Questions and Answers to Project Documents — Business Opportunities
PROJECT:  1-10 A East Sub Core 1 Quick Serve Restaurant
NUMBER:  201952020-00

Current as of:  1/18/2020
 
Question Number  1:   We are interested in submitting our qualifications for the 12 RFPs for DEN Concessions Program. Do we need to send you a proposal for each of the 12 projects?
    Answer:   Yes, if a proposer intends to submit on all 12 RFPS they will be required to submit individual proposals for each of the 12 RFPs.
Question Number  2:   How can I confirm if I am pre-registered for the Mandatory Pre-Proposal and the optional Self-Guided tour?
    Answer:   DEN will post the registration for the Mandatory Pre-Proposal list, if the attendee was not able to pre-register by November 14th a blank sign-in sheet form will be available at the door for on-site registration. DEN will also post a list of individuals that registered for the Self-Guided Site Tour, excluding the attendees that did not provide their Drivers License or Passport information at the time of registering. Attendees that did not pre-register for the self-guided tour and do not have a DEN badge will not be allowed on the self-guided tour unless the attendees are flying in the day of and are already on the Concourses. The following documents can be found at the below link under Incidentals. http://business.flydenver.com/bizops/proprfp.asp
Question Number  3:   May I please request current Gross Sales for this location along with the name of the stores that are currently operating?
    Answer:   This space is currently used by Vino Volo. Gross sales for all concessions can be found online at https://www.flydenver.com/about/financials/concessionaire_reports.
Question Number  4:   What is the amount (not the time span based on flight schedules, for example, “one hour prior to first flight/30 min prior to the last flight”) of required operating hours on Concourse A, for example 16 hours, 20 hours, or ?
    Answer:   Required opening hours are specified in the Key Business Terms section of the document and will change over time as flight schedules change. Current scheduled first/last flight can be found in the Concourse Profiles in Part B of the RFP.
Question Number  5:   Can you please confirm that proposers are required to complete the files named “Miscellaneous 1” and “Proposal Forms”, both dated 10/24/19? They appear to be the same document.
    Answer:   Thank you for bringing this to our attention. Please note it was a duplicate and the “Miscellaneous1” has been deleted.
Question Number  6:   Where can I pick up my temporary badge for the optional site tour visit if I pre-registered?
    Answer:   In Part A Introduction Request for Proposals (RFP) page 6, it references “Badges can be picked up at the Airport Office Building starting at 8:30 a.m., in order to gain access to locations beyond security. Event staff will be located at each in-line location to assist proposers in gaining access to the back of the house operations. Kiosk locations will be clearly marked. Event staff is not there to answer questions, please take this time to formulate and write down your questions to be presented at the Pre-Proposal Conference. Please note any answers to questions not in writing and posted to the website are considered unofficial and have no merit".
Question Number  7:   Can the city confirm that the page limits that were changed in the Phase 1 Q&A with regard to the 2 pages allotted for menus (not counted against the page limit) and the subgle 11x17 floor plan allowed in the Phase 1 submission are also changes that apply to the current proposal documents?
    Answer:   Please see the page limits and page sizes detailed in Part D, Section III-2 of the RFP document for details.
Question Number  8:   Is it permitted for this location to have a bar with either a full (distilled) or limited (fermented) alcohol offering?
    Answer:   No alcohol sales are permitted at this location.
Question Number  9:   Is it permitted for this location to offer bottled/canned beer, bottled/canned wine, and bottled/canned cocktails?
    Answer:   No alcohol sales are permitted at this location.
Question Number  10:   Would the airport consider expanding the size of the renderings to 11X17, in addition to the floor plan.
    Answer:   No, all pages other than the floorplan must be sized for 8.5" x 11".
Question Number  11:   10 pages is a tight fit to introduce a brand, demonstrate its appeal to the DEN traveler and answer the specific questions in the RFP. Would you consider opening it up to a max of 12 pages?
