G:\PREM\RFP\1 -Previous years\2021\Carlin Park Food & Beverage Concession\Drafts\Addendum.docx

Addendum No. 1 to RFP NO. 2021-102-DML

Request For Proposals to Provide Concessionaire Services at Carlin Park

February 15, 2022

This Addendum shall be added to and become a part of the RFP and be governed by all terms and conditions set forth therein.

REVISED Request for Proposal Due Date: March 11, 2022

A. The Deadline for receipt of proposals has been changed from Friday, February 18, 2022, to

Friday, March 11, 2022. The time remains 2:00 p.m. Section II(A). Timetable is revised as follows:

Proposal Deadline At 2:00 p.m., Friday, March 11, 2022

(Proposal Due Date) at the Reception Desk, 2633 Vista Parkway, West

Palm Beach, FL 33411-5605. Immediately thereafter, the proposals will be opened and the names of the Respondents will publicly be read aloud.

B. The County received the following questions before the pre-proposal conference as set forth below and is issuing the following response:

1. Questions received from Jennifer Wilson:

Question: On page 4, the RFP states, “a minimum guaranteed rent PLUS a monthly

Percentage Rent, plus all applicable taxes. The minimum rental amount for this Concession at

$78,000.00 per year/$6,500 per month plus tax, the minimum monthly Percentage equal to 8% of gross revenues, and the deposit at $2,500.”

There is no detail surrounding what exactly would be due on page 11 in the revenue proposal, which details the threshold at which Percentage Rent would kick in, using the minimum parameters on $400,000 in gross annual revenues, but not the calculation of the total rent payment due.

On pages 14-15, none of the examples illustrate the calculation if the Percentage Rent is above the minimum rental amount. And in Exhibit B, the monthly Concessionaire Report, the worksheet would appear to deduct the Percentage rent from the Monthly Guaranteed Rent.

Please see below using the parameters of $400,000 in gross annual revenues, $78,000 minimum guaranteed, and 25% as the monthly Percentage. Is the monthly payment A, which is consistent with the language on page 4; B, which credits the payor for the guaranteed monthly rent, effectively making the rent the monthly Percentage once the minimum threshold is crossed; or C, which follows the worksheet in Exhibit B?

A. Guaranteed Annual Rent $78,000

Percentage rent = 25% of $33,333 100,000

TOTAL $178,000

B. Guaranteed Annual Rent $78,000

Percentage rent = 25% of $33,333 100,000

TOTAL $100,000

C. Guaranteed Annual Rent $78,000

LESS Percentage rent = 25% of $33,333 100,000

TOTAL $22,000

In the previous RFP, the language stated, “In addition to the Guaranteed Annual Rent, Concessionaire shall pay County 8.5% of the certified annual gross revenues derived from the operation of the concession on the Premises less the Guaranteed Annual Rent,” which is consistent with Example B above. The language in the RFP currently out for bid is inconsistent with the language in the previous RFP, hence the need for clarification.

Answer: Article II of the Concessionaire Service Agreement defines Guaranteed Annual

Rent (Section 2.01A), and Percentage Rent (Section 2.01B) and their respective due dates, using the numbers you provided in your question (78k Guaranteed Annual Rent, 400k

Gross Revenues and 25% proposed Percentage Rent) the monthly monies due would be as follows:

Guaranteed Annual Rent: On the first of each month $6,500 ($78,000/12)

Percentage Rent: On the 20th of each month $1833.33(25% of $400,000 = $100,000/12 =

$8,333.33 - $6,500 = $1,833.33)

Guaranteed Annual Rent $78,000

Percentage Rent = 25% of $400,000 = $100,000 – $78,000 = $22,000

Annual Total: $100,000

The Percentage Rent is defined as the amount by which the proposed percentage exceeds the Guaranteed Annual Rent, and it is calculated using the Monthly Report attached as

Exhibit “B” of the Concessionaire Service Agreement.

