CITY OF HONDO, TEXAS REQUEST FOR PROPOSAL FOR AIRPORT AGRICULTURAL LEASES RFP#

Transcription

1 CITY OF HONDO, TEXAS REQUEST FOR PROPOSAL FOR AIRPORT AGRICULTURAL LEASES RFP# PUBLISHED DATE: November 3, 2016 RESPONSE DUE DATE: November 18, 2016 Interested Parties must submit a RESPONSE PACKAGE of one (1) original and five (5) copies, to Gloria Colbath, City Secretary, City of Hondo, City Hall, 1600 Avenue M, Hondo, Texas by no later than 2:30 p.m. (CST), September 15,

2 Table of Contents Contents SECTION 1. INTRODUCTION AND GENERAL INFORMATION... 4 A. Introduction... 4 B. Property Description... 4 C. Timeline... 4 D. Deadline... 5 E. Evaluation of Proposals... 5 F. Award of the Proposal... 5 G. Contact Person... 5 H. Information Provided by City... 6 I. Costs and Expenses of Bidders... 6 SECTION 2. TERMS OF OFFERING... 6 SECTION 3. STANDARDS AND CONTROLS... 7 A. Site Conditions and Terms... 7 B. Additional Bidder Responsibilities... 7 SECTION 4. PROPOSAL SUBMISSION REQUIREMENTS... 8 A. General Requirements... 8 B. Compliance with RFP... 8 C. Proposal Delivery and Acceptance... 8 D. Explanations and Clarifications... 9 E. Ambiguity, Conflict or Errors in RFP... 9 F. Proprietary Information G. Cancellation or Modification of RFP and Rejection of Any and All Proposals H. Conducting Investigations/Requesting Supplementary Information I. Bidder s Indemnification SECTION 5. PROPOSAL CONTENTS SECTION 6. Evaluation Criteria A. Evaluation Criteria B. Lease Agreement SECTION 7. Rights Reserved by City SECTION 8. Administrative Provisions A. Issue Date B. Issuing Office

3 C. Obtaining RFP D. Property Inspections E. Revisions and Addenda F. Solicitation Costs G. Award of Bid H. Withdrawing of Proposal I. Assignment J. Attorney s Fees K. Governing Law and Venue L. Sovereign Immunity M. Bidder s Representation N. Equal Opportunity EXHIBIT A Property Description EXHIBIT B BUSINESS OWNER INFORMATION FORM EXHIBIT C Conflict of Interest Questionnaire Form 1295 Business Interest Disclosure EXHIBIT D Request for Proposals Acknowledgement and Anti-Collusion Certification EXHIBIT E Form of Agricultural Lease

4 SECTION 1. INTRODUCTION AND GENERAL INFORMATION A. Introduction The South Texas Regional Airport at Hondo (the Airport ) is soliciting proposals from qualified bidders to enter into a lease agreement for property to be used for agricultural purposes such as crop production, soil cultivation, and/or cattle grazing, etc. The Airport intends to enter into a five-year dry lease agreement with the selected bidder. B. Property Description The Airport is owned and operated by the City of Hondo, Texas ( City ). The Airport was built in 1942 for the US Army Air Corps for navigator training. After World War II, the government deeded the airfield to the City of Hondo. At present there are approximately 1,392 acres of property set aside for agricultural use. The Airport currently operates as a general aviation airport and is located at 700 Vandenberg Road, Hondo, Texas. The Airport is currently seeking proposals to lease three parcels of land for agricultural use. The size and use of each parcel is detailed below and in EXHIBIT A (the Property ) Parcel 1: approximately 120 acres; cattle grazing Parcel 2: approximately 144 acres; crops Parcel 3: approximate 880 acres; crops C. Timeline The Airport anticipates the following timeline for this solicitation: EVENT DATE LOCATION RFP Issued Nov. 3, 2016 City Secretary, 1600 Avenue M., Hondo, Texas Deadline to submit questions Nov. 11, questions to: rlee@hondo-tx.org Response to questions Nov. 15, 2016 Proposal due date Anticipated preliminary award Response posted at: under the public notices tab Nov. 18, 2016, 2:30 City Secretary, 1600 Avenue M., Hondo, Texas p.m. (CT) within 60 days after the opening of bids 4

5 D. Deadline Proposals will be date and time stamped upon submission and a receipt will be provided. BIDDERS MUST PROVIDE ONE (1) ORIGINAL PLUS FOUR (4) COPIES OF EACH PROPOSAL. The City of Hondo will not accept proposals after the deadline. Use of the U. S. Postal Service, private delivery companies or courier services is undertaken at the sole risk of the bidder. It is the bidder's sole responsibility to ensure that the proposal is in the possession of the issuing office by the deadline. All proposals must include at a minimum the information specified below. Failure to include this information will seriously penalize a proposal s evaluation and may be cause for its rejection. The inclusion of any additional information that will assist in its evaluation is encouraged. The adequacy, depth and clarity of the proposal will influence, to a considerable degree, its evaluation. The proposal submitted must be complete enough for selection to be made based solely on its contents. E. Evaluation of Proposals City of Hondo staff will first examine the proposals to determine their conformance with the requirements of this Request for Proposals (RFP). Any proposals that are determined to be nonresponsive will be rejected. Therefore, bidders should exercise particular care in reviewing the required proposal format as set forth in this RFP. See Section IV for a description of the submittal requirements, and Section V for the evaluation criteria of proposals. City will designate a RFP selection committee to review the proposals and submit its recommendations to Hondo City Council. F. Award of the Proposal City may select one or bidders to enter a lease agreement for all or portions of the Property. Selection will be made on the proposal(s) that is determined to be in the City of Hondo s best interests. The City of Hondo reserves the right to reject any or all proposals, to accept or reject any one or more items of a proposal, or to waive any irregularities or informalities in a proposal. G. Contact Person Please submit written questions regarding this RFP to: Robert Lee, Aviation Director rlee@hondo-tx.org 5

