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2017-30077 Resolution RESOLUTION NO. 2017-30077 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE PURSUANT TO REQUEST MANAGER, FOR QUALIFICATIONS (RFQ) NO. RFQ 2017-119-KB, SMART CITY STREET LIGHTING SYSTEM — BUILD, OPERATE, AND MAINTAIN; AUTHORIZING THE DESIGN, ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH JOHNSON INC., AS THE TOP RANKED PROPOSER; AND, SHOULD THE CONTROLS, NEGOTIATIONS WITH JOHNSON CONTROLS, INC., FAIL, AUTHORIZING ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH CITELUMD SHOULD THE SECOND HIGHEST RANKED PROPOSER; AND,US, INC.„�� NEGOTIATIONS WITH CITELUM US, INC., FAIL, AUTHORIZING THE N TO ENTER INTO NEGOTIATIONS ONS WITH MIAMI BEACH STREET LIGHTING PARTNERS, AS THE THIRD HIGHEST RANKED AND FURTHER AUTHORIZING THE PROPOSER; MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, on June 7, 2017, City the Commission approved the issuance of Request for Qualifications (RFQ) —No. 2017-119-KB for Smart City Street Lighting System Design, Build, Operate, and Maintain; and WHEREAS, the RFQ was released on June 14, 2017, with an opening date of August 14, 2017; and WHEREAS, pre prop osal conference to provide information to the proposers submitting a response was held on June 23, 2017; and received proposals in response to the RFQ from the following nine WHEREAS, the City p p (9) firms: AirisLLC; USA, Ameresco, Inc.; Citelum US, Inc.; Horsepower Electric, Inc.; Johnson Controls, Inc., MasTec North America, Inc.; Miami Beach Smart Lighting Partners; Noresco, LLC; and Siemens Industry, Inc.; and 2017, via LTC # 382-2017, the City Manager appointed the WHEREAS, on July 26, Evaluation Committee (the "Evaluation Committee"), which convened on August 23, 2017 to consider the proposals submitted; and Evaluation Committee's rankings were as follows: (1) Johnson Controls, WHEREAS, the Evalua Inc., (2) Miami Beach Smart Lighting Partners; (3) Horsepower Electric, Inc.; (4) Noresco, LLC;(5) Citelum US, (6),Inc' Ameresco, Inc.; (7) MasTec North America, Inc.;; Siemens Industry, Inc.; and (9) Airis USA, LLC; and WHEREAS, on OctoberCity 23, 2017, the Manager, as part of his due diligence in making a recommendation for award ward to CityCommission, requested that firms wishing to be considered for award pursuant to the RFQ make oral presentations; and oralpresentations conducted by the City Manager, the City WHEREAS, through the of the from each of the proposers, asked questions of each Manager personally heard � of the proposals and proposers, and was able to form his own impressions based on his review p p thep resentations made to the City Manager; and on the CityManager's due diligence, the City Manager has made a WHEREAS, based g but that the recommendation that differs slightly from the rankings of the Evaluation Committee, City Manager believes is consistent with what a project of this sort will require, and which of the demonstrated experience the City Manager's impression and qualifications ofr each proposer ro oser t0 move the City forward with improved lighting, proven Smart City technologies, and resident engagement; and of the proposals and considering the presentations provided by WHEREAS, after review p p each firm, the Manager CityMana er concurs with the Evaluation Committee to the extent that it recommended Johnson Controls as the best qualified firm for the project; and to second and third ranked proposers, although the Evaluation WHEREAS, with respectUS Inc. as the Committee has ranked Miami Beach Street Lighting Partners and Citelum , proposers, respectively; it is the City Manager's opinion that the Citelum second and fifth ranked prop � proposalprovided has a combination of qualifications and technological approach that, while not Controls, the highest ranked proposer, would as favorable as Johnson Co � be better suited for the g City's requirements uirements than that offered by Miami Beach Street Lighting Partners, a consortium of given the CityManager's concerns regarding Miami Beach Street five (5) firms, and particularly Lighting Partnerspp approach approach to the deployment of the project and the consortium's pp roach to its organizational line of authority among the five different firms; and WHEREAS, for the reasons as specified in the Commission Memorandum City g the Manager has recommended that the Mayor and City accompanying this Resolution, Commission authorize the Administration to enter into negotiations with Johnson Controls, Inc., r; and should