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2004-25620 ResoRESOLUTION NO. 2004 -25620 A RESOLUTION OF THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, TERMINATING SOUTH DADE ELECTRICAL'S EXISTING CONTRACT WITH THE CITY AND ALL STANDING ORDERS THERETO; AND FURTHER DISQUALIFYING SOUTH DADE ELECTRICAL FROM SERVING AS A VENDOR WITH THE CITY UNTIL NOVEMBER 19, 2004, PURSUANT TO SECTION 2-487 A(3) OF THE MIAMI BEACH CITY CODE. WHEREAS, pursuant to Section 38-6 of the Miami Beach Code, the City Commission, passed and adopted Ordinance No. 2003-3389, which amended Miami Beach City Code Chapter 2, Article VII by creating Division 5 thereof entitled "Campaign Finance Reform", and further amended City Code Section 38-6 entitled "Prohibited Campaign Contributions by Vendor"; and WHEREAS, Section 2-487 A(3) of Miami Beach City Code ("City Code") was amended to include the following underscored words; and A person or entity who directly or indirectly makes a contribution to a candidate who is elected to the office of mayor of commissioner shall be disqualified for a period of 12 months following the swearing in of the subject elected official from serving as a vendor with the City; and WHEREAS, pursuant to City's Vendor Campaign Prohibition Ordinance (the "Ordinance"), the City Attorney's office advise that South Dade Lighting's contribution to a candidate who has been elected to office of Commissioner, would be considered an indirect contributions by South Dade Electrical; and WHEREAS, indirect contributions by an individual or entity are prohibited by the Ordinance. The basis for the indirect contribution ruling is that the same individuals with a controlling financial interest in South Dade Lighting have a controlling interest in South Dade Electrical. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission of Miami Beach, Florida, terminate South Dade Electrical's existing contract with the City and all Standing Orders relating thereto; and further disqualifying South Dade Electrical from serving as a vendor with the City until November 19, 2004, pursuant to Section 2-487 A(3) of the Miami Beach City Code. PASSED AND ADOPTED THIS 7th DAY OF ~u[y ,2004 ATTEST: CITY CLERK Robert Parcher Vice-Mayor Saul Gross T :~AGEN DA\2004\Jul0704\Consent\soutl ...... .- APPROVED AS TO FORM & LANGUAGE CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY Condensed Title: A Resolution Terminating South Dade Electrical's Existing Contract and Standing Orders thereto; and Further Disqualifying South Dade Electrical from serving as a Vendor with the City until November 19, 2004, Pursuant to Section 2-487 A(3) Miami Beach City Code. Issue: Shall the City Commission Terminate South Dade Electrical's Existing Contract and Disqualify them through November 19, 2004? Item Summary/Recommendation: Pursuant to the City's Vendor Campaign Prohibition Ordinance (the "Ordinance"), the City Attorney's office advise that South Dade Lighting's contribution to a candidate who has been elected to the office of Commissioner, would be considered an indirect contributions by South Dade Electrical. Indirect contributions by an individual or entity are prohibited by the Ordinance. The basis for the indirect contribution ruling is that the same individuals with a controlling financial interest in South Dade Lighting have a controlling interest in South Dade Electrical. On November 25, 2003, the City Commission awarded a contract to South Dade Electrical pursuant to Invitation to Bid No. 12-02/03, for the purchase of electrical supplies. As a result of the contract award six (6) Standing Order were issued. The Administration cannot justify a best economic interest waiver, since there are seven (7) other vendors that were awarded contract~and can provide electrical supplies at comparable pricing to South Dade Electrical. Advisory Board Recommendation: IN/A Financial Information: Sourceof :. :.: :: : :Amount.: : : :.::. : ::ACc0Unt::.:: !.::i : :~: :'AP.provedi'i~i Funds: 1' ' : i'.2. : Finance Dept. i:'::T°tal:; · City Clerk's Office Legislative Tracking: IGus Lopez, ext. 6641 n-Offs: T:~G~ DA\2004\Jul0704\Consent\SouthDadeSummarv. doc AGENDA ITEM DATE 7-7-oy CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 ~ ~ www. miamibeachfl.gov ~ COMMISSION MEMORANDUM To: Mayor David Dermer and Date: July 7, 2004 Members of the City Commission From: Subject: Jorge M. Gonzalez ~ ~,~ City Manager ~ A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, TERMINATING SOUTH DADE ELECTRICAL'S EXISTING CONTRACT WITH THE CITY AND ALL STANDING ORDER THERETO; AND FURTHER DISQUALIFYING SOUTH DADE ELECTRICAL FROM SERVING AS A VENDOR WITH THE CITY UNTIL NOVEMBER 19, 2004, PURSUANT TO SECTION 2-487 A(3) OF THE MIAMI BEACH CITY CODE. ADMINISTRATION RECOMMENDATION Adopt the Resolution. ANALYSIS On January 8, 2003, the Mayor and City Commission passed and adopted Ordinance No. 2003-3389, which amended Miami Beach City Code Chapter 2; Article VII by creating Division 5 thereof entitled "Campaign Finance Reform", and further amended City Code Section 38-6 entitled "Prohibited Campaign Contributions by Vendors". Section 38-6 was also renumbered to Section 2-487. Section 2-487 A(3) of the Miami Beach City Code ("City Code") was amended to include the following underscored words: A person or entity who directly or indirectly makes a contribution to a candidate who is elected to the office of mayor or commissioner shall be disqualified for a period of 12 months following the swearing in of the subject elected official from serving as a vendor with the city. On May 26, 2004, the Mayor and City Commission passed and adopted Ordinance No. 2004-3446, which defined the term "disqualified" to include: o Termination of a donor/vendor's existing contract with the City, subject to waiver provision of Section 2-487B(4); and . Disqualification of a donor's response to solicitation requests for prospective vendor contracts with the City, subject to waiver provision of Section 2-487 B(1)(2) and (3)of the Miami Beach City Code. Pursuant to the City's Vendor Campaign Prohibition Ordinance (the "Ordinance"), the City Attorney's office advise that South Dade Lighting's contribution to a candidate who has been elected to the office of Commissioner, would be considered an indirect contributions by South Dade Electrical. Indirect contributions by an individual or entity are prohibited by the Ordinance. The basis for the indirect contribution ruling is that the same individuals with a controlling financial interest in South Dade Lighting have a controlling interest in South Dade Electrical. On November 25, 2003, the City Commission awarded a contract to South Dade Electrical pursuant to Invitation to Bid No. 12-02/03, for the purchase of electrical supplies. As a result of the contract award, the following Standing Orders were issued: · Standing Order 22714 was issued in the amount of $60,000 · Standing Order 22715 was issued in the amount of $80,000 · Standing Order 22716 was issued in the amount of $50,000 · Standing Order 22717 was issued in the amount of $15,000 · Standing Order 22718 was issued in the amount of $20,000 · Standing Order 22616 was issued in the amount of $55,000 $280,000 The Administration cannot justify a best economic interest waiver, since there are seven (7) other vendors that were awarded contracts and can provide electrical supplies at comparable pricing to South Dade Electrical. CONCLUSION The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida, terminate South Dade Electrical's existing contract with the City and all Standing Orders thereto; and further disqualify South Dade Electrical from serving as a vendor with the City until November 19, 2004, pursuant to Section 2-487 A(3) of the Miami Beach City Code. T:~GENDA\2004\Jul0704\Consent\southdadeelectricCommMemo.doc