Virtual Reality and Augmented Reality Lab
Project: 6890
Contract: 68900001
Questions & Answers
March 24, 2017
General
1. Where can I find a copy of the VR/AR Lab Info Session Presentation?
The presentation and all other relevant materials are posted here.
2. Where can I find an example of a successfully completed RFP that won an NYCEDC and/or MOME
contract?
Examples of previous RFP responses will not be provided as part of this RFP. .
3. Is there a stated term in which the contract will last, and will there be a contract renewal?
NYCEDC contemplates a contract term of three years.
4. Will the deadline be extended?
We do not currently contemplate extending the RFP response deadline of Friday, April 7, 2017. This
timeline takes into consideration that the VR/AR Lab should be launched by the fourth quarter of
2017.
5. Will there be a single award or multiple awards given?
NYCEDC has observed that the VR/AR ecosystem is fragmented and a goal of the VR/AR Lab is to
convene this fragmented community. With that in mind, NYCEDC will likely select a single
Respondent for an award, if any, but may also choose to select multiple Respondents for awards.
6. How does the VR/AR Lab interact with other NYCEDC projects, such as LifeSci NYC and BioBAT?
NYCEDC uses similar tools across its projects, such as leveraging capital, networks, and space. The
VR/AR Lab solves for a variety of challenges that are facing the VR/AR ecosystem, including
fragmentation and talent pipeline issues. Proximity to or interaction with other NYCEDC projects is
welcome; however, there is no requirement that the VR/AR Lab interact with existing NYCEDC
projects.
Goals
7. Does the City have a set goal they want to achieve? Or, is it just trying to fundamentally bring
together the VR/AR community?
The primary goals of the Lab are to:
1
-
-
-
-
Support early growth-stage VR/AR companies with space, infrastructure and resources to
increase their probability of success, with a goal of scaling companies and creating more job
opportunities for New Yorkers in this emerging sector.
Provide VR/AR entrepreneurs with affordable, shared access to tools and technologies in order
to increase their probability of success and foster collaboration across the VR / AR ecosystem
locally and globally.
Convene the City’s academic, start-up, and business communities to encourage cross-sector
collaborations, enhance community, establish market opportunities, and attract talent and
resources to the City.
Strengthen the local talent pipeline and create training opportunities in VR/AR technologies and
content creation.
8. What are the objectives of the VR/AR Lab after three years and five years?
After three years, the Lab is expected to be self-sustaining; as such, it is contemplated NYCEDC will
not be under a services contract with the Operator in five years.
Eligibility
9. Is there a preferred type of Operator (i.e. university, start up, etc.)?
No, there is no preferred type of Operator. The RFP encourages different approaches and innovative
partnerships.
10. Can the Respondents be a joint venture that includes a partnership between not-for-profit
organizations, industry groups, academic or research institutions, private companies, venture
capitalists, real-estate developers, incubator managers, or individuals affiliated with relevant
organizations?
Yes, while the lead Respondent must be a single organization (i.e. there should be a single point of
contact for the Respondent), NYCEDC welcomes responses from joint ventures and partnerships
11. Is it preferred that the Respondent be a newly formed joint venture or that the Respondent be an
established business with previous years of co-working management experience?
NYCEDC and MOME welcome new or existing joint ventures and partnerships.
12. Is there an expectation that multiple bids will use the same subcontractors?
There is no expectation as to which subcontractors an Operator may elect to use.
13. Can Respondents NOT be based out of NYC and/or NY State? Can foreign parties be involved?
The Respondent does not need to be New York City or NY State based. Foreign parties may submit a
proposal or be part of a partnership or joint venture submitting a proposal.
2
Location
14. What are the site criteria?
Please see pages 7-9 in the RFP for more information on the physical site criteria.
15. What are the requirements for the space (borough, location, minimum square footage, size,
ground floor, etc.)?
NYCEDC is not prescriptive as to the size and location of the site. While there are no specific
requirements for the space, the Operator should consider factors such as use, size, and layout when
selecting a site for the Lab. As set forth in the RFP, Respondents should also consider an area of the
City that caters to the VR/AR community and is easily accessible via public transportation.
