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HomeMy WebLinkAboutMemo - Waiver of Competitive BiddingCITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO: Johnny Martinez, P.E. City Manager DATE: SUBJECT: August 16, 2012 FROM: Henry Torre REFERENCES: Waiver of Competitive Bidding for Director Miami Convention Center Fire Alarm Public Facilities Department ENCLOSURES: System and Related Equipment This memorandum serves to request your authorization to seek Commission approval to waive competitive bidding procedures and authorize Hyatt Equities, LLC (Hyatt) to proceed with the replacement of the fire alarm system and associated equipment at the Miami Convention Center located at 400 Southeast 2 Avenue in Miami, Florida, in accordance with Section 18-85 of the City of Miami Code. The subject equipment is currently thirty (30) years old and has reached its useful life expectancy. Pursuant to Sections 7.3 and 7.4 of the Lease Agreement between Miami Center Associates and the City dated September 13, 1979 (as assumed by Hyatt on June 26, 1997), the City is obligated to provide a working fire alarm system and related equipment for the Miami Hyatt Regency and the Miami Convention Center to remain operational. The Hyatt has agreed to replace the aging fire alarm system that supports the Hotel and the James L. Knight Convention Center, in accordance with the following terms and conditions: (a) The City hereby authorizes Hyatt to immediately proceed with the Fire Alarm Project in accordance with the Fire Alarm Proposal. (b) The Hyatt has contracted with RJA, Inc. to prepare and finalize a specifications criteria package ("Phase I") as well as post design and inspection services. Additionally, the Hyatt has contracted with SimplexGrinnell for furnishing, installation, and testing ("Phase II") for the replacement of the fire detection and alarm system and associated equipment that supports the Hyatt Hotel and the Knight Center. The total project cost of $778,306 will be paid based on a percentage of use of the system. For the project cost estimate of $32,475 for Phase I, the Hyatt will pay for 69.325% of use, or $22,513, and the City will pay for 30.675% of use, or $9,962. Phase II includes a construction cost estimate of $605,310, plus a 10% construction contingency reserve of $60,531, in addition to post design and inspection services cost of $79,990, for a total for Phase II project construction cost of $745,831. The Hyatt will pay for 69.325% of use, or $517,047, and the City will pay for 30.675%, or $228,783, for a total Phase I and Phase II cost of the City's share not to exceed $238,745. The Department of Capital Improvement Programs has evaluated the RJA, Inc. and SimplexGrinnell (competitively bid) proposals and has agreed that the proposed scope of work and cost estimates for each are reasonable and it is in the City's best interest for Hyatt's contractors to proceed accordingly. Additionally, CIP will assign a Project Manager to oversee the project design and construction through completion. For the reasons stated above, as required by Section 18-85 of the City of Miami Code of Ordinances, the Departments of Purchasing, Public Facilities, and Capital Improvement Programs request your authorization for the purchase of a new Fire Alarm system and associated equipment, in a total amount not to exceed $238,745. Your signature below will signify your concurrence with these findings as justification for the determination of emergency and authorization to initiate the purchase of the aforementioned equipment.. Thank you. Approved/: Approved/: Approved: u efreth Robertson, Purchasing Director AIb-i 'sa, CIP Director C: Daniel Newhoff, Assistant Director HT/d n Date: 9-11- ► 2 - Date: 8_ i Date: 8/2-02.