FERMI_2016_Combined_Synopsis_Final.docx

1. This is a combined synopsis/solicitation for commercial items prepared in accordance with the format in Subpart 12.6, as supplemented with additional information included in this notice. This announcement constitutes the only solicitation; proposals are being requested and a written solicitation will not be issued.

2. Solicitation SPE600-16-R-0404 will be issued as a Request for Proposal (RFP).

3. Solicitation SPE600-16-R-0404 has incorporated provisions and clauses in effect through Federal Acquisition Circular (FAC) 2005-86 dated 01/01/2016.

4. This is acquisition is unrestricted; the associated NAICS Code is 221112. The small business standard size is 750 Employees.

5. The item to be acquired is Electricity and ancillary services for ultimate transfer to the Department of Energy's Fermi National Accelerator Laboratory, EBS contract line item 0001, for an estimate quantity of 866,450,856 kWh’s

6. The Contractor shall procure a portion of the electricity to be delivered under the contract in blocks at firm-fixed prices. All blocks shall be purchased at the ComEd Zone, with the remainder of the electricity requirement at the ComEd Zone Locational Marginal Price (LMP).

7. The period of performance is from meter read date occurring in January 2017 through meter read date occurring in December 2019. FOB: Destination.

The following provisions apply to this acquisition:

8. Provision at 52.212-1, Instructions to Offerors—Commercial Items (Oct 2015)(Tailored)

(b) Submission of offers. Submit signed and dated offers to the office specified in this solicitation at or before the exact time specified in this solicitation. Offers may be submitted on letterhead stationery, or as otherwise specified in the solicitation. As a minimum, offers must show—

(1) The solicitation number;

(2) The time specified in the solicitation for receipt of offers;

(3) The name, address, and telephone number of the offeror;

(8) Acknowledgment of Solicitation Amendments;

(9) If the offer is not submitted on the SF 1449, include a statement specifying the extent of agreement with all terms, conditions, and provisions included in the solicitation. Offers that fail to furnish required representations or information, or reject the terms and conditions of the solicitation may be excluded from consideration.

(c) Period for acceptance of offers. The offeror agrees to hold the prices in its offer firm for five calendar days from the date specified for receipt of offers, unless another time period is specified in an addendum to the solicitation.

9. Provision at 52.212-2, Evaluation—Commercial Items (Oct 2014) The Government will award a contract resulting from this solicitation to the responsible offeror whose offer conforming to the solicitation will be most advantageous to the Government, price and other factors considered. The following factors shall be used to evaluate offers:

i. Past Performance

Offerors must submit past performance references, which the Government will evaluate for relevancy and performance to determine the Government’s level of confidence in each offeror’s ability to meet the solicitation requirements. This evaluation will include any aspect of past performance that is relevant to the work to be performed under this contract.

The evaluation team will assess the Offeror’s past performance relevancy using data submitted by potential suppliers on the solicitation, as well as other available past performance data, providing that the data is less than two years old and relates to Government or commercial contracts where there has been at least 12 months of performance; however, the Government reserves the right to only consider the Offeror’s performance under Government or DLA Energy contracts. Each reference submitted will be determined to be relevant or not relevant.

DLA Energy will contact references provided by the Offeror to discover/verify the quality of past performance, to include quality of performance and business relations. This will include the contractor’s conformance to contract requirements, specifications and standards of good workmanship (e.g. understanding of requirements, billing services, commonly accepted commercial principles) as well as the offeror’s integration and coordination of all activity needed to execute the contract, specifically the timeliness, completeness and quality of problem identification, corrective action plans, proposal submittals, the contractor’s history of reasonable and cooperative behavior, and customer satisfaction. The Government will also consider past performance information regarding predecessor companies, key personnel who have relevant experience, or subcontractors that will perform major or critical aspects of the requirement when such information is relevant to the acquisition (FAR 15.305(a)(2)(iii), Proposal Evaluation)

In the case of an offeror for whom information regarding the quality of past performance is not available, the offeror will not be evaluated favorably or unfavorably on past performance pursuant to FAR 15.305(a)(2)(iv).

