Questions and Answers - SPE604-20-R-0403.pdf

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Direct Supply of Natural Gas US West Region
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SPE604-20-R-0403
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This document contains questions and answers regarding solicitation SPE604-20-R-0403 issued by the Defense Logistics Agency Energy for the direct supply of natural gas. The solicitation requires the supply of an estimated 17,823,365 dekatherms of natural gas to various Department of Defense and federal civilian installations in California with a 36-month delivery period and installations in Nevada and Washington with a 12-month delivery period beginning October 1, 2020. The contract type will be fixed-price with economic price adjustment. Offers are due by March 11, 2020. The questions and answers provide additional details on installation locations, accounts, nomination procedures, and fluctuations in usage for various line items. Historic consumption data from 2016-2019 is also included for one installation.

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Questions and Answers for Solicitation SPE604-20-R-0403 Dated 2 March 2020

1. Question: One meter on PG&E, National Accelerator Lab, the total contract est. volume (220,920) doesn’t match up with monthly sum (184,266). Can you please confirm?

Answer: The correct total estimated contract volume for LI 0003 (4 of 13) DOE SLAC National Accelerator Lab is 184,266 DTHS. The monthly estimated quantities specified on the schedule page are correct. An amendment will be issued to incorporate corrections to quantity totals.

2. Question: Could you please provide the supplier to each installation within the Washington State?

Answer: Installations in Washington state are currently supplied by their respective local distribution companies.

a) VAMC Seattle – Puget Sound Energy

b) NAS Whidbey Island – Cascade Natural Gas Corp

c) Naval Hospital Bremerton – Cascade Natural Gas Corp

d) Naval Station Bremerton – Cascade Natural Gas Corp

e) Naval Base Kitsap - Keyport – Cascade Natural Gas Corp

f) Naval Base Kitsap - Bangor – Cascade Natural Gas Corp

g) Pacific Northwest National Lab - EMSL – Cascade Natural Gas Corp

h) Pacific Northwest National Lab – Richland Research Campus – Cascade Natural Gas Corp

i) Pacific Northwest National Lab – PSF Complex – Cascade Natural Gas Corp

j) Fairchild AFB – Avista Utilities

3. Question: Would the Government be able to provide suppliers with the daily burn data for accounts by CLIN?

Answer: DLA Energy cannot provide this information at this time. For estimated usage, please refer to the schedule pages located in Attachment IV of the solicitation.

4. Question: Can the DLA confirm that all CLIN will accept Dual billing by the supplier?

Answer: See contract text C-001 C700, STATEMENT OF WORK (NATURAL GAS) (DLA ENERGY JUL 2012) (m)(2). Dual billing is the default methodology unless otherwise indicated in the schedule.

5. Question: Can DLA confirm its intention to use a reverse auction for qualified approved suppliers which offer initial indicative pricing?

Answer: Please see contract text L-003 L09, REVERSE AUCTION (OCT 2016). DLA Energy intends on using the online reverse auction as the pricing technique during discussions in order to receive a best and final price from offerors’. Any change in this intent will be communicated to offerors.

6. Question: Would the DLA consider separation of the facilities behind SW Gas in CLIN 0010 that belong to Tied Group 1 into a new CLIN which is separate from Tied Group 1 to increase the competitive interest in the remainder of the Tied Group 1?

Answer: The requirements under Tied Group #1 remain the same unless an amendment is issued to revise them. Please see note 3 of the SF1449 continuation page defining tied line item groups.

In accordance with L-0001 L705, INSTRUCTIONS TO OFFERORS (NATURAL GAS)(DLA ENERGY JUL 2014)(REV), paragraph (a), the offeror shall submit all documents required by the terms and conditions of this RFP. As stated in Block 8 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.

7. Question: Can the DLA clarify that the NOTE #1 for each individual schedule page for CLIN 0003 stating “The Contractor shall submit one nomination to the LDC which includes all facilities behind PG&E.”? Is it respective of a single nomination by each individual facility? Are the facilities to be billed individually? How many accounts are in each facility for the CLIN 0003 line item?

Answer: As stated in the note, one nomination shall be placed to the LDC which includes all facilities behind PG&E, not individual nominations for each installation. Facilities are to be billed individually. The account information will be provided to the awardee at the time of award.

8. Question: Can the DLA confirm that all accounts under CLIN 0010 behind SoCal Gas are Core

Accounts as indicated on the Line item Summary? Schedule page includes rate class GTF3D indicating Non-Core Commercial / Industrial accounts.

Answer: Installations behind SOCAL Gas under CLIN 0010 are non-core accounts. An amendment will be issued to correct the identification of these locations as non-core accounts.

