24-RQ10574-NM-DPI-2024-2028 School Bus Financing-IFB Final 12.3.24.pdf

STATE OF NORTH CAROLINA

NC DEPARTMENT OF PUBLIC INSTRUCTION

Invitation for Bid # : 24-RQ105742-NM

2024-2028 NC DPI School Bus Financing

Date of Issue: December 3, 2024

Bid Opening Date: December 20, 2024 At 10:00 AM ET

Direct all inquiries concerning this IFB to:

Nicole Mathis Procurement Manager

Email: procurement@dpi.nc.gov mailto:procurement@dpi.nc.gov

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STATE OF NORTH CAROLINA

Invitation for Bid #

24-RQ105742-NM

For internal State agency processing, including tabulation of bids, provide your company’s eVP (Electronic Vendor Portal) Number. Pursuant to G.S. 132-1.10(b) this identification number shall not be released to the public. This page will be removed and shredded, or otherwise kept confidential, before the procurement file is made available for public inspection.

This page shall be filled out and returned with your bid.

Failure to do so may subject your bid to rejection.

Vendor Name

Vendor eVP#

Note: For a contract to be awarded to you, your company (you) must be a North Carolina registered vendor in good standing.

You must enter the vendor number assigned through eVP (Electronic Vendor Portal). If you do not have a vendor number, register at https://vendor.ncgov.com/vendor/login https://vendor.ncgov.com/vendor/login

Bid Number: 24-RQ105742-XX Vendor: __________________________________________

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Refer ALL Inquiries regarding this IFB to the procurement lead through the Message Board in the Sourcing Tool (only). See section 2.5 BID Questions

Nicole Mathis Email: procurement@dpi.nc.gov

Invitation for Bid #: 24-RQ105742-NM Bids will be publicly opened: December 20, 2024 at 10:00 AM ET

Using Agency: Department of Public Instruction Commodity No. and Description: 841016 – Aid Financing Requisition No.: RQ105742

EXECUTION

In compliance with this Invitation for Bid (IFB), and subject to all the conditions herein, the undersigned Vendor offers and agrees to furnish and deliver any or all items upon which prices are bid, at the prices set opposite each item within the time specified herein.

By executing this bid, the undersigned Vendor understands that false certification is a Class I felony and certifies that:

this bid is submitted competitively and without collusion (G.S. 143-54), none of its officers, directors, or owners of an unincorporated business entity has been convicted of any violations of

Chapter 78A of the General Statutes, the Securities Act of 1933, or the Securities Exchange Act of 1934 (G.S. 143-59.2), and it is not an ineligible Vendor as set forth in G.S. 143-59.1.

Furthermore, by executing this bid, the undersigned certifies to the best of Vendor’s knowledge and belief, that:

it and its principals are not presently debarred, suspended, proposed for debarment, declared ineligible or voluntarily excluded from covered transactions by any Federal or State department or agency.

As required by G.S. 143-48.5, the undersigned Vendor certifies that it, and each of its sub-Contractors for any Contract awarded as a result of this IFB, complies with the requirements of Article 2 of Chapter 64 of the NC General Statutes, including the requirement for each employer with more than 25 employees in North Carolina to verify the work authorization of its employees through the federal E-Verify system.

As required by Executive Order 24 (2017), the undersigned vendor certifies will comply with all Federal and State requirements concerning fair employment and that it does not and will not discriminate, harass, or retaliate against any employee in connection with performance of any Contract arising from this solicitation.

G.S. 133-32 and Executive Order 24 (2009) prohibit the offer to, or acceptance by, any State Employee associated with the preparing plans, specifications, estimates for public contracts; or awarding or administering public contracts; or inspecting or supervising delivery of the public contract of any gift from anyone with a contract with the State, or from any person seeking to do business with the State. By execution of this response to the IFB, the undersigned certifies, for Vendor’s entire organization and its employees or agents, that Vendor is not aware that any such gift has been offered, accepted, or promised by any employees of your organization.

STATE OF NORTH CAROLINA

Division of Public Instruction mailto:procurement@dpi.nc.gov

Bid Number: 24-RQ105742-NM Vendor: __________________________________________

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By executing this bid, Vendor certifies that it has read and agreed to the INSTRUCTION TO VENDORS and the NORTH CAROLINA GENERAL TERMS AND CONDITIONS incorporated herein. These documents can be accessed from the Ariba Sourcing Tool.

Failure to execute/sign bid prior to submittal may render bid invalid and it SHALL BE REJECTED. Late bids shall not be accepted.

COMPLETE/FORMAL NAME OF VENDOR:

STREET ADDRESS: P.O. BOX: ZIP:

CITY & STATE & ZIP: TELEPHONE NUMBER: TOLL FREE TEL. NO:

PRINCIPAL PLACE OF BUSINESS ADDRESS IF DIFFERENT FROM ABOVE (SEE INSTRUCTIONS TO VENDORS ITEM #21):

PRINT NAME & TITLE OF PERSON SIGNING ON BEHALF OF VENDOR: FAX NUMBER:

VENDOR’S AUTHORIZED SIGNATURE*: DATE: EMAIL:

VALIDITY PERIOD

Offer shall be valid for at least one hundred and eighty (180) days from date of bid opening, unless otherwise stated here: ______ days, or if extended by mutual agreement of the parties in writing. Any withdrawal of this offer shall be made in writing, effective upon receipt by the agency issuing this IFB.

