2017 CONCESSIONS RFP PHASE 2

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1 2017 CONCESSIONS RFP PHASE 2 Metropolitan Airports Commission Presenters Eric Johnson Liz Grzechowiak

2 2016 COMMISSION PRESENTATIONS AUGUST RFP process overview SEPTEMBER Business terms and MAC RFP review OCTOBER M&O proposed RFP overview and recommendations RFP overview and recommendations NOVEMBER M&O Request for recommendation to publish Phase 2 RFP Commission Request for authority to publish Phase 2 RFP

3 AGENDA Definitions Unit descriptions Alternates Employment Practices Commission Action Requested

4 DEFINITIONS Batch: A Batch is one or more Units offered together under one lease. Phase 2 includes seven batches. Unit: A Unit is an individual space or location. Phase 2 includes nineteen units. Concept: A Concept is the name or brand of a concession. A food court is considered a Unit but may be made up of several Concepts within the Unit. Phase 2 includes concepts depending on the proposed food court Units. Alternate: A Concept offered in the alternative for MAC s consideration that could be substituted for another Concept proposed. Alternates may, but need not be, designated with a proposer s preference the concept selected.

5 OVERVIEW 7 Full Service Restaurants and Bars 4 Limited Service Restaurants and Bars 19 Units Concepts 4 Food Courts (with a minimum of 14 concepts up to 19 concepts) 4 Other (2 coffee units, 1 Juice Bar, 1 Snack concept)

6 RFP DEVELOPMENT Historical sales at MSP Commission Feedback Benchmark RFP Insights From Interested Parties Trends Consultants

7 ALTERNATES RFP should give structure and guidance Unit descriptions developed for overall balance Unit descriptions not a minimum qualification of responsiveness One alternate concept allowed for each batch Alternate may or may not conform to unit description

8 EVALUATION CRITERIA 400 points 300 points 200 points 200 points 100 points Concept, Merchandising and Design Plan Rent Offer Management & Operations Plan Employment Practices ACDBE Participation 1,200 POINTS

9 EMPLOYMENT PRACTICES (200 points) MAC desires harmony between concessionaire s labor and management and believes that a happy, healthy workforce is an effective workforce. RFP requires proposer to provide information regarding labor and training practices proposed to accomplish MAC s goal of improving the employee working environment such that quality employees seek out the opportunity to work at MSP. Proposers required to describe: Wages Employee transition, recruitment, hiring of existing employees and compensation Approach to labor harmony Motivation programs or incentives Customer service training programs Training programs for those with disabilities English as a Second Language (ESL) training

10 EMPLOYMENT PRACTICES cont. (200 points) Proposers required to describe: Benefits Health, Life and Dental insurance coverage Employee premiums / flex spending plans Co-pay values Annual maximum benefit plans Pension / retirement plans Vacation / sick / personal leave / holidays plans

11 COMMISSION ACTION REQUESTED RECOMMEND TO THE FULL COMMISSION: AUTHORIZATION TO ISSUE AN RFP FOR FOOD AND BEVERAGE CONCESSIONS; APPROVAL OF THE BUSINESS TERMS, MINIMUM QUALIFICATIONS, EVALUATION CRITERIA AND REVIEW TEAM CONSISTENT WITH THE TERMS OF THE STAFF MEMORANDUM TO THE MANAGEMENT AND OPERATIONS COMMITTEE; AUTHORIZE THE CHAIRMAN OR THE EXECUTIVE DIRECTOR/CEO TO ADD/OR SUBSTITUTE MEMBERS OF THE REVIEW TEAM WITH PEOPLE WITH SIMILAR QUALIFICATIONS, IF IT WOULD FURTHER THE GOALS OF THE COMMISSION; AUTHORIZE THE EXECUTIVE DIRECTOR/CEO OR HIS DESIGNEE TO EXECUTE THE NECESSARY DOCUMENTS.

12 QUESTIONS?