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2016-29426 Reso RESOLUTION NO. 2016-29426 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER TO REJECT ALL BIDS RECEIVED PURSUANT TO INVITATION TO BID (ITB) NO. 2016-045-WG FOR THE LEASE OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE MIAMI BEACH GOLF CLUB AND NORMANDY SHORES GOLF CLUB; AND APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 1 TO THE AGREEMENT BETWEEN THE CITY AND SHOWTURF, LLC, DATED OCTOBER 22, 2012, FOR THE LEASE OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE NORMANDY SHORES GOLF CLUB; SAID AMENDMENT EXTENDING THE TERM OF THE AGREEMENT FOR A PERIOD NOT TO EXCEED ONE (1) YEAR, COMMENCING ON SEPTEMBER 23, 2016 AND EXPIRING ON SEPTEMBER 22, 2017; AND FURTHER PROVIDING THE CITY WITH THE RIGHT TO TERMINATE THE AGREEMENT, FOR CONVENIENCE, UPON PROVIDING SHOWTURF, LLC WITH THIRTY (30) DAYS PRIOR WRITTEN NOTICE. WHEREAS, on July 18, 2012, ITB 45-11/12 for the lease of golf course turf maintenance equipment was awarded to ShowTurf, LLC; and WHEREAS, the agreement with ShowTurf, LLC (the Agreement) is currently effective through September 22, 2016 and no further options for renewal are available; and WHEREAS, on January 12, 2016, the City issued an Invitation to Bid 2016-045- WG (the "ITB") to establish a lease agreement/contract, by means of sealed bids, to qualified contractor(s) for the lease of all new golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club; and WHEREAS, on March 4, 2016, bids were received from: Jacobsen Professional Lawn Care Inc., ShowTurf, LLC, and Tesco South, Incorporated; and WHEREAS, the ITB allows the City to consider an award by item or by group, or for the entirety of all bid items, as deemed in the best interest of the City; and WHEREAS, in the case of the bids received, an award by item is in the City's best interest; and WHEREAS, the City's Procurement Department, after completing its due diligence, found that while pricing was available by item, the tangible personal property tax, which the City is required to pay, was provided in lump sum form only, rendering it impossible to calculate the true cost of each item (which is lease payments plus applicable tax); and WHEREAS, since an award by item is not possible and an award by group is cost prohibitive, the City Manager recommends the rejection of all bids received pursuant to ITB 2016-045-WG for the lease of golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club; and WHEREAS, the Administration recommends approving Amendment No. 1, extending the Agreement until September 22, 2017, or until a new agreement is awarded and executed for the same services, whichever occurs first, and further providing the City with the right to terminate the Agreement, upon providing ShowTurf, LLC with thirty (30) days prior written notice. 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 hereby accept the recommendation of the City Manager to reject all bids received, pursuant to ITB No. 2016-045-WG, for the lease of golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club; and approve and authorize the City Manager to Execute Amendment No. 1 to the Agreement between the City and ShowTurf, LLC, dated October 22, 2012 for the lease of golf course turf maintenance equipment for the Normandy Shores Golf Club; said Amendment extending the term of the Agreement for a period not to exceed one (1) year, commencing on September 23, 2016 and expiring on September 22, 2017; and further providing the City with the right to terminate the Agreement, for convenience, upon providing ShowTurf, LLC with thirty (30) days prior written notice. PASSED AND ADOPTED this f day of June 2016. ATTEST: - - i RA AEL . RANAP.40\ k I0-YEQ I 4 PHILIP r7. 4' AYOR •.'\ _ r.; = INCORP ORATED: APPROVED AS TO FORM & LANGUAGE & F•R ExECUTION • t..a 5(2,4c(e City Attorney ,��y Date T:W GENDA\2016\June\Procurement\2016-045-WG (ITB) Lease of Golf Course Turf Maintenance Equipment\ITB- 2016-045-WG Lease of Golf Course Turf Maintenance Equipment(Reissuance)-Resolution 5.24.16.doc COMMISSION ITEM SUMMARY Condensed Title: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER TO REJECT ALL BIDS RECEIVED PURSUANT TO INVITATION TO BID (ITB) NO. 2016-045-WG FOR THE LEASE OF. GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE MIAMIBEACHGOLF CLUB AND NORMANDY SHORES GOLF CLUB; AND APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 1 TO THE AGREEMENT BETWEEN THE CITY AND SHOWTURF, LLC, DATED OCTOBER 22, 2012, FOR THE LEASE OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE NORMANDY SHORES GOLF CLUB; SAID AMENDMENT EXTENDING THE TERM OF THE AGREEMENT FOR A PERIOD NOT TO EXCEED ONE(1)YEAR,COMMENCING ON SEPTEMBER 23, 2016 AND EXPIRING ON SEPTEMBER 22, 2017; AND FURTHER PROVIDING THE CITY WITH THE RIGHT TO TERMINATE THE AGREEMENT,FOR CONVENIENCE,UPON PROVIDING SHOWTURF,LLC WITH THIRTY (30) DAYS PRIOR WRITTEN NOTICE. Key Intended Outcome Supported: Increase satisfaction with recreational programs Supporting Data(Surveys, Environmental Scan, etc: N/A Item Summary/Recommendation: In order to complete a successor agreement, on January 12, 2016,the City issued an Invitation to Bid 2016- 045-WG (the "ITB") to establish a lease agreement/contract, by means of sealed bids, to qualified contractor(s)for the lease of all new golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club. The ITB was issued on January 12, 2016.20 bid notices were issued and a pre-bid conference was held on January 27, 2016. On March 4, 2016, bids were received from Jacobsen Professional Lawn Care Inc., ShowTurf, LLC, and Tesco South, Incorporated.The ITB allowed the City to consider an award by item or by group. In the case of the bids received, an award by item is in the City's best interest. However, the Procurement Department, after completing its due diligence,found that while pricing was available