RFP 2010-1151 ADDENDUM NO.2

TIRE MILEAGE AND LEASING PROGRAM

Questions and Answers

  1. Respondent Question:

We are requesting the attached ‘Standard Rider for Mileage Contracts’ covering areas of ambiguity beincorporated as part of our bid.

Answer:

No.

2.Respondent Question:

Goodyear requests our standard tax language (also attached for review), be permitted as part of our bid.

Answer:

No.

3.Respondent Question:

Please confirm your understanding that all access to information and documents hereunder will be reasonable access. AC Transit District will use reasonable efforts to protect the confidentiality of information and documents made available to the extent permitted by applicable law.

Answer:

That is correct.

  1. Respondent Question:

Page 2 – Item 2 – Regarding the fourth paragraph, please confirm in addition to bids being publicly acknowledged, that bid rates for all proposers will be read aloud.

Answer:

That is correct.

  1. Respondent Question:

Page 2 – Item 8 – Please confirm bids will be accepted or rejected ‘in-whole’ in this article and elsewhere in the specification.

Answer:

Bids will be in accordance with directives in this IFB.

  1. Respondent Question:Page 2 – Item 11 – Confirm ‘Warranty of Title’ is not applicable under a lease scenario.

Answer:

Not applicable.

  1. Respondent Question:

Page 2 – Item 12 – Confirm ‘Performance Warranty’ is not applicable under a lease scenario.

Answer:

It is my understanding that this is not applicable.

  1. Respondent Question:

Page 2 – Item 13 – In the 2nd and 3rd lines, please delete the words ‘any and all’.

Answer:

No.

  1. Respondent Question:

Page 2 – Item 13 – In the fourth line, please delete ‘of every nature’.

Answer:

No.

  1. Respondent Question:

Page 2 – Item 13 – In the sixth line, after the word ‘Agreement’, please insert ‘to the extent Contractor is negligent’.

Answer:

No.

  1. Respondent Question:

Page 2 – Item 13 – Please delete the last word ‘sole’ in the sixth line.

Answer:

No.

  1. Respondent Question:

Page 3 – Item 19 – Please confirm that any potential new Contractor would be allotted thirty days start-up.

Answer:

The start date for this bid is January 1, 2011. After determination of awardee, if not the incumbent start time frame can be discussed if more time is required.

  1. Respondent Question:

Page 4 – Item 27 – In the third line, please delete ‘ordered in writing by’ and insert agreed with’.

Answer:

No.

  1. Respondent Question:

Page 4 – Item 27 – In the fourth line after the word ‘at’, please insert ‘prices to be mutually agreed’ and delete the remainder of this sentence in its entirety.

Answer:

No change.

  1. Respondent Question:

Page 5 – Item 28 – In the first line, please confirm ‘All loss or damage’ is subject to the contingency clause in the Technical Specification (Pg 27 – Item 8).

Answer:

My opinion is the two (2) clauses are saying different things, one Natural cause the other Human cause. No change.

  1. Respondent Question:

Page 5 – Item 28 – In the fourth/fifth lines, please delete ‘the final acceptance of the work, or of the supplies, materials or equipment;’, and insert ‘delivery of leased tires,’.

Answer:

Accepted.

  1. Respondent Question:

Page 5 – Item 28 – In the sixth line after the word ‘shall’, insert ‘to the extent Contractor is negligent,’.

Answer:

No.

  1. Respondent Question:

Page 6 – Item 33 – In the fifth line, prior to the word ‘procure’, please insert ‘self-insure or’.

Answer:

No.

  1. Respondent Question:

Page 6 – Item 33 – In the eighth/ninth lines, please change ‘representatives, employees’ to, ‘representatives or employees.’ and delete the remainder of this paragraph.

Answer:

No.

  1. Respondent Question:

Page 7 – Item 33C – Please delete the second sentence in its entirety.

Answer:

No.

  1. Respondent Question:

Page 7 – Item 33D – 1a and 1b – Please delete both paragraphs.

Answer:

No.

