Certification of Contract MIAMI BEACH .
CITY OF MIAMI BEACH
CERTIFICATION OF CONTRACT
TITLE: Lease of Golf Course Turf Maintenance Equipment for the Miami
Beach Golf Club
CONTRACT NO.: 38-10/11
EFFECTIVE DATE(S): This Contract shall be for a period of 48-months to begin after receipt
of Purchase Order, and all equipment shall be delivered complete
(October 1, 2011, through September 30, 2015).
SUPERSEDES: N/A
CONTRACTOR(S): ShowTurf, LLC
ESTIMATED ANNUAL CONTRACT AMOUNT: $135,910.08
A. AUTHORITY - Upon affirmative action taken by the Mayor and City Commission of the
City of Miami Beach, Florida, on September 14, 2011, for approval to award a contract,
upon execution between the City of Miami Beach, Florida, and Contractor.
B. EFFECT - This Contract is entered into for lease of golf course turf maintenance
equipment for the Miami Beach Golf Club, pursuant to City .Invitation to Bid No. 38-
10/11 and any addenda thereto (the ITB), and Contractor's bid in response thereto (this
Contract, the ITB, and Contractor's bid in response thereto may hereinafter collectively
be referred to as the"Contract Documents").
C. ORDERING INSTRUCTIONS - All blanket purchase orders shall be issued in
accordance with the City of Miami Beach Procurement Division policies and procedures,
at the prices indicated, exclusive of all Federal, State and local taxes. All blanket
purchase orders shall show the City of Miami Beach Contract Number 38-10111.
D. CONTRACTOR PERFORMANCE - City of Miami Beach departments shall report any
failure of Contractor's performance (or failure to perform) according to the requirements
of the Contract Documents to Kevin Smith, City of Miami Beach, Parks and Recreation
Department Director at 305-673-7000 ext. 6643.
E. INSURANCE CERTIFICATE(S) - The Contractor shall file Insurance Certificates, as
required, which must be signed by a Registered Insurance Agent licensed in the State of
Florida, and approved by the City of Miami Beach Risk Manager, prior to delivery of
supplies and/or commencement of any services/work by Contractor.
F. ASSIGNMENT AND PERFORMANCE - Neither this Contract nor any interest herein
shall be assigned, transferred, or encumbered by Contractor without the prior written
consent of the City. In addition, Contractor shall not subcontract delivery of supplies, or
any portion of work and/or services required by the Contract Documents without the prior
written consent of the City.
RECEIVED
APR 12 2012
DEERE CREDIT, INC.
Certification of Contract
Contractor warrants and represents that all persons providing/performing any supplies,
work, and/or services required by the Contract Documents have the knowledge and
skills, either by training, experience, education, or a combination thereof, to adequately
and competently provide/perform same, or services to City's satisfaction, for the agreed
compensation.
Contractor shall provide/perform the supplies, work, and/or services required under the
Contract Documents in a skillful and respectable manner. The quality of the Contractor's
performance and all interim and final product(s) and /or work provided to or on behalf of
City shall be comparable to the best local and national standards.
G. SERVICE EXCELLENCE STANDARDS— Excellent Customer Service is the standard of
the City of Miami Beach. As a Contractor of the City, Contractor will be required to
conduct itself in a professional, courteous and ethical manner, and at all times adhere to
the City's Service Excellence standards. Training will be provided by the City's
Organizational Development and Training Specialist.
H. PUBLIC ENTITY CRIMES - In accordance with the Public Crimes Act, Section 287.133,
Florida Statutes, a person or affiliate who is a contractor, consultant or other provider,
who has been placed on the convicted vendor list following a conviction for a public
entity crime may not submit a bid on a contract to provide any goods or services to the
City, may not submit a bid on a contract with the City for the construction or repair of a
public building or public work, may not submit bids on leases of real property to the City,
may not be awarded or perform work as a contractor, supplier, subcontractor, or
consultant under a contract with the City, and may not transact any business with the
City in excess of the threshold amount provided in Section 287.017,.Florida Statutes,for
category two purchases for a period of 36 months from the date of being placed on the
convicted vendor list. Violation of this section by Contractor shall result in cancellation of
the Contract and may result in Contractor debarment.
I. INDEPENDENT CONTRACTOR - Contractor is an independent contractor under this
Contract. Supplies, work, and/or services, provided by Contractor pursuant to the
Contract Documents shall be subject to the supervision of Contractor. In providing such
supplies, work, and/or services, neither Contractor nor its agents shall act as officers,
employees, or agents of the City. This Contract shall not constitute or make the parties
a partnership or joint venture.
J. THIRD PARTY BENEFICIARIES - Neither Contractor nor City intends to directly or
substantially benefit a third party by this Contract and/or the Contract Documents.
Therefore, the parties agree that there are no third party beneficiaries to this Contract
and that no third party shall be entitled to assert a claim against either of them based
upon this Contract and/or the Contract Documents.
The parties expressly acknowledge that it is not their intent to create any rights or
obligations in any third person or entity under this Contract and/or the Contract
Documents.
RECEIVED
APR 12 2012
2
DEERE CREDIT, INC.
Certification of Contract
K. NOTICES - Whenever either party desires to give notice to the other, such notice must
be in writing, sent by certified United States Mail, postage prepaid, return receipt
requested, or by hand-delivery with a request for a written receipt of acknowledgment of
delivery, addressed to the parry for whom it is intended at the place last specified. The
place for giving notice shall remain the same as set forth herein until changed in writing
in the manner provided in this section. For the present, the parties designate the
following:
For Ci :
Gus Lopez, Procurement Director
City of Miami Beach
Procurement Division
1700 Convention Center Drive
Miami Beach, Florida 33139
With copies to:
Duane Knecht,Property Manaeement Director
City of Miami Beach
Property Management Department
1245 Michigan Avenue
Miami Beach, Florida 33139
For Contractor:
ShowTurf, LLC
1365 Neptune Drive
Boynton Beach, Florida 33426
Attn: Richard Stein, CEO
Phone: 561-732-8905
Fax: 561-732-8949
E-mail: Richard(a)showturf.com
L. MATERIALITY AND WAIVER OF BREACH - City and Contractor agree that each
requirement, duty, and obligation set forth in the Contract Documents is substantial and
important to the formation of this Contract and, therefore, is a material term hereof.
City's failure to enforce any provision of the Contract Documents shall not be deemed a
waiver of such provision or modification of this Contract. A waiver of any breach of a
provision of this Contract shall not be deemed a waiver of any subsequent breach and
shall not be construed to be a modification of the terms of this Contract.
M. SEVERANCE - In the event a portion of this Contract and/or the Contract Documents is
found by a court of competent jurisdiction to be invalid, the remaining provisions shall
continue to be effective unless City or Contractor elects to terminate this Contract. An
election to terminate this Contract based upon this provision shall be made within seven
(7)days after the finding by the court becomes final.
RECEIVED
3 APR 12 2012
DEERE CREDIT, INC.
Certification of Contract
N. APPLICABLE LAW AND VENUE - This Contract and/or the Contract Documents shall
be enforceable in Miami-Dade County, Florida, and if legal action is necessary by either
party with respect to the enforcement of any or all of the terms or conditions herein
exclusive venue for the enforcement of same shall lie in Miami-Dade County, Florida. By
entering into this Contract, Contractor and City hereby expressly waive any rights
either party may have to a trial by Jury of any civil litigation related to, or arising
out of the Contract and/or the Contract Documents. Contractor, shall specifically
bind all subcontractors to the provisions of this Contract and the Contract
Documents.
O. AMENDMENTS - No modification, amendment, or alteration in the terms or conditions
contained herein, or in the Contract Documents, shall be effective unless contained in a
written document prepared with the same or similar formality as this Contract and
executed by the City and Contractor.
P. This Contract shall not be effective until all bonds and insurance(s) required under the
Contract Documents have been submitted to, and approved by, the City's Risk Manager.
Q. The ITB and Contractor's bid in response thereto, are attached to this Contract and are
hereby adopted by reference and incorporated herein as if fully set forth in'this Contract.
Accordingly, Contractor agrees to abide by and be bound by any and all of the
documents incorporated by the Contract Documents. Where there is a conflict between
any provision set forth within (i) this Contract; (ii) the ITB; and /or (iii) Contractor's bid in
response thereto, the more stringent provision (as enforced by the City) shall prevail.
RECEIVED
a APR 12 2012
DEERE CREDIT, INC.
COMMISSION ITEM SUMMARY !
Condensed Title:
Request For Approval To Award A Contract To ShowTurf, LLC., Pursuant To Invitation To Bid(ITB)No.
38-10-11 For Lease Of Golf Course Turf Maintenance Equipment For The Miami Beach Goff Club,For A
Period Of Forty-Eight(48)Months,With Monthly Installments of$7,521.38 For The First Lease Schedule
Beginning On October 1,2011,And Monthly Installments Of$3,804.46 For The Second Lease Schedule
Beginning April 1,2012,For A Total Annual Amount Of$135,910.08,And Authorize The Mayor And City
Clerk To Execute A Four Year Master Lease Agreement With Deere Credit,Inc. In The Total Amount Of I
$543,640.32.
