MISSISSIPPI LEGISLATURE
2017 Regular Session
To: Public Property
By: Representatives Weathersby, Rogers (61st)
AN ACT TO AUTHORIZE THE DEPARTMENT OF FINANCE AND ADMINISTRATION (DFA) AND THE MISSISSIPPI DEVELOPMENT AUTHORITY (MDA), ACTING ON BEHALF OF THE DEPARTMENT OF PUBLIC SAFETY, TO ENTER INTO AN AGREEMENT TO LEASE ALL OR ANY PORTION OF CERTAIN STATE-OWNED REAL PROPERTY IDENTIFIED AS THE MISSISSIPPI DEPARTMENT OF PUBLIC SAFETY HIGHWAY PATROL HEADQUARTERS FACILITY IN JACKSON, HINDS COUNTY, MISSISSIPPI, TO AN ENTITY SELECTED IN THE NEGOTIATION PROCESS BY MDA AND DFA FOR PURPOSES OF REDEVELOPMENT AND FOR THE CONSTRUCTION OF A NEW MISSISSIPPI DEPARTMENT OF PUBLIC SAFETY HIGHWAY PATROL HEADQUARTERS FACILITY IN RANKIN COUNTY, MISSISSIPPI; TO REQUIRE DFA AND THE MDA, IN COOPERATION WITH THE CITY OF JACKSON, TO ADVERTISE THE AVAILABILITY OF THE PROPERTY FOR LEASE AND REDEVELOPMENT, TO HIRE A CONSULTANT TO CONDUCT A NATIONAL ADVERTISING CAMPAIGN TO SOLICIT REQUESTS FOR PROPOSALS, SUBJECT TO THE AVAILABILITY OF FUNDS, AND TO ESTABLISH A DEADLINE FOR THE RECEIPT OF SUBMITTED PROPOSALS; TO REQUIRE PROPOSALS TO BE SUBMITTED ON FORMS FURNISHED BY MDA; TO REQUIRE DFA AND MDA TO CONDUCT A PREPROPOSAL CONFERENCE; TO ESTABLISH THE MANNER FOR WHICH PROPOSALS MUST BE SUBMITTED AND COMPONENTS REQUIRED TO BE INCLUDED IN THE PROPOSALS; TO PRESCRIBE THE MANNER OF REVIEW FOR SUBMITTED PROPOSALS; TO REQUIRE DFA AND MDA TO DESIGNATE AN EVALUATION TEAM TO REVIEW AND CONSIDER ALL PROPOSALS; TO REQUIRE THAT CERTAIN PROCEDURES ARE TO BE FOLLOWED IN THE EVALUATION PROCESS; TO REQUIRE THE EVALUATION TEAM TO EVALUATE AND RANK THE PROPOSALS AND MAKE RECOMMENDATIONS TO DFA AND MDA TO ENTER INTO A REDEVELOPMENT AND CONSTRUCTION AGREEMENT WITH A CERTAIN PROPOSER, TO REQUIRE DFA AND MDA TO SELECT ONE OR MORE PROPOSALS AND TO ENTER INTO NEGOTIATIONS WITH THE PROPOSERS OF THOSE PROPOSALS FOR THE LEASE AND REDEVELOPMENT OF THE PROPERTY; TO REQUIRE THAT CERTAIN NOTICE BE PROVIDED TO PROPOSERS CONCERNING THE REJECTION OR ACCEPTANCE OF PROPOSALS; TO REQUIRE THAT NOTIFICATION OF INTENT TO ACCEPT A PROPOSAL BY DFA AND MDA BE FILED WITH THE SECRETARY OF STATE; TO REQUIRE DFA AND MDA AND THE SELECTED PROPOSER TO ENTER INTO A MEMORANDUM OF UNDERSTANDING SETTING FORTH THE CONDITIONS TO EXECUTION OF THE AGREEMENT WITHIN A CERTAIN PERIOD OF TIME AFTER BEING FILED; TO PROVIDE THAT THE FAILURE OF A SELECTED PROPOSER TO EXECUTE THE MEMORANDUM OF UNDERSTANDING WITHIN THE SPECIFIED TIME PERIOD CONSTITUTES A DEFAULT AND NULLIFIES ANY RIGHTS OF THE PROPOSER IN THE PROPOSAL; TO REQUIRE THE SELECTED PROPOSER TO FILE AN AFFIRMATIVE ACTION PROGRAM FOR WORKFORCE INTEGRATION IF THE CONDITIONS OF THE MEMORANDUM OF UNDERSTANDING ARE MET AND TO DEPOSIT TEN PERCENT OF THE PURCHASE PRICE; TO INDEMNIFY CERTAIN OFFICIALS, EMPLOYEES OR MEMBERS OF THE GOVERNING BODY OF THE DEPARTMENT, THE AUTHORITY OR THE STATE FROM PERSONAL LIABILITY FOR ANY DEFAULT OR BREACH BY THE STATE; TO REQUIRE ANY AGREEMENT ENTERED INTO TO COMPLY WITH STATE PUBLIC PURCHASING AND CONTRACTING LAWS; TO AUTHORIZE AN INSPECTION OF THE PROPERTY BY PROPOSERS BEFORE THE SUBMISSION OF THEIR PROPOSALS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. For purposes of this act, the following words shall have the meaning ascribed to them in this section, unless the context requires otherwise:
(a) "Agreement" means the agreement between the State of Mississippi and a selected private entity that provides for the construction of a new Mississippi Department of Public Safety Highway Patrol State Headquarters Facility in Rankin County, Mississippi, and the redevelopment of the Mississippi Department of Public Safety Highway Patrol Headquarters Facility in Jackson, Hinds County, Mississippi, for mixed-use purposes.
