Agreement with Hotwire Communications, LTD amend#1 do03- 303 l2
AMENDMENT NO. 1 TO THE INTERNET CONNECTIVITY SERVICES AGREEMENT
BETWEEN
THE CITY OF MIAMI BEACH, FLORIDA
AND
HOTWIRE COMMUNICATIONS, LTD.
This Amendment No. 1 (Amendment) to the Internet Connectivity Services Agreement,
dated January 25, 2019 (Agreement), by and between the City of Miami Beach, Florida, a
municipal corporation organized and existing under the laws of the State of Florida, having its
principal place of business at 1700 Convention Center Drive, Miami Beach, Florida 33139 (City),
and Hotwire Communications, Ltd., a Pennsylvania limited partnership, having its principal place
of business at 2100 Cypress Creek Road, Fort Lauderdale, Florida 33309 (Contractor), is entered
into this 17-'` day of S.Z ),, _.r , 2019 (Effective Date):
RECITALS
WHEREAS, on July 25, 2018, the Mayor and City Commission of the City of Miami Beach,
Florida, adopted Resolution No. 2018-30392, accepting the recommendation of the City Manager
pursuant to Request for Proposals (RFP) No. 2018-153-JC for Wide Area Network (WAN) and
Internet Connectivity Services (the RFP), and authorizing the Administration to enter into
negotiations for Group 1 (internet connectivity services) with Hotwire Communications Ltd, the
top ranked proposer for Group 1; and, if the Administration was not successful in negotiating an
agreement with Hotwire Communications Ltd, for Group 1, authorizing the Administration to
negotiate an agreement with Crown Castle, the second-ranked proposer for Group 1; and
authorizing the Administration to enter into negotiations for Group 2 (WAN services) with AT&T
Corp., the top ranked proposer for Group 2; and, if the Administration is not successful in
negotiating an agreement with AT&T Communications,for Group 2, authorizing the Administration
to negotiate an agreement with Crown Castle, the second-ranked proposer for Group 2; and
WHEREAS, on January 25, 2019 (the "Effective Date of the Agreement"), the City and
Contractor executed the Agreement, pursuant to the RFP, for Contractor to build, at its sole cost
and expense, a new dedicated fiber optics infrastructure, specifically designed for the City and
defined herein as the"System", and described in Exhibit"A"to the Agreement, in order to provide
fast speed internet connectivity services (the "Services") to the City Properties delineated in the
Agreement (each a "Site"); and
WHEREAS, upon completion of the installation of the System, the City will pay Contractor
for the enhanced interconnectivity Services, based upon the Contractor's Pricing Proposal,
attached to the Agreement as Exhibit"C"; and
WHEREAS, the parties wish to correct the corporate name for Contractor throughout the
Agreement to reflect Hotwire Communications, Ltd.; and
WHEREAS, as a result of permitting delays, Contractor has not been able to bring all the
City Properties on line as anticipated and is requesting that the Agreement be modified to reflect
that the Term shall commence as of the date Contractor substantially completes the installation
of the interconnectivity Equipment (as defined herein) and all of the Sites have commenced
receiving the connectivity Services; however, not to exceed one year from the Effective Date of
the Agreement; and
WHEREAS, additionally, Contractor is requesting the addition of language specifically
providing Contractor with access to each Site for the installation of the interconnectivity Equipment
that Contractor needs to install in order to provide the City with the agreed upon Services.
NOW THEREFORE, in consideration of the mutual promises and conditions contained
herein, and other good and valuable consideration, the sufficiency of which is hereby
acknowledged, the City and Contractor hereby agree to amend the Agreement as follows:
1. ABOVE RECITALS.
The above recitals are true and correct and are incorporated as part of this Amendment.
2. MODIFICATIONS.
The Agreement is hereby amended (deleted items s#r-usk-through and inserted items underlined)
as follows:
(a) Section 1 of the Agreement is hereby modified as follows:
1. RECITALS AND INCORPORATIONS:
The recitals are true and correct and are hereby incorporated into and made a part
of this Agreement. The City's RFP, as well as Addendum 1 to the RFP, is hereby
incorporated into and made a part of this Agreement and attached hereto as
Exhibit "BD." The Scope of Work is hereby incorporated into and made a part of
this Agreement and attached as Exhibit "A." The Contractor's Pricing Proposal
dated, July 2, 2018, is hereby incorporated into and made a part of this Agreement
as attached hereto as Exhibit"C." The Contractor's Commercial Service Terms is
hereby incorporated into and made a part of this Agreement as attached Exhibit
"OB."
