11To:
Via:
From:
Date:
South Miami
The Honorable Mayor & Members of the City Commission
Hector Mirabile, PhD, City Manager���
Alfredo Riverol, CPA, CrFA, Chief iF`nan /cial Officer
December 9`h, 2010
Agenda Item No.:
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager to execute an agreement
Subject: with the firm of XpoTek, Inc. (XpoTek) to perform a special audit of the
City's telecommunications billing for a contingent retainer fee of forty
percent (40 %) of a twelve (12) month period of cumulative savings
received from recovered overcharges, and providing an effective date.
The City's current computer consultant, International Data Consultants, believes it is in the
best interest of the City to engage the services of XpoTek, Inc. (XpoTek) to perform a special
audit that would assist the City in reviewing and determining monthly telecommunications
service overcharges that may now exist, or have existed in previous billings. XpoTek will
also recommend to the City opportunities to save costs based upon the optimization of
telecommunications services including, but not limited to, elimination of unused, unneeded
Background: circuits and lines; renegotiation of current services for better pricing and provision of more
efficient bandwidth allocation. XpoTek will perform the special audit of the City's
telecommunications billing for a contingent retainer fee of forty percent (40 %) of a twelve
(12) month period of cumulative savings received in the form of refunds or credits from
recovered overcharges. Should no refund or credit be recovered and no reduction in the
monthly charges for these utility services be experienced, no fees shall be owed to XpoTek by
the City.
Account Number 001- 1320 -513 -4120 (with a current balance of $45,717.67)
Expenditure
Amount At this time $0.00.
Backup
Documentation: Company Background and Proposed Agreement.
Page 1 of 2
Riverol, Alfredo
From:
AslanF @aol.com
Sent:
Thursday, December 09, 2010 9:40 PM
To:
Velez, Pablo R; Feingold, Laurence
Cc:
Riverol, Alfredo; Hector Mirabile
Subi•munications Billing Audit Item
Pablo I approv� You have correctly identified the item to be approved. Perhaps the Manager
dev�as to whether or not he wants further more detailed description on each item.
In the interim your describing what I am approving on the cover of this email should be a process
followed by all dept. heads.
Larry
Laurence Feingold P.A.
City Attorney of South Miami.
City Hall (305) 663 -6340
Beach Office: (305) 538 -1686
Cell: (305) 495 -7887
Fax: (305) 538 -7875
Web: laurencefeingold.com
In a message dated 12/9/2010 6:08:49 P.M. Eastern Standard Time,
PVelez @southmiamifl.gov writes:
Mr. Feingold,
Attached for your review and approval, please find the agenda sheet, memo, resolution,
company background and proposed agreement for the above referenced matter. The intent is
to have this included as a Consent Item on the Agenda for next week's Commission Meeting.
Should you have any questions, please contact me. As always, thank you.
Pablo R. Velez, Esq.
Purchasing Manager
City of South Miami
6130 Sunset Drive
South Miami, Florida 33143 -5093
Office: (305) 663 -6339
12/10/2010
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RESOLUTION NO.
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager to execute an
agreement with the firm of XpoTek, Inc. (XpoTek) to perform a
special audit of the City's telecommunications billing for a contingent
retainer fee of forty percent (40 %) of a twelve (12) month period of
cumulative savings received from recovered overcharges, and
providing an effective date.
WHEREAS, the City's current computer consultant, International Data Consultants,
believes it is in the best interest of the City to engage the services of XpoTek, Inc. (XpoTek) to
perform a special audit that would assist the City in reviewing and determining monthly
telecommunications service overcharges that may now exist, or have existed in previous billings.
WHEREAS, XpoTek will recommend to the City opportunities to save costs based upon
the optimization of telecommunications services including, but not limited to, elimination of
unused, unneeded circuits and lines; renegotiation of current services for better pricing and
provision of more efficient bandwidth allocation.
WHEREAS, XpoTek will perform the special audit of the City's telecommunications
billing for a contingent retainer fee of forty percent (40 %) of a twelve (12) month period of
cumulative savings received in the form of refunds or credits from recovered overcharges.
