Notice of Solicitation for Concession Opportunity for Lodging, Food & Beverage, Retail, and Camping within Badlands National Park

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Contract Opportunity

On December 12, 2024, the National Park Service (NPS) released a business opportunity soliciting proposals to award a new ten (10) year concession contract to provide lodging, food & beverage, retail, and camping services within Badlands National Park.

The NPS will hold a one-day site visit for organizations interested in bidding on this opportunity on Tuesday, January 7, 2025. The site visit provides interested parties an overview of the concession operations along with a tour of the Concession Facilities, (as that term is defined in the Draft Contract), assigned to the Concessioner under the Draft Contract. To attend the site visit, registration is required. To register, please email Eric Nikkel, Commercial Services Specialist, Interior Regions 3, 4 and 5 at: eric_nikkel@nps.gov with the name of your company, contact phone number and email, and the number of people attending from your organization, no later than no later than 4:00 p.m. (Central Time) on Thursday, January 2, 2025. Additional information regarding meeting time and location will be provided after registration. A strict limit of two persons per business entity will be authorized to attend the site visit.

Site visit participants are responsible for obtaining their own lodging, meals, and transportation to the respective Concession Facilities. Participants must be 18 years of age or older. Please be prepared for varying weather and walking between buildings. Attendance at the site visit is not required to submit a proposal for the prospectus; however, it is encouraged.

Questions regarding the prospectus must be received, in writing, no later than 12:00 p.m. (Central Time) on January 22, 2025. Email your questions to Eric Nikkel, Commercial Services Specialist, at eric_nikkel@nps.gov.

Any interested party intending to submit a proposal must submit a “Notice of Intent to Propose” as described in the Business Opportunity and Proposal Instructions to Eric Nikkel at eric_nikkel@nps.gov, no later than 12:00 p.m. (Central Time) on March 12, 2025.

The NPS is ONLY accepting electronic proposals in response to this prospectus. Any proposal must be received electronically, no later than 4:00 p.m. (Central Time) on April 9, 2025, in the format outlined in the Proposal Instructions, to be evaluated for award of the new concession contract. Prior to the electronic submission deadline, you will receive a welcome email message from the Service’s Microsoft Teams platform at the email address you provide when you notify the Service of your intent to submit a proposal. You must accept the invitation before you can access the Teams site to upload your proposal.

A hardcopy of the Offeror’s Transmittal Letter, with original signature, must be received by the National Park Service no later than 4:00 p.m. (Central Time) on April 16, 2025, as outlined in the Proposal Instructions of the Prospectus, at:

National Park Service, Interior Regions 3, 4, 5

601 Riverfront Drive, Omaha, NE 68102

Attention: Eric Nikkel, Commercial Services Specialist

The prospectus is available on the NPS Commercial Services website (link provided below). If you choose to retrieve a copy of the prospectus, please notify Eric Nikkel at eric_nikkel@nps.gov so you are placed on the mailing list to receive notification of any future modifications or correspondence.

Amendment 1: Questions and Responses

1. Does the Service have a structural engineer’s report for the Cedar Pass Lodge main building? If so, can the Service please provide it?

NPS: No, the NPS does not have a structural engineer’s report.

1. Can the Service confirm the first-floor areas that are slab on grade?

NPS: The dining room is slab on grade. The other floors are either on full basements or crawlspace.

1. What is the age and condition of the current kitchen hood and hood ventilation system, grease interceptor, and rooftop HVAC equipment? Can the Service provide assessment reports for these, if available?

NPS: The kitchen hood was installed in 2000. There is no grease interceptor – just grease traps, which are emptied into barrels next to trash dumpsters. The HVAC equipment ranges in age. The two HVAC units hanging off the kitchen wall, near the walk-in cooler, were installed around 2022. The rooftop HVAC unit above the dining room was installed in 2024. The remaining six HVAC units on the rooftop were installed around 1999. Assessment reports are not available.

1. Does the Service want the concessioner to keep the current number of guest-facing plumbing fixtures in the Cedar Pass Lodge main building after the renovation?

NPS: The Service wants to keep the same number of guest-facing plumbing fixtures.

1. How many EV charging stations are located on the Land Assignment?

NPS: None

1. With three phases needed for completion before Concession operations move to the existing Visitors Center, how does NPS anticipate completing this work during the 10-year contract term?

NPS: As noted in the Business Opportunity, the timeline for this move is still to be determined but the Service anticipates it will occur no sooner than year 5 of the Draft Contract. The planning and fundraising efforts are well underway, and the Service will diligently continue the work to bring the new visitor center online in as short of a timeframe as feasible.

1. Does funding exist currently for construction for Phase 1?

NPS: Full funding has not been identified.

1. What would happen if 10 units could not be placed within the existing land assignment? What space would be made to the Concessioner for any expansion?

NPS: The available space for the additional cabins is identified in Exhibit C. There is currently not any other space available to expand the Concessioner land assignment.

1. Has the NPS already confirmed existing utilities capabilities for the authorized 10 additional cabin units, inclusive of power, water, and sewer?

