Economic Development Opportunity Lease of Industrial Building

Agency: San Juan County
State: New Mexico
Type of Government: State & Local
NAICS Category:
  • 236210 - Industrial Building Construction
  • 236220 - Commercial and Institutional Building Construction
  • 531120 - Lessors of Nonresidential Buildings (except Miniwarehouses)
  • 541611 - Administrative Management and General Management Consulting Services
Posted Date: May 17, 2020
Due Date: Jun 10, 2020
Solicitation No: 19-20-25
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Economic Development Opportunity Lease of Industrial Building
  • Category: Request For Proposal (RFP)
  • RFP Number: 19-20-25
  • Start Date: 05/17/2020
  • Close Date: 06/10/2020 5:00 PM

Economic Development Opportunity Lease of Industrial Building

Exhibit A

Exhibit B


Attachment Preview

REQUEST FOR APPLICATION 19-20-25
ECONOMIC DEVELOPMENT OPPORTUNITY
LEASE OF INDUSTRIAL BUILDING
County Executive Office
Deadline to Submit Applications: June 10, 2020
Time: 5:00 PM (Local Time)
NIGP Code: 971.35 Lease of Land
Jaime Jones
Contract Analyst
Phone: 505-334-4548
Fax: 505-334-4561
E-mail: jjones@sjcounty.net
RETURNED APPLICATIONS TO:
SAN JUAN COUNTY
Purchasing Department
213 S. Oliver Drive
Aztec, NM 87410
INTRODUCTION/SCOPE OF APPLICATIONS.
San Juan County is soliciting applications for lease of a 45 acre tract of land and industrial
building to support an industrial based company. The 41,937 sq. ft. building is located on land
owned by San Juan County approximately 16 miles north of Farmington on Hwy. 170. The facility
was constructed in 1985 and served as the headquarters for BHP Billiton’s La Plata mine
headquarters until 2006. The facility is currently unoccupied. The facility consists of a shop and
truck bay with an overhead gantry crane (19,283 sq. ft.), warehouse space (8,233 sq. ft.), lower
level locker rooms and support areas (5,778 sq. ft.) and office space (8,623 sq. ft.). See attached
Exhibit B for Building Plan.
San Juan County’s currently leases an adjacent 8.66 acre tract of land just west of the 45
acre tract to PESCO, Inc. In addition, a 7.25 acre tract of land immediately to the north of the
property is leased to Kinder Morgan. The successful applicant must be willing to work with
adjacent lessees. See attached Exhibit A for site map.
The economic development generated by the lease of the industrial building and land
may qualify as a Local Economic Development Act (LEDA) project pursuant to Sections 5-10-1 to
5-10-13 NMSA 1978.
If the project fails to qualify under LEDA, the lease may require State Board of Finance
approval pursuant to Section 13-6-2.1 NMSA 1978 if the lease is for a period of five years or
more or for a consideration of more than $25,000.00. If applicants wish to request incentives,
please refer to the above citations for LEDA.
Page 1 of 10
GENERAL CONDITIONS.
The following conditions are applicable to all offers:
A. San Juan County is providing the building, the proposed necessary surrounding
land, and access to the property via the current access road in its present condition
for lease.
B. Negotiations may be conducted, at the County’s discretion, with the Offeror or Offerors
whose applications are reasonably likely to be selected for award.
C. Offerors submitting applications may be asked to discuss the application with County
personnel after the deadline for submission of applications.
D. The County reserves the right at any time before award of a written contract to reject
any or all applications, waive technicalities, re-advertise or to otherwise proceed in the
best interest of the County.
E. Offerors shall obtain all appropriate governmental and environmental licenses to
operate the facility.
F. The successful Offeror shall execute a written lease agreement. The lease agreement
shall contain language indemnifying and holding the County harmless from any and all
claims of any nature arising from the Offeror’s activities on the premises, including
claims of creditors. The lease agreement shall require the successful Offeror to obtain
and maintain in force comprehensive general liability insurance coverage with policy
limits of at least $1,000,000.
G. The successful Offeror may be required to obtain a fidelity bond to insure the successful
performance of lease agreement.
H. The lease agreement shall be a triple net lease agreement. The successful Offeror will
be responsible for the ongoing expenses of the property, including maintenance,
building insurance, property taxes and utilities.
I. The successful Offeror shall meet and comply with all current applicable Federal, State
and local laws, codes, standards and regulations.
J. The County reserves the right to award to a single or multiple applicant(s), in the best
interest of the County. The County further reserves the right to accept or reject any or
all applications.
CONTENTS OF APPLICATION.
IDENTIFY THE APPLICANT
Each Application shall identify the organization submitting the applications and shall further
identify its organizational structure (e.g. sole proprietorship, corporation, etc.) whether the
organization is authorized to do business in the State of New Mexico, where the organization is
based, and where its principal place of business is located and incorporated.
Describe the project. Each Applicant should provide a description of the anticipated project. This
must be done in as much detail as possible for the County to determine suitability of the site for
the intended purpose, compatibility with competing uses of the property, job creation, and
potential risk.
Page 2 of 10
FORM OF THE APPLICATION
To be considered for award of a contract pursuant to this Application, each applicant shall
address the following below. In addition, the application shall contain the materials required
herein, and also comply with the format described. Failure to provide required documentation and
information as requested may result in rejection.
A. Business Plan
Applicant’s proposed business plan and site plan to include but not limited to the
following:
-Necessary acreage requirements
-Location of all existing and planned buildings and facilities
-Ingress and egress needs
-Anticipated on-site circulation patterns (auto, truck, and other, as appropriate)
-Detailed list of proposed applicant-provided infrastructure and capital equipment
improvements including the estimated cost and value of those improvements.
-Detailed list, if any, of proposed County provided infrastructure improvements the
