RFP - Business in Puerto Rico

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PORT OF THE AMERICAS
Port of Ponce Authority RFP 01-14-PPA
CONTENTS
1.
INTRODUCTION....................................................................................................................... 1
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2.
3.
1.1
Port of The Americas: ................................................................................................................1
1.2
Why Puerto Rico: ........................................................................................................................1
1.3
Purpose of this Request for Proposals: ....................................................................................2
PPA HISTORY, PORT DEVELOPMENT AND OPERATION. ...................................................... 3
2.1
PPA History. .................................................................................................................................3
2.2
Port Development and Improvements Construction. ...........................................................5
2.3
Port Operation and Condition..................................................................................................7
2.4
Opportunities for Port of The Americas. ..................................................................................9
RFP PROCEDURES AND CONDITIONS. ............................................................................... 11
3.1
Availability of the RFP package. ........................................................................................... 11
3.2
Changes to this RFP. ................................................................................................................ 11
3.3
Compliance with RFP and Rejection of Proposals. ............................................................. 11
3.4
Examination of RFP by Proposers........................................................................................... 11
3.5
Requests for Clarification or Interpretation of RFP. .............................................................. 12
3.6
Contractual Status of RFP and Proposals. ............................................................................. 12
3.7
Proprietary Information and Confidentiality. ....................................................................... 12
3.8
Ownership of Submitted Materials. ....................................................................................... 13
3.9
Rights of PPA. ............................................................................................................................ 13
3.10
No Personal Liability. ............................................................................................................... 13
3.11
Effect of this Request for Proposals. ....................................................................................... 14
3.12
Submission of Proposals. ......................................................................................................... 14
3.13
Receipt of Proposals................................................................................................................ 14
3.14
Proposals Received after the Proposal Deadline................................................................ 15
3.15
Evaluation of Proposals. .......................................................................................................... 15
3.16
Clarifications Sought by PPA and Requests for Additional Information. .......................... 15
3.17
RFP Schedule ............................................................................................................................ 16
3.18
Proposer One-on-One Meetings. .......................................................................................... 16
3.19
Revised and Final Proposals................................................................................................... 16
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4.
5.
6.
Port of Ponce Authority RFP 01-14-PPA
PROPOSAL CONTENT REQUIREMENTS. ............................................................................... 16
4.1
General Information and Executive Summary: ................................................................... 17
4.2
Qualifications and Experience: ............................................................................................. 17
4.3
Approach to the Port of The Americas Opportunity ........................................................... 18
PROPOSAL EVALUATION PROCESS AND CRITERIA. ......................................................... 19
5.1
Evaluation Process................................................................................................................... 19
5.2
Evaluation Criteria. .................................................................................................................. 20
AWARD AND EXECUTION OF FINAL AGREEMENT. ........................................................... 22
6.1
Award of RFP and Execution of Agreement. ....................................................................... 22
6.2
Governor and Board of Directors Approval. ........................................................................ 22
6.3
Protests, Reconsiderations and Judicial Review. ................................................................ 22
6.4
Disqualification. ....................................................................................................................... 23
APPENDIX A ................................................................................................................................. 24
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1.
1.1
Port of Ponce Authority RFP 01-14-PPA
INTRODUCTION.
PORT OF THE AMERICAS:
The Port of The Americas Rafael “Churumba” Cordero Santiago in Ponce, Puerto Rico (the “Port”) is a
strategic economic development project for Puerto Rico, focusing on the development of a
transshipment facility with added value research and development, and manufacturing applications to
be established around it. Taking advantage of Puerto Rico’s privileged geographic position along the
Mona Passage in the Caribbean, an important shipping route between the Atlantic Ocean and the
Panama Canal, this Port has been designed to have the capacity to serve Post-Panamax and Panamax
vessels and will be developed as a world-class international transshipment port for carrying out valueadded activities. The Port has been designed and built to be a modern, state-of-the-art, containerized
import/export and transshipment cargo facility, with the ability to become an important containerized
cargo hub in the Caribbean.
The Port is located in the Municipality of Ponce, on the south coast of the Island, towards the Caribbean
Sea. Ponce is Puerto Rico’s second largest city by population. The project comprises over 300 acres of
government controlled land, occupied by the existing Port and future development areas. Through an
investment of over $285 Million U.S. Dollars, the Port currently offers a modern berth with 50 foot depth,
two Super Post-Panamax ship-to-shore cranes, and a new container yard with a capacity of up to 500,000
Twenty-Foot Equivalent Units (TEUs) per year.
Having completed the development of these new facilities on the Port, the Government of the
Commonwealth of Puerto Rico intends to procure an experienced and highly qualified Private
International Operator for the Port, in order to commercialize this public infrastructure and further promote
the expansion of the Port trough private investment.
1.2
WHY PUERTO RICO:
Every day Puerto Rico becomes more of a world-class investment destination. Structural reforms,
economic programs, and an all-star lineup of incentives have positioned the island as a very competitive
jurisdiction in the world. Many favorable conditions come together in Puerto Rico to make The All-Star
Island a premier location for business and investment. Puerto Rico offers companies the security and
stability of operating in a U.S. jurisdiction while providing an unrivalled array of tax incentives that make it
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a compelling destination for businesses – big and small. At a glance, the following are some of our
advantages:
• U.S Legal Framework, Protection ad Political Stability:
As a Commonwealth of the United States of America, Puerto Rico operates under the U.S. legal
framework and intellectual property protection; the U.S. currency and banking system and the
Homeland Security Act protection, among many other considerations. Puerto Rico has access to U.S.
federal programs and funds, and U.S. foreign trade zones and customs; goods enter U.S. markets dutyfree. Passports are not required for U.S. citizens traveling to and from Puerto Rico, and numerous
commercial airlines offer direct flights to major cities in the United States.
• Highly Skilled Workforce, Strong Demographics for Business Success:
With a well-earned reputation for its highly skilled and educated workforce, Puerto Rico is a location
where companies can prosper and expand their operations. A highly educated, productive and
bilingual (Spanish and English are the official languages) workforce, with more than 30,000 university
degrees granted each year in science, math and technology fields. The University of Puerto Rico at
Mayagüez, the premier engineering and science institution of the Caribbean and Latin America,
ranks 1st in graduating Hispanic engineers and 2nd in graduating female engineers. The World
Economic Forum’s (WEF) 2012-2013 Competitiveness Report ranked Puerto Rico #3 out of 142
countries in the world in terms of Availability of Scientists and Engineers.
• Strong Business Ecosystem, Global Competitiveness and Aggressive Incentives:
The World Economic Forum’s (WEF) 2012-2013 Competitiveness Report also ranked Puerto Rico #30
among 142 countries in the world, first in Latin America and third in all of the Americas. Puerto Rico
offers the benefits of operating within a United States jurisdiction while providing the tax benefits of a
foreign tax structure. Several incentive acts have been approved to stimulate economic
development and attract Foreign Direct Investment (FDI) in the following sectors: manufacturing,
tourism, export services, insurance, financial services, agriculture, hospitality and hotel development,
and renewable energy. The Island has the largest non-contiguous free trade zone in the U.S and was
ranked among the top 15 Foreign Trade Zones in the U.S. National Association of Foreign Trade Zones
2011 Report.
• World-Class Infrastructure
Puerto Rico has the busiest airport in the Caribbean and state-of-the-art port facilities, with
approximately 5,000 cargo flights per month and some 2,200 weekly commercial flights from San Juan
International Airport. The Port of San Juan is ranked #9 in container movement in the U.S. The entire
Island is fully accessible through 24,000 miles of highways and a mass-transit system recognized by the
U.S. Federal Transit Administration as the safest and most efficient in the United States. In terms of
communications, Puerto Rico has an Island-wide broadband service, a fiber-optic
telecommunications network, and a robust satellite system. The Island provides 5,839 megawatt
generating capacity with a vigorous energy source diversification plan for the next 10 years, and
water quality meets rigorous U.S. EPA standards.
In this context, the Government of Puerto Rico is confident that the Island presents an ideal business
environment to establish the Port of the Americas as an important transshipment hub in the Caribbean.