(b) Subsection 3 of Section 2(DEFINITIONS)is hereby deleted in its entirety and replaced
with the following:
3) "Change Order, "Service Order" or "Amendment" means a written document
ordering a change in the Contract Price or Contract Time or a change in the Work.
Any Change Order, Service Order or Amendment must be duly executed by the City
Manager, and any Change Order, Service Order or Amendment in excess of$100,000
shall be subject to the prior approval of the City Commission.
(c) The following definitions are hereby added to Section 2 (DEFINITIONS):
1. DEFINITIONS.
10) "Equipment" shall mean all fiber optic wiring, telecommunications equipment, Wireless
Node (as defined below), communication facilities and materials necessary to provide the
Services to the Sites.
(11) "Wireless Network Node (Wireless Node)" shall encompass ODAS, small cell, CRAN,
antenna facilities, or any successor technology provided and installed by Contractor which are
used to improve wireless capacity, coverage or quality of interconnectivity Services at the Sites.
2
(d) Section 3 of the Agreement is hereby deleted in its entirety and replaced with the
following:
3. TERM:
The term of this Agreement shall commence on the earlier of: (1) the date when all of the Sites
have gone live for connectivity Services, or(2)the date which is one year from the Effective Date
of the Agreement.
(e) The following new subsections are hereby added to Section 4 (SCOPE OF
SERVICES):
E. GRANT OF RIGHTS: The City hereby grants to Contractor the right, privilege and
authority to access, construct, reconstruct, relocate, replace, operate, repair, maintain and at its
discretion remove any Equipment, as necessary, including during and after standard business
hours, and the right and license necessary to install the System at the approved Sites. Unless in
the case of an emergency, Contractor shall provide the City with prior notice, at least forty-eight
(48) hours in advance, when Contractor needs to access a Site after standard business hours.
The City grants Contractor the right to enter the Sites to (a) determine the viability of the Site for
the installation and maintenance of the System; (b) install, maintain, repair or replace the
Equipment on the Site and (c) connect the System to Contractor's system.
F. ELECTRICITY: The City agrees that it shall provide electrical power for each Wireless
Node, such power requirement being maximum of 200 watts or that of a light bulb to power such
device at no cost or fee.
G. THE SYSTEM: Prior to the purchase or installation of the System, Contractor will submit
to the City design plans specifying the location and nature of the installation of the System,
including the location of the Wireless Node provided by Contractor(the "Plans"). Contractor will
not commence the build-out of the System until the City, in its proprietary capacity, through the
City Manager's designee, has approved, in writing, the Plans. Upon the City Manager's designee
approving the Plans, Contractor will be responsible, at its sole cost and expense, for securing all
required regulatory approvals including, without limitation, all necessary permits, licenses and
approvals in connection with the installation and maintenance of the System, including any
Equipment installed in connection therewith. The sketch describing the location of the Equipment
for each Site will be part of the permit application relating to the installation of the Equipment.
Additionally, the City Manager, in the City Manager's sole discretion, may grant Contractor the
right to use and access a mutually agreed upon space, which could be located on a portion of the
roof to install a portion of the Equipment required to provide the Services during the term of the
Agreement. The location of, and description of, the Equipment(as well as any redundant backup
equipment) which Contractor would like to install at a Site, shall be described and attached as
Exhibit "A-1" to the Agreement. Contractor will complete the System installation, removal and
maintenance in such a manner that minimally interrupts the City's or its tenant's operations at the
Sites. Contractor will use qualified contractors or service providers approved by Grantor for such
activities. Subject to applicable law or regulation, it is understood that Contractor owns the entire
System and all infrastructure that it installs. Within ninety (90)days from the expiration or earlier
termination of this Agreement ("Removal Period"), Contractor shall be permitted to remove from
all the Sites Contractor's telecommunications equipment and Wireless Node (excluding fiber or
underground wiring). Additionally, within said Removal Period, Contractor will also remove any
other Equipment(other than any underground conduit or vaults) that the City requests and shall
restore the Sites impacted by such removal to the original condition prior to the Effective Date,
ordinary wear and tear excepted. Contractor shall bear all costs and expenses to repair any
3
damage to the Site caused by Contractor. Any Equipment remaining after the Removal Period
shall be considered abandoned and, at the option of the City, shall become property of the City
or may be disposed by the City at Contractor's expense.
