09 - Cost Proposal.docx

Request for Proposals for

[PORTFOLIO NAME]

Issued by the State of [Lead State] Solicitation Number: [#######]

Request for Proposals for Equipment Rental Services – Standard and Emergency Issued by the Commonwealth of Kentucky Solicitation Number RFP-758-2500000303 Attachment 09

COST PROPOSAL

Offeror must complete all required elements of this Cost Proposal. The format and structure of the Cost Proposal is intended to allow for a fair evaluation of like costs among Offerors. Deviation from the format or structure of this Cost Proposal may result in Offeror’s proposal being deemed non-responsive.

Offeror is wholly responsible for ensuring figures and calculations submitted in Offeror’s completed Cost Proposal are accurate, even if formulas have been provided by the Lead State as a courtesy.

An inclusion of cost or pricing information in any document other than this Cost Proposal may result in Offeror’s proposal being deemed non-responsive.

Offerors must complete and submit Attachment 09.1, Cost Proposal Workbook. Cost workbooks must be submitted as an Excel file.

Proposed Costs A. Offeror’s Cost must be inclusive of all fees and charges (except where allowed by contract), including but not limited to fees or charges for shipping, delivery, credit card payments, and personnel.

B. All costs proposed by Offeror must also be inclusive of the NASPO ValuePoint administrative fee. Proposed costs incorporated into a Master Agreement resulting from this RFP represent not-to-exceed pricing. Except as permitted below, pricing offered to Participating Entities and Purchasing Entities must be no higher than pricing set forth in the Master Agreement.

C. A Participating Addendum may also require payment of an additional administrative fee by Contractors to a Participating Entity based on sales to Purchasing Entities within the jurisdiction of the Participating Entity. Unless otherwise negotiated by the Participating Entity, Contractor may adjust the Master Agreement pricing incorporated into the Participating Entity’s Participating Addendum by an amount not to exceed the Participating Entity’s fee. Such adjustments will have no effect on the NASPO ValuePoint administrative fee, pricing in the Master Agreement, or pricing offered to Purchasing Entities outside the jurisdiction of the Participating Entity.

D. Cost Proposals may also be subject to an independent review for reasonableness and best value by the Lead State. Costs determined not to be reasonable or best-value by the Lead State, including any cost to which Offeror’s proposed markup or discount is to be applied, may result in all or part of Offeror’s proposal being rejected, notwithstanding the results of the Cost Proposal evaluation.

E. Prices must remain firm for the two years of the contract period. After the first term of the contract, and every renewal period thereafter, the Contractor may request a price adjustment consistent with and relative to price changes originating with the manufacturer and/or the market trends. The new pricing methodology must be sent with the request for adjustment to the Lead State. Requests for such an adjustment must be fully documented and, if approved, shall be firm until the next annual anniversary date of the contract. The State reserves the right to reject any requested price adjustments if deemed excessive.

F. To request a price adjustment, Contractor must submit a request within ten (10) business days of the Lead States Renewal Paperwork (approximately 3 months before expiration). If approved, price adjustments shall become effective upon execution of the Master Agreement Renewal. Retroactive adjustments shall not be allowed. Any purchase orders issued by any Purchasing Entity, prior to the effective date will be honored by Contractor at the price in effect at the time of the issuance of the purchase order.

G. Additional allowable charges must be disclosed upon rental request. Costs must be included as a separate line item. Allowable charges include:

a. the cost of any permits necessitated by product dimension or excess weight. (i.e. transportation pricing).

b. consumables (e.g. saw blades), must be disclosed and quoted before Rental Equipment is picked up or delivered.

H. Offeror shall propose a pricing structure based on the daily, weekly, and monthly rental rate of the rental of the equipment offered.

· The monthly rental rate shall be based on a calendar month.

· The weekly rental rate, per item, shall be based on a 5-day, 8-hour day.

· The daily rental rate shall be based on an 8-hour day.

I. Offeror shall indicate what their maximum allowable hours are for any category of equipment offered, as well as, provisions for recovering depreciation costs for excess hours.

J. In the event a daily rental becomes a weekly rental, or a weekly rental becomes a monthly rental, the rental shall be rated as the extension occurs, i.e. the rental is for 3 days, yet the equipment is kept for a week, at the end of the week, the records are changed to reflect the weekly rental rate, so that the rental rate is always the exact rate of rental. If a rental, by the day or weekly, exceeds the 8-hour per day period, the daily rental rate divided by 8 will get the hourly rental rate to be added.

K. Rental rates shall be pro-rated based on the actual rental commencement date.

L. For equipment picked up at a rental facility, rental starts when equipment leaves the yard and ends when the equipment is returned to the rental facility.

M. For equipment being delivered to a job location, the rental period begins at the time of delivery and ends when the Purchasing Entity provides a date when the Contractor shall pick up the equipment. The Purchasing Entity must provide a minimum of twenty-four (24) hour notification to the Contractor, allowing adequate time for the Contractor to coordinate pick-up. Failure to pick up the equipment, with proper notification, shall not result in an additional charge to the Purchasing Entity, nor holds the Purchasing Entity responsible for any damages that may occur.

N. Rental rates do not accrue during equipment downtime.

O. Terms the Offeror provided as part of the rental terms are:

· Rental rates are not subject to availability

· Rental rates shall remain firm and are not subject to change due to job conditions.

· No additional charges may apply for setup and/or training unless specifically listed in Attachment 09.1 Cost Workbook.

Page 2 of 9 – Attachment [X], RFP TERMS AND CONDITIONS

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