M&C Review


COUNCIL ACTION:  Approved on 9/11/2018 

DATE: 9/11/2018 REFERENCE NO.: **P-12247 LOG NAME: 13P18-00434885 MOTOROLA RADIO PARTS AND RELATED EQUIPMENT ITS
CODE: P TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:  

Authorize Execution of an Amendment to City Secretary Contract No. 50054, System Purchase Agreement  for Additional Radios and Other System Equipment and Services for the Information Technology Solutions Department with Motorola Solutions, Inc. Using Houston-Galveston Area Council Contract No. RA05-18, or its Successors, for Three One-Year Terms for a First-Year Amount of $1,016,400.00, Second Year Amount of $1,118,040.00 and Third Year Amount of $1,229,844.00 (ALL COUNCIL DISTRICTS)


RECOMMENDATION:

It is recommended that the City Council authorize the execution of an amendment to City Secretary Contract No. 50054 for the existing System Purchase Agreement for additional radios and other system equipment and services for the Information Technology Solutions Department with Motorola Solutions, Inc. using Houston-Galveston Area Council Contract No. RA05-18, or its successors, for three one-year terms for a first-year amount of $1,016,400.00, Second Year amount of $1,118,040.00 and Third Year amount of $1,229,844.00 .

 
DISCUSSION:

The City of Fort Worth maintains a radio communications system, the Fort Worth Regional Radio System (FWRRS), utilized by most City departments and almost 50 external government entities. Mayor and Council Communication (M&C C-28495) authorized a System Purchase Agreement with Motorola Solutions, Inc. (Motorola) in an amount of $1,602,101.00 using Houston-Galveston Area Council (H-GAC) Contract RA05-15 for the acquisition and implementation of GPS capabilities, upgrade of the City's Outdoor Warning System (OWS) and establishment of a four-year discount program for the purchase of radios, other system equipment and services. The discount program as negotiated by IT Solutions includes additional discounts of up to 20% off H-GAC pricing for equipment and a discount of up to 5% for services.

M&C C-28495 authorized the City to purchase similar equipment and services under successive contracts, stating if H-GAC Contract RA05-15 is not extended but H-GAC executes a new cooperative contract with Motorola Solutions, Inc. with substantially similar terms as H-GAC Contract RA05-15, that M&C authorizes the City to purchase equipment and services under the new H-GAC contract. H-GAC Contract RA05-18 is the successive contract to H-GAC Contract RA05-15.

This M&C will authorize the City to continue purchasing radios, repair services, parts and accessories on an as-needed basis from Motorola using H-GAC Contract RA05-18, in an amount of $1,016,400.00 for the first year. Future years' expenditures are expected to rise 10 percent each year as follows:  $1,118,040.00 in year two and $1,229,844.00 in year three for a three-year total authorization of $3,364,284.00.

Other terms and conditions of the existing Agreement remain the same.

PRICE ANALYSIS - H-GAC provides up to a 25 percent discount off list price for products commonly acquired by the City with no significant pricing increase compared to the last Agreement approved by City Council on December 6, 2016 (M&C P-11978). In addition, IT Solutions staff negotiated additional discounts of up to 20% off H-GAC pricing in an agreement with Motorola approved by City Council on December 5, 2017 (M&C C-28495).

COOPERATIVE PURCHASE - State law provides that a local government purchasing an item under a Cooperative Purchasing Agreement satisfies any state law requiring that the local government seek competitive bids for purchase of the item. The H-GAC contract was competitively bid to increase and simplify the purchasing power of government entities across the State of Texas.

M/WBE - A MBE/SBE goal is not assigned when purchasing from an approved purchasing cooperative or public entity.

SUCCESSOR CONTRACTS - To facilitate planning and budgeting, Staff would prefer to have annual Agreements that align with the Fiscal Year. However, the H-GAC Agreements are out of alignment with the City's Fiscal Year and the current terms will expire on April 30, 2021. In order for these Agreements to align with the City's Fiscal Year, adoption of this Mayor and Council Communication (M&C) technically authorizes (i) a series of Purchase Agreements, each of which will align to a term of the H-GAC, Agreement to ensure legal authority exists for the contract, and (ii) an annual spend amount, future years of which would be subject to City Council appropriation. In the event that a Cooperative Agreement is not renewed, Staff would cease purchasing at the end of the last Purchase Agreement coinciding with the valid Cooperative Agreements. If the City Council were to not appropriate funds for a future year, Staff would stop making purchases when the last appropriation expires, regardless of whether the then-current Purchase Agreement has expired.

The City will initially use H-GAC Contract No. RA05-18  to make purchases authorized by this M&C. As noted, H-GAC Contract No. RA05-18 expires on April 30, 2021. If H-GAC Contract No. RA05-18, is extended, this M&C authorizes the City to purchase similar equipment and supplies under the extended contracts. If H-GAC Contract No. RA05-18, is not extended, but H-GAC  execute new cooperative contract with Motorola Solutions, Inc. with substantially similar terms as H-GAC Contract No. RA05-18, this M&C authorizes the City to purchase the equipment and supplies under the new H-GAC contracts.

ADMINISTRATIVE CHANGE ORDER - An administrative change order or increase may be made by the City Manager in the amount up to $100,000.00 and does not require specific City Council approval as long as sufficient funds have been appropriated.

AGREEMENT TERM - Upon City Council's approval, this amendment to the agreement shall commence upon final execution and shall expire in correspond with the terms of the contract.

RENEWAL OPTIONS -This Agreement may be renewed for additional two-year terms according to the cooperative agreement at the City's option. This action does not require specific City Council approval provided that the City Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term. Staff anticipates the cost for renewal years will be the same as for the first year.

 
FISCAL INFORMATION/CERTIFICATION:

The Director of Finance certifies that funds are available in the current operating budget and capital budget, as appropriated, and that prior to an expenditure being made, the Information Technology Solutions Department has the responsibility to validate the availability of funds.  Future year appropriations are subject to Mayor and Council approval.

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Submitted for City Manager's Office by:
Susan Alanis (8180)
Originating Department Head:
Cynthia B. Garcia (8525)
Additional Information Contact:
Cynthia B. Garcia (8525)
Sheila Baker (8356)

 
 
ATTACHMENTS
  Motorola Form 1295 .pdf