Natural gas management

The South Carolina Department of Corrections (SCDC) is soliciting bids for a Natural Gas Management services contract covering six correctional facilities, including Broad River Correctional Institution, Camille Griffin Graham Correctional Institution, Manning Correctional Institution, Lieber Correctional Institution, and two additional Department of Juvenile Justice (DJJ) facilities. The procurement seeks a contractor to provide comprehensive natural gas management services, including daily procurement, pricing recommendations, balancing, and nomination services across multiple utility providers such as Piedmont Natural Gas, Dominion Energy, and Carolina Gas Transmission. The total annual natural gas consumption across these facilities is 71,732 MMBTU, with monthly usage varying from 3,944 to 10,473 MMBTU depending on seasonal demand. Key deliverables include monthly detailed reports within 15 days showing usage, costs, and savings for each facility, maintaining pool sizes to avoid cash-out penalties, and providing the most cost-effective natural gas procurement strategy. The solicitation timeline requires questions to be submitted by January 14, 2025, at 10:00 am ET, with bid submissions due by January 21, 2025, at 10:00 am ET. The initial contract term is one year with four potential one-year renewals, creating a maximum potential contract period of five years.

The contract does not specify specific set-aside designations or restrictions on respondent organizations. The Intent to Award document indicates that Mansfield Power and Gas was selected as the contractor, with an initial contract amount of $371,572.00 for the first year and a potential total contract value of $1,857,860.00 over the full five-year period if all extensions are exercised. Pricing will be determined through a structured methodology including a variable NYMEX rate, a fixed Marketer's Margin, and Marketer's Transport Charges that may be adjusted based on tariff changes. The procurement process noted that only one response was received, which allowed for a waiver of the standard seven-day delay of award normally required by the SC Procurement Code. The pricing calculation worksheet provides an estimated annual value of $358,660, with the understanding that actual usage and costs may vary from these projections. Payment terms are set at 30 days per South Carolina Code 11-35-45, with no mutual agreement provisions for price adjustments during renewal periods.