CONCESSIONS/PROCUREMENT COMMITTEE (CPC) AGENDA
DATE:
August 8, 2016
DAY: Monday
TIME: 1:30 p.m.
LOCATION: Carl T. Langford Board Room, OIA, One Jeff Fuqua Boulevard, Orlando, FL
I.
CALL TO ORDER
II.
ANNOUNCEMENTS - Appeal Process and Lobbying Activities
NOTE: If anyone is aggrieved by any of the proceedings of today’s meeting and wishes to appeal the results of
actions made by this committee, they must file an appeal stating the item they wish to appeal and the basis for which
they wish to appeal, and it must be received in writing by the Executive Director, Mr. Phillip N. Brown, in his office at
One Jeff Fuqua Boulevard, Main Terminal Building by Monday, August 15, 2016 at 4:00 p.m.
For individuals who conduct lobbying activities with Aviation Authority employees or Board members, registration
with the Aviation Authority is required each year prior to conducting any lobbying activities. A statement of
expenditures incurred in connection with those lobbying instances should also be filed prior to April 1 of each year
for the preceding year. As of January 16, 2013, lobbying any Aviation Authority Staff who are members of any
committee responsible for ranking Proposals, Letters of Interest, Statements of Qualifications or Bids and thereafter
forwarding those recommendations to the Board and/or Board Members is prohibited from the time that a Request
for Proposals, Request for Letters of Interests, Request for Qualifications or Request for Bids is released to the time
that the Board makes an award. As adopted by the Board on September 19, 2012, lobbyists are required to sign-in
at the Aviation Authority offices prior to any meetings with Staff or Board members. In the event a lobbyist meets
with or otherwise communicates with Staff or a Board member at a location other than the Aviation Authority offices,
including the Mayor of the City of Orlando or the Mayor of Orange County, at their offices, the lobbyist shall file a
Notice of Lobbying (Form 4) detailing each instance of lobbying to the Aviation Authority within 7 calendar days of
such lobbying. As of January 16, 2013, lobbyists will also provide a notice to the Aviation Authority when meeting
with the Mayor of the City of Orlando or the Mayor of Orange County at their offices. The policy, forms, and
instructions are available in the Aviation Authority’s offices and the web site. Please contact the Director of Board
Services with questions at (407) 825-2032.
III.
CONSIDERATION OF JULY 25, 2016 MINUTES
IV.
CONSENT AGENDA
A. Provision of Workforce Management System Services – Cooperative Purchase
Agreement Through US Communities Governmental Purchasing Alliance
(US Communities)
B. Purchasing Request for Written Quotation #92128-16, Foam Handsoap Supply
Procurement – Award Recommendation
C. Purchasing Request for Written Quotation #92302-16, Roll Paper Towel Supply
Procurement – Award Recommendation
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V.
NEW BUSINESS
A. Review of Proposals – Landside, Level 1-A and North Cell Lot Vending Concession and
Landside, Level 1-B and South Cell Lot Vending Concession
VI. ADJOURNMENT
NOTE: Any person who desires to appeal any decision made at these meetings will need record of the
proceedings and for that purpose may need to ensure that a verbatim record of the proceedings is made which
includes the testimony and evidence upon which the appeal is to be based.
NEXT SCHEDULED CONCESSIONS/PROCUREMENT COMMITTEE MEETING
TUESDAY, AUGUST 30, 2016 AT 3:00 P.M. IN THE CARL T. LANGFORD BOARDROOM
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On JULY 25, 2016, the CONCESSIONS/PROCUREMENT COMMITTEE of the GREATER
ORLANDO AVIATION AUTHORITY met in the Carl T. Langford Board Room at Orlando
International Airport, One Jeff Fuqua Boulevard, Orlando, Florida, 32827.
Chairperson Daniell called the meeting to order at 2:00 p.m. The meeting
was posted in accordance with Florida Statutes and a quorum was present.
Committee members present: Dolly Daniell, Senior Director of
Administration and Technology, Chair
Kathleen Sharman, Chief Financial Officer
Tom Draper, Director of Operations
Brad Friel, Director of Planning
Brian Engle, Director of Customer Service
Staff/Others present:
Kate Stangle, Legal, Broad and Cassel
Anne van den Berg, Legal, Marchena and Graham
Ray Anderson, Senior Director, Properties &
Concessions
Denise Schneider, Purchasing
Diane Hershner, Purchasing
Bruce Gant, Purchasing
Ann Marie Wise, Purchasing
Fatima Calkins, Purchasing
John Vinelli, Information Technology
Gary Hunt, Director of Maintenance
Steve Pue, Maintenance
Patrick Eby, Maintenance
Richard Schulz, Maintenance
Dave Deans, Airline Operations
Scott Goodwin, Airline Operations
Alex Sorondo, HNTB
Gay Geiger, Schenkel Shultz
Tom Chandler, Schenkel Shultz
Carl Johnson, Avcon
Stefano Pascucci, Airport Plazas
Vernon Hargrave, AFS
Jim Pancoast, GCI, Inc.