1.3
PURPOSE OF THIS REQUEST FOR PROPOSALS:
Considering the context presented in the previous section, The Port of Ponce Authority (“PPA”), the new
public corporation and governmental entity in charge of the development and operation of the Port of
the Americas, hereby invites interested parties to respond to this Request for Proposals (“RFP”) regarding:
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Port of Ponce Authority RFP 01-14-PPA
The selection of a world-caliber port operator for the Port of the Americas, through the
implementation of a variety of legal tools that may include a concession agreement through a
long term lease agreement or a management contract, through a short term agreement with an
option for a longer term engagement, or other viable options that may be presented by the PPA
or proposers during the RFP process.
The purpose of the RFP is to seek proposals from interested and qualified firms and parties, to enable PPA
to select a proposer or arrive at a short list of proposers with the demonstrated capability to carry out Port
operations and that have offered the most attractive and realistic operating and business plans for the
Port.
Proposers are encouraged to submit creative proposals that best achieve the goals and objectives of
PPA and provide the best overall value to the region and the Commonwealth of Puerto Rico. At its sole
discretion, PPA may invite one or several finalists for direct negotiations, or to participate in a best-andfinal-offer (“BAFO”) stage, which would consist of simultaneous negotiations between PPA and each
invited finalist as well as the opportunity for such finalists to submit revised and final proposals. However,
the PPA, at its sole discretion, may decide not to conduct the BAFO stage of the selection and ward
process, and may decide to enter into an agreement with the selected proposer without conducting a
BAFO process.
2.
2.1
PPA HISTORY, PORT DEVELOPMENT AND OPERATION.
PPA HISTORY .
The Port of the Americas Authority is a public corporation of the Commonwealth of Puerto Rico created
by Law No. 171 of August 11, 2002, as amended. The main purpose of the Port of the Americas Authority
is to plan, develop and construct a large scale container terminal in the city of Ponce, Puerto Rico,
specifically intended to:
(1) Enable the Port to eventually handle 1.5M TEU’s per year;
(2) Provide efficient port facilities to move cargo in Puerto Rico’s Southern Region;
(3) Complement services offered by the Port of San Juan;
(4) Enhance Puerto Rico Value and Supply Chain; and
(5) Provide economic stimulus to the Southern Region.
On June 28, 2004 the law that created the Port of the Americas Authority was amended by Law No. 166
of December 19, 2013 to change the name of the port to "Puerto de Las Américas Rafael ‘Churumba’
Cordero Santiago". Also, on September 22, 2004, the Puerto Rico Legislature enacted Law No. 409 to
provide a $250 million financing to promote the commencement of construction of this long-term project.
Since then and until recently, the Port of the Americas Authority has developed the first three
development phases of the original Master Plan for the Port (shown below), which are described in
Section 2.3 of this RFP.
On December 12, 2011, Law No. 240 (the "PPA Enabling Act") created a new entity, the Port of Ponce
Authority, to continue the project development and to establish the Port operation. This law established
general directives for the further development of the Port of the Americas and its integration with certain
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Port of Ponce Authority RFP 01-14-PPA
MASTER PLAN FOR THE PORT OF THE AMERICAS
development strategies proposed by the Municipality of Ponce. Law No. 240-2011 created PPA to
continue the development of the port and to manage the port's future operations through the
Municipality of Ponce. Pursuant to the PPA Enabling Act, all of the rights, faculties and duties of the initial
Port of the Americas Authority were transferred to the PPA, without considering it as a successor of the
first. As a result, the PPA, as the new port authority, does not carry the previous legal or economic burdens
of the Port of the Americas Authority, which continues to handle the obligations, liabilities and
commitments incurred prior to the enactment of the PPA Enabling Act.
More recently, on December 19, 2013, Law No. 240-2011 was amended by Law No. 156-2013, which
restructured PPA’s Board of Directors to include members appointed by the Governor and the Mayor of
Ponce. Thus, the PPA now enjoys the representation from the central government as well as the municipal
government. This amendment also provides for additional financing of the project through a new line of
credit to be repaid by the general fund of the central government and gives control to the PPA of all the
properties and equipment required for the operation and further development of The Port. Through the
new PPA, a third party is able to negotiate any agreement concerning the Port of the Americas
exclusively with one governmental agency.
Pursuant to the provisions of this Law, PPA now has the responsibility of engaging an “Operator of
International Caliber” for the already developed Port facilities and an “Administrator for the Value Added
Zones”.
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Port of Ponce Authority RFP 01-14-PPA
In summary, the PPA is currently the governmental entity with control of the Port of The Americas, the
Value Added Zones adjacent to the Port, and all public land required for additional development of the
Port and its Value Added Zones, without carrying the burden of past public investment required to
develop the Port to its present state. The PPA has the legal faculty to enter in agreements with third parties
for the operation and development of such properties. The PPA also has the responsibility and main goal
of engaging a qualified International Operator for the Port and an Administrator for the Value Added
Zones.
2.2
PORT DEVELOPMENT AND IMPROVEMENTS CONSTRUCTION.
PORT OF THE AMERICAS DEVELOPMENT AREA
The above image shows an update of the total development area of the Port of the Americas project,
which comprises the Port Facilities and the Value Added Zones. As per the original Master Plan for the
Port, the construction project was initially focused on the improvements of the existing Port facilities, its
harbor and the surrounding infrastructure for the Port and new VAZ. The development has been
accomplished as follows:
•
Phase 1 — The first phase of the project was the reconstruction of Berths 4, 5 and 6, which added 1,200
ft (365.76 mts.) of quay of Post-Panamax capability to the existing piers. The new construction was
designed to accommodate four modern quay cranes with a rail gauge of 100 ft (30.48 mts.). There
are currently two Ship-to-Shore cranes (ZPMCs) installed here, as well as the Harbor Mobile Crane
specified above. The berth was designed for a depth of -50ft (15.24 mts.) MLW. Currently a length of
830 ft (253 mts.) is dredged to -50ft (15.24 mts.) MLW. The depth of the berth shallows progressively
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Port of Ponce Authority RFP 01-14-PPA
towards the ends to 36 ft (11 mts.) due to design constrains of contiguous berths. This constrains are
planned to be addressed through the reconstruction of the contiguous Berths 2 and 3 in future
development phases.
•
Phase 2 — This phase included the dredging of the federal channel and turning basin to a depth of 50 ft (15.24 m) MLW. Construction included the development of 18 acres (73,000 m2) adjacent to the
current piers to increase its yard capacity by 250,000 twenty-foot equivalent units (TEU) of annual
throughput.
•
Phase 3 — Expansion of the container yard to increase total annual designed capacity to 500,000
TEUs. Construction of ancillary facilities including: 6-lane interchange gate and a 20,000 sq ft (1,858
m2) administration building. Additional infrastructure and site improvements are currently under
construction on the VAZ-2, which will enable this area and the future growth area to be ready for
development. This construction will be completed during December, 2014.
Next Steps in Development:
Future construction phases, as per the approved Master Plan for a mega-port project, envision converting
the land reserved for Port growth, adjacent to the current Port towards north, into a 50 ft (15.24 m) deep
canal to add 3,000 linear feet (914 m) of quay side for additional new Post Panamax berths and
developing new container yards along these new berths to increase the Port’s annual throughput to a
total of up to 2.2 million TEU’s. This proposed development has been envisioned in two additional
construction phases which would require an estimated investment of three Hundred Fifty Million U.S.
Dollars ($350,000,000.00) each, for a total estimated investment of Seven Hundred Million U.S. Dollars
($700,000,000.00).
The PPA is currently considering an additional alternative for short term Port expansion. The PPA is
interested in developing a project with the selected Operator of the Port for the reconstruction of Berths
2 and 3. These old berths’ structural condition does not allow for additional dredging to accommodate
deeper draft vessels, and limits the dredging of one end of the new berth built as part of Phase 1. PPA is
considering the reconstruction of these berths by realigning them with the new Berths 4, 5 and 6. These
improvements will allow for the Ship-to-Shore cranes rails to continue through the renovated berths and
to complete the dredging at the edge of Berth 4. Furthermore, the proposed reconstruction will add
great capabilities to the Port of the Americas, promote a more efficient operation of the Port facilities,
allow for use of previous improvements to their full extent, and provide a growth option for the Port in the
near future. This project would require an estimated investment of Seventy Million U.S. Dollars
($70,000,000.00). If necessary the PPA is willing to participate in the proposed investment.
