Broward County Commission Regular Meeting
Director's Name: Stephen Farmer (Acting Director)
Department: Finance and Administrative Services Division: Purchasing
Information
Requested Action
title
A. MOTION TO APPROVE open-end contract to Caterpillar, Inc., under Sourcewell Contract No. 040924, Equipment Rental, Products and Related Services for the Broward County Transportation Department, in the initial three-year maximum not-to-exceed amount of $1,050,000, subject to the execution of the Participating Addendum attached hereto as Exhibit 1, authorizing the Director of Purchasing to execute the applicable Participating Addendum, and any amendments to renew the contract for the full duration of the Sourcewell Contract, subject to review and approval for legal sufficiency by the County Attorney’s Office, up to a total maximum not-to-exceed amount of $1,400,000.
B. MOTION TO APPROVE open-end contract to Global Rental Co., Inc. under Sourcewell Contract No. 040924, Equipment Rental, Products and Related Services for the Broward County Transportation Department, in the initial five-year maximum not-to-exceed amount of $1,750,000, subject to the execution of the Participating Addendum attached hereto as Exhibit 2, authorizing the Director of Purchasing to execute the applicable Participating Addendum, and any amendments to renew the contract for the full duration of the Sourcewell Contract, subject to review and approval for legal sufficiency by the County Attorney’s Office, up to a total maximum not-to-exceed amount of $2,450,000.
C. MOTION TO APPROVE open-end contract to Herc Rentals, Inc. under Sourcewell Contract No. 040924, Equipment Rental, Products and Related Services for the Broward County Transportation Department, in the initial five-year maximum not-to-exceed amount of $1,750,000, subject to the execution of the Participating Addendum attached hereto as Exhibit 3, authorizing the Director of Purchasing to execute the applicable Participating Addendum, and any amendments to renew the contract for the full duration of the Sourcewell Contract, subject to review and approval for legal sufficiency by the County Attorney’s Office, up to a total maximum not-to-exceed amount of $2,450,000.
D. MOTION TO APPROVE open-end contract to United Rentals, Inc. under Sourcewell Contract No. 040924, Equipment Rental, Products and Related Services for the Broward County Transportation Department, in the initial five-year maximum not-to-exceed amount of $1,750,000, subject to the execution of the Participating Addendum attached hereto as Exhibit 4, authorizing the Director of Purchasing to execute the applicable Participating Addendum, and any amendments to renew the contract for the full duration of the Sourcewell Contract, subject to review and approval for legal sufficiency by the County Attorney’s Office, up to a total maximum not-to-exceed amount of $2,450,000.
body
Why Action is Necessary
In accordance with the Broward County Procurement Code Section 21.47(a), Award and Execution Authority, the Board shall make all awards and authorize the execution of associated contracts with a value of more than $500,000, inclusive of the value of any renewals or extensions provided in the contract.
In accordance with Broward County Procurement Code Section 21.27, Purchases from Other Government Contracts, the Director of Purchasing may purchase goods or services under any procurement contract held by a governmental agency or nonprofit entity, or the County may enter into its own contract with the vendor under the originating contract if (a) the Director of Purchasing determines the originating contract was competitively procured in accordance with generally accepted standards of public procurement; (b) the originating contract (as applicable) allows the County to purchase therefrom; and (c) the terms and conditions offered to the County by the vendor do not materially deviate from the terms and conditions of the originating contract.
What Action Accomplishes
Provides for the rental of construction equipment, trailers, grounds maintenance equipment, roadway maintenance equipment, forklifts, lift trucks, medium duty, and related equipment and authorizes the Director of Purchasing to execute any required Participating Addendum, subject to review for legal sufficiency by the Office of the County Attorney.
Goal Related Icon(s)
☐County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
None.
Summary Explanation/Background
THE PURCHASING DIVISION AND THE TRANSPORTATION DEPARTMENT RECOMMEND APPROVAL OF THE ABOVE MOTIONS.
The Office of Economic and Small Business Development did not reserve this project for Small Business Enterprises or assign County Business Enterprise participation goals based on obtaining services through a preexisting contract with a non-Broward County agency (Exhibit 5).
The purpose of this item is to enable use of a contract from another government entity, Sourcewell, a State of Minnesota local government unit and service cooperative, Contract No. 040924, for rental services of construction equipment, trailers, grounds maintenance equipment, roadway maintenance equipment, forklifts, lift trucks, medium duty and related equipment. As a government organization, Sourcewell provides contracts for state and local governments, education, nonprofit, tribal government, and other public agencies, to leverage economies of scale through volume discount pricing for its Participating Entities.
The Request for Proposal (RFP) No. 040924 for the procurement of Rental Services for Equipment, Products, and Related Services was competitively solicited by Sourcewell, a State of Minnesota local government agency and service cooperative on February 20, 2024, and publicly opened on April 9, 2024, with 17 responses received (Exhibit 6). Sourcewell awarded Contract No. 040924 (Sourcewell Contract) to nine vendors, including 1) Caterpillar, Inc., 2) Global Rental Co., Inc., 3) Herc Rentals, Inc., and 4) United Rentals, Inc., for an initial four-year term, ending on June 11, 2028, with options to renew for three additional, one-year renewal terms (with the exception of Caterpillar, Inc., and the option to renew its contract for one additional, one-year renewal term) for a total potential seven-year term.
The Purchasing Division has determined that the Sourcewell Contract will provide cost-effective pricing and a streamlined supply source to maintain Broward County operations from the four awarded vendors (Exhibit 7). The evaluation was based on the vendors’ distribution or dealer locations, the categories of equipment, and the product availability.
The Purchasing Division has reviewed the awarded vendors’ discounts offered and found them to be fair and reasonable, which will allow Broward County to take advantage of lower costs based on large volume discounts and economies of scales, while reducing administrative costs.
Source of Additional Information
Robert E. Gleason, Director, Purchasing Division, (954) 357-6070
Fiscal Impact
Fiscal Impact/Cost Summary
The open-end contracts have a not-to-exceed amount of $8,750,000 over a potential seven-year period. The funds estimated for the current fiscal year are included in the current fiscal year budget.
Requisition No. FLE0005547