REQUEST FOR PROPOSALS FOR THE MANAGEMENT AND OPERATION OF A MANICURE/PEDICURE SALON CONCESSION AT SEATTLE-TACOMA INTERNATIONAL AIRPORT

Transcription

1 REQUEST FOR PROPOSALS FOR THE MANAGEMENT AND OPERATION OF A MANICURE/PEDICURE SALON CONCESSION AT SEATTLE-TACOMA INTERNATIONAL AIRPORT Port of Seattle Seattle-Tacoma International Airport Aviation Office Building Main Terminal Pacific Highway South Seattle, WA 98158

2 TABLE OF CONTENTS TABLE OF CONTENTS...i I. OVERVIEW INTRODUCTION BACKGROUND GOALS... 2 II. INSTRUCTIONS THE CONCESSION QUALIFICATIONS PORT REPRESENTATIVE WRITTEN QUESTIONS PRE-PROPOSAL CONFERENCE SUBMITTALS COMPETITIVE INTEGRITY REJECTION OF PROPOSALS WITHDRAWAL OF PROPOSALS PUBLIC DISCLOSURE PROPOSAL GUARANTEE EVALUATION PROCESS AND AWARD EVALUATION CRITERIA COST OF PREPARATION OF DOCUMENTS ADDITIONAL INFORMATION EXHIBITS SCHEDULE... 9 III. PROPOSAL REQUIREMENTS...10 IV. PROPOSER S CERTIFICATION...13 i

3 REQUEST FOR PROPOSALS FOR THE MANAGEMENT AND OPERATION OF A Manicure/Pedicure Salon Concession AT SEATTLE-TACOMA INTERNATIONAL AIRPORT 1. INTRODUCTION I. OVERVIEW Proposals are hereby requested by the Port of Seattle (the Port ) from all qualified and responsible proposers ( Proposer ) desiring to manage and operate a Manicure/Pedicure Salon Concession ( Concession ) at Seattle-Tacoma International Airport (the Airport ). The Port, in developing a cohesive concession program, is issuing this Request for Proposals ( RFP ) to all companies who possess the industry expertise and financial strength to successfully operate a manicure/pedicure salon concession at the Airport. The Airport s concession program includes retail and service concessions in each of the terminals for the convenience of the travelers and desires to further enhance passenger services by putting in place a service Concession that features manicure and pedicure salon services with other related products and services as bid. The Port will grant the successful Proposer a non-exclusive right for this concession and enter into a Lease and Concession Agreement (Agreement) for a term of five (5) years beginning November 1, 2006 for the Premises listed on Exhibit BACKGROUND The Port owns and operates the Airport and its passenger terminals consisting of the Main Terminal, Concourses A, B, C, D, North and South Satellites, and the Parking Garage. Currently, the Airport has 83 gates and is served by some 26 air-carriers operating domestic and international flights. A list of the passenger airlines operating at the Airport as of June 2006 is shown on Exhibit 2. In 2005, approximately 29.3 million passengers (26.8 million domestic, 2.5 million international) passed through the Airport. See Passenger Traffic Summary report on Exhibit 3, which includes the Port passenger forecast through year The Port completed re-constructing Concourse A in June of 2004 which provides fourteen (14) airline gates and a new Concourse A passenger checkpoint. The Port has also recently redeveloped and opened the Central Terminal in May of 2005 to create a dynamic marketplace just beyond a new central passenger security checkpoint. The Airport also maintains the existing security checkpoints at the North Esplanade and at the entrance to Concourse C (the C checkpoint will be utilized by the Transportation Security Administration during peak periods of operation throughout the year as needed). Passengers are now able to access all gates in the Airport through any security checkpoint. Currently, there is a manicure/pedicure kiosk at the Airport. The Port will endeavor to make available to the successful Proposer approximately 1,000 square feet of concession space on the ticketing level of the Airport, post-security in the new Concourse C-1 building. The Port 1

