Such payment shall be adjusted for Work that is incomplete or not in accordance with the requirements of the Contract Documents. Owner, on behalf of the Architect, Engineer and itself must present only one consolidated punchlist for Contractor to perform which must be presented at the earlier of (i) thirty (30) days after Substantial Completion or (ii) ten (10) days after written notice from Contractor to Owner that the punchlist work list has been completed for a particular area. The Owner reserves the right to add or delete from the punchlist for unforeseen items on the initial punch list walk-through Owner shall retain One hundred fifty percent (150 %) of the monetized punchlist for correction and/or completion of remaining punchlist work cost as agreed by Architect. Contractor may requisition once a month thereafter for those items corrected and/or completed to the satisfaction of the Owner and Architect. ~ 9.9 PARTIAL OCCUPANCY OR USE ~ 9.9.1 The Owner may occupy or use any completed or partially completed portion of the Work at any stage when such portion is designated by separate agreement with the Contractor, provided such occupancy or use is consented to by the insurer as required under Section 11.4.1.5 and authorized by public authorities having jurisdiction over the Work. Such partial occupancy or use may commence whether or not the portion is substantially complete, provided the Owner and Contractor have accepted in writing the responsibilities assigned to each of them for payments, retainage, if any, security, maintenance, heat, utilities, damage to the Work and insurance, and have agreed in writing concerning the period for correction of the Work and commencement of warranties required by the Contract Documents. When the Contractor considers a portion substantially complete, the Contractor shall prepare and submit a list to the Architect as provided under Section 9.8.2. Consent of the Contractor to partial occupancy or use shall not be unreasonably withheld. The stage of the progress of the Work shall be determined by written agreement between the Owner and Contractor or, if no agreement is reached, by decision of the Architect. ~ 9.9.2 Immediately prior to such partial occupancy or use, the Owner, Contractor and Architect shall jointly inspect the area to be occupied or portion of the Work to be used in order to determine and record the condition of the Work. ~ 9.9.3 Unless otherwise agreed upon, partial occupancy or use of a portion or portions of the Work shall not constitute acceptance of Work not complying with the requirements of the Contract Documents. ~ 9.10 FINAL COMPLETION AND FINAL PAYMENT ~ 9.10.1 Upon receipt of written notice that the Work is ready for final inspection and acceptance and upon receipt of a final Application for Payment, the Architect will promptly make such inspection and, when the Architect finds the Work acceptable under the Contract Documents and the Contract fully performed, the Architect will promptly issue a final Certificate for Payment stating that to the best of the Architect's knowledge, information and belief, and on the basis of the Architect's on-site visits and inspections, the Work has been completed in accordance with terms and conditions of the Contract Documents and that the entire balance found to be due the Contractor and noted in the final Certificate is due and payable. The Architect's final Certificate for Payment will constitute a further representation that conditions listed in Section 9.10.2 and 12.2.1.3 of A Ill, as precedent to the Contractor's being entitled to final payment have been fulfilled. ~ 9.10.2 Neither final payment nor any remaining retained percentage shall become due until the Contractor submits to the Architect (I) an affidavit that payrolls, bills for materials and equipment, and other indebtedness connected with the Work for which the Owner or the Owner's property might be responsible or encumbered (less amounts withheld by Owner) have been paid or otherwise satisfied, (2) a certificate evidencing that insurance required by the Contract Documents to remain in force after final payment is currently in effect and will not be canceled or allowed to expire until at least 30 days' prior written notice has been given to the Owner, (3) a written statement that the Contractor knows of no substantial reason that the insurance will not be renewable to cover the period required by the Contract Documents, (4) consent of surety, if any, to final payment and (5), if required by the Owner, other data establishing payment or satisfaction of obligations, such as receipts, releases and waivers of liens, claims, security interests or encumbrances arising out of the Contract, to the extent and in such form as may be designated by the AlA Document A201TM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA~ Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 31 reproduction or distribution of this AlA ~ Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) Init. \. Owner. If a Subcontractor refuses to furnish a release or waiver required by the Owner, the Contractor may furnish a bond satisfactory to the Owner to indemnify the Owner against such lien. If such lien remains unsatisfied after payments are made, the Contractor shall refund to the Owner all money that the Owner may be compelled to pay in discharging such lien, including all costs and reasonable attorneys' fees. 99.10.3 If, after Substantial Completion of the Work, final completion thereof is materially delayed through no fault of the Contractor or by issuance of Change Orders affecting final completion, and the Architect so confirms, the Owner shall, upon application by the Contractor and certification by the Architect, and without terminating the Contract, make payment of the balance due for that portion of the Work fully completed and accepted. If the remaining balance for Work not fully completed or corrected is less than retainage stipulated in the Contract Documents, and if bonds have been furnished, the written consent of surety to payment of the balance due for that portion of the Work fully completed and accepted shall be submitted by the Contractor to the Architect prior to certification of such payment. Such payment shall be made under terms and conditions governing final payment, except that it shall not constitute a waiver of claims. 