Request_For_Proposals.docx

REQUEST FOR PROPOSALS (RFP)

LEASE OF CITY OF EDINBURG PROPERTY AND

OPERATION OF ITS DRAG STRIP (RACETRACK)

AT SOUTH TEXAS INTERNATIONAL AIRPORT AT EDINBURG

City of Edinburg (“City”) owns and operates South Texas International Airport at Edinburg on which a one hundred fifty-eight (158) acres section of non-aeronautical property (“Premises”) is for lease. Located on the property are abandoned pavements configured for quarter-mile drag racing and customer parking. The City is seeking proposals from a qualified organization or individual(s) (“Proposer”) to maintain the Premises and operate the Drag Strip. Proposer shall be an active member in good standing with National Hot Rod Association (NHRA), International Hot Rod Association (IHRA), or other recognized drag racing sanctioning body. The intent of this RFP is to determine the most qualified Proposer who will also operate the Drag Strip to the best benefit of the community and provide revenue to the Airport’s fund.

Scope of Services

The selected Proposer shall manage all facilities and daily racetrack operations, ensure compliance with all sanctioning body’s applicable rules & regulations, equipment requirements, and industry & City safety standards, provide sufficient qualified and trained staff, manage events and advertisements, provide required financial reporting prescribed by the City, and pay to the City revenue sharing, fees, charges, and rents on a monthly basis net 30 days.

1. Premises. One hundred fifty-eight acres including the Drag Strip (abandoned taxiway), spectator viewing area along the racetrack, one access portal to the property from US281/I-69C, abandoned runway pavement to be used for spectator vehicle parking.

The following improvements are included with the Premises:

· Quarter-mile asphalt track

· Control Tower in its current condition

· Two (2) Spectator Seating Bleachers

· Two (2)Ticket Booths

· One (1) Concession Stand

Premises/Drag Strip DOES NOT include the following assets currently on site, but the awarded Proposer should provide similar assets or if possible enter into an agreement with their current owner to provide them along the Drag Strip:

· Compulink Timing System – Compulink main computer with TURE WIN Race Program, two data display monitors, One Announcer Monitor, two race results printers, one scoreboard interface, one Christmas Tree interface, one Compulink Christmas Tree, all downtrack infrared photocells, (from start to finish), all wiring and connections meeting Compulink specifications along and across the racetrack, One Qualifying Terminal.

· Bleachers - 15 Sets accommodating 2,320 seating capacity

· Bottom Section Track Guardrail – 5,400 Linear Feet Long including Safety Rails in Gas Station Area.

· Office Building – 512 SF, two office areas, one storage area, one lobby, one full bath, one water heater, A/C Unit and office desks.

· Control Tower Equipment – One (1) Sound Equipment, Two (2) microphones, One (1) FM Radio Station Transmitter Unit, One (1) Window A/C Unit, Storage Area (below) overhead coiling door.

· E.T. Booth – One (1) 10,000 Pound Weight scale with Concrete Pad.

· VHT Applicator Cart

· Gas Station Infrastructure (Tanks Not Included)

· Three (3) 1,000-gallon Tanks

· Track Preparation Equipment – One Buffalo Turbine Jet Blower, One Billy Goat Blower, One Butane Tank and Burner

· Warehouse / Shop 416 SF – Tools, Mobile Fire Suppression System, CO², Powder and Water Fire Extinguishers, Two (2) Exterior Roof Canopies, Concrete Pad.

· Fencing – Wood & Metal fencing, Metal Gates.

· Pitside Ticket Booths.

Proposer awardee will be required to constantly maintain and operate respectively the entirety of the Premises outlined in Exhibit “A” because of its adjacency to the Airport’s air operations area. Proposer awardee will have no other access to any City/Airport property outside of the Exhibit A area and is especially prohibited from entering the air operations area for any reason.

2. Shared Premises.

A. The City reserves the right to use the premises, or authorize the use of the premises to another party, when there is no event scheduled at the Drag Strip.

3. Agreement. Any subsequent agreement resulting from this RFP shall be carried out under a separate accord between the City and Proposer awardee. The City reserves the right to negotiate with any respondent to ensure that the City enters into the best possible contract benefitting itself and the public.

4. Insurances. In addition to other requirements, the operator will be required to carry insurance policies that meet City requirements and name City of Edinburg as an additional insured on such policies.

A. Must adhere to drag racing sanctioning body’s prescribed insurance standards,

a. Wavier and Release From Liability

With respect to racing events at drag racing sanctioning bodies’-associated venues, the track operator must maintain a guaranteed system of regularly secured signed Waiver and Release forms from all participants allowed to enter restricted areas and to prevent restricted area credentials from being issued before participants have properly signed and executed the Waiver and Release form. For minor participants drivers (under eighteen (18) years of age) the member track must have a system to secure Minor Waiver and Release forms signed by the parent(s) or legal guardian(s) of each minor participant driver.

b. Where used, the policy must include the following definitions:

Restricted area may not be more inclusive than the advance staging area, burn out area, competition area, shut down area, staging lanes, return road area, and any other area with barriers, fences, and/or structures separating the general public from the racing activities, and which requires special authorizations, credentials, or permission to enter, or any area where the general public is restricted or prohibited. The definitions of the above terms are as follows:

1. Advanced staging area – means the area between the staging lanes and the burnout area.

2. Burnout area – means the area between the advance staging area and the competition area where participants conduct the usual preparation and testing of racing vehicles immediately preceding a racing event.

3. Competition area – means the racing surface beginning at the starting line and ending line at the finish line.

4. Shut down area – means the area located between the finish line and return road area.

5. Return road area – means the area where the racing vehicles exit the shut down area and proceed to the pit area.

6. Pit area – means the area used to register the participants and prepare the racing vehicles for competition.

The participants definition should be defined to include racing vehicle drivers, mechanics, crew members, pit persons, officials of the race event, announcers, ambulance crews, wrecker truck crews, new persons, photographers, pit gate workers, motor sport event promoters, and all other persons involved in the actual event, other than members of the general public.

E. Participant Accident Insurance – This is coverage for participants in drag racing events and includes excess Accident Medical Insurance, Accidental Death and Dismemberment Insurance and Weekly Accident Disability Benefits.

a. Participant Accident Insurance or approved Self-Insurance must contain the following minimum coverage, conditions and terms:

1. $100,000 Accidental Death & Dismemberment Benefit to individual participants injured at NHRA, IHRA, or sanctioning body member tracks (no deductible paid by the participant).

2. $150,000 Blanket Accident Medical Expense benefit on an Excess or Primary basis to individual participants injured at NHRA, IHRA, or sanctioning body member tracks (no deductible paid by the participant).

3. $1000 Weekly Disability benefits payable up to 52 weeks.

b. The policy must feature at least the coverages and benefits outlined and must at a minimum include all coverages provided by the drag racing sanctioning body’s Catastrophic Accident Policy, a copy of which is available from NHRA, IHRA, or recognized sanctioning body:

1. Coverage for all participants with no licensing or age restrictions.

2. No jet truck exclusion.

3. No suspension of insurance clause.

4. $5,000 benefit for loss of sight in one eye, loss of a limb, or loss of use of one limb.

5. Tuning and Testing benefits at the same minimum NHRA, IHRA, or recognized sanctioning body Member Track Medical and AD&D limits.

5. FAA and Airport Compliance Requirements

The Drag Strip Operator (Operator) shall comply with all applicable Federal Aviation Administration (FAA) regulations, Airport Minimum Standards, Grant Assurances, and all rules governing operations at South Texas International Airport at Edinburg. The Operator acknowledges that the Racetrack is located on Airport property and agrees to operate in a manner that does not interfere with aviation operations, airspace safety, or Airport security.

Operator shall not enter or permit any person, vehicle, or equipment to enter the Air Operations Area (AOA) without prior written authorization from the Airport Director. Any approved access must comply with TSA, FAA, and Airport security training, badging, and escort requirements.

Operator shall ensure that all lighting, structures, temporary installations, or event-related equipment comply with FAA obstruction standards and shall not create hazards to navigable airspace and aircraft operations. Operator, participant or attendee shall be prohibited from operating any boom, crane, manlift, bucket truck, portable tower, aerial platform or similar equipment or appurtenance from exceeding forty-five feet (45ft) above ground level. Operator, participant, or attendee shall be prohibited from conducting or allowing any pyrotechnics, fireworks, aerial mortars, or any similar or incendiary displays. Operator, participant, or attendee shall be prohibited from operating searchlights or conducting any type of laser light show. Operator, participant, or attendee shall be prohibited from operating any Unmanned Aerial System, Unmanned Aerial Vehicle, drone, aerial camera, balloon, aerostat, or similar aerial devices without Operator obtaining specific advance permission from the Airport Director. The City reserves the right to require removal or modification of any structure or activity that may impact aviation safety.

Operator shall comply with all federal, State of Texas, City, drag racing sanctioning body’s environmental rules and regulations, and Airport environmental rules, regulations, best management practices, Storm Water Pollution Prevention Program, and Spill Prevention Control and Countermeasures, pertaining to fuel handling, petroleum, oil, and lubricants handling, in-house spill prevention and stormwater protection programs, and hazardous material management. Any fuel storage, chemicals, or regulated materials must be properly stored, reported, and managed in accordance with federal, state, City of Edinburg Fire Marshal’s Office, and Airport environmental policies.

