Due Diligence Request_Notice of Intent 2016-4-19.docx

Due Diligence Posting of Notice of Intent to Accept a Best Value Offer

The Executive Office of Energy and Environmental Affairs (“EEA” or “Department”) of the Commonwealth of Massachusetts, on behalf of the Department of Conservation and Recreation and the Massachusetts Environmental Police,announces its intent to Accept a Best Value Offer pursuant to the Commonwealth’s Due Diligence Posting policy (See Procurement Exceptions policy), to accept the following offer fromXL Hybrids, Inc.(“Offeror”), pending the results of this Notice of Intent (“Notice”):

Description The Department is interested in the Offeror’s cost-effective hybrid electric powertrainsolution (the “System”) that will enable fleets within the Department to quickly and efficiently reduce transportation fuel consumption, lower operating costs, and measure performance to meet sustainability goals. More specifically, the Offeror’s technology transforms an original equipment manufacturers (OEM) vehicle into a hybrid vehicle by adding an electric motor, an advanced lithium-ion battery pack, and control software to the vehicle without making significant vehicle modifications or modifying the internal combustion engine or transmission.The System saves fuel through regenerative braking, a process by which the electric motor helps slow the vehicle during braking, to charge the hybrid battery. Then, when the driver accelerates, the hybrid battery releases the stored energy to the electric motor, helping to propel the vehicle. The proprietary hybrid controls make the electric motor assist smooth and seamless to the driver and passengers. The System helps fleets increase fuel economy by 25%, reduce CO2 emissions by 20% to meet sustainability goals and does not affect any new vehicle warranties.

The Department has identified 27 new commercial fleet vehicles (4 recently purchased, 23 to be acquired)within the fleets of the Department of Conservation and Recreationand the Massachusetts Environmental Police that would benefit from the Offeror’s fleet electrification solution. The vehicles, which consist of one (1) Reach cargo van and twenty six (26) passenger and/or utilityvans, will be upfit as fuel-efficient electric hybrids. The installation takes less than six hours per vehicle. Through funding from the Massachusetts Clean Energy Center the Offeror is able to offer the 27 systems, including installation, at no cost to the Commonwealth. The Department intends to have the 27 Systems installed as soon as practicable, but reserves the right to acquire more Systems should funds become available. These Systems will not diminish any warranties associated with any vehicle, new or used.

The Department is posting this Notice rather than conducting a full procurement because the Department believes this opportunity represents best value to the Commonwealth and is utilizing this Due Diligence Posting to ensure that the process is open, fair and competitive.

Determination of Other Interested Vendors:

The intent of this posting is to determine if there are any other interested and qualifiedvendors. Any such vendors must:

· Submit documentation that they can provide a comparable or better offer

Vendors Interested in responding to this Notice must submit a Response that includes this information and provides evidence of their qualifications and interest. All required information must be submitted by 3:00PM (prevailing Eastern Time) on Tuesday, May 3, 2016 as follows:

· A hard copy of their Response to the following address:

Susan Smiley Massachusetts Executive Office of Energy and Environmental Affairs 100 Cambridge Street, 9th Floor Boston, MA 02114

OR

· An electronic copy of their Response by emailing their Response to Susan Smiley at susan.smiley@massmail.state.ma.us

If, after the posting deadline has passed, interest is generated by this Notice, the Department will review all Responses and will determine whether they will: (i) accept the offer from the Offeror; (ii) accept an offer from another Vendor; accept the offer from the Offeror and from another Vendor(s); or (iv) decline all offers.