2022-53 Addendum 1.pdf

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Attached to
Transit Tire Lease
Solicitation number
IFB 2022-53
Issued by
Wisconsin

About this file

This is Addendum 1 to RFB 2022-53, issued by the City of Green Bay and Green Bay Metro Transit, clarifying specifications and vendor questions for a five-year tire leasing agreement for the transit agency's passenger bus fleet. The RFB due date is November 8, 2022, by 2:00 PM Central Time. The contract covers three tire sizes: 305/85R22.5 (Load Rating J), 305/70R22.5 (Load Rating H), and 275/70R22.5 (Load Rating J), with the 275/70R22.5 being a new size for 2022 Gillig buses. The addendum clarifies that 315/80R22.5 tires are acceptable as replacements for 305/85R22.5, though vendors must absorb costs for reprogramming and hubometer changes. Annual estimated mileage across all three tire sizes is 796,893 miles. The addendum addresses 23 vendor questions and clarifications, including tire specifications, bid form requirements, testing and warranty provisions, insurance requirements, contract terms, and payment methodology.

Pricing must be submitted on the revised Form D as all-inclusive, not-to-exceed, fixed fees covering all direct and indirect expenses, with separate pricing structures for price-per-tire-mile and price-per-1/32" replacement for each tire size across the five contract years (2023-2027). The addendum confirms that unique pricing terms are acceptable for the 275/70R22.5 tire size due to its newness to the fleet. Key contract modifications accepted include quarterly reporting instead of monthly, removal of certain insurance coverage requirements, acceptance of blanket endorsements for additional insured status with specific conditions, and modification of limitation of liability language. The City of Green Bay rejected several vendor requests, including modifications to cancellation/termination language regarding unused mileage and changes to the indemnification section. Vendors must acknowledge receipt of all addenda in their bid documents to avoid proposal rejection.

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2022-53 Addendum 1i:\deptdata\finance\purchase\contracts\transit tire lease\tire 2023-2027\2022-53 addendum 1.docx

Addendum #: 1

RFP #: 2022-53 TIRE LEASING CONTRACT

RFB DUE DATE: 11/8/2022 by 2PM CT

The purpose of this Addendum is to clarify questions received from Vendors and notify Vendors of changes made to the specifications on this bid. Vendors must acknowledge receipt of any and all Addenda in the space provided in the bid documents. Failure to do so may result in rejection of the proposal. All requirements of the proposal documents remain unchanged except as cited herein.

Information contained in this Addendum will be included in any subsequent contractual agreement between the City and the successful bidder(s).

Enter questions & answers, clarifications, or modifications below.

CLARIFICATION #1: Please see attached Form D: REVISED Bid Offer Form. Submit this REVISED

Form with your bid.

QUESTION #1: General Requirements – Section 6 . (Page 11): Please review attached

315/80R22.5 Firestone City Transport (CT) specifications and support documentation to consider as approved equal to for the 305/85R22.5 tire size. Our tire meets the Tire & Rim

Association standards; OE vehicle manufacturer’s requirements; operating conditions for the application -- as demonstrated by continued use at other properties across the country….ie(CENTRAL NEW YORK, NORWALK CT, and RIPTA (Rhode Island).

Answer: 315/80R22.5 Is an acceptable replacement for 305/85R22.5. Supplier would be responsible for any costs associated with reprograming and hubometer changes to ensure accurate mileage tracking. If bidding an alternate size please clearly mark what size you are bidding.

QUESTION #2: Bid Form – Form D . (Page 20): Please confirm the sizes we are required to supply. The Bid form only lists tire sizes 305/70R22.5 and 315/80R22.5, but the general requirements list 305/70R22.5, 305/85R22.5, and 275/70R22.5.

Answer: 305/70R22.5, 305/85R22.5, and 275/70R22.5. See attached Form D REVISED Bid Offer Form.

QUESTION #3: Tire Testing- No. 12, Page 12: Please add the following as a new subsection

(c): “Contractor shall not be responsible for any warranties or services related to any such tires from companies other than Contractor.”

Answer: Green Bay Metro is fine with this addition.

QUESTION #4: Contract Services and Maintenance - No. 14 (D), Page 13: Please confirm

Green Bay Metro understands that scrap tires are provided as-is with no warranties as to the condition or fitness of such tires for continued use, and Green Bay Metro assumes all liability for use and possession of scrap tires furnished by tire supplier.

Answer: Green Bay Metro confirms understanding.

2022-53 Addendum 1i:\deptdata\finance\purchase\contracts\transit tire lease\tire 2023-2027\2022-53 addendum 1.docx

QUESTION #5: Contract Services and Maintenance - No. 14 (I), Page 13: Please replace

“month” with “quarter”.

