Q_&_A_for_SPE600-17-R-0404_05012017.pdf

Questions and Answers for Solicitation SPE600-17-R-0404

1. Regarding the SIP Publication listed on the Schedule Pages, would the DLA accept using NGI

(Natural Gas Intelligence) as opposed to IFERC?

Answer: The SIP Publication listed in the Schedule Pages will remain the same unless an amendment is issued to change it. In accordance with L-0001 L705 INSTRUCTIONS TO OFFERORS, paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP. As stated in Note 1 of the SF1449 continuation page, all exceptions to the solicitation must be received with the initial offer. Any exceptions should clearly indicate which term or condition is being referenced, any proposed alternate language and the reason for the requested change. This should be done on a separate, individual document.

2. I-0002 I209.09 EXTENSION PROVISIONS (DLA ENERGY JAN 2012): Should the DLA choose to extend this contract for up to six months and the DLA has previously converted a portion of the load to a fixed price (as allowed under B-0003 B704 CONTRACT PRICE CONVERSION), is the price during the period of extension the original Winter / Summer Adjustment Factors or the converted fixed price?

Answer: I-0002 I209.09 EXTENSION PROVISIONS (DLA ENERGY JAN 2012) and B-0003 B704 CONTRACT PRICE CONVERSION) are not inherently linked. Contract price conversions are executed through mutual agreement (i.e. bilaterally) and the specific monthly delivery periods and quantities are negotiated and agreed upon before both parties sign the modification. If the contract extension was not a part of the negotiated outcome, the extension is not subject to the agreed upon contract price conversion.

3. Does this contract include any clause that addresses after-imposed Federal, State or local tariff changes or changes in laws that could affect the contract price?

Answer: Please refer to FAR 52.212-4 CONTRACT TERMS AND CONDITIONS (NATURAL GAS) (TAILORED) (DLA ENERGY) (FEB 2012 TAILORED) paragraph (k)(2).

4. For Schedule Pages requiring the inclusion of LDC Fuel loss (e.g.: NASA AMES Research Center):

a. Can the contractor breakout the fuel losses separately on the invoice so long as the total adjustment factor is unchanged from the contract?

Answer: No. The requirement to include fuel losses in the adjustment factor remains the same unless an amendment is issued to revise it. In accordance with L-0001 L705 INSTRUCTIONS TO OFFERORS, paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP.

Per Note 1 of the SF1449 continuation page, all exceptions to the solicitation must be received with the initial offer. Any exceptions should clearly indicate which term or condition is being referenced, any proposed alternate language and the reason for the requested change. This should be done on a separate, individual document.

b. Would the DLA accept invoicing at the City Gate volumes and not including the Fuel losses in the adjustment factor?

Answer: No. The requirement to include fuel losses in the adjustment factor remains the same unless an amendment is issued to revise it. In accordance with L-0001 L705 INSTRUCTIONS TO OFFERORS, paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP. As stated in Note 1 of the SF1449 continuation page, all exceptions to the solicitation must be received with the initial offer. Any exceptions should clearly indicate which term or condition is being referenced, any proposed alternate language and the reason for the requested change. This should be done on a separate, individual document.

c. Should the LDC Fuel Rates be changed by the LDC during the term of the contract, would the DLA consider this a tariff change?

Answer: If the LDC goes through the California Public Utilities Commission (CPUC) to request a rate change and the CPUC approves the request, that rate change is considered a tariff change in accordance with H-0001 H700 TRANSPORTATION ASSISTANCE AND NOTIFICATION OF TARIFF/RATE

CHANGES (NATURAL GAS) (DLA ENERGY APR 2007).

5. Regarding Tied Group #1, can the DLA break up this tied group so Contractors that are licensed behind SoCal but not SW Gas can offer?

Answer: The requirements under Tied Group #1 remain the same unless an amendment is issued to revise them. In accordance with L-0001 L705 INSTRUCTIONS TO OFFERORS, paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP. As stated in Note 1 of the SF1449 continuation page, all exceptions to the solicitation must be received with the initial offer.