Peter Piracci, ABG
Sean Slater, ABG
Maria Irizarry, Executive Administration,
Recording Secretary
Chairperson Daniell announced to all present that if anyone is aggrieved by any of
the proceedings of today’s meeting and wishes to appeal the results of actions
made by this committee, they must file an appeal stating the item they wish to
appeal and the basis for which they wish to appeal, and it must be received in
writing by the Executive Director, Mr. Phillip N. Brown, in his office at One Jeff
Fuqua Boulevard, Main Terminal Building, by Monday, August 1, 2016 at 4:00 p.m.
For individuals who conduct lobbying activities with Aviation Authority employees
or Board members, registration with the Aviation Authority is required each year
prior to conducting any lobbying activities. A statement of expenditures incurred
in connection with those lobbying instances should also be filed prior to April 1
of each year for the preceding year. As of January 16, 2013, lobbying any Aviation
Authority Staff who are members of any committee responsible for ranking Proposals,
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Letters of Interest, Statements of Qualifications or Bids and thereafter forwarding
those recommendations to the Board and/or Board Members is prohibited from the
time that a Request for Proposals, Request for Letters of Interests, Request for
Qualifications or Request for Bids is released to the time that the Board makes an
award. As adopted by the Board on September 19, 2012, lobbyists are required to
sign-in at the Aviation Authority offices prior to any meetings with Staff or Board
members. In the event a lobbyist meets with or otherwise communicates with Staff
or a Board member at a location other than the Aviation Authority offices, including
the Mayor of the City of Orlando or the Mayor of Orange County, at their offices,
the lobbyist shall file a Notice of Lobbying (Form 4) detailing each instance of
lobbying to the Aviation Authority within 7 calendar days of such lobbying. As of
January 16, 2013, lobbyists will also provide a notice to the Aviation Authority
when meeting with the Mayor of the City of Orlando or the Mayor of Orange County
at their offices. The policy, forms, and instructions are available in the Aviation
Authority’s offices and the web site. Please contact the Director of Board Services
with questions at (407) 825-2032.
APPROVAL OF MINUTES
Upon motion by Mr. Draper, second by Mr. Friel, vote carried to approve the
minutes of July 11, 2016 as presented.
CONSENT AGENDA
A. Purchasing Request for Written Quotations #92266-16, Carbon Rigid
Box Type HVAC Air Filter Supply Procurement – Award Recommendation
B. Purchasing Request for Written Quotations #92235-16, Parking Booth
Fabrication and Delivery Services – Award Recommendation
C. Purchasing Request for Written Quotations #92259-16, Major Use Lamps
Procurement – Award Recommendation
D. Purchasing Request for Written Quotations #92286-16, LED Area
Luminaire Supply Procurement – Award Recommendation
Chairperson Daniell asked if anyone in the audience would like to speak to
any item on the Consent Agenda or if the Committee had any questions or
wished to have an item pulled for discussion. Mr. Friel inquired on the
parking booths to be purchased, requested in Consent Agenda Item B. He
asked what the plan was, for the installation of these booths. Ms. Hershner
responded that this will be presented to the Construction Committee to
request the demolition of the current booths and the installation of the
new booths.
Upon motion by Mr. Draper, second by Mr. Engle, vote carried to approve the
Consent Agenda as presented.
OLD BUSINESS
A. REVISION TO RECOMMENDATION TO PURCHASE OF REPLACEMENT SEATING FOR
PASSENGER HOLDROOM AREAS IN AIRSIDE BUILDING 4 AND SEATING REPLACEMENT
SERVICES FROM ARCONAS – REVISED AWARD RECOMMENDATION
Mr. Lampman stated this is a request for approval of an award to result in
a purchase order (PO) based on a Single Source Procurement Justification.
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One time purchase of seating units and delivery services will be completed
within three hundred sixty (360) days after receipt of an Authority PO.
On June 7, 2016, the Authority received a quotation from Arconas for the
provision and delivery of “place” style holdroom seating units (seating
units) sufficient to provide 1,386 new seats for Gates 70 through 78 and
Gates 90 through 97 passenger holdroom areas in airside building 4 (A/S 4)
(seating units). A total of 1,184 of the new seats will have tablet armrests
and power outlets. The remaining seats will have cantilever arms and no
power outlets.
The purchase of the seating units shall be made from Arconas based on a
Single Source Procurement Justification in accordance with Authority
Operational Procedure 450.03.
Staff has reviewed the quotation for the
purchase of the seating units and has determined that the purchase does not
lend itself to a competitive award because Arconas does not offer this
product through any third party resellers.
Total quotation for the seating units is based upon the sum of the products
of the unit prices times the stated quantity of each item listed in the
quotation.
Arconas responded, for the seating units only, with a total quotation of
$1,196,475.00.
On June 28, 2016, the Concessions Procurement Committee recommended to
purchase new seating units in the not-to-exceed amount of $1,196,475.00
plus replacement services and additional contingency funds under a Single
Source Procurement for a total not-to-exceed amount of $1,500,000.00.
It has been determined that additional information is needed to complete
the other elements of this purchase. Therefore staff is recommending the
award recommendation previously approved be amended for only the approval
of the purchase of new seating units in the not-to-exceed value of
$1,196,475.00.