  1. Respondent Question:

Page 7 – Item 33D – 2 – Please delete in its entirety.

Answer:

No.

  1. Respondent Question:

Page 8 – Item 33D – 3 a – Please delete this sentence in its entirety.

Answer:

No.

  1. Respondent Question:

Page 8 – Item 33 D5 – Please delete and substitute the following: “Contractor shall furnish the District with appropriate Certificates of Insurance. Certifications are to be received and approved by the District prior to commencement of any work under the contract”.

Answer:

No.

  1. Respondent Question:

Page 9 – Item 33 D6c – Near the end of this sentence, please delete ‘and result in action by the district to withhold payment and/or terminate the Contact’.

Answer:

No.

  1. Respondent Question:

Page 12 – Item 2A – In the sixth line after the second occurrence of the word ‘made’, please insert ‘in all material respects’.

Answer:

No.

  1. Respondent Question:

Page 15 – Item 5 – In the eighth line after the word ‘requests’, please insert ‘in each case for performance required hereunder’.

Answer:

This is FTA required boilerplate for federally funded contracts. Not subject to negotiation.

  1. Respondent Question:

Page 19 – Item 19 – In the second line, please insert the word ‘materially,’ prior to the word ‘breaches’.

Answer:

This is FTA required boilerplate for federally funded contracts. Not subject to negotiation.

  1. Respondent Question:

Page 19 – Item 19 – In the fifth line, please delete ‘its allowable costs to’ and insert ‘the contract price for services pertinent prior to’.

Answer:

This is FTA required boilerplate for federally funded contracts. Not subject to negotiation.

  1. Respondent Question:

Page 19 – Item 19B – In the fourth line after the word ‘contract’, please insert ‘and, in each case, the failure is material’.

Answer:

This is FTA required boilerplate for federally funded contracts. Not subject to negotiation.

  1. Respondent Question:

Page 20 – Item 19C – In the first line, please delete ‘in its sole discretion may’ and insert ‘shall’.

Answer:

No.

  1. Respondent Question:

Page 20 – Item 19C – In the second paragraph, fifth line, please delete ‘without any further obligation to Contractor.’

Answer:

No.

  1. Respondent Question:

Page 22 – 3C NOTE – The second line references ‘Subparagraph 6’ which we are unable to locate. Please provide this information.

Answer:

6. Has qualified and experienced tire service personnel and supervision available to properly service, repair and maintain bus or truck tires.

  1. Respondent Question:

Page 23 – Item 4A – Please confirm acceptance of our Intercity Cruiser Mileage tire (B315/80R22.5) as an approved equal to tire size 12R22.5 (currently approved by Santa ClaraCounty).

Answer:

The Intercity Cruiser Mileage Tire B315/80R22.5 may be accepted it meets the weight and dimension requirements for the District buses.

  1. Respondent Question:

Page 23 - Item 4A – Bus Total & Type - The total # of buses total 544, in this section which disagrees with Item 5 on Page 23 (636 total) and Item 18 on pages 37 & 38 (635 total). Please issue correction, if necessary.

Answer:

Bids should be base for Historical Usage Data on the bid form, yes there is a discrepancy in bus totals. Buses go in and out of use, the better total number of buses is 544, load range on the bid form for the 305/70Rx22.5 should be Load Range L.

  1. Respondent Question:

Page 23 – Item 4E – Please delete the second sentence in its entirety (The District further . . . Bay Area.)

Answer:

No.

  1. Respondent Question:

Page 25 – Item 6E – In the first line, please delete the word ‘in’ and insert ‘made available for’.

Answer:

No.

  1. Respondent Question:

Page 27 – Item 8 – In the second/third lines, please delete ‘an unforeseeable’, and insert ‘a’.

Answer:

No.

  1. Respondent Question:

Page 27 – Item 8 – In the seventh line, please delete ‘is unforeseeable’ and insert ‘must be, subject to the foregoing list,’

Answer:

No.

