It is recommended that the Mayor and City Commission of the City of Miami Beach, Florida, approve the Resolution accepting the recommendation of the City Manager and approving, in accordance with Section 2-367(d) of the Miami Beach code, the sole source purchase of Honeywell fire safety, security camera, access control and building maintenance (HVAC) systems equipment, parts, software, service, and related items, as necessary for the Miami Beach Convention Center from Honeywell International, Inc. The Resolution also authorizes the City Manager to negotiate and execute an agreement with Honeywell International, Inc. for the necessary equipment, parts, software, service, and related items, subject to the amount appropriated annually for these products and services through the City's budgeting process.

During the last major renovation of the Miami Beach Convention Center, Fentress Architects, the lead architecture firm for the renovations, with the approval of the City, specified Honeywell International as the provider of the fire safety, security camera, access control and building maintenance (HVAC) systems. At that time, Honeywell was selected because it offered the lowest overall cost for the necessary systems. Fire safety, security camera, access control and building maintenance (HVAC) systems furnished by Honeywell have proven to be effective and reliable with minimal downtime, which is critical to the operation of the Miami Beach Convention Center.

The initial installations included warranties or short-term maintenance agreements. However, to continue to maintain or expand these systems, the Facilities and Fleet Management Department (“Facilities”), in the performance and monitoring of the maintenance, repair, and operation activities (“MRO”) at the Miami Beach Convention Center, is requesting the authority to contract with Honeywell to establish maintenance agreements and expand the current systems as needed at the building. Facilities and OVG360, the facility operator, have determined that in order to maintain uniformity throughout the facility, all current and future fire safety, security camera, access control, and building maintenance (HVAC) systems must integrate with the existing Honeywell equipment, as originally designed and installed in 2018. To this end, Honeywell has provided documentation that Honeywell Building Automation is the sole source provider for the systems installed at the Miami Beach Convention Center, and only its branch office(s) may perform maintenance or upgrades to the installed system (see Attachment A).

Accordingly, this item seeks approval of the sole source purchase, in accordance with Section 2-367(d) of the Miami Beach City Code, of maintenance and upgrade services for the Honeywell fire safety, security camera, access control, and building maintenance (HVAC) systems equipment, parts, software, service, and related items installed at the Miami Beach Convention Center. 

The Miami Beach City Code, pursuant to Section 2-367(d), stipulates that, for purchases above the formal bid threshold, the City Commission may authorize the purchase of goods or services available from a single source through a negotiated agreement. However, before doing so, the requesting department must obtain confirmation from an industry expert or consultant that the goods and services are only available from a single source. In this case, Honeywell has provided documentation that it is the sole source provider for maintenance and upgrades to the fire safety, security camera, access control, and building maintenance (HVAC) systems (see Attachment A).

Further, Fentress Architects, the architect of record for the Miami Beach Convention Center renovations, has confirmed that fire safety, security camera, access control, and building maintenance (HVAC) systems are proprietary systems of Honeywell International and, as such, can only be maintained or modified by Honeywell. The only alternative to the sole source would be to remove and reinstall these systems using an alternative provider. Aside from the significant cost and disruption that doing so would entail, it is likely that the City may end up in a similar sole source situation with a different provider.

Fortunately, Honeywell has a significant number of contracts with public agencies for similar goods and services. Staff will utilize all available information to negotiate a contract with Honeywell International that includes fair pricing and terms. 

Not applicable.

The estimated annual budget for the maintenance of the fire safety, security camera, access control, and building maintenance (HVAC) systems at the Miami Beach Convention Center is approximately $527,036.56. Additionally, Facilities is currently finalizing the details of an upgrade to the fire safety and security camera systems that is budgeted at approximately $900,000. It is not anticipated that grant funding will be utilized for this contract.

Annual Maintenance

Account: 440-0441-000325-35-413-551-00-00-00:  $527,036.56

Fire safety and security camera project

443-1720-000342-00-413-551-00-00-00-65023:    $300,000

443-1720-069358-00-418-552-00-00-00-65122:    $600,000 

Based on the foregoing, it is recommended that the Mayor and City Commission of the City of Miami Beach, Florida, approve the Resolution accepting the recommendation of the City Manager and approving, in accordance with Section 2-367(d) of the Miami Beach code, the sole source purchase of Honeywell fire safety, security camera, access control and building maintenance (HVAC) systems equipment, parts, software, service, and related items, as necessary for the Miami Beach Convention Center from Honeywell International, Inc. The Resolution also authorizes the City Manager to negotiate and execute an agreement with Honeywell International, Inc. for the necessary equipment, parts, software, service, and related items, subject to the amount appropriated annually for these products and services through the city's budgeting process.

Was the Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No.