The Authority’s policy (Section 450.03, Non-Competitive Procurements)
permits the single source procurement of goods and/or services when the
procurement is made from one firm among others in a competitive market place
which, for justifiable reasons, is found to be most advantageous for the
purpose of fulfilling the given purchasing need provided that the requesting
department completes a Single Source Procurement Justification form (Form
450.03.2). Single Source Procurement Justifications with a value in excess
of $100,000.00 must be approved by the Aviation Authority Board. The
attached Single Source Procurement Justification form for this purchase has
been amended to reflect a not-to-exceed value of $1,196,475.00.
The furniture replacement services referenced on the initial Single Source
Justification will be brought back to the Concessions/Procurement Committee
with a recommendation of award once these and any other associated costs
have been finalized. The amount quoted by Arconas for the seating units is
within budget as funded by Capital Expenditure Fund 308.631.210.5640001.
000.501122.
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Staff recommends that the Committee amend its prior recommendation of June
28, 2016 and recommend the following to the Aviation Authority Board: 1)
authorize the purchase of new seating units to replace the existing seating
units in the passenger holdroom seating areas in gates 70 through 78 and
gates 90 through 97 in Airside Building 4 from Arconas based on a Single
Source Procurement Justification form in the not-to-exceed amount of
$1,196,475.00; 2) authorize the Executive Director to execute a Single
Source Procurement Justification form for the purchase of the new seating
units in the total not-to-exceed amount of $1,196,475.00 in accordance with
Authority Policy; 3) authorize funding from the approved Capital Expenditure
Fund; and 4) authorize the Purchasing office to issue the necessary purchase
order.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Engle, second by Ms. Sharman, vote carried to approve
staff’s recommendation.
NEW BUSINESS
A. AMENDMENT TO CONTRACT 13-13, BAGGAGE HANDLING AND STAFFING SUPPORT
SERVICES (BHS) WITH AIRCRAFT SERVICE INTERNATIONAL, INC. (ASIG)
Ms. Schneider stated this is a request for approval of a single source to
result in a six month contract extension.
The initial term of the Contract was for six (6) months, effective September
27, 2012, expiring March 26, 2013. The first extension expired on March
26, 2013 at which time Amendment No. 2 was issued adding four (4) months to
the Contract and removing the staffing support services.
The second
extension expired on March 26, 2014, and Amendment No. 3 was issued adding
fourteen (14) months making the total Contract period thirty-six (36)
months. The third extension expired September 30, 2015.
This Contract requires ASIG to provide all labor, supervision, management
oversight, administrative support, training, materials and all other items
necessary to perform baggage handling services at the Orlando International
Airport.
The Contract requires ASIG to provide baggage handling system
(BHS) agents.
On August 22, 2010, the Aviation Authority entered into Purchasing Contract
05-10 with DVI Services to provide baggage handling and staffing support
services. The initial term of the contract was for a three (3) year period
expiring on August 21, 2013. On September 27, 2012, the Aviation Authority
terminated contract 05-10 with DVI Services.
Concurrently, on September 27, 2012, pursuant to Policy 450.03, Non
Competitive Procurements, the Executive Director authorized emergency
purchase #413-2012-03-OPS03, Contract 13-13 to ASIG for a period not-to-
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exceed six (6) months to prevent interruptions to the baggage handling
system. ASIG agreed to the six (6) month period at the same terms, conditions
and pricing of terminated contract 05-10. On October 17, 2012, the Aviation
Authority Board ratified the Executive Director’s action.
On March 20, 2013, the Aviation Authority Board approved a twelve (12) month
extension of Emergency Purchase Contract 13-13 with ASIG through March 26,
2013. On December 17, 2013, the Aviation Authority Board approved a fourteen
(14) month extension of Emergency Purchase Contract 13-13 with ASIG through
September 30, 2015. Amendment No. 4, approved by the Aviation Authority
Board on June 24, 2015, extended the Contract through September 30, 2016.
The Authority’s policy (Section 450.03) Non-Competitive Procurements)
permits the Single Source procurement of goods, services, or professional
services made from one firm among others in a competitive market place
which, for justifiable reasons, is found to be most advantageous for the
purpose of fulfilling the given purchasing need. Authority policy requires
that the requesting department complete a Single Source Procurement
Justification form (Form 450.03.2), which shall state, in detail, the
justification for the single procurement.
The Contract extension is from October 1, 2016 through March 31, 2017.
Based on the information known at this time, the ASIG has performed
satisfactorily during the initial and extension term.
The Aviation Authority has an additional contract associated with the
baggage handling system for repairs and maintenance; Ground Support
Equipment Maintenance and Repair Contract 06-15. The Aviation Authority is
in the re-solicitation process which will combine baggage handling with
system equipment maintenance and repair services. A six (6) month extension
of Emergency Purchase Contract 13-13 through March 31, 2017 is needed for
the continued baggage handling service until the new combined contract is
awarded.
The Contract extension contains a thirty (30) day notice of
termination.
ASIG has agreed to the six (6) month extension and requested a three percent
(3%) increase to cover payroll cost increase. The actual amount paid to
ASIG for services is based on actual work requested by the Aviation Authority
and satisfactorily provided by ASIG.
