CONSTRUCTION OF A NEW MODERN BOAT SLIP FACILITY ALONG THE DOWNTOWN COACHMAN PARK AREA
AGREEMENT
JI--- ~:Q ..
THIS AGREEMENT, made and entered into this 1.3- day of l\Ji(T" t"t."- g ,
2006, by and between the CITY OF CLEARWATER, FLORIDA, a municipal corporation,
hereinafter referred to as "City", and Applied Technology & Management, Inc., a consulting
firm, located at 2770 NW 43 Street, Suite B, Gainesville, Florida 32606, hereinafter referred
to as "Consultant";
WITNESSETH
WHEREAS, the City is currently considering construction of a new modern boat slip
facility on the intercoastal waterway along the downtown (Coachman Park) area, and
WHEREAS, the construction of these boat slips must be approved by the voters at a
referendum tentatively scheduled for November 2006, and
WHEREAS, in preparation for the referendum the City must provide information to
the voters on the financial feasibility of the proposed boat slips, and
WHEREAS, the Consultant's specific services provided will include the financial
feasibility of constructing the proposed boat slips, and
WHEREAS, the City received proposals from qualified consultants with specific
expertise in the study, design and financial feasibility of boat slips, and
WHEREAS, the Consultant was selected as the most qualified consultant under the
City's Request for Proposal process, and
WHEREAS, Wade Trim is the Engineer of Record for this project and Consultant
will perform the feasibility study working closely with Wade Trim and City staff;
NOW, THEREFORE, the parties agree as follows:
1. SCOPE OF SERVICES
Consultant agrees to provide study, design and a financial feasibility study for
constructing the proposed boat slips under the terms and conditions described in
attached Exhibit "A" and as proposed by the consultant in their response to the RFQ
in attached Exhibit "B".
2. TIME OF PERFORMANCE
This Agreement shall commence on April 14, 2006 and terminate on November 7,
2006. Following are critical dates which must be met.
Due by April 28
Preliminary Market analysis to determine the proper mix of boat slips, i.e.,
number and size of slips for the following: recreational day slips, lenant
slips, a ferry landing, a commercial loading and unloading slip, excursion
pickup / drop off slips, etc.
Due by June 23, 2006
Final work product to include complete Market Study and Financial
Feasibility Analysis
3. COMPENSATION
The City will pay Consultant a sum not to exceed $49,500, inclusive of all reasonable
and necessary direct expenses. The City may, from time to time, require changes in
the scope of the project to be performed by Consultant hereunder. Such changes,
including any increase or decrease in the amount of Consultant's compensation and
changes to the terms of the Contract which are mutually agreed upon by and between
the City and Consultant shall be effective when incorporated in written amendment to
this Agreement.
4. METHOD OF PAYMENT
Consultant's invoices shall be submitted to the City for approval for payment on a
phase completion basis per the schedule below. The City agrees to promptly pay
Consultant upon receipt of a proper invoice and after approval by City under the
terms of the Florida Prompt Payment Act F.S. 218.70.
Final Market Analysis
Review of Construction Costs
Review of Operational Costs
Financial Feasibility Study
Attend Two Council Meetings
Additional Two meetings (if necessary)
$20,000
$2,000
$2,000
$17,500
$5,000
$3,000 ($1,500 each)
5. RETENTION OF RECORDS
Consultant shall retain all working papers for a minimum of five (5) years, unless
notified in writing by the City of the need to extend the retention period. The
Consultant shall make working papers available, upon request, to the City.
6. PROPERIRITY MATERIALS
Upon termination of this Agreement, Consultant shall transfer, assign and make
available to City or its representatives all property and materials in Consultant's
possession belonging to or paid for by the City.
7. INDEMNIFICATION AND INSURANCE
Consultant agrees to save and hold the City harmless from all claims or actions and
judgments whatsoever involving acts or omissions by Consultant. The limits set forth
in Section 768.28 Florida Statutes shall apply. Consultant further agrees to procure
and maintain during the life of this Agreement adequate insurance for full coverage of
Consultant's responsibilities.
