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Agenda 12/10/2019 Item #16E 8 (Purchase w/Everglades Equipment Group)12/10/2019 EXECUTIVE SUMMARY Recommendation to authorize purchases in excess of $50,000 for John Deere agricultural and turf equipment parts, repairs and services from EFE, Inc. d/b/a Everglades Equipment Group, as a single-source provider. OBJECTIVE: To maintain safe, reliable, and readily available vehicles and equipment that enhance the County’s capabilities to deliver effective public services during normal and emergency operations. CONSIDERATIONS: Collier County owns 132 pieces of John Deere agricultural and turf equipment with a current value exceeding $1.3 million. Most John Deere mechanical parts are proprietary and can be purchased only from a manufacturer’s authorized regional dealership. EFE, Inc. d/b/a Everglades Equipment Group (“Everglades Equipment Group”) is the only authorized Original Equipment Manufacturer dealer in the Collier County area for parts and services of these equipment items. Everglades Equipment Group maintains replacement parts and trained technicians to provide support for the various pieces of John Deere agricultural and turf equipment in the County’s inventory. Pursuant to Section Three, sub-paragraph 3 (Applicability and Approved Thresholds) and Section Eleven, sub-paragraph 11 (Procurement Methods) of Collier County Procurement Ordinance No. 2017-08, as amended, the Procurement Director finds that it is in the best interest of the county to waive competition and allow the single-source procurement of these products and services. Board authorization is required when purchases will exceed $50,000.00 during a fiscal year. It is anticipated that the goods and services purchased from Everglades Equipment Group will exceed $50,000 during fiscal years 2020 through 2024. Therefore, staff requests authorization to make these purchases from Everglades Equipment Group as a single-source vendor for parts and services for FY 2020 thru FY 2024, with Procurement Staff annually reviewing the John Deere distribution system. FISCAL IMPACT: Funds for Fleet Management service requirements are budgeted annually in the Fleet Management Fund 521 operating budget. Total expenditures under this single source agreement are estimated at $90,000 annually. GROWTH MANAGEMENT IMPACT: There are no Growth Management Impacts associated with this action. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board approval. -SRT RECOMMENDATION: To authorize purchases for John Deere agricultural and turf equipment parts and services from EFE, Inc. d/b/a Everglades Equipment Group as a single-source vendor, for amounts exceeding $50,000 per fiscal year, for the period FY 2020 thru FY 2024. Prepared by: Dan Croft, Director, Fleet Management Division ATTACHMENT(S) 1. EFE MANUFACTURER LETTER (1) (PDF) 2. EFE SS EXCEPTION LETTER (1) (PDF) 3. EFE SS LETTER (1) (PDF) 4. FY20 Waiver Request 035 - Everglades Equipment Group (PDF) 16.E.8 Packet Pg. 2637 12/10/2019 COLLIER COUNTY Board of County Commissioners Item Number: 16.E.8 Doc ID: 10891 Item Summary: Recommendation to authorize purchases in excess of $50,000 for John Deere agricultural and turf equipment parts, repairs and services from EFE, Inc. d/b/a Everglades Equipment Group, as a single-source provider. Meeting Date: 12/10/2019 Prepared by: Title: Operations Analyst, Senior – Fleet Management Name: Mario Menendez 11/14/2019 4:11 PM Submitted by: Title: Division Director - Fleet Management – Fleet Management Name: Dan Croft 11/14/2019 4:11 PM Approved By: Review: Administrative Services Department Paula Brethauer Level 1 Division Reviewer Completed 11/14/2019 4:25 PM Procurement Services Opal Vann Level 1 Purchasing Gatekeeper Completed 11/14/2019 4:26 PM Procurement Services Catherine Bigelow Additional Reviewer Completed 11/15/2019 7:36 AM Procurement Services Sara Schneeberger Additional Reviewer Completed 11/15/2019 3:22 PM Administrative Services Department Len Price Level 2 Division Administrator Review Completed 11/18/2019 4:38 PM County Attorney's Office Scott Teach Level 2 Attorney Review Completed 11/18/2019 4:47 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 11/19/2019 10:23 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 11/19/2019 11:03 AM Office of Management and Budget Laura Wells Additional Reviewer Completed 11/21/2019 11:36 AM County Manager's Office Sean Callahan Level 4 County Manager Review