Oregon Child Nutrition Coalition
Purchased Food/Supply
Request for Proposal
2017-2018 School Year
RFP Number #53017
Addenda #1
1. Q: Does the letter documenting a product’s qualification for the Buy American designation need to say the products are produced in the USA? Or do you want more detail in regards to commodities being grown in the USA? Do you need the % of USA commodities for each product?
A. The letter must state the product is substantially (51% or more) produced (grown) and packaged in the USA. Exact percentages by product are not necessary. Additional information is located here:
https://www.fns.usda.gov/sites/default/files/cn/Buy_America_Industry_Letter.pdf
2. Q: Do you want letters for non-qualifying products to be submitted in the Dropbox as well or only the ones that qualify for Buy American?
A. Manufacturer letters are not required for non-qualifying items Each non-qualifying item offered, however, must have the information regarding origin completed on Attachment L.
3. Q: Do you want the electronic copies to be USB Flash Drive or Disc?
A. USB Flash Drives are preferred.
4. Q: Does the electronic copy need to be signed in blue ink?
A. Please sign the documents in blue ink and then scan them to be included in the electronic copies. Submit the original signature(s) with the paper copies.
5. Q. I have beverages that were approved on the manufacturer-defined list in certain flavors. Will members be able to order other flavors?
A. No. Additional flavors will have to be approved through the Subsequent Request for Proposal process outlined on page 15, Number 25.
6. Q: If a product is listed as approved on the manufacturer-defined list, does the manufacturer need to do anything else?
A. The manufacturer needs to provide pricing to the proposers so that they may evaluate the product for possible inclusion in their response.
7. Q: Are Attachments A, C, D, E, F, G, and Q only signed by proposers, not by manufacturers?
A. Yes.
8. What percentage of the total students in Oregon is enrolled in OCNC member districts?
There are 570,857 K-12 students in schools in Oregon. There are about 175,000 students in the OCNC member districts representing 30% of the total Oregon student body.
9. Q: How will new items be added?
A. OCNC will issue Subsequent Requests for Proposals (RFP) during each school year to add new items. Additional information is located on page 15, number 25.
10. Q: Can I submit my canned fruit products on the non-stock list?
A. No. Canned fruits are on the Distributor’s Choice Price Quote pages. Manufacturers should give pricing information to the proposers. Proposers will complete the price pages.
11. Q: Is the RFP for direct delivery or for delivery through a distributor?
A. It is for delivery through a distributor.
12. Q: I did not submit any items to be approved for manufacturer defined. May I submit them now?
A. No. They will have to be considered through the Subsequent Request For Proposal process.
13. Q: Is the quarter chicken leg G63 cooked or raw?
A. The item is raw.
14. Is the Buy American paperwork completed by the proposer? Is it due July 1, 2017? How do I provide the information?
A. Revised copies of the price quote pages have been posted to the OCNC web site (ocnc.org) with a column added for Buy American Q\qualification. Proposer is to note “y” for yes or “n” for no. Attachment L must be completed by each proposer for all items offered that do not qualify.
Manufacturers should provide letters to the proposer(s) verifying qualification under the Buy American provision. All letters must be in the Dropbox file provided by July 1, 2017.
15. Q: What do I do as a manufacturer if the pack size of my product does not match the one specified?
A. Tell each proposer the pack size for the items you produce. The Manufacturer Defined Price Quote page one has a sample for how the proposer is to fill out the information when there has been a pack size change. They will note the correct pack size, recalculate the estimated usage and then extend the total.
16. Q: As a manufacturer can I still participate in the proposal if I did not submit items to be pre-qualified for manufacturer defined product approval?
A. You may only offer products to proposers that are on the generic or the distributor’s choice price pages.
17. Q. I am a proposer and need a Dropbox link for the Buy American information. How do I get one?
A. Email and request one.
18. Q: How will produce be purchased?
A. Districts will independently purchase produce. They may purchase off the State of Oregon bid or piggyback on bids in other districts. OCNC may consider adding a produce provision as part of the Subsequent Request for Approval process.
19. Q: Can a proposer provide financial information for the entire company as a whole or does the information have to be specific to the local operation?
A. Financial information should be submitted for the entire company as a whole, not for the local operation.
20. Q: We noticed Reynolds School District has been added to the list. Are they a member and is their volume included?
A. The Reynolds School Board is in the process of deciding how to operate their Food Service program next school year. They have indicated to OCNC they believe they will be joining. The estimated purchases for the District have been added to the OCNC estimated usage numbers. The estimated dollar value of the OCNC Food/Supply RFP has been increased by $1,250,000 due to the additional purchases the Reynolds School District will make.
21. Q: Are OCNC members still required to buy 80% of their food and supply products through this RFP?
A. Yes.
22. Q: On the Subsequent RFP’s the minimum number of purchased cases required is 50. Is that the total for a school year?
A. Yes. However, OCNC will only ask for products to be added to the proposer’s stock if the commitment level is 200 cases per year.
23. Q: Will the commitment form stay the same?
A. No. We will make a new one that represents the new process. It will be posted and all vendors on the email list will be notified when that is completed.
24. Q: Is the only price increase allowed the one from the change in the CPI? What does a proposer do if a manufacturer increases the cost of an item more than that amount?
A. Yes, the only increase allowed on the fixed price is the one calculated annually in March from the change in the specified CPI.
In the past OCNC agreements have been based on a cost reimbursable plus a fixed fee structure. All deviations, discounts and rebates from manufacturers had to be identified and passed on to OCNC members. When the cost to the distributor from the manufacturer went up or down the change had to be passed on to OCNC members. Fees for delivery were fixed for the school year.
