Title
MOTION TO APPROVE THE DEPARTMENT RECOMMENDATIONS FOR THE FOLLOWING ITEMS LISTED ON THE CONTRACTS DATABASE REPORT:
(A) Lhoist North America of Alabama, LLC - Furnish, Deliver and Discharge of Quicklime CO-OP - Renewal
(B) OpenGov, Inc. - eProcurement Software Suite & Budget & Planning: Online Budget Book Bundle - Renewal
(C) Penn Credit Corporation - FN-18-01 Debt Collection Services - 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.
(A) Lhoist North America of Alabama, LLC - Furnish, Deliver and Discharge of Quicklime CO-OP - Renewal
1. On June 18, 2024, the City Commission approved the purchase of Quicklime from Lhoist North America of Alabama, LLC on an as-needed basis, utilizing pricing established under the Southeast Florida Governmental Purchasing Group (CO-OP) Bid No. 23-36B, for which the City of Tamarac serves as the Lead Agency, for an initial three (3) year term commencing on November 1, 2023, and expiring on October 31, 2026.
2. The Original CO-OP Agreement provides for one (1) additional three (3) year renewal term.
3. On November 19, 2025, the City of Tamarac, as the Lead Agency, executed an amendment renewing the CO-OP Agreement for the additional three (3) year renewal term, extending the Agreement through October 31, 2029.
4. The City's Utilities Department recommends that the City Commission approve the continuation of the purchase of Quicklime from Lhoist North America of Alabama, LLC on an as-needed basis for the additional three (3) year renewal term, commencing on November 1, 2026, and expiring on October 31, 2029.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Renewal Cost: $6,050,728.39 for the 3-year renewal period. The estimated amount for the first year of this renewal term is $1,938,342.00 (510.09 x 3,800 Tons)
b) Amount budgeted for this item in Account No: 471-533-6031-552430-0000-000-0000- (Operating chemicals)
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 3-year projection of the operational cost of the project: A 4% increase is included in the projection below, but this is only an estimate because the actual price is to be based on “CPI +1%” per the Co-Op.
FY2026-27 FY2027-28 FY2028-29
Revenues $0.00 $0.00 $0.00
Expenditures $1,938,342.00 $2,015,875.68 $2,096,510.71
Net Cost $1,938,342.00 $2,015,875.68 $2,096,510.71
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) OpenGov, Inc. - eProcurement Software Suite & Budget & Planning: Online Budget Book Bundle - Renewal
1. On March 20, 2024, the City Commission approved entering into an agreement with OpenGov for the purchase of OpenGov's e-Procurement Software Suite which includes their supplier engagement, evaluation & award solution, solicitation development solution, and contract management solution in an amount not to exceed $134,912.07, for a period through September 30, 2026:
|
Description |
Amount |
|
Implementation Costs |
$17,220.00 |
|
Annual Software Costs (05/01/24 to 09/30/24, prorated) |
$19,880.42 |
|
Annual Software Costs (10/01/24 to 09/30/25) |
$47,713.00 |
|
Annual Software Costs (10/01/25 to 09/30/26) |
$50,098.65 |
|
Total |
$134,912.07 |
2. On January 15, 2025, the City Commission approved the First Amendment to the City’s Master Services Agreement with OpenGov to add the Budgeting and Planning Suite (Online Budget Book Bundle), which includes their Community Feedback, Dashboards, Financial Integration, Online Budget Book, Reporting & Analytics, Story Builder, and Transparency features, for an amount not to exceed $136,202.40, for the period through September 30, 2026:
|
Description |
Amount |
|
Implementation Costs |
$29,702.40 |
|
Annual Software Costs (01/31/25 to 09/30/25, prorated) |
$42,600.00 |
|
Annual Software Costs (10/01/25 to 09/30/26) |
$63,900.00 |
|
Total |
$136,202.40 |
3. The agreement includes the option to renew the agreement for two additional three-year renewal terms subject to negotiations and written consent of the parties.