2. Questions received from Andy Studebaker

Question: Do you have sales figures for the last 2-3 years?

Answer: Annual Gross Revenue

FY 2019 $911,776.12

FY 2020 $729,982.93

FY 2021 $1,008,113.75

Question: What equipment/furniture/fixtures are staying with the property if any?

Answer: Please refer to Exhibit H of the Concessionaire Lease Agreement

Question: Are they willing to sell equipment/furniture/fixtures that are not staying?

Answer: The County does not have any responsive records to this question.

Please refer to the RFP Section I (C).

Hawkhaven LLC dba Lazy Loggerhead Café 561-743-1134 Fax 561-743-2724

Question: Are there any requirements on a closing time?

Answer: Please refer to Section III (C)(4A) of the RFP and Article IV(4.02b) of the

Concessionaire Service Agreement.

Question: Who occupies the space upstairs?

Answer: The upstairs space is utilized as an Ocean Rescue office, breakroom and storage area.

Question: Are there an improvements that are known to be immediately needed?

Answer: None that will be the responsibility of the selected Respondent, but Parks is in the process (bidding) of putting down new epoxy coating on the back patio area.

3. Questions received from Peter Torocsik/ Ultimate Bakery & Pastry Inc.

Question: Please clarify if the recent RFP is a pure BID or RFQ or combination of both?

Answer: This is a Request for Proposal (RFP), please refer to the RFP section IV(D) for the selection criteria.

Question: Can the evaluation committee waive minor irregularities to award the contract for:

(A) Highest dollar investment ? or

{B} Highest experience and qualification? or

(C) Combination of (A) and (B) ?

I assume Palm Beach County wants to award the contract to the best company.

In order to find the best company the evaluation committee - under circumstances of (A), (B), (C) - willing to waive missing evidence(s) of aa/ DETAILED EXPERIENCE of Respondent or its subcontractor(s)?

bb/ Not able to provide key-personnel including on-site manager cc/ Missing VERIFIABLE references?

dd/ Missing meaningful revenue proposal including percentige rent?

ee/ Financial ability of respondent or its subcontractor(s), like balance sheet and icome statement, federal tax returm ?

ff/ CPA Statement (regeradless Respondent is under transitions between CPA and CPA, even both CPAs are IRS-agents)?

gg/ Bank refeference letter? not equivalent of line of credit?

hh/ S/M/WBE certification issued by PBC and completed EBO Schedules 1 and 2 ?

ii/ LOCATION OF LOCAL BUSINESS instead of PO BOX?

jj/ Submission of "Certifcation of Business Location" at time of the proposal`s actual date?

Answer: Please refer to the RFP Section IV (D) for the selection criteria, and Section

II(G) for waiver of irregularities.

Question: Can you detail professional criterias of expertise being evaluation committee in this difficult project?

Answer: Please refer to the RFP Section III (C5) for experience and qualifications.

Question: Can you be transparent by listing a pool of potential jurors who will represent tax-payers`s interest in RFP 2021-102-DML

Answer: Please refer to the RFP, Section IV(B)

PREM: Della Lowery

OEBO: TBD

Parks: Paul Connell

Bob Hamilton

Kirk Brooks

Question: Can you provide example(s) when PBC Procurement has waived minor irregularities in the past and under what circumstances?

Answer: RFP No. 2021-101-DML

Okeeheelee Golf Course Food & Beverage Concession

The County received two (2) submittals and both where missing some of the required documents as set forth in the RFP. The Selection Committee decided to move forward and evaluate both submittals as responsive and evaluate them based on the available information. After the evaluation process, a conditional recommendation to award was made. The condition was that the recommended awardee provide the missing financial statements.

Question: Please provide an adequate (audited) financial record by proving yearly

78K + minimum percentage rent is feasible and will not close out small businesses from the procurement process!