  1. Respondent Question:

Page 27 – Item 9 – Please add to this language, the following:

Operator represents/warrants that it owns outright or has legal possession of all vehicles comprising the fleet operated by it. If Operator acquires the right to operate any vehicles not owned by it (“Leased Vehicles”), Operator agrees (a) to notify Contractor of details of such arrangement, (b) that all Leased Vehicles will be furnished to Operator by the owner without tires so that they may be equipped with tires furnished by Contractor under this Agreement, and (c) to obtain an agreement acceptable to and for the benefit of Contractor whereby owner acknowledges Contractor’s ownership/right to possession of all tires supplied by it and waives all rights by virtue of their use on Leased Vehicles or otherwise.

Answer:

No.

  1. Respondent Question:

Page 27 – Item 10 – Beginning in the second line, please delete ‘the Contractor . . . at no cost’, and insert ‘TheContractor shall attempt to transfer or will bill District per the Terms and Conditions of IFB 2010-1151.

Answer:

No.

  1. Respondent Question:

Page 28 – Item 1C – at the end of this sentence, please insert ‘and/or The Tire & Rim Association of America,Inc’.

Answer:

No.

  1. Respondent Question:

Page 28 – Item 3A – At the end of this paragraph, please delete ‘and the District is not liable for loss or theft’.

Answer:

No.

  1. Respondent Question:

Page 28 – Item 3B – At the end of the first sentence, please add ‘and will not be driven on public roads or transporting people’.

Answer:

The text is very specific in the driven distance, “from the parking areas to the tire shop”, therefore there will be no change in the text.

  1. Respondent Question:

Page 29 – Item 3C – Confirm your understanding that the most current regulations for FTA drug and alcohol has been updated to C.F.R. Part #655.

Answer:

Confirmed.

  1. Respondent Question:

Page 29 – Item H – In the first line after the word ‘tires’, please insert ‘on coaches made available for service’.

Answer:

  1. Respondent Question:

Page 29 – Item I – In the fourth line, please delete ‘checking for defects’ and insert ‘visually checking for cracks’.

Answer:

No. The text is clear.

  1. Respondent Question:

Page 30 – Item K – In the first line, prior to the word ‘inspected’, please insert the word ‘visually’ and in this same line, delete ‘defects’ and insert ‘cracks’.

Answer:

No.

  1. Respondent Question:

Page 30 - Item K – In the third line, please delete the word ‘defective’.

Answer:

No.

  1. Respondent Question:

Page 30 – Item L – In the second paragraph, after the word ‘check’, please insert ‘vehicles made available in’.

Answer:

Not sure what second paragraph you are referring to in this question.

  1. Respondent Question:

Page 30 – Item 4A – In the sixth line, after the word ‘tire’, please insert the words ‘or vehicles’.

Answer:

Accepted.

  1. Respondent Question:

Page 31 – Item 6 – In the first line after the word ‘tires’, please insert ‘at a maximum level determined by Contractor’.

Answer:

The decision should be made by both parties.

  1. Respondent Question:

Page 31 – Item 8A – In the first line, please delete ‘furnished’ and insert ‘leased’.

Answer:

The decision should be made by both parties.

  1. Respondent Question:

Page 31 – Item 8A– Starting in the first line, please delete ‘free from . . . vibration, and’.

Answer:

No.

  1. Respondent Question:Page 31 – Item 8A – In the third line delete ‘of the highest industry standards’ and insert ‘consistent with all applicable Contractor standards’.

Answer:

No. The text does not prevent bidders from bidding on this IFB.

  1. Respondent Question:

Page 31 – Item 8A – In the last line, please delete ‘OSHA’.

Answer:

No. text does not prevent bidders from bidding on this IFB.

  1. Respondent Question:

Page 32 – Item 9A – In the first line prior to the word ‘inspect’, please insert ‘visually’.

Answer:

No. Inspection can include feel, touch along with visual.