The Past Performance Evaluation Team will review and evaluate the past performance information to determine the Government’s performance confidence based on the quality and usefulness of the information received.

ii. Technical Capability / Risk

The Government will use a combined technical capability / risk rating to assess the offeror’s proposed approach to satisfying the Government’s requirements. The Government will consider résumés of key personnel and the number of retail customers (1 MW or greater) the Offeror has supplied during the past 12 months both within and outside of the applicable ISO/RTOs included in the solicitation.

In addition, the Government will verify that each offeror is approved by the state of Illinois to deliver and service the customer requirements. The Illinois Commerce Commission requires alternate suppliers to be certified or licensed to operate within their respective state/district.

iii. Socioeconomic Proposal Socioeconomic Proposal

The relative merits of the Socioeconomic Proposal will be evaluated based on the degree to which an offeror’s proposal demonstrates the commitment to use, in performance of the offered requirements, small businesses and/or Historically Black Colleges/Universities or Minority Institutions (HBCUs/MIs).

NOTE: The offeror’s proposals for socioeconomic support will be made a part of any resulting contract for use in determining how well the Contractor has adhered to its socioeconomic plan. This plan will be monitored by the Small Business Office of the Defense Logistics Agency Energy (DLA Energy) as a means of assisting the Contracting Officer in determining how well the Contractor has in fact performed. This determination will then be used as a consideration prior to option exercise and future source selection decisions. Performance on prior contracts in subcontracting with and assisting small businesses and HBCUs/MIs will be part of past performance evaluation.

iv. Price

Price evaluations will be conducted by comparing the estimated savings to be obtained by the Government under each offer received. The basis of calculating the estimated savings will be a comparison of the anticipated total delivered cost under the offer received with the cost to the Government under the applicable tariffs for each line item.

NOTE 1: Price evaluations will be conducted by comparing each offeror’s Supply Service Fee. The Supply Service Fee, in conjunction with the non-price related factors identified in the EVALUATION – COMMERCIAL ITEMS contract provision, will be the basis for the Government’s best overall value award decision.

NOTE 2: The Renewable Portfolio Standards (RPS) rate shall be fixed for each 12 month period of this contract from January 1st to December 31st. RPS rates will be evaluated against current market rates for Renewable Energy Certificates (RECs).

The non-price factors, when combined, are approximately equal to Price. Past performance is the most important non-price evaluation factor and the Socioeconomic Proposal is the least important non-price factor. Technical Capability/Risk is less important than Past Performance, but significantly more important than Socioeconomic Proposal factor. DLA Energy will utilize a trade-off evaluation to determine which offeror represents the best value to the Government. If two offers are equal in merit, lowest price will be the determining factor.

A written notice of award or acceptance of an offer, mailed or otherwise furnished to the successful offeror within the time for acceptance specified in the offer, shall result in a binding contract without further action by either party. 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.

10. Offerors are to include a completed copy within the proposal of the provision at 52.212-3, Offeror Representations and Certifications—Commercial Items (Nov 2015)

11. 52.212-4, Contract Terms and Conditions—(TAILORED) (MAY 2015)

NOTE 1: INSTRUCTIONS HAVE BEEN TAILORED TO BE MORE CONSISTENT WITH COMMERCIAL PRACTICE. ALL OTHER INSTRUCTIONS INCLUDED IN FAR 52.212-4 (MAY 2014) ARE HEREBY INCORPORATED BY REFERENCE (SEE BLOCK 27A OF STANDARD FORM 1449)

(i) Firm Fixed Price:

A = Σ (B - C)*D

Where--

NOTE: The termination value formula above shall only apply to electricity or capacity purchased on a fixed price basis. The Government shall incur no termination liability for electricity purchased on a locational marginal pricing basis, or capacity on a pass-through basis.

12. 52.212-5 Contract Terms and Conditions Required to Implement Statutes or Executive Orders—Commercial Items (Jan 2016)

(a) The Contractor shall comply with the following Federal Acquisition Regulation (FAR) clauses, which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

(1) 52.209-10, Prohibition on Contracting with Inverted Domestic Corporations (Nov 2015)

(2) 52.233-3, Protest After Award (Aug 1996) (31 U.S.C. 3553).

(3) 52.233-4, Applicable Law for Breach of Contract Claim (Oct 2004)(Public Laws 108-77 and 108-78 (19 U.S.C. 3805 note)).

(b) The Contractor shall comply with the FAR clauses in this paragraph (b) that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

[Contracting Officer check as appropriate.]