H. NO LIEN: Contractor shall not cause any documentation evidencing this Agreement to be
recorded in the public records. Contractor will not permit any UCC-1 or other encumbrance to be
filed against the Equipment. In the event any notice of(1)a violation of this section or(2)a claim
of lien is asserted against the interest of the City on account of or arising from any work done by
or for Contractor, or any person claiming by, through or under Contractor, or for improvements or
work, the cost of which is the responsibility of Contractor, Contractor agrees to have such notice
or claim of lien cancelled and discharged within thirty(30) days after written notice to Contractor
by the City. In the event Contractor fails to do so, the City may terminate this Agreement for
cause without liability to the City.
I. HAZARDOUS MATERIALS: Hazardous Materials shall mean (i)any explosive or
radioactive substances or waste, petroleum or petroleum distillates, asbestos or asbestos-
containing materials, polychlorinated biphenyls; (ii) any 'hazardous substances,' 'extremely
hazardous substance,' 'hazardous chemical,' 'toxic chemical,' 'hazardous waste' or 'pollutant,'
each as defined under Environmental Law; and (iii)any substance or waste regulated under any
Environmental Law.
Contractor shall not cause or permit the escape, disposal or release of any Hazardous Materials
on or from the Property in any manner prohibited by Law. Contractor shall indemnify and hold
the City harmless from any loss, damage,cost,or expense of the City, including,without limitation,
reasonable attorney's fees, incurred as a result of, arising from, or connected with the placement
by Licensee of any "hazardous substance" or "petroleum products" on, under, in or upon the
Property (including, without limitation, the Licensed Structure), as those terms are defined by
applicable Federal and State Statute, or any environmental rules and environmental regulations
promulgated thereunder; provided, however, that Contractor shall have no liability in the event of
the willful misconduct or gross negligence of the City, its agents, servants or employees. The
provisions of this subsection shall survive the termination or earlier expiration of this Agreement.
4. RATIFICATION.
Except as amended herein, all other terms and conditions of the Agreement shall remain
unchanged and in full force and effect. In the event there is a conflict between the provisions of
this Amendment and the Agreement, the provisions of this Amendment shall govern.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed
by their appropriate officials, as of the date first entered above.
THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.
4
FOR CITY: CITY OF MIAMI BEACH, FLORIDA
ATTEST:
By ,MO ,�
Raf el E. Gran do, City Clerk Jimmy 1 Morales City Manager
OCT - 31019 1�S
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FOR CONTRACTOR: a HOTWIRE COMMUNICATIONS, LTD.
, r ; ,,;'•• 0 BylI ire Communications LLC,
� ., . eral partner
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By:
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APPROVED AS TO
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Resolution No. 2018-30392
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR PROPOSALS (RFP) NO. 2018-153-JC
FOR WIDE AREA NETWORK (WAN) AND INTERNET CONNECTIVITY SERVICES;
AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS FOR
GROUP 1 (INTERNET CONNECTIVITY SERVICES) WITH HOTWIRE
COMMUNICATIONS, LTD, THE TOP RANKED PROPOSER FOR GROUP 1; AND, IF
THE ADMINISTRATION IS NOT SUCCESSFUL IN NEGOTIATING AN AGREEMENT
WITH HOTWIRE COMMUNICATIONS, LTD FOR GROUP 1, AUTHORIZING THE
ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH CROWN CASTLE
FIBER, LLC, THE SECOND-RANKED PROPOSER FOR GROUP 1; AND,
AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS FOR
GROUP 2 (WAN SERVICE) WITH AT&T CORP, THE TOP RANKED PROPOSER FOR
GROUP 2; AND, IF THE ADMINISTRATION IS NOT SUCCESSFUL IN NEGOTIATING
AN AGREEMENT WITH AT&T CORP FOR GROUP 2, AUTHORIZING THE
ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH CROWN CASTLE
FIBER, LLC, THE SECOND-RANKED PROPOSER FOR GROUP 2.