(b) "Authority" means the Mississippi Development Authority (MDA).
(c) "Department" means the Department of Finance and Administration (DFA).
(d) "Property" means the Mississippi Department of Public Safety Highway Patrol Headquarters Facility in Jackson, Hinds County, Mississippi.
(e) "Proposal" means the document submitted to the authority detailing the projected plans for the construction of a new Mississippi Department of Public Safety Highway Patrol State Headquarters Facility in Rankin County, Mississippi, and the redevelopment of the Mississippi Department of Public Safety Highway Patrol Headquarters Facility in Jackson, Hinds County, Mississippi, for mixed-use purposes.
(f) "Proposer" means an individual, whether private or corporate, submitting the proposal for construction and redevelopment to the authority for selection.
(g) "State" means the State of Mississippi.
SECTION 2. (1) Acting on behalf of the Department of Public Safety, the Department of Finance and Administration and the Mississippi Development Authority, with the approval of the Secretary of State, are authorized to enter into an agreement to lease of all or any portion of certain state-owned real property identified as the Mississippi Department of Public Safety Highway Patrol Headquarters Facility in Jackson, Hinds County, Mississippi, to an entity selected in the negotiation process by MDA and DFA for purposes of redevelopment for a term to be determined by parties to the agreement. The property shall be more particularly described in the lease agreement.
(2) (a) The property described in subsection (1) of this section shall be leased for private redevelopment in compliance with the provisions of this act to result in the highest and best use as determined by the Mississippi Development Authority and to ensure that the property is used in a manner that will not interfere with the operation of the University of Mississippi Medical Center or the G.V. (Sonny) Montgomery VA Medical Center.
(b) It is the intent of the Legislature that the property will be leased to a private developer selected by the Department of Finance and Administration and the Mississippi Development Authority through the process prescribed by this act, for the benefit of creating value by promoting economic growth in the area, and from which the revenue generated from the tenants occupying the redeveloped property shall be used finance the construction of a new Mississippi Department of Public Safety Highway Patrol State Headquarters Facility in Rankin County, Mississippi.
SECTION 3. (1) The Department of Finance and Administration and the Mississippi Development Authority, in cooperation with the City of Jackson, shall advertise the availability of the Mississippi Department of Public Safety Highway Patrol Headquarters Facility and property in Jackson, Hinds County, Mississippi, described in Section 2 of this act for lease and redevelopment. Subject to the availability of funds, the department and the authority are authorized to hire, within a reasonable period of time after the effective date of this act, a consultant to implement and conduct a national advertising campaign to solicit requests for proposals for the lease and redevelopment of the property.
(2) The department and the authority, in cooperation with the City of Jackson, shall establish a deadline to receive proposals submitted by interested parties.