ACCEPTANCE OF BIDS

If your bid is accepted, all provisions of this IFB, along with the written results of any negotiations, shall constitute the written agreement between the parties (“Contract”). The NORTH CAROLINA GENERAL TERMS AND CONDITIONS are incorporated herein and shall apply. Depending upon the Goods or Services being offered, other terms and conditions may apply, as mutually agreed.

FOR DEPARTMENT OF PUBLIC INSTRUCTION USE ONLY

Offer accepted and contract awarded this ___ day of __________________ 20____, as indicated on attached certification, By: ___________________________________ (Authorized representative of Department of Public Instruction), Alexis Schauss, Chief Financial Officer, North Carolina Department of Public Instruction

By: ___________________________________ (Authorized representative of Department of Public Instruction), Catherine Truitt, Superintendent North Carolina Department of Public Instruction

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Contents

1.0 PURPOSE AND BACKGROUND

1.1 CONTRACT TERM

2.0 GENERAL INFORMATION

2.1 INVITATION FOR BID DOCUMENT

2.2 E-PROCUREMENT FEE

2.3 NOTICE TO VENDORS REGARDING IFB TERMS AND CONDITIONS

2.4 IFB SCHEDULE

2.5 BID QUESTIONS

2.6 BID SUBMITTAL

2.7 BID CONTENTS

2.8 DEFINITIONS, ACRONYMS, AND ABBREVIATIONS

3.0 METHOD OF AWARD AND BID EVALUATION PROCESS

3.1 METHOD OF AWARD

3.2 CONFIDENTIALITY AND PROHIBITED COMMUNICATIONS DURING EVALUATION

3.3 BID EVALUATION PROCESS

3.4 PERFORMANCE OUTSIDE THE UNITED STATES

3.5 INTERPRETATION OF TERMS AND PHRASES

4.0 REQUIREMENTS

4.1 PRICING

4.2 FINANCIAL STABILITY

4.3 HUB PARTICIPATION

4.4 VENDOR EXPERIENCE AND REFERENCE

4.5 PERSONNEL

4.6 VENDOR’S REPRESENTATIONS

4.7 ESTIMATED QUANTITY

4.8 HISTORICAL DATA

5.0 SPECIFICATIONS AND SCOPE OF WORK

5.1 SPECIFICATIONS

6.0 CONTRACT ADMINISTRATION

6.1 CONTRACT MANAGER

6.1.1 NC DPI CONTRACT MANAGER

6.2

ACCEPTANCE OF WORK ........................................................................................................................................... 13 6.3

TRANSITION ASSISTANCE

6.4 DISPUTE RESOLUTION

6.5 CONTRACT CHANGES

6.6 FINANCING ADJUSTMENTS

6.7 ATTACHMENTS

ATTACHMENT A: PRICING FORM

ATTACHMENT D: HUB SUPPLEMENTAL VENDOR INFORMATION

ATTACHMENT E: CUSTOMER REFERENCE FORM

ATTACHMENT F: LOCATION OF WORKERS UTILIZED BY VENDOR

ATTACHMENT G: CERTIFICATION OF FINANCIAL CONDITION

EXHIBIT I: MASTER FACILITATOR AGREEMENT

EXHIBIT II: MASTER REPLACEMENT BUS FINANCING AGREEMENT

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1.0 PURPOSE AND BACKGROUND

The NC Department of Public Instruction (NC DPI) is seeking to contract with a Vendor to provide third party financing services for school buses made available to the North Carolina Local Education Agency (LEAs) through fixed rate loans based on North Carolina General Statute 115C-528.

NC DPI anticipates financing the purchase of approximately 500 school buses ranging in capacity from 41 to 72. Some vehicles will be equipped with wheelchair lifts. Most, but not all, vehicles will be equipped with air conditioning. The school buses shall be purchased from the State Term Contract 7811C for (Conventional) School & Activity Buses. Information regarding STCs can be found here: State Term Contracts | NC DOA. The successful Vendor shall comply with the specifications and requirements as stipulated herein. This contract is based on the calendar year. Orders are typically placed in January – March for receipt by November of the same year.

Background

The State of North Carolina provides funds to a vast majority of the school bus transportation program statewide. There are 115 LEAs in the State, transporting over 700,000 students daily for over 180 school days per year. Through an appropriation from the North Carolina General Assembly, the NC DPI allots a block grant to each LEA for operation of the school transportation system.

From this block grant, the LEA pays expenses for drivers, benefits, other personnel, fuel, tires, etc. Of all eligible expenditures for school transportation, the State funds approximately 90%.

Through separate legislative appropriation, NC DPI replaces school buses as needed, based on mileage and age criteria. Note that if an LEA needs to add an additional bus to its fleet, the LEA must purchase the initial bus with local funding. However, after purchase the bus is included in the State’s replacement system for school buses, and the State will provide a replacement bus.

Current replacement criteria are as follows:

• 150,000 Miles and at least 20 years; or

• 250,000 miles and at least 15 years; or

• 300,000 miles

When a bus is replaced, it is removed from the State’s replacement program and the LEA is allowed to retain it as a spare bus.

Typically, an existing spare bus will be removed from the county – either sold or transferred to another county as a spare bus.

The State Term Contract referenced (herein “State Term Contract”) requires that buses be delivered within 270 days of the order.

The bus is then immediately turned over to the LEA and titled in the name of the LEA.

Total financed procurement under this contract will not exceed $125 million for each year of contract purchases.

This contract is funded through state funds.

The intent of this solicitation is to award an Agency Specific Term Contract.

