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C2D-Exercise Term Renewal Options On Contracts For Routine Operational RequiremeCOMMISSION ITEM SUMMARY Condensed Title: REQUEST APPROVAL TO EXERCISE TERM RENEWAL OPTIONS ON CONTRACTS FOR ROUTINE OPERATIONAL REQUIREMENTS Item Summary/Recommendation : Streamline The Delivery Of Services Through All Departments upporting Data (Surveys, Environmental Scan, etc.): As is customary, many of the City's agreements resulting from competitive solicitations include renewal clauses that allow for the extension of contract terms for a certain number of renewal periods beyond the original contract term, as may be stipulated in the solicitation or resulting contract. The renewal periods allow the City to continue to acquire the necessary goods and services from reputable contractors at prices established through competitive solicitations. ln its due diligence process for consideration of contract renewal options, the Administration has considered: cost considerations, including any increases to the CPI-U index by the Bureau of Labor Statistics indicating changes in the supply market pricing conditions, contractor performance and risk management considerations (e.9., insurance and bonds, as applicable). Additionally, the contract renewals are applicable to the contract period only and do not alter other terms and conditions of the contract or the scope of the procurement. Any changes to the scope of the original contract shall be presented under a separate item individually or require a new procurement process altogether. The purpose of this item is to request authority to renew the competitively solicited contract(s) for routine operational listed herein which are eligible for renewal. The justification for renewing the listed contract(s) is included with the contract information. RECOMMENDATION The Administration recommends that the Mayor and City Commission approve the extension of contract for routine operational requirements, awarded through competitive solicitations, with Zambelli Fireworks Manufacturino Co. Board Recommendation: Financial lnformation : Source of Funds: Amount Account 1 See below.See below. 2 3 OBPI Total Financial Impact Summary: All expenditures are contingent upon approved budgeted funds being available. T:\AGENDAV01S\February\PROCUREMENT\Contract Renewal Options On Contracts For Routine Summary 02-1 1-15.doc AGENDf,ITEil, C2 DMIAAAIMHACHDATE ,-,1-ls62 n.l, *.- I-,-*ffiffi City of Miomi Beoch, 1700 Convention Center Drive, Miomi Beoch. Florido 33.l39, www.miomibeochfl.gov COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members FROM: Jimmy L. Morales City Manager DATE: February 11,2015 the City SUBJECT:REQUEST APPROVAL TO ERCISE TERM RENEWAL OPTIONS ON CONTRACTS FOR R TIONAL REQUIREMENTS ADMI NISTRATION RECOM M EN DATION Approve the recommendation. BACKGROUND As is customary, many of the City's agreements resulting from competitive solicitations include renewal clauses that allow for the extension of contract terms for a certain number of renewal periods beyond the original contract term, as may be stipulated in the solicitation or resulting contract. The renewal periods allow the City to continue to acquire the necessary goods and services from reputable contractors at prices established through competitive solicitations. ln its due diligence process for consideration of contract renewal options, the Administration has considered: cost considerations, including any increases to the CPI-U index by the Bureau of Labor Statistics indicating changes in the supply market pricing conditions, contractor performance and risk management considerations (e.9., insurance and bonds, as applicable). Additionally, the contract renewals are applicable to the contract period only and do not alter other terms and conditions of the contract or the scope of the procurement. Any changes to the scope of the original contract shall be presented under a separate item individually or require a new procurement process altogether. The purpose of this item is to request authority to renew the competitively solicited contract(s) for routine operational requirements listed herein which are eligible for renewal as stipulated in each contract's solicitation. The justification for renewing the listed contract(s) is included with the contract information. Contract Number: RFP_ 68_:!1/12 Title: i Renewal Period: Agreement To Provide Fourth Of Juty Eve_n! Electric Fireworks And Pyrotechnics For The City Of Miami Contractor: Zambelli Fireworks Manufacturing Co. Brief Scope: This contract provides for fireworks and pyrotechnics display for the I n d e p_en_d en ce_ Day_ Cel eblatio_n, Best lnterest Justification: Zambelli Fireworks has now handled the City's July 4th fireworks for 5 years and continues to i do an excellent job. The team works closely with the US Coast Guard, FWC, DEP, and local i authorities for to meet all permitting and safety requirements. The lead technician, Phil Beirne, is : a local resident of the City of Miami Beach and they continue to produce a high quality show for i the City. Additionally, while the prices paid by the City remain as awarded, the CPI-U has 1 increased approximately 2.11% since contract inception. Based on the aforementioned, the i Tourism & Cultural Development recommends the renewal of the agreement for one (1) year , j ,T,h1ough 0412312016 Beach r i City's Fourth of July : i 63 City of Miami Beach - Commission Memorandum Contract Renewals for Routine Operational Requirements I through April 24, 2016. CONCLUSION The Administration recommends that the Mayor and City Commission approve the extension of agreement with Zambelli Fireworks Manufacturing Co. JLM / JMT/ AD / RA T:\AGENDA\201S\February\PROCUREMENT\Contract Renewal Options On Contracts For Routine Operational Requirements - Memo 02-1 1-1S.docx 64 =,,:-,*' ir-r:-eI-- ; i =_.: ii,i,:\ii) . i\l' t ,-, :biAL il Ciry of iniomi Eeo(h, I700 Conven,ion Cenler Drive, Miorni Beoch, Fiorldo 3313?, www.mionibeoch8lgov PROCUREMENT DEPARTM:NT Tel: 305673-1,190, Fox: 78&3e{-401 C Submitted via E-mail to : Masonmever@zambellifi reworks, cpm Ana Esturitho @zambell ifireworks.com January 27,2015 Zambelti Fireworks Manufacturing Co. Mr. Mason Meyer, Regional Manager 1 West Camino Real Boulevard Boca Raton, Florida 33432 Subject: REHEWAL OF AGREEMENT PURSUANT TO REAUEST FOR PROPOSALS {RFp} 5S-1li1t FOR ELECTRTC FInEWORKS AND PYROTECHNICS FOR THE GITYS FOURTH &F JULY CELEBRATION Dear lvir. Meyer; Agreement RFP 68-11/12 (the "Agreernent") between the City of Miami Beach (the "Citt'') and Zarnbelli Fireworks Manufacturing Co" ("Contractor"), pursuani to the above-referenced solicitaiion, expires on April 23,20i5. Section 3 of the agreement allows for the Agreement to be extended for an additional one (1) year period through April 23, 2016- The purpose of this letter is to seek Contractor's concurrence to extend the Agreement, at the same terms, conditions, and pricing as set forth in the Agreement. lf Contractor agreet to extend the term of the Agraement for the additional period, please sign in the space provided below and return ihis document to Yolanda Ciniado-Seiglie at the City's Procurement Department by January 29,2415. This letter does not constitute an extensisn to the Agreemenl lf Contractor agrees to extend the Agreern*nt, the City ManagarlCity Commission will consider the extension and, if approved, Ccntractsr will be noiified of said extension of Agreement under separate cover. Should you have any questiona CIr need additional information, please contacl Yolanda Cintado' Seiglie at 305-673'7490 or volandacintado seiglie@qriamibeachfl.qov. I agree to a revised term for lhe above referenced through April 23, l0-1Q" I ,':1 ! sisnature: -1 ,;' .,1 it:|"{-l;{. {'/ l'Y:' conti"act at the same terms and conditions Printed Name; i Title: 65