99.10.4 The making of final payment shall constitute a waiver of Claims by the Owner except those arising from: .1 liens, Claims, security interests or encumbrances arising out of the Contract and unsettled; .2 failure of the Work to comply with the requirements of the Contract Documents; or .3 terms of special warranties required by the Contract Documents. 9 9.10.5 Acceptance of final payment by the Contractor, a Subcontractor or material supplier shall constitute a waiver of claims by that payee except those previously made in writing and identified by that payee as unsettled at the time of final Application for Payment. ARTICLE 10 PROTECTION OF PERSONS AND PROPERTY 9 10.1 SAFETY PRECAUTIONS AND PROGRAMS 910.1.1 The Contractor shall be responsible for initiating, maintaining and supervising all safety precautions and programs in connection with the performance of the Contract. 910.2 SAFETY OF PERSONS AND PROPERTY 910.2.1 The Contractor shall take reasonable precautions for safety of, and shall provide reasonable protection to prevent damage, injury or loss to: .1 employees on the Work and other persons who may be affected thereby; .2 the Work and materials and equipment to be incorporated therein, whether in storage on or off the site, under care, custody or control of the Contractor or the Contractor's Subcontractors or Sub- subcontractors; and .3 other property at the site or adjacent thereto, such as trees, shrubs, lawns, walks, pavements, roadways, structures and utilities not designated for removal, relocation or replacement in the course of construction. 910.2.2 The Contractor shall give notices and comply with applicable laws, ordinances, rules, regulations and lawful orders of public authorities bearing on safety of persons or property or their protection from damage, injury or loss. Owner acknowledges that Contractor has not created or contributed to the creation of or existence of any hazardous or toxic materials or any other type of hazard, contamination or pollution, latent or patent, or to the release thereof, or the violation of any law or regulation thereto, or to the release prior to the date of the commencement of performance of the Work (collectively the "Preexisting Conditions"). Therefore, Owner shall defend, indemnify and hold harmless Contractor, its subsidiaries and affiliates and any of their respective officers, directors, employees, agents and/or sureties from and against any claim, demand, cause of action, judgment or other obligation, including but not limited to those based in whole or part on strict liability, that the Contractor has become an owner, operator, generator, transporter or disposer of a hazardous substance, or other potentially responsible party under CERCLA or any other federal or state environmental laws, based on the Preexisting Conditions, except to the extent the claim arises from the act or omission or misconduct of the Contractor or its suppliers, Subcontractors, agents and anyone for whose acts they may be responsible. Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925, 1937,1951,1958,1961,1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 3 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the 2 maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) J The responsibility for making any disclosures or reports to any third parties and for taking any corrective, remedial or mitigation actions regarding the Preexisting Conditions shall be solely that of the Owner except to the extent that the claim arises from an act or omission or misconduct of the Contractor. ~ 10.2.3 The Contractor shall erect and maintain, as required by existing conditions and performance of the Contract, reasonable safeguards for safety and protection, including posting danger signs and other warnings against hazards, promulgating safety regulations and notifying owners and users of adjacent sites and utilities. ~ 10.2.4 When use or storage of explosives or other hazardous materials or equipment or unusual methods are necessary for execution of the Work, the Contractor shall exercise utmost care and carryon such acti vities under supervision of properly qualified personnel. ~ 10.2.5 The Contractor shall promptly remedy damage and loss (other than damage or loss insured under property insurance required by the Contract Documents) to property referred to in Sections] 0.2.].2 and] 0.2.].3 caused in whole or in part by the Contractor, a Subcontractor, a Sub-subcontractor, or anyone directly or indirectly employed by any of them, or by anyone for whose acts they may be liable and for which the Contractor is responsible under Sections 10.2.].2 and] 0.2.1.3, except damage or loss attributable to acts or omissions of the Owner or Architect or anyone directly or indirectly employed by either of them, or by anyone for whose acts either of them may be liable, and not attributable to the fault or negligence of the Contractor. The foregoing obligations of the Contractor are in addition to the Contractor's obligations under Section 3.18. ~ 10.2.6 The Contractor shall designate a responsible member of the Contractor's organization at the site whose duty shall be the prevention of accidents. This person shall be the Contractor's superintendent unless otherwise designated by the Contractor in writing to the Owner and Architect. ~ 10.2.7 The Contractor shall not load or permit any part of the construction or site to be loaded so as to endanger its safety. ~ 10.3 HAZARDOUS MATERIALS ~ 10.3.1 If reasonable precautions will be inadequate to prevent foreseeable bodily injury or death to persons resulting from a material or substance, including but not limited to asbestos or polychlorinated biphenyl (PCB), encountered on the site by the Contractor, the Contractor shall, upon recognizing the condition, immediately stop Work in the affected area and report the condition to the Owner and Architect in writing. ~ 10.3.2 The Owner shall obtain the services of a licensed laboratory to verify the presence or absence of the material or substance reported by the Contractor and, in the event