ALTERNATIVE FOR RECONSTRUCTION OF BERTHS 2 &3
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NEW CONTAINER TERMINAL & SURROUNDING INDUSTRIAL DEVELOPMENT
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PORT OF THE AMERICAS
2.3
Port of Ponce Authority RFP 01-14-PPA
PORT OPERATION AND CONDITION.
As previously stated, through the improvements built up to now, the Port is being developed into a
modern and efficient logistics center striving to create better supply chains for clients in Puerto Rico and
the Caribbean. As per Appendix A (Proposal Contents), PPA is issuing this RFP in order to receive proposals
from prospective private partner(s) to lease, operate and use the existing facilities shown in the next
image, as well as to potentially fund additional improvements as they become commercially viable.
EXISTING PORT FACILITIES INCLUDING NEW CONTAINER TERMINAL
Following is a summary of the Port’s current operation and condition:
Port Attributes:
• Deepest port in Puerto Rico with maximum depth of 50 ft (15.24 mts.) MLW.
• Immediate access to main highway network.
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Port of Ponce Authority RFP 01-14-PPA
• Easy access to Mercedita Airport at only 5 miles.
• 4,400 linear feet (1,341 m) of quayside.
• 800 passenger cruise terminal.
• 2 container yards amounting to 50 acres and a 630,000-TEUs annual capacity.
• 80,000 square feet (7,432 m2) of warehouse space within the Port.
• 500,000 square feet (46,451 m2) of warehouse space (currently occupied, government owned)
adjacent to the Port.
• 1,200 acres of land zoned for light and heavy industrial development in the Autonomous
Municipality of Ponce, over a 150 of them within the development area of the Port.
• Current clients include: PepsiCola Manufacturing Limited, Serrallés Distillery, PR Distributors, Cemex,
Shnitzer PR, Homeca Recycling, Marine Response Spill Company, and CODEZOL (free trade zone
administrator), among others.
•
Cargo operations include: sand, coal, clinker, cement,
molasses, concentrate juice, lumber, scrap metal, military
operations and cruise ships.
Existing Equipment Ready for Operation:
•
Two (2) super Post-Panamax gantry cranes with twin-pick
capability (Manufacturer: ZPMC; Year: 2009; Capacity: 80
mts);
•
One (1) harbor mobile crane (Manufacturer: Gottwald;
Year: 2009; Capacity; 100 mts);
ZPMC
•
One (1) ship-to-shore gantry crane (Manufacturer:
Paceco; Year: 2009; Capacity 38 mts); and
•
Seven (7) Rubber-Tire Gantry Cranes (Manufacturer:
Paceco-Mitsui; Year: 1992-1995).
Economic Incentives Highlights:
RTG
’s
GOTTWALD
EQUIPMENT ON NEW TERMINAL
October 13, 2014
•
Lowest tariffs in Puerto Rico (independent tariff structure).
•
No collective bargaining agreement currently exists
between the PPA and the longshoremen.
•
Fully designated as a Free Trade Zone, providing all
related benefits, including exemptions from many U.S. and
Puerto Rico taxes and duties.
•
4% income tax on industrial development income.
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Port of Ponce Authority RFP 01-14-PPA
• 0% OR 1% TAX RATE ON INCOME FOR PIONEER OR NOVEL PRODUCTS MANUFACTURED IN PUERTO RICO.
• 50% tax credit on purchases of products manufactured or recycled locally.
• $5,000 for each job created during the first year of operation.
• 50% tax credit on Research and Development activities.
• Special deductions on investments from structures, machinery and equipment.
• 50% tax credit for investment in eligible agricultural business.
• 100% exemption on taxes for agricultural equipment.
For additional information regarding Tax Incentives in Puerto Rico visit www.businessinpuertorico.com.
2.4
OPPORTUNITIES FOR PORT OF THE AMERICAS.
Puerto Rico’s current container trade consists of trade moving to and from the United States, as well as
trade between Puerto Rico and non-U.S. ports. In 2013, a total of 748,000 loaded TEUs were handled in
Puerto Rico, of which about 75% moved on the domestic trade with the U.S., and the balance, 25%,
moved to and from international destinations and Puerto Rico. Most of the international cargo moves to
and from San Juan from transshipment ports located in the Caribbean and Panama. Nearly all containers
are handled at San Juan.
The Puerto Rico container market is a highly concentrated market in terms of both ocean carrier service
and importers and exporters. With respect to the containers moving to and from the United States, this
trade lane is covered by the U.S. Merchant Marine Act of 1920, known as the Jones Act. Under the Jones
Act, the cargo moves on U.S. Flag ships, on U.S built ships, crewed by U.S. Citizens. Within the domestic
trade, four U.S. Flag carriers handle the vast majority of the trade, with the Port of Jacksonville the key U.S.
port engaged in the Puerto Rico Trade. With respect to the international container trade, six international
container carriers handle more than 60% of the non-domestic trade, and also serve Puerto Rico via San
Juan. Not only is the container market highly concentrated from the ocean carrier perspective, 24
importers control more than 40% of the containerized trade in Puerto Rico. With such concentration of
containerized trade, specific market targets can be established by a potential concessionaire at the Port
of the Americas.
Nearly all containerized trade is handled at the Port of San Juan to serve the largest consumption market
on the Island. Typically, the cargo is off-loaded at marine terminals in San Juan, and trucked directly to
retail outlets in San Juan, or to warehouses/distribution centers in the San Juan area. There are several
trends occurring in containerized cargo trade in Puerto Rico that could open possibilities for the Port of
The Americas. For example, there is a growing trend to consolidate shipments in the United States, and
then load presorted orders into 53ft. containers onto U.S. Flag carriers for direct store delivery in Puerto
Rico. This may present an opportunity to perform the value added sorting operations at a distribution
center in Puerto Rico for cargo not being consolidated in the United States, and then provide just in time
delivery to retail stores throughout the island from a logistics center in Ponce. Such a distribution center
in Ponce would offer less congestion than in San Juan, as well as lower lease and operating costs.
Furthermore, there is an increasing share of cargo destined for San Juan that is directly sourced via
manufacturing and food processors located in the U.S. Conversely, there is a growing trend to source
foreign goods, such as retail consumption goods produced in Asia directly from the source, rather than
via consolidation activity in the U.S. This has increased the participation of the global carriers such as
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Port of Ponce Authority RFP 01-14-PPA
Hapag-Lloyd, Maersk, Evergreen, American President Lines, Mediterranean Shipping, and CMA-CGM in
the international Puerto Rico containerized trade. The majority of this international service is sourced from
transshipment hubs in the Caribbean, Central America and Panama. This international segment of the
container market has increased steadily since 2009, growing at a compound annual growth rate of 2.6%
annually since 2009. International containerized cargo handled in Puerto Rico reached its peak in 2013.
This concentration of growth within the international containerized cargo market may present an
opportunity for the Port of The Americas, both to serve the local market as well as to provide transshipment
opportunities. It is recognized that the location of Ponce with respect to the consumption center of San
Juan presents a logistics cost disadvantage to the Port of Americas. There exist several potential
opportunities to offset that logistics cost disadvantage. The development of a logistics distribution
center(s) in the Ponce area on land adjacent to the Port of The Americas to handle the international
cargo provides efficiencies in scheduled deliveries to customers throughout Puerto Rico, at lower lease
and operating costs with minimal congestion. Similarly, an uncongested, highly productive marine
terminal will reduce to some extent the total logistics cost differential to serve San Juan (compared to the
current use of San Juan by the global carriers). Other tangible actions that improve the competitive
position of the Port of The Americas with respect to the use of San Juan would be reduced port charges,
such as the container security fee now imposed at all Puerto Rico ports by the government.
