AC TRANSIT DISTRICT INVITATION FOR BID … No change. In line 4, ... PARAGRAPH D - Please clarify...

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AC TRANSIT DISTRICT INVITATION FOR BID PURCHASING DEPARTMENT No. 2005-931 LEASE AND SERVICE OF BUS TIRES Addendum No. 2 dated September 15, 2005 Page 1 of 1 The Alameda-Contra Costa Transit District herewith issues this Addendum No.2 to the above reference Bid Documents. Except as modified below, all other terms and conditions shall remain in effect. Strikethrough texts are words deleted from original IFB text and bold/italicized/underlined text are changes to original IFB text. This will be the only round of questions and clarifications. Prospective bidders must submit their bids on or before the opening bid date of September 28, 2005. Amendments to Invitation For Bid The Bid opening date on page 1 of 55 is hereby change from 2:00pm September 21, 2005 to 2:00pm September 28, 2005. Amendments to the General Conditions, Instructions and Information for Bidders NONE Amendments to the Special Conditions NONE Amendments to the Scope of Work NONE Amendments to the Bid Forms Bid Forms, pages 41 thru 43 are deleted in their entirety and replaced with revised forms attached to this addendum as Attachment D. Amendments to the Sample Contract NONE Amendments to the IFB Attachments NONE Attachments to this Addendum 1. Attachment A - Questions and Answers (29 pages) 2. Attachment B - Standard Operating Procedures (SOP) (4 pages). 3. Attachment C – Mileage Tire Fleet Inspection Form and Bus Tire Record Form (2 pages) 4. Attachment D – Revised IFB Bid Forms (3 pages)

Transcript of AC TRANSIT DISTRICT INVITATION FOR BID … No change. In line 4, ... PARAGRAPH D - Please clarify...

AC TRANSIT DISTRICT INVITATION FOR BIDPURCHASING DEPARTMENT No. 2005-931

LEASE AND SERVICE OF BUS TIRES

Addendum No. 2 dated September 15, 2005

Page 1 of 1

The Alameda-Contra Costa Transit District herewith issues this Addendum No.2 to theabove reference Bid Documents. Except as modified below, all other terms andconditions shall remain in effect. Strikethrough texts are words deleted from original IFBtext and bold/italicized/underlined text are changes to original IFB text. This will bethe only round of questions and clarifications. Prospective bidders must submit theirbids on or before the opening bid date of September 28, 2005.

Amendments to Invitation For Bid

The Bid opening date on page 1 of 55 is hereby change from 2:00pm September 21,2005 to 2:00pm September 28, 2005.

Amendments to the General Conditions, Instructions and Information for Bidders

NONE

Amendments to the Special Conditions

NONE

Amendments to the Scope of Work

NONE

Amendments to the Bid Forms

Bid Forms, pages 41 thru 43 are deleted in their entirety and replaced with revisedforms attached to this addendum as Attachment D.

Amendments to the Sample Contract

NONE

Amendments to the IFB Attachments

NONE

Attachments to this Addendum

1. Attachment A - Questions and Answers (29 pages)2. Attachment B - Standard Operating Procedures (SOP) (4 pages).3. Attachment C – Mileage Tire Fleet Inspection Form and Bus Tire Record Form (2

pages)4. Attachment D – Revised IFB Bid Forms (3 pages)

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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1. Please provide current annual mileage performance for each tire size, if known.

Answer: AVERAGE ANNUAL MILES BY TIRE SIZE

12R 305 31544,000 48,000 53,000

2. Please provide the annual new (original) tire consumption by tire size, if known.

Answer:

ANNUAL NEW TIRE CONSUMPTION12R 305 315

1374 748 220

3. Please provide the hourly rates paid to the current service personnel, if known.

Answer: The current monthly service cost is $62,490.00. Individual’s hourlyrates are not known.

4. Page 2 – Section 13. INDEMNIFICATION - As per our legal department, pleasemake the following changes: In line 3, after “against any and all” insert “direct”.

Answer: No change.

In line 4, insert “reasonable” in front of “costs and fees of litigation”.

Answer: No change.

In line 4, delete “of every nature”.

Answer: Section 13 on page 2, 4th line: “of every nature” shall be deleted.

5. Page 2– Section 14. TERMINATION AND TERMINATION FOR CONVENIENCE- As per our legal department, please insert the following language at the end ofthis section:

“In the event the District fails to perform any of its obligations under this contract,this contract may be terminated effective after thirty (30) days written notice andall of the District’s rights hereunder ended. No new work will be undertaken andno new deliveries will be made after the date of receipt of such notice.

The Contractor may terminate this Agreement for the Contractor’s convenienceand without cause at any time by giving the District written notice of termination.Such termination will be effective one hundred eighty (180) days after receipt ofwritten notice of such termination by the District. During this notice period allcontractual obligations will be met in full by both the Contractor and the District.”

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: No change.

6. Page 3 – Section 21. TERM OF CONTRACT - As per our legal department,please make the following changes: In line 3, after “District” insert “and mutuallyagreed upon in writing by the parties”.

Answer: No change.

7. Page 4 – Section 26. ASSIGNMENT AND SUBCONTRACTING-As per our legaldepartment, please insert the following language at the end of this section:

“Notwithstanding the foregoing, nothing herein shall prohibit the delivery ofproducts or services pursuant to this Agreement by Contractor’s independentdealers. This Agreement and any right hereunder or interest herein may beassigned at any time by Contractor to its affiliates. Contractor may assign anyright to receive payment to a third party.”

Answer: Special Condition section 26 on page 4 is deleted in its entirety andreplaced with the following:

“Neither party shall assign, transfer, convey, subcontract or otherwisedispose of the contract or any part of it without obtaining in advance thewritten consent of both parties, which consent shall not be unreasonablywithheld.”

8. Page 5 – Section 31. INSURANCE - Other than for Workers Compensation andEmployer’s Liability, Michelin self-insures. Please confirm that it is acceptable forthe Contractor to self-insure and that this insurance will not cover the District, itsofficers, officials, or employees. The Contractor cannot be held responsible for theactions of the District, its officers, officials, or employees, since it has no control orauthority over such persons. Michelin NA, Inc is happy to indemnify the Districtfor any involvement from itself, but cannot agree to indemnify against somethingwholly outside of its control.

Answer: Special Condition section 31.C. on page 5 is hereby deleted in itsentirety and replaced with the following:

“C. Deductible and/or Self-Insured Retention

Any deductibles and/or self-insured retention must be declared toand approved by the District. “

9. Page 9 – Section 33. OPTION TO EXTEND THE CONTRACT (PRICED) - Asper our legal department, please make the following changes: In line 1, after “ofthe District,” insert “and mutually agreed upon in writing by the parties”.

Answer: No change.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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10. Page 9 – Section 36. FAILURE TO MEET CONTRACT REQUIREMENTS - Asper our legal department, please insert the following language at the end of thissection: “Provided, however, Contractor will compensate for excess price onlyfor vehicles that are not available for service due to the default and only duringthe time of default.”

Answer: No change

11. Page 9 – Section 37. INFRINGEMENT OF PATENTS - As per our legaldepartment, please delete this entire section and insert the following: “Contractorwarrants that the Products described herein and the sale or use of suchProducts, will not infringe or contribute to the infringement of any United States orforeign patent, trademark, copyright or corresponding right, and Contractoragrees to indemnify, hold harmless and protect the Alameda Contra CostaTransit District, from and against all losses, damages, liabilities, claims, costs,demands and suits at law or equity for actual infringement of any patents,trademarks, copyrights or corresponding rights pertaining to the Products subjectto this Agreement.”

Answer: Special Condition section 37. INFRINGEMENT OF PATENTS on page9-10 is hereby deleted in its entirety.

12. Page 45 – Section 3. PERIOD OF PERFORMANCE - As per our legaldepartment, please make the following changes: In line 3, at the end of thesentence after “of the District” insert “and mutually agreed upon in writing by theparties”.

Answer: No change.

13. Page 3 – Section 20. TYPE OF CONTRACT

Please provide the current service rate per month – see chart below.Please provide the current tire rates by size – see chart below.

Answer:

TIRE SIZE

TIRE MILE RATEJAN 2005-DEC2005

12R22.5 H 0.00626812R22.5 H (Articulated) 0.00626831580R225 J 0.00626830570R225 H NABI 0.00626822570R19.5 0.00917122575R16 E 0.00419930570R225 J VAN HOOL 0.007568 MONTHLY SERVICE COST $ 62,490.00

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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14. Page 17 – Section B. TERMINATION FOR DEFAULT - In the second paragraph,after "that the Contractor had an excusable reason for not performing, such as astrike, fire or flood, " please insert ", Act of Terrorism".

Answer: Federal Clauses section 6.B. on page 17, second paragraph “Acts ofTerrorism” shall be inserted after “…strike, fire, or flood,..”.

