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Agenda 10/25/2016 Item #16E 6 16.E.6 10/25/2016 EXECUTIVE SUMMARY Recommendation to waive competition and authorize single-source purchases for closed circuit television pipeline inspection vehicles, software, supplies and parts in accordance with the Board's prior approval to standardize these purchases with Community Utilities Environmental Services, Inc. (CUES). OBJECTIVE: To efficiently procure and maintain specialized County closed-circuit television pipeline inspection vehicles,software,supplies,parts,and pipeline inspection parts from a standardized,single-source vendor. CONSIDERATIONS: On May 24, 2011, the Board of County Commissioners (Agenda Item 16C1) approved the Wastewater Division's standardization of closed circuit television (CCTV) pipeline inspection vehicles and pipeline inspection parts from those manufactured or distributed by CUES, Inc. These vehicles assist in the regulatory compliance and maintenance of the County's sewer system. The Fleet Management and Wastewater Divisions purchase parts and supplies to maintain the operational readiness of three CUES equipped pipeline viewing trucks currently in service.During the FY17 budget cycle,the Wastewater Division identified a Freightliner sewage pumper truck requiring replacement. As level of service needs were discussed, it was determined that replacing the sewage pumper truck with a CCTV pipeline inspection vehicle was more critical to the sewer system preventative maintenance program. The purchase of the CUES vehicle will not add to the overall operating fleet of the Wastewater Division. The Procurement Director recommends, pursuant to Procurement Ordinance 13-69, as amended, Section Nine Formal Competitive Threshold, B.2., for the Board to waive formal competition in the best interest of the County and authorize a waiver for these single source commodities. Staff recommends that the Board of County Commissioners waives formal competition and authorize single-source purchases from CUES,Inc.,and reaffirm the standardization with CUES products for up to five(5)additional years. FISCAL IMPACT: The vehicle purchase, a CUES TV/LAMP2 camera truck, for approximately $320,000 is budgeted within the Sewer Motor Pool Capital Fund 409. Funds for repair parts and maintenance services are budgeted in the Fleet Management Administration operating Fund 521. Funds are budgeted and approved by the Board within each Division's operating cost centers. Separate Purchase Orders will be issued directly to CUES,Inc. for both the CCTV vehicle and any subsequent parts and supplies on an as-needed basis. Historically, expenditures for items sourced from CUES,Inc.have exceeded$50,000 annually. GROWTH MANAGEMENT IMPACT: There is no Growth Management impact associated with this executive summary. LEGAL CONSIDERATIONS: This item has been approved as to form and legality and requires majority vote for approval.-CMG RECOMMENDATION: That the Board of County Commissioners reaffirms the standardization and utilization of CUES, Inc., for purchases of closed circuit television pipeline inspection vehicles, software, supplies, parts, and pipeline inspection parts; waives the competitive bidding process in accordance with the Board's Procurement Ordinance 2013-69, as amended, Section 9 Formal Competitive Threshold; approves the issuance of a County Purchase Order for the procurement of a CUES equipped truck and all future purchases; and authorizes future purchases as single source for which funds are approved in operating budgets for the period of FY2017 thru FY2021. Prepared by: Mario Menendez,Senior Operations Analyst-Fleet Management ATTACHMENT(S) 1. 11-5744-WV CUES ES (PDF) Packet Pg. 1746 16.E.6 10/25/2016 2. Waiver Request 9 -CUES (PDF) Packet Pg. 1747 16.E.6 10/25/2016 COLLIER COUNTY Board of County Commissioners Item Number: 16.E.6 Item Summary: Recommendation to waive competition and authorize single-source purchases for closed circuit television pipeline inspection vehicles, software, supplies and parts in accordance with the Board's prior approval to standardize these purchases with Community Utilities Environmental Services, Inc. (CUES). Meeting Date: 10/25/2016 Prepared by: Title: Operations Analyst, Senior—Fleet Management Name: Mario Menendez 09/13/2016 5:29 PM Submitted by: Title:Division Director-Fleet Management—Fleet Management Name: Dan Croft 09/13/2016 5:29 PM Approved By: Review: Fleet Management Dan Croft Level 1 Add Division Reviewer Completed 10/14/2016 10:25 AM Procurement Services Lissett DeLaRosa Level 1 Purchasing Gatekeeper Completed 10/14/2016 10:29 AM Procurement Services Sandra Herrera Level 1 Purchasing Reviewer 1-4 Completed 10/14/2016 10:32 AM Administrative Services Department Pat Pochopin Level 1 Division Reviewer Completed 10/14/2016 11:14 AM Procurement Services Pat Pochopin Level 1 Purchasing Reviewer 1-4 Skipped 10/14/2016 11:39 AM Administrative Services Department Len Price Level 2 Division Administrator Review Completed 10/14/2016 3:07 PM County Attorney's Office Colleen Greene Level 2 Attorney Review