Utility Scale Solar -Addendum #5 - Vendor Q & A

The State of Michigan Department of Natural Resources issued Request for Proposal No. 200000001868 on June 11, 2020, seeking proposals from qualified public or private utilities and solar development companies to develop, design, construct, and operate utility-scale solar photovoltaic systems on state forest lands at two locations: the Groveland Mine in Dickinson County (673 acres) and the 7 Mile Pit in Crawford County (169 acres). The RFP requires bidders to submit comprehensive technical proposals including renewable energy system descriptions, conceptual layout drawings, power production reports, equipment specifications, professional engineering design plans sealed by Michigan-licensed engineers, quality control and geotechnical assessment plans, construction timelines, and preliminary financial analyses demonstrating project profitability. Bidders must secure their own electricity offtake agreements with energy buyers, with David Petrie of CMS Energy (Consumers) identified as a relevant contact for off-taker discussions; the State has made no prior arrangements with off-takers, requiring bidders to conduct independent due diligence and partnership development. The contract structure consists of two separate lease phases: a Project Development Lease providing site control and permitting authority, and a 25-year Surface Use Lease for construction and operations with options to renew in five-year increments up to a maximum 40-year term. Technical proposals were evaluated on 100 points distributed across system design and construction requirements (10 points), proposal requirements and conceptual layout drawings (40 points), staffing and key personnel (15 points), project plan (10 points), and vendor questions worksheet responses (25 points), with proposals scoring 80 or more points advancing to pricing evaluation. The proposal submission deadline was August 14, 2020, at 3:00 p.m. Eastern Time, with optional site visits conducted on July 1, 2020, at both locations and a written question deadline of July 14, 2020.

The RFP does not establish specific set-asides for disadvantaged, minority, or women-owned businesses; however, evaluation factors include consideration of qualified disabled veteran or service-disabled veteran-owned business status and prior performance with the State of Michigan. No incumbent contractors or existing solar infrastructure requiring integration are identified in the procurement documents. Bidders are required to submit pricing proposals on a per-acre-year basis for both the development lease phase and the surface use lease phase using a two-tiered fixed-price structure, though specific budget ranges or award values are not disclosed in the available documentation. The successful bidder must provide a $50,000 performance and payment bond, maintain general liability insurance of $2,000,000 per occurrence with $4,000,000 aggregate coverage, workers' compensation insurance, and pollution liability insurance of at least $1,000,000. Contracts valued at $250,000 or greater require approval by the State Administrative Board. The State of Michigan reserves the right to accept multiple proposals, no proposals, or reject any proposal, and the anticipated contract begin date was October 1, 2020, with DNR evaluation completion dependent on the volume of proposals received.