4 will require that the new contract provide services and products at comparable rates charged for similar services and products off-property with rate increases requiring the Port s approval. 3. GOALS The Port s objective is to enter into an agreement with an experienced, financially sound company to manage and operate a manicure/pedicure salon concession at the Airport that will help the Port meet the following goals: 3.1 Enhance the overall shopping experience at the Airport by building a service concession in the newly-built Concourse C-1 building. 3.2 A salon offering manicure and pedicure services and related services and products in a reliable, clean, and user-friendly store. 3.3 Well organized and thoughtfully planned service facility. 3.4 Provide services and products that are deemed a value to passenger by offering services and products at street pricing to the public. 3.5 Disadvantaged Business Enterprise s participation. 3.6 Provide additional services to the traveling public, tenants, and other users of the airport within the scope of the proposed facility. 2

5 II. INSTRUCTIONS 1. THE CONCESSION The successful Proposer will be responsible for managing and operating the manicure/pedicure salon. The successful Proposer will be required to install and maintain all required equipment and all other necessary equipment at the location designated by the Port. All equipment installed for use of the concession must be new and of the latest technology, and must meet the approval of the Port. The successful Proposer shall enter into a non-exclusive agreement with the Port, which shall be substantially in the form as Exhibit 5. The successful Proposer shall pay the Port the Percentage Fees as bid. 2. QUALIFICATIONS The minimum qualifications for any Proposer responding to this RFP shall be as follows: 2.1 At least two (2) years of continuous experience in the management of a manicure/pedicure salon concession and/or other related services in high traffic public areas, including airports. 2.2 Financial resources and initial investments to sustain operations for the entire term of the Agreement. 3. PORT REPRESENTATIVE Elaine Lincoln, Aviation Concessions Manager, is the designated Port representative (the Port Representative ) for this project All contacts and communications regarding this RFP must be directed in writing to the Port Representative, as provided under the WRITTEN QUESTIONS section of this RFP. 4. WRITTEN QUESTIONS All questions and communications about this RFP shall be submitted in writing to the Port Representative. Communication via facsimile machine or from Proposer to the Port Representative (Fax: , ;lincoln.e@portseattle.org) is acceptable to fulfill this requirement. Questions concerning this RFP must be received by the Port Representative no later than 2:30 P.M., Pacific Time, on July 21, Questions received after this time and date will not be considered. Only questions answered by the Port in writing will be binding. Oral and other interpretations, clarifications or submittal instructions will be without legal effect. Interpretations, clarifications or supplemental instructions will be issued by Addenda and will be mailed or delivered to all parties recorded by the Port as having registered on the Ports website. 5. PRE-PROPOSAL CONFERENCE The Pre-Proposal conference is mandatory, and will be conducted on Thursday, July 27, 2006 at 2:00 pm in a room to be determined of the Airport Office Building. Port staff will conduct the conference, discuss the RFP process, conduct a site visit of the proposed space, and provide 3

6 a general overview of the Port s concessions program. The Port requests that Proposers submit all questions, in writing, to the Port Representative by 2:30 p.m., Pacific Time, on July 21, 2006, so that staff will have the chance to review the questions and answer them at the preproposal conference. If changes are required as a result of this conference, written proposal addenda will be issued. Proposers failing to attend this conference will be considered nonresponsive and will not be eligible for award. See Exhibit 6 for the directions to the Airport Office Building. 6. SUBMITTALS 6.1 Proposer must submit a proposal addressing each of the requirements outlined in Section III, Proposal Requirements and include a signed Proposer s Certification set forth in Section IV. Proposer shall organize its proposal using index tabs corresponding with the sections as outlined in this RFP, including the following: Executive Summary Proposal Requirements Signed Proposer s Certification Proposal Surety Attachments 6.2. Proposer shall submit one (1) proposal marked original and three (3) copies of the document, prepared with complete answers, signed by an authorized official, enclosed in a sealed envelope properly addressed, and must be either (a) delivered by hand, (b) mailed by certified or registered mail and acknowledged by a receipt, or (c) by overnight courier, and received by the Port no later than 2:00 PM, Pacific Time, Wednesday, August 16, 2006 at the following address: Port of Seattle Seattle-Tacoma International Airport Aviation Office Building Room A6012M Pacific Highway South Seattle, Washington Attention: Elaine Lincoln Proposals received subsequent to the prescribed time and date shall be considered nonresponsive and shall be returned unopened. 6.3 Waste Reduction - The Port is strongly committed to waste reduction, recycling and the use of recycled materials. All responses must be printed on both sides of 8 ½ x11 inch sized paper having post-consumer recycled content. Responses should not contain any plastic or metal, except for easily removable staples, binder clamps, or similar fasteners. 6.4 All documents must be on 8-1/2 by 11 paper and placed in a 3-ring binder. Proposers are allowed to insert no more than ten 11 x 17 fold out pages. 6.5 Oral, facsimile, telegraphic, electronic or telephone proposals will not be considered. 4