With the potential to develop a global carrier container terminal in Ponce, the development of
transshipment operations also appears a possibility, particularly to serve Caribbean and South American
markets. From a transit time perspective, Ponce can compete with other Caribbean transshipment hubs
such as Caucedo, Kingston and Colon to serve the South American markets. With the opening of the
expanded Panama Canal in 2016, the 50 ft. channel and modern turn-key container terminal will provide
a facility to handle the larger post Panamax vessels that will be deployed on this trade lane. In addition,
The Port of Americas also represents a potential terminal to serve as a transshipment hub for EuropeanSouth American/Central American trade routes. The location of the Port of Americas in terms of transit
time compared to other more Western Caribbean transshipment hubs to serve the European -South
American/Central America transshipment trade provides the Port with a competitive transit time
advantage to serve growing South American markets and Central American markets, particularly
Mexico. Furthermore, the Trans-Atlantic–South America/Central America trade lane is likely to be a
growing international trade lane via the Suez Canal, with the continued growth of Asia-Europe and Asia
Americas trade.
The possibility of the development of a large distribution/logistics center for value added services on land
adjacent to the Port of Americas terminal further adds to the potential transshipment hub development
possibilities.
Finally, the Port of The Americas also represents a marine terminal that could be used for a specialized
line of business, including automobile import, export and distribution activity throughout Puerto Rico as
well as the Caribbean. Currently, automobiles destined for Puerto Rico’s consumption market are offloaded at San Juan, trucked to Ponce, stored, and then redelivered throughout Puerto Rico. Such an
operation could potentially be expanded to serve as a distribution center for automobiles throughout the
Caribbean, serving the local consumption markets as well as rental car markets.
It is to be emphasized that the recognition by the PPA of the initial logistics cost disadvantage of the Port
of The Americas within the domestic market will be an important consideration in evaluating the various
concession offers. Methods to offset the logistics cost disadvantage offered by the proposers should be
an important element in the proposed market and development plan put forth in the responses to this
RFP, especially during the ramp up period of the operation.
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PORT OF THE AMERICAS
3.
3.1
Port of Ponce Authority RFP 01-14-PPA
RFP PROCEDURES AND CONDITIONS.
AVAILABILITY OF THE RFP PACKAGE.
Entities and firms interested in participating in this RFP process may obtain the RFP package at no cost
during regular business hours at offices of the Department of Economic Development and Commerce,
4th Floor, Fomento Industrial Building, #355 Roosevelt Ave., San Juan, PR 00918, or by electronic download
at www.thePortoftheAmericas.com on the RFP section, after October 14, 20014.
3.2
CHANGES TO THIS RFP.
The PPA reserves the right to modify, amend, cancel and/or reissue this RFP at any time, in its sole
discretion, by written addenda to this RFP. Any amendments to the RFP shall be posted on the website
at www.thePortoftheAmericas.com on the RFP section.
All addenda so issued shall become part of the RFP. Each Proposer shall be responsible for reviewing the
addenda and ensuring that any revisions or clarifications to the RFP are incorporated in the corresponding
proposal. Failure of any Proposer to consider such information shall not relieve such Proposer from any
obligation under its Proposal as submitted.
3.3
COMPLIANCE WITH RFP AND REJECTION OF PROPOSALS.
Proposers must comply with the requirements described in this RFP in order for the PPA to fully and properly
evaluate each Proposal. The PPA reserves the right to reject any Proposal not in compliance with the RFP.
The PPA reserves the right to reject any or all Proposals if it determines that such action is in the best
interests of the PPA. Any Proposal which is incomplete, conditional or obscure may be considered invalid
and the PPA may reject such Proposal. In addition, the PPA may consider a Proposal incomplete and
may reject any Proposal which is not prepared and submitted in accordance with all requirements of the
RFP, or which contains alterations, contingencies, additions not called for, errors or irregularities of any
kind; provided, however, that the PPA reserves the right to waive any minor informalities or irregularities.
If a Proposal is rejected, a written notice shall be sent to the Proposer informing the Proposer of the PPA’s
decision. Upon request, the unsuccessful Proposer shall be advised of the reasons for the rejection of their
respective Proposals.
3.4
EXAMINATION OF RFP BY PROPOSERS.
Before submitting a Proposal, each Proposer must thoroughly examine this RFP, including all Appendices
and other attachments hereto, and become familiar with local conditions and with federal, state and
local laws, ordinances, rules and regulations, and any other circumstances or conditions that may in any
manner affect the cost or performance of the development, design, operation, and/or construction of
the Project. Failure of a Proposer to carefully review the RFP shall in no way relieve the Proposer from any
obligations with respect to its Proposal. Each Proposer shall promptly notify the PPA in writing of any
ambiguity, inconsistency or error it discovers upon examination of the RFP or any Project information per
the described manner in Section 3.5.1, below. The submission of a Proposal will constitute a representation
by the Proposer that it understands and accepts every requirement and condition of the RFP, including
any RFP Appendices, Addenda and attachments thereto.
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3.5
REQUESTS FOR CLARIFICATION OR INTERPRETATION OF RFP.
3.5.1
All questions and requests for clarification or interpretation of the meaning of this RFP and
Appendices, and any other correspondence concerning the RFP, shall be submitted in writing to
[email protected], and must be received by the date established in Section 3.17 RFP Schedule.
Interpretation of this RFP or additional information will only be given by written addendum to this
RFP as issued by the PPA on the website at www.thePortoftheAmericas.com on the RFP section.
Clarifications or interpretations and any supplemental instructions or forms, if issued, will be issued
no later than the date established in Section 3.17 RFP Schedule. Oral clarifications, interpretations,
instructions or other communications will be of no effect and shall not be binding on the PPA, its
consultants, representatives or agents. The PPA will not be responsible for, and a Proposer may not
rely upon or use as the basis of a claim against the PPA or a consultant of the PPA, any information,
explanation or interpretation of the RFP rendered in any fashion except as herein provided.
3.5.2 Proposers shall visit the RFP section of the aforementioned website before sending any questions or
request for clarification to PPA to get acquainted with the latest RFP information available, in order
to avoid making inquiries about matters that have been already clarified through posted addenda
or additional information by the PPA.
3.5.3 In the event that any Proposer or Proposer representative, agent or officer contacts directly or
indirectly any member or employee of the PPA, or any consultant engaged by the PPA to assist in
the design of this RFP or the selection process with relation to the Port of the Americas, with respect
to any matter in connection with this RFP or the selection process, other than by submission of a
written question or request for clarification, interpretation or modification as prescribed in this
section, or participation in interviews, discussions or negotiations as provided in this RFP, the
Proposer will be subject to disqualification.
3.6
CONTRACTUAL STATUS OF RFP AND PROPOSALS.
This RFP is not binding on the PPA, its consultants, agents, representatives or officers. The PPA reserves the
right to amend or withdraw the RFP at any time at its sole discretion before the execution of the Final
Agreement for Operation. In such event, the PPA shall not be liable to any Proposer for the costs incurred
by it as a result of the amendment or withdrawal of the RFP or any appendix thereto. The RFP has been
prepared solely to solicit Proposals, and is not a contract offer. The only document that will be binding on
the PPA is the Final Agreement for Operation of Port duly executed by the PPA and the successful
Proposer.
The PPA assumes no responsibility for any costs incurred in the preparation of a Proposal or related
activities of any Proposer. The PPA shall not be liable for any costs incurred by any Proposer in the
preparation, submission, presentation, or revision of its proposal and response, or in any other aspect of
the Proposer’s pre-proposal submission activity. All such costs shall be borne solely by the Proposer. In no
event shall PPA be bound by, or liable for, any obligations with respect to the project until such time (if at
all) as PPA authorizes and executes a written agreement, and then only to the extent set forth in such
agreement.
3.7
PROPRIETARY INFORMATION AND CONFIDENTIALITY.
All Proposal submissions shall be public after award of the corresponding agreement, but will remain
confidential during the RFP process to the extent consistent with the Puerto Rico laws and regulations. All
materials and information submitted in response to this RFP, and any materials delivered to PPA, are
subject to the laws, regulations and case decisions applicable to the disclosure of materials and
information submitted under this RFP.
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The PPA shall have no obligation to treat any information submitted in connection with a Proposal as
proprietary or confidential unless the proposer designates such specific document or information
included in its proposal as 1) trade secret; 2) proprietary information; or 3) confidential or privileged
information. In the event of such designation, the Proposer shall clearly identify in writing the specific
document or information alleged to be proprietary or confidential as follows: “Do Not Disclose without the
Written Authorization of Proposer. Information contained herein is [State Cause of Non-Disclosure].” The
PPA will not be bound by overbroad, vague, imprecise or unjustified designations. Among others,
information that may be readily found in the public record will not be considered confidential or
proprietary despite any such designation.