Operator shall coordinate all major events with Airport Administration to ensure compatibility with Airport operations, emergency response readiness, and safety planning. The City reserves the right to suspend or modify operations if aviation safety or regulatory compliance is at risk.

6. Request for Proposals.

The Request for Proposal should include a transmittal letter signed by an individual having the authority to negotiate and sign agreements on behalf of the organization or individual(s). Proposals should contain no more than forty five (45) pages of material and shall be stapled or otherwise bound, and assembled in organized sections that include a table of contents and tabs with each section title. Pages should be numbered for reference. The Request for Proposal should include the following information:

A. Operation of Drag Strip (Racetrack). A written statement outlining the proposed plan for operation of the Drag Strip (Racetrack). The respondent must demonstrate they have the ability, full staff fully trained and qualified, financial resources, federal tax identification number, state comptroller-issued identification number, and drag racing sanctioning body membership to operate the Drag Strip (Racetrack).

B. Qualifications and Experience. Respondent entity/corporate qualifications and experience including at other sanctioned drag strip/racetrack operations and locations, and principles’ professional biographies including qualifications and experience with drag strip/racetrack operations.

C. Revenue Sharing. Respondent’s proposal for revenue sharing with the City in addition to the monthly rent.

D. Financial Plan. Respondent’s financial plan for operation of the Drag Strip (Racetrack). Respondent must demonstrate their understanding of the economic responsibilities, liabilities and assets related to operating and maintaining all aspects of the Drag Strip (Racetrack).

E. Relocation of Drag Strip (Racetrack). The Respondent’s plan for relocation of the Drag Strip (Racetrack) off of Airport property as presumed per the Airport’s 2019 ALP Update. Respondent’s plan should include a time line for phasing the Drag Strip (Racetrack) off Airport property, provide a financial plan for relocating the improvements, and show the ability of respondent to muster broad community support for the move and show respondent’s innovation to provide for sustainability of the Drag Strip (Racetrack) over the long term.

F. Insurance. A letter from Respondent’s insurance company stating that insurance will be provided in the manner and minimums required by the City

G. References. Three (3) references include name, title, address, and phone number of reference. The references should include one that can confirm financial ability (i.e., bank, credit union, accountant) to carry out the operation and two that can confirm professional and technical ability to carry out these activities.

7. Evaluation of Request for Proposal.

Bidders must present evidence that they are fully competent, have the necessary experience, organization, and financial capacity to operate, manage, and maintain the Drag Strip (Racetrack) at the South Texas International Airport at Edinburg. The submittals will be reviewed and ranked by the City using the following selection criteria:

A. Respondent’s plan for operation and maintenance of the Drag Strip (Racetrack).

20 Points maximum

B. Respondent’s qualifications and experience with Drag Strip (Racetrack) operations. 20 Points maximum

C. The guaranteed revenue return to the Airport. 20 Points maximum

D. Financial ability of the respondent to operate and maintain the Drag Strip (Racetrack). 20 Points maximum

E. Respondent’s plan for relocation of the Drag Strip (Racetrack) off Airport property.

10 Points maximum

F. Respondent’s ability to procure insurance that meets the City’s requirements. 10 Points maximum

When determined to be in the City’s best interest, the City reserves the right to reject any and all proposals received in response to this RFP and to waive minor noncompliance in a proposal. The City further reserves the right to make such investigations as it deems necessary as to the qualifications of any and all operators submitting proposals in response to this RFP.

The City’s evaluation committee will evaluate all pertinent information and will endeavor to make a recommendation of the most qualified organization or individual(s) to the City Council for approval. If a favorable ranking and recommendation cannot be made on the basis of the proposals alone, the organizations or individuals deemed most qualified will be contacted for additional information and, if warranted, interviews. The City assumes no obligation in the solicitation of this Request for Proposals and all costs shall be borne by the interested firms.

8. Contact Information.

Technical questions should be directed to:

Tomas D. Reyna, Assistant City Manger 415 W. University Dr.

Edinburg, Texas 78541 Phone: (956) 388-8207 Fax: (956) 383-7111 Mobile: (956) 239-1580 treyna@cityofedinburg.com

Procedural questions should be directed to:

Lorena Fuentes, Purchasing Agent 415 W. University Dr.

Edinburg, Texas 78541 Phone: (956) 388-8972 Fax: (956) 383-7111 lfuentes@cityofedinburg.com

Airport operations questions should be directed to:

Eddie Velarde, Director Aviation 1300 East FM 490 Edinburg, Texas 78542 Phone: (956) 292-2047 Mobile: (956) 607-5030 jvelarde@cityofedinburg.com