7 7. COMPETITIVE INTEGRITY The Port seeks to maintain a neutral competitive environment for all potential Proposers to protect the integrity of the RFP process. The Port Representative is the only authorized representative of the Port with whom a potential Proposer, or anyone on its behalf, shall have contact with concerning this solicitation from the release date of this RFP until the Port completes its review process and publishes its recommendation for award. Any communication concerning the content of this solicitation by a potential or actual Proposer, or anyone on its behalf, with any Port official or employee other than the Port Representative will result in the rejection of that Proposer s proposal unless, in the reasonable judgment of the Port s General Counsel, the communication could not reasonably be believed to have given the Proposer a competitive advantage or have impaired the neutral competitive environment of this solicitation. Submitted questions, per paragraph 2, are the only contact contemplated by this solicitation between the Port and potential Proposers. 8. REJECTION OF PROPOSALS The Port reserves the right to accept or reject any or all proposals in their entirety or in part, and to waive informalities and minor irregularities. During the evaluation process, if the Port determines that a particular requirement may be modified or waived, then the requirement(s) will be modified or waived for all Proposers and all proposals will be re-evaluated in light of the change. In the event that, in the Port s sole determination, there is not an acceptable response, the Port reserves the right to enter into direct contract negotiations with any party it chooses on such terms and conditions as shall then be acceptable to the Port, notwithstanding any provisions of this RFP. 9. WITHDRAWAL OF PROPOSALS Submitted proposals may be withdrawn prior to the deadline for submission of proposals. After opening of the proposals by the Port and prior to the time the selected candidate is notified, Proposer may not withdraw its proposal except on the forfeiture of its Proposal Guarantee to the Port as liquidated damages. 10. PUBLIC DISCLOSURE As a public agency, the Port is subject to the Washington State Public Disclosure Act, Chapter 42.17, Revised Code of Washington (RCW). As such, the Port may be required to disclose information provided in Proposer s proposal. The Port will promptly notify Proposer of any requests for public disclosure of Proposer s documents. Proposer shall be responsible for and bear the costs of taking legal action in an attempt to prevent disclosure of such documents. In no event shall the Port be liable to Proposer for disclosure of Proposer s documents the Port deems disclosable under Chapter RCW. 5

8 11. AIRPORT CONCESSIONS DISADVANTAGED BUSINESS ENTERPRISE (ACDBE) The Port does not require but encourages participation of ACDBEs as defined by the State of Washington Office of Minority and Business Enterprise. ACDBE participant must be actively engaged in the concession operation. If proposed, certification through the State of Washington Office of Minority and Business Enterprises must be in place on the date of RFP submittal. The successful Proposer must maintain the level of ACDBE participation proposed throughout the term of the Agreement. 12. PROPOSAL GUARANTEE The proposal must be accompanied by a CASHIER S CHECK, MONEY ORDER OR SURETY BID BOND payable to the Port of Seattle in an amount of Five Thousand and No/100 Dollars ($5,000.00). This security shall serve as guarantee that the Proposer, if awarded the contract under this RFP, will execute the Agreement and provide to the Port a lease security and required evidence of insurance. This security will be returned to Proposers as soon as practicable after the selected Proposer has signed the Agreement. 13. EVALUATION PROCESS AND AWARD 13.1 The Port will initially evaluate each proposal for responsiveness. A determination of responsiveness will be based upon whether Proposers completed and submitted all documents required in Section II, Item 6.1. Nonresponsive proposals will not be further evaluated Following the initial evaluation, the responsive proposals will be further evaluated based on the evaluation criteria listed or discussed in this RFP The Port reserves the right to interview the Proposers, to ask for clarifications or additional information, conduct on-site visits of their place(s) of business, and/or require the Proposers to make a presentation if the Port determines this to be in its best interest The Port, in its discretion, may refuse to evaluate a proposal for any number of reasons including, but not limited to: Evidence of collusion: More than one response submitted by a Proposer under the same or different names will not be considered. Reasonable grounds for believing that the Proposer is submitting more than one response will cause the rejection of the Proposer s response in which the Proposer is involved. One or all responses will be rejected if there is reason for believing that collusion exists among Proposers, and no participant in such collusion will be considered in future proposals for concessions at this Airport Unsatisfactory performance of record, based on conduct, workmanship, or progress, as shown by past or current contracts with the Port or any other entity. 6