Completed 10/17/2016 8:41 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 10/17/2016 8:44 AM Office of Management and Budget Laura Wells Additional Reviewer Completed 10/17/2016 9:11 AM County Attorney's Office Jeffrey A.Klatzkow Level 3 County Attorney's Office Review Completed 10/17/2016 10:02 AM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 10/19/2016 11:32 AM Board of County Commissioners MaryJo Brock Meeting Pending 10/25/2016 9:00 AM Packet Pg. 1748 1 6.E.6.a RoCl EXECUTIVE SUMMARY Recommendation to waive competition and authorize sole-source purchases of closed circuit television pipeline inspection vehicles and pipeline inspection parts from Community Utilities Environmental Services, Inc., and approve the purchase of a replacement pipeline inspection vehicle in the amount of$199,920. OBJECTIVE: To standardize the purchase of all future closed circuit television (CCTV) pipeline inspection vehicles and pipeline inspection parts used by the Wastewater Department, and approve the replacement of a 1999 COW pipeline inspection vehicle. CONSIDERATIONS: To maintain regulatory permit, sustained compliance, the Wastewater Department has a preventative maintenance program for the gravity sewer o system. This program requires county staff to use CCTV vehicles to view a total of six hundred eighty one (681) miles of gravity sewer mains, service connections and manholes in a ten (10) year cycle. To meet this objective it is a necessity that the Wastewater Collections Department maintains three (3) CCTV pipeline inspection E vehicles with cameras that can view large and small diameter pipe. To insure prompt cn service to our 54,000 sewer customer accounts, the CCTV vehicle is needed for emergency repairs. The CCTV camera truck allows staff to quickly view and pinpoint the exact location of the problem on blocked, overflowing, and reduced capacity pipes. This technology reduces the need to excavate large areas during repairs, minimizing the w impact to the environment. ti The estimated fiscal savings associated with the standardization of CUES is $ 15,000 in inventory and spare parts and $ 1,500 for staff training on new technology. w Wastewater Collection's 1999 CCTV pipeline inspection vehicle was recommended for replacement by Fleet Management in FY09 and again in FY10 due to the condition of the vehicle engine and suspension system. This vehicle has 89,073 miles; however the vehicle requires extensive idling due to the nature of its operations. With idling considered, the equivalent mileage on the engine is estimated to exceed 250,000 miles. To date the maintenance and repair of the vehicle exceeds $42,000. In order to prevent impact to operations due to repair down time, Fleet recommends purchasing a new turn-key solution (chassis with viewing equipment). This provides a single point of E responsibility for specification, delivery, and warranty purposes. CUES is the only turn-key vehicle manufacturer of CUES pipeline viewing equipment in Florida (the company is located in Orlando). This in-state location provides for more immediate and less expensive response in the event of warranty work or emergency repairs. The original cost of this vehicle was $230,000; the vendor has provided a discount of approximately 13.5% (or a reduction of$31,000) to purchase this vehicle. Section V (A) (4) of the Collier County Purchasing Policy authorizes the Board to waive formal competition if it is in the best interest of the county and Section V (C) authorizes Packet Pg. 1749 16.E.6.a a waiver for single source commodities. Staff recommends that the Board of County Commissioners waive formal competition and authorize sole-source purchases of closed circuit television pipeline inspection vehicles and pipeline inspection parts from CUES, and standardize on the CUES product. FISCAL IMPACT: This vehicle replacement was approved in the Wastewater Department FY2011 budget by the Board of County Commissioners on September 24, 2010. Funds in the amount of $ 199,920 are available for the vehicles and operational funding is also available for spare parts in the amount of $50,000 for FY2011. The source of funding is Wastewater User Fees Fund 408. The fiscal impact of future Li purchases will vary based on vehicle replacement models and types and required spare parts. LLI GROWTH MANAGEMENT IMPACT: There is no Growth Management Impact a associated with this Executive Summary. LEGAL CONSIDERATIONS: Section V (A) (4) of the Collier County Purchasing Policy authorizes the Board to waive formal competition if it is in the best interest of the county vs to do so. Section V (C) authorizes a waiver for single source commodities. This item is legally sufficient for Board action and requires a majority vote. JBW RECOMMENDATION: Waive competition and authorize the sole-source purchases of closed circuit television pipeline inspection vehicles and pipeline inspection parts from Community Utilities Environmental Services, Inc., and approve the standardized purchase of a replacement pipeline inspection vehicle in the amount of$199,920. en LU Prepared by: Irene