negotiations with Johnson Controls, Inc., fail, authorize as the top ranked proposer; g the Administration to enter into negotiations with Citelum US, Inc.,, as the second highest negotiations with Citelum US, Inc., fail, authorize the ranked proposer; and, shouldg 9 Administration to enter into negotiations with Miami Beach Street Lighting Partners, as the third rther, authorize the Mayor and City Clerk to execute the agreement highest ranked proposer; fu with the successful firm. THE MAYOR AND CITY BE IT DULY RESOLVED BY NOW, THEREFORE, COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City pertaining to the ranking the recommendation of the City Manager Commission hereby accept for Smart Cit pursuant to Request for Qualifications (RFQ) No. 2017-119-KBy of proposals, q • authorize the Administration to Street Lighting System — Design, Build, Operate, and Maintain, g g Inc.,enter into negotiations with Johnson Controls, as the top ranked proposer; and, should negotiations with Johnson Controls, Inc., fail, authorize the Administration to enter into Inc. as the second highest ranked proposer; and, should negotiations with Citelum US, into ne otiations negotiations with Citelum US, Inc., fail, authorize the Administration to enter g Lighting Partners, as the third highest ranked proposer; and further with Miami Beach Street Lig g authorize the Mayor and City Clerk to execute an agreement upon conclusion of successful negotiations by the Administration. 3� Oc 4 �� 2017. this da of Agjv, PASSED AND ADOPTED y f.. Philip Levin- ay• ,/, / /1 # - ATTEST- / , _ Raf.el E. ranad., ity Clerk TAAG ENDA\2017\10 - October\October 31\October 31\Procurement\RFQ 2017-119-KB SMART City Street Lighting\RFQ-2017-119-KB SMART City Lighting-Resolution v2.doc ,..,7-7 c,;:t),--,b1 C j, .- ,,,. --.„ ,.... , y \,, 7 '. , . ty is ` 4 ''')0\), APPROVED AS TO ;/ 'y'�j\ ' ,� -� f.,.\-., APPROVED FORM&LANGUAGE ��`� : '{{��ll(11/d{q &FOR EXEC -- :. pi : EXECUTION ,ii.: CN \\11 i °)/-1 f n !PPP/ }-,:x 4::„.. c,7..- c, A,„- , -y-.-. , -:___._:v„-,.. ,z " . ..•..........� g0 `l ., /A , .� City Date Resolutions - C7 E MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: October 31, 2017 • RESOLUTION OF THE MAYOR AND CITY COMMISSION A OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. RFQ 2017-119-KB, SMART CITY STREET LIGHTING SYSTEM DESIGN, BUILD, ADMINISTRATION TO ENTER AND MAINTAIN; AUTHORIZING THE OPERATE, INTO NEGOTIATIONS WITH JOHNSON CONTROLS, INC., AS THE TOP , PROPOSER; AND, SHOULD THE NEGOTIATIONS WITH JOHNSON RANKED CONTROLS, FAIL, INC. AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH CITELUM US, INC.,,AS THE SECOND HIGHEST RANKED PROPOSER; AND, SHOULD NEGOTIATIONS WITH CITELUM US, INC., FAIL, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH STREET LIGHTING PARTNERS, AS THE THIRD HIGHEST MIAMI BEACH RANKED PROPOSER; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. RECOMMENDATION Adopt the Resolution. ANALYSIS ' Public Works Department completed the first step in the preparation of a Citywide In 2016, the City's p Street Lighting Master Plan by conducting a city-wide photometric analysis, in an effort to assess the g g sUpon the completion of the photometric analysis, the state of the City's current lighting system. mp a r e areas of the Citywere either over lit or under lit and that only 18.2% of department found that lag it the City's roadways fall within the acceptable range for illuminance and uniformity when compared ared to Y Y h City In addition the study recommended the should work with the industry to develop a Lighting Master Plan that would define the City's lighting goals, improve uniformity, and upgrade existing lighting to LEDimprove and to i operations and maintenance with the implementation of a p Computerized Maintenance Management System(CMMS). findings,s follow recommendations, and to continue the department's efforts In an effort to address the g = for the preparation implementation aration and im lementation of a Citywide Street Lighting Master Plan the solicited for Design, Build, Operation eration and Maintenance (DBOM) Services from qualified teams with experience in implementation, integration, operation, maintenance, management, and the design, construction, p g „ • i n of an overall • ht of a Smart Citystreet lighting system("the Project"), starting with the creation oversight Smart City LED Street Lighting Conversion Master Plan to guide the vision direction of the "future and ED Street LightingConversion Master Plan should proof" the