Title
Hermosillo, Mexico Trade Development Services Contract Award (RFP-CED22-HTDS)
Description
Request to authorize the City Manager, or his designee, to contract with Discover Phoenix and Arizona, LLC to provide trade development consulting services in and around Hermosillo, Mexico. The aggregate amount for the first two years of this contract will not exceed $280,000. Further request to authorize the City Controller to disburse all funds related to this item. Funding is available in Community and Economic Development Department's General Fund budget.
THIS ITEM IS FOR DISCUSSION AND POSSIBLE ACTION
Report
Summary
In May 2022, City Council authorized staff to issue a Request for Proposals (RFP) for Hermosillo, Mexico Trade Development Services to facilitate activity between Hermosillo and Phoenix. The City's former trade office in Hermosillo, Mexico closed in July 2019 with the expiration of the previous trade development consulting services contract. A one-year contract for was approved last year and expires on November 26, 2022. This contract award will allow trade development services to continue beyond the expiration.
If approved, Discover Phoenix and Arizona, LLC will:
- Operate the City's trade development services office in Hermosillo, Mexico.
- Assist Phoenix companies with supply chain sourcing opportunities in Mexico.
- Develop and enhance business to business connections between Mexico-based companies and Phoenix-based companies.
- Foster Phoenix business expansion connections for Mexico-based companies seeking growth opportunities in the U.S.
- Identify perspective Phoenix investments for Mexico-based investors seeking both development investment opportunities and business ventures in the U.S.
Procurement Information
RFP-CED22-HTDS, Hermosillo Trade Development Services, was issued on June 13, 2022 and conducted in accordance with Administrative Regulation 3.10. The City received one responsive proposal. Staff recommends moving forward with Discover Phoenix and Arizona, LLC, the sole responsive proposer, as the recommended proposer for this business opportunity.
Contract Term
If approved, the term of the contract will be one year with four one-year renewal options to be exercised at the City's discretion. Staff will return to Council for approval of additional funding before subsequent option years three, four, and five are exercised.
Financial Impact
The aggregate amount for the first two years of this contract will not exceed $280,000. Funding is available in Department's General Fund budget.
Concurrence/Previous Council Action
On May 25, 2022, City Council authorized staff to issue a RFP for Hermosillo, Mexico Trade Development Services to facilitate economic activity between Mexico and Phoenix.
Department
Responsible Department
This item is submitted by Deputy City Manager Ginger Spencer and the Community and Economic Development Department.