The PPA’s determination that any information legitimately requires confidential or proprietary treatment,
and the PPA's obligations with respect to protection and disclosure of such information shall be subject
to applicable laws.
By delivering a response, each Proposer consents to disclosure of its submission and expressly waives any
right to contest such disclosure unless exempt under applicable provisions of law, except with regard to
designations made and accepted in compliance with this section.
3.8
OWNERSHIP OF SUBMITTED MATERIALS.
All materials and information submitted in response to or in connection with this RFP shall become the
property of PPA and will not be returned to the submitting parties. PPA shall have the right to use such
materials, information and ideas set forth therein without restriction, except to the extent any materials,
information or ideas are determined to be confidential or proprietary. By the submission of the Proposal,
the Proposer thereby grants to the PPA an unrestricted license to use the Proposal, including all materials
submitted therewith, except as previously stated.
3.9
RIGHTS OF PPA.
PPA reserves all rights available to it under applicable law, including but not limited to the unqualified
right, at any time and in its sole discretion, to change or modify this RFP, to reject any and all information,
to waive minor defects or irregularities in information received, to seek clarification of information, to
request additional information, and to undertake discussions with one or more Proposers who, at any time,
subsequent to the deadline for submissions to this RFP, may express an interest in the subject matter hereof.
No Proposer or any other person or entity shall have any rights against PPA arising from the contents of
this RFP, the receipt of information, or the incorporation in or rejection of information contained in any
response or in any other document. PPA makes no representations, warranties or guarantees that the
information contained herein, or in any addenda, is accurate, complete, or timely or that such
information accurately represents the conditions that would be encountered during the performance of
any subsequent contract issued from a separate procurement. The furnishing of such information by PPA
shall not create or be deemed to create any obligation or liability upon it for any reason whatsoever; and
each Proposer, by submitting its proposal, expressly agrees that it has not relied upon the foregoing
information, and that it shall not hold PPA liable or responsible therefore in any manner whatsoever.
3.10
NO PERSONAL L IABILITY.
No PPA officer, agent, employee or consultant may be charged personally with any liability by a Proposer
or any other party or person, or otherwise be held liable to a Proposer or any other party or person under
any term or provision of this RFP or any statements made herein or because of the submission or
attempted submission of information or other response hereto or otherwise.
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3.11
Port of Ponce Authority RFP 01-14-PPA
EFFECT OF THIS REQUEST FOR PROPOSALS.
Based on the RFP responses, PPA will select a Proposer or develop a short list of Proposers with whom it
would like to have further communications. There will be no restriction on the number of Proposers that
may qualify to be short listed.
After evaluating the responses to the RFP, PPA may choose, in its sole discretion, to enter into negotiations
with one or more Proposers, including a BAFO process, or to terminate the process. Should PPA come to
agreement with a Proposer, the parties shall enter into a legal agreement, the final execution of which
shall be subject to approval of the Board of Directors of the PPA.
3.12
SUBMISSION OF PROPOSALS.
A response to this RFP must be submitted on or before 12:00 P.M. local Puerto Rico time, Friday, December
19, 2014 (such time and date, or any extension or postponement thereof authorized by the PPA by
addendum, is herein referred to as the "Proposal Deadline"). The Proposer shall submit (i) one (1) signed
original of the Proposal with a signed and notarized Proposal Certification Form; (ii) seven (7) copies of
the Proposal and notarized Proposal Certification Form; and (iii) a CD-Rom including all requested
material in PDF format, to:
Carlos Iván Mejía Algarín
Executive Director Port of Ponce Authority
Department of Economic Development and Commerce,
4th Floor, Fomento Industrial Building,
#355 Roosevelt Ave., San Juan, PR 00918
[Tel: 787-765-2900]
Upon arrival at the established receipt facility, Proposers or Proposer’s delivery representative will be asked
to sign and date a registry, which will be used to determine Proposers’ compliance with the Proposal
Deadline.
Proposals shall be submitted in a sealed package(s) marked with the name, address and e-mail address
of the Proposer and the words "RFP 01-14-PPA ". No Proposal, nor any modification of or supplement to a
Proposal, made by telephone, facsimile or other electronic, communications media will be accepted.
Proposers are required to comply with the page limits and contents stipulated in Section 4 - Proposal
Content Requirements and to restrict their submissions to a short letter of transmittal together with the
information specifically requested in Section 4. PPA requests that the letter of transmittal include the firm
name, reference RFP 01-14-PPA, and name, title and contact information of the person responsible for
interfacing with PPA. Marketing materials are not to be submitted as part of a written response.
At any time prior to the Proposal Deadline, a Proposer may submit an amendment to a Proposal previously
submitted. Any such amendment must be submitted in writing in the same manner as the original
proposal. The PPA reserves the right to disregard any amendment submitted that does not indicate clearly
the proposed modifications to the original proposal.
3.13
RECEIPT OF PROPOSALS.
Proposers are solely responsible for delivery of their Proposals. Complete Proposals must be received by
the Proposal Deadline. Proposals or any portions thereof or attachments thereto received after the
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Proposal Deadline will not be accepted. The time of receipt will determine the compliance of Proposals
with the delivery requirements of the RFP.
Any Proposer that determines to deliver its Proposal via U.S. mail or courier of any kind (including local or
international courier or delivery services) will be solely responsible to ensure timely delivery of the Proposal
to the address set forth in Section 3.12, above.
The PPA will not “open” the proposals publicly, but following registration of all proposals received within
the Proposal Deadline, an officer of the PPA will read aloud the names of each proposer which submitted
a timely proposal.
3.14
PROPOSALS RECEIVED AFTER THE PROPOSAL DEADLINE.
Proposals received after the Proposal Deadline, which determination will be made by PPA and which will
be final and binding, will be returned to the Proposer unopened. The PPA will not keep any record of late
submissions, except for the name of the proposer and the time and date of late delivery.
3.15
EVALUATION OF PROPOSALS.
Proposals submitted in accordance with the requirements of this RFP and not rejected as provided in
Section 3.3, above, will be evaluated by the PPA through an Evaluation Committee to be designated by
the PPA, based on the evaluation process and criteria described in Section 5 of this RFP. The PPA's
evaluation will be based upon the information contained in the Proposal, interviews with the Proposers,
and any other relevant information obtained by the PPA regarding Proposer and its Proposal. The PPA
may conduct interviews with Proposers after receipt of Proposals.
The PPA may conduct office visits or site visits to observe one or more of the relevant projects identified
by a Proposer in its Proposal. By submitting a Proposal, a Proposer represents to the PPA that the owners
and operators of the facilities identified by the Proposer have agreed to permit such visits by
representatives of the PPA. Upon completion of its evaluation, the PPA will determine which Proposals are
most advantageous to the PPA and enter into discussions with those Proposers as described in Section 6
of this RFP.
3.16
CLARIFICATIONS SOUGHT BY PPA AND REQUESTS FOR ADDITIONAL INFORMATION.
PPA reserves the right, at its sole option, to contact a Proposer to seek clarification regarding information
contained in its Proposal, but shall have no obligation to do so. The decision to contact and request
clarification from a Proposer rests solely with PPA. In submitting its response, a Proposer should not assume
that it will be provided an opportunity to subsequently clarify or otherwise discuss any feature thereof.
At any time and from time to time after the receipt of responses to this RFP, the PPA may give written
notice to Proposer(s) to furnish additional information relating to its Proposal and may give written notice
to the Proposer(s) to meet with designated representatives of the PPA with respect to its Proposal. Neither
the furnishing of the RFP to the Proposer, nor the submission of any materials, the PPA documents, or other
information by the Proposer, nor the acceptance thereof by the PPA, nor any correspondence,
discussions, meetings or other communications between the Proposer and the PPA, nor anything stated
by the PPA in or at any such correspondence, discussions, meetings or other communications shall be
construed or interpreted by the Proposer to mean that the PPA has made a determination that the
Proposer shall be designated as the Operator, nor deemed to impose any obligations whatsoever on the
PPA to compensate or reimburse the Proposer for any costs or expenses incurred in connection with its
response to this RFP.