X (1) 52.203-6, Restrictions on Subcontractor Sales to the Government (Sept 2006), with Alternate I (Oct 1995) (41 U.S.C. 4704 and 10 U.S.C. 2402).

X (2) 52.203-13, Contractor Code of Business Ethics and Conduct (Oct 2015) (41 U.S.C. 3509)).

X (4) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (Oct 2015) (Pub. L. 109-282) (31 U.S.C. 6101 note).

X (8) 52.209-6, Protecting the Government’s Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment. (Oct 2015) (31 U.S.C. 6101 note).

X (9) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (Jul 2013) (41 U.S.C. 2313).

X (12)(i) 52.219-4, Notice of Price Evaluation Preference for HUBZone Small Business Concerns (Oct 2014) (if the offeror elects to waive the preference, it shall so indicate in its offer) (15 U.S.C. 657a).

__ (ii) Alternate I (Jan 2011) of 52.219-4.

__ (16) 52.219-8, Utilization of Small Business Concerns (Oct 2014) (15 U.S.C. 637(d)(2) and (3)).

X (17)(i) 52.219-9, Small Business Subcontracting Plan (Oct 2015) (15 U.S.C. 637(d)(4)).

__ (iii) Alternate II (Oct 2001) of 52.219-9.

X (20) 52.219-16, Liquidated Damages—Subcon-tracting Plan (Jan 1999) (15 U.S.C. 637(d)(4)(F)(i)).

X (22) 52.219-28, Post Award Small Business Program Rerepresentation (Jul 2013) (15 U.S.C. 632(a)(2)).

X (25) 52.222-3, Convict Labor (June 2003) (E.O. 11755).

X (26) 52.222-19, Child Labor—Cooperation with Authorities and Remedies (Jan 2016) (E.O. 13126).

X (27) 52.222-21, Prohibition of Segregated Facilities (Apr 2015).

X (28) 52.222-26, Equal Opportunity (Apr 2015) (E.O. 11246).

X (29) 52.222-35, Equal Opportunity for Veterans (Oct 2015)(38 U.S.C. 4212).

X (30) 52.222-36, Equal Opportunity for Workers with Disabilities (Jul 2014) (29 U.S.C. 793).

X (31) 52.222-37, Employment Reports on Veterans (Oct 2015) (38 U.S.C. 4212).

X (32) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (Dec 2010) (E.O. 13496).

X (33)(i) 52.222-50, Combating Trafficking in Persons (Mar 2015) (22 U.S.C. chapter 78 and E.O. 13627).

X (40) 52.223-18, Encouraging Contractor Policies to Ban Text Messaging While Driving (Aug 2011) (E.O. 13513).

X (41) 52.225-1, Buy American—Supplies (May 2014) (41 U.S.C. chapter 83).

X (44) 52.225-13, Restrictions on Certain Foreign Purchases (June 2008) (E.O.’s, proclamations, and statutes administered by the Office of Foreign Assets Control of the Department of the Treasury).

X (50) 52.232-33, Payment by Electronic Funds Transfer—System for Award Management (Jul 2013) (31 U.S.C. 3332).

(c) The Contractor shall comply with the FAR clauses in this paragraph (c), applicable to commercial services, that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

[Contracting Officer check as appropriate.]

__ (1) 52.222-17, Nondisplacement of Qualified Workers (May 2014)(E.O. 13495).

__ (2) 52.222-41, Service Contract Labor Standards (May 2014) (41 U.S.C. chapter 67).

__ (3) 52.222-42, Statement of Equivalent Rates for Federal Hires (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (4) 52.222-43, Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (Multiple Year and Option Contracts) (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (5) 52.222-44, Fair Labor Standards Act and Service Contract Labor Standards—Price Adjustment (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (6) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment—Requirements (May 2014) (41 U.S.C. chapter 67).

__ (7) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services—Requirements (May 2014) (41 U.S.C. chapter 67).

__ (8) 52.222-55, Minimum Wages Under Executive Order 13658 (Dec 2015) (E.O. 13658).

__ (9) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations (May 2014) (42 U.S.C. 1792).

__ (10) 52.237-11, Accepting and Dispensing of $1 Coin (Sept 2008) (31 U.S.C. 5112(p)(1)).

(d) Comptroller General Examination of Record. The Contractor shall comply with the provisions of this paragraph (d) if this contract was awarded using other than sealed bid, is in excess of the simplified acquisition threshold, and does not contain the clause at 52.215-2, Audit and Records—Negotiation.