9. Question: If the PGE line loss factor changes over the term of the contract, will suppliers be able to adjust the price accordingly via the economic price adjustment to reflect the cost to serve?

Answer: No. In accordance with B-002 B700, ECONOMIC PRICE ADJUSMTENT – MARKET PRICE AND TRANSPORTATION (NATURAL GAS) (DLA ENERGY (NOV 2016) par (b) (2), the adjustment factor is a fixed price. 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 Block 8 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.

CLIN 0003 (1 of 13) - DLA-DDJC San Joaquin - Tracy Facility:

10. Question: Can you provide additional details related to Note #3?

a. Will the ESPC impact the usage of natural gas over the term of the contract?

b. What period of time during the contract will the ESPC changes be implemented?

c. Are the volumes in the schedule page reflective of the anticipated efficiency measures?

Answer:

a. No

b. No comment as there is no anticipated impact to natural gas usage.

c. There is no anticipated impact to natural gas usage.

CLIN 0003 (2 of 13) - DOE Lawrence Berkeley National Lab:

11. Question: Can you provide additional details related to Note #3 and Note #5?

a. Are the volumes in the schedule page reflective of the anticipated building changes?

b. Has the IGB Building from NOTE #5 come online as of Oct 2019? Has the usage been included in the schedule page volumes?

Answer:

a. Please refer to Note 3. The Government did not adjust the estimated usage for the anticipated changes related to note #3 as it is a more general comment as to the large amount of construction taking place at this installation. The Government has no anticipated impact to estimated usage for this construction at this time.

b. Please refer to Note 5. The IGB building is now online and the Government did include an estimate for that usage.

CLIN 0003 (11 of 13) - VA Northern California Health Care System Mather:

12. Question: Can you provide additional details related to Note #3?

a. Are the volumes in the schedule page reflective of the anticipated building changes?

b. Can the DLA provide the number of facilities being added, the schedule to understand the impact over the contract term, and the expected usage profile of the building?

c. Are the volumes provided respective of the construction schedule?

a. Yes.

b. No, that level of detail is not available at this time.

c. See response to 12a

CLIN 0010 (4 of 13) - MCAGCC 29 Palms:

13. Question: Can you provide additional details related to Note #2?

a. Are the volumes in the schedule page reflective of the Cogeneration plant shutdown for the first two weeks of March? Does this happen each year?

b. Can the DLA provide a history of the last 3 years of maintenance and outage notices related to the CHP?

a. Yes. However, while this is the expected time frame, the first two weeks is not always the case. The two week period may occur later in March. The contractor will be notified prior to the shut down. An amendment will be issued to change note 2 for this CLIN to better reflect the maintenance activities at the Cogen plant. “Does this happen each year?” Yes

b. No, not at this time.

Knudson, Joseph D CIV DLA ENERGY (USA) Amend the schedule page note 2 to reflect the following: The Cogeneration plant will shut down for annual turbine maintenance for two weeks in March. Additional testing or maintenance schedules entail quarterly (1-2 days), semi-annual (2-3 days). Notifications of maintenance or outages will be communicated to the contractor.

CLIN 0010 (6 of 13) - Vandenberg AFB:

14. Question: Can you provide additional details related to Note #2?

a. What advanced notice can be provided related to the fluctuating quantities?

b. What has been the historic range in the tolerance of the fluctuations associated to the launch operations?

c. Can the DLA provide historic burn data as an example of the fluctuating quantities?

a. None, it is unpredictable as it the operations cannot be predicted throughout the period of performance.

b. Please see response C below.

c. A three-year consumption history is listed below for informational purposes only.

2016 2017 2018 2019

DATE QUANTITY DATE QUANTITY DATE QUANTITY DATE QUANTITY

Oct-15 Oct-16 26695 Oct-17 13543 Oct-18 22612 Nov-15 Nov-16 29041 Nov-17 19457 Nov-18 57164 Dec-15 Dec-16 20777 Dec-17 58931 Dec-18 64047 Jan-16 Jan-17 45304 Jan-18 37796 Jan-19 47654 Feb-16 Feb-17 49958 Feb-18 17500 Feb-19 20771 Mar-16 Mar-17 18207 Mar-18 22536 Mar-19 17823 Apr-16 Apr-17 16354 Apr-18 27305 Apr-19 13743

May-16 May-17 16724 May-18 22217 May-19 13265 Jun-16 Jun-17 16054 Jun-18 15102 Jun-19 11693 Jul-16 Jul-17 12161 Jul-18 15970 Jul-19 10861

Aug-16 Aug-17 20291 Aug-18 13555 Aug-19 9872 Sep-16 25620 Sep-17 45900 Sep-18 15527 Sep-19

File details come from the government source that posted it. Updated .