Presenter: Stephen Young Legal Counsel

Dept. of Rehabilitation & Correction 770 West Broad St.

Columbus, OH 43222 (614) 752-1784

Executive Summary Purpose.

Ohio Department of Rehabilitation and Correction (ODRC) seeks competitive sealed Bids from qualified vendors (“Bidders”) for installation, stocking, servicing, maintenance and repair (i.e., proper operating condition) of all vending machines (“Project”) at the Institution.

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If an acceptable (i.e., responsive, responsible, and highest point total) Bid, ODRC may enter into a contract, to have Bidder perform Project for a two year term with two optional one-year renewals.

Contractor provides vending machines of agreed types and agreed locations for sale of food products, non-alcoholic beverages, and other such articles.

ITB provides details on what is required to submit a Bid, how ODRC evaluates Bids and what is required to execute a contract.

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ODRC Demographics. ODRC’s has (number) employees and annual vending sales of $_______.

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Scope of Project ODRC Responsibilities

ODRC provides a secured storage area, heat, lighting, hot and cold water, and electricity but not beyond design capacities. ODRC doesn’t assume liability/responsibility for safe keeping of Contractor’s stored products.

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ODRC completes a criminal background.

Contractor’s Scope of Work for Vending Services

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1. Provide vending machines, equipped to accept one and five dollar bills, listed in Attachment One without charge. Parties may install additional machines. Contractor is owner of and retains title to, all machines and all contents thereof.

2. Provide personnel (days of the week) to fully stock machines.

3. Employees subject to health examinations as required by city, state or federal authorities.

4. Not permit any personnel to enter Institution if not

reasonably acceptable to ODRC. 5. Employees must be in uniform that identifies company

name and logo.

6. Maintain records of all products sold and gross proceeds for each product and permit records to be examined by ODRC.

7. Emergency contact telephone number, available 7 days/week, 24 hours/day for a service response time of not more than [number of hours, e.g., 4] from time of call.

8. Maintain machines in clean and sanitary condition, and dispose of trash.

9. Provide refunds in a timely manner to customers who fail to receive goods as well as damaged goods, outdated goods, and unsatisfactory goods.

10. Meet as needed, at least quarterly, with Contract Monitor, to discuss contract performance and compliance. Contract Monitor reviews all products sold in employee vending areas on a quarterly basis and determines selection of items to be stocked.

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11. Portion sizes and selling prices of vending items are fixed for contract term. Any request for a price or portion size change is submitted to Contract Monitor for approval only if Contractor documents cost increase of at least 5%.

12. All packaged foods are marked with last date of sale and not

offered beyond expiration date. 13. Make monthly commission payments to ODRC based on a fixed

percentage paid on gross sales adjusted for taxes as set forth in Attachment Three and submit documentation supporting gross sales. Commissions are calculated according to monthly sales utilizing cash meter readings. Contractor and Contract Monitor verify readings, quarterly.

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Requirements for Bids Bid Format.

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Bid must include sufficient information to allow Evaluation Committee (Committee) to verify all aspects of ITB to ensure all of Bidder’s claims of meeting ITB’s requirements. Instructions describe format for a responsive Bid. All required specifications must be met for Bid to be responsive.

Bidder Profile Summary.

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Using Attachment Two, Bidder must show at least two years experience providing and servicing vending machines at sites comparable to Institution. Information includes: company name and address, contact person and phone number, beginning date of project (month/year), and ending date of project (month/year). Responsibility review.

Statement of Compliance.

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Bidder must state agreement to contractually comply with all requirements in ITB as well as contract terms and conditions. If any such requirement that Bidder is unable to contractually comply, Bidder must provide a detailed statement as to why that requirement cannot be met.

Available Products and Pricing.

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Bidder submits list of available food products to be vended, including portion sizes and selling prices, to provide a menu of vended items.

Commission and Price Worksheet.

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Using Attachment Three, Bidder submits percentages of commissions to be paid on sale of all vended items, including cold (perishable) food. Upon contract award, ODRC may negotiate an advancement of commission.

Attachment Three lists thirty-two items to be vended. Bidder submits name brand, portion size, selling price, and cost per ounce for each of these items. Bidder submits average cost/oz., for each of four vending categories (hot and cold beverages, snacks, and cold foods), by totaling cost/oz. for four items and dividing by four. THIS INFORMATION ALONG WITH VENDOR’S COMMISSION, ARE USED TO EVALUATE BIDS.

Evaluation of Bids Bid Evaluation.

Using cost/oz. provided in Attachment Three, Committee determines an average cost/oz. for each of four categories (hot and cold beverages, snacks, and cold foods) then totaled for a single dollar amount.

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Maximum number of points (20) awarded to lowest totaled single dollar amount for vends. Remaining bids awarded points based on their totaled single dollar amount with each subsequent higher totaled single dollar amount receiving a one-point reduction (e.g., 19 … 18…).

Similarly, Committee awards maximum number of points (20) to highest percentage of commission offered. Remaining bids awarded points based on percentage of commissions offered with each subsequent lower percentage of commissions offered receiving a one-point reduction (e.g., 19…18…).

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Points for totaled single dollar amount and commissions are added together for a possible total of forty points. Highest total points determines contract award if Bidder responsive and responsible.

If a tie for highest total points, Committee multiplies prior fiscal year’s sales by offered commission and highest total dollar amount gets contract award.

Bidder’s History of Contract Performance. Committee conducts evaluations of each Bidder by contacting current and/or past customers taken from Attachment Two to determine whether Bidder is responsible that is a track record of successfully meeting critical vending service requirements with a good working relationship between customer and Contractor.

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Contract Award. Contract (Attachment 4) awarded to responsive and responsible Bidder with highest point total.

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