(1) The Comptroller General of the United States, or an authorized representative of the Comptroller General, shall have access to and right to examine any of the Contractor’s directly pertinent records involving transactions related to this contract.

(2) The Contractor shall make available at its offices at all reasonable times the records, materials, and other evidence for examination, audit, or reproduction, until 3 years after final payment under this contract or for any shorter period specified in FAR Subpart 4.7, Contractor Records Retention, of the other clauses of this contract. If this contract is completely or partially terminated, the records relating to the work terminated shall be made available for 3 years after any resulting final termination settlement. Records relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to this contract shall be made available until such appeals, litigation, or claims are finally resolved.

(3) As used in this clause, records include books, documents, accounting procedures and practices, and other data, regardless of type and regardless of form. This does not require the Contractor to create or maintain any record that the Contractor does not maintain in the ordinary course of business or pursuant to a provision of law.

(e)(1) Notwithstanding the requirements of the clauses in paragraphs (a), (b), (c), and (d) of this clause, the Contractor is not required to flow down any FAR clause, other than those in this paragraph (e)(1) in a subcontract for commercial items. Unless otherwise indicated below, the extent of the flow down shall be as required by the clause—

(i) 52.203-13, Contractor Code of Business Ethics and Conduct (Oct 2015) (41 U.S.C. 3509).

(ii) 52.219-8, Utilization of Small Business Concerns (Oct 2014) (15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $700,000 ($1.5 million for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities.

(iii) 52.222-17, Nondisplacement of Qualified Workers (May 2014) (E.O. 13495). Flow down required in accordance with paragraph (l) of FAR clause 52.222-17.

(iv) 52.222-21, Prohibition of Segregated Facilities (Apr 2015)

(v) 52.222-26, Equal Opportunity (Apr 2015) (E.O. 11246).

(vi) 52.222-35, Equal Opportunity for Veterans (Oct 2015) (38 U.S.C. 4212).

(vii) 52.222-36, Equal Opportunity for Workers with Disabilities (Jul 2014) (29 U.S.C. 793).

(viii) 52.222-37, Employment Reports on Veterans (Oct 2015) (38 U.S.C. 4212)

(ix) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (Dec 2010) (E.O. 13496). Flow down required in accordance with paragraph (f) of FAR clause 52.222-40.

(x) 52.222-41, Service Contract Labor Standards (May 2014) (41 U.S.C. chapter 67).

(xi)

__(A) 52.222-50, Combating Trafficking in Persons (Mar 2015) (22 U.S.C. chapter 78 and E.O 13627).

__(B) Alternate I (Mar 2015) of 52.222-50 (22 U.S.C. chapter 78 and E.O 13627).

(xii) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment-Requirements (May 2014) (41 U.S.C. chapter 67).

(xiii) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services-Requirements (May 2014) (41 U.S.C. chapter 67).

(xiv) 52.222-54, Employment Eligibility Verification (Oct 2015) (E.O. 12989).

(xv) 52.222-55, Minimum Wages Under Executive Order 13658 (Dec 2015) (E.O. 13658).

(xvi) 52.225-26, Contractors Performing Private Security Functions Outside the United States (Jul 2013) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. 2302 Note).

(xvii) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations (May 2014) (42 U.S.C. 1792). Flow down required in accordance with paragraph (e) of FAR clause 52.226-6.

(xviii) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (Feb 2006) (46 U.S.C. Appx. 1241(b) and 10 U.S.C. 2631). Flow down required in accordance with paragraph (d) of FAR clause 52.247-64.

(2) While not required, the Contractor may include in its subcontracts for commercial items a minimal number of additional clauses necessary to satisfy its contractual obligations.

(f) The following additional provisions and clauses apply to DoD solicitations and contracts using FAR part 12 procedures for the acquisition of commercial items. If the offeror has completed any of the following provisions listed in this paragraph electronically as part of its annual representations and certifications at https://www.acquisition.gov, the contracting officer shall consider this information instead of requiring the offeror to complete these provisions for a particular solicitation.