SECTION 4. (1) Proposals to lease and redevelop all or any part of the property described in Section 2 of this act must be considered by the department and the authority. A party shall submit a lease proposal on the applicable redevelopment proposal form furnished by the authority, accompanied by any appendices, exhibits, or other materials as the proposer desires, including the proposer's cost of projections for the construction of a new Mississippi Department of Public Safety Highway Patrol State Headquarters Facility in Rankin County, Mississippi, using the blueprints and architectural designs previously approved for such project by the department. Proposals shall be subject to the requirements of each of the documents required by the department and the authority on the forms developed for proposals.
(2) The department and the authority shall conduct a preproposal conference at a time, date and location as agreed upon by both to be appropriate. Persons desiring notice if the preproposal conference will be held at a time other than the originally designated time, date and location, may submit a written request to receive notice to the authority. The preproposal conference will be a forum to answer questions from potential respondents to the requests for proposals in a fair and open setting. The authority may schedule one or more additional preproposal conferences. Parties desiring notice of any additional preproposal conferences may submit a written request to receive notice to the authority.
(3) Each proposer shall submit ten (10) copies of its proposal to the authority no later than 5:00 p.m. on the date of the deadline established by the department and the authority. All copies shall be in an eight and one-half (8-1/2) inches by eleven (11) inches format, with graphics not exceeding eleven (11) inches by seventeen (17) inches. Nine (9) of the ten (10) copies shall be bound and one (1) of the copies shall remain unbound. All proposals shall be in an envelope plainly marked "Department of Public Safety Redevelopment and New Construction Proposal." All proposals must be received by the authority by the deadline set for receipt of proposals.
(4) Each proposal to purchase all or a portion of the property shall include:
(a) A statement that the proposal is to lease and redevelop all or a portion of the property;
(b) A statement indicating whether the proposal is to lease all or a portion of the property, and if the proposal is with respect to a portion of the property, a statement identifying the portion of the property with respect to which the proposal is made;
(c) The lease price offered for the property or applicable portion thereof, or the proposed method for determining the lease price. Any proposal contingent upon the authority's financing all or part of the lease price must include detailed information concerning the proposed financing terms and any collateral which will secure such financing.
(d) A description of any variations from the form for the agreement for the lease and redevelopment of the Mississippi Department of Public Safety Highway Patrol State Headquarters Facility in Jackson, Hinds County, Mississippi, which the proposer will request; and
(e) A statement evidencing the proposer's agreement that, if the department and the authority determine that it is in the best interest of the public to accept the proposal, the proposer will enter into a memorandum of understanding with the department and the authority under which, subject to satisfaction of conditions set forth in the agreement within time periods specified in the agreement, the department, the authority and the proposer will agree to enter into an agreement. The agreement shall be in substantially the form set forth by the department and the authority, with any modifications, additions and changes that are specifically set forth in the proposal or that are mutually acceptable to the proposer and the department and the authority, and the proposer will agree to deliver to the department and the authority the ten percent (10%) of the lease price paid by the proposer before or contemporaneously with the execution of the agreement and to file, with the department and the authority, an affirmative action program for workforce integration.
(5) In addition to the requirements of subsection (4) of this section, each proposal shall also include, at a minimum, the following:
(a) A description of the development team, including, as applicable:
(i) A description of the primary respondent and related principals;
(ii) A description of team members, including architects, consultants and contractors;
(iii) A description of development and redevelopment experience of team members and status of current projects including experiences related to the design, construction, leasing and management of urban real estate projects;
(iv) A description of similar experiences of team members in developing and redeveloping properties acquired from public owners through the public process;
(v) The ability to assemble additional property to increase the magnitude and impact of the proposed project if applicable; and
(vi) A statement showing the proposer's qualifications and financial responsibility on a form supplied by the authority;
(b) Details of the proposed redevelopment of the property or applicable portion thereof, including information addressing, without limitation:
(i) The project vision;
(ii) A development concept including narrative description and visual depictions;
(iii) A proposed redevelopment plan;
(iv) The anticipated types of uses;
(v) The approximate quantities and square footage for each use;
(vi) A development timeline from execution of a memorandum of understanding to completion of redevelopment; and
(vii) The preliminary project budget and fifteen-year cash-flow proforma;
(c) A comprehensive description of any governmental assistance or governmental participation in the proposed project which the proposer will request or require;
(d) A comprehensive description of all conditions upon the proposer's commitment to carry out redevelopment of the property or applicable portion thereof in accordance with the proposal;
(e) A comprehensive description of all conditions upon the proposer's commitment to carry out construction of a New Department of Public Safety Headquarters Facility in Rankin County, Mississippi, in accordance with the proposal; and
(f) Any other information as the proposer may determine to be appropriate to permit the authority to determine the qualifications, experience and abilities of the proposer and to gain a complete understanding of the proposer's vision for the property.