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3.17
Port of Ponce Authority RFP 01-14-PPA
RFP S CHEDULE
The schedule for this RFP is as follows:
Item
Date
RFP Issued
October 13, 2014
Requests due for One-on-One Meeting (if held)
November 7, 2014
One-on-One Meetings in Puerto Rico (if held)
November 17-18, 2014
Proposers Questions and Requests for Clarification Due
November 24, 2014
Answers to Proposer Questions and Requests for Clarification via
Addendum
December 2, 2014
Proposal Deadline (12:00 p.m. San Juan time)
December 19, 2014
Short-list Selection Notice (if so determined by PPA)
January 15, 2014
Negotiations with shortlisted Proposer(s) (if so determined)
Jan 16 - Feb 16, 2015
Best and Final Offers (“BAFO”) Due (at 12:00 p.m. San Juan time)
March 2, 2014
RFP Award (if BAFO requested)
March 30, 2015
This schedule is subject to modification at the sole discretion of PPA. PPA will notify potential Proposers of
any change by an addendum to this RFP made available as per Section 3.2 Changes to this RFP.
3.18
PROPOSER ONE-ON -ONE MEETINGS.
As part of the RFP process, PPA will host private meetings on November 17-18, 2014 in Puerto Rico for any
prospective Proposers. Attendees will be able to raise questions and seek clarification on any issues
relating to the Port and the RFP by PPA and its consultants. Please notify PPA of your interest in a one-onone meeting, such notification shall be submitted in writing to [email protected], no later than November
7, 2014. Meetings in Puerto Rico and visits to the Port may be arranged for other dates prior to November
17-18, 2014, but not all PPA consultants will necessarily be available for those meetings.
3.19
REVISED AND FINAL PROPOSALS.
The terms and conditions of this Section 3, with regard to manner of delivery, timely delivery, confidentiality
designations, disqualification due to ex parte communications and other relevant terms, shall also apply
to any Revised and Final Proposals submitted to the PPA during the BAFO stage, if so conducted pursuant
to this Section 3.
4.
PROPOSAL CONTENT REQUIREMENTS.
Proposers are invited to return the following proposal contents together with a short cover letter to PPA.
Total page count for the proposal should not exceed 30 pages, utilizing 11 point Arial type font, exclusive
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of the cover letter. Proposal must be signed by the Proposer, should include a Table of Contents and
follow the below organization to facilitate the PPA's review.
4.1 GENERAL INFORMATION AND EXECUTIVE SUMMARY:
4.1.1 Provide full contact information for a single contact person for Proposer for all future
communications between PPA and Proposer. Identify contact person’s name, title, organization,
work address, email address and work, cell, and fax phone numbers.
4.1.2 Provide an executive summary not to exceed three pages that outlines the Proposer’s
approach to operating the terminal and include a brief summary of the Proposer's key qualifications
and experience.
4.2 QUALIFICATIONS AND EXPERIENCE:
4.2.1
Describe the type of business organization or legal entity (e.g., corporation, partnership, joint
venture) of the Proposer, including:
a) Background information as to the Proposer's legal status, including full legal name,
membership of the board of directors, senior management, corporate history, corporate
mission statement or similar characterization of the Proposer's principal business objectives,
and corporate organizational structure.
b) Legal jurisdiction under which the Proposer is formed and the date organized.
c) Capital structure of the Proposer, including its actual or planned capitalization, its access
to financial guarantees, assets and/or credit support of parent, affiliated or other entities,
and proposer and/or parent company credit ratings if applicable.
4.2.2
Provide clear evidence of financial strength and resources to operate and maintain the
terminal, as indicated by financial statements, and past project performance. Provide audited
financial statements for the past three years and bank or other credit references for each
member of the Proposer’s team in an appendix.
4.2.3
Describe the experience of the Proposer and key individual team members in the
management, operation and maintenance of large-scale container and transshipment ports
or other relevant projects, including:
(a) General description, including name, type, and location.
(b) Scope of involvement.
(c) Current status, including success in growing relevant cargo volumes under similar
management or lease agreements.
(d) Project management responsibilities.
(e) Key personnel, including brief description of project responsibility.
resumes in an appendix.
Include their
(f) References, including name, address, telephone number, and email address.
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4.2.4
Port of Ponce Authority RFP 01-14-PPA
Describe the involvement of the Proposer in terminal operations or the provision of goods or
services to ports or the shipping industry, including in Puerto Rico and the Caribbean.
4.3 APPROACH TO THE PORT OF THE AMERICAS OPPORTUNITY
4.3.1
Provide a Management & Operations Plan that should describe the proposed approach to
managing and operating the terminal. Additionally, address the following:
(a) Proposed terms for a concession agreement including investment and financing; or a
long-term lease & use agreement; or a management contract; or a combination
thereof. The PPA is open to considering any of these concepts of arrangement for the
most viable commencement of Port operation, with preference for a long-term
agreement with investment commitments, and particular interest in promoting
reconstruction of Berths 2 & 3. Provide assumptions for the proposed terms, including
but not limited to revenue and cost projections, and timing of new equipment needs.
(b) Factors that the Proposer deems critical for the successful operation and profitability
of the terminal, and proposed terms to address such factors.
(c) Consideration of the Port’s general cargo, bulk and break bulk, and cruise businesses,
and how such other business lines would fit with the proposed operations of the Port of
The Americas.
(d) Development of additional terminal facilities or modifications of existing facilities, in the
near-term or long-term, and how such development/modifications would be
incorporated into an agreement with PPA.
(e) Consideration of retaining the existing administrative workforce of the Port of Ponce
within the Operator’s proposed organizational structure.
4.3.2
Provide a Marketing Plan that should describe the proposed approach to marketing the
terminal and facilities. Additionally, address the following:
(a) Business development and strategies to increase relevant cargo volumes, indicating
the type of cargo considered, the contemplated sources of cargo volume, the routes
and any other related considerations.
(b) Strategy for promoting the development of a logistic trade zone, through the
attraction of new companies that can establish operations in the Value Added Zones
while doing business with the Port.
(c) If the Proposer has or contemplates having cargo-handling or terminal operations in
other Caribbean jurisdictions, or other ports in Puerto Rico, describe plans for
maximizing cargo volumes in the Port and protecting the Port market share in relation
to such other operations.
4.3.3 Provide an indicative Economic Proposal the proposed approach to the economic structure of
the agreement with the PPA addressing the following:
(a) The amounts the Proposer offers to pay, if any, for (i) Interim Rent during a certain
ramp up period, (ii) Minimum Rent, and/or (iii) Percentage Rent, or a combination
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thereof, or any other economic benefit for PPA during the entire term of the proposed
Agreement.
(b) Anticipated Financial Structure: The Proposal should indicate the proposed lender,
sources of equity, and the proposed financial structure anticipated for the operation,
management and/or development of the Port.
(c) The parameters determining the commencement of payments and/or investment.
(d) All assumptions upon which the proposed offer is being made.
(e) Methodology of calculation.
(f) Terms of payment and/or investment.
Proposed Rent components or economic benefits should be stated in both words and numbers.
In case of discrepancy, words shall prevail over numbers. Proposers may submit an indicative
Economic Proposal in which the economic components attain different values at different traffic
levels. Economic Proposals shall not be considered binding on the Proposer at this initial RFP
stage. Nevertheless, the Proposer should consider that the indicative level and certainty of each
component of the Economic Proposal to the PPA will be part of the evaluation of the Proposal.
The PPA may entertain other payments in lieu of certain preferential rights that the Operator may
wish to exercise at the Port, as well as upfront concession payments or capital investment
together with Minimum Annual Guarantee and Variable Components in lieu of Fixed
Components payments.
Proposers invited to further negotiations and BAFO should carefully review their economic
provisions prior to submittal of Proposal, since the proposed economic components offered by
the successful Proposer as part of any BAFO will be incorporated into the Agreement to be
executed between the PPA and the Proposer, unless PPA determines otherwise through the final
negotiation or BAFO process.
5.
PROPOSAL EVALUATION PROCESS AND CRITERIA.