such material or substance is found to be present, to verify that it has been rendered harmless. Unless otherwise required by the Contract Documents, the Owner shall furnish in writing to the Contractor and Architect the names and qualifications of persons or entities who are to perform tests verifying the presence or absence of such material or substance or who are to perform the task of removal or safe containment of such material or substance. The Contractor and the Architect will promptly reply to the Owner in writing stating whether or not either has reasonable objection to the persons or entities proposed by the Owner. If either the Contractor or Architect has an objection to a person or entity proposed by the Owner, the Owner shall propose another to whom the Contractor and the Architect have no reasonable objection, When the material or substance has been rendered harmless, Work in the affected area shall resume upon written agreement of the Owner and Contractor. The Contract Time shall be extended appropriately and the Contract Sum shall be increased in the amount of the Contractor's reasonable additional costs of shut-down, delay and start-up, which adjustments shall be accomplished as provided in Article 7, ~ 10.3.3 To the fullest extent permitted by law, the Owner shall indemnify and hold harmless the Contractor, Subcontractors, Architect, Architect's consultants and agents and employees of any of them from and against claims, damages, losses and expenses, including but not limited to attorneys' fees, arising out of or resulting from performance of the Work in the affected area if in fact the material or substance presents the risk of bodily injury or death as described in Section] 0.3.1 and has not been rendered harmless, provided that such claim, damage, loss or expense is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible property (other than the Work itself) and provided that such damage, loss or expense is not due to the sole negligence of a party seeking indemnity. In it. AlA Document A201'M -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S, Copyright Law and International Treaties. Unauthorized 33 reproduction or distribution of this AlA'" Document. or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order NO.1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) ~ 10.4 The Owner shall not be responsible under Section 10.3 for materials and substances brought to the site by the Contractor unless such materials or substances were required by the Contract Documents. ~ 10.5 If, without negligence on the part of the Contractor, the Contractor is held liable for the cost of remediation of a hazardous material or substance solely by reason of performing Work as required by the Contract Documents, the Owner shall indemnify the Contractor for all cost and expense thereby incurred. ~ 10.6 EMERGENCIES ~ 10.6.1 In an emergency affecting safety of persons or property, the Contractor shall act, at the Contractor's discretion, to prevent threatened damage, injury or loss. Additional compensation or extension of time claimed by the Contractor on account of an emergency shall be determined as provided in Section 4.3 and Article 7. ARTICLE 11 INSURANCE AND BONDS ~ 11.1 CONTRACTOR'S LIABILITY INSURANCE ~ 11.1.1 The Contractor shall purchase from and maintain in a company or companies lawfully authorized to do business in the jurisdiction in which the Project is located such insurance as will protect the Contractor from claims set forth below which may arise out of or result from the Contractor's operations under the Contract and for which the Contractor may be legally liable, whether such operations be by the Contractor or by a Subcontractor or by anyone directly or indirectly employed by any of them, or by anyone for whose acts any of them may be liable: .1 claims under workers' compensation, disability benefit and other similar employee benefit acts which are applicable to the Work to be performed; .2 claims for damages because of bodily injury, occupational sickness or disease, or death of the Contractor's employees; .3 claims for damages because of bodily injury, sickness or disease, or death of any person other than the Contractor's employees; .4 claims for damages insured by usual personal injury liability coverage; .5 claims for damages, other than to the Work itself, because of injury to or destruction of tangible property, including loss of use resulting therefrom; .6 claims for damages because of bodily injury, death of a person or property damage arising out of ownership, maintenance or use of a motor vehicle; .7 claims for bodily injury or property damage arising out of completed operations; and .8 claims involving contractual liability insurance applicable to the Contractor's obligations under Section 3.18. ~ 11.1.2 The insurance required by Section 11.1.1 shall be written for not less than limits of liability specified in the Contract Documents or required by law, whichever coverage is greater but in no event less than $10 Million Dollars Coverages, whether written on an occurrence basis, shall be maintained without interruption from date of commencement of the Work until date of final payment and termination of any coverage required to be maintained after final payment. Cost of General Liability Insurance shall be reimbursed as a Cost of the Work at a rate of 1% ~ 11.1.3 Certificates of insurance acceptable to the Owner shall be filed with the Owner prior to commencement of the Work. These certificates and the insurance policies required by this Section 11.1 shall contain a provision that coverages afforded under the policies will not be canceled or allowed to expire until at least 30 days' prior written notice has been given to the Owner. If any of the foregoing insurance coverages are required to remain in force after final payment and are reasonably available, an additional certificate evidencing continuation of such coverage shall be submitted with the final Application for Payment as required by Section 9.10.2. Information concerning reduction of coverage on account of revised limits or claims paid under the General Aggregate, or both, shall be furnished by the Contractor with reasonable promptness in accordance with the Contractor's information and belief. ~11.1.4 Said policy shall be endorsed to indicate that the term "Insured" shall include the Owner and be deemed to include their agents, boards, bureaus, departments and officers thereof in their official capacities. The Contractor shall name the Owner as Additional Insured on the Contractor's General Liability policy. ~ 11.2 OWNER'S LIABILITY INSURANCE ~ 11.2.1 The Owner shall be responsible for purchasing and maintaining the Owner's usual liability insurance. The Contractor and its sureties will be named as additional insureds on Owner's policy of insurance. Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties, Unauthorized 34 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979 1 which expires on 3/3/2009, and is not for resale, - User Notes: (1818730087) 911.3 PROJECT MANAGEMENT PROTECTIVE LIABILITY INSURANCE 911.3.1 9 11.3.2 . 911.3.3 9 11.4 PROPERTY INSURANCE 911.4.1 Unless otherwise provided, the Owner shall purchase and maintain, in a company or companies lawfully authorized to do business in the jurisdiction in which the Project is located, property insurance written on a builder's risk "all-risk" or equivalent policy form in the amount of the initial Contract Sum, plus value of subsequent Contract modifications and cost of materials supplied or installed by others, comprising total value for the entire Project at the site on a replacement cost basis without optional deductibles. Such property insurance shall be maintained, unless otherwise provided in the Contract Documents or otherwise agreed in writing by all persons and entities who are beneficiaries of such insurance, until final payment has been made as provided in Section 9.10 or until no person or entity other than the Owner has an insurable interest in the property required by this Section 11.4 to be covered, whichever is later. This insurance shall include interests of the Owner, the Contractor, Subcontractors and Sub- subcontractors in the Project. 911.4.1.1 Property insurance shall be on an "all-risk" or equivalent policy form and shall include, without limitation, insurance against the perils of fire (with extended coverage) and physical loss or damage including, without duplication of coverage, theft, vandalism, malicious mischief, collapse, earthquake, flood, windstorm, false work, testing and startup, temporary buildings and debris removal including demolition occasioned by enforcement of any applicable legal requirements, and shall cover reasonable compensation for Architect's and Contractor's services and expenses required as a result of such insured loss. 9 11.4.1.2 If the Owner does not intend to purchase such property insurance required by the Contract and with all of the coverages in the amount described above, the Owner shall so inform the Contractor in writing prior to commencement of the Work. The Contractor may then effect insurance which will protect the interests of the Contractor, Subcontractors and Sub-subcontractors in the Work, and by appropriate Change Order the cost thereof shall be charged to the Owner. If the Contractor is damaged by the failure or neglect of the Owner to purchase or maintain insurance as described above, without so notifying the Contractor in writing, then the Owner shall bear all reasonable costs properly attributable thereto. 9 11.4.1.3 If the property insurance requires deductibles, the Owner shall pay costs not covered because of such deductibles. 9 11.4.1.4 This property insurance shall cover portions of the Work stored off the site, and also portions of the Work in transit. 11.4.1.4.1 The Owner shall have power to adjust and settle a builder's risk loss with insurers, but shall not settle such loss without Contractor's consent, which shall not be unreasonably withheld. 911.4.1.5 Partial occupancy or use in accordance with Section 9.9 shall not commence until the insurance company or companies providing property insurance have consented to such partial occupancy or use by endorsement or otherwise. The Owner and the Contractor shall take reasonable steps to obtain consent of the insurance company or companies and shall, without mutual written consent, take no action with respect to partial occupancy or use that would cause cancellation, lapse or reduction of insurance. 911.4.2 Boiler and Machinery Insurance. The Owner shall purchase and maintain boiler and machinery insurance required by the Contract Documents or by law, which shall specifically cover such insured objects during installation and until final acceptance by the Owner; this insurance shall include interests of the Owner, Contractor, Subcontractors and Sub-subcontractors in the Work, and the Owner and Contractor shall be named insureds. 9 11.4.3 Loss of Use Insurance. The Owner, at the Owner's option, may purchase and maintain such insurance as will insure the Owner against loss of use of the Owner's property due to fire or other hazards, however caused. The Init. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIAfIi Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 35 reproduction or distribution 01 this AIAfIi Document, or any portion 01 it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) Owner waives all rights of action against the Contractor for loss of use of the Owner's property, including consequential losses due to fire or other hazards however caused. ~ 11.4.4 If the Contractor requests in writing that insurance for risks other than those described herein or other special causes of loss be included in the property insurance policy, the Owner shall, if possible, include such insurance, and the cost thereof shall be charged to the Contractor by appropriate Change Order. ~ 11.4.5 If during the Project construction period the Owner insures properties, real or personal or both, at or adjacent to the site by property insurance under policies separate from those insuring the Project, or if after final payment property insurance is to be provided on the completed Project through a policy or policies other than those insuring the Project during the construction period, the Owner shall waive all rights in accordance with the terms of Section 1104.7 for damages caused by fire