Title
MOTION TO APPROVE THE PURCHASE OF 580 AIM TITANIUM DASH ODOMETER UNITS FROM SYNTECH SYSTEMS IN THE AMOUNT NOT TO EXCEED $173,710, UTILIZING PRICING ESTABLISHED BY SOURCEWELL CONTRACT # 092920-SYS, PURSUANT TO SECTION 35.18(C)(6) OF THE CITY’S CODE OF ORDINANCES.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinances is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.18 of the City's Code of Ordinances is regarding "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."
SUMMARY EXPLANATION AND BACKGROUND:
1. The City is currently using a combination of Prokees and AIM installations with the Fuelmaster System. Prokees are high-tech composite keys that the drivers and equipment operators use to obtain fuel from the Fuelmaster system. Embedded in each Prokee is a solid state memory chip which stores various information and prevents unauthorized access. When utilizing Prokees, the drivers and equipment operators are required to input certain information, including their odometer reading, into the Fuelmaster system in order to dispense fuel.
2. AIM is a passive system that eliminates inaccurate driver-entered data from the fueling and data collection process by utilizing RFID (Radio Frequency Identification). The AIM module connects directly to a vehicle's OBD port in order to collect vital information for fleet management. Therefore, when a vehicle pulls up to the pump, the driver simply inserts the fuel nozzle into the vehicle filler neck and the system will automatically connect, identify the vehicle, transmit mileage, and enable the pump. Once the nozzle is removed the pump is immediately shut down. This will be more user friendly for drivers and more accurate for the data collection, while also adding additional safeguards and efficiencies to the City's fueling system.
3. The Fleet Division is requesting to purchase 580 AIM Titanium Dash Odometer units to be installed on City vehicles and equipment. SynTech Systems, Inc. has provided a quote utilizing pricing established by Sourcewell Contract # 092920-SYS, which offers a 10% discount for the purchase of the Fuelmaster Fuel Management System and related equipment.
Quantity |
Description |
List Price |
10% Off Price |
Total Cost |
580 |
AIM Titanium Kits |
$ 330.00 |
$ 297.00 |
$ 172,260.00 |
580 |
Shipping |
$ 2.50 |
$ 2.50 |
$ 1,450.00 |
|
|
|
Grand Total |
$ 173,710.00 |
4. Request Commission to approve the purchase of 580 AIM Dash Odometer Units from SynTech Systems in the amount not to exceed $173,710, utilizing pricing established by Sourcewell Contract # 092920-SYS, pursuant to Section 35.18(C)(6) of the City's Code of Ordinances.
Reviewed by Commission Auditor.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: $173,710.00
b) Amount budgeted for this item in Account No: Funds are available in account # 001-519-6005-552650-0000-000-0000 (Non-Capital Equipment).
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.