Burt Lake State Park Beach Concession

Description: Michigan Department of Natural Resources DNR Parks and Recreation Division Michigan State Park Concession MICHIGAN Invitation To Bid Burt Lake State Park Beach Concession Bid package enclosures include the following: Section 1. Standard Bid Requirements Section 2. Specific Bid Information Section 3. Required for All Bid Responses: 1) Bid Proposal Form 2) Concession Bidder Qualification Statement 3) Financial Statement in the amount of $5,000 4) Two personal reference letters 5) Two professional reference letters Section 4. Sample Contract Section 1, Standard Bid Requirements: Act 451, P.A. of 1994 authorizes the Director of the Department of Natural Resources to contract public service privileges in state parks. Through this authority, the Department desires to invoke the widest possible interest to obtain the most qualified and capable concession operator available. The Department is seeking a partner to operate the beach concession at Burt Lake State Park. The selected partner will offer food, beverage, camping and beach supplies. Alternative bids to operate a food truck and/or the beach building will be accepted. Bids must be enclosed in sealed envelopes. Bid envelopes must be plainly marked on the outside, "Bid for Concession at Burt Lake State Park." Other larger documents such as development plans must be enclosed and appropriately labeled. Only Sealed Bids properly addressed and identified can be accepted. Bids are due January 6, 2027 at 2:00 pm. Bid documents received after this date and time will not be accepted. Incomplete bids will not be accepted. Bids will be opened following the bid due date and time. You may submit your bid in the following methods: 1. United States Postal Service, Mail your bid to: DNR, Parks and Recreation Division Attn: Lori Green Lakeport State Park 7605 Lakeshore Drive Lakeport, MI 48059 2. Email your bid to: DNR-PRD-ConcessionBd@michigan.gov In the subject line state: "Bid for Burt Lake" to ensure that your bid is not opened prior to the bid due date and time. Failure to include this statement in your subject line may result in your bid being disqualified. 3. Hand delivery of bid submissions to Lakeport State Park may be allowed with prior approval of the Concession Manager at GreenL9@michigan.gov. To bid on this concession, you must complete the following: 4. Submit bid prior to January 6, 2027 at 2:00 5. Bid Proposal Form 6. Concession Bidder Qualification Statement 7. Financial Statement in the amount of $5,000 8. Reference letters (see Questions 26 and 27) 9. Sealed envelope and marked as "Bid for Concession at Burt Lake State Park" Individuals needing mobility, visual, hearing, written or other assistance should contact the DNR, PRD, Concession Manager. Bidder Selection: The bids will be primarily evaluated on business experience, financial stability and monetary compensation to be paid to the State; and, secondarily evaluated on other areas relating to the business and business operation and will include a review of the reference letters. Personal interviews may be required to assist in evaluating each bidder's proposal and qualifications. If such interviews are required, bidders will be contacted to make arrangements. Each bidder may select one (1) additional representative to monitor the interview. General Bid Information: 1. Act 451, Public Acts of 1994, requires that the Director of the Department of Natural Resources shall provide that each concession is awarded at least every seven (7) years based upon extension, renegotiation or competitive bidding. 2. The bids will be primarily evaluated on business experience, financial ability and monetary payment to be paid to the State; and, secondarily evaluated on other areas relating to the business and business operation and identified as "secondary" in the "Bidder Qualifications Statement". 3. The successful bidder will be required to sign a contract. The terms and conditions stated in the enclosed sample contract are to be considered as requirements for this Invitation to Bid. Contractors must pay the Department a fee for the privilege of operating concessions. 4. It is recommended that applicants make a personal visit to the park and the concession facilities to determine the conditions to be encountered, plus any factors affecting the operation. In so doing, it is best to contact the Unit Supervisor or representative. 5. Bidders must accept all concession facilities in their present condition. Do not expect that the Department will perform any repairs or remodeling unless specifically stated in this Invitation to Bid. 6. The submission of a bid shall be deemed evidence that the bidder has carefully examined these instructions, the proposal form, and the sample contract terms and is fully aware of the responsibilities of the contractor. In addition, the bidder agrees to abide by all applicable laws relating to the operation of the concession if granted this concession contract. 