§ 1-07 Concessionaire Responsibility.
RCNY § 1-07
(a)Policy. Concessions shall be awarded to responsible prospective concessionaires only.
(b)General standards.
(1)A responsible concessionaire is one which has the capability in all respects to perform fully the concession requirements. Factors affecting a prospective concessionaire 's responsibility may include: (i) Financial resources; (ii) Technical qualifications; (iii) Experience; (iv) Organization, material, equipment, facilities and personnel resources and expertise (or the ability to obtain them) necessary to carry out the work and to comply with required delivery or performance schedules, taking into consideration other business commitments; (v) A satisfactory record of performance; (vi) A satisfactory record of business integrity; (vii) Where the concession includes provisions for compensation to the City based on revenues, the existence of accounting and auditing procedures adequate to control property, funds or other assets, accurately delineate costs, and attribute them to their causes; (viii) Proof of timely tax filing, certificate of insurance, and other financial documents as required by OMB or the Comptroller; (ix) Compliance with requirements for the utilization of small minority-owned and women-owned businesses as subconcessionaires, if any.
(2)Failure of an entity to provide relevant information specifically requested by the concession manager may be grounds for a determination of non-responsibility.
(c)Special standards.
(3)Special standards must be based on demonstrated need and must not be used to artificially limit competition.
(d)Ability to meet standards.
(iii)If applicable, a copy of the latest financial audit report, including the date, period covered, findings, name of the CPA firm that conducted it, and, if applicable whether the CPA firm was unable to express an opinion as to the adequacy of the prospective concessionaire’s books and records.
(e)Making the responsibility determination.
(i)In the case of concession awards where the concession has a value that, when aggregated with the value of all other City concessions, franchises and contracts held by the same concessionaire, is valued at $100,000 or more, questionnaires, known as "PASSPort questionnaires" seeking background information about the prospective concessionaire and its principals, owners, officers, affiliates and subconcessionaires shall be completed. The apparent high bidder or proposed concessionaire and, at the discretion of the concession manager, any other responsive prospective concessionaire, shall be required to complete the PASSPort questionnaires so as to assist the concession manager in making the determination of responsibility and to permit compliance with local law concerning creation and maintenance of a computerized database concerning concessionaire background.
(ii)The questionnaire responses shall be entered into the citywide computerized PASSPort database which is jointly maintained by the Mayor and the Comptroller. Questionnaires need be completed only once every 3 years. Each prospective concessionaire shall certify at the time of award of each concession that all the information submitted within such 3-year period is current, accurate and complete. In the event that changes have occurred within the 3-year period, the prospective concessionaire shall update, prior to concession award, any previously-submitted PASSPort questionnaire to supply any changed information, and shall certify that both the updated and unchanged information is current, accurate and complete.
(iv)Subcontractors / subconcessionaires. Where appropriate, City concession agreements shall contain a clause requiring concessionaires to notify subcontractors / subconcessionaires of their obligation to complete and file PASSPort questionnaires within 30 days after the concession manager has granted preliminary approval of the identified subcontractor/subconcessionaire, if the aggregate value of City contracts, franchises, and concessions awarded to a subcontractor / subconcessionaire during the immediately preceding twelve-month period equals or exceeds $100,000.
(v)Information published on news or social media websites, including press articles or customer reviews.
(f)Written determination of non-responsibility required.
(g)Appeal of determination of non-responsibility. Appeals of the determination of non-responsibility shall be made pursuant to the following procedure: (1) Time for appeal. Any prospective concessionaire who is determined to be non-responsible in connection with the award of a particular concession shall be allowed 5 days from receipt of the agency's notification to file a written or electronic appeal of that determination with the Agency Head. Receipt of notice by the prospective concessionaire shall be deemed to be no later than 5 days from the date of mailing or upon delivery, if delivered. Filing of the appeal shall be accomplished by actual delivery of the appeal document to the office of the Agency Head.
(4)Notification to prospective concessionaire of Agency Head decision. A copy of the decision of the Agency Head shall be sent to the prospective concessionaire. If the Agency Head upholds the concession manager's finding of non-responsibility, the Agency Head shall inform the prospective concessionaire of the right to appeal the decision to the CCPO, and of the procedure for taking such an appeal.
(5)Finality. The Agency Head's decision of an appeal from a determination of non-responsibility shall be final unless further appealed to the CCPO.
(6)Delegation. The Agency Head may designate a senior agency official, other than the concession manager or his or her subordinates, to consider this appeal.
(h)Stay of award of concession pending Agency Head or CCPO decision. Award of the concession shall be stayed pending the rendering of a decision by the Agency Head or CCPO unless the concession manager makes a written determination that execution of the concession without delay is necessary, or the CCPO, in the CCPO's discretion, determines that it is in the best interests of the City to go forward with the award of the contract.
(j)Documentation. Documents reflecting the concession manager's determination of non-responsibility and any appeal and decision with respect to appeal, and evidence of having supplied written notifications as required by this section, shall be maintained in the concession file. Copies of these documents shall be sent to the Mayor's Office of Contract Services for inclusion in the PASSPort data base. A copy of the determinations of the concession manager, Agency Head, and CCPO shall be forwarded to the Committee. (Amended City Record 10/29/2025, eff. 11/28/2025)