applicant is requesting including the estimated cost and value of those
improvements (the Applicant is expected to provide all infrastructure
improvements).
-Degree to which products manufactured or services provided are exported out of
the county
-Degree to which required goods and services will be purchased by the
prospective business from other San Juan County businesses.
-Degree to which a critical or very beneficial service or other business complement
will be provided to the geographic area
-Areas that will be open to the public and guests / invitees.
-Identification of and planned mitigation of any potential environmental damage /
pollution caused by Applicant’s proposed activities.
B. Experience and Qualifications of Offeror
Describe the experience and qualifications in engaging in the activities offered under this
application.
C. Financial Resources of Offeror
Identify the financial resources available to carry out the proposed plan and development of a
sustainable operation. Financial statements for the most recent 3 years should be provided and
audited Financial Statements are preferred.
D. Feasibility/Market Assessment
The feasibility and probability of success of the applicant’s proposed business. This will weigh the
statements concerning the proposed business plan and use of existing building for commercially
viable use. Describe the proposed lease term, options and length of time required from execution
of a lease until commencement of operations.
The applicant shall prepare a market assessment of the proposed business plan. The
assessment shall include but not limited to the following: define your target consumers, analyze
the industry, and identify market trends.
E. Compatibility
Applicant’s ability to work with adjacent tenant and future tenants in terms of site requirements,
operation of facility, control of traffic flow into the proposed facility and other potential uses of
Page 3 of 10
land surrounding the site.
F. Job Creation
The number of new economic-base jobs which will be created by the Applicant. Please
breakdown the number of new full and part time employees to be hired, projected hiring
schedule, projected wage rates and benefits, and the number of employees who will/will not be
hired from within the County.
G. Monthly Lease
The applicant shall provide a monthly lease payment amount be paid to the County and provide
an explanation for the offered monthly lease amount.
H. Benefit to the County At-Large
The degree to which the business will benefit or promote the general welfare of the citizens of
San Juan County.
I. Environmental Impact
The applicant shall provide an analysis of the environmental impact of the proposed business.
BIND THE APPLICANT.
Each Application shall identify, by title and/or position, the person authorized by the organization
to enter into a Contract with the County. That person shall sign the Application. If written
authority exists (such as corporate minutes), a copy of that document shall be attached. The
Applications shall bind the organization to complete the work described in the Application.
CONTACT PERSON.
Each Application shall identify the names, titles and telephone numbers of persons whom the
County may contact for clarification or for further information.
RESPONSE TO SPECIFICATIONS/REQUIREMENTS.
Each Application shall provide a written response to each specification and requirement. If an
applicant is unable to provide an item, which is required by the specifications, it shall take written
exception to the specification.
A. Executive Summary. Each Applicant shall provide an Executive Summary of the
Application.
B. Campaign Contribution Disclosure. Each Applicant shall provide along with its
application an executed Campaign Contribution Disclosure Form. (Attached).
REVIEW OF APPLICATIONS/AWARD.
Responsive applications will be reviewed in the following manner. Any application that is
incomplete or deficient may be rejected before review.
A. Review. Each responsive application shall be evaluated by the Evaluation
Committee.
B. Evaluation. Each application shall be evaluated as to its adherence with the
requirements and specifications set forth herein. Any application which is incomplete,
deficient or fails to follow the required format may be rejected before evaluation.
Page 4 of 10
C. Evaluation Criteria. The Evaluation Committee shall evaluate each application
according to the following criteria.
POINTS
1. Experience and Qualifications of Offeror
20
Offeror’s experience and qualifications in engaging in the activities which it proposes.
2. Financial Resources of Offeror
15
The financial resources available to the Offeror to carry out the proposed plan and
development of a sustainable operation.
3. Feasibility/Market Assessment
15
The feasibility and probability of success of the applicant’s proposed business. This will
weigh the statements concerning the proposed business plan and use of existing building
for commercially viable use. The proposed lease term, options and length of time required
from execution of a lease until commencement of operations.
The Offeror’s market assessment of the proposed business plan.
4. Compatibility
15
Offeror’s ability to work with adjacent tenant and future tenants in terms of site
requirements, operation of facility, control of traffic flow into the proposed facility and other
potential uses of land surrounding the site.
5. Job Creation
15
The number of new economic-base jobs which will be created by the Offeror.
6. Monthly Lease Payment
10
The Offeror’s monthly lease amount paid to the County.
7. Environmental Impact
10
The Offeror’s analysis of the environmental impact of the proposed business
TOTAL POINTS 100
D. Review Process. Each responsive application shall be evaluated by an Evaluation
Committee comprised of San Juan County personnel or representatives. The review
process will follow the steps outlined below:
1. Preliminary Review: All applications received will be reviewed for compliance and
satisfactory response to the specifications and requirements. Non-responsive
applications will be eliminated from further consideration.
2. The Evaluation Committee shall prepare a cost/benefit analysis and shall make a
recommendation regarding each application.
3. Selection of Applicants: The Evaluation Committee shall rank each responsive
application according to the criteria. The highest ranked Applicant(s) will be
recommended to the Board of County Commissioners or its delegate for further
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