Schedule A - Small Bus Statement of Work AD1.docx

Michigan.gov/MiProcurement

SCHEDULE A – STATEMENT OF WORK CONTRACT ACTIVITIES

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Michigan.gov/MiProcurement Schedule A - Statement of work contract activities Request for Proposal (RFP) No. 210000000703 Small Bus and Light-Duty Small Bus This schedule identifies the anticipated requirements of any Contract resulting from this RFP. The term “Contractor” in this document refers to a bidder responding to this RFP, as well as the Contractor who is awarded the contract. The term “bidder” is used to identify where specific responses to the RFP are required.

The Contractor must respond to each requirement or question and explain how it will fulfill each requirement. Attach any supplemental information and appropriately reference within your response.

BACKGROUND

This contract is used to provide funding to authorized transit agencies in Michigan for the purchase of small class non-lift and lift transit buses.

Note: If this solicitation results in a multi award, MDOT shall reimburse no more than the amount submitted by the lowest responsive, responsible Contractor (base price plus any bid options).

SCOPE

The Contractor must provide Small Bus and Light-Duty Small Buses per Schedule B – Specifications and all other requirements of this solicitation.

REQUIREMENTS

1. General Requirements

1.1. Product Specifications

A. Contractor must provide Small Bus and Light Duty Small buses per Schedule B, Specifications for Light-Duty Small and Small Bus. In the Specification documents, all cells in “Product Detail or Pre-Approved Alternate” column must be completed by bidder for each item.

Brands or trade names are for identification purposes only and do not limit the Contractor to such brands or trade names.

B. Chassis serial number, body number, axle ratio, gross vehicle weight rating (GVWR), seating capacity and paint codes shall be imprinted on a permanent decal(s) or stamped on a metal plate(s) and affixed in the driver's area of the vehicle (location to be approved by the State).

a. The Contractor shall be capable of handling final inspection and corrections required by the State prior to acceptance of the small buses after a contract is awarded.

b. The Contractor must provide parts and service for a period of seven (7) years after the vehicles have been placed in service throughout the State of Michigan. The Contractor must supply body replacement parts within five (5) business days of a request by a transit agency unless the Contractor notifies the transit agency that the part is not available for shipment and provides the shipping date when the part will be available.

c. Regardless of options and seating plan ordered, the Contractor shall certify that all vehicles delivered shall not exceed the GVWR of chassis as bid (determined by engineering calculated loaded vehicle axle weights). Manufacturers shall comply with the chassis company’s quality vehicle manufacturing program such as Ford’s Quality Vehicle Modifier (QVM).

Bidder Response or Acknowledgment:

1.1.1. Alternate Products and Equipment

Approval of Alternate Bids or Alternate Products is solely at the State’s discretion. A Bidder proposing an Alternate Product not approved in the Q&A addendum may lose evaluation points or be disqualified from further consideration, also solely at the State’s discretion.

1.1.2. Warranties

The Contractor must provide warranties per Schedule B, Specifications for Small Bus and Light Duty Small buses, section C., Item 6.

Describe any warranties included in the bid and provide the length of the warranty. Explain the process for reporting warranty issues and how the Contractor will handle any repairs or replacements are made, including timing. If the warranty is provided through a third-party or manufacturer, the Contractor must confirm that the manufacturer’s warranty passes through to the State. Provide the name, address, contact name, phone number and email address of the party responsible for the warranty.

The State reserves the right to require additional warranties other than those identified by the Contractor in its response to this RFP.

1.2. Recall Requirements and Procedures

The Contractor must describe any recall procedures.

1.3. Quality Assurance Program

Explain your Quality Assurance Program(s).

1.4. Incentives

Explain any special incentives or services including, but not limited to, return policies, trade-in programs, quantity discounts, etc.

2. Service Levels

2.1. Time Frames

All Contract Activities must be delivered within 210 business days from receipt of order. The receipt of order date is pursuant to the Notices section of the Standard Contract Terms.

2.2. Training

The Contractor will provide training when necessary, including but not limited to, aspects of ordering, shipping, billing, receiving, and vehicle maintenance. At the request of the State, the Contractor will provide in-service training on products, installation, and product safety issues. The Contractor will also provide training jointly with the Ordering Entity as needed during the period covered by the Contract at no additional charge.

The Contractor must explain its training capabilities and any training that is included in its proposal.