    Answer:   DEN will not be adjusting the page limits.
Question Number  12:   If the proposer meets the ACDBE requirement through a JV, do they need to submit the form on page 15 of the proposal forms? (the form does not have a title, but asks for the name of the concession/vendor firms and the goods they will provide). If the answer is yes, how would the airport describe how they would like the respondent to describe the goods and services and calculate the value of the ACDBE’s contribution?
    Answer:   Yes, the proposer must complete and submit page 15. Please note that the ACDBE forms have been revised and addressed in Addendum 1. In the section asking for the “Description of Goods and Services or work to be performed by ACDBE firm,” the ACDBE's roles and responsibilities in the JV should be outlined. Responses to the section requesting the "estimated dollar value" of the "goods and services or work described above" should reflect the ACDBE's partnership equity in the JV.
Question Number  13:   Can DEN provide food court charge, cam charge, storage room charges?
    Answer:   There are no food court or common maintenance service fees for this location. As listed in the Key Business Terms, storage space cost is currently $12.00 per square foot per year, is not included in the Privilege Fee, and is subject to change.
Question Number  14:   Is venting possible in this location?
    Answer:   Yes.
Question Number  15:   Is offsite wet and dry storage available for this location?
    Answer:   Storage is available under a separate lease to the successful proposer. As listed in the Key Business Terms, storage space cost is currently $12.00 per square foot per year, is not included in the Privilege Fee, and is subject to change. The specific location of the storage is not available at this time.
Question Number  16:   Does this space already tie to a grease trap?
    Answer:   No.
Question Number  17:   Can this location have seating?
    Answer:   Yes, the premises may incorporate seating.
Question Number  18:   Will the airport consider dual branding in this location?
    Answer:   DEN is looking for a single quick serve restaurant concept. Proposers may propose any branding they wish.
Question Number  19:   Can a hood be installed?
    Answer:   Yes.
Question Number  20:   Will the airport allow a high-volume QSR concept that is open 6 days per week for this opportunity?
    Answer:   DEN will allow a 6-day per week QSR to be proposed for this opportunity.
Question Number  21:   Can the airport clarify the last day for questions? Is it 12/13 or 12/19?
    Answer:   As clarified in Addendum No. 1, written questions were due by 2:00 p.m. Denver Time on December 19, 2019.
Question Number  22:   Can the airport clarify the last day for questions? Is it 12/13 or 12/19? What will be construction cost per sqft?
    Answer:   The Anticipated Minimum Capital Investment for this location is $550 per square foot, as defined in the Key Business Terms.
Question Number  23:   Regarding the “RFP format” (Section III-2) for proposal, may we use brand specific font for headlines and sub-headlines?
    Answer:   No, the font must be Times New Roman 12-point font. However, the headers within a tabbed section (i.e. “Overall Description”, “Concept Fit”, “Concept Background”, etc. within the Conception Description, Menu/Product, and Pricing section) can be larger than 12 points.
Question Number  24:   Can you please confirm how the paper copy should be bound (a.k.a. binding method)?
    Answer:   There are no set requirements for binding the paper copy.
Question Number  25:   Can you confirm that the tab section dividers do not count towards the page limits?
    Answer:   Per Part D RFP Details Section III-2, the tabs do not count towards the page limits.
Question Number  26:   If I’m working on two projects do I need a line of credit for one, or two different line of credits. Do you have a preferred bank for the line of credit?
    Answer:   A separate loan or line of credit should be obtained for each proposal submitted. There is no preferred financial institution list.
Question Number  27:   My parent entity is an ACDBE certified and owns other sub-entities, can I have the lease carried by a sub-entity that is solely owned by the parent entity.
    Answer:   In order to count toward ACDBE participation, one or more participants of a contracting joint venture or the contracting entity itself must be ACDBE-certified. Ownership of a subsidiary by an ACDBE certified parent company may not be sufficient for counting toward ACDBE certification. Please review the relevant FAA regulations and guidance with counsel. In particular, 49 CFR 26.73€ may be especially responsive to your inquiry.