NPS: Yes, adequate power, water and sewer capabilities exist.

1. Would the 10 additional cabins/5 additional camper cabins fall under the same terms as existing lodging/campgrounds within the draft contract?

NPS: Yes

1. Would the 10 additional cabins/5 additional camper cabins be eligible for LSI?

NPS: Yes

1. What are the weight standards/restrictions/limits in the F&B space?

NPS: Specific weight restrictions are not available.

1. Can the NPS provide drawings and engineering documents to potential bidders on the Assessment of Basement/floor issues (conditions), and provide documentation of current mitigation efforts to date?

NPS: The NPS does not have an engineer’s report. Results of the latest inspection states the kitchen basement walls in the 1950’s west addition have failed and are in need of structural reinforcement or replacement. The cost estimate for the structural repairs to the basement utilizes a standard structural reinforcement of hollow CMU foundation walls.

The current mitigations were installed in 2015. The retrofits include thirteen (13) steel W8 section beams supported by three (3) rows of thirteen (13) lally columns on three (3) elevated reinforced concrete footings. The installed retrofits do not conform to the Engineer of Record design plans and are incomplete due to missing beams and columns.

The results of the compressive strength test indicate that all concrete used have a compressive strength greater than the EOR design requirements of 3,500 pounds per square inch (psi). The result of the petrographic testing indicates the water to cement (w/c) ratio on all cores is higher than the maximum permissible specified by the EOR of 0.45.

1. How will the NPS manage the product differentiation between the cooperating association and the new retail space in visitors center?

NPS: The cooperating association has an agreement in place to meet annually with the NPS to detail product assortment and differentiation for in-season services.

1. Do the F&B revenue projections include the addition of more F&B services in the main lodge?

NPS: Yes, the NPS expects F&B services to expand after the stabilization project is complete.

1. Do the F&B revenue projections consider any downtime/impact in offerings due to temporary F&B operations in 2026?

NPS: Yes, the revenue projections consider a limited menu due to the temporary kitchen in year 1 of the contract.

1. What support is available to indicate that F&B revenue projections will grow by up to 25% in average revenue per transaction and up to 45% in transactions when the transition to new Visitors Center opens (vs. 2026 projections)?

NPS: The NPS assumes the expanded food and beverage service area and food service changes along with space reconfigurations will more efficiently serve more visitors and reduce turn-away.

1. With no available or assigned housing in the contract, no housing or gateway communities with housing close to the park, and existing Concessioner’s off-site housing in seemingly poor condition to sustain another 10-year contract (if it could be purchased), has the NPS contemplated building Concessioner housing with the National Park to house concession employees?

NPS: No, the NPS is not considering construction of Concessioner housing.

1. How many current employees require housing and transport?

NPS: The Existing Concessioner houses 50-60 employees during the season. Transportation needs vary and the Existing Concessioner offers shuttle services to all employees regardless of whether they have brought a personal vehicle with them, transporting an estimated 25-30 people through the shuttle vans on a regular basis.

1. How much does the current Concessioner charge for employee housing rent?

NPS: The Existing Concessioner charges RVs $25 a week for full hookups, and employees that stay in a room/trailer are charged $60 per week for room and meals.

1. Will the existing dining room space be available for guests to sit indoors?

NPS: Yes

1. The NPS indicates outdoor seating as an option, will a tent be necessary?

NPS: Historically, a tent has not been necessary. Environmental factors are not conducive to tents (i.e. wind). Two shade structures are already present in the use area adjacent to the restaurant. Additional structures, however temporary in nature, would be subject to approval and would impact the viewshed.

1. What consideration would be given to the Concessioner if the floor stabilization project exceeds the CFIP construction cost? (CFIP #1 - Stabilization and Rehabilitation of Kitchen Area in Main Lodge Building).

NPS: The Service will work with the Concessioner to review the cost and adjust the project to avoid the Concessioner exceeding the overall CFIP cap of $573,000, as described in Section 9(d)(1) of the Draft Contract.

1. With the planned CFIP for the stabilization of the floor in F&B area (expected to be a 30-year fix/solution), why are there weight restrictions noted for heavy coolers and refrigeration ‘after’ the stabilization project is completed in 2026?

NPS: The stabilization is for the kitchen area. The weight restrictions are for the converted retail space because it has been identified that the maximum deflection measured in the converted F&B space is higher than that which current code allows.

1. Has the NPS conducted a hazardous materials survey? If so, is that available to bidders?

NPS: No, the NPS did not conduct a hazardous materials survey.

1. The PPIR Project #1 (Modified F&B Service) in the ‘outlined’ retail space indicates an investment of $50,000 to convert Retail space into F&B (over 1,300 sq. ft). This number is historically significantly lower than what it would take to make such a modification for such a large space. Can the NPS share its cost estimates for this project to better gauge what the expectations are for this space?

NPS: This space is for additional food service (including quick service and grab and go). It is not intended to be a traditional F&B space with kitchen prepared foods.