252.226-7001, Utilization of Indian Organizations, Indian-Owned Economic Enterprises, and Native Hawaiian Small Business Concerns

252.243-7002, Requests for Equitable Adjustment

(xviii) Part 244—Subcontracting Policies and Procedures.

252.244-7000, Subcontracts for Commercial Items

(C) 252.247-7023, Transportation of Supplies by Sea

13. The following additional contract requirements or terms and conditions determined by the contracting officer to be necessary for this acquisition and consistent with customary practices:

Applicable NERC Region: PJM

Utility Service Area: ComED Commonwealth Edison Company

(c) The Government is soliciting offers for supply and transmission of electricity and ancillary services for the following locations:

Number

Location/ Installation Name

Number of Accounts

Spreadsheet Name(s)

NOTE 1: Contractor shall not discuss nor disclose any load information to any outside third party entity without prior written consent from the Contracting Officer.

NOTE 2: The Government is exempt from state sales tax. A tax exempt form will be provided at time of award.

NOTE 3: There shall be no “out of cycle” meter reads permitted. The delivery period for any contract resulting from this solicitation will begin with the regularly scheduled utility meter read date, January 2017.

B19.46 BLOCK PURCHASES (ELECTRICITY) (DLA ENERGY) (JAN 2012)

The total amount charged by the Contractor each month shall equal the sum of charges for: (a) Energy, (b) Other Market Fees/Charges and (c) the Supply Service Fee.

(1) ELECTRICITY. The Contractor shall procure a portion of the electricity to be delivered under the contract in blocks at firm-fixed prices in accordance with paragraph (1) below. All blocks shall be purchased at the ComEd Zone, with the remainder of the electricity requirement at the ComEd Zone Locational Marginal Price (LMP).

(1) Electricity – Purchase by Firm-Fixed Price Blocks.

(i) Attachment V, titled “Block Purchase Schedule”, contains details concerning the dates and size of firm-fixed price blocks the Contractor shall purchase on behalf of the Government. The Government reserves the right to modify the schedule for block purchases, block sizes, and the number of blocks to be purchased, without change to the Contractor’s Supply Service Fee. If the Government modifies the block purchase schedule, the Government will forward to the Contractor a revised “Block Purchase Schedule” for Contractor signature of acknowledgement. The Contractor shall return the signed and approved contract modification containing the revised Block Purchase Schedule to the Government within 5 calendar days. The Contractor shall execute the block purchases in accordance with the revised schedule. Any modification to the Block Purchase Schedule shall not exceed 12 months beginning one month subsequent to the date when the Government directs the Contractor to make a block purchase, unless different terms are mutually agreed upon.

(ii) All blocks shall be of a size not less than 2 megawatts and all blocks shall be sized in whole megawatts.

(iii) Blocks may be either all-hour (i.e., 24 hours by 7 days), or on-peak period only, or off-peak period only.

(iv) For each block purchase, the Contractor shall provide to the Government at least three price quotes, or at least four if one of the quotes is from a Contractor affiliate. Pursuant to FAR 52.212-5 (d), Comptroller General Examination of Record (as shown on page 23 of this solicitation), the Government has the right to audit the price quotes or other information submitted by the Contractor’s electricity suppliers in order to verify price reasonableness and best value. Within one (1) hour of receiving notification from the Contractor regarding the proposed price of a firm-fixed price block, the Government will notify the Contractor of its preliminary decision to request a refreshed executable firm-fixed price for the block. Within one (1) hour of the Government’s notification, the Contractor shall provide a refreshed, executable firm-fixed price for the block to the Government, at which time the Government may direct the Contractor to purchase the block at the refreshed, executable price. The Government is responsible only for the decision to enter into block electricity purchases. The Contractor is responsible for managing all other aspects as required by the Statement of Work to ensure performance. The Government reserves the right to decline to purchase any block[s] if, in its sole discretion, it determines the price or any other aspect of the proposed block purchase is unsatisfactory.

(v) For the blocks of electricity purchased by the Contractor at firm-fixed prices, the Government shall pay the Contractor the product of the market-based block price-per kilowatt-hour (kWh) and the number of kWhs in the block.

(vi) If in any hour the Government’s kWh consumption is below (or above) the sum of the blocks to be delivered, the Contractor shall credit (or charge) the Government for each kWh of consumption below (or above) the sum of the blocks as specified in subparagraph (2), below.