City Project. The Smart City L Page 35 of 390 by planning forte h integration of the smart services of tomorrow that the City can implement in a phased approach. The dg apply design should a 1 the concepts of Lighting Master Plan to all elements of the city smart lighting conversion and utilize the improved street lighting network as a platform to not but as an open platform capable of integrating some of the existing smart only manage its streetlights, p . ' ' ° smart cityservices such as smart parking,traffic management, air quality and city initiatives and other u nd sensors electrical vehicles charging stations, security cameras, etc., in an effort to upgrade sou , the City's urban lighting an li htin systems, to promote energy conservation, public safety, and economic development; and to9 ensure the effective long-term-term operation, maintenance, and management of the systems. The City mayrequire a finance component, which will enable the system's upgrade, operation, maintenance and management, while providing a pricing structure that meets the City's cost and budget objectives. RFQ PROCESS On June 7, 2017, the Cy it Commissionapproved the issuance of Request for Qualifications {RFQ} Smart CityStreet Lighting System-- Design, Build, Operate, and Maintain. On No. 2017-119-KB for g g June 14, 2017, the RFQ was issued. A voluntary pre-proposal conference to provide information to the proposers submitting a response onse was held on June 23, 2017. RFQ responses were due and p 14, 2017. The Cityreceived proposals in response to the RFQ from the following received on August nine (9)firms: • Airis USA, LLC • Ameresco, Inc. • Citelum US, Inc. • Horsepower Electric, Inc. • Johnson Controls, Inc. • MasTec North America, Inc. • Miami Beach Smart Lighting Partners • Noresco, LLC • Siemens Industry, Inc. City Manager appointed the Evaluation Committee via LTC # 382-2017. The On July 26, 2017, the G ty g pp g Evaluation Committee convened on August 23, 2017 to consider proposals received. The committee was comprised of Roy Coley, Assistant Director, Public Works Department, City of Miami Beach; David Martinez, Director, Office of Capital Improvement Projects, City of Miami Beach; Margarita Wells, Acting Director, Environment & Sustainability Department, City of Miami Beach and Ana Zecchini,, Applications Division Director, Department of Information Technology, City of Miami Interim Beach. The Committee was provided an overview of the project, information relative to the City's and the Government Sunshine Law. The Committee was also provided Cone of Silence Ordinance with general information on the scope of services and a copy of each proposal. The Committee was and rank each proposal pursuant to the evaluation criteria established in the instructed to score p p RFQ. The evaluation process resulted in the ranking of proposers as indicated attachment A, in the following order: 1st Johnson Controls, Inc. 2nd Miami Beach Smart Lighting Partners 3rd Horsepower Electric, Inc. 4th Noresco, LLG 5th Citelum US, Inc 6th Ameresco, Inc. 7th MasTec North America, Inc. 8th Siemens Industry, Inc. 9th Airis USA, LLC Page 36 of 390 Furthermore, on October 23, 2017, the City Manager, as a part of his due diligence in making a recommendation City i n for award to Commission, requested presentations by firms wishing to be considered for award pursuant to the RFQ. CONCLUSION The recent photometricanalysisCity lighting of the li hting indicated that certain improvements are needed to address deficienciesenc�es in how certain Cityareas are illuminated. In addition, the emerging fields of technology under the umbrella known as "Smart City" provide some exciting possibilities for addressing the lighting p im rovements in a proactive and future-driven manner, as well as possibly moving towards the ultimate goal of an interconnected City. Finally, many of the Smart City technology providershavedeployed de to ed solutions to engage both residents and staff, through the use of g computerized maintenance management systems (CMMS), to better manage and maintain these systems. For all of these reasons, I have determined that this project, with its current and future opportunities to maximize services to residents, while simultaneously assisting staff in improving the effectiveness and efficiencyCity of street lighting and Smart City operations, is an incredibly important project for the Administration. potential impact of this project, following the Evaluation Committee's initial review of