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C2H-Award Contract Maintenance Of Street Lighting On State RoadsCOMMISSION ITEM SUMMARY Condensed Title: Request For Approval To Award A Contract To Under Power Corporation, Pursuant To Invitation To Bid (ITB) No. 44-11/12, For Maintenance Of Street Lighting On State Roads Within The Miami Beach City Limits, At The Rate Of $7.95 Per Light, Per Month, In The Total Annual Amount Of $77,464.80; And $0.50 Per Wi-Fi Node, Per Month, For A Total Annual Amount Of $510.00. Key Intended Outcome Supported: Maintain City's Infrastructure. Supporting Data (Surveys, Environmental Scan, etc.): The 2009 Customer Satisfaction Survey indicated that 87% of CMB street and landscape lighting assessed in good condition. Issue: Shall the City Commission Approve The Award of Contract? Item Summary/Recommendation: On June 8, 2012, Invitation to Bid (ITB) No. 44-11/12 was issued with an opening date of June 29, 2012. A Pre-bid conference to provide information to prospective bidders was held on June 19, 2012. BidNet issued bid notices to 158 prospective bidders. Additionally, the Procurement Division notified seven {7) local contractors, via e-mail, which resulted in the receipt of four (4) bids from the following vendors: American Lighting and Stabilization, Inc.; Enterprise Electrical Contracting, Inc.; Horsepower Electric, Inc.; and Under Power Corporation. An administrative review of the bidders' qualifications, experience, capability, and performance evaluations was conducted. Based on the analysis of the four (4) bids received, Mr. Mike Alvarez and Mr. Melvin Sarria (the Panel) recommended the lowest and best bidder, Under Power, based on price, experience, a nd past performance in working with the City over the past five (5) years. The Panel also agreed that Under Power's response time has been excellent. By awarding the contract to the lowest total bid, the City will realize a total annual cost savings of $21,608.88 from the current contract. Therefore, the Administration concludes that it would be in the best interest of the City to recommend the lowest and best bidder, Under Power. The Administration recommends Approving the Award. Advisory Board Recommendation: Financial Information: Source of Amount Funds: 1 $31,593.52 I 1E_ I 2 OBPI Total $31,593.52 Financial Impact Summary: N/A City Clerk's Office Legislative Tracking: Raul Aguila, for Procurement Director Si n-Offs: Department Director RA FB MIAMI BEACH Account General Fund for Public Works-Streets, Contract Maintenance Account No. 011-0840-000325 Total remaining for FY 2011/2012 81 AGENDA ITEM ---=C=---;2._/f_,___ DATE 7-/J-/l..- City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov TO: FROM: DATE: SUBJECT: COMMISSION MEMORANDUM Mayor Matti Herrera Bower and Members of the City Commission Kathie G. Brooks, Interim City Manager ~~ ~~ • July 18,2012 / REQUEST FOR APPROVAL TO AWARD A CONTRACT TO UNDERPOWER CORPORATION, PURSUANT TO INVITATION TO BID (ITB) NO. 44-11/12, FOR THE MAINTENANCE OF STREET LIGHTING ON STATE ROADS WITHIN THE MIAMI BEACH CITY LIMITS, AT THE RATE OF $7.95 PER LIGHT, PER MONTH, IN THE TOTAL ANNUAL AMOUNT OF $77,464.80; AND $0.50 PER WIFI NODE, PER MONTH, FOR A TOTAL ANNUAL AMOUNT OF $510.00. ADMINISTRATION RECOMMENDATION Approve the Award of the contract. KEY INTENDED OUTCOME Maintain City's Infrastructure. FUNDING Funding will be provided from the following account for remainder of Fiscal Year 2011/2012: $31,593.52 General Fund for Public Works-Streets, Contract Maintenance Account No. 011-0840-000325 For subsequent Fiscal Years, commencing October 1, 2012, the estimated annual cost of $77,974.80 associated with the maintenance of street lighting will be subject to funds availability approved through the budgeting process. ANALYSIS The purpose of this bid is to establish a contract, by means of sealed bids, for qualified vendor(s) for the supply of all labor, materials, tools, and equipment necessary to provide service, repair, and maintain the State Roadway Street Lighting System located within the limits of Miami Beach, consisting of 812 lighting fixtures and 85 Wi-Fi nodes for power at the pole and photocell located on the light pole and/or pole arm, on an as needed basis. This contract shall remain in effect for a term of one (1) yea,r and may be renewed at the sole 82 Commission Memo ITS 44-11/10 Maintenance of Street Lighting on State Roads within the Miami Beach City Limits July 18, 2012 discretion of the City, through its City Manager, for three (3) additional one (1) year terms. BACKGROUND The Mayor and City Commission, at its April 11, 2007 meeting, approved and authorized the Mayor and City Clerk to execute a State Highway Lighting, Maintenance, and Compensation Agreement between the City and the Florida Department of Transportation for the street light maintenance services for FOOT-owned lighting systems on Miami Beach. The