This Contract does not include a Minority and Woman Business Enterprise
(MWBE) or Local Developing Business (LDB) participation requirement.
Pricing is based on an hourly rate for: a) BHS staffing; b) administration;
c) supervisors; and d) manager. Funds expected to be spent under the Contract
in the current fiscal year are within approved budget. The annual value
for the six (6) month extension is a total not-to-exceed amount of
$1,687,879.13 which includes a three percent (3%) increase in the hourly
service rate.
The fiscal impact for the six (6) month extension is a not-to-exceed amount
of $1,687,879.13. Funding will be from the Operation and Maintenance Fund,
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account code: 301.413.213.5340007.000.100484.
The department intends to
submit budget requests for funds expected to be spent under the Contract in
future fiscal years and such requests, when considered with other known or
anticipated obligations of the department for such future years, do not
exceed expected or reasonable funding approvals.
Staff recommends that the following be recommended to the Aviation Authority
Board: 1) award the six (6) month single source contract extension for
Emergency Purchasing Contract 13-13, baggage handling and staffing support
services with Aircraft Service International, Inc., 2) authorize funding
from the Operation and Maintenance Fund in a not-to-exceed amount of
$1,687,879.13; and 3) authorize an Aviation Authority officer or the
Executive Director to execute an amendment following satisfactory review by
legal counsel.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Friel, second by Mr. Draper, vote carried to approve
staff’s recommendation.
B. AMENDMENT TO PURCHASING CONTRACT 06-15, GROUND SUPPORT EQUIPMENT AND
REPAIR (GSE) WITH JSM AND ASSOCIATES, LLC (JSM)
Ms. Schneider stated this is a single source to result in a six month
contract extension. The initial term of the Contract was for fourteen (14)
months, effective August 1, 2014, expiring September 30, 2015. On June 24,
2015, the Authority Board approved a twelve (12) month extension through
September 30, 2016.
This Contract requires JSM to furnish all labor, supervision, management
oversight, training, materials, repair parts, tools, equipment submissions,
consumables, and all other items necessary for or incidental to performing
twenty-four (24) hours per day seven (7) days per week, on-site maintenance
and repair of the Ground Support Equipment (GSE) located at the Orlando
International Airport, and to utilize and maintain the Aviation Authority’s
Enterprise Asset Management System (Maximo) for the equipment and systems
in accordance with the specifications.
This is a single source contract with JSM and Associates, LLC, for ground
support equipment (GSE) maintenance and repair services. Amendment No. 1
of the Contract allowed additional work to be completed including the
replacement of MU20 slope plate make-up device; Amendment No. 2: (i)
extended the term of the Contract for an additional period of twelve (12)
months; (ii) revised the performance measurements and associated penalties;
(iii) approval of additional work; (iv) a two percent (2%) price adjustment
to cover payroll cost increase; and (v) revised the Bench Stock inventory
deductions; and Amendment No. 3 added maintenance and repair of the remote
sorting facility (RSF) effective July 1, 2016.
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The Authority’s policy (Section 450.03) Non-Competitive Procurements)
permits the single source procurement of goods, services, or professional
services made from one firm among others in a competitive market place
which, for justifiable reasons, is found to be most advantageous for the
purpose of fulfilling the given purchasing need. Authority policy requires
that the requesting department complete a Single Source Procurement
Justification form (Form 450.03.2), which shall state, in detail, the
justification for the single procurement.
This Contract includes an MWBE and LDB combined goal of 8.5%.
JSM and
Associates, LLC is in good standing as it relates to MWBE/LDB participation.
The Contract extension is from October 1, 2016 through March 31, 2017.
Based on the information known at the time, JSM has performed satisfactorily
during the initial term and extension term.
The Aviation Authority has two (2) separate contracts associated with the
baggage handling system (BHS), one for repairs and maintenance (Ground
Support Equipment – GSE Contract 06-15) and one for the system’s operation
for baggage handling services agents (Emergency Purchase Contract 13-13.)
The Aviation Authority is currently in the re-solicitation process of a new
combined contract for Ground Support Equipment (GSE) maintenance and repair
services and baggage handling services. A six (6) month extension of the
Contract is needed for the continued service until the new competitive
Contract is awarded.
The Contract extension contains a thirty (30) day
notice of termination.
JSM has agreed to the six (6) month extension and requested a three percent
(3%) adjustment to cover payroll cost increases.
Pricing is based on the monthly fees, and time and material on authorized
additional work. The actual amount paid to JSM for services is based on
actual work requested by the Aviation Authority and satisfactorily provided
by JSM. The value of the six (6) month extension is a not-to-exceed amount
of $4,392,441.54 which includes the three percent (3%) increase in the
amount of $106,727.04 and $183,092.82 for the RSF. This will increase the
original term Contract value from $17,395,263.36 to $21,787,704.90.
The fiscal impact anticipated for the six (6) month extension is a not-toexceed amount of $4,392,441.54, with funding from the Operation and
Maintenance
Fund,
account
codes:
301.413.212.5460001.000.100420,
301.413.213.5460001.000.100424 and 301.413.225.5460001.000.100424.