Because of the p requested each proposer to make presentations of each team's qualifications and project proposals, I p p approach as part ofmy diligence due dill ence in making an award recommendation to the City Commission. I found this to be animportantstep my indue diligence because the RFP clearly indicates that, despite the results of the Evaluation Committee process, my recommendation to the City Commission may thediffer from p proposer ro rankingresulting from the Evaluation Committee's review of proposals. The sessions werehighlighted informative and hi hli hted important aspects of both qualifications of the firms team'sapproach to the project. While, in the end, my recommendation does differ and each g somewhat from the rankings of the Evaluation Committee, I do believe that my recommendation is project with a what of this sort will require to be successful and what I believe are the demonstrated experiencesqualifications and of each proposer to move the City forward with improved lighting, proven Smart City technologies, and resident engagement. p After review of the proposals and consideringthe presentations provided by each firm, I concur with p the Evaluation Committee and find Johnson Controls to be the best qualified firm for the project. isalreadya lead provider in Smart Building technologies, and is proving itself as Johnson Controls in field of Smart Citytechnologies. The firm, in my opinion, presented the most leader in emerging the qualifications package for today's needs, including lighting improvements around comprehensive p g City, as well as creatinga vision for a Smart City future. In addition to its experience in lighting improvement projects, its proposal has well documented its team's experience including some of the following highlights: • a well-rounded team of experts in lighting master plans and improvements, the engineering o Xp expertise of C 1-12M networkingservices provided by Hotwire Communications, and a careful consideration of the importance of public outreach with the assistance of Infinite Source a p Communications; and • prove n experience in similar large scale street lighting projects (the City is contemplating approximately 8,200 lighting units); and • a careful consideration of the environmental impacts of such a project, including the impact to sea turtle habitats; and • andira of the importance of public outreach and engagement utilizing local a clear understanding p public outreach professionals currently leading public outreach for the Miami experts, including Beach Convention Center renovation project; and • experience ina deliveringa number of projects through public/private financing options that could provide the City with funding/financing options. Page 37 of 390 and third ranked proposers, my recommendation differs from the Evaluation With respect to secondp p Committee's ranking. The Evaluation Committee has ranked Miami Beach Street Lighting Partners US, Inc. as the second and fifth ranked proposers, respectively. While they are both well and Citelum of ualifcations q ualified f rms, it is my opinion that the Citelum proposal has provided a combination q andtechnologicalapproach a roach that are better suited for the City's requirements and world-class reputation, including: • roven experience and an understanding of the demands and expectations of working on p � lighting projects for world class cities(including Copenhagen, Paris, Madrid and Bordeux); and • a valuableartnershi with Cisco Systems, a leading provider of technology infrastructure p p solutions for the Smart City functionalities; and • a careful consideration of the importance of aesthetics, both in street light and other artistic lighting projects; and • a robust bust C M M S portal for customers/residents to report issues and to assist staff in managing maintenance of assets. wouldalso note that RoyColey, Public Works Department Assistant Director, who oversees street I Y lighting operations, has also ranked Citelum as the second ranked proposer. Miami Beach Street Lighting Partners also provided a good set of qualifications, including: • a well detailed maintenance plan; and • an understanding of the importance of stakeholder communications; and • a well-qualified team of individual firms. several areas of Miami Beach Street Lighting Partners raised a number of concerns for a However, , the proposal, submitted by a complex and, possibly, longer term project such as this one. Primarily, . n ortium of five (5) individual firms, was