9 Contracts not yet completed by Proposer, whether for the Port or others, which completion might hinder or prevent compliance with the contract to be awarded under this RFP The Port, in its sole discretion, may award the Agreement to the highest qualified Proposer and award to the best overall bid. In the event the selected Proposer is unable/unwilling to sign the Agreement, the Port may annul the award and retain the Proposal Guarantee as liquidated damages. The Port, in its sole discretion, may then award the Agreement to the next highest qualified Proposer without having to re-advertise or re-bid the concession, or award the Agreement to any party it deems to the best interest of the public. 14. EVALUATION CRITERIA The Proposal Requirements (Section III) received will be evaluated according to the following criteria: 14.1 Revenue to Port 25 Points Revenue to the Port will be evaluated based upon percentage of gross receipts proposed Management and Operation 25 Points The Proposer must demonstrate its ability to effectively manage the concession Experience and Qualifications 20 Points The Proposer must show that it has the experience in managing either a Manicure/Pedicure Salon concession or other high volume business in an airport or high traffic area Financial Information 20 Points The Proposer must demonstrate that it has the financial capacity to meet the requirements of the Agreement Design and Implementation 10 Points The Proposer will be evaluated on the design and features of the facility, and its ability to build the facility in a timely fashion. 7

10 15. COST OF PREPARATION OF DOCUMENTS All costs associated with the preparation of the proposal and presentation materials shall be the responsibility of Proposer, including but not limited to costs of delivery, express, parcel post, packing, cartage, insurance, license fees, permits, and bonds. 16. ADDITIONAL INFORMATION 16.1 All equipment and furniture must be new and be of a high quality in order to meet the demands and standards of operation in a high traffic facility. The Proposer must show a structured plan on how it intends to maintain and manage its equipment in the Airport The Concession must accept all U.S currency, and at least three forms of credit cards as payment for services and products To the extent utilities are not available at the Premises; the selected Proposers will be responsible for bringing in the utilities to the site as required by the Lease. Utilities consumed will be metered and be at an additional costs to the selected Proposers The successful Proposer will be required to follow all pricing guidelines as outlined in the lease. Refer to the Lease Exhibit for definition of Street Pricing The successful Proposer will provide any additional services or products it feels will benefit the operation, such as retail merchandise related to the manicure/pedicure salon The successful Proposer will submit concept renderings showing use of the space, including a list and cost schedule of all proposed services offered The successful Proposer will be the company that offers the highest percentage of rent to the Port, best use of space, financial stability, and can demonstrate its capabilities in operating in an airport environment The selected Proposer will be required to pay a leasehold excise tax and a business and occupations tax. The leasehold excise tax, which is currently at 12.84%, is based on the contract rent. The contract rent as stated in Section 4 of the Lease and Concession Agreement is equal to 7% of gross receipts. The Proposer shall also reimburse the Port for the business & occupations taxes payable on all rental amounts in excess of the Contract Rent, which is currently at 1.5%. 17. EXHIBITS The exhibits are provided for informational purposes only. The Port does not warrant the accuracy of the statistical information contained therein. Proposers are advised to use their own analysis for their submittal. 8

11 18. SCHEDULE DEADLINE Deadline for submittal of written questions July 21, 2006 Pre-proposal conference July 27, 2006 Deadline for submittal of proposals August 16, 2006 Anticipated award date September, 2006 Start of operation 2006 The Port reserves the right to change any of the above dates, as it deems necessary in the Port s best interest. 9

