Concession Training Session January 19, 2016 and January 20, 2016 - - PowerPoint PPT Presentation

Concession Training Session

January 19, 2016 and January 20, 2016

Welcome and Introductions

• Jim Schone, Director Business Devel. & Mgmt.
• Bonnie Darch, Concessions Manager
• Michele King, Concessions Manager
• Ann Ferraguto, Principal, AirProjects, Inc.
• Clinton Hughes, Operations Supervisor, Security
• Junius Lofton, Credential Center Supervisor
• Tudor Bleotu, Concessions Facilities Manager
• James Adams, Principal, 5ive Creative

Program Goals and Overview Seattle-Tacoma International

Jim Schone

Training Session Objectives

Purpose of this session is to:

• Provide useful information to prospective tenants

about what is involved with operating a concession at Sea-Tac

• Provide information about units that are currently

available for lease

• Explain the process that will be used to select

tenants for the available units

Commission Guiding Principles

• Encouragement of broad business participation
• Use of flexible competitive leasing processes to

accommodate both large and small businesses

• Creation of new opportunities for small,

disadvantaged, and local businesses

• Maximized employment continuity
• Greater efficiency and affordability in dining & retail
• Strengthening of a local Pacific Northwest ‘sense of

place’ Source: 2014 Port Commission Policy Direction

Agenda

• Overview of Sea-Tac Airport
• Overview of ADR program
• Operating a Concession Business at Sea-Tac

Airport

• ADR Design Guidelines
• CEP Process
• CEP Evaluation Criteria
• FAQ
• Resources
• Questions

Sea-Tac International Airport

• 13th largest airport in North America in 2014
• Sales per enplanement of $11.80 in 2014
• 42.3 million passengers in 2015
• Daily volumes vary between 75,000 – 150,000
• Traffic grew by 12.9% in 2015
• Fastest growing large-hub airport in the U.S.

Airline Service at Sea-Tac

• 90% domestic travelers
• Growing international service
• 26 passenger airlines with scheduled service to:

– 87 domestic destinations – 23 international destinations

Alaska 52% Delta 16% UA 8% SW 8% Other 16%

Airline Locations at Sea-Tac

Enplanements by Concourse

A 13% B 16% C 22% D 10% North 26% South 13%

October YTD 2014 Data B Gates C Gates N Gates S Gates A Gates Main Terminal Central Terminal D Gates

The Sea-Tac Customer

• 68% leisure vs. 32% business travel
• More than half travel at least 1-2 times annually
• 25% travel 3-5 times annually
• Average household income: $100,000
• Technologically savvy
• More than half are college-educated
• Typical “dwell time” nearly 100 minutes
• 70% begin or end trip in Seattle
• Most daily passengers depart before 1 pm

Overview of Airport Dining and Retail Program

Bonnie Darch Michele King

Airport Dining & Retail Program

ADR Program Redevelopment

• Approx. 60+ units being leased
• Redevelopment 2016-2019
• Food service, retail, and personal services
• Multiple leasing groups
• Includes packages of multiple units or

single units

ADR Program Goals

• Offer Sea-Tac travelers the right products and

services, in the right locations, by the right operators

• Foster a Pacific Northwest “sense of place”
• Provide shops, restaurants and services that exceed

expectations for customer service, quality, variety, and reasonable pricing

• Incorporate well-known national brands as well as

local favorites to meet a variety of needs and tastes

Operating a Concession Business at Sea-Tac Airport

Ann Ferraguto AirProjects, Inc.

Operating a Concession Business at Sea-Tac Airport

• Common Terminology
• Dining and Retail Operations
• Security
• Lease Agreement
• Tenant Improvement Design and Construction

Process

Common Terminology

• Captive audience

Common Terminology

• “Wants” versus “needs”

Want Need

Common Terminology

• Concession
• Enplanement
• Sales per Enplanement
• ACDBE – Airport Concessions Disadvantaged Business

Enterprise

• Pre-security and post-security or Landside and Airside
• AOA - Airport Operations Area - all areas inside Sea-

Tac’s fenced perimeter designated and used for landing, taking off, or surface maneuvering of aircraft. Includes ramps, aprons, runways, and taxiways.

