Agenda 09/15/2009 Item #16B19
Agenda Item No. 16B 19
September 15, 2009
Page 1 of 6
EXECUTIVE SUMMARY
Recommendation to waive the formal competitive requirement of the County's Purchasing
Policy, and authorize the purchase of a 750KW Generator in the amount of $75,000 from
Metro Power Systems, Inc. for the CoHier Area Transit (CAT) Headquarters Building
located at 8300 Radio Road
OBJECTIVE: To purchase a generator for Collier Area Transit headquarters to enable the
facility to remain operational in the event of a loss of electrical service.
CONISDERATIONS: The Collier Area Transit System re-located its headquarters and
maintenance facilities to the current location at 8300 Radio Road in February, 2008. The facility
was formerly owned and occupied by a local car dealership. At the time the County took
occupancy, the building did not (and still does not) have emergency electrical back up service.
During the past year, the County leased a 750 KW Generator from Metro Power Systems, Inc. to
supplement the existing generator in the Hannon Turner Building. Within the last few months, a
new larger generator has been successfully installed in that building, hence eliminating the
ongoing need for the leased unit. The lease agreement for that equipment expired at the end of
July and shortly before the expiration of the lease, the generator vendor offered to sell the unit to
the County at a discounted price. Upon receiving this offer, Facilities Management contacted
staff from the Alternative Transportation Modes (A TM) Department to detennine if there would
be an interest in purchasing this unit for the CAT facility.
As part of the purchase, the vendor agreed to provide the labor to relocate the unit to th(l CAT
building. The vendor offered to sell and re-Iocate the generator for a total cost of $75,000.
Facilities Management and Purchasing Department staff reviewed the offer and compared it to
prices for other used generators of similar design and age presently available on the open market.
Staff has determined that the offered price is about half the cost of a new unit and is considerably
less than the cost of used generators of similar size and age.
Given that the offered price exceeds staffs purchase authority under the purchasing policy and
given that there was not sufficient lead time to obtain prior approval of the purchase from the
Board, the Purchasing Department issued a letter of intent to the vendor stating that the County
intended to purchase the unit from the vendor at the offered price. In turn, the vendor relocated
the generator to the CAT facility at the end of July. The vendor further agreed to remove the unit
at no cost to the County if the Board elected not to authorize the purchase.
In light of the considerations set forth herein, staff recommends waiving the fonnal competitive
bidding requirements (as set forth under Section V.AA ofthe Purchasing Policy) and approve the
purchase on the basis that it is in the best interests of the County to do so. Approval of this action
will enable the CAT Facility to obtain a back up electrical service in a timely and cost-effective
manner.
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Agenda Item No. 16819
September 15, 2009
Page 2 of 6
FISCAL IMPACT: The funding for this generator is coming from an FT A 5309 grant under a
separate BCC item.
LEGAL CONSIDERATIONS: Section V (A) (4) of the Collier County Purchasing Policy
provides in part,
"[t]he requirement for formal competition may be waived by the Board of County
Commissioners where pennitted by law, under the following circumstances:
4. Where it is determined to be in the best interests ofthe County to do so."
If the Board chooses, it may waive the requirement for formal competition finding that it is in the
best interests of the County to do so in light of the benefit realized by purchasing the used
generator from this vendor. This item has been reviewed and approved by the County Attorney's
Office and is a legally sufficient, rebrular agenda item only requiring a majority vote for
approval-SR T
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated
with this action.
RECOMMENDATION: That the Board of County Commissioners waives the formal
competitive bid requirements and authorizes the purchase of a 750 KW Generator from Metro
Power Systems, Inc. in the amount of $75,000 for the Collier Area Transit (CAT) Headquarter
Facility located at 8300 Radio Road.
