SP-21-0061 IFB - AR Buy.pdf

STATE OF ARKANSAS

DEPARTMENT OF TRANSFORMATION AND SHARED SERVICES

OFFICE OF STATE PROCUREMENT

501 Woodlane St., Ste. 220 Little Rock, Arkansas 72201-1023

INVITATION FOR BID

BID SOLICITATION DOCUMENT

SOLICITATION INFORMATION

Solicitation Number: SP-21-0061 Solicitation Issued: April 15, 2021

Description: Woody Biomass Administration Services

Department: Arkansas Department of Parks, Heritage, and Tourism

SUBMISSION DEADLINE AND DELIVERY OF RESPONSE DOCUMENTS

Bid Opening Date: May 6, 2021 Bid Opening Time: 1:30 p.m., Central Time

Bid responses for this Invitation for Bid must be submitted through ARBuy, the State’s eProcurement system.

It can be accessed at https://arbuy.arkansas.gov. Bids received after the submission deadline may be rejected as untimely. See section 1.2 for information regarding Live Bid Openings.

OFFICE OF STATE PROCUREMENT CONTACT INFORMATION

TSS OSP Buyer: Julia Shackelford Buyer’s Direct Phone Number: 501-371-6079

Email Address: Julia.shackelford@arkansas.gov OSP’s Main Number: 501-324-9316

TSS OSP

Website: https://www.transform.ar.gov/procurement/ https://arbuy.arkansas.gov/

Bid Solicitation Document Bid No. SP-21-0061

SECTION 1 – REQUIREMENTS

• Do not provide responses to items in this section unless specifically and expressly required.

1.1 INTRODUCTION

This Invitation for Bid (IFB) is issued by the TSS Office of State Procurement (TSS OSP) for the Arkansas Department of Parks, Heritage, and Tourism – Arkansas Natural Heritage Commission (ANHC) to obtain pricing and a term contract for Woody Biomass Administration Services. Ecological Thinning will be performed primarily at Warren Prairie Natural Area in Bradley and Drew Counties on approximately 650 acres and at Longview Saline Natural Area in Ashley County on approximately 125 acres.

The Contractor awarded as a result of this IFB, shall oversee and administer the entire Woody Biomass Administration process from the Ecological Thinning, harvest, marketing and sale of the Woody Biomass, to providing documentation and sale proceeds back to ANHC. The Contractor will be paid a commissioned percentage of the Woody Biomass sales proceeds.

The mission of the ANHC is to preserve natural diversity, to promote choice among beneficial uses of the environment, and to promote a balance between development and environmental protection in the State of Arkansas for this and succeeding generations. The resulting contract will support ANHC’s mission, assist with restoring natural habitats to the area, and with conserving natural resources.

The State is strictly providing estimated quantities in this IFB as a courtesy to Prospective Contractors and are provided in good faith. Prospective Contractors shall not interpret any estimated quantities provided to be a guarantee of actual contract volume existing during the aggregate term of a resulting contract. The estimated number of acres may vary according to the State’s needs during the contract terms.

1.2 LIVE BID OPENING

See instructions below to view the bid opening online.

Zoom Meeting Link:

https://arkansas-gov.zoom.us/j/85811754138?pwd=VU9XVEs0WmhEUmFPQnFXc3orK0lHQT09

Meeting ID: 858 1175 4138 Meeting Passcode: 999999 Dial-In Information: 877 853 5257 US Toll-free 888 475 4499 US Toll-free

1.3 CLARIFICATION OF BID SOLICITATION

A. Submit any questions requesting clarification of information contained in this Solicitation via the solicitation posting in ARBuy by midnight, Central Time on or before April 27, 2021.

1. For each question submitted, Prospective Contractor should reference the specific solicitation item number to which the question refers.

2. Prospective Contractors’ written questions will be consolidated and answered by the State as deemed appropriate. The State’s consolidated written response is anticipated to be posted to the solicitation posting in ARBuy by the close of business on April 30, 2021. If Prospective Contractor questions are unclear or non-substantive in nature, the State may request clarification of a question(s) or decline to answer.

B. The Prospective Contractor should notify the TSS OSP buyer of any term, condition, etc., that precludes the Prospective Contractor from submitting a compliant, Responsive Bid. Prospective https://arkansas-gov.zoom.us/j/85811754138?pwd=VU9XVEs0WmhEUmFPQnFXc3orK0lHQT09

Contractors should note that it is the responsibility of the Prospective Contractor to seek resolution of all such issues, including those relating to the terms and conditions of the contract, prior to the submission of a bid.