15. Page 18 – Section 7. DISADVANTANGED BUSNIESS ENTERPRISE (DBE)

POLICY-Please confirm that there is no specific target percentage for DBEparticipation in this contract.

Answer: Confirmed, there is no specific target percentage for DBE participation.

16. Page 25 – Section 5. QUANTITIES PARAGRAPH A -Please confirm that theload ranges specified are the minimum requirement and greater load range tiresare acceptable to the District.

Answer: Confirmed, load ranges are correct as specified.

17. Page 26 – Section 6. SERVICE LOCATIONS, PARAGRAPH D - Please clarifythat no tire changes to buses take place after stated times. If there is a need tochange tires after stated times, please state how this is accomplished.

Answer: No tire changes to buses will be required after the stated times at theEmeryville (D2) and Richmond (D3) facilities. Technical specifications paragraph6.D on page 26 SERVICE LOCATIONS is hereby deleted it its entirety andreplaced with the following:

“Use of air wrenches for wheel changes at Division 2 Emeryville is onlyallowed between 8:00am and 2:00pm AND only allowed at Division 3Richmond between 6:00am and 2:30PM - Monday through Friday”.

18. Page 27 - Section 7. RECORD KEEPING, PARAGRAPH E - Please confirmthat the requirement for “coaches” means for the entire fleet. If so, pleaseprovide the current procedure for achieving this required task. Due to resourcerequirement for this task it is important that we fully understand the requirementand the current method of operation.

Answer: Procedures not implemented at this time; however, with the issuanceof a new contract contractor will be required to satisfy this requirement.

19. Page 27 - Section 7. RECORD KEEPING, PARAGRAPH G - In the example,please clarify if the last column "Spare" is actually an odometer reading andconfirm if this is a requirement to document this reading on this form.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: Yes, the last column is an odometer reading and will be a contractualrequirement to record the data.

20. Page 29. – Section 8. TIRES/TYPE - Please delete the words "City TransportRadial", which is a term that is specific to Firestone’s product. Please replacewith the word "Urban", which is the generic industry term for this type of tire.

Answer: Technical Specifications section 8. on page 29 is hereby deleted in itsentirety and replaced with the following:

“All Heavy Duty Bus Tires shall be steel belt radial tires that meet or exceedthe load and operating conditions of each Bus type (Scope Of WorkParagraph 18. Tire size specification by category page 40). The District isnot precluded during the life of the contract from considering tires withother components in the event the industry develops new or improved tirescontaining such other materials.”

21. Page 30 – Section 1. CONFORMITY, PARAGRAPH C - The Tire IndustryAssociation is one of the leading industry standards for commercial tire service.After the words “…Association Standards.” please add the words "and/or TIA,Tire Industry Association standards."

Answer: Scope of Work section 1.C on page 30 is hereby deleted in its entiretyand replaced with the following:

“All work shall conform to R.M.A., Rubber Manufacture Association Standards,and/or TIA Tire Industry Association standards”.

22. Page 30 – Section 3. SERVICES TO BE PERFORMED BY CONTRACTOR,PARAGRAPH A - To ensure that we fully understand the requirements, pleaseprovide a copy of the "Transit's Standard Operating Procedure (SOP)".

Answer: Refer to Attachment “B” to IFB 2005-931 Addendum No. 2.

23. Page 30 – Section 3. SERVICES TO BE PERFORMED BY CONTRACTORPARAGRAPH F - Performing mechanical duties such as adjusting alignmentmay cause issues with the union and is not a normal tire service role. Pleaseremove the word ", adjust " from the first line.

Answer: Scope of Work section 3.F on page 31, in the first line - delete the wordadjust. Note: the Contractor is only required to inspect and record alignmentsnot adjust.

24. Page 31 – Section 3.E SERVICES TO BE PERFORMED BY CONTRACTOR,PARAGRAPH E - After the words "…to be determined by AC Transit…" pleaseinsert the words "and the Contractor jointly".

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: Scope of Work section 3.E on page 31, in the first line after the wordtransit insert the words “and the Contractor jointly.”

25. Page 32 – Section 4. TIRES FOR NEW VEHICLES, PARAGRAPH A - Due tothe administration, accounting, legal and pricing issues Michelin would not wishto sell the District tires for new buses and then repurchase them. Michelin wouldprefer to simply deliver the tires to the OE Manufacturer, take the cost internallyand put them straight onto the lease program. There would be no need to selland repurchase. This is common practice for the Tire Leasing Industry.

Please delete the whole sentence “If such tires are leased…tires into the leaseprogram.” and replace with “If such tires are leased, the tires shall on delivery tothe OE manufacturer become subject to the terms and conditions of the contract.If new buses are to be driven from the manufacturer to the District for delivery,the Contractor shall receive payment for the use at the rates specified by thecontract. Any tires lost, stolen or damaged while in the possession of the busmanufacturer or while the bus is being delivered shall be paid for by the District.“

Answer: Scope of Work section 4 on page 32 is hereby deleted in its entirety andreplaced with the following:

“4. TIRES FOR NEW VEHICLES

A. In the event the District orders or purchases new coachesduring the term of this agreement, the District reserves theright to purchase outright or lease from the contractor all tiresrequired for the new coaches. If such tires are leased, theDistrict will pay the rate for the tires installed on any newequipment on the basis set forth in the agreement. Termsshall be negotiated for different size and/or construction typeof tire not currently shown in specifications, which are placedin service during the term of the contract.

B. Contractor, upon receiving notice from the District, shallwithin sixty (60) days make arrangements with the coachmanufacturer at its factory for the timely delivery of tires forsaid coaches to coach manufacturer’s North American facility,or to an overseas facility, with the District paying forreasonable charges in excess of normal freight charges theoverseas facility.

C. The District shall pay for any leased tires lost, stolen, ordamaged while in the possession of the bus manufacturer,dealer or seller, or while the bus is being delivered.”

26. Page 32 – TIRES FOR NEW VEHICLES, PARAGRAPH B - To ensure tireavailability, it is necessary to have proper notice of the requirement for additional

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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tires for new buses. Please delete “…within thirty (30) days…” and replace with“…within sixty (60) days…”

Answer: See question/answer #25.

27. Page 33 – Section 7. STORAGE OF TIRES - It is important that the Contractor’stires are secure when stored, lost or stolen tires will be charged to the District. Inthe second line of the paragraph please add the word ", secure" after the word“safe”.

Answer: Scope of Work section 7 on page 33, in the second line - “secure” isinserted after the word “safe,” .

28. Page 33 – Section 8. NEW TIRES, PARAGRAPH B - Please change theminimum tread depth requirement to 22/32” and the minimum under-tread to5/32”. This corresponds to the technical specifications of the Michelin low profileurban tires.

Answer: Scope of Work section 8.B on page 33 is hereby deleted in its entiretyand replaced with the following: “All Heavy Duty Bus Tires shall be steelbelted radials with a minimum tread depth of 22/32”. The under-tread shallbe a minimum of 5/32”.

29. Page 34 - Section 9. RECAPPED TIRES, PARAGRAPH B - After “Therecapping process shall be Bandag or Goodyear..." please insert "or MichelinRetread Technologies”. Please remove the sentence “The tread depth will be aminimum of 20/32 with siped treads” and replace with “The tread depth anddesign will be of suitable for an urban application.” Please delete the wholesentence “The tread design will be the Omni bus or Waste Hauler Rib.” andreplace with “The tread design will be of a design suitable for an urbanapplication.”

Answer: Scope of Work section 9.B on page 34 is hereby deleted in its entiretyand replaced with the following:

“The recapping process shall be a tread design that is suitable for an urbanbus application with the load and speed ratings listed on page 40 of thescope of work”.

30. Page 34 - Section 9. RECAPPED TIRES, PARAGRAPH C - Please remove thewhole sentence “The cost of recapped tires...AC Transit facilities.” since thecontract is a cost per mile all costs will be included in the rate.

Answer: No change.

31. Page 34 - Section 10. NO-VALUE TIRES - After “…TIRE DISPOSITIONFORM…” please add ", or contractor’s equivalent”.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: The form is produced and provided by the Contractor.32. Page 34 - Section 11. DISPOSAL/RECYCLE OF TIRES, PARAGRAPH A -

Please confirm that 2,728 is the number of District OWNED tires scrappedannually and not the total number of tires regardless of ownership.

Answer: Confirmed, 2,728 are the actual number of tires scrapped annually.

33. Page 35 - Section 12. DAMAGED/LOSS TIRES - Please specify the billingmethodology for tires damaged other than normal wear and tear, such as lost,stolen damaged by accident of fire, etc.

Answer: Scope of Work section 12 DAMAGED/LOSS TIRES on page 35 ishereby deleted in its entirety and replaced with the following:

“Damaged tires due to normal wear and tear shall be a part of the unitprice of this contract. The unused mileage for original and retread tiresshall be determined by multiplying the number of 32nds of an inch of usablerubber remaining on each tire by the applicable cost per 32nd shown on thebid sheet. When a tire is not available for inspection to apply the abovecalculation(s), whether lost, stolen or otherwise missing or destroyed,reimbursement shall be based on calculation of unused mileage”.