WHEREAS, wide area network ("WAN") and internet connectivity services are essential to the
Administration's ability to establish and support the daily business technology needs of all City
departments; and
WHEREAS, in 2015, the City of Miami Beach acquired WAN and internet services under a
piggyback agreement to a Palm Beach County School District contract; and
WHEREAS, the Administration determined that the City's interests would be better served
issuing its own competitive solicitation, with the anticipation of achieving a high level of service and
potentially lower costs; and
WHEREAS, on December 13, 2017, the Mayor and City Commission referred a discussion item
to the Finance and Citywide Projects Committee (the "Committee") regarding WAN services; and
WHEREAS, at its February 14, 2018 meeting, the Mayor and City Commission approved the
recommendation of the Committee, by way of Resolution No. 2018-30177, directing the City
Administration to issue a Request for Proposals (RFP) for WAN and Internet connectivity services; and
WHEREAS, on June 8, 2018, the City issued RFP No. 2018-153-JC, for Wide Area Network
("WAN") and Internet Connectivity Services; and
WHEREAS, a voluntary pre-proposal conference was held on June 15, 2018; and
WHEREAS, on July 3, 2018 the City received a total of five (5) proposals for Group 1, Internet
Connectivity Services, from AT&T Corp., Comcast, Crown Castle Fiber, LLC, Hotwire Communications,
LTD, and IPFone; and four (4) proposals for Group 2, for WAN Services, from AT&T Corp., Comcast,
Crown Castle Fiber, LLC, and Hotwire Communications, Ltd.; and
WHEREAS, the RFP stipulated that proposals for WAN and internet connectivity service would
be evaluated separately (e.g., all proposals received for WAN will be evaluated against other proposals
for WAN and all proposals received for Internet connectivity services would be evaluated against other
proposals for Internet connectivity services); and
WHEREAS, on July 17, 2018, the City Manager, pursuant to LTC No. 360-2018, appointed an
Evaluation Committee (the "Committee"), comprised of Monica Beltran, Assistant Director, Parking
Department; Steve Feldman, Lieutenant, Technical Operations Unit, Police Department; Lazaro
Guerra, Communications Manager, Fire Department; Nestor Navarro, GIS Manager, Public Works
Department; and Frank Quintana, IT Support Division Director, Information Technology Department;
and
WHEREAS, the Committee convened on July 17, 2018, to consider the proposals received; and
WHEREAS, the Committee was provided an overview of the project, information relative to the
City's Cone of Silence Ordinance and the Government Sunshine Law, as well as general information on
the scope of services and a copy of each proposal, and was instructed to score and rank each proposal
pursuant to the evaluation criteria established in the RFP; and
WHEREAS, the evaluation process resulted in the following order of ranking for each group in
the RFP:
For Group 1, Internet Connectivity Services:
1st Hotwire Communications, Ltd.;
2"d Crown Castle Fiber, LLC;
3rd AT&T Corp.;
4th Comcast;
5th IPFone; and
For Group 2, Wide Area Network ("WAN") Services:
1st AT&T Corp.;
2nd Crown Castle Fiber, LLC;
3rd Comcast;
4th Hotwire Communications, Ltd.; and
WHEREAS, after reviewing the results of the evaluation committee process, and the proposals
received, the City Manager exercised his due diligence (as more particularly set forth in the analysis
contained in the City Commission Memorandum accompanying this Resolution) and recommends that
the Mayor and City Commission approve the Resolution authorizing the Administration to enter into
negotiations for Group 1 (Internet Connectivity Service) with Hotwire Communications, Ltd., the top
ranked proposer for Group 1; and, if the Administration is not successful in negotiating an agreement
with Hotwire Communications, Ltd. for Group 1, authorizing the Administration to negotiate an
agreement with Crown Castle Fiber, LLC, the second-ranked proposer for Group 1; and, authorizing the
Administration to enter into negotiations for Group 2 (WAN Services) with AT&T Corp., the top ranked
proposer for Group 2; and, if the Administration is not successful in negotiating an agreement with
AT&T Corp. for Group 2, authorizing the Administration to negotiate an agreement with Crown Castle
Fiber, LLC, the second-ranked proposer for Group 2; and
WHEREAS, for future services, the City Manager recommends that the contract include a
provision that allows the City Manager to contract for services to new sites at the contract rates with the
selected contractor in Group 1 or 2 to expedite deployment of internet or WAN services to new sites as
necessary.
