REQUEST FOR INTEREST (RFI): RECRUITMENT OF GROCERY STORE DEVELOPMENT IN UNDERSERVED NEIGHBORHOODS

Transcription

1 REQUEST FOR INTEREST (RFI): RECRUITMENT OF GROCERY STORE DEVELOPMENT IN UNDERSERVED NEIGHBORHOODS DEADLINE: MAY 1, 2011 BY 5:00 PM (PACIFIC TIME) TRANSLATION SERVICES AVAILABLE UPON REQUEST

2 Executive Summary Through this Request for Interest (RFI), the Portland Development Commission (PDC), the urban renewal agency for the City of Portland, Oregon (City) and the Bureau of Planning and Sustainability (BPS) are seeking to initiate discussions with grocers to address the needs of communities in Portland where access to affordable, healthful food and other products that meet daily needs is limited. The aim of this RFI is to attract full-service grocery stores to Portland business districts and neighborhoods that are currently underserved, with a focus on areas with lower incomes and greater distance from existing affordable and healthful food options. This RFI is a key implementing action of the Neighborhood Economic Development Strategy, which seeks to revitalize commercial corridors and support neighborhood-serving businesses. This RFI also complements the concept of Health Connected Neighborhoods, a strategy in the draft Portland Plan, in which residents can safely and easily walk, bike or travel by wheelchair to local services and amenities that meet household needs, and have access to healthful food that is safely accessible via multiple modes of transportation. PDC and BPS will consider special incentives to grocers and/or development teams that locate grocery stores in designated underserved areas. Please refer to Section 3 for a definition of underserved areas. Assistance may also be given to grocers that locate in areas where there is more of a proven market if the grocer also commits to locating in an underserved area within 3 to 5 years. Please refer to Section 6 of this RFI for details on potential incentives. PDC and BPS want to help a grocery store locating in an underserved area to accomplish its business objectives. It is recognized that any decision to locate in a Portland neighborhood will be based on sound economic analysis by the grocery store. Those interested in submitting a response should, at a minimum, address the Response Requirements outlined in Section 7 of this RFI. Based on submittal review, selected submittal(s) may move into a Memorandum of Understanding (MOU) or Disposition and Development Agreement (DDA) with PDC. Responses by mail or (only) are due at the PDC offices no later than the day and time listed above and addressed to: Bernie Kerosky Portland Development Commission 222 NW Fifth Avenue Portland, Oregon Phone: keroskyb@pdc.us See Response Requirements in Section 7 and Submittal Instructions in Section 8 below. Page 2 of 7

3 2. Background The location of grocery stores can impact eating habits and there is a widespread belief that communities suffer without direct access to an affordable full-service grocery store. Product selection and affordability are also issues. One study showed that people living within 0.6 miles of a grocery store were half as likely to be overweight than those who live in neighborhoods without a food store. 1 Over 70 percent of Multnomah County residents fail to eat the recommended five or more fruits or vegetables a day 2 and 60 percent of County residents are overweight or obese. 3 Health benefits of a nearby full-service grocery are becoming increasingly well-documented and there is ample evidence that convenient access to a supermarket increases fruit and vegetable consumption, particularly in low-income communities and communities of color. This RFI encourages business district revitalization and supports the draft Portland Neighborhood Economic Development Strategy. A 2009 economic impact study of new or expanded grocery developments conducted by the Michigan Department of Agriculture found that, on average, for a new supermarket the total economic impact is estimated to be $42.6 million with a total employment increase by Definitions Full-Service Grocery Stores, for the purposes of this RFI, are defined as those that provide a full complement of healthful fruits, vegetables, grains, meat and dairy products along with household items. Underserved Areas, for the purposes of this RFI, are defined as Portland census tracts that have a Median Household Income (MHI) below the Portland MHI of $54,352, a center (of the census tract) more than one-half mile from a full-service grocery store by way of the street network, and a population density of over 2,500 persons per square mile (see Attachment A.- Grocery Stores: Distance, Density and Income Map ). Note: Refinement of the criteria may occur through this process to further refine eligible areas in order to advance the Healthy Connected Neighborhoods concept. 4. About the Portland Development Commission and the Bureau of Planning and Sustainability PDC was created by a vote of Portland citizens in 1958, PDC serves as the economic development and urban development agency for the City of Portland, Oregon. In 2008, PDC celebrated its 50th anniversary. Throughout the past five decades, PDC has played a key role in making Portland one of America s most livable cities. Our mission is to achieve Portland s vision of a diverse, sustainable community with healthy neighborhoods, a vibrant central city, a strong regional economy and quality jobs for all. Today, PDC is internationally recognized as a model for urban renewal success and sustainable practices. To create and enhance a vibrant city, BPS combines the disciplines of planning and sustainability to advance Portland s diverse and distinct neighborhoods, promote a prosperous and low-carbon Page 3 of 7