8. TERMINATION OF AGREKMENT
The City at its sole discretion may terminate this Agreement by giving Consultant a
ten (10) day written notice of its election to do so and by specifying the effective date
of such termination. Consultant shall be paid for its services through the effective
date of such termination. Further, if Consultant shall fail to fulfill any of its
obligations hereunder, this Agreement shall be in default, the City may terminate the
Agreement, and Consultant shall be paid only for work completed.
9. CONFORMANCE WITH LA~VS
Consultant agrees to comply with all applicable federal, state and local laws during
the life of the Agreement.
10. GOVERNING LAW AND VENUE
The laws of the State of Florida shall govern this Agreement and any action brought
by either party shall lie in Pinellas County, Florida.
IN WITNESS WHEREOF, the parties hereto have caused this agreement to be
executed the day and year first above written.
CITY OF CLEARWATER, FLORIDA
BY:~13.~$
William B. Horne, II
City Manager
Approved as to form:
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Attest:
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'/_-;:''';~;'''L_.__. '. l~c,
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Br~~ln D. Ruff / I
Assistant City Attorney
By:
(, '< (Consultant)
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Attest: '~~'., ,L-/
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EXHIBIT "A"
SCOPE OF SERVICES
Phase One-due by April 28, 2006:
1. Preliminary Market Analysis results to determine supply and demand and
to determine occupancy levels that could be expected and rates that could
be charged including:
A. Market analysis to determine the proper mix of boat slips, i.e.,
number and size of slips for the following: recreational day slips,
tenant slips, a ferry landing, a commercial loading and unloading
slip, excursion pickup / drop off slips, etc.
B. Market analysis to determine demand for excursions.
C. Market analysis to determine what features are necessary for
Clearwater to become a destination for coastal cruisers.
Phase Two-due by June 23, 2006:
1. Final Market Analysis results to determine supply and demand and to
determine occupancy levels that could be expected and rates that could
be charged including:
A. Market analysis to determine the proper mix of boat slips, i.e.,
number and size of slips for the following: recreational day slips,
tenant slips, a ferry landing, a commercial loading and unloading
slip, excursion pickup / drop off slips, etc.
B. Market analysis to determine demand for excursions.
C. Market analysis to determine what features are necessary for
Clearwater to become a destination for coastal cruisers.
2. Review of construction cost estimates as provided by Wade Trim to
determine reasonableness and completeness.
3. Review of operational cost estimates as provided by Wade Trim to
determine reasonableness and completeness.
4. Financial Feasibility Study to cover 20 years to determine if the boat slips
will be self supporting based upon expected occupancy, acceptable slip
rental rates, debt service on both hard and soft costs to construct the boat
slips, estimated operational costs, and appropriate reserve for renewal
and replacement funds.
Phase Three- to occur after July 1, 2006
1. Consultant will be required to attend two council meetings, the first one on
July 1 ih tentatively at 1 :30pm, and the second on July 20, 2006 at 6pm.
RFP -Downtown Boat Slips
March 27, 2006
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2. Consultant may need to be in attendance at one or more public meetings
to discuss the financial feasibility of the boat slips.
3. The cost of attending the aforementioned meetings in subsections 1 and 2
of Phase Three directly above were included in the RFQ submittal.
RFP -Downtown Boat Slips
March 27, 2006
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EXHIBIT "B"
Response to RFP for:
Downtown Boat Slips Feasibility Study
City of Clearwater, Florida
Applied Technology & Management, Inc.
'.'i'.'/W.tiP;; 1l~.l{m.r;.) III
OVERVIEW OF FIRM
Applied Technology & Management, Inc. (A TM) is a Florida Corporation that provides
waterfront development and planning, civil, environmental, water resources and coastal
engineering services to public and private clients. Founded in 1984, A TM has grown to
incorporate a staff of over 100 in eight strategically located offices in the eastern United States.