Johnson, Wastewater Technical Support Manager �r r r E s U fLS :v Packet Pg. 1750 16.E.6.b i C.torier County ; Co!Heil County Administrative Services Department Procurement SerVicesoivrsion Waiver Request Instructions • Completed waiver requests accompanied by the business case and backup documentation must be ubmitted to the division's Procurement Strategist for any amount above$3,000. Purchases above$3,000 require three quotes or formal competition. The division must provide justifi tion to the Procurement Director to request consideration to waive the competitive purchasing process ' d purchase from a single vendor. Waivers of greater than $50,000 will require approval by the Bo of County Commissioners. To qualify for a waiver: select a waiver category, provide the research cond ,' ed and the supporting rationale and acquire the approval signature from your director. Send the waiver request, e business case and contract materials to your Procurement Strategist. c u1 v = Requester Name: Mario Menendez Vendor Name:CUES, INC U aL Division:Fleet Management Item /Service:Manufacturer of Parts, Software,Authorized Sery L ca Budget Year:FY17 Anticipated Cost:$400,000.00 E E c Sole Source: E] Single Source: 0 Standardization: ❑■ cn Emergency: Describe the public health or safety issues that requires the immediate product or servicel(i.e., The a) U supply of vaccination was completely depleted within hours of delivery to the employee health center;the current x vendor will not receive another shipment for 2 weeks). w r. am in Compatibility / Proprietary (One of a Kind or No Substitute Available): Describe the research cqmpleted to co determine that there is only one product or service capable of meeting the County's existing condition s' nd that no U other vendor can provide a product, component,or replacement part that may be substituted. rn This vendor is the only manufacturer supplier of OEM (Original Equipment Manufacturer) products/parts that is N directly compatible with our current hardware and software for underground pipe inspections. c tr Authorized Distributor: Describe the research completed to find similar features and operability, and la letter from L the manufacturer naming the single source authorized distributor(s)in the southwest Florida region. ' L w See attachments. > tu as It is a felony to knowingly circumvent a competitive process for commodities or services by E fraudulently specifying sole source. Florida Statute 838.22(2). t Q Requested by: Mario Menendez Signature: Datei 10/11/16 Division Director: Dan Croft Signature: APPROVED Date; By Dan Croft at 10:17 am,Oct 11,2016 Digitally signed by Matt Catoe Procurement Strategist: Matt Catoe Signature: Matt Catoe_ Date:20,fi.,D.,,,7:20:08 Date 04'00' allisonkearns@colli °'=,,' 9; o;1.,9o,„e, 1 Procurement Director: Allison Kearns Signature: ergov.net 09,554-09C ^e Date 9 Date:i016.101]09.565<-0q00' Attachments: 0 Business Case, rn Sole/Single Source Letter, [' Executive Summary for Standardization immfmmimrmevnsmmmom...i...imvimrm 1-_PacketPg. 1751 16.E.6.b Business Case for Standardization, Sole, or Single Source Waivers i Provide a Business Case for each waiver you have requested, articulating the prodtict and service it performs. 1. Provide information on why a particular product and/or vendor was chosen. Wastewater Division standardized to CUES equipment in 2011. 2. If the product requested is one-of-a-kind item, provide background information on htl)w this was determined and backup resources utilized. U See attached Executive Summary. 3. What would the impact be to change to a different product (include: training, inventoryi parts, maintenance, project (or staff time) to replace the item? Wastewater standardized to Cues equipment in 2011 and currently owns three of thele very sophisticated and expensive sewer camera systems. Because of high costs, operatbr and E maintenance training, and inventory parts, changing systems would not be practical o, in the best interests of the County. j U) 4. If unique features are required to successfully perform the required function, identify what those features are any why they are required and cannot be substituted. (Be specific)i x i w Standardization is very important to the Wastewater Division. Substitution would iot be ti practical. rn 5. Provide information on other models available and why they were rejected. Provide'ibrand w name, model, vendor name, date and name of each resource contacted. To "exactly'match existing equipment" or to "inter-member (connect) with existing equipment" is not ndrmally an acceptable justification for sole brand. When you determine this is a justified factfr that an should be considered; the quantity, manufacturer, brand, model, property number iof the existing equipment, and necessity for"interfacing" must be provided. a> cc We have existing systems that must be maintained using proprietary parts suppled by CUES. Standardization was previously approved by the BCC. 6. Provide product listing of sole/single sourced items you are purchasing. 