Any exceptions should clearly indicate which term or condition is being referenced, any proposed alternate language and the reason for the requested change. This should be done on a separate, individual document.

6. If a Contractor is not currently licensed behind SW Gas but will be before this contract flow starts, will the DLA deem them a qualified bidder?

Answer: DLA Energy cannot determine eligibility prior to the receipt of offers. Offerors will be evaluated in accordance with M-0001 M2.16 EVALUATION – COMMERCIAL ITEMS (NATURAL GAS)(DLA ENERGY JUL 2014), paragraph (a)(1) TECHNICAL COMPLIANCE EVALUATION.

7. Can the DLA provide contractors the rate classes and associated volumes for all facilities on line items 0003, 0004, and 0005?

Answer: DLA Energy cannot provide this information. The monthly usage shown on the schedule pages is DLA Energy’s best estimate of anticipated usage.

8. Can the DLA confirm that the NAVFAX Port Hueneme line item’s SIP is the Platt’s GD Simple Monthly Average and not IFERM SoCal CG? Both are listed on the schedule pages.

Answer: DLA Energy will issue an Amendment to remove Note #2, which states the Supply Index (SIP) is the monthly simple average of the Platts Gas Daily, Daily Midpoint SoCal Gas CG. The requirement is firm at the SoCal Gas Citygate (CG).

9. Can the DLA provide LDC account numbers for all locations?

Answer: DLA Energy cannot provide this information. The monthly usage shown on the schedule pages is DLA Energy’s best estimate of anticipated usage.

10. For all line items eligible for BTS Rights, can the DLA confirm that the supplier will receive the BTS rights for all line items it is awarded?

Answer: For customers eligible for Backbone Transportation Service (BTS) rights, please refer to the notes in the Schedule Pages. The BTS rights are assigned in accordance with the notes once an award has been made to a Contractor.

11. Can the DLA elaborate on whether or not it has ever had a situation where the LDC has refused delivery or accepted delivery and used it for its own system?

Answer: DLA Energy is unaware of the above situation.

12. FAR 52.212-4 CONTRACT TERMS AND CONDITIONS. The language provided reflects services of an hourly nature. In the event of termination, what recourse does a supplier have to true up volumes for the remainder of the contract period?

Answer: For clarification, SPE600-17-R-0404 does not use the clause FAR 52.212-4 with its Alternate I.

Neither paragraph (l) Termination for the Government’s convenience, nor paragraph (m) Termination for Cause of the basic clause refer to services of an hourly nature. That language is found in Alternate I of FAR 52.212-4, which is only used when a time-and-materials or labor hour contract is contemplated.

Also, if the Government needs to Terminate for Cause, SPE600-17-R-0404 includes I-0004 I11.01-2

ADMINISTRATIVE COST OF TERMINATION FOR CAUSE – COMMERCIAL ITEMS (DLA

ENERGY FEB 1996).

13. Are the SoCal CORE accounts to be billed based on calendar month, or meter read dates?

Answer: SoCal CORE accounts are to be billed on calendar months.

14. What rights are assigned to the supplier for the So-Cal volumes (i.e. what point behind So-Cal would the gas be released to the supplier) Answer: For customers eligible for Backbone Transportation Service (BTS) rights, please refer to the notes in the Schedule Pages. The BTS rights are assigned in accordance with the notes once an award has been made to a Contractor.

15. Is it possible to price the gas off a more traditional three-tiered pricing approach as the examples listed below:

Baseload: Monthly volume projections priced at the local IF index

Swing: Volumes over baseload if any priced at GD Index

Turnback: Baseload volumes not used sold back to supplier at GD index

If this option is not available, would DLA Energy consider pricing the solicitation off the local GDA vs the local IF index?

Answer: The pricing requirements remain the same unless an amendment is issued to revise them. In accordance with L-0001 L705 INSTRUCTIONS TO OFFERORS, paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP. As stated in Note 1 of the SF1449 continuation page, all exceptions to the solicitation must be received with the initial offer. Any exceptions should clearly indicate which term or condition is being referenced, any proposed alternate language and the reason for the requested change. This should be done on a separate, individual document.