Answer: Quarterly is acceptable.

QUESTION #6: General Liability Coverage - No. 1(A), Section 2.3, Page 15: Please remove the limits for “products-completed operations aggregate as it is included in our General

Aggregate.

Answer: Acceptable.

QUESTION #7: Additional Provisions - No. 4, Section 2.3, Page 15: Please confirm we can accommodate Additional Provisions by way of blanket endorsement.

Answer: Yes, this is acceptable as long as the blanket endorsement clearly indicates that the city is an additionally insured party with respect to operations performed within the scope of the agreement, and that city liability policies or workers compensation will not be subrogated against unless the city is found to be negligent.

QUESTION #8: Waiver of Workers Compensation Subrogation - No. 4, Section 2.3, Page 15:

Please modify the first sentence to read; “The workers’ compensation by way of blanket endorsement policy is to be endorsed with a waiver of subrogation.”

Answer: Acceptable.

QUESTION #9: Cancellation/Termination- Page 22; No. 23(a), Page 32: Please add the following language after the first sentence: “In the event of the unavailability of funding, the

City of Green Bay, upon termination, will pay for all unused mileage in the relevant tires and take title to such tires “as is”.

Answer: Not willing to accept above changes.

QUESTION #10: Indemnification- Page 24; No. 24, Page 32-33: Please delete this section in its entirety and replace with the following: “Contractor shall indemnify, keep and save harmless the City of Green Bay, its directors, members, agents, officers, and employees for losses, liability, damages, costs, and expenses (including reasonable costs of litigation and reasonable attorneys' fees) (collectively, the "Losses") arising from third-party claims for bodily injury, death, or tangible property damage, to the extent that such Losses are caused by the negligence or willful misconduct of Contractor in the performance of this Contract by

Contractor; provided, that provided that the City of Green Bay shall give Contractor prompt written notice of any such third-party claim or lawsuit for which indemnification is sought hereunder, cooperate in the defense thereof, and grant Contractor the right to defend, settle, or alternatively dispose of such claim or lawsuit, including, without limitation, the right to select legal counsel.

The City of Green Bay shall indemnify, keep and save harmless Contractor, its directors, members, agents, officers, and employees, for all Losses arising from or in connection with third-party claims of injury, death, or tangible property damage, to the extent that such Losses are caused by the negligence or willful misconduct of the

City of Green Bay, its agents or employees.

Answer: Language in RFB stays. There will be no changes to this requirement.

2022-53 Addendum 1i:\deptdata\finance\purchase\contracts\transit tire lease\tire 2023-2027\2022-53 addendum 1.docx

QUESTION #11: Choice of Law and Compliance- Page 24: Please insert “applicable” between

“all” and “federal”.

Answer: Acceptable

QUESTION #12: Reservation of the Right to Inspect Work- Page 25: Please replace the first line of this section with the following: “Any access to Contractor’s records and reports pursuant to this section shall be upon reasonable advanced notice, during normal business hours and at the sole cost and expense of the accessing party.”

Answer: Cannot agree to wording as requested. Would like the wording to remain as it is in the RFB.

QUESTION #13: Ownership of Contract Product- Page 26; No. 29, Page 34: Please delete this section in its entirety. No data of this kind of work product of this nature will be exchanged in the performance of this contract.

QUESTION #14: Assignability/Subcontracting- Page 26; No. 6, Page 28: Please delete and replace this first sentence of this section with the following: “Neither party shall delegate any duties or obligations under this contract, nor assign, transfer, convey, sublet, subcontract or otherwise dispose of the contract or its right, duty, title or interest in or to the same, or any part thereof, without previous written consent of the other party.”

Answer: This is acceptable.

QUESTION #15: Extra Services- No. 10, Page 29: Please delete the last sentence from this section.

Answer: This is a SAMPLE contract. Final wording can be reviewed and negotiated between Green Bay

Metro and awarded vendor.

QUESTION #16: Audit and Retaining of Documents- No. 18, Page 31: Please strike all references to “financial” in this section. Bridgestone Americas Tire Operations, LLC (“BATO”) is a privately held, indirect, wholly owned subsidiary of Bridgestone Corporation, a Japanese corporation publicly traded in that country. Accordingly, BATO is not authorized to disclose its financial statements, however, publicly available financial information regarding Bridgestone

Corporation and its operations may be reviewed at:

http://www.bridgestone.com/ir/financialdata/index.html

Answer: If the financial reports aren’t needed for a City purpose this is fine.

Question #17: Basis for Payment- No. 22(5), Page 32: Please strike this subsection (#5) in its entirety.

Answer: Green Bay Metro will not strike - Basis for Payment- No. 22(5), Page 32.

