Final_RFB_605_1900000430_1_SO_FORM.PDF

Document ID: RFB 605 1900000430 Page: 1 of 3

Commonwealth of Kentucky

SOLICITATION

Addenda: No Addenda #:

TITLE: Liquid Asphalt 2019

Date Issued:

1/22/19 Record Date:

2019-01-22

Solicitation Closes Date:

2/12/19 Time:

10:00

Solicitation No:

RFB 605 1900000430

Online Bidding Prohibited: Yes

For Information Call:

Jennifer Houchin 502-782-3977

Bid Receiving Location:

KYTC Division of Purchases Bid Clerk 200 Mero Street 4th Floor Frankfort KY 40622

Vendor Customer Number:

Vendor Name:

Phone Number:

Fax Number:

Email Address:

Ordering

Address:

City, State, Zip:

Contact Name:

Contact Email:

Contact Phone Number:

Payment

Address:

City, State, Zip:

Contact Name:

Contact Email:

Contact Phone Number:

Ownership Type

__ Sole Proprietorship __ Partnership __ Corporation __ Other_________________________

SIGNATURE OF AUTHORIZED AGENT IS REQUIRED UNLESS RESPONSE

IS SUBMITTED ELECTRONICALLY. FAILURE TO SIGN SHALL RENDER

THE BID INVALID.

Signature X_________________________________________ FEIN#____________________ Date____________

All offers subject to all terms and conditions contained in this solicitation.

Document ID: RFB 605 1900000430 Page: 2 of 3

Line Items

Commodity Group: Default Commodity Group

Line CL Description Quantity UOM Unit Cost Line Total or Contract Amnt

1 Liquid Asphalt 0.00000 TON

Comm Code Comm Description Manufacturer Model # Manuf Part #

74512 Asphalt, Oil

Extended Description Vendors shall enter bid prices on the attached bid sheets.

SEE SECTION 1.05 FOR NEW ASPHALT ADJUSTMENT LANGUAGE AND FORMULA.

Shipping Information Various Shipping

See Extended Description

Various KY

Billing Information Various Billing

See Extended Description

Various KY

Document ID: RFB 605 1900000430 Page: 3 of 3

Submission Checklist

The following items will be required to be submitted with bid:

Item See section 5.00 for evaluation criteria.

Vendors can use this website to view bid opportunities for the Commonwealth. Vendors with an account can update their company information (addresses, contact persons, etc) and sign up to receive email notifications of bid opportunities. New to VSS – vendors will be able to download and print copies of contracts and view payment history. All Vendors must login to activate their account and to select the commodity code(s) associated with your business in order to receive future email notifications.

Vendors are not required to register in order to view bid opportunities, submit a bid, or to receive an award. You can use Guest Access.

If you should need assistance with logging into the new system, please contact the Finance Customer Resource Center at 877-973-4357 or Finance.CRCGroup@ky.gov.

The vendor include the following with the bid submission.

If the items below are not submitted with the bid, the Commonwealth deem the bid non-responsive and SHALL NOT be considered for award.

_____ FACE OF SOLICITATION – SIGNED (See Section 3.04)

_____ BID SHEETS - COMPLETED (Attachments)

All other items be submitted prior to award.

_____ CERTIFICATE OF AUTHORITY – REGISTRATION WITH SECRETARY OF STATE

BY FOREIGN ENTITY (See Section 2.21)

_____ REQUIRED AFFIDAVIT(S) (See Attachments A, C, D, etc. as applicable)

_____ AGENCY PREFERENCE (Attachment B)

Document Description Page 3

1900000430 Liquid Asphalt 2019 of 35 https://emars311.ky.gov mailto:Finance.CRCGroup@ky.gov http://finance.ky.gov/services/policies

There is a potential that federal funds could be used on the resulting contracts.

Therefore FHWA 1273 requirements (with the exception of Davis Bacon) and Buy American requirement section 106.04 from the 2012 Standard Specifications for Road and Bridge Construction shall be required on this solicitation and resulting awards. Prevailing Wages (Davis Bacon) do not apply since this is a commodity not a service.

Except as provided herein, conform to all requirements of the Kentucky Transportation Cabinet’s 2012 Standard Specifications for Road and Bridge Construction. Section references herein are to the Cabinet’s 2012 Standard Specifications. The term “Vendor” in this Contract shall be understood to be synonymous with the term “Contractor” in the Standard Specifications.

A link to the Standard Drawings can be found at:

https://transportation.ky.gov/Highway-Design/Pages/2016-Standard-Drawings.aspx

A link to the Standard Specifications can be found at:

https://transportation.ky.gov/Construction/Pages/Kentucky-Standard-Specifications.aspx

A link to Approved Materials – Producer Numbers:

https://transportation.ky.gov/Materials/pages/List-Of-Approved-Materials.aspx

Deliver all liquid asphalt materials and Vendor’s storage tanks, with the transportation charges prepaid, to any point in each county in the Commonwealth of Kentucky, which is proposed on the bid forms and indicated on subsequent Delivery Orders.