16. What are the potential City-owned or City-affiliated sites described in the Information Session?
Can multiple Respondents propose these locations? Is there a list of city owned or affiliated
buildings somewhere that I could look at for possible locations? Are these buildings in particular
preferred? Are there any City-owned or City-affiliated assets in Manhattan that could be
leveraged for this project?
Brooklyn Army Terminal and Brooklyn Navy Yard were proposed as potential sites during the
Information Session held on March 3, 2017. More information on these sites can be found in the
Info Session Powerpoint. Please contact BAT (John Hong at [email protected]) or Brooklyn Navy Yard
(Clare Newman at [email protected] or Ashley Snyder at [email protected]) directly
for more information.
Currently, there are no NYCEDC owned real estate assets in Manhattan that meet the appropriate
criteria for the Lab.
There is no other list of City-owned or City-affiliated sites for this RFP.
Multiple proposals may choose to propose the same site.
Please note that NYCEDC is not prescriptive as to the size and location of the site and will not give
preference to responses incorporating City-owned or City-affiliated assets in evaluating proposals.
17. What stage does the “proposed site” have to be in at the time of submission?
The site can range from “turn-key” to one that requires some investment to prepare for occupancy.
Please keep in mind that the Lab should be launched by the fourth quarter of 2017.
18. If the Respondent already has a space, can they try and repurpose some of the space?
Yes, the Respondent can opt to repurpose an existing space.
19. Can the proposal be for multiple locations, or do we need to submit more than one proposal (i.e. a
proposal for each site)?
3
It is contemplated that a Respondent’s proposal will suggest a single, preferred site for the Lab;
however the Operator may suggest multiple locations in the proposal. The Operator should explain
why it is suggesting multiple sites as opposed to a single, preferred site.
20. Can a “proposed site” be identified or do lease agreements need to be signed by the time of
submission? Do you want any suggestions for the site, do you want them to propose a site or at
least have ideas to identify the site?
The Operator is expected to propose a site for the Lab. A lease agreement does not need to be
signed at the time of proposal submission.
21. What if a property manager gives our space to another business, are we given a chance to find a
secondary location in the event the first site falls through? What happens if you switch locations
post-proposal? Do you have to open up in the same site location as you stated in the RFP?
The Operator will be given a chance to a find a secondary location if the site(s) set forth in the
proposal does not work out.
22. Can you use the city funds to add another location in the future?
No, the City funds should be used towards the Scope of Services contemplated in the RFP.
Programming
23. Is the proposed Lab allowed to offer other types of programming in its suite of programs in
addition to the VR/AR training, such as coding, web design, robotics, and media production?
While it is required that Operator include programming in the Lab consistent with the Scope of
Services set forth in the RFP, NYCEDC welcomes creative proposals on the type of programming that
would best suit VR/AR entrepreneurs and early growth-stage startups. The Operator may suggest
alternative approaches and programming if these alternatives effectively achieve the goals outlined
in the VR/AR Lab RFP.
24. Is NYCEDC considering balancing wearables in the scope of this solicitation?
The Scope of Services for the VR/AR Lab is outlined in the RFP on pages 5-13. NYCEDC encourages
diverse and innovative responses.
25. Is it acceptable to define the VR Lab such that startups do NOT actually reside at the Lab?
It is contemplated that the Lab will have a Working Space element pursuant to the RFP. The
Operator may elect to allocate space to dedicated workstations and shared co-working space
tailored to the needs of VR / AR software, hardware and content creation. Alternative
programming for the site may be proposed.
26. How involved does the NYCEDC see the advisory team being day to day? Weekly? Monthly
involvement?
4
The Operator and NYCEDC will jointly determine the authority and membership of the Advisory
Board and the structure of the operational management team of the Lab.
27. How many startups are NYCEDC and MOME expecting this project to support?
The scale of the VR/AR Lab’s services depends on the selected proposal.
Financials
28. How detailed should the budget be?
The budget should be as detailed as possible. See Question 29 below.
29. Do you want a budget or a ten-year budget plan?
As outlined in the proposal requirements, Respondents must state (i) the amounts they will invest to
cover Lab start-up and/or operating costs, (ii) the amounts they intend to raise from outside sources
to cover the Lab start-up and/or operating costs, (iii) names of identified potential outside sources
(iv) the amounts they are requesting through the proposal to cover specific start-up costs and
operating expenses, and (iv) the timing thereof.