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 of the City Manager, pursuant to Request for Proposals (RFP) No. 2018-153-JC
for Wide Area Network ("WAN") and Internet Connectivity Services; authorize the Administration to
enter into negotiations for Group 1 (Internet Connectivity Services) with Hotwire Communications, Ltd.,
the top ranked proposer for Group 1; and, if the Administration is not successful in negotiating an
agreement with Hotwire Communications, Ltd. for Group 1, authorize the Administration to negotiate an
agreement with Crown Castle Fiber, LLC, the second-ranked proposer for Group 1; and, authorize the
Administration to enter into negotiations for Group 2 (WAN Services) with AT&T Corp., the top ranked
proposer for Group 2; and, if the Administration is not successful in negotiating an agreement with
AT&T Corp. for Group 2, authorize the Administration to negotiate an agreement with Crown Castle
Fiber, LLC, the second-ranked proposer for Group 2.
PASSED AND ADOPTED this a S day of 714/ 2018.
Dan Gelber, M . .
ATTEST:
At/q/Vir
Rafael E. Granado, City Clerk
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APPROVED AS TO
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FOR EXE, TION /
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Ci Attorn•.y �. Date
Agenda Item G 7 H
Date 7 Z>-/
MIAMI BEACH
City of Miami Beach, 1700 Convention Center Drive,Miami Beach, Florida 33139,www.miamibeachfl.gov
COMMISS ON MEMORANDUM
TO: Mayor Dan Gelber and Members of he City C;mmission
FROM: Jimmy L. Morales, City Manager 4,00P.-
DATE:
,jDATE: July 25, 2018
SUBJECT: A RESOLUTION OF THE MAY AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCE TING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR PROPOSALS (RFP) NO. 2018-153-
JC FOR WIDE AREA NETWORK ("WAN") AND INTERNET CONNECTIVITY
SERVICES.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
KEY INTENDED OUTCOME SUPPORTED
Build and Maintain Priority Infrastructure with Full Accountability.
FUNDING
No grant funding will be utilized for this project.
BACKGROUND
Wide area network ("WAN") and internet connectivity services are essential to the
Administration's ability to establish and support the daily business technology needs of all City
departments. WAN services are deployed at twenty-five (25) City facilities and a datacenter in
order to provide secure connectivity between these locations for internal network services and
access to critical systems. Internet connectivity services provide access to the internet at City
facilities that have minimal technical requirements, provide public wireless connectivity, host
property management control systems or are needed for a life safety application.
In 2015, the City of Miami Beach acquired WAN services under a piggyback agreement to a
Palm Beach County School District contract. Recently, the Administration determined that the
City's interests would be better served issuing its own competitive solicitation, with the
anticipation of achieving a high level of service and potentially lower costs.
In 2003, the City of Miami Beach acquired cable and internet services from Atlantic Broadband
LLC, resulting from the Federal Communications Commission's transfer of franchise
agreement from Charter Communications to Atlantic Broadband LLC. Recently, the
Administration determined that the City's interests would be better served by issuing its own
competitive solicitation, with the anticipation of achieving a higher level of service and potential
cost savings.
On December 13, 2017, the Mayor and City Commission referred a discussion item to the
Finance and Citywide Projects Committee (the "Committee") regarding wide area network
("WAN") services. At its February 14, 2018 meeting, the Mayor and City Commission
approved the recommendation of the Committee, by way of Resolution No. 2018-30177,
directing the City Administration to issue a Request for Proposals (RFP) for WAN and internet
connectivity services.
As a result, the Administration prepared Request for Proposals (RFP) 2018-153-JC to seek
proposals from qualified firms capable of providing the necessary WAN and Internet
connectivity services in order to meet the City's technology infrastructure requirements.