• SIDA - Security Identification Display Area - Specific

security badges are required to be in SIDA areas, including the bag well, common trash/recycling areas, loading dock and storage locations

Dining and Retail Operations

• Differences from off-airport operations

– Open 365 days a year; 16-18 hours per day – Pricing policy – Potentially higher operational and build-out costs – Passenger flows – Staffing – Security implications (employees must be badged, deliveries must be escorted (unless they’re badged), limited AOA badges) – Typically higher productivity

Security and Badging

Clinton Hughes Junius Lofton

Badging

Credential Center

• Mezzanine level of the airport above Starbucks
• 13-15% volume increase projected for 2016
• Currently badging for two large projects at the IAF &

Center Runway Requirements

• Company must be sponsored by a tenant
• Training must occur prior to badging
• There is a cost for badging

Badging Process

• Authorized Signers are the 1st point of contact
• Arriving to badging appointments prepared is

essential

• Signed/completed badge application
• Proof of citizenship
• Valid state ID
• Plan for enough time to take required SIDA/AOA

training courses

• 5-7 business day turnaround

Badging Process

Badging Process

• For large construction projects, we encourage

badging all contractors under one primary company. This process reduces appointments, lessens mistakes and streamlines the process for mass

• groups. (i.e., IAF and Central Runway)
• If you will have multiple jobs throughout Sea-Tac,

then we require a New Company Set Up

Badging Process

How to Contact Us

• Website:

– http://www.portseattle.org/Employee-Services/ID- Badges/Pages/default.aspx

• Email: idbadgescheduling@portseattle.org
• Phone: 206-787-6859

Security Training

Vehicle Inspections

• The inspection is more rigorous than in the past
• All vehicles are subject to inspection at the

perimeter gates

• All passengers must disembark the vehicle and the

driver must open vehicle compartments for inspection

• Bags and tool boxes inside the vehicle are also

subject to inspection

• Vehicles must have company name on vehicle at

least 2 inches high, both sides of vehicle

Security Training

Bag Inspections

• All persons entering the baggage makeup areas

are subject to inspection

• This inspection may include a pat down by the TSA
• Port and/or TSA will inspect bags carried by

employees

Security Training

Airport ID Media

• Must be worn at all times while at work
• Must be displayed above the waist on the
• utermost garment

Security Training

Airport ID Media

• Badges are for official use only
• Not to be used for travel even if traveling for

business

• Not to be used to meet and greet friends and

relatives

Key Operating Standards

Bonnie Darch Michele King

Operating Standards Highlights

• Customer service

– Customers will be promptly attended to in a friendly and courteous manner – Employees will maintain a well-groomed, neat, professional clean appearance at all times – Receipts will be properly itemized reflecting precisely the products and services purchased, and will present individual prices, the total price, and taxes

• Hours of Operation

– Store hours will be extended to accommodate passengers due to flight delays – No concession locations will be blocked off or closed at any time during the designated minimum hours of

• peration

Operating Standards Highlights

• Deliveries

– Deliveries to the units must be made between 2:00 p.m. and 6:00 a.m. all days of the week – Restocking should occur during non-peak hours (not between 6:00 a.m. and 2:00 p.m.)

• Signage

– All signs internal and external, signage stand holders, menu boards, and blade signs must be clean, free of dust, and in good condition – Prices must be clearly displayed (either by item or category) – Flashing or blinking signs must not be used

Operating Standards Highlights

• Trash

– All trash must be contained in appropriate bags and moved through the Airport in covered receptacles. These receptacles must be cleaned daily.

• Recycling

– Glass bottles and jars must be rinsed and deposited in designated glass recycling containers.

• Used Cooking Oil

– Concessionaire must purchase and utilize Port-designated containers to collect and transport used cooking oil to designated collection tanks located in the compactor rooms and loading docks

Key Lease Terms

Ann Ferraguto AirProjects, Inc.

