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HomeMy WebLinkAboutResolution No. 2024-37KENAI CITY OF KENAI RESOLUTION NO. 2024-37 Sponsored by: Administration A RESOLUTION AUTHORIZING A CONTRACT AWARD UTILIZING AN INNOVATIVE PROCUREMENT PROCEDURE AND CORRESPONDING PURCHASE ORDER FOR THE PUBLIC SAFETY BUILDING TOWER GUY SYSTEM UPGRADE PROJECT. WHEREAS, the City of Kenai formally released an Invitation for Bids for the Public Safety Building Tower Guy Wire System project on January 17th, 2024 with no bids received on February 6th, 2024; and, WHEREAS, the project was released for bids again on March 12th, 2024 with one bid received on March 26th in the amount of $112,888, well above budgeted and estimated amounts resulting in the City declining to accept the bid; and, WHEREAS, after two unsuccessful competitive bid solicitations, administration pursued securing a contractor to complete the work utilizing an innovative procurement procedure; and, WHEREAS, in coordination with Motorola the City was able to locate other potential vendors, including Day Wireless Systems, that has provided has provided a quote to complete the work with an estimated cost of $53,699.57 which is approximately $59,000 less than the bid received in March and within the estimated cost for the project; and, WHEREAS, time is of the essence due to previously encumbered work with Motorola that is unable to be completed until the tower improvements are finished and could require additional contract time extensions at an additional cost if the improvements are delayed much longer; and, WHEREAS, Kenai Municipal Code section 7.15.070 allows for innovative procurements with a City Manager approved procurement plan; and, WHEREAS, the City Manager has approved in writing an innovative procurement plan; and, WHEREAS, based on the history of the attempts to get this work under contract and the time delays associated with those attempts, awarding a contract to Day Wireless Systems is in the best interest of the City. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1. That the City Manager is authorized to execute a contract award and corresponding purchase order to Day Wireless Systems in the amount of $53,699.57. Section 2. That this Resolution takes effect immediately upon passage. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS 7T" DAY OF AUGUST, 2024. ATTEST Brian Gabriel Sr., Mayor New Text Underlined; [DELETED TEXT BRACKETED] Resolution 6-2324-37 --Page-2..of 2 Michell M. er,)MMC, City Clerk Approved by Finance: New Text Underlined; [DELETED TEXT BRACKETED] 7/ / KFNAI City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 www.kenaixity MEMORANDUM TO: Mayor Gabriel and Council Members THROUGH: Terry Eubank, City Manager FROM: Scott Curtin, Public Works Director DATE: July 31, 2024 SUBJECT: Resolution No. 2024-37 - Authorizing A Contract Award Utilizing an Innovative Procurement Procedure and Corresponding Purchase Order for the Public Safety Building Tower Guy System Upgrade Project. The purpose of this memo is to request Council's approval of a construction agreement with Day Wireless Systems forthe Public Safety Building Tower Guy Systems Upgrade Project. As Council may recall, the Police Department has been successful in receiving Department of Homeland Security Grant funding to assist with improvements to the City's radio and communications systems. As that work was progressing it was determined our existing tower was insufficient to carry additional loads without improvements and modifications to the systems guy wires and anchor points. Engineering Services were contracted with Larson Engineering & Design to assess the existing tower and to provide bid ready construction documents for the required improvements. Invitation for construction bids were formally released in January 2024 with no bids received, again in March with a single bid received well above budgeted amounts. There are few contractors in state that do this type of work. As a result, and after reaching out to counterparts with Motorola, Day Wireless Systems has offered to perform the work at a reasonable cost. Day Wireless Systems is a vendor that is known and used by Motorola in other parts of the country. The negotiated quote is well below the last bid attempt and within estimated costs. Award to Day Wireless Systems at this time is in the best interest of the City. Procurement of these services in this way, was coordinated with the City Manager in compliance with KMC 7.15.070 which allows for innovative procurements with a City Manager approved procurement plan. Work is anticipated to take place prior to the winter months setting in, and will allow Motorola to complete their work this year as well. Council's support is respectfully requested. City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 wwwkenaixity MEMORANDUM TO: Mayor Gabriel and Council Members FROM: Terry Eubank, City Manager DATE: July 31, 2024 SUBJECT: Resolution No. 2024-37 - Authorizing A Contract Award Utilizing an Innovative Procurement Procedure and Corresponding Purchase Order for the Public Safety Building Tower Guy System Upgrade Project. Kenai Municipal Code 7.15.070 Innovative Procurement and Other Exceptions, provides certain alternatives to the City's normal competitive procurement processes. A contract may be awarded under an innovative procurement process when the City Manager determines in writing that it is advantageous to the City to achieve best value. Given the prior two unsuccessful attempts to competitively bid this project due to lack of bidders and only one unacceptably high bid, I have determined that utilization of an innovative procurement process is advantageous to the City to determine best value. When utilizing an innovative procurement process, the requesting department is required to provide: 1. A detailed procurement plan for the City Manager to review and approve prior to public notice being issued. The procurement plan must address the method of solicitations, scope, method of award, protest procedures and proposed contract provisions. In this case Administration is relying on the prior two solicitations public notices to meet the public notice requirement. Twice the City has issued public notices soliciting contractors for the same project. The procurement method of solicitation was to directly contact industry manufacturers and sellers to learn of potential contractors and reach out to those entities. The scope of solicitation was to follow up on leads provided by industry manufacturers and sellers. Method of award consists of award to respondent that provides best value to City. Protests procedures and proposed contract provisions are standard appeals process as provided in code, and standard contract language, the same as in prior two competitive solicitations. 2. An explanation of how the procedure will achieve best value or is advantageous to the City. In this case the procedure both achieved best value and is advantageous to the City. Based on the prior two solicitations and engineer's estimate, Public Works had an understanding of the market to compare costs to. Additionally, based on the prior two failed solicitation, the innovative method of procurement allows the project to proceed in a timely manner that is advantageous to the City. The Innovative procurement process also requires: 1. The City manager to approve the plan. I have approved the procurement plan. 2. All evaluation factors and subfactors that affect the contract award and their relative importance must be stated in the solicitation. In this case the only evaluation criteria was costs and reasonable ability to complete the work. 3. The solicitation must state whether factors other than costs will be evaluated. In this case only cost was evaluated, and all respondents must have some demonstrated means to complete the work, such as completion of similar prior work. This is consistent with the requirement that costs can be primary factor when requirement is clearly definable and risk of unsuccessful performance is minimal. Having approved the Public Works Department's innovative procurement process and the required criteria being met, the administration respectfully requests enactment of Resolution 2024-37. Your consideration is appreciated. Page 2 of 2 The City of Kenai I wwwkenaixit 4 y y