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Agenda 05/14/2024 Item #16F 6 (To efficiency maintain County vehicles and equipment through an approved single-source vendor and dealership for parts, supplies, and services)05/14/2024 EXECUTIVE SUMMARY Recommendation to authorize expenditures under a single-source waiver for five years (FY24 through FY28), in an amount not to exceed $100,000 per fiscal year, to obtain Original Equipment Manufacturer (“OEM”) parts, and non-OEM parts, freight, and services from Everglades Farm Equipment Inc. d/b/a Everglades Equipment Group, necessary to maintain County-owned agricultural and turf equipment and attachments. _____________________________________________________________________________________ OBJECTIVE: To efficiently maintain County vehicles and equipment through an approved single -source vendor and dealership for parts, supplies, and services. CONSIDERATIONS: The Fleet Management Division is tasked with maintaining the County Fleet, including special-purpose agricultural and turf equipment and attachments. The County currently owns 195 different John Deere and Frontier items, which include mowers, mower decks, cultivators, utility vehicles, loaders, tractors, and other equipment and attachments. These items are utilized by the Public Utilities Department, Transportation Management Services Department, Public Services Department, and Growth Management Community Development Department. Those departments are tasked with waste removal, road maintenance, swale maintenance, park maintenance, public safety, and code enforcement, all mission-critical services for the County. The Fleet Management Division must have access to a local dealer for parts, service, and warrantable items. The Fleet Management Division can maintain these pieces of equipment for a fraction of the cost of replacement by having access to a reliable service, warranty, and parts supplier. Such maintenance provides the added benefit of greatly minimizing downtime. Everglades Farm Equipment Inc. d/b/a Everglades Equipment Group (“Everglades Equipment Group”) is the authorized and closest John Deere and Frontier dealer for Collier County. The close proximity of this dealer minimizes transportation time and costs for parts and services. In accordance with Section Eleven, subparagraph 11 of Collier County Procurement Ordinance No. 2017 -08, as amended, staff requests that the Board find that it is in the best interest of the County to purchase OEM and non - OEM parts, services, and related materials from Everglades Equipment Group, as a single-source authorized geographic territory vendor for FY24 through the end of FY28. The Everglades Equipment Group supplies parts and services to Collier County at a set government municipality rate. Historically, purchases from this vendor were approximately $80,000 per fiscal year for OEM parts, services, and related materials. The annual expenditures were $71,740 in FY21, $81,739 in FY22, and $89,457 in FY23. The Procurement Services Division posted a public notice of the County’s intent to designate Everglades Equipment Group as a single source to the vendor community through BidSync for seven days and did not receive any responses. Between 1990 and 2020, the average price of parts increased by about 1.9%. In 2022, the year-over-year percentage change in parts pricing spiked to an all-time high of 10.2% across the industry. This jump is attributed to inflation, supply chain issues for new vehicles, and longer life cycles that have increased parts demands across the industry by nearly 20% per year. With parts shortages, greater parts demand, inflation increasing expenses, older vehicles falling out of warranty, and additional units now in service, purchases are exceeding historical spending amounts. Purchases will be made using a purchase order. FISCAL IMPACT: Funds for repair parts and maintenance services are budgeted in the Fleet Management Administration, Fund 5021, operating budget. Expenditures with Everglades Equipment Group are projected not to exceed $100,000 per fiscal year. GROWTH MANAGEMENT IMPACT: No growth management impact will result from this action. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board approval. -SRT RECOMMENDATION: To authorize expenditures under a single-source waiver for five years, from FY24 through FY28, in an amount not to exceed $100,000 per fiscal year, to obtain OEM parts and non -OEM parts, 16.F.6 Packet Pg. 1722 05/14/2024 freight, and services from Everglades Farm Equipment Inc. d/b/a Everglades Equipment Group necessary to maintain County-owned agricultural, turf equipment, and attachments. PREPARED BY: John King, Fleet Director, Fleet Management Division ATTACHMENT(S) 1. 24-090-WV Approved (1) (PDF) 2. Everglades Single Source Letter (PDF) 16.F.6 Packet Pg. 1723 05/14/2024 COLLIER COUNTY Board of County Commissioners Item Number: 16.F.6 Doc ID: 28611 Item Summary: Recommendation to authorize expenditures under a single-source waiver for five years (FY24 through FY28), in an amount not to exceed $100,000 per fiscal year, to obtain Original Equipment Manufacturer (“OEM”) parts, and non-OEM parts, freight, and services from Everglades Farm Equipment Inc. d/b/a Everglades Equipment Group, necessary to maintain County-owned agricultural and turf equipment and attachments. Meeting Date: 05/14/2024 Prepared by: Title: – Fleet Management Name: John King 04/16/2024 12:29 PM Submitted by: Title: – Fleet Management Name: John King 04/16/2024 12:29 PM Approved By: Review: Fleet Management John King Director Review Completed 04/16/2024 12:31 PM Procurement Services Sandra Srnka Level 1 Purchasing Gatekeeper Completed 04/16/2024 2:14 PM Corporate Business Operations Kenneth Kovensky Other Reviewer Completed 04/17/2024 3:50 AM Procurement Services Sandra Srnka Procurement Director Review Completed 04/24/2024 11:32 AM County Attorney's Office Scott Teach Level 2 Attorney Review Completed 04/24/2024 2:41 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 04/24/2024 3:53 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 04/25/2024 8:48 AM Office of Management and Budget Blanca Aquino Luque OMB Reviewer Completed 04/25/2024 1:44 PM County Manager's Office Dan Rodriguez Level 4 County Manager Review Completed 05/06/2024 11:32 AM Board of County Commissioners Geoffrey Willig Meeting Pending 05/14/2024 9:00 AM 16.F.6 Packet Pg. 1724 WAIVER REQUEST FORM Instruc�ons: The Procurement Ordinance, 17-08, as amended, Sec�on Eleven, Procurement Methods, defines single and sole source. Complete this form for purchases greater than $3,000 and provide the suppor�ng documenta�on to the Procurement Services Division. Waiver requests greater than $50,000 will require approval by the Board of County Commissioners. Complete all sec�ons of this form prior to submi�ng it to Procurement. Defini�ons: •Single source refers to a procurement directed to one source because of standardiza�on, warranty, or other factors, even though other compe��ve sources may be available. •Sole source refers to a procurement where the selec�on of one par�cular supplier to the exclusion of all others may be based on a lack of compe��on, proprietary technology, copyright, warranty, or a supplier’s unique capability. SECTION ONE Requester Name: Division: Item/Service: Vendor Name: SECTION TWO Historical Countywide Spend: Requested Date Range: Not to Exceed Amount Per Fiscal Year: Is there an agreement associated with this waiver to be reviewed by Contracts? Yes No SECTION THREE Quote/Proposal: Yes No If yes, atach. Agreement/Terms & Condi�ons: Yes No If yes, atach. SECTION FOUR Sole Source Single Source One Time Purchase Mul�ple Purchases SECTION FIVE Descrip�on of Purchase. Enter a descrip�on of the item(s) that will be purchased under this waiver. Purpose. Describe in detail the public purpose of the requested item(s) and why it is essen�al to County opera�ons. Page 1 of 4 Revised 9/2023 16.F.6.a Packet Pg. 1725 Attachment: 24-090-WV Approved (1) (28611 : To authorize expenditures under a single-source waiver for five years, from FY24 through FY28) WAIVER REQUEST FORM Page 2 of 4 Revised 9/2023 SECTION SIX Informa�on Technology. Select Yes if the products/services are related to Informa�on Technology. If yes, provide the Purchasing Compliance Code (PCC) number or email approval documenta�on. Yes No If yes, provide the PCC number: SECTION SEVEN Jus�fica�on. Iden�fy the criteria that qualifies this purchase as a sole or single source. Check all that apply (if a box is checked, make sure to provide an explana�on below): Sole Source Only Authorized Vendor or Distributor. Is this vendor