6 No oral explanation in regard to the meaning of the specifications will be made and no oral instructions will be given before the award of the contract. Request from interested bidders for additional information or interpretation of the information included in the specifications should be directed in writing to address above. The deadline for receipt of written questions shall be 12:00 PM (Noon) CST, Friday, November 11, A written response will be posted on the City website under the public notices tab. H. Information Provided by City Information included in or provided with this RFP is provided solely for the convenience of the bidders. WHILE THIS INFORMATION IS BELIEVED TO BE ACCURATE, NO REPRESENTATION OR WARRANTY OF ANY KIND IS MADE BY THE CITY OF HONDO AS TO THE ACCURACY OR COMPLETENESS OF THE INFORMATION INCLUDED IN OR PROVIDED WITH THIS RFP. Bidders are solely responsible for conducting such independent due diligence investigations as may be necessary for the preparation of proposals. The City of Hondo and its employees, consultants, agents, and advisors are not responsible for the completeness or accuracy of any information distributed or made available, orally or in writing, during this procurement process. I. Costs and Expenses of Bidders The City of Hondo accepts no liability under any circumstances for any costs or expenses incurred by bidders in making a proposal, visiting and evaluating the properties, attending any meetings or interviews, participating in negotiations of the agreement, or in acquiring information, clarifying or responding to any condition, request, or standard contained in this RFP. Each bidder who participates in this procurement process does so at its own expense and risk and agrees that the City of Hondo shall not reimburse any costs incurred during this process, whether or not any award results from the solicitation. SECTION 2. TERMS OF OFFERING The City of Hondo is seeking bidders who are willing and able to lease one or more of parcels included in the Property for agricultural purposes and in accordance with the goals as stated herein and in compliance with Standards and Controls established for the Property and other applicable and governing rules and regulations. The goals of the City of Hondo in seeking development for the property include, but are not limited to, the following: Ensure the bidder s proposal complies with requirements of this RFP. Agricultural use is compatible with Airport airfield operations and navigational systems. 6

7 Provides best value to city SECTION 3. STANDARDS AND CONTROLS A. Site Conditions and Terms 1. The Property will be offered for lease to the successful bidder(s) for agricultural uses, and for no other purposes without the City s written consent. 2. The lease shall be for a period not to exceed 5 years. The lease will reserve the city s right to terminate the lease with or without cause. 3. The Property is offered in "as is" condition. The properties may or may not contain environmental hazards, drainage, or other site conditions that will need to be remediated by the bidder prior to its use for agricultural purposes. The City of Hondo does not make any representation, guarantee, or warranty concerning the site conditions. 4. Any residual demolition work on the Property will be the responsibility of the successful bidder(s). 5. The use of the property must comply with applicable city codes and ordinances. 6. The Property is located adjacent to an active airfield. The successful bidder s use must therefore not interfere with airfield operations and navigational systems. B. Additional Bidder Responsibilities 1. The successful bidder shall be responsible for obtaining all permits, standard regulatory approvals, platting approvals, approvals for zoning changes and appeals, or regulatory changes of any kind, as well as any required engineering and environmental studies, unless otherwise requested to be waived or paid by the City in the response to this proposal. 2. The leasehold will not include use of water wells and water rights associated with the Property. The successful bidder will be responsible for obtaining any permits, water rights and make any well improvements that may be needed for its proposed uses. 7

8 SECTION 4. PROPOSAL SUBMISSION REQUIREMENTS A. General Requirements In submitting this proposal, the bidder understands and agrees to be bound by the following terms and conditions. These terms and conditions shall become a part of the lease agreement and will consist of this RFP, together with any additional documents identified in the lease agreement and any addendums and amendments signed by a city official with authority to do so. All shall have equal weight and be deemed a part of the entire lease agreement. If there is a conflict between RFP and the lease agreement, the provision more favorable to the City shall prevail. B. Compliance with RFP All proposals must be in compliance with this RFP. Each bidder must furnish the information required by the RFP. Proposals submitted without requested information or the forms requested in the RFP will be considered nonresponsive and rejected. Any alteration of the wording in the RFP by the bidder may result in rejection of the proposal. No lobbying of city employees, city officials, or city council members will be permitted or tolerated. The city will not provide information about its determination or any proposals received until after the award of the contract. C. Proposal Delivery and Acceptance Proposals must be received no later than 2:30 p.m., Central Time, November 18, 2016 at the City of Hondo, City Secretary s Office, 1600 Avenue M, Hondo, Texas The City will not be responsible for failure of services on the part of the U.S. Postal Office, courier companies, or any other form of delivery service chosen by the submitter. Late submissions will be returned to the submitter unopened. The time stamp in the City of Hondo, City Secretary s Office is the time of record for the receipt of the proposal. Bidder must submit one (1) original and four (5) copies of each proposal totaling five (6) submissions of each proposal in a sealed envelope or box. The proposals, marked original and copy, must be submitted in a sealed envelope with the following information marked plainly on the front: City of Hondo Attn: Gloria Colbath, City Secretary 1600 Avenue M Hondo, TX Bid # Airport Agricultural Lease Bid 8