Answer: Annual Gross Revenue

FY 2019 $911,776.12

FY 2020 $729,982.93

FY 2021 $1,008,113.75

Question: Please let me talk to the recent operator(s) in Carlin Park. I would like to see and identify the restaurant equipment on sale as you stated on the RFP. Thank You for your cooperation.

If you gave me a useful ph-number it willbe highly precieted.

Answer: Hawkhaven LLC dba Lazy Loggerhead Café 561-743-1134 Fax 561-743-2724

4. Questions received from Jack E. Bobo/ National and State Park Concessions, Inc.

Question: Last 3 years of the Monthly Report of Concessionaire’s Gross Revenues

Answer: The County does not have any responsive records to this question.

Question: Copy of the current Concession Agreement and any amendments.

Answer: https://pbcclouddrive.pbcgov.org/invitations?share=61979f7629b6beab324f

C. The County received the following questions after the pre-proposal conference as set forth below and is issuing the following response:

1. Questions received from Jennifer Wilson:

Question: How do you reconcile the annual rental fee income proposal with the monthly calculation of the percentage rent?

Example:

8 months of $0 revenue: Rent 8 x 6,500 = 52,000

4 months of $100k revenue: Rent 4 x 6,500 = 26,000

8% of gross revenue 4 x 8,000 = 32,000

110,000

Calculated monthly, the respondent is penalized if there is any seasonality to monthly revenues.

Calculated annually using revenues of $400k and 8% the total is 100K- Penalty to the respondent is 10,000

Answer: The calculations provided in your example are incorrect, please see below a month to month table using the numbers you provided.

https://pbcclouddrive.pbcgov.org/invitations?share=61979f7629b6beab324f

Monthly Annual Rent % Rent

Gross Sales Paid Monthly Paid on

Provided % % Total 1st 20th

Jan-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Feb-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Mar-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Apr-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

May-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Jun-22 $100,000.00 x 8.0% = $8,000.00 - $6,500.00 = $1,500.00

Jul-22 $100,000.00 x 8.0% = $8,000.00 - $6,500.00 = $1,500.00

Aug-22 $100,000.00 x 8.0% = $8,000.00 - $6,500.00 = $1,500.00

Sep-22 $100,000.00 x 8.0% = $8,000.00 - $6,500.00 = $1,500.00

Oct-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Nov-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

Dec-22 $0.00 x 8.0% = $0.00 - $6,500.00 = 0

$78,000.00 $6,000.00

Total for Year $84,000.0

Question: What is #16 of Exhibit D meant for? Objections to.... the lease provisions?

Answer: Any objections you may have to the RFP/process

2. Questions received from Jack E. Bobo/ National and State Park Concessions, Inc.

Question: Will the Department entertain additional proposed services outside of the

Licensed Area?

Answer: This RFP is limited to the Premises, as depicted on Exhibit “A-1” of the RFP, any additional services in any other area of the Park will have to be the subject of a separate

RFP, for which the Department has no plans at this current time.

Question: Will the Department consider extending the due date of the proposal by 15 days?

Answer: As a result of the multiple questions that were asked at the pre-proposal conference and the site visit, and to allow Respondents enough time to conduct their due diligence, the County has extended the Proposal deadline to March 11, 2022, please refer to Section A of this Addendum.

Question: NSPC respectfully requests a copy of the floor plan of the premises in RFP NO.

2021-102-DML

Answer: Please contact Della Lowery to arrange for the execution of a Non-Disclosure-

Agreement to obtain a copy of the floor plan (RFP Section I(C))

3. Question received from Delsia Brooks Hamilton

Question: Please provide a copy of the names of companies on the sign on sheet dated

February 9th 2022, for the mandatory pre proposal conference held at West Palm Beach for

Carlin Park.

Answer: Please see attached the sign-in sheet

NOTE: Please acknowledge receipt of this Addendum No. 1 by signing below and returning this page with your Proposal. Each Addendum to the RFP must be signed by an authorized agent and submitted with the Proposal or the Proposal may be deemed non-responsive.

Acknowledgment:

Respondent Date