2.3. Reporting

The Contractor must submit to the Program Manager quarterly reports which include agency name, vehicle(s) purchased, options, price, date ordered, date delivered, funding used: (Federal/State/Local).

The Contractor must explain its reporting capabilities, any reporting that is included in its proposal, and any additional reporting capabilities.

2.4. Meetings

Meetings requested by the State include, but are not limited to, the pilot and production meetings as required per Section 7 - Acceptance, Inspection and Testing.

The State may request other meetings as it deems appropriate.

3. Staffing

3.1. Contractor Representative

The Contractor must appoint a Service Manager, or a Product Representative specifically assigned to State of Michigan accounts who will respond to State inquiries regarding the Contract Activities, answer questions related to ordering and delivery, etc. (the “Contractor Representative”).

The Contractor must notify the Contract Administrator at least 14 calendar days before removing or assigning a new Contractor Representative.

3.2. Key Personnel

The Contractor must appoint one individual who will be directly responsible for the day to day operations of the Contract (“Key Personnel”). Key Personnel must be specifically assigned to the State account, be knowledgeable on the contractual requirements, and respond to State inquiries within 24 hours.

Contractor’s Key Personnel must be available during the following times: 8:00 am – 5:00 pm The Contractor may not remove or assign Key Personnel without the prior consent of the State. Prior consent is not required for reassignment for reasons beyond the Contractor’s control, including illness, disability, death, leave of absence, personal emergency circumstances, resignation, or termination for cause. The State may request a résumé and conduct an interview before approving a change. The State may require a 30-calendar day training period for replacement personnel.

The bidder must identify the Key Personnel, indicate where they will be physically located, describe the functions they will perform.

3.3. Non-Key Personnel

The Contractor must notify the Contract Administrator at least 10-calendar days before removing or assigning non-key personnel.

3.4. Organizational Chart

Provide an overall organizational chart that details staff members, by name and title, and subcontractors.

3.5. Customer Service Toll-Free Number

The Contractor must specify its toll-free number for the State to make contact with the Contractor Representative who must be available for calls during the hours of 8 am to 5 pm EST Monday through Friday, at a minimum. Identify customer service availability for this proposal by hours and days of the week.

3.6. Technical Support, Repairs and Maintenance

The Contractor must specify its toll-free number for the State to make contact with the Contractor for technical support, repairs and maintenance. The Contractor must be available for calls and service during the hours of 8 am to 5 pm EST Monday through Friday at a minimum. Identify availability for this proposal by hours and days of the week.

3.7. Disclosure of Subcontractors

If the Contractor intends to utilize subcontractors, the Contractor must disclose the following:

The legal business name; address; telephone number; a description of subcontractor’s organization and the services it will provide; and information concerning subcontractor’s ability to provide the Contract Activities.

The relationship of the subcontractor to the Contractor. Of the total bid, the price of the subcontractor’s work. Whether the Contractor has a previous working experience with the subcontractor. If yes, provide the details of that previous relationship.

A complete description of the Contract Activities that will be performed or provided by the subcontractor.

4. Pricing

4.1. Price Term

Pricing is firm for the entire length of the Contract with exceptions per section”4.2 Price Changes”.

4.2. Price Changes

A.

i. Pricing is firm for a 365 day period (“Pricing Period”). The first pricing period begins on the Effective Date. Adjustments for changes in the chassis manufacturers OEM standard equipment may be requested, in writing, by either party and will take effect no earlier than the next Pricing Period subject to D., and E. of this section.

ii. Adjustments for changes in federal regulations may be submitted at any time during the contract term subject to C., D., and E. of this section.

B. The Ordering Entity shall receive the benefit of any decreases in the cost incurred by the Contractor. If the chassis manufacturers OEM standard equipment pricing increases during the Contract period by more than one hundred dollars ($100.00), the Contractor may request a price revision to reflect the actual cost experienced. The request for a cost increase must be accompanied by evidence from the chassis manufacturer that a change actually affected the Contractor’s cost. Additionally, it shall be the Contractor’s responsibility to provide written notice to the State of its qualification for price reductions.

C. If changes in federal regulations affect the cost of the Light-duty Small and Small buses during the Contract period by more than one hundred dollars ($100.00), the Contractor may request a price revision to reflect the actual cost increase experienced. The request must be accompanied by evidence that the change actually affected the Contractor’s cost.

D. Requests for price changes shall be received in writing at least 30 days prior to their effective date and are subject to written acceptance before becoming effective. In the event new prices are not acceptable, the Contract may be canceled.

