Attachment V - Questions and Answers.pdf

SPE60422R0401 Page 1 New England 2022

ATTACHMENT V – QUESTIONS AND ANSWERS

General Questions and Answers

1. Please provide Letters of Authorization (“LOA”) for all accounts in this solicitation.

DLA Energy Response: Signed letters of authorization have been provided.

2. Please provide signed letters of authorization so that we can retrieve historical usage data.

DLA Energy Response: Please see response to question 1.

3. Please confirm the legal entity is “Defense Logistics Agency - Energy” DLA Energy Response: Remove the hyphen between Agency and Energy.

4. Please advise if any of the facilities are looking to do any load reduction projects in the near future?

DLA Energy Response: All known anticipated load reductions are provided in the Notes to B1.08, Supplies to be Furnished.

5. Please confirm the requested billing method – Single or Dual Bill?

DLA Energy Response: As provided in C800(b), Invoice and Payment, the Government will utilize Consolidated Billing (UDC) for CLINs 0001-0005, and Dual Billing for CLINs 0006-0013 awarded as a result of the solicitation.

6. With respect to Section C800, Contractor seeks to clarify, to avoid any ambiguity, any UDC charges (often referred to as UDC charges or delivery charges) are the sole responsibility of the UDC and where applicable, will be included in UDC’s invoices and Contractor takes exception to including such charges in its invoice.

DLA Energy Response: See Amendment 0001

7. National Grid is selling their Rhode Island territory (The Narragansett Electric Company) to PPL Corp. Can the Government confirm that new or modified charges resulting from the sale, by example, changes to loss factors, will be covered under “I820 Electricity Regulatory Changes?”

DLA Energy Response: Once costs are known, they are to be treated in accordance with I820, Electricity Regulatory Changes.

8. With respect to Sections H800 and I820 (e), Contractor notes a conflict with respect to timing perspective of notifications. H800 identifies 5 business days I820(e) notes 60 days. Contractor requests deletion of “(five business days)” from this H800 subsection.

Given the requirement for any contractor to receive such information in, process it, and determine whether Government is affected, Contractor does not interpret fifteen business days as a reasonable time frame. Contractor intends commit to using commercially reasonable efforts to notify the Contracting Officer of such changes within a commercially reasonable time frame, which time frame will vary based on the type of change and the type of notice Contractor itself receives.

SPE60422R0401 Page 2

9. With respect to FAR 52.212-4 (k), and the referenced Taxes, Contractor seeks to confirm it will not include Taxes in its Firm Fixed Price. For UDC consolidated billing, any applicable taxes will be collected by the UDC and if Contractor were to include taxes in the FFP price, it would result in a double collection of taxes. For the Dual Billed CLINs, any applicable taxes will be invoiced as a separate line item until a valid tax exemption is supplied. Any previously charged taxes can be refunded once requested with a valid tax exemption is supplied.

DLA Energy Response: The Government will provide tax exempt information for all CLINs once the information becomes available.

10. Please confirm that fixed price for groups 1-10 and group 13, will be one price for the entire 24-month term for each price group, and there are no seasonal or monthly adjustments made to fixed price. “Page 10 section (1) Firm Fixed Price B: Award price for each usage period for each season.”

DLA Energy Response: Confirmed, there is to be one price for the entire 24-month term for each CLIN. FAR 52.212-4(l), TERMINATION FOR THE GOVERNMENT’S CONVENIENCE, on page 10 of the solicitation references “usage period for each season.” Each fixed price for CLINs 0001 – 0010 and 0013 will not change seasonally or monthly. The Government intends to award one fixed price per CLIN, with no change occurring to any of the prices for the entire 24-month delivery period. For any account added after the award of the contract, the Government and Contractor shall enter into good faith negotiations to determine a price, resulting in the execution of a bilateral modification (see C800(j), ADDING FUTURE ACCOUNTS).

11. For the DLA New England contract, the DFAR clause states we must be compliant with

NIST SP 800-171 if we have a system that is an unclassified information system that is owned, or operated by or for, a contractor and that processes, stores, or transmits covered defense information. Would it be possible to confirm the following statement for us? “The solicitation and any subsequent award do not identify or include covered defense information.”

DLA Energy Response: “The solicitation and any subsequent award do not identify or include covered defense information.”