34. Page 36 – Section 14. SERVICE PERSONNEL DUTIES - Please confirm thatthe current contractors tire service employees are part of a collective bargainingagreement and are union members.

Answer: Confirmed.

35. Page 36 – Section 14. service PERSONNEL DUTIES, PARAGRAPH A - Pleaseconfirm that acceptable pull points are 4/32” for the steer axle and 2/32” for driveand carry axles.

Answer: Confirmed.

36. Page 36 – Section 14. SERVICE PERSONNEL DUTIES,PARAGRAPH D -Please delete the words “all mounted wheel and tire assemblies” and replacewith “tire and wheel assemblies intended for front/steer positions.”

Answer: Scope of Work section 14.D on page 36 is hereby deleted in its entiretyand replaced with the following:

“Balancing all tire and wheel assemblies intended for steer positions”.

37. Page 37 – Section 15. TOOLS EQUIPMENT/RESPONSIBILITY - Please deletethe last word of the paragraph “monthly” and replace with the term “every sixmonths.”

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: No change, the IFB is deliberately written this way to ensure that theshop torque wrenches are always calibrated correctly.

38. Page 37 – Section16. SERVICE LOCATIONS & COVERAGE REQUIREMENTS- Please provide the current number of tire service persons and tire servicemanagement onsite.

Answer: The current number of Firestone employees is 12.

Please provide the current pay rates, if known.

Answer: See question/answer #3.

39. Please add a Section – DISTRICT’S RESPONSIBILITIES

There are certain responsibilities that the District needs to agree to ensure thesmooth and safe operation of the account for both parties.

Answer: Based on the request for additional clauses, the following two (2)clauses are added to the IFB Scope of Work section as follows:

“19. DISTRICT’S RESPONSIBILITIES: Service & Safety Requirements

A. Shop Neatness & Safety - The District shall make every effort toensure that the garage floors and bus parking areas are free ofnuts, bolts, metal, wire and excessive petroleum products.

B. Misalignment – When notified by the contractor of misalignmentand/or other conditions, the District shall make every effort toensure that a response to the reported problems are addressedwithin a two (2) week period.

C. Utility Availability – The District shall provide all necessary air and0-electrical outlets for the tire service equipment.

D. Liability Coverage: The District shall provide instruction in the safeoperation of all District Vehicles. NOTE: The District will notprovide liability coverage for contractor personnel, which willbe covered by the contractor.

E. WorkSpace – The District shall supply adequate utility spacesuitable for the Contractor’s use in repairing and maintaining tiresfor the District.

F. Road Call Service – The District shall provide road call service forthe District’s fleet.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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G. Tire Usage – The District will not transfer, sublet or lend the tiresfurnished by the contractor or permit the tires to be used by anyoneother than the District, without prior written consent of thecontractor.

H. Obsolete Tires – If District sells or in any manner disposes of anyvehicles which shall have been equipped with tires supplied underthis agreement, or if District places tires in storage or renders avehicle inactive through discontinuance of its business ordiscontinuance of the use of any such tires or vehicle for a periodexceeding 120 days, the District shall have the option of either (a)requesting the contractor to remove tires from inactive vehicles andreplacing those tires with uncut-no value tires; or (b) to purchasethe unused mileage in each such tire, including obsolete sparestock.

20. DISTRICT’S RESPONSIBILITIES: Reporting Requirements

A. Mileage Submission - For vehicles covered under this agreement,the District shall keep a business record of the total number ofmiles run during the term and submit a report of such total mileageon each vehicle prior to the 10th working day of the month followingthe month the miles were run. Vehicle mileage shall be determinedeither by means of an instrument which will accurately recordmileage being run on each vehicle, or by multiplying the number ortrips of each vehicle by the number of miles over the route it isdriven and adding all miscellaneous mileage that may be run to andfrom the route.

B. Fleet Information – On a monthly basis, the District shall furnish thecontractor with an accurate fleet list showing (a) active vehicles, (b)new vehicles put into service during the month, with the startservice date, and (c) old vehicles removed from service during themonth, with the date of removal from service.

NOTE: The District will not provide a report regarding Tire and WheelChanges, as the contractor will perform all tire changes.”

40. Page 2 of 55 – Item 5 TAXES – Please confirm tax exemption certificates will beprovided.

Answer: Tax exempt certificates will be provided to the successful bidder uponrequest.

41. Page 2 of 55 – Item 13 INDEMNIFICATON – Per the request of our Legaldepartment, in the fourth line, prior to the word ‘costs’ please insert ‘reasonable’.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: No change.

42. Page 2 of 55 – Item 13 INDEMNIFICATION – Per the request of RiskManagement, in the seventh line, please delete the word ‘sole’, as in the eventthere is a claim, we would be responsible if found negligent and AC Transit wouldbe responsible if found negligent.

Answer: No change, however contract language may be subject to negotiationwith the successful bidder.

43. Page 2 of 55 – Item 14 TERMINATION AND TERMINATION FORCONVENIENCE – In the second line of the second paragraph, please insert ‘30days prior’ after the word ‘Contractor’.

Answer: Item 14 on page 2, 2nd paragraph “30 days prior” shall be insertedafter the word “Contractor”.

44. Page 4 of 55 – Item 26 ASSIGNMENT AND SUBCONTRACTING – Pleaseconfirm subcontracting of the tire service portion is permissible and would beagreeable to AC Transit.

Answer: Subject to approval by the District.

45. Page 4 of 55 – Item 26 ASSIGNMENT AND SUBCONTRACTING – Per therequest of our Legal department, at the end of the sentence, please delete theperiod and insert the words ‘which consent shall not unreasonably withheld’.

Answer: See question/answer #7.

46. Page 6 of 55 – Item 31.C INSURANCE. Deductible and/or Self-Insured Retention- Per the request of Risk Management, please delete this item in its entirety.

Answer: See question/answer #8.

47. Page 6 of 55 – Item 31.D1a OTHER INSURANCE PROVISIONS. GeneralLiability and Automotive Liability Policies – Per the request of Risk Management,in the second line, after the word ‘as’ please insert ‘Additional’ and capitalizeInsured.

Answer: Special Conditions section 31.D.1.a. on page 6, in the second line,“additional” is added after the word “as”.

48. Page 7 of 55 – Item 2 INSURANCE Workers’ Compensation and EmployersLiability – Per the request of Risk Management, please delete this sentence in itsentirety.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: No change.49. Page 7 of 55 – Item 5 INSURANCE Verification of Coverage – Per the request of

Risk Management, the 2nd line, please delete ‘and with original Endorsements’.

Answer: See question/answer #51 below.50. Page 7 of 55 – Item 5 INSURANCE Verification of Coverage – Per the request of

Risk Management, in the Page 2 of 4 AC Transit Clarifications fourth line, pleasedelete ‘Certifications and Endorsements’ and insert ‘Certificates’.

Answer: See question/answer #51 below.

51. Page 7 of 55 – Item 5 INSURANCE Verification of Coverage – Per the request ofRisk Management, beginning in the sixth line, please delete ‘The Districtreserves the right to require complete, certified copies of all required insurancepolicies at any time’. Goodyear does not provide copies of insurance policies,however, AC Transit may visit our corporate headquarters and view the policies.

Answer: Special Conditions section 31.D.5 is hereby deleted in its entirety andreplaced with the following:

“Contractor shall furnish the District with appropriate Certificates ofInsurance effecting coverage required. The Certificates and Endorsementsare to be signed by a person authorized by the insurer to bind coverage. TheCertificates are to be received and approved by the District prior to thecommencement of any work under the Agreement. The District reserves theright to review the complete, certified copies at any time at the Contractor’sfacility and expense.”

52. Page 9 of 55 – Item 37 INFRINGEMENT OF PATENTS – Per the request of ourLegal department, beginning in the fourth line, please delete ‘materials orequipment, or any part thereof’ and insert ‘tires supplied by Contractor’.

Answer: See question/answer #11.

53. Page 11 of 55 – Item 42 SINGLE BID – In the event a single bid is received, wewould welcome and assist with an analysis. Please confirm your understandingthat certain cost information is considered proprietary and not open to disclosure.

Answer: Contractor shall mark all information that is proprietary in nature.

54. Page 11 of 55 – Item 43A PAYMENT FOR TIRES- (Does not apply to Districtowned tires) – As this run-out language pertains to the current contract ACTransit is operating under, we request AC Transit exercise the thirty-six monthrun-out with their current supplier to avoid a costly buy-out invoice in the event ofa change in supplier.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: District intends to exercise the run-out clause.

55. Page 15 of 55 – Item 3 ACCESS TO RECORDS – Please confirm yourunderstanding that any access to records or Goodyear’s cost would be subject toour policy on confidentiality, as there are some items considered proprietary andnot subject to disclosure.

