HomeMy WebLinkAboutAddendum No. 4(1,-i#g of 4J1aimt
KENNETH J. ROBERTSON
Chief Procurement Officer
.IOHNNY MARTINEZ, P.E.
City Manager
ADDENDUM NO. 4
RFP No. 287252 April 9, 2012
Request For Proposals to Provide City of Miami Towing Services - Citywide
TO: ALL PROSPECTIVE PROPOSERS:
The following changes, additions, clarifications, and deletions amend the RFP documents of the above
captioned RFP, and shall become an integral part of the Contract Documents. The remaining provisions
are now in effect and remain unchanged. Please note the contents herein and reflect same on the
documents you have on hand.
1) Addendum No. 1 was issued February 15, 2012, to administratively extend the RFP proposal
submission deadline to March 14, 2012 at 2:00 PM.
2) Addendum No. 2 was issued March 13, 2012, to administratively extend the RFP proposal
submission deadline to Friday, April 6, 2012 at 2:OOPM.
3) Addendum No. 3 was issued March 29, 2012, to administratively extend the RFP proposal
submission deadline to Friday, April 13, 2012 at 1:OOPM.
4) Addendum No. 4 is now issued to administratively extend the RFP proposal submission
deadline to Friday, April 20, 2012 at 1:00 PM.
5) Attachment H is attached hereto and incorporated herein by reference in order to explain
additional Towing RFP details. (See Header/Attachments Section).
6) The towing rates detailed in Section 3.0 of the RFP, have been revised as follows in
accordance with the currently approved towing rates as enacted by the City of Miami Ordinance 13142:
3.2.1. CATEGORY A : Towing of Privately owned vehicles
Towing Rates by Wrecker Class
Base rates shall include hookup, unlocking door if necessary, dropping of linkage,
use of dolly and towing.
Mileage rate, as determined below, shall be allowed for each mile or fraction of a
mile to all destinations, with the exception of a City operated storage facility. Refer to
Header/Attachments Section, Attachment D for description of wrecker class.
Class "A"
(a) Base Rate (first 30 minutes) $ 10'1.00
$ 92.00
(i) City Administrative Charge $-30700
$ 26.00
(ii) Mileage Rate -after first 5 miles $ 3.50
Class"B"
(a) Base Rate (first 30 minutes) $ 180.00
$168.00
(i) City Administrative Charge $-30700
$26.00
(ii) Mileage Rate -after first 5 miles $ 4.00
Class "C"
(a) Base Rate (first 30 minutes) $ 230.00
$ 226.00
(i) City Administrative Charge $ 30.00
$ 26.00
(ii) Mileage Rate - after first 5 miles $ 5.00
Class "D"
(a) Base Rate (first 30 minutes) $ 280.00
$ 262.50
(i) City Administrative Charge $ 30.00
$ 26.00
(ii) Mileage Rate - after first 5 miles $ 5.00
Note: Mileage fees shall not be charged for towing a private vehicle to a city -
operated storage facility. Mileage for towing vehicles from outside City limits to City -
operated storage facility shall be based on the one-wayy distance between the pickup
point, and the closest point of entry into Miami city limits.
Additionally, Successful Proposer(s) shall not charge a fee, e.g. "gate fee," for
allowing the owner/agent to remove the released vehicle from their property or the
Successful Proposer(s) moving the vehicle to a location where the owner/agent can
take possession of the vehicle. Roll -Back Towing Rates to prior authorized values
and answer questions.
7) The following language is added/revised to Section 2.25, Zone Assignments to read:
It is the intention of the City to qualify Proposers and award for each Zone, under Category
A services, Police and Fire Dispatched Towing of private vehicles based on a 24 hour
rotating basis (24 hours on -call and 24 hours off), two (2) qualified Proposers. For
purposes of this RFP, there are a total of five (5) Zones within the City. For the provision of
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Category B services, all awarded Qualified Proposers will be required to provide towing
services on a monthly, rotational basis for City -owned, leased, or rented vehicles.
Should the City determine, at any time during the term of the Contract but particularly
when there are less than two (2) towing firms on a per zone basis, that it would be in its
best interests, it may allow the addition of other qualified towing firms to be added to the
Contract to meet the needs of the City. It shall be in the City's sole discretion to do so.
Should the City determine a need exists, any towing firm seeking to be added to the
Contract and a particular zone must meet all minimum qualification requirements
stipulated within the RFP, and be subject to a site and equipment inspection to determine
its qualifications for a zone.
The City will make zone assignments in the following manner. Qualified Proposers, based
on the submitted Revenue Proposal amounts from highest to lowest, will select the zone
preference from the ten (10) zone awards. If there is a tie among Qualified Proposers'
submitted Revenue Proposal amounts, a lottery drawing will be conducted between the
tied Qualified Proposers to determine the order of zone preference selection.
If there are more than ten (10) Qualified Proposers, the first ten (10) selected, based upon
the above, will receive the zone assignments. If there are fewer than ten (10) Qualified
Proposers, all Qualified Proposers will receive one of the 10 zone assignments and
any remaining zone assignments will be made by repeating the Qualified Proposers
List, from highest to lowest Revenue Proposal amounts, until all 10 zone
assignments are made.
Final Award of Zone will be confirmed subject to the City of Miami receiving their Annual
Revenue Proposal within five (5) business days of notification of award. Failure to submit
the Revenue Proposal amount will result in contract suspension until paid, but no more
than ten (10) days, after which the Qualified Proposer will be deemed in default and
removed from the Final Award of Zone, and all remaining Qualified Proposers, may move
up one award level.