1. When concession services move from the Main Lodge building to the existing Visitor Center, the NPS indicates there will be more sq. footage allocated to F&B than the current space allocation. Does that sq. footage statement contemplate the conversion of existing Retail space that is required in PPIR #1, which will be added to 2026 and forward F&B space, as required by NPS?

NPS: Yes

1. In PPIR Project #2, Upgraded Personal Property for move to Existing Visitors Center, the NPS estimates $220,000 for both F&B (likely at or near existing footprint) and Retail (2,500 sq ft) fit-out. These cost estimates are significantly lower than historical costs per sq. ft fit-out FF&E for Retail and F&B typical projects. Can the NPS share its cost assumptions and methodology to arrive at the figure published in the prospectus?

NPS: The Service used professional consultants, with subject matter expertise, to develop the assumptions and estimates related to investments in the Draft Contract. As stated in the Business Opportunity, the Service does not guarantee these projections will materialize, assumes no liability for their accuracy, and requires offerors to perform their own due diligence and develop their own estimates of investments for the proposals.

1. If there is a planned increase for F&B space in new concession space within the existing Visitors Center, what sq. footage is contemplated for Retail space in that same Visitors Center?

NPS: Approximately, 12,000 sq ft have been allocated for total Concessioner operations. Final designs and space allocation between F&B, Admin and Retail operations are TBD.

1. What happens if the move to new Visitors center is near the end of the Contract, such that personal property investment to accommodate this move becomes financially negative to the Concessioner?

NPS: As the PPIR #2 is a requirement of the Draft Contract, the Concessioner will need to plan accordingly. The NPS will periodically update the Concessioner on the timeline for the move.

1. Can the NPS please identify the companies that have attended the first and second walkthroughs of the property?

NPS: RR Hospitality and Clockwork-ad (ExplorUS), Choices Services Inc., BA Services Inc, Sharbert Enterprises, Aramark, Pinnacles Recreation Company, Oglala Sioux Recreation Association, and Xanterra attended one or both site visits.

1. What will happen to the current main lodge building following completion of the new visitor center and renovation of the old visitor center. Will it be torn down?

NPS: The non-historic portions of the building will be demolished. The historic portion will be retained for future use.

1. Is the slab to be removed and replaced in the main lodge building only in the restaurant portion of the building? If so, will a temporary partition be placed to the right of the lodge check-in area in an attempt to minimize the dust and noise while the removal and replacement takes place?

NPS: The slab to be removed is only in the kitchen portion of the building. Dust and noise abatement will be used, and the dining room will remain open to visitors.

1. We didn't find any information (or, missed it during reading the prospectus) about required dates or times when food service and lodging must be open. Are there no requirements?

NPS: The operating season and hours are outlined in the Draft Operating Plan.

Drawings available upon request.

Amendment 2: The NPS has extended key dates for this opportunity.

Notice of Intent to Propose: March 5,2025

Proposals Due: April 2, 2025

Offeror's Signed Transmittal Due: April 9, 2025

Amendment 3: Changes to Solicitation CC-BADL001-25

Amendment No. 3 updates the Inside Cover with the Notice of Intent to Propose Date, Proposal Due Date, and Offeror’s Signed Transmittal Due Date, as well as updating the Business Opportunity, Proposal Package, and Draft Contract. Amendment No. 3 and the updated prospectus documents are available on the NPS Commercial Services website (link provided below).

Amendment 4: Changes to the Business Opportunity and Exhibit C.

Note: The Service has made the following changes to the solicitation for Badlands contract CCBADL001-25 for Lodging, Campground, Food and Beverage and Retail Services.

03 CC-BADL001-25 Business Opportunity:

Table of Contents, deleted Minimum Wage section

Page 13, Minimum Wage Deleted, “Minimum Wage The Concessioner must comply with all provisions of Executive Order 14026 of April 27, 2021, (Increasing the Minimum Wage for Federal Contractors) and its implementing regulations, including the applicable contract clause, codified at 29 C.F.R. pt. 23, all of which are incorporated by reference into the Draft Contract. The Service considered the implications of these requirements in the analysis of the minimum franchise fee. Offerors must consider the impacts of these requirements when developing their financial projections. As stated in 29 C.F.R. Part 23, the United States Department of Labor will increase the actual minimum wage for federal contractors during the term of the Draft Contract each year based on the annual change in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).”

Page 13, Other Operating Considerations Added additional language that reads, “Please be advised that additional terms will be included in the contract pursuant to Sec. 3(b)(iv) of Executive Order 14173 “Ending Illegal Discrimination and Restoring Merit-Based Opportunity”.

09 CC-BADL001-25 Exhibit C Nondiscrimination: Deleted the outdated version and added the current updated version

Amendment 5: CC-BADL001-25

Note: The Service has made the following changes to the solicitation for Badlands contract CC-BADL001-25 for Lodging, Campground, Food and Beverage and Retail Services.

09 CC-BADL001-25 Exhibit C Nondiscrimination: Deleted the outdated version and added the current updated version dated 4-1-2025.

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