R926-16-8. Predevelopment Agreements

  (1) An unsolicited proposal may be used to establish a predevelopment agreement that may become a TIPPP. The first phase of a predevelopment agreement will result in a determination of feasibility and ultimately result in a project development plan and financing plan.

  (2) An unsolicited proposal for the first phase of a predevelopment agreement shall include applicable elements from R926-16-3 and all of the following:

  (a) overall approach to the predevelopment agreement process and a demonstration of how the project can be effectively and efficiently developed, financed and completed;

  (b) proposed initial scope of work to advance and define a feasible project that can be ultimately scoped, priced and financing secured;

  (c) relative responsibilities between the Department and the Proposer during the predevelopment agreement phase;

  (d) the payment structure, terms and conditions under which the Proposer will be compensated for undertaking the predevelopment agreement scope of work; and

  (e) schedule and milestones applicable to the predevelopment agreement scope activities.

  (3) The subsequent phase or phases may be for all or a portion of the remaining services necessary to deliver the proposed project and may include, design services, construction services, operation or maintenance services, traffic, ridership and revenue estimates, financing and toll or user fee collection services, or any other requirement the Department deems necessary. Each subsequent phase will commence after the preceding phase has been completed.

  (4) Award of the first phase will be based on the Department's competitive solicitation in accordance with R926-16-5, subject to R926-16-7.

  (5) The entity awarded the first phase may have the first opportunity to submit a proposal for the subsequent phase or phases, as set forth in the predevelopment agreement. The entity awarded the first phase must provide all supporting documentation used to determine the scope, schedule, and cost in its proposal for each subsequent phase to the Department for review, along with any other information and requirements set forth in the predevelopment agreement.

  (6) The Department may accept or reject the proposal. If the Department rejects the proposal, the Department may provide a counteroffer and/or negotiate with the entity awarded the first or prior phase, or in lieu of providing a counteroffer or if the negotiations are unsuccessful, choose to solicit competitive proposals for the subsequent phase or phases.