Answer: This is a FTA mandated provision and the District can not constrainany potential inspections by the federal government. However, for Districtinspection, bidders should designate information as proprietary.

56. Page 17 of 55 – Item 6A TERMINATION FOR CONVENIENCE – In the secondline, before the word ‘written’ please insert ‘30 days prior’.

Answer: Federal Clauses section 6.A on page 17, in the second line, “30 daysprior” is inserted before the word “written”.

57. Page 25 of 55 – Item 5 QUANTITIES - Please confirm our B305/85R22.5 MetroMiler Transit tire is approved as an equal to tire size 12R22.5. I have enclosedthis specification sheet in addition to the B305/70R22.5 and B315/80R22.5 foryour review.

Answer: In accordance with the Scope of Work statement on page 40 of IFB2005-931, the contractor shall comply with manufacturer’s specification and shallbe responsible for deciding which load and speed ranges are required forsustained, safe and reliable service.

58. Page 26 of 55 – Item 6.D SERVICE LOCATIONS – Please confirm the use of airwrenches for wheel changes only pertains to Divisions 1 & 2.

Answer: The use of air wrenches for wheel changes are required for alldivisions (D2, D3, D4, & D6). However, the restrictions for air wrench usageonly pertain to D2 Emeryville and D3 Richmond. See question/answer #17.

59. Page 26 of 55 – Item 7 RECORD KEEPING REQUIREMENTS – Goodyearrespectfully requests AC Transit provide examples or copies of the reports shownin Items 7A-7E and 7G so we can better understand the content and format ofthese record keeping requirements to assure compliance.

Answer: Samples have been provided on pages 27 & 28 of the IFB, and two (2)additional samples will be provided with this document.

60. Page 27 of 55 – Item 7G – RECORD KEEPING REQUIREMENTS – In thesecond line, please delete ‘pertaining to District owned tires’, as we will not bemaintaining records on District owned tires.

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

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Answer: No, it is the Districts intent for the service contractor or Lessor shallmaintain records on all tires operated on District vehicles.

61. Page 30 of 55 – Item 3A SERVICES TO BE PERFORMED BY CONTRACTOR– As Vendor must comply with AC Transit’s SOP’s, please provide copies of theSOP’s for torquing wheels and rims.

Answer: See Attachment “B” to IFB 2005-931 Addendum No. 2.62. Page 30 of 55 – Item 3A SERVICES TO BE PERFORMED BY CONTRACTOR

– Please confirm that in the event Goodyear is the successful bidder and weprovide regroovable tires that regrooving of our tires would continue during therun-out period, if exercised by AC Transit.

Answer: Owner of the tires would continue to re-groove during the run-outperiod at no additional cost.

63. Page 31 of 55 – Item 3C SERVICES TO BE PERFORMED BY CONTRACTOR– Please confirm your understanding that the updated 49CFR Parts 40 are ‘655’,which replaced Parts 653 and 654.

Answer: Confirmed.

64. Page 31 of 55 – Item 3F SERVICES TO BE PERFORMED BY CONTRACTOR –Please confirm the Contractor is only required to inspect and record alignmentsand not adjust.

Answer: Confirmed, see question/answer #23.

65. Page 31 of 55 – Item 3H SERVICES TO BE PERFORMED BY CONTRACTOR– Please confirm tires will be checked and documented monthly.

Answer: No, all tires will be checked and documented weekly.

66. Page 32 of 55 – Item 4A TIRES FOR NEW VEHICLES – Beginning in the thirdline, please delete ‘If such tires are leased, AC Transit will purchase the tiresprior to them being shipped to the bus manufacturer and then upon AC TransitCoach Acceptance at the Bus Manufacturer, the Lease contractor will thenpurchase the tires back and place the tires into the Lease program’, as leaseContractor will ship required tires directly to the bus manufacturer and will beincorporated into the lease contract and billed accordingly.

Answer: See question/answer #25.

67. Page 32 of 55 – Item 4A TIRES FOR NEW VEHICLES – In the eighth line, afterthe word ‘tire’ please insert ‘or different make/model of vehicle’.

Answer: See question/answer #25.

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68. Page 33 of 55 – Item 8A NEW TIRES (NOT APPLICABLE TO SCENARIO #3) –In the fifth line, please delete ‘Remanufactured and re-grooveable’ and insert‘Recapped and regrooved’.

Answer: Scope of Work section 8.A on page 33, in the fifth line ”recapped andregrooved” shall replace “remanufactured and regroovable”.

69 Page 34 of 55 – Item 9B RECAPPED TIRES – In the second line, please delete‘with siped treads’.

Answer: See question/answer #29.

70. Page 34 of 55 – Item 9B RECAPPED TIRES – In the second line, third sentence,before the word ‘Omni’ please insert ‘Metro Miler,’.

Answer: See question/answer #29.

71. Page 34 of 55 – Item 10 NO-VALUE TIRES - Attached for your review, a Letterof Agreement that in the event Goodyear is the successful bidder and AC Transitwishes to utilize un-cut scrap tires will require execution.

Answer: If Goodyear is the successful bidder, the District will negotiate anappropriate agreement.

72. Page 34 of 55 – Item 11 DISPOSAL/RECYCLE OF TIRES (NOT APPLICABLETO SCENARIO #3) – Please confirm that a new vendor will not be responsiblefor the disposal of the previous vendor’s tires. Also, please advise regarding thespecific quantity of District owned tires or casings that currently exist. Identifyingthe cost associated with this requirement is a critical element in the formulation ofany vendor’s proposal.

Answer: Successful bidder will not be responsible for disposal of currentcontractor tires. The current number of tires scrapped annually is approximately2,728.

73. Page 36 of 55 – Item 14C SERVICE PERSONNEL DUTIES – Goodyearrequests the deletion of the word ‘weekly’ and the insertion of the word ‘monthly’.

Answer: No change.

74. Page 37 of 55 – Item 15 TOOLS EQUIPMENT/RESPONSIBILITY – In the thirdsentence, please delete the word ‘monthly’ and insert ‘bi-annually’.

Answer: See question/answer #37.

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75. Page 44 of 55 – ADDITIONAL COST INFORMATION – In the first line, after theword ‘damaged’ please insert ‘sold and lost’.

Answer: First sentence of paragraph on page 44, “sold, or lost” is insertedafter the word “tire”.

76. Please confirm if this is an RFP (Negotiated Procurement) or an IFB (rates will bepublicly read aloud at opening).

Answer: This is an IFB and bids will be publicly read aloud.77. A. Please provide current averages on tires that have been removed from

service, as worn out, by size.

Answer: CURRENT AVERAGES OF TIRES REMOVED FROM SERVICES BY SIZE

305 70R 22.5 315 80R 22.5 12R 22.5608 EACH 226 EACH 977 EACH

B. Please provide current tire rates, by size, and current monthly servicebilling.

Answer: See question/answer #13.

78. Goodyear respectfully requests the addition of the thirty-six month Run-outlanguage that conforms with Federal Docket 1957, attached for your review.

Answer: If Goodyear is the successful bidder the District may consider thechange request.

79. Goodyear respectfully requests the addition of the following language: TITLE TOTIRES AND LIENS ON VEHICLES – Title to all tires and/or equipment furnishedshall remain in Vendor or its assignees and, upon purchase by Operator inaccordance with Contract No. 2005-931, shall continue to remain in Vendor untilVendor has received full payment of all sums owed by Operator under the termsof this Agreement. Operator will hold Vendor harmless against any claim onVendor’s tires made by any holder of a lien on any vehicles on which Operatoruses such tires. Operator will keep Vendor advised of such liens, giving Vendorany and all information, which Vendor may request.

Answer: The following shall be added as clause #9 to the TechnicalSpecification of IFB 2005-931:

“9. TITLE TO TIRES AND LIENS ON VEHICLES

Title to all tires and/or equipment furnished shall remain in Vendor or itsassignees and, upon purchase by District in accordance with Contract No.2005-931, shall continue to remain in Vendor until Vendor has received full

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payment of all sums owed by the District under the terms of thisagreement.”

80. Goodyear respectfully requests the addition of the following language:CONTINGENCIES – Contractor shall be excused from deliveries or delay indeliveries if such failure to deliver or delay shall be caused by war, acts ofterrorism, strikes, lockouts, fires, interruptions of transportation facilities,accidents, inability to obtain merchandise, shortage of energy source or rawmaterial, or other similar causes beyond Contractor’s control. This Agreement issubject to applicable restrictions imposed by any Federal agency or by any othergovernmental authority.

Answer: The following shall be added as clause #10 to the TechnicalSpecification of IFB 2005-931:

“10. CONTINGENCIES

Either party shall be excused from performing its obligations under thisAgreement during the time and to the extent that it is prevented fromperforming by an unforeseeable cause beyond its control, including but notlimited to: acts of war or terrorism, any incidence of fire, flood or strike;acts of God, commandeering of material, products, plants, or facilities bythe federal, state or local government; when satisfactory evidence of suchcause is presented to the other party, and provided further that suchnonperformance is unforeseeable, beyond the control and is not due to thefault of negligence of the party not performing. If these delays interferewith the District’s ability to provide safe bus service, the District retains theright to obtain tires needed to maintain service from other sources.”