Prepared By: Y ousi Cardeso, Administrative Assistant, Alternative Transportation Modes
Attachment: Letter of Intent
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Agenda Item No. 16819
September 15, 2009
Page 3 of 6
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
Item Number:
Item Summary:
16B19
Recommendations to waive the formal competitive requirement of the County's Purchasing
POlicy and authorize the purchase of a 750 KW generator in the amount of $75,000 from
Metro Power Systems, Inc, for the Collier Area Transit (CAT) Headquarters building located
at 8300 Radio Road,
Meeting Date:
9/15/200990000 AM
Prepared By
Yousi Cardeso Administrative Secretary Date
Alternate Transportation Modes 8/24/2009 3:30:15 PM
Approved By
Norm E. Feder, AICP Transportation Division Administrator Date
Transportation Services Transportation Services Admin. 8/24/2009 3:36 PM
Approved By
Glama Carter Operations Analyst Date
Transportation Services Transportation Administration 8/24/2009 3:47 PM
Approved By
Michelle Edwards Arnold Alternative Transportation Modes
Director Date
Transportation Services Alternative Transportation Modes 8/26/200910:13 AM
Approved By
Barbara LaPierre Management/Budget Analyst Date
Transportation Services Traffic Operations 8/26/20092:36 PM
Approved By
Therese Stanley Grants Coordinator Date
Transportation Transportation Administration 8/26/20093:40 PM
Approved By
Scott R. Teach Assistant County Attorney Date
County Attorney County Attorney Office 8/31/2009 1 :55 PM
Approved By
Jeff Klatzkow County Attorney Date
County Attorney County Attorney Office 9/1/2009 3:11 PM
Approved By
Pat Lehnhard Executive Secretary Date
Transportation Services Transportation Services Admin 9/1/20094:04 PM
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Agenda Item No, 16819
September is, 2009
Page 4 of 6
Approved By
OMS Coordinator
OMS Coordinator
Date
County Manager's Office
Office of Management & Budget
9/2/2009 10:02 AM
Approved By
Mark Isackson
Budget Analyst
Date
County Manager's Office
Office of Management & Budget
9/2/2009 12:12 PM
Approved By
Leo E. Ochs, Jr.
Board of County
Commissioners
Deputy County Manager
Date
County Manager's Office
9/2/2009 5:59 PM
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AdninistJative Services Division
Purcl1asing
Agenda Itern No. 16819
September 15, 2009
Page 5 of 6
July 29, 2009
Mr. Robert Aull.
Project Manager
Metro Power Systems Inc.
PO Box 6812
Fort Myers, FL 33911
Re: Letter of Commitment for the purchase of a generator
for Collier Area Transit system building
Dear Mr. Aull,
In follow up to your previous conversations with John Clements, the Purchasing Department
is forwarding to your attention this letter of commitment expressing Collier County's intent to
purchase the following generator unit:
(1) QST30-G1 (1800) 750KW Cummins Generator Set
Engine Serial # 37198500
This unit is presently located at the Collier County Government Center. Pursuant to this
commitment letter, Metro Power Systems Inc. will re-Iocate the generator to the Collier Area
Transit Building located at 8300 Radio Road in coordination with Mr. Clements. The
relocation of the generator is tentatively scheduled for Friday, July 31 st.
In accordance with your price quotation of June 24,2009, Collier County intends to buy the
generator from Metro Power Systems for the total price of $75,000. The agreed upon
purchase price exceeds the purchase authority of County staff. Hence, staff will ultimately
need to obtain the approval of the Board of County Commissioners for this transaction.
The next meeting of the Board is scheduled for September 15, 2009. Subsequent to
receiving appropriate authorization, the Purchasing Department will issue a purchase order
to Metro Power Systems Inc. in the amount of $75,000 for the purchase. In the unlikely
event that the Board for whatever reason elects not to authorize this purchase, Metro Power
Systems will agree to remove the generator from the CAT facility within 15 days of being
notified at no cost to Collier County.
In accordance with customary practices, Collier County is requesting that Metro Power
Systems furnish certificates of insurance that meet or exceed the following requirements:
o $1 Million of general liability coverage
o Identification of Collier County as an additional insured party for this coverage
o $1 Million business auto coverage
o Workers Compensation coverage (per Florida Statutes)
(j)
~ 0eplwtrIft. 3301 Tamiami Trail East . Naples, Florida 34112, www.colliergov.netlpurtl\a$ing
Agenda Item No. 16819
September 15. 2009
Page 6 of 6
Mr. Robert Aull,
July 29, 2009
Page 2 of 2
Please forward these certificates of insurance to the attention of Lyn Wood, contracts specialist
in the Purchasing Department as soon as possible.
Should you have any questions concerning this commitment letter, please contact Lyn or me.
Sincerely,
~#t U ,Qc,1/f{
Steve Carnell, t}
Purchasing/General Services Director
cc: John Clements, Facilities Management
Michelle Arnold, Alternative Transportation Modes Department