SP_S-10700-00003553_LUKE II_Pay_and_Park_Machines_DAS-FPS_Approved~1.pdf

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REQUEST FOR SPECIAL PROCUREMENT No. S-10700-00003553

PART A. Requesting Agency must complete Items 1 through 13.

1. Requesting Agency Name: Oregon Department of Administrative Services, Procurement Services (“DAS

PS”) on behalf of DAS Enterprise Asset Management, Fleet and Parking Services (“DAS FPS”)

2. Date of Request: June 28, 2022 3. Agency Number: 107090

4. Agency Contact Name: Tina Reniere 5. Phone: 971-349-0989

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

7. Time Period Requested: From: August 1, 2022 To: July 31, 2032

8. Total Estimated Cost: $200,000.00

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

Luke® II Parking Pay Stations, Hardware Upgrades, Replacement Parts and Related-Services.

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

a. Request:

DAS PS on behalf of DAS FPS requests approval of this Special Procurement (“SP”) S-10700-

00003553 to direct award a contract (“Contract”) to T2 Systems for procurement of:

• New (replacement) Luke® II Parking Pay Stations (aka Pay and Park Machines), as required

• Hardware Upgrades - to upfit existing Luke® II Parking Pay Stations with coin and currency payment options

• Original Equipment Manufacturer (“OEM”) Luke® II Parking Pay Station Replacement Parts

• Related Technical Support Services

b. Background:

DAS FPS manages 4,100 DAS-owned vehicles, provides policy oversight to over 3,000 vehicles owned by other agencies and manages 4,500 parking spaces in the Salem Capitol Mall, Portland state office building, and Eugene state office building.

• Salem Capital Mall, Yellow Lot: Daily parking is available with Pay and Park Machines that currently accept debit and credit cards.

• Salem Capital Mall, Green Lot: Unreserved permit parking is available.

• Salem Capital Mall, Red Lot: Reserved or unreserved permit parking is available.

• Portland State Office Building: Daily and hourly parking is available with Pay and Park

Machines that currently accept debit and credit cards.

• Eugene State Office Building: Reserved or unreserved permit parking is available.

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DAS FPS provides daily and monthly parking to State of Oregon Employees and Contractors in these state leased and owned lots. Laws governing state parking facilities are set out in Oregon Revised

Statutes (“ORS”) 276.591 – 276.601 and Oregon Administrative Rules (“OAR”) Chapter 125, Division 90.

DAS FPS utilizes six (6) Pay and Park Machines; (four (4) in the Salem Capitol Mall, Yellow Lot and two (2) in the Portland State Office Building (“PSOB”) parking lot. The machines were procured through separate intermediate procurement processes.

Yellow Lot:

• Request For Quotes (“RFQ”) #DASPS-1599-16 was issued June 23, 2016 on the Oregon

Procurement Information Network (“ORPIN”), the state’s former eProcurement system of record.

• Four (4) timely submitted, responsive Bids were received and evaluated in accordance with the evaluation process set out in the RFQ.

• T2 Systems prevailed with an award for four (4) Pay Stations and contract #DASPS-1599-16 was executed June 30, 2016.

PSOB Parking Lot:

• RFQ #DASPS-2212-18R1 was issued June 5, 2018 on ORPIN.

• Two (2) timely submitted, responsive Bids were received and evaluated in accordance with the evaluation process set out in the RFQ.

• T2 Systems prevailed with an award for two (2) Pay Stations and contract #DASPS-1685-18 was executed January 2, 2019.

Currently, the Pay & Park Machines are configured to accept debit and credit card payments only. In the recent 2022 legislative session, Senate Bill (“SB”) 1565 was passed, making it an unlawful practice under ORS chapter 659A for a place of public accommodations to refuse to accept United States coins or currency as payment for goods and services (see “SP_Attachment-1”). To comply with SB1565, DAS FPS must install hardware upgrades to the (6) existing Luke® II Pay and Park Machines, upfitting them with the ability to accept coins as payment.

c. Current Need:

DAS FPS must procure the necessary hardware to upgrade the six (6) existing Pay & Park Machines and bring them into compliance with Oregon law. Table 10.C.1 below sets out the estimated costs for the hardware. DAS FPS will conduct all installation activities.

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TABLE 10.C.1

Upgrade Hardware for Existing Machines

Description Base Unit

Price Quantity Discount Discounted Unit

Price Extended

Price

Coin Acceptor-L2 – V5 $1,800.00 6 20% $1,440.00 $8,640.00

Key-Hopp/Canister Acc-

S/LR/L2/LC

$10.00 2 20% $8.00 $16.00

Coin Canister-L2 $600.00 6 20% $480.00 $2,800.00

Decal-Coin/CC w/38 Key-L2 $90.00 6 20% $72.00 $432.00

Decal-Accepted Payment-

L/LR/L2

$30.00 6 20% $24.00 $144.00

Lock-Programmable-C $180.00 6 20% $144.00 $864.00

Key-Green Ex. Access-C $33.00 2 20% $26.40 $52.80

Key-Yellow Ex. Access-C $33.00 1 20% $26.40 $26.40

Estimated Total: $13,055.20

The following Table 10.C.2 sets out the estimated costs for new Luke® II Parking Pay Stations, if an existing machine(s) needs to be replaced, and replacement/repair parts to maintain the existing machines, as necessary.