(2) Electricity – Purchased at Locational Marginal Price (LMP).

Pricing for Quantities Outside Established Blocks of Electricity

(i) If, in any hour (Settlement Period), consumption of electricity is below or above the contract blocks, the Contractor shall charge the Government in accordance with the methodology specified in Sections (2)(ii) and (2)(iii) of this contract provision, respectively.

(ii) If, in any Settlement Period, an Electricity Deficiency occurs, an Electricity Deficiency Adjustment shall be made. Electricity Deficiency means the deficit in the Government’s Actual Consumption for Settlement Period as measured against the sum of the electricity associated with the electricity blocks for the Settlement Period, i.e., the Benchmark Quantity. Electricity Deficiency is calculated by subtracting the Actual Consumption for a Settlement Period from the Settlement Period Benchmark Quantity for that period. The Electricity Deficiency Adjustment is a credit to the Government.

Expressed as a formula, the Electricity Deficiency Adjustment is EDA = ED x ComEd Zone where-- EDA is the Electricity Deficiency Adjustment ED is the Electricity Deficiency ComEd Zone – Commonwealth Edison is the applicable Day-Ahead LMP value as posted on PJM’s website.

The Electricity Deficiency Adjustment is calculated for each Settlement Period in the month in which the electricity was consumed and included on the next monthly invoice.

(iii) If, in any Settlement Period, Excess Electricity is consumed, an Excess Electricity Adjustment shall be made. Excess Electricity means the excess in Government’s Actual Consumption for the Settlement Period as measured against the Settlement Period Benchmark Quantity. Excess Electricity is calculated by subcontracting the Settlement Period Benchmark Quantity from the Actual Consumption for the Settlement Period. The Excess Electricity Adjustment is a charge to the Government.

Expressed as a formula, the Excess Electricity Adjustment is EEA = EE x ComEd Zone where-- EEA is the Excess Electricity Adjustment EE is the Excess Electricity ComEd Zone – Commonwealth Edison is the applicable Day-Ahead LMP value as posted on PJM’s website.

SSF is the Supply Service Fee The Excess Electricity Adjustment is calculated for each Settlement Period in the month in which the electricity was consumed and included on the next monthly invoice.

(b) OTHER MARKET CHARGES. The charges (other than electricity) that are not included in the Supply Service Fee, are identified below and shall be invoiced in accordance with the INVOICE clause:

(1) Capacity – The capacity price shall be the established PJM Auction price as defined on the PJM website, for the ComEd Zone. Contractors will be required to provide documentation for the capacity charge calculation.

(2) Transmission Costs – Transmission costs associated with each account shall be passed through to the Government at the applicable PJM tariff rate as prescribed in the OATT. Transmission charges shall be billed according to the following formula:

Transmission Charge = Applicable Transmission Peak Load Contribution (kW) x Network Integration Transmission Service Rate (for ComEd) / 365 / 1000

PJM’s Regional Transmission Expansion Planning Process (RTEP) and any Reliability Must Run (RMR) charges, shall be treated as direct pass-throughs to the Government.

Any Auction Revenue Rights (ARRs) associated with the account loads shall be credited back to the Government, based on the Government’s share of the Contractor’s overall load. Both the transmission charge and any credits to the Government shall be shown as separate line items on the monthly invoices. The monthly invoices shall provide documentation of the derivation of the ARR credits.

NOTE: The timeframe for applying Auction Revenue Rights (ARR) credits is 60 days maximum.

(3) Transmission and Distribution Losses – Transmission losses (charges and credits) and Distribution loss charges shall be treated as a direct pass-through to the Government and shall be the sum of the transmission and distribution losses charges/credits applicable to the Fermi National Laboratory load for the month. Credits to the Government shall include PJM Marginal Loss Over-Collection Credits associated with the Fermi National Laboratory loads. The Contractor shall provide the methodology and documentation of how these credits are calculated. Losses shall not be calculated by grossing up metered consumption and shall be calculated as follows:

For each billing period, Step 1: Calculate Average Load weighted LMPs (using Day Ahead LMPs for ComEd Zone) in $/MWH = ∑(hourly loads X hourly LMP) / ∑(hourly loads) Step 2: Calculate Unit Loss Charge = Loss Factor X Average Load Weighted LMPs Step 3: Loss charges = Unit Loss Charge X Total Actual (i.e., metered) Consumption PJM Marginal Loss Over Collection Credits:

(i) Credits shall be treated as a separate line item on each invoice

(ii) Over collection of Marginal losses shall be passed-through to the Government.