9 All proposals must have a table of contents and each section tabbed. Bidders shall mark the RFP number, due date, and company name clearly on the outside of the box or envelope. Proposals received on time will be opened publicly at 3:00 PM Central Time, November 18, However, only names of bidders will be read aloud to avoid public disclosure of contents. D. Explanations and Clarifications Requests for explanations or clarifications may be ed to the contact person identified in Section 1-G. Any explanation, clarification, or interpretation desired by a bidder regarding any part of the RFP must be requested in writing no later than 5:00 PM Central Time, November 11, All requests must be received by the dates specified in Section 1-G and clearly identify the bidder s company name, point of contact and RFP number. Nothing stated or discussed orally during any conversation shall alter, modify or change the requirements of this RFP. Only interpretations, explanations or clarifications of this RFP and answers to questions that are incorporated into a written amendment or addendum to this RFP issued by the City of Hondo shall be considered by bidders. All amendments or addenda will be posted on the City website ( under the public notices tab. It shall be the responsibility of the bidder to make inquiries as to the addenda issued. All such amendments or addenda shall become a part of this RFP, and all bidders shall be bound by such amendments or addenda. E. Ambiguity, Conflict or Errors in RFP Bidders are expected to carefully examine all documents that make up the RFP. The City of Hondo assumes no responsibility for any errors or misrepresentations that result from the use of an incomplete RFP. If a bidder discovers any ambiguity, conflict, discrepancy, omission, or other error in this RFP, it shall immediately notify the City of such error in writing and request modification or clarification of the document. The City will make modifications by issuing a written revision and will post any modifications on the City website ( under the public notices tab. The bidder is responsible for clarifying any ambiguity, conflict, discrepancy, omission, or other error in the RFP prior to submitting the proposal. Implied requirements: products and services that are not specifically requested in this RFP, but which are necessary to provide the functional capabilities proposed by the bidder, should be included in the proposal. 9

10 F. Proprietary Information All material submitted to the City becomes public property and is subject to the Texas Public Information Act upon receipt. Any material that is to be considered confidential in nature must be clearly marked as such and shall be treated as confidential to the extent allowable under the Texas Public Information Act. Trade secrets, proprietary and/or confidential information MUST be placed in a separate envelope marked "CONFIDENTIAL INFORMATION" and EACH PAGE must be marked "CONFIDENTIAL INFORMATION." Failure to identify proprietary information will result in all unmarked sections being deemed non-proprietary and available upon public request. In the event that the City receives a request for information that a bidder has previously marked as proprietary or confidential, the City of Hondo will request a decision from the Texas Attorney General on the matter and will notify the bidder in accordance with the Texas Public Information Act. The final decision as to what information must be disclosed lies with the Texas Attorney General. G. Cancellation or Modification of RFP and Rejection of Any and All Proposals The City reserves the right to withdraw this RFP at any time and for any reason and to issue such clarifications, modifications, and/or amendments, as it may deem appropriate. If there is any disagreement or discrepancy between this RFP and any supplement or amendment, the most recent supplement or amendment shall govern. The City reserves the right to waive irregularities in proposals, if such action is in the best interest of the City. Any such waiver shall not modify any remaining RFP requirements or excuse the bidder from full compliance with the RFP specifications and other contract requirements, if the bidder is awarded the contract. The City shall accept all proposals for review that are prepared and submitted in conformance with this RFP but reserves the right to accept or reject in whole or in part any or all proposals submitted. The City reserves the right to request clarifications or corrections to proposals. The unreasonable failure of a bidder to promptly supply information in connection with such a request may be grounds for determination of non-responsiveness and rejection of the proposal. Receipt of a proposal by the City or submission of a proposal to the City confers no rights upon the bidder, nor does it obligate the City in any manner. The City reserves, at its sole discretion, the right to determine which bidders are qualified to provide services requested in this RFP. The City, in its sole discretion, may exclude a bidder from further participation in the negotiation process if it determines that the bidder is severely falling behind in the negotiations, without any apparent or documented reason for such delay. The notification of such exclusion from further negotiation shall be in writing, signed by the City's signature authority, and delivered to the bidder by certified mail. 10

11 H. Conducting Investigations/Requesting Supplementary Information The City reserves the right to conduct investigations with respect to the qualifications, experience and representations of the bidder and bidder s team members and to require bidders to supplement, clarify or provide additional information in order for the City to evaluate proposals submitted. Each bidder and bidder s team member, through its request for receipt of this RFP and participation in this procurement, consents to such investigations. I. Bidder s Indemnification BIDDER DOES HEREBYAGREETO WAIVE ALL CLAIMS, RELEASE, INDEMNIFY, DEFEND AND HOLD HARMLESS THE CITY OF HONDO AND ALL OF ITS OFFICIALS, OFFICERS, AGENTS AND EMPLOYEES, IN BOTH THEIR OFFICIAL AND INDIVIDUAL CAPACITIES, FROM AND AGAINST ANY AND ALL LIABILITY, CLAIMS, LOSSES, DAMAGES, SUITS, DEMANDS OR CAUSES OF ACTION INCLUDING ALL EXPENSES OF LITIGATION AND/OR SETTLEMENT, COURT COSTS AND ATTORNEY FEES WHICH MAY ARISE BY REASON OF INJURY TO OR DEATH OF ANY PERSON OR FOR LOSS OF, DAMAGE TO, OR LOSS OF USE OF ANY PROPERTY OCCASIONED BY ERROR, OMISSION, OR NEGLIGENT ACT OF BIDDER, HIS OFFICERS, AGENTS, EMPLOYEES, SUBCONTRACTORS, INVITEES OR AN OTHER PERSON, OR FOR ANY CLAIM, LOSS DAMAGE, SUITS, DEMAND OR CAUSE OF ACTION RELATING TO THE PROPOSAL, AWARD, NEGOTIATION, OR SELECTION OF BIDDER ARISING OUT OF OR IN CONNECTION WITH THIS RFP, AND BIDDER WILL AT HIS OR HER OWN COST AND EXPENSE DEFEND AND PROTECT THE CITY OF HONDO FROM ANY AND ALL SUCH CLAIMS AND DEMANDS. BIDDER DOES HEREBYAGREETO WAIVE ALL CLAIMS, RELEASE, INDEMNIFY, DEFEND AND HOLD HARMLESS THE CITY OF HONDO AND ALL OF ITS OFFICIALS, OFFICERS, AGENTS AND EMPLOYEES, IN BOTH THEIR PUBLIC AND PRIVATE CAPACITIES, FROM AND AGAINST ANY AND ALL CLAIMS, LOSSES, DAMAGES, SUITS, DEMANDS OR CAUSES OF ACTION, AND LIABILITY OF EVERY KIND INCLUDING ALL EXPENSES OF LITIGATION AND/OR SETTLEMENT, COURT COSTS AND ATTORNEY FEES FOR INJURY OR DEATH OF ANY PERSON OR FOR LOSS OF, DAMAGES TO, OR LOSS OF USE OF ANY PROPERTY OCCASIONED BY ERROR, OMISSION, OR NEGLIGENT ACT OF THE CITY OF HONDO, ITS OFFICERS, AGENTS, EMPLOYEES, SUBCONTRACTORS, INVITEES OR ANY OTHER PERSON, OR FOR ANY CLAIM, LOSS, DAMAGE, SUIT, DEMAND OR CAUSE OF ACTION RELATING TO THE PROPOSAL, AWARD, NEGOTIATION, OR SELECTION OF BIDDER ARISING OUT OF OR IN CONNECTION WITH THIS RFP, AND BIDDER WILL AT HIS OR HER OWN COST AND EXPENSE DEFEND AND PROTECT THE CITY OF HONDO FROM ANY AND ALL SUCH CLAIMS AND DEMANDS. SUCH INDEMNITY SHALL APPLY WHETHER THE CLAIMS, LOSSES, DAMAGES, SUITS, DEMANDS OR CAUSES OF ACTION ARISE IN WHOLE OR IN PART FROM THE NEGLIGENCE OF THE CITY OF HONDO, ITS OFFICERS, OFFICIALS, AGENTS OR EMPLOYEES. IT IS THE EXPRESS INTENTION THAT THE INDEMNITY PROVIDED FOR IN THIS PARAGRAPH IS INDEMNITY BY THE BIDDER TO INDEMNIFY AND PROTECT THE CITY OF HONDO FROM THE CONSEQUENCES OF THE CITY 0 F 11

