Final_RFP_850_2600000265_1_SO_FORM.PDF

Document ID: RFP 850 2600000265 Page: 1

Commonwealth of Kentucky

SOLICITATION

Modification: No Version #:

TITLE: Tourism Development Act Applicant Financial Reviews

Date Issued:

02/23/2026 Record Date:

02/13/2026

Solicitation Closes Date:

04/08/2026 Time:

15:30

Solicitation No:

RFP 850 2600000265

Online Bidding Prohibited: No For Information Call:

Vickie Cravens 502-782-2646

Bid Receiving Location:

Bid Receiving

See Terms & Conditions for Bid Submission Instructions

Other KY

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: RFP 850 2600000265 Page: 2

Line Items

Commodity Group: Default

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

1 Tourism Development Act Applicant Financial Reviews

Comm Code Comm Description Manufacturer Model # Manuf Part #

94648 Financial Advisor

Extended Description Tourism Development Act Applicant Financial Reviews

Shipping Information Tourism Arts and Heritage Cabinet - Office of the Secretary Shipping 500 Mero Street, 5th Floor

Frankfort KY 40601

Billing Information Tourism Arts and Heritage Cabinet - Office of the Secretary Billing 500 Mero Street, 5th Floor

Frankfort KY 40601

Document ID: RFP 850 2600000265 Page: 3

Submission Checklist

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

Item

Revised May 2025

PROPOSAL SUBMISSION CHECKLIST

The vendor MUST include the following with the proposal submission.

If the items highlighted below are not submitted with the proposal submission, the Commonwealth MUST deem the proposal non-responsive and SHALL NOT consider for award.

All other items MUST be submitted prior to award.

_____ SIGNED AND COMPLETED SOLICITATION –Section(s) 8.00 and 8.10 of this RFP

(not required if submitting electronically)

_____ *PROPOSED SOLUTION (TECHNICAL) UNDER SEALED COVER AND BY

CLOSING DATE --Section(s) 8.00 and 8.10 of this RFP

_____ TRANSMITTAL LETTER – Section 8.20 of this RFP

_____ PROOF OF REGISTRATION WITH SECRETARY OF STATE BY A FOREIGN

ENTITY -- Section 8.00 of the Personal Service Contract Terms and Conditions of this

RFP

_____ REQUIRED AFFIDAVIT(S) – Section 8.20 of this RFP

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

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2600000265 Final Tourism Development Act Applicant Financial Reviews

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REQUEST FOR PROPOSAL

FOR

PERSONAL SERVICE CONTRACT

Cabinet/Agency: Tourism, Arts & Heritage Cabinet Title of RFP: Consultants to Estimate Potential Economic and Fiscal Impacts from Tourism Development Act Applications Solicitation Number: RFP 850 2600000265

This document constitutes a Request for Proposals for a Personal Service Contract from qualified individuals and organizations to furnish those services as described herein for the Commonwealth of Kentucky, Tourism, Arts & Heritage Cabinet (the “Cabinet”).

Offerors are advised that any personal service contract resulting from this RFP must comply with all applicable provisions of KRS 45A and KRS 12.210 prior to becoming effective.

A contract, based on this RFP, may or may not be awarded. Any contract award from this RFP is invalid until properly approved and executed by the Finance and Administration Cabinet and filed with the Legislative Research Commission, Government Contract Review Committee.

1.00 Purpose and Background

The Kentucky Tourism Development Act (KTDA) was passed by the Kentucky legislature in 1996 for the development, renovation or expansion of tourism projects (see Kentucky Revised Statutes (KRS) 148.850 through 148.860 at https://apps.legislature.ky.gov/law/statutes/ chapter.aspx?id=37710). The Kentucky Tourism Development Finance Authority (KTDFA) was created within the Tourism, Arts and Heritage Cabinet to administer the KTDA.

The KTDA allows for qualifying projects to recover up to 25 percent of development costs over a 10 year term through the recovery of incremental sales tax generated by the development. The recovery increases to up to 50 percent of development costs over a 20 year term for certain types of projects.

Every project applying for incentives must meet the statutory requirement for at least one of the following types of tourism development projects:

# Entertainment destination center project (KRS 148.851(10)), # Lodging facility project (KRS 148.851(15)), # Theme restaurant destination attraction project (KRS 148.851(19)) or # Tourism attraction project (KRS 148.851(20)).

A third party consultant is required to evaluate the applications to determine if the applicant will meet the requirements of the program. The Cabinet is seeking multiple vendors that can provide consulting services to evaluate KTDA applications. Up to three (3) contracts may be awarded under this RFP. The initial term of the Contract is from July 1, 2026 through June 30, 2028.

2.00 Scope of Work

The KTDA requires that a consultant determine if the proposed development is eligible for the incentives offered through this program.

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Total Pages: 24 https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=37710 https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=37710

As outlined in KRS 148.855, the consultant will review the information provided by the applicant, collect and analyze additional information and perform relevant statistical analysis it determines necessary to determine if the proposed tourism development project:

# Will attract the minimum required percent of out-of-state visitors;

# Will have costs in excess of the minimum amount required;

# Will have a net positive fiscal impact on the Commonwealth considering, among other factors, the extent to which the proposed tourism development project will compete directly with existing tourism attractions or previously approved tourism development projects in the Commonwealth and the amount by which increased tax revenues from the tourism development project will exceed the incentives given to the approved company at the maximum level of recovery of approved costs;

# Will produce sufficient revenues and public demand to be operating and open to the public for a minimum required number of days per year;

# Will not adversely affect existing employment in the Commonwealth; and # Meets all other requirements of KRS 148.851 and 148.853.

For a lodging facility project defined in KRS 148.851(15)(b), the consultant will also prepare an occupancy study to determine the percentage of rooms occupied by other lodging facilities with comparable accommodations as described in KRS 148.851(15)(b)(3) and those within a fifty (50) mile radius of the proposed lodging facility project.

In determining the amount of net positive fiscal impact to the Commonwealth for Kentucky Tourism Development Act (KTDA) projects that are an expansion of an existing KTDA tourism development project, the independent consultant shall not consider positive fiscal impacts from the following sources:

# Increased operations at the previously approved KTDA tourism development project that is being expanded;

# Increased operations at any other KTDA tourism development project approved for incentives;

or # Increased operations at any project approved for tax increment financing that includes state revenues approved pursuant to KRS 154.30.

At the start of a new tourism development project, the consultant is required to visit the site and meet with the applicant and Cabinet staff.

The methodology and assumptions to be used in preparing each report shall be specific to the proposed project and shall be approved by the Cabinet in consultation with staff from the Office of State Budget Director (OSBD) and the Finance and Administration Cabinet (FAC). Upon completion of the analysis, the consultant will discuss its findings with the Cabinet, OSBD and FAC staff. Multiple drafts of the analysis may be required. Based on the findings, the OSBD and FAC are required to issue a Certification of Net Positive Economic Impact resulting from the project.

The consultant will submit a full, written report and present their findings at a public meeting of the KTDFA. This presentation can be made in person or via video conferencing.

3.00 Evaluation Criteria

The Tourism, Arts & Heritage Cabinet shall conduct a comprehensive, fair, and impartial evaluation of all proposals. The Cabinet may reject any proposal that is incomplete or in which there are significant inconsistencies or inaccuracies. The Cabinet reserves the right to reject all proposals.

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The Cabinet has established a Proposal Evaluation Committee to review, evaluate and verify information submitted by the offeror.

Each vendor is responsible for submitting all relevant, factual and correct information with their offer to enable the evaluator(s) to afford each vendor the maximum score based on the available data submitted by the vendor.

The Cabinet shall evaluate the proposals by assigning scores as indicated.

Technical Proposal Evaluation The Tourism, Arts and Heritage Cabinet will evaluate the proposals based on the evaluation factors below. The vendor should include information demonstrating an understanding of the KTDA program. Response shall be based on the Scope of Work (Section 2.00) and should include the following:

Criteria Maximum Points Possible

Qualifications Provide a brief overview of the firm’s history, qualifications and relevant experience. The consultant team must have experience with economic and fiscal impact analysis, financial analysis and the tourism industry.

Describe the vendor’s experience in these fields.

Identify all individuals who will be participating in the consulting services and include their resumes or other documentation of their background and expertise with specific emphasis on economic and fiscal impact analysis, financial analysis and experience in the tourism industry.

If the vendor intends to utilize any subcontractors for this project, provide the name of the subcontractor, firm history, qualification and experience and name of any personnel to be utilized must be submitted, including resumes. Vendor shall assume any obligation for payment to any subcontractor.

Previous Experience Provide names and addresses of organizations with whom the vendor has previously contracted to provide similar services and provide a description of the services performed.

Provide at least one (1) and up to three (3) sample(s) of detailed economic impact or financial analysis reports for projects similar to those that may apply for incentives under the Kentucky Tourism Development Act. It is anticipated that the samples will not match the requirements of the Act.

Samples will be evaluated on their methodology, thoroughness, and clarity and not on how closely they match the requirements of the Act.

For reference, a sample report will, at a minimum, include:

# Name of client # Project overview # Analysis of all statutory requirements of the government for which it was prepared, if applicable # Market analysis

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# Comparable project analysis # Demand and revenue projections # Economic and fiscal impact analysis

Work Plan Provide a work plan, timeline and budget for a hypothetical KTDA project:

Construction of a new, full-service hotel with 125 rooms, 1 restaurant and 5,000 square feet of meeting space (project classified under KRS 148.851(15)(a))

The plan should clearly outline an approach to accomplish the analysis outlined in Section 2.00 – Scope of Work based on knowledge and experience with this type of study. Include information on data sources, methodology and economic impact model as well as a timeline for the analysis.

Include a proposed methodology for estimating new revenues to Kentucky resulting from the KTDA project. Since every project is unique, there is no one uniform methodology that can be applied. However, we would like to understand your approach to determine what share of revenues attributed to a project will be new to the state resulting from the proposed tourism investment.

Discuss the methodology to estimate the economic and fiscal impacts of construction as well as new visitor spending resulting from the proposed development. Only state level estimates are needed.

Discuss how the fiscal impact will be adjusted to account for competing and surrounding approved KTDA projects as well as tax increment financing (TIF) projects approved by the Cabinet for Economic Development (KRS 154.30).

Budget Provide a budget to complete the hypothetical project above.

A detailed report is required. It must clearly show the assumptions used in the analysis and the sources of that information. Reviewers need to be able to follow the analysis from chapter to chapter and table to table with a clear explanation of how the estimates are being derived and the sources of the data. The methodology of deriving the net new fiscal impact needs to be clear and include an explanation of how overlapping spending at other tourism and TIF projects is adjusted.

A presentation outlining the conclusions of the report will be made at the KTDFA meeting.

The budget should include the hours and rates for each staff member and/ or subcontractor.. For new tourism development projects, travel costs for the required site visit should be listed separately. All other anticipated costs for which reimbursement is expected should be identified.

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All authorized reimbursable expenses for travel and data shall be reimbursed on an out-of-pocket basis only. The vendor shall maintain supporting documents to substantiate invoices and claims for reimbursable expenses and shall furnish same if requested by the Commonwealth.

Maximum Points Possible 200

Cost Proposal Evaluation Neither the Commonwealth of Kentucky nor the Tourism, Arts & Heritage Cabinet will be responsible for any costs associated with the required consultant study for the KTDA. The cost of the consultant study is the responsibility of the applicant. The fee is charged to the applicant and transferred to the Cabinet to act as a pass through per the Kentucky Tourism Development Act. Work will not begin until the applicant has provided funds to cover the estimated cost. Upon completion of the analysis, funds will be transferred to the vendor.

Once a KTDA application receives preliminary approval from the KTDFA, the Tourism, Arts and Heritage Cabinet may request a proposal, cost estimate and timeline for completion from contracted vendor(s). The proposal that best meets the needs and requirements of the project will be selected.

The cost of each project will vary based on the complexity and timing of the project. The cost will be negotiated between staff, the applicant and the vendor.

Criteria Maximum Points Possible Not applicable 0 Maximum Points Possible 0

Oral Demonstration/Presentation Evaluation, if required

Criteria Maximum Points Possible

Oral Demonstration/Presentation The Commonwealth reserves the right to require Oral Presentations/Demonstrations to verify or expand on the Technical or Cost Proposals. Oral Presentations/ Demonstrations may be conducted through videoconferencing or by conference call, if it is in the best interest of the Commonwealth to do so. This is the opportunity for the vendor to present and demonstrate the solution and to answer questions or to clarify the understanding of the evaluation committee in accordance with the requirements of this RFP. The Commonwealth reserves the right to reject any or all proposals in whole or in part based on the oral presentations/demonstrations.

If required, the top 5 highest ranking vendors may be invited. Scheduling will be at the discretion of the Commonwealth. The Commonwealth reserves the right not to require oral presentations/demonstrations.

Maximum Points Possible 50

Total Proposal Evaluation

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Criteria Maximum Points Possible Technical Proposal 200

Cost Proposal Not applicable

Oral Demonstrations/Presentations, if required 50

MAXIMUM POINTS POSSIBLE

4.00 Schedule of RFP Activities

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

Release of RFP February 23, 2026

Written Questions Due by 3:00 PM March 4, 2026

Anticipated Commonwealth Response to Written Questions March 11, 2026

Offeror’s Conference March 19, 2026

Anticipated Commonwealth Response to Vendor Conference Written Questions

March 25, 2026

Proposals Due by 3:30 PM Eastern April 8, 2026

NOTE: ALL TIME REFERENCES ARE TO THE EASTERN TIME ZONE.

5.00 Offeror’s Conference

The Offeror’s Conference will be held via Zoom on March 19, 2026 at 11:00 AM Eastern.

Attendance is highly encouraged. This will be the only opportunity to ask oral questions. The Commonwealth shall not be bound by any oral answers to the questions presented at the Conference or oral statements made at any other time by any member of the Commonwealth’s staff. Salient questions asked at the Offeror’s Conference and the responses will be reduced to writing and issued in an Addendum that shall be posted to the eProcurement website. In the event of a conflict between oral answers or statements presented at the Conference and written responses in the Addendum, written responses in the Addendum shall control.

The zoom link for the Offeror’s conference is https://ky-gov-cot.zoom.us/j/82736163923?pwd=4EirE5jSl35EaJ12ncq2gZH7B1W0Ib.1 Meeting ID: 827 3616 3923 Passcode: 031326

6.00 Point of Contact

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

Vickie Cravens

500 Mero Street, 5th floor Frankfort, KY 40601 Telephone Number: (502) 545-8656

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Reviews https://ky-gov-cot.zoom.us/j/82736163923?pwd=4EirE5jSl35EaJ12ncq2gZH7B1W0Ib.1

E-mail address: vickie.cravens@ky.gov

From the issue date of this RFP until a Contractor(s) is selected and the selection is announced, Offerors shall not communicate with any other Commonwealth staff concerning this RFP.

7.00 Questions Regarding this RFP

Questions must be submitted in writing to the Agency Contact. The Commonwealth will respond to salient questions in writing by issuing an Addendum to the Solicitation. The Addendum shall be posted to the Commonwealth’s eProcurement page.

8.00 Proposal Submission

Proposals shall be received by electronic submission in the eProcurement system, Kentucky Vendor Self Service System.

An electronic proposal shall be authorized by the proper agent of the firm by the act of submitting it electronically through the eProcurement system.

Proposal information MUST be completed online. Response must contain all required information for the Solicitation. All bidders MUST be registered in the Commonwealth eProcurement System via the Vendor Self Service System at https://vss.ky.gov.

Allow 24 – 48 hours to complete Vendor Registration. Vendors must be logged in to their Vendor Self Service (VSS) account in order to submit a response. Registrations completed the day of bid closing must be completed by the Vendor in the VSS portal. The Customer Resource Center is not able to complete registrations and activate accounts on the same day. Closing dates will not be extended for Vendors not registered by the date/time of the bid closing.

All bidders are cautioned to begin their electronic submission in sufficient time to complete before the closing date and time. Delays due to technical difficulties or document upload impediments shall not be justification for acceptance of a late bid or proposal. Vendor attention to this advisory is encouraged. Instructions “How to Submit an Online Response for a Business Opportunity” are posted to Kentucky’s Vendor Self Service, https://vss.ky.gov.

If you need assistance, please contact the Customer Resource Center (CRC) by email at Finance.CRCGroup@ky.gov or phone 502-564-9641 or toll-free 877-973-HELP (4357).

Proposals shall be submitted in two (2) parts: The Technical Proposal and Proprietary Information. Each part shall consist of one document attachment. Do not submit multiple document attachments as Technical, Cost or Proprietary. All files shall be labeled accordingly. Attachments may not exceed 65,000 KB.

Proposals submitted online must be in an “Accepted” status and shall be assigned a date and time stamp from the eProcurement system at the time of final acceptance and formal submission by the vendor. The system will not allow submission of an online proposal after the published date and time for closing.

A proposal may be modified or withdrawn by electronic or written notice ONLY if received prior to the bid closing date and time. An electronic offer may be modified by applying the appropriate electronic signature and following the procedure in the state’s eProcurement signature.

Acknowledgment of Addenda It is the vendor's responsibility to check the web site for any modifications to this solicitation.

Vendors are encouraged to acknowledge each addendum by signing and submitting the latest

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Total Pages: 24 https://vss.ky.gov https://vss.ky.gov mailto:Finance.CRCGroup@ky.gov addendum with their response. However, 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 specifically acknowledge addenda will not excuse the vendor from adhering to all changes to the requirements of the solicitation set forth therein nor provide justification for any pricing changes.

All submitted technical proposals shall remain valid for a minimum of six (6) months after the proposal due date.

8.10 Format of Response

Electronic Proposals

Proposals shall be submitted in two (2) parts: the Technical Proposal and Proprietary Information. Each part shall consist of one document. Do not submit multiple documents as Technical or Proprietary.

1. Proposals must be submitted electronically in the eProcurement System, Kentucky Vendor Self Service site.

a. The Technical Proposal shall be submitted on one (1) document marked Technical

(in Microsoft Word, Microsoft Excel or PDF format ONLY). Do not include embedded documents, hyperlinks or hyperlinks to videos. The document should be named in the following manner: Technical – Name of offeror RFP number

b. Any Proprietary Information shall be submitted on one (1) document marked Proprietary (in Microsoft Word, Microsoft Excel or PDF format ONLY). Do not include embedded documents, hyperlinks or hyperlinks to videos. The document should be named in the following manner: Proprietary – Name of offeror RFP number

All proposals must be received no later than 3:30 PM Eastern on April 8, 2026.

All submitted Technical and Cost Proposals shall remain valid for a minimum of six (6) months after the proposal due date.

8.20 Format of Technical Proposal

The Technical Proposal must be arranged and labeled in the manner set forth below.

Transmittal Letter – a Transmittal letter shall be submitted on Offeror’s letterhead and signed by an agent authorized to bind the Offeror. The Transmittal letter shall include the following:

a. A statement that deviations are included, if applicable.

b. A statement that proprietary information is included, if applicable.

c. A statement that, if awarded a contract as a result of this Solicitation, the Offeror shall comply in full with all the requirements of the Kentucky Civil Rights Act, and shall submit all data required by KRS 45.560 to 45.640.

d. A sworn statement that, pursuant to KRS 11A.040, that Offeror has not knowingly violated any provisions of the Executive Branch Code of Ethics.

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e. A statement certifying that the price in this proposal was arrived at independently without collusion, consultation, communication, or agreement as to any matter relating to such prices with any other Offeror or with any competitor.

f. A statement affirming that the Offeror is properly authorized under the laws of the Commonwealth of Kentucky to conduct business in this state and will remain in good standing with the Office of the Kentucky Secretary of State for the duration of any awarded contract resulting from this Solicitation.

g. The name, address, telephone number and email address and website address, if available, of the contract person to serve as a point of contact for day-to-day operations.

h. Subcontractor information to include the name of the company, address, telephone number and contact name, if applicable.

i. Foreign entity’s organization number issued by the Secretary of State in a certificate of authority or a statement of foreign qualification, if applicable.

Completed and Signed Solicitation and Addenda – An authorized representative MUST complete and sign the Solicitation form and include the following:

a. “Vendor” box and “Payment” box should be completed.

b. Vendor shall indicate ownership type.

c. Vendor shall provide “FEIN” if applicable.

d. Vendor shall provide date the form is completed and signed.

e. Signed face of the most recent Addenda, if applicable.

Signed and Notarized Required Affidavit for Bidders or Offerors - available at the following link:

https://finance.ky.gov/office-of-the-secretary/Pages/finance-forms.aspx.

Signed and Notarized Required Affidavit for Bidders, Offerors and Contractors Claiming Resident Bidder Status – if applicable. Available at the following link:

https://finance.ky.gov/office-of-the-secretary/Pages/finance-forms.aspx.

*Offerors not claiming Resident Bidder Status need not submit this affidavit.

Signed and Notarized Required Affidavit for Bidders, Offerors and Contractors Claiming Qualified Bidder Status – if applicable. Available at the following link:

https://finance.ky.gov/office-of-the-secretary/Pages/finance-forms.aspx.

*Offerors not claiming Qualified Bidder Status need not submit this affidavit.

Response to the Technical Portion of the RFP – Please provide a detailed response to the technical requirements outlined in the Evaluation Criteria. No cost information shall be provided in the technical portion.

8.30 Format of Cost Proposal

Not applicable.

8.40 Certification Regarding Debarment and Suspension

In accordance with Federal Acquisition Regulation 52.209-5, the Offeror shall certify, by signing the Solicitation, that to the best of its knowledge and belief, the Offeror and/or its Principals is (are)

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For the purposes of this certification, “Principals”, means officers, directors, owners, partners, and persons having primary management or supervisory responsibilities within a business entity (e.g., general manager, plant manager, head of subsidiary, division, or business segment, and similar positions.

9.00 Rules of Procurement

To facilitate this procurement, various rules have been established. These are described in the following paragraphs.

Offerors should review and comply with the General Conditions and Instructions for Solicitation/ Contract listed under “Response to Solicitation” located on the eProcurement web page at https://finance.ky.gov/eProcurement/Pages/doing-business-with-the-commonwealth.aspx

The procurement process will provide for the evaluation of proposals and selection of the winning proposal in accordance with state law and regulations. KRS Chapter 45A of the Kentucky Model Procurement Code provides the regulatory framework for the procurement of services by state agencies.

9.10 Technical Proposal Evaluation

The Tourism, Arts & Heritage Cabinet will evaluate the proposal based on the technical portion of the Evaluation Criteria. Each Offeror is responsible for submitting all relevant, factual and correct information with their offer to enable the evaluator(s) to afford each vendor the maximum score based on the available data submitted by the Offeror. Past Offeror Performance may be considered in the award of this Contract. Offerors with a record of poor performance in the last twelve (12) months may be found non-responsible and ineligible for award.

9.20 Cost Proposal Evaluation

Not applicable.

9.30 Right to Reject/Waiver of Minor Irregularities

The Commonwealth reserves the right at its discretion to reject any and all offers. The Commonwealth also reserves the right at its discretion to waive informalities and minor irregularities in offers received.

9.40 Clarification of Proposals

The Commonwealth reserves the right at its discretion to request additional information as may reasonably be required for selection and to reject any proposals for failure to provide additional information on a timely basis.

The Commonwealth reserves the right to conduct discussions with any Offeror who has submitted a proposal to determine the Offeror’s qualifications for further consideration. Such discussions shall not disclose any information derived from proposals submitted by other Offerors.

9.50 Best and Final Offers

The Commonwealth reserves the right at its discretion to request a Best and Final Offer (BAFO) for technical and/or cost proposals. Offerors are cautioned to propose their best possible offers at

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Reviews https://finance.ky.gov/eProcurement/Pages/doing-business-with-the-commonwealth.aspx the outset of the process, as there is no guarantee that any Offeror will be allowed an opportunity to submit a Best and Final technical and/or cost offer.

9.60 Vendor Response and Public Inspection

This RFP specifies the format, required information and general content of proposals to be submitted in response to the RFP. The Tourism, Arts & Heritage Cabinet shall not disclose any portions of the proposals prior to contract award to anyone outside the Cabinet, representatives of the agency for whose benefit the contract is proposed, representatives of the federal government, if required, and the members of the evaluation committee. After a contract is awarded in whole or in part, the Commonwealth shall have the right to duplicate, use, or disclose all proposal data submitted by Offerors in response to this RFP as a matter of public record.

Any and all documents submitted by an Offeror in response to the RP shall be available for public inspection after contract award pursuant to the Kentucky Open Records Act, KRS 61.870 to 61.884 (“the Act”). When responding to a request to inspect records submitted in response to this RFP, the Commonwealth will not redact or withhold any information or documents unless the records sought are exempt from disclosure pursuant to KRS 61.878 or other applicable law. Similarly, no such documents shall be exempt from public disclosure, regardless of the Offeror’s designation of the information contained therein as “proprietary,” “confidential,” or otherwise, except in cases where the requested documents (or information contained therein) would be excluded from application of the Act under KRS 61.878(1)(c).

The Commonwealth of Kentucky shall have the right to use all system ideas, or adaptations of those ideas, contained in any proposal received in response to this RFP. Selection or rejections of the proposal will not affect this right.

9.70 Reciprocal Preference for Kentucky Resident Bidders and Preferences for a Qualified Bidder The scoring of bids/proposals is subject to the reciprocal preference for Kentucky resident bidders and preferences for a Qualified Bidder or the Department of Corrections, Division of Prison Industries (See KRS 45A.490(1), (2), 45A.492, 45A.494 and KAR 200 5:410).

Vendors not claiming resident bidder or qualified bidder status need not submit the corresponding affidavit.

Determining the residency of a bidder for purposes of applying a reciprocal preference

Any individual, partnership, association, corporation, or other business entity claiming resident bidder status shall submit the attached Required Affidavit for Bidders, Offerors and Contractors Claiming Resident Bidder Status as part of its response. The Tourism, Arts & Heritage Cabinet reserves the right to request documentation supporting a bidder’s claim of resident bidder status.

Failure to provide such documentation upon request shall result in disqualification of the bidder or contract termination.

As part of its response, a nonresident bidder shall submit its certificate of authority to transact business in the Commonwealth of Kentucky, Secretary of State. The location of the principal office identified therein shall be deemed the state of residency for that bidder. If the bidder is not required by law to obtain said certificate, the state of residency for that bidder shall be deemed to be that which is identified in its mailing address as provided in its bid.

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Preferences for Qualified Bidder or the Department of Corrections, Division of Prison Industries (200 KAR 5:410)

Pursuant to KRS 45A.470 and 200 KAR 5:410, Kentucky Correctional Industries will receive a preference equal to twenty (20) percent of the maximum points awarded to a bidder in a solicitation. In addition, the following “qualified bidders” will receive a preference equal to fifteen

(15) percent of the maximum points awarded to a bidder in a solicitation. New Vision Industries, Inc., any nonprofit corporation that furthers the purposes of KRS Chapter 163 and any qualified nonprofit agencies for individuals with severe disabilities as defined in KRS 45A.465(3). Any bidder claiming “qualified bidder” status, other than New Vision Industries, Inc., shall submit a notarized affidavit affirming that it meets the requirements to be considered a qualified bidder as part of its response to the solicitation (affidavit form included as part of this RFP). If requested, failure to provide documentation proving qualified bidder status to a public agency, if requested, may result in disqualification of the bidder or contract termination.

9.80 Negotiation

After conducting the evaluation to determine the best proposal received, the Tourism, Arts & Heritage Cabinet reserves the right to negotiate a fair and reasonable compensation based on the pricing submitted in the Offeror’s proposal. If the negotiations fail to reach an agreement on a fair and reasonable compensation rate, the Cabinet reserves the right to proceed to the next highest ranked proposal. Other terms and conditions relating to the technical and/or cost proposals may be negotiated at the sole discretion of the Commonwealth.

9.85 Best Interests of the Commonwealth

The Commonwealth will rank all proposals in the manner set forth in the Evaluation Criteria.

However, the Commonwealth reserves the right to reject any or all proposals in whole or in part before, during, or after negotiation based on the best interests of the Commonwealth.

CONTRACT AWARD, TERMS, AND CONDITIONS

10.00 Notification of Award

To view the award of contract(s), including the contractor(s) receiving the award(s) for this solicitation, access the Kentucky Vendor Self Service Site at:

Offerors can search for the solicitation title or number in the keyword search field or filter their search for only awarded solicitations by clicking on “Advanced Search” and changing the status to “awarded.” The award(s) information can be accessed by clicking on the details button of the solicitation and clicking the “Notice of Award” tab. It is the Offeror’s responsibility to review this information in a timely fashion. No other notification of the results of an Award of Contract will be provided to unsuccessful Offerors.

10.10 Beginning of Work

This Contract is not effective and binding until approved by the Secretary of the Finance and Administration Cabinet and filed with the Legislative Research Commission’s Government

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Reviews

Contract Review Committee. The Contractor shall not commence any billable work until a valid Contract has been fully executed. This Contract, including the components referenced in Section 10.20, 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.

10.20 Contract Components and Order of Precedence

The Commonwealth’s acceptance of the Contractor’s offer in response to the Solicitation, indicated by the issuance of a Contract Award, shall create a valid contract between the Parties consisting of the following:

1. Procurement Statutes, Regulations and Policies

2. Any written Agreement between the Parties.

3. Any Addenda to the Solicitation.

4. The Solicitation and all attachments

5. Any Best and Final Offer.

6. Any clarifications concerning the Contractor’s proposal in response to the Solicitation.

7. The Contractor’s proposal in response to the Solicitation.

In the event of any conflict between or among the provisions contained in the Contract, the order of precedence shall be as enumerated above.

10.30 Contract Term and Renewal Option

The initial term of the Contract is anticipated to be from July 1, 2026 through June 30, 2028.

This agreement is not effective until the Secretary of the Finance and Administration Cabinet or his authorized designee has approved the Contract and until the Contract has been filed with the Legislative Research Commission, Government Contract Review Committee.

The Commonwealth reserves the right to renew this contract for up to two (2) additional two (2) year periods.

Renewal shall be subject to prior approval from the Secretary of the Finance and Administration Cabinet, or this authorized designee, and the LRC Government Contract Review Committee in accordance with KRS 45A.695 and KRS 45A.705.

10.40 Changes and Modifications to the Contract

Pursuant to 200 KAR 5:311, no modification or change of any provision in the Contract shall be made, or construed to have been made, unless such modification is mutually agreed to in writing by the Contractor and the Commonwealth, and incorporated as a written amendment by the Tourism, Arts & Heritage Cabinet prior to the effective date of such modification or change. Modification shall be subject to prior approval from the Secretary of the Finance and Administration Cabinet, or this authorized designee, and the LRC Government Contract Review Committee. Memoranda of Understanding, written clarification, and/or other correspondence shall not be construed as amendments to the Contract.

10.50 Notices

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Unless otherwise instructed, all notices, consents, and other communications required and/or permitted by the Contract shall be in writing. After the award of the Contract, all communications of a contractual or legal nature are to be made to the Agency Contact.

10.60 Artificial Intelligence (AI)

Vendor agrees to adhere to CIO-126 Artificial Intelligence Policy.pdf, which includes but is not limited to, the required written disclosure, in advance, of every use of generative AI and/ or integrations with generative AI system. Vendor agrees to disclose all parts of contracted work that is expected to be or will be performed with the assistance of AI. Further, Vendor understands and agrees to take appropriate measures to ensure Generative AI shall not be used for any activities that are illegal or in violation of state policy, COT policy, or agency policy per CIO-126. Vendors may not use Commonwealth confidential or internal data in generative AI queries or for building or training proprietary generative AI programs unless explicitly approved in writing by the agency head with consultation from the COT Chief Information Officer. Vendor agrees to provide reasonable written notice of any issue of noncompliance with these requirements.

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Reviews https://technology.ky.gov/policies-and-procedures/PoliciesProcedures/CIO-126%20Artificial%20Intelligence%20Policy.pdf

Personal Service Contract Standard Terms and Conditions Revised August 2025

Whereas, the first party, the state agency, has concluded that either state personnel are not available to perform said function, or it would not be feasible to utilize state personnel to perform said function; and

Whereas, the second party, the Contractor, is available and qualified to perform such function; and

Whereas, for the abovementioned reasons, the state agency desires to avail itself of the services of the second party;

NOW THEREFORE, the following terms and conditions are applicable to this contract:

1.00 Effective Date

This contract is not effective until the Secretary of the Finance and Administration Cabinet or his authorized designee has approved the contract and until the contract has been submitted to the Legislative Research Commission, Government Contract Review Committee (“LRC”). However, in accordance with KRS 45A.700, contracts in aggregate amounts of $10,000 or less are exempt from review by the committee and need only be filed with the committee within 30 days of their effective date for informational purposes.

KRS 45A.695(7) provides that payments on personal service contracts and memoranda of agreement shall not be authorized for services rendered after government contract review committee disapproval, unless the decision of the committee is overridden by the Secretary of the Finance and Administration Cabinet or agency head if the agency has been granted delegation authority by the Secretary.

The Commonwealth will make payment within thirty (30) working days of receipt of contractor's invoice or of acceptance of goods and/or services in accordance with KRS 45.453 and KRS 45.454.

Payments are predicated upon successful completion and acceptance of the described work, services, supplies, or commodities, and delivery of the required documentation. Invoices for payment shall be submitted to the agency contact person or its representative.

2.00 Renewals

Upon expiration of the initial term, the contract may be renewed in accordance with the terms and conditions in the original solicitation. Renewal shall be subject to prior approval from the Secretary of the Finance and Administration Cabinet or his authorized designee and the LRC Government Contract Review Committee in accordance with KRS 45A.695 and KRS 45A.705, and contingent upon available funding.

3.00 LRC Policies

Pursuant to KRS 45A.725, LRC has established policies which govern rates payable for certain professional services. These are located on the LRC webpage https://apps.legislature.ky.gov/ moreinfo/Contracts/homepage.html and would impact any contract established under KRS 45A.690 et seq., where applicable.

4.00 Choice of Law and Forum

This contract shall be governed by and construed in accordance with the laws of the Commonwealth of Kentucky. Any action brought against the Commonwealth on the contract, including but not

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2600000265 Final Tourism Development Act Applicant Financial Reviews

Total Pages: 24 https://apps.legislature.ky.gov/moreinfo/Contracts/homepage.html limited to actions either for breach of contract or for enforcement of the contract, shall be brought in Franklin Circuit Court, Franklin County, Kentucky in accordance with KRS 45A.245.

5.00 Cancellation

The Commonwealth shall have the right to terminate and cancel this contract at any time not to exceed thirty (30) days' written notice served on the Contractor by registered or certified mail.

6.00 Funding Out Provision

The state agency may terminate this contract if funds are not appropriated to the contracting agency or are not otherwise available for the purpose of making payments without incurring any obligation for payment after the date of termination, regardless of the terms of the contract. The state agency shall provide the Contractor thirty (30) calendar days’ written notice of termination of the contract due to lack of available funding.

7.00 Reduction in Contract Worker Hours

The Kentucky General Assembly may allow for a reduction in contract worker hours in conjunction with a budget balancing measure for some professional and non-professional service contracts.

If under such authority the agency is required by Executive Order or otherwise to reduce contract hours, the agreement will be reduced by the amount specified in that document. If the contract funding is reduced, then the scope of work related to the contract may also be reduced commensurate with the reduction in funding. This reduction of the scope shall be agreeable to both parties and shall not be considered a breach of contract.

8.00 Authorized to do Business in Kentucky

The Contractor affirms that it is properly authorized under the laws of the Commonwealth of Kentucky to conduct business in this state and will remain in good standing to do business in the Commonwealth of Kentucky for the duration of any contract awarded.

The Contractor shall maintain certification of authority to conduct business in the Commonwealth of Kentucky during the term of this contract. Such registration is obtained from the Secretary of State, who will also provide the certification thereof.

Registration with the Secretary of State by a Foreign Entity 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:

https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=40424 therefore, foreign entities should submit a copy of their certificate with their solicitation response.

If the foreign entity is not required to obtain a certificate as provided in KRS 14A.9-010:

https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=44318 , the foreign entity should identify the applicable exception in its solicitation response. Foreign entity is defined within KRS 14A.1-070:

https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=50474

Businesses can register with the Secretary of State at:

https://www.sos.ky.gov/bus/business-filings/Pages/default.aspx

9.00 Invoices for fees

The Contractor shall maintain supporting documents to substantiate invoices and shall furnish same if required by state government. The invoice must conform to the method described in Section V of this contract.

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Total Pages: 24 https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=40424 https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=44318 https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=50474 https://www.sos.ky.gov/bus/business-filings/Pages/default.aspx

Pursuant to KRS 45A.695, no payment shall be made on any personal service contract unless the individual, firm, partnership, or corporation awarded the personal service contract submits its invoice for payment on a form established by the committee.

*Invoice form is available on the Legislative Research Commission, Government Contract Review Committee website: https://apps.legislature.ky.gov/moreinfo/Contracts/homepage.html

10.00 Travel expenses, if authorized

The Contractor shall be paid for no travel expenses unless and except as specifically authorized by the specifications of this contract or authorized in advance and in writing by the Commonwealth.

The Contractor shall maintain supporting documents that substantiate every claim for expenses and shall furnish same if requested by the Commonwealth.

11.00 Other expenses, if authorized herein

The Contractor shall be reimbursed for no other expenses of any kind, unless and except as specifically authorized within the specifications of this contract or authorized in advance and in writing by the Commonwealth.

If the reimbursement of such expenses is authorized, the reimbursement shall be only on an out-of-pocket basis. Request for payment of same shall be processed upon receipt from the Contractor of valid, itemized statements submitted periodically for payment at the time any fees are due. The Contractor shall maintain supporting documents that substantiate every claim for expenses and shall furnish same if requested by the Commonwealth.

12.00 Purchasing and specifications

The Contractor certifies that he/she will not attempt in any manner to influence any specifications to be restrictive in any way or respect nor will he/she attempt in any way to influence any purchasing of services, commodities or equipment by the Commonwealth of Kentucky.