Lease Agreement

• Provided in CEP as Exhibit 4
• Defines the terms under which business is to be

conducted by the concession operator at Sea-Tac Airport

• First page includes “Key Lease Terms” that

summarize major items

Lease Agreement

• Rent definitions

– Minimum Annual Guarantee (MAG)

• Set in CEP for 1st full year of operations
• Due in advance by the 1st of each month

– Percentage Fee

• Monthly report and percentage fee are due on the

fifteenth (15th) day of the subsequent month

Annual Gross Sales Percentage of Gross Sales Annual Gross Sales ≤ $__________ __._% $__________ < Annual Gross Sales ≤ $__________ __._% $__________ < Annual Gross Sales __._%

Lease Agreement

• Straight-line depreciation and buyout
• Other key items to be sure you understand:

– Operating standards (Exhibit C) – Street pricing policy (Exhibit D), including Temporary Street Pricing Plus Addendum – Quality Jobs and Small Business Reporting Requirements (section 4.8.6)

Temporary Street Pricing Plus Addendum

• Port approved a temporary, short-term, conditional

increase to ADR pricing in November 2015

• Allows ADR tenants to increase their prices from

December 1, 2015 through December 31, 2019 Date Range

Pricing Change 12/01/2015 – 12/31/2016 Up to 10% over street prices 01/01/2017 – 12/31/2017 Up to 7.5% over street prices 01/01/2018 – 12/31/2018 Up to 5% over street prices 01/01/2019 – 12/31/2019 Up to 2.5% over street prices 01/01/2020 Return to strict street pricing

Quality Jobs and Small Business Reporting Requirements

• Concessionaire shall provide the Port, upon

reasonable request, one or more reports that document Concessionaire’s compliance with, and efforts to further, the Port’s quality jobs and small business initiatives

• Reports relating to quality jobs will generally

encompass information about Concessionaire’s employee pool, wage rates, benefits (including time-off and Affordable Care Act compliance), and hiring practices

Tenant Improvement Design and Construction

Tudor Bleotu

Tenant Design Process

• Phase 1: Pre-Design

– Meeting with Stakeholders – Application for connections to utilities – Permit Process – Design Guidelines – Design Standards – RAC (Regulations For Airport Construction) – Airport Tenants Project Resources http://www.portseattle.org/Business/Construction- Projects/Airport-Tenants/Pages/default.aspx

Tenant Design Process

• Phase 2: Design

– Four design review milestones – Coordination between Port mechanical, electrical, telecommunications and architectural teams – Tenant design teams prepare designs conforming to Port design standards – Design standards, applications for connection and relevant guidelines can be found at http://www.portseattle.org/Business/Construction- Projects/Airport-Tenants/Pages/default.aspx

Tenant Design Process

• Phase 3: Construction

– NTP (Notice To Proceed) – Port project manager, tenant general contractor and port special inspector work collaboratively – Temporary Certificate of Occupancy – Notice to open

• Phase 4: Close Out

– Punch list – Certification of occupancy

Preventive Maintenance Program

• Specific requirements

– Hood systems – Cooking equipment – HVAC systems

• Scheduled inspections

– Required by lease agreements to maintain infrastructure – Certified contractors – Reporting for compliance

ADR Design Guidelines

James Adams 5ive Creative

Design Guidelines Overview

Passenger Perception

More than just Design

• Materials
• Signage
• Lighting
• Closures
• Display Zones
• Utilities
• Review Process

Progressive Northwest Modern Architecture IS IS

Progressive Northwest Modern Architecture IS IS

Progressive Northwest Modern Architecture is is NO NOT

• Open

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting
• Human Scale

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting
• Human Scale
• Cultural Influence

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting
• Human Scale
• Cultural Influence
• Honest Expression of Materials

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting
• Human Scale
• Cultural Influence
• Honest Expression of Materials
• Exposed Form and Structure

Progressive Northwest Modern Architecture IS IS

• Open
• Light, Warm, Inviting
• Human Scale
• Cultural Influence
• Honest Expression of Materials
• Exposed Form and Structure
• Color and Texture Achieved Through Materials

