REQUEST FOR PROPOSAL PRE-SUBMITTAL MEETING

MARCH 25, 202010:00 A.M.

FOR A GROUND LEASE EQUINE RESIDUALS PROCESSING/RECYCLING FACILITY (“PROJECT”)

ON CITY PROPERTY LOCATED WITHIN THE WESTWORLD EQUESTRIAN CENTER AND SPECIAL

EVENTS FACILITY

General Overview of The Project• The City is seeking Proposals from qualified firms to

design and construct a facility (the “Project”) for the processing and recycling of equine residuals supporting equine activities and events at WestWorld and elsewhere in Maricopa County.

• Accomplished through a Ground Lease on City property at WestWorld.

• The Facility Site is expected to be an approximately 4-acre portion of a City owned 17.65-acre parcel.

Project Area Overview Location Map

GENERAL CONCEPTUAL LAYOUT OF SITE AREA WITH ABUTTING USEDo Not Block McDowell Mtn entrance:

ABUTTING USE

CONCEPTUAL FACILITY SCHEMATIC

*NOTE: THIS CONCEPTUAL PLAN DEMONSTRATES THE GENERAL PLACEMENT OF A FACILTIY IN RESPECT TO ZONING SETBACKS, CITY SPACE NEEDS AND CONSIDERATION OF THE ABUTTING USE.

OVERIDING CITY GOALS• Proposer Executes Ground Lease with City.

• Design, construct, outfit, operate, maintain, and repair of a quality environmentally sensitive equine residuals processing/recycling facility.

• Integration with and serving WestWorld equine activities/events and regional area equine users.

• Sensitive to other adjacent uses, and compatible with WestWorldand nearby residential neighborhoods.

• Turn-key approach.

RFP Timeline (1 of 2)

• March 13 Request Issued

• March 25 Mandatory CONFERENCE-Style Pre-Proposal Meeting at 10am

• April 3 Deadline for Proposer Written Suggestions/Questions about RFP – DUE by 10am

• April 14 Written Responses to Suggestions/Questions Posted on City Web Site as an Addendum

• April 30 Deadline for Proposal Submittal - DUE by 10 A.M.

RFP Timeline (2 of 2)

• May 1 City opens Proposals

• May 4 Period begins for Evaluation Committee to meet & make recommendation (may conduct interviews)

• June 2 Successful Proposer executes finalized Ground Lease (tentative - 2 weeks before City Council Action)

• June 16 Action by City Council (tentative)

Regulatory StatusPotential Adjustments Required to Allow the Proposed

Equine Residuals Processing/Recycling Facility

• The City will review Proposals submitted to determine any regulatory adjustments for the proposed use. If adjustments are required, City staff will initiate and pursue the approval process.

• Proposals need to address compatibility with nearby residential neighborhoods with respect to noise, light, odor, and routing for vehicles accessing the proposed equine residuals processing/recycling Facility.

CITY GOALS

• Financial

• Design & Construction

• Service & Operations

• Construction Timing

• Proposer Qualifications

Financial GOALS (1 of 2)

• The City’s responsibility is limited to making a parcel of land available for new Facility improvements through a ground lease.

• On behalf of WestWorld operations, the City is interested in securing a competitive offer from the Proposer for the

- collection of equine waste, and - the acquisition of equine bedding that results from the facility processing/recycling function.

Summary of Commercial & ResidentialEquine Waste Pick-up

City of Scottsdale WestWorld

Weekly Yards

Weekly Tons

259

71

345

27

Monthly Yards

Monthly Tons

1,036

284

1,530

120

Annual Yards

Annual Tons

12,432

3,408

18,300

1,437

• City is seeking measurable financial return.

• Ground Lease Rent.

• Ground Lessee provides all Project funding for the design, permitting and construction of all the improvements associated with the Facility.

• Ground Lessee responsible for costs to operate the Facility.

Financial GOALS (2 of 2)

Design & Construction GOALS

• Design, construction and operations should be sensitive to and complement surrounding area while minimizing any impact on the nearby residential neighborhoods.

• Proposer’s strategies for odor, noise, and light control.

• Ground Lessee’s selection of design consultant and award of construction contract may need to comply with ARS Title 34.