SECTION 5. (1) In reviewing submitted proposals, the evaluation team selected by the department and the authority shall consider proposals that are contingent upon the authority's financing all or part of the lease price.
(2) An evaluation team shall be designated by the department and the authority to review and consider all proposals in light of all factors that the evaluation team deems relevant, including, without limiting the generality of its consideration, the following:
(a) The overall qualifications, financial stability, experience and past performance of the proposer;
(b) The experience of the proposer with respect to activities comparable to those covered by the proposal;
(c) The overall qualifications, financial stability, experience and past performance of the other members of the development team;
(d) The qualification and experience of staff to be assigned to the project;
(e) The proven ability of team members to successfully design and redevelop high quality, high-density projects in an urban setting;
(f) The legal ability of the proposer to carry out its proposal;
(g) The proposer's ability to secure or provide sufficient equity and construction and permanent financing for the proposed undertaking;
(h) The proposed use or uses of the property or applicable portion thereof;
(i) The cost, scope and scale of the proposed redevelopment and the amount of the investment to be made by the proposer;
(j) The projected impact of the proposed redevelopment on the City of Jackson and in particular on the University of Mississippi Medical Center and the G.V. (Sonny) Montgomery VA Medical Center, and the likelihood that the proposed redevelopment will be a catalyst for additional development and redevelopment;
(k) The overall financial attractiveness of the proposal, and the anticipated net economic effect to the state by the department's and authority's acceptance of the proposal, including, but not limited to:
(i) The proposed lease price or rental payments;
(ii) The projected tax revenues to be generated by and as a result of the proposed redevelopment; and
(iii) Any public assistance or incentives which the proposer intends to request.
(l) The projected timetable for the redevelopment;
(m) Any other specific terms or conditions required or requested in the proposal.
(3) (a) Representatives of the department, the authority and the evaluation team may commence review of a proposal at any time after its receipt;
(b) At any time after receipt of a proposal, representatives of the department, the authority and the evaluation team may request any additional information from the proposer as may be necessary to fully evaluate the proposal and the proposer's ability to carry out the proposal, including information concerning a proposer's qualifications or financial responsibility, and may discuss possible modifications to the proposal;
(c) At any time after receipt of a proposal, the proposer may be invited to make an oral presentation to, and to respond to questions from the department, the authority or the evaluation team; and
(d) At any time after the submission deadline, representatives of the department, the authority and the evaluation team may negotiate with any or all parties submitting proposals concerning modifications to proposals.
(4) Following receipt and review of all proposals and all discussions and presentations, the evaluation team shall evaluate and rank the proposals and, unless it recommends rejection of all proposals, shall recommend that the department and the authority enter into a redevelopment agreement with the proposer receiving the highest evaluation or ranking.
(5) Upon receipt of the evaluation team's recommendation, the department and the authority shall select, unless it is determined to reject all proposals, one or more proposals and shall enter into negotiations with the party or parties submitting the proposal or proposals. At that time, all proposers shall be advised of the party or parties with whom negotiations are entered. If the department and the authority determine to negotiate with more than one (1) party, the determination as to whether the redevelopment agreement will be entered into shall be made on the basis of the factors set forth above.
(6) If the department and the authority determine not to accept any of the proposals, all proposers must be advised of that determination.
(7) The department and the authority reserve the right:
(a) To reject any and all proposals;
(b) To waive any and all informalities and irregularities;
(c) To negotiate with any person or persons for proposals; and
(d) To waive clarifications and exceptions.
(8) If the department and the authority determine that it is in the best interest of the public to accept a proposal, a notification of intent to accept the proposal shall be filed with the Secretary of State. At that time, a copy of the notification of intent shall also be delivered to the proposer designated as the "selected proposer." The department and the authority shall determine whether it is in the best interest of the public to accept a proposal and which proposal, if any, to accept within ninety (90) days of the submission deadline.
