Attachment C.1.docx

State of South Carolina Department of Parks, Recreation, and Tourism

Competitive Negotiations Attachment C.1 Scope of Work

RFP Solicitation No. 5400030061

ATTACHMENT C – SCOPE OF WORK

Background Information

The U.S. Army Corps of Engineers (USACE), in partnership with the public and state and local governments, offers shoreline properties at Lake Hartwell for lease to support responsible development. The specific property identified in Attachment C.3 has been designated for commercial development opportunities.

The South Carolina Department of Parks, Recreation and Tourism (SC PRT) is seeking proposals from qualified developers and investors (“Offerors”) interested in developing this property. SC PRT currently holds a twenty-five (25)-year lease with USACE, with the possibility of a twenty-five (25)-year extension at USACE’s discretion. Based on proposal evaluations, SC PRT intends to sublease the property - pending USACE approval - to the selected Offeror(s).

Proposals must include:

· Proposed Sub-Lease terms

· User fees

· Sub-Lease payments

· A sliding-scale lease rate formula based on acreage use and project scope All lease terms and financial proposals within these parameters will be considered. Final approval from both the USACE and the State Fiscal Accountability Authority is required before execution.

Project Scope and Restrictions Only commercial development projects aligned with the stated purpose will be considered. The following are not permitted:

· Residential developments

· Time-share arrangements of any kind (ownership, right-to-use, floating, open-use, leases, vacation license, club membership or any other method) All facilities must be designed for short term, non-permanent public use and comply with all applicable local, state, and federal regulations, including USACE requirements.

Property Description The site consists of approximately 325 acres located between Atlanta, Georgia and Charlotte, North Carolina (See Attachment C.3). Key features include:

· A peninsula formation extending into Lake Hartwell

· Over seven miles of shoreline

· Proximity to the South Carolina Welcome Center

· Limited current access via a primitive dirt road

· No existing infrastructure (roads, utilities, etc.)

The selected Offeror will be responsible for all infrastructure development, including roads, utilities, and necessary systems. The entire tract must be subleased as a single unit.

The sublease term may extend up to fifty (50) years, subject to negotiation and approval.

Development Guidelines Proposals must algin with the Department of the Army, USACE Recreation Development Policy for Outgranted Corps Lands. A copy of the land use guidelines is attached as Attachment C.2. Additionally:

· Public access to the site is required

· Development should complement the nearby Lake Hartwell State Recreation Area located on U.S. Highway 11, west of Interstate 85

· Camping facilities are not permitted All plans and specifications will be reviewed by SC PRT and USACE.

Approval Process All proposals are subject to USACE review and approval. SC PRT cannot finalize any agreement without written authorization from USACE. The timing and outcome of USACE’s review process are outside SC PRT’s control, and all agreements may require modification based on USACE feedback.

Post-Execution Requirements

· No state funding will be used for the project

· Property interests cannot be subordinated for financing purposes

· A 150-foot setback from the 670-foot contour of Lake Hartwell is required

· Vegetation clearing must be approved by USACE

· Revenue from timber sales must be remitted to USACE SC PRT is seeking proposals through this solicitation from Investors that are interested in sub-leasing the designated property for development under a sub-lease with SC PRT. The successful Proposal will be used by SC PRT in negotiations with USACE for a sub-lease of its existing lease with USACE. Bonding and insurance requirements, operation and maintenance standards, terms and conditions for termination, expiration and other sub-lease points will be negotiated after proposals are reviewed and evaluated by USACE, SC PRT, and the State.

Environmental and Compliance Requirements The selected Offeror is responsible for all environmental documentation and compliance, including but not limited to:

· Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA)

· National Historic Preservation Act

· Endangered Species Act

· Archaeological and Historical Preservation Act

· Archaeological Resources Protection Act Environmental Assessments may be undertaken at any time during the solicitation process at the Offeror’s own expense.

Environmental assessments must be completed at the Offeror’s expense and approved by USACE prior to sub-lease execution.

Offerors are responsible for understanding and complying with all applicable laws, regulations and codes.

Financial and Reporting Requirements

· Annual financial statements must be prepared by an independent Certified Public Accountant in accordance with American Institute of Certified Public Accountants (AICPA) standards

· SC PRT reserves the right to audit lease agreements

· Sub-lease payments will be based on audited annual gross receipts

· Reports and payments are due within sixty (60) days of the end of the fiscal or calendar year Public Access Requirement All facilities and amenities must remain fully accessible to the public. Offerors are expected to actively promote and encourage public use of the site.