C. Prospective Contractors may contact the TSS OSP buyer with non-substantive questions at any time prior to the bid opening.

D. An oral statement by TSS OSP will not be part of any contract resulting from this solicitation and may not reasonably be relied on by any Prospective Contractor as an aid to interpretation unless it is reduced to writing and expressly adopted by TSS OSP.

1.4 DEFINITION OF TERMS

A. Unless otherwise defined herein, all terms defined in Arkansas Procurement Law and used herein have the same definitions herein as specified therein.

B. “Bid Submission Requirement” means a task a Prospective Contractor must complete when submitting a bid response. These requirements will be distinguished by using the term “shall” or “must” in the requirement.

C. “Ecological Thinning” means a habitat restoration tool especially useful for restoring industrially planted pine stands back to a native structure and composition, for reducing undesired vegetation, for releasing remaining trees from over competition, and for creating a defense from commonly occurring natural and manmade catastrophic wildfires.

D. The terms “Invitation For Bid”, “IFB,” “Bid Solicitation,” and “Solicitation” are used synonymously in this document.

E. “Natural Area” means an area or geographical location of unique scenic, geologic, and/or ecological value which is maintained in a natural condition by allowing physical and biological processes to operate with minimal direct human intervention.

F. “Prospective Contractor” means a responsible bidder who submits a responsive bid in response to this solicitation.

G. “Requirement” means a specification that a Contractor’s commodity must and/or service shall meet or exceed in the performance of its contractual duties under any contract awarded as a result of this IFB. These specifications will be distinguished by using the terms “shall” or “must” in the requirement.

H. “Responsive bid” means a bid submitted in response to this solicitation that conforms in all material respects to this IFB.

I. “State” means the State of Arkansas. When the term “State” is used herein to reference any obligation of the State under a contract that results from this solicitation, that obligation is limited to the State Department using such a contract.

J. “Woody Biomass” means trees and woody plants, including limbs, tops, needles, leaves, and other woody parts, grown in a forest, woodland, or rangeland environment, that are the by‐products of forest management.

1.5 PROSPECTIVE CONTRACTOR QUALIFICATIONS

A. Prospective Contractor shall be licensed as a Registered Forester with the State of Arkansas.

1. As a Bid Submission Requirement, the Prospective Contractor shall submit a copy of the license with the Prospective Contractor’s Bid Response Packet.

B. Prospective Contractor shall have practiced forest management on State-owned Natural Areas or similarly managed sites preferably for a minimum of five (5) years.

C. Prospective Contractor shall have worked in a pine flatwoods habitat (characteristic of Arkansas’s western gulf coastal plain ecoregion) preferably for a minimum of five (5) years.

D. To ensure Prospective Contractor’s comprehensive understanding of science-based conservation practices, specifically those applicable to forest management, the Prospective Contractor shall have directly managed a habitat for federally listed endangered species such as the Dryobates Borealis (Red-Cockaded Woodpecker).

E. As a Bid Submission Requirement, the Prospective Contractor shall submit a one (1) page summary detailing the Prospective Contractor’s:

1. Experience with forest management on state-owned Natural Areas, pine flatwoods habitats, and habitats for federally listed endangered species

2. Understanding of the various Woody Biomass markets and science-based conservation practices.

F. The one (1) page summary will not be scored or evaluated but will serve as confirmation that the Prospective Contractor meets the minimum qualification Requirements of this IFB.

1.6 WOODY BIOMASS ADMINISTRATION GENERAL REQUIREMENTS

A. Contractor shall provide Woody Biomass Administration Services and perform all operations in accordance with applicable law, industry standards, and the Arkansas Forestry Best Management Practices (BMPs) developed by the Arkansas Forestry Commission including but not limited to those BMPs recommended for:

1. Operating in Streamside Management Zones (SMZs)

2. Conditioning skid trails to prevent erosion

3. Proper waste disposal

4. Manner of operations to prevent unnecessary damage to property

B. Contractor shall administer and oversee the entire ANHC operation including but not limited to the Ecological Thinning and harvest of Woody Biomass, the marketing and sale of Woody Biomass, and the disbursement of Woody Biomass sale proceeds and documentation back to ANHC.

C. Contractor shall solicit bids from multiple timber buyers (i.e. harvesters) either with a sealed bid or negotiated sales.

D. Contractor shall establish biomass chipping contracts prior to bidding out other timber sales.

E. ANHC reserves the right to have final approval of the Contractor’s harvesting companies and mills utilized. If requested by ANHC, the Contractor shall replace the harvesting companies and mills used to fulfill the Contractor’s obligations under a resulting contract.