Service & Operation GOALS

• Facility is to be a modern, first-class facility designed specifically for the treatment of equine residuals and the creation of recycled equine bedding to serve the WestWorld equine events and activities and those generated within Maricopa County.

• Sensitivity to nearby residential neighborhoods and minimize any potential negative visual or operational impacts.

• Respectful of WestWorld operations and events.

Construction Timing GOALS

• The proposed Facility construction MUST NOT impact the availability of event parking during the major WestWorld events that take place from January 1 through March 31.

• Minimize impact on the availability of event parking annually, from January 1 through March 31.

Proposer Qualification Goals

City expects to enter into Ground Lease with an experienced & qualified Proposer that

meet the criteria of the COMPETITIVE FACTORS.

Ground Lease Overview (1 of 3)

• Permitted Use: For Ground Lease to design, construct, maintain, repair and operate the Project.

• Ground Lessee shall use the Premises solely for the Permitted Uses as described in the RFP.

• Ground Lessee rights are expressly limited to the real property defined as the Premises in the Agreement.

• Upon the termination of the Ground Lease, Lessee Improvements become part of the city’s real property.

Ground Lease Overview (2 of 3)

• Ground Lease to design, construct, operate , repair and maintain the Project.

• Improvements constructed by Ground Lessee will be owned by Ground Lessee until end of Lease term.

• Term of Ground Lease (max 25-years) & possible extensions are proposed by Proposer.

Ground Lease Overview (3 of 3)

• Ground Lease Rent (to be proposed)– effective date of Ground Lease– occupancy of new facility.

• Ground Lease provisions will be added or modified to implement business points in the selected Proposal

• $100,000 cash security deposit.

• $250,000 letter of credit (additional security deposit for performance of Ground Lease obligations).

• RFQ Submittals will be evaluated based on City’s GOALS• Ranking of RFP Proposals is based on the following weighted

Competitive Factors:

– Organizational Capability – max 200 points• Submitter organization & staff qualifications; references• Previous Experience and Industry Knowledge• Industry knowledge• Local Knowledge

– Financial Capability – max 200 points• Financial strength & viability• Capital contribution plan• Proof of cash, letters of credit demonstrating commitment to complete the Project.

Competitive Factors (1 of 2)

Competitive Factors (2 of 2)

– Facility Design & Construction – max 100 points• Proposed design with proposed footprint and a construction plan.• Process to achieve all required approvals required by regulatory agencies.• Schedule and timing plan including, milestones such as site plan approvals,

permits, approval of plans and commencement of construction.

– Operating Plan – max 500 point• Proposed term of Ground Lease & any extension(s).• Proposed annual Ground lease payment to City.

– Initial Base Rent– Rent at Ground Lessee occupancy of facility – Proposed fees for WestWorld Equine Residual Processing/Recycling– Proposed wholesale prices for WestWorld purchase of recycled bedding material

• Pro forma and business plan.

Submittal Items• See RFP Section VII for a complete list of submittal requirements

• SUBMIT 9 COPIES OF PROPOSAL

• 1 original contract (Exhibit D – Ground Lease Agreement) – fill in the blanks as directed.

– NOTE: Proposers should use the form of contract to anticipate information that will be necessary to finalize the contract and should provide such information with their Proposals (including any exhibits not provided by City).

– Explain the business terms of the Proposal but DO NOT attempt to suggest specific wording for the contract.

• $10,000 Proposal Guarantee– Applied as partial ground lease security deposit for successful Proposer– Returned to other Proposers within 10 working days after Proposer Selection

• Completed and Signed Affidavit (Exhibit G)

Suggestions & City Responses• Proposers can submit written questions or suggested

changes to any aspect of this RFP by the April 3 deadline to:

bdygert@scottsdaleaz.gov

• Submit bullet point list of suggestions with rationale for each.

• Do not prepare proposed legal documents.

• Suggestions & City Responses will be posted to web site as an addendum to the RFP by April 14th.

Questions & Answers

• Proposers can submit questions or suggestions to:

bdygert@scottsdaleaz.gov

• Questions & City responses will be posted to the web site as addendum to the RFP by April 14th

Slides are presented for convenience only and do not supersede or supplement the terms of the RFP

Thank you for joining us today