Except as provided herein, furnish materials in Groups 1 through 6 conforming to Section 806.

GROUP 1 - Emulsified Asphalt, RS-2

Document Description Page 4

1900000430 Liquid Asphalt 2019 of 35

GROUP 2 - Emulsified Asphalt, AE-200 GROUP 3 - Emulsified Asphalt, SS-1h GROUP 4 - Emulsified Asphalt, HFMS-2 GROUP 5 - Emulsified Asphalt, HFRS-2 GROUP 6 - Polymer-Asphalt Emulsion (Cationic), CRS-2P

All liquid asphalt materials shall be accepted according to Section 806 and the current procedures established by the Department of Highways, Division of Materials. A copy of the Vendor’s bill-of-lading/loading ticket is required with each shipment. The alternate method of acceptance described in Section 806 by sampling and testing after delivery of the materials shall not apply.

The Vendor shall be responsible for any related unsatisfactory performance as determined by the Engineer. Such responsibility may result in no payment for the emulsified asphalt and reimbursement to the Transportation Cabinet for lost materials, labor, and equipment charges due to the unsatisfactory performance.

Invoice to the Transportation Cabinet any adjustments due according to the price adjustment schedules in Subsections 806.04 and 806.05, as applicable. Issue a Credit Memorandum to the affected District Office, Attention: Bookkeeper.

The method of delivery will be at the discretion of the Chief District Engineer or his authorized representative:

Delivered – Deliver the liquid asphalt material by transport tank trucks f.o.b.

destination to any point in each county in the Commonwealth of Kentucky.

Picked Up – Deliver the liquid asphalt material directly into State vehicles f.o.b. the Vendor’s local plants or storage tanks located at the delivery points listed on the bid forms. Provide facilities for loading and weighing the materials delivered into State vehicles at the Vendor’s terminal.

Vendor’s Storage Tank – When requested by the Engineer, furnish a Vendor-owned storage tank(s) f.o.b. destination to any point in each county. Relocate the tank as requested by the Engineer; however, the Engineer will not request relocations of less than 10 miles. No heating

Document Description Page 5 equipment will be required in the Vendor’s storage tank(s). Railroad tank cars will not be considered storage tanks where transport tank truck deliveries are to be made. Storage tanks must be approved, and prior approval must be granted, before any shipment is made. The location of the storage tanks shall be as directed by the Engineer.

Deliver the liquid asphalt material at such a time, location, and in tanker truck lots of approximately 5,400 gallons as directed by the Chief District Engineer or his authorized representative. When a delivery request is made, there shall be an agreed-upon time for the arrival of the material. The Engineer will allow a minimum of 16 hours after the receipt of the order for the initial delivery. Verbal orders will be confirmed by written requests for delivery. Do not exceed the legal or authorized truck weight limits.

Deliver the Vendor-owned storage tank(s) at such a time, location, and in such a quantity as directed by the Chief District Engineer or his authorized representative.

When a delivery request is made, there shall be an agreed-upon time for the arrival of the tank. Unless agreed otherwise by the Vendor when the order is placed, the Engineer will allow a minimum of 72 hours after the receipt of the order for delivery.

Verbal orders will be confirmed by written requests for delivery.

Any cancellation of the agreed-upon delivery time by either the Vendor or Engineer shall be made at least six (6) hours prior to the agreed-upon time.

The Vendor or Carrier shall notify the Chief District Engineer or his authorized representative of any anticipated delay in delivery in excess of two hours. Failure to notify the Chief District Engineer of any delay in excess of two hours may constitute grounds for refusing delivery of the material.

Allow one and one-half hours of free time for unloading the transport tank trucks. Any time required in excess of the free time, unless directly chargeable to the Carrier’s own equipment or an error on the part of the Carrier’s personnel, may be charged as demurrage at the rate of $12.50 per quarter hour (15 minutes), or fractional part thereof. The Engineer will determine the length of unloading time from the time the Carrier’s truck arrives at the specified delivery location, ready to unload, to the time when all connections are removed, the necessary shipping documents executed, and the Carrier’s truck is ready to depart.

At the time of delivery, substantiate all charges for demurrage with the amount of time and reason for the delay being shown on the weight ticket or bill-of-lading copy which is signed and retained by the receiving Department of Highways personnel.

Document Description Page 6

Invoices for demurrage submitted by the Vendor which cannot be substantiated in this manner will not be processed for payment.

If a Vendor fails to make the requested deliveries as set forth above, the Division of Purchases may exercise the option of canceling the Contract and purchase the material not furnished by the Vendor from another source. All costs and expenses in excess of the stipulated Contract amounts will be charged to the defaulting Vendor and may be deducted from any money due him at the time of the default.

The Vendor will not be held responsible for failure to deliver the liquid asphalt material if the failure is due to an act beyond his control, such as availability of raw materials, a general strike, war, flood, tornado, etc. Immediately submit written proof to the Chief District Engineer and Director of the Division of Purchases that the failure to deliver was beyond the Vendor’s control.

The Department of Highways’ storage tanks and maintenance lots will be made available for unloading the Vendor’s transport tank trucks on a 24-hour basis insofar as is consistent with the Department’s operations.

