TO: Mayor and Commissioners
FROM: Caryn Gardner-Young, Assistant City Manager
THROUGH: Mark Lauzier, City Manager
DATE: January 16, 2018
Title
APPROVE A BID WAIVER TO AWARD A PURCHASE ORDER TO SPACE COAST HARLEY-DAVIDSON FOR FIVE (5) POLICE MOTORCYCLES IN A NOT-TO-EXCEED AMOUNT OF $90,000
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Recommended Action:
Recommendation
Motion to approve a Bid Waiver to award a purchase order to Space Coast Harley-Davidson for five (5) Police motorcycles in a not-to-exceed amount of $90,000.
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Background:
The City of Delray Beach’s (City) Police Department purchased five (5) 2014 Harley Davidson motorcycles in September of 2013 for five (5) existing law enforcement positions. Based upon their usage and the life cycle of a motorcycle, the motorcycles are due for replacement this fiscal year. The Police Department is recommending replacing the five (5) existing motorcycles with five (5) new 2018 Harley-Davidson FLHTP Electra Glide Police Motorcycles through the Limited or No Competition Acquisitions of the City's Purchasing Policies and Procedures Manual (Manual). This section of the Manual states that "when competition is not available or when it is determined in the best interest of the City to utilize other than full and open competition, City legislation authorizes the execution of purchases by other methods such as a Bid Waiver, Sole Source or emergency basis". The Purchasing Director will review all Sole Source, Bid Waiver and City Standard purchase requests to determine the appropriate acquisition approach. This review includes evaluating specifications and statement of work to ensure that no artificial barriers or unnecessary restrictions prohibit or reduce competition. The requesting Department shall perform product and industry market research in order to determine if alternative sources of supply may be available to meet the requirements. Below is the research that was conducted for this purchase.
The Fleet Maintenance Division of the Public Works Department, in collaboration with the Purchasing Department, performed market research to find the most cost effective competitive method for acquiring five (5) new motorcycles. This market research included reviewing other governmental entities’ contracts for Harley-Davidson motorcycles, as well as sourcing our own quotes to compare prices. City staff concluded that the City can save nearly $10,000 by utilizing the Bid Waiver competitive method, which is in accordance with the Purchasing Policies and Procedures Manual. If staff were to solicit a bid for this purchase, there is no guarantee that Space Coast Harley-Davidson would submit a bid response for the same price per motorcycle, if at all. Utilizing the Bid Waiver method, Space Coast Harley-Davidson has provided a quote good through January 26, 2018. In addition, the City will save $2,205.50 per motorcycle by utilizing this method over piggybacking off the Florida Sheriff’s Association Contract FSA17-VEL25.0.
The first quote that the City obtained was from Rossmeyer Daytona Motorcycles, Inc. DBA Daytona Harley-Davidson in an amount of $19,850 per motorcycle. This pricing is in accordance with the Florida Sheriff’s Association Contract FSA17-VEL25.0. The next quote obtained was from Space Coast Harley-Davidson in an amount of $17,644.50 per motorcycle. The final quote received was from Alligator Alley Harley-Davidson in an amount of $17,950.61 per motorcycle. All quotes are all inclusive, including a two-tone white and black paint scheme and the purchase and installation of saddle bag rails.
Total price per motorcycle - $17,644.50
Total price for five motorcycles - $88,222.50
This motion is in accordance with City Ordinance and Purchasing Policy; Limited or No Competition Acquisitions and is an affirmative vote that use of the formal bid method is not in the best interest of the City.
City Attorney Review:
Approved as to form and legal sufficiency.
Finance Department Review:
Finance recommends approval.
Funding Source/Financial Impact:
Funding is available from account number 501-43-390-549.64-20 - Machinery & Equipment Automotive.