The
department intends to submit budget requests for those funds to be spent
under the Contract in future fiscal years and such requests, when considered
with other known or anticipated obligations of the department for such
future years, do not exceed expected or reasonable funding approvals.
Staff recommends that the following be recommended to the Aviation Authority
Board: 1) award the six (6) month single source contract extension for
Purchasing Contract 06-15, Ground Support Equipment Maintenance and Repair
with JSM and Associates, LLC, in the not-to-exceed amount of $4,392,441.54;
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2) authorize funding from the Operation and Maintenance Fund; and 3)
authorize an Aviation Authority officer or the Executive Director to execute
an Amendment following satisfactory review by legal counsel.
Mr. Engle pointed out that on Attachment A, the pending CPC approval date
should be 7/25/2016.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Friel, second by Mr. Engle, vote carried to approve
staff’s recommendation, as amended.
C. PAYMENT OF LANDFILL FEES RELATED TO PURCHASING BID 06-17, TRASH REMOVAL
SERVICES WITH REPUBLIC SERVICES OF FLORIDA, LP
Mr. Gant stated this is a request for payment for landfill fees. Agreements
with various landfill facilities will result in multiple purchase orders,
for a thirty-six (36) month period; October 1, 2016 through September 30,
2019.
Purchase orders will be issued to pay for landfill fees when trash removed
from the Authority’s premises by Republic Services of Florida, LP is
transported and disposed of, as required by the Authority, in accordance
with Purchasing Bid 06-17.
This Contract shall not include a Minority and Woman Business Enterprise
(MWBE) or Local Developing Business (LDB) participation requirement.
The term of proposed Purchasing Contract 06-17 with Republic Services of
Florida, LP, will be effective from October 1, 2016, expiring September 30,
2019. This proposed Contract allows Republic Services of Florida, Inc. to
transport and dispose of all solid waste, as requested by the Authority, at
the Orange County Landfill or any other Environmental Protection Agency
(“EPA”) approved landfill facility within a 20 mile radius from the
Authority.
Furthermore, the proposed Contract allows for the landfill
facilities to be selected by Republic Services of Florida, LP provided that
the fees charged at the selected landfill facility do not exceed the fees
charged by Orange County Landfill. The fees will be billed directly to the
Authority.
Fees billed by the various landfill facilities are billed at a tonnage rate.
The current rate per ton from Orange County Landfill is $33.60. The total
landfill fee for the thirty-six (36) month period is not-to-exceed
$1,006,200.00. The Authority will pay only for actual disposal/use of
landfill based on the current rate per ton.
The fiscal impact during the thirty-six (36) month period is not-to-exceed
amount of $1,006,200.00. Funding will be from the Operation and
Maintenance Fund, account code: 301.416.170.5430001.000.000000. The
department intends to submit budget requests for those funds to be spent
under the Contract in future fiscal years and such requests, when
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considered with other known or anticipated obligations of the department
for such future years, do not exceed expected or reasonable funding
approvals.
Staff recommends that the following be recommended to the Authority Board:
1) allow multiple purchase orders to be issued to various landfill
facilities; 2) authorize funding from the Operation and Maintenance Fund in
the not-to-exceed amount of $1,006,200.00 for landfill fees; and 3)
authorize the Purchasing staff to issue the necessary purchase orders.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Draper, second by Ms. Sharman, vote carried to approve
staff’s recommendation.
D. AMENDMENT TO PURCHASING CONTRACT 15-12, OPERATION AND MAINTENANCE OF
CUPPS WORK STATIONS, CUSS KIOSKS AND PERIPHERAL DEVICES, WITH SITA
INFORMATION NETWORKING COMPUTING USA, INC. (“SITA”)
Mr. Gant stated this is an amendment for a renewal option. The initial
term of the Contract was for thirty-six (36) months, effective December 1,
2012, expiring November 30, 2015, with the Authority having two (2) options
to renew the Contract for an additional period of one (1) year each. The
first renewal option will expire November 30, 2016.
This Contract requires SITA to provide all on-site maintenance services,
testing of the hardware and software, and all other items of work to maintain
a Common Use Passenger Processing System (CUPPS), and Common Use Self
Service (CUSS) systems at the Orlando International Airport in accordance
with the Contract documents.
This Contract did not include a Minority and Women Business Enterprise
and/or Local Developing Business participation requirement.
The second renewal option is from December 1, 2016 through May 21, 2017.
Staff is planning to combine Contracts 15-12 and 02-11 under Contract 0211 and the shorter renewal term will align both contracts to expire at the
same time.
Based on the information known at this time, SITA has performed
satisfactorily during the initial term and the first renewal option.
Pricing is based on hourly rates for an estimated number of hours. The
actual amount paid to the Contractor is based on actual work requested,
performed, and approved by the Authority, based on the hourly rates. There
is no increase in the hourly rates for the second renewal option.
The fiscal impact for this renewal option is a not-to-exceed amount of
$349,562.50. Funding will be from the Operation and Maintenance Fund,
account code 301.521.214.5340007.000.100483. The department intends to
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submit budget requests for funds expected to be spent under the Contract in
future fiscal years and such requests, when considered with other known or
anticipated obligations of the department for such future years, do not
exceed expected or reasonable funding approvals.
