CTR066856_NTQ_Determination.docx.pdf

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Master Agreement AZ|CTR066856
Contract number
CTR066856
Issued by
Arizona

About this file

This is a Procurement Determination document for the Arizona Department of Transportation (ADOT) for a non-competitive procurement under $100,000. The document involves Rhythm Engineering as the sole provider of the InSync Adaptive Traffic Control System, with participation from Maricopa County Department of Transportation (MCDOT), the City of Peoria, and the City of Glendale. The procurement is specifically for an intersection at Bell Road and Loop 101, which is part of a larger Bell Road Adaptive Signal Project.

The procurement covers InSync Adaptive Traffic Control System warranty and replacement parts for five years, not to exceed $85,000. The pricing is based on a competitive solicitation conducted by MCDOT in 2017, where Rhythm Engineering was awarded a 5-year contract. The document details specific pricing for various components including software warranty ($250/year per intersection), technical support ($750/year), and individual hardware components like optical detection kits, processors, panels, and cameras. The procurement is justified as a proprietary product with no comparable alternatives in the marketplace, and the pricing has been determined fair and reasonable according to market prices.

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PROCUREMENT DETERMINATION

COMPETITION NOT PRACTICABLE (< $100,000)

Cc: File Rev. 04/2020

Procurement

Sections 1 through 3 MUST be completed Use Attachments as Necessary

1) Agency: Arizona Department of Transportation

Name: Aimee Fields

Title: Procurement Specialist

Date: September 5, 2023

Requisition Number: TBD

Estimated Annual Cost: Not to exceed $85,000 for five (5) years

2) Provide full description of materials or services:

InSync Adaptive Traffic Control System - Warranty and Replacement Parts

3) Provide justification category: Proprietary product &/or support services

A Proprietary Software Statement was submitted by Rhythm Engineering on July 24, 2023 identifying that there are no comparable products currently available in the industry and that Rhythm Engineering is the Sole provider and Servicer of InSync. Additional market research was conducted and no other compatible products were found in the marketplace.

Provide justification details:

Rhythm Engineering is the sole creator and owner of the proprietary hardware and software products collectively referred to as InSync Adaptive Traffic Signal System. The system digitizes traffic signal operations using the patented Greedy Algorithm, which processes real-time data, functioning in varying environmental conditions, and is compatible with the Department’s legacy hardware. InSync adapts to changing traffic flow and automatically synchronizes traffic signals. It is not manufactured, licensed, or distributed by any other entity. The InSync equipment and associated services, including software configuration and adaptive engineering services, historically have come directly from Rhythm Engineering. Rhythm Engineering is the sole manufacturer and provider of service for the InSync adaptive traffic Signal System.

The Intersection of Bell Road and the Loop 101, is maintained by the Arizona Department of Transportation (ADOT), but is part of the larger Bell Road Adaptive Signal Project, solicited by the Maricopa County Department of Transportation (MCDOT). The InSync system works in conjunction with nearby intersections maintained by the City of Peoria and the City of Glendale. The warranty, which covered updates and technical support for the software portion of the system for the Bell Road and Loop 101 Freeway intersection has now expired. In addition, replacement parts are necessary when components fail or wear out over time. In order to maintain existing services without interruption, it is in the best interest of the State to contract with Rhythm Engineering for the needed replacement parts and services.

The fees for the annual warranty and technical support are charged per Intersection. Replacement parts would be purchased on an “as-needed” basis. The Maricopa County Department of Transportation conducted a competitive solicitation in 2017, where Rhythm Engineering was awarded a 5 year contract. The pricing below was provided at the time of award and the supplier has maintained their pricing and has extended the same pricing to ADOT for a five (5) year period. The pricing below shows comparable pricing on the warranties and the replacement parts/equipment.

DocuSign Envelope ID: 80719150-C7AB-4668-883B-31779762041F

PROCUREMENT DETERMINATION

COMPETITION NOT PRACTICABLE (< $100,000)

Cc: File Rev. 04/2020

Procurement

In accordance with A.A.C R2-7-702, pricing has been determined to be fair and reasonable as it is supported by market prices.

NOTE: In accordance with the Procurement Rules, the Arizona Uniform Terms and Conditions must be made a part of all contracts. If you will be required to sign a software licensing agreement or sign any other agreement containing terms and conditions, which will be made part of the final contract, you must receive prior approval from the Office of the Attorney General.

Approval of this request does not allow for agencies to exceed their dollar acquisition amount of delegated authority.

To Be Completed by Procurement Authority:

APPROVAL

Request Authorized Pursuant to A.R.S. § 41-2535 and A.A.C. R2-7-D301(4)

Request Denied

Request Returned for Additional Information

See Comments

Comments:

Approved by:

Signature:

Title:

Date:

Agency Tracking No.___________________ Initials: ____

DocuSign Envelope ID: 80719150-C7AB-4668-883B-31779762041F

Procurement Manager

9/5/2023

X

2023-09-06T08:42:28-0700
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File details come from the government source that posted it. Updated .