81. MILEAGE REPORTS AND TIRE RECORDS – For vehicles covered under thisAgreement, Operator shall keep an accurate record of the total number of milesrun during the term and submit a report of such total mileage on each vehicleprior to the 10th of the month following the month the miles were run. Vehiclemileage shall be determined either by means of an instrument which willaccurately record mileage being run on each vehicle, or by multiplying thenumber of trips of each vehicle by the number of miles over the route it is drivenand adding all miscellaneous mileage that may be run to and from the route,such as in testing vehicles and instructing drivers.

If the latter method is used, Operator shall furnish Contractor a schedule of theestablished routes covered by its vehicles and shall advise Contractor of anychanges, additions or deletions in such routes. Contractor shall have access tosuch recording instruments and/or mileage records at all time.

Answer: See question/answer #39 (specifically the addition of new Scope ofWork clause 20.A.).

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82. POSSESSION AND CANCELLATION - Should Operator breach the terms of thisAgreement through non-payment, non-payment on total amount due attermination, impaired credit standing, assignment for the benefit of creditors,failure to report miles operated in accordance with Invitation For Bid Number2005-931, or erroneous reporting of miles run, or is placed in receivership oradjudicated bankrupt, then, under any of the above conditions, Contractor shallhave the right, at its option, without prejudice to any other rights and remedies, tostop shipping tires, take possession of inventory whether or not the inventory isapplied on vehicles without being deemed guilty of trespass, and bill Operator forall costs of removing tires and/or terminate this Agreement in accordance withInvitation For Bid Number 2005-931.

Should Contractor exercise any of these options, Contractor shall be relievedfrom any further obligation under this Agreement; however, this shall not relieveOperator from its obligation to pay for the use of the tires furnished or from itsliability for all damages caused by such breach. Operator specifically agrees tobe responsible for and pay any and all attorney fees, court costs and otherexpenses incurred by Contractor in collecting amounts owed by Operator orenforcing any other right under this Agreement. Failure on the part of Contractorto exercise any or all of the above options upon Operator’s default shall notconstitute a waiver by Contractor of its right to exercise any/all of these optionsupon any subsequent default.

Answer: No change.

83. SALE OR DISPOSITION OF VEHICLES – If Operator sells or in any mannerdisposes of any vehicles which shall have been equipped with tires suppliedunder this Agreement, or if Operator places tires in storage or renders a vehicleinactive through discontinuance of its business or discontinuance of the use ofany such tires or vehicle for a period exceeding ninety (90) days, Contractor shallhave the option to: (a) require Operator to remove tires from inactive vehicles orspare stock inventory and reapply on active wheel positions, or (b) requireOperator to purchase the unused mileage in each such tire, including sparesand/or obsolete spare stock, at prices to be computed as set forth in InvitationFor Bid Number 2005-931, plus any applicable taxes.

Answer: See question/answer #39 (specifically the additional clause in theScope of Work 19.H.).

84. Page 2. 12. Bid Submission. Confirm bidder’s rates on Bid Form for all threescenarios will be publicly read aloud.

Answer: Confirmed.

85. Page 2. 3.3. Approved Equal. Confirm strikethrough of text is an error. If not anerror, AC is limiting solicitation to a sole source bid since Technical Specifications

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state tires must be “City Transport Radial” which is the model design name ofFirestone tires only.

Answer: The strikethrough was not an error, see question/answer #20. 86. Page 2. 7. DELIVERIES. Being a cost issue, confirm industry standard for

delivery of tires within thirty (30) days from receipt of order continues to beacceptable to the District.

Answer: Confirmed.87. Page 2. 13. Indemnification. Confirm District will notify the Contractor in writing

immediately of the institution of any suit or proceeding and permit the Contractor,through its Counsel, to defend same and gives the Contractor all neededinformation, assistance and authority to enable the Contractor to do so.

Answer: Confirmed.

88. Page 2. 14. Termination. Paragraph 1. Please omit “and all of contractor’s rightshereunder ended.”

Answer: No change.

89. Page 2. 14. Termination and Termination for Convenience. Paragraph 3.Please add: “Should Contractor consider the District to be in default of itsobligations, the Contractor shall issue a written notice of default providing theDistrict an opportunity to cure such default within ten (10) days, provided that thecure is possible and feasible. Should the District breach the terms of thisAgreement through non-payment, nonpayment on total amount due attermination, impaired credit standing, assignment for the benefit of creditors,failure to report miles operated in accordance with bid specifications or erroneousreporting of miles run, fail to use or service tires furnished hereunder inaccordance with Contractor’s recommendations, or be placed in receivership oradjudicated bankrupt, Contractor shall have the right, at its option, withoutprejudice to any other rights and remedies, to stop shipping tire, take possessionof inventory whether or not the inventory is applied on vehicles without beingdeemed guilty of trespass, and bill the District for all costs of removing tiresand/or for terminating this Agreement. Should Contractor exercise any of theoptions, Contractor shall be relieved from any further obligation underAgreement; however, this shall not relieve the District from its obligation to payfor the use of the tires furnished or from its liability for all damages caused bysuch breach. The District specifically agrees to be responsible for any paymentfor the value of the inventory, as applicable, and all attorney fees, court costs andother expenses incurred by Contractor in collection amounts owed by the Districtin enforcing any other right under this Agreement. Failure on the part ofContractor to exercise any or all of the above options upon the District’s defaultshall not constitute a waiver by Contractor of its right to exercise any/all of theseoptions upon any subsequent default.”

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Answer: No change.

90. Page 2. 14. Termination and Termination for Convenience. Paragraph 4.Being a cost issue since the District would have possession of contractor’sproperty and because the Federal Acquisition Regulations allows for reasonableclose-out costs, please add: “Within reasonable time following termination,Contractor should submit close-out costs and Contractor and District shall agreeupon a mutually satisfactory arrangement and schedule for payment to theContractor for remaining value of leased property. The District agrees to protectand preserve the Contractor’s property. Failure to agree on an amount will beresolved under the Rights and Remedies clause.”

Answer: The federal clause is controlling. The District may be willing to discussa dispute resolution procedure to be included in resulting contract, including, butnot limited to, mediation or arbitration with the successful low bidder.

91. Page 4. 26. ASSIGNMENT. Being a cost issue, please amend language to read:“Neither party shall assign, transfer, . . .written consent of both parties, whichshall not be unreasonably withheld.”

Answer: See question/answer #7.

92. Page 5. 30. RIGHTS AND REMEDIES OF THE DISTRICT. Language isambiguous. Please add: “Except as otherwise provided in the Contract, anydispute concerning a question of fact arising under the Contract which is notdisposed of by agreement shall be decided by the District Purchasing Managerwho shall reduce his/her decision to writing and mail or otherwise furnish a copythereof to the Contractor. The decision of the Purchasing Manager shall be final,unless, on or before the 30th day from the date of receipt of such copy, theContractor furnishes a written appeal addressed to the Authority. In connectionwith any appeal proceeding under this clause, the Contractor shall be afforded anopportunity to be heard and to offer evidence in support of its appeal. Thedecision of the District its duly authorized representative on such appeal shall befinal and conclusive as to questions of fact unless determined by a court ofcompetent jurisdiction to have been fraudulent, capricious, arbitrary, or so grosslyerroneous as necessarily to imply bad faith, or not supported by substantialevidence. The decision of the District or its duly authorized representative shallnot be final and conclusive as to questions of law. Pending final decision of adispute, the Contractor shall proceed diligently with the performance of theContract.”

Answer: The federal clause is controlling, see question/answer #90.

93. Page 5-7. 31. INSURANCE. Page 5. First paragraph. Last sentence. Being acost issue, confirm additional insurance cost imposed by the District aftercontract award will be mutually agreed to otherwise the contract will beterminated for convenience.

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Answer: Confirmed.

94. Page 5. Subparagraph A. Confirm bidder may provide evidence of insurance onAcord Certificates.

Answer: Confirmed.

95. Page 5. Subparagraph B. 1. As requested in 2004 when AC received no bidsfor this contract -- in order to bid, please amend limit to be the same as thecurrent contract: “General Liability - $5,000,000 combined single limit peroccurrence for bodily injury, personal injury and property damage. …”

Answer: Special Conditions section 31.B.1 - $5,000,000.00 replaces therequirement of $10,000,000.00.

96. Page 5-7. Subparagraph B, C and D.3.b. Reference is made to "peroccurrence." Bidder is self-insured and provides excess coverage based on“claims made." Please verify that maintaining this type of coverage will continueto be acceptable.

Answer: Confirmed.

97. Page 6. Subparagraph C. please omit all language following first sentence andreview attached certificates for acceptance under a new contract.