Key Intended Outcome Supported: i
Increase Satisfaction with Recreational Programs
Supporting Data(Surveys,Environmental Scan,etc.): Parks and Recreation appeared as one of
the most Important areas affecting resident's quality of life. Of the 79%of residents and 82%of
businesses rated the overall.quality of the recreational programs and faculties as excellent or good and
58%of residents stated that they go to recreational facilities a couple of times a month or more. More
recreational opportunities appeared as one of the changes residents would make to make Miami
Beach a better place to live,work,and play.
Issue:
Shall the Mayor and Clty Commission approve the award of contract and execution of lease agreement?
Item Summa /Recommendation:
The ITB was issued on July 28,2011 with an opening date August 18,2011.BidSync Issued bid notices to
7 prospective bidders, and Bidnet issued bid notices to (18) prospective bidders, additionally, the
Procurement Division sent notices to two(2) prospective bidders.The notices resulted in the receipt of
three(3)bids from the following firms:ShowTurf, LLC; Horizon;and Hector Turf.
The purpose of this ITB Is to establish a 48-month Lease Agreement, by means of sealed bids, to a
qualified bidder for the lease of all new Golf Course Turf Maintenance Equipment for the Miami Beach Goff
Club. Two lease terms were specified as follows:
• 48-month lease for Items 1 through 16 listed above,for delivery on October.1,2011.
• 48-Month lease for Items 17 through 21 listed above,for delivery on April 1,2012.
The lowest and best bid was submitted by ShowTurf, LLC. The Parks and Recreation Administration
stated that after reviewing the three(3)bids they feel comfortable awarding a contract to the lowest overall
responsive bidder,ShowTurf,LLC.,for items 1 through 16 to be delivered on October 1s',2011,and items
17 through 21 to be delivered on April 16',2012.
APPROVE THE AWARD OF CONTRACT AND AUTHORIZE EXECUTION OF LEASE AGREEMENT
Advisory Board Recommendation:
NIA
Financial Information:
Source of Amourrt Accovrft
Funds: 1 $135_910.08 Parks and Recreation Fund Account No. 011-0940-00312
REM IVED
OBPI Total $135,910.08
Financial Impact Summary: - APR 1 2012
City Clerk's Office Legislative Trackin : °° EDIT INC.
Gus Lopez Procurement Division Director @ 6641
Sign-Offs•
'.Dep nent DI c scan City.Manager :_City`Manager
GL H PDW JMG
T:WGENDA 011\9-14-11VTB-3 8-10-11 Lease of Go f Course Turf Summary.doc
AMI MI ' 'BEACH AGENDA Tt'EM
39 DATE
a
NAIAMSEACH
City of Miami Beach,1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibe=hfl.gov
COMMISSION MEMORANDUM
To: Mayor Matti Herrera Bower and Members of the City Commission
FIR OM: Jorge M. Gonzalez, City Manager
DATE: September 14, 2011
SUBJECT: REQUEST FOR APPROVAL TO AWARD A CONTRACT TO SHOWTURF,
LLC., PURSUANT TO INVITATION TO BID (ITB) NO. 38-10-11 FOR LEASE
OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE MIAMI
BEACH GOLF CLUB, FOR A PERIOD OF FORTY-EIGHT (48) MONTHS,
WITH MONTHLY INSTALLMENTS OF $7,521.38 FOR THE FIRST LEASE
SCHEDULE BEGINNING ON OCTOBER 1, 2011, AND MONTHLY
INSTALLMENTS OF $3,804.46 FOR THE SECOND LEASE SCHEDULE
BEGINNING APRIL 1, 2012, FOR A TOTAL ANNUAL AMOUNT OF
$135,910.08, AND AUTHORIZE THE MAYOR AND CITY CLERK TO
EXECUTE A FOUR YEAR MASTER LEASE AGREEMENT WITH DEERE
CREDIT, INC. IN THE TOTAL AMOUNT OF$543,640.32.
ADMINISTRATION RECOMMENDATION
Approve the award of contract and authorize the execution of leases.
KEY INTENDED OUTCOME SUPPORTED
Increase satisfaction with recreational programs.
FUNDING
$135,910.08/Year Parks and Recreation Fund Account No. 011-0970-000323
The Parks and Recreation Department annual budget is $138,000; by awarding the
contract to the lowest total bid, the City realizes annual cost savings of $2,089.92 per
year•.
