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2013-28384 Reso RESOLUTION NO. 2013-28384 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER TO PARTICIPATE IN THE SOUTHEAST FLORIDA GOVERNMENTAL PURCHASING CO-OPERATIVE FOR THE PURCHASE OF COMPETITIVELY BID ROUTINE OPERATIONAL REQUIREMENTS, AND WAIVING BY 5/7T" VOTE, THE CITY'S FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY. WHEREAS, the City of Miami Beach, Florida (the "City") releases purchase orders annually for routine operational requirements that support the maintenance and operations of numerous departments and facilities; and WHEREAS, the City recognizes that the need for routine operational requirements is not limited to the City, but is typical of every municipal government; and WHEREAS, the City further recognizes the benefits of cooperative agreements which increase the buying power of public funds through competitively soliciting best possible pricing through the aggregated volume of like purchases required by multiple governmental agencies, including counties and cities; and WHEREAS, the City, as a member of the Southeast Chapter of the National Institute for Governmental Procurement (NIGP), is eligible to utilize the competitively solicited cooperative agreements which aggregate the buying power of most governmental agencies in the Southeast Florida region, including City of Miami, Miami-Dade County, Miami-Dade County Schools, as well as approximately 50 other municipalities and public agencies in the region; NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby authorize the City Manager to participate in the Southeast Florida Governmental Purchasing Co-Operative for the purchase of competitively bid routine operational requirements, and waiving by 5/7t' vote, the City's formal competitive bidding requirements, finding such waiver to be in the best interest of the City. PASSED AND ADOPTED /. DAY OF aC 2013. k f. APPROVED AS TO ATTEST. FORM & LANGUAGE OR EXECUTION CITY CLERK - A OR INCORP ORATED r h i ttom ity A Date ''•Cb �. F/ 26 COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER TO PARTICIPATE IN THE SOUTHEAST FLORIDA GOVERNMENTAL PURCHASING CO-OPERATIVE FOR THE PURCHASE OF COMPETITIVELY BID ROUTINE OPERATIONAL REQUIREMENTS, AND WAIVING BY 5/7T" VOTE, THE CITY'S FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY. Key Intended Outcome Supported: Maximize Efficient Delivery of Services Supporting Data (Surveys, Environmental Scan, etc: N/A Item Summa /Recommendation: At the commencement of every fiscal year, beginning October 1, the City releases purchase orders for routine operational requirements that support the maintenance and operations of numerous departments and facilities. These routine requirements may include items as detailed on the attached memo. The need for these routine operational requirements is not limited to the City and is typical for almost every municipal government. Like the City,many governments typically purchase these items through a quote process based on the need at the time of purchase. However,several years ago,many local governments realized that by aggregating the volume of many agencies,their buying power could be increased. As a result,the Southeast Florida Governmental Purchasing Co-operative(the"Co-op")was formed. The purpose of the Co-op is to work together to aggregate the volume of each agency for those routine items used by all members in an effort to maximum price discounts and operational efficiencies for each agency.The members of the Co-op include: City of Miami, Miami-Dade County, Miami-Dade County Schools, as well as approximately 50 other municipalities and public agencies in the Southeast Florida region.The memo provides further details on the benefits of co-operative purchases. As one example of the aggregated buying power of the Co-op supply agreements, the City has an annual requirement of irrigation repair parts and equipment of approximately$40,000,which is usually purchased on an as needed basis.Conversely,the Co-op has established,through a competitive process,discount pricing for the same items based on an annual volume of its members totaling approximately$700,000. The resulting Co-op supply agreements for these items include discounts as deep as 65%off of manufacturer list price for many of the same items utilized by the City to maintain irrigation systems in City parks. By participating in the Co-op,the City can benefit from the aggregated volume pricing(i.e.,buying power)which is much greater than the City's resulting in significant discounted pricing on routine requirements. The benefits of co-operative purchases