Answer: See question/answer #8.

98. Page 7. Subparagraph 5. Amend sentence to read: “The District reserves theright to review complete, certified copies of all required insurance policies at anytime at the Contractor’s facility and expense, if necessary.”

Answer: See question/answer #51.

99. Page 11. 42. Single Bid and Page 15. 3. Access to Records. Confirm proprietaryinformation and cost components will not be subject to disclosure, and biddermay choose to withdraw its bid without penalty, rather than disclose proprietarycost information

Answer: It is the obligation of the bidder to identify that information deemedproprietary. To the extent provided by law the District will not disclose proprietaryinformation.

100. Page 11. 43. A. PAYMENT FOR TIRES. Paragraph 1. Replace text with actual“current contract" language attached (Addendum Number 1 dated November 18,1999 from Contract Bid 99-660).

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Answer: The entire first paragraph of Special Conditions section 43.A on page11 is hereby deleted in its entirety and replaced with the following:

“Upon termination by full performance and expiration of this agreement,the successful bidder may, at its sole election: (i) require the District toreturn to the successful bidder all tires, and other products leasedhereunder to the District, or; (ii) require the District to pay for all originaltread and retread tires on buses, in the District’s garage in process ofrepair or re-treading, in transit, or in stock, that have been assigned by thesuccessful bidder to the District’s fleet. Payment for original and re-treaded tires shall be on the basis of the unused mileage remaining in suchtires by prorating the mileage remaining multiplied by the base mileageaverage times the applicable billing rate per tire mile in effect at saidtermination date. The base mileage average for each original tread tire andeach re-treaded tire shall be obtained on each such classification of tiresworn out in the service of the District during the preceding year.”

101. Page 13. 44. BUYOUT/RUNOUT. Line 3. After “Title to such tires shall betransferred to the District” Insert “when paid in full. The District will acquire eachsuch used tire as is, and Contractor makes no warranties as to the condition orfitness for continued use of such tires.”

Answer: Section 44 on pages 13-14 is hereby deleted in its entirety andreplaced with the following:

“Upon termination by full performance and expiration of this agreement, theDistrict, at its discretion, may elect to either Buyout or Runout the remaining treadlife for all original tread and retread tires on buses, in the District’s garage inprocess of repair or re-treading, in transit or in stock, that have been assigned tothe District’s fleet at least thirty (30) days prior to contract expiration. In the eventthe District elects a Buyout, payment for original and re-treaded tires shall be onthe basis of the unused mileage remaining on such tires multiplied by theapplicable billing rate per tire in effect at the time of contract expiration. Title tosuch tires shall be transferred to the District when paid in full. The District willacquire each used tire as is, and contractor makes no warranties as to thecondition or fitness for continued use of such tires. In the event the Districtelects a Runout, the Runout period will not exceed thirty-six (36) months. Duringthe Runout period, the District shall, to the extent practical, continuously usesuch tires on its highest mileage runs until they are rendered unfit for service.The rental rate shall be rate(s) in effect immediately preceding theexpiration date. No additional tires, service, supplies or equipment are tobe furnished by the contractor during such extension, unless requested bythe District and agreed to by the contractor. At the expiration of said period,the District shall pay for remaining original tread and retread tires in the mannerdescribed above. During the Runout period, tires will remain the property of thecontractor and be disposed of by the contractor. Useful life used to determineBuyout or Runout costs shall be obtained from the contractor’s bid sheet.”

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102: Page 14. FEDERAL CLAUSES. Confirm throughout specification Contract No.2004-891 should be 2005-931.Answer: Confirmed.

103. Page 15. 4. Federal Changes. Please add: ”If laws, changes in vehicles,governmental regulations or other causes beyond Contractor’s reasonablecontrol, including additions or deletions made by District require any change insuch materials, performance or methods which reduce the mileage availablefrom the tires to be furnished hereunder or which increase Contractor’s costs,District agrees that the billing rate shall be adjusted by mutual agreement.”

Answer: No change.

104. Page 16. 6. A. Termination for Convenience. Confirm District would notterminate “tire” part of contract and require “service” only.

Answer: Under scenario 1 bifurcation of the tire and service of contract is notcontemplated.

Please add to end of paragraph: “If this contract is terminated while the Districthas possession of Contractor’s goods, the District shall upon direction ofContractor, protect and preserve the goods until payment is made in full to theContractor.”

Answer: No change, however, District will in good faith make best efforts tosatisfy request.

105. Page 16. 6. B. Termination for Default. Paragraph 1. Replace last sentenceto read: “Within reasonable time following termination, Contractor should submitclose-out costs and Contractor and District shall agree upon a mutuallysatisfactory arrangement and schedule for payment to the Contractor forremaining value of leased property. The District agrees to protect and preservethe Contractor’s property. Failure to agree on an amount will be resolved underthe Dispute clause.”

Answer: No change.

106. Page 17. 6. C. OPPORTUNITY TO CURE. Paragraph 2. Please omit: “…withoutany further obligation to Contractor.”

Answer: No change.

107. Page 17. 6. E. TERMINATION FOR DEFAULT (SUPPLIES AND SERVICE).Paragraph 1. Please replace last sentence to read: “Within reasonable timefollowing termination, Contractor should submit close-out costs and Contractorand District shall agree upon a mutually satisfactory arrangement and schedule

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for payment to the Contractor for remaining value of leased property. The Districtagrees to protect and preserve the Contractor’s property. Failure to agree on anamount will be resolved under the Dispute clause.” Answer: No change.

108. Page 25. 5. E. QUANTITIES. Being a cost issue if District increases its fleet size,to include buses operated for other transit agencies in the Bay Area, amendlanguage to read: "Adjustment to the monthly service charge for addition ordeletion of service locations, service requirements, or personnel required, will besubject to adjustment in manpower, equipment, supplies and other sundryexpenses (determined on a mutually agreeable basis)."

Answer: Technical Specifications section 5.E. on page 25 is hereby deleted inits entirety and replaced with the following:

“The District reserves the right to change the number of vehicles to be servicedand to change number and location of service facilities. The District furtherreserves the right to add to this contract, buses operated for other transitagencies in the greater San Francisco/Oakland Bay Area. Adjustments to themonthly service charge for addition or deletion of service locations, servicerequirements, or personnel required, will be subject to adjustment inmanpower, equipment, and other sundry expenses (determined on a mutuallyagreeable basis).”

109. Page 26. 7.D.5. RECORD KEEPING REQUIREMENTS. Omit requirement.

Answer: No change.

110. Being inventory control and cost issues, please add the following:

VEHICLE AND MILEAGE REPORTING REQUIREMENTS: The District willfurnish the contractor by the 10th of each month, a record of the previous month’sbeginning and end hubometer readings for each bus mile operated by each of itsvehicles under the contract to include (a) active vehicles whether miles areoperated for the month; (b) new vehicles put into service during the month, withthe start service date; and (c) old vehicles removed from service during themonth, with the date of removal from service. The District will maintain anaccurate record of mileage run by the vehicles and will keep such recordsavailable for inspection by Contractor at all times. Payments shall be made uponthe presentation of proper invoices.

Answer: See question/answer #39 (specifically the addition of new Scope ofWork clause 20.A.)

111. Being inventory control and cost issues, please add the following:

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LEASED VEHICLES: The District will not transfer, sublet, or lend the tiresfurnished by Contractor, or permit the tires to be used by anyone other than theDistrict, without the prior written consent of the Contractor. If leased vehicles aresupplied with the Contractor's tires, monthly mileage will be reported for billing.Prior to returning any leased vehicles, the Contractor's tires will be removed andreturned to spare stock. Should the District terminate or otherwise lose possessionof any of the leased vehicles equipped with Contractor's tires, the District shall payfor each tire (including spares) in accordance with the Contract.”

Answer: The following shall be added as clause #11 to the TechnicalSpecification of IFB 2005-931:

“11. LEASED VEHICLES

If leased vehicles are supplied with the contractor’s tires, monthly mileagewill be reported for billing. Should the District terminate or otherwise losepossession of any of the leased vehicles equipped with contractor’s tires,the District shall pay for each tire (including spares) in accordance with thecontract.”

112. Being inventory control and cost issues, please add the following:

DISPOSTIION OF TIRES: If the District permanently disposes of all vehicleswhich use a particular size of tire, and which are not used on any remainingvehicles in the fleet, the Contractor shall removal all new unused original andretreads from the District’s facility and return them to Contractor’s warehouse atno cost. The District will give the Contractor advance notice of disposition ofvehicles so Contractor has an opportunity to minimize spare stock. TheContractor and the District shall negotiate a mutually agreeable settlement for theremoval or sale of the partially run tires remaining in spare stock upontermination of the tire size requirement.

