Amendment 1 - Responses to inquiries and minor corrections.pdf
PDF 94 KB Posted
- Attached to
- AAAA - RFP for Disability Funding Committee
- Solicitation number
- RFP AAAA 2018000166 2
- Issued by
- Denver County, Denver City, Colorado
About this file
This is Amendment 1 to RFP AAAA 2018-0166, issued by the State of Colorado Department of Personnel & Administration on behalf of the Disability Funding Committee (DFC). The amendment addresses responses to bidder inquiries and clarifications regarding a license plate registration number marketing and auction program. Key modifications include correction of the issuing department designation and adjustment of the contract start date from February 1, 2018 to March 1, 2018, with a contract end date of June 30, 2019. The selected contractor must develop valuation methodologies for the DFC's registration number inventory, create a marketing plan for approval by the DFC, and establish an online auction platform to sell valuable registration numbers. The contractor will serve as both an auctioneer and marketing company, with marketing experience and ability comprising 30 percent of the evaluation scoring. The Start-Up Plan must be submitted within five business days of contract execution. Contractors are required to propose their own timelines for completion of deliverables, with the DFC favoring shorter, realistic timelines for deployment including beta and live production sites.
The contractor may charge only fees explicitly approved in their proposal response and will not be permitted to assign values to each registration number independently; instead, the contractor must develop a dynamic valuation approach accounting for market fluctuations and justify their methodology. Rights to use registration numbers are limited to specified periods rather than perpetual ownership, and the DFC retains approval authority over recommended auction parameters including quantity, starting bid prices, bidding increments, reserves, and timeframes. Winning bidders may be residents or non-residents of Colorado and are not required to own a vehicle, though they must comply with all Colorado Department of Motor Vehicles requirements and pay associated registration fees. The DFC and State retain all ownership rights to bidder registration data, though contractors may use pre-existing platforms that sell other goods or services. A 25 percent royalty applies to secondary transfers of registration numbers, with enforcement conducted according to Colorado Revised Statutes 24-30-2209.
View the file
Other files
| File | Type | Posted |
|---|---|---|
| Appendix B - Personal Services Contract.docx | DOCX document | |
| RFP - AAAA 2018 - 0166.docx | DOCX document | |
| Appendix A - Instructions to Offerors.docx | DOCX document | |
| Appendix C W-9, SOS, EFT.pdf |
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Text version
Page 1 of 5 Amendment 1 to RFP AAAA 2018 – 0166
Amendment 1 to RFP AAAA 2018 – 0166
This Addendum makes the following changes and clarifications:
1. Appendix A – Instructions to Offerors Section 1.1 states:
“The solicitation referenced on the cover page of this document is issued for the State of Colorado by the Department of Health Care Policy and Financing (Department)”
That section is modified to state:
“The solicitation referenced on the cover page of this document is issued for the State of Colorado and the Disability Funding Committee by the Department of Personnel & Administration (Department)”
2. RFP Document section 1.2.1 reads:
“The Contractor’s start-up period is anticipated to begin on February 1, 2018 and end on June 30, 2019.”
That section is modified to state:
“The initial contract term is anticipated to begin on March 1, 2018 and end on June 30, 2019.”
Responses to Inquiries:
1. What is the rationale for this RFP and what are the goals of this license plate program?
ANSWER: Per Section 1.0 of the RFP: The DFC’s goal is to maximize revenue from these assets and is interested in the marketing plan as well as auction/sale solution. The DFC will review and approve any marketing plan before implementation.
2. Sections 3.1.4 and 3.1.6 require the Contractor to perform valuation services on the DFC inventory of registration numbers:
a. Is there a specific type(s) of analysis that the DFC expects the Contractor to perform; such as surveys of Colorado citizens, an examination of sales comps from other states, an analysis of existing personalized plates currently registered to vehicles, or something else?
ANSWER: Offerors should explain how they will perform this analysis of the inventory and why that analaysis represents the best value to the DFC.
b. What is the time frame that the DFC is expecting the Contractor to complete the requirements under these 2 sections?
Page 2 of 5 Amendment 1 to RFP AAAA 2018 – 0166
ANSWER: Offerors should propose the timeframe in which they will complete these requirements.
c. Is the Contractor permitted to charge the DFC a consultation fee for services rendered under these two sections?
ANSWER: The only fees permitted are those discussed in Offeror’s Response 25.
d. Is the contractor expected to assign a value to each and every registration within the DFC inventory?
ANSWER: Offerors should discuss how they will assign value to the Registration Numbers. The market for Registration Numbers is dynamic – for example the value of “Pirate” would be much higher immediately before or after a new Pirates of the Caribbean movie. Successful Offerors will discuss how they will assign value and how they will account for a dynamic and changing market.
e. What is the intended use of the information gained from the work performed by the Contractor under these two sections?
ANSWER: To maximize revenue from these assets. The DFC will review and approve any marketing plan before implementation.