12. With respect to DFARS 252.204-7008, DFARS 252.204-7012, DFARS 252.204-7019, and DFARS 252.204-7020, it is assumed that controlled unclassified information (CUI) does not include information that is publicly available. To ensure the information is protected in accordance with the requirements, please identify any and all CUI that will be included within this contract and will be marked as such.

DLA Energy Response: Please see the response to question 11.

13. Can the DLA please also confirm the Bandwidth swing?

DLA Energy Response: I801, ELECTRICITY PRICING FOR QUANTITIES OUTSIDE ESTABLISHED LOAD BANDWIDTH, will be provided in Amendment 0001.

SPE60422R0401 Page 3

14. What volume tolerance bandwidth is there for fixed price accounts groups 1-10 &13, is the contractors expected to state with pricing?

DLA Energy Response: Please see the response to question 13.

CLIN Specific Questions and Answers

15. CLIN 0001: Accounts 56855568069 and 56349768044 both are the 9-digit service ref# (suffix) on Amendment 1. These are required to request data and/or enroll the accounts.

Can you please provide?

16. With respect to the information provided in B1.08 (c) for CLIN 0003, in what year did the 39 kW Solar generation become fully operational for account: 51025485087?

17. NOTE: CLIN 0003, U.S. Army Reserves 99th Division – CT

a. Please confirm if this 39 KW solar reduction ONLY impacts account

51025485087.

DLA Energy Response: Yes, the 39 KW solar reduction ONLY impacts account 51025485087.

Also - if their sub-meters that suppliers would need to account for.

DLA Energy Response: The Government is unaware of any sub-meters that suppliers would need to account for.

b. Do the volumes provided on the “Installation Data Sheet” reflect the solar reductions mentioned? If not, please provide the monthly projections to accurately price the deal.

DLA Energy Response: The Installation Data Sheet is reflective of 12 months of historical usage, which is inclusive of the solar reductions.

18. CLIN 0003: 51025485087025485087 at 375 Smith St, Middletown, CT 06457 had its account number changed to 51025485087919373002 by CLP it seems.

19. CT – 0003

a. The 8th account on your list has 1 too few digits in the suffice. These CT accounts have an 11-digit account # followed by a 9-digit service account #.

b. Account 51025485087919373002 has the same prefix and service address as the

7th account on your list (row 74). But the suffix is different. You have 25485087 while we have 919373002. If it actually was to be 25485087, it would still be 1 digit short too. What’s the story here?

SPE60422R0401 Page 4

DLA Energy Response: Please see the response to question #18.

20. CLIN 0004: I have a question on MECO# 3790664044 and 3773496006. These are MECO bill cycle 2 accounts, and when we enrolled them as part of the last deal, the meter read was May 2. To go 24 monthly cycles per the contract, these need to go to the May ’22 meter read date, which is actually scheduled to be 4/29/22. This means to align with your language in the current solicitation, they would have a 1-month gap in service, from 4/29/22 to the June MRD (that will be in May, scheduled to be 5/27). Further complicating this is Massachusetts has minimum stay requirements that require the accounts to remain on utility service for a period of time.

21. MA – 0004

a. Name key on 26272061024.

b. Name key on 26272151015.

22. CT – 0007

a. 5166455209874671009 is 1 digit too few. Any chance you are missing a 0 at the start of the service account#?

23. NOTE 2: CLIN 0007

a. Please clarify that the 1MW and 420kW solar array applies to all accounts listed on the “Installation Data Sheet”? 3 accounts in total.

b. Do the volumes given reflect the anticipated reduction in load for ALL accounts?

Please provide the actual monthly projections to be able to price accurately DLA Energy Response: The solar arrays are not new. Therefore, the volumes reflected in the Installation Data sheet for account 51925216020 are inclusive of the historical, solar array usage.

24. CLIN 0007: CLP has informed us that 51925216020925216020 @ 0 Riverside Hts, New London, CT 06320 is NOT ACTIVE; this is a large account, so I’d be surprised if there isn’t something new. We had tried to get data using a name key of “COAS” – this failed.

So we tried a name key of “US C” – here is where they told us not active. Can you please contact Eversource and get this squared away and let me know?

DLA Energy Response: Eversource has confirmed that Account 51925216020 for Service Address 0 Riverside Heights, New London, CT 06320 is active. See Amendment 0001.

