C7M - Approve Elevator Maintenance Contract Amendment
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A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING, IN SUBSTANTIAL FORM, AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES AGREEMENT DATED AUGUST 17, 2023, BETWEEN THE CITY AND SW ELEVATORS, LLC (CONTRACTOR), FOR ELEVATOR MAINTENANCE, REPAIRS AND PARTS PURSUANT TO RFP-2023-001-ND (THE RFP); SAID AMENDMENT (I) ENGAGING CONTRACTOR UNDER ITS SECONDARY CONTRACT WITH THE CITY PURSUANT TO THE RFP, TO REPLACE SUNCOAST ELEVATOR SOLUTIONS, INC, WHICH IS NO LONGER ABLE TO CONTINUE PERFORMING AT THE LEVEL OF SERVICE REQUIRED UNDER ITS CONTRACT; AND (II) MODIFYING THE RATES FOR THE ELEVATOR MAINTENANCE AND REPAIR SERVICES IN ORDER TO ADDRESS THE CHANGES IN INDUSTRY PRICES, INCREASING THE ANNUAL CONTRACT AMOUNT FROM APPROXIMATELY $380,710.00 TO AN ESTIMATED ANNUAL AMOUNT OF $591,134.40; FURTHER, AUTHORIZING THE CITY MANAGER TO FINALIZE THE AMENDMENT; AND FURTHER, AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE THE AMENDMENT.
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Detailed Information
Cached: 3 weeks agoResolutions - C7 M
COMMISSION MEMORANDUM
RECOMMENDATION
The Administration recommends adopting the Resolution.
BACKGROUND/HISTORY
Elevator maintenance and repair services are essential to the Administration’s ability to provide residents and visitors with reliable access to City facilities. On February 22, 2023, the Mayor and City Commission approved the issuance of Request for Proposals (RFP) No. 2023-001-ND for elevator maintenance, repairs and parts. On June 28, 2023, the Mayor and City Commission adopted Resolution No. 2023-32621, accepting the City Manager’s recommendation and authorizing negotiations pursuant to RFP 2023-001-ND with Suncoast Elevator Solutions, Inc., the top-ranked proposer, as the primary vendor; SW Elevators LLC, the second-ranked proposer, as the secondary vendor; and Prestige Elevator Services, LLC, the third-ranked proposer, as the tertiary vendor.
ANALYSIS
Since 2023, Suncoast Elevators (“Suncoast”) has been the primary elevator maintenance and repair contractor. On April 10, 2025, Suncoast advised representatives of the Facilities and Fleet Management Department that it would cease rendering services for the City, effective July 31, 2025 citing a substantial increase in material pricing and labor from the time of Contract Execution. To mitigate disruption in operations, the Administration reached out to SW Elevators, LLC (“Southwest”), the secondary elevator maintenance and repair vendor, to onboard for the continuity of services.
On May 14, 2025, upon conferring with the Procurement and Legal Departments and evaluating the reasons Suncoast offered for wanting to sever business relations with the City, the Facilities Management Division extended the opportunity to process a rate adjustment, applicable to the labor rates on the existing Contract; as well as proposed modification to the Department’s existing
payment processing protocols to accept invoices from Suncoast for materials purchased and stored offsite.
On May 20, 2025, Suncoast declined the proposed Contract Amendment and reiterated their position to provide services through July 31, 2025.
On June 4, 2025, the City attempted one last time to retain Suncoast’s services by offering one last rate adjustment but never heard back from the vendor.
As with Suncoast, Southwest has experienced challenges to service elevators with the established rates in the contract. As provided in Section A6.3 of Contract No. 23-001-02, Southwest has requested a rate adjustment. Southwest has also requested language to be clarified in the contract. Consequently, the proposed Amendment, considers the new established rates and language clarifying Southwest’s liability as it assumes the City’s elevator fleet.
FISCAL IMPACT STATEMENT
The fiscal impact of the adjusted rate is an additional $210,424.40 per Contract Year.
Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)
If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/
FINANCIAL INFORMATION
CONCLUSION
The Administration recommends the Mayor and City Commission approved Amendment No. 1 to Contract No. 23-001-02 with SW Elevators, LLC for rate increase pursuant to RFP 23-001-ND.
Applicable Area
Citywide
Is this a “Residents Right to Know” item, pursuant to City Code Section 2-17?
Is this item related to a G.O. Bond Project?
No
No
Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No
If so, specify the name of lobbyist(s) and principal(s):
Department
Facilities and Fleet Management
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Co-sponsor(s)
Condensed Title
Approve Amendment 1 to Contract No. 23-001-02 with SW Elevators LLC. FF
Previous Action (For City Clerk Use Only)