are widely recognized nationally. The U.S. Conference of Mayors, the National Association of State Procurement Officials and the General Services Administration of the U.S. Government,as well as other national organizations,support co-operative purchases.Through Co-op agreements for routine operational requirements,the City can take advantage of discounted pricing based on the aggregated volume of many governmental agencies across South Florida many times greater than that of the City and maximize operational efficiencies by providing a means for expeditiously acquiring items that support the operations of numerous City departments and facilities. RECOMMENATION It is recommended that the Mayor and City Commission approve a resolution authorizing the City Manager to participate in the Southeast Florida Governmental Purchasing Co-Operative for the purchase of competitively bid routine operational requirements, and waiving by 5/7th vote, the city's formal competitive bidding requirements, finding such waiver to be in the best interest of the city. Advisory Board Recommendation: Financial Information: Source of Amount Account Funds: 1 NA NA 2 OBPI Total Financial Impact Summary: Expenditures are contingent upon approved budgeted funds. City Clerk's Office Legislative Tracking: Alex Denis, Extension 6641 Sign-Offs: Departure t irector Assistant City anager City M nager AD KGB JLM T:\AGENDA\20135teptember 11\RFP 064-2013 Audit Sofvices of Capital Improvement Proje t Summary.doc AGENDA ITEM C -7 MIAMIBEACH DATE 1046-� MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfi.gov COMMISS ON MEMORANDUM TO: Honorable Mayor and Members of the City C mmission FROM: Jimmy L. Morales City Manager DATE: October 16, 2013 SUBJECT: A RESOLUTION OF THE MA R AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE CITY MANAGER TO PARTICIPATE IN THE SOUTHEAST FLORIDA GOVERNMENTAL PURCHASING CO-OPERATIVE FOR THE PURCHASE OF COMPETITIVELY BID ROUTINE OPERATIONAL REQUIREMENTS, AND WAIVING BY 5/7T" VOTE, THE CITY'S FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY. ADMINISTRATION RECOMMENDATION Approve the recommendation. KEY INTENDED OUTCOME Maximize Efficient Delivery of Services BACKGROUND At the commencement of every fiscal year, beginning October 1, the City releases purchase orders for routine operational requirements that support the maintenance and operations of numerous departments and facilities. These routine requirements may include items required throughout the fiscal year, such as: • Aggregates, Top Soils and Sand • Red Clay/Sand & Silica Sand, • Automotive Oils, Lubricants & Baseball Infield Greases • Roof Tarps • Barricade and Flasher Rentals • Security & Sports Lighting Systems • Electrical Supplies Maintenance • Fertilizers & Horticultural Chemicals • Sod and Sod Installation • Fire Extinguisher Service • Swimming Pool Chemicals • Irrigation Supplies • Sports Field Dressings • Landscaping & Grounds • Automotive Parts, Supplies and Maintenance OEM Repair Parts, Related Items Small Engine Parts, Supplies & • Water Meter Fittings & Water Line Related Items Accessories • Mulch • Plumbing Parts and Supplies 2 Approval of Resolution to Participate in Southeast Florida Governmental Purchasing Cooperative __.. ......._.. ... . _ . The need for these routine operational requirements is not limited to the City and is typical for almost every municipal government. Like the City, many governments typically purchase these items through a quote process based on the need at the time of purchase. However, several years ago, many local governments realized that by aggregating the volume of many agencies, their buying power could be increased. As a result, the Southeast Florida Governmental Purchasing Co-operative (the "Co-op") was formed. The purpose of the Co-op is to work together to aggregate the volume of each agency for those routine items used by all members in an effort to maximum price discounts and operational efficiencies for each agency. The members of the Co-op include: City of Aventura City of Hollywood City of Wilton Manors City of Miami City of Lantana Broward College City of Miami Gardens City of Lauderdale Lakes Broward County City of Miami Springs City of Lauderhill Broward County School City of North Miami City of Lighthouse Point Board City of North Miami Beach City of Margate Broward Sheriffs Office Miami-Dade County City of Miramar Children's Services Miami-Dade County City of North Lauderdale Council, Palm Beach Schools City of Oakland Park County City of Boca Raton City of Parkland Palm Beach County City of Boynton Beach City of Pembroke Park SFRTA/TRI-RAIL City of