1.1 CONTRACT TERM

The Contract shall have an initial term of one (1) year, beginning on the date of final Contract execution (the “Effective Date”).

The Vendor shall begin work under the Contract within fifteen (15) business days of the Effective Date.

At the end of the Contract’s initial term, the State shall have the option, by mutual agreement with the Vendor, to renew the Contract on the same terms and conditions for up to four (4) additional one-year terms. The State will give the Vendor written notice of its intent to exercise each option no later than sixty (60) days before the end of the Contract’s then-current term. In addition to any optional renewal terms, and with the Vendor’s concurrence, the State reserves the right to extend the Contract after the last active term with prior approval from the state approval authority.

Bids shall be submitted in accordance with the terms and conditions of this IFB and any addenda issued hereto.

2.0 GENERAL INFORMATION

2.1 INVITATION FOR BID DOCUMENT

This IFB is comprised of the base IFB document, any attachments, and any addenda released before Contract award, which are incorporated herein by reference.

https://www.doa.nc.gov/divisions/purchase-contract/statewide-term-contracts

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2.2 E-PROCUREMENT FEE

ATTENTION: This is not an NC eProcurement solicitation facilitated by the Ariba Network. The E-Procurement fee may apply to this solicitation. See the paragraph entitled ELECTRONIC PROCUREMENT of the North Carolina General Terms and Conditions.

General information on the E-Procurement Services can be found at: http://eprocurement.nc.gov/.

What is the Ariba Network?

The Ariba Network is a web-based platform that serves as a connection point for buyers and vendors. Vendors can log in to the Ariba Network to view purchase orders, respond to electronic requests for quotes, participate in Sourcing Events, and collaborate with buyers on contract documents.

For training on how to use the Sourcing Tool to view solicitations, submit questions, develop responses, upload documents, and submit offers to the State, Vendors should go to the following site: http://eprocurement.nc.gov/training/vendor-training.

2.3 NOTICE TO VENDORS REGARDING IFB TERMS AND CONDITIONS

It shall be the Vendor’s responsibility to read the Instructions to Vendors, the North Carolina General Terms and Conditions, all relevant exhibits and attachments, and any other components made a part of this IFB and comply with all requirements and specifications herein. Vendors are also responsible for obtaining and complying with all Addenda and other changes that may be issued in connection with this IFB.

If Vendors have questions or issues regarding any component of this IFB, those must be submitted as questions in accordance with the instructions in the BID QUESTIONS Section. If the State determines that any changes will be made as a result of the questions asked, then such decisions will be communicated in the form of an IFB addendum. The State may also elect to leave open the possibility for later negotiation of specific provisions of the Contract that have been addressed during the question-and-answer period, prior to contract award.

Other than through the process of negotiation under 01 NCAC 05B.0503, the State rejects and will not be required to evaluate or consider any additional or modified terms and conditions submitted with Vendor’s bid or otherwise. This applies to any language appearing in or attached to the document as part of the Vendor’s bid that purports to vary any terms and conditions or Vendors’ instructions herein or to render the bid non-binding or subject to further negotiation. Vendor’s bid shall constitute a firm offer that shall be held open for the period required herein (“Validity Period” above).

The State may exercise its discretion to consider Vendor proposed modifications. By execution and delivery of this IFB Response, the Vendor agrees that any additional or modified terms and conditions, whether submitted purposely or inadvertently, shall have no force or effect, and will be disregarded unless expressly agreed upon during negotiations and incorporated by way of a Best and Final Offer (BAFO). Noncompliance with, or any attempt to alter or delete, this paragraph shall constitute sufficient grounds to reject Vendor’s bid as nonresponsive.

2.4 IFB SCHEDULE

The table below shows the intended schedule for this IFB. The State will make every effort to adhere to this schedule.

Event Responsibility Date and Time Issue IFB State December 3, 2024 Submit Written Questions Vendor December 10, 2024 by 10:00 AM ET Provide Response to Questions State December 13, 2024 Submit Bids Vendor December 20, 2024 by 10:00 AM ET

Information for Public Bid Opening:

Microsoft Teams Need help?

Join the meeting now Meeting ID: 244 929 706 127 Passcode: uq33mD9A http://eprocurement.nc.gov/ http://eprocurement.nc.gov/training/vendor-training https://aka.ms/JoinTeamsMeeting?omkt=en-US https://teams.microsoft.com/l/meetup-join/19%3ameeting_OWZlMDRmZjAtNDJkNS00YTljLWIzMjQtY2NlZDBhZGExOWY1%40thread.v2/0?context=%7b%22Tid%22%3a%22849e9c61-f0bb-4d83-ba5f-4b5337664cf7%22%2c%22Oid%22%3a%22ed189b1b-e632-41fa-9672-7943a6f70b10%22%7d

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Dial in by phone +1 323-484-5095,,460673761# United States, Los Angeles Find a local number Phone conference ID: 460 673 761# For organizers: Meeting options | Reset dial-in PIN

2.5 BID QUESTIONS

Upon review of the IFB documents, Vendors may have questions to clarify or interpret the IFB in order to submit the best bid possible. To accommodate the Bid Questions process, Vendors shall submit any such questions by the “Submit Written Questions” date and time provided in the IFB SCHEDULE Section above, unless modified by Addendum.

Questions related to the content of the solicitation, or the procurement process should be directed to the person on the title page of this document via the Sourcing Tool's message board by the date and time specified in the IFB SCHEDULE Section of this IFB.

