SP-BND_10700-110843_LenelS2_SecurityMgtSystems_Approved.pdf

Special Request 10700-110843 (SP & BND) LenelS2 Security Management Systems Page 1 of 8 (ORS 279B Procurements Only) Supplies & Services

CLASS SPECIAL PROCUREMENT AND BRAND NAME DETERMINATION

SPECIAL REQUEST NO. 10700-00110843

PART A.

1. Requesting Agency Name: Department of Administrative Services (“DAS”), State Procurement Services (“SPS”), on behalf of DAS Enterprise Asset Management (“EAM”)

2. Date of Request: January 22, 2025 3. Agency Number: 10700

4. Agency Contact Name: Tamisha Zakrzewski 5. Phone: 971-718-2502

6. Type of Request: X Class Special Procurement _____ Contract-specific Special Procurement

7. Time Period Requested: From: March 1, 2025 To: February 28, 2029

8. Total Estimated Cost: $600,000.00.

9. Title: Supplies and/or Services to be Acquired:

LenelS2 Keycard Door Entry Systems and OnGuard™ Access Control Systems (collectively “Security Management Systems”) Supplies and Services as follows:

Brand

• LenelS2

Supplies

• Controls

• Equipment (i.e., hardware)

• Maintenance, Repair, and Spare Parts

• OnGuard™ Software Licensing

Services

• Equipment and Controls Maintenance and Support Services

• Equipment and Controls Repair Services

• Software Support Services

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10. Request, Background, Current Need, and Proposed Contracting Procedure:

a. Request:

This Special Request #10700-110843 combines two requests and subsequent approvals into a single form:

• A Special Procurement (the “SP”) under Oregon Revised Statute (“ORS”) 279B.085 and Oregon Administrative Rule (“OAR”) 125-247-0287.

• A Brand Name Determination (the “BND”) under ORS 279B.215 and OAR 125-247-0691.

Special Procurement Request: The SP component of this Special Request seeks the following approvals:

1. Approval for EAM to conduct multiple procurements of Brand-specific LenelS2 Supplies and

Services listed in section 9 above, in accordance with the Proposed Contracting Procedure set out in section 10.d below.

2. Approval for SPS to conduct multiple procurements of Brand-specific LenelS2 Supplies and Services listed in section 9 above, in accordance with the Proposed Contracting Procedure set out in section 10.d below.

Brand Name Determination Request: The BND component of this Special Request seeks approval for the LenelS2 Keycard Door Entry Systems and OnGuard™ Access Control Systems, establishing both as the required quality, performance, and functionality standards for the security management systems Supplies and Services listed in Section 9 above.

b. Background:

EAM, through its Operations and Maintenance Program (“O&M”), provides the following installation, maintenance, and repair services to 44 DAS-owned buildings and 9 ‘other agency’-owned buildings (collectively “the Facilities”):

• Building Access Controls

• Electrical

• Carpentry

• Painting

• Signage

• Plumbing

• Custodial

• Landscaping

• HVAC Systems

The Facilities are occupied by 69 agencies and include general government offices, forensic crime and health labs, computer data centers, printing operations, and the Governor’s residence, Mahonia Hall.

Consistency of systems and equipment (e.g., Access Control Systems) across the Facilities is necessary for EAM to maximize efficiencies (i.e., achieve maximum productivity with minimum wasted effort or expense).

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In its management of the Facilities, EAM must comply with Oregon’s Public Contracting Code, which consists of three chapters in the Oregon Revised Statutes (“ORS”):

• ORS 279A, Public Contracting – General Provisions, which sets out policy for all contracting activities.

• ORS 279B, Public Contracting – Public Procurements, which sets out the laws for procurements of goods and services.

• ORS 279C, Public Contracting – Public Improvements and Related Contracts, which sets out the laws for construction, architectural, engineering, photogrammetric mapping, transportation planning, land surveying services, and related services procurements.

o ORS 279A.010(cc) defines “Public Improvement” as “a project for construction, reconstruction or major renovation on real property by or for a contracting agency.”

o ORS 279A.010(cc)(B) provides that “Public Improvement” does not include emergency work, minor alteration, ordinary repair or maintenance necessary to preserve a public improvement. For these types of procurements, state agencies are subject to the public procurement laws set forth in ORS Chapter 279B.

Procurement History

On May 18, 2004, in accordance with the exemption requirements and processes set out in ORS Chapter 279C and related Oregon Administrative Rules (“OARs”), DAS State Procurement Office (“SPO”) (now SPS) granted EAM a Lenel brand name Exemption Order for its public improvement procurements of Access controls systems. The brand name Exemption Order applied to all DAS-owned or maintained buildings with existing Lenel products installed.

On March 1, 2005, SPO approved Class Special Procurement 010-0305, which enabled EAM’s brand-specific procurement of Lenel access controls, equipment, and parts in accordance with ORS Chapter 279B and OAR 125-247-0200, Sourcing Methods. The Special Procurement was amended three times.

