Loading...
SR 10-24-2017 3D City Council Report City Council Meeting: October 24, 2017 Agenda Item: 3.D 1 of 4 To: Mayor and City Council From: Susan Cline, Director, Public Works, Resource Recovery & Recycling Subject: Global Positioning System (GPS) Software Application and Airtime Recommended Action Staff recommends that the City Council authorize the Purchasing Services Manager to issue a purchase order with GPS Insight, LLC, an Arizona-based company, for vehicle location tracking for the Resource, Recovery & Recycling Division, in the amount not to exceed $50,000 for one year, with 2-additional 1-year renewal options on the same terms and conditions. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.080(d) and is for a total amount not to exceed $150,000. This will result in a new three-year service agreement, with future year funding contingent on Council budget approval. Executive Summary The Resource Recovery & Recycling (RRR) Division of the Public Works Department has utilized Global Positioning System (GPS) technology for vehicle location tracking since 2009. Staff recommends a new purchase order for a service agreement with GPS Insight, LLC, to continue to provide a GPS web-based software application to ensure continuity of service and software compatibility with the units installed in RRR vehicles as well as ongoing maintenance of the units. Staff anticipates issuing a new RFP for GPS technology prior to the end of the proposed three-year agreement. The current purchase order with GPS Insight, LLC expired and the vendor is being paid on a month- to-month basis. The new purchase order would be an exception to the competitive bidding process pursuant to SMMC Section 2.24.080(d), as the software application was developed by GPS Insight, LLC and is copyrighted, patented and only available from the vendor. The new service agreement is for a total amount not to exceed $150,000, to cover the monthly service cost for RRR GPS units as well as future GPS purchases, installations and replacements. Background 2 of 4 In January 2009, the City issued a Request for Proposals (RFP) for the purchase of 64 Global Positioning Systems (GPS) units and a full-feature web-based software application that included vehicle location updates every two minutes, unlimited airtime communication, mapping services and the ability to export data via PDF or Excel format. Staff has used the GPS units to verify service routes, monitor vehicle location, confirm that services such as street sweeping have been rendered, as well as to provide up-to-date positioning of the vehicles in case of an emergency. In addition, the units have also aided with public records requests as well as accident investigations by verifying if RRR vehicles were present at alleged accident locations. The service agreement was for a two-year period with up to three one-year renewal options, for a total cost of $226,105.48 over a five-year period, and was paid for using annual purchase orders. In May 2014, RRR requested an additional three-year service agreement. The vendor offered the City favorable terms, with the monthly service cost decreasing from $40.00 per unit to $37.95, and the cost to purchase new units decreasing from $400.00 to $375.00. The overall cost during this timeframe totaled $97,095.76. In FY 2016-17, the vendor updated all of the City's Second Generation (2G) GPS units to Fourth Generation (4G) at its own expense, underlining its ongoing commitment to the City. The 2G system had become obsolete and the new 4G units have the ability to send and receive greater amounts of data, thus increasing the system’s efficiency. The previous purchase orders were approved under the Purchasing Manager’s authority and did not require Council authority until this fiscal year. In March 2017, RRR again reached out to the vendor for updated pricing for a possible new three-year term due to the potential costs and service downtime of replacing the existing GPS units on the RRR vehicles. The vendor proposed a decrease in the monthly service cost: from $37.95 to $32.95 per unit; and the purchase price from $375.00 to $275.00 per unit. The new monthly service cost also includes an upgrade that includes providing RRR with vehicle location updates every 30 seconds instead of 3 of 4 every two minutes. RRR is currently paying the vendor on a month-to-month basis until a new purchase order is approved. Discussion The RRR Division of the Public Works Department dispatches over 70 vehicles daily. The vehicles are used to collect the city’s trash, recycling and organics. RRR uses GPS primarily to verify service routes, monitor vehicle location, confirm that services such as street sweeping have been rendered, and to provide up-to-date positioning of the vehicles in case of an emergency. The current GPS system also contains additional features such as vehicle diagnostic reports, which provide information that includes engine data, fuel efficiency and battery life; daily vehicle location and history; and vehicle stop and idle reports, which indicate if a unit has been stopped for longer than 5 minutes. Continuing to utilize GPS Insight, LLC units would allow RRR to continue monitoring their vehicles with no interruption in service. Vendor Selection Staff recommends GPS Insight, LLC to provide a Global Positioning System (GPS) web-based software application that includes continuous airtime as an exception to the competitive process basis pursuant to SMMC Section 2.24.080(d). The web-based software application was developed by GPS Insight, LLC and is copyrighted, patented, or otherwise only available from the vendor. Staff will continue to monitor the GPS market and anticipates issuing a new RFP prior to the end of the proposed three-year agreement. Financial Impacts and Budget Actions The purchase order to be awarded to GPS Insight, LLC is for an amount not to exceed $150,000. Funds of $50,000 are available in the FY 2017-18 budget in the Public Works Department. The purchase order will be charged to account 27441.533120. Future year funding is contingent on Council budget approval. 4 of 4 Prepared By: James Keezell, Administrator Approved Forwarded to Council Attachments: A. GPS Oaks Initiative Disclosure Form REFERENCE:    A COPY OF THIS STAFF REPORT  IS ALSO IN LEGISLATIVE FILE  NUMBER 101‐003‐04‐03