Fully one-third of our professional staff is directly involved in waterfront development and
engineering evaluations, studies and construction projects. ATM's engineering group includes
over twenty Registered Professional Engineers, two Professional Geologists, Ecologists,
Environmental Scientists and a Professional Surveyor/Mapper.
Our team of engineers and scientists, many having Masters Degrees and PhDs in their areas of
expertise, have developed a high level of respect within State and Federal regulatory agencies
allowing us to provide exemplary service to our diverse client base.
Our office locations are:
.. Gainesville, Florida*
. West Palm Beach, Florida
II Cocoa Beach, Florida
II Jacksonville, Florida
II Savannah, Georgia
II Hilton Head, South Carolina
II Mount Pleasant, South Carolina
II Newport, Rhode Island
*Corporate Headquarters
Specifically, ATM has a dedicated Marina and Waterfront Development Division that has been
involved with over 300 marina projects supporting both public and private interests across the
eastern United States and overseas. Our marina team consists of marine planners, engineers,
ecological scientists, water quality experts, economists, marina business analysts, and
operations experts.
We maintain full, in-house expertise covering the three crucial areas of waterfront work and
redevelopment feasibility: Economic, Engineering and Operational. Our Marina Team is
experienced in all facets of marina design and development, including preliminary planning,
feasibility studies, cost estimating, business pro-forma preparation, environmental permitting,
detailed plans and specifications, bidding, and construction oversight.
Over the past 15 years A TM has developed a specialized approach to waterfront development
for municipal clients. This has resulted from marina feasibility, design, and construction work in
Florida, South Carolina, North Carolina, and Delaware among other locations for clients such as
the City of Daytona Beach, FL, the City of S1. Augustine, FL, City of Punta Gorda, and the Town
of Lake Park, FL. A more comprehensive listing of current and past municipal marina clients is
provided later in this response. Between 2003 and 2005 ATM provided engineering services for
over $67,000,000 in marina construction. Much of this work was for public entities.
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ATM has helped our public/municipa/ clients obtain millions of dollars in grant funding over the
past several years. We have worked with state, federal and local agencies in the procurement
of grant funding. This work has included both Tier 1 and Tier 2 Boating Infrastructure Grant
Program (BIG P) funding.
A TM has experience with Community Involvement Programs for marina redevelopment and
expansion projects and has conducted numerous public workshops, education programs and
community involvement programs for marinas that have been highly successful in Fernandina
Beach, Daytona Beach, St. Augustine, Naples, Ft. Pierce, Jacksonville, Titusville, St. Johns
County, Charleston, Beaufort, St. Lucie County, Palm Beach County, Lake Park, Columbus, etc.
If selected, the ATM team would perform the boat slip feasibility study primarily from our
Gainesville, Florida office. As noted previously, this office serves as A TM's corporate
headquarters. ATM's project team would consist of professionals from several office locations,
though Mr. Robert Semmes and Mr. Don Petrella out of the Gainesville office would serve as
the primary points of contact for the City. All project work will be completec with direct
coordination and supervision provided by Mr. Tim Mason, P.E., ATM Marina Team Leader, and
Mr. Sam Phlegar, A TM Coastal and Marina Division Director.
PROJECT TEAM QUALIFICATIONS
Mr. Don Petrella
Mr. Petrella has several years experience in marina and waterfront planning and has worked on
similar projects across the eastern U.S., most recently for marinas in Carrabelle, Florida and
Mount Pleasant, SC. In addition to his marina knowledge, Mr. Petrella has 15 years experience
in commercial real estate market analysis, feasibility analysis, site selection, economic impact
analysis and pro forma development. Mr. Petrella holds a Master's Degree in Food and
Resource Economics from the University of Florida where he specialized in land valuation
techniques.