  1. Respondent Question:

Page 33 – Item 12 – In the last line, please place a period after the word ‘destroyed’ (deleting the remainder of the sentence) and insert: If Operator does not provide access to tires damaged or sold, or if a tire is lost, stolen or otherwise unavailable for inspection to determine remaining tread depth, Operator will be invoiced at an amount not to exceed 50% of applicable new tire residual value per IFB 2010-1151, unless verifiable documentation can be provided as to value in excess of 50%.

Answer:

No. If reporting conduct properly you can determine remaining trend depth.

  1. Respondent Question:Page 33 – Item 13 – In the first line delete ‘procured’ and insert ‘leased’.

Answer:

Accepted.

  1. Respondent Question:

Page 34 – Item 13 –In the second line, delete the word ‘defective’ and insert ‘unserviceable leased’.

Answer:

Accepted

  1. In the third/fourth lines, please delete ‘the defect is’

Answer:

Accepted

  1. Beginning in the fourth line, please delete the sentence ‘The Distirct’s . . . standard warranties’.

Answer:

No.

  1. Delete the first sentence of the second paragraph in its entirety ‘All tires . . . as if new’.

Answer:

No.

  1. Respondent Question:

Page 34 – Item 14 – In the second line, delete ‘all tire’ and insert ‘the following’. In the same line, delete ‘such as; and insert ‘on vehicles made available’.

Answer:

No.

  1. Respondent Question:

Page 34 – Item 14I – In the second line, delete ‘checking for defects’ and insert ‘visually checking for cracks’.

Answer:

Refer to question number 57.

  1. Respondent Question:

Page 35 – Item 16 – Please provide the current number of service associates and does AC Transit feel this is satisfactory. Additionally, provide the current monthly service charge for service.

Answer:

$74,000.00

  1. Respondent Question:

Page 39 – In the paragraph directly above the table, in the first line, please delete ‘manufacturer’s specification’ and insert ‘the approved standards of the Tire & Rim Association of America Inc.

Answer:

No.

  1. Respondent Question:

Page 40 – Item 19H – In the seventh line after the word ‘tires’, please insert ‘if available’.

Answer:

No.

  1. Respondent Question:

Please provide current tire rates by size, and averages on tires by size regarding tires removed from service, as worn out.

Answer:

.00635 for all tire sizes, not clear on the second part of your question and it does not effect your ability to submit a bid.

  1. Respondent Question:

Goodyear respectfully requests the addition of the following language:

POSSESSION AND CANCELLATION

Should Operator breach the terms of this Agreement through non-payment, non-payment on total amount due at termination, impaired credit standing, assignment for the benefit of creditors, failure to report miles operated, application of Contractor leased tires, spare stock inventory or receipt of tires, in accordance with IFB 2010-1151, or erroneous reporting of miles run, or is placed in receivership or adjudicated bankrupt, then, under any of the above conditions, Contractor shall have the right, at its option, without prejudice to any other rights and remedies, to stop shipping tires, take possession of inventory whether or not the inventory is applied on vehicles without being deemed guilty of trespass, and bill Operator for all costs of removing tires and/or terminate this Agreement in accordance with IFB 2010-1151. Should Contractor exercise any of these options, Contractor shall be relieved from any further obligation under this Agreement; however, this shall not relieve Operator from its obligation to pay for the use of the tires furnished or from its liability for all damages caused by such breach. Operator specifically agrees to be responsible for and pay any and all attorney fees, court costs and other expenses incurred by Contractor in collecting amounts owed by Operator or in enforcing any other right under this Agreement. Contractor’s failure to exercise any or all of the above options upon Operator's default shall not constitute a waiver by Contractor of its right to exercise any or all of the above options upon any subsequent default by Operator.

Answer:

No.

  1. Respondent Question:

Please allow bidders to submit with their bid the industry standard language for buyout and runout that would apply at the end of IFB 2010-1151.

Answer:

The language concerning buyout/runout in IFB 2010-1151 is what will apply.

  1. Respondent Question:

Please confirm AC Transit has exercised their right to runout existing inventory with their current tire supplier in the event of change in supplier, to avoid a potentially large residual value billing, due in 30days.

Answer:

District’s is in the position to Runout.

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