4 economy, and help ensure that people and the natural environment are healthy and integrated into the cityscape. 5. Policy and Project Goals The purpose of this RFI is to prompt discussions and generate interest from grocers or grocer/developer teams that will eventually bring full-service grocery stores that provide a complete complement of healthful foods to areas of Portland that are currently underserved. Grocers are encouraged to identify any particular niche or market that can best meet the needs and interests of a particular neighborhood; for example, many areas that are currently underserved have expressed interest in culturally-appropriate products that respond to the demographics of the surrounding neighborhoods. In addition, PDC will seek proposals that support the draft Portland Plan Healthy Connected Neighborhoods strategy and encourage business district revitalization per the Neighborhood Economic Development Strategy. PDC and BPS encourage proposers to be innovative. Submittals could include a single grocer or two grocers, such as a large grocer teaming up with smaller specialty grocer to reflect opportunities to expand social equity and culturally diverse grocery experiences. Consideration will also be given to a grocer that locates a store in a proven market in the near future and commits to opening a second store in an underserved area within three to five years. PDC and BPS will also give consideration to concepts which include housing or other mixes of compatible uses. Areas and census tracts in the east, south/east, and north of Portland appear to be in greatest need for additional grocery stores. Please refer to Attachment A. Grocery Stores: Distance, Density and Income Map. This RFI represents an opportunity for public/private partnership. 6. Potential Incentives PDC and BPS may offer a package of funding and technical assistance to selected proposers that can best meet this challenge. The menu of funding and incentives may vary, depending on the location and type of the proposed approach. Incentives may include: I. City Incentives A. Reduction or payment of system development charges. B. Reduction or payment of permitting fees and / or an expedited process. C. Potential tax abatement for commercial portion of the development. D. Technical assistance to facilitate opening a full-service grocery store or alternative in an underserved area, such as small business start-up consulting services; data and zoning analysis to identify and evaluate viable sites; and/or linkages to existing community groups involved with equity and food access initiatives. II. PDC Incentives (depending on availability and area of City) Page 4 of 7