the only vendor authorized to sell this product/service? If yes, explain below and provide documenta�on from the manufacturer confirming claims made by the distributors. No Comparable Product or Service. Is there another vendor who can provide a similar product/service, regardless of cost, convenience, �meliness, etc.? Product Compa�bility. Does this product/service provide compa�bility with exis�ng equipment that prohibits switching to another comparable brand/vendor? If yes, provide the detailed explana�on below, including what would occur if the other brand/vendor were used. Proprietary. Is this product/service proprietary? If yes, provide a detailed explana�on below on how its use is restricted by patent, copyright, or other applicable laws and provide documenta�on valida�ng that claim. Single Source Standardiza�on. Is this product/service part of a purchase that the County has already standardized on? If yes, please provide detailed informa�on below. Date of BCC Standardiza�on: BCC Agenda Item Number: Warranty. Is this the only vendor able to complete factory-authorized warranty services on County owned equipment? If yes, provide the documenta�on verifying the warranty. Geographic Territory. Is this vendor the only vendor authorized to sell this product/service in our region? If yes, provide documenta�on from the manufacturer confirming those claims. Other Factors. Any other reason not listed above. Explain below. Explain. How does this purchase meet the iden�fied sole or single source criteria checked above? 16.F.6.a Packet Pg. 1726 Attachment: 24-090-WV Approved (1) (28611 : To authorize expenditures under a single-source waiver for five years, from FY24 through FY28) WAIVER REQUEST FORM Page 3 of 4 Revised 9/2023 How was the decision made to use this vendor? Describe in detail if a formal standardiza�on process was performed via Procurement or if there is a historical precedence established for the use of the product, please explain purchase, and use history and the current level of County investment in the product. Explain why it is in the County’s best interest to use this product/service rather than issuing a compe��ve solicita�on. What are the benefits from the con�nued use? Are there costs that would be incurred if a different vendor/product was used? What would occur if another brand/vendor was used? Explain how the pricing compares to other vendors/products and is it considered to be fair and reasonable. Provide informa�on of historical use and whether pricing has increased/decreased. If sole source and no other product is available, provide the cost for addressing the needs via an alternate approach. Will this purchase obligate the County to future ancillary products or services, either in terms of maintenance or standardiza�on? If yes, explain what types. Yes No 16.F.6.a Packet Pg. 1727 Attachment: 24-090-WV Approved (1) (28611 : To authorize expenditures under a single-source waiver for five years, from FY24 through FY28) WAIVER REQUEST FORM Page 4 of 4 Revised 1/2024 Market research and market alterna�ves. When was the last �me a market evalua�on was performed to determine if either the technology or vendor offerings have changed? Based on the life expectancy of the product, when do you an�cipate evalua�ng the market again? Atach a detailed market evalua�on report if the complexity, dura�on, and dollar amount of the purchase will be a high risk to the County. It is a felony to knowingly circumvent a compe��ve process for commodi�es or services by fraudulently specifying sole source. Florida Statute 838.22(2). SECTION EIGHT Requested by: Signature: Division Director: Signature: Department Head (Required if over $50,000): Signature: Procurement Strategist: Signature: Procurement Director (or designee): Signature: Procurement Use Only Date Adver�sed: Date of Recommending Designa�on: Date of Designa�on Denied: Approved For: Start Date: End Date: Approved by Board: Date: Agenda#: Contract #: Contract Not Applicable Waiver #: 16.F.6.a Packet Pg. 1728 Attachment: 24-090-WV Approved (1) (28611 : To authorize expenditures under a single-source waiver for five years, from FY24 through FY28) 16.F.6.b Packet Pg. 1729 Attachment: Everglades Single Source Letter (28611 : To authorize expenditures under a single-source waiver for five years, from FY24 through