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2018-30268 ResolutionRESOLUTION NO. 2018 -30268 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER AND WAIVING, BY 5 /7THS VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE CITY'S BEST INTEREST, AND AUTHORIZING THE PURCHASE OF STAGERIGHT EQUIPMENT FROM STAGERIGHT CORPORATION, TO SUPPLEMENT THE EXISTING INVENTORY OF STAGE EQUIPMENT AT THE MIAMI BEACH CONVENTION CENTER, IN AN AMOUNT NOT TO EXCEED $600,000.00; FURTHER, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH STAGERIGHT CORPORATION; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, on July 2, 2003, the Mayor and City Commission awarded a competitively procured contract to Stageright Corporation ( "Stageright "), the lowest responsive and responsible bidder, pursuant to Invitation to Bid (ITB) 17- 02/03, for the replacement of the performance stage and riser equipment at the Miami Beach Convention Center ("MBCC"); and WHEREAS, since 2003, the performance stage equipment provided by Stageright has proven to be reliable, maneuverable, and easy to install; and WHEREAS, the Stageright equipment is not compatible and cannot be installed alongside equipment of other manufacturers, as there is no other system in the market that allows the equipment to interlock without creating a trip or safety hazard; and WHEREAS, with the expansion of the MBCC, the MBCC anticipates that additional stage equipment will be necessary in order to serve its clients; and WHEREAS, in order to accommodate MBCC client needs, the MBCC seeks to increase its inventory of stage equipment, which currently consists of: • eighty -eight (88) 4' x 8' stage decks; • sixteen (16) stage supports; • five (5) 4' rails; • twenty -two (22) 8' rails; • four (4) 8' stairs; • two (2) folding /adjustable stairs; • twenty -four (24) black skirting 6'8'; and • (120) portable stages 6'x 8'; and WHEREAS, MBCC seeks to purchase additional equipment as follows, which amounts to less than fifty percent (50 %) of the MBCC's current inventory: • approximately forty (40) 6' x 8' portable stages; • approximately three hundred (300) black skirting for portable stages; • approximately one (1) 60' x 40' performance stage (includes sound wings, rails, stairs, carts, etc.); and • approximately one (1) black skirting for performance stage; and WHEREAS, Stageright has informed the City, via a letter attached to the City Commission Memorandum accompanying this Resolution, that it is the only authorized reseller of Stageright products; and WHEREAS, in order to introduce alternate manufacturers for competitive purposes, the City would need to discard its significant existing inventory of Stageright equipment, which would be costly and inefficient; and WHEREAS, continuing to purchase Stageright brand stage equipment will allow for interchangeability of parts and equipment, increase the operational design and flexibility of the center, as well as reduce costs associated with introducing another stage system, other than the system currently in place; and WHEREAS, given the incompatibility of other products, the City would not be successful in soliciting competitive bids for stage equipment, and accordingly, the City Manager recommends the purchase of the Stageright equipment, as being in the best interests of the City. 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 and waive, by 5 /7ths vote, the formal competitive bidding requirements, finding such waiver to be in the City's best interest, and authorize the Administration to purchase additional stage equipment from Stageright Corporation to supplement the existing inventory at the Miami Beach Convention Center, in an amount not -to- exceed $600,000; further, authorize the Administration to negotiate an agreement with Stageright Corporation; and further authorize the Mayor and City Clerk to execute an Agreement upon conclusion of successful negotiations by the Administration. PASSED AND ADOPTED this /1 day of 400 2018. ATTEST: RAFAEL E. GRANADO, CITY CLERK T:\AGENDA\2018 \04 April \Procurement \MBC MBCC.doc DAN GELBER, `` YOR 64ti pm i ac eritA\ NCCRPi (CRATED APPROVED AS TO FORM & LANGUAGE Stageright Corporations s n u 0t611ON oQ,L0 i 3 -Z1-(C City Attorney ok, Date EXHIBIT A STAGERI GHT 495 PIONEER PARKWAY CLARE, Ml 48617 800458.4499 March 12, 2018 Zuleika Davidson City of Miami Beach Miami Beach, FL 33139 Dear Zuleika, Please let this serve as StageRight Corporation's verification letter that StageRight Corporation is the sole manufacturer and seller of its staging and riser products. The StageRight system is based on a proprietary design of interchangeable pieces that are only suitable for StageRight manufactured components. If you have any questions, please feel free to call me at 989- 430 -4967. Sincerely, Matt Widenmier StageRight Corporation — Regional Sales Manager Ph: 989 -430 -4967 Fax: 989-386-3500 E- Mail: mwidenmier a,stageright.com MIAM BEACH Resolutions - C7 X COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: April 11, 2018 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER AND WAIVING, BY 5 /7TH VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE CITY'S BEST INTEREST, AND AUTHORIZING THE PURCHASE OF STAGERIGHT EQUIPMENT FROM STAGERIGHT CORPORATION, TO SUPPLEMENT THE EXISTING INVENTORY OF STAGE EQUIPMENT AT THE MIAMI BEACH CONVENTION CENTER, IN AN AMOUNT NOT TO EXCEED $600,000.00; FURTHER, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH STAGERIGHT CORPORATION; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL N_ EGOTIATIONS BY THE ADMINISTRATION. RECOMMENDATION Approve the Resolution. ANALYSIS On July 2, 2003, the City of Miami Beach Mayor and Commission awarded a contract, pursuant to Invitation to Bid (ITB) 17- 02/03, to Stageright Corporation, the lowest responsive and responsible bidder to the ITB, for the replacement of the performance stage and riser equipment at the Miami Beach Convention Center (MBCC). Since the award, MBCC has been successfully