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Item F46 F.46 Coty f � ,�� ,' BOARD OF COUNTY COMMISSIONERS �� Mayor David Rice,District 4 The Florida Keys Mayor Pro Tem Craig Cates,District I y Michelle Coldiron,District 2 James K.Scholl,District 3 Ij Holly Merrill Raschein,District 5 County Commission Meeting November 15, 2022 Agenda Item Number: F.46 Agenda Item Summary #11385 BULK ITEM: No DEPARTMENT: Project Management TIME APPROXIMATE: STAFF CONTACT: Cary Knight(305) 292-4527 N/A AGENDA ITEM WORDING: Approval of a Resolution delegating additional purchasing authority to the County Administrator for Direct Purchase items of $50,000.00 and greater that provide tax savings for the Emergency Operations Center construction project. ITEM BACKGROUND: The County's purchasing policy and procedures delegates purchasing authority to the Department Directors for purchases between $.01 - $19,999.99, and to the County Administrator, Assistant County Administrator or Purchasing Director for purchases of$20,000.00 - $49,999.99. Purchases of$50,000.00 and greater are required to be approved by the BOCC. The County has contracted with Ajax for the new Emergency Operations Center project utilizing the CMAR construction delivery method. As part of the delivery method, Ajax is required to identify materials, supplies and equipment that the County can purchase directly thereby realizing significant tax savings on the construction costs for the project. In order to obtain the tax savings, the County has to issue purchase orders directly to the vendor. By delegating the additional purchasing authority to the County Administrator, the County will be able to avail itself of every tax savings opportunity available that might otherwise be lost by the delay required by placing a Direct Purchase item on the agenda for board approval. PREVIOUS RELEVANT BOCC ACTION: None CONTRACT/AGREEMENT CHANGES: New Resolution STAFF RECOMMENDATION: Approval. DOCUMENTATION: Resolution - Delegation of Purchase Order authority EOC Packet Pg. 2217 F.46 FINANCIAL IMPACT: Effective Date: Upon execution Expiration Date: Delegation of additional purchase authority limited to the Emergency Operations Center Project. Total Dollar Value of Contract: N/A Total Cost to County: N/A Current Year Portion: N/A Budgeted: N/A Source of Funds: N/A CPI: N/A Indirect Costs: N/A Estimated Ongoing Costs Not Included in above dollar amounts: N/A Revenue Producing: N/A If yes, amount: Grant: County Match: Insurance Required: no Additional Details: REVIEWED BY: Cary Knight Completed 11/01/2022 1:03 PM Kevin Wilson Skipped 11/01/2022 1:04 PM Cynthia Hall Completed 11/01/2022 1:08 PM Purchasing Completed 11/01/2022 2:28 PM Budget and Finance Completed 11/01/2022 2:49 PM Brian Bradley Completed 11/01/2022 2:57 PM Lindsey Ballard Completed 11/01/2022 3:52 PM Board of County Commissioners Pending 11/15/2022 9:00 AM Packet Pg. 2218 F.46.a RESOLUTION NO. -2022 A RESOLUTION BY THE MONROE COUNTY BOARD OF COUNTY U COMMISSIONERS DELEGATING SIGNATURE AUTHORITY TO THE COUNTY ADMINISTRATOR OR HIS DESIGNEE FOR ALL OWNER DIRECT Ul) PURCHASE ORDERS FOR THE EMERGENCY OPERATIONS CENTER/ FL KEYS MARATHON AIRPORT NON AERONAUTICAL USE 0 BUILDING PROJECT. 0 WHEREAS,Monroe County (County)has contracted with a construction contractor Ajax Building Company, LLC ("Ajax"), employing a Construction Manager at Risk project delivery method for the FL Keys Marathon Airport Non-Aeronautical Use project, otherwise known as the new Emergency Operations Center("Project"); and WHEREAS, as a political subdivision of the State of Florida purchases, including construction materials, supplies and equipment, made by the County are exempt from state 2 taxation; and 0 U) WHEREAS, the tax exemption provides the County with an opportunity for significant U savings in construction costs; and W WHEREAS, under the terms of the pre-construction and construction phase services contract, Ajax is required to identify Owner Direct Purchase materials, supplies and equipment items to be used on the Project that can be purchased by the County; and 0 WHEREAS,in order to obtain the tax exemption/savings on the purchase of the materials, U) supplies and equipment items for the project, the County must issue a County Purchase Order 2- directly to the vendor and pay for the item directly; and 4- 0 WHEREAS, the County has a Board approved Purchasing Policy, which sets forth purchasing authority thresholds and delegates purchasing authority to;the Department Director or their designees for purchases of $.01 - $19,999.99, and to the County Administrator, Assistant County Administrator or Purchasing Director for purchases of$20,000.00 - $49,999.99; and WHEREAS, the Purchasing Policy requires that purchases of $50,000.00 and greater be U) approved by the Board; and c� 1 Packet Pg. 2219 F.46.a WHEREAS, the County anticipates that the dollar value of many of the purchase orders for the project will exceed the purchase authority of the County Administrator under the 0 purchasing policies and procedures; and 0 LO WHEREAS, the County anticipates that the delay engendered in placing each Direct Purchase Item on the agenda for approval at a regularly scheduled Board of County 0 Commissioners meeting will slow down the purchases,result in the County not being able to keep to the construction schedule laid out in the contract with Ajax as well as the schedules in the three grants being used to fund the Project, and will also result in the loss of the opportunity to realize significant tax savings on the Project; U) NOW THEREFORE, BE IT RESOLVED THAT THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA HEREBY: 1. Finds it to be in the best interests of the County to avail itself of all possible opportunities for savings on the Project. a� 2. In addition to the delegated authority set forth in the Purchasing Policy, Delegates to the g County Administrator or his designee purchase and signature authority to the County 0 U) Administrator or his designee, purchase and signature authority for all Direct Purchase items on the Project of$50,000.00 and over that will provide a tax savings on the Project. U 0 3. Directs the Director of Project Management to include a list of all Direct Purchase Orders E issued by the County Administrator for the preceding month on the Project, to be included and reported in the Change Order section of each month's Board of County Commissioners agenda, whenever Direct Purchase Orders have been issued in the preceding calendar month. 0 U) c� 4- 0 0 U) c� 2 Packet Pg. 2220 F.46.a PASSED AND ACCEPTED by the Board of County Commissioners of Monroe County, Florida, at a meeting of said Board held on the 151h day of November, 2022. 0 0 Mayor LO Mayor Pro Tem Commissioner 0 Commissioner Commissioner (SEAL) BOARD OF COUNTY COMMISSIONERS Attest: KEVIN MADOK, Clerk OF MONROE COUNTY, FL By: By: As Deputy Clerk Mayor 0 U) 0 Approved as to form and legal sufficiency: w Monroe County Attorney's Office 11-1-2022 U 0 U) c� CL 4- 0 0 U) E c� 3 Packet Pg. 2221