Mr. Robert Semmes, M.S.
Mr. Semmes has been with A TM for 17 years and has developed expertise in the areas of water
resources and coastal related projects. He has worked with private and public sector throughout
the Southeast and the Caribbean. In 1994, he developed an economic planning model for
marina development and has applied the tool on over 20 waterfront development projects during
planning and funding, as well as post operational phases. It is a proprietary model with
interactive spreadsheets projecting a multitude of what-if scenarios.
Mr. Sam Phlegar, P.E., Principal, A TM Division Director
Mr. Phlegar serves as the Director of the Coastal-Marina Division, responsible for all ATM
coastal, waterfront and international development projects. He has practiced engineering for 22
years and has over 16 years of professional experience in waterfront development, coastal
engineering and program management. His primary fields of concentration includE' marina and
waterfront planning and development; coastal engineering; and coastal r:;onstruction,
dredging/disposal, and beach restoration. He specializes in coastal and waterfront projects
serving both public and private interests across the United States and internationally.
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Mr. Phlegar has significant experience in engineering design, economic feasibility assessments, local,
state, and federal regulatory permit approvals and successful construction programs. He has also
represented clients as an expert witness in Administrative Hearings where water quality, structure
impacts, waterway capacity/safety and/or environmental concerns were at issue.
Mr. Tim Mason, P.E.
Mr. Mason has been with ATM for 12 years and serves as the Marina Team Leader. A
professional engineer in several states, the Bahamas, and USVI, Mr. Mason plays a key role in
the engineering feasibility, design, and construction of many projects. With an M.S. degree in
Coastal and Oceanographic Engineering, Mr. Mason focuses on waterfront structures and
environmental factors affecting floating docks, breakwaters and shoreline stabilization
structures.
Mr. Kirby Marshall, MBA
Mr. Marshall is a Marina Construction Specialist with ATM. He holds a B.S. in Construction
Management from the University of North Florida and an MBA from The Citadel. He has
several years experience in marina and waterfront development across the US and abroad. Mr.
Marshall is involved in many aspects of marina development including: facility planning, marina
market and economic feasibility, regulatory permitting, engineering design, bidding/negotiation,
and construction administration. Mr. Marshall would work closely with Mr. Petrella on all
aspects of this feasibility study.
Ms. Michelle Mireault, MBA
Ms. Mireault holds a BA in Business Administration from Lakeland College, an MBA from The
Citadel, and a Master of Economics degree from Iowa State University and is currently employed by
A TM as a Marina Business Specialist. She has significant experience in marina market research and
analysis. Her extensive background in economics allows her to bring in-depth perspective to marina
economic feasibility work. Ms. Mireault has recently completed work on several marina economic
feasibility analyses for projects in the US and abroad, including a 20-year pro forma economic analysis
for a proposed marina facility in the British Virgin Islands. Ms. Mireault would facilitate the Marina
Market Assessment and Economic Pro Forma development for this project.
Mr. Pete Peterson, M.S., P.E.
Mr. Peterson holds a Master's Degree in Ocean Engineering from the Florida Institute of
Technology. He is a Senior Coastal Engineer with A TM and has worked on and served as the
Engineer of Record for several marina and boat ramp projects throughout the U.S., responsible
for all permitting, planning, design and construction. He completed an award winning marine
facility siting study for St. Johns County, FL and developed a Master Plan for all of the City of
Jacksonville's public boat ramps. Mr. Peterson would assist on the Marina Market Assessment
and review of construction costs for this project.
Mr. Tim Timpson, CMM
Mr. Timpson is the former director of the International Marina Institute and is largely responsible
for the successful implementation of its Certified Marina Manager (CMM) program. A former
marina operator in South Florida, Mr. Timpson works closely with A TM on marina projects
worldwide, specifically with regard to marina planning and operations. Mr. Timpson will provide
input on this project with regard to review of operational cost estimates as provided by Wade-
Trim.