BACKGROUND
The Parks & Recreation Department's Golf Courses-Division currently has a lease for
Toro turf maintenance equipment distributed by Hector Turf, and financed through
Siemens Financial Services, which provides the majority of the turf grooming equipment
used to maintain the Miami Beach Golf Club. That lease expired on January 10, 2011.
At the January 19, 2011, Commission meeting the Administration submitted a resolution
seeking authorization to extend the lease, on a month-to-month basis until such time as
the ITB was issued. It was noted that the issuance of the ITB for the golf course
equipment was being temporarily delayed in order to permit the Administration to fully
RECEIVED
40 APR 12 2012
DEERE CREDIT, INC.
i
Commission Memo
September 14,2011
ITB-38-10-11 Lease of Golf Course Turf
Page 2 of 5
examine a potential corporate sponsorship opportunity that could augment the required
equipment list, obtain the equipment at a reduced price and/or provide the City revenue _
as a result of an agreed upon sponsorship package.
To this end the Administration had discussions with various potential corporate partners
for the provision of golf course turf maintenance equipment, as well as other multi-task
maintenance equipment that could be utilized throughout the city. These potential
partners included Cub-Cadet, John Deere and Toro. Although substantive discussions
were held, and there may be opportunities for partnerships in the future, none of the
corporations were able to commit to a workable sponsorship at this time. It should be
noted however,that components of the John Deere leasing package which will result in
a substantial savings to the City, can be attributed in part to the relationship built with
the John Deere team during our corporate sponsorship discussions.
ANALYSIS
The purpose of this ITB is to establish a 46-month Lease Agreement, by means of
sealed bids, to a qualified bidder for the lease of all new.Golf Course Turf Maintenance
Equipment for the Miami Beach Golf Club.
The Bidder's lease price includes a minimum 900-hour use time per equipment; per
yeas. The Vendor is responsible for any/all pickup, delivery, and transportation charges
should an equipment replacement and/or maintenance that must be provided at a
location other than the City's designated facility, including all equipment pickup
transportation at the end of the 48-month lease or after any extended lease use period.
Any equipment(s) which must be removed from the City's designated facility/premises
for service, in excess of twenty-four(24) hours, will be•replaced with another similar unit
within forty eight (48) hours at no additional cost to the City. Preventive/Routine
Maintenance such as cleaning, greasing and lubrication, and oil change maintenance,
will be performed by the City. See.below a list of the equipment included in the lease:
Quantity
1. John Deere 2500E E-Cut Hybrid Riding Greens Mower—Gas 6 each
2. John Deere Gator TX Turf Utility complete with Linex.Under-Coating
Rust Protection. 8 each
3. John Deere 1200 Hydro Rake 2 each
4. John Deere 220 E-Cut Hybrid 4 each
5. John Deere Aercore 800 Aerator 1 each
6. John Deere 22B Walk Greens Mower Trailer 4 each
7. John Deere 997 Commercial L.C. Diesel Max-Frame Z Trak with
72-inch Side Discharge 7-Iron PRO Deck 2 each
�. 8. RYAN Jr. Sod Cutter 1 each
9. Wiedenmann Super 500 Multi-Pdrpose Sweeper 1 each
10. DMI Speed Rollers 2 each
11. John Deere set of greens Tender Conditioners/Drives for 2500EG 1 each
12. Buffalo K Debris Blower 1 each
13. John Deere Set of Vertical Cutting Units for the 2500EG 1 each
14. AGRI-Metal Roller Set for the John Deere 2500 1 each
15. Custom Spiker Set for the John Deere 2500 1 each
RECEIVED
41 APR 12 2012
DEERE CREDIT, INC.
Commission Memo
September 14,2011
ITB-38-10-11 Lease of Golf Course Turf
Page 3 of 5
16. 5=Gang Mowing Unit 1 each
17. John Deere 8700 Precision Cut Fairway Mower QA7 2 each
18. John Deere Pro Gator 2020A With Vicon Attachment 1 each
19. John Deere HD200 Select Spray With Hose Reel Attachment
Complete With Foam Marker Kit 1 each
20. Dakota 410, with Top Dresser Mounted on a John Deere Pro
Gator 2020A 1 each
21. John Deere 7200 Precision Cut Trim And Surrounds Mower 2 each
Two lease terms were specified as follows:
48-month lease for Items 1 through 16 listed above, for delivery on October 1,
2011. As an alternate option, bidders were requested to submit pricing for a 48-
month lease for Items 1 though 15 listed above,for delivery on October 1, 2011.
e 48-Month lease for Items 17 through 21 listed above, for delivery on April 1,
2012.
BID PROCESS
The ITB was issued on July 28, 2011, with and opening date of August 18, 2011.
