4050 Esplanade Way Tallahassee, FL 32399-0950 Tel: 850-488-2786 Fax: 850-922-6149 Rick Scott, Governor Craig J. Nichols, Agency Secretary Addendum Number 1 to the following Request for Proposals (RFP): Date: October 16, 2014 LIVE AUCTIONEER SERVICES To: From: Contact: Prospective Respondents Jesse Covell, Departmental Purchasing Deputy Director Cassandra E. Williams, Procurement Officer Subject: Questions and Answers, and Revised Pages Questions from Tampa Machinery: Question #1: Page 13-3.7 Tab 4 Section A and Page 17 - Tab 5 Section D Both mention buyer premiums and other fees that to buyers will be considered and they refer to the price sheet ATTACHMENT C. However the price sheet has no provision for including items that apply to buyers. Shouldn t there be something on the price sheet for this? Answer to Question #1: Per RFP Section 3.7, Tab 4 (Proposal), Sub-section A (Narrative on Experience and Ability), respondents should describe any buyer premiums or fees charged to buyers as part of the description of their compensation business model. The entirety of the submitted Experience and Ability narrative will be evaluated as described in RFP Section 4.2, Sub-section 4.2.1 A. The Attachment C Price Sheet will not have a provision for including items that apply to buyers. Please see revised Page 17 of 37as attached for updated language. Question #2: Page 16-3.7 Tab 4 Section H The form (FORM 10) does not include the Year column that is mentioned here. Also, due to the volume of data, would it be possible to submit this in electronic format rather than printed form? (Specifically in an Excel spread sheet.) Should sales data reflect retail vs wholesale transactions? Many auctions are dealer only with only wholesale transactions. Those auctions have limited title, registration, and tax collection experience.
Answer to Question #2: Please refer to Revised Page 33 of 37, FORM 10. Respondents may contact the Procurement Officer to obtain an electronic template of FORM 10 in Excel format. Sales data should reflect the Gross Sales Price that was paid for each item regardless of the type of buyer (e.g., dealer, private party, etc.) or auction type (e.g., dealer only auction, public auction, etc.). Questions from Auctions International, Inc.: Question #3: If candidate is a New York state certified woman-owned business enterprise (WBE) does this impact consideration for selection positively, or at all? Answer to Question #3: No. Please refer to rule 60A-11.011, Florida Administrative Code and Section 3.7, Tab 6, Item B., Certifications, on page 17 of the RFP. Question #4: What were the gross auction receipts for the previous term of this contract, per year or for the entire term? What have the gross receipts been for the past three years, regardless of which firm held the auction contract? Answer to Question #4: July2013-June2014: $3,415,785 July2012-June2013: $2,945,584 July2011-June2012: $3,832,589 Question #5: Who/what firm was the previous auctioneer contracted and what was his/her method of calculating compensation (i.e. flat rate basis vs. percentage basis)? Answer to Question #5: The current contractor for this service is Tampa Machinery Auction. The contractual agreement is based on a Tiered/Sliding Sale Commission. Question #6: What was previous auctioneer s amount of compensation (flat rate dollar amount per lot/auction, or percentage charged per lot/auction)? Answer to Question #6: The per item sales commission is 8.5% on the first $10,000 and then 5% for any amount over $10,000. Page 2 of 4
Question #7: Who paid that compensation (i.e. was he/she paid by seller s commission, buyer s premium, or a combination of the two)? Answer to Question #7: The Seller paid the compensation. Question #8: Will school buses be auctioned off under this contract? Answer to Question #8: Yes. Please refer to Section 1.3, Background on pages 4-5 of the RFP. Question #9: Will auctioneer be expected to provide a fenced and secure storage yard for either/both live and/or online auctions? Answer to Question #9: Yes. Please see Section 2.2, Auction Site Requirements on page 4 of Attachment A Scope of Work. Question #10: Will any real estate owned by state be auctioned off under this contract? Answer to Question #10: No. This solicitation is seeking proposals from vendors who can provide monthly live auctioneer services for disposal of state vehicles and equipment as outlined in Section 1.3 of the RFP. Question #11: Will Vendor s audited corporate income tax returns and independently prepared profit/loss statements for the past three fiscal years suffice as the financials requested as part of our proposal response? Answer to Question #11: No. The only financial records requested for submission to the RFP are outlined in 3.7, Tab 4, Item H., Recent Sale Results (July 2012 to June 2014) (FORM 10). Question #12: May selected auctioneer assess a convenience/processing fee to purchasers paying by credit card, and/or will this negatively impact consideration? Page 3 of 4
Answer to Question #12: Assessing a convenience/processing fee to purchasers paying by credit card is allowable and will not negatively impact consideration. Please refer to Section 3.7, Tab 4, A.4) Compensation Business Model. End of Questions and Answers To the extent this Addendum gives rise to a protest, failure to file a protest within the time prescribed in section 120.57(3), Florida Statutes, shall constitute a waiver of proceedings under Chapter 120, Florida Statutes. Page 4 of 4