25. A few of the accounts came back that the Key names are incorrect:

a. CLIN 0003: 51869087098 and 51025485087

SPE60422R0401 Page 5

b. CLIN 0007: 51925216020

c. CLIN 0009: 4464909844374197

26. With respect to cogeneration/load reduction, Contractor requests confirmation that there are no new projects during the term proposed. Further, a with respect to CLIN 0007, Contractor seeks clarification about the date of turbine installation? Further, Contractor seeks clarification on the schedule/timing of the mentioned 48-hour maintenance period?

DLA Energy Response: The Government is not aware of any other projects during the term of the contract. The construction and completion of the turbine was done in September 2018. The schedule and timing of maintenance will be discussed after award when the schedule is determined.

27. With respect to the information provided in B1.08 (c) for CLIN 0009, the Government has provided historical usage reflecting annual load to be approximately 6,400,000 kWh.

Can the Government provide a ramp up schedule, for the term covered by the RFP, for the three projects discussed in this section?

DLA Energy Response: See Amendment 0001

If a ramp up schedule is not available, can the Government provide estimated annualized usage for the following terms: (1) May 2022 – May 2023 and (2) May 2023 – May 2024?

DLA Energy Response: The estimated annual consumption is as follows:

May 2022 – May 2023 = 7,600,000 kWH May 2023 – May 2024 = 7,900,000 kWH

28. With respect to the information provided in B1.08 (c) for CLIN 0009, due to the significant increase in load, would the Government be willing to consider an Index and Fixed Block product structure, sized to cover the 350 kW of CRREL’s continuous base load?

29. With respect to the information provided in B1.08 (c) for CLIN 0009, due to the significant increase in load, will the Government allow the Contractor to adjust the contract rate for changes in Capacity costs (increases in ICAP tag)?

30. With respect to the information provided in B1.08 (c) for CLIN 0010, when does the Government expect the load reduction to begin and does the Government anticipate the load reduction to be greater than 20%?

31. NOTE 4: CLIN 0010

a. Please clarify if the load in the spreadsheet provided reflects the Otis Air Force

Base reduction.

SPE60422R0401 Page 6

DLA Energy Response: The usage data in the Installation Data Sheet for all accounts is historical. Therefore, it does not capture any projected reductions or increases.

b. If not, please provide the monthly anticipated volumes on an account-by-account basis.

c. Can the DLA more accurately anticipate the >10% reduction in 2024?

32. NOTE 5: CLIN 0011

a. Please confirm if the volumes provided in the spreadsheet capture accurate usage for the Co-Gen and that any and all reductions in load are being accounted for.

33. CLIN 0011: NECO# 5040435000 is a G-32 rate class, and that class offers a credit for high voltage delivery. This will appear ONLY on the Narrangansett (National Grid) bill.

If you have a copy of the bill, can you please provide it? We can review it, and see if we should be providing that credit to them when pricing it (or maybe even the additional credit, mentioned). See page 4 in the tariff:

https://www9.nationalgridus.com/non_html/G32_RIPUC_2147.pdf DLA Energy Response: See Amendment 0001 and the last page of this document.

34. Naval index pricing groups 11 and 12, page 5 references Sub-Accounts; Contractor shall “establish ISO-NE sub-accounts for each of the relevant UDC zones, within 60 days of the contract award.” Is the intent to create stand-alone Informational Reporting on ISO Settlements by Subaccount in Individual Files, if the Contractor can demonstrate that the accounts are charged their own index rates and usage, Capacity rates, and receiving ARR Credits, is this necessary?

35. With respect to the information provided in B802 (c)(1), Contractor believes the outlined

Capacity billing formula is prescriptive enough to remove the need to utilize the ISO-NE Subaccounts billing. Would the Government allow ARR to be billed based on the pass through of the Contractor’s ISO-NE portfolio costs and waive the need for utilizing the ISO-NE Subaccount billing?

36. With respect to the information provided in B802 (c)(1), are the accounts in CLIN 0011 and CLIN 0012 currently registered with ISO-NE with their own asset IDs?