12 HONDO'S OWN NEGLIGENCE, WHETHER THAT NEGLIGENCE IS A SOLE OR CONCURRING CAUSE OF THE INJURY, DEATH OR DAMAGE. IN ANY AND ALL CLAIMS AGAINST ANY PARTY INDEMNIFIED HEREUNDER BY ANY EMPLOYEE OF BIDDER, ANY SUBCONTRACTOR, ANYONE DIRECTLY OR INDIRECTLY EMPLOYED BY ANY OF THEM OR ANYONE FOR WHOLE ACTS ANY OF THEM MAY BE LIABLE, THE INDEMNIFICATION OBLIGATION HEREIN PROVIDED SHALL NOT BE LIMITED IN ANY WAY BY ANY LIMITATION ON THE AMOUNT OR TYPE OF DAMAGES, COMPENSATION OR BENEFITS PAYABLE BY OR FOR BIDDER OR ANY SUBCONTRACTOR UNDER WORKMAN'S COMPENSATION OR OTHER EMPLOYEE BENEFITS ACT. BY SUBMISSION OF A RESPONSE TO RFP, BIDDER AGREES THAT IT SHALL BE BOUND BY THE INDEMNIFICATION AND REMEDY PROVISIONS OF THIS RFP. IF ANY LIABILITY CLAIMS, LOSSES, DAMAGES, SUITS, DEMANDS OR CAUSES OF ACTION ARISE OUT OF RFP, THE CITY OF HONDO MAY SEEK PAYMENT OF ANY EXPENSES INCURRED IN DEFENSE, SETTLEMENT, OR PAYMENT OF ANY JUDGMENTS, COSTS, FEES, CHARGES, EXPENSES, OR ANY EXPENDITURE NECESSARY DUE TO THE LIABILITY, CLAIMS, LOSSES, DAMAGES, SUITS, DEMANDS OR CAUSES OF ACTION THAT ARISES OUT OF RFP FROM THE PROPOSAL SECURITY PROVIDED BY BIDDER PURSUANT TO THIS RFP. SECTION 5. PROPOSAL CONTENTS Proposal should be submitted on 8.5 by 11 inch paper bound securely. Proposals must contain and be organized as shown below. Each section should be separated by numbered tabs. Cover clearly displaying the title of the RFP and Bid No.: Request for Proposal for Agricultural Leases RFP No Tab 1: Table of Contents Tab 2: Introduction & Proposal: Introduction: Provide bidder s name and contact information, along with introductory information to bidder s proposal. This information may be included in the form of a cover letter or the like. Agricultural Activities: The proposal should identify Bidder s proposed use of the property, including intended crops and rotating schedule of agriculture and cultivation methodology along with a detailed listing of what natural and/or chemical pest management practices will be utilized as well as a list of any chemicals that will be used in order to promote sustainable use of soils within the Airport property. Property Management & Upkeep: Provide a written proposal of planned maintenance and upkeep of the portion of the property whereby activities 12

13 will take place including adjacent areas that may have impact on or be impacted by the farming of crops. Tab 3: Bidder biography and other information: Provide brief history of bidder, including date bidder was founded, number of employees, company headquarters location and operating locations. Bidders may also provide any other general information that the Bidder believes is appropriate to assist the City in its evaluation. Tab 4: Experience, Past Performance, and Capacity: Bidders must submit evidence that they have the necessary qualifications, experience, capabilities and financial resources to fulfill the terms and conditions of the lease agreement. As such, the Bidder must complete and/or submit all of the information, data, documentation, and material stipulated in this RFP. Tab 5: Rental Quote: Provide proposed rental payment for one or more of the tracts included in the Property for agricultural purposes. Bidder must state in its quote if its proposal is for all or identify which portions of the Property are included in its proposal and a proposed method for surety of payment. Tab 6: References: Provide three (3) references from similar municipalities, organizations and/or entities that Bidder has entered into similar agricultural leasing arrangements. Tab 7: Bid Forms: Bidder will complete and include the following forms in this tab: Business Owner Information Form attached as EXHIBIT B to this RFP. Form 1295 and Conflict of Interest Form ( CIQ ) attached as EXHIBIT C to this RFP. These forms must be submitted under by Texas law. Anti-Collusion Certificate: attached as EXHIBIT D to this RFP. Tab 8: Addendum Acknowledgment Form(s): If City issues an addendum for this RFP, then Bidder will be required to complete Addendum Acknowledgment Form. The form will be included in the addendum. SECTION 6. Evaluation Criteria A. Evaluation Criteria Proposals will be evaluated based on what is most advantageous to the City. The RFP selection committee will select the Bidder that best meets the evaluation criteria and make a recommendation to the City of Hondo City Council. 13