QUESTION #18: Limitation of Liability- No. 25, Page 33: Please delete this section in its entirety and replace with the following: “Notwithstanding any other provision of this Contract to the http://www.bridgestone.com/ir/financialdata/index.html

2022-53 Addendum 1i:\deptdata\finance\purchase\contracts\transit tire lease\tire 2023-2027\2022-53 addendum 1.docx contrary, in no event shall either party be liable for any loss of actual or anticipated profits, loss of anticipated business, downtime costs or delay claims (whether direct or indirect), nor for any other special, indirect, incidental, or consequential damages arising out of, relating to, or in any way connected with this Contract or the provision of tires and/or services, whether based in warranty, contract, tort, negligence, strict liability, or otherwise.”

Answer: This change is acceptable.

QUESTION #19: Page 15. 2.3 Insurance Requirements. Endorsements. Please confirm specific contract information may be conveyed on certificate(s) of insurance in lieu of endorsing policies.

REASON: Major corporations contract with thousands of entities and as a matter of practicability do not endorse policies with specific contract information.

Answer: Yes, this is acceptable as long as the COI contains correct verbiage in the Description of

Operations to confirm that the required endorsements are in place and in favor of the city.

QUESTION #20: Page 15. 2.3 Insurance Requirements. 1. General Liability Coverage. Item C. Please remove sub item d. as not applicable to this procurement.

Explosion, collapse and underground coverage

Answer: This is acceptable.

QUESTION #21: Page 15. 2.3 Insurance Requirements. 1. General Liability Coverage. Item C. Sub item. F. Independent Contractors. Please confirm subcontractors (if any) can carry their own insurance, as specified, in lieu of being covered by the Prime Contractor.

Answer: Yes and no. If utilized, subcontractors must carry their own insurance and must provide the City with a COI meeting the insurance requirements prior to entry to any City facilities. The City’s policies do not cover damage caused by subcontractors, and the contractual relationship is between Goodyear and the City. Therefore any damage caused by the negligence of a subcontractor working under the agreement must be covered by Goodyear policies and/or the company, which you may then subrogate as needed against the subcontractor. The requirement that subcontractors must list the City as additionally insured may help mitigate some of this exposure, but ultimately Goodyear will be the party who indemnifies and holds the City harmless for damages associated with the agreement.

QUESTION #22: Page 15. 2.3 Insurance Requirements. 4. Additional Provisions. Additional insured.

Please confirm your understanding that coverages through self-insured retentions cannot establish additional insured status. The major corporations that will participate in this procurement utilize self-insured retentions for CGL coverage.

Answer: If the SIR of these policies exceeds the insurance requirements of this agreement, then a written certification indicating such will be adequate. If the SIR is below the required amount, a COI should be submitted indicating an excess policy in-effect with a note indicating the level of SIR on the policy.

QUESTION #23: Page 20. Form D: Bid Offer Form. As the 275/70R22.5 on the 2022 Gillig buses is a new size to the fleet (listed on page 11 in the Approximate Specifications), please allow unique pricing terms for this size.

End of Addendum

This form must be returned with your response.

Prepare the bid offer form as all inclusive, not-to-exceed, fixed fees:

• All Inclusive – Covers all direct and indirect necessary expenses including but not limited to; travel, telephone, copying and other out-of-pocket expenses.

• Not To Exceed – The actual fees shall not exceed the amount specified in fee proposal.

• Fixed Fee – All prices, rates, fees and conditions outlined in the proposal shall remain fixed and valid for the entire length of the contract and any/all renewals.

Any pricing increases or additions must be agreed upon in writing by both parties responsibility.

Annual Estimated mileage between all three (3) model of tires is 796,893.

TIRE SIZE – LOAD RATING

305/85R22.5 - J

TIRE SIZE – LOAD RATING

305/70R22.5 H

TIRE SIZE – LOAD RATING

B275/70R22.5 - J

YEAR BID PRICE PER TIRE MILE

BID PRICE PER

1/32”

REPLACEMENT

BID PRICE PER TIRE MILE BID PRICE PER 1/32”

REPLACEMENT

BID PRICE PER TIRE BID PRICE PER 1/32”

REPLACEMENT

2023 $ $ $ $ $ $

2024 $ $ $ $ $ $

2025 $ $ $ $ $ $

2026 $ $ $ $ $ $

2027 $ $ $ $ $ $

MFGR’S NAME:

TIRE TYPE:

LOAD RATING:

TREAD DEPTH: (Usable 1/32”) (Usable 1/32”) (Usable 1/32”)

NEW TIRE COST: $ $ $

Form D: REVISED Bid Offer Form

RFB #: 2022-53

File details come from the government source that posted it. Updated .