Response to Questions 2-4-22.pdf

State of Wisconsin Request for Bid No: NGF1-DB, Natural Gas and Supply Management Services

Response to potential bidders’ questions, exceptions, additions, and clarifications 2/4/2022

Questions (Q), Response (R)

Q1: Will you accept some locations in these Areas as Secondary Firm?

R1: No, all facilities require Primary Firm to the city gate that they are served from as specified by the utility serving the facility. Minimum daily levels for each facility are stated in the RFB.

Q2: Are you tax exempt?

R2: The State of Wisconsin and its agencies are exempt from payment of all federal tax and Wisconsin state and local taxes on its purchases except Wisconsin excise taxes as described below.

The State of Wisconsin, including all its agencies, is required to pay the Wisconsin excise or occupation tax on its purchase of beer, liquor, wine, cigarettes, tobacco products, motor vehicle fuel and general aviation fuel. However, it is exempt from payment of Wisconsin sales or use tax on its purchases. The State of Wisconsin may be subject to other states' taxes on its purchases in that state depending on the laws of that state.

Contractors performing construction activities are required to pay state use tax on the cost of materials.

Q3: Please confirm to exclude from bid prices State Sales Tax, Gross Receipt Taxes (GRT), or

Commercial Activity Taxes (CAT)?

R3: Confirmed

Q4: Would you pay the cost to liquidate forward positions, should there be a termination that is not due to a breach of contract by the supplier?

R4: Yes

Q5: Have you ever exercised the termination for convenience for natural gas supply contracts?

R5: No

Q6: Should there be any change in law, tariffs or regulations that alters a suppliers cost to serve

(e.g.: a new tax) will the buyer allow the supplier to alter their contract price?

R6: Yes

Q7: Please confirm contract extensions will be done at a mutually agreed upon price?

R7: Confirmed

Q8: Please confirm accounts would be added at a mutually agreed upon price?

R8: Confirmed

Q9: What day and time are you requesting bidders to hold the prices in our price proposal firm until you make the award?

R9: The awarded bidder will be able to refresh their quote when contract is in place. See 6.4

Method of Award.

Q10: Are you requesting executable pricing? Will you allow prices to be refreshed?

R10: Yes, the awarded bidder will be able to refresh their quote when contract is in place. See 6.4

Method of Award.

Q11: What are you requesting in days payment?

R11: All bids must be based on payment terms as defined in the RFB. “Contractor shall accept payment from Authorized User by check or electronic funds transfer. Payment will not be made until the product or service is determined to meet all Requirements and deliverables and has been accepted by the State. (Refer attachment DOA-3054, section 11.0)” Net 30.

Q12: Will you disclose what product you are currently on?

R12: No

Q13: Who is the current supplier?

R13: This information is not required to provide a bid.

Q14: Please confirm you are requesting pricing to the city gate, not to the burner tip?

R14: Pricing is to the city gate.

Q15: The volumes in document RFB NGF1-DB and Attachments 1 and 2 do not match. Please clarify?

R15: All quotes must be based on the load to quote provided on the bid form (Attachment #2) which may or may not match historical usage provided for informational purposes only.

Q16: 1.5 Modifications of Contract. Please confirm the month-to-month extension up to 6 months will be at a mutually agreed upon price?

R16: Confirmed

Q17: 1.7 Cooperative Purchasing Services. Please confirm Municipalities will be added at a mutually agreed upon price?

R17: Confirmed

Q18: 3.1.4. b. Natural Gas Management. Does the State expect Seller to adjust contractual volume to the daily nominations provided to vendor by the 20th’s day of the month before the delivery month, or is this just information for balancing purposes?

R18: No, informational only.

Q19: 3.1.6. j. Pricing. This text is not clear, please provide clarification on what you are requesting?

R19: The monthly cash out price is the price of the gas for differences in gas volumes between the first of month nominated volumes and the actual volumes used in a month. The price will be the same for all facilities in each area.

Q20: Standard Terms and Conditions - 6.0. PRICING AND DISCOUNT. Please elaborate on the governmental discounts you are referring to? Also, we would like clarification on what increases you are referring to in 6.2?

R20: Any changes to the Standard Terms and Conditions are to be submitted with bids. The State may or may not accept changes to the Standard Term and Conditions.

Q21: RFP: 1.3. Contract Term – This section notes that State reserves the right to renew for 4 additional one year terms. Is this by mutual agreement?

R21: Yes

Q22: RFP: 1.7. Cooperative Purchasing Services – This section references form DOA-3862, section 5. We are unable to locate this online. Could the State please provide?

R22: The section references form DOA-3832 section 5, not DOA-3862. The typo will be corrected.

Q23: RFP: 7. Required Forms: Special Provisions – are sections 2 & 8 the only Special Provisions to the

NAESB that the State has? If so, do Bidders have an opportunity to propose additional Special Provisions to be included in the contract?

R23: Bidders may propose additional special provisions to the contract.

Q22: Why are Zook Peck center, Zoo Small mammal and Zoo bird winter Listed twice? Is this just a mistake/duplicate?

R22: Yes, just a mistake/duplicate.

Q23: Please advise of correct account numbers for a)Area#13 Lapham Building 0707309653 b)

Area#14 UWM at Waukesha 07006988864-00002 c) Area #16 Drug Abuse Correctional Center 412166765-00003, and UWGB Marinette Campus 0401544624-000053?

R23: Account numbers will be verified after the contract is signed.

Q24: 3.1.3. Delivery Options (Primary Firm). Regarding contract documentation for primary firm capacity, please see the ANRs index of shippers for capacity information, we do not provide proprietary information about our capacity contracts.

R24: Contract changes will be negotiated after the contract has been awarded.

Q25: 4.4. Cancellation and Termination. Please strike the third paragraph under Termination for

Convenience ('[t]he Contractor shall also be compensated...'), as it is irrelevant to the product that we provide?

R25: Contract changes will be negotiated after the contract has been awarded.

Q26: Standard Terms & Conditions: 32. Hold Harmless. We request the following change: The contractor will indemnify and save harmless the State of Wisconsin and all of its officers, agents and employees from all suits, actions, or claims of any character brought for or on account of any injuries or damages received by any persons or property resulting from the operations of the contractor, or of any of its contractors, in prosecuting work under this agreement (and which attach before title passes to State of Wisconsin. NEITHER PARTY WILL BE LIABLE TO THE OTHER UNDER THIS AGREEMENT FOR CONSEQUENTIAL, INDIRECT OR PUNITIVE DAMAGES, LOST PROFITS

OR SPECIFIC PERFORMANCE).

R26: Any changes to the Standard Terms and Conditions are to be submitted with bids. The State may or may not accept changes to the Standard Term and Conditions.

Q27: 1.3. Contract Term. If 'pricing' problem is deemed at the utility, then supplier issue of credits will be dependent upon utility resolution times.

R27: Contract changes will be negotiated after the contract has been awarded.