4. OpenGov submitted a proposal for the first three-year renewal period, which includes a 5% annual increase to the annual software subscription. The subscription includes ongoing hosting, support and maintenance, software upgrades, enhancements, unlimited users, data storage, and reporting capabilities.
|
|
E-Procurement |
Online Budget |
|
|
Description |
Suite |
Book Bundle |
Total |
|
Annual Software Costs (10/01/26 to 09/30/27) |
$52,603.57 |
$67,095.07 |
$119,698.64 |
|
Annual Software Costs (10/01/27 to 09/30/28) |
$55,233.76 |
$70,449.83 |
$125,683.59 |
|
Annual Software Costs (10/01/28 to 09/30/29) |
$57,995.44 |
$73,972.31 |
$131,967.75 |
|
Total |
$165,832.77 |
$211,517.21 |
$377,349.98 |
5. The City's Administration negotiated an alternative option to prepay the entire three-year renewal term through a one-time upfront payment of $359,369.52. This negotiated pricing represents a savings of $17,980.46 compared to the standard annual payment option. As a result of these negotiations, the renewal of this Agreement is being presented to the City Commission at this time to allow the City to take advantage of the negotiated cost savings associated with the one-time upfront payment option.
|
|
E-Procurement |
Online Budget |
|
|
Description |
Suite |
Book Bundle |
Total |
|
Annual Software Costs (10/01/26 to 09/30/29) |
$157,930.95 |
$201,438.57 |
$359,369.52 |
6. City Administration recommends that the City Commission approve this negotiated Second Amendment, exercising the first three-year renewal option for the period of October 1, 2026, through September 30, 2029, as allowed the Agreement, in an amount not to exceed $359,369.52, resulting in $17,980.46 in negotiated savings.
FINANCIAL IMPACT DETAIL:
a) Renewal Cost: $359,369.52 (one-time upfront amount for the 3-year period, commencing on October 1, 2026 through September 30, 2029)
b) Amount budgeted for this item in Account No: Funds will be budgeted in the FY 2026-27 proposed budget under the following accounts:
# 001-519-6005-552652-0000-000-0000 (Non-capital Software & License) $157,930.95
# 001-519-2001-552652-0000-000-0000 (Non-capital Software & License) $201,438.57
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 1-year projection of the operational cost of the project: One-time upfront amount for the 3-year period, commencing on October 1, 2026 through September 30, 2029:
|
|
FY2026-27 |
|
Revenues |
$0.00 |
|
Expenditures |
$359,369.52 |
|
Net Cost |
$359,369.52 |
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) Penn Credit Corporation - FN-18-01 Debt Collection Services - Renewal
1. On January 28, 2019, the City entered into an Agreement with Penn Credit Corporation for the provision of debt collection services for the City’s delinquent accounts for an initial five (5) year period, which expired on October 31, 2023.
2. Section 3.2 of the Original Agreement allows the renewal of the Agreement for two (2) additional three (3) year terms, upon mutual consent of the Parties, evidenced by a written Amendment.
3. On March 18, 2019, the City executed the First Amendment to the Original Agreement to amend the compensation terms to include an 8.5% fee to be paid to Penn Credit Corporation should the City receive a direct payment on a delinquent account.
4. On August 7, 2023, the City executed the Second Amendment to the Original Agreement, as amended, to renew the term for an additional three (3) year period, which expires on October 31, 2026.
5. The City’s Finance Department recommends that the City Commission approve this Third Amendment to renew the term for an additional three (3) year period, commencing on November 1, 2026, and expiring on October 31, 2029, as allowed by each Agreement.
FINANCIAL IMPACT DETAIL:
a) Renewal Cost: None
b) Amount budgeted for this item in Account No: In general, there would be no revenues or expenses associated with this service. The vendor will receive compensation by adding 16% fee to the balance owed to the City. However, for payments made directly to the City, the vendor will receive 8.5% from the City. This would be expensed to account # 471-536-6010-534990 (Contractual Services- Other)
c) Source of funding for difference, if not fully budgeted: Not Applicable
d) 5-year projection of the operational cost of the: 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