Title
AUTHORIZATION TO ENTER INTO A CONTRACT WITH SPAAN TECH, INC. FOR CELLULAR AND INTERNET BROADBAND TELECOMMUNICATION INFRASTRUCTURE MANAGEMENT
SPECIFICATION NO. P-25001
BODY
To the Honorable Board of Commissioners of the Chicago Park District
I. Recommendation
It is recommended that the General Superintendent and CEO or his designee enter into a contract with SPAAN Tech, Inc. for the purpose of managing cellular internet broadband telecommunication infrastructure. The contractor was selected pursuant to a publicly advertised Request for Proposals (“RFP”). No work may commence and no payment shall be made to vendor prior to the execution of a written agreement.
II. Award Information
Company: SPAAN Tech, Inc.
311 South Wacker Drive, Suite 3200
Chicago, IL 60606
Company Type: Business Corporation
Majority Interest: Smita Shah 100%
Contract Type: Term Agreement
Contract Term: 5 years with one additional 2-year extension option
Contract Amount: Management Fee: Not to Exceed $2,847,331
Extension Option: Not to Exceed $1,258,767
A revenue share is to be paid in addition to the Management Fee.
Compliance Goals: The Minority- and Women-Owned Business Enterprise (MBE/WBE) participation for this contract exceeds the goals of 25% MBE participation and 5% WBE participation. The proposal for this authorization includes 95% MBE participation and 5% WBE participation. Additionally, this vendor is a certified Minority-owned and Women-owned enterprise.
Authorization: Authorize the General Counsel to include other relevant terms and conditions in the written Agreement. Authorize the General Superintendent to execute the Agreement and the related extension options and the Secretary to attest as to the signing of the Agreement and keep an original copy of the Agreement on file.
III. Budget and Financial Information
Budget Classification: Operating
Fiscal Years: 2025-2030
Source of Funds: 001.9310. 9310.623130.00001.01.01.00001
IV. Procurement Information
Specification Number: P-25001
Date Issued: May12, 2025
Date of Pre-Submittal Meeting: May 22, 2025
Date Proposals Due: June 12, 2025
Number of Proposals Received: One (1)
This contract was publicly advertised as a Request for Proposals (“RFP”) on May 12, 2025. A total of one (1) proposal was received by the due date and the proposal was found by the Department of Purchasing (“Purchasing”) to be responsive. The Evaluation Committee (“EC”) was comprised of seven (7) total members, six (6) Chicago Park District staff voting members and one (1) Purchasing Department non-voting member. The EC began their evaluation of the proposal at their first meeting on June 27, 2025, where the non-financial proposal was distributed. They met again on July 2, 2025, where the non-financial portion of the proposal was discussed and the financial proposal was distributed. It was decided at the conclusion of this meeting to invite the respondent to provide an oral presentation. The oral presentation was held on July 23, 2025 and the session lasted approximately one and a half (1.5) hours. The EC met once following the oral presentation, and at the end of their meeting they decided to send a request for a Best and Final Offer to the respondent. Purchasing received the Best and Final Offer on August 6th, and the EC concluded their evaluation by submitting scores to Purchasing in favor of selecting SPAAN Tech, Inc.
V. Explanation
The Chicago Park District (“CPkD”) requires the services of a firm to manage its Cellular and Internet Broadband Telecommunication Infrastructure and serve as the principal contact for carriers and installers of such services. SPAAN Tech, Inc. will also be responsible for all aspects of the program, including temporary equipment installations. Services they will provide include, but are not limited to, (1) application process services, (2) licensing services, (3) marketing and website services, (4) design and construction services and (5) site monitoring.
The Park District’s Cellular and Internet Broadband Telecommunication Infrastructure Program generates revenue through the permitting of space on park property to cellular carriers to install telecommunications equipment which improves data service for cellular consumers and internet users. The Park District currently has approximately 80 installations located throughout the District, most of which are small antenna “nodes” on existing infrastructure such as exterior light poles. In addition, there are approximately 10 temporary installations annually which support large scale special events. Collectively, these are anticipated to bring in $6.08M over the 5 years of the agreement plus $2.29M during the 2-year extension option.
SPAAN Tech, Inc. has successfully managed CPkD’s Program for the past five years. They created CPkD’s online application and licensing process. The application review they perform is extensive and includes, among other things, analysis of architectural drawings, site surveys, site maps, renderings and construction methods; visits to sites; evaluation of condition of poles, foundations or other infrastructure, proposed equipment placement and routing of underground conduit. Upon review of applications, SPAAN Tech will make recommendations to the Park District for it’s approval, request for changes or disapproval. Lastly, they will continue to conduct regular inspections and keep records. By maintaining a dedicated team with a skill set and experience in the telecommunications infrastructure industry, the Park District anticipates optimizing revenue and continuing to provide cellular carriers with an efficient and professional experience. SPAAN Tech, Inc. has 27 years of experience in program and construction management and is also an engineering design firm specializing in public and private infrastructure. They also manage the Chicago Department of Transportation’s cellular infrastructure program. SPAAN Tech Inc. has the experience, capability, and personnel necessary to deliver the services required in this contract, and it is therefore in the best interest of the Chicago Park District to award SPAAN Tech the contract for management of cellular and broadband telecommunications infrastructure.
VI. General Conditions
1) Conflicts: The Agreement shall not be legally binding on the Chicago Park District if entered into in violation of the provisions of 50 ILCS 105, the Public Officer Prohibited Activities Act.
2) Ethics: The Agreement shall contain a provision requiring compliance with Chapter III of the Code of the Chicago Park District (“Governmental Ethics”).
3) Contingent Liability: Any agreement lawfully entered into for a period of more than one year shall be executory only for the amounts for which the Park District may become liable in succeeding fiscal years pursuant to Section 17(i) of the Chicago Park District Act, 70 ILCS 1505/17(i). All agreements authorized herein shall contain a clause that any expenditure beyond the current fiscal year is subject to appropriation in the subsequent fiscal year budget.
4) Economic Disclosure Statement (“EDS”): Contractor has submitted a full and complete EDS.