TITLE
Recommendation to adopt Specifications No. RFP AP13-034 and authorize City Manager to execute all documents, including any necessary amendments regarding term or scope, to enter into a two-year agreement for an amount not to exceed $1,114,991 with John Bean Technologies, dba JBT Aerotech Services (JBT), of Ogden, UT (not an MBE, WBE, SBE or Local), to perform maintenance and capital improvements for the baggage handling systems at the Long Beach Airport (Airport), with two optional one-year renewals for an annual amount not to exceed $300,000, at the discretion of the City Manager. (District 5)
DISCUSSION
Functionality of the Baggage Handling Systems (BHS) is critical for baggage security screening, maintaining flight schedules and customer satisfaction. To ensure that the BHS remains functional with very limited periods of inoperability, the Airport requires the full-time services of technicians specifically trained in developing and performing preventive and corrective maintenance programs for the BHS and components.
The BHS at the Airport consists of portions of old systems constructed as far back as the 1980s, in addition to newer, more technologically complex portions that were constructed in 2008, all of which require frequent maintenance and repair. The newer portions consist of a partial in-line conveyor system that combines bags from multiple conveyors behind the airline ticket counters. This portion also carries all baggage to a centralized Transportation Security Administration (TSA) screening area and delivers cleared baggage to the airline baggage make-up carousel.
The Request for Proposal (RFP) was advertised in the Press Telegram on June 10, 2013, and 4,269 potential bidders specializing in baggage handling systems were notified of this RFP opportunity. Of those bidders, 37 downloaded the RFP via our electronic bid system. The RFP document was made available from the Purchasing Division, located on the seventh floor of City Hall, and the Division's website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>.
A bid announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority and women-owned business groups. Four proposals were received on July 16, 2013. Of those four proposals, one was a Minority-owned Business Enterprise (MBE), none were Women-owned Business Enterprises (WBEs), one was a certified Small Business Enterprise (SBE), and none were Long Beach businesses (Local). A panel comprised of Airport Maintenance staff evaluated the proposals and determined that JBT best met the Airport's needs to provide this service based on their experience, qualifications and overall cost.
Local Business Outreach
In an effort to align with our outreach goal, Long Beach businesses were encouraged to submit proposals for City contracts. The Purchasing Division also assisted businesses with registering on the Bids Online database to download the RFP specifications. Through outreach, 442 Long Beach vendors were notified to submit proposals, of which four downloaded and none submitted a proposal. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on October 14, 2013 and by Budget Management Officer Victoria Bell on October 25, 2013.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP 13-034 is requested on November 12, 2013, to allow for uninterrupted maintenance service for the Baggage Handling Systems.
FISCAL IMPACT
The initial two-year agreement amount of $1,114,991 is comprised of $564,565 for preventive maintenance and emergency response, and $550,426 designated for replacement of the BHS components, which will be requested as part of the FY 15 Capital Improvement Program budget. Funding for the estimated FY 14 maintenance cost of $282,283 is included in the FY 14 Airport Department (AP) operating budget in the Airport Fund (EF 320), and the same amount will be requested for the FY 15 operating budget. The award of this contract will provide continued support to our local economy.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MARIO RODRIGUEZ
DIRECTOR, LONG BEACH AIRPORT
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER