RFP PB 18-5 Second Amendment.pdf

Palm Beach County Board of County Commissioners County Administrator Melissa McKinlay, Mayor Verdenia C. Baker Mack Bernard, Vice Mayor Hal R. Valeche Paulette Burdick Dave Kerner Steven L. Abrams Department of Airports Mary Lou Berger www.pbia.org

AMENDMENT NO. 2

REQUEST FOR PROPOSALS # PB 18-5

APRIL 11, 2018

COMMON USE AIRPORT LOUNGE

PALM BEACH INTERNATIONAL AIRPORT

This Amendment No. 2 is issued to provide additional information and clarification to the Request for Proposals (RFP).

Proposers are advised of the following information pertaining to the RFP:

1. The Deadline for Submission of Written Comments/Questions related to this Amendment No. 2 shall be Wednesday, April 18, 2018, at 10:00 a.m., local time, to the Contact Person listed in Section 1.9, of the RFP. The RFP is hereby amended to extend the Deadline for Submission of Proposals to Wednesday, May 16, 2018, 3:00 p.m., local time.

2. Several interested parties have expressed an interest in gaining access to measure or take photographs of the Common Use Airport Lounge Premises. Interested parties may, at their option, schedule a site visit of the Premises directly thru the Contact Person listed in Section 1.9, of the RFP. The Contact Person will be unable to answer any questions at the time of any such inspection.

3. Appendix “A” - Proposal Response Form - to the RFP is hereby deleted in its entirety and replaced with Appendix “A” - Proposal Response Form, attached as Attachment “A-1” to this Amendment No. 2.

4. Attachment “5” - Selection Criteria/Scoring Instructions - to the RFP is hereby deleted in its entirety and replaced with Attachment “5” - Selection Criteria/Scoring Instructions, attached as Attachment “A-2” to this Amendment No. 2.

5. Questions received from prospective proposers prior to the April 2, 2018, Deadline for Submission of Written Comments/Questions and the Department of Airports’ responses:

Q1: Updated Architectural Drawings (Attachment 3 to the RFP) were provided in PDF format with Amendment No. 1. Are these drawings available in AutoCAD?

A1: No, the drawings were scanned from hard-copies to PDF. No AutoCAD drawings are available.

Q2: Is there any chance of a 5-year extension beyond the described 5 year term? OR Is it possible to extend the term to coincide with the date required by the Master Plan to begin future development and/or give the successful proponent first right of refusal on space planned for a common-use lounge in the newly refreshed terminal?

A2: No, the maximum term that is being offered is five (5) years from the “Date of Beneficial Occupancy” (as defined in the Concession Agreement (Attachment “4” to the

RFP).

Q3: What is situated below the designated lounge space?

A3: The space below the lounge space is the U.S. Customs Federal Inspection Station.

Q4: In regards to the 15% fee on alcohol sales, should the operator plan to provide alcoholic drinks as part of the complimentary menu, can the authority confirm that the operator will be solely responsible for the 10% privilege fee on entry and this alcohol fee will not be separately attributed?

A4: The Proposal Response Form has been amended to clarify that proposers are not required to propose a separate Privilege Fee for alcohol sales when alcohol is provided on a complimentary basis as a part of the overall access or entry fee (See Paragraph 3 above and Attachment “A-1” to this Amendment No. 2).

Q5: We would like to request that the Minimum Annual Guarantee and Privilege Fee become a biddable item i.e. not prescribed. On a 5 year agreement and with the request to produce a first class lounge provision, this will have an effect on the quality of the product.

A5: The Minimum Annual Guarantee (“MAG”) is not a “biddable item” but rather is established at $65,000 for the First Contract Year. The MAG will adjust the Second Contract Year and each Contract Year thereafter to eighty five percent (85%) of the Privilege Fee for the preceding Contract Year, or the Minimum Annual Guarantee for the preceding Contract Year, whichever is higher. The Privilege Fee is a “biddable item”: The minimum Privilege Fee that may be proposed is the sum of: (i) 10% of annual Gross Revenues, excluding revenues from alcohol sales (as defined in the Concession Agreement); and (ii) 15% of annual Gross Revenues from the sale of alcohol. Proposer shall indicate the proposed Privilege Fee on the Proposal Response Form. The actual payment is the greater of MAG or Privilege Fee.

Q6: Please clarify required financial information for a proposer that has been providing services for more than 2 years as requested in Section 3.2.5 of the RFP document.

A6: All proposers are required to submit one (1) of the listed items. The distinction for a proposer with “less than 2-years in operation” would be to provide one (1) of the items that applies to that less-than-2-year period.

Q7: Where should any proposed exceptions or requested changes to the Concession

Agreement (Attachment “4” to the RFP) be documented for the Airport to consider?

A7: No particular format is required for proposed exceptions or requested changes to the Concession Agreement (Attachment “4” to the RFP). Proposers may include exceptions or proposed changes as an attachment to the submittal; just please be as clear as possible in what you are asking, or, if appropriate, please provide alternative language to consider.

ATTACHMENT “A-1”

TO

APPENDIX “A”

PROPOSAL REPSONSE FORM

COMMON USE AIRPORT LOUNGE CONCESSION AGREEMENT

PALM BEACH INTERNATIONAL AIPORT

(RFP NO. PB 18-5)

PROPOSAL RESPONSE FORM

RFP NO. PB 18-5 Page 1 of 5

Section 1.

Privilege Fee - Percentage of Annual Gross Revenues, excluding Alcohol Sales

Proposer shall indicate the proposed Privilege Fee for each Contract Year in the blanks below, which shall be not less than 10% of annual Gross Revenues (excluding revenues from alcohol sales as provided in Section 2 below) for any Contract Year. Proposer may propose a Privilege Fee that remains the same each Contract Year or a Privilege that increases over the Term of the Concession Agreement, but may not propose a declining Privilege Fee. Percentages should be listed to the second decimal point (for example, 10.25%, or 11.00%)

Contract Year Proposed Privilege Fee

RFP NO. PB 18-5 Page 2 of 5

Section 2.

Privilege Fee - Percentage of Annual Gross Revenues for Alcohol Sales

In the event Proposer intends to charge customers separately for any alcoholic beverages, in addition to charging an access or entry fee, Proposer shall propose a separate Privilege Fee for alcohol sales in the blanks below for each Contract Year, which shall be not less than 15% of annual Gross Revenues for such alcohol sales. Proposer may propose a Privilege Fee that remains the same each Contract Year or a Privilege that increases over the Term of the Concession Agreement, but may not propose a declining Privilege Fee. Percentages should be listed to the second decimal point (for example, 10.25%, or 11.00%)

In the event alcohol will be provided on a complimentary basis as a part of the access or entry fee, Proposer should check the blank below indicating the Privilege Fee for alcohol sales is “Not Applicable.”

____________ Not Applicable - all alcohol will be made available on a complimentary basis as a part of the access or entry fee.

Contract Year Proposed Privilege Fee

RFP NO. PB 18-5 Page 3 of 5

Section 3.

Proposed Airport Concession Business Disadvantage Enterprise (ACDBE) Participation (%)

The minimum ACDBE goal for this Concession is fifteen percent (15%). In the event Proposer determines that Proposer will be unable to achieve the minimum ACDBE goal of fifteen percent (15%), Proposer must complete ACDBE Schedule 3, Demonstration of Good Faith Efforts (Appendix “C”), and provide written documentation evidencing good faith efforts to achieve the ACDBE goal with its proposal. Proposers should complete and submit ACDBE Schedules 1 and 2 indicating the ACDBE firms participating in the Concession Agreement with their Proposal (See Amendment No. 1 Paragraphs 12 and 13 to the RFP).

Proposer commits to a minimum of _________ % ACDBE participation.

Note: All amounts should be stated in number format, with percentages listed to the second decimal point (for example, 10.25% of annual Gross Revenues, or 15.00% ACDBE participation).

Percentages not listed to the second decimal point will be assumed to be a whole number.

RFP NO. PB 18-5 Page 4 of 5

By signing this Proposal Response Form, the proposer warrants and represents to County that the following statements are true and correct:

a. This proposal is current, accurate and complete, and is presented to the County for the performance of the

Concession Agreement in accordance with the requirements stated in the RFP.

b. This proposal is submitted without prior understanding, agreement, or connection with any corporation, firm or person submitting a proposal for the same service and is, in all respects, fair and without collusion or fraud.

c. Proposer has the financial ability to fully perform the terms and conditions as specified in the RFP and

Concession Agreement.

d. Proposer has received and reviewed all Amendments to the RFP.

e. Proposer understands that the County has no obligation whatsoever to accept any proposed exceptions.

f. Proposer understands that proposer may not propose any exceptions to the minimum RFP requirements

(see Section 3 of RFP) and failure to satisfy the minimum requirements will result in the proposal being deemed non-responsive.

g. Proposer understands that failure to submit this Proposal Response Form will be cause for immediate rejection of its entire proposal.