Vendors will enter “IFB # 24-RQ105742-NM – Questions” as the subject of the message. Question submittals should include a reference to the applicable IFB section. This is the only manner in which questions will be received.

Questions or issues related to using the Sourcing Tool itself can be directed to the North Carolina eProcurement Help Desk at 888- 211-7440, Option 2. Help Desk representatives are available Monday through Friday from 7:30 AM ET to 5:00 PM ET.

Questions received prior to the submission deadline date, the State’s response, and any additional terms deemed necessary by the State will be posted in the Sourcing Tool in the form of an addendum and shall become an Addendum to this IFB. No information, instruction or advice provided orally or informally by any State personnel, whether made in response to a question or otherwise in connection with this IFB, shall be considered authoritative or binding. Vendors shall rely only on written material contained in the IFB and an addendum to this IFB.

2.6 BID SUBMITTAL

IMPORTANT NOTE: This is an absolute requirement. Late bids, regardless of cause, will not be opened or considered, and will be automatically disqualified from further consideration. Vendor shall bear the sole risk of late submission due to unintended or unanticipated delay. It is the Vendor’s sole responsibility to ensure its bid has been received as described in this IFB by the specified time and date of opening. Failure to submit a bid in strict accordance with instructions provided shall constitute sufficient cause to reject a Vendor’s bids(s). Solicitation responses are subject to Sealed Bidding requirements.

Vendor’s bids for this procurement must be submitted through the Sourcing Tool. For training on how to use the Sourcing Tool to view solicitations, submit questions, develop responses, upload documents, and submit offers to the State, Vendors should go to the following site: https://eprocurement.nc.gov/training/vendor-training.

Questions or issues related to using the Sourcing Tool itself can be directed to the North Carolina eProcurement Help Desk at 888- 211-7440, Option 2. Help Desk representatives are available Monday through Friday from 7:30 AM EST to 5:00 PM EST.

Tips for Using the Sourcing Tool

1. Vendors should review available training and confirm that they are able to access the Sourcing Event, enter responses, and upload files well in advance of the date and time response are due to allow sufficient time to seek assistance from the North Carolina eProcurement Help Desk.

2. Vendors may submit their responses early to make sure there are no issues, and then submit a revised response any time prior to the response due date and time. The State will only review the most recent response.

3. Vendors should respond to all relevant sections of the Sourcing Event. Certain questions or items are required in order to submit a response and are denoted with an asterisk. The Sourcing Tool will not allow a response to be submitted unless all required items are completed. The Sourcing Tool will provide error messages to help identify any required information that is missing when response is submitted.

4. Simply saving your response in the Sourcing Tool is not the same as submitting your response to the State. Vendors should make sure they complete the submission process and receive a message that their response was successfully submitted.

tel:+13234845095,,460673761 https://dialin.teams.microsoft.com/5349f5a5-3431-4360-9428-3c6876460abe?id=460673761 https://teams.microsoft.com/meetingOptions/?organizerId=ed189b1b-e632-41fa-9672-7943a6f70b10&tenantId=849e9c61-f0bb-4d83-ba5f-4b5337664cf7&threadId=19_meeting_OWZlMDRmZjAtNDJkNS00YTljLWIzMjQtY2NlZDBhZGExOWY1@thread.v2&messageId=0&language=en-US https://dialin.teams.microsoft.com/usp/pstnconferencing https://eprocurement.nc.gov/training/vendor-training

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5. Only Bids submitted through the Content Section of the Ariba Sourcing Event will be considered. Bids submitted through the Message Board will not be accepted or considered for award.

If confidential and proprietary information is included in the bid, also submit one (1) signed, REDACTED copy of the bid. Such information may include trade secrets defined by N.C. Gen. Stat. § 66-152 and other information exempted from the Public Records Act pursuant to N.C. Gen. Stat. §132- 1.2. Vendor may designate information, Products, Services, or appropriate portions of its response as confidential, consistent with and to the extent permitted under the statutes and rules set forth above. By so redacting any page, or portion of a page, the Vendor warrants that it has formed a good faith opinion, having received such necessary or proper review by counsel and other knowledgeable advisors, that the portions determined to be confidential and proprietary and redacted as such, meet the requirements of the Rules and Statutes set forth above. However, under no circumstances shall price information be designated as confidential.

If the Vendor does not provide a redacted version of the bid with its bid submission, the Department may release an unredacted version if a record request is received.

2.7 BID CONTENTS

Vendors shall provide responses to all questions and complete all attachments for this IFB that require the Vendor to provide information and upload them to the Sourcing Event in the Sourcing Tool. The Vendor shall not alter the IFB document to add templates, headers, footers, or Vendor Logos of any kind. Vendor may not be able to submit its response in the Sourcing Tool unless all required items are addressed. Vendors shall provide authorized signatures where requested. Failure to provide all required items, or Vendor’s submission of incomplete items, may result in the State rejecting Vendor’s bid, in the State’s sole discretion.

Vendors shall upload the following items and attachments in the Sourcing Tool:

a) Completed and signed version of all EXECUTION PAGES, along with the body of the IFB.

b) Signed receipt pages of any addenda released in conjunction with this IFB, if required to be returned.