Should no refund or credit be recovered and no reduction in the monthly charges for these utility
services be experienced, no fees shall be owed to XpoTek by the City.
NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA;
Section 1. That the City Commission hereby authorizes the City Manager to
execute an agreement with the firm of XpoTek, Inc. to perform a special audit of the City's
telecommunications billing for a contingent retainer fee of forty percent (40 %) of a twelve month
period of cumulative savings received from recovered overcharges.
Section 2. This resolution shall take effect immediately upon adoption.
PASSED AND ADOPTED this _ day of 2010.
ATTEST:
CITY CLERK
READ AND APPROVED AS TO FORM
AND SUFFICIENCY:
CITY ATTORNEY
APPROVED:
MAYOR
COMMISSION VOTE:
Mayor Stoddard:
Vice Mayor Newman:
Commissioner Palmer:
Commissioner Beasley:
Commissioner Harris:
a Contracts Analysis
e Contract Negotiations
e Discrepancy Resolutions
® Bandwidth Analysis
® Competitive Bids
a RFPs
After decades of working with the best -in -class and largest carriers in the
US, and managing from mid -size businesses to Fortune 500 companies, our
managing team of professionals at XpoTek recognizes the challenges that
our customers face every day, our management team has over 150 years of
combined experience in the telecommunications industry, we are confident
that we have the tools and experience to help our customers succeed; and
this is why we say that at XpoTek your success defines ours.
Telecorn Bill Analysis & Consulting Services
We forensically review for
discrepancies between Monthly
Recurring Charges (MRC) billed
and the MRC dictated by the
existing contracts. Where
discrepancies are found XpoTek
will negotiate with the carrier on
the customer's behalf for a
correction of the bill and credits.
LEGACY SERVICES
As an important facet of our
analysis, we identify services being
billed and not in use. This can have
a major impact on your monthly
billing. When such services are
suspected, we work closely with
the carrierto perform non -
intrusive specialized testing, to
determine if services are in use.
XpoTek will negotiate with the
carrier on the customer's behalf
for a correction of the bill and
credits where. applicable.
CONTRACT NEGOTIATIONS
Negotiate with the carrier for
highest possible discounts for
contracts that are about to expire
or service that is not under
contract.
Provide information on what other
carrier offerings are available that
would present better
technological solutions and more
financially cost effective pricing
and optimization. Compare other
carriers MRC for similar services to
provide the customer with more
leverage in negotiating higher
discounts.
Network Analysis
Perform comprehensive
bandwidth utilization analysis and
prepare detailed usage reports for
the entire customer network
when necessary. This will allow
you to engineer your bandwidth
requirement to satisfy your true
business needs and achieve
maximum cost savings.
Professional Services
XpoTek is available to provide you
with a comprehensive review of
any and all components of your
network and telecom
infrastructure.
We can review all your equipment
maintenance contracts and pricing
plans and assist you in effecting
beneficial and financially cost
effective changes..
We can assist you in the issuance
of a request for proposal, in
reviewing bids and in the rate
negotiation process.
XpoTek is available on either a
temporary or permanent basis to
handle specific aspects of your
telecom needs. Whether it is
project management, moves adds
and changes, or any project
related activity; we can manage it
all for you. We are available to
manage your ongoing telecom
expense on a monthly, quarterly
or annual basis.
• Experience
• Professional
• Customer Focus
• Flexible
• Responsive
• Thorough
www.XpeTek.com
Xp Tek
13615 S. Dixie Hwy. #308
Mlaml, Florida 33176
Client: City of South Miami
Address: 6130 Sunset Drive
South Miami FL 33143
1. The undersigned, hereinafter called CLIENT, have entered an
agreement in writing this date with XpoTek, Inc. (XpoTek) to serve as
carrier bill audit consultant for the undersigned, concerning
telecommunications billing.
2. AUDIT PROCESS
XpoTek agrees to examine Client's utility (carrier) accounts, to
determine monthly telecommunications service OVERCHARGES that
may now exist, or have existed on previous billings. XpoTek will
prepare documentation that it, in its sole discretion, deems necessary
to negotiate with the proper Telephone Communication Company(s) to
have OVERCHARGES removed and to obtain REFUNDS and /or
CREDITS for PAST OVERCHARGES. In addition, XpoTek can
recommend opportunities for CLIENT to save costs based upon the
optimization of telecommunications services. Upon acceptance of an
opportunity to save costs due to XpoTek's recommendation and client
will cooperate with XpoTek as necessary in order to complete the
needed process.