unclear as to which firm would be the City s primary cos partner responsible for successful deployment of the project(s). While the RFQ does not specifically prohibit joint this sort of venture, in this case I find the combination of so many firms acting as primary partners with City i h the not to be advantageous to the overall success of the project. Further to this point, in its proposal Miami Beach Street Lighting Partners has indicated that the City's lead or main point of contact will change throughout the phases of the project.At one time during the presentation, the team did state that the overall lead firm for the project would be Star America, the finance/developer team member. However, this appears to deviate from what the team originally stated in its proposal indicatingthat there would be several team firms that would be interacting with p solelyor simultaneously. The lack of clarity in this area raises concerns for the ability the City, either Y of so many team members to deploy a project successfully, and for the City to hold a single party accountable. Additionally, while all team firms appear to be individually qualified, the issues raised above are Add Y} especially concerning since it is difficult to ascertain the number of similar projects that the firms constituting Miami Beach Street Lighting Partners have successfully completed as a team. From its proposal, it appears that four of the five team member firms have collaborated together on only one project. For the reasons stated herein, I recommend that the Mayor and City Commission approve the Resolution authorizingthe Administration to enter into negotiations with Johnson Controls, Inc., as the top ranked proposer; and should negotiations with Johnson Controls, Inc., fail, authorizing the g Administration to enter into negotiations with Citelum US, Inc., as the second highest ranked and, should negotiations with Citelum US, Inc., fail, authorizing the Administration to enter proposer; g into negotiations with Miami Beach Street Lighting Partners, as the third highest ranked proposer;oser; further, authorizing the Mayor CityClerk to execute the agreement with the successful firm. Y and Page 38 of 390 FINANCIAL INFORMATION TBD. Legislative Tracking Public Works/Procurement ATTACHMENTS: Description D Attachment A a Firm Summaries D Resolution Page 39 of 390 Y C O) CO to c ,- N., N 'd' ti R3 CL w 1- < 0 � IIICI) CC V' }a- M N r rco N O r N Q 1 0 J MOM Mil C) C Y a) to st .' N CO N CO iD C R IX 11..1114300Z euV r o N a) ami co co o co© C) f2 a) to co V' N P- r M CO C 03 CLQ S11aM em.te6ieI w) co ti copti coON CD CD CD 5c a) to CO d' r ti N N 00 C CO Cr zau};ae J Piney in cogto w vii ti cogco� en CD C) C a) CO N et r CD CO C.) to C03 a Cr to 0 0 a) © Q' dalo3 Aou to ca ato o co o�0 0 0� oa. Z V) S2 Z Z i- in Q W © .EWV D Z V Q E E m D = QZ CO I— Mm >. a cc ay. u) w c of tm Av- ZCv- �.. I— Lu S._ v c LL.F-- r �_ ii; E ♦. ta C. d WN -! � J c = w s t 0 �' u., it © d v 0 c z 0 o W W D u E ° o m CO C) :, F. = N = H. _E o E I-- !n o a,' '' z CO cu o m Cl) a U i - 2 E z co A summary, based on the information contained in the proposals, of each of the three top- ranked firms follows: Johnson Controls, Inc. According to the firm, developing a future proof smart city program requires significant technological expertise and real world implementation experience. They have evaluated several potential partners and assembled a cohesive team that brings the smart city expertise, project experience, local utility knowledge and understanding of local stakeholders that will help turn Miami Beach into a smart island. As the team leader in the Smart Street Lighting project, Johnson Controls will be ultimately responsible for all aspects of the project design, financing, community outreach and implementation. CH2M brings their extensive smart city planning experience from around the country and the world. Hotwire Communications has implemented major related communications networks and will be the telecommunications manager. Infinite Source Communications Group brings established relationships with Miami Beach stakeholders from leading the public outreach efforts of several major projects. With the experience of Johnson Controls, their partner firms and the key personnel they have dedicated to Miami Beach, they will help the City improve the lighting infrastructure to preserve the history and beauty of the city, establish appropriate light levels, and reduce energy and maintenance costs while maintaining the occurrence