aforementioned authorization was based on the Administration's recommendation that the City of Miami Beach take over the maintenance of FOOT owned lighting systems within the City of Miami Beach to provide sufficient mounting assets for the deployment of the City's Wi-Fi system. The FOOT Lighting Systems are located along the following roads: Abbott Avenue-72nd Street to Indian Creek Drive; Alton Road -5th Street to 63rd Street; Collins Avenue-5th Street to 61st and 72nd Street to 87th Terrace; 5th Street -Alton Road to Ocean Drive; 41st Street-Alton Road to Collins Avenue; 63rd Street-Alton Road to Collins Avenue; 71st Street-West of North Bay Causeway to Rue Notre Dame; Harding Avenue -72nd Street to 87th Terrace; Indian Creek Drive-26th Street to 44th Street and 59th Street to 71st Street; Normandy Drive -Rue Notre Dame to West of North Bay Causeway; and MacArthur Causeway -Alton Road to West City Limits. The City agreed to be responsible for energy costs, replacement or system upgrades, location of underground electrical conduits, response to citizen reports of street light malfunctions, and all other maintenance activities, including emergency responses. At its June 6, 2007 meeting, the Mayor and City Commission adopted Resolution No. 2007- 26567(the Resolution) which approved and authorized, pursuant to Section 2-367 (e) of the Miami Beach City Code, a waiver of the competitive bidding process, by 5/7ths vote, a two- year maintenance and service agreement with Under Power Corporation, at the rate of $10.22 per light, per month. The maintenance and service rate of $10.22 per light, per month, was a fixed cost for year one, and additional years were subject to the Consumer Price Index for Miami and Fort Lauderdale, which has not been exercised to date. Invoices for January and February 2012 reflected additional expenses due to repairs to light poles as a result of an accident and theft. The average monthly cost has been $8,298.64 for the maintenance of 812 street light poles. The contract with Under Power Corporation expired on May 31, 2012. At its June 6, 2012 meeting, the Mayor and City Commission approved a month to month extension of the contract under the same terms and conditions, until a new maintenance agreement would be awarded via a bidding process. 2 83 Commission Memo ITB 44-11/10 Maintenance of Street Lighting on State Roads within the Miami Beach City Limits July 18, 2012 ITB PROCESS On June 8, 2012, Invitation to Bid (ITB) No. 44-11/12 was issued, with an opening date of June 29, 2012. A Pre-bid Conference to provide information to prospective bidders was held on June 19, 2012. BidNet issued bid notices to 158 prospective bidders. Additionally, the Procurement division notified seven (7) local contractors via e-mail, which resulted in the receipt of four (4) bids from the following vendors: • American Lighting and Stabilization, Inc.; • Enterprise Electrical Contracting, Inc.; • Horsepower Electric, Inc.; and • Under Power Corporation (Under Power). In determining the lowest and best bidder, the City utilized the "Best Value" Procurement process to select a contractor with the experience and qualifications; the ability; capability, and capacity; and proven past successful performance for the maintenance and repair of street lighting. An administrative review of the bidders' qualifications, experience, capability, and performance evaluations was conducted by the following individuals: • Mike Alvarez, Infrastructure (Operations) Director, Public Works; and • Marvin Sarria, Electrician Supervisor, Public Works. Based on the analysis of the four (4) bids received, Mr. Mike Alvarez and Mr. Melvin Sarria (the Panel) recommended the lowest and best bidder, Under Power, based on price, experience, and past performance. The Panel also noted that Under Power's response time has been excellent. The enclosed schedule provides the bid tabulation results for ITB No. 44-11/12. (see Appendix A) It should be noted that three (3) of the four (4) bidders' (including Under Power's) Bid Forms contained minor irregularities, in that the bidder incorrectly interpreted the method by which certain line items were to be filled out. Using Under Power's Bid Form as an example, under the line item pricing for the Wi-Fi Nodes component, the line item for "Total Annual Amount (12 months)" reflects the Unit Price (per node/per month) multiplied by the total number of Wi-Fi nodes (85), but not multiplied by 12 months. Notwithstanding the preceding, the Administration considers that, should the City Commission wish to move forward with the recommended award, it has the discretion, as expressly provided in the ITB, to waive this minor irregularity. Section 1.3 of the ITB, entitled "Price Quoted", provides that "In case of discrepancy in computing the amount of the bid, the UNIT PRICE quoted will govern." (See ITB at pg. 6, also attached as Appendix B hereto). UNDER POWER Under Power has been providing street lighting maintenance and repair services to the City since 2007. It has contracts with the City of Aventura, City of Miami, City of Doral, and the Florida Department of Transportation. 