Applicable Respondents must submit a pro-forma cash flow analysis for a period of ten (10) years
from the official Lab launch date, including capital and operating budgets. The capital and operating
budgets must detail expenses for space layout and any capital improvements; all expenses including
staff salaries, any rent to landlord, and other upfront and ongoing expenses; revenue streams,
including workspace rents, membership or programming fees, and other potential funding sources
for any operating expense funding gaps, such as donations, grants or sponsorships.
30. What type of funding is NYCEDC providing to support startup costs? Will they provide the
Operator with Loan Debt Financing, Grant, or Investment Capital for the first three years of
operation? In terms of Capital contributions, are there any specifics like the amount? Is there
more information on the stated $6 million dollars in the press release? Is it equity or is it a grant?
What does it look like?
NYCEDC contemplates awarding a contract for services to the Operator. NYCEDC currently does not
contemplate making a loan, grant or other type of investment in connection with this RFP.
Payments to the Operator will be made for undertaking the Scope of Services set forth in the RFP in
accordance with an agreed upon fee schedule pursuant to tasks outlined in the Contract. Upon the
expiration of the term of the Contract, the Lab is expected to be self-sustaining.
Please see Question 33 for more information on the program budget.
31. Can the applying Respondent be a non-profit organization that is fiscally sponsoring a for-profit
organization to serve as the operator to create and manage the space on their behalf?
Yes, NYCEDC and MOME welcome joint ventures and partnerships.
5
32. The City is making a multi-million dollar investment in the project with the expectation that the
partner brings in significant business, but will the Operator be required to put any financial
investment into the project upfront?
The Operator is not required to put any financial investment into the project upfront but is expected
is expected to provide significant funds to the Lab through revenue generating activities, charitable
donations, sponsorships, self-funding or other means.
As outlined in the proposal requirements, Respondents must state (i) the amounts they will invest to
cover Lab start-up and/or operating costs, (ii) the amounts they intend to raise from outside sources
to cover the Lab start-up and/or operating costs, (iii) names of identified potential outside sources
(iv) the amounts they are requesting through the proposal to cover specific start-up costs and
operating expenses, and (iv) the timing thereof.
33. Is there some sort of budgetary guidance you can give us? Is there a project budget or identified
investment range over the duration of the three years of the Lab?
NYCEDC and MOME are planning to make a multi-million dollar investment in the Lab. The Operator
is expected to provide significant funds to the Lab through revenue generating activities, charitable
donations, sponsorships, self-funding or other means.
34. What amount is NYCEDC looking for the partners bring in?
While we are not requesting a commitment to a specific dollar amount at this time, the Operator is
expected to provide significant funds to the Lab through revenue generating activities, charitable
donations (including, without limitation, in-kind donations), sponsorships, self-funding, or other
means to ensure the successful launch of the Lab and its on-going operations.
35. Is there a required percentage match for the grant (i.e. If awarded $1 million, is it required to
match 50% ($500K) or 100% ($1M) of the funds either in-kind or cash)?
This RFP is not a grant award, rather an award of a services contract. No, there is not a required
percentage match for the funding.
36. How will the funding be dispersed to the Operator? Will the grant be reimbursed to the operator
(after filing of reporting, actuals, etc.) or will the funds be disbursed in increments to help
subsidize the cost of the build of the facility, equipment, etc.? How is funding dispersed? Does the
city approve funding on a quarterly basis or send all $6mm at once or disperse and approve fund
use in another way?
Payments will be disbursed to the Operator based on fee and deliverable schedules to be agreed
upon in the Contract.
37. Can funds be put into the same account as our other funds?
Payments under the Contract may be dispersed into an existing bank account.
38. Is NYCEDC able to help with matching partners (for example the real estate component)
6
NYCEDC does contemplate undertaking matchmaking between Respondents and potential real
estate sites, outside of making information available as to available City-owned and City-affiliated
sites as already provided (See Question 16 above).
Equipment
39. Does the wording “It is contemplated that NYCEDC shall…..” mean there are circumstances where
City of New York may not own the equipment? What circumstances would cause this?
See Question 40 and 41 below. There may be circumstances where NYCEDC would not own the
equipment, such determination to be made based on the Respondent’s proposed programming and
fee schedule.