12 III. PROPOSAL REQUIREMENTS Proposers are requested to provide complete answers to the questions. Evaluation will be based on the answers received. A. Company Profile 1. Provide details of the Proposer which shall include the following: If a corporation, furnish the date and state of incorporation, and the names of all persons or entities owning at least 25% of the company s voting stock. If Proposer is a subsidiary, state the name of parent company; however, all information provided herein must be as to Proposer and not as to parent company. If a partnership, list all partners. If a joint venture, provide the information requested within this section for each party. If a sole proprietorship, list all business names under which such individual has done business during the last five (5) years. 2. Provide organizational structure of the Proposer, both corporate and local. Attach organizational charts and resumes. 3. Provide details for all trademark, copyright, licensing, franchise, and other contractual or property rights the Proposer intends to use. Franchisees shall include a letter from Franchisor granting proposal approval, and if selected, shall submit a copy of the Franchise Agreement. B. Experience and Qualifications 1. Describe the experience and qualifications of the Proposer in managing a manicure/pedicure salon concession or other related concession in a high traffic public area, including airports, within the past five years. 2. Submit a tabulated list where Proposer has operated a manicure/pedicure salon concession or a similar concession, which should include all location(s), beginning and ending dates of the contract(s), and gross receipts generated by each contract. 3. For reference purposes, provide names, titles, addresses and phone numbers of three (3) of the landlords under Item B Provide in detail a list of any leases that have been terminated prior to the expiration of the term within the past ten (10) years, and state reason for early dissolution of lease. C. Financial Information 1. Provide financial statements, including balance sheets, statements of income and changes in financial position, for the last two calendar or fiscal years. Audited financial statements are strongly preferred. In the event audited financial statements are not available, all financial statements shall be certified by the Proposer s Controller, or Officer of the Company. 10

13 2. Provide current Dun & Bradstreet Summary, if available. If a Dun & Bradstreet Summary is unavailable, state the reason. 3. Provide the name, address, telephone/fax numbers of the Proposer s bank, including a letter of reference from the bank. D. Management and Operation 1. Describe the operational relationship and level of oversight and interaction of corporate management in monitoring its operation at this Airport and in supporting local staff. 2. Provide resumes of key staff to be assigned to this Airport including relevant qualifications, job description and level of responsibility. 3. Describe in detail your program with respect to: a) Customer service training. b) Hiring and job development for employees. c) Responding to complaints and refunds. 4 Describe in detail your management plan for the Concession, which shall include daily operations and staffing guidelines, employees training, required credentials, employees responsibilities and maintenance and repair of equipment (service frequencies), etc. 5. Provide a detailed list of proposed services, products and respective pricing for the location in accordance with paragraph of the RFP and the comparable location used for Street Pricing as outlined in paragraph Any related services may be proposed excluding Massage services. 6. Provide a statement of projected income and expenses for each of the five-year terms of the Agreement. For consistency of proposals, refer to the Airport s projected passengers on Exhibit 3. Include other relevant explanation of assumptions used. 7. If Proposer is proposing ACDBE participation, describe the Proposer s business arrangement with the ACDBE, the ACDBE s role and level of participation in this concession. 8. Provide commentary on the attached draft Agreement. The Port intends to use the Agreement in substantially the form attached, but will consider minor revisions that are identified to the Port, in writing, with the proposal submission. 11

14 E. Design and Implementation 1. Provide detailed descriptions, features, photograph(s) or brochure(s) and the quality of all equipment that will be used, and renderings of how the space will be utilized to best suit the passenger and tenant needs. 2. Provide information on Franchising/Branding, and any marketing or promotion planning. 3. Provide detailed information regarding the initial capital investments Proposer will spend for this concession 4. Describe in detail your construction plans, including schedule(s) to achieve set deadlines. F. Rent Proposal 1. Provide a fee structure in the form of percentage of gross receipts the Proposer will pay the Port throughout the five-year term of the Agreement on all services and related merchandise. 2. Provide any other incentives or additional rent opportunities the Proposer wishes to offer in addition to the rents described above. 12