Delivered and Picked Up – Liquid asphalt material will be measured in gallons according to Section 109.

Vendor’s Storage Tank – A delivery day will be measured for each tank(s) for each day that a transport tank truck delivery is made in the county where the Chief District Engineer requests that a tank be placed.

The Department will compare the Kentucky Average Price Index (KAPI) for the month the contract is bid to the month that the Department picks up the material or has it delivered by the vendor to determine the percent change. When the average price of the liquid asphalt increases or decreases more than five percent, the Department will adjust the Contractor's compensation using a line item for “Asphalt Adjustment”.

The line item for “Asphalt Adjustment” will not be bid, but the unit price shall be set at $1.00. When the five percent threshold is met, it is the vendor’s responsibility to calculate the adjustments and include those amounts as a separate line on the invoices for the materials picked up or delivered. The KAPI is calculated monthly using the average price, per ton at the terminal, from the active suppliers of liquid asphalt. Asphalt content will be calculated at sixty percent in all groups on this contract. The Department will determine the price adjustment using the following

Document Description Page 7 formulas:

Asphalt Adjustment Quantity = (G x 0.6)/240 x (PC – PL)

Where:

G = Gallons of material picked up or delivered PL = KAPI for the month that the contract is let PC = KAPI for the month of adjustment

The adjustment schedule is as follows:

Month Let February 2019 Contract Effective Date March 1, 2019

An asphalt adjustment calculator (spreadsheet) has been attached to the header. Vendors shall use the calculator to figure the asphalt adjustment amount prior to submitting the invoice. When submitting the invoice for payment the vendor shall note the adjustment amount and include a copy of the calculator spreadsheet.

Delivered and Picked Up – Payment for liquid asphalt materials purchased hereunder will be made at the bidder’s quoted price per gallon as proposed on the attached bid form upon the submission to the receiving agent of the proper invoices for the materials delivered and accepted.

Charges for material and demurrage must be invoiced as separate line items on the same invoice. Payment will be made based on the total quantity received times the unit price for each item on the Delivery Order. Unless otherwise specified, payment will not be made for partial deliveries accepted. NO PAYMENT WILL BE MADE FOR

THAT PORTION OF ANY LOAD THAT EXCEEDS THE LEGAL OR AUTHORIZED LOAD

LIMIT.

Vendor’s Storage Tank – Payment for the Vendor’s storage tank will be at the agreed price of $50.00 per delivery day and shall be full compensation for delivering the tank(s) to any point in each county in the Commonwealth of Kentucky, relocating the tank as requested by the Engineer, and removing the tank when liquid asphalt deliveries are completed.

When the materials fail to meet specifications and are rejected by the Engineer, the Vendor shall pay the return freight, demurrage, and all other charges resulting from

Document Description Page 8 the failure.

The KYTC Division of Purchases issues this Master Agreement on behalf of Division of Maintenance for: Liquid Asphalt 2019

The Commonwealth’s acceptance of the offer indicated by the issuance of an Award by the KYTC Division of Purchases shall create a valid Master Agreement consisting of the following:

1. The written Master Agreement between the Parties;

2. Any Addenda to the Solicitation;

3. Any provisions of the Solicitation and all attachments thereto;

4. The Bidder’s response to the Solicitation, and

5. The Kentucky Revised Statutes KRS 45A.

In the event of an inconsistency between provisions of the solicitation, the inconsistency shall be resolved by giving precedence in the following order: (a) the Specifications; (b) other provisions of the Solicitation, whether incorporated by reference or otherwise; (c) Contract or Master Agreement Terms and Conditions; (d) FAP 110-10-00 – General Conditions and Instructions for Solicitations and Contracts.

The Master Agreement will begin March 1, 2019 and extend through February 28, Not Applicable

Document Description Page 9

This contract shall be for use by the following Divisions/Agencies of the Commonwealth:

Vendors who wish to provide this commodity to other state agencies and/or political subdivisions of the Commonwealth of Kentucky (including cities of all classes, counties and school districts) shall indicate their preference on Attachment B.

Other state agencies are required to obtain permission from the Finance Cabinet Office of Procurement Services before use (Section 2.25). KYTC will modify the authorized users of the contract and notify you of these changes. Vendors shall not provide material to other state agencies unless they are specifically listed on the contract.

Per Section 2.26, if vendors agree to allow Political Subdivisions to use the contract, they may begin using the contract immediately upon award.

This Solicitation designates specific contractual responsibilities to Transportation Cabinet offices and personnel. If contracts are used by political subdivision and state agencies other than the Transportation Cabinet, such responsibilities will be assumed by the user agency. All billing and payments for materials purchased from an agreement (s) resulting from this solicitation will be directly between the user agencies and vendors.

No shipments or services are authorized until an official Delivery Order has been fully processed by an authorized agency.

Any and all quantities mentioned in this solicitation are purely estimates, and are not to be implied nor inferred as being guarantees. The State is obligated to buy only that quantity needed by its agencies during the term of the contract. Requirements may exceed the quantities shown and the contractor will be required to furnish all requirements shown on Delivery Orders dated during the life of the contract.

