Title
MOTION TO APPROVE THE DEPARTMENT RECOMMENDATIONS FOR THE FOLLOWING ITEMS LISTED ON THE CONTRACTS DATABASE REPORT:
(A1) A Superior Towing Company - Towing Services - Renewal
(A2) Westway Towing, Inc. - Towing Services - Renewal
(B) Compass Group USA, Inc. - Food Service Management Company ED-23-01 - Renewal
(C) TA Golf Sales, LLC - Operation of the Pembroke Lakes Golf Course Pro Shop - Renewal
ITEM (D) WILL EXPIRE WITH NO RENEWAL TERMS AVAILABLE, THEREFORE, NO COMMISSION ACTION IS REQUIRED AS THEY ARE PRESENTED FOR NOTIFICATION PURPOSES ONLY PURSUANT TO SECTION 35.29 (F) OF THE CITY’S PROCUREMENT CODE:
(D) Brenntag Mis-South, Inc. - Provision of Sodium Hydroxide (Caustic Soda) - Non-Renewal
Summary Explanation and Background
SUMMARY EXPLANATION AND BACKGROUND:
1. Pursuant to Section 35.29(F) "City Commission notification" of the City's Code of Ordinances, "The City Manager, or his or her designee, shall notify the Commission, in writing, at least three months in advance of the expiration, renewal, automatic renewal or extension date, and shall provide a copy of the contract or agreement and a vendor performance report card for the contract or agreement to the City Commission."
2. On May 17, 2017, Commission approved the motion to place all contracts from the Contract Database Reports on consent agendas as they come up for contractual term renewal so that City Commission affirms directions to administration whether to renew or to go out to bid.
3. The Agreements shown below are listed on the Contracts Database Reports for renewal.
(A1) A Superior Towing Company - Towing Services - Renewal
(A2) Westway Towing, Inc. - Towing Services - Renewal
1. On May 18th, 2022, the City entered into an Agreement with each of two (2) vendors of a pool, each agreement being for an initial three (3) year period, both of which will expire on June 18, 2025.
2. The pool of vendors provides City-wide towing services pursuant to RFQ # PD-21-03 on a weekly rotating basis.
3. Section 7.2 of each Original Agreement allows for renewal of each Agreement for two (2) additional, three (3) year terms, upon mutual consent of the Parties, evidenced by a written Amendment.
4. The State of Florida recently enacted Section 323.001(8), Florida Statutes, regarding investigatory and evidentiary vehicle holds, and both Contractors have each agreed to provide the City with a storage building ("Building") which meets the Minimum Standards of the Agreement, at no cost to the City or time limit on the storage of any vehicle stored in the building.
5. The Police Department recommends that the City Commission approve each of the two (2) First Amendments to amend the language regarding investigatory and evidentiary holds and to enter into the first, three (3) year renewal term for each Agreement, commencing on June 19, 2025, and expiring on June 18, 2028, as allowed by each Agreement.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Renewal Cost: No impact. The City anticipates receiving $30,559 in annual revenues from the 25% Administrative Fee.
b) Amount budgeted for this item in Account No: $30,559 in revenues are budgeted in account # 001-000-0800-341315-0000-000-0000 (Admin Fees - Towing) for the current fiscal year.
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 3-year projection of the operational revenue of the project Approximately $30,559 in revenues annually, with an estimated 3% increase annually due to CPI adjustments to the Broward County Towing Rates. Please note that actual revenues will fluctuate based on the number of tows performed in a given year.
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.
(B) Compass Group USA, Inc. - Food Service Management Company ED-23-01 - Renewal
1. On June 26, 2023, the City entered into an Agreement with Compass Group USA, Inc. for an initial one (1) year period, which expired on June 30, 2024.
2. Compass Group USA, Inc. provides nutritionally balanced meals to the City’s Charter Schools and Early Development Centers.
3. Section 3.2 of the Original Agreement authorizes renewal of the Original Agreement for four (4), additional, one (1) year renewal periods upon mutual consent, evidenced by written Amendments extending the term thereof.
4. On April 25, 2024, the parties entered into the First Amendment to increase the compensation and to renew the term for the first year, extending it to June 30, 2025.
5. The City of Pembroke Pines Charter Schools and the Early Development Center recommend that the City Commission approve this Second Amendment for the one (1) year renewal period commencing on July 1, 2025, and expiring on June 30, 2026, as allowed by the Agreement.