Answer: The following shall be added as clause #12 to the TechnicalSpecification of IFB 2005-931:

“12. “DISPOSTIION OF TIRES

If the District permanently disposes of all vehicles which use a particularsize of tire, and which are not used on any remaining vehicles in the fleet,the Contractor shall removal all new unused original and retreads from theDistrict’s facility and return them to Contractor’s warehouse at no cost.The District will give the Contractor advance notice of disposition ofvehicles so Contractor has an opportunity to minimize spare stock. TheContractor and the District shall negotiate a mutually agreeable settlementfor the removal or sale of the partially run tires remaining in spare stockupon termination of the tire size requirement.”.

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113. Being inventory control and cost issues, please add the following:

CONTINGENCIES: Either party shall be excused from performing its obligationsunder this Agreement during the time and to the extent that it is prevented fromperforming by an unforeseeable cause beyond its control, including but notlimited to: acts of war or terrorism, any incidence of fire, flood or strike; acts ofGod, commandeering of material, products, plants, or facilities by the federal,state or local government; shortage of energy source or raw materials; or amaterial act of omission by the other party; when satisfactory evidence of suchcause is presented to the other party, and provided further that suchnonperformance is unforeseeable, beyond the control and is not due to the faultof negligence of the party not performing. If these delays interfere with theDistrict's ability to provide safe bus service, the District retains the right to obtaintires needed to maintain service from other sources.

Answer: See question/answer #80.

114. Page 30-31. 3. SERVICES TO BE PERFORMED BY CONTRACTOR:Paragraph A. Being a potential cost and staffing issue, please provide copy ofAC Transit’s current SOP for wheel torquing.

Answer: See Attachment “B” to IFB 2005-931 Addendum No. 2.

115. Paragraph B. Last sentence. Confirm “scheduling, operation” includes transfer ofbuses between garages and off the property for any reason.

Answer: Contractor will not be required to transfer buses between Districtgarages and off property locations.

116. Paragraph C. Confirm 653 & 654 should be replaced with 655.

Answer: Confirmed.

117. Paragraph C. Being a cost issue, please provide the bill back cost for contractor’semployees to be drug and/or alcohol tested by District.

Answer: There is no bill back to the contractor, the District pays for all testing.

118. Paragraph E. Being a cost issue, please confirm Contractor will not be requiredto provide more than one (1) spare for every three (3) coaches.

Answer: See question/answer #24.

119. Paragraph F. Because District’s union personnel are maintaining buses, amendto read: “Contractor shall inspect and record toe-in alignment wear whenreplacing or rotating front tires on transit buses…”

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Answer: See question/answer #23.

120. Paragraph H. Insert “visible” prior to “defects.”

Answer: No Change. This question references the wrong paragraph, correctparagraph in question should be ’K’ on page 32.

121. Page 32. 4.A. TIRES FOR NEW VEHICLES. In order to bid, please omit secondsentence reading: “If such tires are leased, AC Transit will purchase the tiresprior to them being shipped to the bus manufacturer and then upon AC TransitCoach Acceptance at the Bus Manufacturer, the Lease contractor will thenpurchase the tires back and place the tires into the Lease program.”

Answer: See question/answer #25.

122. Page 32. 4.E. TIRES FOR NEW VEHICLES. Being a cost issue, please add: “Ifany lease buses equipped with tires furnished by the supplier shall be driven overland instead of being shipped, District pay the Contractor the following month foruse of the tires.”

Answer: See question/answer #25.

123. Page 34. 10. NO-VALUE TIRES. Paragraph 1, Last sentence. Being a costissue and to control tire disposition reporting for California Waste and Used TireProgram, amend to read: “No-Value tires shall be furnished to the District at nocost, if available from District’s buses.”

Answer: Scope of Work section 10 on page 34, “if available from District’sbuses” shall be added after the work “cost” at the end of the first paragraph.

124. Page 35. 11. C. DISPOSAL/RECYCLE OF TIRES. Being a cost issue, confirmthe District will continue to accept the disposal/recycle services provided byexisting firms: GCR Truck Tire and Tire Distribution Systems.

Answer: The District accepts the mentioned firms (GCR and TDS) if these firmsbecome the owner of all the tires (Generator).

125. Page 35. 14. DAMAGED/LOSS TIRES. Being a cost issue to suppliers forvaluing a tire under various scenarios stated below, please add the followingindustry standard: “The unused mileage for original and retread tires shall bedetermined by multiplying the number of 32nds of an inch of useable rubberremaining on each tire by the applicable cost per 32nd shown on Page 44,ADDITIONAL COST INFORMATION. When a tire is not available for inspectionto apply the above calculation(s) whether lost, stolen or otherwise missing, ordestroyed by fire, or involved in an accident, reimbursement shall not be inexcess of fifty percent (50%) of the current value of a similar tire, unless

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Contractor can provide an auditable accounting of the tire’s accurate mileage justprior to the loss.

Answer: See question/answer #33. 126. Page 36. 14.I. SERVICE PERSONNEL DUTIES. Please insert “visible” prior to

“defects.”

Answer: No change.

127. Page 36. 16. SERVICE LOCATIONS & COVERAGE REQUIREMENTS. Confirmunderstanding that coverage six (6) days per week does not include Emeryvilleand Richmond.

Answer: The requirement for coverage for six (6) days per week DOES includeEmeryville and Richmond.

128. TABLE 1. Confirm the 30 foot Van Hool coach GAWR FRT of 15,650 is correctweight.

Answer: The information provided on Table 1 for the 30 VanHool GAWR FRT iscorrect.

129. Table 2. Being a cost issue, please confirm last column “Estimated Annual TireMileage for Five Years” includes monthly fleet miles operated by buses, whichare not revenue miles. If non-revenue miles are not included, please provide acolumn with this information for each category.

Answer: Mileage information does include revenue miles.

130. Page 41 & 42. BID FORM. Item 2. Amend column titled “Average Lease TireRate…” to read “Average Monthly Service Cost.”

Answer: The BID FORM on pages 41 & 42 (Item 2 ONLY) – “Average MonthlyService Cost” replaces ‘Average Lease Tire Rate’.

131. Page 41. & 42. BID FORM. Item 3. & Page 43. Item 2. Because District reservesthe right to purchase or lease tires and there are three (3) tire sizes in thecontract to be recapped, please expand section adding a line for each size andannual number of tires to be recapped.

Answer:

ANNUAL RECAPPED TIRES BY SIZE12R 22.5 305 70R 22.5 315 80R 22.5977Each 608 Each 226 Each

ATACHMENT A TO IFB 2005-931 ADDENDUM NO. 2Questions and Answers

Page 29 of 29

132. Page 44. Paragraph 1. Table 1. Replace original table with the following inconnection with Request above for Page 35. 14. DAMAGED/LOSS TIRES,

1. CONTRACT FIXED COST PER 32ND OF USEABLE RUBBER

Tire Size CategoryOriginalCost/32ND

Useable32NDS

RetreadCost/32ND

Useable32NDS

ABCDE

Example: 13/32nds useable tread remaining x $10.00/32nds = $130.00

Answer: No change

Brake Drum, Wheel and Lug Nut Installation

AC TRANSIT MAINTENANCE DEPARTMENTSTANDARD OPERATING PROCEDURES

POLICY: It is the policy of the Maintenance Department to define and establish procedures and guidelines forall maintenance tasks.

PURPOSE: This SOP supercedes any other bulletins or other information concerning Brake Drum, Wheel andLug nuts Installation:

PROCEDURE:

Loose lug nuts breakdown into two categories:

1. Lugs Improperly torqued at installation.

• Too tight• Too loose

2. Properly torqued at installation, later lost torque

There are several causes including (and not necessarily limited too)

• Excessive paint thickness on wheel,• Foreign material between brake drum and hub or brake and wheel or between dual rear wheels• Worn lug nut holes in wheels• Incorrect wheel studs and or nuts• Worn or damaged wheel lug nuts

Visual Inspection of Wheel Lugs

Wheel lugs should be checked at major, minor and safety inspections and any time the coach is in the shop.Whenever you pass a coach, take a quick look.

Lugs should be examined for the following symptoms:

1. Rust streaks around lug nut.2. Squeaking (scrunch-scrunch) sound coming from wheels at low speeds.3. Misalign yellow paint marks.