15 IV. PROPOSER S CERTIFICATION By submitting a Proposal, Proposer understands, agrees and warrants that: A. Proposer has carefully read and fully understands the information provided in this RFP, including, but not limited to, Section II, Item 7 (Competitive Integrity). B. Proposer has the capability to successfully undertake and complete the responsibilities and obligations of the proposal being submitted. C. All information in the Proposal is true and correct. D. The Port has the right to negotiate fees and other items it deems appropriate for the benefit of the Port and the traveling public, and other users of the airport. E. The Port has the right to make any inquiry it deems appropriate to substantiate or supplement information supplied by Proposer, and Proposer hereby grants the Port permission to make said inquiries and to provide any and all requested documentation in a timely manner. Dated this day of, (Proposer) By: Title: (TO BE ACCEPTED, ALL PROPOSERS MUST SIGN THIS CERTIFICATION) 13

16 EXHIBIT 1 TO RFP LEASED PREMISES The Port reserves the right to change the location and size of any of the premises as it deems necessary. (Please Refer to LOD) 14

17 EXHIBIT 2 TO RFP PASSENGER AIRLINE TENANTS CONCOURSE A Air Tran American Airlines Delta Airlines Frontier Airlines Hawaiian Airlines Independence Air Sun Country US Airways CONCOURSE B Continental Airlines Horizon Jet Blue Southwest Airlines CONCOURSE C Alaska Airlines Horizon Air CONCOURSE D Alaska Airlines NORTH SATELLITE Air Canada Air Canada Jazz Skywest (United Express) United Airlines SOUTH SATELLITE Air Mobility Command Asiana Airlines British Airways Eva Air Horizon Air Korean Air Northwest Airlines Scandinavian Airlines China Airlines The Port reserves the right to make changes or reallocated the airlines to other locations as it deems necessary. 15

18 EXHIBIT 3 TO RFP PASSENGER TRAFFIC SUMMARY REPORT TOTAL ENPLANED/DEPLANED PASSENGERS (INCLUDING INTERNATIONAL PASSSENGERS) Year Enplaned 14,173,752 13,505,980 13,362,314 13,355,667 14,364,242 14,633,371 Deplaned 14,234,801 13,530,093 13,328,529 13,444,246 14,440,312 14,658,123 Total 28,408,553 27,036,073 26,690,843 26,799,913 28,804,554 29,291,494 TOTAL ENPLANED/DEPLANED PASSENGERS (INTERNATIONAL PASSSENGERS ONLY) Year Enplaned 1,211,174 1,161,411 1,115,129 1,105,512 1,210,623 1,225,231 Deplaned 1,235,328 1,190,825 1,135,001 1,166,931 1,225,493 1,247,953 Total 2,446,502 2,352,236 2,250,130 2,272,443 2,436,116 2,473,184 SEA-TAC S PASSENGER FORECAST Year Total Pax % Increase ,291, , % ,774, % ,543, % ,332, % ,140, % ,969, % ,818, % 16

19 EXHIBIT 4 TO RFP GROSS SALES REPORTED 2005 January-April 2006 Retail $38,171,574 $13,264,872 F&B $75,397,991 $24,722,469 Total Sales $113,569,565 $37,987,341 These are reported numbers, and the Port does not guarantee the accuracy Central Terminal opened May 2, Anthony s opened June 21,

20 EXHIBIT 5 TO RFP STANDARD FORM LEASE AND CONCESSION AGREEMENT (See Attached Manicure/Pedicure Salon Concession Lease ) 18

21 EXHIBIT 6 TO RFP DIRECTIONS TO AIRPORT OFFICE BUILDING (For Pre-proposal Conference Meeting) Aviation Office Building Pacific Highway South Seattle, Washington All Attendees must check in with Reception. Enter the parking garage and follow the signs to Hourly Parking. Proceed to the far south end of the parking garage at park at the Green Elevators. Take the sky bridge to the Main Terminal and go up the escalator to the Ticketing Level. Once on the Ticketing Level, look to the left and follow the signs to the Administrative Offices to the Main Port of Seattle Reception Desk. The Receptionist will direct you to the RFP Meeting Room. 19