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SIMILAR PROJECTS
A TM's Marina and Waterfront Development Division is uniquely qualified to assist the City of
Clearwater with this marina feasibility study. We have extensive experience working with
municipalities on a variety of marina/waterfront projects, including market and economic
feasibility work.
Recent, similar marina feasibility work includes, but is not limited to:
ill City of Palatka, (FL) - Marina market assessment, economic pro forma analysis,
project planning/conceptual design, funding alternatives, presentation and report of
plans to City Commission
:11 Laishley Park Marina, City of Punta Gorda (FL) - Boating market assessment,
marina economic pro forma analysis, regulatory permitting, engineering design
II Town of Lake Park Marina (FL) - Marina economic pro forma analysis, engineering
design, construction administration
II Dolphin Reef Marina (FL) - Marina market assessment, engineering feasibility
II Marina Feasibility, Carrabelle (FL) - Marina market assessment, conceptual
engineering & concept design/refinement, Regulatory feasibility, marine park
feasibility research/planning meetings, coordination, and interim workshop
II Halifax Harbor Marina, City of Daytona Beach (FL) - Design charette session;
engineering feasibility, market study, development of conceptual layout, regulatory
feasibility, estimate of probable construction cost and expected returns, regulatory
permitting, development of a pro forma/capital budgeting tool, and assistance with
development of a Boating Infrastructure Grant Program application
!II Ft. Pierce Marina, (FL) - Comprehensive feasibility study, market assessment,
regulatory permitting, design, and bidding
III Fernandina Harbor Marina (FL) - Market study, financial analysis, re-design of facility,
expansion analysis and alternatives design, environmental Investigations and
analyses, regulatory permitting, planning and design alternatives workshops, bid
documents and specifications for sediment barrier removal
.. Town of Palm Beach Docks (FL) - Feasibility assessment, dock expansion, parking,
support services
II Bayou Chico, Pensacola (FL) - Feasibility study, timetable estimate, market
assessment of area rates and amenities, site assessment and evaluation
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. Riviera Beach Inlet Harbor Marina (FL) - feasibility of basin and slip count expansion,
develop preliminary plans, input for presentation
. Indian River Inlet Marina (State of Delaware, Division of Parks and Recreation) -
economic pro forma analysis (review only), engineering design, construction
administration
;I Corpus Christi Marina (TX) - Marina market assessment, economic pro forma
analysis, engineering feasibility, project planning, conceptual design, regulatory
feasibility
ill Marina at the Pamlico (NC) - Marina market assessment
.. Washington, NC Drystack Marina - Marina market assessment
,. Private Client - Marina (BVI) - Marina market assessment, 20-year economic pro
forma analysis, project planning
.11 Yacht Haven Grande (USVI) - Marina market study, engineering design, construction
administration
II Fairmont Hotel Marina (Bermuda) - Marina market survey, economic pro forma
analysis
r. Harbor Station Marina (VA) - Marina market assessment, economic pro forma
analysis, conceptual marina design, project planning
II Palmetto Bluff (Big House Landing Marina) (SC) - Economic pro forma analysis,
project planning, regulatory permitting
.. Owensboro Marina at English Park (KY) - Marina feasibility and siting studies,
economic forecasting, master plan, market assessment, pre-lease program,
community consensus building
. Myrtle Beach Marina Feasibility (SC) - Study feasibility of marina development at
three locations, site assessment, layout alternatives, regulatory permittin~J issues
II Canton Crossing, Baltimore (MD) - Feasibility study for capacity, slip mix, boater
expectations, potential revenue, market demand, boater uses and environmental
forces affecting the facility, financial performance analysis using 1 O-yr projection
model
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MUNICIPAL CLIENT REFERENCES
Town of Lake Park, Florida
Attn.: Mr. Paul Carlisle
(561) 881-3345
ATM Project: Redevelopment of Lake Park Marina (including economic pro forma analysis)
City of Palatka, Florida
Attn.: Mrs. Cathy Butler
(386) 329-0195
A TM Project: Palatka Riverfront Master Plan (preliminary feasibility including market and
economic analysis, master planning, environmental studies)
Charleston County Park and Recreation Commission
Attn.: Mr. Ross Eastwood
Mr. Jeff Schryver
(843) 762-2172
ATM Project: Addition of transient boating facilities at the Cooper River Marina in Charleston,
SC. This is a "BIG pOl funded project.