See Section 6.7 for all Attachments listed below:

c) Completed version of ATTACHMENT A: PRICING FORM

d) Completed and signed version of ATTACHMENT D: HUB SUPPLEMENTAL VENDOR INFORMATION

e) Completed and signed version of ATTACHMENT E: CUSTOMER REFERENCE FORM

f) Completed and signed version of ATTACHMENT F: LOCATION OF WORKERS UTILIZED BY VENDOR

g) Completed and signed version of ATTACHMENT G: CERTIFICATION OF FINANCIAL CONDITION

2.8 DEFINITIONS, ACRONYMS, AND ABBREVIATIONS

Relevant definitions for this IFB are provided in 01 NCAC 05A .0112 and in the Instructions to Vendors found in the Sourcing Tool, which are incorporated herein by this reference.

TWO-YEAR SWAP RATE: the average expectation of interest rates over the next two years.

3.0 METHOD OF AWARD AND BID EVALUATION PROCESS

3.1 METHOD OF AWARD

North Carolina G.S. 143-52 provides a general list of criteria the State shall use to award contracts, as supplemented by the additional criteria herein. The Goods or Services being procured shall dictate the application and order of criteria; however, all award decisions shall be in the State’s best interest.

All responsive bids will be reviewed, and an award or awards will be based on the responsive bid(s) offering the lowest price that meets the specifications provided herein, to include any required verifications set out here in such as but not limited to past performance, references, and financial documents.

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While the intent of this IFB is to award a Contract(s) to a single Vendor, the State reserves the right to make separate awards to different Vendors for one or more line items, to not award one or more line items, or to cancel this IFB in its entirety without awarding a Contract, if it is considered to be most advantageous to the State to do so.

The State reserves the right to waive any minor informality or technicality in bids received.

3.2 CONFIDENTIALITY AND PROHIBITED COMMUNICATIONS DURING EVALUATION

While this IFB is under evaluation, the responding Vendor, including any subcontractors and suppliers, is prohibited from engaging in conversations intended to influence the outcome of the evaluation. See Paragraph 29. of the Instructions to Vendors entitled

COMMUNICATIONS BY VENDORS

Each Vendor submitting a bid to this IFB, including its employees, agents, subcontractors, suppliers, subsidiaries and affiliates, is prohibited from having any communications with any person inside or outside the using agency; issuing agency; other government agency office or body (including the purchaser named above, any department secretary, agency head, members of the General Assembly and Governor’s office); or private entity, if the communication refers to the content of Vendor’s bid or qualifications, the content of another Vendor’s proposal, another Vendor’s qualifications or ability to perform a resulting contract, and/or the transmittal of any other communication of information that could be reasonably considered to have the effect of directly or indirectly influencing the evaluation of proposals, the award of a contract, or both.

Any Vendor not in compliance with this provision shall be disqualified from evaluation and award. A Vendor’s proposal may be disqualified if its subcontractor and/or supplier engage in any of the foregoing communications during the time that the procurement is active (i.e., the issuance date of the procurement until the date of contract award or cancellation of the procurement). Only those discussions, communications or transmittals of information authorized or initiated by the issuing agency for this IFB, or inquiries directed to the purchaser named in this IFB regarding requirements of the IFB (prior to proposal submission) or the status of the award (after submission) are excepted from this provision.

3.3 BID EVALUATION PROCESS

Only responsive submissions will be evaluated.

The State will conduct an evaluation of responsive Bids, as follows:

Bids will be received according to the method stated in the Bid Submittal section above.

All bids must be received by the issuing agency not later than the date and time specified in the IFB SCHEDULE Section above, unless modified by Addendum. Vendors are cautioned that this is a request for offers, not an offer or request to contract, and the State reserves the unqualified right to reject any and all offers at any time if such rejection is deemed to be in the best interest of the State.

At the date and time provided in the IFB SCHEDULE Section above, unless modified by Addendum, the bids from each responding Vendor will be opened publicly and all offers (except those that have been previously withdrawn, or voided bids) will be tabulated. The tabulation shall be made public at the time it is created. When negotiations after receipt of bids is authorized pursuant to G.S. 143-49 and 01 NCAC 05B.0503, only the names of offerors and the Goods and Services offered shall be tabulated at the time of opening. Cost and price shall become available for public inspection at the time of the award.

Interested parties are cautioned that these costs and their components are subject to further evaluation for completeness and correctness and therefore may not be an exact indicator of a Vendor’s pricing position.

At their option, the evaluators may request oral presentations or discussions with any or all Vendors for clarification or to amplify the materials presented in any part of the bid. Vendors are cautioned, however, that the evaluators are not required to request presentations or other clarification—and often do not. Therefore, all bids should be complete and reflect the most favorable terms available from the Vendor. Prices bid cannot be altered or modified as part of a clarification.

Bids will generally be evaluated, based on completeness, content, cost and responsibility of the Vendor to supply the requested Goods and Services. Specific evaluation criteria are listed in Section 3.1 METHOD OF AWARD.

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Upon completion of the evaluation process, the State will make Award(s) based on the evaluation and post the award(s) to the electronic Vendor Portal (eVP), https://evp.nc.gov, under the IFB number for this solicitation. Award of a Contract to one Vendor does not mean that the other bids lacked merit, but that, all factors considered, the selected bid was deemed most advantageous and represented the best value to the State.

The State reserves the right to negotiate with one or more Vendors, or to reject all original offers and negotiate with one or more sources of supply that may be capable of satisfying the requirement, and in either case to require Vendor to submit a Best and Final Offer (BAFO) based on discussions and negotiations with the State.