3. RECOVERY OF PAST OVERCHARGES
CLIENT agrees to pay XpoTek forty percent (40 %) of ALL
RECOVERED OVERCHARGES received in the form of REFUNDS or
CREDITS. Payment shall be due and payable within 30 days of
receipt of refund credit or check. Where there is NO refund or credit,
and there is NO reduction in the monthly charges for utility services
due to XpoTek's efforts, there is NO FEE. XpoTek's compensation is
contingent upon its ability to secure a refund and /or credit for the client.
4. FUTURE BILLING REDUCTIONS
In the event XpoTek successfully obtains a REDUCTION in the
CLIENT'S BILLINGS, whether by correction of billing errors, rate and
tariff changes, contract changes, or any combination thereof, any of
which result in FUTURE SAVINGS, CLIENT agrees to pay XpoTek
forty percent (40 %) of the CUMULATIVE SAVINGS FOR a TWELVE
(12) month period beginning the date the savings appear on the
CLIENT'S bill. if the service that the savings are realized upon is
terminated by CLIENT, then the payments to XpoTek are waived from
the point of cancellation forward. Written confirmation must be
provided.
The CLIENT is under no obligation to consent to the courses of action
recommended by XpoTek under this section (4). However, in the
event that XpoTek's recommended changes are implemented by either
the CLIENT, or XpoTek (with the CLIENT'S prior approval,) XpoTek is
entitled to compensation at the rate of forty percent (40 %) of the
monthly reduction(s) over the same period as above, beginning with
the first month the reduction becomes effective and realized. If
CLIENT declines to carry out cost savings recommendations proposed
by XpoTek, then CLIENT must notify XpoTek in writing of its intent to
decline said recommendation. However, in any event, the client is
responsible for the payment to XpoTek of the compensation described
in this paragraph should it implement the recommendation of XpoTek
within two (2) years of the date of when the written notice was
presented by XpoTek to client.
Contact Name:
Title:
Telephone:
(B). Recovery of funds or credits from the utilities have been received
by the CLIENT and settled with XpoTek in accordance to the above
agreement.
(C). XpoTek has provided client with written notice that NO recoveries
or credits will be made or forthcoming.
6. Client acknowledges that XpoTek will be auditing
telecommunications invoices, bills and records for the purpose of
identifying erroneous charges and cost saving opportunities. There
are no exclusions to the audit as described in this agreement other
than those listed below in this section.
('" Items, if any, not to be included as part of the audit.)
7. Client shall give cooperation to XpoTek in completing any forms
necessary in implementing the recommendations agreed to by client,
documentation necessary for credit requests, and copies of
appropriate documents, in a timely manner. Client shall direct agents
and representatives of the telecommunications companies to
cooperate with XpoTek based upon the legitimate provisions of the
"Letter of Agency (Authority)" agreed upon with XpoTek
8. This agreement shall be governed by and construed by the laws
of the State of Florida, with exclusive venue being Broward County,
Florida. Client agrees to pay XpoTek reasonable attorney's fees in the
event that amounts due under this agreement are collected by or
through attorneys. All payments are due within 30 days from the date
billed. All payments thereafter are subject to a late charge in the
amount of 1.6% interest per month, for each month that the invoice is
past due.
9. CONFIDENTIALITY
We agree not to announce or disclose to any third party confidential
information furnished in written, pictorial, or other tangible form, to
XpoTek Information will not be duplicated. Confidential information
will be used only for the purposes as noted by this agreement.
Accepted this day of , 2010,
BY: City of South Miami (client)
Signature
S. TERM BY: XpoTek, Inc.
This agreement shall remain in effect through the completion of the
following:
(A). All documented and presented audit issues to CLIENT provided by
XpoTek has been resolved. Signature Title
Confidential Bill Audit Agreement 12/09/2010