Department of Natural Resources and Environmental Control, Division of Parks and
Recreation
Attn.: Mr. Britt Murray
Mr. Phil Gallo
(302) 739-5284
ATM Project: Redevelopment of the Indian River Inlet Marina at the Delaware Seashore State
Park (Including economic pro forma analysis input review)
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SCOPE OF PROPOSED MARINA CONSULTING SERVICES
Introduction
Applied Technology and Management, Inc. (A TM) has prepared this proposal to assist The
City of Clearwater, Florida in the evaluation of a marina concept in Downtown Clearwater
adjacent to Coachman Park and Memorial Causeway. This scope sets forth our approach to
developing a marina plan that considers the various aspects of the tasks set forth in the City's
Request for Qualification.
ATM briefly discussed the development project with Mr. Bill Morris, Marine and Aviation Director
of Clearwater and has a basic understanding of the City's goals. Over the past 20 years, we
have developed a proven, integrated approach for marina market and financial feasibility
analyses to facilitate marina development. The approach integrates a marina market study and
financial pro forma projection analyses to develop and ensure a profitable and marketable
conceptual design.
The marina design should consider carefully the boating market segments and the relationships
with the overall project, so as to strategically promote common interests and maximize the
revenue of the marina profit center. The enclosed work plan concentrates on defining the target
marina market segments and assessing the economic projections for an optimized marina
concept, with recommendations to be made to the City via two public meetings.
Specific objectives are:
. Research the area marina market including capacity, absorption, slip mix,
boater expectations, and potential revenue centers. Determine demand for
excursions and potential as a coastal cruising destination.
. Review Owner/Engineer-provided construction and operational cost
estimates for reasonableness and completeness
. Perform a financial performance analysis using ATM's proprietary :20-yr
projection model. This model includes marina capital cost estimates (to be
provided by Wade-Trim), phasing, absorption, multiple revenue centers,
project specific financing (debt service) information and tailored expense
projections benchmarked to area industry values and modeled occupancy
and absorption assumptions. It will also be used to optimize the design and
phasing to meet the City's performance goals.
The results of our work under the described tasks will be transmitted in a succinct, graphical
report with applicable drawings, figures, and other supporting documentation for each objective
area and presented at two public meetings to be held in Clearwater during July of 2006.
TASK I: MARINA MARKET ASSESSMENT
ATM will conduct a preliminary desktop marina market data gathering effort using information
from our in-house databases, cruising guides, internet sources, and Owner-supplied
information. We will be particularly interested in Owner identification of one or two 'benchmark"
facilities for the planned development even if they are not in the immediate project area. What
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we are most interested in is a physical, functional and successful example of a waterfront
residential development with a marina that fits the Owner's vision for the property.
A TM will also specify benchmark communities that we have evaluated in prior efforts and
compile pertinent market data where appropriate. While these are not located in the regional
market, insight into slip taker percentages, sales approaches, relationships to amenities will be
insightful for capacity/user need planning. We will also investigate the procurement of boater
registration and boat sales data for the primary and secondary market areas defined by the
Owner and through ATM interviews with area marinas.