Document Description Page 10

2.06 Exception to Required Use of Contract

The establishment of this Master Agreement is not intended to preclude the use of similar products when requested by the agency. The Commonwealth of Kentucky reserves the right to acquire large requirements through other competitive processes.

2.07 Basis of Price Revisions

The KYTC Division of Purchases reserves the right to add new and similar items, with the consent of the vendor, to the contract. If an addition is agreeable to both parties, the KYTC Division of Purchases will issue a Modification. Until such time as the vendor receives a Modification, the vendor shall not accept Delivery Orders from any agency referencing such items or services.

During the period of the contract, a modification shall not be permitted in any of its conditions and specifications, unless the contractor receives electronic or written approval from the KYTC Division of Purchases. If the contractor finds at any time that existing conditions make modification in requirements necessary, the contractor shall report the matter promptly to the KYTC Division of Purchases for consideration and decision. All contract modifications shall be subject to the provisions of 200 KAR 5:311.

Quotations of unit prices on this solicitation shall be F.O.B. Destination to the receiving agency. The vendor shall be fully responsible for all shipments and freight charges involved to the ordering agency. The responsibility for filing freight claims lies with the vendor.

The Division of Purchases Buyer identified below shall be the sole point of contact throughout the procurement process. All communications, oral and written (regular, express, or electronic mail) concerning this procurement shall be submitted to:

Document Description Page 11

Jennifer Houchin, CPPB Division of Purchases Kentucky Transportation Cabinet Phone: 502-782-3977 E-mail: Jennifer.Houchin@ky.gov

From the issue date of this solicitation until a Contractor(s) is selected and the selection is announced, Offerors are not permitted to communicate with any Commonwealth staff concerning this solicitation

After the award of a contract, all programmatic communications are to be made to the Agency Contact Person identified in the contract document with a copy to the Division of Purchases Buyer.

After the Award of a contract, all communications of a contractual or legal nature are to be made to the KYTC Division of Purchases Buyer.

All supplies, equipment and services shall be subject to inspection or tests by the Commonwealth prior to acceptance. In the event supplies, equipment or services are defective in material or workmanship or otherwise not in conformity with specified requirements, the Commonwealth shall have the right to reject the items or services or require acceptable correction at the vendor’s expense.

Invoices, if required, shall be prepared and transmitted to the agency receiving the goods or services. One copy shall be marked "original" unless otherwise specified.

Each invoice shall contain at least the following information:

Contract and order number;

Item numbers;

Description of supplies or services;

Sizes;

Quantities

Document Description Page 12 mailto:Jennifer.Houchin@ky.gov

Unit prices;

Extended totals; and Asphalt Adjustment Calculator Spreadsheet

The vendor shall be paid, upon the submission of proper invoices to the receiving agency at the prices stipulated for the supplies delivered and accepted, or services rendered. Unless otherwise specified, payment will not be made for partial deliveries accepted. Payments will be made within thirty (30) working days after receipt of goods and vendor’s invoice in accordance with KRS 45.453 and KRS 45.45A. A penalty payment of one percent (1%) per month shall be added to the amount due the vendor for each full or partial month that the payment exceeds 30 working days.

The Master Agreement shall represent the entire agreement between the parties.

Prior negotiations, representations, or agreements, either written or oral, between the parties hereto relating to the subject matter hereof shall be of no effect upon this contract. Unless, contractually provided, the Commonwealth shall not be required to enter into nor sign further agreements, leases, company orders or other documents to complete or initiate the terms of the contract. Any such documents so obtained will be non-binding on the State and be cause for breach of contract.

All services performed under contract shall be in accordance with the terms and conditions of the contract. It will be the agency’s responsibility to ensure that such services rendered are performed and are acceptable.

The relationship between the State and the Contractor is that of client and independent Contractor. No agent, employee, or servant of the Contractor or any of its subcontractors shall be or shall be deemed to be an employee, agent, or servant of the State for any reason. The Contractor will be solely and entirely responsible for its acts and the acts of its agents, employees, servants and subcontractors during the performance of this Contract.

Deviations of services performed will not be made without the written approval of the KYTC Division of Purchases. Problems that arise under any aspect of

Document Description Page 13 performance should first be resolved between the vendor and the agency. If such problems and/or disagreements cannot be resolved they should be referred to the KYTC Division of Purchases for mediation.

The vendor shall not assign this Master Agreement in whole or in part to another vendor at any time during the initial or optional renewal terms of the contract, without the consent, guidance and approval of the Commonwealth. Any assignment hereunder entered into, subsequent to the execution of the contract with the prime vendor, must be annotated and approved by the Commonwealth. Any purported assignment without this consent shall be null and void.

A contract may be terminated for default by the vendor, for the convenience of the Commonwealth, or for lack of appropriation in accordance with 200 KAR 5:312.

The Contractor shall not refer to the Award of Contract in commercial advertising in such a manner as to state or imply that the firm or its services are endorsed or preferred by the Commonwealth of Kentucky.

