Title
MOTION TO AWARD IFB # RE-24-07 "PEMBROKE PINES PARKS - HVAC REPLACEMENT RE-BID" TO THE MOST RESPONSIVE/RESPONSIBLE BIDDER, JCR MECHANICAL CONTRACTOR, INC., IN THE AMOUNT NOT TO EXCEED $253,575.00, WHICH INCLUDES THE COST TO PROVIDE A PAYMENT AND PERFORMANCE BOND IN THE AMOUNT OF $5,250.00 AND A 10% OWNER’S CONTINGENCY IN THE AMOUNT OF $22,575.00.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinances is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.15 defines an Invitation for Bid as “A written solicitation for competitive sealed bids with the title, date and hour of the public bid opening designated therein and specifically defining the commodities or services for which bids are sought. The invitation for bid shall be used when the city is capable of specifically defining the scope of work for which a service is required or when the city is capable of establishing 15 precise specifications defining the actual commodities required. The invitation for bid shall include instructions to bidders, plans, drawings and specifications, if any, bid form and other required forms and documents to be submitted with the bid.”
- Section 35.18 of the City's Code of Ordinances is titled "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS."
- Section 35.18(A) states, "A purchase of or contracts for commodities or services that is estimated by the Chief Procurement Officer to cost more than $25,000 shall be based on sealed competitive solicitations as determined by the Chief Procurement Officer, except as specifically provided herein."
- Section 35.19 of the City's Code of Ordinances is titled "SEALED COMPETITIVE BIDDING PROCEDURE."
- Section 35.19(A) states "All sealed competitive solicitations as defined in § 35.18 shall be presented to the City Commission for their consideration prior to advertisement."
- Section 35.19(E) is titled "Bid opening procedure."
- Section 35.19(E)(5) states, "The city reserves the right to waive any irregularities in the bids, as determined by the Chief Procurement Officer and approved by the City Manager"
- Section 35.21 of the City's Code of Ordinances is titled "AWARD OF CONTRACT."
- Section 35.21(A) of the City's Code of Ordinances is titled "City Commission approval.”
- Section 35.21(A)(1) states, "An initial purchase of, or contract for, commodities or services, in excess of $25,000, shall require the approval of the City Commission, regardless of whether the competitive bidding or competitive proposal procedures were followed."
SUMMARY EXPLANATION AND BACKGROUND:
1. On August 16, 2023, the City Commission authorized the advertisement of IFB # RE-23-04 “Pembroke Pines Parks - HVAC Replacement”, which was advertised on August 22, 2023.
2. The purpose of the solicitation was to replace HVAC systems at several Pembroke Pines parks with Trane HVAC systems, in accordance with the terms, conditions, and specifications contained in the solicitation.
3. October 3, 2023, was the due date for submissions for IFB # RE-23-04 “Pembroke Pines Parks - HVAC Replacement”, however the bids received were much higher than staff’s estimated cost of $200,000.
4. The Recreation and Cultural Arts Department, together with the Public Services Department, decided to clarify the scope of work by hiring a mechanical engineer to provide design documents for the project and to rebid the project with those detailed documents. The desire was that with detailed plans and scope, contractors could provide better pricing.
5. On June 18, 2024, the City Commission approved Administration's recommendation to reject all bids for IFB # RE-23-04 “Pembroke Pines Parks - HVAC Replacement" and authorized the re-advertisement of the solicitation as IFB # RE-24-07 "Pembroke Pines Parks - HVAC Replacement" which was advertised on August 7, 2024.