RFP PROCESS
On June 8, 2018, the City issued RFP No. 2018-153-JC, for wide area network ("WAN") and
internet connectivity services. Nine-hundred fifty-six (956) vendors were notified via Public
Purchase of the RFP. Subsequently, one-hundred forty-one (141) vendors accessed the RFP
notice via Public Purchase. A voluntary pre-proposal conference was held on June 15, 2018,
and was attended by five (5) vendors. RFP responses were due and received on July 3, 2018.
The City received a total of five (5) proposals for Group 1, Internet Connectivity Services, from:
AT&T, Comcast, Crown Castle Fiber, Hotwire Communications, and IPFone. Four (4)
proposals were received for Group 2, WAN Services, from: AT&T, Comcast, Crown Castle
Fiber, and Hotwire Communications. The RFP stipulated that proposals for WAN and Internet
connectivity service would be evaluated separately. In other words, all proposals received for
WAN will be evaluated against other proposals for WAN. Likewise, all proposals received for
Internet connectivity services would be evaluated against other proposals for Internet
connectivity services.
The Evaluation Committee was appointed by the City Manager pursuant to LTC# 360-2018, to
consider the responsive proposals received. The Committee convened on July 17, 2018 to
consider the responsive proposals received. The Committee was comprised of the following
individuals: Monica Beltran, Assistant Director, Parking Department; Steve Feldman,
Lieutenant, Technical Operations Unit, Police Department; Lazaro Guerra, Communications
Manager, Fire Department; Nestor Navarro, GIS Manager, Public Works Department; and
Frank Quintana, IT Support Division Director, Information Technology Department.
The Committee was provided an overview of the project, information relative to the City's Cone
of Silence Ordinance and the Government Sunshine Law. The Committee was also provided
with general information on the scope of services and a copy of each proposal. The
Committee was instructed to score and rank each proposal pursuant to the evaluation criteria
established in the RFP. The evaluation process resulted in the ranking of proposers as
indicated in Attachments Al (Internet) and A2 (WAN), in the following order:
Group 1, Internet Connectivity Services:
1St Hotwire Communications
2nd Crown Castle Fiber
3rd AT&T Corporation
4th Comcast
5th IPFone
Group 2, Wide Area Network("WAN") Services:
1' AT&T Corporation
2nd Crown Castle Fiber
3rd Comcast
4th Hotwire Communications
The following is a brief summary of the qualifications of the top ranked firms in each group
based on the information contained in each firms' proposal.
Hotwire Communications (1st Ranked - Group 1)
Hotwire Communications is a telecommunications company headquartered in South Florida,
with over 1,000 employees. Hotwire Communications has been in business since 2002. In
2017 the company moved its corporate headquarters to Fort Lauderdale, Florida into the
180,000 sq. ft., Category 5-proof, data and colocation center, known as Hotwire Technology
Center (HTC). Hotwire Communications has completed numerous local projects, including a
Small Cell deployment in the City of Hollywood, Florida, a mixed-use development to the
Brickell City Centre in Miami, Florida, and fiber optics communications services at the
Fountainbleu Miami hotel, making it the fastest hotel Wi-Fi in the United States.
AT&T Corporation (1st Ranked - Group 2)
AT&T Corporation is the world's largest telecommunications and technology company, serving
over 380 million people in their North American network, a global footprint reaching 200
countries, and employing over 249,000 industry specialists worldwide. According to their
proposal, AT&T Corporation will reliably provide the City with a network provider capable of
delivering an integrated technology solution, satisfying the networking demands of the City's
growing technology infrastructure. Additionally, AT&T Corporation will provide robust
professional support options for every element of network planning, design, deployment, and
service management.
Crown Castle Fiber (2nd Ranked - Groups 1 & 2)
Crown Castle Fiber is an S&P 500 fiber solutions and communications infrastructure company,
with over 20 years of industry experience. Crown Castle owns and operates approximately
40,000 cell towers and 60,000 route miles of fiber supporting small cells and fiber solutions
across every major US market. Crown Castle Fiber offers customers a complete suite of fiber-
based networking solutions including Dark Fiber, Ethernet, Wavelengths, SONET, Video,
Internet Access, and Collocation, According to its proposal, Crown Castle owns its entire fiber
network, and are directly invested in its integrity and can provide faster response times and
issue resolution as a result. Crown Castle continually receives the highest marks and reviews
in the industry for its operations and customer support. Since 2009, Atlantic-ACM has ranked
them first in the industry in categories including Network Performance, Provisioning, and
Customer Service.