(iii) Offerors have the option to use the load ratio share or hourly loss duration factors to compute the PJM Marginal Loss Over Collection Credits.

(iv) Offerors shall specify the method chosen to compute the PJM Marginal Loss Over Collection Credits, in their offer.

NOTE: Any PJM losses over-collection credits due Fermi National Laboratory after the expiration of the contract terms shall be reimbursed to the APPLICABLE FERMI FINANCE OFFICE (TO BE PROVIDED AT CONTRACT AWARD) by check. Technical Data Submissions shall include information describing the supplier’s refund process for PJM losses over-collection credits to be used in the event of contract award. Suppliers shall also provide examples showing the calculation methodology and invoicing procedures.

NOTE: The Unaccounted for Energy (UFE) is to be passed through with a 60 day true-up.

NOTE: The EDC Loss De-Ration Factor shall be a direct pass-through with no mark-up.

NOTE: The EDC Loss De-Ration Factor shall be a direct pass-through with no mark-up and applied in relation to Hourly Consumption and the Distribution Loss Factor as follows:

Hourly Consumption x (1 + Distribution Loss Factor) x (1 + Transmission Loss Factor) x (1 – EDC Loss De-ration Factor)

(4) Renewable Energy Credits – The Contractor shall provide documentation that it is required to comply with IL’s RPS. Contractor costs to comply with the state renewable portfolio standards (RPSs) associated with each of the accounts shall be as follows: In compliance with Illinois state RPS requirements, offerors shall fix the REC rate for the 50% that can be hedged from January 1st to December 31st of each year. The identical REC rate would apply to all of the REC's that are required under the solicitation for the same time period each year, including the Alternative Compliance Payment (ACP) RECs. When the actual rate is identified for the ACP in July each year (after the planning year) the Contractor shall true-up the fixed rate against 50% of volumes and shall issue a credit or additional charge to the Government. The costs associated with state RPS compliance are to be expressed as a per-kWh charge, applicable to the account and distributed over the calendar year. Pursuant to FAR 52.212-5(d), the Government has the right to audit the price quotes or other information submitted by the Contractor’s RECs suppliers in order to verify price reasonableness and best value.

NOTE: As defined above, the annual ACP REC true-up shall be calculated as follows:

(50% of Annual Usage x Fixed REC Component) – (50% of Annual Usage x Published ACP) If the resulting value is negative, then the customer shall be billed that amount. Should the value be positive, the customer will receive a credit in the amount calculated.

The following is an example of how the true-up calculation would be applied:

Contract Start Date: January 1, 2017 Contract End Date: December 31, 2020

Example Annual Consumption: 270,000 MWHs Example Fixed Contract Rate for RECs during the term: $1.00/MWH Example Actual ACP Rate for June 2016 – May 2017: $1.50/MWH

In July 2017, the ICC will post actual ACP rates for the planning year June 2016 – May 2017. If we assume that between January 2017 and June 2017 the customer used exactly half of the estimated Annual Consumption indicated above (135,000 MWHs), this charge would be calculated using the following methodology:

True-up Calculation:

[135,000 MWHs x $1.00/MWH (Fixed Contract Rate)] – [135,000 MWHs x $1.50/MWH (Actual ACP Rate]

Resulting Charge to Customer:

$135,000 - $202,500 = ($67,500)

(c) SUPPLY SERVICE FEE. The Government shall pay the Contractor the product of the fixed fee (Supply Service Fee) and the account’s total electricity consumption in that month. Payment of this fee shall compensate the Contractor for all services performed, that are not specifically addressed by the Electricity and Other Market Charges components described in this section. The Supply Service Fee shall be fixed and identical for each kWh supplied under this contract.

NOTE: The Balancing and Operating Reserves shall be included in the Supply Service Fee.

NOTE: All credits shall be passed-through to the Government and not included in the Supply Service Fee.