14 Proposals will be evaluated on the basis of their responses to all provisions of this RFP. The City may use some or all of the criteria below in its evaluation and comparison of proposals submitted, including but not limited to the following: Compliance with RFP Requirements 10% Experience and Qualifications 20% Bid price per parcel / per acre 70% Note: Bid prices lower than extant lease rates will not be considered. B. Lease Agreement The City may select one or more bidders to enter into a lease agreement for all or portions of the Property. The lease agreement will set forth the terms and conditions of the agreement between the City and the bidder. Decisions regarding award of the lease and terms of the award will be made by the City. The lease will be substantially in the form of the lease included in EXHIBIT E. The successful bidder will be bound by the terms and conditions of the lease agreement. SECTION 7. Rights Reserved by City The City reserves the right in its sole discretion to recommend the award of a lease agreement related to this RFP based upon the written proposals received by the City without prior discussion or negotiation with respect to those proposals. All portions of this RFP will be considered to be part of the agreement and will be incorporated by reference. Any lease agreement awarded in connection with the RFP will be subject to approvals as required by the City Attorney for City of Hondo. As part of the evaluation process, the City specifically reserves the right to review and approve the drawings, plans and specifications for any proposed improvements to be made by the selected bidder. The City also reserves the right to refuse to approve any such drawings, plans or specifications that are not suitable or desirable, in its opinion, for aesthetic or functional reasons to ensure compatibility with Airport operations and navigational aids. The City reserves the right to accept or reject any and all proposals, at its sole discretion, received as a result of this RFP, to waive minor irregularities, and to conduct discussions with all responsible bidders, in any manner necessary, to serve the best interest of the City. The City reserves the right to request additional information from any or all bidders if necessary to clarify statements or data contained in the proposals. 14

15 The City reserves the right to reject any proposal as a result of misrepresentation of any information contained in the proposal. While it is the present intention of the City to enter in or more lease agreements for the Property as identified in this RFP as soon as practical, nothing contained in this RFP shall be construed as a warranty or commitment on the part of the City to be obligated to enter into a lease agreement and/or make conveyance of any interest in the Property. SECTION 8. Administrative Provisions The issue date of this RFP is November 3, A. Issue Date B. Issuing Office This RFP is issued by the City of Hondo, Aviation Department, 700 Vandenberg Road, Hondo, Texas C. Obtaining RFP The RFP will be made available free of charge. The RFP may be picked up at the City of Hondo, City Secretary, 1600 Avenue M, Hondo, Texas, between 8:00 a.m. and 5:00 p.m., weekdays. The RFP is may also be downloaded from the City of Hondo's website at D. Property Inspections No access to the Property is granted in association with this RFP. There will be no inspection of the Property or site visits associated with this RFP. E. Revisions and Addenda Should it become necessary to revise any part of this RFP, provide additional information necessary to adequately interpret provisions and requirements of this RFP, the City may issue a formal written addendum and post it on the City s website. The addendum will include an Addendum Acknowledgment Form. The Addendum Form should be signed and returned as part of the proposal response. Failure to do so may cause the proposal to be ineligible for consideration. No oral or informal addendum to this solicitation shall be binding on the City. 15

16 F. Solicitation Costs All costs incurred by the bidder in the preparation, printing, demonstration or negotiation of its statement of qualifications shall be borne by the bidder. This solicitation does not obligate or commit the City to pay any costs incurred in the preparation and submission of this request for proposals or to contract for the goods/services specified. Further, the City is not obligated to pay any costs incurred by any Bidder as a direct result of errors or omissions committed by the City employees or agents in the preparation of this solicitation and the processing of the Bidder s statement of qualifications. It is incumbent upon each Bidder submitting a proposal to verify the accuracy of the information herein contained based upon each Bidder s research and information, and to immediately advise the City of any discrepancies. G. Award of Bid The successful bidder or bidders will be made within 60 days after the opening of bids. No award will be made until after investigations are made as to the responsibilities of the best bidder. The City of Hondo reserves the right to enter into one or more lease agreements for all or parts of the Property as deemed by the RFP selection committee to be in the best interest of the City. H. Withdrawing of Proposal Proposals may be withdrawn any time prior to the official opening; a request for the nonconsideration of proposals must be made in writing to the City Secretary and received prior to the time set for opening proposals. The bidder warrants and guarantees that his/her proposal has been carefully reviewed and checked and that it is in all things true and accurate and free of mistakes. I. Assignment The successful bidder may not assign its rights and duties in the event it is selected for award of lease without the written consent of the City of Hondo City Manager. Such consent shall not relieve the assignor of liability in the event of default by his assignee. J. Attorney s Fees If either party retains an attorney to enforce the contract, the party prevailing in litigation as determined by a court of law is entitled to recover reasonable attorney s fees and court costs. K. Governing Law and Venue The construction and validity of the contract shall be governed by the laws of the State of Texas. Venue for any legal action commenced hereunder shall be in a court of appropriate jurisdiction in Medina County, Texas. 16