Upon completion of this preliminary effort, A TM will send two professionals to the Clearwater
area to visit area marina facilities and benchmarks and perform facility assessments, gather
physical marina data, ground-truth information obtained through secondary sources, and
conduct interviews with marina staff, boaters, boat dealers, marina/resort operators and repair
facilities to determine boating trends, boater expectations, and a general overall feel for the area
market. The visit will also provide A TM researchers with a critical understanding of potential
market segments for a new marina facility at the property.
The market assessment refinement includes the analysis of the boating market segments,
demand characteristics, and trends for the region.
Specific Elements of the Marina Market Assessment will include:
. Assessment of comparable regional marinas to include identification of the target
market areas and details such as boat sizes, slip mix, boat use patterns, amenities,
support facilities, dockage rates, etc. as they relate to potential new facility.
. A TM professionals will travel to the area to interview representative local boaters,
marina managers, and boat dealers, and other pertinent local contacts. As part of this
trip, we will visit key marinas in the region to evaluate existing marina facilities,
offerings, shortfalls and boater characteristics. This data will be cataloged in
photographic cut sheets.
. Prepare a dockage rate matrix for regional facilities and destinations ttlat identifies
general rate structure driving forces.
. Determine extended regional patterns and tendencies to the amount practicable: long
term lease percentages; transient nights and percentages; potential for tour,
charter/excursion, and rental boats; required and recommended amenities; potential
as a destination attraction, etc.
. Review cruising guide and tourism information and determine trends with regard to
travel seasons, recreational traffic components, and direction trends.
. Provide overview of anticipated user profile (needs of the prospective boater with
regard to berthing, seasonal use, and support services): vessel types, transient
characteristics, utility requirements including electrical, water supply, CATV and
phone and general amenity expectations.
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. Forecast boating demand by market segment (e.g. local boaters,
charters/commercial, residential, transients, etc.).
. Consider special needs of potential boaters such as charter boats, transient vessels,
and megayachts
The deliverable of this task will be a summary, graphical report of findings and
recommendations.
TASK 2: REVIEW OF CONSTRUCTION COST ESTIMATES
ATM understands that the Owner's Wade Trim has been hired as the Engineer of Record for the
downtown boat slip project. As such, ATM further understands that Wade Trim has developed a
construction cost estimate for the development of the proposed marina.
This cost estimate will be critical in the development of accurate financial analyses for the
proposed project. ATM has significant, current experience in marina design and construction
projects in Florida, the US, and globally. ATM will review the construction cost estimate
provided by Wade Trim to determine reasonableness and completeness and offer general
suggestions for revision, if deemed necessary by ATM. This effort shall not include any new
cost estimating, quantity take-offs, or comparative materials cost analysis.
The deliverable of this task will be a summary memorandum of findings and recommendations.
TASK 3: REVIEW OF OPERATIONAL COST ESTIMATES
ATM understands that the Engineer of Record, Wade Trim, has also developed operational cost
estimates for the proposed marina. This operational cost estimate will also provide critical input
for pro forma analysis of the proposed marina facility.
A TM has in-depth knowledge of marina operations requirements and costs and has provided
input related to such to public and private clients worldwide. A TM will review the operational
cost estimate provided by Wade Trim to determine reasonableness and completeness and offer
general suggestions for revision, if deemed necessary by ATM. This effort shall not include any
new cost estimating, operational planning, or external marina management vs. City operations
analyses. This work, if desired by the City may be performed as additional services..
The deliverable of this task will be a summary memorandum of findings and recommendations.
TASK 4: ECONOMIC PRO FORMA ANALYSIS
In this task, ATM will adapt our proprietary economic pro forma model to the selected
conceptual marina plan and market inputs derived above. The refined cost estimates (including
hard and soft costs*), slip absorption rates, slip lease rates, and user categories determined in
earlier tasks will provide input into the pro forma. Additionally, operational financing* (debt
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service) information will be tailored to the proposed marina resulting in a clear understanding of
phased capital outlay and return on investment for a 20-year period. A capital replacement fund
(sinking fund) will also be included in the analysis to ensure replacement funds for marina
facilities at the end of anticipated useful life.