Completed 11/25/2019 10:42 AM Board of County Commissioners MaryJo Brock Meeting Pending 12/10/2019 9:00 AM 16.E.8 Packet Pg. 2638 16.E.8.a Packet Pg. 2639 Attachment: EFE MANUFACTURER LETTER (1) (10891 : Recommendation to authorize purchases in excess of $50,000 for John Deere parts & 16.E.8.b Packet Pg. 2640 Attachment: EFE SS EXCEPTION LETTER (1) (10891 : Recommendation to authorize purchases in excess of $50,000 for John Deere parts & 16.E.8.c Packet Pg. 2641 Attachment: EFE SS LETTER (1) (10891 : Recommendation to authorize purchases in excess of $50,000 for John Deere parts & services.) Collier County Instructions Waiver Request Form Completed waiver requests accompanied by any associated backup documentation (sole source letter, business case, etc.) must be submitted to the division’s Procurement Strategist for any procurement, without competition, in excess of $3,000. Waiver requests greater than $50,000 will require approval by the Board of County Commissioners. Sole source refers to a procurement where the selection of one particular supplier to the exclusion of all others may be based on having only one supplier in the market place, proprietary technology, copyright, patent, or a supplier’s unique capability. Single source refers to a procurement directed to one source because of standardization, warranty, geographic territory, or other factors, even though other competitive sources may be available. Requester Name: Division: Item/Service: Vendor Name: Historical Countywide Spend: ______________________ Requested date range: _____________ Not to Exceed per Fiscal Year: _______________ Is there an agreement associated with this waiver to be reviewed by Contracts? † Yes † No †Sole Source †Single Source †One Time Purchase †Multiple Purchases Description of Purchase: Enter a description 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 essential to County operations. Information Technology: Select Yes if the products/services are related to Information Technology. If yes, please provide the Purchasing Compliance Code (PCC) number or email approval documentation. †Yes †No If yes, provide the PCC number:__________________________________________________ MIKE BURKS FLEET MANAGEMENT PARTS SERVICE SALES EVERGLADES EQUIPMENT GROUP $50,000 10/1/2019-09/30/2024 $90,000 Purchase parts and services to maintain all County-owned John Deere agricultural and turf equipment. Shipping/freight charges will be listed separately from the product on all invoices to Collier County (exception letter attached). Parts and repairs are needed to maintain County-owned John Deere agricultural and turf equipment. ✔ ✔ ✔✔ 16.E.8.d Packet Pg. 2642 Attachment: FY20 Waiver Request 035 - Everglades Equipment Group (10891 : Recommendation to authorize purchases in excess of $50,000 Justification: Identify the criteria that qualifies this purchase as a sole or single source. Select from the list below. Check all that apply (if box is checked, please make sure to provide an explanation 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 documentation 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, timeliness, etc.? †Product Compatibility: Does this product/service provide compatibility with existing equipment that prohibits switching to another comparable brand/vendor? If yes, provide the detailed explanation below, including what would occur if the other brand/vendor were used. †Proprietary: Is this product/service proprietary? If yes, provide a detailed explanation below on how its use is restricted by patent, copyright or other applicable laws and provide documentation validating that claim. †Single Source †Standardization: Is this product/service part of a purchase that the County has already standardized on? If yes, please provide the detailed information below. Date of BCC Standardization: ___________________ 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 documentation verifying the warranty. †Geographic Territory: Is this vendor the only vendor authorized to sell this product/service in our region? If yes, provide documentation from the manufacturer confirming those claims. †Other Factors: Any other reason not listed above, explain below. Explain: How does this purchase meet the identified sole or single source criteria listed above? Everglades Equipment Group is the local authorized dealer for John Deere agricultural and turf equipment, parts, and service. The manufacturer has submitted a letter verifying