1.7 WOODY BIOMASS ECOLOGICAL THINNING AND HARVESTING

A. At the time of bid submission, the Prospective Contractor shall have agreements in place with one or more harvesting companies who will perform the Ecological Thinning, harvest the Woody Biomass, and present to the mills for purchase.

B. As a Bid Submission Requirement, the Prospective Contractor shall submit the agreements the Prospective Contractor has in place with the harvesting companies for ANHC’s review. Prospective Contractor may submit agreement templates in lieu of the executed agreements.

1. ANHC reserves the right to have final approval of the Prospective Contractor’s agreements.

Should ANHC request the Prospective Contractor’s agreements be amended or revised, the Prospective Contractor shall add language to or delete language from the agreements as requested by ANHC.

C. Contractor shall procure the harvesters to perform the Ecological Thinning and harvest of Woody

Biomass.

D. Contractor shall develop specifications and standards for harvesters to comply with regarding the Ecological Thinning performed.

1. Specifications and standards must include all applicable restrictions which the harvesters must follow when performing the Ecological Thinning, such as forbidding wet weather logging.

2. Specifications and standards must include the allowable methods and the required manner by which the harvesters perform the Ecological Thinning.

3. If requested by ANHC, Contractor shall provide the written specifications and standards to ANHC for review prior to sending to harvesters.

E. Contractor shall oversee the harvesters’ performance of the Ecological Thinning and harvest of Woody Biomass for compliance with the Contractor’s written specifications and standards, industry standards, BMPs, and the Requirements of this IFB.

F. Contractor shall provide timber marking either by marking each individual tree or the entire sale boundaries/SMZs delineation as appropriate.

G. Prior to harvest, the Contractor shall provide ANHC with a written estimate of the volume of the Woody Biomass to be harvested and sold.

1.8 WOODY BIOMASS MARKETING AND SALES

A. At the time of bid submission, the Prospective Contractor shall have written agreements in place with one or more mills agreeing to purchase the following types of Woody Biomass.

1. Pine and Hardwood Pulpwood

2. Pine and Hardwood Sawlogs

3. Pine Chip-N-Saw

4. Biomass Chipping used for off-site energy fuel.

B. Agreements between the Prospective Contractor and the mills must indicate the agreed upon purchase price per unit of measure and the amount (tons, pounds, etc.) of the Woody Biomass the mill has agreed to purchase.

C. As a Bid Submission Requirement, the Prospective Contractor shall submit the agreements the Prospective Contractor has in place with the mills for ANHC’s review. The Prospective Contractor may submit agreement templates in lieu of the executed agreements.

1. ANHC reserves the right to have final approval of the Prospective Contractor’s agreements.

Should ANHC request the Prospective Contractor’s agreements be amended or revised, the Prospective Contractor shall add language to or delete language from the agreement as requested by ANHC.

D. The Contractor shall procure the services of a mill who will purchase the harvested Woody Biomass.

E. The Contractor shall market the sale of the Woody Biomass to contracted mills for purchase.

F. The Contractor shall perform and oversee the marketing and sale of the Woody Biomass as required by this IFB or as otherwise requested by ANHC during the contract terms.

1.9 WOODY BIOMASS SALE PROCEEDS

A. Contractor shall oversee, collect, and remit 100% of the proceeds from the sale of the Woody Biomass to ANHC as directed by ANHC throughout the contract terms.

B. Contractor shall remit sale proceeds in a manner and within a timeframe post-sale as directed by ANHC after award.

C. Included with the Woody Biomass sale proceeds, the Contractor shall:

1. Provide ANHC with documentation from the contracted mill, which at a minimum must indicate the type of Woody Biomass purchased, tonnage, and price per tonnage.

2. Provide an invoice.

D. Once ANHC receives 100% of the sale proceeds, mill documentation, and invoice, ANHC will provide the Contractor with their commission percentage fee.

1.10 INFORMATION PROVIDED APPLICABLE TO PREVIOUS ECOLOGICAL THINNINGS

A. ANHC will provide the Contractor with boundary shapefiles, maps, and written descriptions applicable to an upcoming Ecological Thinning, harvest, and sale.

B. Below are two examples of written descriptions a Contractor would receive from ANHC:

1. Example 1 - Approximately 490 acres of timber subdivided into eight tracts. Stands were established beginning in 2000 and ending in 2007. It is a first thin fuel wood/pulpwood sale to residual pine basal area of 60-70 ft².