5.1 EVALUATION PROCESS.
This RFP is open to all entities and firms interested in making an offer to PPA to manage, operate, and/or
further develop the Port of The Americas in Ponce, Puerto Rico, as set forth in this RFP. The PPA will evaluate
all proposals it receives in response to the RFP and will determine, in its sole discretion, the identity of the
short-listed Proposer(s) selected to receive further communications, including an invitation to negotiate
and/or to a BAFO process. There will be no restriction as to the number of Proposers that may be shortlisted.
Once a proposal has been submitted, any changes in the composition of a Proposer team must be
approved by PPA in order for that Proposer to remain under consideration. At any time during the process,
PPA may request additional information or clarification from individual Proposers.
Following submittal of the proposals, the following actions may not be undertaken without PPA’s prior
written consent:
•
Deletion or substitution of a member of the Proposer’s team identified in the proposal;
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Port of Ponce Authority RFP 01-14-PPA
•
Deletion or substitution of an equity owner of Proposer, a guarantor of Proposer or any other entity
that will bear financial responsibility or liability for the performance of the Proposer; and
•
Other changes in the equity ownership or team membership of a Proposer.
Any shortlist under this RFP will be made to the Proposer(s) whose Proposal, in the aggregate, is
determined to provide the most attractive and realistic Management & Operations Plan, Marketing Plan,
and Economic Proposal considering all applicable technical and financial considerations and other
evaluation criteria described in this RFP.
5.2 EVALUATION CRITERIA.
PPA expects that a successful Proposer to the RFP will be able to demonstrate its expertise, skills and
resources to successfully operate and maintain the Ports Facilities and its ability to perform the following
functions and actions:
•
Safely, efficiently and productively manage and operate the Port of The Americas during the
agreement term, including, but not limited to:
o providing a proven management team;
o providing, managing and/or operating a state-of-the-art effective terminal operating
system;
o adhering to industry operating standards for similar port facilities, including, but not limited
to, systems preservation, environmental, tenant alteration, security, policing and risk
management; and
o working successfully with labor.
•
Have sufficient commercial and financial reputation and financial, technical and professional
capacity to undertake the proposed operating and business terms.
•
Have experience in developing, operating, maintaining, managing, and marketing port facilities.
The criteria listed below shall be additional criteria associated to the particular concept of agreement
considered by Proposers, which the PPA will apply to evaluate and shortlist the Proposers to the RFP. All
Proposers shall demonstrate, as part of their respective Proposals, compliance with the minimum
commitments as described in paragraph (a) below. Failure to do so may be grounds for elimination of
Proposer from further participation in this RFP. The comparative criteria described in paragraph (b) below
are not necessarily listed in order of importance. The PPA will shortlist Proposal(s) which it determines to be
most advantageous to the PPA based on a combination of these criteria in function of its goals and
objectives.
(a)
Minimum Commitments:
•
The Proposer shall sign and submit the Proposal Certification Form, included as Appendix A of this
RFP.
(b) Comparative Criteria
•
Proposed Concept of Agreement and Terms.
The PPA's evaluation will include analysis and comparison of the proposed types of agreements
and the terms submitted by each Proposer for the proposed agreement, to evaluate the
arrangement that better promotes commencement of operations within the current and
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expected market conditions of the maritime industry and stability of operation in the long term, as
well as promotion of Port development and PPA objectives.
•
Indicative Economic Proposal.
The PPA's evaluation will include analysis and comparison of the Economic Proposals submitted
by each Proposer to evaluate the overall economic return to the PPA of the combined
components of each Proposal. For purposes of this evaluation, the PPA may determine the
potential economic return by applying the Proposal to revenue and expense projections based
on the operations plan provided by the Proposers and by applying the Proposal to revenue and
expense projections developed by the PPA.
•
Ability to Operate and Finance Operation; or Operate, Develop and Finance further
development of Port Facilities.
o Proposer's experience in the operation, development, construction and/or financing of
similar projects according to its particular proposal.
•
Proposed Management & Operations Plan.
o Experience and capability of the Proposer in successfully managing port facilities.
o Comprehensiveness and overall quality of the proposed operations plan, demonstrating
the Proposer's ability to provide first-rate operations in this location.
o Ability of Project operations plan to enhance PPA operations.
o Proposer's program for maintenance and required rehabilitation of Port facilities during
operation term.
•
Proposed Marketing Plan.
o Strategic commitment to bring business to PPA and plan for further Port development if
proposal includes such a commitment.
•
Commitment to Execute the Final Agreement for Port Operation.
o Constructive suggestions for the proposed Agreement to be executed between selected
operator and PPA.
•
Local Commitment.
o Demonstrated commitment to the creation of quality, living-wage, stable, full and parttime permanent jobs through operation of similar facilities.
o Demonstrated understanding that labor strife may jeopardize the PPA's financial interest in
revenues and other projected benefits from the Port and Proposer's plans to reduce the
risk of such labor strife.
o Consideration of maintaining existing Port of Ponce administrative workforce within new
organizational structure of Operator.
•
Capability of providing a sound and profitable marketing plan for Port of The Americas that results
in ongoing economic benefit for the Commonwealth.
•
Attractiveness of business plan and the ability to carry it out, which may require PPA’s assessment
of the dependability of the commitment to meet annual volume goals.
•
Ability to bring existing cargo volume, routes, vessels and technology to the Port of The Americas,
and promote reasonable business growth in the Port through commencement of operations
onward.
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PORT OF THE AMERICAS
6.
Port of Ponce Authority RFP 01-14-PPA
•
Ability to collaborate in the attraction of companies to establish in the Ports Value Added Zones
to help promote both Port and Value Added development.
•
Quality of the proposal with respect to the overall goals of PPA to promote economic growth and
job creation in the Region.
AWARD AND EXECUTION OF FINAL AGREEMENT.
6.1 AWARD OF RFP AND EXECUTION OF AGREEMENT.
Based on its evaluation of Proposals as described above, followed by a shortlist, negotiations and Best
and Final Offers (each, a “BAFO”), if so determined by PPA as described in this RFP, the PPA will determine
which Proposal is most advantageous to the PPA. Based upon final negotiations and BAFO (as
applicable), the top-ranked Proposer will be notified in writing by U.S. Postal Service “Express Mail” next
day delivery service or similar express delivery service, return receipt requested to the contact person
identified in the Proposer’s Proposal at the address stated therein and by e-mail sent to the e-mail address
provided for the Proposer’s contact person.
The PPA and the top-ranked Proposer shall proceed to finalize negotiation and execute the proposed
Agreement with such modifications as may have been permitted by the PPA through any final
negotiations. If for any reason the PPA and the top-ranked Proposer have not agreed upon and executed
the proposed Agreement by thirty (30) calendar days after the date of the PPA's notice to the Proposer,
then, unless the PPA in its sole discretion elects to extend the time, the PPA may, in its sole discretion and
without incurring any liability to the Proposer, terminate or suspend negotiations with the Proposer. In such
event, the PPA may proceed to finalize and execute an Agreement with another Proposer, under the
same guidelines described above, including, at the discretion of the PPA, termination or suspension of
unsatisfactory negotiations after thirty (30) calendar days, and subsequent negotiations with another
Proposer.
6.2 GOVERNOR AND BOARD OF DIRECTORS APPROVAL.
In all cases, the determination of the Selected Proposer and the award of Agreement to be executed
between the PPA and such Proposer shall be subject to the approval and recommendation of the Board
of Directors of the PPA, and in the event that the PPA determines to award a concession agreement,
such award may be subject to the approval of the Governor of Puerto Rico or his designated
representative.
6.3 PROTESTS, RECONSIDERATIONS AND JUDICIAL REVIEW.
Each Proposer, by submitting its Proposal, expressly agrees to be bound solely and exclusively by the
provisions of Puerto Rico law and regulations on public contracting and to the rights and remedies
provided to the Proposer thereunder.