Everglades Equipment Group is the sole source dealer in this area. ✔ ✔ 16.E.8.d Packet Pg. 2643 Attachment: FY20 Waiver Request 035 - Everglades Equipment Group (10891 : Recommendation to authorize purchases in excess of $50,000 How was the decision made to use this vendor? Describe in detail if a formal standardization 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 competitive solicitation: What are the benefits from the continued 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 this pricing compares to other vendors/products and is it considered to be fair and reasonable: Provide information on 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 standardization. †Yes †No If yes, explain what types: Competitive bids were used for original purchase of the equipment. Fleet Management's task is to maintain the equipment efficiently and effectively. Collier County currently has 132 pieces of John Deere agricultural and turf equipment with current depreciated value exceeding $1.3 million. Historically, Collier County’s Fleet Management has utilized the regional distributor, Everglades Equipment Group, for parts and service. Most mechanical repair parts on the John Deere equipment are proprietary and must be purchased from an Original Equipment Manufacturer (OEM) authorized regional dealership. Everglades Equipment Group is the only authorized regional dealership for the Collier County area. When after-market parts such as tires, batteries, filters, electrical components, and fluids can be applied, existing competitive bids are used if the prices are favorable. Costs with Everglades Equipment Group have remained consistent and reasonable. Fleet Management's inventory system will notify of any price increases. Everglades Equipment Group is the authorized OEM dealership for John Deere parts and service in the Collier County area. Changing to the John Deere brand within the last several years was the alternative approach when other brands proved to be too expensive or unreliable. With the large investment that the County now has with John Deere, another change would not seem prudent. ✔ 16.E.8.d Packet Pg. 2644 Attachment: FY20 Waiver Request 035 - Everglades Equipment Group (10891 : Recommendation to authorize purchases in excess of $50,000 Market research and market alternatives: When was the last time a market evaluation was performed to determine if either the technology or vendor offerings have changed? Based on the life expectancy of the product, when do you anticipate evaluating the market again? Please attach a detailed market evaluation report should the complexity, duration, and dollar amount of the purchase be a high risk to the County. It is a felony to knowingly and intentionally circumvent a competitive process for commodities or services by fraudulently specifying sole source to obtain a benefit for any person or to cause unlawful harm to another. Florida Statute 838.22(2). Requested by: Signature: Date: Division Director: Signature: Date: Department Head: Required if over $50,000 Signature: Date: Procurement Strategist: Signature: Date: Procurement Director: Or designee Signature: Date: For Procurement Use Only:  †Approved †Requesting Additional Information †Requires RFI/Intent to Sole Source †Rejected Procurement Comments: †Current FY Approval †Multi-Year Approval Start Date: ______________ End Date: __________ Fleet Management will check periodically for other dealers in the area. Currently, Everglades Equipment Group is the proprietary dealer for John Deere agricultural and turf equipment in this area. John Deere agricultural and turf equipment has been selected based on reliability, functionality, support, and cost. MIKE BURKS DAN CROFT 10/2/19 Len Price Sara Schneeberger Catherine Bigelow 11/13/2019 09/30/2024 BurksMichael Digitally signed by BurksMichael Date: 2019.10.01 14:37:40 -04'00' CroftDan Digitally signed by CroftDan Date: 2019.10.02 10:36:07 -04'00' PriceLen Digitally signed by PriceLen Date: 2019.11.07 13:03:37 -05'00' SchneebergerS ara Digitally signed by SchneebergerSara Date: 2019.11.13 12:09:08 -05'00' Cat Bigelow Digitally signed by Cat Bigelow DN: cn=Cat Bigelow, o=Collier County Government, ou=Procurement Services, email=catherinebigelow@colliergov.net, c=US Date: 2019.11.14 12:22:19 -05'00' ✔ ✔ 16.E.8.d Packet Pg. 2645 Attachment: FY20 Waiver Request 035 - Everglades Equipment Group (10891 : Recommendation to authorize purchases in excess of $50,000