QandA_0420.pdf

SPE600-12-R-0420

Q1: What is the relationship of the Estimated Usage Information volumes shown on the Schedule Pages to the volumes ordered under the “Monthly Order Quantities” and “Monthly Orders – No Swing” delivery/management options on page 9?

A: Refer to PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES B1.06 SUPPLIES TO BE FURNISHED &

SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK

Q2: Are the Estimated Usage Information volumes or is the order quantity used to determine the base for the 90% and 110% tolerance calculation under the “Monthly Order Quantities” heading on page 9?

A: Refer to PART I – THE SCHEDULE SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK

Q3: Please define the term “Simple Average 16 EOM” on the Schedule Pages.

A: A simple average is calculated by adding all prices within the chosen time period, divided by that time period. This way, each data value has the same weight in the average result. “16 EOM” is calculating the simple average beginning with the 16th day of the month through the End Of the Month (EOM).

Q4: What is the significance of the “Adjustment Factor” on the Schedule Pages? Please explain what it is and if it impacts the price to be paid by the DLS facility.

A: Refer to PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES (DEFINITIONS). I’m not sure what a “DLS” facility is, Please clarify.

Q5: Will utility account numbers be provided if requested?

A: Utility account numbers may be acquired by any supplier via the applicable LDC.

Q6: Will an online reverse auction be used for this solicitation or will we be required to send in pricing?

A: An online reverse auction MAY be used, however, please refer to SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS OR RESPONDENTS SECTION VII of the RFP concerning price.

(Pricing must be submitted in an offeror’s proposal)

Q7: When are the Area of Supply Interest and Technical Compliance forms to be provided?

A: Refer to SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS OR RESPONDENTS. They are to be provided and included in your complete proposal submission.

Q8: On the Addendum DLA is requesting the suppliers to hold our offer for 120 days. Is this a firm solicitation requirement or is it negotiable?

A: This is a firm solicitation requirement; pricing is requested with your proposal. This is Non-negotiable.

Q9: What is the difference between “Interruptible” and “Limited Interruptible”?

A: Refer to PART I – THE SCHEDULE SECTION C – DESCRIPTION/SPECIFICATIONS (DEFINITIONS)

Q1: What is the relationship of the Estimated Usage Information volumes shown on the Schedule Pages to the volumes ordered under the “Monthly Order Quantities” and “Monthly Orders – No Swing” delivery/management options on page 9?

A: Refer to PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES B1.06 SUPPLIES TO BE FURNISHED &

SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK

Q: I still need clarification as to what the relationship is between the estimated volumes and the ordered volumes. Based on your answer, my conclusion would be that the estimates are truly estimates and could be no relationship to the volumes actually ordered . The are for information only. Correct?

A: Under option 3 (Monthly Order Quantities): IF the customer DOES NOT place an order by the specified due date, then the “Estimated” volumes located on their schedule page becomes the “ordered” volume.

Refer to PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES B1.06 SUPPLIES TO BE FURNISHED & SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK (3) Monthly Order Quantities.

Q2: Are the Estimated Usage Information volumes or is the order quantity used to determine the base for the 90% and 110% tolerance calculation under the “Monthly Order Quantities” heading on page 9?

A: Refer to PART I – THE SCHEDULE SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK

Q: I still need clarification on this question. Based on your answer, my conclusion would be that the 90% and 110% tolerance calculation would be based solely on the ordered volumes. Correct?

A: Correct. However, IF the customer does not place an order within the specified timeframe under option 3 (Monthly Order Quantities) then the plus or minus 10% (90% & 110%) tolerance will apply to the “estimated” usage volume located on their schedule page.

Q5: Will utility account numbers be provided if requested?

A: Utility account numbers may be acquired by any supplier via the applicable LDC.

Q: This is information that you and/or your client should have and should provide the supplier. Utilities normally will not supply us with this information without an authorization from the client. In addition without the account information and your input there is no way that we can confirm whether or not we have all the accounts and meters for a specific customer. From an LDC enrollment standpoint we will need “you” to provide and confirm this information.

A: If an offeror’s proposal is deemed technically acceptable then the installation(s) will contact its applicable LDC and give the LDC approval for their information to be shared at a potential supplier’s request.

Q6: Will an online reverse auction be used for this solicitation or will we be required to send in pricing?

A: An online reverse auction MAY be used, however, please refer to SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS OR RESPONDENTS SECTION VII of the RFP concerning price.