C804 STATEMENT OF WORK/SPECIFICATIONS (ELECTRICITY) (PORTFOLIO APPROACH) (DLA ENERGY) (JAN 2012)

(a) STATEMENT OF WORK. The Contractor shall supply electricity and any ancillary services required to deliver electricity to the point of delivery and for the scheduling and coordination of the delivery of electricity to the service point for each account under the contract. The Contractor shall secure the fixed blocks of electricity in accordance with the attached schedule. All quantities ordered by the Government, both inside and outside the fixed blocks, shall be considered firm and guaranteed for delivery by the Contractor to the delivery point, and for scheduling and coordinating, for ultimate delivery to the service point for each account. Charges incurred as a result of the Contractor's failure to abide by the terms of the applicable Retail Access rules and/or the UDC Service Agreement shall be the responsibility of the Contractor. With the exception of any and all transmission and distribution related charges payable by the Government to the UDC under the applicable tariff for each account (unless said charges are the result of the Contractor's failure to perform in accordance with the contract), the Contractor is responsible for all costs associated with deliveries to the delivery point and the scheduling and coordination for delivery of electricity to the service point for each account under the contract. The Contractor shall be liable for any and all penalties and/or additional costs assessed to the Government for the non-delivery of the firm requirements in accordance with paragraphs (f) and (m) of the CONTRACT TERMS AND CONDITIONS – COMMERCIAL ITEMS clause.

(b) INVOICE AND PAYMENT. The Government will utilize Dual Billing for any and all applicable awards made under this solicitation. All costs associated with billing shall be included in the offered price. The Government will not pay any additional charges for billing services. In addition to the requirements set forth in FAR 52.212-4 CONTRACT TERMS AND CONDITIONS - COMMERCIAL ITEMS Paragraph (g), each Contractor invoice to each account shall include the following information:

(1) Installation name, Line Item, and individual account information (Account Number, Meter Number, and Service Location)

(2) Billing period for the account

(3) Total consumption (kWh) for each account (broken down by Peak, Off-Peak, Semi-Peak if applicable)

(4) Demand information for each account (broken down by Peak, Off-Peak, Semi-Peak if applicable)

(5) Total Energy Charge (broken down by energy charges and demand charges)

(6) Account Capacity Obligation and its associated cost for the billing period including Peak Load Contribution (PLC) documentation

(7) Transmission charges for the billing period

(8) Supply Service Fee for the billing period

(9) Auction Revenue Rights credit

(10) Block electricity charges and LMP based charges and credits for usage over and under the blocks procured

(11) Marginal loss credits

(12) Capacity

(13) Documentation of each charge shall be included in each invoice

(14) Spreadsheet that shows how each of the invoice related items were calculated NOTE: In addition to submitting a hard copy of the invoice to the Department of Energy, the Contractor shall electronically submit a copy of the invoice along with the spreadsheet that shows the documentation of how the various charges were calculated.

NOTE: If a Contractor is unable to issue a bill based on actual meter reading due to the failure of the UDC to obtain or transmit a meter reading to the Contractor, the Contractor may issue a bill based on an estimated reading fifteen (15) calendar days following the meter read date for the affected account. The Contractor must inform the customer of the reason for the issuance of the estimated bill, and the Government reserves the right to obtain documentation relating to the efforts taken by the Contractor to obtain the meter read data. For estimated billing purposes, the estimate of usage provided by the UDC shall be used first. If no such UDC estimate is available, the Contractor shall use the relevant monthly consumption data (as the estimate) included in the applicable Installation Data Sheet, adjusted for the number of days. All estimated bills shall be trued up on the next billing cycle.

To calculate the Total Energy Charge (Number 5 above) for each account the Contractor shall provide on each invoice, a per-account energy usage break down (hour-by-hour with the corresponding firm fixed price block rates and LMP rates for all applicable firm fixed price blocks for each hour). To calculate the Account Capacity Obligation for each account (Number 6 above) and the associated costs, please see Clause B19.46 BLOCK PURCHASES. Fermi utilizes Automatic Meter Reading (AMR) services provided by ComEd. Supplier shall be solely responsible for all coordination with ComEd to ensure complete transition of AMR services and to assume such related responsibilities from the current contractor. There will be no cost to the Contractor for AMR. The contractor shall submit both the ComEd and supplier bills to the customer at the same time. Invoices must be submitted in both hardcopy and electronic form.

NOTE: Suppliers will not be charged…