2. Example 2 - An 86-acre pine stand with half of it (NE block) established in 1963 and the SW block established in 1953. Our desired condition is a pine dominated stand with a small hardwood component (10% or less if any available, no sweetgum to remain). The residual basal area should be about 60 ft² of trees with large diameter.

1.11 INSURANCE REQUIREMENTS

A. When requested by TSS OSP, the Contractor shall provide an approved Certificate of Insurance and must maintain the following insurances and limits throughout the contract period and any available renewal period.

1. Each Certificate of Insurance should include SP-21-0061 and name Arkansas Department of Parks, Heritage, and Tourism as the certificate holder with the intent to notify same of any intention to cancel the insurance within ten (10) days.

B. Contractors shall have the following liability limits:

1. Commercial General Liability

a. Each occurrence: $1,000,000.00

b. General aggregate: $2,000,000.00

2. Workers’ Compensation and Employers’ Liability

a. Workers’ Compensation: Statutory Limits

b. Employer’s liability each accident: $100,000.00

c. Employer’s liability disease each employee: $100,000.00

3. Umbrella Liability

a. Each occurrence: $2,000,000.00

b. General Aggregate: $2,000,000.00

4. Automobile Liability

a. Combined single limit: $1,000,000.00

1.12 PERFORMANCE STANDARDS

A. State law requires that contracts for services include Performance Standards for measuring the overall quality of services provided that a Contractor must meet in order to avoid assessment of damages.

B. The State may be open to negotiations of Performance Standards prior to contract award, prior to the commencement of services, or at times throughout the contract duration. Table A: Performance Standards identifies expected deliverables, performance measures, or outcomes; and defines the acceptable standards.

C. The State has the right to modify, add, or delete Performance Standards throughout the term of the contract, should the State determine it is in its best interest to do so. Any changes or additions to performance standards will be made in good faith following acceptable industry standards and may include the input of the Contractor so as to establish standards that are reasonably achievable and mutually agreed upon.

D. All changes made to the Performance Standards will become an official part of the contract.

E. Performance Standards will continue throughout the aggregate term of the contract.

F. Failure to meet the minimum Performance Standards as specified shall be considered a breach of any contract that gets awarded hereunder. The State may pursue any remedies it has at law, equity, and/or under such contract including, without limitation, termination or cancellation of contract and/or the imposition of liquidated damages.

G. In the event a Performance Standard is not met, the Contractor may be allowed to defend or cure the insufficiency. The State has sole and final determination of the acceptability of any cure.

Table A: Performance Standards

Service Criteria Acceptable Performance Damages for Insufficient Performance

Administration

Contractor provides Woody Biomass Administration Services in accordance with Arkansas Forestry Best Management Practices (BMPs) developed by the Arkansas Forestry Commission.

20% credit on the invoice submitted to ANHC for each instance whereby the Contractor fails to provide Woody Biomass Administration Services in accordance with Arkansas Forestry Best Management Practices (BMPs) developed by the Arkansas Forestry Commission.

Woody Biomass Sale Proceeds

Contractor delivers Woody Biomass Sale proceeds and mill documentation in a manner and within a timeframe post-sale as directed by ANHC.

20% percent credit on the invoice for each failure to deliver Woody Biomass Sale proceeds and mill documentation in a manner and within a timeframe post-sale as directed by ANHC.

Repeated issues of delays in delivering sale proceeds will result in Contract cancellation.

SECTION 2 – GENERAL INSTRUCTIONS AND INFORMATION

• Do not provide responses to items in this section unless specifically and expressly required.

2.1 ISSUING AGENCY

TSS OSP, as the issuing office, is the sole point of contact regarding the IFB throughout this solicitation process.

2.2 TYPE OF CONTRACT

A. As a result of this IFB, TSS OSP intends to award a term contract to a single Contractor.

B. The anticipated starting date for any resulting contract is July 1, 2021, except that the actual contract start date may be adjusted unilaterally by the State for up to three calendar months. By submitting a signed bid in response to the IFB, the Prospective Contractor represents and warrants that it will honor its bid as being held open as irrevocable for this period.

C. The initial term of a resulting contract will be for one (1) year. Upon mutual agreement by the

Contractor and ANHC, the contract may be renewed by TSS OSP for up to six (6) additional one-year terms or portions thereof, not to exceed a total aggregate contract term of seven (7) consecutive years.

2.3 CONTRACTOR SELECTION

A. Award will be made to the responsible Prospective Contractor with the lowest commission percentage fee, as provided on the Official Solicitation Price Sheet.