3.4 PERFORMANCE OUTSIDE THE UNITED STATES

Vendor shall complete ATTACHMENT F: LOCATION OF WORKERS UTILIZED BY VENDOR. In addition to any other evaluation criteria identified in this IFB, the State may also consider, for purposes of evaluating proposed or actual contract performance outside of the United States, how that performance may affect the following factors to ensure that any award will be in the best interest of the State:

a) Total cost to the State

b) Level of quality provided by the Vendor

c) Process and performance capability across multiple jurisdictions

d) Protection of the State’s information and intellectual property

e) Availability of pertinent skills

f) Ability to understand the State’s business requirements and internal operational culture

g) Particular risk factors such as the security of the State’s information technology

h) Relations with citizens and employees

i) Contract enforcement jurisdictional issues

3.5 INTERPRETATION OF TERMS AND PHRASES

This IFB serves two functions: (1) to advise potential Vendors of the parameters of the solution being sought by the State; and (2) to provide (together with other specified documents) the terms of the Contract resulting from this procurement. The use of phrases such as “shall,” “must,” and “requirements” are intended to create enforceable contract conditions. In determining whether bids should be evaluated or rejected, the State will take into consideration the degree to which Vendors have proposed or failed to propose solutions that will satisfy the State’s needs as described in the IFB. Except as specifically stated in the IFB, no one requirement shall automatically disqualify a Vendor from consideration. However, failure to comply with any single requirement may result in the State exercising its discretion to reject a bid in its entirety.

4.0 REQUIREMENTS

This Section lists the requirements related to this IFB. By submitting a bid, the Vendor agrees to meet all stated requirements in this Section as well as any other specifications, requirements, and terms and conditions stated in this IFB. If a Vendor is unclear about a requirement or specification or believes a change to a requirement would allow for the State to receive a better bid, the Vendor is urged to submit these items in the form of a question during the question-and-answer period in accordance with the Bid Questions Section above.

4.1 PRICING

Bid price shall constitute the total cost to the State for complete performance in accordance with the requirements and specifications herein, including all applicable charges for handling, transportation, administrative and other similar fees. Complete ATTACHMENT A: PRICING FORM included in this IFB. The pricing provided in ATTACHMENT A, or resulting from any negotiations, is incorporated herein and shall become part of any resulting Contract.

Annual pricing will be based on the two -year average life swap rate. The initial pricing will cover payments for all vehicles accepted in the calendar year of the contract and the pricing can be adjusted at contract renewal each calendar year based upon the change in the two-year average life swap rate.

https://evp.nc.gov/

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The purpose of this interest rate swap is to allow the State to budget a specific cash flow to allocate for LEA school bus replacement in amounts which are certain and on future payment dates (beyond the first at delivery) which are designed to ease management and decrease uncertainty in annual budgeting. This thus transfers the rate risk and management from the LEA to the financing entity.

4.2 FINANCIAL STABILITY

As a condition of contract award, the Vendor must certify that it has the financial capacity to perform and to continue to perform its obligations under the Contract; that Vendor has no constructive or actual knowledge of an actual or potential legal proceeding being brought against Vendor that could materially adversely affect performance of this Contract; and that entering into this Contract is not prohibited by any contract, or order by any court of competent jurisdiction.

Each Vendor shall certify it is financially stable by completing ATTACHMENT G: CERTIFICATION OF FINANCIAL CONDITION. The State is requiring this certification to minimize potential issues from contracting with a Vendor that is financially unstable. From the date of the Certification to the expiration of the Contract, the Vendor shall notify the State within thirty (30) days of any occurrence or condition that materially alters the truth of any statement made in this Certification. The Contract Manager may require annual recertification of the Vendor’s financial stability.

4.3 HUB PARTICIPATION

Pursuant to North Carolina General Statute G.S. 143-48, it is State policy to encourage and promote the use of small, minority, physically handicapped, and women contractors in purchasing Goods and Services. As such, this IFB will serve to identify those Vendors that are minority owned or have a strategic plan to support the State’s Historically Underutilized Business program by meeting or exceeding the goal of 10% utilization of diverse firms as 1st or 2nd tier subcontractors. Vendor shall complete

ATTACHMENT D: HUB SUPPLEMENTAL VENDOR INFORMATION.

4.4 VENDOR EXPERIENCE AND REFERENCE

Vendor shall upload to the Sourcing Tool at least three (3) references. The Vendor shall have a minimum of three (3) years of experience providing services to the public sector (state, city, or county government), using ATTACHMENT E: CUSTOMER REFERENCE FORM, for which it has provided services of similar size and scope to those proposed herein. The State may contact these users to determine whether the Services provided are substantially similar in scope to those proposed herein and whether Vendor’s performance has been satisfactory. The information obtained may be considered in the evaluation of the bid.

1. Vendor has the required minimum of three (3) years of experience providing similar services to public sector (state, city, or county government) clients with similar or greater size and complexity to the State of North Carolina as proposed by this IFB? YES ☐ NO ☐

2. Vendor has listed the government entity and services provided in the ATTACHMENT E: CUSTOMER REFERENCE FORM?

YES ☐ NO ☐

4.5 PERSONNEL

Vendor warrants that qualified personnel shall provide Services under this Contract in a professional manner. “Professional manner” means that the personnel performing the Services will possess the skill and competence consistent with the prevailing business standards in the industry. Vendor will serve as the prime contractor under this Contract and shall be responsible for the performance and payment of all subcontractor(s) that may be approved by the State. Names of any third-party Vendors or subcontractors of Vendor may appear for purposes of convenience in Contract documents; and shall not limit Vendor’s obligations hereunder. Vendor will retain executive representation for functional and technical expertise as needed in order to incorporate any work by third party subcontractor(s).