DLA Energy Response: The subaccount DUNS is tied to the Load Asset ID’s. However, subaccounts are no longer required. See Amendment 0001

37. With respect to the information provided in B802 (c) (1), the references to the “Monthly Market Operations Report” are no longer valid. For example, in item “(ii) Net Regional https://www9.nationalgridus.com/non_html/G32_RIPUC_2147.pdf

SPE60422R0401 Page 7

Clearing Price”, the section references “12.2 FCM Payments and Charges”. The current section in the October 2021 Report is “11.2 FCM Payments and Charges”. Will the Government issue and updated section “(c)” with the current Monthly Market Operations Report references?

38. With respect to the calculation provided in B802 (c), the calculation does not incorporate Capacity Transfer Rights. Section “11.3 Capacity Transfer Rights” of the October 2021 Monthly Market Operations Report”, provides the below description of how these costs can impact the FCM Net Regional Clearing Price (page 51):

2021_10_mnthly_market_rpt.pdf (iso-ne.com):

“ CTRs are a mechanism to distribute excess revenue that results from differences in payment rates between Capacity Zones; a CTR fund will be calculated for each constrained capacity zone. There are two types of CTRs: Specifically Allocated CTRs (defined in Market Rule 1 and always paid), and Residual CTRs (remaining funds or shortfall of funds after Specifically Allocated CTRs are paid). Residual CTRs will be allocated to the load serving entities with CLO on the import constrained side of the interface. For the 2021/2022 Capacity Commitment Period (CCP), Southeast New England is import-constrained. Payments from the import-constrained zone will be made to the Rest-of-Pool Capacity Zone. The FCM Charge above can change depending on the CTRs associated with the Capacity Zone. The Specifically Allocated Capacity Transfer Rights Fund consists of the following:

• Pool Planned Unit CTRs for certain municipal utilities

• Provisions for Transmission Upgrade CTRs”

39. With respect to CLINs 0011 and 0012, is there any renewable generation installed? If so, who monetizes the RECs and how does this work?

DLA Energy Response: CLIN 0011 does not have co-generation. Amendment 0001, B1.08, NOTE 5, reflects this. Regarding CLIN 0012, the Installation Data Sheet provides twelve months of historical usage data and incorporates any renewable generation that effects the account, currently (2 gas turbines: 5.2MW and 5.5MW). The usage data for the 7.5MW turbine, which is expected to be online in early calendar year 2022, is not reflected in the Installation Data Sheet. Additionally, RECs handling is not part of this solicitation.

40. It is to our understanding that EDC - NSTAR (Boston Edison and Commonwealth Electric) – Only allows for municipal aggregations and wouldn’t include federal customers. Is there any flexibility here if suppliers cannot offer a sub account behind these utilities?

DLA Energy Response: B802, Locational Marginal Price, is ONLY applicable to CLINS 0011 and 0012. Subaccounts are no longer required. See Amendment 0001.

41. NOTE 6: CLIN 0012

a. Please confirm that the volumes provided are reflective all anticipated reductions.

SPE60422R0401 Page 8

DLA Energy Response: The Government confirms that the volumes presented in Note 6 of B1.08 are anticipated reductions. The Installation Data Sheet provides twelve months of historical usage data and incorporates any renewable generation that effects the account, currently (2 gas turbines: 5.2MW and 5.5MW). The usage data for the 7.5MW turbine, which is expected to be online in early calendar year 2022, is not reflected in the Installation Data Sheet.

42. With respect to information provided in B1.08 (e), are cost for (1) Fuel Security – Mystic

Cost of Service (beginning 6/2022) and (2) Fuel Security – Inventoried Energy Program (beginning 12/2023) to be fixed in both the FFP (CLIN 0001 – 0010 and 0013) price and LMP (CLIN 0011 & 0012) transaction fee?

DLA Energy Response: These costs are not to be fixed in the FFP of CLINs 0001 – 0010 and 0013. These costs are not to be fixed in the transaction fee for CLINS 0011 and 0012. Once costs are known, they are to be treated in accordance with I820, Electricity Regulatory Changes.

43. Please confirm if fuel security cost should be included in the fixed option or be treated as a pass-through component. The components that make up the Fuel Security Cost include:

a. RMR_Mystic_Ancillaries($)

b. FuelSecurity($)

c. EnergySecurity($)

DLA Energy Response: Please see response to question 42.

44. Will DLA Energy be open to receiving and awarding fixed price for groups 1-10 &13, without groups 11 & 12?

DLA Energy Response: Yes, each Contract Line Item Number (CLIN) is priced separately.

SERVICE FOR (Code Fm21)

U S NAVY NAVAL STATION

NAVFAC MIDLANT ENG COMMAND

NAVY BASE, **COGEN**

NEWPORT RI 02840

BILLING PERIOD PAGE 2 of 2

Jun 30, 2021 to Aug 1, 2021

ACCOUNT NUMBER

50404-35000 Aug 27, 2021 $ 2,625,897.53

DETAIL OF CURRENT CHARGES

Delivery Services

Energy-kWh Demand-kW Demand-kVA

Metered Usage 8709290 kWh

Peak 15668.0 kW 16432.0 kVA

Billed Usage 8709290 kWh 15668.0 kW 0.0 kVA

METER NUMBER 05022794 NEXT SCHEDULED READ DATE ON OR ABOUT Sep 1

SERVICE PERIOD Jul 1 - Aug 1 NUMBER OF DAYS IN PERIOD 32

RATE Large Demand G-32 VOLTAGE DELIVERY LEVEL Over 60 kv

Customer Charge 1,100.00

LIHEAP Enhancement Charge 0.80

Distribution Energy Chg 0.00937 x 8709290 kWh 81,606.06

Renewable Egy Dist Chg 0.01116 x 8709290 kWh 97,195.67

Distribution Demand Chg 6.69 x 15468 kW/kVA 103,480.92

Transmission Dem Chg 4.76 x 15668 kW/kVA 74,579.68

Transmission Adj 0.01403 x 8709290 kWh 122,191.34

Transition Charge -0.00145 x 8709290 kWh -12,628.47

Energy Efficiency Prgrms 0.01143 x 8709290 kWh 99,547.19

RE Growth Program 267.15

High Voltage Discount -4.21 x 15668 kW -65,962.28

High Voltage Metering -1.0 % x $ 567340.34 -5,673.40

Total Delivery Services $ 495,704.66

Other Charges/Adjustments

Gross Earnings Tax 0.04166667 x 495,704.66 20,654.36

Total Other Charges/Adjustments $ 20,654.36

Enrollment Information

To enroll with a supplier or change to another supplier, you will need the following information about your account:

Loadzone RhodeIsland

Acct No: 50404-35000 Cycle: 2, U S

Right To Electric Service:

Termination of Service to Elderly or Handicapped Persons

During Serious Illness: If you or anyone presently and normally living in your home is seriously ill, we will not discontinue your electric service during such illness providing you: have a registered physician certify in writing to us that such illness exists, the nature and duration of the illness and you make satisfactory arrangements to pay your bill. This certification must be received within seven (7) days from the date that your physician initially contacts our Credit Department at 1-888-211-1313.

You have a child under twenty four months and a financial hardship: If you or anyone presently and normally living in your home has a child under twenty four months old we will not terminate your electric service, provided you also have a financial hardship. Please call our Credit Department at 1-888-211-1313 immediately if this applies to you.

If all residents in your household are 62 years of age or older or if any resident in your household is handicapped, the Company will not terminate your service for failure to pay the past due bill without written approval from the Division of Public Utilities. If you cannot pay your bill all at once, you may be able to work out a payment plan with the Company. The Elderly or Handicapped Forms that must be filled out are available at the Company. The Form also enables you to participate in "Third Party Notification". If you have any questions or want further information, call the Credit Department at 1-888-211-1313.

Right To Dispute Your Bill And To An Impartial Hearing

If you believe your bill is inaccurate or for any reason payment may be withheld, you should first contact our Customer Service Department at 1-800-322-3223. If a mutually satisfactory settlement of this matter cannot be made, you have the right to submit this matter to: Reviewing Officer, Division of Public Utilities and Carriers, 89 Jefferson Blvd., Warwick, Rhode Island 02888 Telephone: 401-780-9700. National Grid will not disconnect your service pending proceedings before a reviewing officer appointed by the Public Utilities Administrator.

LIHEAP Charge This charge is required under Rhode Island law and will be used to provide funding for a Low-Income Home Energy Assistance Program ("LIHEAP") Enhancement Plan, designed to assist low-income electric and natural gas households with their home energy and heating needs. By law, this charge may not be more than $10 per year for each electric or natural gas service account.

Explanation of Billing Terms Available

If you would like an explanation of any of the terms used on your bill, you may find them on our web site at www.nationalgrid.com or you may call us at 1-800-322-3223.