Title
MOTION TO APPROVE A CHANGE ORDER TO PURCHASE ADDITIONAL LIFE SAFETY ROPE AND RELATED ACCESSORIES FOR THE FIRE DEPARTMENT FROM TEAM EQUIPMENT, INC., UTILIZING PRICING ESTABLISHED BY THE HGAC BUY COOPERATIVE CONTRACT # EE11-24, IN AN AMOUNT NOT TO EXCEED $28,071.23, PURSUANT TO SECTIONS 35.18(C)(6) AND 35.28(B) OF THE CITY'S CODE OF ORDINANCES.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinance is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.18 of the City's Code of Ordinances is titled "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS."
- Section 35.18(C) states that "Only the following situations are exempt from the competitive bid and competitive proposal requirements of this section:"
- Section 35.18(C)(6) states that “Cooperative purchasing plans are exempt from this section.”
- 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."
- Section 35.15 defines CHANGE ORDER. "Changes, due to unanticipated conditions or developments, made to an executory contract, which do not substantially alter the character of the work contracted for, and which do not vary so substantially from the original specifications as to constitute a new undertaking. The changes must reasonably and conscientiously be viewed as being in fulfillment of the original scope of the contract rather than as departing therefrom. Further, the changes, when viewed against the background of the work described in the contract and the language used in the specifications, must clearly be directed either to the achievement of a more satisfactory result or the elimination of work not necessary to the satisfactory completion of the contract."
- Section 35.25(A) states that "a purchase of, or contract for, commodities or services that is estimated by the Chief Procurement Officer to cost $5,000 or less, maybe purchased either in the open market without newspaper advertisement and without observing the procedures prescribed by § 35.19, or in accordance with the competitive bidding procedure prescribed by § 35.19, as deemed appropriate by the Chief Procurement Officer."
- Section 35.28 of the City's Code of Ordinances is titled "CHANGE ORDERS."
- Section 35.28(B) states that "Notwithstanding the provisions of (A) above, the City Manager is not authorized to approve a change order without authorization of the City Commission where the initial purchase required the City Commission's approval and where the sum of all change orders issued under the contract exceeds 5% of the original contract amount or $25,000.
SUMMARY EXPLANATION AND BACKGROUND:
1. On January 15, 2025, the City Commission authorized the purchase of replacement sets and additional sets of life safety rope, equipment, and associated items utilizing pricing established by the HGAC Buy Cooperative Contract # EE11-24, for a total amount not to exceed $49,732.06.
2. The purchase served to enhance the current life safety rope and equipment with modern systems. Introducing updated equipment will help improve the Fire Department’s rescue operations. The existing rope inventory was nearing the end of its recommended 10-year service life, as specified by NFPA 1858 (A.10.1.2). Replacing these life safety ropes was essential to remain compliant with industry standards and prioritize safety.
3. The Fire Department has received two quotes from TEAM Equipment, Inc. totaling $28,071.23.
Quote B 2431-BM:
Quote B 2431-BM is in the amount of $25,354.52, and utilizes pricing established by the HGAC Buy Cooperative Contract # EE11-24. Most of the items on this quote exceed the minimum 10% discount specified per manufacturer, averaging a 12 - 20% discount range. The items in this quote will be purchased utilizing funds from the "Urban Area Security Initiative" (UASI) grant program.
Quote B 2432-BM
Quote B 2432-BM is in the amount of $2,716.71. The items in this quote are not utilizing pricing established by the HGAC Buy Cooperative Contract # EE11-24, however, the Fire Department recommends the purchase of these items to complement the items listed in Quote B 2431-BM. The total amount for the purchase of the items in Quote B 2432-BM of $2,716.71 is less than the City's threshold of $5,000 for open market purchases. The items in this quote will be purchased utilizing City funds.
4. This additional purchase would increase the total of the purchase order to $77,803.29.
5. Request City Commission to approve a change order to purchase additional life safety rope and related accessories for the Fire Department from TEAM Equipment, Inc., in an amount not to exceed $28,071.23, increasing the purchase order to a total amount not to exceed $77,803.29, utilizing pricing established by the HGAC Buy Cooperative Contract # EE11-24, pursuant to Sections 35.18(C)(6) and 35.28(B) of the City's Code of Ordinances.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: $28,071.23
b) Amount budgeted for this item is in Account No: Funds are available in the following accounts:
For Quote B 2431-BM (Funded by UASI): Account # 122-521-3030-552650-0000-000-0000-02023 (Non-Capital Equipment)
For Quote B 2432-BM (Utilizing City funds): Account # 001-529-4003-552659-0000-000-0000 (Non-Capital Equipment-FIRE)
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.