Should the Vendor’s bid result in an award, the Vendor shall be required to agree that it will not substitute key personnel assigned to the performance of the Contract without prior written approval by the Contract Lead. Vendor shall further agree that it will notify the Contract Lead of any desired substitution, including the name(s) and references of Vendor’s recommended substitute personnel. The State will approve or disapprove the requested substitution in a timely manner. The State may, in its sole

Ver: 11/2023 11 discretion, terminate the Services of any person providing Services under this Contract. Upon such termination, the State may request acceptable substitute personnel or terminate the contract Services provided by such personnel.

4.6 VENDOR’S REPRESENTATIONS

If Vendor’s bid results in an award, Vendor agrees that it will not enter any agreement with a third party that may abridge any rights of the State under the Contract. If any Services, deliverables, functions, or responsibilities not specifically described in this solicitation are required for Vendor’s proper performance, provision and delivery of the Service and deliverables under a resulting Contract, or are an inherent part of or necessary sub-task included within such Service, they will be deemed to be implied by and included within the scope of the Contract to the same extent and in the same manner as if specifically described in the Contract.

Unless otherwise expressly provided herein, Vendor will furnish all of its own necessary management, supervision, labor, facilities, furniture, computer and telecommunications equipment, software, supplies and materials necessary for the Vendor to provide and deliver the Services and/or other Deliverables.

4.7 ESTIMATED QUANTITY

An estimated quantity based on history or other means may be used as a guide but shall not be a representation by the State of any anticipated purchase volume under any contract made pursuant to this solicitation. The estimated expenditure on this contract is based on the number of buses financed annually, however, no minimum or maximum quantities are guaranteed.

4.8 HISTORICAL DATA

The following table shows the number of replacement buses financed by the NC DPI for North Carolina LEAs during the past years.

Indicated also is the dollar amount of these purchases.

Year Number Buses Purchase Amount 2002-03 472 financed $28,976,911 (total amount, financed, to be paid in 3 equal payments over 3 years) 2003-04 756 financed $44,847,198 (total amount, financed, to be paid in 3 equal payments over 3 years) 2004-05 612 Financed $37,947,889 (total amount, financed, to be paid in 3 equal payments over 3 years) 2005-06 476 Financed $30,371,550 (total amount, financed, to be paid in 3 equal payments over 3 years) 2006-07 1165 Financed $80,423,810 (total amount, financed, to be paid in 3 equal payments over 3 years) 2007-08 660 Financed $50,720,189 (total amount, financed, to be paid in 3 equal payments over 3 years) 2008-09 869 Financed $69,970,575 (total amount, financed, to be paid in 3 equal payments over 3 years) 2009-10 1023 Financed $ 82,372,140 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2010-11 46 Financed $3,933,976 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2011-12 1210 Financed $100,818,436 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2012-13 Financed $3,933,976 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2013-14 403 Financed $32,728,937 (total amount, financed, to be paid in 4 equal payments over 4 yes) 2014-15 533 Financed $43,849,654 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2015-16 701 Financed $60,775,208 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2016-17 781 Financed $68,560,172 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2017-18 700 Financed $62,113,721 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2018-19 664 Financed $58,503,845 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2019-20 654 Financed $62,668,416 (total amount. financed, to be paid in 4 equal payments over 4 yrs.)

2020-21 598 Financed $57,492,412 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2021-22 Financed $27,395,841 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2022-23 Financed $46,955,589 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

2023-24 Financed $51,889,111 (total amount, financed, to be paid in 4 equal payments over 4 yrs.)

5.0 SPECIFICATIONS AND SCOPE OF WORK

5.1 SPECIFICATIONS

The specific items and any specifications that the Purchasing Agency is seeking are listed below. Items offered by the Vendor must meet or exceed the listed Specifications to be considered for award.

A. THE PROCESS

a) For each LEA, funding (first year payments including finance charges) will be allotted to that LEA.

Ver: 11/2023 12

b) The State Term Contract for school buses requires delivery to a location within 75 miles of Asheboro, NC. Acceptance of the buses by NC DPI and LEA will take place at such location. It is anticipated that buses will be accepted in lots of 50-100 buses.

c) NC DPI will sign a Master Facilitator Agreement with Vendor. An example of the Master Facilitator Agreement is shown in EXHIBIT I.

d) LEAs will each sign a Master Replacement Bus Financing Agreement (MRBFA) with Vendor. An example of the MRBFA is shown in EXHIBIT II.

e) Within ten (10) days of acceptance of the equipment by NC DPI, the LEA, and the Vendor’s concurrence with paperwork, the LEA will make the first payment to the Vendor. Within thirty (30) days of the acceptance of the equipment by NC DPI and the LEA, the Vendor must make full payment to the school bus manufacturer or dealer.

The second, third and fourth payments to the Vendor will take place as described in the body of this IFB. No payments shall be due to the Vendor prior to NC DPI and LEA acceptance of the equipment.

f) LEAs that wish to finance the purchase of additional school buses from non-state funds may use this contract and will provide appropriate approval documentation to the Vendor and will initiate separate contracts with the Vendor incorporating the terms and payment amounts established pursuant to this IFB. The State Board of Education shall not be a party to these separate agreements and shall not be responsible for payments under these separate agreements.