BidSync issued bid notices to seven prospective bidders, and Bidnet issued bid notices
to (1 B) prospective bidders. Additionally, the Procurement Division sent notices to two
(2) prospective bidders. The notices resulted in the receipt of three (3) bids from the
following firms: Show Turf, LLC; Horizon; and Hector Turf.
On August 18, 2011, the Procurement Division sent the bids received to the following
individuals for evaluation:
9 Kevin Smith, Parks and Recreation Director
Steve Farrell, Director of Golf for the Miami Beach and Normandy Shores Goff
Clubs
Alberto Pozzi, General Manager of PCM
9 Carlos DaCruz, Office Associate V
The Individuals evaluated the three (3) bids received. The lowest and best bid was
submitted by ShowTurf, LLC. The Parks and Recreation Administration stated that after
reviewing the three (3) bids they feel comfortable awarding a contract to the lowest
overall responsive bidder, ShowTurf, LLC., for items 1 through 16 to be delivered on
October 16', 2011, and items 17 through 21 to be delivered on April 15', 2012.
BID TABULATION
The following Table provides the bid tabulation results for all three (3) responses to ITB
No. 38-10/11:
RECEIVED
APR 12 2012
42 DEERE CREDIT, INC.
Commission Memo
September 14,2011
ITB-38-10-11 Lease of Golf Course Turf
Page 4 of 5
SHOW TURF HORIZON *HECTOR TURF
Lease
Tenn Monthly Total Monthly Total Monthly Total
1" Lease 48
Items 1-16 Months $7,521.38 $361,026.24 $9,637.06 $462,578.88 $7,924.71 $380,386.08
Personal Property
Taxes $0 $32 406.28 $28,499.34
Total 161 Lease $381,026.24 $494,985.16 $408,885.42
Altemate to 16t 48
Lease Items 1-15 Months $7,171.72 $344,242.56 $9,096.80 $436,646. 0 $7,478.19 $358,953.12
Personal Property
Taxes $0 $30,588.96 $27,093.53
Total Alternate to
1"Lease $344,242.56 $467,235.36 $386,046.65
2nd Lease 4B
Items 17-21 Months $3,804.46 $182,614.08 $4,853.96 232990.08 $3,171.81 .$152,246.88
Personal Property
Taxes $0 $15,954.72 $ 11,169.01
Total.2nd Lease $482;614.08 $2481944 80
$163,41'5.69
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*Hector Turf failed to submit an itemized price list of the equipment for Items 1 through
21 and was deemed non-responsive.
The Master Lease Agreement has been reviewed by the City's Chief Financial Officer
relative to the interest rates of financing, and the predetermined percentage of the
residual value.
SHOWTURF, LLC
ShowTurf, LLC. is a full-line John Deere Golf&Turf Distributor. They serve the golland
sports turf market in Southern Florida, Southern Georgia, Hilton Head and the
Caribbean. Some of their clients include Parkland Golf and Country Club, Boca West
Country Club, Indian Creek Country Club, and La Gorce Country Club, among others.
Their leasing agent is John Deere Credit, Inc., owned by John Deere Financial.
It-should also be noted that:
John Deere FinanciaUManufacturer owns the equipment directly; therefore,they
will not pass on the cost for Personal Property Tax to a Municipal Government
This represents an additional cost savings of approximately $30,000 to thecity.
In our previous lease with Toro's financial representative, Siemens Financial,we
were required to pay property tax in excess of$26,000 for the 48 month least. .
RECEIVED
APR 12 2012
43 DEERE CREDIT, INC.
4
i
Commission Memo {
September 14,2011
_ ITB-38-10-11 Lease of Golf Course Turf
Page 5 of 5
o John Deere has agreed to include rust-preventing under coating at no additional
cost on the Turf Utility Vehicles. This is very important due to the fact the golf
course frequently uses salt water from the lakes for irrigation.
• John Deere is providing the new 2500E-Series, Hybrid Riding Mowers, which
offers fuel economy, reduces the noise of mower operations and a significant
reduction In the chance for hydraulics leaks that can damage the putting greens.
John Deere has reduced the residual buy back option from 20% of the original
lease value proposed during sponsorship discussions, down to 17.5% on all or
any individual item.
CONCLUSION
Based on the analysis of the bids received, the Administration recommends that the City
award a contract to ShowTurf, LLC., pursuant to ITB 38-10-11 For Lease of Golf Course
Turf.Maintenance Equipment For the Miami Beach Golf Club.
T:WGENDAV01119-14-111n1338-10-11 Lease of Golf Course Turf MEMO.doc
RECEIVED
APR 12 2012
44 DEERE CREDIT, INC.