or other causes of loss covered by this separate property insurance. All separate policies shall provide this waiver of subrogation by endorsement or otherwise. ~ 11.4.6 Before an exposure to loss may occur, the Owner shall file with the Contractor a copy of each policy that includes insurance coverages required by this Section 1104. Each policy shall contain all generally applicable conditions, definitions, exclusions and endorsements related to this Project. Each policy shall contain a provision that the policy will not be canceled or allowed to expire, and that its limits will not be reduced, until at least 30 days' prior written notice has been given to the Contractor. ~ 11.4.7 Waivers of Subrogation. The Owner and Contractor waive all rights against (I) each other and any of their subcontractors, sub-subcontractors, agents and employees, each of the other, and (2) the Architect, Architect's consultants, separate contractors described in Article 6, if any, and any of their subcontractors, sub-subcontractors, agents and employees, for damages caused by fire or other causes of loss to the extent covered by property insurance obtained pursuant to this Section 1104 or other property insurance applicable to the Work, except such rights as they have to proceeds of such insurance held by the Owner as fiduciary. The Owner or Contractor, as appropriate, shall require of the Architect, Architect's consultants, separate contractors described in Article 6, if any, and the subcontractors, sub-subcontractors, agents and employees of any of them, by appropriate agreements, written where legally required for validity, similar waivers each in favor of other parties enumerated herein. The policies shall provide such waivers of subrogation by endorsement or otherwise. A waiver of subrogation shall be effective as to a person or entity even though that person or entity would otherwise have a duty of indemnification, contractual or otherwise, did not pay the insurance premium directly or indirectly, and whether or not the person or entity had an insurable interest in the property damaged. ~ 11.4.8 A loss insured under Owner's property insurance shall be adjusted by the Owner as fiduciary and made payable to the Owner as fiduciary for the insureds, as their interests may appear, subject to requirements of any applicable mortgagee clause and of Section 1104.10. The Contractor shall pay Subcontractors their just shares of insurance proceeds received by the Contractor, and by appropriate agreements, written where legally required for validity, shall require Subcontractors to make payments to their Sub-subcontractors in similar manner. ~ 11.4.9 If required in writing by a party in interest, the Owner as fiduciary shall, upon occurrence of an insured loss, give bond for proper performance of the Owner's duties. The cost of required bonds shall be charged against proceeds received as fiduciary. The Owner shall deposit in a separate account proceeds so received, which the Owner shall distribute in accordance with such agreement as the parties in interest may reach, or in accordance with an arbitration award in which case the procedure shall be as provided in Section 4.6. If after such loss no other special agreement is made and unless the Owner terminates the Contract for convenience, replacement of damaged property shall be performed by the Contractor after notification of a Change in the Work in accordance with Article 7. ~ 11.4.10 The Owner as fiduciary shall have power to adjust and settle a loss with insurers unless one of the parties in interest shall object in writing within five days after occurrence of loss to the Owner's exercise of this power; if such objection is made, the dispute shall be resolved as provided in Sections 4.5 and 4.6. The Owner as fiduciary shall, in the case of arbitration, make settlement with insurers in accordance with directions of the arbitrators. If distribution of insurance proceeds by arbitration is required, the arbitrators will direct such distribution. In it. AlA Document A201™ -1997, Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlAI/!) Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 36 reproduction or distribution of this AlAI/!) Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) ~ 11.5 PERFORMANCE BOND AND PAYMENT BOND ~ 11.5.1 The Owner shall have the right to require the Contractor to furnish bonds covering faithful performance of the Contract and payment of obligations arising thereunder as stipulated in bidding requirements or specifically required in the Contract Documents on the date of execution of the Contract. ~ 11.5.2 Upon the request of any person or entity appearing to be a potential beneficiary of bonds covering payment of obligations arising under the Contract, the Contractor shall promptly furnish a copy of the bonds or shall permit a copy to be made. ARTICLE 12 UNCOVERING AND CORRECTION OF WORK ~ 12.1 UNCOVERING OF WORK ~ 12.1.1 If a portion of the Work is covered contrary to the Architect's request or to requirements specifically expressed in the Contract Documents, it must, if required in writing by the Architect, be uncovered for the Architect's examination and be replaced at the Contractor's expense without change in the Contract Time. ~ 12.1.2 If a portion of the Work has been covered which the Architect has not specifically requested to examine prior to its being covered, the Architect may request to see such Work and it shall be uncovered by the Contractor, If such Work is in accordance with the Contract Documents, costs of uncovering and replacement shall, by appropriate Change Order, be at the Owner's expense. If such Work is not in accordance with the Contract Documents, correction shall be at the Contractor's expense unless the condition was caused by the Owner or a separate contractor in which event the Owner shall be responsible for payment of such costs. ~ 12.2 CORRECTION OF WORK ~ 12.2.1 BEFORE OR AFTER SUBSTANTIAL COMPLETION ~ 12.2.1.1 The Contractor shall promptly correct Work rejected by the Architect or failing to conform to the requirements of the Contract Documents, whether discovered before or after Substantial Completion and whether or not fabricated, installed or completed. Costs of correcting such rejected Work, including additional testing and inspections and compensation for the Architect's services and expenses made necessary thereby, shall be at the Contractor's expense. ~ 12.2.2 AFTER SUBSTANTIAL COMPLETION ~ 12.2.2.1 In addition to the Contractor's obligations under Section 3.5, if, within one year after the date of Substantial Completion of the Work or designated portion thereof or after the date for commencement of warranties established under Section 9.9.1, or by terms of an applicable special warranty required by the Contract Documents, any of the Work is found to be not in accordance with the requirements of the Contract Documents, the Contractor shall correct it promptly after receipt of written notice from the Owner to do so unless the Owner has previously given the Contractor a written acceptance of such condition. The Owner shall give such notice promptly after discovery of the condition. During the one-year period for correction of Work, if the Owner fails to notify the Contractor and give the Contractor an opportunity to make the correction, the Owner waives the rights to require correction by the Contractor and to make a claim for breach of warranty. If the Contractor fails to correct nonconforming Work within a reasonable time during that period after receipt of notice from the Owner or Architect, the Owner may correct it in accordance with Section 2.4. ~ 12.2.2.2 The one-year period for correction of Work shall be extended with respect to portions of Work first performed after Substantial Completion by the period of time between Substantial Completion and the actual performance of the Work. ~ 12.2.2.3 The one-year period for correction of Work shall not be extended by corrective Work performed by the Contractor pursuant to this Section 12.2. ~ 12.2.3 The Contractor shall remove from the site portions of the Work which are not in accordance with the requirements of the Contract Documents and are neither corrected by the Contractor nor accepted by the Owner. ~ 12.2.4 The Contractor shall bear the cost of correcting destroyed or damaged construction, whether completed or partially completed, of the Owner or separate contractors caused by the Contractor's correction or removal of Work which is not in accordance with the requirements of the Contract Documents. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 37 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,l 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) Init. ~ 12.2.5 Nothing contained in this Section 12.2 shall be construed to establish a period of limitation with respect to other obligations which the Contractor might have under the Contract Documents. Establishment of the one-year period for correction of Work as described in Section 12.2.2 relates only to the specific obligation of the Contractor to correct the Work, and has no relationship to the time within which the obligation to comply with the Contract Documents may be sought to be enforced, nor to the time within which proceedings may be commenced to establish the Contractor's liability with respect to the Contractor's obligations other than specifically to correct the Work. ~ 12.3 ACCEPTANCE OF NONCONFORMING WORK ~ 12.3.1 If the Owner prefers to accept Work which is not in accordance with the requirements of the Contract Documents, the Owner may do so instead of requiring its removal and correction, in which case the Contract Sum will be reduced as appropriate and equitable. Such adjustment shall be effected whether or not final payment has been made. ARTICLE 13 MISCELLANEOUS PROVISIONS ~ 13.1 GOVERNING LAW ~ 13.1.1 The Contract shall be governed by the law of the place where the Project is located. ~ 13.2 SUCCESSORS AND ASSIGNS ~ 13.2.1 The Owner and Contractor respectively bind themselves, their partners, successors, assigns and legal representatives to the other party hereto and to partners, successors, assigns and legal representatives of such other party in respect to covenants, agreements and obligations contained in the Contract Documents. Except as provided in Section 13.2.2, neither party to the Contract shall assign the Contract as a whole without written consent of the other. If either party attempts to make such an assignment without such consent, that party shall nevertheless remain legally responsible for all obligations under the Contract. ~ 13.2.2 The Owner may, without consent of the Contractor, assign the Contract to an institutional lender providing construction financing for the Project. In such event, the lender shall assume the Owner's rights and obligations under the Contract Documents. The Contractor shall execute all consents reasonably required to facilitate such assignment. ~ 13.3 WRITTEN NOTICE ~ 13.3.1 Written notice shall be deemed to have been duly served if delivered in person to the individual or a member of the firm or entity or to an officer of the corporation for which it was intended, or if delivered at or sent by . registered or certified mail to the last business address known to the party giving notice. ~ 13.4 RIGHTS AND REMEDIES ~ 13.4.1 Duties and obligations imposed by the Contract Documents and rights and remedies available thereunder shall be in addition to and not a limitation of duties, obligations, rights and remedies otherwise imposed or available bylaw. ~ 13.4.2 No action or failure to act by the Owner, Architect or Contractor shall constitute a waiver of a right or duty afforded them under the Contract, nor shall such action or failure to act constitute approval of or acquiescence in a breach thereunder, except as may be specifically agreed in writing. ~ 13.5 TESTS AND INSPECTIONS ~ 13.5.1 Tests, inspections and approvals of portions of the Work required by the Contract Documents or by laws, ordinances, rules, regulations or orders of public authorities having jurisdiction shall be made at an appropriate time. Unless otherwise provided, the Contractor shall make arrangements for such tests, inspections and approvals with an independent testing laboratory or entity acceptable to the Owner, or with the appropriate public authority, and shall bear all related costs of tests, inspections and