Item 5a Memo
PORT OF SEATTLE MEMORANDUM COMMISSION AGENDA Item No. 5a Date of Meeting July 28, 2009 DATE: July 2, 2009 TO: Tay Yoshitani, Chief Executive Officer FROM: Ed Weitz, Capital Project Manager SUBJECT: Procurement of Indefinite Delivery, Indefinite Quantity (IDIQ) Professional Service Agreement. REQUESTED ACTION Authorization for the Chief Executive Officer to enter into an Indefinite Delivery, Indefinite Quantity (IDIQ) contract for Baggage Handling Design services to be used to support projects Port-wide. Total amount for this contract will not exceed $3,000,000. Funds for work under the contract will be approved on a project-by-project basis or as part of Operating budgets. SYNOPSIS In accordance with the Port's mission to create economic vitality and our strategy to be a high performance organization, Aviation Project Management Group proposes to advertise and select one qualified firm to provide Baggage Handling services for projects Port-wide. BACKGROUND The Port enters into a substantial number of Service Agreements each year. Each requires a significant amount of time and paperwork to process. This is costly to the Port and the consulting firms who compete for the work. Over the last three months, staff held three acquisition planning meetings to identify how best to acquire the proposed services and ensure the procurement process meets the Procedures for Personal and Professional Services (CPO-1) standards. Utilizing IDIQ contracts allows a more efficient, cost-effective way to respond to service requests. This type of open order contract is commonly used among many public agencies such as the Corps of Engineers, Navy, Coast Guard, King County, and the Washington State Department of Transportation. COMMISSION AGENDA Tay Yoshitani, Chief Executive Officer July 2, 2009 Page 2 of 2 PROJECT DESCRIPTION/SCOPE OF WORK This IDIQ contract will be procured according to the process detailed in CPO-1, which became effective January 31, 2009. The contract will be written with a specific not-to-exceed amount and a Contract Ordering Period (during which the design services for the projects may be separately authorized) of three years. The actual contract duration may extend beyond three years in order to complete construction support services which occur after design. Individual Service Directives will be negotiated and processed before any work is performed. Service Directives, consisting of a Scope, Fee Agreement and Schedule, will not be established until the project has been approved in accordance with Resolution 3605. The first proposed project will connect the new C1 Baggage Screening Facility to the C88 North Satellite Baggage Sortation System. This will accomplish the following: 1) Improve future flexibility in baggage introduction point to ultimate destination, i.e., common use ticket counters. 2) Address Alaska Airline's request to connect baggage from their ticket counter to North Satellite sortation system. 3) Provide a connection that will consist of two new conveyor paths between C92 and C88 that connect both systems post-screening. ALTERNATIVES CONSIDERED/RECOMMENDED ACTION 1. Prepare separate procurements each time Baggage Handling Design services are needed. This option would not be the most efficient use of Port resources, as it would result in multiple low dollar contracts for similar services. This is not the recommended alternative. 2. Prepare one Category III procurement for this specialized service area. This alternative ensures a competitive process, will include a goal for small business participation, and provides staff with the tools needed to respond in a timely manner to requests for service. This is the recommended alternative. FINANCIAL IMPLICATIONS Charges to this contract will be from projects which have already been authorized within established procedures. Consequently, there is no funding request associated with this authorization. PROJECT SCHEDULE Each Service Directive will specify the schedule associated with the tasks involved. PREVIOUS COMMISSION ACTION None
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