Question Number  28:   Will the airport consider extending the deadline for the proposals?
    Answer:   No, proposals are due by 2:00 p.m. January 22, 2020.
Question Number  29:   The proposal is asking for a Certificate of insurance - since its new entity should I buy insurance now or wait until I receive approval from DEN.
    Answer:   Insurance certificates are just a reference for the set insurance requirements that the awarded proposer must ultimately obtain. Insurance certificates are not required at the time of proposal submission.
Question Number  30:   Certificate of good standing from Colorado state - My entity is based in Virginia, should I get a good standing certificate from VA?
    Answer:   No, DEN requires the proposing entity to submit a Certificate of Good Standing from the Colorado Secretary of State to prove that the entity is authorized to do business in Colorado.
Question Number  31:   Would it be possible to get either CAD Drawings or higher resolution PDFs of the spaces. The Appendix A pdf is low resolution and challenging to work with.
    Answer:   No, base building drawings will be made available to the successful proposer.
Question Number  32:   What is the current rent for a comparable at DEN?
    Answer:   Recent QSR contracts had percentage fee rents of 16% and 17% of gross annual receipts.
Question Number  33:   Regarding the surety in the proforma, is that line item the cost to maintain the MAG surety for the term of the agreement?
    Answer:   Correct, this should be the estimated cost to maintain the MAG surety as required under the agreement.
Question Number  34:   Regarding the proforma, can you explain what “paper & packaging/menu” includes?
    Answer:   "Paper and packaging" refers to the cost for shipping any sold merchandise to customers. The "menu" category would be the cost of producing menus.
Question Number  35:   Regarding the proforma, why is “airport employee discount and promo” consider an operating cost? Our POS accounts for these types of discounts in the sales portion of the proforma.
    Answer:   Correct, this type of cost relates to Cost of Goods Sold. Currently it is shown on Other Operating Costs for this report to show the estimated cost.
Question Number  36:   Regarding the proforma, can depreciation extend beyond the term of the Concession Agreement?
    Answer:   No.
Question Number  37:   How are property taxes assessed? Where can proposers find property tax information?
    Answer:   Taxes are assessed based upon the actual value of property. The actual value of the property is calculated by using one of three different approaches (market, income and cost approach). Once the actual value is determined it is then multiplied by the assessment rate to derive the assessed value. The assessed value is then multiplied by the mill levy to arrive at the property tax due amount. Property tax information can be found via the following website link: https://www.denvergov.org/content/denvergov/en/denver-department-of-finance/our-divisions/assessor.html
Question Number  38:   Should the “personal financial statement” follow the same methodology as the ACDBE program? For example, are proposers to include primary residence in the personal financial statement?
    Answer:   No. As required under Attachment 1, Part 10 Disclosure of Legal and Administrative Proceedings and Financial Condition, if the proposer is an individual, the following documents must be submitted: Federal income tax returns for the past three (3) years, a personal financial statement, and a Bank Reference.
Question Number  39:   What is the current cost of employee parking passes?
    Answer:   Employee parking passes are $36 per month.
Question Number  40:   Would we be able to submit one proposal with a proposed concept, as well as an alternate concept for the same space?
    Answer:   Proposers are limited to one concept per proposal. However, proposers may submit multiple proposals if they wish.
Question Number  41:   "Questions based off of Addendum No.1: Is the Bank Reference Letter separate from the Funding Source Letter? From the response in Addendum, it seems each partner needs to provide a bank reference letter. Ideally, each partner would provide a Funding Source letter. However, if the Prime submitted a funding letter supporting all of Capital Investment, that would meet the threshold for compliance?"