3 84 Commission Memo ITB 44-11/10 Maintenance of Street Lighting on State Roads within the Miami Beach City Limits July 18, 2012 By awarding the contract to the lowest total bid, the City will realize a total annual cost savings of $21,608.88 from the current contract. Therefore, the Administration concludes that it would be in the best interest of the City to recommend the lowest bidder, Under Power. CONCLUSION Based on the aforementioned, the Administration recommends that the Mayor and City Commission Award a contract to Under Power Corporation, pursuant to Invitation to Bid (ITB) No. 44-11/12, for the Maintenance of Street Lighting on State Roads within the Miami Beach City Limits, at the rate of $7.95 per light, per month, in the total annual amount of $77,464.80; and $0.50 per Wi-Fi node, per month, for a total annual amount of $510.00. JGG/FHB/JJF/RWS T:\AGENDA\2012\7-18-12\ITB-44-11-12 Maintenance of Street Lighting on State Roads within the Miami Beach City limits-MEMO.docx 4 85 co en WI-ANODES Repairs and maintenance of 85 WI-FI nodes at a per node, per month unit price for WI-FI nodes located within the Oty limits of Miami Beach to Include labor and equipment. I $ Total Annual Amount (12 months) I $ UNDERGROUND SERVICES 1 Kepalr to unaergrouna aamages as aescnoea 1n section 3.8. Labor cost per hour-based on three (3) man crew $ Backhoe $ Jackhammer $ Compressor $ PER UNEAR FOOT Directional Boring (including conduit) $ 2-inch conduit schedule 40 $ #6 Electrical Wires $ Pull Boxes $ Trenching $ APPENDIX A Unit Price Unit Price per hour per hour 249.99 $ 275.00 29.99 $ 20.00 0.99 $ 10.00 9.99 $ 10.00 Unit Price Unit Price Pl!f linear foot per linear foot 19.99 $ 15.00 0.99 $ 1.00 1.99 $ 6.00 109.99 $ 700.00 9.99 $ 15.00 4.50 I $ 1,500.00 882.50 I $ 11,000.00 Unit Price Unit Price per hour per hour $ 155.00 $ 275.00 $ 65.00 $ 25.00 $ -$ 1.00 $ -$ 1.00 Unit Price Unit Price per llnear foot per linear foot $ 14.00 $ 18.00 $ 0.55 $ 18.00 $ 0.50 $ 2.00 $ 150.00 $ 250.00 $ 12.00 $ 100.00 *The Unit Price and Total Annual Amounts above reflect the Bid Form pricing received by each bidder. Pursuant to section 1.3 of the ITB, entitled "Prices Quoted"; "In £ase of disaepancy in computing the amount of the bid, the UNIT PRICE quoted wlil govern." Appendix B MAINTENANCE OF STREET LIGHTING ON STATE ROADS WITHIN THE MIAMI BEACH CITY LIMITS ITB # 44-11/12 1.0 GENERAL CONDITIONS 1.1 SEALED BIDS: An original, five (5) copies, and one (1) CD of the complete bid, must be returned in order for the bid to be considered for award. All bids are subject to the conditions specified in these General Conditions, and on the attached Special Conditions, Specifications, and Bid Form. The completed bid must be submitted in a sealed envelope clearly marked with the Bid Title to the City of Miami Beach Procurement Division, 3rd floor, 1700 Convention Center Drive, Miami Beach, Florida 33139. Facsimile, electronic, ore-mailed bids will not be accepted. 1.2 EXECUTION OF BID: The bid must contain a manual signature of an authorized representative in the space provided on the Bid Form. Failure to properly sign the bid shall invalidate same, and it shall NOT be considered for award. All bids must be completed in pen and ink or typewritten. No erasures are permitted. If a correction is necessary, draw a single line through the entered figure and enter the corrected figure above it. Corrections must be initialed by the person signing the bid. Any illegible entries, pencil bids, or corrections not initialed will NOT be tabulated. The original bid conditions and specifications CANNOT be changed or altered in any way. Altered bids will NOT be considered. Clarification of bids submitted shall be in letter form, signed by bidders and attached to the bid. 1.4 TAXES: The City of Miami Beach is exempt from all Federal Excise and State taxes. 1.5 MISTAKES: Bidders are expected to examine the specifications, delivery schedules, bid prices and extensions, and all instructions pertaining to supplies and services. Failure to do so will be at the bidder's risk. 1.6 CONDITION AND PACKAGING: It is understood and agreed that any item offered or shipped as a result of this bid shall be the latest new and current model offered (most current production model at the time of this bid). All containers shall be suitable for storage or shipment, and all prices shall include standard commercial packaging. 1.7 UNDERWRITERS' LABORATORIES: Unless otherwise stipulated in the bid, all manufactured items and fabricated assemblies shall be U.L. listed or re-examination listing where such has been established by U.L. for the item(s) offered and furnished. 87 THIS PAGE INTENTIONALLY LEFT BLANK 88