7. Bids are to be made only on the basis of the Invitation to Bid. A bidder shall not be relieved of their bid because of mistakes. 8. Alternate Bid: Deviations from the specific terms, qualifications and requirements, as set forth in the Invitation to Bid are not permissible as a part of the bid. But, alternate or additional bids or suggested revisions, if any, may be submitted separately and apart from, but enclosed with, the proposal. Such alternate proposals will be reviewed only as to their merit and potential benefits to the public and the Department and may or may not have a bearing in the selection of a bidder. 9. The Department of Natural Resources reserves the right to reject any or all bids. 10. Performance Bond: The bidder that is awarded a contract must provide the Department with a Performance Bond for the amount specified in the specific information and requirements for this concession sheet within ten (10) days of receipt of the contract award. Failure to do so will result in the forfeiture of the award. The bond guarantees that the bidder will perform all requirements and provisions in this Invitation to Bid. The Performance Bond will be due within 10 days of the Contract award. The Performance Bond for the Contract will be $1,000. Performance Bonds can be accepted in four different types. All types must be approved by the Department of Natural Resources, Parks and Recreation Division, and remain in effect for the entire contract term or be effective for the entire period of operation for each year of the contract. Bonds are to be mailed to: DNR, Parks and Recreation Division Attn: Concession Manager PO Box 30257 Lansing, MI 48909. Types accepted: a) Surety Performance Bond issued by a bonding company authorized in Michigan payable to the State of Michigan; b) Cash Bond payable to the State of Michigan; c) Certificate of Deposit with minimum one year maturity, negotiable, interest on maturity only, automatically renewable and registered to Chief, Parks and Recreation Division Michigan Department of Natural Resources; d) Letter of Credit issued by a bona fide financial institution with minimum maturity of one year and registered to Chief, Parks and Recreation Division, Michigan Department of Natural Resources. 11. Financial Statement: The Financial Statement is used to report financial information about a business. The amount required reflects a conservative estimate of what it will cost to set up and begin operations. The minimum Financial Statement amount required for this contract shall be $5,000. To meet this requirement, the bidder must provide a certified document prepared by a licensed financial institution. The Financial Statement requirement must include a statement of total financial availability available for opening and operating the concession and may include the following: a) Bank statement of checking and/or savings account b) Credit card statement showing available credit c) Certified inventory list which includes financial values of each item d) A letter from a financial institution reflecting funds available to the bidder for operation of a business. Current concessionaires with at least 10 years of business experience in Michigan State Parks and Recreation Areas are exempt from this requirement. 12. Selection Process: Prior to awarding a concession contract, the Department takes the following steps: a) Competitive bid letting b) Bid Opening c) Review of reference letters of bidders who met the minimum bid requirements d) Department internal review of submissions (including at a minimum, Commercial Services & Land Use Program Manager, Park Manager, and District Supervisor) e) Department may request a presentation from all bidders to gain clarification where questions arise f) Notification of selection (approximately two weeks between bid and notification) g) Successful Bidders 10-day appeal period with limited appeal criteria h) Contract execution. Section 2, Specific Bid Information: Contract Requirements: 1) Liability Insurance: General Aggregate $1,000,000; Each Occurrence $1,000,000; Fire Damage (State owned buildings only) $500,000. 2) Workers Compensation Insurance pursuant to Sample Contract. 