Progressive Northwest Modern Architecture IS IS

Space Planning

Queuing

Storage

Terms Defined

• Storefront Opening

– Area of the storefront – H x W

Terms Defined

• Tenant Lease Line

– Depth of the store

Terms Defined

• Display Zone: 5’-0”

Terms Defined

• Display Extension: 30%

Terms Defined

• Neutral Piers
• Contained Piers

• Full Width

Storefront - General

• Full Width
• Open

Storefront - General

• Full Width
• Open
• 75% Visually Open

Storefront - General

• Full Width
• Open
• 75% Visually Open
• Vertically Tied

Storefront - General

• Full Width
• Open
• 75% Visually Open
• Vertically Tied
• Dimensionality

Storefront - General

• Full Width
• Open
• 75% Visually Open
• Vertically Tied
• Dimensionality
• Fully Integrated

Storefront - General

Site Specific

• A Gates – Tapered Columns

Site Specific

• B Gates – Branded Columns

Site Specific

• C Gates – Contained Columns

Signage IS IS Pacific Northwest Modern

• Open
• Light, Warm, Inviting
• Human Scale
• Cultural Influence
• Honest Expression of Materials
• Exposed Form and Structure
• Color and Texture Achieved Through Materials

Signage Pacific Northwest Modern IS IS

Signage Pacific Northwest Modern IS IS

• Exposed neon, edge lit, reverse halo, open face and

reverse channel, sculpted or resin formed letters

• Dimensional metal letters flush with or pin-mounted

to fascia surface

• Channel letters
• Externally illuminated signage
• Sculptural, three-dimensional treatments that project

from the storefront where possible

• Digital menus

Recommended Sign Types and Materials

Link to Design Guidelines

• http://www.lease.seatacshops.com/forms/

Competitive Evaluation Process

Ann Ferraguto AirProjects, Inc.

CEP Process - Overview

• Over 60 dining and retail units to be leased by the

Port through CEP and RFP processes

• CEP is tailored to the resource capabilities of

small, local and/or disadvantaged businesses, but any company – large or small – may compete for an opportunity via this process

CEP Process - Overview

• Minimum Qualifications

– 18 months of experience in food service, retail and/or service operations at airports, transportation facilities, shopping centers or business districts. Prior experience must be with operations of similar complexity generating a sales volume of similar size to that being proposed. – Must demonstrate the financial capacity for the initial investment and the ability to sustain operations over the life of the agreement – Must never have defaulted on a prior agreement – Must never have had an agreement terminated for cause

CEP Process - Overview

• Tours of the concession units will be provided

immediately after this training session

• All questions regarding the CEP must be submitted

in writing by January 29, 2016 and directed to AirProjects either:

– By postal mail at the following address:

Attention: Dawit Beru 908 King Street, Suite 400E Alexandria, Virginia 22314

– Or by email to Sea-Tacleasing@airprojects.net

CEP Process - Overview

• Your company, or anyone on its behalf, may only

contact the Port’s third-party leasing representative, AirProjects, about this CEP from the release date until the execution of an Agreement with the selected respondent

• Any communication concerning the content of the CEP

by a potential or actual respondent, or anyone on its behalf, with any Port elected official or employee will result in elimination of the submittal, unless, in the reasonable judgment of the Port’s General Counsel, the communication could not be believed to have given the respondent a competitive advantage

CEP Process - Overview

• Companies must respond to the specific

requirements of the CEP as listed in the “Submittal Instructions” section

• Submittal checklist is included as Exhibit 10

Submittal Requirements

• Responses must be on 8.5” x 11” paper and simply

bound in a three-ring binder

• Due Date: February 22, 2016 at 2:00 pm eastern

standard time

• Submit one (1) original document and an electronic

PDF copy on a flash drive, along with the pro forma in Excel format

• Submittals should be directed to:

AirProjects, Inc.