Pursuant to KRS 45A.480(1)(b), an agency, department, office, or political subdivision of the Commonwealth of Kentucky shall not award a state contract to a person that is a foreign entity required by KRS 14A.9-010 to obtain a certificate of authority to transact business in the Commonwealth (“certificate”) from the Secretary of State under KRS 14A.9-030.

For all foreign entities required to obtain a certificate of authority to transact business in the Commonwealth, if a copy of the certificate is not received within the time specified by the Division of Purchases, the foreign entity’s solicitation response may be deemed non-responsive. If the foreign entity is not required to obtain a certificate as provided in KRS 14A.9-010, the foreign entity should identify the applicable exception in its solicitation response. Foreign entity is defined within KRS 14A.1-070.

Vendors are required to remain in active and good standing during the life of the contract.

Document Description Page 14

1900000430 Liquid Asphalt 2019 of 35 http://www.lrc.ky.gov/KRS/014A09/010.PDF http://www.lrc.ky.gov/KRS/014A09/030.PDF

Discrimination (because of race, religion, color, national origin, sex, sexual orientation, gender identity, age, or disability) is prohibited. This section applies only to contracts utilizing federal funds, in whole or in part. During the performance of this contract, the contractor agrees as follows:

1. The contractor will not discriminate against any employee or applicant for employment because of race, religion, color, national origin, sex, sexual orientation, gender identity or age. The contractor further agrees to comply with the provisions of the Americans with Disabilities Act (ADA), Public Law 101-336, and applicable federal regulations relating thereto prohibiting discrimination against otherwise qualified disabled individuals under any program or activity. The contractor agrees to provide, upon request, needed reasonable accommodations. The contractor will take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, religion, color, national origin, sex, sexual orientation, gender identity, age or disability. Such action shall include, but not be limited to the following; employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensations; and selection for training, including apprenticeship.

The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this non-discrimination clause.

2. The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, religion, color, national origin, sex, sexual orientation, gender identity, age or disability.

3. The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice advising the said labor union or workers' representative of the contractor's commitments under this section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. The contractor will take such action with respect to any subcontract or purchase order as the administering agency may direct as a means of enforcing such provisions, including sanctions for noncompliance.

4. The contractor will comply with all provisions of Executive Order No. 11246 of

Document Description Page 15 https://secure.kentucky.gov/sos/ftbr/welcome.aspx

September 24, 1965 as amended, and of the rules, regulations and relevant orders of the Secretary of Labor.

5. The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, as amended, and by the rules, regulations and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records and accounts by the administering agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations and orders.

6. In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of the said rules, regulations or orders, this contract may be cancelled, terminated or suspended in whole or in part and the contractor may be declared ineligible for further government contracts or federally-assisted construction contracts in accordance with procedures authorized in Executive Order No. 11246 of September 24, 1965, as amended, and such other sanctions may be imposed and remedies invoked as provided in or as otherwise provided by law.

7. The contractor will include the provisions of paragraphs (1) through (7) of section 202 of Executive Order 11246 in every subcontract or purchase order unless exempted by rules, regulations or orders of the Secretary of Labor, issued pursuant to section 204 of Executive Order No. 11246 of September 24, 1965, as amended, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the administering agency may direct as a means of enforcing such provisions including sanctions for noncompliance; provided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States.

Sales of tangible personal property or services to the State of Kentucky and its agencies are not subject to state sales or use taxes.

This contract may be extended at the termination of all contract renewal periods for additional time not to exceed . This extension must be accompanied by the

Document Description Page 16 written approval of the vendor and the Division of Purchases

The Division of Purchases reserves the right, with the consent of the vendor, to offer this master agreement to other state agencies who may have need for the product(s) and/or service(s). Each state agency must obtain prior approval from the Finance Cabinet Office of Procurement Services.

The Division of Purchases reserves the right, with the consent of the vendor, to offer this master agreement to political subdivisions and local government entities who may have need for the product(s) and/or service(s). Prior approval from the Finance Cabinet is not required.

The contractor, as defined in KRS 45A.030 (9) agrees that the contracting agency, the Finance and Administration Cabinet, the Auditor of Public Accounts, and the Legislative Research Commission, or their duly authorized representatives, shall have access to any books, documents, papers, records, or other evidence, which are directly pertinent to this contract for the purpose of financial audit or program review. Records and other prequalification information confidentially disclosed as part of the bid process shall not be deemed as directly pertinent to the contract and shall be exempt from disclosure as provided in KRS 61.878(1)(c). The contractor also recognizes that any books, documents, papers, records, or other evidence, received during a financial audit or program review shall be subject to the Kentucky Open Records Act, KRS 61.870 to 61.884.