approvals. The Contractor shall give the Architect timely notice of when and where tests and inspections are to be made so that the Architect may be present for such procedures. The Contractor shall bear costs of tests, inspections or approvals The Owner shall bear the costs of any "Special Inspectors" unless otherwise provided (i,e. Threshold Inspector, etc.). ~ 13.5.2 If the Architect, Owner or public authorities having jurisdiction determine that portions of the Work require additional testing, inspection or approval not included under Section 13.5.1, the Architect will, upon written authorization from the Owner, instruct the Contractor to make arrangements for such additional testing, inspection Init. AlA Document A20FM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AIA$ Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 38 reproduction or distribution of this AIA$ Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/1 0/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale. User Notes: (1818730087) or approval by an entity acceptable to the Owner, and the Contractor shall give timely notice to the Architect of when and where tests and inspections are to be made so that the Architect may be present for such procedures. Such costs, except as provided in Section 13.5.3, shall be at the Contractor's expense. The Owner shall bear the costs of any "Special Inspectors" unless otherwise provided. 913.5.3 If such procedures for testing, inspection or approval under Sections 13.5,1 and 13.5.2 reveal failure of the portions of the Work to comply with requirements established by the Contract Documents, all costs made necessary by such failure including those of repeated procedures and compensation for the Architect's services and expenses shall be at the Contractor's expense. 9 13.5.4 Required certificates of testing, inspection or approval shall, unless otherwise required by the Contract Documents, be secured by the Contractor and promptly delivered to the Architect. 9 13.5.5 If the Architect is to observe tests, inspections or approvals required by the Contract Documents, the Architect will do so promptly and, where practicable, at the normal place of testing. 913.5.6 Tests or inspections conducted pursuant to the Contract Documents shall be made promptly to avoid unreasonable delay in the Work. 913.6 INTEREST 9 13.6.1 Payments due and unpaid under the Contract Documents shall bear interest from the date payment is due at such rate as the parties may agree upon in writing or, in the absence thereof, at the legal rate prevailing from time to time at the place where the Project is located. Refer to base contract for interest rate on late payments agreed to by the Owner and the Contractor. 913.7 COMMENCEMENT OF STATUTORY LIMITATION PERIOD 913.7.1 As between the Owner and Contractor: .1 Before Substantial Completion. As to acts or failures to act occurring prior to the relevant date of Substantial Completion, any applicable statute of limitations shall commence to run and any alleged cause of action shall be deemed to have accrued in any and all events not later than such date of Substantial Completion; .2 Between Substantial Completion and Final Certificate for Payment. As to acts or failures to act occurring subsequent to the relevant date of Substantial Completion and prior to issuance of the final Certificate for Payment, any applicable statute of limitations shall commence to run and any alleged cause of action shall be deemed to have accrued in any and all events not later than the date of issuance of the final Certificate for Payment; and .3 After Final Certificate for Payment. As to acts or failures to act occurring after the relevant date of issuance of the final Certificate for Payment, any applicable statute of limitations shall commence to run and any alleged cause of action shall be deemed to have accrued in any and all events not later than the date of any act or failure to act by the Contractor pursuant to any Warranty provided under Section 3.5, the date of any correction of the Work or failure to correct the Work by the Contractor under Section 12.2, or the date of actual commission of any other act or failure to perform any duty or obligation by the Contractor or Owner, whichever occurs last. ARTICLE 14 TERMINATION OR SUSPENSION OF THE CONTRACT 914.1 TERMINATION BY THE CONTRACTOR 914.1.1 The Contractor may terminate the Contract if the Work is stopped for a period of 30 consecutive days through no act or fault of the Contractor or a Subcontractor, Sub-subcontractor or their agents or employees or any other persons or entities performing portions of the Work under direct or indirect contract with the Contractor, for any of the following reasons: .1 issuance of an order of a court or other public authority having jurisdiction which requires all Work to be stopped; .2 an act of government, such as a declaration of national emergency which requires all Work to be stopped; Init. AlA Document A20pM -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958, 1961, 1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA"" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 39 reproduction or distribution 01 this AlA"" Document, or any portion 01 it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) .3 because the Architect has not issued a Certificate for Payment and has not notified the Contractor of the reason for withholding certification as provided in Section 9.4.], or because the Owner has not made payment on a Certificate for Payment within the time stated in the Contract Documents; or .4 the Owner has failed to furnish to the Contractor promptly, upon the Contractor's request, reasonable evidence as required by Section 2.2.]