17 L. Sovereign Immunity Nothing in this RFP is intended to or shall have the effect of waiving any privileges or immunities afforded the City under Texas Law, including but not limited to, sovereign immunity or official immunity and it is expressly agreed that the City reserves such privileges. M. Bidder s Representation By submitting its proposal, Bidder represents that: a. Bidder has read and understands this solicitation; b. Bidder s proposal is made in accordance with this solicitation; c. Bidder s proposal is based upon the information set forth in this solicitation. N. Equal Opportunity The successful Bidder must agree to abide by regulations pertaining to Equal Employment set forth in all applicable local, state and federal regulations, to include not discriminating because of race, color, religion, sex, age, disability, or national origin. 17

18 EXHIBIT A Property Description 18

19 EXHIBIT B BUSINESS OWNER INFORMATION FORM OWNER STATUS (Check applicable boxes) BUSINESS NAME: MALE/FEMALE ETHNICITY PHYSICAL CONDITION ENTERPRISE SIZE ( ) Male ( ) White ( ) Disabled ( ) Small Business ( ) Female ( ) Hispanic ( ) Not Disabled ( ) Large Business ( ) Asian Pacific ( ) Sub-Continent Asian BUSINESS STRUCTURE ( ) Black/African American ( ) Sole Proprietor ( ) Native American ( ) Partnership ( ) Other Ethnicity ( ) LLC ( ) Public Corporation ( ) Private Corporation ( ) Non-Profit Organization FEDERAL TAX ID #: SUBTENANTS ( ) None. No subtenants(s) are included in the proposed lease. ( ) Yes. Name(s) of subtenants): ( ) % of Total Leasehold Address: (Attach a list if additional space is necessary) CERTIFICATION OF BUSINESS AS SMALL, MINORITY OR WOMAN OWNED ENTERPRISE (SMWBE) The City will identify a Small, Minority, & Woman Owned Business Enterprise Program. Additional information may be required after receipt of offers and/or award of contract(s) to support and document the SMWBE certification. The City will accept certification from various agencies, [i.e. local ( State of Texas ( Federal ( or and the private sector ( or Certifying Agency: REG #: Expiration Date: ( ) SBE ( ) MBE ( ) WBE ( ) DBE ( ) 8(a) ( ) Veteran 19

20 EXHIBIT C Conflict of Interest Questionnaire 20

21 Form 1295 Business Interest Disclosure 21

22 EXHIBIT D Request for Proposals Acknowledgement and Anti-Collusion Certification The undersigned certifies that: (i) he/she is duly authorized to submit and execute this proposal and (ii) the Bidder and its principles, shareholders, members, partners, employees and/or agents have not and will not attempt to lobby (directly or indirectly) the Hondo City Council or any employees or agents of the City with regard to this proposal. The undersigned further certifies that the enclosed proposal is submitted in accordance with all instructions, specifications, definitions, conditions contained herein and that the undersigned is aware that failing to submit a conforming proposal may result in partial or full rejection of the proposal. Company Name Date Address City / State Phone Number Authorized Signature Print or Type Signatory Name Position / Title Zip Code Fax Number Web Page 22

23 EXHIBIT E Form of Agricultural Lease SOUTH TEXAS REGIONAL AIRPORT AT HONDO AGRICULTURAL LEASE This Lease Agreement is made and entered into in the City of Hondo, Texas, on the day of, 20XX by and between the City of Hondo, a municipal corporation of the State of Texas, hereinafter called LESSOR and, hereinafter called LESSEE. WITNESSTH WHEREAS, the LESSOR currently owns and operates an airport known as the South Texas Regional Airport at Hondo (hereinafter called the "Airport") located in the City of Hondo, County of Medina, Texas; WHEREAS, the LESSOR deems it advantageous to itself and to its operation of the Airport to lease unto LESSEE certain rights, privileges, and uses therein, as necessary for agricultural purposes as hereafter set forth; and WHEREAS, the LESSOR'S agent in enforcing the covenants and conditions of this Lease Agreement is the City Manager and his employees and agents, the terms herein used interchangeably; NOW, THEREFORE, LESSOR and LESSEE for and in consideration of the covenants and mutual agreements hereinafter contained, do hereby covenant and agree as follows: ARTICLE 1 DEMISED PREMISES Section 1.1 LEASED PREMISES. LESSOR leases to LESSEE and LESSEE takes from LESSOR approximately 120 acres of municipal airport property (collectively referred to herein as the "Leased Premises") and further described as 120 acres (out of 240 acres-southern portion) of Airport property located west of Castro Avenue, south of FM 462, as shown on Exhibit A. Section 1.2 ACCEPTANCE OF PREMISES. All structures and facilities on the Leased Premises are leased to LESSEE in an "as is" condition and all costs and expenses for adapting such facilities to LESSEE'S business purposes shall be borne by LESSEE. Section 1.3 WATER RIGHTS AND IRRIGATION WATER. LESSEE hereby acknowledges that LESSOR is the owner of and has the exclusive right to use all property rights to and for the ground water which relate to the Leased Premises, including, but not limited to, the right to withdraw and/or beneficially use, sever, lease, sell or otherwise transfer the Edwards Aquifer water (or any other water) permitted; all real and personal property rights, appurtenances, permits, authorities, licenses, consents and contracts, if any, pertaining to all such property rights; rights under Permit No. ME00305; all interim authorization rights, 23