40. If an Operator is able to purchase all of the equipment with their own money (and not the RFP
money), does the City still get to own the equipment?
It is contemplated that NYCEDC will pay for and own certain equipment in connection with the Lab
as part of the Contract; however, this will be negotiated with the Operator on a case-by-case basis in
connection with the Operator’s proposed programming at the Lab and the final, agreed upon Scope
of Services and fee schedule.
41. If the Operator is transporting its own equipment from another state that it already owns, does
NYC still get to own it?
If the equipment was purchased prior to the Operator’s undertaking the Scope of Services under the
Contract, then NYCEDC would not take an interest in such equipment.
Intellectual Property
42. It is stated in the RFP on page 10 that NYCEDEC shall own all intellectual property in connection
with branding and marketing of the Lab. Later the document goes on to say that; "Respondents
should propose the terms under which they would expect to license from NYCEDC any intellectual
property created in connection with the Lab upon the expiration of the Contract." It is unclear
whether NYCEDEC owns all intellectual property, which might include computer code, certain
functional libraries of computer code, applications, VR processes and procedures, and patents
that are created at the Lab.
It is contemplated that NYCEDC would own all of the intellectual property in connection with the
branding and marketing of the Lab. NYCEDC does not contemplate owning computer code,
functional libraries of computer code, applications, VR processes and procedures, and patents that
are brought to or created at the Lab.
43. Does the IP stay with the companies who bring in the IP?
NYCEDC does not contemplate owning the IP that companies bring to or create at the Lab (See
Question 42 above).
7
Branding
44. If a company already has a name that we are using, can it have two names for the VR/AR Lab?
One that the City owns and is official, another informal name that matches our global brand?
NYCEDC is open to proposals that contemplate bringing the VR/AR Lab under an existing brand
and/or nationwide/global. Please describe the brand strategy in detail in the proposal.
45. Can our brand remain separate from the NYC VR/AR Lab brand such that the City of New York
won’t have ownership over our name?
See Questions 44 and 46.
46. Does the wording “It is contemplated that NYCEDC shall…..” mean NYC there is a possibility that
the City of New York will not own the brand? Under which circumstances would this be true?
NYCEDC is open to proposals that contemplate bringing the VR/AR Lab under an existing brand
and/or nationwide/global brand or other circumstances where the Operator would own the brand.
Please describe the brand strategy in detail in the proposal.
Selection Criteria
47. Can you provide clarification on the selection criteria parameters? Are there further selection
weights beyond those outlined in the RFP?
The selection criteria are outlined on Page 16 in the RFP. There is no further breakdown of weights
or sub-category weights beyond what is included in the RFP.
48. Will NYCEDC give preference to companies that have been in operation for longer?
The quality of the Respondent’s team is a component of the selection criteria. Within that, the
Respondent’s demonstrated experience and reputation in program development, management, and
outreach in the areas of each task outlined in the RFP will be taken into consideration.
49. Will NYCEDC give preference to companies that have a more robust financial history?
The Operational and Financial Feasibility Schedule is a component of the selection criteria. The
Respondent’s must demonstrate the capacity to successfully launch the Lab and develop a selfsustaining operation within three (3) years of the Lab’s launch; sufficient revenue to support the
launch and ongoing operation of the Lab; availability of additional funding sources to finance the
project beyond the requested contribution.
50. Do the M/WBE criteria apply to construction, operation, or both?
M/WBE criteria typically applies to construction and design of space but can apply to operation.
8
Addendum
51. What/Where is the Local Law 34 Form?
The Operator shall complete and submit a Doing Business Data Form which can be found at
www.nycedc.com in the following section: “Resource/Vendor Resources.” More information about
Local Law 34 Forms is included in Appendix 1 in the RFP.
52. If a consortium of entities is submitting a proposal together, what entities need to supply the
documentation described in Appendices 1-4?
Only the selected Respondent needs to supply the documentation in Appendices 1-4.
Reporting
53. How often are reports expected?
The Operator shall provide regular reports that will include, but will not be limited to:
- Pre-launch status reports (monthly): with strategic plans, targets and estimates with regards to
marketing, partnerships, space build-out and programming
- Post-launch status reports (quarterly) and annual reports: with a qualitative assessment of
progress against the strategic plan, as well as the pre-established output and outcome metrics
outlined in Task 4.1.
9