3) A minimum Contract Fee of 7% of Gross Sales pursuant to Sample Contract Section II.B. General Information: Burt Lake State Park is at the heart of the inland waterway, where Burt Lake and the Sturgeon River converge. The park consists of 406 acres which includes 305 campsites, day use area, overlook tower, picnic area with shelter, hiking trail, boating access site, and an organizational campground. The park offers an Explorer Guide program for visitors and a track chair is available for use in the park. For more information about the park, please visit Burt Lake State Park. Year Concession Sales Annual Visitors 2021 $50,085 155,200 2022 $47,777 165,121 2023 $50,591 170,203 2024 $34,023 166,010 2025 Closed 168,000 2026 Closed 165,000 Concession Facilities: The selected bidder will be granted use of an area located in the beach restroom facility that contains three rooms for use by the concessionaire. This concession area is approximately 386 square feet and includes 3 rooms with interior and exterior serving counters. One room is a product display area. A second room is the food preparation and serving area which has stainless steel counters and hooded fans with a roll door for the tiled exterior service counter. The third room is a cleaning and storage area which has stainless steel sinks and an electric hot water heater. In addition, there is a large wrap around porch that allows ingress and egress of customers; however, the facility is not handicap accessible. Finally, new windows were installed in the beach concession building during the 2026 season. Products and Services: It is the expectation that a bidder's operations will not require Department oversight and/or involvement. The Department retains the right to approve the sale of all products and services and not award a bid, if the proposed operation would require burdensome oversight and/or involvement of staff. The Contractor shall not sell any product or service of which the Department does not approve. Products and services which are permitted are identified in the sample contract. Visa and MasterCard credit cards should be accepted by the Contractor for all products and services. Minimum Season: The minimum season for this contract is identified in Sample Contract, Section II.6. Equipment: The necessary and required equipment for this contract is identified in Sample Contract, Section IX. Utilities and Telephone: The successful Contractor will be required to pay for certain utilities which are identified in Sample Contract, Section VI.E. Maintenance Responsibilities: The required maintenance responsibilities, which will be required of the successful contractor, are identified in Sample Contract, Section VIII. Inspection of Facilities: To arrange for a personal inspection of the facilities, contact the Park Manager at 989-238-9392. Section 3, Bid Forms: Bid Proposal Form and instructions: bidder offers to operate and maintain the beach concession for a percentage of gross sales to be stated, agrees to enter into negotiations within thirty (30) days of notification of acceptance, and must attach required documents (Bid Proposal Form, Concession Bidder Qualification Statement, Financial Statement $5,000, Reference Letters, Other as applicable). Signature required; failure to sign disqualifies bid. Concession Bidder Qualification Statement: Detailed instructions to prepare responses to numbered questions (1-32) covering prior experience, business mission, organization chart, prior concession history, oversight needed, manager qualifications, subletting, staffing plan, marketing, menu and pricing, equipment, maintenance and bookkeeping plans, financial statements, working capital, liens, judgments, insurance, references (minimum two personal and two professional required), refurbishment plans, environmental sustainability practices, certification and signature. Responses will be evaluated and scored; failure to respond or follow directions shall result in disqualification. Section 4, Sample Contract: A full draft concession contract is provided for informational purposes only. The successful bidder will be issued a contract upon contract award. The Sample Contract includes detailed terms including contract term (ending October 16, 2033 in the sample), contract fee payment terms and schedule, premises description, operating schedule and minimum hours/dates of operation, contractor covenants and representations, sale of products and services (permitted and prohibited items), point of sale system and reporting requirements, accounting and reporting (monthly reports and annual financial reporting), insurance and performance guarantee requirements (including minimum coverage limits and $1,000 performance guarantee for this contract), maintenance, environmental responsibilities, employee and training requirements, standards of performance, notice of violation and liquidated damages provisions, termination and cancellation clauses, extension and re-bid cycle (every seven years unless extended), and other standard contract provisions. The Sample Contract is lengthy and contains specific operational, legal, insurance, financial, sanitation, and reporting requirements that will govern the awarded concession. The Invitation to Bid specifies that the successful bidder will be required to sign the contract issued by the Department and comply with all contract provisions. Individuals needing mobility, visual, hearing, written or other assistance should contact the DNR, PRD, Commercial Services & Land Use Program Administrator.