(Pricing must be submitted in an offeror’s proposal)

Q: If (i) the “ordered volume” is tied to the SIP plus the Adjustment Factor; and (ii) the “overage & shortage volume pricing” is tied to the overage & shortage volume publication methodology plus the Adjustment Factor there appears to be nothing to “bid” on. It looks like the DLA is looking for either a yes we agree with your terms or no we don’t. Am I missing something?

Q: Also if an online auction is to be used I don’t believe that Sprague is currently set up for it. If the DLA uses an online platform when will we receive the instructions?

A: DLA Energy is soliciting for Direct Supply Pipeline Quality Natural Gas via firm or firm equivalent and interruptible deliveries with or without supply management to various Department of Defense (DOD) and Federal Civilian Installations.

A: DLA has an online platform to conduct a Reverse Auction. If a decision is made by the Contracting Officer to utilize Reverse Auction, information/instructions will be forthcoming.

Q: In reviewing the solicitation SPE600-12-R-0420, the standard form 1449 has a due date of 2012 OCT 29 03:00 PM, which is a Monday. Page 3 has the due date of Thursday, October 27, 2012. October 27, 2012.

October 27 is a Saturday. This is apparently incorrect.

A: The correct due date is Monday, October 29, 2012. An amendment to solicitation will follow shortly.

Q: Could you please also identify when the answers to the questions will be made available. The questions are due by 10/19. For the solicitation SPE600-12-R-0417, the answers were received on 9/18 and we shipped our response on 9/19. This was not adequate timing for the Offerors.

A: Answers to questions will be made available no later than October 22, 2012.

Q: Will the answers for SPE600-12-R-0418 also be available no later than October 22

A: Yes, the answers for SPE600-12-R-0418 will also be available no later than October 22, 2012.

Q: A general question regarding submission of summer and winter adjustment factors for the upcoming Natural Gas Solicitations. Can an offeror submit multiple different summer and winter adjustment factors for the same Line Item? For example, are we able to submit one summer/winter adjustment factor for Line Item 0009 Federal Corrections Complex Butner, then another different summer/winter adjustment factor for the same Line Item 0009 and then another different summer/winter adjustment factor for the same Line Item 0009, etc?

A: There is no advantage to providing multiple prices before the deadline of initial offers. Except to potentially confuse the issue... And DLA Energy will not be asking for clarifications on initials. But DLA Energy will only consider the final price received before the deadline. All others will be discarded.

Q: This email is solely related to my Q5. Will utility account numbers be provided if requested?

In the northeast U.S. many of the utilities assign the customer’s (Defense Logistics Agency) natural gas supplier, like Sprague, with upstream pipeline and storage assets. This is unique to the northeast U.S. and does not apply to other areas of the country. As these assigned assets do impact our costs and your prices, it is imperative that Sprague gain access to this information and confirm with the utility as to the amount of assets that are assigned with each account. That is the reason why receiving the account information is so important.

For SPE600-12-R-0420 the following utilities may assign upstream assets to the accounts behind their city gates:

· National Grid (NY, MA & RI)

· Unitil (ME),

· Central Hudson (NY),

· Niagara Mohawk – National Grid (NY)

· Yankee Gas Services (CT)

· Bay State Gas – Columbia of Massachusetts (MA) Most if not all the utilities above will not release the account numbers and/or asset assignment to a third party supplier. That is the reason for my request for the account information. If I cannot verify the upstream assignments then it is difficult to calculate an accurate price.

A: If utility account information is requested, DLA Energy will notify the customer regarding the requested account information. Once permission has been granted, DLA Energy will notify the offorer that they are approved to receive the utility account information.

Q: For the line items 22 and 23 - 2 accounts in Quantico VA, I see they have no alternate fuel. Please find out if they are interruptible.

A: Line items 22 and 23 are FIRM accounts. Refer to the schedule page under “Solicitation Parameters”/ “Delivery Type”

Q: Please confirm that I am able to use regular US mail for the technical submission and then send the pricing via email.

A: Per Section L of the RFP, offerors can submit all non-price evaluation documents via physical US mail delivery and submit pricing via email as long as all evaluation documents for a complete offeror's proposal are received by this office before 3:00 p.m., Eastern Time on Monday, October 29, 2012.

Q: I have a question regarding the pricing mechanism for the referenced bid and 0418 also. Is DLA looking for an IFERC plus our adder for a price or will IFERC only be used for overages and shortages? If IFERC is not used as the main price, are you looking for basis pricing? Please clarify. We are anxious to participate in these opportunities but we want to make sure that we’re providing the information that you need.

A: Refer to PART I – THE SCHEDULE , SECTION B – SUPPLIES OR SERVICES, (b) DEFINITIONS

Q: 1. Do we need to include the World Energy agent fee of $0.05/Dth in our pricing, for this bid event?

