2-Pilot Travel SRM Method of Approach.pdf

ADOT

Solicitation Number: BPM004763

Saratoga Proposal

Saratoga Rack Marketing LLC 5508 Lonas Dr. Knoxville, TN 37909 865.474.2562

Proprietary & Confidential

Method of Approach

For this project, Saratoga proposes to supply and deliver to the Arizona Department of Transportation (ADOT), and its cooperative agencies the highest quality, ASTM D4814-01A gasoline fuel, ASTM D975-02 Ultra Low Sulfur Diesel fuel, Dyed Ultra Low Sulfur Diesel fuel and winterized products as needed, delivering as required by the bid solicitation. These products will be delivered via company owned vehicles (Pro Petroleum, Pilot) primarily and supplied from Pilot owned terminal facilities and product sources. There may be redundant carrier partners included to maximize delivery efficiency. The Phoenix and Tucson, AZ terminal facilities will be primarily utilized, supported by the Las Vegas facility. Surrounding terminals throughout the Southwest may also be utilized if needed. Saratoga can provide and maintain electronic tank monitors to manage fuel inventories to automatically dispatch and deliver products as required or requested for operational success. Otherwise, the existing order processes in place will continue unless modified by the State or agency.

Significant experience and assets as well as operational controls are leveraged in order to continue providing these products to the State of Arizona and its cooperative agencies, one of our most valued and key customers in the Southwestern U.S. marketing area. Experience related to maximizing value through logistical expertise, identifying areas to save and make efficient are all part of the Saratoga offer to the State.

In consideration that Pro Petroleum, an entity of Pilot Travel Centers, LLC, just as Saratoga, currently supplies a significant portion of the existing contract. As a long term and incumbent provider to the State, a renewal or new award of those locations will be easily transferred as the data and the operational knowledge are already in place. A unique factor in the supply and delivery of products to the State of Arizona is that Pro Petroleum/Saratoga control all aspects of the fuel delivered from the refinery all the way through the delivery and invoicing of the product.

Those steps of control would include control from the production at the refinery to the pipeline and to the terminal. In most cases owning the assets required to move each of those gallons to our end user customers. This provides the necessary safety net and security of supply required by the State.

Pricing will be accomplished via the published Oil Price Information Service (OPIS) Phoenix OPIS Daily AM Average (Rack Rate), plus a fixed increment that will include vendor markups.

These items will be separate line items as required by 6.1.1 and 6.1.2

Currently Saratoga uses the winter Afton additive in diesel and will transition to the MCC winter additive in the future. Please note the spec sheets for Afton and MCC are attached at the end of this section.

7. Contractor’s Responsibilities

Saratoga Rack Marketing will comply with all items in 7.0-7.8

Evaluation Process

4.1. Clarifications: In accordance with A.A.C. R2-7-C313, upon receipt and opening of offers submitted in response to this solicitation, ADOT may request oral or written clarifications, including demonstrations or questions and answers, for the sole purpose of information gathering or eliminating minor informalities or correcting nonjudgmental mistakes in offers.

Clarifications shall not otherwise afford the Offerors the opportunity to alter or make a material change in its proposal.

Agreed.

4.2. Responsibility, Responsiveness and Susceptibility: In accordance with A.R.S. 41-2534(G), and A.A.C. R2-7-C311, A.A.C. R2-7-C312 and R2-7-C316, the State shall consider at a minimum, the following criteria in determining Offerors' responsibility as well as the proposal’s responsiveness and susceptibility for Contract award.

Agreed.

4.2.1. Whether the Offeror has had a contract within the last five (5) years that was terminated for cause due to breach or similar failure to comply with the terms of the contract

Neither Saratoga nor Pro has had a terminated contract for cause within the last five years.

4.2.2. Whether the Offeror’s record of performance includes factual evidence of failure to satisfy the terms of the Offeror’s agreements with any party to a contract. Factual evidence may consist of documented vendor performance reports, customer complaints and/or negative references;

No factual evidence of failure is available that we are aware of.

4.2.3. Whether the Offeror is legally qualified to contract with the State and the Offeror’s financial, business, personnel, or other resources, including subcontractors;

Saratoga is legally qualified to contract with the State and any additional financial, business, personnel or other resources, including subcontracts will be provided to the State as required as part of its consideration of our offer.

4.2.3.1. Legally qualified includes if the vendor or if key personnel have been debarred, suspended or otherwise lawfully prohibited from participating in any public procurement activity, including but not limited to, being disapproved as a subcontractor of any public procurement unit or other governmental body;

Neither Saratoga or its key personnel have been debarred, suspended or otherwise prohibited from participating in any public procurement activity.

4.2.4. Whether the Offeror promptly supplied all requested information concerning its responsibility;

Please find enclosed in our submission related documents and information as requested. If any more is required, please request and it will be promptly returned.

4.2.5. Whether the Offer was sufficient to permit evaluation by the State, in accordance with the evaluation criteria identified in the solicitation or other necessary offer components. Necessary offer components include: attachments, documents or forms to be submitted with the offer, an indication of the intent to be bound, reasonable or acceptable approach to perform the Scope of Work, acknowledged Solicitation Amendments, references to include experience verification, Specific Requirements:

17. Administrative Fee. 18. Administrative Fee Reporting

Saratoga will comply as it does now through its existing contract through Pro Petroleum. All gallons will be reported and the administrative fee will be paid on for cooperative members purchases.

Should Saratoga Rack Marketing LLC be awarded this contract or a portion thereof, we will follow our New Customer Setup Procedure in order to ensure a smooth transition to a new contract or replacing an existing vendor. All Saratoga clients are assigned a direct customer success specialist (CSS) who will be the main point of contact, that has direct phone line and email, to handle account inquiries. This individual works directly with the Saratoga client account marketer, billing department and wholesale order fulfilment center to make sure our clients are very satisfied with our fuel supply services throughout contract duration.

ADOT and its COOP members will all share one CSS under the same contract for streamlined contract and service management. Additionally, our central and regional dispatch officer, open 24 hours a day, seven days a week, 365 days a year including holidays, employ the latest communication and tracking technology to exceed our ADOT’s fueling needs.

Procurement Adequacy of financial/business/personal or other resources to include a performance bond and stability including subcontractors and any other data specifically requested in the Solicitation;

4.2.6. Whether the Offer was in conformance with the requirements contained in the Scope of Work, Terms and Conditions, and Instructions for the Solicitation including its Amendments and all documents incorporated by reference;

4.2.7. Whether the Offer limits the rights of the State;

4.2.8. Whether the Offer includes or is subject to unreasonable conditions, to include conditions upon the State necessary for successful Contract performance. The State shall be the sole determiner as to the reasonableness of a condition;

4.2.9. Whether the Offer materially changes the contents set forth in the Solicitation, which includes the Scope of Work, Terms and Conditions, or Instructions; and,

4.2.10. Whether the Offeror provides misleading or inaccurate information.

For any new locations that may be awarded to Saratoga, an efficient set up and delivery process will occur, consistent with the existing processes in place or flexible enough to support Arizona’s needs.