E. Per Federal Transit Administration (FTA) requirements, a cost or price analysis is required for all price changes.

i. The State may request a Review upon 30 days written notice that specifies what Deliverable is being reviewed. At the Review, each party may present supporting information including information created by, presented, or received from third parties.

ii. Following the presentation of supporting information, both parties will have 30 days to review the supporting information and prepare any written response.

iii. In the event the Review reveals no need for modifications of any type, pricing will remain unchanged unless mutually agreed to by the parties. However, if the Review reveals that change may be recommended, both parties will negotiate in good faith for 30 days unless extended by mutual agreement of the parties.

iv. If the supporting information reveals a reduction in prices is necessary and Contractor agrees to reduce rates accordingly, then the State may elect to exercise the next one-year option, if available.

v. If the supporting information reveals a reduction in prices is necessary and the parties are unable to reach agreement, then the State may eliminate all remaining Contract renewal options.

vi. Any changes based on the Review must be implemented through the issuance of a Contract Change Notice.

5. Ordering

5.1. Authorizing Document

The appropriate authorizing document for the Contract will be purchase order from the authorizing transit agency.

5.2. Order Verification

The Contractor must have internal controls approved by Central Procurement Services, to verify abnormal orders and to ensure that only authorized individuals place orders.

5.3 Quantity

The State is not obligated to purchase in any specific quantity. The estimated quantity to order shall be one (1) vehicle. The estimated quantity of production vehicles shall be 400 Light-Duty Small and Small Bus.

6. Delivery

6.1. Delivery Programs

The Contractor will be permitted to drive vehicle(s) to final destinations in compliance with the “Schedule D - Affidavit for Driver Delivery”, however, the affidavit must be completed and submitted with the Contractor’s proposal.

A. Delivery must be made between the hours of 8:00 a.m. and 4:00 p.m., Monday through Friday ONLY, excluding Holidays.

B. The Contractor agrees and will pay the Ordering Entity if they pick the vehicle up at the Contractor’s location. The rate will be equal to the rate paid to the Contractor’s drivers plus provide or reimburse the cost of gasoline/fuel.

C. The vehicle will be driven to the final destination and delivery will be scheduled with the Ordering Entity.

6.2. General Delivery

The State and/or the Ordering Entities have the right to refuse vehicle delivery if the following conditions are not met. For the delivery of all units that may be released against the Contract the following must apply:

A. The Contractor should produce the pilot model as the first Light-duty Small and Small bus ordered by the State for its transit agencies.

B. The Light-duty Small and Small bus should be:

i. lift / non-lift equipped

ii. air conditioned

iii. the largest size on request by the transit agencies.

C. All necessary testing and equipment placement should be performed on the pilot models before final inspection/acceptance by the State.

D. The pilot model should serve as a standard for the following units as ordered but should not relieve the Contractor from an obligation to manufacture all units in compliance with all specifications.

7. Acceptance, Inspection, and Testing

7.1. Acceptance

The State will use the following criteria to determine acceptance of the Contract Activities:

A. The Contractor shall complete all corrections required by the State or Ordering Entity prior to delivery and final acceptance.

B. Delivery of Production Chassis to the Body Manufacturer should be within 120 days after the Pre-Pilot Model Meeting.

C. Exact Production for Delivery Due Dates will be determined by the delivery schedule, plus (+) seven (7) calendar days from issue dated indicated on the Purchase Order. Delivery should be at the rate of one (1) unit per week minimum until completion of the quantity ordered.

7.2. Inspection

A. Pilot, Production Model and Plant Inspections:

i. Pilot Model Review Meeting at the Manufacturer’s facility, or at a mutually agreed upon location, shall be conducted within thirty (30) calendar days from the date of the Purchase Order.

ii. Pilot Model Approvals, shall be completed by the State and/or receiving agency within thirty (30) calendar days after delivery of the pilot model by the ordering agency.

iii. Periodic Production/Plant Inspections, by the Michigan Department of Transportation, Office of Passenger Transportation include two (2) per contract period.

iv. Final inspection shall be made at a site(s) as agreed upon by the Contractor and the ordering agencies. The Contractor should be capable of handling final inspection and corrections required by the State prior to acceptance of the Light-duty Small and Small bus after a Contract is awarded. The Contractor should be responsible for transportation (air fare, rail fare, car rental, taxi, or mileage), lodging, parking expenses, meals, and tips for up to three (3) individuals, as determined by the Michigan Department of Transportation, Office of Passenger Transportation, for involvement in any of the above pilot model and production schedule review or plant inspections. All travel expenses should be based on the DTMB, Vehicle and Travel Services Schedule of Travel Rates for Classified and Unclassified Employees Effective January 1, 2011 or subsequent updates. http://www.michigan.gov/dmb/0,4568,7-150-9141_13132---,00.html

7.3. Testing

A. Testing - Prior to delivery, the Contractor must certify that:

i. All quality assurance activities have been completed.

ii. All applicable testing has been completed.

iii. All material deficiencies discovered during the quality assurance activities and testing have been corrected.