• Amendment #1: Class Special Procurement 010-0305 was amended on March 1, 2010, and effectively changed the Special Procurement Number to SP-446-10 and extended the expiration date to February 28, 2015.

• Amendment #2: Class Special Procurement No. SP-446-10 was amended on March 1, 2015, and extended the expiration date to February 28, 2025.

• Amendment #3: Class Special Procurement No. SP-446-10 was amended on December 6, 2022, and effectively:

o Changed the Special Procurement Number to SP-31627.

o Changed the Special Procurement type from a class- to a contract-specific Special

Procurement.

o bound contract# 107-2817-11, issued to Reece Complete Security Systems, to the terms and conditions of the Special Procurement.

Contract-specific Special Procurement #SP-31627 expired on February 28, 2025.

To maximize efficiencies and ensure coherence, EAM has made the business decision to use LenelS2 Keycard Door Entry Systems and OnGuard™ Access Controls Systems Supplies and Services in the 44 DAS-

Special Request 10700-110843 (SP & BND) LenelS2 Security Management Systems Page 4 of 8 owned Facilities and 9 ‘other-agency’ owned buildings. EAM will have ongoing need for the LenelS2 brand-specific Security Management Systems Supplies and Services listed in section 9 above.

c. Current Need:

This SP Request seeks approval for multiple brand-specific procurements of Supplies and Services under ORS Chapter 279B only. This would include parts for EAM’s onsite inventory and routine maintenance and repair parts for:

• The Facilities currently managed by EAM with LenelS2 Keycard Door Entry Systems and OnGuard™ Access Controls Systems installed.

• Any other buildings that come under the management of EAM in the future with LenelS2 Security Management Systems installed.

d. Proposed Contracting Procedure:

(i) Special Procurement Public Notice

1. As required by OAR 125-247-0287, SPS - on behalf of EAM - will issue a public notice (the

“Notice”) of the approved SP on OregonBuys, for a period of seven (7) calendar days.

2. The Notice will include provisions that any affected party may protest the approval of the SP.

3. SPS will respond to and resolve all protest(s), if any.

4. If no protests to this SP are received and sustained, EAM will follow the procurement process set out in section 10.d.(ii) – (iii) below and SPS – on behalf of EAM – will follow the procurement process set out in section 10.d.(ii) below.

(ii) Supplies & Services Procurements In each instance EAM must use an appropriate procurement method in accordance with DAS rules and its delegation of procurement authority, which could include Direct Award(s) over $25,000. Competition must be sought to the extent available, otherwise a direct award in accordance with this Special Request can be made regardless of any applicable threshold.

(iii) Tracking and Reporting EAM must track (e.g., Excel spreadsheet) all procurements, including those SPS conducts on its behalf, to ensure that the cumulative total of all procurements does not exceed $600,000 during the 5-year term requested in section 7 above. Information to be tracked for each procurement includes:

a. PO or WOC Number

b. Contractor Name

c. Term of PO or WOC

d. Contract Value

e. Description of Supplies or Services, or both

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EAM will submit an Excel report to SPS detailing the above information:

• before pursuing an extension to the Time Period requested in section 7 (above) through an Amendment to this Special Request.

• upon request of the State Chief Procurement Officer (“CPO”) or delegate.

11. Justification for use of Special Procurement:

A customized procurement method, such as that outlined in section 10.d above, that is different than any procurement method already established in statute can only be requested and approved through a Special Procurement under ORS 279B.085 and OAR 125-247-0287. The findings required by this statute and rule are documented in section 12 below.

Through this Special Request, EAM also seeks approval of a LenelS2 Brand Name Determination under ORS 279B.215 and OAR 125-247-0691. The findings required by this statute and rule are listed below in this section 11.

Both a Special Procurement and a Brand Name Determination require a mandatory 7-day public notice.

Combining the SP and BND into a single Special Request does not bypass or fail to meet this requirement if both are publicly noticed in one advertisement posted on the State’s eProcurement system, OregonBuys.

Brand Name Requirements and Findings

Brand Name or Equal Specification OAR 125-247-0691(2) provides that a brand name Specification may be prepared and used based on one or more of the following determinations:

(a) That use of a brand name Specification is unlikely to encourage favoritism in the awarding of Public Contracts or substantially diminish competition for Public Contracts.

Findings: There are currently at least five (5) vendors that sell the LenelS2 Security Management Systems in the Salem, Portland and southern Washington areas. The Proposed Contracting Procedure detailed in section 10.d(ii) supports competition to the extent available.

(b) That use of a brand name Specification would result in substantial cost savings to Agency.

Findings: The buildings owned or otherwise maintained by DAS have LenelS2 Security Management Systems already installed and operational. Maintaining these existing brand-specific systems in the Facilities will extend the lifespan, preserve the initial capital expenditures, which can be quite substantial, and mitigate or avoid costly repairs. Using off-brand parts could cause compatibility issues or unintentionally void system warranties, potentially resulting in higher repair costs.

(c) That there is only one manufacturer or seller of the product of the quality, performance or functionality required.