• Attn. Emily Escrader

908 King Street, Suite 400E Alexandria, VA 22314

Submittal Requirements

• Submittals must include a submittal checklist, a cover letter, and

the following sections in order to be considered for evaluation: 1. Background, Experience, and Financial Capability 2. Concept Development 3. Unit Design, Materials and Capital Investment 4. Financial Projections and Financial Offer (must submit completed Financial Offer Form from Exhibit 7 and electronic version of Exhibit 8) 5. Management, Staffing, Operations and Environmental Sustainability 6. Job Quality, Workforce Training, Employment and Service Continuity 7. Small Business Participation

Cover Letter

• Cannot exceed 1 page
• Must include:

– Date submitted – Name in which the respondent would enter into the Lease and Concession Agreement – Statement of interest in the specific units in the CEP – Submittal’s contact person and his or her title, telephone number, mailing address, and email address

Section One - Background, Experience, and Financial Capability

• Maximum of 5 pages, not including financial

statements

• Must include a narrative for each of the 10 items

noted in the CEP

• Purpose of this section is to demonstrate stability,

experience and expertise in operating a business similar to that proposed

Section Two – Concept Development

• Maximum of 5 pages per concept
• Narrative description of the three items noted in the CEP:

1. Details of the restaurant or retail concept proposed, including the proposed store name/concept, if a franchised/licensed operation, and rationale for selection. 2. Merchandise/menu/services list, including proposed pricing. Why proposed merchandise will be successful and its contribution to the retail mix. 3. Franchise and/or license authorization letters and disclosure documents

• Purpose is to demonstrate the ability of the concept (or

concepts) proposed to meet or exceed the expectations described for the unit or units

Section Two – Concept Development

Section Three - Unit Design, Materials and Capital Investment

• Maximum of 5 pages for this section, not including

renderings, photographs, and floor plans

• Narrative description of the 3 items noted in the CEP

1. Design (materials, floor plan, number of seats) of the unit

• r units, including a rendering or photograph of the

proposed dining, retail or service concept and a floor plan of the unit. 2. Environmental sustainability considerations planned for the design and build-out of the unit(s), such as materials procurement and other sustainable practices.

Section Three - Unit Design, Materials and Capital Investment

3. Minimum capital investment (per sq. ft. and total) to build

• ut the unit(s) (not including the cost of initial inventory),

along with a separate figure for the minimum investment per sq. ft. that will be invested for the midterm refurbishment of the unit(s), using the form in Exhibit 6 ( midterm refurbishment must be a minimum of 15% of the initial capital investment)

• Purpose is to demonstrate and describe the quality of unit

design, efficient use of space, selection of appealing and durable materials (including sustainable materials) and its’ relation to the Pacific Northwest sense of place

• Capital investment does not including inventory, uniforms,

smallwares, etc.

Section Three - Unit Design, Materials and Capital Investment

IKE’S BAGELS

Section Three - Unit Design, Materials and Capital Investment

Section Three - Unit Design, Materials and Capital Investment

Section Three - Unit Design, Materials and Capital Investment

Section Four - Financial Projections and Financial Offer

• Submittal must include a completed financial offer

using the Financial Offer Form provided in Exhibit 7 AND

• Completed Pro Forma - Exhibit 8
• Documents are available electronically on the Sea-Tac

Airport leasing website www.lease.seatacshops.com/forms

• Pro Formas are required for each unit, as well as for

the entire package in the case of a multi-unit package

• The Pro Forma must be submitted electronically in

Excel using the downloadable template

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Qdoba

Financial Projections

Unit CT-12 (Fast Casual – Mexican)

• This is a new location

Similar Concept

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Qdoba 974 $4.1-$4.3million $4.2-$4.4million $0.24-$0.25 $0.23-$0.24

CT-12

Financial Projections

• Unit CT-15 (Casual Dining Restaurant)
• This is a new location

Similar Concepts

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Seattle Taproom 3,023 $3.0-$3.4million $3.7-$4.1million $0.18-$0.20 $0.20-$0.22 Vino Volo 1,218 $1.6-$2.0million $1.8-$2.0million $0.10-$0.11 $0.10-$0.11 Africa Lounge 2,939 $1.9-$2.2million $2.4-$2.6million $0.12-$0.13 $0.13-$0.14

CT-15

Vino Volo Seattle Taproom Africa Lounge

Financial Projections

• Unit CT-3 (Gourmet Coffee)