utilizing Stageright's stage equipment to configure the stages to meet the needs of its clients at the various events hosted at the center. The convention center manager, Spectra, has found the Stageright equipment to be reliable, maneuverable, free of defects, and easy to install. With the expansion and addition of multiple usable spaces at the Miami Beach Convention Center, the center will need to expand its current inventory of stage equipment. The current inventory is significant and includes the following items: eighty -eight (88) 4' x 8' stage decks, sixteen (16) stage supports, five (5) 4' rails, twenty -two (22) 8' rails, four (4) 8' stairs, two (2) folding /adjustable stairs, twenty -four (24) black skirting 6'8' and (120)portable stages 6'x 8'. Spectra has notified the Administration that in to serve the needs of the expanded center, the 714 following equipment will be necessary to supplement the current inventory: • approximately forty (40) 6' x 8' portable stages, approximately three hundred (300) black skirting for portable stages, approximately one (1) 60' x 40' performance stage (includes sound wings, rails, stairs, carts, etc.), and • approximately one (1) black skirting for performance stage. Spectra also recommends that the City continue to purchase Stageright Corporation brand stage equipment as it is durable, easy to install and its staff is well versed in the installation of the interlocking units. Continuing to utilize the Stageright brand will allow for interchangeability of parts and equipment, increase the operational design and flexibility of the center, as well as reduce costs associated with introducing another stage system to what is already in place. Stageright has informed the City that it is the sole manufacturer and seller of its staging equipment (see Exhibit A). The Stageright stage system is based on a proprietary design of interchangeable pieces that are only suitable for its manufactured components. Hence, Stageright's equipment will not be compatible and cannot be installed alongside other provider's stage equipment as each system in the market has its own unique interlocking systems that minimize the potential for trips and falls. To competitively procure the necessary stage equipment from alternate manufacturers, the center would need to discard its current inventory. Aside from the added costs, the center will need to invest time and funding to re -train staff on a new system with respect to installation, safety, and stage configurations. Furthermore, since the systems will not likely be compatible, having inventory from various manufacturers would impact the coordination, organization, flexibility of scheduling, ease of installation, and configurability of the events hosted at MBCC which require this stage equipment. Since, Stageright is the only authorized reseller of its product and has a direct purchase policy, the City will not be successful in soliciting competitive bids for its performance stage equipment. Therefore, the Administration finds that it is in the City's best interest to procure the additional stage equipment, which amount to less than fifty (50) percent of the current inventory, from Stageright. The Center currently has 120 units of 6x8 Stage Right staging that were bought in 2002 that are still in good shape. The Stageright product is extremely durable and the useful life of these units can exceed 25 years if properly taken care of. This item is to add additional inventory to allow the Center to service multiple events in the MBCC at the same time. With the addition of the 2 new Ballrooms, we expect this to be a frequent occurrence. By keeping the existing units in inventory, the City will save almost $450,000 towards FF &E. The purpose of this item is to seek the City Commissions approval to waive the competitive bidding requirements of the City and authorize the Administration to purchase the additional stage equipment to supplement what is currently in place from Stageright Corporation. CONCLUSION Based on the foregoing, the City Manager recommends that the Mayor and City Commission hereby accept the recommendation of the City Manager and waive, by 5 /7ths vote, the formal competitive bidding requirements, finding such waiver to be in the City's best interest, and authorize the Administration to purchase additional stage equipment from Stageright Corporation to supplement the existing inventory at the Miami Beach Convention Center. 715 Legislative Tracking Tourism, Culture and Economic Development /Procurement ATTACHMENTS: Description D ExhibitA Resolution 716 EXHIBIT A STAGE 495 PIONEER PARKWAY CLARE, MI 48617 800. 438.4499 March 12, 2018 Zuleika Davidson City of Miami Beach Miami Beach, FL 33139 Dear Zuleika, Please let this serve as StageRight Corporation's verification letter that StageRight Corporation is the sole manufacturer and seller of its staging and riser products. The StageRight system is based on a proprietary design of interchangeable pieces that are only suitable for StageRight manufactured components. If you have any questions, please feel free to call me at 989 -430 -4967. Sincerely, Matt Widenmier StageRight Corporation — Regional Sales Manager Ph: 989- 430 -4967 Fax: 989 -386 -3500 E -Mail: rnwidentnier@stagerig,ht.com 717 EXHIBIT A STAGER!GHT 495 PIONEER PARKWAY CLARE, MI 48617 800 - 438 -4499 March 12, 2018 Zuleika Davidson City of Miami Beach Miami Beach, FL, 33139 Dear Zuleika, Please let this serve as StageRight Corporation's verification letter that StageRight Corporation is the sole manufacturer and seller of its staging and riser products. The StageRight system is based on a proprietary design of interchangeable pieces that are only suitable for StageRight manufactured components. If you have any questions, please feel free to call me at 989 -430 -4967. Sincerely, Matt Widenmier StageRight Corporation — Regional Sales Manager Ph: 989 -430 -4967 Fax: 989 -386 -3500 E -Mail. mwidenmiercr�stageright.com 720