1 as We have existing systems that must be maintained using proprietary parts suppled by CUES. Standardization was previously approved by the BCC. Prepared by: Mario Menendez Signature: ` z�/tG ate: 10/11/16 Division Director: Dan Croft Signature: Z7i4. Date: 10/11/16 **Waiver requests that exceed $50,000 require board approval must be signed by department head** Department Head: Len Price Signature: Date: Len Golden Price 10/25/16 Packet Pg. 1752 LETTER DATE:September 6, 2016 "The Standalyd of the _16.E_ 6.b Sole Source Justification c u III Nicol CU COLLIER COUNTY(FL) 2901 County Barn Road Naples, FL 34112 karlanicol@colliergov.net I wanted to provide you with some information on why Cues, Inc. is the only manufacturer thot can provide hardware, software, and service for your existing TV equipment. j c U) w Let's start with the question... Why Cues? U ✓ Cues,Inc.is the leading manufacturer of CCTV video equipment in the world and has been in business for over 50 years. y ✓ 100%American Made.All of our Engineering,Sales,Services,and Support are completed in-house,in the US, . co ✓ The Cues Factory,Customer Support Center,and Stock Room are all centrally located in Orlando,FL. E ✓ We carry over$25 million in Parts and Loaner Inventory with over 98%of them shipping the same day. l ✓ Loaner Equipment is Available for the Lifetime that you own Cues Products...meaning limited downtime. w m ✓ The only manufacturer who has its own Software Support Staff and solely manufactures the Granite Softwar Platforms. > ✓ No 3rd Parties.No Dealers.We provide direct factory sales,service,and support for the lifetime of the produ t. 3 ✓ Continued Equipment Support for years after purchase with over 175,000 Engineering Drawings on file. 1 x W You already own Cues TV Inspection Equipment and we are the only manufacturer that is directly ti compatible with your existing transporters and cameras. Other manufacture's may claim to lie able to °.' work with our existing equipment but they generally do not express the level of modification they will be performing on your existing equipment which will also void any Cues warranty. Ili i U We are sole manufacturer and supplier of OEM (Original Equipment Manufacturer) products*arts for a) your existing TV Equipment. a a N ce Sincerely, a >_ Fs \ / cu Chris Parker Regional Sales Manager—Florida 2 CUES, Inc. Q Cell:407.446.7445 I Office: 800.327.7791 x330 cparker@cuesinc.com "The Standa of the Industr CU S Cues,Inc. I 3600 Rio Vista Avenue I Orlando, Florida 32805 I 800.327.7791 I cuesinc.com 1 Packet Pg. 1753 16.E.6.b LETTER DATE:September 6,2016 CUES current cameras, lightheads, Power Control Units, Footage Systems are 100%compatible with your existing CUES TV equipment. This full circle compatibility allows older equipment to opnrate on newer TV systems and newer equipment to operate on older systems. • CUES, Inc. is the sole manufacturer and supplier of OEM (Original Equipment Manufacturer) products/parts for your existing CUES TV equipment. w • The proposed purchase of new equipment and parts is 100%compatible with your existing CUES TV equipment. • CUES, Inc. is the sole manufacture of the ProData, Summit System and Granite XP video/footage capture system. CUES, Inc. has the only in-house software support team. Other products in the cin market are 3rd party add-on programs and offer no in house support. t > • The CUES DUC, OZII and OZIII Pan/Tilt Cameras, Ultra Shorty Tractor, Pipe Ranger are solely x manufactured by CUES in Orlando, Florida. w i n a) rn • The CUES Mini Push 2020 and MP+ Lateral Inspection units are solely manufactured by CU ES in Orlando, Florida. The MiniPush translator adapter allows full interconnect to your TV unit's existing VCR, Monitor and data system. U • CUES, Inc. maintains over$20 million dollars in parts and supplies that eliminates the nefor you N e ) to have an extensive part inventory. j a) cs- a) CL • The manufacturing center, customer support center and stockroom are located in Orlando, Florida. I > Other manufactures may claim to have components i.e. cameras, etc. that can be modified tt14 operate on your existing CUES system, however this may require special one of a kind cables or modifi4ations to the internal electronics of your camera, Power Control Unit, etc. Any modification to the s}4stem's 0 electronics voids the manufactures warranty and the life-time loaner policy. Cues,Inc. I 3600 Rio Vista Avenue I Orlando,Florida 32805 I 800.327.7791 I cuesinc.com Packet Pg. 1754 t_t.. �._a 16.E.6.b "The Standard of the I ustry" CUES 3600 Rio Vista Avenue Orlando,Florida 32801 (407)849-0190 (407)425-1569(Fax) (800)327-7791 September 6, 2015E 0 w RE: Collier County PO Terms and Conditions,exception to#4- Shipping and Invoi�es 11 l L To whom it may concern: We take exception to number four(4) of the Purchase Order Terms and Conditions. Colligr County shall be responsible for freight/shipping charges on all invoices. Thank you, w C, Chris Parker Li! Regional Sales Manager C, N a- a) c E' w 1 E v co i Q Corporate Office: 3600 Rio Vista Avenue,Orlando, FL 32805 •Telephone(407)849-0190/(800)327-7791 • Fax(407) 425-15159 Packet Pg. 1755