24 withdrawal permits or other permits; and all modifications, amendments, renewals, extensions or successor or substitute permits relating thereto including, without limitation, any permit rights from the Edwards Aquifer Authority ("EAA"), or any water conservation or similar district or entity, now existing or hereafter created ("Water Conservation District") (collectively, the "Water Rights"). A. Lessee acknowledges and agrees that the Water Rights are not part of the Leased Premises. Landlord is under no obligation whatsoever to Tenant to provide water to the Leased Premises, including any water that may be necessary or convenient for Lessee s intended use of the Leased Premises. B. Tenant will be solely responsible for any cost or expense associated with obtaining permits, extending water lines, construction of wells or other improvements to the Leased Premises that may be necessary to provide water to Lessee s use of the Leased Premises. Section 1.4 TERM. A. Subject to earlier termination and cancellation as hereinafter provided, the original Term of this Lease Agreement shall be for a period of FIVE (5) years commencing on July 18, 2017 and ending on July 17, The original Term and any renewal and extension thereof shall be referred to hereinafter as the "Term." B. If at the expiration of the Term of this Lease, there remain unharvested crops (other than any crop with a useful life that includes the next growing season) on any portions of the Premises and if, at such time, Tenant is not in default hereunder or under any other lease or agreement entered into with the Landlord, the Term shall be extended as to such portion of the Premises for a period of time as is reasonably required by the Tenant to expeditiously complete the farming, harvest and removal of such crops that were actually planted before the termination of the Lease, such time not to exceed 30 days, in any event, provided, that for such portion of the Premises that remains in Tenant's possession, pursuant to this Section 1(B), Tenant shall pay, in advance, prorated Rent based on the applicable rate set forth in Section 3.1 for the anticipated extended Term. C. In the event of early termination initiated by the LESSOR, the Lessee will be reimbursed for the actual lease amount paid for this land. The Lessee shall not be able to recover an amount greater than the actual lease amount paid as compensation for labor, seeding, fertilizers, equipment usage, or insurance. Section 1.5 OPTION FOR RENEWAL. Upon mutual agreement of both parties, set forth in writing and signed by both parties, this Lease Agreement may be renewed and extended on the same terms for an additional one (1) year term. LESSEE must give LESSOR written notice of at least sixty (60) days prior to the termination date of the original Term of its desire to renew and extend the terms of this Lease Agreement. LESSOR has thirty (30) days from the date of said notice to determine if it will agree to renewal and extension. If LESSOR intends to terminate this lease agreement upon expiration of the original Term, LESSOR must provide LESSEE with written notice of at least sixty (60) days prior to the termination date of the original Term. Failure to agree upon renewal and extension prior to the expiration of the original Term shall null and void any right of renewal and extension. ARTICLE 2 USE, QUIET ENJOYMENT, RULES, MAINTENANCE, CARE Section 2.1 INSPECTION AND MAINTENANCE. The LESSOR shall be permitted to enter the Leased Premises at any and all times, during normal business hours, for the purpose of inspecting or maintaining such Leased Premises (provided that LESSOR shall have no such inspection or maintenance obligations) 24

25 and doing any and all things with reference thereto which the LESSOR is obligated to do or which may be deemed necessary or desirable for the proper conduct and operation of the Airport. LESSOR SHALL HAVE NO OBLIGATION TO INSPECT OR MAINTAIN THE LEASED PREMISES. LESSEE shall maintain in good order and condition and shall keep clean and neat the Leased Premises at all times during the Term hereof. Section 2.2 QUIET ENJOYMENT. Upon timely payment of all rentals, fees and charges herein provided for the full performance of the covenants and agreements on the part of the LESSEE to be performed hereunder, LESSEE shall peaceably have and enjoy the Leased Premises, appurtenances, facilities, licenses and privileges granted herein. Section 2.3 LICENSES AND PERMJTS. LESSEE hereby agrees that it shall, at its own cost and expense, procure and obtain all lawfully required licenses and permits certificates, approvals and other authorizations required by any governmental authority or agency in connection with or covering the use, operations or activities permitted to be performed by it under the provisions of this Lease Agreement. Section 2.4 RULES AND REGULATIONS. LESSEE covenants and agrees to observe and obey (and to require its officers, employees and agents to observe and obey and to exercise its best efforts by requiring its quests, invitees, and those doing business with it to observe and obey) the Rules and Regulations of the Airport (including amendments and supplements thereto) for the government of the conduct and operations of LESSEE and others on the Airport, and to so obey such future Rules and Regulations as may from time to time during the Term of this Lease Agreement be promulgated by LESSOR for reasons of safety, health, security and good order; PROVIDED, however, that such Rules and Regulations shall not be inconsistent with the reasonable exercise by LESSEE of any right or privilege expressly granted hereunder, nor inconsistent with the mandatory and valid rules and regulations of any federal agency having jurisdiction with respect to LESSEE or its operations. With respect to this Lease Agreement, the obedience on the part of its guests, invitees, and business visitors shall exist only while such persons are on the Leased Premises. Section 2.5 SIGNS. A. Except with prior written consent of the Director of Aviation, the LESSEE shall not erect, maintain, or display any signs or any advertising at or on the exterior parts of the Leased Premises or in the Leased Premises so as to be visible through the windows or exterior doors thereof. B. Upon the termination of the Lease Agreement the LESSEE shall remove or paint out, as the Director of Aviation may direct, any and all signs and advertising on the Leased Premises or elsewhere at the Airport, and in connection therewith shall restore the Leased Premises to the same condition as prior to the placement of any such signs or advertising. In the event that there is a failure by the LESSEE to so remove or paint out each and every sign or advertising and to so restore the Leased Premises, the Airport Manager may, at his option, perform the necessary work at the expense of LESSEE, and the charge therefore shall be paid by the LESSEE to the LESSOR on demand. C. All such advertising as authorized by the Director of Aviation must be kept in a like new condition throughout the Term of this Lease Agreement. Section 2.6 ASSIGNMENT/SUBLETTING. A. LESSEE shall not assign, transfer, or sublet this Lease Agreement, nor said Leased Premises, without LESSOR'S prior written consent. 25