The Finance and Administration Cabinet may inspect the place of business of the Vendor or any sub Vendor under the master Agreement contract awarded or to be awarded by the Commonwealth. In accordance with KRS 45A.150, the Finance and Administration Cabinet may audit the books and records of any person who has submitted cost or pricing data under KRS 45A.120 at any time until three years from the date of final payment under the prime contract, and by any subcontractor for a period of three years from the date of final payment under the subcontract. Such books and records shall be maintained by the contractor for a period of three years from the date of final payment under the contract and by any subcontractor for a period of three years from the date of final payment under the subcontract. The Finance and Administration Cabinet shall be entitled to audit the books and records

Document Description Page 17 of a contractor or any subcontractor under any negotiated contract or subcontract other than a firm fixed-price type contract, provided, however, that this provision shall not limit the right to audit stated above. Such books and records shall be maintained by the contractor for a period of three years from the date of final payment under the prime contract and by the subcontractor for a period of three years from the date of final payment under the subcontract. The contractor shall place such the same audit requirement in any agreement it may have with a subcontractor under this contract.

This Contract shall be governed by and construed in accordance with the laws of the Commonwealth of Kentucky and any litigation with respect to this Contract shall be brought in state or federal court in Franklin County, Kentucky in accordance with

KRS 45A.

The Division of Purchases is the only office authorized to change, modify, amend, alter, or clarify the specifications, terms and conditions of this RFB.

The Division of Purchases contact named below shall be the sole point of contact throughout the procurement process. All communications, oral and written (regular mail, express mail, electronic mail, or fax), concerning this procurement shall be addressed to:

Jennifer Houchin, CPPB 502 / 782-3977 Fax – 502 / 564-7069 E-mail Jennifer.Houchin@ky.gov

From the issue date of this RFB until a Contractor(s) is selected and the selection is announced, Offerors are not allowed to communicate with any Commonwealth Staff concerning this RFB except:

(a) The sole point of contact cited in this RFB; or

(b) Via written questions submitted to the sole point of contact

Document Description Page 18

Potential bidders should clearly understand that any verbal representations made or assumed to be made during any oral discussions held between representatives of potential bidders and any State employee or official are not binding on the Commonwealth of Kentucky.

This provision does not preclude bidders who presently hold contracts with the Commonwealth from communicating with state agencies regarding existing contracts.

The following schedule presents the major activities associated with the RFB distribution, written questions, and bid submission. The Commonwealth reserves the right at its sole discretion to change the Schedule of Activities, including the associated dates and times.

Deadline for written questions

All questions shall submitted in writing by the date and time specified. No questions shall be accepted after the date listed unless the question(s) is considered material to the procurement. Oral questions will not be accepted at any time except for bid procedural clarifications. The Commonwealth will respond to salient questions in writing by issuing an Addendum to the Solicitation.

2/4/2019 by Noon

Commonwealth’s response to written questions

The Addendum shall be posted to the Commonwealth’s e-Procurement web site.

2/5/2019 by 4:00pm

Bids due by 10:00 AM Notice to Vendors:

All bidders are cautioned to be aware of the security in the Transportation Office Center located at 200 Mero Street in Frankfort, KY. All bids shall be time-stamped in the Division of Purchases no later than the due date and time defined in this Solicitation. In-person or courier delivered bids in response to this Solicitation should be delivered to the 4th

Floor, East. Delays due to building security checks shall not be justification for acceptance of a late bid.

See page 1 for closing date.

Document Description Page 19

Tentative Award Date 3/1/2019 NOTE: All times referenced are Eastern Time Zone

The Commonwealth wants each prospective Offeror to have full and complete information on which to base a bid response. Only information presented or referred to in this RFB and any additional written information that is supplied by the Division of Purchases shall be used by Offerors in preparing a response to this RFB.

The Solicitation and any Addenda shall be posted to the e-Procurement web site at https://emars311.ky.gov

Please note: It is not necessary to register to access the solicitations. Unregistered vendors can access the solicitations by clicking on guest access.

Click Guest Access- located on the left of the screen, You will be taken directly to list of solicitations organized by closing date.

– Keyword Search - Vendors can use the keyword field search to narrow your search. Type in keyword and click the advanced search button, select status open then click the go button or click the next button to page through all the open solicitations.

Click the details button under the RFB/RFP document number

On the Solicitation front page, fill in your complete address along with a telephone

Document Description Page 20 https://emars311.ky.gov number, fax number, and e-mail address in the vendor box.

No hard copy bid shall be considered valid unless filled out in ink or typewritten and signed in ink in the space provided on the Solicitation. The vendor should complete the “Vendor” box on the face of the solicitation. An authorized representative of the vendor shall sign where indicated on the face of the solicitation. If the solicitation is not signed the proposal shall be deemed non-responsive.

Vendors shall submit one (1) signed original of the solicitation response under sealed cover, which shall be received no later than the date and time indicated on the face of this solicitation. Any response received after this date and time and returned unopened to the Bidder. Any response not under sealed cover

The Commonwealth defines SEALED as “a closure that must be broken to be opened and that thus reveals tampering”. (Merriam-Webster Dictionary, http://www.merriam-webster.com/dictionary/seal)

Bid Responses shall be addressed and submitted to:

Include in bid response, any Addenda, and all Attachment Forms included in this solicitation.