Findings: LenelS2 is part of Carrier Global Corporation, the sole manufacturer of LenelS2 Security Management Systems. Its OnGuard™ physical Access Control System is a software platform that is primarily and directly offered and licensed by LenelS2. However, replacement, maintenance, repair, and spare parts are available from a number of resellers. There are also several contractors that are approved LenelS2 Security Management Systems installers.

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(d) That efficient utilization of existing Goods requires the acquisition of compatible Goods or Services.

Findings: The LenelS2 OnGuard™ platform tends to be more tightly integrated with its own (LenelS2) line of hardware, such as controllers and keycard readers, ensuring optimized performance and reliability. Approval of this Brand Name Determination will ensure continuity of Security Management Systems in the Facilities, minimizing operational errors.

12. Findings to Satisfy the Required Standards: This proposed Special Procurement:

(a) will be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts because:

1. OnGuard™ is a proprietary software platform that is privately owned and controlled by LenelS2 (i.e., sole source).

2. There are several resellers and installers of the LenelS2 brand-specific hardware (i.e., equipment and parts) set out in section 9 above. Both EAM and SPS will follow the Proposed Contracting Procedures set out in Section 10.d(ii) above, which closely aligns with Oregon’s Public Contracting Code and related Administrative Rules, and will seek competition to the extent available.

and

___ (b)(i) will result in substantial cost savings to the contracting agency or to the public because:

or

(b)(ii) will otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with the requirements of ORS 279B.055, 279B.060, 279B.065, or 279B.070, or any rules adopted thereunder because:

1. It is anticipated that most LenelS2 brand-specific procurements of Supplies and Services will be made through Direct Award(s), which may exceed the current $25,000 threshold established in ORS 279B.065 Small procurements.

2. This Special Request promotes transparency in DAS’ procurement processes. With approval, multiple LenelS2 brand-specific procurements of the Supplies and Services listed in Section 9 are expected over the four-year period outlined in Section 7 above. Approval will also help to prevent the appearance of procurement fragmentation, which is prohibited by law.

3. Maintaining the existing Security Management Systems in the Facilities with LenelS2 brand-specific Supplies and Services can:

• enhance the security and safety of building staff and visitors.

• protect sensitive information and assets by controlling access to certain building areas.

• ensure continuous and proper functioning of the systems.

• preserve the initial procurement and installation costs, which can be quite substantial.

• extend the lifespan of the system(s) by identifying and addressing wear and tear issues before they become major problems.

• mitigate or avoid costly repairs and downtime.

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Approval of this Special Request, including the Special Procurement component and the Brand Name Determination component, will reduce security risks and opportunities for O&M errors, mitigate or avoid state business disruptions, provide cost savings opportunities, and substantially support the public’s best interests.

13. Signature: The actual signature of the Agency Head or designee (e.g., Designated Procurement Officer) is not required on the Request if it is submitted through OregonBuys. Agency may elect to attach a signed Request.

Signature: e.g. Electronically in OregonBuys _________________ Type Name: Date:

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PART B.

STATUTORY AND RULE AUTHORITY:

ORS 279B.085(2) states the Director of the Department of Administrative Services may approve a special procurement if the Director finds that a written request submitted under ORS 279B.085(4) demonstrates that the use of a special procurement as described in the request, or an alternative procedure prescribed by the Director will:

(a) Be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts; and (b)(A) Result in substantial cost savings to the contracting agency or to the public; or

(B) Otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with requirements that are applicable under ORS 279B.055, 279B.060, 279B.065 or 279B.070 or under any rules adopted thereunder.

OAR 125-246-0170 delegates the authority of the Director of the Department of Administrative Services to approve special procurements to the State Chief Procurement Officer. OAR 125-247-0285 through 125- 247-0288 implement ORS 279B.085.

OAR 125-247-0700(2) Protests and Judicial Review of Special Procurements designates the State Chief Procurement Officer as the Contract Review Authority.

FINDINGS: The findings are accepted, adopted, and incorporated by reference herein.

CONDITIONS OF APPROVAL:

1. Notice Period. The Authorized Agency shall post the Public Notice on OregonBuys. The Special Procurement may not be used until after the completion of the seven (7) day notice period required pursuant to OAR 125-247-0287(4), and either:

a. No Written protests are received by the Contract Review Authority, State Chief Procurement Officer, from an Affected Person in response to the notice, or

b. If any protest is received during the notice period, then not until:

i. the State Chief Procurement Officer or delegate issues a written disposition of the protest in accordance with ORS 279B.400 and OAR 125-247-0700 and OAR 137-047-0700, and

ii. confirms in writing the first possible date of use of the Special Procurement.

2. ORS 279A.165 Requirements. Agency shall comply with the requirements of ORS 279A.165 and

OAR 125-247-0287(12) regarding a report about this Special Procurement. Agency shall use a form and follow the instructions provided by the State Chief Procurement Officer or delegate.

APPROVED:

Jay Jackson, Procurement Policy Officer Date Department of Administrative Services

03/28/2025