It is recommended that the Mayor and City Commission approve the award of a contract, pursuant to Invitation to Bid (ITB) No. 2024-006-WG, for utility locating services to Venegroup Utility Locators, the lowest responsive and responsible bidder.

This solicitation is currently under the cone of silence.

Utility locating services provide information on the location of underground infrastructure, which may include telecommunication, electricity distribution, natural gas, cable television, fiber optics, traffic lights, street lights, storm drains, water mains, and wastewater pipes. To avoid interrupting services to residents and businesses, it is prudent to engage a utility locating contractor to provide an accurate location of any existing utilities that may exist in the area of a project prior to any excavation.

For approximately five years, the City of Miami Beach (the City) has had an agreement for utility location marking services. The current contract expires on March 11, 2024. In order to consider a replacement agreement, ITB 2024-006-WG was prepared and issued inviting utility locating firms to submit their bids for the required services.

On October 25, 2023, the ITB was issued. The Procurement Department issued bid notices to 2,020 companies through the City's e-procurement system, with 36 prospective bidders accessing the advertised solicitation. A voluntary pre-bid conference was held to provide information to bidders submitting a response on November 14, 2023. ITB responses were due and received on December 22, 2023. The City received bids from the following four (4) firms:

·       High Tech Engineering, Inc.

·       Stake Center Locating LLC

·       USIC Locating Services, LLC     

·       Venegroup Utility Locators

See Attachment A for a tabulation of the bids received. The ITB stated that the lowest responsive and responsible Bidder meeting all ITB terms, conditions, and specifications would be recommended for award. The Procurement Department and the Public Works Department found that the bid submitted by Venegroup Utility Locators, meets the requirements of the ITB, including:

1. Proof of Experience (General). Bidder (defined as the Firm) and/or its principal shall have a minimum of three (3) current or prior contracts for utility locating services, with a one-year term minimum each, within the last five (5) years.

Venegroup Utility Locators provided the project references documenting compliance with the minimum experience requirement.

2. Proof of Experience (Local – South Florida Region). Bidder and/or its principal shall have a minimum of one (1) current or prior contract for utility locating services, with a one-year term minimum, within the last five (5) years.

Venegroup Utility Locators provided the project reference documenting compliance with the minimum experience requirement.

Accordingly, Venegroup Utility Locators has been deemed the lowest responsive and responsible Bidder, meeting all ITB terms, conditions, and specifications.

Below is a brief bio of the lowest responsive and responsible bidder based on information provided by the firm.

Venegroup Utility Locators

For utility surveys, Venegroup uses both ground penetrating radar (GPR) and electromagnetic induction (EMI) — two very complementary technologies. Venegroup uses a mid-range frequency GPR system to scan for utilities and uses an EMI-based utility locator. The equipment that Venegroup uses for its utility locating services is extremely accurate. Venegroup has extensive experience with utility locating services across Florida. Some of Venegroup’s clients include the City of Boca Raton, FL, Broward County Water and Sewer, and the City of Jacksonville, FL.  The City surveyed these agencies and found past performance to be satisfactory.

Based on the bid prices and prior usage, the Public Works Engineering Department estimates the annual expenditures for these services to be approximately $150,000.00 depending on the services needed.

The ITB will establish a fixed-price contract that will allow rapid response to underground utility locating services.

Staff performed a cost analysis to compare the current bid pricing to the prior contract. The increase in the CPI-U for the local region over the five (5) year term of the prior contract is 20.1%. Overall, the current bid resulted in higher pricing than the previous contract, in some cases significantly higher pricing. Nonetheless, due to the need for the services and supply chain and labor market constraints, which have affected different sectors differently, the Administration believes it is in the City's best interest to award a contract to Venegroup, as its proposed pricing is approximately 26% lower than the next lowest bidder.

It is not anticipated that grant funding will be utilized for these services.

425-0410-000312-29-413-513-00-00-00- $50,000

425-0420-000312-29-413-513-00-00-00- $50,000

427-0427-000312-29-413-517-00-00-00- $50,000

Based on the foregoing, it is recommended that the Mayor and City Commission of the City of Miami Beach, Florida, approve the award of a contract, pursuant to Invitation to Bid (ITB) No. 2024-006-WG for utility locating services to Venegroup Utility Locators, the lowest responsive and responsible bidder.

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