Any Proposer adversely affected by a notified decision made by the PPA in connection with the
evaluation, shortlist, and award procedures provided in this RFP may submit a request for reconsideration
(“Reconsideration”) via courier or certified mail to the PPA at:
Carlos Iván Mejía Algarín
Executive Director Port of Ponce Authority
Department of Economic Development and Commerce,
4th Floor, Fomento Industrial Building,
#355 Roosevelt Ave., San Juan, PR 00918
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The PPA must receive the Reconsideration no later than the tenth (10th) consecutive day after the date
of notice of Contract Award or Proposer elimination at or before 4:00 pm on the Reconsideration
Deadline, which shall be any Business Day which is not later than ten (10) days after the notification of
said decision. The Reconsideration shall be in writing, shall state the name and address of the requesting
Proposer, shall contain a detailed and accurate statement of the legal and factual grounds for the
Reconsideration, including copies of relevant documents, and shall specify the relief requested.
Evidentiary statements, if any, shall be submitted under penalty of perjury. Failure to file a Reconsideration
within the applicable ten-day period shall constitute a waiver of the right to seek reconsideration of the
decision. The failure of a Proposer to raise a specific ground for a request for reconsideration with respect
to a decision within the time period set forth above shall preclude consideration of that specific ground
in such request for reconsideration, and so may be dismissed or denied without reconsideration. A request
for reconsideration shall be considered filed at the PPA on the hour and date it is stamped as received
by the PPA. A request for reconsideration that fails to comply with the time limits or procedures stated in
this section or provided in applicable laws or regulations may be dismissed or denied without
consideration.
A Reconsideration shall not stay the actions of the PPA relating to the procurement process. If a
Reconsideration is filed, the PPA shall proceed with BAFOs, negotiations and/or award or execution of the
Final Agreement, unless the PPA determines that it is in the public interest to defer the award of the Final
Agreement until the Reconsideration is resolved. If the PPA concludes that the Proposer filing the
Reconsideration has established a basis for reconsideration, the issue will be submitted to the Board of
Directors of the PPA to determine whether the Final Agreement should be awarded before the
Reconsideration is resolved.
The Board of Directors of the PPA shall consider the Reconsideration within ten (10) calendar days from
the date of filing of the Reconsideration. Unless otherwise required by law, no evidentiary hearing or oral
argument shall be provided, except, in the sole discretion of the PPA, a hearing or argument may be
permitted if necessary for the protection of the public interest or an express, legally recognized interest of
a Proposer. If the Board of Directors makes a determination, the term to petition for judicial review of such
determination shall commence as of the date a copy of the notice of the decision of the Board is filed. If
the Board takes no action with respect to the request for reconsideration within the aforementioned ten
(10) day period, it shall be understood that the reconsideration was denied and the term for judicial
review shall commence to run as of that date.
In lieu of a Reconsideration, a Proposer which deems it has been adversely affected by the determination
of the PPA as to Proposer qualification, Proposal evaluation or Contract award may file a request for
judicial review before the Puerto Rico Appeals Court no later than ten (10) calendar days after the date
of notice of determination under challenge, pursuant to the Puerto Rico Administrative Procedures Act.
The 10-day term stated herein is jurisdictional.
6.4 DISQUALIFICATION.
The PPA reserves the right, in its discretion, to disqualify any team, firm, or individual from any phase or
component of the designation process or this business opportunity, due to felonious or other criminal
record in any jurisdiction (domestic or foreign); or for otherwise providing inaccurate information in the
Proposal submitted as part of this RFP.
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Port of Ponce Authority RFP 01-14-PPA
APPENDIX A
PROPOSAL CERTIFICATION AND SWORN STATEMENT
PORT OF PONCE AUTHORITY
REQUEST FOR PROPOSALS 01-14-PPA
PROPOSAL CERTIFICATION FORM
I, _______________________, resident of ________________________, of legal age,
being duly sworn on my oath to depose and say that:
I am _______________________ (title) of the firm of
____________
__________ (the Proposer”), which has made the Proposal to the Ponce Port
Authority (“Authority”) for the Operation of the Port of The Americas (“Port”); that I
executed said Proposal with full authority to do so; that all statements contained in said
Proposal and in this affidavit are true and correct, and made with full knowledge that
the Authority relies upon the truth of the statements contained in said Proposal and in
the statements contained in this affidavit in awarding the agreements for said Port
Operation; that the Proposer has not, directly or indirectly, entered into any agreement,
participated in any collusion, or otherwise taken any action in restraint of competition
in connection with the above named Port Operation; and that neither the Proposer nor
any person associated therewith in the capacity of owner, partner, director, officer,
project director, manager, auditor or any other member of the Proposer’s Team
(including any firm or individual) has been indicted or convicted for any felonious act
or other crime in the Commonwealth of Puerto Rico or any other jurisdiction (domestic
or foreign); and, furthermore that neither the Proposer nor any member of the Project
Team is currently in or will enter into any contract, business or other type of relationship
resulting in a conflict of interests with the Authority.
The undersigned hereby authorizes any requests from any person, firm or corporation to
disclose or furnish any information requested by the Authority in verification of the
recitals comprised in this Proposal.
Further, that the Proposer hereby expressly authorizes the following named Proponent
Official to bind the Proposer and exercise any relief granted to the Proposer in any
matter relating to this Proposal:
In connection with the submission of the Proposal, the Proposer hereby warrants and certifies to
the Authority that:
1. Examination of RFP. The Proposer has carefully examined and accepts all requirements
and conditions of the RFP and is fully familiar with applicable conditions, including
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Port of Ponce Authority RFP 01-14-PPA
regulatory, environmental and legal requirements applicable to the services and the
contract.
2. Proposal Validity. All terms and conditions of the Proposal shall remain valid for a period
of One Hundred Eighty (180) days from the Proposal Deadline (as defined in the RFP).
3. Addenda. The Proposer has reviewed any and all Addenda to the RFP and has
incorporated the information contained therein as applicable:
# Addendum
Date of Addendum
__________
_______________
__________
_______________
__________
_______________
__________
_______________
__________
_______________
__________
_______________
__________
_______________
__________
_______________
4. Proposal Made in Good Faith.
•
The Proposal has been prepared and submitted in good faith and has been duly and
properly authorized for submission on behalf of the Proposer.
•
In preparation of the Proposal, the Proposer has not, directly or indirectly, solicited or
received any advice, assistance or information concerning the Port Operation from any
representative of the Authority, its agents or consultants which was not equally available
to other Proposers and which might contribute to an actual or potential competitive
advantage for the Proposer.
•
The Proposal is made without collusion or fraud with any other person or entity in restraint
of competition in connection with the above named project.
•
The Proposer will be licensed to do business in Puerto Rico prior to the execution of the
Final Agreement to be executed with the Authority.
5. Information Submitted. The Proposer understands and agrees that the Authority's receipt
or discussion of any information (including information contained in the Proposal and any
ideas or other material communicated or exhibited by the Proposer or on its behalf) shall
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not impose any obligation whatsoever on the Authority or entitle the Proposer to any
compensation therefore, except to the extent specifically provided in such written
agreement as may be entered into between the Authority and the Proposer. Any such
information given to the Authority before, with or after submission of the Proposal, either
orally or in writing, except as provided in the RFP, is not given in confidence, and may be
used or disclosed to others, for any purpose at any time without obligation or
compensation and without liability of any kind whatsoever. Any statement which is
inconsistent with the terms of this paragraph, whether made as part of or in connection
with, any information received from the Proposer or made at any other time in any
fashion, shall be void and of no effect.
6. Execution of Final Agreement and Completion Guaranty. If the Proposer is shortlisted and
ultimately selected for award of the Final Agreement, the entities that would execute the
Final
Agreement
are:
______________________________________________
_____________________________________________________________________________________
_____________________________________________________________________________________
_____________________________________________________________________________________
_____________________________________________________________________________________
7. Operator’s Exclusivity Agreement. By signing this Proposal Certification and Sworn
Statement, the Proposer represents that it is not in violation of another exclusivity
agreement with any other owner, developer and/or operator of a port, either existing or
proposed for development.
IN WITNESS THEREOF, the Proposer has executed this Proposal Certification Form and Sworn
Statement on the _____ day of _______________, 2014.
[When Proposer is a joint venture, each member of the joint venture shall execute a copy of this Proposal
Certification Form.]
(Corporate Name)
(Address of Corporation)
By
Notary Public
(Signature of Corporate Officer)
My Commission Expires;
(Printed Name of Officer)
Date
October 13, 2014
(Office held by signatory)
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