3. When is the Start-Up Plan (Section 5.4.4.1) due from the Contractor? It appears that
5.4.4.1.2.2 requires the Start-Up Plan to be delivered within 5 Days of the Contract, But
5.4.4.1.2.3 requires the Start-Up Plan to be delivered within 30 Days? Which is correct?
ANSWER: The Start-Up Plan is due within (5) Business Days of the Effective Date. Section 5.4.4.1.2.3 is hereby deleted.
4. Who owns the rights to the bidder registration data?
ANSWER: The State and DFC.
a. Will the contractor be permitted to market other products, services, auctions, or other assets for sale to prior or current DFC License plate bidders?
ANSWER: The auction platform should only offer Registration Numbers, however Offerors may use a pre-existing platform which sells other goods or services.
5. Section 3.1.6 states, “The Contractor will sell valuable Registration Numbers either for a fixed price or by auction.”
Page 3 of 5 Amendment 1 to RFP AAAA 2018 – 0166
a. Who will determine the quantity, starting bid price, increments, minimum reserve, and bidding time frames for the auction events?
ANSWER: Contractors will make recommendations and the DFC will approve, reject, or modify the suggestions.
b. Is the Contractor expected to function as a fundraising consultant to the DFC, or is the Contractor expected to simply perform technical execution of online auction events?
ANSWER: Marketing Experience and Ability makes up 30% of the scoring on this RFP.
DPA and the DFC are soliciting competitive, responsive proposals from experienced and financially sound organizations to perform as an auctioneer and marketing company.
The DFC’s goal is to maximize revenue from these assets and is interested in the marketing plan as well as auction/sale solution. The DFC will review and approve any marketing plan before implementation.
6. When a particular registration number is purchased via a DFC Auction, will the winning bidder receive absolute rights to that number in perpetuity (“fee simple absolute”) ?
ANSWER: No.
a. If Question 7 is “no”, for how long will a winning bidder be permitted to use their registration number?
ANSWER: Per Offeror’s Response 15: The right to use Registration Numbers may be limited to one year or multiple years. Offerors should provide a sample report showing what Registration Numbers are available, the suggested price of the Registration Number, and how the Disability Funding DFC will approve or modify the recommended price.
7. Are winning bidders required to assign all DFC-acquired registration numbers to a vehicle?
More specifically:
a. Can a Colorado citizen that does not own a motor vehicle bid on a DFC registration number?
ANSWER: Yes. Bidders have the right to use Registration Numbers for the amount of time specified in the auction. Bidders are not buying license plates from the DFC, Bidders are buying the right to use a Registration Number.
b. Can a person from outside the state of Colorado bid on a DFC registration number?
Page 4 of 5 Amendment 1 to RFP AAAA 2018 – 0166
ANSWER: Yes. Bidders have the right to use Registration Numbers for the amount of time specified in the auction. Bidders are not buying license plates from the DFC, Bidders are buying the right to use a Registration Number.
c. What happens if a Colorado citizen that owns 1 motor vehicle is the winning bidder on 2 or more registration numbers? This is a common occurrence in online auctions: A bidder makes bids on multiple similar items, intending to win only one, but actually wins more than one.
ANSWER: If a bidder wins more than one auction for Registration Numbers then the bidder will be responsible for the bid price of those Registration Numbers.
8. What happens to a registration number if a winning bidder refuses to pay the mandatory registration fees to the Department of Motor Vehicles?
ANSWER: DPA and the DFC are only selling the right to use the Registration Number for the amount of time specified in the auction. Bidders are not buying license plates; they are buying the right to use a Registration Number. After the sale is final the Contractor will provide the DMV with the winning bidder’s name, email, phone number, what Registration Number the bidder won, and the period of time the bidder can use that registration number. After that time bidders must work with the DMV to buy a license plate and pay the associated costs.
9. Can winning bidders reassign their registration numbers to a third party? Must they go through the DFC marketing program in order to do so? How is this monitored, tracked, and enforced?
ANSWER: Winning bidders must comply with all DMV laws and requirements.
The enabling legislation states that
“(1) The committee shall raise money by creating a market, which may include an online site, for registration numbers using methods that are commercially reasonable, account for expenditures, and ensure the collection of the state's approval and transfer royalty.
(2) The royalty for the state's approval and transfer of the right to use a registration number is twenty-five percent of the sale price of the transfer. At the time of sale, the purchaser shall pay the royalty to the committee. This payment is not in lieu of the normal registration fees or specific ownership tax.
(3) A person shall not sell a registration number and the department of revenue shall not assign a registration number as a result of the right to use the number being sold to a vehicle unless the registration number was sold using the market created by the committee. 24-30-2209, C.R.S.”
Page 5 of 5 Amendment 1 to RFP AAAA 2018 – 0166
10.Is there a specific timeline of expectations for deployment? Does the DFC expect a vendor to deliver a "beta test site(s)" by a specified date? More importantly, does the DFC expect the vendor to have a fully functional, ready for "live production" sites by a specified date?
ANSWER: Offerors should discuss their timeline including deliverables this is a criterion the DFC will consider when evaluating proposals. The DFC will favor shorter, but realistic, timelines.
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