Farmland and Timberland Investment Management Services for the Board of the Pension Protection Fund.

Contract notice

Services

Directive 2004/18/EC

Section I: Contracting authority

I.1)Name, addresses and contact point(s)

The Board of the Pension Protection Fund (The Board)
Knollys House, 17 Addiscombe Road
Contact point(s): Finance Directorate
For the attention of: Mr. Richard Freed
CR0 6SR Croydon
UNITED KINGDOM
Telephone: +44 8456002541
E-mail:
Fax: +44 2086334903

Internet address(es):

General address of the contracting authority: www.pensionprotectionfund.org.uk

Address of the buyer profile: http://www.mytenders.org/search/Search_AuthProfile.aspx?ID=AA4941

Further information can be obtained from: The above mentioned contact point(s)

Specifications and additional documents (including documents for competitive dialogue and a dynamic purchasing system) can be obtained from: The above mentioned contact point(s)

Tenders or requests to participate must be sent to: The above mentioned contact point(s)

I.2)Type of the contracting authority
Body governed by public law
I.3)Main activity
Other: Pension Protection
I.4)Contract award on behalf of other contracting authorities
The contracting authority is purchasing on behalf of other contracting authorities: no

Section II: Object of the contract

II.1)Description
II.1.1)Title attributed to the contract by the contracting authority:
Farmland and Timberland Investment Management Services for the Board of the Pension Protection Fund.
II.1.2)Type of contract and location of works, place of delivery or of performance
Services
Service category No 27: Other services
Main site or location of works, place of delivery or of performance: Croydon, Surrey, England, United Kingdom.

NUTS code UK

II.1.3)Information about a public contract, a framework agreement or a dynamic purchasing system (DPS)
The notice involves the establishment of a framework agreement
II.1.4)Information on framework agreement
Framework agreement with several operators
Number of participants to the framework agreement envisaged: 6

Duration of the framework agreement

Duration in years: 4
II.1.5)Short description of the contract or purchase(s)
The Board is seeking to appoint a panel of fund managers that can access opportunities in Farmland and Timberland. By this, the Board means predominantly the acquisition of land to cultivate and market agricultural or forest products. Proposals focused on investing directly in the soft commodities markets or in agricultural equities will not be considered. Candidates are required to state the strategy type (Farmland or Timberland) for which they wish to tender. Where candidates intend to offer multiple strategies they are required to tender for each strategy separately.
Please note that once the bench has been established, the timing and size of any specific investment will depend on the opportunities available at the time. It is NOT a condition for participation in this tender that candidates are currently engaged in fund raising.

NOTE: To register your interest in this notice and obtain any additional information please visit the myTenders Web Site at http://www.myTenders.org/Search/Search_Switch.aspx?ID=85217.

The awarding authority has indicated that it will accept electronic responses to this notice via a 'Tender Submission Postbox' facility. Further details of this facility are available at http://www.myTenders.org/PostBox/Postbox_Explain.aspx?ID=85217.

Suppliers are advised to allow adequate time for uploading documents and to dispatch the electronic response well in advance of the closing time to avoid any last minute problems. The postbox closes precisely at the time stated.
II.1.6)Common procurement vocabulary (CPV)

66100000, 66131100, 66141000

II.1.7)Information about Government Procurement Agreement (GPA)
The contract is covered by the Government Procurement Agreement (GPA): yes
II.1.8)Lots
This contract is divided into lots: no
II.1.9)Information about variants
Variants will be accepted: yes
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:
The Board is looking to appoint a panel of farmland and timberland managers during 2012. The proportion of PPF assets that may be allocated to farmland and timberland will depend on the opportunities available at any given time. It is envisaged that the investments will be predominantly in land and the operations necessary to cultivate and market agricultural produce, or to grow and sell timber.
A thorough selection process will help identify a diverse range of managers that can demonstrate expertise in large scale farming and timberland operations. The ability to manage farmland and timberland responsibly and sustainably will be a key requirement in the selection process.
II.2.2)Information about options
Options: yes
Description of these options: The original framework agreements will be awarded for a period of 4 years with up to two extensions of up to 2 years, i.e. 4+2+2, for potential investment opportunities that may last for up to 10 years.
Provisional timetable for recourse to these options:
in months: 48 (from the award of the contract)
II.2.3)Information about renewals
This contract is subject to renewal: yes
Number of possible renewals: 2
II.3)Duration of the contract or time limit for completion

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract
III.1.1)Deposits and guarantees required:
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:
III.1.4)Other particular conditions
The performance of the contract is subject to particular conditions: yes
Description of particular conditions: (1) All candidates must demonstrate total funds exceeding 250 000 000 USD (or equivalent) raised in the relevant asset class (Farmland or Timberland) to date, and advise how this has been deployed.
(2) The fund size of the current or proposed fund must exceed 100 000 000 USD (or equivalent). It is not a condition for participation in this tender for candidates to be currently engaged in fund raising.
(3) Proposed strategies must focus on the acquisition of land to cultivate and market agricultural or forest products. Proposals to invest directly in the soft commodities markets or in agricultural equities will not be considered.
III.2)Conditions for participation
III.2.1)Personal situation of economic operators, including requirements relating to enrolment on professional or trade registers
Information and formalities necessary for evaluating if the requirements are met: (1) All candidates will be required to produce a certificate or declaration demonstrating that they have not been convicted of a criminal offence relating to the conduct of their business or profession.
(2) All candidates will be required to produce a certificate or declaration demonstrating that they have not committed an act of grave misconduct in the course of their business or profession.
(3) All candidates must comply with the requirements of the State in which they are established, regarding registration on the professional or trade register.
(4) Any candidate found to be guilty of serious misrepresentation in providing any information required, may be declared ineligible and not selected to continue with this procurement process.
(5) All candidates will have to demonstrate that they are licensed, or a member of the relevant organisation, in the State where they are established, when the law of that State prohibits the provision of the services, described in this notice, by a person who is not so licensed or who is not a member of the relevant organisation.
III.2.2)Economic and financial ability
Information and formalities necessary for evaluating if the requirements are met: (1) All candidates will be required to provide evidence of relevant professional risk indemnity insurance.
(2) All candidates will be required to provide a statement, covering the 3 previous financial years including the overall turnover of the candidate and the turnover in respect of the activities which are of a similar type to the subject matter of this notice.
(3) All candidates must demonstrate total funds exceeding 250 000 000 USD (or equivalent) raised in the relevant asset class (Farmland or Timberland) to date, and advise how this has been deployed.
(4) The fund size of the current or proposed fund must exceed 100 000 000 USD (or equivalent). It is not a condition for participation in this tender for candidates to be currently engaged in fund raising.
Minimum level(s) of standards possibly required: (1) Total funds of 250 000 000 USD (or equivalent) raised in the relevant asset class.
(2) The current or proposed fund must exceed 100 000 000 USD (or equivalent).
III.2.3)Technical capacity
Information and formalities necessary for evaluating if the requirements are met:
(1) A statement of the candidate's average annual number of staff and managerial staff over the previous 3 years.
(2) Details of the educational and professional qualifications of their managerial staff; and those of the person(s) who would be responsible for providing the services or carrying out the work or works under the contract.
(3) All candidates will be required to provide certification drawn up by an independent body attesting the compliance of the economic operator with quality assurance standards based on the relevant European standards.
(4) A check may be carried out by the contracting authority or by a competent official body of the State in which the candidate is established, to verify the technical capacity of the candidate; and if relevant, on the candidates study and research facilities and quality control measures.
(5) A statement of the candidate's technical facilities; measures for ensuring quality; and their study and research facilities.
(6) An indication of the proportion of the contract which the services provider intends possibly to subcontract.
(7) Proposed strategies must focus on the acquisition of land to cultivate and market agricultural or forest products. Proposals to invest directly in the soft commodities markets or in agricultural equities will not be considered.
Minimum level(s) of standards possibly required:
(1) Proposed strategies must focus on the acquisition of land to cultivate and market agricultural or forest products. Proposals to invest directly in the soft commodities markets or in agricultural equities will not be considered.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession
III.3.2)Staff responsible for the execution of the service
Legal persons should indicate the names and professional qualifications of the staff responsible for the execution of the service: yes

Section IV: Procedure

IV.1)Type of procedure
IV.1.1)Type of procedure
Restricted
IV.1.2)Limitations on the number of operators who will be invited to tender or to participate
Envisaged number of operators: 10
IV.1.3)Reduction of the number of operators during the negotiation or dialogue
IV.2)Award criteria
IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated below

1. Ability to formulate and implement strategic approach to asset class

2. Disciplined and rigorous investment process

3. Approach to diversification and risk management

4. Proven performance and track record

5. Approach to responsible and sustainable investment

6. Quality of team

7. Scale and competitiveness of fees

8. Level of acceptance of terms and conditions within service agreements

9. Quality of reporting

IV.2.2)Information about electronic auction
An electronic auction will be used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting authority:
Farmland and Timberland Investment Management Services
IV.3.2)Previous publication(s) concerning the same contract
IV.3.3)Conditions for obtaining specifications and additional documents or descriptive document
IV.3.4)Time limit for receipt of tenders or requests to participate
5.3.2012 - 12:00
IV.3.5)Date of dispatch of invitations to tender or to participate to selected candidates
6.3.2012
IV.3.6)Language(s) in which tenders or requests to participate may be drawn up
English.
IV.3.7)Minimum time frame during which the tenderer must maintain the tender
IV.3.8)Conditions for opening tenders

Section VI: Complementary information

VI.1)Information about recurrence
VI.2)Information about European Union funds
VI.3)Additional information

NOTE: The Board of the Pension Protection Fund was set up under the provisions of the Pensions Act 2004 in April 2005 and is classified as a public financial corporation. It has been established to pay compensation to members of eligible defined benefit and hybrid pension schemes when there has been a qualifying insolvency event in relation to the employer, and where there are insufficient assets in the pension scheme to cover Pension Protection Fund levels of compensation. For further information on our investments, please see our website: http://www.pensionprotectionfund.org.uk/About-Us/Pages/Investment.aspx.

NOTE: All candidates should review this notice and register their interest on the myTenders Web Site (see II.1.5) confirming that they meet the minimum requirements and conditions for participation (see III.1.4 and III.2); this is the pre-qualification stage. No other supporting documentation at this stage will be provided by the Board. Confirmation of compliance with all criteria in this notice should be submitted on the myTenders Web Site (see II.1.5) by the stated deadline (see IV.3.4). Candidates are expected to supply all required information, or clearly state the reason for being unable to do so. Candidates are not required to send the supporting documentation at this pre-qualification stage, but should be willing to do so if selected to tender. Any assumptions used in preparing responses should be clearly stated.

NOTE: All questions should be submitted to the Board via the portal on the myTenders Web Site (see II.1.5). If this proves impossible please use this email address: . Any queries should state your organisation name, OJEU notice number and title and clearly reference any appropriate paragraph in this notice and, to the extent possible, should be aggregated rather than sent individually. If you do not obtain a response within three working days of initially contacting the Board, it is the tenderer's responsibility to re contact the Board.

NOTE: Candidates are advised that the Board may be engaging the services of an independent adviser during the tender process.
NOTE: The Board anticipate using a number of standard provisions in our agreement which will be available in the Invitation to Tender. We would be grateful if you could indicate whether any of these provisions would provide an obstacle to your being in a position to tender at the relevant time. The Board is looking to engage with organisations that can be flexible and accommodate the commercial terms on which the Board is proposing to operate in relation to this appointment.
NOTE: Fund Accounting sits within the Board’s Finance Directorate and works closely with Board’s global custodian and is responsible for accounting for the Board’s invested assets within a controlled environment. It is essential that month end valuations are forwarded to the Board’s global custodian no later than 8 Business Days after the month end. Compliance with the Custodian’s Investment Manager Guide is essential.
NOTE: The Freedom of Information Act (FOIA) 2000 which came into force on 1.1.2005 applies to the contracting authority. If any tenderer considers that any information supplied by them is either commercially sensitive or confidential in nature, this should be highlighted and the reasons for its sensitivity specified. The contract shall be made in English and according to English Law and subject to the jurisdiction of the English Courts.
(MT Ref:85217).
VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals
VI.4.3)Service from which information about the lodging of appeals may be obtained
VI.5)Date of dispatch of this notice:
2.2.2012