Approximately sixty (60) days prior to the anniversary date of each contract year, the City
will issue an informal bid for the zone selections for the following year. The Qualified
Proposers must submit their bid as their Annual Revenue Proposal. Each year, based on
the highest to lowest amounts proposed, the zone selections will be offered.
Full payment or fifty percent (50%) payment with the balance paid over the next five (5)
months in equal installments must be arranged and/or made prior to annual contract
renewal date. The Zone Selection process, as defined above, will be repeated each
anniversary year of the contract.
8) Questions and Answers are as follows:
1. Did the City consider how profitable each tow has been in the past when formulating a system
where a mandatory minimum charge of $25,000 for every zone assignment is required with no
ceiling on how much each proposer can bid?
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A: Yes.
2. Did the City review the number of cars towed in each zone in the past when formulating a
system where a mandatory minimum charge of $25,000 for every zone assignment is required
with no ceiling on how much each proposer can bid?
A: Yes. The maximum towing rates are specifically defined in City Code Section 42-119.
3. Is there any relationship at all between the mandatory minimum charge of $25,000 for every
zone assignment and the number of cars towed in each zone, as per past history?
A: Yes.
4. Would the City agree that the imposition of a mandatory minimum charge of $25,000 for every
zone assignment with no ceiling on how much each proposer can bid will encourage tow
companies to bid more than what they will earn as profits on each tow assignment?
A: No, that does not make sense from a business perspective.
5. Did the City anticipate that the amount bid by each tow company may have an impact on
whether the winning bidder(s) utilizes the rate adjustment process as outlined in Section 3.2?
A: The city commission approved fixed maximum towing rates via Ordinance 13142. Any
towing rate changes would need to be approved by the city commission via ordinance. Such
changes, if approved, would then be applied universally to all towing companies equally.
6. Can a winning bidder ask for a rate adjustment, as per the provisions of Section 3.2, simply
because the amount bid for the mandatory minimum charge was too high? As an example, if a
bidder bids $100,000 (one hundred thousand dollars) on Zone 1 and it turns out this amount of
more than will be generated in profit, can a rate change be sought by the winning bidder simply
because the original bid was too high?
A: Again, this is not an IFB, but, rather, an RFP with fixed pre -approved maximum towing rates.
Any towing rate changes would need to be approved by the city commission via ordinance.
Such changes, if approved, would then be applied universally to all towing companies equally.
7 If a bidder wants to bid on an entire zone may a revenue proposal be made for an entire zone
or do two bid proposals have to be tendered?
A: This is not an IFB, but, rather, an RFP with an annual revenue proposal component and
fixed ordinance approved maximum towing rates. Zone assignments will be made pursuant to
RFP Special Condition 2.25, ANNUAL ZONE ASSIGNMENTS.
8. How will the City handle "alternate responses" as per Section 1.5 to decide zone assignments.
For instance, if a bidder bids $50,0000 for an zone 3, and submits an "alternate response" of
$30,000 for zone 2, is the bidder obliged to pay the $30,000 for zone 2 if the bidder is
successful on the zone 3 award?
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A: This is not an IFB, but, rather, an RFP with an annual revenue proposal component and
fixed pre -approved maximum towing rates. Zone assignments will be made pursuant to RFP
Special Condition 2.25, ANNUAL ZONE ASSIGNMENTS.
9. According to Section 2.25, if there are less than two towing firms per zone, the city may allow
additional towing firms to be added to the zone if it is in the City's "best interests" and meets
the needs of the City. What are these "best interests"? Under what circumstances will a tow
firm that is assigned an entire zone have the City assign another company? Who at the City
determines this? Does the additional towing company have to guarantee any revenue? Would
an additional assignment be fair to one who has bid a certain amount for a zone?
A: This is defined in RFP Special Condition 2.25, ANNUAL ZONE ASSIGNMENTS. The City of
Miami prefers that two (2) rotational towing firms are assigned to each zone throughout the
contract term. Additional towing firms must meet all RFP minimum qualification and contract
requirements in order to participate in the contract, including RFP Special Condition 2.19,
ANNUAL REVENUE PROPOSAL. Again, this is not an IFB, but, rather, an RFP with an annual
revenue proposal component and fixed pre -approved maximum towing rates. Towing
companies are not "bidding" for specific zones. Zone assignments will be made pursuant to
RFP Special Condition 2.25, ANNUAL ZONE ASSIGNMENTS.
10. Is the City considering new towing companies to take part of the bidding process or will it be
between the current companies towing for the City?
A: The RFP 287252 is open and competitive for all proposals.
11. There are presently five (5) zones. Will all five (5) zones remain, or will the map be re -zoned
(i.e., 9 zones)?
A: The five (5) zones will remain as before.
12. There are currently two (2) towing companies per zone. Will two (2) companies continue to
tow per zone, or will it be reduced to 1 company per zone or increased to 3+ towing companies
per zone?
A: Please refer to RFP, Section 2.25, Annual Zone Assignments.
13. Will the prices of the towing services remain the same, or will they increase immediately or
within time?
A: Please refer to Question and Answer No. 5 above.
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14. Assuming bids are made in the same amount for the same zones, how will the bidding work?
A: Please refer to RFP, Section 2.25, Annual Zone Assignments. There is language in this Section
regarding ties among qualified Proposers.
ALL OTHER TERMS AND CONDITIONS OF THE RFP REMAIN THE SAME.
KR/tb
C: RFP File
Sincerely,
�ceice€E /J e
Kenneth Robertson
Director/Chief Procurement Officer
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