Request for Proposals received March 13, 2020 for S76-T29321 - Approve an ordinance awarding a Revenue Contract to IKE Smart City, LLC ("IKE") for Interactive Digital Kiosks for the Mayor's Office of Economic Development and the Mayor's Office of Innovation.
Specific Explanation:
The Chief Development Officer, the Director of the Office of Innovation, and the Chief Procurement Officer recommend that City Council approve an ordinance awarding a twelve-year revenue contract with two five-year renewal options to IKE Smart City, LLC to design, fabricate, install, operate, and support interactive digital kiosks to be located primarily on City rights-of-way and other public areas as approved by the City of Houston.
The Scope of Work requires the contractor to install a minimum of 75 kiosks within 3 years of contract execution and up to a maximum of 125 kiosks over the duration of the contract. Kiosks will connect visitors and residents to events, activities, services, and local businesses, and also facilitate navigation around the City with directions, mapping, and real-time transit information for both mass and micro transit modalities. The multi-lingual and ADA-compliant kiosks include free Wi-Fi, emergency call, and messaging features, in addition to listings for social and civic resources such as shelters, food banks, and job opportunities.
Kiosk locations will be selected based on mutual consent, prioritizing commercial corridors with high pedestrian traffic, with a minimum of 10% located in neighborhoods where the area median income is 80% or less of the City's average income. The kiosks and all related services under this contract are provided at no cost to City with the City receiving the greater of 42% net revenue derived from advertising sales (or gross revenues pending certain revenue performance levels) or a minimum annual guarantee for the duration of the contract.
The Request for Proposals was advertised in accordance with the requirements of the State of Texas bid laws. As a result, proposals were received from the following firms: Big Outdoor, IKE Smart City, LLC, Intersection Media, Inc., and Smart City Media, LLC.
The Evaluation Committee included City of Houston voting members from the Finance Department, Houston Information Technology Services, Houston Public Works, the Mayor's Office of Economic Development and the Mayor's Office of Innovation. The evaluation was based on the following criteria:
1. Responsiveness of Proposal
2. Technical Competence
3. Price
Based on the evaluation of proposals, IKE Smart City, LLC was deemed the best proposer having met all requirements and was recommended for contract award.
MWBE Participation:
This professional services contract is being issued with a 11% goal for MWBE participation and the below named companies have been named as certified MWBE subcontractors:
Contracting Firm
|
Subcontractor
|
Type of Work
|
Percentage
|
IKE Smart City, LLC
|
Isani Consultants, L. P.
|
Civil Engineering Services
|
4.2%
|
|
Posey Construction and Development, Inc.
|
General Construction – pouring concrete foundation, electrical, sidewalk restoration
|
20.8%
|
Hire Houston First:
The proposed contract requires compliance with the City's Hire Houston First ordinance that promotes economic opportunity for Houston businesses and supports job creation. In this case, IKE Smart City, LLC is not a designated company and therefore the HHF preference was not applied to the contract award.
Fiscal Note:
Revenue for this item will be included in the FY22 proposed budget. Therefore, no Fiscal Note is required as stated in the Financial Policies.
__________________________________ ___________________________________
Jerry Adams, Chief Procurement Officer Department Approval Authority Signature
Finance/Strategic Procurement Division
ESTIMATED REVENUE
|
DEPARTMENT
|
FY2022
|
OUT YEARS
|
TOTAL
|
Mayor's Office
|
$165,500.00
|
$36.8 - 130.8M
|
$37-131M
|
Note: Revenue will vary based on the number of kiosks, length of contract term, and net proceeds from advertising sales.