FINANCIAL IMPACT DETAIL:
a) Renewal Cost: The total estimated annual cost is $3,290,485.84 based on the projected meal equivalents for FY 2025-26 Charter School expense and FY 2025-26 EDC projected food purchases expense. Please note that the total meal equivalents may fluctuate each year due to various factors, including student participation, Hurricane Days, enrollment, etc.
b) Amount budgeted for this item in Account No: This expense will be budgeted for in the 2025-2026 Proposed Charter School Budget and 2025-2026 Proposed Early Development Center budget in the following operating accounts:
|
School Site |
Account Description |
Account Coding |
Cost per Site |
|
East Elementary |
Professional & Tech Svs |
170-569-5051-531310-7600-310-0000-00550 |
$420,251.30 |
|
West Elementary |
Professional & Tech Svs |
170-569-5051-531310-7600-310-0000-00551 |
$347,990.21 |
|
Central Elementary |
Professional & Tech Svs |
170-569-5051-531310-7600-310-0000-00552 |
$334,059.86 |
|
West Middle |
Professional & Tech Svs |
171-569-5052-531310-7600-310-0000-00553 |
$350,750.25 |
|
Central Middle |
Professional & Tech Svs |
171-569-5052-531310-7600-310-0000-00554 |
$400,559.67 |
|
Academic Village |
Professional & Tech Svs |
172-569-5053-531310-7600-310-0000- |
$1,031,798.07 |
|
FSU Elementary |
Professional & Tech Svs |
173-569-5061-531310-7600-310-0000- |
$361,698.30 |
|
|
|
Charter School Total |
$3,247,107.66 |
|
Central EDC |
Food Purchase |
001-569-5002-552701-0000-000-0000-00209 |
$43,378.18 |
|
|
|
EDC Total |
$43,378.18 |
|
|
|
Total Renewal Cost |
$3,290,485.84 |
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 1-year projection of the operational cost of the project:
In regard to the Charter Schools, the Contract with Chartwells to provide food service is directly related to the revenue the City receives from the Federal Government for the National School Lunch Program. The revenues and the expenditures are all based on a "per meal" basis. Below is the total operational cost for the food service inclusive of overhead operating expenditures. The net result is a net revenue of $29,884.91 in food service that the Charter Schools utilize to offset other indirect costs to operate the food service program such as utilities, administration, and janitorial services. The total expenditure below, $3,247,107.66, is inclusive of the estimated cost of the Chartwells contract and represents the renewal period of the contract.
In regard to the Early Development Centers, the Contract with Chartwells to provide food service is directly related to the revenue the City receives from parents, based on a "per meal" basis. The net revenue of $3,754.32 is used to offset other operating expenses, such as snacks for students/campers.
FY2025-26 Charter Schools Central EDC Total
Revenues $3,276,992.57 $47,132.50 $3,324,125.07
Expenditures ($3,247,107.66) ($43,378.18) ($3,290,485.84)
Net Revenue $29,884.91 $3,754.32 $33,639.23
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
(C) TA Golf Sales, LLC - Operation of the Pembroke Lakes Golf Course Pro Shop - Renewal
1. On August 9th, 2023, the City entered into a License Agreement with TA Golf Sales, LLC for an initial one (1) year period, commencing on August 9th, 2023, and expiring on August 8th, 2024.
2. TA Golf Sales, LLC operates the Pro Shop at the Pembroke Lakes Golf Course including but not limited to supervising the retail business of the Pro Shop and maintaining for sale a first-class stock of merchandise.
3. Section 4.2 of the Original Agreement authorizes the renewal of the Original Agreement for two (2), successive, one (1) year renewal periods upon mutual consent, evidenced by a written Amendment.
4. On May 6th, 2024, the parties entered into the First Amendment to renew the Original Agreement for a one (1) year period which will expire on August 8th, 2025.
5. The Recreation and Cultural Arts Department recommends that the City Commission approve this Second Amendment for the second and final, one (1) year, renewal term, commencing on August 9th, 2025, and expiring on August 8th, 2026, as allowed by the Agreement.
FINANCIAL IMPACT DETAIL:
a) Renewal Revenue: $15,000 Proposed amount
b) Amount budgeted for this item in Account No: $15,000 in 001-000-7006-362025-0000-000-0000-Commission - Pro Shop
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 1-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.
(D) Brenntag Mis-South, Inc. - Provision of Sodium Hydroxide (Caustic Soda) - Non-Renewal
1. On March 18, 2024, the City entered into an Agreement with Brenntag Mid-South, Inc., utilizing the terms and pricing offered in Pinellas County Contract # 23-0392-ITB with Brenntag Mid-South, Inc., for the provision of sodium hydroxide ( caustic soda), on an as needed basis, which expires on July 17, 2025.
2. Section 5.1 of the Original Agreement authorizes the renewal of the Agreement for two (2) additional two (2) year terms, upon mutual consent, pursuant to a written Amendment.
3. This agreement is presented to the City Commission for notification purposes as Brenntag Mid-South, Inc. has communicated its intention to not renew the contract with the City upon its expiration on July 17, 2025.