Staff recommends that the following be recommended to the Authority Board:
1) renew Purchasing Contract 15-12, Operation and Management of CUPPS Work
Stations, CUSS Kiosks and Peripheral Devices, with SITA Information
Networking Computing USA, Inc. from December 1, 2016 – May 21, 2017; 2)
authorize funding from the Operation and Maintenance Fund in the not-toexceed amount of $349,562.50; and 3) authorize an Authority officer or the
Executive Director to execute an Amendment following satisfactory review by
legal counsel.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Draper, second by Mr. Engle, vote carried to approve
staff’s recommendation.
E. PURCHASING REQUEST FOR WRITTEN QUOTATION #92218-16, AIRFIELD VAULT
SWITCHGEAR ASSEMBLY FABRICATION AND DELIVERY SERVICES PROCUREMENT
AWARD RECOMMENDATION
Mr. Lampman stated this is a request for quotations to result in a purchase
order (PO). The delivery will be complete within twenty (20) weeks after
receipt of an Authority purchase order.
On May 13, 2016, the Authority received written quotations for the
fabrication and delivery of a “Service Entrance Rated Combination Automatic
Open Transition Transfer Bypass/Isolation Switch with Generator Breaker”
(Vault Switchgear Assembly) to replace an existing Vault Switchgear Assembly
that controls the electrical service supplied to the runway lighting system
located in the center field lighting vault adjacent to runway 17L. It was
required that the total quotation include all costs associated with the
fabrication and delivery of the Vault Switchgear Assembly to the Authority
in accordance with the specifications provided by the Authority’s
consultant, AVCON, Inc. (AVCON).
Award, if made, will be to the responsible and responsive respondent
submitting the low total quotation.
Total quotation is based upon the total cost of the Vault Switchgear Assembly
listed in the RFQ.
Respondents were: (1) Eau Gallie Electric with a total quotation
$123,010.00, and (2) Russelectric, Inc. with a total quotation
$161,790.00.
of
of
A minimum of three (3) references were required from each respondent from
a prior customer that could verify the fabrication and provision of a
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switchgear assembly similar to the one specified, and that had been in place
with the customer for a minimum of twelve (12) months.
Staff determined that both Eau Gallie Electric and Russelectric, Inc. were
responsible, based upon a review of the references received.
Staff, in conjunction with an AVCON representative, reviewed the submittals
provided by Eau Gallie Electric and determined that insufficient information
was provided to determine the compliance and equivalence to the RFQ
requirements of Section 2.1 of the RFQ, and is recommending that its
quotation be deemed non-responsive.
After receipt of the quotations and submittals, all documents were forwarded
to staff and AVCON for review. AVCON found several items that were unclear
in Eau Gallie Electric’s submittals. On June 27, 2016, Authority staff, in
conjunction with an AVCON representative, contacted Eau Gallie Electric to
obtain clarification of these items. The responses provided by Eau Gallie
Electric were not sufficient for AVCON to deem Eau Gallie’s quotation
responsive.
Staff, in conjunction with an AVCON representative, determined that
Russelectric, Inc. is responsive, based upon review of the submittals
received.
The amount quoted by Russelectric, Inc. is within budget for funds expected
to be spent under the resulting PO in the current fiscal year from Capital
Expenditure Fund 308.631.110.5660006.000.501059. Following the submission
of this item, the Finance Department indicated that funds were available,
however, the account code was determined to be 308.631.5630001.000.501059
instead of 308.631.5660006.000.501059.
Staff recommends that the following be recommended to the Executive
Director: 1) find the quotation submitted by Eau Gallie Electric nonresponsive for the reason stated; 2) award purchasing request for Written
Quotations #92218-16 to Russelectric, Inc. as the low, responsive and
responsible respondent in the not-to-exceed amount of $161,790.00; 3)
authorize funding from the approved Capital Expenditure Fund; and 4)
authorize the Purchasing office to issue the necessary purchase order.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions. There
was no response to either inquiry.
Upon motion by Mr. Friel, second by Mr. Engle, vote carried to approve
staff’s recommendation.
F. REVIEW OF REQUEST FOR PROPOSALS FOR VEHICLE SERVICES TRAVEL PLAZA
FACILITY AT ORLANDO INTERNATIONAL AIRPORT
Mr. Anderson stated this is a request for proposals for design, build, and
the operation of a fully functioning, on airport, vehicle services travel
plaza.
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The term of the proposed lease is for twenty-five (25) years following
completion of construction, unless sooner terminated by the Authority.
The proposer is granted a non-exclusive right and obligation to develop,
construct, operate, and maintain a fully functioning, on-airport, vehicle
services travel plaza with services and amenities for Airport passengers
and employees, customers, meeters and greeters, and commercial vehicle
operators; including the following: a minimum of 12 self-fueling positions
and overhead canopy, a maximum of 9,000 SF convenience store, a 100 space
travel plaza vehicle parking lot, if proposing more than 4,500 SF, then
must include fast casual restaurant or integrated limited service food
concept, an optional 2 acre separate commercial vehicle fueling facility,
and a dry pre-treatment storm water run-off pond.