2.4 RESPONSE DOCUMENTS

A. All bid responses must be submitted through ARBuy, the State’s eProcurement system. The system can be accessed at https://arbuy.arkansas.gov.

B. Bid Response Packet

1. The following are bid submission requirements and must be submitted as part of a Prospective

Contractor’s bid response.

a. Signed Bid Signature Page. Signature may be ink or digital. (See Bid Response Packet.)

b. Completed Bid Response Packet, which must be in the English language.

c. Completed Pricing Response. The Official Solicitation Price Sheet is attached to solicitation posting in ARBuy. Pricing must be proposed in U.S. dollars and cents.

d. Proposed Subcontractors Form. The utilization of any proposed subcontractor is subject to approval by the Department.

e. Exceptions Form.

f. Copy of the Prospective Contractor’s State of Arkansas Registered Forester license.

g. One (1) page summary detailing the Prospective Contractor’s experience and understanding of the items detailed in the Prospective Contractor Qualifications section of this IFB.

https://arbuy.arkansas.gov/

h. Agreements between the Prospective Contractor, the mills, and harvesting companies (see Woody Biomass Ecological Thinning and Harvesting and Woody Biomass Marketing and Sales.)

2. The following items, which must be submitted prior to a contract award to the Prospective Contractor, may also be included with the Prospective Contractor’s bid response:

a. EO 98-04 Contract & Grant Disclosure Form.

b. Copy of Prospective Contractor’s Equal Opportunity Policy.

c. Certificate of Insurance (see Insurance Requirements.)

3. DO NOT include any other documents or ancillary information, such as a cover letter or promotional/marketing information.

2.5 OFFICIAL SOLICITATION PRICE SHEET INSTRUCTIONS

A. Prospective Contractor(s) shall include pricing on the Official Solicitation Price Sheet only. If any cost is not identified by the successful Contractor but is subsequently incurred in order to achieve successful operation, the Contractor shall bear this additional cost. The Official Solicitation Price Sheet is provided as a separate electronic file posted with this Bid Solicitation.

B. Prospective Contractor shall include all costs associated with providing the Woody Biomass Administration Services and with fulfilling the IFB Requirements in the Commissioned Percentage of Total Sales Fee pricing cell on the Official Solicitation Price Sheet including but not limited to:

1. Any minimum charges for timber sale administration

2. Any minimum charges associated with boundary lines

C. To allow time to review bids, prices must be valid for 90-days following the bid opening.

D. Prospective Contractor shall provide pricing expressed as a percentage.

2.6 PRICE ESCALATION

A. Price changes may be negotiated at the time of contract renewal at the discretion of the State. Any request for a price increase must include supporting documentation demonstrating that the increase in contract price is based on an increased cost to the Contractor and that the proposed pricing is still competitive in the marketplace. The Department of Transformation and Shared Services, Office of State Procurement, has the right to approve or deny any request for a price adjustment.

B. In the event of a general price decrease, the State shall be guaranteed full benefit of the price reduction for all undelivered purchase orders on the effective date of the decrease and thereafter.

2.7 ACCEPTANCE OF REQUIREMENTS

A. Unless a Prospective Contractor expressly and conspicuously identifies any exception or exceptions to any of the Requirements in the Specifications Section of this IFB by listing them on the Exceptions Form (See Bid Response Packet), Prospective Contractor understands its submission of a bid to represent that its bid meets all such Requirements.

B. A Prospective Contractor’s bid may be rejected if the Prospective Contractor takes exception to any Requirements in the Specifications Section of this IFB.

2.8 ADDITIONAL TERMS AND CONDITIONS

A. Any special terms and conditions included in this solicitation shall override the Solicitation Terms and

Conditions located on the TSS OSP website here (Agencies – Forms and Reporting – Solicitation Templates): https://www.transform.ar.gov/procurement/agencies/forms-and-reporting/.

B. Unless a Prospective Contractor expressly and conspicuously identifies any exception or exceptions to any of the terms in the Standard Services Contract Template, Prospective Contractor agrees and will adhere to all terms if selected as the successful Contractor. Items identified as non-negotiable may only be modified if the legal requirement is satisfied and approved by the State.

The Standard Services Contract can be viewed on the TSS OSP website here (Agencies – Services

– Forms): https://www.transform.ar.gov/procurement/agencies/services/.

https://www.transform.ar.gov/procurement/agencies/forms-and-reporting/ https://www.transform.ar.gov/procurement/agencies/services/

SECTION 2 – GENERAL INSTRUCTIONS AND INFORMATION