B. FINANCING ARRANGEMENTS

a) NC DPI is not requesting an annual percentage rate nor are the payments to be indexed or prorated based on fluctuating market interest rates. The prices bid for each of FOUR (4) equal payments for each configuration of bus to be financed shall be fixed for the duration of this contract. There are multiple vendors of school buses on the State Term Contract. As such, financed prices per $1,000 will be requested in lieu of specific prices per bus.

b) A small number of LEAs may use this contract to finance the purchase of up to, collectively, fifteen (15) activity and school buses from their own, non-state funding sources. Vendor shall allow these LEAs to participate in this financing contract upon the LEAs request and in accordance with the terms and payment amounts established pursuant to this IFB. These school districts will provide payment on the same payment schedule as the state replacement buses and will provide evidence of their creditworthiness upon request of Vendor. The LEAs will also complete a separate contract with Vendor containing the same payment amounts proposed in response to this IFB. NC DPI shall not be a party to these separate agreements and shall not be responsible for payments under these separate agreements.

Vendor also understands that school buses purchased by these school districts will be covered for liability and vehicle replacement just like the replacement buses described in this document.

c) The proposed amount of this contract will be determined as a result of the proposed payment amount. Total school bus purchase price is estimated to be less than $120,000,000. Payments to Vendor will include bus purchase price and finance costs and will be paid in FOUR (4) equal payments. As directed by the General Assembly, NC DPI will make allotments to each LEA receiving replacement school buses under this acquisition. At the time that such buses are delivered, NC DPI and the LEA will inspect the buses and verify their condition, approving that they meet state specifications and are acceptable to be included in the state school bus fleet. Documentation of this approval will be provided to the Vendor, indicating that payment is forthcoming from the LEA within ten (10) days of acceptance and that payment will be due from the Vendor to the school bus manufacturer within thirty (30) days of acceptance.

d) LEA PAYMENTS. Repayment of monies by North Carolina LEAs will be on an annual basis.

• The first of FOUR (4) equal payments for each school bus will be made by the appropriate LEA to the Vendor

Ver: 11/2023 13 within ten (10) days of the acceptance of the school bus.

• The second of the FOUR (4) equal payments will be made by the LEA by November 15, 2024, or within ten

(10) days of the acceptance of the school bus, whichever is later.

• The third of the FOUR (4) equal payments will be made by the LEA prior to November 15, 2025.

• The fourth of the FOUR (4) equal payments will be made by the LEA prior to November 15, 2026.

e) Vendor payments to school bus manufacturer or dealer – Payment of the full purchase price of each bus must be made by Vendor to school bus manufacturers or dealers not later than thirty (30) days of the acceptance of each bus by NC DPI and the LEA.

f) No discounts, rebates or other incentives offered by school bus manufacturers, dealers or entities other than Vendor will be considered in the evaluation of any response to this IFB.

g) A contract awarded pursuant to this IFB, if any, shall not be assigned in any manner that would allow securitization of the loan and permit it to be sold on behalf of the State of North Carolina by a third party to public investors.

h) BOND RATING – This financing will NOT be rated and will NOT be bank qualified.

i) All costs associated with the financing as described herein shall be the responsibility of the Vendor. NC DPI shall not pay for any legal or other services associated with this transaction.

6.0 CONTRACT ADMINISTRATION

All Contract Administration requirements are conditioned on an award resulting from this solicitation. This information is provided for the Vendor’s planning purposes.

6.1 CONTRACT MANAGER

The Vendor shall be required to designate and make available to the State a contract manager. The contract manager shall be the State’s point of contact for Contract related issues and issues concerning performance, progress review, scheduling, and service.

Contract Manager Point of Contact

Name:

Office Phone #:

Email:

Location Address:

6.1.1 NC DPI CONTRACT MANAGER

NC DPI Contract Manager

Name: Kevin Harrison, Transportation Section Chief

Office Phone #: 984-236-2932

Email: kevin.harrison@dpi.nc.gov

Mailing Address: 6319 Mail Service Center Raleigh NC 27699-6319*

*Bid Documents or responses shall not be mailed or submitted to this address.

6.2 ACCEPTANCE OF WORK

Performance of the work and/or delivery of Goods shall be conducted and completed at least in accordance with the Contract mailto:kevin.harrison@dpi.nc.gov

Ver: 11/2023 14 requirements and recognized and customarily accepted industry practices. Performance shall be considered complete when the Services or Goods are approved as acceptable by the Contract Administrator.

The State shall have the obligation to notify Vendor, in writing ten (10) calendar days following completion of such work or delivery of a deliverable described in the Contract that it is not acceptable. The notice shall specify in reasonable detail the reason(s) it is unacceptable. Acceptance by the State shall not be unreasonably withheld; but may be conditioned or delayed as required for reasonable review, evaluation, installation, or testing, as applicable to the work or deliverable. Final acceptance is expressly conditioned upon completion of all applicable assessment procedures. Should the work or deliverables fail to meet any specifications, acceptance criteria or otherwise fail to conform to the Contract, the State may exercise any and all rights hereunder, including, for Goods deliverables, such rights provided by the Uniform Commercial Code, as adopted in North Carolina.

6.3 TRANSITION ASSISTANCE

If a Contract results from this solicitation, and the Contract is not renewed at the end of the last active term, or is canceled prior to its expiration, for any reason, Vendor shall provide transition assistance to the State, at the option of the State, for up to six (6) months to allow for the expired or canceled portion of the Services to continue without interruption or adverse effect, and to facilitate the orderly transfer of such Services to the State or its designees. If the State exercises this option, the Parties agree that such transition assistance shall be governed by the terms and conditions of the Contract (notwithstanding this expiration or cancellation), except for those Contract terms or conditions that do not reasonably apply to such transition assistance.