The Deliverable or Service is in a suitable state of readiness for the State’s review and approval.

B. If a Deliverable includes installation at the Ordering Entity location the Contractor must:

i. Perform any applicable testing.

ii. Correct all material deficiencies discovered during the quality assurance activities and testing.

Inform the State that the unit is in a suitable state of readiness for the State’s review and approval.

C. To the extent that testing occurs at the Ordering Entity’s location personnel are entitled to observe or otherwise participate in testing.

7.4. Final Acceptance

Final Acceptance is when the project is completed and functions according to the requirements listed in all previous sections of this document. Any intermediate acceptance of sub-Deliverables does not complete the requirement of Final Acceptance.

The State and /or the Ordering Entity have the right to refuse vehicle delivery when the conditions listed above are not met.

8. Invoice and Payment

8.1. Invoice Requirements

All invoices submited to the State must include: (a) date; (b) purchase order number; (c) contract number; (d) quantity; (e) description of the Contract Activities; (f) line items for up-fitting options (g) unit price; (h) shipping cost (if any); and (i) total price; (j) Ordering Entity; (k) VIN number.

8.2. Payment Methods

The Ordering Entities will make payment for Contract Activities to the Contractor.

8.3. Procedure

The Ordering Entities have been instructed to make immediate inspection on receipt of units and to process payment documents promptly. Payments, however, will be delayed if the Light-duty Small and Small bus fails to comply with specification requirements. Therefore, it is incumbent upon the Contractor to close pre-delivery inspection in accordance with the contract requirements.

9. Liquidated Damages Late or improper completion of the Contract Activities will cause loss and damage to the State and it would be impracticable and extremely difficult to fix the actual damage sustained by the State. Therefore, if there is late or improper completion of the Contract Activities the State is entitled to collect liquidated damages in the amount of $5,000 and an additional $100 per day for each day Contractor fails to remedy the late or improper completion of the Work.

Unauthorized Removal of Key Personnel will interfere with the timely and proper completion of the Contract, to the loss and damage of the State, and it would be impracticable and extremely difficult to fix the actual damage sustained by the State. Therefore, the State may assess liquidated damages against Contractor as specified below.

The State is entitled to collect $1,000 per individual per day for the removal of any Key Personnel without prior approval of the State.

The State is entitled to collect $1,000 per individual per day for an unapproved or untrained key personnel replacement.

10. Additional Requirements

10.1. Environmental and Energy Efficiency Product Standards

The Contractor must identify any energy efficient, bio-based, or otherwise environmentally friendly products used in the products. Contractor must include any relevant third-party certification, including the verification of a United States Department of Agriculture certified bio-based product label. Contractor must describe how products that meet these requirements are identified or otherwise labelled and list any exceptions to this requirement.

10.2. Hazardous Chemical Identification

In accordance with the federal Emergency Planning and Community Right-to-Know Act, 42 USC 11001, et seq., as amended, the Contractor must provide a Material Safety Data Sheet listing any hazardous chemicals as defined in 40 CFR §370.2, to be delivered. Each hazardous chemical must be properly identified, including any applicable identification number, such as a National Stock Number or Special Item Number.

The Contractor must identify any hazardous chemicals that will be provided under any resulting contract.

10.3. Mercury Content

Pursuant to MCL 18.1261d, mercury-free products must be procured when possible. The Contractor must explain if it intends to provide products containing mercury, the amount or concentration of mercury, and whether cost competitive alternatives exist. If a cost competitive alternative does exist, the Contractor must provide justification as to why the particular product is essential. All products containing mercury must be labeled as containing mercury.

10.4. Brominated Flame Retardants

The State prefers to purchase products that do not contain brominated flame retardants (BFRs) whenever possible. The Contractor must disclose whether the products contain BFRs and describe how the products are identified or otherwise labelled.

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