TABLE 10.C.2

Replacement Hardware and New Machines

Description Base Unit

Price

Quantity Discount Discounted Unit

Price

Extended

Price

Replacement Luke II $12,000.00 1 20% $9,600.00 $9,600.00

Extended Warranty-Annual (Luke II)-$1,100 per unit per year, which includes technical support $6,600.00 10 0% $6,600.00 $66,000.00

Digital Iris – Monthly (Luke

II)

$50.00 120 0% $50.00 $6,000.00

Coin Acceptor-L2 – V5 $1,800.00 2 20% $1,440.00 $2,880.00

Key-Hopp/Canister Acc-

S/LR/L2/LC

$10.00 2 20% $8.00 $16.00

Coin Canister-L2 $600.00 2 20% $480.00 $960.00

Decal-Coin/CC w/38 Key-L2 $90.00 2 20% $72.00 $144.00

Decal-Accepted Payment-

L/LR/L2

$30.00 2 20% $24.00 $48.00

Lock-Programmable-C $180.00 2 20% $144.00 $288.00

Key-Green Ex. Access-C $33.00 2 20% $26.40 $52.80

Key- Yellow Ex. Access-C $33.00 2 20% $26.40 $52.80

Estimated Total: $86,041.60

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The Total Estimated Cost set out in Section 8 above includes a contingency amount for unexpected machine replacement(s) and just-in-time repair parts/hardware over the 10-year term requested in

Section 7 above.

d. Proposed Contracting Procedure:

1. As required by Oregon Administrative Rule (“OAR”) 125-247-0287, DAS PS will issue a public notice regarding approval of this SP on the OregonBuys eProcurement system for a period of seven (7) calendar days.

2. The public notice will include provision that any affected party may protest the approval of the

SP request.

3. DAS PS, working with DAS FPS, will respond to and resolve all protests, if any.

4. If no protests to this SP are received and sustained, DAS FPS will issue a Purchase Order (“PO”) through OregonBuys to T2 Systems for the Upgrade Hardware set out in Table 10.C.1 above.

Thereafter, DAS FPS will issue PO(s) through OregonBuys to T2 Systems for Goods and

Services set out in Table 10.C.2 and specifically for:

a. Just-in-time repair parts/hardware for existing Pay & Park Machines, if any.

b. New (replacement) Luke® II Pay and Park Machines, if any.

5. DAS FPS will work with DAS Enterprise Information Services (“EIS”) and obtain its endorsement prior to executing any POs, if required.

6. Pursuant to OAR 137-045-0015, DAS PS on behalf of DAS FPS will work with Oregon

Department of Justice (“DOJ”) and obtain legal sufficiency approval prior to executing the POs, if required.

11. Justification for use of Special Procurement:

• SB1565 mandates that all Pay & Park Machines must accept United States coins or currency as payment. DAS FPS must upfit the existing Pay & Park Machines detailed in Section 10.b above with the necessary hardware to comply with this law.

• The Luke® II Pay and Park Machines are proprietary to T2 Systems. Although T2 Systems has

Resellers, the Equipment, Hardware and Services described in this SP Request can only be provided directly by T2 Systems (see “SP_Attachment-2”).

• DAS FPS has plans to convert to T2 Systems’ T2 Flex Database software for State Parking within the next 3-5 years or sooner. This software will integrate the T2 Pay and Park Machines with each other for daily parking options and combined enforcement. A different brand of pay and park machine will not integrate with the Luke® II Pay and Park Machines or the T2 Flex Database software.

• DAS FPS has no plans to replace the (6) existing machines at this time, which would be a significant undertaking and cost more than $85,000. DAS FPS expects to keep the existing (6)

Luke® II Pay and Park Machines in-place for the next 10 years, at minimum.

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12. Findings to Satisfy the Required Standards: This proposed special procurement:

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

The Luke® II Pay and Park Machines are proprietary to T2 Systems. Although T2 Systems has Resellers, the Equipment, Hardware, and Services described in this SP Request can only be provided directly by T2

Systems (see “SP_Attachment-2”).

and

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

or

___X___ (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:

• DAS FPS must upfit the six (6) existing pay and park machines to accept U.S. coins and currency to comply with Oregon law (see “SP_Attachment-1”).

• Upfitting the existing pay and park machines promotes the public interest by giving citizens multiple payment options in State parking lots including U.S. coins and currency, and credit cards.

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. The Department of Administrative Services completes 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 ORPIN. 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.

3. While this SP is in effect, DAS FPS shall report annually (every January) to DAS PS the following information for the previous year:

a. Purchase Orders: List of all Purchase Orders (“POs”) issued during the subject year including:

• PO Number (as recorded in OregonBuys)

• PO Issued Date

• PO Value (total amount)

• Brief description of procured Goods and Services (i.e., New LUKE II Pay Station, Replacement

Parts, Upgrade Hardware, Technical Services)

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APPROVED:

Kelly Mix, State Chief Procurement Officer (or delegate) Date

Department of Administrative Services