Similar Concept

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Dilettante Chocolates 450 $1.5-$1.6million $1.7-$1.8million $0.08-$0.9 $0.09-$0.10

CT-3

Dilettante

Financial Projections

• Unit CC-1 (Specialty Retail – Open Concept)
• This is a new unit

Similar Concepts

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Wishing Stone 645 N/A $0.6-$0.7million N/A $0.03-$0.04 Hudson Booksellers 2,246 $0.7-$0.9million $0.7-0.9million $0.04-$0.05 $0.04-$0.05

CC-1

Wishing Stone Hudson Booksellers

Financial Projections

• Unit BC-3A (Baggage/Storage Services)
• This is a new location, but it in close proximity to the

existing location for this concept (replacement unit)

Similar Concept

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Ken's Baggage 951 $0.6-$0.7million $0.6-$0.7million $0.03-$0.04 $0.03-$0.04

BC-3A

Ken’s Baggage

Financial Projections

• Unit CB-4 (Specialty Retail – Children’s Store or

Open Concept)

• This location is changing from food service to retail

Specialty Concepts Sq. Ft. Sales Sales/Enplanement 2013 2014 2013 2014 Body Shop 1,003 $1.3-$1.4million $1.3-$1.4million $0.08-$0.09 $0.07-$0.08 Wishing Stone 645 N/A $0.6-$0.7million N/A $0.03-$0.04 Hudson Booksellers 2,246 $0.7-$0.9million $0.7-$0.9million $0.04-$0.05 $0.04-$0.05 Sub Pop Records 1,768 N/A $0.9-$1.0million N/A $0.04-$0.5

CB-4

Wishing Stone Body Shop Hudson Booksellers Sub Pop

Financial Projections

• Unit CC-4 (Manicure Service)
• This location is in close proximity to another personal

services concept

Similar Concept

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Butter London 908 $1.2-$1.4million $1.2-$1.4million $0.07-$0.08 $0.06-$0.07

CC-4

Butter London

Financial Projections

• Units CD-6 and CT-10 (Gift Shops)
• CD-6 location is changing from food service to retail

Similar Concepts

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 Fireworks Gallery [N] 1,010 N/A $1.3-$1.5million N/A $0.07-$0.08 Fireworks Gallery [CT] 2,145 $4.9-$5.1million $5.3-$5.5million $0.28-$0.30 $0.29-$0.30

CD-6

Fireworks Fireworks

CT-10

Financial Projections

• Units CD-5 and CA-7 (Tech Retail)
• CD-5 location is changing from convenience retail to

specialty retail

• CA-7 location is changing from food service to retail

Similar Concept

• Sq. Ft.

Sales Sales/Enplanement 2013 2014 2013 2014 InMotion 590 $2.0-$2.2million $1.9-$2.1million $0.12-$0.13 $0.10-$0.11

CA-7

InMotion

CD-5

Section Five - Management, Staffing, Operations and Environmental Sustainability

• Maximum of 6 pages, not including maintenance

schedules

• Narrative description of the three items noted in the CEP:

– Management and staffing structure – Standards for day-to-day operations – Environmental philosophies and practices in day-to-day operations

• Purpose is to demonstrate:

– Ability to effectively manage all units and operations, including quality leadership and adequate levels of staffing – Commitment to reliable, safe, clean and well-merchandised

• perations and a proactive/consistent maintenance approach

– Environmental sustainability measures that you will practice, including separation of waste, recycle and compost, and use of compostable materials

Section Six - Job Quality, Workforce Training, Employment and Service Continuity

• Maximum of 5 pages
• Narrative description of the six items noted in the

CEP:

– Living wage – Paid Time Off – Affordable Care Act compliance – Employee Training – Employment Continuity Pool – Service Continuity Assurances (4 or more units)

• Purpose is to provide detail regarding commitment to

employment continuity, provision of quality jobs, sustainable wages, benefits and paid time off.