The respondent was MCO Airport Plaza, LLC with a proposed, estimated,
development cost of $5,379,218.00.
Mr. Anderson pointed out that a
correction has been made to the proposer’s name since the memo indicated
MCO Travel Plaza; which was incorrect.
This request for proposals does not include a Minority and Women Business
Enterprise (MWBE) or a Local Developing Business (LDB) participation.
The award criteria is detailed on the legal counsel memorandum (on file).








Financial Capability is detailed in a memo from GOAA Finance(on file)
Reputation of the Proposer is detailed in the memo from legal counsel
The Eligibility and Proposal Form was correctly completed. Some
irregularities, however are deemed minor by legal counsel.
Demonstrated Experience and Qualifications – proposer has developed
travel plaza facilities at JFK, Indianapolis, and Fort Meyer and is
proposing to partner with Outstanding Hospitality Management Concession
Group to operate the convenience store and two (2) fast casual restaurants
Quality, Variety and Price Range of Convenient Store Items – not
submitted, see below
Quality, Variety and Price Range of Fast Casual Restaurant Menu (if
proposed) - not submitted, see below
Quality of Customer Service and Operating Plan - not submitted, see below
Travel Plaza Improvements consistent with the South Airport Travel Plaza
Design Criteria – met minimum requirement with some irregularities. The
proposer supplied two (2) site plan options. Curb cut locations in both
options and the location of the commercial fuel facility will need to be
addressed further with the proposer, detailed in letter from Schenkel
Schultz (on file)
Capital Investment in the Gas Station, Convenience Store, 100 Space
Parking Lot, Fast Casual Restaurant (if proposed) and Commercial Fueling
Facility (if proposed) – met minimum requirement
Financial Return to the Aviation Authority – met minimum requirement
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Proposers were required to propose the following fees:



Annual Facility Fee consisting of 1) annual rental fee and 2) annual
privilege fee[Minimum Annual Rental fee is one hundred twenty thousand
dollars ($120,000)]
Annual Privilege Fee consisting of 1) percentage of gross receipts and 2)
fuel flowage fee [Minimum Acceptable Percentage of Gross Receipts is Two
Percent (2%)]
Percentage of gross receipts were required to be proposed for the
following categories: Non-Employee Sales; 2) Alcoholic beverages and
tobacco; and 3) Employee Sales
The proposal received proposed the following fees:


Annual rental fee: $120,000 per year
Annual privilege fee as follows:
 Percentage of gross receipts for non-employee sales: 3% from $0.00
to $2,500,000, then 5% thereafter
 Percentage of gross receipts for alcoholic beverages and tobacco
sales: 3% from $0.00 to $2,500,000, then 5% thereafter
 Percentage of gross receipts for employee sales: 3% from $0.00 to
$2,500,000, then 5% thereafter
 Fuel flowage fees for 1 to 2,500,000 gallons of $0.03 per gallon
 Fuel flowage fees for 2,500,000 to 4,000,000 gallons of $0.04 per
gallon
 Fuel flowage fees for more than 4,000,000 gallons of $0.05 per
gallon
Legal counsel has determined that the proposer failed to list three lawsuits
within the past five years. In the first case, claims were either dismissed
or resolved in favor of PMG (an affiliate). In the second case, PMG appealed
an arbitration award which the district court partially affirmed. The case
was ultimately settled subject to a confidentiality agreement. The third
case was an adversary proceeding to recover a preferential payment in
bankruptcy. The case was settled for $25,000. The explanation for failing
to provide this information is that the damages claimed in each case were
less than $1 million (although in one case there were punitive damages and
treble damages that made the amount being sought more than $1 million). The
variance has been deemed not material by legal counsel.
The proposer also failed to provide information on the quality, variety and
price range of the convenience store items; the quality, variety and price
range of the fast casual restaurants; and the quality of the customer
service and operational plan. Legal counsel has deemed this not material
if the missing information is subsequently submitted and is subject to
approval by the Executive Director.
The proposer also failed to provide two years of financial statements, only
providing one. However, upon request, the second year was provided and the
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explanation was that audited statements had not been completed at the time
of submission. This variance has not been deemed material by legal counsel.
Mr. Anderson stated that the verification of the proposer’s references were
in process at the time the memo was prepared and is reported separately in
a memorandum from legal counsel (on file).
The one (1)
responsive.
proposal
received
was
determined
to
be
responsible
and
The Fiscal Impact is an annual rental fee of $120,000 per year and an
estimated annual privilege fee consisting of 1) percentage of gross receipts
and 2) fuel flowage fee of $300,780 in the first year of operations,
increasing annually thereafter.
Staff recommends that the following be recommended to the Aviation Authority
Board: 1) approve MCO Airport Plaza, LLC as a responsive and responsible
proposer, and 2) authorize the Executive Director to enter into negotiations
for the intended award of a commercial agreement granting the non-exclusive
right and obligation to develop, construct, operate and maintain a fully
functioning, on-airport, vehicle services travel plaza; subject to the
submission of the missing information that was originally requested.
A review was conducted by legal counsel and Ms. van den Berg addressed the
gaps and also the requirements for the submission of any legal action
recently experienced. Discussion ensued on the requirements and findings.
