3. Amendment 0003_Q & A.pdf

Questions and Answers 47PA0825R0002 FY25 Streamlined Retail Electricity Solicitation

1. Will the GSA consider alternative structures other than the one specified in the solicitation?

A: No

2. Section A.1 of the solicitation mentions that the procurement will be for terms of up to 5 years. Is 5 years going to be the preferred term for all agencies or is there a chance that some agencies may contract for shorter terms?

A: See Amendment 0003, final Exhibit 1 in Attachment 13 for contract terms.

3. Is there any early indication as to how much renewable energy will be purchased as part of this solicitation?

A: Renewable energy requirements will be posted in Attachment 13: Final Exhibit 1 for each auction.

4. When is it expected that the final pricing groups will be organized shown in the Preliminary Exhibit 1 for the projected auction on 3/26/2025?

A: See Amendment 0003.

5. Section A.7 states that billing shall be in accordance with the requirements of each agency which may require submitting invoices into an on-line platform, can the GSA indicate which agencies will require submitting into an on-line platform prior to the auction?

A: GSA will coordinate with included agencies to provide billing and invoice submittal information to the winning supplier(s) during post-auction but before the new contract(s) start.

6. Please clarify how RPS costs should be treated. The Price Component table indicates

RPS as “Pass-though at cost” however in the notes on the same line, it says to “include known costs at the time of award.” The solicitation states “the costs associated with complying with the applicable state RPS for all contract years will be treated as pass-through cost items and not included in the calculation of the Supply Service Fee for Accounts included in Block and Index Pricing Group.” Please confirm whether RPS costs are to be included (subject to adjustment) or passed-through.

A: RPS to be passed through at cost in ISONE. GSA has removed the associated note corresponding to fixing at known costs from Attachment 3.

For PJM, ERCOT and CAISO, RPS is to be fixed per the cost component tables in which offers are instructed to include any known RPS costs at time of award, any future changes after the date of award is handled in accordance with the terms of the contract.

7. Confirm that all NJ line items are NJ SUT exempt

A: Confirmed. Government Accounts are Exempt from NJ SUT.

8. Please confirm that only 10 references are required for the solicitation with 1 active customer per ISO with phone contact ?

A: No. See No. 3 in SECTION C: EVIDENCE OF TECHNICAL ACCEPTABILITY of the Solicitation, Attachments 14-17.

9. Please take into consideration the bid groups should be by State by LDC, with the exception on WMATA in PJM group to be bid as its own independent bid group for PEPCO accounts.

A: See Amendment 0003 to the solicitation, Attachment 13 final Exhibit 1.

10. Will GSA consider breaking WMATA out to its own pricing group?

A: See Amendment 0003 to the solicitation, Attachment 13 final Exhibit 1.

11. Please consider extending an extension for both proposal responses to be able to address responses to questions.

A: See Amendment 0003 to the solicitation.

12. Please consider extending pricing submission as the exhibit lists / products have not been finalized.

A: See Amendment 0003 to the solicitation.

13. How will GSA handle the new federal administration's plan to terminate GSA leases for ~ 7,500 federal offices?

A: Any such changes will be handled consistent with the specific circumstances and in accordance with the terms of the contract.

14. Will suppliers be kept whole due to any buildings that terminate this agreement prior to contract expiration?

A: See answer to Question 13.

15. Would the calculation under termination for convenience prevail here per Attachment

14-17 of the RFP?

A: See answer to Question 13.

16. Can suppliers pass through liquidation damages? The termination language appears to address only the energy portion of the costs, Please advise on how all components are to be made whole?

A: Damages would be determined in accordance with the terms of the contract, including paragraph (B) under Termination for the Government’s Convenience.

17. Attachment 3 for PJM : regarding component ancillaries in PJM, please confirm the following are included in price:

● Reactive Services

● Black Start

● Reactive Supply & Voltage Control A: Confirmed. See updated Attachment 3- PJM Cost Component Table posted in Amendment 0003.