CITY MANAGER'S RECOMMENDATION
After reviewing the results of the evaluation committee process, and the proposals received, I
note that the two top-ranked proposers in each group, as indicated in Attachments Al and A2,
received consistently high scores for the respective area for which they have been top-ranked
(internet service or WAN). Regarding pricing, staff has provided a cost analysis, based on the
prices in the proposals compared to current costs, indicated in the table below.
Internet Connectivity Services Estimated Annual Expenditure
Current Contract (Atlantic $22,500
Broadband)
Hotwire Communications $64,764
Crown Castle Fiber $89,892
For Internet services, staff conducted an analysis of existing and proposed service costs per the
RFP. The City currently spends approximately $22,500 per year in consumer grade Internet
circuits at various City sites due to the lack of adequate infrastructure at these locations. These
services have proven to be inadequate to address the necessary speeds and required
availability needed to provide City services. Hotwire's cost proposal projects the City's costs to
be $64,764 per year. Despite the $42,264 increase in service costs, the internet services
proposed by Hotwire will provide higher levels of service, scalability and resiliency needed to
properly support the City's enterprise platforms, public safety and priority infrastructure.
WAN Services Estimated Annual Expenditure
Current Contract (AT&T) $177,900
AT&T $127,164
Crown Castle Fiber $163,392
For WAN services, the City would yield cost savings totaling over $50,000 annually by
awarding a contract to AT&T, the top-ranked proposer.
Based on the foregoing, including a combination of qualifications and cost, I recommend that
the Mayor and City Commission approve the Resolution authorizing the Administration to enter
into negotiations for Group 1 (Internet Connectivity Services) with Hotwire Communications,
the top ranked proposer for Group 1; and, if the Administration is not successful in negotiating
an agreement with Hotwire Communications, for Group 1, authorizing the Administration to
negotiate an agreement with Crown Castle Fiber, the second-ranked proposer for Group 1.
For Group 2 (WAN Services), I recommend that the Mayor and City Commission approve the
Resolution authorizing the Administration to enter into negotiations for Group 2 (WAN Service)
with AT&T Corporation, the top ranked proposer for Group 2; and, if the Administration is not
successful in negotiating an agreement with AT&T Communications, for Group 2, authorizing
the Administration to negotiate an agreement with Crown Castle Fiber, the second-ranked
proposer for Group 2.
CONCLUSION
The Administration recommends that the Mayor and City Commission approve the Resolution
authorizing the Administration to enter into negotiations for Group 1 (Internet Connectivity
Services) with Hotwire Communications, the top ranked proposer for Group 1; and, if the
Administration is not successful in negotiating an agreement with Hotwire Communications, for
Group 1, authorizing the Administration to negotiate an agreement with Crown Castle Fiber,
the second-ranked proposer for Group 1; further authorizing the Administration to enter into
negotiations for Group 2 (WAN Services) with AT&T Corporation, the top ranked proposer for
Group 2; and, if the Administration is not successful in negotiating an agreement with AT&T
Communications, for Group 2, authorizing the Administration to negotiate an agreement with
Crown Castle Fiber, the second-ranked proposer for Group 2; further authorizing the Mayor
and City Clerk to execute an agreement with each of the successful proposers upon
conclusion of negotiations by the Administration.
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Resolutions - C7 H
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: July 25, 2018
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR PROPOSALS (RFP) NO. 2018-153-
JC, WIDE AREA NETWORK (WAN)AND INTERNET CONNECTIVITY SERVICES.
(ITEM TO BE SUBMITTED IN SUPPLEMENTAL)
RECOMMENDATION
Memorandum to be submitted in supplemental.
KEY INTENDED OUTCOMES SUPPORTED
Build And Maintain Priority Infrastructure With Full Accountability
Legislative Tracking
Information Technology/Procurement
Page 494 of 1464