    Answer:   The Bank Reference Letter is the same as the Funding Source Letter. Although submission of a single Funding Source Letter by the Prime or another individual partner would suffice for the proposal process, federal regulations and contract requirements governing ACDBE participation would require each partner in the JV to contribute capital and provide proof thereof. Please see the Federal Aviation Administration's ACDBE Joint Venture Guidance at: https://www.faa.gov/about/office_org/headquarters_offices/acr/bus_ent_program/media/jvguidefinal508.pdf.
Question Number  42:   Can you please provide me where I can find the Pro Forma?
    Answer:   The link for the Pro Forma can be found under Part D RFP Details, V. Attachment 1, Proposal Forms, Part 9 : http://business.flydenver.com/bizops/documents/proForma_2.xlsx
Question Number  43:   Do we need a security deposit on lease?
    Answer:   Per the Sample Agreement and Concessions Handbook, DEN requires a Surety for Performance for the full term of the Agreement. Please review the Agreement (especially section XVI) and the Handbook (especially section 12.04) for details regarding the Surety.
Question Number  44:   If an already certified ACDBE company and company that is currently in the process of becoming certified come together in the form of a joint venture to bid on an RFP, do they need to form a new entity, or can they use both company names to propose?
    Answer:   We do not certify Joint Ventures. Each company would use their individual certifications to count toward their participation goal
Question Number  45:   When completing the required forms, are the forms completed by each company in the JV or does the JV complete the forms?
    Answer:   Please reference Part D RFP Details, IV. Attachment 1, Proposal Forms and Addendum No.1 for clarification on Part 8 Funding Source Letters.
Question Number  46:   Can you please share where we can find the real estate taxes for this location?
    Answer:   Real estate and business personal property tax info can be found by entering in the project address to the following link: https://www.denvergov.org/property. Projects done at the airport are NOT exempt from Denver taxes. Contractors are deemed the consumer of the materials used in construction, so they are NOT able to use the exemption of the tax-exempt entity they are performing work for. This information can be found in the below tax guide. https://www.denvergov.org/content/dam/denvergov/Portals/571/documents/TaxRules/ConstructionCompanies.pdf
Question Number  47:   If available, please provide any Architectural, Mechanical and Electrical drawings of existing facilities. Receiving these will allow us to better understand existing conditions and infrastructure and develop our capital investment figures and designs accordingly.
    Answer:   Base building drawings will be provided to the successful proposer.
Question Number  48:   Is the airport planning any changes to the airport interior architecture? If so, please share those plans and vision.
    Answer:   No significant changes are anticipated.
Question Number  49:   What are the existing services and utilities to the space? If these are currently being offering, please advise if they can be upgraded and provide a utility and services matrix, if available.
    Answer:   The space will be designed and built by the successful proposer's team. Utilities can be upgraded as allowed by the DEN Design Standards Manuals (DSMs). All DSMs can be found in the Business Requirements- Buisness Services/ Airport Guidelines & Policies section of the flydenver.com site. http://business.flydenver.com/bizops/bizRequirements.asp
Question Number  50:   What is the existing ventilation capacity in the space and what are the requirements for tempered make up air, both contributed Terminal and outside air.
    Answer:   Please review the DEN Mechanical Design Standards Manual for capacities and requirements. All DSMs can be found in the Business Requirements- Buisness Services/ Airport Guidelines & Policies section of the flydenver.com site. http://business.flydenver.com/bizops/bizRequirements.asp
Question Number  51:   Are the existing security gates to be removed and replaced with the typical sliding glass details? If applicable.
    Answer:   All existing construction will be removed by the successful proposer. All designs will be submitted to the DEN Design Review Committee (DRC) for review and approval.
Question Number  52:   Are there new design specifications and proposed renderings for this space? If available, please provide.
    Answer:   No, none are available.
Question Number  53:   In a previous RFP, additional space was available for development of a kitchen and/or storage space. Will separate back-of-house areas be available for similar use for this space? If so, please provide details.
    Answer:   There is no additional space included with this procurement. However, off-site storage or prep space may be available for lease separately.