**The signature page that follows must be completed by an Authorized Person (see Section 1.8 of RFP)**

RFP NO. PB 18-5 Page 5 of 5

Type or print proposer’s contact information below:

NAME:___________________________________________________________________________________

TITLE:___________________________________________________________________________________

COMPANY NAME:_________________________________________________________________________

ADDRESS:_______________________________________________________________________________

CITY/STATE/ZIP:__________________________________________________________________________

TELEPHONE NO.:_______________ FAX NO.:_______________ E-MAIL ADDRESS:__________________

SIGNATURE:______________________________________________________________________________

***You must affix a corporate seal or have the signature on this Proposal Response Form notarized.***

(Corp. Seal)

Or

BEFORE me the undersigned authority on this day of , 20 personally appeared _ , who is personally known to me or who has produced _____ as identification and who did not take an oath.

STATE OF ___________________ ___________________________________

(Signature of Notary)

COUNTY OF__________________

(Notary’s Printed Name)

My Commission Expires: _____________

ATTACHMENT “A-2”

TO

ATTACHMENT “5”

SELECTION CRITERIA/SCORING INSTRUCTIONS

Selection Criteria

RFP No. PB 18-5 Page 1 of 3

Selection Criteria Maximum Points

Privilege Fee - Percentage of Annual Gross Revenues, excluding Alcohol Sales Section 1 of Proposal Response Form

Experience, Qualifications and Financial Information Section 3.2 of RFP

Project Approach, Privilege Fee - Percentage of Annual Gross Revenues for Alcohol Sales

(Section 2 of Proposal Response Form) and Sections 3.3 and 3.4 of RFP

Airport Disadvantaged Business Enterprise (ACDBE) Participation Section 3.6 of RFP and Section 3 of Proposal Response Form

Total Available Points 100

Scoring Instructions

RFP No. PB 18-5 Page 2 of 3

Selection Committee Members shall evaluate and score each proposal by reviewing the proposal against the Selection Criteria set forth in this Attachment “5” in accordance with Section 2.13 of the RFP, taking into consideration the Scoring Instructions set forth in this Attachment “5”.

A. Privilege Fee - Percentage of Annual Gross Revenues, excluding Alcohol Sales.

1. The proposal with the highest average proposed annual percentage of gross revenues (excluding revenues from alcohol sales not provided on a complimentary basis as a part of the access or entry fee) will be awarded the full 15 points. In the event more than one proposal contains the amount designated as the highest percentage, all such proposals will be awarded 15 points.

2. All remaining proposals shall be limited to a maximum of 10 points, and shall be scored on a basis relative to the proposal with the highest average percentage, as follows: each proposer’s average percentage will be divided by the proposal with the highest average percentage, and then multiplied by 10 points to calculate the score. For example, two proposals are received.

The first proposer proposes 12% for each of the five contract years. The second proposer proposes an escalating percentage as follows: Contract Year 1: 11%; Contract Year 2: 12%; Contract Year 3: 13%; Contract Year 4:

14%; Contract Year 5: 15%. For scoring purposes, the highest average percentage would be 13% and that proposal would be awarded 15 points.

The number of points awarded to the next highest proposal would be determined as follows: (12/13) x 10 = 9 points.

3. Any calculated score with a fractional result will be rounded the nearest whole point.

B. Experience, Qualifications and Financial Information. Proposals may receive up to

30 points based on the proposer’s Experience, Qualifications and Financial Information. Selection Committee Members should review the information submitted in accordance with Section 3.2 of the RFP in determining the number of points to be allocated to each proposal for Experience, Qualifications and Financial Information.

Scoring Instructions

RFP No. PB 18-5 Page 3 of 3

C. Project Approach. Proposals may receive up to 45 points based on the proposal’s Project Approach. Selection Committee Members should review the information submitted in accordance with Section 3.3, Development Plan, Section 3.4, Operational Plan, and Section 2 of the Proposal Response Form, Privilege Fee - Percentage of Annual Gross Revenues for Alcohol Sales, of the RFP. Selection Committee Members should also consider the County’s purpose in issuing the RFP as set forth in Section 1.2 of the RFP when determining the number of points to be allocated to each proposal for Project Approach.

D. Airport Concession Disadvantaged Business Enterprise (ACDBE) Participation.

1. The proposal with the highest proposed percentage of ACDBE participation will be awarded the full 10 points. In the event more than one proposal contains the amount designated as the highest percentage of ACDBE participation, all such proposals will be awarded 10 points.

2. All remaining proposals shall be scored on a basis relative to the proposal with the highest percentage of ACDBE participation above the ACDBE goal;

each proposer’s percentage of ACDBE participation will be divided by the highest percentage of ACDBE participation and then multiplied by 10 points to calculate the score.

3. Any calculated score with a fractional result will be rounded the nearest whole point.