. ~ 14.1.2 The Contractor may terminate the Contract if, through no act or fault of the Contractor or a Subcontractor, Sub-subcontractor or their agents or employees or any other persons or entities performing portions of the Work under direct or indirect contract with the Contractor, repeated suspensions, delays or interruptions of the entire Work by the Owner as described in Section] 4.3 constitute in the aggregate more than 100 percent of the total number of days scheduled for completion, or ]20 days in any 365-day period, whichever is less. ~ 14.1.3 If one of the reasons described in Section ]4. I.] or ]4.1.2 exists, the Contractor may, upon seven days' written notice to the Owner and Architect, terminate the Contract and recover from the Owner payment for Work executed and for proven loss with respect to materials, equipment, tools, and construction equipment and machinery, including reasonable overhead, profit and damages. ~ 14.1.4 If the Work is stopped for a period of 60 consecutive days through no act or fault of the Contractor or a Subcontractor or their agents or employees or any other persons performing portions of the Work under contract with the Contractor because the Owner has persistently failed to fulfill the Owner's obligations under the Contract Documents with respect to matters important to the progress of the Work, the Contractor may, upon seven additional days' written notice to the Owner and the Architect, terminate the Contract and recover from the Owner as provided in Section ]4.1.3. ~ 14.2 TERMINATION BY THE OWNER FOR CAUSE ~ 14.2.1 The Owner may terminate the Contract if the Contractor: .1 persistently or repeatedly refuses or fails to supply enough properly skilled workers or proper materials; .2 fails to make payment to Subcontractors for materials or labor in accordance with the respective agreements between the Contractor and the Subcontractors; .3 persistently disregards laws, ordinances, or rules, regulations or orders of a public authority having jurisdiction; or .4 otherwise is guilty of substantia] breach of a provision of the Contract Documents. ~ 14.2.2 When any of the above reasons exist, the Owner, upon certification by the Architect that sufficient cause exists to justify such action, may without prejudice to any other rights or remedies of the Owner and after giving the Contractor and the Contractor's surety, if any, seven days' written notice, and 30 days to cure, to the extend not previously provided terminate employment of the Contractor and may, subject to any prior rights of the surety: .1 take possession of the site and of all materials; .2 accept assignment of subcontracts pursuant to Section 5.4; and .3 finish the Work by whatever reasonable method the Owner may deem expedient. Upon request of the Contractor, the Owner shall furnish to the Contractor a detailed accounting of the costs incurred by the Owner in finishing the Work. ~ 14.2.3 When the Owner terminates the Contract for one of the reasons stated in Section ]4.2.], the Contractor shall not be entitled to receive further payment until the Work is finished. ~ 14.2.4 If the unpaid balance of the Contract Sum exceeds costs of finishing the Work, including compensation for the Architect's services and expenses made necessary thereby, and other damages incurred by the Owner and not expressly waived, such excess shall be paid to the Contractor. If such costs and damages exceed the unpaid balance, the Contractor shall pay the difference to the Owner. The amount to be paid to the Contractor or Owner, as the case may be, shall be certified by the Architect, upon application, and this obligation for payment shall survive termination of the Contract. ~ 14.3 SUSPENSION BY THE OWNER FOR CONVENIENCE ~ 14.3.1 The Owner may, without cause, order the Contractor in writing to suspend, delay or interrupt the Work in whole or in part for such period of time as the Owner may determine. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961, 1963,1966,1970,1976,1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 40 reproduction or distribution of this AlA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No.1 000345979 1 which expires on 3/3/2009, and is not for resale. - User Notes: (1818730087) Init. ~ 14.3.2 The Contract Sum and Contract Time shall be adjusted for increases in the cost and time caused by suspension, delay or interruption as described in Section 14.3.1. Adjustment of the Contract Sum shall include profit. No adjustment shall be made to the extent: .1 that performance is, was or would have been so suspended, delayed or interrupted by another cause for which the Contractor is responsible; or .2 that an equitable adjustment is made or denied under another provision of the Contract. ~ 14.4 TERMINATION BY THE OWNER FOR CONVENIENCE ~ 14.4.1 The Owner may, at any time, terminate the Contract for the Owner's convenience and without cause. ~ 14.4.2 Upon receipt of written notice from the Owner of such termination for the Owner's convenience, the Contractor shall: .1 cease operations as directed by the Owner in the notice; .2 take actions necessary, or that the Owner may direct, for the protection and preservation of the Work; and .3 except for Work directed to be performed prior to the effective date of termination stated in the notice, terminate all existing subcontracts and purchase orders and enter into no further subcontracts and purchase orders. ~ 14.4.3 In case of such termination for the Owner's convenience, the Contractor shall be entitled to receive payment for Work executed, and costs incurred by reason of such termination, along with reasonable overhead and profit on the Work not executed. ~ 14.4.4 In the event of a termination of this Contract for the convenience of the Owner, Contractor shall be entitled to all direct costs associated with such termination, (including all amounts earned under the Contract to the date of such termination including profit and overhead, but without any additional mark-up or premium) all costs of demobilizing the Contractor's forces and equipment, all costs associated with termination of subcontracts, purchase orders, leases and any other agreements into which Contractor has entered to facilitate the work. AlA Document A201™ -1997. Copyright @ 1911,1915,1918,1925,1937,1951,1958,1961,1963, 1966, 1970, 1976, 1987 and 1997 by The American Institute of Architects. All rights reserved. WARNING: This AlA'" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 41 reproduction or distribution of this AlA'" Document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:59:43 on 07/10/2008 under Order No,1 000345979_1 which expires on 3/3/2009, and is not for resale, User Notes: (1818730087) Init.