2. Please confirm the delivery point is the applicable LDC's city-gate.

A: (1) Refer to SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS OR RESPONDENTS, SECTION VII PRICE & PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES. (2) Please refer to the FedBizOpps - SPE600-12-R-0420 revised schedule pages under "Amendment 1" file posted on October 18, 2012 for the most update vision of the schedule pages.

Q: Page 3 of the bid says it is due October 27th – this is a Saturday – please provide valid due date.

A: The correct due date is Monday, October 29, 2012. An amendment to solicitation will follow shortly.

Q: In line item 3, Portsmouth Naval ship Yard- Will we be excluded from Bid if we do not offer consolidated Billing in Note 3?

A: No. Note 3 will be removed from that schedule page. A solicitation amendment will follow shortly.

Q: For line items 27 and 28 – Submarine Base New London

- Can we request MDQ and Daily Data, or an account number?

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

- Can the installation provide the # 2 Oil usage to best provide 100% of energy requirements for the prior 12 months –

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Q: Can the installation tell us if this account will be on a firm or interruptible rate with Yankee Gas for the term of this agreement?

A: These are two separate Line Items: Line Item 27 is Firm and Line Item 28 is Interruptible.

Q: For line items 29-33. Can you tell us how many accounts associated with each and the pools the accounts would belong in Either FT-1 and FT-2?

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Q: Can you provide the capacity TCQ for each Line Item?

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Q: For line item 37 - Can the installation reconcile between the Delivery option and the Overage and Shortage Volume Pricing and then reconcile to the other account listed on (1 or 2)

A: Line Item 37 (1 of 2) Delivery Option has been changed to Option 2. Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012

Q: Line item 21 – Ft Lee - has a zip code listed of 23801-1720. This zip code does not show up on our list of zips behind CVA. Please verify the address/utility. is this account served by Transco directly to CVA?

A: Regarding Fort Lee LI 0021: Fort Lee personnel confirmed that the zip code for the Public Utilities office is 23801. Columbia Gas of Virginia has Fort Lee set up in their system as 23803.

The account is shipped on TCO (Columbia Gas Transmission), not directly off Transco.

Q: We request a complete list of accounts/account numbers for

a. Tobyhanna Army Depot (0005)

b. Dover AFB (0009)

c. Letterkenny Army Depot (0010)

d. Aggregation Group Three (0014) consisting of Carlisle Barracks, NavSupAct Mechanicsburg and DLA Distr.

Ctr. Susquehanna

e. Tied Line Item Group Two (0021,0022,0023) consisting of Ft Lee, MCB Quantico and FBI Academy Quantico

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Q: Pg. 7 (5) Upward Ceiling on Economic Price Adjustments: Is this section describing in Industry Standards “Caps/ Callers” or is it describing a limitation on Total Fixed Price Index plus Adder?

A: Refer to B700 ECONOMIC PRICE ADJUSTMENT - MARKET PRICE AND TRANSPORTATION (4) Contract Unit Price and(5) UPWARD CEILING ON ECONOMIC PRICE ADJUSTMENTS ALTERNATIVE I & ALTERNATIVE II. This provision allows for an increase in the ceiling price which represents an extreme change in the commodity cost of natural gas based on market conditions that is not to exceed 400%.

Q: - Pg. 8 (2) Full Requirements/Pool: The statement that reads “All accounts should be at a ‘zero balance’ at the end of the month or billing/ balancing cycles.” Does this statement reference a delivery of Pool, or a financial situation?

A: It refers to a delivery of Pool; refer to SECTION C – STATEMENT OF WORK - DELIVERY/MANAGEMENT

OPTIONS

Q: Pg 21. I-0003 I209.09 Extension Provisions (a): Does this include Price?

A: The Extension Provision gives the government a unilateral right to extend this contract on the same terms and conditions one or more times for a total of no more than six months. Refer to I209.09 Extension Provisions.

Q: Pg 6 (b) Definitions (2) Adjustment Factor: Is this section referencing Citygate? Pg. 7 under Alternative I referenced Burnertip. Is this a conflict?

A: This is not a conflict, Alternative II references burner tip for the purpose of establishing one of two alternatives (Alternative I and II) that are to be used in determining the price ceiling limitation.

Q: Please see questions regarding the bid:

All line items – please confirm “Curtailment Days” is the max amount of days the account can be curtailed.

A: Curtailment Days specify the number of days an account can be curtailed in a given month.

Q: Line items 0018 and 0019 – are these two separate accounts?

A: Yes

Q: 0019 – please reconcile Rate Class and rate class listed in Notes

A: The Rate Class for 0019 is SC5. A solicitation amendment will follow shortly.

Q: 0016 (both) – can’t find reference to “Line Item 1055-0100” and Line Item 1055-0200” in Notes

A: Note #1 located on both schedule pages has been changed to reflect the correct Line Item. Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012.

Q: 0016 (both) – are these two separate accounts?

A: Yes

Q: Would DLA Energy consider implementing a pricing phase that would have a due date later then that of the non pricing information that offerors are required to submit? This would take away the requirement that offerors must hold their price for 120 days, thereby reducing our risk exposure and price. DLA Energy implemented this in the past solicitation and this seemed to work very well. To hold a price for 120 days is substantially more then industry standard and puts a substantial amount of risk on ALL offerors. Forward price swings in the Natural Gas market can be very large over a 120 day period.

A: No

Q: If DLA Energy would not consider implementing a pricing phase, would DLA Energy instead consider reducing the period in which an offeror agrees to hold their price from 120 days to a substantially less amount of time or does DLA Energy anticipate asking for at price “Refresh” ?

A: No

Q: Would DLA Energy consider implementing a pricing phase that would have a due date later then that of the non pricing information that offerors are required to submit? This would take away the requirement that offerors must hold their price for 120 days. DLA Energy implemented this in the past solicitation and this seemed to work very well. To hold a price for 120 days is substantially more then industry standard and puts a substantial amount of risk on ALL offerors. Forward price swings in the Natural Gas market can be very large over a 120 day period.

A: No

Q: Section M, paragraph H states the Before the offer's specified expiration time, the Government may accept an offer or part of an offer, whether or not there are negotiations after its receipt, unless a written notice of withdrawal is received before award. At what point after submission may an offeror withdraw their offer for any line item? If an offeror withdraws their offer, is that offeror able to resubmit another offer at a later date for the same line item at either a higher or lower price?

A: Refer to Section M, paragraph H. There is no advantage to providing multiple prices before the deadline of initial offers, except to potentially confuse the issue. DLA Energy will not be asking for clarifications on initials. But DLA Energy will only consider the final price received before the deadline. All others will be discarded.

Q: In order for offerors to formulate an accurate price quote, would DLA Energy be able to provide transcript usage history as well as current gas bills for each account number upon request?

A: No, this information cannot be provided at this time. This information will only be provided to the winning offeror.

Q: For Line Items that require the supplier to be assigned pipeline capacity, during the term of the contract, can that supplier adjust their price in the event of a tariff change to the pipelines fuel loss, transportation rate or reservation rate, whether it be changed up or down? Numerous pipelines have recently filed for changes to these costs to FERC however it is impossible to know what the result of those filings will be. These cost are not optional, predictable, avoidable or negotiable to the supplier they are assigned to.

A: Refer to SECTION H – SPECIAL CONTRACT REQUIREMENTS

Q: Would DLA consider untying Line Items 022 (Quantico MCB) and 023 (FBI Academy Quantico) from 021 (Fort Lee) in order to create more competition? While both Fort Lee and Quantico are behind the Columbia Gas of Virginia LDC, Fort Lee is in a much more pipeline constrained location then Quantico is. Colonial feels that there are marketers who are not able to offer a price for Fort Lee due to these constraints and this could put Quantico at an unfair advantage by not getting competitive prices from all available marketers.

A: No

Q: On the Schedule pages for Solicitation SPE600-12-R-0420, under the Solicitation Parameters section there is an area that says Adjustment Factor:, Summer:, Winter: and then prices. What is this section for?

A: Please refer to the FedBizOpps - SPE600-12-R-0420 revised schedule pages under "Amendment 1" file posted on October 18, 2012 for the most update vision of the schedule pages.

Q: For Line Item 0016 (USMA West Point). Would DLA consider changing “Include Adj. Factor” from “Yes” to “No” for Overage and Underage Treatment pricing? This would properly reflect market conditions. If not, can offerors submit a proposal with this change in language?

A: No, refer to Page 3 Continuation of SF1449 of SPE600-12-R-0420 regarding “exceptions”

Q: Under Section C – Description/Specifications (e) Delivery/Management Options (3) Monthly Order Quantities, would DLA consider using the bid quantities rather then the volume ordered 2 working days prior to the 25th of the month prior to the delivery period for the balancing? If not can offerors submit a proposal with this change in language?

A: No, refer to Page 3 Continuation of SF1449 of SPE600-12-R-0420 regarding “exceptions”

Q: Would DLA consider untying Line Item 0020 (DOE Knolls Atomic Power Lab) from 0018 and 0019 (Watervliet Arsenal)?

A: No

Q: For Line Item 0021 (Fort Lee), note #1 states that Fort Lee procures standby gas service from Columbia Gas of Virginia in the amount of 2,800 dth per day. Will Fort Lee have this standby gas procured through March 31, 2015?

A: The 2,800 Mcf standby service levels have been maintained for the last several years. The standby levels are an agreement between Columbia Gas of Virginia and the Fort Lee line item; DLA Energy cannot guarantee they will maintain these levels through the contract period. Fort Lee cannot guarantee that this level of service will remain available to them.

Q: For Line Item 0012 (DOE Princeton Plasma Physics Lab) there is a note that states Operational Conditions at DOE Princeton determines switching ability. Since the delivery type is Limited Interruptible, please confirm that the facility is able to be interrupted per the guidelines laid out under Section C – Description/Specifications (h) interruptible Deliveries.

A: Delivery Type for this installation is Limited Interruptible

Q: Page 9, section 4 “Monthly Orders – No Swing” – if the customer does not place an order by the deadline outlined in the section, is the contractor to deliver nothing, or to deliver the estimated volume in the RFP?

A: If the customer does not place an order within the specified timeframe, then the contractor is to deliver the estimated volume located on the customer’s schedule page.

Offeror Representations and Certifications: If an offeror has completed the annual representations and certificates electronically via https://www.acquisition.gov , how should the offeror indicate that on the proposal submission? Solicitation (page 22) says offeror should complete paragraph (b), but there is nothing in paragraph

(b) to be filled out or initialed by the offeror (unless there are changes to be made). It is unclear how an offeror should proceed if the information in the ORCA database is current & accurate, with no need for any changes.

A: If all information is current in accordance with FAR 52.212 – 3/1/II OFFEROR REPRESENTATIONS AND CERTIFICATIONS - COMMERCIAL ITEMS (ALTERNATES I/II) (APRIL 2011/APRIL 2012/JAN 2012), then paragraph

(b) should be blank.

Q: AbilityOne Entity Proposal (52.215-9004, page 42): Is DLA Energy aware of any AbilityOne qualified nonprofit entities that produce or market natural gas? If no such entities exist, how does DLA Energy want offerors to handle these proposals and progress reports?

A: No firm policy guidelines have been issued determining the manner in which an offeror is required to submit periodic progress reports; therefore, successful offerors will be notified by the Contracting Officer on the manner in which these reports should be submitted.

Q: Line Item 0005 (Tobyhanna Army Depot):

Please confirm the LDC is “UGI Utilities Inc.”, and/or if any of these facilities receives direct-connect pipeline supply service.

A: Yes, UGI Utilities is the LDC. No direct pipeline service.

Please provide a complete list of account numbers

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

Please provide actual monthly order quantities for the last 12 months.

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

https://www.acquisition.gov/

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: No, not applicable to marketer.

Is the facility subscribed to, and are they billed directly for, No-Notice Service (Rate NNS) and Monthly Balancing Service (Rate MBS)?

A: No, line item is under special utility agreement

Schedule Page lists the Rate Class as “Non-Tariff Rate”. What are the specifics of this service?

A: The marketer delivers the exact daily quantities to the LDC delivery point. All utility costs, including balancing are between the line item and LDC.

Please provide detailed description and costs or a copy of the negotiated service agreement.

A: Marketer has no stake in the agreement, cost or otherwise, so no detailed description or copy of the agreement will be provided.

Why is the Delivery Point listed as “Burner Tip” when all other Line Items under this Solicitation are to the “City Gate”?

A: This has been changed. Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012.

Is this facility allocated any assets (pipeline capacity) by UGI?

A: No

Q: What type?

A: N/A

Q: What amount and at what cost?

A: N/A

Q: Can marketers bill costs for utility supplied assets as a separate line item?

A: No, Marketer is responsible for all costs for delivery of gas to the UGI station/city gate, no other utility costs related to the line item.

Q: Do the demand charges associated with any assigned UGI capacity get direct billed to the accounts in LI 0005?

A: When applicable, yes.

Q: Schedule Page used to have 3 Notes. In the Revised Schedule Page Note #1 is hidden. Is this Note no longer applicable?

A: This has been changed. Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012

Q: Line Item 0009 (Dover AFB)

Please provide a complete list of account numbers.

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

Q: Schedule Page specifies the delivery point as the pipeline meter at Eastern Shore Natural Gas pipeline.

Please confirm that this means all ESNG pipeline charges will be direct billed to DOVER AFB by ESNG.

A: Yes, this is true. All ESNG changes are charged back to Dover AFB.

Q: Line Item 0010 (Letterkenny Army Depot)

Please confirm the LDC is “UGI Utilities Inc.”, and/or if any of these facilities receives direct-connect pipeline supply service

A: LDC is UGI Utilities, Central Penn Gas. No direct-connect pipeline service.

Please provide a complete list of account numbers.

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: Suppliers should contact UGI to confirm daily read capabilities. All accounts are telemetered.

Is the facility subscribed to, and are they billed directly for, No-Notice Service (Rate NNS) and Monthly Balancing Service (Rate MBS)?

A: Yes

Is this facility allocated any assets (pipeline capacity) by UGI? What type? What amount and at what cost? Can marketers bill costs for utility supplied assets as a separate line item? What is the actual delivery point?

A: When applicable to the rate, Capacity charges, System Access fees, Pooling fees and Supply Transfer fees are charged by UGI to the customer.

Do the demand charges associated with any assigned UGI capacity get direct billed to the account in LI 0010?

A: Note 1 should read “UGI city gate delivery for Letterkenny is 796-Shippensburg. Eight buildings served under the General Delivery Rate are telemetered.” Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012.

Schedule Page used to have 2 Notes. In the Revised Schedule Page Note #1 is hidden. Is this Note no longer applicable?

A: Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012

Q: Line Item 0014 (Aggregated Group #3 – UGI) Please confirm the LDC is “UGI Utilities Inc.”, and/or if any of these facilities receives direct-connect pipeline supply service

A: The LDC is UGI Utilities.

Please provide a complete list of account numbers for each facility (Carlisle Barracks, NavSupAct Mechanicsburg and DLA Distr. Ctr. Susquehanna).

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: Suppliers should contact UGI to confirm daily read capabilities

Are facilities subscribed to, and are they billed directly for, No-Notice Service (Rate NNS) and Monthly Balancing Service (Rate MBS)?

A: Yes

Are facilities allocated any assets (pipeline capacity) by UGI? What type? What amount and at what cost?

A: When applicable to the rate, Capacity charges, System Access fees, Pooling fees and Supply Transfer fees are charged by UGI to the customer.

Are pipeline capacity costs billed directly to the DESC by UGI? If so, will these costs be passed on to the marketer or will DESC continue to pay them? If passed to marketers, can marketers bill costs for utility supplied assets as a separate line item?

A: No, Tetco charges are the responsibility of the supplier.

If the delivery point is NOT Texas Eastern M3, is it possible to change the SIP point to be the actual delivery point (eg Texas Eastern East LA)?

A: Texas Eastern M3 is the SIP location for these line items for this solicitation/resultant contract

Do the demand charges associated with UGI assigned capacity get direct billed to the accounts in LI 0014?

A: When applicable, yes

Q: Line Item 0021 (Fort Lee) Please provide a complete list of account numbers.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide actual monthly order quantities for the last 12 months

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: Suppliers should contact Columbia Gas of Virginia to confirm daily read capabilities.

Q: Line Item 0022 (Quantico MCB) Please provide a complete list of account numbers.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide actual monthly order quantities for the last 12 months.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: Suppliers should contact Columbia Gas of Virginia to confirm daily read capabilities.

Q: Line Item 0023 (FBI Academy Quantico) Please provide a complete list of account numbers

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide actual monthly order quantities for the last 12 months.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Please provide 12 months actual usage for each account. Or provide marketer with a Letter of Authorization to request usage directly from the LDC.

A: Unfortunately, DLA Energy will not provide account information at this time. This information will only be provided to the winning offeror.

Will marketers have access to daily meter readings?

A: Suppliers should contact Columbia Gas of Virginia to confirm daily read capabilities.

Q: Under the terms of the RFP the quantities listed in the attachments for each facility are estimates. These estimates may be affected by events such as BRAC facility re-alignments and closures, planned shutdowns for maintenance, and efficiency projects that may or may not be included in the estimates. In cases where actual usage for a facility deviates significantly from estimates/orders AND causes economic damage to a supplier, what recourse does the supplier have to obtain an equitable adjustment? The current RFPs contain two clauses addressing this question, but they appear to be in mutual conflict.

First , under Section C: Description/Specifications C-0001 C-700 Statement of Work paragragh

(f) MATERIAL CHANGE the RFP explicitly states:

“(f) MATERIAL CHANGE. The installation shall promptly notify the Contractor of any known or predicted changes in natural gas consumption not related to weather with as much advance notice as possible.

Any change in the operations of the facility which may alter weather normalized usage by more than 25 percent will hereafter be called a “material change”. If properly notified of a material change, the Contractor shall ensure that all supply and balancing obligations are met and any penalties charged by the LDC or pipeline resulting from the Contractor’s failure to properly manage and balance the account shall be the responsibility of the Contractor. If a material change causes additional costs or results in additional revenues, the Contractor and the Government shall agree on an equitable adjustment.” (Emphasis added) However, secondly, the below section states-- “FAR 52.216-21 REQUIREMENTS (OCT 1995) (a) This is a requirements contract for the supplies or services specified, and effective for the period stated, in the Schedule. The quantities of supplies or services specified in the Schedule are estimates only and are not purchased by this contract. Except as this contract may otherwise provide, if the Government’s requirements do not result in orders in the quantities described as “estimated’’ or “maximum” in the Schedule, that fact shall not constitute the basis for an equitable price adjustment.” (Emphasis added) It would seem reasonable that the FAR does NOT preclude an adjustment since it explicitly allows such when “otherwise specified” in the contract. Equitable adjustments arising from material changes which cause economic damages, for example, are specified in the material change clause.

To prevent confusion, and to determine how much of a risk adder suppliers need to include in their pricing, please clarify which of these clauses will govern and under what circumstances.

A: These 2 contract terms are not in conflict with one another. The material change clause will only come into effect if a structural change, for example, occurs. For example a new building is built that significantly increases gas requirements.

Consumption variances, even large variances due to weather, normal operations, etc are considered part of the contract and should be priced into your adjustment factor.

Q: In the Solicitation Schedule Page (East_Div_NE….. Excel spreadsheet) , Tab 12 (2 of 2) contains volumes for April 2015 through September 2015. Is this incorrect data, since all other accounts end in March 2015?

A: This has been corrected, Please refer to the amendment #2 posted on FedBizOpps on 10/24/2012.

Q: Is DLA looking for 4 different prices for each package corresponding to the 2 summers and 2 winters?

A: Yes. You must bid on each group in its entirety, please follow the instructions on each pricing group on each pricing sheet.

Q: On page 6, Item (c), what volume is the “monthly price adjustment” applicable for? Is this for volume scheduled or nominated after the 1st day of each month?

A: The monthly price adjustment is the monthly change in the market price of natural gas

Q: On page 9 item 3, how do the “Monthly Order Quantities” compare with the usage estimates in the pricing sheets?

A: Under option 3 (Monthly Order Quantities): IF the customer DOES NOT place an order by the specified due date, then the “Estimated” volumes located on their schedule page becomes the “ordered” volume.

Refer to PART I – THE SCHEDULE SECTION B – SUPPLIES OR SERVICES B1.06 SUPPLIES TO BE FURNISHED & SECTION C – DESCRIPTION/SPECIFICATIONS C700 STATEMENT OF WORK (3) Monthly Order Quantities

We are using the usage sheets to develop a price so any significant deviation could potentially be damaging to an Offeror.

A: Risks should be priced in your adjustment factor.

Q: Can DLA provide a summary between the interruptible and firm accounts so that bidder is able to determine the allocation of firm storage and firm transportation that will be assigned to bidder from the respective utilities? It will be very difficult to price without this data.

A: All summary data is located on the solicitation pricing sheet.

Q: On page 9, Item (3), is the period used to determine the 10% bandwidth of the order quantity on a daily or monthly basis?

A: Monthly unless specified otherwise on schedule page.

Q: The Henry Hub is listed as the SIP for all volumes with the AF simply the basis to the city-gate so this is simply a NYMEX plus Basis transaction for all the aggregated packages and estimated usage, except when a delivered Index is called for?

A: No, AF should include any/all costs associated with providing service(s) to line item(s).

Q: Can DLA provide details of all account numbers behind Dominion East Ohio, PES&G, Columbia Gas of Ohio, New Jersey Nat Gas, and Vectren?

A: Unfortunately, DLA Energy will not provide account numbers at this time. This information will only be provided to the winning offeror.

Q: Does the DLA plan on triggering and converting any or all of load to a fixed-price?

A: Yes, Refer to: B704 CONTRACT PRICE CONVERSION (NATURAL GAS) (DLA ENERGY APR 2006) (REV)

Q: Are the SIP’s correct for the 3 Ohio locations? Generally speaking when IFERC pricing is used for locations in Ohio, the preferred (or expected) SIP would be Columbia Gas Transmission-Appalachia or Dominion Gas Transmission Appalachia.

A: All SIP’s are correct (Henry Hub)

Q: What do the Summer/Winter adjustment factors in the Schedule Page for the Lima and Columbus locations represent? Are these current contract prices? Or Contract Ceilings? Or Something else?

A: This information has been deleted, Refer to amendment #1 posted on FedBizOpps on 10/18/2012.

Q: On page 11, subpart (m)(1) for INVOICING AND PAYMENT, line 5, the sentence states: “Invoices will be submitted via electronic or non-electronic means as required by the applicable Invoice Certifying Office.”

Offeror realizes that Wide Area Work Flow (WAWF) is not used by many facilities and that some may require the use of WAWF. The use of WAWF is a non-standard billing process and is a factor in determining an Offeror’s pricing.

For Dual billed accounts, do the Invoice Certifying Offices require the use of WAWF invoicing for the accounts behind Dominion East Ohio, PES&G, Columbia Gas of Ohio, New Jersey Nat Gas, and Vectren?

Please respond at the level that the invoices are required.

A: Not, at this time, WAWF is a valid government billing system that may become a required system for many government installations.

Q: On page 11, subpart (m)(1) for INVOICING AND PAYMENT, starting on line 8, the sentence states: “The Government has the right to unilaterally adjust the quantities indicated on the Contractor’s invoice downward if documentation available to the Government indicates that a quantity received on behalf of the installation is less than the quantity invoiced by the Contractor and adjust future payments due the Contractor if any previous quantity for which the Contractor invoiced and was paid is determined to be inaccurate.”

Please verify that the “right to unilaterally adjust” is only a temporary measure to protect the Government interests so as to not overpay a Contractor on a questionable issue, but that the Government will accept additional documentation and conduct further discussions to determine the appropriate quantities and charges for any questionable invoice issue.

A: The Government has the right to unilaterally adjust the quantities indicated on the Contractor’s invoice downward if documentation available to the Government indicates that a quantity received on behalf of the installation is less than the quantity invoiced by the Contractor and adjust future payments due the Contractor if any previous quantity for which the Contractor invoiced and was paid is determined to be inaccurate. The Government may accept additional documentation when necessary to correct/amend invoices.

Q: Section L – Subpart (b) Submission of Offers – On page 42, clause 52.215-9004 AbilityOne, part (d) states:

“You shall be required to submit periodic progress reports (no less frequently than annually) to the Contracting Officer regarding you subcontracting efforts relative to AbilityOne entities. Specify what type of performance data you will accumulate and provide to the Contracting Officer regarding your support of AbilityOne entities during the period of contract performance.”

Based upon lack of provided and thus far available AbilityOne reporting requirements, Offeror’s have minimal guidance to determine if their performance data is adequate to meet the “unknown” reporting requirements of AbilityOne.

What information will be required to be reported for AbilityOne?

What process will be used for the AbilityOne reporting?

When will the reporting system be determined and available?

A: No firm policy guidelines have been issued determining the manner in which an offeror is required to submit periodic progress reports; therefore, successful offerors will be notified by the Contracting Officer on the manner in which these reports should be submitted.

Q: I have reviewed the referenced areas FOR SOLICITATION # SPE600-12-R-0420 and I am still unclear on the World Energy fee. I am assuming that I do not need to include the World Energy fee of $0.05/dth in my pricing that is due on Monday, October 29th however if it goes to reverse auction in the future via World Energy's system that at that time, I would include their fee, can you please confirm that my assumption is correct?

A: Refer to: B700 ECONOMIC PRICE ADJUSTMENT - MARKET PRICE AND TRANSPORTATION (NATURAL GAS) Page 6: (2) Adjustment Factor (AF), as provided by offerors in the SUPPLIES TO BE FURNISHED contract provision, is a fixed price per unit of product to compensate an offeror for all costs of contract performance including but not limited to supply costs, ALL transportation-related costs which includes ALL interstate/intrastate pipeline’s fuel loss, overhead costs, and margin insofar as these costs vary from the SIP.

DLA Energy cannot tell you how to compose your pricing, please refer to the Adjustment Factor definition.

Q: Also, on the schedule page for FCI McKean (002), Delivery Option "(3) Monthly Order" has been chosen. If Delivery Option "(3) Monthly Order Quantities" is correct, should there be verbiage listed for Overage/Shortage Treatment? Or should this be(4) Monthly Orders - No Swing? Please verify.

A: The schedule page for FCI McKean (002) has been corrected. Please refer to the amendment #2 posted which will be posted on FedBizOpps shortly.