In conjunction with the development team, A TM will evaluate various input combinations in an
effort to clearly comprehend the economic performance and sensitivity of the marina element
and its impact on the development. As one can expect, marina developments have numerous
unique expense items that must be included to ensure a realistic projection of economic viability
and appropriate cost assignment.
Within the pro forma analysis, ATM will:
. Determine distribution of costs, revenues, phasing plans, absorption range impacts,
amenities and profit ratios.
. Provide the following ATM standard Schedules for development team review: Income
and Operating Summary (including projected IRR, cash flows, cost of capital,
operating revenue, and operating expenses*), Marina Income Statement, and
detailed breakdown of major marina revenue profit centers.
. Obtain Owner feedback and incorporate recommendations into the model.
. Consult with Owner in regard to capitalization (specifics of anticipated financing, pay
back period required, required annual cash flows, internal rate of return expectations,
etc.).
. Apply the tool iteratively for one modification of the conceptual plan. Model will be
available for further "what-if" scenarios, layout modifications, or phasing alternatives,
if requested as Additional Services.
. Present pro forma results to the development team via teleconference.
. Recommend preliminary phasing alternatives to Owner based on pro forma.
The deliverable of this task will be a summary, graphical report with appropriate spreadsheet
data.
*Owner to provide final input recommendations for marina cost estimate, marina operational
estimate, and marina financing terms. ATM will coordinate with project team on the
development of such as described above (Tasks 2-4).
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TASK 5: ATTEND TWO COUNCIL MEETINGS IN JULY 2006
This task provides a budget for one ATM marina professional to attend two City Council/Public
meetings in Clearwater, Florida. The meetings are expected to be held on July 17, 2006 and
July 20, 2006 at 1 :30p.m. and 6:00 p.m., respectively.
TASK 6: ATTEND ADDITIONAL COUNCIL MEETINGS
This task provides a budget for ATM representatives to attend additional City Council/Public
meetings in Clearwater, Florida to discuss the financial feasibility of the proposed project.
A TM assumes that one marina professional from our staff will attend each of these meetings.
SUMMARY OF PROFESSIONAL LABOR FEES
TASK Professional
Fee
1. Marina Market Assessment $20,000
2. Review of Construction Cost Estimates $2,000
3. Review of Operational Cost Estimates $2,000
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4. Economic Pro Forma Analysis $17,500
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5. Attend Two Council Meetings I $5,000
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6. Attend Additional Council Meetings i $1,500 EACH
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Please note: the economic pro forma analysis effort described above will be built upon marina
market assessment input, conceptual marina design and cost estimates, and project-specific
operational and finance (debt service) expense projections. The output of the pro forma is only
as accurate as the input parameters. The approach set forth in this scope of services identifies
ATM's recommended course of action for this project based on the City's RFQ. It is likely that
upon completion of Task 1 (Marina Market Assessment), some modifications of the current
marina plan may be warranted to properly accommodate demand. Such modifications are
beyond the scope identified herein.
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Request for Qualification
Response
Clearwater Downtown Boat Slips Feasibility Study
Due Date - April 7th, 2006
Date: April 6, 2006
Name of Firm Responding: Applied Technology & lYIanagement, Inc.
2770 NW 43 Street, Suite B
Gainesville, Fl 32606
(352) 375-8700
Fax: (352) 375-0995
Cost of each phase of work identified under tasks 1 thru 6 are as follows:
1. $
2. $
3. $
4. $
5. $
$20,000
$2,000
$2,000
$17,500
$5,000
Market analysis
Review of Construction Costs
Review of Operational Costs
Financial Feasibility covering 20 yrs
Attend two council meetings in July 2006
Total 1-5 $ 46,500
6. $ 1,500 EACH
Cost to attend each additional meeting
Email toMarqie.Simmons@mvclearwater.com
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