Wednesday, October 18, 2017

New Roosevelt Island Tram Station Elevators And Winter Holiday Lights Installation Joint Marketing Agreement Among Items on RIOC Board Of Directors Meeting Thursday October 19 - Public Session Prior To Meeting Too

The Roosevelt Island Operating Corp (RIOC) Board of Directors will meet Thursday, October 19 at the Cultural Center (548 Main Street). Among the items on the Agenda are construction of the long delayed new Roosevelt Island Tram Station elevators

  Image of GC Eng Eng & Associates Tram Station Elevator Rendering From CB 8

and a joint marketing campaign with Hudson Related Retail to install Winter Holiday Lights Display Decorations with the aim of attracting more shoppers to Main Street. According to the RIOC Agenda:
  • 1. Authorization to Enter into Side Letter Agreement with Hudson Related Retail LLC for a Joint Marketing Campaign (Board Action Required) and
  • 3. Authorization to Enter into Contract with Sea Crest Construction Corp. for Construction of the Elevator at the Manhattan Aerial Tramway Station (Board Action Required)
The construction of new Tram Station elevators by Sea Crest Construction is expected to take 1 year. (See RIOC memo below with more info).

RIOC and Hudson Related Retail selected Neave Decor to install the Roosevelt Island Winter Holiday lights.

See RIOC memo below for more info.

Prior to the start of the RIOC Board meeting, there will be a public comment period. Sign up here to speak at the meeting.

Below is the RIOC October 19 Board of Directors meeting agenda:


OCTOBER 19, 2017




5:30 P.M.1

I. Call to Order

II. Roll Call

III. Approval of Minutes
1. September 7, 2017 Board Meeting (Board Action Required)

IV. Old Business

V. New Business
1. Authorization to Enter into Side Letter Agreement with Hudson Related Retail LLC for a Joint Marketing Campaign (Board Action Required)
2. Ratification of the Amendment of Contract with Specialty Construction Systems Inc. for Renovations of the Roosevelt Island Aerial Tramway Station Platforms (Board Action Required)
3. Authorization to Enter into Contract with Sea Crest Construction Corp. for Construction of the Elevator at the Manhattan Aerial Tramway Station (Board Action Required)
4. Ratification of Contract with Henderson Ford for the Purchase of Two Trucks (Board Action Required)
5. Authorization to Enter into Contract with New York State Industries for the Disabled, Inc. for the Purchase of LED Lights at Sportspark (Board Action Required)
6. Authorization to Enter into Contract with LED Solutions, Inc. for the Installation of LED Lights at Sportspark (Board Action Required)
7. President’s Report
8. Committee Reports
a. Audit Committee
b. Governance Committee
c. Operations Advisory Committee
d. Real Estate Development Advisory Committee
9. Public Safety Report

VI. Adjournment

1The RIOC Board Meeting will commence following a public comment period. The public comment period is not part of the meeting.
According to this October 12 RIOC memo to the Board in support of the Tram Station Elevator project:

As part of the ongoing transportation upgrades to the Aerial Tramway, RIOC hired an architectural firm to design an ADA compliant elevator for the Manhattan Tram Station. The design is for an iconic, two-bank, glass elevator, replacing the old one, which has outlasted its expected life. Over the course of several years, RIOC has obtained public input, met with New York City Department of Parks and Recreation, and community members to shape and finalize the project design.

Procurement Process

After having previously issued a Request for Proposal (“RFP”) in 2016 that failed to yield responsible bids, RIOC reissued the RFP for this Project on May 24, 2017, as part of its competitive bidding process. Further, RIOC contacted several qualified firms prior to the RFP’s posting, in an effort to encourage qualified contractors to submit bids for this Project and to gain feedback for structuring the RFP.

On July 17, 2017, RIOC received only one bid proposal, from Sea Crest Construction Corp. (“Sea Crest”), despite the fact that several firms had attended the scheduled walk-through occurring before the Bid Due Date. Sea Crest submitted a contract price of $5,660,800.00 for this project.

After reviewing Sea Crest’s proposal, RIOC obtained an independent cost estimate, prepared by a local estimating firm, to determine and verify the value determination of Sea Crest’s bid and the breakdown of each trade. Their estimate for the elevator construction project was $5,428,561. Because Sea Crest was the sole bidder for this project, and because of the lower cost estimate received by the independent estimating firm, RIOC negotiated Sea Crest’s $5,660,800 offer down to $5,580,000.

Preliminary meetings with Sea Crest regarding the scope of work for this project revealed that there is only one curtainwall manufacturer and installer in New York City qualified and certified to perform the work for the particular type of glass used in the elevator design. Also, the specifications for the elevator required a custom manufacturing approach. Due to the high percentage of the total project cost attributable to the elevator and curtainwall, Sea Crest stated that it would not meet the 30% MWBE goal requirement and requested a partial MWBE goal waiver. RIOC is in the process of seeking a waiver from the State.

Sea Crest is a subsidiary of a larger public works company named Scalamandre Construction, Inc., also based in Long Island, New York. Both companies have decades of public works project experience of similar and higher profile/value, and bring strong resources to the engagement.

Recommended Vendor

For the aforementioned reasons stated above, it is recommended that the RIOC Board of Directors authorize RIOC to enter into contract with Sea Crest Construction Corp. in the amount of $5,580,000 dollars, with a 10% contingency of $558,000, for a project total of $6,138,000. The duration for the construction of the new elevator is expected to be approximately one year.
And this October 11 RIOC memo in support of the joint marketing agreement with Hudson Related for the installation of Winter Holiday Lights:
In August of 2011, Roosevelt Island Operating Corporation (“RIOC”) entered into a Master Sublease Agreement (“MSA”) with Hudson Related Retail LLC (“HRR”) for operation and management of substantially all commercial real estate properties owned or leased by RIOC on Roosevelt Island. Throughout the operation of the MSA, it has been brought to RIOC’s attention on numerous occasions that one of the obstacles to a successful commercial development on Roosevelt Island is the lack of adequate pedestrian traffic. Additionally, Roosevelt Island residents have complained about a lack of adequate retail stores to service their everyday needs.

As a result, RIOC and HRR agreed, subject to Board approval, to create a joint marketing campaign to draw pedestrian traffic to the Island’s Main Street. The campaign will install holiday decorations for the winter holiday season throughout Roosevelt Island to attract more shoppers to the Island retail establishments. Various proposals were considered, and it was agreed that HRR would hire Neave D├ęcor (“Neave”), a prominent decoration company, to bring a “winter wonderland” experience to Roosevelt Island, for the holiday season. This experience would include various decorations such as tree lights, snowflake lights, rain deer, stars etc. though out the Main Street retail corridor, the transportation hub and the Good Shepherd plaza, among other areas.

Neave agreed to enter into a three-year contract with HRR at a reduced price of slightly less than $75,000 per year. HRR would be responsible for one-third of the expenses (i.e. $25,000 per year) associated with this project. RIOC would be responsible for the remaining portion and issue HRR a $50,000 credit on the MSA fees for each of the three years. If possible, RIOC will endeavor to solicit contributions towards its share from other stakeholders on the Island.

We, therefore, seek the Board’s approval to enter into a joint marketing agreement with HRR as outlined above. We strongly believe and hope that the winter wonderland experience will not only beautify the Island and enhance the quality of life experience of its residents, but also give a boost to Island retail establishments during the holiday season and ultimately encourage other business to make Roosevelt Island their home.
Other Agenda items include: