NWCA RFP Comments Responses Pouring Rights RFP.pdf

ADDENDUM NO. 2

RESPONSES TO RFP COMMENTS

Response Issued: February 13, 2025

R24-004SY

Pouring Rights National Western Center Authority

Contact

Jessica Koenig, Manager of Contracts & Procurements 4701 Marion Street, Suite 401

Denver, CO 80212 303.775.3322 j.koenig@nationalwesterncenter.com

Responses to RFP Comments

1. Do you have a projected equipment need for each location (coolers, bar guns, fountains), and will there be a need for vending across the campus?

Fountain – approximately 10 (Complex & LVC) Bar guns – approximately 20 (Complex, LVC, and Legacy) Single Door coolers – approximately 15 Double Door coolers – approximately 30

Vending – TBD

2. Could you share current attendance (including the Coliseum) and growth projections?

Additionally, what is today’s concession revenue?

The Coliseum concessions are not part of this scope, however, it includes rodeo branding of assets.

The attendance is roughly one million attendees.

2024 concession revenue was $7.6M.

Attached is a Pro Forma with projections.

3. Would you be able to connect us with the Director of Marketing and Initiatives, as well as the Director of Community Engagement, to further explore collaboration opportunities in these areas?

This would not be possible until after the selection of the proposer.

4. Please confirm if the proposer’s (Swire Coca-Cola) RFP submission date to NWS is 2/18/25 at 11:59am:

Yes, that is correct.

5. Please confirm if the last date to submit questions regarding the RFP to your email address is 2/7/25 at 11:59AM:

Yes, that is correct.

6. Please add context to “including after-hours equipment service” on page 16 of the RFP and include possible timeframe of after-hours service/expectations

The intention of that statement is to ensure that service is available should equipment fail during an event.

7. What are the volume projections for water?

Approximately 25,000 units.

8. Please add the value $ for each of the following below:

We do not provide our rate card; the partnership is a collection of assets. We do not provide a price per asset.

Value of Assets $:

Attendance 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 Equestrian Center 9,947 9,947 10,226 10,511 10,806 11,604 12,435 13,391 14,390 15,465 Legacy 159,605 217,487 222,279 227,186 233,736 240,474 247,380 254,529 261,857 261,857 Livestock Center 230,161 242,214 255,069 263,719 272,194 280,957 290,017 299,387 309,076 309,076 Triangle 270,179 379,586 401,797 452,602 467,227 482,342 497,948 514,097 530,760 530,760 Stockyards Event Center (SYEC) & the Yards 70,000 70,700 71,407 72,121 72,842 73,571 74,306 75,049 75,800 76,558 WSSA 700,000 735,000 771,750 810,338 850,854 893,397 938,067 984,970 1,000,000 1,000,000 Total 1,439,892 1,654,934 1,732,528 1,836,477 1,907,660 1,982,345 2,060,153 2,141,424 2,191,883 2,193,716

Event Per Cap Equestrian Center 14.20$ Legacy 14.20$ Livestock Center 14.20$ Triangle 14.20$ Stockyards Event Center (SYEC) & the Yards 14.20$

WSSA 10.53$

late 2027, Stock Show 2028 Year # 2027 2028 2029 20230 2031 2032 2033 2034 2035 2036 Concessions, portables, exhibition space, catering Sales (Revenue) $18,871,466.40 19,815,039.72$ 20,805,791.71$ 21,846,081.29$ 22,938,385.36$ 24,085,304.62$ 25,289,569.85$ 26,554,048.35$ 27,881,750.76$ 29,275,838.30$

Food 15,097,173.12$ 15,852,031.78$ 16,644,633.36$ 17,476,865.03$ 18,350,708.28$ 19,268,243.70$ 20,231,655.88$ 21,243,238.68$ 22,305,400.61$ 23,420,670.64$ Liquor 1,321,002.65$ 1,387,052.78$ 1,456,405.42$ 1,529,225.69$ 1,605,686.97$ 1,685,971.32$ 1,770,269.89$ 1,858,783.38$ 1,951,722.55$ 2,049,308.68$ Beer 1,132,287.98$ 1,188,902.38$ 1,248,347.50$ 1,310,764.88$ 1,376,303.12$ 1,445,118.28$ 1,517,374.19$ 1,593,242.90$ 1,672,905.05$ 1,756,550.30$ Wine 1,132,287.98$ 1,188,902.38$ 1,248,347.50$ 1,310,764.88$ 1,376,303.12$ 1,445,118.28$ 1,517,374.19$ 1,593,242.90$ 1,672,905.05$ 1,756,550.30$ Other Operating Income 188,714.66$ 198,150.40$ 208,057.92$ 218,460.81$ 229,383.85$ 240,853.05$ 252,895.70$ 265,540.48$ 278,817.51$ 292,758.38$ Total Sales (Revenue) 18,871,466.40$ 19,815,039.72$ 20,805,791.71$ 21,846,081.29$ 22,938,385.36$ 24,085,304.62$ 25,289,569.85$ 26,554,048.35$ 27,881,750.76$ 29,275,838.30$

Cost of Sales Food 4,529,151.94$ 4,755,609.53$ 4,993,390.01$ 5,243,059.51$ 5,505,212.49$ 5,780,473.11$ 6,069,496.77$ 6,372,971.60$ 6,691,620.18$ 7,026,201.19$ Liquor 277,410.56$ 291,281.08$ 305,845.14$ 321,137.39$ 337,194.26$ 354,053.98$ 371,756.68$ 390,344.51$ 409,861.74$ 430,354.82$ Beer 283,072.00$ 297,225.60$ 312,086.88$ 327,691.22$ 344,075.78$ 361,279.57$ 379,343.55$ 398,310.73$ 418,226.26$ 439,137.57$ Wine 237,780.48$ 249,669.50$ 262,152.98$ 275,260.62$ 289,023.66$ 303,474.84$ 318,648.58$ 334,581.01$ 351,310.06$ 368,875.56$

Total Cost of Sales 5,327,414.96$ 5,593,785.71$ 5,873,475.00$ 6,167,148.75$ 6,475,506.19$ 6,799,281.50$ 7,139,245.57$ 7,496,207.85$ 7,871,018.24$ 8,264,569.15$

Gross Profit 13,544,051.44$ 14,221,254.01$ 14,932,316.71$ 15,678,932.54$ 16,462,879.17$ 17,286,023.13$ 18,150,324.28$ 19,057,840.50$ 20,010,732.52$ 21,011,269.15$ Labor

Management 1,509,717.31$ 1,585,203.18$ 1,664,463.34$ 1,747,686.50$ 1,835,070.83$ 1,926,824.37$ 2,023,165.59$ 2,124,323.87$ 2,230,540.06$ 2,342,067.06$ Staff 5,284,010.59$ 5,548,211.12$ 5,825,621.68$ 6,116,902.76$ 6,422,747.90$ 6,743,885.29$ 7,081,079.56$ 7,435,133.54$ 7,806,890.21$ 8,197,234.72$ Employee Benefits/Taxes 1,792,789.31$ 1,882,428.77$ 1,976,550.21$ 2,075,377.72$ 2,179,146.61$ 2,288,103.94$ 2,402,509.14$ 2,522,634.59$ 2,648,766.32$ 2,781,204.64$

Total Labor 8,586,517.21$ 9,015,843.07$ 9,466,635.23$ 9,939,966.99$ 10,436,965.34$ 10,958,813.60$ 11,506,754.28$ 12,082,092.00$ 12,686,196.60$ 13,320,506.43$

Prime Cost 13,913,932.18$ 14,609,628.79$ 15,340,110.22$ 16,107,115.74$ 16,912,471.52$ 17,758,095.10$ 18,645,999.85$ 19,578,299.85$ 20,557,214.84$ 21,585,075.58$

Other Controllable Expenses:

Direct Operating Expenses 754,858.66$ 792,601.59$ 832,231.67$ 873,843.25$ 917,535.41$ 963,412.18$ 1,011,582.79$ 1,062,161.93$ 1,115,270.03$ 1,171,033.53$ Music and Entertainment 188,714.66$ 198,150.40$ 208,057.92$ 218,460.81$ 229,383.85$ 240,853.05$ 252,895.70$ 265,540.48$ 278,817.51$ 292,758.38$ Marketing 188,714.66$ 198,150.40$ 208,057.92$ 218,460.81$ 229,383.85$ 240,853.05$ 252,895.70$ 265,540.48$ 278,817.51$ 292,758.38$ Utilities 566,143.99$ 594,451.19$ 624,173.75$ 655,382.44$ 688,151.56$ 722,559.14$ 758,687.10$ 796,621.45$ 836,452.52$ 878,275.15$ General & Administrative Expenses 377,429.33$ 396,300.79$ 416,115.83$ 436,921.63$ 458,767.71$ 481,706.09$ 505,791.40$ 531,080.97$ 557,635.02$ 585,516.77$ Repairs & Maintenance 283,072.00$ 297,225.60$ 312,086.88$ 327,691.22$ 344,075.78$ 361,279.57$ 379,343.55$ 398,310.73$ 418,226.26$ 439,137.57$

Total Other Controllable Expenses: 2,358,933.30$ 2,476,879.97$ 2,600,723.96$ 2,730,760.16$ 2,867,298.17$ 3,010,663.08$ 3,161,196.23$ 3,319,256.04$ 3,485,218.85$ 3,659,479.79$

Controllable Income: 2,598,600.92$ 2,728,530.97$ 2,864,957.52$ 3,008,205.39$ 3,158,615.66$ 3,316,546.45$ 3,482,373.77$ 3,656,492.46$ 3,839,317.08$ 4,031,282.93$

Non-Controllable Expenses:

Equipment Leases 188,714.66$ 198,150.40$ 208,057.92$ 218,460.81$ 229,383.85$ 240,853.05$ 252,895.70$ 265,540.48$ 278,817.51$ 292,758.38$ Depreciation & Amortization 37,742.93$ 39,630.08$ 41,611.58$ 43,692.16$ 45,876.77$ 48,170.61$ 50,579.14$ 53,108.10$ 55,763.50$ 58,551.68$ Total Non-Controllable Expenses: 226,457.60$ 237,780.48$ 249,669.50$ 262,152.98$ 275,260.62$ 289,023.66$ 303,474.84$ 318,648.58$ 334,581.01$ 351,310.06$

Restaurant Operating Income 2,372,143.33$ 2,490,750.49$ 2,615,288.02$ 2,746,052.42$ 2,883,355.04$ 3,027,522.79$ 3,178,898.93$ 3,337,843.88$ 3,504,736.07$ 3,679,972.87$

Interest Expense 490,658.13$ 515,191.03$ 540,950.58$ 567,998.11$ 596,398.02$ 626,217.92$ 657,528.82$ 690,405.26$ 724,925.52$ 761,171.80$ Other (income)Expense 56,614.40$ 59,445.12$ 62,417.38$ 65,538.24$ 68,815.16$ 72,255.91$ 75,868.71$ 79,662.15$ 83,645.25$ 87,827.51$ Net Income Before Income Taxes 1,824,870.80$ 1,916,114.34$ 2,011,920.06$ 2,112,516.06$ 2,218,141.86$ 2,329,048.96$ 2,445,501.40$ 2,567,776.48$ 2,696,165.30$ 2,830,973.56$ Net Income Before Income Taxes % 9.67% 9.67% 9.67% 9.67% 9.67% 9.67% 9.67% 9.67% 9.67% 9.67%

Pro Forma Income Statement

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