This RFP is based on a fixed price structure. Deviations, discounts and rebates from manufacturer’s do not have to be identified and do not have to be passed on the OCNC members. However, when the cost to the distributor from a manufacturer for a product goes up the proposer must absorb that cost. Conversely, when the cost to the distributor from a manufacturer goes down the proposer is not required to reduce the cost to the OCNC members.
If a manufacturer-defined product increases in cost more than the proposer is willing to absorb, the proposer may withdraw their offer to sell that product at the fixed price quoted. OCNC members would then have to use the Subsequent RFP process to select a replacement product.
If a generic or distributor’s choice item increases in cost more than the proposer is willing to absorb, the proposer must provide 20-business-days notice to OCNC.
The awarded proposer is to identify their process for replacing the item along with the new pricing.
a. If the current product is to be replaced with a product that is priced within the agreement price increase parameters, OCNC will notify the distributor of their acceptance or rejection of the replacement product within the 20-business-day notification period.
b. If there is no replacement product that meets the agreement price increase parameters, OCNC will determine the course of action required by regulation. OCNC will notify the distributor how it wishes to proceed within the 20-business-day notification period.
c. In any case, price increases shall not be implemented prior to 20 business days from the date OCNC is notified of the need to increase a price.
25. The following language will be deleted from number 12. Audit, page 11:
OCNC staff shall audit pricing for a variety of items OCNC members have purchased at least twice per year.
The following language will be added:
OCNC staff will audit pricing not more than twice per school year. Written notice of the audit will be given 30 days prior. The date and time of the audit must be to the mutual agreement of OCNC and the successful proposer. The audit shall occur at the successful proposer’s location.
Not more than 50 items shall be price verified. The period for which pricing is to be verified will not begin more than three months prior to the date of the price verification.
For items listed on the price quote pages and those added by the Subsequent RFPs the audit will compare OCNC member invoices to the fixed prices quoted.
For Fee for Service (FFS) commodity-processed items the audit will be verifying the correct fixed fee for delivery was charged on member invoices.
For Net Off Invoice (NOI) commodity-processed items the audit will verify the commercial price matches the one quoted on the OCNC Commodity RFP, that the correct USDA Foods value was deducted and the correct fixed fee to deliver was charged.
For Cash Rebate commodity-processed items the audit will verify that the correct total of number of cases delivered of each item in the period specified were reported to the manufacturer.
Audits occurring during rollover years after the 17-18 school year will also verify the correct fixed price increase based on the CPI has been allowed. Annual adjustments based on the CPI will be compounded for the duration of the agreement.
Pricing corrections shall not extend back more than six months from the date of the price verification.
26. Q: What were the criteria for the sodium on the taste testing?
A. Breakfast entrees were limited to a maximum of 400 milligrams of Sodium. Lunch entrees were limited to a maximum of 750 milligrams of Sodium. During the taste-testing meetings, however, directors occasionally eliminated products at those levels and below.
27. Q: Can I get more information why a product was not approved?
A. Yes, contact .
28. Please explain number 25, page 16, section E - “not more than 5 individual OCNC member sites.”
A. In the event sufficient directors are not able to attend one of the three meetings specified for the taste testing of a new product the manufacturer may be asked to provide product for taste scoring to not more than 5 member districts.
29. Q: One of my products was not approved and only one item is currently listed as approved. What happens if the price offered exceeds the amount OCNC members are willing to pay?
A. Member’s can fill out commitment forms to add the unapproved product through the Subsequent RFP process.
30. Q: In terms of Buy American from a proposer standpoint would it be wise to go with the qualifying product or a non-qualifying product that is less expensive?
A. The least expensive product should be offered on the price page and the cost extended. A Blank Price Quote page has been added to the OCNC web site so proposers may offer more expensive products that qualify for Buy American to members. Individual members will determine which product to purchase. No award points will be added or subtracted for offering additional Buy American qualifying products.
31. Q: Can proposers offer more than one item on the price pages?
A. Only if the item offered on the price page does not qualify for Buy American. They may then list the qualifying item on the Blank Price Quote page.
32. Q: Is G202 whole grain yakisoba noodles a dry item or is it frozen?
A. G202 is a refrigerated product.
33. Q: May I offer a fully cooked frozen whole grain rice for item G231?
A. No. The whole grain brown rice is to be a dry product.
34. Q: What is the maximum sodium level allowed for G257 Teriyaki Sauce, Less Sodium?
A. 500 milligrams of Sodium or less per two tablespoons.
35. Q: Which distributors will be responding to this RFP?
A. Notification has been given by FSA Portland and Sysco Portland that they intend to respond.
36. Q: Will the information below be sufficient documentation for the Buy American qualification:
A. Yes
37. Q: Attachment G has two places for signatures. Do proposers need to sign both?
A. No, please sign just one.
38. The following language will be added to page 22 of the RFP as number 36:
Perishable Agricultural Commodities. Generally, all fresh and frozen fruits and vegetables, which have not been processed beyond cutting, combining and/or steam blanching, are considered perishable agricultural commodities as are oil blanched French fried potato products. All perishable agricultural commodities sold to proposer are sold subject to the statutory trust authorized by Section 5(c) of the Perishable Agricultural Commodities Act, 1930 (PACA) (7 U.S.C. § 499e(c)). The seller of these commodities retains a trust claim over these commodities and all inventories of food or other products derived from these commodities until full payment is received.