Document Description Page 21 http://www.merriam-webster.com/dictionary/seal

All bids shall remain valid for a minimum of ninety (90) calendar days after the bid closing date.

It is the vendor’s responsibility to check the website for any modifications to this solicitation. Signing the face of the solicitation as indicated above constitutes the vendor’s acknowledgement of and agreement to be bound by the terms of all addenda issued. Failure to acknowledge a modification shall cause the bid to be considered non-responsive, unless waived in accordance with 200 KAR 5:306.

Acknowledgment of the most recent modification shall constitute acknowledgment of all prior modifications.

If an Addendum posts, the acknowledgment shall be received prior to the hour and date specified for receipt of offers on the most recent version of the Solicitation.

An offer may be modified by electronic or facsimile notice, if notice is received prior to the hour and date specified for receipt of offers. An electronic or facsimile modification shall not mention unit prices or total price; but shall only refer to percentage change or numerical change.

An offer may be modified or withdrawn by electronic or written notice received prior to the hour and date specified for receipt of offers. An offer may also be withdrawn in person by an offeror or his authorized representative, if his identity is made known and he signs a receipt for the offer, but only if the withdrawal is made prior to the hour and date set for receipt of offers.

Click Guest Access- located on the left of the screen. You will be taken directly to list of solicitations organized by closing date.

Vendors can search for the solicitation title or number in the keyword search field, or can filter their search by only awarded solicitations by clicking on Advanced Search and .

The Award(s) information can be accessed by clicking on the Details button of the solicitation and clicking the Notice of Award tab. To see all bidders’ pricing click

Document Description Page 22 on the Public Bid Reading tab. The Public Bid Reading Tab will not be visible until the buyer has finalized the evaluation and an award has been made.

Vendors are cautioned that changes made to the solicitation other than in the designated fields for response shall render the response invalid and result in a non-responsive bid. Otherwise, it will be considered that items offered are in strict compliance with these specifications, and the successful bidder shall be held responsible for delivering materials that meet these specifications. Any exceptions shall be marked as such within the body of the bid and explained on a separate page.

The Commonwealth is not bound to accept any exceptions.

Unless otherwise specified, brands and specifications referenced in this solicitation are meant to establish a minimum standard of quality only. Bidders may bid brands/specifications they consider to be equal by specifying the brand(s)/specifications and inserting the brand name(s), model number(s), etc. on which they are bidding. Bids offering “equal” products/specifications will be considered for award if such products are clearly identified in the bid and are determined by the State to meet or exceed fully the minimum essential specifications and salient characteristics referenced in the Solicitation. Bids that contain products/specifications that fail to meet the minimum essential requirements shall be deemed non-responsive.

Bidders who propose alternate brands/specifications should enclose descriptive literature with their bids so that the equality can be verified. Failure to enclose sufficient literature may result in a non-responsive bid. If the brands are not changed, the contract will be written accordingly and the successful bidder shall be required to deliver the brands/specifications stated in the solicitation.

Unless otherwise indicated in the bid, it is understood and agreed that any item offered or shipped on this bid shall be new and the latest or current model year and be in first class condition. Any unit failing to meet the foregoing requirements shall be returned to the contractor, at their expense, and replaced with a new unit.

The Commonwealth recognizes rapid advancement of technology. If the bidder can provide new equipment of advanced technology after the award of contract, the Commonwealth and bidder may choose by mutual agreement to install such

Document Description Page 23 equipment. The price of the new technology equipment cannot exceed the cost of the award contract.

In accordance with KRS 45A.105, this Solicitation may be canceled at any time and for any reason, or all bids rejected, if it is determined in writing that such action is in the best interest of the Commonwealth. Receipt of an offer by the Commonwealth or submission of a bid to the Commonwealth confers no rights upon the Offeror nor obligates the Commonwealth in any manner. RFB cancellations will be posted to the e-Procurement web site at: https://emars311.ky.gov

Click Advanced Search, Under Status Select Cancelled from the dropdown and click Go.

In accordance with KAR 5:306 the Commonwealth reserves the right to request clarification of bid responses and/or waive minor irregularities in bids providing such action is in the best interest of the Commonwealth.

Where the Commonwealth may waive minor irregularities, such waiver shall in no way modify the RFB requirements or excuse the Offeror from full compliance with the RFB specifications and other requirements if the Offeror is awarded the contract.

In accordance with KRS 45A.340, the contractor represents and warrants, and the Commonwealth relies upon such representation and warranty, that it presently has

Document Description Page 24

1900000430 Liquid Asphalt 2019 of 35 http://finance.ky.gov/services/policies no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of the contract. The contractor further represents and warrants that in the performance of the contract, no person, including any subcontractor, having any such interest shall be employed.

In accordance with KRS 45A.340 and KRS 11A.040 (4), the contractor agrees that it shall not knowingly allow any official or employee of the Commonwealth who exercises any function or responsibility in the review or approval of the undertaking or carrying out of this contract to voluntarily acquire any ownership interest, direct or indirect, in the company prior to the completion of the contract.