18. Value on Attachment 3 for PJM “Ohio Commercial Activity Tax (Only for accounts in Ohio)” not indicated as fixed or pass though with NULL value. Please confirm A: Ohio Commercial Activity Tax is to be included in the bid price.

19. Attachment 3 : For components not in the bid price and not required to have their line item, please confirm the suppliers standard bill process would be satisfactory ?

A: Confirmed.

20. Regarding “A.8 EXTENSION PROVISIONS”, the mechanism to extend only appears to address energy. As other components are fixed, can you advise how those are taken into account for the request to extend? Is the GSA only looking for extension options on energy?

A: It is anticipated that all bilateral extensions would be for all fixed components under active contract.

21. A.2 Definitions, Energy Attribute Certificate (EAC). This definition was created after EO14057, which has since been revoked by EO14148. As such, we believe this definition should be struck from the contract. Please confirm.

A: Confirmed. The EAC definition is removed.

22. A.7 Payment and Billing. The Company would like to clarify that Credit card payments are only accepted in ERCOT, and will not be accepted for any balance greater than $5,000 in a 30 day period.

A: The Contractor will work with the Agencies for payment setup and coordination of any potential credit card payment limitations.

23. A.12 Renewable Power for Facilities in this Contract. Please confirm that a revised exhibit will be released with the specific percentages and REC types being requested?

In addition, the Company would like to clarify that RECs will not be available in CT.

A: See answer to Question 3.

24. FAR 52.212-4, (g) Invoice. The Company would like to clarify that invoices will not be printed. The Government can request emailed invoice copies via the customer portal. In addition, the TIN number, EFT banking information, and Prompt Payment parameters will not appear on the invoice.

A: See Section A.7. The Contractor also expressly agrees and acknowledges they shall be required to submit invoices in accordance with each end use agency’s billing requirements and systems which can include requirements for invoices to be submitted through online systems.

25. Technical Requirements by Market. Please confirm if the termination outlined is only in reference to the energy portion of the costs, or for all components?

A: See answer to Question 16.

26. ISONE: As The DASI program launches in March 2025 to replace the forward reserves, can you confirm that associated costs will be handled under Section A.14 Electric Regulatory Changes or noted as a pass through?

A: Per Attachment 3- ISONE Cost Component Table posted in Amendment 0003 , Forward reserves are to be fixed at known costs for the term of the contract including any known costs for the DASI program. Any future increase as a result of a significant change or newly implemented charge to the DASI program would be handled under the terms of the contract.

27. ISO NE: Regarding the ISONE product, please confirm that the block and index structure should be calendar month flat blocks that will be representative of load following by hedging 85% of the contracted usage for each of the requested months (Jan, Feb, July, August, Dec).

A: Per Section A, GSA requires a fixed percentage load following block pricing equivalent to 85% of all monthly usage for the calendar months of January, February, July, August and December for all contracted years.

28. ISO NE: As Transmission Loss Credits (TLCs) are not applicable to ISONE, can you confirm if you wanted Marginal Loss Credits (MLCs) to be fixed ?

A: See updated Attachment 3- ISONE Cost Component Table posted in Amendment 0003.

29. ISONE: Does GSA want to get to a fully fixed energy price? Will the GSA make additional hedges over the term. Do any sites intend to make hedges to 100% of the anticipated load ?

A: GSA does not have any current plans to get to 100% fully fixed energy in

ISONE.

30. Is GSA currently aware of any future closing, sale or non-renewal of a lease agreement of any buildings that are on this RFP?

A: See answer to Question #13.

31. Is GSA currently aware of any significant usage reductions to their current load due to downsizing?

32. As a follow up to that, can you please confirm that any closing, sale or non-renewal of a lease agreement of any buildings will be subject to damages per the Termination for Convenience clause?

33. Do any of the facilities in this RFP have existing or planned behind-the-meter generation, including but not limited to, cogeneration, solar, wind, fuel cell, etc.? If so, can you please provide as many details as possible including installation date, fuel type, historic output, intended future output, etc.?

A: Behind the meter generation projects that GSA is aware of are noted in the Exhibit 1 file.

34. Will there be another chance to ask questions once the account lists and pricing groups are finalized?

A: Yes, additional questions regarding accounts, volumes, utility data, terms and other fields specific to the final Exhibit 1 files may be submitted in accordance with the dates listed in Attachment 12: Pre-Proposal Call Schedule.

35. Contractor requests the right to withdraw its price(s) at any time prior to bid being awarded.

A: Confirmed. While GSA strongly encourages all offerors to hold their prices until 1:30 p.m. per the solicitation requirements, Offerors may withdraw bids up until a notice of award via email has been sent by GSA.

36. Contractor requests the right to supplement or amend any of the questions, clarifications, by the due dates stipulated for general questions or for account questions. Also, Attachment 12 does not appear to have a specified date for account questions, especially given the revised accounts list has not been posted when suggested in that file currently. Please provide more details around these dates.

A: GSA will provide additional details when they become available. Please review future amendment postings for any schedule changes.

37. Has the Government installed (within past 24 months), is currently installing, or has plans to install, any behind the meter generation, at any of the facilities, that will reduce the Contractors serviceable load? If so, can the Government provide the size of generation (kW), fuel type, purpose (backup, peak shaving, base load), and the in-service date? This has often been noted in the various Exhibit 1s historically.

A: See answer to Question #33.

38. Subsection “(k) TAXES” states: “the contract price includes all applicable Federal, State, and local taxes and duties.” Please confirm that the accounts, located in ISONE, are exempt from state and local sales tax and that the Contractor’s prices shall be exclusive of Taxes? Attachment 3 for ISONE says taxes are to be Pass-through at cost.

A: Confirmed. As far as GSA is aware all ISONE accounts for all included agencies are tax exempt from Federal, State, and Local taxes. In the event any account may lose its exemption status, or a future applicable tax is implemented, those are to be passed through at cost.

39. ISONE : Attachment 16, BLOCK AND INDEX PRICING references the abbreviation “LOU”. Was this meant to read as “LDU”? If not, can the Government define “LOU”?

A: Yes, the reference was meant to read as LDU and the change is reflected in

40. ISONE: Please confirm that billing of the Supply Service Fee will be: Supply Service Fee

* LDU metered usage?

41. ISONE : Attachment 16, Section A, item 2 states: “…the definition for ICAP as provided in section 552.216-77 Economic Price Adjustment.”, but this definition is not provided.

Please confirm the Government intends on using the following definition: “Capacity Formula = Capacity Load Obligation (ICAP Tag) * Reserve Margin Factor * Daily Zonal Effective Charge Rate * Days [in applicable billing cycle]”?

A: Please see Section (B) FAR 552.216-77 Economic Price Adjustment regarding capacity calculations.

42. ISONE: ISONE is currently developing the Capacity Auction Reforms (CAR) project which would retire the current Forward Capacity Auction (FCA) 3-year structure and replace with a prompt 1-year or seasonal auction structure. Can the Government confirm that if the project is implemented, the Contractor will have the ability to modify the Capacity Economic Price Adjustment formula, as needed, under section “A.14

ELECTRICITY REGULATORY CHANGES”?

A: Any such changes would be addressed in accordance with the terms of the contract, including Section A.14.

43. ISONE: Attachment 16, Section A, item 4 addresses RPS costs as pass-through. Can the Government confirm for accounts located in Maine, the following cost are included in RPS and will be passed through: Thermal RECs and Class IA RECs.

A. Confirmed. See updated Attachment 3- ISONE Cost Component Table posted in

44. Can the Government confirm for accounts located in Massachusetts, the following cost are included in RPS and will be passed through:Clean peak Standard (CPS); Clean Energy Portfolio Standard (CES); and Clean Energy Portfolio Standard – Existing (CES-E). These do not appear to be expressly stated in Attachment 3.

A. Confirmed. See updated Attachment 3- ISONE Cost Component Table posted in

45. Attachment 16, Section A, item 6 states: “…Supply Service Fee shall be the sum of Line Items 3 and 5 and the supplier's adder/fee…”. Item 3 states: “Ancillary Service Cost - All charges and credits that are not ICAP, RPS and Energy as defined herein should be included in Ancillary Service Costs under this contract.” However, the Attachment 3 ISONE Price Component Confirmation Table includes several items listed as “Pass-through at cost” which do not meet the ICAP, RPS or Energy definition of Section A. Please revise the definition of item 3 “Ancillary Service Cost” to: “Ancillary Service Cost - All Price Components listed as Fixed in Attachment 3:

Price Component Confirmation Tables, excluding the Price Components of Block Energy Commodity Costs and Enel X Inc. Fee of $.0007 per kWh.

A: See updated Attachment 3- ISONE Cost Component Table posted in amendment 0003.

46. Please confirm FERC Order 745 and FERC 494 / EL05-121-009 Compliance Costs are not applicable and will be handled under section A.14 if implemented during the term of an awarded contract?

47. Fuel Security Costs - Mystic Cost of Service program ended in 2024 and is not currently a cost obligation, but will be handled under section A.14 if re-implemented during the term of an awarded contract?

48. Fuel Security Costs - Inventoried Energy Program Energy Security Improvements program ends 2/28/2025 and will be handled under section A.14 if extended or re-implemented during the term of an awarded contract?

49. Locational Forward Reserves – The Forward Reserves Market is being replaced by the Day-Ahead Ancillary Services Initiative (DASI) program on 3/1/2025, and that DASI costs should be fixed in Ancillaries?

A: See updated Attachment 3- ISONE Cost Component Table posted in

50. Attachment 16, Section A, item 7 states: “…total amount charged by the Contractor shall be the sum of items 1 – 6…”. However, item 6 already includes item 3 and 5 costs. Would the Government consider modifying to state: “…total amount charged by the Contractor shall be the sum of items 1, 2, 4 & 6…”?

A: All price components listed as fixed in Attachment 3 are to be included in the fixed bid price.

51. Attachment 16, Section A, item 7 states: “The Contractor shall calculate and allocate the energy consumption amounts on an individual account basis for energy-based charges (items 1 and 5 above).”. Can the Government provide additional detail or an example as to what is meant by “…allocate the energy consumption amounts on an individual account basis…”, especially as it pertains to item 5?

A: All costs including both fixed and pass through at cost is billed based on monthly metered LDU usage.

52. Attachment 3 ISONE Price Component Confirmation Table has a note: “Offers are instructed to include known costs at time of award, any future changes after the date of award will be handled under Section A.14 Electric Regulatory Changes”. Can the Government confirm that the note is not applicable as RPS costs are pass-through?

A: See updated Attachment 3- ISONE Cost Component Table posted in Amendment 0003.

53. Can the Government confirm that the Renewable Energy Credits, for Connecticut, will comply with the CT PURA Voluntary Renewable Offer Order (meeting the Class I definition set forth in Conn. Gen. Stat. § 16-1)?

54. Eversource (NStar) has recently performed a system conversion and are experiencing issues with providing electric Suppliers the correct rate class voltage mappings for a portion of their accounts. Can the Government confirm that a Contractor may provide a list of potentially impacted accounts, prior to the Auction, and be allowed to seek a price adjustment if the utility updates any of the provided accounts voltage classes?

A: No. Subject to applicable contract terms, the offered prices shall remain constant for the full contract term for each pricing group.

55. Attachment 16, Section A, states “GSA requires a fixed % load following block pricing equivalent to 85% of all monthly usage…”. Can the Government confirm that the settlement of the load following block is done at the hourly level, meaning that 85% of each hour is covered by the block?

A: Confirmed, these are load following fixed percentage blocks ( around the clock) for all hours in each month totaling 85% of the monthly usage for each account.

56. Attachment 16, Section A, states “load following block…for the months of January, February, July, August and December…”. Can the Government confirm the blocks are for calendar month (Ex: Jan 1st – Jan 31st) and not meter month (LDU read cycle) (Ex:

an account could have a January meter month (read cycle) from Jan 10th – Feb 10th)?

A: Blocks are based on the calendar month.

57. Regarding A.12. Please verify that the Renewable Energy being requested in this section is equivalent to RECs.

58. Regarding A.14 and 52.212.4: Is each cap on after-imposed charges and taxes on a by occurrence basis, or collectively for all such changes during the term?

A: The cap for after imposed charges as a result of approved change in law is at the contract level based on collective or cumulative occurrences.

59. In the termination for convenience provisions, please verify the A-C footnotes below in the calculation are not intended to align with A-C of the formula detailed immediately above. For example, footnote B aligns with portion C of the formula and footnote C is not intended to align with portion C of the formula.

A: See Amendment 0003 for corrective references.

60. For pricing for all Ohio service accounts, transmission and transmission-related costs/ancillaries are billed by the utility so won’t be included in our pricing.

A: Noted.

61. Please confirm that no Maryland accounts in the residential rate class will be included.

62. ISONE: MLC, Locational Forward Reserves, Locational Price Differentials treatment: In our billing these 3 charges are bundled with other “Ancillary Services”. They are not billed separately. Doing so would require a manual process. Can these be included in the “Ancillary Services” bundle and the entire “Ancillary Services” bundle be a pass through?

A: See updated Attachment 3- ISONE Cost Component Table posted in

63. PJM: Economic Price Adjustment: Our understanding is that CAP, NITS, TEC, ARRs, RMR, FO 745/494, and ORECs are subject to the Economic Price Adjustment.

Attachment 3 says these components should not be included in the bid price. Please clarify how these are to be treated in the offered price and the invoice. If they are not included in the fixed offer portion, are they required to be in a separate pass-through bundle on the invoice, or can they be listed as the other pass throughs typically would be?

A: CAP, NITS, TEC, ARRs, RMR, FO 745/494, and ORECs are to be passed through at cost in accordance with the PJM section FAR 552.216-77- Economic Price Adjustment and should be billed under standard billing practice in accordance with the Attachment 3.

64. The RFP defines renewable energy but does not specify the amount required. Will that be in later amendments?

65. Can we skip the submittal of Attachment 6 in our Technical Proposal if our SAM.gov registry is up to date?

A: See Section D.1 Evidence of Technical Acceptability.

66. ISONE: Are any GSA meters subject to a Regional Transmission Rights charge?

Please explain what this is.

A: These are potential demand related charges passed onto market participants from ISONE for using the regional transmission related network. Note these costs, if applicable, are to be passed through at cost per Attachment 3.

67. ISONE: “Fuel Costs” is described as a pass through. What fuel costs are being referenced?

A: See above answers to Questions #47 and #48.

68. Does GSA incur charges for FO 745/494 and ORECs in its current invoices? Or is this in reference to charges that GSA may be subject to in the future?

A: See above answer to Question #46.

69. We would not be able to bill the products described for both PJM and ISO-NE on a utility consolidated invoice. It would require dual billing. Will that be acceptable?

A: Billing in ISONE is dual billing only and PJM is a mix of dual and consolidated through the utility. Note per Attachment 3 individual line item billing is not required.

70. Please provide the exact bill delivery method acceptable for each meter. For example, we need to understand exactly how many meters would require the supplier to upload invoices into WAWF or similar system as this will affect our price.

A: GSA will work the awardee(s) post contract award on billing setup and coordination with end use agencies including any online billing requirements.

71. Please confirm what happens in the event payments are delayed for any reason beyond the prompt payment acts 30 day payment terms? Can you confirm the last payment interest rate? What recourses are available to ensure payment ?

A: Payments will be handled consistent with the terms of the contract.