(9) Not less than thirty (30) days, and not more than ninety (90) days, after the date on which the notification of intent is filed, the department and the authority and the selected proposer shall enter into a memorandum of understanding setting forth the conditions to execution of a redevelopment and construction agreement, and the time schedule for determining whether those conditions can be met.
(10) The failure of the selected proposer to execute the memorandum of understanding within the prescribed time period, or within any extension as may be granted, based upon reasons determined sufficient by the department and the authority, shall constitute a default, and the selected proposer shall have no further rights with respect to the proposal.
(11) If the conditions upon the selected proposer's obligations as set forth in the memorandum of understanding are met, the selected proposer shall file with the department and the authority, an affirmative action program for workforce integration, and if applicable, shall deliver a deposit of ten percent (10%) of the lease price to the department and the authority, and shall enter into a redevelopment and construction agreement in accordance with the terms of the memorandum of understanding.
SECTION 6. (1) If one or more proposals are received and reviewed before the submission deadline, every reasonable effort will be made to assure the confidentiality of information included in the proposal or proposals until the submission deadline. Neither the department, the authority, nor any director, employee, agent, attorney or other representative of either shall be liable for disclosure of any such information.
(2) If the department and the authority and the selected proposer have not executed a memorandum of understanding within the time period established by subsection (9) of Section 5 of this act, or have not entered into a redevelopment and construction agreement within the time period specified in an executed memorandum of understanding, the authority may undertake discussions and/or negotiations with one or more other parties that submitted proposals, with or without terminating any existing memorandum of understanding. In that event, if the authority determines that it is in the best interest of the public to accept a different proposal, the authority shall proceed with the actions described in subsections (8), (9), (10) and (11) of Section 5 of this act with respect to the other proposal.
SECTION 7. The selected proposer shall represent, warrant and covenant that no official, employee or member of a governing body of the State of Mississippi, the department or the authority, and no person who has been a member of a governing body of the state, the department or the authority during the preceding one-year period, has or had any personal interest, direct or indirect, in any agreement entered into under the request for redevelopment proposals or the selected proposer. No official, employee or member of the governing body of the department, the authority or the state shall be personally liable to the selected proposer or any successor in interest in the event of any default or breach by the authority or for any amount which may become due to the selected proposer or successor in interest or on any obligations under the terms of any agreement entered into under the request for redevelopment proposals.
SECTION 8. The State of Mississippi is committed to the principle of nondiscrimination in public purchasing and contracting and the ideals of equal business opportunities for all persons in undertakings in which the state, its agencies and political subdivisions are involved. Any redevelopment and construction agreement must include provisions designed to assure substantive participation by minority business enterprises in the redevelopment of the property or applicable portion thereof, consistent with the goals and objectives of the state's public purchasing and contracting under Chapter 7, Title 31, Mississippi Code of 1972.
SECTION 9. Each proposer may inspect the property before submitting a proposal. Arrangements to enter the property should be made by contacting the offices of the department and the authority. Upon request, representatives of the department, the authority and the City of Jackson shall meet with and make available any information concerning the property to any party who demonstrates an interest in submitting a proposal; however, no proposer shall rely upon any oral interpretation of this request for redevelopment and construction proposals.
SECTION 10. The authority may modify the documents in any respect at any time before the submission deadline, including, but not limited to, modifications to extend the submission deadline at any time either before or after the initial submission deadline. Every modification must be in the form of addenda to the documents. All addenda must be mailed to each person who received documents from the authority and requested notices of addenda, but it shall be the proposer's responsibility to make inquiry as to the addenda issued. All such addenda shall become part of the documents and all proposers shall be bound by the addenda, whether or not received by the proposer, provided that no proposer shall be bound by an addendum, except one extending the submission deadline, which was not issued and placed on file in the office of the authority at least five (5) days before the submission deadline, unless the proposer received notice of the addendum before the submission deadline. Any proposer that has submitted a proposal before the issuance of an addendum shall be promptly notified of the addendum and offered an opportunity to make any modifications to the proposal as deemed reasonably necessary to address the provisions of the addendum. All modifications shall be submitted to the authority before the submission deadline.
SECTION 11. This act shall take effect and be in force from and after July 1, 2017.