Coconut Creek City of Pembroke Pines South Central Regional City of Cooper City City of Plantation Wastewater Facility City of Coral Springs City of Pompano Beach Town of Davie City of Dania Beach City of Riviera Beach Town of Lauderdale-By- City of Deerfield Beach City of Sunrise The-Sea City of Fort Lauderdale City of Tamarac Town of Palm Beach City of Greenacres City of Weston Village of Palm Springs City of Hallandale Beach Village of Wellington As one example of the aggregated buying power of the Co-op supply agreements, the City has an annual requirement of irrigation repair parts and equipment of approximately $40,000, which is usually purchased on an as needed basis. Conversely, the Co-op has established, through a competitive process, discount pricing for the same items based on an annual volume of its members totaling approximately $700,000. The resulting Co- op supply agreements for these items include discounts as deep as 65% off of manufacturer list price for many of the same items utilized by the City to maintain irrigation systems in City parks. By participating in the Co-op, the City can benefit from the aggregated volume pricing (i.e., buying power) which is much greater than the City's resulting in significant discounted pricing on routine requirements. CONCLUSION The benefits of co-operative purchases are widely recognized nationally. The U.S. Conference of Mayors, the National Association of State Procurement Officials and the General Services Administration of the U.S. Government, as well as other national organizations, support co-operative purchases. Through Co-op agreements for routine operational requirements, the City can take advantage of discounted pricing based on the aggregated volume of many governmental agencies across South Florida many times greater than that of the City and maximize operational efficiencies by providing a 3 Approval of Resolution to Participate in Southeast Florida Governmental Purchasing Cooperative 11 .._...- --__.... means for expeditiously acquiring items that support the operations of numerous City departments and facilities. RECOMMENATION It is recommended that the Mayor and City Commission approve a resolution authorizing the City Manager to participate in the Southeast Florida Governmental Purchasing Co-Operative for the purchase of competitively bid routine operational requirements, and waiving by 5/7th vote, the city's formal competitive bidding requirements, finding such waiver to be in the best interest of the city. JLM: KGB: AD Southeast Florida Governmental Purchasing Cooperative of the Southeast Florida Chapter of the National Institute for Governmental Procurement The Southeast Florida Governmental Purchasing Co-operative Group is comprised of government entities from throughout the region to provide cost savings and cost avoidances to member entities by utilizing the buying power of combined requirements for common basic items. Membership in the Co-op is open to governmental agencies in Miami-Dade, Broward and Palm Beach counties. If your entity is not currently a member, we invite you to join us. Contact us at coopgnigpsefl.org for more information. The Co-op meeting schedule is published in the Meetings_area of the SEFL NIGP web site. Each participating governmental entity is responsible for utilizing the available contract(s), issuing their own purchase orders, and for order placement(s). Each participating entity will require separate billings, be responsible for payment to the contractor(s) and issue its own tax exemption certificates. The contract/purchase order terms of each entity will prevail for the individual participating entity. Invoicing instructions, delivery locations and insurance requirements will be in accordance with the respective agency requirements. Municipalities and other governmental entities which are not members of the Southeast Florida Governmental Purchasing Co-operative Group are strictly prohibited from utilizing any contract or purchase order resulting from these awards. However, any new or active Southeast Florida Governmental Purchasing Co-operative Group member entity may participate in these contracts for new usage during the contract term(s) if approved by the lead agency. All questions concerning procurements should be addressed to the originating agency. 2012 Co-operative Group Officers: Chair Vice-Chair Co-Secretary Ivelsa Guzman David Santucci (Correspondence) City of North Lauderdale City of Deerfield Beach Indra Sarju (954) 722-0900 (954)480-4380 City of AVentura iguzmanRnlauderdale.orq dsantucci a(�.deer8eld-beach.com (305)466-8925 sariui(a"cityofaventura.com