G. Reporting Requirements Provide description of procedures and practice of recording auction results. At a minimum, include the following: 1) Describe how gross proceeds, invoices for auction services and miscellaneous charges, spreadsheets of results, and digital audio recordings are prepared and delivered to the seller. 2) Describe the auction results reports that are prepared for the seller, how soon after the auction closes that the reports are made available, audit procedures to ensure reports are complete and accurate, etc. H. Recent Sale Results (July 2012 to June 2014) (FORM 10) The Department desires live auctioneer services that will result in the highest possible gross sale prices and the lowest possible costs associated with the auction process (e.g., auctioneer commission fees, membership fees, inspection fees, loading or unloading fees, etc.) Therefore, the Respondent shall provide results from its monthly live public auctions conducted at the auction site described above. Utilizing FORM 10, include sales results for the two year period July 2012 to June 2014 for the following vehicle types: 1) Automobiles (sedans, coupes, station wagons) 2) Light Trucks, up to 1-ton (include pickup trucks, vans, SUVs) 3) Medium and Heavy Duty Trucks (over 1-ton) Completing one row for each item sold, in columns organized as follows: 1) Year 2) Make 3) Model 4) Vehicle Identification Number (VIN) 5) Odometer/Mileage 6) Date of auction 7) Location of auction (City and County) 8) Type of seller (e.g., County/City Government, Federal Government, Dealer/Distributor, Commercial, Private, Other, Unknown) 9) Gross sales price NOTE: The recent sales results should include sales from all types of sellers, except the State of Florida (this includes DMS and other state agencies). Respondents can include sales of vehicles from government sellers (such as federal, counties, and cities) and any non-government sellers (such as corporate, individuals, etc.); however vehicles sold on behalf of the State of Florida are not to be included. Respondents are to submit FORM 10 data in an Excel format on a CD-ROM in lieu of hardcopies. The information shall be saved both in an unprotected version for manipulation and also as a.pdf file. Respondents may contact the Procurement Officer for an electronic copy of FORM 10. Tab 5 Price Sheet The Respondent shall return the Price Sheet (Attachment C) with its response to this solicitation. The Price Sheet shall identify the name of the Respondent, date of submission, and shall bear the signature of a business or corporate representative to certify the prices proposed. The Price Sheet shall be returned under TAB 5 of its Proposal Submittal. By submitting a response under this solicitation, each Respondent warrants its agreement to the prices submitted. Any qualifications, counter offers, deviations, or challenges shall render the proposal non-responsive. A. The Respondent may e-mail the Procurement Officer identified on the cover sheet of this solicitation to request an electronic version of the Price Sheet(s) to complete. REVISED Page 16 of 37
B. The Respondent shall complete either the Straight-Line Sales Commission Schedule or the Tiered/Sliding Sales Commission Schedule on the Price Sheet. Failure to properly complete the selected Sales Commission Schedule shall deem the Respondent nonresponsive. If zero is entered on the Price Sheet, the Respondent shall make a notation at the bottom of the Price Sheet(s) indicating the intent of the zero. The Respondent shall respond to the two items located below the Sales Commission Schedules; a question regarding any other mandatory charges, and a request to list any charges that may be assessed to the seller. If no notation is made at the bottom of the Price Sheet, the Department will assume that the service(s) or item(s) will be at no cost to the Department. C. The Respondent shall print and sign the completed Price Sheet and submit in accordance with Section 3.6. D. The Respondent shall save an electronic version of its completed Price Sheet on a CD- ROM and submit with its response (see Section 3.6.2). The Respondent s compensation shall be a commission expressed as a percentage of the gross sale amount of each lot sold. Any deviation from a single percentage such as tiered / sliding scales, minimum or maximum commissions, etc., should be explained in detail with examples. Any buyer s premium, membership fees, inspection fees, loading or unloading fees charged must also be explained and will be considered when determining the total compensation to the Respondent. For information on how to submit compensation information, refer to Section 3.6 and Attachment C Price Sheet. All price sheet calculations will be verified for accuracy by the Department. If mathematical error(s) in a Respondent s price sheet calculations are identified, unit prices submitted by the Respondent will be used to determine the total price for that Respondent. Price proposal points will be awarded based on Department verification and a confirmed seek to clarify by the Department to the vendor, and if applicable, corrected price sheets. Departmentcorrected price sheets will be made available upon written request. Tab 6 Other Required Documentation A. Department of State Registration Form Respondent shall submit a copy of its registration with the Department of State, which authorizes the company to do business in Florida. B. Certifications In the event that the Department s evaluation results in identical evaluations of proposals, the Department will select a Respondent based on the criteria identified in rule 60A- 1.011, Florida Administrative Code. Please provide the following documentation, if applicable. 1) Certification of Minority Business If this does not apply to your company, please submit a document with a statement to that effect. 2) Certification of Wartime or Service Disabled Veteran If this does not apply to your company, please submit a document with a statement to that effect. REVISED Page 17 of 37
FORM 10 - RECENT SALES RESULTS (July 2012 to June 2014) Auction Location Seller Type Year Make Model VIN Odometer/ Mileage Auction Date City County City/County Government Federal Government Dealer/Distributor Commercial Private Other Unknown Gross Sales Price REVISED Page 33 of 37