A pre-proposal conference will be held on July 17, 2003 at 2:00 p.m. at Pierce Transit Headquarters, 3701 96th Street S.W., Lakewood, Washington 98499-0070. All prospective proposers are requested and strongly encouraged to attend. The pre-proposal conference will provide prospective proposers the best opportunities to review the requirements and intent of the Contract Documents and to observe PIERCE TRANSIT's operating conditions.

SOLICITATION
Pierce Transit requests proposals for providing paratransit vans over a five-year period under an indefinite delivery/indefinite quantity contract. This type of contract provides for Pierce Transit ordering an indefinite quantity of paratransit vans during a fixed period of time with deliveries to be scheduled by placing task orders with the Contractor. It requires Pierce Transit to order and Contractor to furnish a stated minimum quantity but not to exceed a stated maximum quantity. It does not bind Pierce Transit to order more than the guaranteed minimum. It binds the contractor to provide all quantities of paratransit vans Pierce Transit may order under the five-year contract term up to the maximum quantity stated in the contract. This Request for Proposals (RFP) sets forth all of Pierce Transit's requirements for this procurement.

The minimum quantity of paratransit vans Pierce Transit will order under this contract is forty (40). No less than this quantity will be ordered under the initial purchase unless there is a funding adjustment for the initial purchase. The maximum quantity of paratransit vans ordered under this contract is two hundred (200).

Pierce Transit grants to other transit districts authorization to purchase an equivalent vehicle as described in the specifications at the same submitted unit bid price, adjusted for options, for this purchase. This authorization applies only with the consent of the contractor. In addition the contractor shall inform Pierce Transit and obtain Pierce Transit's approval prior to accepting an order under this contract from another agency.

In no way shall Pierce Transit be responsible or liable for vehicles purchased by other agencies through this cooperative bidding process

Each agency will be responsible for completing individual contracts with the contractor independent of this contract.

PRICE ESCALATION
Pierce Transit reserves the right to order paratransit vans and optional equipment over the five- (5) year period beginning upon the date of contract award. The prices of such paratransit vans and equipment shall be the prices quoted in the initial contract. These prices shall remain firm/fixed for any orders issued by Pierce Transit within a period of one-hundred eighty (180) days of contract award. The price(s) of any paratransit vans or equipment ordered by Pierce Transit after the initial one-hundred eighty (180) day firm/fixed price period shall be that quoted (Base Order Prices) plus an escalation which will be calculated based on the following formula which utilized the US Department of Labor/Bureau of Labor Statistics Producer Price Index ("PPI") Category 1411-06, "Heavy Duty Trucks Over 10,000 lbs. GVW." The escalation in this index will be used to adjust the Base Order Prices. However, in no event will the price(s) for any purchase order release exceed, by more then 4% the price(s) that would have been in effect twelve (12) months prior to the date of the release.

FORMULA:
Index Point Change	Example
PPI Index: Future Award Month	141.1
Less PPI Index: Base Award Month	137.6
Index Point Change	3.5
Index Percentage Change
Index Point Change	3.5
Divided by PPI Index: Base Award Month	137.6
Change	.0254
Results Multiplied by 100 = Percentage Change	2.54%
Base Order Price	$1,000.00
Plus Percentage Change (2.54% x $1,000)	25.40
Revised Price for Future Order	$1,025.40

Example:
Pierce Transit awards it's contract in December 1998 and has received it's initial order of paratransit vans. In January 2000, Pierce Transit elects to purchase more paratransit vans for delivery in 2001. The published date for PPI-Category 1411-06 shows an index value of 141.1 in January 2000. (Future Award Month). The index for December 1998, (base award Month) was 137.6. The percentage change in the index values from December 1998 to January 2000 would be 2.54 percent. The paratransit vans ordered in January 2000 would be priced 2.54 percent higher than the base award price. This example assumes that the January 2000 order contained no significant equipment modifications when compared with the original order.

ANTICIPATED PURCHASE
Pierce Transit anticipates the following purchases of paratransit vans over the five year contract term based on its 6-year plan; however, the actual quantity could be higher or lower. These quantities are not binding for Pierce Transit.

YEAR	ESTIMATED QUANTITY
Year 1	40 (guaranteed minimum)
Year 2	20
Year 3	20
Year 4	0
Year 5	22
Total	102

Orders for Paratransit vans: Pierce Transit may order any quantity of paratransit vans it wishes during each year of the contract. Pierce Transit may order no paratransit vans in a given year, or Pierce Transit may order as many paratransit vans as it wishes and as often as it wishes in a given year, but in no event will the quantity ordered by Pierce Transit at one time be less than five (5). In any event, Pierce Transit's first order for paratransit vans will be not less than forty (40). (Other participating agencies may negotiate orders for less than five).

CONTRACT TERM

The term of the contract shall be for a period of five years ending October 31, 2008.