PROCEDURE NUMBER: MAINTSOP-004 DATE:

MANAGER APPROVAL: PAGE: 1 OF 4

Brake Drum, Wheel and Lug Nut Installation

AC TRANSIT MAINTENANCE DEPARTMENTSTANDARD OPERATING PROCEDURES

PROCEDURE CONTINUED:

4. Lugs that are not making full contact with wheel.5. Missing lugs:a) One missing lug may be replaced with a new lug.b) More than one missing lug nut and/or stud must be replaced with all new studs and nuts

Procedure for Brake Drum, Wheel and Lug Nut Installation: AC Transit Responsibility

1. Check hub face for debris, burrs, and protrusions.2. Make sure that wheel studs are in good condition and fully seated in hub.3. Check that the contact area of the brake drum is also clean and burr free.4. Install brake drum and make sure drum is fully seated against hub.5. If drum has been removed, do not reinstall drum retention screws.6. Check that wheel – drum contact area is clean and that lugholes in wheels are in good condition and

that wheel is free of debris.7. With aluminum wheels, install gasket on brake drum face8. Install inner wheel onto wheel studs.9. Hand install and tighten at least four inner wheel nuts completely into wheel nut holes.10. Start the rest of the inner nuts by hand11. Partially tighten all inner nuts with half inch drive air wrench, moving from nut to nut in a cross

pattern.12. Torque all inner wheel nuts with the torque wrench by hand to 500 Ft. Lbs.13. Rotate wheel assembly to check for wheel runout.14. Check faces of both inner and outer wheel’s mating surfaces.15. Install gasket16. Install outer wheel onto inner cap nuts.17. Partially tighten all outer nuts with half inch drive air wrench, from nut to nut, using cross pattern.18. Torque all outer wheel nuts with the torque wrench by hand to 500 Ft. Lbs.19. Fill out a defect card with indication to re-torque20. Place coach in designated area for the tire shop. Note: Coach must not leave the yard until

inspected by the Tire Shop21. Make sure brakes are adjusted before sending the coach to the tire shop. Please see TAC bulletin

on Brake Adjustments. Note: If the coach has had a brake job, Road Test.

PROCEDURE NUMBER: MAINTSOP-004 PAGE: 2 OF 4

Brake Drum, Wheel and Lug Nut Installation

AC TRANSIT MAINTENANCE DEPARTMENTSTANDARD OPERATING PROCEDURES

PROCEDURE CONTINUED:

TIRE SHOP RESPONSIBILITY

1. Remove the outer and inner wheel and inspect.2. Inspect brake drum and make sure drum is fully seated against hub.

3. Partially tighten all inner nuts with half inch drive air wrench, moving from nut to nut in a crosspattern

4. Torque all inner wheel nuts with the torque wrench by hand to 500 Ft. Lbs.5. Rotate wheel assembly to check for wheel runout6. Check faces of both inner and outer wheel’s mating surfaces7. Install gasket8. Install outer wheel onto inner cap nuts9. Partially tighten all outer nuts with half inch drive air wrench, from nut to nut, using cross pattern.10. Torque all outer wheel nuts with the torque wrench by hand to 500 Ft. Lbs.11. Mark outer nut and inner nut with marking paint applying paint to juncture of nut and stud or cap nut.FOR FRONT APPLICATIONS, DISREGARD INNER WHEEL PORTION OF INSTRUCTIONS.

Send the Defect Card back to the shop

AC TRANSIT RESPONSIBILITY

If a brake job has been done on the coach:

1. Road Test the coach before returning coach to full run status2. Recheck the brake adjustment

• Used wheel lug nuts must be replaced every time they are removed, use new nuts every time oldappearing nuts are found.

• Used marking paint every time wheel lugs are torqued.

PROCEDURE NUMBER: MAINTSOP-004 PAGE : 3 OF 4

Brake Drum, Wheel and Lug Nut Installation

AC TRANSIT MAINTENANCE DEPARTMENTSTANDARD OPERATING PROCEDURES

PROCEDURE CONTINUED:

• If broken studs in front wheel positions are found, replace ALL front studs, every time. In rear positionsit is permissible to replace ONE broken stud, if more than one rear wheel stud is broken, ALL MUST BEREPLACED.

Following these procedures should eliminate any wheel lug problem; having the painted markings will helpus recognize loose lugs before they become lost wheels.

Remember to look at lugs at every opportunity to make sure that all are tight.

PROCEDURE NUMBER: MAINTSOP-004 PAGE: 4 OF 4

AC TRANSIT INVITATION FOR BIDSPURCHASING DEPARTMENT NO. 2005-931

LEASE AND SERVICE OF BUS TIRESFOR THE TERM OF JANUARY 1, 2006 THROUGH December 31, 2008

REVISED BID FORM (SCENARIO #1)Actual Tire Rate Per Mile

ITEM 1Description

HistoricalUsage Per

YearYear 1(Baseperiod)

Year 2(Baseperiod)

Year 3(Base

Period)

Year 4(Option I)

Year 5(Option 2)

AverageLease Tire

Rate (Sum ofYears 1

through 5Divided by 5)

EstimatedTire Miles forFive Years

ProjectedTire LeaseCosts for

Five Years12Rx22.5

10,986,195 X 329,585,850 =12Rx22.5(Articulated)

248,673 X 12,433,650=

315/80Rx22.52,701,039 X 108,041,560 =

305/70Rx22.5Load Range H 8,088,671 X 242,660,130 =305/70Rx22.5Load Range J(Articulated) 2,046,266 X 81,850,640 =225/75rx16 67,045 X 2,011,350 =Annual mileageper Tire 24,137,890

TOTALITEM 1

TOTAL MONTHLY SERVICE COSTS FOR FIVE YEARS

Service Cost per MonthITEM 2 Description Year 1

(baseperiod)

Year 2(base

period)

Year 3(base

period)

Year 4(option 1)

Year 5(option 2)

AverageMonthly

Service Cost(Sum of Year1 through 5

Divided by 5)Times 60Months

TOTALITEM 2

Projected ServiceCosts for Five

Years

Monthly Service CostX 60 Month =

PROJECTED GRAND TOTAL BID (SUM OF ITEMS 1 AND 2)

BIDDER MUST COMPLETE THE UNIT PRICE AND TOTAL ITEM PRICE COLUMNS FOR EACH BID ITEM

AC TRANSIT INVITATION FOR BIDSPURCHASING DEPARTMENT NO. 2005-931

LEASE AND SERVICE OF BUS TIRESFOR THE TERM OF JANUARY 1, 2006 THROUGH December 31, 2008

REVISED BID FORM (SCENARIO #2)Actual Tire Rate Per Mile

ITEM 1Description

HistoricalUsage Per

YearYear 1 (base

period)

Year 2(base

period)

Year 3 (baseperiod)

Year 4 (option1)

Year 5(option 2)

AverageLease Tire

Rate (Sum ofYears 1

through 5Divided by 5)

Estimated TireMiles for Five

Years

Projected TireLease Costs

for Five Years12Rx22.5

10,986,195 X 329,585,850 =12Rx22.5(Articulated) 248,673 X 12,433,650315/80Rx22.5 2,701,039 X 108,041,560 =305/70Rx22.5Load Range H 8,088,671 X 242,660,130 =225/75rx16 67,045 2,011,350Annual mileageper Tire 22,091,623 Total ITEM 1 $

PROJECTED MONTHLY SERVICE COST FOR FIVE YEARS$

Service Cost per MonthITEM 2

Description Year 1(base

period)

Year 2(base

period)

Year 3 (baseperiod)

Year 4 (option1)

Year 5(option 2)

AverageMonthly

Service Costs(Sum of Year1 through 5

Divided by 5)Times 60Months

TOTAL ITEM2 Projected

Service Costs forFive Years

MonthlyService Cost X 60 Month

=$

PROJECTED RECAPPING COSTS FOR FIVE YEARS (applicable to District owned Tires ONLY)ITEM 3 Description

Year 1 (baseperiod)

Year 2 (baseperiod)

Year 3 (baseperiod)

Year 4 (option1)

Year 5 (option2) Total projected costs for recapping

TOTAL ITEM3

Recap charge per tire peryear

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______ = $PROJECTED GRAND TOTAL BID (SUM OF ITEMS 1 AND 2 AND 3): $

BIDDER MUST COMPLETE THE UNIT PRICE AND TOTAL ITEM PRICE COLUMNS FOR EACH BID ITEM

AC TRANSIT INVITATION FOR BIDSPURCHASING DEPARTMENT NO. 2005-931

LEASE AND SERVICE OF BUS TIRESFOR THE TERM OF JANUARY 1, 2006 THROUGH December 31, 2008

REVISED BID FORM (SCENARIO #2)

SERVICE ONLY

Service Cost per MonthITEM 1

Description Year 1(base

period)

Year 2(base

period)

Year 3(base

period)

Year 4(option 1)

Year 5(option 2)

AverageMonthly

Service Costs(Sum of Year1 through 5

Divided by 5)Times 60Months

ITEM 1 TOTALProjected Service

Costs for Five YearsMonthlyService Cost X 60 Month =

PROJECTED RECAPPING COSTS FOR FIVE YEARS (applicable to District owned Tires ONLYITEM 2 Description Year 1 (base

period)Year 2 (base

period)Year 3 (base

period)Year 4 (option

1)Year 5 (option

2) Total projected costsfor recapping

TOTAL ITEM 2

Recap charge per tire peryear

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______

1811 tires x

$______ =

$

PROJECTED GRAND TOTAL BID (SUM OF ITEMS 1 AND 2): $

BIDDER MUST COMPLETE THE UNIT PRICE AND TOTAL ITEM PRICE COLUMNS FOR EACH BID ITEM