Pursuant to KRS 45A.485, contractors are required to reveal final determinations of violation of certain statutes incurred within the last five years and be in continuous compliance with those statutes during the contract. Where applicable, the vendor is required to complete and submit Report of Prior Violations of Tax and Employment Laws.

Pursuant to KRS 45A.285 the Secretary of the Finance and Administration Cabinet, or his designee, shall have authority to determine protests and other controversies of actual or prospective Offerors in connection with the solicitations or selection for award of a contract.

Any actual or prospective Offeror or Contractor, who is aggrieved in connection with solicitation or selection for award of a contract, may file a protest with the Secretary of the Finance and Administration Cabinet. A protest or notice of other controversy must be filed promptly and in any event within two (2) calendar weeks after such aggrieved person knows or should have known of the facts giving rise thereto (See Section 3.07—E-Procurement Award Notification). All protests or notices of other controversies must be in writing and shall be addressed to:

Office of the Secretary Finance and Administration Cabinet 702 Capital Avenue, Room 383 Frankfort, Kentucky 40601 Tel: 502 / 564-4240

The Secretary of Finance and Administration Cabinet shall promptly issue a decision

Document Description Page 25 in writing. A copy of that decision shall be mailed or otherwise furnished to the aggrieved party and shall state the reasons for the action taken.

The decision by the Secretary of the Finance and Administration Cabinet shall be final and conclusive.

Best Value – Ranking Approach The Commonwealth intends to award a Contract to the Vendor, whose offer, conforming to the Solicitation, is the most advantageous on the basis of "best value" for all products, services, and requirements contained herein. Multiple contracts may be awarded from this solicitation to ensure every Kentucky county has a contract for these materials. KYTC reserves the right to reject any or all prices as excessive.

GROUP 1 - Emulsified Asphalt, RS-2 GROUP 2 - Emulsified Asphalt, AE-200 GROUP 3 - Emulsified Asphalt, SS-1h GROUP 4 - Emulsified Asphalt, HFMS-2 GROUP 5 - Emulsified Asphalt, HFRS-2 GROUP 6 - Polymer-Asphalt Emulsion (Cationic), CRS-2P

Delivered – Master agreements will be awarded to the responsible bidder based on the low unit price bid per gallon proposed for each county for each group of material.

Best Value will be determined solely by price.

Picked Up – Master agreements will be awarded to all responsible bidders. Best Value for individual Delivery Orders will be determined by the sum of the bidder’s picked-up terminal price plus the assumed cost of the Department of Highways’ haul calculated at fifteen cents ($0.15) per ton-mile from the Vendor’s terminal to the mid-point of the project or Department’s storage tank location, as applicable. The Chief District Engineer will be responsible for all calculations and will issue the Delivery Order to the low bidder thus calculated.

Vendor’s Storage Tank – Master agreements will be awarded to each responsible bidder awarded a Contract for delivered liquid asphalt material at an agreed price of $50.00 per delivery day.

Include any applicable Superfund Tax in the unit price bid per gallon. The Transportation Cabinet will not be responsible for the payment of any Superfund Tax

Document Description Page 26 not included in the unit price bid.

Include any applicable sales or use taxes in the unit price bid per gallon when bidding “pick up” at locations outside the Commonwealth of Kentucky. The Transportation Cabinet will not be responsible for the payment of any sales or use tax to another state not included in the unit price bid.

The Department of Highways reserves the right to approve a Vendor’s facilities before a Contract is awarded. Provide the Division of Materials 30 days notice when shipments are anticipated from a facility that did not ship to the Department of Highways the previous year.

Propose only one unit price per gallon for each group of liquid asphalt materials for each county or shipping point on this Invitation. Determine the single best offering based on the group specified. The Transportation Cabinet will reject bids not conforming to this requirement.

Bid prices must be firm. Bid prices subject to qualifications may be rejected as non-responsive.

As used in KRS 45A.490 to 45A.494:

(1) "Contract" means any agreement of a public agency, including grants and orders, for the purchase or disposal of supplies, services, construction, or any other item;

and

(2) "Public agency" has the same meaning as in KRS 61.805.

The General Assembly declares:

(1) A public purpose of the Commonwealth is served by providing preference to Kentucky residents in contracts by public agencies; and

(2) Providing preference to Kentucky residents equalizes the competition with other states that provide preference to their residents.

(1) Prior to a contract being awarded to the lowest responsible and responsive bidder

Document Description Page 27 on a contract by a public agency, a resident bidder of the Commonwealth shall be given a preference against a nonresident bidder registered in any state that gives or requires a preference to bidders from that state. The preference shall be equal to the preference given or required by the state of the nonresident bidder.

(2) A resident bidder is an individual, partnership, association, corporation, or other business entity that, on the date the contract is first advertised or announced as available for bidding:

(a) Is authorized to transact business in the Commonwealth; and

(b) Has for one (1) year prior to and through the date of the advertisement, filed Kentucky corporate income taxes, made payments to the Kentucky unemployment insurance fund established in KRS 341.490, and maintained a Kentucky workers' compensation policy in effect.

(3) A nonresident bidder is an individual, partnership, association,…