6. On September 10, 2024, the City opened proposals from the following five (5) vendors listed in ascending order:
|
Vendor |
Total Cost |
|
JCR Mechanical Contractor |
$231,000.00 |
|
Mario's Painting & Services, Inc. |
$237,821.21 |
|
Advanced Roofing, Inc. |
$282,371.00 |
|
Cortez Heating & Air |
$354,079.23 |
|
Integ Miami, LLC |
$371,933.00 |
7. Section 1.3.2 of the IFB stated that the minimum experience required as a licensed General Contractor is five (5) years for these projects. While the lowest priced bidder, JCR Mechanical Contractor, Inc., does possess an active Certified General Contractor license, it is from October 31, 2022, which is only approximately two-year period, however they have been a registered business in Florida since 2016 and have an active Certified Mechanical Contractor license since 2016 as well, exceeding the five-year requirement in that capacity. Additionally, they have provided five satisfactory references for previous work with a similar scope, demonstrating their relevant experience and qualifications.
8. As a result, the Public Services Department has reviewed the proposal from JCR Mechanical Contractor and pursuant to Section 35.19€(5) of the City’s Code of Ordinances, has requested to waive the irregularity regarding the requirement of having the contractor have a minimum experience of five years as a licensed General Contractor is five years, and to allow the JCR Mechanical Contractor, Inc.’s experience of over seven years as a Certified Mechanical Contractor, two years as a Certified General Contractor and satisfactory references to fulfill the requirements.
9. Below is the breakdown of JCR Mechanical Contractor’s pricing proposal:
|
JCR Mechanical Contractor |
Unit Cost |
|
Rose Price Park HVAC Replacement Project |
$64,550.00 |
|
Town Gate Park HVAC Replacement Project |
$44,350.00 |
|
Club 19 HVAC Replacement Project |
$102,850.00 |
|
Golf Pro Shop HVAC Replacement Project |
$14,000.00 |
|
Cost for Payment & Performance Bond |
$5,250.00 |
|
Total |
$231,000.00 |
10. Additionally, JCR Mechanical Contractor has also completed the Equal Benefits Certification Form and has stated that the "Contractor will comply with the conditions of this section at the time of contract award."
11. The second lowest bidder, Mario’s Painting & Services, Inc., submitted a bid of $237,821.21, which was within 5% of the bid submitted by JCR Mechanical, which allowed them to invoke their local Pembroke Pines Vendor Preference, pursuant to Section 35.36(B)(2) of the City's Code of Ordinances. However, the bid package required a “minimum of 3 references” demonstrating the firm’s capacity to successfully complete the scope of work. Mario’s Painting & Services, Inc., was unable to meet this requirement and stated they only have one reference with similar scope to this solicitation. Mario’s Painting & Services, Inc. was thereby deemed unresponsive.
12. Request Commission to award IFB # RE-24-07 "Pembroke Pines Parks HVAC Replacement Re-Bid" to the most responsive/responsible bidder, JCR Mechanical Contractor, Inc., in the amount not to exceed $253,575.00, which includes the cost to provide a payment and performance bond in the amount of $5,250.00 and a 10% owner’s contingency in the amount of $22,575.00.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: $253,575.00, which includes the cost of providing a payment and performance bond in the amount of $5,250.00, and a 10% owner's contingency in the amount of $22,575.00.
b) Amount budgeted for this item in Account No: Funds for this purchase are budgeted in the following accounts:
$122,322.56 is available in account # 001-572-7001-546150-0000-000-0000 (R&M Land Bldg. & Improvement) for Price Park and Towngate.
$131,252.44 is available in account # 001-575-7006-546150-0000-000-0000 (R&M Land Bldg. & Improvement) for Golf Course Pro Shop and Club 19.
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5-year projection of the operational cost of the project Not Applicable.
e) Detail of additional staff requirements: Not Applicable.
FEASIBILITY REVIEW:
A feasibility review is required for the award, renewal and/or expiration of all function sourcing contracts. This analysis is to determine the financial effectiveness of function sourcing services.
a) Was a Feasibility Review/Cost Analysis of Out-Sourcing vs. In-House Labor Conducted for this service? Not Applicable.
b) If Yes, what is the total cost or total savings of utilizing Out-Sourcing vs. In-House Labor for this service? Not Applicable.