and density of sea turtle nesting through environmentally sensitive technology. The system will improve the safety of area streets by implementing a Johnson Controls solution focused on adaptable and expandable technology. A Johnson Controls lighting system is intelligent, adaptable and future ready and can be connected to other systems that monitor gunshot detection, street flooding, air quality, traffic flow and parking needed for a world class cultural entertainment tourism capital and international center for innovation and business. Citelum US, Inc. According to the firm, Citelum is a global expert with respect to Lighting Master Plans and has provided planning services to cities across the globe. Streetlights are no longer simply a means to light roadways and neighborhoods. The location of streetlight assets throughout the city means that a modern streetlight system can serve as a data communication network and the foundation of a truly "smart city." As such, it is necessary that such a network be robust enough not only to serve the City's current needs, but to serve them well for many years into the future as technology evolves. Citelum believes that its experience in designing and implementing world-class smart city solutions, as well as its partnership with Cisco, positions the firm to exceed the City's goals in implementing the solution sought by the City in its RFQ. Cisco has worked with cities across the globe to create Cisco® Smart+ConnectedTM Communities solutions that accommodate the diverse conditions found in each city. The Cisco® Smart+Connected Digital Platform, part of the Smart+Connected Communities solution set, connects a city's digital services and infrastructure, from devices to applications, into a cohesive view that can easily extend to include other services. All that is required is integration with Cisco's APIs, and any sensor and application will function within one integrated, cohesive infrastructure. This allows seamless integration of technology currently on the market, as well as technology released in the future. While the technology aspect of lighting is important to the future of the City, so are the functional and aesthetic aspects of its lighting. Citelum manages over 2.5 million streetlights around the world and believes that decades of experience uniquely qualify the team to ensure that the right light, for the right application, for every location of the City of Miami Beach is planned, installed Page 41 of 390 and maintained. Additionally, its global artistic lighting experience with such iconic structures as the Eiffel Tower, Tower Bridge in London and the Case Memorial Bridge over the Potomac in Washington, DC will allow it to bring unique and beautiful artistic lighting designs to Miami Beach. Miami Beach Smart Lighting Partners (MBSLP) According to MBSLP, the firm will lead, develop and deliver this innovative project, providing unparalleled collective experience. The firms that have come together to form the project team are all national and global leaders in smart city and lighting design, construction, asset management, maintenance and finance. The team believes this makes MBSLP uniquely qualified to deliver a state of the art, first of its kind smart lighting platform for the City of Miami Beach. This is the exact same team of companies is just days away from an on —time completion of the construction phase of the Metro Region Freeway Lighting P3 Project in Michigan (MDOT Lighting P3 Project). This ground-breaking project is the first LED roadway lighting public private partnership (P3) in the United States. With MBSLP, the City will benefit from a team that has recently worked together successfully gaining this profoundly relevant experience. Every best practice of the MDOT Lighting P3 Project, as well as the team's collective experience working on similar projects, will ensure a state of the art system, utilizing cutting edge technologies and exceeding the City and its resident's expectations for the project. Their team also recognizes the strong desires for the City of have a robust and comprehensive stakeholder and local community outreach initiative, to listen and engage its citizens in the development of this project. To meet this important project need, their team has brought on Media Relations Group, LLC (MRG) to help facilitate that interaction. MRG will lead discussions, solicit feedback and input, provide education, information and customer support throughout the entire project. Page 42 of 390