5 A. Contribution of land or reduction in price of land (if owned by PDC). B. Reduced interest loans for predevelopment, acquisition, and development. C. Working capital loans. D. Assistance with obtaining unconventional financing such as New Markets Tax Credit financing, Historic Rehabilitation Tax Credits, HUD 108, CDBG or SBA loans. E. Storefront Improvement Program and Development Opportunity Services grants. 7. Response Requirements At a minimum, the following items must be included in the response: 1. Information about the organization that includes, if applicable, current location(s), facilities characteristics, and products offered at each location. 2. Identified areas in the city that the organization would consider locating or expanding. 3. Probable size and characteristics of the potential grocery store. In addition to the above information, though not a requirement of submission, PDC and BPS would be interested in learning the following from: 1. Potential challenges your organization may face locating in the identified areas and how, if possible, PDC and PBS could help you overcome these challenges. 2. Potential sites of interest. 3. A list of potential development partners. Special consideration will be given to partnerships between larger and smaller grocers and/or ethnic specialty stores that are currently operating in or around Portland. 8. Submittal Instructions, Requests for Clarification and Changes to this RFI RFI responses may be submitted either by or mailed in paper format or on a compact disk or flash drive. Electronic responses should be in either Adobe Acrobat (.pdf) or Microsoft Word (.doc) format. Responses must be submitted to Bernie Kerosky by 5:00 PM (Pacific Time) on May 1, Questions about any matter contained in this RFI should be ed to Bernie Kerosky (mail to: keroskyb@pdc.us) no later than ten (10) business days prior to the deadline of this RFI. All material changes or clarification of any matter contained in this RFI will be published in the form of a written addendum to this RFI at this location on the websites of PDC: BPS and PDC may make a courtesy effort to notify interested parties that an addendum has been published, but BPS and PDC are under no obligation to do so. As such, parties interested in this RFI should refer frequently to the websites for this RFI. BPS and PDC may also load supplemental information about this RFI to that location on the PDC web site as well. Page 5 of 7

6 9. Reviewing Responses All complete and responsive submittals received prior to the deadline for submissions will be evaluated based on the information submitted in response to Section 7, as well as any related information that BPS and PDC may discover in analyzing or verifying information submitted in the response or subsequently requested. As this is a request for information only, this RFI may lead to one of the following five outcomes: A request for additional information from RFI respondents. The issuance of a Request for Proposals (RFP) or Request for Qualifications (RFQ) to respondents chosen as part of this RFI. The issuance of a RFP or RFQ that is open to all respondents. Direct negotiations through an MOU and/or DDA with respondents selected as part of this RFI. Termination of this RFI process without the selection of any respondents or issuance of an RFP or RFQ. Evaluation of submittals will be completed by May 31, Terms of this RFI This RFI is not a request for competitive proposals and is not subject to the Oregon Public Contracting Code (ORS 279). This RFI in no way obligates BPS or PDC to enter into a relationship with any entity that responds to this RFI or limits or restricts BPS and PDC s right to enter into a relationship with an entity that does not respond to this RFI. In their sole discretion, BPS and PDC may pursue discussions with one or more entities responding to this RFI or none at all. BPS and PDC further reserve the right, at their sole discretion, to cancel this RFI at any time for any reason. To the extent that BPS and PDC elect to enter into a relationship with an entity regarding a development proposal, such entity shall be required to comply with BPS and PDC s policies, including PDC s Business and Workforce Equity Policy in connection any work undertaken on such proposal. Information provided to BPS and PDC in response to this RFI will become the property of BPS and PDC and will be subject to public inspection in accordance with the Oregon Public Records Law, ORS , and et seq. If an entity responding to this RFI believes that a specific portion of its response constitutes a trade secret under the Oregon Public Records Law (ORS ) and is, therefore, exempt from disclosure, the entity must clearly identify that specific information as a trade secret. Identification of information as a trade secret does not necessarily mean that the information will be exempt from disclosure. BPS and PDC will make that determination based on the nature of the information and the requirements of the Oregon Public Records Law. Page 6 of 7

7 Attachment A. Grocery Stores: Distance, Density and Income Map Appendix Documents and Sites Referenced in this RFI 1 Hatherly, Joanne, Distance from grocery store determines weight: Study, Vancouver Sun, April 6, Accessed on May 14, 2009 at /story.html. 2 Centers for Disease Control and Prevention (CDC). Behavioral Risk Factor Surveillance System Survey Data. Atlanta, Georgia: U.S. Department of Health and Human Services, Centers for Disease Control and Prevention, Department of Human Services, Physical Activity and Nutrition Program, Oregon Overweight, Obesity, Physical Activity, and Nutrition Facts, January 2007 Page 7 of 7