It was determined that MCO Airport Plaza exceeded the minimum amount
stipulated in the RFP. Thus, the conclusion is that MCO Airport Plaza’s
LLC proposal is deemed to satisfy the legal sufficiency requirements of the
travel plaza eligibility and proposal form and does not deem any of the
litigation significant from the standpoint of responsibility.
Chairperson Daniell asked if anyone in the audience would like to speak to
this matter. She then asked if any Committee members had questions.
Ms. Sharman indicated the financial statements were evaluated. The proposer
provided financial statements for their joint venture team as Petroleum
Marketing Group Inc. (PMG). This is an 8% interest in the financial
statements requested. In addition, no response was provided regarding the
guarantee. Ms. Sharman added, there is a concern since only 8% interest
in the financial statements were provided.
Mr. Stefano Pascucci, Executive VP Airport Plazas, responded that a separate
LLC is created for every airport to avoid that they are cross
collateralized. The ownership structure is a joint venture company which
is PMG Airport Developers LLC. That entity itself is majority owned by PMG;
therefore, they have all the information.
The company that operates
multiple stations is the principle owner and the funder of the operation
itself.
Mr. Friel stated that pricing information was not included throughout the
proposal. He indicated that market pricing on fuel was also omitted. Ms.
van den Berg responded this information is attached to the proposed
agreement (Standards of Operations).
Mr. Friel added the proposed site
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plan is also omitted.
available.
It is very important to have the vehicle access
In response to Chairperson Daniell’s question regarding commercial fueling
and whether or not it is included in the 12 fueling positions, Mr. Anderson
responded that the request for proposal required a separate but adjoining
location for the commercial fueling operation, to separate the traffic.
The proposal received, indicates that the commercial fueling operation is
in the same envelope as the pedestrian vehicles. It appears to be part of
the 12.
Chairperson Daniell stated she has concerns about the financial information
and whether or not there is sufficient information to come to a satisfactory
conclusion. The proposal requests a 50% letter of credit; there should be
a 100% letter of credit or performance contract bond on this project.
In response to Mr. Anderson’s question, Chairperson Daniell stated the
request from staff is to approve the proposal as responsive and responsible
authorizing the Executive Director to enter into negotiations for the
intended award. It is the consideration of the Committee as to whether
they would like to proceed with that recommendation or consider
having
the missing information provided, evaluated and the item brought back to
the Committee for consideration and recommendation.
Ms. van den Berg then shared the list of missing items, as follows: the
quality variety and price range for the convenience store items, the quality
variety and price range for the menu of the fast casual restaurant, the
quality of the customer service and operational plan, the furnishings,
trade fixtures and equipment to be installed, and lastly the required
financial statements.
Mr. Pascucci added, for clarification purposes, the site plan included 12
fueling positions of regular vehicle fueling. Two (2) site plans were
submitted; one was a fully compliant site plan showing a no commercial
fueling option and the second one deemed to be a non-compliant site plan
more of a suggested site plan on how commercial fueling could be potentially
integrated at a reasonable cost and also within certain engineering
limitations of operating a secondary facility that is 1,000 feet away, or
further from the principle facility. In addition, regarding the list of
menu items, the 7 Eleven inventories more than 2,000 items and the prices
are set by the national brand similar to branded chain outlets. This is why
it is indicated, in the response provided by MCO Airport Plaza, that it is
a nationally branded chain. Prices are already established; therefore, MCO
Airport Plaza does not determine the prices.
Ms. Sharman inquired on an agreement to include these national brand prices.
Mr. Pascucci responded there are national agreements. The franchise would
be rebated from the manufacturer for having the established prices.
Deviation from these prices would entail the loss of credits, bill backs,
promotions, etc. and MCO Airport Plaza would not score on the franchise
license as being a participant of their programs. MCO Travel Plaza would
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be more than happy to furnish all this information however, it would be
troublesome for the Committee to review.
Mr. Friel reminded the Committee that a request to increase the percent of
the letter of credit has been made by Chairperson Daniell. Chairperson
Daniell inquired on deficiencies and if any were to be found following
review of the statements. She asked if a request can be made that the 100%
letter of credit be committed if this were the case. Ms. van den Berg
agreed that a request can be made that they commit to an increased amount.
Mr. Draper suggested MCO Airport Plaza prepare a presentation with all the
information and present it to the Committee.
Upon motion by Mr. Friel, second by Ms. Sharman, vote carried to defer any
action on this item, subject to the presentation of the missing information
and the resubmission of this item before the Committee; for final review
and consideration of recommendation.
ADJOURNMENT
Chairperson Daniell asked if there was further Committee business to
discuss.
The next scheduled CPC meeting will be held Monday, August 8, 2016 at 1:30
p.m. in the Carl T. Langford Board Room.
With no further business before
adjourned the meeting at 3:02 p.m.
________________________________
Dolly Daniell, Chairperson
this
Committee,
Chairperson
Daniell
_______________________
Date
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CONSENT AGENDA ITEM A
CONSENT AGENDA ITEM B
CONSENT AGENDA ITEM C
NEW BUSINESS AGENDA ITEM A