by item, the tangible personal property tax, which the City is required to pay, was provided in lump sum form only, rendering it impossible to calculate the true cost of each item (which is lease payments plus applicable tax). Therefore, an award by item is not possible and an award by group is cost prohibitive and not in the City's best interest. Given that these items are still needed by the Parks and Recreation Department,a new solicitation needs to be issued to establish a successor agreement. In the interim,the current agreement should be continued on a month-to-month basis, until such time as the new agreement can be awarded and executed. RECOMMENDATION The City Manager considered the staff's recommendation and bids received,pursuant to ITB 2016-045-WG, as well as the best interest of the City to award to the bidder offering the lowest cost by item, and recommends that the Mayor and City Commission approve the Resolution authorizing the rejection of all bids received pursuant to ITB 2016-045-WG for the lease of golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club and approve Amendment No. 1 to the Agreement extending the current Agreement for a period not to exceed one (1) year, commencing on September 23, 2016 and expiring on September 22, 2017, and further providing the City with the right to terminate the Agreement, for convenience, upon providing ShowTurf, LLC with thirty(30)days prior written notice. Advisory Board Recommendation: N/A Financial Information: Source of Amount Account Funds: 1 Total Financial Impact Summary: City Clerk's Office Legislative Tracking: Alex Denis, John Rebar • Sign •ffs: Dep. .. ent Dir o Assistant City Manager City er AD JR MT JLM a T:\AGEN F 016\J a\Procurement\2016-045-WG(ITB)Lease of Golf Course Turf Maintenanc• ∎uipment\Item Summary 5.26.16.d• MIAMI BEACAGENDA ITEM enti DATE i‘• MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive,Miami Beach, Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members f the City Co ( ission FROM: Jimmy L. Morales, City Manager DATE: May 26, 2016 SUBJECT:A RESOLUTION OF THE MAYOR AN CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA,ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER TO REJECT ALL BIDS RECEIVED PURSUANT TO INVITATION TO BID(ITB) NO.2016-045-WG FOR THE LEASE OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE MIAMI BEACH GOLF CLUB AND NORMANDY SHORES GOLF CLUB; AND APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 1 TO THE AGREEMENT BETWEEN THE CITY AND SHOWTURF, LLC, DATED OCTOBER 22, 2012, FOR THE LEASE OF GOLF COURSE TURF MAINTENANCE EQUIPMENT FOR THE NORMANDY SHORES GOLF CLUB; SAID AMENDMENT EXTENDING THE TERM OF THE AGREEMENT FOR A PERIOD NOT TO EXCEED ONE (1) YEAR, COMMENCING ON SEPTEMBER 23, 2016 AND EXPIRING ON SEPTEMBER 22,2017; AND FURTHER PROVIDING THE CITY WITH THE RIGHT TO TERMINATE THE AGREEMENT, FOR CONVENIENCE, UPON PROVIDING SHOWTURF, LLC WITH THIRTY (30) DAYS PRIOR WRITTEN NOTICE. KEY INTENDED OUTCOME NA FUNDING N/A BACKGROUND On July 18, 2012, ITB 45-11/12 for the lease of golf course turf maintenance equipment was awarded to ShowTurf, LLC (the "Agreement"). The Agreement with this firm is currently effective through September 22, 2016 and no further options for renewal are available. In order to complete a successor agreement, on January 12, 2016, the City issued an Invitation to Bid 2016-045-WG(the"ITB")to establish a lease agreement/contract, by means of sealed bids, to qualified contractor(s)for the lease of all new golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club. ITB PROCESS The ITB was issued on January 12, 2016. 20 bid notices were issued and a pre-bid conference was held on January 27, 2016. On March 4, 2016, bids were received from Jacobsen Professional Lawn Care Inc.,ShowTurf, LLC,and Tesco South, Incorporated.The ITB allowed the City to consider an award by item or by group. In the case of the bids received, an award by item is in the City's best interest. However, the Procurement Commission Memorandum ITB 2016-045-WG The Lease of Golf Course Turf Maintenance Equipment for the Miami Beach Golf Club and Normandy Shores Golf Club May 17, 2016 Page 12 Department, after completing its due diligence, found that while pricing was available by item, the tangible personal property tax, which the City is required to pay, was provided in lump sum form only, rendering it impossible to calculate the true cost of each item(which is lease payments plus applicable tax). Therefore, an award by item is not possible and an award by group is cost prohibitive and not in the City's best interest. Given that these items are still needed by the Parks and Recreation Department, a new solicitation needs to be issued to establish a successor agreement. In the interim, the current agreement should be continued on a month-to-month basis, until such time as the new agreement can be awarded and executed. CITY MANAGER'S RECOMMENDATION After considering the staff's recommendation and bids received, pursuant to ITB 2016-045- W G, as well as the best interest of the City to award to the bidder offering the lowest cost by item, the City Manager recommends that the Mayor and City Commission approve the Resolution authorizing the rejection of all bids received pursuant to ITB 2016-045-WG for the lease of golf course turf maintenance equipment for the Miami Beach Golf Club and Normandy Shores Golf Club and approve Amendment No. 1 to the Agreement extending the current Agreement for a period not to exceed one(1)year, commencing on September 23, 2016 and expiring on September 22, 2017, and further providing the City with the right to terminate the Agreement, for convenience, upon providing ShowTurf, LLC with thirty (30) days prior written notice. JLM / ND/AD /AK/ MLT T:\AGENDA\2016\June\Procurement\2016-045-WG(ITB)Lease of Golf Course Turf Maintenance Equipment\Memorandum 5.26.16.doc