26 B. In the event LESSOR approves an assignment or subletting of this Lease Agreement or the Leased Premises, the failure of an assignee or sub lessee of this Lease Agreement or Leased Premises to timely and faithfully keep and perform any and all obligations imposed upon said assignee or sub lessee by the instrument of assignment or subletting shall be an event of default under this Lease Agreement and LESSOR may thereupon elect to exercise all rights and pursue all remedies provided herein as in the case of other events of default. Section 2.7 USE OF PREMISES. LESSEE shall not make, or allow to be used, any unlawful, improper, or offensive use of the Leased Premises, nor shall LESSEE use the Leased Premises, or any portion thereof, for any purposes other than the agricultural purposes described in this Lease Agreement. The LESSEE is hereby granted authority to do the following: The Leased Premises shall be used only for: livestock grazing and farming. Section 2.8 ALTERATIONS. LESSEE shall make no changes, alterations, additions, or improvements to the Leased Premises without LESSOR S prior written consent. Plans and specifications for any and all changes, alterations, additions, or improvements to be made on the Leased Premises must be submitted to the LESSOR and approval obtained in writing prior to commencement of construction. Upon project completion, LESSEE will deliver to LESSOR a copy of "as built" plans and specifications. The LESSOR, acting through its Building Inspector, shall have the right to enter upon the Leased Premises for the purpose of determining that construction conforms to the plans and specifications approved by the LESSOR and to determine if the Leased Premises are being maintained as required in this Lease Agreement. It shall be the LESSEE'S responsibility to take such actions as are necessary to ensure that the construction of improvements, alterations, or additions and any later maintenance work is conducted without interference to other LESSEES, the FAA, or aviation activity. Any activity which interferes with or endangers aviation activity will be immediately discontinued when so required by the LESSOR. On termination of the Lease Agreement, whether by lapse of time or otherwise, all improvements including attached fixtures shall remain for the benefit of and become the sole property of the LESSOR unless otherwise provided in the aforesaid written approval; PROVIDED, however, LESSEE may remove all furniture, machinery, equipment, and signs installed on the Leased Premises caused by such removal and provided further that the LESSEE is not then in default in the performance of any of its obligations or covenants herein contained. ARTICLE 3 RENTALS, FEES AND CHARGES Section 3.1 RENTAL A. The minimum rental during the Term hereof shall be $XXXX.XX per year, and shall be due and payable annually, in advance, upon execution of the lease. B. No Adjustments during term of this lease. Section 3.2 LATE PAYMENT. A late payment charge shall be computed and applied to payments received by LESSOR after their due date and for the purposes of this Section, the date payments are received by the LESSOR shall be the U.S. Postal Service cancellation date on the envelope transmitting the payment or upon personal delivery. LESSEE promises to pay a late charge of 10% of any past due amount. 26

27 Section 3.3 UTILITIES. LESSEE shall assume and pay all costs or charges for all utility services used by or furnished to LESSEE during the Term hereof. LESSOR shall be permitted to access city utilities located on leased premises for service at no cost to the City. Section 3.4 USER CHARGE. Nothing herein shall be deemed to relieve LESSEE, assignees, subleases, patrons, invitees, or others from any charges presently levied or subsequently adopted by LESSOR for the use of Airport facilities. ARTICLE 4 INSURANCE, DAMAGE AND INDEMNITY Section 4.1 INSURANCE. LESSEE shall maintain at its sole cost and expense, in full force and effect, insurance in not less than the amounts hereinafter specified and as may be respecified and demanded by Lessor from time to time against public liability and property damage. LESSEE shall promptly, after the execution of this Lease Agreement, provide public liability insurance for personal injury/death growing out of any one accident or other cause in a minimum amount of $1,000, for each single occurrence for bodily liability insurance in a minimum sum of $250, for property damage for each single occurrence for injury to or destruction of property. Said insurance minimums may be increased upon demand by LESSOR. All said policies and the certificates evidencing them shall provide for a minimum of ten (10) day prior written notice to the LESSOR in the event of cancellation or material change in the terms thereof. All said policies and the certificates evidencing them shall also contain a contractual liability endorsement covering the liability assumed by the LESSEE by the terms of the Lease Agreement. LESSOR shall be named as an additional insured in all insurance policies required to be maintained by LESSEE hereunder. Section 4.2 CASUALTY INSURANCE. LESSEE shall maintain at its sole cost and expense fire and extended coverage insurance covering the Leased Premises in an amount equal to their full insurable value. Section 4.3 INDEMNITY. LESSEE AGREES TO INDEMNIFY. DEFEND, AND HOLD LESSOR AND ITS ELECTED REPRESENTATIVES, OFFICER, AGENTS, AND EMPLOYEES FREE AND HARMLESS FROM ANY AND ALL LIABILITIES, CLAIMS, DEMANDS, ACTIONS, LOSSES, DAMAGES, AND COSTS INCLUDING ALL COSTS OF DEFENSE THEREQF, CAUSED BY, ARISING OUT OF, OR IN ANY WAY RELATED TO LESSEE'S USE OF OCCUPANCY OF THE LEASED PREMISES. OR OCCURRING ON THE LEASED PREMISES DURING THE TERM OF THIS LEASE AGREEMENT OR ANY TIME OF OCCUPANCY OF THE LEASED PREMISES BY LESSEE, INCLUDING CLAIMS, LIABILITIES, AND ACTIONS BASED UPON NUISANCE OR INVERSE CONDEMNATION. UPON DEMAND LESSEE SHALL, AT ITS OWN EXPENSE, DEFEND LESSOR AND IT S ELECTED REPRESENTATIVES, OFFICERS. AGENTS, AND EMPLOYEES AGAINST ANY AND ALL SUCH LIABILITIES, CLAIMS, DEMANDS, ACTIONS, LOSSES, DAMAGES, AND COSTS. Section 4.4 DAMAGE. Should any part of the Leased Premises which the LESSEE is responsible for maintaining as defined in Section 1.1 be damaged, LESSEE shall notify LESSOR and LESSEE shall have a reasonable period in which to correct, replace, or repair such damage. Should such damage be of such amount that LESSOR deems it impractical to repair same, LESSOR may so advise LESSEE of such decision and LESSOR shall thereupon have the option to: (1) require repair of the damage at LESSEE'S expense, or (2) cancel and terminate this Lease Agreement. 27