CITY OF TALLAHASSEE
CITY COMMISSION AGENDA ITEM
ACTION REQUESTED ON: June 24, 2009
SUBJECT/TITLE: Approval of Contract Award for Property Management Services, RFP No. 0128-09-ER-RC
TARGET ISSUE:
STATEMENT OF ISSUE
The City of Tallahassee and Leon County currently contract on a month-to-month basis for management services of the Renaissance Building. A Request for Proposals was issued for a longer-term contract with proposals received from three companies. The Selection Committee recommended Tallahassee Land Management, Inc., as the highest ranked and lowest cost vendor, at a price less than the current contract. The current management company did not submit a proposal and has sent a termination notice for the Renaissance Building effective July 3, 2009. That company, Advantis GVA, also provides this service to the City for the Gemini Building on a month-to-month basis. To increase efficiency, staff is asking the Commission to approve the new contract for Renaissance, and also allow staff to negotiate with Tallahassee Land Management, Inc., to provide property management services for the Gemini Building, with final approval by the City Manager. The Procurement Services Division also concurs with this recommendation.
RECOMMENDED ACTION
Option 1 Approve the recommendation of the Selection Committee for RFP No. 0128-09-ER-RC and authorize the City Manager to execute a contract with Tallahassee Land Management, Inc., for property management services at the Renaissance Building and the Gemini Building.
FISCAL IMPACT
The fee proposal for management services is less than currently budgeted for the Renaissance Building. Funding will be provided from approved operating funds of the departments located in the Renaissance and Gemini Buildings. The Office of Budget and Policy has reviewed this agenda item and concurs with the recommended option.
M. Michelle Bono, Assistant to the City Manager
Anita Favors Thompson, City Manager
For information, please contact: Mark Beaudoin, Property Management Dept., Division, (850) 891-8711.
SUPPLEMENTAL MATERIAL/ISSUE ANALYSIS
HISTORY/FACTS & ISSUES
The Renaissance Building is jointly owned by the City of Tallahassee and Leon County. The interlocal agreement between the governments provides that the City procure and oversee the management services for the building. The City and County agreed to hire Advantis GVA during the initial occupancy of the Renaissance Building, as Advantis was currently managing the Gemini Building for the City and the Bank of America Building for the County. Under the terms of the contract, Advantis is in charge of building maintenance, the cleaning contract, repairs, and all other duties associated with the daily operation of the facility. This agreement has continued on a month-to-month basis.
To provide for a longer-term contract, staff prepared and released a Request for Proposals (RFP), which was advertised on May 10, 2009. The RFP contemplates a two-year agreement with three additional one-year options. Proposals were received on June 1, 2009 from three vendors with Tallahassee Land Management, Inc., as the highest ranked company and with the lowest cost proposal.
During the RFP process, Advantis GVA sent a notice of termination for the Renaissance Building and also indicated they would not be bidding on the RFP for Renaissance. Advantis GVA is still under a month-to-month contract for management services at the Gemini Building. Staff had planned to release a separate RFP for the Gemini Building, since it is a city-only operation and it was more straightforward to not combine with the joint city/county services for the Renaissance.
To increase efficiency, and in part due to expectations of fewer City staff to address oversight of the two properties, it is recommended that both facilities be managed by the same company and that staff be given authority to negotiate with the recommended vendor, and low bidder, on the Renaissance Building (Tallahassee Land Management, Inc.), with final approval of the contract for management services at Gemini by the City Manager. This option will provide continuity of management at both facilities without service interruptions. The Tallahassee Land Management, Inc., cost proposal ($2,334 per month) is less than the current management fee ($2,650) at the Renaissance Building and the company owners have indicated their fee will be comparable to the current amount paid ($1,250) to Advantis for the Gemini Building.
OPTIONS
Option 1 Approve the recommendation of the Selection Committee for RFP No. 0128-09-ER-RC and authorize the City Manger to execute a contract with Tallahassee Land Management, Inc., for Property Management Services at the Renaissance Building and the Gemini Building.
This option will provide for a seamless transition in Property Managers at a cost below current budget levels.
Option 2 Do not approve the recommendation of the Selection Committee for RFP No. 0128-09-ER-RC for the Renaissance Building and the additional contract award for the Gemini Building.
This option will create an interruption in services and result in a higher cost to the City.
Option 3 Approve the recommendation of the Selection Committee for RFP No. 0128-09-ER-RC and authorize the City Manger to execute a contract with Tallahassee Land Management, Inc., for Property Management Services at the Renaissance Building and direct staff to issue a separate RFP for the Gemini Building.
Option 4 Provide alternative staff direction.
ATTACHMENTS/REFERENCES