Section Seven - Small Business Participation

• Maximum of 4 pages
• Narrative description of the 2 items in the CEP:

– Whether you qualify as a small business relative to the established standards adopted by the U.S. Small Business Administration (SBA) for the size standards for your North American Industry Classification System (NAICS) code – Whether and to what degree you commit to, and your proposed operation will include opportunities for participation by local, small and/or disadvantaged firms. Describe how you will support local, small, and/or disadvantaged businesses participation.

CEP Submittal Requirements

Submittal Schedule

CEP Date of Issue December 14, 2015 CEP Training Sessions and Onsite Tours Two Sessions: January 19 and 20, 2016 Submittals Due February 22, 2016 by 2:00pm, eastern standard time

Must submit one original submittal and an electronic PDF copy on a flash drive, along with the pro forma in Excel format

Agenda

• Overview of Sea-Tac Airport
• Overview of ADR program
• Operating a concession business at Sea-Tac Airport
• ADR Design Guidelines
• CEP Process
• CEP Evaluation Criteria
• FAQ
• Resources
• Questions

CEP Evaluation Criteria

Evaluation Criterion Maximum Points Background, Experience and Financial Capability 20 points Concept Development 25 points Unit Design, Materials and Capital Investment 25 points Financial Projections and Financial Offer 20 points Management, Staffing, Operations and Environmental Sustainability 20 points Job Quality, Workforce Training, Employment and Service Continuity 20 points Small Business Participation 20 points

Small Business Scoring

• Respondents that qualify as a small business

relative to the standards adopted by the U.S. SBA will automatically receive 10 points

• All respondents, regardless of size, may receive up

to 10 points, depending on the degree of commitment for each of the four small business participation opportunities identified (sourcing, mentoring, product placement, design/construction)

• No respondent may earn more than 20 points for the

Small Business Participation element

Frequently Asked Questions

.

FAQ

• Q. In order to qualify for SB points – must any vendor we work with, relative to our proposal and

if awarded opportunity, be certified as a SB in WA at the time of submittal?

• A. While a small business certification is not required, companies must meet the small business

size standards as defined by the U.S. Small Business Administration at the time of submittal. Please see below. Small Business - The business size must not exceed the U. S. Small Business Administration’s size standards. Using the North American Industry Classification System (NAICS) codes, the SBA has determined the gross receipts or number of employees a business can have and still be considered small. These standards are found in the Table of Small Business Size Standards located: https://www.sba.gov/content/small-business-size-standards. In 2015, these standards for businesses likely to be future tenants at Seattle-Tacoma International Airport are: Retail Businesses: Sectors 44 and 45, Subsectors 443-453, annual gross receipts can be a maximum of between $7.5 million and $38.5 million depending on the specific business. Accommodation and Food Service Businesses: Sectors 72, Subsector 722, annual gross receipts can be a maximum of $7.5 million to $11.0 million depending on the specific business. Personal Services: Sector 81, Subsector 812, annual gross receipts can be a maximum of $7.5 million.

FAQ

• Q. Is the term length for Unit #8 Gourmet Coffee – 10

years (see leasing page overview for Unit #8 and proforma) or 8 years as stated in Unit #8 CEP?

• A. The term for Food Service Single Unit 8 is eight (8)

years.

FAQ

• Q. The description asks for a local brand concept.

Although we are not a local brand we would have a local operator running the concept, would the operator factor be enough to comply with the “local” requirement?

• A. No. Sea-Tac is looking for a local brand for the

location.

FAQ

• Q. Would it be possible to extend the response

deadline due to the response deadline being so close to the airport tour date?

• A. At this time, there is no plan on extending the CEP

deadline.

Agenda

• Overview of Sea-Tac Airport
• Overview of ADR program
• Operating a concession business at Sea-Tac Airport
• ADR Design Guidelines
• CEP Process
• CEP Evaluation Criteria and Selection Process
• FAQ
• Resources
• Questions

Resources

• Washington State Office of Minority and Woman

Business Enterprises (OMWBE)

• http://omwbe.wa.gov/

Questions?

Thank you!

• Please help us to improve future training sessions by

completing the evaluation form provided when you signed in

• Please join your group for the tour, which will start in

approximately 10 minutes.